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FINAL 2021 0427 Council Agenda Packet Moses Lake City Council David Curnel, Mayor | Daryl Jackson, Deputy Mayor | Mike Riggs, Council Member | Karen Liebrecht, Council Member Don Myers, Council Member | David Eck, Council Member| Dean Hankins, Council Member REMOTE ACCESS AND LIMITED IN PERSON ATTENDANCE Citizens can join this meeting remotely via phone by calling the numbers listed at the bottom of the agenda, by audio only option https://cityofml.zoom.us/j/91539733610, or by registering before the meeting date using the link for the form for in person attendance. Pre-approvals for in person attendance will be determined in the order received. Masks and social distancing will be required. Regular Meeting Agenda Tuesday, April 27, 2021, 7 PM Moses Lake Civic Center – 401 S. Balsam or remote option Call to Order – 7 p.m. Roll Call Pledge of Allegiance Approval of the Agenda Summary Reports: Mayor’s Report - Armed Services Recognition – High School Graduates - Council Candidate Workshops Additional Business City Manager’s Report - Miranda Martinez, Police Evidence Custodian - Comprehensive Plan Timeline Update - Neighborhood Meeting Ordinance Discussion pg 4 Citizen’s Communications - Citizens who would like to address the Council can submit written comments to the City Clerk no later than 3 p.m. on the day of the meeting. Comments will be provided to Council electronically and recorded in the meeting minutes. Citizens who would like to speak on matters during the meeting will need to complete the following form no later than 3 p.m. on the day of the meeting. There will be a five-minute limit per speaker. https://lfweb.cityofml.com/Forms/Council- Speaker-Request Moses Lake Council Packet 4-27-21, Page 1 of 137 April 27, 2021, City Council Meeting Page 2 Consent Agenda Motion All items listed below are considered to be routine and will be enacted by one motion. There will be no separate discussion of these items unless a Council Member requests specific items to be removed from the Consent Agenda for discussion prior to the time Council votes on the motion to adopt the Consent Agenda. #1 pg 9 a.City Council Meeting Minutes Dated April 13, 2021 b.Claims and Payroll c. Award Lauzier Infield Restoration Contract d.DNR Kittelson Rd Easement Resolution 3849 e.Accept Longview Elementary Improvements Resolution 3850 f.FFCRA Update Resolution 3851 g. MLSD Student Resource Officer Contract h. FEMA Relief Funds Resolution 3852 Old Business #2 pg 97 System Designs Ambulance Billing Service Motion Presented by Brett Bastian, Fire Chief and Cindy Jensen, Finance Director Summary: Council to review and consider approval New Business #3 Motion pg 114 Prior Year 4th Quarter Financial Report Presented by Cindy Jensen, Finance Director Summary: Council to review and consider approval #4 Motion x 2 pg 129 Mattawa Waiver Letter and Interim Chief Interlocal Agreement Presented by Allison Williams, City Manager Summary: Council to review and consider approval Administrative Reports Council Communications and Reports Executive Session - Potential Litigation pursuant to RCW 42.30.110(1)(i) for 45 minutes Adjournment Moses Lake Council Packet 4-27-21, Page 2 of 137 April 27, 2021, City Council Meeting Page 3 Zoom Meeting – Audio Only Please click the link below to join the webinar: https://cityofml.zoom.us/j/91539733610 Or iPhone one-tap: US: +12532158782,,91539733610# or +13462487799,,91539733610# Or Telephone: Dial(for higher quality, dial a number based on your current location):US: +1 253 215 8782 or +1 346 248 7799 or +1 669 900 9128 or +1 646 558 8656 or +1 301 715 8592 or +1 312 626 6799 Webinar ID: 915 3973 3610. International numbers available: https://cityofml.zoom.us/u/aelROcwuzZ Moses Lake Council Packet 4-27-21, Page 3 of 137 Page 1 of 2 STAFF REPORT To: Allison Williams, City Manager From: Melissa Bethel, Community Development Director Date: April 22, 2021 Proceeding Type: City Manager’s Report Subject: Neighborhood Meeting Ordinance Legislative History: • First Presentation: Discussion April 27, 2021 • Second Presentation: • Action: Overview At the request of the City Council, staff has prepared a Neighborhood Meeting Ordinance which would require developers to host a neighborhood meeting when certain types of development take place. The purpose of the neighborhood meeting is to provide an opportunity for the applicant to inform the neighborhood about a project early in its planning stages and ensure the applicant pursue early citizen participation. Neighborhood meetings have been proven to be successful by giving surrounding property owners in the area an opportunity to learn about the proposals that affect them and to try to identify concerns in the early stages of the application process. This enables the applicant an opportunity to address any issues identified at the meeting before preparing plans for application. Neighborhood Meetings can help limit the amount of dollars spent on design as they happen prior to formal application process and the developer can take the neighborhood comments into consideration as part of the final design without impact to the process and permitting timeline. The Planning Commission discussed the Ordinance on February 11, 2021, and March 11, 2021, then held a public hearing on the ordinance April 15, 2021. Comments and discussion during the three meetings included concern over the cost burden to developers in holding the meeting, a desire to limit the types of development that would require a meeting, defining “infill”, and logistics of where meetings would be held. The draft included in the meeting packet reflects strikeouts of code the Commission recommended and underlines of additional language the Commission requested. The Planning Commission unanimously recommended the Council deny the Ordinance. Moses Lake Council Packet 4-27-21, Page 4 of 137 Page 2 of 2 Council Committee Reviews The City Finance Committee reviewed the Ordinance on March 9, 2021. The Municipal Services, Community Development, and Parks and Recreation Committee reviewed the Ordinance on April 21, 2021. Legal Review Type of Document Title of Document Date Reviewed Ordinance Neighborhood Meetings January 27, 2021 Moses Lake Council Packet 4-27-21, Page 5 of 137 ORDINANCE – DISCUSSION 4-27-20 AN ORDINANCE AMENDING CHAPTER 20.09 TITLED “REVIEW AND APPROVAL PROCESS” TO ADD A NEW SECTION 20.09.015 TITLED “NEIGHBORHOOD MEETINGS” Recitals: 1. The City of Moses Lake is currently undergoing a Comprehensive Plan update; and 2. Neighborhood meetings as part of a Land Use Application are commonplace among cities; and, 3. The City of Moses Lake is experiencing unprecedented growth; and, 4. Neighborhood meetings provide the public and nearby residents an opportunity for the applicant to inform the neighborhood about the project early in its planning stages and ensure early citizen participation. NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF MOSES LAKE, WASHINGTON DO ORDAIN AS FOLLOWS: Section 1. Moses Lake Municipal Chapter 20.09, “Review and Approval Process”, is amended to add a new section 20.09.015, titled “Neighborhood Meetings”, as follows: 20.09.015 Neighborhood meetings. A. The purpose of neighborhood meetings is to: 1. Provide a forum for interested individuals to meet with the applicant to learn about the proposal early in the review process. 2. Provide an opportunity for meaningful public input. 3. Provide a dialogue between the applicant, citizens, and city officials whereby issues can be identified. 4. Provide an opportunity for applicants to address concerns generated by individuals and incorporate possible changes. B. A neighborhood meeting will be required for the following when adjacent to or in residential zoning: 1. Conditional use permits; 2. Infill development; Where the development is substantial (i.e.: a new subdivision) or a different use than a majority of the surrounding built environment. Moses Lake Council Packet 4-27-21, Page 6 of 137 3. Planned residential developments; PUD’s, PURD’s 4. Mixed use developments; 5. Preliminary plats; Subdivisions, Short Plats 6. Commercial Developments C. When a neighborhood meeting is required, it shall be conducted within the city limits by the applicant prior to submittal of a counter complete application. The applicant shall notify the city of the date and time of the meeting. At least one representative from city staff may be in attendance. The applicant shall mail notice of the neighborhood meeting to the same individuals to whom notice is required for the notice of application Section 20.07.020 at least fourteen calendar days in advance of the meeting. The applicant shall provide the city with an affidavit of mailing. A sign-in sheet shall be provided at the meeting, giving attendees the option of establishing themselves as a party of record. and a summary of the attendees and comments received by the applicant shall be included in the application submittal. The neighborhood meeting is designed to provide a free and open discussion of the project between developers and the public. All discussions, proposals and statements shall not be considered legally binding. D. Applicants may choose to hold additional neighborhood meetings in order to provide an opportunity to address concerns generated, provide additional information, propose changes to plans, or provide further resolution of issues. If the applicant holds additional meetings, there is no specific requirement of notice or city attendance. However, the city shall make effort to attend meetings where appropriate and when the applicant has notified the city that additional meetings are taking place. Section 2. Severability. If any section of this ordinance is found to be unconstitutional or invalid as written or as applied to any particular person or circumstances, no other section of the ordinance shall be deemed to be invalid, but rather, should be deemed to have been enacted independently and without regard to the section affected. Section 3. Effective Date. This ordinance shall take effect and be in force five (5) days after its passage and publication of its summary as provided by law. Adopted by the City Council of the City of Moses Lake, WA and signed by its Mayor on __________, 2021. _____________________________________ David Curnel, Mayor ATTEST: _______________________________________ Debbie Burke, City Clerk Moses Lake Council Packet 4-27-21, Page 7 of 137 APPROVED AS TO FORM: _______________________________________ Katherine L. Kenison, City Attorney Vote: Riggs Liebrecht Myers Jackson Curnel Eck Hankins Aye Nay Abstain Absent Date Published: Date Effective: Moses Lake Council Packet 4-27-21, Page 8 of 137 MOSES LAKE CITY COUNCIL April 13, 2021 STUDY SESSION Comprehensive Plan Housing and Land Use Elements Workshop with Planning Commission Berk Consulting Senior Associate Kevin Gifford provided a PowerPoint presentation to review the draft Housing Action Plan findings and strategies, discuss potential changes to the Future Land Use Map, and to discuss potential Urban Growth Area boundary revisions. CALL TO ORDER The regular meeting of the Moses Lake City Council was called to order at 7:11 p.m. by Mayor Curnel via audio only remote and limited in-person access. Special notices for attendance and citizen comment were posted on the meeting agenda. ROLL CALL Present: Mayor Curnel, Deputy Mayor Jackson; Council Members Eck, Riggs, Liebrecht, Myers, and Hankins. PLEDGE OF ALLEGIANCE Council Member Liebrecht led the Flag Salute. AGENDA APPROVAL Action taken: Deputy Mayor Jackson moved to approve the Agenda, second by Council Member Riggs. The motion carried 7 – 0. SUMMARY REPORTS MAYOR’S REPORT AWC WellCity Recipient and Annual Conference The City received a 2% discount on medical premiums as a reward for staff participating in the healthy workplace program. The AWC Conference is online this year in June, with registration open in April. Moment of Silence for Tony St. Onge Tony St. Onge was a great human being and an amazing citizen of the Moses Lake community who won multiple awards for service to the community. He was a swim coach and is the father of one of our Police Officers. He recently passed away and was honored by a moment of silence. CITY MANAGER’S REPORT Retirement of Building Official Kevin Myre Building Official Kevin Myre was recognized for his 13 years of service with the City. Larson Rec Center Construction Schedule Leone and Keeble took possession of the building on the April 12. They will begin demolition on Monday followed by a 13-month construction cycle. The official groundbreaking will be scheduled during the week of May 17. Moses Lake Council Packet 4-27-21, Page 9 of 137 CITY COUNCIL MINUTES – April 13, 2021 pg. 2 Director Interview Committees Finance and Municipal Services Directors’ searches were conducted through Prothman. Eleven applications were received for the Municipal Services position and the Finance Director opening has been extended to ensure that there is a good pool of applicants. Council Member Hankins and Deputy Mayor Jackson volunteered to participate on the Municipal Services Director initial interview committee. Council Members Riggs, Eck, and Mayor Curnel volunteered to be on the Finance Director initial interview committee. CITIZEN COMMUNICATIONS MLMC 6.07.010 – Addition of Ducks Chris Johnson spoke about rehoming his ducks due to their neighbor’s complaint that the Code does not allow them. Council agreed that an addition of ducks to this Code was not unreasonable and asked Mr. Johnson to contact Community Development Director Melissa Bethel to move forward with allowing ducks in the city limits CONSENT AGENDA #1 a. City Council meeting minutes dated March 23, 2021 b. Claim Checks 151532 through 151751 in the amount of $1,785,749.09; Payroll Checks 63675 through 63676 in the amount of $776.21; and Electronic Payments dated April 2 in the amount of $462,103.63 c. Accept POW Construction Lakeshore Project d. Award Contract for Wanapum Sewer Project e. Award Annual Citywide Crack Seal Bid f. Authorize EVCO Sound Contract at Surf ‘n Slide Water Park g. Authorize Modern Building Lease Extension h. Ratify Lad Irrigation Well 21 Repair Contract Amendment i. Award Contract for Westshore Main Water Project Action taken: Council Member Hankins moved to approve the Consent Agenda as presented, second by Council Member Riggs. The motion carried 7 – 0. OLD BUSINESS #2 Larson Rec Center LOCAL Funding Ordinance 2970 Approval of the ordinance allows for the funding of the Larson Rec Center construction through the State of Washington LOCAL program. This is the final step in obtaining the funding for this project. Interest rates will not be locked until the state issues the bond. Action taken: Council Member Hankins moved to adopt Ordinance 2970 as presented, second by Council Member Eck. The motion carried 7 – 0. NEW BUSINESS #3 Westshore Drive Road Improvement Covenant There are four covenants on file for Westshore Drive full width road improvements. Hayden Homes will cover the cost for half width improvements on existing covenants during the Sagecrest Phase 3 Major Plat construction. Citizen Steve Tolley requested further information Moses Lake Council Packet 4-27-21, Page 10 of 137 CITY COUNCIL MINUTES – April 13, 2021 pg. 3 regarding the costs and when the amounts would be due. City Engineer Richard Law and Finance Director Cindy Jensen explained the costs to those with covenants will be prorated to each adjacent property once the project is accepted by the City, typically due in 30 to 60 days. Action taken: Council Member Liebrecht moved to call the covenants due for the Westshore Drive Road Improvements, second by Deputy Mayor Jackson. The motion carried 7 – 0. #4 2327 Westshore Drive NE Request to Connect to Water and Sewer Lisa Curry requests approval to connect to the City’s water and sewer systems to serve parcel #141708000. Action taken: Deputy Mayor Jackson moved to approve the request to connect to City water and sewer at 2327 Westshore with an extraterritorial agreement, second by Council Member Riggs. The motion carried 7 – 0. #5 Surf n Slide Water Park Fee Resolution 3848 This resolution will amend the fee structure at the water park due to COVID regulations. Drop-in rates are increased due to additional work needed to gather contact information, no show fees will be charged for season pass holders, a season pass is added for ages 3-4, and swim lesson fees have changed due to the smaller class sizes. Action taken: Council Member Hankins moved to adopt Resolution 3848 with the condition that the fees be looked at again after COVID restrictions have been lifted, second by Council Member Liebrecht. The motion carried 6 – 1. Deputy Mayor Jackson was opposed. #6 Sunshine Grow Covenant Hearing Examiner Andy Kottkamp recently approved the Conditional Use Permit for a marijuana processing facility. The property is currently considered unplatted for the purposes of development and requires certain infrastructure improvements for the building permit. City code allows for deviations or deferrals of improvements with approval of the City Council. The developer has requested a deferral to the improvements in the form of a covenant. City staff provided options for Council action. Staff expressed concern about the practice of allowing for deferrals through covenants as this practice creates a future obligation that is a future liability for the public if not acted upon. In this case, staff provided a map which identified the application is in an area with a number of parcels with various forms of deferrals reflected in covenants. Staff would like to explore the creation of an industrial development district and get the needed improvements in place effectively calling in the covenants at the same time. Action taken: Deputy Mayor Jackson moved to approve the applicant’s request to covenant for improvements and directs staff to start the process of exploring an LID in the ASPI Industrial Park area, second by Council Member Eck. The motion carried 6 – 1. Council Member Liebrecht opposed. ADMINISTRATIVE REPORTS Yard Waste Contract There is interest in a local option for yard waste that is similar to the City of Cheney. Staff is going to look at Cheney’s program to see what is viable in Moses Lake. Moses Lake Council Packet 4-27-21, Page 11 of 137 CITY COUNCIL MINUTES – April 13, 2021 pg. 4 Moses Lake School District Meeting City Manager Allison Williams had a successful meeting with school district staff today regarding the School Resource Officer contract, the El Rancho Hotel Shelter, HopeSource services, shared use facility contract, the Yonezawa Boulevard construction schedule, and the opening of Groff Elementary. COUNCIL COMMUNICATIONS AND REPORTS Council Member Liebrecht requested an update on recycled material. Finance Director Cindy Jensen said