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028-16 - WA State Department of Licensing - ContractDocuSign Envelope ID: F6E16532-0CDD-482E-P-77995A747CDD Revised 12-10-2015 TRANSPORTATION BENEFIT DISTRICT (TBD) KsSkIHGl09S1ATE @EPtRi4fglili � ' LICENSING DISCLOSURE AGREEMENT DOL Contract No. i'C594't TBD Contract No Upon execution, this Contract is entered into by and between Washington State, Department of Licensing (hereinafter called "DOL" or "Department"), and the Port Orchard Transportation Benefit District (hereinafter called "TBD" or "Contractor") listed below, Contract Start Date Ctmtract End hale Contractor Amount Date of execution Extend through the life of the TBD 1 % of each $20.00 fee collected will be aid to DOL Purpose (brief deseriplion) The purpose of this Contract is to provide the terms and conditions under which DOL shall administer and collect fees on behalf of cities who have established a Transportation Benefit District (T13D) in order to provide the funding for transportation improvements within the TBD's area. CONTRACTOR CONTACT INFORMATION Contmclor Address Uniform business ideniifier(UB1) Employment identifteation Number(rlrN) 216 Prospect Street, Port Orchard, WA 98366 182-000-005 'f B1) Cont mct Managcr TnD Phone Contractor fax Contractor E-Mail Address Allan Martin, Treasurer 360-876-4407 360-895-9029 finance cit of ortorchard.us Contractor Additional Contact 92 Conlact 92 Phone Cantacl #2 lax Contact 02 H-Mail Address Brandy Rinearson 360-876-4407 360-895-9029 Df putacm M1, DEPARTMENT OF LICENSING(DOL) CONTACT INFORMATION DOL Division DO Administration Programs and Services Data Sharing Contracts Unit Contract Manager DOL Contact Address Debbie Dunn, Data Sharing Contracts Manager PO BOX 2076 Olympia WA, 98507-2076 Contract Manager lelephonc Contract Managcr E-Mail 360-902-0136 ddunn dol.wa. ov AUTHORITY in accordance with, RCW 36.73.065, RCW 39.34, RCW 46.17, RCW 82.80.140, WAC 308-10, Chapter 18 USC sec. 2721-2725 Driver Privacy Protection Act (DPPA), and Executive Order 97.01, and all applicable laws as currently written or hereafter amended. ATCACHMEh rS This following are attached and incorporated herein and/or by reference (Check all applicable) ® A = General Terms and Conditions N B = Statement of Work ® C = Vehicles Subject To Fees ® D = Vehicles Not Subject To Fees The terms and conditions of this Contract are an integration and representation of the final, entire and exclusive understanding between the parties superseding and cancel all previous agreements, writings, and communications, oral or otherwise regarding the subject matter of this Contract, between the parties. IN WITNESS WHEREOF, the parties have executed this Contract and affirm they have read and understand all terms and conditions of this Contract and have the authority to bind their respective parties to the terms and conditions of this Contract. Contractor Signature hate Signed DOL Signature Date Signed L]acu5lpnad 6y: � - C 8,z,���6 Rob Putannsua, Mayor amara o rman, Assistant Director cis clerk rilyaf orlorrhard.tes Page 1 of 8 ATTACHMENT A GENERAL TERMS AND CONDITIONS THEREFORE, IT IS MUTUALLY AGREED THAT: 1. DEFINITIONS As used throughout this Contract the following terms shall have the meanings set forth below: a. "Administrative and Collection Expenses" means the Direct and Indirect Cost associated with the collection of the TBD fees, including but not limited to information technology services to implement and support the collection of TBD fees; accounting for and payment of fees to the TBD; Contract administration; and management analysis as well as other incidental administrative overhead, and includes the costs associated with optional access to the Internet Vehicle Information Processing System (IVIPS). It does not include record inquiries by TBD (under an IVIPS contract). b. "Authorized User" means TBD officers, and employees, or any other authorized agent or official of the TBD. c. "Billing Cycle" means the annual vehicle registration renewal. d. "Direct Cost" shall include, but is not limited to, all operating, equipment and personnel costs used to furnish the information, reruns and/or additional data runs, costs materials and data integrity costs directly related to the monthly production and maintenance of these data files. e. "District" means all the territory within the boundaries of the TBD's jurisdiction establishing the District. f. "DOL File" means the data file received from a third party used by DOL as the primary GIS data source to assess TBD fees. g. "GIS" means the Geographical Information System data provided to DOL by a third party. "Indirect Cost" shall include, but is not limited to, auditing, answering complaints, correspondence, administrative overhead, building rents, related utilities, and other expenses identified as Indirect Costs by the Director of DOL. h. "Location Code" means the four digit number that corresponds to a TBD jurisdiction that