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15-089 HF&H Consultants for Solid Waste Franchise Services ReviewTHIRD AMENDMENT TO AGREEMENT BETWEEN THE CITY OF CUPERTINO AND HF&H CONSULTANTS, LLC FOR CONSULTING SERVICES FOR REVIEW OF SOLID WASTE FRANCHISE SERVICES This Third Amendment to the Agreement between the City of Cupertino and HF &H Consultants, LLC, for reference dated February 2, 2016, is by and between the CITY OF CUPERTINO, a municipal corporation (hereinafter 11City11) and HF&H Consultants, LLC a California Limited Liability Company ("Consultant") whose address is 201 N. Civic Drive, Walnut Creek, CA, and is made with reference to the following: RECITALS: A. On July 17, 2015, an agreement was entered into by and between City and Consultant (hereinafter "Agreement") for consultant services for solid waste franchise review. B. On October 23, 2015, the City and Consultant entered into a First Amendment to the Agreement to extend the "Term" of the Agreement. The Agreement and First Amendment to the Agreement are collectively referred to as the "Agreement". C. On November 30, 2015, the City and Consultant entered into a Second Amendment to the Agreement to extend the "Term" of the Agreement. The Agreement and First and Second Amendment to the Agreement are collectively referred to as the "Agreement". D. City and Consultant desire to modify the Agreement on the terms and conditions set forth herein. NOW, THEREFORE, it is mutually agreed by and between and undersigned parties as follows: 1. Paragraph 1 of the Agreement, "Term" is modified to read as follows: The Term of this Agreement shall commence on July 17, 2015, and shall terminate on March 31, 2016, unless terminated earlier as set forth herein. 2. Exhibit "B" to the Agreement "Schedule of Performance" is modified to amend the Completion Date to March 31, 2016. 3. The above changes were due to circumstances outside of the control of the parties and are made to adjust to the changed circumstances. 4. Except as expressly modified herein, all other terms and covenants set forth in the Agreement shall remain the same and shall be in full force and effect. IN WITNESS WHEREOF, the parties hereto have caused this modification of Agreement to be executed. - CONSULTANT CITY OF CUPERTINO SECOND AMENDMENT TO AGREEMENT BETWEEN THE CITY OF CUPERTINO AND HF&H CONSULTANTS, LLC FOR CONSULTING SERVICES FOR REVIEW OF SOLID WASTE FRANCHISE SERVICES This Second Amendment to the Agreement between the City of Cupertino and HF &H Consultants, LLC, for reference dated November 30, 2015, is by and between the CITY OF CUPERTINO, a municipal corporation (hereinafter "City") and HF&H Consultants, LLC a California Limited Liability Company ("Consultant") whose address is 201 N. Civic Drive, Walnut Creek, CA, and is made with reference to th.e following: RECITALS: A. On July 17, 2015, an agreement was entered into by and between City and Consultant (hereinafter "Agreement") for consultant services for solid waste franchise review. On October 23, 2015, the City and Consultant entered into a First Amendment to the Agreement to extend the "Term" of the Agreement. The Agreement and First Amendment to the Agreement are collectively referred to as the "Agreement". B. City and Consultant desire to modify the Agreement on the terms and conditions set forth herein. NOW, THEREFORE, it is mutually agreed by and between and undersigned parties as follows: 1. Paragraph 1 of the Agreement, "Term" is modified to read as follows: The Term of this Agreement shall commence on July 17, 2015, and shall terminate on January 31, 2016, unless terminated earlier as set forth herein. 2. Exhibit "B" to the Agreement "Schedule of Performance" is modified t? amend the Completion Date to January 31, 2016. 3. The above changes were due to circumstances outside of the control of the parties and are made to adjust to the changed circumstances. 4. Except as expressly modified herein, all other terms and covenants set forth in the Agreement shall remain the same and shall be in full force and effect. IN WITNESS WHEREOF, the parties hereto have caused this modification of Agreement to be executed. CONSULTANT CITY OF CUPERTINO A Municipal Corporation By~ Tit~l-Wov~ Date I?..! 7 / Zol5 RECOMMENDED FOR APPROVAL: By: B.2~ Title&>~~ RJ,L't W~ A~STOFORM: At -tL-City Attorney . ATTEST: FIRST AMENDMENT TO AGREEMENT BETWEEN THE CITY OF CUPERTINO AND HF&H CONSULTANTS, LLC FOR CONSULTING SERVICES FOR REVIEW OF SOLID WASTE FRANCHISE SERVICES This First Amendment to :the Agreement between the City of Cupertino and HF &H Consultants, LLC, for reference dated October 23, 2015, is by and between the CITY OF CUPERTINO, a municipal corporation (hereinafter "City") and HF&H Consultants, LLC a California Limited Liability Company ("Consultant") whose address is 201 N. Civic Drive, Walnut Creek, CA, and is made with reference to the following: RECITALS: A. On July 17, 2015, an agreement was entered into by and between City and Consultant (hereinafter "Agreement") for consultant services for solid waste franchise review. B. City and Consultant desire to modify the Agreement on the terms and conditions set forth herein. NOW, THEREFORE, it is mutually agreed by and between and undersigned parties as follows: 1. Paragraph 1 of the Agreement, "Term" is modified to read as follows: The Term of this Agreement shall commence on July 17, 2015, and shall terminate on November 30, 2015, unless terminated earlier as set forth herein. 