HomeMy WebLinkAboutContract'ZDEd&KZ ϮϬϮϲDK^Yh/dKdDEdWZK'ZD
d,/^'ZDEd͕ĚĂƚĞĚ :ƵŶĞ ͺͺͺͺ͕ϮϬϮϲ͕;ĨĨĞĐƚŝǀĞ ĂƚĞͿŝƐďLJĂŶĚďĞƚǁĞĞŶƚŚĞŝƚLJŽĨZĞŶƚŽŶ
;ƚŚĞ͞ŝƚLJ͟Ϳ͕ĂtĂƐŚŝŶŐƚŽŶŵƵŶŝĐŝƉĂůĐŽƌƉŽƌĂƚŝŽŶ͕ĂŶĚ dŚƌĞĞZŝǀĞƌƐDŽƐƋƵŝƚŽĂŶĚsĞĐƚŽƌŽŶƚƌŽů
;͞ŽŶƐƵůƚĂŶƚ͟Ϳ͕^ŽůĞWƌŽƉƌŝĞƚŽƌ͘dŚĞŝƚLJĂŶĚƚŚĞŽŶƐƵůƚĂŶƚĂƌĞƌĞĨĞƌƌĞĚƚŽĐŽůůĞĐƚŝǀĞůLJŝŶƚŚŝƐ
ŐƌĞĞŵĞŶƚĂƐƚŚĞ͞WĂƌƚŝĞƐ͘͟KŶĐĞĨƵůůLJĞdžĞĐƵƚĞĚďLJƚŚĞWĂƌƚŝĞƐ͕ƚŚŝƐŐƌĞĞŵĞŶƚŝƐ ĞĨĨĞĐƚŝǀĞĂƐŽĨ
ƚŚĞĨĨĞĐƚŝǀĞĂƚĞĂďŽǀĞ͘
ϭ͘ ^ĐŽƉĞŽĨtŽƌŬ͗ŽŶƐƵůƚĂŶƚĂŐƌĞĞƐƚŽƉƌŽǀŝĚĞĂůůŵĂƚĞƌŝĂůĂŶĚůĂďŽƌŶĞĐĞƐƐĂƌLJƚŽƉĞƌĨŽƌŵ
ĂůůǁŽƌŬĂƐƐƉĞĐŝĨŝĞĚŝŶƚƚĂĐŚŵĞŶƚ͕ǁŚŝĐŚŝƐĂƚƚĂĐŚĞĚĂŶĚŝŶĐŽƌƉŽƌĂƚĞĚ ŚĞƌĞŝŶĂŶĚŵĂLJ
ŚĞƌĞŝŶĂĨƚĞƌďĞƌĞĨĞƌƌĞĚƚŽĂƐƚŚĞ͞tŽƌŬ͘͟
Ϯ͘ ŚĂŶŐĞƐŝŶ^ĐŽƉĞŽĨtŽƌŬ͗ dŚĞŝƚLJ͕ǁŝƚŚŽƵƚŝŶǀĂůŝĚĂƚŝŶŐƚŚŝƐŐƌĞĞŵĞŶƚ͕ŵĂLJŽƌĚĞƌ
ĐŚĂŶŐĞƐƚŽƚŚĞtŽƌŬĐŽŶƐŝƐƚŝŶŐŽĨĂĚĚŝƚŝŽŶƐ͕ĚĞůĞƚŝŽŶƐŽƌŵŽĚŝĨŝĐĂƚŝŽŶƐ͘ŶLJƐƵĐŚĐŚĂŶŐĞƐ
ƚŽƚŚĞtŽƌŬƐŚĂůůďĞŽƌĚĞƌĞĚďLJƚŚĞŝƚLJŝŶǁƌŝƚŝŶŐĂŶĚ ƚŚĞŽŵƉĞŶƐĂƚŝŽŶƐŚĂůůďĞ
ĞƋƵŝƚĂďůLJĂĚũƵƐƚĞĚĐŽŶƐŝƐƚĞŶƚǁŝƚŚƚŚĞƌĂƚĞƐƐĞƚĨŽƌƚŚŝŶ ƚŚĞƚƚĂĐŚŵĞŶƚŽƌĂƐŽƚŚĞƌǁŝƐĞ
ŵƵƚƵĂůůLJĂŐƌĞĞĚďLJƚŚĞWĂƌƚŝĞƐ͘
ϯ͘dŝŵĞ ŽĨ WĞƌĨŽƌŵĂŶĐĞ͗ŽŶƐƵůƚĂŶƚ ƐŚĂůů ĐŽŵŵĞŶĐĞ ƉĞƌĨŽƌŵĂŶĐĞ ŽĨ ƚŚĞ ŐƌĞĞŵĞŶƚ
ƉƵƌƐƵĂŶƚƚŽƚŚĞƐĐŚĞĚƵůĞ;ƐͿƐĞƚĨŽƌƚŚŝŶƚƚĂĐŚŵĞŶƚ͘ůůtŽƌŬ ƐŚĂůůďĞƉĞƌĨŽƌŵĞĚďLJŶŽ
ůĂƚĞƌƚŚĂŶ ĞĐĞŵďĞƌϭ͕ϮϬϮϲ͘
ϰ͘ ŽŵƉĞŶƐĂƚŝŽŶ͗
͘ ŵŽƵŶƚ͘ dŚĞƚŽƚĂůĂŵŽƵŶƚŽĨƚŚĞŐƌĞĞŵĞŶƚŝƐŶŽƚĂŐƵĂƌĂŶƚĞĞĚĂŵŽƵŶƚŽĨƉĂLJŵĞŶƚ
ďƵƚƌĂƚŚĞƌŝƐďĂƐĞĚƵƉŽŶƚŚĞĂĐƚƵĂůƚĞƐƚĞĚDŽƐƋƵŝƚŽďĂƚĞŵĞŶƚdƌĞĂƚŵĞŶƚŶĞĞĚƐĂŶĚ
ƉƌŽƉĞƌůLJŝŶǀŽŝĐĞĚƚĞƐƚŝŶŐĂŶĚƚƌĞĂƚŵĞŶƚƐ͘dŽƚĂůĐŽŵƉĞŶƐĂƚŝŽŶƚŽŽŶƐƵůƚĂŶƚĨŽƌtŽƌŬ
ƉƌŽǀŝĚĞĚ ƉƵƌƐƵĂŶƚ ƚŽ ƚŚŝƐ ŐƌĞĞŵĞŶƚ ƐŚĂůů ŶŽƚ ĞdžĐĞĞĚ Ψϵϰ͕ϭϭϲ͘ϱϬ ŝŶĐůƵĚŝŶŐ ĂŶLJ
ĂƉƉůŝĐĂďůĞƐƚĂƚĞĂŶĚůŽĐĂůƐĂůĞƐƚĂdžĞƐ͘ ŽŵƉĞŶƐĂƚŝŽŶƐŚĂůůďĞƉĂŝĚ ďĂƐĞĚƵƉŽŶtŽƌŬ
ĂĐƚƵĂůůLJƉĞƌĨŽƌŵĞĚĂĐĐŽƌĚŝŶŐƚŽƚŚĞƌĂƚĞ;ƐͿŽƌĂŵŽƵŶƚƐƐƉĞĐŝĨŝĞĚŝŶƚŚĞƚƚĂĐŚŵĞŶƚ
͘dŚĞŽŶƐƵůƚĂŶƚĂŐƌĞĞƐƚŚĂƚĂŶLJŚŽƵƌůLJŽƌĨůĂƚƌĂƚĞĐŚĂƌŐĞĚďLJ ŝƚĨŽƌŝƚƐtŽƌŬ ƐŚĂůů
ƌĞŵĂŝŶůŽĐŬĞĚĂƚƚŚĞŶĞŐŽƚŝĂƚĞĚƌĂƚĞ;ƐͿƵŶůĞƐƐŽƚŚĞƌǁŝƐĞĂŐƌĞĞĚƚŽŝŶǁƌŝƚŝŶŐ͘ džĐĞƉƚ
ĂƐƐƉĞĐŝĨŝĐĂůůLJƉƌŽǀŝĚĞĚŚĞƌĞŝŶ͕ƚŚĞŽŶƐƵůƚĂŶƚƐŚĂůůďĞƐŽůĞůLJƌĞƐƉŽŶƐŝďůĞĨŽƌƉĂLJŵĞŶƚ
ŽĨĂŶLJƚĂdžĞƐŝŵƉŽƐĞĚĂƐĂƌĞƐƵůƚŽĨƚŚĞƉĞƌĨŽƌŵĂŶĐĞĂŶĚƉĂLJŵĞŶƚŽĨƚŚŝƐŐƌĞĞŵĞŶƚ͘
͘ DĞƚŚŽĚŽĨWĂLJŵĞŶƚ͘KŶĂŵŽŶƚŚůLJŽƌŶŽůĞƐƐƚŚĂŶƋƵĂƌƚĞƌůLJďĂƐŝƐ ĚƵƌŝŶŐĂŶLJƋƵĂƌƚĞƌ
ŝŶǁŚŝĐŚtŽƌŬŝƐƉĞƌĨŽƌŵĞĚ͕ƚŚĞŽŶƐƵůƚĂŶƚƐŚĂůůƐƵďŵŝƚĂǀŽƵĐŚĞƌŽƌŝŶǀŽŝĐĞŝŶĂĨŽƌŵ
ƐƉĞĐŝĨŝĞĚďLJƚŚĞŝƚLJ͕ŝŶĐůƵĚŝŶŐĂĚĞƐĐƌŝƉƚŝŽŶŽĨǁŚĂƚtŽƌŬ ŚĂƐ ďĞĞŶƉĞƌĨŽƌŵĞĚ͕ƚŚĞ
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CAG-26-606
29
W'Ϯ K&ϭϭ
ŶĂŵĞŽĨƚŚĞƉĞƌƐŽŶŶĞůƉĞƌĨŽƌŵŝŶŐƐƵĐŚtŽƌŬ͕ĂŶĚĂŶLJŚŽƵƌůLJůĂďŽƌĐŚĂƌŐĞƌĂƚĞĨŽƌ
ƐƵĐŚƉĞƌƐŽŶŶĞů͘dŚĞŽŶƐƵůƚĂŶƚƐŚĂůůĂůƐŽƐƵďŵŝƚĂĨŝŶĂůďŝůůƵƉŽŶĐŽŵƉůĞƚŝŽŶŽĨĂůů
tŽƌŬ͘WĂLJŵĞŶƚƐŚĂůůďĞŵĂĚĞďLJƚŚĞŝƚLJĨŽƌtŽƌŬ ƉĞƌĨŽƌŵĞĚǁŝƚŚŝŶƚŚŝƌƚLJ;ϯϬͿ
ĐĂůĞŶĚĂƌĚĂLJƐĂĨƚĞƌƌĞĐĞŝƉƚĂŶĚĂƉƉƌŽǀĂůďLJƚŚĞĂƉƉƌŽƉƌŝĂƚĞŝƚLJƌĞƉƌĞƐĞŶƚĂƚŝǀĞŽĨƚŚĞ
ǀŽƵĐŚĞƌŽƌŝŶǀŽŝĐĞ͘/ĨƚŚĞŽŶƐƵůƚĂŶƚ͛ƐƉĞƌĨŽƌŵĂŶĐĞ ĚŽĞƐ ŶŽƚŵĞĞƚƚŚĞƌĞƋƵŝƌĞŵĞŶƚƐ
ŽĨƚŚŝƐŐƌĞĞŵĞŶƚ͕ƚŚĞŽŶƐƵůƚĂŶƚǁŝůůĐŽƌƌĞĐƚŽƌŵŽĚŝĨLJŝƚƐƉĞƌĨŽƌŵĂŶĐĞƚŽĐŽŵƉůLJ
ǁŝƚŚƚŚĞŐƌĞĞŵĞŶƚ͘dŚĞŝƚLJŵĂLJǁŝƚŚŚŽůĚƉĂLJŵĞŶƚĨŽƌǁŽƌŬƚŚĂƚĚŽĞƐŶŽƚŵĞĞƚƚŚĞ
ƌĞƋƵŝƌĞŵĞŶƚƐŽĨƚŚŝƐŐƌĞĞŵĞŶƚ͘
͘ ĨĨĞĐƚŽĨWĂLJŵĞŶƚ͘WĂLJŵĞŶƚĨŽƌĂŶLJƉĂƌƚŽĨƚŚĞtŽƌŬƐŚĂůůŶŽƚĐŽŶƐƚŝƚƵƚĞĂǁĂŝǀĞƌďLJ
ƚŚĞ ŝƚLJ ŽĨ ĂŶLJ ƌĞŵĞĚŝĞƐ ŝƚ ŵĂLJ ŚĂǀĞ ĂŐĂŝŶƐƚ ƚŚĞ ŽŶƐƵůƚĂŶƚ ĨŽƌĨĂŝůƵƌĞŽĨƚŚĞ
ŽŶƐƵůƚĂŶƚ ƚŽ ƉĞƌĨŽƌŵ ƚŚĞ tŽƌŬ Žƌ ĨŽƌ ĂŶLJ ďƌĞĂĐŚ ŽĨ ƚŚŝƐ ŐƌĞĞŵĞŶƚ ďLJ ƚŚĞ
ŽŶƐƵůƚĂŶƚ͘
͘ EŽŶͲƉƉƌŽƉƌŝĂƚŝŽŶŽĨ&ƵŶĚƐ͘/ĨƐƵĨĨŝĐŝĞŶƚĨƵŶĚƐĂƌĞŶŽƚĂƉƉƌŽƉƌŝĂƚĞĚŽƌĂůůŽĐĂƚĞĚĨŽƌ
ƉĂLJŵĞŶƚƵŶĚĞƌƚŚŝƐŐƌĞĞŵĞŶƚĨŽƌĂŶLJĨƵƚƵƌĞĨŝƐĐĂůƉĞƌŝŽĚ͕ƚŚĞŝƚLJƐŚĂůůŶŽƚďĞ
ŽďůŝŐĂƚĞĚƚŽŵĂŬĞƉĂLJŵĞŶƚƐĨŽƌtŽƌŬ ŽƌĂŵŽƵŶƚƐŝŶĐƵƌƌĞĚĂĨƚĞƌƚŚĞĞŶĚŽĨƚŚĞ
ĐƵƌƌĞŶƚĨŝƐĐĂůƉĞƌŝŽĚ͕ĂŶĚƚŚŝƐŐƌĞĞŵĞŶƚǁŝůůƚĞƌŵŝŶĂƚĞƵƉŽŶƚŚĞĐŽŵƉůĞƚŝŽŶŽĨĂůů
ƌĞŵĂŝŶŝŶŐtŽƌŬ ĨŽƌǁŚŝĐŚĨƵŶĚƐĂƌĞĂůůŽĐĂƚĞĚ͘EŽƉĞŶĂůƚLJŽƌĞdžƉĞŶƐĞƐŚĂůůĂĐĐƌƵĞƚŽ
ƚŚĞŝƚLJŝŶƚŚĞĞǀĞŶƚƚŚŝƐƉƌŽǀŝƐŝŽŶĂƉƉůŝĞƐ͘
ϱ͘ dĞƌŵŝŶĂƚŝŽŶ͗
͘ dŚĞŝƚLJƌĞƐĞƌǀĞƐƚŚĞƌŝŐŚƚƚŽƚĞƌŵŝŶĂƚĞƚŚŝƐŐƌĞĞŵĞŶƚĂƚĂŶLJƚŝŵĞ͕ǁŝƚŚŽƌǁŝƚŚŽƵƚ
ĐĂƵƐĞďLJŐŝǀŝŶŐƚĞŶ;ϭϬͿĐĂůĞŶĚĂƌĚĂLJƐ͛ŶŽƚŝĐĞƚŽƚŚĞŽŶƐƵůƚĂŶƚŝŶǁƌŝƚŝŶŐ͘/ŶƚŚĞĞǀĞŶƚ
ŽĨƐƵĐŚƚĞƌŵŝŶĂƚŝŽŶŽƌƐƵƐƉĞŶƐŝŽŶ͕ĂůůĨŝŶŝƐŚĞĚŽƌƵŶĨŝŶŝƐŚĞĚĚŽĐƵŵĞŶƚƐ͕ĚĂƚĂ͕ƐƚƵĚŝĞƐ͕
ǁŽƌŬƐŚĞĞƚƐ͕ ŵŽĚĞůƐ ĂŶĚ ƌĞƉŽƌƚƐ͕ Žƌ ŽƚŚĞƌ ŵĂƚĞƌŝĂů ƉƌĞƉĂƌĞĚ ďLJ ƚŚĞ ŽŶƐƵůƚĂŶƚ
ƉƵƌƐƵĂŶƚƚŽƚŚŝƐŐƌĞĞŵĞŶƚƐŚĂůůďĞ ƐƵďŵŝƚƚĞĚƚŽƚŚĞŝƚLJ͕ŝĨĂŶLJĂƌĞƌĞƋƵŝƌĞĚĂƐƉĂƌƚ
ŽĨƚŚĞtŽƌŬ͘
͘ /ŶƚŚĞĞǀĞŶƚƚŚŝƐŐƌĞĞŵĞŶƚŝƐƚĞƌŵŝŶĂƚĞĚďLJƚŚĞŝƚLJ͕ƚŚĞŽŶƐƵůƚĂŶƚƐŚĂůůďĞĞŶƚŝƚůĞĚ
ƚŽƉĂLJŵĞŶƚĨŽƌĂůůŚŽƵƌƐǁŽƌŬĞĚƚŽƚŚĞĞĨĨĞĐƚŝǀĞĚĂƚĞŽĨƚĞƌŵŝŶ ĂƚŝŽŶ͕ůĞƐƐĂůůƉĂLJŵĞŶƚƐ
ƉƌĞǀŝŽƵƐůLJŵĂĚĞ͘/ĨƚŚĞŐƌĞĞŵĞŶƚŝƐƚĞƌŵŝŶĂƚĞĚďLJƚŚĞŝƚLJĂĨƚĞƌƉĂƌƚŝĂůƉĞƌĨŽƌŵĂŶĐĞ
ŽĨtŽƌŬĨŽƌǁŚŝĐŚƚŚĞĂŐƌĞĞĚĐŽŵƉĞŶƐĂƚŝŽŶŝƐ ĂĨŝdžĞĚĨĞĞ͕ƚŚĞŝƚLJƐŚĂůůƉĂLJƚŚĞ