is used by DOL when assessing the TBD fee. The four digit number is derived from the Department of Revenue's sales and use tax Location Code information. i. "Next Billing Cycle" means the Billing Cycle that occurs during the 12th month following the current Billing Cycle. For example, if a renewal is sent for a due date in the month of January 2014, the Next Billing Cycle will be January 2015. j. "RCW" means Revised Code of Washington. k. "Subcontractor' means a person or entity not in the employment of the TBD named in this Contract, but who is performing all or part of those services outlined in this Contract under a separate Contract with the TBD. The terms "subcontractor" and "subcontractors" mean subcontractor(s) in any tier. 2. STATEMENT OF WORK The parties to this Contract shall furnish the necessary personnel, equipment, material and/or service(s) and otherwise do all things necessary for or incidental to the exchange of data as set forth in the Attachment B, Statement of Work, Attachment C, Vehicles Subject To Fees, and Attachment D, Vehicles Not Subject to Fees, that are attached and incorporated by reference. 3. PERIOD OF PERFORMANCE Subject to its other provisions, this Contract is subject to review as necessary to review applicable law changes that affect this Contract and the provision herein, or as is otherwise required herein. 4. FEE COLLECTION Fee collection may not be sooner than six (6) months from the signed and dated Ordinance or Resolution creating the TBD fee. 4.1. PAYMENT/ REIMBURSEMENT a. DOL shall deduct a percentage amount, as provided in RCW 82.80.140, of one percent (1%) of the twenty dollar ($20.00) fee collected for Administration and Collection Expenses incurred. b. DOL shall automatically deduct one percent (1 %) at the time of each transaction. C. DOL shall certify the release of the proceeds to the state treasurer, and the state treasurer shall distribute the proceeds to the TBD on a monthly basis depending upon their disbursement schedule. d. The one percent (1%) fee is a maximum permitted by statute and is based upon the costs associated with the Administration and Collection Expenses for the TBD. 5. RECORDS and DOCUMENTS The parties to this Contract shall each maintain books, records, documents and other evidence, which sufficiently and properly reflect all Direct and Indirect Costs expended by either party in the performance of the service(s) described herein. These records shall be subject to inspection, review or audit by authorized personnel of either party, the Office of Attachment A, General Terms And Conditions Page 2 of 8 the State Auditor, and other government officials so authorized by law for the period such records are required to be retained according to the Washington State Retention Schedule. Each party will utilize reasonable security procedures and protections to assure that records and documents provided by the other party are not erroneously disclosed to third parties, except as required by law. 6. ASSURANCES DOL and the Contractor agree all activity pursuant to this Contract will be in accordance with all applicable current or future federal, state and local laws, rules, and regulations. 7. PUBLIC RECORDS REQUESTS For any public records request received by the TBD for confidential information, the TBD will coordinate with DOL in an effort to mutually agree upon the information to be disseminated. If the TBD and DOL disagree, the TBD will provide DOL at least ten (10) days in order to allow DOL to seek judicial review as provided under the Public Records Act. 8. INDEMNITY Except as specifically provided in this section, the parties have not agreed to indemnify or hold harmless each other. a. Each party agrees to hold harmless and indemnify the other from any claim, loss or liability arising from or out of the employment or contractual relationship of each parties' employees and Subcontractors. b. DOL agrees to bear all costs associated with the resolution of fee payer disputes regarding statutory exemption from license fees and agrees to hold harmless and indemnify the TBD from such costs. c. TBD agrees to bear all costs associated with the resolution of fee payer disputes relating to the formation of the TBD, the levying of any charge or fee on matters relating to the residence of the fee payer or other disputes relating to the location of the vehicle or fee payer, and agrees to hold harmless and indemnify the DOL from such costs. d. The term "cost" as used herein refers to any and all administrative costs, court costs and reasonable attorneys' fees associated with resolution of any claim, loss or liability. 9. INDEPENDENT CAPACITY The employees or agents of each party who are engaged in the performance of this Contract shall continue to be employees or agents of that party and shall not be considered for any purpose to be employees or agents of the other party. 