2. Exhibit "B" to the Agreement "Schedule of Performance" is modified to amend the Completion Date to November 30, 2015. 3. The above changes were due to circumstances outside of the control of the parties and are made to adjust to the changed circumstances. 4. Except as expressly modified herein, all other terms and covenants set forth in the Agreement shall remain the same and shall be in full force and effect. IN WITNESS WHEREOF, the parties hereto have caused this modification of Agreement to be executed. CONSULTANT CITY OF CUPERTINO A Municipal Corporation By~ Titl~U:blee, lJe1-__,.-~-~ AGREEMENT BETWEEN THE CITY OF CUPERTINO AND HF&H CONSULTANTS, LLC FOR CONSULTANT SERVICES FOR SOLID WASTE FRANCHISE SERVICES REVIEW THIS AGREEMENT, for reference dated June 2, 2015, is by and between CITY OF CUPERTINO, a municipal corporation (hereinafter,referred to as City"), and HF&H CONSULTANTS, LLC, a Limited Liability Company whose address is 201 N. Civic Drive, Suite 230, Walnut Creek, CA 94596 (hereinafter referred to as "Consultant"), and is made with reference to the.following: RECITALS: A. City is a municipal corporation duly organized and validly existing under the laws of the.State of California with the power to carry on its business as it is now being conducted.under the Constitution and the statutes of the State of California and the Cupertino Municipal Code. B.Consultant is specially trained, experienced and competent to perform the special services which will be required by this Agreement; and C. Consultant possesses the skill, experience, ability,background, certification and knowledge to provide the services described in this Agreement on the terms and conditions described herein. f D. City and Consultant desire to enter into an agreement for Solid Waste Franchise Services Review upon the terms and conditions.herein. NOW,THEREFORE, it is mutually agreed by and between the undersigned parties as follows: 1.TERM: The term of this Agreement shall commence on the date this agreement is executed and shall terminate on November 1, 2015, unless terminated earlier as set forth herein. 2.SERVICES TO BE PERFORMED: Consultant shall perform each and every service set forth in Exhibit "A". titled "Scope of Services' which is attached hereto and incorporated herein by this reference. Page 1 of 11 Non-Design Professional Agreement S 3.SCHEDULE OF PERFORMANCE: The Services of Consultant are to be completed according to the schedule set out in Exhibit B, titled "Schedule of Performance ", which is attached hereto and incorporated herein by this reference. 4.COMPENSATION TO CONSULTANT: The maximum compensation to be paid to Consultant under this agreement shall not exceed Thirty-Nine Thousand, Nine Hundred and Sixty-One Dollars 39,961).The rate of payment is set out in Exhibit C,titled"Compensation",which is attached hereto and incorporated herein. Consultant shall furnish to City a detailed statement of the work performed for compensation during the term of this Agreement. Consultant may submit monthly invoices for interim progress payments during the course of each phase, clearly stating as a minimum the total Contract amount, amount paid to date, percent complete and amount due. 5. TIME IS OF THE ESSENCE: Consultant and City agree that time is of the essence regarding the performance of this Agreement. 6.STANDARD OF CARE: Consultant agrees to perform all services hereunder in a manner commensurate with the prevailing standards of like professionals in the San Francisco Bay Area and agrees that all services shall be performed by qualified and experienced personnel who are not employed by the City nor have any contractual relationship with City. 7.INDEPENDENT PARTIES: City and Consultant intend that the relationship between them created by this Agreement is that of employer-independent contractor. The manner and means of conducting the work are under the control of Consultant, except to the extent they are limited by statute, rule or regulation and the express terms of this Agreement. No civil service status or other right of employment will be acquired by virtue of Consultant's services. None of the benefits provided by City to its employees, including but not limited to, unemployment insurance, workers' compensation plans, vacation and sick leave are available from City to Consultant, its employees or agents. Deductions shall riot be made for any state or federal taxes, FICA payments, PERS payments, or other purposes normally associated with an employer-employee relationship from any fees due Consultant. Payments of the above items, if required, are the responsibility of Consultant. Page 2 of 11 Non-Design Professional Agreement 8.IMMIGRATION REFORM AND CONTROL ACT (IBCA): Consultant assumes any and all responsibility for verifying the identity and employment authorization of all of his/her employees performing work hereunder;pursuant to all applicable IRCA or other federal, or state rules and regulations. Consultant shall indemnify and hold City harmless from and against any loss, damage, liability, costs or expenses arising from any noncompliance of this provision by Consultant. 