HomeMy WebLinkAbout09/20/2022 06.F. Resolution authorizing an interlocal agreement with the Washington Traffic Safety Commission for funding a Law Enforcement LiaisonB US INE S S O F T HE C I T Y C O UNC I L
YAK I M A, WAS HING T O N
AG E ND A S TAT E M E NT
I tem No. 6.F.
F or Meeting of: S eptember 20, 2022
I T E M T IT L E :Resolution authorizing an interlocal agreement with the Washington
Traffic Safety Commission for funding a L aw Enforcement L iaison
S UB M IT T E D B Y:Matt Murray, Chief of P olice
S UM M ARY E X P L ANAT I O N:
The Washington Traffic Safety Commission provides funding for the L aw Enforcement L iaison
program which provides an opportunity for the Yakima Police Department to work with state and
local organizations in developing and implementing statewide initiatives focused on traffic safety
education and law enforcement. The Washington Traffic Safety Commission will provide funds
not to exceed $3,000 to assist in providing a L aw E nforcement L iaison to collaborate with local
jurisdictions in promoting Target Zero priorities.
I T E M B UD G E T E D:NA
S T RAT E G I C P RI O RI T Y:P ublic S afety
AP P RO V E D F O R S UB M IT TAL B Y T HE C IT Y M ANAG E R
RE C O M M E ND AT I O N:
A dopt resolution.
AT TAC HM E NT S :
Description Upload Date Type
resolution 9/12/2022 Cover Memo
contract 9/8/2022 Contract
1
RESOLUTION NO. R-2022-
A RESOLUTION authorizing an Interlocal Agreement with the Washington Traffic
Safety Commission for funding a Law Enforcement Liaison.
WHEREAS, the Law Enforcement Liaison program provides an opportunity to
work with state and local organizations to develop and implement statewide initiatives
focusing on traffic safety education and law enforcement; and
WHEREAS, the Washington Traffic Safety Commission will provide the funds not
to exceed $3,000 to assist in providing a Law Enforcement Liaison to collaborate with
local jurisdictions in promoting Target Zero, now, therefore,
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF YAKIMA:
The City Manager is hereby authorized and directed to sign the attached and
incorporated Interagency Agreement between the Washington Traffic Safety
Commission and the Yakima Police Department.
ADOPTED BY THE CITY COUNCIL this 20th day of September, 2022.
Janice Deccio, Mayor
ATTEST:
Sonya Claar Tee, City Clerk
2
,17(5$*(1&<$*5((0(17
%(7:((17+(
:DVKLQJWRQ7UDIILF6DIHW\&RPPLVVLRQ
$1'
<DNLPD3ROLFH'HSDUWPHQW
7+,6$*5((0(17LVPDGHDQGHQWHUHGLQWRE\DQGEHWZHHQWKH:DVKLQJWRQ7UDIILF6DIHW\&RPPLVVLRQKHUHLQDIWHUUHIHUUHGWRDV
³:76&´DQG<DNLPD3ROLFH'HSDUWPHQWKHUHLQDIWHUUHIHUUHGWRDV³68%5(&,3,(17´
12:7+(5()25(LQFRQVLGHUDWLRQRIWKHDXWKRULW\SURYLGHGWR:76&LQ5&:DQG5&:WHUPVFRQGLWLRQV
FRYHQDQWVDQGSHUIRUPDQFHFRQWDLQHGKHUHLQRUDWWDFKHGDQGLQFRUSRUDWHGDQGPDGHDSDUWKHUHRIWKHSDUWLHVPXWXDOO\DJUHHDV
IROORZV
385326(2)7+($*5((0(17
7KHSXUSRVHRIWKLV$JUHHPHQWLVWRSURYLGHIXQGLQJSURYLGHGE\WKH8QLWHG6WDWHV'HSDUWPHQWRI7UDQVSRUWDWLRQ86'271DWLRQDO
+LJKZD\7UDIILF6DIHW\$GPLQLVWUDWLRQ1+76$DQGDOORZHGXQGHUWKH$VVLVWDQFH/LVWLQJ&DWDORJRI)HGHUDO'RPHVWLF$VVLVWDQFH
&)'$IRUWUDIILFVDIHW\JUDQWSURMHFW6XEJUDQWV5HJLRQ/(/<DNLPD
3(5,2'2)3(5)250$1&(
7KHSHULRGRISHUIRUPDQFHRIWKLV$JUHHPHQWVKDOOFRPPHQFHXSRQWKHGDWHRIH[HFXWLRQE\ERWKSDUWLHVEXWQRWHDUOLHUWKDQ
2FWREHUDQGUHPDLQLQHIIHFWXQWLO6HSWHPEHUXQOHVVWHUPLQDWHGVRRQHUDVSURYLGHGKHUHLQ
67$7(0(172):25.
7KH68%5(&,3,(17VKDOOFDUU\RXWWKHSURYLVLRQVRIWKHWUDIILFVDIHW\SURMHFWGHVFULEHGKHUHDVWKH6WDWHPHQWRI:RUN62:,I
WKH68%5(&,3,(17LVXQDEOHWRIXOILOOWKH62:LQDQ\PDQQHURQWKLVSURMHFWWKH68%5(&,3,(17PXVWFRQWDFWWKH:76&
SURJUDPPDQDJHULPPHGLDWHO\DQGGLVFXVVDSRWHQWLDODPHQGPHQW$OO)HGHUDODQG6WDWHUHJXODWLRQVZLOODSSO\
6&23(2):25.
3UREOHP,'DQGRU2SSRUWXQLW\
7KH/DZ(QIRUFHPHQW/LDLVRQ/(/SURJUDPSURYLGHVDQRSSRUWXQLW\IRUWKH:76&WRZRUNZLWKORFDOODZHQIRUFHPHQWDJHQFLHVWR
GHYHORSDQGLPSOHPHQWVWDWHZLGHLQLWLDWLYHVIRFXVLQJRQWUDIILFVDIHW\HGXFDWLRQDQGFXOWXUHFKDQJHDWWKHORFDOOHYHO7KHIUHTXHQF\
RIFRQWDFWZLWKORFDOODZHQIRUFHPHQWLVLPSRUWDQWWRKHOSIDFLOLWDWHWKHLUFRRSHUDWLRQLQDFKLHYLQJWKH:DVKLQJWRQ6WDWH7UDIILF6DIHW\
SDJHRI
3
&RPPLVVLRQ¶V:76&PLVVLRQRIEXLOGLQJSDUWQHUVKLSVWRVDYHOLYHVDQGSUHYHQWLQMXULHVRQRXUURDGZD\VIRUWKHKHDOWKVDIHW\
DQGEHQHILWRIRXUFRPPXQLWLHV7KH/(/SURJUDPSURYLGHVWKHFRQGXLWWRPDNHWKRVHFRQQHFWLRQVZKLOHKHOSLQJWKH:76&DQG
ORFDOFRRUGLQDWRUVLPSOHPHQWDJHQF\VWUDWHJLHV
3URMHFW3XUSRVHDQG6WUDWHJLHV
7KHSXUSRVHRIWKLVSURMHFWLVWRLQFUHDVHODZHQIRUFHPHQWSDUWLFLSDWLRQLQWUDIILFVDIHW\HQIRUFHPHQWDQGWRVHUYHDVDUHVRXUFHIRU
ORFDOODZHQIRUFHPHQWDJHQFLHVIRURWKHU:76&VXSSRUWHGSURJUDPPLQJ
7KLVSURMHFWVXSSRUWVWKHHIIHFWLYHQHVVRIPDQ\RWKHU:76&IXQGHGSURMHFWVSDUWLFXODUO\WKRVHWKDWLQYROYHODZHQIRUFHPHQW