ŽŶƐƵůƚĂŶƚĂŶĞƋƵŝƚĂďůĞƐŚĂƌĞŽĨƚŚĞĨŝdžĞĚĨĞĞ͘dŚŝƐƉƌŽǀŝƐŝŽŶƐŚĂůůŶŽƚƉƌĞǀĞŶƚƚŚĞ
ŝƚLJĨƌŽŵƐĞĞŬŝŶŐĂŶLJůĞŐĂůƌĞŵĞĚŝĞƐŝƚŵĂLJŚĂǀĞĨŽƌƚŚĞǀŝŽůĂƚŝŽŶŽƌŶŽŶƉĞƌĨŽƌŵĂŶĐĞ
ŽĨĂŶLJŽĨƚŚĞƉƌŽǀŝƐŝŽŶƐŽĨƚŚŝƐŐƌĞĞŵĞŶƚĂŶĚƐƵĐŚĐŚĂƌŐĞƐĚƵĞƚŽƚŚĞŝƚLJƐŚĂůůďĞ
ĚĞĚƵĐƚĞĚĨƌŽŵƚŚĞĨŝŶĂůƉĂLJŵĞŶƚĚƵĞƚŚĞŽŶƐƵůƚĂŶƚ͘EŽƉĂLJŵĞŶƚƐŚĂůůďĞŵĂĚĞďLJ
ƚŚĞŝƚLJĨŽƌĂŶLJĞdžƉĞŶƐĞƐŝŶĐƵƌƌĞĚŽƌǁŽƌŬĚŽŶĞĨŽůůŽǁŝŶŐƚŚĞĞĨĨĞĐƚŝǀĞĚĂƚĞŽĨ
ƚĞƌŵŝŶĂƚŝŽŶƵŶůĞƐƐĂƵƚŚŽƌŝnjĞĚŝŶĂĚǀĂŶĐĞŝŶǁƌŝƚŝŶŐďLJƚŚĞŝƚLJ͘
ϲ͘ tĂƌƌĂŶƚŝĞƐŶĚZŝŐŚƚdŽhƐĞtŽƌŬWƌŽĚƵĐƚ͗ ŽŶƐƵůƚĂŶƚƌĞƉƌĞƐĞŶƚƐĂŶĚǁĂƌƌĂŶƚƐƚŚĂƚ
ŽŶƐƵůƚĂŶƚ ǁŝůů ƉĞƌĨŽƌŵ Ăůů tŽƌŬ ŝĚĞŶƚŝĨŝĞĚ ŝŶ ƚŚŝƐ ŐƌĞĞŵĞŶƚ ŝŶ Ă ƉƌŽĨĞƐƐŝŽŶĂů ĂŶĚ
"!#
W'ϯ K&ϭϭ
ǁŽƌŬŵĂŶůŝŬĞŵĂŶŶĞƌĂŶĚŝŶĂĐĐŽƌĚĂŶĐĞǁŝƚŚĂůůƌĞĂƐŽŶĂďůĞĂŶĚƉƌŽĨĞƐƐŝŽŶĂůƐƚĂŶĚĂƌĚƐ
ĂŶĚůĂǁƐ͘ ŽŵƉůŝĂŶĐĞǁŝƚŚƉƌŽĨĞƐƐŝŽŶĂůƐƚĂŶĚĂƌĚƐŝŶĐůƵĚĞƐ͕ĂƐĂƉƉůŝĐĂďůĞ͕ƉĞƌĨŽƌŵŝŶŐƚŚĞ
tŽƌŬ ŝŶĐŽŵƉůŝĂŶĐĞǁŝƚŚĂƉƉůŝĐĂďůĞŝƚLJƐƚĂŶĚĂƌĚƐŽƌŐƵŝĚĞůŝŶĞƐ;Ğ͘Ő͘ĚĞƐŝŐŶĐƌŝƚĞƌŝĂĂŶĚ
^ƚĂŶĚĂƌĚWůĂŶƐĨŽƌZŽĂĚ͕ƌŝĚŐĞ ĂŶĚDƵŶŝĐŝƉĂůŽŶƐƚƌƵĐƚŝŽŶͿ͘WƌŽĨĞƐƐŝŽŶĂůĞŶŐŝŶĞĞƌƐƐŚĂůů
ĐĞƌƚŝĨLJĞŶŐŝŶĞĞƌŝŶŐƉůĂŶƐ͕ƐƉĞĐŝĨŝĐĂƚŝŽŶƐ͕ƉůĂƚƐ͕ĂŶĚƌĞƉŽƌƚƐ͕ĂƐĂƉƉůŝĐĂďůĞ͕ƉƵƌƐƵĂŶƚƚŽ
Ztϭϴ͘ϰϯ͘ϬϳϬ͘ŽŶƐƵůƚĂŶƚĨƵƌƚŚĞƌƌĞƉƌĞƐĞŶƚƐĂŶĚǁĂƌƌĂŶƚƐƚŚĂƚĂůůĨŝŶĂůǁŽƌŬƉƌŽĚƵĐƚ
ĐƌĞĂƚĞĚĨŽƌĂŶĚĚĞůŝǀĞƌĞĚƚŽƚŚĞŝƚLJƉƵƌƐƵĂŶƚƚŽƚŚŝƐŐƌĞĞŵĞŶƚƐŚĂůůďĞƚŚĞŽƌŝŐŝŶĂůǁŽƌŬ
ŽĨƚŚĞŽŶƐƵůƚĂŶƚ ĂŶĚĨƌĞĞĨƌŽŵĂŶLJŝŶƚĞůůĞĐƚƵĂůƉƌŽƉĞƌƚLJĞŶĐƵŵďƌĂŶĐĞǁŚŝĐŚǁŽƵůĚ
ƌĞƐƚƌŝĐƚ ƚŚĞ ŝƚLJĨƌŽŵ ƵƐŝŶŐ ƚŚĞ ǁŽƌŬ ƉƌŽĚƵĐƚ͘ ŽŶƐƵůƚĂŶƚ ŐƌĂŶƚƐ ƚŽ ƚŚĞ ŝƚLJ Ă ŶŽŶͲ
ĞdžĐůƵƐŝǀĞ͕ƉĞƌƉĞƚƵĂůƌŝŐŚƚĂŶĚůŝĐĞŶƐĞƚŽƵƐĞ͕ƌĞƉƌŽĚƵĐĞ͕ĚŝƐƚƌŝďƵƚĞ͕ĂĚĂƉƚ͕ŵŽĚŝĨLJ͕ĂŶĚ
ĚŝƐƉůĂLJĂůůĨŝŶĂůǁŽƌŬƉƌŽĚƵĐƚ ƉƌŽĚƵĐĞĚƉƵƌƐƵĂŶƚƚŽƚŚŝƐŐƌĞĞŵĞŶƚ͘ dŚĞŝƚLJ͛ƐŽƌŽƚŚĞƌ͛Ɛ
ĂĚĂƉƚĂƚŝŽŶ͕ŵŽĚŝĨŝĐĂƚŝŽŶŽƌƵƐĞŽĨƚŚĞĨŝŶĂůǁŽƌŬƉƌŽĚƵĐƚƐŽƚŚĞƌƚŚĂŶĨŽƌƚŚĞƉƵƌƉŽƐĞƐŽĨ
ƚŚŝƐŐƌĞĞŵĞŶƚƐŚĂůůďĞǁŝƚŚŽƵƚůŝĂďŝůŝƚLJƚŽƚŚĞŽŶƐƵůƚĂŶƚ͘dŚĞƉƌŽǀŝƐŝŽŶƐŽĨƚŚŝƐƐĞĐƚŝŽŶ
ƐŚĂůůƐƵƌǀŝǀĞƚŚĞĞdžƉŝƌĂƚŝŽŶŽƌƚĞƌŵŝŶĂƚŝŽŶŽĨƚŚŝƐŐƌĞĞŵĞŶƚ͘
ϳ͘ ZĞĐŽƌĚ DĂŝŶƚĞŶĂŶĐĞ͗ dŚĞ ŽŶƐƵůƚĂŶƚ ƐŚĂůů ŵĂŝŶƚĂŝŶ ĂĐĐŽƵŶƚƐ ĂŶĚ ƌĞĐŽƌĚƐ͕ ǁŚŝĐŚ
ƉƌŽƉĞƌůLJ ƌĞĨůĞĐƚ Ăůů ĚŝƌĞĐƚ ĂŶĚ ŝŶĚŝƌĞĐƚ ĐŽƐƚƐ ĞdžƉĞŶĚĞĚ ĂŶĚ tŽƌŬƉƌŽǀŝĚĞĚŝŶƚŚĞ
ƉĞƌĨŽƌŵĂŶĐĞŽĨƚŚŝƐŐƌĞĞŵĞŶƚ ĂŶĚ ƌĞƚĂŝŶƐƵĐŚƌĞĐŽƌĚƐĨŽƌĂƐůŽŶŐĂƐŵĂLJďĞƌĞƋƵŝƌĞĚďLJ
ĂƉƉůŝĐĂďůĞtĂƐŚŝŶŐƚŽŶ^ƚĂƚĞƌĞĐŽƌĚƐƌĞƚĞŶƚŝŽŶůĂǁƐ͕ďƵƚŝŶĂŶLJĞǀĞŶƚŶŽůĞƐƐƚŚĂŶƐŝdž
LJĞĂƌƐĂĨƚĞƌƚŚĞƚĞƌŵŝŶĂƚŝŽŶŽĨƚŚŝƐŐƌĞĞŵĞŶƚ͘dŚĞŽŶƐƵůƚĂŶƚĂŐƌĞĞƐƚŽƉƌŽǀŝĚĞĂĐĐĞƐƐ
ƚŽ ĂŶĚĐŽƉŝĞƐŽĨĂŶLJƌĞĐŽƌĚƐƌĞůĂƚĞĚƚŽƚŚŝƐŐƌĞĞŵĞŶƚĂƐƌĞƋƵŝƌĞĚďLJƚŚĞŝƚLJƚŽĂƵĚŝƚ
ĞdžƉĞŶĚŝƚƵƌĞƐĂŶĚĐŚĂƌŐĞƐĂŶĚͬŽƌƚŽĐŽŵƉůLJǁŝƚŚƚŚĞtĂƐŚŝŶŐƚŽŶ^ƚĂƚĞWƵďůŝĐZĞĐŽƌĚƐĐƚ
;ŚĂƉƚĞƌ ϰϮ͘ϱϲ ZtͿ͘ dŚĞ ƉƌŽǀŝƐŝŽŶƐ ŽĨ ƚŚŝƐ ƐĞĐƚŝŽŶ ƐŚĂůů ƐƵƌǀŝǀĞ ƚŚĞ ĞdžƉŝƌĂƚŝŽŶ Žƌ
ƚĞƌŵŝŶĂƚŝŽŶŽĨƚŚŝƐŐƌĞĞŵĞŶƚ͘
ϴ͘ WƵďůŝĐZĞĐŽƌĚƐŽŵƉůŝĂŶĐĞ͗dŽƚŚĞĨƵůůĞdžƚĞŶƚƚŚĞŝƚLJĚĞƚĞƌŵŝŶĞƐŶĞĐĞƐƐĂƌLJƚŽĐŽŵƉůLJ
ǁŝƚŚƚŚĞtĂƐŚŝŶŐƚŽŶ^ƚĂƚĞWƵďůŝĐZĞĐŽƌĚƐĐƚ͕ŽŶƐƵůƚĂŶƚƐŚĂůůŵĂŬĞĂĚƵĞĚŝůŝŐĞŶƚƐĞĂƌĐŚ
ŽĨ Ăůů ƌĞĐŽƌĚƐ ŝŶ ŝƚƐ ƉŽƐƐĞƐƐŝŽŶ Žƌ ĐŽŶƚƌŽů ƌĞůĂƚŝŶŐƚŽ ƚŚŝƐ ŐƌĞĞŵĞŶƚ ĂŶĚ ƚŚĞ tŽƌŬ͕
ŝŶĐůƵĚŝŶŐ͕ďƵƚŶŽƚůŝŵŝƚĞĚƚŽ͕ĞͲŵĂŝů͕ĐŽƌƌĞƐƉŽŶĚĞŶĐĞ͕ŶŽƚĞƐ͕ƐĂǀĞĚƚĞůĞƉŚŽŶĞŵĞƐƐĂŐĞƐ͕
ƌĞĐŽƌĚŝŶŐƐ͕ƉŚŽƚŽƐ͕ŽƌĚƌĂǁŝŶŐƐĂŶĚƉƌŽǀŝĚĞƚŚĞŵƚŽƚŚĞŝƚLJĨŽƌƉƌŽĚƵĐƚŝŽŶ͘/ŶƚŚĞĞǀĞŶƚ
ŽŶƐƵůƚĂŶƚ ďĞůŝĞǀĞƐ ƐĂŝĚ ƌĞĐŽƌĚƐ ŶĞĞĚ ƚŽ ďĞ ƉƌŽƚĞĐƚĞĚ ĨƌŽŵ ĚŝƐĐůŽƐƵƌĞ͕ ŝƚ ŵĂLJ͕ Ăƚ
ŽŶƐƵůƚĂŶƚ͛ƐŽǁŶĞdžƉĞŶƐĞ͕ƐĞĞŬũƵĚŝĐŝĂůƉƌŽƚĞĐƚŝŽŶ͘ŽŶƐƵůƚĂŶƚƐŚĂůůŝŶĚĞŵŶŝĨLJ͕ĚĞĨĞŶĚ͕
ĂŶĚŚŽůĚŚĂƌŵůĞƐƐƚŚĞŝƚLJĨŽƌĂůůĐŽƐƚƐ͕ŝŶĐůƵĚŝŶŐĂƚƚŽƌŶĞLJƐ͛ĨĞĞƐ͕ĂƚƚĞŶĚĂŶƚƚŽĂŶLJĐůĂŝŵ
ŽƌůŝƚŝŐĂƚŝŽŶƌĞůĂƚĞĚƚŽĂWƵďůŝĐZĞĐŽƌĚƐĐƚƌĞƋƵĞƐƚĨŽƌǁŚŝĐŚŽŶƐƵůƚĂŶƚŚĂƐƌĞƐƉŽŶƐŝǀĞ
ƌĞĐŽƌĚƐĂŶĚĨŽƌǁŚŝĐŚŽŶƐƵůƚĂŶƚŚĂƐǁŝƚŚŚĞůĚƌĞĐŽƌĚƐŽƌŝŶĨŽƌŵĂƚŝŽŶĐŽŶƚĂŝŶĞĚƚŚĞƌĞŝŶ͕
Žƌ ŶŽƚ ƉƌŽǀŝĚĞĚ ƚŚĞŵ ƚŽ ƚŚĞ ŝƚLJ ŝŶ Ă ƚŝŵĞůLJ ŵĂŶŶĞƌ͘ ŽŶƐƵůƚĂŶƚƐŚĂůů ƉƌŽĚƵĐĞ ĨŽƌ
ĚŝƐƚƌŝďƵƚŝŽŶĂŶLJĂŶĚĂůůƌĞĐŽƌĚƐƌĞƐƉŽŶƐŝǀĞƚŽƚŚĞWƵďůŝĐZĞĐŽƌ ĚƐĐƚƌĞƋƵĞƐƚŝŶĂƚŝŵĞůLJ
ŵĂŶŶĞƌ͕ƵŶůĞƐƐƚŚŽƐĞƌĞĐŽƌĚƐĂƌĞƉƌŽƚĞĐƚĞĚďLJĐŽƵƌƚŽƌĚĞƌ͘ dŚĞƉƌŽǀŝƐŝŽŶƐŽĨƚŚŝƐƐĞĐƚŝŽŶ
ƐŚĂůůƐƵƌǀŝǀĞƚŚĞĞdžƉŝƌĂƚŝŽŶŽƌƚĞƌŵŝŶĂƚŝŽŶŽĨƚŚŝƐŐƌĞĞŵĞŶƚ͘
ϵ͘ /ŶĚĞƉĞŶĚĞŶƚŽŶƚƌĂĐƚŽƌ ZĞůĂƚŝŽŶƐŚŝƉ͗
"!#
W'ϰ K&ϭϭ
͘ dŚĞŽŶƐƵůƚĂŶƚŝƐƌĞƚĂŝŶĞĚďLJƚŚĞŝƚLJŽŶůLJĨŽƌƚŚĞƉƵƌƉŽƐĞƐĂŶĚƚŽƚŚĞĞdžƚĞŶƚƐĞƚĨŽƌƚŚ
ŝŶƚŚŝƐŐƌĞĞŵĞŶƚ͘dŚĞŶĂƚƵƌĞŽĨƚŚĞƌĞůĂƚŝŽŶƐŚŝƉďĞƚǁĞĞŶƚŚĞŽŶƐƵůƚĂŶƚĂŶĚƚŚĞŝƚLJ
ĚƵƌŝŶŐ ƚŚĞ ƉĞƌŝŽĚ ŽĨ ƚŚĞ tŽƌŬ ƐŚĂůů ďĞ ƚŚĂƚ ŽĨ ĂŶ ŝŶĚĞƉĞŶĚĞŶƚ ĐŽŶƚƌĂĐƚŽƌ͕ ŶŽƚ
ĞŵƉůŽLJĞĞ͘dŚĞŽŶƐƵůƚĂŶƚ͕ŶŽƚƚŚĞŝƚLJ͕ƐŚĂůůŚĂǀĞƚŚĞƉŽǁĞƌƚŽĐŽŶƚƌŽůĂŶĚĚŝƌĞĐƚƚŚĞ
ĚĞƚĂŝůƐ͕ŵĂŶŶĞƌŽƌŵĞĂŶƐŽĨtŽƌŬ͘^ƉĞĐŝĨŝĐĂůůLJ͕ďƵƚŶŽƚďLJŵĞĂŶƐŽĨůŝŵŝƚĂƚŝŽŶ͕ƚŚĞ
ŽŶƐƵůƚĂŶƚ ƐŚĂůů ŚĂǀĞ ŶŽ ŽďůŝŐĂƚŝŽŶ ƚŽ ǁŽƌŬ ĂŶLJ ƉĂƌƚŝĐƵůĂƌ ŚŽƵƌƐ Žƌ ƉĂƌƚŝĐƵůĂƌ
ƐĐŚĞĚƵůĞ͕ ƵŶůĞƐƐŽƚŚĞƌǁŝƐĞŝŶĚŝĐĂƚĞĚŝŶƚŚĞ^ĐŽƉĞŽĨtŽƌŬŽƌǁŚĞƌĞƐĐŚĞĚƵůŝŶŐŽĨ
