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HomeMy WebLinkAboutReg 2003-02-18 COMPLETE AGENDA PACKETREGULAR MEETING Tuesday, February 18, 2003; 7 p.m. Ord #2014 Res #1513 1. CALL TO ORDER/PLEDGE OF ALLEGIANCE/ROLL CALL 2. PROCLAMATIONS/ APPOINTMENTS 3. CITIZEN COMMENTS/ CORRESPONDENCE 4. CONSENT AGENDA 5. OLD BUSINESS 6. NEW BUSINESS Tukwila City Council Agenda Steven M. Mullet, Mayor John McFarland, City Administrator Pam Carter, Council President Councilmembers: Joe Duffle Dave Fenton' Jim Haggerton Joan Hernandez Pamela Linder Richard Simpson Lodging Tax Advisory Board: Tina Tufts, Position #5. Pg.5 At this time, you are invited to comment on items that are not included on this agenda. If you wish to comment on an item listed on this agenda, please save your comments until the issue is presented for discussion. a. Approval of Minutes: February 3, 2003 Regular Meeting. b. Approval of Vouchers. a. Resolution extending medical benefits to dependents of Pg. 9 employees called to active duty. b. Resolution expressing intent to reimburse capital Pg. 13 expenditures for Tukwila Village and South Park Bridge transfer. a. Resolution authorizing Mayor to sign an agreement with p 17 Starfire, Inc., establishing a concessionaire agreement for the purposes of constructing improvements to and operating activities at the Fort Dent Park athletic facility (discussion only). b. Resolution authorizing repayment of loan to Key Bank pg. 63 and interfund loans to accomplish repayment. c. Award bid for West Valley Highway /Strander P 67 Boulevard intersection improvements project to R. W. Scott Construction Company in the amount of $439,034.87. d. Authorize Mayor to sign Supplement No. 1 with Pg. 77 Entranco, for construction management services on the West Valley Highway /Strander Boulevard Intersection Improvement Project in the amount of $60,000. e. Award Asbestos Abatement Demolition contract to p 91 Wm. Dickson Co., in the amount of $120,926. (including WSST) and authorize a 10% contingency fee in the amount of $12,092 for Foster Golf Links Clubhouse. Tukwila City Council Agenda (Cont.) Tuesday, February 18, 2003 Page 2 7. REPORTS 8. MISCELLANEOUS 9. EXECUTIVE SESSION 10. ADJOURNMENT a. Mayor b. City Council c. Staff d. City Attorney e. Intergovernmental This notice is available in alternate formats for individuals with disabilities upon advance request. Reasonable accommodations at public hearings are available with advance notice. Tukwila City Hall is wheelchair accessible. Please call the City Clerk's office 433- 1800/TDD 248 -2933 if you require assistance. Agenda is also available at City of Tukwila's website: http:/ /www.ci.tukwila.wa.us Please be advised that all Tukwila Council Meetings are audio taped. MOM 4 COUNCIL AGENDA SYNOPSIS Recommendations: Sponsor: Confirmation of appointment. Committee: Administration: Same as sponsor. Cost Impact (if known): Fund Source (if known): Meeting Date 2/18/2003 Initials 1 Meeting Date 1 Prepared by 1 February 18, 2003 I SO' I I I I J I 1 ITEM INFORMATION CAS Number: 03-016 Maygr's review 1 Council' review G✓ C, Original Agenda Date: February 18, 2003 Agenda Item Title: Appointment to Lodging Tax Advisory Board I Original Sponsor: Council Admin. X Timeline: Sponsor's Summary: Appointment of Tina Tufts to Position #5 on the Lodging Tax Advisory Board. RECORD OF COUNCIL ACTION 1 Meeting Date Action APPENDICES Attachments Memo to Council from Mayor dated 2/4/2003 Application for appointment ITEM No. 7 6200 Southcenter Boulevard Tukwila, Washington 98188 Steven M. Mullet, Mayor 1903 To: City Council From: Mayor Mullet sly'' Re: Appointment to Lodging Tax Advisory Board Date: February 4, 2003 It is my pleasure to provide you with the completed application of Tina Tufts to fill vacancy in Position #5 on the Lodging Tax Advisory Board. Tina is the acting Director of Westfield Shoppingtown Southcenter, and will fill the position that had previously been occupied by Mikel Hansen. Unless I hear otherwise from members of the Council before February 12, I will invite Ms. Tufts to the Regular City Council Meeting on Tuesday, February 18, 2003 to have this appointment confirmed. Thank you. /so encl. cf: Jane Cantu Lucy Lauterbach Alan Doerschel City of Tukwila Phone: 206 433 -1800 City Hall Fax: 206- 433 -1833 www.cttukwila.wa.us I CAS Number: 03-014 Agenda Item Title: I Original Sponsor: I Timeline: Sponsor's Summary: Recommendations: Sponsor: Committee: Administration: Approve Resolution Cost Impact Of known): No additional costs Fund Source (if known): Meeting Date 02/10/03 Meeting Date 02/10/03 02/18/03 COL1 VCIL AGENDA ST A /PPS'S Meeting Date 2/10/03 02/18/03 Initials ITEM NO. I Prepared by 1 Mayor's review Council review 1 Um 1 1 1 4 3M 1 1 Ci? I I I I 1 1 I ITEM INFORMATION Original Agenda Date: February 10, 2003 Extension of Medical Benefits for Dependents of Employees Called to Active Duty 03 -o14 Council X Admin Existing Resolution 1475 provided for an extension of medical benefits to employees' dependents when the employee was called to active military duty in support of "9 -11 The proposed Resolution will extend those benefits to dependents when employees are called to active duty in response to any declared national emergency. RECORD OF COUNCIL ACTION Action Discussed at C. 0. W.; Council consensus existed to forward the item to 2/18/03 Regular meeting. APPENDICES Attachments Memo from Administration, Draft Resolution, Resolution 1475 Proposed Resolution Final Format A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF TUKWILA, WASHINGTON, PROVIDING EXTENDED MEDICAL, DENTAL AND VISION COVERAGE FOR EMPLOYEES' DEPENDENTS AS A RESULT OF CITY EMPLOYEES BEING CALLED FOR ACTIVE DUTY IN THE UNITED STATES MILITARY. WHEREAS, the City of Tukwila is supportive of all United States military personnel who are called to active duty in support of the defense of our nation; and WHEREAS, it is understood that certain sacrifices are made by those employees who are called to active duty; and WHEREAS, the City of Tukwila wishes to help ease the burden for those employees in the area of medical, dental and vision coverage for their dependents; NOW THEREFORE, THE CITY COUNCIL OF THE CITY OF TUKWILA, WASHINGTON, HEREBY RESOLVES AS FOLLOWS: Section 1. The City of Tukwila will hereby provide extended medical, dental and vision coverage for an employee's dependents while that employee is serving on active duty as a result of being "called up for service," for a period not to exceed one year from the date the employee is called to active duty. Section 2. The medical, dental and vision benefits shall be at the level and under the terms provided for dependent medical as if the employee were not on active military duty. PASSED BY THE CITY COUNCIL OF THE CITY OF TUKWILA, WASHINGTON, at a regular meeting thereof this day of 2003. ATTEST /AUTHENTICATED: Jane E. Cantu, CMC, City Clerk APPROVED AS TO FORM BY: Office of the City Attorney lnwnnce benefits for military City of Tukwila Washington Resolution No. Filed with the City Clerk. Passed by the City Council: Resolution Number: Pam Carter, Council President CAS Number: 03-015 Initials ITEM NO. Meeting Date Prepared by 1 Mayor's review I Council review 2/10/03 AD 1 CwJ 1 _C 1 I 2/18/03 AD 1 V 1 LY e, 1908 1 1 t 1 1 1 1 ITEM INZU filON Original Agenda Date: 03 -015 Agenda Item Title: A resolution showing intent to reimburse capital expenditures for Tukwila Village and South Park Bridge transfer. Original Sponsor: Council Admin. X I Timeline: Approve at 2/18/03 Regular Meeting Sponsor's Summary: Resolution required to allow bond proceeds to reimburse expenditures made prior to bond sale. Recommendations: Sponsor: Approve as submitted. Committee: N/A Administration: Same as sponsor. Cost Impact (if known): N/A Fund Source (if known): N/A Meeting Date 2/10/03 2/18/03 Meeting Date 2/10/03 2/18/03 Attachments Staff report dated 2/6/03 Proposed resolution Proposed Resolution Final Format February 10, 2003 Action Discussed at C.O.W.; Council concensus existed to forward item to 2/18/03 "Regular meeting. City of Tukwila Washington Resolution No. A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF TUKWILA, WASHINGTON, DECLARING ITS OFFICIAL INTENT TO REIMBURSE CAPITAL EXPENDITURES IN CONNECTION WITH THE TUKWILA VILLAGE PROJECT AND THE SOUTH PARK BRIDGE TRANSFER TO KING COUNTY FROM PROCEEDS OF A FUTURE BORROWING. WHEREAS, the City of Tukwila, Washington (the "City intends to make expenditures for the projects identified below, from funds that are available, but that are not (and are not reasonably expected to be) reserved, allocated on a long -term basis, or otherwise set aside for those expenditures; and reasonably expects to be reimbursed for those expenditures from proceeds of bonds or other obligations "bonds issued to finance those expenditures; and WHEREAS, certain federal regulations (the "federal reimbursement regulations relating to the use of proceeds of tax exempt bonds to reimburse the issuer of the bonds for expenditures made before the issue date of the bonds require, among other things, that not later than 60 days after payment of the original expenditure the City (or any person designated by the City to do so on its behalf) declare a reasonable official intent to reimburse those expenditures from proceeds of bonds; NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF TUKWILA, WASHINGTON, HEREBY RESOLVES AS FOLLOWS: Section 1. Description of Projects for Which Expenditures are to be Made. The City intends to make (and /or, not more than 60 days before the date of this declaration, has made) expenditures, and reasonably expects to reimburse itself for those expenditures from proceeds of bonds, for the following projects: A. Tukwila Village This project is a continuation of a major effort to revitalize Tukwila International Boulevard with temporary funding available from the General and /or Arterial Street funds. B. South Park Bridge Transfer This project relates to the transfer of the Bridge to King County in exchange for Tukwila assuming their pool in Tukwila along with a $3,000,000 payment to King County. Temporary funding for this payment is from the Arterial Street Fund. Section 2. Maximum Principal Amount of Obligations Expected to be Issued for the Projects. The City expects that the maximum principal amount of bonds that will be issued to finance these projects will be $6,000,000. Section 3. Declaration Reasonable. The City Council has reviewed its existing and reasonably foreseeable budgetary and financial circumstances and has determined that the City reasonably expects to reimburse itself for expenditures for the projects from proceeds of bonds because the City has no funds available that already are, or are reasonably expected to be, reserved, allocated on a long -term basis, or otherwise set aside by the City for those expenditures on the projects. Section 4. Limitations on Uses of Reimbursement Amounts. The City will not, within one year after the expected reimbursement, use amounts corresponding to proceeds received from bonds issued in the future to reimburse the City for previously paid expenditures for the Project in any manner that results in those amounts being treated as replacement proceeds of any tax exempt bonds, i.e., as a result of being deposited in a reserve fund, pledged fund, sinking fund or similar fund (other than a bona fide debt service fund) that is expected to be used to pay principal of or interest on tax- exempt bonds. Nor will the City use those amounts in any manner that employs an abusive arbitrage device to avoid arbitrage restrictions. Section 5. Date of Declaration. This declaration of official intent shall be dated as of the date of adoption of this resolution. Section 6. Ratification and Confirmation. Any actions of the City or its officers prior to the date thereof and consistent with the terms of this resolution are ratified and confirmed. Section 7. Effective Date. This resolution shall be in full force and effect from and after its adoption and approval. PASSED BY THE CITY COUNCIL OF THE CITY OF TUKWILA, WASHINGTON, at a regular meeting thereof this day of 2003. ATTEST /AUTHENTICATED: Jane E. Cantu, CMC, City Clerk APPROVED AS TO FORM BY: Filed with the City Qerk: Passed by the City Council: Office of the City Attorney Resolution Number: Pam Carter, Council President CAS Number: 03-017 Recommendations: Sponsor: Committee: Administration: I Cost Impact (if known): I Fund Source (if known): 1 Meetins' Date COUNCIL AGENDA SYNOPSIS Meeting Date 2/18/03 Initials ITEM ND. Prepared by I Mayer's review I Council review I so' 1 116A/ I D'C_ I 1 1 1 1 1 1 1 1 1 I ITEM INFORMATION I Original Agenda Date: February 18, 2003 o3 -D Agenda Item Title: Resolution authorizing Mayor to sign Concessionaire Agreement with Starfire Sports Original Sponsor: Council Admin XX Timeline: Sponsor's Summary: RECORD OF COUNCIL ACTION Action APPENDICES 1 Meeting Date I Attachments 02/18/03 1Memo to City Council dated February 13. 2003 !Draft Resolution and Concessionaire Agreement 'Minutes of 2/11/03 Community and Parks Cmte Meeting TO: City Council FROM: Mayor's Office RE: Starfire Agreement for Use of Fort Dent Park DATE: February 13, 2003 Earlier this week you were provided a copy of an informal memorandum of understanding between the Mayor and the Starfire organization concerning the arrangement for the operation of Fort Dent Park. The memorandum was consummated with a handshake, was not signed and is not a binding legal document. It did, however, give us a firm starting point upon which to finalize a concessionaire agreement for development and use of the park. The Community and Parks Committee reviewed the memorandum at their meeting on February 11 and gave general approval to the concept. They were advised that we would bring the draft concessionaire agreement and accompanying Resolution to the full council as a discussion item at the next meeting. It should be noted that Starfire has strongly requested that review be accomplished as expeditiously as possible to allow for a decision that could facilitate construction completion by late next fall. Pending your direction at that time, we would create a final version for consideration on February 24 as a Special Meeting agenda item. A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF TUKWILA, WASHINGTON, AUTHORIZING THE MAYOR TO SIGN AN AGREEMENT WITH STARFIRE, INC., A PRIVATE, NON PROFIT ORGANIZATION, TO CONSTRUCT AND OPERATE RECREATION FACILITIES AT FORT DENT PARK. WHEREAS, the City of Tukwila has assumed ownership of the Fort Dent Regional Athletic Facility from King County, due to their inability to financially support the operations and maintenance of that facility; and WHEREAS, the City of Tukwila does not desire to leave the facility in a closed status, but does not currently possess the fiscal resources to support this regional facility; and WHEREAS, it is the desire of the City of Tukwila to re -open the park and make it available to the public as a first -class recreational facility; and WHEREAS, Starfire, Inc., a private, non -profit corporation, has approached the City and proposed to operate the park as a public recreational facility, and to construct at their expense, improvements to the facility to enhance its value as a multi-use facility; NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF TUKWILA, WASHINGTON, HEREBY RESOLVES AS FOLLOWS: Section 1. The Mayor is authorized to sign an agreement on behalf of the City of Tukwila with Starfire, Inc., establishing a concessionaire agreement for the purposes of constructing improvements to, and operating activities at the Fort Dent Park Athletic Facility. Section 2. The Agreement shall be substantially in the form attached hereto. The Mayor is authorized to approve non substantive changes to the agreement that facilitate its administration without further authorization. Such changes shall be provided to the City Council in a timely manner for their information. PASSED BY THE CTTY COUNCIL OF THE CITY OF TUKWILA, WASHINGTON, at a Regular meeting thereof this day of 2003. ATTEST /AUTHENTICATED: Jane E. Cantu, CMC, City Clerk APPROVED AS TO FORM BY: Office of the City Attorney Starflre Agreement 2/03 Filed with the City Clerk: Passed by the City Council: Resolution Number: Pam Carter, Council President Draft 2 -13 -03 AGREEMENT BETWEEN CITY OF TUKWILA AND STARFIRE SPORTS ARTICLE 1. RECITALS AND FINDINGS 1 1.1 PARK 1 1.2 INTERGOVERNMENTAL AGREEMENT 1 1.3 PRIVATE OPERATION AND DEVELOPMENT 1 1.4 STARFIRE 1 1.5 FACILITIES 2 1.6 NO PARTNERSHIP 2 1.7 PREMISES 2 1.8 CITY POLICE POWER 2 1.9 PARKING 2 1.10 FINANCING 2 1.11 CONTINUED PARK AND RECREATION USE 3 ARTICLE 2. GROUND AND USE GRANT 3 2.1 PREMISES 3 2.2 POSSESSION, QUIET ENJOYMENT COVENANTS 3 ARTICLE 3. TERM OF AGREEMENT 4 3.1 TERM 4 3.2 OPTION TO RENEW 4 ARTICLE 4. STARFIRE OBLIGATIONS 4 4.1 AGREEMENT 4 4.2 NoT -FoR- PROFIT 4 4.3 INVESTMENT 4 4.4 ATHLETIC CENTER BUILDING 4 4.5 FIELDS -TURF 5 4.6 FIELDS GRASS 5 4.7 STADIUM 5 4.8 SOFTBALL FIELDS 5 4.9 EDUCATION SCHOLARSHIPS 5 4.10 CITY 4 TH OF JULY CELEBRATION 6 4.11 STARFIRE LIAISON 6 4.12 FACILITIES AND PREMISES 6 4.13 ENTRY BY CITY 7 4.14 HEALTH INSPECTIONS 7 4.15 MAINTENANCE, REPAIR, IMPROVEMENTS 7 4.16 SIGNS 9 4.17 UTILITIES 9 4.18 HAZARDOUS SUBSTANCES 9 4.19 RISK OF Loss 10 ARTICLE 5 CITY OBLIGATIONS 10 5.1 AGREEMENT 10 5.2 PICNIC PLAY AREAS STORMWATER 11 5.3 STREETS PARKING 11 5.4 LEVEE TRAILS 11 5.5 NAMING RIGHTS- SIGNS- ZONING 11 5.6 DIRECTIONAL SIGNS 11 5.7 LIQUOR LICENSE 12 5.8 PUBLIC SAFETY 12 AGREEMENT 50367676.02 TABLE OF CONTENTS Page 5.9 PERMITTING 12 5.10 CITY LIAISON 12 5.11 PROMOTION 12 5.12 FEES AND CHARGES 12 ARTICLE 6. DESIGN CONSTRUCTION OF PREMISES 13 6.1 DESIGN 13 6.2 BUILDING SITE PLANS /ACCESS EASEMENT 13 6.3 CONSTRUCTION /SITE WORK/FENCING 13 6.4 CONSTRUCTION DEADLINES 13 6.5 FAILURE TO MEET CONSTRUCTION DEADLINES/TIME OF ESSENCE 14 6.6 STORMWATER DRAINAGE, SEWER, WATER LINES 14 6.7 DEVELOPMENT AND CONSTRUCTION FEES EXPENSES 14 6.8 NOT A PUBLIC WORKS PROJECT 15 6.9 No LIENS 15 6.10 INSURANCE AND INDEMNIFICATION REQUIREMENTS DURING CONSTRUCTION 16 ARTICLE 7. FINANCING SECURITY INTERESTS 17 7.1 FINANCING No CITY OBLIGATION 17 7.2 MORTGAGES GENERALLY 17 7.3 SECURITY INTEREST IN PREMISES AGREEMENT /CONSENT 18 7.4 LENDER's RELIANCE ON TERM 18 7.5 SURRENDER OF THE COLLATERAL 19 7.6 NOTICE OF DEFAULT AND LENDER'S RIGHTS 19 7.7 RIGHT TO ASSIGN 20 7.8 DISPOSITION. OF INSURANCE 20 7.9 RIGHT TO PARTICIPATE IN LITIGATION 20 7.10 INCORPORATION OF LENDER'S PROTECTION PROVISIONS 21 7.11 RIGHT TO REMOVE COLLATERAL 21 7.12 NOTICES 21 ARTICLE 8. TERMINATION 21 8.1 FAILURE TO PERFORM 21 8.2 DEFAULT 22 8.3 REMEDIES ARE CUMULATIVE 23 8.4 DESTRUCTION OF PREMISES Sc USE OF INSURANCE PROCEEDS 23 8.5 DUTIES UPON TERMINATION 23 8.6 EMINENT DOMAIN 24 ARTICLE 9. GENERAL CONDITIONS 25 9.1 RELATIONSHIP OF PARTIES 25 9.2 NOTICES 25 9.3 REPORTS INFORMATION 26 9.4 PERMITS, LICENSES, TAXES, FEES 26 9.5 INSURANCE 27 9.6 HOLD HARMLESS, INDEMNIFICATION, INDUSTRIAL INSURANCE 28 9.7 SUCCESSORS ASSIGNS 28 9.8 BANKRUPTCY 29 9.9 COMPLIANCE WITH LAWS 29 9.10 NONDISCRIMINATION 30 9.11 CHOICE OF LAW VENUE 30 9.12 COSTS ATTORNEYS' FEES 30 9.13 MODIFICATION 30 9.14 CHANGE IN LAW/RENEGOTIATION 30 9.15 FORCE MAJEURE 31 9.16 WAIVER 31 AGREEMENT II 5036767602 9 17 ILLEGAL PROVISIONS $EVERABILITY 31 9.1$ ARTICLE HEADINGS, GENDER, NUMBER 31 9.19 ENTIRE AGREEMENT 32 9.20 COUNTERPARTS 32 9.21 RECORDING 32 Exhibit A Description of PREMISES Exhibit B Preliminary Building and Site Plans Exhibit C Starfire Sports FACILITIES Exhibit D Legal Description of PARK AGREEMENT 50367676.02 111 AGREEMENT 50367676.02 1.1 Park. 1.4 STARFIRE. 