DFWLYLW\
352-(&7*2$/62%-(&7,9(6$1'0($685(6
*RDO7KH68%5(&,3,(17ZLOODSSRLQWDFRPPLVVLRQHGRIILFHUZLWKWUDIILFHQIRUFHPHQWH[SHUWLVHDQGLQWHUHVWWRVHUYH
LQWKHUROHRI/DZ(QIRUFHPHQW/LDLVRQ/(/IRUWKH:76&UHJLRQE\2FWREHU
*RDO6XSSRUWWUDIILFVDIHW\DFWLYLWLHVLQWKHUHJLRQE\OHYHUDJLQJUHODWLRQVKLSVDQGFUHGLELOLW\DVDWUDIILFVDIHW\
SURIHVVLRQDO
2EMHFWLYH 2EMHFWLYH'HWDLOV &RPSOHWLRQ'DWH
,GHQWLI\DFRPPLVVLRQHGODZHQIRUFHPHQWRIILFLDOWR
VHUYHLQWKHUROHRI/(/
2EMHFWLYH 2EMHFWLYH'HWDLOV &RPSOHWLRQ'DWH
3URYLGHOHDGHUVKLSWRWKHUHJLRQDOWUDIILFVDIHW\WDVN
IRUFH
/HDGWKHWDVNIRUFHLQFROODERUDWLRQZLWKWKHUHJLRQDO
7DUJHW=HUR0DQDJHU7=0
6XSSRUW7=0LQSODQQLQJDQGH[HFXWLQJ+9(
FDPSDLJQVWKURXJKRXWWKH\HDU
5HFUXLWDJHQFLHVWRSDUWLFLSDWHLQWUDIILFVDIHW\
DFWLYLWLHV
'HYHORSUHODWLRQVKLSVZLWKOHDGHUVLQDOOODZ
HQIRUFHPHQWDJHQFLHVLQ\RXUUHJLRQDQGZRUNWR
UHFUXLWWKHLUSDUWLFLSDWLRQLQWUDIILFVDIHW\HYHQWVVXFK
DV+9(DQGRWKHUJUDQWIXQGHGSURMHFWVGRQHLQWKH
UHJLRQ
5HYLHZDQGSURYLGHIHHGEDFNIRUDFWLYLW\ORJV
/(/VKDYHDFFHVVWRUHYLHZHQIRUFHPHQWDFWLYLW\
XVLQJ:76&¶V:(06RQOLQHJUDQWPDQDJHPHQW
V\VWHP7KH/(/ZLOOSURYLGHIHHGEDFNWR7=0DQG
RIILFHUVLIDFWLYLW\GRHVQ¶WPHHWWDVNIRUFHVWDQGDUGV
SDJHRI
4
*RDO$WWHQGDWOHDVW:76&DSSURYHGWUDLQLQJHYHQWVLQ))<
&203(16$7,21
7KHFRVWRIDFFRPSOLVKLQJWKHZRUNGHVFULEHGLQWKH62:ZLOOQRWH[FHHG3D\PHQWIRUVDWLVIDFWRU\SHUIRUPDQFHRI
WKHZRUNVKDOOQRWH[FHHGWKLVDPRXQWXQOHVVWKHSDUWLHVPXWXDOO\DJUHHWRDKLJKHUDPRXQWLQDZULWWHQ$PHQGPHQWWRWKLV
$JUHHPHQWH[HFXWHGE\ERWKSDUWLHV
,IWKH68%5(&,3,(17LQWHQGVWRFKDUJHLQGLUHFWFRVWVDQ,QGLUHFW&RVW5DWHPXVWEHHVWDEOLVKHGLQDFFRUGDQFHZLWK:76&
SROLFLHVDQGDIHGHUDOO\DSSURYHGFRVWDOORFDWLRQSODQPD\EHUHTXLUHGWREHVXEPLWWHGWRWKH:76&EHIRUHDQ\SHUIRUPDQFHLV
FRQGXFWHGXQGHUWKLV$JUHHPHQW
7KH68%5(&,3,(17PXVWVXEPLWDWUDYHODXWKRUL]DWLRQIRUP$WRUHTXHVWDSSURYDOIRUDQ\WUDYHOQRWGHILQHGLQWKH
VFRSHRIZRUNDQGIRUDOOWUDYHORXWVLGHRIWKHFRQWLQHQWDO8QLWHG6WDWHV6WDWHWUDYHOSROLFLHV6$$0&KDSWHUZRXOGDSSO\
,I:76&PDNHVWUDYHODUUDQJHPHQWVRQEHKDOIRIWKH68%5(&,3,(17VWDWHWUDYHOSROLFLHVPXVWEHIROORZHG6HH
:DVKLQJWRQ6WDWH$GPLQLVWUDWLYH $FFRXQWLQJ0DQXDO6$$0&KDSWHUZKLFKFDQEHREWDLQHGDWWKLVZHEVLWH
KWWSVZZZRIPZDJRYVLWHVGHIDXOWILOHVSXEOLFOHJDF\SROLF\KWP,IIRUDQ\UHDVRQWKLVLQIRUPDWLRQLVQRWDYDLODEOHDWWKLV
0HDVXUH 5HSRUWLQJ
)UHTXHQF\7\SH 7DUJHW
3HUFHQWRIODZHQIRUFHPHQWDJHQFLHVWKDWSDUWLFLSDWHGLQWUDIILFVDIHW\
DFWLYLWLHVLQ))<$QQXDO 2XWFRPH
3HUFHQWRIODZHQIRUFHPHQWDJHQF\OHDGHUVFRQWDFWHGZLWKLQWKHUHJLRQ
DWOHDVWWLPH$QQXDO 3URFHVV
2EMHFWLYH 2EMHFWLYH'HWDLOV &RPSOHWLRQ'DWH
$WWHQGDWOHDVWRQH/(/7UDIILF6DIHW\&KDPSLRQ
HYHQWLQ))<
$WWHQGRWKHUWUDLQLQJHYHQWVWKDWLQFUHDVHWKH/(/¶V
VNLOOVDQGNQRZOHGJHLQWUDIILFVDIHW\DQGOHDGHUVKLS
,WLVFULWLFDOWKDW/(/VKDYHWKHNQRZOHGJHDQGVNLOOV
WREHDWUXVWHGOHDGHULQWUDIILFVDIHW\WRWKHLUSHHUVLQ
WKHUHJLRQ7KH\VKRXOGVHHNWUDLQLQJRSSRUWXQLWLHVWR
VWD\DWWKHFXWWLQJHGJHRIWKHILHOG
3UHDSSURYDOUHTXLUHGWRDWWHQGWUDLQLQJHYHQWV
)RUQRQ:76&OHGWUDLQLQJV/(/ZLOOSURYLGHDQ
DIWHUWUDLQLQJVXPPDU\WKDWGHVFULEHVKRZOHDUQHG
VNLOOVDQGLQIRUPDWLRQZLOOEHXVHGLQWKHILHOG
0HDVXUH 5HSRUWLQJ
)UHTXHQF\7\SH 7DUJHW
1XPEHURIWUDLQLQJHYHQWVDWWHQGHG$QQXDO 3URFHVV
SDJHRI
5
ZHEVLWHFRQWDFWWKH:76&RIILFHDW
:76&ZLOOUHLPEXUVHWUDYHOUHODWHGH[SHQVHVFRQVLVWHQWZLWKWKHZULWWHQWUDYHOSROLFLHVRIWKH68%5(&,3,(17,IQRZULWWHQ
SROLF\H[LVWVVWDWHWUDYHOSROLFLHV6$$0&KDSWHUDSSO\
:76&ZLOORQO\UHLPEXUVHWKH68%5(&,3,(17IRUWUDYHOUHODWHGH[SHQVHVIRUWUDYHOGHILQHGLQWKHVFRSHRIZRUNDQGEXGJHW
RUIRUZKLFKDSSURYDOZDVH[SUHVVO\JUDQWHG7KH68%5(&,3,(17PXVWSURYLGHDSSURSULDWHGRFXPHQWDWLRQUHFHLSWVWRVXSSRUW
UHLPEXUVHPHQWUHTXHVWVLQFOXGLQJWKH$7UDYHO$XWKRUL]DWLRQIRUPLIUHTXLUHG
$Q\HTXLSPHQWWKDWZLOOEHSXUFKDVHGXQGHUWKLVDJUHHPHQWZLWKDSXUFKDVHSULFHRYHUPXVWEHSUHDSSURYHGE\
1+76$SULRUWRSXUFKDVH3UHDSSURYDOPXVWDOVREHJDLQHGLIIXQGLQJIURPWKLVDJUHHPHQWLVXVHGWRSXUFKDVHDSRUWLRQRIDQLWHP
ZLWKDSXUFKDVHSULFHRIRUKLJKHU$SSURYDOIRUWKHVHSXUFKDVHVZLOOEHIDFLOLWDWHGE\:76&:76&ZLOOQRWLI\WKH68%
5(&,3,(17ZKHQDSSURYDOKDVEHHQJDLQHGRUGHQLHG)DLOXUHWRUHFHLYHSUHDSSURYDOZLOOSUHFOXGHUHLPEXUVHPHQW68%
5(&,3,(17ZLOOSURYLGH:76&ZLWKSXUFKDVHSULFHTXRWHPDQXIDFWXUHUGHVFULSWLRQRILWVXVHLQWKHSURMHFWDQGGRFXPHQWDWLRQ
VKRZLQJWKDWLWLVPDGHLQ$PHULFD$Q\HTXLSPHQWSXUFKDVHGZLWK1+76$IXQGVPXVWEHXVHGH[FOXVLYHO\IRUWUDIILFVDIHW\
SXUSRVHVRUWKHFRVWPXVWEHSURUDWHG
$OOHTXLSPHQWPXVWEHLQYHQWRULHGE\WKH68%5(&,3,(177KH68%5(&,3,(17DJUHHVWRPDLQWDLQWKHHTXLSPHQW
FRQWLQXHWRXVHLWIRUSURMHFWSXUSRVHVDQGUHSRUWRQLWVVWDWXVWR:76&HDFK\HDUZKHQSURPSWHG
(TXLSPHQWLVGHILQHGDVDQ\DVVHWZLWKDXVHIXOOLIHJUHDWHUWKDQRQH\HDU$1'DXQLWFRVWRIRUJUHDWHUDQGVPDOODQG
DWWUDFWLYHDVVHWV6PDOODQGDWWUDFWLYHDVVHWVDUHWKHIROORZLQJLIWKH\DXQLWFRVWRIRUPRUH
/DSWRSVDQG1RWHERRN&RPSXWHUV
7DEOHWVDQG6PDUWSKRQHV