ĂƚƚĞŶĚĂŶĐĞŽƌƉĞƌĨŽƌŵĂŶĐĞŝƐŵƵƚƵĂůůLJĂƌƌĂŶŐĞĚĚƵĞƚŽƚŚĞŶĂƚƵƌĞŽĨƚŚĞtŽƌŬ͘
ŽŶƐƵůƚĂŶƚƐŚĂůůƌĞƚĂŝŶƚŚĞƌŝŐŚƚƚŽĚĞƐŝŐŶĂƚĞƚŚĞŵĞĂŶƐŽĨƉĞƌĨŽƌŵŝŶŐƚŚĞtŽƌŬ
ĐŽǀĞƌĞĚďLJƚŚŝƐĂŐƌĞĞŵĞŶƚ͕ĂŶĚƚŚĞŽŶƐƵůƚĂŶƚƐŚĂůůďĞĞŶƚŝƚůĞĚƚŽĞŵƉůŽLJŽƚŚĞƌ
ǁŽƌŬĞƌƐĂƚƐƵĐŚĐŽŵƉĞŶƐĂƚŝŽŶĂŶĚƐƵĐŚŽƚŚĞƌĐŽŶĚŝƚŝŽŶƐĂƐŝƚŵĂLJĚĞĞŵƉƌŽƉĞƌ͕
ƉƌŽǀŝĚĞĚ͕ŚŽǁĞǀĞƌ͕ƚŚĂƚĂŶLJĐŽŶƚƌĂĐƚƐŽŵĂĚĞďLJƚŚĞŽŶƐƵůƚĂŶƚŝƐƚŽďĞƉĂŝĚďLJŝƚ
ĂůŽŶĞ͕ĂŶĚƚŚĂƚĞŵƉůŽLJŝŶŐƐƵĐŚǁŽƌŬĞƌƐ͕ŝƚŝƐĂĐƚŝŶŐŝŶĚŝǀŝĚƵĂůůLJĂŶĚŶŽƚĂƐĂŶĂŐĞŶƚ
ĨŽƌƚŚĞŝƚLJ͘
͘ dŚĞŝƚLJƐŚĂůůŶŽƚďĞƌĞƐƉŽŶƐŝďůĞĨŽƌǁŝƚŚŚŽůĚŝŶŐŽƌŽƚŚĞƌǁŝƐĞĚĞĚƵĐƚŝŶŐĨĞĚĞƌĂů
ŝŶĐŽŵĞ ƚĂdž Žƌ ^ŽĐŝĂů ^ĞĐƵƌŝƚLJ Žƌ ĐŽŶƚƌŝďƵƚŝŶŐ ƚŽ ƚŚĞ ^ƚĂƚĞ /ŶĚƵƐƚƌŝĂů /ŶƐƵƌĂŶĐĞ
WƌŽŐƌĂŵ͕ŽƌŽƚŚĞƌǁŝƐĞĂƐƐƵŵŝŶŐƚŚĞĚƵƚŝĞƐŽĨĂŶĞŵƉůŽLJĞƌǁŝƚŚƌĞƐƉĞĐƚƚŽŽŶƐƵůƚĂŶƚ
ŽƌĂŶLJĞŵƉůŽLJĞĞŽĨƚŚĞŽŶƐƵůƚĂŶƚ͘
͘ /ĨƚŚĞŽŶƐƵůƚĂŶƚŝƐĂƐŽůĞƉƌŽƉƌŝĞƚŽƌƐŚŝƉŽƌŝĨƚŚŝƐŐƌĞĞŵĞŶƚŝƐǁŝƚŚĂŶŝŶĚŝǀŝĚƵĂů͕ƚŚĞ
ŽŶƐƵůƚĂŶƚĂŐƌĞĞƐƚŽŶŽƚŝĨLJƚŚĞŝƚLJĂŶĚĐŽŵƉůĞƚĞĂŶLJƌĞƋƵŝƌĞĚĨŽƌŵŝĨƚŚĞŽŶƐƵůƚĂŶƚ
ƌĞƚŝƌĞĚƵŶĚĞƌĂ^ƚĂƚĞŽĨtĂƐŚŝŶŐƚŽŶƌĞƚŝƌĞŵĞŶƚƐLJƐƚĞŵĂŶĚĂŐƌĞĞƐƚŽŝŶĚĞŵŶŝĨLJĂŶLJ
ůŽƐƐĞƐƚŚĞŝƚLJŵĂLJƐƵƐƚĂŝŶƚŚƌŽƵŐŚƚŚĞŽŶƐƵůƚĂŶƚ͛ƐĨĂŝůƵƌĞƚŽĚŽƐŽ͘
ϭϬ͘ ,ŽůĚ,ĂƌŵůĞƐƐ͗ dŚĞŽŶƐƵůƚĂŶƚĂŐƌĞĞƐƚŽƌĞůĞĂƐĞ͕ŝŶĚĞŵŶŝĨLJ͕ĚĞĨĞŶĚ͕ĂŶĚŚŽůĚŚĂƌŵůĞƐƐ
ƚŚĞŝƚLJ͕ĞůĞĐƚĞĚŽĨĨŝĐŝĂůƐ͕ĞŵƉůŽLJĞĞƐ͕ŽĨĨŝĐĞƌƐ͕ƌĞƉƌĞƐĞŶƚĂƚŝǀĞƐ͕ĂŶĚǀŽůƵŶƚĞĞƌƐ ĨƌŽŵĂŶLJ
ĂŶĚ Ăůů ĐůĂŝŵƐ͕ ĚĞŵĂŶĚƐ͕ ĂĐƚŝŽŶƐ͕ ƐƵŝƚƐ͕ ĐĂƵƐĞƐ ŽĨ ĂĐƚŝŽŶ͕ ĂƌďŝƚƌĂƚŝŽŶƐ͕ ŵĞĚŝĂƚŝŽŶƐ͕
ƉƌŽĐĞĞĚŝŶŐƐ͕ũƵĚŐŵĞŶƚƐ͕ĂǁĂƌĚƐ͕ŝŶũƵƌŝĞƐ͕ĚĂŵĂŐĞƐ͕ůŝĂďŝůŝƚŝĞƐ͕ƚĂdžĞƐ͕ůŽƐƐĞƐ͕ĨŝŶĞƐ͕ĨĞĞƐ͕
ƉĞŶĂůƚŝĞƐ͕ ĞdžƉĞŶƐĞƐ͕ĂƚƚŽƌŶĞLJ͛ƐŽƌĂƚƚŽƌŶĞLJƐ͛ĨĞĞƐ͕ĐŽƐƚƐ͕ĂŶĚͬŽƌůŝƚŝŐĂƚŝŽŶĞdžƉĞŶƐĞƐƚŽŽƌ
ďLJĂŶLJĂŶĚĂůůƉĞƌƐŽŶƐŽƌĞŶƚŝƚŝĞƐ͕ĂƌŝƐŝŶŐĨƌŽŵ͕ƌĞƐƵůƚŝŶŐĨƌŽŵ͕ŽƌƌĞůĂƚĞĚƚŽƚŚĞ ŶĞŐůŝŐĞŶƚ
ĂĐƚƐ͕ĞƌƌŽƌƐŽƌŽŵŝƐƐŝŽŶƐŽĨƚŚĞŽŶƐƵůƚĂŶƚŝŶŝƚƐƉĞƌĨŽƌŵĂŶĐĞŽĨƚŚŝƐŐƌĞĞŵĞŶƚ ŽƌĂ
ďƌĞĂĐŚŽĨƚŚŝƐŐƌĞĞŵĞŶƚďLJŽŶƐƵůƚĂŶƚ͕ĞdžĐĞƉƚĨŽƌƚŚĂƚƉŽƌƚŝŽŶŽĨƚŚĞĐůĂŝŵƐĐĂƵƐĞĚďLJ
ƚŚĞŝƚLJ͛ƐƐŽůĞŶĞŐůŝŐĞŶĐĞ͘
^ŚŽƵůĚĂĐŽƵƌƚŽĨĐŽŵƉĞƚĞŶƚũƵƌŝƐĚŝĐƚŝŽŶĚĞƚĞƌŵŝŶĞƚŚĂƚƚŚŝƐĂŐ ƌĞĞŵĞŶƚŝƐƐƵďũĞĐƚƚŽZt
ϰ͘Ϯϰ͘ϭϭϱ͕;sĂůŝĚŝƚLJŽĨĂŐƌĞĞŵĞŶƚƚŽŝŶĚĞŵŶŝĨLJĂŐĂŝŶƐƚůŝĂďŝůŝƚLJĨŽƌŶĞŐůŝŐĞŶĐĞƌĞůĂƚŝǀĞƚŽ
ĐŽŶƐƚƌƵĐƚŝŽŶ͕ĂůƚĞƌĂƚŝŽŶ͕ŝŵƉƌŽǀĞŵĞŶƚ͕ĞƚĐ͕͘ŽĨƐƚƌƵĐƚƵƌĞŽƌŝŵƉƌŽǀĞŵĞŶƚĂƚƚĂĐŚĞĚƚŽƌĞĂů
ĞƐƚĂƚĞ͙ͿƚŚĞŶ͕ŝŶƚŚĞĞǀĞŶƚŽĨůŝĂďŝůŝƚLJĨŽƌĚĂŵĂŐĞƐĂƌŝƐŝŶŐŽƵƚŽĨďŽĚŝůLJŝŶũƵƌLJƚŽƉĞƌƐŽŶƐ
ŽƌĚĂŵĂŐĞƐƚŽƉƌŽƉĞƌƚLJĐĂƵƐĞĚďLJŽƌƌĞƐƵůƚŝŶŐĨƌŽŵƚŚĞĐŽŶĐƵƌƌĞŶƚŶĞŐůŝŐĞŶĐĞŽĨƚŚĞ
ŽŶƐƵůƚĂŶƚĂŶĚƚŚĞŝƚLJ͕ŝƚƐŽĨĨŝĐĞƌƐ͕ŽĨĨŝĐŝĂůƐ͕ĞŵƉůŽLJĞĞƐĂŶĚǀŽůƵŶƚĞĞƌƐ͕ŽŶƐƵůƚĂŶƚ͛Ɛ
ůŝĂďŝůŝƚLJƐŚĂůůďĞŽŶůLJƚŽƚŚĞĞdžƚĞŶƚŽĨŽŶƐƵůƚĂŶƚ͛ƐŶĞŐůŝŐĞŶĐĞ͘
"!#
W'ϱ K&ϭϭ
/ƚŝƐĨƵƌƚŚĞƌƐƉĞĐŝĨŝĐĂůůLJĂŶĚĞdžƉƌĞƐƐůLJƵŶĚĞƌƐƚŽŽĚƚŚĂƚƚŚĞŝŶĚĞŵŶŝĨŝĐĂƚŝŽŶƉƌŽǀŝĚĞĚŝŶ
ƚŚŝƐ ŐƌĞĞŵĞŶƚ ĐŽŶƐƚŝƚƵƚĞ ŽŶƐƵůƚĂŶƚ͛Ɛ ǁĂŝǀĞƌ ŽĨ ŝŵŵƵŶŝƚLJ ƵŶĚĞƌ ƚŚĞ /ŶĚƵƐƚƌŝĂů
/ŶƐƵƌĂŶĐĞĐƚ͕ZtdŝƚůĞϱϭ͕ƐŽůĞůLJĨŽƌƚŚĞƉƵƌƉŽƐĞƐŽĨƚŚŝƐŝŶĚĞŵŶŝĨŝĐĂƚŝŽŶ͘dŚĞWĂƌƚŝĞƐ
ŚĂǀĞŵƵƚƵĂůůLJŶĞŐŽƚŝĂƚĞĚĂŶĚĂŐƌĞĞĚƚŽƚŚŝƐǁĂŝǀĞƌ͘dŚĞƉƌŽǀŝƐŝŽŶƐŽĨƚŚŝƐƐĞĐƚŝŽŶƐŚĂůů
ƐƵƌǀŝǀĞƚŚĞĞdžƉŝƌĂƚŝŽŶŽƌƚĞƌŵŝŶĂƚŝŽŶŽĨƚŚŝƐŐƌĞĞŵĞŶƚ͘
ϭϭ͘ 'ŝĨƚƐĂŶĚŽŶĨůŝĐƚƐ͗ dŚĞŝƚLJ͛ƐŽĚĞŽĨƚŚŝĐƐĂŶĚtĂƐŚŝŶŐƚŽŶ^ƚĂƚĞůĂǁƉƌŽŚŝďŝƚŝƚLJ
ĞŵƉůŽLJĞĞƐĨƌŽŵƐŽůŝĐŝƚŝŶŐ͕ĂĐĐĞƉƚŝŶŐ͕ŽƌƌĞĐĞŝǀŝŶŐĂŶLJŐŝĨƚ͕ŐƌĂƚƵŝƚLJŽƌĨĂǀŽƌĨƌŽŵĂŶLJ
ƉĞƌƐŽŶ͕ĨŝƌŵŽƌĐŽƌƉŽƌĂƚŝŽŶŝŶǀŽůǀĞĚŝŶĂĐŽŶƚƌĂĐƚŽƌƚƌĂŶƐĂĐƚŝŽŶ͘dŽĞŶƐƵƌĞĐŽŵƉůŝĂŶĐĞ
ǁŝƚŚƚŚĞŝƚLJ͛Ɛ ŽĚĞŽĨƚŚŝĐƐĂŶĚƐƚĂƚĞůĂǁ͕ƚŚĞŽŶƐƵůƚĂŶƚƐŚĂůůŶŽƚŐŝǀĞĂŐŝĨƚŽĨĂŶLJŬŝŶĚ
ƚŽŝƚLJĞŵƉůŽLJĞĞƐŽƌŽĨĨŝĐŝĂůƐ͘ ŽŶƐƵůƚĂŶƚĂůƐŽĐŽŶĨŝƌŵƐƚŚĂƚŽŶƐƵůƚĂŶƚĚŽĞƐŶŽƚŚĂǀĞĂ
ďƵƐŝŶĞƐƐŝŶƚĞƌĞƐƚŽƌĂĐůŽƐĞĨĂŵŝůLJƌĞůĂƚŝŽŶƐŚŝƉǁŝƚŚĂŶLJŝƚLJŽĨĨŝĐĞƌŽƌĞŵƉůŽLJĞĞǁŚŽǁĂƐ͕
ŝƐ͕ Žƌ ǁŝůů ďĞ ŝŶǀŽůǀĞĚ ŝŶ ƐĞůĞĐƚŝŶŐ ƚŚĞ ŽŶƐƵůƚĂŶƚ͕ ŶĞŐŽƚŝĂƚŝŶŐ Žƌ ĂĚŵŝŶŝƐƚĞƌŝŶŐ ƚŚŝƐ
ŐƌĞĞŵĞŶƚ͕ŽƌĞǀĂůƵĂƚŝŶŐƚŚĞŽŶƐƵůƚĂŶƚ͛ƐƉĞƌĨŽƌŵĂŶĐĞŽĨƚŚĞtŽƌŬ͘
ϭϮ͘ ŝƚLJŽĨZĞŶƚŽŶƵƐŝŶĞƐƐ>ŝĐĞŶƐĞ͗ dŚĞŽŶƐƵůƚĂŶƚƐŚĂůůŽďƚĂŝŶĂŝƚLJŽĨZĞŶƚŽŶƵƐŝŶĞƐƐ
>ŝĐĞŶƐĞƉƌŝŽƌƚŽƉĞƌĨŽƌŵŝŶŐĂŶLJtŽƌŬ ĂŶĚŵĂŝŶƚĂŝŶƚŚĞďƵƐŝŶĞƐƐůŝĐĞŶƐĞŝŶŐŽŽĚƐƚĂŶĚŝŶŐ
ƚŚƌŽƵŐŚŽƵƚƚŚĞƚĞƌŵŽĨƚŚŝƐĂŐƌĞĞŵĞŶƚǁŝƚŚƚŚĞŝƚLJ͘
/ŶĨŽƌŵĂƚŝŽŶƌĞŐĂƌĚŝŶŐĂĐƋƵŝƌŝŶŐĂĐŝƚLJďƵƐŝŶĞƐƐůŝĐĞŶƐĞ ĐĂŶďĞĨŽƵŶĚĂƚ͗
ŚƚƚƉƐ͗ͬͬǁǁǁ͘ƌĞŶƚŽŶǁĂ͘ŐŽǀͬŝƚLJͲ^ĞƌǀŝĐĞƐͬƵƐŝŶĞƐƐͲZĞƐŽƵƌĐĞƐͬƵƐŝŶĞƐƐͲ>ŝĐĞŶƐĞƐ͘
/ŶĨŽƌŵĂƚŝŽŶƌĞŐĂƌĚŝŶŐ^ƚĂƚĞďƵƐŝŶĞƐƐůŝĐĞŶƐŝŶŐƌĞƋƵŝƌĞŵĞŶƚƐĐĂŶďĞĨŽƵŶĚĂƚ͗
ŚƚƚƉƐ͗ͬͬĚŽƌ͘ǁĂ͘ŐŽǀͬŽƉĞŶͲďƵƐŝŶĞƐƐͬĂƉƉůLJͲďƵƐŝŶĞƐƐͲůŝĐĞŶƐĞ
ϭϯ͘ /ŶƐƵƌĂŶĐĞ͗ ŽŶƐƵůƚĂŶƚƐŚĂůůƐĞĐƵƌĞĂŶĚŵĂŝŶƚĂŝŶ͗
͘ ŽŵŵĞƌĐŝĂůŐĞŶĞƌĂůůŝĂďŝůŝƚLJŝŶƐƵƌĂŶĐĞŝŶƚŚĞŵŝŶŝŵƵŵĂŵŽƵŶƚƐŽĨΨϭ͕ϬϬϬ͕ϬϬϬĨŽƌ
ĞĂĐŚŽĐĐƵƌƌĞŶĐĞͬΨϮ͕ϬϬϬ͕ϬϬϬĂŐŐƌĞŐĂƚĞĨŽƌƚŚĞdĞƌŵŽĨƚŚŝƐŐƌĞĞŵĞŶƚ͘
͘ /Ŷ ƚŚĞ ĞǀĞŶƚ ƚŚĂƚ tŽƌŬ ĚĞůŝǀĞƌĞĚ ƉƵƌƐƵĂŶƚ ƚŽ ƚŚŝƐ ŐƌĞĞŵĞŶƚ ĞŝƚŚĞƌ ĚŝƌĞĐƚůLJ Žƌ
ŝŶĚŝƌĞĐƚůLJŝŶǀŽůǀĞŽƌƌĞƋƵŝƌĞWƌŽĨĞƐƐŝŽŶĂů^ĞƌǀŝĐĞƐ͕WƌŽĨĞƐƐŝŽŶĂů>ŝĂďŝůŝƚLJ͕ƌƌŽƌƐĂŶĚ
KŵŝƐƐŝŽŶƐ ĐŽǀĞƌĂŐĞ ƐŚĂůů ďĞ ƉƌŽǀŝĚĞĚ ǁŝƚŚ ŵŝŶŝŵƵŵ ůŝŵŝƚƐ ŽĨ Ψϭ͕ϬϬϬ͕ϬϬϬ ƉĞƌ
