HomeMy WebLinkAboutAgenda Packet for 10/5/2015 !
b) Administrative Services Department recommends approval of the Interlocal Cooperative
Agreement to Purchase LiDAR Data with King County and regional partners for an amount
not to exceed$12,000 to capture and acquire public-domain, high-resolution topography
data using LiDAR technology.
Refer to Finance Committee
c) Community&Economic Development Department requests adoption of an ordinance
declaring an emergency and adopting interim zoning regulations to allow adequate time
to establish regulations regarding the number of recreational marijuana stores in the City
of Renton.
Council Concur
d) Community Services recommends approval of a 64-month lease with Crawford and
Company for use of space on the 5th floor of the 200 Mill Building. Revenue generated is
estimated at$138,434 over the duration of the lease.
Council Concur
9. UNFINISHED BUSINESS
Topics listed below were discussed in Council committees during the past week. Those topics
marked with an asterisk(*) may include legislation. Committee reports on any topics may be
held by the Chair if further review is necessary.
a) Committee of the Whole: 2016 Community Development Block Grant Funds �
(See item 5.a.J j
b) Finance Committee:Vouchers
10. RESOLUTIONS AND ORDINANCES
Ordinance for first reading and advancement to second and final reading:
a) Interim Zoning Regulations Regarding Retail Marijuana Licensing and Declaring an
Emergency(See item 8.c.J
Ordinance for second and final reading:
b) Amending Business and Occupation Tax Code(First reading 9/28/2015.J
� 11. NEW BUSINE55
(Includes Council Committee agenda topics;visit rentonwa.gov/cityclerk for more
information.)
12. AUDIENCE COMMENTS
13. EXECUTIVE SESSION
Potential Property Acquisition -RCW 42.30.110(1)(b)-approximately 15 minutes
14. ADJOURNMENT
COMMITTEE OF THE WHOLE AGENDA
(Preceding Council Meeting)
7th Floor Council Conferencing Center
October 5, 2015
Monday, 5:30 p.m.
Chronic Homeless Issues
Hearing assistance devices for use in the Council Chambers are available upon request to the City Clerk
CITY COUNCIL MEETINGS ARE TELEVISED LIVE ON GOVERNMENT ACCESS CHANNEL 21
To view Council Meetings online,please visit rentonwa.gov/councilmeetings
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Denisl.aw CITY OF
Mayor
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Mayor's Office
�1'roc�amdtion
`GVhereas, in 1920, President Woodrow Wilson declared Fire Prevention Day, and in 1922 the
day became the week containing October 9th in special observance of the Great Chicago Fire of
1871;and
`f�l�hereUs, the United States has one of the worst records for residential fire deaths in the
worfd; and
ZVhereas, many families in the United States are lacking an effective and comprehensive home
fire escape plan; and
rGl�fiereas develo in an effective and com rehensive home fire esca e lan and racticin it
, p � P P P P g
at least twice a year are critical to escaping a fire safely; and
`i�l�hereas, proper installation,testing, and maintenance of smoke alarms are part of a
thorough home fire escape plan;and
`i�I/heTeas, by preventing home fires, and by developing and practicing a thorough home escape
plan, people can greatly reduce their fire risk; and
`i�heyeas, the City of Renton fire service is dedicated to the protection of life and property
from the devastating effects of fire;
Now, ?l�ierefore, I, Denis Law, Mayor of the City of Renton, do hereby proclaim the week of
October 4 through October 10, 2015,to be:
Fire �'revention �Veek
in the City of Renton in commemoration of the Great Chicagp Fire of 1871,which killed more
than 250 persons, left 100,000 homeless, and destroyed more than 17,400 buildings: I
encourage all citizens to join me in this special observance.
In witness whereof, l have hereunto set my hand and caused the seal
of the City of Renton to be affixed this Sth day of October 2015.
D�nis Law, Mayoi .
City of Renton, Washington
� Renton City Hall . 1055 South Grady Way • Renton,Washington 98057 • rentonwa.gov
- wr t��r v�EM #3. b)
Denis Law CITY OF
Mayor
n =�
n �
Mayor's Office
� �1'roclamation
tiV�erecZs, domestic violence is a serious and widespread social problem in our nation,with
approximately one third of all female homicide victims being killed by an intimate partner;and
`i��erecls, it has been estimated that every nine seconds a woman is beaten by her husband or
boyfriend in this country and, in more than half those instances,children under the age of 12 are
present; and
ZVhereas, in 2014,44 people died in Washington State as a result of domestic violence, including
seventeen women and two men;and
`i��e1'BCiS, 43 domestic violence shelter and advocacy programs in Washington State served 21,807
survivors of domestic violence and their children, including 5,855 who used emergency shelter
and 95,232 crisis hotline and information/referral calls; and
`i�l��et'eCls, more than half of abusers responsible for domestic violence related fatal shootings
were prohibited by law from owning firearms; and
tiVhereas,City of Renton is working to improve the overall response to and the reduction of
domestic violence in our region with awareness to the cultural differences in our community; and
ri�V�erCUS,October is nationally recognized as Domestic Violence Awareness Month;
NozV, 2�erefore, I, Denis Law, Mayor of the City of Renton, do hereby proclaim the month of
October 2015 to be
�omestic �ioCence Az,vareness �Vlonth
in the City of Renton, and encourage everyone ln our community to take an active role in
su ortin all victims so the can lead health lives safe from violent and abusive behavior.
PP g Y Y
In witness w�ereof, I have hereunto set my hand and caused the seal
of the City of Renton to be affixed this 5th day of October, 2015. i
���
Denis Law, Moyor
City of Renton, Washington '
Renton Clty Hall . 1055 South Grady Way • Renton,Washington 98057 • rentonwa.gov
� Hv�i�FLGM #3. c)
Denis l.aw C I T Y O F
Mayor ' �
•
�
Mayor's Office
' -
�rocCamatzon � �.
`GVFiereUs,for more than 70 years it has been the policy of this nation, under the US Housing Act,
ta employ its funds and credit to assist in remedying unsafe and unsanitary housing conditions and
the acute shortage of decent,safe and sanitary dwellings for families of lower income; and
�l�Vhe1'eas, according to the State of the Nation's Housing report, nearly 41 million households
now pay more than half of their income for housing, with more than four out of five with incomes
below$15,000 payiing more than 30 percent for housing; and
`i�VFterecls,according to the National Low-Income Housing Coalition's 2015 Out of Reach repbrt, in
no state can a full-time minimum wage earner afford either a one-or two-bedroom rental unit at
Fair Market Rate; and
`iN�ereCls, according to the Housing Assistance Council, 1.5 million (5.8 percent)of�ural homes
were considered substandard in 2009; and
�iN�iereas, public housing is home to more than 2.3 million people, 37 percent of whom are
children, and faces an estimated more than $26 billion backlog in capital repairs;and
`lNhere�ls, according to current estimates, on any given night,there are nearly 650,000 homeless
� nationwide and up to 3.5 million persons who experience homelessness at some point throughout
the year; �
JVozV, tFierefore, I, Denis Law, Mayor of the City of Renton, do hereby proclaim October 2015 to
be
�f'ousing America �Vlonth
in the City of R�enton, and I encourage all citizens to join me in this special observance.
In witness wFiereof, I have hereunto set my hand�and caused the seal
� ' �
of the Cit�of Renton to be affixed this Sth day of October, 2015. '
� .
Deni Law, Mayor
City of Renton, Washington
. 11
4
� Renton Gty Hall • 1055 South Grady Way • Rernon,Washtngton 98057 • rentonwa:gov.
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� A GENDA I TEM #8, a)
/,����-... _
'� CITY OF
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M I N UTES
City Council Regular Meeting
, 7:00 PM-Monday,September 28,2015
Council Chambers,7th Floor,City Hall—1055 S.Grady Way
CALL TO ORDER AND PLEDGE OF ALLEGIANCE
� Mayor Law called the meeting of the Renton City Council to order at 7:00 PM and led the
Pledge of Allegiance.
ROLL CALL
Councilmembers Present:
Ed Prince,Council President
Randy Corman
Armondo Pavone
Ruth Perez
Don Persson
Marcie Palmer
Greg Taylor
ADMINISTRATIVE STAFF PRESENT
Denis Law, Mayor
Alex Tuttle,Assistant City Attorney
Megan Gregor, Deputy City Clerk
Gregg Zimmerman, Public Works Administrator
Cliff Long, Economic Development Director
Commander Kevin Keyes, Police Department
PROCLAMATION
Diaper Awareness Week-September 28 through October 4,2015.A proclamation by Mayor
Law was read declarin the week of Se tember 28 throu h October 4 2015 to be "Dia er
g p g , P
Need Awareness Week" in the City of Renton,and encouraged all citizens to join in this
special observance and to generously donate to diaper banks,diaper drives,and those
organizations that distribute diapers to families in need in the City of Renton. Helen Banks
Routon, Director of Development and Community Relations for Eastside Baby Corner,
accepted the proclamation,expressed thanks to the Mayor and Council for their support, and
explained why the need for diapers among struggling families is so prevalent.She also shared
how Eastside Baby Corner has been able to support such families in Renton over the past
year.
, MOVED BY PRINCE,SECONDED BY CORMAN,COUNCIL ADOPT THE
PROCLAMATION AS READ.CARRIED.
September 28,2015 REGULAR COUNCIL MEETING MINUTES Page 1
A GENDA 1 TEM #8, a) •
ADMINISTRATIVE REPORT
Deputy City Clerk Megan Gregor reviewed a written administrative report summarizing the
City's recent progress towards goals and work programs adopted as part of its business plan
for 2015 and beyond. Items noted were:
• Tuesday,September 29,2015,will be the last Renton Farmers Market of the 2015 season
from 3:00 p.m. until 7 p.m.at the Piazza Park in Downtown Renton.
• Public Works Maintenance Services Worker Kip Braaten will travel to Loveland, CO to
compete in the 2015 APWA National Snow"Roadeo"scheduled for Wednesday, Kip has
qualified to participate in both events this year on a national level,and looks forward to
the possibility of becoming a national champion.
• Preventative street maintenance will continue to impact traffic and result in occasional
street closures through October 9, 2015.
CONSENT AGENDA
Items listed on rhe consent agenda were adopted with one motion,following the listing.
a) Approval of Council meeting minutes of 9/21/2015. Council Concur.
b) Administrative Services Department recommended a public hearing be set on 10/26/15 to
consider adopting the 2015/2016 Mid-biennium Budget Amendment and related legislation.
Refer to Committee of the Whole;Set public hearing on 10/26/2015.
c) Administrative Services Department recommended adopting the ordinance as presented to
amend the Business&Operations tax code,effective January 1,2016. Council Concur.
d) Community&Economic Development submitted a report on the effect of the impact fees for
parks,fire and transportation that were adopted in 2012. None;Information Only.
e) Utility Systems Division recommended approval of Addendum 5 to CAG-13-105 with Coast&
Harbor Engineering, in the amount of$286,211.72,for additional mitigation requirements
including permitting support, light study analysis, preparation of technical reports and project
management needed to implement the Cedar River Gravel Removal Project.Council Concur.
MOVED BY TAYLOR,SECONDED BY PALMER,COUNCIL CONCUR TO APPROVE THE
CONSENT AGENDA AS PRESENTED.CARRIED.
UNFINISHED BUSINESS
a) Utilities Committee Chair Taylor presented a report recommending concurrence in the staff
recommendation to grant a partial release of an existing utility easement contained and
described under King County Recording#20090409001132,subject to the collection of the
requisite processing fee from the applicant.
MOVED BY TAYLOR,SECONDED BY PALMER,COUNCIL CONCUR IN THE
COMMITTEE RECOMMENDATION.CARRIED.
b) Utilities Committee Chair Taylor presented a report recommending concurrence in the staff
recommendation to grant a partial release of an existing utility easement contained and
described under King County Recording#9510090749,subject to the collection of the
requisite processing fee from the Reserve at Renton Partners LLLP related to the Renton
Center Senior Living Project.
MOVED BY TAYLOR,SECONDED BY CORMAN,COUNCIL CONCUR IN THE
COMMITTEE RECOMMENDATION.CARRIED.
September 28,2015 REGULAR COUNCIL MEETING MINUTES Page 2
� AGENDA ITEM #8, a)
c) Planning&Development Committee Chair Corman presented a report recognizing that work
has been initiated on changes to Title IV to amend the densities allowed in the Commercial
Arterial (CA)zone. However,that work will not be complete until after the Moratorium on
Accepting Applications for Residential Development in the CA Zone is set to expire.Therefore,
the Committee further recommended preparation of a Resolution adopting a new
moratorium.
MOVED BY CORMAN,SECONDED BY PAVONE,COUNCIL CONCUR IN THE
COMMITTEE RECOMMENDATION.CARRIED.
RESOLUTIONS AND ORDINANCES
Ordinance for first reading:
a) Amending Business and Occupation Tax Code:An ordinance was read amending Sections 5-
25-2, 5-25-10,5-25-11 and 5-25-12 of Chapter 25, Business and Occupation Tax Code,of Title
V(Finance and Business Regulations)of the Renton Municipal code, by correcting the
definition of"Non-Profit Organization"and clarifying the regulations related to deductions I
and credits.
MOVED BY PERSSON,SECONDED BY CORMAN,COUNCIL REFER THE ORDINANCE
FOR SECOND AND FINAL READING ON 10/5/2015.CARRIED.
Ordinance for second and final reading:
b) Ordinance No.5768-McLeod Franchise Agreement:An ordinance was read granting unto
Mcleodusa Telecommunications Services, LLC,authorized to do business within the state of
Washington, its affiliates,successors and assigns,the right, privilege,and authority to install
communications facilities,specifically fiber optic cable and related appurtenances, under,
along,over, below,through and across the streets,avenues and alleys of the City of Renton
within the public right-of-way of Renton.
MOVED BY CORMAN,SECONDED BY PAVONE,COUNCIL ADOPT THE ORDINANCE
AS READ.ROLL CALL:ALL AYES.CARRIED.
c) Ordinance No.5769-Ordinance Amending RMC 1-3-3.A,Nuisances:An ordinance was read
amending Section 1-3-3 of Chapter 3, Remedies and Penalties,of Title I (Administrative)of the
Renton Municipal Code,clarifying the purpose and scope of Renton's chronic nuisance
regulations.
MOVED BY CORMAN,SECONDED BY PAVONE,COUNCIL ADOPT THE ORDINANCE
AS READ. ROLL CALL:ALL AYES.CARRIED.
NEW BUSINESS
See attached Countil Committee meeting calendar.
ADJOURNMENT
MOVED BY CORMAN,SECONDED BY PAVONE,COUNCIL ADJOURN.CARRIED.
TIME:7:15 p.m.
Jason A.Seth,CMC,City Clerk
Megan Gregor, Recorder
Monday,September 28, 2015
September 28, 2015 REGULAR COUNCIL MEETING MINUTES Page 3
AGENDA ITEM #8. a) �
Council Committee Meeting Calendar
September 28, 2015
Odober,5,2015 ,
Monday �
CANCELED Public Safety Committee, Chair Pavone
5:00 PM Finance Committee, Chair Persson - Council Conference Room
1. Vouchers
2. Emerging Issues in Revenue Streams
5:30 PM Committee of the Whole, Chair Prince - 7th Floor Conferencing Center
1. Chronic Homelessness
• AGENDA ITEM #8, b)
� ClTY OF
' ����� �
• � • • � • 1
SUBJECT/TITLE: Interlocal Cooperative Agreement LiDAR
RECOMMENDED ACTION: Refer to Finance Committee
DEPARTMENT: Administrative Services Department
STAFF CONTACT: Iwen Wang,ASD Administrator
EXT.: 6858
• • •
.�;��.,�:„�. : .. . -
Expenditure Required: $�.2;000 Transfer Amendment: $
Amount Budgeted: $ 12,000 Revenue Generated: $
Total ProJect Budget: . 5 :_ � City Share otal Projectr:
x .
, � .
.,; �
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. .,. . . . ., . . . f:, . � :..',. '. ,� „ ....., rn>4;Y°`^M..,;'. ....�"t5...:
� ' � � �
The City of Renton, in cooperation with King County and other Municipalities, will join in a local region
cooperative to capture and acquire public-domain, high resolution topography data using LiDAR technology.
LiDAR data is captured by remote sensing equipment that uses light to detect detailed information about the
surface of the earth. This project is not to exceed $12,000 and will be fully funded by the 2015 approved IT
budget.
:
A. Issue Paper
B. Agreement
, � • • � � •
Staff recommends approving the Interlocal Cooperative Agreement to Purchase LiDAR Data with King County
and regional partners for an amount not to exceed $12,000 and authorize the Mayor and City Clerk to sign the
a reement.
I g
AGENDA ITEM #8, b) �
'� CITY OF
ADMINISTRATION SERVICES _ Renton Q
M E M O R A N D U M
DATE: September 23, 2015
T0: Ed Prince, Council President
Members of Renton City Council
VIA: Denis Law, Mayor
FROM: Iwen Wang,ASD Administrator
STAFF CONTACT: Tim More, IT GIS Supervisor
SUBJECT: Interlocal Cooperative Agreement LiDAR
ISSUE
Should the City enter into an Interlocal Cooperative Agreement to Purchase (Light Detection and
Ranging) LiDAR Data?
RECOMMENDATION
Staff recommends approving the Interlocal Cooperative Agreement to Purchase LiDAR Data with
King County and regional partners for an amount not to exceed$12,000 and authorize the
Mayor and City Clerk to sign the agreement.
BACKGROUND
In the late 1990's the City participated in a regional LiDAR consortium to collect LiDAR data
available from various Federal Government and local sources for analysis to identify and map
Erosion Hazard Areas, Flood Hazard Areas, Landslide Hazard Areas,and Steep Slope Areas.
These maps are used extensively for safety and environmental review throughout the
development and planning process and need to be updated for currency and accuracy.
Approval of the agreement will join the City in a local region cooperative to capture and acquire
public-domain, high resolution topography data using LiDAR technology. LiDAR data is captured
by remote sensing equipment that uses light to detect detailed information about the surface of
the earth.
The City IT GIS team will use the new data to update or newly map the following:
• Terrain Modeling/Topography Contours
• Critical Areas:
o Erosion Hazard
o Flood Hazard
o Landslide hazard
o Steep slopes
• Building Footprints
• AGENDA I TEM #8, b)
• Impervious SurFace Areas
• Transportation Asset Inventory
• Tree Canopy and Biomass measurement
• 3D Modeling/Visualizations for planning
FUNDING
The total project will be funded by the 2015 IT budget.
TIMELINE
2015:
� Approve interlocal agreement
I • Contracted vendor capture data
' 2016:
• City GIS staff perform analysis and produce derivative map products available through
enterprise GIS
AGENDA ITEM #8. b) •
KITSAP COUNTY
DEPT.OF EMERGENCY MANAGEMENT
911 Carver Street
Bremerton,WA 98312
(360)307-5871
INTERLOCAL COOPERATIVE AGREEMENT TO PURCHASE LIDAR DATA
HING COUNTY,WA.LIDAR PROJECT
BY PARTNERS LISTED IN EXHIBIT A
KC- -ZO15
I
THIS AGREEMENT is between Multinle Partners(Exhibit Al all municipal corporations,and Kitsao Countv.a
municipal corporation,all in the State of Washington.
WITNESSETH:
WHEREAS,The Interlocal Cooperation Act,as amended and codified in Chapter 39.34 RCW provides for
Interlocal cooperation between governmental agencies;and
WHEREAS,Chapter 3933 of the Revised Code of Washington provides for the intergovernmental disposition of
property, and
WHEREAS,both parties are required to make certain purchases by formal advertisement and bid process,which is a
time consuming and expensive process;and it is in the public interest to cooperate in the combination of bidding
requirements to obtain the most favorable bid for each party where it is in their mutual interest;and
WHEREAS,the parties also wish to utilize each other's contracts where it is in their mutual interest;
NOW,THEREFORE,the parties agree as follows:
1. PURPOSE. The purpose of this agreement is to acknowledge the parties'mutual interest to jointly bid the
acquisition of goods and services and disposition of property where such mutual effort can be planned in advance
and to authorize the acquisition of goods and services and the purchase or acquisition of goods and services under
contracts where a price is extended by either party's bidder to other governmental agencies;
2. ADMINISTRATION.No new or separate legal or administrative entity is created to administer the provision of
this agreement. The Administrator of this agreement is the Director of Emergency Management of Kitsap County,
Washington.
3. SCOPE.This agreement shall allow the following activities:
A. Purchase or acquisition of goods and services by each party acting as agent for either or both parties
when agreed to in advance,in writing;
B. Purchase or acquisition of goods and services by each party where provision has been provided in
contracts for other agencies to avail themselves of goods and services offered under the contract.
C. Disposal of goods by each party acting as agent for either,or both parties when agreed to in advance,in
writing.
1
� AGENDA ITEM #8, b)
�� " COOPERATIVE PURCHASING AGREEMENT ��
4. DURATION OF AGREEMENT-TERMINATION.This agreement shall become effective upon signature of
both parties for a one(1)year period.
5. RIGHT TO CONTRACT INDEPENDENT ACTION PRESERVED.Each party reserves the right to contract '
independently for the acquisition of goods or services and or disposal of any property without notice to the other
party and shall not bind or otherwise obligate the other party to participate in the activity. I
6. COMPLIANCE WITH LEGAL REOUIREMENTS.Each party accepts responsibility for compliance with ,
federal,state or local laws and regulations including,in particular,bidding requirements applicable to its acquisition
of goods and services or disposal of property.
7. FINANCING.The method of financing of payment shall be through budgeted funds or other available funds of '�
the party for whose use the property is actually acquired or disposed. Each party accepts no responsibility for the '
payment of the acquisition price of any goods or services intended for use by the other party. I�
8. FILING.Executed copies of this agreement shall be filed as required by Section 39.34.040 RCW prior to this
agreement becoming effective. "
9. INTERLOCAL COOPERATION DISCLOSURE.Each party may insert in its solicitations for goods a
provision disclosing that other authorized government agencies may also wish to procure the goods being offered to
the party and allowing the bidder the option of extending its bid to other agencies at the same bid price,terms and
conditions.
10. NON-DELEGATION/NON-ASSIGNMENT.Neither party may delegate the performance of any contractual
obligation,to a third party,unless mutually agreed in writing.Neither party may assign this agreement without the
written consent of the other party.
11. HOLD HARNII,ESS.Each party shall be liable and responsible for the consequences of any negligent or
wrongful act or failure to act on the part of itself and its employees.Neither party assumes responsibility to the other
party for the consequences of any act or admission of any person,firm or corporation not a party to this agreement.
12. SEVERABILITY.Any provision of this agreement,which is prohibited or unenforceable,shall be ineffective
to the extent of such prohibition or unenforceability,without invalidating the remaining provision or affecting the
validity or enforcement of such provision.
13. LiDAR SURVEY DATA.Kitsap County has contracted with Quantum Spatial Inc.to provide public-domain
hi h-resolution LiDARto o ra hic surve data in the Pacific Northwest. E�ibit C outlines costs associated with
g P g P Y
Puget Sound LiDAR Consortium's rate structure agreed upon with Quantum Spatial,Inc.under its contract terms
and used in Exhibit B to define Quantum Spatial,Inc.project proposal.The proposal and cost structure is the basis
of the King County LiDAR Project partnership to purchase LiDAR Data.
The jurisdictions or municipal partners in Exhibit A agree to participate in the King County LiDAR Project and to
the costs outlined in the Exhibit. Kitsap County will act as the agent for each partner in Exhibit A,and a signatory to
this agreement to obtain the data described in Exhibit B from Quantum Spatial,Inc. The project,referred to as the
King County LiDARProject has a total costs of$623,146.00. The Project Costs is a total of LiDAR services and a
service fee for contract administration and Quality Assurance,which is 14%of the total Project costs. This
Agreement is for a total cost of$95,585.00 to include associated administrative and quality assurance cost noted in
Exhibit A. Each LiDAR Partner listed in Exhibit A will be responsible for their obligated LiDAR costs and
payments will be made per contract milestones as follows:(1)acquisition(50%of total costs),(2)delivery(30%of
total costs)and acceptance(20%of total costs).
2
AGENDA ITEM #8, b) •
�� COOPERATIVE PURCHASING AGREEMENT ��
Accepted and Approved: Atcepted:
Kitsap County Department of Emergency Management
Kitsap County,Washington
CITY OF AUBURN
By:
Michael Gordon,Director
Title: Kitsap County Emergency Management
Date: '
Attest: Date
By:
CITY OF BELLEVUE Approved DATED this day of
,2015
By:
BOARD OF COUNTY COMMISSIONERS
Title: KITSAP COUNTI'.WASHINGTON
Date:
Attest:
By' ROBERT GELDER,Chair
CITY OF BOTHELL
By' EDWARD E.WOLFE,Commissioner
Title:
Date:
CHARLOTTE GARRIDO,Commissioner
Attest:
By:
CEDAR RIVER WATER AND SEWER DISTRICT ATTEST:
By:
Title: Clerk of the Board
Date:
Attest:
By:
3
• AGENDA ITEM #8. b)
�� COOPERATIVE PURCHASING AGREEMENT ��
�
CITY OF ISSAQiJAH CITY OF SAMMAMISH
By: By:
Title: Title:
Date: Date:
Attest: Attest:
By: By:
CITY OF KENT CITY OF SEATTLE
By: sy:
Title: Title:
Date: Date:
Attest: Attest:
By: By:
NORTHSHORE UTILITIES CITY OF KIRKLAND
By: By:
T�t�e: T�c�e:
Date: Date:
Attest: Attest:
By: By:
CITY OF RENTON
By:
T�t�e:
Date:
Attest:
By:
4
-- - - ----- -- ---------- -
------ --- ---- - -_ --
- - ---- - -----,-
. ' Exhibit A €
i
King County LiDAR Projed Partners and Contract Costs i
�
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i
sa� �� w�+c�: n�+�,� �tuc�o.r �',uz , 'tora.�+a�s�„T�dc�r/i�s.�sr
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_ ii+�.��►�.. - �a.. ,� ��co.� �arc:- »c .
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E�n . . �, sa:+�rl ��o.nt Si�»sas.00l Sass:�� , �S�:�sl st�e;as�.�n� , .Ss��s.Z� �zsas3+�
i B�N�vue � 50.29� 32184.90� $12,552.11� $878.65� $878.65� $14,309.41 j $13,631.14� $27,940.55
Es,�wi� -; , . �� �cr.�a�.; .. s����l-=,.. �:�,a�!- S3s�:a�I - s3sr:s�l Ss.szs.zz�; Ss,ssi��� su:�.t9
�Cedar Riwr Wst�r and S�vwr District � 21.56� 13798.65� $5,381.47� $376.70� $376.70� $6,134.88I, S5,844.09� $11,978.97
ta..� _ _ . :1 -- ,. �:�al . su�.:�f- Sa,szz:s91 S�s�:asi Sais.�l �;s�;�rrl : s��oas21. , sia,cwis.�
�K�nt � 51.59� 33020.58� $12,878.02� $901.46� $901.46� $14,680.95� $13,985.07� $28,666.02
f l�dlp�d .,. ::' •_. :: : � .:` �:7►3I:. , 1T1t1$+?Ei�: 5�,�72.2$�� . . . $�i7 tl6f ,.. �7;JQ61:; $7`.GOGt+iO� �.�45;861: Sl�t;�2:�6
;No�t�,aho�.ue�yoisericc � z�.n� in�.�o� S6,930.18� Sass.li� Sass.ii� S�,�o.ai; $7,525.93� 515,426.34
� :
i�eo+,r . :,. ... , , � _ _ ,�s:�z zzs�:�2: ... Sa.��sl , s��a�.t >: :. S�.a,�s,( _ :s�:a�i'<��: ; :Sg.�ai� . Ss�.sar.�s►
�Sammamish � 33.58I 21488.24� $8,380.41� $586.63� $586.63� $9,553.67i $9,100.83� $18,654.50
i _. _ `Toarrt Ssu.�t St�+,s9o.�st . Sas,s�a.�f. Ss.ee�r.z�k ss.ses.z4! �s.ssi:s�� S9s.osa.s9F S�.to
NOTE: King County has agreed, under a separate agreement,to pay a proportionate cost forthe project as outlined in the Table above.
n
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a� .
