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14-018.00 Public Safety Corporation / Cry WolfSj�kaneVal j OFFICE OF THE CITY ATTORNEY CARY P. DRISKELL — CITY ATTORNEY ERIK J. LAMB — DEPUTY CITY ATTORNEY 11707 East Sprague Avenue Suite 103 • Spokane Valley WA 99206 509.720.5105 • Fax: 509.688.0299 • cityattorney @spokanevalley.org January 15, 2014 Chuck Inderrieden Public Safety Corporation/CryWolf 103 Paul Mellon Court Waldorf, MD 20602 Re: Letter agreement to implement second option year of security alarm contract executed October 13, 2009 Dear Mr. Inderrieden: The City executed a contract (the Agreement) for a city security alarm program on October 13, 2009, by and between the City of Spokane Valley, a code City of the State of Washington, hereinafter "City" and Public Safety Corporation/CryWolf, hereinafter "Consultant" and jointly referred to as "Parties." The Request for Proposals states that it was for three years, i.e. from January 1, 2010 until December 31, 2012. The City would like to implement the second of three option years, which will extend the duration of the Agreement until December 31, 2014. The compensation as set forth in Exhibit A, Cost Proposal, will remain the same. All of the other contract provisions contained in the original agreement are in place and will remain unchanged in extending this Agreement. If you are in agreement with extending this agreement as set forth herein, please sign below to acknowledge the receipt and concurrence. Please return two copies to the City for execution. A fully executed original copy will be mailed to you for your files. CITY OF SPOKANE VALLEY PUBLIC SAFETY CORPORATION bi,4 —,� /4) ike Jackso , ty Manager George R. Wilson, Chief Operating Officer r5i0, `Y I Christine Bainbridge, City Clerk Exhibit A City of Spokane Valley, WA Section D Contract to Administer City Security Alarm Cost Proposal Program 4. Cost Proposal Public Safety Corporation (PSC) has a long and successful track record of helping cities and counties increase their service levels, reduce false alarms and increase revenue collections on a risk free, 'self- funded" basis. The following sections describe our proposed fee structure to provide False Alarm Administration Services to the City of Spokane Valley. 4.A Proposed Costing Method The RFP mandates that proposing firms derive their fees exclusively from the false alarm revenue received and requests at least one bid on a "Revenue Sharing" basis. Pritine Method Based an our analysis of the potential Spokane Valley Security Alarm Program revenue using a newfee structure similar to the City of Spokane, and projected Program costs, we propose a single, 10D% revenue sharing approach. In order to provide a simple method to administer, PSC proposes to be compensated for its services by receiving twenty -five (25% ) percent of the registration and false alarm- related fees, fines and penalties collected on behalf of the Spokane Valley Security Alarm Program. This percentage is based-on several assumptions: • The Ordinance fee /fine schedules remain in substantially the same form as currently proposed in the Spokane Valley Ordinance No. 03-070 previously provided to PSC; • The City applies a fair, but firm approach to appeals resulting in alarm fines being generally upheld on appeal; • The City actively supports enforcement