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2022, 08-30 Study Session AGENDA SPOKANE VALLEY CITY COUNCIL REGULAR MEETING STUDY SESSION Tuesday, August 30, 2022 6:00 p.m. Remotely via ZOOM Meeting and In Person at 10210 E Sprague Avenue Council Requests Please Silence Your Cell Phones During Council Meeting NOTE: In response to Governor Inslee's announcement reopening Washington under the “Washington Ready” plan, members of the public may attend Spokane Valley Council meetings in-person at City Hall at the address provided above, or via Zoom at the link below. Members of the public will be allowed to comment in-person or via Zoom as described below. Public comments will only be accepted for those items noted on the agenda as “public comment opportunity.” If wishing to make a comment via Zoom, comments must be received by 4:00 pm the day of the meeting. Otherwise, comments will be taken in-person at the meeting in Council Chambers, as noted on the agenda below. Sign up to Provide Oral Public Comment at the Meeting via Calling-In Submit Written Public Comment Prior to the Meeting Join the Zoom WEB Meeting ------------------------------------------------------------------------------------------------------------------------------- CALL TO ORDER ROLL CALL APPROVAL OF AGENDA ACTION ITEM: 1. First Reading Ordinance 22-014 Street Vacation, Right-of-Way Mission to Park – Lori Barlow \[no public comment – public hearing previously held\] 2. Motion Consideration: AHBL Contract amendment for Balfour Park Project – Gloria Mantz \[public comment opportunity\] NON-ACTION ITEMS: DISCUSSION LEADER SUBJECT/ACTIVITY GOAL 3. John Bottelli, Mark MacIntosh Spokane Valley Arts Council Discussion/Information 4. Susan Nielsen Mercer International, Inc. Discussion/Information 5. Gloria Mantz, Jerremy Clark Sprague Avenue Stormwater Discussion/Information Project 6. Chelsie Taylor 2023 Budget, Estimated Revenues Discussion/Information And Expenditures 7. Tony Beattie Opioid Distributor Settlement with Discussion/Information State of Washington, Allocation Agreement 8. Chief Ellis Hometown Suites Update Discussion/Information 9. Mayor Haley Advance Agenda Discussion/Information 10. Mayor Haley Council Comments Discussion/Information 11. John Hohman City Manager Comments Discussion/Information 12. Executive Session: \[RCW 42.30.110(1)(b)\] Acquisition of Real Estate Proposed Motion: I move we adjourn into Executive Session for approximately 20 minutes to discuss acquisition of real estate, and that no action will be taken upon return to open session. ADJOURN Council Agenda August 30, 2022 Page 1 of 1 CITY OF SPOKANE VALLEY Request for Council Action Meeting Date: August 30, 2022 Department Director Approval: Check all that apply: consent old business new business public hearing information admin. report pending legislation executive session AGENDA ITEM TITLE: First Ordinance Reading – STV-2022-0001, a City-initiated street vacation of an unopened alleyway connecting Mission and Park. GOVERNING LEGISLATION: Chapter 22.140 Spokane Valley Municipal Code; RCW 35A.47.020 chapter 35.79 RCW; and Resolution 07-009. PREVIOUS COUNCIL ACTION TAKEN: April 26, 2022 Council adopted Resolution 22-004 setting the Public Hearing date before the Planning Commission; May 31, 2022 Council adopted Resolution 22-008 resetting the Public Hearing date before the Planning Commission. August 16, 2022 Council Administrative Report for Planning Commission Recommendation BACKGROUND: The unnamed alleyway was dedicated by the Park Road Plat in 1949. The right-of-way proposed to be vacated is approximately 370 feet by 20 feet for an area of approximately 7,400 square feet. The area is in the shape of an ‘L’ connecting Park Road and Mission Avenue. The right-of-way has remained unopened and unimproved for 73 years. The unnamed alley is adjacent to seven parcels (35131.0101 and 35131.0102, 35131.0103, 35131.0104, 35131,0105, 35131.0106, and 35131.0107). The request was initiated by the City. The City has had to perform on-going maintenance and weed control in the unimproved alley. The right-of-way is not needed by the City and it would be better used by allowing the adjacent property owners use of the property under private ownership as well as transfer of the maintenance responsibility. On April 19, 2022, the City Council consented to move Resolution 22-004 to the Consent Agenda for April 26, 2022. On May 31, 2022 City Council passed Resolution 22-008 amending Resolution 22-004 to reschedule the public hearing date to July 14, 2022. The Planning Commission conducted a study session on June 23, 2022 and a public hearing on July 14, 2022. The Planning Commission voted 6-1 to recommend approval for the street vacation (STV-2022-0001) to the City Council. SVMC 22.140.040 directs City Council to consider the Planning Commission’s findings, conditions and/or limitations appropriate to preserve the public use or benefit, and the proposed division of the vacated right- of-way among abutting property owners. In situations where the adjoining property owners apply for a street vacation, City Council would decide whether to require compensation for the right-of-way and when it is to be paid pursuant to Resolution 07-009. The City does not require payment for a vacation from the property owners gaining property when the vacation is initiated by the City. Division of Vacated Right-of-Way to Abutting Property Owners: Half of the 20-feet wide alley way shall be granted to the adjacent property owners with the exception of the two parcels located at the corner of the L-shaped alleyway (parcel number 35134.0106 and 35131.0101). The distribution of right-of-way in this area is irregular. Compensation for Right-of-Way: Since the City initiated the application, the City will not charge fees for the application process, nor will it seek compensation for the value of the land being vacated. OPTIONS: Move to advance to a second reading with or without further amendments. RECOMMENDED ACTION OR MOTION: Move to advance Ordinance 22-014 to a second reading at the September 6, 2022 Council meeting. BUDGET/FINANCIAL IMPACTS: None. STAFF CONTACT: Lori Barlow, AICP, Senior Planner ATTACHMENTS: 1. Draft Ordinance 22-014 2. PowerPoint Presentation 3. Planning Commission Findings and Recommendations 4. Planning Commission Meeting Minutes for the following meetings: a. June 23, 2022 - Approved b. July 14, 2022 - Approved c. July 28, 2022 - Draft 5. Staff Report and Recommendation to the Planning Commission including exhibits 6. Resolution 07-009 DRAFT CITY OF SPOKANE VALLEY SPOKANE COUNTY, WASHINGTON ORDINANCE NO. 22-014 AN ORDINANCE OF THE CITY OF SPOKANE VALLEY, SPOKANE COUNTY WASHINGTON, PROVIDING FOR A RIGHT-OF-WAY VACATION OF APPROXIMATELY 7,400 SQUARE FEET OF UNOPENED ALLEYWAY CONNECTING MISSION AVENUE TO PARK ROAD, AND PROVIDING FOR OTHER MATTERS PROPERLY RELATING THERETO. WHEREAS, on April 26, 2022 the City Council approved Resolution 22-004 and initiated the street vacation and set the public hearing date for the Planning Commission to consider vacation of a 20 feet by 370 feet area of unimproved alley way that connects Mission Avenue to Park Road; and WHEREAS, on May 31, 2022 the City Council approved Resolution 22-08 to amend Resolution 22-004 to reset the public hearing date to July 14, 2022; and WHEREAS, on July 14, 2022, the Planning Commission held a public hearing; and WHEREAS, following the hearing, the Planning Commission found that the notice and hearing requirements of Spokane Valley Municipal Code (SVMC) 22.140.020 had been met; and WHEREAS, the Planning Commission findings and minutes have been filed with the City Clerk as part of the public record supporting the vacation; and WHEREAS, none of the property owners abutting the property to be vacated filed a written objection to the proposed vacation with the City Clerk; and WHEREAS, Pursuant to SVMC 22.140.040 and Resolution 07-009, since the city initiated the vacation no compensation is required for the vacation; and WHEREAS, pursuant to chapter 22.140 SVMC, upon vacation of the road, the City shall transfer the vacated property to abutting property owners, the zoning district designation of the properties adjoining the street shall attach to the vacated property, a record of survey shall be prepared by the City, and all direct and indirect costs of title transfer to the vacated street shall be paid by City; and WHEREAS, the City Council desires to vacate the above alley way that connects Mission Avenue to Park Road pursuant to chapter 22.140 SVMC. NOW, THEREFORE, the City Council of the City of Spokane Valley, Spokane County, Washington, do ordain as follows: Section 1. Findings of Fact. The City Council makes the following findings of fact: 1. The area proposed to be vacated abuts the rear portion of seven parcels. Each parcel takes direct access from the front of the lot abutting either Mission Avenue, Bowman or Park Road. AVISTA and LUMEN (formerly Century Link) have utilities located in the alleyway and have requested to retain rights for the maintenance, construction, and reconstruction as required. AVISTA has determined specifically where the easement will be located, but LUMEN has not specified the exact location of the aerial utilities to date but will be required to do so prior to finalizing the vacation. It is assumed that the aerial utilities are attached to the AVISTA poles. The vacation is expected to have no impact on the general public. 2. The area proposed to be vacated is currently unimproved vacant land not being used for public access and is not required for current or future public access. Stormwater improvements are in Mission Avenue and Park Road. Stormwater improvements are not needed. Since the lots are fully developed, future stormwater improvements are not anticipated. Ordinance 22-014 – Vacating an alley way from Mission Avenue to Park Road Page 1 of 3 DRAFT 3. There is no substitution proposed as part of the vacation. The City’s review has determined no need for a new or different public way in this location. All lots abutting the alleyway have access from either Mission Avenue, Park Road or Bowman Road. 4. The surrounding properties are developed and take access from the improved streets. It is not anticipated that changes would occur in the future that would require the use of the subject right-of-way for public access. 5. Notice of the public hearing was made by posting written notice at City Hall, CenterPlace, and the valley library; publishing notice in the Spokane Valley Herald, posting both ends of the right-of-way to be vacated, and a direct mailing to property owners adjacent to the proposed vacations. To date, no objections by the public or governmental agencies have been received. 6. Resolution 07-009 was adopted pursuant to RCW 35.79.030 to set the City’s policy for imposing vacation charges. In situations where the adjoining property owners apply for a street vacation, City council would decide whether to require compensation for the right-of- way and when it is to be paid pursuant to Resolution 07-009. The City does not require payment for a vacation from the property owners gaining property when the vacation is initiated by the City. Section 2. Property to be Vacated. Based upon the above findings, the City Council does hereby vacate the street or alley which is incorporated herein by reference, and legally described as follows: The unnamed Alley located between and adjacent to Lots 1 through 6, Block 1, Park Road Addition, recorded in Book 1 of Plats, page 38, records of Spokane County, Washington in the Northeast Quarter of the Northeast Quarter of Section 13, Township 25 North, Range 43 East, Willamette Meridian. Situate in the City of Spokane Valley, County of Spokane, State of Washington. Section 3. Division of Property to be Vacated. Pursuant to RCW 35.79.040 and SVMC 22.140.040(C), the vacated portion of the street or alley shall belong to the abutting property owners, one- half to each, unless factual circumstances otherwise dictate a different division and distribution of the street or alley to be vacated. There are seven abutting owners and all of the property will become part of the abutting parcels equally, with the exception of parcel numbers 35131.0106 and 35131.010. The property abutting these two parcel numbers shall be divided amongst those two parcels as evenly and practically allowed due to the irregular configuration. The completion of the vacation shall be recorded in the record of survey which shall be created and recorded with Spokane County as required pursuant to SVMC 22.140.090. ection 4. Zoning. The zoning designation for the vacated property shall be the designation S attached to the adjoining properties as set forth within the respective property or lot lines. The City Manager or designee is authorized to make this notation on the official Zoning Map of the City. ction 5. Conditions of Vacation. The following conditions shall be fully satisfied prior to Se the transfer of title by the City. 1. The vacated property shall be transferred to the owner of the abutting parcels (35131.0101, 35131.0102, 35131.0103, 35131.0104, 35131,0105, 35131.0106, and 35131.0107) as shown on the record of survey created and recorded with Spokane County Auditor’s Office pursuant to condition 4. Such property shall become part of each abutting parcel. 2. The City shall establish an easement acceptable to AVISTA for access and preservation of existing services within the area to be vacated. The location and recording number Ordinance 22-014 – Vacating an alley way from Mission Avenue to Park Road Page 2 of 3 DRAFT shall be shown on the record of survey 3. The City shall establish an easement acceptable to Lumen (Century Link) for access and preservation of existing services within area to be vacated. The location and recording number shall be shown on the record of survey 4. Following the City Council’s passage of the Ordinance approving the street vacation, a record of survey of the area to be vacated, prepared by a registered surveyor in the State of Washington, including an exact metes and bounds legal description, and specifying any and all applicable easements for construction, repair and maintenance of existing and future utilities and services, shall be completed. 5. The zoning district designation of the properties adjoining the street to be vacated shall be automatically extended to the center of such vacation, and all area included in the vacation shall then and henceforth be subject to all regulations of the districts. The adopting Ordinance shall specify this zoning district extension inclusive of the applicable zoning district designations. 6. The record of survey and certified copy of the Ordinance shall be recorded by the City Clerk in the office of the Spokane County Auditor. 7. All conditions of City Council authorization shall be fully satisfied prior to any transfer of title by the City. Section 6. Closing. Following satisfaction of the above conditions, the City Clerk shall record a certified copy of this Ordinance in the office of the County Auditor, and the City Manager is authorized to execute and finalize all necessary documents to complete the transfer of the property identified herein. Section 7. Severability. If any section, sentence, clause or phrase of this Ordinance shall be held to be invalid or unconstitutional by a court of competent jurisdiction, such invalidity or unconstitutionality shall not affect the validity or constitutionality of any other section, sentence, clause or phrase of this Ordinance. Section 8. Effective Date. This Ordinance shall be in full force and effect five days after publication of this Ordinance or a summary thereof in the official newspaper of the City of Spokane Valley as provided by law. PASSED by the City Council this _____ day of _____________, 2022. ATTEST: Pamela Haley, Mayor Christine Bainbridge, City Clerk Approved As To Form: Office of the City Attorney Date of Publication: ___________________ Effective Date: _______________________ Ordinance 22-014 – Vacating an alley way from Mission Avenue to Park Road Page 3 of 3 Park Road Park Road vacatedRoad Survey recorded Ordinance and Record of Staff Review Conditions satisfied City Council Planning Commission City Council sets public hearing street vacationinitiated-City Park Road FINDINGS AND RECOMMENDATIONS OF THE SPOKANE VALLEY PLANNING COMMISSION Pursuant to Spokane Valley Municipal Code (SVMC)17.80.150(E) the Planning Commission shall consider the proposal and shall prepare and forward a recommendation to the City Council following the public hearing.The following findings are consistent with thePlanning Commission’s decision to recommend approvalof File No. STV-2022-0001. A.Background: 1.Chapter 22.140 SVMC, governing street vacations,wasadopted in September 2007 and became effective on October 28, 2007. 2.STV-2022-0001 is a City-initiated street vacationofa 20footwidealleyway extending from Mission Avenue to Park Avenue. Thealleyway is an ‘L’ shaped portion of unimproved right-of-way(ROW)approximately 7,900 square feet in size. 3.The Planning Commission held aproperly noticedpublic hearingand conducted deliberationsonJuly 14, 2022. The Planning Commission voted6-1to recommend approval of STV-2022-0001 to the City Council. B.Planning Commission Findings: Compliance with SVMC 22.140.030 1.Whether a change of use or vacation of the street or alley will better serve the public. The area proposed to be vacated abuts seven parcels. Each parcel takes direct access from the front of the lot abutting either Mission Avenue, Bowman or Park Road. AVISTA and LUMEN (formerly Century Link) have utilities located in the alleyway and have requested to retain rights for the maintenance, construction, and reconstruction as required. AVISTA has determined specifically where the easement will be located, but LUMEN has not specified the exact location of the aerial utilities to date but will be required to do so prior to finalizing the vacation. It is assumed that the aerial utilities are attached to the AVISTA poles. The vacation is expected to have no impact on the general public. 2.Whether the street or alley is no longer required for public use or public access. Thearea proposed to be vacated is currently unimproved vacant land not being used for public access and is not required for current or future public access. Stormwater improvements are inMission Avenue and Park Road. Stormwater improvements are not needed. Since the lots are fully developed, future stormwater improvements are not anticipated. 3.Whether the substitution of a new and different public way would be more useful to the public. There is no substitution being proposed as part of the vacation. The City’s review has determined no need for a new or different public wayin this location. All lots abutting the alleywayhave access from either Mission Avenue, Park Road or Bowman Road. Findings and Recommendations of the Spokane Valley Planning CommissionSTV-2022-0001Page 1of 3 4.Whether conditions may so change in the future as to provide a greater use or need than presently exists. Thesurrounding properties are developed and take access from the improved streets. There are noanticipated changes in the future that would require the use of the subject ROWfor public access. 5.Whether objections to the proposed vacation are made by owners of private property (exclusive of petitioners) abutting the street or alley or other governmental agencies or members of the general public. Notice of the public hearing was made by posting written notice at City Hall, CenterPlace, and the Spokane County Library Districtlibraryfacility in Spokane Valley; publishing notice in the Spokane Valley Herald, posting both ends of the ROWto be vacated, and a direct mailing to property owners adjacent to the proposed vacations. To date, no objections by the public or governmental agencies have been received. C.Conclusions: The findings confirm that the criteria set forth in SVMC 22.140.030 have been met. D.Recommendation: The Spokane Valley Planning Commission therefore recommendsthe City Council approve STV-2022-0001. 1.The vacated property shall be transferred to the ownersof the abutting parcels (35131.0101, 35131.0102, 35131.0103, 35131.0104, 35131,0105, 35131.0106, and 35131.0107) as shown on the record of survey created and recorded with Spokane County Auditor’s Office pursuant to condition 4 below. Such property shall become part of each abutting parcel. 2.The City shall establish an easement acceptable to AVISTA for access and preservation of existing services within the area to be vacated. The location and recording number shall be shown on the record of survey 3.The City shall establish an easement acceptable to LUMENfor access and preservation of existing services withinthearea to be vacated. The location and recording number shall be shown on the record of survey 4.Following the City Council’s passage of the Ordinance approving the street vacation, a record of survey of the area to be vacated, prepared by a registered surveyor in the State of Washington, including an exact metes and bounds legal description, and specifying any and all applicable easements for construction, repair and maintenance of existing and future utilities and services, shall be completed. 5.The zoning district designation of the properties adjoining the street to be vacated shall be automatically extended to the center of such vacation, and all area included in the vacation shall then and henceforth be subject to all regulations of the districts. The adopting Ordinance shall specify this zoning district extension inclusive of the applicable zoning district designations. Findings and Recommendations of the Spokane Valley Planning CommissionSTV-2022-0001Page 2of 3 6.The record of survey and certified copy of the Ordinance shall be recorded by the City Clerk in the office of the Spokane County Auditor. 7.All conditions of City Council authorization shall be fully satisfied prior to any transfer of title by the City. th Approved this 28 day ofJuly, 2022 ______________________________ Planning Commission,Chairman ATTEST ____________________________ Marianne Lemons, Office Assistant Findings and Recommendations of the Spokane Valley Planning CommissionSTV-2022-0001Page 3of 3 MeetingMinutes Spokane Valley Planning Commission Council Chambers –City Hall July 28, 2022 I.Planning Commission Chairman McKinley called the meeting to order at 6:00p.m.The meeting was held in person and via ZOOM meetings. II.The Commissioners, staff, and audience stood for the Pledge Of Allegiance III.Planning Commission Secretary Marianne Lemons took attendance, and the following members and staff were present: Fred BeaulacTony Beattie, City Senior Deputy Attorney Susan DelucchiChaz Bates, Planning Manager Karl GranrathLori Barlow, Senior Planner Walt HanekeNikki Kole, IT Specialist Bob McKinleyMarianne Lemons, Administrative Assistant Nancy Miller Sherri Robinson IV.AGENDA:CommissionerHanekemoved to approve the July 28,2022agendaas presented.There was no discussion.The vote on the motion was seven in favor, zero against and the motion passed. V.MINUTES: Commissioner Beaulac moved to approve the July 14, 2022 minutes as presented.There was no discussion. The vote on the motion was seven in favor, zero against and the motion passed. VI.COMMISSION REPORTS: There were no Planning Commission reports. VII.ADMINISTRATIVE REPORT:Senior Planner Chaz Bates stated that the City has hired a new planner, Greg Norris. VIII.PUBLIC COMMENT:There was no public comment. IX.COMMISSION BUSINESS: a.Findings of Fact: STV-2022-0001-Street Vacation of Right-of-WayBetween Mission Avenue And Park Road Senior Planner Lori Barlow presented the Findings of Fact for STV-2022-0001 for 07-28-2022Planning Commission MinutesPage 2of 4 the street vacation of right-of-way (ROW) between Mission Avenue and Park Road. She stated that the Planning Commission held a public hearing on the proposed street vacation at the July 14, 2022 meeting. After receiving public testimony, the Planning Commission moved and voted 6-1 to recommend approval to the City Council. She explained that the approval ofthe Findings Of Fact would formalize the recommendations that were made at the public hearing. Commissioner Miller moved to approve the Findings of Fact for STV-2022-0001 as presented.There was no discussion. The vote on the motion was seven in favor, zero against, and the motion passed. b. Public Hearing: STV-2022-0002: Street Vacation of 1,553 square feet of unimproved right-of-way intersecting with Appleway Boulevard. The public hearing was opened at 6:15p.m. Senior Planner Lori Barlow gave a presentationregarding STV-2022-0002.She explained that the request was for a privately initiated street vacation to vacate 1,553 square feet of unimproved ROW intersecting with Appleway Boulevard. The property is located about 800’ west of Barker Road and is on the northside of Appleway Boulevard. It is a an irregularly shaped segment of an unimproved alleyway that is about twenty feet wideand extends about seventy-fivefeet. Ms. Barlow explained that a study session was held at the July 14, 2022 meeting and noticing of the public hearing was posted on each end of the area to be vacated, was posted in three places within the City, was mailed to property owners abutting the vacation, and was published twice in the Valley Herald and the Exchange. Ms. Barlow stated that the street vacation request was sent out to all associated agencies and the City received requests for conditions from Consolidated Irrigation District #19 and Avista Utilities for utility easements where their utilities are located. She explained that the water utilities are inthe current easement,but Avista has a small portion that is located outside of the current easement boundaries. She requested that the Planning Commission add a condition of approval to grant an easement that is acceptable to Avista to encompass alltheir utility lines. In addition to the utility easements, an access easement to the adjacent property owned by Major and Corinna Bambino will be retained. Ms. Barlow stated that the staff analysis showed that the requested street vacation does meet the criteria outlined in the codeand staff recommended that it should be approved with the conditions outlined in the staff report and the additional condition for Avista. Commissioner Haneke commentedthat the area is full of inoperable vehicles and garbage that is a public nuisance. Ms. Barlow responded that the area has been reported to the City Code Enforcement Department for determination of code violations. The item was opened for public comment: 07-28-2022Planning Commission MinutesPage 3of 4 The applicant,Jeremy Hopson with Cameo Lofts, LLC(Plummer, ID) stated that he has reviewed the staff reportand is willing to comply with allthe required conditions of approval(including the addition of the requirement for Avista). He explained that the reason he is requesting the street vacation is to add some additional amenities to the clubhouse that is adjacent to the proposed street vacation area. The property owner, Major Bambino (Spokane Valley) stated that he is in opposition of the street vacation because he is concerned that the vacation will eliminate access to the lower garage area. The property tenant, David Beech (Spokane Valley) stated that he is renting the Bambino property and was alsoin opposition to the street vacation because it would eliminate his access to the lower level of the garage building. Commissioner Delucchi asked the applicant about the access easement. Mr. Hopson responded that the access easement exists and was recorded in 1974. He explained that itwould be retained if the street vacation was approved,and the remaining vacated area would be used to provide yard games for the clubhouse. Ms. Barlow confirmed that the access easement was recorded with Spokane County under auditor number 901810A and it will be retained as part of the street vacation process. Commissioner McKinley asked if the access easement extends all the way to the garage door of the building. Ms. Barlow responded that she assumed it would extend all the way but couldn’t confirmdefinitively. The public hearing was closed at 7:08 p.m. Commissioner Beaulac movedto recommendapproval of STV-2022-0002, subject to the staff conditions, including an additional condition to grant an easement that is acceptable to Avista to encompass alltheir utility lines. Commissioner Haneke stated that he did not want to recommend approval until it was confirmed that the applicant had adequate access through the access easement. There was a lengthy discussionregarding access to the Bambino property and if it wasadequate for the tenant to get to all areas of the property. Commissioner Beaulac moved to withdraw his recommendation to approve motion. There was no discussion. The vote on the motion was seven in favor, zero against, and the motion passed. Commissioner Delucchi moved to reopen the public hearing at 7:45 p.m. There was no discussion. The vote on the motion was seven in favor, zero against, and the motion passed. Commissioner Delucchi moved to continuethe public hearingto the August 11, 2022, meeting so that additional information could be presented regarding the access easement.There was no discussion. The vote on the motion was seven in favor, zero against, and the motion passed. X.GOOD OF THE ORDER:Chairman McKinley stated that he will not be at the next meetingand Vice-Chair Robinson will be chairing the meeting. 