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LUTC PKT 07-01-2019 City of Federal Way City Council Land Use & Transportation Committee July 1, 2019 City Hall 5:00 p.m. Council Chambers MEETING AGENDA 1. CALL TO ORDER 2. PUBLIC COMMENT 3. COMMITTEE BUSINESS Action Topic Title/Description Presenter Page or Info Council Date A. Approval of Minutes: June 3, 2019 Tenuta 3 Action N/A B. Authorization to Submit Proposal for King County Council Straus 7 Action July 16, 2019 Allocated WaterWorks Funding for the Storm Drain Artwalk Consent Project C. 2019 Storm Pipe Repair Phase II—85%Design Report Status Tang 11 Action July 16, 2019 and Authorization to Bid Consent D. South 348th Street Entrance Sign — 30% Design Report Mulkey 15 Action July 16, 2019 Consent E. 2019 Overlay Project Change Order and Contingency Reset Huynh 17 Action July 16, 2019 Consent F. 2020 Asphalt Overlay Program—Preliminary Project List and Huynh 19 Action July 16, 2019 Authorization to Bid Consent G. Adaptive Traffic Signal Control System Phases I &II Perez 29 Action July 16, 2019 Procurement Consent H. Authorization to Apply for Transportation Grant Perez 77 Action July 16, 2019 Consent I. Solid Waste Collection Services— Contract Award Van Orsow 79 Action July 16, 2019 Consent J. ORDINANCE: Relating to the Imposition of an Excise Tax on Walsh 179 Action July 16, 2019 Business Activities Ordinance First Reading K. Rental Housing Inspection Program Update Bridgeford 193 Info N/A L. Report on Progress with Aircraft Issues Vadino 197 Info N/A 4. OTHER 5. FUTURE MEETINGS/AGENDA ITEMS: The next LUTC meeting will be Monday, August 5, 2019 at 5:00 p.m. in City Hall Council Chambers. 6. ADJOURNMENT Committee Members City Staff Mark Koppang, Chair EJ Walsh,P.E.,Public Works Director Jesse E.Johnson,Member Mercedes Tenuta,Administrative Assistant 11 Hoang V. Tran,Member (253)835-2701 This page left blank intentionally. 2 City of Federal Way City Council Land Use & Transportation Committee June 3, 2019 City Hall 5:00 p.m. Council Chambers MEETING SUMMARY Committee Members in Attendance: Committee Chair Mark Koppang, Committee member Jesse Johnson, and Committee member Hoang Tran. Councilmembers in attendance: Deputy Mayor Susan Honda Staff in Attendance: Public Works Director EJ Walsh, Deputy Public Works Director Desiree Winkler, Deputy City Attorney Mark Orthmann, Policy Advisor Bill Vadino, Economic Development Director Tim Johnson, Planning Manager Robert "Doc" Hansen, Principal Planner Margaret Clark, City Traffic Engineer Rick Perez, Surface Water Manager Theresa Thurlow, Capital Projects & Engineering Manager Sarah Hamel, SWM Project Engineer Fei Tang, and Administrative Assistant II Mercedes Tenuta. 1. CALL TO ORDER: Chair Koppang called the meeting to order at 5:01 p.m. 2. PUBLIC COMMENT: There were no public comments. 3. COMMITTEE BUSINESS: Chair Koppang moved to amend the agenda to add 2020-25 Transportation Improvement Plan and Arteria/ Street Improvement Plan as item 'V and re-leiter the remaining item accordingly. • Seconded. Tran • Passed 2-0 unanimously Topic Title/Description A. Approval of Minutes: May 6, 2019 Committee approved the May 6, 2019 LUTC minutes as presented. • Moved: Tran • Seconded: Koppang • Passed: 2-0 unanimously B. 2019 Storm Pipe Repair Phase I Bid Award *CouncilmemberJohnson arrived at 5.-04 p.m. SWM Project Engineer, Fei Tang, provided a brief background about the project and stated that 5 bids were received and opened on May 14, 2019 with the lowest responsive responsible bidder being Nordvind Sewer Service, LLC with a bid of$80,200.00. Mr. Tang outlined the estimated expenditures and available funding. Committee forwarded Option #1 (Award the 2019 Storm Pipe Repair Phase 1 project to Nordvind Sewer Service, LLC, the lowest responsive, responsible bidder, in the amount of$80,200.00 and approve a 10% contingency of $8,020.00 for a total of$88,220.00, and authorize the Mayor to execute the contract) to the June 18, 2019 Council Consent Agenda for approval. • Moved: Tran Committee Members City Staff Mark KooPanq Chair 3 E7 Walsh,P.E.,Public Works Director Hoang V. Tran,Member Mercedes Tenuta,Administrative ative Assistant II Jesse E.Johnson, Member (253)6.15-2701 • Seconded: Johnson • Passed: 3-0 unanimously C. ORDINANCE: Relating to the 2019 Periodic Update of the Shoreline Master Program (Non-Project Action) Planning Manager Robert "Doc" Hansen provided a brief background of the Shoreline Master Program (SMP) stating that the City adopted its SMP in 2011 and the periodic review is required to be done every eight(8)years by June 30, 2019. Mr. Hansen outlined the procedural summary, identified the shoreline designations along Puget Sound via a map, and provided the summary of changes. Committee forwarded the proposed Ordinance to First Reading on June 18, 2019. • Moved: Johnson • Seconded: Tran • Passed: 3-0 unanimously D. Selection Process— 2019 Amendments to the Federal Way Comprehensive Plan (FWCP) Principal Planner, Margaret Clark, gave a brief background about the Comprehensive Plan amendment process and the next steps for review. The two site-specific requests being considered for further review are the Kitts Corner/Federal Way Village and Belmore. Ms. Clark outlined each site's reasons for request, discussion points, and surrounding zoning and land use. Committee forwarded the Mayor's recommendation (The two citizen-initiated site-specific requests move forward for further review) to the June 18, 2019 Council Business Agenda for approval. • Moved: Johnson • Seconded: Tran • Passed: 3-0 unanimously E. RESOLUTION: Authorization to Accept Grant Funding and Reallocate Expenditures for a Transportation Improvement Project Deputy Public Works Director, Desiree Winkler, provided a brief background stating the grant for construction funding for the Adaptive Traffic Control System Phase 3 was pulled from the Puget Sound Regional Council's contingency list due to delays in other agency projects. Expenditures for this project are not programmed until 2021/22 however fund 306 (Streets Capital Fund) has enough cash flow and matching funds to start the project early due to delay in other projects. Council must pass a Resolution to accept the grant funding and Council authorization is required to start expenditures in FY2019. Ms. Winkler outlined the project costs, grant fund amount, required City match, and proposed expenditure changes. Committee forwarded the proposed resolution to the June 18, 2019 Council Consent Agenda for approval. • Moved: Tran • Seconded: Johnson • Passed: 3-0 unanimously F. [Add item] 2020-25 Transportation Improvement Plan and Arterial Street Improvement Plan City Traffic Engineer, Rick Perez, provided a brief background of the improvement plans that outlines a 6-year plan for transportation-related capital improvements. Mr. Perez outlined the completed projects, programs added, and proposed new projects. Mr. Perez and Councilmembers held a brief discussion regarding the S 373rd Street and Pacific Highway roundabout. Committee Members City Staff Mark Kupping Chair 4 E7 Walsh,P.E.,Public Works Dlrpc. or Hoang V. Tran, Member Mercedes Tenuta,Add w?istratiue Assistant II Jesse E.Johnson, Member (253)835.2701 Committee moved to recommend that the Council approve the 2020-25 Transportation Improvement Plan and Arterial Street Improvement Plan. • Moved: Johnson • Seconded: Tran • Passed: 3-0 unanimously G. Report on Progress on Aircraft Issues Chair Aloppang made an exception and allowed 1 citizen comment. Bernedine Lund expressed her appreciation for the hiring of Policy Advisor Bill Vadino. She shared her support with the idea to buy a noise monitor and stated that the impact study being conducted is with the same consultants that worked on the third runway. Policy Advisor, Bill Vadino,provided an informational update regarding the aircraft noise and issues including the collaboration with Federal Way community members, status of the FAA Ombudsman and expansion of the Ultrafine Particle Study, overview and feedback on future reports, and updates from various meetings. 4. OTHER 5. FUTURE MEETINGS/AGENDA ITEMS: The next LUTC meeting will be held on July 1, 2019 at 5:00 p.m. in City Hall Council Chambers. 6. ADJOURNMENT: The meeting was adjourned at 6 p.m. Attest: Approved by Committee: Mercedes Tenuta, Administrative Assistant II Date Committee Members City staff Mark f±opoano Chair 5 E7 Walsh, P.E.,Public Works Director Hoang V. Tran, Member Akrcedes Tenuta,Adminrstative Assistant 11 Jesse E.Johnson,Member (253)535-2701 This page left blank intentionally. 6 COUNCIL MEETING DATE: July 16,2019 ITEM#: CITY OF FEDERAL WAY CITY COUNCIL AGENDA BILL SUBJECT: AUTHORIZATION TO SUBMIT PROPOSAL FOR KING COUNTY COUNCIL ALLOCATED WATERWORKS FUNDING FOR THE STORM DRAIN ARTWALK PROJECT POLICY QUESTION: Should the Council authorize SWM Staff to submit a proposal for the King County Council allocated WaterWorks funding? COMMITTEE: Land Use and Transportation Committee MEETING DATE: July 1, 2019 CATEGORY: ® Consent ❑ Ordinance ❑ Public Hearing ❑ City Council Business ❑ Resolution ❑ Other STAFF REPORT BY: Katherine Straus, SWM Public Education and DEPT: Public Works Outreach Coordinator Attachments: Land Use and Transportation Committee memorandum dated July 1, 2019. Options Considered: 1. Authorize staff to submit a proposal for the King County Council allocated Waterworks funding for the Storm Drain Artwalk Project. 2. Do not authorize staff to submit a proposal for the King County Council allocated Waterworks funding for the Storm Drain Artwalk project and provide direction to staff MAYOR'S RECOMMENDATION: Option 1. MAYOR APPROVAL: DIRECTOR APPROVAL: / etnmit Cou el Initi�tliDate initial/Date Initial/Date COMMITTEE RECOMMENDATION: "I move to forward Option I to the July 16, 2019 Council consent agenda for approval". Mark Koppang,Committee Chair Jesse Johnson, Committee Member Hoang Tran,Committee Member PROPOSED COUNCIL MOTION: "I move to authorize staff to submit a proposal for King County Council allocated Water Works funding for the Storm Drain ArtWalk Project. " (BELOW TO BE COMPLETED BY CITY CLERK'S OFFICE) COUNCIL ACTION: ❑ APPROVED COUNCIL BILL# ❑ DENIED First reading ❑ TABLED/DEFERRED/NO ACTION Enactment reading ❑ MOVED TO SECOND READING(ordinances only) ORDINANCE# REVISED—12/2017 RESOLUTION# 7 CITY OF FEDERAL WAY MEMORANDUM DATE: July 1, 2019 TO: Land Use&Transportation Committee VIA: Jim Ferrell, Mayor FROM: EJ Walsh, P.E., Public Works Dircctorv--Z— � Katherine Straus, Surface Water Public Education and Outreach Coordinator V-5 SUBJECT: Authorization to submit proposal for King County Council allocated WaterWorks Funding for the Storm Drain ArtWalk Project FINANCIAL IMPACTS: This project was not included within the approved 2019/2020 SWM operational (401) budget. As proposed, it would be funded entirely by the King County Council allocated WaterWorks Funding. Future costs would entail either providing paint to the artists for touch up work or removing the artwork once it begins to chip (est. 3-4 years) or if it is vandalized. BACKGROUND: SWM is requesting authorization to submit a proposal for King County Council allocated WaterWorks Funding to fund the Storm Drain Art Walk Project. The WaterWorks program funds projects that improve water quality within the service area of King County's regional wastewater system. The program includes both a competitive grant cycle, and Council allocated funding. In 2017-2018, 32 projects were funded through Council allocated funding, totaling over 2 million dollars. Award amounts were as small as $20,000 and as high as $195,000. Eligible activities for funding include community engagement and stewardship, education and outreach, demonstration projects, water quality monitoring, as well as a number of others. In 2015, SWM was awarded $104,500 to expand the Storming the Sound with Salmon program and include LID elements into school district curriculum. The Storm Drain ArtWalk Project falls within the categories of community engagement, education and outreach. The overall goal of the project is to improve water quality by using public art to educate the public that pollutants that go into storm drains directly impact the health of our waterways and Puget Sound. The project will communicate the values of our City and inform residents in a fun and visually appealing way that our neighborhoods are directly connected to our streams and to Puget Sound. The project will help the City meet its Education, Outreach and Public Involvement requirements under the NPDES Permit in an innovative way, while also supporting local artists, adding value to the City's public spaces, and reaching a wider audience with stormwater education messages. 8 July 1,2019 Land Use and Transportation Committee Authorization to submit proposal for King County Council allocated WaterWorks Funding for the Storm Drain ArtWalk Project Page 2 SWM intends to partner with the Arts Commission for a call for artists and to assist in the selection of 8 to 10 artists. SWM Staff intends to select catch basins within high pedestrian/low vehicular traffic areas to link walkability within the City. Tentative site selections include the BPA trail between SW Campus Dr. and 11`h Place SOLIth, Steel Lake Park, and around the Downtown Staircase, which connects Town Square Park with the Performing Arts and Events Center. The Storm Drain ArtWalk timeline is as follows: August 2019: Apply for funding for King County Council Allocated WaterWorks Funding March 2020: Finalize mural locations, assemble review panel and create Call for Artwork April 2020: Distribute Call for Artwork May 2020: Applications and design submissions due June 2020: Review panel selects and notifies artists July 2020: Planning and prep for painting event August 2020: Storm drain painting Once the project is completed, maps of the Storm Drain ArtWalk will be available at the Community Center, City Hall, and on the SWM website, that will provide locations and artist information for interested pedestrians. f 9 This page left blank intentionally. 10 COUNCIL MEETING DATE: July 16,2019 ITEM#: CITY OF FEDERAL WAY CITY COUNCIL AGENDA BILL SUBJECT: 2019 STORM PIPE REPAIR PROJECT PHASE II-85%DESIGN STATUS REPORT AND AUTHORIZATION TO BID POLICY QUESTION: Should the City Council authorize staff to complete design and bid the 2019 Storm Pipe Repair Project Phase II and return to the LUTC and Council for bid award, further reports, and authorization? COMMITTEE: Land Use and Transportation Committee MEETING DATE: July 1, 2019 CATEGORY: ® Consent ❑ Ordinance ❑ Public Hearing ❑ City Council Business ❑ Resolution ❑ Other STAFF REPORT BY: Fei Tang, P..E., SW M Project�Eng>neer_ DEPT: Public Works Attachments: Land Use and Transportation Committee Memorandum dated July 1, 2019 Options Considered: 1. Authorize staff to complete the design and bid the 2019 Storm Pipe Repair Project Phase II and return to the LUTC and Council for bid award, further reports,and authorization. 2. Do not authorize staff to bid this project and provide direction to staff. MAYOR'S RECOMMENDATION. Option 1. MAYOR APPROVAL: — APPROVAL: _x/ ��zyllg C'ra� ic�l Initial/Date I n it is I;Dnte Initial/Date COMMITTEE RECOMMENDATION:I move to forward Option I to the July 16, 2019 consent agenda for approval. Mark Koppang, Committee Chair Jesse Johnson, Committee Member Hoang Tran,Committee Member PROPOSED COUNCIL MOTION: "I move to authorize staff to complete design and bid the 2019 Storm Pipe Repair Project Phase II and return to the LUTC and Council for bid award,further reports, and authorization." (BELOW TO BE COMPLETED BY CITY CLERIC'S OFFICE) COUNCIL ACTION: ❑ APPROVED COUNCIL BILL# ❑ DENIED First reading ❑ TABLED/DEFERRED/NO ACTION Enactment reading ❑ MOVED TO SECOND READING(ordinances only) ORDINANCE# REVISED—12/2017 RESOLUTION# 11 CITY OF FEDERAL WAY MEMORANDUM DATE: July 1, 2019 TO: Land Use &Transportation Committee VIA: Jim Ferrell, Mayor FROM: EJ Walsh, P.E., Public Works Director%14—� Fei Tang, P.E., SWM Project Engineer r SUBJECT: 2019 Storm Pipe Repair Project Phase II 85%Design Status Report and Authorization to Bid FINANCIAL IMPACTS: This project was authorized under the 2017 Surface Water Management (SWM) CIP budget update (304, Project 28 8) with an estimated budget of$100,000. SWM staff has requested additional funding for this project as the cost of pipe rehabilitation is higher than originally estimated. Under the 2019 budget adjustment, SWM has requested a transfer of$79,000 from the remaining balance of the completed Lakota Wetland Berm Repair project(304, Project 283) to this project. In accordance with the approved budget this project is funded by SWM Utility Tax. Upon completion of this project, ongoing costs associated with operations and maintenance will be performed and funded through surface water management maintenance. Funding requirements for operations and maintenance of infrastructure is reviewed and adjusted as required during the budget process. BACKGROUND: This project will repair deteriorated storm water pipes. These pipes were identified by the 2018 Storm Drain CCTV Inspection and Assessment project. The 2018 Storm Drain CCTV Inspection and Assessment project started in 2018. The goal of the project is to proactively inspect storm drain assets and identify maintenance and repair needs before they cause flooding and/or other damage. The project has identified numerous deteriorated pipes that are in need of repair. The project for repairing these deteriorated pipes has been divided into two phases. Phase I includes the pipes that must be repaired with the open cut method. Phase II will repair the pipes with a more cost effective trenchless method. Phase I contract has been awarded and is scheduled to be constructed in this summer. The following provides a brief synopsis of the progress on this project to date. The project design is approximately 85% complete, which includes the following completed tasks: • Identify pipe defects and repair method • Identify existing utilities in the vicinity of the repair sites • Request SEPA and Critical Area Code exemptions • Project design plan, specifications and cost estimate(PS&E)—85% 12 July 1,2019 Land Use and Transportation Committee 2019 Storm Pipe Repair Project 85%Design Status Report and Authorization to Bid Page 2 Ongoing tasks include: • City right of way permit • Contract PS&E to 100% Project estimated expenditures: 2019 Storm Pipe Repair Project Phase I Construction $80,200 Phase 110% Construction Contingency $8,020 2019 Storm Pipe Repair Project Phase II Construction $82,000 Phase 11 10%Construction Contingency $8,200 TOTAL PROJECT COSTS $178,420 Available Funding: Budgeted by 2017 SWM CIP Update $100,000 Transfer from Project 283 $79,000 Total Project Funding $179,000 13 This page left blank intentionally. 14 COUNCIL MEETING DATE: July 16,2019 ITEM#: CITY OF FEDERAL WAY CITY COUNCIL AGENDA BILL SUBJECT: SOUTH 348TH STREET ENTRANCE SIGN 30%DESIGN REPORT POLICY QUESTION: Should the City Council authorize staff to proceed with the design of the South 348"' Street Entrance Sign and return to the LUTC and Council at the 85%design completion for further reports and authorization? COMMITTEE: Land Use and Transportation Committee MEETING DATE: July 1,2019 CATEGORY: ® Consent ❑ Ordinance ❑ Public Hearing ❑ City Council Business ❑ Resolution ❑ Other _- TT STAFF REPORT BY: John Mulkey, P.E. Street Systems Project Fn-incci� DEPT: Public Works Attachments: Land Use and Transportation Committee memorandum dated July 1, 2019 Staff report to LUTC Options Considered: 1. Authorize staff to proceed with design of South 348th Street Entrance Sign and return to the LUTC and Council at the 85% design completion stage for further reports and authorization. 2. Do not authorize staff to proceed with this project and provide direction to staff. MAYOR'S RECOMMENDATION: The Mayor recommends forwarding Option 1 to the July 16,2019 City Council Consent Agenda for appruval. MAYOR APPROVA;��rinitial/Date `p 9 y-6DIRECTOR APPROVAL: to(?,q j(� C mit C unci! Initial/Date [nitia l/Date COMMITTEE RECOMMENDATION: I move to forward Option 1 to the July 16, 2019 City Council consent agenda for approval. Committee Chair Committee Member Committee Member PROPOSED COUNCIL MOTION: "I move to authorize staff to proceed with design of South 348th Street Entrance Sign and return to the LUTC and Council at the 85%design completion stage for further reports and authorization. " (BELOW TO BE COMPLETED BY CITY CLERK'S OFFICE) COUNCIL ACTION: ❑ APPROVED COUNCIL BILL# ❑ DENIED First reading ❑ TABLED/DEFERRED/NO ACTION Enactment reading ❑ MOVED TO SECOND READING(ordinances only) ORDINANCE# REVISED—4/2019 RESOLUTION# 15 CITY OF FEDERAL WAY MEMORANDUM DATE: July 1, 2019 TO: Land Use &Transportation Committee VIA: Jim Ferrell, Mayor FROM: EJ Walsh, P.E., Public Works Director John Mulkey, P.E., Street System Project Engineer SUBJECT: South 348th Street Entrance Sign—30%Design Status Report Financial Impacts: The cost to the City for the South 348th Street Entrance Sign was included within the approved budget under the Fund 109 Hotel/Motel Lodging Tax for 2017/2018, 2018/2019 and 2019/2020. In accordance with the approved budget,this item is funded by Hotel/Motel Lodging Tax of$32,200 for each budget period. Upon completion of the S 348th Street Entrance Sign future costs will be approximately$1,030.00 per year for electricity. There have been no other costs associated with the current sign to date as the only issue was covered under warrantee. PROJECT ESTIMATED EXPENDITURES: Design $5,000 Construction $70,000 10%Construction Contingency $7,000 Construction Management $3,000 Total Project Costs $85,000 AVAILABLE FUNDING: LTAC FLiricls (�X2,200 for 3 years) $96,600 Total Project Funding $96,600 Background Information: This project would construct a new LED Entrance Sign in the Median of S 348`h Street between Enchanted Parkway/16th Avenue S and Pacific Highway South. The sign will be visible to eastbound and westbound traffic and will be able to provide information on upcoming events within the City similar to the current sign on South 320th Street. The Lodging Tax Advisory Committee at their June 12, 2019 meeting approved$32,200 of the available funding be used for the advancement of electrical work via the Limited Public Works Process. Staff will return to the Lodging Tax Advisory Committee and the Land Use&Transportation Committee at a later date in 2020 for 85% Design Status and Authorization to Bid. 16 Rev,7/l8 COUNCIL MEETING DATE: July 16, 2019 ITEM#: CITY OF FEDERAL WAY CITY COUNCIL AGENDA BILL SUBJECT: 2019 ASPHALT OVERLAY PROJECT CHANGE ORDER AND CONTINGENCY RESET POLICY QUESTION: Should the Council approve transferring$110,000 from Traffic Impact Fee Account to the 2019 Asphalt Overlay Project for additional pavement repair and reset construction contingency to 4% of $58,295? COMMITTEE: Land Use and Transportation Committee MEETING DATE: July 1,2019 CATEGORY: ® Consent ❑ Ordinance ❑ Public Hearing ❑ City Council Business ❑ Resolution ❑ Other STAFF REPORT BY: Jeff Huynh, Street Systems Engineer<0 DEPT: Public Works Attachments: Land Use and Transportation Committee memorandum dated July 1, 2019. Options Considered: 1. Authorize the Mayor to transfer$110,000 from Traffic Impact Fee Account to the 2019 Asphalt Overlay Project for additional pavement repair and reset the construction contingency to 4% of$58,295. 2. Do not authorize the Mayor to transfer $110,000 from Traffic Impact Fee Account to the 2019 Asphalt OverlayProject for additional pavement repair,and reset the construction contingency to 4%of$58,295. —............__............._................................................................... MAYOR'S RECOMMENDATION: The Mayor recommends forwarding Option 1 to the July 16,2019 City Council Consent Agenda for approval. 9 MAYOR APPROVAL: c,,I DIRECTOR APPROVAL: Co tree i' to ss! Initial/Date InitiaUDate Initial/Date COMMITTEE RECOMMENDATION:'I mope to forward Option I to the JuII'16, 2019 Council Consent agenda for approvax Mark Koppang, Committee Chair Jesse Johnson, Committee Hoang Tran,Committee Member member PROPOSED COUNCIL MOTION: "I move to approve of transferring$110,000 from Traffic Impact Fee Account to the 2019 Asphalt Overlay Project for additional pavement repair and reset the construction contingency to 4%of$58,295." (BELOW TO BE COMPLETED BY CITY CLERKS OFFICE) COUNCIL ACTION: ❑ APPROVED COUNCIL BILL# ❑ DENIED IST reading ❑ TABLED/DEFERRED/NO ACTION Enactment reading ❑ MOVED TO SECOND READING(ordinances only) ORDINANCE# REVISED—12/2017 RESOLUTION# 17 CITY OF FEDERAL WAY MEMORANDUM DATE: July 1,2019 TO: Land Use and Transportation Committee VIA: Jim Ferrell, Mayor FROM: EJ Walsh,P.E.,Public Works Director�� Jeff Huynh, Street Systems Engineer '.19 SUBJECT: 2019Asphalt Overlay Project Change Order and Contingency Reset BACKGROUND: In March 2019, Council authorized the award of the 2019 Asphalt Overlay Project to Miles Resources, LLC in the amount of $1,428,229 and approved a 2% construction contingency of $28,038. The construction contingency is utilized for unanticipated construction cost overruns (e.g. pavement repair being more than anticipated). The S 336`x' St pavement had substandard thickness (3") and will not be able to service 70 King County Metro and 22[) 1 edcnil %, 'ay Scliool District bus trips per week. Staff proposes adding 4 feet wide, 6 inches thick and 1,700 6cet Pnn- ol'1l yirti C hiss 1'G 58H-22 pavement repair to Westbound S 336`x' St between Pacific Hwy S and l0"' 1'I S to hritig [lie pavement to standard. Based on current project progress, it is anticipated that the project will be completed in September 2019. Therefore, staff recommends moving the $110,000 from Traffic Impact Fee Account to the 2019 Asphalt Overlay Project where there is immediate need and reset the construction contingency to 4%which is$58,295. REVENUE 2019 Overlay Budget $ 1,514,000 2019 Structure Budget $ 166,267 Traffic Impact Fee(TIF) $ 110,000 Total= $ 1,790,267 EXPENDITURES Original Contract $ 1,428,229 Original Contingency(2%) $ 28,038 S 336'x'St pavement Repair $ 51,705 Contingency Reset(4%) $ 58,295 Pavement Management System $ 70,000 In-house Design and Construction Administration $ 150,000 Printing and Advertising: $ 4,000 Total= $ 1,790,267 18 COUNCIL MEETING DATE: July 16, 2019 ITEM#: CITY OF FEDERAL WAY CITY COUNCIL AGENDA BILL SUBJECT: 2020 ASPHALT OVERLAY PROGRAM PRELIMINARY PROJECT LIST AND AUTHORIZATION TO BID POLICY QUESTION: Should the Council approve the 2020 Asphalt Overlay Program Preliminary Project List, and authorize staff to proceed with the design and bid of the proposed 2020 Asphalt Overlay Program? COMMITTEE: Land Use and Transportation Committee MEETING DATE: July 1,2019 CATEGORY: ® Consent ❑ Ordinance ❑ Public Hearing ❑ City Council Business ❑ Resolution ❑ Other STAFF REPORT BY: Jeff Huynh, Street Systems Engineer i DEPT: Public Works Attachments: Land Use and Transportation Committee memorandum dated July 1, 2019. Options Considered: 1. Approve the list of streets for the 2020 Asphalt Overlay Project as presented. Furthermore, authorize staff to bid all or pail. of the 2020 Asphalt Overlay Project, returning with a request for permission to award the project within the available 2020 Asphalt Overlay Budget to the lowest responsive, responsible bidder. 2. Direct staff to modify the preliminary list and return to Committee for further action. MAYOR'S RECOMMENDATION: The Mayor recommends forwarding Option 1 to the July 16,2019 City Council Consent Agenda for approval. MAYOR APPROVAL: Lri� �/ •�+��q DIRECTOR APPROVAL:`T// 6 l2'{)lI CuaLnitle (oun.il � I�iulial[)ar Initia IIDa to 1 nitia I/Date COMMITTEE RECOMMENDATION:1 move to forwaf-d Option 1 to the July 16, 2019 Council consent agenda for approval; Mark Koppang,Committee Chair Jesse Johnson, Committee Hoang Tran, Committee Member member PROPOSED COUNCIL MOTION: "I move to approve the list of streets for the 2020 Asphalt Overlay Project as presented. Furthermore, authorize staff to bid all or part of the 2020 Asphalt Overlay Project, returning with a request for permission to award the project within the available 2020 Asphalt Overlay Budget to the lowest responsive, responsible bidder. " {BELOW TO BE COMPLETED BY CITY CLERKS OFFICE) COUNCIL ACTION: ❑ APPROVED COUNCIL BILL# ❑ DENIED IST reading ❑ TABLED/DEFERRED/NO ACTION Enactment reading ❑ MOVED TO SECOND READING(ordinances only) ORDINANCE# REVISED— 12/2017 RESOLUTION# 19 CITY OF FEDERAL WAY MEMORANDUM DATE: July 1,2019 TO: Land Use and Transportation Committee VIA: Jim Ferrell,Mayor FROM: EJ Walsh,P.E.,Public Works Director Z� ~ Jeff Huynh, Street Systems Engineer -.::it SUBJECT: 2020 Asphalt Overlay Program Preliminary Project List and Authorization to Bid FINANCIAL IMPACTS: This Project is fully funded in the Capital Improvement Budget(Project 102). Total available budget for 2020 is $2,457,454. See available budget break down below. BACKGROUND: Public Works staff has developed a list of recommended streets for the 2020 Asphalt Overlay Program. The total estimated budget for the program is $2,457,454 and is comprised of the following: • 2020 Proposed Overlay Budget Fuel Tax $530,000 Real Estate Excise Tax $1,013,000 • 2020 Structures Budget- Street Fund $166,267 # 2019 Carry Forward(estimate) $0 • The Ridge (contingency upon funding) $748,187 TOTAL FUNDING AVAILABLE $2,457,454 The transfer of the $166,267 from the structures budget is for the City's annual Sidewalk Maintenance Program, and will cover the costs associated with the replacement of substandard wheelchair ramps, and repairing existing curb, gutter, and sidewalks within the overlay project area. The following is a preliminary list of streets to be included in the 2020 Asphalt Overlay Program. The streets were selected using the City's Pavement Management System and were verified by field reconnaissance. The costs shown are estimated and will be refined as the design of each schedule is completed. A project vicinity map and more detailed area maps are attached for your information. SCHEDULE DESCRIPTION AMOUNT A S 312th St(Pacific Hwy S to 8th Ave S) $599,654 B Hoyt Rd SW(SW 326th St to SW 320th St) $285,794 C 1st Ave S (SW 301st St to City Limit) $273,062 D PVR/20th Ave S (S 320th St to S 316th St) $200,501 E PVR/20th Ave S (S 316th St to S 312th St) $225,748 F The Ridge(Division 1,2, 3,and 5) $748,187 ESTIMATED SUBTOTAL CONSTRUCTION PROJECT COSTS: $2,332,946 10% Construction Contingency $233,295 In-house Design $60,000 Construction Administration $100,000 Printing and Advertising $4,000 ESTIMATED TOTAL PROG M COST: $2,730,241 July 1,2019 Land Use and Transportation Committee 2020 Asphalt Overlay Program Preliminary Project List and Authorization to Bid Page 2 of 2 The estimated cost of $2,730,241 is a preliminary figure used for estimating purposes only and includes construction administration, in-house design and construction management, printing and advertising. The 2020 Asphalt Overlay Project will be awarded within the available overlay program budget. Once Council approves the list of streets for the Overlay Program, staff will begin the final design. The anticipated date for advertising is January 2020,with construction beginning in April 2020. 21 2020 ASPHALT OVERLAY iryo1Fedei1Wy City of Federal Way PRELIMINARY PROJECT LIST ry •3 ! •t I 1 {r - rl �. Hi r ' r r r.w -I'-"'•e .. .... - •,;. 1 ,° u.'•1,+Ina. 'r. 4:. ! I .. i I � e ... ,w _ _ Legend i._.._.! City Limits \ s Schedule -� A t _`•` 3 T \ -----� - f-w :! ......_ _., G. Er , F Federal Way 0 1 2 22 N Miles �d._ ...�...„�...,._... LAY City of Federal Way 2020 ASPHALT OVERSCHEDULE ANARY PROJECT LIST W 306 ' ST 00 3p6 S C J Q Q Q 00 m S 308 ST S cn S 309 ST C/) Q Q 0o S 309 PL d' S310PL C Q ST 313 S 313 ST ST un a Co S314ST a� Qv co ,� Qv W Legend S 315 ST Schedule S31 A 316 ST S316ST � C/) MEn ��Federal Way 0 500 1,000 23 N Feet �._._..� ��. ,...�..�... 2020 ASPHALT OVERLAY PRELIMINARY PROJECT LIST City of Federal Way SCHEDULE B F;;;eaw;as WgaBW] VV 016 6 1 135]�B]51000 wm,cMoneeerwway rnm SW 317 PL -� � S z `n -� SW 319 P L 0 U-) U) :3 `� U) c0 > N 19 LN �t Q 11, ST 320 PL EL Cn C/) J J Q 321ST a- Qo C � 322 ST S J d` I !�► � SW 323 SW 324 PL U 0) Q �h � Q�' S W CD N -p s� ,o SW 325 PL 3: 320 ~ ~ 26 U) ��-i PL � U 3 1 32$ CD m 3: SW 327 ST °- Cn 327 PL Legend 327 PL � Schedule ►` D 328 PL � . B W v < SAN 32� Y (� der 0 500 1,000 24 F�e�� al Way N Feet 2020 ASPHALT OVERLAY PRELIMINARY PROJECT LIST �.�. ..�.,. City of Federal Way SCHEDULE C �~ SW 292 ST t. .................................................... S29 S T r C/) V) 3 Q Q W S 293 PL Cy-) N rS294Pt 2g5 ,o< S295 S PL Cl) U) J S 296 PL Q Q a J -i M It N � N a- Co M � U) S 297 PL 297 ST SW 298 PL > J � N N U) ,p�c9 S 299 PL 299 299 ST PLC/) C/) Cn > 300 J N ST Q Q �- 300 PL �.. CoM d' N J U 301 301 Legend �� ST a- N ST ST a�l-r S DASH o� i City Limits Schedule POINT RD -- C -.1 N CL () e (:zT Sing - 0 500 1,000 25 Federal Way N iFeet ti�.•ro��., ., „ •.. LAY City of Federal Way 2020 ASPHALT OVERSCHEDULE DNARY PROJECT LIST M N �. 314 ST S3151 ►�`" S316ST S316ST S3161 S316PLG- S 3, LL > � S31 8 PL � S Q 31 N S3 K) +W C/) S 322 S Legend S 324 ST Schedule D S 324 PL WINGED FOOT 0 500 1,000 -�k Federal way 26 N Feet City of Federal Way 2020 ASPHALT OVERLAY PRELIMINARY PROJECT LIST .ASOWry..=o�s illy�olmp�snl We, SCHEDULE E aeaoa s IN on.00e..aa.rw�. N Cn Q S310ST W NU S 312 ST > Q 0- N 314 1 ST 1 S315L S316ST S316ST S316L t3 ' S316PL - L S3 LL. r s V -S11318 PL U) S Q 31 N Legend Schedule - - — S 32 , E N 0 500 1,000 27 Federal Way NFeet �.....�...,.._...�..,_ LAY City of Federal Way 2020 ASPHALT OVERSCHEDULE FNARY PROJECT LIST COW 329 STco Q L0 W33 p ST- SW 331 SW 331 ST ST > M I^ SW 332 C.0 u) _ CT w M e--\N SW 33CT 3_ SW 334 "' u) 2 PL �3`�' co CT U 3: S� S SW 335 ST DK co `ST 3s � S cr � sw � .s r` , J 5 S3 co M� ,` � P S 337 LN W � 33 ANY S 0- Legend S 338 PL Schedule CR S _ F U) J 0 500 1,000 ► Federal Way 28 N Feet COUNCIL MEETING DATE: July 16,2019 ITEM#: CITY OF FEDERAL WAY CITY COUNCIL AGENDA BILL SUBJECT:ADAPTIVE TRAFFIC SIGNAL CONTROL SYSTEM PHASES I&II PROCUREMENT POLICY QUESTION: Should the Council authorize the Mayor to execute the Professional Services Agreement to procure and implement an Adaptive Traffic Signal Control System? COMMITTEE: Land Use and Transportation Committee MEETING DATE: July 1,2019 CATEGORY: ® Consent ❑ Ordinance ❑ Public Hearing ❑ City Council Business ❑ Resolution ❑ Other STAFF REPORT BY: Rick Perez, P.E.,City Traffic Engineer DEPT: Public Works Attachments: Land Use and Transportation Committee memorandum dated July 1,2019. Options Considered: 1. Authorize the Mayor to execute the Professional Services Agreement. 2. Do not authorize the Mayor to execute the Professional Services Agreement and provide direction to staff. MAYOR'S RECOMMENDATION: Option 1. MAYOR APPROVAL: .�DIRECTOR APPROVAL: o. ilt lnitial/Dee Cawrci Initial/Da Initial/Date COMMITTEE RECOMMENDATION: "I move to forward Option 1 to the July 16, 2019 Council consent agenda for approval." Mark Koppang,Committee Chair Jesse Johnson, Committee Member Hoang Tran,Committee member PROPOSED COUNCIL MOTION: "I move to authorize the Mayor to execute the Professional Services Agreement." (BELOW TO BE COMPLETED BY CITY CLERKS OFFICE) COUNCIL ACTION: ❑ APPROVED COUNCIL BILL# ❑ DENIED 1ST reading ❑ TABLED/DEFERRED/NO ACTION Enactment reading ❑ MOVED TO SECOND READING(ordinances only) ORDINANCE# REVISED—(2/2017 RESOLUTION# 29 CITY OF FEDERAL WAY MEMORANDUM DATE: July 1,2019 TO: Land Use&Transportation Committee VIA: .Iiztt I cr,-e:11. l`f"Iyor FROM: 1.) W al ]i_ 1'.1:_ 1)ircctor of Public Work ',Rick I'crcr. I'.I _, City Traffic Engineer SUBJECT: Adaptive Traffic Signal Control System Phases I& II Procurement FINANCIAL IMPACTS: This project was included and is projected to be completed within the approved budget under capital project 202. In accordance with the approved budget this project is funded by a grant from Puget Sound Regional Council in the amount of $860,000, a grant from Washington State Department of Transportation (WSDOT) in the amount of $900,000, and $240,000 of remaining capital project funds from the unbuilt intersection improvements at 10th Avenue SW and SW Campus Drive. Upon completion of this project, ongoing costs associated with operations and maintenance will be performed and funded through traffic maintenance. Funding requirements for operations and maintenance of infrastructure is reviewed and adjusted as required during the budget process. BACKGROUND: In 2016, Council authorized the submittal of a grant application to fund the Adaptive Traffic Control System Phase 1, which includes 25 intersections in the City Center area, and on S 320th Street, including two intersections controlled by WSDOT and two intersections controlled by King County. PSRC awarded the City a federal Congestion Management and Air Quality program grant of $860,000. The Council also authorized the submittal of a grant application to fund Phase II, which includes 19 intersections south of City Center and east of 1St Way S, including four intersections controlled by WSDOT. WSDOT awarded the City a federal Highway Safety Improvement Program grant of$900,000. Staff used a RFP process to select a consultant to develop the federally-required Systems Engineering documentation, which is used to develop system requirements to achieve the City's goals of optimizing traffic signal timing on a real-time basis. A separate RFP was then issued to select the system. Staff received four proposals. A selection committee was established that included engineering and maintenance staff from WSDOT and King County. After a detailed review of the proposals evaluating the ability to meet system requirements, procurement costs, operation and maintenance costs including software licensing and the cost of future expansion per intersection, reference checks, and selected site visits, the selection committee selected the proposal submitted by Western Systems for the SCOOT system developed by Siemens. The attached Professional Services Agreement has been negotiated by staff to maximize value to the City and provide 5 years of software licensing and maintenance for 44 intersections for $990,186.48. The inclusion of six WSDOT signals will require the City to assume the operation and maintenance of those traffic signals, at an estimated cost of$21,000 per year. Following the initial 5 years, software licensing 30 July 1,2019 Land Use and Transportation Committee Adaptive Traffic Signal Control System Phases I&II Procurement Page 2 and support is estimated at $700 per intersection per year. Future expansion is estimated to cost $7500 per intersection. Remaining project costs include the construction of the Traffic Management Center in City Hall at an estimated cost of$100,000 and installation of improved traffic detection to support the signal system is estimated at $400,000. The consultant agreement is for $450,000. Thus, the total estimated cost of the project is $1,940,186.48, below the $2,000,000 project budget. The project is estimated to be completed in Spring 2020. Normally, professional service agreements are not required to be brought to City Council for approval. However, the implementation of this project falls under capital funding, and staff committed to return to LUTC and city council with project award and progress update. Washington State Department of Transportation (WSDOT), the grant administrator, required the use of a professional services agreement for this project given it is primarily software purchase and deployment services. 31 Local Agency Professional Services Lump Sum Consultant Agreement Agreement Number: Does this Require DES filing? ❑ Yes [7 No Firm/Organization Legal Name (do not use dba's): Western Systems, Inc. Address Federal Aid Number 1122 Industry St. Bldg. B., Everett, WA 98203 HSIP-0005(464) UBI Number Federal TIN or SSN Number 602 090 725 91-2099547 Execution Date Completion Date July 30, 2019 December 31, 2020 1099 Form Required Federal Participation 0 Yes ❑ No 0 Yes ❑ No Project Title Citywide Adaptive Traffic Control System - System Procurement Description of Work �) This project would provide for the implementation of an adaptive traffic control system. This project includes the Federal Way Urban Center, particularly on S 320th Street and SR 99, and extends southward on SR 99 to include SR 18 and SR 161 for a total of forty-four (44) intersections. ❑ Yes % Q No DBE Participation Maximum Amount Payable: $990,186.48 ❑ Yes % 0 No MBE Participation ❑ Yes % Q No WBE Participation ❑ Yes % Q No SBE Participation Index of Exhibits Exhibit A Scope of Work x+,ipm-13 "BE Plall not used Exhibit C Preparation and Delivery of Electronic Engineering and Other Data Exhibit D Prime Consultant Cost Computations Exhibit F Sub-consultant Cost Computations Exhibit F Title VI Assurances Exhibit U Certification Documents .xHbit f 1 not used Exhibit 1 Alleged Consultant Design Error Procedures Exhibit J Consultant Claim Procedures 32 Agreement Number: Local Agency Professional Services Lump Sum Consultant Agreement Page 1 of 13 Ravi.carl 1Tin11?n17 THIS AGREEMENT, made and entered into as shown in the "Execution Date" box on page one (1) of this AGREEMENT, between the City of Federal Way, a municipal corporation , hereinafter called the "AGENCY," and the "Firm/Organization Name" referenced on page one (1) of this AGREEMENT, hereinafter called the "CONSULTANT." WHEREAS, the AGENCY desires to accomplish the work referenced in "Description of Work" on page one (1) of this AGREEMENT and hereafter called the "SERVICES;" and does not have sufficient staff to meet the required commitment and therefore deems it advisable and desirable to engage the assistance of a CONSULTANT to provide the necessary SERVICES; and WHEREAS, the CONSULTANT represents that they comply with the Washington State Statutes relating to professional registration, if applicable, and has signified a willingness to furnish consulting services to the AGENCY. NOW, THEREFORE, in consideration of the terms, conditions, covenants, and performance contained herein, or attached and incorporated and made a part hereof, the parties hereto agree as follows: I. General Description of Work The work under this AGREEMENT shall consist of the above-described SERVICES as herein defined, and necessary to accomplish the completed work for this project. The CONSULTANT shall furnish all services, labor, and related equipment and, if applicable, sub-consultants and subcontractors necessary to conduct and complete the SERVICES as designated elsewhere in this AGREEMENT. II. Scope of Work The Scope of Work and projected level of effort required for these SERVICES is described in Exhibit"A" attached hereto and by this reference made a part of this AGREEMENT. The Scope of Work was developed utilizing performance based contracting methodologies. III. General Requirements All aspects of coordination of the work of this AGREEMENT with outside agencies, groups, or individuals shall receive advance approval by the AGENCY. Necessary contacts and meetings with agencies, groups, and/or individuals shall be coordinated through the AGENCY. The CONSULTANT shall attend coordination,progress, and presentation meetings with the AGENCY and/or such State, Federal, Community, City, or County officials, groups or individuals as may be requested by the AGENCY. The AGENCY will provide the CONSULTANT sufficient notice prior to meetings requiring CONSULTANT participation. The minimum required hours or days' notice shall be agreed to between the AGENCY and the CONSULTANT and shown in Exhibit"A." The CONSULTANT shall prepare a monthly progress report, in a form approved by the AGENCY, which will outline in written and graphical form the various phases and the order of performance of the SERVICES in sufficient detail so that the progress of the SERVICES can easily be evaluated. The CONSULTANT, any sub-consultants, and the AGENCY shall comply with all Federal, State, and local laws, rules, codes, regulations, and all AGENCY policies and directives, applicable to the work to be performed under this AGREEMENT. This AGREEMENT shall be interpreted and construed in accordance with the laws of the State of Washington. Agreement Number: �3 Local Agency Professional Services Lump Sum Consultant Agreement Page 2 of 13 Ravicarl11m M17 Participation for Disadvantaged Business Enterprises (DBE) or Small Business Enterprises (SBE), if required, per 49 CFR Part 26 shall be shown on the heading of this AGREEMENT. If DBE firms are utilized at the commencement of this AGREEMENT, the amounts authorized to each firm and their certification number will be shown on Exhibit `B" attached hereto and by this reference made part of this AGREEMENT. If the Prime CONSULTANT is a DBE certified firm they must comply with the Commercial Useful Function (CUF)regulation outlined in the AGENCY's "DBE Program Participation Plan" and perform a minimum of 30% of the total amount of this AGREEMENT. It is recommended, but not required, that non-DBE Prime CONSULTANTS perform a minimum of 30% of the total amount of this AGREEMENT. In the absents of a mandatory UDBE, a voluntary SBE goal amount of ten percent of the Consultant Agreement is established. The Consultant shall submit a SBE Participation Plan prior to commencing work. Although the goal is voluntary, the outreach efforts to provide SBE maximum practicable opportunities are not. The CONSULTANT, on a monthly basis, shall enter the amounts paid to all firms involved with this AGREEMENT into the wsdot.diversitycompliance.com program. Payment information shall identify any DBE Participation. Non-minority, woman owned DBEs does not count towards UDBE goal attainment. All Reports, PS&E materials, and other data furnished to the CONSULTANT by the AGENCY shall be returned. All electronic files, prepared by the CONSULTANT, must meet the requirements as outlined in Exhibit"C — Preparation and Delivery of Electronic Engineering and other Data." All designs, drawings, specifications, documents, and other work products, including all electronic files,prepared by the CONSULTANT prior to completion or termination of this AGREEMENT are instruments of service for these SERVICES, and are the property of the AGENCY. Reuse by the AGENCY or by others, acting through or on behalf of the AGENCY of any such instruments of service, not occurring as a part of this SERVICE, shall be without liability or legal exposure to the CONSULTANT. Any and all notices or requests required under this AGREEMENT shall be made in writing and sent to the other party by (i) certified mail, return receipt requested, or (ii)by email or facsimile, to the address set forth below: If to AGENCY: If to CONSULTANT: Name: Rick Perez Name: Zach Hoiting Agency: City of Federal Way Agency: Western Systems, Inc. Address: 33325 8th Ave South Address: 1122 Industry St. Bldg. B City: Federal Way State: WA Zip: 98003 City: Everett State: WA Zip: 98203 Email: rick.perez@cityoffederalway.com Email: zhoiting@WesternSytems-Inc.com Phone: 253.835.2740 Phone: 253.438.1133 Facsimile: 253.835.2709 Facsimile: 425.438.1585 IV. Time for Beginning and Completion The CONSULTANT shall not begin any work under the terms of this AGREEMENT until authorized in writing by the AGENCY. This AGREEMENT may require filing with the Department of Enterprise Services (DES) pursuant to RCW 39.26.140. If such approval is required by DES, this AGREEMENT shall not bind the AGENCY until approved by DES. If the AGREEMENT must be approved by DES,work cannot begin, nor payment made until ten (10) or more working days following the date of filing, and until approved by DES. Any subsequent SUPPLEMENTAL AGREEMENT may also be subject to filing and/or approval from DES. All work under this AGREEMENT shall be completed by the date shown in the heading of this AGREEMENT titled "Completion Date." The established completion time shall not be extended because of any delays attributable to the CONSULTANT, but may be extended by the AGENCY in the event of a delay attributable to the AGENCY, or because of unavoidable delays caused by an act of GOD, or governmental actions, or other conditions beyond the control of the CONSULTANT. A prior supplemental AGREEMENT issued by the AGENCY is required to extend the established completion time. Agreement Number: Local Agency Professional Services Lump Sum Consultant Agreement Page 3 of 13 Rpv►�Arr 111nv2n17 V. Payment Provisions The CONSULTANT shall be paid by the AGENCY for completed SERVICES rendered under this AGREEMENT as provided hereinafter. Such payment shall be full compensation for SERVICES performed or SERVICES rendered and for all labor, materials, supplies, equipment, and incidentals necessary to complete SERVICES. The CONSULTANT shall conform to all applicable portions of 48 CFR Part 31 (www.ecfr.gov). The estimate in support of the lump sum amount is attached hereto as Exhibits "D"and "E" and by this reference made part of this AGREEMENT. A. Lump Sum Agreement: Payment for all consulting SERVICES shall be on the basis of a lump sum amount as shown on page one (1) of this AGREEMENT. B. Maximum Amount Payable: The Maximum Total Amount Payable by the AGENCY to the CONSULTANT under this AGREEMENT shall not exceed the amount shown in the heading of this AGREEMENT on page one (1.) The Maximum Amount Payable does not include payment for extra work as stipulated in section XIII, "Extra Work."No minimum amount payable is guaranteed under this AGREEMENT. C. Monthly Progress Payments: The CONSULTANT may submit billings to the AGENCY for reimbursement of costs on a monthly basis. To provide a means of verifying the billed salary costs for the CONSULTANT's employees, the AGENCY may conduct employee interviews. These interviews may consist of recording the names, titles, salary rates, and present duties of those employees performing work on the SERVICES at the time of the interview. D. Final Payment: Final Payment of any balance due the CONSULTANT of the gross amount earned will be made promptly upon its verification by the AGENCY after the completion of the SERVICES under this AGREEMENT, contingent, if applicable, upon receipt of all PS&E, plans, maps, notes, reports, electronic data, and other related documents which are required to be furnished under this AGREEMENT. Acceptance of such Final Payment by the CONSULTANT shall constitute a release of all claims for payment, which the CONSULTANT may have against the AGENCY unless such claims are specifically reserved in writing and transmitted to the AGENCY by the CONSULTANT prior to its acceptance. Said Final Payment shall not, however, be a bar to any claims that the AGENCY may have against the CONSULTANT or to any remedies the AGENCY may pursue with respect to such claims. The payment of any billing will not constitute agreement as to the appropriateness of any item and at the time of final audit all required adjustments will be made and reflected in a final payment. In the event that such final audit reveals an overpayment to the CONSULTANT, the CONSULTANT will refund such overpayment to the AGENCY within thirty (30) calendar days of notice of the overpayment. Such refund shall not constitute a waiver by the CONSULTANT for any claims relating to the validity of a finding by the AGENCY of overpayment. Per the WSDOT's "Audit Guide for Consultants," Chapter 23 "Resolution Procedures," the CONSULTANT has twenty (20)working days after receipt of the final Post Audit to begin the appeal process to the AGENCY for audit findings. E. Inspection of Cost Records: The CONSULTANT and their sub-consultants shall keep available for inspection by representatives of the AGENCY and the United States, for a period of six (6) years after receipt of final payment, the cost records and accounts pertaining to this AGREEMENT and all items related to or bearing upon these records with the following exception: if any litigation, claim or audit arising out of, in connection with, or related to this AGREEMENT is initiated before the expiration of the six (6) year period, the cost records and accounts shall be retained until such litigation, claim, or audit involving the records is completed. A post audit may be performed on this AGREEMENT. The audit, if any, will be performed by the State Auditor, WSDOT's Internal Audit Office and /or at the request of the AGENCY's Project Manager . Agreement Number: .35 Local Agency Professional Services Lump Sum Consultant Agreement Page 4 of 13 Ravlcarl iiinli7nt7 VI. Sub-Contracting The AGENCY permits subcontracts for those items of SERVICES as shown in Exhibit"A" attached hereto and by this reference made part of this AGREEMENT. The CONSULTANT shall not subcontract for the performance of any SERVICE under this AGREEMENT without prior written permission of the AGENCY. No permission for subcontracting shall create, between the AGENCY and sub-consultant, any contract or any other relationship. Compensation for this sub-consultant SERVICES shall be based on the cost factors shown on Exhibit"E" attached hereto and by this reference made part of this AGREEMENT. All reimbursable direct labor, indirect cost rate, direct non-salary costs and fixed fee costs for the sub-consultant shall be negotiated and substantiated in accordance with section V"Payment Provisions"herein and shall be memorialized in a final written acknowledgement between the parties. All subcontracts shall contain all applicable provisions of this AGREEMENT, and the CONSULTANT shall require each sub-consultant or subcontractor, of any tier, to abide by the terms and conditions of this AGREEMENT. With respect to sub-consultant payment, the CONSULTANT shall comply with all applicable sections of the STATE'S Prompt Payment laws as set forth in RCW 39.04.250 and RCW 39.76.011. The CONSULTANT, sub-recipient, or sub-consultant shall not discriminate on the basis of race, color, national origin, or sex in the performance of this AGREEMENT. The CONSULTANT shall carry out applicable requirements of 49 CFR Part 26 in the award and administration of DOT-assisted contracts. Failure by the CONSULTANT to carry out these requirements is a material breach of this AGREEMENT, which may result in the termination of this AGREEMENT or such other remedy as the recipient deems appropriate. VII. Employment and Organizational Conflict of Interest The CONSULTANT warrants that they have not employed or retained any company or person, other than a bona fide employee working solely for the CONSULTANT, to solicit or secure this contract, and that it has not paid or agreed to pay any company or person, other than a bona fide employee working solely for the CONSULTANT, any fee, commission,percentage, brokerage fee, gift, or any other consideration, contingent upon or resulting from the award or making of this contract. For breach or violation of this warrant, the AGENCY shall have the right to annul this AGREEMENT without liability or, in its discretion, to deduct from the AGREEMENT price or consideration or otherwise recover the full amount of such fee, commission,percentage, brokerage fee, gift, or contingent fee. Any and all employees of the CONSULTANT or other persons while engaged in the performance of any work or services required of the CONSULTANT under this AGREEMENT, shall be considered employees of the CONSULTANT only and not of the AGENCY, and any and all claims that may arise under any Workmen's Compensation Act on behalf of said employees or other persons while so engaged, and any and all claims made by a third party as a consequence of any act or omission on the part of the CONSULTANT's employees or other persons while so engaged on any of the work or services provided to be rendered herein, shall be the sole obligation and responsibility of the CONSULTANT. The CONSULTANT shall not engage, on a full- or part-time basis, or other basis, during the period of this AGREEMENT, any professional or technical personnel who are, or have been, at any time during the period of this AGREEMENT, in the employ of the United States Department of Transportation or the AGENCY, except regularly retired employees, without written consent of the public employer of such person if he/she will be working on this AGREEMENT for the CONSULTANT. Agreement Number: Local Agency Professional Services Lump Sum Consultant Agreement Page 5 of 13 Rpvi,zari i11n11?n17 VIII. Nondiscrimination During the performance of this AGREEMENT, the CONSULTANT, for itself, its assignees, sub-consultants, subcontractors and successors in interest, agrees to comply with the following laws and regulations: • Title VI of the Civil Rights Act of 1964 • Civil Rights Restoration Act of 1987 (42 U.S.C. Chapter 21 Subchapter V § 2000d (Public Law 100-259) through 2000d-4a) • American with Disabilities Act of 1990 • Federal-aid Highway Act of 1973 (42 U.S.C. Chapter 126 § 12101 et. seq.) (23 U.S.C. Chapter 3 § 324) • 23 CFR Part 200 • Rehabilitation Act of 1973 • 49 CFR Part 21 (29 U.S.C. Chapter 16 Subchapter V § 794) • 49 CFR Part 26 • Age Discrimination Act of 1975 • RCW 49.60.180 (42 U.S.C. Chapter 76 § 6101 et. seq.) In relation to Title VI of the Civil Rights Act of 1964, the CONSULTANT is bound by the provisions of Exhibit "F" attached hereto and by this reference made part of this AGREEMENT, and shall include the attached Exhibit "F"in every sub-contract, including procurement of materials and leases of equipment, unless exempt by the Regulations or directives issued pursuant thereto. IX. Termination of Agreement The right is reserved by the AGENCY to terminate this AGREEMENT at any time with or without cause upon ten (10) days written notice to the CONSULTANT. In the event this AGREEMENT is terminated by the AGENCY, other than for default on the part of the CONSULTANT, a final payment shall be made to the CONSULTANT which, when added to any payments previously made, shall total the same percentage of the Lump Sum Amount as the work completed at the time of termination is to the total work required for the SERVICES. In addition, the CONSULTANT shall be paid for any authorized extra work completed. No payment shall be made for any SERVICES completed after ten (10) days following receipt by the CONSULTANT of the notice to terminate. If the accumulated payment made to the CONSULTANT prior to Notice of Termination exceeds the total amount that would be due when computed as set forth in paragraph two (2) of this section, then no final payment shall be due and the CONSULTANT shall immediately reimburse the AGENCY for any excess paid. If the services of the CONSULTANT are terminated by the AGENCY for default on the part of the CONSULTANT, the above formula for payment shall not apply. In the event of a termination for default, the amount to be paid to the CONSULTANT shall be determined by the AGENCY with consideration given to the actual costs incurred by the CONSULTANT in performing SERVICES to the date of termination, the amount of SERVICES originally required which was satisfactorily completed to date of termination, whether that SERVICE is in a form or a type which is usable to the AGENCY at the time of termination, the cost to the AGENCY of employing another firm