1.5 Facilities. AGREEMENT THIS AGREEMENT "Agreement is entered into effective the 1 day of March, 2003 (the `EFFECTIVE DATE by and between the CITY OF TUKWILA, a Washington municipal corporation "CITY and STARFIRE SPORTS, a Washington non profit corporation "STARFIRE The CITY and STARFIRE are referred to collectively as the "PARTIES." In consideration of the promises, covenants, and provisions set forth in this Agreement, the PARTIES agree as follows: Article 1. RECITALS AND FINDINGS The CITY is owner of the property commonly described as Fort Dent Regional Park (the "PARK legally described in Exhibit D. 1.2 Intergovernmental Agreement. The CITY acquired the PARK through an INTERGOVERNMENTAL LAND TRANSFER AGREEMENT BETWEEN KING COUNTY AND THE CITY OF TUKWILA (January 3, 2003; the, "INTERGOVERNMENTAL AGREEMENT in part as a result of King County's lack of sufficient, stable revenues to manage and maintain its parks, open space and recreational facilities. 1.3 Private Operation and Development. At the time the CITY acquired the PARK from King County, the CITY intended to provide for private operation, maintenance and further development of a portion of the PARK, consistent with the INTERGOVERNMENTAL AGREEMENT. STARFIRE has the experience, ability, and resources to develop and operate park athletic, recreation and associated facilities "FACILITIES at the PARK. STARFIRE intends to develop a regional facility for soccer, softball and other athletic and recreational uses, and to provide scholarships, grants and aid to underprivileged people throughout King County. The PARTIES intend this Agreement to be a ground and use concession and licenses granting to STARFIRE the exclusive rights to develop, construct, and operate FACILITIES, as described more fully in attached Exhibit C. STARFIRE may operate Page 1 of 31 concessions and impose fees and charges within these areas of the PARK, described herein, and which said PARK areas will remain property of the CITY. 1.6 No Partnership. The PARTIES agree that no joint venture or partnership is formed as a result of this Agreement. 1.7 Premises. STARFIRE will be responsible for the design and construction of the FACILITIES and exterior landscaping (hereinafter collectively referred to as the "PREMISES blending with the PARK setting. All improvements to the PREMISES will become property of the CITY at the termination of this Agreement. By entering this Agreement, the CITY does not waive any of its police power authority and shall retain final permits for the PREMISES. 1.9 Parking. The CITY, and not STARFIRE, will be responsible to provide adequate parking to support the PREMISES and its operations. 1.10 Financing. 1.10.1 STARFIRE will be responsible for obtaining all necessary financing for the development and operation of the PREMISES. 1.10.2 It is mutually understood by the PARTIES that any lender who provides financing to STARFIRE solely for the development and operation of the PREMISES will require this Agreement as protection and security for lender "lender The term "lender" shall also mean the successors and assigns of the lender. 1.10.3 The CITY will acknowledge and consent to lender taking a first position security interest in this Agreement and the PREMISES; lender taking an assignment of the right, title, claim and interest of STARFIRE in this Agreement; lender obtaining the right of substitution for STARFIRE, lender taking possession of the PREMISES; lender operating the PREMISES pursuant to the terms of this Agreement; and/or, lender selling, assigning and/or transferring STARFIRE's interest in this Agreement and/or the PREMISES; AGREEMENT 50567676.02 1.8 City Police Power. Page 2 of 31 This Agreement and uses authorized herein are consistent in all respects with King County Resolution No. 34571 and the Intergovernmental Agreement. All covenants and restrictions contained in the INTERGOVERNMENTAL AGREEMENT, and deed(s) transferring PARK to CITY are incorporated in this Agreement. 2.1.1 CITY hereby grants to STARFIRE an exclusive lease and use concession of ground, for the development, construction, and operation, of the PREMISES as described in Exhibit A attached hereto and incorporated by reference. Preliminary building and site plan is shown in Exhibit B, attached hereto and incorporated by reference. Any and all development, construction, and improvements of and to the PREMISES are owned by STARFIRE subject to security interest of lender, if any. At the termination of this Agreement, other than as a result of condemnation proceedings, the then existing improvements to the PREMISES will become the property of and owned by the CITY. 2.1.2 The common address of the PREMISES is 6800 Fort Dent Way, Tukwila WA, 981898. Except as provided in Articles 4.10 4.13 herein, STARFIRE shall be entitled to exclusive possession and use of the PREMISES upon commencement of the development and construction of the PREMISES as defined by Article 6.4 herein. Upon taking possession of the PREMISES, and subject to STARFIRE's continuing performance and city's remedies under Agreement, STARFIRE shall peaceably and quietly have, hold, and enjoy the PREMISES at all times during the full term of this Agreement. Every covenant in this Agreement shall be deemed and treated to be a covenant running with the PREMISES during the full term of the Agreement, and shall extend to the heirs, legal representatives, successors, and assigns of the PARTIES. No change in CITY'S ownership of the PREMISES, or rights to the payments hereunder, however accomplished, shall operate to enlarge the obligations or reduce the rights of STARFIRE. No change in CITY's ownership of the PREMISES shall be binding upon STARFIRE for any purpose until STARFIRE shall have been given notice thereof. The term of this Agreement shall be forty (40) years, commencing upon the EFFECTIVE DATE. AGREEMENT 50367676.02 1.11 Continued Park and Recreation Use. 2.1 PREMISES. 2.2 Possession. Ouiet Eniovment Covenants. 3.1 Term. Article 2. GROUND AND USE GRANT Article 3. TERM OF AGREEMENT Page 3 of 31 AGREEMENT 50367676.02 3.2 Option to Renew. The CITY and STARFIRE may renew this Agreement, contingent upon STARFIRE full compliance with the terms and conditions of this Agreement and CITY's written agreement to renew. The PARTIES may modify the Agreement during the term, as a condition of renewal, or during a renewal term, consistent with Section 9.13.. Article 4. STARFIRE OBLIGATIONS 4.1 Agreement. STARFIRE agrees to the terms and conditions of this Agreement. 4.2 Not- For Profit. STARFIRE will serve as the supervisory not for profit corporation for enhancement and ongoing operation of the FACILITIES. 4.3 Investment. STARFIRE will raise and invest $6 million in capital expenditures for the enhancement of the FACILITIES. 4.4 Athletic Center Building. STARFIRE will construct an athletic center building with two indoor soccer facilities and associated uses to provide training programs, league play, and tournaments to the youth and adults of the CITY and surrounding areas. 4.5 Fields Turf. STARFIRE will construct three new lighted FIFA— sized, championship quality synthetic turf soccer fields and make these fields available to the youth and adults on teams from the CITY and surrounding areas. 4.6 Fields Grass. 4.6.1 STARFIRE will improve and maintain three grass soccer fields and make these fields available to the youth and adults on soccer teams from the CITY and surrounding areas. 4.6.2 STARFIRE will maintain for the CITY the existing, northern most soccer field outside of the PREMISES, consistent with such standards applicable to other grass soccer fields maintained by STARFIRE within the PREMISES. Page 4 of 31 4.7 Stadium. STARFIRE will install new seating, new FIFA -sized championship quality synthetic turf, and lights for a soccer stadium and make the stadium available to the youth and adult teams from the CITY and surrounding areas. 4.8 Softball Fields. STARFIRE may sublease the softball fields to a not for profit organization to enhance and operate the FACILITIES' softball fields and make these fields available to CITY -based leagues and tournaments, as well as regional and national tournaments. 4.9 Education Scholarships. 4.9.1 STARFIRE will provide athletic skills, educational and development programs STARFIRE will also provide team fee scholarships for disadvantaged youths from the CITY and surrounding areas. 4.9.2 STARFIRE, as part of it's community involvement program, will provide scholarships, grants, awards, and other benefits to the underprivileged. The CITY shall be entitled to designate scholarship recipients up to an aggregate amount equal to 12% of the amount set aside annually by STARFIRE for such scholarships but not to exceed $25,000 per year. Amounts not designated by the CITY in a calendar year shall be available for designation by STARFIRE throughout the community. Additionally, the CITY may request STARFIRE's consideration of requests in excess of the amounts set forth in this section for STARFIRE's discretionary scholarship and award program STARFIRE will make all outdoor fields within the PREMISES available for use by the CITY during the annual 4`h of July celebration. Upon request by CITY, STARFIRE will provide a dedicated contact person and liaison with the CITY for all permit and license applications, changes, and variances to complete the FACILITIES in an expedited manner. AGREEMENT 50367676.02 4.10 City 4 of Julv Celebration. 4.11 STARFIRE Liaison. 4.12 Facilities and Premises. STARFIRE will be fully responsible for all costs of improvement, operation and maintenance of the PREMISES, except as described in Section 5, below. 4.12.1 Incidental Uses Page 5 of 31 STARFIRE may provide and /or authorize concessions, to include but not be limited to food and beverages; sale of' incidental items directly related to the use of the FACILITIES including, but not limited to, athletic equipment, clothing, awards and related merchandise; soap, shampoo, sundries and supplies; and, day- care /babysitting, fitness, training and gym activities. 4.12.2 Security and Nuisance During Use STARFIRE shall take reasonable precautions in securing the PREMISES during the full term of this Agreement. STARFIRE shall use the PREMISES for no unlawful purposes and shall not use or occupy the PREMISES in any manner, which would constitute a public nuisance or violate State or CITY laws. 4.12.3 Operating Hours Activities The availability of recreational opportunities for CITY residents is a material consideration for this Agreement. Accordingly and during the full term of this Agreement, STARFIRE shall continuously conduct and carry on STARFIRE's permitted uses and shall keep the PREMISES open for business and cause STARFIRE's business to be conducted therein during the usual business hours of each and every business day as mutually agreed upon. This provision shall not apply if the PREMISES should be closed and the business of STARFIRE is temporarily suspended on account of labor strikes, lockouts, or similar causes beyond the reasonable control of STARFIRE, or for maintenance, remodeling, repair, or renovation as approved by the CITY in writing (including approvals of any construction schedules.) STARFIRE covenants and agrees to provide sufficient personnel, and to keep the PREMISES adequately stocked with merchandise, recreational equipment, fixtures, and facilities so as to conduct its business in accordance with sound business practice. STARFIRE, in order to keep its business commitments, shall be in operation in accordance with sound business practice. 4.13 Entry by CITY. CITY may enter the PREMISES at all times to inspect; provide services required hereunder; post notices of STARFIRE's noncompliance with the provisions of this concession, all without being deemed a constructive eviction. Any person or persons who may have an interest in the purpose of CITY's visit may accompany CITY. CITY has the right to use any and all means that CITY deems proper to open doors and gates in an emergency in order to obtain entry to the PREMISES. 4.14 Health Inspections. STARFIRE shall not knowingly commit or willfully permit to be committed any act or thing contrary to the rules and regulations prescribed by the local board of health, or which shall be contrary to the laws, rules or regulations of any federal, state or municipal authority. STARFIRE shall allow the King County Health Department to make AGREEMENT 50367676.02 Page 6 of 31 regular and ordinary inspections of the PREMISES as said health department may deem proper. 4.15 Maintenance. Renair. Improvements. 4.15.1 Maintenance STARFIRE shall, at its sole cost and expense, clean and maintain the PREMISES, and make repairs, restorations, and replacements to the PREMISES, including without limitation the heating, ventilating, air conditioning, mechanical, electrical, and plumbing systems, structural roof, walls, and foundations, roof coverings, sprinkling and irrigation systems, playing surfaces and the fixtures and appurtenances to the PREMISES as and when needed to preserve them in "first class" condition and repair (less normal wear from use) throughout the full term. STARFIRE shall further keep in repair and maintain as necessary all machinery, equipment and facilities necessary for the playing of sports and the comfort of players. STARFIRE shall paint the exterior of the buildings (except the metal) with such frequency as may be required to maintain their good, clean appearance. All such repairs, restorations, and replacements will be in quality and workmanship at least equal to the original work or installations. If STARFIRE fails to make such repairs, restorations, or replacements within ninety (90) days of written notice by CITY, CITY may make them at the expense of STARFIRE and such expense will be paid by STARFIRE within fifteen (15) days after delivery of a statement for such expense. 4.15.2 Sidewalks Maintenance At its sole cost and expense, STARFIRE shall maintain any sidewalks on the PREMISES in good and presentable condition during the full term of this Agreement, shall be responsible for correcting any unsafe conditions, and shall be responsible for the removal of ice and snow from the sidewalks. 4.15.3 Janitorial Services At its sole cost and expense, STARFIRE shall keep the PREMISES clean, and shall provide sufficient janitorial services to maintain a tidy appearance on and about the PREMISES. STARFIRE shall provide landscaping maintenance services such that landscaping on the PREMISES remains healthy, attractive, and well maintained. 4.15.4 Repair of Damage In the event any damage or injury shall occur to the PREMISES of any kind or nature whatsoever, STARFIRE shall promptly cause said damage or injury to be fully repaired at STARFIRE's own cost and expense. In the event STARFIRE fails to accomplish such repairs within fifteen (15) days of receipt of written notice by the CITY, then in that event CITY may, but is not required to, enter the PREMISES and accomplish such repairs and bill STARFIRE who will pay the bill within fifteen (15) days after delivery of a statement for such expense. AGREEMENT Pagel of 31 8061676.02 4.15.5 Improvements STARFIRE shall be solely responsible for providing adequate funding for any alterations or improvements as provided in this Agreement and such alterations or improvements shall be made without cost to the CITY, except as provided in Section 5.3. 4.15.6 Alterations of PREMISES after Construction After such time as the PREMISES have been completed and accepted as defined above, STARFIRE shall not make any material alteration to the PREMISES including any changes to the landscaping, without the CITY's prior written consent, such consent to not be unreasonably withheld. AGREEMENT 50367676.02 4.16 Signs. STARFIRE may place and maintain signs upon the PREMISES in accordance with the sign ordinance of the CITY. 4.17 Utilities. 4.17.1 Utility Services and Expense STARFIRE will pay for all water, gas, garbage, sewage, electricity, telephone, and other utilities and communications services used by STARFIRE on the PREMISES, whether or not such services are billed directly to STARFIRE. STARFIRE will also procure, or cause to be procured, without cost to the CITY, any and all necessary permits, licenses, or other authorizations required for the lawful and proper installation and maintenance upon the PREMISES of utility appurtenances and appliances for use in supplying such utilities and services to and upon the PREMISES. The CITY, upon request of STARFIRE, and at the sole expense and liability of STARFIRE, will join with STARFIRE in any application required for obtaining or continuing any such services, provided that such services do not violate any other applicable provision of this Agreement. The CITY shall not be held liable for any injury, loss, or damage caused by or resulting from any interruption or failure of utility services due to any cause whatsoever, except the CITY's sole negligence. STARFIRE shall not be entitled to any offset, reduction, or return of consideration as a result of any interruption or failure of services. 4.17.2 Trash Garbage STARFIRE shall place all trash and garbage into such areas and containers as are designed and intended to accommodate the trash and garbage generated within or on the PREMISES. STARFIRE shall not allow trash and/or garbage to accumulate such that a nuisance or health hazard results. Page 8 of 31 4.18 Hazardous Substances. 4.18.1 Definition As used herein, the term "Hazardous Substance" means any hazardous, toxic, or dangerous substance, waste, or material, which is or becomes regulated under any federal, state, or local statute, ordinance, rule, regulation, or other law now or hereafter in affect pertaining to environmental protection, contamination, or cleanup. 4.18.2 Information STARFIRE shall keep upon the PREMISES, in a location accessible to CITY, on request during normal business hours, copies of all reports regarding hazardous or toxic materials in the PREMISES that STARFIRE has provided to any governmental agency in the previous quarter. STARFIRE shall, upon request and at STARFIRE's expense, provide CITY with a copy of any such report as to which CITY request a copy. In the event of any accident, spill, or other incident involving hazardous or toxic matter that STARFIRE is required to report to any governmental agency, STARFIRE shall immediately report the same to the CITY and supply CITY with all information and reports with respect to the same, together with STARFIRE's clean-up or remediation plan and schedule. If such clean-up or remediation plan is not acceptable to CITY in CITY's sole discretion, CITY may so notify STARFIRE and, upon 48 hours prior written notice (or without notice if so required by an emergency) may enter on the PREMISES to conduct the cleanup or remediation and charge STARFIRE the costs thereof. All information described herein shall be provided to CITY regardless of any claim by STARFIRE that it is confidential or privileged, provided that the CITY shall not publish or disclose the information to any third party except as pursuant to Chapter 42.17 RC W. AGREEMENT 50367676.02 4.18.3 Indemnification STARFIRE agrees to hold harmless, protect, indemnify, and defend CITY from and against any damage, loss, claim, or liability, INCLUDING Attorney's fees and costs, resulting from STARFIRE's use, disposal, transportation, generation, and/or sale of any Hazardous Substances. The CITY agrees to hold harmless, protect, indemnify, and defend STARFIRE from and against any damage, loss, claim, or liability, including attorney's fees and costs, resulting from (a) Hazardous Substances existing on the PREMISES as of the EFFECTIVE DATE of this Agreement; or (b) Hazardous Substances thereafter used, disposed of, or generated on the PREMISES by the CITY. These indemnities will survive the termination of this Agreement, whether by expiration of the Term or otherwise. 