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HomeMy WebLinkAbout04-05-10 Council Meeting Arlington City Council April 5, 2010 - 7 PM City Council Chambers 110 E. Third SPECIAL ACCOMMODATIONS: The City of Arlington strives to provide accessible meetings for people with disabilities. Please contact the ADA coordinator at (360) 403-3441 or 1-800-833-8388 (TDD only) prior to the meeting date if special accommodations are required. CALL TO ORDER / PLEDGE OF ALLEGIANCE/ROLL CALL APPROVAL OF THE AGENDA INTRODUCTION OF SPECIAL GUESTS AND PRESENTATIONS -Cornerstone Award ~ Co-op Supply -Outgoing PARC Chair Virginia Hatch PUBLIC COMMENT For members of the public to speak to the Council regarding matters NOT on the agenda. Please limit remarks to three minutes CONSENT AGENDA 1. Minutes of the March 15 and March 22, 2010 meeting ATTACHMENT A 2. Minutes of the January 30, 2010 Council retreat ATTACHMENT B 3. Accounts Payable 4. Civil Service Commission renewal: Howard Christianson, 6-year term ATTACHMENT C to 4-1-2016; PARC renewal: Bob Leonard, 4-year term to 4-1-2014 5. Approval of DABA request to close various streets and public parking ATTACHMENT D lots for special events 6. Resolution supporting the selection of The Boeing Company to build ATTACHMENT DD the next mid-air refueling tanker PUBLIC HEARING 1. Sewer Rate Ordinance ATTACHMENT E UNFINISHED BUSINESS NEW BUSINESS 1. DOE Contract Amendments ATTACHMENT F 2. Kennedy Jenks Change Order ATTACHMENT G 3. Utility Easements from EMJ, LLC ATTACHMENT H 4. Hilltop Annexation ATTACHMENT I 5. Energy Conservation Grant Agreements ATTACHMENT J DISCUSSION ITEMS INFORMATION MAYOR’S REPORT ADMINISTRATOR & STAFF REPORTS COUNCIL MEMBER REPORTS – OPTIONAL SPECIAL ACCOMMODATIONS: The City of Arlington strives to provide accessible meetings for people with disabilities. Please contact the ADA coordinator at (360) 403-3441 or 1-800-833-8388 (TDD only) prior to the meeting date if special accommodations are required. EXECUTIVE SESSION -Discussion of pending or potential litigation [RCW 42.30.110(1)(i)] -To review collective bargaining negotiations, grievances, or discussions regarding the interpretation or application of a labor agreement [RCW 42.30.140(4)] RECONVENE ADJOURNMENT To download all attachments, click here DRAFT Page 1 of 3 Council Chambers 110 East Third March 15, 2010 City Council Members Present by Roll Call: Dick Butner Sally Lien, Scott Solla, Marilyn Oertle, Chris Raezer, Linda Byrnes, and Steve Baker Council Members Absent: There were no Council members absent. City Staff Present: Mayor Larson, Allen Johnson, Jim Chase, Jim Kelly, Rob Putnam, David Kuhl, Fire Chief Jim Rankin, Police Officer Rory Bolter, Paul Ellis, Kris Wallace, Jan Bauer, Steve Peiffle – City Attorney Also Known to be Present: Walt Riebe, Neil Knutson, and Chris Jones Mayor Larson called the meeting to order at 7:00PM, and the pledge of allegiance to the flag followed. Changing the order of New Business Item 4 to be addressed first, Steve Baker moved and Sally Lien seconded the motion to approve the Agenda, which passed with a unanimous vote. APPROVAL OF THE AGENDA INTRODUCTION OF SPECIAL GUESTS AND PRESENTATIONS The focus of Go-21 is to promote freight rail. Mr. Hughes asked for freight rail support and spoke to the benefits of this type of freight service which could then receive federal monies. Mr. Hughes answered Council questions at the conclusion of his presentation. Joseph Hughes – State Director Go-21 Charleen Davis, 229 South Olympic Av enue, Arlington, is against the money spent for purchase of the Graafstra Property. City Administrator Allen Johnson, Mayor Larson, and Councilperson Marilyn Oertle addressed her concerns. PUBLIC COMMENT Don Wick, PO Box 75508, Seattle, 98175, is a former Arlington resident and a former developer. He spoke to the 67th Avenue Project and is concern that it appears money might be wasted on the project. He stated he would carefully follow the project development and volunteered his help with the project. Steve Baker moved and Marilyn Oertle seconded the motion to approve the Consent Agenda which was unanimously carried to approve the following Consent Agenda items: CONSENT AGENDA 1. Minutes of the March 1 and 8, 2010 meetings 2. Accounts Payable Claims Checks #59840 through #60021 in the amount of $2,256,355.95 3. Approval of Settlement Agreement with IAFF Local No. 3728 4. Boards and Commissions Renewals: - Airport Commission: Don Munson and Thomas Wright, 3-year terms to 4-1-2012 - Cemetery Board: Allen Ice and Carsten Mullin, 4-year terms to 2014 - Hotel/Motel Tax Advisory Board: Amber Armstrong and Maryann Monty, 2-year terms to 4-1- 2012 - Planning Commission: Bruce Angell, 6-year term to 2016 Minutes of the Arlington City Council Meeting Minutes of the City of Arlington City Council Meeting DRAFT March 15, 2010 Page 2 of 3 5. Resolution Authorizing the Mayor to sign closing documents relating to the Graafstra Purchase and Sale Agreement PUBLIC HEARING With the use of a power point presentation Public Works Director Jim Kelly explained the reasons for the needed wastewater treatment plant upgrade and the resultant increase in sewer rates for taxpayers. His presentation included answers to questions and comments made at the previous Public Hearing on the proposed sewer rate increase. Sewer Rates Ordinance The Public Hearing was opened at 7:39PM. Julie Seehaas, 319 East Gilman, Arlington, is a tenant of the 4-plex discussed at the last City Council Workshop meeting. She and the other tenants have used conservation measures and have still experienced a continued increase in the charges for water. She asked for water rates based on water actually used. Don Wick again addressed the Council, this time asking for water rates to be based on water consumption. Donna Larson 135 North Dunham, Arlington, thanked the city for the now larger physical size of the bill, and she also was appreciative that notices for this meeting had been available in many different places. She hopes that any water rate increase would be postponed for the next 4 years. Marion Taylor, PO Box 65, Arlington, is concerned with the increase in water and sewer rates and is a proponent of a flow rate cost which would help keep costs down for his tenants. Neil Knutson, 18825 42nd Drive NE, Marysville, a former Arlington resident, spoke to water usage in Marysville, where water cost is based on usage. He gave a list of suggested conservative measures. Christina Jackson, 7805 Jensen Farm Lane, #6, Arlington, is concerned with the high sewer rates, and doesn’t agree with a flat rate, stating that residents should be charged for what they use. Lloyd Hatfield, 5817 252nd St NE, Arlington, addressed water rates, spoke to the cost of water and sewer rates which keep going up. He noted that many people are living on a fixed income and will not be able to afford increased rates. Basing rates on City financial needs is not good for citizens. He noted salaries of City employees and asked if a better job could be done by all involved. This evening’s Public Hearing was closed at 7:59PM and the Public Hearing will continue to the April 5 meeting. Mr. Kelly answered Council questions, and Council made comments regarding tonight’s testimony. Council and Mr. Kelly discussed review of the water rate structure, the City’s penalties regarding wastewater into the Stillaguamish River, the use of reserves, billing based on needs, and conservation of water usage. Finance Director Jim Chase also answered Council and audience questions regarding need for the reserve fund, flow based water rates, and the switch to monthly water billing. Mayor Larson and Mr. Kelly spoke to unfunded mandates. Also discussed was the senior citizen rate. Mr. Kelly answered additional audience questions. There was no Unfinished Business. UNFINISHED BUSINESS NEW BUSINESS Mr. Kelly addressed a Contract Renewal with the Grewe Family Partnership. Agreement with Grewe Family Partnership for Storm Drainage Minutes of the City of Arlington City Council Meeting DRAFT March 15, 2010 Page 3 of 3 Scott Solla moved to authorize the Mayor to sign the Stormwater Drainage Maintenance Agreement between the City of Arlington and Dan Grewe Family Limited Partnership. Sally Lien seconded the motion. Mr. Peiffle noted a correction that should read beginning on July, rather than January, as erroneously stated in the Agreement. Mr. Solla accepted this amendment as did Sally Lien. The motion passed with a unanimous vote. Airport Manager Rob Putnam addressed the Surplus and Demolition of Lot 108. This has been reviewed by the Airport Commission. Mr. Peiffle and Mr. Putnam then answered Council questions. Lot 108 Building Surplus and Demolition Linda Byrnes moved that the City contract with the Department of Corrections for the surplus and demolition of the airport-owned building on Lot 108, with the cost not to exceed $31,000. Chris Raezer seconded the motion that passed with a unanimous vote. Fire Chief Jim Rankin spoke to the need for a new MES Medical Director. EMS Medical Director Agreement Sally Lien moved to approve the EMS Medical Director Agreement with Dr. Hutchinson and authorize the Mayor to sign the agreement. Dick Butner seconded the motion that passed with a unanimous vote. Chief Rankin gave a description of the Snohomish County Department of Emergency Management coordination services. Chief Rankin then answered Council questions. Interlocal Agreement with Snohomish County DEM Sally Lien moved to authorize the Mayor to sign the proposed Interlocal Agreement for Emergency Management Services with Snohomish County Department of Emergency Management. Scott Solla seconded the motion that passed with a unanimous vote. Mayor Larson noted meeting she had recently attended. MAYOR’S REPORT Dick Butner, Sally Lien, Scott Solla, Marilyn Oertle, Chris Raezer, Linda Byrnes, and Steve Baker gave brief reports. CITY COUNCIL COMMITTEE REPORTS City Attorney announced the need for an Executive Session, expected to last approximately 25 minutes, to discuss pending or potential litigation [RCW 42.30.110(1)(i)], with no action to be taken during or after the Session. EXECUTIVE SESSION The meeting was reconvened at 9:27PM. RECONVENE With no further business to come before the Council, the meeting was adjourned at 9:27PM. ADJOURNMENT ____________________________ Margaret Larson, Mayor DRAFT Page 1 of 2 Council Chambers 110 East Third Street March 22, 2010 Dick Butner Sally Lien, Scott Solla, Marilyn Oertle, Chris Raezer, Linda Byrnes, and Steve Baker, Mayor Larson, Allen Johnson, Bill Blake, Jim Chase, Rob Putnam, David Kuhl, Cristy Brubaker, Paul Ellis, Kristin Banfield, Eric Scott, Jan Bauer, Steve Peiffle – City Attorney Council Members Absent: There were no Council members absent. Also Known to be Present: Marion Taylor, Kurt Hecla, George Boulton, and Walt Riebe. Mayor Larson called the meeting to order at 7:00PM. Steve Baker moved to approve the Agenda, and Sally Lien seconded the motion, which passed with a unanimous vote approving the Workshop Agenda. WORKSHOP ITEMS – NO ACTION WAS TAKEN Evaluation and Selection of Centennial Trail Alignment for 67th At this time Public Works Director Jim Kelly introduced Eric Scott, Arlington’s new City Engineer. Ave. – Phase 3 Mr. Kelly, along with Erik Dawson and Justin McCafree presented the Trail Alignment issues. The three main factors surrounding the trail align choice include cost, safety, and the ability to cross the railroad tracks. Mr. Kelly distributed and introduced new information from BNSF regarding railroad crossings. Throughout the presentation Mr. Dawson, Mr. McCafree, and Mr. Peiffle answered Council questions. Since there is much added information, Council asked for a delay in the April 5 decision-making vote. This will item be addressed again at the April 26 Council Workshop. Public Works Director Jim Kelly described the investment of additional work done which will then provide support for the City as they apply for “Green Funding” through ARRA. This item will return to the Council on April 5 for approval. Kennedy-Jenks change Order #5 – Services to Support Green Building Funding Mr. Kelly noted the utility easement which the Council will address at the April 5 Council meeting. Acceptance of Utility Easement from EMJ LLC (aka American Boiler Works (ABW) With the use of an overhead projection Community Development Director David Kuhl addressed the proposed Annexation site. Mr. Thom Berry and Mr. Kuhl then answered Council questions. This will be addressed at the April 26 Council Workshop. Consideration of Notification of Intention to Annex 10% Petition, Hilltop Sports Assistant City Administrator Kristin Banfield and Mr. Kelly spoke to revisions that have been made to Title 12. Throughout their presentation Ms. Banfield, Mr. Kelly and Mr. Peiffle answered Council questions. Council was asked to email staff with pertinent questions that would be addressed at the April 26 Council Workshop. Review of AMC Title 12 Minutes of the Arlington City Council Workshop Minutes of the City of Arlington City Council Meeting DRAFT March 22, 2010 Page 2 of 2 Ms. Banfield distributed additional information, and she and Mr. Kelly described the newly formed matrix. This will be addressed at the April 26 Council Workshop. Distribution of AMC Title 13 City Attorney Steve Peiffle stated the need for a 20-minute Executive Session for the consideration of real estate lease on purchase or price [RCW 42.30.110(1)(b)-(c)] with no action to be taken during or after the meeting.. The recess began at 8:06PM. EXECUTIVE SESSION At 8:26PM Mr. Peiffle announced that at the direction of the Mayor the Executive Session is being extended for 10 additional minutes. At 8:32PM the Council Workshop meeting was reconvened, and with no further action the meeting was immediately adjourned at 8:32PM. ____________________________ Margaret Larson, Mayor Minutes of the Arlington City Council Retreat River Rock Inn January 30, 2010 City Council Members Present: Steve Baker, Dick Butner, Linda Byrnes, Sally Lien, Marilyn Oertle, Chris Raezer, Scott Solla City Staff Present: Facilitator Steve Peiffle called the retreat to order at 8am. Mayor Margaret Larson, Allen Johnson, Jim Chase, Bob Sullenberger, David Kuhl, Paul Ellis, Jim Rankin, Vic Ericson, Rob Putnam, Jim Kelly, Bill Blake, Kristin Banfield. Retreat Facilitator – Steve Peiffle The Council and City staff reviewed the projects the City has accomplished in the last 6 years. Accomplishments Staff was asked to check the City’s website for the Vision Statement. If it was not posted to the site, Council requested that it please be added. A copy of the current Vision Statement will be provided to all Council members and the senior management team. Vision Statement The City Council and staff then reviewed the progress made on the 2009 Top Ten Goals and Priorities that were developed during the 2009 Council Retreat. With the use of the provided Status Report, each Director reviewed their respective department’s progress on the Top Ten Goals and Priorities. Progress on the “2009 Top Ten Goals and Priorities” The City Council and staff then discussed what items should become the top goals and priorities for 2010. Prior to the Retreat, facilitator Steve Peiffle had given the Council and Mayor an assignment to list their five top goals and priorities for 2010. At this time, Council presented their lists and staff was asked to add to these goals. From these, the Council then did a “Top 10 Goals and Priorities for 2010” multi-voting exercise . From this exercise the top ten votes were: 2010 Top Goals and Priorities – Multivoting Exercise 1. Fire Station #46 T2. Emergency Management T2. Consider Incentives for Development (tied for 2nd) T4. 