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HomeMy WebLinkAbout2016-08-01 (Regular) Meeting Agenda Packet•• &p.: EilQlewood 1000 Englewood Pkwy -Council Chambers Englewood, CO 8011 O 1. Call to Order. 2. Invocation. 3. Pledge of Allegiance. 4. Roll Call. 5. Consideration of Minutes of Previous Session. AGENDA Regular City Council Meeting Monday, Aug. 1, 2016 •7:30 p.m. a. Minutes from the Regular City Council Meeting of July 18, 2016. 6. Recognition of Scheduled Public Comment. The deadline to sign up to speak for Scheduled Public Comment is Wednesday, prior to the meeting, through the City Manager's Office. Only those who meet the deadline can speak in this section. (This is an opportunity for the public to address City Council. There is an expectation that the presentation will be conducted in a respectful manner. Council may ask questions for clarification, but there will not be any dialogue. Please limit your presentation to five minutes .) a. Doug Cohn, Englewood resident, will address Council regarding historic preservation. b. Marty Fuchs, Englewood resident, will address Council regarding the City of Englewood and iBake. c. Kathleen Bailey, Englewood resident, will address Council regarding water plant residuals. d. Perry Sawrey will address Council regarding the business climate in Englewood. e. Harvey Pratt, Englewood resident, will address Council regarding Long Term Asset Reserve issue brief. 7. Recognition of Unscheduled Public Comment. Speakers must sign up for Unscheduled Public Comment at the beginning of the meeting. (This is an opportunity for the public to address City Council. There is an expectation that the presentation will be conducted in a respectful manner. Council may ask questions for clarification, but there will not be any dialogue. Please limit your presentation to three minutes. Time for unscheduled public comment may be limited to 45 minutes, and if limited, shall be continued to General Discussion.) Please note: If y ou have a disability and need auxiliary aids or services. please notify the Oty of Englewood (303·762·2405) at least 48 hours in advance of when services are needed. Council Response to Public Comment. 8. Communications, Proclamations, and Appointments. 9. Consent Agenda Items a. Approval of Ordinances on First Reading. i. Council Bill 28 -Finance and Administrative Services staff recommends Council approve, by a bill for an ordinance, an intergovernmental agreement with Arapahoe County for the November 8, 2016, coordinated election. Staff: City Clerk Lou Ellis b. Approval of Ordinances on Second Reading. i. Council Bill 25 -Authorizing the Chief of Police to sign a contract with the State of Colorado that will authorize the City of Englewood to act as the Fiscal Agent on behalf of the Peace Officer Standards and Training Board Greater Metro Region Training Committee. Staff: Cmdr. Sam Watson ii. Council Bill 26 -Approving five-year farming lease agreements for: Progressive Farms, Craig Farms General Partnership, Clint A. Burnet, Kent Beichle, Gary and Nancy Meier and Jason Meier. Staff: WWTP Treatment Division Manager Jim Tallent c. Resolutions and Motions. 10. Public Hearing Items. 11 . Ordinances, Resolutions and Motions. a. Approval of Ordinances on First Reading. b. Approval of Ordinances on Second Reading. i. Council Bill 27 -Submitting to a vote of the registered electors of the City of Englewood at the next municipal election November 8, 2016, a ballot question to raise taxes on the sale of retail marijuana. Staff: Finance and Administrative Services Director Kathleen Rinkel c. Resolutions and Motions. i. Finance and Administrative Services staff recommends Council approve a resolution approving a new Agreement for Investment Advisory services to include Investment and reinvestment of the City's assets within the City's guidelines. Staff: Finance & Administrative Services Director Kathleen Rinkel Please note: If you have a disability and need auxtliary aids or services, please notify the Oty of Englewood (303-762·2405) at !east 48 hours in advance of when services are needed. ,· ii. Finance and Administrative Services staff recommends Council approve, by motion, the agreement for Strategic Procurement Consulting services provided by Expense Reduction Analysts to include review of the City's procurements, recommendations for cost savings and assistance in achieving those cost savings. Staff: Finance & Administrative Services Director Kathleen Rinkel iii. Approval of a resolution, approving an agreement to fill the position of City Attorney. 12. General Discussion. a. Mayor's Choice. i. Approve a motion for Mayor Jefferson to attend the DRCOG Retreat in Breckenridge, CO , August 5-6, 2016. ii. Executive Session to discuss a personnel issue under C.R.S. 24-6-402(4)(f)(I). b. Council Members' Choice. 13. City Manager's Report. 14. City Attorney's Report. a. Discussion of a 2015 memorandum regarding marijuana consumption clubs. 15. Adjournment. Please note: If you ha ve a disability and need auxiliary aids or services, please notify the City of Englewood [303-762-2405 ) at least 48 hours in ad v ance of when services are needed. • ENGLEWOOD CITY COUNCIL ENGLEWOOD, ARAPAHOE COUNTY, COLORADO Regular Session July 18, 2016 A permanent set of these m inutes and the audio are maintained in the City Clerk's Office . Minutes and streaming audios are also available on the web at: http ://www.englewoodgov.org/inside-city-hall/city-council/agendas-and-m inutes 1. Call to Order The regular meeting of the Englewood City Council was called to order by Mayor Jefferson at 7:44 p .m . 2 . Invocation The invocation was given by Council Member Russell. 3 . Pledge of Allegiance The Pledge of Alleg iance was led by Council Member Russell. 4 . Roll Call • Present: Absent: Council Members Jefferson , Olson , Barrentine , Gillit , Martinez , Russell, Yates None A quorum was present. Also present: City Manager Keck Assistant C ity Manager Robinson Acting City Attorney Comer City Clerk Ellis Executive Assistant Carney Municipal Court Judge Atencio Police Commander Condreay Director Hargrove, Parks , Recreation and Library Director Rinkel, Finance and Administrative Services Manager Stowe , Littleton/Englewood Wastewater Treatment Plant Court Administrator Wolfe Division Manager Tallent, Littleton/Englewood Wastewater Treatment Plant Engineering & Maintenance Manager Woo , Littleton/Englewood Wastewater Treatment Plant Technical Support Specialist I Munnell, Information Technology 5. Consideration of Minutes of Previous Session (a) COUNCIL MEMBER GILLIT MOVED, AND COUNCIL MEMBER OLSON SECONDED, TO APPROVE THE MINUTES OF THE REGULAR CITY COUNCIL MEETING OF JULY 5, 2016. Vote results: Ayes : • Nays : Motion carried. Council Members Russell , Barrentine , Olson, Jefferson , Yates , Martinez , Gillit None 6 . Recognition of Scheduled Public Comment Englewood City Council July 18, 2016 Page 2 (a) Coween Dickerson, an Englewood resident, addressed Council regarding the Comprehensive Plan goals and iBake. (b) Jeremy Letkomiller, an Englewood resident, addressed Council regarding a proposed crosswalk at the 3400 block of South Broadway. 7. Recognition of Unscheduled Public Comment (a) Belinda Porter, an Englewood resident, addressed Council regarding Allen Filter Plant employee Ken Kloewer. (b) Kathleen Bailey, an Englewood resident, addressed Council regarding Allen Filter Plant concerns . (c) Filter Plant. (d) (e) Norma Wier, an Englewood resident, addressed Council regarding the sludge at the Allen Martin Fuchs, addressed Council regarding iBake. Jeffrey Pawlowski, addressed Council regarding iBake. (f) Peggy Lapp, an Englewood resident, addressed Council regarding polling and the Comprehensive Plan (g) Walter Shrubb, addressed Council regarding iBake . (h) Ida May Nichol , Englewood resident, addressed Council regarding the Community Town Hall Meeting on Preserving Englewood's Historic Buildings on July 28 , 2016 . Council responded to Public Comment. 8. Communications, Proclamations and Appointments (a) A proclamation declaring July 18, 2016, to be Service Dog Education and Awareness Day . COUNCIL MEMBER YATES MOVED, AND COUNCIL MEMBER GILLIT SECONDED, TO APPROVE A PROCLAMATION DECLARING JULY 18, 2016, TO BE SERVICE DOG EDUCATION AND AWARENESS DAY. Vote results: Motion carried . Ayes : Council Members Russell, Barrentine, Olson, Jefferson, Yates, Martinez, Gillit Nays : None (b) A resolution approving the appointment of Christopher Boeckx, to serve a four-year term as an Associate Judge for the City of Englewood, commencing July 18, 2016, and expiring July 17, 2020 . COUNCIL MEMBER GILLIT MOVED, AND COUNCIL MEMBER OLSON SECONDED, TO APPROVE AGENDA ITEM 8 (b) -RESOLUTION NO. 88, SERIES OF 2016. RESOLUTION NO . 88 , SERIES OF 2016 A RESOLUTION FOR THE APPOINTMENT OF CHRISTOPHER BOECKX AS AN ASSOCIATE MUNICIPAL JUDGE FOR THE CITY OF ENGLEWOOD , COLORADO . • • • Englewood City Council July 18, 2016 Page 3 • Vote results: Motion carried. Ayes : Council Members Russell, Barrentine, Olson, Jefferson, Yates, Martinez, Gillit Nays: None (c) Swearing-in of Christopher Boeckx as Associate Judge by Presiding Judge Vincent Atencio . (d) Reappointment of Marta Mansbacher as youth member on the Parks & Recreation Commission. COUNCIL MEMBER GILLIT MOVED, AND COUNCIL MEMBER OLSON SECONDED, TO APPROVE AGENDA ITEM 8 (d) -RESOLUTION NO. 89, SERIES OF 2016 AND AGENDA ITEMS 8 (e) (i) THROUGH 8 (xxix) WITH THE EXCEPTION OF 8 (iv). RESOLUTION NO . 89, SERIES OF 2016 A RESOLUTION REAPPOINTING MARTA MANSBACHER AS A YOUTH MEMBER OF THE PARKS AND RECREATION COMMISSION FOR THE CITY OF ENGLEWOOD, COLORADO . Vote results: Motion carried . Ayes : Council Members Russell, Barrentine, Olson, Jefferson, Yates, Martinez, Gillit Nays : None (e) Recognition of recent Board and Commission appointees : • (i) Certificate recognizing the reappointment of Marta Mansbacher as a youth member on the Englewood Parks and Recreation Commission . (ii) Certificate recognizing the appointment of Colleen Nebel from alternate to a regular seat on the Englewood Housing Authority. (iii) Certificate recognizing the appointment of Ernie Arterburn as an alternate member on the Englewood Housing Authority . (iv) Certificate recognizing the appointment of Matthew Barrows to the Alliance for Commerce in Englewood . [Clerk's Note: Mr. Barrows declined the appointment.] (v) Certificate recognizing the appointment of Julie Bowden as an alternate to the Englewood Code Enforcement Advisory Committee. (vi) Certificate recognizing the appointment of Klaralee Charlton to the Englewood Public Library Board . (vii) Certificate recognizing the appointment of Randall Coleman to the Englewood Planning and Zoning Commission . (viii) Certificate recognizing the appointment of Dana Foulks to the Englewood Cultural Arts Commission. (ix) Certificate recognizing the appointment of Barbara Fout to the Englewood Code Enforcement Advisory Committee . • (x) Certificate recognizing the appointment of Adrian Fryxell to the Englewood Code Enforcement Advisory Committee . Englewood City Council July 18, 2016 Page4 (xi) Certificate recognizing the appointment of Scott Gilbert to the Englewood Public Library Board . (xii) Certificate recognizing the appointment of Sam Hakim to the Englewood Cultural Arts Commission . (xiii) Certificate recognizing the appointment of Robert Heller to Keep Englewood Beautiful. (xiv) Certificate recognizing the reappointment of Peggy Bogaard-Lapp to the Englewood Code Enforcement Advisory Committee . (xv) Certificate recognizing the appointment of Andrea Manion to the Alliance for Commerce in Englewood . (xvi) Certificate recognizing the appointment of Shelley Manzano to the Englewood Budget Advisory Committee . (xvii) Certificate recognizing the reappointment of Christine McGroarty to the Englewood Budget Advisory Committee. (xviii) Certificate recognizing the appointment of Mark Monroe to the Englewood Liquor and Medical Marijuana Licensing Authority. (xix) Certificate recognizing the reappointment of Writer Mott to the Englewood Liquor and Medical Marijuana Licensing Authority . (xx) Certificate recognizing the appointment of Brad Nixon to the Alliance for Commerce in Englewood . (xxi) Certificate recognizing the reappointment of Karl Onsager to the Englewood Code Enforcement Advisory Committee . (xxii) Certificate recognizing the appointment of Leabeth Pohl to the Englewood Cultural Arts Commission . (xxiii) Certificate recognizing the appointment of William Slade as an alternate member on the Englewood Urban Renewal Authority . (xxiv) Certificate recognizing the appointment of Michele Austin as an alternate member to the Englewood Planning and Zoning Commission . (xxv) Certificate recognizing the appointment of Bob Stephenson to Keep Englewood Beautiful. (xxvi) Certificate recognizing the appointment of Wesley Dean Stone to the Englewood Code Enforcement Advisory Committee. (xxvii) Certificate recognizing the appointment of Andy Taylor to the Englewood Board of Adjustment and Appeals . (xxv iii) Certificate recognizing the reappointment of Jason Whyte to the Alliance for Commerce in Englewood . (xxix) Certificate recognizing the appointment of Jay Spaegle to the Englewood Liquor and Medical Marijuana Licensing Authority . • • • Englewood City Council July 18, 2016 Page 5 Consent Agenda (a) Approval of Ordinances on First Reading There were no additiona l items submitted for approval on first read ing. (See Agenda Item 11 (a).) COUNCIL MEMBER GILLIT MOVED, AND COUNCIL MEMBER YATES SECONDED, TO APPROVE CONSENT AGENDA ITEMS 9 (a) (i), 9 (b) (i) and (ii). (i) COUNCIL BILL NO . 25 , INTRODUCED BY COUNCIL MEMBER GILLIT A BILL FOR AN ORDINANCE AUTHORIZING ACCEPTANCE OF A GRANT FROM THE STATE OF COLORADO AND AUTHORIZING THE CITY OF ENGLEWOOD , AS THE FISCAL AGENT FOR THE PEACE OFFICER STANDARDS AND TRAINING BOARD GREATER METRO REGION TRAINING COMMITTEE . (b) Approval of Ordinances on Second Reading (i) ORDINANCE NO. 25 , SERIES OF 2016 (COUNCIL BILL NO . 23 , INTRODUCED BY COUNCIL MEMBER OLSON) AN ORDINANCE AUTHORIZING AN INTERGOVERNMENTAL GRANT AGREEMENT BETWEEN THE CITY OF ENGLEWOOD , COLORADO AND THE BOARD OF COUNTY COMMISSIONERS OF ARAPAHOE , STATE OF COLORADO PERTAINING TO THE PARK GATEWAY ENHANCEMENTS PHASE II . (ii) ORDINANCE NO . 26 , SERIES OF 2016 (COUNCIL BILL NO . 24 , INTRODUCED BY • COUNCIL MEMBER OLSON) AN ORDINANCE AUTHORIZING AN INTERGOVERNMENTAL GRANT AGREEMENT BETWEEN THE CITY OF ENGLEWOOD , COLORADO AND THE BOARD OF COUNTY COMMISSIONERS OF ARAPAHOE , STATE OF COLORADO PERTAINING TO THE ROTOLO PARK PLAYGROUND RENOVATION . Vote results: Motion carried . Ayes : Council Members Russell , Barrentine , Olson, Jefferson, Yates, Martinez, Gillit Nays : None (c) Resolutions and Motions There were no resolutions or motions submitted for approval. 10 . Public Hearing Items No publ ic hearing was scheduled before Council. 11 . Ordinances, Resolutions and Motions (a) Approval of Ordinances on First Read ing (i) Manage r Tallent presented a recommendation from Council Bill 26 -WWTP staff recommends Council adopt a bill for an ordinance , approving five-year farming lease agreements for : Progressive Farms , Cra ig Farms Genera l Partnersh ip, Clint A. Burnet, Kent Be ichle , Gary and Nancy Meier and Jason Me ier . • COUNCIL MEMBER GILLIT MOVED, AND COUNCIL MEMBER YATES SECONDED, TO APPROVE AGENDA ITEM 11 (a) (i) -COUNCIL BILL NO . 26. Englewood City Council July 18, 2016 Page 6 COUNCIL BILL NO . 26 , INTRODUCED BY COUNCIL MEMBER GILLIT A BILL FOR AN ORDINANCE AUTHORIZING FIVE (5) FARM LEASE RENEWAL AGREEMENTS FOR THE FARMS IN THE LITTLETON/ENGLEWOOD WASTEWATER TREATMENT PLANT BIOSOLIDS MANAGEMENT PROGRAM . Vote results: Motion carried . Ayes : Council Members Russell, Barrentine , Olson, Jefferson , Yates, Martinez, Gillit Nays : None (ii) Director Rinkel presented a recommendation from Staff to approve a bill for an ordinance submitting to a vote of the reg istered electors of the City of Englewood at the next municipal election November 8, 2016, a ballot question to raise taxes on the sale of retail marijuana . COUNCIL MEMBER OLSON MOVED, AND COUNCIL MEMBER MARTINEZ SECONDED, TO APPROVE AGENDA ITEM 11 (a) (ii) -COUNCIL BILL NO. 27. COUNCIL BILL NO. 27, INTRODUCED BY COUNCIL MEMBER OLSON A BILL FOR AN ORDINANCE SUBMITTING TO A VOTE OF THE REGISTERED ELECTORS OF THE CITY OF ENGLEWOOD AT THE NEXT MUNICIPAL ELECTION NOVEMBER 8, 2016 A BALLOT QUESTION AUTHORIZING THE CITY OF ENGLEWOOD SALES TAXES BE INCREASED BY $512 ,500 ANNUALLY IN THE FIRST FULL FISCAL YEAR AND BY SUCH AMOUNTS AS ARE RAISED ANNUALLY THEREAFTER BY IMPOSING AN ADDITIONAL SALES TAX OF 3.5% ON THE SALE OF RETAIL MARIJUANA AND RETAIL • MARIJUANA PRODUCTS , WITH THE TAX REVENUES BEING USED TO FUND ANY LAWFUL • GOVERNMENTAL PURPOSE DETERMINED BY THE CITY COUNCIL, WITH THE RATE OF THE TAX BEING ALLOWED TO BE INCREASED OR DECREASED WITHOUT FURTHER VOTER APPROVAL SO LONG AS THE RATE OF TAXATION DOES NOT EXCEED 15% AND WITH THE RESULTING TAX REVENUE BEING ALLOWED TO BE COLLECTED AND SPENT NOTWITHSTANDING ANY LIMITATIONS PROVIDED BY LAW. Vote results: Motion carried . Ayes: Council Members Russell, Barrentine, Olson , Jefferson , Yates , Martinez, Gillit Nays : None (b) Approval of Ordinances on Second Reading There were no additional items submitted for approval on second reading . (See Agenda Item 9 (b) -Consent Agenda .) (c) Resolutions and Motions (i) Director Rinkel presented a recommendation from the Finance and Administrative Services Department to approve a motion approving a new Agreement for Investment Advisory services to include Investment and re investment of the City's assets within the City's guidelines. COUNCIL MEMBER GILLIT MOVED, AND COUNCIL MEMBER YATES SECONDED, TO TABLE AGENDA ITEM 11 (c) (i). Vote results: Motion carried. Ayes: Council Members Russell, Barrentine, Olson , Jefferson, Yates, Martinez, Gillit Nays : None • • Englewood City Council July 18, 2016 Page 7 (ii) Manager Tallent presented a recommendation from the Littleton/Englewood Wastewater Treatment Plant to approve , by resolution , the purchase of one, low-ground pressure , rubber- tracked , farm tractor from John Deere , Inc ., for $265,497 .13 . COUNCIL MEMBER OLSON MOVED, AND COUNCIL MEMBER RUSSELL SECONDED, TO APPROVE AGENDA ITEM 11 (c) (ii) -RESOLUTION NO . 90, SERIES OF 2016. RESOLUTION NO . 90 , SERIES OF 2016 A RESOLUTION AWARDING A SOLE SOURCE CONTRACT FOR THE PURCHASE OF A BENEFICIAL USE FARM TRACTOR FROM JOHN DEERE , INC . Vote results : Motion carried . Ayes : Council Members Russell , Barrentine , Olson , Jefferson , Yates , Martinez , Gillit Nays : None (ii i) Manager Tallent presented a recommendation from the Littleton/Englewood Wastewater Treatment Plant to approve by reso lution , the purchase of two , rear discharging , biosolids trailers from Transwest Trailers (Model OLB36-102NG-HSW "Advantage Series" Live Bottom Trailer) in the amount of $175 ,971 .00 . COUNCIL MEMBER GILLIT MOVED, AND COUNCIL MEMBER YATES SECONDED, TO APPROVE AGENDA ITEM 11 (c) (iii) -RESOLUTION NO. 91, SERIES OF 2016 . • RESOLUTION NO . 91 , SERIES OF 2016 A RESOLUTION AWARDING A SOLE SOURCE CONTRACT FOR THE PURCHASE OF TWO REAR DISCHARGING BIOSOLIDS TRAILERS FROM TRANSWEST TRAILERS . Vote results: Motion carried . Ayes : Council Members Russell , Barrentine , Olson , Jefferson , Yates , Martinez , Gillit Nays : None (iv) Manager Woo presented a recommendation from the Littleton/Englewood Wastewater Treatment Plant (LIE WWTP) Supervisory Comm ittee to approve , by motion , a contract for the Gates Repair , Gates Replacement, and Barscreen Replacement 2016 Project located at the LIE WWTP . Staff is recommending an award of contract to the lowest reliable and responsive bidder, J.R. Filanc Construction Company Inc ., in the amount of $422 ,960 .00 . Additionally , staff is recommending Council approve a 5% Change Order contingency in the amount of $20 ,000 for a total project cost of $442 ,960 .00 . COUNCIL MEMBER GILLIT MOVED, AND COUNCIL MEMBER OLSON SECONDED, TO APPROVE AGENDA ITEM 11 (c) (iv) -A CONTRACT WITH J.R. FILANC CONSTRUCTION COMPANY INC., FOR THE GATES REPAIR, GATES REPLACEMENT, AND BARSCREEN REPLACEMENT 2016 PROJECT LOCATED AT THE LIE WWTP, IN THE AMOUNT OF $422,960.00 AND APPROVE A 5% CHANGE ORDER CONTINGENCY IN THE AMOUNT OF $20,000 FOR A TOTAL PROJECT COST OF $442,960.00. Vote results: Motion carried . Ayes : Council Members Russell , Barrentine , Olson, Jefferson , Yates, Martinez, Gillit Nays : None • 12 . General Discussion (a ) Mayor's Choice . Englewood City Council July 18, 2016 Page 8 (i) There was a Call, by Mayor Jefferson, for an Executive Session to discuss issues specifically related to determining pos itions relative to matters that may be subject to negotiations; developing strategy for negotiations ; and instructing negotiators under C.R.S. Section 24-6-402(4)(e)(I); to discuss a personnel issue under C .R.S. 24-6-402(4)(f)(I); and to receive legal advice on specific legal questions related to the personnel issue under C.R.S. 24-6-402(4)(b). MAYOR JEFFERSON MOVED, AND COUNCIL MEMBER GILLIT SECONDED, TO MOVE INTO EXECUTIVE SESSION TO DISCUSS ISSUES SPECIFICALLY RELATED TO DETERMINING POSITIONS RELATIVE TO MATTERS THAT MAY BE SUBJECT TO NEGOTIATIONS; DEVELOPING STRATEGY FOR NEGOTIATIONS; AND INSTRUCTING NEGOTIATORS UNDER C.R.S. SECTION 24-6-402(4)(e)(I); TO DISCUSS A PERSONNEL ISSUE UNDER C.R.S. 24-6-402(4)(f)(I); AND TO RECEIVE LEGAL ADVICE ON SPECIFIC LEGAL QUESTIONS RELATED TO THE PERSONNEL ISSUE UNDER C.R.S. 24-6-402(4)(b). Vote results: Motion carried. Ayes : Council Members Russell , Barrentine, Olson, Jefferson , Yates, Martinez, Gillit Nays : None The meeting recessed at 9:16 p.m. The meeting reconvened at 9:52 p.m . with all Council Members present. COUNCIL MEMBER GILLIT MOVED, AND COUNCIL MEMBER YATES SECONDED, TO CLOSE THE EXECUTIVE SESSION. • Vote results: • Ayes : Council Members Russell , Barrentine, Olson , Jefferson , Yates, Martinez, Gillit Nays : None Motion carried . (b) Council Members' Choice 13 . City Manager's Report 14 . City Attorney's Report (a) Acting City Attorney Comer led a discussion of marijuana social clubs . 15 . Adjournment MAYOR JEFFERSON MOVED TO ADJOURN . The meeting adjourned at 10 :10 p.m. Isl Loucrishia A. Ellis City Clerk • ,, 08/01/2016 City Council Meeting Dear City Council Members, 11 Englewood Cares and the Sludge is Just Dirt" A mantra I have heard repeatedly from Councilman Gillet, and alluded to by Mr. Keck in his 04/01/2016 talking points to City Council in which Mr. Keck minimizes and critiques Mr. Kloewer's actions and cla ims r egarding his cancer. *See attached regarding low level exposure and cance risk . Mr. Keck used a 4 year old 02/28/12 letter from COM (Camp Dresser McKee) associate James M Lavelle , Ph .Das Mr. Keck 's proof of the safety of the sludge . Mr. Keck refers to Mr. Lavelle as the "expert" in his 04/01/2016 talking points . Mr. Lavelle declares the 11 Radium activities in residuals continue to be below levels of concern as defined in the risk assessment developed for landfill disposal (COM 2007)" and "current data continue to support the practice of municipal landfill disposal for residuals from the AWTP ". When in fact that 4 year old 02/28/12 letter from this COM 11 expert" had already been completely discredited also 4 years ago in the 03/28/12 response form CDPHE that I presented before City Council last Council meeting-and in which approval for disposal was denied by CDPHE for AWTP sludge siting that the data actually showed that in 2010 Radium 226 and Radium-228 were 5 and 10 times higher than they were in the 2007 Risk assessment . And the data also showed that in 2009 and 2010 total Radium exceeded the maximum levels allowed <10 pCi/g for Municipal Landfills reaching 15 .7 pCi/g in 2009 and 10.1 pCi/g in 2010 . 11 But Englewood Cares and the Sludge is just dirt." And even though the EPA identifies and advises municipal WTP to apply very stringent safety r ules concerning sludge and other residuals to ~worker exposure to direct contact, inhalation, and ingest ion of dust from the dried sludge piles and othe r residuals (see attached), Englewood chose to apply very few if any of these safety measures regarding sludge, even allowing a community garden to be created right next to a sludge pile . Possibly Englewood did not want to alarm neighbors if they saw plant workers in protective gear. EPA also advises workers bag and wash their dust covered cloths separately from the general laundry- but that was never told to the plant workers . 11 But Englewood Cares and the Sludge is Just dirt." Englewood did not enen begin to address and assess the requirements imposed by the State until almost 2 years later in 12/2013 when it contracted with ARCADIS. With now 3 years of stockpiled uncovered sludge and other residuals on site at the WTP. During which time two long time dedicated plant workers were diagnosed with cancer in 2012, and passed away in 2013 . Mr. Kloewer was diagnosed with cancer in 2013. And since, anothe r longtime employee at the plant has been diagnosed with cancer, as well as two plant employees wives . "But Englewood Cares and the Sludge is just dirt." Mr. Fonda and Mr. Brennan contracted with ARCADIS to assist in assessing cost of compliance. But Englewood only provided ARCADIS with the 2011 sludge data and just two test samples from 2012 that were limited in focus to just total Alpha and Total Beta. ARCADIS repeatedly declared that a complete set of data would be recommended for a final analysis. "But Englewood Cares and the Sludge is just dirt." As of today 08/01/2016 Englewood currently does not have an approved updated Risk Assessment . And the 2007 (CDM) risk assessment was rendered inaccurate if not invalid in the 03/28/12 CDPHE due to Englewood's failure to report and include the existence of the methane gas collection and control system and its resulting impact on public exposure to Radon 222 . QUESTION -without a valid risk assessment on what basis can Englewood claim their sludge and other residuals as well as the stockpiled site conditions had no causal relation to the cancers? "But Englewood cares and the Sludge is just dirt" I am sure it is only coincidental that it appears that Englewood actions suggest something akin to criminal negligence resulting in death, or at minimum dereliction of duty in informing and protecting the Health and Safety of their dedicated workers at the plant. But of course we know "Englewood Cares and the sludge is just dirt." Thank you, Kathleen Bailey 4686 S Jason St. Eng lewood, CO 80110 720-539-1855 kbecology@hotmail.com Introduction The Radionuclides Rule Community water systems (CWSs) were required to begin complying with the revised Radionuclides Rule on December 8, 2003. The Rule retained the maximum contaminant levels (MCLs) for combined radium-226/228, gross alpha particle activitv, and beta p article and photon radioactivity. The Rule also revised and added to exi s ting requirements, set a new MCL for uranium 1 and separate monitoring requirements for radium-228, and required CWSs to m o nitor at each entry point to the di stribution sys tem . f<'or more information on the Rule's requirements, see: I 11 rn: / i www.c p a.~o ,·/ :;:1fe\-';Hcr i rnclin nuc.htrnl. Public Health Risks of Exposure to Radionuclides in Drinking Water ~adiation exposure is regulated on the assumption that ~ 'exposur e carnes some risk of a health effect. Radiation-induced health effects can be detem1i11istic, in which biological damage ~ readilv observed and proporuonal to the level of expo s ure~ ,_J-_Jlochastic, in which the robabilitv of a health effect ts related to the 1\ \__ evel o exposure, but the seve ritv is not. Deterministic ~ have only been observed at relatively hi gh e;p_g:;.!:!feS d ~~vered o;er a short time .. Doses a ssociated with ex osures to n~ai ­ bmground radiation or n ical ra oactive materials in water treatme nt p ants are generally manv times lower than the hi gh doses that are needed to cause such effects. Stochastic effects are ~~~al ot low radiatt~n delive red ove ~­ of time (e.g., chronic exposure s). The principal concern associated with low dose ra~p~re i;;[he possible occurrence of ca ncer vears after the exposure occurs. In addition, uranium can Geehemicallv toxic to the kidnevs. Fundamentals of Radiation Table 1: Radionuclides MCLs Combined radium-226 and 228 5 pCi/L Gross alpha particle activ ity 15 pC i/L (ex cluding radon and uranium) Beta particle and photon .i mrem /year rad ioactivi ty Uranium 30 µg/L Measuring Radiation Q uantities of radioactive material are meas ur ed as ra dioactivity or activity in curies, i.e ., di sintegrations (decays) per se cond. T he potential fo r health hazards increa ses as activity increases. Radioactive material found in water treatm ent plant resid ual s or source wate r is usuall y meas ured in microcuries or picocuries (pC i). The body's exposure to ioniz in g radiatio n is ty picall y expressed in millirem (mrem). Dose standards are typicall y expressed as a rate of ex posur e, in millirems per unit of tim e (e.g., hours or yea rs). Human beings are constantly exposed to radiation from natural and manmade sources. The average radiation dose to an individual in the Uni ted States is about 360 mrem/yr (s ee Table 2 o n the following page). On average, 80 percent of that exposure comes from natural so urces including cosnuc radiatio n from o uter s pace; terre strial radiation from natural radioactiv e materials in rocks, so il , and minerals; and radiation inhaled or inge sted from food and water.c . \dditio nal exposure comes from manmade so urces of radiation including medical X-ravs and industrial u se of radioactive material. Table 2 o n the following page summarizes average annual exposures to radiation within the Cnited States. Note that radiation exposure can va rv greatly according to factors such as an individual's locati o n , lifcstvle, and daily activities. Radiation is characterized as "ionizin_g " and "non-ionizing." Uranium and radium occur narurallv in rocks and soil as the result of radioactive decav," o r the rele ase o r transfer of excess energy, ot uraruum-238 and thonum-232. This excess energy is ioruztn g radiation. Io ni zi ng r adiation is of sufficient ener . to break chemical bonds and re'move -';f- dectrons, potentially causing b iological damage. /\:o n -toruztng ra iation, such as v1s1 e li ght and in frared , 1s lower ~ -------=~~~~"'---- "'1 'r:mium" re fers to al l isotores Jh:tt make ur narurallv occurnn~ uranium: U-23 8, U-235, and U -234 . :1 '.::;. D ep artm e n t o f l:::nergy :inc.l U.S. El'c\ ln te ragencv Stee ring Commmee on lbJ i.it.ion S1anc.la rJ s (I SCORS), 2003-IJ -I . Although designed for post-cleanup surveys of radioactively contaminated sites, U.S. EPA's Mu/ti-Agemy Radiation Survey and Site Investigation ivlan11a/ (MARSSil'vl) (EPA 402-R-97-016 Rev. 1) provides useful information on planning and conducting a survey of potentially contaminated surface soils and building surfaces. The manual and other information on radiation surveys can be obtained from U.S. EPA's Radiation Protection Division \Veb site at http: I /w"<;\'"\V.epa.~ov I radiation / marssim. Seven federal and two state agencies contributed to the development of.MARLAP . .MARLAP provides guidance for the planning, implementation, and assessment phases of projects that require laboratory analysis of radionuclides . This guidance is intended for project planners, managers, and laboratory personnel and provides extensive detail on the radiological sampling and analytical process, including laboratory procedures. A copy of the manual can be found at: h tt:p: I /w,vw.qn.gov /rad iation /marlap I manual.html. U.S. EPA also recommends that the system check for the presence of radon in buildings encasing system equipment. States should consult with radiation program staff to determine whether radon measurements have been taken in the county, whether a map or survey of indoor radon measurements has been developed for the county, where the system is located, and to determine the appropriate means and methods for conducting radon surveys . The state or private radon proficiency programs may be able to provide a list of licensed or certified radon contractors who could conduct the survey. Additional information on how to find qualified professionals can be found at h tt:p: //w,vw .epa.gov /iaq/ radon / pro ficiencv. ht ml. For U.S. EPA guidance documents on approaches to risk assessments of soil and water, see the Superfund Radiation \Veb sites at http:i / W'N'i.v.epa.gov / superfund/ resources/ radiation and http://\VWw.epa.gov I superfund / resou.rces I rn(fortion / whatsne,v.htm. 1-E.2 Radiation Exposure Due to Water Treatment Operations The following disettssion applies f!!iY. to systems 1vhere there is the potential for acettm11/ation of radioactivity. \Vater system workers are most likely to be exposed to elevated levels of radioactive materials when comin into contact W1 residuals, filter bac i:WaS , a!"Jd sludge; d):!!ing maintenance of contaminated pumps Or piping; O~e moving or trans ortin. wastes and filters for disposal. Possible sources of radiation include pumps and piping where miner scales accumulate; lagoons, and flocc atlon and sedimentation tanks where residual sludges accumulate; filters, pumping stations, and storage tanks where scales and sludges accumulate; and facilities where filter backwash, brines, or other contaminated water accumulates. Facilities that are enclosed present the potential for enhanced radiation inhalation exposure, particularly from radon. Exposure to radiation can also occur at residuals processing or handling areas at the system and off-site locations such 1rs"landfills where residuals are shoveled , transported, or dispose o . The table below shows the three primary paths of radiation exposure at a system: inhalation, ingestion, and direct exposure. Pathway Inhalation Concern Inhalation of alpha-or beta-emitting radioactive materials is a concern because radioactive material taken into the body results in radiation doses to internal organs and tissues (e.g., lining of the lungs). Workers could inhale radioactively contaminated dust or water droplets while dealing with residuals or during normal filter operations. Cleaning methods such as air scour, high pressure water sprays, and backwash operations can increase suspension of radioactively contaminated water, dusts, and particulates in respirable air, thus increasing the potential hazard of inhalation or ingestion. Workers can inhale radon and its progeny in both wet and dry conditions . Sim le dust masks may not provide adequate protection from exposures via this pathway, and systems may need to !mp ement Occupation afety and Health Administration (0Sf0) _i:~quirements tor respirators. Pathway Concern ~~~l{h v.-~r-~ v'-&~j Ingestion ~~~~--l-~:::=:;======~====~========~~====~~=-~w~~ Direct Exposure Radioactive materials that emit gamma radiation are of concern bec ause the gamma rays pose an external radiation exposure hazard . Because gamma ra ys can pass through common · construction matena!s and most protective clothing, th e di stance between the radioactive material and the person, as well as the time spent in proxuruty to the matenaJ are factors 1n ilie amount of exposure the person receives. As ga mma radiation travels t hrough air, e ~p.osure can occur near a source of radiation aS\Vell as throu gh direct contact. WOrkers most w~-ITI!-dttectlyn-poSeC! are those who handle or worKiiitEe vlci:tllty o~nks , residuals filter backwash and contaffiln eabnnes or waters , or participate 1n the ·maiti.tenance of the treatment system or the replacement an transportation of filter media . The International Commission on Radiolo gical Protection (ICRP) and National Council on Radiation Protectio n and Measurements (NCRP) have recommended that facilities strive to make the levels of radiation to which the__public and the environment are exposed as low as reasonably achiev able (ALARA) (i.e., below regulatory limits) taking i ~·­ account social and economic considerations . ~s that facilities can take 1nclude limiting the time that workers sp end 1'andlin radioactive material, increasin the dist ance between workers and the material, and providin shieldin from - the radioactive materi . In addition, OSHA has develo ed occu ational radiation standards (see 29 CFR 1910.1096) that might apply w enever an operator becomes aware of the presence of ra ation at the facility . Although these standards may not apply to municipal water treatment plant workers, these workers may be covered by their state OSHA program, requiring that an controls , morutoring, record keeping, and trammg outlined in the OSHA standards be met. A dditional O SHA standards that may be applicable to water systems include: ~ Re quirements that personal protection equipment (or PPE, for the eyes, face, head, and extremities) such as protective clothing, respiratory devices, and protectiv e shields and barriers be provided, used, and maintained w henever processes or radiological hazards capable of causing injury through absorption, inhalation, or phys ical contact necessitate such equipment. There are numerous other requirements related to the poss ess ion and use of PPE, including training for employees w ho would u se the equipment. For more in fo rmation, see 29 CFR 1910.132-136 . Requirements for practices and procedures to protect employees in general industry from the hazards of entry into permit-required confined spaces. For more information, see 29 CFR 1910.146 . ~ Lockout/tagout requirements that require employers to establish a program and follow procedures for affixing appropriate lockout or tagout devices to energy isolating devices and disable m achines or equipment. This avoids injury to employees by preventing unexpected energization, start-up , or release of stored energy . For more information, see 29 CFR 1910.147 . Hazardous COJ;ll!Ilunication requirements that ensure the potential hazards of chemicals produced during or imported for treatment are ev aluated and the information from this evaluation is communicated to employees through measures such as container labeling, material data safety sheets , and employee training, among others. These requirements do not apply to RCRA-defined hazardous was te or ionizing or non-ionizing radiation. For more information, see 29 CFR 1910.1200. 24 Pathway Concern ~~~f, 0-~r-~ v-&~~ Ingestion ~~~~~=:=:====:::::::::::~======~~===:::::=:::::s~~~~=--~w~~ Direct Exposure Radioactive materials that emit a radiation are of concern because the gamma rays pose an extern radiation exposure hazard. Because gamma rays can pass throug common construction matena!s and most protective clothing, the distance between the radioactive material and the person, as well as the time spent in p?ox1m1ty to the matenal are factors 10 the amount of exposure the person receives . As gamma radiation travels through rur;-- e:<:pme can occur near a source of radiation as well as through direct contact. WOrkers , most Jikclto-lJe--directly-ex-p-oseaarethose who handle or work 10 the vicinity oTresin tanks, residuals filter backwash and conta . bnnes or waters, or participate 10 the .m;U~~e_ treatment system or the replacement an transportation of filter media. The International Commission on Radiological Protection (ICRP) and National Council on Radiation Protection and Measurements (NCRP) have recommended that facilities strive to make the levels of radiation to which the public and the environment are exposed as low as reasonably achievable (ALARA) (i.e., below regulatory limits) taking into account social and economic considerations. ~ps that facilities can take include limiting the time that workers spenc:!_ .,llandlin radioactive material, increasin the distance between workers and the material, and providin shieldin from the radioactive maten . In addition, OSHA has develo ed occu ational radiation standards (see 29 CFR 1910.1096) that might apply w enever an operator becomes aware of the presence of ra ation at the facility. Although these standards may not apply to municipal water treatment plant workers, these workers may be covered by their state OSHA program, reqUirlng that an controls, morutonng, record keeping, and trrng outlined in the OSHA standar~. Additional OSHA standards that may be applicable to water systems include : ~ Requirements that personal protection equipment (or PPE, for the eyes, face, head, and extremities) such as protective clothing, respiratory devices, and protective shields and barriers be provided, used, and maintained whenever processes or radiological hazards capable of causing injury through absorption, inhalation, or physical contact necessitate such equipment. There are numerous other requirements related to the possession and use of PPE, including training for employees who would use the equipment. For more information, see 29 CFR 1910.132-136 . Requirements for practices and procedures to protect employees in general industry from the hazards of entry into permit-required confined spaces. For more information, see 29 CFR 1910.146. ~ Lockout/tagout requirements that require employers to establish a program and follow procedures for affixing appropriate lockout or ragout devices to energy isolating devices and disable machines or equipment. This avoids injury to employees by preventing unexpected energization, start-up, or release of stored energy . For more information, see 29 CFR 1910.147 . ~ Hazardous CO.Q."1111Unication requirements that ensure the potential hazards of chemicals produced during or imported for treatment are evaluated and the information from this evaluation is communicated to employees through measures such as container labeling, material data safety sheets, and employee training, among others . These requirements do not apply to RCRA-defined hazardous waste or ionizing or non-ionizing radiation. For more information, see 29 CFR 1910.1200. 24 In circumstances where a facility may in the future be licensed by the NRC or Agreement State, worker safety precautions and radiation protection controls would take precedence (e.g., 10 CFR 20.1900, which lists radiation exposure posting requirements). In addition to the OSHA requirements, systems should be encouraged to follow the safety practices listed below. Th.:::_ measures can reduce workers' risk of exposure to radioactivity and radioactive particulate~ Safety Measures .I Use an OSHA-approved respirator to avoid inhalation of biological pathogens and chemically toxic materials in residuals. Simple dust masks may not provide adequate protection . ./ Limit time spent at land disposal sites to reduce inhalation of contaminated dust . .I Ventilate all buildings, especially where waste with high concentrations of radium is stored . .I Take standard OSHA measures to limit the potential ingestion of heavy metals and biological pathogens present in filters, residual sludges, and at land disposal sites to help reduce possible ingestion exposure to radioactive materials . .I Use protective gloves and frequently wash hands (particularly before eating and drinking) to reduce the potential for ingestion. Similarly, avoid eating and drinking in the vicinity of facilities or land disposal sites where air suspension of contaminated particulates or water droplets could occur . .I Avoid direct contact with any solid TENORM waste and use shovels or other remote-handling tools during extraction, transfer, and packaging . .I Locate treatment units and waste storage areas as far away from common areas (e.g., offices) as possible . ./ Shower after exposure to potentially radioactive materials and launder work clothing at the system if possible. If laundering equipment is not available, workers should keep and wash work clothing separately and avoid wearing contaminated clothing into the home. Work boots or shoes should be wiped and cleaned after potential contamination. They should stay at the system or not be worn into the home . ./ Use gamma survey instruments or equivalent monitors at least once annually to monitor the system's ambient radiation levels in areas where radionuclides are removed . ./ Monitor levels of radiation to which staff are exposed. Systems should contact, or be referred to, state or other radiation experts for more information on how to monitor radiation levels. Treatment plants that are licensed by the NRC or Agreement State should be referred to CFR Parts 19 and 20 for licensee reporting, notification, inspection, and safety requirements. Llcensed facilities are required to post the regulations listed under Parts 19 and 20, along with numerous other documents related to the license and the activities conducted under the license. Employees likely to receive occupational doses greater than 100 mrem/year must be kept informed and instructed on various issues related to health protection, relevant regulations, and the facility's storage and transport of radioactive materials, among other things . Licensees must also keep individual employees informed of the annual radiation dose that they receive . Current and former employees can also request reports on their exposure to radiation or radioactive material . 