10. CONTRACT ALTERATIONS AND AMENDMENTS This Contract may be amended by mutual consent of the parties. Such amendments shall not be binding unless they are in writing and signed by personnel authorized to bind each of the parties. 11. MEMORANDUM OF UNDERSTANDING (MOU) Any communications that either contract manager determines to address more than day-to-day concerns, but do not modify the terms of this Contract, shall be documented by a written, numbered and dated Memorandum of Understanding (MOU). 12. TERMINATION BY LEGISLATIVE ACTION This Contract is terminated upon formal action of the State Legislature by enacting statutory prohibition. If this Contract is terminated, DOL is entitled to payments required under the terms of this Contract for services rendered prior to termination. 13. REMEDIES DISPUTE RESOLUTION The relationship of the parties is in part defined by statute. In recognition of the parties' relationship and the lack of alternatives for the collection of fees, the parties have established these provisions regarding their respective rights and remedies. 13.1 Dispute Resolution The parties shall attempt to resolve any dispute between the parties regarding the interpretation or performance under this Contract at a staff level. If a party believes the other to be in breach of this Contract, it shall provide written notice of breach to the party via postage paid in the U.S. mail using addresses as provided on page one (1) of this Contract. The alleged party in breach shall have ten (10) business days to either cure the breach or refer any dispute to arbitration by the Dispute Board. Attachment A, General Terms And Conditions Page 3 of 8 The Dispute Board shall attempt to resolve the dispute in the following manner prior to seeking judicial review. Due to the critical nature of the parties statutory obligations, disputes regarding public records shall not be subject to this procedure, except as provided in Section 7, Public Records Request. Additional procedures are provided for alleged breach of confidentiality. a. Each party to this Contract shall appoint one member to the Dispute Board. b. The members so appointed shall jointly appoint an additional member to the Dispute Board. c. The Dispute Board shall review the facts, Contract terms, applicable statutes and rules and make a determination. 14. GOVERNANCE This Contract shall be construed and interpreted in accordance with the laws of the state of Washington and the venue of any action brought under this Contract shall be in the Superior Court for Thurston County. 15. ORDER OF PRECEDENCE In the event of an inconsistency in this Contract, unless otherwise provided in this Contract, the inconsistency shall be resolved by giving precedence in the following order: 1. Applicable federal and Washington State laws, statutes and regulations; 2. Attachment A, General Terms and Conditions; 3. Attachment B, Statement of Work; Attachments C, Vehicles Subject to Fees; and Attachments D, Vehicles not Subject to Fees; and 4. Any other provisions of this Contract and documents incorporated by reference or otherwise. 5. 16. ASSIGNMENT Any city or county in which a Transportation Benefit District has been established pursuant to chapter 36.73 RCW with boundaries coterminous with the boundaries of the city or county may by ordanance or resolution of the city or county legislative authority assume the rights, powers, functions, and obligations of the Transportation Benefit District in accordance with Washington law. The city or county, within ten business days, notify DOL of the passage of such ordanance or resolution and provide a copy. The parties will work coorperatively in the transition of the rights, powers, functions, and obligations of the Transportation Benefit District. 17. WAIVER Unless the Contract is amended in writing by an authorized representative of DOL and the TBD, waiver of a default under this Contract, or failure by DOL or the TBD to exercise its rights shall not be considered a modification or amendment to the Contract; or constitute a waiver of any subsequent default. 18. LIMITATION OF STATE LIABILITY The parties agree that in no event shall the state of Washington, the Department, the Director of the Department or any Department employees, be liable to Contractor for any damages, costs, lost production, or any other loss of any kind for failure of the Department's equipment, hardware or software to perform for any reason, or for the loss of consequential damage which is the result of acts of God, strikes, lockouts, riots, acts of war, epidemics, acts of fire, failure of communications or computer equipment, facilities, or software, power failures, nuclear accidents or other disasters. The state of Washington, the Department, the Director of the Department or any Department employee shall not be liable for any claim of any nature against Contractor by any party arising from any failure in the service furnished by the Department under this Contract, for any errors, mistakes or acts on the part of the Department or its agents which result in the failure of the Department's equipment or software which fails to perform for any reason or for any other loss or consequential damage which is a result of acts of God, strikes, lockouts, riots, acts of war, epidemics, acts of fire, failure of communications or computer equipment, facilities, or software, power failures, nuclear accidents or other disasters. 