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2020/12/16 Council Agenda Packet
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2020/12/16 Council Agenda Packet
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Council Agenda Packet
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12/16/2020
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AMEND ` NT NO.3 <br />T'': "° SIT ADVERTISING AGREEMENT <br />BETWEEN THE CITY OF EVERETT <br />AND LAM '` TRANSIT, LLC <br />This Amendment No. 3 is dated for reference purposes December 31, 2020. It is <br />by and between the City of Everett, a municipal corporation under the laws of the State of <br />Washington ("City") and Lamar Transit, LLC ( `Contractor"). <br />RECITALS <br />A. The City and Clear Channel, Inc. were parties to the Transit Advertising <br />Agreement dated August 1 2013. Contractor is successor -in -interest to Clear Channel <br />Inc. pursuant to the assignment dated February 22, 2016, executed by the parties. The <br />Transit Advertising Agreement has been amended by Amendment No. 1 dated April 12, <br />2018, and Amendment No. 2 dated June 30, 2020 (as amended, the ` Agreement"). <br />B. COVID-19 has had a significant impact on the Puget Sound Region and <br />on Contiactor's ability to perform under the Agreement. <br />C. Amendment No. 2 to the Agreement was entered into because of the <br />uncertainty caused by COVID-19. Part of Amendment No. 2 was a modification of the <br />Agreement so that it expires on December 31, 2020, instead of June 30, 2023. <br />D. Now that the parties have some experience operating under COVID-19 <br />conditions, the parties have agreed to amend the Agreement so that it again expires on <br />June 30, 2023. The parties have also made certain agreements regarding compensation <br />for the time period from January 1, 2021 to June 30, 2023, as set forth below. <br />AGREEMENT <br />The City and Contractor agree as follows: <br />1. Effective from January 1, 2021 until June 30, 2023, Section 3 of the Agreement is <br />amended to read as follows: <br />Payment. <br />A. For the time period from January 1, 2021 to June 30, 2021 Contractor <br />hereby agrees to pay to Everett Transit a non-refundable payment of <br />$35 625, which is due January 31, 2021. In addition to the non- <br />refundable payment Contractor will pay Everett Transit fifty-five <br />percent (55%) of all net revenue during such time period that <br />exceeds $64,773. For example if the net revenue during January 1 <br />2021 to June 30, 2021 is $200,000, then the City would receive an <br />additional $74,375, which is equal to ($200,000-$64,773) X 55%. <br />Contractor will make this additional payment no later than July 20, <br />2021. <br />1 <br />
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