to complete the SERVICES required and the time which may be required to do so, and other factors which affect the value to the AGENCY of the SERVICES performed at the time of termination. Under no circumstances shall payment made under this subsection exceed the amount, which would have been made using the formula set forth in paragraph two (2) of this section. If it is determined for any reason that the CONSULTANT was not in default or that the CONSULTANT's failure to perform is without the CONSULTANT's or its employee's fault or negligence, the termination shall be deemed to be a termination for the convenience of the AGENCY. In such an event, the CONSULTANT would be reimbursed for actual costs in accordance with the termination for other than default clauses listed previously. Agreement Number: Local Agency Professional Services Lump Sum Consultant Agreement Page 6 of 13 Rptfi_ce3ri 11m1i2n17 The CONSULTANT shall, within 15 days, notify the AGENCY in writing, in the event of the death of any member, partner, or officer of the CONSULTANT or the death or change of any of the CONSULTANT's supervisory and/or other key personnel assigned to the project or disaffiliation of any principally involved CONSULTANT employee. The CONSULTANT shall also notify the AGENCY, in writing, in the event of the sale or transfer of 50% or more of the beneficial ownership of the CONSULTANT within 15 days of such sale or transfer occurring. The CONSULTANT shall continue to be obligated to complete the SERVICES under the terms of this AGREEMENT unless the AGENCY chooses to terminate this AGREEMENT for convenience or chooses to renegotiate any term(s) of this AGREEMENT. If termination for convenience occurs, final payment will be made to the CONSULTANT as set forth in the second and third paragraphs of this section. Payment for any part of the SERVICES by the AGENCY shall not constitute a waiver by the AGENCY of any remedies of any type it may have against the CONSULTANT for any breach of this AGREEMENT by the CONSULTANT, or for failure of the CONSULTANT to perform SERVICES required of it by the AGENCY. Forbearance of any rights under the AGREEMENT will not constitute waiver of entitlement to exercise those rights with respect to any future act or omission by the CONSULTANT. X. Changes of Work The CONSULTANT shall make such changes and revisions in the completed work of this AGREEMENT as necessary to correct errors appearing therein, without additional compensation thereof. Should the AGENCY find it desirable for its own purposes to have previously satisfactorily completed SERVICES or parts thereof changed or revised, the CONSULTANT shall make such revisions as directed by the AGENCY. This work shall be considered as Extra Work and will be paid for as herein provided under section XIII "Extra Work." XI. Disputes Any disputed issue not resolved pursuant to the terms of this AGREEMENT shall be submitted in writing within 10 days to the Director of Public Works or AGENCY Engineer, whose decision in the matter shall be final and binding on the parties of this AGREEMENT; provided however, that if an action is brought challenging the Director of Public Works or AGENCY Engineer's decision, that decision shall be subject to judicial review. If the parties to this AGREEMENT mutually agree, disputes concerning alleged design errors will be conducted under the procedures found in Exhibit"J". In the event that either party deem it necessary to institute legal action or proceeding to enforce any right or obligation under this AGREEMENT, this action shall be initiated in the Superior Court of the State of Washington, situated in the county in which the AGENCY is located. The parties hereto agree that all questions shall be resolved by application of Washington law and that the parties have the right of appeal from such decisions of the Superior Court in accordance with the laws of the State of Washington. The CONSULTANT hereby consents to the personal jurisdiction of the Superior Court of the State of Washington, situated in the county in which the AGENCY is located. XII. Legal Relations The CONSULTANT, any sub-consultants, and the AGENCY shall comply with all Federal, State, and local laws, rules, codes, regulations and all AGENCY policies and directives, applicable to the work to be performed under this AGREEMENT. This AGREEMENT shall be interpreted and construed in accordance with the laws of the State of Washington. The CONSULTANT shall defend, indemnify, and hold the State of Washington (STATE) and the AGENCY and their officers and employees harmless from all claims, demands, or suits at law or equity arising in whole or in part from the negligence of, or the breach of any obligation under this AGREEMENT by, the CONSULTANT or the CONSULTANT's agents, employees, sub consultants, subcontractors or vendors, of any tier, or any other persons for whom the CONSULTANT may be legally liable; provided that nothing herein shall require a CONSULTANT Agreement Number: 38 Local Agency Professional Services Lump Sum Consultant Agreement Page 7 of 13 Rpvicarl 11/n119n17 to defend or indemnify the STATE and the AGENCY and their officers and employees against and hold harmless the STATE and the AGENCY and their officers and employees from claims, demands or suits based solely upon the negligence of, or breach of any obligation under this AGREEMENT by the STATE and the AGENCY, their agents, officers, employees, sub-consultants, subcontractors or vendors, of any tier, or any other persons for whom the STATE and/or the AGENCY may be legally liable; and provided further that if the claims or suits are caused by or result from the concurrent negligence of(a) the CONSULTANT or the CONSULTANT's agents, employees, sub-consultants, subcontractors or vendors, of any tier, or any other persons for whom the CONSULTANT is legally liable, and (b) the STATE and or the AGENCY, their agents, officers, employees, sub-consultants, subcontractors and or vendors, of any tier, or'any other persons for whom the STATE and or the AGENCY may be legally liable, the defense and indemnity obligation shall be valid and enforceable only to the extent of the CONSULTANT's negligence or the negligence of the CONSULTANT's agents, employees, sub-consultants, subcontractors or vendors, of any tier, or any other persons for whom the CONSULTANT may be legally liable. This provision shall be included in any AGREEMENT between CONSULTANT and any sub-consultant, subcontractor and vendor, of any tier. The CONSULTANT shall also defend, indemnify, and hold the STATE and the AGENCY and their officers and employees harmless from all claims, demands, or suits at law or equity arising in whole or in part from the alleged patent or copyright infringement or other allegedly improper appropriation or use of trade secrets, patents, proprietary information, know-how, copyright rights or inventions by the CONSULTANT or the CONSULTANT's agents, employees, sub-consultants, subcontractors or vendors, of any tier, or any other persons for whom the CONSULTANT may be legally liable, in performance of the Work under this AGREEMENT or arising out of any use in connection with the AGREEMENT of methods, processes, designs, information or other items furnished or communicated to STATE and/or the AGENCY, their agents, officers and employees pursuant to the AGREEMENT; provided that this indemnity shall not apply to any alleged patent or copyright infringement or other allegedly improper appropriation or use of trade secrets, patents, proprietary information, know-how, copyright rights or inventions resulting from STATE's and/or the AGENCY'S, their agents', officers' and employees' failure to comply with specific written instructions regarding use provided to STATE and/or the AGENCY, their agents, officers and employees by the CONSULTANT, its agents, employees, sub-consultants, subcontractors or vendors, of any tier, or any other persons for whom the CONSULTANT may be legally liable. The CONSULTANT's relation to the AGENCY shall be at all times as an independent contractor. Notwithstanding any determination by the Executive Ethics Board or other tribunal, the AGENCY may, in its sole discretion, by written notice to the CONSULTANT terminate this AGREEMENT if it is found after due notice and examination by the AGENCY that there is a violation of the Ethics in Public Service Act, Chapter 42.52 RCW; or any similar statute involving the CONSULTANT in the procurement of, or performance under, this AGREEMENT. The CONSULTANT specifically assumes potential liability for actions brought by the CONSULTANT's own employees or its agents against the STATE and/or the AGENCY and, solely for the purpose of this indemnification and defense, the CONSULTANT specifically waives any immunity under the state industrial insurance law, Title 51 RCW. This waiver has been mutually negotiated by the Parties. Unless otherwise specified in this AGREEMENT, the AGENCY shall be responsible for administration of construction contracts, if any, on the project. Subject to the processing of a new sole source, or an acceptable supplemental AGREEMENT, the CONSULTANT shall provide On-Call assistance to the AGENCY during contract administration. By providing such assistance, the CONSULTANT shall assume no responsibility for: proper construction techniques,job site safety, or any construction contractor's failure to perform its work in accordance with the contract documents. The CONSULTANT shall obtain and keep in force during the terms of this AGREEMENT, or as otherwise required, the following insurance with companies or through sources approved by the State Insurance Commissioner pursuant to Title 48 RCW. Agreement Number: Local Agency Professional Services Lump Sum Consultant Agreement Page 8 of 13 Rp ViCpfi a11n112n17 Insurance Coverage A. Worker's compensation and employer's liability insurance as required by the STATE_ B. Commercial general liability insurance written under ISO Form CG 00 01 12 04 or its equivalent with minimum limits of one million dollars ($1,000,000.00) per occurrence and two million dollars ($2,000,000.00) in the aggregate for each policy period. C. Business auto liability insurance written under ISO Form CG 00 01 10 01 or equivalent providing coverage for any "Auto" (Symbol 1) used in an amount not less than a one million dollar($1,000,000.00) combined single limit for each occurrence. Excepting the Worker's Compensation Insurance and any Professional Liability Insurance, the STATE and AGENCY, their officers, employees, and agents will be named on all policies of CONSULTANT and any sub- consultant and/or subcontractor as an additional insured (the "AIs"), with no restrictions or limitations concerning products and completed operations coverage. This coverage shall be primary coverage and non-contributory and any coverage maintained by the AIs shall be excess over, and shall not contribute with, the additional insured coverage required hereunder. The CONSULTANT's and the sub-consultant's and/or subcontractor's insurer shall waive any and all rights of subrogation against the AIs. The CONSULTANT shall furnish the AGENCY with verification of insurance and endorsements required by this AGREEMENT. The AGENCY reserves the right to require complete, certified copies of all required insurance policies at any time. All insurance shall be obtained from an insurance company authorized to do business in the State of Washington. The CONSULTANT shall submit a verification of insurance as outlined above within fourteen (14) days of the execution of this AGREEMENT to: Name: Tonia Proctor Agency: City of Federal Way Address: 33325 8th Ave South City: Federal Way State: WA Zip: 98003 Email: tonia.proctor@cityoffederalway.com Phone: 253.835.2561 Facsimile: No cancellation of the foregoing policies shall be effective without thirty (30) days prior notice to the AGENCY. The CONSULTANT's professional liability to the AGENCY, including that which may arise in reference to section IX "Termination of Agreement" of this AGREEMENT, shall be limited to the accumulative amount of the authorized AGREEMENT or one million dollars ($1,000,000.00), whichever is greater, unless the limit of liability is increased by the AGENCY pursuant to Exhibit H. In no case shall the CONSULTANT's professional liability to third parties be limited in any way. The parties enter into this AGREEMENT for the sole benefit of the parties, and to the exclusion of any third party, and no third party beneficiary is intended or created by the execution of this AGREEMENT. The AGENCY will pay no progress payments under section V"Payment Provisions"until the CONSULTANT has fully complied with this section. This remedy is not exclusive; and the AGENCY may take such other action as is available to it under other provisions of this AGREEMENT, or otherwise in law. Agreement Number: 14 U Local Agency Professional Services Lump Sum Consultant Agreement Page 9 of 13 Ravicarl 111n119n17 XIII. Extra Work A. The AGENCY may at any time, by written order, make changes within the general scope of this AGREEMENT in the SERVICES to be performed. B. If any such change causes an increase or decrease in the estimated cost of, or the time required for, performance of any part of the SERVICES under this AGREEMENT, whether or not changed by the order, or otherwise affects any other terms and conditions of this AGREEMENT, the AGENCY shall make an equitable adjustment in the: (1) maximum amount payable; (2) delivery or completion schedule, or both; and (3) other affected terms and shall modify this AGREEMENT accordingly. C. The CONSULTANT must submit any "request for equitable adjustment,"hereafter referred to as "CLAIM," under this clause within thirty (30) days from the date of receipt of the written order. However, if the AGENCY decides that the facts justify it, the AGENCY may receive and act upon a CLAIM submitted before final payment of this AGREEMENT. D. Failure to agree to any adjustment shall be a dispute under the section XI "Disputes" clause. However, nothing in this clause shall excuse the CONSULTANT from proceeding with the AGREEMENT as changed. E. Notwithstanding the terms and conditions of paragraphs (A.) and (B.) above, the maximum amount payable for this AGREEMENT, shall not be increased or considered to be increased except by specific written supplement to this AGREEMENT. XIV. Endorsement of Plans If applicable, the CONSULTANT shall place their endorsement on all plans, estimates, or any other engineering data furnished by them. XV. Federal Review The Federal Highway Administration shall have the right to participate in the review or examination of the SERVICES in progress. XVI. Certification of the Consultant and the AGENCY Attached hereto as Exhibit"G-l(a and b)" are the Certifications of the CONSULTANT and the AGENCY, Exhibit "G-2" Certification Regarding Debarment, Suspension and Other Responsibility Matters - Primary Covered Transactions, Exhibit"G-3" Certification Regarding the Restrictions of the Use of Federal Funds for Lobbying and Exhibit "G-4" Certificate of Current Cost or Pricing Data. Exhibit"G-3" is required only in AGREEMENT's over one hundred thousand dollars ($100,000.00) and Exhibit"G-4" is required only in AGREEMENT's over five hundred thousand dollars ($500,000.00.) These Exhibits must be executed by the CONSULTANT, and submitted with the master AGREEMENT, and returned to the AGENCY at the address listed in section III "General Requirements" prior to its performance of any SERVICES under this AGREEMENT. XVII. Complete Agreement This document and referenced attachments contain all covenants, stipulations, and provisions agreed upon by the parties. No agent, or representative of either party has authority to make, and the parties shall not be bound by or be liable for, any statement, representation, promise or agreement not set forth herein. No changes, amendments, or modifications of the terms hereof shall be valid unless reduced to writing and signed by the parties as a supplement to this AGREEMENT. Agreement[Number: 41 Local Agency Professional Services Lump Sum Consultant Agreement Page 10 of 13 RAv«arr 111nv7m7 XVIII. Execution and Acceptance This AGREEMENT may be simultaneously executed in several counterparts, each of which shall be deemed to be an original having identical legal effect. The CONSULTANT does hereby ratify and adopt all statements, representations, warranties, covenants, and AGREEMENT's contained in the proposal, and the supporting material submitted by the CONSULTANT, and does hereby accept this AGREEMENT and agrees to all of the terms and conditions thereof. XIX. Protection of Confidential Information The CONSULTANT acknowledges that some of the material and information that may come into its possession or knowledge in connection with this AGREEMENT or its performance may consist of information that is exempt from disclosure to the public or other unauthorized persons under either chapter 42.56 RCW or other local, state or federal statutes ("State's Confidential Information"). The "State's Confidential Information" includes, but is not limited to, names, addresses, Social Security numbers, e-mail addresses, telephone numbers, financial profiles, credit card information, driver's license numbers, medical data, law enforcement records (or any other information identifiable to an individual), STATE and AGENCY source code or object code, STATE and AGENCY security data, non-public Specifications, STATE and AGENCY non-publicly available data, proprietary software, STATE and AGENCY security data, or information which may jeopardize any part of the project that relates to any of these types of information. The CONSULTANT agrees to hold the State's Confidential Information in strictest confidence and not to make use of the State's Confidential Information for any purpose other than the performance of this AGREEMENT, to release it only to authorized employees, sub-consultants or subcontractors requiring such information for the purposes of carrying out this AGREEMENT, and not to release, divulge,publish, transfer, sell, disclose, or otherwise make it known to any other party without the AGENCY's express written consent or as provided by law. The CONSULTANT agrees to release such information or material only to employees, sub-consultants or subcontractors who have signed a nondisclosure AGREEMENT, the terms of which have been previously approved by the AGENCY. The CONSULTANT agrees to implement physical, electronic, and managerial safeguards to prevent unauthorized access to the State's Confidential Information. Immediately upon expiration or termination of this AGREEMENT, the CONSULTANT shall, at the AGENCY's option: (i) certify to the AGENCY that the CONSULTANT has destroyed all of the State's Confidential Information; or(ii) returned all of the State's Confidential Information to the AGENCY; or(iii) take whatever other steps the AGENCY requires of the CONSULTANT to protect the State's Confidential Information. As required under Executive Order 00-03, the CONSULTANT shall maintain a log documenting the following: the State's Confidential Information received in the performance of this AGREEMENT; the purpose(s) for which the State's Confidential Information was received; who received, maintained and used the State's Confidential Information; and the final disposition of the State's Confidential Information. The CONSULTANT's records shall be subject to inspection, review, or audit upon reasonable notice from the AGENCY. The AGENCY reserves the right to monitor, audit, or investigate the use of the State's Confidential Information collected, used, or acquired by the CONSULTANT through this AGREEMENT. The monitoring, auditing, or investigating may include, but is not limited to, salting databases. Violation of this section by the CONSULTANT or its sub-consultants or subcontractors may result in termination of this AGREEMENT and demand for return of all State's Confidential Information, monetary damages, or penalties. It is understood and acknowledged that the CONSULTANT may provide the AGENCY with information which is proprietary and/or confidential during the term of this AGREEMENT. The parties agree to maintain the confidentiality of such information during the term of this AGREEMENT and afterwards. All materials containing such proprietary and/or confidential information shall be clearly identified and marked as "Confidential" and shall be returned to the disclosing party at the conclusion of the SERVICES under this AGREEMENT. Agreement Number: 42 Local Agency Professional Services Lump Sum Consultant Agreement Page 11 of 13 Rpw►-car!111MIM17 The CONSULTANT shall provide the AGENCY with a list of all information and materials it considers confidential and/or proprietary in nature: (a) at the commencement of the term of this AGREEMENT; or(b) as soon as such confidential or proprietary material is developed. "Proprietary and/or confidential information" is not meant to include any information which, at the time of its disclosure: (i) is already known to the other party; (ii) is rightfully disclosed to one of the parties by a third party that is not acting as an agent or representative for the other party; (iii) is independently developed by or for the other party; (iv) is publicly known; or(v) is generally utilized by unaffiliated third parties engaged in the same business or businesses as the CONSULTANT. The parties also acknowledge that the AGENCY is subject to Washington State and federal public disclosure laws. As such, the AGENCY shall maintain the confidentiality of all such information marked proprietary and/ or confidential or otherwise exempt, unless such disclosure is required under applicable state or federal law. If a public disclosure request is made to view materials identified as "Proprietary and/or confidential information" or otherwise exempt information, the AGENCY will notify the CONSULTANT of the request and of the date that such records will be released to the requester unless the CONSULTANT obtains a court order from a court of competent jurisdiction enjoining that disclosure. If the CONSULTANT fails to obtain the court order enjoining disclosure, the AGENCY will release the requested information on the date specified. The CONSULTANT agrees to notify the sub-consultant of any AGENCY communication regarding disclosure that may include a sub-consultant's proprietary and/or confidential information. The CONSULTANT notification to the sub-consultant will include the date that such records will be released by the AGENCY to the requester and state that unless the sub-consultant obtains a court order from a court of competent jurisdiction enjoining that disclosure the AGENCY will release the requested information. If the CONSULTANT and/or sub-consultant fail to obtain a court order or other judicial relief enjoining the AGENCY by the release date, the CONSULTANT shall waive and release and shall hold harmless and indemnify the AGENCY from all claims of actual or alleged damages, liabilities, or costs associated with the AGENCY's said disclosure of sub-consultants' information. XX. Records Maintenance During the progress of the Work and SERVICES provided hereunder and for a period of not less than six (6) years from the date of final payment to the CONSULTANT, the CONSULTANT shall keep, retain and maintain all "documents"pertaining to the SERVICES provided pursuant to this AGREEMENT. Copies of all "documents" pertaining to the SERVICES provided hereunder shall be made available for review at the CONSULTANT's place of business during normal working hours. If any litigation, claim or audit is commenced, the CONSULTANT shall cooperate with AGENCY and assist in the production of all such documents. "Documents" shall be retained until all litigation, claims or audit findings have been resolved even though such litigation, claim or audit continues past the six (6) year retention period. For purposes of this AGREEMENT, "documents" means every writing or record of every type and description, including electronically stored information ("ESI"), that is in the possession, control, or custody of the CONSULTANT, including, without limitation, any and all correspondences, contracts,AGREEMENT `s, appraisals, plans, designs, data, surveys, maps, spreadsheets, memoranda, stenographic or handwritten notes, reports, records, telegrams, schedules, diaries, notebooks, logbooks, invoices, accounting records, work sheets, charts, notes, drafts, scribblings, recordings, visual displays,photographs, minutes of meetings, tabulations, computations, summaries, inventories, and writings regarding conferences, conversations or telephone conversations, and any and all other taped, recorded, written, printed or typed matters of any kind or description; every copy of the foregoing whether or not the original is in the possession, custody, or control of the CONSULTANT, and every copy of any of the foregoing, whether or not such copy is a copy identical to an original, or whether or not such copy contains any commentary or notation whatsoever that does not appear on the original. Agreement Number: Local Agency Professional Services Lump Sum Consultant AgreglAent Page 12 of 13 Ravicprl 1 vnil2n1 7 For purposes of this AGREEMENT, "ESI" means any and all computer data or electronic recorded media of any kind, including "Native Files", that are stored in any medium from which it can be retrieved and examined, either directly or after translation into a reasonably useable form. ESI may include information and/or documentation stored in various software programs such as: Email, Outlook, Word, Excel,Access, Publisher, PowerPoint,Adobe Acrobat, SQL databases, or any other software or electronic communication programs or databases that the CONSULTANT may use in the performance of its operations. ESI may be located on network servers, backup tapes, smart phones, thumb drives, CDs, DVDs, floppy disks, work computers, cell phones, laptops or any other electronic device that CONSULTANT uses in the performance of its Work or SERVICES hereunder, including any. personal devices used by the CONSULTANT or any sub-consultant at home. "Native files" are a subset of ESI and refer to the electronic format of the application in which such ESI is normally created, viewed, and/or modified. The CONSULTANT shall include this section XX"Records Maintenance" in every subcontract it enters into in relation to this AGREEMENT and bind the sub-consultant to its terms, unless expressly agreed to otherwise in writing by the AGENCY prior to the execution of such subcontract. In witness whereof, the parties hereto have executed this AGREEMENT as of the day and year shown in the "Execution Date"box on page one (1) of this AGREEMENT. Signature Date Signature Date Any modification, change, or reformation of this AGREEMENT shall require approval as to form by the Office of the Attorney General. Agreement Number: Local Agency Professional Services Lump Sum Consultant AgreMent Page 13 of 13 Ravicpni 11in112n17 CWesterriSystems Exhibit A ] Scope of Work www,westernsystems-inc,com 11122 Industry Street, Bldg. B, Everett, WA 98203 1 P:425,438.1133 The leader in providing innovative solutions, support and manufacturing for the transportation industry 45 Ke i(e r n Systems 2 Scope of Services This project will allow the City of Federal Way to take a major proactive step in mitigating traffic congestion on S 3201h Street,S 336th Street,S 348th St/SR 18,Pacific Hwy S/SR 99,Enchanted Parkway S/SR 161/16th Ave S,and eventually the rest of the city.The primary goals of an Adaptive Control System(ACS) are to reduce delay,manage queue lengths, reduce stops, decrease travel time, increase traveler safety and reduce side street delays at signalized intersections along heavily traveled corridors.The ACS will effectively accomplish this by adjusting signal timing in real time to accommodate the continuous and sometimes unpredictable fluctuation in traffic and pedestrian demand on these corridors. Western Systems will furnish, install new traffic signal ATC controllers, a TACTICS Central system software,SCOOT®adaptive system software,and central system hardware for the City of Federal Way. In addition, we will fine tune the systems, review the existing detection, provide training and 5 years of ongoing support. For City of Federal Way intersections Western Systems will provide SIEMENS M62ATC Controllers with SEPAC5 software. Imbedded in the SEPAC is the SCOOT operation protocol for the Adaptive system. For the WSDOT type 332L/332DL cabinets using 2070E/ATC controllers, we will require WSDOT to update to the latest Siemens SEPAC5 local controller software. Western Systems has assembled a strong team to meet the technical and administrative requirements of the City of Federal Way project. Resumes for all project team members can be found in Appendix —Project Team Resumes of the project proposal. Western Systems will lead and manage the team as well as provide the adaptive control software, server and computer hardware,Siemens M62ATC and TACTICS Central System,project management, integration, training, and support. John Brannan will lead efforts as Project Manager and will be responsible for successful project delivery. John Brannan, Ryan McKibben and Ken Buchanan will be the technical points of contact with Federal Way staff and will manage the installation. Siemens will provide software operational support, technical deployment expertise, field installation assistance,operational scope deliverables and 360*support services.James Chavis and Peter Marshall will lead Siemens efforts and assist Western Systems in project delivery. Western Systems will employ a collaborative and open approach when implementing the adaptive control system in Federal Way. Our goal will be to have city staff as well as any associated consultants and stakeholder staff involved in every step of the project and will in effect use the project implementation period as an extended training period.The formal training near the actual go-live date then serves as a capstone session and ensures that responsible staff has the knowledge and ability to effectively operate the system from Day 1. Our approach will include the following tasks, outlined below and described in more detail in the scope of work. The Western Systems team will kick off the project by meeting with the City of Federal Way's key staff and stakeholders. Objective is to draft and adopt a scope of services plan detailing; project deliverables and schedule,discussing custom software elements of the SCOOT and TACTICS systems,Graphic User Interface (GUI) Design development, detector surveys and field deployment phases, any traffic engineering improvements that could improve operations,schedule for training for key staff members,ongoing support and access, payment milestones and acceptance criteria and any perceived project risk factors. www,westernsystems-inc.com 11122 Industry Street, Bldg. B, Everett, WA 98203 1 P;425,438.1133 The leader in providing innovative solutions, support and manufacturing for the transportation industry 46 we si t r n Systems We propose the following work plan taskstructure: 3 Task 1—Project Management Task 2—Data Aggregation Task 3—Detailed Assessment of Conditions and Detector Survey Task 4—Siemens M62ATC Installation and Database Conversion Task 5—SCOOT®Software and TACTICS Central system installation Task 6—Database Design Task 7—QA/QC Task 8—Graphical User Interface (GUI) Development Task 9—Download to Signals and Field Calibration Task 10—System Fine Tuning Task 11—Systems and Local Map Development Task 12—Training Task 13—Verification Task 14—Acceptance and Support Task 1—Project Management The Western System team will proactively manage and update the City of Federal Way via reporting and communications structures as agreed upon in the kick-off meeting. By using the processes, practices and templates of best practice as identified in the Project Management Institute (PMI) Book of Knowledge, we seek to keep the city in the know, and proactively bring to your attention issue items rather than react to them after they have happened.By actively monitoring progress and technical details,we can work together to anticipate issue matters so these can be addressed before becoming problematic. The standards of the PMI are important to achieving a high-quality deployment_ However, to deliver a challenging project like this one, being able to identify&respond to matters and elevate those that might become issues requires diligence and open communications. At project commencement, the Western Systems' team will meet with the City of Federal Way Project Management team, King County traffic operations, the consultant team and any others identified by the city to be present. Our team will meet with City staff to present the stages of deployment, and then obtain existing documentation for all relevant intersections and field equipment(e.g.,as-built schematic diagrams, control databases). The purpose of this kickoff meeting is to fine tune the project deliverables (i.e. understanding the detection layout at each intersection, determine schedule for field modifications, identify and graphics required, and to determine training schedules), stages of deployment, schedule, project objectives, critical path items, areas of responsibility for Western Systems,the City of Federal Way and other stakeholders, project reporting, and communication plans. In addition,this meeting will clarify project issues,sequence of events, events requiring long lead times, project milestones, identification and discussion of project risks and an introduction of our team and their roles in the project. Western Systems and Siemens have experience managing multi-agency projects. To ensure the communication needs of all agency stakeholders are met, the Kickoff Meeting will identify in the project management plan the stakeholders,the kinds of information,frequency and format that should be used to communicate project reports. In addition, the project management plan will identify the roles and responsibilities of all the project team. For this project, we envision holding regular meetings once per month with the City's project manager and other stakeholders throughout the duration of the project.Bi-monthly meetings may be required during the first few months of the project. Western Systems will provide schedule updates in MS Project monthly throughout the project,from the kickoff until the final acceptance of the SCOOT®system. www,westernsystems-inc.com 11122 Industry Street, Bldg, B, Everett, WA 98203 1 P:425,438.1133 The leader in providing innovative solutions, support and manufacturing for the transportation industry 47 CWesterrv5ystems Task 2—Data Aggregation 4 As detailed in Validation Plan; Federal Way desires "Smooth Flow", "Maximized Person Throughput" and "Minimized Transit Delay", "Access Equity", "Management of Queues" and "Improved Safety". Western Systems will assist the city stakeholders as needed in accumulating the data required on the adaptive corridors to get an assessment of current conditions and give the City of Federal Way a true analysis of the state of travel before implementing the adaptive system. Task 3—Detailed Assessment of Conditions and Detector Survey The Western Systems team will perform a detailed survey in the field to determine the suitability of existing detectors and determine where detectors should be added for optimal performance.As part of this survey Western Systems will make recommendations for future enhancements to increase operational efficiency of quality of service. Also, existing communication cabling and signal cabinet equipment will be evaluated. After the survey has been compiled,the Western Systems team will meet with City personnel to provide a recommendation on the most cost-effective solutions for deployment to meet the project goals, and longevity of system operation. Western Systems will also investigate the location for the control room equipment and identify any issues in getting communications back from the field,and how best to lay out the servers and workstations in the control room. During this task, Federal Way staff should attend the one-day training session that will occur prior to SCOOT®operation.Understanding of SCOOT®detection strategies,and direct involvement of City personnel are important for the deployment success. Task 4—Siemens M62ATC Installation. and Database Conversion The Western Systems team members will perform a detailed database conversion from the Econolite controllers currently in the field to match current operations.As part of this conversion, Western Systems can make recommendations for future enhancements to increase operational efficiency of quality of service. Following, Western Systems will work in conjunction with the City and King County to install the Siemens M62 controllers at each location. During installation, Western Systems will visually monitor the operation of the signal and get acceptance from the City and/or King County of operations. Also, existing communication cabling and signal cabinet equipment will be evaluated. Task 5—SCOOT' Software and TACTICS Central System Installation This is a basic task of a deployment, and one that to a degree was initiated in Task 4 where our team will have surveyed the communications and central office facilities.Our team will install new servers(or virtual servers) with the capability to handle a city-wide deployment. The servers will have robust reliability, performance,and expandability to handle all practical aspects of the systems deployment.The servers will be tested for the necessary SCOOT® and TACTICS software and communications needs of the project prior to deployment by Western Systems team. Western Systems will work closely with the City of Federal Way engineering and IT staff to deploy the servers within the network parameters requested. The same methodology will be used for any workstations, laptops or redundant servers located with other municipalities. SCOOT®Hardware The SCOOT"servers will meet the following minimum specifications: • Intel Xeon Dual Core 2.8GHz with RAID capable motherboard • 4Gb RAM 2 X 160Gb hard disk with SATA II NCQ interface (in Raid 1 configuration—mirrored pair) • Graphics card capable of 1280x1024 in 32-bit color @ 721-11z www,westernsystems-inc.com 11122 Industry Street, Bldg. B, Everett, WA 98203 1 P;425.438.1133 The leader in providing innovative solutions, support and manufacturing for the transportation industry 48 Cwest 7,roSystems • 2 x 10/100Mb Ethernet Network Interface Ports 5 • DVD-ROM reader/writer • Monitor(can be shared monitor with KVM switch) • Keyboard&mouse • 20Gb External Hard Disk USB2/Firewire for system backups • OS-Windows Server 2008 Standard • X Client-OpenText Exceed v14 + Backup software-Acronis Backup and Recovery v11.5 Server Edition The SCOOT® communications server will meet the following minimum specifications: + Intel Xeon Dual Core 2.8GHz with RAID capable motherboard • 4Gb RAM • 2 X 160Gb hard disk with SATA II NCQ interface(in Raid 1 configuration—mirrored pair) • Graphics card capable of 1280x1024 in 32-bit color @ 72Hz • 2 x 10/100Mb Ethernet Network Interface Ports • DVD-ROM reader/writer • Monitor(can be shared monitor with KVM switch) • Keyboard &mouse • 20Gb External Hard Disk USB2/Firewire for system backups • OS-Windows Server 2008 Standard The TACTICS servers if used will meet the minimum requirements as specified in.E-xhibit-B: Task 6—Database Design Western Systems will take information gathered from the detector and equipment surveys, and the database migration to develop translation plans(these are the equivalent of timing plans)that identify the phases that will be permitted in SCOOT® "Stages" or phasing groups. Evaluation of the minimum timings needed for phasing will be made and engineering judgement is used to achieve optimal timing performance. While this stage involves database design,and data entry,it should be emphasized that this stage in is where the SCOOT®translation plans and other key parameters are developed,and timings are loaded and tested by our engineers. For SCOOT® to work optimally, traffic engineering judgment must be exercised for the development of the translation plans and other SCOOT"parameters.As this task involves considerably more traffic engineering than the task name might imply and because we feel this is one of the key tasks of deploying a SCOOT'system successfully,we will invite key city operations staff to join us in this activity as informal training. Task 7—QA/QC Western Systems is committed to producing a high-quality product and thereafter providing outstanding support.Our quality control plan is developed with this goal and we apply process-oriented reviews at key points in the project to make sure the deployment is consistent with the agencies vision.Western Systems internal quality and cost control practices are firmly rooted in the systems engineering process. For each project(depending on size and scope),we employ a formal or informal Quality and Cost Control Plan(ACCP) procedure.The ACCP procedure places a specific emphasis on the quality of the products to be provided to the client.The quality portion of the plan consists of two parts:quality assurance and quality control. The Quality Assurance element ensures that the day-to-day accomplishments of the project are completed in an efficient,professional manner;the most appropriate staff members are assigned to each individual work item and are working within their skill levels; and a peer review process is in place to ensure that the best approach to specific problems is being undertaken. Formal QA on this project will involve periodic and www,westernsystems-inc.com 11122 Industry Street, Bldg, B, Everett, WA 98203 1 P;425.438.1133 The leader in providing innovative solutions, support and manufacturing for the transportation industry 49 �Isystems regular review of project deliverables.That is especially relevant in this project with two parallel tracks to install the system and the field devices.This is a good place to gauge what has been done and what needs to be done for project completion. The Quality Control element formalizes and specifies in detail the checking and review process for each deliverable prior to its final production. At each project milestone or for each deliverable, the Western Systems team conducts a technical audit and review. Typically included in this process are records management, documentation control, and corrective action procedures (if required). Formal QC on the project applies primarily to written deliverables. The key benefit to our customers is the knowledge that you are getting deliverables that have been reviewed by experienced experts in the field. Task 8—Graphical User Interface (GUI) Development Western Systems will work collaboratively with the City of Federal Way to provide a custom interface.There are a couple of options that we can offer for the background that include either a satellite image or schematic, background. Along with these there is a palate of options that will enhance the information available to the operator as well as actions that can be performed.All costs for licensing satellite imagery (if needed)will be paid for by the City of Federal Way. Task 9 —Download to Signals and Field Calibration The Western Systems team will provide qualified representatives to be on-site for the deployment of the complete ACS system in accordance with the implementation plan and completion of all field work if required, by the City. Deployment will proceed methodically,and it is our intent to utilize one team of our staff in the field to minimize work zone impacts during the deployment. Western Systems will work collaboratively with Federal Way and King County personnel to coordinate the necessary access to office, back office,and field equipment. Once the central system and street equipment installation is complete,validation can start.At this point it is not necessary for all the street equipment to have been installed. Time can often be saved by a rolling program of street installation and validation. Any rolling program must be strictly controlled to ensure validated parts of the system are not disturbed.Detectors will be checked for operation and that valid data are received at the correct locations in the SCOOT®database. Basic SCOOT®street data will then start to be collected and entered into the database. It is not possible to collect this data until the SCOOT® detectors have been checked. Only when all the equipment has been checked and all the SCOOT® data entered will any attempt be made to run intersections under SCOOT® control. Each intersection will be validated in turn by first observing its operation in SCOOT®monitor mode, and then briefly in SCOOT®command mode. Once all signals in the group are successfully communicating, operating the translated existing timings, reporting valid data for all detectors,and confirmed to operate correctly with SCOOT®,adaptive control will be turned on and monitored for correct operation for the entire group. Western Systems team members will review the operation and fine tune SCOOT®configuration parameters as needed. Task 10—System Fine Tuning Western Systems will review the operation and fine tune SCOOT® configuration parameters where warranted.In most deployments,it is prudent to retain the initial and default settings. Intersections will be closely observed by a traffic engineer. If performance improvements can be made by altering the initial and default settings,these changes are made, and operations observed to confirm operations have improved within the field conditions. www,westernsystems-inc.com 11122 Industry Street, Bldg, B, Everett, INA 98203 1 P;425.438.1133 The leader in providing innovative solutions, support and manufacturing for the transportation industry 50 st or n systems Task 11—System and Local Map Development 7 Western Systems will provide a system map and local intersection maps as part of the project scope. Map development may begin with the database migration process and will be completed during the training component. Some maps will be designed by Federal Way representatives during the training process. Details of the map layouts, design standards and informational displays can be addressed in the project management scope or regular meetings with key personnel.Western Systems will work collaboratively with Federal Way to create map displays that deliver all key elements yet remain aesthetically pleasing. Task 12—Training The Western Systems team will provide training for SCOOT® adaptive control system and TACTICS Central System software that covers the operation, system configuration, calibration, and maintenance. Each training shall provide an overview of the entire system including the central system, field hardware, software,communications,functionality, operation,and how to maintain the system.To enable maximum learning and benefit from this course, there will be both classroom sessions and exercises. These will be interactive training opportunities, seeking to attain input and comments from the audience to maximize interest and exchange of information. Training Western Systems will provide comprehensive training to suitably qualified Engineers and Technicians with the knowledge and practical skill sets to troubleshoot, configure, administer, calibrate, and maintain the SCOOT° and TACTICS system in terms of database modification, operation and, where applicable, system calibration and maintenance skills. Several practical sessions and exercises, both interactive and demonstrative, will be incorporated to maximize learning. We will provide necessary training materials, including:Draft Training Plan, Final Training Plan,Training Phase I—During Deployment&Testing,Training Phase II — After Acceptance, System Configuration Documents, Operation/Maintenance Manuals, Troubleshooting Guide, Recommended Operating/Maintenance Policy. Course Overview There will be a one-day course prior to system deployment,an another one-day course six months after the deployment of the SCOOT®and TACTICS systems.The principal learning opportunity will come from a three- day course that will provide professionals the knowledge and practical skills required to support and administer SCOOT® on a day to day basis. Training shall be done at a cty facilities, and shall include the following system operation topics: • ASC Operations • Troubleshooting • Preventive Maintenance • Equipment Repair • System Configuration • System Calibration • System Administration Example Course Content: • An overview of the design of a SCOOT'system and hardware used from servers to the field • A detailed description of all the hardware used and its operational features. • Principals of SCOOT®will be explained • System Administration, security levels and multi-jurisdictional applications • A detailed description of the GUI display and how it can be used www.westernsystems-inc,com 11122 Industry Street, Bldg. B, Everett, WA 98203 1 P:425.438.1133 The leader in providing innovative solutions, support and manufacturing for the transportation industry 51 C �iternsystems • Operational commands will be explained in detail defining both the format and the function of g thecommands • System database amendment will be discussed and will include picture generation • System maintenance philosophy will be explained in detail to cover items such as:fault logs and their interpretation, hardware fault displays and their analysis and use of test equipment • Siemens support and ongoing Western Systems interaction Course Objectives: • Provide Federal Way and King County with a general working knowledge of SCOOT®and the system structure • Familiarize staff with the layout of the hardware and its operational features • Provide knowledge of the operational commands required to support the system • Ample interactive opportunity for agency staff to develop a working knowledge of database editing procedures • Federal Way will be provided opportunities to demonstrate a working knowledge of the maintenance philosophy for the system which includes fault information and how to collect and analyze the data • Western Systems will make sure City of Federal Way understands the systems,what Western Systems and Siemens has available as support services,and how we can assist the city moving forward so all stakeholders are comfortable before project closing Task 13—Verification Western Systems will provide a detailed verification plan for SCOOT®to meet the System Requirements and our own standards. Our goal is to work collaboratively with Federal Way to complete the testing in an efficient manner. Task 14—Acceptance and Support Over the course of the project,Western Systems team will work collaboratively with the Federal Waystaff to determine benchmarks for final acceptance testing and confirmation. Examples of test criteria can be provided or discussed at length during the interview process of kick-off meeting. Once the project has been accepted Western Systems will start the one-year warranty period and the beginning of the SCOOT® Support package as detailed in the cost proposal. System Maintenance, Warranty, and Support Western Systems will provide support 7:00am — 5:00pm PST and all phone or email requests will be responded to within 24 hours of receipt. On site health checks will be made on an annual basis provided a Siemens SCOOT® maintenance agreement is in place as well as access to our SCOOT° user group and list of peer users. www.westernsystems-inc.com 11122 Industry Street, Bldg. B, Everett, WA 98203 1 P:425.438.1133 The leader in providing innovative solutions, support and manufacturing for the transportation industry 52 �PSystems 9 Project Schedule Western Systems proposes the following tentative schedule for the ACS deployment.We can be flexible with these dates and we want this schedule to work for the City of Federal Way personnel. This is especially important when installing the servers with the IT staff,or during the training sessions. Schedule is subject to change. ID Task Name Start Finish 1 Project Management 9/4/2019 5/1/2020 1a Scope of Work 9/4/2019 9/9/2019 1b Kick-Off Meeting 9/9/2019 9/9/2019 2 Data Aggregation 9/11/2019 9/30/2019 3 Detailed Assessment of Conditions 9/18/2019 9/28/2019 3a Field Assessment of Cabinets 9/18/2019 9/23/2019 3b Detector Survey 6/24/2019 7/19/2019 3c Analysis 10/1/2019 10/3/2019 4 M62ATC Controller Installation 10/10/2019 11/10/2019 5 SCOOT Software-Server Installations 10/19/2019 10/31/2019 6 Database Design _ 10/14/2019 11/12/2019 7 CA/QC 11/13/2019 3/25/2020 8 GUI Development 10/29/2019 12/28/2019 9 Download to Signals and Field Calibration 11/12/2019 3/25/2020 10 System Fine Tuning 3/25/2020 5/1/2020 11 Systems and Local Map Development 1/1/2020 1/19/2020 12 Training 1/4/2020 5/8/2020 13 Verification 5/1/2020 6/1/2020 13 Project Acceptance/Support Begins 5/1/2020 4/30/2025 www.westernsystems-inc.com 11122 Industry Street, Bldg. B, Everett, WA 98203 P:425.438.1133 The leader in providing innovative solutions, support and manufacturing for the transportation industry 53 Westernsystems TACTICS System Requirements www.westernsystems-inc.com 11122 Industry Street, Bldg, B, Everett, WA 98203 1 P;425.438.1133 The leader in providing innovative solutions, support and manufacturing for the transportation industry 54 �kgR,�nai{y-for(,t fe 4 EM ENS a 3.a :.rs.,...-.3, �-.�.r .��.�, `ak'i t�.wa. .mom ::• _ ..,� a The TACTICSTm Central Advanced Traffic Management System (ATMS) is part of the Siemens intelligent traffic portfolio, working with Siemens Advanced Traffic Controllers (including the latest M60, 2070LX and ATC options) together with the Siemens SEPAC controller software to provide advanced technologies and functionality that creates a robust and efficient traffic management environment. This document presents the recommended and minimum hardware and software requirements for a TACTICSTm 5 installation. TACTICS'"'-System Requirements 55 ©2018,Siemens Mobility,Inc. TACTICSTm-System Requirements I This section outlines the recommended requirements for any TACTICSTm system in terms of hardware and software to allow users to get the most advanced features out of the system in an optimal way. TACTICS installation types Item Central (Server) Database (Server) Workstation Laptop Operating Windows Server 2016 64- Windows Server 2016 Windows 10 64-bit Windows 10 64-bit System bit 64-bit 1. SQL Server MS SQL Server 2016 MS SQL Server 2016 NIA N/A Processor Intel Xeon E7 Intel Xeon E7 Intel i5 Intel i5 Memory 16GB RAM 16GB RAM 4GB RAM 8GB RAM Hard Disk 80GB 160GB 40GB 40GB Space Screen 1366x768 or higher 1366x768 or higher 1366x768 or higher 1366x768 or higher XGA and SXGA+active matrix display PeripHerals Keyboard, mouse or Keyboard, mouse or Keyboard, mouse or Keyboard, mouse or compatible pointing device compatible pointing compatible pointing compatible pointing device device device Network Network adapter(2Gbps) Network adapter Network adapter Network adapter (2Gbps) (wireless) or 56k modem (optional) CD/DVD drive Required Required Optional Optional Web browser Internet Explorer 11 Internet Explorer 11 Internet Explorer 11 Internet Explorer 11 Table 1:Recommended system requirements TACTICSTm-System Requirements ©2018,Siemens Mobility,Inc. 56 usa.siemens.com/intelligenttraffic TACTICST -System Requirements I This section contains the minimum requirements for a TACTICSTm system in terms of hardware and software, split into two categories:one for Tier 1 systems(small to medium-sized)and another for Tier 2 (large-sized). In both cases, speed could be achieved by increasing processor capabilities or additional RAM —with the requirements below being the bare minimum required by the product. Please note that any version older than the specified or indeed not listed below must be assumed as not supported. Tier 1 — Small to medium-sized systems (up to 500 intersections) TACTICS installation types Database Workstation .. .. Operating Windows Server 2012 R2 Windows Server 2012 Windows 7 64-bit Windows 7 64-bit System 64-bit R2 64-bit SQL Server MS SQL Server 2014 MS SQL Server 2014 NIA N/A Processor Intel Xeon E3 Intel Xeon E3 Intel i5 Intel i5 Memory 8GB RAM SGB RAM 4GB RAM 8GB RAM Hard Disk 80GB 160GB 40GB 40GB Space Screen 1366x768 or higher 1366x768 or higher 1366x768 or higher 1366x768 or higher XGA and SXGA+active matrix display Peripherals Keyboard, mouse or Keyboard,mouse or Keyboard, mouse or Keyboard, mouse or compatible pointing device compatible pointing compatible pointing compatible pointing device device device Network Network adapter(1 Gbps) Network adapter Network adapter Network adapter (1 Gbps) (wireless) or 56k modem (optional) CD/DVD drive Required Required Optional Optional Web browser Internet Explorer 11 Internet Explorer 11 Internet Explorer 11 Internet Explorer 11 Table 2:Tier 1 -Minimum system requirements TACTICSTm-System Requirements ©2018,Siemens Mobility,Inc. 57 usa.siemens.com/intelligenttraffic TACTICSTM -System Requirements I Tier 2 — Large systems (over 500 intersections) TACTICS installation types Item Central (Server) Database Laptop Operating Windows Server 2012 R2 Windows Server 2012 Windows 7 64-bit Windows 7 64-bit System 64-bit R2 64-bit SQL Server MS SQL Server 2014 MS SQL Server 2014 NIA NIA Processor Intel Xeon E7 Intel Xeon E7 Intel i5 Intel i5 Memory 16GB RAM 16GB RAM 4GB RAM 8GB RAM Hard Disk 80GB 160GB 40GB 40GB Space Screen 1366x768 or higher 1366x768 or higher 1366x768 or higher 1366x768 or higher XGA and SXGA+active matrix display Peripherals Keyboard, mouse or Keyboard, mouse or Keyboard, mouse or Keyboard, mouse or compatible pointing device compatible pointing compatible pointing compatible pointing device device device Network Network adapter(2Gbps) Network adapter Network adapter Network adapter (2Gbps) (wireless) or 56k modem (optional) CDIDVD drive Required Required Optional Optional Web browser Internet Explorer 11 Internet Explorer 11 Internet Explorer 11 Internet Explorer 11 Table 3:Tier 2-Minimum system requirements TACTICSTM -System Requirements ©2018,Siemens Mobility, Inc. 58 Exhibit C Preparation and Delivery of Electronic Engineering and Other Data In this Exhibit the agency, as applicable, is to provide a description of the format and standards the consultant is to use in preparing electronic files for transmission to the agency. The format and standards to be provided may include, but are not limited to, the following: I_ Surveying, Roadway Design& Plans Preparation Section A. Survey Data n/a B. Roadway Design Files n/a C. Computer Aided Drafting Files n/a 5gg Agreement Number: Exhibit C-Local Agency Professional Services Lump Sum ConsMant Agreement Revised 11/01/2017 Page 1 of 4 D. Specify the Agency's Right to Review Product with the Consultant E. Specify the Electronic Deliverables to Be Provided to the Agency Adaptive system software; central system software and associated intersection and corridor program files. Software operations manuals. Training manuals. F. Specify What Agency Furnished Services and Information Is to Be Provided Citywide GIS mapping. Agreement Number: Exhibit C-Local Agency Professional Services Lump Sum Consultant Agreement Revised 1110112017 Page 2 of 4 II. Any Other Electronic Files to Be Provided n/a III. Methods to Electronically Exchange Data Email for smaller items. Web based document sharing/download (e.g. ftp site). Exhibit C-Local Agency Professional Services Lump Sum Consu taut Agreement Revised 11/01/2017 Page 3 of 4 A. Agency Software Suite MS Office 2010; Windows 10. B. Electronic Messaging System MS Outlook. C. File Transfers Format .pdf; .docx; other. Exhibit C-Local Agency Professional Services Lump Sum Consu ant Agreement Revised 11101/2017 Page 4 of 4 We st ernSystems 1 Exhibit D 11 Prime Consultant Cost Computations www.westernsystems-inc.com 11122 Industry Street, Bldg. B, Everett, WA 98203 1 P;425.438.1133 The leader in providing innovative solutions, support and manufacturing for the transportation industry 63 Wes te,,igSyStemS 12 PROJECT COST TABLE COST FOR SCOOT PROJECT-44 INTERSECTION Item # Description Qty Unit Unit Price Extended Price 1 Project Management 1 LS $ 10,000.00 $ 10,000.00 Furnish and Install ASCT Central 2 System Software 1 LS $ 151,976.25 $ 151,976.25 Furnish and Install ASCT Central System Licensing (SCOOT) 3 1 LS $ 201,042.50 $ 201,042.50 Furnish and Install ASCT Central System Hardware (SCOOT& 4 TACTICS) 4 LS $ 4,333.33 $ 17,333.32 Furnish and Install ASCT Central System Software (TACTICS) 5 1 LS $ 89,045.00 $ 89,045.00 Furnish and Install ASCT Local 6 Controller Software 4 EA $ - INCLUDED Furnish and Install ASCT Local 7 Controller Licensing 44 EA $ - INCLUDED Furnish and Install ASCT Local g Controller Hardware 44 EA $ 4,393.74 $ 193,324.56 9 Review Existing Detection 1 LS $ 19,857.50 $ 19,857.70 Maintenance and Support(1 PER 10 Year) 1 YR $ 23,176.47 $ 23,176.47 System Testing, Configuration, Fine-Tuning and Verification 11 1 LS $ 142,575.00 $ 142,575.00 Maintenance and Support (4 PER 12 Years) 4 YR $ 23,176.47 $ 92,705.88 Training and Documentation 13 (min. 5 days training) 1 LS $ 13,125.00 $ 13,125.00 14 SCOOT Software License Pack 1 EA $ 36,025.00 1 $ 36,025.00 TOTAL. $ 990,186.48 www,westernsystems-inc.com 11122 Industry Street, Bldg. B, Everett, WA 98203 1 P:425.438.1133 The leader in providing innovative solutions, support and manufacturing for the transportation industry 64 Exhibit E Sub-consultant Cost Computations There isn't any sub-consultant participation at this time. The CONSULTANT shall not sub-contract for the performance of any work under this AGREEMENT without prior written permission of the AGENCY. Refer to section VI "Sub-Contracting" of this AGREEMENT. Agreement Number: Exhibit E-Local Agency Professional Services Lump Sum Consu dant Agreement Revised 11101/2017 Page 1 of 1 Exhibit F Title V1 Assurances During the performance of this AGREEMENT, the CONSULTANT, for itself, its assignees, and successors in interest agrees as follows: 1. Compliance with Regulations: The CONSULTANT shall comply with the Regulations relative to non- discrimination in federally assisted programs of the AGENCY, Title 49, Code of Federal Regulations, Part 21, as they may be amended from time to time (hereinafter referred to as the "REGULATIONS"), which are herein incorporated by reference and made a part of this AGREEMENT. 