19. SEVERABILITY If any provision of this Contract or any provision of any document incorporated by reference shall be held invalid, such invalidity shall not affect the other provisions of this Contract which can be given effect without the invalid provision, if such remainder conforms to the requirements of applicable law and the fundamental purpose of this Contract, and to this end the provisions of this Contract are declared to be severable. 20. INTERLOCAL CONTRACT This is an interlocal Contract entered into pursuant to the authorization of chapter 39.34 RCW. Accordingly, the following provisions are set forth in accordance with the provisions of RCW 39.34.030. a. This Contract shall be perpetual unless terminated as herein provided. b. No separate legal or administrative entity is created by this Contract. Attachment A, General Terms And Conditions Page 4 of 8 c. The cooperative undertakings of the parties shall be financed as provided herein. Each party shall separately establish and maintain a budget for its own functions. d. No joint property shall be acquired, held or disposed of. Any real or personal property used in the joint or cooperative undertaking shall be considered to be and remain the property of the party who purchased such real or personal property. e. This Contract shall be effective when posted on the website of either the DOL or the jurisdiction in which the TBD has been created in accordance with RCW 39.34.040. 21. CONTRACT MANAGEMENT The contract manager for each of the parties as named on page one (1) of this Contract shall be responsible for and shall be the contact person for all communications and billings regarding the performance of this Contract. ***THE REMAINDER OF THIS PAGE IS INTENTIONALLY LEFT BLANK*** Attachment A, General Terms And Conditions Page 5 of 8 Revised 12-10-2015 ATTACHMENT B STATEMENT OF WORK 7. FOR ADMINISTRATION AND COLLECTION OF THE VEHICLE FEE The Transportation Benefit District (TBD), or the city/county if they are legally assigned responsibility, shall furnish the necessary personnel, equipment, material and/or services and otherwise do all things necessary for or incidental to the performance of work as set forth below. 8. RESPONSIBILITIES OF THE TBD The TBD shall: a. Be the primary point of contact to respond to inquiries or disputes from citizens who have questions about the fee. b. Handle all contacts and/or disputes regarding boundaries and/or questions regarding the TBD or its collection of fees. c. Agree that any omitted or incorrect addresses that result in the fee not being charged for the current Billing Cycle will not be collected by DOL during the current cycle. DOL will charge the fee during the Next Billing Cycle if GIS data is updated by the data provider, DOL has a reasonable amount of time to accomplish necessary computer changes, and the address is within the TBD boundary. d. Process and issue any refunds or shortages that may be due. It is anticipated that TBD refunds will be largely due to boundary disputes. e. Verify boundary information of the TBD against the information provided in the GIS system to ensure an address taxing Location Code is appropriately identified for fee collection. Notify DOL of any changes to initiate computer -programming updates for proper fee collection. 9. RESPONSIBILITIES OF DOL DOL shall: a. Not impose the fee for vehicles as defined by law as "Not Subject" to the fee by statute and are listed in Attachment D, Vehicles Not Subject to Fee. b. Use data from the DOL File as the primary source for identification when assessing the fee for a vehicle registered within a TBD area. If the Location Code is one of the TBD areas, then DOL will apply the charge to the vehicle record. If a match cannot be found within the data from the DOL File, then the customer will not be billed the fee. DOL will not use any other data source to determine TBD fee liability. c. Administer and collect the appropriate annual vehicle fees of up to $20.00 per vehicle, at the time of registration renewal, pursuant to RCW 82.80.140. d. Not be responsible for the issuance of any refunds or shortages of the fee collected on behalf of TBD for boundary disputes when a customer claims they do not live in a TBD's area. e. Not be responsible or liable for any incorrect or omitted notices sent because TBD provided information to DOL in error. f. Not make corrections or issue replacement paper or electronic renewal notices. Not be obligated to recover actual or perceived revenue loss of the fee due to errors from data provided to