4.19 Risk of Loss. All personal property of any kind or description whatsoever on the PREMISES shall be at STARFIRE's sole risk, and CITY shall not be liable for any damage done to, Page 9 of 31 or loss of, such personal property. However, STARFIRE is not responsible for losses or claims of stolen property during the CITY's use periods. Article 5. CITY OBLIGATIONS 5.1 Agreement. CITY agrees to the terms and conditions of this Agreement. 5.2 Picnic Play Areas Stormwater. The CITY will maintain all existing picnic, barbecue, restrooms, play and other community access areas located within the PARK that are not part of the PREMISES, including water retention facilities and lift stations, consistent with such standards applicable to other municipal parks owned and operated by the CITY. 5.3 Streets Parking. 5.3.1 The CITY will maintain all streets, bridges, and parking areas, including landscaping, located within or adjacent to or providing access to and egress from the PARK and the PREMISES, consistent with applicable CITY standards. 5.3.2 The CITY will be responsible to provide adequate parking to support the PREMISES and its operations. The CITY will maintain, or cause to be maintained by others, the levee and trails outside the PREMISES but within the PARK, consistent with applicable CITY and King County standards. 5.5.1 The CITY grants to STARFIRE all rights to PREMISES naming, and advertising. Provided, however, the reference "Tukwila," "City of Tukwila," or other reference to "Tukwila" as approved by the CITY shall be incorporated into names and signage when feasible. The CITY agrees to work with STARFIRE to modify the sign code to facilitate appropriate signage for the PREMISES and its events. 5.5.2 The CITY agrees to work with STARFIRE to modify the zoning code to facilitate the development of any FACILITIES not otherwise permitted outright under the zoning code. AGREEMENT 5036767602 5.4 Levee Trails. 5.5 Naming Rights Signs Zoning. Page 10 of 31 5.6 Directional Signs. The CITY will install directional signage to the FACILITIES as appropriate in various locations throughout the CITY. 5.7 Liquor License. The CITY will support STARFIRE obtaining a liquor license for the FACILITIES through the established City Council approval process. 5.8 Public Safety. The CITY will provide police and fire services to the PARK and the PREMISES consistent with applicable CITY standards. 5.9 Permitting. The CITY will attempt to expedite all permits, licenses and other municipal approvals required for completion and operation of the FACILITIES. The CITY will provide a dedicated contact person and liaison with STARFIRE for all permit and license applications, changes, and variances to complete the FACILITIES in an expedited manner. The CITY's tourism and marketing department will use its best efforts to promote and support the FACILITIES within the business community for the benefit of CITY and the enhanced recreational use of the Park. AGREEMENT 50367676.02 5.10 City Liaison. 5.11 Promotion. 5.12 Fees and Charges. CITY grants and authorizes STARFIRE to establish and collect rents, fees and charges, and retain all revenues, including special event/tournament parking revenues, for use of FACILITIES; excluding the 4 of July. Provided, however, STARFIRE will be subject to the City Parking Tax. Article 6. DESIGN CONSTRUCTION OF PREMISES 6.1 Design. 6.1.1 STARFIRE shall retain a licensed architect or licensed professional engineer, registered in the State of Washington, who shall design the FACILITIES and exterior landscaping (the PREMISES), which shall visually blend with Page 11 of 31 the setting. The CITY shall have the right to approve the final design of the PREMISES consistent with established CITY zoning and/or design code. 6.1.2 Where required by applicable provisions of law, STARFIRE shall comply with the Americans with Disabilities Act of 1990 (ADA) in the design, construction, and operation of the PREMISES. 6.2 Building Site Plans /Access Easement. STARFIRE shall retain a licensed architect or licensed professional engineer, registered in the State of Washington, to prepare building and site plans for the PREMISES, which shall reference the structure, utilities generally, and landscape plan. The CITY shall have the right to approve the final building and site plans, such approvals to not be unreasonably withheld. Upon its approval of the final building and site plans, the CITY will grant to STARFIRE an access easement from the PREMISES to the public right -of -way. Upon being granted, the access easement shall run for the term of this Agreement and shall be part of the PREMISES. 6.3 Construction /Site Work/Fencing STARFIRE shall be solely responsible for all development and construction of the PREMISES and shall be responsible for the site work, all required permits and grading. STARFIRE shall properly barricade the work area and install signage directing unauthorized person from entering onto the building site during any phase of development or construction. Unless otherwise agreed fencing shall be placed around the work area. In addition, the building site shall be kept in a clean and organized condition during development periods. STARFIRE shall be responsible for site security, traffic and pedestrian warnings at the site during the development and construction phases 6.4 Construction Deadlines. 6.4.1 STARFIRE shall be required to commence development of the PREMISES within six (6) months of the EFFECTIVE DATE of this Agreement. Commencement of development of the PREMISES is defined as that date upon which STARFIRE files its first application for a project permit, as defined in RCW 36.70B.020(4). 6.4.2 STARFIRE shall be required to complete the development and construction of the PREMISES within one (1) year of the EFFECTIVE DATE of this Agreement. Completion of the development and construction of the PREMISES is defined as that date upon which all final occupancy permits are obtained by STARFIRE for all structures on the PREMISES. 6.4.3 STARFIRE may phase construction of FACILITIES on the PREMISES. PROVIDED, within one (1) year of commencement of construction, the FACILITIES shall have completed construction sufficient to provide, for use under this AGREEMENT Page 12 of 31 50367676.02 Agreement, athletic and recreation fields in a condition and to an extent in excess of that provided at PARK as of the EFFECTIVE DATE. 6.5 Failure to Meet Construction Deadlines /Time of Essence. 6.5.1 Except as provided in Section 9.15 herein, it is mutually understood and agreed that failure by STARFIRE to meet the development and construction deadlines shall constitute a material breach of this Agreement by STARFIRE and the CITY, at its option, can terminate this Agreement for cause pursuant to Article 8. Time is of the essence with this Agreement. 6.5.2 Notwithstanding Section 6.4 and 6.5.1, STARFIRE's obligation to commence construction shall not begin until the CITY has issued its building permit for the FACILITIES. AGREEMENT 50367676.02 6.6 Stormwater Drainage. Sewer. Water Lines. STARFIRE will be responsible for relocating storm drains, sewers, and water lines to the PREMISES, as required to complete development and construction of the PREMISES. 6.7 Development and Construction Fees Expenses. 6.7.1 STARFIRE shall be responsible for obtaining and paying for necessary permits, fees, and expenses associated with the development and construction of the PREMISES. In addition, STARFIRE shall be responsible for any additional costs for inspections billed to the CITY by any government agency, including but not limited to the City of Tukwila, King County, or the State of Washington. 6.7.2 Notwithstanding Section 6.7.1, STARFIRE shall not be obligated to pay permit fees, CITY utility connection charges (if any), and expenses, including any transportation impact or environmental mitigation fees in an aggregate amount in excess of $100,000.00 excluding utility meter fees. CITY shall be responsible for any such fees in excess of the amount set forth in this Section 6.7.2. 6.8 Not a Public Works Proiect. 6.8.1 The development and construction of the PREMISES is not a public works project requiring the payment of prevailing wages. STARFIRE is the developer and the CITY is not an owner, partner, joint venturer, nor maintains any other business relationship with STARFIRE. The CITY is not involved with, nor has any responsibilities for, the biding, contracting or operations of the PREMISES and will occupy no space in or enjoy use of the PREMISES. STARFIRE does not deem itself required to pay prevailing wages nor will STARFIRE be obligated to pay or to contract for prevailing wages or any other standard of payment controls associated with this project. This provision is a material part of the consideration for this Agreement. Page 13 of 31 6.8.2 The project signage and all literature, advertising by either the CITY or STARFIRE shall not indicate in any manner that this is a CITY project, contract, or other misleading statement indicating that this project is a public work project directly or indirectly. 6.9 No Liens. Except liens and encumbrances of any lender pursuant to Article 6 herein, it is mutually understood and agreed that STARFIRE shall have no authority, express or implied, to create or place any lien or encumbrance of any kind or nature whatsoever upon, or in any manner to bind, the interest of the CITY in the fee interest in the PREMISES retained by CITY or the PARK, or to charge the rentals payable hereunder for any claim in favor of any person dealing with STARFIRE, including those who may furnish materials or perform labor for any construction or repairs, and each such claim shall affect and each such lien shall attach to, if at all, only the right and interest granted to STARFIRE by this Agreement. If any such liens are filed, CITY may, without waiving its rights and remedies for breach, and without releasing STARFIRE from its obligations hereunder, require STARFIRE to post security in form and amount reasonably satisfactory to CITY or cause such liens to be released by any means CITY deems proper, including payment in satisfaction of the claim giving rise to the lien. STARFIRE shall pay to CITY upon demand any sum paid by CITY to remove the liens. Further, STARFIRE agrees that it will save and hold the CITY harmless from any and all loss, cost, or expenses based on or arising out of the asserted claims or liens, except those of the lender, against this Agreement or against the right, title, and interest of the CITY in the PREMISES and the PARK or under the terms of this Agreement, including reasonable attorney's fees and costs incurred by CITY in removing such liens, and in enforcing this paragraph. Additionally, it is mutually understood and agreed that this paragraph is intended to be a continuing provision applicable to future repairs and improvements after the initial construction phase. 6.10 Insurance and Indemnification Requirements During Construction. 6.10.1 Indemnification Hold Harmless STARFIRE shall require its construction contractors and subcontractors to defend, indemnify and hold the CITY, 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 CITY. AGREEMENT 50367676.02 6.10.2 Commercial General Liability Insurance The STARFIRE shall require its construction contractors to procure and maintain, for the duration construction of the facility, insurance against claims for injuries to persons or damage to property, which may arise from or in connection with the Page 14 of 31 performance of the work hereunder by the construction contractors and subcontractors, their agents, representatives, employees or subcontractors. All said policies shall name the City of Tukwila as an additional named insured and shall include a provision prohibiting cancellation or reduction in the amount of said policies except upon thirty (30) days prior written notice to the CITY. The STARFIRE shall require its construction contractors to maintain minimum commercial general liability insurance limits of no less than $1,000,000 each occurrence, $2,000,000 general aggregate and a $2,000,000 products completed operations aggregate limit. 6.10.3 Builders Risk Insurance The STARFIRE shall require its construction contractors to procure and maintain, for the duration construction of the facility, Builders Risk insurance covering interests of the CITY and the construction contractor in the work. Builders Risk insurance shall be on a all -risk policy form and shall insure against the perils of fire and extended coverage and physical loss or damage including flood and earthquake, theft, vandalism, malicious mischief, collapse, temporary buildings and debris removal. This Builders Risk insurance covering the work will have a deductible of $5,000 for each occurrence, which will be the responsibility of the construction contractor. Higher deductibles for flood and earthquake perils may be accepted by the CITY upon written request by STARFIRE and written acceptance by the CITY. Any increased deductibles accepted by the CITY will remain the responsibility of the construction contractor. The Builders Risk insurance shall be maintained until final acceptance of the work by STARFIRE. The STARFIRE shall require its construction contractors to maintain Builders Risk insurance in the amount of the completed value of the project with no coinsurance provisions. 6.10.4 Subcontractors The STARFIRE shall require its construction contractors to include all subcontractors as insureds under its policies or shall furnish separate certificates and endorsements for each subcontractor. All coverages for subcontractors shall be subject to all of the same insurance requirements as stated herein for the construction contractor. The STARFIRE 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 Commercial General Liability insurance of the construction contractor before commencement of the work. Before any exposure to loss may occur, STARFIRE shall file with the CITY a copy of the Builders Risk insurance policy that includes all applicable conditions, exclusions, definitions, terms and endorsements related to this project. AGREEMENT 50367676.02 6.10.5 Verification of Coverage Page 15 of 31 Article 7. FINANCING SECURITY INTERESTS 7.1 Financing No CITY Obligation. 7.1.1 STARFIRE shall be solely responsible for all financing requirements for all construction, maintenance, repairs, or subsequent improvements to the PREMISES. The CITY shall be under no obligation directly or indirectly to pay for any labor, material, or improvement associated with the PREMISES except as provided herein or mutually agreed upon. STARFIRE shall, in applying and obtaining financing, inform any lender that the CITY has no financial obligations associated with the construction, maintenance, repairs or subsequent improvements to the PREMISES. 7.2 Mortgages Generally. STARFIRE, and its successors and assigns, shall have the unrestricted right to mortgage its interests under this Agreement, subject, however, to the limitations herein. As used herein, "Leasehold Mortgage" shall include any such mortgage(s) or deed(s) of trust on the Estate created by this Agreement; "Purchase Money Mortgage" shall include any Mortgage granted to STARFIRE (or STARFIRE's successors) in connection with the sale of the interest in this Agreement; and "Estate" shall mean the estate of STARFIRE created by this Agreement upon and subject to all the terms and conditions of this Agreement. Any such Mortgage shall be subject to the rights of CITY hereunder in accordance with all the terms and conditions of this Agreement. In no circumstances and under no condition shall CITY's fee interest in the PARK be encumbered by, subject to or subordinate to a Mortgage. 7.3 Security Interest in PREMISES Agreement /Consent. The CITY consents to the grant, transfer, pledge and assignment of any and all right, title, claim, interest of STARFIRE in and to this Agreement and in the PREMISES, and in any building facility, personal property and fixtures in the PREMISES "Collateral to lender for financing purposes. The CITY shall recognize lender's first priority security interest in the Collateral and the CITY hereby subordinates any and all interest of the CITY in said Collateral to lender. STARFIRE acknowledges that the CITY will not grant any security interest to any lender in CITY real property nor will the CITY allow any encumbrance of any kind or nature whatsoever upon, or in any manner on its title to CITY real property. In the event of default by STARFIRE to lender, in addition to all its rights and remedies available at law and equity, lender may enforce and/or foreclose its security interest/interests in the Collateral. CITY agrees that in connection with any such default, and all without further consent of CITY, lender may: 7.3.1 Acquire STARFIRE's interest in the Collateral either by a deed in Lieu of foreclosure or actual foreclosure; 7.3.2 Rent and/or grant a ground and use concession of the PREMISES subject to this Agreement pending foreclosure of the Collateral by lender; AGREEMENT 50367676.02 Page 16 of 31 7.3.3 Assign, sell and/or transfer the Collateral in whole or in part to any person or entity; 7.3.4 Take possession of any or all of the Collateral, obtain right of substitution for STARFIRE and operate said Collateral; and/or AGREEMENT 50367676.02 7.3.5 Appoint a receiver. 7.4 LENDER's Reliance on Term. The CITY acknowledges that STARFIRE, in making application for financing, may be required to have an assurance that the terms of this Agreement will extend beyond the term of the financing term. By its signature to this Agreement, the CITY confirms its authority to provide the forty (40) year Agreement term conditioned solely upon STARFIRE maintaining current payments and remaining in full compliance with the terms and conditions of this Agreement. Additionally, the CITY acknowledges that, after any original financing commitments by STARFIRE have been satisfied, these financing provisions shall be applicable to all future advances or financing required by STARFIRE and used solely for the improvements and repairs of the PREMISES. 7.5 Surrender of the Collateral. No surrender of Collateral or the PREMISES subject to this Agreement or any other act of STARFIRE shall be deemed to terminate this Agreement. CITY will not terminate this Agreement voluntarily by agreement with STARFIRE unless lender has been previously notified in writing and has consented to the termination in writing. This Agreement shall not be amended or modified unless lender has been previously notified in writing and has consented to such amendment or modification in writing. 7.6 Notice of Default and Lender's Rights. 7.6.1 Notice of Default If STARFIRE defaults under this Agreement or if any event occurs which would give CITY the right to terminate, modify, amend or shorten the term of this Agreement, CITY shall take no steps to exercise any right it may have under this Agreement without first giving lender written notice of such default in accordance with Article 7.12 below. A copy of each and every notice of default served or sent by CITY or its agent to or upon STARFIRE pursuant to this Agreement shall be sent contemporaneously to lender in accordance with Article 7.12 below. Such notice of default shall specify the event or events of default then outstanding and the time period at the end of which the indicated action would become effective. 