that it is being bundled and baled and sent off to recycling facilities. The City pays for these services in effort to keep materials out of the landfill. Deputy Mayor Jackson asked about ADT counts at Highway 17 and Nelson Rd in regard to the inability to complete Yonezawa at this time and the potential increase of traffic for the new Elementary School. City Engineer Richard Law said that most of the traffic will be going to the North and East and should not affect traffic much in the short term. EXECUTIVE SESSION Mayor Curnel called an Executive Session at 8:10 p.m. to be held for 45 minutes pursuant to RCW 42.30.110(1) subsections (g) and (i) to discuss performance of an employee and litigation; there will be no further business. ADJOURNMENT The regular meeting was adjourned at 9:00 p.m. ______________________________________ David Curnel, Mayor ATTEST____________________________________ Debbie Burke, City Clerk Moses Lake Council Packet 4-27-21, Page 12 of 137 To: Allison Williams, City Manager From: Cindy Jensen, Finance Director Council Meeting Date: April 27, 2021 Proceeding Type: Consent Agenda Subject: Semi-Monthly Disbursement Report The following amounts were budgeted and sufficient funds were available to cover these payments: Claim Checks 151752 - 151860 $1,050,458.30 Payroll Checks 0063677 - 0063686 $4,238.97 Electronic Payments Payroll ACH –4/16/2021 $502,851.72 Summary RCW 42.24 governs the process for audit and review of claims and payroll payments for the City. RCW 42.24.180 requires the review and approval of all payments at a regularly scheduled public meeting on at least a monthly basis. The State Budgeting, Accounting and Reporting Systems (BARS) Manual outlines the above format for approval by the City Council. RCW 42.24.080 requires that all claims presented against the City by persons furnishing materials, rendering services, or performing labor must be certified by the appropriate official to ensure that the materials have been furnished, the services rendered, or the labor performed as described, and that the claims are just, due and unpaid obligations against the City. RCW 42.24.180 allows expedited processing of the payment of claims when certain conditions have been met. The statute allows the issuance of warrants or checks in payment of claims before the legislative body has acted to approve the claims when: (1) the appropriate officers have furnished official bonds; (2) the legislative body has adopted policies that implement effective internal control; (3) the legislative body has provided for review of the documentation supporting the claims within a month of issuance; and (4) that if claims are disapproved, they shall be recognized as receivables and diligently pursued. The City meets all these conditions. To comply with the requirements, Finance staff schedule payment of claims and payroll for semi-monthly Council approval on the Consent Agenda. The payments listed in the schedule cover all claims and payroll payments during the period prior to the date of the Council meeting. All payments made during this period were found to be valid claims against the City. Details are attached and any questions should be directed to the City Manager or Finance Director. The City’s internal controls include certification of the validity of all payments by the appropriate department prior to submission for payment. The Finance Director has delegated authority for the examination of vouchers and authorization of payments to the Finance, Accounts Payable, and Payroll staff. All payments are reviewed and validated. The Finance Division regularly reviews its processes to ensure appropriate internal controls are in place. Moses Lake Council Packet 4-27-21, Page 13 of 137 Moses Lake Council Packet 4-27-21, Page 14 of 137 Moses Lake Council Packet 4-27-21, Page 15 of 137 Moses Lake Council Packet 4-27-21, Page 16 of 137 Moses Lake Council Packet 4-27-21, Page 17 of 137 Moses Lake Council Packet 4-27-21, Page 18 of 137 Moses Lake Council Packet 4-27-21, Page 19 of 137 Moses Lake Council Packet 4-27-21, Page 20 of 137 Moses Lake Council Packet 4-27-21, Page 21 of 137 Moses Lake Council Packet 4-27-21, Page 22 of 137 Moses Lake Council Packet 4-27-21, Page 23 of 137 Moses Lake Council Packet 4-27-21, Page 24 of 137 Moses Lake Council Packet 4-27-21, Page 25 of 137 Moses Lake Council Packet 4-27-21, Page 26 of 137 Moses Lake Council Packet 4-27-21, Page 27 of 137 Moses Lake Council Packet 4-27-21, Page 28 of 137 Page 1 of 1 STAFF REPORT To: Allison Williams, City Manager From: Susan Schwiesow, Parks, Recreation & Cultural Services Director Date: April 20, 2021 Proceeding Type: Consent Agenda Subject: Paul Lauzier Infield Improvements Legislative History: • First Presentation: April 27, 2021 • Second Presentation: • Action: Motion Overview The Paul Lauzier Athletic complex has three softball/baseball infields that need to be overhauled for safety reasons. The upgrade to the infields would require less maintenance in the long term and create a safe infield for teams to play on. Fiscal and Policy Implications N/A Council Packet Attachments A. Paul Lauzier Athletic Complex Infields Contract Finance Committee Review N/A Legal Review - The contract has been reviewed by the City Attorney. Options Option Results • Authorize as presented Paul Lauzier Infields will be improved. • Provide staff with changes Action would require staff to bring a revised number of fields to be improved to Council for consideration. • Take no action Paul Lauzier Infields will remain the same. Action Requested Staff recommends Council to approve the contract for the Paul Lauzier Infields. Moses Lake Council Packet 4-27-21, Page 29 of 137 Moses Lake Council Packet 4-27-21, Page 30 of 137 Moses Lake Council Packet 4-27-21, Page 31 of 137 Moses Lake Council Packet 4-27-21, Page 32 of 137 Moses Lake Council Packet 4-27-21, Page 33 of 137 Moses Lake Council Packet 4-27-21, Page 34 of 137 Moses Lake Council Packet 4-27-21, Page 35 of 137 Moses Lake Council Packet 4-27-21, Page 36 of 137 Moses Lake Council Packet 4-27-21, Page 37 of 137 Moses Lake Council Packet 4-27-21, Page 38 of 137 Moses Lake Council Packet 4-27-21, Page 39 of 137 Moses Lake Council Packet 4-27-21, Page 40 of 137 Moses Lake Council Packet 4-27-21, Page 41 of 137 Moses Lake Council Packet 4-27-21, Page 42 of 137 Moses Lake Council Packet 4-27-21, Page 43 of 137 Moses Lake Council Packet 4-27-21, Page 44 of 137 Moses Lake Council Packet 4-27-21, Page 45 of 137 Moses Lake Council Packet 4-27-21, Page 46 of 137 Moses Lake Council Packet 4-27-21, Page 47 of 137 Page 1 of 2 STAFF REPORT To: Allison Williams, City Manager From: Richard Law, City Engineer Date: April 20, 2021 Proceeding Type: Consent Agenda Subject: Kittelson Road Easement Resolution 3849 Legislative History: • First Presentation: April 27, 2021 • Second Presentation: • Action: Motion Overview The south half of Kittelson road from Highway 17 to Road L NE is owned by Washington State Department of Natural Resources (DNR). The City has a street over DNR property and has sought to formalize acquisition of ta road easement. Staff has reviewed the easement and has worked with DNR to finalize the language of the document. Fiscal and Policy Implications The City will formalize its jurisdiction of and maintain Kittelson Road. Council Packet Attachments A. Resolution to accept a DNR Road Easement B. Public Road Easement – Resolution Attachment C. Kittelson Road Right-of-Way Map D. Resolution 3740, adopted September 25, 2018 Finance Committee Review n/a Legal Review n/a Moses Lake Council Packet 4-27-21, Page 48 of 137 Page 2 of 2 Options Option Results • Adopt as presented Road easement will be signed and executed. • Provide staff with changes Revise the language of the easement. • Take no action DNR would retain control of the south half of Kittelson Road. Action Requested City staff recommends adoption of the resolution as presented. Moses Lake Council Packet 4-27-21, Page 49 of 137 RESOLUTION NO. 3849 A RESOLUTION TO ACCEPT KITTELSON ROAD EASEMENT FROM WASHINGTON STATE DEPARTMENT OF NATURAL RESOURCES Recitals: 1. The State of Washington, acting by and through the Department of Natural Resources (“State”), owns the NE ¼ of Section 36, Township 19 North, Range 28 East, W.M., Grant County, Washington (“Premises”); 2. The City of Moses Lake (“City”) operates and maintains a city road commonly known as Kittelson Road in the N ½ of the NE ¼ of Section 36, Township 19 North, Range 28 East, W.M., Grant County, Washington; 3. No Grant of Easement for the south half of Kittelson Road from the state has been located in the public record over state lands. 4. The State has agreed to deed a Road easement, some of the detail of which were adopted in City of Moses Lake Council Resolution 3740 Resolved: 1. The City accepts the Public Road Easement for Kittelson Road, per the agreements set forth in the attached easement document. ADOPTED by the City Council on April 27, 2021. ________________________________________ David Curnel, Mayor ATTEST: _________________________________________ Debbie Burke, City Clerk Moses Lake Council Packet 4-27-21, Page 50 of 137 1 of 11 Easement No. 50-096240 When recorded return to: City of Moses Lake PO Box 1579 Moses Lake, WA 98837 PUBLIC ROAD EASEMENT Grantor(s): STATE OF WASHINGTON DEPARTMENT OF NATURAL RESOURCES Grantee(s): CITY OF MOSES LAKE Legal Description: N1/2 NE1/4 S36, T19N, R28E, W.M., Grant County, WA. Assessor’s Property Tax Parcel or Account Number: 11-0076-002 Cross Reference: Survey AFN 1404471 DNR Easement No. 50-096240 This Easement is between CITY OF MOSES LAKE, a municipal corporation of the State of Washington herein called "Grantee" and the STATE OF WASHINGTON, acting by and through the Department of Natural Resources, herein called "State" dated as of "Effective Date". RECITALS A. Whereas State owns the NE1/4 of Section 36, Township 19 North, Range 28 East, W.M., Grant County, Washington (“Premises”); B. Whereas Grantee operates and maintains a city road commonly known as Kittelson Road in the N1/2 NE1/4 of Section 36, Township 19 North, Range 28 East, W.M., Grant County, Washington; C. Whereas no grant of easement from State for Kittelson Road over the Premises has been located in the public record; D. Whereas Moses Lake Municipal Code sections 13.08.046 ($0.00453 per square foot), and 13.08.081 ($39.62 per front foot) set forth water main reimbursement assessments (“Assessments”) that affect the Premises. The current total outstanding value of the Assessments on the Premises is $79,734.00. Moses Lake Council Packet 4-27-21, Page 51 of 137 2 of 11 Easement No. 50-096240 E. Whereas State and Grantee agree that waiver of the Assessments on the Premises of $79,734.00, thereby removing any future obligation to pay the Assessments prior to connecting to the city water main as required under Moses Lake Municipal Code section 13.08.030, is sufficient consideration to compensate State for the appraised value of the easement area encumbered by Kittelson Road as required under RCW 79.36.440. Now, therefore, Grantee and State agree to the following: AGREEMENT Conveyance. State for and in consideration of the terms and conditions specified herein, hereby grants and conveys to the Grantee: A non-exclusive easement in gross for the sole purpose of construction, operation, use, and maintenance of a public road over and across portions of N1/2 NE1/4 Section 36, Township 19 North, Range 28 East, W.M., more specifically described on that Record of Survey (hereinafter Easement Area), dated January 8, 2019, recorded in Grant County, Washington on January 18, 2019 under Auditor File Number 1404471 and by this reference made a part hereof, approximately as shown on Exhibit A. Consideration. The consideration paid by the Grantee to State is as follows: The waiver of assessments in the amount of SEVENTY-NINE THOUSAND, SEVEN HUNDRED THIRTY FOUR AND NO/00 DOLLARS ($79,734.00), said assessments waived through Ordinance No. 2908, adopted by the City Council of the City of Moses Lake and signed by its Mayor on September 25, 2018. Term. The term of this Easement shall be perpetual unless vacated by Grantee as provided by law. Assignment. Neither this Easement, nor any of the rights granted herein, shall be assigned without prior written consent of State, which consent shall not be unreasonably withheld. Compliance with Laws. Grantee shall, at its own expense, conform to all applicable laws, regulations, permits, or requirements of any public authority affecting the Easement Area and the use thereof. Upon request, Grantee shall supply State with copies of permits or orders. Indemnity. Grantee shall indemnify, defend with counsel acceptable to State, and hold harmless State, its employees, officers, and agents from any and all liability, damages, expenses, causes of action, suits, claims, costs, fees (including attorney's fees), penalties, or judgments, of any nature whatsoever, arising out of the use, occupation, or control of the Easement Area by Grantee, its contractors, subcontractors, invitees, agents, employees, licensees, or permittees, including but not limited to the use, storage, generation, processing, transportation, handling, disposal, release, or threatened release of any hazardous substance or Moses Lake Council Packet 4-27-21, Page 52 of 137 3 of 11 Easement No. 50-096240 materials. To the extent that RCW 4.24.115 applies, Grantee shall not be required to indemnify State from State's sole or concurrent negligence. This indemnification shall survive the expiration or termination of the Easement. Grantee waives its immunity under Title 51 RCW and under RCW 36.75.300 to the extent required to indemnify State. Insurance. Before using any of said rights granted herein and at its own expense, the Grantee shall obtain and keep in force during the term of this Easement and require its contractors, sub- contractors, or other permittees to obtain while operating on the Easement Area, the following liability insurance policies, insuring Grantee against liability arising out of its operations, including use of vehicles. Failure to buy and maintain the required insurance may result in the termination of the Easement at State’s option. The limits of insurance which may be increased by State, when there is a change in authorized use or there is an increase in the risks related to the current authorized use, shall not be less than as follows: (a) Commercial General Liability (CGL) insurance with a limit of not less than $1,000,000 per each occurrence. If such CGL insurance contains aggregate limits, the general aggregate limits shall be at least twice the "each occurrence" limit, and the products-completed operations aggregate limit shall be at least twice the "each occurrence" limit. (b) Employer's liability ("Stop Gap") insurance, and if necessary, commercial umbrella liability insurance with limits not less than $1,000,000 each accident for bodily injury by accident or $1,000,000 each employee for bodily injury by disease. (c) Business Auto Policy (BAP) insurance, and if necessary, commercial umbrella liability insurance with a limit of not less than $1,000,000 per accident, with such insurance covering liability arising out of "Any Auto". Business auto coverage shall be written on ISO form CA 00 01, or substitute liability form providing equivalent coverage. If necessary the policy shall be endorsed to provide contractual liability coverage and cover a “covered pollution cost or expense” as provided in the 1990 or later versions of CA 00 01. Grantee waives all rights against State for the recovery of damages to the extent they are covered by business auto liability or commercial umbrella liability insurance. (d) Grantee shall comply with all State of Washington workers' compensation statutes and regulations. Workers' compensation coverage shall be provided for all employees of Grantee and employees of any contractors, sub-contractors or other permittees. Except as prohibited by law, Grantee(s) waives all rights of subrogation against State for recovery of damages to the extent they are covered by workers compensation, employer’s liability, commercial general liability or commercial umbrella liability insurance. All insurance must be purchased on an occurrence basis and should be issued by companies Moses Lake Council Packet 4-27-21, Page 53 of 137 4 of 11 Easement No. 50-096240 admitted to do business within the State of Washington and have a rating of A- or better in the most recently published edition of Best's Reports. Any exception shall be reviewed and approved in advance by the Risk Manager for the Department of Natural Resources. If an insurer is not admitted, all insurance policies and procedures for issuing the insurance policies must comply with Chapter 48.15 RCW and Chapter 284-15 WAC. The State of Washington, Department of Natural Resources, its elected and appointed officials, agents and employees shall be named as an additional insured on all general liability, excess, and umbrella insurance policies. Before using any said rights granted herein, Grantee shall furnish State with a certificate(s) of insurance, executed by a duly authorized representative of each insurer, showing compliance with the insurance requirements specified above. Certificate(s) must reference State's easement number. State shall be provided written notice before cancellation or non-renewal of any insurance referred to herein, as prescribed in statute (Chapter 48.18 RCW or Chapter 48.15 RCW). Grantee shall include all contractors, sub-contractors and other permittees as insureds under all required insurance policies, or shall furnish separate certificates of insurance and endorsements for each. Contractors, sub-contractors and other permittees must comply with all insurance requirements stated herein. Failure of contractors, sub-contractors and other permittees to comply with insurance requirements does not limit Grantee’s liability or responsibility. All insurance provided in compliance with this Easement shall be primary as to any other insurance or self-insurance programs afforded to or maintained by State. Grantee waives all rights against State for recovery of damages to the extent these damages are covered by general liability or umbrella insurance maintained pursuant to this Easement. By requiring insurance herein, State does not represent that coverage and limits will be adequate to protect Grantee, and such coverage and limits shall not limit Grantee’s liability under the indemnities and reimbursements granted to State in this Easement. If Grantee is self-insured, evidence of its status as a self-insured entity shall be provided to State. If requested by State, Grantee must describe its financial condition and the self-insured funding mechanism. Waste. Grantee shall not deposit refuse, garbage, or other waste matter or