172nd St NE – 43rd to SR 9 Minutes of the Arlington City Council Retreat January 30, 2010 Page 2 of 3 T4. Coalition of North County Cities T6. Lobbying County, State & Federal Representatives T6. Hwy 530 Corridor – Island Crossing T6. Develop Retail Business T9. Trails – Gap and 67th T9. Meet / Host Stillaguamish Tribe This list will be brought back to the Council in Resolution form for formal adoption. The 2010 Budget revenues were discussed. Finance Director Jim Chase reminded all the attendees that everyone needs to spend wisely in 2010. He reminded the group that the City was projected to start 2010 with $900,000 beginning fund balance and the actual beginning fund balance was $200,000. Review of 2010 Revenue Utility Rates – Council and staff held a brief discussion on sewer rates and the schedule of Council presentations and public hearings on the proposed increase to the sewer rates. Council will have a workshop on February 8, and public hearings on March 1 and March 15. Review of Miscellaneous Issues & Priority Projects Capital Projects – a brief discussion followed on the options to fund the reconstruction of Fire Station #46, the potential for a community building adjacent to the library, and the opportunities to revisit the adopted Haller Park Master Plan with the potential relocation of the Arlington Food Bank. Emergency Management – Chief Rankin noted that our basic Emergency Management plan is complete and now we need to train all City staff on plan implementation, should we experience an emergency. We also must develop a Continuity of Operations Plan for the entire community that outlines how we will operate once the immediate emergency is under control. This plan needs to include not just city government, but our financial institutions, our school system, all of our utility systems, and more. Significant discussion followed on the current state of planning and preparation, as well as the status of the joint partnership with the Schools and the Hospital. After this discussion, the Council’s consensus was to bring this issue back to the Council in an upcoming workshop with an outline of what is to be accomplished with potential funding sources identified. Minutes of the Arlington City Council Retreat January 30, 2010 Page 3 of 3 Staff distributed the newest version of the “Councilmember Handbook”, published by MRSC in December 2009. Mr. Peiffle reviewed the roles of the Mayor and Council, using the Handbook as a guide. The Council also discussed how they currently operate at Council meetings and areas they could improve, including encouraging public comment in workshops, using additional time at the Council workshops to share recent news and updates, and slowing down on making motions and pausing between steps. Governance Items Mr. Peiffle then distributed the “Open Public Meetings Act Manual” published by MRSC in May 2008 and reviewed the act itself as well as the intent with all the Council members and staff. Refresher training on the Open Public Meetings Act as well as the Public Records Act was provided to all Council members and staff present, including how telephone and email conversations between elected officials can be considered a meeting under the Open Public Meetings Act, and that records of the exchange, even if they occur using personal accounts, must be disclosed under the Public Records Act. The retreat was adjourned at 4:35pm. City of Arlington Council Agenda Bill AGENDA ITEM: Consent Agenda #4 ATTACHMENT C COUNCIL MEETING DATE: April 5, 2010 SUBJECT: Boards and Commissions renewals DEPARTMENT OF ORIGIN: Executive ATTACHMENTS: Completed reappointment forms. EXPENDITURES REQUESTED: N/A BUDGET CATEGORY: N/A LEGAL REVIEW: N/A DESCRIPTION: These are renewals of terms for the following: Civil Service Commission: Howard Christianson, 6-year term to 4-1-2016 PARC: Bob Leonard, 4-year term to 4-1-2014 HISTORY: By Council policy adopted March 5, 2007, those persons eligible and desiring to reapply for terms on the City’s Boards and Commissions must do so by completing the application and submitting back to us. COMMITTEE REVIEW AND ACTION: N/A ALTERNATIVES: -Do not renew the terms as stated above. RECOMMENDED MOTION: I move that the Council approve the current renewals of terms on the Boards and Commissions. City of Arlington Council Agenda Bill AGENDA ITEM: Consent #5 ATTACHMENT D COUNCIL MEETING DATE: April 5, 2010 SUBJECT: Request for City Street and Parking Lot Closures for Special Events from DABA DEPARTMENT OF ORIGIN: Recreation Contact: Sarah Hegge, 360-403-3448 ATTACHMENTS: - List of proposed closures of City Streets and Parking Lots EXPENDITURES REQUESTED: -0- BUDGET CATEGORY: N/A LEGAL REVIEW: N/A DESCRIPTION: The Downtown Arlington Business Association (DABA) has submitted requests to close certain streets and parking lots for special events in the downtown. An attached list outlines the proposed closures. HISTORY: In the past, these events have used the public property requested. City code requires that street closures be approved by City Council. ALTERNATIVES: Deny any or all of the request. RECOMMENDED ACTION: Approve the requested parking lot and street closures. Special Events 2011 Parking Lot Closures: May Hunt Garage Sale- DABA May 15 6am-6pm City Hall Parking Lot-North end Arlington Farmers Market Saturdays June-Oct 9am-3pm Legion Park Parking Lot Show and Shine Car Show- DABA June 12 6am-6pm Merchant’s Parking Lot Street Fair- DABA July 9 & 10 6am-8pm Merchant’s Parking Lot Community Day- DABA Sept 18 6am-5pm City Hall Parking Lot- North end October Hunt Garage Sale-DABA Oct 16 6am-6pm City Hall Parking Lot-North end Street Closures: Memorial Day Parade-Legion May 31 10am Moving Parade on Olympic Ave (no closure) Show and Shine Car Show-DABA June 12 6am-6pm Olympic Ave 2nd -Division St July 4th Grand Parade-Hospital July 4 2pm-7pm Olympic Ave and staging streets Street Fair- DABA July 9 & 10 6am-8pm Olympic Ave 2nd-5th Street Hometown Halloween-City Oct 10 12pm-3pm 1st Street Hill for Pumpkin Roll Veteran’s Day Parade-Legion Nov 11 11am Moving Parade on Olympic Ave (no closure) Santa Parade- City Dec 4 11am-12:30 Staging Division to 5th Parade on Olympic Ave. and Resolution No. _______ 1 RESOLUTION _______ A RESOLUTION urging the U.S. Department of Defense to select The Boeing Company to build the next mid-air refueling tanker. WHEREAS, the United States Department of Defense has begun the process to procure the Air Force's next mid-air refueling tanker; and WHEREAS, Boeing and Airbus are anticipated to be the competitors to build that tanker; and WHEREAS, that contract could be worth $35 billion; and WHEREAS, the U.S. economy is currently struggling through a recession of historic magnitude; and WHEREAS, unemployment nationally and in Washington remains around 10%; and WHEREAS, U.S. taxpayers deserve the best tanker at the least cost; and WHEREAS, The Boeing Company has a history of producing successful tankers for the U.S. Air Force and other countries' air forces; and WHEREAS, Boeing can deliver a better aircraft more quickly to our soldiers, sailors and airmen; and WHEREAS, Boeing will build its tankers in Everett, Washington at a proven plant, with a highly skilled and dedicated regional workforce that has a tradition of building the best airplanes in the world; and WHEREAS, the Puget Sound region is home to the vast majority of Boeing's more than 75,000 workers; and WHEREAS, each job at Boeing supports nearly three additional jobs; and WHEREAS, Aerospace workers earn an average of more than $50,000 a year - 60 percent higher than the average for all private sector industries; and WHEREAS, most aerospace companies are relatively small businesses-many with five to 50 employees; and WHEREAS, approximately $5.4 billion is paid in annual wages to aerospace workers-five percent of all wages paid in the state; and WHEREAS, the Arlington City Council values these jobs and the people who hold them, and will make it a priority to ensure Washington and the Puget Sound region remains the best place to design, build, and market commercial airplanes; and Resolution No. _______ 2 WHEREAS, our national security interests are not served by sending this valuable and strategic program overseas; and WHEREAS, Airbus has a majority of their workers in Europe, and by their own admission would only do the finishing work for a tanker in the U.S.- that's as little as 5 percent; and WHEREAS, awarding the contract to Boeing can create or retain 40,000 to 50,000 American jobs at a time in history when we desperately need them; and WHEREAS, U.S. taxpayers are not served by buying tankers from both Boeing and Airbus in this competition; NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF ARLINGTON, THE MAYOR CONCURRING, THAT: The U.S. Department of Defense should select Boeing over Airbus to build the next mid- air refueling tanker; and BE IT FURTHER RESOLVED THAT: The U.S. Department of Defense should not split the contract between the two competitors; and BE IT FURTHER RESOLVED THAT: Copies of this Resolution be immediately transmitted by the City Clerk to Boeing Corporate Offices in Chicago, Boeing Commercial Airplanes in Seattle, the International Association of Machinists and Aerospace Workers, and the Society of Professional Engineering Employees in Aerospace. Passed at a regular meeting this ____ day of _________, 2010 CITY OF ARLINGTON _________________________________ Margaret Larson, Mayor Resolution No. _______ 3 Attest: _____________________________ Kristin Banfield City Clerk Approved as to form: City of Arlington Council Agenda Bill AGENDA ITEM: Public Hearing ATTACHMENT E COUNCIL MEETING DATE: April 5, 2010 SUBJECT: Sewer Rate Increase DEPARTMENT OF ORIGIN: Public Works – Utilities Division James Kelly ATTACHMENTS: • Draft Ordinance – Regarding Monthly Sewer Rates EXPENDITURES REQUESTED: None BUDGET CATEGORY: N/A LEGAL REVIEW: Pending final review by City Attorney DESCRIPTION: This is a proposed ordinance raising the Monthly Sewer Service Charges as shown in the attached Monthly Sewer Service Charges Ordinance. A Public Hearing regarding the increase in Monthly Sewer Service Charges will be held per the below schedule: - March 1, 2010 Public Hearing - March 15, 2010 Public Hearing - April 5, 2010 Council consideration and potential action HISTORY: The City of Arlington’s Wastewater Treatment Plant (WWTP) reached the 85% inflow capacity level in 2005 which triggered a state and federal requirement that the plant capacity be increased. This, coupled with increasingly stringent discharge requirements from a federally mandated state clean-up plan for the Stillaguamish River, required that the City upgrade the both the capacity and treatment technology of the WWTP. The City is currently constructing the necessary expansion and upgrades to the WWTP. Following a funding study, the Sewer Connection Fee was increased to $8,400.00 per ERU in December 2008 to allow new connections to pay their fair, proportionate share of the existing sewer system and of the upgrades and expanded WWTP. It is now time for the existing customers to pay their fair, proportionate share of the WWTP treatment process upgrade through increased Monthly Sewer Service Charges. ALTERNATIVES: Table for further Discussion RECOMMENDED ACTION: Adopt Ordinance Regarding Monthly Sewer Rates. Ordinance _____ Page 1 ORDINANCE NO. ______ AN ORDINANCE OF THE CITY OF ARLINGTON, WASHINGTON REGARDING MONTHLY SEWER CHARGES WHEREAS, the City of Arlington, Washington has the authority to enact laws to promote the health, safety and welfare of its citizens; and WHEREAS, the City of Arlington is in the process of upgrading the treatment processes of the existing wastewater treatment plant in order to meet new Department of Ecology discharge standards designed to increase water quality in the Stillaguamish River and the Puget Sound; and WHEREAS, the City of Arlington is in the process of upgrading the treatment processes of the existing wastewater treatment plant in order to meet the new discharge limitations contained in the reissued NPDES permit; and WHEREAS, the City of Arlington has incurred debt for the wastewater treatment plant upgrade project; and WHEREAS, the City of Arlington continues to examine equitable monthly sewer charges for sewer service, and believes that amending the current monthly sewer charges is necessary and fair to equitably allocate debt repayment costs ; NOW, THEREFORE, be it ordained by the City Council of the City of Arlington as follows: Section 1. Arlington Municipal Code section 13.12.115 shall be and hereby is modified to read as follows: 13.12.115 Residential and other sewer rates and charges. State and city utility taxes shall be added to the following rates and charges for sewer service. The effective dates for the following four-year plan will be based on the city's billing cycle for use beginning on April 15, 2010, and January 15th of each year thereafter: Sewer Charges (Monthly) 2010 2011 2012 2013 Base rate per residential unit $53.75 $58.75 $63.75 $68.75 Beginning on January 15, 2014, and on January 15th each year thereafter, the rates set forth for the year 2013, or in the previous billing year, shall be increased annually by the percentage increase of the Consumer Price Index (CPI) for the Seattle-Tacoma-Bremerton area for All Urban Consumers, or other measure commonly used by the city should it change provided, however, that notwithstanding any reduction in the CPI, rates shall not decrease. Ordinance _____ Page 2 Section 2. Arlington Municipal Code section 13.12.120 shall be and hereby is modified to read as follows: 13.12.120 Commercial classification and sewer rates and charges. (1) All sanitary sewerage users consisting of any public or private premises not classified under Section 13.12.110 or classified as an industrial user under Section 13.12.121, shall be classified as commercial and charged upon the basis of water consumption. State and city utility taxes shall be added to the following rates and charges for sewer service. The effective dates for the following four-year plan will be based on the city's billing cycle for use beginning on April 15, 2010 and January 15th of each year thereafter. Each user shall pay a minimum monthly charge of one base rate plus a volume rate for all consumption over three hundred cubic feet per month. Sewer Charges (Monthly) 2010 2011 2012 2013 Base rate (includes 300 cubic feet per month) $53.75 $58.75 $63.75 $68.75 Volume rate (per 100 cubic feet per month) $5.55 $6.10 $6.60 $7.10 Beginning on January 15, 2014, and on January 15th (2) The Finance Director may elect to bill the user for the user’s sanitary sewerage charges during each calendar year upon a fixed monthly basis determined on or about April 1st each year by computing the average monthly water consumption for the period from November 15th of the preceding year to March 15th of the following year and charging rates based upon such average monthly water consumption. Where there is no history of the November 15th to March 15th period, the charges shall be based upon actual consumption until such a history exists. each year thereafter, the rates set forth for the year 2013, or in the previous billing year, shall be increased annually by the percentage increase of the Consumer Price Index (CPI) for the Seattle-Tacoma- Bremerton area for All Urban Consumers, or other measure commonly used by the city should it change, provided, however, that notwithstanding any reduction in the CPI, rates shall not decrease. (3) Where the use of water is such that a portion of all water used is lost by evaporation, irrigation, sprinkling or other causes, upon proof to the city of such fact and of the amount of water so lost, any such user may have his charges changed to reflect such water loss. (4) If more than one such user is located in any one building or upon any one lot, each month each such user shall separately pay their proper rate for sewage disposal service. Ordinance _____ Page 3 (5) The above rates are established for general sewer service conditions. Where special conditions affect the sewage load or where a service from a single building or lot discharges the combined waste from two or more businesses or users on a single water meter, the proration of the rate shall be set by the city, taking into account the sewage services provided or to be provided, but in no event shall the charge for each such user be less than the minimum charges set forth in Sections 13.12.100 through 13.12.140 of this chapter. Section 3. Arlington Municipal Code section 13.12.121 shall be and hereby is modified to read as follows: 13.12.121 Industrial user classification and charges. Beginning on April 15, 2010, and January 15th of each year thereafter, the rates and charges for industrial users, as defined in Section 13.08.213, 13.08.215 and 13.40 of this code, shall be as follows: (1) All user charges shall be based upon equitable unit charges established for Flow, BOD (biochemical oxygen demand) loading and TSS (total suspended solids) loading, based upon the average BOD, TSS and other parameter(s) concentrations (as established by the Public Works Director) monitored for the industrial user and the flow recorded in the monitoring manhole or water use. (2) A minimum monthly charge will be established by the city to cover the basic sewer costs and monitoring of the industrial user's wastewater discharge, and in the event the monthly sewer bill does not exceed this amount, the industrial user shall agree to pay the estimated minimum monthly charge. This charge shall be reviewed from time to time and adjusted to ensure the charge is covering the monitoring services and sewer costs provided and must be reviewed every two years. Initially, the monthly charges shall be based on the following, unless otherwise established in the negotiated discharge permit: (A) For an industrial user with waste strength less than two hundred fifty mg/l, measured as five-day BOD and TSS, and other parameters within limits established in Sections 13.08.213, 13.08.215 and 13.40 of this title, and whose discharge does not require regular monitoring other than flow, the minimum monthly charge is as set forth below: Sewer Charges (Monthly) 2010 2011 2012 2013 waste strength <250 mg/l $330.00 $360.00 $390.00 $420.00 Ordinance _____ Page 4 (B) For an industrial user with waste strength in excess of two hundred fifty mg/l for two months or more per year, the minimum monthly charge is as set forth below: Sewer Charges (Monthly) 2010 2011 2012 2013 waste strength >250 mg/l $1,320.00 $1,440.00 $1,570.00 $1,690.00 (C) Beginning January 15, 2014, and on January 15th (3) Until such time as a sewer user charge analysis can be conducted to establish equitable charges under a negotiated discharge permit between the city and the industrial user, the following shall be used as the basis for industrial user charges: each year thereafter, the charges set forth in subsections (2) (A) and (2) (B) of this section, shall be increased annually, by the percentage increase of the Consumer Price Index (CPI) for the Seattle-Tacoma-Bremerton area for All Urban Consumers, or other measure commonly used by the city should it change, provided, however, that notwithstanding any reduction in the CPI, rates shall not decrease. (A) Flow based charge per cubic foot of wastewater discharged; (B) BOD charge per pound of BOD discharged; (C) TSS charge per pound of TSS discharged; Sewer Charges (Monthly) 2010 2011 2012 2013 Flow-based charge (per cubic foot) $0.01580 $0.01730 $0.01880 $0.02030 BOD charge (per pound BOD) $0.495 $0.540 $0.590 $0.635 TSS charge (per pound TSS) $0.330 $0.360 $0.390 $0.420 (4) Flow shall be based upon one hundred percent of the water consumption or flow of wastewater discharge into the sewer (measured in an industrial user installed flow measurement and recording equipment installed in control manhole, pursuant to Section 13.40 of this title). Strength of wastewater discharged shall be established based upon twenty-four-hour composite samples made by the city at the control manhole and tested by the city's wastewater treatment plant laboratory or state certified testing laboratory. All testing shall be in accordance with the latest edition of "Standard Methods for Examination of Water and Wastewater," APHA, AWWA and WPCF. BOD and TSS, pounds per day, shall be calculated based upon concentration of composite samples and established flow rates. Ordinance _____ Page 5 (5) Appeal. (A) If any user believes that a portion of the user’s metered flow, larger than ten percent, is not discharged into the sewer system (when flow measurement is not provided in the control manhole), the user should make written application to the Public Works Director for review of the user's flow of wastewater. If the Public Works Director agrees that charges for the user should be adjusted, he or she shall so notify the city council, which may approve such change, or direct a recomputation of the