10 CFR Part 20 outlines requirements for licensees to develop radiation protection programs (10 CFR 20 .1101), sets dos~ lirp.its and occupational limits for exposure to r~diation (10 CFR 20.1201 to 1302), instructs licensees on how to ~5 Initial Data R ev~ew , ,,. ) f I' ,:·o L·\ d \f\t\ P' ~ Sampkl ID Dale Sampled Sample Ra-226 Ra-228 Cornbloed Rn' Total Uranium Gross alpha' Gross alpha Gross beta Total Solids pCl/g pCUg pO/g (cnlcliateo) mon<o pOtg (ca!clia!ed) pCVg pCl/g % or 1nglL A 1111512011 Slooge 3.2 4 .4 76 251 168 140 170 27 .3 B 11'1512011 Sludge 37 32 69 410 275 140 190 44 0 c 1111512011 Sludge 25 26 51 169 113 100 120 22G 0-composile 11115/2011 Sludge 24 24 48 347 ~ 232 -86 120 44 7 D39532 101412012 Floc_Sed West -----360 110 1320 Grab -Aqueous D39531 101412012 Floc ·Sed East -240 63 810 Grab -Aqueous ---- Combined Natural Disposal 226/228 Ra Uranium Criteria pCi/g abo\€ pCllg abo\€ backmaund l1l back around ( n <3 <30 Exemot Approved for MSWLF (2) or <10 <100 Comoost Feed <50 <300 Industrial Landfill '23 RCRAC Haz <400 0,05% by weight Waste Landfill (3) ~ ARCADIS ·-------·-------·----·---------· ~ARCADJS Allen Water Treatment Plant Residuals Management and Disposal Evalua tion :.r canCiitian c ,.." · ·Rildionuclide,'-Conceotratf~n Limit ··::·." .... -~i\ ·i::i;-:" · : : i· ~Description,:· ·. :·;, . ; . , . Sum of Individual Fractions Total Yearly Quantity nsRa, naRa Ne1u. 2J2Th 228 Ra. 229 Ra Na!U. 232Th < 1.0 < 1.0 Ci The sum of individual fractions for each radionuclide in the discharge stream must be less than 1. If all radionuclides are present, then the sum of fractions is calculated as: 226Ra 22aRa Natu 2nrh 22sR + 22aR + Natu + 232Th :5 1.0 CL a CL a Cl CL Where the numerator for each radionuclide is equal to the concentration in the discharge stream, and the denominator is equal to the individual radionuclide concentration limit as stated in Table 483 (see above for reference) The total yearly quantity of all radionuclides presen t in the discharge stream are required to be fess than 1.0 Ci. Using the concentrat ion limits in Table 3-1, ARCADIS evaluated the available res idu als radioactivity data in the WTP solids blowdown stream from the sedimentation basins. Table 3-2 below presents a summary of the availab le WTP grab samp le data provided to ARCADIS. :rhe City has collected two samples on October 4, 2012 . one from each the East and West Sedimentation Basins for oross alpha and gross beta. As such, \ there is a limited data set and individual activities of individual radionuclide .ff,· ~ents: such as Ra-226. Ra -22 8, U-Nat, or Th-232 are not available . .,.. Tab le 3-2 WTP Sedimentation Sasin Slowdown Grab Sample Results 'Samples collectetl on 10/412012 In order to conduct an "order of magnitude' evaluation on the available data relevant to the CDPHE limits, ARCADIS conservatively assu--ni~h~tthe-;~tirety of the gross · alpha concentration present in the sedimentation basins w~S'liranium has • • • City of Englewood, Colorado Budget Advisory Committee Long Term Asset Reserve Fund (LTAR) An Issue Brief Prepared for City Council Submitted July 19, 2016 Prepared by Christine McGroarty, Chair Steve Ward, Vice Chair John Moore Harvey Pratt Ben Rector ~En°lewood ~ g COLORAOO www.englewoodgov.org/budget-advisorv-committee The Budget Advisory Committee (BAC) is pleased to present its first "issue brief' to • Englewood City Council. Issue briefs allow us to address specific topics directly. In this inaugural issue brief, the BAC will share its perspectives on the Long Term Asset Reserve (LTAR) fund . Background on the BAC The Englewood City Council created the Budget Advisory Committee in May 2013 (Ordinance 16, Series 2013) with the following purpose: The Budget Advisory Committee (BAC) is established by Council and the City Manager to advise the City on the development, implementation, and evaluation of the annual City Budget. Participation in the Budget Advisory Committee is an opportunity not only to advise on the prioritization of how city tax dollars are spent, but also to advise policymakers in their decision-making process in an open and transparent manner. The BAC is comprised of: Christine McGroarty , Chair Steve Ward, Vice Chair Shelley Manzano (appointed July 5, 2016) -John Moore (term expired June 30, 2016) Harvey Pratt Ben Rector The BAC has been meeting monthly along with various City staff to deliver on its charge: Once the budgets have been reviewed and have incorporated requests for new programs and/or personnel authorized by the City Manager, the Budget Advisory Committee shall submit a written report of its findings and recommendations (BAC Report). The BAC Report shall be delivered to Council prior to the public hearing regarding the budget. In our ongoing efforts with respect to the annual budget process, the BAC found the issues around the L TAR fund to be critical, and warranted this supplementary communication to Council. Up front we note that former BAC member John Moore was an integral part of the creation of LTAR during his tenure as a Council member. And while his personal knowledge of the history of LT AR has been helpful in building the BAC 's knowledge base and the creation of this issue brief, the opinions expressed herein represent the collective opinion of the BAC . Budget Advisory Committee Issue Brief to Englewood City Council July 19 , 2016 2 • • • Creation of LT AR • • Around 2005 or so, the City found itself dealing with some significant real estate issues, two in particular: • In the 1950s, to secure water rights and the Mclellan Reservoir, the City purchased 165 acres of land in what became the Highlands Ranch area. Eventually C-470 split the land. By 2005, the City was working with car dealerships interested in the land north of C-470 and the Regional Transportation District (RTD), which was interested in putting in a light rail station on the land south of C-4 70 . • In the 1970s, the City of Englewood created a golf course within the boundaries of the City of Sheridan, its neighbor to the west. By 2005, Sheridan was working with Englewood to reconfigure the golf course so that commercial development could proceed on the Sante Fe Drive side of Englewood's golf course. Generally the City's land can't be sold without a vote of the citizens, so for the most part, lease arrangements were pursued. The exception was with RTD . They required full ownership of the land they needed to acquire for light rail, so, in effect, they used their condemnation powers to acquire the land from the City. These transactions resulted in the inflow of new monies beginning in 2007, at which time Council established the L TAR and directed that all proceeds from the disposition of long term assets (i.e., real estate), were to be funneled through the L TAR. This formally occurred with Resolution No. 90 on October 15, 2007 , as reflected in the minutes of that meeting: The City Council of the City of Englewood, Colorado has determined that funds from the sale, lease, or earnings from long-term assets should be used in a careful, judicious and strategic manner. For this reason, City Council hereby authorizes the creation of a Long Term Asset Reserve Fund (LTAR), and funds received from the sale, lease, or earnings from long-term assets shall be reserved in the L TAR Fund. The funds in this restricted account can only be expended if the funds are appropriated in the annual budget or by supplemental appropriation. In moving the resolution forward, then Council Member Moore noted: As you all know, I very much support the creation of this Reserve, if nothing else, for the sake of allowing us to make very conscious decisions about the use of our long-term assets ... The creation of this Reserve will provide very transparent tracking of when we do utilize those funds, both for this Council and hopefully for many future Councils. More recently the electors voted in November 2015 to allow the sale of Mclellan Reservoir property with City Council approval after the first 20-year lease term . Budget Advisory Committee Issue Brief to Englewood City Council July 19, 2016 3 Usage of LT AR The chart on the next page summarizes all of the LT AR transactions since its inception. Up front it is important to distinguish between sale versus lease proceeds. While both are covered by the LTAR resolution, the Council that created LTAR and every Council since have agreed through the annual budgeting process to use lease proceeds to support the City's annual operating budget. These transactions (totaling $4.4 million) are shown in the first section. The two sections that follow show the inflow and outflow associated with sale proceeds. We have divided those into "temporary" and "permanent" transactions. Roughly $3.5 million in proceeds from the sale of land has been contributed. Funds from L TAR have been used on a temporary basis a few times, either for short term loans or for the development of the property to be leased (currently, this category is in a net use position by about $1.0 million). Thus far, just under $600 thousand has been "permanently" used on expenditures not related to the underlying long term assets. Budget Advisory Committee Issue Brief to Englewood City Council July 19, 2016 4 • • • • • • Sources ofFunds Uses ofFunds Additions LTAR-General Fund Operation Transactions Dec-08 Proceeds from leases 599,143.00 Dec-08 Transfer to General Fund for Operations Dec-09 Proceeds from leases 611,837 .00 Dec-09 Transfer to General Fund for Operations Dec-10 Proceeds from leases 105 ,125 .00 Dec-10 Transfer to General Fund for Operations Dec-11 Proceeds from leases 425,159.00 Dec-11 Transfer to General Fund for Operations Dec-12 Proceeds from leases 551,295 .00 Dec-12 Transfer to General Fund for Operations Dec-13 Proceeds from leases 573,526.00 Dec-13 Transfer to General Fund for Operations Dec-14 Proceeds from leases 684,683.00 Dec-14 Transfer to General Fund for Operations Dec-15 Proceeds from leases 873 ,347 .00 Dec-15 Transfer to General Fund for Operations Subtotal 4,424,115 .00 r r LTAR -Temporary Transactions Mar-09 Fund McLellan improvements to increase lease payments Dec-09 Apr-10 Jun-12 Jun-12 Jun-14 Jan-16 Partial return of funds for McLellan improvements Borrow to support NSP Return ofNSP funds Borrow for fountain repairs Partial return of funds for fountain repairs Fund McLellan improvements to increase lease payments Subtotal LTAR -Permanent Transactions Oct-07 Apr-08 Jun-08 Dec-09 Mar-09 Jan-10 Mar-II Proceeds from golf course Proceeds from sale ofMcLellan land to RTD Transfer from General Fund Unreserved Fund Balance Proceeds from leases Fund regular city street improvements Fund COPS Grant reserve "' 591,836.86 755,907 .52 43,723 .70 1,391,468 .08 1,986,000 .00 499,142 .50 1,000,000.00 20 ,000 .00 "' Fund 2011 Catalyst Program Subtotal 3,505 ,142.50 r r Total 9,320,725 .58 Net Additions (Deletions) Opening Balance LTAR Balance LTAR as of January 31, 2016 Budget Advisory Committee Issue Brief to Englewood City Council July 19, 2016 Deletions (599,143 .00) (611 ,837 .00) (105 ,125.00) (425,159.00) (551 ,295 .00) (573,526.00) (684 ,683.00) (873,347 .00) ( 4,424 ,115.00) (800,000 .00) (750,000 .00) (100,000 .00) (800 ,000.00) (2,450 ,000.00) (165 ,000.00) (298,512.00) (120,000.00) (583 ,512 .00) (7,457,627.00) 1,863,098.58 0.00 1,863,098.58 5 BAC Perspectives on Using LTAR With the history of l TAR laid out, the BAC would like to share its perspectives on the usage of l TAR. We suggest several principles: • It seems clear that the Council (of 2007, at least) believed that the disposition of the City's long held assets should not simply flow into the annual operating budget without conscious thought. • We believe there are at least two key perspectives embedded in that statement: o These assets were held for decades by the citizens of Englewood, with no benefit to the operating budgets effecting those citizens during that time. In consideration of intergenerational equity, proceeds from the liquidation of those assets should not benefit some small cohort(s) of later citizenry. o The long-term assets do provide financial security for the City. To the extent such assets are being "cashed in," the proceeds should be used strategically, presumably for the ongoing long term benefit of the City. • While it is clear Council did not want such proceeds (particularly sale proceeds) to simply be absorbed into the annual budget, the L TAR was not meant to be a permanent repository for the funds . The funds were to be used, albeit in a "careful, judicious and strategic manner." The BAC sees the l TAR revenues in two distinct categories: one-time revenue associated with sale of an asset and ongoing revenue from lease payments. The BAC believes that the principles of intergenerational equity are especially relevant for the portion of the l TAR fund that is derived from sale of assets . Alternatively, the BAC believes that revenue generated from lease of assets, such as the Mclellan Reservoir property, could be viewed with more flexibility. In recent years, as shown above, Mclellan Reservoir lease revenues have been used to support ongoing annual operating expenses. However, since the Mclellan Reservoir properties could be sold at the end of their 20-year lease, the BAC suggests that this lease revenue might be better viewed as temporary in nature. Consistent with the "fiscal health and wellness" approach now being used by Council and the City Manager, we suggest caution in relying on temporary lease revenue to fund on-going operating expenses. We encourage Council to consider migrating towards using temporary lease revenue for the capital improvements fund to avoid creating a reliance on temporary funding for on-going operating expenses. The City has significant capital needs and there is not a dedicated funding stream to meet these needs. Although dedicating lease revenue would not be sufficient to meet the full capital needs, this would secure some much needed funding for the capital improvements fund. We also note that capital improvements tend to benefit generations of taxpayers, not just the current generation, consistent with the principle above. Putting this into an example, investing funds into something that would produce long- term revenue for the City, such as updates to Pirate's Cove, would be consistent with the principles outlined above . But going further, the BAC believes that using those long-term revenues, generated from an investment funded through l TAR, to support Budget Advisory Committee Issue Brief to Englewood City Council July 19, 2016 6 • • • • • • the City's operating budget could be a reasonable consideration. Most notably in that example, the proceeds would be used to support the ongoing generations of taxpayers, and not spent inequitably on a small cohort of citizens. Further, the City must find ways to diversify its revenue against not just the volatility of sales tax streams, but their inherent uncertainty in an increasingly internet-based society. Therefore using the L TAR to fund investments that would generate revenue, such as upgrades to Pirate's Cove or the golf course, would have an on-going benefit for multiple generations of citizens. If desirable, L TAR could serve as a loan source to fund these types of investments and some or all of the additional revenue could be used to pay back the fund over time. Another example of a use for L TAR that would be consistent with these principles would be to purchase an asset, such as land, that could be used for a park or other amenity. The L TAR funds may best be used to benefit multiple generations with a guiding principle of replacing an asset with an asset. Ideally there would be something on-going and tangible for the community associated with utilization of the LTAR funds. The BAC is encouraging the Council to consider clarifying and codifying its policy around utilization of L TAR and we offer the above as guidelines for those policies. The BAC hopes to see L TAR funds used for long-term, intergenerational benefits to the community. Summarizing: • The BAC encourages Council to invest LTAR funds productively into the City, and not leave them permanently idle. • Ideally funds would provide long-term benefit to the citizens, and not benefit just a small cohort of taxpayers. • A long-term benefit can be "quality of life" in nature, such as with additional parks and green space. • A permanent revenue source that supports the ongoing operating budget would also provide a long-term benefit by, for example, reducing sales tax dependency. • A temporary revenue source is not an ideal use for operating expenses, as that could create dependencies and produce intergenerational inequity. • Loans from LT AR that are used to develop property and increase lease income are appropriate investments towards realizing long-term benefits; however, loans to support short-term operational issues may be viewed with reservation and would ideally be paid back quickly . Budget Advisory Committee Issue Brief to Englewood City Council July 19, 2016 7 ·' -· PUBLIC COMMENT ROSTER AGENDA ITEM 7 UNSCHEDULED PUBLIC COMMENT August 1, 2016 Speakers must sign up for Unscheduled Public Comment at the beginning of the meeting. Please limit your presentation to three minutes PLEASE PRINT NAME 02::{ fZ::r tll:5Tf0 f3t,·qrz Bf'od1hqoJ~n ADDRESS TOPIC ~< fd;G:;~~ 1&JiJ r-urfihh~ Y~rYY) Duo~ JE/l!lJ f!Af(Gfl '-J '61 fl ') )::;. Di£ s T &'c!/ "-< w ~CIJ or J,,, 0111 (_,,...(_ 3 / L\,qq~ £/aJ,· En t c o ?o Ira -- ' 1 r < , 1 1 ___J____L...--- Sf 3 L 5: t?ztt&rl.i. I rl S7 I 21/ WCllEN!Jt1-ft:; Atlb" CC:A,/(CNNf/rl-, CC) W '\,;(_ f/4,.f {<J i4wi/J Yz 1 !VO/) &[M__ t/f-71 S . 6 lw My name is Joyce Slaughter and I live at 4900 So. Lipan Drive in Englewood and I am here to speak on the alum sludge issue at the water treatment plant. My house is located a stone's throw away from the plant and not far from the piles of alum sludge that were stockpiled there for the last several years . First and foremost, I want to state that my biggest concern is for the safety of the workers and residents that work and live in close proximity to the plant. Tonight, I would like to address some confusing and contradictory information from the letter I received recently from the city manager, Eric Keck , regarding this issue . The date of Mr. Keck's !etter sho w s Ju!y 7, 2016 2nd mentions the resu!ts of a r ecent ly completed, third-party medical study of the residuals from renowned epidemiologist, Herman Gibb . The letter from Mr. Gibb was attached and showed a date of July 14, 2016, one week later than the date of Mr. Keck's letter. In Mr. Keck's letter, he states that procedures are in place to ensure that the plant follows the State of Colorado Department of Public Health and Environment permit requirements as it pertains to the timely and appropriate disposal of the residuals and that these procedures are followed carefully . Yet, according to the Englewood 2016 Allen Plant Residuals Removal Project timeline, on April 4th, 2016 Jennfier Reynolds of CDP HE conducted an inspection and reported a violation for storing residuals longer than stated in the Engineering and Operations Report. This is an obvious contradiction to Mr. Keck's statement. In addition, Dr . Gibb's letter did not mention the specific documentation provided to him for his review and provides no information on which years the environmental sampling of both chemical and radiation measurements were from. The only real data provided was on the community air sampling from a testing station located at the Denver/1-25 site. I have no idea where this site is located but I am pretty sure it is not in close proximity to either the Allen Plant or my home and seemed totally unrelated to our concerns from the stockpiling of sludge at the plant. In a June 30th email to the city council, Mr. Keck attached a similar report he said was from Dr. Gibb in which the attachment was titled "Lay Person Report on the Allen Plant" and actually read like a press release by the city . In Mr. Keck's email , he references the "attached" letter from Dr . Gibb yet there is no actual letter or date and it was not in letter format or on Dr. Gibb's letterhead. This "non-letter'' also does not reference any specific data or show the years of the sampling . I personally found this latest attempt to pacify the residents that live in the immediate area of the plant to be condescending and of no factual importance . I expect full disclosure and complete accuracy when receiving documentation from the city and felt this letter contained neither. Thank you. ·~ Eny OF lewo od g CITY MANAGER'S OIFICE ~ Dear Neighbors: First and foremost , let me tell you that the City of Englewood is very concerned with the health and safety of our employees and you , our residents. Recently, Englewood's Charles Allen Water Filtration Plant has come under scrutiny for its operations, and more specifically, the management and disposal of the alum residuals resulting from the treatment process -also referred to as sludge. In response, this letter is designed to serve two purposes. First, to enunciate that procedures are in place to ensure that the plant follows the State of Colorado Department of Public Health and Environment permit requirements as it pertains to the timely and appropriate disposal of the residuals. We follow those procedures carefully. Second, the City wanted to share the results of a recently completed, third-party medical study of the residuals, wherein it has been concluded that the residuals are indeed safe. Please see the attached letter authored by renowned epidemiologist Herman Gibb . As previously stated, be assured that we are committed to public health and safety as well as providing high-quality services, such as the water produced by our dedicated employees at the Charles Allen Water Filtration Plant. Sincerely , Eric A. Keck City Manager 1000 Englewood Parkway Englewood , Colorado 80110 Phone 303-762-2300 Gibb Epidemiology Consult ing LLC To Whom It May Concern: July l ..+. 2016 The foiiowing is my assessment of the community concerns regarding the Allen Filter plant. Water treatment plants across the country. including the Allen plant operated by the City of Engle\\iOOd. produce a wide variety of \vaste products in addition to pro\ iding safe drinking water. The Environmental Protection Agency (EPA) describes these \\"a ste products as sludge. A recent news article on CBS4 indicated that workers at the Allen plant are concerned that sludge at 1he facilit y may be increasing their risk of cancer. It w as al so reported that persons in the community hav e similar concerns. Environme~tal sampling conducted a;)\the City o f Englewood and the Colorado Intergovernmental Risk Sharing Agency (CIR~) at the Allen plant. including sampling of the sludge. does not indicate any evidence of an increased risk of cancer to workers or the conununity. This sampling includes both chemical and radiation measurements. The radiation measurements at the Allen plant are actually below the aYerage indoor radiation measurement for the U nited States as a whole and well below the predicte d indoor radiation measurement for Arapahoe C o unty. Chemical testing found that leYels of chromium and other chemicals of concern were belov.· occupational safety standards . There is also no e\'idence of a potential problem based on community air sampling. A ir quality. including particulate matter (PM) concentration. is regularly tested by the Colorad o Department of Public Health and E1wironment (CDPHE). The closest monitoring site to the Allen Filter Plant is the Denver/J-25 site. The EPA describes PM. a lso known as particle p o llution. a s a mixture of s o lid particles a nd liquid droplets found in the air. It is typically separated i nto two categories hased on particle size: PM I 0 and PM2 .5. PM I 0 and P\.12.5 ha ve b een meas u re d o n an h o uil y basis at the Denwr /I-25 site since N o v ember 2013 . A verages of the highest dail y PM I 0 and 2.5 readings from the I ~1 and l51 h days of e\'ery month from November 2013 to the present are w ell below the National A mbient A i r Qu a l ity Standards. Jn conclusion . there is no evidence of a carcinogenic risk to either w o rkers or the com m un i ty fr o m the ope ration o f the A llen fa cility . The City. however. should c o ntinue to conduct air and sludge sampling at the Allen facility and monitor these results on a regular basi s. Sincerely. .'"'\ I f \ I .· I !_J<./(/V)"U<.-_~· Herman J. Gibb. Ph.D . G i bb Epidem i o lo g y Cons ul ting LLC 303 3 \/\/;/sen Boule:vard , Suite 700 , Arl i ngton , VA 2220 i Te l 703 .647 41 30 Fcx 703 213 . 8696 , ~ Errglewood June 23, 2016 Utilities Department Water Filtration Process and Safety The Utilities Department is committed to providing the citizens of Englewood, Colorado an adequate supply of high quality w ater, and operation al w astewater and storm water co!!ection systems at the lowest poss ible cost. Water Quality Tests are conducted regularly to ensure compliance with all state and federal regulatory guidelines . The Utilities Department handles every aspect of water supply and treatment, including administration, supply, power and pumping, purification, transmission and distribution, wastewater collection, and storm water quality. Tom Brennan is the director of the Utilities Department, which includes the Charles Allen Water Treatment Plant, the water distribution system, the sanitary sewer collection system and the storm water collection system. Charles Allen Water Filtration Plant The Charles Allen Water Filtration Plant provides clean , safe , high-quality drinking water for more than 32 ,000 people living and working in the C ity of Englewood. Englewood meets or exceeds all drinking water quality regulations of the U.S . Environmental Protection Agency's Safe Drinking Water Act and similar requirements administered by the Colorado Department of Public Health and Environment (CDPHE). A drinking water monitoring plan has been in effect since 2002 . The plant utilizes a conventional treatment process train consisting of coagulation, flocculation, sedimentation, filtration and chemical and ultraviolet light disinfection processes. Drinking Water Safety Standards Englewood's Allen Water Treatment Plant has rigorous testing protocols in place to ensure that Englewood's drinking water meets all safety standards . The plant has never experienced a violation of the safety standards set by state and federal regulations for lead. Water samples from Englewood's raw water sources, the treatment plant , and the distribution system are collected and tested daily. This daily testing is critical not only for ensuring the safety of the water, but also to check the pH balance . Byproducts from chemicals used for treating water can react, making the water either acidic or basic. When the pH balance is too acidic, the water can react with the pipes and plumbing hardware, causing corrosion that can release lead into the water. Water with a basic pH balance will coat the pipes and plumbing hardware, effectively sealing the lead in . Englewood's plant operators are continually checking and adjusting the pH balance in Englewood's water system to ensure the water never becomes acidic enough to cause the kind of leaching and corrosion that happened in Flint, Michigan . Charles Allen Water Filtration Plant All operators at the Allen Plant are professionally licensed and undertake ongoing training and certification as new technologies and safety guidelines are enacted . The State of Colorado requires the City of Englewood to test for lead in the system . If more than 10 percent of the samples exceed the lead standard, the State and the U.S . Environmental Protection Agency regulations deem a system to be in violation. The City of Englewood's water system has never violated this safety standard. Alum Residuals Disposal During the process of treating water for consumption , alum residuals are generated. The residuals are stored in a process wash water lagoon and are considered technologically-enhanced, naturally occurring radioactive materials. As such, the residuals have additional disposal requirements by the Colorado Department of Public Health and Environment. The processing and disposal of the residuals are approved and monitored by the CDPHE . 1000 Englewood Parkway• Englewood, Colorado 80ll0 • 303-762-2310 • www.englewoodgov.org On a yearly basis, the residuals are pumped from the reservoir and stored to dry in two storage facilities. The storage facilities are open to the air to promote drying . The very wet residuals are placed in the first facility to air dry for one year. Then they are moved to the second facility for further drying and mixing with a frontend loader. Once the residuals are damp to the touch the piles are covered with tarps until disposal. The use of tarps was started in 2000 to prevent wind erosion of the damp residuals . This operation plan follows the CDPHE approved "Updated Long-Term Treatment Residuals Disposal Plan and Risk Assessment" Appendix F Section 1 Paragraph 1.2 dated February 26, 2004 . Disposal of the residuals has been in Englewood's budget since 2004 . In 2007, the plant did not process enough residuals for disposal. In 2012, CDPHE limited approved disposal sites to one landfill . This change required further investigation so the City did not dispose of any residuals in 2012 or 2013 . The City performed studies and evaluations to determine what would be required by CDPHE to approve additional landfills for disposal. This effort remains ongoing. In 2014 , the City disposed all of the stored residuals at the one approved landfill with the exception of a sample section . This sample section was left for additional testing to address a complaint about the residuals toxicity. In 2015 and 2016 $250 ,000 .00 was encumbered for disposal of the residuals. Englewood City Council Response -June 6, 2016 Englewood City Council June 6, 2016 Page 4 (ii) Director Brennan presented a recommendation from the Utilities Department to approve , by motion, of the proposal for the Allen Water Filtration Plant Residuals removal and disposal to Secure On-Site Services USA, LLC in the amount of $230,550 .00 . The Englewood Water and Sewer Board , at their May 10, 2016 meeting, recommended Council approval. COUNCIL MEMBER GILLIT MOVED, AND COUNCIL MEMBER OLSON SECONDED, TO APPROVE AGENDA ITEM 11 (c) (ii) -THE PROPOSAL FOR THE ALLEN WATER FILTRATION PLANT RESIDUALS REMOVAL AND DISPOSAL TO SECURE ON-SITE SERVICES USA, LLC IN THE AMOUNT OF $230,550.00. Vote results: Ayes: Council Members Russell , Barrentine , Olson, Jefferson , Yates, Martinez, Gillit Nays : None For more information visit: www.EnglewoodGov.org/allenplant 1000 Englewood Parkway• Englewood , Colorado 80110 • 303-762-2310 • www.englewoodgov.org Report regarding the Community Surrounding the Allen Water Filter Plant Prepared by Herman Gibb, Ph.D., M.P.H. Water treatment plants across the country, including the Allen plant operated by the City of Englewood, produce a wide variety of waste products in addition to providing safe drinking water. One of these waste products is known as sludge. A recent news article on CBS4 indicated that ·.vorkers at the Allen plant are concerned t.1.at sludge at t.1.e facility :w.ay be increasing their risk of cancer. It was also reported that persons in the community have similar concerns (Sallinger 2016). Environmental sampling conductea@he Allen plant, including sampling of the sludge, does not indicate any evidence of an increased risk of cancer to workers or the community. This sampling includes both chemical and radiation measurements . The radiation measurements at the Allen plant are actually below the average indoor radiation measurement for the United States as a whole and well below the predicted indoor radiation measurement for Arapahoe County. Chemical testing found that levels of chromium and other chemicals of concern were below occupational safety standards. The City of Englewood is committed to operating a safe drinking water treatment operation for both its workers and the community. The City will continue to conduct air and sludge sampling at the Allen facility and monitor these results on a regular basis. 2016 Allen Plant Residuals Removal Project Timeline April 4, 2016 Jennifer Reynofds of Colorado Department of Pubiic Health and Environment -Hazardous Materials and Waste Management Division conducted inspection of Allen Plant grounds and residuals. Inspection due to anonymous call received at CDPHE. • Violation reported for storing residuals longer than stated in Engineering and Operations Report. Compliance requires removal of all pre 2015 residuals from site within 120 days with attorney approval. April 4, 2016 fnvitation to Bid for 2016 Allen Water Filtration Plant Residuals Removal, Hauling and Disposal Services project is posted. April 6, 2016 Letter received from Brad J. Miller, Esq. of Thomas Pollart & Miller LLC documenting need to preserve sample of prior residuals that is to be considered evidence. Copy of letter forwarded to Jennifer Reynolds at CDPHE. April 19, 2016 Complete report received from CDPHE for April 4 site inspection. April 26, 2016 Bid Opening for 2016 Allen Water Filtration Plant Residuals Removal, Hauling and Disposal Services project. Apparent low bidder: Secure On-Site Services. May 10, 2016 Water and Sewer Board recommends approval of contract for 2016 Allen Water Filtration Plant Residuals Removal, Hauling and Disposal Services project to City Council. May 24, 2016 Waste Material Profile Report received form Clean Harbors, LLC for samples of residuals to be removed per the 2016 Allen Water Filtration Plant Residuals Removal, Hauling and Disposal Services project. June 6, 2016 City Council approves contract for 2016 Allen Water Filtration Plant Residuals Removal, Hauling and Disposal Services project. June 27 , 2016 • Secure On-Site Services to begin 2016 Allen Water Filtration Plant Residuals Removal, Hauling and Disposal Services project. For additional information: wv,1w.EnglewoodGcv.crg/al!enplant • • • COUNCIL COMMUNICATION Date August 1, 2016 INITIATED BY Agenda Item 9ai Election Commission/City Clerk's Office Subject Intergovernmental Agreement with Arapahoe County for Coordinated Election Services STAFF SOURCE Loucrishia A. Ellis, City Clerk/Election Commission Member COUNCIL GOAL AND PREVIOUS COUNCIL ACTION The City of Englewood has participated with Arapahoe County in conducting coordinated elections for every City of Englewood General Municipal Election since 1993. RECOMMENDED ACTION Approve , by ordinance, an Intergovernmental Agreement between the City of Englewood and Arapahoe County for the November 8, 2016 Coordinated Election. BACKGROUND, ANALYSIS, AND ALTERNATIVES IDENTIFIED Because of State Legislation and the Taxpayer's Bill of Rights (TABOR) amendment approved by the voters in 1992 , coordinated elections are to be conducted throughout the State by County Clerks . The County has the capability of coordinating this election and including the City of Englewood . The Election Commission has agreed that it is in the best interest of the electors of Englewood to conduct future elections jointly with the other political entities within the County. In order to participate in the 2016 Coordinated Election , the City of Englewood must enter into an Intergovernmental Agreement with Arapahoe County. Staff has reviewed the proposed Intergovernmental Agreement Between Arapahoe County Clerk and Recorder and City of Englewood Regarding the Conduct and Administration of the November 8, 2016 General Election and concurs with the Commission's recommendation. FINANCIAL IMPACT Since costs are based on several variables, e.g . the number of registered electors in the City of Englewood at the time of the election, the number of entities participating in the election, the financial impact is only an estimate . The County's estimate of our final cost is $11 ,659 .69 . The cost of the Election is covered in the City Clerk's Budget for 2016. LIST OF ATTACHMENTS Proposed bill for an ordinance • • • ORDINANCE NO. SERIES OF 2016 BY AUTHORITY COUNCIL BILL NO. 28 INTRODUCED BY COUNCIL MEMBER ------- A BILL FOR AN ORDINANCE APPROVING AN INTERGOVERNMENTAL AGREEMENT BETWEEN ARAPAHOE COUNTY CLERK AND RECORDER AND THE CITY OF ENGLEWOOD, COLORADO, TO CONDUCT A COORDINATED ELECTION ON NOVEMBER 8, 2016 . WHEREAS, pursuant to the Uniform Election Code of 1992 (Articles 1 to 13 of Title 1, C.R.S.) as amended, governmental entities are encouraged to cooperate and consolidate elections in order to reduce taxpayer expenses; and WHEREAS, the City of Englewood has participated with Arapahoe County in conducting coordinated elections since 1993; and WHEREAS, Arapahoe County and the City of Englewood have determined that it is in the best interest of the taxpayers and the electors to conduct a Coordinated Election on November 8, 2016;and WHEREAS, the ordinance shall further authorize the presiding officer of the City or other designated person to execute this Agreement; and WHEREAS, Arapahoe County and the City of Englewood desire to set forth their respective responsibilities for the Coordinated Election pursuant to the Intergovernmental Agreement. NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF ENGLEWOOD, COLORADO , THAT: Section 1. The "Intergovernmental Agreement Between Arapahoe County Clerk and Recorder and City of Englewood Regarding the Conduct and Administration of the November 8, 2016 General Election" is attached hereto as "Exhibit A". The Intergovernmental Agreement for Coordinated Election is hereby accepted and approved by the Englewood City Council. Section 2. The Mayor is authorized to sign said Agreement for and on behalf of the City of Englewood. Introduced, read in full, and passed on first reading on the 1st day of August, 2016. Published by Title as a Bill for an Ordinance in the City 's official newspaper on the 4th day of August, 2016 . Published as a Bill for an Ordinance on the City's official website beginning on the 3rd day of August, 2016 for thirty (30) days. Joe Jefferson, Mayor ATTEST: Loucrishia A. Ellis, City Clerk I, Loucrishia A. Ellis, City Clerk of the City of Englewood, Colorado, hereby certify that the above and foregoing is a true copy of a Bill for an Ordinance, introduced, read in full, and passed on first reading on the 1st day of August, 2016. Loucrishia A. Ellis • • • • • • INTERGOVERNMENTAL AGREEMENT BETWEEN ARAPAHOE COUNTY CLERK AND RECORDER AND CITY OF ENGLEWOOD REGARDING THE CONDUCT AND ADMINISTRATION OF THE Arapahoe County Elections IGA NOVEMBER 8, 2016 GENERAL ELECTION PREPARED BY: MATT CRANE ARAPAHOE COUNTY CLERK AND RECORDER 5334 S. PRINCE STREET LITTLETON, COLORADO 80120 303-795-4239 Page 1 THIS AGREEMENT is made by and between the Board of County Commissioners of the County of Arapahoe, State of Colorado, on behalf of the Arapahoe County Clerk and Recorder (hereinafter referred to as the "County") and City of Englewood (hereinafter ref erred to as the "Jurisdiction") (hereinafter collectively referred to as the "Parties"); and WHEREAS, pursuant to the Uniform Election Code of 1992 (Articles 1 to 13 of Title 1, C.R.S.) as amended, governmental entities are encouraged to cooperate and consolidate elections in order to reduce taxpayer expenses; and WHEREAS, pursuant to section 1-7-116, C.R.S. if more than one jurisdiction holds an election on the same day in November and the eligible electors for each such election are the same or the boundaries overlap, the County Clerk and Recorder is the coordinated election official and, pursuant to section 1-5-401, C. R.S. shall conduct the elections on behalf of all jurisdictions whose elections are part of the coordinated election utilizing the mail ballot procedures set forth in article 7. 5 of title 1; and WHEREAS, the County and Jurisdiction have determined that section 1-7-116, C.R.S. applies and it is in the best interest of the taxpayers and the electors to enter into this Agreement to conduct a Coordinated Election on November 8, 2016; and WHEREAS, such agreements are authorized by State law. NOW, THEREFORE, for and in consideration of the promises herein contained, the sufficiency of which is hereby acknowledged, the Parties hereto agree as follows: This election shall be conducted as a Coordinated Election in accordance with the Uniform Election Code of 1992 (Articles 1-13 of Title 1, C.R.S.). The election participants will execute agreements with Arapahoe County for this purpose and may include municipalities, school districts, and special districts within the Arapahoe County limits and the State of Colorado. The Arapahoe County Clerk and Recorder shall be designated as the Coordinated Election Official (hereinafter "CEO") and the Jurisdiction hereby identifies Loucrishia Ellis as its Designated Election Official (hereafter "DEO). FURTHER, the Parties agree as follows: SECTION I. PURPOSE AND GENERAL MATTERS 1.01 DEFINITIONS: A. "Address Library Report" means the address report from the Secretary of State voter registration system that defines street addresses and precincts within the jurisdiction. B. "Coordinated Election Official" (hereinafter "CEO") shall mean the County Clerk and Recorder who shall act as the "coordinated election official," as defined within the Arapahoe County Elections IGA Page 2 • • • • • • Code and Rules and, as such, shall conduct the election for the Jurisdiction for all matters in the Code and the Rules which require action by the CEO. C. "Colorado Election Code" or "Code" means any part of the Uniform Election Code of 1992, (Articles 1-13 of Title 1, C.R.$.) or any other Title of C.R.S governing participating Jurisdiction's election matters, as well as the Colorado Constitution, and the State of Colorado Secretary of State (SOS) Rules. D. "Coordinated Election" means an election where more than one jurisdiction with overlapping boundaries or the same electors holds an election on the same day and the eligible electors are all registered electors, and the County Clerk is the Coordinated Election Official for the jurisdictions. E. "Contact Officer" means the individual who shall act as the primary liaison or contact between the Jurisdiction and the County Clerk. The Contact Officer shall be that person under the authority of the County Clerk who will have primary responsibility for the coordination of the election for the Jurisdiction and the procedures to be completed by the County Clerk hereunder. F. "Designated Election Official" (hereinafter "DEO") means the individual who shall be identified by the Jurisdiction to act as the primary liaison between the Jurisdiction and the Contact Officer and who will have primary responsibility for the conduct of election procedures to be handled by the Jurisdiction hereunder. To the extent that the Code requires that an Election Official of the Jurisdiction conduct a task, the DEO shall conduct same . G. "IGA" or "Agreement" means this Intergovernmental Agreement between the County and the Jurisdiction for election coordination. H. "Jurisdiction" means a political subdivision as defined in§ 1-7.5-116, C.R.S. and referenced in the Code and, in this Agreement, is interpreted to refer to [Coordinating Entity Name]. I. "Mail Ballot Packet" means the packet of information provided by the CEO to eligible electors in the mail ballot election. The packet includes the ballot, instructions for completing the ballot, a secrecy envelope, and a return envelope.§ 1-7.5-103(5), C.R.S. J. "Post Election Audit" means such audit as set forth substantially in the Colorado Election Code. K. "Precinct" means an area with established boundaries within a jurisdiction used to establish election districts. L. "Proposed Jurisdiction" means a jurisdiction which may be formed pursuant to this election which is not yet identified by a tax authority code in the County Assessor database. When the context of this Agreement so requires, a Proposed Jurisdiction will simply be referred to as a Jurisdiction. M. "SOS" means State of Colorado Secretary of State . Arapahoe County Elections IGA Page 3 N. "SOS Election Calendar" means the most recent election calendar as published on the SOS website located at www.sos.state.co.us and attached hereto as Attachment B and incorporated herein by this reference. 1.02 JOINT RESPONSIBILITIES A. All parties shall familiarize themselves with all statutory and regulatory requirements impacting coordinated elections and TABOR notices if required. B. Nothing herein shall be deemed or construed to relieve the CEO or the Jurisdiction from their official responsibilities for the conduct of the election as generally set forth in the Colorado Election Code. C. All parties shall adhere to all applicable provisions of the Colorado Election Code which are necessary or appropriate to the performance of the below duties, as well as to the time guidelines schedule as attached hereto as these relate to the election. D. All parties shall enforce all provisions of the Fair Campaign Practices Act as they may apply to the conduct of the election. 1.03 JURISDICTIONAL LIMITATION A. The Jurisdiction encompasses territory within Arapahoe County. This Agreement shall be construed to apply only to that portion of the Jurisdiction within Arapahoe County. B. Where the Jurisdiction is entirely contained within Arapahoe County, the CEO has authority in setting ballot order and number. When the Jurisdiction is split among more than one county, the Jurisdiction agrees to coordinate with the CEO prior to agreeing upon ballot order or numbering. SECTION II. COUNTY /JURISDICTION RESPONSIBILITIES The County and the Jurisdiction shall each perform their respective duties and/or functions within the context of this Agreement: 2.01 THE COUNTY SHALL PERFORM THE FOLLOWING TASKS IN RELATION TO SAID ELECTION: A. Give assistance and information to the DEO of the Jurisdiction on any matter related to elections to ensure the smooth and efficient operation of the election. Such information shall not include legal advice. B. Designate a Contact Officer with the specific duty of assisting with the election of the Jurisdiction. Such oversight shall not preclude such Contact Officer from assisting with the elections of other jurisdictions or from performance of other tasks as delegated by the CEO. C. Adhere to all applicable provisions of the Colorado Election Code that are necessary or appropriate to the performance of its duties. Arapahoe County Elections IGA Page 4 • • • • • • D. Use the Address Library Report and any documents provided regarding annexation, inclusion and or exclusion, to identify eligible electors within the Jurisdiction. a. Provide the Jurisdiction with an Address Library Report and link to a digital boundary map which defines Jurisdictional boundaries in terms of residential street ranges based on County Assessor data. b . County will verify errors, omissions, and/or corrections identified by the Jurisdiction against County Assessor data, and where appropriate, modify street ranges to accurately define the eligible electors within the Jurisdiction . E. Make available a certified list of registered voters upon request. F. Deliver a proposed election plan to the Secretary of State no later than 90 days prior to the Election. G. Contract for Mail Ballot Packets with a vendor acceptable to the CEO and remit payment directly to the vendor. H. Lay out the text of the official ballots in a format that complies with the Code. (See also Section 1.03 (B) herein). I. Provide ballot printing layouts and text for proofreading and signature approval by the Jurisdiction prior to final ballot printing. J. Mail the ballot packets as required by the Code . K. Appoint , instruct, oversee, and administer the payment of the judges of the election . L. Prepare and run the required Logic and Accuracy test deck, along with a test deck completed by the Jurisdiction. M. If applicable, provide daily business day pick-up of the sealed ballot container(s) containing voted ballots from all assigned locations . Provide replacement sealed empty ballot container(s). N. Publish and post the required legal notices pursuant to§ 1-5-205(1) and§ 1-7.5- 107(2.5)(a)(I), C.R.S. Notice shall be published for the Jurisdiction's ballot issues, ballot questions, and/or candidates on or before the deadline as set forth within Attachment B. 0. CEO will refer members of the public and press to the DEO regarding specific questions about candidates or ballot questions. P. Provide the necessary electronic voting tabulation equipment, personnel properly trained in electronic tabulating equipment, programming of the vote tabulating equipment , and the facility to conduct the ballot tabulation . Q. Establish and maintain mail ballot drop-off locations and designate and operate Voter Service and Polling Centers as required by and in conformance with the Colorado Election Code . Arapahoe County Elections IGA Page 5 R. Maintain a list of names and precinct numbers of eligible electors together with the date on which the mail ballot was sent and the date on which the mail ballot was returned or cast. S. Conduct and oversee the process of counting the ballots and reporting the results by Jurisdiction. T. Conduct a recount of the ballots where the final ballot tabulation results are close enough to require a recount by law, or if not required by statute, upon the request of the Jurisdiction, for any reason. In either scenario, the cost of the recount will be charged to the Jurisdiction. If more than one Jurisdiction is involved in the recount, the cost will be pro-rated among the participating Jurisdictions equally. U. Provide unofficial results of the election on election night by electronic transmittal upon request. V. In conjunction with the Jurisdiction, prepare and run the required Post Election Audit before certifying election results. W. Conduct a canvass of the votes and certify the results of the Jurisdiction's election within the time required by law and forthwith provide the Jurisdiction with a copy of all election statements and certificates which are to be created under the Code. X. Submit to the Jurisdiction an itemized invoice for all expenses incurred under this Agreement. Within sixty (60) days from the date of receipt of such invoice, the Jurisdiction shall remit to the County the total payment. Y. Keep a careful and accurate accounting of time, supplies, printing costs and salaries attributable to the County's administration of the election for the Jurisdiction. The Jurisdiction's proportional share of actual costs shall be based on County expenditures relative to the election. Z. Store all election records as required by the Code in such a manner that they may be accessed by the Jurisdiction, if necessary, to resolve any challenges or other legal questions that might arise regarding the election. 2.02 THE JURISDICTION SHALL PERFORM THE FOLLOWING TASKS IN RELATION TO SAID ELECTION AND TABOR NOTICE (IF REQUIRED): A. DEO shall familiarize themselves with all statutory and regulatory requirements impacting the Jurisdiction. B. Identify a DEO to act as liaison between the Jurisdiction and the CEO. C. Identify immediately to CEO if Jurisdiction is shared by any additional county. Procedures will be followed as per SOS Rule 4.2 to determine controlling county for purpose of setting up shared races, issues, and questions in coordinated elections. (See Section 1.03 (B) herein). Arapahoe County Elections IGA Page 6 • • • • • • D. The Jurisdiction confirms that it has sufficient funds available and appropriated in its approved budget to pay its prorated election expenses for this Coordinated Election. See Attachment A. E. The IGA must be returned to the CEO with all signatures executed on or before the deadline as set forth within Attachment B in order to enter into an intergovernmental agreement, per the Code. F. Use the Address Library Report and map provided by the County to identify eligible electors within the Jurisdiction. In order for the CEO to provide correct ballots to electors, the information contained in the Address Library Report must be accurate. If the street list information and/or certification are not provided by the date specified in Attachment B, the Jurisdiction may not participate in this Coordinated Election. G. Identify any errors, omissions, and/or corrections to the street ranges used to define Jurisdictional boundaries in writing eighty (80) days prior to Election Day. H. Provide CEO certification of the accuracy of the Address Library Report including any changes, additions, or deletions to be made to the street ranges and return with signed IGA on or before the deadline as set forth within Attachment B. I. To the extent applicable, a Proposed Jurisdiction, not already identified by a tax authority code in the County Assessor's records, will provide the CEO's office with a certified legal description, map, and a street list, identifying the street ranges for all streets within the Proposed Jurisdiction on or before eighty (80) days prior to Election Day. In the event residential addresses are not available, the Proposed Jurisdiction agrees to provide a list of the land parcel numbers that are within the boundaries of the Proposed Jurisdiction. J. Provide the CEO certification of any annexations, inclusions, and/or exclusions to the Jurisdiction, including all supporting documents, on or before eighty (80) days prior to Election Day. K. For petitions filed with the DEO per§ 1-4-907, C.R.S., review and verify all petition information and verify the information against the registration records, and, where applicable, the county assessor's records as per§ 1-4-908, C.R.S. After review, the DEO shall notify the candidate of the number of valid signatures and whether the petition appears to be sufficient or insufficient. Upon determining that the petition is sufficient and after the time for protest has passed, the DEO shall certify the candidate to the ballot and, if the election is a Coordinated Election, so notify the CEO. L. Jurisdiction is strongly encouraged to write initiatives in plain, non-technical language, worded with simplicity and clarity in compliance with all statutory requirements as per§ 1-40-105(1 ), C.R.S. M. Respond to inquiries as follows: The CEO shall respond to all correspondence and calls within its expertise relating to election procedures. The DEO shall ref er correspondence and calls relating to election procedures, and which are outside of the DEO's expertise, to the Contact Officer for response. The CEO and Contact Arapahoe County Elections IGA Page 7 Officer shall ref er correspondence and calls concerning the substance of the ballot issues or the operations of the Jurisdiction to the DEO or a person designated by the Jurisdiction to respond to correspondence and calls, which person the DEO shall identify and designate at least forty-five (45) days prior to the election. The DEO and/or the person so designated by the DEO shall respond to correspondence and calls within a reasonable time after being notified of the same by the CEO. N. Determine the ballot title and text. Certify, if applicable, the candidate, the list of ballot issues and/or ballot questions electronically (with receipt confirmed by the County Election Department) in a plain text format on or before the deadline as set forth within Attachment B. The ballot content must be certified in the order in which it will appear on the ballot. The certified list of candidates (order determined by lot drawing, or if applicable, city/town charter), ballot issues, and/or ballot questions shall be final and the CEO will not be responsible for making any changes after the certification, except those prescribed by statute. The CEO will not accept text that includes, but is not limited to, bold, italic, underline, bullets, tables, strikethrough or indentations. All caps are reserved for TABOR issues only per the Code. a. The Jurisdiction shall defend and resolve at its sole expense all challenges relative to the candidates, ballot issues and/or ballot questions as certified to the County for inclusion on the ballot. 0. Jurisdiction is to provide the phonetic pronunciation of each candidate's name to assist with the preparation of the audio ballot at the time ballot content is certified to the County. This information shall be left in a voice message recording at (303) 734-5365 and shall include the candidate name, jurisdiction and title of office. Candidate information must be provided by the date specified in Attachment B. P. Jurisdiction must indicate whether question(s) are a referred measure or an initiative from a citizen petition. The Jurisdiction understands and agrees that any ballot content submitted to the CEO after the ballot content has been certified, may result in its candidates, issues , or questions not being on the ballot for the election. Q. Within one business day of receipt, proofread the layout and the text of the Jurisdiction's portion of the official ballots and TABOR notice (if applicable) and provide written notice (electronic format) of acceptance before the printing of the ballots and TABOR notice (if applicable). R. Prepare, hand-count, and deliver to the CEO, the required test deck of ballots for testing the electronic vote counting equipment by the date specified. S. For elections where owning property in the Jurisdiction is a requirement for voting in the election, utilize the online inquiry terminal to access the State of Colorado and Arapahoe County voter registration records to confirm voter registration and verify "property ownership" information. T. Provide the CEO with an initial and supplemental certified list of "property owners" (if applicable) eligible to vote in the election, as determined by the Jurisdiction, who: Arapahoe County Elections IGA Page 8 • • • • • • a. Own property within the Jurisdiction, appear on the State of Colorado list of registered voters, reside at an address as shown, that is not within the boundaries of Arapahoe County ("Out of County" property owners); or , b. Own property within the Jurisdiction , appear on the Arapahoe County list of registered voters, reside at an address that may not match the property address as shown on the County Assessor's list, but is within the boundaries of Arapahoe County ("In County" property owners). c. The lists shall be submitted as an electronic copy. The electronic copy shall be submitted to the CEO using Microsoft Excel format. The spreadsheet shall contain no more than one (1) eligible elector's name per line . Each line shall consist of the following separated fields: eligible elector's voter identification number (if applicable), last name, first name, middle name, mailing address, city, state, zip, parcel number, phone number, if available, and Arapahoe County precinct number, if applicable. U. Publish and post any required legal notices for the Jurisdiction's candidates , ballot issues and/or ballot questions, other than the notice required by§ 1-5-205, C.R.S . A copy of such published legal notice shall be submitted to the County for its records. V. Notify the CEO within twenty-four hours of the completion of the final ballot tabulation whether a recount is required or desired. The Jurisdiction shall reimburse the County for the full cost of the recount. If other Jurisdictions are included in the recount the cost of the recount will be pro-rated among the participating Jurisdictions as per§ 1-10 .5-101, C.R .S . W. Within sixty (60) days from the date of receipt of an invoice relating to the Jurisdiction's prorated share of costs for the printing and mailing of ballots, TABOR Notice (if required), and all other election expenses, the Jurisdiction shall remit to the County the total payment. X. Pay any additional or unique election costs resulting from Jurisdiction delays and/or special preparations or cancellations relating to the Jurisdiction's participation in the Coordinated Election. 