DOL for boundary discrepancies. g. Not be responsible for inquiries and/or disputes of customers regarding the fees imposed by the TBD, except to direct the customer to the contact information provided to DOL by the TBD. h. Provide customers with information on the DOL webpage, which includes contact information for TBD. i. Provide vehicle licensing office and DOL staff with information to explain the TBD fee, which includes a list of TBD contact information. j. Not be responsible for the timeliness of the State Treasurer's monthly distribution of funds. ****REMAINDER OF THIS PAGE IS INTENTIONALLY LEFT BLANK***** Attachment B, Statement of Work Page 6 of 8 Revised 12-10-2015 ATTACHMENT C VEHICLES SUBJECT TO FEE The annual vehicle fee is due for each vehicle subject to license tab fees and for each vehicle subject to gross weight fees with an unladen (scale) weight of 6,000 pounds or less as described in table below. Vehicles registered with Disabled American Veteran Exemption would be exempt from the tax. The annual vehicle licensing fee applies only when renewing a vehicle registration, and is effective upon the registration renewal date as provided by the Department of Licensing. The following vehicles are subject to the vehicle licensing fee under RCW 82.80.140: Use Class Description What makes it Subject... CAB Taxicab 46.17.350 CMB (powered) Combination 46.17.355, if scale weight is 6000 pounds or less COM (powered) Commercial vehicle 46.17.350, if scale weight is 6000 pounds or less CYC Motorc cle 46.17.350 FIX Fixed Load vehicle 46.17.355, if scale weight is 6000 pounds or less F/H, 6 seats or less For Hire 46.17.350 F/H, 7 seats or more For Hire 46.17.355, if scale weight is 6000 pounds or less H/D House Moving Dolly 46.17.350 LOG(powered) Used Exclusively for hauling logs 46.17.355, if scale weight is 6000 pounds or less MH Motor home 46.17.350 MOB Mobile Home 46.17.350 if actually licensed PAS Passenger vehicle 46.17.350 STA, 6 seats or less Stage 46.17.350 STA, 7 seats or more Stage 46.17.355, if scale weight is 6000 pounds or less TLR Private —use trailer (if over 2000 pounds scale weight) 46.17.350 TOW Tow truck 46.17.350 TRK Truck 46.17.355, if scale weight is 6000 pounds or less TVL Travel trailer 46.17.350 NEP Neighborhood electric passenger vehicle 46.17.350 NET Neighborhood electric truck 46.17.355, if scale weight is 6000 pounds or less MEP Medium -speed electric passenger vehicle 46.17.350 MET Medium -speed electric truck 46.17.355, if scale weight is 6000 pounds or less Attachment C, Vehicles Subject To Fee Page 7 of 8 Revised 12-10-2015 ATTACHMENT D VEHICLES NOT SUBJECT TO FEE The following vehicles are specifically exempted from the vehicle licensing fee: a. Campers, as defined in RCW 46.04.085; b. Farm tractors or farm vehicles as defined in RCW 46.04.180 and 46.04.181; C. Mopeds, as defined in RCW 46.04.304; d. Off -road and non highway vehicles as defined in RCW 46.04.365; e. Private use single -axle trailer, as defined in RCW 46.04.422; f. Snowmobiles as defined in RCW 46.04.546; and g. Vehicles registered under chapter 46.87 RCW and the international registration plan. The following vehicles are not subject to the vehicle fee under RCW 82.80.140: Use Class Description What makes it Subject... ATV Motorized Non highway vehicle Not subject to 82.80.140 C/G Converter Gear Not subject to license fees CMB non powered Trailers Not subject to license fees CMP Cam ers Exem t under 82.80.140 COM non powered Commercial Exempt under 82.80.140 EX State, County, City, Indian Not subject to license fees FAR Farm Exempt under 82.80.140 FCB Farm Combination Exempt under 82.80.140 FED Federally Owned Not subject to license fees FEX Farm Exempt Not subject to license fees H/C (i.e., Antique vehicle) Horseless Carriage( see specific use class for vehicle type) Not subject to license fees LOG nonpowered) Used exclusively for hauling logs Exempt under 82.80.140 ORV Off Road Vehicles Exempt under 82.80.140 PED Moped Exempt under 82.80.140 RES Restored and Collector Vehicles Not subject to license fees SCH Private School Not subject to license fees SNO Snowmobiles Exempt under 82.80.140 SNX State, County, City owned snowmobiles Exempt under 82.80.140 TLR Personal use trailers, single axle (less than 2,000 pounds scale weight) Exempt under 82.80.140 Attachment D, Vehicles Not Subject To Fee Page 8 of 8 ORDINANCE NO.020-16 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF PORT ORCHARD, KITSAP COUNTY, WASHINGTON, REPEALING ORDINANCE NO. 010-16, ASSUMING THE RIGHTS, POWERS, FUNCTIONS, IMMUNITIES, AND OBLIGATIONS OF THE PORT ORCHARD TRANSPORTATION BENEFIT DISTRICT; REPEALING SECTION 12.12S.020 AND AMENDING SECTIONS 12.12S.030 AND .040 OF THE PORT ORCHARD MUNICIPAL CODE TO EFFECT THE SAME; PROVIDING FOR SEVERABILITY; AND ESTABILISHING AN EFFECTIVE DATE. WHEREAS, Chapter 36.73 of the Revised Code of Washington (RCW) authorizes the legislative authority of a city to establish a transportation