07-28-2022Planning Commission MinutesPage 4of 4 XI.ADJOURNMENT:Commissioner Beaulacmoved to adjourn the meeting at 7:53p.m.The vote on the motion was seven in favor, zero against and the motion passed. _________________________________________________________________ Bob McKinley, ChairDate Signed ____________________________________ Marianne Lemons,Secretary C OMMUNITYAND P UBLIC W ORKS B UILDING &P LANNING S TAFF R EPORT AND R ECOMMENDATION TO THE P LANNING C OMMISSION F ILE:STV-2022-0001 STAFF REPORTDATE: June 29,2022 FILE NO: STV-2022-0001 PROPOSAL DESCRIPTION:City initiated street vacation request to vacate approximately 7,400 square feet of unimproved right-of-way extending from Mission Avenue to Park Road. STAFF PLANNER: Lori Barlow, SeniorPlanner APPLICANT:City of Spokane Valley PROPERTYOWNER:City of Spokane Valley PROPOSALLOCATION:The right-of-way proposed to be vacated is approximately 135feet west of the Mission Avenue and Park Roadintersectionandadjacent to sevenparcels (35131.0101,35131.0102, 35131.0103, 35131.0104, 35131,0105, 35131.0106, and 35131.0107); the site isfurther located in the NE quarterof Section 13, Township25 North, Range 43East, Willamette Meridian, Spokane Valley, Washington BACKGROUND: On April 26, 2022,City Councilapproved Resolution No. 22-004 to initiatethestreet vacation process to consider the vacation of the unimproved alleyway that connects MissionAvenue to Park th Road.ResolutionNo.22-004 also set the public hearing date for June 9, 2022. Due to scheduling conflicts, the hearing was rescheduled to July 14, 2022 by Resolution No. 22-008. The right-of-way proposed to be vacatedis located approximately 135feet westof the intersection of Mission Avenue and ParkRoad. The right-of-way, which isanL-shaped20’wide unimproved alleyway, extendssouth from Mission Avenue for ~260feetand then veers east ~125feetto Park Road.The right ofway was dedicated by the Park Road Addition Plat, recordedin 1949,and lies adjacent to parcels 35131.0101,35131.0102, 35131.0103, 35131.0104, 35131,0105, 35131.0106, and 35131.0107. The City initiated the request for the following reasons: 1.The ROW is unimproved andiscurrently usedonlyby the adjacent properties; 2.Weeds and debris accumulate in the ROW and require Citymanagement; 3.The ROW is not needed by the City for connectivity;and Staff Report and Recommendation STV-2022-0001Page 1of 5 June 27, 2022 4.Ifthe property is vacated, it can be utilized by the adjacent property owners for private use and management. A PPROVAL C RITERIA: 1.Chapter 22.140 SVMC –Street Vacations 2.City of Spokane Valley Street Standards A TTACHMENTS: Exhibit 1: Vicinity Map Exhibit 2: Aerial Map Exhibit 3: Notice of Public Hearing Exhibit4: Agency Comments I.P ROPERTY I NFORMATION Size and Characteristicsof The area to be vacated is unimproved right-of-wayand proposed vacation:totalsapproximately7,400 squarefeet. Adjacent Comprehensive Plan Single Family Residential(SFR) Designation: Adjacent Zoning:Single-Family Residential(R-3) AdjacentLand Use(s):Single Family Residential and aTri-plex II.S TAFF A NALYSIS OF S TREET V ACATION P ROPOSAL A.C OMPLIANCE WITH SVMC22.140.030 Findings: 1.Whetherachange of use or vacation of the streetor alley will better serve the public? The area proposed to be vacated abuts therear portion of seven parcels. Each parcel takes directaccess from the front of the lot abutting eitherMission Avenue, Bowman or Park Road. AVISTAandLUMEN(formerly Century Link)have utilities located in the alleyway and have requested to retain rights for the maintenance, construction, and reconstruction as required.AVISTA has determined specifically where the easement will be located, but LUMEN has notspecified theexact location of theaerial utilitiesto date butwill be required to do so prior to finalizing the vacation.It is assumed that the aerial utilities are attached to the AVISTA poles. The vacation isexpected to haveno impact on the general public. 2.Whether the street or alley is no longer required for public use or public access? Thearea proposed to be vacated is currently unimproved vacant land not beingusedforpublic access and is not required for current or future public access.Stormwaterimprovementsare located in Mission Avenue and Park Road.Stormwater improvements are not needed to serve the alley, and the entrance to the alley is not conduciveto further stormwater improvements due toits proximity to roadway crests. Since the lots are fully developed, future stormwater improvements are not anticipated. Staff Report and Recommendation STV-2022-0001Page 2of 5 June 27, 2022 Whether the substitution of a new anddifferent public way would be moreuseful tothe 3. public? There is nosubstitution being proposed as part of the vacation.The City’s review has determined no need for a new ordifferent public way.The alleyway is unimproved and has not provided access. All lotsabutting the easement have access from either MissionAvenue, Park Road or Bowman Road.So long asaccess easements are provided forthe electrical and communicationfacilities, the public interest is served. 4.Whether conditions may so change in thefuture as to provide a greater use orneed than presently exists? The surrounding properties are developedand take access from the improved streets.It is not anticipated that changes would occur in the futurethat would require the use of the subject right-of-way for public access. 5.Whether objections to the proposed vacation are made by owners of private property (exclusive of petitioners) abutting the street or alley or other governmental agencies or members of thegeneral public? Notice of the public hearing was made by posting written noticeat City Hall, CenterPlace, and the valley library; publishing notice in the Spokane Valley Herald,posting both ends of the right-of-way to be vacated, anda direct mailing to property owners adjacent to the proposed vacations. To date, no objectionsby the public or governmental agencieshave been received. Conclusions: The findings confirm criteria set forth in SVMC22.140.030 have been met. B.C OMPLIANCE WITH T ITLE 21SVMC–E NVIRONMENTAL C ONTROLS The Planning Division has reviewed the proposedproject and has determined that the project is categorically exempt pursuantto WAC 197-11-800(2)(i)and SVMC21.20.040 from environmental review under the provisions of the State Environmental Policy Act (SEPA). III.P UBLIC C OMMENTS Findings: No public comments were receivedfollowing the notice of public hearing posted onJune 24, 2022and emailed and mailed on June 24, 2024. A Notice of Public Hearing sign wasposted on June 24, 2022on each end of area proposed to be vacated. Notices were posted in theSpokane ValleyPublic Library,City of Spokane Valley main reception area and CenterPlace Event Center on June 24, 2022.The public hearing notice was mailed to all owners adjacent to thearea proposed tovacatedonJune 24, 2022.Staff and agencies werenotified of the request onApril 15, 2022and noticed again on June 27, 2022.Lastly, the notice was published in the Spokane Valley Herald onJune 24, 2022and July 1, 2022. Conclusion(s): The City has met the noticing requirements forstreet vacationsas required inSVMC 22.140.020(F) Staff Report and Recommendation STV-2022-0001Page 3of 5 June 27, 2022 IV.A GENCY C OMMENTS Request for commentsfrom agenciesandserviceproviders was sent on April 15, 2022as part of the initialassessmentof the street vacation.Noticeof public hearingwas provided to agencies and service providersagain onJune 27, 2022.Comments were received from the following agencies and are attached as exhibits to this staff report. Wherenecessary, comments have been incorporated into the recommended conditions of approval in Section V. AgencyReceived Comments CommentsDated City of Spokane Valley Public Works-EngineeringYes6-14-2022 City of Spokane Valley Public Works–StormwaterYes6-14-2022 City of Spokane Valley Public Works-TrafficNo City of Spokane Valley PublicWorks–MaintenanceYes6-14-2022 Spokane Valley Fire District No.1Yes9-8-21 Spokane County Environmental ServicesYes4-19-2022 Spokane Regional Health DistrictYes6-3-2022 Yellowstone PipelineYes4-18-2022 Spokane County Water District #3Yes4-18-2022 Avista UtilitiesYes4-26-2022 Century Link(Lumen)Yes4-22-2022 and 6-3-2022 ComcastNo Findings: The applicationwas routed to jurisdictional agencies, utilities, and public districts for review and comment. The City’s Departmentof Public Worksincluding stormwater, maintenance, and development engineering had noobjections or comments on the street vacation request. Avistahaselectricaldistribution facilities within the right-of-wayand requests a10-foot-wide easement along the west boundaryand the south boundary of the alleyway. Lumen, previously known as CenturyLink,hasaerial cable facilitiesin the alleyway and requests10-foot-wide easement for the maintenance, construction and reconstructionof the facilities.At this time Lumenhas not identifiedthe exact location of the utilities butwill be required to do so prior to finalizing the vacation.As noted previously, it is assumed the aerial utilities are located on Avista poles. Conclusion(s): Staff concludes that jurisdictional agencies, utilities, and or public districts have no concerns regarding the proposed street vacation of the alley way extending fromMission Avenue to Park Road so long as conditions aremet. Staff Report and Recommendation STV-2022-0001Page 4of 5 June 27, 2022 V.O VERALL C ONCLUSIONS AND F INDINGS Staff concludes that STV-2022-0001as proposedis consistent,or will bemade consistent,through the recommendedconditions ofapproval basedon the approval criteria stated herein. R ECOMMENDATION: Approve the requestto vacate 20 feetby370feet of L-shaped alleyway extendingfrom Mission Avenue to Park Road adjacent to seven parcels (35131.0101,35131.0102, 35131.0103, 35131.0104, 35131,0105, 35131.0106, and 35131.0107)subject to the following: 1.The vacated property shall be transferred to the owner of the abutting parcels (35131.0101, 35131.0102, 35131.0103, 35131.0104, 35131,0105, 35131.0106, and 35131.0107)as shown on the record of survey created and recorded with Spokane County Auditor’s Office pursuant to condition 4.Such property shall become part of each abutting parcel. 2.The City shall establish an easement acceptable to AVISTA for access and preservation of existingservices within the area to be vacated.Thelocation and recording number shall be shown ontherecord of survey 3.The City shall establishan easement acceptable to Lumen(Century Link)for access and preservationof existingservices within area to be vacated.Thelocation and recording number shall be shown ontherecord of survey 4.Following the City Council’s passageof the Ordinance approving the street vacation, a record of survey of the area to be vacated, prepared by a registered surveyor in the State of Washington, including an exact metesand bounds legal description, and specifying any and all applicable easements for construction, repair and maintenance of existing and future utilities and services, shall becompleted. 5.The zoning district designation of the properties adjoining the street to be vacated shall be automaticallyextended to the center of such vacation, and all area included in the vacation shall then and henceforth be subject to all regulations of the districts. The adopting Ordinance shall specify thiszoning district extension inclusive of the applicable zoning district designations. 6.The record of survey and certified copy of the Ordinance shall be recorded by the City Clerk in the office of the Spokane County Auditor. 7.All conditions of City Council authorization shall be fully satisfied prior to any transfer of title by the City. Staff Report and Recommendation STV-2022-0001Page 5of 5 June 27, 2022 Community & Public WorksDepartment Building & Planning Division NOTICE OF PUBLIC HEARING For Street Vacation T HE S POKANE V ALLEY C OMMUNITY &P UBLIC W ORKS IS SENDING THIS NOTICE OF PUBLIC HEARING TO ALL PROPERTY OWNERS ABUTTING THE STREET OR ALLEY TO VACATEDBASED ON THE MOST CURRENT RECORDS FROM THE S POKANE C OUNTY A SSESSOR’S OR T REASURER’S O FFICE. Hearing Date: Thursday, July 14, 2022beginning at 6:00 p.m. The required public hearing for Street Vacation Application STV-2022-0001 shall be conducted before the Spokane Valley Planning Commission in such manner as provided by lawonJuly 14, 2022, beginning at 6:00 p.m., or as soon thereafter as practical. Meeting Details:The hearing will be conducted in person, with the option to attend remotely using web and telephone conference tools.Join Zoom meeting by computer, smartphone, or tablet at: A link to the Zoom meeting will be provided on the agenda and posted to theCity’s webpage: www.spokanevalley.org/planningcommission. Application/Description of Proposal:Request to vacate a 20’ wide alleyway extending from Mission Avenue to Park Avenue. The area is an ‘L’ shaped portion of unimproved right-of-way approximately 7,900 square feet in size. Applicant: City of Spokane Valley Owner: City of Spokane Valley Location of Proposal: The right-of-way proposed to be vacated is located approximately 135 feet west of the Mission Avenue and Park Road intersection, adjacent to seven parcels (35131.0101 and 35131.0102, 35131.0103, 35131.0104, 35131,0105, 35131.0106, and 35131.0107), further located in the NE quarter of Section 13, Township 25 North, Range 43 East, Willamette Meridian, Spokane Valley, Washington. Environmental Determination: The Planning Division has reviewed the proposal/project and has determined that the project is categorically exempt pursuant to WAC 197-11-800 and City of Spokane Valley Municipal Code (SVMC); Title 21 (Environmental Controls) from environmental review under the provisions of the State Environmental Policy Act (SEPA). Approval Criteria: Section 22.140 (Street Vacations) of the City of Spokane Valley Municipal Code (SVMC); Title 21 (Environmental Controls) of the City of Spokane Valley Municipal Code; the City of Spokane Valley Street Standards; the Regional Stormwater Manual; and the Spokane Regional Health District regulations. Hearing Process: The Planning Commission will conduct the hearing pursuant to the rules of procedure adopted in SVMC Title 18 (Boards and Authorities). The Commission holds the public hearing to receive comments and forwards a recommendation to the City Council for an ordinance adoption. The public is encouraged to provide comment in person at the hearing, or to submit written comments prior to the hearing by sending the comments to Lori Barlow, 10210 E Sprague Ave, Spokane Valley, WA 99206, or email to LBarlow@spokanevalley.org. Comments will need to be submitted no later than 4:00 PM on July 14, 2022 in order for them to be received and prepared for submission into the record. Comments received will be entered into the record at the time of the public participation portion of the Public Hearing. Comments received through US Mail will be included if they are received prior to the hearing. All interested persons may testify at the public hearing in person or via the zoom meeting address and/or phone number. Interested persons will need to sign up via ZOOM to speak no later than 4:00 p.m. on July 14, 2022 at the link provided in the agendaposted at the link referenced above. Use the link above to sign up for oral public comments. The link will direct you to directions to sign up for oral public comments. This is not an opportunity for questions or discussion. Remarks will be limited to three minutes per person. Written comments and documents may only be submitted prior to the hearing. Any appeal of the decision will be based on the record established before the Planning Commission, pursuant to SVMC 17.90 (Appeals). Staff Report and Inspection of File: A staff report will be available for inspection seven (7) calendar days before the hearing. The staff report and application file may be inspected by logging on to the Spokane Valley SmartGov Public Portal at this web address:ci-spokanevalley-wa.smartgovcommunity.com/Public/Home. Go to applications and search for STV-2022-0001 to review or download the staff report. If you have any questions, please contact Lori Barlow, Senior Planner, Building & Planning Division, at LBarlow@spokanevalley.org STV-2022-0001Notice of Public Hearing Page 2 of 2 Attachment 1: Park Road Addition Plat Area to be vacated CITY OF SPOKANE VALLEY Request for Council Action Meeting Date:August 30, 2022 Department Director Approval: Check all that apply: consent old business new business public hearing information admin. report pending legislation executive session AGENDA ITEM TITLE: Motion Consideration: Balfour Park Improvements – AHBL Amendment #2 GOVERNING LEGISLATION: N/A PREVIOUS COUNCIL ACTION TAKEN: 08/28/2007 Admin Report; Consensus to move forward with a Feasibility Study for Balfour Park 09/11/2012 Administration Report - Spokane County Library District (SCLD) Interlocal Agreement 09/25/2012 Passed motion to execute SCLD Interlocal Agreement for sale of a portion of the undeveloped Balfour Park to SCLD 10/29/2013 Passed motion to accept Balfour Park/Library Conceptual plan 12/17/2013 Passed motion to approve Resolution 13-013, adopting the Park & Rec Master Plan 2013 Update 07/25/2017 Passed motion to approve 2017 amendments to the SCLD Interlocal Agreement for the sale of a portion of the undeveloped Balfour Park to SCLD 11/12/2019 Passed motion to approve Resolution 19-015 adopting the Park & Rec Master Plan 2019 Update 01/26/2021 Administration Report - SCLD Update by Director Patrick Roewe 02/09/2021 Passed motion to approve 2021 amendments to the SCLD Interlocal Agreement for sale of a portion of the undeveloped Balfour Park to SCLD 07/06/2021 Passed motion to authorize contract with AHBL for Park Design services 07/27/2021 Administration Report – SCLD Library Design Update 08/17/2021 Administration Report – Balfour Park Design Update 08/24/2021 Administration Report – Potential & Pending Projects, with Council consensus to allocate $2M for the Balfour Park Concept 10/26/2021 Administration Report – Balfour Park Design Update 12/14/2021 Administration Report – Balfour Park Design and Bid Update 03/15/2022 Potential Grant Opportunity – Recreation and Conservation Office (RCO) 04/12/2022 Administration Report – Balfour Park Design and Bid Update BACKGROUND: On July 6, 2021, Council authorized the City Manager to execute a contract with AHBL, Inc. (AHBL) for design services of the Balfour Park Expansion. The design was to be completed in two phases. The Phase 1 project consisted of the main park infrastructure including excavation and grading, water, electric and sewer utilities, some of the park pathways and lighting system, the easterly parking lot, some landscaping/irrigation, and the new restroom building. Construction of the Phase 1 project was estimated at $3.1M. Page 1 of 3 The Phase 2 project was to include the architectural park elements identified in the adopted Master Plan which consist of an events plaza, signature playground, splash pad, picnic shelter, sports courts, veterans’ memorial, amphitheater, and a walking/interpretive trail. The City’s anticipated costs and project budget for Phase 1 project is shown below: Project Costs Project Budget Preliminary Engineering $ 470,500 City Fund 312 $3,875,023 Construction $3,404,523 Total Estimated Costs $3,875,023 Total Budget $3,875,023 The design and construction documents for the Phase 1 project were completed and staff advertised for construction bids on February 18, 2022. Three bids were opened on March 18, 2022. Unfortunately, the bids were substantially over the engineer’s estimate and project budget. The low bid for the base project work was $5.0M and the high bid was $5.7M. Staff reviewed the bids and discussed with the consultant as well as a few contractors. While the engineer’s estimate from the consultant for Phase 1 was low, there were some unprecedented circumstances that contributed to the bid increase situation as follows: Substantial inflation, locally and across the nation Construction cost increases of more than 20% Contractor availability and labor shortages, locally and across the nation are significantly impacting costs Timing of the project bid The design team has identified the following cost-saving opportunities to incorporate in the bid documents that will require redesign efforts: Provide prefabricated restroom building instead of site-built Provide smaller landscape boulders and reuse existing boulder from Library construction Allow more irrigation pump supplier options and revise irrigation layout and equipment. Use cast-in-place seatwalls instead of concrete masonry unit (CMU) seatwalls Replace reinforced turf with concrete strips for plaza vehicle access Reduce site conduits and eliminate those that are not needed for this phase while providing sleeves under hardscape for future Replace stamped concrete with plain/integral color/sand finishes Provide bid-alternates to allow flexibility at bid award depending on costs/budget AHBL provided a scope and fee proposal for this redesign effort. Staff also requested that they include bidding and construction support services. The contract amendment amount, as shown in the attached proposal, is $106,178.90. A summary of the contract is shown below. Original Contract $ 326,173.04 Council Authorized Amendment #1 $ 48,806.23 City Manager Authorized Amendment #2 $ 106,178.90 This Request Total Contract Amount $ 481,158.17 The amended contract amount with Amendment #2 is $481,158.17, which exceeds the City Manager’s authority of 15 percent of contract amount or $350,000 whichever is less. If authorized by Council, AHBL would begin the redesign efforts in September and staff Page 2 of 3 anticipates advertising for construction bids later in December of this year with a planned bid opening in early January for construction during the 2023 season. OPTIONS: Authorize the City Manager to execute Amendment #2 with AHBL for the redesign effort, bidding and construction support services, or take other appropriate action. RECOMMENDED ACTION OR MOTION: Move to authorize the City Manager to finalize and execute Amendment #2 to the AHBL Agreement #21-116 resulting in a total contract amount not to exceed $481,158,17. BUDGET/FINANCIAL IMPACTS: Presently, money earmarked for Balfour Park in Capital Reserve Fund #312 is approximately $3.875M. Additional funding of up to approximately $500,000 may be available for the project as shared improvements through the Library District MOU. No additional funding is required. STAFF CONTACT: Gloria Mantz, City Engineer ATTACHMENTS: AHBL Amendment #2 Page 3 of 3 CONTRACT AMENDMENT TO THE AGREEMENT BETWEEN THE CITY OF SPOKANE VALLEY AND AHBL, Inc. Spokane Valley Contract #21-116.02 For good and valuable consideration, the legal sufficiency of which is hereby acknowledged, City and the Consultant mutually agree as follows: 1. Purpose: This Amendment is for the Contract for design of Balfour Park Improvements by and between the Parties, executed by the Parties on August 2, 2021, and which terminates on December 31, 2023. Said contract is 2. Original Contract Provisions: The Parties agree to continue to abide by those terms and conditions of the Original Contract and any amendments thereto which are not specifically modified by this Amendment. 3. Amendment Provisions: This Amendment is subject to the following amended provisions, which are either as follows, or attached hereto . All such amended provisions are hereby incorporated by reference herein and shall control over any conflicting provisions of the Original Contract, including any previous amendments thereto. 4. Compensation Amendment History: This is Amendment #2 of the Original Contract. The history of amendments to the compensation on the Original Contract and all amendments is as follows: Date Compensation Original Contract Amount August 2, 2021 $326,173.04 Amendment #1 January 2, 2022 $ 48,806.23 Amendment #2 September 2022 $106,178.90 Total Amended Compensation $481,158.17 The parties have executed this Amendment to the Original Contract this day of September 2022 CITY OF SPOKANE VALLEY: CONSULTANT / CONTRACTOR: John Hohman By: Erick Fitzpatrick, Principal City Manager Its: Authorized Representative APPROVED AS TO FORM: Office of the City Attorney 1 1. Paragraph 3 (Compensation) of the Original Contract is hereby amended to change the total compensation paid from $326,173.04 to $481,158.17. Paragraph 3 of the Original Contract is amended to read as follows:City agrees to pay Consultant an agreed upon hourly rate up to a maximum amount of $481,158.17 as full compensation for everything done under this Agreement, as set forth in Exhibit B and the added scope in Exhibit B.01(Amendment #1) and Exhibit B.02(Amendment #2). Consultant shall not perform any extra, further, or additional services for which it will request additional compensation from City without a prior written agreement for such services and payment therefore. The City agrees to pay up to $481,158.17 as full compensation for everything furnished and done under this contract, in accordance with the provisions outlined in the scope of work, as previously and/or presently amended. 2. 