HomeMy WebLinkAboutPasco Downtown Development Assoc - Commercial Kitchen Business Incubator DOWNTOWN COMMERCIAL KITCHEN BUSINESS INCUBATOR
THIS AGREEMENT, made and entered into as of this 16"' day of
September, 2002 , by and between the City of Pasco, a municipal corporation of
the State of Washington (hereinafter referred to as "CITY") and the Pasco
Downtown Development Association, an association of businessmen and
women to promote the development of downtown Pasco (hereinafter referred to
as "PDDA!') .
WHEREAS, the City owns two buildings located at 106 and 108 South
Fourth Avenue, with the power to grant rights and privileges with respect
thereto, as hereinafter provided; and
WHEREAS, the City, utilizing grant funds provided by the U S. Economic
Development Administration and the North American Development Bank,
improved 106 and 108 South Fourth Avenue for use as a commercial kitchen
business incubator; and
WHEREAS, the PDDA is engaged in the development and promotion of
downtown Pasco and has operated over the past several years a "Pasco
Farmer's Market" in the vicinity of the commercial kitchen business incubator;
and
WHEREAS, the CITY is willing to grant PDDA such rights and privileges
upon the terms and conditions hereinafter provided;
NOW, THEREFORE, for and in consideration of the mutual covenants
and agreements herein contained and other valuable considerations, the CITY
does hereby grant unto PDDA permission to utilize the property at 106 and 108
South Fourth Avenue as a commercial kitchen business incubator.
THE TERMS AND CONDITIONS ARE AS FOLLOWS:
( 1 ) The PDDA will hold the CITY harmless and indemnify the CITY
against all claims, suits, damages, costs, losses, and expenses in
any manner, rising out of, or connected with the commercial
kitchen business incubator.
(2) The PDDA agrees to maintain insurance coverage with minimum
liability limits of $ 1 ,000,000 per occurrence and minimum
property damage of $25, 000 per occurrence coverage for the
commercial kitchen business incubator. The CITY will be named
as an additional insured on such policy. PDDA will provide the
CITY with a certificate of such insurance coverage.
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(3) The PDDA will require each and every user at the commercial
kitchen business incubator to sign a Contract of Indemnity on the
form set forth as Exhibit "A" hereto. Each user of the facility shall
be required to sign a new agreement annually and the PDDA shall
hold and maintain the agreement for a period of at least three (3)
years from the date of signing.
(4) The PDDA shall establish appropriate fees and charges for the use
of the commercial kitchen business incubator. The use of such
funds collected shall be limited to payment of expenditures for staff
salaries, advertising, promotion, insurance, utilities, maintenance,
management, and other costs directly attributable to the operation
of the Incubator. After the payment of expenditures , any excess
funds shall go to the PDDA economic restructuring budget.
(5) The PDDA shall maintain the cleanliness of the commercial
business incubator building.
(6) The PDDA shall provide a line item budget (showing both
estimated revenues and expenditures) to the City Manager for his
approval prior to start of operations and annually thereafter.
(7) The CITY shall reimburse the PDDA for actual expenses incurred
in connection with the approved budget (see 6 above) . Said
reimbursement shall be in accordance with the provisions of a
CDBG Subrecipient Grant Agreement. Said reimbursement shall
not exceed $3, 750 per month and a maximum of $45, 000 for a 12-
month period.
(8) The PDDA shall administer the commercial kitchen business
incubator in accordance with the provisions of the grant
agreements with the U.S. Economic Development Administration
and North American Development Bank which are attached hereto
and made a part of this agreement. The PDDA shall file required
job creation and other progress reports in a timely manner.
(9) The PDDA shall provide written rules and guidelines for the
commercial kitchen business incubator operation to the City
Manager for his approval prior to operation.
( 10) The PDDA shall maintain adequate financial records and submit a
written report to the City Manager by November I " of each year.
The records shall include the incubator's income, expenditures,
users , and other market activities. Such records shall be kept for
at least a period of three (3) years or longer at the direction of the
City Manager.
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( 11 ) The PDDA shall comply with applicable federal, state, and local
laws and regulations.
( 12) No person shall, on the grounds of race, color, sex, religion or
national origin, be excluded from participation in the commercial
kitchen business incubator activities or be subject to
discrimination.
( 13) Either party may terminate this Agreement upon the giving of
thirty (30) days written notice to the other party. This Agreement
shall automatically terminate 12-months from the date of
execution unless extended by mutual agreement of the parties.
( 14) The terms and conditions of this Agreement may be modified only
in writing on the signature of both parties.
PASCO DOWNTOWN DEVELOPMENT ASSOCIATION:
1.i1: O.C7LT ./ l "t'A'e'JC L/
Teresa Orosco, President
CITYY OFF PASCO:
Michael L. G rrison, Mayor
ATTEST: APPROVED AS TO FORM:
Webster U. Jacks n, City Clerk Leland B. Kerr, City Attorney
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