benefit district (TBD) within the city area for the purpose of acquiring, constructing, improving, providing, and funding a transportation improvement within the district that is consistent with any existing state, regional, or local transportation plans and necessitated by existing or reasonably foreseeable congestion levels; and WHEREAS, while RCW 36.73 originally authorized a TBD to be created as a separate entity with specific rights, powers, functions and obligations, on July 1, 2015, the Washington State Legislature enacted Second Engrossed Substitute Senate Bill 5987 (2ESSB 5987) entitled "Transportation Revenue", of which a new Section 301 of Part III, "Local Transportation Revenue —Transportation Benefit Districts" provides that in any city or county in which a TBD has been established pursuant to Chapter 36.73 RCW with boundaries coterminous with the boundaries of the city or county, the legislative authority of that city or county may absorb that TBD and assume all of the TBD's rights, powers, functions, and obligations; and WHEREAS, on December 8, 2015 and pursuant to RCW 36.73, the City Council of the City of Port Orchard (the "Council" and "City", respectively) passed Ordinance No. 027-15, creating the Port Orchard Transportation Benefit District with boundaries coterminous with the boundaries of the City and with all Council members serving as the TBD board members and taking on all rights, powers, functions and obligations of the TBD; and WHEREAS, thereafter, City staff held the mistaken belief that Ordinance No. 027-15 had created the TBD as a separate entity, rather than as one in which the City Council had absorbed the TBD and assumed all of its rights, powers, functions and obligations, and determined that it was necessary to hold a public hearing and potentially pass an ordinance to absorb the TBD; and Ordinance No. 020-16 Page 2 of 3 WHEREAS, pursuant to Section 302 of 2ESSB 5987, the Council adopted Resolution No. 052-16, declaring its intent to conduct a public hearing at its regular council meeting on June 14, 2016, to consider the City's proposed assumption of all rights, powers, functions, and obligations of the TBD; and WHEREAS, on June 14, 2016, the Council conducted the public hearing .allowing all persons interested in the City's proposed assumption of the TBD the opportunity to be heard; and WHEREAS, on June 14, 2016, the City Council adopted Ordinance 010-16 to authorize the City to absorb the TBD and assume all of its rights, powers, functions and obligations; and WHEREAS, Ordinance 010-16 is a duplicate ordinance in that it accomplishes the absorption of the TBD by the City, which act was already accomplished under Ordinance 027- 15, and nothing else; and WHEREAS, the City Council has determined that Ordinance 010-16 should be repealed in its entirety; now, therefore THE CITY COUNCIL OF THE CITY OF PORT ORCHARD, WASHINGTON, DO ORDAIN AS FOLLOWS: Section 1.Ordinance No. 010-16 is hereby repealed in its entirety. Section 2. Severability. Should any section, paragraph, sentence, clause, or phrase of this ordinance, or its application to any person or circumstance, be declared unconstitutional or otherwise invalid for any reason, or should any portion of this ordinance be pre-empted by state or federal law or regulation, such decision or preemption shall not affect the validity of the remaining portions of this ordinance or its application to other persons or circumstances. Section 3. Corrections. Upon the approval of the city attorney, the city clerk is authorized to make any necessary corrections to this ordinance including, but not limited to, the correction of scrivener's/clerical errors, references, ordinance numbering, section/subsection numbers, and any reference thereto. Section 4. Effective Date. This ordinance shall be published in the official newspaper of the City and shall take full force and effect five (5) days after the date of publication. Ordinance No. 020-16 Page 3 of 3 PASSED by the City Council of the City of Port Orchard, APPROVED by the Mayor and attested by the Clerk in authentication of such passage this 26th day of July 2016. ATTESTED: Brandy Rinearson, City Clerk, CIVIC APPROVED AS TO FORM: on Cates, City Attorney PUBLISHED: August 5, 2016 EFFECTIVE DATE: August 10, 2016 Di�t:e Robert Putaansuu, Mayor 1 +0,,,,., C.G O 0 O= Sponsored by: 9TF OF �,,,, + Bek Ashby, Councilmember NOTICE OF CITY OF PORT ORCHARD ORDINANCE The following is a summary of an Ordinance approved by the Port Orchard City Council at their regular Council meeting held July 26`h, 2016. ORDINANCE NO.020-16 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF PORT ORCHARD, KITSAP COUNTY, WASHINGTON, REPEALING ORDINANCE NO. 010-16, ASSUMING THE RIGHTS, POWERS, FUNCTIONS, IMMUNITIES, AND OBLIGATIONS OF THE PORT ORCHARD TRANSPORTATION BENEFIT DISTRICT; REPEALING SECTION 12.125.020 AND AMENDING SECTIONS 12.125.030 AND .040 OF THE PORT ORCHARD MUNICIPAL CODE TO EFFECT THE