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Billing Rates Spokane Valley Balfour Park 2210203 August 10, 2022 PositionPayOverheadBurdened Fixed FeeBilling RateMultiplierRate30%Rate 177.54% Civil Qsjodjqbm!!!!!!83/23!!!!!!239/15!!!!!!!311/27!!!!!!!!32/75!!!332/91 Qspkfdu!Nbobhfs!!!!!!58/71!!!!!!!!95/62!!!!!!!243/22!!!!!!!!25/39!!!257/4: Qspkfdu!Fohjoffs!5!!!!!!52/94!!!!!!!!85/37!!!!!!!227/1:!!!!!!!!23/66!!!239/75 Qspkfdu!Fohjoffs!4!!!!!!48/:9!!!!!!!!78/54!!!!!!!216/52!!!!!!!!22/4:!!!227/91 Qspkfdu!Fohjoffs!3!!!!!!43/81!!!!!!!!69/17!!!!!!!!!:1/87!!!!!!!!!!:/92!!!211/68 Qspkfdu!Fohjoffs!2!!!!!!43/33!!!!!!!!68/31!!!!!!!!!9:/53!!!!!!!!!!:/78!!!!!::/1: Landscape Ejsfdups!pg!Mboetdbqf!Bsdijufduvsf!!!!!!59/19!!!!!!!!96/47!!!!!!!244/55!!!!!!!!25/53!!!258/98 Mboetdbqf!Bsdijufdu!3!!!!!!47/89!!!!!!!!76/41!!!!!!!213/19!!!!!!!!22/14!!!224/22 Mboetdbqf!Eftjhofs!3!!!!!!3:/44!!!!!!!!63/18!!!!!!!!!92/51!!!!!!!!!!9/91!!!!!:1/31 Mboetdbqf!Eftjhofs!2!!!!!!38/3:!!!!!!!!59/56!!!!!!!!!86/85!!!!!!!!!!9/2:!!!!!94/:4 Planning Qsjodjqbm!!!!!!83/23!!!!!!239/15!!!!!!!311/27!!!!!!!!32/75!!!332/91 Qmboojoh!Qspkfdu!Nbobhfs!!!!!!57/51!!!!!!!!93/49!!!!!!!239/89!!!!!!!!24/:3!!!253/81 Qmboofs!5!!!!!!48/61!!!!!!!!77/69!!!!!!!215/19!!!!!!!!22/36!!!226/44 Qmboofs!4!!!!!!48/13!!!!!!!!76/84!!!!!!!213/86!!!!!!!!22/22!!!224/96 Ufdiojdbm!Fejups!!!!!!43/44!!!!!!!!68/51!!!!!!!!!9:/84!!!!!!!!!!:/81!!!!!::/54 601 W First Ave, Ste 1300 Spokane, WA 99201, USA 509.838.9020 mwengineers.com August 8, 2022 Craig Andersen AHBL, Inc. 827 W 1st Ave Ste 220 Spokane, WA 99201 PROJECT:Balfour Park Improvements CC:Erick Fitzpatrick, Anthony Schoen, Kori Miller RE:MEP Value Engineering, Re-Design, and Construction Support Services Fee Proposal - Revised Craig, Thank you for providing MW the opportunity to continue working with AHBL and the City of Spokane Valley on the Balfour Park Improvements project. In accordance with your recent request, MW Consulting Engineers is pleased to submit this fee proposal to provide MEP engineering for the following Scope of Work for an hourly fee at hourly billing rates with a not to exceed fee limit of $35,400, breakdown as follows: Value Engineering & Re-Design$18,500 Construction Support Services$16,900 ScopeofWork:ProvideMEPEngineeringservicesasfollows: ValueEngineering(VE): 1.Site constructed toilet room building will be replaced with a premanufactured building designed and constructed Public Restroom Company (PRC). This building will consist of a complete building with stand-alone MEP systems. MEP scope within the premanufactured building will consist of the following: a.Water service and sewer connections between site civil utilities and the premanufactured building piping systems. b.Electrical connections to the premanufactured building house panel. c.Communications cabling installed in pathway system provided in the premanufactured building. 2.Electrical service equipment and communications associated with the park development will be constructed inside the designated electrical/communications space provided in the premanufactured building. a.Reduce future conduits to stub-outs from PRC building and sleeves 2.Site Lighting Basis of Design lighting fixture selections and approach will be maintained to match new library. 3.Site Electrical and Communications Infrastructure a.Reduce to (5) food trucks August 8, 20222021.014.xx Balfour Park - MEP VE, Re-Design, and CS Fee Proposal (01R).doc Page 1of 4 601 W First Ave, Ste 1300 Spokane, WA 99201, USA 509.838.9020 mwengineers.com b.Reduce raceway system infrastructure for “future” to consist of conduit stub-outs from PRC building and sleeves under sidewalks and pathways. Redesign: 1.Meetings a.Participate in biweekly virtual interdisciplinary coordination meetings, limit (3). b.Participate in owner review meetings to review lighting and food truck infrastructure, limit (2) each electrical and lighting. 2.Public Restroom Company (PRC) Premanufactured Building a.Coordinate MEP points of interconnection with PRC. b.Review PRC documents and provide written MEP comments. ConstructionSupport(CS): 1.Office a.Review submittals and shop drawings for conformance with Contract Documents b.Respond to contractor questions and Requests for Information 2.Construction Support site visits a.HVAC and Plumbing, limit (2) combined b.Electrical, Lighting, and Low-Voltage, limit (4) combined PotentialExtraServices: 1.Conformed Construction Documents: Provide conformed construction documents incorporating addenda for a lump sum fee of $1,500. 2.Additional Site Visits: Performed on an as needed basis at hourly billing rates. 3.Record Drawings: Provide record drawings for the MEP scope of work based on Contractor provided field markups for a lump sum fee of $2,500. AssumptionsandExclusions: 1.This fee proposal is made in general conformance with AIA Document C401-2017, Standard Form of Agreement Between Architect and Consultant. 2.The project costs are understood to be estimated to be $4.375M. 3.Construction duration has been estimated at (150) working days. Should the construction schedule be extended beyond this duration, ongoing CS services will be performed on an as needed basis at hourly billing rates. 4.Excludes Construction Administration performed by City of Spokane Valley. 5.Excludes attendance at Pre-Construction Meeting. 6.Excludes participation in construction meetings. 7.Excludes owner-initiated design revisions after completion of design. 8.Excludes remedial design resulting from latent conditions. 9.Excludes commissioning and test and balance. 10. Excludes incorporation of Contractor’s mark-ups to create record drawing set. August 8, 20222021.014.xx Balfour Park - MEP VE, Re-Design, and CS Fee Proposal (01R).doc Page 2of 4 601 W First Ave, Ste 1300 Spokane, WA 99201, USA 509.838.9020 mwengineers.com Please advise MW if this proposal is acceptable. If you have any questions, please do not hesitate to contact me. Sincerely, Dylan J Cunningham, P.E. August 8, 20222021.014.xx Balfour Park - MEP VE, Re-Design, and CS Fee Proposal (01R).doc Page 3of 4 601 W First Ave, Ste 1300 Spokane, WA 99201, USA 509.838.9020 mwengineers.com MW CONSULTING ENGINEERS 2022 HOURLY RATES Managing Principal$200.00 Principal$175.00 Associate$150.00 Senior Project Manager (V)$140.00 Senior Engineer (IV)$130.00 Engineer III$120.00 Engineer II$110.00 Engineer I$100.00 Designer IV$125.00 Designer III$115.00 Designer II$110.00 Designer I$ 95.00 BIM Manager$110.00 BIM Operator II$ 80.00 BIM Operator I$ 70.00 Senior Technology Systems Project Manager$150.00 Senior Technology Systems Engineer$140.00 Senior Technology Systems Designer$130.00 Senior Field Representative$130.00 Field Representative$120.00 Senior Lighting Designer$120.00 August 8, 20222021.014.xx Balfour Park - MEP VE, Re-Design, and CS Fee Proposal (01R).doc Page 4of 4 Page 1 of 2 00 -- 0.000.00 $113.85/hr$113.85/hr 8/10/2022 $ $ 00 -- 0.000.00 $115.33/hr$115.33/hr PlanningPlanning $ $ 00 -- 0.000.00 $221.80/hr$221.80/hr $ $ 00 -- 0.000.00 LD1LD1 $83.93/hr$83.93/hr $ $ 20 25.00 120.00 5 70203020 LD2LD2 2,255.04 $90.20/hr$90.20/hr 10,824.18 $ $ 11 65.0034.00 546522 2020101510 LA2LA2 7,352.363,845.85 $113.11/hr$113.11/hr Landscape Architecture Landscape Architecture $ $ 10 8.00 36.00 5614462222 10 CACA DLADLA 5,323.15 1,182.92 $147.87/hr$147.87/hr $ $ 00 -- 0.000.00 Tech 1Tech 1 $0.00/hr$0.00/hr $ $ 00 -- 0.000.00 $0.00/hr$0.00/hr Tech 2 Tech 2 $ $ 10 - 0.00 45.00 5 40 PE2PE2 4,525.65 $100.57/hr$100.57/hr $ $ 10 52.0015.00 25 30101010 PE3PE3 Civil EngineeringCivil Engineering 6,073.791,752.06 $116.80/hr$116.80/hr $ $ 10 37.0011.00 2225622511 1010 PMPM 5,416.391,610.28 $ $ $146.39/hr$146.39/hr 00 9.003.00 412221 665.39 EFEF 1,996.18 Civil PICCivil PIC $221.80/hr$221.80/hr $ $ - - 0.000.00 $99.43/hr$99.43/hr WPWP AdminAdmin $ hrs / wk$ hrs / wk 9.008.000.000.000.000.000.000.006.003.000.000.000.000.00 72.0017.0061.0018.0029.0011.0047.00 96.00 179.00 364.00 Total Total Task HoursTask Hours ---- 30% $0.00$0.00$0.00$0.00$0.00$0.00$0.00$0.00$0.00$0.00 $890.14$372.62 177.54% 4,027.737,283.81 $8,310.06$2,337.00$1,126.70$1,327.83$6,772.22$2,444.20$3,320.23$1,597.67$5,130.87 18,012.0223,499.6841,511.7018,500.0060,011.7011,311.5411,311.5411,311.54 $19,193.69 $41,511.70 TotalTotal Task Cost ($)Task Cost ($) $ $ $ $ $ $ $ $ $ $ $ $ $ $ FYIJCJU!C/13 Balfour Park Improvements AHBL Staff Hours per Task Project No. 2210203Overhead rate (FYE 2022 ICR rate)Fixed Fee Rate Work Task Phase 1 Redesign Value engineering redesign Revise P1 civil and landscape specs, estimates MEP CoordinationDraft Document SubmittalComment Review MeetingPrepare Final DocumentsWeekly COSV Meetings (6)TASK 7 Phase 1 RedesignHourly Rate Task Total - Civil Task Total - Landscape Task Total - PlanningTASK 7 Phase 1 RedesignSubconsultant - IntegrusSubconsultant - GeoEngineersSubconsultant - MW EngineersSubconsultant - PlateauTASK 7 Phase 1 RedesignWork Task Phase 1 Bid Administration Bid doc distributionPre-bid meetingRFI, Clarifications, Addenda (assume 2)Bid opening meetingBid price evaluation TASK 8 Phase 1 Bid AdministrationHourly Rate Task Total - Civil Task Total - Landscape Task Total - PlanningTASK 8 Phase 1 Bid AdministrationSubconsultant - IntegrusSubconsultant - GeoEngineersSubconsultant - MW EngineersSubconsultant - PlateauTASK 8 Phase 1 Bid Administration TotalTotal TASK 7TASK 8 Q:\\2021\\2210203\\Proposals_Contracts\\Finals\\20220810 Attch1 (Budget-Amend 02) 2210203.10.40 Page 2 of 2 0 - 0.00 $113.85/hr 8/10/2022 $ 0 - 0.00 $115.33/hr Planning $ 0 - 0.00 $221.80/hr $ 0 - 0.00 LD1 $83.93/hr $ 0 20.00 1010 LD2 1,804.03 $90.20/hr $ 1 41.00 24 101015 LA2 4,637.64 $113.11/hr Landscape Architecture $ 0 9.00 1224 CA DLA 1,330.79 $147.87/hr $ 0 - 0.00 Tech 1 $0.00/hr $ 0 - 0.00 $0.00/hr Tech 2 $ 0 - 0.00 PE2 $100.57/hr $ 1 35.00 5 1515 PE3 Civil Engineering 4,088.13 $116.80/hr $ 0 28.00 242 1010 PM 4,098.89 $ $146.39/hr 0 9.00 414 EF 1,996.18 Civil PIC $221.80/hr $ - 0.00 4,000.00 Subtotal4,569.007,300.00 $99.43/hr 38,390.00 82,575.00 17,000.00 65,306.00 60,011.70 11,311.54 34,855.66 14,800.00 16,200.00 WP 38,300.00 124,839.00438,857.90106,178.90 Admin 477,157.90481,157.90 $ $ $ $ hrs / wk$ $ $ $ $ $ $ $ $ $ $ $ $ $ $ --- 9.000.000.000.000.00 20.0051.0014.0048.00 2,840 142.00 54,35010,88033,64018,50016,900 137,110 Fees Total Task Hours $ $ $ $ $ $ $ $ $ $ Subconsultant -- 30% $0.00$0.00$0.00$0.00 4,569 Project Total Fees 35,55070,48971,69531,66641,51211,31217,956 177.54% 284,748 7,772.46 $2,152.90$6,432.01$1,716.69$1,262.76$6,391.30 10,183.2017,955.6616,900.0034,855.66 $17,955.66 Total Allow AHBL Fees Task Cost ($) $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ Reimbursable Expenses Estimate Project Total Basic Services Subtotal Other Services Subtotal Amendment 02 Total Contract Change Balfour Park Improvements AHBL Staff Hours per Task PROJECT SUMMARY Project No. 2210203Overhead rate (FYE 2022 ICR rate)Fixed Fee Rate Work Task Phase 1 Construction Support Services Conformed SetRFI and ClarificationsSubmittal and Shop Drawing ReviewConstruction Kickoff MeetingSite Observation Visits TASK 9 Phase 1 Construction Support ServicesHourly Rate Task Total - Civil Task Total - Landscape Task Total - PlanningTASK 9 Phase 1 Construction Support ServicesSubconsultant - IntegrusSubconsultant - GeoEngineersSubconsultant - MW EngineersSubconsultant - PlateauTASK 9 Phase 1 Construction Support ServicesBasic ServicesTASK 1 Project Management and AdministrationTASK 2 Schematic PlanningTASK 3 Design Development (30%)TASK 4 Full Park Construction Documents (90%)TASK 5 Management ReserveTASK 6 Phase 1 Bid Documents (100%)TASK 7 Phase 1 RedesignTASK 8 Phase 1 Bid AdministrationTASK 9 Phase 1 Construction Support ServicesOther ServicesTask 2.1 Geotechnical ReportTask 2.2 Cultural Resources SurveyTask 3.1 3D Model and Renderings (3 views total) Total TASK 9 Q:\\2021\\2210203\\Proposals_Contracts\\Finals\\20220810 Attch1 (Budget-Amend 02) 2210203.10.40 CITY OF SPOKANE VALLEY Request for Council Action Meeting Date: August 30, 2022 Department Director Approval: Check all that apply: consent old business new business public hearing information admin. report pending legislation executive session AGENDA ITEM TITLE: Administrative report – Arts Council Discussion. GOVERNING LEGISLATION: Chapter 3.34 SVMC – Acceptance of donations and gifts; chapter 3.46 SVMC – Non-architectural and engineering services. PREVIOUS COUNCIL ACTION TAKEN: Approval of Agreement with the Spokane Valley Arts Council March 12, 2019. BACKGROUND: The Spokane Valley Arts Council (SVAC) is a not-for-profit 501(c)(3) organization formed in 2004 for the stated purpose of working “with local businesses, civic leaders and artists to cooperatively conceive, develop and implement art-related programs and cultural activities.” The SVAC has been instrumental in identifying projects to be constructed and located on property owned by the City for the cultural benefit of our citizens. Examples of their efforts include projects at CenterPlace (“Working the Line” by Jerry McKellar, “Dance of Sun and Moon” by Jerry McKellar, “If I could but Fly” and “Rock Star” by Bob Wilfong) and City Hall (“Coup Ponies” by Jerry McKellar, “Harvest Time on the Big Missouri (commonly known as “the Berry Picker”)” by Nancy McLaughlin, “Great Spirit’s Gift” by Ace Powell). “Heart of the Valley” by Richard Warrington and “The Ascent” by Gary Lee Price are anticipated to be placed at the future expanded Balfour Park. “Huckleberry Daze” and “Indomitable Spirit” by Jerry McKeller are both in the process of being placed at Greenacres Park and the Appleway Trail trailhead at University Ave respectively. In 2019 Council approved an agreement with the SVAC that reduced to writing the various aspects of our long-term relationship. Section 4.a. of the agreement requires that the SVAC provide Council with a reasonable advance opportunity to provide input on which sculptures are chosen for donation to the City, recognizing that the ultimate decision to accept or reject any proposed gift of artwork rests solely with the City Council. Section 4.b. of the agreement further specifies that the SVAC provide the City with information at least one year prior to the time a sculpture intended for donation to the City is anticipated to be permanently placed so the City has an opportunity to determine where the piece will be installed and to also budget for the costs related to installing the piece. Tonight, the SVAC would like to bring to Council’s attention a potential project for 2023 (Bronze Sculpture: Sun Blessing by Nancy McLaughlin) with the ultimate intention that Council and the SVAC reach a consensus on the piece that will be pursued by the SVAC, and through the City’s 2023 Outside Agency Process. Any project(s) proposed by the SVAC would still have to compete against all other applicants for outside agency funding and would not have a competitive advantage over other applicants. OPTIONS: (1) Discussion; or (2) take other action as appropriate RECOMMENDED ACTION OR MOTION: This report is intended to facilitate a conversation between the SVAC and the City Council regarding future art projects. BUDGET/FINANCIAL IMPACTS: Financial impacts will be determined once a piece of art is selected, and a location determined. STAFF CONTACT: John Bottelli, Parks, Recreation & Facilities Director _____________________________________________________________________________________ ATTACHMENTS: Photocopy of Sun Blessing by Nancy McLaughlin and Artist Bio NANCY McLAUGHLIN (1932-1985) Born and raised in western Montana, Nancy McLaughlin had extensive contacts with the Indians of Montana. She spent her childhood on the reservation where she was friends with the Blackfeet. While learning of their customs and legends, she also developed an in- depth understanding of the people. As a young lady she was adopted into the Blackfeet tribe and given the name ME SA' MAXAKI which means Swan Woman. It is natural that as an artist her subject matter was primarily Indians, with her favorite themes, Indian women and tribal lore. She presented these women as pillars of strength radiating gentleness, beauty and dignity. The legends she illustrated were dynamic and penetrating. They came from a clear understanding of her subjects--an understanding that had been gathered painstakingly over time and recreated with intuitive power from an intimate part of her own experiences. Her expansive interest in art is seen in the variety of media in which she worked. Miss McLaughlin considered herself a sculptor, but she was also an accomplished painter and printmaker. Her sculpture was impressionistic, probably because of extensive studies of Rodin’s work. Nancy’s bronzes are graced with flow, movement and a general dynamic quality. There are few western artists her rival, for she is not an illustrator in bronze, but an artist-- a most important distinction. She was one of the top sculptors in the western art field. Over the years her paintings were influenced by several artists, but the Russian School of Impressionism has probably exerted the greatest force. Within an inherent balance of form and line she created colors which were vibrant and cover a rather complete range. During her 30-plus years as a professional artist, Miss McLaughlin had exhibited in many individual and group shows and won an array of awards. Her illustrations have appeared in several publications and she has been the subject of numerous articles as well as books. In the course of her career she taught with Richard Sandstrom at West Valley High School which is located in Spokane Valley, Washington. She was admired and liked by the many students she worked with. Always willing to share her art techniques she was a natural fit as a teacher. At one time she was married to the western artist Asa (Ace) Lynn Powell (1912-1978). Together they produced and sold art in many western states. This rare and sensitive artist died of a heart attack on March 20, 1985. With her passing the world lost an artist of historical importance. She will be significant as a portrayer of Western Indians, especially those of the Plains, the Southwest and the Northwest. It was, however, the Blackfeet that she knew and loved the best and they were the ones most frequently represented in her art. Her art bears the hallmark of permanence and is to be preserved for future generations to admire, cherish and love. 1 Art in collections Museums Buffalo Bill Historical Center Cody, Wyoming Arts Chateau Museum Butte, Montana Fred Oldfield Heritage Center Puyallup, Washington Great Plains Art Collection Lincoln, Nebraska Hockaday Museum of Art Kalispell, Montana Montana Historical Society Museum Helena, Montana Museum of Arts and Culture Spokane, Washington The Phippen Art Museum Prescott, Arizona Bank 1 Permanent Collection Prescott, Arizona Associations Ms. McLaughlin was a founding member of two organizations: Western Artists of America (WAA) American Artists of the Rockies Association (AARA) 2 Reference Material on the Artist Citations for Ms. McLaughlin are found in a number of references including the following: Lonnie Pierson Dunbier THE ARTISTSBLUEBOOK: 29,000 NORTH AMERICAN ARTISTS (2003) Ray Davenport DAVENPORT’S ART REFERENCE (2003-2004) AskART.com THE ARTISTS BLUEBOOK: 24,000 NORTH AMERICAN ARTISTS (2001) Phil Kovinick and Marian Yoshiki-Kovinick AN ENCYCLOPEDIA OF WOMEN ARTISTS OF THE AMERICAN WEST (1998) Southwest Art RED BOOK PRICE GUIDE-1997: WESTERN AMERICAN ART (1997) Southwest Art THE RED BOOK: WESTERN AMERICAN PRICE INDEX (1993) Southwest Art MASTER INDEX 1971-1993: ARTISTS IN SOUTHWEST ART (1993) th Glenn B. Opitz DICTIONARY OF AMERICAN SCULPTORS: 18 CENTURY TO PRESENT (1984) Peggy Samuels and Harold Samuels CONTEMPORY WESTERN ARTISTS (1982) Anne Avery AMERICAN ARTISTS OF RENOWN 1981-1982 (1982) William Steadman THE WEST AND WALTER BIMSON: PAINTINGS WATERCOLORS, DRAWINGS & SCULPTURE (1971) Books About the Artist J. M. Moynahan MONTANA IMPRESSIONS: THE WESTERN ART OF NANCY McLAUGHLIN (1970) J. M. Moynahan THE WESTERN ART OF NANCY McLAUGHLIN (1980) J. M. Moynahan THE ETCHED WORKS OF NANCY McLAUGHLIN VOLUME I (1983) J. M.Moynahan THE LIFE AND ART OF NANCY McLAUGHLIN (2005) J. M. Moynahan THE BRONZE WORK OF NANCY McLAUGHLIN (2007) J. M. Moynahan THE ETCHED WORKS OF NANCY McLAUGHLIN SUPPLEMENT (2007) J. M. Moynahan THE ART AND LIFE OF MONTANA ARTIST NANCY McLAUGHLIN(2013) Books and Illustrated Articles by the Artist Richard Lancaster PIEGAN (1966) “The Enduring Intrigue of The Glass Trade Bead” ARIZONA HIGHWAYS (July, 1971) Some Articles About the Artist "Nancy McLaughlin's Frontier," APPALOOSA NEWS (March, 1975) “McLaughlin’s Lifetime Experiences” SOUTHWEST ART (February,1975) 3 "Nancy McLaughlin: Versatility in Expression," ART WEST (March-April/May, 1982) "Spirit of the West: The Art of Nancy McLaughlin," CASCADE WORLD (July, 1983) th “Nancy McLaughlin 1932-1985” CATALOGUE 13Annual National Western Art Show (May, 1985) 4 CITY OF SPOKANE VALLEY Request for Council Action Meeting Date: August 30, 2022 Department Director Approval: Check all that apply: consent old business new business public hearing information admin. report pending legislation executive session AGENDA ITEM TITLE: Business Engagement & Economic Development: Mercer Mass Timber GOVERNING LEGISLATION: N/A PREVIOUS COUNCIL ACTION TAKEN: N/A BACKGROUND: Mercer Mass Timber acquired the former Katerra site and manufacturing plant in August 2021. The plant is located in the Northeast Industrial Area (NIA) and is part of the Planned Action Ordinance (PAO) of 2019. Mercer Mass Timber occupies 37 acres in the NIA- PAO area on Garland Avenue, west of Barker. The current manufacturing and production facility is 253,000 square feet. Mercer Mass Timber is focused on advanced manufacturing capabilities plus the expansion of their workforce. Mercer Mass Timber is putting modern manufacturing technology to work to help address some of the construction industry’s most entrenched challenges. The City of Spokane Valley economic development team has been meeting with leadership at the Mercer Mass Timber plant to facilitate future growth opportunities, make connections to other businesses within the City who may be interested in partnerships, acquire photo and video assets for the City’s economic development outreach and website use and to provide economic development related support as the company grows and diversifies its products and workforce. OPTIONS: Discussion only RECOMMENDED ACTION OR MOTION: Discussion only BUDGET/FINANCIAL IMPACTS: Unknown at this time STAFF CONTACT: Susan Nielsen, Economic Development Specialist ATTACHMENTS: PowerPoint Northeast Industrial Area (NIA) Northeast Industrial Area 2 2 0 2 e n u J - r u o t d n a t o o h s o t o h p r e b m i T s s a M Business needsWorkforce opportunitiesConnections to other Spokane Valley businesses r e ••• c Toured the plant for a photo/video projectSeveral meetings with MMT General ManagerConnected Mercer to local and state contacts and businessesAnother site visit/briefing with GSI and Spokane Valley Chamber 8.19.22 r e ———— M Broader Business Engagement & Outreach CITY OF SPOKANE VALLEY Request for Council Action Meeting Date: August 30, 2022 Department Director Approval: Check all that apply: consent old business new business public hearing informationadmin. reportpending legislationexecutive session AGENDA ITEM TITLE: Administrative Report - Sprague Avenue Stormwater Project GOVERNING LEGISLATION: N/A PREVIOUS COUNCIL ACTION TAKEN: October 7, 2014 – Info report on Ecology Stormwater Grant Opportunities, Call for Projects October 21, 2014 – Administrative Report discussing Washington State Department of Ecology stormwater grant opportunities resulting in consensus to apply for grants. October 11, 2016 – Administrative Report discussing Washington State Department of Ecology stormwater grant opportunities resulting in consensus to apply for grants. May 21, 2019 – Administrative Report regarding the details of the Water Quality Financial Assistance Agreement with the Department of Ecology May 28, 2019 – Council authorized execution of Water Quality Financial Assistance Agreement with the Department of Ecology July 5, 2022 – Council reached consensus for a future motion consideration to terminate the Agreement with Ecology July 19, 2022 – Motion passed to terminate Ecology grant agreement BACKGROUND: In November 2014, the City applied to the Washington State Department of Ecology (Ecology) for a grant to improve water quality in the Spokane Valley-Rathdrum Prairie Aquifer through the installation of Low Impact Development (LID) techniques and best management practices along the two-mile segment of Sprague Avenue between University and Park Roads. Stormwater in the project area is currently collected and discharged to groundwater without pretreatment via approximately 75 drywells. On July 7, 2015, this project was selected by the Department of Ecology for award, contingent on funding availability. In 2016, Ecology received direction from the Legislature to delay funding for 67 state-wide stormwater projects proposed to receive funding from the Stormwater Financial Assistance Program (SFAP) in SFY16 and SFY17. These delays were necessary to address a shortfall in the Model Toxics Control Act funds and were accompanied by significant reductions in both operating and capital budgets, across many environmental program areas. This stormwater project application was included on the SFY16 and SFY17 list of delayed projects. On February 21, 2018, the City was informed by Ecology that the 2017–2019 Washington State Biennial Budget successfully addressed funding shortfalls, and Ecology was authorized to resume agreement negotiations for this project. At the time of application, the total project cost was estimated at $2M. Ecology would provide $1.5M and the City’s stormwater fund was to provide $500K in matching funds. In May 2019, staff revisited the preliminary estimate and increased the potential City stormwater funding by $569,320 to account for inflationary increases from 2014 to 2019. The grant agreement with Ecology was executed in 2019. In 2021, the Spokane Transit Authority (STA) awarded the City, $163,685 to improve the crossing between City Hall and Balfour Park on Sprague Avenue (Crossing Project). Additionally, the City was awarded $556,400 for the Crossing Project from the Pedestrian & Bicycle Program (PBP). For efficiencies, the Stormwater Project and the Crossing Project were planned to be completed concurrently. Page 1 of 3 Due to limited resources, staff was unable to initialize the project until June of 2021. In the fall of 2021, the City selected a consultant firm who advanced the conceptual design to a 30% preliminary design. The City has spent $64,125 of the Ecology grant to develop a design report which was approved in early May 2022. The total project cost increased to over $5.5M. The design assumed that Sprague Avenue will be reduced to three lanes between Herald and University and to four lanes from Herald to Park Road. Currently, Sprague Avenue has five lanes within the project limits. Due to the large funding gap needed to advance the Stormwater & Crossing projects, on July 19, 2022, Council passed a motion to terminate the Ecology grant and proceed with the Crossing Project which will include stormwater quality facilities between University and Herald Roads. Staff and Council identified that Coronavirus Local Fiscal Recovery Fund (CLFR) funds may be utilized for the Crossing Project because the project is an eligible