2. Non-discrimination: The CONSULTANT, with regard to the work performed during this AGREEMENT, shall not discriminate on the grounds of race, color, sex, or national origin in the selection and retention of sub-consultants, including procurement of materials and leases of equipment. The CONSULTANT shall not participate either directly or indirectly in the discrimination prohibited by Section 21.5 of the REGULATIONS, including employment practices when this AGREEMENT covers a program set forth in Appendix B of the REGULATIONS. 3. Solicitations for Sub-consultants, Including Procurement of Materials and Equipment: In all solicitations either by competitive bidding or negotiations made by the CONSULTANT for work to be performed under a sub-contract, including procurement of materials or leases of equipment, each potential sub- consultant or supplier shall be notified by the CONSULTANT of the CONSULTANT's obligations under this AGREEMENT and the REGULATIONS relative to non-discrimination on the grounds of race, color, sex, or national origin. 4. Information and Reports: The CONSULTANT shall provide all information and reports required by the REGULATIONS or directives issued pursuant thereto, and shall permit access to its books, records, accounts, other sources of information, and its facilities as may be determined by the AGENCY, the STATE, or the Federal Highway Administration (FHWA) to be pertinent to ascertain compliance with such REGULATIONS, orders and instructions. Where any information required of a CONSULTANT is in the exclusive possession of another who fails or refuses to furnish this information, the CONSULTANT shall so certify to the AGENCY, the STATE, or the FHWA as appropriate, and shall set forth what efforts it has made to obtain the information. 5. Sanctions for Non-compliance: In the event of the CONSULTANT's non-compliance with the non- discrimination provisions of this AGREEMENT, the AGENCY shall impose such AGREEMENT sanctions as it, the STATE, or the FHWA may determine to be appropriate, including, but not limited to: • Withholding of payments to the CONSULTANT under this AGREEMENT until the CONSULTANT complies, and/or; • Cancellation, termination, or suspension of this AGREEMENT, in whole or in part. 6. Incorporation of Provisions: The CONSULTANT shall include the provisions of paragraphs (1) through (5) in every subcontract, including procurement of materials and leases of equipment, unless exempt by the REGULATIONS, or directives issued pursuant thereto. The CONSULTANT shall take such action with respect to any sub-consultant or procurement as the STATE, the AGENCY, or FHWA may direct as a means of enforcing such provisions including sanctions for non-compliance. Provided, however, that in the event a CONSULTANT becomes involved in, or is threatened with, litigation with a sub-consultant or supplier as a result of such direction, the CONSULTANT may request the AGENCY enter into such litigation to protect the interests of the STATE and/or the AGENCY and, in addition, the CONSULTANT may request the United States enter into such litigation to protect the interests of the United States. Agreement Number: .S Exhibit F-Local Agency Professional Services Lump Sum Consutaut Agreement Revised 1110112017 Page 1 of i Exhibit G Certification Documents Exhibit G-1(a) Certification of Consultant Exhibit G-1(b) Certification of_ City of Federal Way Exhibit G-2 Certification Regarding Debarment, Suspension and Other Responsibility Matters - Primary Covered Transactions Exhibit G-3 Certification Regarding the Restrictions of the Use of Federal Funds for Lobbying Exhibit G-4 Certificate of Current Cost or Pricing Data Agreement Number: Exhibit G-Local Agency Professional Services Lump Sum Consultant Agreement Revised 11101/2017 Page 1 of 1 Exhibit G-1(a) Certification of Consultant I hereby certify that I am the and duly authorized representative of the firm of Western Systems, Inc. whose address is 1122 Industry Street Bldg B.,Everett, WA 98203 and that neither the above firm nor I have: a) Employed or retained for a commission, percentage, brokerage, contingent fee, or other consideration, any firm or person (other than a bona fide employee working solely for me or the above CONSULTANT) to solicit or secure this AGREEMENT; b) Agreed, as an express or implied condition for obtaining this contract, to employ or retain the services of any firm or person in connection with carrying out this AGREEMENT; or c) Paid, or agreed to pay, to any firm, organization or person (other than a bona fide employee working solely for me or the above CONSULTANT) any fee, contribution, donation, or consideration of any kind for, or in connection with, procuring or carrying out this AGREEMENT; except as hereby expressly stated(if any); I acknowledge that this certificate is to be furnished to the City of Federal Way and the Federal Highway Administration, U.S. Department of Transportation in connection with this AGREEMENT involving participation of Federal-aid highway funds, and is subject to applicable State and Federal laws, both criminal and civil. Western Systems, Inc. Consultant(Firm Name) Signature(Authorized Official of Consultant) Date Agreement Number: Exhibit G-Local Agency Professional Services Lump Sum Consu Cant Agreement Revised 11/Oi/2017 Page 1 of 1 Exhibit G-1(b) Certification of City of Federal Way I hereby certify that I am the: Q Mayor, Jim Ferrell ❑� Other of the City of Federal Way , and or its representative has not been required, directly or indirectly as an express or implied condition in connection with obtaining or carrying out this AGREEMENT to: a) Employ or.retain, or agree to employ to retain, any firm or person; or b) Pay, or agree to pay, to any firm, person, or organization, any fee, contribution, donation, or consideration of any kind; except as hereby expressly stated (if any): I acknowledge that this certificate is to be furnished to the WA State Dept of Transportation and the Federal Highway Administration, U.S. Department of Transportation, in connection with this AGREEMENT involving participation of Federal-aid highway funds, and is subject to applicable State and Federal laws, both criminal and civil. Signature Date Agreement Number: Exhibit G-Local Agency Professional Services Lump Sum Consu tant Agreement Revised 11/01/2017 Page 1 of 1 Exhibit G-2 Certification Regarding Debarment, Suspension and Other Responsibility Matters - Primary Covered Transactions I. The prospective primary participant certifies to the best of its knowledge and belief, that it and its principals: A. Are not presently debarred, suspended, proposed for debarment, declared ineligible, or voluntarily excluded from covered transactions by any Federal department or agency; B. Have not within a three (3) year period preceding this proposal been convicted of or had a civil judgment rendered against them for commission of fraud or a criminal offense in connection with obtaining, attempting to obtain, or performing a public (Federal, State, or local) transaction or contract under a public transaction; violation of Federal or State anti-trust statues or commission of embezzlement, theft, forgery, bribery, falsification or destruction of records, making false statements, or receiving stolen property; C. Are not presently indicted for or otherwise criminally or civilly charged by a governmental entity (Federal, State, or local) with commission of any of the offenses enumerated in paragraph (1)(b) of this certification; and D. Have not within a three (3) year period preceding this application/proposal had one or more public transactions (Federal, State and local) terminated for cause or default. 1T. Where the prospective primary participant is unable to certify to any of the statements in this certification, such prospective participant shall attach an explanation to this proposal. Western Systems, Inc. Consultant(Firm Name) Signature(Authorized Official of Consultant) Date Agreement Number: Exhibit G-Local Agency Professional Services Lump Sum Consultant Agreement Revised 11/01/2017 Page 1 of 1 Exhibit G-3 Certification Regarding the Restrictions of the Use of Federal Funds for Lobbying The prospective participant certifies, by signing and submitting this bid or proposal, to the best of his or her knowledge and belief, that: 1. No Federal appropriated funds have been paid or will be paid, by or on behalf of the undersigned, to any person for influencing or attempting to influence an officer or employee of any Federal agency, a Member of Congress, an officer or employee of Congress, or any employee of a Member of Congress in connection with the awarding of any Federal contract, the making of any Federal grant, the making of any Federal loan, the entering into of any cooperative AGREEMENT, and the extension, continuation, renewal, amendment, or modification of Federal contract, grant, loan or cooperative AGREEMENT. 2. If any funds other than Federal appropriated funds have been paid or will be paid to any person for influencing or attempting to influence an officer or employee of any Federal agency, a Member of Congress, an officer or employee of Congress, or an employee of a Member of Congress in connection with this Federal contract, grant, loan or cooperative AGREEMENT, the undersigned shall complete and submit Standard Form- LLL, "Disclosure Form to Report Lobbying," in accordance with its instructions. This certification is a material representation of fact upon which reliance was placed when this transaction was made or entered into. Submission of this certification is a prerequisite for making or entering into this transaction imposed by Section 1352, Title 31, U.S. Code. Any person who fails to file the required certification shall be subject to a civil penalty of not less than $10,000.00, and not more than $100,000.00, for each such failure. The prospective participant also agrees by submitting his or her bid or proposal that he or she shall require that the language of this certification be included in all lower tier sub-contracts, which exceed$100,000, and that all such sub-recipients shall certify and disclose accordingly. Western Systems, Inc. Consultant(Firm Name) Signature(Authorized Official of Consultant) Date Agreement Number: Exhibit G-Local Agency Professional Services Lump Sum Consultant Agreement Revised 11101/2017 Page 1 of 1 Exhibit G-4 Certificate of Current Cost or Pricing Data This is to certify that, to the best of my knowledge and belief, the cost or pricing data (as defined in section 2.101 of the Federal Acquisition Regulation (FAR) and required under FAR subsection 15.403-4) submitted, either actually or by specific identification in writing, to the Contracting Officer or to the Contracting Officer's representative in support of Citywide Adaptive Traffic Control System * are accurate, complete, and current as of June 10, 2019 **. This certification includes the cost or pricing data supporting any advance AGREEMENT's and forward pricing rate AGREEMENT's between the offer or and the Government that are part of the proposal. Firm: Western Systems, Inc. Signature Title Date of Execution***: *Identify the proposal,quotation,request for pricing adjustment,or other submission involved,giving the appropriate identifying number(e.g.project title.) **Insert the day,month,and year,when price negotiations were concluded and price AGREEMENT was reached. ***Insert the day,month,and year,of signing,which should be as close as practicable to the date when the price negotiations were concluded and the contract price was agreed to. Agreement Number: Exhibit G-Local Agency Professional Services Lump Sum Consu ant Agreement Revised 11/01/2017 Page 1 of 1 Exhibit I Alleged Consultant Design Error Procedures The purpose of this exhibit is to establish a procedure to determine if a consultant's alleged design error is of a nature that exceeds the accepted standard of care. In addition, it will establish a uniform method for the resolution and/or cost recovery procedures in those instances where the agency believes it has suffered some material damage due to the alleged error by the consultant. Step 1 Potential Consultant Design Error(s)is Identified by Agency's Project Manager At the first indication of potential consultant design error(s), the first step in the process is for the Agency's project manager to notify the Director of Public Works or Agency Engineer regarding the potential design error(s). For federally funded projects, the Region Local Programs Engineer should be informed and involved in these procedures. (Note: The Director of Public Works or Agency Engineer may appoint an agency staff person other than the project manager,who has not been as directly involved in the project, to be responsible for the remaining steps in these procedures.) Step-2 Project Manager Documents the Alleged Consultant Design Error(s) After discussion of the alleged design error(s) and the magnitude of the alleged error(s), and with the Director of Public Works or Agency Engineer's concurrence, the project manager obtains more detailed documentation than is normally required on the project. Examples include: all decisions and descriptions of work; photographs, records of labor, materials and equipment. Step 3 Contact the Consultant Regarding the Alleged Design Error(s) If it is determined that there is a need to proceed further, the next step in the process is for the project manager to contact the consultant regarding the alleged design error(s) and the magnitude of the alleged error(s). The project manager and other appropriate agency staff should represent the agency and the consultant should be represented by their project manager and any personnel (including sub-consultants) deemed appropriate for the alleged design error(s) issue. Step 4 Attempt to Resolve Alleged Design Error with Consultant After the ineeting(s)with the consultant have been completed regarding the consultant's alleged design error(s), there are three possible scenarios: • It is determined via mutual agreement that there is not a consultant design error(s). If this is the case, then the process will not proceed beyond this point. • It is determined via mutual agreement that a consultant design error(s) occurred. If this is the case, then the Director of Public Works or Agency Engineer, or their representatives,negotiate a settlement with the consultant. The settlement would be paid to the agency or the amount would be reduced from the consultant's agreement with the agency for the services on the project in which the design error took place. The agency is to provide LP, through the Region Local Programs Engineer, a summary of the settlement for review and to make adjustments, if any, as to how the settlement affects federal reimbursements. No further action is required. • There is not a mutual agreement regarding the alleged consultant design error(s). The consultant may request that the alleged design error(s) issue be forwarded to the Director of Public Works or Agency Engineer for review. If the Director of Public Works or Agency Engineer, after review with their legal counsel, is not able to reach mutual agreement with the consultant, proceed to Step 5. Agreement Number: Exhibit I-Local Agency Professional Services Lump Sum Consu tant Agreement Revised 11/01/2017 Page 1 of 2 Step 5 Forward Documents to Local Programs For federally funded projects all available information, including costs, should be forwarded through the Region Local Programs Engineer to LP for their review and consultation with the FHWA. LP will meet with representatives of the agency and the consultant to review the alleged design error(s), and attempt to find a resolution to the issue. If necessary, LP will request assistance from the Attorney General's Office for legal interpretation. LP will also identify how the alleged error(s) affects eligibility of project costs for federal reimbursement. • If mutual agreement is reached, the agency and consultant adjust the scope of work and costs to reflect the agreed upon resolution. LP, in consultation with FHWA, will identify the amount of federal participation in the agreed upon resolution of the issue. • If mutual agreement is not reached, the agency and consultant may seek settlement by arbitration or by litigation. Agreement Number: Exhibit I-Local Agency Professional Services Lump Sum Consu atnt Agreement Revised 11/0112017 Page 2 of 2 Exhibit J Consultant Claire Procedures The purpose of this exhibit is to describe a procedure regarding claim(s) on a consultant agreement. The following procedures should only be utilized on consultant claims greater than $1,000. If the consultant's claim(s) are a total of$1,000 or less, it would not be cost effective to proceed through the outlined steps. It is suggested that the Director of Public Works or Agency Engineer negotiate a fair and reasonable price for the consultant's claim(s) that total $1,000 or less. This exhibit will outline the procedures to be followed by the consultant and the agency to consider a potential claim by the consultant. Step 1 Consultant Files a Claim with the Agency Project Manager If the consultant determines that they were requested to perform additional services that were outside of the agreement's scope of work, they may be entitled to a claim. The first step that must be completed is the request for consideration of the claim to the Agency's project manager. The consultant's claim must outline the following: • Summation of hours by classification for each firm that is included in the claim; • Any correspondence that directed the consultant to perform the additional work; • Timeframe of the additional work that was outside of the project scope; • Summary of direct labor dollars, overhead costs, profit and reimbursable costs associated with the additional work; and • Explanation as to why the consultant believes the additional work was outside of the agreement scope of work. Step 2 Review by Agency Personnel Regarding the Consultant's Claim for Additional Compensation After the consultant has completed step 1, the next step in the process is to forward the request to the Agency's project manager. The project manager will review the consultant's claim and will met with the Director of Public Works or Agency Engineer to determine if the Agency agrees with the claim. If the FHWA is participating in the project's funding, forward a copy of the consultant's claim and the Agency's recommendation for federal participation in the claim to the WSDOT Local Programs through the Region Local Programs Engineer. If the claim is not eligible for federal participation, payment will need to be from agency funds. If the Agency project manager, Director of Public Works or Agency Engineer, WSDOT Local Programs (if applicable), and FHWA(if applicable) agree with the consultant's claim, send a request memo, including backup documentation to the consultant to either supplement the agreement, or create a new agreement for the claim.After the request has been approved, the Agency shall write the supplement and/or new agreement and pay the consultant the amount of the claim. Inform the consultant that the final payment for the agreement is subject to audit. No further action in needed regarding the claim procedures. If the Agency does not agree with the consultant's claim, proceed to step 3 of the procedures. Agreement Number: Exhibit J-Local Agency Professional Services Lump Sum Consultant Agreement Revised 11/01/2017 Page 1 of 2 Step 3 Preparation of Support Documentation Regarding Consultant's Claim(s) If the Agency does not agree with the consultant's claim, the project manager shall prepare a summary for the Director of Public Works or Agency Engineer that included the following: • Copy of information supplied by the consultant regarding the claim; • Agency's summation of hours by classification for each firm that should be included in the claim; • Any correspondence that directed the consultant to perform the additional work; • Agency's summary of direct labor dollars, overhead costs, profit and reimbursable costs associated with the additional work; • Explanation regarding those areas in which the Agency does/does not agree with the consultant's claim(s); • Explanation to describe what has been instituted to preclude future consultant claim(s); and • Recommendations to resolve the claim. Step 4 Director of Public Works or Agency Engineer Reviews Consultant Claim and Agency Documentation The Director of Public Works or Agency Engineer shall review and administratively approve or disapprove the claim, or portions thereof, which may include getting Agency Council or Commission approval (as appropriate to agency dispute resolution procedures). If the project involves federal participation, obtain concurrence from WSDOT Local Programs and FHWA regarding final settlement of the claim. If the claim is not eligible for federal participation, payment will need to be from agency funds. Step 5 Informing Consultant of Decision Regarding the Claim The Director of Public Works or Agency Engineer shall notify (in writing) the consultant of their final decision regarding the consultant's claim(s). Include the final dollar amount of the accepted claim(s) and rationale utilized for the decision. Step 6 Preparation of Supplement or New Agreement for the Consultant's Claim(s) The agency shall write the supplement and/or new agreement and pay the consultant the amount of the claim. Inform the consultant that the final payment for the agreement is subject to audit. Agreement Number: Exhibit J-Local Agency Professional Services Lump Sum Consu tant Agreement Revised 1110112017 Page 2 of 2 COUNCIL MEETING DATE: July 16,2019 ITEM#: CITY OF FEDERAL WAY CITY COUNCIL AGENDA BILL SUBJECT:AUTHORIZATION TO APPLY FOR TRANSPORTATION GRANT POLICY QUESTION: Should the Council authorize staff to submit a grant application for a transportation project? COMMITTEE: Land Use and Transportation Committee MEETING DATE: July 1,2019 CATEGORY: ® Consent ❑ Ordinance ❑ Public Hearing ❑ City Council Business ❑ Resolution ❑ Other STAFF REPORT BY: Rick Perez, P.E.,City Traffic Engineer ►VT DEPT: Public Works Attachments: Land Use and Transportation Committee memorandum dated July 1,2019. Options Considered: 1. Authorize staff to submit the proposed transportation grant application. 2. Do not authorize staff to submit the proposed transportation grant application and provide direction to staff. MAYOR'S RECOMMENMA N: Option 1. / MAYOR APPROVAL: 6 DIRECTOR APPROVAL: 6 f"Zd�t omrn ee C ncnitialrDate Ina.i I)Me InitiaVDwe COMMITTEE RECOMMENDA"PION: `I move to forward Option 1 to the July 16, 2019 Council consent agenda for approval." Mark Koppang,Committee Chair Jesse Johnson Committee Member Hoang Tran,Committee member PROPOSED COUNCIL MOTION: "I move to authorize staff to submit the proposed transportation grant application." OMMUMMUMN (BELOW TO BE COMPLETED BY CITY CLERKS OFFICE) COUNCIL ACTION: ❑ APPROVED COUNCIL BILL# ❑ DENIED IST reading ❑ TABLED/DEFERRED/NO ACTION Enactment reading ❑ MOVED TO SECOND READING(ordinances only) ORDINANCE# REVISED—12/2017 RESOLUTION# 77 CITY OF FEDERAL WAY MEMORANDUM DATE: July 1, 2019 TO: Land Use&Transportation Committee VIA: Jim Ferrell,Mayor FROM: EJ Walsh,P.E., Public Works Director Rick Perez, P.E., City Traffic Engineer SUBJECT: Authorization to Apply for Transportation Grant FINANCIAL IMPACTS: This project would require the City to provide $1,000,000 in match towards the grant. The required City match for this grant will be provided from the Real Estate Excise Tax and Traffic Impact Fees. Operational expenses include small increases for additional street lighting and landscaping, which would be addressed in future operating budgets upon completion of the project in 2022. BACKGROUND: This memorandum provides the Council with the current status of new grant funding programs for transportation improvement projects. Staff has evaluated all projects listed on the City's current and draft Transportation Improvement Plan (TIP) and concluded that the following project will likely be competitive in the 2019 Transportation Improvement Board funding cycle. Project(Funding Phase) Estimated Project Cost Possible Grant Funds Required City Grant Match SR 99 @ S 373"" Street—Roundabout and Access Management (Design,Right-of-Way, and Construction) TIB Urban Arterial Program $2,500,000 $1,500,000 $1,000,000 (State Funds) 78 COUNCIL MEETING DATE: July 16,2019 ITEM#: CITY OF FEDERAL WAY CITY COUNCIL AGENDA BILL SUBJECT: SOLID WASTE COLLECTION SERVICES-CONTRACT AWARD POLICY QUESTION: Should the City Council authorize the Mayor to finalize and execute a contract with Waste Management of Washington, Inc. for collection of garbage, recyclables, and compostables? COMMITTEE:LAND USE AND TRANSPORTATION MEETING DATE: 7/1/2019 CATEGORY: ® Consent ❑ Ordinance ❑ Public Hearing ❑ City Council Business ❑ Resolution ❑ Other STAFF REPORT BY: Rob Van Orsow, Solid Waste& Recycling Cao d- Pte' Attachments: Memorandum to Land Use& Transportation Coml'ittee Comprehensive Garbage,Recyclables, and Compostables Collection Services Contract Options Considered: 1. Authorize the Mayor to finalize and execute a contract with Waste Management of Washington, Inc. for collection of garbage,recyclables, and compostables. 2. Do not authorize entering into a contract with Waste Management of Washington,Inc. and provide direction to staff. MAYOR'S RECOMMENDATION: The Mayor recommends forwarding Option 1 to the July 16, 2019 City Council Consent Agenda for approval. rr MAYOR APPROVAL: 39.r-, (p Zb UG b DIRECTOR APPROVAL: � (v Z"i committee Council Initial/Date Initial/Date Initial/Date COMMITTEE RECOMMENDATION:1 move to forward Option I to the July 16, 2019 consent agenda for approval. Committee Chair Committee Member Committee Member PROPOSED COUNCIL MOTION: "I move approval to authorize the Mayor to finalize and execute a contract with Waste Management of Washington, Inc.for collection ofgarbage, recyclables, and compostables. " (BELOW TO BE COMPLETED BY CITY CLERK'S OFFICE) COUNCIL ACTION: ❑ APPROVED COUNCIL BILL# ❑ DENIED First reading ❑ TABLED/DEFERRED/NO ACTION Enactment reading ❑ MOVED TO SECOND READING(ordinances only) ORDINANCE# REVISED—4/2019 RESOLUTION# 79 CITY OF FEDERAL WAY MEMORANDUM DATE: July 1, 2019 TO: Land Use &Transportation Committee VIA: Jim Ferrell,Mayor FROM: EJ Walsh, P.E., Public Works Director Rob Van Orsow, Solid Waste & Recyclin Coordinatoiz:::;1 Vim,,.. S�-ti q--►-� SUBJECT: SOLID WASTE COLLECTION SER VICES-CONTRACT AWARD FINANCIAL IMPACTS The City of Federal Way is conducting a procurement process for the next Solid Waste Collection Services Contract. The review process has determined that Waste Management of Washington, Inc. is the lowest cost, responsive, responsible proponent. Pending City Council's direction, a contract would be awarded to the proponent resulting in ratepayer costs totaling approximately$16M in the first year. BACKGROUND The City of Federal Way has contracted with Waste Management of Washington, Inc. (WM) for the collection of residential and commercial solid waste since 1999.This current contract expires August 31, 2020. The City has not undergone a competitive solid waste contract procurement since 2001. WM was the successful bidder in the 2001 process. In preparation for procuring a new contract, the City Council adopted Council Resolution 18-740 in August 2018, directing preparation of a competitive Request for Proposals(RFP)process to procure the City's next solid waste collection contract. At the October 16, 2018 Special City Council Meeting,the City Council reviewed results from a garbage and recycling service preferences survey conducted in September 2018. Then, at the November 20,2018 City Council Meeting,the City Council authorized release of an RFP to solicit these services,including seeking pricing on various service alternatives to allow the City flexibility to determine how these alternatives impact rates. City Council authorization launched the"Industry Review Process" wherein area hauling companies were asked to provide input on the draft services contract and the draft proposal instructions.The results were incorporated, as appropriate, throughout the base contract and into the final RFP,which was released January 22, 2019. Three addenda followed,responding to further proponent questions and clarifying data on system tonnages and customer counts. On April 15, 2019, three proposals were received in response to the RFP. Recology, Republic, and Waste Management submitted proposals, all of which were determined to be responsive. PROPOSAL EVALUATION PROCESS Throughout the process of preparing contract documents, evaluating and incorporating proponent comments and evaluating proposals, participating City staff observed the following principles: • Ensure compliance with purchasing procedures, and follow City Council directions related to the proposal process 80 July 1,2019 T and T Ise and Transportation Committee Award of Contract—Solid Waste Collection Services Page 2 • Encourage participation by potential proponents, incorporating process integrity, fairness, and transparency throughout the process • Attain optimal services and value for Federal Way's residents and businesses, and • Support policies established in the King County Comprehensive Solid Waste Management Plan. Per the City Council authorized 1 P,the proposals were evaluated based upon pricing(60 points) and qualitative elements (40 points). The 60:40 split recognizes the importance of cost while acknowledging qualitative elements (such as customer service) are also important to ratepayers. However, the overarching goal is to seek quality service at the best price for Federal Way ratepayers. Quantitative Evaluation(60 Points): Quantitative evaluation of proposed service rates was completed by the City's consultant, with scoring based on the proponents' proposed fees for providing the services as specified in the base contract. Scoring appears as "Service Fee Evaluation" in Table 1. Qualitative Evaluation(40 Points): Qualitative evaluation was completed by two separate City staff teams. The first team reviewed and scored the written proposals, while the second team conducted site visits of proponent facilities and also conducted interviews with proponent representatives. Qualitative scor:nb appears yn"Propnsal Evaluation"and"Interview& Site Visits" in Table 1. CONTRACT EXCEPTIONS AND ERRATA The City made inquiries seeking to clarify two of the proposals: • Recology was asked to assign dollar amounts to their declared contract exceptions to allow their proposed rates to be compared on equal terms with the other two proponents. • Republic was asked about their proposal's assigumeut of a negative value per aggregate toil of processed recyclable material, and Republic confirmed that was their intention. Neither of these clarifications involves dollars amounts large enough to change the Service Fee Evaluation ranking for the three proponents. SCORING SUMMARY The following table includes highlights showing the highest score for each evaluation element. The highest overall scnre results in the recommendation to award the contract to Waste Management of Washington, Inc. as lowest cost responsive, responsible proponent. Table 1 -Proponent Scores Element Weight Recology Republic Waste Management Service Fee Evaluation 60% 56.9 55.6 60.0 Proposal Evaluation 35% 30.1 18.2 28.0 Interview & Site Visits 1 5% 4.3 3.0 3.8 WEIGHTED TOTAL 1 100% 1 91.3 1 76.8 91.8 Based on the overall scoring, the Mayor directed contract finalization discussions to ensure that additional services specified in WM's proposal would be set via the contract. The result is the attached draft contract. 81 July 1,2019 Land Use and Transportation Committee Award of Contract—Solid Waste Collection Services Page 3 HIGHLIGHTS OF THE NEW CONTRACT AND SERVICES • All new carts for garbage, recycling, and compostables collection services, with updated decals/embossing • One no-cost annual bulky waste collection per single-family resident(modeled after Tacoma's "Call-2-Haul"program) • Set lower fees for bulky item collection(augmenting the annual bulky waste collection) • Set pricing for contractor services for public area litter cans (fee-based) • Set flat fee for Event Services(Cart-based services provided for all three"wastestreams" - garbage, recyclables, and compostables) • Recycling market price changes reflected in future rate adjustments and itemized on customer bills—at contract start,the recycling commodity credit is set at$1.00/month per residence • No-cost supplementary storm debris collection(for yard waste subscribers) following City- declared events • Transition to fully-automated residential collection services(all regular services utilize wheeled carts), increasing collection efficiency and reducing the cost of services • Shifting the City's administrative fee to a percentage of revenues rather than a flat rate BENEFITS SPECIFIC TO WASTE MANAGEMENT'S PROPOSAL Early service enhancements and programs(starting September 1,2019) • A Federal Way-only Customer Service Team(Four dedicated staff. two supervisors plus two floor leads)to oversee Federal Way customer calls.These staff will have extensive local knowledge and ease the transition to Federal Way's new Dedicated Call Queue(accessed via the City's original garbage service phone number: 253-833-3333). The Dedicated Call Queue will allow tracking of speed to answer and hold time data specifically for Federal Way. The Queue will also feature a Federal Way-focused greeting. • Extended Saturday Customer Service Center Hours (8 a.m. to 5 p.m.). • 0.4 FTE dedicated Education and Outreach Staff, locally based at WM's operations yard in Auburn, to augment City outreach and service compliance efforts. Additional Proposed Service enhancements(coinciding with the new contract starting September, 2020) • All new fleet of"Smart Trucks"(designed to scan set-outs for compliance during collection— helping focus outreach to customers as needed) featuring"Near Zero" emissions engines powered by renewable natural gas-powered engines • Annual small-scale Recycling Collection Events targeting specific hard to recycle items (details TBD) • Installation and ongoing servicing for six litter compactors (these trash cans self-monitor and send data to the contractor whenever emptying is required). Litter compactors will be installed in City-specified high pedestrian traffic locations in the first year of the new contract. • Transition to"wage parity" for route drivers (recyclables, compostables, and garbage drivers will be compensated on the same scale) • Several new education and outreach programs, to be developed and implemented in collaboration with the City • Setting benchmarks to evaluate the effectiveness of outreach and services, to inform future outreach and create more impactful programs 82 July 1,2019 Land Use and Transportation Committee Award of Contract—Solid Waste Collection Services Page 4 SERVICE ALTERNATIVES The RFP included nine service alternatives for proponents to cost-out.This allowed the City to test the competitive market for cost-effective options to better serve ratepayers.Five alternatives were rejected outright, due to higher costs or lack of compelling benefits,including: • Allowing the hauler to use older collection trucks at contract start(would not reduce rates) • Establishing a `billing agent' system to accrue revenues via a Utility Fund(not cost-effective) • Two substitute annual rate escalators("buying down" initial rates would result in excessive rate increases in later years) • Adding the cost of unlimited commercial recycling services into rates(not cost-effective in this procurement scenario) The"base contract"(included in the RFP) included three residential service enhancements based on feedback from the survey and City Council,while three matching service alternatives were added to allow reversing the enhancements. These three service improvements included: • Shifting subscription-based compostables collection to"embedded"so this service is provided to all single-family customers as part of their garbage service • Shining from quarterly to monthly invoicing • Shifting from every-other-week to weekly curbside recycling collection The matching alternatives show that reversing these service improvements means significant savings, reducing garbage rates by almost 19% for single-family customers, so staff recommends accepting the three alternatives and reversing these service enhancements.The attached contract and rates have been revised based on acceptance of these alternatives. The ninth alternative tested the cost of mandatory sign-up for residential garbage collection. If the City were to adopt changes to Federal Way Revised Code(FWRC)requiring all single-family residents to enroll in garbage collection services, it would increase residential service rates under the new contract. The initial cost per residence would be$5.64 per year.This higher cost is due in part to increased bad debt for services provided to residents who neglect to pay. Mandatory service sign-up does not mitigate for issues such as illegal dumping of bulky items and roadside litter.For example: Tacoma,Auburn, and Seattle all have mandatory service sign-ups, but still have to operate litter control programs to manage illegal dumping.Due to the resulting rate increase but limited impact on dumping issues, staff recommends rejection of this alternative. The attached contract and rates are based on the rejection of the mandatory service sign-up alternative. COMMERCIAL AND RESIDENTIAL RATES Annual rate adjustments will occur automatically beginning January 1, 2021, sixteen months into the new contract.The rate change process is similar to the current contract which consists of two elements:the cost for service(operational costs), and the cost for disposal. Inflation changes will apply only to the "service"component of rates.The"disposal"component of rates only changes when King County sets tipping fees for garbage disposal. New to this contract is a`commodity credit' reflecting the value of the mix of materials that ratepayers recycle. The commodity credit adjusts annually based on an independent published market index.The credit will be applied to customer rates prior to calculation of any fees or taxes. 83 July 1, 2019 Land Use and Transportation Committee Award of Contract-Solid Waste Collection Services Page 5 Commercial Rates: Under the new contract,nonresidential rates are equalized,meaning multi-family and commercial rates will be the same. Since both customer types will continue to receive the benefit of various `no-cost' recycling services, this rate equalization is reasonable and will simplify billing(for example in the case of `mixed use' properties). These retail rates would come into effect September 1, 2020. Table 2-Monthly Commercial and Multi-Family Service Rates (Effective 9/1/2020-12/31/2021) .ei., 1 cubic yard, lx/week Commercial: $99.05Multi-Famil : $115.99 $117.08 2 cubic yard, Ix/week Commercial: $166.45 $196.77 Multi-Family: $205.09 4 cubic yard, 1 x/week Commercial: $295.60 $349.45 Multi-Family: $348.16 Drop Box-20 yard uncompacted(per haul) Commercial: $221.50 $288.49 (including monthly rent) Multi-Family: $268.53 Compactor-20 cubic yard(per haul) Commercial: $210.32 $248.63 Multi-Family: $256.55 Residential Rates: Under the new contract per the alternatives above, the following retail rates would come into effect September 1, 2020. Existing rates are included for comparison.These new rates include all the benefits and added services built into the new contract, and assume that the City Council concurs with accepting three alternatives and rejecting one alternative as outlined above. Table 3-Monthly Residential Service Rates (Effective 9/1/2020-12/31/2021){}�y+ { ;ac ad {p1 s, 32-gallon Garbage Can(1x/month) $7.84 $ 9.83 10-gallon Garbage Micro-can(Discontinuing) $8.05 20-gallon Garbage Cart $11.87 $ 15.32 32-gallon Garbage Can (Discontinuing) $19.44 $ 20.41 35-gallon Garbage Cart $21.62 64-gallon Garbage Cart $29.54 $ 30.32 96-gallon Garbage Cart $39.65 $45.16 96-gallon Yard Waste Cart $11.36 $ 11.96 SUMMARY Staff recommends that the City Council vote to award the Solid Waste Collection Services Contract resulting from the RFP and proposal evaluation process to Waste Management of Washington, Inc. In doing so,the City Council would approve the following actions: • Authorize the Mayor to finalize and enter into a new contract with Waste Management of Washington, Inc. the lowest cost, responsive, responsible proponent. 84 July 1,2019 Land Use and Transportation Committee Award of Contract—Solid Waste Collection Services Page 6 • Accept proponent alternatives that maintain current general single-family residential services levels at slightly lower rates,per the City Council's determination this is the appropriate single- family residential service level. • Maintain"subscription based" service sign-ups (reject the proponent alternative for an additional fee to support Mandatory Collection Service sign-ups). 85 DRAFT COMPREHENSIVE GARBAGE, RECYCLABLES, AND COMPOSTABLES COLLECTION SERVICES CONTRACT City of Federal Way and Waste Management of Washington, Inc. September 1, 2020 — September 30, 2030 CITY OF :µ mFederal W Centored oii Opportuniiy y 86 Comprehensive Garbage, Recyclables, and Compostables Collection Services Contract Table of Contents RECITALS..................................................................................................................................................................1 AGREEMENT............................................................................................................................................................1 1. DEFINITIONS........................................................................................................................................................1 2.TERM OF CONTRACT............................................................................................................................................6 3.CONTRACTOR REPRESENTATIONS AND WARRANTIES.........................................................................................6 4. SCOPE OF WORK..................................................................................................................................................7 4.1 GENERAL COLLECTION SYSTEM REQUIREMENTS..............................................................................................................7 4.1.1 Service Area.................................................................................................................................................. 7 4.1.2 Service to Residences on Private Roads and Driveways............................................................................... 7 4.1.3 Hours/Days of Collection..............................................................................................................................8 4.1.4 Employee Conduct........................................................................................................................................8 4.1.5 Disabled Persons Service..............................................................................................................................9 4.1.6 Holiday Schedules.........................................................................................................................................9 4.1.7 Inclement Weather.......................................................................................................................................9 4.1.8 Suspending Collection from Problem Customers........................................................................................10 4.1.9 Missed Collections........................................................................... 4.1.10 Some Day Collection.................................................................................................................................11 4.1.11 Requirement to Recycle and Compost and Quality Assurance.................................................................11 4.1.12 Routing, Notification,and Approval.........................................................................................................12 4.1.13 Vehicle and EquipmentType/Age/Condition/Use....................................................................................13 4.1.14 Container Requirements and Ownership..................................................................................................14 4.1.14.1 Garbage,Recyclables,and Compostables Carts................................................................................................15 4.1.14.2 Detachable Containers and Drop-box Containers.............................................................................................15 4.1.14.3 Ownership..........................................................................................................................................................16 4.1.14.4 Container Calors and Labeling...........................................................................................................................17 4.1.14.5 Container Weights..............................................................................................................................................18 4.1.14.6 Container Removal Upon City or Customer Request........................................................................................18 4.1.15 Inventory of Vehicles and Facilities..........................................................................................................18 4.1.16 Spillage and Leakage of Vehicle Contents................................................................................................18 4.1.17 Disruption Due to Construction................................................................................................................19 4.1.18 Contractor Labor Negotiations,Strike Contingency Planning,and Performance During Labor Disruption .............................................................................................................................................................................19 4.1.19 Site Planning and Building Design Review................................................................................................21 4.1.20 Safeguarding Public and Private Facilities................................................................................................22 4.1.21 Transition and Implementation of Contract.............................................................................................22 4.1.22 Performance Review.................................................................................................................................23 4.1.23 Continual Monitoring and Evaluation of Operations...............................................................................23 4.1.24 Collection/Disposal Restrictions...............................................................................................................24 4.1.25 Emergency Response................................................................................................................................25 4.1.26 Early Implementation...............................................................................................................................25 4.2 COLLECTION SERVICES..............................................................................................................................................25 4.2.1 Single-Family Residence Garbage Collection..............................................................................................25 4.2.1.1 Subject Materials.................................................................................................................................................25 4.2.1.2 Containers............................................................................................................................................................26 4.2.1.3 Specific Collection Requirements........................................................................................................................26 4.2.2 Single-Family Residence Recyclables Collection.........................................................................................27 4.2.2.1 Recyclable Materials............................................................................................................................................27 4.2.2.2 Containers............................................................................................................................................................27 City of Federal Way ii July,2019 Comprehensive Garbage,Recyclables,and Compostable§collection Contract Comprehensive Garbage, Recyclables, and Compostables Collection Services Contract Table of Contents 4.2.2.3 Specific Collection Requirements........................................................................................................................27 4.2.3 Single-Family Residence Compostables Collection.....................................................................................28 4.2.3.5 Subject Materials.................................................................................................................................................28 4.2.3.2 Containers ................................................................................................................28 4.2.3.3 Specific Collection Requirements........................................................................................................................28 4.2.4 Multifamily Complex and Commercial Customer Garbage Collection.......................................................29 4.2.4.1 Subject Materials.................................................................................................................................................29 4.2.4.2 Containers............................................................................................................................................................29 4.2.4.3 Specific Collection Requirements........................................................................................................................30 4.2.5 Multifamily Complex and Commercial Recyclables Collection...................................................................30 4.2.5.1 Subject Materials.................................................................................................................................................30 4.2.5.2 Containers............................................................................................................................................................30 4.2.5.3 Specific Collection Requirements........................................................................................................................31 4.2.6 Multifamily Complex and Commercial Customer Compostables Collection...............................................31 4.2.6.1 Subject Materials.................................................................................................................................................31 4.2.6.2 Containers............................................................................................................................................................32 4.2.6.3 Specific Collection Requirements........................................................................................................................32 4.2.7 Drop-Box Container Garbage Collection....................................................................................................32 4.2.7.1 Subject Materials.................................................................................................................................................32 4.2.7.2 Containers............................................................................................................................................................32 4.2.7.3 Specific Collection Requirements........................................................................................................................32 4.2.8 Temporary(Non-Special Event)Container Customers...............................................................................33 4.2.9 Special Event Services.................................................................................................................................33 4.2.10 City Services..............................................................................................................................................33 4.2.11 Community Events....................................................................................................................................36 4.2.12 On-call Bulky Waste Collection.................................................................................................................36 4.2.13 Excluded Services......................................................................................................................................37 4.3 COLLECTION SUPPORT AND MANAGEMENT......................................................................................................37 4.3.1 General Customer Service........................................................ _..............................................................37 4.3.2 Specific Customer Service Requirements....................................................................................................37 4.3.2.1 Customer Service Representative Staffing..........................................................................................................38 4.3.2.2 City Access to Contractor's Customer Service information.................................................................................38 4.3.2.3 Service Recipient Complaints and Corrective Requests......................................................................................39 4.3.2.4 Handling of Customer Calls..............................-........................ ...................................... .............................39 4.3.2.5 Corrective Measures............................................................................................................................................39 4.3.2.6 Contractor Internet Website................................................................................................................................40 4.3.2.7 Full Knowledge of Garbage,Recyclables,and Compostables Programs Required.............................................40 4.3.2.8 Customer Communications..................................................................................................................................41 4.3.3 Contractor's Customer Billing Responsibilities...........................................................................................41 4.3.4 Reporting....................................................................................................................................................43 4.3.4.1 Monthly Reports..................................................................................................................................................43 4.3.4.2 Annual Reports.....................................................................................................................................................45 4.3.4.3 Ad Hoc Reports.....................................................................................................................................................45 4.3.4.4 Other Reports.......................................................................................................................................................46 4.3.5 Promotion and Education...........................................................................................................................46 5.COMPENSATION................................................................................................................................................48 5.1 COMPENSATION TO THE CONTRACTOR........................................................................................................................48 5.2 COMPENSATION TO THE CITY.....................................................................................................................................49 5.3 COMPENSATION ADJUSTMENTS.................................................................................................................................50 5.3.1 Annual CPI Service Component Modification.............................................................................................50 5.3.2 Changes in Disposal Fees............................................................................................................................51 5.3.3 Changes in Disposal or Compostables Processing Sites..............................................................................51 City of Federal Way iii July,2019 Comprehensive Garbage,Recyclables,and CompostableHCollection Contract Comprehensive Garbage, Recyclables, and Compostables Collection Services Contract Table of Contents 5.3.4 Recycling Market Adjustments...................................................................................................................52 5.3.5 New or Changes in Existing Taxes..............................................................................................................52 5.4 CHANGE IN LAW.................................................................................................................................. ..53 6. FAILURE TO PERFORM, REMEDIES,TERMINATION.............................................................................................53 6.1 PERFORMANCE FEES................................................................................................................................................53 6.2 CONTRACT DEFAULT................................................................................................................................................56 7. NOTICES...........................................................................................................,.................................................57 8.GENERAL TERMS................................................................................................................................................58 8.1 COLLECTION RIGHT..................................................................................................................................................58 8.2 ACCESS TO RECORDS................................................................................................................................................58 8.3 INSURANCE............................................................................................................................................................59 8.3.1 Minimum Scope of Insurance.....................................................................................................................59 8.3.2 Minimum Amounts ofInsurance................................................................................................................60 8.3.3 Other Insurance Provisions.........................................................................................................................60 8.3.4 Acceptability of Insurers.....................................................................................».......................................61 8.3.5 Verification of Coverage.............................................................................................................................61 8.3.6 Subcontractors........................................................................................................................................... 61 8.4 PERFORMANCE BOND....................................................................................................... ..61 8.5 INDEMNIFICATION...................................................................................................................................................61 8.5.1 Defend, Indemnify and Hold Harmless.......................................................................................................61 8.5.2 Process........................................................................................................................................................62 8.6 CONFIDENTIALITY OF INFORMATION............................................................................................................................63 8.7 ASSIGNMENT OF CONTRACT......................................................................................................................................63 8.7.1 Assignment or Pledge of Money by the Contractor....................................................................................63 8.7.2 Assignment,Subcontracting, Delegation of Duties.................................................................................... 63 8.7.3 CHANGE OF TRADE NAME......................................................................................................................................64 8.8 LAWS TO GOVERN/VENUE........................................................................................................................................64 8.9 COMPLIANCE WITH APPLICABLE LAWS AND REGULATIONS...............................................................................................64 8.10 PERMITS AND LICENSES..........................................................................................................................................65 8.11 RELATIONSHIP OF PARTIES......................................................................................................................................65 8.12 CONTRACTORS RELATIONSHIP WITH CUSTOMERS.......................................................................................................65 8.13 BANKRUPTCY........................................................................................................................................................65 8.14 RIGHTTO RENEGOTIATE/AMEND.............................................................................................................................65 8.15 FORCE MAJEURE...................................................................................................................................................66 8.16SEVERABILITY........................................................................................................................................................66 8.17 WAIVER..............................................................................................................................................................67 8.18 INCORPORATION OF CONTRACTORS PROPOSAL IN RESPONSE TO CITY'S RFP....................................................................67 8.19 DISPUTE RESOLUTION............................................................................................................................................67 8.20 ENTIRETY.............................................................................................................................................................67 EXHIBITS: EXHIBIT A:Service Area EXHIBIT B: Early Start of Service Support EXHIBIT C: Recyclables List EXHIBIT D: Service Support Resource Levels City of Federal Way iv July,2019 Comprehensive Garbage,Recyclables,and CompostableMilection Contract Comprehensive Garbage, Recyclables, and Compostables Collection Services Contract Table of Contents EXHIBIT E: Contractor Rates EXHIBIT F: Rate Modification Example EXHIBIT G: Commodity Value Calculation City of Federal Way v July,2019 Comprehensive Garbage,Recyclables,and CompostableRollection Contract This Comprehensive Garbage, Recyclables, and Compostables Collection Services Contract (hereafter, "Contract"), passed by the Federal Way City Council at its regular meeting on the day of 2019.This Contract is made and entered into this day of , 2019 (hereafter the "Date of Execution"), by and between the City of Federal Way, a municipal corporation (hereafter "City"), and Waste Management of Washington, Inc. (hereafter"Contractor"). RECITALS WHEREAS, the City has conducted a competitive process to select a contractor to provide Garbage, Recyclables, and Compostables collection services to all residents, businesses, and institutions located within the Service Area; and WHEREAS, the Contractor, having participated in the competitive process, acknowledges that the City conducted a thorough and exhaustive competitive process; and WHEREAS, the Contractor, having participated in the competitive process, acknowledges that the City had the right at any time during the process to reject any or all of the competitors, regardless of their proposals or prices; and WHEREAS, having completed the competitive process, the City has selected the best candidate to provide the services outlined in the competitive process; and WHEREAS, the Contractor represents and warrants that it has the experience, resources, and expertise necessary to perform the services as requested in the competitive process; and WHEREAS,the City desires to enter into this Contract with the Contractor for the services outlined in the competitive process and included below; NOW, THEREFORE, in consideration of the mutual covenants, agreements, and promises herein contained,the City and Contractor do agree as follows: AGREEMENT 1. DEFINITIONS The following definitions apply to terms used in this Contract: Bulky Waste: Discrete items of Garbage of a size or shape that precludes collection in regular collection containers. Bulky Waste includes: large appliances (such as refrigerators, freezers, stoves, dishwashers, clothes washing machines or dryers), water heaters, furniture (such as chairs or sofas), televisions, mattresses, and other similar large items placed at the Curb as discrete separate items. Bulky Waste does not include piles of debris, car parts, construction or demolition debris, any item that would be considered Hazardous Waste,or stumps. City of Federal Way 1 July,2019 Comprehensive Garbage, Recyclables,and Compostables Collection Contract 91 Can:A Customer-owned Container that is a water-tight, galvanized sheet-metal or plastic container, not exceeding four (4) cubic feet or thirty-two (32) gallons in capacity; fitted with two (2) sturdy looped handles, one on each side; and fitted with a tight cover equipped with a handle. Cart: A Contractor-provided 20-, 35, 64-, or 96-gallon wheeled Container with attached lid suitable for collection, storage, and Curbside placement of Garbage, Recyclables, or Compostables. Cart size variations up to ten percent (10%) are allowable with prior written permission from the City. Carts shall be rodent and insect resistant. Change of Control: The term "Change of Control" means any single transaction or series of related transactions by which the beneficial ownership of more than fifty percent (50%) of the voting securities of the Contractor is acquired by a person or entity, or by a related or affiliated group of persons or entities, who as of the effective date of the Contract do not have such a beneficial interest; provided, however, that intra-company transfers, such as transfers between different subsidiaries or branches of the parent corporation of the Contractor, or transfers to corporations, limited partnerships, or any other entity owned or controlled by the Contractor upon the effective date of the Contract, and transactions effected on any securities exchange registered with the U.S. Securities and Exchange Commission, shall not constitute a Change in Control. City: The word "City" means the City of Federal Way, in King County, Washington. As used in the Contract, use of the term "City" may include reference to the Mayor or his/her designated representative(s). Where the context makes it apparent, references to staff, streets, rights-of-way, activities and things refer to the staff, streets, rights-of-way and activities of the City, and things belonging to or located within the City. Commercial Customer: Non-Residential Customers, including businesses, institutions, governmental agencies, and all other users of commercial-type Garbage collection services. Compostables: Any organic waste material that is Source-separated for processing or composting, such as Yard Debris and Food Scraps generated by any Residential or Commercial customers. Contamination Reduction Plan: The plan developed by the Contractor and annually approved by the City to address contamination in Recyclables and Compostables placed in Customers' Containers. Contamination includes improperly prepared Recyclables and/or Compostables, materials that cannot be recycled or composted, and excessive moisture. Contractor: Waste Management of Washington, Inc., which has contracted with the City to provide all Services identified in this Contract, including, but not limited to, collecting, transporting, and disposing of Garbage and collecting, processing, marketing, and transporting Recyclables and Compostables. Container: Any Can, Cart, Detachable Container, or Drop-box Container used in the performance of this Contract. Contract: Refers to this contract for comprehensive Garbage, Recyclables, and Compostable collection services. Contract Term: Refers to the term of this Contract as provided for in Section 2. City of Federal Way 2 July,2019 Comprehensive Garbage, Recyclables,and Compostables Collection Contract 92 County: King County in Washington State. Curb or Curbside: Refers to the Customers' property, within five (5) feet of the Public Street or Private Road (or on the sidewalk without completely obstructing the sidewalk, if there is no Customer property within five (5) feet of the Public Street or Private Road) without blocking driveways or on-street parking. If extraordinary circumstances preclude such a location, Curbside shall be considered a placement suitable to the Customer, convenient to the Contractor's equipment, and mutually agreed to by the City and Contractor. Customer:All account-holders and users of the Contractor's services within the City. Date of Commencement of Service: September 1, 2020, which is the date that the Contractor agrees to commence the provision of Services as described throughout this Contract, notwithstanding the early service improvements referenced in Section 4.3 and Exhibit B. Date of Execution:The date that this Contract is executed by all signatories. Day/Days:Calendar days unless otherwise specified. Detachable Container: A watertight metal or plastic container equipped with a tight-fitting cover, capable of being mechanically unloaded into a collection vehicle, and that is not less than one (1) cubic yard or greater than eight (8) cubic yards in capacity. Driveway: A privately-owned and maintained way that connects a Single-Family Residence or parking area/garage/carport with a Private Road or Public Street. Drop-box Container: An all-metal loose material or compactor container with ten (10) cubic yards or more capacity that is loaded onto a specialized collection vehicle. Environmental Law:Any applicable federal, state, or local statute, code, or ordinance or federal or state administrative rule, regulation, ordinance, order, decree, or other governmental authority as now or at any time hereafter in effect pertaining to the protection of human health or the environment Extra Unit: Excess material that does not fit in the Customer's primary Container. In the case of Garbage and Compostables Cart services, an Extra Unit is 32-gallons and may be contained in either a plastic bag or Can. In the case of Garbage Containers one (1) cubic yard or more in capacity, an Extra Unit is 96- gallons. Food Scraps: All compostable pre- and post-consumer food waste, such as whole or partial pieces of produce, meats, bones, cheese, bread, cereals, coffee grounds, or egg shells, and food-soiled paper, such as paper napkins, paper towels, paper plates, coffee filters, paper take-out boxes, pizza boxes, or other paper products accepted by the Contractor's selected composting site. Food Scraps shall not include dead animals, plastics, diapers, cat litter, liquid wastes, ashes, pet wastes, or other materials prohibited by the selected composting facility. The range of materials handled by the Compostables collection program may be changed from time to time upon the mutual agreement of the Parties to City of Federal Way 3 July,2019 Comprehensive Garbage,Recyclables,and Compostables Collection Contract 93 reflect those materials allowed by the jurisdictional health department for the frequency of collection provided by the Contractor. Garbage: All putrescible and non-putrescible solid and semi-solid wastes, including, but not limited to, rubbish, ashes, industrial wastes, swill, demolition and construction wastes, dead small animals completely wrapped in plastic and weighing less than fifteen (15) pounds, and discarded commodities that are placed by Customers in appropriate Containers, bags, or other receptacles for collection and disposal by the Contractor. Needles or "sharps" used for the administration of medication can be included in the definition of"Garbage," provided that they are placed within a sealed, secure container as agreed upon by the City and the Contractor and this handling is consistent with current County sharps policy. The term "Garbage" shall not include Hazardous Wastes, Source-separated recyclable materials, or Source-separated Compostables. Hazardous Waste: Any hazardous, toxic, or dangerous waste, or material, or contaminant, pollutant, or chemical, known or unknown, defined or identified as such in any existing or future local, state, or federal law, statute, code, ordinance, rule, regulation, guideline, decree, or order relating to human health or the environment or environmental conditions, including but not limited to any substance that is: A. Defined as hazardous by 40 C.F.R. Part 261.3 and regulated as hazardous waste by the United States Environmental Protection Agency under Subtitle C of the Resource Conservation and Recovery Act ("RCRA")of 1976, 42 U.S.C. § 6901 et seq., as amended by the Hazardous and Solid Waste Amendments ("HSWA") of 1984; the Toxic Substances Control Act, 15 U.S.C. § 2601 et seq., as may be amended; or any other federal statute or regulation governing the treatment, storage, handling, or disposal of waste imposing special handling or disposal requirements similar to those required by Subtitle C of RCRA; B. Defined as dangerous or extremely hazardous by WAC 173-303-040, as may be amended, and regulated as dangerous waste or extremely hazardous waste by the Washington State Department of Ecology under the State Hazardous Waste Management Act, Chapter 70.105 RCW, or any other Washington State statute, regulation or rule governing the treatment, storage, handling, or disposal of wastes and imposing special handling requirements similar to those required by Chapter 70.105 RCW; and C. Any substance that comes within the scope of this definition as determined by the City after the Date of Execution of this Contract. Any substance that ceases to fall within this definition as determined by the City after the Date of Execution of this Contract shall not be deemed to be Hazardous Waste. King County Disposal System: The facilities owned, leased, or controlled by King County, Washington for the disposal of Garbage, or such other site as may be authorized by the current King County Comprehensive Solid Waste Management Plan and the Interlocal Agreement between the City and King County. Mixed-Use Building: A structure inhabited by both Residential and Commercial Customers. City of Federal Way 4 July,2019 Comprehensive Garbage,Recyclables,and Compostables Collection Contract 94 Multifamily Complex: A multiple-unit Residence with four(4) or more attached or unattached dwellings billed collectively for collection service. Office Hours: The hours of 8:00 a.m. through 5:00 p.m., Pacific Standard Time, Monday through Friday except for the holiday schedule specified in Section 4.1.6. On-call: The provision of specified services only upon direct telephone, written, or e-mailed request of the Customer to the Contractor. Party: Either the City or the Contractor. Parties:The City and Contractor. Private Road: A privately-owned and maintained way that allows for access by a collection vehicle. Public Street: A public right-of-way used for public travel, including public alleys. Recycling: The preparation, collection, transport, processing, and marketing of Recyclables. Recyclables: The materials designated as being part of a Residential or Commercial Recycling collection program, as listed in Exhibit C. Residence/Residential: A single-family and/or multifamily dwelling individually rented, leased, or owned. Services: Refers to the comprehensive Garbage, Recyclables and Compostables collection and processing services provided by the Contractor pursuant to this Contract. Service Area:The service boundaries indicated in Exhibit A as of the Date of Commencement of Service, which shall be the City's corporate boundaries. Single-Family Residence: All one-unit houses, duplexes, triplexes, four-plexes, and mobile homes that are billed for collection service individually and located on a Public Street or Private Road. Source-separated: Certain reclaimable materials that are separated from Garbage by the generator for recycling or reuse, including but not limited to Recyclables, Compostables, and other materials. Strike Contingency Plan: The plan the Contractor will develop pursuant to Section 4.1.19 of this Contract. Transition and Implementation Plan: The plan that the Contractor will develop pursuant to Section 4.1.21 of this Contract. Unacceptable Waste: Materials not allowed in the City's collection program, including but not limited to highly flammable substances, Hazardous Waste, liquid wastes, special wastes, certain pathological and biological wastes, explosives, toxic materials, radioactive materials, material that the disposal facility is not authorized to receive and/or dispose of, and other materials deemed by state, federal or local law, City of Federal Way 5 July,2019 Comprehensive Garbage,Recyclables,and Compostables Collection Contract 95 or in the reasonable discretion of the Contractor, to be dangerous or threatening to health or the environment, or which cannot be legally accepted at the applicable disposal facility. WUTC:The Washington Utilities and Transportation Commission. Yard Debris: Leaves, grass, prunings, branches and small trees. Materials larger than four (4) inches in diameter or four(4) feet in length are excluded. Bundles of Yard Debris up to two (2)feet in diameter by four (4) feet in length and no more than fifty (50) pounds, shall be allowed, and shall be secured by degradable string or twine, not nylon or other synthetic materials. Un-flocked, undecorated whole Christmas trees cut to less than six (6) feet in height are acceptable. Kraft paper bags or Cans labeled "Yard Debris" may also be used to contain extra Yard Debris. 2. TERM OF CONTRACT The Term of this Contract is ten (10) years and one month starting on the Date of Commencement of Service. The City and Contractor, may, at the sole option of the City, extend the Contract for one extension not to exceed two (2) years in duration. The extension shall be under the original terms and conditions of this Contract or as the Contract may have been amended at the time of the extension. To exercise the option to extend this Contract, written notice shall be given by the City to the Contractor not less than one hundred eighty (180) days prior to the 'expiration of the Contract Term or the expiration of a previous extension. With the Parties' written consent, the requirement of one hundred and eighty days prior notice may be waived. At the time the City provides the Contractor with written notice of extension the Contractor may provide the City with a written proposal detailing services, terms, and rates for a longer contract extension or renegotiation of this Contract. The City shall review the proposal and may, at its sole discretion, determine whether to enter into negotiations regarding the proposal. 3. CONTRACTOR REPRESENTATIONS AND WARRANTIES The Contractor represents and warrants to the City as follows: • Organization and Qualification.The Contractor is duly incorporated, validly existing, and in good standing under the laws of the state of Washington, and has all requisite corporate power and authority to enter into and to perform its obligations under this Contract. • Authority. The Contractor has the authority to execute this Contract, to make the representations and warranties set forth in it, and to perform the obligations of the Contractor under this Contract in accordance with its terms. This Contract has been validly executed by an authorized representative of the Contractor, with the authority to sign on behalf of and bind the Contractor, and this Contract constitutes a valid and legally binding and enforceable obligation of Contractor. • Government Authorizations and Consents. The Contractor has or will obtain at its sole cost prior to the Date of Commencement of Service any such licenses, permits, and other authorizations from federal, state, and other governmental authorities, as are necessary for the performance of its obligations under this Contract. City of Federal Way 6 July,2019 Comprehensive Garbage,Recyclables,and Compostables Collection Contract 96 ■ Compliance with Laws. The Contractor is not in violation of, and will not knowingly violate, any applicable laws, ordinances, or regulations, which may impact the Contractor's ability to perform its obligations under this Contract or which may have any impact on the City. The Contractor is not subject to any order or judgment of any court, tribunal, or governmental agency that impacts its operations or assets or its ability to perform its obligations under this Contract. ■ Accuracy of Information. None of the representations or warranties in this Contract, and none of the documents, statements, reports, certificates, or schedules furnished or to be furnished by the Contractor pursuant to this Contract or in connection with the performance of the obligations contemplated under this Contract, at any time contain or will contain untrue statements of a material fact or omissions of material facts. • Independent Examination. In accepting and fulfilling responsibilities established by this contract, the Contractor represents and affirms that it has made its own examination of all conditions affecting the performance of this Contract, currently and into the future, and of the quantity, quality, and expense of labor, equipment, vehicles, facilities, properties, materials needed, and of applicable taxes, permits, and applicable laws. The Contractor affirms that within the Service Area it is aware of the present placement and location of in-place Containers. The Contractor represents and warrants that it is capable of servicing Containers at their present locations, and that it is capable of providing service to Customers in any areas of the Service Area that may be built out or developed during the term of this Contract. 4. SCOPE OF WORK 4.1 General Collection System Requirements 4.1.1 Service Area The Contractor shall provide all Services pursuant to this Contract throughout the entire Service Area. Any areas annexed into the City during the term of this Contract shall be addressed outside of this Contract through separate franchise or other arrangement. Unless the Contractor is providing solid waste collection service within the annexed area under a WUTC certificate at the time of annexation, the City shall have no obligation to offer such annexed areas to be served by the Contractor nor shall the Contractor have an obligation to service such areas. If the Contractor is providing solid waste collection service within the annexed area under a WUTC certificate at the time of annexation, then RCW 35A.14.900 shall govern the respective rights and obligations of the parties with respect to solid waste collection service. 4.1.2 Service to Residences on Private Roads and Driveways The Contractor shall provide Curbside service to all Residences located on Private Roads, except as noted in this Section. Drive-in charges are to be used only for requested service on Driveways and are prohibited on Private Roads. The Contractor shall use smaller limited-access service vehicles as necessary to provide service to those Customers. City of Federal Way 7 July,2019 Comprehensive Garbage,Recyclables,and Compostables Collection Contract 97 In the event that the Contractor believes that a Private Road cannot be safely negotiated or that providing walk-in service on Driveways for Single-Family Residence Customers is impractical due to distance or unsafe conditions, the Contractor may request that the City evaluate on-site conditions and make a determination of the best approach for providing safe and appropriate service to the Customer. The City's determination shall be final, provided that the Contractor shall not be required to endanger workers, equipment, or property. If the Contractor believes that there is a probability of Private Road or Driveway damage, the Contractor shall inform the respective Customer(s) and may require a road damage waiver agreement in a form previously approved by the City. In such event, if the Customer(s) refuse to sign such a road damage waiver, the Contractor may decline to provide service on those Private Roads or Driveways, and the Customer(s) will only be serviced from the closest Public Road access. Such determination that damage is probable must be approved in writing by the City prior to any action or refusal of service by the Contractor. 4.1.3 Hours/Days of Collection All collections from Single-family Residential Customers and Residential zones, including mixed-use areas shall be made between the hours of 7:00 a.m. and 6:00 p.m. on a consistent weekday, unless the City authorizes a temporary extension of hours or days. Saturday collection is allowed to the extent consistent with holiday and inclement weather schedules. All collections from Commercial Customers shall be made between the hours of 6:00 a.m. and 6:00 p.m., Monday through Saturday, provided that service to those Customers shall neither disturb Residential Customers in adjoining Residential zoned areas, nor violate the noise provisions of the Federal Way Revised Code, as it currently exists and as amended in the future. Collections from Commercial Customers within audible distance of Residential Customers shall be made only between the hours of 7:00 a.m. and 6:00 p.m., and no earlier than 9:00 a.m. on Saturday. In case of complaint, Contractor shall adjust routes to eliminate noise impacts. Exemptions to the hour requirements may be granted in writing in advance by the City to accommodate the special needs of Commercial Customers where allowed by the Federal Way Revised Code. The City's noise ordinance, as it currently exists and as amended in the future, may further restrict these terms and hours of collection. 4.1.4 Employee Conduct The Contractor's employees collecting Garbage, Recyclables, or Compostables shall at all times be courteous, refrain from loud, inappropriate or obscene language, exercise due care, perform their work without delay, minimize noise, and avoid damage to public and private property. If on private property, Contractor employees shall follow the regular pedestrian walkways and paths, returning to the street after replacing empty Containers. Contractor employees shall not trespass or loiter, cross flowerbeds, hedges, or property of adjoining premises, or meddle with property that does not concern them or their task at hand. While performing work under the Contract, Contractor employees shall wear a professional and presentable uniform with a company emblem visible to the average observer, and carry photo identification on their person. At the City's option and direction, Contractor employees shall work with groups or organizations, such as neighborhood community organizations, homeowner associations, or the City's Utilities, Police, or Fire Departments, for training to recognize and call the appropriate agency when suspicious activities are observed. City of Federal Way 8 July,2019 Comprehensive Garbage, Recyclables,and Compostables Collection Contract 98 If any person employed by the Contractor to perform collection services is, in the opinion of the City, incompetent, disorderly, or otherwise unsatisfactory, the City shall promptly document the incompetent, disorderly, or unsatisfactory conduct in writing and transmit the documentation to the Contractor with a demand that such conduct be corrected. The Contractor shall promptly investigate any written complaint from the City regarding any unsatisfactory performance by any of its employees and take immediate corrective action. The City reserves the right to request at any time that the employee be removed from all performance of additional work under this Contract.The Contractor shall remove the employee from Contract work within four hours of City notification. 4.1.5 Disabled Persons Service The Contractor shall provide Single-Family carryout service from an exterior location convenient for the Customer for Garbage, Recyclables, and Compostables in cases where no household member has the ability to place Containers at the Curb, at no additional charge. The Contractor shall use criteria that are fair and meet the needs of the City's disabled residents. These criteria shall comply with all local, state, and federal regulations, and shall be subject to City review and approval prior to program implementation, which shall not be unreasonably withheld by the City. 4.1.6 Holiday Schedules The Contractor shall observe the same holiday schedule as the King County Transfer Stations. When observed holidays fall on a regular collection day, the Contractor shall reschedule the remainder of the week of regular collection to the next succeeding business day, which shall include Saturdays. The Contractor may not collect Single-Family Residence and Multifamily Complex Garbage, Recyclables, or Compostables earlier than the regular collection day due to a holiday. Commercial collections may be made one (1) day early only with the consent of the Commercial Customer. Holiday scheduling information shall be included in written program materials, on the Contractor's web site, and by press releases to general news media in the Federal Way area by the Contractor the week prior to the holiday affecting service. 4.1.7 Inclement Weather The Contractor shall provide all collection services unless weather conditions are such that the Contractor determines continued operation would result in danger to the Contractor's staff, area residents, or property. In that event,the Contractor shall collect only in areas that do not pose a danger. When inclement weather occurs, the Contractor shall notify the City by telephone or email of operation plans by collection sector by 6:00 a.m. for that business day. Once Contractor vehicles are on-route, all areas missed due to hazardous conditions shall be confirmed by a route supervisor, and an update of missed collections by Customer type and vicinity shall be reported to the City not later than 6:00 p.m. that business day. To the extent practical, the Contractor shall coordinate missed collections in Single- Family Residence areas so that either all or none of their materials are collected. The Contractor shall provide automated notification calls, texts, or e-mails (at Customers' preference) to all Customers missed that day by 6:00 p.m., with information about the planned make-up service schedule by material type. City of Federal Way 9 July,2019 Comprehensive Garbage,Recyclables,and Compostables Collection Contract 99 As conditions change, the Contractor will also promptly update its website with collection status and detailed Customer instructions specific for each impacted service day. On each inclement weather day, the Contractor shall release notices to local newspapers and radio stations notifying residents of the modification to the collection schedule. For all Customers, the Contractor shall collect reasonable accumulated volumes of materials equal to what would have been collected on the missed collection day(s) from Customers at no extra charge. Following notification to the City, the Contractor will be provided temporary authorization to perform collection services after regular collection hours and/or on Saturdays following disruptions due to weather in order to finish collection routes. The Contractor shall handle weather-related service interruptions as follows: 1. Single Family Customers: Make-up collection for Garbage, Recyclables, and Compostables shall occur on that Customer's service day the following week. 2. The Contractor shall provide make-up collection service for Garbage, Recyclables, and Compostables from Multifamily Complex and Commercial Customers as soon as weather conditions allow safe operations. In the event inclement weather prevents service on the same scheduled Single-family Residence collection day(s) two or more weeks in a row (for example, no collection service for Tuesday Customers two weeks running), make-up collection will be made on the next possible day. In these cases, the Contractor shall not wait for the regularly scheduled collection day the following week to service that area. The Contractor and City will develop and implement a weather-related operations and communications protocol to more specifically address management of service disruptions. This protocol will detail pre- event and post-event inclement weather designation and recovery plans, as well as identifying potential temporary collection sites. The inclement weather/disruption in service requirements in the preceding paragraphs may be changed upon mutual written agreement of the Contractor and City at any time during the term of this Contract to better serve Customers. Weather policies shall be included in program information provided to Customers and on the Contractor's city-specific webpage. 4.1.8 Suspending Collection from Problem Customers The City and Contractor acknowledge that, in rare cases, some Customers may cause disruptions or conflicts that make continued service to that Customer unreasonable.Those disruptions or conflicts may include, but not be limited to, repeated damage to Contractor-provided containers, repeated suspect claims of timely set-out followed by demands for return collection at no charge, repeated unsubstantiated claims of Contractor damage to a Customer's property, repeated contamination of Recyclables or Compostables, repeated instances of Unacceptable Waste included in Garbage, or other such problems. The Contractor shall make every reasonable effort to provide service to those problem Customers; however, the Contractor may deny or discontinue service to a problem Customer after prior written City of Federal Way 10 July,2019 Comprehensive Garbage,Recyclables,and Compostables Collection Contract 100 notice is given to the City of the intent to deny or discontinue service, including the name, service address, reason for such action, and whether reasonable efforts to accommodate the Customer and provide services have occurred and failed. If the Customer submits a written appeal to the City objecting to the Contractor decision, the City may, at its discretion, intervene in the dispute. In this event, the decision of the City shall be final. The City may also require the denial or discontinuance of service to any Customer who is abusing the service or is determined to be ineligible. 4.1.9 Missed Collections If Garbage, Recyclables, or Compostables are set out inappropriately, improperly prepared, or contaminated with unacceptable materials, the Contractor shall place in a prominent location a written notification tag in accordance with the Contractor's Contamination Reduction Plan that identifies the specific problem(s) and reason(s) for rejecting the materials for collection. Failure to provide proper written notification to Customers, per the Contamination Reduction Plan referenced in Section 4.1.11, of the reason for rejecting materials for collection shall be considered a missed collection and subject to performance fees due to lack of proper Customer notification. The failure of the Contractor to collect Garbage, Recyclables, or Compostables that have been set out by a Customer in the proper manner on the appropriate day shall be considered a missed collection, and the Contractor shall collect the materials from the Customer within one business day of the Contractor's receipt of notification of the missed pick-up. The Contractor shall maintain an electronic record of all calls related to missed collections and the response provided by the Contractor. Such records shall be made available for inspection upon request by the City, and the information shall be included in monthly reports. (See Reporting requirements set forth in Section 4.3.4). If the Contractor is requested by the Customer to make a return trip due to no fault of the Contractor, which the Contractor can prove through documentation (e.g., the Containers were not placed at the curb on time and the driver documented that fact in a log, with a photograph, etc.), the Contractor may charge the Customer an additional return trip fee for this service, provided the Contractor notifies the Customer of this charge in advance and the Customer agrees to payment of the return trip fee. The Contractor will not be liable for a missed collection in such case. 4.1.10 Same Day Collection Garbage, Recyclables, and Compostables collection shall occur on the same regularly scheduled day of the week for Single-Family Residence Customers. The collection of Garbage, Recyclables, and Compostables from Multifamily Complexes and Commercial Customers need not be scheduled on the same day. 4.1.11 Requirement to Recycle and Compost and Quality Assurance The Contractor shall recycle or compost all Source-separated Recyclables and Compostables collected, unless express prior written permission is provided by the City.The Contractor shall use facilities that: • Process materials to a high standard to maximize the recovery and recycling of all incoming recyclable and compostable materials; City of Federal Way 11 July,2019 Comprehensive Garbage,Recyclables,and Compostables Collection Contract 101 • Are operated to minimize cross-contamination of materials that would result in otherwise Recyclable materials being misdirected to a market or disposal where they would not be recovered; • Are designed and operated to minimize the residual stream of otherwise recoverable materials destined for disposal. • Have sufficient preprocess and screening staff and equipment to ensure that otherwise recoverable materials are not cross-contaminated and rendered non-recyclable due to the nature of the processing facility. The City and Contractor agree that the Contractor is being fully compensated to recycle or compost these collected materials, and that maximum cost-effective diversion of Recyclables and Compostables from disposal is a primary objective of the services provided under this Contract. Concurrently with the start of this Contract, the Contractor shall implement a Contamination Reduction Plan for Recyclables and Compostables for tagging, probationary periods, material rejection, and suspension of service. Contamination Reduction Plan elements will be highlighted that differ between collection sectors (Single-Family, Multifamily, Commercial, and Drop-box). The Contamination Reduction Plan will address thresholds for when contamination levels trigger Customer contact, when to place a Customer on service probation for possible discontinued collection, when to suspend collection service and remove the subject Carts or Containers, and finally but not limited to, procedures to allow a Customer to reinstate and resume service after it has been suspended after following established contamination reduction protocols. The Contractor shall implement the Contamination Reduction Plan for all Customers and shall notify the City via email of any Customer being charged contamination fees or facing service suspension. Specific actions are listed in Section 4.3.5 for the Contractor to address contamination issues at Multifamily Complexes. The Contractor and City shall annually update these procedures to ensure that contamination problems are addressed promptly and fairly for all sectors. No later than November 1 of each year of the Contract, the Contractor and/or City shall propose any desired changes to the Contamination Reduction Plan for the following calendar year. The Contractor and City shall mutually agree upon changes to the plan by December 31 of each year to continuously improve Recyclables and Compostables material quality. The City reserves the right to engage in product stewardship and/or waste prevention activities, and Contractor acknowledges that product stewardship systems may alter the composition or quantity of Recyclables set out for collection. Based on waste prevention, product stewardship efforts, or changed market conditions, the City may elect to remove one or more materials from the Exhibit C list. The Parties agree to determine if such removal from the Exhibit C list creates significant costs or savings, and to explore changes in compensation per Section 5.3. 4.1.12 Routing, Notification,and Approval The Contractor shall indicate, on a map acceptable to the City, the day of the week Garbage, Recyclables, and Compostables shall be collected from each Single-family Residence. The Contractor may change the day of collection by giving notice at least thirty (30) days prior to the effective date of the proposed change and obtaining written approval from the City. On the City's City of Federal Way 12 July,2019 Comprehensive Garbage,Recyclables,and Compostables Collection Contract 102 approval, the Contractor shall provide affected Customers with at least fourteen (14) days written, telephone, and/or e-mail notice of pending changes of collection day: The Contractor shall obtain the prior written approval from the City of the notice to be given to the Customer; such approval shall not be unreasonably withheld. 4.1.13 Vehicle and Equipment Type/Age/Condition/Use The Contractor shall use new 2020 or later model year collection vehicles for Garbage, Recyclables, and Compostables collection services performed under this Contract. Back-up vehicles used fewer than thirty (30) operating days a calendar year shall not be subject to the age that apply to regularly-used vehicles, but shall be presentable, shall be in safe working order, and shall be subject to all other conditions of this section. The accumulated annual use of individual back-up vehicles shall be reported in the Contractor's monthly report. Vehicles used in the performance of this Contract shall be of sufficient size and dimension to provide service to all Customers, regardless of location. In some cases, this may mean that a small collection vehicle, capable of servicing narrow and/or tight locations must be used, and the Contractor shall procure, maintain, and operate those vehicles to ensure collection services are provided throughout the Service Area. Vehicles shall be maintained in a clean and sanitary manner, and shall be thoroughly washed at least once each week. All collection equipment shall have appropriate safety markings, including all highway lighting, flashing and warning lights, clearance lights, and warning flags, all in accordance with current statutes, rules, and regulations. Equipment shall be maintained in good condition at all times. Vehicles shall be repaired and/or have damaged areas repainted upon showing rust on the body or chassis or at the request of the City. All parts and systems of the collection vehicles shall operate properly and be maintained in a condition compliant with all federal, state, and local safety requirements and be in a condition satisfactory to the City.All vehicles shall be equipped with variable tone or proximity activated reverse movement back-up alarms. The Contractor shall maintain collection vehicles and Containers to ensure that no liquid wastes (e.g., Garbage or Compostables leachate) or oils (e.g., lubricating, hydraulic, or fuel) are discharged to Customer premises or streets. Any equipment not meeting these standards shall not be used within the Service Area until repairs are made. All collection and route supervisor vehicles used by the Contractor shall be equipped with a minimum 10-gallon capacity spill kit. Clean-up of any discharge of liquid wastes or oils that may occur from Contractor's vehicles or Containers shall be initiated within three (3) hours of being noticed/notified by route staff, customers, or the City, and shall be performed by the Contractor at its sole expense. Such clean-up or removal shall be documented with pictures, and notice of such clean-up shall be provided to the City in writing. The Contractor shall notify the City-designated spill reporting telephone number of any spills that enter drainages within four (4) hours. Failure by the Contractor to clean-up the discharge in a timely fashion to the satisfaction of the City shall be cause for performance fees, as described in Section 6.1. The Contractor shall notify the City and the Customer of any leakage from non-Contractor-owned Containers within four(4) hours of observation so that repairs may be made in a timely manner. No advertising shall be allowed on Contractor vehicles other than the Contractor's name, logo, customer service telephone number, and website address, unless otherwise previously approved in writing by the City of Federal Way 13 July,2019 Comprehensive Garbage, Recyclables,and Compostables Collection Contract 103 City. Special promotional messages may be permitted by the City; provided they are either painted directly on vehicles or on placards attached to vehicles. The City's approval must be granted in writing. Vehicle inventory numbers shall be displayed on the passenger(right) door and rear panel of the vehicle body and shall show, in lettering at least 12" high, an abbreviated truck designation number specific to the City. For example, FW-1, FW-2, etc., limited to a two digit letter and numeral to aid in rapid identification of vehicles to allow more precise reporting and correction of any unsatisfactory condition related to specific vehicles. The City may approve a different numbering system proposed by the Contractor provided that it meets the objective of rapid and memorable truck identification All Contractor route, service, and supervisory vehicles shall be equipped with properly licensed two-way communication equipment, capable of communicating within the entire Service Area. Collection vehicles shall also be equipped with back-up cameras, as well as route-recording cameras integrated with their on-board route management system. All collection vehicles shall be equipped with global positioning systems ("GPS"), as well as an on-board computer and data tracking system to track route progress and log non-set-outs, extras, and other service issues. The system shall incorporate photo documentation of all persistent on-route service issues for a particular Customer with repeated complaints. The Contractor's drivers shall be fully trained and required to use these systems. The resulting data shall be uploaded to the Contractor's Customer service database no less than hourly to allow Customer service and route management personnel to be fully apprised of route progress, and be able to address misses and other Customer inquiries in near real-time. 4.1.14 Container Requirements and Ownership Contractor Garbage fees in Exhibit B include all costs of the associated Containers unless Container rental for a particular service is specifically listed in Exhibit B, such as rent for Drop-box Containers. Single-Family Residence, Multifamily Complex, and Commercial Customers must use Contractor- provided Containers for their initial Container of Garbage collection service, with the exception of compacting Drop-box Containers, which may be Customer-owned or leased from other parties. Plastic bags or Cans may be used for excess volumes of Garbage, but not as a Customer's primary container. All micro-cans, Cans, and Carts made obsolete at the start of this Contract that are unwanted by the Customer shall be collected by Contractor and reused or recycled at no additional charge during the first thirty (30) days following the Date of Commencement of Service. In the event the Customer retains and uses a Can for Extra Units,the Contractor shall handle the Customer-owned Garbage Container in such a way as to prevent undue damage. The Contractor shall be responsible for rectifying all Contractor- caused unnecessary or unreasonable damage to Customer-owned Containers. All Contractor-provided Containers shall be permanently, clearly, and prominently molded-in, molded- on, imprinted, or otherwise labeled in a fashion that any reasonable person can readily determine the size capacity and material preparation requirements of the Container. Contractor-provided Containers shall not be screened, molded-in, molded-on, imprinted, or otherwise permanently labeled with the Contractor's logo or company name. City of Federal Way 14 July,2019 Comprehensive Garbage,Recyclables,and Compostables Collection Contract 104 All Contractor-provided Containers shall be delivered in fully working condition without needed maintenance, repairs, and/or painting, and free of residue and odors from prior use. In the event that a particular Customer repeatedly damages a Container or requests more than one replacement Container during the term of the Contract or due to negligence or misuse, the Contractor may charge the Customer for the depreciated value of the Container and shall forward in writing the Customer's name and address to the City with a full explanation of incident(s). In the event that the problem continues, the Contractor may discontinue service to that Customer, provided the City provides prior written approval. 4.1.14.1 Garbage, Recyclables, and Compostables Carts The Contractor shall provide a 20-, 35-, 64-, and 96-gallon Garbage Carts for the respective level of Garbage collection, 35-, 64-, and 96-gallon Carts for Recyclables collection, and 35-, 64-, and 96-gallon Compostables Carts for Compostables collection. All Carts shall be manufactured from a minimum of fifteen percent (15%) post-consumer recycled plastic, with a lid that will accommodate a label. Carts shall be provided to requesting Customers within seven (7) days of the Customer's initial request. All Contractor-provided Carts shall be maintained by the Contractor in good condition for material storage and handling; contain no jagged edges or holes; contain wheels or rollers for movement and be equipped with an anti-skid device or sufficient surface area on the bottom of the container to prevent unwanted movement. Carts shall contain instructions for proper use, including any Customer actions that would void manufacture warranties (such as placement of hot ashes in the container causing the container to melt), and procedures to follow to minimize potential fire problems. Collection personnel shall proactively note damaged hinges, holes, poorly functioning wheels, and other similar repair needs for Contractor-provided Carts (including those for Garbage, Recyclables, and Compostables), and forward written or electronic repair notices that business day to the Contractor's service personnel. Repaired or replacement carts shall be provided within seven (7) days at the Contractor's expense. Any Cart that is damaged or missing due to an accident, collection truck mechanical error, act of nature or the elements, fire, or theft or vandalism by a third party shall be replaced no later than three (3) business days after notice from the Customer or the City at the Contractor's expense. In the event that a Cart is inadvertently lost into a collection vehicle during collection due to mechanical or operator error, the Contractor shall inform the Customer that business day. All Cart repairs and replacements shall be at no charge to the Customer unless the Customer's negligence has caused the damage. 4.1.14.2 Detachable Containers and Drop-box Containers The Contractor shall furnish and install 1-, 1.5-, 2-, 3-, 4-, 6-, and 8-cubic yard Detachable-Containers, and 10-, 20-, 25-, 30-, and 40-cubic yard un-compacted Drop-box Containers to any Customer who requires their use for storage and collection of Garbage or Recyclables within three (3) days of the Customer's request. Containers shall be located on the premises in compliance with any related ordinance, and a manner satisfactory to the Customer and for collection by the Contractor. The Contractor shall charge rent for temporary and permanent Drop-box Container service in accordance with Exhibit B. The Contractor may not charge Customers any additional fees, charges, rates, City of Federal Way is July,2019 Comprehensive Garbage,Recyclables,and Compostables Collection Contract 105 or any expenses in connection with Drop-box Container service other than the applicable fees listed in Exhibit B. Detachable Containers shall be watertight and equipped with tight-fitting metal or plastic covers; have four (4) wheels for Containers 4-cubic yards and under unless site-specific conditions (slope or service access) dictate the use of a non-wheeled Container; be in good condition for Garbage, Compostables, or Recyclables storage and handling; be safe for the intended use; and, have no leaks, jagged edges, or holes. Drop-box Containers shall be all-metal, and if requested by a Customer, equipped with a tight- fitting screened or solid cover operated by a winch in good repair. The Contractor shall contact the City's Fire Marshal and obtain a determination concerning the conditions under which plastic Detachable Containers may be used. The Contractor may use plastic Detachable Containers at all locations where allowed by the City's Fire Marshal. Each plastic Detachable Container shall be marked with an additional sticker warning Customers and the Contractor's staff where the Container may be placed as determined by the City's Fire Marshal. Detachable Containers shall be cleaned, reconditioned, and repainted (if necessary), at the Contractor's expense before being delivered to a Customer. Steel Containers shall be repainted as needed, or upon notification from the City. The Contractor shall provide a fee-based On-call Container cleaning service to Customers. All Containers on Customers' premises are at the Contractor's risk and not the City's. The Contractor shall repair or replace within one (1) business day any Container that was supplied by or taken over by the Contractor and was in use if the City personnel, King County Health Department inspector, or other agent having safety or health jurisdiction determines that the Container fails to comply with reasonable standards or constitutes a surface water contamination, health, or safety hazard. The Contractor shall place Detachable Containers in areas mutually agreed upon by the Contractor and Customer with the least slope and best vehicle access possible. For Customers that must stage their Detachable Containers on Public Streets or on significantly sloped hills, the Contractor shall make a good faith effort to work with the Customer to ensure that Detachable Containers are not left unattended in potentially problematic staging areas and are sufficiently restrained such that the Container may not roll and cause harm to persons or property. The Contractor may require a Customer to attend to the Containers immediately prior to and after collection. Any disputes arising between the Contractor and a Customer as to what constitutes a "significantly sloped hill" or a "safety hazard" shall be submitted in writing to the City, and the City's decision shall be final. Containers shall be replaced after emptying in the same location as found, with all lids closed. Customers may elect to use Containers from other sources, and shall not be subject to discrimination by the Contractor regarding collection services, provided that such Containers are compatible with the Contractor's collection equipment; however, Containers owned or secured by Customers must be properly labeled with Contractor-provided stickers to be eligible for collection (except in the case of compactor Containers). The Contractor is not required to service Customer Containers that are not compatible with the Contractor's equipment. 