024-19 - Kitsap Economic Development Alliance - ContractCITY OF PORT ORC PROFESSIONAL SERVICES AGREEMENT
ECONOMIC DEVELOPMENT SERVICES
Contract No. 2019
THIS Agreement is made effective as of the 1" day of January 2019, by and between the City of
Port Orchard, amunicipal corporation, organized under the laws of the State of Washington, whose address
is:
CITY OF PORT ORCHARD, WASHINGTON (hereinafter the "CITY")
216 Prospect Street
Port Orchard, Washington 98366
Contact: Mayor Robert Putaansuu Phone: (360) 876- 4407 Fax: (360) 895-9029
and Kitsap Economic Development Alliance, a non-profit corporation, organized under the laws
of the State of Washington, doing business at:
Kitsap Economic Development Alliance (hereinaft er the "CONSULTAI\T")
4312 Kitsap Wuy, Suite 103
Bremerton, WA 98312
Contact: John Powers, Executive Director Phone: (360) 377-9499
for professional services in connection with the following Project:
Economic Development
TERMS AND CONDITIONS
1. Services by Consultant
A. Consultant shall perform the services described in the Scope of Work attached to this
Agreement as Exhibit "A." The services performed by the Consultant shall not exceed the Scope of Work
without prior written authorization from the City.
B. The City may from time to time require changes or modifications in the Scope of Work.
Such changes, including any decrease or increase in the amount of compensation, shall be agreed to by the
parties and incorporated in written amendments to the Agreement.
2. Schedule of Work.
A. Consultant shall perform the services described in the scope of work in accordance with
the Schedule attached to this contract as Exhibit "r{." If delays beyond Consultant's reasonable control
occur, the parties will negotiate in good faith to determine whether an extension is appropriate.
B.
Proceed.
Consultant is authorized to proceed with services upon receipt of a written Notice to
City of Port Orchard
Kitsap Economic Development Alliance
Professional Service Agreement Contract No.
I ofl0
tr.,|-t1
3 Terms. This Agreement shall commence on January 1 ,2019, ("Commencement Date") and shall
terminate on December 31 ,2020, unless extended or terminated in writing as provided herein.
4. Compensation.
LUMP SUM. Compensation for these services shall be a Lump Sum of $
TIME AND MATERIALS NOT TO EXCEED. Compensation for these services shall not exceed
$without written authorization and will be based on billing rates and
reimbursable expenses attached hereto as Exhibit A.
TIME AND MATERTALS. Compensation for these services shall be on a time and material basis
according to the list of billing rates and reimbursable expenses attached hereto as Exhibit
(a ))
OTHER- Quarterly invoices in an amount up to $2,500, for a total amount not to exceed $20,000
(2019- $10,000 and2020- $10,000).
5. Payment.
A. Consultant shall invoice the City in a format acceptable to the City for the work being
performed according to the scope of services. The invoice shall be submitted quarterly concurrent with the
quarterly report indicating the services that were provided.
B. A11 invoices shall be paid by City warrant within sixty (60) days of receipt of a proper
invoice. If the City objects to all or any portion of any invoice, it shall so notify the Consultant of the same
within fifteen (15) days from the date of receipt and shall pay that portion of the invoice not in dispute, and
the parties shall immediately make every effort to settle the disputed portion.
C. Consultant shall keep cost records and accounts pertaining to this Agreement available for
inspection by City representatives for three (3) years after final payment unless a longer period is required
by a third-party agreement. Copies shall be made available on request.
D. On the effective date of this Agreement (or shortly thereafter), the Consultant shall comply
with all federal and state laws applicable to independent contractors, including, but not limited to, the
maintenance of a separate set of books and records that reflect all items of income and expenses of the
Consultant's business, pursuant to Revised Code of Washington (RCW) 51.08.195, as required by law, to
show that the services performed by the Consultant under this Agreement shall not give rise to an employer-
employee relationship between the parties, which is subject to Title 51 RCW, lndustrial lnsurance.
E. If the services rendered do not meet the requirements of the Agreement, Consultant will
correct or modify the work to comply with the Agreement. City may withhold payment for such work until
the work meets the requirements of the Agreement.
6. Discrimination and Compliance with Laws
City of Port Orchard
Kitsap Economic Development Alliance /^rr r I lA
Professional Service Agreement Contract No. U )"1-l I
2ofl0
A. Consultant agrees not to discriminate against any employee or applicant for employment
or any other person in the performance of this Agreement because of race, creed, color, national origin,
marital status, sex, age, disability, or other circumstance prohibited by federal, state, or local law or
ordinance, except for a bona fide occupational qualification.