stormwater/water quality project for the Clean Water State Revolving Fund (CWSRF) per the EPA Overview of Clean Water State Revolving Eligibilities, dated May 2016. Currently, the City Council has not allocated $1,379,386 of CLFR funds. In August 2022, staff reached out to all businesses along the current project limits from University to Herald Roads to describe the concept for the project. Of the 22 businesses contacted, staff met with 17 in person, all were supportive of the lane reduction/pedestrian crossing project. Staff also sent information via email to four businesses and two of them provided supportive replies. The other two have not yet responded. Staff was unable to contact only one business, the Brew-Pub, which is unoccupied. Most of the businesses expressed concerns with speeding and crashes along this segment of Sprague. Some also mentioned that the existing street trees block visibility to their businesses and their signs. Staff has been coordinating with the STA regarding the Sprague Avenue High Performance Transit (HPT) project, which includes this segment of Sprague Avenue. There are two stops within this project area, one of which will be designed as a “high performance” stop. City staff is evaluating STA’s proposal and will work to accommodate STA’s HPT improvements into the current project. To be able to accommodate a safe pedestrian crossing and drainage facilities, staff proposes to reduce Sprague Avenue from five lanes to three lanes which is consistent with the existing lane configuration on Sprague Avenue east of University Road. During the July 15, 2022 meeting, Council requested additional information regarding the performance of a 3-lane versus 4-lane project on Sprague Avenue. Both options are expected to reduce speeds and have excess vehicle th capacity. A target of the project is to reduce 85 percentile speeds from 41.1 mph to the posted speed of 35 mph or less; the 3-lane option comes closest to meeting this target based on the traffic model. However, it is expected that actual driver behavior with reduced lanes and turning traffic will result in lower speeds than the model. Based on current peak hour volumes, a 3-lane Sprague Avenue is expected to operate at 27% of capacity. The primary difference between the two options is the pedestrian crossing time. A 4-lane Sprague Avenue would take approximately 3 seconds longer to cross than a 3-lane Sprague Avenue. This creates additional exposure for pedestrians and additional delay for vehicles on Sprague Avenue. Additionally, the 4-lane project would cost more to construct due to the need for underground stormwater treatment (“Filterra” type units) instead of the planned swales with the 3-lane option. Staff recommends setting up a pilot project for six weeks that reduces Sprague Avenue to three lanes using tubular markers. This will allow staff to observe driver behavior, measure actual vehicle speeds, and evaluate performance of the reduced section. Staff will seek public input via a project website and targeted survey. Should City Council decide to proceed with the recommendation to implement the pilot project, staff will return thereafter to share the public input and data collected. This information will assist both staff and Council on moving forward with the project in a permanent state. Page 2 of 3 OPTIONS: 1) Consensus to move ahead with a 3-lane pilot project over the next 2 months, or 2) take other action or no action. RECOMMENDED ACTION OR MOTION: Consensus to implement the 3-lane reduction pilot project this fall. BUDGET/FINANCIAL IMPACTS: Staff solicited costs from four traffic control contractors to implement the pilot project with estimates ranging from $20,000 to $35,000. There are sufficient funds in the project budget to cover the costs of the pilot project. STAFF CONTACT: Gloria Mantz, PE, City Engineer Jerremy Clark, PE, PTOE, Traffic Engineering Manager ____________________________________________________________________________ ATTACHMENTS: PowerPoint Presentation Page 3 of 3 CITY OF SPOKANE VALLEY Request for Council Action Meeting Date: August 30, 2022 Department Director Approval: Check all that apply: consent old business new business public hearing informationadmin. reportpending legislationexecutive session AGENDA ITEM TITLE:Estimated 2023 revenues and expenditures. GOVERNING LEGISLATION: State budget law. PREVIOUS COUNCIL ACTION TAKEN: No formal Council action has been taken on the 2023 Budget. A proposed budget is currently under review by the City Manager who will present his Preliminary 2023 Budget to the Council on October 4, 2022. BACKGROUND: This marks the second occasion where the Council will discuss the 2023 Budget. The first occurred during the June 14, 2022, Council Workshop where the Council reviewed 2023 Budget worksheets prepared by staff. By the time the Council is scheduled to adopt the 2023 Budget on November 8, 2022, Council will have had an opportunity to discuss it on eight separate occasions, including three public hearings to gather input from citizens: June 14 Council Budget Workshop August 30 Admin report: Estimated 2023 revenues and expenditures September 13 Public hearing #1 on 2023 revenues and expenditures October 4 City Manager’s presentation of preliminary 2023 Budget October 11 Public hearing #2 on 2023 Budget October 25 First reading on ordinance adopting the 2023 Budget November 8 Public hearing #3 on 2023 Budget November 8 Second reading on ordinance adopting the 2023 Budget State law requires that the City hold a public hearing on revenue sources for the upcoming year’s budget in order to consider input from the public. This hearing is scheduled to take place on th September 13. The presentation this evening is an administrative report leading up to the public hearing. Until City Council’s adoption, all figures currently included in the 2023 Budget worksheets are preliminary and subject to change. 2023 Budget Overview: The 2023 Budget currently includes appropriations of $104,614,473 including $25,174,227 in capital expenditures, comprised in-part of: o $9,157,127 in Fund #303 Street Capital Projects. o $4,810,000 in Fund #309 Park Capital Projects. o $4,300,000 in Fund #311 Pavement Preservation including $1,011,800 financed by the General Fund. o $3,950,000 in Fund #314 Railroad Grade Separation Projects. o $1,621,100 in Stormwater Management Fund #402 and Aquifer Protection Area Fund #403 projects. To partially offset the $25,174,227 in capital costs we anticipate $11,459,062 in grant revenues which results in 45.52% of capital expenditures being covered with State and Federal money. Budgets will be adopted across 27 separate funds. 1 The full-time equivalent employee (FTE) count will increase in 2023 by 2 to 105.25 from 103.25. These increases include a Paralegal position in the City Attorney Department and a Traffic Signal Technician in the Street Fund #101. Pertaining Specifically to the General Fund: The 2023 recurring revenue estimate of $56,450,500 is $4,200,800 or 8.04% greater than the 2022 amended budget of $42,249,700. The 2023 recurring expenditure proposal of $52,731,079 is $3,628,391 or 7.39% greater than the 2022 proposed amended appropriation of $49,102,688. Budgeted recurring revenues currently exceed recurring expenditures by $3,719,421 or 6.59% of recurring revenues. Nonrecurring expenditures total $4,322,340 and include: o $151,000 for Information Technology expenditures including: $15,000 to replace outdated copiers $50,000 for server upgrades $60,000 for network core hardware replacement $26,000 for software upgrades o $8,500 for furniture for the new Paralegal position o $39,000 for various Public Safety items including: $15,000 for access and fencing improvements to the White Elephant property $4,000 to install gutters at the Precinct $20,000 to install security cameras in the back lot at the Precinct o $26,000 to replace flooring at CenterPlace o $150,000 for improvements to the lobby and greenhouse at CenterPlace o $500,000 for Financial Software capital costs o $3,417,840 transfer out to the Street O&M Fund #101 to cover the deficit in recurring expenditures exceeding recurring revenues in that fund The total of 2023 recurring and nonrecurring expenditures exceeds total revenues by $602,919. The projected ending fund balance for the General Fund at the end of 2023 is currently $30,631,616 or 58.09% of recurring expenditures. 2 Other Funds: 2023 Budget appropriations (expenditures) in the other funds total $47,562,054 as follows: FundFund2023 NumberNameAppropriation 101Street Fund6,730,140 103Paths and Trails Fund0 104Hotel / Motel Tax - Tourism Facilities Fund0 105Hotel / Motel Tax Fund901,000 106Solid Waste Fund1,929,000 107PEG Fund73,000 108Affordable & Supportive Housing Sales Tax Fund0 120CenterPlace Operating Reserve Fund0 121Service Level Stabilization Reserve Fund0 122Winter Weather Reserve Fund500,000 204Debt Service Fund1,089,550 301REET 1 Capital Projects Fund1,507,722 302REET 2 Capital Projects Fund1,855,820 303Street Capital Projects Fund9,157,127 309Parks Capital Projects Fund4,810,000 310Civic Facilities Capital Projects Fund0 311Pavement Preservation Fund4,350,000 312Capital Reserve Fund5,068,292 314Railroad Grade Separation Projects Fund3,950,000 315Transportation Impact Fee Fund108,449 316Economic Development Capital Projects Fund0 402Stormwater Management Fund2,341,854 403Aquifer Protection Area Fund1,476,100 501Equipment Rental and Replacement Fund523,000 502Risk Management Fund600,000 632Passthrough Fees & Taxes Fund591,000 47,562,054 Primary sources of revenues in these other funds include: Motor Vehicle Fuel Tax revenue that is collected by the State and remitted to the Street Fund is anticipated to be $2,062,600. Telephone Tax revenues remitted to the City that supports Street Fund operations and maintenance are anticipated to be $857,000. Real Estate Excise Tax (REET) revenues that are in large part used to match grant financed street projects are anticipated to total $3,000,000. Hotel / Motel Tax revenues that are dedicated to the promotion of visitors and tourism are anticipated to be $1,500,000 ($900,000 in the Hotel/Motel Tax Fund #105 and $600,000 in the Hotel/Motel Tax – Tourism Facilities Fund #104). tormwater Management Fees that are estimated at $1,951,000. S Aquifer Protection Area Fees are estimated at $460,000. 3 Funding Challenges: As we’ve exited the COVID-19 Pandemic, the economy continues to experience volatility. This is particularly seen with recent levels of inflation that are driving up costs across the board. We expect this volatility to continue to affect City revenues and costs as we go forward into 2023. As such, we anticipate there may be changes to revenue projections as we progress through this 2023 Budget development process. Declining revenues in the Street O&M Fund #101 are impacting our ability to deliver historic levels of service. Fund #101 is dependent upon motor vehicle fuel tax revenues and telephone utility tax revenues. o Motor vehicle fuel taxes have increased slightly due to recent State legislation; however, they are generally flat or declining in recent years due to improvements in vehicle fuel mileage. Also, recent inflation in fuel prices may begin to change driving habits, which could reduce future revenues. o Telephone utility taxes have been declining at an average of 8.0% per year from 2009 through 2021. We believe the decline is primarily due to the elimination of land lines by individual households as well as reallocation of revenues by cell phone companies to data packages. The revenues from this tax reached a high of $3.1 million in 2009 (the year the tax was implemented) and is currently estimated to generate $857,000 in 2023. Balancing the cost of pavement preservation against other transportation and infrastructure needs. o Pavement Preservation Fund #311 is relying more heavily on REET revenues due to an elimination of the contribution from the Street Fund #101 related to declining revenues and an elimination of contributions from the Civic Facility Replacement Fund #123. The fund balance in Fund #123 was entirely depleted at the end of 2016, and the fund was closed during 2017. o Reliance on REET revenues to fund pavement preservation in Fund #311 limits the City’s ability to provide match funding for State and Federal grants received for other street projects. o Railroad grade separation projects (overpasses and underpasses) are exceptionally expensive endeavors and are largely beyond the City’s ability to finance through existing sources of revenue. The City has been very successful in securing funding for the Barker Rd. Grade Separation and Pines Rd. Grade Separation projects; however, funding is still needed for other grade separation projects as well as other large-scale transportation improvements within the City. OPTIONS: State law requires a public hearing on 2023 estimated revenues and expenditures. A hearing is scheduled for September 13, 2022. RECOMMENDED ACTION OR MOTION: No action is requested at this time. BUDGET/FINANCIAL IMPACTS: Given that the budget will not be adopted by the Council until November 8, 2022, it is possible the figures may be modified as we refine estimates of revenues and expenditures. STAFF CONTACT: Chelsie Taylor, Finance Director ATTACHMENTS: Power Point presentation Assorted 2023 Budget information: o Pages 1-11 Budget summary information with detail by fund o Page 12-13 General Fund budget change from June 14 to August 30 o Page 14 General Fund revenue and expenditure line-item changes. o Page 15-18 General Fund department changes from 2022 to 2023. o Page 19 Full-time equivalent employees (FTEs). 4 (h/m tax-CP advertising) (2016 LTGO debt service) (park capital projects) (pavement preservation) (insurance premium) (police vehicle replacements) (City Hall repair costs) (office furniture for Project Manager em (office furniture for new Paralegal) (2 radar trailers) (vehicle for homeless services officer) (replace carpet at Precinct) (repaint Precinct exterior) (tree & debris removal from back lot) (police vehicle replacements) (Access/fencing White Elephant) (Install Precinct gutters) (Install security cameras at Precinct) (20th Anniversary event planner) (repaint portico at CenterPlace) (replace carpet at CenterPlace) (repair plumbing systems at pools) (replace CenterPlace flooring) (CenterPlace lobby improvements) (Street Fund operations) (replenish reserve) ('20 fund bal >50%) (vehicle for Code Enf Superviso Fund balance as a percent of recurring expenditures74.40%63.61%58.09% (non-plow vehicle rental) (plow replace.) (1/2 cost to #402 (additional dump bed truck) (truck for Signal Technician) (pavement preservation) (pavement preservation) Note: Work performed for pavement preservation projects out of the Street Capital Projects Fund is for items such as sidewalk upgrades that the were bid with the pavement preservation work. (Summerfield, Ponderosa, Fl Note: The fund balance in #310 includes $839,281.10 paid by the Library District for 2.82 acres at the Balfour Park site. If the District does not succeed in getting a voted bond approved by October 2022 then the City may repurchase this land at the original sale price of $839,285.10. Of this amount, $560,000 is anticipated to be paid out to the Library District for improvements during 2022. ('19 fund bal >50%) (police vehicle replacements) (City Hall repair costs) (school zone beacons) (Balfour Park Improvements Ph (Sullivan Park water line) (Spokane Valley River Loop Tra (Barker Rd Overpass) (Pines Rd Underpass) (Sullivan Rd Interchange) (Fairgrounds Building) (fairgrounds building) (1/2 cost to #101 (plow replace.) (Code Enforcement Vehicle) (Additional dump bed truck) h/m tax-CP advertising Net difference ######## Net difference $119,214 (2016 LTGO debt service) (park capital projects) (pavement preservation) (insurance premium) (police vehicle replacements) (City Hall repair costs) (office furniture for Project Manager e (office furniture for new Paralegal) (2 radar trailers) (vehicle for homeless services officer) (replace carpet at Precinct) (repaint Precinct exterior) (tree & debris removal from back lot) (police vehicle replacements) (Access/fencing White Elephant) (Install Precinct gutters) (Install security cameras at Precinct) (20th Anniversary event planner) (repaint portico at CenterPlace) (replace carpet at CenterPlace) (repair plumbing systems at pools) (replace CenterPlace flooring) (CenterPlace lobby improvements) (Street Fund operations) (replenish reserve) ('20 fund bal >50%) (vehicle for Code Enf Superv Ending fund balance as a percent of recurring expenditures = (Access/fencing White E (precinct gutters) (security cameras at pre (4)(4) (1)(2)(3) FTEs for 2017 reflect the reorganization that was effective in April 2017.The original 2017 Budget had FTEs of 88.4.FTEs for 2018 reflect the budget amendment approved on May 29, 2018.The 2022 Budget was amended to to reflect the City's reorganization, whichadded 1 FTE as the Community and Public Works Director and 1 FTE for a Custodian.Proposed 2023 includes a new Paralegal position in City Attorney and a new TrafficSignal Technician in #101 - Street Fund. (1)(2)(3)(4) CITY OF SPOKANE VALLEY Request for Council Action Meeting Date: August 30, 2022 Department Director Approval: Check all that apply: consent old business new business public hearing information admin. reportpending legislation executive session AGENDA ITEM TITLE: Opioid Distributor Settlement with State of Washington – Allocation Agreement. GOVERNING LEGISLATION: SVMC 2.15.020. PREVIOUS COUNCIL ACTION TAKEN:April 26, 2022 approval of the One Washington MOU for settlement between the same opioid distributors and cities/counties in Washington; July 19, 2022 approval of the Subdivision Participation Form to approve of and participate in the State settlement. BACKGROUND: Prior actions: On April 26, 2022, Council was informed about the ongoing opioid litigation occurring throughout the state. Several cities and counties in the state sued various companies involved in the prescription opioid supply chain, including Purdue Pharmaceutical, (manufacturer), Johnson & Johnson (supplier), and the three major distributors, Cardinal Health, Amerisource, and McKesson. The majority of these jurisdictions are represented by the law firm of Keller Rohrback. Keller Rohrback circulated the One Washington MOU to determine all possible jurisdictions that would be included in settlement negotiations for the litigating and non-litigating Washington cities and counties. Council approved entering into this MOU on April 26, 2022, and it was signed by the City Manager on April 27, 2022. The MOU set forth a default allocation for any funds received through settlement and also required each listed allocation region to create an Opioid Abatement Council. Separately, on May 2, 2022, the Washington State Attorney General’s (AG’s) Office announced a settlement agreement between the state of Washington and opioid distributors Cardinal Health, Amerisource, and McKesson in the amount of $518 million. In order to become a participant in the settlement and share in the abatement amount, Council approved the execution of the Subdivision Participation Form. Current action: In a webinar on August 8, 2022, the Washington State Attorney General’s Office provided more information regarding the process for finalizing the settlement. Each subdivision seeking to receive funds through the AG settlement with Cardinal Health, Amerisource, and McKesson is required to sign the One Washington MOU, the Subdivision Participation Form, and now, the Allocation Agreement. The Allocation Agreement adopts and incorporates the terms of the One Washington MOU with slight changes. Future action: Staff will bring forward a proposed five-county interlocal as required under the Allocation Agreement/One Washington MOU. Once the City is a party to that interlocal, we can negotiate intra- County for a higher allocation of funds than is identified in the default allocation formula. The Washington State AG’s case against Johnson & Johnson is set for trial this Fall. Further, the state and local governments are awaiting the outcome of the Purdue Pharmaceutical bankruptcy settlement appeal. OPTIONS: Considering placing the Allocation Agreement on a future agenda for motion consideration. RECOMMENDED ACTION OR MOTION: Consensus to place the Allocation Agreement on a future agenda for a motion consideration. BUDGET/FINANCIAL IMPACTS: Unknown at this time. STAFF CONTACT: Tony Beattie, Senior Deputy City Attorney. ___________________________________________________________________________ ATTACHMENTS: Allocation Agreement. DISTRIBUTORS WASHINGTON SETTLEMENT AGREEMENT Table of Contents I. Overview ..............................................................................................................................1 II. Conditions to Effectiveness of Agreement ..........................................................................1 III. Participation by Subdivisions ..............................................................................................3 IV. Settlement Payments ............................................................................................................3 V. ..................................................................................4 VI. Release .................................................................................................................................6 VII. Miscellaneous ......................................................................................................................6 Exhibit A Primary Subdivisions ................................................................................................. A-1 Exhibit B Litigating Subdivisions ................................................................................................B-1 Exhibit C ABC IRS Form 1098-F ...............................................................................................C-1 Exhibit D Cardinal Health IRS Form 1098-F ............................................................................. D-1 Exhibit E McKesson IRS Form 1098-F ....................................................................................... E-1 Exhibit F Subdivision Settlement Participation Form ................................................................. F-1 Exhibit G Consent Judgment and Stipulation of Dismissal with Prejudice................................ G-1 Exhibit H Distributor Global Settlement Agreement.................................................................. H-1 DISTRIBUTORS WASHINGTON SETTLEMENT AGREEMENT I. Overview Agreement and conditions of a settlement agreement between and among the State of Washington, McKessonCardinal Amerisourcethe Agreement Parties resolve opioid-related Claims against McKesson, Cardinal, and/or Amerisource (collectively, Settling Distributors By entering into this Agreement, the State of Washington and its Participating Subdivisions agree to be bound by all terms and conditions of the Distributor Global Settlement Global Settlement 1 its exhibits) is incorporated into this Agreement as Exhibit H. By entering this Agreement, and upon execution of an Agreement Regarding the State of Washington and the Distributor Global Enforcement Committee Agreement Agreement, the Settling Distributors agree to treat the State of Washington for all purposes as if it were a Settling State under the Global Settlement and its Participating Subdivisions for all purposes as if they were Participating Subdivisions under the Global Settlement. Unless stated otherwise in this Agreement, the terms of this Agreement are intended to be consistent with the terms of the Global Settlement and shall be construed accordingly. Unless otherwise defined in this Agreement, all capitalized terms in this Agreement shall be defined as they are in the Global Settlement. The Settling Distributors have agreed to the below terms for the sole purpose of settlement, and nothing herein, including in any exhibit to this Agreement, may be taken as or construed to be an admission or concession of any violation of law, rule, or regulation, or of any other matter of fact or law, or of any liability or wrongdoing, or any misfeasance, nonfeasance, or malfeasance, all of which the Settling Distributors expressly deny. No part of this Agreement, including its statements and commitments, and its exhibits, shall constitute or be used as evidence of any liability, fault, or wrongdoing by the Settling Distributors. Unless the contrary is expressly stated, this Agreement is not intended for use by any third party for any purpose, including submission to any court for any purpose. II. Conditions to Effectiveness of Agreement A.!Global Settlement Conditions to Effectiveness. 1.!The Agreement Parties acknowledge that certain deadlines set forth in Section VIII of the Global Settlement passed before the execution of this Agreement. For 1 The version of the Global Settlement as updated on March 25, 2022 is attached to this Agreement as Exhibit H. Further updates to the Global Settlement shall be deemed incorporated into this Agreement and shall supersede all earlier versions of the updated provisions. 1 that reason, (i) Settling Distributors agree to treat the State of Washington as satisfying the deadlines set forth in Section VIII of the Global Settlement provided that the State of Washington satisfies its obligations set forth in this Section II and (ii) the State of Washington agrees to treat Settling Distributors as having satisfied all notice obligations under Section VIII.B of the Global Settlement as to the State of Washington. 2.!The State of Washington shall deliver all signatures and releases required by the Agreement to be provided by the Settling States to the Settling Distributors by September 30, 2022. This Section II.A.2 supersedes the deadline for delivering those signatures and releases set forth in Section VIII.A.1 of the Global Settlement. B.!Agreement with Enforcement Committee. This Agreement shall not become effective unless the Enforcement Committee and the Settling Distributors execute the Enforcement Committee Agreement. If the Enforcement Committee Agreement is not executed by June 1, 2022, the State of Washington and Settling Distributors will promptly negotiate an agreement that mirrors the Global Settlement to the extent possible and with a credit of $1,000,000 to Settling Distributors to account for possible credits the Settling Distributors would have received under Section V of this Agreement from the State Cost Fund and the Litigating Subdivision Cost Fund of the Global Settlement and to be deducted from the Year 7 payment described in Section V.B.1 and Section V.C.g of this Agreement. C.!Participation by Subdivisions. If the condition in Section II.B has been satisfied, this Agreement shall become effective upon one of the following conditions being satisfied: 1.!All Litigating Subdivisions in the State of Washington and ninety percent (90%) of Non-Litigating Primary Subdivisions (calculated by population pursuant to the Global Settlement) in the State of Washington must become Participating Subdivisions by September 23, 2022. 