� A GENDA I TEM #8. b)
IICOOPERATIVE PURCHASING AGREEMENT ��
Exhibit B
LiDAR Data Acquisition Cost Proposal—King County LiDAR Project
September 9,2015
Michael Gordon
Kitsap County Department of Emergency Management
911 Carver St
Bremerton,WA 98312
360-307-5872
mgordon@co.kitsap.wa.us
RE: LiDAR Data Acquisition Cost Proposal—King County 2015 Project Area,WA
Quantum Spatial, Inc. appreciates the opportunity to present to the Puget Sound LiDAR Consortium (PSLC) a cost
proposal for acquiring and processing high-resolution (>8 pulses/mz) LiDAR data for the project area of interest to
King County, WA. Our cost for LiDAR acquisition and processing abides by our negotiated cost structure with the
PSLC, assuming that a contract for
standard deliverables will be
administered through Kitsap
County,WA. -' ' `�
_ f •�i. .1F '.� 4h`�I�4k ��:
,.;,, •"��' '�'
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f -._�,.�. �-: ��;°'�. _ -
t� �, A
LiDAR oint doud colored b NAIP =�� j:a,i-': ` � ' - `"°� -
p Y �'�^ Y�v�+�.':� �'� _,
imagery of downtown Redmond, ,- �, �� ,{�,+f��.�:`� � '� ;�;_ �:
. ! � yt'+ R f �CrH_�,.
Woshington. _ �i'�._g�xr w,,+5a.rr-Si•� �.a-� , s%--s-`�`_'.
a� s '����� ..J. A 8 ; �� $,�,•
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+oA'�^W`"�� -. ..' �� " "iG'Lu..�� A'.k
y �� , ' � � �`�. � �`r��'
Services ` -
� � .
Airborne LiDAR . _ . ~,i: ..,► I
QSI will collect LiDAR data using a Leica LiDAR system to produce a highly accurate, high resolution (>8 pulses/mz�
LiOAR dataset with no gaps and ample buffers(at least 100m)around project boundaries. Data will be collected at
a <_ 30° field of view (+/-15° from nadir), with at least 50% overlap among swaths to minimize gaps and laser
shadowing.The LiDAR system records up to four range measurements(returns) per pulse (first, second, third, and
last). All overlapping flight lines will be flown in opposing directions to maximize detection of swath to swath
inconsistencies used to resolve system misalignments. Our GPS receivers and LiDAR systems are GNSS-capable
ensuring low PDOP values and adequate satellite constellations throughout the mission. GPS quality is predicted
before the flight and checked during post processing to ensure that positional accuracy exceeds specifications.
Using a combination of automated and manual techniques that are tailored to the particular land cover and terrain
of the study area, LiDAR processing will include kinematic corrections,calculation of laser point position, relative
accuracy testing and calibrations,classification of ground and non-ground points,assessments of statistical
absolute accuracy,and creation of ground surface models.
6
A GENDA 1 TEM #8, b) �
Absolute accuracy assessments will compare known RTK ground survey points to derived LiDAR points. Accuracies
are described as the mean and standard
� � ' � deviation (sigma�6) of divergence from RTK
Multi-Swath Pulse Density >_8 pulses/mz ground survey point coordinates. All accuracy
Scan Angle _<30°(+/-15°from Nadir) statistics (RMSEZ, Accuracyz - 1.966,
Returns Collected Per Laser Pulse Up to 4 skewness/distribution, and percentile
�ntensity Range 1-255 deviations)will be reported in the final report.
Statements of statistical accuracy will apply to
Swath Overlap 50%side-lap(100%overlap) fixed terrestrial surfaces only.
GPS PDOP During Acquisition 53.0
GPS Satellite Constellation >_6
Maximum GPS Baseline 13 nautical miles
Accuracy=(1.96 a),slope<20° <20 cm
Vertical Accuracy(6�,slope<20° <_15 cm
Survey Control
Horizontal Accuraty(6) 5 30 cm
Simultaneous to the LiDAR data collection mission, QSI will conduct a static (1 Hz recording frequency) survey of
the horizontal and vertical positions of two or more survey control dual-frequency DGPS base stations established
at monuments with known coordinates. Maximum baseline lengths between control points and the aircraft GPS
do not exceed 24 kilometers (13 nautical miles). After the static GPS data have been collected, the files will be
processed using the Online Positioning User Service (OPUS). Multiple sessions will be processed over the same
monument to confirm antenna height measurements and reported OPUS position accuracy. Control monument
locations will be certified by a QSI Washington PLS.
Quality control real-time kinematic (RTK)ground check survey data will be collected within the project area, with
an established Root Mean Square Error(RMSE)of less than 2 cm.Absolute laser spot accuracies will be statistically
analyzed based upon an adequate sample (500 per 50,000 acres, depending on access and GPS conditions within
study area)of well-distributed RTK ground survey points on open, bare earth surfaces with level slope.
,.��.,,�.- � �.�.�
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7
� A GENDA 1 TEM #8. b)
�I COOPERATIVE PURCHASING AGREEMENT ��
Deliverables
Deliverables will match standard for Puget Sound IiDAR Consortium:
� � •
Report of Survey Text report that describes survey methods;results;vendor's accuracy assessments,
including internal consistency and absolute accuracy;and metadata
.pdf,.doc,or.odt format
Aircraft trajectories Aircraft position(easting,northing,elevation)and attitude(heading,pitch,roll)and GPS
(SBET files) time recorded at regular intervals of 1 second or less.May include additional attributes.
ASCII text format
All-return point cloud List of all valid returns.For each return:GPS week,GPS second,easting,northing,
elevation,intensity,return#,return classification.May include additional attributes.No
duplicate entries.
ASCII text and LAS version 1.2 format
1/100�''USGS 7.5-minute quadrangle(0.75 minute by 0.75 minuteJ tiles
Ground point list List of X,Y,Z coordinates of all identified ground points.
ASCII text.
1/100`h USGS 7.5-minute quadrangle(0.75 minute by 0. 75 minute)tiles
Ground surface model Raster of ground surface,interpolated via triangulated irregular network from identified
ground points.No unavoidable point misclassification
ESR/floating point grid,3 ft cell size,snapped to(0,0J,1/4�h U56S 7.5-minute quadrangle
(3.75 minute by 3.75 minuteJ tiles
First-return(highest-hit) Raster of first-return surface,cell heights are highest recorded value within that cell,
surface model voids may be filled with ground surface model
ESRI floating point grid, 3 ft cell size,snapped to(0,0J,1/4�h USGS 7.5-minute
quadrangle(3.75 minute by 3.75 minuteJ tiles
Intensity image GeoTIFF,1.5.ft pixel size,1/4�h U565 7.5-minute quodrongle(3.75 minute by 3.75
minuteJ tiles
� Files shall conform to a consistent naming scheme.Files shall have consistent internal formats.Surface models shall !
have no tiling artifads and no gaps at tile boundaries.Areas outside survey boundary shall be coded as NoData.
Internal voids(e.g.,open water areas,shadowed areas in first-retum surface)moy be coded as NoData.
.. .
Projection Washington State Plane North
Horizontal Datum NAD83(COR596)
Vertical�atum NAVD88(GEOID03)
Units U.S.Survey Feet
Delineations USGS Quadrangle tiling scheme
'To match with existing data. The data will be creaTed in NAD83(COR596J,
but for GfS purposes wrll be defined as NAD83(HARNJ. ',
8
A GENDA I TEM #8, b) �
IICOOPERAT[VE PURCHASING AGREEMENT I�
Area of Interest— King County, WA
The area of interest(A01)for this cost proposal includes 700,329 acres spread through King County, WA(Figure 1).
Previous LiDAR collections for the PSLC and Pierce County are shown in grey. Overlap between collections will
facilitate data matching.The A01 will be buffered by 100 meters to ensure complete coverage and adequate point
densities around study area boundaries.
_ . -- �—— � �-�,r- � �'�.� � � Figure 1. Area of
� � ��� � " � �"���� � � K�� �x' interest for LiDAR
f .. � � ��i �
�� � �� acquisition in Kinq
! A -� � � Y � .�.��p� CounYy, WA.
f � �I��� � ��
,.
♦
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i a �
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. ^ s ?,�. � ,► ` �
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t �'� .,a r "��' .'� i
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� �� � ��� ���� ' � �
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. � �� j'A';,
�• � �
. a • 'S:iw,.:•..i� r
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• �k - �'�'' '�� . � � location
� ��: "� - •
�* ` � ;,: :i*�
_, �
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` King County Regional LiDAR a
N
� � ,�2015 Prqeet Boundary(700.329 acres)
Proviously Co9acted IiDAR(OSI/WSI)
5 10 20
.s
—_ �
Schedule
Q51 will work with PSLC and King County to coordinate timing of data collection during fall 2015 as best meets the
needs of the project. All data are delivered to PSLC within 60 days of acquisition.
Cost Proposal
The following table presents LiDAR acquisition and processing costs for the project area portrayed in Figure 1,
assuming above specifications and deliverables. Costs for acquisition and base level processing are in
accordance with QSI's negotiated area-weighted rate structure with the Puget Sound LiDAR Consortium.
. . � � � �� . .
.
LiDAR Acquisition and Base Processing $546,256.62 $0.78
* Budget does not include 14%PSLC administrative fee.
9
• AGENDA ITEM #8. b)
�� COOPERATIVE PURCHASING AGREEMENT ��
Exhibit C
Puget Sound LiDAR Consortium Rate Structure
� Provider: � Kitsap County �
� Agreement No.: � KC-244-12 w/extension �
� Agreement Title: � Remote Watershed LiDAR Services �
Area Extent Price per Price per Contours Intensity Gain-
Acre Square Mile Images normalized
Intensities
50 to 100 sq.miles $1.42 $909 $0.142 $0 $0.080
(32,000 to 64,000 acres)
100 to150 sq.miles $1.11 $710 $0.111 $0 $0.060
(64,000 to 96,000 acres)
150 to 200 sq. miles $0.94 $602 $0.094 $0 $0.050
(96,000 to 128,000 acres)
200 to 250 sq.miles $0.84 $538 $0.084 $0 $0.040
(128,000 to 160,000 ac)
Greater than 250 sq. mi $0.78 $499 $0.078 $0 $0.035
(Greater than 160,000 ac)
The Puget Sound LiDAR Consortium(PSLC)adds a 14%overhead fee to the total cost.7%is for contract and
administrative services by Kitsap County Department of Emergency Management and 7%to the Puget Sound LiDAR
Consortium for Data analysis.
10
� �
� AGENDA ITEM #8, c)
-.I""" „ _
� CITY OF
-- ento�. �
� • � . � . �
SUBJECT/TITLE: Adopting Interim Zoning Regulations and Declaring an Emergency
RECOMMENDED ACTION: Council Concur
DEPARTMENT: Community& Economic Development
STAFF CONTACT: C. E. "Chip"Vincent, CED Administrator
EXT.: 6588
. ..
Expenditure Required: $N/A Transfer Amendment: °$ N/A `
Amount Budgeted: $ N/A Revenue Generated: $ N/A
Tot�l P�oject�ud,get: . �N�A a � '� City Share'�o al �t �.N/A
.
,
� �, . ,�.:,r �. . :.,. ..�. .:.�... �,�.,�,;.�.:,��. ... �. � . , ����P���r:.;: .
,.
.,, . � ..;.,,.,,.,
. . • , • . . _
On September 23, 2015,the Washington State Liquor and Cannabis Board (LCB) informed local authorities
, that they will begin accepting applications for new retail marijuana licenses on October 12, 2015. Additionally,
the LCB informed local authorities that "the Board would not be limiting the number of licensed retail stores,
although, they may consider limits in the future". They advised that local authorities could choose to make
I r r in n s t ddress concerns about the number of retail mari'uana stores allowed in their
ru es o o d a ce o a �
respective jurisdictions.
Previous to September 23, 2015, the City had been working under the reasonable presumption that the LCB
would altocate new retail marijuana stores as they had with the initial licensing of recreational marijuana
stores under I-502. Under that round of licensing the City of Renton was allocated 3 retail marijuana stores.
The immediacy of October 12, 2015 and the practical difficulties faced by the City to follow a public process
with proper notice and consideration, merits declaration of an emergency and adoption of interim zoning.
Under interim zoning,the City will establish a maximum number of recreational marijuana stores allowed in
the Cit , s ecificall 5.The ur ose of the interim zoning would be to allow adequate time to evaluate and
Y P Y P p
consider what the most appropriate regulations regarding the number of recreational marijuana stores is for
Renton, and for the City to adequately provide public participation.
:
A. Draft Ordinance
� ' • �� •
Adopt an ordinance for interim zoning regulations and declaring an emergency.
AGENDA 1TEM #8, c) •
CITY OF RENTON, WASHINGTON
ORDINANCE NO.
AN ORDINANCE OF THE CITY OF RENTON, WASHINGTON, ADOPTING INTERIM
ZONING REGULATIONS FOR RECREATIONAL MARIJUANA RETAII USES AND
DECLARING AN EMERGENCY.
WHEREAS, the City has the authority to adopt an interim zoning ordinance pursuant to
RCW 35A.63.220, 36.70A.390 and 36.70.790; and
WHEREAS, the Liquor and Cannabis Board has indicated that it will expand the
permissible number of recreational marijuana licenses, with almost no notice to the City; and
WHEREAS, the City Council has determined that there is a need for an interim zoning
ordinance to regulate recreational marijuana retail uses in certain zones as the City considers
and analyzes options for regulating the permitted number of such uses, or otherwise
controlling the density and separation of such uses; and
WHEREAS, public hearings were held on February 19, 2014 and August 6, 2014, before
the Planning Commission to take testimony;
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF RENTON, WASHINGTON, DOES
ORDAIN AS FOLLOWS:
SECTION I. The above recitals are found to be true and correct in all respects.
SECTION II. The City Council makes the following findings:
1. The purpose of this interim zoning ordinance is:
a. To continue to permit recreational marijuana retail uses in a manner that does
not detrimentally concentrate such uses and create negative secondary effects on the
1
� AGENDA ITEM #8. c)
ORDINANCE NO.
surrounding community, and is compatible with new and existing development in the
surrounding community; and
b. To allow the City adequate time to consider and develop new zoning code
regulations, as well as potential rezones of some areas.
2. The City is currently engaged in a work program to study and analyze recreational
marijuana retail and the detrimental effects it may have, if any.
3. Until further action of this Council, the total number of recreational marijuana retail
uses in the City of Renton is limited to five (5).
SECTION III. This is hereby declared an emergency in order to protect the public
safety, health and general welfare and this ordinance shall take effect immediately upon its
passage.
PASSED BY THE CITY COUNCIL this day of , 2015.
Jason A. Seth, City Clerk
APPROVED BY THE MAYOR this day of , 2015.
Denis Law, Mayor
2
AGENDA 1TEM #8, c) •
ORDINANCE N0.
Approved as to form:
Lawrence 1. Warren, City Attorney
Date of Publication:
ORD:1884:9/30/15:scr
3
� AGENDA ITEM #8, d)
� CITY OF �
- enton �
. . . . , . .
SUBJECT/TITLE: Lease with Crawford and Company for Space on the Fifth Floor of the
200 Mill Building
RECOMMENDED ACTION: Council Concur
DEPARTMENT: Community Services '
STAFF CONTACT: Peter Renner, Facilities Director
EXT.: 6605
� .,
' aS�-�y"��*.�-Y&'": �M,���.; . ., G ,.,.: p ,y,e� `r' �'?,�.a�a�.'..�r�. . .,. . _ , . ,
Expenditure Requir�ed: �����8;t�98:x� �Transfer Amen�ment� -.' ��$N/A e
' Amount Budgeted: $ 168,098 Revenue Generated: $ 138,434
Totai Project�,{�`dget w �'���� 8��9$ �v ' 4�C�}`�r' hare '��;� � . e, ��/A
" > . .;i.i�. #a:. - ., _.��s�r:�� �.-.'a.h.��.4-.s,_i,-? -. �!".�._mk.s,�,�.1� �:'�..a. _ „ . .
� � � � � �
n ffi I ti n . The
Crawford and Company is a large International Claims Management company with ma y o ce oca o s
local office is currently located in Bellevue but desires to relocate to Renton.
To meet their need, we have structured the market-based lease with the following conditions:
• Turn-key tenant improvements, not to exceed $128,089.00
• Term set at 64-months with rent starting at$18.25 with $0.50 annual increases
• Four months free rent (months one through four)
• Rentable square feet total of 4,293
• Right of first refusal on the balance of the fifth floor, currentty occupied by Communities in Schools of
Renton
, •
, Brokerage fees of$40,068.00
I •
A. Lease
� � ' • � � •
Approve the Lease and authorize the Mayor and City Clerk to sign it.
AGENDA ITEM#8. d)
�����
601 UNION 8TREET OFFICE LEASE-GR08S
St�'fE 4T20
8EATTLEr WA 88101 200 MILL AVENUE BUIE.DING
1'EI.598,2271 PAX S�-Y190
This Uaa�made this 44th day of June�2015 by and Detweera The Gity oi Rse�bon,Wash�Cot�,a
W�hlnpton munkip�i corpiaration ("Landlard'7, and CrawloN � Comparry, a (isarp(a aorporatlon,
t'Tenar�C'),wha apree�foNarwrs:
1. Fundamentai Tsrtns.As used in fhia Lease,the foik�wing capitalized terms shall have fhe folbwing
meanings:
(a) "I.and"means the�and on which the Buifding Ia IoGated,situated in the City of Rentan,Counry
of King,State of Washin�tcm,which�described on FX61�1L8•
(b} "BuNding"means the iauilding in which the Premises are bcated,cammonry knaMm as tl�e 20d
Miq Avenue Building>the street address of which is 200 Mill Avenue South,Rertton,Wasitir�ton 88055-
3232. '
(c� "Pramises"means that certain space aosshabched�Exhibit�,bc�ted on the FiM floor o#
the Buiiding and designated aa Suibe�k 505,51Q,515.
{d) "A�reed Meas" means the agreed amount of rerrtabla square feet of space in the Build�n�
arxf the Premises. i_andlord and Tenant stipulate and agree for all purpases under this Lease fhat the
Buiidinp c�tains aHw���':..,�.�,.�r 49,480 rentable square feet of space(#he"8uiiding Aroa'�ar�that U�e
Premisea contein approximaEely 4,293 rentabie square teet of spaca in Suite�,505,510,515 an the fffth
fbor. The total area under lease wiil be 4,283 rerrtabie square Met,(the"Premiees A�").The parties
a�re8 lhat U18 PrHinises wiU be[emeasured by landkxd's srchiGect to accuratety determine Cte numtlet of
rentable squaro fdat of spaoe in the Prornises,whk�h cMeberrnination shall be made in accordanae with the
Bultd�tq th�mers amd Managers Associa#ion intema�onai ("��$') stancfards, namely ifie 'S�ndard
Method Mr Me�uring Fbor Ar�in U(fice Buildings—Asnerican Nattonal Standard;AN$t Z85.1-1996.
Promptly�fb�LandbM's ar�chitact makes such daGerminatbn,�is Lease shall be amended to aocurately
retiect tt�a number af r�table square fee2 af space�Utie Build�and the Pnsmises as sa detemrined.in
addition,the Mtnimum Mamhly Rent,and TenanYs Share,shall ba proportianately adjuateQ based on the
acEual number oi re�rtabie square feet of space in the Premises as sc�detertnlned.Landbrd and Tenant
fu�a�}ree that tlze Bui�i�Are�a rrsay e�cdt�e poNa�s of the 8uikii�which are used for othar thsn
office purposes,such as areas used far retail purposes.
{e} "Tenard's Share"tneans the Prerrtises Area divided by t#e Buitdtt�Ar�a. e�cpreassed�a
Percentaye,whidr is eight point sbc�i�ht percer�t (8.88%).NotMrithatandiny the fore9oiny,if one or rtwre
of the facilitiea, s� and utilidea the costs oi which are inc�uded within ihe definition of Operatlng
Cas�is not tumiahed to one ar more spacea or to pardcular lypes af spaces,ther►in connecGon with t#�e
calculation of TenanCs Share of each of such�tlre Buildinp Area shall be reduced by 1fie number af
�tabla squa�a feet cont�ined in such space and TenanCs Share ahall be separateiy cornputed as�a
ece�ch of such costs. If fhe Building st�aU oontain non�office t�ses du�ing e[ry period,Landbtd shaU have tt�e
right to determine,in acooMance with sound axoun6r�and manapemeM principtes.7enanCs Share af Real
Property Taxes�d Clpe�atirag Costs f+ot only the affice port3on af tha Bu�ding,�r such everrt.Tars�Cs Share
SF►a�be based on the retio of tlte rentable area of tlte Promises to Ute rentab�le area df such office poAion fCK
such period.
If a partfon of the Bu�Cling is damaged or caondemned, or ar�r other event aa�rs whid�al0era the
ntunber of r+errt$We squ�e�aet�spet�i!rt tlse Prem�a 1he BuNd�p�th�Candlorrd ahedl adjuat TenanCs
Share to equal the aumber of rerrtable mQuau`e feek of apaoe then ex�ting in the Premisea(as alDerr�d by wch
event)divided by tlle number of reMable square faet of space then ex�dng in the 8uilding(as altered by such
event)-
{f} "Commencemerst Date"me�s November 1,20i5�ar such earlier ar Fater date as provkied in
Section 4 hereat Tenant ahall have acx�ss to the Pnsmisas for tumiWre,telecommunications wiring,and
equipment assemby fiar a periad af up to$Q days prior to lease commencement at no cast ha Tenant�
{g) "Facpiration Data"►n�ns February 28,2021.
{h) 'Term"means the period af drr�e commenar�on it�Commencement Da�and anclinq on
the Expiration Date,unless aaaner terrninated pursuaM to this Lease.
{i) "Mlnimum Mar+thly Ren�"rr�ns ihe fol�wing ama�nts�to the foilowing periods during tfie
TeRn of this Leaae:
visriod rNa�rtfiM amourrt
�t+lovembe�1,2015� m (february 28,2016�SO.plI per month
March a,.2016� to � October 31,2016�56.260.63 per month
�November L 2016� to I October 31,2017�56.439.54 oer month
�November i,2017� to � Octaber 3l,2Q18�S6,S18.38 per month
ENovember 1,2d18� to � Octobar 31,2019�$6.797.25 per month
November 1,2d19I to � October3l,2020�56.976.13 permonth
November 1,2AQ0� La �FcbruaN 28.TA�2i�S7.155.00 per month
1
� A GENDA JTEM#8. d) �'i
{i> �Psrrn�tsa use�r�,s uee fo�rw�of�r�ra�eus�r�,s ot�es
(k} "Basa Year"mesns the caiendar year 2015.
(q "Prepaid Rent"means�6.260.63
{m) "Securiiy D�C means 57.155
{n) "I.atid�'s Address tar Notice"tTibBRS 2{�Q MIII AY8t1U@ BUIk�ItIQ,CJa IC�der FAatltews, 6Q1
Union SVeet,Suite 4720,Sesttle,WA 98401.
(a} "lar��rd's Address tor Payment of R�tC m�rts 200 Mi11 Aven� Bui�iing, cJo Kiddar
Mathews,P.O.Box 34860,Seattle,WA 9$124186Q.
{p) "Tenanfs Rdciress for Notitt�"means Crawford&C�r�pany, 10Q1 Summit BMti,Adanb,�A
30319 on and afEer the Commencement Date.
(q? "Landlard's AQenC'means lGdder Maihews or auch other agent�landlard may appdnt irom '
tlme to tlme. �
(r) "Broker{s)" means Kkider Mathews repre�entlng the landbrd and Commeres Real Esbte
Solutians repndsenting the Tenant. I
(s) "Fathibks"rrieans the following Exhibits 6�this Lease:
E��it A-Le�at Desa'iPtion of 1t�e Property ,
Fxhibit B-Oudine Drawing af the Premises
E�dtibit C-Watk EeROer
E.uhibit D-Rules and Regulations
(t) "Rki�"rt�eatts Cu EoEbwinp Rider whicfi is athat:trad t�enato:NlA.
(u) "Definitions"moans�e words and phrases defined in Sectii�on 41 captioned"Definitione".
2. Consent and Notk�s.Whenever the consent af eitAer Landbrd or Tenant is required under this
t.ease, such c�tsent shaii not be etfe�+re uniess given in writin� arxi shaii not be unreasonablY
withheki or delayed, Provided. however, that such consent may be conditiioned a� provided in this
tease.Hif notic�s ar requests required CN piarmmitted uncler thia Lesse sfiatl be in vrrifiny as provided in
Section 42{g).
3. Pnmiass and Appurt�nancas. Landlord feases to Tenant and Tenant leases iram Landlord the
Promises tar ttue Term. Tenant, and Ihs euthor¢ed representaUves, shal! have!he right!o uae, in
common wkh athers and subject to the Rules and Re�utafions, the Gammon AreBs af tl�e Building.
t.sndlorti sfistl have tlie r�ht,in tandbrd's sa�discretion,from tima to t3me to{i}make c�angas to the
BuiWing interior and sxterior and Common AreB�s,induding withuut limitatiort,changes in the bcstion,
size, shape,number artd appearance thereof, (fi}Ua dase temporarily anyr af the Comrnon Areas for I,
mairsteraance pt►rposes so bng�reasonable�ess to the Pr�nises remsiruE available,and tii�}to
use the Common Areas while anQa�ped in makir�additlanai improvements,r�pairs cx atEerations to the
Buikfinp.Ni of the windows snc!exterior walls of the Premises and any space in the Premises used for
stwfts, sts�cks: Dipes, c�uits, duc�s, elsctrical equiprr►ent or other utl�ties or BuAd�g tacilities are
resarved soley to Landbrd and lendlord shall harro �hb of ecr.sss through tl�e Premises for the
Rurpose of oper8ting,msintsining and tepair�fhe same,provided,however,that st�ch changea shaEE
not materially affect TenanY�s accasa to,or uae and oxupency of»the Pramiaes.
4. Terrn.
{8� CtunmsnCMrNnt C1its.The Term a#tall Wmmer�e on!he Gommencemettt UBfe and Cxpite
on tha Expiratiqn Date,unless soaner tertninated pursuant to this Lease.The Commencement Date ehall
�:
(i) The date specified in Section 1, uniess notice is deGvered pursu�nt to 3ubaection
4(s�{�},in which case tt�Commencement DaM sha8 be such teter d�e�ar Tenant oacup�s the Pr�emises
earlier pursuant to Subsection 4(a}(iif),in which case the Cammencement Date ahall be such�rlier date;
{ii} Such lat�r date on whk�t the Tenatst lmprove[nenffi to 6e made tc the Prerrtises by
Lar�brd, H any, are subatantlaily complete, pmvided, however, that Landbnd shell give notice of
subatar►#lai wmpH�an�Tsnant at lesst fire(5)days before such date.
(iii) If TenaM shall oacupy tlfe Premises tor the Permitteci Use prior 6o the Comrnencement
C)abe sp�ied in Sectian 1 a tt�data speafied�ttse rwtk�s Provided far pursuant ta Subsactlon 4{sxi7�
then the d�ts of such sarly occupancy.