ŽĐĐƵƌƌĞŶĐĞ͘ΗWƌŽĨĞƐƐŝŽŶĂů^ĞƌǀŝĐĞƐΗ͕ ĨŽƌƚŚĞƉƵƌƉŽƐĞŽĨƚŚŝƐƐĞĐƚŝŽŶ͕ƐŚĂůůŵĞĂŶĂŶLJ
tŽƌŬ ƉƌŽǀŝĚĞĚ ďLJ Ă ůŝĐĞŶƐĞĚ ƉƌŽĨĞƐƐŝŽŶĂů Žƌ tŽƌŬ ƚŚĂƚ ƌĞƋƵŝƌĞƐ Ă ƉƌŽĨĞƐƐŝŽŶĂů
ƐƚĂŶĚĂƌĚŽĨĐĂƌĞ͘
͘ tŽƌŬĞƌƐ͛ĐŽŵƉĞŶƐĂƚŝŽŶĐŽǀĞƌĂŐĞ͕ĂƐƌĞƋƵŝƌĞĚďLJƚŚĞ/ŶĚƵƐƚƌŝĂů/ŶƐƵƌĂŶĐĞůĂǁƐŽĨƚŚĞ
^ƚĂƚĞŽĨtĂƐŚŝŶŐƚŽŶ͕ƐŚĂůůĂůƐŽďĞƐĞĐƵƌĞĚ͘
͘ ŽŵŵĞƌĐŝĂůƵƚŽŵŽďŝůĞ>ŝĂďŝůŝƚLJĨŽƌŽǁŶĞĚ͕ůĞĂƐĞĚ͕ŚŝƌĞĚŽƌŶŽŶͲŽǁŶĞĚ͕ůĞĂƐĞĚ͕ŚŝƌĞĚ
ŽƌŶŽŶͲŽǁŶĞĚ͕ǁŝƚŚŵŝŶŝŵƵŵůŝŵŝƚƐŽĨΨϭ͕ϬϬϬ͕ϬϬϬƉĞƌŽĐĐƵƌƌĞŶĐĞĐŽŵďŝŶĞĚƐŝŶŐůĞ
"!#
W'ϲ K&ϭϭ
ůŝŵŝƚ͕ŝĨƚŚĞƌĞǁŝůůďĞĂŶLJƵƐĞŽĨŽŶƐƵůƚĂŶƚ͛ƐǀĞŚŝĐůĞƐŽŶƚŚĞŝƚLJ͛ƐWƌĞŵŝƐĞƐďLJŽƌŽŶ
ďĞŚĂůĨŽĨƚŚĞŝƚLJ͕ďĞLJŽŶĚŶŽƌŵĂůĐŽŵŵƵƚĞƐ͘
͘ WŽůůƵƚŝŽŶ >ŝĂďŝůŝƚLJ /ŶƐƵƌĂŶĐĞ ǁŝƚŚ ŵŝŶŝŵƵŵ ƉŽůŝĐLJ ůŝŵŝƚƐ ŽĨ Ψϭ͕ϬϬϬ͕ϬϬϬ ĨŽƌ ĞĂĐŚ
ŽĐĐƵƌƌĞŶĐĞ͕ ǁŚĞŶ ǁŽƌŬ ƵŶĚĞƌ ƚŚŝƐ ŐƌĞĞŵĞŶƚ ŝŶǀŽůǀĞƐ Ă ƉŽůůƵƚŝŽŶƌŝƐŬƚŽƚŚĞ
ĞŶǀŝƌŽŶŵĞŶƚ͘WŽůůƵƚŝŽŶĐŽǀĞƌĂŐĞŵĂLJďĞŝŶĐůƵĚĞĚŝŶƚŚĞŐĞŶĞƌĂůůŝĂďŝůŝƚLJƉŽůŝĐLJ͘
&͘ hŵďƌĞůůĂ Žƌ džĐĞƐƐ >ŝĂďŝůŝƚLJ ŝŶƐƵƌĂŶĐĞ ŵĂLJ ďĞ ƵƐĞĚ ƚŽ ƌĞĂĐŚ ŵŝŶŝŵƵŵ ƌĞƋƵŝƌĞĚ
ĐŽǀĞƌĂŐĞůŝŵŝƚƐ͘
'͘ ŽŶƐƵůƚĂŶƚƐŚĂůůŶĂŵĞƚŚĞŝƚLJĂƐĂŶĚĚŝƚŝŽŶĂů/ŶƐƵƌĞĚŽŶŝƚƐĐŽŵŵĞƌĐŝĂůŐĞŶĞƌĂů
ůŝĂďŝůŝƚLJƉŽůŝĐLJŽŶĂŶŽŶͲĐŽŶƚƌŝďƵƚŽƌLJƉƌŝŵĂƌLJďĂƐŝƐ͘dŚĞŝƚLJ͛ƐŝŶƐƵƌĂŶĐĞƉŽůŝĐŝĞƐƐŚĂůů
ŶŽƚďĞĂƐŽƵƌĐĞĨŽƌƉĂLJŵĞŶƚŽĨĂŶLJŽŶƐƵůƚĂŶƚůŝĂďŝůŝƚLJ͕ŶŽƌƐŚĂůůƚŚĞŵĂŝŶƚĞŶĂŶĐĞŽĨ
ĂŶLJ ŝŶƐƵƌĂŶĐĞ ƌĞƋƵŝƌĞĚ ďLJ ƚŚŝƐ ŐƌĞĞŵĞŶƚ ďĞ ĐŽŶƐƚƌƵĞĚ ƚŽ ůŝŵŝƚƚŚĞ ůŝĂďŝůŝƚLJ ŽĨ
ŽŶƐƵůƚĂŶƚƚŽƚŚĞĐŽǀĞƌĂŐĞƉƌŽǀŝĚĞĚďLJƐƵĐŚŝŶƐƵƌĂŶĐĞŽƌŽƚŚĞƌǁŝƐĞůŝŵŝƚƚŚĞŝƚLJ͛Ɛ
ƌĞĐŽƵƌƐĞƚŽĂŶLJƌĞŵĞĚLJĂǀĂŝůĂďůĞĂƚůĂǁŽƌŝŶĞƋƵŝƚLJ͘
,͘ ^ƵďũĞĐƚƚŽƚŚĞŝƚLJ͛ƐƌĞǀŝĞǁĂŶĚĂĐĐĞƉƚĂŶĐĞ͕ĂĐĞƌƚŝĨŝĐĂƚĞŽĨŝŶƐƵƌĂŶĐĞƐŚŽǁŝŶŐƚŚĞ
ƉƌŽƉĞƌĞŶĚŽƌƐĞŵĞŶƚƐ͕ƐŚĂůůďĞĚĞůŝǀĞƌĞĚƚŽƚŚĞŝƚLJďĞĨŽƌĞƉĞƌĨŽƌŵŝŶŐƚŚĞtŽƌŬ͘ Ŷ
ƵƉĚĂƚĞĚĐĞƌƚŝĨŝĐĂƚĞƐŚĂůůďĞƉƌŽŵƉƚůLJƉƌŽǀŝĚĞĚƚŽZĞŶƚŽŶƵƉŽŶĂŶLJƉŽůŝĐLJĞdžƉŝƌĂƚŝŽŶ
ĨŽƌƚŚĞĚƵƌĂƚŝŽŶŽĨƚŚĞǁŽƌŬ͘
/͘ ŽŶƐƵůƚĂŶƚƐŚĂůůƉƌŽǀŝĚĞƚŚĞŝƚLJǁŝƚŚǁƌŝƚƚĞŶŶŽƚŝĐĞŽĨĂŶLJƉŽůŝĐLJĐĂŶĐĞůůĂƚŝŽŶ͕ǁŝƚŚŝŶ
ƚǁŽ;ϮͿďƵƐŝŶĞƐƐĚĂLJƐŽĨƚŚĞŝƌƌĞĐĞŝƉƚŽĨƐƵĐŚŶŽƚŝĐĞ͘
ϭϰ͘ ĞůĂLJƐ͗ ŽŶƐƵůƚĂŶƚ ŝƐ ŶŽƚ ƌĞƐƉŽŶƐŝďůĞ ĨŽƌ ĚĞůĂLJƐ ĐĂƵƐĞĚ ďLJ ĨĂĐƚŽƌƐ ďĞLJŽŶĚ ƚŚĞ
ŽŶƐƵůƚĂŶƚ͛ƐƌĞĂƐŽŶĂďůĞĐŽŶƚƌŽů͘tŚĞŶƐƵĐŚĚĞůĂLJƐďĞLJŽŶĚƚŚĞŽŶƐƵůƚĂŶƚ͛ƐƌĞĂƐŽŶĂďůĞ
ĐŽŶƚƌŽůŽĐĐƵƌ͕ƚŚĞŝƚLJĂŐƌĞĞƐƚŚĞŽŶƐƵůƚĂŶƚŝƐŶŽƚƌĞƐƉŽŶƐŝďůĞĨŽƌĚĂŵĂŐĞƐ͕ŶŽƌƐŚĂůůƚŚĞ
ŽŶƐƵůƚĂŶƚďĞĚĞĞŵĞĚƚŽďĞŝŶĚĞĨĂƵůƚŽĨƚŚĞŐƌĞĞŵĞŶƚ͘
ϭϱ͘ ^ƵĐĐĞƐƐŽƌƐĂŶĚƐƐŝŐŶƐ͗ EĞŝƚŚĞƌƚŚĞŝƚLJŶŽƌƚŚĞŽŶƐƵůƚĂŶƚƐŚĂůůĂƐƐŝŐŶ͕ƚƌĂŶƐĨĞƌŽƌ
ĞŶĐƵŵďĞƌĂŶLJƌŝŐŚƚƐ͕ĚƵƚŝĞƐŽƌŝŶƚĞƌĞƐƚƐĂĐĐƌƵŝŶŐĨƌŽŵƚŚŝƐŐƌĞĞŵĞŶƚ ǁŝƚŚŽƵƚ ƚŚĞ
ǁƌŝƚƚĞŶĐŽŶƐĞŶƚŽĨƚŚĞŽƚŚĞƌ͘
ϭϲ͘ EŽƚŝĐĞƐ͗ džĐĞƉƚĨŽƌ^ĞƌǀŝĐĞŽĨWƌŽĐĞƐƐ͕ĂŶLJŶŽƚŝĐĞƌĞƋƵŝƌĞĚƵŶĚĞƌƚŚŝƐŐƌĞĞŵĞŶƚǁŝůůďĞ
ŝŶǁƌŝƚŝŶŐ͕ĂĚĚƌĞƐƐĞĚƚŽƚŚĞĂƉƉƌŽƉƌŝĂƚĞƉĂƌƚLJĂƚƚŚĞĂĚĚƌĞƐƐǁŚŝĐŚĂƉƉĞĂƌƐďĞůŽǁ;ĂƐ
ŵŽĚŝĨŝĞĚŝŶǁƌŝƚŝŶŐĨƌŽŵƚŝŵĞƚŽƚŝŵĞďLJƐƵĐŚƉĂƌƚLJͿ͕ĂŶĚŐŝǀĞŶƉĞƌƐŽŶĂůůLJ͕ďLJƌĞŐŝƐƚĞƌĞĚ
ŽƌĐĞƌƚŝĨŝĞĚŵĂŝů͕ƌĞƚƵƌŶƌĞĐĞŝƉƚƌĞƋƵĞƐƚĞĚ͕ďLJĨĂĐƐŝŵŝůĞ͕ĞŵĂŝůŽƌďLJŶĂƚŝŽŶĂůůLJƌĞĐŽŐŶŝnjĞĚ
ŽǀĞƌŶŝŐŚƚĐŽƵƌŝĞƌƐĞƌǀŝĐĞ͘dŝŵĞƉĞƌŝŽĚĨŽƌŶŽƚŝĐĞƐƐŚĂůůďĞĚĞĞŵĞĚƚŽŚĂǀĞĐŽŵŵĞŶĐĞĚ
ƵƉŽŶƚŚĞĚĂƚĞŽĨƌĞĐĞŝƉƚ͕yWdĞŵĂŝůĂŶĚĨĂĐƐŝŵŝůĞĚĞůŝǀĞƌLJǁŝůůďĞĚĞĞŵĞĚƚŽŚĂǀĞ
ĐŽŵŵĞŶĐĞĚŽŶƚŚĞĨŝƌƐƚďƵƐŝŶĞƐƐĚĂLJĨŽůůŽǁŝŶŐƚƌĂŶƐŵŝƐƐŝŽŶ͘
"!#
W'ϳ K&ϭϭ
/dzK&ZEdKE
<ƌŝƐƚŝŶĂ>ŽǁƚŚŝĂŶ͕^ƵƌĨĂĐĞtĂƚĞƌŶŐŝŶĞĞƌ
ϭϬϱϱ^ŽƵƚŚ'ƌĂĚLJtĂLJ
ZĞŶƚŽŶ͕tϵϴϬϱϳ
WŚŽŶĞ͗;ϰϮϱͿϰϯϬͲϳϮϰϵ
ŬůŽǁƚŚŝĂŶΛƌĞŶƚŽŶǁĂ͘ŐŽǀ
&Ădž͗;ϰϮϱͿϰϯϬͲϳϮϰϭ
KE^h>dEd
ĚǁĂƌĚ,ŽƌǀĂƚŚ͕KǁŶĞƌ
ϲϱϭDĂƌŬĞƚ^ƚƌĞĞƚ
<ůĂŵĂƚŚ&ĂůůƐ͕KZϵϳϲϬϭ
WŚŽŶĞ͗;ϱϰϭͿϮϯϴͲϮϮϳϮ
ĞŚŽƌǀĂƚŚΛƚƌŵǀĐ͘ĐŽŵ
ŶĚƚŽŝƚLJůĞƌŬ
ŝƚLJĐůĞƌŬΛƌĞŶƚŽŶǁĂ͘ŐŽǀ
ϭϳ͘ ŝƐĐƌŝŵŝŶĂƚŝŽŶWƌŽŚŝďŝƚĞĚ͗džĐĞƉƚƚŽƚŚĞĞdžƚĞŶƚƉĞƌŵŝƚƚĞĚďLJĂďŽŶĂĨŝĚĞŽĐĐƵƉĂƚŝŽŶĂů
ƋƵĂůŝĨŝĐĂƚŝŽŶ͕ƚŚĞŽŶƐƵůƚĂŶƚĂŐƌĞĞƐĂƐĨŽůůŽǁƐ͗
͘ ŽŶƐƵůƚĂŶƚ͕ ĂŶĚ ŽŶƐƵůƚĂŶƚ͛Ɛ ĂŐĞŶƚƐ͕ ĞŵƉůŽLJĞĞƐ͕ ƌĞƉƌĞƐĞŶƚĂƚŝǀĞƐ͕ ĂŶĚ ǀŽůƵŶƚĞĞƌƐ
ǁŝƚŚƌĞŐĂƌĚƚŽƚŚĞtŽƌŬ ƉĞƌĨŽƌŵĞĚŽƌƚŽďĞƉĞƌĨŽƌŵĞĚƵŶĚĞƌƚŚŝƐŐƌĞĞŵĞŶƚ͕ƐŚĂůů
ŶŽƚĚŝƐĐƌŝŵŝŶĂƚĞŽŶƚŚĞďĂƐŝƐŽĨƌĂĐĞ͕ĐŽůŽƌ͕ƐĞdž͕ƌĞůŝŐŝŽŶ͕ŶĂƚŝŽŶĂůŝƚLJ͕ĐƌĞĞĚ͕ŵĂƌŝƚĂů
ƐƚĂƚƵƐ͕ƐĞdžƵĂůŽƌŝĞŶƚĂƚŝŽŶŽƌƉƌĞĨĞƌĞŶĐĞ͕ĂŐĞ;ĞdžĐĞƉƚŵŝŶŝŵƵŵĂŐĞĂŶĚƌĞƚŝƌĞŵĞŶƚ
ƉƌŽǀŝƐŝŽŶƐͿ͕ŚŽŶŽƌĂďůLJĚŝƐĐŚĂƌŐĞĚǀĞƚĞƌĂŶŽƌŵŝůŝƚĂƌLJƐƚĂƚƵƐ͕ŽƌƚŚĞƉƌĞƐĞŶĐĞŽĨĂŶLJ
ƐĞŶƐŽƌLJ͕ŵĞŶƚĂůŽƌƉŚLJƐŝĐĂůŚĂŶĚŝĐĂƉ͕ƵŶůĞƐƐďĂƐĞĚƵƉŽŶĂďŽŶĂĨŝĚĞŽĐĐƵƉĂƚŝŽŶĂů
ƋƵĂůŝĨŝĐĂƚŝŽŶŝŶƌĞůĂƚŝŽŶƐŚŝƉƚŽŚŝƌŝŶŐĂŶĚĞŵƉůŽLJŵĞŶƚ͕ŝŶĞŵƉůŽLJŵĞŶƚŽƌĂƉƉůŝĐĂƚŝŽŶ
ĨŽƌĞŵƉůŽLJŵĞŶƚ͕ƚŚĞĂĚŵŝŶŝƐƚƌĂƚŝŽŶŽĨƚŚĞĚĞůŝǀĞƌLJŽĨtŽƌŬ ŽƌĂŶLJŽƚŚĞƌďĞŶĞĨŝƚƐ
ƵŶĚĞƌƚŚŝƐŐƌĞĞŵĞŶƚ͕ŽƌƉƌŽĐƵƌĞŵĞŶƚŽĨŵĂƚĞƌŝĂůƐŽƌƐƵƉƉůŝĞƐ͘
͘ dŚĞŽŶƐƵůƚĂŶƚǁŝůůƚĂŬĞĂĨĨŝƌŵĂƚŝǀĞĂĐƚŝŽŶƚŽŝŶƐƵƌĞƚŚĂƚĂƉƉůŝĐĂŶƚƐĂƌĞĞŵƉůŽLJĞĚĂŶĚ
ƚŚĂƚĞŵƉůŽLJĞĞƐĂƌĞƚƌĞĂƚĞĚĚƵƌŝŶŐĞŵƉůŽLJŵĞŶƚǁŝƚŚŽƵƚƌĞŐĂƌĚƚŽƚŚĞŝƌƌĂĐĞ͕ĐƌĞĞĚ͕
ĐŽůŽƌ͕ ŶĂƚŝŽŶĂů ŽƌŝŐŝŶ͕ ƐĞdž͕ ĂŐĞ͕ ƐĞdžƵĂů ŽƌŝĞŶƚĂƚŝŽŶ͕ ƉŚLJƐŝĐĂů͕ ƐĞŶƐŽƌLJ Žƌ ŵĞŶƚĂů