4.1.14.3 Ownership City of Federal Way 16 July,2019 Comprehensive Garbage,Recyclables,and Compostables Collection Contract 106 At the end of the Contract Term or in the event the Contract is terminated for any reason, any or all Containers used by Contractor to provide Contract Services (including any Big Belly litter receptacles), shall, at the option of the City, revert to City ownership without further compensation to the Contractor. Containers that do not revert to City ownership shall by removed from Customer locations by the Contractor within thirty (30) days of the expiration of this Contract. Temporary Containers, Compactor Drop-boxes leased to Customers outside of this Contract, and all Containers held in reserve at the Contractor's yard and not actively in service at a Customer location are excluded from this provision. The City may elect to assign this potential ownership of said Containers to a third-party, and shall provide written notice to the Contractor. Any remaining warranties associated with the Containers described herein shall be transferred to the City or the City's assignee. The City in advance accepts all such Containers in their "as-is, where-is" condition and without any express or implied warranty by the Contractor of any kind, including but not limited to any warranty of fitness for any particular purpose or any warranty of merchantability. As between the City and the Contractor, the City assumes all risks of loss or liability on account of the City's exercising of its rights under this Section 4.1.14.3 or any use made of any such Containers after they become the property of the City or assignee of the City. 4.1.14.4 Container Colors and Labeling Contractor-provided Carts and Detachable Containers for Recyclables shall be blue, Compostables Carts shall be green, and Carts and Detachable Containers for Garbage shall be grey. Specific Container colors shall be approved in writing by the City prior to the Contractor's initial order of new Containers. All Carts, including new and those in place at the beginning of this Contract, shall be labeled with material preparation, and contact information that includes both the (253) 833-3333 customer service phone number and the City's website address. All Carts shall be embossed or labeled with the type of material to be placed in the cart with lettering no less than two inches high on both sides of the Cart. All label messaging and embossed lettering shall be approved by the City prior to ordering by the Contractor. Label location and label placement guidelines on Carts shall be subject to the City's prior approval. Labels shall be reapplied when faded, damaged, or upon the City or customer request. If the Garbage, Recycling, or Compostables collection program instructions on affixed labels becoming obsolete, the Contractor at their sole expense shall produce and affix labels featuring current information on all Carts. All Detachable Containers and Drop-box Containers to be used for Garbage or Recyclables collection shall have materials preparation instructions and telephone/contact information, including both a customer service phone number and a website address, printed on a sticker, and subject to the prior written approval of the City. All Detachable Containers and Drop-box Containers to be used for Garbage or Recyclables shall have a sticker affixed that states: "Leaky dumpster? Damaged Lid?"and provides the Contractor's applicable phone number to call for repair or replacement. Information shall be printed in a size that is easily read by the users, on durable UV-resistant label stock squarely affixed to each Container. All labels shall be approved in writing by the City prior to ordering by the Contractor. Label location and label placement guidelines on Containers shall be subject to the City's prior written approval. City of Federal Way 17 July,2019 Comprehensive Garbage,Recyclables,and Compostables Collection Contract 107 All Contractor-provided Containers shall be relabeled by the Contractor if labels fade or are unreadable, or upon City's request for any individual Container. 4.1.14.5 Container Weights The Contractor shall not be required to lift or remove materials from any Container exceeding the safe working capacity of the Container, lifting mechanism or collection vehicle. For Drop-box Containers,the combined weight of the Drop-Box and contents must not cause the collection vehicle to exceed legal road weight limits. Any loose Extra Units that are not placed in a Container and must be manually loaded shall be limited to fifty(50) pounds per bag or bundle unless otherwise authorized by the Contractor. 4.1.14.6 Container Removal Upon City or Customer Request The Contractor shall remove all Containers upon service cancellation within seven (7) days after the final service date for which Customer payment is anticipated, or upon three (3) days of specific Customer, property manager, property owner, or the City's request. Failure to remove Containers within the specified timeline shall be subject to the same performance fees as delayed Container delivery for that Customer sector. The contents of removed Containers shall be managed as if they were collected on a regular route (e.g., Recyclables shall be recycled, Compostables shall be delivered for composting). The disposal or recycling of materials accumulating in the Contractor's Container at the former Customer's location after the final Customer-paid collection shall be at the Contractor's cost, not the former Customer's cost. 4.1.15 Inventory of Vehicles and Facilities The Contractor shall provide to the City, on the Date of Commencement of Service of this Contract, a complete initial inventory of the vehicles and facilities to be used in the performance of this Contract. The inventory shall include each vehicle (including chassis model year, type of body, material collected, capacity, model, and vehicle identification number) and each facility to be used in performance of this Contract (including address and purpose of the facility). The Contractor may change vehicles and facilities from time to time, and shall include the revised inventory in the monthly report provided for in Section 4.3.4.1.The Contractor shall maintain vehicles and facilities levels during the performance of this Contract at least equal to those levels described in the initial inventory. The City reserves the right to request maintenance history logs for vehicles or equipment during the performance of this Contract. 4.1.16 Spillage and Leakage of Vehicle Contents All materials collected by the Contractor shall be completely contained in collection vehicles at all times. Hoppers on all collection vehicles shall be cleared or emptied frequently to prevent blowing or spillage of debris. All Drop-Box loads (both open and compactor) shall be properly and thoroughly covered or tarped to prevent any spillage of material prior to Contractor vehicle entering any Private Road or Public Street. Any Contractor-caused spillage or leakage of materials, whether reported by Customers, Contractor employees, or the City, shall be cleaned up or removed by the Contractor within four (4) hours of City of Federal Way 18 July,2019 Comprehensive Garbage,Recyclables,and Compostables Collection Contract 108 occurrence at Contractor's sole expense. Such spillage or leakage shall be contained immediately by Contractor employees, including immediate deployment of on-board "spill kits" to prevent or limit any materials from entering the City's municipal stormwater system. The Contractor shall develop spill response procedures for review and approval by the City before initiating any work under this Contract. Prior to operating any vehicle in the City, all Contractor vehicle drivers shall be provided with hands-on training on the location, maintenance, and use of"spill kits" and associated containment and notification procedures.Such training shall be provided to all vehicle drivers at least annually. The Contractor shall be responsible for reimbursement of all City-incurred costs in the event that City staff or agents subsequently provide spill containment or clean-up of spillage or leakage caused by the Contractor. In the event of leakage from Contractor vehicles or any Containers, the Contractor shall notify the designated City contact and provide documentation including pictures taken before and after clean-up or removal, along with incident description and location, how and when Contractor learned of the incident, and a summary of measures used to correct the incident. This information will be reported via e-mail to the Contract administrator within one (1) business day of the incident. If the leakage is due to faulty door or gate seals on Contractor's equipment, repairs shall be completed before the equipment returns to operation in the City. Any Contractor-supplied Container reported to be leaking by the City, Contractor employees, or Customers shall be replaced by the Contractor within one (1) business day of notification. Leakage or spillage not cleaned up or removed by the Contractor within the required time frame shall be cause for performance fees as described in Section 6.1, and may also be subject to fines and penalties pursuant to City municipal code. Contractor expressly acknowledges it is solely responsible for any local, state, or federal violations which may result from leakage or spillage resulting from Contractor's operations. Failure of the Contractor to comply with all clauses in this Section shall be cause for performance fees, as described in Section 6.1. 4.1.17 Disruption Due to Construction The City reserves the right to construct any improvement or to permit any such construction in any Public Street in such manner as the City may direct, which may have the effect for a time of preventing the Contractor from traveling the accustomed route or routes for collection; However, the Contractor and the City shall develop a reasonable workaround to enable the Contractor to continue to collect Garbage, Recyclables, and Compostables to the nearest extent possible as though no interference existed upon the streets or alleys normally traversed. These services shall be performed at no extra fee or cost to the City or the Contractor's Customers. 4.1.18 Contractor Labor Negotiations,Strike Contingency Planning,and Performance During Labor Disruption City of Federal Way 19 July,2019 Comprehensive Garbage,Recyclables,and Compostables Collection Contract 109 No later than ninety (90) days prior to the expiration of any labor agreement associated with services performed under this Contract,the Contractor shall provide the City in writing with its planned response to labor actions that could compromise the Contractor's performance under this Contract. The Contractor-prepared Strike Contingency Plan shall address in detail: 1. The Contractor's specific staffing plan to cover Contract services, including identification of staff resources moved from out-of-area operations and the use of local management staff to provide basic services. The staffing plan shall be sufficient to provide recovery of full operations within one (1) week following the initiation of the disruption. 2. Contingency training plans to ensure that replacement and management staff operating routes are able to continue to collect route data and follow collection and material delivery procedures for all material streams collected from Customers. 3. Identification of staffed temporary Drop-box Containers or staffed packer truck locations for all material streams. For all sites identified in the Contractor-prepared Strike Contingency Plan, the Contractor shall list the property owner/lessee's contact information and the date on which permission for temporary use was received. The City shall review these locations, after which the City shall approve or deny in writing use of specific locations. 4. A recovery plan to address how materials will be collected in the event of a short-notice disruption (e.g., a wildcat strike) that does not allow the Contractor to collect all materials on their regular schedule within one (1)week following the initiation of the disruption. The Contractor shall keep the City informed of the status of active labor negotiations on a timely basis. During the period active negotiation phase near the end of labor contracts with Contractor employees or at any time when strike authorization is under active consideration by Contractor's employees, the Contractor shall keep the City informed on a daily basis. In the event that labor disruptions of any kind result in reductions in service delivery, the Contractor shall inform the City within three (3) hours by phone and e-mail of the nature and scope of the disruption, as well as the Contractor's plans for activating Strike Contingency Plan elements.The Contractor shall report to the City via e-mail the areas (per a detailed map) and customer counts of served and un-served customers by material stream and service sector at the close of each service day on which collection operations have been impacted. During recovery from the impacts of an active Labor Disruption, the Contractor shall provide make-up collection on Saturday for all Single-family Garbage, Compostables, and Recyclables collection Customers missed as a result of the Labor Disruption. In the event that a disruption lasts more than one (1) week for Garbage and Compostables or two (2) weeks for Recyclables for Single-family Residential Customers, the Contractor with approval of the City shall provide staffed Drop-box Containers and/or staffed packer trucks for Customer use for each affected material stream in approved locations throughout the affected service areas. The Contractor will also provide the collection of the equivalent volume of each material that would normally have been collected if no Labor Disruption had occurred,,at no additional charge on the next regular collection day for each material. City of Federal Way 20 July,2019 Comprehensive Garbage,Recyclables,and Compostables Collection Contract 110 The City and Contractor agree that the following special compensation and performance fees reflect the best estimate of the impacts of the Labor Disruption to Customers and the City. (In addition to any regularly due Administrative fee) The Contractor shall pay the City monthly by the tenth day of the following month: 1. A performance fee of two thousand five hundred dollars ($2,500) a day for each day of Labor Disruption from the 1St day to the 7th day of the Labor Disruption; 2. A performance fee of five thousand dollars ($5,000) a day for each day of Labor Disruption from the 8th day to 14th day of the Labor Disruption; and 3. A performance fee of ten thousand dollars ($10,000) a day for each day of Labor Disruption for every day beyond the 14th day of Labor Disruption. The performance fees listed as 1 through 3, above, are intended to apply to any complete work stoppage where alternative but substantially equivalent service by non-striking employees is not provided by the Contractor or otherwise. In the event substantially equivalent service is provided by the Contractor through the employment of non-striking employees at any point during the course of the labor disruption, the Contractor is entitled to reduce the amount of the performance fees that otherwise would be due on a pro-rata basis, based on the percentage of Contract service provided to Customer provided on that day. Given the nature of the array of pervasive service interruptions arising from labor disruptions, the Contractor shall not be allowed any cure period opportunity; provided, however, that the City may elect to receive the equivalent value of additional services, as negotiated, in lieu of some or all of these labor disruption-specific performance fees. The Contractor's failure to comply with the Contractor-prepared Strike Contingency Plan of this section shall be subject to a special fee of five hundred dollars ($500) per day for its non-compliance during the Labor Disruption event as determined solely by the City.This special fee is separate compensation to the City for the Contractor's failure to plan and execute the provisions of this section. The special fee shall be paid to the City within thirty(30) days of the Contractor's receipt of the City's invoice. Fees paid by the Contractor under the terms of this Section 4.1.19 are not regular performance fees for the purposes of Section 6 and shall not be counted in the cumulative performance fee default threshold referenced in Section 6.2 (6). 4.1.19 Site Planning and Building Design Review The Contractor shall, upon request and without additional cost, make available site planning assistance to either the City and/or property owners or their representatives. The site planning assistance shall be available for all new construction or remodeling of buildings and structures within the Service Area, and shall address the design and planning of Garbage, Recyclables, and Compostables container storage and Contractor service access areas and their location upon the site of the proposed construction or remodeling project. Contractor planning assistance for optimizing loading docks and other areas shall also be available for existing building managers when realigning Garbage, Recyclables, and Compostables services. Contractor planning assistance shall be provided within five (5) working days of request. Assistance shall include, but not be limited to, reviewing and providing comments on building designs and site plans to ensure that those designs and plans incorporate: City of Federal Way 21 July,2019 Comprehensive Garbage, Recyclables,and Compostables Collection Contract 111 • Garbage, Recyclables, and Compostables removal areas and their location upon the site of the proposed construction or remodeling project; • Adequate floor and vertical space for the storage and collection of Containers for all materials; • adequate access for vehicles to collect and empty Containers, including overhead clearance, turning radius, and access that does not require backing across sidewalks or violating any City code; • Avoidance of surface water drains and ditches when considering Container locations and developing strategies for containment of any potential leaks; and, • Strategies to reduce interior and exterior noise and emissions. All communications regarding this process shall be conducted electronically via email. 4.1.20 Safeguarding Public and Private Facilities Contractor shall protect all public and private improvements, facilities, and utilities whether located on public or private property, including, but not limited to, streets, curbs, signs/posts, light poles, and planting strips. If such improvements, facilities, utilities, or streets are damaged as a result of Contractor's operations, Contractor shall notify the City in writing of all damage within four (4) hours, and Contractor shall repair or replace the same or pay the City for the costs of repairs, including overhead and administrative costs. If the damage creates a public safety issue that requires an immediate response, Contractor shall, along with notifying the City in writing, call the City to inform them of such matter. If Contractor fails to do so within seven (7) days unless mutually agreed, the City shall cause repairs or replacement to be made, and the cost, including overhead and administrative costs, of doing so shall be paid by the Contractor. 4.1.21 Transition and Implementation of Contract The Contractor shall develop, with the City's input and prior written approval, and submit to the City no later than one hundred and twenty days (120) days after the Date of Execution of this Contract, a Transition and Implementation Plan for introducing the new and revised services to the different Customer sectors (i.e., Single-family, Multifamily Complex, and Commercial Customers), and detailing a specific timeline as to when different activities and events will occur, including details of Container delivery, how different events impact other events in the timeline and the process to be used to ensure that implementation occurs with no disruption. The Transition and Implementation Plan shall cover the entire period following the Date of Execution of this Contract, up through and including the six (6) month period following the Date of Commencement of Service. The Contractor shall separately describe in detail what is involved with each of the activities and events listed in the timeline. The Transition and Implementation Plan shall specifically address how the Contractor intends to proceed in the event of inclement weather and what contingency plans will be in place to accelerate implementation if Container delivery or other planned activities are impacted by inclement weather. The Contractor shall be responsible for funding all the design, development, printing, sorting, mail prep, delivery, and mailing costs, including the cost of the postage-prepaid mail-back cards and any costs associated with the website ordering services, and of all new and continuing service and educational materials described above and needed to comply with the Transition and Implementation Plan outreach described in this section of the Contract. City of Federal Way 22 July,2019 Comprehensive Garbage,Recyclables,and Compostables Collection Contract 112 Unless otherwise directed by the City, any additional promotional, educational, informational, and outreach materials provided by the Contractor to Customers in connection with the initial transition and implementation of the Contract shall be designed, developed, printed, and delivered by the Contractor, at the Contractor's cost, and subject to the City's prior review and written approval and the City's final approval as to method of delivery. The City will be provided a minimum of two (2) weeks to review the outreach materials included in the Contractor's Transition and Implementation Plan schedule to allow sufficient time for the City's prior review and written approval. 4.1.22 Performance Review The City may, at its option, and upon reasonable notice to the Contractor, conduct a review of the Contractor's performance under this Contract. If conducted, the performance review shall include, but is not limited to, a review of the Contractor's performance relative to requirements and standards established in this Contract, including Customer service standards. The Contractor agrees to fully cooperate with the performance review and work with City staff and consultants to ensure a timely and complete review process. The results of the performance review shall be presented to the Contractor within thirty (30) days of completion. Should the City determine that the Contractor fails to meet the Contract performance requirements and standards, the City shall give the Contractor written notice of all deficiencies. The Contractor shall have sixty (60) days from its receipt of notice to correct deficiencies to the City's satisfaction. If the Contractor fails to correct deficiencies within sixty (60) days, the City may allow the Contractor additional time to comply, accept other remedies for the service failure, or proceed with the contract default process pursuant to Section 6.2 of this Contract, at the City's sole option. The costs of the development and implementation of any action plan required under this Section 4.1.22 or Section 6.1 for the purpose of addressing failures on the part of the Contractor to perform in accordance with the terms and conditions of this Contract shall be paid for solely by the Contractor, and the costs of developing or implementing such action plan shall not be passed on to Customers or the City, or included in rates or fees charged to Customers. The City may, at its option, and upon reasonable notice to the Contractor, design and implement an alternative annual Contract compliance monitoring program with or without Contractor performance incentives. If such a program is desired by the City, the City and Contractor agree to negotiate in good faith the monitoring methodologies used to ensure accurate and unbiased sampling of performance data. The City shall bear the costs of City staff, City-retained consultants and performance incentives (if used) and the Contractor shall bear the costs of Contractor staff and route costs to perform the monitoring. 4.1.23 Continual Monitoring and Evaluation of Operations The Contractor's supervisory and management staff shall be available to meet with the City at either the Contractor's office or City's offices, at the City's option, on a weekly basis during the period three (3) months before and two (2) months after the Date of Commencement of Service and monthly throughout the term of the Contract to discuss operational and Contract issues. City of Federal Way 23 July,2019 Comprehensive Garbage, Recyclables,and Compostables Collection Contract 113 The Contractor shall continually monitor and evaluate all operations to ensure that compliance with the provisions of this Contract is maintained. The City may periodically monitor collection system parameters such as participation, Container condition, contents weights, and waste composition.The Contractor shall assist and fully cooperate with the City by coordinating the Contractor's operations with the City's periodic monitoring to minimize inconvenience to Customers, the City, and the Contractor. The Contractor also shall provide full access to equipment, processing facilities, route and Customer service data, safety records, and other applicable information. The City's review of Contractor activities and records shall occur during normal Office Hours and shall be supervised by the Contractor's staff. 4.1.24 Collection/Disposal Restrictions Unless otherwise directed by the City, all Garbage collected under this Contract, as well as residues from processing Recyclables and Compostables (to the extent required for the City to comply with its Solid Waste Interlocal Agreement with King County), shall be delivered to the King County Disposal System in compliance with all King County rules regarding such disposal. On any particular route, the Contractor shall collect Garbage and deliver it directly to the King County Disposal System, without adding material from routes or customers in other jurisdictions, unless prior written authorization is provided by the City for that particular route. Garbage containing obvious amounts of yard debris shall not knowingly be collected from Customers and instead prominently tagged with a written notice informing the Customer that King County does not accept yard debris mixed with Garbage for collection. The Contractor shall not knowingly collect or dispose of Unacceptable Waste or other materials that are either restricted from disposal or would pose a danger to collection employees. Whenever Contractor rejects or does not collect materials for this reason, the Contractor shall leave a written notice in a prominent location with the rejected materials to describe why rejected materials were not collected and providing the Customer with a contact for further information about proper disposal options for such materials. Title to and liability for any Unacceptable Wastes that are included with any materials collected under this Contract by Contractor despite the City's and Contractor's attempts to prevent the inclusion of such materials shall not pass to Contractor, but shall remain with the party from whom such Unacceptable Waste or any such other materials or substances is received. Garbage collected by the Contractor may be processed by the Contractor to recover recyclable material; provided, however, that the residual is appropriately disposed of within the King County Disposal System. The processing of such recyclable material shall only be undertaken with the prior written approval of King County and the City and in accordance with the Solid Waste Interlocal Agreement between King County and the City. Contractor in all such instances shall charge Customers no more than the equivalent Garbage disposal fee within the King County Disposal System or such other disposal fee as the City reasonably directs the Contractor to charge. In addition, hauling fees charged by the Contractor in such instances shall be no higher than those provided for in Exhibit B. City of Federal Way 24 July,2019 Comprehensive Garbage, Recyclables,and Compostables Collection Contract 114 In the event that the City wishes to conduct a waste composition analysis, the Contractor, upon reasonable notice from the City, shall deliver collected Garbage from one or more routes to the designated sorting site and shall coordinate,with the City to ensure successful sampling. In the event that the sorted Garbage requires delivery to a County authorized disposal site, the City shall pay the Contractor for that delivery based on the Contractor's standard Container rental and hauling rates. 4.1.25 Emergency Response The Contractor shall assist the City in the event of a disaster or emergency declaration. Contractor services shall be provided as soon as practical upon City direction and paid at the Contract rates in Exhibit B. The Contractor shall keep full and complete records and documentation of all costs incurred in connection with disaster or emergency response, and include such information in the monthly and annual reports required under Section 4.3.4. Contractor shall maintain such records and documentation in accordance with the City's prior written approval and any standards established by the Federal Emergency Management Agency, and at the City's request, shall assist the City in developing any reports or applications necessary to seek federal assistance during or after a federally-declared disaster. 4.1.26 Early Implementation The Contractor's previous contract with the City dated March 1, 2010 shall continue to guide service delivery between the Date of Execution and the Date of Commencement of Service of this new Contract, with the exception that the Contractor and the City agree that certain service improvements shall be implemented no later than September 1, 2019 . These improvements are specified in Exhibit B. In the event that any conflict exists between the previous contract and the improved services specified in Exhibit B, the new services shall be adopted in preference to the previous contract standards. 4.2 Collection Services 4.2.1 Single-Family Residence Garbage Collection 4.2.1.1 Subject Materials The Contractor shall collect all Garbage placed at Curbside for disposal by Single-Family Residence Customers all properly prepared and contained materials in and adjacent to Garbage Carts, Cans, and bags. City of Federal Way 25 July,2019 Comprehensive Garbage,Recyclables,and Compostables Collection Contract 115 4.2.1.2 Containers The Contractor shall provide collection Containers to Customers at no additional charge as part of the Customer-chosen service level. Garbage Carts shall be delivered by the Contractor to Single-Family Residence Customers within seven (7) days of the Customer's initial request. Each Customer's initial Container must be Contractor-provided Container, provided that Garbage in excess of the Customer's initial Container may be bundled or placed in a Customer-owned Can or plastic bag. 4.2.1.3 Specific Collection Requirements The Contractor shall offer regular weekly collection of the following service levels: 1. One 20-gallon Garbage Cart; 2. One 35 gallon Garbage Cart; 3. One 64-gallon Garbage Cart;and 4. One 96-gallon Garbage Cart. The Contract shall also offer a service of once per month collection of non-putrescible waste in a 35- gallon Cart. Once each year through the use of an on-demand call-based service, the Contractor shall provide a curbside collection service to handle bulky materials at no additional charge to Single-Family Residence Customers. Each service shall accept two categories of bulky household items: (A) up to one (1) cubic yard of individual small items not larger than three (3) feet by three (3) feet, with each individual item weighing not more than fifty (50) pounds; and (B) up to three (3) larger items, including all appliances (white goods), mattresses, sofas, furniture, barbecues, carpet(in rolls no larger than six(6)feet in length and one (1) foot in diameter) and hot water tanks. The Contractor shall have discretion to refuse any Unacceptable Waste items, if instructions are provided to the Customer for proper disposal. Carry-out charges shall be assessed only to those Customers who choose to have the Contractor move Containers to reach the collection vehicle at its nearest point of access. Carry-out charges shall be assessed in twenty-five (25) foot increments only to those Customers for whom the Contractor must move a Container over five (5) feet to reach the curb at the collection vehicle's nearest point of access. Carry-out service Customers must place their Containers in a location visible from a collection vehicle at street level and along a fully paved access way. Garbage in excess of Container capacity or the subscribed service level shall be collected and properly charged as Extra Units to the Customer; with the exception of excess Garbage collection otherwise required under this Contract at no additional charge to the Customer. The Contractor shall maintain route lists in sufficient detail to allow accurate recording and charging of all Extra Units. Customers shall be allowed to specify that no Extra Units be collected without prior Customer notification (colloquially referred to as a "take no extra" account), which shall be provided by the Single-Family Residence Customer no less than one (1) business day prior to that Customer's regular collection. Collections shall be made from Single-Family Residences on a regular schedule on the same day and as close to a consistent time as possible. The Contractor's employees shall make collections in an orderly and quiet manner, and shall return all Containers, in an upright position, with lids closed and attached, to their original set out location. City of Federal Way 26 July,2019 Comprehensive Garbage,Recyclables,and Compostables Collection Contract 116 Extra charges may be assessed for materials loaded so as to lift the Can, or Garbage Cart lid in excess of six (6) inches from the normally closed position. Overweight Containers shall be left at the Curb and tagged with written notification as to why it was not collected. Customers may specify to the Contractor that they may not be charged for Extra Units, in which case any such Containers shall be left at the Curb uncollected and tagged with written notification as to why it was not collected. 4.2.2 Single-Family Residence Recyclables Collection 4.2.2.1 Recyclable Materials Residential Recyclables shall be collected from all participating Single-Family Residences Customers as part of basic Garbage collection services, without extra charge. If operational or recycling processing improvements are made that allow additional materials to be recycled at no additional cost to the Contractor, the Contractor agrees to expand the defined list of Residential Recyclables to cover such materials, subject to prior written approval by the City. The Contractor shall collect Curbside prepared and either called-in or set-out Recyclables as described in Exhibit C. 4.2.2.2 Containers The Contractor shall provide collection Containers to Customers at no charge. The default Recycling Cart size shall be 96-gallons, provided that the Contractor shall offer and provide 35- or 64-gallon Recycling Carts on request to those Single-Family Residence Customers requiring less capacity than provided by the standard 96-gallon Recycling Cart. Recycling Carts shall be delivered by the Contractor to new Single-Family Residence Customers, those Customers requesting replacements, or Customers that had previously rejected their Recycling Cart, within seven (7) days of the Customer's request. 4.2.2.3 Specific Collection Requirements Single-Family Residence Recyclables collection shall occur every-other-week on the same day as each household's Garbage and Compostables collection. Collections shall be made from Residences on a regular schedule on the same day and as close to a consistent time as possible. The Contractor shall collect on Public Streets and Private Roads in the same location as Garbage collection service is provided. The Contractor's employees shall make collections in an orderly, non-disruptive and quiet manner, and shall return Containers with their lids closed and attached to their set out location, and out of any Public Street, in an orderly manner. The defined list of Residential Recyclables in Exhibit C shall be collected from all participating Single- Family Residences as part of basic Garbage collection services, without extra charge. The Contractor shall collect all Residential Recyclables from Single-Family Residences that are placed in Contractor owned Carts or are boxed or placed in a paper bag next to the Customers' Recycling Cart. Recyclables must be prepared as described in Exhibit C and uncontaminated with food or other residues. No limits shall be placed on set-out volumes for Curbside Recyclables, other than those specifically listed in Exhibit C. In the event that large quantities of commercially-generated materials are consistently set out at a Single-Family Residence, the Contractor shall request the resident to use a larger Recycling Cart or City of Federal Way 27 July,2019 Comprehensive Garbage,Recyclables,and Compostables Collection Contract 117 use commercial recycling services for the excess volumes. If the resident continues to set out commercial quantities of Recyclables, the Contractor shall notify the City for further action. 4.2.3 Single-Family Residence Compostables Collection 4.2.3.1 Subject Materials Properly-prepared Compostables shall be collected from all Single-Family Residence Customers that subscribe and pay for that service. 4.2.3.2 Containers The Contractor shall provide one Compostables Cart and collection service to each subscribing Customer at the specified rate and shall also provide additional Compostable Carts and service at the additional Compostable Cart fee provided in Exhibit E to Customers requesting that additional service. The default Compostables Cart size shall be 96-gallons, provided that the Contractor shall offer and provide 3S- or 64-gallon Compostables Carts on request to those Single-Family Residence Customers subscribing to those lower levels of service. Excess Yard Debris material that does not fit in a Compostables Cart shall be bundled or placed in Kraft paper bags or properly labeled Customer-owned Cans. Customers choosing to use their own Can for excess Yard Debris shall be provided durable stickers by the Contractor that clearly identify the container's contents as "Yard Debris." Excess Yard Debris shall be charged at the Extra Compostables Unit rate specified in Exhibit E. Compostables Carts shall be delivered by the Contractor to new subscribing Customers and Customers requesting a replacement Compostables Cart within seven (7) days of the Customer's request. The Contractor shall include instructional materials regarding Food Scrap recycling via Compostables Carts, subject to the City's prior written approval. The Contractor shall provide an on-call fee-based Compostables Container cleaning service to Customers at the rate provided in Exhibit E. 4.2.3.3 Specific Collection Requirements Properly prepared Compostables shall be collected weekly on the same day as each household's Garbage and Recyclables collection from all subscribers. Collections shall be made from Single-Family Residence subscribers on a regular schedule on the same day and as close to a consistent time as possible. Compostables in excess of 96 gallons may be charged at the additional Cart rate (if that Customer has ordered one or more additional Compostables Carts) or as Compostables Extra Units in 32 gallon increments in accordance with Exhibit E. Upon direction from the City, for two collection cycles immediately following a City-designated storm event, up to 96 additional gallons of loose or bagged storm debris shall be accepted with regular quantities of Compostables without extra charge, provided that the materials are prepared and set-out as described for excess Yard Debris in the prior section. The City shall designate no more than three (3) City of Federal Way 28 July,2019 Comprehensive Garbage,Recyclables,and Compostables Collection Contract 118 storm events each calendar year. This service shall be available only to Compostable service subscribers. Compostables may be placed in Carts, paper bags, bundles, or relabeled Cans next to the initial Compostables Cart, provided that Food Scraps shall be contained in the initial Cart and only Yard Debris shall be placed in bags, bundles, or open cans. The Contractor shall collect on Public Streets and Private Roads in the same location as Garbage collection is provided. The Contractor's employees shall make collections in an orderly and quiet manner, and shall return Containers in an upright position, with lids attached, to their set out location and out of the public street. Upon one-hundred-eighty-days (180) written notice from the City, the Contractor shall shift Single- Family Residence Compostables collection from subscription-based to embedded in Customer's Garbage rates. In the event that the City implements this option, subscribers shall no longer be charged fees for their initial Compostables Cart service and the Single-Family Garbage rates in Exhibit E shall be increased by$9.48/month plus the City's then-current Administration Fee and corresponding State B&0 tax on the Administrative Fee related to this increase, subject to the rate modification provisions of Section 5.3.1. 4.2.4 Multifamily Complex and Commercial Customer Garbage Collection 4.2.4.1 Subject Materials The Contractor shall collect all Garbage set out for disposal by Multifamily Complex and Commercial Customers in or properly prepared and contained materials next to Containers. 4.2.4.2 Containers Multifamily Complex and Commercial Customers shall be offered a full range of Container and service options, including Garbage Carts, one (1) through eight (8) cubic yard non-compacted Detachable Containers, and collection from one (1)through six (6) cubic yard Customer-owned or leased compacted Detachable Containers. Containers shall be provided to Customers at no charge, except for compacting Containers or unless otherwise set forth in this Contract and directed by the City. Materials in excess of Container capacity or the subscribed service level shall be collected and properly charged as Extra Units as directed by the City. The Contractor shall develop and maintain route lists in sufficient detail to allow accurate recording and charging of all Extra Units. The Contractor may use either or both front-load or rear-load Detachable Containers to service Multifamily Complex and Commercial Customers. However, not all collection sites within the City Service Area may be appropriate for front-load collection due to limited maneuverability or overhead obstructions. The Contractor shall provide Containers and collection services capable of servicing all Customer sites, whether or not front-load collection is feasible. Containers shall be delivered by the Contractor to requesting Multifamily Complex and Commercial Customers within three (3)days of the Customer's initial request. City of Federal Way 29 July,2019 Comprehensive Garbage,Recyclables,and Compostables Collection Contract 119 4.2.4.3 Specific Collection Requirements Collections from both Multifamily Complex and Commercial Customers shall be made on a regular schedule on the same day and as close to a consistent time as possible to minimize Customer confusion. The Contractor shall provide locks for Containers upon request and remove and replace Containers from enclosures and position (roll-out) Containers up to twenty-five (25) feet for Garbage (and Recycling and Compostable) collection at no additional charge. Additional roll-out charges may be assessed in twenty- five (25) foot increments only to those Multifamily Complex and Commercial Customers for whom the Contractor must move a Container over twenty-five (25) feet to reach the collection vehicle at its nearest point of access. Extra charges may be assessed for materials loaded so as to lift the Container lid in excess of six (6) inches from the normally closed position. The Contractor shall not charge fees for either opening gates or unlocking containers. Customers with hard-to-access Containers requiring the Contractor to wait for Customer Container relocation or requiring Contractor's use of specialized equipment for Container relocation may charge those Customers additional access fees and/or hourly fees consistent with Exhibit E. Multifamily Complex and Commercial Garbage may request extra collections and shall pay a proportional amount of their regular monthly rate for that service as established by the City. 4.2.5 Multifamily Complex and Commercial Recyclables Collection 4.2.5.1 Subject Materials All properly prepared Recyclables listed in Exhibit C for Multifamily Complex and Commercial Customers, shall be collected as part of the basic Garbage collection services, up to the specified quantity limit in Section 4.2.5.3 without extra charge. 4.2.5.2 Containers The Contractor shall provide Recycling Containers at no additional charge to all Multifamily Complex and Commercial Customers requesting Containers. The Contractor shall encourage and promote participation in Recyclables and Compostables services and shall recommend appropriate relative Container sizes through its site visit and evaluation process. The Contractor shall encourage the use of Detachable Containers or Drop-box Containers instead of multiple Carts at locations where more than one cubic yard of Recycling capacity is provided, unless constraints favor the use of Carts. Containers used for the collection of Recyclables shall be delivered by the Contractor to requesting Customers within three (3) days of the Customer's initial request. The Contractor may decline to collect Recyclables if the Container in which they are placed by the Customer contains Excluded Materials or other materials that do not conform to the definition of Recyclables or that do not meet specifications. For Multifamily Complex Customers, Recyclables contamination reduction elements will be provided by the Contractor upon request or whenever contamination levels exceed established thresholds. Contractor-supplied contamination reduction elements specifically for Detachable Containers shall include: specialized lids with slots for depositing Recyclables, and functional lock bars and locks. City of Federal Way 30 July,2019 Comprehensive Garbage, Recyclables,and Compostables Collection Contract 120 Sufficient inventory specialized lids with slots shall be maintained to enable Container delivery standards set in Section 6.1. Multi-lingual recycling instruction decals shall be affixed to Detachable Containers upon request. 4.2.5.3 Specific Collection Requirements Multifamily Complex and Commercial Recyclables collection shall occur at least weekly or more frequently (but not more than three times per week) if space constraints preclude providing sufficient weekly capacity. Commercial Customers shall be subject to a two 96-gallon Recycling Cart limit. In cases where multiple tenants share Garbage service, each tenant shall be considered and set-up as a separate Customer for the purposes of receiving up to two 96-gallon Recycling Carts. Multifamily Customers shall be collected without limit. Commercial Customers requiring additional capacity may select any vendor (including the Contractor) and procure those services outside of this Contract. In the event that the Contractor provides those additional services at rates negotiated between the Contractor and the Commercial Customer, the following fee cap will apply: the combined fee for separate Garbage, Recyclables, and Compostables collection services may not be any greater than the equivalent monthly Garbage fee for that same volume of material. The provision of fee-based Commercial Recycling shall comply with the service and billing standards of this Contract, but at market rates subject to the combined fee cap described above. Collections shall be made on a regular schedule on the same day(s) of the week and as close to a consistent time as possible to minimize Customer and tenant confusion. The Contractor's employees shall make collections in an orderly, non-disruptive, and quiet manner, and shall return Containers after emptying to the same location as found, with their lids closed. The Contractor shall provide suitable locks for all Container types upon request at no charge. The Contractor shall remove and replace Containers from enclosures and position (roll-out) Containers up to twenty-five (25) feet for Garbage (and Recycling and Compostable) collection at no additional charge. Additional roll-out charges may be assessed in twenty-five (25) foot increments only to those Multifamily Complex and Commercial Customers for whom the Contractor must move a Container over twenty-five (25)feet to reach the collection vehicle at its nearest point of access. The Contractor shall not charge fees for either opening and closing gates, or unlocking and relocking gates and lids on Containers. 4.2.6 Multifamily Complex and Commercial Customer Compostables Collection The Contractor shall provide subscription-based Compostables collection services to requesting Multifamily Complexes and Commercial Customers. 4.2.6.1 Subject Materials The Contractor shall provide collection of Compostables from any requesting Multifamily Complex or Commercial Customer, subject to that Customer's continued compliance with material preparation requirements. Contaminated or oversized Compostables materials rejected by the Contractor shall be City of Federal Way 31 July,2019 Comprehensive Garbage, Recyclables,and Compostables Collection Contract 121 tagged in writing in accordance with the Contamination Reduction Plan with an appropriate problem notice explaining why the material was rejected. 4.2.6.2 Containers Carts shall be provided to subscribers as part of the service at no additional charge. Compostables Containers shall be delivered by the Contractor to Multifamily Complex and Commercial Customers within three (3) days of a Customer's request. The Contractor shall offer regular weekly and twice-weekly collection of the following service levels, at the rates set forth in Exhibit E: 1. One 35-gallon cart(weekly) 2. One 64-gallon cart (weekly or twice-weekly) 3. One 96-gallon cart(weekly or twice-weekly) 4.2.6.3 Specific Collection Requirements Multifamily Complex and Commercial Customer Compostables collection shall occur weekly or twice- weekly, as subscribed for and requested by the Customer. Collections shall be made on a regular schedule on the same day(s) of the week and as close to a consistent time as possible to minimize Customer confusion. The Contractor's employees shall make collections in an orderly and quiet manner, and shall return Containers after emptying to the same location as found, with their lids closed. Customers may, at their sole option, direct the Contractor to routinely re-line Compostables Carts with approved biodegradable liners for the per unit rate specified in Exhibit E. 4.2.7 Drop-Box Container Garbage Collection 4.2.7.1 Subject Materials The Contractor shall provide Drop-Box Container Garbage collection services to Customers, in accordance with the service level selected by the Customer. 4.2.7.2 Containers The Contractor shall pay the cost of procuring and providing Containers for Garbage meeting the standards described in Section 4.1.14. Both Customer-owned and Contractor-owned Drop-box Containers shall be serviced, including Customer-owned compactors. The Contractor shall maintain a sufficient Drop-box Container inventory to provide delivery of empty containers by the Contractor to new and temporary Customers within three (3) business days after the Customer's request. 4.2.7.3 Specific Collection Requirements City of Federal Way 32 July,2019 Comprehensive Garbage,Recyclables,and Compostables Collection Contract 122 The Contractor shall provide dispatch service and equipment capable of collecting full Drop-box Containers on the same business day if the Customer's initial request is received by the call center before 10:00 a.m., and no later than the next business day if the Customer's initial call is received by the call center after 10:00 a.m. Drop-box Containers shall be delivered to new Customers within one business day of their request. The Contractor shall detach, remove and replace Drop-Box Containers from locked or unlocked enclosures at no additional charge. The Contractor may charge additional time and/or mileage only if (1) the Customer requests that Contractor deliver material to a facility other than the closest King County disposal facility, (2) the facility is one to which the Contractor is allowed to deliver the material under this Contract, and (3) Contractor delivers the material to such facility after advising the Customer in writing (e-mail is acceptable) as to the basis of the additional time and/or mileage charges to be payable by the Customer on account of such delivery(ies). Additional mileage charges shall be assessed on a one-way basis and shall only apply to mileage in excess of the distance to the closest County authorized disposal facility appropriate for the material type being hauled. 4.2.8 Temporary(Non-Special Event)Container Customers The Contractor shall maintain a sufficient Container inventory, including Detachable Container and Drop-box Containers, to provide delivery of empty Containers by the Contractor to temporary Customers within three (3) business days after the Customer's initial request.The charges for temporary Detachable Container service as listed in Exhibit E shall include delivery, collection, distance, and disposal or processing for Recyclables or Compostables. No additional fees other than those included in Exhibit E may be charged. Temporary Garbage services do not include collection and shall not exceed ninety (90) days in duration. Customers requiring service for more than ninety (90) days shall subscribe for regular combined Garbage, Recycling, and Compostables service. 