I 2 I
I
I A GENDA iTEM#8. d) I
{b} Tenant Qbi��tlons.if ttie Tenan#Impravemants, if anY,are not substantla0y c�rtpiekad on
the CammencemeM Daba specified in Section i p�imari4y due to TenanCs tadure to promptly revisw ar+d
approve the pians and specific�tions far the Tenant�mprovements or t�ange arders wifh respect to the I
Tenant lmprovements or to Tenar�s fa�7ure�iuffili a�r atlt+�obiipa#km unc�r th�s Lease.then the Tafm
ahall be deemed to have commenced on the Cammencement Date apecified in Section 1.
{o} Tonant 7erminatbn RlpMs.ff tandbrd!s unabie 2o deliver possession ot tt�Premise�a wlth
the Tanant Improvemerds, N any, substanGally completed to Tenant on the Cammencement pa6e as s I
tesuft of cause�a beyond its re8sonabte cot�trot, Landiard ahaii not be i'�sbie for any darttepe caused by
failing to deliver pc�saession and this l.ease shall not be vad or vofdab�.Tenant shall not be liabie for
Rent unh'i Landlord delivers possession of the Premises�Tenant No delay in delivery of possessbn of I
the Pnam�to Tenant shali d�ar�e the Facpiration Date or aperate fo extend the Term.If t.andtard does
not deliver possession ot the Premises ta Tenant within Four(){4)months of the Commencement t�ate,
then Tenant may elect to terminate this Lease by giving natice to Landbrd within ten(10)days folbwing I
the end O#Sudt FWC((4}monttt peti0d.
(d} Conflrmatian oi CommencemeM Dats. When the Commencement Date as provided in
SuDsection 4(axii) or Subsection 4{a}(fa} lsas been estabiished es an ea�lier or laEer date than the
Cammencement bate specifled in Secfihon 1,Landbrd shall corrfirm the Commencement Date by nolice ta I
Tenant
{e) Right ot F'lrst Refusal: One time R�ht af Firsi oppoRunity on suite»umber 515,
5. Minim�am Morrthly Rent;Lata Charge.
(a} Minimum Monthly Rsnt, Tenant sheA pay ta Landlord the Minimum Mont�ly Rent witt�out
deduction, offset, prior notice ar demand, in advanoe on the first day of each month during the Temn. I
Minimum Nbnthiy Rent for any partiai montlti shadi be prorated at the rabe af 1/38th of the Minimum
Mordhty ReM per day.AAinimum MonU►ty Renk is e�ttdusive ot any sales,franchise,business or occupat+a�
or other taoc ba�sed on rents(other than Landiorcl's peneral incoma taxes)and shouid such taxes apply I
dur�g the Tem�,the Nlinimucn Monthty Ren!shail be Ir�cteaaed by the arrwur�t�such l�es.A!!Rertt shait
be pak!to Landbrd at Landbrcl's Address fur Paymerrt of Rent or at auch other address as LandloM may
specifjr by notice t4 Tenant.
(b} Late Char�a.Tenant acknowledges that the late payme�by Tenant of any Rent will ceuse
tar�diord ba ir�cur administrative, cailec�ian. processing and ac�our�tin� casts and exper�aer� not
conternpla�ted under this Lease,the exact amaunt of whict�ar�extr'ernely difficult or impractiCabte to fic.
Therefare, if any ReM is not re�ceived by Lendlord from Tenant by the fifth(5th)calendar day after auch I
t2ent is due, Tenartt shali immcd�payr to Eandbrd a late charge equat ta five percer►t f596}af U7e
amount of such Rent ar Severity-fiivs and Nd1001t�Ddlara(575.00�,whichever i�grea�r. Tenant shall
receive a o�e-Gme exception Mr late payment by the 5"'of the month,per calendar year of term through I
the lease Term. landlo�d and Tenant agree that tlr�Nata charge t�te.santa a reasanabie estimate of
such costs and expenses and is fair compenaation to Landlard for its bss caused by TenanYa
nanpayment.Should TenaM pay said late charge but faii to pay contemparaneousiy ther�awith aii unpaid
amour�is of Rent, t.andlorc!'s acceptance af this late charge st�ali not c�sUh�ke a waiver of Ter�ar�'s
dafauft wikh respect to TenanCs nonpayment nor prevent Landlord fram exeroising all other rights end I
remac�es availabie ta Lsndlord under this i.e�a or under law.
6. Prep�id Rsnt and Security Deposik As paAiai consideration for Landbrd's executian af this I
L�, txn executian af thls Cease, Tenanf shail dep�lt with Land#ard tha Prepaid Rent, �monthty
rent for tl�first full manth of the Tam► for which Rent is payabie, and khe Securit�t l�eposit, as a
Security Depasi#tor the performanoe by Tenant of the provisans of this Lease.If Tenant is in defau�, I
Landbrd maY use the Security Gep�it. a� any P�n of it, �a aare tl� c�fautt, Inciudin$wfthout
limitanon,paying for the cos#of arry work necessary to nsstore the Ptemises,the Tenant improvements I
and ar►y att+�ations#a�ood cand'�tion ar ta compensate Lendlard tor sA ctamage s�sfiained by Landiord
resultlng trom TenanYs defautt. Tenant shaA withln five(5)days at demand pay ta LandbM a sum
equal M the porHon of the S�.ecurity Qeposft experided or applied by Landbrd as provided in this SecUon
sa�to main#ain tt�e Sec�.rrity[?eposi#in the sum ini�aly depwsited witlt t.ar�dlord. {f Tenant is not in
default as of the expiraHon or bermination of the Tertn,inCluding without Itmaatlos►,In defautt in payment
of d�e Rent far the tast manth of the Term,then Landbrd shail retum the Security Deposit, without
intea�st,ta Tenani within a�asonable period of time not to exceed tt�rty{30}days af4s�the axpiratian
or bermination of the Term, provided, however, that Landbrcl may ret�in a pa�tlan of the Security
depaait tor payment af fna�eases in Resl PropeRy Ta�ces snd Operatins Casfis the exsrcx amaunt of
which has not been debarmined as of the e�iratiun or bermEnatior►af the Tertn.t.andla�!'s obligations
with rospect to the Security DeposR are tfiose of a debtor and not a trustee. LandloM may commingie I
the Security Qeposit wit#t landlord's general and Other funds.
7. Reai Property Taxas.
(a) Paymant oi TenaaYs Sh*ro ot Incraases la Raal Proparty Taxos. Tenank ahaU pay to
Land(aM, ss AddNknal Rent, monthiy, in advar�ce on the flrst day of each manth during the Term, an II
amou�rt equai�o cu�e-tweifth{1li2th}of TenanYs Share of a4!i�in Rea�Properiy T�that are ar
wUl be levied or assesse�l against the Property during each calendar year durir�the 7errn over and sbovd I
tl� Rr�at Property Ta�s that are ievied pr assesaed against the Property durir�q the Base Yeer as
r�easonsbly es�mafed by Latu3brd.Such Additional Rent�e�ccciusive of any sai+9s,�ise.business or
occupation or oU�er tax bases!o�rents and should such ta�ces apply duriny tlie Tertn,such Additlanal Rent I
sha�be increatsed by#he 8mdurrt of a�h ia�ces.With3n ane hundred twenty(128}days aRer tlte and af
each c�lendar year during the Term or within such lcm�er period of time�may be neasonably necessary,
Landiard shail fumish to Tenant a statement of the Real Property Taxes far ri�e pr�cedMg caler►dar year
and Tenar�k's Sharo of if�e increase in Res!Property Taxes.lf TenanCs Share af it�e increase in such Re�E
3 I
�
� AGENDA ITEM#8. d}
PropeRy Tax�s for thaf ca�ttdar year over suCh Reai Pmperty Taaas for the 8a�e Year ext�eds the
monthly paymenta made by Tenant,then Tenant shall pay tandiord Rhe deficietx.y wlthin thiRy{30j days
after receipt of ihe sia#ement if TenanCs paymenta made durinp tl�ak calendar year exceed Ter�anCs
Share of tl�e�a a�uxh Resl PropeRy Tax�tor that c�endar year over'st�h Real Properiy Taxes
br the Base Year, then, at LandloM'a option, either Landiord ahall pey Tenant the exc�ss at the t�ne
landbrd tumiahes ihe statemerit to TenaM, or Tenant shaif be errtitled to offaet the excess apainst the
ne�Q inaialNr�eM(s}of Minimum Mot►thly Rent and Addidoned Rec�t,Provided,t�vr�ret,tl�st at tfie and of
the Term Landbrd ahall pay Tenant tha exc�ss at the time Landbrd fumishes the statement 1n Tenant
{b} GenKat and 8P�la#Assassments. With respeci ta any�et�at cr special essessments
i which may be kwied apeinst or upon the ProPerh�,ar which unde�the laws then M force may be svkienoed
by Nnprovemant or oiher bands or may be�id in annuai inst�limenta, anly the amaur�t at such annuai
insfallment,and interest due theroon,ahall be incJuded in the computstian of Real Properky Taues.
{C) Piqration.Tec�Ps Share�Ftea!Ptcperty Ta�tas aheit be pro�8ed on the b8sia a#a 360-day
year to acaourtt for any fractional poRbn of a tax yea�induded i�the Term at ika commencement and
e�iration.
(d) Nu Efhct on Yinimum MoMhy Rsrn. Notwithstanding anything to the contrary in this
Section, the Minimum Mor�thy Rent payabfe by Tenant sha� in no event be less than #he Minimum
I ISAonthly Rerrt specified in Section 1.
I (e} La�sshoid Excw Ta�c.Na�fiHitl�standinq ariythinQ to the oontr�y contained in this Sec�ion 7,
landbrd and Tenent agree that Landlord is s municipal corporation under the State af Washln�ton,end�
as such, pays Ieasehold excise�cea based on rent in Iieu of Real Prc�perty Ta�ces.The Base Year frx
Lea�settold �Tax�C8lcukbed on teasehoid t�t�e{aarrer►tty 12.8d96)and the Base Y+�r Rerrt.
LandloM shall noMy the Tenant and Tenant shall pay to LandbM as Addidonat R�#,mor►thly,in advance
� on ihe first day of each month du�np tha Term,an amount equai to one-MreiRh(1l12th)of Tena�r�'s Share of
aN irn�es�the�easehdd Erccise Tayc��ch calendar y�d�in�the Tarm.Tanant and i.�dbtd have
agreed to a rent abaterrbnt, refleded 6�C►e minimum monfhly ra6e echedule�d in Sec6cm 1 {), in
exd�ange ior the �nt provicied improvements outl'ined in E�ibit `C. Tha value of tenant provided
improvemerris is subjec��rs i�excise tsx a� with RCW$2.29A.
8. Porsonat Prop�ty Taxrs. Tenant shali pay prior fo delinquency aii peraQnai properEyr taxes
asaesaed agatsust and levied uport trade fbcWres,tumishinps,e9uipment and ail o#her i��P�'aP�Y
' of Tenant cantained In the Premiaes or elsewhere.If possible,Tenant shall cause such trade fl�ctures,
', fum�ings,equiprne�nt amd ail ather pe�rsonai propet#y af T�ant ta be assessed and billnd s8pare#e�ly
trom the Property.
8. Opirat�rlp Gosts.
(e) Paymart M Trnant s Shan of tncnases in OperatMp Cosb.Tenank ahadl pay to Landbrd,
as Additione!R�ti,mo�hiy�in advance on Ure first day of e�t rtmnttt 8urittg the Term�an BmouM equat
to one-twelRh(1/12th)af TenanCs Share of the increaas in the operating Costs of the Property for each
calerrdar year durinp tlre Tertn over the Op�atiny Costs for#he Base Year as�eaaonabiy estima�d by �
t.andk�rd.L.ar�dbrd tnay,�ac�M�e wdh sound account�p�c!manayetnent��Dpth te�abiy
eatimate,atxf finalhl determine,tl�e Operating Costs fior the Base Year and for each calendsr year'during
the Terrrt based on the Operstsr►p Ca�tts that wauid have been incurred if the Buildirtg fiad been S5% '
oc�ycuP�ied clurinp tlte�Ba,ssye Y`e-erK o_r p��,yc1Jh auch c,.aJlendar year, as tt►e case m'•a..y. ba> t_aJklnq into account �
h1711J11W) �b� W�A IV� U17 vY1NI�. �IN� m�� � ..rr��'WC�I��r. �IYI �IIV ��� 8� li
i�18ti8�T1EM � ifi�CB�O�'�#@ t�At�6�6 t�AI�JtiB�T)011�8�0{����N
P�Y�or for the then cu�rent calendar year.Such Additlor►al Rent is encluslve of any sales,iranchise,
business or occup�lion or other tayc bsaed on renis�d ahouki a�h taxes app�y durinp the Tertn�auch
Additional Rerst shai!!�e i�ed by the amaurrt o#at�h taxes.Within o�hundrr�M+enty(124}daits
after the end af each calendar year during the Term or within such lon�er perbd of dme as may be
�n�Y �+Y� landtord shall fumi�h bo Tenant a statement af the Operatln9 Costa far'the
prat;edinp oaisndar year and TenanYa Share ot the increass in V►e Operatlt�CciEffi.It Ta�anCs ShBre pf
the inc�eaee a�fhe Operatlnp Costs ku that ca�lendar year over the Operatlnp Coeta tor ihe 8ase Yaar
excxeds the rt�ontldy paYmenta made bY 7enant, ttaen Tena�t shadi pay Landksrd the deticiencyt witha�
Shirty (30) days aRer recdlpt of the staUemerrt, If TenanYs paymerMs made during that calendar y�r
e�axed TenanCa 8hare af the increase in the Operating Gasts 1or#hat cabndar year over the Opereting
Coais fcr tl�e Bsse Year,ther►,at Lancllard's option.eitl�er Lsndlord shalt p�t 7anant the exca$a at tt�e
time Landkxd fumishea iha atabement Eo Tenant,or Tenarrt shall dd entitled Qo offset the excess apain�t
the neut insffifiment(a}af Mirtimum Monthiy Rent and Additional Rarrt,prorrided,htswever,thst at the end
of the Term Landlard shall pey 1'er�ant U�e excess at tt�Urr�s Landbrd fuml�hes the statemeni�Tenant
{b} Prorstlae.TenanY:s Share af C3peratinq Costs at�ail be proraUad o�n!he baais of a 38Q-day
yea�r ta accourrt tor any trectional portlon of a year included in tha 7ecm at its �mmencerneM and
��• �
(o) Na EtOret on MlnNnum MoMhly Rsrn. Notwithstanding anything ba the oantrary in this �
Section, the Minimum Manthly Rent payable by Tenant ahali in no event be less thsn the Minimum i
Monthiy Rer�t spec�fed in Section 1.
18.tNe.Tanarrt sha�use the Pnxnises far the Permitted Use and far no�her uss without landlord's
prior ca�sent Tenent�raes that ft haa debermined bQ its sadsfactton that t#�e Premi�es can be used far
, the Permit�ed Use.Tenant waives anY ri9ht b te�minate this Lease if the Pnamises cannot be used har
I 4 II
�
A GEIVDA lTE'M#8. d) .
the Permitted Use during the Tenn unl�s tha prohibitan on use is the resuft of acNons taican by
Landlord.TenanYs use ot the Premises shsll be in acxordance with the folbwing: i
{a} Nlsura�t. TenBnt sh8ft not da, brinp, csr keep �rh+d'fittp � ar abattk the Premises or the
Praperty that will cauae a canceltation of any insurance covering the Property.!f the�abs of ar�r insurance
carried by Landiord on the Properiy as pubBshed by ihe Washin�ton Survey snd Ratiny Bureau,CN ariy
sucx:essor rat�bur�u or agency, is increasad as a rosult of TenanYs use� then Tenant shaN pey Eo
Landkrrd not Mess than ten (1Q) days before the dabe LandbM is obligated to pay a promium an tfre
insurance,a sum equai ta the difFenence between the ariginai premium and the increased premium.
(D) Compliancs wilh Laws. Tenant shail oomp�r with all �rws conceming the Premises and
TenanYs use af the Premises.
(c) Wasb,Nuisanc�and Improper Uss.Tenant shall not use the Promises in arry ma�ner that
wit! constitu�wasbe. nu� tsr unreasonabie annayarx;e ta ott�r benarrts in the Buiidinp, indudinp
without limitatian, pj tha use of loudspeakers cr sound or light apparahis that can be heaM or seen
outside the Premises,(ii}far cooking ar otl�er activPtti�es that cause odors thet can be detected outside the
Premises,or{iii}ftx iodgittp ar sieepir�p roams.
(d} Damape to Prop4rty. Tenant shaii not do anything in, on or about the Premisas that wiU
cause damage ta the PropeRy.
(e} RuNs and Regutations. T�tant and its atrthorged reprreserrta�ves shail cornpy with the
Rules and Regulstions set forth on Exhibrt.�attached t�rota.landlord shall have the right tc�asonably
amend the Rules and Regufatkrns from time ta time.In tl�e cwent of a cor�flict between this Lease and the
Rules and Requiadons�as amended�this I.e�e shat{c7onb�ol.t.andlord shatt have the fipht bo enfwce the
Rules and Repulations. Landlord shall have no liability or responsibilit�r whalsaever with respact tfl the
noncompiiance by other tenants or thetr authorized representatives with eny of auch Rules and
f2eguletions.
11.Haz�rdow 8ui,�nces. Tenant shaU �ot dispose ot or otherwise albw the release of any
Hazardous Substarn�s in,tm ot under#he P�n3s�,�the Ptvperty,ar in any tenant improvemeMs ac
afteraGans placed on the Premises by Tenani Tenant represents and warrants to Landlord that
Tenant's intended use of the Premises does rw#mvoive the use,pradu�tian,disposal or bringing on ta
the Premises ot any Hazardous Subatau�cas,exc•spt for products narmally used tn p�rerat husiness
offices whicfi aansGtute Hazardous Substancea, provided that such products are used, stored and
disposed of�s�ccordance with appiicabie lawa�d manuEacturer's snd supptier's guidetines.Tenant
shali promptly comply witly aq laws and with a!! oMers, decrees or judgments af �mrruentai
authorittiles ar aaurts having Jurisdidion, relatinq to the use, cdlection, treatrnent, dispasai, storage,
contraE, removai tx cl�nup of tlszardous Substara�,�or un�r the Premises or the Property,cr
incorporated in any tena�rt improvements or alterationa,at TenanYs expense.
{a} Compii�rrca;ti�flcaflort.After notice ta TenaM anG a re�sona�oppoRunity far Ten�ant Ua
effe�t such cwmpliance, Landlord may, but is not abligated to,en#er upon the Premisea ar�take such
actions and incur sud�cos#s and expanses to effect such c�smpiianae aa it deems advisabie to pra�Ct Ns
interest in the Premises�td the Propdrty,provided,!xri►rever th�la�xllord shail�t be�igated ta ghre
Tenant notice and an opportunity bo affect such oompliar�ce if(I) such delay might resuR in'material
adverse harm to the Fremises, cr the Property, ar (ii} � emerqency eacists. Tenant si�a0 reimburse
Landbrd tor the tult amount of ali costs and expenses incumsd by Landiord in connectfon with such
oanpiiancs ac�vi�es,and such obiigation shail continue even after expi►ation or fie�minatlon of the Term.
Ter�t sE�a#1 notlfy laruilorc!immecl�e#y of any reteasa of any Hazar�us Sui�ta�s a�the Premises or
tl�e Property.
(b} Indemalt�r by Tensnt Tenant apnees M hold t.andl�d h�mless from and a�inst ar�y a�at!
damaqea, charges, cleanup c�ts, remedial actlons, � and eatpenses, which may be imposed on,
incurred or paid by, or asaerked against landksrd, tltie Premises or the Prope►iy by reason ot, or in
oannee�fon witlr{1)any miereprreaernallon,breacA of vragrtatii�t ot`ottler defautt by Tenant under this Lease,
or(2}tfie acts or amissiana of Tenant,its authotized reprosentatives,or any subtenant ar oU�er persan for
whom Tenant woukl otl�rerv�se be liabie. r�sui�ng in!ha rolease af any Nazardous SuDatanaes on the
Premises or the Property.
(c? Indarnn�►bY LandbM.I.a�dbrd�[ees ta hold Tenant harmtess irorn and agair�st any and
all damapes,charpes,deanup costs,remedial at�ions,�and expenses,which may be imposed on,
incurrod ar paid by, or a�serted against Tenant, the Premises or the Property by reasan of, or in
�nnection with tlre acts or omissio� of Landbrd, or ita empioyees, resulting in the release of any
Hazardous Substances on the Premises or the Property.
(da Acknowlad�mrnt as to Hazardaw Sut�bnces.Tenant ecknowledges that U�e Premises
may cantain Hazardous Substanoes,and Tenant aooepts the Premises ar�i the Buildinp natwi#hstat�dinp
such Hazardous Subsl�naes.tf larsdbrd�requ�ed�t amr law ta#�ce ar�r action to retnove or ab�e any
HazaMoua Substances, or 'rf Landlord deems it necessary to conduct special maintenance or testing
procedur�,a with re�ard to arry Hazardous Substa�c�s.�ta remove or abate any HazaMous Substar�,
t�ndkxa may take wcn actlOn�c�naua such pra�auros at tirrus and in a msr►ner tt�t t.arai�d cseems
appro�iaM under tl�e prcumstances,and Tenant shall permit fhe aame.
{e) SurrftiraL Tha provisians of this Se�ion s#sall survive the expiration or sooiuer terminatiot�at
the Term. No subsequent madiflc:atbn or te�mination of this Laase by agreement of the parties or
5
� AGENDA ►TEM#8. d)
atherwiae shali be c�nstrued�waive ar to modify any provis�ns af th�Sectlon uNess the termination or
madification agreemerrt or a�ther document exprossly sa s�in writing.
� 12.I.stullotd'a Maiabnance;lnclusbn in t)psrsting Costs.
(a) Landlard's Matntenance. Facoept as provided in Sectian 13 captioned "TenanYs
Mainber►ance:Remedfes'.Secdan 23 ca�rted"Des�nxxian"and Secfion 24 caipti�oned"Condemnation"
and e�roept tor damage cauaed by any ne�liyent or intentional act ar omission of TenaM or ita autharized
represet�ta�,landbrd shali malntain'ut goad condi#an�tnd t�sir tfie fatbrMing:{i}the structurei parts
of ttte 8uiiding, which strudural p8uts fnclude anly the foundations, beasinp and extsrior walls, exterior
9lsiss,91ass enitrance doors(e�cdudiny irrterior fllass and iM�ria�glass duors),subflaoring and mof,(ii)the
buildi� standard lightinq fo�tures, windvw coverir�gs and ceil� tiles and the urteuposed eiectricai,
plumDing and sewage systems,including without limitatlon,�portions lyiny ouEside tfie Premise3,{iii)
the t�euatinp. ventiiatinp and air�onditioning system, if any, servking the 8uiidinp. (iv) tl�e bbbies,
corridors, elevatiors. Pub�ic ar a�mmon restrooms ar�d ather canrna�ataea�s aE the Building,and{v}the
, sidevvalks, eramds, landscaping, parking and loading areas, H any, and other common areas of the
PropertY•
(b} Inclusbn In Opsratinp Costs.The cast of maintaining,repai�inp,replacir�or servicing the
', partians cf#t�e BuEiding that Landlord�required to maintain parsuard ta this Secxton shan nr�be induded
in t?petatlng Cosls to the e�ent provided in Seciion 9 cepHoned"Operating Costs".
13.Tena�+t's MsiM�rtyst�cs:i2amNdies.
(e) TenanCs MalntenanCe. Except as provided in Section 12 captioned "Landiord's
IWainferiaan�;lnctuai�n�4petating Costs",,ection 23 captiott�d"O�b�on"and Section 2d captionad
'Condemn�tion"and eyccept for damaqe caused by any yrassty neglipeM or intentional act or omissia►of
(sndiad or its author¢ed reprosentatives,Tenant,at i�s cast,shan maintain in pood canditisan and repair
the Premis�,!txluding without fimitation,alt at the Tenant impravements.T�►anYs atteratbns,Tat�nYs
tr�ade fixtures� TenanYs personal property� signs,waNs. iMerior parbtlons,weii coverings,windaws, non-
buitdinp standard window caveringa, giass within#re Premises� dcyars� aarpedn9 and res�ieM floarin��
non-building standard ce[ling tiles, plumt�ng fixturss and non-building standaM lighting fixtures. Tenant
shall be liable 1or any damage to the Pr�nises and the Building resultlng from the acts or omissions ot
Tenan#or Its atdharized re�Hresertta��res.
(b) LandloM's R�medks. if Tenant faifs to maint�in the Premises in qood condiHon and repair
�required by Sut�actiaR 13{s}and if Such fa�'tu�is not cured within tAirty{38}days after notic�af such
failure ia giver► by Landlord W Tenant, then Landlord may, at its optior►, cause the Premises bo be
mamtained in pood c�or�ditf�on and repeir and Tenarrt sha(I promptlyy reimburse Landiord for aii reasonabie
cast�incumad by t.andlord in perfotmance of TenanYs obiigestiort to mairrtaln the Premises.
1a.Tinant improvamar►ts;Afterttlans and Trade Fixtures.
, (a) TenaM Improv�mwrtts. Tenant accepis the Premises in their"AS IS"conditian without arry
a9re�r�rr�, r�epres�er�atior�s, ur�de��gs ar otsliQatioits o� the p�t af t,.�dbrd to per6orm any
�G�ior�s,rs�s cr impravemerrts or m provide any allo�urances uni�ss utlaer+Mse axprgssly pravi�ed in U�is
Lease or in the Wak Letter attached hereta as�j�,..TenaM shali conWbub t20,000.00 as a diroct
c�sh corEtrl�bu#bn to ths t�nar�t knprovserasrrt ccsts. Tenarrt shatt rwt madce ar�Y improvements or
alterationa bo the Premlaes without Landlard's prior consent
(b} AlbraHons.Any�nprov8metrts and alterations made by ei#her parky shali remain a�and be
surrendered with the Premises on e�cpir8tion or terminadon of tha Term,excspt#hak Landlord can elect by
gnri�g notice to Tenant witttin thirty(3p)days before the e�cpiration of ihe 7ertn,or within ifii►ty(38)days
aPter termineticm ot tt�e Tertn,to re9uins Tena�t to temove any itnprovements atx!al6erations ltt82 Tenant
has mi�de to the Prernises. Ii LandbM ao eiecfa and such Alteradons were not previousy approved by
L�dbrd, Tenertt, at its c,c�st, shali reskare the Premises 6o the conditian desipnabed by Landiard �r its
olectWn, before the laat day af the Temr» or within thlrly (34) days atber notice of eleckion is {�iven,
whicheiver is iater, Any improvements and alterations that remain on the Promises on expirdHon ur
Uerminatiat cfi tl�e Term ahail au�omatic�ly become the propeRy of landbM ar�d title �a such
improw�n�s and a�ona shall automatically pass ta Landlord at such time without any peyment
tlteretot by tandlaN W Tenant tf Ttnant ar its authorized representatives make any improvementa or
atder�ions to th+e Premkaes 8s provided in this 3ection,then such Improvemer►ts and alGeratior�s(i)ahail be
made in a flrst ciess manner in conformity rvith then building standard improvemerits, (t(}shall be made
trtlEtzir�ihen buikiing a�tarxlani rrsateria�,(iii;shall be ma�in ctxnpliance urith the Rulers anti Regulations
and the re�sayable directi�ans af l.andbrd, (iv) shall be made pursuarrk�a valid building permik t4 be
oblained by Tenant, at its r�st, and(v}shaii be made in confonnity with then appiicable laws,indudinp
witluwt�mitation,bultdinp codeas.