6PDOODQGDWWUDFWLYHDVVHWVDOVRLQFOXGHWKHIROORZLQJLIWKH\KDYHDXQLWFRVWRIRUPRUH
2SWLFDO'HYLFHV%LQRFXODUV7HOHVFRSHV,QIUDUHG9LHZHUVDQG5DQJHILQGHUV
&DPHUDVDQG3KRWRJUDSKLF3URMHFWLRQ(TXLSPHQW
'HVNWRS&RPSXWHUV3&V
7HOHYLVLRQ6HWV'9'3OD\HUV%OXUD\3OD\HUVDQG9LGHR&DPHUDVKRPHW\SH
6800$5<2)352-(&7&2676
%8'*(7&$7(*25<'(6&5,37,21 $02817
(PSOR\HHVDODULHVDQGEHQHILWV
7UDYHO
&RQWUDFW6HUYLFHV
*RRGVDQG6HUYLFHV
(TXLSPHQWOLVWHGEHORZ
SDJHRI
6
:76&ZLOOUHLPEXUVH68%5(&,3,(17IRUGHVLJQDWHG/(/¶VZRUNDVIROORZV
+RXUVZRUNHGVHUYLQJDV:76&¶V/(/±6WUDLJKWWLPHFDQEHUHLPEXUVHGDWWKHRIILFHU
VKRXUO\UDWHSOXV$*(1&<
VFRQWULEXWLRQVWR
HPSOR\HHEHQHILWVLQFOXGLQJ),&$0HGLFDUH:RUNHU
V&RPSHQVDWLRQDQG8QHPSOR\PHQW5HLPEXUVHPHQWIRURYHUWLPHZLOOEHSDLG
DWWKHUDWHRIQRWPRUHWKDQWLPHVWKHRIILFHU¶VKRXUO\UDWHSOXV$*(1&<
VFRQWULEXWLRQVWRHPSOR\HHEHQHILWVLQFOXGLQJ),&$
0HGLFDUH:RUNHU¶V&RPSHQVDWLRQDQGXQHPSOR\PHQW$GHVFULSWLRQRIWKHDFWLYLW\PXVWEHGRFXPHQWHGRQWKH$
,QFLGHQWDOFRVWVVXFKDVFRS\LQJSKRQHFDOOVHTXLSPHQWSXUFKDVHVHWFPXVWEHDSSURYHGLQDGYDQFHE\:76&
,IWKH68%5(&,3,(17UHTXHVWVWRVSHQGIXQGVRXWVLGHWKHEXGJHWHGFDWHJRU\SULRUDSSURYDOLVUHTXLUHG7KH68%5(&,3,(17
VKRXOGOHWWKH:76&3URJUDP0DQDJHUNQRZWKH\DUHLQWHUHVWHGLQVSHQGLQJIXQGVLQDGLIIHUHQWFDWHJRU\DQGZULWWHQDSSURYDOZLOO
EHSURYLGHGQRFRVWDGMXVWPHQWQHFHVVDU\
:76&ZLOOUHLPEXUVHWUDYHOH[SHQVHVWR:76&UHTXHVWHGPHHWLQJVRUWUDLQLQJ7KLVZLOORFFXURXWVLGHRIWKH/(/VXSSRUWVHUYLFHV
EXGJHW
$33/,&$%/(67$7($1')('(5$/7(506$1'&21',7,216
$&7,9,7<5(32576
7KH68%5(&,3,(17ZLOOVXEPLWSURJUHVVUHSRUWVRQWKHDFWLYLW\RIWKLVSURMHFWLQWKHIRUPSURYLGHGE\WKH:76&XVLQJWKH:76&
(QWHUSULVH0DQDJHPHQW6\VWHP:(063URJUHVV5HSRUWLQJSURFHVVRURWKHUDOWHUQDWHPHDQVSUHDSSURYHGE\:76&7KH68%
5(&,3,(17ZLOOLQFOXGHFRSLHVRISXEOLFDWLRQVWUDLQLQJUHSRUWVDQGDQ\VWDWLVWLFDOGDWDJHQHUDWHGLQSURMHFWH[HFXWLRQLQWKHUHSRUWV
7KHILQDOUHSRUWZLOOEHVXEPLWWHGWR:76&ZLWKLQGD\VRIWHUPLQDWLRQRIWKLV$JUHHPHQW:76&UHVHUYHVWKHULJKWWRGHOD\WKH
SURFHVVLQJRILQYRLFHVXQWLODFWLYLW\UHSRUWVDUHUHFHLYHGDQGDSSURYHG
$'9$1&(3$<0(176352+,%,7('
1RSD\PHQWVLQDGYDQFHRIRULQDQWLFLSDWLRQRIJRRGVRUVHUYLFHVWREHSURYLGHGXQGHUWKLV$JUHHPHQWVKDOOEHPDGHE\WKH:76&
$*5((0(17$/7(5$7,216$1'$0(1'0(176
7KLV$JUHHPHQWPD\EHDPHQGHGE\PXWXDODJUHHPHQWRIWKHSDUWLHVLQWKHIRUPRIDZULWWHQ$PHQGPHQWWRWKLV$JUHHPHQW6XFK
DPHQGPHQWVVKDOORQO\EHELQGLQJLIWKH\DUHLQZULWLQJDQGVLJQHGE\SHUVRQQHODXWKRUL]HGWRELQGHDFKRIWKHSDUWLHV
$//:5,7,1*6&217$,1('+(5(,1
7KLV$JUHHPHQWFRQWDLQVDOOWKHWHUPVDQGFRQGLWLRQVDJUHHGXSRQE\WKHSDUWLHV1RRWKHUXQGHUVWDQGLQJVRUDORURWKHUZLVH
UHJDUGLQJWKHVXEMHFWPDWWHURIWKLV$JUHHPHQWVKDOOEHGHHPHGWRH[LVWRUWRELQGDQ\RIWKHSDUWLHVKHUHWR
$66,*10(17
7KH68%5(&,3,(17PD\QRWDVVLJQWKHZRUNWREHSURYLGHGXQGHUWKLV$JUHHPHQWLQZKROHRULQSDUWZLWKRXWWKHH[SUHVVSULRU
ZULWWHQFRQVHQWRIWKH:76&ZKLFKFRQVHQWVKDOOQRWEHXQUHDVRQDEO\ZLWKKHOG7KH68%5(&,3,(17VKDOOSURYLGHWKH:76&D
FRS\RIDOOWKLUGSDUW\FRQWUDFWVDQGDJUHHPHQWVHQWHUHGLQWRIRUSXUSRVHVRIIXOILOOLQJWKH62:6XFKWKLUGSDUW\FRQWUDFWVDQG
DJUHHPHQWVPXVWIROORZDSSOLFDEOHIHGHUDOVWDWHDQGORFDOODZLQFOXGLQJEXWQRWOLPLWHGWRSURFXUHPHQWODZUXOHVDQGSURFHGXUHV
,IDQ\RIWKHIXQGVSURYLGHGXQGHUWKLV$JUHHPHQWLQFOXGHIXQGVIURP1+76$VXFKWKLUGSDUW\FRQWUDFWVDQGDJUHHPHQWVPXVW
,QGLUHFW&RVWV
727$/
SDJHRI
7
LQFOXGHWKHIHGHUDOSURYLVLRQVVHWIRUWKLQWKLV$JUHHPHQWLQVHFWLRQVWKURXJK
$77251(<6¶)((6
,QWKHHYHQWRIOLWLJDWLRQRURWKHUDFWLRQEURXJKWWRHQIRUFHWKH$JUHHPHQWWHUPVHDFKSDUW\DJUHHVWREHDULWVRZQDWWRUQH\IHHVDQG
FRVWV
%,//,1*352&('85(
7KH68%5(&,3,(17VKDOOVXEPLWPRQWKO\LQYRLFHVIRUUHLPEXUVHPHQWWR:76&ZLWKVXSSRUWLQJGRFXPHQWDWLRQDV:76&VKDOO
UHTXLUH$OOLQYRLFHVIRUUHLPEXUVHPHQWVKDOOEHVXEPLWWHGWKURXJKWKH:(06LQYRLFLQJSURFHVVRUYLDDOWHUQDWHPHWKRGLIDSSURYHG
E\:76&3D\PHQWWRWKH68%5(&,3,(17IRUDSSURYHGDQGFRPSOHWHGZRUNZLOOEHPDGHE\ZDUUDQWRUDFFRXQWWUDQVIHUE\
:76&ZLWKLQGD\VRIUHFHLSWRIVXFKSURSHUO\GRFXPHQWHGLQYRLFHVDFFHSWDEOHWR:76&8SRQH[SLUDWLRQRIWKH$JUHHPHQWDQ\
FODLPIRUSD\PHQWQRWDOUHDG\PDGHVKDOOEHVXEPLWWHGZLWKLQGD\VDIWHUWKHH[SLUDWLRQGDWHRIWKLV$JUHHPHQW$OOLQYRLFHVIRU
JRRGVUHFHLYHGRUVHUYLFHVSHUIRUPHGRQRUSULRUWR-XQHPXVWEHUHFHLYHGE\:76&QRODWHUWKDQ$XJXVW$OO
LQYRLFHVIRUJRRGVUHFHLYHGRUVHUYLFHVSHUIRUPHGEHWZHHQ-XO\DQG6HSWHPEHUPXVWEHUHFHLYHGE\:76&QR
ODWHUWKDQ1RYHPEHU:76&UHVHUYHVWKHULJKWWRGHOD\WKHSURFHVVLQJRILQYRLFHVXQWLODFWLYLW\UHSRUWVUHTXLUHGE\6HFWLRQ
RIWKLVDJUHHPHQWDUHUHFHLYHGDQGDSSURYHG
&21),'(17,$/,7<6$)(*8$5',1*2),1)250$7,21
7KH68%5(&,3,(17VKDOOQRWXVHRUGLVFORVHDQ\LQIRUPDWLRQFRQFHUQLQJWKH:76&RULQIRUPDWLRQZKLFKPD\EHFODVVLILHGDV
FRQILGHQWLDOIRUDQ\SXUSRVHQRWGLUHFWO\FRQQHFWHGZLWKWKHDGPLQLVWUDWLRQRIWKLV$JUHHPHQWH[FHSWZLWKSULRUZULWWHQFRQVHQWRI
WKH:76&RUDVPD\EHUHTXLUHGE\ODZ
&26735,1&,3/(6
&RVWVLQFXUUHGXQGHUWKLV$JUHHPHQWVKDOODGKHUHWRSURYLVLRQVRI&)53DUW6XESDUW(
&29(1$17$*$,167&217,1*(17)((6