B. Even though the Consultant is an independent contractor with the authority to control and
direct the perforrnance and details of the work authorized under this Agreement, the work must meet the
approval of the City and shall be subject to the City's general right inspection to secure the satisfactory
completion thereof. The Consultant agrees to comply with all federal, state and municipal laws, rules and
regulations that are now effective or become applicable within the terms of this Agreement to the
Consultant's business, equipment and persorurel engaged in operations covered by this Agreement or
accruing out of the performance of such operations.
C. Consultant shall obtain a City of Port Orchard business license prior to receipt of written
Notice to Proceed.
D. Violation of this Paragraph 6 shall be a material breach of this Agreement and grounds for
cancellation, termination, or suspension of the Agreement by the City, in whole or in part, and may result
in ineligibility for further work for the City.
7. Relationship of Parties. The parties intend that an independent contractor-client relationship will
be created by this Agreement. As the Consultant is customarily engaged in an independently established
trade which encompasses the specific service provided to the City hereunder, no agent, employee,
representative or sub-consultant of the Consultant shall be or shall be deemed to be the employee, agent,
representative or sub-consultant of the City. In the performance of the work, the Consultant is an
independent contractor with the ability to control and direct the perforrnance and details of the work, the
City being interested only in the results obtained under this Agreement. None of the benefits provided by
the City to its employees including, but not limited to, compensation, insurance, and unemployment
insurance are available from the City to the employees, agents, representatives or sub-consultants of the
Consultant. The Consultant will be solely and entirely responsible for its acts and for the acts of its agents,
employees, representatives and sub-consultants during the perfornance of this Agreement. The City may,
during the term of this Agreement, engage other independent contractors to perform the same or similar
work that the Consultant performs hereunder.
8. Suspension and Termination of Agreement
A. Termination without cause. This Agreement may be terminated by the City at any time for
public convenience, for the Consultant's insolvency or bankruptcy, or the Consultant's assignment for the
benefit of creditors.
B.
Consultant.
Termination with cause The Agreement may be terminated upon the default of the
C. Riehts Upon Termination
City of Port Orchard
Kitsap Economic Development Alliance
Professional Service Agreement Contract No.0>t'l '11
3ofl0
I . With or Without Cause. Upon termination for any reason, all finished or unfinished
documents, reports, or other material or work of Consultant pursuant to this Agreement shall be
submitted to the City, and the Consultant shall be entitled to just and equitable compensation for
any satisfactory work completed prior to the date of termination, not to exceed the total
compensation set forth herein. Consultant shall not be entitled to any reallocation of cost, profit or
overhead. Consultant shall not in any event be entitled to anticipated profit on work not performed
because of such termination. Consultant shall use its best efforts to minimize the compensation
payable under this Agreement in the event of such termination. Upon termination, the City may
take over the work and prosecute the same to completion, by contract or otherwise.
2. Defoult. If the Agreement is terminated for default, the Consultant shall not be
entitled to receive any further payments under the Agreement until all work called for has been
fully performed. Any extra cost or damage to the City resulting from such default(s) shall be
deducted from any money due or coming due to the Consultant. The Consultant shall bear any extra
expenses incurred by the City in completing the work, including all increased costs for completing
the work, and all damage sustained, or which may be sustained by the City by reason of such
default.
D. Suspension. The City may suspend this Agreement, at its sole discretion. Any
reimbursement for expenses incurred due to the suspension shall be limited to the Consultant's reasonable
expenses, and shall be subject to verification. The Consultant shall resume performance of services under
this Agreement without delay when the suspension period ends.
E. Notice of Termination or Suspension. If delivered to the Consultant in person, termination
shall be effective immediately upon the Consultant's receipt of the City's written notice or such date as
stated in the City's notice of termination, whichever is later. Notice of suspension shall be given to the
Consultant in writing upon one week's advance notice to Consultant. Such notice shall indicate the
anticipated period of suspension. Notice may also be delivered to the Consultant at the address set forth in
Section l5 herein.
9. Standard of Care. Consultant represents and warrants that it has the requisite training, skill and
experience necessary to provide the services under this Agreement and is appropriately accredited and
licensed by all applicable agencies and govemmental entities. Services provided by Consultant under this
Agreement will be performed in a manner consistent with that degree of care and skill ordinarily exercised
by members of the same profession currently practicing in similar circumstances.