(c} Trade FixWrMs. TenaM shaB not instali any trade fi�ttures in or on the Premises without
LandkXd's prior cansent.
15.Machanics' Lier�s. Tenant $hail pay, or cause to be paid, aii cx�ts of iabor, services and/ar
mab�ials supplied in connection with ar�y Wo�fc. Tenant ahalt keep tt�Pcope[ty iree and c�of atf
mechanics' N�ens and oMer 6er►s resut�ng from arry Work. Prior to the commer�cement of any Work
c�ting rttare than a� ar►�ount equal ha one {1) month`s Minimum FAanthly Rertt, or the aupply or
fumishtng of any labor, servi�s andlar matsrials in cannection witti any such Wcuf4 Ter�ant shalf
provide LandloM with a Iabar and material payment bond�a Metber of credit w o�aecu�ity sedsfactory I
E�i.a�llord in an arrwunt equai ta one hu�red peroerrt t��}of the apgregat+�e price of a�canbacCs
6 I
I —. _ — -- -- --
AGENDA 1TEM#8. d} .
therefor,wlth release cf the bond t�nditiot�ed on TenanYs payment in iuH af a!I c{aims o#lien ctaimar�ts
for such labor,senrices and/or matr�rials supplled in th�s prosecutlon of the Wor}c.Said payment bond
shaN name L�dioM as e prirr�ary ab�+gee,ahaA be givan by a surety which is satisfacbory to Landbrd,
and aha!!be in sudt form es Landlord sha!!approve in its sole diacrertion.Tenant shali have tt�e�ht bo
coMes#the correcp�ess or validity af any such lien if, immediately on demand by Landlord,it procures I
arx!rec�ds a lien rebase band issued by a responsibie c�rparaabe surety in an amourrt sufficient to
satisfy statutory requiremenis IfiefeFor in tl�e State of Washin�qton.Tenant shall promRUy pay or cause
to be paid att sums awarded to the daimant on its sutt, and, in any event, beforo any execution is I
issued with respect to any�ment obtained by the dalman# in its soit or beiare such judpment
becomes a lien on the Premises,wtiichever is earlier.If Tenant shail be in defautt under this Section,
by failing ta provide security for or sa6siactior►af�y mechan�'s or oMer 6ens,then Landlord may(twt I
shalt nat be obii�ated to},�addirtion�any other rights or remedi�it may have,diachar�e said lien by
(i) paying the claimaM an amount suf�ccie�t b settle and discharge the daim, {ii� procurin� and
recordinq a I'�en reiease bond, or(ib'}takin�suc�c�her aetion as Landbrd shalt deem necsssary ar
advisable, and, in any Suclt eYeni, TettaM shail pay i�Add(tionei RBrrt, On EBttdlOrd's demend, aN
reasonable costs(induding teasonable attamey fees)incurred by Landbrd in settling and discharpinp I
such liers together with#nberest thanaor►in acxordarx�e with Secoti�39 captianed"Interest an Unpaid
Renf'from tl�e date ot Landbrd's payment of said costa. Landlord'a payment af such c�ta shal!not
waive any default of Tenant urxier this Section. I
16.Utillties and Services.
{a) Uti11tN►s and Serrtcas Furnished by tand�rd.Landbrd shali fumish the Premises with:
(i) Electricity for liphting and power suitable far ft�e use af the Premises for ordinary I
genetal afFxe Durposes;Arovided,twvreve�r,tfiat Tenant shail�t at any time have a connected eiectricai
lo�d far liyhtinp purposes in excess of the wattaQe per square fioot af Premises Area required for building I
standarcf amounts af tighbng,or a conneeted ioad for ai{other power requiremcnts in exc�e�ss oi fiaur(4}
watts per square tqot of Premis�s Area as determined by Landiard, and the electricity so prrnrided tor
iighfiny and power shail not exc�ed such limits, subject to any lovver limits aet by any 9ovemmental I
autt�rity witlt respect Utareta;
(ii) Subject to the reasonabie iimitations of the existing buiiding systems, heating, j
vent�►ting arx!si�-canditianing, i#the Buiiding has an air-conditanir�g aystem.to mairrtain a�ereperature
range i�the Premises which is customary for slmilar ofl5ce apace in the Seattle,Washingtan area(but in
cpmptisnce wi#h any appiicable govemmental reguistiona with resqect ifiereto). Tenant a�rees ta kesp
cic�sed.when neceissary.blinds,draperies and windows xfi3ch must De ciosed#a provide tor the etF�ient
operation of the h�Ung and air conditioning systems, if any, and Tenant agrees tn caoperate with I
Land#ord a�#a abide by the regutatians attd requirements wttic�LandtaM may prescribe for the proper
tunctioning and protes�ion of the heating,ventilatinp and air-conditiantn�system,lf any.lf Tenant requires
heating, ventli$ting and air conditianing to tfie Pre�rises other than du�ing normal business hours irom I
7:30 A.M.ta 6:l�P.M.daily,and 5:00 AM.�11:00 A,M an Saturtlays,em�pt Sunttays and dtasa lega(
hal'Ways generaily observed in the Stake of Washingbon,Landlord shail,upa�TenanCs request made not
less than 24 hours before#he�me Tenant requires the aiter hour se�,and not later khan Noon an the I
Frbday befare any Sata[day or Sunday an which Tenant requires such service,and no#later than Nc�af
the day before any holiday on which Tenarrt requires such aenrice(except as othervrise provzled in the I
Ruies and Raguta4or►s}, iumish such heatmg, verrtifaating and air canditioning. If Tenarit roceives such
se�nrices,then Tenant shaA pay, upon demand,an amount aqual to TenanYs proportionabs share of the
ackuai direct cost to Landlord tn providing the heatlny,ventllsting and air condi�oning outside of nartnal I
business twurs which l.andiard and Tenani agree wiEl be 535.00 per hour at this time;
(iii) Water far restroam and drinking purpases and�cess to r�trcwm facii"�ies;
(iv) Elevator service for �eneral offioe pedestrian usage if the Building is serviced by I
eievators;
(v) Relampinp of buildiry�-standarcJ lipht fixtures; I
(vi) W�hing of interior end exterior surfaces of enterior windows with reasonable
frequencyt;and
(vii) Janii�rial service five(5)dmes per week,except holidays. I
(b) PaymsM for Excess lJtllltles and Serrlcss.AN servk:es and utilities far the Premises�rat
required ta be tumished by Landlord pun3uarrt to Secdon 18(a) shali be pald for by TenaM. If Tenant I
requires,on a re�ular ts�s�w�er�i�rat,air cand�ioning,eiecfric curren#,elevator ar jani6o�rriai servlce in
excsss of That provided for in Sactan 16{a),then Ter�ant shall first obtain il�e consent of Lsndbrd which
canserrt may be withheld in Landiord's sole discretian.If Landbrd cansents to auch excess use,Landlord I
may insffifi an ele�ric cuRent a waEer cneter{inctuding,withaut iimitation,any additional wiring,canduit ar
panel required therebr� bo measuro fhe exoeas electric current or water consumed by Tenant or may
cause tha excesa usa�e ta be measured by other reasanabie meft�ods(e.g.by temporary"d�ecic"maters
cx by survey}. Tenant shaU pay to Landbrd upon demand {i}the cast of any and ai!water, tt�t, air
cdnditloning, electric Curtent,panitoriai, elevator or other serviCes or utilities roquired tn be tumished to I
Tenant in excess af the services and ub'tides required b be fumista�d by tar�dkud as provided in Sectlon
1Ei(a?;(i�the c�si at installation,malnCersar�ce and repair af any metar ic�stalfed In the Promise�s;{iii}Ute
coat of ell ele�tricity and water catsumed b�r Tenant in connection with arn dedicated heating,veMilating I
andla�air c�nditianinp, canpuber Povrer andlar air t�r►didaninp, teiec�rrtimunica#ions or other apeci�t
systems of Tenant,including any power usa4e a[her lhan through axisting standatd 314-volt AC outleta;
7
� AGENDA ITEM#8. d)
and {iv} any r+rxasonable c�t incurred try Landland � keeping aa;ount of or determininp such axrees
udiitles or servicea turnished to Tenant Landbrd's failure rta bil!TenanE tar any such excess utilltks or
Iservices shatl not waive Landbrd's right to bi�i Tenant for the excess at a hater time.
(c) Temp�n�tun Balance. Subject to the Umitations of #he exuatin9 systems, the building
temperaiure in Tenant's space ahaii be sat ta a ranqe behHeen 70-74 deprees. Landbrd makes no
repreaen��T�ant reg�dMsg tl�e adequacy ar f+traess of tt�e twatinp,ventNating�d air-car�ditionir�Q
systems in the Buildinp to maintain temperabures that may be requirod for,or becau�e M,any of TenanYa
equipment �er than normai offic� equipment, such � penson�i oompu6ens, ieser printers, copiers,
dictating machines 8nd oth�str�al{ec}uipment norst►aNy usad in business affic�s,ar�!Landlord shali have
no Ilability for k�ss or damage suAared by Td�aM or others in connectlon therewith. If the fiemperature
I athera�ise maiMained in arty partion af the Premise�a by the heaGnp,air Canditlorsit�a ventilstion sysfiem
is affected as a resuit of(i)any lights,machit�es or equipment{including wfthout l�nit�ion elscVonlc data
pracessing machines)used by Tenant in the Premises ar U�e use of more than one persanal compudar per
Persort�(�}the oaxapancy of the Premises kyy more than one persan per iwa hundrad(200}square feet af
rentable area therein.{iii)an elecMcal bad for lighdng or power in exc�ss of tt�limika per square bof of
rontabie ares of the Premises specified in S�ec:dan 16(a),or(iv)any rearran�emer�t af paRitlonin�or other
improvemenffi,L.�dbM may M�statt any et�uiprt�#, �rt�ctifY�Y�9 BRuipmertt(ir�luCiing tl�e
standaM air canditloninp equipmeM)LandWrd deems necessary to restore the temperature balance.The
, coat of amr such aqufipmeM,includinp without limifa6on,the cast of design and instaliati�on thereuf,and the
cost of operatir�,me#ering,maintaink�g or repair�the sarne.shail be paid by Tenant�o l.arxltord upon
demand.Te�ant ahall not instail or apereUe windcw-rrwunbeci heating or air-aanditioning units.
(d) Special Elseh4caf or Water Connsetians;ElacMaity Use.7enant wif!not,wiU�out Uae pcior
' conaent of Landlord,which Landlord in its sole discretion may refuse, connecx or use any apparatus or
device � tt�e Prernises (i} t�ir�currer+f'rn e�c�ss of i10 valts or(ii)which vuiA csuse the amouat af
elechic�ty,wader,heatinQ>air conditioning or ver�tl�fum�hed to She Premises to exoeed!he amount
requirod Mr uae of the Promisas for orciinary peneral olfice purpos�sa,es determined by Landlord,during
' notmat business h�trs ar {iii} which wau� cause Tanar�Ys cannec�ed load Eo exce�d any li�i#s
� estaWished in Sedion 18{a).Tenant shail not cnnnect with electric current exoept through existlrp ouNets
in fhe Premises and ahaM not connecc:t wrth water pipes exoep#fhrough existin�piumbing foctures in the
� Premiees. in no event shall TenanYs use of etectric�ty e�eed ihe capacity o#e�aUn�teeders to U�e
Building or the risera or wiring insrailad�an,and Landbrd may prohibit the use of any electrical equfprr�ent
which m LBndk�r�d's apGtfon rw'li overiaad st�ch vVlring or interfere wfth the use#h�of by other tenanb M
' the Build�ng.!f t.andbrd conasr��the t�se M equipsnent requfr4nq such changes,Tenant shai!pay tl�e
' co�t of insta�lin$any additNsnal risero,penels or othuar facilitles that may be nacessary to fumish energy#a
' th�PFBrtti�s.
, Landlord wiil n�permit additlonsi caring of tl�e fioor of the Premises in a'der'to ina�iit r�aw eiectric
� outlets in tt�e Ptemises unieass Tenant fumish�l.�dtad w�h X-ray sc�ns�the lbor�where the T�snt
wishes to place addi6onal eMectrical autlets and Larxllard>in its absduCe discretlon,is satisfied,on tfie basis af
such X-ray scans and other'in(�artna�tion obt�ned by LarrdbM,that c:rxinp of U�e 11oor�+oMer t�e�staii such
additior�at OuUets wllll twt weaken the strUdute of the 8oa'.
{e} Landbrd's Dutles. t.�ndkxd shaii not be in detault u�der this Lease a liabi� for any
damages rasultinQ from,or incidente!�,�y of the fdkawinp,rwr shal!any of the fotlawinp be an actual or
cor�structive evktian of Tenant,rwr shall the Rent be ababed by reason of:(i)failure to fumish ar delay in
I' fumishfn�atty af the serrric�s describad in this Sectian wfien such fiailure�dNay is causad by avcident ar
any conditlan bayond the reaaaiable cor►trol af landlord, induding!he maki��of neaessary repairs ar
improvem�ts to the Premises or W the Buiiding.(i7 anyr ewctricai sur�es or spikes,w(iii)failure to make
sny repair or to perf�m arty rnaintenance,uniess such taiture shaii perstst for an un�asanabta tir�after
natice of the need for such repair or maint�tance is given to Landlord by Tenant I.andlord ahall use
reasonabie efiForts M temedy any irriertuptian in the fumishing af such services.
� (� Gov�rnmental Repul�Uaa. My other pro�risions of this Section notwffhst2�nding, if any
pc►verrtmentai Suthority ar utility suppiie►'imposes atn+laws,t�ontro�s,conditions�a�ott►eu restrit�ions upon
Landkird. Tenant, or the BuUding, relafiing to tha u�a or conserv�tion of aneryy ar utilities, mandsted
changes in temperratur�to be maintair�ed in tha Premises ar#he Buikfing or the reduction of au6omobile
� �other etn�.sfona{c�ilectively, the"Contr�ats"}, ot in the event t.andiord �required or elects�rr�ake
' alteratians to tl�e Buildiny in order to comply with the Cantrois.Landlord may,in its aoie disc.n�tion,camPly
and may roquira Tenant to comply with the Corrtr�ls or make such atterafians ba due Buitdinq i�arder�o
�' compy wilh the Controls. 5uch compllance ar�d the making af such alteratians shall not constitute an
ac�ual qr canstrucUve evktior►af Tenant,impose on Landlord any liabil'�ty whataoever,or eM�Tenant to
arty abatement af Rent
17. indsmnily
(a) Genarally. Tenant shall defend, indemnify,and hold harmN�ss Landlond, its otfi�, elected
officiais,emp�pyees irpm ar�d against any and aii daims,auits,sctions,or liabii'dies for lnjury or death af
ar�Y Pe�n,or laas af damage to propartY�which ar�ses out of TenanYs ese of U�e Prem�.or fra`m Gue
conduct of TenanYa buaineas, or irom eny activity,work or thing done,permitted,or suffered by Tenant in
a about the Premises, except oniy such injury or damaQe as shaH have been occasioned by tlte �
ne9ligence af landlortl.
Landi�d shs1E defend� inciemnif�r, and haid harmiess Ten�t, its officers. aiftcials, and
employees from and against any and all claima, suNs, acfiorts, or liabilities tor i�jury ar death al`any
peison, or tosa of damage to property, which a� out of any damage to arry persons or praperly
i occurrin�in,on or about ttte Fh'et»is�es a the Praperty t�sutting irnm this acts ot orrtissiot�s of l.�+t�diard ar I
!
8 I
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AGEIVDA 1TEM#8, d) .
its authoraed representaGves� exdudir�sny injuty. death, tass or damage wttictt srisea�a rersuft of ,
TenanYs r�gli�ence. '
A party's obligation under this Section to indemni(}r and t�ok!the oth�parEy harrn�s.s sha11 be
limited to the sum that exceeds tl�e emount af insurance proceeds, iF any, received by the party being
�demnifie�d.
(b} Prorisbns Spseiflqlly Npatiated. LANDLORD AND TENANT ACICNOWLEDGE 9Y
THE1R EXECtJTtON OF TNIS LEASE TFV1T EACN OF TFiE INdEMNIFiCAT10N PROViSIt3NS OF THIS
LEASE {3PECIFICALLY INCLUDING BUT NQT l.IMlTEQ TO THOSE RElATING TO WORKER'S
CQMPENSAT1dN BENEFITS AND LAWS)WERE SPECIFICALLY NEGOTIATED AND AGREED TO BY
IANDf.QRD AND TENANT.
18.Exam�ion of I.artdiord iram Liabllity.Landlord and LandloiM's Agent shali not be liable for injury
Co TenanYs business or iass of income ttterefr�t ar fior damage wh�h rnay be actsfiairaed by the
person,paads,wares,merchandise or property of Tenant,its authorized representatives,or any other
persa�in ar about the Premises,causad by or resui�nfl trom 6re,s#eam�elec�icftY�9as,water or rain,
which may leak or tbw #rom or into any �aut ot ihe Ptemises, � irom Ufe , l�kage,
obstruction or ather defecls of the pipes, �prfnkie�, wires, appfiances, plumbing, arc condiaoning or
light�g fatures of the same�whether the aaid damage ar injury tesuiting fram t;onditlans arising upan
the Premises or upon other partions of the Bulldir�g or the Propert�r unleas such injucy�damege is
caused by the gross negligence or wiiNul misconduct of Landlord or its auttwrized rep�esentativ�.
19.Commercial Geneml �iablltty and Proparty Damage laauranca. Tenanf, at Ns c�st, ahall
maintain aommercisl generel �iabiiity insurance (including conh�actua( tiability and producFs and
compleUad operations liabilify) with iiabdity limtts af ncrt iess than S2�UOQ�004 per a�urTenc�� snd
53,000,000 annuai�gregate N the Premises contain less than 5,000 rentable square feet of space or
35,f�d,800 annual aggresate it the Premises cantai� 6,000 rentab�e square feet of spacs or mora,
in$urin�against akf li�ility of Tenant and its authoriud represen#atlrr�arisit�aut o#cx in corsnection
with TenanYa use ar�d oax�pancy of the Premiaes and property damage insurance with liability limits af
r�ot bss fhan 51,IXI0,�10.Atl such commenciai general t'rabilityr and pra�perty damaqe inaurance shaii
insure perfurmance by Tenant of the Indemnity provisfons of Sectian 17 cap#oned "Indemnity".
Land(ord and Landlo►d's Agent shall be 8dditionai named insureds on such insurance policy.
20.TanaM's Firo Irtsurance.Tenant, at its oost, shall maintain on all of TenanCs Afterations,7rade
Foctures and Personai Property in, on or abaut the Premises, a policy of standard All Risk fire
insut�ce,in an 8rrmuni equal bo et lea�t tttEir tu[t teptacetrtet�t t�t.ihe P�or�eds af ar►Y s�h paGcY
shall be used by Tenant for the restora�on at Tenant's Alteratians and Trade Fixku[�es and trie
repl�ent af its Persanal Property.Any portian of such proceeds not used for such restoraUon shali
belUn��Tenant
21.WsMer�Cisims; Wafiver o�Su6rropatlot� Landiard and Tenarrt releese each other, and their
respective euthor¢ed representativ�,from,and waive their entitra claim of recovery for,arry claims for
damage to tl�e Premises and the Building and to TenanCs alkerakl�on�, trade fixtures and personal
property that ate caused hy or result frotn flre,HgMning ar any other periis notmaly induded in an"aii
risk" property irisurarx�e policy whether or not auch loss er damage is due to khe negligeAc� af
l.andiord, or�s authorizect representatives, or of Tenaitt, or its authorized represeMatives. Landbrd
and Tenani shaH cause each insurance palicy obtained by it#o pror�de that fhe insurance�nPar►Y
waives all riqht of recovery by way af subrogatian against either party in connection with any damege
cavered try suc�insurance paticy.
22.Othsr insurance Ma�tters.All insurancc:e required to be carried by Tenant under this Lease shall:(i)
be iasued by fisurance c�npen3es authorized to da business in the State af Wash"mgton with s rating
of A VII or be#4er as rated in the most reoent edition ot'BesYs insutarx:e Reports;{ii)be issued as a
primary poiicy, and (iii)Tenant shai�endeavor#o provide tfiiriy(30) days' prior wdtben notice to the
Landlad,E.andford's Apent,atxl,ff requested by Landbrd�to landiard's lender,befare earxael�tion ar
changa in the caverage,scope,or amourrt af anY perlicy. Each pol�y or a certlficate of the policy,ahall
be deposibed witl� Lar►dbrd an or before the Commencement Date, and as soon as rr�scmabiy
poasible after cOmpktion of renewal of the policy.
23.D�ructton.
(a} insui+ed Damaps. if durinp the Term the Premises or the Building �re par�ally or tota0y
�ed bY any c�ua€�+thai�cavered by any�surance carried by t.a�lord c;overin�the 9uildin�,
renderirip the Premises pardally or totally ir�acxassible or unusable,Landb[d shall restore the Premises or
the 8uitding ta su�aly the sama condi6on as#hey were in immedi�beiy befiare such destrudion,iF(i)
the insucance proceeds avai�ble to t.au�dbrd equa! or exc�ed the c�t cf such restora�a�. (ii} in the
opinion of a reyisb�red architect or enQineer appointed by Landbrd such resboratlan can be completed
witlrin one hundred eighiy(180)days aRer the date an which Lartdlord obfains aN permits necess8ry for
such res6oration, and (iN'} such r�t�ation is permitted u�der th�r extsting la�rs to be�� such a
manner as to r�um the Premises,ar the Building,e�the case may be,ko subshdndalry the same condition
�th�r wene in�nmedtately behxe such destruc�on.To the extent tha#the insurance procrieds must be
paid to a morkpagee under,or mu�t be applied�reduce any debt aecured by,a maiga�e caverinp the
P►�apertY.the insurance praceeds shaif be deemed not Co be avaitable ta Landlord unless such mortQayee
permlts Landiord�o c�se U�e Insuranr.e ixoceeds for s�h reatoratic�n.Scach desGvctic�n shatl not terminate
this Lease.
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� AGENDA ITEM#8. d}
(b} Ma)or�Un�ured Mmage.ii durinp tl'►e Tarm the Premisea 4r the Buiidinp are psrtiaiiy ar
totelty destroyed by any casually and Landlad is not ohlipated under Section 23{a}ca�"lnsured
Dama9e"to rosbre the Promises or tlae Bufiding,as the c�se may be,then Lendlad may,at it+�eledian,
eithar (i} t�e the Preimiaes �r ttie Buiiding tcs sul�tarttiaily 2Me same t�onditlan as they wene in
fmmedlately bafore such dest�on� or (ii} terminate this �eass effe�re as of the date ot such
destrudlon, (f Landbrd does not give Tenarit notice within abRy (60} days aRer tl�e date of such
destruction of its eiedion�o ras�ore the Prernia�es or the Buiidir�g.�the case may be,Laridiord shaN be
deemed b have eMeded tio�ertninake fhhs Le�se.If Landlad elects 6o reatore the Premises ar the Bulkfir�g,
' as tlfe case may be. I,mdlord shall use commercistty+reasanabb efforix t�r,�mpiete such resbration
wia,in one hurared ei�My{1eo}days afte�me aats�n,Mt�ich l.�al�a o�ns ail perm;ts rtec�ssa�r far
such restoratio�t�Pnovided.hovrr.iver,Mait such ane hundred elGhtY(��)�Y P�shall be extended by a
petiod equa!ta arry delaya t�used by Foroe Majeun3,and such destrudian chali n�terminate thia Lesae.
If Landlord does not camplete such resioration wilhin one(1)yesr!olb�Mng the date ot such destruction,
than Tenant may elec#bo te�rminate this Lease by giving�natice to such effect to Landbrd wfthin een(10)
� days foNarrvit�tt�e attd�suct►a�e(t}year period.
(c} Darnaps ta ths BoildMp.If during the Term the Building is pardally destroyed by any casuaity
' and if in the opinion cfi l.�d the BuNding shouk!be resbor�ed in such s way as to msteriatly afber the
Pramiees.U�en Landlad may,at Landbrd's ele�ctian,terminate this Lease by yiving notice to Tenant af
, Landfad's eiec�an ta da so witltin sixty(60)days aRer the date of suCh deshucdon.
(d) Exbnt of Landiord'a QWlpadon W Rsataro.If Landbrd is required or eleds to restore tl�e
Premisss as provided � Mia Section, Landia�d shan no# be required to restore siteratfons made by
Tenant, TenanCs trade ibctures and TenanYs personal Dropert�t. a�h exdudet! items being thar sole
re3ponsibility of Tenank to nr�are.
(e� Abat�tnant a R�ductbn ot Rs�rt.in case of damage to,or clestruction of,the Premiaes ar
the Buildiry�tl�e Minimum Monrthly Rent shall be aba�eci or reduced,between thm date of destruction and
' the r!a#e of c�rnpietion of resto�atias�bY�►�rrt ttia#is 1n tt�same ratio to the Minimum Mantl�iy Rent
as the total nurnber o�squara teet of the Premises that a�so damaged or desVoyed bears Eo the tota!
number of square feat�tl�e Premises.
24.Condamnafbn.N durin�the Temn there ia any takiny of peR or alt of fhe Pre�mises or tlie Buiidln�
, by condemnstlon,fher►the ripMs and obiigaaiions af the parties shali be as folMa�ws:
(a) Minor Takinp.If the�e is a takinp of less th�n ken pe�cent(10%)of the Premises,this Lease
shail remain in tuli force end efFect.
(b) Major Taklnp. If tlrere ia a ffikiny of ben percent(1096)or more of the Premises and H fhe
, remaining portion M the Premises is of such size or configurafion that TenaM in Tenant's rea�nabie
' judgment is unable to conduck its business in tlae Premises,then th+s Term ahali terminatie as at tlie date
of takinp.
(c) T#kiny of Part of tha Buildlnp. If there is a taking ot a part of the Buildlnq other than tl�e
Premises and if in tlie apinion af Landk►rd ifie Buitdiny shouid be resbored in such a way as to maboriaily
aiter the Ptemises,ihett l.s�ndkxd may termi�U�tl�a Term by fliving notfoe W such effec;t to Tena�t within
' sirRy(60)days af6er the date oi vestlnp of tltle in tl�e condemnnr and the Tertn shall terminata as oi the
' date apeafied in such noticce,which date shaii not be less than sixiy(80)daye after the giving of such
rwtkke.
(d} Avraed.The er�e award#or the Prerniaes�tha Bu�fing and fhe Praperty,ahaA belang to and
be paid to Landlor+d. Ter�M hereby assigning to Landlord TenanCs interest tl�erein> if any, prauided=
� Nowever,tl�at Tenarrt shail have the ripht to daim and recover from the condemrwr compenaatlon Mr the
�as at any alteradions made bY TenaM, TenanCs fiade f�ctur�, TenanY's personai Proper'tY, morrring
expenses and busineas i�em�ption.
' {e} llhatt�nNM at R�nt. tf a�sy part of the PrCmiaas is taican by Corxlemnati0n ettd this l.esse
remains in full f�rc�s and effect,on the date of i�kin9 1he Minimum Monthly Rent shall be reduc�d Ny an
amourtt thst�in tha same ratio ta ttra NRnimum M�thiy ReM ss the#atai number of squsre teet�tl�e
Premisea ta�ken besrs to ttre total numbs�r ot square feet in the Premises immediately befor+a the date of
taking.
25.Assipnrt�ent and SubNkllt�.
