HomeMy WebLinkAbout2012.03.19 Council Meeting Packet AGENDA
PASCO CITY COUNCIL
Regular Meeting 7:00 p.m. March 19, 2012
1. CALL TO ORDER
2. ROLL CALL:
(a) Pledge of Allegiance
3. CONSENT AGENDA: All items listed under the Consent Agenda are considered to be routine by the
City Council and will be enacted by roll call vote as one motion (in the form listed below). There will be
no separate discussion of these items. If further discussion is desired by Councilmembers or the public,
the item may be removed from the Consent Agenda to the Regular Agenda and considered separately.
(a) Approval of Minutes:
1, Minutes of the Pasco City Council Meeting dated March 5, 2012.
(b) Bills and Communications: (A detailed listing of claims is available for review in the Finance
Manager's office.)
1. To approve General Claims in the amount of $874,851.44 ($127,530.41 in the fonn of
Electronic Fund Transfer Nos. 9389, 9391, 9425-6, 9431, 9436 and 9448; and $747,321.03
in the form of Wire Transfer Nos. 1187 and 1188; and Claim Warrants numbered 186739
through 186756).
2. To approve bad debt write-offs for utility billing, ambulance, cemetery, general accounts,
miscellaneous accounts, and Municipal Court (non-criminal, criminal and parking) accounts
receivable in the total amount of$171,082.55 and, of that amount, authorize $134,153.35 be
turned over for collection.
(c) Interlocal Agreement for Child Abuse investigation:
1. Agenda Report from Stan Strebel,Deputy City Manager dated March 2, 2012.
2. Proposed Agreement.
To approve the Interlocal Agreement for Child Abuse Investigation and, further, authorize
execution of the document.
(RC) MOTION: i moue to approve the Consent Agenda as read.
4. PROCLAMATIONS AND ACKNOWLEDGMENTS:
(a)
(b)
(c)
5. VISITORS-OTHER THAN AGENDA ITEMS:
(a)
(b)
(c)
6. REPORTS FROM COMMITTEES AND/OR OFFICERS:
(a) Verbal Reports from Councilmembers
(b) Financial Services Manager: General Fund Operating Statement through February 20i 2,
(c)
7. PUBLIC HEARINGS AND COUNCIL ACTION ON ORDINANCES AND RESOLUTIONS
RELATING THERETO:
(None)
Regular Meeting 2 March 19,2012
8. ORDINANCES AND RESOLUTIONS NOT RELATING TO PUBLIC HEARINGS:
(a) Utility Asset Transfer:
1. Agenda Report from Dunyele Mason,Finance Manager dated March 9, 2012.
2. Vicinity Map.
3. Process Water Reuse Facility Projection.
4. Economic Development Fund Projection.
5. Proposed Ordinance Amending PMC 3.130 Industrial Development Fund.
b. Proposed Resolution Authorizing Transfers.
7. Proposed Resolution Authorizing an Interf uid Loan.
Ordinance No. , an Ordinance amending Chapter 3.130 of the Pasco Municipal Code.
MOTION: I move to adopt Ordinance Nu. . authorizing amendment of Pasco Munic.ipul
Code 3,130 Industrial Development Fund to rename this fund as the Economiv Development fund
and clarify the scope of fiend activity and, further, authorize publication by summary onlv,.
-AND-
Resolution No. , a Resolution authorizing the transfer of land, wells, other related
infrastructure and an obligation of future debt service payments from the Waterworks Utility to
the Economic Development and Infrastructure Fund.
MOTION: I move ti) approve Resolution No. , anthorizing sale nf the Farm Facility assets
and obligations from the Waterworks Utility to the Economic Development Fund at the value as
determined by the utility hond covenants-
-AND-
Resolution No. , a Resolution authorizing an Interfund loan from the General Fund to the
Economic Development Fund.
MOTION: I move to approve Resolution No- -. authorizing an 1nterfund loan from the
General Fund to the Ewnomic Development Fund.
9. UNFINISHED BUSINESS:
(None)
10. NEW BUSINESS:
*(a) Argent Road / Saracen Way / Varney Lane Traffic Improvements, Project No. C1-11-03-
STR:
1. Agenda Report from Mike Pawlak, City Engineer dated March 6, 2012,
2. Vicinity Map.
3. Bid Summary.
(RC) MOTION: I move to award the low bid for the Argcnl Road/ arace:nu Way/Varney Lane Trxtff c
Improvcinents to Northeast Electric LLC. in the amount of$213.440.00 and, further. authorize
the Mayor to sign the continct documents.
*(b) Winthrop Construction Settlement Agreement:
1. Agenda Report from Gary Crutchfield, City Manager dated March 15, 2012,
2. Proposed Settlement Agreement.
MOTION: I move to approve the seltlernent agreement with Winthrop Constriction and
aut hod ve:the City Manager to sign the agreement.
11. MISCELLANEOUS DISCUSSION:
(a)
(b)
(c)
12. EXECUTIVE SESSION:
(a)
(b)
(c)
13. ADJOURNMENT.
(RC) Roll Call Vote Required
* Item not previously discussed
MF# "Master File#......
Q Quasi-Judicial Matter
Regular Meeting 3 March 19, 2012
REMINDERS:
1. 6:00 p.m., Monday, March 19, City Hall Conference Room #1 — LEOFF Disability Board Meeting.
(MAYOR MATT WATKINS and COUNCILMEMBER REBECCA FRANCIK).
2. 6:00 p.m., Wednesday, March 21, Richland City Council Chambers — WCIA "Hearings Procedures-
Decision Making and You" Training. (COUNCILMEMBERS REBECCA FRANCIK, SAUL
MARTINEZ and AL YENNEY)
3. 7:30 a.m., Thursday, March 22, 7130 W. Grandridge Blvd — Tri-Cities Visitor & Convention Bureau
Board Meeting. (COUNCILMEMBER MIKE GARRISON,Rep.;TOM LARSEN, Alt.)
4. 4:00 p.m., Thursday, March 22, 7130 W. Grandridge Blvd — TRIDEC Board Meeting.
(COUNCILMEMBER MIKE GARRISON,Rep.; TOM LARSEN, Alt.).
5. 5:30 p.m., Thursday, March 22, 710 W. Court Street — Benton-Franklin Community Action Committee
Meeting. (COUNCILMEMBER AL YENNEY, Rep.; REBECCA FRANCIK,Alt.)
MINUTES
REGULAR MEETING PASCO CITY COUNCIL MARCH S, 2012
CALL TO ORDER:
The meeting was called to order at 7:00 p.m. by Matt Watkins, Mayor.
ROLL CALL:
Councilmembers present: Rebecca. Francik, Mike Garrison, Torn Larsen, Saul Martinez,
Matt Watkins and Al Yenney. Excused: Robert Hoffmann.
Staff present: Gary Crutchfield, City Manager; Leland Kerr, City Attorney; Stan Strebel,
Deputy City Manager; Richard Terway, Administrative & Community Services Director;
Rick White, Community & Economic Development Director; Ahmad Qayoumi, Public
Works Director and Bob Gear, Fire Chief.