user's sewer rates. (B) If the Public Works Director does not agree to the adjustment of user charges, the user may further appeal to the city council, which may take such other action as it deems appropriate or direct further study. Section 4. Arlington Municipal Code section 13.12.125 shall be and hereby is deleted in its entirety. Section 5. Severability. Section 6. Should any section, paragraph, sentence, clause or phrase of this ordinance, or its application to any person or circumstance, be declared unconstitutional or otherwise invalid for any reason, or should any portion of this ordinance be preempted by state or federal law or regulation, such decision or preemption shall not affect the validity of the remaining portions of this ordinance or its application to other persons or circumstances. Effective Date. The title of this ordinance, which summarizes the contents of this ordinance, shall be published in the official newspaper of the City. The ordinance shall take effect and be in full force five (5) days after the date of publication; provided, however, that the rates and charges set forth herein shall not be effective prior to April 15, 2010 PASSED BY THE CITY COUNCIL AT A REGULAR MEETING THEREOF ON THE ____ DAY OF _____________, 2010. CITY OF ARLINGTON By___________________________________ Margaret Larson, Mayor Attest: ________________________________ Kristin Banfield, City Clerk Approved as to form: __________________________________ Steven J. Peiffle, City Attorney City of Arlington Council Agenda Bill AGENDA ITEM: New Business #1 ATTACHMENT F COUNCIL MEETING DATE: April 5, 2010 SUBJECT: Amendments to DOE State Revolving Fund Loan Agreements No. L1000024 and L1000025(SRF and ARRA) DEPARTMENT OF ORIGIN: Public Works – Utilities Division James Kelly ATTACHMENTS: • Draft Loan Agreement Amendments (2) EXPENDITURES REQUESTED: No cost BUDGET CATEGORY: N/A LEGAL REVIEW: Pending review by City Attorney DESCRIPTION – Council is being requested to authorize the Mayor to sign amendments to the existing State Revolving Fund (SRF) loan agreements for the Wastewater Treatment Plant Upgrade and Expansion Project. One amendment id for a technical correction and the other amendment reflect that the project is a “Green Project” and is eligible for forgivable principle. HISTORY: The City has been awarded $9,467,660 in State Revolving Funds (SRF) and $5,540,000 in American Recovery & Reinvestment Act funds (ARRA) to help fund the WWTP Upgrade and Expansion project. The SRF loan agreement needs a technical correction to correct for a mathematical error. The ARRA loan is being amended to provide $449,741) in forgivable principle. The City applied for “Green Project Funding” and Ecology has determined that $899,481 of the project cost is eligible as “Green Project Reserve”. This means that the City will convert 50 percent of that amount ($449,741) to forgivable principle under the ARRA loan. Existing contracts need to be amended and have the budgets adjusted accordingly to reflect the updated numbers. ALTERNATIVES: None. RECOMMENDED ACTION: Recommend that the City Council authorize the Mayor to sign the DOE State Revolving Fund Loan Agreement Amendments for the Wastewater Treatment Plant project, pending final review by the City Attorney. City of Arlington Council Agenda Bill AGENDA ITEM: New Business #2 ATTACHMENT G COUNCIL MEETING DATE: April 5, 2010 SUBJECT: Kennedy/Jenks Consultants Construction Management Contract Amendment #5 DEPARTMENT OF ORIGIN: Public Works – Utilities Division James Kelly ATTACHMENTS: • Contract Amendment #5 to Kennedy/Jenks CM Contract EXPENDITURES REQUESTED: $7,200.00 BUDGET CATEGORY: WWTP Project (Fund 408) LEGAL REVIEW: Reviewed by City Attorney DESCRIPTION This is a change order to the K-J WWTP Construction Management contract for additional services, a summary of the total contract change is as follows:: Original Contract Amount $ 1,519,665.00 Charge Orders No. 1-4 $ 22,880.00 Change Order #5 $ 7,200.00 TOTAL $ 1,549,745.00 HISTORY: KJ performed additional work to provide support to the City in applying for “Green Funding” under the American Reinvestment and Recovery Act (ARRA). With Kennedy-Jenks’ assistance, the City was able to identify $900,000.00 of the WWTP construction as qualifying for “Green Construction”, this qualification allows 50% (or $450,000.00) to be forgivable principle. ALTERNATIVES: Do not approve Contract Amendment # 5, table for further discussion. RECOMMENDED ACTION: Authorize the mayor to sign Contract Amendment #5 to the Kennedy/Jenks Construction Management Contract. City of Arlington Council Agenda Bill AGENDA ITEM: New Business #3 ATTACHMENT H COUNCIL MEETING DATE: April 5, 2010 SUBJECT: Acceptance of Utility Easements from EMJ LLC (aka American Boiler Works-ABW) DEPARTMENT OF ORIGIN: Public Works – Engineering ATTACHMENTS: • Utility Easement EXPENDITURES REQUESTED: N/A BUDGET CATEGORY: N/A LEGAL REVIEW: Legal description has been reviewed by staff, upon approval of acceptance by Council; the City Attorney will draft the appropriate easement document for signature by the property owner. DESCRIPTION: EMJ LLC (aka American Boiler Works-ABW) is dedicating a utility easement as shown on the attached map. HISTORY: As a condition of further site development and the installation of additional utility services to this site, the property owner is required to dedicate easements for the City’s access to maintain and service these lines. ALTERNATIVES: • Remand to staff for additional information RECOMMENDED MOTION: Recommended that Council approve. "Legend Easement RAI L-LI NE ROW County P arcels Scale:Date: File Name: Drawn By: EMJ_Easement8.5x11_10.mxd 3/5/2010 lb EMJ, LL C. (AB W)Proposed Utilty Ea sem ent City of Ar lington 1 inch = 200 feet 67th Ave NE 66th Ave NE 188th St NE 191st Pl NE Community Development City Council Agenda Bill AGENDA ITEM: New Business #4 ATTACHMENT I COUNCIL MEETING DATE: April 5, 2010 SUBJECT: Consideration of Notification of Intention to Annex 10% Petition for Hilltop Sports Annexation (File No. PLN20100004) DEPARTMENT OF ORIGIN: Community Development ATTACHMENTS: 1. 10% Petition for Notification of Intention to Annex form. 2. Vicinity map of proposed annexation. 3. Aerial map of proposed annexation 4. Staff memorandum EXPENDITURES REQUESTED: N/A BUDGET CATEGORY: N/A DESCRIPTION: An Intention to Commence Annexation 10% Petition form has been submitted for approximately 26.12 acres located on the southwest corner of 172nd Street NE/SR 531 and SR 9. The property is within the City Urban Growth Area, and the current City limits abut the proposed annexation area on the north. The City’s Comprehensive Plan designates the area as General Commercial, and the zoning map pre-zones this area as General Commercial. HISTORY: Thomas Barry on behalf of S. Jay Lee and Hilltop Sports, LLC, submitted an application for annexation/Annexation 10% Petition form on February 17, 2010. The request has been reviewed by staff. The proposed annexation had been previously applied for on April 27, 2006, but was put on indefinite hold by the City of Arlington due to water/sewer incapacities at that time. That file has since been voided and a new application is again being processed, now that we will have adequate water/sewer availability to this site. COMMITTEE REVIEW AND ACTION: None. ALTERNATIVES: 1. Approve. 2. Geographically modify the proposed annexation. 3. Deny with or without prejudice RECOMMENDED ACTION: Accept the Annexation 10% Petition form for the Hilltop Sports Annexation (File No. PLN20100004), allowing the circulation of the 60% petition for annexation, to include the assumption of their proportionate share of the City’s bonded indebtedness and the assumption of the Comprehensive Plan Land Use Designation of General Commercial and zoning of General Commercial, and with the understanding that a Development Agreement will be required prior to the annexation becoming effective. Community Development 238 North Olympic Avenue Arlington, WA 98223 360-403-3551 MEMORANDUM APRIL 5, 2010 TO: Mayor and City Council FROM: David Kuhl, AICP, Director Community Development SUBJECT: Annexation 10% Petition Form for Hilltop Sports (PLN20100004) Tom Barry, on behalf of S. Jay Lee a.k.a. Hilltop Sports, has submitted an application for annexation, 10% Petition for Notification of Intention to Annex form on January 29, 2010. The application was deemed complete on February 18, 2010. The property consists of approximately 26.12 acres of land located at the southwest corner of Highway 9 and SR 531. The property is within the City’s Urban Growth Area and the current city limits abut the north end of the property. The City’s Comprehensive Plan designates the area as General Commercial and the City’s Zoning Map pre-zones the area as General Commercial. The reason for the annexation request is to allow the applicant to connect to the City’s sewer and water systems. The applicant is working on development plans, but none have been submitted at this time. Staff has reviewed the request and no major issues with the annexation have been identified. The site is adjacent to the proposed roundabout that will be built by WSDOT. Any environmental impacts of development would be identified and mitigated at the time of application for land use development permits. The annexation is consistent with the following Comprehensive Plan Policies: Growth Policy (PL-4.3) – concentrate new growth within the Urban Growth Area. Growth Policy (PL-4.7) – encouraging urban development only on land where the City can provide urban services as required by GMA. Growth Policy (PL-6.2) – providing urban services in a logical manner and within a reasonable period of time. Growth Policy (PL-6.4) – annexation areas should be pre-designated and pre-zoned so that interested parties know what they will be once annexed. If Council approves the Annexation 10% Petition form, the applicant will be allowed to circulate the 60% petition for annexation and submit the signed petition to the City. Staff will forward the 60% petition to the County for Certification of Sufficiency and then ask the Council to set a date for the public hearing before the City Council. A development Agreement will be required prior to the annexation becoming effective. A representative from Hilltop Sports will be present to answer any questions the Council may have. Staff recommends that the Council accept the Annexation 10% Petition form for the Hilltop Sports Annexation (File No. PLN20100004) and allow the circulation of the 60% petition for annexation with the zoning of General Commercial and the assumption of their proportionate share of the City’s bonded indebtedness with the understanding that, if the annexation is approved, a Development Agreement would be required prior to the annexation becoming effective. City of Arlington Council Agenda Bill AGENDA ITEM: New Business #5 ATTACHMENT J COUNCIL MEETING DATE: April 5,,2010 SUBJECT; Approval of Grant Agreements with Dept of Commerce for EECDBG funding and Snohomish PUD Energy conservation funding. DEPARTMENT OF ORIGIN: Executive Contact: Paul Ellis, 360-403-4603 ATTACHMENTS: Grant Agreement with Washington state Department of Commerce Grant Agreement with Snohomish Public Utility District (PUD) EXPENDITURES REQUESTED: -0- BUDGET CATEGORY: N/A LEGAL REVIEW: Pending approval DESCRIPTION: The City had received two grants to make energy conservation improvement to seven city facilities. One grant is from the Washington state Department of Commerce for energy conservation. The other grant is from Snohomish PUD to improve energy efficiency. The grants will be used to upgrade the lighting systems at the M&O complex, City Hall, Wastewater, Cemetery and Fire Stations 46 &47. In addition, we will be replacing the HVAC systems at the Cemetery office, Station 47 and the M&O Administration building. Combined, the City will receive $163,898.00 to improve our energy efficiency. The proposed project is estimated to save the City $11,200.00 annually in power consumption. HISTORY: The City has been striving to make improve to it facilities and operation that conserve energy. Several facilities have already been retrofitted with new HVAC systems, lighting controls, insulation and windows. Staff has received awareness training in methods of operation that conserve energy and reduce cost. The process to obtain these grants began last year in May and is part of the ARRA funding. ALTERNATIVES: Do not authorize the signature of the grant agreements from the Department of Commerce and Snohomish PUD. RECOMMENDED ACTION: I move to authorize the mayor to sign grant agreements with the Department of Commerce and Snohomish PUD to fund energy conservation upgrades to seven city facilities. Washington State Department of Commerce www.commerce.wa.gov This project/contract is funded in whole or in part by funds made available through the American Recovery and Reinvestment Act.RECOVERY.GOV Capital Agreement with City of Arlington through The Washington State Department of Commerce Energy Policy Division Purpose ± ARRA/Energy Efficiency and Conservation Block Grant (EECBG)/Construction The Energy Efficiency Retrofits of Seven Buildings Under the American Recovery and Reinvestment Act (ARRA) of 2009 Start date: January 01, 2010 FACE SHEET ARRA COM Federal Capital/EECBG ± Construction ± Arlington, City of Updated 2/23/2010 1 Contract Number: F10-52110-015 Washington State Department of Commerce Energy Policy Division EECBG Small Cities & Counties Federal USDOE Agreement No. DE-EE0000849 1. Contractor 2. Contractor Doing Business As (optional) City of Arlington 238 North Olympic Ave Arlington, WA 98223 Same 3. Contractor Representative PROGRAM CONTRACT 4. COMMERCE Representative PROGRAM CONTRACT Paul Ellis Assistant City Administrator (360) 403-4603 (360) 403-4605 pellis@arlingtonwa.gov SAME Patti Miller-Crowley Energy Policy Specialist 360.725.3122 360.586.0049 Patti.Miller- Crowley@commerce.wa.gov Judy Hartman Energy Policy Specialist PO Box 43173 Olympia, WA 98504 360-725-3115 Judy.hartman@commerce.wa.gov 5. Contract Amount 6. Funding Source 7. Start Date 8. End Date $135,000 Federal:State:Other: N/A: 1/1/10 12/30/10 9. Federal Funds (as applicable) $135,000 Federal Agency: US Dept. of Energy CFDA Number 81.128 10. Tax ID #11. SWV #12. UBI #13. DUNS # 91-6001401 00001819 311-001-370 165590043 14. Contract Purpose Complete energy efficiency retrofits for 7 buildings. COMMERCE, defined as the Department of Commerce or its successor agency, and the Contractor, as defined above, acknowledge and accept the terms of this Contract and attachments and have executed this Contract on the date below to start as of the date and year referenced above. The rights and obligations of both parties to this Contract are governed by this Contract and the following other documents incorporated by reference: Contractor Terms and Conditions including Attachment ³$´ - <insert title>, Attachment ³%´± <insert title>, Attachment ³&´± Additional Provisions under the American Recovery and Reinvestment Act of 2009 and the Energy Efficiency Conservation Block Grant Program (EECBG), and Attachment ³'´ - 10/7/09 OMB Memo on ACORN. FOR CONTRACTOR FOR COMMERCE Signature Authority Print Name Title Date Tony Usibelli, Assistant Director Date TEMPLATE APPROVED AS TO FORM ALICE BLADO, ASSISTANT ATTORNEY GENERAL, FEBRUARY 23, 2010 SPECIAL TERMS AND CONDITIONS CAPITAL FEDERAL ARRA FUNDS ARRA COM Federal Capital/EECBG ± Construction ± Arlington, City of Updated 2/23/2010 2 1. ACKNOWLEDGEMENT OF FEDERAL FUNDING The Contractor agrees that any publications (written, visual, or sound) but excluding press releases, newsletters, and issue analyses, issued by the Contractor describing programs or projects funded in whole or in part with federal funds under this contract, shall contain the following statements: Acknowledgement: This project is funded in whole or in part by funds made available through the American Recovery and Reinvestment Act (ARRA). This funding was awarded by the US Department of Energy through the Energy Policy Division of the Washington State Department of Commerce under Energy Efficiency and Conservation Block Grant No.DE-EE0000849.´ COMMERCE, as recipients of American Recovery and Reinvestment Act (hereinafter "Act") funds, is legally obligated to meet accountability and reporting requirements under the Act. The state of Washington or the federal funding source may also identify additional requirements or other changes in requirements. Such requirements may be in statute, regulation, policy, or procedure. COMMERCE is responsible for incorporating these requirements into the performance of this contract. Although all requirements have not yet been identified, please expect additional reporting requirements, to include, but not limited to, performance outcomes such as created or retained jobs. 2. CONTRACT MANAGEMENT The Contract Representative for each of the parties shall be responsible for and shall be the contact person for all communications and billings regarding the performance of this Contract. The Contract Representative for COMMERCE and their contact information are identified on the Face Sheet of this Contract. The Contract Representative for the Contractor and their contact information are identified on the Face Sheet of this Contract. 