{a} L�ndllard's Car�� ONin�. Ten�t ac�cnov,�ed0es that the BuiidinQ is a multi-Genant
oifice buildin��occuPied bY ben8nts apecifically sele�ed bY Landbrci.a�d that Landbrcl ha�a lepiikimmabe
ir�tarest�the type and guaiityr of suds tenart#s,ths locatlon of tenan#a in the Buildin�and in controtlinp ihe
leasir�g ot space!n tbe Buildirg so that landiord can better'meet the pa�ticular needs af its tenants and
"protect and enhance the relaUve image� positian and value of the Building in the offlce bui�ing market
Ter►aM further'acknawiedges that the r�entat v�ue of the Premises may fluduate durinp the Tarm in
accorda�ce with market condilions, and, as a resul�the Rent paid by Tenant under!he Leasa at any
parGcu�sr�me may be hipher ar bwer fhan the then markat re�l value at the Premi�es. Landbr�d and
Tenant aqr�. �sd tha prc�visiotts of U�s Sectian��nbended i�a so ptovide, th�, i�T�atzt vo�ritsrii�t
assipna ita in6brest in this Lasse or in the Premises or subleaaes aity part or all of the Premises,s portion
of qie prolYts from arry incn�e in fhe ma�rke# rorrtai v�lu• of the Premiaes ahal� bciong bo Landlord,
Tenant acknayvled�es tt�t, if Tanant v�untarily assigns this �ease or subi�ses�ty i�art cK ali af#he
I Premises,TenanCs inves6ment in the subject partion of the Premises(speaflcaly i�duding,but rrot limibed
ta,Eenant improvementa,good will ar other assets}may be iost a reduced a�a resuit of such action.
10
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AGEWDA ITEM#8. d) .
(b} Co�nt Requlnd.Ter�ant st►ail not voluntarity assign or e�umber its�#erest in#his�e�e
or in the Prernises,or sublease any pert or all of the Promises,without Landlord's prior cansent,which
c�nsent shatl not be unreasar�ably withheid. My asa�nment, encumbrance or subtease wldtiart
Landlord'a consent shal!be voidable and,at Landlard's electior►,sha!!cans�te a default by Ten�t ur�der
fhis L�+ase.in defiermininp whMher to apprrnre a propo�ed assignment or subl�sase, Landksrd shall pleca
p��nary etnphasis on the proposec! transieree's repuiatian and creditwarthirn�ss� the character of the
busineas to be conducted by the propased transferee at the Premises and the aRecf of auch assi�nment
or subiet�ng cm ihe tenant mbr in tha Buiiding. in addidon, Landiord shall have the ripht to approve tl�e
specific taurrr� ot aR}t assi{�ntnent ar subteaae a�reerrtent !n rta evettt shali Landlord be ohiipa#ed �
consent Oo any assipnmeM or sublatting which increases{i)!he Oparating Costs, {fi}the burden an the
Buildirrop services,or(iii}the foot tratfic,etevatar usage or securiiy concems In the Buildinp,or are�fiQa ao
incteasad probabil{!y of#t�e t�mfort andiar safety of the Landiad and otl�ar benants�the Sulklir�q bei�
unreaeonaby compromlaed or reduced(for example, but not exdusively,Landbrd may der�y conaent bo
an assignmeM�sublettinp where tt�apace wi�be used for a schaal or traininQ faaTiiy,an enter#ainment,
sports er recreatlon factility� refaii 9ai�� the public{uniess TenanYs petmitfed use is fetaG sales}, s
persa�nei or empbyment agency,a medical oiflce,ar an embassy or cansulate or similar offic�).Landlord
shaii�wt be obiiqabed to approve an asaignme�t or subNsftinq ta{x}a curren#tenant of tlte Buifdinp or{y}a
prospective tenaM of the Building with whom Landlord is then neQotlating.Landbrd's forn�Oir�g rigk�ts and
optlons shaii coMinue throughout the er�tire term of d�is L�se. No consent to any aseiynment,
encumbraruce or subiease shail c�nsGtute a waiwer of the provisions af th� Section and no other or
subaequent assignment, ancumbrance or sublease shall be made wiitl�owut Landbrd's prior conseM.
Neither an assignmen#or subletting nrx the collec#on of Rent by LandioM finm any persan nther than
Tenant,nar tha application ot any scttsh Re�t a�s provided in this Sectian shait be deemed a waiver of any
of tfie provisions of this SecHan ar release Tenant from its obCgabon to camply wfth ttre terms and
�arr�ans of tfiis tease and T�arrt stiali remain fuAy and prim�iiy Iiable for ait of TenarrCs obiiy�tlons
under this Lease, indudin� the obllgation ta pay Rent urxler this Lee�se. Any personai puarar�tee{s}of
Tenants obligatlons under this Lease shall remain in fuil force arid effeck followin�any such assipnme�rt a�
sub�tting.tn a�itian to lat�k�d's other�phts under thEs Saction�landiard may cx�ndi8on approvel af an
assipnment or subletting he�+aunder on an increese in the amourrt of fhe Security De{�osit or on r�eipt of
personai guaraMees uf the assignee's Or aublesse+e's obiiga6ons unde�'this Lease.If Landlord approveas
af an assignmen#or subtetdrtg herourxier end this i.ease cantalns any renewai ap�ns,axpan�tan aptiarts,
�ights M first refusal,rights of first ne�atiatlan or any other ri�hts or options pertaininfl bo additronai spaae
in Hte Buikfing,such rights and/or options shail not run to the assignee or subtenant,it bei�p agreed by tlre
parties her'eto that any such righffi and options�e personai tn Tenant nemed herein and mayr nat be
transterred.
{c? Conditbns to Assi�nmrrr►t or $ubloass. 7enar►t agrees lfiat any i�strurraent by which
Tenairt assiyns or sublsb all or arty portion of the Prerntses shall expressly provide that the assiynee or
sub#enant may nat iu�#her assig�ar aubbt the�si�ned or�biet space vrrttho�rt tandiard's prior cansen#
(which consent shBU rwt, subject to t.andbrd's �hts u[ider Utls Ses�ion, 6a unreaspnably withheld ar
delayed},and tl�at ihe assignee w subGer►ant w(II canpy with atl ot the provisions of th�Lease and that
Landlord may enfarce tlie l�ae provisions directly ag�ainst st�ch assigru�ar subtenant 1f this l�se is
assiyned,whether ar not in vfoladon of ths�ms and provisions of this Lease,Landbrd may coilect Rent
irom the assignee.if the Premises,or amy part iheroaf,is subiet,CandkaM may,upon a defauft under this
Le�se,colkct rcnt trnm the subGenant In either ev�t t.artdbrd malr appty the amount coliecEed fronn ttas
assignea or aubtenant to TenanCs abliyatlon to pey Rent under this Lease.
(d} Ev�nts Canstiditing an AsslgnmeM or Su61e�. For purpaRes af thls Section, th+a
toibwing even#a shati be deamad an aasignment or sublea4e,as appropriate: p)tlie kssuar�ce of equily
interests(whether stock, Pairtne�ship inte�ests or aNierwise}in Tensnt,cr any assignae or sub#enant, if
applicaable,or any entlty contralling any of them,W any person or Qroup a9 related perso�s, in a sinQle •
hansaction or a series of reiated ar unrolated transactions, such that, faliowing auch issuance, such
pesrson or group shalt have ConU'W {as defined betow} �Tenant, or aity s�sai�nee or subtenant, if
applicable;�(ii)a transfer of Conbrol of Tenant,or arry assfgnee or subtenant,if applicabie,or a�y entity
cxmtroAing any af tlrem,in a ain�Ie transsdior►or a series af reiafed ar unrelated transactions(inciuding,
without limitstlon, by consolidatbn, merpar, acyuisition w raorpan¢ation}, ex+�pt thai trie transfer af
oulstanding capitai stock ar other iisted aquity interesta by persons ar parties other U�an"Msiders"within
tt�e mesning of the Secu�F�ccharsge Act of 1934,as a�ruied,thrauph it�e"ovar-the�cours#e�"market
or arry recognized nstlonal or iMemadonal securities exchange, shall not be induded in datemtinir�
rvhether Cantrai has been transferred. "Cantral"ahati mean direct or k7direct c�vmership of fiity percent
(50%j or more of alt the legal and equitable inbe�est in any busir�ss entity.
(e} Processinp Expen�ses. Tanant ahali pay ta Landlord tt�e amount M landbrd`s cast af
P���9�ProPosed aasi9nrt�ent or subletting,includknQ witl�out�n�at3or�,neasc�nable attaneys'a€�d
ofher professiranal fees, and the cast of Landbrd's adminiatraWe, ac�oouMin� and clerical time
{coliactivelyr,"i�ra:�ssing Costs'�),and the atnouM of aA r�ortabb ditect and indirect expense incurted
by Landbrd arisir�p trom the aasignee or sublessee tsking occupar�y ot the subJect spt�x, induding
wfthait hmitatian, reasanabie oosds of �t etevatar operation for movinp of fumishings and trade
fictures, securitlt service, jsnfboriai ar�d t�eantr� sen+ice� rubbisFt remavai aervice� t�sts o# changir►�
siqna�e, and � of chan�inp bcks and making new keys {cdlectively, "Occupancy Costs").
Notv�id�standing anythiny to the�trary herein,laridbrd ahsit not be required b�pracess any requeat ior
Landbrd's consent �o � assipnr�nt or su�tiir�g un� Tenant has pa�f ta tandiord Three Hundred
Dollaro(5300.Q0).or Landlord'a eatlmaEe of the Pr�otxaainp Coats and fhe Occupancy CasCs,whk�ever is
$naaber. Ur�er na qrcumstance ahail the tatai Processing Gost,a axcxed F'rve Hundred Dailars i35dd•00)
per occurrence.
1t
� AGENDA ITEM#S. d)
(f} Cot�idarat� ta lauidiard. fn it�evertt of amr assi�nrn�t�subbase, whether ar not
requirinp Landbrd's cansent,Landlord shall be entitled M rocehre,as Acirdit�r�al ReM,one-haif(1!2)of any
oartsideration,indudinp wikhout limffatian,payrnent for leasehoid improvert�p�d for by Lsndbrd,paid
by tl�e aasi�nee or subtena�for the assigr�nsrtt or�bfa�ase at�d,�t Vte c�se of aubiea�se,Mie e�ess of
the amourrt of reM pakl br the sublet�pace by the subtenant over the�I amount ot Mintmum Monthly
Rertt undes Sadion 5 and Additi�onai Rent under Secfians 7 smd S.Upon Landlord's roques#,TenaM shaQ
seaiyn Eo L.andbrd�!amounta to be paid to Tenant by tt►e assigr�ee a su�errac�t and aha11 direct such
assipnee ar subbenant to p�1y tlte eame directly to I.andbrd.If tltere is more than one sublease under this
Leas�,tl�e amounts{if anyj to be peiid�TenaM to L.�ndiard pursuent#�s tfie preced'mp sen#ence ahaU be
separably calcu�ted fc�each eublease a�d amouMs due t.andl4rc!with rapaM Ec ar�y one sublesae may
rat be aifset apainst rer►tai and other cansideration due under arry a�her sublease.
(�) Pwc�dur�s.If Tenant desires 6o assi�n this Lease or any irttereat therein or sublet all ar pad
of tt�Ptemises,Tenant ahatl g'rve Land�d written noGoe theroof desiynnatinp the apac�e proposed to be
sublet and 1he tetrrts ptnpased.If ttaa propcysed subieaae cavers tl�e sMire F'ret»ises end if the te�m af the
proposed sublease(includinp any renewal kertns)wfil eycpire during the final six{6)rnonkhs af the Term(or
if Tenant has exercised a renewal optwn,if arry,then durinp the flnal six(6}months of ihe aubject renewai
Period),then Landlad ahall have the pr�r rf�M�nd optlon(to be exercised by written not�b Tenant
given within fif6een(15)days aRer receipt of TenanYs noUce)(i)to terminate this Lease,or(ii)to approve
Te�anCs proposat Ea subiet c�ndidonai upan landiard's subsequent written spprove� of tha apec'rt'ic
sublea�se obtained by Tenant and!he apecific subtenant named thero�n. If Landbrd exercises its opian
described in(ii)abave,Tenant shaii submit to�sndlord for Landbrd's writbnn approval Tenar�Ya propose�d I
subieaae agreameM{'m which the propased st�bfie�tant shall be nats�ed)fapether wilt►a curnent revier�d
or audited nnenciei slabem�mt preparad by a aertitfed public accountaM for such propoa�d subtenant and
s cxedit repart an auch proposed aubtenant prepared by a recognized andit repordng agency.If Lsndbrd '
faifs to satencise#ts optiott M tenminate this lease,tltis Shail r�ot be 4artstrued as ar conaii#uEe a w�ver of
any of the provisior�of this Section.If Landlad exercises Its optbn to termh�ate this Leaae,Landbrd shall
not have am}r�ab�ity far any reai estate brokerage cammis�ian(s}or with respect ta any of the s�s#s and
e�enses that 7enant rr�ay have Gicumed In connection with its prop�sed sub�tir�,a�Tenant agn�s ta
hold Landlord harmless trom and ageinst any and aU daims (i�dudlnp, widwut IimiRatian, ciaims for
wmmissians} arisinp trom suctt proposed subietting. tandbrd's fora�oinq riphts arxi op�ians shati
c�tinue thmughout the Term.For purpqsea of this Section,a proposed assi�rnent af thfs Lease in whole
or in part shail be deemed a proposed ffiublettin�of such space.
(h) Dacum�►tatlon_ No permitted subtetting by Tenant shalt be ef(ecttve uMi!tl�ere has been
deliver'ed tD LandbM a courderpart of the sublease in which the subtenant a�rees to be ond remain jointly
a�i severaNy �abie w1Us 7e�t for tt�e payrt�t � Rent pertaining ta the sublet spac:e and f�the
pertortnance of all af the tertna and prov'isions of this Lease;Provided,how�ever,tltiat the subEanant shail
be�abie tio Candbrd for ront only in thb amou�set forttr in the suble�as.No perm�ted assipnmen#shali
6e effactivs unless and urrtit tl�re has b�n deiivered to Landlord a cou�ct ot the assignment in
which the assignee assurtres all of Tenarrt's obligatlons under this Leaae arfsing on or afl�r the daba of fhe
assiqnment Tfie taiNme or refusai af a suM�enant ar assipnee ta exec�rte any such�atrurneM shaait not
release or disc:harye the subtenant or assignee from its lisbilKy as set tortts above.
{i} Na 1Nfrgar.Without limiting any of the�avisions of th�S�tiorti,it Tenant has en4ered iMo
any suble�ses of any pcxtion of ihe Premises,the voluntery or other surronder af this le�e by Tenani,ar
a mud� canaeila#ion by LandbM and Tenarit, shail not wwk a merger, and shall, at the optlan of
lar�latd,Uetmlt�ate stt or arty e�tt�subieases ar subtenancies or�at tlse optian of tandtard,operate�
an assgnrr�nt to Land�rd of any or all such subieases or subtenancies.
29.D�fauli The occurre�of any ot tt�e folbwing,beyond any+appiicabb cure period,shait c�nstiU�te
a defaulk by TenaiM under thls Lease:
{a) F#ilun to Psy Rani Failuoe to pay Rent when duc,if the failuro co�tinues for a period of fnre
(5) bu�iness days after nolke pf such default has been given by Landbrd h►Tenarrt.
(b} Failur� ta Comply wkh RuN�s ind Rpul�tiom. Failurrs ba compy with tha Rules and
Reguiations, if the failure cantinues for e period of Mrenty-four(24)twurs aiter'no#ice of such defsault i�
� fliven by laaridiord to Tanant if the failure 6o a�mply c�nrtot r�erasanably 1�e curod with�Ewenty-faur{24}
haurs,fhen Tenant ahall not be in defeuR under this L�se if TenaM commences to cure the failure to
tx�mpiy within twenty-fuur(24} iwurs and diligerrtiy and in paod takh con6nuea ta cure tfie taiiuro ta
comply.
{c} ONu�Defanits.Failute W perforrrt any ather ptorrisian af�ia Leaae,if the faiture to p�ttorm
is not cured within thirty(30)days after noGce of such defautt has been piven by'Lancllord to Tenant.If ttaa
defaulk cannot reae�ona�bly be cured wftttin thirty(3Q)days,then Tenant shaQ na�t ba in defauft under this
Le�ase if Ter�tt cattmencaa to cure the clefauft r�rithin thiRy(3{}}days satd dii'rgerttly and In good faili�t
cantin�s to cure the detault.
4a1 Ji H,�.�6�;���:� .�t of 1'n�te. oc RsuNir.r. lt�e appoinm�ent�a trus�ee nr receiver to mice
poe�seasion of sub�tte�faly all M the TenanCs asaeta la;ated at the Premises or M Tenar�Ys kiterest in thia
i_ease,v�fiers poseeasian�nat reatored ta Tenant with3n si�Y f80)days;or the atmchment,execution or
otMe�jud'+c�l seiwre af subatantiaNy a!!of TenanYs asse2s l�ated at the Pn�nages or of TenanYs iMeresE
in tfiis leaee,where such se¢ure is not diacharged within ai�y(60)days.
I is I
AGEIVDA 1TEM#8. d)
27.12im�dMs, tf Tenant commits a c3efauit, landbrd sha11 t�ave the foilowinp attemative remedies,
which are in additiorr to arry remedteas now ar later aUowed by law:
(a} MaiMaln�ssats in Farae.Mainta3n this I.e�e in fult t�end aftect and rer.o�r the Rent
and ather monetary charges as they become due, without temrinaUny Tenarrt's right W possess�n,
irrespedive af whether Tenant shali have ebandoned the Premises.if Landbrd etects to not terrninate tlte
Lease, LBndlord ahall t�nre the tipht to atEempt ta re-bt ihe P�nises at auch rertt arxi upon such
candibions and 1�or suCh a term, and to do all acbc neoessary to maintain or preserve the Premises as
landbrd deems reasonabk and neoessary w�khaut betnq deemcd�fiave elected to terminate tl�e Lease
induding removal of all persor�s arxi pnoperty trom the Premises; such propertY maY be n►moved aru!
sbared in a pubiic warehouse or elaewhere at the cost of and far the account of Tenant In the event any
such re-tett,in�occurs,this l.ease sh�i term�ate autamaticapy upan U�e nern Tenarrt taking possession af
the Premfses.Notwithstanding that LandloM tails to el�ct to terminate the Lease initialiy,Lsndbrd at any
time during the term M this Lease may elect to te�mit�ate this Lease by virtue M such prevlous defauft of
Tenani
(b} T�rminat�L�se.Terminaba TenanCa right bo possession by any iawful meana,in which case
this Lease shaU Qam�inate and T��t a�hali �n�distety surrender possession of the Promises ta
Landlard. In euch ev�nt Landbrd shall be entitled W recover from 7enant aU dama9es incurrod by
Landlard by reason ot Tenar�'s defauft induding wiHwut limita�on thereta,the foibwinq:(i)The wortfi at
me dms ot ewaro or ariy un�+a aent wt►�n naa ceen eamed ac me tirr�e or s�tem�n�a�,;�����E�m�
warth at the dme of award of the amouM by which the unpeid ReM which would have been eamed afte�
term�ratiatt urrt�the fime of aiward exareds the amourd of such rentsf lass that Tenant prov�c�uld have
been reasanaby avoided;plus(iii)the worth at the dme of awaM M the amount by which the unpa�l Re�rt
for the isatanas of#ie 7erm aPber the dme af award exaeeds the amount of such rerrtal bss#hak ia proved
cou4d be re�onabiY snraided; P�us{1v)any adtet amaunt necessary to canEsensa#e l8tsdlord far aIl the
detriment proximatey caused by TenanCs taiiure to pertorm ibs obli9adons under th�Leage or which in
the oMinary coune af things wouid ba tikeiy tc resuit therofrom,including wRhout limitadon,any cAsffi or
expenses U�curted by L.�dlord in(A}netak�g possaasion of the Premiats,i�lt�ing reasonabis stWmey
fees tlferer�for, (B)maintaininq or preserving tltie Premises after such defau�,(C)preparing the Premises
for releffin�bo a r►ew 6enant,inc�iing repairs ar necessary atterationa bo the Premises tor such relettln�,
{D) leasing commCss&ms incident to re(ettir� to a new tenani, and {E} any other t�sfs neaessary or
appropria#e to relet tlie Premises; pius(v)at Landlord's election,such oUaer amounts in addiGon bo or in
i�u � !he foregair� as rrs�Y be Permitted fr�n time ta time by spplicabte sta#e iaw. The smaints
descx�'bed in dauses{C�and{p)shall be amortlzed over tt�e terrr�at tt�a new tenanCs lease,and Tenant
ahali oniy be liabie to landiord for the partion of such amourrts attributable to the period prior to the
Expiratian Dabs of th�leaea set farth in Section 1.Upa►any sc�ch re-enhyr I.andbrd shail have the ri�ht#o
make any reasonaWe repairs, aiteratkms a modifications to the Pramises. which landbrc! in i�s sole
discre8an deems reasonabie and t�ecsssary. As used in Subsection 27(b}(i) the'�varth at the tlme af
award" ts compuf�f by aibwing interest at tt�e rate o#fifbeen percent(1596} per y�r#rom fit�e date of
defauk. As u�ed in Subsecdons 27(b)(ii}a�27(b)(ii)the"worth at the time of award"ia computed by
discaunting such amounts at the discAurtt rate of ei�t F�ercent(8`tb)per Year.
28.Bankruptcy.
(a) Assumption of Lsase.!f TeEmnt becomes a Debtar under Chapter 7 of the 8ankcuptcy Code
("Code"}or a pefidon for reorgan`�zation or adjuatme�t af debts is filed conceming Tenant under Chapters
i 1 or 1 S 4t the Code.or a prtH^.eedinp is fiied�der Chapter 7 of fhe Code and is transfsrred ta Chapters
11 or 13 of the C4de,the TrusUea or 7enarrt,as Debtor and 8s Uebtar-tn-PossesBion, may not��
assume thls Lease uniess,st the 6me af such assumptloo,the Tnistee or Tenan#has:
(i) Cured all default�under the Lease and paid all sums due and aMng under the Lease or
pravided La�dlord witl�"Adequafie AsRurance{as deflned below}#ha� (i}wffhin ten(i0}days irom the
date oi such assumptbn,!he Tnis�ee,or T�aM wfll comP�h�P�Y aU sums due and owtnp urader thi�
Lease and cx�mpensate Landiard for arry ac�uai pecuniary bss resuldnq from any exiat3ng default ar
breach of th��ease,inci�ulir�wlthaut limftation,landiard's reasonable c:�#s�expenses,accrued interes�L
and attomeys'teea�inCufred as a resuft of fhe dafauR M'briach;(ii)within twenty(20)daya from fhe dabe
of�ch assum�iar+� tlre Truatee or Tenart#wiN cure adi nan-monetary defsuits and bresches under ih�
Le�e, or, it the nature Of such na�-matietary �efaufts is such that rt�ore than twanty (20} daya ana
reasonaby required for such cure,Mat the Trustee or Tenant will aammence M cure such non-monehary
�Iks with�MreMy{24)days and ttu�reafter dili�entlY Pmsecufie auc�cure ta campietion�and(iii}the
as+sumptlon will be subject M afl of the prov[sions of lhis Lease.
(�} For purposee of tt►is Sectiors,landi�d and Tenant acknawtedge thst,�tE�e cantesct of a
bankruptcy proceeding invobing Te�ant,at a minirnum,"Adequate Assurar�ce"�hall me�u�:{3}the Trualee
or Tenarrt has and will cart�nue b have suffiaent unenaumbered arsset�af6er the psryment of aq aecured ,
ablipatlons and administrative expenses fla r�suce�brd thaR thb Tnsstee ar Tanat�t wi!!have auPHcient
funds to fu�li the obtigatiars af Tenant under this Lease;(ii�the Bankruptcy Cou�t shaq have snterod an
Order seqregatinp suift�ciertt cash paye�le tcs t.andbrd andlar the Truat�ee or Tenant shali have qranted a
val"�d and pertec�ed tirst lisn and seaiirity�ke�est and/or mortgage kn or on property of Trustee or Tenant
acxeptabia as Eo value and kind to Landlord,to secure b Landk►rd 1he abfigstion of the Truatee or Tenant
ta a�ro ttie mc�netary arnttar r�-rn�mefia�y dgfautts and breeches under this I.aaae within ihe tlme periods
set forCh above;and(iii)the Trustee or Tenant,at the very rnfnirnurn.shall depo�it a sum eq�l Co twa{2)
morrth's Minimum Monthly Rerit ta be held by Landbrd (wifhaut any ailowance for intereat thereon)ta
s�re TenanYs tuture perfannanca under t#�e i.esse.
(b} AssiQnmarrt af Lerasa. If ihe Truetee or Tenant has assumed tfie Lease purauant ta the
provisions of thi�Sedion for the putpose of assigna�g Tener�t s inEerast hafeunder tio any otl�er peraon or
13
; - - - -- - - — -
� AGENDA ITEM#8. d}
ent�y, such intarest may be assigr�d oniy aRer the Truatee. Tenar�t or the Propased assipnee have
camplied with ali of the Eerms,covenants and c�nditans ot this Lease,ir�cludir�.wiihout Grrsi�tion,those
wi#h respect to Additbnai Rerrt. Landlo�d and Tenant advw�wledge that such terms, covenants and
cpndiiGona a�re canmercFaity r�easonable in the aantext of a bankrupGcy proceedinp af Tenant.AnY i���
or entlty to which this Lease ia aasiQned purauant to the provisions of!he C•ode ahail be deemad vrithout
turther aat ar deed to have assumed all of the abtipations ar�inp under this Lease an and after the date of
such assignrt�t My such aass�nee aha!!upon reGuest exacute acx!delive�Ln t.ar�dbrd an instrument
� canflrminp such esaipoment
t�) �ivate Probctfon, Upon the fiGng af a petition by cr a�a�st Tenant under the Code,
I Tenant, as DebEor ar� as Debtar-In-Possession, a�►d any Truatee who may be appointed apree to
adeqs�ately pro�ect tandbrd as#otbws: �) ta pe�form eact► and every ob6gation of Tenant under this
l.ease undl such Bme as this Loase is either re}ected cx assumed by Order o€the BanlwFtc:Y Cc►u�(ii}to
pay ail manetary ob�adone required under this Lease, induditp wi�w�ut �mitation, the paymemt of
Minimum tNatthiy Rent,Ten�tCa Share of Real Property Ta�s,Termttt`s Shere of Opera�ng Costs and
any oiher sums paryable by Tenant to Landbrd under this Leaae which is considered reasonable
corr+pensa#ian for the uae and occupancy of the Premises;(iii�prnvide Landbrd a minimum of thiRy(30}
days priar writken notic�a,unless a ahorher period is�road�s in wri�nQ bY�P�,��Y Pi���9
reladng to any assumptan of this Lease or any intent W abandon the Premises,whkh abandonment shali
be deemed a rejectlon af#his Lease;and(iv)to perform ta the benefit of t.�dbrd aa othervvise required
under t�e Coc�e.Ths faftura of Tenant to c�rnply vvith Use abrnre sha11 result in an au6amatic rejec�on of
this Lease.
29.l.imits�tion af Aeflons.My daim.demand,r'i9ht or detense of any klnd by Tanant which is bsssd
upan or arises in connecUon with this Lease or the neaatiations priur to fts execution,shall be baRed
unless Terutnt c�t►snences an action thereon,ar inberposes in a legai prc�caedir�a de#ense#sy reason
thereof,within q�e(1j ye�ar aft�u'the date Tenant actual(y becames awt�re ot the act or omission on
which such ciaim,demand,�ight or defense is based.