The meeting was opened with the Pledge of Allegiance, led by students from Maya
Angelou and McGee Elementary schools,
CONSENT AGENDA:
(a) Approval of Minutes:
Minutes of the Pasco City Council Meeting dated February 21, 2012.
(b) Bills and Communications:
To approve General Claims in the amount of$780,524.85 ($46,900.47 in the form of
Electronic Fund Transfer Nos. 9300 and 9344; and $733,624.38 in the form of Wire
Transfer Nos. 1176, 1177 and 1181 through 1184; and Claim Warrants numbered 186527
through 186738).
To approve Payroll Claims in the amount of$2,015,174.39, Voucher Nos. 43775 through
43840 and 80120 through 80129; and EFT Deposit Nos. 30050150 through 30050699.
(c) Amendment No. 1 to Professional Services Agreement with HDR
Engineering, Inc., for Wastewater Treatment Plant Improvements:
To approve Amendment No. 1 to the September 19, 2011 Professional Services
Agreement with HDR Engineering, Inc., authorizing additional engineering services for
Wastewater Treatment Plant Improvements, not to exceed $15,070 and, further, authorize
the Mayor to sign the agreement.
(d) Professional Services Agreement with HDR Engineering, Inc., for
Wastewater Treatment Plant Improvements - Construction:
To approve the Professional Services Agreement with HDR Engineering, Inc.,
authorizing engineering construction services for Wastewater Treatment Plant
Improvements, not to exceed 545,774 and, further, authorize the Mayor to sign the
agreement.
(e) Resolution No. 3378, a Resolution fixing the time and date for a puhlic
hearing to consider the vacation of a portion of Fast "B" Street and a portion of
South Gray Avenue and South Myrtle Avenue.
To approve Resolution No. 3378, setting; 7:00 pm, Monday, April 2, 2012 as the time and
date to conduct a public hearing to consider vacating a portion of East "B" Street, a
portion of South Gray Avenue and South Myrtle Avenue.
MOTION: Ms. Francik moved to approve the Consent Agenda as read. Mr. Garrison
seconded. Motion carried by unanimous Roll Call vote.
I 3(a). 1
MINUTES
REGULAR MEETING PASCO CITY COUNCIL MARCH 5, 2012
REPORTS FROM COMMITTEES AND/OR OFFICERS:
Mr, Martinez reported on his observations during a visit to the City of Sedona Arizona.
Mr. Larsen reported on the Emergency Medical Services Board meeting.
Mr. Yenney encouraged public participation in the Pasco Chamber Business Symposium
at CBC.
ORDINANCES AND RESOLUTIONS NOT RELATING TO PUBLIC HEARINGS:
Resolution No. 3379, a Resolution of the City of Pasco, Washington authorizing an
Interlocal Agreement with Pasco School District No. I for the assessment of School
Impact Fees.
Council and staff discussed the proposed resolution.
MOTION: Ms. Francik moved to approve Resolution No. 3379, authorizing the Mayor
to sign the Interlocal Agreement with the Pasco School District for the assessment of
School Impact Fees. Mr. Martinez seconded. Motion carried by the following Roll Call
vote: Yes — Martinez, Watkins, Francik, Garrison, Larsen. No— Yenney.
Ordinance No. 4046, an Ordinance of the City of Pasco, Washington creating a new
Chapter 3.133 "School Impact Fees" and creating a new Section 3.07.230 "School
Impact Fees."
Council and staff discussed the proposed ordinance.
Mr. John Talbot, 6712 W. Octave, spoke against the proposed ordinance.
MOTION: Ms. Francik moved to adopt Ordinance No. 4046, creating a new Chapter
3.133 "School Impact Fees" and creating a new Section 3,07.23 "School Impact Fees"
and, further, authorize puhlication by summary only. Mr. Garrison seconded. Motion
carried by the following Roll Call vote: Yes — Martinez, Watkins, Francik, Garrison.
No— Yenney, Larsen.
Ordinance No. 4047, an Ordinance of the City of Pasco, Washington amending Title
16 of the Pasco Municipal Code, regarding time limitation of Building Permit
Applications; and declaring an emergency for immediate adoption.
Council and staff discussed the proposed ordinance.
Mr. John Talbot, 6712 W. Octave, suggested other options to the ordinance.
MOTION: Ms. Francik moved to adopt Ordinance No. 4047, an ordinance declaring an
emergency and creating a new section in Title 16 of the Pasco Municipal Code
concerning the time limit of applications for building permits and, further, authorize
publication by summary only. Mr. Watkins seconded. Motion failed due to lack of super
majority by the following Roll Call vote: Yes— Martinez, Watkins, Francik, Garrison.
No--Larsen, Yenney.
Ordinance No. 4048, an Ordinance of the City of Pasco, Washington amending Title
16 of the Pasco Municipal Code, regarding time limitation of Building Permit
Applications.
MOTION: Ms. Francik moved to adopt Ordinance No. 4048, creating a new section in
Title I6 of the Pasco Municipal Code concerning the time limit of applications for
building permits and, further, authorize publication by summary only. Mr. Martinez
seconded. Motion carried by the following Roll Call vote: Yes — Garrison, Larsen,
Martinez, Watkins, Francik. No - Yenney.
2
MINUTES
REGULAR MEETING PASCO CITY COUNCIL MARCH 5, 2012
NEW BUSINESS:
Process Water Reuse Facility Irrigation Circle Replacement Project No. C7-SR-2R-
12-01:
Council and staff discussed the details of the project.
MOTION: Ms. Francik moved to award the low bid for the Process Water Reuse Facility
Irrigation Circle Replacement to Valmont Northwest, Inc,, in the amount of$97,825.27,
plus applicable sales tax and, further, authorize the Mayor to sign the contract documents.
Mr. Garrison seconded. Motion carried by unanimous Roll Call vote,
MISCELLANEOUS DISCUSSION:
Mayor Watkins recognized Richland High School students in the audience.
EXECUTIVE SESSION:
Council adjourned to Executive Session at 7:50 p.m. for approximately 20 minutes to
discuss performance of publicly bid contracts and discuss litigation or potential litigation
with the City Manager, Public Works Director and the City Attorney.
Mayor Watkins called the meeting back to order at 8:06 p.m.
ADJOURNMENT:
There being no further business, the meeting was adjourned at 8:06 p.m.
APPROVED: ATTEST:
Matt Watkins, Mayor Debra L. Clark, City Clerk
PASSED and APPROVED this 19`h day of March, 2012.
3
CITY OF PASCO
Council Meeting of: March 19,2012
Accounts Payable Approved
The City Counci:
City of Pasco, Franklin Ccunty,Washington
'�e,the and d,do hereby certify under penalty of perjury that the materials have been furnished,the
ervice ndered r the labor performed as described herein and that the claim is a just, due and unpaid
f Ilgadon ag ins(the city and that we are authorized to authenticate and certify to said claim.