7KH68%5(&,3,(17ZDUUDQWVWKDWLWKDVQRWSDLGDQGDJUHHVQRWWRSD\DQ\ERQXVFRPPLVVLRQEURNHUDJHRUFRQWLQJHQWIHHWR
VROLFLWRUVHFXUHWKLV$JUHHPHQWRUWRREWDLQDSSURYDORIDQ\DSSOLFDWLRQIRUIHGHUDOILQDQFLDODVVLVWDQFHIRUWKLV$JUHHPHQW7KH
:76&VKDOOKDYHWKHULJKWLQWKHHYHQWRIEUHDFKRIWKLVVHFWLRQE\WKH68%5(&,3,(17WRDQQXOWKLV$JUHHPHQWZLWKRXWOLDELOLW\
',6387(6
'LVSXWHVDULVLQJLQWKHSHUIRUPDQFHRIWKLV$JUHHPHQWZKLFKDUHQRWUHVROYHGE\DJUHHPHQWRIWKHSDUWLHVVKDOOEHGHFLGHGLQ
ZULWLQJE\WKH:76&'HSXW\'LUHFWRURUGHVLJQHH7KLVGHFLVLRQVKDOOEHILQDODQGFRQFOXVLYHXQOHVVZLWKLQGD\VIURPWKHGDWHRI
WKH68%5(&,3,(17¶VUHFHLSWRI:76&¶VZULWWHQGHFLVLRQWKH68%5(&,3,(17IXUQLVKHVDZULWWHQDSSHDOWRWKH:76&'LUHFWRU
7KH68%5(&,3,(17¶VDSSHDOVKDOOEHGHFLGHGLQZULWLQJE\WKH'LUHFWRURUGHVLJQHHZLWKLQGD\VRIUHFHLSWRIWKHDSSHDOE\WKH
'LUHFWRU7KHGHFLVLRQVKDOOEHELQGLQJXSRQWKH68%5(&,3,(17DQGWKH68%5(&,3,(17VKDOODELGHE\WKHGHFLVLRQ
3HUIRUPDQFH'XULQJ'LVSXWH8QOHVVRWKHUZLVHGLUHFWHGE\:76&WKH68%5(&,3,(17VKDOOFRQWLQXHSHUIRUPDQFHXQGHU
WKLV$JUHHPHQWZKLOHPDWWHUVLQGLVSXWHDUHEHLQJUHVROYHG
,QWKHHYHQWWKDWHLWKHU3DUW\GHHPVLWQHFHVVDU\WRLQVWLWXWHOHJDODFWLRQRUSURFHHGLQJVWRHQIRUFHDQ\ULJKWRUREOLJDWLRQXQGHU
WKLV$JUHHPHQWWKH3DUWLHVKHUHWRDJUHHWKDWDQ\VXFKDFWLRQRUSURFHHGLQJVVKDOOEHEURXJKWLQWKHVXSHULRUFRXUWVLWXDWHGLQ
7KXUVWRQ&RXQW\:DVKLQJWRQ
*29(51$1&(
7KLV$JUHHPHQWLVHQWHUHGLQWRSXUVXDQWWRDQGXQGHUWKHDXWKRULW\JUDQWHGE\WKHODZVRIWKHVWDWHRI:DVKLQJWRQDQGDQ\
SDJHRI
8
DSSOLFDEOHIHGHUDOODZV7KHSURYLVLRQVRIWKLV$JUHHPHQWVKDOOEHFRQVWUXHGWRFRQIRUPWRWKRVHODZV
,QWKHHYHQWRIDQLQFRQVLVWHQF\LQWKHWHUPVRIWKLV$JUHHPHQWRUEHWZHHQLWVWHUPVDQGDQ\DSSOLFDEOHVWDWXWHRUUXOHWKH
LQFRQVLVWHQF\VKDOOEHUHVROYHGE\JLYLQJSUHFHGHQFHLQWKHIROORZLQJRUGHU
$SSOLFDEOHIHGHUDODQGVWDWHVWDWXWHVDQGUXOHV
7HUPVDQG&RQGLWLRQVRIWKLV$JUHHPHQW
$Q\$PHQGPHQWH[HFXWHGXQGHUWKLV$JUHHPHQW
$Q\62:H[HFXWHGXQGHUWKLV$JUHHPHQW
$Q\RWKHUSURYLVLRQVRIWKH$JUHHPHQWLQFOXGLQJPDWHULDOVLQFRUSRUDWHGE\UHIHUHQFH
,1&20(
$Q\LQFRPHHDUQHGE\WKH68%5(&,3,(17IURPWKHFRQGXFWRIWKH62:HJVDOHRISXEOLFDWLRQVUHJLVWUDWLRQIHHVRUVHUYLFH
FKDUJHVPXVWEHDFFRXQWHGIRUUHSRUWHGWR:76&DQGWKDWLQFRPHPXVWEHDSSOLHGWRSURMHFWSXUSRVHVRUXVHGWRUHGXFHSURMHFW
FRVWV
,1'(01,),&$7,21
7RWKHIXOOHVWH[WHQWSHUPLWWHGE\ODZWKH68%5(&,3,(17VKDOOLQGHPQLI\DQGKROGKDUPOHVVWKH:76&LWVRIILFHUV
HPSOR\HHVDQGDJHQWVDQGSURFHVVDQGGHIHQGDWLWVRZQH[SHQVHDQ\DQGDOOFODLPVGHPDQGVVXLWVDWODZRUHTXLW\DFWLRQV
SHQDOWLHVORVVHVGDPDJHVRUFRVWVRIZKDWVRHYHUNLQG³FODLPV´EURXJKWDJDLQVW:76&DULVLQJRXWRIRULQFRQQHFWLRQZLWKWKLV
$JUHHPHQWDQGRUWKH68%5(&,3,(17¶VSHUIRUPDQFHRUIDLOXUHWRSHUIRUPDQ\DVSHFWRIWKH$JUHHPHQW7KLVLQGHPQLW\SURYLVLRQ
DSSOLHVWRDOOFODLPVDJDLQVW:76&LWVRIILFHUVHPSOR\HHVDQGDJHQWVDULVLQJRXWRILQFRQQHFWLRQZLWKRULQFLGHQWWRWKHDFWVRU
RPLVVLRQVRIWKH68%5(&,3,(17LWVRIILFHUVHPSOR\HHVDJHQWVFRQWUDFWRUVDQGVXEFRQWUDFWRUV3URYLGHGKRZHYHUWKDWQRWKLQJ
KHUHLQVKDOOUHTXLUHWKH68%5(&,3,(17WRLQGHPQLI\DQGKROGKDUPOHVVRUGHIHQGWKH:76&LWVDJHQWVHPSOR\HHVRURIILFHUVWR
WKHH[WHQWWKDWFODLPVDUHFDXVHGE\WKHQHJOLJHQWDFWVRURPLVVLRQVRIWKH:76&LWVRIILFHUVHPSOR\HHVRUDJHQWVDQGSURYLGHG
IXUWKHUWKDWLIVXFKFODLPVUHVXOWIURPWKHFRQFXUUHQWQHJOLJHQFHRIDWKH68%5(&,3,(17LWVRIILFHUVHPSOR\HHVDJHQWV
FRQWUDFWRUVRUVXEFRQWUDFWRUVDQGEWKH:76&LWVRIILFHUVHPSOR\HHVRUDJHQWVRULQYROYHVWKRVHDFWLRQVFRYHUHGE\5&:
WKHLQGHPQLW\SURYLVLRQVSURYLGHGKHUHLQVKDOOEHYDOLGDQGHQIRUFHDEOHRQO\WRWKHH[WHQWRIWKHQHJOLJHQFHRIWKH68%
5(&,3,(17LWVRIILFHUVHPSOR\HHVDJHQWVFRQWUDFWRUVRUVXEFRQWUDFWRUV
7KH68%5(&,3,(17DJUHHVWKDWLWVREOLJDWLRQVXQGHUWKLV6HFWLRQH[WHQGWRDQ\FODLPGHPDQGDQGRUFDXVHRIDFWLRQ
EURXJKWE\RURQEHKDOIRIDQ\RILWVHPSOR\HHVRUDJHQWVLQWKHSHUIRUPDQFHRIWKLVDJUHHPHQW)RUWKLVSXUSRVHWKH68%
5(&,3,(17E\PXWXDOQHJRWLDWLRQKHUHE\ZDLYHVZLWKUHVSHFWWR:76&RQO\DQ\LPPXQLW\WKDWZRXOGRWKHUZLVHEHDYDLODEOHWR
LWDJDLQVWVXFKFODLPVXQGHUWKH,QGXVWULDO,QVXUDQFHSURYLVLRQVFKDSWHU5&:
7KHLQGHPQLILFDWLRQDQGKROGKDUPOHVVSURYLVLRQVKDOOVXUYLYHWHUPLQDWLRQRIWKLV$JUHHPHQW
,1'(3(1'(17&$3$&,7<
7KHHPSOR\HHVRUDJHQWVRIHDFKSDUW\ZKRDUHHQJDJHGLQWKHSHUIRUPDQFHRIWKLV$JUHHPHQWVKDOOFRQWLQXHWREHHPSOR\HHVRU
DJHQWVRIWKDWSDUW\DQGVKDOOQRWEHFRQVLGHUHGIRUDQ\SXUSRVHWREHHPSOR\HHVRUDJHQWVRIWKHRWKHUSDUW\
,1685$1&(&29(5$*(
7KH68%5(&,3,(17VKDOOFRPSO\ZLWKWKHSURYLVLRQVRI7LWOH5&:,QGXVWULDO,QVXUDQFHLIUHTXLUHGE\ODZ
,IWKH68%5(&,3,(17LVQRWUHTXLUHGWRPDLQWDLQLQVXUDQFHLQDFFRUGDQFHZLWK7LWOH5&:SULRUWRWKHVWDUWRIDQ\
SHUIRUPDQFHRIZRUNXQGHUWKLV$JUHHPHQWWKH68%5(&,3,(17VKDOOSURYLGH:76&ZLWKSURRIRILQVXUDQFHFRYHUDJHHJ
SDJHRI
9
YHKLFOHOLDELOLW\LQVXUDQFHSULYDWHSURSHUW\OLDELOLW\LQVXUDQFHRUFRPPHUFLDOSURSHUW\OLDELOLW\LQVXUDQFHDVGHWHUPLQHGDSSURSULDWH
E\:76&ZKLFKSURWHFWVWKH68%5(&,3,(17DQG:76&IURPULVNVDVVRFLDWHGZLWKH[HFXWLQJWKH62:DVVRFLDWHGZLWKWKLV
$JUHHPHQW
/,&(16,1*$&&5(',7$7,21$1'5(*,675$7,21