use, store, generate, process, transport, handle, release, or dispose of any hazardous substance, or other pollutants in or on the Easement Area except in accordance with all applicable laws. The term hazardous substance means any substance or material as those terms are now or are hereafter defined or regulated under any federal, state, or local law including but not limited to the Comprehensive Environmental Response, Compensation and Liability Act (CERCLA 42 USC 9601 et seq.) as administered by the US Environmental Protection Agency, or the Moses Lake Council Packet 4-27-21, Page 54 of 137 5 of 11 Easement No. 50-096240 Washington Model Toxic Control Act (MTCA RCW 70.105D) as administered by the State Dept. of Ecology. Grantee shall immediately assume responsibility for a hazardous substance release (spill) caused by Grantee or its Permittees on or adjoining the Easement Area. As responsible party, Grantee shall: • Immediately notify all necessary emergency response agencies, as required under federal, state and local laws, regulations, or policies. • Following emergency response agency notifications, notify State (Dept. of Natural Resources) of all spill releases and Grantee actions completed for spill reporting and actions planned or completed toward spill cleanup. State notification requirements are “same business day” notification for normal state work days and “next available business day” notification for weekends and holidays. • At Grantees sole expense, conduct all actions necessary to mitigate the spill release. Mitigation response actions may include, but are not necessarily limited to, initial release containment, follow-up site cleanup and monitoring actions, and continued contact and coordination with regulators and State, as defined under the aforementioned laws, regulations, policies and this agreement. • Other than performing initial emergency response cleanup/containment actions; obtain approvals in advance of all site cleanup actions (e.g. site characterization investigations, feasibility studies, site cleanup and confirmation sampling, and groundwater monitoring) conducted on State lands, in coordination with regulatory agencies and State. • Obtain and understand all necessary hazardous substance spill release notification and response mitigation requirements, in advance of conducting Grantee operations on State land. Survey Markers. Grantee shall not destroy any land survey corner monuments and/or reference points (including but not limited to corner markers, witness objects, or line markers) without prior written approval from State, which shall not be unreasonably withheld. Monuments or reference points that must necessarily be disturbed or destroyed during road construction or maintenance activities must be adequately referenced and replaced, at the Grantee’s cost, under the direction of a State of Washington Professional Land Surveyor, in accordance with all applicable laws of the State of Washington in force at the time of construction, including but not limited to RCW 58.24, and all Department of Natural Resources regulations pertaining to preservation of such monuments and reference points. Construction/Reconstruction. Sixty (60) days prior to any construction or reconstruction, other than Regular Maintenance, by Grantee on the Easement Area, Grantee shall submit a written plan of construction to State outlining the construction or activity for State's approval, which shall not be unreasonably withheld. In the event of an emergency requiring immediate Moses Lake Council Packet 4-27-21, Page 55 of 137 6 of 11 Easement No. 50-096240 action to protect person or property, Grantee may take reasonable corrective action without prior notice to State. Regular Maintenance is defined as that work which is necessary to keep the road in its originally constructed condition and includes activities including surface layer repairs, sidewalk repairs, catch basin and pipe cleaning, and weed control, except as otherwise provided in the paragraph Weed Control/Pesticides. All construction or reconstruction shall comply with applicable state or local laws. Maintenance, Repair, and Improvements. Grantee shall have sole responsibility for the maintenance, repair and improvement of the road to county road standards. Weed Control/Pesticides. The Grantee shall control at its own cost, all noxious weeds on any portion of the Easement Area herein granted. Such weed control shall comply with county noxious weed control board rules and regulations established under the Uniform Noxious Weed Control Statute (Chapter 17.10 RCW). The Grantee shall be responsible for, or shall immediately reimburse State any weed control cost incurred as a result of the Grantee's failure to control weeds on the Easement Area. For all ground methods of chemical weed control either (1) Grantee shall report to State at the region office within 30 days after the weed control activities, or (2) Grantee shall submit to State an annual weed control plan prior to commencement of weed control activities. The aerial application of pesticides is not permitted. Notice. Any notices or submittals required or permitted under this Easement may be delivered personally, sent by facsimile machine or mailed first class, return receipt requested, to the following addresses or to such other place as the parties hereafter direct. Notice will be deemed given upon delivery, confirmation of facsimile, or three days after being mailed, whichever is applicable. To State: DEPARTMENT OF NATURAL RESOURCES Southeast Region 713 Bowers Rd Ellensburg, WA 98926 Phone: 509-925-8510 To Grantee: City of Moses Lake PO Box 1579 Moses Lake, WA 98837 Phone: 509-764-3701 Recording. Grantee shall record this Easement in the county in which the Easement Property is located, at Grantee's sole expense. Grantee shall provide State with a copy of the recorded Moses Lake Council Packet 4-27-21, Page 56 of 137 7 of 11 Easement No. 50-096240 Easement. Grantee shall have thirty (30) days from the date of delivery of the final executed agreement to comply with the requirements of this section. If Grantee fails to record this Easement, State may record it and Grantee shall pay the costs of recording, including interest, upon State's demand. Abandonment. In the event any portion of the road is abandoned, the Grantee shall take the necessary legal action to vacate such portions and shall immediately restore the land within all vacated portions to natural conditions as may be directed by State. In restoring the land, all asphalt shall be removed from the vacated portion; the asphalt shall not be deposited on the adjacent State land. In addition, the land surface shall be scarified to blend with the adjoining landscape. Noncompliance. State shall notify the Grantee of any instance of noncompliance by the Grantee, its contractors, subcontractors, invitees, agents, employees, licensees, or permittees with any of the terms and conditions hereof. Such notice will specifically identify the manner of noncompliance herewith. In the event the Grantee does not undertake, or cause to be undertaken, remedial action within thirty (30) days following receipt of said notice, State, acting by and through its Region Manager at Ellensburg, Washington, may suspend the Grantee's operations until such time as effective remedial action is taken, or until a plan has been submitted to State for remedial actions that cannot be completed within thirty (30) days. Construction. The terms of this Easement shall be given their ordinary meaning unless defined herein and shall not be presumed construed against the drafter. Effective Date. The Effective Date of this Easement shall be the date on which the last party executes this Easement. The Effective Date will be inserted on the first page of the Easement when such date is determined. Exhibits. All exhibits referenced in this Easement are incorporated as part of the Easement. Headings. The headings in this Easement are for convenience only and are not intended to, and shall not be construed to, limit, enlarge, or affect the scope or intent of this Easement nor the meaning of any of its provisions. Modification. Any modification of the Easement must be in writing and signed by the parties. State shall not be bound by any oral representations or statements. Non-waiver. The waiver by State of any breach or the failure of State to require strict compliance with any term herein shall not be deemed a waiver of any subsequent breach. Severability. If any provision of this Easement shall be held invalid, it shall not affect the validity of any other provision herein. Moses Lake Council Packet 4-27-21, Page 57 of 137 8 of 11 Easement No. 50-096240 IN WITNESS WHEREOF, the parties hereto have executed this instrument, in duplicate, as of the day and year first above written. CITY OF MOSES LAKE Dated: , 20 . ALLISON WILLIAMS City Manager PO Box 1579 Moses Lake, WA 98837 Phone: 509-764-3701 STATE OF WASHINGTON DEPARTMENT OF NATURAL RESOURCES Dated: , 20 . ANGUS W. BRODIE Deputy Supervisor for State Uplands 1111 Washington Street SE PO Box 47000 Olympia, WA 98504-7000 Phone: 360-902-1355 Approved as to Form This 8th day of April, 2021 Christa L. Thompson Assistant Attorney General Moses Lake Council Packet 4-27-21, Page 58 of 137 9 of 11 Easement No. 50-096240 REPRESENTATIVE ACKNOWLEDGMENT State of Washington County of Grant I certify that I know or have satisfactory evidence that ALLISON WILLIAMS is the person who appeared before me, and said person acknowledged that she signed this instrument, on oath stated that she was authorized to execute the instrument and acknowledged it as the City Manager of the City of Moses Lake to be the free and voluntary act of such party for the uses and purposes mentioned in the instrument. Dated: (Signature) (Seal or stamp) (Print Name) Notary Public in and for the State of Washington, residing at . My appointment expires . Moses Lake Council Packet 4-27-21, Page 59 of 137 10 of 11 Easement No. 50-096240 STATE ACKNOWLEDGMENT State of Washington County of Thurston I certify that I know or have satisfactory evidence that ANGUS W. BRODIE is the person who appeared before me, and said person acknowledged that he signed this instrument, on oath stated that he was authorized to execute the instrument and acknowledged it as the Deputy Supervisor for State Uplands of the Department of Natural Resources of the State of Washington to be the free and voluntary act of such party for the uses and purposes mentioned in the instrument. Dated: (Signature) (Seal or stamp) (Print Name) Notary Public in and for the State of Washington, residing at . My appointment expires . Moses Lake Council Packet 4-27-21, Page 60 of 137 11 of 11 Easement No. 50-096240 EXHIBIT A EASEMENT AREA Moses Lake Council Packet 4-27-21, Page 61 of 137 Moses Lake Council Packet 4-27-21, Page 62 of 137 Moses Lake Council Packet 4-27-21, Page 63 of 137 Moses Lake Council Packet 4-27-21, Page 64 of 137 Moses Lake Council Packet 4-27-21, Page 65 of 137 Moses Lake Council Packet 4-27-21, Page 66 of 137 Moses Lake Council Packet 4-27-21, Page 67 of 137 Moses Lake Council Packet 4-27-21, Page 68 of 137 Moses Lake Council Packet 4-27-21, Page 69 of 137 Moses Lake Council Packet 4-27-21, Page 70 of 137 Moses Lake Council Packet 4-27-21, Page 71 of 137 Moses Lake Council Packet 4-27-21, Page 72 of 137 Moses Lake Council Packet 4-27-21, Page 73 of 137 Moses Lake Council Packet 4-27-21, Page 74 of 137 Moses Lake Council Packet 4-27-21, Page 75 of 137 Moses Lake Council Packet 4-27-21, Page 76 of 137 Moses Lake Council Packet 4-27-21, Page 77 of 137 Moses Lake Council Packet 4-27-21, Page 78 of 137 Moses Lake Council Packet 4-27-21, Page 79 of 137 Moses Lake Council Packet 4-27-21, Page 80 of 137 Page 1 of 2 STAFF REPORT To: Allison Williams, City Manager From: Richard A. Law, City Engineer Date: April 13, 2021 Proceeding Type: Consent Agenda Subject: Accept improvements for the Longview Elementary City Sewer Connection Project – Resolution 3850 Legislative History: • First Presentation: April 27, 2021 • Second Presentation: • Action: Motion Overview The Moses Lake School District took on a project to connect the existing Longview Elementary School to City sewer. The project included installing several large capacity septic tanks and an onsite lift station on School property. The lift station pumps through a private force main to the existing City right of way at the north end of Longview street. The contractor installed a new municipal manhole in the right of way of Longview Street and connected that manhole to an existing sewer manhole located on Longview at Miller. This manhole and connected main needs to be accepted by City Council. Moses Lake Municipal Code requires all the street and utility improvements installed in right of way and municipal easements to be accepted by City Council. The construction plans are required to be reviewed and approved by the City prior to construction. All construction work is inspected to assure compliance with the construction plans and City standards. The street and utility improvements in place will serve the Longview Elementary School. Fiscal and Policy Implications Upon acceptance, the City will be responsible for the maintenance and repairs of the improvements. Council Packet Attachments A. Resolution B. Area Map Moses Lake Council Packet 4-27-21, Page 81 of 137 Page 2 of 2 Finance Committee Review N/A Legal Review N/A Options Option Results • Move to adopt the resolution as presented The improvements will be accepted and the City will be responsible for maintenance. • Provide staff with changes Action would require staff to bring a revised resolution to Council for consideration. • Take no action. The City will not accept the improvements. Action Requested Staff recommends Council adopt Resolution 3850 as presented. Moses Lake Council Packet 4-27-21, Page 82 of 137 RESOLUTION NO. 3850 A RESOLUTION ACCEPTING STREET AND UTILITY IMPROVEMENTS FOR MUNICIPAL USE TO SERVE LONGVIEW ELEMENTARY SCHOOL Recitals: 1. Street and Utility improvements, lying in dedicated right-of-way or easements, are in place and connected to the City of Moses Lake’s street and utility systems to serve Longview Elementary School. 2. Said street and utility improvements have been installed in accordance with the City of Moses Lake’s Community Standards, such facilities being completed in April 2021. 3. RCW 35.90.030 indicates that public street and utility facilities, which are developer installed should be accepted by the City of Moses Lake upon completion if the facilities are built to City standards. Resolved: 1. The City Council of the City of Moses Lake accepts the street and utility improvements as facilities of the City of Moses Lake and as such will charge for use of facilities as authorized by ordinance. 2. After April 27, 2021, all further maintenance and operation cost of said street and utility improvements, shall be borne by the City of Moses Lake, as provided by City ordinance. ACCEPTED by the City Council on April 27, 2021. ______________________________ David Curnel, Mayor ATTEST: _______________________________ Debbie Burke, City Clerk Moses Lake Council Packet 4-27-21, Page 83 of 137 Moses Lake Council Packet 4-27-21, Page 84 of 137 Page 1 of 1 STAFF REPORT To: Allison Williams, City Manager From: Kerri Fenner, HR Manager Date: April 22, 2021 Proceeding Type: Consent Agenda Subject: Extending FFCRA Leave Resolution 3851 Legislative History: • First Presentation: April 27,2021 • Second Presentation: • Action: Motion Overview Resolution for the City to voluntarily provide an additional ten (10) days of FFCRA leave to employees as allowed in the American Rescue Plan Act (ARPA). The law went into effect on March 31, 2021, which allows the extra leave to be used between April 1, 2021 and September 30, 2021. Fiscal and Policy Implications The City would pay for an additional ten (10) days of FFCRA leave for employees when needed. Council Packet Attachments A. Resolution No. 3851 Finance Committee Review n/a Legal Review n/a Options Option Results • Adopt as presented The City would pay for an additional ten (10) days of FFCRA leave for employees when needed. • Take no action City employees would still have available any initial FFCRA leave they have not yet used. Once that is used, they will no longer have FFCRA leave available to them. Action Requested Staff recommends adoption of Resolution 3851 as presented. Moses Lake Council Packet 4-27-21, Page 85 of 137 RESOLUTION NO. 3851 A RESOLUTION VOLUNTARILY EXTENDING FFCRA EMERGENCY LEAVE A SECOND TIME FOR EMPLOYEES WHEREAS, the voluntary FFCRA leave extension the City Manager previously approved in accordance with the Consolidated Appropriations Act (CAA) expired on March 31, 2021. This extension was set forth in Resolution 3841, which was passed by the City Council on February 9, 2021; and WHEREAS, included in the aforementioned Resolution 3841, the City Manager may, at her discretion, extend FFCRA leave beyond March 31, 2021, if she feels that it is necessary for the safety of the City’s employees, to allow City employees who did not exhaust all their FFCRA leave prior to March 31, 2021, to use any remaining FFCRA leave prior to December 31, 2021; and WHEREAS, the American Rescue Plan Act (ARPA) was signed into law on March 11, 2021, and further expands the use of voluntary FFCRA leave through September 30, 2021, by allowing employers to voluntarily extend FFCRA benefits to their employees by providing them with ten (10) additional days of FFCRA leave to be used between April 1, 2021 and September 30, 2021; and WHEREAS, the City Manager has determined that for the safety of the City’s employees and in a continued effort to reduce the spread of the COVID-19 virus, the City should voluntarily extend FFCRA leave to employees in accordance with the ARPA by granting them ten (10) additional days of FFCRA leave to be used between April 1, 2021 and September 30, 2021. NOW, THEREFORE, be it resolved by the City Council of the City of Moses Lake, Washington, as follows: Section 1. Approval to voluntarily extend FFCRA emergency leave for employees. 1.1 The City of Moses Lake will voluntarily grant employees an additional ten (10) days of FFCRA leave to be used between April 1, 2021 and September 30, 2021. 