2.03 TABOR A. If the election includes a ballot question and/or issue governed by Colorado Constitution, Article X, Section 20 , ("TABOR"), the County shall perform the following tasks in relation to the TABOR Notice: a. Certify the complete number of registered electors and/or household addresses with one or more active registered voters, within the Arapahoe County portion of the Jurisdiction in accordance with the dates in Attachment B. b. Determine the "least cost" method for mailing the TABOR Notice package. Nothing herein shall preclude the County from sending the TABOR Notice or Notice package to persons other than electors of the Jurisdiction if such Arapahoe County Electi ons !GA Page 9 transmittal arises from the County's efforts to mail the TABOR Notice package at the "least cost." c. Include the text, and provide a proof as written and in the order submitted, in accordance with the TABOR requ i rements for the TABOR Notice. Coordinate and mail the TABOR Notice package in the time frame as required by law. d. Keep a careful and accurate accounting of time, supplies, printing costs and salaries attributable to the County's TABOR Notice services for the Jurisdiction. The Jurisdiction's proportional share of actual costs shall be based on the County's total expenditures relative to the TABOR Notice. B. If the election includes a ballot question and/or issue governed by Colorado Constitution, Article X, Section 20, ("TABOR"), the Jurisdiction shall perform the following tasks in relation to the TABOR Notice: a. Publish all required legal notices for the Jurisdiction's ballot questions/ballot issues, other than the notice that is required by§ 1-5-205 , C.R.S. that is published no later than 10 days before the election, which covers all pertinent information required by statute . A copy of such published legal notice shall be submitted to the County for its records. b. Comply with the provisions of the Uniform Election Code of 1992 (Articles 1-13 of Title 1, C.R.S .), and the time guidelines schedule, as these relate to the election in the Jurisdiction, unless superseded by other legal authority. c. Receive petition representative's written summary of comments relating to ballot issues/ballot questions. d. The Jurisdiction shall certify a final and exact text and summary of comments concerning its ballot issues and/ or ballot questions, along with the required fiscal information to the County, on portable data storage device or email (with receipt confirmed by the Election Department) in Microsoft Word and with a paper copy, within one business day of receipt, for inclusion in the TABOR Notice mailing as required by Section 20 of Article X of the Colorado Constitution. The process of receiving written comments relating to ballot issues/ballot questions and summarizing such comments, as required by Section 20 of Article X of the Colorado Constitution, is the sole responsibility of the Jurisdiction. The certified text, summary of comments and fiscal information shall be final and the County will not be responsible for making any changes after the certification. e. The Jurisdiction shall defend and resolve, at its sole expense, all challenges relative to the TABOR Notices certified to the County for inclusion in the TABOR Notice package for its election. Arapahoe County Elections IGA Page 10 • • • • • • 3.01 4.01 SECTION 111. CANCELLATION OF ELECTIONS CANCELLATION OF ELECTION BY THE JURISDICTION. A. In the event that the Jurisdiction resolves not to hold the election, then notice of such resolution shall be provided to the CEO immediately. The Jurisdiction shall be liable for the full actual costs of the activities of the CEO relating to the election incurred both before and after the CEO's receipt of such notice. The Jurisdiction shall provide and post notice by publication as defined in the Code. In the event that the Jurisdiction resolves not to hold the election after the last day for the DEO to certify the ballot order and content to the CEO (see Attachment B), the text provided by the Jurisdiction cannot be removed from the ballot and/or the Ballot Issue notice (TABOR Notice). SECTION IV. MISCELLANEOUS NOTICES. A. Any and all notices required to be given by this Agreement are deemed to have been received and to be effective: (1) three days after they have been mailed by certified mail, return receipt requested; (2) immediately upon hand delivery; or (3) immediately upon receipt of confirmation that an email or fax was received; to the address of a Party as set forth below or to such Party or addresses as may hereafter be designated in writing: To County: To Jurisdiction: 4.02 TERM OF AGREEMENT. Matt Crane Arapahoe County Clerk and Recorder Elections Department 5334 S. Prince St. Littleton, Colorado 80120 Fax: (303) 794-4625 mcrane@arapahoegov.com Loucrishia Ellis City Clerk City of Englewood 1000 Englewood Parkway Englewood, CO 80110 Email: lellis@englewoodgov.org A. The term of this Agreement shall continue until all statutory requirements concerning the conduct of the election and the creation, printing, and distribution of the TABOR Notice, if needed, are fulfilled . Arapahoe County Elections IGA Page 11 4.03 AMENDMENT. A. This Agreement may be amended only in writing, and following the same formality as the execution of the initial Agreement. 4.04 INTEGRATION. A. The Parties acknowledge that this Agreement constitutes the sole and entire Agreement between them relating to the subject matter hereof and that no Party is relying upon any oral representation made by another Party or employee, agent or officer of that Party. 4.05 CONFLICT OF AGREEMENT WITH LAW, IMPAIRMENT. A. In the event that any provision in this Agreement conflicts with the Code or other statute, this Agreement shall be modified to conform to such law. No resolution of either party to this Agreement shall impair the rights of the CEO or the Jurisdiction hereunder without the consent of the other party to this Agreement . 4.06 TIME OF ESSENCE. A. Time is of the essence for this Agreement. The time requirements of the Code shall apply to completion of the tasks required by this Agreement. Failure to comply with the terms of this Agreement and/or the deadlines in Attachment B or the Code may result in consequences up to and including termination of this Agreement. 4.07 GOOD FAITH. A. The parties shall implement this Agreement in good faith, including acting in good faith in all matters that require joint or general action. 4.08 NO WAIVER OF GOVERNMENTAL IMMUNITY ACT. A. The Parties hereto understand and agree that the County, its commissioners, officials, officers, directors, agents, and employees, are relying on, and do not waive or intend to waive by any provisions of this Agreement, the monetary limitations or any other rights, immunities, protections or defenses provided by the Colorado Governmental Immunity Act (the "CGIA"), §§ 24-10-101 to 120, C.R.S., or otherwise available to the County or the Jurisdiction. To the extent the CGIA imposes varying obligations or contains different waivers for cities and counties, both the Jurisdiction and the County agree that they will remain liable for their independent obligations under the CGIA, and neither party shall be the agent of the other or liable for the obligations of the other. 4.09 NO THIRD PARTY BENEFICIARIES. A. The enforcement of the terms and conditions of this Agreement and all rights of action relating to such enforcement shall be strictly reserved to the County and the Jurisdiction, and nothing contained in this Agreement shall give or allow any such claim or right of action by any other or third person under such Agreement. Arapahoe County Elections IGA Page 12 • • • • 4.10 GOVERNING LAW: JURISDICTION AND VENUE • • A. Unless otherwise agreed in writing, this Agreement and the interpretation thereof shall be governed by the laws of the State of Colorado. Venue for any and all legal actions arising under this IGA shall lie in the District Court in and for the County of Arapahoe, State of Colorado. 4. 11 SEVERABILITY A. Should any provision of this Agreement be determined by a court of competent jurisdiction to be unconstitutional or otherwise null and void, it is the intent of the parties hereto that the remaining provisions of this Agreement shall be of full force and effect. 4.12 ATTACHMENTS. A. The following attachments are incorporated herein by this reference. Attachment A -2016 Cost Estimates Attachment B -Key Dates for Coordinating Jurisdictions (subject to updates) END OF PAGE Arapahoe County Elections IGA Page 13 ARAPAHOE COUNTY Nancy Doty, Chair, Board of County Commissioners Matt Crane, Coordinated Election Official Clerk and Recorder City of Englewood By: Joe Jefferson Title: Mayor Loucrishia Ellis , Designated Election Official Arapahoe County Elect i ons IGA • Date Date Date Date • Page 14 • ~ ATIACHMENT A • CITY OF ENGLEWOOD 2016 ELECTION COST ESTIMATE ARAPAHOE COUNTY I ESTIMATE I CLERK AND RECORDER Costs Based On : Active Registered Voters 17,523 Voter Turnout 14,018 UOCAVA Voters 81 Households for TABOR Notice 4,020 Coordinating Entities 13 Ballot Materials & Processing Qtl. Unit Cost Total Outer Envelopes 17 ,523 $ 0.046 $ 806 .06 Return Envelope 17 ,523 $ 0.038 $ 665 .87 Ballot Packets 17,523 $ 0.640 $ 11 ,214 .72 Instruction Sheets 17,523 $ 0.054 $ 946 .24 Secrecy Sleeve 17,523 $ 0.033 $ 578.26 UOCAVA Online Ballot Marking Tool 81 $ 0.306 $ 24.79 • Sub Total $ 14,211.15 Mail Ballot Postage Freight Charges 17,523 $ 0.0380 $ 665.87 Postage Out-Bound 17,523 $ 0.120 $ 2, 102 .76 Sub Total $ 2,768.63 VSPC Costs Qtl. Total Divided Cost WIFI Connection 1 $ 1,620.00 $ 124 .62 Laptop Computers 1 $ 17,225 .00 $ 1 ,325 .00 iPad Rental $ 3,300 .00 $ 253 .85 Machine Seals $ $ Dymo Labels $ $ VSPC Supplies $ 8,000.00 $ 615 .38 VSPC Ballots $ $ Blank Stock for BOD $ 6,000.00 $ 461 .54 Toner for BOD $ $ Provisional Ballot Envelope 0 $ $ Machine Delivery 1 $ 4,000.00 $ 307 .69 Sub Total $ 3,088.08 • Personnel Costs Qty. Unit Cost Total Ballot Processing and VSPC Election Judges 14 ,018 $ 0.81 $ 11 ,354.90 • Temp Staff Background Check 14 ,018 $ 0.03 $ 420 .55 Sub Total $ 11,775.46 Additional Costs Qty . Total Divided Cost Ballot Bridg ing 1 $ $ Ballot on Demand Setup 1 $ $ Pre-Marked Test Deck $ 3,000 .00 $ 230 .77 Car Rental $ 9,267.00 $ 712 .85 Ballot Team Mileage 1 $ 500 .00 $ 38.46 Sub Total $ 982.08 Notices Qty. Unit Cost Total TABOR Printing 4,020 $ 0.43 $ 1,728.60 TABOR Postage 4,020 $ 0.10 $ 402.00 Notice of Election 1 $ 300 .00 $ 23 .08 Sub Total $ 2,153 .68 Total Election Expense $ 34,979.07 Less Cost Shared by Other Coordinating Entities $ (23,319.38) Total Due to Arapahoe County $ 11,659.69 • • • Attachment B 2016 Key Dates for Coordinating Jurisdictions Resource provided by Arapahoe County Elections . Use this as a reference guide only . Always refer to the Colorado Constitution , Revised Statutes and Secretary of State rules for applicable provisions. See the official 2016 Election Calendar: http://www.sos .state .co .us/pubs/elections/calendars/2016ElectionCalendar .pdf 29-Jul 29-Jul 9-Sep 9-Sep 24-Sep 27-Sep 27-Sep 17-0ct 17-0ct 17-0ct 19-0ct 24-0ct 24-0ct 31-0ct Last day to notify County Clerk of intent to participate in the General Election (100 days prior) County Clerk to provide copy of legal boundaries to jurisdiction ci~ad_lineto cancel participation in ·a coordinated el'e~t!on(6~ days prior) . ' Castc:fay for coordinating jurisdiction·s to certify ball9t contehf tO county clerk (60 days prior) ' Candidates must record their name exactly as it appears on the statement of intent, and must provide the recording to the county clerk no later than the deadline to file the statement of intent. Deadline to transmit ballots to overseas and military voters (45 days prior) Oeadline.for jurisdiction to file TABOR issue notices with county clerk (42 days prior) Deadline to mail TABOR notices (30 days prior) Deadline to register to vote by Voter Registration Drive First day mail ballots may be sent to voters , excluding UOCAVA (22 days prior) County ballot drop-off locations and pick-ups begin Last day for designated or coordinated election official to publish notice of Coordinated Election (20 days prior) Counting of ballots may begin (15 days prior) County Voter Service & Polling Centers (VSPCs) open Last day to register to vote through the mail, agency, motor vehicle , or online and receive a ballot by mail 1-7-116(5); 1-1-106(5); IGA Agreement IGA Agreement Rule 4.6.2 1-8.3-110(1) Rule 16 1-7-904 Rule 11.3 .2(a) Article X, Sec. 20(3) (b ); 1-1-106 5 1-2-201 (3)(b )(I) I 1-7 .5-107(3)(a) I 1-7 .5-107(2.5)(a)(I) 1-7.5-107.5 1-5-102.9(2) 1-2-201 (3)(b )(I II) Jurisdiction J County Clerk Jurisdiction Candidate County Clerk Jurisdiction County Clerk Voters 1 County Clerk County Clerk County Clerk , Jurisdiction County Clerk County Clerk Voters I 8-Nov General Election Day 1-1-104(17); (Voter Service and Polling Centers and Ballot Drop-Off 1-4-201; locations open 7 a.m. -7 p.m .) Rule 7.9.1(b) 16-Nov Last day for military and overseas ballots to be received 1-8.3-111; by Clerk in order to be counted (8 days after election) 1-8 .3-113 ; Rule 16.1 .5 16-Nov l Last day for electors to cure signature discrepancy or 1-7.5-107(3 .5)(d); I missing signature, or to provide missing ID for mail and 1-7.5-107.3(2)(a); I I provisional ballots to be counted . (8 days after election) 1-8.5-105(3)(a); Rule 7 25-Nov Deadline to complete the canvass for the Coordinated 1-10-102(1) Election. (17 days after election) Rule 1 O ~;frJi~i'~: .. ~. ~--~ .-~~~ ====:~=g=~e=-~=,~=H_=~=r12=-9=_j=_~= .... == County Clerk, Voters I Voters County Clerk , Voters I County Clerk 9-Dec I Last day for interested party to request a recount at its 1-10.5-106(2) Any _ -···--·--·----~wn_~xpense_:_ ______ .. ___________________ ..... -·------___________ --------.. ---_______ .. _____ __, 15-Dec Last day to complete a requested recount. 1-10.5-106(2) County Clerk ' • • • • • • COUNCIL COMMUNICATION Date: Agenda Item: Subject: August 1, 2016 9bi P.O.S.T. Grant Agreement -Fiscal Agent Initiated By: Staff Source: Police Department Commander Sam Watson COUNCIL GOAL AND PREVIOUS COUNCIL ACTION City Council previously approved Ordinance #45 in 2012 authorizing this agreement. RECOMMENDED ACTION The Police Department is recommending that City Council adopt a Bill for an Ordinance on second reading authorizing the Chief of Police to sign a contract with the State of Colorado that will authorize the City of Englewood to act as the Fiscal Agent on behalf of the Peace Officer Standards and Training Board Greater Metro Region Training Committee . BACKGROUND, ANALYSIS, AND ALTERNATIVES IDENTIFIED The Peace Officer Standards and Training Board (P .O .S .T) of the Office of the Colorado Attorney General has the primary mission to establish and maintain the standards for peace officer training and certification that are relevant, realistic and responsive to an ever-changing world. The purpose of this grant is to assist the State in fulfilling its responsibility to provide professional quality training programs to Colorado peace officers who risk their lives every day in the normal course of their duties . Quality training is crucial for peace officers who are expected to make quick and difficult health and safety decisions that are in the best interests of the citizens of Colorado and to the officer. State funding for peace officer training programs enable the P.O.S.T. board to provide substantial training for peace officers who serve the citizens of Colorado. Each year , various regions within the State submit applications for the grant award that has been established. The Greater Metro Region, of which the Englewood Police Department is a voting member, provides low-cost and free training to the members of the Greater Metro Region, as well as scholarships to those agencies that could not otherwise afford the training . One of the requirements for each region is that a Fiscal Agent be established so that disbursement of training dollars can be issued to vendors or local law enforcement agencies . The Greater Metro Region has asked the City of Englewood's Finance and Administrative Services Department to act as their Fiscal Agent. FINANCIAL IMPACT The Fiscal Agent will be responsible for distributing checks, estimated to be about fifty checks per year. In turn the P.O.S.T. Board has authorized that the City of Englewood receive a 5% Administrative fee for acting as the Fiscal Agent. LIST OF ATTACHMENTS Bill for an Ordinance P.O .S.T. Grant Agreement P.O.S.T. Grant Guidelines • • • • • • ORDINANCE NO. SERIES OF 2016 BY AUTHORITY COUNCIL BILL NO . 25 INTRODUCED BY COUNCIL MEMBER GILLIT AN ORDINANCE AUTHORIZING ACCEPTANCE OF A GRANT FROM THE STATE OF COLORADO AND AUTHORIZING THE CITY OF ENGLEWOOD, AS THE FISCAL AGENT FOR THE PEACE OFFICER STANDARDS AND TRAINING BOARD GREATER METRO REGION TRAINING COMMITTEE. WHEREAS, the Peace Officer Standards and Training Board (POST) of the Office of the Colorado Attorney General has the primary mission to establish and maintain the standards for peace officer training and certification that are relevant, realistic and responsive to an ever- changing world; and WHEREAS, this Grant is for the City to assist the State in fulfilling its responsibility of providing professional quality training programs to Colorado peace officers who risk their lives every day in the normal course of their duties and are expected to make quick and difficult health and safety decisions that are in the best interests of the citizens of Colorado; and WHEREAS, the Greater Metro Region, of which the Englewood Police Department is a voting member, provides low-cost and free training to the members of the Greater Metro Region as well as scholarships to those agencies that could not otherwise afford the training ; and WHEREAS, one of the requirements for each region is that a Fiscal Agent be established so that disbursement of training dollars can be issued to vendors or local law enforcement agencies . NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF ENGLEWOOD, COLORADO, THAT: Section 1. . The City Council of the City of Englewood, Colorado hereby authorizes the acceptance of the grant from the State of Colorado to act as the Fiscal Agent on behalf of the Peace Officer Standards and Training Board (POST) Greater Metro Region Training Committee for the July 1, 2016 fiscal year ending June 30 , 2017, attached hereto as Exhibit 1. Section 2. The Chief of Police is hereby authorized to sign the POST Grant for the Greater Metro Regional Training Committee. Introduced, read in full, and passed on first reading on the 18th day of July, 2016 . Published by Title as a Bill for an Ordinance in the City 's official newspaper on the 21st day of July, 2016 . Published as a Bill for an Ordinance on the City 's official website beginning on the 20th day of July, 2016 for thirty (30) days. 1 Read by title and passed on final reading on the 1st day of August, 2016. Published by title in the City's official newspaper as Ordinance No._, Series of 2016, on the 4th day of August, 2016. Published by title on the City's official website beginning on the 3rd day of August, 2016 for thirty (30) days. Joe Jefferson, Mayor ATTEST: Loucrishia A. Ellis, City Clerk I, Loucrishia A. Ellis, City Clerk of the City of Englewood, Colorado, hereby certify that the above and foregoing is a true copy of the Ordinance passed on final reading and published by title as Ordinance No._, Series of 2016 . Loucrishia A. Ellis 2 • • • STATE OF COLORADO DEPARTMENT OF LAW Grant Agreement with CITY OF ENGLEWOOD TABLE OF CONTENTS Routin # CMS # 1. PARTIES .................................................................................................................................................. ! 2. EFFECTIVE DATE AND NOTICE OF NONLIABILITY ..................................................................... 1 3. RECITALS ................................................................................................................................................ I 4. DEFINITIONS ......................................................................................................................................... 2 5. TERM ........................................................................................................................................................ 3 6. STATEMENT OF WORK ........................................................................................................................ 3 7. PAYMENTS TO GRANTEE ................................................................................................................... 3 8. REPORTING· NOTIFICATION ............................................................................................................ 4 9 . GRANTEE RECORDS ............................................................................................................................. 5 10. CONFIDENTIAL INFORMATION-STATE RECORDS ..................................................................... 6 11. CONFLICTS OF INTEREST ................................................................................................................ 6 12. REPRESENTATIONS AND WARRANTIES ....................................................................................... 6 1 <::> T"t-T~1.:W ... ~NCE.... ... . . . ... ... . .. ... .,............ . .. .. ...... ... . . . 7 14. BREACH ................................................................................................................................................. 8 15. REMEDIES ............................................................................................................................................ 9 16. NOTICES and REPRESENTATIVES ................................................................................................ 11 17. RIGHTS IN DATA, DOCUMENTS, AND COMPUTER SOFTWARE ....................................... .' ..... 11 18. GOVERNMENTAL IMMUNITY ................................... ~ .................................................................... 11 19. STATEWIDE GRANT MANAGEMENT SYSTEM ........................................................................... 11 20. GENERAL PROVISIONS ................................................................................................................... 12 21. COLORADO SPECIAL PROVISIONS ............................................................................................... 15 22. SIGNATURE PAGE ............................................................................................................................ 18 EXHIBIT A-STATEMENT OF WORK .................................................................................................. Al EXHIBIT B ·APPLICATION ................................................................................................................... Bl EXHIBIT C -OPTION LETTER ............................................................................................................... Cl 1. PARTIES This Grant Agreement (hereinafter called "Grant") is entered into by and between City of Englewood (hereinafter called "Grantee"), and the STATE OF COLORADO acting by and through the Department of Law (hereinafter called the "State or DOL"). 2. EFFECTIVE DATE AND NOTICE OF NONLIABILITY This Grant shall not be effective or enforceable until it is approved and signed by the Colorado State Controller or designee (hereinafter called the "Effective Date"). The State shall not be liable to pay or reimburse Grantee for any performance hereunder, including, but not limited to costs or expenses incurred, or be bound by any provision hereof prior to the Effective Date. 3. RECITALS A. Authority, Appropriation, and Approval Authority to enter into this Grant exists in C.R.S. 24-31-310 and funds have been budgeted, appropriated and otherwise made available pursuant to C.R.S. 42-3-304 (24) and a sufficient unencumbered balance thereof remains available for payment. Required approvals, clearance and coordination have been accomplished from and with appropriate agencies. Page 1 E x H I B I T 1 B. Consideration The Parties acknowledge that the mutual promises and covenants contained herein and • other good and valuable consideration are sufficient and adequate to support this Grant. C. Purpose The purpose of this Grant is to engage the services of the Grantee to assist the DOL with its statutory responsibility of providing quality law enforcement training and safety courses to Colorado peace officers. D. References All references in this Grant to sections (whether spelled out or using the§ symbol), subsections, exhibits or other attachments, are references to sections, subsections, exhibits or other attachments contained herein or incorporated as a part hereof, unless otherwise noted. 4. DEFINITIONS The following terms as used herein shall be construed and interpreted as follows: A. Budget "Budget" means the budget for the Work described in Exhibit A and B. B. Evaluation "Evaluation" means the process of examining Grantee's Work and rating is based on criteria established in §6 and Exhibit A and B. C. Exhibits and other Attachments The following are attached hereto and incorporated by reference herein: Exhibit A ~Statement of Work), Exhibit B (Application), and Exhibit C (Option Letter). D. Goods "Goods" means tangible material acquired, produced, or delivered by Grantee either separately or in conjunction with the Services Grantee renders hereunder. E. Grant "Grant" means this Grant, its terms and conditions, attached exhibits, documents incorporated by reference under the terms of this Grant, and any future modifying agreements, exhibits, attachments or references incorporated herein pursuant to Colorado State law, Fiscal Rules, and State Controller Policies. F. Grant Funds "Grant Funds" means available funds payable by the State to Grantee pursuant to this Grant. G. Party or Parties "Party" means the State or Grantee and "Parties" means both the State and Grantee. H. Program "Program" means the POST Region Law Enforcement Training grant program that provides the funding for this Grant. I. Review "Review" means examining Grantee's Work to ensure that it is adequate, accurate, correct and in accordance with the criteria established in §6 and Exhibit A and B. J. Services "Services" means the required services to be performed by Grantee pursuant to this Grant. K. Subgrantee "Subgrantee" means third-parties, if any, engaged by Grantee to aid in performance of its obligations. L.Work • "Work" means the tasks and activities Grantee is required to perform to fulfill its obligations • under this Grant and Exhibit A and B, including the performance of the Services and delivery of the Goods. Page 2 M. Work Product "Work Product" means the tangible or intangible results of Grantee's Work, including, but not limited to, software, research, reports, studies, data, photographs, negatives or other finished or unfinished documents, drawings, models, surveys, maps, materials, or work product of any type, including drafts. 5.TERM A. Initial Term-Work Commencement The Parties respective performances under this Grant shall commence on the later of either the Effective Date or July 1, 2016. This Grant shall terminate on June 30, 2017 unless sooner terminated or further extended as specified elsewhere herein. 6. STATEMENT OF WORK A. Completion Grantee shall complete the Work and its other obligations as described herein and in Exhibit A and Bon or before June 30, 2017. The State shall not be liable to compensate Grantee for any Work performed prior to the Effective Date or after the termination of this Grant. B. Goods and Services Grantee shall procure Goods and Services necessary to complete the Work. Such procurement shall be accomplished using the Grant Funds and shall not increase the maximum amount payable hereunder by the State. C. Employees All persons employed by Grantee or Subgrantees shall be considered Grantee's or Subgrantees' employee(s) for all purposes hereunder and shall not be employees of the State for any purpose as a result of this Grant. 7. PAYMENTS TO GRANTEE The State shall, in accordance with the provisions of this §7, pay Grantee in the following amounts and using the methods set forth below: A. Maximum Amount The maximum amount payable under this Grant to Grantee by the State is $513,397.50 as determined by the State from available funds. Grantee agrees to provide any additional funds required for the successful completion of the Work. B. Payment i. Advance, Interim and Final Payments Any advance payment allowed under this Grant or in Exhibit A shall comply with State Fiscal Rules and be made in accordance with the provisions of this Grant or such Exhibit. Grantee shall initiate any payment requests by submitting invoices to the State in the form and manner set forth and approved by the State. ii. Interest The State shall fully pay each invoice within 45 days of receipt thereof if the amount invoiced represents performance by Grantee previously accepted by the State. Uncontested amounts not paid by the State within 45 days may, if Grantee so requests, bear interest on the unpaid balance beginning on the 46th day at a rate not to exceed one percent per month until paid in full; provided, however, that interest shall not accrue on unpaid amounts that are subject to a good faith dispute. Grantee shall invoice the State separately for accrued interest on delinquent amounts. The billing shall reference the delinquent payment, the number of day's interest to be paid and the interest rate . iii. Available Funds-Contingency-Termination The State is prohibited by law from making fiscal commitments beyond the term of the State's current fiscal year. Therefore, Grantee's compensation is contingent upon the Page 3 continuing availability of State appropriations as provided in the Colorado Special • Provisions, set forth below. If federal funds are used with this Grant in whole or in part, the State's performance hereunder is contingent upon the continuing availability of such funds. Payments pursuant to this Grant shall be made only from available funds encumbered for this Grant and the State's liability for such payments shall be limited to the amount remaining of such encumbered funds. If State or federal funds are not appropriated, or otherwise become unavailable to fund this Grant, the State may immediately terminate this Grant in whole or in part without further liability in accordance with the provisions herein. iv. Erroneous Payments At the State's sole discretion, payments made to Grantee in error for any reason, including, but not limited to overpayments or improper payments, and unexpended or excess funds received by Grantee, may be recovered from Grantee by deduction from subsequent payments under this Grant or other Grants, grants or agreements between the State and Grantee or by other appropriate methods and collected as a debt due to the State. Such funds shall not be paid to any person or entity other than the State. C. Use of Funds Grant Funds shall be used only for eligible costs identified herein and/or in the Budget. Grantee may adjust budgeted expenditure amounts up to 10% within each line item of said Budget without approval of the State. Adjustments in excess of 10% shall be authorized by the State in an amendment to this Grant. The State's total consideration shall not exceed the .maximum amount shown herein. 8. REPORTING-NOTIFICATION Reports, Evaluations, and Reviews required under this §8 shall be in accordance with the procedures of and in such form as prescribed by the State and in accordance with §19, if applicable . A. Performance, Progress, Personnel, and Funds State shall submit a report to the Grantee upon expiration or sooner termination of this Grant, containing an Evaluation and Review of Grantee's performance and the final status of Grantee's obligations hereunder. In addition, Grantee shall comply with all reporting requirements, if any, set forth in Exhibit A. B. Litigation Reporting Within 10 days after being served with any pleading in a legal action filed with a court or administrative agency, related to this Grant or which may affect Grantee's ability to perform its obligations hereunder, Grantee shall notify the State of such action and deliver copies of such pleadings to the State's principal representative as identified herein. If the State's principal representative is not then serving, such notice and copies shall be delivered to the Executive Director of Department of Law. C. Performance Outside the State of Colorado and/or the United States [Not applicable if Grant Funds include any federal funds] Following the Effective Date, Grantee shall provide written notice to the State, in accordance with §16 (Notices and Representatives), within 20 days of the earlier to occur of Grantee's decision to perform, or its execution of an agreement with a Subgrantee to perform, Services outside the State of Colorado and/or the United States. Such notice shall specify the type of Services to be performed outside the State of Colorado and/or the United States and the reason why it is necessary or advantageous to perform such Services at such location or locations . All notices received by the State pursuant to this §8.C shall be posted on the Colorado Department of Personnel & Administration's website. Knowing failure by Grantee to provide notice to the State under this §8.C shall constitute a material breach of this Grant. Page4 • • D. Noncompliance Grantee's failure to provide reports and notify the State in a timely manner in accordance with this §8 may result in the delay of payment of funds and/or termination as provided under this Grant. E. Subgrants Copies of any and all subgrants entered into by Grantee to perform its obligations hereunder shall be submitted to the State or its principal representative upon request by the State. Any and all subgrants entered into by Grantee related to its performance hereunder shall comply with all applicable federal and state laws and shall provide that such subgrants be governed by the laws of the State of Colorado. 9. GRANTEE RECORDS Grantee shall make, keep, maintain and allow inspection and monitoring of the following records: A. Maintenance Grantee shall make, keep, maintain, and allow inspection and monitoring by the State of a complete file of all records, documents, communications, notes and other written materials, electronic media files, and communications, pertaining in any manner to the Work or the delivery of Services (including, but not limited to the operation of programs) or Goods hereunder. Grantee shall maintain such records (the Record Retention Period) until the last to occur of the following: (i) a period of three years after the date this Grant is completed or terminated, or (ii) final payment is made hereunder, whichever is later, or (iii) for such -.f=<::rt..1:er period as m!'.y be ne,.cessary to resolve any pend.h.g :natt(;\rs, or {fr) if an au.dit is occurring, or Grantee has received notice that an audit is pending, then until such audit has been completed and its findings have been resolved (the "Record Retention Period"). B. Inspection Grantee shall permit the State, the federal government and any other duly authorized agent of a governmental agency to audit; inspect, examine, excerpt, copy and/or transcribe Grantee's records related to this Grant during the Record Retention Period for a period of three years following termination of this Grant or final payment hereunder, whichever is later, to assure compliance with the terms hereof or to evaluate Grantee's performance hereunder. The State reserves the right to inspect the Work at all reasonable times and places during the term of this Grant, including any extension. If the Work fails to conform to the requirements of this Grant, the State may require Grantee promptly to bring the Work into conformity with Grant requirements, at Grantee's sole expense. If the Work cannot be brought into conformance by re-performance or other corrective measures, the State may require Grantee to take necessary action to ensure that future performance conforms to Grant requirements and exercise the remedies available under this Grant, at law or inequity in lieu of or in conjunction with such corrective measures. C. Monitoring Grantee shall permit the State, the federal government, and other governmental agencies having jurisdiction, in their sole discretion, to monitor all activities conducted by Grantee pursuant to the terms of this Grant using any reasonable procedure, including, but not limited to: internal evaluation procedures, examination of program data, special analyses, on-site checking, formal audit examinations, or any other procedures. All monitoring controlled by the State shall be performed in a manner that shall not unduly interfere with Grantee's performance hereunder. D. Final Audit Report If an audit is performed on Grantee's records for any fiscal year covering a portion of the term of this Grant, Grantee shall submit a copy of the final audit report to the State or its principal representative at the address specified herein. Page 5 10. CONFIDENTIAL INFORMATION-STATE RECORDS Grantee shall comply with the provisions of this §10 if it becomes privy to confidential information in • connection with its performance hereunder. Confidential information, includes, but is not necessarily limited to, state records, personnel records, and information concerning individuals. A. Confidentiality Grantee shall keep all State records and information confidential at all times and to comply with all laws and regulations concerning confidentiality of information. Any request or demand by a third party for State records and information in the possession of Grantee shall be immediately forwarded to the State's principal representative. B. Notification Grantee shall notify its agent, employees, Subgrantees, and assigns who may come into contact with State records and confidential information that each is subject to the confidentiality requirements set forth herein, and shall provide each with a written explanation of such requirements before they are permitted to access such records and information. C. Use, Security, and Retention Confidential information of any kind shall not be distributed or sold to any third party or used by Grantee or its agents in any way, except as authorized by this Grant or approved in writing by the State. Grantee shall provide and maintain a secure environment that ensures confidentiality of all State records and other confidential information wherever located. Confidential information shall not be retained in any files or otherwise by Grantee or its agents, except as permitted.in this Grant or approved in writing by the State. D. Disclosure-Liability Disclosure of State records or other confidential information by Grantee for any reason may be cause for legal action by third parties against Grantee, the State or their respective • agents. Grantee shall indemnify, save, and hold harmless the State, its employees and agents, against any and all claims, damages, liability and court awards including costs, expenses, and attorney fees and related costs, incurred as a result of any act or omission by Grantee, or its employees, agents, Subgrantees, or assignees pursuant to this §10. 11. CONFLICTS OF INTEREST Grantee shall not engage in any business or personal activities or practices or maintain any relationships which conflict in any way with the full performance of Grantee's obligations hereunder. Grantee acknowledges that with respect to this Grant, even the appearance of a conflict of interest is harmful to the State's interests. Absent the State's prior written approval, Grantee shall refrain from any practices, activities or relationships that reasonably appear to be in conflict with the full performance of Grantee's obligations to the State hereunder. If a conflict or appearance exists, or if Grantee is uncertain whether a conflict or the appearance of a conflict of interest exists, Grantee shall submit to the State a disclosure statement setting forth the relevant details for the State's consideration. Failure to promptly submit a disclosure statement or to follow the State's direction in regard to the apparent conflict constitutes a breach of this Grant. 12. REPRESENTATIONS AND WARRANTIES Grantee makes the following specific representations and warranties, each of which was relied on by the State in entering into this Grant. A. Standard and Manner of Performance Grantee shall perform its obligations hereunder in accordance with the highest standards of care, skill and diligence in the industry, trades or profession and in the sequence and manner set forth in this Grant. B. Legal Authority -Grantee and Grantee's Signatory Page 6 • Grantee warrants that it possesses the legal authority to enter into this Grant and that it has taken all actions required by its procedures, by-laws, and/or applicable laws to exercise that authority, and to lawfully authorize its undersigned signatory to execute this Grant, or any part thereof, and to bind Grantee to its terms. If requested by the State, Grantee shall provide the State with proof of Grantee's authority to enter into this Grant within 15 days of receiving such request. C. Licenses, Permits, Etc. Grantee represents and warrants that as of the Effective Date it has, and that at all times during the term hereof it shall have, at its sole expense, all licenses, certifications, approvals, insurance, permits, and other authorization required by law to perform its obligations hereunder. Grantee warrants that it shall maintain all necessary licenses, certifications, approvals, insurance, permits, and other authorizations required to properly perform this Grant, without reimbursement by the State or other adjustment in Grant Funds. Additionally, all employees and agents of Grantee performing Services under this Grant shall hold all required licenses or certifications, if any, to perform their responsibilities. Grantee, if a foreign corporation or other foreign entity transacting business in the State of Colorado, further warrants that it currently has obtained and shall maintain any applicable certificate of authority to transact business in the State of Colorado and has designated a registered agent in Colorado to accept service of process. Any revocation, withdrawal or non- renewal of licenses, certifications, approvals, insurance, permits or any such similar requirements necessary for Grantee to properly perform the terms of this Grant shall be ', . -,~eeta~d·to bt ·a mater:ial breach by Grantee and constitute grounds for termination of this Grant. 13. INSURANCE Grantee and its Subgrantees shall obtain and maintain insurance as specified in this section at all times during the term of this Grant: All policies evidencing the insurance coverage required hereunder shall be issued by insurance companies satisfactory to Grantee and the State. A. Grantee i. Public Entities If Grantee is a "public entity" within the meaning of the Colorado Governmental Immunity Act, CRS §24-10-101, et seq., as amended (the "GIA"), then Grantee shall maintain at all times during the term of this Grant such liability insurance, by commercial policy or self-insurance, as is necessary to meet its liabilities under the GIA. Grantee shall show proof of such insurance satisfactory to the State, if requested by the State. Grantee shall require each Grant with Subgrantees that are public entities, providing Goods or Services hereunder, to include the insurance requirements necessary to meet Subgrantee's liabilities under the GIA. ii. Non-Public Entities If Grantee is not a "public entity" within the meaning of the GIA, Grantee shall obtain and maintain during the term of this Grant insurance coverage and policies meeting the same requirements set forth in §13(B) with respect to Subgrantees that are not "public entities". B. Grantee and Subgrantees Grantee shall require each Grant with Subgrantees, other than those that are public entities, providing Goods or Services in connection with this Grant, to include insurance requirements substantially similar to the following: i. Worker's Compensation Worker's Compensation Insurance as required by State statute, and Employer's Liability Insurance covering all of Grantee and Subgrantee employees acting within the course and scope of their employment. ii. General Liability Page7 Commercial General Liability Insurance written on ISO occurrence form CG 00 01 10/93 or equivalent, covering premises operations, fire damage, independent contractors, • products and completed operations, blanket contractual liability, personal injury, and advertising liability with minimum limits as follows: (a) $1,000,000 each occurrence; (b) $1,000,000 general aggregate; (c) $1,000,000 products and completed operations aggregate; and (d) $50,000 any one fire. If any aggregate limit is reduced below $1,000,000 because of claims made or paid, Subgrantee shall immediately obtain additional insurance to restore the full aggregate limit and furnish to Grantee a certificate or other document satisfactory to Grantee showing compliance with this provision. iii. Automobile Liability Automobile Liability Insurance covering any auto (including owned, hired and non- owned autos) with a minimum limit of $1,000,000 each accident combined single limit. iv. Additional Insured Grantee and the State shall be named as additional insured on the Commercial General Liability and Automobile Liability Insurance policies (leases and construction Grants require additional insured coverage for completed operations on endorsements CG 2010 11/85, CG 2037, or equivalent). v. Primacy of Coverage Coverage required of Grantee and Subgrantees shall be primary over any insurance or self-insurance program carried by Grantee or the State. vi:' Cancellation The above insurance policies shall include provisions preventing cancellation or non- renewal without at least 45 days prior notice to the Grantee and Grantee shall forward such notice to the State in accordance with §16 (Notices and Representatives) within seven days of Grantee's receipt of such notice. vii. Subrogation Waiver All insurance policies in any way related to this Grant and secured and maintained by Grantee or its Subgrantees as required herein shall include clauses stating that each carrier shall waive all rights of recovery, under subrogation or otherwise, against Grantee or the State, its agencies, institutions, organizations, officers, agents, employees, and volunteers. C. Certificates Grantee and all Subgrantees shall provide certificates showing insurance coverage required hereunder to the State within seven business days of the Effective Date of this Grant. No later than 15 days prior to the expiration date of any such coverage, Grantee and each Subgrantee shall deliver to the State or Grantee certificates of insurance evidencing renewals thereof. In addition, upon request by the State at any other time during the term of this Grant or any subgrant, Grantee and each Subgrantee shall, within 10 days of such request, supply to the State evidence satisfactory to the State of compliance with the provisions of this §13. 14.BREACH A. Defined In addition to any breaches specified in other sections of this Grant, the failure of either Party to perform any of its material obligations hereunder, in whole or in part or in a timely or satisfactory manner, constitutes a breach. The institution of proceedings under any bankruptcy, insolvency, reorganization or similar law, by or against Grantee, or the appointment of a receiver or similar officer for Grantee or any of its property, which is not • vacated or fully stayed within 20 days after the institution or occurrence thereof, shall also • constitute a breach. Page 8 B. Notice and Cure Period In the event of a breach, notice of such shall be given in writing by the aggrieved Party to the other Party in the manner provided in §16. If such breach is not cured within 30 days of receipt of written notice, or if a cure cannot be completed within 30 days, or if cure of the breach has not begun within 30 days and pursued with due diligence, the State may exercise any of the remedies set forth in §15. Notwithstanding anything to the contrary herein, the State, in its sole discretion, need not provide advance notice or a cure period and may immediately terminate this Grant in whole or in part if reasonably necessary to preserve public safety or to prevent immediate public crisis. 