7KH68%5(&,3,(17VKDOOFRPSO\ZLWKDOODSSOLFDEOHORFDOVWDWHDQGIHGHUDOOLFHQVLQJDFFUHGLWDWLRQDQGUHJLVWUDWLRQUHTXLUHPHQWV
DQGVWDQGDUGVQHFHVVDU\IRUWKHSHUIRUPDQFHRIWKLV$JUHHPHQW7KH68%5(&,3,(17VKDOOFRPSOHWHUHJLVWUDWLRQZLWKWKH
:DVKLQJWRQ6WDWH'HSDUWPHQWRI5HYHQXHLIUHTXLUHGDQGEHUHVSRQVLEOHIRUSD\PHQWRIDOOWD[HVGXHRQSD\PHQWVPDGHXQGHU
WKLV$JUHHPHQW
5(&25'60$,17(1$1&(
'XULQJWKHWHUPRIWKLV$JUHHPHQWDQGIRUVL[\HDUVWKHUHDIWHUWKH68%5(&,3,(17VKDOOPDLQWDLQERRNVUHFRUGV
GRFXPHQWVDQGRWKHUHYLGHQFHWKDWVXIILFLHQWO\DQGSURSHUO\UHIOHFWDOOGLUHFWDQGLQGLUHFWFRVWVH[SHQGHGLQWKHSHUIRUPDQFHRIWKH
VHUYLFHVGHVFULEHGKHUHLQ7KHVHUHFRUGVVKDOOEHVXEMHFWWRLQVSHFWLRQUHYLHZRUDXGLWE\DXWKRUL]HGSHUVRQQHORIWKH:76&WKH
2IILFHRIWKH6WDWH$XGLWRUDQGIHGHUDORIILFLDOVVRDXWKRUL]HGE\ODZ$OOERRNVUHFRUGVGRFXPHQWVDQGRWKHUPDWHULDOUHOHYDQWWR
WKLV$JUHHPHQWZLOOEHUHWDLQHGIRUVL[\HDUVDIWHUH[SLUDWLRQ7KH2IILFHRIWKH6WDWH$XGLWRUIHGHUDODXGLWRUVWKH:76&DQGDQ\
GXO\DXWKRUL]HGUHSUHVHQWDWLYHVVKDOOKDYHIXOODFFHVVDQGWKHULJKWWRH[DPLQHDQ\RIWKHVHPDWHULDOVGXULQJWKLVSHULRG
5HFRUGVDQGRWKHUGRFXPHQWVLQDQ\PHGLXPIXUQLVKHGE\RQHSDUW\WRWKLV$JUHHPHQWWRWKHRWKHUSDUW\ZLOOUHPDLQWKH
SURSHUW\RIWKHIXUQLVKLQJSDUW\XQOHVVRWKHUZLVHDJUHHG7KHUHFHLYLQJSDUW\ZLOOQRWGLVFORVHRUPDNHDYDLODEOHWKLVPDWHULDOWRDQ\
WKLUGSDUWLHVZLWKRXWILUVWJLYLQJQRWLFHWRWKHIXUQLVKLQJSDUW\DQGJLYLQJWKHPDUHDVRQDEOHRSSRUWXQLW\WRUHVSRQG(DFKSDUW\ZLOO
XWLOL]HUHDVRQDEOHVHFXULW\SURFHGXUHVDQGSURWHFWLRQVWRDVVXUHWKDWUHFRUGVDQGGRFXPHQWVSURYLGHGE\WKHRWKHUSDUW\DUHQRW
HUURQHRXVO\GLVFORVHGWRWKLUGSDUWLHV
5,*+72),163(&7,21
7KH68%5(&,3,(17VKDOOSURYLGHULJKWRIDFFHVVWRLWVIDFLOLWLHVWRWKH:76&RUDQ\RILWVRIILFHUVRUWRDQ\RWKHUDXWKRUL]HGDJHQW
RURIILFLDORIWKHVWDWHRI:DVKLQJWRQRUWKHIHGHUDOJRYHUQPHQWDWDOOUHDVRQDEOHWLPHVLQRUGHUWRPRQLWRUDQGHYDOXDWH
SHUIRUPDQFHFRPSOLDQFHDQGRUTXDOLW\DVVXUDQFHXQGHUWKLV$JUHHPHQW7KH68%5(&,3,(17VKDOOPDNHDYDLODEOHLQIRUPDWLRQ
QHFHVVDU\IRU:76&WRFRPSO\ZLWKWKHULJKWWRDFFHVVDPHQGDQGUHFHLYHDQDFFRXQWLQJRIGLVFORVXUHVRIWKHLU3HUVRQDO
,QIRUPDWLRQDFFRUGLQJWRWKH+HDOWK,QVXUDQFH3RUWDELOLW\DQG$FFRXQWDELOLW\$FWRI+,3$$RUDQ\UHJXODWLRQVHQDFWHGRU
UHYLVHGSXUVXDQWWRWKH+,3$$SURYLVLRQVDQGDSSOLFDEOHSURYLVLRQVRI:DVKLQJWRQ6WDWHODZ7KH68%5(&,3,(17VKDOOXSRQ
UHTXHVWPDNHDYDLODEOHWRWKH:76&DQGWKH8QLWHG6WDWHV6HFUHWDU\RIWKH'HSDUWPHQWRI+HDOWKDQG+XPDQ6HUYLFHVDOOLQWHUQDO
SROLFLHVDQGSURFHGXUHVERRNVDQGUHFRUGVUHODWLQJWRWKHVDIHJXDUGLQJXVHDQGGLVFORVXUHRI3HUVRQDO,QIRUPDWLRQREWDLQHGRU
XVHGDVDUHVXOWRIWKLV$JUHHPHQW
5,*+76,1'$7$
:76&DQG68%5(&,3,(17DJUHHWKDWDOOGDWDDQGZRUNSURGXFWVFROOHFWLYHO\FDOOHG³:RUN3URGXFW´SXUVXDQWWRWKLV
$JUHHPHQWVKDOOEHFRQVLGHUHGZRUNVPDGHIRUKLUHXQGHUWKH86&RS\ULJKW$FW86&HWVHTDQGVKDOOEHRZQHGE\WKH
VWDWHRI:DVKLQJWRQ:RUN3URGXFWLQFOXGHVEXWLVQRWOLPLWHGWRUHSRUWVGRFXPHQWVSDPSKOHWVDGYHUWLVHPHQWERRNVPDJD]LQHV
VXUYH\VVWXGLHVFRPSXWHUSURJUDPVILOPVWDSHVVRXQGUHSURGXFWLRQVGHVLJQVSODQVGLDJUDPVGUDZLQJVVRIWZDUHDQGRU
GDWDEDVHVWRWKHH[WHQWSURYLGHGE\ODZ2ZQHUVKLSLQFOXGHVWKHULJKWWRFRS\ULJKWUHJLVWHUWKHFRS\ULJKWGLVWULEXWHSUHSDUH
GHULYDWLYHZRUNVSXEOLFO\SHUIRUPSXEOLFO\GLVSOD\DQGWKHDELOLW\WRRWKHUZLVHXVHDQGWUDQVIHUWKHVHULJKWV
,IIRUDQ\UHDVRQWKH:RUN3URGXFWZRXOGQRWEHFRQVLGHUHGDZRUNPDGHIRUKLUHXQGHUDSSOLFDEOHODZWKH68%5(&,3,(17
DVVLJQVDQGWUDQVIHUVWR:76&WKHHQWLUHULJKWWLWOHDQGLQWHUHVWLQDQGWRDOOULJKWVLQWKH:RUN3URGXFWDQGDQ\UHJLVWUDWLRQVDQG
FRS\ULJKWDSSOLFDWLRQVUHODWLQJWKHUHWRDQGDQ\UHQHZDOVDQGH[WHQVLRQVWKHUHRI
SDJHRI
10
7KH68%5(&,3,(17PD\SXEOLVKDWLWVRZQH[SHQVHWKHUHVXOWVRISURMHFWDFWLYLWLHVZLWKRXWSULRUUHYLHZE\WKH:76&
SURYLGHGWKDWDQ\SXEOLFDWLRQVZULWWHQYLVXDORUVRXQGFRQWDLQDFNQRZOHGJPHQWRIWKHVXSSRUWSURYLGHGE\1+76$DQGWKH
:76&$Q\GLVFRYHU\RULQYHQWLRQGHULYHGIURPZRUNSHUIRUPHGXQGHUWKLVSURMHFWVKDOOEHUHIHUUHGWRWKH:76&ZKRZLOO
GHWHUPLQHWKURXJK1+76$ZKHWKHUSDWHQWSURWHFWLRQVZLOOEHVRXJKWKRZDQ\ULJKWVZLOOEHDGPLQLVWHUHGDQGRWKHUDFWLRQV
UHTXLUHGWRSURWHFWWKHSXEOLFLQWHUHVW
6$9,1*6
,QWKHHYHQWIXQGLQJIURPVWDWHIHGHUDORURWKHUVRXUFHVLVZLWKGUDZQUHGXFHGRUOLPLWHGLQDQ\ZD\DIWHUWKHHIIHFWLYHGDWHRIWKLV
$JUHHPHQWDQGSULRUWRFRPSOHWLRQRIWKH62:XQGHUWKLV$JUHHPHQWWKH:76&PD\WHUPLQDWHWKH$JUHHPHQWXQGHUWKH
7(50,1$7,21)25&219(1,(1&(FODXVHZLWKRXWWKHGD\QRWLFHUHTXLUHPHQW7KH$JUHHPHQWLVVXEMHFWWRUHQHJRWLDWLRQDW
WKH:76&¶VGLVFUHWLRQXQGHUDQ\QHZIXQGLQJOLPLWDWLRQVRUFRQGLWLRQV
6(9(5$%,/,7<
,IDQ\SURYLVLRQRIWKLV$JUHHPHQWRUDQ\SURYLVLRQRIDQ\GRFXPHQWLQFRUSRUDWHGE\UHIHUHQFHVKDOOEHKHOGLQYDOLGVXFKLQYDOLGLW\
VKDOOQRWDIIHFWWKHRWKHUSURYLVLRQVRIWKLV$JUHHPHQWZKLFKFDQEHJLYHQHIIHFWZLWKRXWWKHLQYDOLGSURYLVLRQLIVXFKUHPDLQGHU
FRQIRUPVWRWKHUHTXLUHPHQWVRIDSSOLFDEOHODZDQGWKHIXQGDPHQWDOSXUSRVHRIWKLV$JUHHPHQWDQGWRWKLVHQGWKHSURYLVLRQVRI
WKLV$JUHHPHQWDUHGHFODUHGWREHVHYHUDEOH
6,7(6(&85,7<
:KLOHRQ:76&SUHPLVHVWKH68%5(&,3,(17LWVDJHQWVHPSOR\HHVRUVXEFRQWUDFWRUVVKDOOFRQIRUPLQDOOUHVSHFWVZLWKDOO