3. COMPENSATION COMMERCE shall pay an amount not to exceed $135,000.00 for the performance of all things necessary for or incidental to the performance of work as set forth in the Scope of Work. Contractor's compensation for services rendered shall be based on the following rates or in accordance with the following terms: COMMERCE and Contractor may adjust amounts in the budget categories by 10% or less without a formal contract amendment by written mutual agreement by both parties. Written approval shall be through the following method: 1) Written request to COMMERCE from the Contractor by email of the proposed variation, 2) Review of the request by Commerce, and 3) Written determination (approval/rejection) by the COMMERCE Contract Representative to the Contractor. The federal Office of Management and Budget has issued a 10/7/09 Memorandum restricting any ³obligation or award´ to the Association of Community Organizations for Reform Now (ACORN), or any of its affiliates, subsidiaries, or allied organizations. A copy of this Memorandum is marked as Attachment D and is both incorporated by reference and attached to this agreement. This Memorandum requires that no federal funding be awarded through this contract or through any subgrants, subcontracts, or other subrecipient arrangements. Contractor¶s compensation for services rendered shall be based on the schedule set forth in Attachment A - Statement of Work and Attachment B - Budget. ARRA/EECGB Federal Funding requires USDOE approval of subcontracts and their supported activities. Construction activity cannot be initiated until all required permits are in place and compliance with the requirements of NEPA/SEPA and Section 106 of the National Historic Preservation Act are approved. No funds shall be expended on this contract or subcontract activity until Commerce notifies Contractor of receipt of approval from DOE. Commerce does not guarantee or assume any obligation to reimburse costs incurred by the recipient or subcontractor for these SPECIAL TERMS AND CONDITIONS CAPITAL FEDERAL ARRA FUNDS ARRA COM Federal Capital/EECBG ± Construction ± Arlington, City of Updated 2/23/2010 3 activities until approval is provided in writing by Commerce. Upon written approval of Contractor by Commerce, Contractor may receive reimbursement for allowable costs incurred in accordance with the payment provisions contained in this agreement. EXPENSES/TRAVEL ±as provided in Attachment B - Budget Contractor shall receive reimbursement for travel and other expenses as identified below or as authorized in advance by COMMERCE as reimbursable. The maximum amount to be paid to the Contractor for authorized expenses shall not exceed the line item amount specified in Attachment B - budget, which amount is included in the Agreement total above. Such expenses may include airfare (economy or coach class only), other transportation expenses, and lodging and subsistence necessary during periods of required travel. Contractor shall receive compensation for travel expenses at current state travel reimbursement rates. 4. BILLING PROCEDURES AND PAYMENT COMMERCE will pay Contractor upon acceptance of services provided and receipt of properly completed invoices, which shall be submitted to the Representative for COMMERCE monthly. The invoices shall describe and document, to COMMERCE's satisfaction, a description of the work performed, the progress of the project, and fees. The invoice shall include the contract reference number F10-52110-015.If expenses are invoiced, provide a detailed breakdown of each type. A receipt must accompany any single expenses in the amount of $50.00 or more in order to receive reimbursement. Final Invoicing will not be paid until valid documentation is submitted showing that Final Permitting Inspection is passed as applicable to the project. Payment shall be considered timely if made by COMMERCE within thirty (30) calendar days after receipt of properly completed invoices. Payment shall be sent to the address designated by the Contractor. COMMERCE may, in its sole discretion, terminate the contract or withhold payments claimed by the Contractor for services rendered if the Contractor fails to satisfactorily comply with any term or condition of this contract. No payments in advance or in anticipation of services or supplies to be provided under this contract shall be made by COMMERCE. Duplication of Billed Costs The Contractor shall not bill COMMERCE for services performed under this Contract, and COMMERCE shall not pay the Contractor, if the Contractor is entitled to payment or has been or will be paid by any other source, including grants, for that service. Disallowed Costs The Contractor is responsible for any audit exceptions or disallowed costs incurred by its own organization or that of its subcontractors. Match/Final Retainage [Pick One as Applicable] COMMERCE shall withhold 10 percent from each payment until Commerce has accepted the final report (or completion of the project, etc.) deliverable AND valid documentation to demonstrate that Match as indicated in Attachment B ± Budget has been applied to the project. 5. FISCAL MANAGEMENT Contractor shall have a budgeting, accounting, and reporting system that meets the standards of WA State Chapter 43.88 RCW ± Fiscal Management and USDOE CFR Title 10 Part 600 ± Financial Assistance Rules demonstrating good internal control policies, procedures and practices. Recipients must segregate the obligations and expenditures related to funding under the Recovery Act. Financial and accounting systems should be revised as necessary to segregate, track and maintain these funds apart and separate from other revenue streams. No part of the funds from the SPECIAL TERMS AND CONDITIONS CAPITAL FEDERAL ARRA FUNDS ARRA COM Federal Capital/EECBG ± Construction ± Arlington, City of Updated 2/23/2010 4 Recovery Act shall be commingled with any other funds or used for a purpose other than that of making payments for costs allowable for Recovery Act projects. 6. MINORITY AND WOMEN OWNED BUSINESS ENTERPRISE Contractor is encouraged to consider Minority and Women Business Enterprises (M/WBE) when posting bids/solicitations for competitive awards and at a minimum and if available, at least one W/MBE should be considered. To post a solicitation at the WA State Office of Minority and Women Owned Business Enterprise (OMWBE), contact Jean Wheat at jwheat@omwbe.wa.gov and copy cynthiac@omwbe.wa.gov. or call 360-704-1181. The Office of Minority and Women Owned Business Enterprise also maintains a Directory of OMWBE certified firms - http://www.omwbe.wa.gov/opportunities/index.shtml 7. REPORTING All sub-recipients and their partners, contractors and/or vendors are responsible for reporting pursuant to Section 1512 of the American Recovery and Reinvestment Act of 2009. Commerce, as a prime recipient of Recovery Act funds, must comply with the Recovery Act¶s extensive reporting requirements, including quarterly financial and programmatic reporting. Commerce will require quarterly reports from its Sub-recipients in order to fulfill its obligation. The Sub-recipient receiving Recovery Act funds may expect that a standard form(s) and/or reporting mechanism will be made available to help streamline the process. The Sub-recipient agrees to provide to Commerce all reports, documentation, or other information, as may be required to meet reporting obligations under the Recovery Act. The Sub-recipient¶s receipt of funds is contingent on meeting the Section 1512 reporting requirements. Additional instructions and guidance regarding the required reporting will be provided as they become available. For planning purposes, however, Sub-recipients receiving Recovery Act funds should be aware of the current Recovery Act section 1512(c) requirements. Sub-recipient Reports: Not later than five days after the end of each calendar quarter (January 5, April 5, July 5, and October 5, etc., throughout the contract period), each sub-recipient that received recovery funds from a Federal agency shall submit a report to Commerce via email that contains: ‡ Financial data ‡ Sub-recipient (and if applicable, vendor) FTEs: jobs created or retained reported as single number; jobs directly funded by Recovery Act ‡ Project activity milestones (based on sub-recipient scope of work) ‡ Energy savings on a per dollar invested basis ‡ Energy saved (kwh, therms, gallons, BTUs, etc.) ‡ Renewable energy capacity installed ‡ Greenhouse gas emissions reduced ‡ Funds leveraged ‡ Data related to vendors paid more than $25,000 in a single purchase ‡ Key metrics that will vary by project type per DOE guidance For questions contact Meg O¶Leary at (360) 725-3121 8. SITE VISITS COMMERCE and DOE¶s authorized representatives have the right to make site visits at reasonable times to review project accomplishments and management control systems and to provide technical assistance, if required. Grantee must provide, and must require its sub-awardees to provide reasonable access to facilities, office space, resources, and safety and convenience of the government representatives in the performance of their duties. SPECIAL TERMS AND CONDITIONS CAPITAL FEDERAL ARRA FUNDS ARRA COM Federal Capital/EECBG ± Construction ± Arlington, City of Updated 2/23/2010 5 All site visits and evaluations must be performed in a manner that does not unduly interfere with or delay the work. 9. RECORDS MAINTENANCE AND AUDITS The parties to this contract shall each maintain books, records, documents and other evidence, which sufficiently and properly reflect all direct and indirect costs expended by either party in the performance of the services described herein. These records shall be subject to inspection, reasonable access to review, or audit by personnel of both parties, other personnel duly authorized by either party, the Office of the State Auditor, and federal officials so authorized by law. All books, records, documents, and other material relevant to this Agreement must be retained for six years after termination of this Agreement and the Office of the State Auditor, federal auditors, and any persons duly authorized by the parties shall have full access to and the right to examine any of these materials. 10. HISTORICAL OR CULTURAL ARTIFACTS Prior to the expenditure of Federal funds to alter any structure or site, the Contractor is required to comply with the requirements of Section 106 of the National Historic Preservation Act (NHPA). Section 110(k) of the NHPA applies to DOE funded activities. Recipients shall avoid taking any action that results in an adverse effect to eligible historic properties pending compliance with Section 106. Contractor shall provide a copy of this concurrence to Commerce. Noncompliance may result in the revocation of funding. 11. NATIONAL ENVIRONMENTAL POLICY ACT (NEPA) REQUIREMENTS The Contractor is restricted from taking any action using Federal funds, which would have an adverse effect on the environment or limit the choice of reasonable alternatives prior to DOE providing either a NEPA clearance or a final NEPA decision regarding this project. If you move forward with activities that are not authorized for Federal funding by the DOE Contracting Officer in advance of the final NEPA decision, you are doing so at risk of not receiving Federal funding and such costs may not be recognized as allowable cost share. Funding for activities or tasks under this award is contingent upon the final NEPA determination. 12. SUBCONTRACTING Notwithstanding the provisions of General Terms and Conditions, Section 41 - SUBCONTRACTING, of this Contract, no prior written approval is required for subcontracting of the actual construction of the project; however, prior to subcontracting for planning activities which will be paid for with EECBG grant funds (i.e., A&E, plans, studies, energy audits), the negotiated scope of work, schedule & fees will be submitted to Commerce for approval Contractor shall provide a list of subcontractors to COMMERCE throughout the period of performance of this contract including the business name, TIN and UBI number. Every subcontract shall bind the Subcontractor to follow all applicable terms of this Contract. The Contractor is responsible to COMMERCE if the Subcontractor fails to comply with any applicable term or condition of this Contract. The Contractor shall appropriately monitor the activities of the Subcontractor to assure fiscal conditions of this Contract. In no event shall the existence of a subcontract operate to release or reduce the liability of the Contractor to COMMERCE for any breach in the performance of the Contractor¶s duties. Every subcontract shall include a term that COMMERCE and the State of Washington are not liable for claims or damages arising from a Subcontractor¶s performance of the subcontract. 13. INSURANCE The Contractor shall provide insurance coverage as set out in this section. The intent of the required insurance is to protect the State should there be any claims, suits, actions, costs, damages or expenses arising from any loss, or negligent or intentional act or omission of the Contractor or Subcontractor, or agents of either, while performing under the terms of this contract. SPECIAL TERMS AND CONDITIONS CAPITAL FEDERAL ARRA FUNDS ARRA COM Federal Capital/EECBG ± Construction ± Arlington, City of Updated 2/23/2010 6 The insurance required shall be issued by an insurance company authorized to do business within the state of Washington. Except for Professional Liability or Errors and Omissions Insurance, the insurance shall name the state of Washington, its agents, officers, and employees as additional insureds under the insurance policy. All policies shall be primary to any other valid and collectable insurance. The Contractor shall instruct the insurers to give COMMERCE thirty (30) calendar days advance notice of any insurance cancellation, non-renewal or modification. The Contractor shall submit to COMMERCE within fifteen (15) calendar days of the Contract start date, a certificate of insurance which outlines the coverage and limits defined in this insurance section. During the term of the Contract, the Contractor shall submit renewal certificates not less than thirty (30) calendar days prior to expiration of each policy required under this section. The Contractor shall provide insurance coverage that shall be maintained in full force and effect during the term of this Contract, as follows: Commercial General Liability Insurance Policy. Provide a Commercial General Liability Insurance Policy, including contractual liability, written on an occurrence basis, in adequate quantity to protect against legal liability arising out of contract activity but no less than $1,000,000 per occurrence. Additionally, the Contractor is responsible for ensuring that any Subcontractors provide adequate insurance coverage for the activities arising out of subcontracts. Automobile Liability. In the event that performance pursuant to this Contract involves the use of vehicles, owned or operated by the Contractor or its Subcontractor, automobile liability insurance shall be required. The minimum limit for automobile liability is $1,000,000 per occurrence, using a Combined Single Limit for bodily injury and property damage. Professional Liability, Errors and Omissions Insurance.The Contractor shall maintain Professional Liability or Errors and Omissions Insurance. The Contractor shall maintain minimum limits of no less than $1,000,000 per occurrence to cover all activities by the Contractor and licensed staff employed or under contract to the Contractor. The state of Washington, its agents, officers, and employees need not be named as additional insureds under this policy. Fidelity Insurance. Every officer, director, employee, or agent who is authorized to act on behalf of the Contractor for the purpose of receiving or depositing funds into program accounts or issuing financial documents, checks, or other instruments of payment for program costs shall be insured to provide protection against loss: A.The amount of fidelity coverage secured pursuant to this Contract shall be $100,000 or the highest of planned reimbursement for the Contract period, whichever is lowest. Fidelity insurance secured pursuant to this paragraph shall name COMMERCE as beneficiary. B.Subcontractors that receive $10,000 or more per year in funding through this Contract shall secure fidelity insurance as noted above. Fidelity insurance secured by Subcontractors pursuant to this paragraph shall name the Contractor as beneficiary. C.The Contractor shall provide, at COMMERCE¶s request, copies of insurance instruments or certifications from the insurance issuing agency. The copies or certifications shall show the insurance coverage, the designated beneficiary, who is covered, the amounts, the period of coverage, and that COMMERCE will be provided thirty (30) days advance written notice of cancellation. Additional Provisions: The above insurance policy shall include the following provisions: 1.Additional Insured. The state of Washington, COMMERCE, its elected and appointed officials, agents and employees shall be named as an additional insured on all general liability, excess, umbrella and property insurance policies. All insurance provided in compliance with this Agreement shall be primary as to any other insurance or self-insurance programs afforded to or maintained by the State. SPECIAL TERMS AND CONDITIONS CAPITAL FEDERAL ARRA FUNDS ARRA COM Federal Capital/EECBG ± Construction ± Arlington, City of Updated 2/23/2010 7 2.Identification. The policy must reference COMMERCE¶s Agreement number and the State agency name. 3.Insurance Carrier Rating. All insurance and bonds should be issued by companies admitted to do business within the state of Washington and have a rating of A-, Class VII or better in the most recently published edition of Best¶s Reports. Any exception shall be reviewed and approved by COMMERCE¶s Risk Manager, or the Risk Manager for the state of Washington, before the Agreement is accepted or work may begin. If an insurer is not admitted, all insurance policies and procedures for issuing the insurance policies must comply with Chapter 48.15 RCW and 284- 15 WAC. 4.Excess Coverage. By requiring insurance herein, COMMERCE does not represent that coverage and limits will be adequate to protect Contractor and such coverage and limits shall not limit Contractor¶s liability under the indemnities and reimbursements granted to COMMERCE in this Agreement. Local Government Contractors that Participate in a Self-Insurance Program Self-Insured/Liability Pool or Self-Insured Risk Management Program ± With prior approval from COMMERCE, the Contractor may provide the coverage above under a self-insured/liability pool or self-insured risk management program. In order to obtain permission from COMMERCE, the Contractor shall provide: (1) a description of its self-insurance program, and (2) a certificate and/or letter of coverage that outlines coverage limits and deductibles. All self-insured risk management programs or self-insured/liability pool financial reports must comply with Generally Accepted Accounting Principles (GAAP) and adhere to accounting standards promulgated by: 1) Governmental Accounting Standards Board (GASB), 2) Financial Accounting Standards Board (FASB), and 3) the Washington State Auditor¶s annual instructions for financial reporting. Contractor¶s participating in joint risk pools shall maintain sufficient documentation to support the aggregate claim liability information reported on the balance sheet. The state of Washington, its agents, and employees need not be named as additional insured under a self-insured property/liability pool, if the pool is prohibited from naming third parties as additional insured. Contractor shall provide annually to COMMERCE a summary of coverages and a letter of self insurance, evidencing continued coverage under Contractor¶s self-insured/liability pool or self-insured risk management program. Such annual summary of coverage and letter of self insurance will be provided on the anniversary of the start date of this Agreement. 