15. REMEDIES If Grantee is in breach under any provision of this Grant, the State shall have all of the remedies listed in this §15 in addition to all other remedies set forth in other sections of this Grant following the notice and cure period set forth in §14(B). The State may exercise any or all of the remedies available to it, in its sole discretion, concurrently or consecutively. A. Termination for Cause and/or Breach If Grantee fails to perform any of its obligations hereunder with such diligence as is required to ensure its completion in accordance with the provisions of this Grant and in a timely manner, the State may notify Grantee of such non·performance in accordance with the provisions herein. If Grantee thereafter fails to promptly cure such non-performance within the cure period, the State, at its option, may terminate this entire Grant or such part of this Gnnt 'Hl to which there has been delay or a failure to propP.:rly :rierfor.m. E.xercise by the State of this right shall not be deemed a breach of its obligations hereunder. Grantee shall continue performance of this Grant to the extent not terminated, if any. i. Obligations and Rights To the extent specified in any termination notice, Grantee shall not incur further obligations or render further performance hereunder past the effective date of such notice, and shall terminate outstanding orders and subcontracts with third parties. However, Grantee shall complete and deliver to the State all Work, Services and Goods not cancelled by the termination notice and may incur obligations as are necessary to do so within this Grant's terms. At the sole discretion of the State, Grantee shall assign to the State all of Grantee's right, title, and interest under such terminated orders or subcontracts. Upon termination, Grantee shall take timely, reasonable and necessary action to protect and preserve property in the possession of Grantee in which the State has an interest. All materials owned by the State in the possession of Grantee shall be immediately returned to the State. All Work Product, at the option of the State, shall be delivered by Grantee to the State and shall become the State's property. ii. Payments The State shall reimburse Grantee only for accepted performance up to the date of termination. If, after termination by the State, it is determined that Grantee was not in breach or that Grantee's action or inaction was excusable, such termination shall be treated as a termination in the public interest and the rights and obligations of the Parties shall be the same as if this Grant had been terminated in the public interest, as described herein. iii. Damages and Withholding Notwithstanding any other remedial action by the State, Grantee also shall remain liable to the State for any damages sustained by the State by virtue of any breach under this Grant by Grantee and the State may withhold any payment to Grantee for the purpose of mitigating the State's damages, until such time as the exact amount of damages due to the State from Grantee is determined. The State may withhold any amount that may be due to Grantee as the State deems necessary to protect the State, including loss as a result of outstanding liens or claims of former lien holders, or to Page 9 reimburse the State for the excess costs incurred in procuring similar goods or services. • Grantee shall be liable for excess costs incurred by the State in procuring from third parties replacement Work, Services or substitute Goods as cover. B. Early Termination in the Public Interest The State is entering into this Grant for the purpose of carrying out the public policy of the State of Colorado, as determined by its Governor, General Assembly, and/or Courts. If this Grant ceases to further the public policy of the State, the State, in its sole discretion, may terminate this Grant in whole or in part. Exercise by the State of this right shall not constitute a breach of the State's obligations hereunder. This subsection shall not apply to a termination of this Grant by the State for cause or breach by Grantee, which shall be governed by §15(A) or as otherwise specifically provided for herein. i. Method and Content The State shall notify Grantee of such termination in accordance with §16. The notice shall specify the effective date of the termination and whether it affects all or a portion of this Grant. ii. Obligations and Rights Upon receipt of a termination notice, Grantee shall be subject to and comply with the same obligations and rights set forth in §15(A)(i). iii. Payments If this Grant is terminated by the State pursuant to this §15(B), Grantee shall be paid an amount which bears the same ratio to the total reimbursement under this Grant as the Services satisfactorily performed bear to the total Services covered by this Grant, less payments previously made. Additionally, if this Grant is less than 60% completed, the State may reimburse Grantee for a portion of actual out-of-pocket expenses (not otherwise reimbursed under this Grant) incurred by Grantee which are directly attributable to the uncompleted portion of Grantee's obligations hereunder; provided • that the sum of any and all reimbursement shall not exceed the maximum amount payable to Grantee hereunder. C. Remedies Not Involving Termination The State, in its sole discretion, may exercise one or more of the following remedies in addition to other remedies available to it: i. Suspend Performance Suspend Grantee's performance with respect to all or any portion of this Grant pending necessary corrective action as specified by the State without entitling Grantee to an adjustment in price/cost or performance schedule. Grantee shall promptly cease performance and incurring costs in accordance with the State's directive and the State shall not be liable for costs incurred by Grantee after the suspension of performance under this provision. ii. Withhold Payment Withhold payment to Grantee until corrections in Grantee's performance are satisfactorily made and completed. iii. Deny Payment Deny payment for those obligations not performed, that due to Grantee's actions or inactions, cannot be performed or, if performed, would be of no value to the State; provided, that any denial of payment shall be reasonably related to the value to the State of the obligations not performed. iv. Removal Demand removal of any of Grantee's employees, agents, or Subgrantees whom the State deems incompetent, careless, insubordinate, unsuitable, or otherwise unacceptable, or Page 10 whose continued relation to this Grant is deemed to be contrary to the public interest or not in the State's best interest. v. Intellectual Property If Grantee infringes on a patent, copyright, trademark, trade secret or other intellectual property right while performing its obligations under this Grant, Grantee shall, at the State's option (a) obtain for the State or Grantee the right to use such products and services; (b) replace any Goods, Services, or other product involved with non-infringing products or modify them so that they become non-infringing; or, (c) if neither of the foregoing alternatives are reasonably available, remove any infringing Goods, Services, or products and refund the price paid therefore to the State. 16. NOTICES and REPRESENTATIVES Each individual identified below is the principal representative of the designating Party. All notices required to be given hereunder shall be hand delivered with receipt required or sent by certified or registered mail to such Party's principal representative at the address set forth below. In addition to, but not in lieu of a hard-copy notice, notice also may be sent by e-mail to the e-mail addresses, if any, set forth below. Either Party may from time to time designate by written notice substitute addresses or persons to whom such notices shall be sent. Unless otherwise provided herein, all notices shall be effective upon receipt. A. State: Becky Calomino Department of Law-POST 1300 Broadway, 9th_F_l_o_or _____ --1 Denver, CO 80203 Emailbeckv.calomino@coag.gov B. Grantee: Chief John Collins 17. RIGHTS IN DATA, DOCUMENTS, AND COMPUTER SOFTWARE Any software, research, reports, studies, data, photographs, negatives or other documents, drawings, models, materials, or Work Product of any type, including drafts, prepared by Grantee in the performance of its obligations under this Grant shall be the exclusive property of the State and, all Work Product shall be delivered to the State by Grantee upon completion or termination hereof. The State's exclusive rights in such Work Product shall include, but not be limited to, the right to copy, publish, display, transfer, and prepare derivative works. Grantee shall not use, willingly allow, cause or permit such Work Product to be used for any purpose other than the performance of Grantee's obligations hereunder without the prior written consent of the State. 18. GOVERNMENTAL IMMUNITY Notwithstanding any other provision to the contrary, nothing herein shall constitute a waiver, express or implied, of any of the immunities, rights, benefits, protection, or other provisions of the Colorado Governmental Immunity Act, CRS §24-10-101, et seq., as amended. Liability for claims for injuries to persons or property arising from the negligence of the State of Colorado, its departments, institutions, agencies, boards, officials, and employees is controlled and limited by the provisions of the Governmental Immunity Act and the risk management statutes, CRS §24-30-1501, et seq., as amended. 19. STATEWIDE GRANT MANAGEMENT SYSTEM If the maximum amount payable to Grantee under this Grant is $100,000 or greater, either on the Effective Date or at anytime thereafter, this §19 applies. Page 11 Grantee agrees to be governed, and to abide, by the provisions of CRS §24-102-205, §24-102-206, §24-103- 601, §24-103.5-101 and §24-105-102 concerning the monitoring of vendor performance on state Grants and inclusion of Grant performance information in a statewide Grant management system. Grantee's performance shall be subject to Evaluation and Review in accordance with the terms and conditions of this Grant, State law, including CRS §24-103.5-101, and State Fiscal Rules, Policies and Guidance. Evaluation and Review of Grantee's performance shall be part of the normal Grant administration process and Grantee's performance will be systematically recorded in the statewide Grant Management System. Areas of Evaluation and Review shall include, but shall not be limited to quality, cost and timeliness. Collection of information relevant to the performance of Grantee's obligations under this Grant shall be determined by the specific requirements of such obligations and shall include factors tailored to match the requirements of Grantee's obligations . Such performance information shall be entered into the statewide Grant Management System at intervals established herein and a final Evaluation, Review and Rating shall be rendered within 30 days of the end of the Grant term. Grantee shall be notified following each performance Evaluation and Review, and shall address or correct any identified problem in a timely manner and maintain work progress. Should the final performance Evaluation and Review determine that Grantee demonstrated a gross failure to meet the performance measures established hereunder, the Executive Director of the Colorado Department of Personnel & Administration (Executive Director), upon request by the DOL, and showing of good cause, may debar Grantee and prohibit Grantee from bidding on future Grants . Grantee may contest the final Evaluation, Review and Rating by: (a) filing rebuttal statements, which may result in either removal or correction of the evaluation (CRS §24-105-102(6)), or (b) under CRS §24-105- -lO~G), exercising the debarme;•t pro.test and appeal .rights pr0-,:l dcd in CRS §§24-Vi'i-106, 107, 2~1 0 1 202, which may result in the reversal of the debarment and reinstatement of Grantee, by the Executive Director, upon a showing of good cause. 20. GENERAL PROVISIONS A. Assignment and Subgrants Grantee's rights and obligations hereunder are personal and may not be transferred, assigned or subgranted without the prior, written consent of the State. Any attempt at assignment, transfer, or subgranting without such consent shall be void. All assignments, sub grants, or Sub grantees approved by Grantee or the State are subject to all of the provisions hereof. Grantee shall be solely responsible for all aspects of subgranting arrangements and performance. B. Binding Effect Except as otherwise provided in §20(A), all provisions herein contained, including the benefits and burdens, shall extend to and be binding upon the Parties' respective heirs, legal representatives, successors, and assigns. C. Captions The captions and headings in this Grant are for convenience of reference only, and shall not be used to interpret, define, or limit its provisions. D. Counterparts This Grant may be executed in multiple identical original counterparts, all of which shall constitute one agreement. E. Entire Understanding This Grant represents the complete integration of all understandings between the Parties and all prior representations and understandings, oral or written, are merged herein. Prior or contemporaneous additions, deletions, or other changes hereto shall not have any force or effect whatsoever, unless embodied herein. F. Indemnification-General Page 12 • • • Grantee shall indemnify, save, and hold harmless the State, its employees and agents, against any and all claims, damages, liability and court awards including costs, expenses, and attorney fees and related costs, incurred as a result of any act or omission by Grantee, or its employees, agents, Subgrantees, or assignees pursuant to the terms of this Grant; however, the provisions hereof shall not be construed or interpreted as a waiver, express or implied, of any of the immunities, rights, benefits, protection, or other provisions, of the Colorado Governmental Immunity Act, CRS §24-10-101 et seq., or the Federal Tort Claims Act, 28 U.S.C. 2671 et seq., as applicable, as now or hereafter amended. G. Jurisdiction and Venue All suits, actions, or proceedings related to this Grant shall be held in the State of Colorado and exclusive venue shall be in the City and County of Denver. H. Modification i. By the Parties Except as specifically provided in this Grant, modifications of this Grant shall not be effective unless agreed to in writing by the Parties in an amendment to this Grant, properly executed and approved in accordance with applicable Colorado State law, State Fiscal Rules, and Office of the State Controller Policies, including, but not limited to, the policy entitled MODIFICATIONS OF CONTRACTS -TOOLS AND FORMS. ii. By Operation of Law This Grant is subject to such modifications as may be required by changes in Federal or Colorado State law, or their implementing regulations. Any such required modification automatically shall be incorporated into and be part cif this Grant on the effective date of such change, as if fully set forth herein. I. Order of Precedence The provisions of this Grant shall govern the relationship of the Parties. In the event of conflicts or inconsistencies between this Grant and its exhibits and attachments including, but not limited to, those provided by Grantee, such conflicts or inconsistencies shall be resolved by reference to the documents in the following order of priority: i. Colorado Special Provisions, ii. The provisions of the main body of this Grant, iii. Exhibit A, iv. Exhibit B, v. Exhibit C. J. Severability Provided this Grant can be executed and performance of the obligations of the Parties accomplished within its intent, the provisions hereof are severable and any provision that is declared invalid or becomes inoperable for any reason shall not affect the validity of any other provision hereof. K. Survival of Certain Grant Terms Notwithstanding anything herein to the contrary, provisions of this Grant requiring continued performance, compliance, or effect after termination hereof, shall survive such termination and shall be enforceable by the State if Grantee fails to perform or comply as required. L. Taxes The State is exempt from all federal excise taxes under IRC Chapter 32 (No. 84-730123K) and from all State and local government sales and use taxes under CRS §§39-26-101and201 et seq. Such exemptions apply when materials are purchased or services rendered to benefit the State; provided however, that certain political subdivisions (e.g., City of Denver) may require payment of sales or use taxes even though the product or service is provided to the Page 13 State. Grantee shall be solely liable for paying such taxes as the State is prohibited from • paying for or reimbursing Grantee for them. M. Third Party Beneficiaries Enforcement of this Grant and all rights and obligations hereunder are reserved solely to the Parties, and not to any third party. Any services or benefits which third parties receive as a result of this Grant are incidental to the Grant, and do not create any rights for such third parties. N. Waiver Waiver of any breach of a term, provision, or requirement of this Grant, or any right or remedy hereunder, whether explicitly or by lack of enforcement, shall not be construed or deemed as a waiver of any subsequent breach of such term, provision or requirement, or of any other term, provision, or requirement. 0. CORA Disclosure To the extent not prohibited by federal law, this Grant and the performance measures and standards under CRS §24-103.5-101, if any, are subject to public release through the Colorado Open Records Act , CRS §24-72-101, et seq. THE REST OF THIS PAGE INTENTIONALLY LEFT BLANK Page 14 • • 21. COLORADO SPECIAL PROVISIONS These Special Provisions apply to all Grants except where noted in italics. A. CONTROLLER'S APPROVAL. CRS §24-30-202 (1) This Grant shall not be deemed valid until it has been approved by the Colorado State Controller or designee. B. FUND AVAILABILITY. CRS §24-30-202(5.5) Financial obligations of the State payable after the current fiscal year are contingent upon funds for that purpose being appropriated, budgeted, and otherwise made available. C. GOVERNMENTAL IMMUNITY No term or condition of this Grant shall be construed or interpreted as a waiver, express or implied, of any of the immunities, rights, benefits, protections, or other provisions, of the ·. Colorado Governmental Immunity Act, CRS §24-10-101 et seq., or the Federal Tort Claims Act, 28 U.S.C. §§1346(b) and 2671 et seq., as applicable now or hereafter amended. D. INDEPENDENT CONTRACTOR Grantee shall perform its duties hereunder as an independent contractor and not as an employee. Neither Grantee nor any agent or employee of Grantee shall be deemed to be an agent or employee of the State. Grantee and its employees and agents are not entitled to unemployment insurance or workers compensation benefits through the State and the State shall not pay for or otherwise provide such coverage for Grantee or any of its agents or employees. Unemployment insurance benefits will be available to Grantee and its employees and agents only if such coverage is made available by Grantee or a third party. G:rantee shall pay when due all applicable employment taxes and income taxes and local head taxes incurred pursuant to this Grant. Grantee shall not have authorization, express or implied, to bind the State to any agreement, liability or understanding, except as expressly set forth herein. Grantee shall (a) provide and keep in force workers' compensation and unemployment compensation insurance in the amounts required by law, (b) provide proof thereof when requested by the State, and (c) be solely responsible for its acts and those of its employees and agents. E. COMPLIANCE WITH LAW Grantee shall strictly comply with all applicable federal and State laws, rules, and regulations in effect or hereafter established, including, without limitation, laws applicable to discrimination and unfair employment practices. F. CHOICE OF LAW Colorado law, and rules and regulations issued pursuant thereto, shall be applied in the interpretation, execution, and enforcement of this grant. Any provision included or incorporated herein by reference which conflicts with said laws, rules, and regulations shall be null and void. Any provision incorporated herein by reference which purports to negate this or any other Special Provision in whole or in part shall not be valid or enforceable or available in any action at law, whether by way of complaint, defense, or otherwise. Any provision rendered null and void by the operation of this provision shall not invalidate the remainder of this Grant, to the extent capable of execution. G. BINDING ARBITRATION PROHIBITED The State of Colorado does not agree to binding arbitration by any extra-judicial body or person. Any provision to the contrary in this Grant or incorporated herein by reference shall be null and void. H. SOFTWARE PIRACY PROHIBITION Governor's Executive Order D 002 00 State or other public funds payable under this Grant shall not be used for the acquisition, operation, or maintenance of computer software in violation of federal copyright laws or applicable licensing restrictions. Grantee hereby certifies and warrants that, during the term of this Grant and any extensions, Grantee has and shall maintain in place appropriate Page 15 systems and controls to prevent such improper use of public funds. If the State determines that Grantee is in violation of this provision, the State may exercise any remedy available at • law or in equity or under this Grant, including, without limitation, immediate termination of this Grant and any remedy consistent with federal copyright laws or applicable licensing restrictions. I. EMPLOYEE FINANCIAL INTEREST/CONFLICT OF INTEREST. CRS §§24-18-201 and 24-50-507 The signatories aver that to their knowledge, no employee of the State has any personal or beneficial interest whatsoever in the service or property described in this Grant. Grantee has no interest and shall not acquire any interest, direct or indirect, that would conflict in any manner or degree with the performance of Grantee's services and Grantee shall not employ any person having such known interests. J. VENDOR OFFSET. CRS §§24-30-202 (1) and 24-30-202.4 [Not applicable to intergovernmental agreements] Subject to CRS §24-30-202.4 (3.5), the State Controller may withhold payment under the State's vendor offset intercept system for debts owed to State agencies for: (a) unpaid child support debts or child support arrearages; (b) unpaid balances of tax, accrued interest, or other charges specified in CRS §39-21-101, et seq.; (c) unpaid loans due to the Student Loan Division of the Department of Higher Education; (d) amounts required to be paid to the Unemployment Compensation Fund; and (e) other unpaid debts owing to the State as a result of final agency determination or judicial action. K. PUBLIC GRANTS FOR SERVICES. CRS §8-17.5-101 [Not applicable to agreements relating to the offer, issuance, or sale of securities, investment advisory services or fund management services, sponsored projects, intergovernmental agreements, or information technology services or products and • services] Grantee certifies, warrants, and agrees that it does not knowingly employ or contract with an illegal alien who will perform work under this Grant and will confirm the employment eligibility of all employees who are newly hired for employment in the United States to perform work under this Grant, through participation in the E-Verify Program or the State program established pursuant to CRS §8-17.5-102(5)(c), Grantee shall not knowingly employ or contract with an illegal alien to perform work under this Grant or enter into a grant with a Subgrantee that fails to certify to Grantee that the Subgrantee shall not knowingly employ or contract with an illegal alien to perform work under this Grant. Grantee (a) shall not use E-Verify Program or State program procedures to undertake pre- employment screening of job applicants while this Grant is being performed, (b) shall notify the Subgrantee and the granting State agency within three days if Grantee has actual knowledge that a Subgrantee is employing or contracting with an illegal alien for work under this Grant, (c) shall terminate the subgrant if a Subgrantee does not stop employing or contracting with the illegal alien within three days of receiving the notice, and (d) shall comply with reasonable requests made in the course of an investigation, undertaken pursuant to CRS §8-17 .5-102(5), by the Colorado Department of Labor and Employment. If Grantee participates in the State program, Grantee shall deliver to the granting State agency, Institution of Higher Education or political subdivision, a written, notarized affirmation, affirming that Grantee has examined the legal work status of such employee, and shall comply with all of the other requirements of the State program. If Grantee fails to comply with any requirement of this provision or CRS §8-17.5-101 et seq., the granting State agency, institution of higher education or political subdivision may terminate this Grant for breach and, if so terminated, Grantee shall be liable for damages. L. PUBLIC GRANTS WITH NATURAL PERSONS. CRS §24-76.5-101 • Grantee, if a natural person eighteen (18) years of age or older, hereby swears and affirms under penalty of perjury that he or she (a) is a citizen or otherwise lawfully present in the Page 16 United States pursuant to federal law, (b) shall comply with the provisions of CRS §24-76.5- 101 et seq., and (c) has produced one form of identification required by CRS §24-76.5-103 prior to the effective date of this Grant. SPs Effective 111/09 THE REST OF THIS PAGE INTENTIONALLY LEFT BLANK Page 17 22. SIGNATURE PAGE Grant Routing Number THE PARTIES HERETO HAVE EXECUTED THIS GRANT * Persons signing for Grantee hereby swear and affirm that they are authorized to act on Grantee's behalf and acknowledge that the State is relying on their representations to that effect. CITY OF ENGLEWOOD STATE OF COLORADO Cynthia H. Coffman, Attorney General by and through Print Name: John Collins Title: Chiefof Police Colorado Attorney General's Office Department of Law By: _______________ _ *Signature Melanie J. Snyder, Chief of Staff Date: _________ _ Date: _________ _ .A!..:L GRANTS REQUIE,E A~PROVAL BY THE STATE CONTROLLER .. CRS §24-30-202 requires the State Controller to approve all State Grants. This Grant is not valid until signed and dated below by the State Controller or delegate. Grantee is not authorized to begin performance until such time. If Grantee begins performing prior thereto, the State of Colorado is not obligated to pay Grantee for such performance or for any goods and/or services provided hereunder. STATE CONTROLLER Robert Jaros, CPA, MBA, JD By: _________________ _ Melissa Moynham, Controller Colorado Department of Law Date: ________ _ Page 18 • • • EXHIBIT A-STATEMENT OF WORK All terms not defined in this Exhibit A shall be the meaning given in the main body of the Grant. 1. PROJECT DESCRIPTION 1.1 Work. Grantee has submitted a Grant Application (Exhibit B) to POST detailing the Work to be performed by Grantee throughout the term of this Grant. Grantee agrees to complete the Work identified in Exhibit B by the Grant termination date specified in §S(A). 2. PERSONNEL 2.1 Replacement. Grantee shall immediately notify POST if the Responsible Administrator specified in §2.2 ceases to serve . Provided there is a good-faith reason for the change, if Grantee wishes to replace its key personnel, it shall notify POST and seek its approval, which shall be at POST's sole discretion as the State issued this Grant in part reliance on Grantee's representation regarding key personnel. Such notice shall specify why the change is necessary, who the proposed replacement is, what their qualifications are, and when the change will take effect. Anytime key personnel cease to serve, the State, in its sole discretion may direct Grantee to suspend work on the Project until such time as their replacement is approved. · 2.2 Responsible Administrator. Grantee's performance hereunder shall be under the direct supervision of Chief John Collins an employee or agent of the Grantee, who is hereby designated as the responsible administrator of this Project. 3. BUDGET 3.1 Budget. The maximum amount payable under this Grant to Grantee by the State is $513,397.50. 3.2 Budget Flexibility. Grantee may adjust indiviudal budget line item expenditure amounts within an indiviudal training course without approval of POST, provided that, there is no increase to the administrative line items, and the cummulative budgetary line item changes do not exceed ten percent (10%) of the total budgeted amount of the line item. All other budgetary modifications shall require POST approval in accordance with the Modification subsection of the General Provisions of this Grant. 4. PAYMENT 4.1 Payment. Grantee shall submit a request for reimbursement at a minimum on a calendar quarter basis. All invoices must be submitted within 60 days of the training date to be eligible for payment. All requests shall be for eligible expenses, as described in detail in Exhibit B using the Grant Management System and accompanied by supporting documentation equal to 100% of the reimbursement request and applicable POST-approved Student Attendance Roster or Certificate of Completion and a completed reimbursement form. 4.2 Final Payment. The final grant payment request must be requested no later than June 3Qth and shall include only actual expenses for training attended or equipment purchased prior to June 3Qth. Payment for training can only be approved for actual services received or performed and completed by June 3Qth. Equipment purchases must be made and the receipt of the equipment must be completed by June 3Qth to be eligible for payment. 4.3 Electronic Fund Transfer. Payments shall be remitted by electronic fund transfer. Exhibit A-I S. ADMINISTRATIVE REQUIREMENTS 5.1 Accounting. Grantee shall maintain properly segregated accounts of Grant Funds and other funds associated with the Work and make those records available to the State upon request. Grantee must have a system that classifies all revenues and expenditures by funding source. The accounting system must be designed with an adequate method of internal controls to safeguard the funds. Expenditures must be tracked and reconciled with the general ledger. 5.2 Allowable Program Costs. Expenditures shall be in accordance with the approved budget detailed in Exhibit B. 5.3 Audits. Grantee is required to submit to DOL any audit performed for any fiscal year covering a portion of the term of this Grant or any other grants/contracts with DOL. Such audits include but are not limited to a financial-statement audit or single audit in accordance with the Office of Management and Budget's (OMB) A-133 is required when non-federal entities expend $500,000 or more in federal awards in the entity's fiscal year. Grantee shall insure that audits required are performed and submitted to POST within 6 months of Grantee's fiscal year-end. The final audit report shall be sent to: Department of Law Criminal Justice Section, POST Attention: Becky Calomino, Grant Manager 1300 Broadway, 9th Floor Duriver:· CO 80203 · 5.4 Reporting. Grantee shall submit the following reports, and any other reports requested by POST using the State-provided reporting forms by their due date. A report must be • submitted for every calendar quarter, including partial calendar quarters, as well as for • periods where no grant activity occurs. Future awards and fund draw-downs may be withheld if these reports are delinquent. Report Period Report Tv1>e Due Date July 1st-September 30th Progress and Financial October 31st October 1st-December 31st Progress and Financial January 31st January 1st-March 31st Progress and Financial April 30th April 1st-June 30th Final Progress and Final Financial July 31st 5.5 Reporting of Unexpended Funds. Grantee shall inform POST in writing, no later than March 31, 2017 of the status of any potential unexpended balance. Grantees failure to notify POST of any unexpended balance may result in the reduction or termination of future awards. 5.6 Monitoring. The State shall monitor this Grant through review of submitted reports and other documents as necessary, or may also conduct on-site monitoring of the Grantee to determine whether performance goals, administrative standards, financial management and other requirements of the Grant have been met. 5. 7 Mandatory Attendance. Grantee attendance at webinars and trainings conducted by POST to enhance the administration of the Grant program is required. Grantee will be notified of all such training at least 30 days in advance and shall be reimbursed by POST for per diem and lodging. 5.8 POST Acknowledgement. Grantees are encouraged to make the results and accomplishments of their project activities available to the public. All materials published or resulting from award activities, including videos must contain an acknowledgement of POST support. 5.9 Publications. The grant recipient agrees that any publications, whether written, visual or audio, but excluding press releases, newsletters and issue analysis, issued by the ExhibitA-2 • grantee describing training funded in whole or part shall contain the following statement: "This training was supported by a grant from the State of Colorado Office of Peace Officer Standards and Training". 5.10 Curriculum and Instructor Review. All training courses (except for scholarship training) and instructors funded by the POST Region Grant Program must be reviewed by POST and assigned a course number prior to the course start date. The Course Approval form and an example of the course outline are available on the POST website. 5.il Eligible Training Recipients. POST funds are for peace officers who are current employees oflaw enforcement agencies within the State of Colorado. Civilian employees, civilian employees of law enforcement agencies or military personnel may enroll in these courses only if there are extra spaces available and no peace officers are displaced or wait listed. Civilian and military personnel may not be provided POST funds for scholarships, nor may funds be used to provide refreshments or class supplies. If personnel attending classes are not peace officers the Training Region is responsible to remove their names from the attendance roster prior to submitting the roster to POST. Grantees may not include civilian or military personnel in their reporting numbers to POST or include them in the number of students attending in the grant management data base. 5.12 Ineligible Training Recipients: Law enforcement agencies who are suspended from receiving or attending any POST funded training may not benefit from POST-funded classes. The suspension remains in affect until December 31, 2016. The Contractor is responsible to ensure officers from these agencies are not the recipients of POST-funded ''" · · ·tr21:lniY1g. POS1i 1·18 not,liable to reimburse the Contractorfor personnel a~ttnciiug ~.!.asses from law enforcement agencies who are suspended from receiving or attending POST- funded training. The following law enforcement agencies are suspended from receiving or attending any POST funded training until December 31, 2016: Agency Name Training Agency Name Training Rer;don Region Aguilar Marshal's Office Southeast Manassa Police Department San Luis Valley Antonito Police Department San Luis Valley Manzanola Police Department Southeast Brush Police Department Northeast Mount Crested Butte Police Dept. West Central Collbran Marshal's Office West Central Nederland Police Department North Central Colorado Springs Police Dept. Central Mountain Oak Creek Police Department Northwest Costilla County Sheriff's Office San Luis Valley Olathe Police Department West Central Del Norte Police Department San Luis Valley Pitkin County Sheriff's Office I-70 West Denver Police Department Greater Metro Rio Grande County Sheriff's Office San Luis Valley Fort Lupton Police Department North Central Saguache County Sheriffs Office San Luis Valley Gilpin County Sheriff's Office Greater Metro San Miguel County Sheriff's Office West Central Granada Police Department Southeast Sanford Police Department San Luis Valley Huerfano County Sheriffs Office Southeast South Fork Police Department San Luis Valley Jackson County Sheriff's Office North Central Wiggins Police Department Northeast La Jara Police Department San Luis Valley 5.13Equipment Report. If your grant purchased equipment a POST.Inventory Equipment Report form must be submitted for each equipment item by June 30th each year. Equipment records must be retained for seven (7) years from the date the report is submitted to POST. If any litigation, claim or audit is started before the expiration of the seven-year period, the records shall be retained until the litigation, claims, or audit findings involving records have been resolved. Exhibit A-3 5.14Retention of Records. All grant records must be retained for seven (7) years after the • end of the state fiscal year that includes the end date of the grant. For example, if the grant ended 6/30/2015, the state fiscal year would be July 1, 2015 to June 30, 2016. The files could be destroyed after June 30, 2023. If an audit is in progress and/or the findings of a completed audit have not been resolved satisfactorily, then records must be retained beyond the seven-year period until such issues are resolved. 5.15Grant Records. Grant records include all financial records, supporting documentation, statistical records, and all other records pertinent to the grant. These include books of original entry, source documents supporting accounting transactions, the general ledger, subsidiary ledgers, personnel and payroll records, consultant/volunteer time and activity reports, canceled checks, related documents and records. 5.16 Conflict of Interest. In addition to any other applicable laws, the provisions of this section shall apply to all POST grant agreements: The following individuals shall not solicit or accept, directly or indirectly, any personal benefit or promise of a benefit from the grant recipient or a person negotiating, doing business with, or planning, within the individual's knowledge, to negotiate or do business with the contracting agency: A member, or any other person or entity under contract with any governmental body that exercises any functions or responsibilities in the review or approval of the undertaking or carrying out of the project, including but not limited to any · >•··· ;::-· employee of the contracting agency or any person serving as foe m:onitor c.f a personal services contract or a member of the immediate family of any individual described above. No individual described in paragraph (2) of this subsection shall use his or her position, influence, or information concerning such negotiations, business, or plans to benefit him or herself or another. A grant recipient shall agree that at the time of contracting the grant recipient has no interest and shall not acquire any interest, direct or indirect, that would conflict in any manner or degree with the performance of the grant recipient's services. The grant recipient shall further covenant that, in the performance of the contract, the grant recipient shall not employ persons having any such known interests. 5.17Insurance. Grantee shall obtain and maintain insurance as specified in the grant agreement at all times during the term of the award. 5.18Revision to Guidelines. In response to new state regulations, or to changing circumstances among law enforcement training community or to resources available to peace officers, it may, from time to time, be necessary to change the POST Region Grant Program Guidelines. Changes impacting grant recipients will be communicated prior to their implementation and will only be implemented at the beginning of a grant cycle. THE REST OF THIS PAGE INTENTIONALLY LEFT BLANK Exhibit A-4 • • • • • EXHIBITB SUMMARY l 1 -:;;:~;-~_!;~~ _!;~::;::- ·~-~.~----·~··-·~-·-·l·~···-··-··-~=·----·-·i---~~-~··-·-- Scholarships j $70,000.00 I $70,000 .00 I S11btot::it . $466 ,7?6 .0Cl . . $466.7?.5 .00 Grant Management Program Delivery Grant Total $23,336.25 $23,336.25 $23,336.25 $23,336.25 $513,397 .50 $513,397.50 Comments: Exhibit B-1 Greater Metro Training Region Application FY 2016/2017 $513,397.50 TRAINING r·-----------------·----------·-·· --·· ----·------------------------------------·--~----------· ·-------··------------·--------·----. ----·--···-------··----·------------- ! Training 1 Interview and lnterogations l Class Date: From 10/17/2016 to 10/18/2016 I I I Description: Two-day patrol-based interview and interrogation class to help front line officers be more proficient at interviewing and interrogating suspects and arrestee's. Jim Bryne, Rocky Mountain Training Group, $175.00 per person, will teach up to 50 students. I I Training Category: Interview and Interrogation I Name of Facility: Broomfield PD I ll. Class Location: Broomfield, CO Hosting Agency: Brighton Police Department 1 Anticipated Number of Students: 50 j Estimated length of class: 16.0 hour(s) I Expense Categories Requested $4,000.00 $4,000.00 Approved $4 ,000.00 $4,000.00 Instructor Costs Total I I l. --··----------------------------------------··----·--··---···-··---------·-·-----------J -------------·------------·--·----·--------------·----·-·-------···---------··--·1 Training 2 Interviewing Sexual Deviants Class Date: From 9/12/2016 to 9/14/2016 Description: Interviewing and Understanding Sexual Deviant Behavior including Registered Sex Offenders. The discipline of interviewing both suspects and victims is a sensitive issue and has evolved over the past few years. this course has been designed to inform and educate individuals who are responsible for conducting these types of interviews and interrogations Training Category: Interview and Interrogation Name of Facility: Lakewood PD Class Location: Lakewood, CO Hosting Agency: Lakewood Police Department Anticipated Number of Students: 50 Estimated length of class: 24.0 hour(s) Expense Categories Requested Approved $9,500.00 $9,500.00 $9,500.00 $9,500.00 Exhibit B-2 Instructor Costs Total I I I I I I I I I I I I ----I • • • .1-~~~l~ln; 3 Bowm~~--------------------------------------------------------------------------------------------, r Class Date: From 1/30/2017 to 211/2017 Expense Categories • • I i i Description: "Simulation-based training for Command Post Operations" Very intense live training to instruct first responders in the art of setting up a command post in a critical incident. this includes Multi jurisdictional cooperation on scene which includes Fire EMS and Police. This class has been very well received in the Metro area and all agencies could and will benefit from this great hands on training. The class includes a min iature model city to conduct the simulated exercises. Training Category: Crime Scene Investigation Name of Facility: Parke _r PD Class Location: Parker, CO Hosting Agency: Parker Police Department Anticipated Number of Students: 24 Estimated length of class: 24.0 hour(s) Requested $17 ,500.00 $17,500.00 Approved $17 ,500.00 Instructor Costs $17,500.00 Total i. -·-------------------------------------------------------------------------------------------------______________________________ _j ------. ------------------------------------------·--------1 Training 4 0.0.D.A. Loop Class Date: From 8/29/2016 to 8/30/2016 Description: 0.0.D.A. Loop training is a two day Officer Survival training that covers all aspects of police work from patrol officers, Field training officers, School Resource officers, Detectives and SWAT officers. This training covers the mental side of officer survival as well as the tactical. This course teaches the survival mindset , danger signs of every situation, ambushes on officers, as well as teaching muscle memory for the brain and mind tactics to keep the officers one step ahead of every situation . Expense Categories Training Category: Other Name of Facility: Arvada PD Class Location: Arvada , CO Hosting Agency: Arvada Police Department Anticipated Number of Students: 45 Estimated length of class: 16.0 hour(s) Requested $8,200.00 $8,200.00 Exhibit B-3 Approved $8 ,200.00 $8,200.00 Instructor Costs Total I I I I ---------------------------.I -····----------·---·-----·--------··----··----·--·-···----··-··-···---·---·--···-·-·-·--···--· ·······-··-··---···---··-··---·-·1 Training 5 0.0.D.A. Loop Class Date: From 3/13/2017 to 3/14/2017 Description: 0.0.D.A. Loop training is a two day Officer SuNival training that covers all aspects of police work from patrol officers, Field training officers, School Resource officers, Detectives and SWAT officers. This training covers the mental side of officer suNival as well as the tactical. This course teaches the suNival mindset, danger signs of every situation, ambushes on officers, as well as teaching muscle memory for the brain and mind tactics to keep the officers one step ahead of every situation. Training Category: Other Name of Facility: Littleton PD Class Location: Littleton, CO Hosting Agency: Littleton Police Department Anticipated Number of Students: 45 Estimated length of class: 16.0 hour(s) Expense Categories Requested $8,200 .00 $8,200.00 Approved $8,200.00 $8,200.00 I Instructor Costs Total I --··----··--------·--·------·----·-------·-··--···-··----·-·---·· ---·-·····------· ···-···· ····--···--·-···---.... ------··---·---__ j -·-··· ..... -·---------····--····· ... ---·····--·--·-----··-·-·. ·--·--·--··--·-···· .... ---------·-----·--·-··--···-·· ···--·· ·-· ··--· -·----·------------------·-1 Training 6 CDR Class Date: 10/26/2016 Description: CDR is your vehicles "Black Box", this class teaches the officers how to download the Data from a vehicle into a computer program for accident reconstruction information. This Information is used by all accident reconstructionist to assist I the reconstruction of serious bodily injury and fatal car crashes. The information in the CDR is vital to speed, braking and direction of the vehicle and the t ime of the collision. (C.A.R.T.S . is the provider of this course) Training Category: Accident Investigation Name of Facility: Westminster PD Class Location: Westminster PD , CO Hosting Agency: Westminster Police Department Anticipated Number of Students: 1 O Estimated length of class: 16.0 hour(s) Expense Categories Requested $2,500.00 $2,500.00 Approved $2,500.00 $2,500.00 Exhibit B-4 Instructor Costs Total I I j I I I I I I i I ··-------··-...... --.•... I • • • r---------· --------------------··-----·--·-·--·-· ··------------·-·----·-·--------. --·----·-. -·-···-·· --·-· --··--·----·---------------1 I Training 7 CPTED • I Class Date: From 10/24/2016 to 10/26/2016 I I Expense Categories • Description: 3 day basic CPTED (Crime Prevention Through Environmental Design) course that accommodates 50 students in the basic class. Training Category: Miscellaneous Name of Facility: Aurora PD Class Location: Aurora , CO Requested $9,750.00 $9,750.00 Approved $9 ,750 .00 Instructor Costs $9,750.00 Total I I Hosting Agency: Aurora Police Department I i :~:::~.~-::~~=~~::_=o:~: ___ ----------..... ---.................. ··-__ J ---· ·-----------------------------·------·---------·-····----· -·---·· -··-·-·---· -·. ·--·-·---·---·----···-·-·---1 Training 8 Beyond the Cones Class Date: 11/16/2016 Description: "'Beyond the Cones" Police Driving safety awareness course is part of the below 100 initiative. Training Category: Driving Name of Facility: Westminster PD Class Location: Westminster, CO Hosting Agency: Westminster Police Department Anticipated Number of Students: 125 Estimated length of class: 8.0 hour(s) Training 9 Beyond the Cones Class Date: 5/31/2017 Description: "Beyond the Cones " Police Driving safety awareness course is part of the below 100 initiative. Training Category: Driving Name of Facility: Parker PD Class Location: Parker , CO Hosting Agency: Parker Police Department Anticipated Number of Students: 100 Expense Categories Requested Approved $5,900 .00 $5,900 .00 Instructor Costs $5,900.00 $5,900.00 Total I I I i I I . -· --· -------------·-·---' -·-····-· ··---···--· ·····-··--·· --··-·--1 Expense Categories I I Requested Approved i $5,900 .00 $5,900 .00 Instructor Costs $5,900.00 $5,900.00 Total • Estimated length of class: 8.0 hour(s) Exhibit B-5 r----------------.. -----------------------·---·-·--··--·----··-·---·--··--·----------------------·------ 1 Training 10 EVOC Instructor Course DR0016 i I Class Date: From 8/15/2016 to 8/19/2016 I i Description: This course training officers to be instructors in police pursuit driving that includes, backing, patrol driving and pursuits. This course is instructed by Denver PD Driving Instructors. Training Category: Driving Name of Facility: Denver PD Class Location: Denver, CO Hosting Agency: Denver Police Department Anticipated Number of Students: 40 Estimated length of class: 15 .0 hour(s) Expense Categories Requested Approved $9,000.00 $9,000.00 Instructor Costs $9,000.00 $9,000.00 Total i I ----·-----··---··---. ·----·-·----------·-------·---·-------·-·-·---·· ·--·-·-·-·-··----·------i 1--·------------------------------------··-·------·--·----· ---------------·---·---··--····-·---·---·------··----·-·-----1 j Training 11 EVOC Instructor Course DR0016 j I I :::ass O.:t :N7 rvm 9/26/2016 to 9/30/201 C ~;,:pai•<>e CatG ~ori ~~ Description: This course training officers to be instructors in police pursuit driving that includes, backing, patrol driving and pursuits . This course is instructed by CLEDSA Driving Instructors. Training Category: Driving Name of Facility: Adams County Training Class Location: Brighton , CO Hosting Agency: Adams County Sheriff's Office Anticipated Number of Students: 15 Estimated length of class: 40.0 hour(s) Requested Approved $9,000.00 $9,000 .00 Instructor Costs $9,000.00 $9,000.00 Total Exhibit B-6 • • • r ·---------·-·----------- • I Training 12 EVOC Instructor Course DR0016 I Class Date: From 11/14/2016 to 11/18/2016 Expense Categories ----·-·--··-······---·-··--·········· . ---------·----·----! i I I I I I I Description: This course training officers to be instructors in police pursuit driving that includes, backing, patrol driving and pursuits . This course is instructed by CLEDSA Driving Instructors. Training Category: Driving Name of Facility: Adams Co Training Class Location: Brighton , CO Hosting Agency: Adams County Sheriff's Office Anticipated Number of Students: 15 Estimated length of class: 40 .0 hour(s) Requested Approved $9,000.00 $9,000.00 Instructor Costs $9,000.00 $9,000.00 Total I L . ·-----------·--··-····------------·-------··--·-·-···--··-··---··--·--·-····-···-··--···•···---·-····---···--__I ,--·-----------····-···---·------------··---··-------·----------, i Training 13 EVOC 4x4 Instructor course DR0015 I i I I I -C-!&~"~·O~i~~·_,F ;c~-~~/S/2 n~·~r hJ 1/:l3:'2:17 · Exp a r.~s · Cate~o ri&::o .. Requested $5 ,400.00 Approved $5,400 .00 I i I Instructor Costs • i I Description: EVOC Driving course for Four Wheel Drive Police Vehicles, this course teaches the details and intricacies of driving a high profile vehicle in the pursuit driving situations. Training Category: Driving $5,400.00 $5,400.00 Total I • Name of Facility: Adco Training Class Location: Brighton , CO Hosting Agency: Adams County Sheriff's Office Anticipated Number of Students: 12 Estimated length of class: 24.0 hour(s) ·-·-· --·-···----·-··-·-····· .. ··-·-·-···---------·--··--······-····------..• -·-·-·-····· ·-· ··-·-··· .. ·· -···· .... .. ........ ...... ····· ··----·· ---·--··--·--······' Exhibit B-7 r·· ··-----·----·--·----------------------····------------------·-----·--------·--·------·· ----·-----------------·--·--·-··----·1 I Training 14 ADVANCED L.E. DRIVING INSTRUCTOR PROGRAM \ I Class Date: From 8/1/2016 to 8/19/2016 Expense Categories i ' Description: This is an 80-hour advanced skills Requested Approved I curriculum intended to provide those attending · course development and validation techniques, $14,500.00 $14,500.00 Instructor Costs I pursuit operations, pursuit ending techniques, high 1' center of gravity vehicle operations, adult $14,500.00 $14,500.00 Total instructional methodology, coaching skills, remedial 1· instruction, and additional skill building training for those who attend. This is a two week course that is \ both classroom and physical skills training. Those i attending must have successfully completed a I Colorado POST approved driving instructor program \ prior to the course, and will need to provide a copy of I their certificate to attend. I I Training Category: Driving I ! Name of Facility: Flatrock Training Class Location: Brighton , CO I I Hosting Agency: Adams County Sheriff's Office I ,_ .ft. 11tit.:i!);:.t~~.Nurnbar nf .