:76&SK\VLFDOILUHRURWKHUVHFXULW\SROLFLHVDQGDSSOLFDEOHUHJXODWLRQV
7$;(6
$OOSD\PHQWVRISD\UROOWD[HVXQHPSOR\PHQWFRQWULEXWLRQVDQ\RWKHUWD[HVLQVXUDQFHRURWKHUVXFKH[SHQVHVIRUWKH68%
5(&,3,(17RULWVVWDIIVKDOOEHWKHVROHUHVSRQVLELOLW\RIWKH68%5(&,3,(17
7(50,1$7,21)25&$86(
,IWKH68%5(&,3,(17GRHVQRWIXOILOOLQDWLPHO\DQGSURSHUPDQQHULWVREOLJDWLRQVXQGHUWKLV$JUHHPHQWRUYLRODWHVDQ\RIWKHVH
WHUPVDQGFRQGLWLRQVWKH:76&ZLOOJLYHWKH68%5(&,3,(17ZULWWHQQRWLFHRIVXFKIDLOXUHRUYLRODWLRQDQGPD\WHUPLQDWHWKLV
$JUHHPHQWLPPHGLDWHO\$WWKH:76&¶VGLVFUHWLRQWKH68%5(&,3,(17PD\EHJLYHQGD\VWRFRUUHFWWKHYLRODWLRQRUIDLOXUH,Q
WKHHYHQWWKDWWKH68%5(&,3,(17LVJLYHQWKHRSSRUWXQLW\WRFRUUHFWWKHYLRODWLRQDQGWKHYLRODWLRQLVQRWFRUUHFWHGZLWKLQWKH
GD\SHULRGWKLV$JUHHPHQWPD\EHWHUPLQDWHGDWWKHHQGRIWKDWSHULRGE\ZULWWHQQRWLFHRIWKH:76&
7(50,1$7,21)25&219(1,(1&(
([FHSWDVRWKHUZLVHSURYLGHGLQWKLV$JUHHPHQWHLWKHUSDUW\PD\WHUPLQDWHWKLV$JUHHPHQWZLWKRXWFDXVHRUUHDVRQZLWKGD\V
ZULWWHQQRWLFHWRWKHRWKHUSDUW\,IWKLV$JUHHPHQWLVVRWHUPLQDWHGWKH:76&VKDOOEHOLDEOHRQO\IRUSD\PHQWUHTXLUHGXQGHUWKH
WHUPVRIWKLV$JUHHPHQWIRUVHUYLFHVUHQGHUHGRUJRRGVGHOLYHUHGSULRUWRWKHHIIHFWLYHGDWHRIWHUPLQDWLRQ
75($70(172)$66(76
7LWOHWRDOOSURSHUW\IXUQLVKHGE\WKH:76&VKDOOUHPDLQSURSHUW\RIWKH:76&7LWOHWRDOOSURSHUW\IXUQLVKHGE\WKH68%
5(&,3,(17IRUWKHFRVWRIZKLFKWKH68%5(&,3,(17LVHQWLWOHGWREHUHLPEXUVHGDVDGLUHFWLWHPRIFRVWXQGHUWKLV$JUHHPHQW
VKDOOSDVVWRDQGYHVWLQWKH:76&XSRQGHOLYHU\RIVXFKSURSHUW\E\WKH68%5(&,3,(177LWOHWRRWKHUSURSHUW\WKHFRVWRIZKLFK
LVUHLPEXUVDEOHWRWKH68%5(&,3,(17XQGHUWKLV$JUHHPHQWVKDOOSDVVWRDQGYHVWLQWKH:76&XSRQLLVVXDQFHIRUXVHRIVXFK
SURSHUW\LQWKHSHUIRUPDQFHRIWKLV$JUHHPHQWRULLFRPPHQFHPHQWRIXVHRIVXFKSURSHUW\LQWKHSHUIRUPDQFHRIWKLV$JUHHPHQW
RULLLUHLPEXUVHPHQWRIWKHFRVWWKHUHRIE\WKH:76&LQZKROHRULQSDUWZKLFKHYHUILUVWRFFXUV
SDJHRI
11
$Q\SURSHUW\RIWKH:76&IXUQLVKHGWRWKH68%5(&,3,(17VKDOOXQOHVVRWKHUZLVHSURYLGHGKHUHLQRUDSSURYHGE\WKH
:76&EHXVHGRQO\IRUWKHSHUIRUPDQFHRIWKLV$JUHHPHQW
7KH68%5(&,3,(17VKDOOEHUHVSRQVLEOHIRUDQ\ORVVRUGDPDJHWRSURSHUW\RIWKH:76&ZKLFKUHVXOWVIURPWKHQHJOLJHQFH
RIWKH68%5(&,3,(17RUZKLFKUHVXOWVIURPWKHIDLOXUHRQWKHSDUWRIWKH68%5(&,3,(17WRPDLQWDLQDQGDGPLQLVWHUWKDWSURSHUW\
LQDFFRUGDQFHZLWKVRXQGPDQDJHPHQWSUDFWLFHV
,IDQ\:76&SURSHUW\LVORVWGHVWUR\HGRUGDPDJHGWKH68%5(&,3,(17VKDOOLPPHGLDWHO\QRWLI\WKH:76&DQGVKDOOWDNH
DOOUHDVRQDEOHVWHSVWRSURWHFWWKHSURSHUW\IURPIXUWKHUGDPDJH
7KH68%5(&,3,(17VKDOOVXUUHQGHUWRWKH:76&DOOSURSHUW\RIWKH:76&XSRQFRPSOHWLRQWHUPLQDWLRQRUFDQFHOODWLRQRI
WKLV$JUHHPHQW
$OOUHIHUHQFHWRWKH68%5(&,3,(17XQGHUWKLVFODXVHVKDOODOVRLQFOXGH68%5(&,3,(17
VHPSOR\HHVDJHQWVRUVXE
FRQWUDFWRUV
:$,9(5
$IDLOXUHE\HLWKHUSDUW\WRH[HUFLVHLWVULJKWVXQGHUWKLV$JUHHPHQWVKDOOQRWSUHFOXGHWKDWSDUW\IURPVXEVHTXHQWH[HUFLVHRIVXFK
ULJKWVDQGVKDOOQRWFRQVWLWXWHDZDLYHURIDQ\RWKHUULJKWVXQGHUWKLV$JUHHPHQW
$33/,&$%/(&(57,),&$7,216$1'$6685$1&(6)25+,*+:$<6$)(7<*5$176&)53$57$33(1',;$
%8<$0(5,&$$&7
7KH68%5(&,3,(17ZLOOFRPSO\ZLWKWKH%X\$PHULFDUHTXLUHPHQW86&ZKHQSXUFKDVLQJLWHPVXVLQJIHGHUDOIXQGV
%X\$PHULFDUHTXLUHVWKH68%5(&,3,(17WRSXUFKDVHRQO\VWHHOLURQDQGPDQXIDFWXUHGSURGXFWVSURGXFHGLQWKH8QLWHG6WDWHV
XQOHVVWKH6HFUHWDU\RI7UDQVSRUWDWLRQGHWHUPLQHVWKDWVXFKGRPHVWLFDOO\SURGXFHGLWHPVZRXOGEHLQFRQVLVWHQWZLWKWKHSXEOLF
LQWHUHVWWKDWVXFKPDWHULDOVDUHQRWUHDVRQDEO\DYDLODEOHDQGRIDVDWLVIDFWRU\TXDOLW\RUWKDWLQFOXVLRQRIGRPHVWLFPDWHULDOVZLOO
LQFUHDVHWKHFRVWRIWKHRYHUDOOSURMHFWFRQWUDFWE\PRUHWKDQSHUFHQW,QRUGHUWRXVHIHGHUDOIXQGVWRSXUFKDVHIRUHLJQSURGXFHG
LWHPVWKH:76&PXVWVXEPLWDZDLYHUUHTXHVWWKDWSURYLGHVDQDGHTXDWHEDVLVDQGMXVWLILFDWLRQDQGZKLFKLVDSSURYHGE\WKH
6HFUHWDU\RI7UDQVSRUWDWLRQ
'(%$50(17$1'6863(16,21
,QVWUXFWLRQVIRU/RZHU7LHU&HUWLILFDWLRQ
%\VLJQLQJWKLV$JUHHPHQWWKH68%5(&,3,(17KHUHLQDIWHULQWKLVVHFWLRQUHIHUUHGWRDVWKH³ORZHUWLHUSDUWLFLSDQW´LV
SURYLGLQJWKHFHUWLILFDWLRQVHWRXWEHORZDQGDJUHHVWRFRPSO\ZLWKWKHUHTXLUHPHQWVRI&)5SDUWDQG&)5SDUW
7KHFHUWLILFDWLRQLQWKLVVHFWLRQLVDPDWHULDOUHSUHVHQWDWLRQRIIDFWXSRQZKLFKUHOLDQFHZDVSODFHGZKHQWKLVWUDQVDFWLRQZDV
HQWHUHGLQWR,ILWLVODWHUGHWHUPLQHGWKDWWKHORZHUWLHUSDUWLFLSDQWNQRZLQJO\UHQGHUHGDQHUURQHRXVFHUWLILFDWLRQLQDGGLWLRQWRRWKHU
UHPHGLHVDYDLODEOHWRWKHIHGHUDOJRYHUQPHQWWKHGHSDUWPHQWRUDJHQF\ZLWKZKLFKWKLVWUDQVDFWLRQRULJLQDWHGPD\SXUVXHDYDLODEOH
UHPHGLHVLQFOXGLQJVXVSHQVLRQDQGRUGHEDUPHQW
7KHORZHUWLHUSDUWLFLSDQWVKDOOSURYLGHLPPHGLDWHZULWWHQQRWLFHWRWKH:76&LIDWDQ\WLPHWKHORZHUWLHUSDUWLFLSDQWOHDUQVWKDW
LWVFHUWLILFDWLRQZDVHUURQHRXVZKHQVXEPLWWHGRUKDVEHFRPHHUURQHRXVE\UHDVRQRIFKDQJHGFLUFXPVWDQFHV
7KHWHUPVFRYHUHGWUDQVDFWLRQGHEDUPHQWVXVSHQVLRQLQHOLJLEOHORZHUWLHUSDUWLFLSDQWSHUVRQSULPDU\WLHUSULQFLSDODQG
YROXQWDULO\H[FOXGHGDVXVHGLQWKLVFODXVHKDYHWKHPHDQLQJVVHWRXWLQWKH'HILQLWLRQVDQG&RYHUHG7UDQVDFWLRQVVHFWLRQVRI
SDJHRI
12
&)5SDUW