30.UmihUon on Landlord's LlabQity. AnykhinQ in �is l�se to the contrary natwikhstanding,
oovenanta,undertakinps and agreements herein made on ifie part at i.andbrd are made and intended
not as petsonai cov�snts, under�lon$s attd afl�eemenbs �tor the (wrposa af Dindtn� Land�rd
personally or the assets of Landlord except Landlad's interest in the Proparty, but are made and
iMended#ar the►purpase of binding ortiy the Landbtd`s f�nfierest in the Property.No personal liabilihr or
peraona! respansibility is a�umed by, na sha!! at asry 6me be asseRed or enbrc.cable against
LandbM or its paAners and their respective heirs, legal reprgsentatives, successors snd asspns on
acc�urst of this tease ar on sceount of any cavenant,undertaldng or agreement of Landi�d canfiained
in this Lease.
31.Stpr�s. Tenant shai! no# tsave the riy�hi to piace, �� mai�n sny sign, advertisernerit,
awrring, banner or other ex6erior d+�uration vvithout Landbrd's ca�se�t My sign thak Tenant has
tandiord's consent to p6ace,construct and maiMain shaU campy wiUr alI laws,and Tenant sha11 obtain
any approval required by such lannrs.Land�rd tnakea t�o t�eprc.sentation v�respecf to fienanCs�ity
to obtain such approval NMwithstending the foregoir�, LandloM and Tenant have a�reed to albw
Tenant tfie riqht io instati ane(1}Exte�iar sign an the�iiding,purauarrt to the R'ider mttsched harefio.
32.t.andbrd's RipM ta EMer the Prembes. Landtord and its authorized representatives shali have
the right to errtsr Ute Premises at reasonabte times arxi upon reas4nabte prior notke {exc�pt in an
eme�gency wk►en no such notic.�s shaU be required)for amr of the bllawinp purposes:{i)ta detsrmine
whether the Premises aro in good candi6on and whether TenaM Is comp�ying with ibs obligations under
this le�e, {ii}ta da an}r msurs#enar�e�to make any re�ta ther P�em3ses a ttx�Buiiding that
LandloM has the right or the obliga�tion to perform,and b make amr improvements to the Prramises or
the Bu'idinp th8#Landbrd deems necessary�(iu)to aerve,Post or keep pos�ad arry notic;es required or
alkrwec!urWer tlye proviaiorts af this Lease,(iv)tc post any adinary"Por Sale"signs at any time during
the Te►m and to post any ordinary"Fw L�se"signs during the last ninety(90)days of the Term,and
(v}to atrow the Promises W P�P�Ve brokers,a9enta, Purchasars,tenarrts ar Ienders,at any time
durinp the 7ertrr.
Landwtd snaN not he�le��y rrfan�r tor any inoa,venierx�a,annoyance.alscutba�ce.bss af
businass� ntus�, or other demaye arisirig out af landlord's e�fiy on the Promises as provided in Utis
Se�oc�. exoep�d�nape resup�n9 ��9�h�^��ar w�itui ac6s af Lsnc�oM a its auihorized
rapteaerrteitives.T�r�arrt st�aq rxat be�led to��cr reciuctiort of Retrt if t.�tdMord e��t
riqht nsserved'm tlri�S�on.Landkard sha8 oonduct its acUvities on Ihe Pr�nises es ellowed in this.''iectlon
in a re�sanable manner so as fio causa min�nai k�conveni�e,annayarx�or disturbance ta Tenan�
33.Subardlnatbn. This Lease is and sha0 be priar to any mortgage recorded aRsr the date af this
tea�sa af€ectlnp the Property. if, hcwvever� a lender rociuires that this Leaae be subardina#e to any
mortQa�ge,thi6 L.eaae shall be subordinabe to that matgaQe if Landlord 19rst obtains irom the lender a
writken e9reement ihat provides subsfiantiaiy�the foiiawing:
"As lang as Te�ant performs Ns oWga�or�s under this Lease, no 1'areGosure of,
deed givan in tieu of forodosure of,ar sale undar the matpa$e,and no ateps or procx�duroa
talren under tl1e mo�ge,Shali affect TenanYs tiphts urnier this i.+�se." ,
Tenartt ah� at6am ta �y i�rchaaer at anY foret�ure saie. ar ta arry prantae or trancfanee �
desiQnaE9d in any deed given in liau of f�redosure.Tenanf shaA e�cecute the writlen agreernertt and�y other
dayumen�requaed by the ler�d�to aa�mplieh the purpuses of tMs SecGon. I
I 14 I
� — -- -- —
AGENDA 1TEM#8, d) .
3t.R�ht to Estoppet CarEitici�tas.Tenant,within ten(18}business days efter noti�ce firom Landbrd,
sh811 exeCute 8nd deNver to l.andbrd, in ne�deble torm, 8 c�rtlficate statir►Q that this lease �
unmodified and in fu0 force end eBe�t, a �n �,n ro� e�a efl�ect as moditied and statln� the I
mod]flc�ions.The certll9Cate shali a�a state the amcwr�t of Minimum Monthly Rer�#,the dstes to which
Rent has been pald in advance, and the amour►t of ariy Prepafd Rent or Security peposit and such
alher matters as Landlord may reaaonaby request.Failure to deliver the cerdficate wlthin such ben(10) I
business d�y period�ta!!be candusive upon Tenant fot tfte beneflt of�andiord�d an�r suocesaar M
Landbrd, that this lease a in full for�e ar►d effect and has not been modified except as may be I
�epr�tser�ted by landioM nsquestir►q the certific;ste.
35.Tnns(rr of Landlord"s Inb�st If l.andbrd eells ar transfers the Property, Landlord, on
consummaiion af dte saie o�transfer,shaN be neieased fram any liabiiityr thereaRer axruing under this
L�se if LandloM's successor haa assumed in writing.far the benefit o#Tenartt,Landlc�d's ' s
under this Lease. If any Security Depasit ar Prepaid Rent has been paid by Tenant, Landbrd shali I
tra�nafer such Security t?epasit or Pr�epaid itent ta landtord's successor snd an such transfier landlard
shall ber discharged ftom any further liability with respect bo such Security Deposit or Prepaid Rent
38.Attarnays'Faes.if either party shali bring any actlon far nskef�ainst the ather Par#Y,deciarabory or
othen�se, arisinp out of this Lease, including any acdon by landbrd tor the recovery of Rent or
possession of the Premiaes, the k�sing party shali pay ihe successfui party a reasonable sum far
attomeys'fee.s which shall be deertred to f�av�e accxued an the commencamea�t of such ac�On ar�d shaN
be paid whether or not such actlon is prosecuted to judgment I
37.$urrender;Holdf�fg Ovsr.
{a} Surr�ndar. On axpiratian cr ten (10j da�ys after termination of the Term, TenaM shali
surrender 2he Premises and ap TenarEYs improvemer�ts and atterations to landbrd braom cfean�d in
good cand'fion.Tenant ahaU remove ail oi its hade 19xtures and peraonal property,which peraonal properky I
speaflcaily inctudes ail cabling instat(ad in U�e Prem3s�#ty+Tenant(unless Tenar�t has recsNreui correent
fram Landbrd that such cabliny may be surrendered wikh and rernain in tfie Promiseaj,wdh3n the time
period atated in ihis Section.Tenant, at its cast, shaii perforrn ail restaration made nec;essary by, and
repair a�y damage ta the Premises caused by,1t�e re�vat of iGa trade flxtures, persqnai P�Pa�N$�
signs bo Landlord's reaaoitable sadsfaction wtthin the time pehod stated in this Section. Landlord may,at I
its elec.�tion, re�in or diapase of in any manner any af Tenant's trsde fixtures or personat praperk�r that
T�nant does not remove fram the Premises on expiratlon or within ten{1Q}deys ait�tarminatia�of tt�e
Term 8s all�or required by the provisians of this lease by giving ten(10)days notice to TenanG Title I
to ar�y s�h trade finctures and personai property that t.�tdlord eiects ta retain cx dispose of on e�cpiration
of sud� ten (10) day period shaU vest in Landlord. Tenarrt waives all ckaims againat Landbrd for arry
damaye ta Tenant resutting from Landbrd's retentiun or disposition of any such trade fuckurea and I
P����ProAe�'tY.Tenant ahaN be liabie ta Esndiad for landk�r+d's reasonabie cc�ts far ataing,remov�g
and disposing of Tenant's trade fatures and personal property.If Tenant faits to surrender tha Premises to
Landbrd on expiration or ten(18)days after termination of the Term as required by this Sectian,Tenant
shall pay Landbrd Rent in an amount equaf bo 1�ot the M�imum Monthiy Rent appttcable tor d�e
month immedi�tely prior to the expiration or termination M the 7ertn, or the arrwunt provided by law, I
whichever is grwter,iar the enUre 6me Tanant thua remains in posaession and Tenant shall be liatab fir,
shall indemni[y Landbrd against ancl sfiall hold L�dlord harmless irom ail damages r�e.sulGr�p frnm
TenanYs faifure to dmety surrender the Premises,indudinp without limitation,(i)any Rent payabb by,or I
any d�a�es c�ait�d bY���Y P��P�+e fienaM of arty part+or a!1 a#tha Premis�� and(ii}kandbrcS's
damagea resuMinp from such prospacUve kenant rsscinding or refusing to ente�r into the prospective lease
of part or aii af the Premises by reason oi`TenanYs failure to 6mely surcender the Premises. If Tenant,
without Landbrd's priw consent,rcunains in possession af tt�e Premises after expiration tu temtinati4n of
fhe Term, or aRar the date in any notic,�e �iven by Landlorc! to Tenant terminating this Lease, such I
possession tsy Ten�t shaii 6e daemed ta be a tenancy at sufteranae berminabis at any time by either
P��Y•
{D} H�oidfnp Ovar with E.andbrd's Consani If fienant,with t.andiard's prior cxxnsent,remains in
pnsseasion of tt�e Premises afGe�expiretiioh ar termtnation of the Term, or aRer tris date in 8ny notlt.e
fliven t,�y t.ar�diord bo 7enant termir�atin�this Lease.such possessian by Tenar�t shail be dremed to be a
month-to-rr►orrtl,tenancy terminable ay Land�ord by a not�given�Tenan:ad k�sc tw�enty{20}aays prbr
to the end of auny such monthly period cx by Tenant by a notice 8iven to Landkxd at least thirty(30)days I
ptior W the end ol ar�}t such mo�fhiy period.During such month to-month tenancy,7enarrt shail pay Retri
in the amcwnk then agt�eed to in wrtdng by t.andlord and Tenant.All provisions ot this i.ease,exc�pi thase
pertaininy to term,shaU appy 6�i the manth-to-month tenancy. I
38.AQency Discbwre;Broker.
(a} J�ancy Dt�closure. iCidder Mathaws hereby discioses#hat it represer►#s the f.andlord and
Tenant in this transaction,
(b} Breiut. t.a�dbrd and Tanant each r�reseM ta tttie other that neither is c�presenfied by srt�r
broker,agent or flnder with respect to this Lease in any manner,eauxpt ttre Broker{s).The oommisaion
due to the Broker(s}ehaii be psid tsy Landbrd pursuarrt to a separete agreement Each pariy agrees#o
indemniry s�hold tt�e oC►er party harmless from and agafnst any�d aA I�b�ityr,casts, causes
of actlon ar otl�er prot�edinga instituted by any broker, apent or flr�der, licensed or otherwise, daimin�
through, unde�'or by reaaon of the c�nduct of#he indemniryinq party in any manner what�ower in
oannection with th�l.e�ase.If TenaM enpag�a broker,agent or finde�to rePreser�t Tenant�c�onr►ec�ian
wRh any renewai of this Lease,then the cammissian or any fee of such broker,a�ent or fir�der shail be I
paid by Tenar�t.
15 I
I
' A GENDA 1 TEM#8. d)
39.in�terost on Unp�id Rent In additiorr t�the Late Charge as provided in Sec�nn 5{ba,Rent nat paid
when due shail b�r iritereat firom the date due un61 psid aE the rate of fifteen pe�ent(15%)per year,
�the maxim�n Iepat ra�e af�terast,whict�ever is fess.
�
i 40.Mflnitlar�s. As used in th�Lease,the foibwir�worda and phr�ses, whether ar nat capital¢ed,
shaN have#tb toiEov�r�g rneaninqa:
(a) "Add'rtianai RenC' m�rns p�ss-thraughs af intx�eeises in Operaatiinp Costs and Taxes, as
de�ned 3n this Lease,and other manet�ry surns to be patd by Tenarrt#o landiord ur�der the�avisions of
this Leasa.
{b} "Atteta�tiort" mean9t atty �.1dRiat or dtange bo, or modif�tiot� of, the Prem� made by
Tenant,includin�witlaut limitation,flxtures,but excluding Vade fixtures as deflned in this Sec�iari.
(c) "Ru�d reqreaentatives"meana any ott6cer, a$ent,empk�ree,NidependeM c�tractar or
invitee of either party.
I (d) "Award"means all oompensation,sums or enythin�of value awarded,paid or received cn a
I totai or partiat condemna�n.
(e) "Cammon Areas" means all areas outside fhe Premises and within the 8uildir�g or an the
Land that are provided and desi�ne0ed by Landbrd irom Ome ba time for the�enerai,non�cctusive use of
E.andbrd,Ten�t and�her i�ants ot the Buildir��thefr authorYted repreaentativ�,lnd�ing w�hout
limitation, t.�ommon entrant�es, lobbies, corrida's, stairway3 and aCairvvells, elevabora, escalators. publ�
restroams and oth�r pub�ic portiona of ttre Buiid#ng.
(fl "Cotidemnatlon" rr�ans the exerase af any govemmental perwer, whether by legal
Proceedin�s tx�fienr�,bY a cot�ciemnor and a votuntary saie pr transfer by Landiord to a►�}r oa�demnor,
either under thr�t af oondemnatlon or while lepal proceedings Mr condemnation are perulin�.
{g} °C,pnd+�n�" means �ut}t pubiic � quasi-pubiic authotity or erttity havinq the pw+rsr af
condemnation.
{h} "Damape"meauls at�y NtJtHy,detxioration,or loas ta a Pe��,P�P+�nY�the Premiaes or the
Building caused by another person's ac�s or omfssians or by Ac�s of God.Damape indudes death.
{i) "Dama�as"means a mon�r c�mperrsation ar irxlemnity lhat c�be recrowsred in the t��uts
by any person who h8s suffered damape to his person, property or rights thraugh another's acts or
omissiarts.
(j) "Date of taking"means the da�e the condemnor has the ripht ko possession of the property
beirsp t�ndetn�ed.
(k) "Encumbrarx�" means arry mortpage, deed of trust or oRhe� writtan security dev�ce ar
a�reement af€ectinp tt►e Pnymar�,ar�ti�e nafle ar ather obli�ati�aecured by�,that constitutas s�urity
' for the payment of�debt or perfortnance of an abligation.
(!) "Expiration"means t#►e coming to an e�d af the tit�epecif'�ed in tl�e�ease as its duratioti,
I induding any exbansbn of the Tertn.
' (m) "Force majeure"means strikes,bckouta,labor disputes,ahortages of labor or materials,firc
or other casuafty,A�cta ofi t3od ar any other cause beyond ihe reasonabie controi af a peAy.
' (n} "Good conditlon'm�sans ths gaod physical conditlon of the Premises and eacf�portion af the
Pramises,indud�wittwut Nmitadon,aN of the Tenant improvements,TertarrYs�ttttsrations,Tenar�s trade
� tbdure�,TenartYs Parsona!P[operty,aU as deffnad in this Sec�on,si�na,vralls,inte�ior parti�ons,windwrs,
window ooverinps,�iass.doors,carpeting and resilient floorinp,ceiling tlles,Piumbin�Pocturea and lighdng
fbctures,aii oi rvhkh st�t�e in canfor�silty wlth budtiing standard ftnishes,ordirtary wear ar�d taar,damape
by flre or othe�casuaity and takinp by amdemna6on excepted.
(o) "Hazardoeis sut�starxes"means any industrie!w�te,tr�x�wasee, chemk�l c�taminani or
other substance car►sidered hazardous�to�c or lethal M persor�s or property or desi�na#ed as h�azaMous,
� taxic or lethai� persons ar propetty under arsy ta�+vs, induding without Gnida�on� asbestos maberial or
materials c�ntainir�q�.
I' tP) "Hold harmiess"me�s�a detend and indamnifiy from sai liabiiity�lasses,Penat�es,damuapas
as def(ned in tttis Sectlon.c�ts.�Pens�finduding without fimitatbn,attomeys'te�),causes of a�tlon,
ciaims or judgmeMs erising out of rx relabed bo any damage,as defined in this Section,to any pensan ar
' P��Y�
(q} "t.z�'m�urs auny c�nstih�6ion,statute�ordinarxe,re�Auiadon,ruie,resoiu6on��dic3al dedaion� '
administrative ader or+s�raquirernent of ar�y tederal, stsba,c�nty,�r�capet cx�►er Oouemmental
agency or autltiarity hirving Jurisdk�ion over the pardes or the Praperty,or both,in effect either at the time
af exacution of this Lease ar at arry time during the Term,induding wittwu#Gmitatbn, any rnguiation or
il 18
AGEIVDA ITEM#8. d) .
I
otdsr at a quasi-official entity tsr body{e.p., board o#fire euamlt�s cr public utilitiea} and any legatty
efCec#hre condltions,covenants or resMc6ons affec:ting the Property.
{r} "l.or�der" meEtns the mortgagee� benaficfary, secu�ec! pariy or ather holder of an I
encumbrance,aa defined in this SecUon.
{a) "!.�"mear�a charpe imposed ors tMa Premises by someoree othar U3an lsndbrd,D7t which
ihe Prem'�es aro made security for the pertormance of an act.
{t) °Mainbenanoe"means repairs,replacement,repaintlng artd deaning.
(u} "[�age"m�ns ar�y d�d of trust,mor�age or t�'written secur(ty device ar agreement
affec:tin� the Premises, and the no� or other obligatio� secured by i� lhat canstitutes aeeurity Mr the
peyment of a debt ar pertormance af an obiigation.
(v) "Mortgagee^means the berrefiaary under a deed ot trust or mortgagee under a rnortgage.
(w) "Mortgagar" means the grantor or trustcx u�er a t�ed of trust ar mor�agor under a
m�a9e•
{x� "Operatlng Costs" means a!I costs of any kind incurred by Landbrd in operatir�i, cleanir�,
equipping,Pmbecting.lighfing, repairing, repiacinp,heating,air-conditioning, maintai�ing and insuring the
ProP�t•�Pe�ratin9 Costs shali ku�u�,witha3k limita#iart�the ftalk�ring t�sts:(i}salsries.wapes,bonuae,s
and other compensation{induding hospitalizatlon,medicai,surgkal,retirament p4sn,penaian plan,uniort
dues, Hfe insurance, including group life insurarnoe, welfare and other fringe benefits, and vacation,
holidays snd othet paid abaantx beneflts}�e��empfayees of l.�dtord a ifs�e�s din�IY enps�ec!
fn the operation,repair,or maintenance of#he Property;(ii)paYroli,�oc�al security,warkers'compensetion,
unempioymen# and similar tsxes wiU� respect ta such amplayees ot Landiord or Its autlta�e¢ed
rep�esentativas, and khe cos!ot providinQ diaabilih+or cihsr beneflts impaseG by law ot ott�erwise,with
respect ba such emplayeas; (iii) uniforms (including the cleaning, replaceme�t and pressing therecrf)
provided to sudt empbyees; (iv}premiums and ottter dtarpes indur►ed by Landbrd witlt respect to fire,
earthquake, other casualty, all risk> rent toss and I�bilihr insurance,any ather insurance as is deemed
neces�ary or advisable in the reasonable judgrrnent of Lendlord and, af6er the Base Year, c�sffi of
repairin9 an insured casualty 10 the extertt af t�ae�ductibie smount unt�r the appifc�a#tle insura�e PawY
(v)water charQes and sew�er rente or fee�; (vi) IWense, permik and inffipection fees; (viij sales, use and
exctse taxes an gaods and eervice�r purchased by Landiord in c�nnecHon with the operaYan,maintenance
ar cepair of the Properiy and Build� systems and equipment; {viii}#etephone, t�csimiie, messenper,
eicpress delivery service,Postage,stationety supplies and other expensas incurred in amnectior►with the
operation, managemmerst, mainter►ance, or reparc af tltie Property; (`ac} property mana�ement fees and
expenses; (x? repairs ta and physica! maintenance of the Rroperty, indt�ing buitdin� syatems and
appurdsnances thereto and normai repair and teplacement of wom-out equipment, facilities and
insta�ations, but exoludinp the repiacemen#of rnajor bu�dinp systems(extxp#ta Me extent provided in
(�cvi)and (xvii) belaw); (xi)janitorial,windaw Cbaning, seCu[ily, exfermins�SoA,water trgatmer�t. rul�bish
romovai,piumbing and other servicea and inspection or service cantracts for elevabor,electrical, HVAC,
mecltank�l and ad�er buiklir�equipment and aystems or�may atherrvise be r�ece�ssary or presper frx the
operatlon or mai►rtenance of the Property; {�u) supplies, tools, mate�ials, and equipment used in
oannection with the operafion, mairrtenance or repair of the PropeRy; (xni) accounting, lepai and other
profassiona4 fees and expenses,(xlv)pain�ng the e�erior or Ute pubtic or ca�nt�►ateas af the Buiidinp
and the cost of maintaininq Me sidewalka, Iandscaping and other common areas of tlie Property;(�cv)all
c�ts ar�d e�enses far eiectric�ty,chilled wafler,air conditianirig�waber far hesting.f,�as,fuet,s6e+am,heat,
lights,power and other energy relafied utllities roquired in cannaction wittr ihe operatlon,rr�afe�tenanrs and
repair of ihe Property; (xvi)the cast of any improvem�ts which Landlord elects ta capitalize made by
landbrd tQ#he Property during the Term in complar�wifh C�e c�quicements of ar�y Iawa or repuladon rx
insurance requirement with which the Properly was not roquired to c:omply during the Base Y�r, as
reasoneby artwrti�d bY tandiord,with in�rest on#ie unamorUzed baiance at Me raEe ot lweive peroenrt
{72%) per year, or it�e ma�mum lepal rate of intetest, whicheveE is less; {�rii} the c�st af any
improvem�nts WhiCh LBndkNd eleC�td capitaliza made by Landbrd to tFw Proparty durir�g tha tam af thb
Le�e tar the prot+�an ot the heaEth and satety af the occupards af the Property or that are�bended tA
reduce ofher Opereting Costa, as reaaonably amortized by Landbrd, wilh inaerest ort the unart�ortized
balanc�a#the rate of tweNe peroent(12%)pet'year,ar the maximum bgel rate of inberest,whichever is
less; {�cvi9i) a reasonab� rese�nre tgx repair or n�piaceme�►t of a�ipment used � ft�a maintenenae or
operatlon of the Property;(�ax)the cost of tumiture,drap�erba,carpeEins,landscapinp and ottter custanary
and ordinary items�personai property(exctudirrrp paintlngs�scutp#ures and other works o#art)Provided
by l.andlad for use in common areas of tha BuUding�in U�e Buitdirig aflice(ta the extent that�ch
Bufldinp offlce is dedi�ed to the operation and manageimment of the Property),such cost�to be amortlzed
over the useiut �rfe thereaF, {�oc) Buildinp alfice rorrt or renfsl value; and (7oci} aii oifie�custs which, in
accordance with yenerally e�und axour�ting and managemeni princip�s used by f.andbrd��appiied io
the maintenance and aperation of oifice andlor retail buildings, ans praperty chargaable to the operation
8�fisintenanCe ot the Property.
OperaN►�p Coata shai�not induda ttte foliow(ny:(�deprecia6on on tlte Building,(�)dekrt servic�e;(ui)
t:apit�improvemertta,e�ept aa3 sNhetwlse provided itti daus�{xvi}�d{x+�}above,{iv}r��utider'�y
grtwnd or ur�derqing lea�+es; (v) Real Properly Taxes, (vi) atbomeys` fees and e�e�ses incumed in
cannection ws�lt ba�se ne�otietlor�s wit� praspec6ve�an�s, or deiswlt or eMor�oen�rt proa�s wilh
tBS{�40 d@TBUIl117��@118ftt8;{VII}�tX�Of�$l18ti2 NYi(1fOY8Ef1@t118:{Ylii}BdY�$�8XP9tiSeS:tX{IX�t�
eatate brokers or other leasing c�mmissions,
{y) "Partles"means Landlard and Tenant.
17
I
� AGENDA ITEM#8. d}
(z) "Party"means Landbrd or Tenant
� {asj "P�aon" means oc�e � rriore human beir�s, or legal entities � �her a+r�aal persaya,
including without limitatlon, partnerships,c�orparations,trusts,estates.associations and any cambinaation
of human btin�s and{�at an8fies.
i (bb) 'Property'm�ns the Premise�s,Buiiding and Lend.
(cc) "Provision"means any tarm,agreement,cavenan#,condition,clause,qualification,restrictior�,
�aserva6on,or other stipui�afion in the Lease that defines or othervvise controls,establisties,or limits the
� petformant�roquired or petmitted by eithar'party.
I (dd) "Reai Property Ta�cea" means any fam af tax, assessment, �ene�ai asseasment, speaial
� assessmeni,Hen, 4evY�b�►d obliflatio�►,�cense#ee,1k:enss ia�c,tax cr excise on trt�t,a any oUter Cevy,
i ch8rpe or expense, together with arry statutory in#erest therean, {individually and collecblvely, the
"impasttions'},naMt ar heresYber imposed ar required by any autharii�r havinp the direct or indireCt povwer to
tauc,inGuding anY tederal,state.county or aty povemment or any act�oot,a9ricuihuai,li�ht�r�,d�rainage or
other improvement or speciai assessmeM disbict tl7ereaf,(individuaUy end cdleatively,the"Govemmental
Aqe�cies'} on a�r tnterest of Landlord or Tenant or both (inctuding ar�y le�at or equitabie interost of
I landbrd or its morl�agee,if eny?in the Premtses ar the ProperRy,inGuding without 13mitation:
I {i} arvy impositlons upan, allocabte to a measured by the area af#he Premis�or the
Property,ar the rental payabb hereunder,including witl�out IimitatlYor►,any pross inoome�c or exdse tax
levied by any�rnmentei Aqenaes wfth rospect ta the receip#of e�uch�i;CN
'�, (ii) any Impositions upon or with respect to the possession, leasing, operatan,
', management, mainfenarx:e, al�eratian, repair ar use or occupancy by Tenan#af the Premis� ar arry
portion thereof;or
(iii} any tmpositions upon or w�th respeck to tfie twiidMg equipment and pe�'sonai property
� used in connection with!he oper�atior►and mairrtananr,e of the Properqr or upon or wfth respect to the
fiumihire,fiixtures and decoratlons In the oomman areas of the Proparty.
(ivj sny Impaaitions upon this Lease ar this transacHon or any document to which Tenant is
a party creating or tranaferring an intensst or an estate in the Premises;or
(v) any Impositians by C3o+remmeMal Agencies(whether or not such Impaslaons constitute
ta�c rec�ipts)�t substi#ution, Partia�Y ar fioiaN}r� of any impas'diona raw ar previously included within the
definitlon at reai prcperty�, induding those calculalec4 to incra�se tax iricremer�ts�o GovernmentaE
I Aperx�es end � pay for euch aervicea as flre protection, water drainag�e, street, sidewalk and road
' maintertattce.reiusa seunova!a'�govem�rrtat services formerty provided vriitwut c�►arge ta Proi�Y
owners or occupants;or
{vi} any and�f1 costs,inciudEng without iimltation,the fees o#8�rtfeys,tax consuEtants and
e�cperta� incurn�d by t.andbrd should Landlord etect bo nepotiabe or c�nbest ihe artwunt of such real
propeAy ta�ces in farmat or infiartnai proceedings before the Covemmentai Ageney imposing such reai
Rrof�er�Y ��: Pro+►ided, Na�wever, that i+ead property taxes shall in no event ir�ctttde l..aruli�td's�enetat
j inc�me,inheritance,esta6e,9iR c►r franchise taxe�e.