9.NON-DISCRIMINATION: Consistent with City's policy that harassment and discrimination are unacceptable employer/employee conduct, Consultant agrees that harassment or discrimination directed toward a job applicant, a City employee, or a citizen by Consultant or Consultant's employee or subcontractor on the basis of race, . religious.creed; color, national origin, ancestry, handicap, disability, marital status, pregnancy, sex, age,'or sexual orientation will not be tolerated. Consultant agrees that any and all violations of this provision shall constitute a material breach of this Agreement. 10. PROJECT COORDINATION CITY:. Director of. Public Works shall be representative of City for all purposes under this Agreement. Cheri Donnelly is hereby designated as the Director of-Public Works' designee and Project Manager, and shall supervise the progress.and execution of this Agreement. CONSULTANT: Consultant .shall assign a' single Consultant Project Manager to have overall responsibility for the progress and execution of this Agreement for Consultant. Should circumstances or conditions subsequent to the execution of the Agreement require a substitute Consultant Project Manager for any reason, the Consultant Project Manager designee shall be subject to the prior written acceptance and approval of the City Project Manager. The designated Consultant Project Manager shall be Marva Sheehan, CPA,. Vice President. 11. HOLD HARMLESS: Indemnification: A. Claims for Professional Liability. Where the law establishes a standard of care for Consultant's professional services, and to the extent the Consultant breaches or fails to meet such established standard of care, or is alleged to have breached or failed to meet such standard of care, Page 3 of 11 Non-Design Professional Agreement Consultant shall, to the fullest extent allowed by law, with respect to all services performed in connection with the Agreement, indemnify, defend, and hold harmless the City and its officers, officials, agents, employees and volunteers from and against any and all liability, claims, actions, causes of action or demands whatsoever against any of them, including any injury to or death of any person or damage to property or other liability of any nature, that arise out of, pertain to, or relate to the negligence, recklessness, or willful misconduct of Consultant or Consultant's employees, officers, officials, agents or independent contractors. Such costs and expenses shall include reasonable attorneys' fees of counsel of City's choice, expert fees and all other costs and fees of litigation. Consultant shall not be obligated under this Agreement to indemnify City to the extent that the damage is caused by the sole negligence or willful misconduct of City, its agents or employees. B. Claims for Other Liability. Consultant shall, to the fullest extent allowed by law, with respect to all services performed in connection with the Agreement indemnify, defend, and hold harmless the City and, its officers, officials, agents, employees and volunteers from and against any, and all liability, claims, actions, causes of action or demands whatsoever against any of them, including any injury to or death of any person or damage to property or other liability of any nature, that arise out of, pertain to, or relate to the performance of this Agreement by Consultant or Consultant's employees, officers, officials, agents or independent contractors. Such costs and expenses shall include reasonable attorneys' fees of counsel of City's choice, expert fees and all other costs and fees of litigation. . 12. INSURANCE: On or before the commencement of the term of this Agreement, Consultant shall furnish City with certificates showing the type, amount, class of operations covered, effective dates and dates of expiration of insurance coverage in compliance with paragraphs 12A, B, C, D and E. Such certificates, which do not limit Consultant's indemnification, shall also contain substantially the following statement: "Should any of the above insurance covered by this certificate be canceled or coverage reduced before the expiration date thereof, the insurer affording coverage shall provide thirty (30) days' advance written notice to the City of Cupertino, Attention: City Manager." It is agreed that Consultant shall maintain in force at all times during the performance of this Agreement all appropriate coverage of insurance required by this Agreement with an insurance company that is acceptable to City and licensed to do insurance business in the Page 4 of 11 Non-Design Professional Agreement State of California. Endorsements naming the City as additional insured shall be submitted with the insurance certificates. A. COVERAGE: Consultant shall maintain the following insurance coverage: 1) Workers' Compensation: Statutory coverage as required by the State of California. 