ŚĂŶĚŝĐĂƉƐ͕ŽƌŵĂƌŝƚĂůƐƚĂƚƵƐ͘^ƵĐŚĂĐƚŝŽŶƐŚĂůůŝŶĐůƵĚĞ͕ďƵƚŶŽƚďĞůŝŵŝƚĞĚƚŽƚŚĞ
ĨŽůůŽǁŝŶŐĞŵƉůŽLJŵĞŶƚ͕ƵƉŐƌĂĚŝŶŐ͕ĚĞŵŽƚŝŽŶŽƌƚƌĂŶƐĨĞƌ͕ƌĞĐƌƵŝƚŵĞŶƚŽƌƌĞĐƌƵŝƚŵĞŶƚ
ĂĚǀĞƌƚŝƐŝŶŐ͕ůĂLJŽĨĨŽƌƚĞƌŵŝŶĂƚŝŽŶ͕ƌĂƚĞƐŽĨƉĂLJŽƌŽƚŚĞƌĨŽƌŵƐŽĨĐŽŵƉĞŶƐĂƚŝŽŶĂŶĚ
ƐĞůĞĐƚŝŽŶĨŽƌƚƌĂŝŶŝŶŐ͘
͘ /ĨƚŚĞŽŶƐƵůƚĂŶƚĨĂŝůƐƚŽĐŽŵƉůLJǁŝƚŚĂŶLJŽĨƚŚŝƐŐƌĞĞŵĞŶƚ͛ƐŶŽŶͲĚŝƐĐƌŝŵŝŶĂƚŝŽŶ
ƉƌŽǀŝƐŝŽŶƐ͕ƚŚĞŝƚLJƐŚĂůůŚĂǀĞƚŚĞƌŝŐŚƚ͕ĂƚŝƚƐŽƉƚŝŽŶ͕ƚŽĐĂŶĐĞůƚŚĞŐƌĞĞŵĞŶƚŝŶ
ǁŚŽůĞŽƌŝŶƉĂƌƚ͘
͘ dŚĞŽŶƐƵůƚĂŶƚŝƐƌĞƐƉŽŶƐŝďůĞƚŽďĞĂǁĂƌĞŽĨĂŶĚŝŶĐŽŵƉůŝĂŶĐĞǁŝƚŚĂůůĨĞĚĞƌĂů͕ƐƚĂƚĞ
ĂŶĚůŽĐĂůůĂǁƐĂŶĚƌĞŐƵůĂƚŝŽŶƐƚŚĂƚŵĂLJĂĨĨĞĐƚƚŚĞƐĂƚŝƐĨĂĐƚŽƌLJĐŽŵƉůĞƚŝŽŶŽĨƚŚĞ
ƉƌŽũĞĐƚ͕ǁŚŝĐŚŝŶĐůƵĚĞƐďƵƚŝƐŶŽƚůŝŵŝƚĞĚƚŽĨĂŝƌůĂďŽƌůĂǁƐ͕ ǁŽƌŬĞƌΖƐĐŽŵƉĞŶƐĂƚŝŽŶ͕
ĂŶĚdŝƚůĞs/ŽĨƚŚĞ&ĞĚĞƌĂůŝǀŝůZŝŐŚƚƐĐƚŽĨϭϵϲϰ͕ĂŶĚǁŝůůĐŽŵƉůLJǁŝƚŚŝƚLJŽĨZĞŶƚŽŶ
ŽƵŶĐŝůZĞƐŽůƵƚŝŽŶEƵŵďĞƌϰϬϴϱ͘
"!#
W'ϴ K&ϭϭ
ϭϴ͘ DŝƐĐĞůůĂŶĞŽƵƐ͗dŚĞƉĂƌƚŝĞƐŚĞƌĞďLJĂĐŬŶŽǁůĞĚŐĞ͗
͘ dŚĞŝƚLJ ŝƐŶŽƚƌĞƐƉŽŶƐŝďůĞƚŽƚƌĂŝŶŽƌƉƌŽǀŝĚĞƚƌĂŝŶŝŶŐĨŽƌŽŶƐƵůƚĂŶƚ͘
͘ ŽŶƐƵůƚĂŶƚǁŝůůŶŽƚďĞƌĞŝŵďƵƌƐĞĚĨŽƌũŽďƌĞůĂƚĞĚĞdžƉĞŶƐĞƐ ĞdžĐĞƉƚƚŽƚŚĞĞdžƚĞŶƚ
ƐƉĞĐŝĨŝĐĂůůLJĂŐƌĞĞĚǁŝƚŚŝŶƚŚĞĂƚƚĂĐŚĞĚĞdžŚŝďŝƚƐ͘
͘ ŽŶƐƵůƚĂŶƚƐŚĂůůĨƵƌŶŝƐŚĂůůƚŽŽůƐĂŶĚͬŽƌŵĂƚĞƌŝĂůƐŶĞĐĞƐƐĂƌLJƚŽƉĞƌĨŽƌŵƚŚĞ tŽƌŬ
ĞdžĐĞƉƚƚŽƚŚĞĞdžƚĞŶƚƐƉĞĐŝĨŝĐĂůůLJĂŐƌĞĞĚǁŝƚŚŝŶƚŚĞĂƚƚĂĐŚĞĚĞdžŚŝďŝƚƐ͘
͘ /ŶƚŚĞĞǀĞŶƚƐƉĞĐŝĂůƚƌĂŝŶŝŶŐ͕ůŝĐĞŶƐŝŶŐ͕ŽƌĐĞƌƚŝĨŝĐĂƚŝŽŶŝƐƌĞƋƵŝƌĞĚĨŽƌŽŶƐƵůƚĂŶƚƚŽ
ƉƌŽǀŝĚĞtŽƌŬ ŚĞͬƐŚĞǁŝůůĂĐƋƵŝƌĞŽƌŵĂŝŶƚĂŝŶƐƵĐŚĂƚŚŝƐͬŚĞƌŽǁŶĞdžƉĞŶƐĞĂŶĚ͕ŝĨ
ŽŶƐƵůƚĂŶƚĞŵƉůŽLJƐ͕ƐƵďͲĐŽŶƚƌĂĐƚƐ͕ŽƌŽƚŚĞƌǁŝƐĞĂƐƐŝŐŶƐƚŚĞƌĞƐƉŽŶƐŝďŝůŝƚLJƚŽƉĞƌĨŽƌŵ
ƚŚĞtŽƌŬ͕ƐĂŝĚĞŵƉůŽLJĞĞͬƐƵďͲĐŽŶƚƌĂĐƚŽƌͬĂƐƐŝŐŶĞĞǁŝůůĂĐƋƵŝƌĞĂŶĚŽƌŵĂŝŶƚĂŝŶƐƵĐŚ
ƚƌĂŝŶŝŶŐ͕ůŝĐĞŶƐŝŶŐ͕ŽƌĐĞƌƚŝĨŝĐĂƚŝŽŶ͘
͘ dŚŝƐŝƐĂŶŽŶͲĞdžĐůƵƐŝǀĞĂŐƌĞĞŵĞŶƚĂŶĚŽŶƐƵůƚĂŶƚŝƐĨƌĞĞƚŽƉƌŽǀŝĚĞŚŝƐͬŚĞƌtŽƌŬ ƚŽ
ŽƚŚĞƌĞŶƚŝƚŝĞƐ͕ƐŽůŽŶŐĂƐƚŚĞƌĞŝƐŶŽŝŶƚĞƌƌƵƉƚŝŽŶŽƌŝŶƚĞƌĨĞƌĞŶĐĞǁŝƚŚƚŚĞƉƌŽǀŝƐŝŽŶŽĨ
tŽƌŬ ĐĂůůĞĚĨŽƌŝŶƚŚŝƐŐƌĞĞŵĞŶƚ͘
&͘ ŽŶƐƵůƚĂŶƚŝƐƌĞƐƉŽŶƐŝďůĞĨŽƌŚŝƐͬŚĞƌŽǁŶŝŶƐƵƌĂŶĐĞ͕ŝŶĐůƵĚŝŶŐ͕ďƵƚŶŽƚůŝŵŝƚĞĚƚŽ
ŚĞĂůƚŚŝŶƐƵƌĂŶĐĞ͘
'͘ ŽŶƐƵůƚĂŶƚŝƐƌĞƐƉŽŶƐŝďůĞĨŽƌŚŝƐͬŚĞƌŽǁŶtŽƌŬĞƌ͛ƐŽŵƉĞŶƐĂƚŝŽŶĐŽǀĞƌĂŐĞĂƐǁĞůůĂƐ
ƚŚĂƚĨŽƌĂŶLJƉĞƌƐŽŶƐĞŵƉůŽLJĞĚďLJƚŚĞŽŶƐƵůƚĂŶƚ͘
,͘WƌĞǀĂŝůŝŶŐtĂŐĞZĂƚĞƐ͗
ŽŶƚƌĂĐƚŽƌŵƵƐƚĐŽŵƉůLJǁŝƚŚƚŚĞ^ƚĂƚĞŽĨtĂƐŚŝŶŐƚŽŶƉƌĞǀĂŝůŝŶŐǁĂŐĞ
ƌĞƋƵŝƌĞŵĞŶƚƐ͘ŽŶƚƌĂĐƚŽƌŵƵƐƚĨŝůĞĂŶ/ŶƚĞŶƚdŽWĂLJWƌĞǀĂŝůŝŶŐtĂŐĞĂƚƚŚĞ
ďĞŐŝŶŶŝŶŐŽĨƚŚĞƉƌŽũĞĐƚĂŶĚĂŶĨĨŝĚĂǀŝƚŽĨtĂŐĞƐWĂŝĚĂƚƚŚĞĞŶĚŽĨƚŚĞƉƌŽũĞĐƚ
ǁŝƚŚƚŚĞtĂƐŚŝŶŐƚŽŶ^ƚĂƚĞĞƉĂƌƚŵĞŶƚŽĨ>ĂďŽƌĂŶĚ/ŶĚƵƐƚƌŝĞƐ͘Ύ&ŝŶĂůƉĂLJŵĞŶƚǁŝůů
ďĞŚĞůĚƵŶƚŝůĨĨŝĚĂǀŝƚŽĨtĂŐĞƐWĂŝĚŝƐƐƵďŵŝƚƚĞĚĨŽƌĞĂĐŚƉĞƌŝŽĚͬĐĂůĞŶĚĂƌLJĞĂƌŽƌ
ĞŶĚŽĨƉƌŽũĞĐƚ͘
dŚĞ^ƚĂƚĞŽĨtĂƐŚŝŶŐƚŽŶƉƌĞǀĂŝůŝŶŐǁĂŐĞƌĂƚĞƐĂƉƉůŝĐĂďůĞĨŽƌƚŚŝƐƉƌŽũĞĐƚ͕ǁŚŝĐŚŝƐ
ůŽĐĂƚĞĚŝŶ<ŝŶŐŽƵŶƚLJ͕ŵĂLJďĞĨŽƵŶĚĂƚƚŚĞĨŽůůŽǁŝŶŐǁĞďƐŝƚĞĂĚĚƌĞƐƐŽĨƚŚĞ
ĞƉĂƌƚŵĞŶƚŽĨ>ĂďŽƌĂŶĚ/ŶĚƵƐƚƌŝĞƐ͗
ŚƚƚƉƐ͗ͬͬůŶŝ͘ǁĂ͘ŐŽǀͬůŝĐĞŶƐŝŶŐͲƉĞƌŵŝƚƐͬƉƵďůŝĐͲǁŽƌŬƐͲƉƌŽũĞĐƚƐͬƉƌĞǀĂŝůŝŶŐͲǁĂŐĞͲƌĂƚĞƐͬ
WƵƌƐƵĂŶƚƚŽtϮϵϲͲϭϮϳͲϬϭϭ͕ƚŚĞĂƉƉůŝĐĂďůĞĞĨĨĞĐƚŝǀĞĚĂƚĞĨŽƌƉƌĞǀĂŝůŝŶŐǁĂŐĞ
ƌĂƚĞƐƉĂŝĚĨŽƌƚŚĞĚƵƌĂƚŝŽŶŽĨƚŚŝƐĐŽŶƚƌĂĐƚƐŚĂůůďĞƚŚĞĚĂƚĞƚŚĞĐŽŶƚƌĂĐƚŝƐĞdžĞĐƵƚĞĚ
"!#
W'ϵ K&ϭϭ
ĂƐƌĞĨůĞĐƚĞĚŝŶƚŚĞ͞ĨĨĞĐƚŝǀĞĂƚĞ͟ŝĚĞŶƚŝĨŝĞĚĂƚƚŚĞƚŽƉŽĨƚŚĞĨŝƌƐƚƉĂŐĞŽĨƚŚŝƐ
ŐƌĞĞŵĞŶƚ͘
hƉŽŶƌĞƋƵĞƐƚ͕ƚŚĞŝƚLJǁŝůůƉƌŽǀŝĚĞĂĐŽƉLJŽĨƚŚĞĂƉƉůŝĐĂďůĞƉƌĞǀĂŝůŝŶŐǁĂŐĞƐĨŽƌƚŚŝƐ
ƉƌŽũĞĐƚ͘ůƚĞƌŶĂƚŝǀĞůLJ͕ƚŚĞƌĂƚĞƐŵĂLJďĞǀŝĞǁĞĚĂƚƚŚĞŝƚLJŽĨZĞŶƚŽŶŝƚLJ,ĂůůďLJ
ŵĂŬŝŶŐĂŶĂƉƉŽŝŶƚŵĞŶƚǁŝƚŚƚŚĞĐŽŶƚĂĐƚƉĞƌƐŽŶŝĚĞŶƚŝĨŝĞĚŚĞƌĞŝŶŽƌƉƌŝŽƌƚŽ
ĐŽŶƚƌĂĐƚĂǁĂƌĚǁŝƚŚƚŚĞĐŽŶƚĂĐƚƉĞƌƐŽŶŝĚĞŶƚŝĨŝĞĚĂƐƚŚĞŝƚLJŽĨZĞŶƚŽŶĐŽŶƚĂĐƚŝŶ
WĂƌĂŐƌĂƉŚϭϲEŽƚŝĐĞƐŽĨƚŚŝƐĂŐƌĞĞŵĞŶƚ͘
ϭϵ͘ KƚŚĞƌWƌŽǀŝƐŝŽŶƐ͗
͘ ƉƉƌŽǀĂůƵƚŚŽƌŝƚLJ͘ĂĐŚŝŶĚŝǀŝĚƵĂů ĞdžĞĐƵƚŝŶŐƚŚŝƐŐƌĞĞŵĞŶƚŽŶďĞŚĂůĨŽĨƚŚĞŝƚLJ
ĂŶĚŽŶƐƵůƚĂŶƚƌĞƉƌĞƐĞŶƚƐĂŶĚǁĂƌƌĂŶƚƐƚŚĂƚƐƵĐŚŝŶĚŝǀŝĚƵĂůƐĂƌĞĚƵůLJĂƵƚŚŽƌŝnjĞĚƚŽ
ĞdžĞĐƵƚĞĂŶĚĚĞůŝǀĞƌƚŚŝƐŐƌĞĞŵĞŶƚŽŶďĞŚĂůĨŽĨƚŚĞŝƚLJŽƌŽŶƐƵůƚĂŶƚ͘
͘ 'ĞŶĞƌĂů ĚŵŝŶŝƐƚƌĂƚŝŽŶ ĂŶĚ DĂŶĂŐĞŵĞŶƚ͘ dŚĞ ŝƚLJ͛Ɛ ƉƌŽũĞĐƚ ŵĂŶĂŐĞƌ ŝƐ <ƌŝƐƚŝŶĂ
>ŽǁƚŚŝĂŶ͘/Ŷ ƉƌŽǀŝĚŝŶŐtŽƌŬ͕ŽŶƐƵůƚĂŶƚƐŚĂůůĐŽŽƌĚŝŶĂƚĞǁŝƚŚƚŚĞŝƚLJ͛ƐĐŽŶƚƌĂĐƚ
ŵĂŶĂŐĞƌŽƌŚŝƐͬŚĞƌĚĞƐŝŐŶĞĞ͘
͘ ŵĞŶĚŵĞŶƚ ĂŶĚ DŽĚŝĨŝĐĂƚŝŽŶ͘ dŚŝƐ ŐƌĞĞŵĞŶƚ ŵĂLJ ďĞ ĂŵĞŶĚĞĚ ŽŶůLJďLJĂŶ
ŝŶƐƚƌƵŵĞŶƚŝŶǁƌŝƚŝŶŐ͕ĚƵůLJĞdžĞĐƵƚĞĚďLJďŽƚŚWĂƌƚŝĞƐ͘
͘ ŽŶĨůŝĐƚƐ͘ /ŶƚŚĞĞǀĞŶƚŽĨĂŶLJŝŶĐŽŶƐŝƐƚĞŶĐŝĞƐďĞƚǁĞĞŶŽŶƐƵůƚĂŶƚƉƌŽƉŽƐĂůƐĂŶĚƚŚŝƐ
ŐƌĞĞŵĞŶƚ͕ƚŚĞƚĞƌŵƐŽĨƚŚŝƐŐƌĞĞŵĞŶƚƐŚĂůůƉƌĞǀĂŝů͘ŶLJĞdžŚŝďŝƚƐͬĂƚƚĂĐŚŵĞŶƚƐƚŽ
ƚŚŝƐŐƌĞĞŵĞŶƚĂƌĞŝŶĐŽƌƉŽƌĂƚĞĚďLJƌĞĨĞƌĞŶĐĞŽŶůLJƚŽƚŚĞĞdžƚĞŶƚŽĨƚŚĞƉƵƌƉŽƐĞĨŽƌ
ǁŚŝĐŚ ƚŚĞLJ ĂƌĞ ƌĞĨĞƌĞŶĐĞĚ ǁŝƚŚŝŶ ƚŚŝƐ ŐƌĞĞŵĞŶƚ͘ dŽ ƚŚĞ ĞdžƚĞŶƚĂ ŽŶƐƵůƚĂŶƚ
ƉƌĞƉĂƌĞĚĞdžŚŝďŝƚĐŽŶĨůŝĐƚƐǁŝƚŚƚŚĞƚĞƌŵƐŝŶƚŚĞďŽĚLJŽĨƚŚŝƐŐƌĞĞŵĞŶƚŽƌĐŽŶƚĂŝŶƐ
ƚĞƌŵƐƚŚĂƚĂƌĞĞdžƚƌĂŶĞŽƵƐƚŽƚŚĞƉƵƌƉŽƐĞĨŽƌǁŚŝĐŚŝƚŝƐƌĞĨĞƌĞŶĐĞĚ͕ƚŚĞƚĞƌŵƐŝŶƚŚĞ