7.6.2 Termination for Monetary Default Page 17 of 31 If the notice of default given by CITY to lender relates to a monetary default and STARFIRE has not cured such monetary default within thirty (30) days after lender receives the notice and STARFIRE's failure to cure results in CITY desiring to terminate this Agreement, CITY may terminate this Agreement if such monetary default is not cured by either STARFIRE or lender within forty -five (45) days after lender receives the notice of default. 7.6.3 Termination for Non- Monetary Default If the notice of default given by CITY to lender relates to a non monetary default and STARFIRE has not cured, or diligently pursued curing, such non monetary default within thirty (30) days after lender receives the notice, CITY shall take no action to terminate this Agreement if: a. Within sixty (60) days after CITY's notice to lender regarding STARFIRE's failure to cure (or failure to diligently pursue a cure) lender notifies CITY of its intent to realize upon its security interest and commences realization within sixty (60) days thereafter, and diligently pursues realization; and b. Lender pays CITY at time of notification all monies or performances due that may be in default up to the day lender notifies CITY of lender's intent and further pays or performs all consideration that accrues during the period after lender so notifies CITY and completes such other performances that may be required or come due under this Agreement. CITY shall not terminate this Agreement because of STARFIRE's breach of any terms of this Agreement relating to the solvency of STARFIRE or the institution of any bankruptcy, insolvency, receivership or related action by or against STARFIRE as long as lender cures any default under this Agreement by STARFIRE as provided herein, except that lender shall not be required to cure any defaults relating to solvency of STARFIRE. 7.7 Right to Assign. Lender shall have the right to assign its interest in the Collateral. Upon the purchaser's, assignee's or transferee's assumption and agreement to perform and be bound by all of the terms of this Agreement, lender shall be relieved from further liability under this Agreement. If a lender finances the purchaser, assignee or transferee, said lender shall be subject to all obligations as set forth in this Agreement. AGREEMENT 50367676.02 7.8 Disoosition of Insurance. Should the Collateral suffer any loss which is covered by casualty insurance, and the insurance proceeds are used to restore any improvements made by STARFIRE, CITY agrees that STARFIRE and lender shall have the right to such proceeds so long as none of CITY'S property, utilities or other services therein are damaged or such damages are Page 18 of 31 repaired. In the event the CITY's land is substantially damaged and STARFIRE's improvements have been repaired, CITY shall only participate in the insurance proceeds to the extent necessary to repair and restore CITY's land and any of CITY'S improvements on or in the ground to the same condition the land was at the commencement of this Agreement, or in the same condition at the time of the casualty. Other than as described herein, CITY shall have no claim to insurance proceeds that are attributable to STARFIRE's interest in the Collateral. 7.9 Right to Participate in Litigation. Lender shall have the right to participate in any litigation, arbitration or dispute directly affecting the Collateral or interest of STARFIRE or lender therein, including, without limitation, any suit, action, arbitration proceeding, condemnation proceeding or insurance claim. CITY, upon instituting or receiving notice of any such litigation, arbitration or dispute will promptly notify lender of the same 7.10 Incorporation of Lender's Protection Provisions. Lender shall be a beneficiary of all rights of STARFIRE herein including but not limited to the warranty, indemnity, hold harmless, choice of law and venue, costs and attorney's fees as provided herein. In the event lender exercises its rights under its Collateral and realizes upon the Collateral, CITY agrees that lender is entitled to remove the Collateral, including but not limited to building facility, furniture, movable trade fixtures and equipment, from the PREMISES at any reasonable time and that the Collateral shall remain personal property even though the trade fixtures may be affixed to or placed upon the PREMISES. In the event lender so realizes on its Collateral, CITY waives any right, title, claim, lien or interest in the Collateral. All notices, copies of notices, consents or other communications to lender given under this Agreement to lender must be in writing and shall be effective when received. Such communications shall be given in person to an officer of lender, addressed to lender at an address as provided by lender. AGREEMENT 50367076 02 7.11 Right to Remove Collateral. 7.12 Notices. Page 19 of 31 Article 8. TERMINATION 8.1 Failure to Perform. 8.1.1 Obligation to Perform Nothing herein shall imply any duty upon CITY to do any work, which under any provision of this concession STARFIRE may be required to perform, and the performance thereof by CITY shall not constitute a waiver of STARFIRE's default. CITY shall not in any event be liable for inconvenience, annoyance, and disturbance in its activities in the PARK, however shall not permit a loss of business, or other damage to STARFIRE by reason of its actions pertaining to the PARK. 8.1.2 Payments to Other Parties Except as otherwise expressly provided hereunder, all obligations of STARFIRE under this Agreement will be performed by STARFIRE at STARFIRE's sole cost and expense. If STARFIRE fails to pay any sum of money owed to any party other than CITY for which STARFIRE is liable hereunder, or if STARFIRE fails to perform any other act on its part to be performed hereunder, and such failure continues for ten days after notice thereof by CITY, CITY may, without waiving or releasing STARFIRE from its obligations, make any such payment or perform any such other act to be made or performed by STARFIRE. STARFIRE shall pay CITY, on demand, all sums so paid by CITY and all necessary incidental costs, together with interest thereon at the lesser of 1'A percent per month or the maximum rate permissible by law, from the date of such payment by CITY. 8.2 Default. 8.2.1 CITY's Default CITY will not be in default unless CITY fails to perform an obligation within sixty (60) days after notice by STARFIRE, which notice must specify the alleged breach; provided that if the nature of CITY's obligation is such that more than sixty (60) days are reasonably required for cure, then CITY will not be in default if CITY commences to cure within sixty (60) days of STARFIRE's notice and thereafter diligently pursues completion and completes performance within a reasonable time. 8.2.2 STARFIRE's Default The occurrence of any one or more of the following events constitutes a default under this Agreement by STARFIRE: (1) STARFIRE shall be in default of the performance of any covenants, conditions, or provisions of this Agreement, other than the covenants for the payment of consideration required by this Agreement, where such failure continues for a period of sixty (60) days after written notice is given by CITY provided that if the nature of STARFIRE's obligations is such that more than sixty (60) AGREEMENT Page 20 of 31 5036767602 days are reasonably required for cure, STARFIRE will not be in default if STARFIRE commences to cure within sixty (60) days of CITY's notice and thereafter diligently pursues completion and completes performance within a reasonable time; or (2) STARFIRE shall be adjudged a bankrupt, make a general assignment for the benefit of creditors, or take the benefit of any insolvency act, or if a permanent receiver and trustee in bankruptcy shall be appointed for STARFIRE's estate and such appointment is not vacated within sixty (60) days; or (3) PREMISES become vacant or deserted for a period of sixty (60) days; or (4) if this Agreement shall be assigned or the PREMISES sublet other than in accordance with the terms of this AGREEMENT and such default is not cured within thirty (30) days after written notice to STARFIRE; or (5) STARFIRE shall fail to make any payment when due, or fail to make any other payment required hereunder when due, when that failure is not cured within thirty (30) days after mailing of written notice thereof by CITY. 8.2.3 Default for Other Cause This Agreement may be immediately terminated for other cause by a party if the other party substantially fails to perform its obligations under this Agreement, through no fault of the terminating party, and the non performing party does not commence correction of the failure of performance within sixty (60) days of the terminating party's sending notice to the non performing party. 8.3 Remedies Are Cumulative. Remedies under this Agreement are cumulative; the failure to exercise on any occasion any right shall not operate to forfeit such remedy. 8.4 Destruction of PREMISES Use of Insurance Proceeds. 8.4.1 Unless otherwise mutually agreed by the PARTIES, in the event the PREMISES are destroyed or injured by fire, earthquake, or other casualty, then STARFIRE shall proceed to rebuild and restore the PREMISES, or such part thereof as maybe injured as aforesaid. In the event of any loss covered by the insurance policies described and required pursuant to Article 9.5.1 herein, unless this Agreement shall be terminated as provided herein, the proceeds of such insurance policies shall be used by STARFIRE first to rebuild and restore the PREMISES and replace the improvements, fixtures, and equipment, which may be damaged or destroyed by such casualty. 8.4.2 Notwithstanding the forgoing, in the event the PREMISES are destroyed by fire, earthquake or other casualty STARFIRE may elect to restore the PREMISES to a condition equivalent to or better than existed as of the EFFECTIVE DATE, and terminate the AGREEMENT without further obligation except as otherwise provided in this Agreement. AGREEMENT Page 21 of 31 50367676.02 8.5 Duties upon Termination. Upon termination of this agreement, and unless otherwise arranged, STARFIRE shall remove from the PARK all its personal property, goods, and effects. In the event that STARFIRE fails to perform this duty at termination, the CITY may cause such removal to be made and said personal property, goods, and effects to be stored, the cost and expense to be paid by STARFIRE. It is mutually understood and agreed that the real property constituting the PREMISES of this Agreement is the real property of the CITY and that all improvements to said real property shall revert to the CITY at the termination of this Agreement. 8.6 Eminent Domain. The following rules shall govern the rights and duties of the PARTIES in the event of interference with STARFIRE's use on possession of the PREMISES as a result of the exercise of eminent domain or private purchase in lieu thereof. 8.6.1 Rights of Termination If the whole of the PREMISES shall be taken for any public or quasi public use under any statute or by right of eminent domain, or by private purchase in lieu thereof, then this Agreement shall automatically terminate as of the date that title shall be taken. If more than twenty -five percent (25 of the PREMISES shall be so taken and if the taking renders the remainder thereof unusable for the purposes for which the PREMISES were concessioned, then CITY and STARFIRE shall each have the right to terminate this Agreement on thirty (30) days notice to the other given within ninety (90) days after the date of such taking. Provided, however, that if the CITY is exercising its rights of eminent domain, a fair value shall be placed on this Agreement and the PREMISES with the compensation thereof awarded solely to STARFIRE, or lender pursuant to its security interest, if any. 8.6.2 Non Termination If any part of the PREMISES shall be so taken and this Agreement is not terminated, then the CITY shall, at its own cost and expense, restore the remaining portion of the PREMISES to the extent necessary to render it reasonably suitable for the purposes for which it was concessioned. 8.6.3 Compensation The compensation awarded or paid upon such a total or partial taking of the PREMISES and/or this Agreement shall belong to and be apportioned between the CITY and STARFIRE in accordance with their respective interests under this Agreement as determined by a court of competent jurisdiction. Additionally, STARFIRE may prosecute any claim directly against the condemning authority for the costs of removal of the goodwill, stock, trade fixtures, furniture and other personal property belonging to AGREEMENT Page 22 of 31 50367676 02 STARFIRE. CITY shall have no claim to condemnation proceeds that are attributable to STARFIRE's interest in the Collateral, nor shall lender gave any interest in CITY's condemnation proceeds, if any. Article 9. GENERAL CONDITIONS 9.1 Relationship of PARTIES. 9.1.1 Independent Status The PARTIES intend that an independent relationship shall be created by this Agreement. Nothing contained herein shall create the relationship of principal and agent or of partnership or of joint venture between the parties hereto, and neither the method of computation of consideration nor any other provision contained herein shall be deemed to create any relationship between the parties hereto other than the relationship of CITY as granting a ground and use concession to STARFIRE. STARFIRE has the experience, ability, and resources to develop and operate the FACILITIES and is performing independent functions and responsibilities within its field of expertise. STARFIRE, its personnel and agents are independent contractors and not employees of the CITY. No agent, employee, servant, or representative of STARFIRE shall be deemed to be an employee, agent, servant or representative of the CITY. STARFIRE and its personnel have no authority to bind the CITY or to control the CITY's employees. As an independent contractor, STARFIRE is responsible for its own management. The CITY's administration and enforcement of this Agreement shall not be deemed an exercise of managerial control over STARFIRE or its personnel. 9.1.2 No Third Party Rights Created It is mutually understood and agreed that this Agreement is solely for the benefit of the PARTIES hereto and gives no right to any other party except as provided by Article 7 herein. 9.13 Joint Venture /Partnership It is mutually understood and agreed that no joint venture or partnership formed as a result of this Agreement. 9.2 Notices. Except as provided in Article 7 herein, any notice required or permitted hereunder must be in writing and will be effective upon the earlier of personal delivery or three days after being mailed by certified mail, retum receipt requested, addressed to STARFIRE or to CITY at the address for that party designated herein. Either party may specify a different address for notice purposes by written notice to the other, except that CITY may in any event use the PREMISES as STARFIRE's address for notice purposes. All notices shall be delivered to the following addresses: AGREEMENT Page 23 of 31 50367676.02 CITY Address City of Tukwila Attn: City Administrator 6200 Southcenter Boulevard Tukwila, WA 98188 9.3 Renorts Information. 9.4 Permits. Licenses. Taxes. Fees. 9.4.2 Taxes Fees STARFIRE Address Starfire Sports Attn: Christopher Slatt P.O. Box 48299 Burien, WA 98148 -0299 When requested by the CITY, STARFIRE shall famish periodic reports and documents on matters covered by this Agreement. The reports and documents shall be furnished in the time and form requested. STARFIRE shall maintain accounting records in accordance with Generally Accepted Accounting Principles (GAAP) for non profit entities. 9.4.1 Permits, Licenses, Other Documents STARFIRE shall possess a current Tukwila Business License and shall obtain all regulatory licenses and permits, including all construction and building permits, necessary to fulfill STARFIRE's obligations under this Agreement at STARFIRE's sole expense. Each party agrees to execute such additional or other documents as may be required to fully implement the intent of this Agreement. As an independent contractor, STARFIRE shall be solely responsible for all taxes, fees and charges incurred, including but not limited to license fees, business and occupation taxes, workers' compensation and unemployment benefits, all federal, state, regional, county and local taxes and fees, including income taxes, property taxes, permit fees, operating fees, surcharges of any kind that apply to any and all persons, facilities, property, income, equipment, materials, supplies or activities related to STARFIRE's obligations under this Agreement. AGREEMENT 50367676.02 9.4.3 Leasehold Excise CITY shall be responsible for payment of leasehold excise tax, if any, under this Agreement. 9.4.4 Admissions Tax The CITY acknowledges that STARFIRE, as a non -profit entity, is not subject to the CITY's admission tax. In the event the CITY's admissions tax is made applicable to non profit entities, including STARFIRE, all amounts collected and paid by STARFIRE Page 24 of 31 to CITY as admission taxes shall be a credit against (i.e., deducted from) amounts otherwise payable by STARFIRE to CITY under this Agreement. 9.5 Insurance. 9.5.1 Fire, Earthquake, Casualty Insurance STARFIRE agrees that, at all times during the full term of this Agreement and at its own expense, STARFIRE shall, at its sole cost and expense, maintain in full force and effect adequate fire, flood, earthquake, and other casualty coverage covering the PREMISES and its contents, including all personal property, fixtures, improvements. Such policy shall include a replacement cost endorsement. STARFIRE shall obtain and file with the CITY's Risk Manager a Certificate of Insurance evidencing such coverage. All such insurance coverage shall include a thirty-clay cancellation notice to STARFIRE and the CITY. Adequacy of coverage is defined as insurance sufficient to restore the PREMISES to its pre casualty condition. 9.5.2 Liability Insurance Prior to the commencement date of this Agreement, STARFIRE, at its own expense shall obtain and file with the CITY's Risk Manager a Certificate of Insurance evidencing commercial general liability insurance coverage "CGL providing coverage of at least $1,000,000 per occurrence and $1,000,000 general aggregate. This Certificate of Insurance shall be subject to approval by the CITY's Risk Manager as to company, terms and coverage, and said approval shall not be unreasonably withheld. The CGL shall name the CITY as an additional insured and must fully protect the CITY from any and all claims and risks and losses in connection with any activities or omissions by STARFIRE by virtue of this Agreement. The CGL policy shall remain in full force and effect at STAREIRE's sole expense for liability for property damage or personal injury that may occur in connection with activities or omissions by STARFIRE, and provide coverage for the full term of this Agreement. STARFIRE shall insure that the CITY's Risk Manager is given thirty calendar days prior written notice, by certified mail, of any cancellation, lapse, reduction or modification of such insurance. 