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HomeMy WebLinkAbout000632 Original Contract City of Port Angeles Record # 000632 AGREEMENT TO SATISFY DELINQUENT UTILITY BILLS This Agreement is made between the City of Port Angeles (hereinafter referred to as the "City") and Serenity House of Clallam County, a not for profit corporation of the state of Washington, (hereinafter referred to as Serenity House). In consideration for the benefits to be derived from compliance with this Agreement, and for the purpose of satisfying the delinquent utility charges owed by Serenity House, the parties recite and covenant as follows: 1. Recitals. A. The City claims that as of August 8, 2013, Serenity House owes to the City the delinquent utility payments in the sum of$99,837.88, plus interest and penalties in the amount of$10,864.34. B. Serenity House acknowledges that it is delinquent in payment to the City for utility services it has furnished to Serenity House and that the City, under both state law and city ordinance, could now disconnect utility services to Serenity House. C. Both parties recognize that disconnection of utility services would cause Serenity House to immediately halt its housing programs, affecting many low-income and homeless individuals within the community. 2. Agreement to pay past due amounts. A. Serenity House agrees to pay in full all utility billings after August 8, 2013 within 30 days of the billing statement date. B. In addition, Serenity House agrees to pay the sum of $99,837.88 as follows: $24,959.47 within 90 days of the date of this Agreement; an additional $24,959.47 within 180 days; an additional $24,959.47 within 270 days; and $24,959.47, the remaining balance within 360 days of the date of this Agreement. C. So long as the payments required by paragraphs A and B above are timely made in full, the City agrees it shall not disconnect utility services to Serenity House. D. The City agrees that it shall accept, as full and complete compromise and satisfaction of the delinquent utility payments now accrued, the payments described in paragraphs A and B above. E. So long as Serenity House remains in good standing with the terms of this Agreement, no additional interest and penalties will accrue. If the payments described in paragraphs A and B above are fully and timely paid, then the City will forgive the interest and penalties in the amount of $10,864.34. F. Time is of the essence of this agreement. In the event Serenity House 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 interest and penalties, calculated as if this Agreement had not been made, shall immediately become due and payable; and the City may disconnect utility services and pursue its legal remedies to collect the sums due. 3. Entire Agreement. This Agreement constitutes the entire agreement between the City and Serenity House and it supersedes all prior communications and proposals, whether electronic, oral, or written between the City and Serenity House with respect to the delinquency covered by this Agreement. IN WITNESS WHEREOF, the City and Serenity House have executed this Agreement as of the date and year last written below. CITY OF PORT ANGELES SERENITY HOUSE By: By: ez"A-%� Title: C+ -, ✓Vlnn G zr Title: J LAV Date: 0 Date: / 2