of the Ordinance, including the proactive collection of all fine amounts owed. 4.B Identification of Costs For the provision of all services and technology outlined in this proposal, PSC proposes to obtain payment exclusively from the collected revenues PSC helps generate. There will be no upfront systems development, licensing, conversion, equipment, travel or other costs. PSC will purchase, configure, install, and customize everything PSC needs to provide the Security Alarm Tracking and Billing Services described in this proposal. PSC proposes the following collection and payment transfer procedure which we have used successfully in many jurisdictions. All alarm fee and fine collections mailed to the Alarm Program will be directed to a commercial hank lockbox and deposited in a dedicated false alarm bank account ( "Alarm Account") to be established at a mutually approved Commercial Bank. Online and any walk -in payments will also be directed to a central • False Alarm Reduction Account. 02009 Public Safety Corporation 4-i • Section D Cost Proposal City of Spokane Valley, WA Cont4ract to Administer City Security Alarm Program At the beginning of each month, PSC will reconcile all amounts deposited in the alarm account during the previous month and provide the City of Spokane Valley with an invoice showing the fee calculation and supporting bank reconciliation. Only City authorized citizen and business'refunds, third -party credit card processing charges (less any City authorized convenience fees), third -party collection charges (if any), and City of Spokane Valley designated -bank fees will be paid from gross program receipts before revenue sharing is calculated. Once the invoice is approved by the City, the bank would be authorized to Issue transfers, e.g. ACH transfers, to the City of Spokane Valley and to PSC for the proposed revenue share amounts. 4 -2 02009 Public Safety Corporation THIS IS TO CERTIFY THAT THE POLICIES OF INSURANCE LISTED BELOW HAVE BEEN ISSUED TO THE INSURED NAMED ABOVE FOR THE POLICY PERIOD INDICATED. NOTWITHSTANDING ANY REQUIREMENT, TERM OR CONDITION OF ANY CONTRACT OR OTHER DOCUMENT WITH RESPECT TO WHICH THIS CERTIFICATE MAY BE ISSUED OR MAY PERTAIN, THE INSURANCE AFFORDED BY THE POLICIES DESCRIBED HEREIN IS SUBJECT TO ALL THE TERMS, EXCLUSIONS AND CONDITIONS OF SUCH POLICIES. LIMLTS SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS. INSR 7ypEOFINSURANCE ®® tliF'9 .i • POLICY NUMBER POLICYEFF MMID.JYYYY POLICYEXP MMIDD 414 LIMITS A GENERAL X UABILITY COMMERCIAL GENERAL LIABILITY INSURED AOT Public Safety Corp, DBA: Public Safety attn: Jill Williams 103 Paul Mellon Court Waldorf MD 20602 INSURER B :Twin Ci Fire Insurance 2SBATY5335 6/1/2013 6/1/2014 EACH OCCURRENCE $ 2,000,000 ■'7�.�.fT ' - y. CL �...0 L: a r $ 300,000 MED EXP (Any one . -rson) $ 10,000 ■■ CLAIMS -MADE X OCCUR PERSONAL &ADV INJURY $ 2,000,000 ■ GENERAL AGGREGATE $ 4,000,000 ■ PRODUCTS - COMP/OP AGG $ 4,000,000 GENL AGGREGATE LIMIT APPLIES PER X POLICY ■ PRO ■ LOC $ A AUTOMOBILE ■ ■ X ■ LIABILITY ANY AUTO AUK ED HIRED AUTOS ■ X ■ SCHEDULED AUTOS O% ED ' 2SBATY5335 6/1/2013 6/1/2014 MBI ED INGLE LIMIT Ea accident BODILY INJURY (Per person) S BODILY INJURY (Per accident) 5 PROPERTY r entDAMACE 5 HiredlNon.OwnedAuto $ 2 000 000 A X ■ UMBRELLA LIAR X EXCESS LIAB ■ OCCUR CLAIMS -MADE 42SBATY5335 