$tud~nt.s : 12, Estimated length of class: 80.0 hour(s) -·---------· -··-·---------------······------------····-··--·---··-·--·------·-· -----····· -··-· ...... ·--• ·--........ ··-··· ·---···-··· ... ·-......... -------· ... -------·-• ______ _j Training 15 WINTER DRIVING & ACCIDENT AVOIDANCE COURSE Class Date: 2/16/2017 Description: This is a 10-hour course that provides attendees exposure to operating vehicles in inclement weather and avoidance of vehicle accidents in winter conditions. Those attending will be provided repetitious practice in skid recovery, steering techniques in inclement weather, and skid management to augment vehicle performance in adverse weather conditions. This course will be conducted in winter months, and in a cold weather environment. Those wishing to attend should be prepared for operating a vehicle in extremely cold conditions. Training Category: Driving Name of Facility: ADCO Class Location: Brighton , CO Hosting Agency: Adams County Sheriff's Office Anticipated Number of Students: 12 Estimated length of class: 10.0 hour(s) Expense Categories Requested Approved $1,800.00 $1 ,800.00 Instructor Costs $1,800.00 $1,800.00 Total Exhibit B-8 • • • r·-;~~~ning 16 ~EHIC~E C~U-NT-ERAMBUS~ T~CHNI~~~~-;~~~~~------------------·-------\ • j Class Date: From 5/15/2017 to 5/18/2017 Expense Categories • • Description: This is a 40-hour course intended for members of specialized units responsible for high-risk transports (such as high profile inmate, at-risk witnesses, etc.). Training will be conducted in four 10-hour days. Those attending will be provided training in identifying ambush points and kill-zones, techniques in preventing and evading vehicle ambushes, dynamic vehicle operations, team operations, vehicle caravanning techniques, and transport planning. On the last day the attendees will be required to demonstrate these techniques in a variety of scenario based training. Those attending will need to complete a proficiency evaluation during the first day of training. This course is intended for those who have a better than average ability to operate vehicles, and must be a member of a I specialized unit within their agency. This course I requires a host agency to facilitate. There are I specific equipment and facility needs that include I classroom, AV equipment, training facility, training ! v ehicle~ f'q•.~ir,i!'.'~r! for1Vl/P!T t •a.ir.in0 ,.1'md . j Simunition training weapons. The total number of ! attendees is capped at 12. Training Category: Driving i Name of Facility: Flatrock Training i I Class Location: Brighton , CO : ! Hosting Agency: Adams County Sheriff's Office Anticipated Number of Students: 12 Estimated length of class: 40.0 hour(s) Requested Approved $4,800.00 $4,800 .00 Instructor Costs $4,800.00 $4,800.00 Total i i L ___________ ·----------------·-------·-------·-··---------···----·--·-·-----···-. -·----······-... --............. -. -... --------· -· ··-----____ J f "" ---·----------------··-·••-••-·-------··----·-·-__ ., ••• ••-•-• ·-··-··---•-Y•••"•--·--· ••• •·--•••--•• .......... ···---.... ··--·--·--·-···· ---············--· 1 I I I I i I I t Training 17 Advanced CPTED Class Date: From 6/5/2017 to 617/2017 Description: Advanced CPTED 3 day Advanced CPTED course accommodates 50 students in the advanced class Training Category: Miscellaneous Name of Facility: Jeffco SO Class Location: Golden, CO Hosting Agency: Jefferson County Sheriff's Office Anticipated Number of Students: 50 Estimated length of class: 24.0 hour(s) Expense Categories Requested Approved $8,400.00 $8,400.00 Instructor Costs $8,400.00 $8,400.00 Total Exhibit B-9 i----------------·----·---·--·-------·---··--·--···-·-··----··--·---·-----·-····---·-----···--··--··-----··-------------··-··1 j Training 18 Basic on Scene Accident Investigations I Class Date: From 9/12/2016 to 9/16/2016 Expense Categories I • I ! I Description: Basic on-scene Accident Investigations Requested Approved \ 1 teaches evidence identification, collection and 1 photography to assist other higher trained officers in $2,500 .00 $2,500.00 Instructor Costs I accident investigations. I $2,500.00 $2,500.00 Total Training Category: Accident Investigation Name of Facility: Denver Police Academy Class Location: Denver, CO Hosting Agency: Denver Police Department Anticipated Number of Students: 25 Estimated length of class: 40.0 hour(s) I I '·-·--·-----------·-----------------·---···-·------··---·--·-·-·-----··-··------·--·----·· ..• ·-·-. ··-··-· --. ··--·------···------··· -· _________ _! 1 ·--·--··----··----------··-·--------------··--·--···-··---------·-··---· --·-·---... ·-·-... ··--·--· ---··---·-·-----------. -------··-· -··· ---1 I Training 19 Basic on Scene Accident Investigations I r!~!:~ !?~~:-:-,.t;:-~m 31~ 312~~7 to 2/17/20~ 7 . Description: Basic on-scene Accident Investigations teaches evidence identification, collection and photography to assist other higher trained officers in accident investigations. Training Category: Accident Investigation Name of Facility: Denver Police Academy Class Location: Denver , CO Hosting Agency: Denver Police Department Anticipated Number of Students: 25 Estimated length of class: 40.0 hour(s) Requested $2,500.00 $2,500.00 Exhibit B-10 Approved $2,500.00 $2,500.00 Instructor Costs Total I ! I I I I I I I . ··-· ---·~----·---·-~ ·-----·-···-... ,. . . ....•. J • • • • • 1-----·-· I Training 20 Level II Accident Investigations Class Date: From 10/31/2016to 11/11/2016 Description: Level II Accident Investigations class teaches the physic of traffic accidents and the math formulas to determine speeds of vehicles. This course also teaches the time/distance formula to determine the position of the vehicles leading up to the crash. Training Category: Accident Investigation Name of Facility: Aurora Training Center Class Location: Aurora , CO Hosting Agency: Aurora Police Department Anticipated Number of Students: 20 Estimated length of class: 80 .0 hour(s) -·-------··----·----.. ·-·-·--1 I Expense Categories Requested Approved $5 ,000 .00 $5,000 .00 Instructor Costs I $5,000.00 $5,000.00 Total I ·--··-------·------·-----------------------···---·-----·-·-----·-·-----------J r------·------·-.. -----------·--__ .. _____ .. ____ . ----·-----·-----------1 I Jr~iV~!1~. 2'..l .t .~v.'3.1 ,,, A1.:~!d~mt !nvest~gat!on~. I Class Date: From 5/15/2017 to 5/26/2017 Description: Level II Accident Investigations class teaches the physic of traffic accidents and the math formulas to determine speeds of vehicles. This course also teaches the time/distance formula to determine the position of the vehicles leading up to the crash . ; Training Category: Accident Investigation J Name of Facility: Aurora Training Center I i Class Location: Aurora , CO 1 Hosting Agency: Aurora Police Department i Anticipated Number of Students: 20 Expense Categories Requested Approved $5,000.00 $5,000.00 Instructor Costs $5,000.00 $5,000.00 Total I Estimated length of class: 80.0 hour(s) i_. ___ ---·--------------·-·-------· -·------·----------·-·--·------------------.. ·-·-·-.. ----------------______ J Exhibit B-11 ,----····---···--·-··-·---··--·--····-·---·····-·-····-·-----·-·-·--· .. ··-······· ·-·-·-·--·· -········-···· ·····-. --·--·· -·····•··-·-···--·-·---··---1 J Training 22 IPMBA Police Bike School j i l \ Class Date: From 5/1/2017 to 5/4/2017 Expense Categories 1 Iii. i Description: IPMBA traines officers the basic bicycle Requested Approved I safety and patrol procedures needed for the safe and j 11 effective bike patrol $3,800.00 $3,800.00 Instructor Costs \I Training Category: Bike Training $3,800.00 $3,800.00 Total I Name of Facility: Jeffco SO 1 1 Class Location: Golden , CO Hosting Agency: Jefferson County Sheriff's Office Anticipated Number of Students: 24 Estimated length of class: 40.0 hour(s) I i I I ··--·-··-·------------·-----··-------·--·----------·-··----···-····-····-···········-·-------····· ···-·······-···-----·---···--·--·-···-·.l I ... -·-···-·---------·-··-··-----·-···-···--· ------···· ·-· ···-· ··-·. . ....... ·····---·-··· .. ·------· ·-··-·---··· ·--· ..... -· .... ··---------. -...... . I Training 23 IPMBA Police Bike School I Class Date: From 5/8/2017 to 5/11/2017 I ··uescriptfor.:'IPfvlBA t ra ines oificers the oasic bicyde safety and patrol procedures needed for the safe and effective bike patrol Training Category: Bike Training Name of Facility: Westminster PD Class Location: Westminster , CO Hosting Agency: Westminster Police Department Anticipated Number of Students: 24 Estimated length of class: 40 .0 hour(s) Training 24 Jeffco New Detective Academy Class Date: From 4/10/2017 to 4/14/2017 Description: Jefferson County DA's Office hosts and trains new detectives on the proper ways to investigate and file a case with the District Attorneys office Training Category: Basic Detective School Name of Facility: Jefferson County DA's Office Class Location: Golden, CO Hosting Agency: Jefferson County Sheriff's Office Anticipated Number of Students: 60 Estimated length of class: 40.0 hour(s) Expense Categories Requested $3,800.00 $3,800.00 Approved $3,800 .00 $3,800.00 Expense Categories Requested Approved Instructor Costs Total $2,000.00 $2 ,000 .00 Training Supplies $1,500.00 $1 ,500 .00 Refreshments $3,500.00 $3,500.00 Total Exhibit B-12 • • • • • • ~·~-:-::_r_~-T-~~~-:-~~~~~~ce ··--·· .. ·--~---·----·--·-1 i Description: Patrol Supervisors response to critical incidents. This course filled very quickly again this year as a favorite for departments to get patrol supervisors very good training in two days Training Category: Supervision Name of Facility: Parker PD Requested $4,700.00 $4,700.00 Approved $4,700 .00 $4,700.00 Instructor Costs Total I I I I I I Class Location: Parker , CO I I Hosting Agency: Parker Police Department I Anticipated Number of Students: 25 1 I Estimated length of class: 16.0 hour(s) i '--------------· -·---------------·-----· _. _________ .. ______ ----. -------·-----------------· ------. ,,, ____ ,_ _________ ,, _________ __] r --------------------·-------·------------·-·------·--·------· ·-..... ----------··-----. ----... ·---·---·---...... ·----.... . ._ .. ·-.... _ --------·-·---------------- ' I Training 26 NTOA Patrol Supervisor Response to Critical Incidence I _Class Oat~_;,,From.11/7/20~6 .to -11/8/20113 .. . Fx!)~n!!;~ c~tP.goriP.~ ' . Description: Patrol Supervisors response to critical incidents. This course filled very quickly again this year as a favorite for departments to get patrol supervisors very good training in two days Training Category: Supervision Name of Facility: Lakewood PD Class Location: Lakewood, CO Hosting Agency: Lakewood Police Department Anticipated Number of Students: 25 Estimated length of class: 16.0 hour(s) Requested Approved $4,700.00 $4,700.00 Instructor Costs $4,700.00 $4,700.00 Total i I .... _ .. ________ .. ______ ,, _____ --· ----· ---------.. -----··----· _________________ ,, ·--·-· .. ---------........ ----·· .. ----·----....... --------.... _ .. -.. ·--· ....... ,, ___________ ,_ ______ --------J Exhibit B-13 [----------------·--------·--·------·--··--·-----------·-----. ··-------·---··----·-·------··---·····-··------·········-· -·--·· ······---·-· -· . -·····-· -----------] I Training 27 LSAT , I Class Date: From 10/3/2016 to 10/5/2016 Expense Categories I II. ! Description: "LSAT: Detecting Decept ion in Written Requested Approved i l Statements" this course teaches officers/detectives 1 1 to analyse written statements from suspects and $5 ,800.00 $5,800 .00 Instructor Costs witnesses on deception. A tool well used by i officers/detectives to determine crimes, truths and $5,800.00 $5,800.00 Total deception in statements written on a criminal investigation. Training Category: Other I I Name of Facility: Broomfield PD I Class Location: Broomfield , CO I Hosting Agency: Broomfield Police Department I Anticipated Number of Students: 50 Estimated length of class: 20.0 hour(s) !--------------------·--··----------··--·----·-----------·---------· ---·-·--·-·-·-------·-··········--··-····-·------------·--------· ,----------------------·--·--··-·---··-···-··--·-·--·-·--··-····--· --·· ···--------·---·--·-···-] Training 28 GMR Training Symposium/Conference Class Date: From 3/1/2017 to 3/2/2017 Description: GMR training Symposium/Conference is a two day training symposium open to state wide law enforcement em ,ployees. This training will include local and National speakers on several law enforcement topics. This symposium gives hundreds of officers a chance to see and hear trainings that are not always available in smaller venues and at no cost to their departments. Training Category: Miscellaneous Name of Facility: Arvada Center Expense Categories Requested Approved $8,500 .00 $8 ,500.00 $2 ,000.00 $2,000.00 $9 ,975 .00 $9,975.00 $25 ,000.00 $25,000.00 $45,475.00 $45,475.00 Facility Fee Training Supplies Refreshments Instructor Costs Total Class Location: Arvada , CO i Hosting Agency: Other ! I 1 Anticipated Number of Students: 500 I ! I , Estimated length of class: 16.0 hour(s) I I I 1 ........ ······ -····-····---------··--····-··-···-···-·-·-·---···------··-·····----·---·--·----·------·------····-·-.. ·-···········. -··· ··-··. -----. -·---···--·--···-·---···-····-··-····] E xhibit B-14 • • • ,---------------·-··---·---··---------------· ----· --·--··-···--.... -.. ·······-··· ···-·-.. ··-. ···--····-·-··-··· ·······------··---··--,, I Training 29 Basic SRO ss0001 • I I I I I Class Date: From 8/15/2016 to 8/19/2016 Expense Categories , I Description: Basic 40 hours SRO course Requested Approved I Training Category: Miscellaneous $16,600 .00 $16,600.00 Instructor Costs j Name of Facility: Lakewood PD $16 ,600 .00 $16,600.00 Total I Class Location: Lakewood , CO I I Hosting Agency: Lakewood Police Department 1 I Anticipated Number of Students: 20 I , Estimated length of class: 40.0 hour(s) I J ______ ·--·------·-----------···--·---·-·--·----------····----··--·----·-· --·-·····-·· -·· ---------··---__ J ,------·---·------·----------------·-· -· ·------·--··------·--·-·---····---·-········--··-· -··---···----· ·---·-·-i ' Training 30 Single Officer Response ss0002 I Class Date: From 9/14/2016 to 9/15/2016 Description: Single officer response class to active shooter Training CC:ttegory; Other Name of Facility: Martinsen Elementary Class Location: Arvada , CO I Expense Categories Requested Approved $3,000.00 !raining Sup~rl ie::r · $3,000 .00 $10,000.00 $10,000.00 Instructor Costs $13,000.00 $13,000.00 Total • Hosting Agency: Arvada Police Department Anticipated Number of Students: 20 Estimated length of class: 16.0 hour(s) • I ,,_,,_···-····------------·-----"·--. ·--· -···-·--· ---·-·-·· .. ·-·· --·---· ·-·-···------···---······-··-----· .J .. -----·-· -------·-·-··----·· ·-·-------------~----·-···-·-·--··---· Training 31 FTC Kaminsky class Class Date: From 7/25/2016 to 7/29/2016 Description: Kaminsky FTO class for new FTO's Training Category: Field Training Officer Name of Facility: Westminster PD Class Location: Westminster , CO Hosting Agency: Westminster Police Department Anticipated Number of Students: 24 Estimated length of class: 40 .0 hour(s) Expense Categories Requested $7,750.00 $7,750.00 Approved $7,750 .00 $7,750.00 Exhibit B-15 .... --·-·----····--····--··· ·1 Instructor Costs Total I I I I I I I I . ----···--·-. . .... -· ........... ..I r------------------------------------------------------------------------------1 i I Training 32 FTO Kaminsky class j I Class Date: From 10/17/2016 to 10/21/2016 j Description: Basic FTO Kaminsky class I Training Category: Field Training Officer I Expense Categories Requested Approved $7,750.00 $7,750.00 Instructor Costs I Name of Facility: Auraria PD $7,750.00 $7,750.00 Total I I Class Location: Denver , CO I 1 Hosting Agency: Auraria Police Department I j Anticipated Number of Students: 24 I ! Estimated length of class: 40.0 hour(s) i I i. __ ,, _______________ .. __________________ .. ____ .. ____________ ,,_ .... ,, ... _ ·------.. --... --.. ____ ,,_ ·--·-.. ·---........ ______ ,,,, _________ ....I .. -------------·--------.. -·-·--.. -· -·--·----· ·-· _ .. _______ ,, ____ ,, ___ ------.. --.. -...... _.! Training 33 FTO Kaminsky class Class Date: From 1/23/2017 to 1/27/2017 Description: Basic FTO Kaminsky class tr~!oin~ r,.?.;f@9 9'Y '. F'ilil ld Tr<i !ning Offi c ~r ., .. Name of Facility: Lakewood Class Location: Lakewood, CO Hosting Agency: Lakes ide Pol ice Department Anticipated Number of Students: 24 Estimated length of class: 40 .0 hour(s) Training 34 FTO Kaminsky class Class Date: From 5/1/2017 to 5/5/2017 Description: Basic FTO Kaminsky class Training Category: Field Tra ining Officer Name of Facility: Jeffco Class Location: Golden , CO Hosting Agency: Jefferson County Sheriff's Office Anticipated Number of Students : 24 Estimated length of class: 40.0 hour(s) Expense C~tegories Approved Requested $7 ,700.00 ·. $7,750 ~00 .. ·· 111strue;tur Costs- $7,750.00 $7,750.00 Total Expense Categories Requested Approved $7 ,750.00 $7,750 .00 Instructor Costs $7,750.00 $7,750.00 Total Exhibit B-16 ! I I I I ! • • • r---------··-------·------·---··---·---------·-····· ·-·----····--· -------· --···-···-··-·-· ··---···-·--------··-------------·-·----1 I Training 35 Street Crimes I Pat McCarthy • ! Class Date: From 10/18/2016 to 10/20/2016 Expense Categories • • I I Description: Street Crimes Seminar is an officer safety/Officer Survival seminar by national speaker l 1 Training Category: Street Survival Name of Facility: Broomfield PD J Class Location: Broomfield , CO Pat McCarthy Requested $12,000.00 $12,000.00 Approved $12,000.00 Instructor Costs $12,000.00 Total I I Hosting Agency: Broomfield Police Department l 1 . Anticipated Number of Students: 120 I Estimated length of class: 20.0 hour(s) I I I 1-·····--···-··--·----·-·-------------------·--·-·--·-···---·-------·---· ---·· ·-····· ·-· -···· ·--. -· ·--·--------------_J r ·-------·----------·--·-----------·-· -----··----·-· ----·---·---··· -· ····· -----·--· -·-····-----····------------·-1 ! Training 36 CSOC Supervisor Institute I i, I Class Date: From 2/20/2017 to 3/3/2017 Expense Categories ' ~::::;·~~~:~7:~~~:i:~~: by GSOC :;:::~ . :::::.: Instructor Costs i Name of Facility: Jeffco Total I $8,500.00 $8,500.00 Class Location: Golden , CO Hosting Agency: Jefferson County Sheriff's Office I Anticipated Number of Students: 30 I , Estimated length of class: 80.0 hour(s) I I ' ;·--·---·-------------------···---------------··--·--·-·-·-·-···--··-··--····-·····----·-··-·------···--·-··--·-··--····--·--·--·-·---····---··--··--J Training 37 Redman Instructor Class Date: From 7/25/2016 to 7/29/2016 Description: Arrest Control REDMAN instructor course Training Category: Other Name of Facility: Glendale PD Class Location: Glendale , CO Hosting Agency: Glendale Police Department Anticipated Number of Students: 15 Estimated length of class: 40.0 hour(s) Expense Categories Requested Approved $25,000.00 $25,000.00 $25,000.00 $25,000.00 Exhibit B-17 Instructor Costs Total I I I I I I i I I I -··-... -. ·-···-········--·· ----··---. I 1---;rai ~ing 38 -;~-0 ~-~~-i; the~~~-i~;~-~~-------------------------------------------. ---· ·-----------------------------, 1,1 II . Class Date: From 8/15/2016 to 8/19/2016 Expense Categories Description: PTO train the trainer class Requested Approved I Training Category: Field Training Officer $25,000.00 $25,000 .00 Instructor Costs I Name of Facility: Parker PD $25,000.00 $25,000.00 Total Class Location: Parker , CO Hosting Agency: Parker Police Department Anticipated Number of Students: 25 Estimated length of class: 40.0 hour(s) I I i I I I [·--·----··---------------··------·----------·--------··------·-·-··~··----·--------.. ---------·-------·------·-·-·----·-l Training 39 Bold Patrol Class Date: 5/17/2017 Description: Tina Rowe class on patrol self initiated patrol Training Cat~gory: Miscellaneous Name of Facility: Arvada PD Class Location: Arvada, CO Hosting Agency: Arvada Police Department Anticipated Number of Students: 40 Estimated length of class: 8.0 hour(s) Training 40 Spanish on Patrol Class Date: From 9/19/2016 to 9/20/2016 Description: 2 day class on street spanish Training Category: Miscellaneous Name of Facility: Auraria PD Class Location: Denver , CO Hosting Agency: Auraria Police Department Anticipated Number of Students: 24 Estimated length of class: 16 .0 hour(s) Expense Categories Requested Approved $/,500 .uCt · :1i t;::>uo.\;u $7,500.00 $7,500.00 Expense Categories Requested Approved -----------------------1 Instructor Gosr s Total I I I I I I ---.... ----------------------· .. ____ ) -----·--·---------------~ ' i I I i ! $8,000.00 $8,000.00 Instructor Costs $8,000.00 $8,000.00 Total ... ---· -·----··---·-···----____ \ Exhibit B-18 • • • • • EQUIPMENT ------·------·-------------·-·----·---------------· ----------------· -·-----·-·--·--· --------·1 I Equipment 1 I I i Description: Additional Equipment to add onto the Tl Simulator such as force on force and addition Expense Categories I I weapons systems Equipment Category: Shooting Systems Requested Approved $30,000.00 $30,000.00 I I .. ___ ---···--·-. ------------··------------------------------·----·----·----------------------------··---------------- SCHOLARSHIP ·-··-··-··-------·-·----··-·---·---·------·-·-·------------·-------------·------... --·-··----···· -· ··--·-··------··---·--··-1 Description: Request made by agencies for training Expense Categories 1 money for specialty classes that GMR is not able to I buy/host $70,000.00 divided by 7300 officers (in the Requested Approved I . region) ls $9.58 .oer.offic:~r . $·,· v· ,u·o--u···.·01. .. :s··,;o,·ou··o.G··u··. ,.,.. . .· 1.:::.0 .. t ... i . . . , .. . .· . v .,. 1 uit1on n.~91s ration I $70,000.00 $70,000.00 Total I I -·· -·· ... ·-·-·--·---· --------·· ·-·-··---··---·-·------·--·· ·------·--·--·---· -----·--··---·--· _________ ,, --·-·-·-·-· --_______________ J Exhibit B-19 EXHIBIT C -GRANT FUNDING CHANGE LETTER (OPTION LETTER) GRANT FUNDING CHANGE LETTER (GRANTEE NAME) Date: Original Contract CMS #: Grant Funding Change Letter# CMS Routing# TO: Grantee Name: In accordance with Section 7 of the Original Contract between the State of Colorado, on behalf and through the Department of Law, and (Grantee Name) beginning (Effective Date) and ending on (Termination Date) the undersigned commits the following funds to the Grant: The amount of grant funds available and specified in Section 7 are increased $(Amount) to a new total funds available of$ (Amount) for law enforcement training. I: Amount Project Description Section 7. A is hereby modified accordingly. The effective date of hereof is upon approval of the State Controller or (Date) whichever is later. STATE OF COLORADO John W. Hickenlooper, Governor by and through the DEPARTMENT OF LAW By: _____________ _ Melanie J. Snyder, Chief of Staff ALL GRANTS REQUIRE APPROVAL BY THE STATE CONTROLLER CRS §24-30-202 requires the State Controller to approve all State contracts. This Grant Funding Change Letter is not valid until signed and dated below by the State Controller or delegate. Grantee is not authorized to begin performance until such time. If Grantee begins performing prior thereto, the State of Colorado is not obligated to pay Grantee for such performance or for any goods and/or services provided hereunder. STATE CONTROLLER Robert Jaros, CPA, MBA, JD By: ___________ ~ Melissa Moynham, Controller Date:------- Exhibit C-1 • • • • • Date August 1, 2016 COUNCIL COMMUNICATION Agenda Item 9bii Subject Farm Lease Renewal Agreements-2nd Reading INITIATED BY STAFF SOURCE Littleton/Englewood Wastewater Treatment Plant -Supervisory Committee Dennis W. Stowe , Plant Manager Jim Tallent , Treatment Division Manager COUNCIL GOAL AND PREVIOUS COUNCIL ACTION In 2011 , Council approved 5-year lease agreements , with local farmers , to manage farming operations on properties owned by the Cities of Englewood and Littleton . The goal for this action is to approve new leases for a five-year period . RECOMMENDED ACTION The recommended action is to approve a bill for an ordinance , on second reading , approving new 5-year farming lease agreements for: 1. Progressive Farms (Clo Mark Linnebur) 2. Craig Farms General Partnership (Clo Jerry Craig) 3. Clint A. Burnet 4 . Kent Beichle 5 . Gary and Nancy Meier and Jason Meier BACKGROUND , ANALYSIS, AND ALTERNATIVES IDENTIFIED Biosolids are nutrient-rich , organic materials produced during the treatment of domestic wastewater. These materials , when treated and processed properly , are environmentally safe and recycled as an organic soil amendment (or fertilizer) to improve farm soils and stimulate crop growth . Since 1982, the Littleton/Englewood Wastewater Treatment Plant (UE WWTP) has exclusively produced Class "B" biosolids which are used in an agricultural land application program (approximately 3,400 dry tons per year) for production of human consumable crops. This program was initiated in response to the increased cost and liability for landfill disposal of wastewater biosolids . In 1995/96, UE WWTP was granted approval by the Cities of Englewood and Littleton (Cities) to purchase approximately 6 ,600 acres of dryland farm property (Byers farm) to be used exclusively for the beneficial application of domestic wastewater biosolids generated by the facility . In 2007, an additional 1,270 acres was approved for purchase for biosolids application (added to the Byers farm). In addition , the Cities also own approximately 947 acres near Bennett, CO (Bennett farm), which is also actively farmed. Initial land purchases included farming agreements , with the previous owner, based on a 1/3 share of crop sale proceeds and 1/3 share of farming expenses (fertilizer, weed control , etc.) with LIE WWTP. In 2006 , 5-year (renewable annually to comply with TABOR) cash lease agreements were developed for • $8 .00/acre . With this arrangement, farming expenses are borne solely by the farmer and not shared with LIE WWTP. This results in reduced budgetary expenditures , as well as a firm revenue source for LIE WWTP. In 2016 , cash-lease prices were reviewed to assess if current lease rates are commensurate with the farming industry. Research to find a Colorado database for private lease rates was inconclusive . However, • the State of Colorado State Land Board (SLB) does maintain a program where dry cropland rental rates, for State Trust Land, are linked to commodity prices, crop yields and compared to private dry cropland rates. The most current SLB documentation indicates a cash rent rate of $12 .26/acre in Arapahoe County (most of our biosolids-use land is in Arapahoe County). An adjustment to our cash-lease rate from $8 .00/acre to $12.00/acre, for all lease arrangements , results in a 50% increase in the cash-lease rate to our farmers (to which they have agreed). By using SLB as a basis for lease evaluation, it brings our cash- lease arrangements in line with State of Colorado recommendations. The LIE WWTP Supervisory Committee approved this new cash-lease rate in October 2015 . Following this approval , new cash-lease documents were prepared, reviewed and approved by the Englewood City Attorney and the Littleton City Attorney prior to farmer signature . FINANCIAL IMPACT With this recommendation , firm revenue of $90,300 will be generated each year, regardless of commodity/economy trends. LIST OF ATTACHMENTS Littleton/Englewood WWTP -Progressive Farms Lease Agreement Littleton/Englewood WWTP -Craig Farms General Partnership Lease Agreement Littleton/Englewood WWTP -Clint A. Burnet Lease Agreement Littleton/Englewood WWTP -Kent Beichle Lease Agreement Littleton/Englewood WWTP -Gary Meier Lease Agreement Biosolids Use Restrictions Information Brochure • • • • • ORDINANCE NO. SERIES OF 2016 BY AUTHORITY COUNCIL BILL NO. 26 INTRODUCED BY COUNCIL MEMBER GILLIT AN ORDINANCE AUTHORIZING FNE (5) FARM LEASE RENEW AL AGREEMENTS FOR THE FARMS IN THE LITTLETON/ENGLEWOOD WASTEWATER TREATMENT PLANT BIOSOLIDS MANAGEMENT PROGRAM. WHEREAS, the Cities of Littleton and Englewood jointly own properties near Byers, Colorado and Bennett, Colorado which are used for the Littleton/Englewood Wastewater Treatment Plant (LIE WWTP) Biosolids Management Program; and WHEREAS, this Program uses dryland farm property for long-term applications of domestic wastewater biosolids generated by the (LIE WWTP); and WHEREAS, the Bennett property is not currently being used for biosolids application, however, farming operations continue to keep the property productive; and WHEREAS, there are ongoing biosolids application on the Byers property covered by the three proposed leases; and WHEREAS, the Englewood City Council authorized four Farm Lease Agreements for a term of one year, renewable for five years for the Farms in the Littleton/Englewood Wastewater Treatment Plant Biosolids Management Program by the passage of Ordinance No. 14, Series of 2011; and WHEREAS, the passage ofthis proposed Ordinance authorizes five Farm Lease Agreements commencing on January 1, 2016 and are for a term of one (1) year, renewable for five years; NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF ENGLEWOOD, COLORADO, AS FOLLOWS: Section 1. The City Council of the City of Englewood hereby authorizes a "Farm Lease" between Progressive Farms and the cities of Littleton and Englewood commencing on January 1, 2016, for a term of one (1) year, renewable for five (5) years, ending on December 31, 2020; attached hereto as Exhibit A. Section 2. The City Council of the City of Englewood hereby authorizes a "Farm Lease" between Craig Farms General Partnership and the cities of Littleton and Englewood commencing on January 1, 2016, for a term of one (1) year, renewable for five (5) years, ending on December 31, 2020; attached hereto as Exhibit B. Section 3. The City Council of the City of Englewood hereby authorizes a "Farm Lease" between Kent Beichle and the cities of Littleton and Englewood commencing on January 1, 1 2016, for a term of one (1) year, renewable for five (5) years, ending on December 31, 2020; attached hereto as Exhibit C . Section 4 . The City Council of the City of Englewood hereby authorizes a "Farm Lease" between Gary and Nancy Meier and Jason Meier and the cities of Littleton and Englewood commencing on January 1, 2016, for a term of one (1) year, renewable for five (5) years, ending on December 31, 2020; attached hereto as Exhibit D . Section 5 . The City Council of the City of Englewood hereby authorizes a "Farm Lease" between Clint A. Burnet and the cities of Littleton and Englewood commencing on January 1, 2016, for a term of one (1) year, renewable for five (5) years, ending on December 31, 2020, attached hereto as Exhibit E . Section 6. The Mayor is hereby authorized to sign the five (5) Farm Lease Agreements for and on behalf of the City of Englewood. Introduced, read in full, and passed on first reading on the 18th day of July, 2016 . Published by Title as a Bill for an Ordinance in the City's official newspaper on the 21st day of July, 2016. Published as a Bill for an Ordinance on the City's official website beginning on the 20th day of July, 2016 for thirty (30) days. Read by title and passed on final reading on the 1st day of August, 2016. Published by title in the City's official newspaper as Ordinance No ._, Series of 2016, on the 4th day of August, 2016. Published by title on the City's official website beginning on the 3rd day of August, 2016 for thirty (30) days. Joe Jefferson, Mayor ATTEST: Loucrishia A. Ellis , City Clerk I, Loucrishia A. Ellis, City Clerk of the City of Englewood, Colorado , hereby certify that the above and foregoing is a true copy of the Ordinance passed on final reading and published by title as Ordinance No ._, Series of 2016. Loucrishia A. Ellis 2 • • • •• • FARM LEASE THIS LEASE is entered into between the Cities of Littleton and Englewood, (collectively referred to hereinafter as "Lessor''), and Progressive Farms, (referred to hereinafter as "Lessee"). On this date, Lessor has leased to the Lessee, the following described premises situated in the County of Arapahoe, State of Colorado, to wit: [See Exhibit A attached hereto and made a part hereof] Together with all buildings and improvements on the premises (hereinafter referred to as the "Leased Property") in accordance with the following terms: 1. This lease replaces and · supersedes in its entirety, any prior lease agreement between the parties concerning the Leased Property. This lease shall be for the tenn of one (1) year, renewable annually for five (5) years commencing on January 1, 2016, and ending on December 31, 2020, at the rent of $12 .00 (twelve dollars) per acre per year on farm.able acres on the Leased Property, (4,993 acres) for a total annual lease payment of$59,916.00. 2. . .. The lease payment is to be m¢e payable to the order of: Littletop/Englewood WWTP And delivered to: Littleton/Englewood WWTP Clo Treatment Division Manager 2900 South Platte River Drive Englewood, CO 80110 By December 31 (folloWing the harvest) of each year that this lease is in effect. 3. Lessee shall thoroughly plow, cultivate and fann in accordance with good farming practices, all lands comprising the Leased Property that are not in grass, fallowed by mutual agreement of the parties, or otherwise unfannable. Lessee shall comply with the tenns and conditions of all government agricultural programs applicable to the Leased Property, including the Conservation Reserve Program. 4. Lessee shall use the Leased Property as a dryland farm or for livestock grazing (as approved) and for no other purpose whatsoever, and especially will not let or permit the Leased Property to be used for any other business or purpose whatsoever. 5. Lessee shall be responsible for all costs and expenses associated with use of the Leased Property as a dryland farm. 6. Lessee shall not assign this lease, sublet, or relinquish the Leased Property without the express written consent of the Supervisory Committee of the Littleton/Englewood WWTP . If the Lessee attempts to assign this lease, sublet, or relinquish the Leased Property without the express written consent of the Supervisory Committee of the Littleton/Englewood WWTP, the • Lessee shall forfeit all the rights under or by virtue of this lease. Littleton/Englewood WWTP Fann Lease -Progressive Farms 2016 Page 1 of 6 I I! :'\ 1 ! B . ' I \ T 'I A ·I . 7. Lessee shall protect the Leased Property, including buildings, gates, fences, shrubbery, and improvements thereon from all damages and shall keep the same in the same condition as they are now in, or may be at any time placed in by the Lessor, subject to normal wear and tear. Lessee shall do no act whereby any insurance on buildings may be invalidated and shall not remove, or allow any other person to remove, from the Leased Property any of the buildings, gates, fences, shrubbery, and improvements of any kind. 8. Lessee shall not run furrows so as to cause ditches to wash the Leased Property, unless first having a written consent of the Lessor. Lessee shall clean out and maintain in good repair, during the operation of this Lease, all ditches belonging or appertaining to the Leased Property. 9. Lessee shall well and seasonably put in and tend to the crops grown on the Leased Property, shall have all small grain harvested and threshed by October 1 of each year; and if not harvested and threshed as stated, the Lessor may proceed to do so after ten (10) days' notice to the Lessee, and take enough of the Lessee's grain to pay expense of such harvesting or threshing. · 10. Lessee shall accept the fences upon said Leased Property as they now are now existing. 11. Lessee shall, at the expiration of this Lease, or upon a breach by the Lessee of ~y of the covenants herein contained, without further notice of any kind, quit and s~'Tender the possession and occupancy of Leased Property in as good condition as careful use and natural wear and tear thereof will permit. 12. All goods and chattels, or any other property used or kept' on the Leased Property, shall be held for the rent or damages under this Lease, whether exempt from execution or not, meaning or intending hereby to give the Lessor a valid. and first lien upon any and all goods . and chattels, crops and other property belonging to the Lessee. 13. Lessee shall cultivate around any structures or facilities on the Leased Property. 14. The Lessor reserves the right to cancel the lease during its term for any of the following reasons: (a) if the Lessee should take any action or fail to take any action that threatens the Lessor's interest in the Leased Property, including the violation of any environmental laws, rules, regulations or standards; (b) if the Lessee is not farming in a manner that constitutes good farming practices; ( c) if the Lessor determines that it will no longer utilize the Leased Property for the production of crops .. 15. Lessor also reserves the right for itself, its agents and its designees, including other government officials, to enter and to have access, at all reasonable times during the term of this lease, to the Leased Property for the purpose of sampling, application, monitoring, testing, screening, mapping, plotting or doing any other procedure, task or function deemed necessary by Lessor, including, but not limited to, inspecting the Leased Property and to make such repairs, additions, or improvements as Lessor may deem necessary. Littleton/Englewood WWTP Farm Lease-Progressive Farms 2016 Page 2of6 • • • • • • 16. It is understood and agreed that the Lessor reserves the right to cancel this lease at its sole discretion. Should Lessor elect to exercise its right of cancellation, it must do so in writing, on or before October 1 prior to the anniversary date hereof, in which event this lease shall be terminated effective on the anniversary date and neither party shall be entitled to further payments or damages as the result of said termination except for any payments due and owing at the time of cancellation. 17. All payments from the Lessee shall become due and payable upon forfeiture of said Lease, or upon abandoning said Leased Property, and if it becomes necessary for the Lessor to bring action at law to recover possession, damage or rent, the Lessee agrees to pay a reasonable attorney's fee therefore, and all costs attending the same. 18. Lessee shall indemnify, defend and hold harmless Lessor and its successors, assigns and representatives from and against any and all damages, claims, losses, costs, liabilities, and expenses of any kind whatsoever (including but not limited to reasonable attorney fees) which may be asserted against or suffered by Lessor or the Leased Property or any part thereof, as a result of, on account of or arising from (i) any breach of any covenant, representation; promise, warranty or agreement made by Lessee, or (ii) injuries or damages to person or property resulting or alleged to result from any fault or negligence of Lessee or bis agents or employees, or ·from ·the .possession,· use,. eccupancy1 nr maintenance of the: Leased Property by Lessee, his agents, employees, or af:filiat~. . 19. Lessor reserves the right to sell, contract to sell, or grant easements or rights-of-way over, through, under, or on, the Leased Property at any time during the term of this lease, subject to the rights and interests of the Lessee hereunder. 20. All notices, demands, or other documents required or desired to be given, made or sent to either Party under this Agreement shall be made in writing, shall be deemed effective upon receipt and shall be personally delivered or mailed postage prepaid, certified mail, return receipt requested, as follows: TO LESSOR: Littleton/Englewood WWTP C/o Treatment Division Manager 2900 South Platte River Drive Englewood, CO 80110 TO LESSEE: Progressive Farms, Clo Mark Linnebur 800 U.S. Highway 36 Byers, CO 80103 The addresses for notices may be changed by written notice given to the other Party in the manner provided above. This lease shall be in effect as of the date first above written. (Signaturesfollow on separate pages) littleton/Englewood WWTP Farm Lease -Progressive Farms 2016 Page3 of6 LESSOR: • CITY OF ENGLEWOOD By: Joe Jefferson, Mayor Date: CITY OF LITTLETON By: ·, .. ··- -', ~.,,_..,.,..,,._,.'. h.,.,,,.......,..,.~~ ... r~•···•·-...... · Date: • • Littleton/Englewood WWTP Fann Lease -Progressive Fanns 2016 Page 4of6 • • • LESSEE: PROGRESSIVE FARMS d4LL By: MmkUmebur, Managing Partner Date: .· ~ • ·-·,· ·t • '" . ··, ·~~ ' .. '·., .-.:~ .. , ... .· ..... ,, .... Littleton/Englewood WWTP Farm Lease-Progressive Farms 2016 Page 5of6 • • • Exhibit A Parcel I: The West one-half of Section 28, all of Section 29, the West one-half of Section 32, except that part of said Section 32 conveyed to Adams County by Instrument recorded in Book 244 at Page 586, West one-half of Section 33, all in Township 3 ·South Range 57 West of the 6th Principal Meridian, Coooty of Adams, State of Colorado. Parcel II: . . . .. . The West one-half of Section 4, all of Section 5, Township 4 South, Range 57 West c:,f the 6th Principal Meridian, County of Arapahoe, State of Colorado. Parcel III: · · .· ·· · · · ·. · · · . The South one-half of the Southeast quarter of Section 20; all of Section 21, except the North 40 feet; the North one-half o{Section 28; all of Section 29, except the East 40 feet; all in · Towriship 4 South, Range 57 West of the 6th Principal Meridian, County of Arapahoe, State of Colorado, · · · · Parcel IV:.·. All of Section 18, except the East 40 feet; the North one-half of Section 19, except the East 40 feet; the North one-h~tf, except tlie West 40 feet; tlie Southwest quarter, except the West 40 feet; the North one-half of the Southeast quarte.r of S¢ction 20; all in Township 4 South, Range 57 West of the 6th Principal Meridian, Colinty of Arapahoe, State of Colorado. . . Littleton/Englewood WWTP Farm Lease-Progressive Farms 2015 Exhibit A • • • FARM LEASE IBIS LEASE is entered into betWeen the Cities of Littleton and Englewood, (collectively referred to hereinafter as "Lessor"), and Craig Farms General Partnership, (referred to hereinafter as "Lessee"). On this date, Lessor has leased to the Lessee, the following described premises situated in the County of Arapahoe, State of Colorado, to wit: The E~ of Section 32,Township 3 South, Range 57 West of the 6th P.M. consisting of approximately 320 acres, more or less, Together with all buildings and improvements on the premises (hereinafter referred to as the "Leased Property") in accordance with the following terms: 1. This lease replaces and supersedes in its entirety, any prior lease agreement between the parties concerning the Leased Property. This lease shall be for the tenn of one (1) year, renewable annually for five (5) years commencing on January 1, 2016, and ending on December 31, 2020, at the rent of $12.00 (twelve dollars) per acre per year on fannable acres on the Leased Property, (320 acres) for a total annual lease payment of $3,840.00. 2. ·· The .l~se paYme~t is to be made payable to the order of: Littleton/Englewood T;,\rwTP And delivered to: Littleton/Englewood WWTP Clo Treatment Division Manager 2900 South Platte River Drive Englewood, CO 80110 By December 31 (following the harvest) of each year that this lease is in effect. 3. Lessee shall thoroughly plow, cultivate and farm in accordance with good fanning practices, all lands comprising the Leased Property that are not in grass, fallowed by mutual agreement of the parties, or othernise unfannable. Lessee shall comply with the terms and conditions of all government agricultural programs applicable to the Leased Property, including the Conservation Reserve Program. 4. Lessee shall use the Leased Property as a dryland farm or for livestock grazing (as approved) and for no other purpose whatsoever, and especially will not let or permit the Leased Property to be used for any other business or purpose whatsoever. 5. Lessee shall be responsible for all costs and expenses associated with use of the Leased Property as a dryland farm. 6. Lessee shall not assign this lease, sublet, or relinquish the Leased Property without the express written consent of the Supervisory Committee of the Littleton/Englewood WWTP. If the Lessee attempts to assign this lease, sublet, or relinquish the Leased Property without the express written consent of the Supervisory Committee of the Littleton/Englewood WWTP, the Lessee shall forfeit all the rights under or by virtue of this lease. Littleton/Englewood WWfP Farm Lease -Craig Farms 2016 Page 1 of S . :· \ ~ H i I i a ! .\- ',,\ B 1 •. ·-·" 7. Lessee shall protect the Leased Property, including buildings, gates, fences, shrubbery, and • improvements thereon from all damages and shall keep the same in the same condition as they are now in, or may be at any time placed in by the Lessor, subject to normal wear and tear. Lessee shall do no act whereby any insurance on buildings may be invalidated and shall not remove, or allow any other person to remove, from the Leased Property any of the buildings, gates, fences, shrubbery, and improvements of any kind. 8. Lessee shall not run furrows so as to cause ditches to wash the Leased Property, unless first having a written consent of the Lessor. Lessee shall clean out and maintain in good repair, during the operation of this Lease, all ditches belonging or appertaining to the Leased Property. 9. Lessee shall well and seasonably put in and tend to the crops grown on the Leased Property, shall have all small grain harvested and threshed by October 1 of each year; and if not harvested and threshed as stated, the Lessor may proceed to do so after ten (10) days' notice to the Lessee, and take enough of the Lessee's grain to pay expense of such harvesting or threshing. 10. Lessee shall accept the fences upon said Leased Property as they now are now existing. 11. L~ssee shall, at the.~xpiration of this Leas~, or upon a breach by the Lessee of any '6fdie covenants herein contained, without foi ..... ..hcr notice of any kind, quit and surrender the possession and occupancy of Leased Property in as good condition as careful use and natural wear and tear thereof will permit. 12. All goods and chatteis, or any other property used or kept on the Leased Property, shall be held for the rent or damages under this Lease, whether exempt from execution or not, meaning or intending hereby ta give the Lessor a valid and first lien upon .any and all goods and chattels, crops and other .property belonging to the Lessee. · · · · · · 13. Lessee shall cultivate around any structures or facilities on the Leased Property. 14. The Lessor reserves the right to cancel the lease during its tenn for any of the following reasons: (a) if the Lessee should take any action or fail to take any action that threatens the Lessor's interest in the Leased Property, including the violation of any environmental laws, rules, regulations or standards; (b) if the Lessee is not farming in a manner that constitutes good farming practices; ( c) if the Lessor detennines that it will no longer utilize the Leased Property for the production of crops~ 15. Lessor also reserves the right for itself, its agents and its designees, including other government officials, to enter and to have access, at all reasonable times during the term of this lease, to the Leased Property for the purpose of sampling, application, monitoring, testing, screening, mapping, plotting or doing any other procedure, task or function deemed necessary by Lessor, including, but not limited to, inspecting the Leased Property and to make such repairs, additions, or improvements as Lessor may deem necessary. 16. It is understood and agreed that the Lessor reserves the right to cancel this lease at its sole discretion. Should Lessor elect to exercise its right of cancellation, it must do so in writing, on or before October 1 prior to the anniversary date hereof, in which event this lease shall be tenninated Littleton/Englewood WWTP Farm Lease -Craig Farms 2016 Page 2of5 • • effective on the anniversary date and neither party shall be entitled to further payments or damages • as the result of said termination except for any payments due and owing at the time of cancellation. • • 17. All payments from the Lessee shall become due and payable upon forfeiture of said Lease, or upon abandoning said Leased Property, and if it becomes necessary for the Lessor to bring action at law to recover possession, damage or rent, the Lessee agrees to pay a reasonable attorney's fee therefore, and all costs attending the same. 18. Lessee shall indemnify, defend and hold harmless Lessor and its successors, assigns and representatives from and against any and all damages, claims, losses, costs, liabilities, and expenses of any kind whatsoever (including but not limited to reasonable attorney fees) which may be asserted against or suffered by Le8sor or the Leased Property or any part thereat: as a result o±: on account of or arising from {i) any breach of any covenant, representation; promise, warranty or agreement made by Lessee, or (ii) injuries or damages to person or property resulting or alleged to result from any fault or negligence of Lessee or his agents or employees, or from the possession, use, occupancy, or maintenance of the Leased Property by Lessee, his agents, employees, or affiliates. 19. Lessor reserves the right to sell, contract to sell, or grant easements or rights-of-way over, through, mider, or 011tthe Leased ;property .at any time during the teim ()ftbis lease, subject to the rights and interests of the Lessee hereunder. 20. All notices, demands, or other documents required or desired to be given, made or sent to either Party under this Agreement shall be made in writing, shall be deemed effective upon receipt and shall be personally delivered or mailed postage prepaid, certified mail, return receipt requested, as follows: TO LESSOR: Littleton/Englewood WWTP Clo Treatment Division Manager 2900 South Platte River Drive Englewood, CO 80110 TO LESSEE: Craig Farms General Partnership, Clo Jerry Craig 77201 U.S. Highway 36 Byers, CO 80103 The addresses for notices may be changed by written notice given to the other Party in the manner provided above. This lease shall be effective as of the date first above written. (Sign.aturesfol/ow on separate pages) Littleton/Englewood WWTP Farm Lease -Craig Farms 2016 Page 3of5 LESSOR: • CITY OF ENGLEWOOD By: Joe Jefferson, Mayor Date: CITY OF LITTLETON By: ""· . ___,,..,,.. _____ ... _,,_ _______ ...,...._,___ __ .,.._.,..._ Date: • • Littleton/Englewood WWTP Farm Lease -Craig Farms 2016 Page 4of5 LESSEE: • CRAIG FARMS GENERAL PARTNERSHIP Date: "' .. ' · ... '-.'' • • Littleton/Englewood WWTP Fann Lease -Craig Farms 2016 Page S of S • • • FARM LEASE THIS LEASE is entered into between the Cities of Littleton and Englewood, (collectively referred to hereinafter as "Lessor''), and Kent Beichle, (referred to hereinafter as "Lessee''). On this date, Lessor has leased to the Lessee, the following described premises situated in the County of Arapahoe, State of Colorado, to wit: That tract ofland described as the WYi and the WYi of the EYi of Section 25, all in Township 5 South; Range 63 West of the 6th P .M., containing 4 7 6 acres, more or less, Together with all buildings and improvements on the premises (hereinafter referred to as the "Leased Property") in accordance with the following terms: 1. This lease replaces and supersedes in its entirety, any prior lease agreement between the parties concerning the Leased Property. This lease shall be for the term of one (1) year, renewable annually for five (5) years commencing on January 1, 2016, and ending on December 31, 2020, at the rent of $12.00 (twelve dollars) per acre per year on farmable acres on the Leased Property, (476 acres) for a total annual lease payment of$5,712.00. 