10. Ownership of Work Product.
A. All data materials, reports, memoranda, and other documents developed under this
Agreement whether finished or not shall become the property of City, shall be forwarded to City at its
request and may be used by City as it sees fit. Upon termination of this Agreement pursuant to paragraphT
above, all finished or unfinished documents, reports, or other material or work of Consultant pursuant to
this Agreement shall be submitted to City.
B. A11 written information submitted by the City to the Consultant in connection with the
services performed by the Consultant under this Agreement will be safeguarded by the Consultant to at
least the same extent as the Consultant safeguards like information relating to its own business. If such
City of Port Orchard
Kitsap Economic Development Alliance A.1 r t t A
Professional Service Agreement Contract No.(./ L"l - I I
4ofl0
information is publicly available or is already in Consultant's possession or known to it, or is rightfully
obtained by the Consultant from third parties, the Consultant shall bear no responsibility for its disclosure,
inadvertent or otherwise.
11. Work Pertormed at the Consultant's Risk. The Consultant shall take all precautions necessary
and shall be responsible for the safety of its employees, agents and sub-consultants in the performance of
the work hereunder, and shall utilize all protection necessary for that purpose. All work shall be done at
the Consultant's own risk, and the Consultant shall be responsible for any loss or damage to materials, tools,
or other articles used or held by the Consultant for use in connection with the work.
12. Indemnification. The Consultant shall defend, indemnifu and hold the City, its officers, officials,
employees, agents and volunteers harmless from any and all claims, injuries, damages, losses or suits,
including all legal costs and attorneys' fees, arising out of or in connection with the perfornance of this
Agreement, except for injuries and damages caused by the sole negligence of the City. The City's inspection
or acceptance of any of the Consultant's work when completed shall not be grounds to avoid any of these
covenants of indemnifi cation.
Should a court of competent jurisdiction determine that this Agreement is Subject to RCW 4.24.115, then,
in the event of liability for damages arising out of bodily injury to persons or damages to property caused
by or resulting from the concurrent negligence of the Consultant and the City, its officers, officials,
employees, agents and volunteers, the Consultant's liability hereunder shall be only to the extent of the
Consultant's negligence.
IT IS FURTHER SPECIFICALLY AND EXPRESSLY UNDERSTOOD THAT THE
INDEMNIFICATION PROVIDED HEREIN CONSTITUTES THE CONSULTANT'S WATVER OF
IMMUNITY LINDER INDUSTRIAL INSURANCE, TITLE 5I RCW, SOLELY FOR THE PURPOSES
OF THIS INDEMNIFICATION. THE PARTIES FURTHER ACKNOWLEDGE THAT THEY HAVE
MUTUALLY NEGOTTATED THIS WAIVER. THE CONSULTANT'S WAIVER OF IMMUNITY
UNDER THE PROVISIONS OF THIS SECTION DOES NOT INCLUDE, OR EXTEND TO ANY
CLAIMS BY THE CONSULTANT'S EMPLOYEES DIRECTLY AGAINST THE CONSULTANT.
13. Insurance. The Consultant shall procure and maintain forthe duration of the Agreement, insurance
against claims for injuries to persons or damage to property which may arise from or in connection with the
performance of the work hereunder by the Consultant, its agents, representatives, or employees.
A. Minimum Scope of lnsurance
Consultant shall obtain insurance of the types described below:
1. Automobile Liability insurance covering all owned, non-owned, hired and leased
vehicles. Coverage shall be written on lnsurance Services Office (ISO) form CA 00 01
or a substitute form providing equivalent liability coverage. If necessary, the policy
shall be endorsed to provide contractual liability coverage.
2. Commercial General Liability insurance shall be written on ISO occurrence form CG
00 01 or a substitute form providing equivalent liability coverage and shall cover
liability arising from premises, operations, independent contractors and personal injury
and advertising injury. The City shall be named as an insured under the Consultant's
City of Port Orchard
Kitsap Economic Development Alliance
Professional Service Agreement Contrac ,*o 024'l 1
5ofl0
Commercial General Liability insurance policy with respect to the work performed for
the City.
3. Workers' Compensation coverage as required by the Industrial lnsurance laws of the
State of Washington.
4. Professional Liability insurance appropriate to the Consultant's profession.
B. Minimum Amounts of Insurance
Consultant shall maintain the following insurance limits:
1. Automobile Liability insurance with a minimum combined single limit for bodily
injury and property damage of $1,000,000 per accident.