1.2 In addition, the City Manager may, at her discretion and as previously approved in Resolution 3841, extend the initial leave provided under the FFCRA beyond March 31, 2021, to allow any employees who did not exhaust all their initial FFCRA leave prior to March 31, 2021, to use any remaining initial FFCRA leave prior to December 31, 2021. PASSED by the City Council of the City of Moses Lake on this 27th day of April, 2021. ___________________________________ David Curnel, Mayor ATTEST: ________________________________ Debbie Burke, City Clerk Moses Lake Council Packet 4-27-21, Page 86 of 137 Page 1 of 2 STAFF REPORT To: Allison Williams, City Manager From: Kevin Fuhr, Police Chief Date: April 19, 2021 Proceeding Type: Consent Agenda Subject: School Resource Officer Interlocal Agreement with MLSD Legislative History: • First Presentation: April 27, 2021 • Second Presentation: • Action: Motion Overview Attached is a revised and updated Interlocal Agreement for School Resource Officer services between the City and the Moses Lake School District. The ILA would be in effect for the 2021-2024 school years. On September 24, 2018, the City of Moses Lake and the Moses Lake School District entered into an Interlocal Agreement to provide four (4) SROs within the MLSD schools. Those SROs work under the direction of the MLPD, receiving input from the MLSD. Officers are assigned to the Moses Lake High School and each of the three middle schools. The revised ILA mirrors the previous version with the exception of adding a fourth year, making it a four-year agreement. Fiscal and Policy Implications – N-A Council Packet Attachments A. Interlocal Agreement Finance Committee Review N-A Legal Review N-A Moses Lake Council Packet 4-27-21, Page 87 of 137 Page 2 of 2 Options Option Results • Authorize as presented Staff will execute agreement for services. • Provide staff with changes Staff will negotiate changes requested by Council. • Take no action The existing contract for services will end. Action Requested Staff requests Council to authorize the City Manager to execute the agreement as presented. Moses Lake Council Packet 4-27-21, Page 88 of 137 Moses Lake Council Packet 4-27-21, Page 89 of 137 Moses Lake Council Packet 4-27-21, Page 90 of 137 Moses Lake Council Packet 4-27-21, Page 91 of 137 Moses Lake Council Packet 4-27-21, Page 92 of 137 Moses Lake Council Packet 4-27-21, Page 93 of 137 Moses Lake Council Packet 4-27-21, Page 94 of 137 Page 1 of 1 STAFF REPORT To: Allison Williams, City Manager From: Brett Bastian, Fire Chief Date: April 22, 2021 Proceeding Type: Consent Agenda Subject: FEMA Relief Funds Resolution 3852 Legislative History: • First Presentation: April 27, 2021 • Second Presentation: • Action: Motion Overview The Moses Lake Fire Department applied for a grant through the Washington State Military Department and FEMA for reimbursement of materials used during COVID response. The grant has been approved and the City will receive $10,350.00 in reimbursement funding. Fiscal and Policy Implications This grant is to reimburse funds expended during fiscal year 2020 for COVID response by the Fire Department. Council Packet Attachments A. Resolution to accept the funds (FEMA form). Finance Committee Review n-a Legal Review n-a Options Option Results • Authorize as presented Authorize the City Manager to sign the grant contract and receive the reimbursement funding. • Take no action We will reject the grant and reimbursement funding. Action Requested Authorization for the City Manager to execute the grant contract and accept the reimbursement funding. Moses Lake Council Packet 4-27-21, Page 95 of 137 12/10/09 'HVLJQDWLRQRI$SSOLFDQW¶V$JHQW 5HVROXWLRQ Be it resolved by _____________________________ of ___________________________ (Governing Body) (Public Agency) _____________________, _____________________ is hereby designated the authorized (Name of New Agent) (Title) representative and _________________________________, ___________________is designated (Name of Alternate) (Title) the alternate for and in behalf of __________________________________________, a public (Public Agency Name) agency established under the laws of the state of Washington. The purpose of this designation as the authorized representative is to obtain federal and/or state emergency or disaster assistance funds. These representatives are authorized on behalf of the __________________________ to execute all contracts, certify completion of projects, request payments, and prepare all required documentation for funding requirements. Passed and approved this ________ day of ______________, 20______. ____________________, _________________ ____________________, ____________________ (Signature) (Title) (Signature) (Title) ______________________, _________________ ____________________, __________________ (Signature) (Title) (Signature) (Title) _______________________, _________________ _____________________, _______________ (Signature) (Title) (Signature) (Title) &HUWLILFDWLRQ I, ___________________, duly appointed and __________________ of _____________________, (Name) (Title) (Public Agency) do hereby certify that the above is a true and correct copy of a resolution passed and approved by the _________________ of _________________ on the ______ day of ______________, 20_____. (Governing Body) (Public Agency) Date: ________________ _____________________ ___________________________________ (Official Position) (Signature) City Council the City of Moses Lake Allison Williams City Manager Cindy Jensen Finance Director the City of Moses Lake City Council 27th April 21 Mayor Debbie Burke City Clerk the City of Moses Lake City Council the City of Moses Lake 27th April 21 City Clerk Moses Lake Council Packet 4-27-21, Page 96 of 137 Page 1 of 2 STAFF REPORT To: Allison Williams, City Manager From: Brett Bastian, Fire Chief and Cindy Jensen, Finance Director Date: March 23, 2021 Proceeding Type: New Business Subject: Ambulance Billing Professional Service and Business Associate Agreements Legislative History: • First Presentation: April 27, 2021 • Second Presentation: • Action: Motion Overview A request for proposals was published by the City with the intent of selecting a new ambulance billing contractor. After reviewing the proposals from the responding companies, the Fire and Finance Departments selected Systems Design West as the company to move forward with to provide Emergency Medical Services billing for the ambulance service operated by the Fire Department. Systems Design West has good references within Washington State. Washington State Fire Agency references include the cities of Richland, Pullman, Walla Walla, Pullman, and Port Angeles, among others. The rate proposed by Systems Design West is well within the expected range for this type of service at $22.00 per incident report and they were the lowest cost provider among the respondents to the request for proposals. This request is to allow the City Manager to execute the contract for Ambulance Billing Services. Fiscal and Policy Implications Billing responsibility for ambulance billing will pass from our current provider, EF Recovery, to Systems Design West with an anticipated date of July 1st, 2021. Moses Lake Council Packet 4-27-21, Page 97 of 137 Page 2 of 2 Council Packet Attachments A. Professional Services Agreement B. Business Partner Agreement Legal Review Type of Document Title of Document Date Reviewed Contract Professional Services Agreement 3-11-2021 Contract Business Associate Agreement 3-11-2021 Options Option Results • Authorize as presented Allows staff to move forward with implementing the change in ambulance billing providers. • Provide staff with changes Staff will make recommended changes. • Take no action. We would be without a billing provider, revenue and GEMT subsidies for the ambulance service would be negatively impacted. Action Requested Staff recommends Council authorize the City Manager to execute agreements with Systems Design West as the Ambulance Billing provider for the City. Moses Lake Council Packet 4-27-21, Page 98 of 137 1 PROFESSIONAL SERVICES AGREEMENT This Professional Services Agreement ("Agreement") is made and entered into this ___ day of _______, ______ (Effective Date) by and between, City of Moses Lake (“Provider”) having its principal location at 701 E 3rd AVE, Moses Lake WA 98837 and Systems Design West, LLC a Delaware limited liability company having its principal place of business located at 19265 Powder Hill Place NE Poulsbo, Washington 98370 hereinafter referred to as the (“Consultant”). Collectively the Provider and the Consultant shall be known as the “PARTIES”. RECITALS: (a) WHEREAS the Provider and the Consultant desire to enter into a “Professional Services Agreement”, (b) NOW, THEREFORE, in consideration for the mutual obligations contained herein the Provider and the Consultant, each intending to be legally bound by this agreement, hereby mutually covenant, and agree as follows: 1. SCOPE OF SERVICES. The Consultant shall provide to the Provider specific services related to the billing and payment processing of EMS patient transport services that are provided to the general public by the Provider. The following Scope of Services shall be incorporated into this contract as general services performed by the Provider and the Consultant under this agreement. 1.1 The Provider, with assistance from Consultant, shall apply for Provider Status or updated Status with Medicare, Medicaid, and all public and private insurances which will be billed as a part of this Scope of Services. The Provider is responsible for informing the Consultant of any subsequent changes that necessitate updates (e.g., changing an Authorized Official) so that Consultant may complete its duties. The Provider shall assist the Consultant to obtain the necessary certifications, numbers and documentation needed for Consultant to provide the services identified in sections 1.2 and 1.3 below, obtain and maintain credentials for payer websites that require vendor access to be given only through a Provider representative and facilitate access for the Consultant’s representatives. The Provider agrees to furnish and assist the Consultant with the following: (a) The Provider agrees to provide a complete and legible “PCR” (Patient Care Report) to the Consultant including patient name, address and pertinent billing and insurance information from the field, including a copy of the patient signature for authorization of benefits and responsibility for payment, authorizing billing of Medicare, Medicaid, and any insurance the patient is a subscriber to. The original patient signature must be maintained by the Provider and made available to the Consultant and/or insurance payers upon request. The amounts to be billed will be determined by the Provider in the form of a resolution or ordinance to be incorporated into this agreement as an attachment exhibit. Any subsequent increases to established fees must be communicated to the Consultant, in writing, prior to the submission of affected PCRs. “Automatic” annual increases should be communicated in writing as Moses Lake Council Packet 4-27-21, Page 99 of 137 2 dollar amounts for confirmation each year. PCRs must be sent using a NEMSIS compliant XML format, or an additional fee may be charged. (b) The Provider agrees to furnish the Consultant with hospital ER forms (face/admit sheets) with demographic and insurance information attached to the PCR if requested by Consultant. Copies of any payments made directly to the Provider will be forwarded to the Consultant for accounting purposes in a timely manner. The Provider agrees to generate any refund checks due to overpayments identified by the Consultant directly to the payer to which the refund is due, based on detailed information provided by the Consultant. The Provider shall provide additional information as may be required by insurance companies or other agencies in order to facilitate the Consultant’s obligations to the Provider. (c) The Provider agrees to furnish to the Consultant to be made part of this agreement as an attachment: resolutions pertaining to this Scope of Services; specific write off policies; collections procedures; rates and fees to be charged by the Provider and administered by Consultant as part of the Scope of Services performed under this agreement. Provider agrees to inform Consultant of any subsequent changes to these documents in writing in advance of when the new policies, procedures and/or rates take effect. (d) The Provider agrees to complete registration with Consultant’s vendors as applicable for Consultant to be able to fulfill its obligations to Provider. Such vendors may include e-payment and merchant services portal, remote deposit capture services, and clearinghouse registration. 1.2 Upon receipt of the PCRs from the Provider, the Consultant shall: set up a patient account in Consultant’s proprietary software application and create a patient record; perform all billing operations including follow up statements and any necessary rebilling of EMS patient transport services provided by the Provider to the subscriber’s medical insurances, Medicare, Medicaid and any and all known secondary insurance providers; produce and forward CMS 1500 forms and/or electronic medical claims per payer’s rules and regulations within the legal boundaries of all federal and state laws; produce and mail an initial invoice and subsequent statements to all private patient accounts on behalf of the Provider; file any applicable appeals to insurance payers and/or Medicare and Medicaid on behalf of the patient if necessary to pursue the claim. Provider shall maintain a system to reconcile the number of PCRs sent to Consultant monthly. 1.3 The Consultant shall: receive at its facilities all payments (except those directly deposited into the Provider’s account by insurances and Medicare/Medicaid via EFT) Explanations of Benefits and Electronic Remittance Advices; account for all payments; deposit all funds directly into the Provider’s “deposit only” account; forward deposit information to the Provider within 24 hours of such deposit; initiate and forward refund information and adjustments made on behalf of the patient’s account to the Provider. The Consultant shall provide to the Provider a minimum of four (4) standard reports each month including: a) Aged Accounts Receivable b) Month End Summary c) Annual Collection Statistics d) Transaction Journal. These reports will include information related to amounts billed, amounts collected and uncollected, insurance and Medicare/Medicaid allowable and disallowable. For payments and Moses Lake Council Packet 4-27-21, Page 100 of 137 3 remittances that are wholly electronic portal-based, Provider shall grant access to Consultant’s representatives as needed for various payer portals. 1.4 The Consultant shall provide live customer service to Provider’s patients via toll free phone numbers to answer patient billing questions Monday through Friday from 8:00am through 6:00 pm, Pacific Standard Time (except Federal holidays). 1.5 The Consultant shall provide all labor, materials, and equipment necessary to perform the work specified in the above scope of services. The Consultant is responsible for ensuring any subcontractor or vendor agencies are fully licensed and qualified to perform such work. For subcontracted payment processing and merchant services, Consultant is responsible for ensuring subcontractor or vendor maintains PCI compliance, and that the vendor or Consultant must be able to provide a PCI compliance certificate to Provider annually, at most. 1.6 Additional services: Additional services not specified in this Scope of Services (e.g., transferred accounts, non-routine auditing, targeted trainings, paper PCRs) may be added for an additional fee agreed upon in writing. 2. FEES, EXPENSES, & PAYMENT. Providers will receive a monthly invoice. For and in consideration of the services provided by the Consultant identified above, the Provider shall pay to the Consultant an amount not to exceed $22.00 per transport. In addition, the Provider will pay actual postage at current USPS postage rates for patient invoices, statements, and Certified Mail PCS requests per the Scope of Services performed under this agreement. Provider shall remit payment for services rendered under this agreement to the Consultant within 30 days from receipt of Consultant’s monthly invoice to the Provider. Progress invoices may be sent if there are significant delays in PCR receipt from the Provider. A $15.00 surcharge applies to accounts transferred from a previous billing agency. A $50.00 minimum applies to all invoices. Price adjustments may occur from time to time, no more than annually, and with written notification from Consultant at least 90 days in advance. 3. PAYMENT OF TAXES. The Consultant shall be liable for any and all federal, state, and local sales, excise taxes and assessments as a result of the payment for services rendered under this agreement. 4. TERM OF AGREEMENT. The Consultant shall commence the work called for in this agreement on the date of the agreement and perform such work uninterrupted and automatically renew upon the anniversary date unless the agreement is terminated by either party (see Section 7). This agreement may be amended by the parties upon mutual agreement of terms and conditions with the acknowledgement of an amendment to the Professional Services Agreement to be signed by both parties of the agreement. 5. SCHEDULE OF ATTACHMENT EXHIBITS. The following attachments are acknowledged by the parties and made part of this Agreement. 1. Rates to be charged per transport [to be provided by the Provider] Moses Lake Council Packet 4-27-21, Page 101 of 137 4 2. Billing & Collection Policies to be administered [to be provided by the Provider] 3. Consultant’s Certificate of Liability Insurance 4. Business Associate Agreement, signed by both parties 5. Amendments for additional services, such as GEMT cost report consulting. 