9.5.3 Release and Waiver of Subrogation Any policy of insurance carried by either CITY or STARFIRE pursuant to any obligation under this Agreement, shall, to the extent available, contain a waiver of subrogation clause on the part of the insurer. Such waiver shall apply to damages to adjacent property. Notwithstanding any other provision of this Agreement, neither CITY nor STARFIRE shall be liable to the other party or to any insurance company (by subrogation or otherwise) insuring the other party for any loss or damage to any building, structure or tangible personal property of the other occurring in or about the PREMISES or PARK, even though such loss or damage might have been occasioned by the negligence of such party, its agents or employees, if such loss or damage is covered by property insurance issued by an insurance carrier authorized or licensed by the Insurance AGREEMENT 50367676.02 Page 25 of 31 Commissioner of the State of Washington to issue lines of insurance, benefiting the party suffering such loss or damage or was required under the terms of this Agreement to be covered by insurance by the party covering the loss. 9.6 Hold Harmless. Indemnification. Industrial Insurance. 9.6.1 Hold Harmless Indemnification Each party hereto agrees to be responsible and assumes liability for its own wrongful or negligent acts or omissions, or those of its officers, agents, or employees to the fullest extent required by law Each party agrees to save, indemnify, defend, or hold the other party harmless against all liability, loss, damages, and expenses, including costs and attorney's fees, resulting from actions, claims and lawsuits arising or alleged to have arisen, in whole or in part, out of or in consequence of the acts or failures to act of the other party, its employees, its subcontractors, its agents, or its assigns, which arise in any way out of the performance of this Agreement. In the case of negligence of both the CITY and STARFIRE, any damages allowed shall be levied in proportion to the percentage of negligence attributable to each party, and each party shall have the right to seek contribution from the other party in proportion to the percentage of negligence attributable to the other party. 9.6.2 Industrial Insurance The PARTIES have specifically negotiated STARFIRE's waiver of its immunity under Title 51 RCW, which is hereby waived for purposes of STARFIRE's indemnification and hold harmless of the CITY, including the duty to defend. This provision shall be inapplicable to the extent such action, claim, or lawsuit is judicially found to arise solely from the acts or failures to act of the CITY. AGREEMENT 50367676.02 9.7 Successors Assiens. 9.7.1 The CITY and STARFIRE each agree to be bound to the other party in respect to all covenants, agreements, and obligations contained in this Agreement. Except as provided in Article 7 and 9.7.2 herein, neither party shall assign the Agreement in part or as a whole, without the written consent of the other. Except as provided in Article 4.8 herein, STARFIRE shall not sublease any of the PREMISES, without written notice to and approval of the CITY. 9.7.2 The CITY acknowledges that STARFIRE is authorized under this Agreement, without further CITY approval, to enter into space leases, rental agreements, and/or grant sub- concessions within the PREMISES for individual facility operations; food and beverage services; athletic equipment operation, sales and service; and, similar supporting concessions consistent with Section 4.12.1. 9.7.3 When requested, approval by the CITY of a subcontract or assignment shall not be unreasonably withheld. Page 26 of 31 9.7.4 In the event of an assignment, subcontracting, or delegation of duties, STARFIRE shall remain responsible for the full and faithful performance of this Agreement and the assignee, subcontractor, or other obligor shall also become responsible to the CITY for the satisfactory performance of the services, facilities, or equipment assumed. The CITY may condition approval upon the delivery by the assignee, subcontractor, or other obligor of its covenant to the CITY to fully and faithfully complete the requirements or responsibility undertaken under this Agreement. 9.7.5 Notwithstanding the foregoing, provided STARFIRE is not in default, STARFIRE may assign its interest in this Agreement without seeking CITY's consent to a parent or subsidiary. Except as otherwise provided herein, all of the covenants, conditions, and provisions of this Agreement are binding upon and inure to the benefit of the PARTIES and their respective heirs, personal representatives, successors, and assigns. Except as provided in Article 7 herein, PARTIES agree that if STARFIRE is adjudged bankrupt, either voluntarily or involuntarily, then this AGREEMENT, at the option of the CITY, may be terminated effective on the day and at the time the bankruptcy petition is filed. AGREEMENT 50367676.02 9.8 Bankruptcy. 9.9 Comnliance with Laws. STARFIRE, its officers, employees, and agents shall comply with applicable federal, state, county, and local laws, statutes, rules, regulations, and ordinances, in performing its obligations under this Agreement. Such compliance shall include abiding by all applicable federal, state and local policies to ensure equal employment opportunity based on ability and fitness to all persons regardless of race, creed, color, national origin, religion, sex, physical handicaps or age. STARFIRE shall comply with applicable laws pertaining to employment practices and employee treatment. Conditions of the Federal Occupational Safety and Health Act of 1970 (OSHA), the Washington Industrial Safety and Health Act of 1973 (WISHA), and standards and regulations issued under these Acts must be complied with. STARFIRE agrees to indemnify and hold harmless the CITY from all damages assessed for STARFIRE's failure to comply with the Acts and Standards issued thereunder. STARFIRE is also responsible for meeting all pertinent local, state and federal health and environmental regulations and standards applying to any operation in the performance of this Agreement. 9.10 Nondiscrimination. PARTIES shall not discriminate in employment or services to the public on the basis of race, color, national origin, sex, religion, age, marital status, or disability, except for employment actions based on bona fide occupational qualification. Page 27 of 31 9.11 Choice of Law Venue. This Agreement shall be interpreted according to the laws of the State of Washington. Any judicial action to resolve disputes arising out of this Agreement shall be brought in King County Superior Court. 9.12 Costs Attorneys' Fees. In any action brought to enforce any provision of this Agreement, including actions to recover sums due or for the breach of any covenant or condition of this Agreement, or for the restitution of the PREMISES to the CITY or eviction of STARFIRE during the term or after expiration thereof, the substantially prevailing party shall be entitled to recover from the other party all reasonable costs and reasonable attorney's fees incurred, including the fees of accountants, appraisers, and other professionals, at trial or on appeal, and without resort to suit. 9.13 Modification. This Agreement may only be modified by written instrument signed by both PARTIES. The PARTIES agree that changes in federal, state or local laws or regulations that materially modify the terms and conditions of the Agreement and result in a detrimental change in circumstances or a material hardship for either party in performing this Agreement may be the subject of a request by a requesting party to renegotiate this Agreement or negotiate Agreement amendments and the responding party agrees to renegotiate fairly with the requesting party. Provided that all other requirements of this Agreement are met, any party shall not be deemed to be in default and shall not be liable for failure to perform under this Agreement if that party's performance is prevented or delayed by acts of God including landslides, lightning, forest fires, storms, floods, freezing and earthquakes, civil disturbances strikes or labor interference, acts of the public enemy, wars, blockades, public riots, breakage, explosions, accident to machinery, equipment or materials, unavailability of required materials, governmental restraint or other causes, whether of the kind enumerated or otherwise, which are not reasonably within the control of that obligated party "Force Majeure"). If as a result of a Force Majeure event, an obligated party is unable wholly or partially to meet its obligations under this Agreement, it shall give the other party promptly written notice of the Force Majeure event, describing it in reasonable detail. The obligated party's obligations under this Agreement shall be suspended, but only with respect to the particular component of obligations affected by the Force Majeure and only for the period during which the Force Majeure exists. AGREEMENT 50367676.02 9.14 Chance in Law /Renegotiation. 9.15 Force Maieure. Page 28 of 31 STATE OF WASHINGTON ss. COUNTY OF KING I certify that I know or have satisfactory evidence that STEVEN M. MULLET is the person who appeared before me, and said person acknowledged that she signed this instrument, on oath stated that she was authorized to execute the instrument and acknowledged it as the Mayor of the CITY OF TUKWILA to be the free and voluntary act of such party for the uses and purposes mentioned in the instrument. Given under my hand and official seal this day of STATE OF WASHINGTON ss. COUNTY OF KING On this day of 2001, before me personally appeared CHRISTOPHER G. SLATT, to me known to be the CHAIRMAN of STARFIRE SPORTS, a not for profit Washington corporation, that executed the within and foregoing instrument and acknowledged the said instrument to be the free and voluntary act and deed of said corporation for the uses and purposes therein mentioned, and on oath stated that he was authorized to execute and in fact executed said instrument on behalf of the corporation. Given under my hand and official seal this AGREEMENT 50367676.02 Type/Print Name Notary Public in and for the State of Washington residing at My Commission expires day of 2003. Type/Print Name Notary Public in and for the State of Washington residing at My Commission expires Page 31 of 31 2003. City of Tukwila 1,;; APPLICATION FOR APPOINT i c._ M�,, I wish to be considered for a pp ointment to the following `f `i L''. L? wing board or commission: s �C� 'F' Arts Commission ❑Highway 99 Task Force park Commis; 0 Board of Adjustment 0 Human Services Board 0 Planning Commission O Civil Service Commission 0 Library Advisory Board 0 Sister City Committee O Community -Oriented Policing Citizens Advisory Board 0 Economic Development Advisory Board Lodging Tax Advisory Committee Approximately how many hours each month can you devote to City business? 4-1 D Other Comments Signature: U nap hAhl\ Please return completed form to: Office of the Mayor 6200 Southcenter Boulevard Tukwila, Washington 98188 Name: Tnd Address: 1j33 Ant.ttl an-kr Tu.ILWi) cv Please check all that apply to you within the Tukwila city limits O Resident 0 Residential property owner 0 Renter Business owner /manager" 0 School district representative 0 High school student Present Employer. WI skci as d NC Pn'o±.t 1N2 f-i LIA Shit Ota.t n4mon &dh a/AD.0 Address to 3 3 94 over, Ti xit in Phone 2 o L 24 {Q 042 3 Phone Z614 2 41e Z3 Zip Code: ci f I c K Hobbies/Interests: Sating i7ncar g Tv a.V; I� AAA J Have you previously served on one of the Boards or commissions above? 0 Yes 121, No Please explain: Date available for appointment Available to attend evening meetings: 0 Yes 0 No Daytime ineetings? Yes 0. No An applicant's political position has no bearing on his /her appointment to a board or commission Availability is irnportant;a time commitment is required 013 If you have questions regarding this application or would like more information about any of the City's boards and commissions, please call the Mayor's Office at 4331850. Failure to enforce any provision of this Agreement shall not be deemed a waiver of that provision. No waiver of any right or obligation of either party hereto shall be effective unless in writing, specifying such waiver, executed by the party against whom such waiver is sought to be enforced. Waiver of any right or power arising out of this Agreement shall not be deemed waiver of any other right or power. Should any part of this Agreement be found void, illegal, or unenforceable, the balance of the Agreement shall remain in full force and effect. Article paragraph headings are not to be construed as binding provisions of this concession; they are for the convenience of the PARTIES only. The masculine, feminine, singular and plural of any word or words shall be deemed to include and refer to the gender and number appropriate in the context. This Agreement and its Exhibits constitutes the entire agreement between the PARTIES, and the PARTIES acknowledge that there are no other agreements, written or oral, that have not been set forth in the text of this Agreement. This Agreement may be executed simultaneously in two or more counterparts, each of which shall be deemed an original, but all of which together shall constitute one and the same instrument. 9.16 Waiver. 9.17 Illegal Provisions Severabilitv. 9.18 Article Headings, Gender. Number. 9.19 Entire Agreement. 9.20 Counterparts. 9.21 Recording. Upon the execution of this Agreement the CITY will cause this Agreement to be recorded with the land use records of King County, Washington. IN WITNESS WHEREOF, this Agreement has been entered into between the City of Tukwila and Starfire Sports as of the 1 day of March, 2003. AGREEMENT 50367676.02 By: Page 29 of 31 STARFIRE SPORTS a not for profit Washington corporation APPROVED AS TO FORM: City Attomey ATTEST: City Clerk LIST OF EXHIBITS By: Exhibit A Description of PREMISES Exhibit B Preliminary Building and Site Plans Exhibit C Starfire Sports FACILITIES Exhibit D Legal Description of PARK AGREEMENT 50767676.02 Christopher G. Slatt, Chairman CITY OF TUKWILA a Washington municipal corporation Page 30 of 31 Steven M. Mullet, Mayor AGREEMENT 50367676.02 EXHIBIT A Description of PREMISES The PREMISES consist of the FACILITIES (as defined at Exhibit 0 and exterior landscaping but does not include the fee ownership of the PARK real property (see Exhibit Dl upon which the PREMISES are located), and as shown in the attached graphic. Exhibit A Exhibit B Preliminary Building Site Plan STARFIRE FACILITY BOUNDARY FIELD 5 c SOFTBALL COMPLEX AVJNTENANCE FACILRIES GREEN RNER a P J I G P ,fj r DETFNTIDN PoI FIELD 7 /J 1. Eirislitc; +l>1 AV' FIELD 3 FIELD 4 AC 7 I� STARFIRE ATHLETIC J �1 �<C/ CENTER ACCESS BRIDGE 1 jOFTBALL 1 GREEN RIVER ft ACCESS. BRIDGE 7 ?TAY AREAS FIELD 1 GREEN RMR --T` LEVEE AGREEMENT 50367676.02 EXHIBIT D Legal Description of PARK Exhibit D Community and Parks Committee February 11, 2003 Present: Joan Hernandez, Chair; Joe Duffie, Pam Carter (for Jim Haggerton), Bruce Fletcher, Rick Still, Steve Lancaster, Minnie Dhaliwal, John McFarland, Lucy Lauterbach; Dennis Robertson 1. Foster Clubhouse Demolition Bids for demolition of the clubhouse were opened today, and the low bidder of seven bidders was Wm Dickson Co. Their price was a little higher than anticipated, but it includes additional grading and clearing that would have been done in the construction phase, so the additional money is coming from the construction phase for that. Rick said Dickson has been around for 25 years, and he had worked with them at a previous job where they had done good work. Some trees from the golf course can be used at Codiga Farm. A private party is buying the kitchen equipment at the clubhouse for $3,000, so new equipment will be purchased for the new clubhouse kitchen. The city will own the equipment, and the concessionaire will lease it to pay it down, at which time the city will buy it back at its depreciated cost. Recommend bid award to Regular Meeting. 2. Manufacturina and Industrial Center Studv The Council had asked for information about allowing offices in the industrial area of Tukwila, so additional studies were done. King County Planning Policies have recommended that cities discourage land uses not compatible with manufacturing and industrial uses, and that they limit the size of offices and retail unless they are an accessory use to an industry. Tukwila's Comprehensive Plan also does not allow uses that are unrelated to manufacturing and industry. There is a limited amount of industrial land in King County, and the reports envision the need for such land remaining and perhaps increasing into the future, though how and how much it will grow is unknown. The work done in industrial areas brings in more new money to the region rather than offices, which shift money within the region. Another issue is that because offices are valued higher than manufacturing uses, offices on industrial lands can drive up the price for industrial land, making it unavailable for manufacturing and industry, while remaining not extremely attractive to other offices. An issue raised by offices is the city's process of programmatic EIS work to allow companies to do remodels without full EIS work (because they fill out general information before the Programmatic EIS). These do not include detailed transportation analyses. Offices would have impacts on traffic that manufacturing and industry do not have. Staff had outlined five policy options for Council regarding offices in the industrial areas. One option would recognize existing offices; others would allow office use as a permitted use with or without size restrictions. Steve L asked if this was an issue the committee thought the Council would like to consider in 2003, or refer to the 2004 update. Pam said it should be done in '03 if it fits in the work plan of DCD. Joan wanted it to be taken to Council to at least get them familiar with the issue even if it's not formally decided upon until next year. Joan asked if offices would be conditional uses in industrial areas, and Steve said they could be in the future if wanted, but are not now. Pam asked if we want to keep land industrial, if we should discourage splitting up large lots there. She wanted to know what uses could be expected in the manufacturing and industrial areas. Recommend issue to COW. 3. Como Plan Amendments for 2003 There are three comp plan amendments that have been submitted for consideration this year. The first is a staff request to review offices in MIC /H that was the subject of the earlier issue on the agenda. The second is to revise the Sensitive Areas ordinance to include the Best Available Science and perhaps shoreline issues. There is no clear definition for Best Available Science. When Joan asked about it, Steve said it requires staff to show their research and to review the literature on each issue. The last issue is a citizen request for a rezone of property from LDR to Office. The Council will be briefed on these issues March 3 and a public hearing will be March 17 Recommend briefina to Council. 