Z
Gary Crulch�fi Ci ager Dunyele son,Finance Services Manager
We, the undersigned City C cilmembers of the City Council of the City of Pasco, Franklin County,Washington,do
hereby certify on this 19 day of March, 2012 that the merchandise or services hereinafter specified have been received:
Check Numbers and 186739-186756 In The Amount Of: $747,321.03
Electronic Funds Transfers: 1187, 1188
In The Amount Of: $ 127,530.41
Electronic Funds Transfers: 9389,9391,9425-6
(Journal Entries) 9431,9436,9448 Combined total of $874,851.44
Councilmember Councilmember
SUMMARY OF CLAIMS BY FUND:
GENERAL FUND:
Legislative 1,370.00
Judicial 1 2,766.71
Execu live 3,249.47
Police 25.996.38
Fire 14,048.95
Administration&Community Services 78,206.02
Community Development 1,891.31
Engineering 1,716.42
Non-Departmental 32,144.58
Library 1,575.25
TOTAL GENERAL FUND: 172,965.09
STREET 33,471.92
ARTERIAL STREET 16,500.00
STREET OVERLAY 0.00
C. D.BLOCK GRANT 12,557.31
HOME CONSORTIUM GRANT 474.11
NSP GRANT 311.98
KING COMMUNITY CENTER 2,276.87
AMBULANCE SERVICE 9,191.10
CEMETERY 1,480.90
ATHLETIC PROGRAMS 9,265.22
GOLF COURSE 35,505.94
SENIOR CENTER OPERATING 4,806.65
MULTI MODAL FACILITY 2,108.02
RIVERSHORE TRAIL&MARINA MAIN 91.04
SPECIALASSESSMNT LODGING 0.00
LITTER CONTROL 0.00
REVOLVING ABATEMENT 5,631.26
TRAC DEVELOPMENT 8 OPERATING 0.00
PARKS 0.00
STADIUMICONVENTION CENTER 46.52
GENERAL CAP PROJ CONSTRUCTION 25,868.65
WATER/SEWER 285,988.21
EQUIPMENT RENTAL-OPERATING GOVERNMENTAL 23,070.22
EQUIPMENT RENTAL-OPERATING BUSINESS 70.39
EQUIPMENT RENTAL-REPLACEMENT GOVERNMENTAL 59,817.34
EQUIPMENT RENTAL-REPLACEMENT BUSINESS 0.00
MEDICALIDENTAL INSURANCE 123,097.45
CENTRAL STORES 0.00
PAYROLL CLEARING 48,458.06
LID CONSTRUCTION 0.00
PUBLIC FACILITIES❑IST 0.00
TRI CITY ANIMAL CONTROL 1,675.69
SENIOR CENTER ASSOCIATION 121,50
GRAND TOTAL ALL FUNDS: 874,551.44
3{b}.1
AGENDA REPORT
FOR: City Council DATE: March 14,2012
TO: Gary Crutchfield, '' 4anager REGULAR' March 19,2012
Rick Terway, Admi i trative&Community Service v r
r
FROM; Dunyele Mason, Financial Services Manager 'N; �
SUBJECT: BAD DEBT 4' RITE-OFIa'SICOLLECTION.
Write-off and collection lists are on file in the Finance Department,
II. AC3'ICj .o(EQ_11U ED OF COUNCIL/gTAFF.REI"OMIjEIx]=IC]iy'S;
MOTION: I move to approve bad debt write-offs for utility billing, ambulance, cemetery, general
accounts, miscellaneous accounts, and Municipal Court (non-criminal, criminal. and
parking) accounts receivable in the total amount of $171,082.55 and, of that amount,
authorize $134,153.35 be turned over for collection.
Ill. HISTORY AND FACTS BRIEF:
1. U_T1,L1TY BILLING - 'These are all inactive accounts, 60 days or older. Direct write-offs are under
510 with no current forwarding address, or are accounts in"occupant" status. Accounts submitted for
collection exceed$10.00.
2. AMBULANCE -These are all delinquent accounts over 90 days past due or statements are returned
with no forwarding address. Those submitted for collection exceed $10.00. Direct write off's
including DSHS and Medicare customers; the law requires that the City accept assignment.in these
cases.
3. COURT ACCOUNTS RECEIVABLE -These are all delinquent non-criminal and criminal fines, and
parking violations over 30 days past due.
4. COD,F- ENFORCEMENT -- LIENS — 'These are Code Enforcement violation penalties which are
either un-collectable or have been assigned for collections because the property owner has not
complied or paid the fine. There are still liens in place on these amounts which will continue to be in
effect until the property is brought into compliance and the debt associated with these liens are paid.
5. CEMETERY—These are delinquent accounts over 120 days past due or statements are
returned with no forwarding address. Those submitted for collection exceed$10.00.
6. GENERAL- These are delinquent accounts over 120 days past due or statements are
returned with no forwarding address. Those submitted for collection exceed$10.00.
7. MISCELLANEOUS- These are delinquent accounts over 120 days past due or statements are
returned with no forwarding address. Those submitted for collection exceed$10.00.
Amount
Direct Referred to Total
Write-offs Collection Write-offs
Utility Billing $ 0.00 0.00 0.00
Ambulance $ 36,929.20 16,343.96 53,273.16
Court A/R $ .00 111,733.00 111,733.00
Code Enforcerent $ .00 4,674.00 4,674.00
Cemetery $ ,00 1,262.39 1,262.39
General $ '00 .00 .00
Miscellaneous $ .00 140.00 140.00
TOTAL: $ 36,929.20 134,153.35 171,082.55
[V. 4,Q IN TRATIVE ROUTING:
cc: Dot French, Municipal Court Clerk
3(b). 2
AGENDA REPORT
1
FOR: City Council March 2, 2012
TO: Gary Crutchfi y Manager Workshop Mtg.: 3/12/12
Regular Mtg.: 3/19/12
FROM: Stan Strebel, Dopu , ity Manage
SUBJECT: Interlocal Agreement for Child Abuse Investigation
1. REFERENCE(S):
1. Proposed Agreement
Ill. ACTION REQUESTED OF COUNCIL/STAFF RECOMMENDATIONS:
3/12: Discussion
3/19: MOTION: I move to approve the lnterlocal agreement for Child Abuse
Investigation and, further. authorize execution of the document.
111. FISCAL IMPACT:
$12,096 (12% of$100,803 budget) Police Budget
IV. HISTORY AND FACTS BRIEF:
A) The City has long been a participant with the counties and area cities in
cooperating for the availability of a trained and qualified child interviewer for
cases involving alleged child abuse. Benton County has been the lead agency in
employing and housing the interviewer.
B) The costs of employing the interviewer are split between prosecution entities
(counties) and law enforcement entities (counties and cities) on a 50/50 basis and
then divided based on population. Pasco's share under the formula is 12% of the
approximate 5100,000 2012 budget.
C) When the agreement was approved in 2000, Pasco's share of the budget was 7%,
The City's total cost share has increased due to population growth and the total
cost has increased with growth in the budget,
V. DISCUSSION:
A) The cooperative agreement is the most cost effective way to secure the services of
the special interviewer. Staff recommends approval of the agreement.
3(c)
CHILD ABUSE INVESTIGATION AGREEMENT
T2TIS AGREEMENT is entered into by and between BENTON COUN'T'Y
and the following:
CITY OF PASCO
CITY OF KENNEWICK
CITY OF RICHLAND
CITY OF WEST RICHLAND
CITY OF PROSSER
CITY OF CONNELL
FRANKLIN COUNTY
(collectively referred to as "Participating Agencies") .