7KHORZHUWLHUSDUWLFLSDQWDJUHHVE\VLJQLQJWKLV$JUHHPHQWWKDWLWVKDOOQRWNQRZLQJO\HQWHULQWRDQ\ORZHUWLHUFRYHUHG
WUDQVDFWLRQZLWKDSHUVRQZKRLVSURSRVHGIRUGHEDUPHQWXQGHU&)5SDUWVXESDUWGHEDUUHGVXVSHQGHGGHFODUHG
LQHOLJLEOHRUYROXQWDULO\H[FOXGHGIURPSDUWLFLSDWLRQLQWKLVFRYHUHGWUDQVDFWLRQXQOHVVDXWKRUL]HGE\1+76$
7KHORZHUWLHUSDUWLFLSDQWIXUWKHUDJUHHVE\VLJQLQJWKLV$JUHHPHQWWKDWLWZLOOLQFOXGHWKHFODXVHWLWOHG³,QVWUXFWLRQVIRU/RZHU
7LHU&HUWLILFDWLRQ´LQFOXGLQJWKH³&HUWLILFDWLRQ5HJDUGLQJ'HEDUPHQW6XVSHQVLRQ,QHOLJLELOLW\DQG9ROXQWDU\([FOXVLRQ/RZHU7LHU
&RYHUHG7UDQVDFWLRQ´ZLWKRXWPRGLILFDWLRQLQDOOORZHUWLHUFRYHUHGWUDQVDFWLRQVDQGLQDOOVROLFLWDWLRQVIRUORZHUWLHUFRYHUHG
WUDQVDFWLRQVDQGZLOOUHTXLUHORZHUWLHUSDUWLFLSDQWVWRFRPSO\ZLWK&)5SDUWDQG&)5SDUW
$SDUWLFLSDQWLQDFRYHUHGWUDQVDFWLRQPD\UHO\XSRQDFHUWLILFDWLRQRIDSURVSHFWLYHSDUWLFLSDQWLQDORZHUWLHUFRYHUHG
WUDQVDFWLRQWKDWLWLVQRWSURSRVHGIRUGHEDUPHQWXQGHU&)5SDUWVXESDUWGHEDUUHGVXVSHQGHGLQHOLJLEOHRUYROXQWDULO\
H[FOXGHGIURPWKHFRYHUHGWUDQVDFWLRQXQOHVVLWNQRZVWKDWWKHFHUWLILFDWLRQLVHUURQHRXV$SDUWLFLSDQWPD\GHFLGHWKHPHWKRGDQG
IUHTXHQF\E\ZKLFKLWGHWHUPLQHVWKHHOLJLELOLW\RILWVSULQFLSDOV(DFKSDUWLFLSDQWPD\EXWLVQRWUHTXLUHGWRFKHFNWKH/LVWRISDUWLHV
([FOXGHGIURP)HGHUDO3URFXUHPHQWDQG1RQSURFXUHPHQW3URJUDPV
1RWKLQJFRQWDLQHGLQWKHIRUHJRLQJVKDOOEHFRQVWUXHGWRUHTXLUHHVWDEOLVKPHQWRIDV\VWHPRIUHFRUGVLQRUGHUWRUHQGHULQ
JRRGIDLWKWKHFHUWLILFDWLRQUHTXLUHGE\WKLVFODXVH7KHNQRZOHGJHDQGLQIRUPDWLRQRIDSDUWLFLSDQWLVQRWUHTXLUHGWRH[FHHGWKDW
ZKLFKLVQRUPDOO\SRVVHVVHGE\DSUXGHQWSHUVRQLQWKHRUGLQDU\FRXUVHRIEXVLQHVVGHDOLQJV
([FHSWIRUWUDQVDFWLRQVDXWKRUL]HGXQGHUSDUDJUDSKRIWKHVHLQVWUXFWLRQVLIDSDUWLFLSDQWLQDFRYHUHGWUDQVDFWLRQ
NQRZLQJO\HQWHUVLQWRDORZHUWLHUFRYHUHGWUDQVDFWLRQZLWKDSHUVRQZKRLVSURSRVHGIRUGHEDUPHQWXQGHU&)5SDUWVXESDUW
VXVSHQGHGGHEDUUHGLQHOLJLEOHRUYROXQWDULO\H[FOXGHGIURPSDUWLFLSDWLRQLQWKLVWUDQVDFWLRQWKHGHSDUWPHQWRUDJHQF\ZLWK
ZKLFKWKLVWUDQVDFWLRQRULJLQDWHGPD\GLVDOORZFRVWVDQQXORUWHUPLQDWHWKHWUDQVDFWLRQLVVXHDVWRSZRUNRUGHUGHEDURUVXVSHQG
\RXRUWDNHRWKHUUHPHGLHVDVDSSURSULDWH
&HUWLILFDWLRQ5HJDUGLQJ'HEDUPHQW6XVSHQVLRQ,QHOLJLELOLW\DQG9ROXQWDU\([FOXVLRQ/RZHU7LHU&RYHUHG7UDQVDFWLRQV
7KHORZHUWLHUSDUWLFLSDQWFHUWLILHVE\VLJQLQJWKLV$JUHHPHQWWKDWQHLWKHULWQRULWVSULQFLSDOVDUHSUHVHQWO\GHEDUUHG
VXVSHQGHGSURSRVHGIRUGHEDUPHQWGHFODUHGLQHOLJLEOHRUYROXQWDULO\H[FOXGHGIURPSDUWLFLSDWLRQLQWKLVWUDQVDFWLRQE\DQ\IHGHUDO
GHSDUWPHQWRUDJHQF\
:KHUHWKHORZHUWLHUSDUWLFLSDQWLVXQDEOHWRFHUWLI\WRDQ\RIWKHVWDWHPHQWVLQWKLVFHUWLILFDWLRQVXFKSDUWLFLSDQWVKDOODWWDFK
DQH[SODQDWLRQWRWKLV$JUHHPHQW
7+('58*)5((:25.3/$&($&72)86&
7KH68%5(&,3,(17VKDOO
3XEOLVKDVWDWHPHQWQRWLI\LQJHPSOR\HHVWKDWWKHXQODZIXOPDQXIDFWXUHGLVWULEXWLRQGLVSHQVLQJSRVVHVVLRQRUXVHRID
FRQWUROOHGVXEVWDQFHLVSURKLELWHGLQWKHZRUNSODFHDQGVKDOOVSHFLI\WKHDFWLRQVWKDWZLOOEHWDNHQDJDLQVWHPSOR\HHVIRUYLRODWLRQRI
VXFKSURKLELWLRQ
(VWDEOLVKDGUXJIUHHDZDUHQHVVSURJUDPWRLQIRUPHPSOR\HHVDERXWWKHGDQJHUVRIGUXJDEXVHLQWKHZRUNSODFHWKH68%
5(&,3,(17¶VSROLF\RIPDLQWDLQLQJDGUXJIUHHZRUNSODFHDQ\DYDLODEOHGUXJFRXQVHOLQJUHKDELOLWDWLRQDQGHPSOR\HHDVVLVWDQFH
SURJUDPVDQGWKHSHQDOWLHVWKDWPD\EHLPSRVHGXSRQHPSOR\HHVIRUGUXJYLRODWLRQVRFFXUULQJLQWKHZRUNSODFH
SDJHRI
13
0DNHLWDUHTXLUHPHQWWKDWHDFKHPSOR\HHHQJDJHGLQWKHSHUIRUPDQFHRIWKHJUDQWEHJLYHQDFRS\RIWKHVWDWHPHQW
UHTXLUHGE\SDUDJUDSKRIWKLVVHFWLRQ
1RWLI\WKHHPSOR\HHLQWKHVWDWHPHQWUHTXLUHGE\SDUDJUDSKRIWKLVVHFWLRQWKDWDVDFRQGLWLRQRIHPSOR\PHQWXQGHU
WKHJUDQWWKHHPSOR\HHZLOODELGHE\WKHWHUPVRIWKHVWDWHPHQWQRWLI\WKHHPSOR\HURIDQ\FULPLQDOGUXJVWDWXWHFRQYLFWLRQIRUD
YLRODWLRQRFFXUULQJLQWKHZRUNSODFHQRODWHUWKDQILYHGD\VDIWHUVXFKFRQYLFWLRQDQGQRWLI\WKH:76&ZLWKLQGD\VDIWHUUHFHLYLQJ
QRWLFHIURPDQHPSOR\HHRURWKHUZLVHUHFHLYLQJDFWXDOQRWLFHRIVXFKFRQYLFWLRQ
7DNHRQHRIWKHIROORZLQJDFWLRQVZLWKLQGD\VRIUHFHLYLQJQRWLFHXQGHUSDUDJUDSKRIWKLVVHFWLRQZLWKUHVSHFWWR
DQ\HPSOR\HHZKRLVVRFRQYLFWHGWDNHDSSURSULDWHSHUVRQQHODFWLRQDJDLQVWVXFKDQHPSOR\HHXSWRDQGLQFOXGLQJWHUPLQDWLRQ
DQGRUUHTXLUHVXFKHPSOR\HHWRSDUWLFLSDWHVDWLVIDFWRULO\LQDGUXJDEXVHDVVLVWDQFHRUUHKDELOLWDWLRQSURJUDPDSSURYHGIRUVXFK
SXUSRVHVE\DIHGHUDOVWDWHRUORFDOKHDOWKODZHQIRUFHPHQWRURWKHUDSSURSULDWHDJHQF\
0DNHDJRRGIDLWKHIIRUWWRFRQWLQXHWRPDLQWDLQDGUXJIUHHZRUNSODFHWKURXJKLPSOHPHQWDWLRQRIDOORIWKHSDUDJUDSKV
DERYH
)('(5$/)81',1*$&&2817$%,/,7<$1'75$163$5(1&<$&7))$7$
,QDFFRUGDQFHZLWK))$7$WKH68%5(&,3,(17VKDOOXSRQUHTXHVWSURYLGH:76&WKHQDPHVDQGWRWDOFRPSHQVDWLRQRIWKHILYH
PRVWKLJKO\FRPSHQVDWHGRIILFHUVRIWKHHQWLW\LIWKHHQWLW\LQWKHSUHFHGLQJILVFDO\HDUUHFHLYHGSHUFHQWRUPRUHRILWVDQQXDO
JURVVUHYHQXHVLQIHGHUDODZDUGVUHFHLYHGRUPRUHLQDQQXDOJURVVUHYHQXHVIURPIHGHUDODZDUGVDQGLIWKHSXEOLF
GRHVQRWKDYHDFFHVVWRLQIRUPDWLRQDERXWWKHFRPSHQVDWLRQRIWKHVHQLRUH[HFXWLYHVRIWKHHQWLW\WKURXJKSHULRGLFUHSRUWVILOHG
