HomeMy WebLinkAbout001327 Original Contract City of Port Angeles
Record #001327
SETTLEMENT AGREEMENT TO PAY
DELINQUENT/DISPUTED UTILITY BILLS
This Payment Agreement is made between the City of Port Angeles (hereinafter referred
to as the "City") and Jastmar, Inc (dba Bridges Grill, Hi Tech Tan and Speed Klean), a
Washington corporation(hereinafter referred to as "Jastmar").
In consideration for the benefits to be derived from compliance with this Agreement, the
parties recite and covenant as follows:
1. Recitals.
A. The City alleges that Jastmar owes to the City the sum of$48.523.27 for
unpaid utilities, including waste water billed on per fixture waste water
rate. That amount includes interest, penalties, and water leakage charges
in the amount of$28,206.04, This is a difference of$20.317.23.
B. The City alleges that Jastmar is delinquent in payment to the City for
utility services it has furnished to Jastmar and that the City, under both
state law and city ordinance, could now disconnect utility services to
Jastmar.
C. Both parties recognize that disconnection of utility services would cause
Jastmar to immediately halt its business operations and to terminate its
employees. The City and Jastmar agree that this is the final opportunity
for Jastmar to become current with its utility accounts.
2. Agreement compromise and settle.
A. For the purposes of satisfying the delinquent utility charges owed by
Jastmar to the City of Port Angeles and of securing continued utility
services to Jastmar's facilities, Jastmar shall pay to the City a monthly
minimum of $1,257.00 or the current utility charges for that month,
whichever is greater, beginning in January 2018. Jastmar will make the
payments by the due date reflected in each month's billing.
B. On or before December 22, 2017, Steven Bridge, as president of Jastmar,
Inc, will make an appointment with Small Business Development Center
or the Score Advisors to develop a business plan that will include
resolving his outstanding utility charges by January 31, 2021. Mr. Bridge
will present this plan to the City of Port Angeles by January 31, 2018. If
approved by the City, the plan will be attached to this Agreement and
incorporated herein by this reference. Once the plan is complete and
approved by the City, Jastmar agrees to be bound by the terms of the plan
and will complete the requirements of the plan pursuant to the timelines in
the plan.
C. If Mr. Bridge and Jastmar complete the requirements in paragraphs A and
B the City agrees it shall not disconnect utility services to Jastmar's
facilities. The City will also waive the interest, penalties, and water
leakage charges in the amount of$28,206.04.
D. In the event Jastmar fails to timely and fully make any payment required
by paragraphs A or B above, the City may declare this agreement to be
terminated. In that event, the full amount of all charges, interest and
penalties, shall immediately become due and payable; and the City may
disconnect utility services fifteen days after the missed payment and
pursue its legal remedies to collect the sums due.
3. Jastmar agrees to secure this debt by *�g the, City a security interest in
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Jastmar's business equipment, including:,, washing machines, dryers,
and all other business and occupational equipment owned by Jastmar. Jastmar
consents to a simultaneous filing with the Washington State Department of
Licensing of a UCC-1 form that records the City's security interest. Jastmar
warrants that it is the sole and exclusive owner of the described equipment and
has the full right and authority to grant this security interest. Jastmar waives and
agrees not to assert any defenses or offset so the claims stated in A and B above.
4. Entire Agreement.
This Agreement constitutes the entire agreement between the City and Jastmar
and it supersedes all prior communications and proposals, whether electronic,
oral, or written between the City and Jastmar with respect to the delinquency
covered by this Agreement.
IN WITNESS WHEREOF, the City and Jastmar have executed this Agreement as of the
date and year last written below.
CIT0 ORT AN ELES Jastmar, IN
XznLn9 Y:
By: B
Title: C I Title: —rz-4,4111. L "'cn,1""
Date: ta lao Date*
Approved as to form:,",
William E. Bloor, City Attorney
Attest:
fennikr Veneklasen, City Clerk
CADocumcnts and Settings4hosteti'Desktop\PenP)y,Agreement DefinquentUtilityBills 10 12 1 l.wpd
October 11, 2011