ďŽĚLJ ŽĨ ƚŚŝƐ ŐƌĞĞŵĞŶƚ ƐŚĂůů ƉƌĞǀĂŝů ĂŶĚ ƚŚĞ ĞdžƚƌĂŶĞŽƵƐ ƚĞƌŵƐ ƐŚĂůů ŶŽƚ ďĞ
ŝŶĐŽƌƉŽƌĂƚĞĚŚĞƌĞŝŶ͘
͘ 'ŽǀĞƌŶŝŶŐ>Ăǁ͘ dŚŝƐŐƌĞĞŵĞŶƚƐŚĂůůďĞŵĂĚĞŝŶĂŶĚƐŚĂůůďĞŐŽǀĞƌŶĞĚ ďLJ ĂŶĚ
ŝŶƚĞƌƉƌĞƚĞĚŝŶĂĐĐŽƌĚĂŶĐĞǁŝƚŚƚŚĞůĂǁƐŽĨƚŚĞ^ƚĂƚĞŽĨtĂƐŚŝŶŐƚŽŶĂŶĚƚŚĞŝƚLJŽĨ
ZĞŶƚŽŶ͘ŽŶƐƵůƚĂŶƚĂŶĚĂůůŽĨƚŚĞŽŶƐƵůƚĂŶƚ͛ƐĞŵƉůŽLJĞĞƐƐŚĂůůƉĞƌĨŽƌŵƚŚĞtŽƌŬ ŝŶ
ĂĐĐŽƌĚĂŶĐĞ ǁŝƚŚ Ăůů ĂƉƉůŝĐĂďůĞ ĨĞĚĞƌĂů͕ ƐƚĂƚĞ͕ ĐŽƵŶƚLJ ĂŶĚ ĐŝƚLJůĂǁƐ͕ ĐŽĚĞƐ ĂŶĚ
ŽƌĚŝŶĂŶĐĞƐ͘
&͘ :ŽŝŶƚƌĂĨƚŝŶŐĨĨŽƌƚ͘dŚŝƐŐƌĞĞŵĞŶƚƐŚĂůůďĞĐŽŶƐŝĚĞƌĞĚĨŽƌĂůůƉƵƌƉŽƐĞƐĂƐƉƌĞƉĂƌĞĚ
ďLJƚŚĞũŽŝŶƚĞĨĨŽƌƚƐŽĨƚŚĞWĂƌƚŝĞƐĂŶĚƐŚĂůůŶŽƚďĞĐŽŶƐƚƌƵĞĚĂŐĂŝŶƐƚŽŶĞƉĂƌƚLJŽƌƚŚĞ
ŽƚŚĞƌ ĂƐ Ă ƌĞƐƵůƚ ŽĨ ƚŚĞ ƉƌĞƉĂƌĂƚŝŽŶ͕ ƐƵďƐƚŝƚƵƚŝŽŶ͕ ƐƵďŵŝƐƐŝŽŶŽƌŽƚŚĞƌĞǀĞŶƚŽĨ
ŶĞŐŽƚŝĂƚŝŽŶ͕ĚƌĂĨƚŝŶŐŽƌĞdžĞĐƵƚŝŽŶ͘
"!#
W'ϭϬ K&ϭϭ
'͘ :ƵƌŝƐĚŝĐƚŝŽŶĂŶĚsĞŶƵĞ͘ŶLJůĂǁƐƵŝƚŽƌůĞŐĂůĂĐƚŝŽŶďƌŽƵŐŚƚďLJĂŶLJƉĂƌƚLJƚŽĞŶĨŽƌĐĞŽƌ
ŝŶƚĞƌƉƌĞƚƚŚŝƐŐƌĞĞŵĞŶƚŽƌĂŶLJŽĨŝƚƐƚĞƌŵƐŽƌĐŽǀĞŶĂŶƚƐƐŚĂůůďĞďƌŽƵŐŚƚŝŶƚŚĞ<ŝŶŐ
ŽƵŶƚLJ^ƵƉĞƌŝŽƌŽƵƌƚĨŽƌƚŚĞ^ƚĂƚĞŽĨtĂƐŚŝŶŐƚŽŶĂƚƚŚĞDĂůĞŶŐZĞŐŝŽŶĂů:ƵƐƚŝĐĞ
ĞŶƚĞƌŝŶ<ĞŶƚ͕<ŝŶŐŽƵŶƚLJ͕tĂƐŚŝŶŐƚŽŶ͕ŽƌŝƚƐƌĞƉůĂĐĞŵĞŶƚŽƌƐƵĐĐĞƐƐŽƌ͘
,͘ ^ĞǀĞƌĂďŝůŝƚLJ͘ ĐŽƵƌƚŽĨĐŽŵƉĞƚĞŶƚũƵƌŝƐĚŝĐƚŝŽŶ͛ƐĚĞƚĞƌŵŝŶĂƚŝŽŶƚŚĂƚĂŶLJƉƌŽǀŝƐŝŽŶŽƌ
ƉĂƌƚŽĨƚŚŝƐŐƌĞĞŵĞŶƚŝƐŝůůĞŐĂůŽƌƵŶĞŶĨŽƌĐĞĂďůĞƐŚĂůůŶŽƚĐĂŶĐĞůŽƌŝŶǀĂůŝĚĂƚĞƚŚĞ
ƌĞŵĂŝŶĚĞƌŽĨƚŚŝƐŐƌĞĞŵĞŶƚ͕ǁŚŝĐŚƐŚĂůůƌĞŵĂŝŶŝŶĨƵůůĨŽƌĐĞĂŶĚĞĨĨĞĐƚ͘
/͘ ^ŽůĞĂŶĚŶƚŝƌĞŐƌĞĞŵĞŶƚ͘ dŚŝƐŐƌĞĞŵĞŶƚĐŽŶƚĂŝŶƐƚŚĞĞŶƚŝƌĞĂŐƌĞĞŵĞŶƚŽĨƚŚĞ
WĂƌƚŝĞƐ ĂŶĚĂŶLJƌĞƉƌĞƐĞŶƚĂƚŝŽŶƐ Žƌ ƵŶĚĞƌƐƚĂŶĚŝŶŐƐ͕ǁŚĞƚŚĞƌ ŽƌĂůŽƌǁƌŝƚƚĞŶ͕ŶŽƚ
ŝŶĐŽƌƉŽƌĂƚĞĚĂƌĞĞdžĐůƵĚĞĚ͘
:͘ dŝŵĞŝƐŽĨƚŚĞƐƐĞŶĐĞ͘dŝŵĞŝƐŽĨƚŚĞĞƐƐĞŶĐĞŽĨƚŚŝƐŐƌĞĞŵĞŶƚĂŶĚĞĂĐŚĂŶĚĂůůŽĨ
ŝƚƐƉƌŽǀŝƐŝŽŶƐŝŶǁŚŝĐŚƉĞƌĨŽƌŵĂŶĐĞŝƐĂĨĂĐƚŽƌ͘ĚŚĞƌĞŶĐĞƚŽĐŽŵƉůĞƚŝŽŶĚĂƚĞƐƐĞƚ
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6/29/2026
Approved by Cheryl Beyer via email 6/10/2026
WĂŐĞϭŽĨϭϮ
ATTACHMENT A
SCOPE OF WORK
2026 MOSQUITO ABATEMENT PROGRAM
TASK NO. 1: TREATMENT OF UPLAND AREAS ADJACENT TO THE PANTHER CREEK WETLANDS
Treatment Methods and Materials: Land treatment applications of an ultra low volume (ULV),
Environmental Protection Agency registered insecticide will be applied to brush and other upland
vegetation using a gasoline- or battery-powered, backpack-mounted, portable fogger. Treatment
must be conducted in accordance with the conditions of the Determination of Non-Significance-
Mitigated (Application Number LUA05-022, ECF) for the program made by the City of Renton
Environmental Review Committee on April 1, 2005. Treatment must also be conducted in
accordance with the Washington State Aquatic Mosquito Control General Permit (Permit). All
necessary licenses and permits shall be the responsibility of the contractor to ensure their issuance
prior to treatment. The synthetic pyrethroid insecticide product to be used is Aqualuer® 20-20 or
other products containing similar formulations.
Area of Treatment: The treatment area, shown in Exhibit A, is adjacent to and upland of the eastern
edge of the Panther Creek Wetland generally located between SR-167 on the west and Lake Avenue
South/Talbot Road South on the east and extending from SW 39th Street on the south to I-405 on the
north, within the City of Renton, Washington. The project area covers approximately 32 acres to the
east of the approximately 65-acre Panther Creek Wetland complex. Prior to treatment, the city will
provide an updated copy of the map, included in Exhibit A of this contract, to indicate the properties
within the project area for which authorization and release for access and treatment has been
granted by the property owner or the owner’s legal representative. The city will also provide public
notification of pesticide use in accordance with section S6 of the Permit. The treatment application
will be performed from foot trails through the project area used in the previous Mosquito Abatement
Program treatment applications. The contractor shall access the treatment area only on approved
parcels.
Payment: The cost per treatment shall include all mobilization, labor, materials, equipment, and any
necessary work for clearing of the trails to allow the treatment to be applied. Payment will be made
per each upland inspection and, if needed, each upland treatment.