14. PUBLICATIONS a. Contactor is encouraged to publish or otherwise make publicly available the results of the work conducted under the award. b. An acknowledgment of DOE support from Section 1 of these Special Terms and Conditions, and the following disclaimer must appear in the publication of any material, whether copyrighted or not, based on or developed under this project. Disclaimer: ³This report was prepared as an account of work sponsored by an agency of the United States Government. Neither the United States Government nor any agency thereof, nor any of their employees, makes any warranty, express or implied, or assumes any legal liability or responsibility for the accuracy, completeness, or usefulness of any information, apparatus, product, or process disclosed, or represents that its use would not infringe privately owned rights. Reference herein to any specific commercial product, process, or service by trade name, trademark, manufacturer, or otherwise does not necessarily constitute or imply its endorsement, recommendation, or favoring by the United States Government or any agency thereof. The views and opinions of authors expressed herein do not necessarily state or reflect those of the United States Government or any agency thereof.´ 15. ORDER OF PRECEDENCE In the event of an inconsistency in this Contract, the inconsistency shall be resolved by giving precedence in the following order: SPECIAL TERMS AND CONDITIONS CAPITAL FEDERAL ARRA FUNDS ARRA COM Federal Capital/EECBG ± Construction ± Arlington, City of Updated 2/23/2010 8 · Applicable federal and state of Washington statutes and regulations · Special Terms and Conditions · General Terms and Conditions · Attachment C ± Additional Provisions Under the American Recovery and Reinvestment Act of 2009, Public Law 111-5, and the Energy Efficiency Conservation Block Grant Program (EECBG) · Attachment A ± Scope of Work · Attachment B ± Budget · Attachment D - 10/7/09 Memo on ACORN GENERAL TERMS AND CONDITIONS CAPITAL FEDERAL ARRA FUNDS ARRA COM Federal Capital/EECBG ± Construction ± Arlington, City of Updated 2/23/2010 1 1. DEFINITIONS As used throughout this Contract, the following terms shall have the meaning set forth below: A.³Authorized Representative´ shall mean the Director and/or the designee authorized in writing to act on the Director¶s behalf. B."Contractor" shall mean the entity identified on the face sheet performing service(s) under this Contract, and shall include all employees and agents of the Contractor. C.³COMMERCE´ shall mean the Department of Commerce. D.³Personal Information´ shall mean information identifiable to any person, including, but not limited to, information that relates to a person¶s name, health, finances, education, business, use or receipt of governmental services or other activities, addresses, telephone numbers, social security numbers, driver license numbers, other identifying numbers, and any financial identifiers. E.´State´ shall mean the state of Washington. F."Subcontractor" shall mean one not in the employment of the Contractor, who is performing all or part of those services under this Contract under a separate contract with the Contractor. The terms ³subcontractor´ and ³subcontractors´ mean subcontractor(s) in any tier. 2. ADMINISTRATIVE COST ALLOCATION Administrative costs that may be allowed are set forth in the Specific Terms and Conditions. Administrative services shared by other programs shall be assigned to this Contract based on an allocation plan that reflects allowable administrative costs that support services provided under each Contract administered by the Contractor. An approved current federal indirect cost rate may be applied up to the maximum administrative budget allowed. 3. ALLOWABLE COSTS Costs allowable under this Contract are actual expenditures according to an approved budget up to the maximum amount stated on the Contract Award or Amendment Face Sheet. 4. ALL WRITINGS CONTAINED HEREIN This Contract contains all the terms and conditions agreed upon by the parties. No other understandings, oral or otherwise, regarding the subject matter of this Contract shall be deemed to exist or to bind any of the parties hereto. 5. AMENDMENTS This Contract may be amended by mutual agreement of the parties. Such amendments shall not be binding unless they are in writing and signed by personnel authorized to bind each of the parties. 6. AMERICANS WITH DISABILITIES ACT (ADA) OF 1990, PUBLIC LAW 101-336, ALSO REFERRED TO AS THE ³ADA´ 28 CFR PART 35 The Contractor must comply with the ADA, which provides comprehensive civil rights protection to individuals with disabilities in the areas of employment, public accommodations, state and local government services, and telecommunications. 7. APPROVAL This contract shall be subject to the written approval of COMMERCE¶s Authorized Representative and shall not be binding until so approved. The contract may be altered, amended, or waived only by a written amendment executed by both parties. 8. ASSIGNMENT Neither this Contract, nor any claim arising under this Contract, shall be transferred or assigned by the Contractor without prior written consent of COMMERCE. GENERAL TERMS AND CONDITIONS CAPITAL FEDERAL ARRA FUNDS ARRA COM Federal Capital/EECBG ± Construction ± Arlington, City of Updated 2/23/2010 2 9. ATTORNEYS¶ FEES Unless expressly permitted under another provision of the Contract, in the event of litigation or other action brought to enforce Contract terms, each party agrees to bear its own attorneys fees and costs. 10. AUDIT A. General Requirements Contractors are to procure audit services based on the following guidelines. The Contractor shall maintain its records and accounts so as to facilitate the audit requirement and shall ensure that Subcontractors also maintain auditable records. The Contractor is responsible for any audit exceptions incurred by its own organization or that of its Subcontractors. COMMERCE reserves the right to recover from the Contractor all disallowed costs resulting from the audit. As applicable, Contractors required to have an audit must ensure the audits are performed in accordance with Generally Accepted Auditing Standards (GAAS); Government Auditing Standards (the Revised Yellow Book) developed by the Comptroller General. Responses to any unresolved management findings and disallowed or questioned costs shall be included with the audit report. The Contractor must respond COMMERCE requests for information or corrective action concerning audit issues within thirty (30) days of the date of request. B. Federal Funds Requirements - OMB Circular A-133 Audits of States, Local Governments and Non-Profit Organizations Contractors expending $500,000 or more in a fiscal year in federal funds from all sources, direct and indirect, are required to have an audit conducted in accordance with Office of Management and Budget (OMB) Revised Circular A-133 ³Audits of States, Local Governments, and Non-Profit Organizations.´ Revised OMB A-133 requires the Contractor to provide the auditor with a schedule of Federal Expenditure for the fiscal year(s) being audited. The Schedule of State Financial Assistance must be included. Both schedules include: Grantor agency name Federal agency Federal program name Other identifying contract numbers Catalog of Federal Domestic Assistance (CFDA) number Grantor contract number Total award amount including amendments (total grant award) Beginning balance Current year revenues Current year expenditures Ending balance Program total If the Contractor is a state or local government entity, the Office of the State Auditor shall conduct the audit. Audits of non-profit organizations are to be conducted by a certified public accountant selected by the Contractor in accordance with OMB Circular A-110 ³Uniform Administrative Requirements for Grants and Agreements with Institutions of Higher Education, Hospitals, and Other Non-Profit Organizations.´ The Contractor shall include the above audit requirements in any subcontracts. In any case, the Contractor¶s financial records must be available for review by COMMERCE. GENERAL TERMS AND CONDITIONS CAPITAL FEDERAL ARRA FUNDS ARRA COM Federal Capital/EECBG ± Construction ± Arlington, City of Updated 2/23/2010 3 C. Documentation Requirements The Contractor must send a copy of any required audit Reporting Package as described in OMB Circular A-133, Part C, Section 320(c) no later than nine (9) months after the end of the Contractor¶s fiscal year(s) to: Department of Commerce ATTN: Audit Review and Resolution Office 906 Columbia Street SW, Fifth Floor PO Box 48300 Olympia WA 98504-8300 In addition to sending a copy of the audit, when applicable, the Contractor must include: · Corrective action plan for audit findings within three (3) months of the audit being received by COMMERCE. · Copy of the Management Letter. 11. CERTIFICATION REGARDING DEBARMENT, SUSPENSION OR INELIGIBILITY AND VOLUNTARY EXCLUSION²PRIMARY AND LOWER TIER COVERED TRANSACTIONS A.Contractor, defined as the primary participant and it principals, certifies by signing these General Terms and Conditions that to the best of its knowledge and belief that they: 1.Are not presently debarred, suspended, proposed for debarment, declared ineligible, or voluntarily excluded from covered transactions by any Federal department or agency. 2.Have not within a three-year period preceding this contract, been convicted of or had a civil judgment rendered against them for commission of fraud or a criminal offense in connection with obtaining, attempting to obtain, or performing a public or private agreement or transaction, violation of Federal or State antitrust statutes or commission of embezzlement, theft, forgery, bribery, falsification or destruction of records, making false statements, tax evasion, receiving stolen property, making false claims, or obstruction of justice; 3.Are not presently indicted for or otherwise criminally or civilly charged by a governmental entity (federal, state, or local) with commission of any of the offenses enumerated in paragraph (A)(2) of this section; and 4.Have not within a three-year period preceding the signing of this contract had one or more public transactions (federal, state, or local) terminated for cause of default. B.Where the Contractor is unable to certify to any of the statements in this contract, the Contractor shall attach an explanation to this contract. C.The Contractor agrees by signing this contract that it shall not knowingly enter into any lower tier covered transaction with a person who is debarred, suspended, declared ineligible, or voluntarily excluded from participation in this covered transaction, unless authorized by COMMERCE. D.The Contractor further agrees by signing this contract that it will include the clause titled ³Certification Regarding Debarment, Suspension, Ineligibility and Voluntary Exclusion-Lower Tier Covered Transaction,´ as follows, without modification, in all lower tier covered transactions and in all solicitations for lower tier covered transactions: LOWER TIER COVERED TRANSACTIONS a) The lower tier contractor certifies, by signing this contract that neither it nor its principals is presently debarred, suspended, proposed for debarment, declared ineligible, or voluntarily excluded from participation in this transaction by any Federal department or agency. b) Where the lower tier contractor is unable to certify to any of the statements in this contract, such contractor shall attach an explanation to this contract. E.The terms covered transaction, debarred, suspended, ineligible, lower tier covered transaction, person, primary covered transaction, principal, and voluntarily excluded, as used in this section, GENERAL TERMS AND CONDITIONS CAPITAL FEDERAL ARRA FUNDS ARRA COM Federal Capital/EECBG ± Construction ± Arlington, City of Updated 2/23/2010 4 have the meanings set out in the Definitions and Coverage sections of the rules implementing Executive Order 12549. You may contact COMMERCE for assistance in obtaining a copy of these regulations. F.Grantees should review the Excluded Parties List System (http://ww.epls.gov) before determining if a prospective contractor is considered responsible. 12. CODE REQUIREMENTS All construction and rehabilitation projects must satisfy the requirements of applicable local, state, and federal building, mechanical, plumbing, fire, energy and barrier-free codes. Compliance with the Americans with Disabilities Act of 1990, 28 C.F.R. Part 35 will be required, as specified by the local building Department. 13. CONFIDENTIALITY/SAFEGUARDING OF INFORMATION A.³Confidential Information´ as used in this section includes: 2. All material provided to the Contractor by COMMERCE that is designated as ³confidential´ by COMMERCE; 3.All material produced by the Contractor that is designated as ³confidential´ by COMMERCE; and 4.All personal information in the possession of the Contractor that may not be disclosed under state or federal law. ³Personal information´ includes but is not limited to information related to a person¶s name, health, finances, education, business, use of government services, addresses, telephone numbers, social security number, driver¶s license number and other identifying numbers, and ³Protected Health Information´ under the federal Health Insurance Portability and Accountability Act of 1996 (HIPAA). B.The Contractor shall comply with all state and federal laws related to the use, sharing, transfer, sale, or disclosure of Confidential Information. The Contractor shall use Confidential Information solely for the purposes of this Contract and shall not use, share, transfer, sell or disclose any Confidential Information to any third party except with the prior written consent of COMMERCE or as may be required by law. The Contractor shall take all necessary steps to assure that Confidential Information is safeguarded to prevent unauthorized use, sharing, transfer, sale or disclosure of Confidential Information or violation of any state or federal laws related thereto. Upon request, the Contractor shall provide COMMERCE with its policies and procedures on confidentiality. COMMERCE may require changes to such policies and procedures as they apply to this Contract whenever COMMERCE reasonably determines that changes are necessary to prevent unauthorized disclosures. The Contractor shall make the changes within the time period specified by COMMERCE. Upon request, the Contractor shall immediately return to COMMERCE any Confidential Information that COMMERCE reasonably determines has not been adequately protected by the Contractor against unauthorized disclosure. C.Unauthorized Use or Disclosure. The Contractor shall notify COMMERCE within five (5) working days of any unauthorized use or disclosure of any confidential information, and shall take necessary steps to mitigate the harmful effects of such use or disclosure. 14. CONFORMANCE If any provision of this contract violates any statute or rule of law of the state of Washington, it is considered modified to conform to that statute or rule of law. 15. COPYRIGHT PROVISIONS Unless otherwise provided, all Materials produced under this Contract shall be considered "works for hire" as defined by the U.S. Copyright Act and shall be owned by COMMERCE. COMMERCE shall be considered the author of such Materials. In the event the Materials are not considered ³works for hire´ under the U.S. Copyright laws, the Contractor hereby irrevocably assigns all right, title, and interest in all Materials, including all intellectual property rights, moral rights, and rights of publicity to COMMERCE effective from the moment of creation of such Materials. GENERAL TERMS AND CONDITIONS CAPITAL FEDERAL ARRA FUNDS ARRA COM Federal Capital/EECBG ± Construction ± Arlington, City of Updated 2/23/2010 5 ³Materials´ means all items in any format and includes, but is not limited to, data, reports, documents, pamphlets, advertisements, books, magazines, surveys, studies, computer programs, films, tapes, and/or sound reproductions. ³Ownership´ includes the right to copyright, patent, register and the ability to transfer these rights. For Materials that are delivered under the Contract, but that incorporate pre-existing materials not produced under the Contract, the Contractor hereby grants to COMMERCE a nonexclusive, royalty- free, irrevocable license (with rights to sublicense to others) in such Materials to translate, reproduce, distribute, prepare derivative works, publicly perform, and publicly display. The Contractor warrants and represents that the Contractor has all rights and permissions, including intellectual property rights, moral rights and rights of publicity, necessary to grant such a license to COMMERCE. The Contractor shall exert all reasonable effort to advise COMMERCE, at the time of delivery of Materials furnished under this Contract, of all known or potential invasions of privacy contained therein and of any portion of such document which was not produced in the performance of this Contract. The Contractor shall provide COMMERCE with prompt written notice of each notice or claim of infringement received by the Contractor with respect to any Materials delivered under this Contract. COMMERCE shall have the right to modify or remove any restrictive markings placed upon the Materials by the Contractor. 16. DISALLOWED COSTS The Contractor is responsible for any audit exceptions or disallowed costs incurred by its own organization or that of its Subcontractors. 