2) Liabili Commercial general liability coverage in the following minimum limits: Bodil ,lnjury: 500,000 each occurrence 1,000,000 aggregate- all other Property Damage: $100,000 each occurrence 250,000 aggregate If submitted, combined single limit policy with aggregate limits in the amounts of'$1,000,000 will be considered equivalent to the required minimum limits shown above. 3) Automotive: Comprehensive automotive liability coverage in the following minimum limits: Bodily Injury: 500,000 each occurrence Property Damage: $100,000 each occurrence or Combined Single Limit: $500,000 each occurrence 4) Professional Liability: Professional liability insurance which includes coverage for the professional acts, errors and omissions of Consultant in the amount of at least$1,000,000.. B. 'SUBROGATION WAIVER: Consultant agrees that in the event of loss due to any of the perils for which he/she has agreed to provide comprehensive general and automotive liability insurance, Consultant shall look solely to his/her insurance for recovery. Consultant hereby grants-to City, on behalf of any insurer providing comprehensive general and automotive liability insurance to either Consultant or City with respect to the services of Consultant herein, a waiver of any right to subrogation which any such insurer of said.Consultant may acquire against City by virtue of the payment of any loss under such insurance. C. FAILURE TO SECURE: Page 5 of 11 Non-Design Professional Agreement If Consultant at any time during the term hereof should fail to secure or maintain the foregoing insurance, City shall be permitted to obtain such insurance in the Consultant's name or as an agent of the Consultant and shall be compensated by the Consultant for the costs of the insurance premiums at the maximum rate permitted by law and computed from the date written notice is received that the premiums have not been paid. D. ADDITIONAL INSURED: City, its City Council, boards and commissions, officers, employees and volunteers shall be named as an additional insured under all insurance coverages, except any professional liability insurance, required by this Agreement. The naming of an additional insured shall not affect any recovery to which such additional insured would be entitled under this policy if not named as such additional insured. An additional insured named herein shall not be held liable for any premium, deductible portion of any loss, or expense of any nature on this policy or any extension thereof. Any other insurance held by an additional insured shall not be required to contribute anything toward any loss or expense covered by the insurance provided by this policy. E. SUFFICIENCY OF INSURANCE: The insurance limits required by City are not represented as being sufficient to protect Consultant. Consultant is advised to confer with Consultant's insurance broker to determine adequate coverage for Consultant. 13. CONFLICT OF INTEREST: Consultant warrants that it is not a conflict of interest for Consultant to perform the services required by this Agreement. Consultant may be required to fill out a conflict of interest form if the services provided under this Agreement require Consultant to make certain governmental decisions or serve in a staff capacity as defined in Title 2, Division 6, Section 18700 of the California Code of Regulations. 14. PROHIBITION AGAINST TRANSFERS: Consultant shall not assign, sublease,.hypothecate, or transfer this Agreement, or any interest therein., directly or indirectly, by operation of law or otherwise, without prior written consent of City. Any attempt to do so without said consent shall be null and void, and any assignee, sublessee, hypothecate or transferee shall acquire no right or interest by reason of such attempted assignment, hypothecation or transfer. However, claims for money by Consultant from City under this Agreement may be assigned to a bank, trust company or other financial institution without prior written consent. Written notice of such assignment shall be promptly furnished to City by Consultant. The sale, assignment, transfer or other disposition of any of the issued and outstanding capital stock of Consultant, or of the interest of any general partner Page 6 of 11 Non-Design Professional Agreement or joint venturer or syndicate member or cotenant, if Consultant is a partnership or joint venture of syndicate or cotenancy, which shall result in changing the control of Consultant, shall be construed as an assignment of this Agreement. Control means fifty percent(50%) or more of the voting power of the corporation. 15. SUBCONTRACTOR APPROVAL: Unless prior written consent from City is obtained, only those people and subcontractors whose names are included in this Agreement shall be used in the performance of this Agreement.- In the event that Consultant employs subcontractors, such subcontractors shall be required to furnish proof,of workers' compensation insurance and shall also be required to carry general, automobile and professional liability insurance' in reasonable conformity to the insurance carried by Consultant. In addition, any work or services subcontracted hereunder shall be subject to each provision of this Agreement. 