Everett Public Facilities District 1/24/2007 Amendment 1

F r F � oCg �� INTERLOCAL AGREEMENT 'er'‘ °�2. BETWEEN THE CITY OF EVERETT AND THE EVERETT PUBLIC FACILITIES DISTRICT AMENDING THE EVENTS CENTER GROUND LEASE This Interlocal Agreement (Agreement) is made and entered into this 241lay of , 2007 by and between the CITY OF EVERETT, a Washington municipal corpora ' n (City) and the EVERETT PUBLIC FACILITIES DISTRICT, a Washington municipal corporation, (District) to assist in the reduction of the Events Center indebtedness. RECITALS WHEREAS, the parties hereto are municipal corporations, are governed by the provisions of Chapter 39.34 RCW, the Interlocal Cooperation Act, and intend to proceed thereunder; and .c«c. WHEREAS, the City by Ordinance No. 2511-01 has created the District, a separate and district municipal corporation; and WHEREAS, the Everett City Council has by Resolution No. 5030 appointed the Board of Directors of the District; and WHEREAS, the Everett City Council on February 13, 2002, authorized the Mayor to sign a Ground Lease with the District; and WHEREAS,the City and District entered into a Ground Lease on February 28, 2002; and WHEREAS, the District, as Lessee, and the City, as Lessor, find that it is in the best interests of both the District and the City to amend the provisions of Article 4, relating to rental payments eliminating certain requirements to pay minimum rental amounts; NOW, THEREFORE, IN CONSIDERATION OF THE MUTUAL COVENANTS HEREINAFTER CONTAINED, THE CITY AND THE DISTRICT AGREE TO AMEND THE FEBRUARY 28, 2002 GROUND LEASE AS FOLLOWS: SECTION 1. Amendment to Article 4, Section 4.1 is amended to read as follows: Section 4.1 Commencement of Rent Payments. For the year commencing on January 1, 2007, and continuing for each year of the Lease Term, Lessee shall pay to the Lessor Rent in an amount equal to fifty percent (50%) of Cash Flow after Permitted Debt