2. Th~ lease payment is to be made payabie ·to the order of: Littleton/Englewood WWTP And delivered to: Littleton/Englewood WWTP Clo Treatment Division Manager 2900 South Platte River Drive Englewood, CO 80110 By December 31 (following the harvest) of each year that this lease is in effect. 3. Lessee shall thoroughly plow, cultivate and farm in accordance with good farming practices, all lands comprising the Leased Property that are not in grass, fallowed by mutual agreement of the parties, or otherwise unfarmable. Lessee shall comply with the terms and conditions of all government agricultural programs applicable to the Leased Property, including the Conservation Reserve Program. 4. Lessee shall use the Leased Property as a d.ryland farm or for livestock grazing (as approved) and for no other purpose whatsoever, and especially will not let or permit the Leased Property to be used for any other business or purpose whatsoever. 5. Lessee shall be responsible for all costs and expenses associated with use of the Leased Property as a dryland farm. 6. Lessee shall not assign this lease, sublet, or relinquish the Leased Property without the express written consent of the Supervisory Committee of the Littleton/Englewood WWTP. If the Lessee attempts to assign this lease, sublet, or relinquish the Leased Property without the express written consent of the Supervisory Committee of the Littleton/Englewood WWTP, the Lessee shall forfeit all the rights under or by virtue of this lease. Littleton/Englewood WWTP Farm Lease -Kent ' Beichle Farm 2016 Page 1of5 ' :.\ .., I! ' x i H I . I B I T . \ c I 7. Lessee shall protect the Leased Property, including buildings, gates, fences, shrubbery, and improvements thereon from all damages and shall keep the same in the same condition as they are now in, or may be at any time placed in by the Lessor, subject to normal wear and tear. Lessee shall do no act whereby any insurance on buildings may be invalidated and shall not remove, or allow any other person to remove, from the Leased Property any of the buildings, gates, fences, shrubbery, and improvements of any kind. 8. Lessee shall not run furrows so as to cause ditches to wash the Leased Property, unless first having a written consent of the Lessor. Lessee shall clean out and maintain in good repair, during the operation of this Lease, all ditches belonging or appertaining to the Leased Property. 9. Lessee shall well and seasonably put in and tend to the crops grown on the Leased Property, shall have all small grain harvested and threshed by October 1 of each year; and if not harvested and threshed as stated, the Lessor may proceed to do so after ten (10) days' notice to the Lessee, and take enough of the Lessee's grain to pay expense of such harvesting or threshing. 10. Lessee shall accept the fences upon said Leased Property as they now are now existing. 11. Lessee shall, at the expiration of this Lease, or upon a breach by the Lessee of any of the t.:uvt:na.nts herein contained, without fur'"Jier notice of any kind, quit atid sutri;nder the possession and occupancy of Leased Property in as good condition as careful use and natural wear and tear thereof will permit. · 12. All goods and chattels, or any other property used or kept on the Leased Property, shall be held for the rent or damages under this Lease, whether exempt from execution or not, meaning or intending hereby to give the Lessor a valid and first lien upon any and all goods and chattels, crops and other property belonging to the Lessee; · · · · 13. Lessee shall cultivate around any structures or facilities on the Leased Property. 14. The Lessor reserves the right to cancel the lease during its term for any of the following reasons: (a) if the Lessee should take any action or fail to take any action that threatens the Lessor's interest in the Leased Property, including the violation of any environmental laws, rules, regulations or standards; (b) if the Lessee is not farming in a manner that constitutes good farming practices; ( c) if the Lessor determines that it will no longer utilize the Leased Property for the production of crops'. 15. Lessor also reserves the right for itself, its agents and its designees, including other government officials, to enter and to have access, at all reasonable times during the term of this lease, to the Leased Property for the purpose of sampling, application, monitoring, testing, screening, mapping, plotting or doing any other procedure, task or function deemed necessary by Lessor, including, but not limited to, inspecting the Leased Property and to make such repairs, additions, or improvements as Lessor may deem necessary. Littleton/Englewood WWTP Farm Lease -Kent Beichle Farm 2016 Page 2of5 • • • • • • 16. It is understood and agreed that the Lessor reserves the right to cancel this lease at its sole discretion. Should Lessor elect to exercise its right of cancellation, it must do so in writing, on or before October 1 prior to the anniversary date hereof, in which event this lease shall be terminated effective on the anniversary date and neither party shall be entitled to further payments or damages as the result of said termination except for any payments due and owing at the time of cancellation. 17. All payments from the Lessee shall become due and payable upon forfeiture of said Lease, or upon abandoning said Leased Property, and if it becomes necessary for the Lessor to bring action at law to recover possession, damage or rent, the Lessee agrees to pay a reasonable attorney's fee therefore, and all costs attending the same. 18. Lessee shall indemnify, defend and hold harmless Lessor and its successors, assigns and representatives from and against any and all damages, claims, losses, costs, liabilities, and expenses of any kind whatsoever (including but not limited to reasonable attorney fees) which may be asserted against or suffered by Lessor or the Leased Property or any part thereof, as a result of, on account of or arising from (i) any breach of any covenant, representation; promise, warranty or agreement made by Lessee, or (ii) injuries or damages to person or property resulting or alleged to result from any fault or negligence of Lessee or his agents or employees, or from •th~ossession,·usef occupancy, or maintenance of the Leased ~roperty by Lessee, his agents, employees, or affiliates. 19. Lessor reserves the right to sell, contract to sell, or grant easements or rights-of-way over, through, under, or on, the Leased Property at any time during the tenn of this lease, subject to the rights and interests of the Lessee hereunder. 20. All notices, demands, or other documents required or desired to be given, made or sent to either Party under this Agreement shall be made in writing, shall be deemed effective upon receipt and shall be personally delivered or mailed postage prepaid, certified mail, return receipt requested, as follows: · TO LESSOR: Littleton/Englewood WWTP Clo Treatment Division Manager 2900 South Platte River Drive Englewood, CO 80110 TO LESSEE: Kent Beichle 7475 South County Road 145 Bennett, CO 8010 The addresses for notices may be changed by written notice given to the other Party in the manner provided above. This lease shall be effective as of the date first above written. (Signatures follow on separate pages) Littleton/Englewood WWTP Fann Lease -Kent Beichle Farm 2016 Page 3 of5 LESSOR: • CITY OF ENGLEWOOD By: Joe Jefferson, Mayor Date: CilY OF LITILETON By: ' . -·--------_;,·--------· Date: • • Littleton/Emrlewood WWTP Fann Lease-Kent Re1chle F~rm ?01" • Date: ' .~: . : . • • Littleton/Englewood WWTP Farm Lease -Kent Beichle Fann 2016 Page 5of5 • ... . . ~ . ·FARMLEASE . " . . ' .. ' ';. ; : ~ '. ~. .. · ...... ·: ;. THIS LEASEis 'enter~ i,ntp betwe~n ,th~·qtie~.~f~htleto~and Engl~wood,.(collectiV,ely referred to hereinafter as 1 'Les~or'~, and Gary and Nancy Meie~ and Jason M~ier, (referred to hereinafter a,s "Lessee''). Oilthis date, 'Lesso~ 'b.as, leaiied to the Lessee~ the foUoWing . .' · . described premises s.it\iat¢d in the Coilntyof J\rapal,1,oe,· St~te o(Go,ora~o, to .wit: ·.· .. · : , • ·. •• ; !' ' , : ':-·-: •• •• ':· • : • • :. ::, •. • ;' : • •.I •• ·, ·., , ,' • : ••. ' '.' ·,.,. • ••. •• ; :~, • • ' \; • •• • • ; ·: . : • , • .·• •• ·». :.· f ~~e ;Exhibit A ~~~ched hereto atld ma(l~ 'a p~ her~of] Together with all ,b~il~gs an~ ~~;o~~·ents ·~~ th~ pretnis~s (h~~ein~~r referr~4 t~ as th~ ... "Leased Property'') in acC()rdance ~tli the following temiS:· , · · · · · · · 1. This le,ase repl~ces and ,supers~des in its entjrety, any prior le~e agreement between the parties coilcernirig thete~ed PropertY: Thl,s lease shall be for the term of one (1) °)rear, renewable an:nuany for five .(5) years comme~cing on .Januacyd, 2016, and ending o~ December 31~ 202Q; · . . · , . · .. • At ~e re~tqf $~2.oo(tw~1:ve dollfil.s) p~r aere per year on fannable acr~s on the Lea5ed Property, (792.6 adres) for $9511.20 · . · '>· . · · · · l!I ~ At therentcf $8.00 (eight dollars) per acre ·on grazing acres on theLeased Property (478 acres) for $3,824.00 • . For a total annual lease payment of $1.3,335.20. • I • ; ' \ • 2. The lease payment is to be made payable to the ~rder of: Littleton/Englewood WWTP And delivered to: Littleton/Englewood WWTP . Clo Treatment Division Manager 2900 South. Platte River Drive Englewood, CO 80110 ; . . ... By December 31 (following the harvest) of each year that this lease is in effect. 3. Lessee shall thoroughly plow, cultivate and farm in accordance with good farming practices, all lands comprising the Leased Property that are not in grass, fallowed by mutual agreement of the parties 1 oi' othernise unfarmable. Lessee shall comply with the terms and conditions of all government agricultural programs applicable to the Leased Property, including the Conservation Reserve Program. · 4. Lessee shall use the Leased Property as a dryland farm or for livestock grazing (as approved) and for no other purpose whatsoever, and especially will not let or pemtlt the Leased Property to be used for any other business or purpose whatsoever. 5. Lessee shall be responsible for all costs and expenses associated with use of the Leased • Property as a dryland farm. Littleton/Englewood WWTP Farm Lease -Meier Farm 2016 Page 1of5 . ;" ;-j I! ! ~ ., I ;' ·J 'i' ..:d T . I .. ·. ! D ··! 6. Lessee shall not assign this lease, sublet, or relinquish the Leased Property without the express written consent of the Sl1Pervisory Committee of the Littleton/Englewood WWTP. If the Lessee attempts to assign this lease, sublet, or relinquish the Leased Property without the express written consent of the Supervisory Committee of the Littleton/Englewood WWTP, the Lessee shall forfeit all the rights under or by virtue of this lease. 7. Lessee shall protect the Leased Property, including buildings, gates, fences, shrubbery, and improvements thereon from all damages and shall keep the same in the same condition as they are now in, or may be at any time placed in by the Lessor, subject to normal wear and tear. Lessee shall do no act whereby any insurance on buildings may be invalidated and shall not remove, or allo;w any other person to remove, from the Leased Property any of the buildings, gates, fences, shrubbery, and improvements of any kind. 8. Lessee shall not run furrows so as to cause ditches to wash the Leased Property, unless first having a written consent of the Lessor. Lessee shall clean out and maintain in good repair, during the operation of this Lease, all ditches belonging or appertaining to the Leased Property. 9. Lessee shall well and seasonably put in and tend to the crops grown on the Leased Property, shall have all small grain harvested and threshed by October 1 of each year; and if not . ha.."\·e~td .. and. threshed-as stated, the. Les~r :i:nayproce~d to .do so after ten-(10) da~1s' notice tc the Lessee, and take enough of the Lessee's gram to pay expense ofsuch harvesting or 4-1. ... aah~"n '-.L&.L "'1;1.a..u..a..Lo• 10. Lessee shall accept the fences upon said Leased Property as they now are now existing. 11. Lessee shall, at the expiration of this Lease, or upon a breach by the Lessee of any of the covenants herein contained, without further notice of any kind, quit and surrender the possession and occupancy of Leased Property in as good condition as careful use and natural wear and tear thereof will permit. 12. All goods and chattels, or any other property used or kept on the Leased Property, shall be held for the rent or damages under this Lease, whether exempt from execution or not, meaning or intending hereby to give the Lessor a valid and first lien upon any and all goods and chattels, crops and other property belonging to the Lessee. 13. Lessee shall cultivate around any structures or facilities on the Leased Property. 14. The Lessor reserves the right to cancel the lease during its term for any of the following reasons: (a) if the Lessee should take any action. or fail to take any action that threatens the Lessor's interest in the Leased Property, including the violation of any environmental laws, rules, regulations or standards; (b) ifthe Lessee is not farming in a manner that constitutes good farming practices; ( c) if the Lessor determines that it will no longer utilize the Leased Property for the production of crops. 15. Lessor also reserves the right for itself, its agents and its designees, including other • • government officials, to enter and to have access, at all reasonable times during the term of this • lease, to the Leased Property for the purpose of sampling, application, monitoring, testing, screening, mapping, plotting or doing any other procedure, task or function deemed necessary by Lessor, including, but not limited to, inspecting the Leased Property and to make such Littleton/Englewood WWTP Farm Lease -Meier Farm 2016 Page 2 of 5 • • repairs, additions, or improvements as Lessor may deem necessary . 16. It is understood and agreed that the Lessor reserves the right to cancel this lease at its sole discretion. Should Lessor elect to exercise its right of cancellation, it must do so in writing, on or before October 1 prior to the anniversary date hereof, in which event this lease shall be terminated effective on the anniversary date and neither party shall be entitled to further payments or damages as the result of said termination except for any payments due and owing at the time of cancellation. 17. All payments from the Lessee shall become due and payable upon forfeiture of said Lease, or upon abandoning said Leased Property, and if it becomes necessary for the Lessor to bring action at law to recover possession, damage or rent, the Lessee agrees to pay a reasonable attorney's fee therefore, and all costs attending the same. 18. Lessee shall indemnify, defend and hold harmless Lessor and its successors, assigns and representatives from and against any and all damages, claims, losses, costs, liabilities, and ·.~xpms~s of~~yki,nd whatsoever ,(inclmling ·but not .limited to reMonebleattcmey. fee:}-•Nhlch., .. may be asserted against or suffered by Lessor or the Leased Property or any part thereof, as a result of, on account of or arising from (i) any breach of any covenant, representation; promise, warranty or agreement made by Lessee, or (ii) injuries or damages to person or property resulting or alleged to result from any fault or negligence of Lessee or his agents or employees, or from the possession, use, occupancy, or maintenance of the Leased Property by Lessee, his agents, employees, or affiliates. 19. Lessor reserves the right to sell, contract to sell, or grant easements or rights-of-way over, through, under, or on, the Leased Property at any time during the term of this lease, subject to the rights and interests of the Lessee hereunder. 20. All notices, demands, or other documents required or desired to be given, made or sent to either Party under this Agreement shall be made in writing, shall be deemed effective upon receipt and shall be personally delivered or mailed postage prepaid, certified mail, return receipt requested, as follows: TO LESSOR: jttleton/Englewood WWTP Yo Treatment Division Manager ~900 South Platte River Drive ~nglewood, CO 80110 TO LESSEES: Gary and Nancy Meier 3265 SCR 185 Byers, CO 80103 rhe addresses for notices may be changed by written notice given to the other Party in the nanner provided above. • Lhis lease shall be in effect as of the date first above written. Littleton/Englewood WWfP Fann Lease -Meier Fann 2016 Page 3of5 (Signatures follow on separate pages) • . ~·· .. . ........... ,,. . ....... . • • Littleton/Englewood WWTP Farm Lease -Meier Farm 2016 Page 4 of 5 • LESSOR: CITY OF ENGLEWOOD By: Joe Jefferson, Mayor Date: CITY OF UITLETON By: .. ·.r '· .... Date: • • Littleton/Englewood WWTP Farm Lease -Meier Farm 2016 Page 5of5 LESSEES: By: 'Nan~ier 4 ~· Date: Littleton/Englewood WWTP Farm Lease -Meier Farm 2016 • • • Page 6of5 Exhibit A LEGAL DESCRIPTION Parcel I: The East Y2 of Section 33, Township 3 South, Range 57 West of the 6th P.M.,_ County of Adams, State of Colorado. Parcel II: The West Y2 of Section 8, Township 4 South, Range 57 West of the 6th P .M., EXCEPT the West 40 feet for county road purposes as described in Quit Claim Deed recorded September 8, 1948, in Book 618, at Page 121, County of Arapahoe, State of Colorado. Parcel III: Section 17, Township 4 South, Range 57 West of the 6th P .M., EXCEPT the West 40 feet and the South 40 feet thereof as described in Quit Claim Deed recorded September 8, 1948, in Book 618, Page 128, County of Arapahoe, State of Colorado. Littleton/Englewood WWTP Farm Lease -Meier Farm 2015 Exhibit A • • • FARM LEASE THIS LEASE is entered into between the Cities of Littleton and Englewood, (collectively referred to hereinafter as "Lessor"), and Clint A. Burnet, (referred to hereinafter as "Lessee"). On this date, Lessor has leased to the Lessee, the following described premises situated in the County of Arapahoe, State of Colorado, to wit: That tract ofland described as the SYi of Section 23, except the W 40 feet deeded in Book 636 at Page 9, and the SW~ of Section 24, all in Township 5 South; Range 63 West of the 6th P.M., containing 4 71 acres, more or less, Together with all buildings and improvements on the premises (hereinafter referred to as the "Leased Property'') in accordance with the following terms: 1. This lease replaces and supersedes in its entirety, any prior lease agreement between the parties concerning the Leased Property. This lease shall be for the term of one (1) year, renewable annually for five (5) years commencing on January 1, 2016, and ending on December 31, 2020, at the rent of $12.00 (twelve dollars) per acre per year on farmable acres o~ the Leased Property, (471 acres) for a total annual lease payment of$5,652.00. 2. The lease payment is to be made payable to the order of: Littleton/Englewood WWTP And delivered to: Littleton/Englewood WWTP Clo Treatment Division Manager 2900 South Platte River Drive Englewood, CO 80110 By December 31 (following the harvest) of each year that this lease is in effect. 3. Lessee shall thoroughly plow, cultivate and farm in accordance with good farming practices, all lands comprising the Leased Property that are not in grass, fallowed by mutual agreement of the parties, or otherwise unfarmable. Lessee shall comply with the terms and conditions of all government agricultural programs applicable to the Leased Property, including the Conservation Reserve Program. 4. Lessee shall use the Leased Property as a dryland farm or for livestock grazing (as approved) and for no other purpose whatsoever, and especially will not let or permit the Leased Property to be used for any other business or purpose whatsoever. 5. Lessee shall be responsible for all costs and expenses associated with use of the Leased Property as a dryland farm. 6. Lessee shall not assign this lease, sublet, or relinquish the Leased Property without the express written consent of the Supervisory Committee of the Littleton/Englewood WWTP. If the Lessee attempts to assign this lease, sublet, or relinquish the Leased Property without the Littleton/Englewood WWfP Farm Lease -Clint Burnet Farm 2016 Page 1of5 . . . I e: :1 x :1 H . ,• I B I T •• • • • express written consent of the Supervisory Committee of the Littleton/Englewood WWTP, the Lessee shall forfeit all the rights under or by virtue of this lease. • • 7. Lessee shall protect the Leased Property, including buildings, gates, fences, shrubbery, and improvements thereon from all damages and shall keep the same in the same condition as they are now in, or may be at any time placed in by the Lessor, subject to normal wear and tear. Lessee shall do no act whereby any insurance on buildings may be invalidated and shall not remove, or allow any other person to remove, from the Leased Property any of the buildings, gates, fences, shrubbery, and improvements of any kind. 8. Lessee shall not run furrows so as to cause ditches to wash the Leased Property, unless first having a written consent of the Lessor. Lessee shall clean out and maintain in good repair, during the operation of this Lease, all ditches belonging or appertaining to the Leased Property. 9.· Lessee shall well and seasonably put in and tend to the crops grown on the Leased Property, shall have all small grain harvested and threshed by October 1 of each year; and if not harvested and threshed as stated, the Lessor may proceed to do so after ten ( 10) days' notice to the Lessee, and take enough of the Lessee's grain to pay expense of such harvesting or . . iO. Lessee shali accept the fencelf upm1 said Lea.~e<l Propr;~rly HS th~y now are now eJCisting . 11. Lessee shall, at the expiration of this Lease, or upon a breach by the Lessee of any of the covenants herein contained, without further notice of any kind, quit and surrender the possession and occupancy of Leased Property in as good condition as careful use and natural wear and tear thereof will permit. 12. All goods and chattels, or any other property used or kept on the Leased Property, shall be held for the rent or damages under this Lease, whether exempt from execution or not, meaning or intending hereby to give the Lessor a valid and first lien upon any and all goods and chattels, crops and other property belonging to the Lessee. 13. Lessee shall cultivate around any structures or facilities on the Leased Property. 14. The Lessor reserves the right to cancel the lease during its term for any of the following reasons: (a) if the Lessee should take any action or fail to take any action that threatens the Lessor's interest in the Leased Property, including the violation of any environmental laws, rules, regulations or standards; (b) if the Lessee is not farming in a manner that constitutes good fanning practices; ( c) if the Lessor determines that it will no longer utilize the Leased Property for the production of crops. 15. Lessor also reserves the right for itself, its agents and its designees, including other government officials, to enter and to have access, at all reasonable times during the term of this lease, to the Leased Property for the purpose of sampling, application, monitoring, testing, screening, mapping, plotting or doing any other procedure, task or function deemed necessary by Lessor, including, but not limited to, inspecting the Leased Property and to make such repairs, additions, or improvements as Lessor may deem necessary. Littleton/Englewood WWTP Farm Lease-Clint Burnet Farm 2016 Page 2 of 5 16. It is understood and agreed that the Lessor reserves the right to cancel this lease at its sole discretion. Should Lessor elect to exercise its right of cancellation, it must do so hi writing, on or before October 1 prior to the anniversary date hereof, in which ev~nt this lease shall be terminated effective on the anniversary date and neither party shall be entitled to further payments or damages as the result of said termination except for any payments due and owing at the time.of cancellatio~. . . . . 17. All payments from the Lessee shall become due and payable upon forfeiture of said Lease, or upori abandoning said Leased Property, an4 if it becomes necessary for the Lessor to bring action at law to recover possession, damage or rent, the Lessee agrees to pay a reasonable attorney's fee therefore, and all costs · attending the same. 18. . Lessee ~hall indemnify, defend and hold harmless Lessor and its successors~ assigns aiid representatives from and against any and all .damages, claims, losses, costs, liabilities, and expenses of anykind whats9eVer (including but not limited to reasonable attorney fees) which may be asserted against or suffered by Lessor or the Leased Property or any part thereof, as a result of, on account of or arising from (i) any breach of any covenant, representation; promise, warranty or agreement made by Lessee, or (ii) injuries or damages to person or property resulting or alleged to reSult from any fault or negligence of Lessee or bis agents or employees, or fromttth" possession, use, occupancy~ or· maintenance of the · Leased Property by Lessee~ his. agents, employees, or affiliates. 19. Lessor reserves the right to sell, contract to seti, or grant easements or rights-of-way over, through, under, or on, the Leased Property at any time during the term of this lease, subject to the rights and interests of the Lessee hereunder. 20. All notices, demands, or other documents required or desired to be given, made or sent to either Party under this Agreement shall be made in writing, shall be deemed effective upon receipt and shall be personally delivered or mailed postage prepaid, certified mail, return receipt requested, as follows: TO LESSOR: Littleton/Englewood WWTP Clo Treatment Division Manager 2900 South Platte River Drive Englewood, CO 80110 TO LESSEE: Clint A. Burnet 50555 East County Road 30 Bennett, CO 80102 The addresses for notices may be changed by written notice given to the other Party in the manner provided above. This lease shall be effective as of the date first above written. (Signatures follow on separate pages) Littleton/Englewood WWTP Farm Lease -Clint Burnet Fann 2016 Page3 ofS • • • • LESSOR: CITY OF ENGLEWOOD B~ Joe Jefferson, Mayor Date: CITY OF LITILETON ,·.· ' By: Date:.· • • Littleton/Englewood WWTP Farm Lease-Clint Burnet Farm 2016 Page4of5 LESSEE: • By:~Bumet :?:> .-;t, -/~ Date: • • Littleton/Englewood WWTP Farm Lease-Clint Burnet Farm 2016 Page 5of5 f> • COUNCIL COMMUNICATION Meeting Date: Agenda Item: Subject: Approval of Retail 11bi Marijuana TABOR ballot August 1, 2016 language-2nd Reading Initiated By: Department of Finance and Staff Source: Kathleen Rinkel, Director of Administrative Services Finance and Administrative Services PREVIOUS COUNCIL ACTION Council agreed at the June 6, 2016, Study Session to include a Tabor question to tax Recreational Marijuana sales, should the industry intiative pass, in the November 2016 elections . At the June 20, 2016, Study Session, Council directed staff to adjust the language to clarify the subject. At the July 5th Council Study Session, the proposed wording was discussed and approved by City Council, which then directed staff to bring the proposed bill for an ordinance forward for first reading at the July 18, 2016, Council meeting. • RECOMMENDED ACTION • Staff recommends Council approve a bill for an ordinance, on second reading, approving the ballot language to be included in the November 2016 elections. BACKGROUND, ANALYSIS, AND ALTERNATIVES IDENTIFIED Pursuant to Article X, § 20 of the Colorado Constitution ("TABOR"), the voters must approve any additional taxation . To be able to collect sales tax on the sale of Recreational Marijuana, should the initiative pass in the November 2016 election, a ballot issue must be approved by the voters for the specific tax. Council has had lengthy discussions on the Recreational Marijuana issue and agreed that a ballot issue regarding the taxing of recreational marijuana should be placed on the November 2016 ballot. Council also directed staff to provide clarification in the ballot language adding: • "FOR THE RETAIL SALE OF MARIJUANA" after the initial introduction of the sales tax proposal. • A 'whereas' clause to further enunciate that the tax upon retail marijuana sales will only go into effect if an initiative is passed by the voters that allows for such sales . FINANCIAL IMPACT Taxation of Recreational Marijuana sales will provide additional Sales & Use tax for the City. Estimation of revenue is $512,500 based on sampling sales in the neighboring cities of Wheatridge, Northglenn and Littleton . The estimate was calculated based on an average sale of approximate ly $171 ,000 per store and an assumption of three stores in Englewood. LIST OF ATTACHMENTS Proposed Bill for an Ordinance • • • • • • ORDINANCE NO. SERIES OF 2016 BY AUTHORITY COUNCIL BILL NO. 27 INTRODUCED BY COUNCIL MEMBER OLSON AN ORDINANCE SUBMITTING TO A VOTE OF THE REGISTERED ELECTORS OF THE CITY OF ENGLEWOOD AT THE NEXT MUNICIPAL ELECTION NOVEMBER 8, 2016 A BALLOT QUESTION AUTHORIZING THE CITY OF ENGLEWOOD SALES TAXES BE INCREASED BY $512,500 ANNUALLY IN THE FIRST FULL FISCAL YEAR AND BY SUCH AMOUNTS AS ARE RAISED ANNUALLY THEREAFTER BY IMPOSING AN ADDITIONAL SALES TAX OF 3.5% ON THE SALE OF RETAIL MARIJUANA AND RETAIL MARIJUANA PRODUCTS, WITH THE TAX REVENUES BEING USED TO FUND ANY LAWFUL GOVERNMENT AL PURPOSE DETERMINED BY THE CITY COUNCIL, WITH THE RATE OF THE TAX BEING ALLOWED TO BE INCREASED OR DECREASED WITHOUT FURTHER VOTER APPROVAL SO LONG AS THE RATE OF TAXATION DOES NOT EXCEED 15% AND WITH THE RESULTING TAX REVENUE BEING ALLOWED TO BE COLLECTED AND SPENT NOTWITHSTANDING ANY LIMITATIONS PROVIDED BYLAW . WHEREAS, this bill for an ordinance would submit to the registered voters of the City of Englewood a ballot question issue regarding increasing City taxes by imposing an additional Sales Tax on the sale of Retail Marijuana and Retail Marijuana Products, with the tax revenues used to fund any lawful governmental purpose determined by the City Council, with the rate of the tax being allowed to be increased or decreased without further voter approval so long as the rate of taxation does not exceed 15%, and with the resulting tax revenue being allowed to be collected and spent notwithstanding any limitations provided by law; and WHEREAS, Article X, Section 20 of the Colorado Constitution, commonly known as TABOR, requires that the City have voter approval prior to issuance of any multiple-fiscal year direct or indirect debt or other financial obligation whatsoever. NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF ENGLEWOOD, COLORADO, THAT: Section 1. There is hereby submitted to the registered electors of the City of Englewood at the next scheduled municipal election November 8, 2016, the following ballot question authorizing the City of Englewood Sales Taxes be increased by imposing an additional Sales Tax of 3.5% on the sale of Retail Marijuana and Retail Marijuana products, with the tax revenues being used to fund any lawful governmental purpose determined by the City Council to read as follows: 1 Question No. __ SHALL CITY OF ENGLEWOOD TAXES BE INCREASED BY $512,500 ANNUALLY IN THE FIRST FULL FISCAL YEAR AND BY SUCH AMOUNTS AS ARE RAISED ANNUALLY THERE AFTER BY IMPOSING AN ADDITIONAL SALES TAX OF 3.5% ON THE SALE OF RETAIL MARIJUANA AND RETAIL MARIJUANA PRODUCTS, WITH THE TAX REVENUES BEING USED TO FUND ANY LAWFUL GOVERNMENT AL PURPOSE DETERMINED BY THE CITY COUNCIL, WITH THE RA TE OF THE TAX BEING ALLOWED TO BE INCREASED OR DECREASED WITHOUT FURTHER VOTER APPROVAL SO LONG AS THE RATE OF TAXATION DOES NOT EXCEED 15%, AND THE RESULTING TAX REVENUE BEING ALLOWED TO BE COLLECTED AND SPENT NOTWITHSTANDING ANY LIMITATIONS PROVIDED BY LAW? Yes No ------ Section 2. Each elector voting at said election and desirous of voting shall indicate his/her choice by depressing the appropriate counter of the voting machine or by the appropriate marking upon paper ballots where used. Section 3 . The proper officials of the City of Englewood shall give notice of said next scheduled municipal election, such notice shall be published in the manner and for the length of time required by law, and the ballots cast at such election shall be canvassed and the result ascertained, determined, and certified as required by law. Section 4. For purposes of Section 1-11-203.5, C.R.S., this Ordinance shall serve to set the title and content of the ballot issue set forth herein and the ballot title for such question shall be the text of the question itself. Any petition to contest the form or content of the ballot title may be filed with the District Court and a copy served on the City Clerk within five days after the title of the ballot question is set by the City Council on final reading of this Ordinance. Section 5. If any section, paragraph, clause, or other portion of this Ordinance is for any reason held to be invalid or unenforceable, the invalidity or unenforceability shall not affect any of the remaining portions of this Ordinance. Introduced, read in full, and passed on first reading on the 18th day of July, 2016. Published by Title as a Bill for an Ordinance in the City's official newspaper on the 21st day of July, 2016. 2 • • • • • • Published as a Bill for an Ordinance on the City's official website beginning on the 20th day of July, 2016 for thirty (30) days . Read by title and passed on final reading on the 1st day of August, 2016. Published by title in the City's official newspaper as Ordinance No. _, Series of 2016, on the 4th day of August, 2016 . Published by title on the City's official website beginning on the 3rd day of August, 2016 for thirty (30) days . Joe Jefferson, Mayor ATTEST : Loucrishia A. Ellis , City Clerk I, Loucrishia A. Ellis, City Clerk of the City of Englewood, Colorado, hereby certify that the above and foregoing is a true copy of the Ordinance passed on final reading and published by title as Ordinance No._, Series of 2016 . Loucrishia A. Ellis 3 , • • • COUNCIL COMMUNICATION Meeting Date: Agenda Item: Subject: Approval of 11ci Investment Advisory August 1, 2016 Agreement Initiated By: Department of Finance and Staff Source: Kathleen Rinkel , Director of Administrative Services Finance and Administrative Services PREVIOUS COUNCIL ACTION In 1991 the City entered into a professional services agreement with American Money Management Associates , Inc. (AMMA) for investment management services . In 1996 AMMA merged with MBIA Asset Management. In 2010 Cutwater Asset Management assumed the investment management services formerly offered by MBIA Asset Management. RECOMMENDED ACTION Staff recommends Council approve, by resolution, a new Agreement for Investment Advisory services to include Investment and reinvestment of the City 's assets within the City 's guidelines . BACKGROUND, ANALYSIS, AND ALTERNATIVES IDENTIFIED In 2016 the City issued a request for proposal for investment advisory services . Four firms were identified as finalists and the City has selected Insight Investment, a subsidiary of Bank of New York , Mellon to provide investment management services for the City 's investment portfolio . FINANCIAL IMPACT The fees for the investment advisory services are based on the average market value of the City 's investment portfolio . The City's investment portfolio is approximately $53 ,000 ,000 . At the current market value , the yearly fees are approximately $45 ,000 . LIST OF ATTACHMENTS Investment Advisory Agreement for approval • • • RESOLUTION NO . SERIES OF 2016 A RESOLUTION APPROVING AN AGREEMENT FOR INVESTMENT ADVISORY SERVICES BETWEEN CUTWATER INVESTOR SERVICES CORP. (d.b.a. INSIGHT INVESTMENT) AND THE CITY OF ENGLEWOOD. WHEREAS, in 1991 the City entered into an agreement with American Money Management Associates, Inc. (AMMA) for investment management services; and WHEREAS, in 1996 AMMA merged with MBIA Asset Management; and WHEREAS, in 2010 Cutwater Asset Management assumed the investment management services formerly offered by MBIA Asset Management; and WHEREAS, in 2016 the City issued a request for proposal for investment advisory services and Insight Investment, a subsidiary of Bank of New York, Mellon was selected to provide investment management services for the City's Investment portfolio; and WHEREAS, the passage of this Resolution approves an investment advisory agreement with Cutwater Investor Services Corp. (d.b.a. Insight Investment) which includes investment and reinvestment of the City's assets within the City's guidelines. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF ENGLEWOOD, COLORADO, THAT: Section 1. The "Insight Investment -Investment Advisory Agreement" between Cutwater Investor Services Corp. (d.b.a. Insight Investment), attached hereto as Exhibit A, is hereby accepted and approved by the Englewood City Council. Section 2. The Mayor is hereby authorized to sign said Agreement for and on behalf of the City of Englewood, Colorado. ADOPTED AND APPROVED this 1st day of August, 2016. ATTEST: Joe Jefferson, Mayor Loucrishia A. Ellis, City Clerk I, Loucrishia A. Ellis, City Clerk for the City of Englewood, Colorado, hereby certify the above is a true copy of Resolution No. __ , Series of 2016 . Loucrishia A. Ellis, City Clerk • • • Insight Investment INVESTMENT ADVISORY AGREEMENT This Agreement, dated as of the ·--. day of 2016 ("Agreement"); is entered into by and between Cutwater Investor Services Corp. (d/b/a lnsight Investment) (''Adviser") and City Englewood ("Client")• The parties hereto agree as follows: 1. Account Assets Client hereby appoints Adviser as its investment adviser to direct, in its sole discretion and without prior consultation or approval of Client, the investmenta,nd reinvestment of the assets in Client's account (the "Account") on the following terms and conditions. Client may, upon wi:itten notice td Adviser, add to or temove assets from the Accolmt. Adviser is under no obligatioi1 to hold any contributed assets and is authorized to engage in an orderly liquidation of such assets as promptly as practicable to establish Client's investment portfolio. Any and all assets (including, without limitation, debt or equity securities, other financial instruments and cash) from time to time in, or identified for, the Account shall hereafter be referred to as the "Account Assets". 2. Investment Services Without Client's prior consentto each transaction and subjeFt to the Investment Guidelines (defined below), Adviser shall have full discrenonary authority as agent and attorney-in-fact, with full power of substitution and full authority in Client's name, With respect to the Account to (a) buy, sell, hold, exchange, convert, advise on, or otherwise deal in any manner in any Account Assets as permitted under the Investment Guidelines; (b) place orders for the execution of such AccountAssets and other transactions with or through such brokers, dealers, counterparties, issuers, agents or arrangers as Adviser may select; (c) negotiate, execute and amend (as applicable), on behalf of the Client, such brokerage, and other agreements and documents as Adviser deems necessary or appropriate in connection with the Account's investment activities or the performance of the Adviser's duties hereunder. The Client agrees that the Adviser assumes no responsibility or liability, for any Client investments for which the Adviser has not been appointed as investment adviser. The Client understands that this Agreement does not require or obligate the Adviser to provide legal or tax advice services to the Client and that the Adviser is not providing such services to the Client. 3. Investment Guidelines The Advise!' agrees to supervise and direct the investment of the Account with regard to the written investment objectives and policies and in accordance with restrictions applicable to the Accmint ("Investment Guidelines") attached hereto as Exhibit A, which may be amended in writing from time to time upon the mutual agreement of the partles. Client also shallprovide Adviser with any additional information that Adviser may reasonably request to assist it in managing the Account. Unless otherwise indicated in the Investment Guidelines there are no restrictions on (i) the types or categories of investments in which the Adviser may invest on behalf of the Client, (ii) the markets on which transactions may be carried out or (iii) the amount or proportion of the Account that may be invested in any category of investment or in any one investment. Client is solely responsible for ensuring that the Investment Guidelines comply with the laws, rules, regulations, and the policies and procedures that are applicable to the Account. The Client acknowledges that compliance with the Investment Guidelines will be monitored as. of close of each business day (defined as each day the New York Stock Exchange is open for business). The Investment Guidelines shall not be deemed to be breached as a result of the occurrence of any of the following events: (i) any changes in price or value of any investment which is brought about solely through movements in the market; (ii) any change in the composition of any benchmark set out in the Investment Guidelines; (iii) any Page 1 of 9 E x H I B I T A issue, redemption or cancellation of investments by, or capital reconstruction of, a company or issuer whose securities are held in the Account or to which the Account has exposure; (iv) any change in rating of an ilwestment held in the Account or to Which the Account has exposure, or any issuer Qfany such investment; (v) any change in Investment Guidelines directed by the Client, including changes to lists ofrestricted securities; or (vi) any addition or withdrawal ofcash or other assets by the Client. 4. Custody Adviser shall have no responsibility for the custody of the Account Assets. The Client shall select a ("Custodian") to hold the Account Assets in safekeeping for the Client and to take all necessary steps to settle purchases, sales and other transactions under this Agreement made by Adviser; including delivery of certificates, payment of funds, collection of income, dividends, and other distributions, and such other acts as may be necessary to fulfill such custodial responsibilities. Clie11t authorizes Adviser to give Custodian instn1ctions for the p\lrchase, sale, conversion, redemption, exchange 01· retention of any setutity, cash or cash equivdlent or other investment for the Account .Adviser shall give notice and ptoper instruttiOns with respect to transactions in such reasonable manner as shall be agreed upon with the Custodian and Client. The Adviser will not have custody or possession of the assets of the Account of the Client or authority to effect withdrawals or deposits in the Account and shall not be liable for any act or omission of the Custodian. The Client shall be solely responsible for all fees involved with any custodial arrangements. Client shall notify Adviser prior to making any changes to the Custodian, 5. Legal Attions; Proxy and Corporate Actions The Client agrees that Adviser shall not be responsible for, and shall incur no liability, in connection with the handling of any legal proceedings, including class attions and bankruptcies (each, a "Legal Action"), with respect to .securities purchased or held in the Account Client and/or its Custodian will handle matters relating to any Legal Action and Adviser shall not have any obligations relating thereto. Client will, or will direct its Custodian to, send to Adviser or its agent (i) illl proxy solicitation :material and other related material, including interim reports, annual reports and other issuer mailings respect to the Account as well as all materials and information relating to corporate reorganization matters (e.g., conversions, tender and exchange offers, mergers, stock splits, rights offerings, recapitalizations; amendments, modifications or waivers or other rights or powers) (collectively, "Proxy and Corporate Action Material"). Adviser shall have full discretionary authority as agent and attorney-in-fact, with full powet of substitution and full authority in Client's name, with respectto the Account to act and vote upon all Proxy and Corporate Action Material and Adviser may, at its discretion, elect to use one or more third parties in fulfilling its obligations hereunder; Client understands that even if it has appointed Adviser to receive and act upon the Proxy and Corporate Action Material, Client may receive certain other issuer-related communications · regarding investments irt the Accou .tit and will be responsible for ptoviding Adviser with any applicable instructions or directions contemplated by such communication; Clientmay obtain a copy of Adviser's proxy voting policies upon request. 6. Client Reporting The Adviser will make available to the Clieritperiodic reports. The Adviser does not assume responsibility for the accuracy of information or data furnished by the Client, the Custodian or any other person or firm. The Client acknowledges thatthe Custodian's statements are the official records of the Account Assets. 7. Allocation of Brokerage When placing orders for the execution of transactions for the Account, the Adviser will take into consideration available prices and other relevant factors such as, without limitation, execution capabilities, dealer spreads or commissions, settlement and clearance capabilities; willingness to commit capital as a prineipal, size and difficulty of the transaction, research and other services provided by such broker-dealers. The. Advisel" will exercise good faith in seeking to obtain the best price and execution for each transaction for the Account; however, trc;1nsactions will not always be executed at the lowest available price. The Adviser shall not be liable to the Client for any act or omission of any broker or dealer selected by the Adviser. Page 2 of 9 • • • • • • In placing orders for the Account, Adviser niay effect transactions independently or purchase or sell the same or similar Account Assets for several clients (including clients of affiliated advisers) at approximately the same time. In the event that Adviser aggregates such orders to seekhest execution or to negotiate more favorable commission rates than might have beert obtained had Adviser placed such orders independently, Adviser will allocate such orders in a manner it considers to be fair and equitable among its clients. Adviser may give a copy of this Agreement to any broker-dealer or other party to a transaction for the Account, or the Custodian, as evidence of Adviser's authority to act for the Account. 8. Valuation The Adviser will value the securities in the Account based upon prices obtained .from an independent pricing source(s). Where prices cannot be obtained from such an independent source, Adviser will value that security in a good faith manner to reflect the fair market value thereof. The Client acknowledges that the Custodian is the pricing agent for the Client's books and records and other custodial reporting purposes. 9. Delegation In performing its obligations under this Agreement, Client authorizes Adviser, at its own discretion and without the consent of the Client, to delegate any back-and mictdle"office functions and either non- discretionary investment management services to any affiliate of Adviser as well as third party service providers subject to confidentiality agreements. 10. Fees The compensation of the Adviser for its services under this Agreement shall be calculated and paid in acco1·dance with the Fee Schedule in Exhibit B, as the same may be amended from time to time by mutual agree111ent of the Clientand the Adviser. 11. Other Expenses The Account shalI he responsible for all expenses relatec! to trading the assets of theAccount, including but not limited to, brokerage commissions, d,e(ller spreads, exchange service fees, taxes, and interest on Ae;count- related loans and debit balances. 12. Limitation of Liability Adviser does .not guarantee the performance of the Account or any specific level of performance or the success of any investmentdecision or strategy that Adviser may employ. Clientunderstands that investment decisions made for the Account are subject to various market, currency, economic; political or business risks, and that those investment decisions wfll not always be profitable. Adviser will manage only the Account Assets and property held in the Account, and in making investment decisions for the Account, Adviser will not consider any other investn1ents owned by the Client Because Adviser may provide advice to Client regarding only a portion of the Account's assets, Adviser shall not be responsible to ensure that the Account's assets, viewedin their entirety, are sufficiently diversified. Adviser will exercise reasonable care in its performance of investment advisory services on the Client's; behalf. Except for fraud, gross negligence or willftil misconduct, none of the Adviser, its affiliates or its delegates, nor any oftheir respective officers, directors, employees or agents shall be liable hereunder for any actions performed or omitted to be performed or for any errors of judgment in managing the Account. Notwithstanding anything in this Agreement to the contrary, to the extent permitted by Jaw, each party waives all rights to claim punitive or consequential damages . 13. Services to Other Clients It is understood that the Adviser and its affiliates perform investment advisory services and related services for other di en ts. The Client agre.es that the Adviser may give advice and take action with respectto any ofits Page :3 of 9 other clients, including proprietary acc,ounts, which may differ from advice given, or the timing, or nature of action ta,ken, with respect to the Account. Nothing in this Agreement shall be construed to preve11t Adviser or any affiliate of Adviser or any of its directors, officers, employees, or affiliates ("Affiliated Persons'') in any way from p1irchasing or selling any same or similar Account Asset~ for its or their·own accounts prior to, simultaneously with, or subsequent to any recommendation or action taken with respect to the Account, or to impose upon Adviser any obligation to purchase or sell for the Account any security which Adviser or any of its Affiliated Persons may purchase or sell for its or theii• own accounts or for the account of any advisory, brokerage or other type of client. The Client acknowledges that Adviser ol' its affiliates may, from time to time, come into possession of material non-public or other confidential informationthat may restrict the Adviser's ability to enter into transaction on behalf of the Account, and Adviser will have no liability hi connection therewith. 14. Representations by the Client The Client represents that the terms of this Agreement do not violate any obligation by which the Client is, bound, whether arising by contract, operation of law, or otherwise, and that this Agreement has been dtily authorized by appropriate action and is binding upon the Client in accordance with its terms, The Client agrees that the Adviser may use Client's name in the Adviser's promotional material and may provide the Client's name and contact details in response to certain RFP requests for client contact information. 15. Representations by the Adviser The Adviser represents that it is a registered investment adviser under the provisions of the Investment Advisers Act of 1940, as amended ("the Act"). This Agreement has been duly authorized by appropriate action and is binding upon the Adviser in accordance with its terms. The Adviser shall act in accordance with the prudent investor rule and other applicable provisions for delegated fiduciaries set forth in the Colorado Uniform Prudent Investor Act -15-1-1-101, et seq. of the Colorado Revised Code, as may be amended. 