6. INDEPENDENT CONSULTANT STATUS. The consultant performs this Agreement as an independent consultant, not as an employee of Provider. Nothing herein contained shall be deemed or construed by the parties hereto, nor by any third party, as creating the relationship of principal and agent or of partnership or of joint venture between the parties hereto, it being understood and agreed that neither method of computation of payment nor any other provision contained herein nor any acts of the parties hereto, shall be deemed to create any relationship between the parties hereto other than the relationship of Provider and an Independent Consultant. The parties intend that an independent contractor relationship is created by this agreement. The Provider is interested primarily in the results to be achieved; subject to the scope of services and the specific requirements of this agreement, the implementation of services will lie solely with the discretion of the Consultant. No agent, employee, officer, or representative of the Consultant shall be deemed to be an employee, agent, officer, or representative of the Provider for any purpose, and the employees of the Consultant are not entitled to any of the benefits or privileges the Provider provides for its employees. The Consultant will be solely and entirely responsible for its acts and for the acts of its agents, employees, officers, subcontractors, or representatives during the performance of this agreement. In the performance of the services provided in this agreement, Consultant is an independent contractor with full authority to control and direct the performance of the details of the work, however, the results of the work contemplated herein must meet the approval of the Provider and shall be subject to the Provider's general rights of inspection and review to secure the satisfactory completion thereof. The Consultant shall comply with all State and Federal laws including, but not limited to: The definition requirements of RCW 50.04.140 (Employment Security). RCW 51.08.195 (Industrial Insurance). Obtain a City of Moses Lake business license 7. TERMINATION. Either party may terminate this agreement with a minimum of 60 days’ written notice to the other party. The Consultant shall upon termination by either party provide 60 days of follow up service to the outstanding patient accounts including posting payments, making deposits, and two (2) months of follow up reports to the Provider. Consultant shall deliver and document the return of all documentation in Consultant’s possession as applicable. Moses Lake Council Packet 4-27-21, Page 102 of 137 5 8. INSURANCE. The Consultant shall procure and maintain for the duration of the Agreement, insurance against claims for injuries to persons or damage to property which may arise from or in connection with the performance of the work hereunder by the Consultant, its agents, representatives, or employees. No Limitation. Consultant's maintenance of insurance as required by the Agreement shall not be construed to limit the liability of the Consultant to the coverage provided by such insurance, or otherwise limit the Provider's recourse to any remedy available at law or in equity. B. Minimum Scope of Insurance Consultant shall obtain insurance of the types described below: 1. Automobile Liability insurance covering all owned, non-owned, hired, and leased vehicles. Coverage shall be written on Insurance Services Office (ISO) form CA 00 01 or a substitute form providing equivalent liability coverage. If necessary, the policy shall be endorsed to provide contractual liability coverage. 2. Commercial General Liability insurance shall be written on ISO occurrence form CG 00 01 and shall cover liability arising from premises, operations, independent contractors and personal injury and advertising injury. The Provider shall be named as an additional insured under the Consultant's Commercial General Liability insurance policy with respect to the work performed for the Provider using an additional insured endorsement at least as broad as ISO CG 20 26. 3. Workers' Compensation coverage as required by the Industrial Insurance laws of the State of Washington. 4. Professional Liability insurance appropriate to the Consultant's profession. C. Minimum Amounts of Insurance Consultant shall maintain the following insurance limits: 1. Automobile Liability insurance with a minimum combined single limit for bodily injury and property damage of $1,000,000 per accident. 2. Commercial General Liability insurance shall be written with limits no less than $1,000,000 each occurrence, $2,000,000 general aggregate. 3. Professional Liability insurance shall be written with limits no less than $1,000,000 per claim and $2,000,000 policy aggregate limit. D. Other Insurance Provisions The insurance policies are to contain, or be endorsed to contain, the following provisions for Automobile Liability, Professional Liability and Commercial General Liability insurance: The Consultant's insurance coverage shall be primary insurance as respect the Provider. Any insurance, self-insurance, or Moses Lake Council Packet 4-27-21, Page 103 of 137 6 insurance pool coverage maintained by the Provider shall be excess of the Consultant's insurance and shall not contribute with it. Notice of Cancellation: The Consultant shall provide the Provider with written notice of any policy cancellation within two business days of their receipt of such notice. Acceptability of Insurers: Insurance is to be placed with insurers with a current A.M. Best rating of not less than A: VII. Verification of Coverage: Consultant shall furnish the Provider with original certificates and a copy of the amendatory endorsements, including but not necessarily limited to the additional insured endorsement, evidencing the insurance requirements of the Consultant before commencement of the work. Failure to Maintain Insurance: Failure on the part of the Consultant to maintain the insurance as required shall constitute a material breach of contract, upon which the Provider may, after giving five business days’ notice to the Consultant to correct the breach, immediately terminate the Agreement. Provider Full Availability of Consultant Limits: If the Consultant maintains higher insurance limits than the minimums shown above, the Provider shall be insured for the full available limits of Commercial General and Excess or Umbrella liability maintained by the Provider Consultant, irrespective of whether such limits maintained by the Consultant are greater than those required by this Agreement or whether any certificate of insurance furnished to the Provider evidences limits of liability lower than those maintained by the Consultant. 9. END USER SOFTWARE LICENSE & CONFIDENTIAL INFORMATION. The term "CONFIDENTIAL INFORMATION AND SOFTWARE" shall mean: (i) any and all Information and proprietary software which is disclosed or provided by either party ("OWNER OF THE INFORMATION") to the other ("RECIPIENT") verbally, electronically, visually, or in a written or other tangible form which is either identified or should be reasonably understood to be confidential or proprietary; and (ii) Confidential Information may include, but not be limited to, trade secrets, computer programs, software, documentation, formulas, data, inventions, techniques, marketing plans, strategies, forecasts, client lists, employee information, and financial information, confidential information concerning Provider and Consultant’s business or organization, as the parties have conducted it or as they may conduct it in the future. In addition, Confidential Information may include information concerning any of past, current, or possible future products or methods, including information about research, development, engineering, purchasing, manufacturing, accounting, marketing, selling, leasing, and/or software (including third party software). 9.1 TREATMENT OF CONFIDENTIAL INFORMATION. Provider's Confidential Information shall be treated as strictly confidential by Recipient and shall not be disclosed by Recipient to any third party except to those third parties operating under non-disclosure provisions no less restrictive than in this Section and who have a justified business "need to know". Provider shall protect the deliverables resulting from Services with the same degree of care. This Agreement imposes no obligation upon the Parties with respect to Confidential Information which either party can establish by legally sufficient evidence: (a) Moses Lake Council Packet 4-27-21, Page 104 of 137 7 was in the possession of, or was rightfully known by the Recipient without an obligation to maintain its confidentiality prior to receipt from Provider; (b) is or becomes generally known to the public without violation of this Agreement; (c) is obtained by Recipient in good faith from a third party having the right to disclose it without an obligation of confidentiality; (d) is independently developed by Recipient without the participation of individuals who have had access to the Confidential Information; or (e) is required to be disclosed by court order or applicable law, provided notice is promptly given to the Provider and provided further that diligent efforts are undertaken to limit disclosure. 9.2 CONFIDENTIALITY AND DISCLOSURE OF PATIENT INFORMATION. Use and Disclosure of Protected Health Information. The parties hereto agree that in order for the Consultant to perform its duties as expected by the Provider, it will be necessary for the Consultant to use and disclose Protected Health Information (“PHI”), as such term is defined at 45 CFR §164.501. The parties of this Agreement further acknowledge and make part of this Agreement as an attachment to this Agreement a “Business Associate Agreement” to be maintained and updated whenever applicable by either party of this Agreement. 9.3 PERMITTED AND REQUIRED USES AND DISCLOSURE OF PHI. The Parties hereto agree that the Consultant may use and disclose PHI in order to carry out any Payment function covered under the definition of “Payment” contained in 45 CFR §164.501. The Parties hereto further agree that the Consultant may use or disclose PHI for any use or disclosure that is required by law. 10. INDEMNITY. Either party shall indemnify and hold the Provider, its officers, officials, employees, and volunteers harmless from any and all claims, injuries, damages, losses, or suits including attorney fees, arising out of, or resulting from the negligent acts, errors, or omissions of the Consultant in performance of this Agreement, except for injuries and damages caused by the negligence of the Provider. Should a court of competent jurisdiction determine that this Agreement is subject to RCW 4.24.115, then in the event of liability for damages arising out of bodily injury to persons or damages to property caused by or resulting from the concurrent negligence of the Consultant and the Provider, its officers, officials, employees, and volunteers, the Consultant’s liability, including the duty and cost to defend, hereunder shall be only to the extent of the Consultant’s negligence. It is further specifically and expressly understood that the indemnification provided herein constitutes the Consultant’s waiver of immunity under Industrial Insurance, Title 51 RCW, solely for the purposes of this indemnification. This waiver has been mutually negotiated by the parties. The provisions of this section shall survive the expiration or termination of this Agreement. Either party shall indemnify and hold the consultant, its officers, officials, employees, and volunteers harmless from any and all claims, injuries, damages, losses, or suits including attorney fees, arising out of, or resulting from the negligent acts, errors, or omissions of the Provider in performance of this Agreement, except for injuries and damages caused by the negligence of the Consultant. Should a court of competent jurisdiction determine that this Agreement is subject to RCW 4.24.115, then, in the event of liability for damages arising out of bodily injury to persons or damages to property caused by or resulting from the concurrent negligence of the Provider and the Consultant, its officers, officials, employees, and volunteers, the Provider’s liability, including the duty and cost to defend, hereunder Moses Lake Council Packet 4-27-21, Page 105 of 137 8 shall be only to the extent of the Provider’s negligence. It is further specifically and expressly understood that the indemnification provided herein constitutes the Provider’s waiver of immunity under Industrial Insurance, Title 51 RCW, solely for the purposes of this indemnification. This waiver has been mutually negotiated by the parties. The provisions of this section shall survive the expiration or termination of this Agreement. 11. SURVIVABILITY. The terms of Section 8 and 9 shall survive termination of this Agreement. If the Parties have executed a separate agreement that contains confidentiality terms prior to or contemporaneously with this Agreement, those separate confidentiality terms shall remain in full force to the extent they do not conflict. The “Business Associate Agreement” has terms incorporated to establish the continuance of covenants for the parties to disclose PHI for the continued operations of “Payment”. 12. WARRANTIES AND REPRESENTATIONS. Each party warrants that it has the right and power to enter into this Agreement and an authorized representative has executed this Agreement. Consultant warrants that the Services will be performed in a professional and workmanlike manner in accordance with recognized industry standards. To the extent Services provided by Consultant are advisory; no specific result is assured or guaranteed. Consultant EXPRESSLY DISCLAIMS ALL OTHER REPRESENTATIONS OR WARRANTIES, WHETHER EXPRESSED OR IMPLIED. 13. NOTICE. Any notice, demand, request, consent, approval, or other communication that either party desires or is required to give to the other party related to any of the content of this Agreement shall be presented in writing and served personally or sent by prepaid, first class mail to the addresses set forth below. Either party may change its address by notifying the other party of its change of address in writing. Provider: City of Moses Lake 701 E 3rd AVE Moses Lake WA 98837 Consultant: Systems Design West, LLC 19265 Powder Hill Pl NE Poulsbo, WA 98370 14. NONWAIVER. No modification to this Agreement nor any failure or delay in enforcing any term, exercising any option, or requiring performance shall be binding or construed as a waiver unless agreed Moses Lake Council Packet 4-27-21, Page 106 of 137 9 to in writing by both parties. No delay or omission of the right to exercise any power by either party shall impair any such right or power or be construed as a waiver of any default or as acquiescence therein. One or more waivers of any covenant, term, or condition of this Agreement by either party shall not be construed by the other party as a waiver of a subsequent breach of the same covenant, term, or condition. 15. APPLICABLE LAW. The laws of the State of Washington shall govern the construction, validity, performance, and enforcement of this Agreement. Venue as to any action, claim, or proceeding arising out of, or based upon this Agreement, including, but not limited to, any action for declaratory or injunctive relief, shall be in Grant County, State of Washington. 16. CONFLICT OF INTEREST. The Consultant covenants, warrants and represents that the Consultant or any employees of Consultant has no interest and shall not acquire any interest, direct or indirect, which would conflict in any manner with the subject matter or the performance of this Agreement. The Consultant further covenants, warrants and represents that in the performance of this Agreement, no person having any such interest shall be employed by the Consultant in the future. 17. ASSIGNMENT. The consultant shall not assign its performance under this Agreement or any portion of this Agreement without the written consent of the Provider, and it is further agreed that said consent must be sought in writing by the Consultant not less than thirty (30) days prior to the date of any proposed assignment. The Provider agrees to not unreasonably withhold consent. The Consultant shall be responsible and liable for the performance of its consultants, subcontractors or assignees who perform any portion of the work or services and shall provide in written agreements with them the same duties and obligations required of the Consultant under this Agreement. The Provider shall incur no additional costs as a result of any such subcontract or assignment and no liability to any subcontractor or assignee without mutual agreement in writing. 18. LITIGATION ASSISTANCE. If required, the Consultant agrees to assist the Provider in its preparation for arbitration, adjudication, or administrative proceedings and to testify and otherwise to provide evidence on the Provider’s behalf herein. Compensation for said services shall be based upon a time and material basis to be negotiated and agreed upon by the parties. 19. PUBLIC RECORDS. Consultant acknowledges that the Provider is an agency subject to Chapter 42.56 RCW "Public Records Act." All preliminary drafts or notes prepared or gathered by the Consultant, and recommendations of the Consultant are exempt prior to the acceptance by the Provider or public citation by the Provider in connection with Provider action. If the Consultant becomes a custodian of public records of the Provider and request for such records is received by the Provider, the Consultant shall respond to the request by the Provider for such records within five (5) business days by either providing the records, or by identifying in writing the additional time necessary to provide the records with a description of the reasons why additional time is needed. Such additional time shall not exceed twenty (20) business days unless extraordinary good cause is shown. Moses Lake Council Packet 4-27-21, Page 107 of 137 10 In the event the Provider receives a public records request for protected work product of the Consultant within its possession, the Provider shall, prior to the release of any protected work product or as a result of a public records request or subpoena, provide Consultant at least ten (10) business days prior written notice of the pending release and to reasonably cooperate with any legal action which may be initiated by the Consultant to enjoin or otherwise prevent such release 20. ENTIRE AGREEMENT. This Agreement and any schedules, appendices, attachments, and exhibits attached hereto sets forth all of the covenants, promises, agreements, conditions and understandings between the parties hereto, and there are no covenants, promises, agreements, conditions or understandings, either oral or written, between them other than as herein set forth. Except as herein otherwise expressly provided, no contemporaneous or subsequent agreement, understanding, alteration, amendment, change or addition to this Agreement, or any schedule, appendix, exhibit, or attachment thereto shall be binding upon the parties of this Agreement hereto unless reduced to writing and signed by both parties. This Agreement constitutes a final, complete, and exclusive statement of the agreement between the parties and supersedes any prior Agreements on the Effective Date. The Parties hereby agree to all of the above terms, conditions, covenants and have executed this Agreement by a duly authorized representative. Dated this ______day of _____________, _____ City of Moses Lake By: _______________________________ Print: _____________________________ Title: _____________________________ Moses Lake Council Packet 4-27-21, Page 108 of 137 11 Dated this ______day of _____________, _____ Systems Design West, LLC “Consultant” By: _______________________________ Print: _____________________________ Title: _____________________________ Moses Lake Council Packet 4-27-21, Page 109 of 137 1 Business Associate Agreement Between City of Moses Lake and Systems Design West, LLC This Business Associate Agreement (“Agreement”) between City of Moses Lake (“Covered Entity”) and Systems Design West, LLC (“Business Associate”) is executed to ensure that Systems Design West, LLC will appropriately safeguard protected health information (“PHI”) and personally identifiable information (“PII”) that is created, received, maintained, or transmitted on behalf of the City of Moses Lake in compliance with applicable federal, state, and local statutes, regulations, rules and policies— including but not limited to, the provisions of Public Law 104-191 of August 21, 1996, known as the Health Insurance Portability and Accountability Act of 1996, Subtitle F – Administrative Simplification, Sections 261, et seq., as amended (“HIPAA”), and with the Public Law 111-5 of February 17, 2009, known as the American Recovery and Reinvestment Act of 2009, Title XII, Subtitle D – Privacy, Sections 13400, et seq., the Health Information Technology and Clinical Health Act, as amended (the “HITECH Act”). A. General Provisions 1. Meaning of Terms. The terms used in this Agreement shall have the same meaning as those terms defined in HIPAA. 