6/1/2013 6/1/2014 EACH OCCURRENCE $ 2,000,000 AGGREGATE 6 $ DED X RETENTION$ 10,001 B WORKERS COMPENSATION AND EMPLOYERS' LIABILITY ANY PROPRIETORIPARTAER/EXECUTIVE 1Yf NI O�K:atory In EXCLUDED? (Mandatary In NH) If yes, describe under DESCRIPTION OF OPERATIONS below N!A '2WECTK0714 6/1/2013 6/1/2014 X REM WI E.L. EACH ACCIDENT 5 1 000 000 E.L. DISEASE - EA EMPLOYE: 5 1 000 000 E.L DISEASE - POLICY LIMIT S 1 000 000 A C Cyber Liability Employee Dishonesty •OTE0271437 11 = 6049811 9/16/2012 /14/2013 /15/2013 /14/2014 umit $ 1,000,000 umit $ 100,000 DESCRIPTION OF OPERATIONS 1 LOCATIONS I VEHICLES (Attach ACORD 101, Additional Remarks Schedu e, if more space is required) Spokane Valley City is additional insured with respect to liability for work being performed on their behalf by the named insured per form SS0008 04/05. 30 day notice does not apply to non- payment of premium. AW EI CERTIFICATE OF LIABILITY INSURANCE 5�zo�2o�i3 ) THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE HOLDER. THIS CERTIFICATE DOES NOT AFFIRMATIVELY OR NEGATIVELY AMEND, EXTEND OR ALTER THE COVERAGE AFFORDED BY THE POLICIES BELOW. THIS CERTIFICATE OF INSURANCE DOES NOT CONSTITUTE A CONTRACT BETWEEN THE ISSUING INSURER(S), AUTHORIZED REPRESENTATIVE OR PRODUCER, AND THE CERTIFICATE HOLDER. IMPORTANT: If the certificate holder Is an ADDITIONAL INSURED, the policy(ies) must be endorsed. If SUBROGATION IS WAIVED, subject to the terms and conditions of the policy, certain policies may require an endorsement. A statement on this certificate does not confer rights to the certificate holder In Lieu of such endorsement(s). PRODUCER Edward L. Sanders Insurance Agency, Inc. P.O. Box 2828 10 Washington Avenue La Plata MD 20646 NAME T Billy —Jo Jordan PHONE , . (301) 934 -9521 FAX (301)934-1120 • MAILS .billy3@e1sanders. corn IN$UR - S AFFORDING COVERAGE NAIC 0 INSURER A: Hartford Fire Insurance Co • -an t 9682 INSURED AOT Public Safety Corp, DBA: Public Safety attn: Jill Williams 103 Paul Mellon Court Waldorf MD 20602 INSURER B :Twin Ci Fire Insurance 9459 INSURER C :Selective Insurance Com -an 12572 INSURER D: INSURERE: INSURER F: •13 -14 REVISION NUMBER: CERTIFICATE HOLDER CANCELLATION Spokane Valley City Hall Carrie Koudelka, Deputy City Clerk 11707 East Sprague Avenue Suite 106 Spokane Valley, WA 99206 SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE THE EXPIRATION DATE THEREOF, NOTICE WILL BE DELIVERED IN ACCORDANCE WITH THE POLICY PROVISIONS. AUTHORIZED REPRESENTATIVE Billy -Jo Jordan /BJ ACORD 25 (2010105) INS025 mninnrt ni ©1988 -2010 ACORD CORPORATION. All rights reserved. Tha 6C:ARr1 Hama anti Irwin am rordatra nr( marirc of Ar'A l A CERTIFICATE OF LIABILITY INSURANCE 5/22/2a 4n THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE HOLDER. THIS CERTIFICATE DOES NOT AFFIRMATIVELY OR NEGATIVELY AMEND, EXTEND OR ALTER THE COVERAGE AFFORDED BY THE POLICIES BELOW. THIS CERTIFICATE OF INSURANCE DOES NOT CONSTITUTE A CONTRACT BETWEEN THE ISSUING INSURER(S), AUTHORIZED REPRESENTATIVE OR PRODUCER,AND THE CERTIFICATE HOLDER. IMPORTANT: If the certificate holder is an ADDITIONAL INSURED,the policy(ies) must be endorsed. If SUBROGATION IS WAIVED,subject to the terms and conditions of the policy,certain policies may require an endorsement. A statement on this certificate does not confer rights to the certificate