4. Moratorium Review There has been a moratorium on development of the Transit Oriented Development (TOD) site near Longacres since September, 2002. A study of the area is about to begin, and the findings from that will go into the larger Tukwila Urban Center plan. Because the city had thought transportation improvements that would ensure the viability of the TOD would happen fairly soon, the moratorium was to preclude uses in the near term. However, those improvements are not likely to be done soon, so staff recommends allowing some uses of the property, including trailer or car parking and sales, contractor storage, and expansion of existing businesses. The idea is to have uses that won't warrant buildings that would be hard to remove if the area were ready for redevelopment. This would require a limited moratorium, with certain allowed uses. Recommend to Public Hearina Feb 24 at the COW. 5. Fourth Quarter Resorts Pam had a question, and it was about Codiga. Bruce said Mr. Codiga is somewhat confused, and thinks he still owns the property that the city had bought from him several years ago. The barn needs to come down, but before that happens the city needs to deal with the dozens of feral cats living in the barn. Joan wanted Jim to have a chance to ask questions about the reports, so it should be included next meeting if he has questions. Information. 6. Starfire The committee had a copy of the initial agreement items the city wants to reach with Starfire. Their copy was easy to understand; the attorneys will work on it tomorrow to ensure it has the legal wherewithal to withstand scrutiny. David St Pierre will work on it from the city; Steve DeJulio will work on it for Starfire. Starfire plans to build three new lighted outdoor soccer fields and two indoor lighted fields. The three turf fields to the west won't be done in the first phase, so will remain as is. The new fields will have very good new artificial turf that lets rain through, among other attributes. There will be some leftover re -use water that Fort Dent used when it was all grass. There will be a concessionaire, and the City will be allowed to use the park for the 4` of July. The project will have a 40 -year lease. The new fields will allow the advanced players to use them, and could result in some hotel room rentals for Tukwila. As Starfire is working to get charitable non profit status, they won't be required to pay an admissions tax. Recommend aareement to Reaular Meeting for adoption. Committee chair approval CAS Number: 03-018 1 Meetins Date 2/18/03 COUNCIL AGENDA SYNOPSIS Initials Meeting Date Preoared by !Mayor's review 1 Council review 1 I 2/18/03 ARD 1 eh/ 1 L/C. 1 1 1 1 1 1 1 1 1 ITEM Na Original Agenda Date: 2/18/03 Agenda Item Title: Resolution authorizing repayment of loan to Key Bank and interfund loans to accomplish the repayment I Original Sponsor: Council I Timeline: Approve at February 18, 2003 Regular Meeting Sponsor's Summary: See attached staff report Admin. Action X Recommendations: Sponsor: Approve as recommended Committee: Will review at February 18, 2003 Finance Safety Committee meeting. Administration: Same as Sponsor I Cost Impact (if known): $1,450,000 (debt reduction) I Fund Source (if known): General, Arterial Street and Hotel/Motel Tax A aftlitatir Meeting Date Attachments 02 Memorandum to Mayor Council dated 02 -13 -03 Proposed Resolution Draft Format To: Steve Mullet Mayor as City Council From: Alan R. Doerschel, Fina Director Date: February 13, 2003 Subject: Interfund Loans to Hotel /Motel Tax Fund The $1,450,000 note to Key Bank for land purchased by the Hotel /Motel Tax Fund (for proposed Exhibition Center) expires on March 1, 2003. After consultations with Key Bank and the City's Bond Council Foster Pepper (Hugh Spitzer) we have concluded the most appropriate solution is to use interfund loans plus a $100,000 principal reduction by the Hotel /Motel Tax Fund to retire this debt. The rational is that we can repay the loans when convenient, at a low interest rate (based on Washington State Investment Pool yields), and we have not used more of our bond capacity. The Lodging Tax Advisory Board agreed unanimously at its February 6, 2003 meeting to this solution. The strategy is to make principal payments to the lending funds (Arterial street and General) until the land is sold and the repayment is completed. 1 121 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF TUKWILA, WASHINGTON, AUTHORIZING INTERFUND LOANS TO THE HOTEL/MOTEL TAX FUND FROM THE GENERAL AND ARTERIAL STREET FUNDS IN THE AMOUNT OF $1,350,000; AUTHORIZING THE REPAYMENT OF A $1,450,000 NOTE BY THE HOTEL/MOTEL TAX FUND TO KEY BANK; AND SETTING REPAYMENT AND INTEREST CALCULATIONS. WHEREAS, the City's Hotel /Motel Tax Fund has a $1,450,000, five year note to Key Bank with an expiration date of March 1, 2003, and the City has determined that interfund loans, along with a $100,000 repayment amount from the Hotel /Motel Tax Fund, is the most appropriate method of repayment; and WHEREAS, the Tukwila Lodging Tax Advisory Board has endorsed this repayment at its February 6, 2003 Board meeting; NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF TUKWILA, WASHINGTON, HEREBY RESOLVES AS FOLLOWS: Section 1. Payment of 51,450,000 note to Key Bank. The City is authorized to repay the loan principal on or before March 1, 2003. The Hotel /Motel Tax Fund ($100,000); the General Fund ($600,000); and the Arterial Street Fund ($750,000) will be funding sources. Section 2. Repayment and interest calculations. A. The Hotel/ Motel Tax Fund will make principal payments to the General and Arterial Street Funds annually in January of each year in an amount to be determined by the Lodging Tax Advisory Board and the City Council until all principal is repaid. B. The Hotel /Motel Tax Fund will pay interest to the lending funds based on the average rate of the Washington State Investment Pool. C. If the land, which was the purpose of the note and purchased by the Hotel /Motel Tax Fund, is sold, the proceeds will be used to retire the interfund loans. PASSED BY THE CITY COUNCIL OF THE CITY OF TUKWILA, WASHINGTON, at a Regular meeting thereof this day of 2003. ATTEST /AUTHENTICATED: Jane E. Cantu, CMC, City Clerk APPROVED AS TO FORM BY: Office of the City Attorney Hotel/Motel Tax Fund 1. Filed with the City Clerk: Passed by the City Council: Resolution Number. Pam Carter, Council President 1908 Original Sponsor: I Timeline: Sponsor's Summary: Recommendations: Sponsor: Committee: Administration: Cost Impact (if known): Fund Source (if known): Meeting Date 2/18/03 Meeting Date COUNCIL AGENDA SYNOPSIS Meeting Date 2/18/03 Initials Prepared by 1 Mayor's review 1 Council review RT earlh 'klPn/ v I I I I CAS Number: 03-019 Original Agenda Date: February 18, 2003 Agenda Item Title: Bid Award for the West Valley Hwy Strander Blvd Intersection Improvements Council Admin. Project No. 93 -RW 11 will add one traffic lane and a sidewalk, modify the traffic signal, asphalt overlay and channelization modification to the West Valley and Strander Blvd. intersection. The project was advertised on November 20, 2002 and eleven bids were received and opened on January 3, 2003. The low bid of $439,034.87 was from R.W. Scott Construction Co. References show that R.W. Scott Construction performs quality work in a timely fashion with satisfactory results. Award contract to R.W. Scott Construction Co. Recommend to Regular Council Same as Sponsor. $439,034.87 104/02 Commercial Streets (2003 CIP pg. 45) Attachments Public Works 2/18/03 I Information Memo dated February 4, 2003 Bid Tabulation Transportation Cmte Meeting Minutes from February 10, 2003 ITEMN ISSUE BACKGROUND INFORMATION MEMO TO: Mayor Mullet FROM: Public Works Directo t' i DATE: February 4, 2003 (J SUBJECT: Bid Award West Valley Highway Strander Blvd. Intersection Improvements (Project No. 93 -RW11) Award the bid to R. W. Scott Construction Company for the West Valley Highway Strander Blvd. Intersection Improvement project in the amount of 439,034.87. The proposed intersection improvements at West Valley Highway and Strander Blvd. include widening West Valley Highway south of the intersection to add one traffic lane and a sidewalk, modifying the traffic signal, asphalt overlay, and channelization modifications. The project was advertised on November 20, 2002, and bids were opened on January 3, 2003. Eleven (11) bids were received and R W Scott Construction Company submitted the lowest bid in the amount of 439,034.87, which was 39,379.75 higher than the Engineer's Estimate. ANALYSIS, An analysis of the bids was performed and minor errors were corrected in the tabulation of bids. Correction of these errors did not change the results of the contractor bidding order from lowest bid to highest bid. Following is a summary of the budget vs. the low bid and engineer's estimate: Actual (Low Bid1 Enaineer's Estimate Budget Construction 439,034.87 399,655.12 440,910.00 Const. Engineering 60,000.00 60,000.00 60,000.00 City Contingency 43.903.49 39.965.51 44.090.00 Total 542,938.36 5 499.620.63 5 545.000.00 WSDOT has a future project overlay West Valley Highway within Tukwila and Kent and has agreed to contribute 50,000 to this project for costs related to overlay and channelization. RECOMMENDATION Award the bid to R. W. Scott Construction Company in the amount of 439,034.87. attachment: Bid Tabulation Transportation Committee February 10, 2003 Present: Richard Simpson, Chair; Dave Fenton, Pam Linder Jim Morrow, Gail Labanara, Robin Tischmak, Lucy Lauterbach; Citizen Dennis Robertson, consultant Nelson Davis -KPG 1. West Vallev /Strander Intersection Improvements Bid Award This project has been in the CIP since 1997; it is now ready to be awarded RW Scott was the lowest bidder. The committee asked if the company was deep enough to manage this at the same time as TIB, and was told they can easily manage that. The project bids were higher than anticipated. That problem was solved when WA DOT agreed to pay the City $50,000 for paving West Valley. The lanes east of West Valley will curve to add a new lane. Recommend bid award to RW Scott for $439.034.87 at a Regular Meeting. 2. West Vallev /Strander Proiect Construction Management Entranco won the bid to do construction management on projects like this in the City. Because we have a contract with them already, only a supplement is needed. Construction management will cost $60,000 for the $439,000 project. Recommend Construction Management Agreement to Regular Meeting for approval. 3. 2003 Overlay Proiect Though four firms were short listed for this work, KPG won the award easily, receiving the highest scores from the three scorers. KPG has done this work since 1992, and is known to staff and citizens as a responsible and responsive team. Jim said neither the staff nor KPG has been complacent about the work. Because several of the projects in this year's plan were mostly designed because they were originally scheduled for last year, they won't have too much design work to do. Committee approved design contract of overlay proiects to KPG. 4. Tukwila International Boulevard (TIB) Phase 2 Phase I of TIB is now being built from S. 152 138`". What had been planned as Phase 2 was a section to the south; S. 132 116` and grants have been received for that. However, two things have happened. When Phase 2 was originally planned, leaving a gap in the middle between Phase 1 and Phase 2, grants were easier to come by, and it was assumed the city could get a grant for that last section phase in the future. The second issue was that Sabey built two buildings, and is about to build a third, at about S. 120`h. Staff presented an alternative to move from the current Phase 2 to an alternate Phase 2. The alternate would continue from Phase 1 at S. 138 and go north to the Sabey driveways. Though costs for the two alternatives are in the same range, one big issue is dealing with the two creeks that start (or continue) from TIB. Southgate creek is a lesser problem that will be dealt with in Phase 1. Riverton Creek is a bigger problem because it needs to be drained to the river, which is quite a distance from the highway. The higher range of estimated costs for the alternative, would include a bypass and taking the creek to the river. The old Phase 2 did not deal with the creek. Six cost reduction altematives were listed; three have already been included in the costs, and four could be done to save money. The committee agreed with the staff recommendation for the alternative, but they wanted the whole COW to receive the same information to ensure the whole Council agreed. Staff would need to get approval to move their COUNCIL AGENDA SYNOPSIS \�r r at k A S t e 1908 CAS Number: 03-020 Agenda Item Title: Construction Management Services with Entranco, Supplement No. 1 for West Valley Hwy/ Strander Blvd Intersection Improvements. I Original Sponsor: Timeline: Sponsor's Summary: Meeting Date 2/18/03 Meeting Date 2/18/03 Initials Meeting Date Prepared by 1 Mayor's review 1 Council review 1 2/18/03 RTart 1 6,!e. Li Council aINFO I Original Agenda Date: February 18, 2003 1 1 Admin. Public Works This supplement to contract No. 01 -072 with Entranco will provide construction management services for the intersection improvements at West Valley Hwy and Strander Blvd (Project No. 93- RW11). The $60,000 fee includes a full time on -site construction inspector, contractor surveying, and part-time project management and contract administration. Recommendations: Sponsor: Forward to Regular Council authorizing Mayor to sign Supplement No. 1. Committee. Same as Sponsor. Administration: Same as Sponsor. Cost Impact (if known): $60,000 Fund Source (if known): 104/02 Commercial Streets (2003 CIP pg. 45) Action aRgkIDIG Attachments Information Memo dated February 5, 2003 Supplement No. 1 to Contract Ag 01 -072 Transportation Committee Meeting Minutes from February 10, 2003 ITEMNO. INFORMATION MEMO To: Mayor Mullet From: Public Works Directo� Date: February 5, 2003 Subject: West Valley Highway Strander Blvd. Intersection Improvements Construction Management Services Supplement No. 1 to Agreement No. 01 -072 ISSUE Approve this Supplement No. 1 with Entranco, Inc., for construction management services on the West Valley Highway Strander Blvd. Intersection Improvements project in the amount of $60,000.00. BACKGROUND The construction bid is on the February 10, 2003, Transportation Committee agenda with a recommendation to award the bid at the February 18, 2003, Regular Council Meeting to R. W. Scott Construction Company in the amount of $439,034.87. ANALYSIS The $60,000.00 fee includes a full -time on -site construction inspector, construction survey control setting for contractor surveying, part-time project management and contract administration. This fee meets the budgeted amount of $60,000.00 and is approximately 13.7% of the low construction bid. RECOMMENDATION Approve this Supplement No. 1 with Entranco, Inc., for construction management services on the West Valley Highway Strander Blvd. Intersection Improvements project in the amount of $60,000.00. RT:ad attachment: Supplement No. 1 to Agreement No. 01 -072 Direct Salary Cost $19,148.00 Overhead $27,764.60 Direct Non -Salary Costs $1,707.89 Fixed Fee $5,629.51 Subconsultant Costs" $5,750.00 Includes Materials Testing (Subconsultant) City of Tukwila On -Call Construction Management Services Contract 01 -072 Summary Addendum Supplement No. 1 No. 1 Total $60,000.00 aill, Washington State Department of Transportation Supplemental Agreement Agreement Number Project Number 01 -072 93 -RW 11 Project Title W Valley Hwy /Stander Blvd. Intersection Improve. Description of Work Construction services of the construction contracts to complete improvements at the intersection of W. Valley Highway and Strander Boulevard in the City of Tukwila. The Local Agency of City of Tukwila desires to supplement the agreement entered into with Entranco, Inc and executed on and identified as Agreement No. All provisions in the basic agreement remain in effect except as expressly modified by this supplement. The changes to the agreement are described as follows: Section 1, SCOPE OF WORK, is hereby changed to read: Arcnrdino to Prhihit AA Section V, PAYMENT, shall be amended as follows: Arcnrdiro to Pvhihit 11_9 By: Rirk Pella Exerutive Vire President By. DOT Form 140-063 EF Revised 10/97 c laia Organization and Address Entranco, Inc. 10900 NE 8th Street, Suite 300 Bellevue, Washington 98004 Phone 425 -454 -5600 New Maximum Amount Payable 60,000.00 01 -072 11 Section IV, TIME FOR BEGINNING AND COMPLETION, is amended to change the number of calendar days for completion of the work to read: 111 as set forth in the attached Exhibit A, and by this reference made a part of this supplement. If you concur with this supplement and agree to the changes as stated above, please sign in the appropriate spaces below and return to this office for final action. Consultant Signature Approving Authority Signature ENTRANCO December 13, 2002 City of Tukwila W. Valley Hwy. Strander Blvd. Intersections Improvements P- STPUL -TA96 (157) This phase of work will provide construction services for the construction contracts to complete the improvements at the intersection of West Valley Highway and Strander Boulevard in the City of Tukwila. These services will include necessary inspection, construction engineering, and contract administration required for the construction of the project, as detailed below: I. INTRODUCTION The Consultant will perform the following scope of construction services on the West Valley Highway Strander Blvd. project. Assumptions: The Contract duration is 200 calendar days. With the first notice to proceed, the contractor will proceed with material procurement. During this approximate 2 to 4 month phase, Entranco (Consultant) will review shop drawing information, conduct the preconstruction conference, coordinate with affected agencies utilities, and other related office engineering tasks. Following this material procurement phase will be the construction phase, anticipated to be 2.5 months, or 43 working days. The accompanying budget for the services detailed below is based on one full -time inspector during a 43 working day or approximately 2.5 month construction period. An increase or decrease in the number of working days affects the time an inspector will be on site. Supplemental assistance may be needed depending upon contractor's activities (number of crews). Mileage: For inspection, assume 43 trips at 30 miles round trip from Bellevue and 5 miles on site per day. For meetings, assume 24 trips at 30 miles round trip from Bellevue and miles on site per visit. A job site trailer will be provided as part of the contractor's mobilization and will be equipped with a copy machine, desk, file cabinet, and other items necessary to organize project documentation, track progress of the construction and to allow good communication. Also, the Contractor will add Entranco as additional insured during the course of construction in the event of theft, vandalism, or other incident(s). II. DETAILED SCOPE OF WORK EXHIBIT A -2 Construction Services Scope of Services Task 1 Project Management. Provide overall project management, coordination with the City of Tukwila (Owner), monthly progress reports, and invoicing. This effort will include the following elements. 1.1 Organize and layout work for project staff. Prepare project instructions on contract administration procedures to be used during construction. 1.2 Review monthly expenditures, prepare invoice and submit project progress letter to Owner. Y eeisior3\conslrunion%PROMO\TUKW ILAW Valley Seamier Signai'COnswnion Stomata 1 of 5 ENTRANCO December 13, 2002 Task 2 Construction Survey Construction survey to be provided by the Contractor. Any quality checks or verification surveys performed by the Consultant will be considered additional services, as described under Task 6. Task 3 Preconstruction Services This item of work to include the material procurement stage of work. General tasks include preconstruction meeting, shop drawing and submittal review, schedule review, and other related tasks. 