2. Regulatory References. Any reference in this Agreement to a regulatory section means the section currently in effect or as amended. 3. Interpretation. Any ambiguity in this Agreement shall be interpreted to permit compliance with HIPAA. B. Catch-all Definition The following terms used in this Agreement shall have the same meaning as those terms in the HIPAA Rules: Breach, Data Aggregation, Designated Record Set, Disclosure, Health Care Operations, Individual, Minimum Necessary, Notice of Privacy Practices, Protected Health Information, Required by Law, Secretary, Security Incident, Subcontractor, Unsecured Protected Health Information, and Use. Specific definitions: (a) Business Associate. “Business Associate” shall generally have the same meaning as the term “business associate” at 45 CFR 160.103, and in reference to the party to this agreement, shall mean Systems Design West, LLC. (b) Covered Entity. “Covered Entity” shall generally have the same meaning as the term “covered entity” at 45 CFR 160.103, and in reference to the party to this agreement, shall mean the City of Moses Lake. (c) HIPAA Rules. “HIPAA Rules” shall mean the Privacy, Security, Breach Notification, and Enforcement Rules at 45 CFR Part 160 and Part 164. C. Obligations of Systems Design West, LLC Moses Lake Council Packet 4-27-21, Page 110 of 137 2 Systems Design West, LLC agrees to: 1. Use appropriate safeguards and comply, where applicable, with the HIPAA Security Rule with respect to electronic protected health information (“e-PHI”) and electronic personally identifiable information (“e-PII”) as well as implement appropriate physical, technical, and administrative safeguards to prevent use or disclosure of PHI and PII other than as provided for by this Agreement. 2. Report to the Covered Entity any use or disclosure of PHI and PII not provided for by this Agreement of which it becomes aware, including any security incident (as defined in the HIPAA Security Rule) and any breaches of unsecured PHI and PII as required by 45 CFR §164.410. Breaches of unsecured PHI and PII shall be reported to the Covered Entity and affected parties without unreasonable delay but in no case later than 30 days after discovery of the breach as defined by 45 CFR 164.410. 3. In accordance with 45 CFR 164.502(e)(1)(ii) and 164.308(b)(2), ensure that any subcontractors that create, receive, maintain, or transmit PHI and PII on behalf of Systems Design West, LLC agree to the same restrictions, conditions, and requirements that apply to Systems Design West, LLC with respect to such information. 4. Make PHI and PII in a designated record set available to the Covered Entity and to an individual who has a right of access in a manner that satisfies the Covered Entity’s obligations to provide access to PHI and PII in accordance with 45 CFR §164.524 within 30 days of a request. 5. Make any amendment(s) to PHI and PII in a designated record set as directed by the Covered Entity or take other measures necessary to satisfy the Covered Entity’s obligations under 45 CFR §164.526. 6. Maintain and make available information required to provide an accounting of disclosures to the Covered Entity or an individual who has a right to an accounting within 60 days and as necessary to satisfy the Covered Entity’s obligations under 45 CFR 164.528. 7. To the extent that Systems Design West, LLC is to carry out any of the Covered Entity’s obligations under the HIPAA Privacy Rule, Systems Design West, LLC shall comply with the requirements of the Privacy Rule that apply to the Covered Entity when it carries out that obligation. 8. Make its internal practices, books, and records relating to the use and disclosure of PHI and PII received from, or created or received by Systems Design West, LLC on behalf of the Covered Entity, available to the Secretary of the Department of Health and Human Services for purposes of determining Systems Design West, LLC and the Covered Entity’s compliance with HIPAA and the HITECH Act. 9. Restrict the use or disclosure of PHI and PII if the Covered Entity notifies Systems Design West, LLC of any restriction on the use or disclosure of PHI and PII that the Covered Entity has agreed to or is required to abide by under 45 CFR §164.522; and Moses Lake Council Packet 4-27-21, Page 111 of 137 3 10. If the Covered Entity is subject to the Red Flags Rule (found at 16 CFR §681.1 et seq.), Systems Design West, LLC agrees to assist the Covered Entity in complying with its Red Flags Rule obligations by: (a) implementing policies and procedures to detect relevant Red Flags (as defined under 16 CFR §681.2); (b) taking all steps necessary to comply with the policies and procedures of the Covered Entity’s Identity Theft Prevention Program; (c) ensuring that any agent or third party who performs services on its behalf in connection with covered accounts of the Covered Entity agrees to implement reasonable policies and procedures designed to detect, prevent, and mitigate the risk of identity theft; and (d) alerting the Covered Entity of any Red Flag incident (as defined by the Red Flag Rules) of which it becomes aware, the steps it has taken to mitigate any potential harm that may have occurred, and provide a report to the Covered Entity of any threat of identity theft as a result of the incident. 11. Comply with all current rules and regulations pertaining to the OIG Compliance Program for ambulance suppliers and special bulletin regarding LEIE recommended screening of employees and any subcontractors. D. Permitted Uses and Disclosures by Systems Design West, LLC Systems Design West, LLC may use or disclose PHI and PII as required by law and consistent with the Minimum Necessary standard—specifically, the use and disclosure of PHI and PII will be limited to the minimum necessary for accomplishing the intended purpose of the use and disclosure. The specific uses and disclosures of PHI and PII that may be made by Systems Design West, LLC on behalf of the Covered Entity include: 1. The preparation of invoices to patients, carriers, insurers, and others responsible for payment or reimbursement of the services provided by the Covered Entity to its patients. 2. Preparation of reminder notices and documents pertaining to collections of overdue accounts. 3. The submission of supporting documentation to carriers, insurers, and other payers to substantiate the healthcare services provided by the Covered Entity to its patients or to appeal denials of payment for the same; and 4. Other uses or disclosures of PHI and PII as permitted by HIPAA necessary to perform the services that Systems Design West, LLC has been engaged to perform on behalf of the Covered Entity. E. Termination 1. The Covered Entity may terminate this Agreement if the Covered Entity determines that Systems Design West, LLC has violated a material term of this Agreement. 2. If either party knows of a pattern of activity or practice of the other party that constitutes a material breach or violation of the other party’s obligations under this Agreement, the party in breach or violation shall take reasonable steps to cure the breach or end the violation, as applicable, and, if such steps are unsuccessful, terminate the agreement if feasible. Moses Lake Council Packet 4-27-21, Page 112 of 137 4 3. Upon termination of this Agreement for any reason, Systems Design West, LLC shall return to the Covered Entity or destroy all PHI and PII received from the Covered Entity, or created, maintained, or received by Systems Design West, LLC on behalf of the Covered Entity that Systems Design West, LLC still maintains in any form, as directed by the Covered Entity. Systems Design West, LLC shall retain no copies of the PHI and PII. If return or destruction is infeasible, the protections of this Agreement will extend to such PHI. 4. In any event, this Agreement shall automatically terminate coincident with termination or expiration of the Professional Services Agreement executed by the Parties on ____________________, 2021, without the need for any additional notice; provided, however that all covenants related to the protection and disclosure of PHI shall survive such termination or expiration. Agreed to this ____ day of ________________, ______ Systems Design West, LLC City of Moses Lake Signature: __________________________ Signature: ________________________ Name: _____________________________ Name: ___________________________ Title: ______________________________ Title: ____________________________ Date: ______________________________ Date: ___________________________ Moses Lake Council Packet 4-27-21, Page 113 of 137 Page 1 of 2 STAFF REPORT To: Allison Williams, City Manager From: Cindy Jensen, Finance Director Date: April 22, 2021 Proceeding Type: New Business Subject: 2020 Year End Budget Report Legislative History: • First Presentation: April 27, 2021 • Second Presentation: • Requested Action: Motion Overview Attached is the 2020 Year End Budget Report for the City of Moses Lake. Even though we anticipated using reserves because of the potential economic downturn from the response to the COVID-19 pandemic, the City ended 2020 adding reserves in most operating funds. Total City revenues were $76,762,600, while total expenditures were $75,449,569, netting to a citywide increase in fund balance of $1,313,031. General Fund had some revenue reductions, but those were covered by new revenue and reduced expenditures. General Fund ended the year (before additional transfers) adding $1.1 million to fund balance. Fiscal and Policy Implications The new Financial Policy that Council adopted in February stipulated that Council approve additional transfers to shore up capital replacement funds. All operating funds will still have adequate reserves after these transfers would be made. We discussed with Council the desire to set aside a contingency in General Fund, that will not be part of the annual budget cycle—it could just be used in times of emergency. We are proposing the following transfers: Moses Lake Council Packet 4-27-21, Page 114 of 137 Page 2 of 2 To Contingency/Equip Rental Central From Capital & Replace.Services Risk Mgt General Fund Executive -$ -$ -$ 15,000$ Finance 30,000 10,000 Community Development 20,000 50,000 Police 200,000 Fire 150,000 Total General Fund 1,800,000 350,000 50,000 75,000 Other Operating/Enterprise Streets - 116 100,000 Water/Wastewater Operating - 410 500,000 Total City 2,300,000$ 450,000$ 50,000$ 75,000$ Proposed Additional Transfers Attachment A. 2020 Year End Budget Report Finance Committee Recommendation This policy was presented to the Finance Committee at their April 13, 2021 meeting for review. We discussed the report, and the Committee recommended that it go to the full Council. Legal Review – N/A Options Option Results • Approve the additional transfers and accept the report Staff will make the changes. Capital/ contingency reserves will be increased while keeping operating reserves with adequate balances. • Modify the additional transfers and accept the report Provide staff with specific changes, which staff would incorporate into the financial system. • Take no action The report would stand as presented. Staff Recommendation Move to approve the additional transfers and accept the 2020 Year End Budget Report. Moses Lake Council Packet 4-27-21, Page 115 of 137 1 MEMORANDUM April 22, 2022 To: Allison Williams, City Manager From: Cindy Jensen, Finance Director Subject: 2020 Year-End Budget Revenue and Expenditure Report I am pleased to submit the City of Moses Lake’s 2020 year-end actual results compared to budgeted Revenue and Expenditure Report for all city funds. Balances shown are subject to final adjustments made as a result of the year-end closing process which will not be officially concluded until the State Auditor’s work is completed this summer, as well as any additional transfers Council may authorize to build capital/risk reserves. Overall, Citywide 2020 budget performance has held up rather well through the economic shutdown caused by the coronavirus (COVID 19) pandemic that started in March 2020. There are pockets of revenue that have been reduced, such as hotel/motel tax, gambling and admissions taxes, and the red-light camera fines. However, most of the major revenues ended as expected through the end of 2020.producing a stable revenue position, while departmental expenditures have been restrained below authorized budget levels. General Fund revenue exceeded budget by $1.6 million, with expenditures coming in below budget by $856 thousand, but because the budget was set to use fund balance of about $2.1 million, actual results produced an increase in General Fund Balance of about $1.1 million (before additional transfers for capital programs). Total revenue for all funds is $76.7 million, while total expended is $75.4 million, adding $1.3 million to citywide reserve balances. Much of this increase is unspent debt proceeds in the Equipment Rental and Replacement Fund for Fire Apparatus, and General Fund results which was bolstered by the receipt of the federal CARES Act grant. This report is summarized by type of fund, and reported by functional type, and includes the following sections: • City-Wide Overview • General Fund Revenue Analysis • General Fund Expenditure Analysis • Other Funds Analysis • Fund Balances • Exhibit I—Fund Detail that supports the Summaries Moses Lake Council Packet 4-27-21, Page 116 of 137 2 City-Wide Overview All operating funds met or exceeded budgeted revenue, with the exception of the Tourism Activities (hotel/motel tax) fund which suffered from the COVID stay at home order, and the newly created Homeless Services Fund, as its revenue is primarily reimbursable grants—since the budget wasn’t entirely spent, the revenue wasn’t received. Operating fund expenditures were constrained below budgeted levels, so that overall fund balances increased. The exceptions are the Paths & Trails, and Stormwater funds, which intentionally used fund balance which had been saved for capital purposes. 2019 Amended Percent Actual Budget Actual Rec'd General Fund 25,953,247$ 26,743,059$ 27,567,873$ 103.1% Operating/Enterprise Funds 37,625,189 36,150,649 40,795,351 112.8% Capital Improvement Funds 7,973,837 16,345,600 5,296,052 32.4% Risk Mgmt/Employee Benefit 704,765 790,000 834,527 105.6% Debt Service Funds 2,269,748 2,268,797 2,268,797 100.0% Total City Revenues 74,526,786$ 82,298,105$ 76,762,600$ 93.3% 2020 Revenue Comparison (Budget vs. Actual--100% of year) 2019 Adopted Percent Actual Budget Actual Spent General Fund 25,591,246$ 28,815,288$ 26,447,470$ 91.8% Operating/Enterprise Funds 36,732,743 41,766,214 38,180,406 91.4% Capital Improvement Funds 6,471,837 22,085,000 7,573,785 34.3% Risk Mgmt/Employee Benefit 837,344 1,027,000 978,614 95.3% Debt Service Funds 2,269,615 2,270,119 2,269,294 100.0% Total City Expenditures 71,902,785$ 95,963,621$ 75,449,569$ 78.6% Expenditure Comparison (Budget vs. Actual--100% of year) 2020 Moses Lake Council Packet 4-27-21, Page 117 of 137 3 The capital improvement fund revenue and expenditure budgets included $11.5 million for the rebuild of the Larson Recreation Center, and the corresponding debt proceeds to accomplish the project. This project has been re-budgeted in 2021, since it is starting up this spring. About $2.7 million of Water/Wastewater projects such as development of a well in Mae Valley, upgrading Wheeler Lift Station and extending a force main to 6th & Beech, and Westshore sewer improvements will also be carried forward into 2021. General Fund Revenue Analysis 2019 19 vs 20 Amended Percent Percent Actual Budget Actual Rec'd Change 310 Taxes Property Tax 7,480,850$ 7,205,000$ 7,808,702$ 108.4% 4.4% Sales Tax 7,216,489 7,000,000 7,509,197 107.3% 4.1% Sales Tax-Public Safety - 700,000 982,158 Utility Tax 3,364,293 3,278,000 3,282,644 100.1% -2.4% Gambling Tax 263,173 251,400 130,769 52.0% -50.3% Other Taxes 89,026 88,000 34,306 39.0% -61.5% Subtotal-Taxes 18,413,831 18,522,400 19,747,776 106.6% 7.2% 320 Licenses & Permits 727,066 651,500 916,312 140.6% 26.0% 330 Intergovernmental Revenues 890,364 1,214,510 1,995,148 164.3% 124.1% 340 Charges for Goods & Services Administrative Support 984,594 1,031,000 1,031,000 100.0% 4.7% Engineering 869,453 1,488,500 1,545,305 103.8% 77.7% Public Safety 324,292 415,000 311,048 75.0% -4.1% Parks & Recreation Programs 1,222,528 1,205,100 140,463 11.7% -88.5% Community Development 223,949 186,000 362,819 195.1% 62.0% Sales of Merchandise/Misc.102,342 105,000 62,981 60.0% -38.5% Subtotal-Charges for Services 3,727,158 4,430,600 3,453,616 77.9% -7.3% 350 Fines and Penalties 992,390 966,300 643,672 66.6% -35.1% 360 Miscellaneous Revenues 650,741 457,750 394,696 86.2% -39.3% 390 Other Financing Resources 551,697 500,000 500,000 100.0% Total General Fund Revenues 25,953,247$ 26,743,060$ 27,651,220$ 103.4% 6.5% 2020 General Fund Revenues As of December 30, 2020 - 100% of year Moses Lake Council Packet 4-27-21, Page 118 of 137 4 Property Tax – This source of revenue grew by 4.4% year over year, which represents an increase in the base levy, along with new construction of about 1.0%. It also includes a payment of over $400,000 in December from a major delinquent taxpayer. The property tax levy for 2020 was set at $7.62 million, but since we typically don’t collect the entire levy in the year it is levied, the 2020 budget was set below the expected levy. The unexpected collection of the delinquency pushed this well over budget, and contributed to the overall increase in General Fund. Sales Tax – Although the budget was conservatively estimated, and earlier in the year we anticipated a reduction from the economic disruption caused by COVID-19, sales tax receipts came in strong, bolstered by strong construction activity and the continuation of the increase caused by a change in state and federal law adding sales tax to some remote sales activity. 