2015/07/15 Council Agenda Packet

4. C. Grantee's insurance shall apply separately to each insured against whom a claim is made or lawsuit is brought, except with respect to the limits of the insurer's liability. 6.3.2 ACCEPTABILITY OF INSURERS The insurance obtained by Grantee shall be placed with insurers licensed to do business in the State of Washington with a Best's rating of no less than "A- VII." 6.3.3 VERIFICATION OF COVERAGE The Grantee shall furnish the City with certificates of insurance (ACORD 25-S) and endorsements (ISO CG 2010) or a copy of the page of the policy reflecting blanket additional insured status. The certificates and endorsements for each insurance policy are to be signed by a person authorized by that insurer to bind coverage on its behalf. The City must receive and approve the certificates and endorsements prior to the commencement by Grantee of activities associated with this Franchise, which approval shall not be unreasonably withheld or delayed. The Grantee hereby warrants that its insurance policies" satisfy the requirements of this Franchise and City laws. 6.4 Financial Assurances. A. No later than the Effective Date of this Franchise, Grantee shall establish and provide to the City, as security for the faithful performance by Grantee of all of the provisions of this Franchise, an Assurance in the amount of twenty-five thousand dollars ($25,000.00). B. An Assurance may be drawn upon by the City for purposes including, but not limited to, the following: (1) Failure of Grantee to pay the City sums due under the terms of this Franchise; (2) Reimbursement of costs borne by the City to correct Franchise violations not corrected by Grantee after notice and reasonable opportunity to cure in accordance with Section 11.1 of this Franchise; and (3) Monetary remedies or damages assessed against Grantee due to default or breach of Franchise requirements. C. The City shall jive Grantee iluity (30) days prior written notice of any withdrawal under this subsection. Within seven (7) days following any such withdrawal, Grantee shall restore the Assurance to the amount required under this Franchise. Grantee's maintenance of the Assurance shall not be construed to excuse unfaithful performance by Grantee or to limit the liability of Grantee to the amount of the Assurance or otherwise to limit the City's recourse to any other remedy available at law or equity. D. Grantee shall have the right to appeal to the Chief Financial Officer for reimbursement in the event Grantee believes that the Assurance was drawn upon improperly. Grantee shall also have the right of judicial appeal if Grantee believes the Assurance has not been properly drawn upon in accordance with this Franchise. Any funds the City erroneously or wrongfully withdraws 14 of' 0 27