SAME; PROVIDING FOR SEVERABILITY; AND ESTABILISHING AN EFFECTIVE DATE. Copies of Ordinance No. 020-16 are available for review at the office of the City Clerk of the City of Port Orchard. Upon written request a statement of the full text of the Ordinance will be mailed to any interested person without charge. Thirty days after publication, copies of Ordinance No. 020-16 will be provided at a nominal charge. City of Port Orchard Brandy Rinearson City Clerk Published: Friday, August 5th, 2016 Introduced by: Public Works Director Requested by: Public Works Director Drafted by: City Attorney Reviewed by: City Attorney Introduced: December 8, 2015 Adopted: December 8, 2015 ORDINANCE NO.027-15 AN ORDINANCE OF PORT ORCHARD, WASHINGTON, RELATING TO THE ESTABLISHMENT OF THE PORT ORCHARD TRANSPORTATION BENEFIT DISTRICT, IDENTIFYING THE GOVERNING BOARD, DESCRIBING THE FUNCTIONS OF THE DISTRICT, DESCRIBING THE MANNER IN WHICH TRANSPORTATION IMPROVEMENTS SHALL BE FUNDED AND DISSOLUTION OF THE DISTRICT, ALL AS ALLOWED BY CHAPTER 36.73 RCW, ADDING A NEW CHAPTER 3.44 TO THE PORT ORCHARD MUNICIPAL CODE. WHEREAS, the City Council desires to respond to the need for transportation improvements on city streets by establishing a transportation benefit district, as authorized by chapter 36.73 RCW; and WHEREAS, the SEPA Responsible Official has determined that this Ordinance is categorically exempt under SEPA, WAC 197-11-800(19) as a program relating solely to governmental procedures and containing no substantive standards respecting use or modification of the environment; and WHEREAS, notice of a public hearing on this Ordinance establishing a transportation benefit district was provided according to RCW 36.73.050(1), including, but not limited to, publication of such notice in a newspaper in general circulation in the City, not less than ten days before the hearing; and WHEREAS, the public hearing was held on the establishment of a transportation benefit district by the Port Orchard City Council on December 8, 2015; and WHEREAS, the City Council considered the adoption of this ordinance during its regular meeting of December 8, 2015 and determined that the establishment of a transportation benefit district is in the public interest; Now, Therefore, IT IS HEREBY ORDAINED BY THE PORT ORCHARD CITY COUNCIL AS FOLLOWS: Section 1. A new chapter 3.44 shall be added to the Port Orchard Municipal Code, which shall read as follows: Ordinance No. 027-15 Page 2 of 4 CHAPTER 3.44 TRANSPORTATION BENEFIT DISTRICT Sections: 3.44.010 Purpose. 3.44.020 Establishing the Transportation Benefit District 3.44.030 Governing Board 3.44.040 Functions of the District 3.44.050 Transportation Improvements Funded 3.44.060 Dissolution of District 3.44.060 Liberal Construction. 3.44.010 Purpose. The purpose of this chapter is to establish a transportation benefit district (TBD) pursuant to RCW 35.21.225 and chapter 36.73 RCW, consistent with the public interest, to provide adequate levels of funding for transportation improvements that preserve, maintain and, as appropriate, construct or reconstruct the transportation infrastructure of the City of Port Orchard. 3.44.020 Establishing the Transportation Benefit District. There is created a transportation benefit district to be known as the Port Orchard Transportation Benefit District or "District" with geographical boundaries comprised of the corporate limits of the City as they currently exist or as they may exist following future annexations. 3.44.030 Governing Board. A. The governing board of the Port Orchard Transportation Benefit District shall be the Port Orchard City Council, acting in an ex officio and independent capacity, which shall have the authority to exercise the statutory powers set forth in chapter 36.73 RCW. B. The treasurer of the Transportation Benefit District shall be the City Treasurer. C. The Board shall develop a material change policy to address major plan changes that affect project delivery or the ability to finance the plan, pursuant to the requirements set forth in RCW 36.73.160(1). The policy must at least address material changes to cost, scope and schedule, the level of change that will require governing body involvement and how the governing body will address those changes. At a minimum, if the District funding participation in a transportation improvement exceeds its original cost by more than twenty percent (20%) as identified in the. District's original Ordinance No. 027-15 Page 3 of 4 plan, a public hearing shall be held to solicit public comment regarding how the cost change should be resolved. D. The Board shall issue an annual report, pursuant to the requirements of RCW 36.73.160(2). 