SECTION 1 - PURPOSE
Benton County shall hire one or more child interviewers
("child interviewer" ) qualified and trained to provide objective,
forensic interviews of children to determine if abuse occurred and
the details of any abuse. The interviews by the child interviewer
will be used in investigations and prosecution. The Participating
Agencies, desiring the services of the child interviewer for their
own investigations and prosecution, have agreed to pay for a
portion of the salary and associated costs of the child
interviewer. Thus, it is the purpose of this Agreement, in
accordance with the Interlocal Cooperation Act (RCW Chapter 39.34) ,
to provide for a joint use of the child interviewer' s services.
No separate legal entity is intended to be created by this
Agreement, and for the purposes of RCW 39.34. 030, no property, rear
or personal , is intended to be acquired, held or disposed of
incident to this Agreement, and no operating fund is anticipated to
be created. Nothing in this Agreement shall be construed to
relieve any public agency of any obligation or responsibility
imposed on it by law.
SECTION 2 - AVAILABILITY
The child interviewer shall be available for interviews during
normal business hours and also available on an "on call" basis.
SECTION 3 - ADMINISTRATION
The child interviewer shall be an employee of Benton County.
As an employee, Benton County shall provide direct supervision and
shall perform all administrative functions concerning the child
interviewer, including, but not limited to, determination of
page 1 of 7
benefits and related conditions of employment . Benton County shall
have authority to terminate the child interviewer pursuant to the
law and rules that apply to Benton County.
SECTION 4 - CHILD INTERVIEWER PROCEDURES
4 . 1 Child interviewer shall provide documentation of the
interview to the Participating Agency requesting the interview and
shall testify at any criminal trial when requested by the
Participating Agency. The child interviewer is considered a
criminal justice agency for purposes of RCW 10 .97 and shall not
disseminate any information about an interview to any non-criminal
justice agency without the permission of the appropriate
Participating Agency. if the child interviewer is subpoenaed by
any non-criminal justice agency, the interviewer shall notify the
appropriate Participating Agency.
4 . 2 The Benton County Prosecuting Attcrney' s Office shall
form an advisory group consisting of repzesentatives of each of the
Participating Agencies. The advisory group will review the
interview procedures, protocols and communication issues as well as
the quality of the interview, documentation and testimony. The
advisory group will meet at least quarterly.
SECTION 5 - BUDGET REVIEW
5.1 Benton County shall prepare a proposed budget for the
following calendar year regarding the child interviewer' s salary
and associated costs and shall forward it to the Participating
Agencies by June 1"-. Each Participating Agency shall review and
comment on the proposed budget in a timely manner so that a final
budget can be prepared and forwarded to each Participating Agency
by August lot. The budget shall include the allocable expense to
each jurisdiction. The proposed budget for calendar year 2012 is
attached hereto as Exhibit "A."
5.2 The Participating Agencies shall be responsible for
transmitting the jurisdiction allocation to their respective
governing bodies in order to serve a commitment for funding of the
budget for the following year.
SECTION 6 - COMPENSATION
As compensation for the use of the child interviewer' s
services, each Participating Agency shall pay Benton County a
percentage of the actual costs (salary and associated costs)
incurred by Benton County. The percentage each Agency is obligated
to pay is based on the Jurisdiction Allocation Formula, as set
forth below. Allocation is based on a 50/50 split between
Page 2 of 7
prosecution and law enforcement . Allocation between jurisdictions
is based on population.
JURISDICTION ALLOCATION FORMULA FOR CHILI) INTERVIEWER
ALLOCATION FOR CHILD INTERVIEWER
Kennewick -0- 14 .50% (50% of 29) 14 .500
Richland -0- 9.50% (50% of 19) 9.505
Benton County 34% (50% Of 68) 6 .5* (50% of 13) 41%
West Richland -0- 2 .5% (50% of 5) 2.5k
Prosser -0- 1% (50* of 2) 1%
Pasco -0- 12% (50% of 24) 12%
Franklin County 16% (50% of 32) 3% (50% of 6) 18 .50%-
Connell -b- 1% (SO% of 2) 1%-
-0
TAL 1 50% sok 100%
SECTION 7 - PAYMENT
Benton County shall determine the actual costs incurred or, a
quarterly basis and shall calculate the amount each Participating
Agency owes using the Jurisdiction Allocation Formula. Benton
County shall then submit a quarterly voucher to each Participating
Agency on or before the 15"h day of each month following the
quarter. Each Participating Agency shall pay Benton County the
compensation set forth in Section 6 herein within thirty days from
receipt of such voucher. Account balances overdue 30 days or more
will be subject to a service charge of I%- per month (12% per
annum) . Should it become necessary, all collection costs shall be
paid by the defaulting party.
SECTION 8 - WITHDRAWAL
8. 1 Any party to this Agreement may withdraw by serving a
notice of withdrawal upon all other parties to the Agreement. This
notice shall be given by August 3Dth of any year to be effective
December 31" of that same year.
8 ,2 In the event a party withdraws from this Agreement, the
Jurisdiction Allocation Formula set forth in Section 6, may be
amended pursuant to Section 12 .
Page 3 of 7
SECTION 9 - DURATION OF AGREEMENT
9 . 1 This Agreement shall be effective April 1, 2012 . This
Agreement shall have a duration of five (5) years, and shall be
renewed annually thereafter by a majority vote of the parties.
9.2 The parties may agree by unanimous consent to terminate
this Agreement and said termination would be effective December 316`
of that same year.
SECTION 10 - LIABILITY
10. 1 Each party to this Agreement is responsible for the
conduct and action of its officers, agents and employees and shall
hold harmless, indemnify and defend all other parties to this
Agreement from and against any and all claims, loss and damages of
any nature whatsoever resulting from, arising out of or incident to
any act or omission of its officers, agents and employees in the
performance of this Agreement and child abuse investigation and
prosecution.
10 .2 with respect to the performance of this Agreement and
child abuse investigation and prosecution, as to any claims against
any party to this agreement or their officers, agents, and
employees, each Participating Agency expressly waives it immunities
under Title 51 of the Revised Code of Washington, the Industrial
Insurance Act, for injuries to its employees and agrees that the
obligation to indemnify defend and hold harmless provided for in
this section extends to any claim brought by or on behalf of any
employee of the respective Participating Agency. This waiver is
mutually negotiated by the parties .
SECTION 11 - PROHIBITION AGAINST ASSIGNMENT
No party to this Agreement may assign any right, claim or
interest it may have under this Agreement .
SECTION 12 - AMENDMENT
This Agreement may be amended from time to time as deemed
appropriate by the parties, provided, that such amendment shall
become effective only after it has been adopted in writing by each
of the parties,
SECTION 13 - SEVERABILITY
Should any portion of this Agreement 'be deemed by a court of
law of the state legislature to be illegal ox unenforceable, to the
Page 4 of 7
extent practicable, every other portion, which is not illegal or
unenforceable, shall remain in effect .
SECTION 14 - COUN'T'ERPART COPIES
This Agreement may be signed in counterpart or duplicate
copies, and any signed counterpart or duplicate copy shall be
eq»ivalent to a signed original for all purposes .