17. DISPUTES Except as otherwise provided in this Contract, when a dispute arises between the parties and it cannot be resolved by direct negotiation, either party may request a dispute hearing with the Director of the COMMERCE, who may designate a neutral person to decide the dispute. The request for a dispute hearing must: · be in writing; · state the disputed issues; · state the relative positions of the parties; · state the Contractor's name, address, and Contract number; and · be mailed to the Director and the other party¶s (respondent¶s) Contract Representative within three (3) working days after the parties agree that they cannot resolve the dispute. The respondent shall send a written answer to the requestor¶s statement to both the Director or the Director¶s designee and the requestor within five (5) working days. The Director or designee shall review the written statements and reply in writing to both parties within ten (10)working days. The Director or designee may extend this period if necessary by notifying the parties. The decision shall not be admissible in any succeeding judicial or quasi-judicial proceeding. The parties agree that this dispute process shall precede any action in a judicial or quasi-judicial tribunal. Nothing in this Contract shall be construed to limit the parties¶ choice of a mutually acceptable alternate dispute resolution (ADR) method in addition to the dispute hearing procedure outlined above. 18. DUPLICATE PAYMENT The Contractor certifies that work to be performed under this contract does not duplicate any work to be charged against any other contract, subcontract, or other source. GENERAL TERMS AND CONDITIONS CAPITAL FEDERAL ARRA FUNDS ARRA COM Federal Capital/EECBG ± Construction ± Arlington, City of Updated 2/23/2010 6 19. ETHICS/CONFLICTS OF INTEREST In performing under this Contract, the Contractor shall assure compliance with the Ethics in Public Service Act (Chapter 42.52 RCW) and any other applicable state or federal law related to ethics or conflicts of interest. 20. GOVERNING LAW AND VENUE This Contract shall be construed and interpreted in accordance with the laws of the state of Washington, and the venue of any action brought hereunder shall be in the Superior Court for Thurston County. 21. INDEMNIFICATION To the fullest extent permitted by law, the Contractor shall indemnify, defend, and hold harmless the state of Washington, COMMERCE, all other agencies of the state and all officers, agents and employees of the state, from and against all claims or damages for injuries to persons or property or death arising out of or incident to the Contractor¶s performance or failure to perform the Contract. The Contractor¶s obligation to indemnify, defend, and hold harmless includes any claim by the Contractor¶s agents, employees, representatives, or any Subcontractor or its agents, employees, or representatives. The Contractor¶s obligation to indemnify, defend, and hold harmless shall not be eliminated by any actual or alleged concurrent negligence of the state or its agents, agencies, employees and officers. Subcontracts shall include a comprehensive indemnification clause holding harmless the Contractor, COMMERCE, the state of Washington, its officers, employees and authorized agents. The Contractor waives its immunity under Title 51 RCW to the extent it is required to indemnify, defend and hold harmless the state and its agencies, officers, agents or employees. 22. INDEPENDENT CAPACITY OF THE CONTRACTOR The parties intend that an independent contractor relationship will be created by this Contract. The Contractor and its employees or agents performing under this Contract are not employees or agents of the state of Washington or COMMERCE. The Contractor will not hold itself out as or claim to be an officer or employee of COMMERCE or of the state of Washington by reason hereof, nor will the Contractor make any claim of right, privilege or benefit which would accrue to such officer or employee under law. Conduct and control of the work will be solely with the Contractor. 23. INDUSTRIAL INSURANCE COVERAGE The Contractor shall comply with all applicable provisions of Title 51 RCW, Industrial Insurance. If the Contractor fails to provide industrial insurance coverage or fails to pay premiums or penalties on behalf of its employees as may be required by law, COMMERCE may collect from the Contractor the full amount payable to the Industrial Insurance Accident Fund. COMMERCE may deduct the amount owed by the Contractor to the accident fund from the amount payable to the Contractor by COMMERCE under this Contract, and transmit the deducted amount to the Department of Labor and Industries, (L&I) Division of Insurance Services. This provision does not waive any of L&I¶s rights to collect from the Contractor. 24. LAWS The Contractor shall comply with all applicable laws, ordinances, codes, regulations, and policies of local, state, and federal governments, as now or hereafter amended, including, but not limited to: United States Laws, Regulations and Circulars (Federal) A.American Recovery and Reinvestment Act (ARRA) of 2009 B.Audits Office of Management and Budget (OMB) Revised Circular A-133 ³Audits of States, Local Governments, and Non-Profit Organizations.´ GENERAL TERMS AND CONDITIONS CAPITAL FEDERAL ARRA FUNDS ARRA COM Federal Capital/EECBG ± Construction ± Arlington, City of Updated 2/23/2010 7 B.Environmental Protection and Review Coastal Barrier Resources Act of 1982, 16 U.S.C. 3501 et seq. HUD¶s implementing regulations at 24 CFR parts 50 or 58, as appropriate. Lead Based Paint Poisoning Prevention Act, 42 U.S.C. 4821-4846 also 24 CFR 982.401(j). National Environmental Policy Act of 1969, 42 U.S.C. 4321et seq. and the Implementing Regulations of 24 CFR 58 (HUD) and 40 CFR 1500-1508 (Council on Environmental Quality) Residential Lead-Based Paint Hazard Reduction Act of 1992, 42 USC 4851-4856. C.Flood Plains Flood Disaster Protection Act of 1973, 42 USC 4001-4128. D.Labor and Safety Standards All Rental Units Assisted with Federal Funds Must Meet the Section 8 Housing Quality Standards (HQS) and Local Housing Code Requirements for the duration of the Affordability Period. Convict Labor, 18 U.S.C. 751, 752, 4081, 4082. Davis Bacon Act, 40 U.S.C. 276a-276a-5. Drug-Free Workplace Act of 1988, 41 USC 701 et seq. Federal Fair Labor Standards Act, 29 U.S.C. 201 et seq. Work Hours and Safety Act of 1962, 40 U.S.C. 327-330 and Department of Labor Regulations, 29 CFR Part 5. Title IV of the Lead Based Paint Poisoning Prevention Act, 42 U.S.C. 4831, 24 CFR Part 35. E.Laws against Discrimination Age Discrimination Act of 1975, Public Law 94-135, 42 U.S.C. 6101-07, 45 CFR Part 90 Nondiscrimination in Federally Assisted Programs. Americans with Disabilities Act of 1990, Public Law 101-336. Equal Employment Opportunity, Executive Order 11246, as amended by Executive Order 11375 and supplemented in U.S. Department of Labor Regulations, 41 CFR Chapter 60. Executive Order 11246, as amended by EO 11375, 11478, 12086 and 12102. Fair Housing Act (42 U.S.C. 3601-19) and implementing regulations at 24 CFR part 100.Section 504 of the Rehabilitation Act of 1973 and implementing regulations at 24 CFR part 8. Fair Housing, Title VIII of the Civil Rights Act of 1968, Public Law 90-284, 42 U.S.C. 3601-19. Handicapped Employees of Government Contractors, Rehabilitation Act of 1973, Section 503, 29 U.S.C. 793. Handicapped Recipients of Federal Financial Assistance, Rehabilitation Act of 1973, Section 504, 29 U.S.C. 794. Minority Business Enterprises, Executive Order 11625, 15 U.S.C. 631. Minority Business Enterprise Development, Executive Order 12432, 48 FR 32551. Nondiscrimination and Equal Opportunity, 24 CFR 5.105(a). Nondiscrimination in benefits, Title VI of the Civil Rights Act of 1964, Public Law 88-352, 42 U.S.C. 2002d et seq, 24 CFR Part 1. Nondiscrimination in employment, Title VII of the Civil Rights Act of 1964, Public Law 88-352. Nondiscrimination in Federally Assisted Programs. GENERAL TERMS AND CONDITIONS CAPITAL FEDERAL ARRA FUNDS ARRA COM Federal Capital/EECBG ± Construction ± Arlington, City of Updated 2/23/2010 8 Nondiscrimination in Federally Assisted Construction Contracts, Executive Order 11246, 42 U.S.C. 2000e, as amended by Executive Order 11375, 41 CFR Chapter 60. Section 3, Housing and Urban Development Act of 1968, 12 USC 1701u (See 24 CFR 570.607(b)). F.Office of Management and Budget Circulars Cost Principles for State, Local and Indian Tribal Governments, OMB Circular A-87, 2 CFR, Part 225. Cost Principles for Nonprofit Organizations, OMB Circular A-122 (if the Contractor is a nonprofit organization). Grants and Cooperative Agreements with State and Local Governments, OMB Circular A-102 (if the Contractor is a local government or federally recognized Indian tribal government). Uniform Administrative Requirements for Grants and Other Agreements with Institutions of Higher Education, Hospitals and Other Nonprofit Organizations, OMB Circular A-110. G.Other Anti-Kickback Act, 18 U.S.C. 874; 40 U.S.C. 276b, 276c; 41 U.S.C. 51-54. Governmental Guidance for New Restrictions on Lobbying; Interim Final Guidance, Federal Register 1, Vol. 54, No. 243\Wednesday, December 20, 1989. Hatch Political Activity Act, 5 U.S.C. 1501-8. Internal Revenue Service Rules, August 31, 1990. Lobbying and Disclosure, 42 USC 3537a and 3545 and 31 USC 1352 (Byrd Anti-Lobbying Amendment). 31 U.S.C. 1352 provides that Contractors who apply or bid for an award of $100,000 or more must file the required certification. Each tier certifies to the tier above that it will not and has not used Federal appropriated funds to pay any person or organization for influencing or attempting to influence an officer or employee of any agency, a member of Congress, officer or employee of Congress, or an employee of a member of Congress in connection with obtaining any Federal contract, grant or other award covered by 31 U.S.C. 1352. Each tier must disclose any lobbying with non-Federal funds that takes place in connection with obtaining any Federal award. Such disclosures are forwarded from tier to tier up to the recipient. Non-Supplanting. Section 8 Housing Assistance Payments Program. H.Privacy Privacy Act of 1974, 5 U.S.C. 552a. I.Relocation Uniform Relocation Assistance and Real Property Acquisition Policy Act of 1970 and implementing regulations at 49 CFR part 24. Section 104(d) of the Housing and Community Development Act of 1974 and the implementing regulations at 24 CRF part 570. Washington State Laws and Regulations A.Affirmative action, RCW 41.06.020 (11). B.Boards of directors or officers of non-profit corporations ± Liability - Limitations, RCW 4.24.264. C.Disclosure-campaign finances-lobbying, Chapter 42.17 RCW. D.Discrimination-human rights commission, Chapter 49.60 RCW. GENERAL TERMS AND CONDITIONS CAPITAL FEDERAL ARRA FUNDS ARRA COM Federal Capital/EECBG ± Construction ± Arlington, City of Updated 2/23/2010 9 E.Ethics in public service, Chapter 42.52 RCW. F.Housing assistance program, Chapter 43.185 RCW G.Interlocal cooperation act, Chapter 39.34 RCW. H.Noise control, Chapter 70.107 RCW. I.Office of minority and women¶s business enterprises, Chapter 39.19 RCW and Chapter 326-02 WAC. J.Open public meetings act, Chapter 42.30 RCW. K.Prevailing wages on public works, Chapter 39.12 RCW. L.Public records act, Chapter 42.56 RCW. M.Relocation assistance - real property acquisition policy, Chapter 8.26 RCW. N.Shoreline management act of 1971, Chapter 90.58 RCW. O.State budgeting, accounting, and reporting system, Chapter 43.88 RCW. P.State building code, Chapter 19.27 RCW and Energy-related building standards, Chapter 19.27A RCW, and Provisions in buildings for aged and handicapped persons, Chapter 70.92 RCW. Q.State Coastal Zone Management Program, Publication 01-06-003, Shorelands and Environmental Assistance Program, Washington State Department of Ecology. R.State environmental policy, Chapter 43.21C RCW. S.State Executive Order 05-05 Archeological and Cultural Resources. 25. LICENSING, ACCREDITATION AND REGISTRATION The Contractor shall comply with all applicable local, state, and federal licensing, accreditation and registration requirements or standards necessary for the performance of this Contract. 26. LIMITATION OF AUTHORITY Only the Authorized Representative or Authorized Representative¶s designee by writing (designation to be made prior to action) shall have the express, implied, or apparent authority to alter, amend, modify, or waive any clause or condition of this Contract. 27. LOCAL PUBLIC TRANSPORTATION COORDINATION Where applicable, Contractor shall participate in local public transportation forums and implement strategies designed to ensure access to services. 28. NONCOMPLIANCE WITH NONDISCRIMINATION LAWS During the performance of this Contract, the Contractor shall comply with all federal, state, and local nondiscrimination laws, regulations and policies. In the event of the Contractor¶s non-compliance or refusal to comply with any nondiscrimination law, regulation or policy, this contract may be rescinded, canceled or terminated in whole or in part, and the Contractor may be declared ineligible for further contracts with COMMERCE. The Contractor shall, however, be given a reasonable time in which to cure this noncompliance. Any dispute may be resolved in accordance with the ³Disputes´ procedure set forth herein. 29. NOTIFICATION OF TENANT RIGHTS/RESPONSIBILITIES The Contractor shall provide all tenants, if any, with information outlining tenant rights and responsibilities under the Washington State Landlord Tenant laws, Title 59, Revised Code of Washington. The Contractor shall also provide all occupants of property acquired with U.S. Department of Housing and Urban Development (HUD) funds notice regarding their eligibility for relocation assistance. Such notices will be provided as required by the Uniform Relocation Assistance and Real Property GENERAL TERMS AND CONDITIONS CAPITAL FEDERAL ARRA FUNDS ARRA COM Federal Capital/EECBG ± Construction ± Arlington, City of Updated 2/23/2010 10 Acquisition Act of 1970, as amended and referenced in 49 CFR part 24 and Section 104(d) of the Housing and Community Development Act of 1974, as amended and referenced in 24 CFR 570 and noted in HUD¶s Handbook No. 1378. Notifications will include but not be limited to: · General Information Notice · Notice of Displacement/Non-Displacement 30. POLITICAL ACTIVITIES Political activity of Contractor employees and officers are limited by the State Campaign Finances and Lobbying provisions of Chapter 42.17 RCW and the Federal Hatch Act, 5 USC 1501 - 1508. No funds may be used for working for or against ballot measures or for or against the candidacy of any person for public office. 31. PREVAILING WAGE LAWS All contractors and subcontractors performing work on a construction project funded through this agreement shall comply with prevailing wage laws by paying the higher of state or federal prevailing wages according to: State Prevailing Wages on Public Works, Chapter 39.12 RCW, as applicable to the Project funded by this contract, including but not limited to the filing of the ³Statement of Intent to Pay Prevailing Wages´ and ³Affidavit of Wages Paid´ as required by RCW 39.12.040. The Contractor shall maintain records sufficient to evidence compliance with Chapter 39.12 RCW, and shall make such records available for COMMERCE¶s review upon request; or The Davis Bacon Act, 40 U.S.C. 276a-276a-5 and related federal acts provide that all laborers and mechanics employed by contractors or subcontractors in the performance shall be paid wages at rates not less than those prevailing on similar construction in the locality as determined by the Secretary of Labor. 32. PROCUREMENT STANDARDS FOR FEDERALLY FUNDED PROGRAMS A Contractor which is a local government or Indian Tribal government must establish procurement policies and procedures in accordance with OMB Circulars A-102, Uniform Administrative Requirements for Grants in Aid for State and Local Governments, for all purchases funded by this Contract. A Contractor which is a nonprofit organization shall establish procurement policies in accordance with OMB Circular A-110, Uniform Administrative Requirements for Grants and Agreements with Nonprofit Agencies, for all purchases funded by this Contract. The Contractor¶s procurement system should include at least the following: 1.A code or standard of conduct that shall govern the performance of its officers, employees, or agents engaged in the awarding of contracts using federal funds. 2.Procedures that ensure all procurement transactions shall be conducted in a manner to provide, to the maximum extent practical, open and free competition. 3.Minimum procedural requirements, as follows: a.Follow a procedure to assure the avoidance of purchasing unnecessary or duplicative items. b.Solicitations shall be based upon a clear and accurate description of the technical requirements of the procured items. c.Positive efforts shall be made to use small and minority-owned businesses. d.The type of procuring instrument (fixed price, cost reimbursement) shall be determined by the Contractor, but must be appropriate for the particular procurement and for promoting the best interest of the program involved. GENERAL TERMS AND CONDITIONS CAPITAL FEDERAL ARRA FUNDS ARRA COM Federal Capital/EECBG ± Construction ± Arlington, City of Updated 2/23/2010 11 e.Contracts shall be made only with reasonable subcontractors who possess the potential ability to perform successfully under the terms and conditions of the proposed procurement. f.Some form of price or cost analysis should be performed in connection with every procurement action. g.Procurement records and files for purchases shall include all of the following: 1) Contractor selection or rejection. 2) The basis for the cost or price. 3) Justification for lack of competitive bids if offers are not obtained. h.A system for contract administration to ensure Contractor conformance with terms, conditions and specifications of this Contract, and to ensure adequate and timely follow- up of all purchases. 4.Grantee and Subgrantees must receive prior approval from COMMERCE for using funds from this Grant to enter into a sole source Grant or a Grant where only one bid or proposal is received when value of this Grant is expected to exceed $5,000. Prior approval requests shall include a copy of proposed contracts and any related procurement documents and justification for non-competitive procurement, if applicable. 