3.44.040 Functions of the District. A. The District, by a majority vote of its governing board, may authorize a motor vehicle license fee of up to twenty dollars as provided in RCW 82.80.140 for the purposes set forth in this chapter and as may be subsequently authorized according to law. B. The District may impose additional taxes, fees or charges authorized by RCW 36.73.040 or ad valorem property taxes authorized by RCW 36.73.060, only if approved by District voters pursuant to RCW 36.73.065. C. The District shall have all powers and functions provided by chapter 36.73 RCW to fulfill the functions of the District, including the power to issue general obligation bonds and revenue bonds as provided in RCW 36.73.070, or form a local improvement district as provided in RCW 36.73.080. 3.44.050 Transportation improvements funded. The funds generated by the Transportation Benefit District may be used for transportation improvements that preserve, maintain, operate, construct and reconstruct the existing transportation infrastructure of the City, consistent with chapter 36.73 RCW, as it now exists or is hereafter amended. In addition to the foregoing, the funds generated may be used for any purpose allowed by law, including to operate the District and to make transportation improvements that are consistent with state, regional and local transportation plans and necessitated by existing or reasonably foreseeable congestion levels, pursuant to chapter 36.73 RCW. The District shall select to the extent practicable projects for funding that reduce the risk of transportation facility failure and improve safety, decrease travel time, increase daily and peak period trip capacity, improve modal connectivity, provide for economic development, improve accessibility for persons with special transportation needs, and preserve and maintain optimal performance of the infrastructure over time to avoid expensive infrastructure construction and replacement in the future. All funds raised through the District shall be expended only for such construction, reconstruction, preservation, maintenance and operation in accordance with the provisions of chapter 36.73 RCW as it now exists or is hereafter amended. The funds expended by the District shall preserve, maintain, operate and improve the City's investments in the transportation infrastructure, reduce the risk of transportation facility failure, improve safety, continue the cost effectiveness of the City's Ordinance No. 027-15 Page 4 of 4 infrastructure investments, provide for economic development and continue the optimal performance of the transportation system. Additional transportation improvement projects may be funded only after compliance with the provisions of RCW 36.73.050(2)(b) following notice, public hearing and enactment of an authorizing ordinance. 3.44.060 Dissolution of District. The District shall be automatically dissolved when all indebtedness of the District has been retired and when all of the District's anticipated responsibilities have been satisfied. 3.44.070 Liberal Construction. This chapter is to be liberally construed to accomplish the purpose of establishing a transportation benefit district with the broadest possible authority under chapter 36.73 RCW, as it now exists or is hereafter amended. Section 4. Severability. If any section, sentence, clause or phrase of this Ordinance should be held to be unconstitutional or unlawful by a court of competent jurisdiction, such invalidity or unconstitutionality shall not affect the validity or constitutionality of any other section, sentence, clause or phrase of this Ordinance. Section 5. Publication. This Ordinance shall be published by an approved summary consisting of the title. Section 6. Effective Date. This Ordinance shall take effect and be in full force and effect five days after publication, as provided by law. PASSED by the City Council of the City of Port Orchard, SIGNED by the Mayor and attested by the City Clerk in authentication of such passage on this 8th day of December, 2015. ATTEST: Brandy Rinearson, CIVIC, City Clerk APPR VIED AS TO FORM: ;f arol Morris, City Attorney Timo6y C. Matthes, Mayor Sponsored by: t �I� Bek Ashby, Councilmemb'er NOTICE OF CITY OF PORT ORCHARD ORDINANCE The following is a summary of an Ordinance approved by the Port Orchard City Council at their regular Council meeting held December 8, 2015. ORDINANCE NO.027-15 AN ORDINANCE OF PORT ORCHARD, WASHINGTON, RELATING TO THE ESTABLISHMENT OF THE PORT ORCHARD TRANSPORTATION BENEFIT DISTRICT, IDENTIFYING THE GOVERNING BOARD, DESCRIBING THE FUNCTIONS OF THE DISTRICT, DESCRIBING THE MANNER IN WHICH TRANSPORTATION IMPROVEMENTS SHALL BE FUNDED AND DISSOLUTION OF THE DISTRICT, ALL AS ALLOWED BY CHAPTER 36.73 RCW, ADDING A NEW CHAPTER 3.44 TO THE PORT ORCHARD MUNICIPAL CODE. Copies of Ordinance No. 027-15 are available for review at the office of the City Clerk of the City of Port Orchard. Upon written request a statement of the full text of the Ordinance will be mailed to any interested person without charge. Thirty days after publication, copies of Ordinance No. 027-15 will be provided at a nominal charge. City of Port Orchard Brandy Rinearson City Clerk Published: Friday, December 18, 2015