SECTION 15 - AGREEMENT COMPLETE
The foregoing constitutes the full and complete Agreement of
the parties. All oral understandings and agreements are set forth
in writing herein.
DATED this day of
BENTON COUNTY, WASHINGTON FRANKLIN COUNTY, WASHINGTON
LEO BOWMAN, Chairman ROBERT KOCH, Chairman
ATTEST: A'T'TEST:
CAMI MCKENZIE MARS WITHERS
Clerk of the Benton County Clerk of the Franklin County
Board of County Commissioners Board of County Commissioners
STEVE KEANE, Sheriff RICHARD LATHIM, Sheriff
Approved As To Form: Approved As To Form:
ANDY MILLED SHAWN P. SAW
Benton County Prosecuting Franklin County Prosecuting
Attorney Attorney
C Ty OF OF RICHLAND
STEVE YOUNG, Ma
"Z C� c JahnSo Cat MdrZd 2!'
page 5 of 7
KEN HOHENBERG, Po of NNER, Police Chief
Approved As To Form: Approved As T Form:
LISA BEATON, City Attorney TOM LAMPSON, Citf Attorney
CITY OF PASCO CITY OF WEST RICHLAND
MATT WATKINS, Mayor DONNA NOSKI, Mayor
ROBERT METZGER, Police Chief BRIAN McELROY, Police Chief
Approved As To Form: Approved As To Form:
LEE KERR, City Attorney BRONSON BROWN, City Attorney
CITY OF PROSSER CITY OF CONNELL
PAUL WARDEN, Mayor GARY WALTON, Mayor
PAT MaCULLOUGH, Police Chief MIKE KESSLER, Police Chief
Approved As To Form: Approved As To Form:
HOWARD SAXTON, City Attorney DAN HULTGREN, City Attorney
Page 6 of 7
ATTACHMENT A
PROPOSED BUDGET - CALENDAR YEAR
Office Rent . . . . . . . . . . . . . . . $12 , 329
Child Interviewer . . . . . . . . , . . . $64, 060
Medical . . . . . . . . . . . . . . . . . $10 , 608
Social Security . . . . . . . . . . . . . $ 4, 902
L&I . . . . . . . . . . . . . . $ 71
Retirement . . . . . . . . . . $ 5, 215
VEBA Contribution . . . . . . , . . . . . $ 2, 243
Accumulated Leave . . . . . . . . . . . . $ 1 , 355
Total . . . . . . . . . . . . . . . . . $1001603
PROPOSED ALLOWABLE EXPENSE TO EACH JURISDICTION
Kennewick (14 . 50%) . . . . . . . . . . . $14,616
Richland (9 . 50%) . . . _ . . . . . . $ 9,576
Benton County (41%) . . . . . . . . . . $41, 330
West Richland (2 . 5%) . . . . . . . . . . $ 2, 520
Prosser (1%) . . . . . . . . . . . . . $ 1, 002
Pasco (12%) . . . . . . . . . . . . $12, 096
Franklin County (18 .50k) $18, 649
Connell (1%) . . . . . . . . . . . . . . $ 1, 008
Page 7 of 7
GENERAL FUND OPERATING STATEMENT
THROUGH FEBRUARY 2012
YTD 2012 % OF YTD TOTAL % OF
2012 ORIGINAL ANNUAL 2011 2011 TOTAL
ACTUAL BUDGET BUDGET ACTUAL BUDGET ACTUAL
REVENUE SOURCES:
TAXES:
PROPERTY 48,560 6,200,000 0.8% 65,067 6,000,000 1.1%
SALES 1,423,768 8,265,000 17.2% 1,387,005 8,225,000 16.9%
UTILITY 1,455,760 7,751,660 18,8% 1,456,929 7,560,000 19.3%
OTHER 256,149 1,035,000 24.7% 251,786 1,015,000 24.8%
LICENSES & PERMITS 473,159 1,093,700 433% 488,657 1,052,650 46.4%
INTERGOV'T REVENUE 121,452 1,679,700 7.2% 148,710 1,632,200 9.1%
CHARGES FOR SERVICES 662.184 4,531,330 14,6% 368,338 3,007,750 12.2%
FINES & FORFEITS 116,406 977,200 119% 136,177 971,600 14.0%
MISC. REVENUE 101,718 672,245 15.1% 125,202 634,200 19.7%
OTHER FINANCING SOURCES 26,334 138,000 191% 23,834 100,000 23.8%
TOTAL REVENUES 4.685,490 32,343,835 14,5% 4,451,705 30,198,400 14.7%
BEGINNING FUND BALANCE 11,085,645 9,970,821 9,385,989 6,000,000
TOTAL SOURCES 15,771,135 42,314,656 37.3% 13,837,694 36,198.400 38.2%
EXPENDITURES:
CITY COUNCIL 18,011 118,807 15.2% 15,656 118,040 13.3%
MUNICIPAL COURT 189,480 1,335,634 14.2% 180,518 1,275,150 14.2%
CITY MANAGER 149,005 951,034 15.7% 145,747 915,410 15.9%
POLICE 1,454,947 11,449,715 12.7% 1,596,801 11,284,368 14.2%
FIRE 705,051 4,164,54 , 16.9% 627,042 4,193,418 15.0%
ADMIN & COMMUNITY SVCS 880,943 6,456,743 13.6% 693,253 5,595,700 12.4%
COMMUNITY DEVELOPMENT 191,262 1,208,878 15.8% 163,019 1,101,400 14.8%
ENGINEERING 201,515 1,514,469 13,3% 189,414 1,193,280 15.9%
MISC. NON-DEPARTMENT 678,400 13,966,455 4.9% 862,637 9,372,872 9.2%
LIBRARY 189,757 1,148,380 16.5% 188,260 1,148,880 16.4%
TOTAL EXPENDITURES 4,658,371 42,314,658 11.0% 4,662,347 36,198,518 12.9%
ENDING FUND BALANCE 11,112,764 9,970,821 9,175,347 6,000,000
TOTAL EXPEND& END FUND 8AL 15,771,135 52,285,477 13,837,694 42,198,518
AVAILABLE CASH BALANCE 9,413,158 7,941,984
PERCENTAGE OF BUDGET ALLOCATED FOR 2 MONTHS 17%
These statements are intended for Management use only.
6(b)
AGENDA REPORT
FOR: City Coun 1 March 9, 2012
TO: Gary Crutch � C1 anager Workshop Mtg.: 3/12/12
Rick Terway, m' is}r ive & Regular Mtg.: 3/19/12
Community Servlc s Director
FROM: Dunyele Mason, Financial Services Manager
SUBJECT: Utility Asset Transfer
I. REFERENCE(S):
I. Vicinity Map
2. Process Water Reuse Facility Projection
3. Economic Development Fund Projection
4. Proposed Ordinance amending PMC 3.130 Industrial Development Fund
5. Proposed Resolution Authorizing Transfers
6. Proposed Resolution Authorizing an interfund Loan
II. ACTION REQUESTED OF COUNCIL/STAFF RECOMMENDATIONS:
3/12: Discussion
3119: Council Action
Motion: I move to adopt Ordinance No , authorizing amendment of Pasco
Municipal Code 3.130 Industrial Development Fund to rename this fund
as the Economic Development Fund and clarify the scope of fund activity
and, further, authorize publication by summary only.