(ee) "RenY' maans M�Imutn Monthly Rent, as adjusted trom time to time under ttris Lease,
AddiBonai ReM,Propaid Rent,Security Depasit,all as defined in this Se�on,payments af TenanCs Share
' of It�creaasa in Raa(Pr'opattyr Ta�cces and Operating Casts.insurance.utliipes and other t*arges PaYabie
' by Tenarrt b Landbrd.
{tf} "Rentabie square feet af space" as ta the Premises or the Bui�ir�, as tt�case may be,
means fMd number of usable square feet of space dmes trie applicable RJU Rado(s)es definad in this
' S�.
(�g) "Restoratian" means the reGonstructisan, rebuiiding, rehabil'Ration and repairs that are
necessary to�um damaged portians af the Premis�and the Buildfng�suGstant�ally tF�e same�ysicai
' condi�an as the�r were in immediatey before the damage.
{hhj "RN Ratio"means the rentable anea of a f�or of ihe Buitding dhrided by the usable st�ea t�f
�, such ibor,both of which shail be compubed in aa:ordance wikh American Natlanai StandaM Z65.1-1996
' tutetl�od of Measur�p Fbor Specx in{J[fice Buiidings as publ�hed by the Bu�ding Qwmers and Managers
' Asaociation,as amended trom time to tlme.
{�} "Scibat�nfialy canp�te"or"substan�aNy c�mpbted"ar"au#�#an6ai cx�mp�etlar►"mearss the
, completion of Landlord"s oonsb�ucdion obligation,aubject to compleUon or cortec�ion of"punch NsC'iGems,
, that is,mirwr items of inc�mpiete ar defective work or matsrials or roechanicai maladjustments f�at are af
such a rtature that it�t da not materiaily in�rfefe with or impsir TananYs use of the F'remises for the
Permikbed Uae.
w) "Suc�sor" means assi�rfee. lransferee, PerYso�� repreaent�ivew hei�, �other person or
entitty succaedin�lawFulry,a�d pursuant to the provisions of this Lease,tn the rights or obligatlons of either
Pe�ht•
18
�
i
AGENDA 1TEM#8, d) ,
(kk} 'Tenar�t Imprcwements"me�ns(i}the improvements end aiterations sat forth in�,(Ii) I
wiridaw caveringa, li9htinq fixbures. plumla� t�ch.�c+es, cabinatry and ather tixtures G�stalied by aither
LandloM or Tenant at any �me during the Term, and (ui) any improvernents and alteratlans af the �
Fremis�m�le tar Tenant by C.andiard at any tlme durin�the Term.
(ilj "TenanYe personai property' means TenanYs equipment, fumiture, at'id movable property
{induding c.�lin9)Placad ir�the Fremi�s by Tenant
(mm}~3'enanes trade fixxtures"means any properly attached to the Premises by Tenank
(nn) "Tertninatfa�"mear�s the ending ot d�e Term far any reason before e�iratlon,as defined i�
thi�Section.Termination Option: Tenan#shaii have the d9ht to terminate the lease after the 40th
month by providing nine montha�n notis:e and sh�l pay a�srminatian fee equat Ea tt�unamor#ued
leasing � ( induding r�ommissions and dsnant improvements )amortizeG on a straight line basis.
Teriant sfiaii pay sn additional karmination f�equa!ta thr�month'a reM
(oo} "Work"m�na the construdion of any improvemer�ts or alterations ar the performanoe of any
repairs done by Te�ar►f�caused Ua be done by Tenant on the Premises as permitte�d by this Lease.
41.Mbcsliunsaus Provbbna.
(a) Entiro Agroemsnt This Lease set,s forth!he endre agreemer►!of the parties as ta the subject
matter hereaf and supersedes all pria discussions and understandings between them,Thi�Lease may
not be amended or �escinded in sny manner e�axpt by an instrument In a� s�ned by a duly
aulfiorized officer ar representative af each parky hereb�.
(b) Governin� law, This Lease shall be govemed by� and construed and enf�ced In
aacordance with,the laws af the State ai Washingtan.
(c) Sevsrabiltty. Should any of th►e pravisions of thfs L�se be fuund ta 6e i�valid, i!legel or
urnanforceabie by eny court of competent juri�dk,tion.such provision shail be stricken and tl�e remainde�
af this L�se shaii nonetheless remain in fuli�and affec�untess strlking such prav�ion shaEt mabe�lly
alker'the inkention of the par6es.
(d) Jurbdictian.In the event any action�brought ta enfwae any af the provisi�s of thi�l+ease. �
the parties agree da be subject to exclusive in ne�sonam jurisdiction in the Superior Court in and for iGng '
Cou�ty Washingtan or in the United States Distri�t Court for the Westem District of Washington and aproe
that in any such acdon venue shap lie excluffiively at Seattle,Washington.
(e} W�irrer. Na waiver of any rigM under this Lease shali be effecfiive uniess contained in a
writing sig�ed by a duly aulhotlzed otflcer or representstive of tl�e patty sought to be chauge0 wtth the
waiver and no waiver af any rigM arising ffom any bra�ach ar failure to perform shall be deemed ta be m
waiver a#any fuhcre right or�of any other right arising under thia lease.
if} Captions. Sectlon captions oantained M this Lease are inGuded for convenience only and I
form no part ot the agreement between the parties.
(g} Npticq.AII noticers or requesis required or permitted under this Lease afiali ba in writing. If ,
�iven by Landlad such rrotices o�tequesis may be persanaily dei�vered,d�iverecf by a reputabis express
delivery service such as Federal Express or DHL, or sent by certified ma1, retum rec:eipt requeated, I
postage prepaid. Landlard and TenaM shali also endaavar�send a capy by electronia mait.If given by �
Tenant such notices or requesta ahaU be senk by certified mail,rexum receiPf requeated,Posffige RrePaid
and Tenant shaii er�deavor fio send a copy by electronic miaii.Such notices w requesta ahall be deemerf
given wwt�een sa��+rered or maiEed,irrespecteve c�f wheit�a�h nt�tice ar reques#is ac�ualty rer,.enred by
the addrossee. All notices or requests to Landbrd shall be sent ta Landlord at Landbrd's Address far
Notice and aIl notices or raquests W Tenant shaN be sent ta Tenant at Tenan�s Address for Notice.Either
party may ohanga the addreaa E�which notic+ea ahal!be aent by noUce to tl�e ott�er party.
{h} Binding Ef[ect. Subjec� ta fhe provisiass af Section 25 capfianed "Assignment and
Subletting". this Le�se shall be bindin� upon, and inure to the benefit of, the partiea hereflo and thelr
respadive successors and assigns. Na perm'�ted essignment of this Le�e or 7enanYs riphts hereunder ,
shai! be eflective a�gainst tand�rd un�ss and untit an executed c�amt�part of the €r�s#rum�t of
assignment shalt have been deltvered ta Landbrd and Landlord shail have besn fumished wlth the name
and address of the a�ssignee.The term'Tenan#"shall be deemed to inc�ude the assignee under any such
permitted assignmant
(i} Effactivsn�ss. This Lease sha� nat be binding pr effecGve untii properiy executed and
delCvered by l..andlord and Tenant
{j) Gs�ndsir and Number. As used in ih�Lease,the mascuiine shail inciude the feminine and
neuter,the femintne sha4 1nGude the mascu6ne and neuber,the neuter shatl inclut�e the masculi�and
feminine,the singular ahall include the plural and the plural shall include the singutar,as the corrteut may
require.
(kj Tims M ths Essance. Time is af the essence in the parformance of all covananta and
conditions in this l.aase for wh�Ch tirt►e is a facbot.
19
E __ _-_ -_ -_ __. _ - _ __ -_ _ _
� AGENDA ITEM#8. d)
I
I43.Parklrt�. Ten�t sha�t�a+re U�right to use up Eo threer unreserr�d paridr�p staiis per 1,tXi0 RBF,(the
'Albtbad Parkirlp.rspec�a')in the parkirg lot{tlte"P`arkinQ LM}at no scNdidwfei t�at dt�ing!he in�al lesBe
tem►.The T�a�►t and?enaM's empbyees and invibees may u61¢e the Parkinp Lok subject bo the reasanabb
ruks erxt rop�ions a�lopt�d 6y Lau�diard from t�to t�ne{sea E�t�it D).in common wNh other�arrts af
, a�d visi6ors�o the Buildimg on a flrst,come,flrst-served basis. In the event fhat La�dbrd believes fhat Tenant
is�g mons thart�s Allatted P�icirq Spaces,at Landbrd's request,Tenant ahaii provide to t.ar�dlord each
rrwnfh a I�t which indtxies the�rt�e of eaGt pers�t usir�tl�e F'8rkin� Lq#based on TenanCs i�cin9
riphts under ihis t.easa and the lioense piab�number of the vehide being used by that p�rson. In addition,
at t.�►dlord's roqu�t,Tenant ahaN ceuae its ampioyeaa w!w use the Paricing Lat fia PosE Paricin9 stidcera
or other klentiflcatlon devices on their vehicles. If Tenant uses more lhan the Rlbtied Parking Spsces,
Landiord shali have the right W cause the vehicies of TenanYs employ�ees to be tow�red urrtil Tenant is no
bt�r usirtg mare than the Albtted Farking Spaoea. The vchic�a may be tawed away by a�y Mwir�g
oompany selected bY l.andkud,and the cost ot such towing shall be pakl for by Tenant andlo�the drlver of
said vehic�e.
Signatures on bibwing pape
�
20
�
I — --
AGENDA ►TEM#8. d) � ,
datad the dabe ffrst aaove written.
landlord: Tonant:
Ths CKy of Re�ton,MYashMpton,a Cravrlord� �
Washlnpton munkipaf corporatlan corparatkm
By: f �
. �
� TiUe: VP:Gener ounsel
Tide:
o�te eX�,t�a:
�ex�,c�a; o�iisiaors
By:
�yr•
Title:
T�le:
Date executed:
Dabe executed:
This le�se has been prepared for submissian ta you and your attomey. lGdder Mathews ia not authorized to
g'nre le8ai or �c advice. Ne'�ther Lsndbrd rxX 1(Idder Matl�rs makes any represenbations or
recommend�ons�bo a,e laga� suftiaency, ie�l ef�ect a tanc conseq�s ot tf�is documarst ar sny
har�sactlon relating theneEo. These are questions for yaur attomey wRh whom you shouid consult betote
signmp the document to detsrtnirre whether yaur isgal rights are adequately protected.
[NatarY e�h�]
21
� - — -
• AGENDA ITEM # 10. a)
CITY OF RENTON, WASHINGTON
ORDINANCE NO.
AN ORDINANCE OF THE CITY OF RENTON, WASHINGTON, ADOPTING INTERIM
ZONING REGULATIONS FOR RECREATIONAL MARIJUANA RETAIL USES AND
DECLARING AN EMERGENCY.
WHEREAS, the City has the authority to adopt an interim zoning ordinance pursuant to
RCW 35A.63.220, 36.70A.390 and 36.70.790; and
WHEREAS, the Liquor and Cannabis Board has indicated that it will expand the
permissible number of recreational marijuana licenses, with almost no notice to the City; and
WHEREAS, the City Council has determined that there is a need for an interim zoning
ordinance to regulate recreational marijuana retail uses in certain zones as the City considers
and analyzes options for regulating the permitted number of such uses, or otherwise
controlling the density and separation of such uses; and
WHEREAS, public hearings were held on February 19, 2014 and August 6, 2014, before
the Planning Commission to take testimony;
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF RENTON, WASHINGTON, DOES
� ORDAIN AS FOLLOWS:
SECTION 1. The above recitals are found to be true and correct in all respects.
SECTION II. The City Councit makes the following findings:
1. The purpose of this interim zoning ordinance is:
a. To continue to permit recreational marijuana retail uses in a manner that does
not detrimentally concentrate such uses and create negative secondary effects on the
1
" AGENDA ITEM # 10. a) -
ORDINANCE N0.
surrounding community, and is compatible with new and existing development in the
surrounding community; and
b. To allow the City adequate time to consider and develop new zoning code
regulations, as well as potential rezones of some areas.
2. The City is currently engaged in a work program to study and analyze recreational
marijuana retail and the detrimental effects it may have, if any.
3. Until further action of this Council, the total number of recreational marijuana retail
uses in the City of Renton is limited to five (5).
SECTION III. This is hereby declared an emergency in order to protect the public
safety, health and general welfare and this ordinance shall take effect immediately upon its
passage.
PASSED BY THE CITY COUNCIL this day of , 2015.
Jason A. Seth, City Clerk
APPROVED BY THE MAYOR this day of , 2015.
Denis Law, Mayor
2
• AGENDA ITEM # 10. a)
ORDINANCE NO.
Approved as to form:
Lawrence J. Warren, City Attorney
Date of Publication:
ORD:1884:9/30/15:scr
3
.
� AGENDA ITEM # 10. b)
GTY OF RENTON WASHINGTON I
,
ORDINANCE NO.
AN ORDINANCE OF THE CITY OF RENTON, WASHINGTON, AMENDING
SECTIONS 5-25-2, 5-25-10, 5-25-11 AND 5-25-12 OF CHAPTER 25, BUSINESS AND
OCCUPATION TAX CODE, OF TITLE V (FINANCE AND BUSINESS REGULATIONS)
OF THE RENTON MUNICIPAL CODE, BY CORRECTING THE DEFINITION OF"NON-
PROFIT ORGANIZATION" AND CLARIFYING THE REGUU4TIONS RELATEO TO
DEDUCTIONS AND CREDITS.
WHEREAS, state law authorizes municipalities to impose a business and occupation tax
on business activities within the City; and
WHEREAS,the Council adopted a Business and Occupation Tax Code in compliance with
RCW Chapter 35.102 and the model ordinance to take effect January 1, 2016; and
WHEREAS,the Council deems certain technical clarifications to sections 5-25-2, 5-25-10,
5-25-11, and 5-25-12 advisable for the consistent administration of the Business and
Occupation Tax Code;
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF RENTON, WASHINGTON, DOES
ORDAIN AS FOLLOWS:
SECTION I. Subsection 5-25-2.5, "Non-profit Organization", of Chapter 25, Business
and Occupation Tax Code, of Title V(Finance and Business Regulations) of the Renton Municipal
Code, is hereby amended as follows:
� S. "Non-profit organization" means a corporation or organization in which
no part of the income can be distributed to its members, directors, or officers
and that holds a current tax exempt status as provided under Internal Revenue
Code Sec. 501(c)�, or is specifically exempted from the requirement to apply
for tax exempt status under Internal Revenue Code Sec. 501(c)�3}. Where the
1
AGENDA 1TEM # 10, b) -
ORDINANCE N0.
term "non-profit organization" is used, it is meant to include a non-profit
corporation.
SECTION II. Subsections 5-25-10.AB, Health Maintenance Organization, Health Care
Service Contractor, Certified Health Plan, and 5-25-10.AC, Certain Commercial Airplane Parts, of
Chapter 25, Business and Occupation Tax Code, of Title V (Finance and Business Regulationsj of
the Renton Municipal Code, are hereby relettered as follows:
�466. Health Maintenance Organization, Health Care Service Contractor,
Certified Health Plan: This chapter does not apply to any health maintenance
organization, health care service contractor, or certified health plan with respect
to premiums or prepayments that are taxable under RCW 48.14.0201.
�4CC. Certain Commercial Airplane Parts: This chapter does not apply to the
sale of certain parts to a manufacturer of a commercial airplane that are not
taxable under RCW 82.04.627(1). "Commercial airplane" has the same meaning
given in RCW 82.32.550.
SECTION III. Subsection 5-25-11.B, Fees, Dues, Charges, of Chapter 25, Business and
Occupation Tax Code, of Title V (Finance and Business Regulations) of the Renton Municipal
Code, is hereby amended as follows:
B. Bona-Fide Initiation Fees, Dues, and Certain Charges Received bv Non-
Profit Or�anizations: In computing tax, a non-pro�t or�anitation �e may �e
deducted from the measure of tax amounts derived from bona-fide:
1. Initiation fees;
2. Dues;
2
t
� AGENDA ITEM # 10. b)
ORDINANCE NO. �
3. Contributions• II
4. Donations;
5. Tuition fees or char�es made for oneration of non-profit
kinder�artens;
6. Charges made by a non-profit trade or professional organization for
attending or occupying space at a trade show, convention, or educational
seminar sponsored by the non-profit trade or professional organization, which
trade show, convention, or educational seminar is not open to the general
public; and
. ;
87. Endowment funds.
Except as specified in subsection A above, �this subsection shall not be
construed to exempt any non-profit or�anization, �eFse�r,—association, or society
from tax liability upon selling tangible persona) property or upon providing
facilities or services for which a special charge is made to members or others. If
dues are in exchange for any significant amount of goods or services rendered by
the recipient to members without any additional charge to the member, or if the
dues are�raduated upon the amount of goods or services rendered,the value of
such goods or services shall not be considered as a deduction under this
subsection.
3
AGENDA 1TEM # 10, b) •
ORDINANCE N0.
SECTION IV. Subsection 5-25-12.E, of section 5-25-12, New Business Tax Credit, of
Chapter 25, Business and Occupation Tax Code, of Title V (Finance and Business Regulations) of
the Renton Municipal Code, is hereby amended as follows:
E. This credit is not considered a payment of taxes for purposes of seeking a
refund of overpayment of tax pursuant to the provisions^�o ��t contained in
RMC Chapter 5-26, Tax Administrative Code, or any other purpose. As such,
unused credit amounts will not be refunded, carried over from reporting
period(s)to reporting period(s), and will not accrue interest.
SECTION V. This ordinance shall be effective on January 1, 2Q16.
PASSED BY THE CITY COUNCIL this day of , 2015.
Jason A. Seth, City Clerk
APPROVED BY THE MAYOR this day of , 2015.
Denis Law, Mayor
Approved as to form:
Lawrence J. Warren, City Attorney
Date of Publication:
ORD:1880:9/10/15:scr
4
Agenda Item No.: �
RENTON CITY COUNCIL MEETING
AUDIENCE COMMENT
SIGN-UP SHEET
(Page 1)
CITIZENS MUST PROVIDE NAME AND ADDRESS IN ORDER TO BE CONTACTED OR TO BE
' A PARTY OF RECORD WHEN APPROPRIATE
DATE: `D �S/ I J PLEASE PRINT 5 Minute Time Limit
, �
1 5
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Topic: Topic:
(CONTINUED ON REVERSE SIDE)
(Continued from Reverse Side-Page 2)
RENTON CITY COUNCIL MEETING
AUDIENCE COMMENT
SIGN-UP SHEET �
CITIZENS MUST PROVIDE NAME AND ADDRESS IN ORDER TO BE CONTACTED OR TO BE
A PARTY OF RECORD WHEN APPROPRIATE
PLEASE PRINT 5 Minute Time Limit
9 13
Name: Name:
Address: Address: �
City: Zip Code: City: Zip Code/
Email: Email: /
Topic: Topic: /
/
10 14
Name: Name:
/
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12 16
Name: Name:
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E i : Email:
�
Topic: Topic:
FINANCE COMMITTEE REPORT
APPROVE� BY
CITY COUNCIL
October 5, 2015 �
Datz I o � Z��S
APPROVAL OF CLAIMS AND PAYROLL VOUCHERS
Th Finance Committ a roves for a ment on October 5 2015 claims vouchers 341336 —
e ee pp p y ,
342112, 4 wire transfers and 1 payroll run with benefit withholding payments totaling
$5,561,840.32 and payroll vouchers including 789 direct deposits and 63 payroll checks totaling
$1,615,020.25.
(
��
Don Persson, Chair
Greg Taylor, Vice-Chair
Arr��Qn�d�p Pavone, Member
v
COMMITTEE OF THE WHOLE APPRpVED BY
COMMITTEE REPORT c',.� C�UNCIL
?.� �
October 5, 2105 �atz !�
2016 Community Development Block Grant Funds
I
(September 14, 2015) �
The Committee of the Whole recommends concurrence in the staff recommendation to
approve the allocation and use of the City's 2016 Community Development Block Grant
(CDBG) funds. The allocation and use of funds will be as listed below:
King County-City Joint Agreement/Contractual Set-asides
■ County Administration: $ 59,968
■ County Capital Administration: $ 11,994
■ Housing Stability Program: $ 29,984
■ King County Housing Repair Program: $119,936
Subtotal $221,882
Planning&Adminstration $ 59,968
Downtown Commercial Rehabilitation & Fa�ade Improvement Loan Program $317,832
TOTAL $599,682
.
d Prince, Council President
cc: Cliff Long, Economic Development Manager
John Collum,Community Development Project Manager
Dianne Utecht,Community Development Block Grant Specialist
STAFF RECAP
COUNCIL MEETING REFERRALS
10/5/2015
MOTIONS REFERRED TO ADMINISTRATION: None.
Other Requests:
Provide Council an update on the sale and/or lease status; and the status of the application for
the Downtown Commercial Rehabilitation and Fa4ade Improvement Loan Program for the
building located at 801 S. 3rd St. -Vincent.
MOTIONS REFERRED TO COUNCIL COMMITTEE: None.
*The consent agenda items were adopted as presented.
—�--r--�
� CITY aF
�
M I N UTES
City Council Regular Meeting
7:00 PM-Monday,October 5, 2015
Council Chambers, 7th Floor, City Hall—1055 S. Grady Way
CALL TO ORDER AND PLEDGE OF ALLEGIANCE
, Mayor Law called the meeting of the Renton City Council to order at 7:00 PM and led the
Pledge of Allegiance.
, ROLL CALL
Councilmembers Present: Councilmembers Absent:
Ed Prince, Council President Randy Corman
Armondo Pavone
Ruth Perez
Don Persson
Marcie Palmer
Greg Taylor
MOVED BY PRINCE,SECONDED BY P�REZ,COUNCIL EXCUSE ABSENT
COUNCILMEMBER RANDY CORMAN. CARRIED.
ADMINISTRATIVE STAFF PRESENT
Denis Law, Mayor
Preeti Shridhar, Deputy Public Affairs Administrator
Lawrence J.Warren, City Attorney
lason Seth, City Clerk
Chip Vincent, Community& Economic Development Administrator
Gregg Zimmerman, Public Works Administrator
Cliff Long, Economic Development Director
Tina Harris, Domestic Violence Victim Advocate
Anjela St.John, Fire Marshal
Commander Paul Cline, Police Department
October 5, 2015 REGULAR COUNCIL MEETING MINUTES 1
PROCLAMATION
a) Fire Prevention Week-October 4-October 10,2015.A proclamation by Mayor Law was read
declaring October 4 to 10, 2015 to be "Fire Prevention Week" in the City of Renton in
commemoration of the Great Chicago Fire of 1871,which killed more than 250 persons, left
100,000 homeless, and destroyed more than 17,400 buildings; and encouraged all citizens to
join in this special observance. Fire Marshal Anjela St.John accepted the proclamation,
explaining the history of Fire Prevention Week in the United States.She also thanked Council
for its support and reported that this year the fire prevention campaign focuses on the value
of having working smoke alarms installed where you sleep.
, MOVED BY PRINCE,SECONDED BY PAVONE,COUNCIL ADOPT THE
PROCLAMATION AS READ. CARRIED.
b) Domestic Violence Awareness Month-October 2015.A proclamation by Mayor Law was
�� �� •
read declarin October 2015 to be Domestic Violence Awareness Month in the Cit of
b Y
Renton,and encouraged everyone in the Renton community to take an active role in
supporting all victims so they can lead healthy lives safe from violent and abusive behavior.
Domestic Violence Victim Advocate Tina Harris accepted the proclamation and thanked
Council and City officials for supporting efforts to end domestic violence.
MOVED BY PALMER,SECONDED BY TAYLOR,COUNCIL ADOPT THE
PROCLAMATION AS READ.CARRIED.
c) Housing America Month-October 2015.A proclamation by Mayor Law was read declaring
October 2015 to be "Housing America Month" in the City of Renton,and encouraged all
citizens to join in this special observance. Renton Housing Authority Program Coordinator
Kellee Rodriguez accepted the proclamation and thanked Council for the proclamation.
MOVED BY PRINCE,SECONDED BY PAVONE,COUNCIL ADOPT THE
PROCLAMATION AS READ.CARRIED.
SPECIAL PRESENTATION
State of the County-King County Councilmember Reagan Dunn. King County
Councilmember Reagan Dunn presented the annual State of the County Address. He
discussed the following topics:
• Passage of the County's first biennial budget of 9.9 billion dollars.
• Structure of the King County Council and various committees he is involved in.
• Public Transit issues.
• Flood District updates regarding benefits to Renton.
• Eastside Rail Corridor- Master Planning update.
Additionally Councilmember Dunn answered questions/concerns raised by Council and
thanked them for their hard work.
PUBLIC HEARING
Allocation and Use of 2016 Community Development Block Grant(CDBG)Funds.This being
the date set arul proper notices having been posted and published in accordance with local
and State laws, Mayor Law opened the public hearing to consider the allocation and use of
the 2016 CDBG funding recommendations.
October 5, 2015 REGULAR COUNCIL MEETING MINUTES 2
Economic Development Director Cliff Long reported that CDBG funds are allocated by the
Department of Housing and Urban Development(HUD) and are received through an interlocal
agreement with King County. He stated that the CDBG is a flexible program that provides
communities with resources to address a wide range of unique community development
needs. Beginning in 2015,the City allocated discretionary CDBG funds to be used for
economic development activities along with human services programs, and the 2016
allotment is estimated to be at$599,682.
Mr. Long further laid out the City's plans on how to use the 2016 allotment:
� YEAR � ACTIVITY � NATIONAL OBIECTIVE � AMOUNT
� 2016 � King County Contractual Set Asides � Not Applicable �
� � - General Administration � � $59,968
� � - Capital Administration � � $11,994
, � � - Housing Stability Program � � $29,984
I � - Housing Repair Program I � $119.936
' � � Subtotal � � $221,882
� � City Planning and Administration � Not Applicable � $59,968
Commercial Rehabilitation (Facade Low-and Moderate- $317,832
Improvement Loan Program) Income Area Benefit
I � 2016 TOTAL � � $599,682
Additionally, Mr. Long explained how the Downtown Commercial Rehabilitation and Facade
Improvement Loan Program would work, as well as its purpose which is to incentivize and
assist property owners to rehabilitate commercial buildings, encourage private investment,
provide marketable space for businesses, and achieve significant visual improvements in the
downtown area.
Councilmember Persson requested that an update be provided to Council regarding the sale
� and/or lease status,and the status of the application, regarding the Downtown Commercial
Rehabilitation and Facade Improvement Loan Program for the building located at 801 S. 3rd
St.
Staff recommended that following the public hearing,Council approve the Committee of the
Whole Committee Report recommending concurrence with the staff recommendation to
approve the allocation and use of the City's 2016 CDBG funds as detailed above.
Public Hearing Audience Comments: Dave Brethauer,Seattle, owner of the Renton Western
Wear/Cortona Building,shared how the Downtown Commercial Rehab and Facade
Improvement Loan Program will benefit his building. Mr. Brethauer further explained that he
intends to use the loan for additional improvements to the building to help attract new
tenants and help increase economic activity in the area. Mr. Brethauer thanked City staff for
working with him and helping him achieve these goals.