2.!If the condition set forth in Section II.C.1 is not met, the Settling Distributors shall have sole discretion to accept the terms of this Agreement, which shall become effective upon notice provided by the Settling Distributors to the State of Washington. If the condition set forth by Section II.C.1 is not met and Settling Distributors do not exercise discretion to accept this Agreement, this Agreement will have no further effect and all releases and other commitments or obligations contained herein will be void. D.!Dismissal of Claims. Provided that the conditions in Sections II.B and II.C have been satisfied, the State of Washington shall file the Consent Judgment described in Section I.N of the Global Settlement and attached hereto as Exhibit G Washington Consent Judgment Washington Consent Judgment Court 2022. This Section II.C.2 supersedes the deadline for submitting a Consent Judgment set forth in Section VIII.B of the Global Settlement. In the event that the Court declines to enter the Washington Consent Judgment, each Settling Distributor shall be entitled to terminate the Agreement as to itself and shall be excused from all obligations under the Agreement, and if a Settling Distributor terminates the Agreement as to itself, all releases and other commitments or obligations contained herein with respect to that Settling Distributor will be null and void. The date of the entry of the Washington Consent Judgment shall be the effective date of this Agreement 2 Washington Effective Date Within the later of forty-five (45) days after the Washington Effective Date or December 31, 2022, each Settling Distributor will certify to the State that all medical claims data provided to it during the litigation (including Medicaid, PMP, LNI claims, and PEBB data) has been destroyed by the party and its agents, including all retained experts. III. Participation by Subdivisions A.!Notice. The Office of the State of Washington Attorney General in consultation with the Settling Distributors shall send individual notice of the opportunity to participate in this Agreement and the requirements for participation to all Subdivisions eligible to participate who have not returned an executed Subdivision Settlement Participation Form within fifteen (15) days of the execution of this Agreement. The Office of the State of Washington Attorney General may also provide general notice reasonably calculated to alert Subdivisions, including publication and other standard forms of notification. Nothing contained herein shall preclude the State of Washington from providing further notice to, or from contacting any of its Subdivision(s) about, becoming a Participating Subdivision. B.!Trigger Date for Later Litigating Subdivisions. Notwithstanding Sections I.EE and I.GGGG of the Global Settlement, as to the State of Washington, Settling Distributors and the State of Washington agree to treat the Trigger Date for Primary Subdivisions as September 23, 2022 and the Trigger Date for all other Subdivisions as May 3, 2022. C.!Initial and Later Participating Subdivisions. Notwithstanding Sections I.BB, I.CC, I.FF and Section VII.D and E of the Global Settlement, any Participating Subdivision in Washington that meets the applicable requirements for becoming a Participating Subdivision set forth in Section VII.B or Section VII.C of the Global Settlement on or before September 23, 2022 shall be considered an Initial Participating Subdivision. Participating Subdivisions that are not Initial Participating Subdivisions but meet the applicable requirements for becoming Participating Subdivisions set forth in Section VII.B or Section VII.C of the Global Settlement after September 23, 2022 shall be considered Later Participating Subdivisions. D.!Subdivision Settlement Participation Forms. Each Subdivision Settlement Participation Form submitted by a Participating Subdivision from the State of Washington shall be materially identical to Exhibit F to this Agreement. Nothing in Exhibit F is intended to modify in any way either the terms of this Agreement or the terms of the Global Settlement, both of which the State of Washington and Participating Subdivisions agree to be bound. To the extent that any Subdivision Settlement Participation Form submitted by any Participating Subdivision is worded differently from Exhibit F to this Agreement or interpreted differently from the Global Agreement and this Agreement in any respect, the Global Agreement and this Agreement control. IV. Settlement Payments A.!Schedule. Annual Payments under this Agreement shall be calculated as if the State of Washington were a Settling State under the Global Settlement and shall be made pursuant to the terms of Section IV of the Global Settlement except that, as to the State of Washington, the Payment Date for Payment Year 1 shall be December 1, 2022 and the Payment Date for Payment 3 Year 2 shall be December 1, 2022. For the avoidance of doubt, the sole component of the State of State Washington Abatement Amount possible Washington Abatement Amount is $430,249,769.02. B.!Use of Payment. The Washington Abatement Amount paid under this Agreement shall be used as provided for in Section V of the Global Settlement. C.!Nature of Payment. The State of Washington and its Participating Subdivisions agree that payments made to the State of Washington and its Participating Subdivisions under this Agreement are properly characterized as described in Section V.F of the Global Settlement. V. A.!Interaction with Global Settlement. Notwithstanding any contrary provision in the Washington Fees and CostsSection V. B.! Amounts. The total amount to cover of all Washington Fees and Costs is Section V.B and shall be paid on the schedule set forth in Section V.C. 1.!State Outside and Inside Counsel Fees and Costs. Settling Distributors shall pay $76,829,316.21 to cover in-house fees and costs and outside counsel fees and costs to The amount shall be paid in increments as specified in Section V.C (Payment Year 1 20%, Payment Year 2 20%, Payment Year 3 15%, Payment Year 4 15%, Payment Year 5 15%, Payment Year 6 10%, Payment Year 7 5%.) 2.!rneys. Settling Distributors shall pay $10,920,914.70 to Participating attorneys for fees and costs into a single account as directed by the Washington Attorney , which then shall be paid as agreed between the State of Washington and attorneys for Participating Litigating Subdivisions. Participating Litigating Subdivision attorneys shall be paid in accordance with the schedule in Section V.C and V.D.5 of this Agreement. C.!Schedule. Washington Fees and Costs shall be paid according to the following schedule: a.!Payment Year 1: Twenty percent (20%) of the total Washington Fees and Costs amount ($17,550,046.20), to be paid on or before December 1, 2022. 4 b.!Payment Year 2: Twenty percent (20%) of the total Washington Fees and Costs amount ($17,550,046.20), to be paid on or before December 1, 2022. c.!Payment Year 3: Fifteen percent (15%) of the total Washington Fees and Costs amount ($13,162,534.65), to be paid on or before July 15, 2023. d.!Payment Year 4: Fifteen percent (15%) of the total Washington Fees and Costs amount ($13,162,534.65), to be paid on or before July 15, 2024. e.!Payment Year 5: Fifteen percent (15%) of the total Washington Fees and Costs amount ($13,162,534.65), to be paid on or before July 15, 2025. f.!Payment Year 6: Ten percent (10%) of the total Washington Fees and Costs amount ($8,775,023.10), to be paid on or before July 15, 2026. g.!Payment Year 7: Five percent (5%) of the total Washington Fees and Costs amount ($4,387,511.55), to be paid on or before July 15, 2027. D.!Remittance. So that Settling Distributors do not pay the same fees and costs under both the Global Settlement and this Agreement, Washington and its Participating Litigating Subdivisions and their respective counsel shall do as follows: 1.!Participating Litigating Subdivisions in Washington and their counsel shall apply to the Attorney Fee Fund and the Litigating Subdivision Cost Fund created pursuant to Exhibit R of the Global Settlement for all fees, costs and expenses for which they may be eligible and shall instruct the Fee Panel and the Cost and Expense Fund Administrator to remit to Settling Distributors the full amount awarded to such Participating Litigating Subdivision, with each Settling Distributor receiving the percentage of that amount corresponding to the allocation set forth in Section IV.I of the Global Settlement. 2.!Counsel for Participating Subdivisions shall instruct the Fee Panel created by the MDL Court pursuant to Exhibit R of the Global Settlement to remit to Settling Distributors the Contingency Fee Amount for their Participating Subdivisions in the State of Washington, with each Settling Distributor receiving the percentage of that amount corresponding to the allocation set forth in Section IV.I of the Global Settlement. 3.!The State of Washington shall instruct the Fee Fund Administrator selected pursuant to Exhibit S of the Global Settlement that the Settling Distributors shall not pay the Fixed Amount for the State of Washington, and the State of Washington will not be eligible to receive funds from the State Outside Counsel Fee Fund under the Global Settlement. 4.!The State of Washington shall submit documented costs, as provided for in Exhibit T of the Global Settlement, to the Global Settlement State Cost Fund created pursuant to Exhibit T of the Global Settlement for all costs and expenses for which it may be eligible and shall instruct the State Cost Fund Administrator to remit to Settling Distributors the full amount awarded to the State of Washington, with each Settling 5 Distributor receiving the percentage of that amount corresponding to the allocation set forth in Section IV.I of the Global Settlement. 5.!No Participating Litigating Subdivision shall receive any payment due under this Agreement, including but not limited to the portion of the Washington Abatement Amount allocable to the Participating Subdivision, until it and/or its outside counsel, as applicable, fulfill their obligations under Sections V.D. 1-2. VI. Release A.!Scope. As of the Washington Effective Date, Section XI of the Global Settlement is fully binding on, and effective with respect to, all Releasors under this Agreement. Accordingly, as of the Washington Effective Date, the Released Entities are hereby released and forever discharged from all Released Claims of Releasors, including the State of Washington and its Participating Subdivisions. VII. Miscellaneous A.!No Admission. The Settling Distributors do not admit liability, fault, or wrongdoing. Neither this Agreement nor the Washington Consent Judgment shall be considered, construed or represented to be (1) an admission, concession or evidence of liability or wrongdoing or (2) a waiver or any limitation of any defense otherwise available to the Settling Distributors. It is the understanding and intent of the Agreement Parties that no portion of the Agreement shall be entered into evidence in any other action against the Settling Distributors, among other reasons, because it is not relevant to such action. For the avoidance of any doubt, nothing herein shall prohibit a Settling Distributor from entering this Agreement into evidence in any litigation or B.! Tax Cooperation and Reporting. The State of Washington and its Participating Subdivisions will be bound by Section V.F and Section XIV.F of the Global Settlement, except (i) as set forth in the final sentence of this Section VII.B and (ii) that the State of Washington shall Treasury Regulations Section 1.6050X-1(f)(1)(ii)(B) (thAppropriate Official 1098-F to be filed with respect to this Agreement are attached as Exhibit C, Exhibit D, and Exhibit E. The State of Washington and its Participating Subdivisions agree that any return, amended return, or written statement filed or provided pursuant to Section XIV.F.4 of the Global Settlement with respect to this Agreement, and any similar document, shall be prepared and filed in a manner ortion of the aggregate amount of payments this Agreement in Box 1 of IRS Form 1098- equal to the aggregate amount of payments paid or incurred by the Settling Distributors hereunder -the 1098-F, as reflected in Exhibit C, Exhibit D, and Exhibit E. 6 C.!No Third-Party Beneficiaries. Except as expressly provided in this Agreement, no portion of this Agreement shall provide any rights to, or be enforceable by, any person or entity that is not the State of Washington or a Released Entity. The State of Washington may not assign or otherwise convey any right to enforce any provision of this Agreement. D.!Cooperation. Each Agreement Party and each Participating Subdivision agrees to use its best efforts and to cooperate with the other Agreement Parties and Participating Subdivisions to cause this Agreement to become effective, to obtain all necessary approvals, consents and authorizations, if any, and to execute all documents and to take such other action as may be appropriate in connection herewith. Consistent with the foregoing, each Agreement Party and each Participating Subdivision agrees that it will not directly or indirectly assist or encourage any challenge to this Agreement or the Washington Consent Judgment by any other person, and will support the integrity and enforcement of the terms of this Agreement and the Washington Consent Judgment. E.!Enforcement. All disputes between Settling Distributors and the State of Washington and/or the Participating Subdivisions in the State of Washington shall be handled as specified in Section VI of the Global Settlement, including the referral of relevant disputes to the National Arbitration Panel. F.!No Violations of Applicable Law. Nothing in this Agreement shall be construed to authorize or require any action by Settling Distributors in violation of applicable federal, state, or other laws. G.!Modification. This Agreement may be modified by a written agreement of the Agreement Parties. For purposes of modifying this Agreement or the Washington Consent Judgment, Settling Distributors may contact the Washington Attorney General for purposes of coordinating this process. The dates and deadlines in this Agreement may be extended by written agreement of the Agreement Parties, which consent shall not be unreasonably withheld. H.!No Waiver. Any failure by any Agreement Party to insist upon the strict performance by any other party of any of the provisions of this Agreement shall not be deemed a waiver of any of the provisions of this Agreement, and such party, notwithstanding such failure, shall have the right thereafter to insist upon the specific performance of any and all of the provisions of this Agreement. I.!Entire Agreement. This Agreement, including the Global Settlement (and its exhibits), represents the full and complete terms of the settlement entered into by the Agreement Parties, except as provided herein. In any action undertaken by the Agreement Parties, no prior versions of this Agreement and no prior versions of any of its terms may be introduced for any purpose whatsoever. J.!Counterparts. This Agreement may be executed in counterparts, and a facsimile or .pdf signature shall be deemed to be, and shall have the same force and effect as, an original signature. K.!Notice. All notices or other communications under this Agreement shall be provided to the following via email and overnight delivery to: 7 Michael T. Reynolds Cravath, Swaine & Moore LLP 825 8th Avenue New York, NY 10019 mreynolds@cravath.com Elaine Golin Wachtell, Lipton, Rosen & Katz nd 51 West 52 Street New York, NY 10019 epgolin@wlrk.com : Thomas J. Perrelli Jenner & Block LLP 1099 New York Avenue, NW, Suite 900 Washington, DC 20001-4412 TPerrelli@jenner.com Copy to the State of Washington at: Shane Esquibel Jeffrey Rupert Laura Clinton 1125 Washington Street SE PO Box 40100 Olympia, WA 98504-0100 Shane.Esquibel@atg.wa.gov Jeffrey.Rupert@atg.wa.gov Laura.Clinton@atg.wa.gov \[Signatures begin on next page.\] 8 Authorized and agreed to by: Dated:AMERISOURCEBERGEN CORPORATION By: Elizabeth Campbell Executive Vice President and Chief Legal Officer Exhibit A 2 Primary Subdivisions No. Subdivision Name 1.! Aberdeen city 2.! Adams County 3.! Anacortes City 4.! Arlington City 5.! Asotin County 6.! Auburn City* 7.! Bainbridge Island City 8.! Battle Ground City 9.! Bellevue City* 10.! Bellingham City* 11.! Benton County* 12.! Bonney Lake City 13.! Bothell City* 14.! Bremerton City* 15.! Burien City* 16.! Camas City 17.! Centralia City 18.! Chelan County* 19.! Cheney City 20.! Clallam County* 21.! Clark County* 22.! Covington City 23.! Cowlitz County* 24.! Des Moines City* 25.! Douglas County* 26.! East Wenatchee City 27.! Edgewood City 28.! Edmonds City* 29.! Ellensburg City 30.! Enumclaw City 31.! Everett City* 32.! Federal Way City* 33.! Ferndale City 34.! Fife City 35.! Franklin County* 36.! Gig Harbor City 37.! Grandview City 38.! Grant County* 2 Entities denoted with an asterisk (*) indicate a population of greater than 30,000 for purposes of the definition of Primary Subdivision as it relates to Incentive Payment C. A-1 39.! Grays Harbor County* 40.! Island County* 41.! Issaquah City* 42.! Jefferson County* 43.! Kelso City 44.! Kenmore City 45.! Kennewick City* 46.! Kent City* 47.! King County* 48.! Kirkland City* 49.! Kitsap County* 50.! Kittitas County* 51.! Klickitat County 52.! Lacey City* 53.! Lake Forest Park City 54.! Lake Stevens City* 55.! Lakewood City* 56.! Lewis County* 57.! Liberty Lake City 58.! Lincoln County 59.! Longview City* 60.! Lynden City 61.! Lynnwood City* 62.! Maple Valley City 63.! Marysville City* 64.! Mason County* 65.! Mercer Island City 66.! Mill Creek City 67.! Monroe City 68.! Moses Lake City 69.! Mount Vernon City* 70.! Mountlake Terrace City 71.! Mukilteo City 72.! Newcastle City 73.! Oak Harbor City 74.! Okanogan County* 75.! Olympia City* 76.! Pacific County 77.! Pasco City* 78.! Pend Oreille County 79.! Pierce County* 80.! Port Angeles City 81.! Port Orchard City 82.! Poulsbo City 83.! Pullman City* 84.! Puyallup City* A-2 85.! Redmond City* 86.! Renton City* 87.! Richland City* 88.! Sammamish City* 89.! San Juan County 90.! Seatac City 91.! Seattle City* 92.! Sedro-Woolley City 93.! Shelton City 94.! Shoreline City* 95.! Skagit County* 96.! Skamania County 97.! Snohomish City 98.! Snohomish County* 99.! Snoqualmie City 100. Spokane City* 101. Spokane County* 102. Spokane Valley City* 103. Stevens County* 104. Sumner City 105. Sunnyside City 106. Tacoma City* 107. Thurston County* 108. Tukwila City 109. Tumwater City 110. University Place City* 111. Vancouver City* 112. Walla Walla City* 113. Walla Walla County* 114. Washougal City 115. Wenatchee City* 116. West Richland City 117. Whatcom County* 118. Whitman County* 119. Woodinville City 120. Yakima City* 121. Yakima County* A-3 Exhibit B Litigating Subdivisions No. Subdivision Name 1.! Anacortes City 2.! Bainbridge Island City 3.! Burlington City 4.! Chelan County 5.! Clallam County 6.! Clark County 7.! Everett City 8.! Franklin County 9.! Island County 10.! Jefferson County 11.! Kent City 12.! King County 13.! Kirkland City 14.! Kitsap County 15.! Kittitas County 16.! La Conner School District 17.! Lakewood City 18.! Lewis County 19.! Lincoln County 20.! Mount Vernon City 21.! Mount Vernon School District 22.! Olympia City 23.! Pierce County 24.! San Juan County 25.! Seattle City 26.! Sedro-Woolley City 27.! Sedro-Woolley School District 28.! Skagit County 29.! Snohomish County 30.! Spokane City 31.! Spokane County 32.! Tacoma City 33.! Thurston County 34.! Vancouver City 35.! Walla Walla County 36.! Whatcom County 37.! Whitman County B-1 Exhibit C ABC IRS Form 1098-F This Exhibit C will be appended to the Agreement prior to the Effective Date pursuant to Section VII.B. C-1 Exhibit D Cardinal Health IRS Form 1098-F This Exhibit D will be appended to the Agreement prior to the Effective Date pursuant to Section VII.B. D-1 Exhibit E McKesson IRS Form 1098-F This Exhibit E will be appended to the Agreement prior to the Effective Date pursuant to Section VII.B. E-1 Exhibit F Subdivision Settlement Participation Form Governmental Entity: State: Authorized Official: Address 1: Address 2: City, State, Zip: Phone: Email: Governmental Entityorder to obtain and in consideration for the benefits provided to the Governmental Entity pursuant to the Settlement Agreement dated May 2, 2022 Distributors Washington Settlement undersigned authorized official, hereby elects to participate in the Distributors Washington Settlement, release all Released Claims against all Released Entities, and agrees as follows. 1. The Governmental Entity is aware of and has reviewed the Distributors Washington Settlement, including the Distributor Global Settlement Agreement dated July 21, 2021 Global SettlementExhibit H, understands that all terms in this Participation Form have the meanings defined therein, and agrees that by signing this Participation Form, the Governmental Entity elects to participate in the Distributors Washington Settlement and become a Participating Subdivision as provided therein. 2. The Governmental Entity shall, within 14 days of October 1, 2022 and prior to the filing of the Consent Judgment, secure the dismissal with prejudice of any Released Claims that it has filed. 4. The Governmental Entity agrees to the terms of the Distributors Washington Settlement pertaining to Subdivisions as defined therein. 5. By agreeing to the terms of the Distributors Washington Settlement and becoming a Releasor, the Governmental Entity is entitled to the benefits provided therein, including, if applicable, monetary payments beginning after December 1, 2022. 6. The Governmental Entity agrees to use any monies it receives through the Distributors Washington Settlement solely for the purposes provided therein. 7. The Governmental Entity submits to the jurisdiction of the Washington Consent disputes to the extent provided in, the Distributors Washington Settlement. The Governmental Entity likewise agrees to arbitrate before the National Arbitration Panel as provided in, and for resolving disputes to the extent otherwise provided in the Distributors Washington Settlement. F-1 8. The Governmental Entity has the right to enforce the Distributors Washington Settlement as provided therein. 9. The Governmental Entity, as a Participating Subdivision, hereby becomes a Releasor for all purposes in the Distributors Washington Settlement, including, but not limited to, all provisions of Section XI of the Global Settlement, and along with all departments, agencies, divisions, boards, commissions, districts, instrumentalities of any kind and attorneys, and any person in their official capacity elected or appointed to serve any of the foregoing and any agency, person, or other entity claiming by or through any of the foregoing, and any other entity identified in the definition of Releasor, provides for a release to the fullest extent of its authority. As a Releasor, the Governmental Entity hereby absolutely, unconditionally, and irrevocably covenants not to bring, file, or claim, or to cause, assist or permit to be brought, filed, or claimed, or to otherwise seek to establish liability for any Released Claims against any Released Entity in any forum whatsoever. The releases provided for in the Distributors Washington Settlement are intended by the Agreement Parties to be broad and shall be interpreted so as to give the Released Entities the broadest possible bar against any liability relating in any way to Released Claims and extend to the full extent of the power of the Governmental Entity to release claims. The Distributors Washington Settlement shall be a complete bar to any Released Claim. 10. The Governmental Entity hereby takes on all rights and obligations of a Participating Subdivision as set forth in the Distributors Washington Settlement. 11. In connection with the releases provided for in the Distributors Washington Settlement, each Governmental Entity expressly waives, releases, and forever discharges any and all provisions, rights, and benefits conferred by any law of any state or territory of the United States or other jurisdiction, or principle of common law, which is similar, comparable, or equivalent to § 1542 of the California Civil Code, which reads: General Release; extent. A general release does not extend to claims that the creditor or releasing party does not know or suspect to exist in his or her favor at the time of executing the release, and that if known by him or her would have materially affected his or her settlement with the debtor or released party. A Releasor may hereafter discover facts other than or different from those which it knows, believes, or assumes to be true with respect to the Released Claims, but each Governmental Entity hereby expressly waives and fully, finally, and forever settles, releases and discharges, upon the date the Distributors Washington Settlement becomes effective pursuant to Section II.B of the Distributors Washington Settlement, any and all Released Claims that may exist as of such date but which Releasors do not know or suspect to exist, whether through ignorance, oversight, error, negligence or through no fault whatsoever, and which, if known, would materially affect the Governmental F-2 12. Nothing herein is intended to modify in any way the terms of the Distributors Washington Settlement, to which Governmental Entity hereby agrees. To the extent this Participation Form is worded differently from Exhibit F to the Distributors Washington Settlement or interpreted differently from the Distributors Washington Settlement in any respect, the Distributors Washington Settlement controls. I have all necessary power and authorization to execute this Participation Form on behalf of the Governmental Entity. Signature: _____________________________ Name: ________________________________ Title: _________________________________ Date: _________________________________ F-3 Exhibit G Consent Judgment and Stipulation of Dismissal with Prejudice The Honorable Michael Ramsey Scott Trial Date: November 15, 2021 STATE OF WASHINGTON KING COUNTY SUPERIOR COURT STATE OF WASHINGTON, NO. 19-2-06975-9 SEA Plaintiff, FINAL CONSENT JUDGMENT AND DISMISSAL WITH PREJUDICE v. MCKESSON CORPORATION, CARDINAL HEALTH INC., and AMERISOURCEBERGEN DRUG CORPORATION, Defendants. FINAL CONSENT JUDGMENT AND DISMISSAL WITH PREJUDICE StateInc., AmerisourceBergen Drug Corporation and AmerisourceBergen Corporation, together with the Settling Distributors,Settling Distributor PartiesPartyave entered into a consensual resolution of the above-Action entitled Distributors Washington Settlement Agreement, dated as of May 2, 2022 (the Washington Agreementached hereto as Exhibit A. The Washington Agreement shall become effective by its terms upon the entry of this Final Consent Judgment Judgment without finding or admission of wrongdoing or liability of any kind. By entering into the Washington Agreement, the State of Washington agrees to be bound by all terms and conditions G-1 of the Distributor Settlement Agreement, dated as of July 21, 2021 (as subsequently updated) Global Agreement Agreements unless stated otherwise in the Washington Agreement. Unless stated otherwise in the Washington Agreement, the terms of the Washington Agreement are intended to be consistent with the terms of the Global Settlement and shall be construed accordingly. I. RECITALS: 1. -length negotiations in good faith. In hereby executing the Agreements, the Parties intend to effect a good-faith settlement. 