Motion: I move to adopt Resolution No , authorizing sale of the Farm
Facility assets and obligations from the Waterworks Utility to the
Economic Development Fund at the value as determined by the utility
bond covenants.
Motion: I move to adopt Resolution No , authorizing an interfund loan
from the General Fund to the Economic Development Fund.
III. HISTORY AND FACTS BRIEF:
A) The Process Water Reuse Facility was created in the mid-1990s and initially served just
one customer. The facility currently services four customers in what has become the
Pasco Processing Center and is near full capacity. Wastewater from food processing is
collected and, after limited treatment, is then delivered to the Farm Facility (14 farm
circles) for disposal. The wastewater is used to augment the ground water from the Farm
Facility in order to comply with the PWRF operating permit. The Farm Facility leases the
land to farmers who grow crops that consume the high levels of nitrogen in the
wastewater to comply with the operating permit. In essence, the PWRF system consists
of three components: collection (pump station and pipes); storage (lagoon, aerators,
pumps and pipes); disposal (Farm Facility).The November 2011 PWRF master plan
identifies the long-term possibility of expanding the wastewater disposal process to other
lands, whether or not owned by the city.
B) In 1994 the PWRF issued bonds to cover the acquisition and construction costs not
otherwise covered by grant or other sources. In 1999 additional farm land was acquired.
Over the years, 100% of the net proceeds (revenues less expenditures) from the Farm
Facility (land) have been devoted to paying the PWRF debt and operating costs not
otherwise covered by the PWRF rate payers (processors). $200,000 per year was
specifically allocated from the land rental towards the debt service costs of the 1994 debt
(to reflect the original cost of the land). The 1994 debt will be fully repaid in 2014.
8(a)
C) The PWRF is approaching maximum capacity under existing conditions and started the
process to upgrade its pre-treatment facilities and otherwise optimize facility operations,
These changes will require new debt be issued in 2012,
IV. DISCUSSION:
A) The Farm Facility has supported the PWRF since its inception. The resources of the Farm
Facility were used to acquire the land and subsidize the PWRF as it grew from one
processor utilizing a portion of the PWRF to the current situation of four processors
utilizing its full capacity. "thus, the Farm Facility has significantly supported industrial
growth but can do more, if better utilized.
B) With the original PWRF investment nearly paid off and with the PWRF operating near
capacity, it is the appropriate time to consider removing the Farm Facility component
from the Utility. By moving the Farm Facility assets and operation to the Industrial
Development Fund, the Farm Facility can provide continuing resources (farm rental
income) to promote additional and a wider variety of economic development efforts
within the city. Renaming the "Industrial Development Fund" to the "Economic
Development Fund" will better reflect this broadening of intent and use of resources.
C) Staff has explained to the processors (users of the PWRF) the impending PWRF
improvement project, associated new debt issuance this year and the intent to remove the
Farm Facility from the Utility Fund. Though they would prefer the farm rental income
continue to benefit their operations, they do understand the city's objectives in making
the change. The key principle to be recognized in the process is that the allocation of
improvements and annual costs be appropriate and fair. In essence, those costs
associated with the ownership of the farm circles and receipt of farm rental income
should be assigned to the city, not the processors. For example, the addition of land or
circle improvements fundamentally required to grow crops will be largely the
responsibility of the Economic Development Fund while any extra costs incurred to
accommodate PWRF wastewater (in addition to well water) or additional capacity value
will be assigned to the PWRF. That principle is reflected in the table of projected
expenses (reference 42).
D) To move the Farm Facility from the Utility requires a payment per the utility bond
covenants. Under the covenants, if property is transferred, then an amount (as determined
by formula) must be paid to the Utility in exchange (the formula is based on a percentage
of outstanding utility debt). If the Farm Facility is transferred in 2012, then 51,307,741 is
due to the Utility at the time of transfer (if additional utility debt is issued before the
transfer, the transfer fee will increase), This payment can be paid from the Industrial
(Economic) Development Fund. As the Industrial (Economical) Development Fund does
not have sufficient fund balance to make the full payment, the General Fund can make a
$700,000, three-year interfund loan to provide financing; that payment can be absorbed
by the cash flow associated with the Farm Facility's annual land rental income (see
reference #3).
E) Staff recommends Council authorize transfer of the Farm Facility from the Utility Fund
to the industrial Development Infrastructure Fund; rename the Industrial Development
Infrastructure Fund to Economic Development Fund; and authorize the $700,000 loan
frorn the General Fund to the Economic Development Fund so the Utility bond payment
obligation can be made to the Utility Fund, These actions are recommended to occur
before new utility debt is obligated, so as to avoid an increase in the bond payment
obligation associated with the recommended transfer.
t�
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PROCESS WATER REUSE FACILITY PROJECTION ASSUMPTIONS**
Cornbiuied Faeilii.' 2012 2013 2014 2015 2016 2017 2018 2019 (Grit 8 Screens)
Permit Flow 904 904 904 904 904 904 904 904 Phase 1 & 2a CIP $ 2,075,600
ActuallEst Wtr Flow 80 80 80 80 80 80 80 80 4.50% Debt $ 2,170,000
Actual/Es'Smr Flow 637 637 637 637 637 637 637 637 Issued 2012 2 Yr Interest Only
-Ph 3 Permit Flow 0 0 30 30 30 30 30 30 10 Yr P&I
Variable Costs 1,109,225 999,226 1,004,225 1,109,225 1,109,225 1,109,225 1,091,765 1,084,225 Allocated based on Permitted Flows
Fixed Costs* 660,048 759,192 817,604 642,661 640,160 642,313 639,119 454,965
Total Costs ),761,273 1,758,418 1 91 (BOD 8 Pond)
Phase 3 CIP $ 1,350,000
DEBT SERVICE PRINCIPAL 4.50% Debt $ 1,430,000
2010A Ref 1998E PWRF 78.64% 558,344 574,072 - - - Issued 2013 1 Yr Interest Only
2010T Refund 98 A PWRF 145,000 150,000 160,000 165,000 175,000 180,000 - 10 Yr P&I
2012 Ph 1&2 Bond - - 178,592 184,539 199,843 201,521 210,589 Allocated based on Add'I Flow
2013 Ph 3 Band 116,372 121,608 127,081 132,799 132,799
Total Principal Payments 703,344 724,072 452,964 471.147 494,924 514,320 343,388 (Add Small Circles)
Phase 2b 2015+ $180,000/yr
DEBT SERVICE INTEREST
2010A Ref 19988 PWRF 78.64% 31,338 11,482 - - Processors* $ 80,0001yr
2010T Refund 98 A PWRF 41,659 34,851 27,696 20,195 12,348 4,154 - City $100,0001yr
2012 Ph 182 Bond 97,650 97,650 97,650 89,703 61,399 72,721 '63,653
2013 Ph 3 Bond 64,350 64,350 59,113 53,641 47,922 47 922 `Allocated based on Permitted Flows
Total Interest Payments 170.647 208,333 189,696 169,011 147,388 124,797 111,575
COMBINED DEBT SERVICE 873,991 932,405 642,660 640,158 642,312 639,117 454,963
Use of Farm Revenues for Debt Service 114,799 114,801 City contributes$200,000 per year far
Use of Farm Revenues for Reserves 85,201 85,199 2012-2014 to debt service& reserves.