Frequency of Treatment: Fogging will be conducted in coordination with and at the request of the
city at a maximum frequency of once per week during the months of June through September.
Treatments must only occur between 6:00 AM and 7:00 PM. The city may request treatments as
frequent as twice per week if larger than normal mosquito populations justify more frequent
treatment. The contract budget assumes a maximum number of 15 treatment applications.
Reporting: Following each treatment, the contractor shall provide to the city a brief summary of the
area treated and the type of chemical used, weather conditions during the treatment application, the
time during which treatment was conducted, amount of adulticide applied in gallons, an estimate of
the relative abundance and distribution of mosquitos, species of mosquitos identified, and a
recommendation on the scope and timing of subsequent treatment. The reporting requirements are
listed in the Permit and the Determination of Non-Significance-Mitigated (Application Number
"!#
WĂŐĞϮŽĨϭϮ
LUA05-022, ECF). The contractor shall report the final total amount of each active ingredient applied
no later than December 1, 2026.
TASK NO. 2: TREATMENT OF CITY STORMWATER AND IRRIGATION FACILITIES
Treatment Methods and Materials: Water treatment applications of an Environmental Protection
Agency registered larvicide will be applied to city-owned stormwater/irrigation impoundment
facilities using hand applied briquettes or granules. Treatment will be applied in accordance with the
product label, the Permit, and other federal and state regulations. All necessary licenses shall be the
responsibility of the contractor to ensure their issuance prior to treatment. The larvicide product to
be used is Bacillus Sphaericus (BS) and is sold under the trade name VectoLex.
Area of Treatment: The treatment area, shown in Exhibit B, consists of the following
stormwater/irrigation impoundment facilities and catch basins:
ID Owner Facility Name/Type Facility Location Facility
ID
1 Surface Water Utility Amberwood/WQ Pond 315 Quincy Ave NE 145360
2 Surface Water Utility Amberwood II/WQ Pond 304 Rosario Pl NE 145528
3 Surface Water Utility Ardmore/WQ Pond 2501 NE 21st St 111351
4 Surface Water Utility Aspen Woods/WQ Pond 808 Ilwaco Pl NE 145538
5 Surface Water Utility Aster Park/WQ Pond 5516 NE 13th Pl 111396
6 Surface Water Utility Auria Woods Tract C/WQ Pond 12152 SE 186th St 111360
7 Surface Water Utility Beclan Place Plat/WQ Pond Hoquiam Ave NE / NE 2nd St 195487
8 Surface Water Utility Bob Singh/WQ Pond SE 191st St / 120th Ave SE 195894
9 Surface Water Utility Brookefield II/WQ Pond 5305 NE 11th Ct 145352
10 Surface Water Utility Cavalla Plat/WQ Pond 16305 SE 139th Pl 195897
11 Surface Water Utility Cedar Ave/WQ Pond 3501 Wells Ave S 111340
12 Surface Water Utility Chelan Creek PUD/WQ Pond 862 Chelan Ave NE 200078
13 Surface Water Utility Chinquapin Ridge/WQ Pond SE 192nd St and 113 Way SE 111364
14 Surface Water Utility Christian Short Plat/WQ Pond 11129 SE 189th Pl 111371
15 Surface Water Utility Copperwood/WQ Pond 322 Graham Ave SE 200046
16 Surface Water Utility Cottages at Honey Creek/WQ Pond NE Sunset Blvd / Elma Pl NE 145523
17 Surface Water Utility Duvall Ave NE Widening-SR9/WQ
Pond
Coal Creek Pkwy SE / Duvall Ave
NE 111433
18 Surface Water Utility East Renton/Rosemonte Plat/WQ
Pond
953 Nile Ave NE (South of
residence) 195499
19 Surface Water Utility Elliott Farm/Detention Pond Maple Valley Hwy and 140th Way
SE 111403
20 Surface Water Utility Ellis Park/WQ Pond NE 6th St / Orcas Ave NE 111424
21 Surface Water Utility Elmhurst/WQ Pond Whitman Pl NE / NE 2nd Ln 145409
22 Surface Water Utility Emma's Plat/WQ Pond 5611 SE 1st Pl 145364
23 Surface Water Utility Enclave at Bridal Ridge/WQ Pond SE 142nd Pl / 156th Ave SE 200056
24 Surface Water Utility Evendell/WQ Pond 6741 SE 4th St 111383
25 Surface Water Utility Fredericks Place/WQ Pond 10301 SE 186th St 111367
26 Surface Water Utility Geneva Court/WQ Pond 418 S 53rd Pl 145391
27 Surface Water Utility Greenfield II (Highpointe II)/WQ Pond 1318 Redmond Pl NE 145339
28 Surface Water Utility Hamilton Place/WQ Pond 6743 NE 1st Pl 111401
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29 Surface Water Utility Heritage Renton Hill/WQ Pond SE 8th St and SE 8th Pl 145401
30 Surface Water Utility Highland Estates/WQ Pond 355 Rosario Pl SE 111380
31 Surface Water Utility Highlands Park/WQ Pond Rosario Ave SE / SE 2nd Pl 145539
32 Surface Water Utility Honey Brooke West (Sagecrest)/WQ
Pond 505 Field Pl NE 145414
33 Surface Water Utility Honey Creek Ridge, Tract 'A'/WQ Pond 3203 NE 26th Ct 145534
34 Surface Water Utility Honey Creek Ridge, Tract 'B'/WQ Pond NE 25th St / Monroe Ct NE 145535
35 Surface Water Utility Jericho Plat/WQ Pond 316 Hoquiam Ave NE 145536
36 Surface Water Utility Jessie Glen/WQ Pond 120th Ave SE / SE 191st St 111426
37 Surface Water Utility Kelsey's Crossing/WQ Pond
12038 SE 191st Pl (South of
residence) 200004
38 Surface Water Utility Kimberly Lane/WQ Pond 17228 125th Ave SE 111355
39 Surface Water Utility Kinkade Crossing/Detention 115th Pl SE / SE 177th Pl 200100
40 Surface Water Utility Lakeside Fairwood Plat/WQ Pond
11516 SE 186th Pl (West of
residence) 200016
41 Surface Water Utility Langley Ridge at May Creek/WQ Pond 5302 NE 26th St 146774
42 Surface Water Utility Larson Parke/WQ Pond 18469 114th Ave SE 111385
43 Surface Water Utility Laurelhurst Phase I/WQ Pond 4615 NE 1st St 145362
44 Surface Water Utility Liberty Gardens 14025 163rd Pl SE (South of
residence) 200036
45 Surface Water Utility Liberty Grove and Liberty Grove
Contiguous/WQ Pond 160th Ave SE and 136th St. 111400
46 Surface Water Utility Liberty Ridge Phase 1/WQ Pond 2511 NE 1st St (Behind residence) 145382
47 Surface Water Utility Liberty Ridge Phase 1/WQ Pond Index Ave SE / SE 1st St 145383
48 Surface Water Utility Liberty Ridge Phase 2/WQ Pond NE 1st St / Glennwood Ave SE 145373
49 Surface Water Utility Madison Place Short Plat/WQ Pond 256 Mt Baker Ave NE 163856
50 Surface Water Utility Magnussen Plat/WQ Pond 202 Field Ave NE 145520
51 Surface Water Utility Magnussen Plat/WQ Pond 4814 NE 2nd St (Behind residence) 145521
52 Surface Water Utility Maple Glen Addition/WQ Pond SE 182nd St / 108th Ave SE 111368
53 Surface Water Utility Maplewood Estates/WQ Pond 5831 SE 2nd Ct 145381
54 Surface Water Utility Maureen Highlands Tract A/WQ Pond 6118 NE 4th St 145358
55 Surface Water Utility Maureen Highlands Tract C/WQ Pond 653 Shadow Ave NE 145357
56 Surface Water Utility Meadowvue Plat/WQ Pond 154th Ave SE / SE 5th Pl 200142
57 Surface Water Utility Mindy's Place/WQ Pond
16025 SE 140th St (South of
residence) 200093
58 Surface Water Utility Morgan Place/WQ Pond NE 3rd St / Lyons Pl NE 145368
59 Surface Water Utility Morning Glen/WQ Pond 17612 114th Pl SE 111363
60 Surface Water Utility NE 10th St Pond/WQ Pond 4420 NE 10th St 111336
61 Surface Water Utility NE 4th Detention/Detention Field Ave NE / NE 2nd Pl 111347
62 Surface Water Utility Nichols Place/WQ Pond 160th Ave SE/SE 5th St 111406
63 Surface Water Utility Olympic Peak Estates/WQ Pond 9402 S 196th Pl 111353
64 Surface Water Utility Olympus Villa/WQ Pond 5718 NE 7th Pl 178003
65 Surface Water Utility Panther Ridge/WQ Pond Main Ave S / S 47th Pl (East of
Main) 177997
66 Surface Water Utility Parkside Court/WQ Pond 5621 SE 2nd Ct 145367
67 Surface Water Utility Pioneer Place/WQ Pond Maple Valley Hwy and 145th Ave
SE 111404
68 Surface Water Utility Rathinam Short Plat/WQ Pond 117th Pl SE / SE 192nd St 111428
69 Surface Water Utility Renton 7 Short Plat/WQ Pond
5619 NE 2nd Ct (West of
residence) 200047
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70 Surface Water Utility Reserve at Stonehaven/WQ Pond 1003 S 47th St 145393
71 Surface Water Utility River Ridge/WQ Pond 1706 SE 7th Ct 145584
72 Surface Water Utility Rylee's Place/WQ Pond SE 189th Pl / 120th Ave SE 200079
73 Surface Water Utility Serenity Ridge Tract A/WQ Pond 17927 110th Pl SE 111358
74 Surface Water Utility Serenity Ridge Tract B/WQ Pond 17707 110th Pl SE 111359
75 Surface Water Utility Shamrock Glen aka Martin Prop/WQ
Pond Lyons Pl NE / NE 5th Cir 146777
76 Surface Water Utility Shamrock Heights II/WQ Pond 412 Ktisap Ave NE 145347
77 Surface Water Utility Shy Creek/WQ Pond Hoquiam Pl SE / SE 2nd St 145408
78 Surface Water Utility Sienna/WQ Pond 5402 NE 2nd St 145366
79 Surface Water Utility Stonegate/WQ Pond 5500 NE 26th St 111395
80 Surface Water Utility Stone Ridge/WQ Pond 5382 NE 17th St (behind
residence) 145399
81 Surface Water Utility Summerwind/Detention 4940 NE Sunset Blvd 145376
82 Surface Water Utility Sunnybrook/WQ Pond 712 S 36th Pl (Behind residence) 145325
83 Surface Water Utility Sunnybrook/WQ Vault Smithers Ave S/S 38th Ct 145428
84 Surface Water Utility SW 27th St/WQ Pond 1201 SW 27th St (East of building) 146260
85 Surface Water Utility Talbot Estates/WQ Pond 9612 S 194th St 111362
86 Surface Water Utility Valley View Estates/Vault & Two Catch
Basins 303 S 21st St 145478
87 Surface Water Utility Victoria Hills/Detention 1012 S 23rd St 145407
88 Surface Water Utility Watershed Terrace/WQ Pond 19926 101st Ave SE 111352
89 Surface Water Utility Wedgewood Lane/WQ Pond 902 Jericho Pl NE 145410
90 Surface Water Utility Wedgewood Lane/WQ Pond 972 Kitsap Ave NE 145411
91 Surface Water Utility Westmont/WQ Pond 3625 Monterey Ct NE 145396
92 Surface Water Utility Weston Heights/Detention
653 Pasco Pl NE (behind
residence) 200094
93 Surface Water Utility Wilkins Wood/WQ Pond 16603 113th Ave SE 111409
94 Surface Water Utility Windsong/WQ Pond 4925 NE 4th Pl 145351
95 Surface Water Utility Windsor circle (Harmony Grove)/WQ
Pond 16319 SE 135th Pl 177996
96 Surface Water Utility Windwood/WQ Pond 5915 NE 4th Pl 145504
97 Surface Water Utility Winsper (Liberty view phase I & II)/WQ
Pond 611 S 32nd St 111343
98 Surface Water Utility Woods at Highland Park/WQ Pond Rosario Ave SE / NE 2nd Ln 200029
99 Surface Water Utility Zetterberg/WQ Pond 2100 Burnett Pl S 145512
100 Surface Water Utility Saddlebrook/Detention Pond 156th Ave SE / NE 1st St 195908
101 Surface Water Utility Morgan Court/WQ Pond Nile Ave NE / NE 4th St 145359
CH Facilities Division City Hall/WQ 1055 S Grady Way (Grady Way
Parking Lot) 146851
G18 Golf Course Hole #18 Pond/Irrigation 4050 Maple Valley Highway,
Maplewood Golf Course (west) NA
G9 Golf Course Hole #9 Pond/Irrigation
4050 Maple Valley Highway,
Maplewood Golf Course (west-
central) NA
G7 Golf Course Hole #7 Pond/Irrigation
4050 Maple Valley Highway,
Maplewood Golf Course (east-
central) NA
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WĂŐĞϱŽĨϭϮ
G6 Golf Course Hole #6 Pond/Irrigation 4050 Maple Valley Highway,
Maplewood Golf Course (east) NA
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Frequency of Treatment: Each Surface Water Utility and Facilities Division water impoundment
facility and catch basin, as described above, shall be tested for the presence of mosquito larvae
every two weeks during the months of June through September. Testing and treatment of Golf
Course irrigation ponds shall only be performed if authorized in writing by the city. If authorized, Golf
Course irrigation ponds shall be tested for the presence of mosquito larvae every three weeks during
the months of July and August starting the week of July 13th. Facilities and associated catch basins
that are dry after two subsequent inspections shall not be inspected until greater than 1/2” of
precipitation occurs in the two weeks since the previous inspection, or in the case of the Golf Course
irrigation ponds, three weeks since ther previous inspection. If the larvae count exceeds 0.3 larva per
dip, then larvicide shall be applied in accordance with the requirements of the city obtained Permit.
The contract budget assumes a maximum number of seven treatment applications for the Surface
Water Utility and Facilities Division, and three treatment applications for the Golf Course.
Reporting: Following each treatment, the contractor shall provide to the city a brief summary of all
stormwater/irrigation impoundment facilities and associated catch basins tested and treated.
Information to be provided for each shall include the following:
1. Date, time, and street location of facility.
2. Type of Larvicide and EPA registration number.
3. Amount of larvicide in gallons or pounds that was applied.
4. The number of acres treated.
5. The number of acres inspected.
6. Name, address, and pesticide license number of person applying larvicide.
7. Larval count (larvae per dip).
8. Number of manhours per facility visited (includes testing and larviciding).
Payment: The cost per treatment of city-owned stormwater and irrigation facilities shall include all
mobilization, labor, materials, equipment, tests, treatments (if required per Frequency of Treatment
section) and any work needed to access sites to perform the treatment. Payment will be made per
acre of all inspected stormwater/irrigation impoundment facilities and associated catch basins in
the treatment cycle visit.
Notification: Maplewood Golf Course – The contractor shall contact the Maplewood Golf Course
Supervisor 24 hours in advance of entering the golf course. The contractor shall arrange with the Golf
Course Supervisor to be escorted onto the golf course and in no circumstances shall the contractor
enter upon the golf course without one golf course employee in attendance at all times while on golf
course property. This is a mandatory safety requirement.
Maps: Contractor can view each stormwater facility using the City of Renton (CORMaps) GIS
information on the city website at the following link:
https://maps.rentonwa.gov/Html5viewer/Index.html?viewer=cormaps by searching on the Facility
ID number listed for each facility.
TASK NO. 3: TREATMENT OF CITY STORMWATER CATCH BASINS
"!#
WĂŐĞϳŽĨϭϮ
Treatment Methods and Materials: Water treatment applications of an Environmental Protection
Agency registered larvicide will be applied to city-owned stormwater catch basins using hand
applied briquettes or granules. Treatment will be applied in accordance with the product label, the
Permit and other federal and state regulations. All necessary licenses shall be the responsibility of
the contractor to ensure their issuance prior to treatment. The larvicide product to be used is
Bacillus Sphaericus (BS) and is sold under the trade name VectoLex.