2. The State has determined that the Agreements are in the public interest. 3. The Settling Distributors deny the allegations against them and that they have any liability whatsoever to the State, departments, agencies, divisions, boards, commissions, districts, instrumentalities of any kind and attorneys, including its Attorney General, and any person in his or her official capacity whether elected or appointed to serve any of the foregoing and any agency, person, or other entity claiming by or through any of the foregoing, (b) any public entities, public instrumentalities, public educational institutions, unincorporated districts, fire districts, irrigation districts, and other Special Districts, and (c) any person or entity acting in a parens patriae, sovereign, quasi- sovereign, private attorney general, qui tam, taxpayer, or other capacity seeking relief on behalf of or generally applicable to the general public. 4. The Parties recognize that the outcome of the Action is uncertain and a final resolution through the adversarial process likely will require protracted litigation. 5. The Parties agree to the entry of the injunctive relief terms pursuant to Exhibit P of the Global Agreement. 6. Therefore, without any admission of liability or wrongdoing by the Settling Distributors or any other Released Entities (as defined in the Global Agreement), the Parties now mutually consent to the entry of this Judgment and agree to dismissal of the claims with prejudice pursuant G-2 to the terms of the Agreements to avoid the delay, expense, inconvenience, and uncertainty of protracted litigation. NOW THEREFORE, IT IS HEREBY ORDERED, ADJUDGED AND DECREED THAT: In consideration of the mutual promises, terms, and conditions set forth in the Agreements, the adequacy of which is hereby acknowledged by all Parties, it is agreed by and between the Settling Distributors and the State, and adjudicated by the Court, as follows: 1. The foregoing Recitals are incorporated herein and constitute an express term of this Judgment. 2. The Parties have entered into a full and final settlement of all Released Claims of Releasors against the Settling Distributors (including but not limited to the State) and the Released Entities pursuant to the terms and conditions set forth in the Agreements. 3. Agreement. Unless otherwise defined herein, capitalized terms in this Judgment shall have the same meaning given to them in the Global Agreement, or, if not defined in the Global Agreement, the same meaning given to them in the Washington Agreement. 4. The Parties agree that the Court has jurisdiction over the subject matter of the Action and over the Parties with respect to the Action and this Judgment. This Judgment shall not be construed or used as a waiver of any jurisdictional defense the Settling Distributors or any other Released Entity may raise in any other proceeding. 5. The Court finds that the Agreements were entered into in good faith. 6. The Court finds that entry of this Judgment is in the public interest and reflects a negotiated settlement agreed to by the Parties. The Action is dismissed with prejudice, subject to a retention of jurisdiction by the Court as provided herein and in the Agreements. G-3 7. By this Judgment, the Agreements are hereby approved by the Court, and the Court and obligations. 8. The Court shall have authority to resolve disputes identified in Section VI.F.1 of the Global Agreement, governed by the rules and procedures of the Court. 9. The Parties have satisfied the Conditions to Effectiveness of Agreement set forth in Section II.B of the Washington Agreement as follows: a.!The Enforcement Committee and the Settling Distributors executed the Enforcement Committee Agreement by June 1, 2022. b.!All Litigating Subdivisions in the State of Washington and ninety percent (90%) of Non-Litigating Primary Subdivisions (calculated by population pursuant to the Global Settlement) in the State of Washington became Participating Subdivisions by September 23, 2022. 10. The Parties have satisfied the Condition to Effectiveness of Agreement set forth in Section VIII of the Global Agreement and the Release set forth in Sections XI.A, F, and G of the Global Agreement, as follows: a.!The Attorney General of the State exercised the fullest extent of his or her powers to release the Settling Distributors and all other Released Entities from all Released Claims AG Release b.!The Settling Distributors have determined that there is sufficient State participation and sufficient resolution of the Claims of the Litigating Subdivisions in the Settling States to proceed with the Agreements. c.!The Participation Form for each Initial Participating Subdivision in the State has been delivered to the Settling Distributors. As stated in the Participation Form, and for the avoidance of doubt, nothing in the Participation Form executed by the Participating Subdivisions is intended to modify in any way the terms of the G-4 Agreements to which the Participating Subdivisions agree. As stated in the Participation Form, to the extent the executed version of the Participation Form differs from the Global Agreement in any respect, the Global Agreement controls. d.!Pursuant to Section VIII.B of the Global Agreement, each Participating Subdivision in the State is dismissing with prejudice any Released Claims that it has filed against the Settling Distributors and the Released Entities. 11. Release. The Parties acknowledge that the AG Release, which is incorporated by reference herein, is an integral part of this Judgment. Pursuant to the Agreements and the AG General, the Settling Distributors and the other Released Entities are, as of the Effective Date, hereby released from any and all Released Claims of (a) the State and its Participating Subdivisions and any of their departments, agencies, divisions, boards, commissions, Subdivisions, districts, in his or her official capacity whether elected or appointed to serve any of the foregoing, and any agency, person, or other entity claiming by or through any of the foregoing, (b) any public entities, public instrumentalities, public educational institutions, unincorporated districts, fire districts, irrigation districts, and other Special Districts in the State, and (c) any person or entity acting in a parens patriae, sovereign, quasi-sovereign, private attorney general, qui tam, taxpayer, or other capacity seeking relief on behalf of or generally applicable to the general public with respect to the State or any Subdivision in the State, whether or not any of them participate in the Agreements. the Settling Distributors and the other Released Entities are, as of the Effective Date, hereby released from any and all Released Claims of (1) the State, (2) all past and present executive departments, state agencies, divisions, boards, commissions and instrumentalities with the regulatory authority to enforce state and federal controlled substances acts, and (3) any of the instrumentalities that have the authority to bring Claims related to Covered Conduct seeking G-5 money (including abatement and/or remediation) or revocation of a pharmaceutical distribution license. For the purposes of clause (3) above, executive departments, agencies, divisions, boards, commissions, and instrumentalities are those that are under the executive authority or direct control are incorporated by reference into this Judgment as if fully set forth herein. The Parties acknowledge, and the Court finds, that those provisions are an integral part of the Agreements and this Judgment, and shall govern the rights and obligations of all participants in the settlement. Any modification of those rights and obligations may be made based only on a writing signed by all affected parties and approved by the Court. 12. Release of Unknown Claims. The State expressly waives, releases, and forever discharges any and all provisions, rights, and benefits conferred by any law of any state or territory of the United States or other jurisdiction, or principle of common law, which is similar, comparable, or equivalent to § 1542 of the California Civil Code, which reads: General Release; extent. A general release does not extend to claims that the creditor or releasing party does not know or suspect to exist in his or her favor at the time of executing the release that, if known by him or her, would have materially affected his or her settlement with the debtor or released party. 13. The State may hereafter discover facts other than or different from those which it knows, believes, or assumes to be true with respect to the Released Claims, but the State expressly waived and fully, finally, and forever settled, released and discharged, through the Agreements and AG Release, any and all Released Claims that may exist as of the Effective Date but which the State does not know or suspect to exist, whether through ignorance, oversight, error, negligence decision to enter into the Agreements. 14. Costs and Fees. otherwise provided in the Agreements. G-6 15. No Admission of Liability. The Settling Distributors are consenting to this Judgment solely for the purpose of effectuating the Agreements, and nothing contained herein may be taken as or construed to be an admission or concession of any violation of law, rule, or regulation, or of any other matter of fact or law, or of any liability or wrongdoing, all of which the Settling Distributors expressly deny. None of the Settling Distributors or any other Released Entity admits that it caused or contributed to any public nuisance, and none of the Settling Distributors or any other Released Entity admits any wrongdoing that was or could have been alleged by the State, its Participating Subdivisions, or any other person or entity. No part of this Judgment shall constitute evidence of any liability, fault, or wrongdoing by the Settling Distributors or any other Released Entity. The Parties acknowledge that payments made under the Agreements are not a fine, penalty, or payment in lieu thereof and are properly characterized as described in Section V.F of the Global Agreement. 16. No Waiver. This Judgment is entered based on the Agreements without adjudication of any contested issue of fact or law or finding of liability of any kind. This Judgment shall not be construed or used as a waiver of any ri right, to defend itself from, or make any arguments in, any other regulatory, governmental, private individual, or class claims or suits relating to the subject matter or terms of this Judgment. Notwithstanding the foregoing, the State may enforce the terms of this Judgment as expressly provided in the Agreements. 17. No Private Right of Action. This Judgment is not intended for use by any third party for any purpose, including submission to any court for any purpose, except pursuant to Section VI.A of the Global Agreement. Except as expressly provided in the Agreements, no portion of the Agreements or this Judgment shall provide any rights to, or be enforceable by, any person or entity that is not a Settling State or Released Entity. The State shall allow Participating Subdivisions in the State to notify it of any perceived violations of the Agreements or this Judgment. No Settling State, including the State of Washington, may assign or otherwise convey any right to enforce any provision of the Agreements. G-7 18. Admissibility. It is the intent of the Parties that this Judgment not be admissible in other cases against the Settling Distributors or binding on the Settling Distributors in any respect other than in connection with the enforcement of this Judgment or the Agreements. For the avoidance of doubt, nothing herein shall prohibit a Settling Distributor from entering this Judgment or the Agreements into evidence in any litigation or arbitration concerning (1) a Settling Di provided for by the Agreements and this Judgment. 19. Preservation of Privilege. Nothing contained in the Agreements or this Judgment, and no act required to be performed pursuant to the Agreements or this Judgment, is intended to constitute, cause, or effect any waiver (in whole or in part) of any attorney-client privilege, work product protection, or common interest/joint defense privilege, and each Party agrees that it shall not make or cause to be made in any forum any assertion to the contrary. 20. Mutual Interpretation. The Parties agree and stipulate that the Agreements were -length basis between parties of equal bargaining power and was drafted jointly by counsel for each Party. Accordingly, the Agreements are incorporated herein by reference and shall be mutually interpreted and not construed in favor of or against any Party, except as expressly provided for in the Agreements. 21. Retention of Jurisdiction. The Court shall retain jurisdiction of the Parties for the limited purpose of the resolution of disputes identified in Section VI.F.1 of the Global Agreement. The Court shall have jurisdiction over Participating Subdivisions in the State for the limited purposes identified in the Agreements. 22. Successors and Assigns successors and assigns. 23. Modification. This Judgment shall not be modified (by the Court, by any other court, or by any other means) without the consent of the State and the Settling Distributors, or as provided for in Section XIV.U of the Global Agreement. G-8 So ORDERED this _____ day of _________________ 2022. ____________________________________________ THE HONORABLE JUDGE MICHAEL. R. SCOTT APPROVED, AGREED TO AND PRESENTED BY: VANESSA SORIANO POWER, WSBA No. 30777 JENNA M. POLIGO, WSBA No. 54466 RACHEL C. LEE, WSBA No. 48245 S. JULIA LITTELL, WSBA No. 54106 PER RAMFJORD, pro hac vice G-9 G-10 G-11 DECLARATION OF SERVICE I declare that I caused a copy of the foregoing document to be electronically served using of record. CARDINAL Vanessa S. Power, Atty vanessa.power@stoel.com Jenna Poligo, Atty jenna.poligo@stoel.com Per A. Ramfjord, Atty per.ramfjord@stoel.com Rachel C. Lee, Atty rachel.lee@stoel.com Christopher C. Rifer, Atty christopher.rifer@stoel.com Loryn Helfmann, Atty lhelfmann@wc.com A. Joshua Podoll, Atty apodoll@wc.com Suzanne Salgado, Atty ssalgado@wc.com Neelum J. Wadhwani, Atty nwadhwani@wc.com Paul E. Boehm, Atty pboehm@wc.com Eleanor J. G. Wasserman, Atty ewasserman@wc.com David J. Park, Atty dpark@wc.com Joshua D. Tully, Atty jtully@wc.com Steven Pyser, Atty spyser@wc.com Enu A. Mainigi, Atty emainigi@wc.com Jennifer G. Wicht, Atty jwicht@wc.com Joseph S. Bushur, Atty jbushur@wc.com Colleen McNamara, Atty cmcnamara@wc.com Ashley W. Hardin, Atty ahardin@wc.com J. Andrew Keyes, Atty akeyes@wc.com Emily R. Pistilli, Atty epistilli@wc.com William F. Hawkins, Atty whawkins@wc.com Stoel Docketing docketclerk@stoel.com Leslie Lomax, Legal Assistant leslie.lomax@stoel.com WA Action cardinalwashingtonaction@wc.com MCKESSON Franklin D. Cordell fcordell@gordontilden.com Jeffrey M. Thomas jthomas@gordontilden.com Kasey Huebner khuebner@gordontilden.com Christopher Eppich, Atty ceppich@cov.com Andrew Stanner, Atty astanner@cov.com Kevin Kelly, Atty kkelly@cov.com Amber Charles, Atty acharles@cov.com Meghan Monaghan, Atty mmonaghan@cov.com Isaac Chaput, Atty ichaput@cov.com Daniel Eagles, Atty deagles@cov.com Megan McLaughlin, Atty mmclaughlin@cov.com Devon L. Mobley-Ritter, Atty dmobleyritter@cov.com Megan Rodgers, Atty mrodgers@cov.com Sonya D. Winner, Atty swinner@cov.com Clayton L. Bailey, Atty cbailey@cov.com G-12 James A. Goold, Attyjgoold@cov.com Emily Kveselis, Atty ekveselis@cov.com Paul W. Schmidt, Atty pschmidt@cov.com Alexander Setzepfandt, Atty asetzepfandt@cov.com Christian J. Pistilli, Atty cpistilli@cov.com Lauren Dorris, Atty ldorris@cov.com Nicholas Griepsma, Atty ngriepsma@cov.com Alison DiCiurcio, Atty adiciurcio@cov.com Sara J. Dennis, Atty sdennis@cov.com Phyllis A. Jones, Atty pajones@cov.com Dale A. Rice, Atty drice@cov.com Nicole Antoine, Atty nantoine@cov.com Timothy Hester, Atty thester@cov.com Gregory L. Halperin, Atty ghalperin@cov.com Stephen Petkis, Atty spetkis@cov.com Alice Phillips Atty aphillips@cov.com Ellen Evans, Legal Assistant eevans@gordontilden.com Jacqueline Lucien Legal Assistant jlucien@gordontilden.com Courtney Caryl Garth, Paralegal ccaryl@gordontilden.com Electronic Mailing Inbox mckessonwa@cov.com AMERISOURCEBERGEN Pilar French, Atty frenchp@lanepowell.com John S. Devlin III, Atty devlinj@lanepowell.com Katie Bass, Atty bassk@lanepowell.com Elizabeth Brandon, Atty ebrandon@reedsmith.com Sarah Johansen, Atty sjohansen@reedsmith.com Rachel B. Weil, Atty rweil@reedsmith.com Steven Boranian, Atty sboranian@reedsmith.com Adam D. Brownrout, Atty abrownrout@reedsmith.com Nicole S. Soussan, Atty nsoussan@reedsmith.com Brian T. Himmel, Atty bhimmel@reedsmith.com Shannon E. McClure, Atty smcclure@reedsmith.com Michael J. Salimbene, Atty msalimbene@reedsmith.com Robert A. Nicholas, Atty rnicholas@reedsmith.com Thomas H. Suddath, Jr., Atty tsuddath@reedsmith.com Thomas J. McGarrigle, Atty tmcgarrigle@reedsmith.com Courtland C. Chillingworth, Atty cchillingworth@reedsmith.com Christina M. Vitale, Atty cvitale@reedsmith.com Brian T. Kiolbasa, Atty kiolbasab@lanepowell.com Abigail M. Pierce, Atty abigail.pierce@reedsmith.com Joseph Mahady, Atty jmahady@reedsmith.com Jeffrey R. Melton, Atty jmelton@reedsmith.com Anne E. Rollins, Atty arollins@reedsmith.com Eric J. Buhr, Atty ebuhr@reedsmith.com Brent R. Gary, Atty bgary@reedsmith.com Kim M. Watterson, Atty KWatterson@reedsmith.com Jeffrey M. Weimer, Atty JWeimer@reedsmith.com E-Mailbox Docketing-SEA@lanepowell.com E-Mailbox Docketing-PDX@lanepowell.com E-Mailbox ABDCWA@LanePowell.com G-13 DATED ___ day of ____________________ 2022, at Seattle, Washington. s/ ANDREW R.W. HUGHES, WSBA No. 49515 G-14 ONE WASHINGTON MEMORANDUM OF UNDERSTANDING BETWEEN WASHINGTON MUNICIPALITIES Whereas, the people of the State of Washington and its communities have been harmed by entities within the Pharmaceutical Supply Chain who manufacture, distribute, and dispense prescription opioids; Whereas, certain Local Governments, through their elected representatives and counsel, are engaged in litigation seeking to hold these entities within the Pharmaceutical Supply Chain of prescription opioids accountable for the damage they have caused to the Local Governments; Whereas, Local Governments and elected officials share a common desire to abate and alleviate the impacts of harms caused by these entities within the Pharmaceutical Supply Chain throughout the State of Washington, and strive to ensure that principals of equity and equitable service delivery are factors considered in the allocation and use of Opioid Funds; and Whereas, certain Local Governments engaged in litigation and the other cities and counties in Washington desire to agree on a form of allocation for Opioid Funds they receive from entities within the Pharmaceutical Supply Chain. Now therefore, the Local Governments enter into this Memorandum of Understanding (“MOU”) relating to the allocation and use of the proceeds of Settlements described. A.Definitions As used in this MOU: 1.“Allocation Regions” are the same geographic areas as the existing nine (9) Washington State Accountable Community of Health (ACH) Regions and have the purpose described in Section C below. 2.“Approved Purpose(s)” shall mean the strategies specified and set forth in the Opioid Abatement Strategies attached as Exhibit A. 3.“Effective Date” shall mean the date on which a court of competent jurisdiction enters the first Settlement by order or consent decree. The Parties anticipate that more than one Settlement will be administered according to the terms of this MOU, but that the first entered Settlement will trigger allocation of Opioid Funds in accordance with Section B herein, and the formation of the Opioid Abatement Councils in Section C. 4.“Litigating Local Government(s)” shall mean Local Governments that filed suit against any Pharmaceutical Supply Chain Participant pertaining to the Opioid epidemic prior to September 1, 2020. 1 5.“Local Government(s)” shall mean all counties, cities, and towns within the geographic boundaries of the State of Washington. 6.“National Settlement Agreements” means the national opioid settlement agreements dated July 21, 2021 involving Johnson & Johnson, and distributors AmerisourceBergen, Cardinal Health and McKesson as well as their subsidiaries, affiliates, officers, and directors named in the National Settlement Agreements, including all amendments thereto. 7.“Opioid Funds” shall mean monetary amounts obtained through a Settlement as defined in this MOU. 8.“Opioid Abatement Council” shall have the meaning described in Section C below. 9.“Participating Local Government(s)” shall mean all counties, cities, and towns within the geographic boundaries of the State that have chosen to sign on to this MOU. The Participating Local Governments may be referred to separately in this MOU as “Participating Counties” and “Participating Cities and Towns” (or “Participating Cities or Towns,” as appropriate) or “Parties.” 10.“Pharmaceutical Supply Chain” shall mean the process and channels through which controlled substances are manufactured, marketed, promoted, distributed, and/or dispensed, including prescription opioids. 11.“Pharmaceutical Supply Chain Participant” shall mean any entity that engages in or has engaged in the manufacture, marketing, promotion, distribution, and/or dispensing of a prescription opioid, including any entity that has assisted in any of the above. 12.“Qualified Settlement Fund Account,” or “QSF Account,” shall mean an account set up as a qualified settlement fund, 468b fund, as authorized by Treasury Regulations 1.468B-1(c) (26 CFR §1.468B-1). 13.“Regional Agreements” shall mean the understanding reached by the Participating Local Counties and Cities within an Allocation Region governing the allocation, management, distribution of Opioid Funds within that Allocation Region. 14.“Settlement” shall mean the future negotiated resolution of legal or equitable claims against a Pharmaceutical Supply Chain Participant when that resolution has been jointly entered into by the Participating Local Governments. “Settlement” expressly does not include a plan of reorganization confirmed under Title 11of the United States Code, irrespective of the extent to which Participating Local Governments vote in favor of or otherwise support such plan of reorganization. 2 15.“Trustee” shall mean an independent trustee who shall be responsible for the ministerial task of releasing Opioid Funds from a QSF account to Participating Local Governments as authorized herein and accounting for all payments into or out of the trust. 16.The “Washington State Accountable Communities of Health” or “ACH” shall mean the nine (9) regions described in Section C below. B.Allocation of Settlement Proceeds for Approved Purposes 1.All Opioid Funds shall be held in a QSF and distributed by the Trustee, for the benefit of the Participating Local Governments, only in a manner consistent with this MOU. Distribution of Opioid Funds will be subject to the mechanisms for auditing and reporting set forth below to provide public accountability and transparency. 2.All Opioid Funds, regardless of allocation, shall be utilized pursuant to Approved Purposes as defined herein and set forth in Exhibit A. Compliance with this requirement shall be verified through reporting, as set out in this MOU. 3.The division of Opioid Funds shall first be allocated to Participating Counties based on the methodology utilized for the Negotiation Class in In Re: National Prescription Opiate Litigation, United States District Court for the Northern District of Ohio, Case No. 1:17-md-02804-DAP. The allocation model uses three equally weighted factors: (1) the amount of opioids shipped to the county; (2) the number of opioid deaths that occurred in that county; and (3) the number of people who suffer opioid use disorder in that county. The allocation percentages that result from application of this methodology are set forth in the “County Total” line item in Exhibit B. In the event any county does not participate in this MOU, that county’s percentage share shall be reallocated proportionally amongst the Participating Counties by applying this same methodology to only the Participating Counties. 4.Allocation and distribution of Opioid Funds within each Participating County will be based on regional agreements as described in Section C. C.Regional Agreements 1.For the purpose of this MOU, the regional structure for decision- making related to opioid fund allocation will be based upon the nine (9) pre- defined Washington State Accountable Community of Health Regions (Allocation Regions). Reference to these pre-defined regions is solely for the purpose of 3 drawing geographic boundaries to facilitate regional agreements for use of Opioid Funds. The Allocation Regions are as follows: King County (Single County Region) Pierce County (Single County Region) Olympic Community of Health Region (Clallam, Jefferson, and Kitsap Counties) Cascade Pacific Action Alliance Region (Cowlitz, Grays Harbor, Lewis, Mason, Pacific, Thurston, and Wahkiakum Counties) North Sound Region (Island, San Juan, Skagit, Snohomish, and Whatcom Counties) SouthWest Region (Clark, Klickitat, and Skamania Counties) Greater Columbia Region (Asotin, Benton, Columbia, Franklin, Garfield, Kittitas, Walla Walla, Whitman, and Yakima Counties) Spokane Region (Adams, Ferry, Lincoln, Pend Oreille, Spokane, and Stevens Counties) North Central Region (Chelan, Douglas, Grant, and Okanogan Counties) 2.Opioid Funds will be allocated, distributed and managed within each Allocation Region, as determined by its Regional Agreement as set forth below. If an Allocation Region does not have a Regional Agreement enumerated in this MOU, and does not subsequently adopt a Regional Agreement per Section C.5, the default mechanism for allocation, distribution and management of Opioid Funds described in Section C.4.a will apply. Each Allocation Region must have an OAC whose composition and responsibilities shall be defined by Regional Agreement or as set forth in Section C.4. 