3.1 The Consultant shall prepare an agenda for, distribute notices of the conference, and will conduct a preconstruction conference in the Owner's offices. The Consultant's project manager, contract administrator, and resident inspector will attend the preconstruction conference and will prepare a written record of the meeting. The consultant shall also distribute copies of the minutes to all attendees and affected agencies, staff, etc. The Owner will invite all necessary attendees, to include utilities, WSDOT, and affected agencies. 3.2 Provide one set of preconstruction photographs. 3.3 Review, or cause to be reviewed, Contractor provided submittals for the signal system and related construction. The Consultant will track submittals and provide copies of current submittal logs to the Owner and the Contractor on regular intervals to inform parties as to status. This item shall include review of the proposed project schedule for conformance to project specifications. Task 4 Construction Services Field 4.1 Provide the services of one full -time inspector and supplemental assistants, as needed, on the project site who will observe the technical conduct of the construction, including providing day to day contact with the Contractor and the Owner. By providing such assistance, the Consultant shall assume no responsibility for proper construction techniques and job site safety. The presence of the Consultant's personnel at the construction site is for the purpose of providing to the Owner a greater degree of confidence that the completed work will conform generally to the Contract Documents and that the integrity of the design concept as reflected in the Contract Documents has been implemented and preserved by the construction contractor(s). The Consultant's personnel shall act in accordance with Section 1 -05.1 and 1 -05.2 of the current WSDOT Standard Specifications. The Consultant will endeavor to protect all parties against defects and deficiencies in the work of the Contractor(s), but cannot guarantee the Contractors' performance and shall not be responsible for construction means, methods, techniques, sequences of procedures, or for safety precautions and programs in connection with the work performed by the construction contractor(s) and any subcontractors. 4.2 'Prepare daily construction reports, detailing the contractors operations performed for each day the Consultant is on site; measure the quantities of materials installed, log equipment and staff used, and other items. 4.3 Decide questions which may arise as to the quality and acceptability of material furnished, work performed, and rate of progress of work performed by the Contractor, including response to related questions from adjacent property owners and the general public. 4.4 Prepare field records and documents to help assure the project is administered in accordance with Federal, State, and /or funding agency requirements. 4.5 Attend and actively participate in weekly on -site meetings. 4.6 Provide periodic photographs during the course of construction. Photographs to be labeled with date taken and subject matter. 4.7 Punch list. Upon substantial completion of work, coordinate with the Owner and other affected agencies, to perform a project inspection and develop a comprehensive 'punch list' of items to E 4312thsscooe.doc Page 2 of 5 ENTRANCO December 13, 2002 be completed. This will be issued with the Certificate of Substantial Completion, which will be issued by the Consultant 4.8 Coordinate and manage testing subconsultants for construction services. Provide materials testing services as identified below. Coordinate the work of the resident inspector(s) and testing laboratories in the observation and testing of materials used in the construction; document and evaluate results of testing; and address deficiencies. Estimated materials testing services are tabulated below Service or test procedure Est. Qtv. A. Crushed rock and gravel materials i. Field sampling 2 sets ii. Mileage [estimate no. of days round trip mileage] 30 miles iii. Sieve Analysis 2 each iv. In place density tests 6 hours v. Proctor analysis (assume modified proctor) 2 each B. Concrete i. Field testing for air and slump 8 hours ii. Concrete cylinders (1 set 3 cylinders) 2 sets C. Asphalt Concrete Pavement (ACP) i. In place density tests 8 hours ii. Extraction 2 each iii. Gradation including percent fractured face 2 each iv. Stability test 1 each Task 5 Construction Services Office 5.1 Day to day project management: liaison with Owner on a regular basis to discus project issues and status; and management of subconsultants and Consultant's staff. 5.2 Provide administrative and support services during construction which are not included in the above scope of services, which may include: a. Investigations, meetings, and negotiations with the Contractor involving claims and legal complaints, or a significant amount of defective or rejected work. A "significant amount" would be an item that might represent more than 2.5 percent of the total contract bid amount. b. Additional work resulting from delinquency or insolvency of the Contractor; or as a result of damage to the construction project caused by fire, flood, earthquake or other acts of God, all exclusive of additional work resulting from litigation. c. Additional work resulting from strikes, walkouts, or other acts of trade or labor unions or work required to resolve disputes or goals involving minorities. Additional work resulting from significant delays or acceleration of the work by the Contractor. d. Assistance to legal, financial, or other consultants engaged by the City beyond the services previously described. 5.3 Plan Interpretations change orders. Provide technical interpretations of the drawings, specifications, and contract documents, and evaluate requested deviations from the approved s:%consrorome Page 3 of 5 ENTRANCO December 13, 2002 design or specifications. Develop minor change orders and provide technical assistance to negotiate the change orders. It is assumed that there will be no more than 4 minor change orders. Additional change orders will be conducted under Task 6 Additional Services. 5.4 Weekly meetings. Lead weekly meetings, including preparing agenda, meeting minutes, and distributing copies of minutes to attendees. Outstanding issues to be tracked on a weekly basis. Contractor to provide a 3 week schedule of upcoming work at each meeting. 5.5 Record drawings. Revise the original drawings and submit to the City, upon completion of the work, using available information supplied by the Contractor(s), on site representative personnel, suppliers, and other sources. Contractor shall provide as -built information detailing final location of installed items based on the same pattern as conducted for initial design. The Owner shall supply original mylars to the Consultant. The Consultant shall provide one set of original red -ink on mylar record drawings and one set of bond copies. The Consultant shall retain one set of bond copies for their records. 5.6 Monthly Pay Requests. Prepare monthly requests for payments, review with Owner and contractor and approve, as permitted. 5.7 Project Management Review. Participate in 2 project management reviews, including time to perform internal audits on project documentation, preparing files for review, and responding to questions by the reviewing agency. 5.8 Assist the Owner in the investigation of malfunctions, failures, or accidents during construction. 5.9 Assist the City with media communications of project status. The Consultant will coordinate media releases and traffic advisory updates if requested by the City. This item of work will include preparation of notices to adjacent property owners of upcoming construction activities and updates of project status on an approximate monthly basis. 5.10 Project Close -out. Transfer necessary records and prepare project records for project closure. Task 6 Additional Services The services described under this task, and any other additional services requested by the Owner, will be performed only when authorized by the Owner. Authorization to perform additional services will be in the form of an addendum to this agreement, specifying the work to be performed, and basis of payment. 6.1 Prepare additional copies of approved drawings, specifications, and other contract documents, either for bidding purposes, or as requested by the City, Contractor, Agencies, or others. 6.2 At the conclusion of the bidding process, prepare a conformed set of drawings and specifications incorporating all addendum's' and distribute. 6.3 Provide assistance to the City if rebidding is necessary. 6.4 Provide record drawings on media other than described previously, including electronic or scanned images of the record drawings. Also, providing additional sets beyond what is specified above. 6.5 Perform quality control survey or other survey tasks requested by the Owner. 6.6 Organize and aid in conducting a partnering workshop to be attended by the relevant project stakeholders, including securing meeting space, retaining catering service, and securing the services of a trained partnering facilitator. 6.7 Provide any additional services resulting from changes in scope or design of the project due to circumstances beyond the Consultant's control. Changes include, but are not limited to, changes in size, complexity, the schedule, character of construction, or method of financing. s:'consn orno∎S3121hUCOpe.doc Page 4 of 5 ENTRANCO December 13, 2002 6.8 Prepare and maintain a project web site showing current construction progress and traffic impacts. Deliverables Preconstruction Conference Minutes ii. Survey grade sheets provided to the Contractor Daily Reports on a [monthly weekly]. basis iv. Test reports v. Record Drawings —1 set original mylars, 1 bond copy vi. Construction Photographs —1 set, including preconstruction photographs. vii. Weekly meeting minutes viii. Certificate of Substantial Completion and punch list General Notes It is further understood and agreed that because Consultant did not prepare the Contract Documents for the .project, Client waives all claims against Consultant arising from or in any way connected with errors, omissions, conflicts or ambiguities in the Contract Documents prepared by others. In addition, Client agrees, to the fullest extent permitted by law, to indemnity and hold Consultant harmless from any damage, liability or cost, including reasonable attorneys' fees and defense costs, arising from any errors or omissions contained in the plans, specifications or other Contract Documents prepared by others, except for the negligence or willful misconduct of the Consultant. slconsroromo\$3121M1cope.doe Page 5 of 5 4( Transportation Committee February 10, 2003 Present: Richard Simpson, Chair; Dave Fenton, Pam Linder Jim Morrow, Gail Labanara, Robin Tischmak, Lucy Lauterbach; Citizen Dennis Robertson, consultant Nelson Davis -KPG 1. West Vallev /Strander Intersection Imurovements Bid Award This project has been in the CIP since 1997; it is now ready to be awarded. RW Scott was the lowest bidder. The committee asked if the company was deep enough to manage this at the same time as TIB, and was told they can easily manage that. The project bids were higher than anticipated. That problem was solved when WA DOT agreed to pay the City $50,000 for paving West Valley. The lanes east of West Valley will curve to add a new lane. Recommend bid award to RW Scott for $439.034.87 at a Regular Meeting. 2. West Vallev /Strander Proiect Construction Management Entranco won the bid to do construction management on projects like this in the City. Because we have a contract with them already, only a supplement is needed. Construction management will cost $60,000 for the $439,000 project. Recommend Construction Management Agreement to Regular Meeting for approval. 3. 2003 Overlay Proiect Though four firms were short listed for this work, KPG won the award easily, receiving the highest scores from the three scorers. KPG has done this work since 1992, and is known to staff and citizens as a responsible and responsive team. Jim said neither the staff nor KPG has been complacent about the work. Because several of the projects in this year's plan were mostly designed because they were originally scheduled for Last year, they won't have too much design work to do. Committee approved design contract of overlay proiects to KPG. 4. Tukwila International Boulevard (TIBI Phase 2 Phase I of TIB is now being built from S. 152 138` What had been planned as Phase 2 was a section to the south; S. 132 116 and grants have been received for that. However, two things have happened. When Phase 2 was originally planned, leaving a gap in the middle between Phase 1 and Phase 2, grants were easier to come by, and it was assumed the city could get a grant for that last section phase in the future. The second issue was that Sabey built two buildings, and is about to build a third, at about S. 120 Staff presented an alternative to move from the current Phase 2 to an alternate Phase 2 The alternate would continue from Phase 1 at S. 138 and go north to the Sabey driveways. Though costs for the two alternatives are in the same range, one big issue is dealing with the two creeks that start (or continue) from TIB. Southgate creek is a lesser problem that will be dealt with in Phase 1. Riverton Creek is a bigger problem because it needs to be drained to the river, which is quite a distance from the highway.. The higher range of estimated costs for the alternative, would include a bypass and taking the creek to the river. The old Phase 2 did not deal with the creek. Six cost reduction alternatives were listed; three have already been included in the costs, and four could be done to save money. The committee agreed with the staff recommendation for the alternative, but they wanted the whole COW to receive the same information to ensure the whole Council agreed. Staff would need to get approval to move their Meeting Date 03-021 Meeting Date 02 -18 -03 Agenda Item Title: Original Sponsor: Timeline: Sponsor's Summary: Recommendations: Sponsor: Committee: Administration: I Cost Impact (if known): I Fund Source (if known): Initials Meeting Date Prepared by 1 Mayor's review Council review 7/18/03 RS t29 Council Recommends Award of Contract. Same as sponsor Same as sponsor $133,018.60. Golf Course CIP, Enterprise Fund. Admin. Parks Recreation Action ITEM Na Foster Golf Links Clubhouse Asbestos Abatement and Demolition Contract Award The Parks and Recreation Department utilized the Small Works Roster process to obtain seven (7)- qualified bidders for the Foster Golf Links Clubhouse Asbestos Abatement and Demolition Project. Seven sealed bids were received and publicly open on February 11, 2003. It is recommended that the City Council Approve the Mayor to execute the contract with Wm. Dickson Co. in the amount of $120,926.00 including state sales tax and authorize a 10% contingency fund of $12,096.00. Attachments Memo. to Council from Rick Still dated 02 -12 -03 Small Works Roster Bid Opening Results Matrix Copy of Proposal submitted by Wm. Dickson Co. Copy of minutes from 02 -11 -03 Community Affairs Parks Meeting City of Tukwila Parks Recreation Department MEMORANDUM TO: Mayor and City Council FROM: I• Rick Still, Assistant Director of Parks and Recreation DATE: February 12, 2003 SUBJECT: Foster Golf Links Clubhouse Asbestos Abatement and Demolition Contract Award RECOMMENDATION: Staff recommends that the City Council authorize the Mayor to execute the Construction Contract Documents for the Foster Golf Links Clubhouse Asbestos Abatement and Demolition to Wm. Dickson Co. of Tacoma, Washington in the Amount $111,145.00 Plus $9,781.00 Sales Tax Totaling $120,926.00 and authorize a 10% construction contingency equaling $12,092.00. The total budget impact would be no greater than $133,018.60. BACKGROUND: To construct the new clubhouse and golf course improvements the existing buildings need to be demolished and the surrounding area graded. It is time and cost effective to perform this work now before the future construction projects are publicly bid. Two bids were received within staffs construction estimate range of $106, 624 to $128,324 including tax but not including the tree salvage work. The Parks and Recreation Department utilized the Small Works Roster process to obtain seven (7)- qualified bidders for the Foster Golf Links Clubhouse Asbestos Abatement and Demolition Project. Seven sealed bids were received and publicly open on February 11, 2003. The apparent most responsible bidder was Wm. Dickson Co. in the amount of $120,926.00 including state sales tax. Staff performed a more thorough investigation of Wm. Dickson Co. and has determined them to be the most responsible low bidder. DISCUSSION: There are several items included in the project Scope of Work that are note worthy. Bid Schedule A is only for Asbestos Abatement. We had an Asbestos Consultant, Pacific Rim Environmental, perform an Asbestos Survey and their Certified Plans Developer prepared the necessary specifications to abate the asbestos in the most environmentally friendly and cost effective method. The specifications include a 72 -hour delay from Asbestos Abatement to Construction to allow the City of Tukwila's Fire Department search and rescue operation in the "green" house. Steven M. Mullet, Mayor Bruce Fletcher, Director The Center of YOUR Community 12424 42nd Ave. S. Tukwila, Washington 98168 Phone: 206 768 -2822 Fax: 206 768 -0524 Memorandum to the City Council from Rick Still February 12, 2003 Page 2 Bid Schedule B includes Demolition of the structures and grading of the construction site, salvaging 12 whole evergreen tree structures, and a deduction value for the Capital Kitchen Equipment. Demolition of the five structures includes removing the structures once the asbestos is removed, backfilling of the basements and root balls as necessary, cutting the hill near the entrance and filling the soil into the low area near the practice green. The 12 whole evergreen tree structures are being pushed over, cut and cleaned as specified by the City's Fish Biologist at a $4,000 cost to provide fish habitat enhancements at the Codiga Farm Park site. The Capital Kitchen Equipment is being disposed of by a "Call of Bids" through this construction bid process as outlined in TMC 2.64, Sale of City Property. The total fair market value of $3,355.00, as set by our kitchen equipment appraiser, was credited (deducted from the bid amount) in the recommended bidder's proposal. When the Contract Documents are executed, the successful contractor will own the kitchen equipment. PROPOSED PROJECT SCHEDULE: The most desirable Project schedule reviewed at the Pre Bid meeting is as follows: Contract Documents February 18 Bid Award February 18 Notice To Proceed* February 19 Project Completion April 4 A 10 -day wait period for an EPA permit. After receiving the permit, Abatement, and Demolition should begin March 3, the 14 Asbestos Abatement days begins after the permit is received, and pending no unforeseeable issues; the project should be completed by April 4. cc: John McFarland, City Administrator Bruce Fletcher, Director of Parks Recreation Attachments: 1 Bid Opening Results 2 Wm. Dickson Co.'s Proposal BIDDER NAME (listed opened in the order received) PERFORMANCE ABATEMENT SERVICES, INC. PDG, INC. WM. DICKSON CO. WALKER SPECIALTY CONSTRUCTION, INC. GRAYHAWK CONSTRUCTION, INC. LONG SERVICES NUPRECON STAFF ESTIMATE CITY OF TUKWILA OFFICE OF THE CITY CLERK SMALL WORKS ROSTER BID OPENING FOSTER CLUB HOUSE ASBESTOS ABATEMENT AND DEMOLTION PROJECT Date of Opening: February 11, 2003 3:00 p.m. Conference Room #3 BID ADDENDUMS ACKNOWLEDGED YES 2 YES 2 YES 2 YES 2 YES— 2 YES 2 YES 2 N/A DATED this 11th day of February, 2003 Jane E. Cantu, CMC, City Clerk TOTAL BID PRICE INCLUDING WASHINGTON STATE SALES TAX $153,021.76 $210,256.00 $120,926.00 $160,821.63 $233,424.60 $196,543.94 $122,845.00 $106,62400? 