holder in lieu of such endorsement(s). PRODUCER CONTACT Daniele Burk NAME: Edward L. Sanders Insurance Agency, Inc. Wc°.iio Ern: (301)934-9521 FAX mit No):(301)934-1120 P.O. Box 2828 E-MAIL ADDRESS danieleb elsandera.com 10 Washington Avenue INSURER(S)AFFORDING COVERAGE NAIC4 La Plata MD 20646 INsuRaR A:Hartford Fire Insurance Company 19682 INSURED INSURER B:Twin City Fire Insurance 29459 AOT Public Safety Corp, DBA: Public-Safety INSURERc:Selective Insurance Company 12572 attn: Jill Williams INSURERD: 103 Paul Mellon Court INSURERE: Waldorf MD 20602 INSURERF: COVERAGES CERTIFICATE NUMBER:14-15 REVISION NUMBER: THIS IS TO CERTIFY THAT THE POLICIES OF INSURANCE LISTED BELOW HAVE BEEN ISSUED TO THE INSURED NAMED ABOVE FOR THE POLICY PERIOD INDICATED. NOTWITHSTANDING ANY REQUIREMENT,TERM OR CONDITION OF ANY CONTRACT OR OTHER DOCUMENT WITH RESPECT TO WHICH THIS CERTIFICATE MAY BE ISSUED OR MAY PERTAIN, THE INSURANCE AFFORDED BY THE POLICIES DESCRIBED HEREIN IS SUBJECT TO ALL THE TERMS, EXCLUSIONS AND CONDITIONS OF SUCH POLICIES.LIMITS SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS. m5R ADDL SUBR POLICY EFF POLICY EXP LTR TYPE OF INSURANCE MSR WO POLICY NUMBER (MM/DD/YYYYI IMM?DDIYYYYI LIMITS GENERAL LIABILITY EACH OCCURRENCE $ 2,000,000 X COMMERCIAL GENERAL LIABILITY PREMIES( ao R RENTED jrr cel $ 300,000 DA AMAGETO A CLAIMS-MADE n OCCUR 42SBATY5335 6/1/2014 6/1/2015 MED EXP(Any one person) $ 10,000 X addl $50% Employee PERSONAL&ADV INJURY $ 2,000,000 Dishonesty GENERAL AGGREGATE $ 4,000,000 GEN'L AGGREGATEILIMIT APPLIESIPER: PRODUCTS-COMP/OP AGG $ 4,000,000 X'POLICY'GI PFR° fPI LOC $ AUTOMOBILE LIABILITY COMBINED SINGLE LIMIT (Ea acciden0 $ ANY AUTO BODILY INJURY(Per person) $ A ALL OWNED SCHEDULED 42SBATY5335 6/1/2014 6/1/2015 BODILY INJURY(Per acidulent) $ AUTOS AUTOS X HIRED AUTOS X AUTOSWNED PROPERTY(DAMAGE $ Hued/Non-Owned Auto $ 2,000,000 X UMBRELLA UAB X OCCUR EACH OCCURRENCE $ 2,000,000 A EXCESS UAB CLAIMS-MADE AGGREGATE $ DED 'X RETENTIONS 10,000 425BATY5335 6/1/2014 6/1/2015 $ B WORKERS COMPENSATION WC STATU- 0TH- AND EMPLOYERS LIABILITY Y/N TORY I(NITS FR AW PROPRIETOFVPARTNER/EXECUTIVE^ E.L EACH ACCIDENT $ 1,000,000 OFFICER/MEMBER EXCLUDED? I ' N/A 94NECTX0714 6/1/2014 6/1/2015 (Mandatory In NH) EL DISEASE-EA EMPLOYEE $ 1,000,000 If yes,describe under -DESCRIPTION OF OPERATIONS below -E.L DISEASE-POLICY-LIMIT $ 1,000,000 A Cyber Liability 00TE0271437 11 6/1/2014 6/1/2015 umil 1,000,000 C Employee Dishonesty B6049811 6/1/2014 6/1/2015 Total Lieut 100,000 DESCRIPTION OF OPERATIONS/LOCATIONS/VEHICLES (Attach ACORD 101,Additional Remarks Schedule,II more space Is required) Spokane Valley City is additional insured with respect to liability for work being performed on their behalf by the named insured per form 550008 09/05. 30 day notice does not apply to non-payment of premium. CERTIFICATE HOLDER CANCELLATION SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE THE EXPIRATION DATE THEREOF, NOTICE WILL BE DELIVERED IN Spokane Valley City Hall ACCORDANCE WITH THE POLICY PROVISIONS. Carrie Koudelka, Deputy City Clerk - - - 11707 East Sprague Avenue AUTHORIZED REPRESENTATIVE Suite 106 Spokane Valley, WA 99206 ��J-. LUGkf Daniele Burk/DB ACORD 25(2010/05) ©1988-2010 ACORD CORPORATION. All rights reserved. INS025(201005).01 The ACORD name and logo are registered marks of ACORD