MOVED BY PRtNCE,SECONDED BY PERSSON,COUNCIL CLOSE THE PUBLIC
HEARING. CARRIED.
October 5, 2015 REGULAR COUNCIL MEETING MINUTES 3
UNFINISHED BUSINESS
Fotlowing the close of the public hearing,Council President Prince presented a Committee of the
Whole report recommending concurrence in the staff recommendation to approve the allocation
and use of the City's 2016 Community Development Block Grant(CDBG)funds. The allocation
and use of funds will be as listed below:
� YEAR � ACTIVITY � NATIONAL OBJECTIVE � AMOUNT
� 2016 � King County Contractual Set Asides � Not Applicable �
� � - General Administration � � $59,968
� � - Capital Administration � � $11,994
� � - Housing Stability Program � � $29,984
� � - Housing Repair Program � � $119.936
� � Subtotal � � $221,882
� � City Planning and Administration � Not Applicable � $59,968
Commercial Rehabilitation (Facade Low-and Moderate- $317,832
I I Improvement loan Program) I Income Area Benefit I
� � 2016 TOTAL � ( $599,682
MOVED BY PRINCE,SECONDED BY PAVONE,COUNCIL CONCUR IN THE
COMMITTEE RECOMMENDATION.CARRIED.
ADMINISTRATIVE REPORT
Deputy Public Affairs Administrator Preeti Shridhar reviewed a written administrative report
summarizing the City's recent progress towards goals and work programs adopted as part of
its business plan for 2015 and beyond. Items noted were:
• Public Works Maintenance Services Worker Kip Braaten was among 55 participants who
competed in the 2015 APWA National Snow"Roadeo" held in Loveland, CO Wednesday,
September 30th. Kip took third place in the loader obstacle course and finished 28th in
the truck competition.
• Preventative street maintenance will continue to impact traffic and result in occasional
street closures through October 31, 2015.
AUDIENCE COMMENT
The following individuals from Cannabis Organization of Retail Establishments(CORE)
addressed Council regarding Marijuana regulation in the City of Renton, offering their
assistance in putting forth thoughtful regulations that would ensure a legal,safe and
sustainable cannabis industry within Washington State.Additionally,they recommended that
council make minimal changes to the number of retailers within their jurisdiction or buffer
zones, and informed Council that they are happy to assist with crafting robust policies that
objectively maintain public health and safety standards in the face of scrutiny and skepticism.
• Logan Bowers,Seattle
• Lewis McMurran, Des Moines
October 5, 2015 REGULAR COUNCIL MEETING MINUTES 4
CONSENT AGENDA
Items listed on the consent agenda were adopted with one motion,following the listing.
a) Approval of the 9/28/2015 Council meeting minutes. Council Concur.
b) Administrative Services Department recommended approval of the Interlocal Cooperative
Agreement to Purchase LiDAR Data with King County and regional partners for an amount not
to exceed $12,000 to capture and acquire public-domain, high-resolution topography data
� using LiDAR technology. Refer to Finance Committee.
c) Community& Economic Development Department requested adoption of an ordinance
declaring an emergency and adopting interim zoning regulations to allow adequate time to
, establish regulations regarding the number of recreational marijuana stores in the City of
Renton.Council Concur.
d) Community Services recommended approval of a 64-month lease with Crawford and
Company for use of space on the 5th floor of the 200 Mill Building. Revenue generated is
estimated at$138,434 over the duration of the lease.Council Concur.
MOVED BY PRINCE,SECONDED BY PERSSON,COUNCIL CONCUR TO APPROVE THE
CONSENT AGENDA AS PRESENTED. CARRIED.
UNFINISHED BUSINESS,cont.
Finance Committee Chair Persson presented a report approving for payment on October 5,
2015 claims vouchers 341336-342112,four wire transfers and one payroll run with benefit
withholding payments totaling$5,561,840.32 and payroll vouchers including 789 direct
deposits and 63 payroll checks totaling$1,615,020.25.
MOVED BY PERSSON,SECONDED BY PAVONE,COUNCIL CONCUR IN THE
COMMITTEE RECOMMENDATION. CARRIED.
RESOLUTIONS AND ORDINANCES
Ordinance for first reading and advancement to second and final reading:
a) Ordinance No. 5770-Interim Zoning Regulations Regarding Retail Marijuana Licensing and
Declaring an Emergency:An ordinance was read adopting interim zoning regulations for
recreational marijuana retail use and declaring an emergency.
MOVED BY PAVONE,SECONDED BY PRINCE,COUNCIL ADVANCE THE ORDINANCE
TO SECOND AND FINAL READING. CARRIED.
Following the second and final reading of Ordinance No. 5770, it was
MOVED BY PAVONE,SECONDED BY PRINCE,COUNCIL ADOPT THE ORDINANCE AS
READ. ROLL CALL:ALL AYES. CARRIED.
Ordinance for second and final reading:
b) Ordinance No. 5771-Amending Business and Occupation Tax Code:An ordinance was read
amending Sections 5-25-2, 5-25-10, 5-25-11 and 5-25-12 of Chapter 25, Business and
Occupation Tax Code, of Title V(Finance and Business Regulations) of the Renton Municipal
code, by correcting the definition of"Non-Profit Organization" and clarifying the regulations
related to deductions and credits.
October 5, 2015 REGULAR COUNCIL MEETING MINUTES 5
MOVED BY PERSSON,SECONDED BY PALMER,COUNCIL ADOPT THE ORDINANCE
AS READ. ROLL CALL:ALL AYES.CARRIED.
NEW BUSINESS
See attached Council Committee meeting calendar.
AUDIENCE COMMENTS,cont.
Howard McOmber, Renton, reminded Council that they are invited to the REACH Gala on
Thursday, October 8, 2015 at the Renton Pavilion to support eradicating homelessness.
EXECUTIVE SESSION &ADJOURNMENT
MOVED BY PRINCE,SECONDED BY PALMER,COUNCIL RECE55 INTO EXECUTIVE
SESSION FOR APPROXIMATELY 15 MINUTES TO DISCUSS POTENTIAL PROPERTY
ACQUISITION -RCW 42.30.110(1)(b)WITH NO OFFICIAL ACTION TO BE TAKEN AND
THAT THE COUNCIL MEETING BE ADJOURNED WHEN THE EXECUTIVE SESSION IS
ADJOURNED.CARRIED.TIME 7:54 P.M.
Executive session was conducted.There was no action taken.The executive session and
Council meeting adjourned at 8:12 p.m.
r �
Jason Seth,C �City Clerk
Megan Gregor, Recorder
Monday, October 5, 2015
October 5, 2015 REGULAR COUNCIL MEETING MINUTES 6
Council Committee Meeting Calendar
October 5, 2015
`October 12. 2015
`Monday. .,
4:30 PM Planning& Development Committee,Chair Corman - Council Conference Rm
1. City Center Community Plan Implementation Briefing
CANCELED Community Services Committee, Chair Perez
, CANCELED Utilities Committee Chair Ta lor
, Y
5:30 PM Committee of the Whole, Chair Prince - Council Chambers
1. Mid-biennium Budget Adjustment Recommendations
�`I�C 4� ►I�� d" U� � � I �q C-V�� f w� Agenda Item No.: �
RENTON CITY COUNCIL MEETING
PUBLIC HEARING/MEETING
� SPEAKER SIGN-UP SHEET
(Page 1) �
CITIZENS MUST PROVIDE NAME AND ADDRESS IN ORDER TO BE CONTACTED OR TO BE
A PARTY OF RECORD WHEN APPROPRIATE�
DATE: 1,� '�/�� PLEASE PRINT 5 Minute Time Limit
1 5
Name: `���V ��-li���'�,�'v Name: �
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(CONTINUED ON REVERSE SIDE)
(Continued from Reverse Side-Page 2)
RENTON CITY COUNCIL MEETING
PUBLIC HEARING/MEETING
SPEAKER SIGN-UP SHEET
CITIZENS MUST PROVIDE NAME AND ADDRESS IN ORDER TO BE CONTACTED OR TO BE
A PARTY Of RECORD WHEN APPROPRIATE
PLEASE PRINT 5 Minute Time Limit
9 13 ' � . �
Name: Name:
Address: Address: � J
City: Zip Code: � City: . Zip Co .
Email: Email:
Topic: Topic: /
10 14
Name: Name:
Address: Address: /
City: Zip Code: City: / Zip Code:
Email: E il:
Topic: . � opic:
11 �15
Name: �� / Name:
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Email: Email:
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12 16
Name: Name:
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Topic: Topic:
■
; --
STATE OF WASHINGTON, CUUNTY 4F KING }
AFFIDAVIT OF PUBLICATI4N
PUBLIC NOTICE
Linda M Mills, being first duly sworn an aath that she is the Legal
Advertising Representative af the CITYOFRENTQN
NOTICE OFORi}INANCE
ADOPTED BY THE
RENTON CITY COUNCIL
�'allowing is a summary of the
Renton I2eporter Ordinance adopted by ihe Renton
City Cauncil on C7ctober 5,2p�5.
ORDINANCF.NQ.5770
An Ordinance of the City Qf
a weelcly newspaper, WhiC� neu,spaper IS a le al news a Renton, Washington, adopting
general circulatian and is now and has been for more than si xmonths t°feft"' zoning reg„i�t;�„S rQ�
Recreational Marijuana Itetail
priar to the date of publication hereinafter referred ta Uses and declazing an emergen-
the English language continuously as a weekly newsp pe lin King cy
County, Washin tan. Ef}'ective: tOf512415
a Legal Newspaper by ord e Qf he Superior Co rte Qf h��r�°�'ed as ��INANCE NO.5�71
An Chdinance of the City Qf
Washin ton for tate of Renton, Washington, amending
� King County. s�c;ons s-2s-z. s-Zs-�o, s-Zs-
'The notice in the exact form annexed was published in regular issues i� �a s-2s-�z of Chapter Zs,
of the Renton Reporter (and not in supplement form) g�1°ess �,a o���p�t,o�, T�
regulariy distributed ta its subscribers during the below stated period. Code, of Title v �F;,,a„�e �„d
which WaS Business Regutations) of the
The annexed notice, a: Renton Municipat Code, by cor-
recting the defintiion of "Non-
Public Profit Organi7ation" and clarify-
Notice ing the regulations related to de-
ductions and credits.
Effective: 1/1f2016
was published on Octo Complete text of these ordinanc-
�r 9, ZO 1 S. es can be found on the City's
website at www.rentonwa.gov.
Upon request to the City Clerk's
The fu11 amount of the fee charged for said fore oin °�0e, �42s> 430-6510, copies
will also be mailed for a fee.
the sum o $86,z5, g g publication is lason A.Seth,City Cterk
z� �E�t" Published in the Renton Reporter
�� �G�t /y�� ``�'k(',•,. on October 4,2015.#1438910
c.+�.111t�a�2�1S � •
Legal Advertising Representative, Renton Reporter
Subscrihed a ` . �`�'r' �
swarn ta me this 9th day af October, 2015. �" ._. _
4-;�r�,
� ♦ y %', . . .. I
.�
i
.�'._ .". "
ale Gwin, Natary Public far the State of Washin ton Re, ' • ���t'
I�'uyallup,Washin ton g � sidin in ` '
� g
�
�
�-----------
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---------
----------
--------- �
--------- -
----- -----
POLICE DEPARTMENT __-i �'�"TYOF
Renton O
M E M O R A N D U M
DATE: October 20, 2015
TO: Ed Prince, Council President
Members of Renton City Council
CC: Denis Law, Mayor
Jay Covington, Chief Administrative Officer
FROM: Kevin Milosevich, Chief
SUBJECT: Police calls-for-service in the Downtown
During the Committee of the Whole discussion on October 5th, Councilmember Perez
had a question about the calls-for-service in the downtown area.
In an effort to provide a more complete picture of our calls in the downtown core, I am
providing additional information of our calls during the month of June.
First, I would like to offer a little background information on how calls are received and
recorded.
Valleycom which is our 9-1-1 provider tracks each call numerically. The call does not
matter if it is a result of a 9-1-1 call, or a traffic stop originated by an officer. In 2014,
the department had over 70,000 calls for service, and we are staying on that track this
year. This number also includes approximately 9,500 traffic stops each year that is
originated by officers in the field.
The city is divided into approximately 226 reporting districts that each address is
associated with. In order to get specific details about calls, we can search for statistics
based on these 226 identified areas. These 226 areas were originally created by the Fire
Department and are not the same in size or shape.
In order to pull the statistics for the downtown core, we identified eleven reporting
districts that make up the downtown area. However, these eleven areas did pull in
some of the residential areas in south Renton.
The area identified as "Downtown" is south of Airport Way and the Cedar River, west of
Rainier Ave S down to Hardie Ave S, (so that Fred Meyer is included), north of 5. 7tn
street, and west of Mill Ave S.
COW Report
Page 2 of 3
October 20,2015
In this geographical area, the department responded to 801 calls-for-service in June of
this year. This number includes 74 traffic stops initiated by officers. Of these 801 calls, I
will identify the top ten types of calls and the number of calls during 1une.
The type of call is determined by the call receiver at Valleycom.
# Calls Type of call
73 Suspicious subject/circumstances (Strange person or situation)
49 Welfare check ( A person passed out, sleeping in car or when a person is
concerned about the welfare of another.)
28 Unwanted subject (A storeowner wants a person to leave)
23 Domestic situation (Verbal or physical confrontation)
22 Dispute (This can be between two people or during a business transaction)
17 Shoplift
13 Fight (In progress physical fight)
9 Juvenile problem (A catch-all for most complaints regarding juveniles)
9 Assault (Any assault case that occurred prior)
8 HBD (A call complaining about subjects that Have Been Drinking,typically
associated with some of our homeless and transient population)
In an effort to focus on a smaller geographical area, I will list the calls for reporting
district number 4113 that is included in the information above. This area can be
described as the small rectangle that includes S 2"d and S 3�d on the north and south,
and Shattuck Ave S and Mill Ave S on the west and east.
In the month of June, reporting district 4113 had 154 calls for service. This number
includes 8 traffic stops initiated by our officers. The main categories include:
16 Suspicious subject/circumstance
15 Welfare check
9 Unwanted subject
7 Fight
6 Juvenile problem
6 Domestic situation
5 HBD
5 Dispute
4 Assault
At the Committee meeting, I mentioned that it is easier to track calls for service rather
than crimes. The reason is that officers often respond to calls for service that do not
c:\users\mgregor\appdata\local\microsoft\windows\temporary internet files\content.outlook\3fOrcjsd\cow calls for
service response 2015.doc
COW Report
Page 3 of 3
October 20,2015
involve a criminal act. For example,the top three types of calls—suspicious subject,
welfare check, and unwanted subject typically do not involve a criminal act and are
solved by the officers at the scene.
If you would like any additional information or should you have a question regarding
this information, please let me know.
c:\users\mgregor\appdata\local\microsoft\windows\temporary internet files\content.outlook\3fOrcjsd\cow calls for
service response 2015.doc
/�-Jp�/ea�� �s��n-�
10���tol�
Cannabis Organization of Retail Establishments- CORE
PO Box 45413
Seattle, WA 98145
Renton City Council
1055 South Grady Way
Renton, WA 98057
Dear Councilmembers,
Thank you for the opportunity to introduce our group to the council. We are here representing
CORE, the Cannabis Organization of Retail Establishments, a trade group dedicated to the
advancement of sensible regulation to ensure a legal, safe, and sustainable cannabis industry in
� Washington State. The current retail market, while in its infancy, is successfully developing,
largely due to thoughtful regulations put forth to date. In the wake of SB 5052 and the
proposal by the LCB to not put an upper limit on the number of marijuana retailers, we
are here to work with the council to help craft rules that ensure public safety is held to
the hi hest levels and ensure that the do not ex ose the overnment or an commercial
9 Y p 9 Y
entity to undue legal scrutiny or liability.
As you know, the Attorney General of the United States has outlined in a memorandum, the
"Cole Memo," the conditions city and state jurisdictions must abide to avoid federal prosecution.
' Two sections of that memo are particularly pertinent to the issue in front of the council today.
First, the Department of Justice explicitly states that, "guidance in this memorandum rests on its
expectation that states and local governments[...]will implement strong and effective regulatory
and enforcement systems that will address[...]public safety, public health, and other law
enforcement interests." This passage clearly establishes the positive regulatory obligation of the
cities and state, and the DOJ further clarifies that regulations not only must "contain robust
controls on paper, [but] also be effective in practice."
Second, the DOJ clearly outlines its enforcement priorities with "preventing the distribution of
marijuana to minors," as the most important priority, but also highlight, "preventing drugged
driving and the exacerbation of other public health consequences," and "preventing
state-authorized marijuana activity from being used as a cover or pretext for [...] other illegal
� activity."
Marijuana has been legal and sold in the recreational market in Washington for just over a year.
- ' i h can hel overnments set informed ob'ective and
We now have real world, empir cal data t at p g , � ,
compliant marijuana policy and law. We recommend the council use this empirical data—and
offer our assistance in doing so—to set an appropriate limit on the number of retailers specifically
as well as craft its local marijuana policy more generally.
J
�
In absence of rules proposals with limits from the LCB, we believe a rulemaking at the local
level that is explicitly based real-world measures of the safety and health of the existing market
is the best way to ensure we all comply with the conditions set forth in the Cole memo and avoid
the concomitant risk that an arbitrary policy may not be compliant.
Until such robust policies can be established, we recommend the council make minimal
changes to the number of retailers within their jurisdiction or buffer zones (e.g. the "1000
foot rule"). Meanwhile, we look forward to assisting the council craft robust policies that
objectively maintain public health and safety standards in the face of the highest levels of
scrutiny and skepticism. The State of Washington is being watched carefully by the eyes of the
entire nation, both supporters and critics, to see if we can establish a safe and sustainable
recreational cannabis industry. Sudden policy changes, without consulting the real-world data,
greatly increases the legal risk and liability for the individual cities, the State, and the industry
participants.
Sincerely,
���� ��a%��
Logan Bowers on behalf of
Cannabis Organization of Retail Establishments - CORE
-----------
� TING
_ �pT�pN SHEET
� NIEE
� R covNci� _ .
� _ u�a
� REG .�� .
� a�T 5, 2Q15 . . ;�;� ��� �
'I , r ���� -fi� _ ,���,��.
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.
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I f .j � ♦ . i .. -�.r ..N g A ��
. . � ,� .,"�.,.. � , , COUNC
� ... . . .
�-- �� N A
:.n. �
,. q . ,_ _
- ���.: s. _. .:,_ �, ,
, ,.,m_ _ CONCUR
� _ ., ,A . Corman N jA
� ROLL C LL ABSENT Randy �OUNCIL N/a
� 2,
CONCUR N�A
' pROCiAMATION Fire Prevention W��k-��aber 4-Octaber 10,�01'�• COUNCiI NjA
3.a.
Ct)NCUR N/A
� PROCLAMATtON Domestic Violence Awareness Month-October 2Q1 ' �OUNC�L N/A
3.b.
Ct?NCUR
prnerica Month-C►ctober 2p15. Ctiff long ludith Subia
3.c. PROCIAMAT{ON Housing Funds. N/A
ment Biock Grant(CDBG} �ohn Coilum
. p�B��� pllocation and Use of 2016 Community Develop r¢y�ded to Cauncii
5� Counciimember Persson requested that an update be p itcation,for the
HEARING
' Rehabilitatian and Facade Improvement Loan Program
regarding the sale and/i r lease status, and the status of t e app
powntown Commerc�a COUNCiI Ci�ff Long ludith Subia
for the buiiding located at 801 S.3rd�t• Cauncit President Prince presented a
ubGc hearing, CONCUR lohn Coltum
� g a, UNFINISHED FoUowing the clase of the p �oncurrence in the staff recommendation to
BUSINESS
committee report recommending 5 2016 Community DeVe�QPment
approve the allocation and use of the Cit
Biock Grant(CDBGj funds. The ailacation and use of funds will be as��sted
below:
King County-City loint AgreementjContractual5et-as� es
$ 59,968
. County Administration: $ 11,994
• Caunty Capital Administration: $ 2�,g$�
. Housing Stability Program: S119.936
• King Caunty Housing Repair Program:
$221,882
Subtatai
$ 59,968 �I
Pianning&Administration '�
Downtown C
ommercial Rehabilitatian&Fa4ade Improvement Loan Program I
5317.832 ,
$599,6$2 '�,
T07AL _j
--------
-------
----------
8.a. CONSENT Approval of the 9/28/2015 Council meeting minutes. Council
AGENDA Concur
8.b. CONSENT Administrative Services Department recommended approval of the Interlocal `r��.'. . Iwen Wang Tim Moore
µ,,,...:-,,:::�;;.,r,°::;
AGENDA Cooperative Agreement to Purchase LiDAR Data with King County and regional i" � `_..;�:�;:°
t. =r�:u:..�,�._:,;';
partners for an amount not to exceed$12,000 to capture and acquire public- `;;:�
domain,high-resolution topography data using LiDAR technology. ��`�=$�':��';�r:'°�=�E'";
..
� ,�.
__� ., �._ ..
8.c. CONSENT Community&Economic Development Department requested adoption of an Council Chip Vincent Angie Mathias
AGENDA ordinance declaring an emergency and adopting interim zoning regulations to Concur ludith Subia
allow adequate time to establish regulations regarding the number of
recreational marijuana stores in the City of Renton.
8.d. CONSENT Community Services recommended approval of a 64-month lease with Crawford COUNCIL Peter Renner Diane Wagner
AGENDA and Company for use of space on the Sth floor of the 200 Mill Building.Revenue CONCUR Sandi Weir
generated is estimated at$138,434 over the duration of the lease. Refer to
Finance Committee.
9.b. UNFINISHED Finance Committee Chair Persson presented a report approving for payment on COUNCIL Jamie Thomas Natalie
BUSINESS, cont. October 5,2015 claims vouchers 341336-342112,4 wire transfers and 1 payroll CONCUR Wissbroad
run with bene�t withholding payments totaling$5,561,840.32 and payroll
vouchers including 789 direct deposits and 63 payroll checks totaling
$1,615,020.25.
10.a. Ordinance for Ordinance No.5770-Interim Zoning Regulations Regarding Retail Marijuana COUNCIL Chip Vincent Angie Mathias
first reading and Licensing and Declaring an Emergency:An ordinance was read adopting interim ADOPT THE Judith Subia
advancement to zoning regulations for recreational marijuana retail use and declaring an ORDINANCE Sandi Weir
second and final emergency. (Advanced for Second and Final Reading) AS READ.
reading: ROLL CALL:
ALL AYES.
10.b. Ordinance for Ordinance No.5771-Amending Business and Occupation Tax Code:An COUNCIL Jamie Thomas Iwen Wang
second and final ordinance was read amending Sections 5-25-2, 5-25-10,5-25-11 and 5-25-12 of ADOPT THE Sandi Weir
reading: Chapter 25, Business and Occupation Tax Code,of Title V(Finance and Business ORDINANCE
Regulations)of the Renton Municipal code, by correcting the definition of"Non- AS READ.
Profit Organization" and clarifying the regulations related to deductions and ROLL CALL:
credits. ALL AYES.
OCT 5, 2015 - REGULAR COUNCIL MEETING - MOTION SHEET
. . . .., ., .5.._ .,...,.>-.>. . ,. .� ,.. . . ,� t . . . .. . ,. . .'1f.
2. ROLL CALL ABSENT: Randy Corman COUNCIL N/A N/A
CONCUR
3.a. PROCLAMATION Fire Prevention Week-October 4-October 10,2015. COUNCIL N/A N/A
CONCUR
3.b. PROCLAMATION Domestic Violence Awareness Month-October 2015. COUNCIL N/A N/A
CONCUR
3.c. PROCLAMATION Housing America Month-October 2015. COUNCIL N/A N/A
CONCUR
5. PUBLIC Allocation and Use of 2016 Community Development Block Grant(CDBG) Funds. N/A Cliff Long Judith Subia
HEARING Councilmember Persson requested that an update be provided to Council John Collum
regarding the sale and/or lease status,and the status of the application,for the
Downtown Commercial Rehabilitation and Facade Improvement Loan Program
for the building located at 8015.3rd St.
9.a. UNFINISHED Following the close of the public hearing,Council President Prince presented a COUNCIL Cliff Long Judith Subia
BUSINESS committee report recommending concurrence in the staff recommendation to CONCUR lohn Collum
approve the allocation and use of the City's 2016 Community Development
Block Grant(CDBG)funds. The allocation and use of funds will be as listed
below:
King County-City Joint Agreement/Contractual Set-asides
• County Administration: $ 59,968
• County Capital Administration: $ 11,994
• Housing Stability Program: $ 29,984
• King County Housing Repair Program: 5119.936
Subtotal $221,882
Planning&Administration $ 59,968
Downtown Commercial Rehabilitation&Fa�ade Improvement Loan Program
S317,832
TOTAL $599,682
S.a. CONSENT Approval of the 9/28/2015 Council meeting minutes. Council
AGENDA Concur I
8.b. CONSENT Administrative Services Department recommended approval of the Interlocal ' ';;r'$��.=�;, Iwen Wang Tim Moore
,;-.,m,�..,;,r.;��.:.,
AGENDA Cooperative Agreement to Purchase LiDAR Data with King County and regional '° " "•k:�;;.j.-
.. :.-.:x�..:.;. .
partners for an amount not to exceed$12,000 to capture and acquire public- ��� ;�=;
domain hi h-resolution to o ra h data usin LiDAR technolo `�,���;;=..r;f�,�.p;t;::v.':'�-
, B p g P Y g gY• ;��� ��.;; �.
8.c. CONSENT Community&Economic Development Department requested adoption of an Council Chip Vincent Angie Mathias
AGENDA ordinance declaring an emergency and adopting interim zoning regulations to Concur Judith Subia
allow adequate time to establish regulations regarding the number of
recreational marijuana stores in the City of Renton.
8.d. CONSENT Community Services recommended approval of a 64-month lease with Crawford COUNCIL Peter Renner Diane Wagner
AGENDA and Company for use of space on the 5th floor of the 200 Mill Building. Revenue CONCUR Sandi Weir
generated is estimated at$138,434 over the duration of the lease.Refer to
Finance Committee.
9.b. UNFINISHED Finance Committee Chair Persson presented a report app�oving for payment on COUNCIL Jamie Thomas Natalie
BUSINESS,cont. October 5,2015 claims vouchers 341336-342112,4 wire transfers and 1 payroll CONCUR Wissbroad
run with benefit withholding payments totaling$5,561,840.32 and payroll
vouchers including 789 direct deposits and 63 payroll checks totaling
$1,615,020.25.
10.a. Ordinance for Ordinance No.5770-Interim Zoning Regulations Regarding Retail Marijuana COUNCIL Chip Vincent Angie Mathias
first reading and Licensing and Declaring an Emergency:An ordinance was read adopting interim ADOPT THE Judith Subia
advancement to zoning regulations for recreational marijuana retail use and declaring an ORDINANCE Sandi Weir
second and final emergency. (Advanced for Second and Final Reading) AS READ.
reading: ROLL CALL:
ALL AYES.
10.b. Ordinance for Ordinance No. 5771-Amending Business and Occupation Tax Code:An COUNCIL Jamie Thomas Iwen Wang
second and final ordinance was read amending Sections 5-25-2,5-25-10, 5-25-11 and 5-25-12 of ADOPTTHE Sandi Weir
reading: Chapter 25, Business and Occupation Tax Code,ofTitle V(Finance and Business ORDINANCE
Regulations)of the Renton Municipal code, by correcting the definition of"Non- AS READ.
Profit Organization"and clarifying the regulations related to deductions and ROLL CALL:
credits. ALL AYES.
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