13flikEL-- Attachment 1 February 12, 2003 The above figures appear as written within bid documents; and as read aloud at the bid opening. They do not however, represent ANY bid award; apparent low, or otherwise. Robert H. Baker, CMC PROPOSAL (Lump Sum) Contractor's Name Wm. Dickson Co. Contractor's State License No. WMDICC *108.17 City of Tukwila Project No. 89 -BG09 GOLF 03 -01 C an Attachment 2 February 12, 2003 -1 To the Mavor and City Council, City of Tukwila, Washington The undersigned (Bidder) hereby certifies that he personally examined the location and construction details of Work outlined in the Contract Documents for the City of Tukwila (Owner) project titled Foster Golf Links Asbestos Abatement and Demolition Project, which project includes but is not limited to: Asbestos Abatement, Demolition of five structures, site clearing, earthwork, and restoration of grades; and has read and thoroughly understands these Documents which govem all Work embraced in this improvement and the methods by which payment will be made for said Work, and thoroughly understands the nature of said Work; and hereby proposes to undertake and complete all Work embraced in this improvement in accordance with these Contract Documents and at the following schedule of rates and prices. The Bidder understands that the quantities mentioned herein are approximate only and are subject to increase or decrease, and hereby proposes to perform all quantities of work as either increased or decreased in accordance with the Contract Documents. Bidder understands that, should this offer be accepted by Owner within ninety (90) calendar days after the day of Bid Opening and the Bidder fails or refuses to enter into an Agreement and fumish the required bonds and liability insurance within ten (10) calendar days after Notice of Award, the bid may be considered null and void and rejected. Bidder shall complete the Physical Work in all respects within 30 calendar days from the date of written Notice to Proceed. If the work is not completed within this time period, Bidder shall pay liquidated damages to Owner as specified in Section 1 -08.9 of the Standard Specifications for every calendar day work is not physically complete after the expiration of the Contract time stated above. In addition, Bidder shall compensate Owner for actual engineering inspection and supervision costs and any other legal fees incurred by Owner as a result of such delay. Foster Golf Links Asbestos Abatement &Demolition Project 02/01/03 Proposal SCHEDULE "A" ASBESTOS ABATEMENT: The preparation, mobilization. removal, and disposal of asbestos and /or asbestos bearing materials and equipment as specified in this project manual and shown on related drawings. The sum of: Amount in writing: SCHEDULE `B.1 DEMOLITION: Demolition of five structures, site clearing, earthwork, restoration of grades, as specified in this project manual and shown on related drawings, excluding B.2. Amount in writing: eighty nine thousand, five hundred dollars Amount in numbers: 89, 500.00 SCHEDULE "8.2" "WHOLE" TREE STRUCTURE SALVAGE OF 12 EVERGREEN TREES, as specified in Section 02221. four thousand dollars Amount in writing: Amount in numbers: $,000.00 SCHEDULE "B.3" DEDUCT FOR VALUE OF CAPITAL KITCHEN EQUIPMENT, as specified in Section 02221. This will be a negative number to give credit for the equipment. The equipment listed in attachment B, attached as part of this bid proposal, will become the property of the successful Contractor. Amount in writing: three thousand three hundred fifty five dollars Amount in numbers: 3, 355.00) SCHEDULE B TOTAL (Sum Schedule 13.1 B.2 B.3) 90, 145.00 SUBTOTAL (Sum Schedule A B) SALES TAX 8.8 °A SCHEDULES A, B GRAND TOTAL BID AMOUNT 120, 926.00 By signing below, Bidder acknowledges receipt and understanding of the following Addenda to the Bid Documents: Addendum No. Addendum No. Date of Receipt Date of Receipt 1 2 ADENDUM NO. 1, P Replacement P -2 February 7, 2003 twenty one thousand dollars and no cents Amount in numbers: 21,000.00 /0 111,145.00 3 4 9,781,00 Foster Golf Links 02/01/03 Replaced 02 -07/03 Asbestos Abatement Demolition Project Proposal p.3 NOTE: Failure to acknowledge receipt of Addenda may be considered as an irregularity in the Bid Proposal and Owner reserves the right to determine whether the bid will be disqualified. By signing below, Bidder certifies that he has reviewed the insurance provisions of the Bid Documents and will provide the required coverage. It is understood that Owner may accept or reject all bids. The Surety Company that will furnish the required Performance Bond is Richard L. Dickson of 3315 So. Pine, Tacoma, WA 98409 (Name) (Address) Bidder: Signature of Authorized Official: Printed Name and Title: Address: Wm. Dickson Co. 74 Richard I f)irkcnr, Virp Presidpn+ 3315 So. Pine. Tacoma. WA 98409 Circle One: Individua/Partnership /Joint Venture/ State of Incorporation: Washington t o poratii n Phone No.: 7;1- 072 -448Q Date: February 1% 7 no This address and phone number is the one to which all communications regarding this proposal should be sent. NOTES TO BIDDERS: 1) the Bidder is a co- partnership, give fine name under which business is transacted; proposal must be executed by a partner. If the Bidder is a corporation, proposal must be executed in the corporate name by the president or vice president (or any other corporate officer accompanied by evidence of authority to sign). 2) Bid must be received on all items. It any unit prices or extensions are left blank they will be entered as 50.00 no charge. Foster Golf Links 02/01/03 Asbestos Abatement Demolition Project STATE OF WASHINGTON ss. COUNTY OF KING My appointment expires: SEAL 4- 4'l• Y- NON COLLUSION AFFIDAVIT The undersigned, being first duly sworn, on oath states that the person, firm, association, partnership, joint venture, or corporation named in the Bid Proposal has not, either directly or indirectly, entered into any agreement, participated in any collusion, or otherwise taken any action in restraint of free competitive bidding in connection with the City of Tukwila project named Foster Golf Links Asbestos Demolition Project, Project No. 89 BG09 GOLF 03 11th day of February Signed and sworn to before me on this Signature of Notary Public in and for the State of Washington Wm. Dickson Co. Y Naafis Richard L. Dickson Signature of Authorized Official Vice President Title NN ES 7.2 stl 3NS4EN7�c+ A eP• NOT ARY O t PUBLIC E 1% ?fi 17,�pOt•r1SC)S g ,20 Foster Golf Links 02/01/03 Asbestos Abatement Demolition Project P-4 Attach additional sheets as necessary to fu!!y provide the information required. Name of Bidder: Address of Bidder: Tacoma City Contractor's License No. Dept. of L &I Bond Registration No. 081S103568154BCM Worker's Comp. Acct. No. Bidder is a(n): 0 Individual Partnership Joint Venture Incorporated in the state of WA List business names used by Bidder during the past 5 years if different than above: Bidder has been in business continuously from 1937 Year Bank Reference KevBank of Washington John Roval Bank Account Officer No. of regular full -time employees: 40 Number of projects in the past 5 years completed: 50+ ahead of schedule 100+ on schedule in behind schedule Bidder has had experience in work comparable to that required for this Project: As a prime contractor for 65 years. As a Subcontractor for 0 years. List the supervisory personnel to be employed by the Bidder and available for work on this project (Project Manager, Principal Foreman, Superintendents, and Engineers): Name Ted Pagceot Doug Lhotka Brian Cross Jaqueline Kirouac Wm. Dickson Co. RESPONSIBLE BIDDER DETERMINATION FORM 3315 So. Pine St. WM DICC *108J7 Foster Golf Links Asbestos Abatement Demolition Project Washington State Contractor's State Tax No. Title How Lono With Bidder Project Manager Supervisor Supervisor Asbestos Supervisor 15+ years 15+ years 20+ years 7 years 98409 Zip Code C 278 045 472 094,534 -00 5 253- 305 -7388 Officer's Phone No. P -5 02/01/03 Responsible Bidder Determination Form P List all those projects, of similar nature and size, completed by Bidder within the past 5 years. Include a reference for each. Any attached preprinted project listing must include all this information. Year Contract Project Name Completed Amount Owner /Reference Name and Phone Attached List all projects undertaken in the last 5 years which have resulted in partial or final settlement of the Contract by arbitration or litigation in the courts: None Name of Client and Proiect Has Bidder, or any representative or partner thereof, ever failed to complete a contract? 12i No Yes If yes, give details: Has Bidder ever had any Payment/Performance Bonds called as a result of its work? XXNo 0 Yes If yes, please state: Proiect Name Total Claims Amount of Contract Arbitrated Settlement Amount or Litigated of Claims Contractina Party Bond Amount Has Bidder ever been found guilty of violating any State or Federal employment laws? 10(No Yes If yes, give details: Foster Golf Links 02/01/03 Asbestos Abatement Demolition Project Responsible Bidder Determination Form p_ Has Bidder ever filed for protection under any provision of the federal bankruptcy laws or state insolvency laws? df No 0 Yes If yes, give details: Has any adverse legal judgment been rendered against Bidder in the past 5 years? IS No 0 Yes If yes, give details: Has Bidder or any of its employees filed any claims with Washington State Workman's Compensation or other insurance company for accidents resulting in fatal injury or dismemberment in the past 5 years? KDQVo 0 Yes If yes, please state: Date The undersigned warrants under penalty of Perjury that the foregoing information is true and accurate to the best of his/her knowledge. The undersigned authorizes the City of Tukwila to verify all information contained herein. Signature of Bidder Title: Vice President hoe of him Aaencv Receivina Claim Date: February 11, 2003 Foster Golf Links 02/01/03 Asbestos Abatement Demolition Project Equipment to be used: DESCRIPTION/TYPE Attached PROPOSED EQUIPMENT AND LABOR SCHEDULE (Use additional sheets if required) YEAR CONDITION OWN /RENT Labor to be used: (1) asbestos supervisor, (4 -5) asbestos workers, (1) demolition supervisor, (1 -2) operators, (3 -4) teamsters, (1 -2) general laborers Wm. Dickson Co. Name of ?Udder Signature of Authorized Official Vice President Title P -8 Foster Golf Links 02/01/03 Asbestos Abatement Demolition Project PROPOSED SUBCONTRACTORS Name of Bidder Wm. Dickson Co. The following is a list of the heating, ventilation and air conditioning, plumbing and electrical subcontractors that will be used in the work if the Bidder is awarded the contract. In accordance with RCW 39.30.060, revised in 1999, this only applies to contracts expected to cost one million dollars or more. The successful Bidder must have the written permission of the Owner to make any change to this list. Percent of total bid to be performed by Bidder 100 None Name Schedule /Bid Item Numbers Subcontractor will perform of Total Bid Foster Golf Links 02/01103 Asbestos Abatement Demolition Project P -9 Serial Brand, Model SR #510319 Gary Safe Co 1Small dry fire extinguishers AAA ..1.(12 m_ 3 US Range MD #PF36G228A 1 SR #020883XX 'Natural Gas Range 'Blue color stacking chairs ;572)— I !Tables for four (10) Virtro Brand 9000 -18 N/A N/A N/A AAA Lambertso N/A N/A Wolf NSC N/A Travelsen Model TVC 3 -32 FOSTER GOLF LINKS Inventory of City -Owned Equipment Page 1 City of Tukwila Parks and Recreation Department FOSTER GOLF LINKS MINIMUM BID FOR CITY -OWNED EQUIPMENT Item Description General Comments Tables for six (51 ;system Stainless steel tables for dishwasher (2) Two- door freezer chest small 3' x 3', white (by cash register) In restaurant office, concrete '1) Kitchen, 2) Upstairs door, 3) Bar, 4) Downstairs In kitchen Upstairs In restaurant n restaurant Stainless steel bus carts (2) 1) Kitchen, 2Bar 'Stove fire extinguisher Guard Wet Chem Fire (In Kitchen) In kitchen for Auto Chlor dishwasher (dishwasher is eased) In restaurant In restaurant, not operable Moved 50 chairs downstairs 1/26/89_ Soda fountain 70 padded chairs and 8 folding tabte (8 k) Wolf Grooved Griddle Char broiler Work table, stainless table 'plus 2 shelves 1 6- Drawer Refrig Equipment ':.Stand w /stainless overshelf Needs new seals on drawers 14 Hole Electric Steam Table, )Duke wino pans Rusted Out M inimum Bid allowed. In kitchen In kitchen Minimum Contractors Bid Bid 0 40 200 200 3601 360 2001 200 1751 175 1501 i co 4001 400 475 475 300 300 01 0 3501 3co 1551 155 01 0 5501 550 01 0 3355 401 TOTAL BID PRICE FOR ALL EQUIPMENTS 3.355.0. I NOTE: This amount should be carried over for Bid Schedule B.3 2/1/2003 Wm. Dickson Co. Customer References Department of the Army (IDIQ Phase VI Contract) Demolition, UST Removal, Site Work, Asbestos PCB Abatement Date: 11 /00 Present Tacoma School District (Broadview Apartments Demo) Demolition, Asbestos Lead Abatement Date: 12/02 1/03 City of Kent (Various Structures Demolition) Demolition, Site Work, UST Removal, Asbestos Abatement Date. 4/02 —12/02 City of Tacoma (Various Structures Demolition) Demolition, Site Work, UST Removal, Asbestos Lead Abatement Date: 6/02 7/02 Department of the Army (Fort Lawton Area 500) C/o Gary Struthers Construction Co. Demolition Site Development Date: 3/02 5/02 Morrison Knudsen Corporation (Harbor Island —T18 Project) Demolition, Hazardous Waste, Asbestos, Lead, PCB Abatement Date: 11/99 9/01 Rushforth Construction (Woolworth Building) Demolition, Asbestos Lead Abatement Date: 11 /00 —1 /01 University of Washington (Jefferson Bldg. Removal) Demolition, UST Removal, Asbestos PCB Abatement Date: 7/00 9/00 Seattle Housing Authority (Holly Park Phase II) Demolition, Site Restoration, Asbestos PCB Abatement Date: 11/99 4/00 Contact: Eddie Pena (253) 966-1751 Contact: Steen Neilson (253) 571 -3350 Contact: Shane Gilbertson (253) 856-5100 Contact: Dan McConaughy (253) 591 -2047 Contact: Robin Larson (425) 519-0300 Contact: Tom Rossman (206) 464 -9044 Contact: Eric Nelson 53) 922-1884 Contact: Deidra Miller (253) 692-4484 Contact: Carter Hart (206) 615-3525 WM. DICKSON CO. EQUIPMENT LIST BACKHOES: Case 580 Rubber Tire Backhoe John Deere 310 Rubber Tire Backhoe John Deere 310 Backhoe w /1000 ft Ib. Hammer CAT 416 Rubber Tire Backhoe CAT 330 Backhoe Komatsu PC 200 Backhoe Komatsu PC 300 Backhoe Komatsu PC 300 Backhoe w /Long Reach Komatsu PC 400 Backhoe Komatsu PC 400 w /5,000 ft lb. Hammer Hitachi UH 172 Backhoe Caterpillar 245 Backhoe CRANES: P &H 670 Crane P &H 670 Crane wBreaking Ball LOADERS: Komatsu 250 Rubber Tire Loader (2) Hough H -90 Rubber Tire Loader John Deere 744 Rubber Tire Loader (2) Komatsu 500 Rubber Tire Loader Komatsu 600 Rubber Tire Loader (7.5yd bucket) DOZERS (2) John Deere 450 Dozer John Deere 650 G Dozer GRADER: CAT 140H Grader COMPACTORS: (2) Dynapac CA251 Vibrating Roller TRUCKS: (1) 10 Yard Dump Truck (2 -axle) (1) 10 Yard Dump Truck w/Pony Trailer (1) 25 Yard Trailer (concrete, dirt, asphalt) (1) Drop Box Truck w/Various Container Sizes (3) 25 Yard Side -dump Trailer (concrete, dirt, asphalt) (1) 40 Yard Trailer (wood misc. debris) (2) 50 Yard Trailer (wood misc. debris) (2) 60 Yard Trailer (wood misc. debris) (1) 70 Yard Trailer (wood misc. debris) (1) 100 Yard Trailer (wood misc. debris) (1) 120 Yard Trailer (wood misc. debris) (1) 140 Yard Trailer (wood misc. debris) (1) Water Truck (1) Fuel Truck Community and Parks Committee February 11, 2003 Present: Joan Hernandez, Chair; Joe Duffie, Pam Carter (for Jim Haggerton), Bruce Fletcher, Rick Still, Steve Lancaster, Minnie Dhaliwal, John McFarland, Lucy Lauterbach; Dennis Robertson 1. Foster Clubhouse Demolition Bids for demolition of the clubhouse were opened today, and the low bidder of seven bidders was Wm Dickson Co. Their price was a little higher than anticipated, but it includes additional grading and clearing that would have been done in the construction phase, so the additional money is coming from the construction phase for that. Rick said Dickson has been around for 25 years, and he had worked with them at a previous job where they had done good work. Some trees from the golf course can be used at Codiga Farm. A private party is buying the kitchen equipment at the clubhouse for $3,000, so new equipment will be purchased for the new clubhouse kitchen. The city will own the equipment, and the concessionaire will lease it to pay it down, at which time the city will buy it back at its depreciated cost. Recommend bid award to Reaular Meetina. 2. Manufacturina and Industrial Center Study The Council had asked for information about allowing offices in the industrial area of Tukwila, so additional studies were done. King County Planning Policies have recommended that cities discourage land uses not compatible with manufacturing and industrial uses, and that they limit the size of offices and retail unless they are an accessory use to an industry. Tukwila's Comprehensive Plan also does not allow uses that are unrelated to manufacturing and industry. There is a limited amount of industrial land in King County, and the reports envision the need for such land remaining and perhaps increasing into the future, though how and how much it will grow is unknown. The work done in industrial areas brings in more new money to the region rather than offices, which shift money within the region. Another issue is that because offices are valued higher than manufacturing uses, offices on industrial lands can drive up the price for industrial land, making it unavailable for manufacturing and industry, while remaining not extremely attractive to other offices. An issue raised by offices is the city's process of programmatic EIS work to allow companies to do remodels without full EIS work (because they fill out general information before the Programmatic EIS). These do not include detailed transportation analyses. Offices would have impacts on traffic that manufacturing and industry do not have. Staff had outlined five policy options for Council regarding offices in the industrial areas. One option would recognize existing offices; others would allow office use as a permitted use with or without size restrictions. Steve L asked if this was an issue the committee thought the Council would like to consider in 2003, or refer to the 2004 update. Pam said it should be done in '03 if it fits in the work plan of DCD. Joan wanted it to be taken to Council to at least get them familiar with the issue even if it's not formally decided upon until next year. Joan asked if offices would be conditional uses in industrial areas, and Steve said they could be in the future if wanted, but are not now. EXHIBIT C STARFIRE SPORTS FACILITIES The FACILITIES will be comprised of 13 athletics fields, consisting of an athletic center building housing two indoor soccer fields, and associated facilities, one outdoor soccer stadium field, six outdoor soccer fields, and four or more softball fields and other athletic and recreational facilities that may be developed in conjunction therewith. The FACILITIES may provide on the PREMISES for a range of field sports and community events, including but not limited to soccer, softball and baseball, rugby, lacrosse, and cricket. AGREEMENT 50367676.02 Exhibit C