2020 increased 4.1% over 2019 actual levels. The 2021 budget of $7,200,000 is set below 2020 actual, and as we recover from the COVID shutdown, and realize sales tax from major construction projects (including our Larson Recreation Center), this major revenue source should continue growing into 2021. Sales Tax-Public Safety – This new revenue source was approved by voters in the fall of 2019, and started to be collected on April 1, 2020. We only budgeted for 7 months to be actually received, (April sales tax gets remitted to the City in June). However, accounting rules indicate we need to count the January and February receipts in prior year business (i.e. record revenue based on the timing of the underlying transaction), so 2020 is counting 9 months of activity. We estimated about $100,000 per month, and this slightly exceeded that estimate. Utility Tax – This revenue source experiences fluctuations either from rate adjustments or fluctuations in usage. Year end results showed this major category of revenue meeting the 2020 budget, although there was a reduction compared to the prior year, coming in 2.4% under 2019. Rate increases were offset by the continuing downward trend in telephone utility taxes which is expected as more households abandon their land lines, and phone plans emphasize the purchase of data versus phone service. Electric tax was down slightly, driven both by climate conditions, and the COVID shut down. This also reflects a 9.6% reduction in solid waste rates which we were able to accomplish because of the favorable outcome of the hauler contract at the end of 2019. Gambling Taxes—This revenue stream came in about $130,000 below prior year. It was harmed by the COVID shutdown. Council reduced the card game tax rate over five years, so some year-over-year reduction is expected. Other Taxes—This revenue consists of Leasehold Excise and Admissions taxes. 2020 actual was about $55,000 below prior year. Leasehold Excise Tax about matched budget, but Admissions Tax was negatively affected by the COVID shutdown. Moses Lake Council Packet 4-27-21, Page 119 of 137 5 Licenses and Permits – This revenue is generated by the business and development community, and is difficult to budget because it is volatile by nature. 2020 results exceeded both the budget estimate and 2019 actual. Business licenses continued to show a steady increase. Building permits were significantly greater than 2019, which is an indicator of future construction-related sales tax. Intergovernmental Revenue – The major component of intergovernmental revenue is typically State-shared revenue, which was stable from 2019 to 2020. The major increase comes from the receipt of federal CARES Act grant funding. In total the City received just over $1 million, but some was allocated directly out to other funds addressing COVID issues, so the net amount recorded in General Fund is $839,000. This revenue source also included both the SAFER grant for additional firefighters, and the COPS grant for additional police officers. Charges for Goods and Services primarily consist of: • Fees charged for Parks and Recreation Programs; • The City Administrative fee charged to funds for the services provided by the executive branch and finance; • Engineering services charged both to internal projects and external developers; and • School Resource Officers reimbursed by Moses Lake School District This revenue source was only 77.9% received through the year. The Parks and Recreation program revenues are greatly reduced because of COVID, but there is also a corresponding reduction in direct costs to run the programs. The Moses Lake School District did not reimburse for SRO while school was not in session in the physical school buildings, but the new criminal justice sales tax was applied to keep the police department whole. Engineering services had a planned increase going into the 2020 budget so that General Fund can also recoup administrative costs tied to the program. This additional revenue was earmarked to support the salary increases that resulted from a pay and compensation study that was implemented the beginning of 2020. Fines and Penalties consist almost entirely of fines generated by the red-light camera program, which totaled $629,000. Some of the cameras were not operational for some of the year, and COVID’s stay at home order greatly reduced the number of cars on our streets. Payments for the operation of the cameras amounted to about $470,000, netting $159,000 for Police Department operations in 2020. Miscellaneous Revenues include interest earnings on investments and facility rentals. This category was below both prior year actual and budget because of a significant downturn in the interest rate environment, and no aquatic center rental activity in 2020. Other Financing Resources is made up primarily of a transfer from the Water Department of excess maintenance and operating charges as authorized by RCW 35.23.535, ($500,000 budgeted). Moses Lake Council Packet 4-27-21, Page 120 of 137 6 Summary --Overall, 2020 General Fund revenue of $27,651,220 grew by $1,697,973 or 6.5% over the 2019 actual of $25,953,247. The major components of that growth were because of the delinquent property tax receipt; continued growth in general sales taxes; a new public safety sales tax; and engineering charges for administrative services. These 4 items are anticipated to continue into 2021. One-time effects include an increase because of the federal CARES Act grant, which was about offset by the reduction in Parks and Recreation program revenue because of the COVID-19 shutdown. General Fund Expenditure Analysis Since General Fund is over 57% staffing, events effecting total payroll have a significant impact on budgets. Position vacancies may start out being an “overage” because of the cashout of earned accrued leave balances, but then can produce savings when the position is vacant for any length of time. The City has had several high-level positions vacant for an extended period, i.e. Community Development and Human Resources Directors, and Parks Maintenance Superintendent. Many variances in individual divisions are the result of position vacancies. 2019 19 vs 20 Adopted Percent Percent Actual Budget Actual Spent Change Legislative 348,327$ 382,308$ 358,196$ 93.7% 2.8% Executive 1,239,972 1,087,306 1,046,906 96.3% -15.6% Finance 1,100,384 1,237,090 1,167,458 94.4% 6.1% Community Development 1,411,301 1,746,631 1,577,606 90.3% 11.8% Legal 208,641 192,800 211,192 109.5% 1.2% Misc. Services 1,808,263 1,915,890 2,347,810 122.5% 29.8% Library 78,976 82,100 78,269 95.3% -0.9% Engineering 2,055,148 2,289,531 2,235,439 97.6% 8.8% Parks & Recreation 5,875,717 6,467,411 5,174,794 80.0% -11.9% Police 7,644,601 8,855,366 8,080,864 91.3% 5.7% Fire 3,819,916 4,558,855 4,168,936 91.4% 9.1% Total General Fund Expenditures 25,591,246$ 28,815,288$ 26,447,470$ 91.8% 3.3% 2020 As of December 31, 2020 - 100% of Year General Fund Expenditures Moses Lake Council Packet 4-27-21, Page 121 of 137 7 When the economic shutdown occurred, operating divisions generally tried to curb spending, since we were not sure how our revenues would react. Travel budgets remain largely unspent as most conferences were converted to virtual webinars. We are also seeing the reduction in Parks and Recreation because of the pandemic. The aquatic center did not open to the public last summer, and other programs were either eliminated or “re-tooled”. The only 2 General Fund departments that exceeded budget are both tied to COVID. When the pandemic hit, the City had many legal issues to navigate, including emergency declarations and administering new federal employee benefit programs, so the Legal budget exceeded the 2020 budget. Also, we received over $1 million in the federal Cares Act grant, and there were programs spread in several funds throughout the City. Because of the short turn around time to complete projects, and because the grant allowed us to reimburse for public safety personnel, we submitted our request for reimbursement in September with the knowledge that some of the funding requested for public safety personnel in the grant application would still be spent in other funds, in accordance with Council directive. To keep our records “clean” for the upcoming audit, we posted revenue from the grant to funds to match the expenditures as requested, and then did transfers to match the CARES Act budget for expenses that weren’t completed in time for the grant reimbursement request. For example, the upgrade to the sound system in Council Chambers and the Auditorium was paid out of the Building Maintenance Fund, and setting up the new sleeping center was paid from the new Homeless Services Fund. These additional transfers were made from Miscellaneous Services. This was anticipated when we did the final 2020 budget adjustment, but because General Fund was so far underspent, we chose not to add to the General Fund’s total budget. Both Police and Fire were increasing staffing levels, assisted by federal grants. Because they were better staffed in 2020, both departments experienced a reduction in overtime, both below prior year and budget. Because current results are adding to the General Fund balance, we are proposing additional transfers to internal service funds to build reserves for vehicle replacement; to ensure sufficient resources for the financial and human resources software conversion as well as the asset management and permitting software packages, and to rebuild some reserves that were used in the Risk Management Fund. According to the newly adopted Financial Policies, Council retained authority to approve additional transfers. Additional transfers proposed from General Fund include $350,000 more to Fleet Maintenance for equipment replacement; $50,000 to Central Services for the new softwares, and $75,000 to the Risk Management Fund` to partially replenish reserves used in 2020. Overall, General Fund expenditures were below the 2020 budget by about $2.4 million or 8.2%, If the additional internal service fund transfers noted above are done, General Fund would still be underspent to budget by $1.9 million below the authorized budget. Moses Lake Council Packet 4-27-21, Page 122 of 137 8 Other Funds Analysis Year end results generally performed as expected, with revenue meeting or exceeding budget, and expenditures constrained under budget. Variances in capital funds are related to timing of major projects. Generally, operating funds pulled back from spending because of the uncertainty of revenue stability. Like General Fund, there were also natural reasons for some unspent budget (such as travel costs related to training). Funds under budget by more than 10% Other Operating/Enterprise: • Tourism Activities fund only spent 80% of the budget, because many of the events authorized to be supported were cancelled or scaled back. Even though we earlier anticipated using Fund Balance because of the COVID revenue drop, this fund ended 2020 still adding $36k to its balance. • Grants and Donations fund includes special programs for the Museum, which were mainly cancelled. There are also funds designated for Police special units, which are in process, and will be carried forward into 2021. • Homeless Services was a new fund, and was not able to spend all of its allotted funding by the end of the year. 2019 19 vs 20 Amended Percent PercentRevenuesActualBudgetActualto Budget Change Operating/Enterprise Funds 37,625,189$ 36,150,649$ 40,795,351$ 112.8% 8.4% Capital Improvement Funds 7,973,837 16,345,600 5,296,052 32.4% -33.6% Risk Mgmt/Employee Benefit 704,765 790,000 834,527 105.6% 18.4% Debt Service Funds 2,269,748 2,268,797 2,268,797 100.0% 0.0% Subtotal-Revenue 48,573,539$ 55,555,046$ 49,194,727$ 88.6% 1.3% Expenditures Operating/Enterprise Funds 36,732,743$ 41,766,214$ 38,180,406$ 91.4% 3.9% Capital Improvement Funds 6,471,837 22,085,000 7,573,785 34.3% 17.0% Risk Mgmt/Employee Benefit 837,344 1,027,000 978,614 95.3% 16.9% Debt Service Funds 2,269,615 2,270,119 2,269,294 100.0% 0.0% Subtotal-Expenditures 46,311,539$ 67,148,333$ 49,002,099$ 73.0% 5.8% 2020 Other Funds Revenues and Expenditures As of December 31, 2020 - 100% of Year Moses Lake Council Packet 4-27-21, Page 123 of 137 9 • Central Services, Building Maintenance, and Fleet Maintenance funds combine operating and capital projects. These funds were underspent primarily because of the timing of expenditures on the new financial management and the work order/permitting systems; delay in constructing a new vehicle wash that was originally included in the 2020 budget (but is on hold indefinitely), and vehicle replacement purchases respectively. Capital Improvement: • Street Repair/Reconstruction fund was below budget by about $780,000 because of a favorable bid environment and the timing of the Stratford Road pavement project, which was substantially completed in 2020, but will have some carryforward into 2021 to totally complete the project. • Water/Sewer Construction was underspent by about $2,700,000 as several projects were in various stages of completion. Unspent project budgets will be carried-forward into the 2021 budget as non-lapsing appropriations. Funds Exceeding Budget: Fortunately, no budgets meet this category in 2020. Other Discussion: As mentioned above, there are some timing issues that caused the 2020 budget to be underspent. We will analyze the 2021 budget, to determine if some of these items will need to be carried forward in the next appropriation ordinance. Moses Lake Council Packet 4-27-21, Page 124 of 137 10 Fund Balance Analysis Fund Balances (or reserves) are prudent to maintain in order to address cash flow fluctuations (i.e. property tax is only collected twice a year in April and October); to respond to emergencies; to match grant opportunities that may arise; and to allow Council some ability to try new programs. The 2020 actual results of expenditures and revenues netted an overall increase in total City fund balances of about $1.3 million. Council approved a Financial Management Policy in early 2021 that set out minimum reserve balances. All funds exceed the established minimums. General Fund added about $1.1 million, bringing the total fund balance to $7.5 million or 26.3% of the actual 2020 expenditures. Our policy is that General Fund maintain a 60-day reserve or 16.7%. General Fund ended 2020 exceeding that target, which gives some extra reserves going into 2021. Because we have enough excess, we are proposing setting aside $1.8 million as a contingency that could only be used in emergency situations. Operating/Enterprise Funds added just over $2.6 million to reserves, with the largest increases being in Water/Wastewater and Fleet Maintenance funds. We are proposing for Council to approve an additional transfer to the Water/Wastewater capital fund, since the recent cost of service study identified several projects that are needed in the next few years. Equipment Rental is holding the LOCAL program debt proceeds waiting to pay the final installments of 2 fire apparatus. We are also proposing to add to the transfer to Equipment Rental from various operating funds as reserve balances and budgets allowed, to enhance the vehicle replacement fund. The largest use of fund balance was Stormwater, as a major capital project was completed in 2020. Capital Funds used $2.3 million of their fund balances with most of this in the Water/Wastewater fund as they accomplished major projects in 2020. As discussed earlier, 1/1/2020 Beginning 2020 Actual 2020 Actual 12/31/20 Ending Ending Bal as % Balance Revenue Expenditures Balance of Expend. General Fund 6,451,931$ 27,567,873$ 26,447,470$ 7,572,334$ 28.6% Operating/Enterprise Funds 10,738,267 40,795,351 38,180,406 13,353,212 35.0% Capital Improvement Funds 12,884,407 5,296,052 7,573,785 10,606,674 140.0% Risk Mgmt/Employee Benefit 811,202 834,527 978,614 667,115 68.2% Debt Service Funds 1,496,689 2,268,797 2,269,294 1,496,192 65.9% Total City Fund Balances 32,382,497$ 76,762,600$ 75,449,569$ 33,695,528$ Change in Fund Balance Moses Lake Council Packet 4-27-21, Page 125 of 137 11 capital fund balances can fluctuate based on the timing of significant projects. A typical pattern is to grow the fund balance for a few years, and then spend it down on a major project. Risk Management/Employee Benefit Reserve Funds carry reserves primarily for the general liability program and the Firemen’s Relief and Pension Fund. In the Debt Service funds payments were made as expected, and fund balances are virtually unchanged. Bond issues often have covenants to maintain minimum reserve balances. Revenue bonds typically require one year of debt service payments to remain in reserves. The ending balance of about $1.5 million is in compliance with required covenants. Conclusion: As we go into 2021, we have healthy reserve balances. Even though COVID reduced some revenue sources, expenditures were also reduced, so that ending fund balances are exceeding levels set by policy. Management will continue to monitor the economic situation as we come out of the COVID pandemic and respond accordingly. Moses Lake Council Packet 4-27-21, Page 126 of 137 Exhibit 1CITY OF MOSES LAKE2020 Actual vs. Budget Variance100% of year completedYear End 202001/01/202020 Budget- 2020 YTD2020 2020 YTD 2020 12/31/20Actual Begin.Amended Actual %Amended Actual % (Use) Gain of EndingFund BalRevenuesRevenuesReceivedBudget Expenditure Expended Fund Balance Fund BalanceGeneral FundLegislative382,308$ 358,196$ 93.7% 24,112 Executive1,087,306 1,046,906 96.3% 40,400 Finance1,237,090 1,167,458 94.4% 69,632 Community Development1,746,631 1,577,606 90.3% 169,025 Legal192,800 211,192 109.5% (18,392) Misc. Services1,915,890 2,347,810 122.5% (431,920) Library82,100 78,269 95.3% 3,831 Engineering2,289,531 2,235,439 97.6% 54,092 Parks & Recreation6,467,411 5,174,794 80.0% 1,292,617 Police8,855,366 8,080,864 91.3% 774,502 Fire4,558,855 4,168,936 91.4% 389,919 Total General Fund6,451,931$ 26,743,059$ 27,567,873$ 103.1%28,815,288 26,447,470 91.8% 1,120,403$ 7,572,334$ Other Operating/EnterpriseTourism Activities -102 745,575 765,000 582,522 76.1%685,400 546,423 79.7% 36,099 781,674 Grants & Donations -103 765,940 417,600 546,670 130.9%583,300 478,031 82.0% 68,639 834,579 Homeless Services - 110392,000 318,864 81.3%392,000 270,984 69.1% 47,880 47,880 Paths & Trails - 114 101,292 2,000 12,086 604.3%31,000 27,577 89.0% (15,491) 85,801 Streets - 116 668,091 2,518,000 2,658,151 105.6%2,763,763 2,523,766 91.3% 134,385 802,476 Transportation Benefit District - 170 556,767 1,601,000 1,791,289 111.9%1,650,000 1,650,000 100.0% 141,289 698,056 Water/Wastewater Operating - 410 2,075,849 13,034,300 13,785,394 105.8%13,310,935 12,805,381 96.2% 980,013 3,055,862 Sanitation -490 343,788 4,220,000 4,212,288 99.8%4,075,000 3,903,139 95.8% 309,149 652,937 Stormwater - 493 514,464 940,000 979,941 104.2%1,333,320 1,223,586 91.8% (243,645) 270,819 Airport - 495 96,645 27,000 36,194 134.1%54,059 27,908 51.6% 8,286 