3.King County’s Regional Agreement is reflected in Exhibit C to this MOU. 4.All other Allocation Regions that have not specified a Regional Agreement for allocating, distributing and managing Opioid Funds, will apply the following default methodology: a. Opioid Funds shall be allocated within each Allocation Region by taking the allocation for a Participating County from Exhibit B and apportioning those funds between that Participating County and its Participating Cities and Towns. Exhibit B also sets forth the allocation to the Participating Counties and the Participating Cities or Towns within the Counties based on a default allocation formula. As set forth above in Section B.3, to determine the allocation to a county, this formula utilizes: (1) the amount of opioids shipped to the county; (2) the number of opioid deaths that occurred in that county; and (3) the number of people who suffer opioid use disorder in that county. To determine the allocation within a county, the formula utilizes historical federal data showing how the specific Counties and the Cities and Towns within the Counties have 4 made opioids epidemic-related expenditures in the past. This is the same methodology used in the National Settlement Agreements for county and intra-county allocations. A Participating County, and the Cities and Towns within it may enter into a separate intra-county allocation agreement to modify how the Opioid Funds are allocated amongst themselves, provided the modification is in writing and agreed to by all Participating Local Governments in the County. Such an agreement shall not modify any of the other terms or requirements of this MOU. b.10% of the Opioid Funds received by the Region will be reserved, on an annual basis, for administrative costs related to the OAC. The OAC will provide an annual accounting for actual costs and any reserved funds that exceed actual costs will be reallocated to Participating Local Governments within the Region. c.Cities and towns with a population of less than 10,000 shall be excluded from the allocation, with the exception of cities and towns that are Litigating Participating Local Governments. The portion of the Opioid Funds that would have been allocated to a city or town with a population of less than 10,000 that is not a Litigating Participating Local Government shall be redistributed to Participating Counties in the manner directed in C.4.a above. d.Each Participating County, City, or Town may elect to have its share re-allocated to the OAC in which it is located. The OAC will then utilize this share for the benefit of Participating Local Governments within that Allocation Region, consistent with the Approved Purposes set forth in Exhibit A. A Participating Local Government’s election to forego its allocation of Opioid Funds shall apply to all future allocations unless the Participating Local Government notifies its respective OAC otherwise. If a Participating Local Government elects to forego its allocation of the Opioid Funds, the Participating Local Government shall be excused from the reporting requirements set forth in this Agreement. e.Participating Local Governments that receive a direct payment maintain full discretion over the use and distribution of their allocation of Opioid Funds, provided the Opioid Funds are used solely for Approved Purposes. Reasonable administrative costs for a Participating Local Government to administer its allocation of Opioid Funds shall not exceed actual costs or 10% of the Participating Local Government’s allocation of Opioid Funds, whichever is less. f.A Local Government that chooses not to become a Participating Local Government will not receive a direct allocation of Opioid Funds. The portion of the Opioid Funds that would have been allocated to a Local Government that is not a Participating Local Government shall be 5 redistributed to Participating Counties in the manner directed in C.4.a above. g.As a condition of receiving a direct payment, each Participating Local Government that receives a direct payment agrees to undertake the following actions: i. Developing a methodology for obtaining proposals for use of Opioid Funds. ii. Ensuring there is opportunity for community-based input on priorities for Opioid Fund programs and services. iii. Receiving and reviewing proposals for use of Opioid Funds for Approved Purposes. iv. Approving or denying proposals for use of Opioid Funds for Approved Purposes. v. Receiving funds from the Trustee for approved proposals and distributing the Opioid Funds to the recipient. vi. Reporting to the OAC and making publicly available all decisions on Opioid Fund allocation applications, distributions and expenditures. h.Prior to any distribution of Opioid Funds within the Allocation Region, The Participating Local Governments must establish an Opioid Abatement Council (OAC) to oversee Opioid Fund allocation, distribution, expenditures and dispute resolution. The OAC may be a preexisting regional body or may be a new body created for purposes of executing the obligations of this MOU. i.The OAC for each Allocation Region shall be composed of representation from both Participating Counties and Participating Towns or Cities within the Region. The method of selecting members, and the terms for which they will serve will be determined by the Allocation Region’s Participating Local Governments. All persons who serve on the OAC must have work or educational experience pertaining to one or more Approved Uses. j.The Regional OAC will be responsible for the following actions: i. Overseeing distribution of Opioid Funds from Participating Local Governments to programs and services within the Allocation Region for Approved Purposes. 6 ii. Annual review of expenditure reports from Participating Local Jurisdictions within the Allocation Region for compliance with Approved Purposes and the terms of this MOU and any Settlement. iii. In the case where Participating Local Governments chose to forego their allocation of Opioid Funds: (i) Approving or denying proposals by Participating Local Governments or community groups to the OAC for use of Opioid Funds within the Allocation Region. (ii) Directing the Trustee to distribute Opioid Funds for use by Participating Local Governments or community groups whose proposals are approved by the OAC. (iii) Administrating and maintaining records of all OAC decisions and distributions of Opioid Funds. iv. Reporting and making publicly available all decisions on Opioid Fund allocation applications, distributions and expenditures by the OAC or directly by Participating Local Governments. v. Developing and maintaining a centralized public dashboard or other repository for the publication of expenditure data from any Participating Local Government that receives Opioid Funds, and for expenditures by the OAC in that Allocation Region, which it shall update at least annually. vi. If necessary, requiring and collecting additional outcome- related data from Participating Local Governments to evaluate the use of Opioid Funds, and all Participating Local Governments shall comply with such requirements. vii. Hearing complaints by Participating Local Governments within the Allocation Region regarding alleged failure to (1) use Opioid Funds for Approved Purposes or (2) comply with reporting requirements. 5. Participating Local Governments may agree and elect to share, pool, or collaborate with their respective allocation of Opioid Funds in any manner they choose by adopting a Regional Agreement, so long as such sharing, pooling, or collaboration is used for Approved Purposes and complies with the terms of this MOU and any Settlement. 7 6. Nothing in this MOU should alter or change any Participating Local Government’s rights to pursue its own claim. Rather, the intent of this MOU is to join all parties who wish to be Participating Local Governments to agree upon an allocation formula for any Opioid Funds from any future binding Settlement with one or more Pharmaceutical Supply Chain Participants for all Local Governments in the State of Washington. 7. If any Participating Local Government disputes the amount it receives from its allocation of Opioid Funds, the Participating Local Government shall alert its respective OAC within sixty (60) days of discovering the information underlying the dispute. Failure to alert its OAC within this time frame shall not constitute a waiver of the Participating Local Government’s right to seek recoupment of any deficiency in its allocation of Opioid Funds. 8. If any OAC concludes that a Participating Local Government’s expenditure of its allocation of Opioid Funds did not comply with the Approved Purposes listed in Exhibit A, or the terms of this MOU, or that the Participating Local Government otherwise misused its allocation of Opioid Funds, the OAC may take remedial action against the alleged offending Participating Local Government. Such remedial action is left to the discretion of the OAC and may include withholding future Opioid Funds owed to the offending Participating Local Government or requiring the offending Participating Local Government to reimburse improperly expended Opioid Funds back to the OAC to be re-allocated to the remaining Participating Local Governments within that Region. 9. All Participating Local Governments and OAC shall maintain all records related to the receipt and expenditure of Opioid Funds for no less than five (5) years and shall make such records available for review by any other Participating Local Government or OAC, or the public. Records requested by the public shall be produced in accordance with Washington’s Public Records Act RCW 42.56.001 et seq. Records requested by another Participating Local Government or an OAC shall be produced within twenty-one (21) days of the date the record request was received. This requirement does not supplant any Participating Local Government or OAC’s obligations under Washington’s Public Records Act RCW 42.56.001 et seq. D.Payment of Counsel and Litigation Expenses 1.The Litigating Local Governments have incurred attorneys’ fees and litigation expenses relating to their prosecution of claims against the Pharmaceutical Supply Chain Participants, and this prosecution has inured to the benefit of all Participating Local Governments. Accordingly, a Washington 8 Government Fee Fund (“GFF”) shall be established that ensures that all Parties that receive Opioid Funds contribute to the payment of fees and expenses incurred to prosecute the claims against the Pharmaceutical Supply Chain Participants, regardless of whether they are litigating or non-litigating entities. 2.The amount of the GFF shall be based as follows: the funds to be deposited in the GFF shall be equal to 15% of the total cash value of the Opioid Funds. 3.The maximum percentage of any contingency fee agreement permitted for compensation shall be 15% of the portion of the Opioid Funds allocated to the Litigating Local Government that is a party to the contingency fee agreement, plus expenses attributable to that Litigating Local Government. Under no circumstances may counsel collect more for its work on behalf of a Litigating Local Government than it would under its contingency agreement with that Litigating Local Government. 4.Payments from the GFF shall be overseen by a committee (the “Opioid Fee and Expense Committee”) consisting of one representative of the following law firms: (a) Keller Rohrback L.LP.; (b) Hagens Berman Sobol Shapiro LLP; (c) Goldfarb & Huck Roth Riojas, PLLC; and (d) Napoli Shkolnik PLLC. The role of the Opioid Fee and Expense Committee shall be limited to ensuring that the GFF is administered in accordance with this Section. 5.In the event that settling Pharmaceutical Supply Chain Participants do not pay the fees and expenses of the Participating Local Governments directly at the time settlement is achieved, payments to counsel for Participating Local Governments shall be made from the GFF over not more than three years, with 50% paid within 12 months of the date of Settlement and 25% paid in each subsequent year, or at the time the total Settlement amount is paid to the Trustee by the Defendants, whichever is sooner. 6.Any funds remaining in the GFF in excess of: (i) the amounts needed to cover Litigating Local Governments’ private counsel’s representation agreements, and (ii) the amounts needed to cover the common benefit tax discussed in Section C.8 below (if not paid directly by the Defendants in connection with future settlement(s), shall revert to the Participating Local Governments pro rata according to the percentages set forth in Exhibits B, to be used for Approved Purposes as set forth herein and in Exhibit A. 7.In the event that funds in the GFF are not sufficient to pay all fees and expenses owed under this Section, payments to counsel for all Litigating Local Governments shall be reduced on a pro rata basis. The Litigating Local Governments will not be responsible for any of these reduced amounts. 9 8.The Parties anticipate that any Opioid Funds they receive will be subject to a common benefit “tax” imposed by the court in In Re: National Prescription Opiate Litigation, United States District Court for the Northern District of Ohio, Case No. 1:17-md-02804-DAP (“Common Benefit Tax”). If this occurs, the Participating Local Governments shall first seek to have the settling defendants pay the Common Benefit Tax. If the settling defendants do not agree to pay the Common Benefit Tax, then the Common Benefit Tax shall be paid from the Opioid Funds and by both litigating and non-litigating Local Governments. This payment shall occur prior to allocation and distribution of funds to the Participating Local Governments. In the event that GFF is not fully exhausted to pay the Litigating Local Governments’ private counsel’s representation agreements, excess funds in the GFF shall be applied to pay the Common Benefit Tax (if any). E.General Terms 1.If any Participating Local Government believes another Participating Local Government, not including the Regional Abatement Advisory Councils, violated the terms of this MOU, the alleging Participating Local Government may seek to enforce the terms of this MOU in the court in which any applicable Settlement(s) was entered, provided the alleging Participating Local Government first provides the alleged offending Participating Local Government notice of the alleged violation(s) and a reasonable opportunity to cure the alleged violation(s). In such an enforcement action, any alleging Participating Local Government or alleged offending Participating Local Government may be represented by their respective public entity in accordance with Washington law. 2.Nothing in this MOU shall be interpreted to waive the right of any Participating Local Government to seek judicial relief for conduct occurring outside the scope of this MOU that violates any Washington law. In such an action, the alleged offending Participating Local Government, including the Regional Abatement Advisory Councils, may be represented by their respective public entities in accordance with Washington law. In the event of a conflict, any Participating Local Government, including the Regional Abatement Advisory Councils and its Members, may seek outside representation to defend itself against such an action. 3.Venue for any legal action related to this MOU shall be in the court in which the Participating Local Government is located or in accordance with the court rules on venue in that jurisdiction. This provision is not intended to expand the court rules on venue. 4.This MOU may be executed in two or more counterparts, each of which shall be deemed an original, but all of which shall constitute one and the same instrument. The Participating Local Governments approve the use of electronic signatures for execution of this MOU. All use of electronic signatures 10 shall be governed by the Uniform Electronic Transactions Act. The Parties agree not to deny the legal effect or enforceability of the MOU solely because it is in electronic form or because an electronic record was used in its formation. The Participating Local Government agree not to object to the admissibility of the MOU in the form of an electronic record, or a paper copy of an electronic document, or a paper copy of a document bearing an electronic signature, on the grounds that it is an electronic record or electronic signature or that it is not in its original form or is not an original. 5.Each Participating Local Government represents that all procedures necessary to authorize such Participating Local Government’s execution of this MOU have been performed and that the person signing for such Party has been authorized to execute the MOU. \[Remainder of Page Intentionally Left Blank – Signature Pages Follow\] 11 This One Washington Memorandum of Understanding Between Washington Municipalities is signed this _____ day of ___________________, 2022 by: _______________________________________________ Name & Title ___________________________________ On behalf of ____________________________________ 59:5.1142.2685-!w/!3 12 EXHIBIT A O P I O I D A B A T E M E N T S T R A T E G I E S PART ONE: TREATMENT A.TREAT OPIOID USE DISORDER (OUD) Support treatment of Opioid Use Disorder (OUD) and any co-occurring Substance Use Disorder or Mental Health (SUD/MH) conditions, co-usage, and/or co-addiction through evidence-based, evidence-informed, or promising programs or strategies that may include, but are not limited to, the following: 1.Expand availability of treatment for OUD and any co-occurring SUD/MH conditions, co-usage, and/or co-addiction, including all forms of Medication-Assisted Treatment (MAT) approved by the U.S. Food and Drug Administration. 2.Support and reimburse services that include the full American Society of Addiction Medicine (ASAM) continuum of care for OUD and any co-occurring SUD/MH conditions, co-usage, and/or co-addiction, including but not limited to: a.Medication-Assisted Treatment (MAT); b.Abstinence-based treatment; c.Treatment, recovery, or other services provided by states, subdivisions, community health centers; non-for-profit providers; or for-profit providers; d.Treatment by providers that focus on OUD treatment as well as treatment by providers that offer OUD treatment along with treatment for other SUD/MH conditions, co-usage, and/or co-addiction; or e.Evidence-informed residential services programs, as noted below. 3.Expand telehealth to increase access to treatment for OUD and any co-occurring SUD/MH conditions, co-usage, and/or co-addiction, including MAT, as well as counseling, psychiatric support, and other treatment and recovery support services. 4.Improve oversight of Opioid Treatment Programs (OTPs) to assure evidence-based, evidence-informed, or promising practices such as adequate methadone dosing. 5.Support mobile intervention, treatment, and recovery services, offered by qualified professionals and service providers, such as peer recovery coaches, for persons with OUD and any co-occurring SUD/MH conditions, co-usage, and/or co-addiction and for persons who have experienced an opioid overdose. 6.Support treatment of mental health trauma resulting from the traumatic experiences of the opioid user (e.g., violence, sexual assault, human trafficking, or adverse childhood experiences) and family members (e.g., surviving family members after an overdose 1 or overdose fatality), and training of health care personnel to identify and address such trauma. 7.Support detoxification (detox) and withdrawal management services for persons with OUD and any co-occurring SUD/MH conditions, co-usage, and/or co-addiction, including medical detox, referral to treatment, or connections to other services or supports. 8.Support training on MAT for health care providers, students, or other supporting professionals, such as peer recovery coaches or recovery outreach specialists, including telementoring to assist community-based providers in rural or underserved areas. 9.Support workforce development for addiction professionals who work with persons with OUD and any co-occurring SUD/MH conditions, co-usage, and/or co-addiction. 10.Provide fellowships for addiction medicine specialists for direct patient care, instructors, and clinical research for treatments. 11.Provide funding and training for clinicians to obtain a waiver under the federal Drug Addiction Treatment Act of 2000 (DATA 2000) to prescribe MAT for OUD, and provide technical assistance and professional support to clinicians who have obtained a DATA 2000 waiver. 12.Support the dissemination of web-based training curricula, such as the American Academy of Addiction Psychiatry’s Provider Clinical Support Service-Opioids web- based training curriculum and motivational interviewing. 13. Support the development and dissemination of new curricula, such as the American Academy of Addiction Psychiatry’s Provider Clinical Support Service for Medication-Assisted Treatment. B.SUPPORT PEOPLE IN TREATMENT AND RECOVERY Support people in treatment for and recovery from OUD and any co-occurring SUD/MH conditions, co-usage, and/or co-addiction through evidence-based, evidence-informed, or promising programs or strategies that may include, but are not limited to, the following: 1.Provide the full continuum of care of recovery services for OUD and any co-occurring SUD/MH conditions, co-usage, and/or co-addiction, including supportive housing, residential treatment, medical detox services, peer support services and counseling, community navigators, case management, and connections to community-based services. 2.Provide counseling, peer-support, recovery case management and residential treatment with access to medications for those who need it to persons with OUD and any co-occurring SUD/MH conditions, co-usage, and/or co-addiction. 2 3.Provide access to housing for people with OUD and any co-occurring SUD/MH conditions, co-usage, and/or co-addiction, including supportive housing, recovery housing, housing assistance programs, or training for housing providers. 4.Provide community support services, including social and legal services, to assist in deinstitutionalizing persons with OUD and any co-occurring SUD/MH conditions, co- usage, and/or co-addiction. 5.Support or expand peer-recovery centers, which may include support groups, social events, computer access, or other services for persons with OUD and any co-occurring SUD/MH conditions, co-usage, and/or co-addiction. 6.Provide employment training or educational services for persons in treatment for or recovery from OUD and any co-occurring SUD/MH conditions, co-usage, and/or co- addiction. 7.Identify successful recovery programs such as physician, pilot, and college recovery programs, and provide support and technical assistance to increase the number and capacity of high-quality programs to help those in recovery. 8.Engage non-profits, faith-based communities, and community coalitions to support people in treatment and recovery and to support family members in their efforts to manage the opioid user in the family. 9.Provide training and development of procedures for government staff to appropriately interact and provide social and other services to current and recovering opioid users, including reducing stigma. 10.Support stigma reduction efforts regarding treatment and support for persons with OUD, including reducing the stigma on effective treatment. C.CONNECT PEOPLE WHO NEED HELP TO THE HELP THEY NEED (CONNECTIONS TO CARE) Provide connections to care for people who have – or are at risk of developing – OUD and any co-occurring SUD/MH conditions, co-usage, and/or co-addiction through evidence- based, evidence-informed, or promising programs or strategies that may include, but are not limited to, the following: 1.Ensure that health care providers are screening for OUD and other risk factors and know how to appropriately counsel and treat (or refer if necessary) a patient for OUD treatment. 2.Support Screening, Brief Intervention and Referral to Treatment (SBIRT) programs to reduce the transition from use to disorders. 3.Provide training and long-term implementation of SBIRT in key systems (health, schools, colleges, criminal justice, and probation), with a focus on youth and young adults when transition from misuse to opioid disorder is common. 3 4.Purchase automated versions of SBIRT and support ongoing costs of the technology. 5.Support training for emergency room personnel treating opioid overdose patients on post-discharge planning, including community referrals for MAT, recovery case management or support services. 6.Support hospital programs that transition persons with OUD and any co-occurring SUD/MH conditions, co-usage, and/or co-addiction, or persons who have experienced an opioid overdose, into community treatment or recovery services through a bridge clinic or similar approach. 7.Support crisis stabilization centers that serve as an alternative to hospital emergency departments for persons with OUD and any co-occurring SUD/MH conditions, co- usage, and/or co-addiction or persons that have experienced an opioid overdose. 8.Support the work of Emergency Medical Systems, including peer support specialists, to connect individuals to treatment or other appropriate services following an opioid overdose or other opioid-related adverse event. 9.Provide funding for peer support specialists or recovery coaches in emergency departments, detox facilities, recovery centers, recovery housing, or similar settings; offer services, supports, or connections to care to persons with OUD and any co- occurring SUD/MH conditions, co-usage, and/or co-addiction or to persons who have experienced an opioid overdose. 10.Provide funding for peer navigators, recovery coaches, care coordinators, or care managers that offer assistance to persons with OUD and any co-occurring SUD/MH conditions, co-usage, and/or co-addiction or to persons who have experienced on opioid overdose. 11.Create or support school-based contacts that parents can engage with to seek immediate treatment services for their child; and support prevention, intervention, treatment, and recovery programs focused on young people. 12.Develop and support best practices on addressing OUD in the workplace. 13.Support assistance programs for health care providers with OUD. 14.Engage non-profits and the faith community as a system to support outreach for treatment. 15.Support centralized call centers that provide information and connections to appropriate services and supports for persons with OUD and any co-occurring SUD/MH conditions, co-usage, and/or co-addiction. 16.Create or support intake and call centers to facilitate education and access to treatment, prevention, and recovery services for persons with OUD and any co- occurring SUD/MH conditions, co-usage, and/or co-addiction. 4 17.Develop or support a National Treatment Availability Clearinghouse – a multistate/nationally accessible database whereby health care providers can list locations for currently available in-patient and out-patient OUD treatment services that are accessible on a real-time basis by persons who seek treatment. D.ADDRESS THE NEEDS OF CRIMINAL-JUSTICE-INVOLVED PERSONS Address the needs of persons with OUD and any co-occurring SUD/MH conditions, co- usage, and/or co-addiction who are involved – or are at risk of becoming involved – in the criminal justice system through evidence-based, evidence-informed, or promising programs or strategies that may include, but are not limited to, the following: 1.Support pre-arrest or post-arrest diversion and deflection strategies for persons with OUD and any co-occurring SUD/MH conditions, co-usage, and/or co-addiction, including established strategies such as: a.Self-referral strategies such as the Angel Programs or the Police Assisted Addiction Recovery Initiative (PAARI); b.Active outreach strategies such as the Drug Abuse Response Team (DART) model; c.“Naloxone Plus” strategies, which work to ensure that individuals who have received naloxone to reverse the effects of an overdose are then linked to treatment programs or other appropriate services; d.Officer prevention strategies, such as the Law Enforcement Assisted Diversion (LEAD) model; e.Officer intervention strategies such as the Leon County, Florida Adult Civil Citation Network or the Chicago Westside Narcotics Diversion to Treatment Initiative; f.Co-responder and/or alternative responder models to address OUD-related 911 calls with greater SUD expertise and to reduce perceived barriers associated with law enforcement 911 responses; or g.County prosecution diversion programs, including diversion officer salary, only for counties with a population of 50,000 or less. Any diversion services in matters involving opioids must include drug testing, monitoring, or treatment. 