4.2.9 Special Event Services Contractor shall provide temporary Garbage, Recyclables, and Compostables Containers and signage for Customers' special events within the Service Area at the rates listed in Exhibit E. Contractor shall provide such Customers with assistance in determining Container needs and signage for Garbage, Recyclables, and Compostables at the special events, including site visits and technical assistance to ensure that the maximum Recyclables and Compostables diversion is achieved. Contractor shall coordinate their efforts with the City, and provide such Customers and the City with a summary of the volumes and tonnages of materials disposed of and diverted for recycling and composting. Contractor shall provide these special event services as a bundle, with each event providing collection of Recyclables and Compostables as part of the event Garbage collection service.The provision of Garbage- only service for special events shall only be provided on a case-by-case basis upon prior written approval of the City. 4.2.10 City Services The Contractor shall provide Garbage, Recyclables and Compostables collection to all City-owned municipal facilities, parcels, and parks as a part of this Agreement at no additional charge. The service levels for each City facility listed may be changed at the City's discretion and at no additional cost to the City of Federal Way 33 July,2019 Comprehensive Garbage,Recyclables,and Compostables Collection Contract 123 City. Of the Parks Facilities listed below, those with an "*" shall receive seasonal and/or year-round collection services on site, using Detachable Containers or Carts at the City's direction. Contractor shall not be anticipated to provide scheduled collection services at the other listed Parks. At the City's discretion and at no additional cost to the City, any City-owned facilities or parcels may receive occasional temporary Compostables, Recyclables, or Garbage services (typically via Drop-Box Container) in support of City maintenance of these sites. Facilities and parks include, but are not limited to, the following: FACILITY ADDRESS City Facilities: Federal Way City Hall 33325 8th Avenue S Brooklake Community Center 726 S 356th Street Celebration Park Maintenance Site 1095 S 324th Street Dumas Bay Centre/Knutzen Theatre 3200 SW Dash Point Road Evidence Building/SWR Storage 600 S 333rd Street Federal Way Community Center 876 S 333rd Street Steel Lake Maintenance Facility 31132 28th Avenue S Town Center Parcels 2141 S 314th Street Performing Arts& Events Center 31510 Pete von Reichbauer Way South Historical Society facility 2645 S. 312th St [ City Parks: Adelaide 30619 16th Avenue SW Alderbrook 32730 17th Avenue SW Alderdale 2700 SW 340th Place BPA Trail 1100 S 324th Street Camelot Open Space 29200 45th Avenue S Cedar Grove 2200 S 333rd Street *Celebration 1095 S 324th Street Coronado 2501 SW 349th Place Dash Point Highlands 5300 SW 324th Street Dash Point Triangle 31200 SW Dash Point Road Dumas Bay Sanctuary 30844 44th Avenue SW Federal Way Entry Sign 2800 S 320th Street City of Federal Way 34 July,2019 Comprehensive Garbage,Recyclables,and Compostables Collection Contract 124 Fisher's Pond 31850 7th Avenue SW *French Lake 31531 1st Avenue S Heritage Woods 28200 24th Place S Hylebos/ Blueberry Farm 630 S 356th Street Hylebos/Historic Cabins 34915 4th Avenue S Lake Grove 833 SW 308th Street Lake Killarney 3500 Weyerhaeuser Way S *Lakota 31334 SW Dash Point Road Laurelwood 2301 S 292nd Street Madrona 1500 SW 356th Street Mirror Lake 915 S 315th Street Olympic View 2900 SW 330th Street Palisades 5039 SW Dash Point Road Panther Lake Open Space and Trail 550 SW Campus Drive Poverty Bay Open Space 2500 SW 301st Street *Sacajawea 1401 S Dash Point Road *Saghalie 33914 19th Avenue SW Sculpture Park 20315 316th Street Spring Valley Open Space Various Parcels *Steel Lake/Steel Lake Annex 2410 S 312th Street SW 312th Sports Court 100 SW 312th Street *Town Square 31600 Pete von Reichbauer Way South Wedgewood 3913 SW 337th Street West Campus Trail 200 S 320th Street *West Hylebos Wetlands Park 411 S 348th St *Westway Substation/Tract 33400 21st Ave SW Wildwood 2315 S 300th Street Winco Park 106 SW Campus Drive At any time during the Term of this Contract, the City may add up to five City facilities and up to five City of Federal Way 35 July,2019 Comprehensive Garbage,Recyclables,and Compostables Collection Contract 125 additional City parks to be subject to the service specifications in the section, in addition to those listed above. In cases in which Garbage, Recyclables, or Compostables are generated through the performance by third parties of services for the City outside of the normal operation of a municipal facility, Contractor may charge for the collection of such materials in accordance with charges listed in Exhibit E. Garbage, Recyclables, and Compostables generated at all City facilities in the ordinary course of their operations, however, whether generated by City staff or affiliated personnel, facility users, or third parties (e.g., janitorial contractor or site management contractor) will be collected by the Contractor without charge to the City. Tenants or other occupants of a municipal facility, other than those who operate the facility as a City contractor of municipal services, may be charged by Contractor in accordance with this Contract for collection services for Garbage, Recyclables and Compostables as a typical customer: The Contractor shall provide collection of designated on-street Litter and Recyclables receptacles within the City, as directed by the City and paid by the City at the per collection rate in Exhibit E. Collection shall occur not less than one (1) time each week and up to three (3) times each week, depending on season and need, at the direction of the City. Uncontaminated Recyclables collected from these receptacles will be separated, processed, and recycled. Contractor shall line all of these receptacles after each collection, with liners supplied by the Contractor. The Contractor shall also provide, maintain, and service a minimum of six (6) Big Belly compacting Garbage receptacles at no additional cost, to be sited and installed as approved by the City no later than September 1, 2021. 4.2.11 Community Events The Contractor shall provide support for up to five (5) City-sponsored events each year. That support shall include Garbage, Recyclables, and Compostables collection as necessary, including delivery, placement, collection, disposal/diversion of materials, and removal of Containers after the event. Additional event services for public (above the five (5) provided at no cost each year) or all events conducted by private Customers shall be charged at the rate listed in Exhibit E. Rates are all-inclusive for delivery, setup, collection services, and removal of event containers, similar to specifications in Section 4.2.9. 4.2.12 On-call Bulky Waste Collection The Contractor shall provide on-call fee-based Bulky Waste collection to any Customer, including Multifamily and Commercial Customers. On-call collection of Bulky Waste shall be provided by the Contractor to Customers by appointment for no more than the charge set forth in Exhibit E to this Contract, with collection occurring no later than five (5) business days after a Customer initial request. Customers must place Bulky Waste at the regular Garbage collection location no more than twenty-four (24) hours prior to collection. The Contractor shall notify the Customer of the specific date that their item will be collected, the charge that will be made to their next bill, and where the item should be placed for collection. City of Federal Way 36 July,2019 Comprehensive Garbage,Recyclables,and Compostables Collection Contract 126 The Contractor shall recycle all metal appliances, unless another arrangement is approved in writing by the City, and to make a reasonable effort to recycle all other materials collected. The Contractor shall direct Customers to remove doors from refrigerators and freezers before collection and not to place Bulky Waste at the Curb prior to twenty-four(24) hours before scheduled collection. On-call Bulky Waste collection must occur during the hours and days specified in Section 4.1.3, with the exception that Saturday collection is permissible if it is more convenient for Customers. 4.2.13 Excluded Services This Contract does not include the collection or disposal of Unacceptable Waste. 4.3 COLLECTION SUPPORT AND MANAGEMENT The Contractor shall provide collection support and management consistently throughout the term of this Contract and in compliance with the provisions under the following subsections. Financial and staffing resource levels for certain functions shall meet or exceed the levels and amounts itemized in Exhibit D, provided that Contract compliance shall be continuously maintained irrespective of stated minimum resource levels. 4.3.1 General Customer Service The Contractor shall be responsible for providing all Customer service functions, including, but not limited to: • Answering Customer telephone calls and e-mail or electronically communicated requests; • Requesting at start of service Customer's preference for notification of service changes via robo- calls,texts, or emails, and confirming and updating these preferences periodically; • Asking Customers at start of service their preference for receiving Contractor's welcome packet and subsequent outreach and account information electronically or via mail; • Informing Customers of current, new, and optional services and charges; • Handling Customer subscriptions and cancellations; • Receiving and resolving Customer complaints; • Dispatching Drop-box Containers, temporary containers, and special collections; • Billing; • Maintaining and updating regularly as necessary a user-friendly internet website; and • Maintaining and updating regularly as necessary a user-friendly mobile application. 4.3.2 Specific Customer Service Requirements The Contractor shall maintain a service base for storing and/or maintaining collection vehicles within twenty-five (25) miles of the City's corporate limits. Operations and management staff shall be located at that site, provided that call center operations may be remotely provided. The Contractor's call center shall be open at a minimum from 7:00 a.m. to 7:00 p.m. weekdays, and no less than four (4) hours on Saturdays. Customer service representatives shall be available through the Contractor's call center during these hours for communication with the public and City representatives. During these hours, City of Federal Way 37 July,2019 Comprehensive Garbage,Recyclables,and Compostables Collection Contract 127 customer calls shall be handled by Contractor's staff, not by voice mail. Outside of the call center's open hours, the Contractor shall have an answering or voice mail service available to record messages from all incoming telephone calls. The holiday collection schedule described in Section 4.1.6 shall also apply to Customer service coverage. The Contractor shall maintain a twenty-four (24) emergency telephone number for use by the City. The Contractor shall have a representative, or an answering service to contact such representative, available at such emergency telephone number for City-use during all hours, including normal Office Hours. Inability to reach the Contractor's staff via the emergency telephone number shall be cause for performance fees in accordance with Section 6.1.2. 4.3.2.1 Customer Service Representative Staffing During call center hours, the Contractor shall maintain sufficient staff to answer and handle complaints and service requests from all Customers without delay. If incoming telephone call volumes necessitate, the Contractor shall increase staffing levels as necessary to meet Customer service demands. The Contractor shall proactively recruit, train, and schedule customer service staff to avoid underperforming during periods of high call volume, and to replace in a timely manner customer service staff lost due to attrition. The Contractor shall maintain sufficient staffing to answer and handle all Customer complaints and service requests in a timely manner, whether made by telephone, letter, e-mail, mobile message, or webpage/"chat" message. If staffing is deemed to be insufficient by the City to handle Customer complaints and service requests in a timely manner, the Contractor shall increase staffing levels to meet and maintain performance criteria as established in Section 4.3.2.4. To manage the anticipated temporary increase of customer contacts, the Contractor shall provide additional customer service staffing during the transition and implementation period, specifically from six (6) weeks prior to the Date of Commencement of Service, through the end of the fourth month after the Date of Commencement of Service, to ensure that sufficient staffing is available to minimize Customer waits and inconvenience. The Contractor shall receive no additional compensation for increased staffing levels during the transition and implementation period. Staffing levels during the transition and implementation period shall be subject to the City's prior review and approval. 4.3.2.2 City Access to Contractor's Customer Service Information The Contractor shall maintain staff that has management level authority to provide a point of contact for all City inquiries, requests, and coordination covering the full range of Contractor activities related to this Contract. Contractor duties include, but are not limited to: • Promotion and outreach to Single-Family Residences, Multifamily Complexes, Commercial, and community event Customers; • Serving as an ombudsperson, providing quick resolution of all Customers' issues, complaints, and inquiries; and • Assisting the City with program development and design, research, response to inquiries, and troubleshooting issues. City of Federal Way 38 July,2019 Comprehensive Garbage,Recyclables,and Compostables Collection Contract 128 Contractor shall employ a designated service expert team, which shall be accessible by the City and City- designated representatives to address emerging problems as needed. This service expert team shall be available during regular Office Hours and, if not responding immediately to a City inquiry, a service expert team employee is required to return City-initiated messages (whether originated via telephone, mobile messaging, or e-mail)within four(4)working hours of receipt. 4.3.2.3 Service Recipient Complaints and Corrective Requests The Contractor shall record all complaints and corrective requests made to Contractor to resolve issues related to establishing service or subsequent issues arising once service is established, regardless of how received. The Contractor's records shall including nature of complaint or request, date, time, Customer's name and address, method of transmittal, and nature, date and manner of resolution of the complaint or service request in a computerized daily log. Any complaints received through the Contractor's voice mail or answering service shall be entered in the log no later than the following business day. The Contractor shall dedicate adequate resources and shall make a conscientious effort to respond directly to all Customers and resolve all complaints within one business day of the original phone call, letter, or electronic communication, and shall complete all service requests within the time limits as established throughout this Contract: If a longer response time is necessary to resolve complaints or related corrective requests, the circumstances that have caused the delay shall also be noted in the log to document the Contractor's efforts to resolve the complaint or request. The Customer service log shall be managed via software and be available for inspection by the City,or its designated representatives, during the Contractor's Office Hours, and shall be in a format approved by the City. The Contractor shall provide a copy of this log in an electronic format from the Microsoft Office suite (or other City-approved format) of software to the City with the monthly report. 4.3.2.4 Handling of Customer Calls All incoming telephone calls shall be answered promptly and courteously, with an average speed of answer of less than thirty (30) seconds. No telephone calls shall be placed on hold for more than two (2) minutes per occurrence, and on a monthly basis, no more than ten percent(10%)of incoming telephone calls shall be placed on hold for more than twenty (20) seconds. Contractor shall include aggregated weekly call volume data for the Service Area in the monthly reporting that tracks ongoing compliance with these specifications. A Customer shall be able to talk directly with a Customer service representative when calling the Contractor's Customer service telephone number during call center operating hours without navigating an automated phone answering system through more than one level of menus. An automated voice mail service or phone answering system may be used outside of call center operating hours. A Customer calling into the Customer service phone lines and placed on hold shall hear on-hold information consisting solely of City-specific information or Contractor promotional information that is applicable and not misleading to Customers. 4.3.2.5 Corrective Measures Upon the receipt of Customer complaints in regard to busy signals or excessive delays in responding to customer service requests, the City may request the Contractor submit a plan to the City for correcting City of Federal Way 39 July,2019 Comprehensive Garbage,Recyclables,and Compostables Collection Contract 129 the problem. Contractor shall submit this plan within five (5) working days of the City's request. Once the City has approved the plan, the Contractor shall immediately begin implementation of these corrective measures and shall report on implementation at least weekly. Contractor shall have thirty (30) days to fully implement the corrective measures, except during the transition and implementation period from one (1) month prior to the Date of Commencement of Service, through the end of the fourth month after the Date of Commencement of Service, during which upon City notification, the Contractor shall have five (5) working days to fully implement corrective measures. Failure to provide corrective measures shall result in performance fees for the Contractor as specified in Section 6.1. 4.3.2.6 Contractor Internet Website The Contractor shall maintain a website containing information specific to the City's collection programs, including at a minimum contact information, collection schedules, current day of collection map, material preparation requirements, available services and options, rates and fees, inclement weather service changes with updates several times per day in the event of inclement weather, as well as updates that apply to those Customers whose services were impacted by inclement weather on prior days, and other relevant service information for its Customers. The website shall include live contact function for Customer communication with the Contractor, and the ability for Customers to submit service requests and manage their services on-line. Electronic Customer service requests shall be answered within one (1) business day of receipt. The website shall be professionally designed, including usability testing prior to submittal to the City for approval a minimum of three (3) months prior to the Date of Commencement of Service of this Contract. The website will be maintained and continually updated by Contractor. Significant website reformatting shall be subject to the City's prior approval throughout the term of this Contract. The Contractor shall provide among its local staff a knowledgeable and proficient website manager that is responsive to the City's request(s) for changes to the Contractor's website. Changes requested by the City consisting of textual messages only shall be uploaded to the website within seventy-two (72) hours of the time of the request(s). Changes requested by the City, of a textual nature, that are related to an emergency or time-sensitive situation (such as an inclement weather event, windstorm, or event preventing access to a Customer's regular place of container set-out) shall be uploaded to the website as soon as possible and not more than six (6) hours from of the time of request. Changes requested by the City that include a graphical component must be uploaded to the website within five (5) working days of the time of the request. The Contractor shall provide timely updates to the website, and provide links to the City's website, and Contractor shall check on a monthly basis to ensure that all links are current and correct any that no longer function. The website shall include core information (including at a minimum: how to establish service, preparation and set-out instructions, and rate information) in English and Spanish. The website shall also provide statements on its City-specific homepage in other commonly used non-English languages within the City referring Customers to the Contractor's translation helpline or a separate webpage with an appropriate translation function. Upon the City's request, the Contractor shall provide a website utilization report indicating the usage of various website pages and e-mail option. 4.3.2.7 Full Knowledge of Garbage, Recyclables,and Compostables Programs Required City of Federal Way 40 July,2019 Comprehensive Garbage,Recyclables,and Compostables Collection Contract 130 The Contractor's Customer service representatives shall be fully knowledgeable of all collection services available to Customers, including the various services available to Single-Family Residence, Multifamily Complex, and Commercial Customers. For new Customers, Customer service representatives shall explain all Garbage, Recyclables, and Compostables collection options available depending on the sector the Customer is calling from. For existing Customers, the representatives shall explain new services and options, and resolve recycling issues (including providing support for Contamination Reduction Plan inquires), collection concerns, missed pickups, container deliveries, and other Customer concerns. Customer service representatives shall be trained to inform Customers of Recyclables and Compostables preparation specifications. Customer questions related to City policy shall be forwarded to the City for response. The Contractor's Customer service representatives shall have instantaneous electronic access to Customer service data and history to facilitate providing excellent customer service.The Contractor shall provide the City with a comprehensive outline of the Contractor's internal customer service representative training and support information specific to the City, and allow the City to periodically review and check Contractor's internal information accessed by customer service representatives to provide to Customers. Routine revisions to these materials shall be made by the Contractor on an ongoing basis, but any substantial revisions to this internal information shall be approved in writing by the City prior to being used by customer service representatives. The Contractor shall also provide the City with up to ten (10) dormant (non-serviced) accounts in various sectors and service modes to facilitate City monitoring of Customer communications and billing protocols. These non-serviced accounts shall be established in conjunction with the City and related data shall be fully accessible by the City. Contractor will manage these accounts as if the City were a typical Customer. 4.3.2.8 Customer Communications All Customer communications (other than routine service and billing interactions with individual Customers) shall be reviewed and approved in writing by the City before distribution. The City and Contractor recognize that Customer preferences for their method of communication may change during the Term of this Contract and agree to adjust customer service expectations to match Customer preferences. For example, if call traffic to the Contractor's telephone-based call center reduces over time and is supplanted by an increase in texting, the Contractor shall shift staff resources accordingly to ensure sustained high levels of customer service.The City and Contractor agree to review Contract requirements periodically and negotiate in good faith any desired improvements to the Contract service standards related to customer service delivery. 4.3.3 Contractor's Customer Billing Responsibilities Unless otherwise authorized by the City, the Contractor shall provide existing Customers with a "close- out" billing during the last month of the previous contract and shall start a new billing cycle for each Customer starting on the Date of Service Commencement. The Contractor shall be responsible for all billing functions related to the collection services required under this Contract. Single-Family Residential shall be billed quarterly and all other Customers shall be billed monthly. In no case shall a Customer's invoice be past due prior to the receipt of all services City of Federal Way 41 July,2019 Comprehensive Garbage,Recyclables,and Compostables Collection Contract 131 covered by the billing period. The Contractor's billing cycle parameters include, but are not limited to the service period, invoice date, due date, late fee date, reminder date(s), Container removal and stop- service date. The City reserves the right to review and provide feedback on the bill template used by the Contractor as to format and design to ensure Customer satisfaction. The Contractor shall evaluate and may incorporate the City's recommendations in good faith. Billing and accounting costs associated with Customer invoicing, including credit card fees, shall be borne by the Contractor, and are included in the service fees in Exhibit E. The Contractor may charge deposits for temporary services and bill to Customers late payments and "non-sufficient funds" check charges, as well as the costs of bad debt collection, under policies and amounts that have been previously approved in writing by the City. The Contractor shall offer paperless billing, including an autopay/electronic notification function that allows Customer to set up autopay and receive an e-mail or text notification of the amount and draw date of the payment, without requiring the Customer to navigate to the Contractor's website to obtain that information. Customers may temporarily suspend collection services due to vacations or other reasons for as long and as often as desired with an initial two (2) week minimum plus additional one (1) week increments and be billed pro-rata for actual services received. The Contractor may charge an extended vacation hold/standby fee as listed in Exhibit E instead of retrieving Carts for those Customers who request a vacation hold greater than one month in duration. The Contractor shall be responsible for the following: • Generating combined Garbage, Recyclables, and Compostables collection bills for all Customers; • Generating bills printed double-sided, on at least thirty percent (30%) post-consumer recycled- content paper; • Generating bills that include at a minimum a statement indicating the Customer's current service level, current charges and payments, appropriate taxes and fees, Customer service contact information and website information; • Generating bills that clearly state the date at which late fees will be assessed for non-payment; • Generating bills that have sufficient space on the front or back of the bill for educational or informational messaging, as directed by the City; • Accepting automatic ongoing payments from Customers via debit or credit card, checking or savings account withdrawal, or by wire transfer. No transaction fees may be levied on any Customer payments; • Accepting, processing, and posting payment data each business day; • Printing and inserting bill inserts designed by the City for Customer sectors—with paper copies added to mailed invoices, and hyperlinked versions for on-line/paperless accounts; City of Federal Way 42 July,2019 Comprehensive Garbage,Recyclables,and Compostables Collection Contract 132 • Maintaining a system to monitor Customer subscription levels, record excess Garbage or Compostables collected, place an additional charge on the Customer's bill for the excess collection, and charge for additional services requested and delivered. This system shall maintain a Customer's historical account data for a period of not less than six(6) years from the end of the fiscal year in accordance with the City's record retention policy, and in a manner that is instantaneously accessible to Customer service representatives needing to refer to Customer service data and history; • Accepting and responding to Customer requests for service level changes, missed or inadequate collection services, and additional services; • Collecting unpaid charges from Customers for properly invoiced services; and • Implementing rate changes as specified in Section 5.3. The Contractor shall be required to maintain procedures to backup and minimize the potential for the loss or damage of the account servicing (e.g., Customer service, service levels, and billing history) database. The Contractor shall ensure that at a minimum a daily backup of the account servicing database is made and stored off-site. The Contractor shall also provide the City with a copy of the account servicing database (excluding Customer financial information such as credit card or bank account numbers) sorted by Customer sector via e-mail, FTP site or electronic media upon request. The City shall have unlimited rights to use such account servicing database for the purpose of developing targeted educational and outreach programs, analyzing service level shifts or rate impacts, and/or providing information to successor contractors. Within one (1) business day of request, the Contractor shall provide the City with a paper and/or software compatible copy (at the City's discretion) of City-requested Customer information and history, including but not limited to Customer names, service and mailing addresses, contact information, service levels, and current account status. 4.3.4 Reporting The Contractor shall provide monthly, annual, and ad hoc reports to the City. The Contractor report formats may be modified from time to time at the City's request at no cost to the City. In addition, the Contractor shall allow City staff access to pertinent operations information related to compliance with the obligations of this Contract, including, but not limited to,vehicle route assignment and maintenance logs, Garbage, Recyclables, and/or composting facility certified weight slips, and Customer charges and payments. 4.3.4.1 Monthly Reports On a monthly basis, by the last working day of each month, the Contractor shall provide a report containing the following information for the previous month. Reports shall be submitted in an electronic format approved by the City and shall be certified as accurate by the Contractor. At minimum, reports shall include: City of Federal Way 43 July,2019 Comprehensive Garbage,Recyclables,and Compostables Collection Contract 133 1. A billing summary that provides the number of Customers billed at each service level (e.g., by container size, extra services) for each service sector(e.g., Single-family Residence, Multifamily Complex, Commercial Customers, and Drop-box hauls by Container size), the total number of Customers for each type of service by sector, Customer receipts by each service level, and total billings. 2. A log of all Customer requests, complaints, inquiries, and site visits, including Customer name, property name and address, date of contact or site visit, reason for site visit, and a summary of the resolution or results of these Customer requests, complaints, and inquiries. 3. Reports from the Contractor's customer service telephone system summarizing daily data for total call volume,total calls answered, and average speed of answer. 4. Website utilization report showing total number of Customers managing their services on-line, total number of e-mails received via website, data on website usage, and other data or information as the City may require. 5. A summary of total Garbage, Recyclables, and Compostables quantities collected (in tons) for each collection sector by month and year-to-date. The summary shall include program participation statistics including: a summary of Multifamily Complex and Commercial participation in recycling programs and set-out statistics for Residential Garbage, Compostables, and Recyclables collection services. Where item counts are more appropriate for certain Recyclables or Bulky Wastes (e.g., appliances, bulky materials, etc.), reporting item counts is acceptable.The summary shall include the names of facilities used for all materials and the total monthly tonnage delivered to each facility. 6. A summary of Recyclables quantities, contamination levels and processing residues disposed as Garbage. 7. A description of any vehicle accidents, infractions, and reported leaks. 8. A description of any changes to collection routes, Containers, vehicles (including back-up vehicles with the truck number and date of use to track limits on vehicle use), customer service provision,or any other related activities affecting the provision of services. 9. A description of any promotion, education, and outreach efforts, including Contamination Reduction Plan outcomes and including samples of distributed materials, and summary of any feedback or response received from Customers. 10. A description of Contractor activities and tonnages for City services and events. If collection vehicles are used to service more than one Customer sector per route or per load, the Contractor shall develop an apportioning methodology that allows the accurate calculation and reporting of collection volumes and quantities from the different sectors. The apportioning methodology shall be subject to the prior review and written approval of the City, and shall be periodically verified through field-testing by the Contractor. City of Federal Way 44 July,2019 Comprehensive Garbage,Recyclables,and Compostables Collection Contract 134 4.3.4.2 Annual Reports On an annual basis, by the first working day of March, the Contractor shall provide a report containing the following information for the previous year: 1. A consolidated summary and tabulation of the monthly reports, described above. 2. A discussion of highlights and other noteworthy experiences, along with measures taken to resolve problems, increase efficiency, and increase participation in, and volume of, Recyclables and Compostables collection programs. 3. A discussion of opportunities and challenges expected during the current year, including steps planned to take advantage of opportunities and resolve the challenges. 4. A discussion of promotion, education, and outreach efforts, and accomplishments for each sector. 5. An inventory of current collection vehicles and other major equipment, including model, year, make, serial or VIN number, assigned vehicle number, mileage (if vehicle), and collection sector. 6. A list of Multifamily Complexes eligible for Recycling and Compostables collection service but not receiving one or both services, with the results of required contacts made by Contractor during the year to promote the Recycling and/or Compostables service to those complexes, including the reason why the Multifamily Complex is not receiving Recycling and/or Compostables service. 7. A list of Commercial Customers eligible for Recycling and Compostables collection service but not receiving one or both services, with the results of required contacts made by Contractor during the year to promote the Recycling and/or Compostables service to those sites, including the reason why the Commercial Customer is not receiving Recycling and/or Compostables service. 8. A summary of the monthly logs of Customer requests, complaints, inquiries, site visits, and resolutions or results, as required in Section 4.3.4.1. The summary shall organize Customer requests, complaints, inquiries, and site visits by category (e.g., missed pickups, improper set- ups). The annual report shall be specific to the City's operations, written in a format appropriate for contract management and shall not be a generalized listing of Contractor activities in the region or elsewhere. 4.3.4.3 Ad Hoc Reports The City may request and receive from the Contractor up to twelve (12) ad hoc reports each year, at no additional cost to the City. These reports may include customer service database tabulations to identify specific service level or participation patterns or other similar information. Reports shall be provided in a City-defined format and with Microsoft software (or other City-approved software) compatibility. These City of Federal Way 1 45 July,2019 Comprehensive Garbage,Recyclables,and Compostables Collection Contract 135 reports shall not require the Contractor to expend more than one hundred (100) staff hours per year to complete. Contractor shall respond to Ad Hoc Report requests within five working days. 4.3.4.4 Other Reports If requested by the City, the Contractor shall provide daily route information for all service sectors and collection streams for the purpose of evaluating potential collection system changes during the Term of the Contract. 4.3.5 Promotion and Education The Contractor, at its own cost and at the direction of the City, shall have primary responsibility for developing, designing, executing, and distributing public promotion, education, and outreach programs. The Contractor shall also have primary responsibility for Customer recruitment, providing annual service-oriented information and outreach to Customers, distributing City-developed promotional and educational pieces at the City's direction, and implementing on-going recycling promotion, education, and outreach programs at the direction of the City. The Contractor shall also coordinate and work cooperatively with City staff and/or consultants hired to conduct outreach and education, and otherwise provide technical assistance. The City and Contractor shall jointly plan the Contractor's specific promotion and education program for the following year, including updating outreach materials and/or refining targeted audiences. The City may elect to assist the Contractor with development of promotional material layout and text, as staff time allows, otherwise the Contractor shall be responsible for all design and production. All promotional, educational, and informational materials provided by the Contractor to Customers in connection with the Contract shall be designed, developed, printed, and delivered by the Contractor, at the Contractor's cost, and subject to the City's final written approval as to form, content, and method of delivery.The City shall review and approve all materials with a minimum review period of two (2) weeks provided in all cases by the Contractor to allow sufficient time for review and approval. Each year, the Contractor shall produce and deliver an annual comprehensive service packet to all Single-Family and Multifamily Residences in the Service Area (including non-subscribers) which shall include, at a minimum, information on the proper disposal of Garbage, Recyclables, and Compostables; rate information; disposal options for difficult-to-recycle items and hazardous wastes; the annual service schedule calendar; contact information; and any other pertinent information. The annual packet may be distributed in print or electronic format at the option of the resident. Each year, the Contractor shall produce and deliver an annual comprehensive service packet to all Multi- family and Commercial Customers in the Service Area which shall include, at a minimum, information on the proper disposal of Garbage, Recyclables, and Compostables; rate information; disposal options for difficult-to-recycle items and hazardous wastes; contact information; and any other pertinent information. The annual packet may be distributed in print or electronic format at the option of the Customer. Upon request, Customers shall be provided with sufficient printed materials to distribute to tenants or lessees. Specific procedures for Multifamily Complexes: City of Federal Way 46 July,2019 Comprehensive Garbage, Recyclables,and Compostables Collection Contract 136 The Contractor shall coordinate with the site manager or owner of Multifamily Complexes, either upon request and/or to facilitate coming into compliance with recycling volume thresholds or contamination thresholds.This may include door-to-door education,training of residents and/or property management staff, signage and posted information, addressing space and capacity constraints. The Contractor shall also coordinate and work cooperatively with City staff and/or consultants hired to conduct outreach and education, and otherwise provide technical assistance. Although subject to change over the term of this contract, the initial recycling volume thresholds are established as 0.12 cubic yards per week per unit (approximately 96 gallons per month) and a target of 5%or less contamination by volume. The following actions will be taken by Contractor whenever responding to contamination of Recyclables or Compostables at Multifamily Complexes. A combination of these actions shall be appropriate in cases where contamination is readily apparent prior to emptying Containers at the complex (which upon discovery by Contractor, or following a field determination made by the City, is termed a "Haul or Call" event). Failure to implement these actions will result in damages as specified in Section 6.1. • Immediately providing the City with photo documentation of the contamination, along with a record of container size, location within the Complex, and other pertinent information. • Specifically-tailored recycling service plans (establishing service volume and container location/access needs, auditing service levels/frequency/schedule, and verifying and monitoring related changes), as well as providing follow-up outreach as needed to achieve optimal participation and compliance with recycling participation regulations. • Monitoring tenant access to collection containers at the Complex, and the resulting contamination levels of recyclable materials, then implementing appropriate remedies by identifying the source or cause of contamination and then planning, assigning, and promoting corrective actions for: property management and site maintenance personnel, valet-style recycling service providers, and/or individual tenants as appropriate. This will then be followed by ongoing monitoring to ensure implementation of appropriate remedies. • Installation and/or use of lock bars/locks, specialized lids with slots for Detachable Container lids, and adjusting container size, placement/location, or service frequency in manners intended to reduce or eliminate contamination of Recyclables. • Distribution of outreach materials including: reusable tote bags for Recyclables, printed outreach materials, container decals, and instructional signage installation as needed. • Door-to-door canvassing and related on-site assistance to property management, maintenance staff, and residents as needed. • Pertinent training of on-site personnel including maintenance staff, volunteers, users of recycling services, and valet-style recycling service provider(s). • On-site visual surveys, tracking, and documentation as needed. • Other related assistance to encourage Multifamily Complex participation in ongoing recycling practices, focusing on the reduction and elimination of contamination sources and/or changing behaviors that result in contamination of recyclables. Specific procedures for Commercial Customers: The Contractor shall coordinate with Commercial Customer site managers or owners to provide outreach to tenants in multi-tenant buildings, office parks, and strip malls and similar situations where Contractor services are shared among tenants. Contractor shall do this either upon request and/or to facilitate coming into compliance with recycling volume thresholds or Recyclables and/or Compostables contamination reduction goals. This may include door-to-door education, training of tenants and/or City of Federal Way 47 July,2019 Comprehensive Garbage,Recyclables,and Compostables Collection Contract 137 property management staff, signage and posted information, and addressing space and capacity constraints. 4.3.6 Transition to Next Contractor The Contractor shall work with the City and any successive contractor in good faith to ensure minimal Customer disruption during the transition period from the City's previous contractor to the City's new Contractor. Container removal and replacement shall be coordinated between the Contractor and a successive contractor to occur simultaneously in order to minimize Customer inconvenience. In the event that the City does not elect to retain all Contractor's Containers pursuant to Section 4.1.15.3, the Contractor shall remove any Containers for all services or any portion of services provided under this Contract upon sixty(60) days' written notice from the City. Upon written request of the City at any time during the term of this Contract, the Contractor shall provide a detailed customer list, including customer name, service address, mailing address, and collection and container rental service levels to the City in Microsoft Excel format (or other City- approved format) within seven (7) days of the City's request. The parties recognize that a failure to comply with this provision will damage the City, but that determination of such damage will be difficult and burdensome; therefore, the parties agree that in the event of a breach of this provision the Contractor shall pay the City five hundred thousand dollars ($500,000) for the material breach of this Contract provision. Payment shall be made within twenty (20) business days of the end of this Contract. The provisions of this section shall survive the termination or expiration of this Contract. S.COMPENSATION 5.1 Compensation to the Contractor 5.1.1 Rates The Contractor shall be responsible for billing and collecting funds from Single-family Residence, Multifamily Complex, and Commercial Customers in accordance with the charges for services listed in Exhibit E. The Contractor may reduce or waive at its option, but shall not exceed, the charges listed in Exhibit E. The payment of charges for services listed in Exhibit E by Customers shall comprise the entire compensation due to the Contractor. In the event that a Customer places Unacceptable Wastes in a Container, and the Contractor collects those materials inadvertently and incurs extraordinary expenses dealing with those materials, the Contractor may charge the Customer the actual costs of managing those materials, as approved by the City. Actual costs.shall include additional transportation, handling, and disposal costs incurred by the Contractor for handling only those specific materials traceable to that Customer. City of Federal Way 48 July,2019 Comprehensive Garbage,Recyclables,and Compostables Collection Contract 138 The City is not required under this Contract to make any payments to the Contractor for the Services performed, or for any other reason, except as specifically described in this Contract, or for services the City obtains as a Customer. In the event that Contractor or a Customer desires solid waste-related services not specifically addressed in this Contract, the Contractor shall propose service parameters and a rate to the City in writing based on an average of adjacent WUTC tariffs. Upon the City's written approval, the Contractor may provide the requested services. In no case shall the Contractor provide unauthorized services or charge unauthorized rates. 5.1.2 Itemization on Invoices All applicable City, County, and Washington State solid waste or household hazardous waste taxes or fees, utility taxes, and (if allowed under the last paragraph of Section 5.1.2) sales taxes shall be itemized separately on Customer invoices and added to the charges listed in Exhibit E, except that the City Administrative Fees shall be included in Exhibit E rates and shall not be itemized separately on Customer invoices. Recycling commodity credit or debits shall be itemized on Customer bills, in accordance with Section 5.3.4 and Exhibit G. Charges for excess Garbage or Compostables, Single-family, Multifamily Complex, and Commercial Compostables collection, Drop-box Container, On-call collection services, On-call fee-based Bulky Waste collection services, Container rentals, or temporary Container services shall be itemized on the Customer invoices separately by the Contractor, and may at no time exceed the charges set forth in Exhibit E. The County disposal fee as it exists on the date of execution or as thereafter modified shall be itemized separately on Customer invoices with charges for Drop-box Container service. The Contractor shall charge Drop-box Customers the actual disposal cost. The Contractor shall not separately charge sales tax for services that include any Container as part of the overall service package. Only Services that separate and itemize optional container rental (specifically Drop-box Container rental) shall have sales tax charged and listed on Customer invoices. The Contractor shall pay appropriate sales tax upon purchase of all equipment and Containers, and those costs are included in the rates provided in Exhibit E. In no case shall Customers be separately charged sales taxes paid by the Contractor on its equipment and Containers. Except as otherwise expressly provided for by the Contract, the Contractor shall not adjust or modify rates due to employee wage increases, changes in Compostables processing fees, Garbage collection service level shifts,or other changes affecting the collection system. 5.2 Compensation to the City The Contractor shall pay to the City an Administrative Fee on or before the fifteenth day of each month during the term of this Contract, starting on October 15, 2020. The Administrative Fee shall be based on City of Federal Way 49 July,2019 Comprehensive Garbage,Recyclables,and Compostables Collection Contract 139 the gross revenues received by the Contractor from all Customers under this Agreement, excluding administrative fee, Drop-box disposal, or processing fees. The initial Administrative Fee shall be assessed at 3.2%of gross revenues received by the Contractor from those Customers since the last Administrative Fee payment period, consistent with the administrative fee calculations shown in Exhibit F. The Contractor's obligations to pay the Administrative Fee shall survive the termination date of this Contract until the Contractor is no longer receiving payments from Customers for services provided under this Contract. The rates included in Exhibit E, as modified during the term of this Contract, include the Administrative Fee, and Customers shall not be separately charged an itemized Administrative Fee. Exhibit F contains an example of how the Administrative Fee is included in rates, and lists the Contractor's service rate,the City's share of the retail rate, the State excise tax associated with the Administrative Fee, and the combined retail rate. Any adjustments to the Administrative Fee rate shall be calculated in a manner consistent with the example shown in Exhibit F. The Contractor shall fully participate with any City billing audit to confirm the Contractor's Customer receipts during any accounting period during the term of the Contract. The audit shall be confined to confirming Customer billing rates, Contractor receipts for services provided under this Contract and bad debt recovery. The City may change the Administrative Fee level in any year, provided that the change is synchronized with the annual Contractor rate modification described in Section 5.3.1. The City shall notify the Contactor of the new Administrative Fee for the following year by September 1, and the Contractor shall itemize and include the appropriate adjustment in its Rate Adjustment Statement provided October 1 of each year. In the event that the Administrative Fee is adjusted, either up or down, the Contractor shall add or subtract an amount equivalent to the state excise tax (1.5% in 2019), as may be adjusted from time to time by the State of Washington. In addition, the Contractor shall be responsible for payment of all applicable permits, licenses, fees, and taxes as described in Section 8.10, Permits and Licenses. 5.3 Compensation Adjustments 5.3.1 Annual CPI Service Component Modification The Contractor's collection service charges and miscellaneous fees and Contract options contained in Exhibit E, excluding waste disposal fees,for each level of service shall increase each year by one hundred percent (100%) of the annual percentage change in the Consumer Price Index ("CPI") for the Seattle- Tacoma-Bellevue Metropolitan Area for the U.S. City Average Urban Wage Earners and Clerical Workers, all items (Revised Series) (CPI-W1982-84=100) prepared by the United States Department of Labor, Bureau of Labor Statistics, or a replacement index. Adjustments shall be based on the twelve (12) month period ending June 30 of the previous year that the request for increase is made. For example, an adjustment to the Contractor's collection service charge for 2022 will be based on the CPI for the twelve (12) month period ending June 30, 2021. City of Federal Way 50 July,2019 Comprehensive Garbage,Recyclables,and Compostables Collection Contract 140 In the event that the CPI index series decreases year-to-year, the service component of Contractor rates shall remain unchanged, and the successive year's adjustment shall be based on the most recent June 30 CPI index value. In the event that the CPI index series increases over five percent (5%) year-to-year,the actual adjustment used shall be capped at five percent (5%), and the successive year's adjustment shall be based on the most recent June 30 CPI index value Adjustments to the Contractor's collection service charge shall be made in units of one cent ($0.01). Fractions less than one cent ($0.01) shall not be considered when making adjustments. Beginning January 1, 2022, Contractor's compensation shall be adjusted annually pursuant to this section.The Contractor shall submit in writing and electronic form to the City for review and verification a Rate Adjustment Statement, calculating the new rates for the next year, on or by October 1 of each year, starting October 1, 2021. In the event that the Contractor does not submit a Rate Adjustment Statement by October 1, the City shall calculate and unilaterally implement a rate adjustment based on the best available information as of October 1 of that year for the applicable period and the Contractor may not appeal this action. Upon completion of the City's review and verification, absent any City exception to the Contractor's calculations, the new rates shall take effect on January 1 of the following year. An example of rate adjustments due to CPI changes is provided in Exhibit F. 5.3.2 Changes in Disposal Fees Periodic adjustments shall be made to Contractor collection rates to reflect increases or decreases in County disposal fees for Garbage. In the event of a change in disposal fees, the disposal fee component of rates charged to Customers shall be adjusted, based on percentage increase or decrease in disposal fee applied to the disposal components included in Exhibit E of this Contract. Disposal fee changes shall be effective on the date of the County's implementation, provided that the Contractor has provided Customers 45-days' notification. Any change in the King County Garbage disposal fee between the Date of Execution and the Date of Service Commencement shall be handled as a normal disposal fee change applied as a pass-through on service rates as appropriate. An example of rate modifications due to disposal fee changes is provided in Exhibit F. 5.3.3 Changes in Disposal or Compostables Processing Sites If the Contractor is required by the City or other governmental authority to use Garbage disposal or Compostables processing sites other than those being used at the initiation of this Contract, the Contractor shall submit a detailed proposal for the adjustment of the rates to reflect any additional cost or savings to the Contractor. It is intended that the Contractor's rates pursuant to this Contract in such a case will be adjusted so as to pass through any resulting additional costs incurred by the Contractor to the Contractor or any additional savings to the Contractor to the City. The City and Contractor agree to negotiate in good faith to make any changes to the rates to accomplish a pass-through of any such costs or savings. If the Contractor is no longer able to find a processing site for all collected Compostables, after a good faith effort to locate a processing facility acceptable to the City, the City reserves the right to drop the collection of affected components of Compostables, such as Food Scraps, from the Contract and the City City of Federal Way 51 July,2019 Comprehensive Garbage,Recyclables,and Compostables Collection Contract 141 and the Contractor shall negotiate rate reduction in good faith to reflect the reduction in service. If the Contractor is subsequently able to find a processing site for Compostables or the site that was originally used for processing Compostables is able to resume taking the dropped materials, the City reserves the right to reinstate the collection of those materials and to reverse the previously agreed rate reduction for the reduction in service. 5.3.4 Recycling Market Adjustments The Contractor shall provide Single-Family, Multifamily Complex, and Commercial Recycling Customers a Recyclables commodity credit or debit based on an allocation of the commodity revenue consistent with the amount of Recyclable material collected from each collection sector during the previous year. The commodity credit or debit shall be itemized on Customer's invoices. During the initial four months of the Contract (September 1, 2020 through December 31, 2020), the Contractor shall provide a commodity credit of $1.00 to Single-Family Customers, based on an initial average commodity value of $54.07 per ton and an average collection weight of 36.94 pounds per month per Customer. Multifamily Complex Customers shall receive an initial commodity credit of$0.58 per yard of Garbage service, based on a commodity value of $54.07 per ton and an average collection weight of 21.36 pounds per month per yard of Garbage service. Commercial Customers shall receive an initial commodity credit of$0.15 per yard of Garbage service, based on a commodity value of$54.07 per ton and an average collection weight of 5.49 pounds per month per yard of Garbage service. Starting January 1, 2021, and each successive January 1 of the Contract term, the commodity credit value shall be adjusted by the results of the Contractor's previous year Recyclables composition analysis and the percentage change in reference commodity values, using the methodology described in Exhibit G. The City and Contractor agree that the objective of the recycling commodity credit is to provide Customers with a reasonable estimation of the value of the Recyclables generated by each Customer, based on the quantity and composition of Recyclables generated, as they are expected to change over the course of the contract. The Contractor has proposed an initial starting value for recyclables, based on their best estimation of material quantities and values for the first year. In successive years, the Contractor and City shall cooperate in a sampling program that provide accurate annual updates to the quantities and composition of Recyclables, and shall use the market index approach described in Exhibit G to provide a consistent and predictable adjustment which reflects underlying changes in the commodity market. The City and Contractor may mutually agree on changing the specific sampling methodology and timing, providing that the underlying objective of providing Customers a rebate of the full value of their generated Recyclables is maintained. 5.3.5 New or Changes in Existing Taxes If new municipal, county, regional, or Washington State taxes or fees are imposed, the rates of existing taxes (excluding changes to the rates for federal taxes) or fees are changed, or new road or bridge tolls necessarily affecting the Contractor's operations under this Contract imposed after the Date of Execution of this Contract, and the impact of these changes results in increased or decreased Contractor City of Federal Way 52 July,2019 Comprehensive Garbage,Recyclables,and Compostables Collection Contract 142 costs in excess of five thousand dollars ($5,000) in the aggregate annually, the Contractor shall submit a detailed proposal for the adjustment of the rates to reflect any additional costs or savings to the Contractor. The Contractor and City shall enter into good faith negotiations to determine whether compensation adjustments are appropriate for the amount exceeding the five thousand dollar ($5,000) aggregated threshold (in cases in which the threshold applies) and if so, to determine the amount and the method of adjustment. 5.4 Change in Law Except to the extent addressed otherwise in this Contract, changes in federal, state, or local laws or regulations (that do not apply to tax or fee rates) that result in a detrimental change in circumstances or a material hardship for the Contractor in performing this Contract may be the subject of a request by the Contractor for a rate adjustment, subject to review and approval by the City. If the City requires review of financial or other information in conducting its rate review under this provision, then the City may retain a third-party to review such information at the Contractor's expense, taking whatever steps are reasonably feasible, appropriate and lawful to protect the Contractor's documents identified as confidential and proprietary by the Contractor. 