Total Farm Transfer 200,000 200,000
Represents the portion of fixed costs billed to Processors
'• These are pre design, high level planning estimates which may change once project design is complete.
ECONOMIC DEVELOPMENT FUND
Fund 194 Cash Flow Projoctio" n Loan
2011 2012 2013 2Q14 2015 2016 2017 2018 2019 2020
Revenues
Convention Ctr Interlocal 210,000 210,000 210,000 210,000 210,000 210,000 210,000 210,000 210,000
Farm Lease Revenue 740,000 740,000 740,000 740,000 740,000 740,000 740,000 740,000 740,000
Loan Proceeds 700,000 -
PWRF Disposal Fee 80,000 80,000 80,000 80,000 80,000 80,000
Total Revenues 1,650,000 950,000 950,000 1,030,000 1,030,000 1,030,000 1,030,000 1,030,000 1,030,000
Expenditures
Misc Prof Services 10,000 10,000 10,000 10,000 10,000 10,000 10,000 10,000 10,000
Prof. Sery-Farm 26,000 26,000 26,000 26,000 26,000 26,000 26,000 26,000 26,000
Electricity- Farm 121,100 121,100 121,100 121,100 121,100 121,100 121,100 121,100 121,100
Leasehold Tax 93,240 93,240 93,240 93,240 93,240 93,240 93,240 93,240 93,240
Repair & Maint 10,000 10,000 10,000 10,000 10,000 10,000 10,000 10,000 10,000
Administrative Chgs 7,400 7,400 7,400 7,400 7,400 7,400 7,400 7,400 7,400
CIP-Small Circle Development 180,000 180,000 180,000 180,000 180,000 180,000
Transfer out to PWRF 200,000 200.000 200,000
Interfund Principal - 227,596 233,286 239,117
Interfund Interest 17,500 11,810 5,978
Farm Purchase 1,307,741
Total Expenditures 1,575,481 712,836 712,836 892,835 447,740 447,740 447,740 447,740 447,740
Fund Balance 1,004,623 1,079,142 1,316,306 1,553,470 1,690,635 2,272,895 2,855,155 3,437,415 4,019,675 4,601,935
3/9/2012 10:47 AM C:1 UsersI CRUTCHFIELDGIAppDatal Local\Microsoft\Windows\Temporary Internet Files\Content.Outlook123P23Yi01Book2
ORDINANCE NO.
AN ORDINANCE AMENDING CHAPTER 3.130 OF THE PASCO
MUNICIPAL CODE
WHEREAS, the City Council finds that promotion of commerce and private business
investment is a critically important goal for the community; and
WHEREAS, the Industrial Development and Infrastructure Fund can serve a broader
economic development purpose and, therefore, should be renamed and its purposes be
broadened; NOW, THEREFORE,
THE CITY COUNCIL OF THE CITY OF PASCO, WASHINGTON, DO ORDAIN
AS FOLLOWS:
Section 1. Pasco Municipal Code 3.130 be amended as follows:
CHAPTER 3.130 IN-DUSTR ECONOMIC DEVELOPMENT AND
INFRASTRUCTURF FUND
Sections:
3.130.010 CREATED..............................................................................104
3.130.020 USE....................................................................................... .104
3.130.010 CREATED. There is hereby created a special fund to be known as the
"Industri l Economic Development and Infrastructure Fund" for the purpose of accounting for
funds received, disbursed or expended for economic development, industrial development and
public infrastructure as authorized by the Pasco City Council. (Ord 3706 Sec.], 2004).
3.130.020 USE_ The fund shall be used for the proper receipting and disbursement of all
funds utilized, borrowed, received and expended in connection with economic development
(including city owned Farm Facilities); industrial development tineluding land and public
infrastructure such as ineludin g streets, rail lines, utilities, etc.) strategically identified by the
Pasco City Council to attract and accommodate fn pate 99• e" e9 �-q iadustiial
€aeries economic development within the city. (Ord 3706 Sec.1, 2004).
PASSED by the City Council of the City of Pasco at its regular meeting this 14th day of
March, 2012.
Matt Watkins Mayor
ATTEST: APPROVED AS TO FORM:
Debra Clark, City Clerk Leland B. Kerr, City Attorney
RESOLUTION NO.
A RESOLUTION AUTHORIZING THE TRANSFER OF LAND, WELLS,
OTHER RELATED INFRASTRUCTURE AND AN OBLIGATION OF FUTURE
DEBT SERVICE PAYMENTS FROM THE WATERWORKS UTILITY TO THE
ECONOMIC DEVELOPMENT AND INFRASTRUCTURE FUND
WHEREAS, the City Council of the City of Pasco has found that it is in the best 'interest of the
City to transfer land, wells, other related infrastructure and an obligation of debt service from the
Waterworks Utility to the Economic Development and Infrastructure Fund and to provide for the
payment thereof as provided under the terms of the current bond covenants of the Waterworks Utility;
and
WHEREAS, the City covenants and agrees with the owner of each of the Parity Bonds that it
will not sell, lease, mortgage, or in any manner encumber or dispose of all the properties of the
Waterworks Utility unless provision is made for payment into the Bond Fund of an amount sufficient
either to defease all outstanding Parity Bonds or to pay the principal of and interest on all the
outstanding Parity Bonds in accordance with the terms, thereof; and further binds itself irrevocably not
to mortgage, sell, lease or in any way manner dispose of any part of the Waterworks Utility that is
used, useful and material to the operation of such utility unless provision is made for replacement
thereof'or for payment into the Bond Fund of an amount which shall bear the same ratio to the amount
of outstanding Parity Bonds as the Net Revenue available for debt service for such bonds for the
twelve months preceding such sale, lease, encumbrance or disposal from the portion of the
Waterworks Utility so leased, encumbered or disposed of bears to the Net Revenue available for debt
service for such bonds from the entire Waterworks Utility for the same period; and, further, any such
money so paid into the Bond Fund shall be used to retire outstanding Parity Bonds at the earliest
possible date; NOW,THEREFORE,
THE CITY OF PASCO, WASHINGTON HEREBY RESOLVES AS FOLLOWS:
1. Transfer of Assets. The Financial Services Manager of the City of Pasco is hereby
authorized and directed to transfer land, wells and related infrastructure relating to the
Farm Facility from the Waterworks Utility to the Economic and Industrial Development
fund in exchange for $1,307,741. The Financial Services Manager is hereby further
authorized and directed to place these proceeds in the Waterworks Utility Bond Fund and
shall expend those funds to retire outstanding Parity Bonds at the earliest possible date.
2. Obligations. The Financial Services Manager of the City of Pasco is hereby authorized
and directed to repay $200,000 per year of debt service for 2012, 2013 and 2014 towards
the total 2010A bond payments as they come due.
PASSED by the City Council of the City of Pasco, Washington. this 19th day of March 2012.
Matt Watkins, Mayor
ATTEST: APPROVED AS TO FORM:
Debra Clark, City Clerk Leland B. Kerr, City Attorney
RESOLUTION NO.