Area of Treatment: The treatment area, shown in Exhibit C, consists of the following stormwater
catch basins:
ID Owner Facility
Name/Type Facility Location Facility ID
A1 Surface Water Utility Catch Basin adjacent to 1523 Lake Ave S 178850
A2 Surface Water Utility Catch Basin adjacent to 1607 Lake Ave S 137033
A3 Surface Water Utility Catch Basin adjacent to 1619 Lake Ave S 137034
A4 Surface Water Utility Catch Basin adjacent to 1622 Lake Ave S 137035
A5 Surface Water Utility Catch Basin adjacent to 1717 Lake Ave S 112098
A6 Surface Water Utility Catch Basin adjacent to 1718 Lake Ave S 112101
A7 Surface Water Utility Catch Basin adjacent to 1728 Lake Ave S 112102
A8 Surface Water Utility Catch Basin adjacent to 1808 Lake Ave S 112103
A9 Surface Water Utility Catch Basin adjacent to 1818 Lake Ave S 112104
A10 Surface Water Utility Catch Basin adjacent to 1818 Lake Ave S 112100
A11 Surface Water Utility Catch Basin Lake Ave S / S 19th St 188077
A12 Surface Water Utility Catch Basin adjacent to 314 S 20th Pl 111944
A13 Surface Water Utility Catch Basin adjacent to 315 S 20th Pl 111943
A14 Surface Water Utility Catch Basin adjacent to 2020 Davis Ave S 112716
A15 Surface Water Utility Catch Basin adjacent to 2101 Davis Ave S 112717
A16 Surface Water Utility Catch Basin adjacent to 2111 S 21st St 111959
A17 Surface Water Utility Catch Basin Davis Ave S / S 22nd Pl 112714
A18 Surface Water Utility Catch Basin adjacent to 2401 Talbot Crest Dr S 135867
A19 Surface Water Utility Catch Basin adjacent to 2402 Talbot Crest Dr S 135868
A20 Surface Water Utility Catch Basin adjacent to 2515 Talbot Crest Dr S 137122
A21 Surface Water Utility Catch Basin adjacent to 2516 Talbot Crest Dr S 137123
A22 Surface Water Utility Catch Basin adjacent to 3419 Shattuck Ave S 137156
A23 Surface Water Utility Catch Basin adjacent to 3500 Shattuck Ave S 137155
A24 Surface Water Utility Catch Basin adjacent to 3510 Shattuck Ave S 137154
A25 Surface Water Utility Catch Basin adjacent to 3620 Shattuck Ave S 137160
A26 Surface Water Utility Catch Basin adjacent to 3621 Shattuck Ave S 137159
A27 Surface Water Utility Catch Basin adjacent to 350 S 38th Ct 138692
ID Owner Facility Name/Type Facility Location
A Surface Water Utility Catch Basins Various
B Golf Course Catch Basins Various
C Parks Maintenance Catch Basins Various
Frequency of Treatment: Each catch basin identified with a Facility ID shall be tested for the
presence of mosquito larvae once a month from June through September. Testing of catch basins
"!#
WĂŐĞϴŽĨϭϮ
with an unspecified facility ID will only be performed if authorized in writing by the city. Catch basins
that are dry after the first inspection shall not be inspected until greater than 1/2” of precipitation
occurs in the month since the previous inspection. If the larvae count exceeds 0.3 larva per dip, then
larvicide shall be applied in accordance with the requirements of the city obtained Permit. The
contract budget assumes a maximum number of four treatment applications.
Reporting: Following each treatment, the contractor shall provide to the city a brief summary of all
stormwater catch basins tested and treated. Information to be provided for each shall include the
following:
1. Date, time, and street location of catch basin tested.
2. Type of Larvicide and EPA registration number.
3. Amount of larvicide in gallons or pounds that was applied.
4. The number of acres treated.
5. Name, address, and pesticide license number of person applying larvicide.
6. Larval count (larvae per dip).
7. Number of manhours per catch basin visited (includes testing and larviciding).
Payment: The cost per each catch basin shall include all mobilization, labor, materials, equipment,
tests, treatments (if required per Frequency of Treatment section) and any work needed to access
the catch basin to perform the treatment. Payment will be made per each catch basin inspected.
Notification: Maplewood Golf Course – The contractor shall contact the Golf Course Supervisor 24
hours in advance of entering the golf course. The contractor shall arrange with the Golf Course
Supervisor to be escorted onto the golf course and in no circumstances shall the contractor enter
upon the golf course without one golf course employee in attendance at all times while on golf
course property. This is a mandatory safety requirement.
TASK NO. 4: INSECTICIDE RESISTANCE MONITORING AND BASELINE ASSESSMENT
Monitoring Methods and Materials: The Contractor shall conduct mosquito insecticide resistance
monitoring activities to establish a baseline susceptibility profile for both larval and adult mosquito
populations. The monitoring program shall include evaluation of resistance to Bacillus sphaericus
(Bs) larvicide products and pyrethroid adulticides containing permethrin.
Adult mosquito resistance testing shall be conducted using the Centers for Disease Control and
Prevention (CDC) Bottle Bioassay protocol with diagnostic doses for permethrin and piperonyl
butoxide as the inhibitor. The CONUS Manual for Evaluating Insecticide Resistance Using the CDC
Bottle Bioassay Kit (Centers for Disease Control and Prevention, 2024) shall be used to detect
pesticide resistance in mosquitos. The Contractor will conduct testing with the materials and
reagents per the CONUS Manual and personal protective equipment for handling pesticides.
Larval resistance shall be conducted using laboratory cup bioassays using similar protocols to those
described in Mosquito Larval Bioassays (Wang Y, Li T, Liu N. Cold Spring Harbor Protoc. 2023.
https://pubmed.ncbi.nlm.nih.gov/36882293/) which are designed to evaluate susceptibility of
mosquito larvae to Bacillus sphaericus products currently used within the City’s mosquito
"!#
WĂŐĞϵŽĨϭϮ
abatement program, including VectoLex formulations. Testing procedures shall follow accepted
mosquito larval bioassay methods and relevant scientific guidance in Mosquito Larval Bioassays for
microbial larvicide resistance evaluation.
Monitoring must be conducted in accordance with the Washington State Aquatic Mosquito Control
General Permit (Permit). All necessary licenses and permits shall be the responsibility of the
contractor to ensure their issuance prior to treatment.
All resistance testing activities shall be conducted in accordance with applicable federal and state
regulations, current CDC guidance documents, and/or accepted scientific protocols. The Contractor
shall provide all labor, equipment, mosquito collection materials, insecticides, laboratory supplies,
rearing containers, and testing apparatus necessary to complete the work.
Area of Monitoring: The resistance monitoring program shall focus on mosquito populations
collected from two separate areas within the City of Renton. The monitoring area shall consist of
stormwater catch basins and stormwater retention ponds that have historically received repeated
larvicide applications over multiple years in the area located between SR-167 on the west and SR
515 on the east and extending from SE Carr Rd on the south to I-405 on the north, within the City of
Renton, Washington. The comparison area (i.e. outside of the monitoring area) shall consist of two
randomly selected stormwater retention/detention ponds currently listed in Task 2 and located east
of I-405 and north of SR-169.
The Contractor shall perform the following collections:
1. Larval mosquito collections from a minimum of:
o Two stormwater catch basins within the monitoring area;
o One stormwater catch basin within the comparison area as a control site; and
o One stormwater retention or detention pond in the comparison area that has received
historical larvicide treatment applications (i.e. Surface Water Utility ponds defined in
Task 2, excluding ponds in the monitoring area).
2. Adult mosquito collections and/or larval collections for adult rearing from:
o Adult mosquito populations potentially exposed to permethrin adulticide applications
in the Project Area defined in Exhibit A; and
o The comparison area within the City of Renton where permethrin adulticide
applications have not routinely occurred by the Mosquito Abatement Program (i.e.
within the city limits excluding the monitoring area).
Collection locations shall be selected and monitored by the contractor.
Resistance Monitoring Procedures:
A. Adult Mosquito Resistance Testing – Permethrin
The Contractor shall conduct CDC Bottle Bioassays to evaluate adult mosquito susceptibility to
permethrin using diagnostic concentrations and exposure times established by the CDC for
mosquito surveillance programs. The contractor shall conduct inhibitor testing for piperonyl
butoxide in conjunction with the CDC Bottle Bioassay for permethrin.
"!#
WĂŐĞϭϬŽĨϭϮ
Testing shall include:
x One resistance assessment using mosquitoes collected from the monitoring area; and
x One resistance assessment using mosquitoes collected from the comparison area.
Adult mosquitoes used for testing may consist of:
x Laboratory-reared adult mosquitoes raised from field-collected larvae; or
x Field-collected adult mosquitoes when adequate populations are present.
Where practical, the Contractor shall prioritize use of laboratory-reared adults originating from field-
collected larvae to improve consistency in age and physiological condition. CDC guidance
recommends use of non-bloodfed female mosquitoes approximately 2–5 days old where feasible.
Testing procedures shall generally include:
x Four treated replicate bottles and one untreated control bottle per bioassay;
x Approximately 50 mosquitoes total per tested population when feasible;
x Mortality observations at regular intervals through the diagnostic time; and
x Interpretation of mortality according to CDC susceptibility thresholds.
B. Larval Resistance Testing – Bacillus sphaericus
The Contractor shall conduct larval cup bioassays to evaluate susceptibility of mosquito larvae
collected from historically treated catch basins and retention ponds to Bacillus sphaericus larvicide
products.
Testing shall include:
x One resistance evaluation using larvae collected from catch basins; and
x One resistance evaluation using larvae collected from retention or detention ponds.
Bioassays shall evaluate mortality response and relative susceptibility using accepted laboratory
methods and comparative controls similar to those described in Mosquito Larval Bioassays. Testing
shall be designed to identify indications of reduced susceptibility or emerging resistance conditions
associated with repeated larvicide exposure. Relevant resistance monitoring methodologies and
interpretation approaches described in published mosquito larvicide resistance literature including
in Mosquito Larval Bioassays shall be utilized by the Contractor.
Payment: The cost for resistance monitoring shall include all mobilization, labor, equipment,
mosquito collection materials, insecticides, laboratory supplies, rearing containers, and testing
apparatus necessary to complete the work. Payment will be made as a lump sum cost.
Frequency of Monitoring: Monitoring will be conducted one time between June and September to
establish an initial baseline dataset for mosquito susceptibility. The contractor shall complete:
x One round of adult mosquito resistance testing for permethrin and one round of adult
mosquito inhibitor testing for piperonyl butoxide; and
x One round each of larval resistance testing for catch basin and pond mosquito populations.
"!#
WĂŐĞϭϭŽĨϭϮ
The City intends that resistance monitoring be repeated approximately one year following the
baseline assessment in order to evaluate trends and detect any changes in susceptibility over time;
however repeated testing is not covered within this scope of work. CDC guidance recommends that
resistance surveillance be conducted routinely and consistently over multiple years to support
vector control decision-making and resistance management planning.
Reporting: The Contractor shall provide the City a technical summary report upon completion of the
resistance monitoring work. The report shall include, at a minimum:
1. Date, time and location of mosquito collections.
2. Description of the collection methods and environmental conditions.
3. Mosquito genus identified and approximate sample sizes.
4. Description of laboratory bioassay procedures utilized.
5. Diagnostic concentrations and exposure times used for adult bioassays.
6. Larval bioassay concentrations and exposure conditions.
7. Mortality data and graph of total percent mortality against time; and susceptibility
interpretations.
8. Comparative analysis between populations in monitoring area and comparison area.
9. Discussion of any indications of reduced susceptibility or resistance.
10. Recommendations for continued surveillance, resistance management considerations, and
future monitoring needs.
The report shall identify that the monitoring effort represents a baseline assessment intended to
support future comparisons and long-term mosquito abatement program planning.
SCHEDULE B
ITEM 1: POLLUTION LIABILITY INSURANCE
The City of Renton will reimburse the consultant for the lump sum cost of pollution liability insurance
including fees and taxes. Report all spill incidents to the city immediately and to State authorities per
S8.C.
"!#
WĂŐĞϭϮŽĨϭϮ
TIME OF COMPLETION
2026 MOSQUITO ABATEMENT PROGRAM
Upon contract execution and issuance of the Notice to Proceed, adulticiding of the upland areas
east of the Panther Creek Wetlands (Task 1) will be conducted in coordination with and at the
request of the city at a frequency of once per week during the months of June through September.
Treatments must only occur between 6:00 AM and 7:00 PM. The city may request a treatment
frequency of twice per week if larger than normal mosquito populations justify more frequent
application. The project budget assumes a maximum number of 15 treatment applications.
Larvae surveillance for city-owned Surface Water Utility and Facilities Division stormwater facilities
(Task 2) will be conducted at a frequency of every two weeks during the months of June through
September. If authorized, larvae surveillance for Golf Course irrigation facilities will be conducted at
a frequency of every three weeks during July and August starting the week of July 13th. Facilities and
associated catch basins that are dry after two subsequent inspections shall not be inspected until
greater than 1/2” of precipitation occurs in the two weeks since the previous inspection, or in the
case of the Golf Course irrigation ponds, three weeks since ther previous inspection. If the larvae
count exceeds 0.3 larva per dip, then larvicide shall be applied in accordance with the requirements
of the city obtained Permit. By direction from the City, testing and larviciding may extend past
September if recommended by the King County Department of Health.
Larvae surveillance and treatment for catch basins with a facility ID (Task 3) will be conducted at a
frequency of once a month from June through September. The project budget assumes a maximum
number of four surveillance inspections and treatment applications for catch basins specified with a
facility ID. Larvae surveillance and treatment for catch basins with an unspecified facility ID under
Task 3 will be conducted one time (Task 3, if authorized).
Adult resistance testing and larval resistance testing (Task 4) will be conducted one time between
June and September. The project budget assumes a lump sum cost.
Pollution liability insurance coverage shall be reimbursed only for the months in which treatment
occurs.
All work and treatment reports as required by the Permit are to be completed by December 1, 2026.
"!#
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"!#
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§¨¦405
Note: Treatment will not be applied within 100' of water.
Treatments will not be performed near homes. Treatment will only
be done on the upland area between the wetland eastern edge
and the residential areas. Property owner approval required prior to
treatment on private property.
Exhibit A: Project Area
0 500 1,000
Feet
Mosquito Abatement Program Project Boundary
100ft Stream Buffer
Wetland ´Date: 05/08/2019
"!#
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City of Renton IT-GIS
´
Date: 05/08/2023
00.551.10.275 Miles
The City of Renton may use mosquito larvicides made of a natural bacterium (Bacillus sphaericus)
to help control mosquitoes in accordance with the Washington State Department of Ecology’s
Aquatic Mosquito Control General Permit. Treatments may occur between June and September.
Larvicide treatment will generally occur in stormwater facilities owned or
maintained by the City. For more information about the City’s commitment to help reduce the
threat of West Nile virus and control mosquitoes, contact Kristina Lowthian, City of Renton
Surface Water Utility Engineer, at 425-430-7249 or by email at klowthian@rentonwa.gov.
For additional information about Ecology’s Aquatic Mosquito Control General Permit, please
contact the City of Renton orShawn Ultican, Water Quality Program, Washington State
Department of Ecology, at 360-870-3492 or by email at shawn.ultican@ecy.wa.gov.
Exhibit B: Larvicide Treatment Sites
Mosquito Abatement Program
"!#
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SW 34th St
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S 19th StSW 19th St
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S 37th Pl
Wells
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Smithers
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S 26th St
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S 38th Ct
S 2 7 t h Pl
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UV167
UV167
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UV515
UV515
Note: Treatment will only be applied to the catch basins
indicated. Treatment consists of an EPA registered larvicide
using hand applied briquettes or granules.
Exhibit C: Catch Basin Treatment
Mosquito Abatement Program
400 4000
Feet
GIS Surface Water Utility
Print Date: 04/27/2020´"?Catch Basin
"!#
Certificate Of Completion
Envelope Id: A6075919-ABA7-8300-81CF-60E22143593F Status: Completed
Subject: Complete with Docusign: Agreement for Contractor Signature.pdf
Source Envelope:
Document Pages: 27 Signatures: 1 Envelope Originator:
Certificate Pages: 4 Initials: 0 Angel Mitchell
AutoNav: Enabled
EnvelopeId Stamping: Enabled
Time Zone: (UTC-08:00) Pacific Time (US & Canada)
1055 S Grady Way
Renton, WA 98057
AMitchell@rentonwa.gov
IP Address: 146.129.251.56
Record Tracking
Status: Original
6/1/2026 11:07:13 AM
Holder: Angel Mitchell
AMitchell@rentonwa.gov
Location: DocuSign
Signer Events Signature Timestamp
Edward Horvath
ehorvath@trmvc.com
Director
Three Rivers Mosquito and Vector Control
Security Level: Email, Account Authentication
(None)
Signature Adoption: Drawn on Device
Using IP Address: 216.87.225.126
Signed using mobile
Sent: 6/1/2026 11:10:49 AM
Viewed: 6/1/2026 12:18:09 PM
Signed: 6/1/2026 12:18:28 PM
Electronic Record and Signature Disclosure:
Accepted: 5/12/2022 10:37:51 AM
ID: f75c62d3-69cb-4e45-a548-c54d76c08f76
In Person Signer Events Signature Timestamp
Editor Delivery Events Status Timestamp
Agent Delivery Events Status Timestamp
Intermediary Delivery Events Status Timestamp
Certified Delivery Events Status Timestamp
Carbon Copy Events Status Timestamp
Witness Events Signature Timestamp
Notary Events Signature Timestamp
Envelope Summary Events Status Timestamps
Envelope Sent Hashed/Encrypted 6/1/2026 11:10:49 AM
Certified Delivered Security Checked 6/1/2026 12:18:09 PM
Signing Complete Security Checked 6/1/2026 12:18:28 PM
Completed Security Checked 6/1/2026 12:18:28 PM
Payment Events Status Timestamps
Electronic Record and Signature Disclosure
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