6. FAILURE TO PERFORM, REMEDIES,TERMINATION The City expects high levels of Customer service and collection service provision. Performance failures shall be discouraged, to the extent possible, through specific performance fees for certain infractions and through Contract default for more serious lapses in service provision. Section 6.1 details infractions subject to performance fees and Section 6.2 details default provisions and procedures. 6.1 Performance Fees The City reserves the right to make periodic, unscheduled inspection visits to determine the Contractor's compliance with the provisions and requirements of this Contract. In the event that the City's inspection reveals that the Contractor has failed to satisfactorily perform any duties of this Contract, the City shall present an incident report to the Contractor detailing such unsatisfactory performance. The Contractor and the City agree that upon receiving such report, the Contractor shall pay the following dollar amounts, not as a penalty, but as performance fees for failure to satisfactorily perform its duties under this Contract. The City and the Contractor agree that the City's damages would be difficult to prove in any litigation and that these dollar amounts are a reasonable estimate of the damages sustained by the City as a result of the Contractor's failure to satisfactorily perform its duties under this Contract. The performance fees in this Section 6.1 shall not apply to the service impacts of Labor Disruptions, as separate performance fees shall apply under those circumstances, as described in Section 4.1.19. Performance fees shall include: Action or Omission Performance fees 1 Collection before or after the times specified in Section Five hundred dollars ($500) per 4.1.3, except as expressly permitted in writing. incident (each vehicle on each route is a separate incident). City of Federal Way 53 July,2019 Comprehensive Garbage,Recyclables,and Compostables Collection Contract 143 Action or Omission Performance fees 2 Repetition of complaints on a route after City notification, Fifty dollars ($50) per incident, including, but not limited to, failure to replace Containers in not to exceed five hundred designated locations, spilling, not closing gates, not dollars ($500) per vehicle per replacing lids, crossing planted areas,or similar violations. day. 3 Failure to clean-up or collect leaked or spilled materials The cost of cleanup to the City, and/or failure to notify the City within three (3) hours of plus five hundred dollars ($500) incident. per incident. 4 City Observed leakage or spillage from Contractor vehicles Five hundred dollars ($500) per or of vehicle contents. vehicle, per inspection, plus clean-up costs (and potential code fines/penalties). 5 Failure to replace a leaking Container within one (1) business One hundred dollars ($100) per day of notification. incident, and then one hundred dollars ($100) per day that the Container is not replaced. 6 Failure to collect missed materials within one (1) business Fifty dollars ($50) per incident to day after notification. $50.00 each incidence business day a maximum of five hundred after notification dollars ($500) per vehicle per day. 7 Missed collection of a block segment of Single-Family Two hundred fifty dollars ($250) Residences (excluding collections prevented by inclement per block segment if collection is weather, but not excluding collections prevented by performed the following day; inoperable vehicles). A block segment is defined as one side one thousand dollars ($1,000) if of a street, between cross-streets, not to exceed fifty (50) not collected by the following houses. day. 8 Collection as Garbage of non-contaminated Source- One thousand dollars ($1,000) separated Recyclables, Yard Debris, or Compostables in per incident. clearly identified containers, bags, or boxes. 9 Rejection of Garbage, Recyclables, Yard Debris or One hundred dollars ($100) per Compostables without providing documentation to the incident. Customer of the reason for rejection. 10 Failure to deliver Containers within three (3) days of request One hundred dollars ($100) per to Multifamily Complex or Commercial Customers incident. requesting service after the Date of Commencement of Service. 11 Failure to deliver Garbage, Recyclables or Compostables Twenty-five dollars ($25) per Containers within seven (7) days of request to Single-Family incident. Residence Customers requesting service after the Date of Commencement of Service. 12 Misrepresentation by Contractor in records or reporting. Five thousand dollars ($5,000) per incident. 13 Failure to provide the required monthly and annual reports Five hundred dollars ($500) per on time. Failure to provide adequate or timely response to a day past deadline. request for an Ad Hoc report. City of Federal Way 54 July,2019 Comprehensive Garbage,Recyclables,and Compostables Collection Contract 144 Action or Omission Performance fees 14 Failure to maintain clean, sanitary and properly painted Fifty dollars ($50) per incident, Containers. Failure to replace or repair broken lids on up to maximum of one thousand Containers. dollars($1,000) per inspection. 15 Failure to maintain contract-compliant vehicles. Fifty dollars ($50) per incident, up to maximum of one thousand dollars($1,000) per inspection. 16 Failure to meet Customer service answer and on-hold time One hundred dollars ($100) per performance requirements specified in Section 4.3.2.4. day. 17 Failure to meet the service and performance standards Two hundred and fifty dollars listed in Section 4.3.2 (inclusive of subsections) of this ($250) per day until the service Contract for a period of two (2) consecutive months. standards listed in Section 4.3.2 are met for ten (10) consecutive business days. 18 Failure to ensure that all Customers have contract compliant Five thousand dollars ($5,000) Garbage, Recycling, and Compostables Containers on or per day, plus twenty-five dollars before the Date of Commencement of Service. ($25) per Container for each incident occurring after the Date of Commencement of Service. 19 Failure to include City-authorized instructional/promotional Fifty dollars ($50) per incident, materials when a new Garbage, Recycling, and/or with no maximum. Compostables account is established. . 20 Failure to separate collection of materials from Service Area Five thousand dollars ($5,000) Customers from non-service area customers, unless such per route per day. collection is authorized in writing by the City. 21 Inability to reach the Contractor's staff via the emergency Two hundred-fifty dollars ($250) telephone number. per incident. 22 The use of outdated, or non-City-approved stickers, or lack Fifty dollars($50) per Container. of required stickers on Contractor provided Containers. 23 Failure to have correct rates for all Customer sectors and Two hundred-fifty dollars ($250) service levels listed on the Contractor's website. per day,with no maximum. 24 Failure to maintain, or reduction of, Recyclables or $500 per Complex Compostables service volume below established thresholds for Multi-Family Customers without prior City permission. 25 Failure to close lids on Detachable Containers after Fifty dollars ($50) per incident, emptying. up to maximum of one thousand dollars($1,000) per inspection. 26 Failure to investigate, follow-up, and rectify, a "Haul or Call" $250 per Complex event at a Multifamily Complex as described in Section 4.3.5. Nothing in this Section shall be construed as providing an exclusive list of the acts or omissions of the Contractor that shall be considered violations or breaches of the Contract, and the City reserves the right to exercise any and all remedies it may have with respect to these and other violations and breaches. The performance fees schedule set forth here shall not affect the City's ability to terminate this Contract as described in Section 6.2. City of Federal Way 55 July,2019 Comprehensive Garbage,Recyclables,and Compostables Collection Contract 145 Performance fees, if assessed during a given month, shall be invoiced in writing by the City to the Contractor. The Contractor shall be required to pay the City the invoiced amount within thirty (30) days of billing. Failure to pay performance fees shall be considered a breach of this Contract, and shall accrue penalty charges of eight percent(8.0%) per month of the amount of any delinquent payments. Any performance fees assessed against the Contractor may be appealed by the Contractor to the City within ten (10) days of being invoiced for assessed performance fees.The Contractor shall be allowed to present evidence as to why the amount of the assessed performance fees should be lessened or eliminated, including the provision of incorrect information provided by a previous contractor for contract failures during the initial transition period. The City's decision shall be final and not subject to appeal. 6.2 Contract Default The Contractor shall be in default of this Contract if it violates any material provision of this Contract. In addition, the Contractor shall be in default of the Contract should any of the following occur, including, but not limited to: 1. The Contractor fails to commence the collection of Garbage, Recyclables, or Compostables, or fails to.provide any portion of service under the Contract on the Date of Commencement of Service, or for a period of more than five (5) consecutive days at any time during the term of this Contract, except as provided pursuant to Section 4.1.19; 2. The Contractor fails to obtain and maintain any permit, certification, authorization, or license required by the City, County, or any federal, State, or other regulatory body in order to collect materials under this Contract, or comply with any environmental standards and regulations; 3. The Contractor's noncompliance creates a hazard to public health or safety or the environment; 4. The Contractor causes uncontaminated Recyclables or Compostables to be disposed of in any way, such as in a landfill or incinerated at an incinerator or energy recovery facility, without the prior written permission of the City; 5. The Contractor fails to make any required payment to the City, as specified in this Contract; 6. The Contractor is assessed performance fees pursuant to Section 6.1 in excess of fifteen thousand dollars ($15,000) during any consecutive six (6) month period; or 7. The Contractor fails to resume full service to Customers within twenty-one days following the initiation of a labor disruption pursuant to Section 4.1.19. The City reserves the right to pursue any remedy available at law or in equity for any default by the Contractor. In the event of default, the City shall give the Contractor ten (10) days' prior written notice of its intent to exercise its rights, stating the reasons for such action; however, if an emergency shall arise (including but not limited to a hazard to public health or safety or the environment) that does not allow ten (10) days prior written notice, the City shall promptly notify the Contractor of its intent to exercise its rights. If the Contractor cures the stated reason within the stated period, or initiates efforts City of Federal Way 56 July,2019 Comprehensive Garbage,Recyclables,and Compostables Collection Contract 146 satisfactory to the City to remedy the stated reason and the efforts continue in good faith, the City may opt not to exercise its rights for the particular incident. If the Contractor fails to cure the stated reason within the stated period, or does not undertake efforts satisfactory to the City to remedy the stated reason,then the City may at its option terminate this Contract effective immediately. If Contractor abandons or violates any material provision of this Contract, fails to fully and promptly comply with all its obligations, or fails to give any reason satisfactory to the City for noncompliance, and fails to correct the same, the City, after the initial ten (10) days' notice, may then declare the Contractor to be in default of this Contract and notify the Contractor of the termination of this Contract. A copy of said notice shall be sent to the Contractor and surety on the Contractor's performance bond. Upon receipt of such notice, the Contractor agrees that it shall promptly discontinue the services provided under this Contract. The surety of the Contractor's performance bond may, at its option, within ten (10) days from such written notice, assume the services provided under this Contract that the City has ordered discontinued and proceed to perform same, at its sole cost and expense, in compliance with the terms and conditions of the Contract, and all documents incorporated herein. In the event that the surety on the Contractor's performance bond fails to exercise its option within the ten (10) day period, the City may complete the Services provided under this Contract or any part thereof, either through contract with another party or any other means. The City shall be entitled to recover from Contractor and the surety on Contractor's performance bond as damages for all expenses incurred, including reasonable attorneys' fees, together with all such additional sums as may be necessary to complete the services provided under this Contract, together with any further damages sustained or to be sustained by the City. A surety performing under this Contract shall be entitled to payment in accordance with this Contract for Contract services provided by the surety, and shall otherwise be subject to the same rights and obligations with respect to the Contract services furnished by the surety as would be applicable if the Contract services were to be performed by the Contractor. The City's obligation to pay for such Contract services shall be subject to satisfactory performance by the surety as well as to setoffs or recoupments for sums, if any, owed by Contractor to City on account of Contractor's abandonment or default. 7. NOTICES Routine communications between the Contractor and the City's contract manager shall be conducted via e-mail unless otherwise required. All notices referencing change of ownership, penalties, rate requests, performance fees, or Contract default shall be in writing and personally served or mailed (postage-prepaid and return receipt requested), addressed to the Parties as follows, or as amended by the City: To the City: Public Works Director City of Federal Way 333258 1h Ave S Federal Way, WA 98003 To Contractor: City of Federal Way S7 July,2019 Comprehensive Garbage,Recyclables,and Compostables Collection Contract 147 Area Director of Public Sector Solutions Waste Management of Washington, Inc. 7204 th Avenue, Suite 400 Kirkland, WA 98033 S.GENERAL TERMS 8.1 Collection Right Throughout the Contract Term, the Contractor shall be the exclusive provider with which the City shall contract to collect Garbage, Compostables, and Recyclables placed in designated Containers and set out in the regular collection locations within the City Service Area subject to this Contract. When asked by the Contractor, the City shall make a good faith effort to protect the exclusive rights of the Contractor under this Contract; however, The City shall not be obligated to join or instigate litigation to protect the right of the Contractor. The Contractor may independently enforce its rights under this Contract against third party violators, including, but not limited to, seeking injunctive relief, and the City shall use good faith efforts to cooperate in such enforcement actions brought by the Contractor(without obligating the City to join any such litigation, except for as provided in this paragraph). Such efforts may include but not be limited to cease and desist letters, assistance with documenting violations, and other activities as City staff time reasonably allows. This Contract provision shall not apply to Garbage, Recyclables, or Compostables self-hauled by the generator; to Source-separated materials hauled by common or private carriers (including drop-off recycling sites); or to construction/demolition waste hauled by self-haulers or construction or demolition contractors in the normal course of their business. The Contractor shall retain the right and cover all costs to dispose of or process and market the Garbage, and Compostables once those materials are placed in Contractor-provided or City-owned containers. The Contractor shall cover all costs to process Recyclables once those materials are placed in Contractor- provided or City-owned containers. 8.2 Access to Records The Contractor shall maintain in its local office full and complete operations, Customer, financial, and service records that at any reasonable time shall be open for inspection and copying for any reasonable purpose by the City. In addition, the Contractor shall, during the Contract term, and at least seven (7) years thereafter, maintain in an office in King County, reporting records and billing records pertaining to the Contract that are prepared in accordance with Generally Accepted Accounting Principles, reflecting the Contractor's services provided under this Contract. Those Contractor's accounts shall include, but shall not be limited to, all records, invoices, and payments under the Contract, as adjusted for additional and deleted services provided under this Contract. The City shall be allowed access to these records for audit and review purposes, subject to the same protections of the Contractor's financial or other proprietary information set forth in Section 5.3. City of Federal Way 58 July,2019 Comprehensive Garbage,Recyclables,and Compostables Collection Contract 148 The Contractor shall make available copies of certified weight slips for Garbage, Recyclables, and Compostables on request within two (2) business days of the request. The weight slips may be requested for any period during the Term of this Contract. 8.3 Insurance The Contractor shall procure and maintain, for the Term of the Contract, insurance that meets or exceeds the coverage set forth below, as determined in the sole reasonable discretion of the City. The cost of such insurance shall be paid by the Contractor. Contractor's maintenance of insurance as required by this Contract shall not be construed to limit the liability of the Contractor to the coverage provided by such insurance, or otherwise limit the City's recourse to any remedy available at law or in equity. 8.3.1 Minimum Scope of Insurance The Contractor shall obtain insurance that meets or exceeds the following of the types described below: 1. Automobile Liability insurance covering all owned, non-owned, hired, and leased vehicles. Coverage shall be written on Insurance Services Office ("ISO") form CA 00 01 or a substitute form providing equivalent liability coverage. If necessary,the policy shall be endorsed to provide contractual liability coverage. The policy shall include the ISO CA 9948 Form (or its equivalent) for transportation of cargo and a MCS 90 Form in the amount specified in the Motor Carrier Act. The policy shall include a waiver of subrogation in favor of the City. The City shall be named as an additional insured under the Contractor's Automobile Liability insurance policy. 2. Commercial General Liability insurance shall be written on ISO occurrence form CG 00 01, or a substitute form providing equivalent liability coverage and shall cover liability arising from premises, operations, independent contractors, products-completed operations, personal injury and advertising injury, and liability assumed under an insured contract. There shall be no endorsement or modification of the Commercial General Liability insurance for liability arising from explosion, collapse, or underground property damage. The City shall be named as a Primary-Non Contributory Additional Insured under the Contractor's Commercial General Liability insurance policy with respect to the work performed for the City, using ISO additional insured endorsements CG 2010 0704 and CG 2037 0704. 3. Workers' Compensation coverage as required by the Industrial Insurance laws of the State of Washington. 4. Contractor's Pollution Liability, insurance coverage covering any occurrence of bodily injury, personal injury, property damage, cleanup costs, and legal defense expenses applying to all work performed under the contract, including that related to transported cargo. The City shall be named as a Primary-Non Contributory Additional Insured under the Contractor's Pollution Liability insurance policy. City of Federal Way 59 July,2019 Comprehensive Garbage,Recyclables,and Compostables Collection Contract 149 8.3.2 Minimum Amounts of Insurance Contractor shall maintain at a minimum the following insurance limits: 1. Automobile Liability insurance with a minimum combined single limit for bodily injury and property damage of Ten million dollars ($10,000,000) for each accident. Limits may be achieved by a combination of primary and umbrella policies. 2. Commercial General Liability insurance shall be written with limits no less than ten million dollars ($10,000,000) for each occurrence, Twenty million dollars ($20,000,000) general aggregate, and a twenty million dollar ($20,000,000) products-completed operations aggregate limit. Limits may be achieved by a combination of primary and umbrella policies. 3. Workers' Compensation coverage as required by the Industrial Insurance laws of the State of Washington. 4. Contractor's Pollution Liability insurance shall be written with limits no less than ten million dollars ($10,000,000) combined single limit for each pollution condition for bodily injury, personal injury, property damage, cleanup costs, and legal defense expense. 8.3.3 Other Insurance Provisions The insurance policies are to contain, or be endorsed to contain, the following provisions for Automobile Liability, Commercial General Liability, and Contractor's Pollution Liability coverage: 1. The Contractor's insurance coverage shall be the primary insurance with respect to the City, its officials, employees, and volunteers. Any insurance, self-insurance, or insurance pool coverage maintained by the City shall be in excess of the Contractor's insurance and shall not contribute with it. The City, its officials, employees, agents, and volunteers shall be named as Primary-Non Contributory Additional insured's on the Contractor's Automobile Liability, Commercial General Liability, and Pollution Liability insurance policies,via blanket-form endorsement. 2. Coverage shall state that the Contractor's insurance shall apply separately to each insured against whom claim is made or suit is brought, except with respect to the limits of the insurer's liability. 3. Each insurance policy required by the insurance provisions of this Contract shall provide the required coverage and shall not be canceled except after thirty (30) days' prior written notice (ten (10) days' notice for non-payment of premium) has been given to the City.Such notice shall be sent directly to the City. If any insurance company refuses to provide the required notice,the Contractor or its insurance broker shall notify the City of any cancellation of any insurance immediately on receipt of insurers' notification to that effect. 4. All Deductibles or Self Insured Retentions shall be the full responsibility of the Contractor. City of Federal Way 60 July,2019 Comprehensive Garbage,Recyclables,and Compostables Collection Contract 150 5. Insurance Limits required are minimum limits and do not reduce the Defense, Indemnity, Hold Harmless Liability or any other liabilities of the Contractor. 8.3.4 Acceptability of Insurers Insurance is to be placed with insurers with a current A.M. Best rating of not less than A:XII. 8.3.5 Verification of Coverage The Contractor shall furnish the City with original certificates and a copy of the blanket-form amendatory endorsements as required herein, including, but not necessarily limited to, the additional insured endorsement, evidencing the insurance requirements of the Contractor at least one (1) month before the Date of Commencement of Service of this Contract. 8.3.6 Subcontractors The Contractor shall include all subcontractors as insured under its policies or shall furnish separate certificates and endorsements for each subcontractor. All coverages for subcontractors shall be subject to all of the same insurance requirements as stated herein for the Contractor, including the requirement that the City, its officials, employees, and volunteers be named Primary-Non Contributory Additional insured's on the Contractor's insurance policy and shall provide applicable endorsements in a form acceptable and approved by the City. 8.4 Performance Bond The Contractor shall provide and maintain at all times a valid Contractor's Performance and Payment Bond or bonds in a form provided by the City in the amount of two million dollars ($2,000,000). The bond(s) shall be issued for a period of not less than one (1) year, and the Contractor shall provide new bond(s) to the City no less than sixty (60) calendar days prior to the expiration of the bond(s) then in effect. The City shall have the right to call the bond(s) in full in the event its renewal is not confirmed prior to five (5) calendar days before its expiration. 8.5 Indemnification 8.5.1 Defend, Indemnify and Hold Harmless Contractor shall indemnify, defend, protect, and hold harmless the City, its elected and appointed officials,officers, employees, representatives,volunteers, and agents,from any and all third party claims or suits, and any damages, costs,judgments, awards or liability resulting from such claims or suits: (a) for injury or death of any person or damage to property to the extent the same is caused by the actual or alleged negligent acts or omissions, or willful misconduct, of Contractor, its agents, servants, representatives, officers, or employees in the performance of this Contract and any rights granted hereunder, or City of Federal Way 61 July,2019 Comprehensive Garbage,Recyclables,and Compostables Collection Contract 151 (b) to the extent such claim or demand is caused by Contractor's unlawful release of Hazardous Waste in violation of any Environmental Law in its performance of Services and exercise of any rights granted hereunder. This indemnity under subsection 8.5.1.(1)(b) includes each of the following to the extent the same is caused by Contractor's unlawful release of Hazardous Substances in violation of applicable Environmental Laws: (i) liability for a governmental agency's costs of removal or remedial action for such release by Contractor of Hazardous Waste; (ii) damages to natural resources caused by Contractor's release of Hazardous Waste, including reasonable costs of assessing such damages; (iii) liability for any other person's costs of responding to such release by Contractor of Hazardous Waste; and (iv) liability for any costs of investigation, abatement, correction, cleanup, fines, penalties, or other damages arising under any Environmental Laws that are caused by Contractor's release of Hazardous Waste. Provided, however, such indemnification shall not extend to any claims, demands, liability, loss, cost, damage or expense of any nature whatsoever including all costs and attorneys' fees caused by the sole negligence of the City, its agents, employees, official, officers, contractors or subcontractors. 8.5.2 Process In the event any claim for such damages be presented to or filed with the City, the City shall promptly notify Contractor thereof, and Contractor shall have the right, at its election and at its sole cost and expense, to settle and compromise such claim, provided further, that in the event any suit or action is filed against the City based upon any such claim or demand, the City shall likewise promptly notify Contractor thereof, and Contractor shall have the right, at its election and its sole cost and expense, to settle and compromise such suit or action, or defend the same at its sole cost and expense, by attorneys of its own election. The indemnification obligations set forth herein shall extend to claims which are not reduced to a suit and any claims which may be compromised, with Contractor's written consent, prior to the culmination of any litigation or the institution of any litigation. The City has the right to defend .or participate in the defense of any such claim at its own cost and expense, provided that Contractor shall not be liable for such settlement of other compromise unless it has consented thereto in writing. The provisions contained herein have been mutually negotiated by the Parties. Solely to the extent required to enforce the indemnification provisions of this Section 8.5.1, Contractor waives its immunity under Title 51 RCW, Industrial Insurance; provided; however, the foregoing waiver shall not in any way preclude Contractor from raising such immunity as a defense against any claim brought against Contractor by any of its employees. Inspection or acceptance by the City of any Services performed under this Contract shall not be grounds for avoidance of any of these covenants of indemnification, defense, and hold harmless. Said indemnification, defense, and hold harmless obligations shall extend to claims that are not reduced to a suit and any claims which may be compromised, with Contractor's prior written consent, prior to the culmination of any litigation or the institution of any litigation. The provisions of this section shall survive the termination or expiration of this Contract. City of Federal Way 62 July,2019 Comprehensive Garbage,Recyclables,and Compostables Collection Contract 152 8.6 Confidentiality of Information Pursuant to the Washington Public Records Act ("PRA"), Chapter 42.56 RCW, public records, as defined by the PRA, may be subject to disclosure upon request by any person, unless the documents are exempt from public disclosure by a specific provision of law. If the City receives a request for inspection or copying of any such documents, it shall promptly notify the Contractor in writing regarding the public records request. The City will give the Contractor ten (10) business days after such notification within which to obtain a court order prohibiting the release of the documents. The City assumes no contractual obligation to enforce any exemption under the PRA. 8.7 Assignment of Contract 8.7.1 Assignment or Pledge of Money by the Contractor The Contractor shall not assign or pledge any of the money due under this Contract without securing the prior written approval of the surety of the Contractor's performance bond and providing at least thirty (30) days' prior written notice to the City of such assignment or pledge together with a copy of the surety's approval thereof. Such assignment or pledge, however, shall not release the Contractor or its sureties from any obligations or liabilities arising under or because of this Contract. The requirements of this section shall not apply to the grant of a general security interest in the Contractor's assets to secure the Contractor's obligations under any loan or credit facility entered into by the Contractor or the Contractor's lawfully organized corporate affiliates. 8.7.2 Assignment, Subcontracting, Delegation of Duties The Contractor shall not assign or sub-contract any of the services provided under this Contract or delegate any of its duties under this Contract without the prior written approval of the City, which may be granted or withheld in the City's sole discretion. In the event of an assignment, sub-contracting, or delegation of duties, the Contractor shall remain responsible for the full and faithful performance of this Contract and the assignee, subcontractor, or other obligor shall also become responsible to the City for the satisfactory performance of the services to be provided under this Contract. The City may impose conditions of approval on any such assignment, subcontracting, or Change of Control, including but not limited to requiring the delivery by the assignee, subcontractor, or other obligor of its covenant to the City to fully and faithfully complete the services to be provided under this Contract or responsibilities undertaken. In addition, the assignee, subcontractor, or obligor shall sign a separate statement agreeing to abide by all terms and conditions of this Contract. The City may terminate this Contract if the assignee, subcontractor, or obligor does not comply with this clause. For the purposes of this Contract, any change of control of the Contractor shall be considered an assignment subject to the requirements of this section. Nothing herein shall preclude the City from executing a novation, allowing the new ownership to assume the rights and duties of the Contract and releasing the previous ownership of all obligations and liability. City of Federal Way 63 July,2019 Comprehensive Garbage,Recyclables,and Compostables Collection Contract 153 8.7.3 Change of Trade Name In the event the Contractor wishes to change the trade name under which it does business under this Contract,the Contractor shall provide the name, logo, and colors under which it will be doing business in writing to the City at least thirty(30) days prior to the effective date of its change of trade name. Within a reasonable period following a change of trade name by the Contractor, all items, logos, articles, and implements seen by the public shall be changed, including but not limited to letterhead, signs, promotional materials, website pages, billing statements, envelopes, and other items. Vehicles are the only exception; vehicles must be repainted with new trade name, and any new logo or colors, within two (2) years of the effective date of the change of trade name. Failure to comply with the terms of this section shall result in penalties assessed against the Contractor in accordance with Section 6.1. 8.8 Laws to Govern/Venue This Contract shall be governed by the laws of the State of Washington both as to interpretation and performance.Venue shall be in Superior Court in the State of Washington for King County. 8.9 Compliance with Applicable Laws and Regulations The Contractor shall comply with all federal, state, and local regulations and ordinances applicable to the work to be done under this Contract. Any violation of the provisions of this section shall be considered a violation of a material provision of this Contract and shall be grounds for cancellation, termination, or suspension of the Contract by the City, and may result in ineligibility for further work for the City. The Contractor agrees not to discriminate against any employee or applicant for employment or any other persons in the performance of this Contract because of race, religion, creed, color, national origin, marital status, gender, age, disability, sexual orientation, gender identity, or other circumstances as may be defined by federal, state, or local law or ordinance, except for a bona fide occupational qualification. Without limiting the foregoing, Contractor agrees to comply with the provisions of the Affidavit of Equal Opportunity & Title VI Compliance requirements incorporated herein by this reference. The Contractor agrees to post in conspicuous places, available to employees and applicants for employment, notices to be provided by the Contractor setting forth the provisions of this nondiscrimination clause. Conditions of the Federal Occupational Safety and Health Act of 1970, the Washington Industrial Safety and Health Act of 1973, and standards and regulations issued under these Acts from time-to-time must be complied with, including ergonomic and repetitive motion requirements. The Contractor must defend, indemnify, and hold harmless the City from all damages, injuries or losses assessed for the Contractor's failure to comply with the Acts and Standards issued therein. The Contractor is also responsible for meeting all local, state, and federal health and environmental regulations and standards applying to the operation of the collection and processing systems used in the performance of this Contract. The Contractor is specifically directed to observe all weight-related laws and regulations in the performance of these services, including axle bridging and loading requirements. City of Federal Way 64 July,2019 Comprehensive Garbage, Recyclables,and Compostables Collection Contract 154 8.10 Permits and Licenses The Contractor and subcontractors shall secure a City business license and pay all fees and collect and remit all taxes levied by the City. The Contractor shall obtain all permits, certifications, authorizations, and licenses necessary to provide the services required herein prior to the Date of Execution of this Contract at its sole expense. The Contractor shall be solely responsible for all taxes, fees, and charges incurred, including, but not limited to, license fees and all federal, state, regional, county, and local taxes and fees, including income taxes, property taxes, excise taxes, permit fees, operating fees, surcharges of any kind that apply to any and all persons, facilities, property, income, equipment, materials, supplies, or activities related to the Contractor's activities under the Contract, business and occupation taxes, workers' compensation, and unemployment benefits. 8.11 Relationship of Parties The City and Contractor intend that an independent contractor relationship shall be created by this Contract. The implementation of services shall lie solely with the Contractor. No agent, employee, servant, or representative of the Contractor shall be deemed to be an employee, agent, servant, or representative of the City. 8.12 Contractor's Relationship with Customers The Contractor shall not separately contract with Customers for any services covered under this Contract; however, the Contractor may negotiate separate agreements with Customers for the sole purpose of compactor leasing, payment for recyclables, or other related services only when not included or specified in this Contract, provided that Customers are provided separate invoices for those services and that the Contractor makes it clear to Customers that those services are not provided under this Contract. These separate agreements must be in writing and shall in no way expressly or by application supersede this Contract. The Contractor agrees these separate agreements shall not contain durations any longer than the final date of this Contract's Term. These separate agreements shall not have terms that automatically renew past the expiration of this Contract. These separate agreements must terminate prior to the expiration of this Contract. The Contractor shall provide to the City a detailed list of all such separate agreements with Customers upon the City's request.The City may, at its sole option, regulate similar or identical services in the successor to this contract. 8.13 Bankruptcy It is agreed that if an order for relief with respect to the Contractor is entered in any bankruptcy case, either voluntarily or involuntarily, in which the Contractor is a debtor, then this Contract, at the option of the City, may be terminated effective on or after the day and time the order for relief is entered. 8.14 Right to Renegotiate/Amend The City shall retain the right to renegotiate this Contract or negotiate contract amendments at its discretion or based on policy changes, state statutory changes, or County rule changes, Washington State, or federal regulations regarding issues that materially modify the terms and conditions of the City of Federal Way 65 July,2019 Comprehensive Garbage,Recyclables,and Compostables Collection Contract 155 Contract, including but not limited to any modifications to contracting terms or policies as they relate to County disposal services. The City may also renegotiate this Contract should any Washington State, County, or City rate or fee associated with the Contract be held illegal or any increase thereof be rejected by voters. In addition, the Contractor agrees to renegotiate in good faith with the City in the event the City wishes to change disposal locations or add services to the Contract, and to provide full disclosure of existing and proposed costs and operational impacts of any proposed changes. This Contract may be amended, altered, or modified only by a written amendment or addendum executed by authorized representatives of the City and the Contractor. 8.15 Force Majeure Provided that the requirements of this section are met, Contractor shall not be deemed to be in default and shall not be liable for failure to perform under this Contract if Contractor's performance is prevented or delayed by Acts of Nature, including landslides, lightning, forest fires, storms, floods, freezing and earthquakes, terrorism, civil disturbances, acts of the public enemy, wars, blockades, public riots, explosions, governmental restraint or other causes, whether of the kind enumerated or otherwise, that are not reasonably within the control of the Contractor, and are not the result of the willful or negligent act, error or omission of the Contractor; and that could not have been prevented by the Contractor through the exercise of reasonable diligence ("Force Majeure"). The Contractor's obligations under this Contract shall be suspended, but only with respect to the particular component of obligations affected by the Force Majeure and only for the period during which the Force Majeure exists. The following events do not constitute Force Majeure: strikes, other than nationwide strikes or strikes that by virtue of their extent or completeness make the particular goods or services effectively unavailable to the Contractor; work stoppages or other labor disputes or disturbances occurring with respect to any activity performed or to be performed by the Contractor; accidents to machinery, equipment or materials; unavailability of required materials or disposal restrictions; or general economic conditions. If as a result of a Force Majeure event, Contractor is unable wholly or partially to meet its obligations under this Contract,the Contractor shall notify the City by telephone and email, on or promptly after the Force Majeure is first known, followed within seven (7) days by a written description of the event and cause thereof to the extent known;the date the event began, its estimated duration,the estimated time during which the performance of the Contractor's obligations will be delayed; the likely financial impact of the event; and whatever additional information is available concerning the event and its impact on the City and its Customers. The Contractor shall provide prompt written notice of the cessation of the Force Majeure. Whenever such event shall occur, the Contractor, as promptly and as reasonably possible, shall use its best efforts to eliminate the cause, reduce the cost, and resume performance under the Contract. In addition, if as a result of a Force Majeure event, Contractor is unable wholly or partially to meet its obligations under this Contract, the Contractor shall notify all Customers regarding the disruption in collection service in a manner similar to the notification required in the case of inclement weather under Section 4.1.7. 8.16 Severability City of Federal Way 66 July,2019 Comprehensive Garbage,Recyclables,and Compostables Collection Contract 156 If any provision of this Contract shall be declared illegal, void, or unenforceable, the other provisions of the Contract shall remain in full force and effect. 8.17 Waiver No waiver of any right or obligation of either party hereto shall be effective unless in writing, specifying such waiver, and executed by the party against whom such waiver is sought to be enforced. A waiver by either party of any of its rights under this Contract on any occasion shall not be a bar to the exercise of the same right on any subsequent occasion or of any other right at any time. 8.18 Incorporation of Contractor's Proposal in Response to City's RFP The Contractor's Proposal, dated April 15.2,Q19, submitted in response to the City's Request for Proposals, is fully incorporated by this reference, including but not limited to collection vehicle types, customer service staffing and approach, processing abilities and other commitments made in the Contractor's proposal and all associated clarifications and supplemental proposal materials or attachments. In the case of conflict between the Contractor's proposal and this Contract, the provisions of this Contract shall prevail. 8.19 Dispute Resolution The Parties shall attempt to resolve any and all disputes to the mutual satisfaction of both Parties by good faith discussions. Throughout the duration of a dispute, the Contractor shall continue providing all Services included in this Contract. Disputes not resolved in accordance with other provisions of this Contract or through good faith discussions shall be submitted to non-binding mediation before a mediator acceptable to both the City and the Contractor. All costs of mediation, including the City's attorneys' fees and expert witness fees, shall be paid for by the Contractor. Neither party may initiate or commence legal proceedings prior to completion of the non-binding mediation. 8.20 Entirety This Contract and the exhibits affixed hereto and herein incorporated by reference represent the entire agreement between the City and the Contractor with respect to the services to be provided under this Contract. No prior written or oral statement or proposal shall alter any term or provision of this Contract. WITNESS THE EXECUTION HEREOF on the day and year first herein above written. WASTE MANAGEMENT OF WASHINGTON, INC. CITY OF FEDERAL WAY By By (Print) Jim Ferrell, Mayor Approved as to Form: By J. Ryan.Call,City Attorney City of Federal Way 67 July,2019 Comprehensive Garbage, Recyclables,and Compostables Collection Contract 157 EXHIBITS EXHIBIT A:Service Area EXHIBIT B: Early Start of Service Support EXHIBIT C: Recyclables List EXHIBIT D: Service Support Resource Levels EXHIBIT E: Contractor Rates EXHIBIT F: Rate Modification Example EXHIBIT G: Commodity Value Calculation City of Federal Way 1�8 July,2019 Exhibits EXHIBIT A Tr Service Area City o Map Date:June 2019 City of Federal Way City Service Area Federal Way,Wa,98003 P)253-835-7000 Federal Way �W)www.cltyoffederalway.Com _ 0 1 Mile Des N Moines, nt 272ND ST Fevgn Puget Sound S 288TH ST zi 0 Dumas Bay 0�. Centre '-sw 312TH ST Perfornlin a A K SW 320TH ST 320TH ST FederalAuburn Wa Cornmunity NORTH SHORE y "r- Center PA CV City RKWAY SW CAMPUS S 336TH ST Tacoma rS-348TH S 7, SW 356TH ST ;A 7- Legend Milton City Limits King County Boundary 1.. -Edg!�wo d 9�1- _ Fife This map is intended for use CITY OF as a graphical representation. Federal Way The City of Federal Way makes no warranty as to its accuracy. City of Federal Way 1 July,2019 Service Area 159 EXHIBIT B Early Start of Service Support • New Customer Service Staffing and Phone Queue: "Customer Service,Just for You" As of September 1, 2019, a Federal Way-only Customer Service Team (Four dedicated staff: two supervisors plus two floor leads) will oversee Federal Way customer calls. Designated staff will travel to Federal Way at least twice each year to meet with City staff and have ride alongs with drivers to see services delivered to customers first hand.The Federal Way-only Customer Service Team will have exceptional knowledge and know-how regarding implementing the intricacies of this Contract and the "Customer Service,Just for You" initiative. Contractor will transition to Federal Way's new Dedicated Call Queue (accessed via the City's original garbage service phone number: 253-833-3333). Contractor will maintain this phone line so it will continue to be fully operational as a current alternative to the contractor's aggregated toll-free service phone number. As of September 1, 2019, calls using this original phone number will be answered via a Dedicated Call Queue. Contractor will track and provide weekly reports to the City of the metrics related to the Dedicated Call Que including speed to answer, hold times, and call abandonment data specifically originating from the Federal Way service area via the original phone number. The Dedicated Call Queue will also feature Federal Way-focused greeting and phone tree options that will also become operational as of September 1, 2019. • Extending Customer Service Center Hours on all Saturdays As of September 1, 2019, Contractor's Federal Way-only Customer Service Team will field calls from customers Monday-Friday from 7:00 a.m.to 7:00 p.m. and Saturdays from 8:00 a.m.to 5:00 P.M. • Education and Outreach Coordinator—ongoing support for Federal Way As of September 1, 2019, Contractor's Public Education and Outreach Coordinator assigned to the Federal Way service area will be based at the South Sound district.This staff person will dedicate no less than 40% FTE in annual staff hours to developing, managing and providing education and outreach programs in Federal Way. City of Federal Way 1J0 July,2019 Early Start to Support Services (7) 0 N T 7 m C o N C C 41 C m \ it X Ln L V) O p L U C C L N 7 m m m L c of vL a T a T Nm N -0 E C txo 41 c U O N Y O Y O m o p u p U "p X J •a ,� •a T N E C L O G ncu C- a a 4° C 3 .X N Ln �n N .n W �.+ p N M Cd0 C tl0 • M +� O C C XN d0 i V c m V) m VI .N ^ p ;�, m L b0 L p 7 7 iV v m cYt m d a X 3 LO m — C i i 4J 61 W -0 L N •0 m m L a L a L C- ro a o N ao Y o }' o d ° ° m Z L a L E 3 E J OD J 40 C L v U 'M p vi C N p rn ++ N 00 m u '�++ �+ cu CL • E (j LW u 4J N OD N (> (O X i 4J C OD f0 "p N C U i CU ° c m L u E O ° u a u CO U C L m C- C U �., d C C a "O m C m rl _ "d +� ._ v U L o c v J a u m C E CO O 3 N c bD c 0 to o o v °' v E u � `° i1 41 U T of W Q • t m c "� C q0 m U C C 00 c U C U C U N C u u .� Y c a m 'co .� L L . J u N u d C u C C >` m i YO M a o m L d u m v d u v 3 E v m v E u v c u —x cc: a -0 v Cl) o N y u a +T+ 4° — v u v v v c 3 v u m u C a T u a c V+ > u io u " io v E L E f6 E o Ecu m v c m `—° [l. Q O W L d. W V V) O L CLVl J a Ln in c L • X X X X X X X X X O C C L to m m m Nd c, '2 m L c .Q -0 ro a U S u T m L m > OO C -p a - vi cu mN m V 0 -6 'D c m N L vi v `~ai O d m d N +� L u O ++ QJ w O 0 3 > E L O j v u d .n C �O 7 OU "O O C m v p_ y c au C C — L E • E 'm Q O W m u m m 4- m C- Vi a rn :t .D iv C u n 'a Y _ M O C p 'a _ = X O Q A 0 M -° m Q L L rn in p � �+ E m 'a c m m __ > U � �} C C 41 GD m T OD 0 — 3 a Q p m ° C Q c •C u o a m u a� u a Y a E Q L c Tl 41 E u O C •C �' N O d u p O M u 4 V ( N Q1 V :, U C VI Q � �. •E m V N Y a N N m Y N V 'a M C O C 0 0 m 0 m m a m L u � C Q > u t7 n a E = a vt o h- > > v J EXHIBIT D Service Support Resource Level The table on the following pages outlines Contractor-proposed Optional Outreach programs in addition to ongoing outreach. In general,the City will support Contractor-proposed Optional Outreach programs that are intended to be impactful and scaled to be beneficial for City ratepayers. Individual Optional Outreach programs will be implemented after appropriate outcomes and measures are agreed to by both parties, including a written funding commitment by the Contractor. Contractor agrees that the value of implemented Optional Outreach programs will be tracked and then reported on an annual basis in the Annual Report.The total annual value may include: actual costs,staff or consultant time, materials, media, etc. City of Federal Way 1162 July 2019 Service Support Resource Level Waste Management Service Support Resource Levels For Federal Way Collection Service Contract Program/ Details Metric Goal Project COLLATERAL: PROMOTION AND EDUCATION New Customer One welcome packet comprised of materials from the annual #customers Inform and Welcome comprehensive service packet per each new residential, per LOB educate Packets multifamily and commercial customer for term of Contract. customers Customers may choose electronic or mailed copy. Hard copy mailed welcome packets require a minimum 5-days from new customer starts. Comprehensive See Section 4.3.5 of Contract. Once per year and at start of #customers Inform and Service Packet Contract for all customers. Once per year for residential non- educate subscribers and multifamily residences. customers Bill Inserts One insert per quarter for each residential, multifamily and #customers Inform and commercial customers. educate customers Foodcycler One e-newsletter per quarter to residential and multifamily #customers Inform and E- Newsletter customers where Contractor has a valid email address on educate record. Foodcycler E-newsletter will be repurposed from customers WM's Foodcycler Program with King County; E-newsletter will not be city-specific nor amended to contain additional or different information. Oops Tags As needed in support of contamination program and protocol #incidents Reduce for term of Contract. Double-sided notice with contamination per tag type contamination feedback on one side and guidelines on the other.One tag for each material type: recycling, compost, and garbage. Transcreated Collection guidelines available as needed for garbage, # materials Inform and Materials recycling and food/yard waste, upon request of customer for distributed in educate term of Contract. See Contractor's Proposal for languages each language customers available. Multilingual Bilingual decals (Spanish, Korean and Russian) available upon #decals Inform and Dumpster request from property manager for term of Contract. Standard distributed in educate Decals size of decal is 14 x 11 for containers ranging from 1-8 yards. each language customers Distributed by Public Education team and printed as needed. for each material type Postcards for See "Know before you throw" program # postcards Reduce Multifamily distributed contamination Contamination Campaign City of Federal Way 2July,2019 Support Service Levels 163 Program/ Details Metric Goal Project Reusable Tote 20,000 tote bags produced by Contractor prior to Reduce Bags for commencement of Contract, for multifamily customers for contamination Recyclables term of Contract. Tote bags will be distributed as needed by and reduce Public Education &Outreach and will vary based on location bagged and property manager. material in recycle container PROGRAMS AND CONTAMINATION REDUCTION: NO LESS THAN 16 HOURS PER WEEK OF STAFF TIME Recycling Up to 4 per year upon request; facilitation of tour only #tours given Inform and Facility Tours at (transportation to/from facility not included). Requests may and number educate CRC be for either CRC or JMK with limits on tour size for JMK of people on facility and signed waivers. Tours are not available outside tour business hours at this time. Classroom Up to 4 workshops and 4 lunch room audits per year upon #workshops Educate youth Workshops request. Available for K-12 1h grade with age appropriate and lunch and reduce activities including quiz games, sorting games, songs, stories, room audits contamination and worksheets. Promoted through WM social media. conducted Community At least 4 events per year; events will be selected in #events Inform and Events- WM coordination with the city. WM will provide 100 reusable conducted educate Educational shopping bags per event for booth visitors. and estimated customers Booths number of attendees to educational booth WM Recycle Each summer WM will deploy summer interns towards detailed Increase Corps contractual obligations as needed and in collaboration with report of diversion the city. WM will provide a minimum of two (2) interns each outreach and/or reduce summer to conduct various activities like multifamily door-to- conducted contamination door outreach and events as already contemplated deliverables within this chart. WM Think WM to host one 6-hour event per year for multifamily and #attendees, Diversion Green residential customers only. Residents drop off items at type of items Recycling and convenient collection location designated by Contractor. and # Reuse Accepted items could include:foam, textiles, shredded paper collected, Collection and electronics. Promotion through WM social media outlets. measured by Events count or weight as appropriate City of Federal Way 164 July, 2019 Support Service Levels Program/ Details Metric Goal Project Multifamily On- Public Education &Outreach will provide site visits, lobby # properties Increase Site Technical events and presentations to at least 20 properties per year. reached and diversion Assistance Properties selected through requests or determined by the property and/or reduce contamination program and minimum recycling volume diversion rate contamination threshold. Door-to-door education only occurs during the or summer with WM Recycle Corp interns. The 3C program is contamination part of our education process and is ongoing in reducing reduction as contamination. appropriate Multifamily Up to 3,000 units per year. # units Increase Door-to-Door reached and diversion Outreach property and/or reduce diversion rate contamination or contamination reduction as appropriate Compost Up to 10 properties per year upon request; technical #properties Increase Technical assistance only, which includes a multifamily toolkit (a reached and diversion Assistance for brochure that explains the benefits of composting, process for property Multifamily setting up a program and resident FAQ). This outreach is in diversion rate Properties addition to the multifamily door-to-door outreach as or described above. contamination reduction as appropriate Multifamily Weekly phone call or email (Contractor's discretion) for all # Reduce Contamination customers marked as contaminated. Public Education & contamination contamination Plan Outreach will provide a monthly report as to outreach efforts incidents and results. Commercial Monthly phone call or email (Contractor's discretion)for all # Reduce Contamination customers marked as contaminated. Public Education & contamination contamination Plan Outreach will provide monthly report as to outreach efforts incidents and results. Residential Quarterly phone call or email (Contractor's discretion) all # Reduce Contamination customers with 3 or more contamination instances. contamination contamination Plan incidents Commercial 1 (or 2 small) commercial customer(s) per year wins (random # Reduce Recycling All selection based upon entries submitted by WM—property contamination contamination Stars Incentive goes from contaminated to consistently clean will qualify the incidents property for entry) a summer celebration including pizza party, games and prizes for staff. City of Federal Way 4July,2019 Support Service Levels 165 Program/ Details Metric Goal Project Multifamily 1 multifamily property (or 2 small, less than 200 units), per # Reduce Recycling All year wins(random selection based upon entries submitted by contamination contamination Stars Incentive WM—property goes from contaminated to consistently clean incidents will qualify the property for entry) a summer celebration including pizza party, games and prizes for families. Residential 5 customers per year wins(random selection based upon # Reduce Recycling All entries submitted by WM—resident goes from contaminated contamination contamination Stars Incentive to consistently clean will qualify the resident for entry) one incidents month of free service. Clean Cart Annually, WM will provide public education to 105 customers # Reduce Program (7 groups of 15 customers each) identified by drivers as those contamination contamination needing assistance to remove contamination from recycling incidents container. Outreach provided at WM discretion in order to work with customers. Progress moving customers from contaminated to clean reported to the city each month. SF Residential 2 per year; to assess contamination for purposes of Reduce Recycle Tip educational outreach &collateral materials. WM will contamination Floor Audits distribute results to the city after collecting the data. Know Before WM is offering Federal Way a new program for at least 3 # Reduce You Throw properties per year. The goal is to achieve contamination contamination contamination Multifamily reduction by identifying specific contaminates to a property to incidents Contamination assist in developing education to address that contaminate to Campaigns that property. WM outreach staff will audit recycling at multifamily properties to identify the number one barrier to clean recycling. WM will create a single-message campaign around the issue(s) found and develop creative and informative emails or postcards, depending on city and property manager preferences. City of Federal Way 166 July,2019 Support Service Levels Program/ Project Details Metric Goal MEDIA Website See Section 4.3.2.6 of Contract. Inform and The website is updated on an ongoing basis as information educate changes. In the event of a service interruption, the website customers, weatherboard page is updated throughout the day to provide promote the latest information. programs and services The website contains .pdf versions of key documents, including collection guidelines, sample oops tags, city recycling review newsletter, and we have the capability to provide additional information in .pdf formats as needed. Website updates can be posted same-day, and typically within hours, depending on the nature of the changes. We are now examining options for creating and maintaining a dedicated "weatherboard" page for Federal Way. Our plan for the website is to continuously improve the customer experience by making the website as user-friendly as possible and providing the appropriate information as customer needs change. RORR RecycleOftenRecycle Right.com as an educational resource for Inform and customers, as available educate customers Social Media The target for posting information for Federal Way customers Inform and is at least three times per month for all platforms combined. educate Facebook page for term of Contract.The WM Facebook page customers, specifically designed for Federal Way customers is promote https://www.faceI)ook.corri/pg/1-hinkGreenFederalWay/``post programs and /?ref=page internal. services The WM Twitter page for Federal Way and other WM customers in Western Washington is https.