2. Commercial General Liabilitv insurance shall be written with limits no less than
$1,000,000 each occurence, $2,000,000 general aggregate.
3. Professional Liability insurance shall be written with limits no less than $1,000,000
per claim and $1,000,000 policy aggregate limit.
4. Employer's Liability each accident $1,000,000, Employer's Liability Disease each
employee $1,000,000, and Employer's Liability Disease-Policy Limit $1,000,000.
C. Other Insurance Provisions
The insurance policies are to contain, or be endorsed to contain, the following provisions for
Automobile Liability, Professional Liability and Commercial General Liability insurance:
l. The Consultant's insurance coverage shall be primary insurance as respect the City.
Any insurance, self-insurance, or insurance pool coverage maintained by the City shall
be excess of the Consultant's insurance and shall not contribute with it.
2. The Consultant's insurance shall be endorsed to state that coverage shall not be
cancelled by either party, except after thirty (30) days prior written notice by certified
mail, return receipt requested, has been given to the City.
3. The City will not waive its right to subrogation against the Consultant. The
Consultant's insurance shall be endorsed acknowledging that the City will not waive
their right to subrogation. The Consultant's insurance shall be endorsed to waive the
right of subrogation against the City, or any self-insurance, or insurance pool coverage
maintained by the City.
4. If any coverage is written on a "claims made" basis, then a minimum of a three (3) year
extended reporting period shall be included with the claims made policy, and proof of
this extended reporting period provide to the City.
D. Acceptability of lnsurers
City of Port Orchard
Kitsap Economic Development Alliance
Professional Service Agreement Contract No 0'q11
6ofl0
Insurance is to be placed with insurers with a current A.M. Best rating of not less than A:VII
E. Verification of Coverage
Consultant shall furnish the City with original certificates and a copy of the amendatory
endorsements, including but not necessarily limited to the additional insured endorsement,
evidencing the insurance requirements of the Consultant before commencement of the work.
14. Assigning or Subcontracting. Consultant shall not assign, transfer, subcontract or encumber any
rights, duties, or interests accruing from this Agreement without the express prior written consent of the
City, which consent may be withheld in the sole discretion of the City.
15. Notice. Any notices required to be given by the City to Consultant or by Consultant to the City shall
be in writing and delivered to the parties at the following addresses:
Robert Putaansuu
Mayor
216 Prospect Street
Port Orchard, WA 98366
John Powers
Executive Director
4312 Kitsap Wuy, Suite 103
Bremerton, WA 98312
Phone: (360) 876-4407
Fax: (360) 895-9029
Phone: (360) 371-9499
16. Resolution of Disputes and Governing Law.
A. Should any dispute, misunderstanding or conflict arise as to the terms and conditions
contained in this Agreement, the matter shall first be referred to the Mayor, who shall determine the term
or provision's true intent or meaning. The Mayor shall also decide all questions which may arise between
the parties relative to the actual services provided or to the sufficiency of the performance hereunder.
B. If any dispute arises between the City and the Consultant under any of the provisions of
this Agreement which cannot be resolved by the Mayor's determination in a reasonable time, or if the
Consultant does not agree with the Mayor's decision on a disputed matter, jurisdiction of any resulting
litigation shall be filed in Kitsap County Superior Court, Kitsap County, Washington.
C. This Agreement shall be governed by and construed in accordance with the laws of the
State of Washington. [n any suit or action instituted to enforce any right granted in this Agreement, the
substantially prevailing party shall be entitled to recover its costs, disbursements, and reasonable attorney's
fees from the other party.
17. General Provisions.
A. Non-waiver of Breach. The failure of either party to insist upon strict performance of any
of the covenants and agreements contained herein, or to exercise any option herein contained in one or more
City of Port Orchard
Kitsap Economic Development Alliance
Professional Service Agreement Contract No.o'/-r1
7ofl0
instances, shall not be construed to be a waiver or relinquishment of said covenants, agreements, or options,
and the same shall be in full force and effect.
B. Modification. No waiver, alteration, modification of any of the provisions of this
Agreement shall be binding unless in writing and signed by a duly authorized representative of the City and
the Consultant.
C. Severability. The provisions of this Agreement are declared to be severable. If any
provision of this Agreement is for any reason held by a court of competent jurisdiction to be invalid or
unconstitutional, such invalidity or unconstitutionality shall not affect the validity or constitutionality of
any other provision.