XQGHUVHFWLRQDRUGRIWKH6HFXULWLHV([FKDQJH$FWRIRUVHFWLRQRIWKH,QWHUQDO5HYHQXH&RGHRI
)('(5$//2%%<,1*
7KHXQGHUVLJQHGFHUWLILHVWRWKHEHVWRIKLVRUKHUNQRZOHGJHDQGEHOLHIWKDW
1RIHGHUDODSSURSULDWHGIXQGVKDYHEHHQSDLGRUZLOOEHSDLGE\RURQEHKDOIRIWKHXQGHUVLJQHGWRDQ\SHUVRQIRU
LQIOXHQFLQJRUDWWHPSWLQJWRLQIOXHQFHDQRIILFHURUHPSOR\HHRIDQ\DJHQF\D0HPEHURI&RQJUHVVDQRIILFHURUHPSOR\HHRI
&RQJUHVVRUDQHPSOR\HHRID0HPEHURI&RQJUHVVLQFRQQHFWLRQZLWKWKHDZDUGLQJRIDQ\IHGHUDOFRQWUDFWWKHPDNLQJRIDQ\
IHGHUDOJUDQWWKHPDNLQJRIDQ\IHGHUDOORDQWKHHQWHULQJLQWRRIDQ\FRRSHUDWLYHDJUHHPHQWDQGWKHH[WHQVLRQFRQWLQXDWLRQ
UHQHZDODPHQGPHQWRUPRGLILFDWLRQRIDQ\IHGHUDOFRQWUDFWJUDQWORDQRUFRRSHUDWLYHDJUHHPHQW
,IDQ\IXQGVRWKHUWKDQIHGHUDODSSURSULDWHGIXQGVKDYHEHHQSDLGRUZLOOEHSDLGWRDQ\SHUVRQIRULQIOXHQFLQJRUDWWHPSWLQJ
WRLQIOXHQFHDQRIILFHURUHPSOR\HHRIDQ\DJHQF\D0HPEHURI&RQJUHVVDQRIILFHURUHPSOR\HHRI&RQJUHVVRUDQHPSOR\HHRID
0HPEHURI&RQJUHVVLQFRQQHFWLRQZLWKWKLVIHGHUDOFRQWUDFWJUDQWORDQRUFRRSHUDWLYHDJUHHPHQWWKHXQGHUVLJQHGVKDOOFRPSOHWH
DQGVXEPLW6WDQGDUG)RUP///'LVFORVXUH)RUPWR5HSRUW/REE\LQJLQDFFRUGDQFHZLWKLWVLQVWUXFWLRQV
7KHXQGHUVLJQHGVKDOOUHTXLUHWKDWWKHODQJXDJHRIWKLVFHUWLILFDWLRQEHLQFOXGHGLQWKHDZDUGGRFXPHQWVIRUDOOVXEDZDUGV
DWDOOWLHUVLQFOXGLQJVXEFRQWUDFWVVXEJUDQWVDQGFRQWUDFWVXQGHUJUDQWORDQVDQGFRRSHUDWLYHDJUHHPHQWVDQGWKDWDOOVXE
UHFLSLHQWVVKDOOFHUWLI\DQGGLVFORVHDFFRUGLQJO\
7KLVFHUWLILFDWLRQLVDPDWHULDOUHSUHVHQWDWLRQRIIDFWXSRQZKLFKUHOLDQFHZDVSODFHGZKHQWKLVWUDQVDFWLRQZDVPDGHRU
HQWHUHGLQWR6XEPLVVLRQRIWKLVFHUWLILFDWLRQLVDSUHUHTXLVLWHIRUPDNLQJRUHQWHULQJLQWRWKLVWUDQVDFWLRQLPSRVHGE\6HFWLRQ
7LWOH86&RGH$Q\SHUVRQZKRIDLOVWRILOHWKHUHTXLUHGFHUWLILFDWLRQVKDOOEHVXEMHFWWRDFLYLOSHQDOW\RIQRWOHVVWKDQ
DQGQRWPRUHWKDQIRUHDFKVXFKIDLOXUH
121',6&5,0,1$7,217LWOH9,86&GHWVHT
SDJHRI
14
'XULQJWKHSHUIRUPDQFHRIWKLV$JUHHPHQWWKH68%5(&,3,(17DJUHHV
7RFRPSO\ZLWKDOOIHGHUDOQRQGLVFULPLQDWLRQODZVDQGUHJXODWLRQVDVPD\EHDPHQGHGIURPWLPHWRWLPH
1RWWRSDUWLFLSDWHGLUHFWO\RULQGLUHFWO\LQWKHGLVFULPLQDWLRQSURKLELWHGE\DQ\IHGHUDOQRQGLVFULPLQDWLRQODZRUUHJXODWLRQDV
VHWIRUWKLQ$SSHQGL[%RI&)53DUWDQGKHUHLQ
7RSHUPLWDFFHVVWRLWVERRNVUHFRUGVDFFRXQWVRWKHUVRXUFHVRILQIRUPDWLRQDQGLWVIDFLOLWLHVDVUHTXLUHGE\WKH:76&
86'27RU1+76$
7KDWLQWKHHYHQWDFRQWUDFWRUIXQGLQJUHFLSLHQWIDLOVWRFRPSO\ZLWKDQ\QRQGLVFULPLQDWLRQSURYLVLRQVLQWKLVFRQWUDFWIXQGLQJ
$JUHHPHQWWKH:76&ZLOOKDYHWKHULJKWWRLPSRVHVXFKFRQWUDFWDJUHHPHQWVDQFWLRQVDVLWRU1+76$GHWHUPLQHDUHDSSURSULDWH
LQFOXGLQJEXWQRWOLPLWHGWRZLWKKROGLQJSD\PHQWVWRWKHFRQWUDFWRUIXQGLQJUHFLSLHQWXQGHUWKHFRQWUDFWDJUHHPHQWXQWLOWKH
FRQWUDFWRUIXQGLQJUHFLSLHQWFRPSOLHVDQGRUFDQFHOOLQJWHUPLQDWLQJRUVXVSHQGLQJDFRQWUDFWRUIXQGLQJDJUHHPHQWLQZKROHRULQ
SDUW
7RLQVHUWWKLVFODXVHLQFOXGLQJDOOSDUDJUDSKVLQHYHU\VXEFRQWUDFWDQGVXEDJUHHPHQWDQGLQHYHU\VROLFLWDWLRQIRUDVXE
FRQWUDFWRUVXEDJUHHPHQWWKDWUHFHLYHVIHGHUDOIXQGVXQGHUWKLVSURJUDP
32/,7,&$/$&7,9,7<+$7&+$&7
7KH68%5(&,3,(17ZLOOFRPSO\ZLWKSURYLVLRQVRIWKH+DWFK$FW86&ZKLFKOLPLWWKHSROLWLFDODFWLYLWLHVRI
HPSOR\HHVZKRVHSULQFLSDOHPSOR\PHQWDFWLYLWLHVDUHIXQGHGLQZKROHRULQSDUWZLWKIHGHUDOIXQGV
352+,%,7,212186,1**5$17)81'672&+(&.)25+(/0(786$*(
7KH68%5(&,3,(17ZLOOQRWXVH86&&KDSWHUJUDQWIXQGVIRUSURJUDPVWRFKHFNKHOPHWXVDJHRUWRFUHDWHFKHFNSRLQWV
WKDWVSHFLILFDOO\WDUJHWPRWRUF\FOLVWV7KLV$JUHHPHQWGRHVQRWLQFOXGHDQ\DVSHFWVRUHOHPHQWVRIKHOPHWXVDJHRUFKHFNSRLQWVDQG
VRIXOO\FRPSOLHVZLWKWKLVUHTXLUHPHQW
67$7(/2%%<,1*
1RQHRIWKHIXQGVXQGHUWKLV$JUHHPHQWZLOOEHXVHGIRUDQ\DFWLYLW\VSHFLILFDOO\GHVLJQHGWRXUJHRULQIOXHQFHDVWDWHRUORFDO
OHJLVODWRUWRIDYRURURSSRVHWKHDGRSWLRQRIDQ\VSHFLILFOHJLVODWLYHSURSRVDOSHQGLQJEHIRUHDQ\VWDWHRUORFDOOHJLVODWLYHERG\6XFK
DFWLYLWLHVLQFOXGHERWKGLUHFWDQGLQGLUHFWHJ³JUDVVURRWV´OREE\LQJDFWLYLWLHVZLWKRQHH[FHSWLRQ7KLVGRHVQRWSUHFOXGHDVWDWH
RIILFLDOZKRVHVDODU\LVVXSSRUWHGZLWK1+76$IXQGVIURPHQJDJLQJLQGLUHFWFRPPXQLFDWLRQVZLWKVWDWHRUORFDOOHJLVODWLYHRIILFLDOV
LQDFFRUGDQFHZLWKFXVWRPDU\VWDWHSUDFWLFHHYHQLIVXFKFRPPXQLFDWLRQVXUJHOHJLVODWLYHRIILFLDOVWRIDYRURURSSRVHWKHDGRSWLRQ
RIDVSHFLILFSHQGLQJOHJLVODWLYHSURSRVDO
'(6,*1$7('&217$&76
7KHIROORZLQJQDPHGLQGLYLGXDOVZLOOVHUYHDVGHVLJQDWHGFRQWDFWVIRUHDFKRIWKHSDUWLHVIRUDOOFRPPXQLFDWLRQVQRWLFHVDQG
UHLPEXUVHPHQWVUHJDUGLQJWKLV$JUHHPHQW
7KH&RQWDFWIRUWKH68%5(&,3,(17LV7KH&RQWDFWIRU:76&LV
6KDZQ%R\OH
VKDZQER\OH#\DNLPDZDJRY
-HUU\1RYLHOOR
MQRYLHOOR#ZWVFZDJRY
H[W
SDJHRI
15
$87+25,7<726,*1
7KHXQGHUVLJQHGDFNQRZOHGJHWKDWWKH\DUHDXWKRUL]HGWRH[HFXWHWKLV$JUHHPHQWDQGELQGWKHLUUHVSHFWLYHDJHQFLHVRUHQWLWLHVWR
WKHREOLJDWLRQVVHWIRUWKKHUHLQ
,1:,71(66:+(5(2)WKHSDUWLHVKDYHH[HFXWHGWKLV$JUHHPHQW
<DNLPD3ROLFH'HSDUWPHQW
^^BHVBVLJQHUVLJQDWXUHEORFN``
1DPH5REHUW+DUULVRQ
7LWOH&LW\0DQDJHU
:$6+,1*72175$)),&6$)(7<&200,66,21
^^BHVBVLJQHUVLJQDWXUHEORFN``
1DPH-HUU\1RYLHOOR
7LWOH3URJUDP0DQDJHU
SDJHRI
16