//twitter.com/WMPugetSound. We use Federal Way-specific tags to ensure visibility by local media, local organizations,the chamber and the city. Any City or Mayor tags will be reviewed by City before posting. We proactively encourage customers to follow us on the Federal Way Facebook by including invitations on the website (http://wmriortliwest.cora/federalwayLndex.litml)and on customers' postcards and information packet materials. City of Federal Way 6 July,2019 Support Service Levels 167 Program/ Details Metric Goal Project MISCELLANEOUS Specialized lids Comply with Section 4.3.5 of Contract. # Reduce with slots for contamination contamination detachable incidents container lids Specific WM will assist multifamily complexes with coming into # Reduce Procedures for compliance with recycling volume thresholds or contamination contamination contamination Multifamily thresholds. The initial recycling volume thresholds are incidents and increase Complexes established as 0.12 cubic yards per week per unit diversion (approximately 96 gallons per month) and a target of 5%of less contamination by volume. Coming into compliance may include door-to-door education,training of residents and/or property management staff, signage and posted information, addressing space and capacity constraints. The Contractor shall also coordinate and work cooperatively with City staff and/or consultants hired to conduct outreach and education, and otherwise provide technical assistance. City of Federal Way 1768 July,2019 Support Service Levels Exhibit E: Contractor Rates Service Pounds Final Level Per Disposal Collection Revised Admin Fee B&O Tax Revised Service Level Count Unit Fee Fee Rates 3.2% 1.511 Rates Monthly One 32 gon Garbage Cart incl 591 current microcan cost) 612 2023. $ 1 42 $ 9.08 $ 10.50 $ 0.33 $ $ 1083 Weekly One 20-gallon Garbage Cart 3.477 925 $ 282 S 1300 $ 15.82 $ 050 $ $ 1632 Residential 1 35- anon Garbage Cart 7,931 16.18 $ 494 $ 15.81 $ 2075 $ 066 $ $ 21 41 Curbside 164-gallon Garbage Cart 5.039 32.36 1 $ 987 1$ 2047 $ 30.34 $ 0.97 $ 001 $ 31 32 Service 196-gallon Garbage Cart 1.317 48 54 $ 14.81 $ 29.90 S 44.71 $ 1 43 $ 0 02 $ 46 16 Total Garbage Extras(32 gallon equivalent) 1,919 16.18 S 1.14 $ 4 86 $ 6 00 $ 0 19 $ S 6 19 Customers: Miscellaneous Fees: 18,376 Recycling Only(no•at bags scrvicel $ 11 69 $ 037 $ $ 12.06 Com ostables Only(no w bage service) $ 12 88 $ 0 41 $ $ 1329 Subscription rale for one 32-gallon CornposlabIcs Rut 848 $ 1053 $ 033 $ $ 10.86 Subscription rate for one 64-gallon Com ostables Can 1.343 5 11.04 $ 0.35 $ $ 11 39 Subscription rate for one 96-gallon Com ostables Cart 9,622 $ 11.59 $ 0.37 $ $ 11 96 Extra Com ostables(32 gallon bae/bundle/can) $ 3 00 $ 0.09 $ S 3 09 Second 96-6allon Com ostables Cart(rental only) $ 1 50 $ 0.04 $ $ 1.54 Additional 96-Gallon Compostables Cart(for ongoing excess above base 96-gallon service) 285 $ 6.00 $ 019 $ $ 6 19 Return Trip.per line of business 33 $ 1500 $ 0.48 $ % 1548 Roll-out Charge.per 25 It.per cart 61 $ 3.00 5 0.09 $ % 309 Drive-in Char e..lic,month, rcr lure otburincss 1 I $ 600 $ 0 19 $ $ 6 19 Dormant Account(charged past four weeks suspension)per month $ 7.50 $ 0 24 $ S 7 74 C'yV_oighU0versize container(per /u) $ 3 00 $ 0 09 1 $ $ 3 09 Redelivery of one or more containers 11 $ 15 00 $ 0.48 $ $ 15.48 Can Cleaning(per cart per cleaning) 1 $ 10.00 $ - 0.32 $ $ 10.32 On-Call Non-CFC Containing Large Appliance("white goods")per item 1 $ 20.00 5 0,64 $ $ 2064 Bulky Re5i eratnrs/Frctrz. s/Air Conditioners per item 1 $ 3000 $ 096 $ 0.01 $ 30.97 Waste Sofas,Chairs,per item 2 75.00 $ 5 28 $ 14.72 $ 2n 00 $ 0.64 $ $ 2064 Collection Mattresses,Boxsprings.per item 2 10000 $ 7.04 $ 1296 $ 2000 $ 0.64 $ $ 2064 Weekly One 20-gallon Garbage Cart(23) 27 9 25 $ 2.82 $ 17.21 S 20 03 $ 0 64 $ $ 20 67 Commercial 132/35-gallon Garbage Can 12941 399 16 18 $ 4 94 .$ 17 70 $ 22 64 $ 0.72 $ 0.01 S 23 37 IMF Can and 1 60/64-aallon Garbage Cart(6) 60 32 36 $ 9.87 $ 23.91 $ 33.78 $ I(J8 $ 0.01 $ 34.87 Cart 1 90/96-gallon Garbage Cart(4) 34 48 54 $ 1481 $ 3009 $ 4490 $ 1.43 $ 0.02 $ 4635 Extras(32-gallon equivalent)(3) 16 18 1 $ L 14 $ 49(, $ 6.00 $ 0.19 $ $ 6 19 Emptying Litter&Recyclables receptacles in public areas,per unit,per NOTE: collection(including lining) tbd 16 18 $ 1.14 $ 2 86 $ 400 $ 0.12 $ $ 4 12 Column C is Com ostables Service: total MF Weekly 35-gal Crut Pard Dcbris+oodrva tc service 8 $ 11 57 $ 0 37 5 $ 11 94 and comm Weekly 64-cal Can Yard Debris/Foodwaste senice $ 12.19 $ 0.39 $ S 12.58 containers Weekly 96-gal Can Yard Debris/Foodwaste service(20) 58 $ 12.88 $ 0 41 $ $ 1 3 29 Number in Ancillary Fees: column B in Return Trio.per line of business $ 15.00 $ 048 $ $ 15 48 (red)is the Roll-out Charge,per 25 R unit,per cart,per pickup.per week $ 1.50 $ 004 $ $ 1.54 portion that Redetivery of containers 5 10.00 $ 0 32 $ S 1032 are ME Com ostable lining(per Can.per Dick-up) $ 400 $ 0 12 $ S 4 12 Cart Cleaninc'Swap(per Cart) $ 1000 $ 0 32 $ - S 1032 Weekly I Cubic Yard Container 343 59 .$ 10492 $ 3U5 90 S 410.72 $ 13 14 $ 0 19 $ 424.05 CommereiaU 1.5 Cubic Yard Container 515 39 $ 157.24 $ 40040 $ 557.64 $ 17 84 $ 026 $ 575 74 MF Detachable 2 Cubic Yard Container 687 18 $ 209.65 $ 494.90 $ 704.55 $ 2254 $ 0.33 $ 72742 Container 3 Cubic Yard Container 1 1.030.77 $ 31447 $ 683 90 $ 998 37 $ 31 94 $ 0.47 $ 1.03078 (compacted) 4 Cubic Yard Container 1 1,37436 $ 41930 $ 872.90 $ 1,292.20 $ 41.35 $ 0 62 $ 1.33417 6 Cubic Yard Container 3 2,061 54 $ 628 95 $ 1,260 88 S 1.889 83 $ 60 47 $ 0.90 $ 1.951 20 169 City of Federal Way 7 July,2019 .Contractor Rates Service Pounds Final Level Per Disposal Collection Revised Admin Fee B&O Tax Revised Service Level Count Unit Fee Fee Rates 3.2 U 150/11 Rates Commercial I Cubic Yard.I pickup/week(1} 91 114 53 $ 34.94 S 78,47 $ 113 41 $ 3 62 $ 005 $ 11798 Detachable 1 Cubic Yard,2 pickups/week 1 1 14.53 $ 69.88 $ 156.94 $ 22682 $ 725 $ 0 10 $ 234.17 Container I Cubic Yard.3 pickups/week 2 11453 $ 104.82 $ 235.41 .$ 340 23 S 1088 $ 0 16 $ .351.27 (loose) I Cubic Yard,4 icku s/week 114 53 1 $ 13976 $ 313.88 1$ 45364 $ 14.51 $ 0.21 $ 468.36 1 Cubic Yard.5 pickups/week 114.53 $ 17470 $ 39235 $ 56705 $ 18 14 $ 027 $ 585.46 1 5 Cubic Yard,1 pickup/week(.' 24 171 80 $ 52.41 $ 99.53 $ 151.94 $ 486 $ 0.07 $ 156.87 1.5 Cubic Yard.2 pickups/week(1) 1 171.90 $ 10482 $ 199,06 $ 303 88 $ 972 $ 0 14 $ 313 74 1 5 Cubc Yard,3 pickupywcck 171.80 $ 157.23 $ 298.59 $ 455.82 S )4 58 $ 021 $ 47061 1.5 Cubic Yard,4 pickups/week 171.90 $ 209.64 $ 398.12 $ 607 76 $ 1944 $ 029 $ 627.49 1.5 Cubic Yard,5 pickups/.eek 171.80 $ 262 05 S 49765 S 759 70 $ 24 31 S 036 $ 794 37 2 Cubic Yard,1 pickups/week(6) 101 229 06 $ 69 88 $ 120.71 $ 190.59 $ 6 09 $ 009 $ 196 77 2 Cubic Yard,2 .icku n+wcck(1 31 21 1 229.06 $ 139.76 $ 241.42 S 381 18 S 12 19 $ 0 18 $ 393 55 2 Cubic Yard,3 icku m:wcck{9) 3 22906 S 209 64 $ 362 13 $ 571 77 $ 18 29 1 $ 0.27 $ 590.33 2 Cubic Yard.4 pickups/week 229.06 $ 279-52 S 482.84 $ 762.36 $ 24 39 $ 0 36 $ 787 11 2 Cubic Yard.5 pickups/week 2 229.06 $ 349.40 $ 603 55 $ 952.95 $ 30.49 $ 0 45 $ 983.89 3 Cubic Yard.l pickup/week(20) 85 343.59 $ 104.82 $ 163 59 $ 26841 .$ R 58 $ 0 12 $ 277 11 3 Cubic Yard.2 j,ickupVwcck(401 58 34359 $ 209.64 $ 327 18 $ 53682 $ 17 17 $ 025 $ 554.24 3 Cubic Yard,3 pickups/week(2) 11 343.59 .$ 11446 $ 49077 $ 905 23 $ 25 76 $ 038 $ 831 37 3 Cubic Yard,4 pickups/week 343.59 $ 419.28 $ 654.36 $ 1,073 64 $ 34 35 $ 051 S 1,10950 3 Cubic Yard,5 pickups/week 1 343.59 $ 524.10 $ 917 95 $ 1.342.05 $ 42.94 $ 064 $ 1385.63 4 Cubic Yard,1 pickup/week(t9) 125 458.12 1 $ 13977 $ 198.69 $ 338.46 $ 10.83 $ 0 16 $ 349 45 4 Cubic Y;cd,2 vcku .'wcck 14"5 89 459.12 $ 27954 $ 39738 $ 67692 $ 21 66 $ 032 $ 69890 4 Cubic Y:ud,i eeku week(to 43 458 12 $ 41931 $ 596.07 $ 1,015.38 $ 32 49 5 0 4R % 1.048 35 4 Cubic Yad,4 icku 'wcck(6) 6 458.12 $ 55908 $ 794.76 $ 1353 84 $ 4332 $ 064 $ 1.39790 4 Cubic Yard,5pickups/week(1) 6 458 12 $ 698 85 $ 993 45 S 1.692 30 .$ 54 15 .$ 0 81 $ 1.747.26 6 Cubic Yard,1 picku wcck(I'1) 69 697 I8 $ 209 65 $ 273 88 $ 483.53 $ 15.47 $ 0 23 $ 499.23 6 Cubic Yard.2 pickups/week(22) 61 687 18 .$ 419 30 S 547,76 $ 967 06 $ 30 94 $ 046 S 998 46 6 Cubic Yard.3 dick hveek f 5) 21 687.18 S 628.95 $ 821 64 $ 1.45059 $ 46 41 S 0 69 S .49169 6 Cubic Yard.4 pickups/week 2 687 18 $ 838 60 $ 1,095.52 $ 1.934.12 $ 61 89 S 0 92 $ 1.996.93 6 Cubic Yard,5 pickups/week 1 687.18 $1,048.25 $ 1,369.40 $ 2,417 65 S 77.36 S 1 16 $ 2,496 17 8 Cubic Yard,1 pickup/week l 16) 60 916.24 $ 279..53 $ 331 81 $ 611 34 $ 1956 $_ 029 $ 631.19 8 Cubic Yard,2 pickups/week(12) 49 916.24 $ 559.06 S 663.62 $ 1.222.69 $ 39 12 1 $ OSS $ 1.262 38 8 Cubic Yard,3 pickups,%vck t.41 22 91624 $ 838.59 $ 995 43 $ 1.834 02 $ 58.68 $ 088 $ 1,893.58 8 Cubic Yard.4 icku s/week 2 91624 SI-118.12 1$ 1,327.24 $ 2,445 36 $ 7825 $ 1.17 $ 2.52478 8 Cubic Yard,5 pickups/week 3 91624 $1.397.65 $ 1,659.05 $ 3.056.70 $ 9781 $ 146 $ 3.155.97 Extra loose cubic yard in container,per pickup(83) 125 1 114 53 $ 906 $ 6,94 $ 15 00 $ 048 $ $ 15.48 Extra loose cubic Yard on ground.per pickup 114.53 1 $ 806 $ 11 94 $ 2000 S 064 $ $ 2064 Detachable Container Ancillary Fees(per occurrence): Stand-lav Time( er minute) $ 1 60 $ 005 $ $ 1 65 Container Cleanine(per yard of container size.including,transport) $ 10 00 $ 032 1 $ $ 10 32 Redelivery of Containers $ 30 00 $ 0 96 $ 001 $ 30 97 Return 1np per tine of busmess(1 3 170 City of Federal Way 2 July,2019 Contractor Rates Haul Haul Service Level(based on pick ups) Count Charge Admin Fee B&O Tax Char e Commercial Non-com acted 1.2 cubic yard Drop-box(0 boxes) $ 19841 $ 6.34 $ 009 $ 20484 IMF Drop-box Non-compacted 15 cubic yard Drop-box(0 boxes) $ 198.41 S 6.34 $ 0.09 $ 204.84 Collection :Von-compacted 20 cubic yard Drop-box(9 boxes)(1) 35 $ 19841 $ 6.34 $ 0.09 $ 204 84 Non-com acted 25 cubic yard Drov-box 0 box)(1) 3 $ 198.41 5 6.34 $ 209 $ 204.84 Non-compacted 30 cubic yard Drop-box(I boxes)(1) 10 It 198 41 $ 6 34 $ 0.09 $ 204.84 Non-compacted 40 cubic yard Drop-box(4 boxes)(1) 80.09 $.... 204.84 m Coacted 10 cubic yard Drop-box(I boxes) 0 $ 240.82 $ 7.70 $ 0.11 $ 248.63 Compacted 15 cubic yard Drop-box 7 boxes 10 $ 240 82 .$ 7.70 $ 0.11 $ 248 63 Compacted 20 cubic Yard Drop-box(3 boxes) 3 $ 240.82 $ 7.70 $ 0.11 $ 248-63 Compacted 25 cubic yard Drop-box(4 boxes) 15 $ 240.82 $ 7.70 $ 0 I 1 $ 248.63 Compacted 30 cubic vard Drop-box(16 boxes) 23 $ 240.82 $ 7,70 $ 0.1 I $ 248-63 Compacted 35 cubic yard Drop-box 0 boxes) 10 $ 240.82 $ 7,70 $ 0 1 I $ 248.63 Compacted 40 cubic yard Drop-box(10 boxes) 9 $ 240.82 $ 7.70 $ 0.1 $ 24863 Count Dail Rent Admin Fee B&O Tax Daily Rent Non-compacted 12 cubic vard Drop-box 0 boxes) $ 1 88 $ 0.06 $ $ 1 94 Non-compacted 15 cubic vard Drop-box(0 boxes) $ 2.24 $ 0.07 $ $ 2.31 Non-com acted 20 cubic ard Dro-box(9 boxes)(1) $ 2.67 $ 0.08 $ $ 2.75 Nomcarn Med 25 cubic vrud Drop-box l I hox)11) $ 3.08 $ 0.09 $ - $ 3.17 Non-com test 30 cubic ywd Drop-box(I boxes)(1) S 3-47 S 0.11 S S 3.59 Non-compacted 40 cubic yard Drop-box(4 boxes)(1) $ 3.84 $ 0 12 $ $ 3.96 Drop-box Ancillary Fees Count Per Event Admin Fee B&O Tax Per Event Return Tri $ 30.00 $ 0.96 .$ 0.01 $ 30.97 Stand-bv Time er minute) $ 1.60 $ 0.05 $ $ 1.65 Container cleaning(per yard of container size) $ 10.00 $ 0,32 $ $ 1032 Solid Lid Surcharge(per month of rental $ 2000 $ 0.64 $ - $ 20.64 Drop-box directed to other facility(per mile,one-way) $ 3.75 $ 0,12 $ $ 3 87 Service Pounds Level Per Disposal Collection Haul Haul Service Level Count Unit Fee Fee Charge Admin Fee B&O Tax Charge Temporary 2 Yard detachable Container 2 72906 $ 16.13 $ 34..82 $ 50.95 $ 1.63 $ 002 $ 52.60 MF/Com'I 4 Yard detachable Container 2 458-12 $ 32.26 $ 57-32 $ 89.58 $ 2.86 $ 0.04 $ 92.48 Collection 6 Yard detachable Conlainer 2 687 19 $ 48,38 $ 79 O] $ 127.39 $ 4-07 $ 0.06 $ 131 52 Hauling 8 Yard detachable Container 2 916.24 $ 64.51 $ 95.72 $ 160,23 S 5 12 f 0.07 S 16542 Non-cornnacted 10 cnbic%ard Drn-hnx $ 234.55 $ 750 $ 0.11 $ 242 16 Non-compacted 20 cubic vard Drop-box(4 boxes) I 1 $ 234.55 $ 750 $ 41 I $ 242 16 Non-compacted 25 cubic vard Drop-box $ 234.55 $ 750 $ 0.11 $ 242.16 Nor comractcd 30 cubic y:vd Prol-' �x f 16 ixsx-) {I I"1F1 IS $ 234.55 $ 7 50 $ 0.11 $ 242 16 Non-compacted 40 cubic yard Drop-box(5 boxes) (3 MF) l l $ 234.55 $ 7.50 $ 0 11 $ 242 16 Service Level Count Daily Rent Adotin Fcc R&D Tax Daily Rent Temporary 2 Yard detachable container 2 $ 1 30 $ 004 S - $ 1 34 Collection 4 Yard detachable container 2 $ 1.45 $ 004 $ $ 1 49 Container 6 Yard detachable container 2 $ 1 80 $ 005 $ $ 1.85 Rental 8 Yard detachable container 2 S 2.00 5 006 S S 206 and Delivery Nnn-com acted 10 cubic vard Drn.-hox 0 S 2.35 $ 007 $ - $ 2.42 Non-compacted 20 cubic yard Drop-box 11 $ 3.34 $ 0.10 $ $ 3.44 Non-compacted 30 cubic ard Drop-box 0 $ 4.34 $ 013 $ $ 447 Non-compacted 40 cubic yard Dro-box I S $ 4.80 $ 0 15 $ $ 4.95 Count Delivery Admin Fee B&O Tax Delivery Delivery Fee(all sizes) 25 $ 91.37 $ 2.92 $ 0.04 $ 94.33 Event Count Per Day Admin Fee B&O Tax Per Day Services Delivery,provision.collection of a set of 3 carts(G,R&C) $ 25.00 $ 0.80 $ 001 $ 25 81 Service Count Per Hour Admin Fee B&O Tax Per Hour Hourly Rear/Side-load packer+driver $ 145.28 $ 464 $ 0.06 $ 149.98 Rates Front-load Racker+driver $ 145-28 $ 4 fi4 $ 0.06 $ 149,98 Drop-box Truck+driver $ 145.28 $ 4 64 $ 0.06 $ 149.98 Additional Labor(per erson) $ 78.95 $ 252 $ 003 $ 8150 Count Rebate Commodity Initial Year Recyclable Commodity Value,per NIF d $ 058 Credit Initial Year Recyclable Commodity Value,per Coral yd $ 0.15 Initial Year Recyclable Commodity Value.per resl customer $ 1.00 171 City of Federal Way 3 July,2019 Contractor Oates EXHIBIT F Fee Modification Examples The collection and disposal components of the Customer charges listed in Exhibit B will be adjusted separately, as appropriate. The collection component of Customer charges will be adjusted annually, pursuant to this Section and as described below. The disposal component of the Customer charges listed in Exhibit B will be adjusted only if the City receives notification from the County of a pending disposal fee adjustment, and will not become effective until the new disposal charges become effective and are actually charged to the Contractor. Formulas for both collection and disposal rate adjustments are provided as follows: Collection Component Adjustment The sum of the collection and Administrative Fee components listed in Exhibit B will be increased or decreased by the amount of the CPI change: NCC= PCC x [1 + nCPI—oCPI j oCPI Where NCC = The new collection and Administrative Fee components, adjusted for excise tax on the Administrative Fee, of the customer rate for a particular service level; and PCC = The previous collection and Administrative Fee components, adjusted for excise tax on the Administrative Fee, of the Customer rate for a particular service level; and nCPI = The most recent June CPI value; and oCPI = The CPI value used for the previous rate adjustment or, in the case of the first contract adjustment, the CPI value reported at the end of June 2019. Disposal Component Adjustment In the case of a disposal fee modification at County disposal facilities, the disposal component of each service level will be adjusted as follows: Step 1: A= ODC x ATF OTF Step 2: NDC=A+[(A— ODC)x CETR] City of Federal Way 1/2 July 2019 Fee Modification Examples Where NDC = The new disposal charge component of the customer rate for a particular service level; and NTF = The new disposal fee, dollars per ton; and ODC = The old disposal charge component of the customer rate for a particular service level; OTF = The old disposal fee, dollars per ton; and A = Pre-excise tax adjusted disposal component; and CETR = Current excise tax rate (the current State excise tax rate; 0.015 used for this example). For example, using an initial one 35-gallon cart rate of $21.41 per month: if the previous CPI is 143.2, the new.CPI is 144.3 and the disposal fee will increase from $130 to $140 per ton starting on January 1, 2021, the old disposal component is $4.94, the old collection component is $16.47 (including Administrative Fee), and the State Excise Tax rate is 0.015, the January 2021 Customer charge for one 35-gallon cart per week Residential Curbside service would be: (144.3-143.2) New Collection Component=$16.47 x [1+-------------------] _$16.60 (143.2) New Disposal Component Step A calculation (as on previous page): [$4.94 x (140/130)] _$5.35 Step B calculation (as on previous page): $5.32+ [(5.32-4.94) x 0.015] _$5.33 Thus,the new Customer charge for one 35-gallon cart per week Residential Curbside service will be the $16.60 collection component plus the $5.33 disposal component, equaling$21.93. Administrative Fee Adjustment The Contractor's rates shown in Exhibit E include an embedded Administrative Fee, which may be adjusted from time to time, pursuant to Section 5.2. The initial contract rates have incorporated an Administrative Fee corresponding to a 3.2% fee on gross receipts from those Customers, as follows (1 yard, 1 pickup per week as example): Collection Fee ($78.47) + Disposal Fee ($34.94) +Administrative Fee ($3.62) + Excise Tax at 1.5% on Administrative Fee ($0.05)=Customer rate of$117.08. City of Federal Way 173 July 2019 Fee Modification Examples In the event the City Administrative Fee is adjusted,the Administrative Fee portion of the Contractor's Customer rates shall be adjusted in the manner shown in Exhibit E, which retains the Contractor's underlying compensation and ensures that the Contractor remains whole when the Administrative Fee percent is changed over time. City of Federal Way 174 July 2019 Fee Modification Examples EXHIBIT G Commodity Value Calculation 1. The following methodology will be used to determine the recycling market credit/debit provided on Customers' bills pursuant to Section 5.3.4. 2. Four waste characterizations of the City's residential Recyclables stream and multifamily Recyclables stream will be conducted by the Contractor during calendar year 2021, in the months of January, April, July, and October. Each characterization shall document the average set out weight per garbage customer on the sampled route and percentage by weight of each of the following commodity types in the City's residential and multifamily Recyclables stream: OCC, Mixed Paper (including ONP) Mixed Glass, Tin/Steel Cans, Aluminum Cans, Mixed HDPE, Natural HDPE, PET, and scrap metal. The combined weighted average for each commodity type will be used for purposes of calculating the following January's credit or debit. The City shall be provided advance notice of each sampling day and time no less than 15 working days before each sampling day.The City shall also be provided at that time, the methodology used to select routes and perform the composition study, and shall be provided an opportunity to monitor the actual composition sort. The results shall be provided to the City no later than 15 working days following the sampling. In the event that the City wishes to have additional sorts to have a larger sampling size, the City shall fund the sort(s) and the Contractor and its recycling processing subcontractor shall cooperate with the sorting activity with no additional compensation. Data from City-funded sorts shall be incorporated into the calculation for the following January's credit or debit. 3. Utilizing the Mill Trade Journal/Recycling Markets publication, a 12-month trailing average of the value of each commodity type will be determined.The following published prices (which correspond to the list of commodity types above) will be used: Old Corrugated Cardboard, Soft Mixed Paper, Green Glass, Steel Cans, Aluminum UBCs, Mixed HDPE, Natural HDPE, PET. The calculation will use the published regional average values for the Pacific Northwest region (or, if unavailable, the West region) over the most recent 12 months for which published data are available at the time of calculation. If the published value is a range,the high point of the range will be used. 4. For each commodity type, the percentage by weight calculated under Step 2 above will be multiplied by the price per ton calculated under Step 3 above.The sum of the resulting dollar values will be the calculated commodity value per ton for the City's recyclable materials for the current year. 5. The calculated commodity value per ton for the current year will be compared to the calculated commodity value per ton for the previous year to determine a percentage increase or decrease in the base per-ton rate. The previous year's per-ton payment amount will be adjusted by such percentage change to arrive at the current year's per-ton payment amount. 6. The set-out recyclables weight per garbage customer shall be multiplied by 2.15 to determine monthly recycling quantities per single family garbage customer. That quantity, as it may vary from time to time, shall be used for the current year rebate calculation in Step 7. 7. The current year's per-ton commodity value calculated under Step 5, divided by 2,000 (pounds per ton) shall be multiplied by the monthly household recycling quantity calculated under Step 7, and the result will be credited or debited to Customers based on in accordance with Section 5.3.4. City of Federal Way 115 July,2019 Commodity Value Calculation 7 rn 0 N T 7 a-'. C c0 N 11 E T m o rl DO m o rn o C ro : r` n 3 Lo r Ln In I. a 0 O N lD o E ' " E a, U V > O c a/} 14 i/>• t/? in- AA th t/? in � ra a 6J S L S Ln LK S S S S U W w � m to _' tC u1 W ^ 0000 O N II II 3 O t '0 O u) m l0 m Q (j u +' 7 Eu Qi ... IL LL u a 0 a m • * u LL W W Y-- II II 11 11 11 II O O S S Ln NL" O n S O Cl- '.. O h u1 f\ m .4 Cl N N v a--1 N O� m 3 UM Y !a0 t O LU bD 3 u Y co w c v > 2 r`o v m c O d E a a c c o c T r o oM o a W Q a, v a v a QII o_ a N a r`o Ln 00 o � � LM Spppp ppp Nw m m n � n s dD TS l7 ate, "O O .2r 00 a-I N r-i ni rNv r OO cD u1 WLA 10 M 10 .3 co ro O yLK u E J u E a N m J 0 Q U ° > c u o m v> v> +n in .n v> v� v� vs v► +n .n +� � S S S S S S SO mE d O o ui ui 0000 S 0000 S ON o ° 3 m v Lnm W m O c Z in ri N N m - E i coo E V N cu = a u rho C CU r0 - -- o. p a 4t !00 L O S a �iS `^ S 3 0 V) N n f0 vli V (U a+ v n ul f\ ni a4 hl a4 rV O `! `� N Na--I Gt N c 41 C vi O t'i +- 0 E 0 N0 a0+ v ,o Z 3 m c E Q E L E *' T ++ 41 U R u E .. Q 4- Q c u° 0) = E o ° io m a m O m ., n. E c a Y a s _0 m M 3 u O c N c X c75 75 O f9 H O c O A u u H ~ C a I c a h Tu U 0 a m a s m a c �' 10 a, CL a �o d � ;�, - 3 LL F- a• c W a M u' c a 'u u d L Q � V � a tw ami :O d E ° ul c F r-, p c c 4. a o O.' .E E a ++ L "O 4 . d d O. — ru E V X X _7 @ X y 7 O 3 r9 Z .�' O lu D u 0 H Q a Z a a u u 176 Examples From Mill Trade Journal/Recycling Markets MILL BUYING PAPERSTUCK PRICES Average prices per ton PAID BY MILLS.For Haled,F.0-B-Seller's Dock,Packed to PS-09 standards.ISM Speciffcatien"(PS-09, numbers appear in parenthesca Prices are uaended for purposes of BEFUJ ENCvE ONLY.They do notcmnote any commitment to sell or buy at the indicated price.Transactions maybe completed at anytime ata priceagreed upon by seller and purchaser. BOSTON N.7G clu. ATL. L-A. B>? PACNW Unprinted SBS(47) 385-390 385-390 355-360 390-395 345-360 345-350 245-350 Hard White Envelope Cuttings(31)455-460 455-460 425-430 43.5-440 425-.130 425-4.30 415-420 Hard White Shavings(30) 435-440 435-444) 400-405 445-450 395-400 395-400 395-400 Coated Soft White Shavings(28) 285-290 295-290 280-285 2B0-285 285-290 285-290 2,95-290 White Ledger,Manifold(4 1) 285-290 285-280 260-265 255-260 270-275 265-270 255-260 White ledger,Post Consumer(40) 200-285 280-Z05 255-260 250-255 275-210 260-265 245-250 Sorted Office Paper(37) 200-206 200-205 21)(3-205 205-210 205-210 205-21(l 205-210 Coated Book Stock(43) 200-205 200-205 200-2019 205-210 205-210 205-210 205-210 New DLK Cuttings(13) 90-95 90-95 90-95 100-105 100-105 100-105 80-85 Old Corrugated Containers(11) 75-80 76-80 75-80 86-90 86-90 85-94) 66-70 White News Blanks(24) 230-295 290-235 220-=5 MG-225 245-250 245-250 225-230 Old News(6) 40-45 40-45 30-35 40-45 80-85 80-85 70-75 Old News De-"Quality(B) 80-85 80-85 75-80 85-90 85-90 85-90 85-90 Boxboard Cuttings(4) 85-90 85-94) 80-85 85-90 85-90 85-90 85-90 Old MagRzines t 10) 90-95 90-95 85-90 90-95 90-95 90-95 90-95 Soft Mixed Paper(2) -5-0 -6-0 5-0 5-0 0-5 0-5 0-5 Your input and feedback an prices Is encouraged.Contact Anna Dutko Rowley,Editor Phone:(847)441-5646,Fax:(847)441-W52,Enua-recycllngOnvpubllcatlons com THE MARKETPLACE The following are prices reportedly lwing paid by prot�em Gtr pint-consumer racydub!�and art,in- ended Gtr put-pows of REFERENCE ONLY.They do not a,nnote any commitment W sell or buy at the in- dicated price and may not include delivery costs. WSJ=Well Street JournAb FERROUS METALS: Eeat Midwest Wast teal Cans($/long ton) $76-80 $76-$80 $75-80 NON-FEAZItQUS Copper Scrap(dt2 wire,$/lb) $2.58 WSJ 9/04+18 Esst Midwest West Aluminum UWa($/lb) $.60-.70 $60-.70 S.60-75 .75 PLASTICS: East Midwest West PET baled(ylh) upto$.16 upto$.16 upto$.19 Natural HDPE,baled SAB) up to$-30 up to$20 up to$.30 Mixed HI1PE,haledtVb) up to$16 u p to$.16 up to$.16 CLASS: Fast. Midwest West unproocasad($lion) $0-5 $0-B SO-5 Amber,unprocessed($'ton)$5-$10 $10-15 $15-21) Lear,unpretessed($hon) $20-$25 $20-25 $15-20 City of Federal Way1�7 July,2019 Commodity Value Calculation This page left blank intentionally. 178 COUNCIL MEETING DATE: July 16,2019 ITEM#: CITY OF FEDERAL WAY CITY COUNCIL AGENDA BILL SUBJECT: ORDINANCE:RELATING TO THE IMPOSITION OF AN EXCISE TAX ON BUSINESS ACTIVITIES POLICY QUESTION: Should City Council approve the ordinance to amend the excise tax on furnishing solid waste collection activities within Federal Way? COMMITTEE: Land Use and Transportation Committee MEETING DATE: July 1, 2019 CATEGORY: ❑ Consent 0 Ordinance ❑ Public Hearing ❑ City Council Business ❑ Resolution ❑ Other STAFF REPORT BY: EJ Walsh, P.E., Public Works Director DEPT: Public Works Attachments: Staff Report Ordinance Options Considered: 1. Approve the proposed ordinance. 2. Reject the proposed ordinance and provide direction to staff. MAYOR'S RECOMMEND N: Option 1. MAYOR APPROVAL: DIRECTOR APPROVAL: i (1211 l'ot mtitec n+. +i tt InitiaWatc InitialiDate Initialillate COMMITTEE RECOMMENDATION:I move to forward the proposed ordinance to First Reading on July 16, 2019. Mark Koppang,Committee Chair Jesse Johnson, Committee Member i loang Tran, Committee Member PROPOSED COUNCIL MOTION(S): FIRST READING OF ORDINANCE (JULY 16, 2019): "I move to forward approval of the ordinance to the August 13, 2019 Council Meetingfor enactment. " SECOND READING OF ORDINANCE(AUGUST 13,2019): "I move approval of the proposed ordinance. " (BELOW TO BE COMPLETED BY CITY CLERK'S OFFICE) COUNCIL ACTION: ❑ APPROVED COUNCIL BILL# ❑ DENIED First reading ❑ TABLED/DEFERRED/NO ACTION Enactment reading ❑ MOVED TO SECOND READING(ordinances only) ORDINANCE# REVISED—12/2017 RESOLUTION# 179 CITY OF FEDERAL WAY MEMORANDUM DATE: July 1, 2019 TO: City Council VIA: Jim Ferrell,Mayor FROM: EJ Walsh, P.E., Director of Public Works SUBJECT: Amendment of an excise tax on business activities related to furnishing solid waste collection FINANCIAL IMPACTS: The current overlay program is funded at a level of$1.5 million per year. This amendment modifies the existing excise tax related to furnishing solid waste collection services and creates an additional dedicated revenue source to be used primarily to maintain, repair and preserve residential streets with any remainder dedicated to other streets within the City. No modification is proposed to the existing collected revenue that is allocated to the general fund. The modification to the excise tax is expected to generate approximately$1.5 million to be dedicated to the overlay in the first year. The modification effective date is September 1, 2020. BACKGROUND: The City of Federal Way Public Works Department maintains a proactive Pavement Management System (PMS) in order to understand the pavement condition and make decisions on how to direct limited resources for pavement preservation and maintenance for over 545 lane miles of roadway. Every section of pavement is visually inspected every two years with defects (e.g. cracks, ruts) quantified in order to determine the sections Pavement Condition Index (PCI).The PMS records the pavements condition over time to determine its useful life based on its deterioration curve.The PMS also develops planning level costs to recommend funding levels for maintaining the systems overall PCI. Since 2007, Federal Way's PCI has dropped nine (9)points from an 86 to a 77 (out of 100). Reductions in the annual overlay budget as well as inflation have reduced the length of pavement overlay per year from 13 lane miles to 5.3 lane miles. At the current budget level,it is estimated that Federal Way's PCI will drop to 67(out of 100) in another ten years. As the PCI continues to drop,the funding level per year required to restore it climbs. The overlay program is currently funded at a level of$1.5 million per year. At that level, based on the current traffic patterns, the funding is not adequate to typically overlay anything other than major arterial routes. No substantial work has been completed within neighborhood streets over the last 10 years, which has led to a continued decline in the pavement condition city wide. Currently, with the overlay program funded at a level of approximately$3 million per year, it is estimated that the PCI will stabilize. This funding level will not however see a drastic increase in the PCI. If the overlay program was funded at a level of approximately$4.5 million per year, it is estimated that the PCI would be restored to 86 in a period of 15 years. Solid waste, recycling and yard waste collection trucks create a disproportionate impact that causes increased maintenance, repair and overlay to all city streets. Unlike typical tractor-trailer combinations, which are restricted to designated haul routes, the solid waste hauler's trucks by necessity regularly drive 180 July 1, 2019 LUTC Page 2 upon the city's residential streets in order to serve customers. The estimated impact of one fully loaded vehicle on a residential street is equal to the impact of 1,500 cars on the same street.This loading dramatically decrCascs the life of residential structs in particular since typically there is uuly minimal heavy truck traffic on these streets. As part of the Solid Waste RFP, staff reviewed practices of other cities with a goal of reducing the impacts to streets in residential neighborhoods.During that review, it was determined that surrounding Cities, including Kent and Des Moines,have enacted similar requirements and rates on their solid waste utility. In conjunction with the start of the new solid waste contract, scheduled for September of 2020,it is proposed to incorporate an increase in the excise tax of 10%.The increase in collected Rmding is designated as an increase in the overlay program.The current overlay funding sources and levels are proposed to remain unchanged. A minimum of 70% of the funding from the solid waste excise tax will be used for residential streets and any remainder will be used to maintain,repair and preserve other streets within the City. 181 ORDINANCE NO. AN ORDINANCE of the City of Federal Way, Washington, relating to an increase of the excise tax upon everyone engaged in the business of collecting solid waste within Federal Way and expanding the definition of "solid waste"; and amending FWRC 3.10.020 and 3.10.040. (Amending Ordinance Nos. 18-847, 10-669, 09-600, 07-562, 06-539, 02-431, 96-276, 96-262, and 95-257) WHEREAS, the City of Federal Way ("City") is a non-charter code city under Title 35A of the Revised Code of Washington ("RCW"); and WHEREAS, pursuant to RCW 35A.82.020, the City has broad authority to impose excise taxes for regulation or revenue in regard to all places and kinds of business, production, commerce, entertainment, exhibition, and upon all occupations, trades and professions, and any other lawful activity; and WHEREAS, the City's taxing authority includes the imposition of an excise tax for revenue on the gross incomes from business activities of public and private utilities and businesses within City limits; and WHEREAS, Chapter 3.10 of the Federal Way Revised Code ("FWRC") imposes excise taxes on certain business activities engaged in or carried on in the City, including certain public and private utility services and businesses; and WHEREAS, FWRC 3.10.040 currently imposes an excise tax on the gross incomes of the following: telegraph businesses; competitive telecommunication services; network telecommunication services; cellular telephone services; businesses selling, brokering or furnishing natural gas for domestic, business or industrial consumption; the City for the conduct, Ordinance No. 19- Page I of 11 Rev 1/18 182 maintenance, and operation of its municipal storm drainage system as a public utility; businesses selling or furnishing electric energy; businesses collecting solid waste; cable communications businesses; and water and sewer providers; and WHEREAS, the City operates its own solid waste utility, and contracts with a service provider to collect, haul, recycle, and dispose of residential and commercial waste throughout the City; and WHEREAS, the City's solid waste contractor, like all solid waste haulers throughout the region, uses large, heavy trucks to collect solid waste, yard waste, and recyclable materials throughout the approximately 545 lane miles of City streets; and WHEREAS, although tractor-trailer combinations are generally heavier on average than the contractor's trucks, such solid waste, yard waste, and recycling trucks, are five or more times heavier than a typical car or SUV and have a disproportionate impact that causes increased street maintenance, repair, and overlay costs. Unlike most tractor-trailer combinations, which are restricted to designated haul routes, the solid waste hauler's trucks by necessity regularly drive upon the City's residential streets in order to serve the utility's residential customers. The City estimates that the impact of one of the hauler's fully loaded vehicles on a residential street is equal to the impact of 1,500 cars; and WHEREAS, the utility's constant truck traffic across residential streets significantly decreases the life of residential streets in particular, because heavy truck traffic on residential streets would otherwise occur on a minimal basis; and Ordinance No. 19- Page 2 of 11 Rev 1/18 183 WHEREAS, the City's excise tax currently excludes yard waste, material collected primarily for recycling or salvage, and other forms of materials discarded for collection; and WHEREAS, the solid waste hauler's trucks have the similar impacts on streets without regard for what type of material is being carried; and WHEREAS, the City Council desires now to include yard waste and recyclables in the definition of"solid waste," such that these materials will now be subject to the excise tax; and WHEREAS, because of the disproportionate impact to City streets by solid waste collection activities, and in particular, the City's residential streets, the City Council has determined that the solid waste utility should contribute additional funds to maintain and repair the City's streets by raising the solid waste excise tax from the current rate of 7.75 percent to a new rate of 17.75 percent; and WHEREAS, said 10 percent increase in the tax rate shall be collected and used primarily to maintain, repair, and preserve residential streets. A minimum of 70 percent of the newly collected revenue shall be utilized for residential streets and the remainder of the newly collected revenue shall be used to maintain, repair, and preserve other streets within the City; and WHEREAS, the collected funding from the 10 percent increase shall be deposited into the City's 102 Overlay Fund and shall not supplant or reduce other funding allocated to the maintenance and repair of the street system; and WHEREAS, 7.75 percent of the excise tax shall continue to be allocated to the City's General Fund; and Ordinance No. 19- Page 3 of 11 Rev 1/18 184 WHEREAS, the City Council has determined that it is in the best interest of the public to increase the excise tax on public and private utilities and businesses engaged in or carrying on the business of collecting solid waste in the City. NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF FEDERAL WAY, WASHINGTON, DO ORDAIN AS FOLLOWS: Section 1. FWRC 3.10.020 is hereby amended to read as follows: 3.10.020 Defmitions. The definitions in this section apply throughout this chapter unless the context clearly requires otherwise. Terms not defined here are defined according to FWRC 1.05.020. "Cable service" means: (1) A system providing service pursuant to a franchise issued by the city under the Cable Communications Policy Act of 1984 Public Law No. 98-549, 47 USC Section 521, as it may be amended or superseded; or (2) Any system that competes directly with such franchised system by employing antennas, microwave, wires, wave guides, coaxial cables, or other conductors, equipment or facilities designed, constructed or used for the purpose of.- (a) f:(a) Collecting and amplifying local and distant broadcast television signals and distributing and transmitting them; (b) Transmitting original cablecast programming not received through television broadcast signals; or (c) Transmitting television pictures, film and videotape programs not received through Ordinance No. 19- Page 4 of 11 Rev 1/18 185 broadcast television signals, whether or not encoded or processed to permit reception by only selected receivers. "Cable service" shall not include television entities that are subject to charges as commercial TV stations under 47 USC Section 158. "Cellular telephone service" means a two-way voice and data telephone/telecommunications system based in whole or substantially in part on wireless radio communications and which is not subject to regulation by the Washington Utilities and Transportation Commission (WUTC). This includes cellular mobile service. The definition of cellular mobile service includes other wireless radio communications services such as specialized mobile radio (SMR), personal communications services (PCS) and any other evolving wireless radio communications technology which accomplishes the same purpose as cellular mobile service. "Competitive telecommunication service" means the providing by any person of telecommunications equipment or apparatus, or service related to that equipment or apparatus such as repair or maintenance service, if the equipment or apparatus is of a type which can be provided by persons that are not subject to regulation as telephone companies under RCW Title 80 and for which a separate charge is made. "Designated official"means an agent or employee designated by the mayor. "Gross income" means the value proceeding or accruing from the sale of tangible property or service, and receipts (including all sums earned or charged, whether received or not), by reason of the investment of capital in the business engaged in, including rentals, royalties, fees, or other emoluments, however designated (excluding receipts or proceeds from the use or sale of real Ordinance No. 19- Page S of 11 Rev 1/18 186 property or any interest therein, and proceeds from the sale of notes, bonds, mortgages, or other evidences of indebtedness, or stocks and the like), and without any deduction on account of the cost of the property sold, the cost of materials used, labor costs, interest or discount paid, or any expense whatsoever, and without any deduction on account of losses, including the amount of credit losses actually sustained by the taxpayer whose regular books or accounts are kept upon an accrual basis. "Network telecommunication service" means the providing by any person of access to a local telephone network, local telephone network switching service, toll service, or coin telephone services; or the providing of telephonic, video, data, pagers, or similar communication or transmission for hire, via a local telephone network, toll line or channel, cable, microwave, or similar communication or transmission system. "Network telecommunication service" includes interstate service, including toll service, originating from or received on telecommunications equipment or apparatus in this state if the charge for the service is billed to a person in this state. "Network telecommunication service" does not include the providing of competitive telecommunication service, the providing of cable television service, nor the providing of broadcast services by radio or television stations. "Solid waste" means garbage, trash, rubbish, demolition and construction wastes, recycling, yard waste, erand other materials discarded for collection by everyone engaged in the business of collecting said solid waste. as- l'mss-onot eeonen}ieallyviable for- funher- bistiThe tefffl does not irnelude hazardous of-texie waste, does net , elude t-d ..ante . w.n1•nri.1rcrrccrizecnz4cu primarily for-ree o salvage- Ordinance a1, aeOrdinance No. 19- Page 6 of 11 Rev 1/18 187 "Telecommunication business" means the business of providing network telecommunication service, as defined in this section. It includes cooperative or farmer line telephone companies or associations operating an exchange. "Telecommunication service" means competitive telecommunication service or network telecommunication service, or both, as defined in this section. "Telecommunications company" includes every corporation, company, association, joint stock association, partnership and person, their lessees, trustees or receivers appointed by any court whatsoever, and every city or town owning, operating or managing any facilities used to provide telecommunications for hire, sale, or resale to the general public within this state. Section 2. FWRC 3.10.040 is hereby amended to read as follows: 3.10.040 Occupations subject to tax—Amount. There are levied upon and shall be collected from everyone, including the city, on account of certain business activities engaged in or carried on in the city, occupation taxes in the amounts to be determined by the application of rates given against gross income as follows: (1) Upon everyone engaged in and carrying on a telegraph business, a tax equal to 7.75 percent of the total gross income from such business in the city during the period for which the tax is due; (2) Upon everyone engaged in or carrying on a competitive telecommunication service or network telecommunication service, a tax equal to 7.75 percent of the total gross income from such business in the city during the period for which the tax is due. In determining gross income Ordinance No. 19- Page 7 of 11 Rev 1/18 188 from such business, including intrastate toll service, the taxpayer shall include 100 percent of the gross income received from such business in the city; (3) Upon everyone engaged in or carrying on the business of cellular telephone service, a tax equal to 7.75 percent of the total gross income from such business in the city during the period for which the tax is due; (4) Upon everyone engaged in or carrying on the business of selling, brokering or furnishing natural gas for domestic, business or industrial consumption, a tax equal to 7.75 percent of the total gross income from such business in the city during the period for which the tax is due; (5) Upon the city in respect to the conduct, maintenance, and operation of its municipal storm drainage system as a public utility, a tax equal to 7.75 percent of the total gross income from such business in the city during the period for which the tax is due; (6) Upon everyone engaged in or carrying on the business of selling or furnishing electric energy, a tax equal to 7.75 percent of the total gross income from such business in the city during the period for which the tax is due; (7) Upon everyone engaged in the business of collecting solid waste, a tax equal to 17.75 percent of the total gross income from the city during the period for which the tax is due, less income derived from collection and sales of materials not defined herein as solid waste. This 17.75 percent shall be allocated as follows: (a) 7.75 percent to the General Fund. (b) 10 percent to the 102 Overlay Fund (or other fund as designated by the. PiNILe Works Director) to nlaint.aiii. repair. and preserve city streets. A minimurn of 70 percent of the Ordinance No. 19- Page 8 of 11 Rev 1/18 189 collected taxes in this subsection (b) shall be utilized for residential streets. Any remaining collected taxes in this subsection (b) not utilized for residential streets, shall be used to maintain, repair, and preserve other streets within the city. (8) Upon everyone engaged in or carrying on the business of cable communications, a fee or tax equal to 7.75 percent of the total gross income from gross subscriber revenues in the city during the period for which the fee or tax is due. For purposes of this chapter, "gross subscriber revenues" means and includes those revenues derived from the supplying of subscription services, that is, installation fees, disconnect and reconnect fees, fees for regular cable benefits including the transmission of broadcast signals and access and origination channels and per- program or per-channel charges; it does not include leased channel revenue, advertising revenue, or any other income derived from the system; (9) Upon everyone engaged in or carrying on the business of selling or furnishing water services for commercial, industrial, or domestic use or purpose, a tax equal to 7.75 percent of the total gross income from such business within the city during the period for which the tax is due; and (10) Upon everyone engaged in or carrying on the business of furnishing sewer services for commercial, industrial, or domestic use or purpose, a tax equal to 7.75 percent of the total gross income from such business within the city during the period for which the tax is due. Section 3. Referendum Procedure. In accordance with RCW 35.21.706, this ordinance is subject to the following referendum procedure. A referendum petition may be filed within seven (7) days of passage of this ordinance with the City Clerk. Within ten (10) days, the City Clerk shall confer with the petitioner concerning the form and style of the petition, issue an Ordinance No. 19- Page 9 of 11 Rev 1/18 190 identification number for the petition, and secure an accurate, concise, and positive ballot title from the City Attorney. The petitioner shall have thirty (30) days in which to secure the signatures of not less than fifteen (15) percent of the registered voters of the City, as of the last municipal general election, upon petition forms that contain the ballot title and the full text of the measure to be referred. The City Clerk shall verify the sufficiency of the signatures on the petition with King County and, if sufficient valid signatures are properly submitted, shall certify the referendum measure to the next election ballot within the City or at a special election ballot as provided pursuant to RCW 35.17.260. Section 4. Severability. Should any section, subsection, paragraph, sentence, clause, phrase, or portion of this ordinance, or its application to any person or situation, be declared unconstitutional or invalid for any reason, such decision shall not affect the validity of the remaining portions of this ordinance or its application to any other person or situation. The City Council of the City of Federal Way hereby declares that it would have adopted this ordinance and each section, subsection, paragraph, sentence, clause, phrase, or portion thereof, irrespective of the fact that any one or more sections, subsections, paragraphs, sentences, clauses, phrases, or portions thereof be declared invalid or unconstitutional. Section 5. Corrections. The City Clerk and the codifiers of this ordinance are authorized to make necessary corrections to this ordinance including, but not limited to, the correction of scrivener/clerical errors, references, ordinance numbering, section/subsection numbers and any references thereto. Ordinance No. 19- Page 10 of 11 Rev 1/18 191 Section 6. Ratification. Any act consistent with the authority and prior to the effective date of this ordinance is hereby ratified and affirmed. Section 7. Effective Date. Subject to the referendum procedure in Section 2, this ordinance shall take effect and be in force on September 1, 2020. PASSED by the City Council of the City of Federal Way this day of 2019. CITY OF FEDERAL WAY: JIM FERRELL, MAYOR ATTEST: STEPHANIE COURTNEY, CMC, CITY CLERK APPROVED AS TO FORM: J. RYAN CALL, CITY ATTORNEY FILED WITH THE CITY CLERK: PASSED BY THE CITY COUNCIL: PUBLISHED: EFFECTIVE DATE: ORDINANCE NO.: Ordinance No. 19- Page 11 of 11 Rev 1/18 192 COUNCIL MEETING DATE: n/a ITEM#: CITY OF FEDERAL WAY CITY COUNCIL AGENDA BILL SUBJECT:RENTAL HOUSING INSPECTION PROGRAM UPDATE POLICY QUESTION: n/a COMMITTEE: Land Use&Transportation Committee MEETING DATE: 7/1/2019 CATEGORY: ❑ Consent ❑ Ordinance [❑ Public Hearing ❑ City Council Business ❑ Resolution ® Other STAFF REPORT BY: Sarah Bridgeford, Community Services Manager DEPT: CD Attachments: Staff Report Timeline Options Considered: n/a. MAYOR'S RECONNIMENI . ION: n/a. MAYOR APPROVAL: DIRECTOR APPROVAL; Cum uttce ` Cr nx�6 t Intl I tc a1 Initial/Date Initial/Date COMMITTEE RECOMMENDATION:n/a Mark Koppang,Committee Chair Jesse Johnson,Committee Member Hoang Tran,Committee Member PROPOSED COUNCIL MOTION: n/a (BELOW TORE COMPLETED B Y CITY CLERK'S OFFICE) COUNCIL ACTION: ❑ APPROVED COUNCIL BILL# ❑ DENIED First reading ❑ TABLED/DEFERRED/NO ACTION Enactment reading ❑ MOVED TO SECOND READING(ordinances only) ORDINANCE# REVISED—12/2017 RESOLUTION# 193 CITY OF FEDERAL WAY MEMORANDUM DATE: July 1, 2019 TO: Land Use&Transportation Committee VIA: Jim Ferrell,Mayor FROM: Brian Davis, Community Development Director Sarah Bridgeford, Community Services Manager SUBJECT: Rental Housing Inspection Program Update FINANCIAL IMPACTS: A rental housing inspection program will need resources to cover the initial costs of the program before adequate revenue from registration is received to support the program. The anticipated costs for 2020 are $141,900. Some of the initial costs may be covered by registration fees. As staff is providing an update and not requesting action,there is no financial impact at this time. BACKGROUND: The purpose of a rental inspection program will be to prevent and address issues in order to preserve and enhance rental housing quality. The parameters of the program and what is covered and required by the inspections will be established as part of the program development. Staff has analyzed the rental housing inspection programs of regional jurisdictions to inform the City of Federal Way's program design. Recommendations Based on state law, analysis, and applicability for the City of Federal Way, staff is recommending the following: Inspection Frequency and Unit Selection Regional jurisdictions have various inspection frequencies.Based on cities with comparable populations and City of Federal Way housing stock characteristics,the recommendation is for inspections every three years. This is compliant with RCW 59.18.115. For properties with up to twenty units, no more than four units will be inspected. For properties with 21 or more units, 20%will be required to be inspected and no more than fifty units inspected per property. While sampling will be used, if qualifying complaints are received since the last inspection, up to 100% of units may be required to be inspected. Exemptions Staff recommends the following exemptions, which are consistent with regional jurisdictions. Exemptions apply to inspections only and not to registration. • Housing that is not for rent; • Properties with a certificate of occupancy within the past four years and with no code violations; • Emergency or temporary shelters; • Hotels,motels,inns, etc. • Housing licensed by the state such as hospitals,nursing homes, etc. • Room rental within a residence occupied and owned by the landlord; • Properties owned by government agency or housing authority; and • Units inspected by a government agency or housing authority; certificate or proof of inspection must be submitted. 194 July 1,2019 Land Use and Transportation Committee Rental Housing Inspection Program Update Page 2 Inspectors Staff is recommending third party inspectors. This is consistent with most jurisdictions and provides predictable workflow for City staff overseeing the program. The requirements of qualified inspectors will be determined and may include existing certifications or credentials and/or City required training. Immediate Next Steps Resources Staff is compiling resources and frequently asked questions for tenants and landlords.The resources will be included on the City website and available late summer 2019. Additional information and resources will be developed and compiled for availability when the program is implemented. Community Outreach Three meetings are tentatively planned for September 24, 25, and 26. Two of the meetings will be for tenants with one meeting held in both the north and south areas of Federal Way. The third meeting will be for landlords. Staff will promote the meetings beginning in July at the Red,White, and Blues Festival.A full outreach plan will be developed in July. 195 Rental Inspection Program 2019-2020 Tentative Schedule February 19,2019: Community Development presentation to Council. February 22,2019: Rental inspection program staff working group kick-off meeting. February 25,2019: Staff working group begins program analysis and research. March 4, 2019: Community Development status update to LUTC. May 6, 2019:City staff working group policy options to LUTC. May 21,2019: CD Director brief status update at regular council meeting. May 22, 2019:Staff working group begins draft program. July 1,2019:Staff program recommendations to LUTC Labor Day(September 2, 2019) September 2019: Renter and landlord stakeholderoutreach.* September-October 2019: Staff working group integrates public input to FWRC Title X and implementation recommendations. October 8-17,2019: LUTC packet and Draft Ord. review by CD, PW, Law, and Mayor's office October 23rd, 2019: LUTC packet due (Agenda Bill Signed+Draft Ordinance) November 4,2019: LUTC—Presentation of Ordinance and Action November 13,2019:Council packet due Thanksgiving Holiday(Nov. 28-Dec. 2) December 3,2019: City Council—Ordinance First Reading. January 7,2020: City Council=Ordinance Second Reading and Enactment. February 7, 2020:Ordinance in effect. 196 COUNCIL MEETING DATE: NIA ITEM#: CITY OF FEDERAL WAY CITY COUNCIL AGENDA BILL SUBJECT: REPORT ON PROGRESS WITH AIRCRAFT ISSUES POLICY QUESTION: None COMMITTEE: Land Use and Transportation MEETING DATE: July 1, 2019 CATEGORY: ❑ Consent ❑ Ordinance ❑ Public Hearing ❑ City Council Business ❑ Itesolution X Other STAFF REPORT BY: Bill Vadino, Policy Advisor DEPT: Mayor's Office Attachments: Staff Report Options Considered: N/A MAYOR'S RECOMMENDATION: N/A MAYOR APPROVAL: DIRECTOR APPROVAL: N/A [:azt ittre Council Initial/Date Initial/Date Initial/Date COMMITTEE RECOMMENDATION:N/A Mark Koppang,Committee Chair Jesse Johnson, Committee Member Hoang Tran,Committee Member PROPOSED COUNCIL MOTION:N/A (BELOW TO BE COMPLETED BY CITY CLERK'S OFFICE) COUNCIL ACTION: ❑ APPROVED COUNCIL BILL# ❑ DENIED First reading ❑ TABLEDIDEFERRED/NO ACTION Enactment reading ❑ MOVED TO SECOND READING(ordinances only) ORDINANCE# REVISED-12/2017 RESOLUTION# 197 CITY OF FEDERAL WAY MEMORANDUM DATE: July 1,2019 TO: Land Use&Transportation Committee(LUTC) VIA: Jim Ferrell,Mayor - FROM: Bill Vadino,Policy Advisor © },. SUBJECT: Report on progress with airport issues BACKGROUND: The LUTC will be briefed on airport issues including: • June meeting of the Highline Forum • June meeting of the Sea-Tac Stakeholder Advisory Round Table(StART) • June meeting of the StART Aviation Noise Working Group • Progress report on the Washington State Department of Commerce study on the impact of Sea- Tac Airport • Update on the Des Moines City Council study session with consultants hired by City of Des Moines and Des Moines Airport Committee. • The monthly status of recommendations from the Quiet and Healthy Skies Task Force Report will be shared. 198