D. Entire Agreement. The written provisions of this Agreement, together with any Exhibits
attached hereto, shall supersede all prior verbal statements of any officer or other representative of the City,
and such statements shall not be effective or be construed as entering into or forming a part of or altering
in any manner whatsoever, the Agreement or the Agreement documents. The entire agreement between
the parties with respect to the subject matter hereunder is contained in this Agreement and the Exhibits
attached hereto, which may or may not have been dated prior to the execution of this Agreement. All of
the above documents are hereby made a part of this Agreement and form the Agreement document as fully
as if the same were set forth herein. Should any language in any of the Exhibits to this Agreement conflict
with any language contained in this Agreement, then this Agreement shall prevail.
IN WITNESS WHEREOF, the parties have executed this Agreement on the day and year set forth
above.
CITY OF PORT ORCHARD,
WASHINGTON
By:
Robert Pu
KITSAP ECONO DEVELOPMENT
ALLIANCE
2)
Ittt:
o .q ,
Date: l/>E
.Lo
s
e
a
ATTES
By:
APPROVED AS TO FORM:
By:
Cates, City Attorney
MMC, City Clerk
)
(
City of Port Orchard
Kitsap Economic Development Alliance
Professional Service Agreement Contract N" 0H^t1
8ofl0
EXHIBIT "A"
SCOPE OF SERV CES
Purposes of the agreement:
1 . The principal purpose of this agreement is to promote diversification of the Kitsap
community's primary job base and to integrate its economy into the nationa! and world
economies. (Primary jobs produce goods or services sold to purchasers outside the
community and thereby bring in new disposable income.)
2. Subsidiary purposes relate to primary jobs provided by existing and new employers,
including primary job opportunities for workers displaced within the community, namely:a. Continue to retain existing employment, expand existing employers'
operations, and promote selected new employment opportunities, which, in most cases,
means commercial, high technology or light industrial investments leading to new primary
jobs.
b. Continue efforts to create and retain primary jobs for workers displaced and
promote employment for low and moderate-income families.
3. Provide leadership and coordination in relation to KEDA's current work plan to:a. Educate public officials, the private sector and the general public about
economic development issues related to primary jobs.
b. Develop marketing to, and case-by-case activities with, entrepreneurs who
;il i",?';"::.:"ii ff fJ?,i:f llH :::ffi:?: llH li:il:T H,3lt ;,;
marketing efforts to attract and recruit new business prospects that will
diversify opportunities for employment. It also includes providing
confidential assistance to companies with retention issues or expansion
plans, to local start-up companies seeking business 'assistance, and to
businesses recruited to the community.
a. Business assistance includes but not limited to:
i. Site selection
ii. Market research and analysis
iii. Education and assistance on selling to the government
iv. Workforce development, hiring and training
v. Advanced manufacturing and industry certifications
vi. B2B and M2B referrals
vii. Capital formation
viii. Taxes, regulations and permitting
ix. Exportingc. Research and communicate government and business sales opportunities
to local employers via the KEDA blog, social media and targeted
City of Port Orchard
Kitsap Economic Development Alliance
Professional Service Agreement Contract No
9of10
oI1l
4. Continue diversification and integration efforts in the preceding work elements through
support of volunteer committees of the Board of Directors of the Kitsap Economic
Development Alliance.
5. Provide a quarterly written report of progress and brief the Mayor and City Counci!
concerning reported progress. ldentify benefits accruing to the City of Port Orchard, its
businesses and its residents relative to the above work elements, to the extent feasible.
Provide information through electronic newsletters and printed reports regularly regarding
economic development issues.
6. This economic development support and work will be provided by professional staff
at the Kitsap Economic Development Alliance:
a. John Powers, Executive Director
b. Kathy Cocus, Business Development Director
c. Theresa Mangrum, Executive Administration, Events & Marketing
d. Mary Jo Juarez, PTAC (Procurement Technical Assistance Center)
counselor
e. Mona Carlson, PTAC counselorf. Volunteers who provide workshop presentations, research support and
other duties as deemed necessary to full scope.
City of Port Orchard
Kitsap Economic Development Alliance
Professional Service Agreement Contract No 1
10 of l0
newsletters
d. Maintain an inventory of land available for primary employers through contacts
with commercial brokers and property owners.e. Provide support for funding requests that will develop the physical
infrastructure (e.g. roads, telecommunications) and social infrastructure
(e.g. training and health systems) needed by businesses and their
employees. This includes continuing to work with both public and private
partners in the continued designation, development, implementation, and
delivery of infrastructure to industrial lands.