104,931 Ambulance - 498 621,497 2,902,640 3,377,485 116.4%3,358,436 3,260,323 97.1% 117,162 738,659 Central Svc - 517 498,924 1,673,600 2,234,952 133.5%2,339,581 2,002,681 85.6% 232,271 731,195 Equipment Rental -519 2,663,786 3,795,309 6,160,369 162.3%6,231,724 5,494,726 88.2% 665,643 3,329,429 Build Maint -528 1,085,649 3,862,200 4,099,146 106.1%4,957,696 3,965,881 80.0% 133,265 1,218,914 Total Other Operating/Enterprise10,738,267 36,150,649 40,795,351 112.8%41,766,214 38,180,406 91.4% 2,614,945 13,353,212 cjj 04/23/21 2:55 PM x03 2020 Yr end budget report Exhibit 1 summary.xlsx1 of 2Moses Lake Council Packet 4-27-21, Page 127 of 137 Exhibit 1CITY OF MOSES LAKE2020 Actual vs. Budget Variance100% of year completedYear End 202001/01/202020 Budget- 2020 YTD2020 2020 YTD 2020 12/31/20Actual Begin.Amended Actual %Amended Actual % (Use) Gain of EndingFund BalRevenuesRevenuesReceivedBudget Expenditure Expended Fund Balance Fund BalanceCapital ImprovementStreet Repair/reconst -119 2,069,361 2,315,600 2,600,748 112.3%3,280,000 2,496,744 76.1% 104,004 2,173,365 Parks & Recreation Improvement-314 300,057 12,480,000 906,350 7.3%11,500,000 603,444 5.2% 302,906 602,963 Park Mitigation Capital Proj-315 705,082 - 78,154 680,000 680,000 100.0% (601,846) 103,236 Water Rights - 471 1,934,340 160,800 150,000 - 0.0% 160,800 2,095,140 Water/Sewer Construction-4777,875,568 1,550,000 1,550,000 100.0%6,475,000 3,793,597 58.6% (2,243,597) 5,631,971 Total Capital Improvement12,884,407 16,345,600 5,296,052 32.4%22,085,000 7,573,785 34.3% (2,277,733) 10,606,674 Risk Mgmt/Employee Benefit ReservesUnemployment Compensation - 501 14,795 30,000 61,352 66,500 63,149 95.0% (1,797) 12,998 Risk Management -503444,019 727,000 727,523 100.1%910,000 880,560 96.8% (153,037) 290,982 Firemen's Relief & Pension - 611352,388 33,000 45,652 138.3%50,500 34,905 69.1% 10,747 363,135 Total Employee Benefit Reserves811,202 790,000 834,527 105.6%1,027,000 978,614 95.3% (144,087) 667,115 Debt ServiceGOB 2016 Refunding-286184,433 381,217 381,217 100.0%381,442 381,292 100.0%(75) 184,358 Water-Sewer 2011 Bond-4508,306 565,000 565,000 100.0%565,538 565,238 99.9% (238) 8,068 Bond Reserve-2011 451567,600 - - - - 567,600 Water-Sewer 2004 Bond-4527,044 676,250 676,250 100.0%676,850 676,550 100.0% (300) 6,744 Water-Sewer 2004 Bond Reserve-453 701,500 - - - - 701,500 PWTF W/S Debt Serv - 48520,177 569,930 569,930 100.0%569,930 569,956 100.0%(26) 20,151 2015 GO Bond Redempt- 4877,629 76,400 76,400 100.0%76,359 76,258 99.9%142 7,771 Total Debt Service1,496,689 2,268,797 2,268,797 100.0%2,270,119 2,269,294 100.0% (497) 1,496,192 Total City Budget32,382,497$ 82,298,105$ 76,762,600$ 93.3%95,963,621$ 75,449,569$ 78.6% 1,313,031$ 33,695,528$ cjj 04/23/21 2:55 PM x03 2020 Yr end budget report Exhibit 1 summary.xlsx2 of 2Moses Lake Council Packet 4-27-21, Page 128 of 137 Page 1 of 2 STAFF REPORT To: Mayor, City Council From: Allison Williams, City Manager; Kevin Fuhr, Chief of Police Date: April 23, 2021 Proceeding Type: New Business Subject: Waiver and Interlocal Agreement with the City of Mattawa Legislative History: • First Presentation: April 23, 2021 • Second Presentation: • Actions: One motion to approve the Conflict Waiver and One motion to authorize execution of the Interlocal Agreement with the City of Mattawa Overview The City of Mattawa is in a position of needing an Interim Police Chief. They reached out to Chief Fuhr and asked if the City of Moses Lake’s Police leadership had the ability to provide for this interim need. Chief Fuhr has indicated that our City has the capacity, and this opportunity would provide for a great leadership opportunity for Captain Williams. As a result, our City is asked to approve an interlocal agreement with the City of Mattawa. In addition, because Katherine Kenison serves as legal counsel to both the City of Mattawa and the City of Moses Lake, the City needs to sign the conflict waiver letter that is standard when there is the same legal representation. Staff would recommend the motion for the Conflict Waiver first, if Council approves, followed by the consideration of the Interlocal Agreement with the City of Mattawa. Fiscal and Policy Implications This arrangement with the City’s insurer, WCIA, who has confirmed that the agreements as presented maintains protection of the City. In addition, the City of Mattawa would pay for the hourly rate of Captain Williams while in their line of duty, so there is no fiscal implication for the City of Moses Lake beyond the internal coverage in the MLPD during his absence. Council Packet Attachments and Legal Review A. Conflict Waiver letter – Reviewed 4/21/21 B. Interlocal Agreement – Reviewed 4/22/21 Moses Lake Council Packet 4-27-21, Page 129 of 137 Page 2 of 2 Finance Committee Review This request came between Finance Committee meeting’s so this has not been reviewed by the Finance Committee. Options Option Results • Motion to Approve Conflict Waiver and Motion to Approve Interlocal Agreement City of Moses Lake would provide interim Police Chief for Mattawa • Provide staff with changes Staff would consider changes • Take no action City of Moses Lake would not provide Interim Police Chief for Mattawa Actions Requested Motion to approve the Conflict Waiver letter. Motion to approve the Interlocal Agreement with the City of Mattawa. Moses Lake Council Packet 4-27-21, Page 130 of 137 KENISONFRANZ ATTORNEYS AT LAW KATHERINE L. KENISON, PS ANNA C. FRANZ, PS OFFICE: 509.754.2493 FAX: 509.754.4022 406 W. BROADWAY AVE., SUITE D, MOSES LAKE, WASHINGTON 98837 April 21, 2021 City Council City of Mattawa 521 Government Road Mattawa, WA 99349 City Council City of Moses Lake 401 S. Balsam St. PO Box 1579 Moses Lake, WA 98837 Re: Interlocal Agreement for Interim Police Chief Dear Councilmembers: We have been requested to draft an interlocal agreement for provision of interim police chief services performed by the City of Moses Lake for the City of Mattawa. Because our firm has represented and continues to represent both cities as general counsel, we are required by the Washington State Bar Association to inform you of and obtain your written consent to our participation as counsel in transactions which present any potential for conflict of interest. The purpose of this letter is to inform you of the actual and potential consequences of simultaneous representation for this transaction and to explain the circumstances under which we can represent both parties simultaneously if, after full consideration of the consequences, both clients wish us to do so. Under applicable rules of professional conduct, a law firm owes each of its clients a duty of loyalty, which would normally preclude any attorney within the firm from undertaking a representation adverse to any client of the firm without the affected client’s informed consent. Other rules generally prohibit a firm from undertaking any representation involving an actual or potential conflict of interest without the informed consent of all affected parties. Such a situation exists whenever a firm represents two clients simultaneously in a situation in which their interests are actually or potentially adverse. The conflict of interest, and the need for informed consent, exist no matter how cordial the business relationship between the two parties currently is or is anticipated to be, and no matter how non-controversial the transaction is anticipated to be. Moses Lake Council Packet 4-27-21, Page 131 of 137 KENISONFRANZ ATTORNEYS AT LAW City Councils of City of Moses Lake and Mattawa April 23, 2021 Page 2 We do not recommend simultaneous representation of adverse parties, and have not recommended this simultaneous representation to you. We have recommended, instead, that each party seek separate representation. We also recommend that each city seek the advice of independent counsel of your own choice regarding this written consent. If, however, it is the wish of both clients that we undertake the simultaneous representation of both parties with respect to the transaction, we will undertake to do so under the terms described herein. It may not be possible for a single law firm to represent both parties to the transaction in the same aggressive manner as would two separate and independent law firms. By giving the consent requested in this letter, you are, in effect, waiving that kind of zealous representation of your individual and conflicting interests with respect to the transaction. It is possible that each or both of you might be advised by independent counsel to demand or offer different or more favorable terms and conditions with respect to the transaction than we can or will demand or offer. Moreover, regardless of the terms upon which the matters between the two clients are concluded, the fact that one law firm has been involved in the representation of both parties may give rise to a perception on the part of councilmembers, administration, constituents, or other third parties that different terms might have been arrived at had each city had separate representation by an independent law firm. If a dispute should arise in the future between the two cities concerning the transaction or any other aspect of your dealings with each other, we believe we would have to withdraw, or would be disqualified, from representing either city with regard to that dispute or any other relationship you might then have with each other. You would then each have to retain separate counsel, resulting in additional expense and inconvenience that you might not have incurred had you been separately represented from the outset. We will be pleased to answer any questions you may have concerning this representation or this requested consent. If you do wish to consent, please sign the enclosed extra copy of this letter and return it to us. Moses Lake Council Packet 4-27-21, Page 132 of 137 KENISONFRANZ ATTORNEYS AT LAW City Councils of City of Moses Lake and Mattawa April 23, 2021 Page 3 Very truly yours, LEMARGIE KENISON FRANZ AND WHITAKER Katherine L. Kenison KLK/klk ACKNOWLEDGEMENT AND CONSENT Despite any potential or actual conflict of interest which may exist now or in the future, we hereby consent to the firm’s simultaneous representation of both the City of Moses Lake and the City of Mattawa with respect to the transaction as described above. We further agree that the firm may withdraw its representation of either client or both clients without prejudice should it determine that continued representation might violate applicable rules of professional conduct. CITY OF MOSES LAKE CITY OF MATTAWA _____________________________ _____________________________ By: Allison Williams, City Manager By: Maggie Celaya, Mayor ATTEST ATTEST _____________________________ _____________________________ Debbie Burke, City Clerk Anabel Martinez, City Clerk Moses Lake Council Packet 4-27-21, Page 133 of 137 INTERLOCAL AGREEMENT BETWEEN THE CITY OF MOSES LAKE, WA AND THE CITY OF MATTAWA, WA RELATING TO PROVISION OF INTERIM CHIEF OF POLICE SERVICES This Agreement is made and entered into this __th day of April, 2021, by and between the City of Moses Lake, Washington, a non-charter code city, hereinafter referred to as MOSES LAKE, and the City of Mattawa, a non-charter code city, hereinafter referred to as MATTAWA, for the provision of interim chief of police services. Recitals: 1. Mattawa is currently and temporarily without a chief of police and needs the assistance and service of an interim police chief; 2. Moses Lake has police staff available to provide Mattawa with the services of a temporary, interim chief of police; 3. This Agreement will provide for the immediate needs of Mattawa with adequate compensation to Moses Lake. NOW THEREFORE, Moses Lake and Mattawa hereby agree as follows: 1. Authority. This Interlocal Cooperation Agreement is executed pursuant to the authority conferred upon the parties on Chapters 10.93 and 39.34, RCW. In all respects, the parties shall be deemed to be acting in their governmental capacities. 2. Interim Police Chief Services. Moses Lake agrees to make its Captain, Mike Williams, available to Mattawa as a temporary, interim police chief. 3. Scope of Services. The Interim Chief services will be provided by Moses Lake through its designee, Captain Mike Williams. 3. Consideration. As consideration for such services, Mattawa agrees to pay Moses Lake at Captain Williams’ current hourly rate ($77.79) for all time spent acting as Interim Chief for Mattawa, not to exceed forty (40) hours per week. Mattawa authorizes the use of its command vehicle for purposes of commuting and performing the services pursuant to this Agreement and will be responsible for the operating costs of this vehicle during the term of this Agreement. Captain Williams will continue to wear his Moses Lake uniform and utilize his Moses Lake issued equipment and gear. 4. Term of Agreement. This Agreement shall be effective April __, 2021, after execution by both governing bodies, and shall continue in full force and effect for a period not to exceed three (3) months or until terminated by either party as provided in Paragraph 16. Moses Lake Council Packet 4-27-21, Page 134 of 137 5. Property. It is not expected that property shall be acquired or disposed of on behalf of this Agreement. The property owned by Mattawa and used in providing the services under the terms of this Agreement shall remain property of Mattawa and the property owned by Moses Lake and used in providing services under the terms of this Agreement shall remain property of Moses Lake. 6. Details of Services. The Interim Police Chief is an administrative, supervisory, professional position responsible to plan, organize, and manage Mattawa Police Department (MPD) operations including: • provide guidance and oversight of operational activities • assist with development and update of operations and training manuals, administrative policy manuals, and similar MPD policies. • create, supervise, and monitor work schedules and duty calendar for the efficient operations of the MPD and its personnel. • assist and mentor the sergeant and patrol officers as necessary • assist with recruitment and selection of new members • facilitate personnel evaluations • supervise, evaluate, and monitor training programs for members • evaluate and supervise the SRO program and officers These duties will be performed in accordance with Mattawa’s chain of command and adopted policies and procedures. 5. Liability. Each City shall be responsible for the wrongful or negligent actions of its employees while performing pursuant to this Agreement as their respective liability shall appear under the laws of the State of Washington and/or Federal Law and this agreement is not intended to diminish or expand such liability. 6. Contract Administration. The parties do not by this Agreement create any separate legal or administrative entity. The Mattawa Mayor and the Moses Lake City Manager shall be responsible for administering the terms of this Agreement. The parties do not intend to jointly own any real or personal property as part of this undertaking. 7. No Third Party Beneficiary. The provisions of this Agreement are not intended to create any third0party beneficiary contract rights, and therefore none should be deemed created by the Agreement. The Agreement between the parties is only intended to create rights and/or obligations between the signatory parties. 8. Governing Law. This Agreement is entered into and shall be governed by the laws of the State of Washington. In the event of a dispute, the venue shall lie in Grant County, Washington. 9. Amendment and Waiver. This Agreement may be amended by mutual written agreement of the parties. No waiver by any party of any term or condition of this Agreement shall be deemed or construed waiver of any other term or condition, nor shall a waiver of any breach be deemed Moses Lake Council Packet 4-27-21, Page 135 of 137 to constitute a waiver of any subsequent breach whether of the same or a different provision of this Agreement. 10. Insurance Requirements. Each party to this Agreement shall maintain and procure for the duration of this Agreement insurance against claims for injuries to persons or damages to property or persons. Mattawa shall provide insurance coverage for Captain Williams in the performance of his duties for Mattawa. 11. Waiver of Breach. The failure of either party to this Agreement to insist upon strict performance of any of the covenants and agreements contained in this Agreement, or to exercise any option or right conferred by this Agreement, in any one or more instances shall not be construed to be a waiver or relinquishment of any such option or right of any other covenants or agreements which shall all be and remain in full force and effect. 12. Workers Compensation Industrial Insurance. Both parties agree to provide Workers Compensation Industrial Insurance through Washington Department of Labor and Industries during the times that Captain Williams works for each of them. 13. Notices. Any notice required or desired to be served, given, or delivered hereunder shall be in writing and shall be deemed to have been validly served, given, or delivered upon deposit in the United States mail by registered or certified mail with proper postage prepaid and addressed to the party to be notified. Each party shall include the applicable address below the signature block hereof. 14. Severability. If any term, provision, covenant, or condition of this Agreement is held by a court of competent jurisdiction to be invalid, void, or unenforceable, the remainder of the provision hereof shall remain in full force and effect and shall in no way be affected, impaired, or invalidated as a result of such decision. 15. Captions. The captions used herein are for convenience only and are not a part of this Agreement and do not in any way limit or amplify the terms and provisions hereof. 16. Termination of Agreement. Upon thirty (30) days prior written notice, either party may terminate this Agreement. If for any reason during the term of this Agreement, Captain Williams does not continue to work in the position of Captain for the City of Moses Lake, this Agreement shall be immediately terminated. IN WITNESS WHEREOF, the parties hereto have executed this Agreement, effective on the date shown above. The signatories below represent and warrant that they possess the authority to execute this Agreement and bind their respective entities. CITY OF MOSES LAKE, WA CITY OF MATTAWA, WA _______________________________ _____________________________ Moses Lake Council Packet 4-27-21, Page 136 of 137 City Manager Mayor ATTEST: _______________________________ _____________________________ City Clerk City Clerk APPROVED AS TO FORM: APPROVED AS TO FORM: _______________________________ _______________________________ City Attorney City Attorney Moses Lake Council Packet 4-27-21, Page 137 of 137