33. PROHIBITION AGAINST PAYMENT OF BONUS OR COMMISSION The funds provided under this Contract shall not be used in payment of any bonus or commission for the purpose of obtaining approval of the application for such funds or any other approval or concurrence under this Contract provided, however, that reasonable fees or bona fide technical consultant, managerial, or other such services, other than actual solicitation, are not hereby prohibited if otherwise eligible as project costs. 34. PUBLICITY The Contractor agrees not to publish or use any advertising or publicity materials in which the state of Washington or COMMERCE¶s name is mentioned, or language used from which the connection with the state of Washington¶s or COMMERCE¶s name may reasonably be inferred or implied, without the prior written consent of COMMERCE. 35. RECAPTURE In the event that the Contractor fails to perform this contract in accordance with state laws, federal laws, and/or the provisions of this contract, COMMERCE reserves the right to recapture funds in an amount to compensate COMMERCE for the noncompliance in addition to any other remedies available at law or in equity. Repayment by the Contractor of funds under this recapture provision shall occur within the time period specified by COMMERCE. In the alternative, COMMERCE may recapture such funds from payments due under this contract. 36. RECORDS MAINTENANCE The Contractor shall maintain all books, records, documents, data and other evidence relating to this Contract and performance of the services described herein, including but not limited to accounting procedures and practices which sufficiently and properly reflect all direct and indirect costs of any nature expended in the performance of this Contract. Contractor shall retain such records for a period of six years following the date of final payment. If any litigation, claim or audit is started before the expiration of the six (6) year period, the records shall be retained until all litigation, claims, or audit findings involving the records have been finally resolved. GENERAL TERMS AND CONDITIONS CAPITAL FEDERAL ARRA FUNDS ARRA COM Federal Capital/EECBG ± Construction ± Arlington, City of Updated 2/23/2010 12 37. REGISTRATION WITH DEPARTMENT OF REVENUE If required by law, the Contractor shall complete registration with the Washington State Department of Revenue. 38. RIGHT OF INSPECTION At no additional cost all records relating to the Contractor¶s performance under this Contract shall be subject at all reasonable times to inspection, review, and audit by COMMERCE, the Office of the State Auditor, and federal and state officials so authorized by law, in order to monitor and evaluate performance, compliance, and quality assurance under this Contract. The Contractor shall provide access to its facilities for this purpose. 39. SAVINGS In the event funding from state, federal, or other sources is withdrawn, reduced, or limited in any way after the effective date of this Contract and prior to normal completion, COMMERCE may terminate the Contract under the "Termination for Convenience" clause, without the ten business day notice requirement. In lieu of termination, the Contract may be amended to reflect the new funding limitations and conditions. 40. SEVERABILITY If any provision of this Contract or any provision of any document incorporated by reference shall be held invalid, such invalidity shall not affect the other provisions of this Contract that can be given effect without the invalid provision, if such remainder conforms to the requirements of law and the fundamental purpose of this Contract and to this end the provisions of this Contract are declared to be severable. 41. SUBCONTRACTING The Contractor may only subcontract work contemplated under this Contract if it obtains the prior written approval of COMMERCE. If COMMERCE approves subcontracting, the Contractor shall maintain written procedures related to subcontracting, as well as copies of all subcontracts and records related to subcontracts. For cause, COMMERCE in writing may: (a) require the Contractor to amend its subcontracting procedures as they relate to this Contract; (b) prohibit the Contractor from subcontracting with a particular person or entity; or (c) require the Contractor to rescind or amend a subcontract. Every subcontract shall bind the Subcontractor to follow all applicable terms of this Contract. The Contractor is responsible to COMMERCE if the Subcontractor fails to comply with any applicable term or condition of this Contract. The Contractor shall appropriately monitor the activities of the Subcontractor to assure fiscal conditions of this Contract. In no event shall the existence of a subcontract operate to release or reduce the liability of the Contractor to COMMERCE for any breach in the performance of the Contractor¶s duties. Every subcontract shall include a term that COMMERCE and the State of Washington are not liable for claims or damages arising from a Subcontractor¶s performance of the subcontract. 42. SURVIVAL The terms, conditions, and warranties contained in this Contract that by their sense and context are intended to survive the completion of the performance, cancellation or termination of this Contract shall so survive. 43. TAXES All payments accrued on account of payroll taxes, unemployment contributions, the Contractor¶s income or gross receipts, any other taxes, insurance or expenses for the Contractor or its staff shall be the sole responsibility of the Contractor. GENERAL TERMS AND CONDITIONS CAPITAL FEDERAL ARRA FUNDS ARRA COM Federal Capital/EECBG ± Construction ± Arlington, City of Updated 2/23/2010 13 44. TERMINATION FOR CAUSE / SUSPENSION In event COMMERCE determines that the Contractor failed to comply with any term or condition of this Contract, COMMERCE may terminate the Contract in whole or in part upon written notice to the Contractor. Such termination shall be deemed ³for cause.´ Termination shall take effect on the date specified in the notice. In the alternative, COMMERCE upon written notice may allow the Contractor a specific period of time in which to correct the non-compliance. During the corrective-action time period, COMMERCE may suspend further payment to the Contractor in whole or in part, or may restrict the Contractor¶s right to perform duties under this Contract. Failure by the Contractor to take timely corrective action shall allow COMMERCE to terminate the Contract upon written notice to the Contractor. ³Termination for Cause´ shall be deemed a ³Termination for Convenience´ when COMMERCE determines that the Contractor did not fail to comply with the terms of the Contract or when COMMERCE determines the failure was not caused by the Contractor¶s actions or negligence. If the Contract is terminated for cause, the Contractor shall be liable for damages as authorized by law, including, but not limited to, any cost difference between the original contract and the replacement contract, as well as all costs associated with entering into the replacement contract (i.e., competitive bidding, mailing, advertising, and staff time). 45. TERMINATION FOR CONVENIENCE Except as otherwise provided in this Contract, COMMERCE may, by ten (10) business days written notice, beginning on the second day after the mailing, terminate this Contract, in whole or in part. If this Contract is so terminated, COMMERCE shall be liable only for payment required under the terms of this Contract for services rendered or goods delivered prior to the effective date of termination. 46. TERMINATION PROCEDURES After receipt of a notice of termination, except as otherwise directed by COMMERCE, the Contractor shall: A.Stop work under the Contract on the date, and to the extent specified, in the notice; B.Place no further orders or subcontracts for materials, services, or facilities related to the Contract; C.Assign to COMMERCE all of the rights, title, and interest of the Contractor under the orders and subcontracts so terminated, in which case COMMERCE has the right, at its discretion, to settle or pay any or all claims arising out of the termination of such orders and subcontracts. Any attempt by the Contractor to settle such claims must have the prior written approval of COMMERCE; and D.Preserve and transfer any materials, contract deliverables and/or COMMERCE property in the Contractor¶s possession as directed by COMMERCE. Upon termination of the Contract, COMMERCE shall pay the Contractor for any service provided by the Contractor under the Contract prior to the date of termination. COMMERCE may withhold any amount due as COMMERCE reasonably determines is necessary to protect COMMERCE against potential loss or liability resulting from the termination. COMMERCE shall pay any withheld amount to the Contractor if COMMERCE later determines that loss or liability will not occur. The rights and remedies of COMMERCE under this section are in addition to any other rights and remedies provided under this Contract or otherwise provided under law. 47. WAIVER Waiver of any default or breach shall not be deemed to be a waiver of any subsequent default or breach. Any waiver shall not be construed to be a modification of the terms of this Contract unless stated to be such in writing and signed by Authorized Representative of COMMERCE. GENERAL TERMS AND CONDITIONS CAPITAL FEDERAL ARRA FUNDS ARRA COM Federal Capital/EECBG ± Construction ± Arlington, City of Updated 2/23/2010 14 48. WORK HOURS AND SAFETY STANDARDS The Contract Work Hours and Safety Standards Act (40 U.S.C. 327-333)-Where applicable, all contracts awarded by recipients in excess of $100,000 for construction and other purposes that involve the employment of mechanics or laborers must include a provision for compliance with Section 102 and 107 of the Contract Work Hours Safety Standards Act (40 U.S.C. 327-333), as supplemented by Department of Labor regulations (29 CFR part 5). Under Section 102 of the Act, each subcontractor is required to compute the wages of every mechanic and laborer on the basis of a standard work week of 40 hours. Work in excess of the standard work week is permissible provided that the worker is compensated at a rate of not less than 1 ½ times the basic rate of pay for all hours worked in excess of 40 hours in the work week. Section 107 of the Act is applicable to construction work and provides that no laborer or mechanic is required to work in surroundings or under working conditions which are unsanitary, hazardous, or dangerous. These requirements do not apply to the purchases of supplies or materials or articles ordinarily available on the open market, or contracts for transportation or transmission of intelligence. Attachment A ARRA COM Federal Capital/EECBG ± Construction ± Arlington, City of Updated 2/23/2010 1 STATEMENT OF WORK ENERGY EFFICIENCY AND CONSERVATION BLOCK GRANT SMALL CITIES AND COUNTIES Grant Recipient: City of Arlington Contact Name: Paul Ellis Address: 238 North Olympic Ave Arlington, WA 98223 Email:pellis@arlingtonwa.gov Phone: (360) 403.4603 Project Summary: The energy efficiency retrofit (heating, lighting, insulation, and windows) of seven major buildings. Activity/Task/ Deliverables Description Start Date End Date Budget EECBG Grant Budget Match Activity #1 Public Works Administration and M&O facility, Energy Efficiency Upgrades 10-Mar 10-Jul Task 1.1 Upgrade 76 interior lighting fixtures with energy efficient florescent.3/1/2010 3/30/2010 $3,449.00 $4,113.00 Task 1.2 Replace existing baseboard heaters and failing AC system with new Heat Pump HVAC.3/1/2010 7/1/2010 $67,730.00 $1,622.00 Task 1.3 Replace interior lighting fixtures in administration offices 11/1/2009 11/30/2009 $96.00 $3,900.00 Task 1.4 Replace single glazed windows in Administration offices with double glazed Low-E windows 10/15/2009 11/30/2009 $3,834.00 $4,926.00 Task 1.5 Install wall, ceiling and floor insulation in administrative offices per energy assessment.11/1/2009 11/30/2009 $4,174.00 $7,883.00 Activity #2 Upgrade to Fire Station #46 3/1/2010 4/30/2010 Task 2.1 Replace 51 interior light fixture with energy saving florescent fixtures 3/15/2010 4/15/2010 $1,582.00 $2,554.00 Activity #3 Upgrades the Fire Station #47 4/1/2010 8/1/2010 Task 3.1 Replace window mounted AC units and Baseboard heats with new heat pump HVAV system.6/1/2010 8/1/2010 $26,755.00 $5,358.00 Task 3.2 Retrofit 44 interior light fixtures with new energy saving florescent lighting.4/1/2010 5/1/2010 $1,831.00 $2,140.00 Attachment A ARRA COM Federal Capital/EECBG ± Construction ± Arlington, City of Updated 2/23/2010 2 Activity/Task/ Deliverables Description Start Date End Date Budget EECBG Grant Budget Match Activity #4 City Hall Improvements 5/1/2010 7/1/2010 Task 4.1 Replace 51 interior lighting fixtures with energy saving florescent lighting 5/1/2010 7/1/2010 $1,557.00 $3,009.00 Activity #5 Cemetery Office Improvements 7/1/2010 8/1/2010 Task 5.1 Replace 17 interior light fixtures with energy saving florescent 7/1/2010 8/1/2010 $746.00 $1,450.00 Task 5.2 Replace window mounted AC units and baseboard heaters with a Heat Pump HVAC system 7/1/2010 7/30/2010 $21,350.00 Activity #6 Waste water Utilities office Improvements Task 6.1 Replace 36 interior lighting fixtures with energy saving florescent lighting.8/1/2010 9/1/2010 $1,896.00 $2,398.00 TOTAL $135,000.00 $39,353.00 Attachment B ARRA COM Federal Capital/EECBG ± Construction ± Arlington, City of Updated 2/23/2010 1 BUDGET WASHINGTON STATE DEPT. OF COMMERCE - BUDGET WORKSHEET GRANT TITLE:EECBG Small Cities & Counties Fed. Grant No. COM Point of Contact Funding TYPE ARRA X EECBG Grant X Other PROJECT NAME: COM Agreement No. Applicant Name Address, City Zip Sub-reciepient POC ATTN: Paul Ellis, Assistant City Administrator GRANT Categories OBJ Commerce EECBG Fed Municipal Third Party Total Costs Salaries and Wages A 0 Benefits B 0 Contractual C 135000.00 28898.00 0 Goods And Services E 163898 (Supplies/Commodities) Travel G 0 Equipment-None Capitalized J (JA)0 *Equipment-Capitalized J (Other)0 **Other Define 0 Total Direct Costs 135000 28898 163898 ***(opt) Admin. Support Costs Method 1 - as % of direct costs OR Method 2 - as a hard cost entry 10455 10455 Total Admin Costs 10455 Total All Costs 135000 10455 28898 174353 Percentage (Total Contract)77.43%6.00% 16.57%100% 135000 39353 22.57% FOOTNOTES: Other Define:ITEM COST QUANTITY TOTAL Grant administration 1 10455 1 10455 10455 DE-EE0000849 Patti Miller-Crowley City of Arlington EECBG Facilities Project F10-52110-015 ***The admin fee is to cover support costs associated with administering the grant. TOTAL AMOUNT ****OTHER DEFINE City of Arlington 238 North Olympic Ave, Arlington, Washington 98223 LEVERAGE TOTAL MATCH = Attachment C ARRA COM Federal Capital/EECBG ± Construction ± Arlington, City of Updated 2/23/2010 1 ADDITIONAL PROVISIONS UNDER THE AMERICAN RECOVERY AND REINVESTMENT ACT OF 2009 Public Law 111-5 1. Recovery Act Reporting Requirements; Section 1512(c) of the Recovery Act Contractor acknowledges and agrees that the American Recovery and Reinvestment Act of 2009, hereinafter ³Recovery Act´ places great emphasis on accountability and transparency in the use of taxpayer dollars. Among other things, it creates a new Recovery Accountability and Transparency Board and a new website -- Recovery.gov -- to provide information to the public, including access to detailed information on grants and contracts made with Recovery Act funds. COMMERCE, as a recipient of Recovery Act funds, must comply with the Recovery Act¶s extensive reporting requirements, including quarterly financial and programmatic reporting due within 10 calendar days after the end of each calendar quarter. COMMERCE will require periodic reports from its sub-recipients in order to fulfill its reporting obligations. Grantees receiving Recovery Act funds may expect that a standard form(s) and/or reporting mechanism will be made available at a future date. Contractor agrees to provide to COMMERCE all reports, documentation, or other information, as may be required by COMMERCE to meet reporting obligations under the Recovery Act. Contractor¶s receipt of funds is contingent on Contractor meeting the reporting requirements of Section 1512. Additional instructions and guidance regarding the required reporting will be provided as they become available. For planning purposes, however, Contractors receiving Recovery Act funds should be aware that Recovery Act section 1512(c) provides: Recipient Reports- Not later than 10 days after the end of each calendar quarter, each recipient that received recovery funds from a Federal agency shall submit a report to that agency that contains² (1) The total amount of recovery funds received from that agency; (2) The amount of recovery funds received that were expended or obligated to projects or activities; and (3) A detailed list of all projects or activities for which recovery funds were expended or obligated, including: (a) The name of the project or activity; (b) A description of the project or activity; (c) An evaluation of the completion status of the project or activity; (d) An estimate of the number of jobs created and the number of jobs retained by the project or activity; and (e) For infrastructure investments made by State and local governments, the purpose, total cost, and rationale of the agency for funding the infrastructure investment with funds made available under this Act, and name of the person to contact at the agency if there are concerns with the infrastructure investment. (4) Detailed information on any subcontracts or subgrants awarded by the recipient to include the data elements required to comply with the Federal Funding Accountability and Transparency Act of 2006 (Public Law 109-282), allowing aggregate reporting on awards below $25,000 or to individuals, as prescribed by the Director of the Office of Management and Budget. 2. Section 1512 of the Recovery Act: Registration with Central Contractor Registration (CCR) Recipients of funds under the Recovery Act shall register with the Central Contractor Registration (CCR) database at www.ccr.gov. This ensures consistent reporting of data about each entity and thereby makes data more useful to the public. In order to register in CCR, a valid Data Universal Attachment C ARRA COM Federal Capital/EECBG ± Construction ± Arlington, City of Updated 2/23/2010 2 Numbering System (DUNS) Number is required and should be inserted in Box # 13 of the Face Sheet of this Agreement. 