A RESOLUTION AUTHORIZING AN INTERFUND LOAN FROM
THE GENERAL FUND TO THE ECONOMIC DEVELOPMENT FUND
WHEREAS, the City Council of the City of Pasco has, pursuant to RCW 35,33.121,
found that it is in the best interest of the City to lend funds from the General Fund to the
Economic Development fund and to provide for the repayment thereof, NOW, THEREFORE,
BE IT RESOLVED THAT THE CITY COUNCIL OF THE CITY OF PASCO,
Section 1: Authorization for loans. The Financial Services Manager is hereby
authorized and directed to make the following loan as specified:
From the General fund to the Economic Development fund to provide
financing in the amount of $ $700,000 for the purchase of the Farm
Facility.
Section 2: Terms and Memo rialization. The effective date of the loan shall be as
specified below and this resolution shall constitute memorialization of the loan and its terms.
■ Disbursement is authorized April 1, 2012; the interest rate set at 2.5%
with a due date of April 1, 2016; payments are due annually.
PASSED by the City Council of the City of Pasco, Washington, this 19th day of March
2012,
Matt Watkins, Mayor
ATTEST: APPROVED AS TO FORM:
Debra Clark, City Clerk Leland B. Kerr, City Attorney
AGENDA REPORT NO, 6
FOR: City Council /� March 6, 2012
TO: Gary Cr;ayoch !' Manager
Ahmad �1. " lic Works Director
FROM: Michael A. Pawlak, City F,ngineerv,-A;"- Regular Mtg.: 03/19/12
SUBJECT: Award Argent Road/Saraceno Way/Varney Lane Traffic Improvements
Project 4C1-11-03-STR
I. REFERENCE(S):
1. Vicinity Map
2. Bid Summary
IL ACTION REQUESTED OF COUNCIL /STAFF RECOMMENDATIONS:
03/19: MOTION: 1 move to award the low bid for the Argent Road/Saraceno
Way/Varney Lane Traffic Improvements, to Northeast Electric,
LLC, in the amount of$213,440.00, and further, authorize the
Mayor to sign the contract documents.
III. FISCAL IMPACT:
Columbia Basin College Contributions
Traffic Impact Fees
IV. HISTORY AND FACTS BRIEF:
A) This project involves the installation of a traffic signal system at the Argent Road
entrance to Columbia Basin College.
B) In August, 2011 the City contracted with Kittelson & Associates, Inc. for the
design of the project.
C) In an agreement between the City and Columbia Basin College, the college has
agreed to contribute up to $300,000 towards the installation of the signal.
D) The project was advertised on February 19, 2012 and February 26, 2012, with a
scheduled bid opening on March 6, 2012 at 3:00 p.m.
V. DISCUSSION:
A) On March 6, 2012, staff received three (3) bids for the Argent Road/Saraceno
Way/Vamey Lane Traffic Improvements. The low bid was received from
Northeast Electric, LLC in the amount of $213,440.00. The second lowest bid
was received from Transportation Systems, Inc. in the amount of $308,700.00.
The Engineer's Estimate for the project is $285,700.00.
B) Staff recommends award of the contract to Northeast Electric, LLC.
10(a)
PROJECT
LOCATION
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Vicinity Map
Argent Road/Saraceno Way/Varney Lane
Traffic Improvements
Project #C1-11-03-STR
City of Pasco
Argent Rd/Saraceno WayNarney Lane
Traffic Improvements
Project No. C1-11-03-STR
March 6, 2012
BID SUMMARY
Total
Engineer's Estimate $285,700.00
1 . Northeast Electric, LLC $213,440.00
2. Transportation Systems, Inc. $308,700.00
3. Sierra Electric, Inc. $643,348.00**
"Adjusted total due to calculation errors on submitted bid proposal.
AGENDA REPORT
TO: City Counci ", March 15, 2012
FROM: Gary Crutchfield Manager Regular Mtg.: 3/19/12
SUBJECT; Winthrop Construction Settlement Agreement
I. REFERENCE(S):
1. Proposed Settlement Agreement
11. ACTION REQUESTED OF COUNCIL/ STAFF RECOMMENDATIONS:
03119: MOTION: I move to approve the settlement agreement with Winthrop
Construction and authorize the City Manager to sign the
agreement.
III. FISCAL IMPACT:
$35,000; Utility Fund
IV. HISTORY AND FACTS BRIEF:
A) The city awarded a contract to Winthrop Construction in February 2011 for
construction of a warehouse in the Desert Sunset neighborhood. The construction
was completed in September 2011 and the contractor claimed damages due to
delays by the city.
V. DISCUSSION:
A) After considerable discussion with the contractor and review of the project
records, staff concluded that the claim was valid, in part. Specifically, it was
found that the city's assigned project staff failed to act timely on certain contract
requirements as well as some design change requests of the contractor. (It should
be noted that the city was without a City Engineer between January and August
2011).
B) The contractor's initial claim amounted to approximately $86,000; the parties
have agreed to settle the claim for $35,000 total. The proposed settlement
agreement accomplishes that end; staff recommends its approval.
10(b)
SETTLEMENT AGREEMENT
THIS SETTLEMENT AGREEMENT is entered into this day of March, 2012, between
Winthrop Construction, Inc. ("Winthrop") and the City of Pasco, Washington ("City").
WHEREAS, Winthrop is a registered and bonded Washington contractor having entered into a
construction contract with the City for the construction of a well house under Contract No. C4-10-03-
IRR, which project is complete; and
WHEREAS, Winthrop has asserted a claim against the City claiming that it has been damaged and
delayed by the City, which resulted in the loss of its capacity to enter into other contracts due to its
consequential damage; and
WHEREAS,the City has denied liability for and the extent of such damages; and
WHEREAS, the parties do desire to resolve this dispute without the need for litigation,
NOW, THEREFORE, in consideration of the mutual covenants contained herein, it is agreed as
follows;
1. The City shall pay to Winthrop the sum of Thirty-Five Thousand Dollars ($35,000.00) payable
not later than the 22nd day of March, 2012, as full and final satisfaction of any and all claims for delay
or other damages claimed by or arising out of Contract No. C4-10-03-IRR.
2. Winthrop on behalf of itself, agents, assigns, and successors in interest, releases and discharges
the City and the City's officers, employees, representatives, agents, and assigns from any and all claims,
liabilities, causes of action, damages, losses, demands or obligations of every kind and nature, relating
to, based upon, or in oral and part, arising out of the past construction project Contract No. C4-10-03-
IRR; and accepts as full and final satisfaction of any and all such claims in the amount designated in
Section 1 above.
3. By entering into this Agreement, both parties express they acknowledge that there is no omission
of liability on behalf of either party and that this Agreement is the result of a negotiated compromise and
settlement.
4, This Agreement embraces and includes the entire agreement between the parties and may not be
changed except in writing signed by all parties.
DATED this day of March, 2012.
WINTHROP CONSTRUCTION, INC. CITY OF PASCO, WASHINGTON
Stephen W, Dean, President Gary Crutchfield, City Manager
Approved as to Form:
Leland B. Kerr, City Attorney