2.Support pre-trial services that connect individuals with OUD and any co-occurring SUD/MH conditions, co-usage, and/or co-addiction to evidence-informed treatment, including MAT, and related services. 3.Support treatment and recovery courts for persons with OUD and any co-occurring SUD/MH conditions, co-usage, and/or co-addiction, but only if these courts provide referrals to evidence-informed treatment, including MAT. 5 4.Provide evidence-informed treatment, including MAT, recovery support, or other appropriate services to individuals with OUD and any co-occurring SUD/MH conditions, co-usage, and/or co-addiction who are incarcerated in jail or prison. 5.Provide evidence-informed treatment, including MAT, recovery support, or other appropriate services to individuals with OUD and any co-occurring SUD/MH conditions, co-usage, and/or co-addiction who are leaving jail or prison have recently left jail or prison, are on probation or parole, are under community corrections supervision, or are in re-entry programs or facilities. 6.Support critical time interventions (CTI), particularly for individuals living with dual- diagnosis OUD/serious mental illness, and services for individuals who face immediate risks and service needs and risks upon release from correctional settings. 7.Provide training on best practices for addressing the needs of criminal-justice- involved persons with OUD and any co-occurring SUD/MH conditions, co-usage, and/or co-addiction to law enforcement, correctional, or judicial personnel or to providers of treatment, recovery, case management, or other services offered in connection with any of the strategies described in this section. E.ADDRESS THE NEEDS OF PREGNANT OR PARENTING WOMEN AND THEIR FAMILIES, INCLUDING BABIES WITH NEONATAL ABSTINENCE SYNDROME Address the needs of pregnant or parenting women with OUD and any co-occurring SUD/MH conditions, co-usage, and/or co-addiction, and the needs of their families, including babies with neonatal abstinence syndrome, through evidence-based, evidence-informed, or promising programs or strategies that may include, but are not limited to, the following: 1.Support evidence-based, evidence-informed, or promising treatment, including MAT, recovery services and supports, and prevention services for pregnant women – or women who could become pregnant – who have OUD and any co-occurring SUD/MH conditions, co-usage, and/or co-addiction, and other measures to educate and provide support to families affected by Neonatal Abstinence Syndrome. 2.Provide training for obstetricians or other healthcare personnel that work with pregnant women and their families regarding treatment of OUD and any co-occurring SUD/MH conditions, co-usage, and/or co-addiction. 3.Provide training to health care providers who work with pregnant or parenting women on best practices for compliance with federal requirements that children born with Neonatal Abstinence Syndrome get referred to appropriate services and receive a plan of safe care. 4.Provide enhanced support for children and family members suffering trauma as a result of addiction in the family; and offer trauma-informed behavioral health treatment for adverse childhood events. 6 5.Offer enhanced family supports and home-based wrap-around services to persons with OUD and any co-occurring SUD/MH conditions, co-usage, and/or co-addiction, including but not limited to parent skills training. 6.Support for Children’s Services – Fund additional positions and services, including supportive housing and other residential services, relating to children being removed from the home and/or placed in foster care due to custodial opioid use. PART TWO: PREVENTION F.PREVENT OVER-PRESCRIBING AND ENSURE APPROPRIATE PRESCRIBING AND DISPENSING OF OPIOIDS Support efforts to prevent over-prescribing and ensure appropriate prescribing and dispensing of opioids through evidence-based, evidence-informed, or promising programs or strategies that may include, but are not limited to, the following: 1.Training for health care providers regarding safe and responsible opioid prescribing, dosing, and tapering patients off opioids. 2.Academic counter-detailing to educate prescribers on appropriate opioid prescribing. 3.Continuing Medical Education (CME) on appropriate prescribing of opioids. 4.Support for non-opioid pain treatment alternatives, including training providers to offer or refer to multi-modal, evidence-informed treatment of pain. 5.Support enhancements or improvements to Prescription Drug Monitoring Programs (PDMPs), including but not limited to improvements that: a.Increase the number of prescribers using PDMPs; b.Improve point-of-care decision-making by increasing the quantity, quality, or format of data available to prescribers using PDMPs or by improving the interface that prescribers use to access PDMP data, or both; or c.Enable states to use PDMP data in support of surveillance or intervention strategies, including MAT referrals and follow-up for individuals identified within PDMP data as likely to experience OUD. 6.Development and implementation of a national PDMP – Fund development of a multistate/national PDMP that permits information sharing while providing appropriate safeguards on sharing of private health information, including but not limited to: a.Integration of PDMP data with electronic health records, overdose episodes, and decision support tools for health care providers relating to OUD. 7 b.Ensuring PDMPs incorporate available overdose/naloxone deployment data, including the United States Department of Transportation’s Emergency Medical Technician overdose database. 7.Increase electronic prescribing to prevent diversion or forgery. 8.Educate Dispensers on appropriate opioid dispensing. G.PREVENT MISUSE OF OPIOIDS Support efforts to discourage or prevent misuse of opioids through evidence-based, evidence- informed, or promising programs or strategies that may include, but are not limited to, the following: 1.Corrective advertising or affirmative public education campaigns based on evidence. 2.Public education relating to drug disposal. 3.Drug take-back disposal or destruction programs. 4.Fund community anti-drug coalitions that engage in drug prevention efforts. 5.Support community coalitions in implementing evidence-informed prevention, such as reduced social access and physical access, stigma reduction – including staffing, educational campaigns, support for people in treatment or recovery, or training of coalitions in evidence-informed implementation, including the Strategic Prevention Framework developed by the U.S. Substance Abuse and Mental Health Services Administration (SAMHSA). 6.Engage non-profits and faith-based communities as systems to support prevention. 7.Support evidence-informed school and community education programs and campaigns for students, families, school employees, school athletic programs, parent- teacher and student associations, and others. 8.School-based or youth-focused programs or strategies that have demonstrated effectiveness in preventing drug misuse and seem likely to be effective in preventing the uptake and use of opioids. 9.Support community-based education or intervention services for families, youth, and adolescents at risk for OUD and any co-occurring SUD/MH conditions, co-usage, and/or co-addiction. 10.Support evidence-informed programs or curricula to address mental health needs of young people who may be at risk of misusing opioids or other drugs, including emotional modulation and resilience skills. 11.Support greater access to mental health services and supports for young people, including services and supports provided by school nurses or other school staff, to 8 address mental health needs in young people that (when not properly addressed) increase the risk of opioid or other drug misuse. H.PREVENT OVERDOSE DEATHS AND OTHER HARMS Support efforts to prevent or reduce overdose deaths or other opioid-related harms through evidence-based, evidence-informed, or promising programs or strategies that may include, but are not limited to, the following: 1.Increase availability and distribution of naloxone and other drugs that treat overdoses for first responders, overdose patients, opioid users, families and friends of opioid users, schools, community navigators and outreach workers, drug offenders upon release from jail/prison, or other members of the general public. 2.Provision by public health entities of free naloxone to anyone in the community, including but not limited to provision of intra-nasal naloxone in settings where other options are not available or allowed. 3.Training and education regarding naloxone and other drugs that treat overdoses for first responders, overdose patients, patients taking opioids, families, schools, and other members of the general public. 4.Enable school nurses and other school staff to respond to opioid overdoses, and provide them with naloxone, training, and support. 5.Expand, improve, or develop data tracking software and applications for overdoses/naloxone revivals. 6.Public education relating to emergency responses to overdoses. 7.Public education relating to immunity and Good Samaritan laws. 8.Educate first responders regarding the existence and operation of immunity and Good Samaritan laws. 9.Expand access to testing and treatment for infectious diseases such as HIV and Hepatitis C resulting from intravenous opioid use. 10.Support mobile units that offer or provide referrals to treatment, recovery supports, health care, or other appropriate services to persons that use opioids or persons with OUD and any co-occurring SUD/MH conditions, co-usage, and/or co-addiction. 11.Provide training in treatment and recovery strategies to health care providers, students, peer recovery coaches, recovery outreach specialists, or other professionals that provide care to persons who use opioids or persons with OUD and any co- occurring SUD/MH conditions, co-usage, and/or co-addiction. 12.Support screening for fentanyl in routine clinical toxicology testing. 9 PART THREE: OTHER STRATEGIES I.FIRST RESPONDERS In addition to items C8, D1 through D7, H1, H3, and H8, support the following: 1.Current and future law enforcement expenditures relating to the opioid epidemic. 2.Educate law enforcement or other first responders regarding appropriate practices and precautions when dealing with fentanyl or other drugs. J.LEADERSHIP, PLANNING AND COORDINATION Support efforts to provide leadership, planning, and coordination to abate the opioid epidemic through activities, programs, or strategies that may include, but are not limited to, the following: 1.Community regional planning to identify goals for reducing harms related to the opioid epidemic, to identify areas and populations with the greatest needs for treatment intervention services, or to support other strategies to abate the opioid epidemic described in this opioid abatement strategy list. 2.A government dashboard to track key opioid-related indicators and supports as identified through collaborative community processes. 3.Invest in infrastructure or staffing at government or not-for-profit agencies to support collaborative, cross-system coordination with the purpose of preventing overprescribing, opioid misuse, or opioid overdoses, treating those with OUD and any co-occurring SUD/MH conditions, co-usage, and/or co-addiction, supporting them in treatment or recovery, connecting them to care, or implementing other strategies to abate the opioid epidemic described in this opioid abatement strategy list. 4.Provide resources to staff government oversight and management of opioid abatement programs. K.TRAINING In addition to the training referred to in various items above, support training to abate the opioid epidemic through activities, programs, or strategies that may include, but are not limited to, the following: 1.Provide funding for staff training or networking programs and services to improve the capability of government, community, and not-for-profit entities to abate the opioid crisis. 2.Invest in infrastructure and staffing for collaborative cross-system coordination to prevent opioid misuse, prevent overdoses, and treat those with OUD and any co- occurring SUD/MH conditions, co-usage, and/or co-addiction, or implement other 10 strategies to abate the opioid epidemic described in this opioid abatement strategy list (e.g., health care, primary care, pharmacies, PDMPs, etc.). L.RESEARCH Support opioid abatement research that may include, but is not limited to, the following: 1.Monitoring, surveillance, and evaluation of programs and strategies described in this opioid abatement strategy list. 2.Research non-opioid treatment of chronic pain. 3.Research on improved service delivery for modalities such as SBIRT that demonstrate promising but mixed results in populations vulnerable to opioid use disorders. 4.Research on innovative supply-side enforcement efforts such as improved detection of mail-based delivery of synthetic opioids. 5.Expanded research on swift/certain/fair models to reduce and deter opioid misuse within criminal justice populations that build upon promising approaches used to address other substances (e.g. Hawaii HOPE and Dakota 24/7). 6.Research on expanded modalities such as prescription methadone that can expand access to MAT. 11 EXHIBIT B Local CountyGovernment% Allocation Adams County Adams County0.1638732475% Hatton Lind Othello Ritzville Washtucna County Total:0.1638732475% Asotin County Asotin County0.4694498386% Asotin Clarkston County Total:0.4694498386% Benton County Benton County1.4848831892% Benton City Kennewick0.5415650564% Prosser Richland0.4756779517% West Richland0.0459360490% County Total:2.5480622463% Chelan County Chelan County0.7434914485% Cashmere Chelan Entiat Leavenworth Wenatchee0.2968333494% County Total:1.0403247979% Clallam County Clallam County1.3076983401% Forks Port Angeles0.4598370527% Sequim County Total:1.7675353928% *** - Local Government appears in multiple countiesB-1 EXHIBIT B Local CountyGovernment% Allocation Clark County Clark County4.5149775326% Battle Ground0.1384729857% Camas0.2691592724% La Center Ridgefield Vancouver1.7306605325% Washougal0.1279328220% Woodland*** Yacolt County Total:6.7812031452% Columbia County Columbia County0.0561699537% Dayton Starbuck County Total:0.0561699537% Cowlitz County Cowlitz County1.7226945990% Castle Rock Kalama Kelso0.1331145270% Longview0.6162736905% Woodland*** County Total:2.4720828165% Douglas County Douglas County0.3932175175% Bridgeport Coulee Dam*** East Wenatchee0.0799810865% Mansfield Rock Island Waterville County Total:0.4731986040% Ferry County Ferry County0.1153487994% Republic County Total:0.1153487994% *** - Local Government appears in multiple countiesB-2 EXHIBIT B Local CountyGovernment% Allocation Franklin County Franklin County0.3361237144% Connell Kahlotus Mesa Pasco0.4278056066% County Total:0.7639293210% Garfield County Garfield County0.0321982209% Pomeroy County Total:0.0321982209% Grant County Grant County0.9932572167% Coulee City Coulee Dam*** Electric City Ephrata George Grand Coulee Hartline Krupp Mattawa Moses Lake0.2078293909% Quincy Royal City Soap Lake Warden Wilson Creek County Total:1.2010866076% *** - Local Government appears in multiple countiesB-3 EXHIBIT B Local CountyGovernment% Allocation Grays Harbor County Grays Harbor County0.9992429138% Aberdeen0.2491525333% Cosmopolis Elma Hoquiam McCleary Montesano Oakville Ocean Shores Westport County Total:1.2483954471% Island County Island County0.6820422610% Coupeville Langley Oak Harbor0.2511550431% County Total:0.9331973041% Jefferson County Jefferson County0.4417137380% Port Townsend County Total:0.4417137380% *** - Local Government appears in multiple countiesB-4 EXHIBIT B Local CountyGovernment% Allocation King County King County13.9743722662% Algona Auburn***0.2622774917% Beaux Arts Village Bellevue1.1300592573% Black Diamond Bothell***0.1821602716% Burien0.0270962921% Carnation Clyde Hill Covington0.0118134406% Des Moines0.1179764526% Duvall Enumclaw***0.0537768326% Federal Way0.3061452240% Hunts Point Issaquah0.1876240107% Kenmore0.0204441024% Kent0.5377397676% Kirkland0.5453525246% Lake Forest Park0.0525439124% Maple Valley0.0093761587% Medina Mercer Island0.1751797481% Milton*** Newcastle0.0033117880% Normandy Park North Bend Pacific*** Redmond0.4839486007% Renton0.7652626920% Sammamish0.0224369090% SeaTac0.1481551278% Seattle6.6032403816% Shoreline0.0435834501% Skykomish Snoqualmie0.0649164481% Tukwila0.3032205739% Woodinville0.0185516364% Yarrow Point County Total:26.0505653608% *** - Local Government appears in multiple countiesB-5 EXHIBIT B Local CountyGovernment% Allocation Kitsap County Kitsap County2.6294133668% Bainbridge Island0.1364686014% Bremerton0.6193374389% Port Orchard0.1009497162% Poulsbo0.0773748246% County Total:3.5635439479% Kittitas County Kittitas County0.3855704683% Cle Elum Ellensburg0.0955824915% Kittitas Roslyn South Cle Elum County Total:0.4811529598% Klickitat County Klickitat County0.2211673457% Bingen Goldendale White Salmon County Total:0.2211673457% Lewis County Lewis County1.0777377479% Centralia0.1909990353% Chehalis Morton Mossyrock Napavine Pe Ell Toledo Vader Winlock County Total:1.2687367832% *** - Local Government appears in multiple countiesB-6 EXHIBIT B Local CountyGovernment% Allocation Lincoln County Lincoln County0.1712669645% Almira Creston Davenport Harrington Odessa Reardan Sprague Wilbur County Total:0.1712669645% Mason County Mason County0.8089918012% Shelton0.1239179888% County Total:0.9329097900% Okanogan County Okanogan County0.6145043345% Brewster Conconully Coulee Dam*** Elmer City Nespelem Okanogan Omak Oroville Pateros Riverside Tonasket Twisp Winthrop County Total:0.6145043345% Pacific County Pacific County0.4895416466% Ilwaco Long Beach Raymond South Bend County Total:0.4895416466% *** - Local Government appears in multiple countiesB-7 EXHIBIT B Local CountyGovernment% Allocation Pend Oreille County Pend Oreille County0.2566374940% Cusick Ione Metaline Metaline Falls Newport County Total:0.2566374940% Pierce County Pierce County7.2310164020% Auburn***0.0628522112% Bonney Lake0.1190773864% Buckley Carbonado DuPont Eatonville Edgewood0.0048016791% Enumclaw***0.0000000000% Fife0.1955185481% Fircrest Gig Harbor0.0859963345% Lakewood0.5253640894% Milton*** Orting Pacific*** Puyallup0.3845704814% Roy Ruston South Prairie Steilacoom Sumner0.1083157569% Tacoma3.2816374617% University Place0.0353733363% Wilkeson County Total:12.0345236870% San Juan County San Juan County0.2101495171% Friday Harbor County Total:0.2101495171% *** - Local Government appears in multiple countiesB-8 EXHIBIT B Local CountyGovernment% Allocation Skagit County Skagit County1.0526023961% Anacortes0.1774962906% Burlington0.1146861661% Concrete Hamilton La Conner Lyman Mount Vernon0.2801063665% Sedro-Woolley0.0661146351% County Total:1.6910058544% Skamania County Skamania County0.1631931925% North Bonneville Stevenson County Total:0.1631931925% Snohomish County Snohomish County6.9054415622% Arlington0.2620524080% Bothell***0.2654558588% Brier Darrington Edmonds0.3058936009% Everett1.9258363241% Gold Bar Granite Falls Index Lake Stevens0.1385202891% Lynnwood0.7704629214% Marysville0.3945067827% Mill Creek0.1227939546% Monroe0.1771621898% Mountlake Terrace0.2108935805% Mukilteo0.2561790702% Snohomish0.0861097964% Stanwood Sultan Woodway County Total:11.8213083387% *** - Local Government appears in multiple countiesB-9 EXHIBIT B Local CountyGovernment% Allocation Spokane County Spokane County5.5623859292% Airway Heights Cheney0.1238454349% Deer Park Fairfield Latah Liberty Lake0.0389636519% Medical Lake Millwood Rockford Spangle Spokane3.0872078287% Spokane Valley0.0684217500% Waverly County Total:8.8808245947% Stevens County Stevens County0.7479240179% Chewelah Colville Kettle Falls Marcus Northport Springdale County Total:0.7479240179% Thurston County Thurston County2.3258492094% Bucoda Lacey0.2348627221% Olympia0.6039423385% Rainier Tenino Tumwater0.2065982350% Yelm County Total:3.3712525050% Wahkiakum County Wahkiakum County0.0596582197% Cathlamet County Total:0.0596582197% *** - Local Government appears in multiple countiesB-10 EXHIBIT B Local CountyGovernment% Allocation Walla Walla County Walla Walla County0.5543870294% College Place Prescott Waitsburg Walla Walla0.3140768654% County Total:0.8684638948% Whatcom County Whatcom County1.3452637306% Bellingham0.8978614577% Blaine Everson Ferndale0.0646101891% Lynden0.0827115612% Nooksack Sumas County Total:2.3904469386% Whitman County Whitman County0.2626805837% Albion Colfax Colton Endicott Farmington Garfield LaCrosse Lamont Malden Oakesdale Palouse Pullman0.2214837491% Rosalia St. John Tekoa Uniontown County Total:0.4841643328% *** - Local Government appears in multiple countiesB-11 EXHIBIT B Local CountyGovernment% Allocation Yakima County Yakima County1.9388392959% Grandview0.0530606109% Granger Harrah Mabton Moxee Naches Selah Sunnyside0.1213478384% Tieton Toppenish Union Gap Wapato Yakima0.6060410539% Zillah County Total:2.7192887991% *** - Local Government appears in multiple countiesB-12 CITY OF SPOKANE VALLEY Request for Council Action Meeting Date: August 30, 2022 Department Director Approval: Check all that apply: consent old business new business public hearing information admin. report pending legislation executive session AGENDA ITEM TITLE: Hometown Suites Update GOVERNING LEGISLATION: PREVIOUS COUNCIL ACTION TAKEN: BACKGROUND: Police Chief Ellis will give an update on Hometown Suites OPTIONS: Discussion RECOMMENDED ACTION OR MOTION: Discussion BUDGET/FINANCIAL IMPACTS: n/a STAFF CONTACT: Chief Ellis ATTACHMENTS: PowerPoint DRAFT ADVANCE AGENDA as of August 25, 2022; 11:45 a.m. Please note this is a work in progress; items are tentative To: Council & Staff From: City Clerk, by direction of City Manager Re: Draft Schedule for Upcoming Council Meetings Sept 6, 2022, Study Session, 6:00 p.m. \[due Tue Aug 30\] Proclamation: 9-1-1 Emergency Telephone Systems Day ACTION ITEMS: 1. Second Reading Ordinance 22-014 Street Vacation, ROW Mission to Park (STV-2022-0001) Lori Barlow (10 min) 2. Motio Tony Beattie (10 minutes) NON-ACTION ITEMS: 3. Homeless Program Update Eric Robison et al (45 minutes) 4. Pavement Management Funding Discussion Bill Helbig Adam Jackson (25 minutes) 5. Advance Agenda Mayor Haley (5 minutes) \[*estimated meeting: 95 mins\] Sept 13, 2022, Formal Meeting, 6:00 p.m. \[due Tue Sept 6\] Proclamation: Constitution Week 1. PUBLIC HEARING #1: 2023 Budget: 2023 Revenues, Includes Property Taxes Chelsie Taylor (10 minutes) 2. PUBLIC HEARING: TPA Formation Mike Basinger (15 minutes) 3. First Reading Ordinance 22- 016 Re TPA Formation Mike Basinger (20 minutes) 4. Consent Agenda (claims, payroll, minutes; motion to set Budget Hearing for 10/11) (5 minutes) 5. Admin Report: Advance Agenda Mayor Haley (5 minutes) \[*estimated meeting: 55 mins\] Sept 20, 2022, Study Session, 6:00 p.m. \[due Tue Sept 13\] ACTION ITEM: 1. Second Reading Ordinance 22-016 Re TPA Formation Mike Basinger (10 minutes) NON-ACTION ITEMS: 2. Outside Agency presentations (5 minutes each) Dan Domrese (~110 minutes) 3. Proposed Ordinance Adopting 2023 Property Taxes Chelsie Taylor (10 minutes) 4. Advance Agenda Mayor Haley (5 minutes) \[*estimated meeting: 135 mins\] Sept 27, 2022, Formal Meeting Study Session, 6:00 p.m. \[due Tue Sept 20\] Proclamation: Fire Prevention Week 1. Consent Agenda (claims, payroll, minutes; motion to set Budget Hearing for 10/11) (5 minutes) 2. Admin Report: SCOPE Presentation Chris Conway SCOPE Director (15 minutes) 3. Admin Report: Advance Agenda Mayor Haley (5 minutes) 4. Info Only: Department Monthly Reports October 4, 2022, Study Session, 6:00 p.m. \[due Tue Sept 27\] 1. City Manager Presentation of 2023 Preliminary Budget John Hohman (25 minutes) 2. Advance Agenda Mayor Haley (5 minutes) Oct 11, 2022, Formal Meeting, 6:00 p.m. \[due Tue Oct 4\] 1. PUBLIC HEARING #2: 2023 Budget: Preliminary Budget (10 minutes) 2. First Reading Property Tax Ordinance 22-__ Chelsie Taylor (10 minutes) 3. Consent Agenda (claims, payroll, minutes) (5 minutes) 4. Admin Report: 2022 Budget Amendment Chelsie Taylor (10 minutes) 5. Admin Report: Advance Agenda Mayor Haley (5 minutes) \[*estimated meeting: 40 mins\] Oct 18, 2022, Study Session, 6:00 p.m. \[due Tue Oct 11\] 1. Advance Agenda Mayor Haley (5 minutes) Draft Advance Agenda 8/25/2022 1:34:22 PM Page 1 of 2 Oct 25, 2022, Formal Meeting, 6:00 p.m. \[due Tue Oct 18\] 1. PUBLIC HEARING: 2022 Budget Amendment Chelsie Taylor (5 minutes) 2. First Reading Ordinance 22-__ Amending 2022 Budget Chelsie Taylor (10 minutes) 3. Consent Agenda (claims, payroll, minutes) (5 minutes) 4. Second Reading Property Tax Ordinance 22-___ Chelsie Taylor (10 minutes) 5. First Reading Ordinance 22-___ Adopting 2023 Budget Chelsie Taylor (10 minutes) 6. Motion Consideration: Outside Agency Grant Awards Dan Domrese (10 minutes) 7. Admin Report: Advance Agenda Mayor Haley (5 minutes) 8. Info Only: Department Monthly Reports \[*estimated meeting: 55 mins\] Nov 1, 2022, Study Session, 6:00 p.m. \[due Tue Oct 25\] 1. Advance Agenda Mayor Haley (5 minutes) Nov 8, 2022, Formal Meeting, 6:00 p.m. \[due Tue Nov 1\] 1. PUBLIC HEARING #3: 2023 Budget Chelsie Taylor (5 minutes) 2. Consent Agenda (claims, payroll, minutes) (5 minutes) 3. Second Reading Ordinance 22-___Amending 2022 Budget Chelsie Taylor (10 minutes) 4. Second Reading Ordinance 22-___ Adopting 2023 Budget Chelsie Taylor (10 minutes) 5. Admin Report: LTAC Recommendations to Council Chelsie Taylor (15 minutes) 6. Admin Report: Advance Agenda Mayor Haley (5 minutes) 7. Info Only: Department Monthly Reports \[*estimated meeting: 50 mins\] Nov 15, 2022, Study Session, 6:00 p.m. \[due Tue Nov 8\] 1. Advance Agenda Mayor Haley (5 minutes) Nov 22, 2022, Formal Meeting, 6:00 p.m. \[due Tue Nov 15\] 1. Consent Agenda (claims, payroll, minutes) (5 minutes) 2. Admin Report: 2023 Fee Resolution Chelsie Taylor (10 minutes) 3. Admin Report: Advance Agenda Mayor Haley (5 minutes) 4. Info Only: Department Monthly Reports \[*estimated meeting: mins\] Nov 29, 2022 meeting cancelled Thanksgiving holiday Dec 6, 2022, Study Session, 6:00 p.m. \[due Tue Nov 29\] 1. Advance Agenda Mayor Haley (5 minutes) Dec 13, 2022, Formal Meeting, 6:00 p.m. \[due Tue 6 \] 1. Consent Agenda (claims, payroll, minutes) (5 minutes) 2. Admin Report: Advance Agenda Mayor Haley (5 minutes) Dec 20, 2022, Study Session, 6:00 p.m. \[due Tue Nov 15\] 1. Consent Agenda (claims, payroll, minutes) (5 minutes) 2. Admin Report: Advance Agenda Mayor Haley (5 minutes) 3. Info Only: Department Monthly Reports \[*estimated meeting: mins\] December 27, 2022 meeting likely cancelled due to holidays *time for public or council comments not included OTHER PENDING AND/OR UPCOMING ISSUES/MEETINGS: Appleway Trail Amenities Mirabeau Park Forestry Mgmt. SCRAPS Update Basement space Neighborhood Restoration St. Illumination (owners, cost, location) Castle Park NLC Summit Nov 16-19 St. O&M Pavement Preservation CDBG Interlocal Park Lighting Vehicle Wgt Infrastructure Impact Consolidated Homeless Grant PFD Presentation Water Districts & Green Space Continuum of Care (info item) Property Tax Discussion Way Finding Sign Core Beliefs Resolution Prosecutor Services Gov. Auth. Emergencies (info) Residency Draft Advance Agenda 8/25/2022 1:34:22 PM Page 2 of 2