3. Section 1602 of the Recovery Act: Preference for Quick-Start Activities (if applicable) Section 1602 of the Recovery Act provides: In using funds made available in this Act for infrastructure investment, recipients shall give preference to activities that can be started and completed expeditiously, including a goal of using at least 50 percent of the funds for activities that can be initiated not later than 120 days after the date of the enactment of this Act. Recipients shall also use grant funds in a manner that maximizes job creation and economic benefit. 4. Section 1604 of the Recovery Act: Limit on Funds Section 1604 of the Recovery Act provides: None of the funds appropriated or otherwise made available in this Act may be used by any State or local government, or any private entity, for any casino or other gambling establishment, aquarium, zoo, golf course, or swimming pool. 5. Required Use of American Iron, Steel, and Manufactured Goods²Section 1605 of the American Recovery and Reinvestment Act of 2009 Contractor shall comply with Section 1605 of the Recovery Act unless (1) compliance has been waived by the Federal Agency providing the funds; or (2) compliance with the Recover y Act conflicts with an international trade agreement. A. Section 1605 of the Recovery Act provides: Use of American Iron, Steel, and Manufactured Goods. (a) None of the funds appropriated or otherwise made available by the Recovery Act may be used for a project for the construction, alteration, maintenance, or repair of a public building or public work unless all of the iron, steel, and manufactured goods used in the project are produced in the United States. (b) Subsection (a) shall not apply in any case or category of cases in which the head of the Federal department or agency involved finds that: (1) applying subsection (a) would be inconsistent with the public interest; (2) iron, steel, and the relevant manufactured goods are not produced in the United States in sufficient and reasonably available quantities and of a satisfactory quality; or (3) inclusion of iron, steel, and manufactured goods produced in the United States will increase the cost of the overall project by more than 25 percent. (c) If the head of a Federal department or agency determines that it is necessary to waive the application of subsection (a) based on a finding under subsection (b), the head of the department or agency shall publish in the Federal Register a detailed written justification as to why the provision is being waived. (d) This section shall be applied in a manner consistent with United States obligations under international agreements. B. International Trade Agreements: Contracts for the procurement of goods and services in the amount of $528,000 or more and for constructions services in the amount of $7,443,000 or more are covered by an international trade agreement and are therefore not subject to Section 1605. C. Waivers: Contractor shall provide COMMERCE with information and applicable supporting data as may be required by COMMERCE, to support any request for waiver of compliance with Section 1605 (b) of the Recovery Act. The following applies to requests for waivers submitted to COMMERCE. Attachment C ARRA COM Federal Capital/EECBG ± Construction ± Arlington, City of Updated 2/23/2010 3 (a) Definitions. ³Manufactured good´ means a good brought to the construction site for incorporation into the building or work that has been: (1) Processed into a specific form and shape; or (2) Combined with other raw material to create a material that has different properties than the properties of the individual raw materials. ³Public building´ and "public work" means a public building of, and a public work of, a governmental entity (the United States; the District of Columbia; commonwealths, territories, and minor outlying islands of the United States; State and local governments; and multi- State, regional, or interstate entities which have governmental functions). These buildings and works may include, without limitation, bridges, dams, plants, highways, parkways, streets, subways, tunnels, sewers, mains, power lines, pumping stations, heavy generators, railways, airports, terminals, docks, piers, wharves, ways, lighthouses, buoys, jetties, breakwaters, levees, and canals, and the construction, alteration, maintenance, or repair of such buildings and works. ³Steel´ means an alloy that includes at least 50 percent iron, between .02 and 2 percent carbon, and may include other elements. (b) Domestic preference. (1) This award term and condition implements Section 1605 of the Recovery Act of 2009 by requiring that all iron, steel, and manufactured goods used in the project are produced in the United States except as provided in paragraph (b)(3) of this term and condition. (2) This requirement does not apply to the material excepted by the Federal Government. (3) The award official may add other iron, steel, and/or manufactured goods to the list in paragraph (b)(2) of this term and condition if the Federal Government determines that: (i) The cost of the domestic iron, steel, and/or manufactured goods would be unreasonable. The cost of domestic iron, steel, or manufactured goods used in the project is unreasonable when the cumulative cost of such material will increase the cost of the overall project by more than 25 percent; (ii) The iron, steel, and/or manufactured good is not produced, or manufactured in the United States in sufficient and reasonably available quantities and of a satisfactory quality; or (iii) The application of the restriction of Section 1605 of the Recovery Act would be inconsistent with the public interest. (c) Request for determination of inapplicability of Section 1605 of the Recovery Act. (1)(i) Any request to use foreign iron, steel, and/or manufactured goods in accordance with paragraph (b)(3) of this term and condition shall include adequate information for Federal Government evaluation of the request, including² (A) A description of the foreign and domestic iron, steel, and/or manufactured goods; (B) Unit of measure; (C) Quantity; (D) Cost; (E) Time of delivery or availability; (F) Location of the project; (G) Name and address of the proposed supplier; and (H) A detailed justification of the reason for use of foreign iron, steel, and/or manufactured goods cited in accordance with paragraph (b)(3) of this term and condition. Attachment C ARRA COM Federal Capital/EECBG ± Construction ± Arlington, City of Updated 2/23/2010 4 (ii) A request based on unreasonable cost shall include a reasonable survey of the market and a completed cost comparison table in the format in paragraph (d) of this term and condition. (iii) The cost of iron, steel, and/or manufactured goods material shall include all delivery costs to the construction site and any applicable duty. (iv) Any request for a determination submitted after Recovery Act funds have been obligated for a project for construction, alteration, maintenance, or repair shall explain why the Contractor could not reasonably foresee the need for such determination and could not have requested the determination before the funds were obligated. (2) If the Federal Government determines after funds have been obligated for a project for construction, alteration, maintenance, or repair that an exception to Section 1605 of the Recovery Act applies, COMMERCE will amend the award to allow use of the foreign iron, steel, and/or relevant manufactured goods. When the basis for the exception is nonavailability or public interest, the amended award shall reflect adjustment of the award amount, redistribution of budgeted funds, and/or other actions taken to cover costs associated with acquiring or using the foreign iron, steel, and/or relevant manufactured goods. When the basis for the exception is the unreasonable cost of the domestic iron, steel, or manufactured goods, COMMERCE shall adjust the award amount or redistribute budgeted funds in accordance with requirements adopted pursuant to the Recovery Act. (3) Unless the Federal Government determines that an exception to Section 1605 of the Recovery Act applies, use of foreign iron, steel, and/or manufactured goods is noncompliant with Section 1605 of the American Recovery and Reinvestment Act. (d) Data. To permit evaluation of requests under paragraph (b) of this term and condition based on unreasonable cost, the following information and any applicable supporting data based on the survey of suppliers should be provided to COMMERCE: FOREIGN AND DOMESTIC ITEMS COST COMPARISON Description Unit of Measure Quantity Cost (Dollars)* Item 1: Foreign steel, iron, or manufactured good _____________________ Domestic steel, iron, or manufactured good Item 2: Foreign steel, iron, or manufactured good Domestic steel, iron or manufactured good [List name, address, telephone number, email address, and contact for suppliers surveyed.] [Attach copy of response; if oral, attach summary.] [Include other applicable supporting information.] [*Include all delivery costs to the construction site.] 6. Wage Rate Requirements under Section 1606 of the American Recovery and Reinvestment Act of 2009 ± Davis-Bacon Act All laborers and mechanics employed by contractors and subcontractors on projects funded directly by or assisted in whole or in part by and through the Federal Government pursuant to the Recovery Act, shall be paid wages at rates not less than those prevailing on projects of a character similar in Attachment C ARRA COM Federal Capital/EECBG ± Construction ± Arlington, City of Updated 2/23/2010 5 the locality as determined by the Secretary of Labor in accordance with subchapter IV of chapter 31 of title 40, United States Code (Davis-Bacon Act). With respect to the labor standards specified in this section, the Secretary of Labor shall have the authority and functions set forth in Reorganization Plan numbered 14 of 1950 (64 Stat. 1267, 5 U.S.C. App.) and section 3145 of title 40 United States Code. See U.S. Department of Labor, Wage and Hour Division website at http://www.dol.gov/esa/whd/contracts/dbra.htm . Wage determinations can be found at http://www.wdol.gov. The Contractor shall include this provision and require this provision to be contained in all subcontracts for work performed under this Contract. The work performed by this contract may also be subject to the State¶s prevailing wage laws, Chapter 39.12 RCW. The Contractor is advised to consult with the Washington State Department of Labor and Industries to determine the prevailing wages that must be paid. 7. Non-supplanting of State and Local Funds (if applicable -- consult the program solicitation and the special conditions in the award document) Grantees must use federal funds to supplement existing State and local funds for program activities and must not replace (supplant) State or local funds that they have appropriated or allocated for the same purpose. Potential supplanting will be the subject of monitoring and audit. Violations may result in a range of penalties, including suspension of current and future funds under this program, suspension or debarment from federal grants, recoupment of monies provided under a grant, and civil and/or criminal penalties. For additional guidance regarding supplanting, refer to the information provided at http://www.ojp.usdoj.gov/recovery/supplantingguidance.htm. 8. Protection of Whistleblowers Prohibition on Reprisals: An employee of any non-Federal employer receiving covered funds under the Recovery Act may not be discharged, demoted, or otherwise discriminated against as a reprisal for disclosing, including a disclosure made in the ordinary course of an employee¶s duties, to the Accountability and Transparency Board, an inspector general, the Comptroller General, a member of Congress, a State or Federal regulatory or law enforcement agency, a person with supervisory authority over the employee (or other person working for the employer who has the authority to investigate, discover or terminate misconduct,) a court or grant jury, the head of a Federal agency, or their representatives information that the employee believes is evidence of: · Gross mismanagement of an agency contract or grant relating to covered funds; · Gross waste of covered funds; · Substantial and specific danger to public health or safety related to the implementation or use of covered funds; · Abuse of authority related to the implementation or use of covered funds; or · Violation of law, rule, or regulation related to an agency contract (including the competition for or negotiation of a contract) or grant, awarded or issued relating to covered funds. Any employer receiving covered funds shall post notice of the rights and remedies provided under this section. The recommended written notice is attached as ³Know Your Rights Under the Recovery Act´. 9. Waste Stream Prior to the expenditure of Federal funds, the Contactor is required to provide documentation demonstrating that it has prepared a waste management plan to dispose of sanitary or hazardous waste generated by the proposed activities. Sanitary or hazardous waste includes, but is not limited to, old light bulbs, lead ballasts, piping, roofing material, discarded equipment, debris, and asbestos. Compliance with this clause will be complete only after the Contactor has submitted adequate documentation to Commerce for its review, and Commerce has provided written approval to the Recipient of its proposed plan to dispose of its sanitary or hazardous waste. Attachment C ARRA COM Federal Capital/EECBG ± Construction ± Arlington, City of Updated 2/23/2010 6 For assistance contact the WA State Governor¶s Office of Regulator Assistance (ORA), Regional assistance Leads - http://www.ora.wa.gov/contact.asp Pollution Prevention Planning help is available from WA State Department of Ecology Regional Office staff: http://www.ecy.wa.gov/programs/hwtr/P2/contacts.html or call Bellevue: (425) 649-7000 Lacey: (360) 407-6300 Yakima: (509) 575-2490 Spokane: (509) 329-3400 10. False Claims Act Each grantee or subrecipient should promptly refer to an appropriate inspector general any credible evidence that a principal, employee, agent, contractor, subgrantee, subcontractor or other person has submitted a false claim under the False Claims Act or who has committed a criminal or civil violation of laws pertaining to fraud, conflict of interest, bribery, gratuity or similar misconduct involving those funds. 11. Listing Recovery Act Jobs with the Washington State Employment Security Department This Contract is funded with federal stimulus funds (under the Recovery Act), which has strict reporting requirements for funds spent and jobs created or retained (see Exhibit A, attached and incorporated into this Contract as additional instructions). Unless hiring is directly from a union hall, all job openings created by the Contractor for this project must be listed with the WorkSource system (an affiliate of the Employment Security Department) before hiring; all hiring decisions also must be reported to WorkSource. In addition, all Subcontractors hired by the Contractor also must be required to list jobs and report hiring results to WorkSource. Existing Contractor or Subcontractor employees who are retained using funds from this project also must be reported to WorkSource. WorkSource will pre-screen and refer qualified job candidates for the Contractor¶s or Subcontractor¶s consideration. The Contractor and Subcontractor also have the discretion to use other, additional recruitment systems and retain the right to make all hiring decisions. To begin the listing and reporting process, contact the Employment Security Department ARRA Business Unit at 877-453-5906 (toll-free), 360-438-4849, or ARRA@esd.wa.gov. Attachment C ARRA COM Federal Capital/EECBG ± Construction ± Arlington, City of Updated 2/23/2010 7 Exhibit A Attachment C ARRA COM Federal Capital/EECBG ± Construction ± Arlington, City of Updated 2/23/2010 8 Attachment C ARRA COM Federal Capital/EECBG ± Construction ± Arlington, City of Updated 2/23/2010 9 Attachment C ARRA COM Federal Capital/EECBG ± Construction ± Arlington, City of Updated 2/23/2010 10 Know Your Rights Under the Recovery Act! Post this notice of the rights and remedies. Did you know?The American Recovery and Reinvestment Act of 2009 1provides protections for certain employees of non-federal employers who make specified disclosures relating to possible fraud, waste and/or abuse or Recovery Act funds. Who is protected?Employees of non-federal employers receiving recovery funds. This includes State and local governments, contractors, subcontractors, grantees or professional membership organizations acting in the interest of recovery fund recipients. How are Whistleblowers Protected?You cannot be discharged, demoted or otherwise discriminated against as a reprisal for making a protected disclosure. What types of disclosures are protected?The disclosure must be made by the employee to the Recovery Accountability and Transparency Board, an Inspector General, the Comptroller General, a member of Congress, a state or federal regulatory or law enforcement agency, a person with supervisory authority over the employee, a court or grand jury, or the head of a federal agency or his/her representatives. The disclosure must involve information that the employee believes is evidence of: 1 Section 1553 of Division A, Title XV of the American Recovery and Reinvestment Act of 2009, P.L. 111-5 ‡gross mismanagement of an agency contract or grant relating to recovery funds; ‡a gross waste of recovery funds; ‡a substantial and specific danger to public health or safety related to the implementation or use of recovery funds; ‡an abuse of authority related to the implementation or use of recovery funds; or ‡a violation of law, rule, or regulation related to an agency contract or grant awarded or issued relating to recovery funds. Take Action!Log on to Recovery.gov for more information about your rights and details on how to report at www.recovery.gov. Attachment D ARRA COM Federal Capital/EECBG ± Construction ± Arlington, City of Updated 2/23/2010 1 Attachment D ARRA COM Federal Capital/EECBG ± Construction ± Arlington, City of Updated 2/23/2010 2