16. Acknowledgment of Receipt of Brochure (Form ADV Part 2A) The Client hereby acknowledges receipt of the Adviser's Brochure (Form ADV, Part 2A) in compliance with Rule 204-3 of the Act. By signing this Agreement, Client acknowledges its understanding and approval of Adviser's policies and procedures, including its broker-dealer and counterparty selection practices and execution and allocation of orders described in Adviser's written disclosure statement. 17. Notices Any notice, report, account statement, instruction or other communication required or contemplated by this Agreement shall be in writing and, unless otherwise provided 'in this Agreement, will be deemed to have been given (b) when delivered in person, (c) when dispatched by electronic mail, (d) when dispatched by facsimile (confirmed in writing by electronic mail or U.S. mail simultaneously dispatched) or (d) one (1) business day after having been dispatched by a nationally recognized overnight courier service to the appropriate party at the address set forth below. All notices and other communications shall be deemed effective when received, iri writing, at the addresses appearing below. Receipt of written notice shall be presumed if mailed postpaid by registered or certified mail, return receipt requested. Each party shall be entitled to presume the correctness ofthe address below until notified in writing to the contrary. The Client hereby consents to the Adviser's use of electronic mail to satisfy its disclosure delivery requirements under the federal securities laws (including the Adviser'sobligation to deliver its Form ADV), and to deliver any other reports, and documents. Such consent shall be effective for the duration of this Agreement, unless the Client revokes such consent in writing. Page 4 of 9 • • • • • • If to Client: If to Adviser: City of Englewood, Colorado 1000 Englewood Pkwy .Englewood, Colorado 80110 Attention: Finance and Administrative Services Facsimile: _30_3_-_78_3_-_68_9_6 ____ _ Email: Insight lnvestin en t 200 Park.Avenue, 7 1" Floot NewYork, New York 10l66 Attention: Client Service Email: dientseryicena@insightinvestment.com 18. Termination: Assignment: Amendment This Agreement may be terminated at any time by either party giving to the other at least thirty (30) days' prior notice of.such termination confirmed in writing. If any fees have been paid in advance, the Adviserwill refund to the Client a pro-rata share of the fee.,Termination of the Agreement will not affect (i) the validity of any action pteviously taken by Adviser under this Agreement or (H) liabilities or obligations of the Client in respect to ~he Account from transactionsinitiated before termination. Upon the termina.tion of this Agreement, Adviser will have no obligation to recommend or take any action with regard to the Account Assets. The Client authorizes the Custodian to debit from the Account any management fees that remain unpaid as of the termination date. No assignment; as that term is defined in the Act, of this Agreement shalI be made by either party without the consent of the other. This Agreement may be amended or modified at any time by mutual agreement in writing. 19 .. Counterparts This Agreement may be executed in two or more counterparts, each one of whieh shall be deemed to be an original. 20. Governing Law: Arbitration This Agreement shall Ile governed by, intel'preted, constrt1ed a:nd enforced in accordance with the laws of the State of New York, without giving effect to any contlict or chpice of law provisions of that State. All disputes arising out of or in connection with this agreement and the services performed under this agreement shall be finally resolved by arbitration in Denver, Colorado under the Commercial Arbitration Rules of the American Arbitration Association by a single arbitrator appointed in accordance with the said Rules, The parties acknowledge that they are waiving their right to seek remedies in court, including the right to a jurytrial. For the avoidance of doubt, the arbitrator shall not be empowered to award punitive damages. A party rirnst provide written notice of any such dispute at least sixty (60) days prior to initiating any such arbitration, After such written notice is provided, the parties shall engage in good faith negotiations in an effort to resolve the dispute. The costs of the proceedings shall be borne equally by the parties (however, each party shall bear its own attorneys' and experts' fees). Payments .otherwise due under this agreement which are not the subject of the arbitrated dispute shall not be withheld on account of any dispute referred to arbitration. No discovery other than an exchange of documents relating to the dispute shall be permitted. All documents and information exchanged by the parties in any such arbitration shall be treated as confidential by the party receiving the document or information. Any arbitration award issued shall also be maintained as confidential by the parties, except wherethe disclosure of such information is required by law or regulation. Page 5 of 9 The parties acknowledge that: (i) Arbitration is final ; (ii) Pre-arbitration discovery is more limited than and different from court proceedings; (iii) The arbitration award is not required to include factual findings or legal reasoning, and a party's rightto appeal or seek modifications ofthe award are strictly limited. 21. Entire Agreement This Agreement constitutes the entire agreemei1t of the parties with respett to the ma1iage~ent of the Account. The Exhibits referenced hereili are incorporated into this Agreement 22. Confidentiality The parties to this Agreement shall not disclose information of a confidential nature acquired in consequence of it, exceptfor information which is or becomes within the public domain (other than by reason of a breach of this clause}; or which they may be entitled or bound to disclose by applicable. law or regulation; or which is requested by regulatory or fiscal authorities, auditors; or court of competent jurisdiction or pursuant to similar legal process. Adviser may disclose information in relation to the Client to a) its officers, employees, affiliates, delegates and agents, b) other third parties (including) without limitation, custodians, brokers, counterparties, and trade data repositories) in connection with the performance of its services hereunder or to assist or enable the effective management of the ClienCs Account, as well as financial accounting, insurance and risk purposes, provided they are subject to similar restrictions on further disdosure Of such confidential infotniation. In the event either party receives an "open records request" under Colorado law, the receiving party shall promptly notify the other party, 23. Force Majeure Notwithstanding anything in this Agreement to the contrary, Adviser shall not be t·esponsible or liable for its failure to perform under this Agreement or for any losses to the Account resulting from any event beyond the reasonable control of Adviser, oi· its agents, including but not limited to nationalization, strikes, expropriation, devaluation, seizure, or similar action by any governmental authority, de facto or de jure; or enactment, promulgation, imposition or enforcement by any such governmental authority of currency restrictions, exchange controls, levies or other charges affecting the Account's property; or the breakdown, failure ot malfunction of any utilities or telecommunications systems; or any order or regulation of any banking or securities industry, including changes in market rules and conditions affecting the execution. or settlement of transactions; or acts of war, terrorism, insurrection or revoltition; or acts of God or any other similar event Adviser shall use commercially reasonable efforts to mitigate any losses resulting from such events anti shall maintain a commercially r.easonable business recovery plan. This Section shall sun.rive the termination of this Agreement. Page 6 of 9 • • • • • • IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed by their respective representatives as of the date first above written. City of Englewood APPROVED BY: ADDRESS: Cutwater Investor Services Corp. d/b/a Insight Investment BY: ADDRESS: Name: Joe Jefferson Title: Mayor 1000 Englewood Pkwy Englewood, CO. 80110 ;;;7~--"' Name: E. Gerard Berrigan Titl.e: Head of U.S. Fixed Income 200 Park Avenue, 7th Floor New York, NY 10166 Page 7 of 9 EXHlBlTA INVESTMENT GUIDELINES Page 8 of9 • • • RESOLUTIONNO. ~ SERIES OF2014 A RESOLUTION APPROVING AMENDING THE CTIY OF ENGLEWOOD INVESTMENT POLICY. WHEREAS, the Englewood City Council approved ResoltitiO"lJ. No. 79, Series of 2006, accepting changes and updates to the City's Investment Policy; and WHEREAS, the Englewood City Council approved Resolution No. 84, Series of 2011, accepting changes and updates to the City of Englewood's Investment Policy; and WHEREAS, the passage of this proposed Resolution amends the existing Investment Policy with changes and updates; and WHEREAS, the Investment Policy is applicable to the investment of all funds not immediately needed for the operating eXpenditures/expenses of the City1 except for the Firefighters Pension Fund, the Vofonteer Firefighters Fund, the Police Officers Pension Fund and the Non-Emergency Employees Pension Fund; and WHEREAS. the Investment Policy focuses on four main tenents: • Preservation of Capital • Liquidity to Meet Disbursement Needs • Diversification to Reduce Risk • Obtain a Market Rate of Return; and WHEREAS, the changes involve clarifying language, restricting over-investing in one issuer, adding additional investment opportunities, and requiring broker/dealers provide financial information. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF ENGLEWOOD, COLORADO, AS FOLLOWS: Section 1. The City Council of the City of Englewood, Colorado, hereby approves amending the City of Englewood Investment Policy; attached hereto as Exhibit A. • • • City of Englewood, Colorado INVESTMENT POLICY The Director of Finance and Administrative Services. of the City of Englewood, Colorado i$ charged with the responsibility to prudently and properly manage any and all funds of the City. Because these. flmds may be called upon, it is essential that absolute maturity horizons are identifiable for the purpose of liquidity. Moreover, these funds must be fully collateralfzeq and appropriately authorized . The following Investment Policy addresses the methods , procedures and practices which must be exercised to ensure effective and sound fiscal management. SCOPE This Investment Policy shall apply to the investment ofan financial assets and all funds of the City of Englewood (hereafter referred to as the "City") over which it exerbises financial control, except the City of Englewood Firefighters Pension Fund, Volunteer Firefighters Pension Fund, Police Officers Pension Fund , the Non-Emergency Employees Retirement Plan Fund and other City employee retirement plans. In order to effectively make use of the City's cash resources, all mon ies shall be pooled into one investment account and accounted for sepa rately . The investment income derived from this account shall be distributed to the various City. funds in accordance with Englewood Municipal Code, 4-1-2-A. OBJECTIVES The City's funds shall be invested in accordance with all applicable. City policies, Colorado statutes, and Federal regulations, and in a manner designed to accomplish the following objectives, which are listed in priority order: • Preservation of capital and the protection of i nvestment principal. • Maintenance of sufficient liquidity to meet anticipated disbursements and cash flows. • Diversification to avoid Incurring unreasonable risks regarding securifies owned. • Attainment of market rate of return equal to or higher than the performance measure established by the Director of Finance and Adm inistrative Services. DELEGATION OF AUTHORITY The ultimate responsibility and authority for ihvestment transactions involving the City resides with the Director of Finance and Administrative Services (herei nafter referred to as the "Director'') who has been designated by the City Manager as the Investment Officer in accordance with Englewood Municipal Code . The Director may appoint other members of the City staff to assist him in the .cash management and investment function . Persons who are authorized to transact business and wire funds on bet1alf of the City Will be designated by the Director by the wire transfer agreement executed with the City's approved depository for bank services (see Appendix I). The Director shall be respo nsible for all investment decisions and activities , and shall establish written administrative procedures for the operation of the City's investment program consistent with this Investment Policy. The Investment Officer acting within these procedures shall not be held personally li able for specific investment transactions. The. Director may in his discretion appoint ohe or more Investment Advisors, registered with the Securities and Exchange Commission under the Investment Advisers Act of 1940, to manage a Page 1 • • • • • • portion of the City's assets. An appointed Investment Advisor may be granted limited investment discretion within the guidelines of this Investment Policy with regard to the City's assets placed · under its management. An Investment Advisor can only be appointed after consultation with and approval by the City Manager. PRUDENCE The standard of prudence to l>e used for managing the City's assets is the "ptudentinvestor" rule, which states that a prudent investor "shall exercise the judgment and care , under the circumstances then prevailing, which men ofprudence, discretion, and Intelligence exercise in the management of the property of another, not in regard to speculation but in regard to the · permanent disposition of funds, considering the probable income as well as ttie probable safety of capital." (CRS 1~-1-304, Standard for Investments.) The City's overall investment program shall. be designed and managed with a degree of professionalism that is worthy of the public trust. The City recognizes that no investment is totally without risk and that the . investment activities of the City .are a matter of public record, Accordingly, the City recognizes that occasional measured losses may occur in a diversified portfolio. and shall be considered within the context of the portfolio's overall retl,rrn, provided that adequate diversification has been implemented and thatttie sale of a security is in the best long- term interest of the City. The Director and other authorized persons acting in accordance with established procedures and exercising due diligence shall be relieved of personal responsibility for an individual security's credit risk or market price changes, provided deviations from expectations are reported in a timely fashion to the City Council and appropriate action is taken . to control adverse deve.lopments . ETHICS AND CONFLICTS OF INTEREST All City employees involved in the investment process shall refrain from personal business activity that could confllct with proper execution of the investment program, or which could impair their ability to make impartial investment decisions. Employees and investment officials shall disclose to the City Manager any material. fihancial interest ib financial institutions that conduct business with the City, and they shall further disclose any large personal financial/investment positions that could be related to the performance .of the City's portfolio. Employees shall subordinate their personal investment transactions to these of the City particularly with regard to the timing of purchases and sales , ELIGIBLE INVESTMENTS AND TRA.NS'ACTIONS All investments will · be made in accordance with the Colorado Revised Statutes (CRS) as follows: CHS 11-10.5-101, et seq __ Public Deposit Protection Act; CRS 11-47-101, et seq. Savings and Loan Association Public Deposit Protection Act; CRS 24-75-601 , et seq. Funds-Legal Investments: CRS 24-75-603, et seq. Depositories; and CRS 24-75-701, et seq. Local governments --authority to pool surplus funds. Any revisions or extensions of these sections of the CRS will be assumeq to be part of this Investment Policy immediately upon being enacted . As a home rule City, Englewood may adopt a list of acceptable investment instruments differing from those outlined in CRS 24-75-601, et seq. Funds-Legal Investments . Funds of the City of Englewood covered by this Investment Policy may be invested in the following types of securities and transactions : 1. U.S . Treasury Obligations: Treasury Bills, Treasury Notes and Treasury Bonds with maturities not exceeding five years from the date of trade settlement. Page 2 2. Treasury Strips (book-entry U.S. Treasury securities whose coupons have been removecl) with maturities not exceeding five years from the date of trade settlement. 3. Federal Instrumentalities -Debentures, Discount Notes, Medium-Term Notes, Callable Securities and Step-up Securities issued by the following only : Federal National Mortgage Association (FNMA), Federal Home Loan Bank (FHLB), Federal Home Loan Mortgage Corporation (FHLMC) and Federal Farm Credit Banks (FFCB), with maturities not exceeding five years from the date of trade settlement. Subordinated debt may not be purchased. 4. Repurchase Agreements with a termination date .of 90 days or less utilizing U.S. Treasury and Federal Instrumentality securities listed above, collateralized at a minimum market value of 102 percent of the dollar value of the transaction with the accrued interest accumulated on the collateral included in the calculation. Repurchase agreements shall be entered ihto only with dealers who: a) are recognized as Primary Dealers by the Federal Reserve Bank of New York, or with firms that have a primary dealer within their holding company structure; and b) have executed a City approved Master Repurchase Agreement (see Appendix II). The Director shall maintain a file of all executed Master Repurchase Agreements. Collateral (purchased securities) shall . be held by the City's custodian bank as safekeeping agent, and the market value of the collateral securities shall be marked-to-the-market daily. For the purposes of this section, the term "collateral" shall mean "purchased securities" under the terms of the City approved Master Repurchase Agreement. In no case will the maturity of the collateral exceed 10 years. 5. Reverse Repurchase Agreements with a maturity of 90 days or less executed only against securities owned by the City and collateralized by the same type of security reversed. 6. Flexible Repurchase Agreements with a final maturity of 1 O years or less entered into by the City with approved counterparties. These flexible repurchase agreements may be closed out in varying amounts and at varying times at the option of the City. These agreements are deemed by both pariies to be purchases and sales of securities and are not loans. All such flexible repurchase agreements shall meet the following criteria: • Be determined as legal and valid for both parties; • Collateral shall be limited to: a) Securities issued by, guaranteed by, or for which the credit of any of the following is pledged for payment: the United States, Federal Farm Credit Bank, Federal Land Bank, Federal Home Loan Bank, Federal Home Loan Mortgage Corporation, federal National Mortgage Association, Export Import Bank or the Government National Mortgage Association; or b) Securities issued by, guaranteed by, or for which the credit of the following is pledged for payment: An entity or organization which is not listed in paragraph a) above, but which is (1) created by, or the creation of which is authorized by, legislation enacted by the United States Congress and which is subject to control by the federal government which is at least as extensive as that which governs an entity or organization listed in paragraph a) above, and (2) rated in its highest rating category by one or more nationally recognized organizations which regularly rate such obligations. • Have a fixed rate during the entire life of the agreement; • The dollar amounts and periods of time when the City may draw funds out of the repurchase agreement shall be agreed upon in writing by both parties and shall be part of the written repurchase agreement exercised by the City and the approved counterparty; Page 3 • • • • • • • The City has the option of varying the dollar amount and the timing of the draw down by an agreed upon percentage of the anticipated draw down and a specified number of days . The City and the counterparty to the agreement will. specify the details of the allowable variance when the agreement is structured. In addition, the City may draw down in excess of the variance up to the remaining balance in the agreement for a bona fide, unanticipated cash need ; • Collateral shall have a minimum market value (ihcluding accrued interest accumulated) of at least 102 percent of the dollar value of the tra11saction; • Repurchase agreements shall be entered into only with dealers who are authorized by the Director and have executed a City approved Master Repurchase Agreement; • The Director shall maintain a fi le of all executed Master Repurchase Agreements; • The title. to or a perfected security interest in securities, along with any necessary transfer documents, must be transferred and actually delivered to, and shall be held by, the City's third-party custodian bank acting as safekeeping agent. The market value of the collateral securities shall be marked-to-the-market at least weekly based on the closing bid price at the time the custodian for the . collateral issues its monthly statement to the City. For the purpose of the section , the term "collateral" shall mean "purchased securities" under the terms of the City approved Master Repurchase Agreement. In no case will the maturity of the collateral exceed 10 years. 7. Time Certificates of Deposit with a maximum maturity of five years or savings accounts in state or national banks or state or federally chartered savings banks operating in Colorado that are state approved depositories {as evidenced by a certificate issued by the State Banking Board) and are insured by the FDIC . Certificates of deposit that exceed the FDJC insured amount shall be collateralized in accordance with the Colorado Public Deposit Protection Act The collateral shall have a market value equal to or exceeding 102 percent of the difference between the insured amount and the City's total deposits for all funds within the institution . 8. Money Market Mutual Ft.mds registered under the Investment Company Act of 1940 that: 1) are "no-load" (i.e,: no commission or fee shall be charged on purchases or sales of shares); 2) have a constant net asset value per share of $1 .00 ; 3) li mit assets of the fund to s.ecurities authorized by state statute; 4) have a maximum stated maturity and weighted average maturity in accordance with Rule 2a-7 of the Investment Company Act of1940; and 5) have a rat ing of AAAm by Standard and Poor's, Aaa by Moody's or APNV1 +by Fitch . 9. Local Government Investment Pools as authorized under CRS 24-75-702. 10 . Prime Bankers Acceptances, rated at least A-t by Standard & Poor's, P-1 by Moody's, or F1 by Fitch at the time of purchase by at least two services that rate them, with a maturity of six months or less issued on domestic banks or branches of foreign banks domiciled in the U.S. and operating under U.S. banking laws . Accepting banks must have a senior debt rating of A2 by Moody's and A by Standard & Poor's. 11. Prime Commercial Paper with a maturity of 270 days or less which, at the time of purchase, is rated at least A-1 by Standard & Poor's, P-1 by Moody's, or F-1 by Fitch . a) At the time of purchase, the commercial paper must be rated by at least two of the above stated rating agencies at the stated minimum rating. b) If the commercial paper issuer has senior debt outstanding, the senior debt must be rated at least A2 by Moody's, A by Standard and Poor's, or A by Fitch . 12. Corporate Bonds issued by a corporation or bank wlth a f inal maturity not exceeding three years from the date of trade settlement, rated at least AA-by Standard & Poor's, Aa3 by Page4 Moody's, or AA-by Fitch at the time of purchase by at least two services. Authorized corporate boncls shall be U.S. dollar denominatecj and issued by corporations organized and operating within the United States. The City hereby further authorizes investments in dollar denominated securities issued by a corporation or bank that is organized and operating within Canada or Australia, not to exceed 10% per country at the time of purchase . 13 . General or Revenue obligations of any state in the United States or any political subdivision, institution, or authority of such a government entity. Municipal bonds must be rated A-by Standard & Poor's, A3 by Moody's, or A-by Fitch at the time of purchase by at least two services if the issuer is located in Colorado. Municipal bonds must be rated AA-by Standard & Poor's,. Aa3 by Moody's or AA-by Fitch at the time of purchase by at least two services if the issuer is located outside the state of Colorado. The maximum maturity for municipal bonds is five years. Securities that have been downgraded below minimum ratings described herein may be sold or held at the City's discretion. The portfolio will be brought back into compliance with Investment Policy guidelines as soon as is practical. OTHER INVESTMENTS It is the intent of the City that the foregoing list of authorized securities be strictly interpreted. Any deviation from this list must be pre-approved by the Director in writing after approval by the City Manager. INVESTMENT DIVERSIFICATION It is the intent of the City to diversify the investment instruments within the portfolio to avoid incurring unreasonable risks inherent in over investing in specific instruments, individual financial institutions or maturities. The asset allocation in the portfolio should, however, be flexible depending upon the outlook for the economy, the securities market, and the City's cash flow needs. The City may invest to the following maximum limits within each category: • 50% in Certificates of Deposit • 40% in Commercial Paper, 5% in any one issuer or its affiliates or subsidiaries • 20% in Bankers Acceptances, 5% in any one issuer or its affiliates or subsidiaries • 30% in Corporate Bonds; 5% in any one issuer or its affiliates or subsidiaries • 30% in Municipal Bonds, 5% in any one issuer The aggregate investment in Corporate Bonds, Commercial Paper, and Bankers Acceptances shall not exceed 50% of the portfolio . Tests for limitations on percentages of holdings apply to the composite of the entire portfolio of the City, not to individual portfolios maintained by the City. Percentage limitations used for measurements are based on the percentage of cost value of the portfolio at the time of purchase. INVESTMENT MATURITY AND LIQUIDITY Investments shall be limited to maturities not exceeding five years from the date of trade settlement. In addition, the weighted average final maturity of the total portfolio shall at no time exceed three years . · SELECTION OF BROKER/DEALERS. Page 5 • • • • • • The Director shall maintain a list of broker/dealers approved for investment pllrposes (see Appendix Ill), and it shall be the policy of the City to purchc:ise securities only from those authorized firms. To be eligible, a firm must meet at least one of the following criteria: . 1. be recognized as a Primary Dealer by the Federal Reserve Bank of New York or have a primary dealer within their holding company structure, 2. report voluntarily to the Federal Reserve Bank of N~ York, . 3. qualify under Securities and Exchange Commission {SEC) Rule 15c-3 (Uniform Net Capital Rule). Broker/dealers will be selected by the Director on the basis of their expertise in public cash management and their ability to provide service to the City's account. In the event that an external investment advisor is not used in the process of recommending a particular transaction in the C ity's portfolio, any authorized broker/dealer from whom a competitive bid is obtained for the transaction will attest in writing that he/she has received a copy of this policy and shall submit and annually update a City approved Broker/Dealer Information Request form which includes the. firm's most recent financial statements, The City may purchase. Commercial Paper from direct issuers even though they are not on the approved list of broker/c;lealers as long as they meet the criteria outlined in Item 11 of the Eligible Investments and Transactions section ofthis Investment Policy. COMPETITIVE TRANSACTIONS Each investment transaction shall be competitively transacted with authorized broker/dealers . At least three btbker/dealers shall be contacted for each transaction and their bid ahd offering prices shall be recorded. If the City is offered a security for which there is no other readily available competitive offering, then the Director will document quotations for comparable or alternative securities. SELECTION OF BANKS AS DEPOSITORIES AND PROVIDERS OF GENERAL BANKING SERVICES The City shall maintain a list of banks 'approved to provide banking services or from whom the City may purchase certificates of deposit. Banks in the judgment of the Director no longer offering adequate safety to the City will be removed from the list. To be eligible for authorization, a bank shall qualify as a depository of public funds in Colorado as defined in CRS 24•75-603. SAFEKEEPING AND CUSTODY The safekeeping and custody of securities owned by the City shall be mahageci in accordance with applicable Federal and Colorado laws and regulations. The Director shall approve one or more banks to provide safekeeping and custodial services for the City. A City approved Safekeeping Agreement shall be executed with each custodian bank prior to utilizing that bank's safekeeping services, To be eligible, a bank shall qualify as a depository of public funds in the State of Colorado as defined in CRS 24-75-603 and be a Federal Reserve member financial institution. Custodian banks will be selected on the basis of their ability to · provide service to the City's account and the competitive pricing of their safekeeping related services. The City's designated custodian bank is set forth in Appendix IV of this Investment Policy . Page 6 . The purchase and sale of securities ;:ind repurchase agreement transactions shall be settled on a delivery versus payment basis. Ownership of all securities shall be perfected in the name of the City, and sufficient evidence. to title shall be consistent with modern investment, banking and commercial practices. All investments purchased by the City shall be delivered by book entry and will be held in third- party safekeeping by the City's designated custodian bank or the Depository Trust Company (OTC}. All Fed wlreable. book entry securities owned by the City shall be evidenced by a safekeeping receipt or a customer confirmation issued to the City by the custodian bank stating that the securities are held in the Federal Reserve system in a Customer Account fort.he custodian bank which will name the City as ''customer:· All DTC eligible securities shall be held in the cu .stodian bank's Depository Trust Company (OTC) participant account and the custbdian bank shall Issue a safekeeping receipt evidencing that the securities are held for the City as "customer." The City's custodian will be required to furnish the City with a monthly report of securities held as well as.an account analysis report of monthly securities activity. PROVISIONS .FOR ARBITRAGE The City periodically issues debt obligations Which are subject to the provisions of the Tax Reform Act of 1986 (section 148F), Arbitrage Rebate Regulations . Due to the legal complexities of arbitrage law and the necessary immunization pf yield levels , the procedures undertaken in the reinvestment of all or a portion of the proceeds o.f such debt issuance may extend beyond those outlined in this Investment Policy. The Director, upon advice from Bond Counsel and financial advisors, may alter provisions of this Investment Policy for arbitrage related investments as may be necessary to conform with federal arbitrage regulations. In all cases, however, investments will bet in compliance. with Colorado Revised Statutes. This section is only applicable to City funds subject to arbitrage restrictions. REPORTING An investment report shall be prepared, at least on a monthly basis, listing the investments held by the City, the current market valuation of the investments and performance results. The monthly investment report shall be submitted in a timely manner to the City Manager and the City Council. A record shall be maintained by the Department of Finance and Administrative Services of all bids and offerings for securities transactions in order to ensure that the City receives competitive pricing . The City has established reporting and acco1.,Jnting standard.s for callable U.S. Instrumentality securities. Callable securities may be retired at the issuer's option prior to the stated maximum maturity. All securities holding reports for the City .shall disclose the. stated maturity as well as the first call date of each callable security held .. In the case of callable securities which are purchased priced to the first call date and , in the opinion of the Director, have an overwhelming. probability of being called on the first call date, weighted average maturity, amortization as well as yield shall be calculated using the first call date. The Director may, however, choose to use a further call date maturity date for reporting purposes when conditions mandate. PERFORMANCE REVIEW The Director and the City Manager shall meet at least quarterly to review the portfolio's adherence to appropriate risk levels and to compare the portfolio's total return to the established investment objectives and goals . Page 7 • • • • • • The Director shall period ically establish a benchmark yie ld for the City's investmehts which shall be equal to the average yield on the U .S ; Treasury security which most closely corresponds to the portfoliO's actual effective weighted average maturity. When comparing the performance of the City's portfolio, an fees and expem;es involved with managing the portfolio should be included in the computation of the portfolio's rate ofreturn ~ Pages POLICY REVISIONS This Investment Policy will be reviewed periodically by the Director and may be amended as conditions warrant by the City Manager and the City Council. Prepared by: /s/ Frank Gryglewicz Director of Finance and Administrative Services Approved by City Council September 17, 1990 Amended by City Council December 16, 1991 Amended by City Council April 5, 1993 Amended by City Council June 20, 2005 Amended by City Council November 3, 2008 Amended by City Council February 18, 2012 State of Colorado, County of Arapahoe: Prepared by: Isl~~~~~~~~~~~~~~~ Kevin Engels Accounting Manager Amended by City Council September 5, 1995 Amended by City Council December 15, 1997 Amended by City Council February 7 , 2000 Amended by City Council October 16, 2006 Amended by City Council October 3, 2011 Amende.d by City Council February 19, 2013 I, Loucrjshia A Ellis, City Clerk in and for the City of Englewood, in the State aforesaid, do hereby certify that the foregoing is a full, true and correct copy of the Investment Policy as the same appears upon the records of my office which are in my custody. Given under by hand and official seal, this __ . Isl Louctishia A. Ellis City Clerk Page9 • • • • • • APPENDIX I Authorized Personnel The following persons are authorized to conduct investment transactions and wire transfer funds on behalf of the City of Englewood: Kevin Engels, Accounting Manager Kathy Cassai, Accountant Christine Hart, Accountant Frank Gryglewicz, Direetor of Finance and Administrative Services Page 10 APPENDIX II Repurchase Agreements The following firms have executed a City approved Master Repurchase Agreement with the City of Englewood. · Banc of America Securities, LLC Morgan Stanley OW Inc. Agreements maintained in separate file. Page 11 • • • • • • APPENDIX Ill Authorized Broker/Dealers and Financial Institutions The following firms are approved for investment purposes by the City of Englewood. Barclays Capital Citi group Global Markets, Inc. Jefferies & Company, Inc. J.P . Morgan Securities lnc. Merrill Lynch, Pierce, Fenner & Smith Inc Mizuho Securities USA Inc. Morgan Stanley Smith Barney Raymond James & Associates RBC Capital Markets Corporation UBS Financial Services Inc . Page 12 APPENDIX IV Designated Custodial Banks The following bank is authorized as the designated custodial bank for the City of E:nglewood: Wells Fargo Institutional Retirement and Trust 17 40 Broadway MAC# C7300·105 Denver, C.0 8027 4 Page 13 • • • • • • EXHIBIT .B FEE SCHEDULE The Fee Schedule applicable to the Account is as follows: Assets Up to a:nd including the first $25 million Amounts over $25 million Annual Fee 10 basis points (.10%) 7 basis points (.07%) The fees for investment advisory services will be charged monthly based on the average market value of the. eash and securities in the Account (an average oflast month's ending market value and the current month's ending market value). A pro rata portion of the annual fee . (1/12) is billed each month for which this Agreement is in effect. Monthly fees are based on the schedule outlined above, but at no time shall the monthly fee be less than $2,,000 . Page 9 of 9 • • • COUNCIL COMMUNICATION Meeting Date: Agenda Item: Subject: Approval of Expense Reduction Analysts August 1, 2016 11cii agreement for Strategic Procurement Services Initiated By: Department of Finance and Staff Source: Kathleen Rinkel, Director of Administrative Services PREVIOUS COUNCIL ACTION None. RECOMMENDED ACTION Finance and Administrative Services Staff recommends Council approve the Agreement for Strategic Procurement Consulting services provided by Expense Reduction Analysts to include review of the City's procurements, recommendations for cost savings and assistance in achieving those cost savings. BACKGROUND, ANALYSIS, AND ALTERNATIVES IDENTIFIED The City has been procuring materials and services using City established policies and procedures. Although these procedures provide competitive pricing through attainment of quotes for purchases over $5,000 and uses Bid/RFP or Co-operative (group bid) pricing for purchases over $25,000 for General Fund purposes and over $50,000 for Enterprise purposes, the City leadership believes more aggressive measures can provide additional savings. Expense Reduction Analysts is a proven team in identifying savings using analytics and 'best practice' procurement methodology, applied to their clients existing purchasing needs. FINANCIAL IMPACT The contract cost is contingent on Expense Reduction Analysts ability to obtain savings for the City. The terms include sharing equally in the savings achieved for 24 months. After the 24 months, 100% of the savings is retained by the City. The Expense Reduction Analysts team is anticipating being able to identify $1,800,000 to $2,000,000 of total savings for the City. The City would enjoy $900,000 to $1,000,000 of that savings the first 24 months and all of it thereafter. LIST OF ATTACHMENTS Expense Reduction Analysts contract for approval • • • AGREEMENT Between Expense Reduction Analysts And City of Englewood, CO. THIS AGREEMENT is entered into to be effective on June 28 111 , 2016 (the "Effective Date"), by and between Expense Reduction Analysts (ERA), a for profit corporation, located at 16479 N. Dallas Parkway Suite 240, Addison, TX, 75001 with offices located at 333 W. Hampden Ave, Suite 750, Englewood, CO 80110, hereinafter referred to as "ERA" and the City of Englewood, a municipality in the State of Colorado, located at 1000 Englewood Parkway, Englewood, CO, 80110, hereinafter referred to as the "CITY." ERA and the CITY are at times individually referred to herein as a "party" or collectively as the "parties." BACKGROUND: Expense Reduction Analysts has been finding hidden savings in overhead expenses for 24 years. ERA was contacted by CITY with the collective goal of finding budget neutral cost savings and cost containment. WHER.cA~ CiTY will work in a coopefative manner with ERA to allow access to all info rmation pertaining to the contract categories identified in ERA's Engagement Letter dated June 28, 2016. WHEREAS ERA hopes to find maximum savings for a minimum of two years without impact to current level of service or use as specified in their Engagement Letter dated June 28, 2016. WHEREAS ERA Engagement letter dated June 28, 2016 is hereby incorporated into this agreement. NOW THEREFORE for good and valuable consideration, the receipt of which is hereby acknowledged, the parties agree as follows: Part I. Term of Agreement: If ERA delivers a successful recommendation(s) to CITY, CITY agrees to implement it or one of them within 30 days of presentation, unless otherwise agreed to in writing. Upon execution of a successful recommendation, ERA and CITY agree to share in the savings over a 24 month period. After the conclusion of the 24 month period, the term of this agreement is fulfilled and the agreement ends unless otherwise agreed to in writing. After the conclusion of the 24 month period, CITY retains 100% of any savings. If no acceptable recommendation(s) is/are implemented the term ends and there is not further obligation to ERA by CITY either financially or otherwise. Part II. CITY Will Provide the Following: CITY will comply with the "Client Obligations" of ERA's engagement letter, June 28, 2016. Part Ill. ERA Will Provide the Following: The highest quality of service to deliver a successful recommendation for the categories listed in their engagement letter dated June 28 , 2016 . Part IV. Special Provisions: PAYMENT Payment by Electronic Funds Transfer (a) Method of payment. (1) All payments by CITY under this contract shall be made by direct deposit using electronic funds transfer (EFn except as provided in paragraph (a)(2). The term "EFT'' refers to the funds transfer and may also include the payment information transfer. The term "Contractor" is understood to mean 'Vendor" as indicated on CITY 11 Direct Deposit Form (see j) (2) In the event CITY is unable to release one or more payments by EFT, the Contractor agrees to either (i) Accept payment by check or some other mutually agreeable method of payment; or (ii) Request CITY to extend payment due dates until such time as CITY makes payment by EFT. (b) Submission of Contractor's EFT information. (1) The Contractor is required to provide CITY with the information required to make payment by EFT (see paragraph U)). The Contractor shall provide this information directly to the designated payment office (see paragraph (k)). In the event that the EFT information changes the Contractor shall be responsible for providing the updated information to the designated office. (2) EFT information supplied to CITY shall be applicable only to contracts that identify CITY as the payment office. • (c) Mechanisms for EFT payment. CITY may make payments directly through electronic means to the indicated financial account provided by the vendor. • (d) Suspension of payment. (1) CITY is not required to make any payment under this contract until after receipt, by the designated CITY payment office, of the correct EFT payment information from the Contractor. Until receipt of the correct EFT information, any invoice or contract financing request shall be deemed not to be a proper invoice for the purpose of prompt payment under this contract. (2) If the EFT information changes after submission of correct EFT information, CITY shall begin using the changed EFT information no later than 30 days after its receipt by the designated office to the extent payment is made by EFT . However, the Contractor may request that no further payments be made until the updated EFT information is implemented by the payment office. If such suspension would result in a late payment under the prompt payment terms of this contract, the Contractor's request for suspension shall extend the due date for payment by the number of days of the suspension. (e) Liability for uncompleted or erroneous transfers . (1) If an uncompleted or erroneous transfer occurs because CITY used the Contractor's EFT information incorrectly, CITY remains responsible for (i) Making a correct payment; and (ii) Recovering any erroneously directed funds. (2) If an uncompleted or erroneous transfer occurs because the Contractor's EFT information was incorrect, or was revised within 30 days of CITY release of the EFT payment transaction instruction to the Federal Reserve System, and 2 • • • • (i) If the funds are no longer under the control of the payment office, CITY is deemed to have made payment and the Contractor is responsible for recovery of any erroneously directed funds ; or (ii) If the funds remain under the control of the payment office, CITY shall not make payment and the provisions of paragraph (d) shall apply . (f) EFT and prompt payment. A payment shall be deemed to have been made in a timely manner in accordance with the prompt payment requirements if, in the EFT payment transaction instruction released to the Federal Reserve System , the date specified for settlement of the payment is on or before the prompt payment due date , provided the specified payment date is a valid date under the rules ofthe Federal Reserve System . (g) EFT and assignment of claims . If the Contractor assigns the proceeds of this contract as provided for in the assignment of claims terms of this contract, the Contractor shall require as a condition of any such assignment, that the assignee shall provide the EFT information required by paragraph U) to the designated office, and shall be paid by EFT in accordance with the terms provided herein. In all respects , the requirements shall apply to the assignee as if it were the Contractor. EFT information that shows the ultimate recipient of the transfer to be other than the Contractor, in the absence of a proper assignment of claims acceptable to CITY , is incorrect EFT information within the meaning of paragraph (d). (h) Liability for change of EFT information by financial agent. CITY is not liable for errors resulting from changes to EFT information provided by the Contractor's financial agent. (i) Payment information. Payment information will be provided via e-mail to the designated e- maii acdrass provided by the Contractor. (j) EFT information. The Contractor shall complete the required information regarding the financial institution and account and obtain the signature of an authorized agent on a CITY Direct Deposit Form which can be obtained from the Contracting Officer of the Designated Payment Office . The completed form may be returned by mail or facsimile to the Designated Payment Office. (k) The Designated Payment Office for this contract is : City of Englewood , Accounts Payable Department 1000 Englewood Parkway, Englewood , CO 8011 O: INSURANCE The contractor shall maintain the below minimum insurance coverage during the performance of this contract. The contractor is advised that in performance of this contract it is understood that all forms and levels of insurance coverage required by law to protect workers and property, assure contract performance and address anticipated liability and risk shall be retained . It is the sole responsibility of the contractor to comply with requirements of law and elect any additional coverage as appropriate . The list of requirements identified below is not intended to eliminate or minimize coverage requirements but rather to establish minimum coverage levels based on the coverage retained by CITY. The Contracting Officer shall be notified if the contractor does not possess the minimum levels . A Certificate of Insurance must be submitted to CITY before starting work on site naming City of Englewood as additional insured unless otherwise agreed to by the parties . Insurance Certificates must show coverage of all checked insurance requirements and must provide coverage until final completion of the contract. If the expiration date of the insurance certificate is prior to final completion, the Contractor shall provide a new certificate of insurance prior to 30 days from the expiration of the current policy . 3 Professional Liability Insurance -coverage part aggregate limit each occurrence $2,000,000. Comprehensive General Liability Insurance -covering Bodily Injury of at least $1,000,000/person, $1,000,000/ accident; and $1 ,000,000/Property Damage. Any labor hour, level of effort or cost reimbursement agreement may be subject to an audit. CITY contracting officer, CITY auditor or an independent auditor funded by CITY may perform the audit. CITY understands that Expense Reduction Analysts does not charge by the hour and does not track labor by the hour Part V. General Provisions: Employer-Employee Relationship The Provider is not an employee of CITY and is not covered by Workers' Compensation, group life , accident or health insurance, and other benefits associated with an employer-employee relationship. Illegal Aliens (Public Contracts for Services If Contractor has any employees or subcontractors, Contractor shall comply with§ 8-17 .5, C.R.S . regarding Illegal Aliens Public Contracts for Services , and this section of this Agreement. Per 8 17.5- 102 of this section the: A. Contractor shall not: (i) Knowingly employ or contract with an illegal alien to perform work under this Agreement ; or (ii) Enter into a contract with a subcontractor that fails to certify to Contractor that the subcontractor • shall not knowingly employ or contract with an illegal alien to perform work under this Agreement for • public services . B. Contractor has confirmed or attempted to confirm the employment eligibility of all employees who are newly hired for employment in the United States through participation in the "Basic Pilot Program" and, if Contractor is not accepted into the Basic Pilot Program prior to entering into a public contract for services , that the Contractor shall apply to participate in the Basic Pilot Program every three months until Contractor is accepted or this Agreement or the public contract for services has been completed, whichever is earlier. The "Basic Pilot Program" is the Basic Pilot Employment Verification Program created in Public Law 208, 104th Congress, as amended, and expanded in Public Law 156, 108 the Congress , as amended , that is administered by the United States Department of Homeland Security . The application is currently on line at https:llwww.visdhs .com1EmployerRegistration. This provision shall not be required or effective in a public contract for services if the Basic Pilot Program is discontinued. C. Contractor shall not use Basic Pilot Program procedures to undertake pre-employment screening ofjob applicants while this Agreement is in effect. D . lf Contractor obtains actual knowledge that a subcontractor performing work under this Agreement knowingly employs or contracts w ith an illegal alien , Contractor shall : (i) Notify the subcontractor and CITY within three days that Contractor has actual knowledge that the subcontractor is employing or contracting with an illegal alien ; and (ii) Terminate the subcontract with the subcontractor if within three days of receiving the notice under D(i), the subcontractor does not stop employing or contracting with the illegal alien. However, the Contractor shall not term inate the contract with the subcontractor if during this three day period the 4 • • • • subcontractor provides information which establishes that the subcontractor has not knowingly employed or contracted with an illegal alien . E. Contractor shall comply with any reasonable request by the Department of Labor and Employment made in the course of an investigation that the Department is undertaking pursuant to the authority established in §8-17.5-1 02(5), C.R.S . F. If Contractor violates this provision, CITY may terminate the Agreement for a breach of contract. If the Agreement is terminated, the Contractor shall be liable for actual and consequential damages. G. CITY will notify the Office of the Secretary of State if Contractor violates this provision of this Agreement and the County terminates the Agreement for such breach. H. The Contractor's signature on this contract serves as certification that, as of the date of signature, the Contractor does not knowingly employ or contract with illegal alien and that the Contractor has participated or attempted to participate in the Basic Pilot Program in order to confirm the employment eligibility of all employees who are newly hired for employment in the United States. Hold and Save Harmless The Provider agrees to indemnify, save harmless, and defend CITY from and against any and all claims, demands, actions, debts, liabilities, and attorney's fees arising out of, claimed on account of, or in any manner predicated on loss of or damage to the property of, and injuries to or death of any and all persons whatsoever, in any manner caused or contributed to by the Provider, his or her agents, ser .. ·an ts.~.:>r employees. Pro vi der further agrees to indemnify and save harmless CITY from and on · account of damages of any kind, which CITY may suffer as the result of the acts of any Provider's agents, servants, or employees . Licenses, Taxes, Permits, and Fees The Provider is fully cognizant that this contract is a contract for services and that an employee employer relationship does not exist between the Provider and E. Therefore, it is the Provider's responsibility to obtain, at its own expense, all licenses and permits, and to pay all applicable taxes and fees, in the execution of the terms of this contract, including but not limited to excise tax, federal and state and local income taxes, payroll and withholding taxes, unemployment taxes , and workers' compensation payments for its employees, and shall indemnify and hold CITY harmless for all claims arising under such taxes and fees. Nonexclusive Agreement It is expressly understood and agreed that this Agreement does not grant to the Provider any exclusive privileges or rights and CITY may contract with other contractor(s) for the procurement of comparable services, except that CITY agrees not to contract other cost reduction consultants to review the same expense categories that ERA is contracted for in the List of Project Engagements listed in the ERA Engagement letter, from the date of this contract and throughout the Review Period. CITY makes no commitment for any minimum or maximum amount of purchases of services hereunder except as otherwise set forth in this Agreement. 5 Nondisclosure of Confidential lnfonnation Confidential information from either party is subject to the Colorado Open Records Act, C.R.S, 24-72- 201 et. seq. In the event that a Disclosing Party receives an Open Records request, the Disclosing Party shall notify the other party to this Agreement of such request, to allow the Party to file any necessary responses to said request. If a party to this agreement requires confidential information from the other party in the performance of this agreement, the party receiving the Confidential Information agrees as follows: 1. To maintain and use the Confidential Information only for the purposes of this Agreement and only as permitted herein. To only make copies as specifically authorized and with the same confidential or proprietary notices as are on the original. 2. To restrict access and disclosure of Confidential Information to their employees, agents and contractors who have a "need to know," and who agree to maintain confidentiality according to this provision . 3. To treat Confidential Information as confidential for a period of five (5) years from the effective date of receipt. Confidential Information shall at all times remain the property of the disclosing party. Upon request, Confidential Information shall be returned or certified destroyed to the disclosing party within thirty (30) days from termination or expiration of this Agreement. • Except as may be required by applicable law, regulations, iegal or agency order, demand or process, neither party shall disclose to a third party any Confidential Information without the prior written consent of the other party . The obligations of this provision shall be satisfied by handling Confidential Information with the same degree of care which the receiving party applies to its own similar • confidential information but in no event less than reasonable care . Changes The Contracting Officer, at any time, by written order, may make additions to the services to be performed by this contract, issue additional instructions, require modified or additional work or services within the general scope of the contract, or vary the amount of CITY-furnished property . If any of said changes cause any increase or decrease in the cost of, or in the time required for, performance of this contract, an equitable adjustment will be made in the contract price or term of performance, or both, and the contract will be modified in writing accordingly. Any claim by the Provider for adjustment under this clause must be asserted within thirty calendar days from the date of receipt by the Provider of the notification of changes provided, however, that the Contracting Officer, if he or she decides that the facts justify such action, may receive and act on any such claim asserted at any time prior to final payment under this contract. Failure to agree to any adjustment will be a dispute concerning a question of fact within the meaning of the clause of this contract titled "Disputes." However , nothing in this clause excuses the Provider from proceeding with the contract as changed, and it is limited to proceeding with its appeal pursuant to the provision titled "Disputes ." Payment Rates Payment for services performed by the Provider, as set forth in this Contract, will be made at the rates prescribed hereto, upon submission by the Provider of proper invoices to CITY designated herein and at the time provided for herein. 6 • • • • Disputes This agreement and Engagement Letter are governed by the laws of the State of Colorado. This contract is subject to the Contract Disputes under Colorado Revised Statutes (CRS) Title 24 Article 109; but, only to the extent provisions from such statutes are specifically cited herein and within CITY Contract Regulation (DAR) Part 7. Except as provided in the CRS, all disputes arising under or relating to this contract shall be resolved under this clause . "Claim," as used in this clause, means a written demand or written assertion by one of the contracting parties seeking, as a matter of right, the payment of money in a sum certain, the adjustment or interpretation of contract terms, or other relief arising under or relating to this contract. A claim arising under a contract, unlike a claim relating to that contract, is a claim that can be resolved under a contract clause that provides for the relief sought by the claimant. However, a written demand or written assertion by the Contractor seeking the payment of money exceeding $50,000 is not a claim until certified as required by this clause, A voucher, invoice, or other routine request for payment that is not in dispute when submitted is not a claim, The submission may be converted to a claim, by complying with the submission and certification requirements of this clause, if it is disputed either as to liability or amount or is not acted upon in a reasonable time . A claim by the Contractor shall be made in writing and, unless otherwise stated in this contract, submitted within six months after accrual of the claim to the Contracting Officer for a written decision. A claim by CITY against the Contractor shall be subject to a written decision by the Contracting Officer. The contractor shall provide the certification specified in this clause when submitting any claim exceeding $50,000. The certification requirement does not apply to issues in controversy that have not been submitted as a!! o~ pe~~:C~ 3 , claim The r;;9 rtificat!or. shall st:;1te as follows: "I certify that the·cleim is made -!n good · faith; that the supporting data are accurate and complete to the best of my knowledge and belief; that the amount requested accurately reflects the contract adjustment for which the Contractor believes CITY is liable; and that I am duly authorized to certify the claim on behalf of the Contractor." The certification may be executed by any person duly authorized to bind the Contractor with respect to the claim. For Contractor claims of $50,000 or less, the Contracting Officer must, if requested in \\'frting by the Contractor, render a decision within 60 days of the request. For Contractor-certified claims over $50,000, the Contracting Officer must, within 60 days, decide the claim or notify the Contractor of the date by which the decision will be made. The Contracting Officer's decision shall be final unless the Contractor appeals to the Head of the Purchasing Agency or Executive Director, or files a suit as provided in the CRS. As defined in CRS 24-101-301: The Head of the Purchasing Agency is the Deputy Superintendent/Chief Financial Officer; The Executive Director is the Superintendent. If the claim by the Contractor is submitted to the Contracting Officer or a claim by CITY is presented to the Contractor, the parties, agree first to attempt to resolve the dispute through alternative dispute resolution (ADR), as defined in DAR 7.201. The parties agree not to discuss any dispute(s) with the press/media during the resolution process . Interest will be computed in accordance with CRS 24-109 301, except interest shall be calculated at a rate of eight percent. The Contractor shall proceed diligently with performance of this contract, pending final resolution of any request for relief, claim, appeal, or action arising under or relating to the contract, and comply with any decision of the Contracting Officer. Immunities CITY retains all of its rights and immunities under the Colorado Governmental Immunity Act, Section 24-10-101, et seq., C.R.S . This Agreement shall not be construed to create any right or benefit for any person who is not a party to this Agreement. The relationship between CITY and the Provider is contractual. It is not intended in any way to create a legal agency, partnership, joint venture or employment relationship. The Provider shall at all times maintain its independent status and both 7 parties acknowledge that neither is an agent, partner, joint venture or employee of the other for any purpose. Termination/Revocation The parties may terminate this Agreement, or any portion or portions thereof, upon sending a thirty (30) day written notification containing the reasons for the termination, the effective date, and, in the case of partial termination, the portion to be terminated, to the other party. In the case of partial termination, if the City determines that a partial termination will significantly reduce the value, the need or the efficacy of the remaining portion of the work or will not accomplish the intended purpose of the work, for which the Agreement was made, the City may subsequently terminate the Contractor's performance of the remaining services or work. Written notification shall be sent to the other party by certified mail, return receipt requested, and shall be deemed effectively given ten (10) days after the date of mailing. In the event of termination, the City shall be obligated to pay the Contractor only for services rendered up to the effective date of termination . In addition, the District may terminate this Agreement immediately without prior notice if any of the following occurs: a) If the Contractor commits an act of fraud, dishonesty, or any other act of negligent, reckless or willful misconduct in providing services to the City; b) If any contract by the City with any third party on which this Agreement substantially depends is terminated or the City is unable for any other reason to provide services for to the party/parties to that contract; or ~~'f eny circumstance beyond the City 's control , l!1cluding. but not limited to finan cia ! ccn~traints imposed by action of the legislature or Governor of the State of Colorado, prevents it from providing services or otherwise hinders, delays or prevents the City from receiving revenue or • income or increases its overhead to an extent the City reasonably decides to reduce or modify • its operations . d) In case of a partial termination or suspension, because the Contractor failed to correct work within the specified timeframe based on the reason(s) stated in the written notification of termination, the City may take any or all of the following actions: i. Temporari ly withhold payments pending the correction of the work or services by the Contractor identified as nonconforming by the City. ii. Reduce the payment of the funds by any percentage or amount that is less than the total amount of compensation provided in this Agreement if any work or activity the Contractor has performed does not conform to the work or services this Agreement requires. iii. Stop the performance of any further work the Contractor would have performed under this Agreement. e) Upon termination of the ('.greement by City pursuant to this Termination/Revocation Section, the Contractor will not have any claim against City by reason of, or arising out of, incidental or relating to termination, except for compensation for work satisfactorily performed as described in the Agreement. In the event that this Agreement is terminated prior to the expiration date, Contractor will submit any and all outstanding reports and information requested by the City within ninety (90) days from the date of early termination . 8 • • • • Termination for Cause If either party is in default under this contract, it shall have an opportunity to cure the default within 1 O days after it is given written notice of default by the other party , specifying the nature of the default. If the default is not cured within 1 O days after notice of default has been given; the non-defaulting party shall have the right , in addition to all other remedies at law or equity, to immediately terminate this contract. Failure to complain of any action, non-action or default under this Agreement shall not constitute a waiver of any of the parties' rights hereunder. CITY may terminate this contract, or any part hereof, for cause in the event of any default by the Contractor, or if the Contractor fails to comply with any contract terms and conditions, or fails to provide CITY, upon request, with adequate assurances of future performance. In the event of termination for cause, CITY shall not be liable to the Contractor for any amount for supplies or services not accepted, and the Contractor shall be liable to CITY for any and all rights and remedies provided by law . If it is determined that CITY improperly terminated this contract for default, such termination shall be deemed a termination for convenience . Execution of Contract This contract contains the entire understanding of the parties and supersedes all prior understandings, agreements, or representations by or between the parties, whether oral or written, which in any way relate to the subject matter of this agreement. Execution of this contract constitutes a representation by the Provider that to the best of the Provider's knowledge no conflict of interest exists between CITY representatives and the Provider or its employees and agents. ;-. 9 IN WITNESS WHEREOF , the undersigned agree to be bound by the terms and conditions of this Agreement. City of Englewood Name: Title : Date: ______ _ City of Englewood Name: Title : Date: ______ _ 1 Exhibit: Expense Reduction Analysts Pat Adams Director Date: A. ERA Engagement Letter, June 28, 2016 (4 pages} 10 • • • • • • ENGAGEMENT LETTER June 28, 2016 City of Englewood 1000 Englewood Parkway Englewood, CO 80110 Dear City of Englewood, (/ Expense Reduction Analysts Pat Adams, Director Expense Reduction Analysts Chase Bank Tower 333 W. Hampden Ave. Suite 750 Englewood, CO 80110 Phone (208) 771-0082 padams@expensereduction.com www .expensereduction.com Thank you for engaging Expense Reduction Analysts (ERA) to review specific overhead expenses for the City of Englewood, (CITY or Client). ERA's goal is to optimize the value you receive for your expenditures. While we will focus initially on securing better pricing among like-for-like offers, we may also recommend changes in procurement methodologies or processes in order to deliver additional incremental savings. For many of our clients this agreement represents their first contingency based consulting engagement. There are four areas we would like to emphasize as they differ from traditional, time and material based consulting projects. 1. CITY acknowledges that ERA provides a No Savings-No Fee opportunity to CITY in consideration of CITY allowing ERA the opportunity to present a Successful Recommendation(s). 2. While ERA is engaged on a Project, CITY agrees not to duplicate, alter or hinder ERA's efforts during the term of the Review Period . CITY agrees that all savings in the expense categories under review, regardless of the source of those savings, are subject to ERA fees . 3. Together, we agree that our objective is to implement savings based on a Successful Recommendation. It is important, in this context, that the Successful Recommendation be well defined; paragraph 7 in the attached Terms and Conditions expands on this definition. Essentially, a Successful Recommendation is one that generates savings secured from existing suppliers, or savings secured from new suppliers as long as CITY agrees that they can provide the same or higher quality of goods/services and that the savings meet or exceed a pre-agreed upon threshold. 4. If ERA delivers a Successful Recommendation(s) to CITY, CITY agrees to implement it or one of them within 30 days of presentation, unless otherwise agreed to in writing. Upon execution of a Successful Recommendation, ERA and CITY agree to share in the Savings on a 50/50 basis over the 24-month Review Period. Because we will approach your spending with a long-term view, savings are typically sustainable under watchful management well beyond the 24-month period. After the conclusion of the 24-month period, CITY retains 100% of those savings . ERA is dedicated to providing CITY with the highest quality of service, and we look forward to working with you on a successful expense reduction Project. By executing this Engagement Letter, which includes the attached Terms and Conditions, CITY retains ERA to perform the designated Projects and ERA accepts the engagement on these terms. Date City of Englewood, CO Date City of Englewood, CO Engagement Letter/ Terms and Conditions -City of Englewood E~ crTY __ Page 1 of4 ;J.1 Expense Reduction Analysts TERMS AND CONDITIONS Definitions 1. Project refers to one assignment In one expense category. 2. Project Engagement refers to the engagement of ERA by CITY. By signing the Engagement Letter, CITY agrees to permit ERA to complete the Projects identified in the List of Project Engagements. 3. Minimum Savings Required to Implement (MSRI) is the minimum savings required from a new supplier that provides goods and/or services of equal or greater quality. The MSRI for each Project Engagement Is Identified In the List of Project Engagements. No MSRI is deemed as no minimum savings requirement from a new supplier. 4. Review Period is from the date of this Agreement through the 24-months following full implementation of an ERA recommendation. 5. Baseline Report details the current service levels, procurement methodologies/processes and prices paid for and/or cost of the goods or services under review. These prices and service levels will be used as the baseline for calculating subsequent savings. Where industry-wide price variations occur following commencement, it will be assumed the same percentage variation would have occurred under the pre-existing supply arrangement and the Baseline Costs will be adjusted accordingly. The Baseline Report is created from data provided by the client or current supplier(s). 6. Recommendation Report highlights potential Savings against the baseline costs of the incumbent suppliers. It may also highlight other savings opportunities. 7. Successful Recommendation. A Successful Recommendation Is one that: a. provides savings, credits or rebates from your Incumbent suppliers, and/or b. provides savings equal to or in excess of the MSRI from a new supplier that provides goods and/or services of equal or greater quality, and/or c. Is Implemented regardless of the percentage savings, and/or d. provides savings realized from approved changes In methodologies or processes. If none of the recommendations in the Recommendation Report meets the criteria for being a Successful Recommendation and the CITY does not implement any of the recommendations or achieve savings from the information in the report, then no fee will be charged for the review. If the CITY chooses to implement a recommendation that does not meet the criteria for being a Successful Recommendation, or achieves savings from the information In the report, ERA Is entitled to Its fee on the savings. 8. Savings are direct or indirect reductions in expenditure, calculated as follows: ' a. th" Jifference between the baseline prices as of the date of chis Agreem~nt and the prices tne CITY subsequently receives. Where industry-wide price variations occur following commencement, it will be assumed the same percentage variation would have occurred under the pre-existing supply arrangement and the Baseline Costs will be adjusted accordingly, and b. any credit/rebate identified by ERA, and c. any actual savings implemented by or on behalf of the CITY. Expense Reduction Analysts' Ob!iaations 9. Integrity -When in the CITY's best interest, ERA may use the specialized services of an ERA affiliated company to maximize the return to our CITY. ERA and its affiliates will not accept fees or other consideration from suppliers, or act in the capacity of an agent or broker for suppliers. 10. Confidentiality and Conduct -ERA and its affiliates will respect the confidentiality of all information marked as such that is disclosed by the CITY during the Project, and will not use or disclose to any entity such information without the prior written consent of the CITY. ERA will provide the CITY with professional and ethical service. 11. Supplier Selection -ERA will respect the relationship between the CITY and its existing suppliers and, unless instructed otherwise, will include existing supplier(s) in the bid process. Prior to going to market, ERA will submit to the CITY for its approval a list of all suppliers to be included In the bid process. CITY Obligations 12. No Duplication of Effort -During the Review Period, the CITY agrees that the expense categories for each Project that ERA reviews are not currently being examined internally by staff or externally by others, and the CITY will not in any way duplicate the work of ERA. CITY will not solicit any offers from suppliers and will refer all unsolicited Inquiries or offers from suppliers to ERA for evaluation and inclusion in ERA's analysis. 13. Action -Pricing provided by suppliers In response to Requests for Proposals is generally time limited, therefore, the CITY will authorize implementation of at least one of the recommendations within 30 days of submission of a Successful Recommendation, unless otherwise agreed to in writing. 14. Engagement -The CITY agrees that ERA has been engaged to complete all stages of each Project up to submission of the Recommendation Report and, potentially, through Project implementation. The CITY will provide reasonable assistance to facilitate ERA's efforts. 15. Continuity and Access -CITY will provide ERA with prompt access to relevant personnel and records requested for the purpose of acquiring information, calculating any savings and/or fees or presenting Baseline Reports, Recommendation Reports or Post-Implementation Reports. 16. Confidentiality -CITY will treat all ERA systems, methods, intellectual property and reports as confidential, and will not use the information gained for any other party, including affiliated organizations, without the written consent of ERA and payment of any applicable fees for Savings realized by the other party. CITY acknowledges and agrees that all ERA contracts and reports contain proprietary information and trade secrets and are therefore exempt from disclosure under any Freedom of Information Act request. Engagement Letter I Terms and Conditions -City of Englewood E~ Cll'Y __ Page 2 of 4 • • • • • • ~ Expense Reduction Analysts Documents generated under this Engagement Letter and Agreement are subject to the Colorado Open Records Act, C.R.S, 24-72-201 et. seq. In the event that a Disclosing Party receives an Open Records request, the Disclosing Party shall notify the other party to this Agreement of such request, to allow the Party to file any necessary responses to said request. 17. Misuse of Information -CITY will not use the information or services provided by ERA in any way other than to implement a Successful Recommendation. Any use of the information or services provided by ERA to attempt to effect any saving, for the CITY, affiliated organizations or any third party, is subject to payment of ERA's fees . CITY specifically acknowledges that it is a misuse of information to either (a) attempt to implement savings for CITY or any third party without paying ERA's full Fees and (b) to provide the contents of any ERA report to any Incumbent or outside suppliers or brokers . ERA Fees 18. Contingency Fee Payment -CITY agrees to pay ERA 50% of the actual Savings for the Review Period. a. On presentation of a Recommendation Report containing at least one Successful Recommendation, CITY will be invoiced for ten percent (10%) of the total projected savings for the Review Period. This payment is to be capped at $25,000 . b. Upon implementation of Savings, CITY will be Invoiced for ten percent (10%) of the total projected savings for the Review Period. This payment is to be capped at $25,000 . c. The balance will be invoiced monthly over the duration of the Review Period. The payments made in 18a and 18b above will offset the monthly Invoices on a pro-rata basis for the duration of the Review Period. d. ERA will invoice CITY for any credits or rebates Immediately following the receipt of such rebate or credit by the CITY. e. The CITY and ERA have no right of off-set between Projects. 19. Payment terms -CITY will pay ERA within 30 days of receipt of invoice. ERA reserves the right to add one percent (1 %) interest per month on all invoices unpaid after 30 days . 20. Contract Termination -The CITY and ERA enter into this agreement In good faith and with the final objective being the presentation of a Successful Recommendation Report . The CITY may find it necessary to cancel the Project Engagement. In such cases, ERA will be entitled to compensation for the work already undertaken. Consequently, should the CilY cancel a Project Engagement; a. prior to the presentation of the Baseline Report, CITY agrees to pay ERA five percent (5%) of the annual spend as documented In the List of Project Engagements. b. after the presentation of the Baseline Report but prior to the presentation of the Recommendation Report, ":~' .. CITY J;ree-s tc pay ERA te:i pe ;.::en t (10%) ::if t he annual spend as documented in the· Base l!:l<: R:e p;;rt. c. after the presentation of a Successful Recommendat ion, CITY agrees to pay ERA 50% of the projected Savings as set out in the Recommendation Report for the unbilled remainder of the Review Period. CITY'S failure to undertake the action defined in paragraph 13 is deemed an effective terminatlon of the Project and shall entitle ERA to immediate payment of 50% of the total projected average savings for Successful Recommendations as set out in the Recommendation Report for the Review Period. All termination fees shall be invoiced and are due to ERA upon receipt. General Provisions 21. Intellectual property -ERA retains all Intellectual property In the copyright of all reports submitted to the CITY for consideratlon, and the CITY agrees not to disclose any content to any third party or reproduce any part of the report without ERA's prior written consent. Each report remains the property of ERA until Project Implementation and will be returned to ERA immediately in the event recommendations are not Implemented. 22 . Severablllty -Each provision of this Engagement Letter is severable. If any of its provisions is deemed invalid or In conflict with any existing or future law, that provision will not affect the validity of the remaining provisions. Invalid provisions will be considered stricken .from this agreement. 23. Breach of this Agreement by ERA -In the event that ERA is in material breach of this Agreement and falls to remedy such breach within 30 days after receiving written notice of it, the CITY may serve a notice of termination. In that event, the CITY will still be required to pay all Invoices for savings already realized from a Successful Recommendation . The amount of any liability for negligence or breach of contract by ERA shall be limited to a sum equal to the value of any post termination Savings. 24. Breach of this Agreement by the CITY -Any breach of paragraphs 12-18 by the CITY will be viewed as a material breach of this Agreement . In the event of a material breach by the CITY , ERA has the right to cancel the Project and collect termination fees as outlined in paragraph 20. 25. Agreement Binding on Successors or Assigns -The merger or consolidation of one party or any other transaction or series of related transactions transferring all or substantially all of the business assets, stock or control of a party shall be deemed an assignment that does not require prior written consent by the other party, but shall not modify, supplement or terminate the rights or obligations of the parties hereunder. The provisions of this Agreement shall be binding upon and shall Inure to the benefit of the successors and assigns of the respective parties hereto, including without limitation any partnerships, corporations or other entities In which the parties hereto may have a controlling interest or position . 26. Cost of Collection -Should ERA have to take any action to collect its fees due under this Agreement, CilY shall be liable for all such fees for collection, including reasonable attorneys' fees. 27. Representation on Authority of Parties/Signatories -Each person signing this Engagement Letter represents and warrants that he/she is duly authorized and has the legal capacity to execute and deliver this Agreement. Engagement Letter/ Terms and Conditions -City of Englewood E~CITY_ Page 3 of 4 List of Proiect Engagements Expense Category Annual Spend Medical Insurance $4,600,000 Utilities and Energy $3,600,00 Consumables/Supplies $3,500,000 Chemicals $1,000,000 Lab Supplies $1,000,000 Fleet Management $1,000,000 P&L Risk Management $800,000 Insurance: Worker's Comp $700,000 Insurance -Other $700,000 Landscape $400,000 Telecom $300,000 Clothing/Uniform $200,000 Copier/Printing $175,000 Office Supply $168,000 Wireless Services $100,000 Bank Fees/Services TBD Records Management TBD Waste Management TBD Payroll Processing Fees TBD Contract Labor TBD Investment/Retirement TBD Ad min IT TBD e-Payables TBD Merchant Card Fees TBD Minimum Savings $ or % (MSRI) ; ~Expense Reduction Analysts Engagement Expected CITY's ERA'S Date Savings Initials Initials Range 0-30% 0-10% 0-30% 0-20% 0-20% 0-30% 0-30% 0-20% ' 0-20% 0-20% Engagement Letter I Terms and Conditions -City of Englewood E~ CITY __ Page 4 of 4 • • • • • • RESOLUTION NO . SERIES OF 2016 A RESOLUTION APPOINTING AS CITY ATTORNEY FOR ----------~ THE CITY OF ENGLEWOOD, COLORADO . WHEREAS, under the authority of the Englewood Home Rule Charter, Article IX, Section 64, the City Council is empowered to appoint the City Attorney who shall be the legal representative of the City and who shall advise the Council and the City Officials in matters relating to the official powers and duties; and WHEREAS, the City Council has made its selection of a new City Attorney. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF ENGLEWOOD, COLORADO, THAT: ___________ shall be and is hereby appointed City Attorney for an indefinite term as provided in Article IX, Section 64 of the Englewood Home Rule Charter, and in accordance with the employment agreement hereby approved, commencing ---------' 2016 . ADOPTED AND APPROVED this 1st day of August, 2016. ATTEST: Joe Jefferson, Mayor Loucrishia A. Ellis, City Clerk I, Loucrishia A. Ellis, City Clerk for the City of Englewood, Colorado, hereby certify the above is a true copy of Resolution No . __ , Series of 2016. Loucrishia A. Ellis, City Clerk • COUNCIL COMMUNICATION Meeting Date: Agenda Item: Subject: August 1, 2016 12ai Approving Mayor Jefferson's travel to DRCOG retreat Initiated By: Staff Source: Mayor Joe Jefferson Eric A. Keck, City Manager PREVIOUS COUNCIL ACTION In order for Councilmembers to use funds from the Council travel budget, Council must approve the spending, which has always been done at a regular City Council meeting prior to the travel. RECOMMENDED ACTION Approve, by motion, approximately $380 for the Mayor to attend the Denver Regional Council of Governments Directors Conference. BACKGROUND, ANALYSIS, AND ALTERNATIVES IDENTIFIED The DRCOG Directors Conference will be held in Breckenridge, CO, August 5-6, 2016. The Mayor's participation in this Directors conference is critical to DRCOG as well as • the City as the direction and initiatives of this organization are identified as this meeting. • FINANCIAL IMPACT There is no registration fee for the conference. The hotel is $190 and the per diem rate for Breckenridge is $64/day. The total conference cost for the Mayor will be approximately $380 . LIST OF ATTACHMENTS • • • MEMORANDUM TO: FROM: DATE: Mayor Joe Jefferson City Council Members City Manager's Office Dugan Comer, Acting City AttorneLl)ii ?' J July 27, 2016 REGARDING: April 30, 2015 Memorandum from Chris Neubecker July 14, 2016 Letter from Judd Golden attorney for iBake. Attached are two documents the first is a memorandum authored by a former employee, Chris Neubecker regarding private marijuana clubs; the second is a letter from Judd Golden the attorney retained by iBake outlining their argument as to why they are exempt under the Colorado Clean Indoor Air Act and why they believe they are a private membership club . Attachments 1 J4a • • • M E M 0 R A N D u M TO: Eric Keck, City Manager THRU: Michael Flaherty, Deputy City Manager FROM: Chris Neubecker, Senior Planner DATE: April 30, 2015 SUBJECT: Private Marijuana Club Staff recently received an inquiry regarding a possible new business in the City catering to marijuana users. The business would be a private membership club in which members may smoke, use and consume marijuana related products at a location other than their private ~"'sidence . (1' !o rn a riju:i.r:a :::.!cs aic prs;:::;:c:l.~ ;f-:: ~usiness illay also incluc!c .:..=:d:~::.:,; 1.:tl products and services, such as music, entertainment, events, games, sale of food and beverages, and gifts. This memo will address the zoning side of this use. We will defer to the City Attorney to determine the legal issues with this type of business . The current Unified Development Code has a use type called "Membership Organization" within the "Assembly" use category. Following are the current definitions for these uses: Assembly a. Characteristics. This use category includes spaces used for the periodic gathering of large numbers of people for meetings, specific events, or shows. Activities may be of a spectator nature. Accessory uses may include offices, meeting areas, food preparation areas, concessions, parking, and maintenance facilities . b. Specific Use Types. This category includes the following use types: (7) Assembly Hall or Auditorium, Hall Rental for Meetings or Social Occasions. A building or a portion of a building in which facilities are provided for civic, educational, political, or social purposes or a facility available for lease by private parties. (2) Membership Organization (Excluding Adult Use). An organization and its premises catering exclusively to members and guests for social, intellectual, recreational, or athletic purposes that are conducted for profit. Planning & Zoning Division Building Division Economic Development 303.762 .2347 303.762.2356 303.762.2599 1000 Englewood Parkway Englewood, Colorado 80110 www.englewoodgov.org Membership Organizations are permitted in the following zone districts: • Permitted Use: M-2, MU-B-1, MU-B-2, 1-1 and 1-2 • Conditional Use: TSA The definition of "Membership Organization" does not mention how exclusive membership will be, or the price of a membership. For example, Studio A64 in Colorado Springs allows memberships of $5.00/day, or $30 .00/month. This price is similar to a cover charge at a local bar, which is open to the public. "Membership Organization" specifically excludes "Adult Use". The definition of Adult Use below does not mention marijuana or any other business that is regulated based on the age of the customers. Adult Uses are specific to sex related businesses. 1. Adult Use. a. Characteristics. Adult use shall mean a use of property where the principal use, or a significant or substantial adjunct to another use of the property, is the sale, rental, display or other offering of live entertainment, dancing or material which is distinguished or characte ri zed by its emphasis on depicting, exhibiting, describing or relating to "specified sexual activities" or "specified anatomical areas" as the primary attraction to the premises. b. Specific Use Types. Examples include adult arcades, adult bookstores, adult cabaret, adult dancing establishment, and other similar facilities, including those defined below. (1) Adult Arcade. An establishment where, for any form of consideration, one (1) or more motion picture projectors, slide projectors or similar machines, for viewing by five (5) or fewer persons each, are used to show films, motion pictures, video cassettes, slides or other photographic reproductions which are characterized by an emphasis upon the depiction or description of "specified sexual activities" or "specified anatomical areas". (2) Adult Bookstore. A place where books, magazines, motion pictures, videos, prints, photographs, periodicals, recordings, novelties and devices, or any of these things, which have as their primary or dominant theme, matter depicting, illustrating, describing or relating to specified sexual activities , are sold, rented or offered for sale to adults . (3) Adult Cabaret. A nightclub, bar, restaurant or similar establishment which regularly features live performances which are characterized by the exposure of "specified anatomical areas" or by "specified sexual activities," or films, motion pictures, video cassettes, slides or other photographic reproductions which are characterized by an emphasis upon the depiction or description of "specified sexual activities" or "specified anatomical areas". (4) Adult Dancing Establishment. A business that features dancers displaying or exposing "specified anatomical areas". (5) Adult Entertainment or Service Facility. An adult bookstore, adult motion picture booth, adult motion picture theater, adult dancing establishment, adult cabaret, or adult arcade . (6) Adult Motion Picture Booth. An enclosed area within an adult motion picture theater designed or used for the viewing by one (1) or two (2) persons of motion pictures • • • • • • which have as their primary or dominant theme, matters depicting, illustrating or relating to "specified sexual activities". (7) Adult Motion Picture Theater. An enclosed building, or a portion or part of an enclosed building, or an open-air theater designed to permit viewing by patrons seated in automobiles, used for presenting on a regular basis, film material which has as its primary or dominant theme, matters depicting, illustrating or relating to "specified sexual activities" for observation by adult patrons thereo~ and includes any hotel or motel, boarding house, rooming house, or other lodging for transient customers. Specified Anatomical Areas: As used herein, shall mean and include any of the following: (A) Less than completely and opaquely covered human genitals, pubic region, buttocks, anus or female breasts below a point immediately above the top of the areolae; or (8) Human male genitals in a discernibly turgid state, even if completely and opaquely covered. Specified Sexual Activities: As used herein, shall mean and include any of the following: (A) Human genitals in a state of sexual stimulation or arousal; (B) Acts of human adamitism, analingus, bestiality, cunnilingus, coprophilia, fellation, flagellatiqn, frottage, masochism, masturbation, sadism , sadomi'!sochism , sexual intercourse , sodomy or urolagnia; and (C) Fondling or other erotic touching of human genitals, pubic region, buttock, or female breast. Based on staff's understanding of the proposed business, we believe that a Private Marijuana Club would be considered a Permitted Use, and therefore would be allowed in the same zone districts where Membership Organizations would be permitted . • JuddGolden~~~~~~~~~~~~~~~~~~~~~~~~~~~~~­ Attomey at Law, LLC July 14, 2016 Dugan Comer, Acting City Attorney City of Englewood 1000 Englewood Parkway Englewood, CO 80110 Re: iBake Englewood Dear Mr. Comer, 500 Mohawk #209 Boulder, CO 80303 303 .442 .6355 juddgolden@outlook.com By email only to dcomer@englewoodgov.org Thank you for speaking with me on July 14. As discussed, I have been retained to represent iBake Englewood (iBake). I write to provide information and authorities about how iBake is operating lawfully, and why Englewood does not have legal grounds to suspend or revoke iBake's business license, and should not take action to do so. iBake did not obtain their business licenses from either the State or Englewood by fraud , misrepresentation or false statement. !Bake is not a public nuisance, and has violating no laws. Their proposed business, products, and services were disclosed as requested. !Bake was lawful at the time of its inception, and continues to operate lawfully. Englewood Municipal Code §5-1-4, CRS §38-1- • 101(3)(a), and see, JAM Rest., Inc . v. City of Longmont, 140 P.3d 192, 197 (Colo.App.2006). • iBake is a retail tobacco business licensed by both the State of Colorado and Englewood. "Any tobacco retail business" is an exception to the smoking restrictions in the Colorado Clean Indoor Air Act (CCIIA), CRS §25-14-205(1)(d). In 2013, the CCIIA was amended in the omnibus bill SB 12-283, Concerning Implementation of Amendment 64, 2013 Ch. 332, §12, eff. 5/28/2013. The CCIIA, as amended, treats marijuana the same as tobacco, and unambiguously proscribes smoking restrictions and exceptions that apply equally to tobacco and marijuana. 1 1 § 25-14-203. Definitions As used in this part 2, unless the context otherwise requires : (1 l .5)"Marijuana" shall have the same meaning as in section 16 (2) (f) of article XVIII of the state constitution. (16) "Smoking" means the burning ofa lighted cigarette, cigar, pipe , or any other matter or substance that contains tobacco or marijuana. ( 18) "Tobacco business" means a sole proprietorship, corporation, partnership, or other enterprise engaged primarily in the sale, manufacture, or promotion of tobacco, tobacco products, or smoking devices or accessories, either at wholesale or retail, and in which the sale, manufacture, or promotion of other products is merely incidental. § 25-14-204. General smoking restrictions (1) Except as provided in section 25-14-205, and in order to reduce the levels of exposure to environmental tobacco and marijuana smoke, smoking shall not be permitted and no person shall smoke in any indoor area, including, but not limited to: [subsections omitted] § 25-14-205. Exceptions to smoking restrictions (1) This part 2 shall not apply to: (d) Any retail tobacco business; (Emphasis supplied) Judd Golden Attorney at Law, LLC -1 It was the intent of the legislature in enacting the CCIIA to protect nonsmokers from involuntary exposure to smoke, and also to respect the private choices of individuals to smoke in private places, including specified indoor areas. The statute's legislative declaration 2 , as amended in 2013,".. . • evidences the balance struck 'between the health concerns of nonconsumers of tobacco [and marijuana] products and the need to minimize unwarranted governmental intrusion into' private choices ... it seems abundantly clear that the General Assembly's purpose was to protect its citizens from exposure to the smoking of others without at the same time forcing them to choose between their comfort or health, on the one hand, and the benefits offered by regulated, public accommodations, on the other." Curious Theatre Co. v. Colorado Dept. of Public Health and Environment, 220 P.3d 544, 549 (Colo. 2009). " ... [T]he testimony of a bill's sponsor concerning its purpose and anticipated effect can be powerful evidence of legislative intent." People v. Valadez, 14CA2396, decided April 21, 2016, citing Vensor v. People, 151P.3d1274, 1279 (Colo. 2007). Initial consideration of SB 13-283 was by the Senate Business Labor and Technology Committee. Research has not disclosed any other debate or discussion prior to passage about these sections of the bill that add marijuana to the CCIIA. The explanation of the CCIIA amendments by bill sponsor Senator Randy Baumgardner is from about 1 :53:00 to 1:55:15 in the recording, http://coloradoga.granicus.com/MediaPlayer.php ?view _id=43 &clip _id= 385 5 This is an uncertified transcription -please listen for yourself (emphasis supplied): Chair: Section 15 just adds marijuana to the tobacco statutes, right? Sen. Baumgartner: Yes. Chair: And then we have the legislative declaration, are there any other comments to the bill? Unk.: On 24 and 25, lines nine down, this is just making it the same as tobacco, it's the Clean Air stuff. Chair: Sen. Baumgardner? Sen. Baumgardner: Just to where you don't think we are pulling the wool over your eyes, on page 25 [full language of CRS §25-14-204(1) read aloud] -if you look at the bill, it's kind of blank ... Unk. -It's in the statute. Sen. Baumgardner: ... but if you go to the bill [sic], it lists all the places that you can't use it. Instead of just putting them in the bill, they are in statute. When Sen. Baumgardner read aloud CRS §25-14-204(1), the places where you can't use it, which starts, "Except as provided in section 25-14-205," with no Committee comment or questions, it is 2 § 25-14-202. Legislative declaration The general assembly hereby fmds and determines that it is in the best interest of the people of this state to protect nonsmokers from involuntary exposure to environmental tobacco and marijuana smoke in most indoor areas open to the public, public meetings, food service establishments, and places of employment. The general assembly further finds and determines that a balance should be struck between the health concerns of nonconsumers of tobacco products and combustible marijuana and the need to minimize unwarranted governmental intrusion into, and regulation of, private spheres of conduct and choice with respect to the use or nonuse of tobacco products and combustible • ·. marijuana in certain designated public areas and in private places. Therefore, the general assembly hereby declares • that the purpose of this part 2 is to preserve and improve the health, comfort, and environment of the people of this state by limiting exposure to tobacco and marijuana smoke. (Emphasis supplied) Judd Golden Attorney at Law, LLC -2 • • • clear that the exceptions to smoking restrictions, CRS §25-14-205(l)(a-k), the places where you can "use it," were also understood to remain in force. As amended, these exceptions also would also become equally applicable to tobacco and marijuana, including subsection ( d), the retail tobacco businesses exception. There is no other reasonable way to interpret what the legislature intended. Contrary to what Englewood has claimed, iBake is not a "marijuana consumption club." It is a legal retail tobacco business that chooses to limit entry to adults 21 or older. It enforces that restriction by limiting access to adults who agree to become iBake members. iBake also chooses to control access by being a membership business. To join, a membership application is required that includes an agreement to comply with certain iBake business formalities, rules of conduct and also an agreement to follow certain laws. If an application is accepted and age is verified, a membership fee is collected, and membership credentials are issued. Only then is access permitted into iBake's fully enclosed and separately ventilated space within the business premises at 3995 S. Broadway. These formalities ensure that only adult members have access; members of the general public are not allowed. Smoking is not conducted "openly and publicly," and iBake is not a "public place." Article XVIII Sec. 16(3)(d), Colorado Constitution, and CRS §18-1-901(3)(n) ("'Public place' means a place to which the public or a substantial number of the public has access.") The owners and operators of iBake are operating within the law. They have done so for over a year. Before going into business, in April 2015, they personally visited each Englewood city department to ask if there were any special requirements to open a pipe and tobacco shop that you could smoke in, such as the need for any special filters or requirements. All departments said there was nothing special needed. Relying upon those assurances, and the clear language of the CCIIA retail tobacco business exception, they entered into a multi-year lease for 3995 So. Broadway, and obtained a city license for a retail pipe and tobacco shop, including a list of merchandise that was to be sold. They also obtained a Colorado Sales Tax License, stating that they planned to sell tobacco products, apparel, food and memberships. They were not asked in these applications, or by any government officials, if they intended to allow marijuana smoking in their retail tobacco business; they would have done so if asked. iBake opened on June 6, 2015, and has operated in a safe and responsible manner ever smce. Thank you for considering this information and authorities. My clients want to continue to operate as a legal and responsible member of the Englewood business community. Please discuss this with the mayor and city council, and let me know if you have questions or comments. I look forward to hearing from you. Sincerely, Isl cJudd c9dden Judd Golden Attorney for iBake Englewood Copy: iBake Englewood Judd Golden Attorney at Law, LLC -3