16. PERMITS AND LICENSES: Consultant, at his/her sole expense; shall obtain and maintain during the term of this Agreement; all appropriate permits, certificates and licenses including,but not limited to, a City Business License, that may be required in connection with the performance of services hereunder. 17. REPORTS: A. Each and every report, draft, work product, map, record and other document, hereinafter collectively referred to as "Report", reproduced, prepared or caused'to be prepared by Consultant pursuant to or in connection with this Agreement, shall be the exclusive property of City. Consultant shall not copyright any Report required by this Agreement and shall execute appropriate documents to assign to City the copyright to Reports created pursuant to this Agreement. Any Report, information and data acquired or,required by this Agreement shall become the property of City, and all publication rights are reserved to City: Consultant may retain a copy of any report furnished to the City pursuant to this Agreement. B. All Reports prepared by Consultant may be used by City in execution,or implementation of: 1) The original.Pfoject for which Consultant was hired;. 2) Completion of.the original Project by others; 3) Subsequent additions to the original project; and/or 4) Other City projects as appropriate. C. Consultant shall, at such time and in such form as City may require, furnish reports concerning the status of services required under this Page 7 of 11 Non-Design Professional Agreement Agreement. D. All Reports required to be provided by this Agreement shall be printed on recycled paper. All Reports shall be copied on both sides of the paper except for one original, which shall be single sided. E. No Report, information or other data given to or prepared or assembled by Consultant pursuant to this Agreement shall be made available to any individual or organization by Consultant without prior approval by City. F. Electronic and hard copies of Consultant's work product shall constitute the Project deliverables. Plans to be in CAD and PDF formats, and other documents to be in Microsoft Word and PDF formats. City holds Consultant harmless for any modifications to the documents. 18. RECORDS: Consultant shall maintain complete and accurate records with respect to sales, costs, expenses, receipts and other such information required by City that relate to the performance of services under this Agreement. Consultant shall maintain adequate records of services provided in sufficient detail to permit an evaluation of services. All such records shall be maintained in accordance with generally accepted accounting principles and shall be clearly identified and readily accessible. Consultant shall provide free access to such books and records to the representatives of City or its designees at all proper times, and gives City the right to examine and audit same, and to make transcripts therefrom as necessary, and to allow inspection of all work, data, documents, proceedings and activities related to this Agreement. Such records, together with supporting documents, shall be kept separate from other documents and records and shall be maintained for a period of three (3) years after receipt of final payment. If.supplemental examination or audit of the records is necessary due to concerns raised by City's preliminary examination or audit of records, and the City's supplemental examination or audit of the records discloses a failure to adhere to appropriate internal financial controls, or other breach of contract or failure to act in good faith, then Consultant shall reimburse City for all reasonable costs and expenses associated with the supplemental examination or audit. 19. NOTICES: All notices, demands, requests or approvals to be given under this Agreement shall be given in writing and conclusively shall be deemed served when delivered personally or on the second business day after the deposit thereof in the United States Mail, postage prepaid, registered or certified, addressed as hereinafter provided. Page 8 of 11 Non-Design Professional Agreement All notices, demands, requests, or approvals from Consultant to City shall be addressed to City at: City of Cupertino 10300 Torre Ave. Cupertino CA 95014 Attention. Cheri Donnelly All notices, demands, requests, or approvals from City to Consultant shall be addressed to Consultant at: Marva Sheehan, CPA, Vice President HF&H Consultants, LLC 201 N. Civic Drive, Suite 230 Walnut Creek, CA 94596 20. TERMINATION: In the event Consultant fails or refuses to perform any of the provisions hereof at the time and in the manner required hereunder, Consultant shall be deemed in default in the performance of this Agreement. If such default is not cured within the.time specified after receipt by Consultant from City of written notice of default, specifying the nature of such default and the steps necessary to cure such default, City may terminate the Agreement forthwith by giving to the Consultant written notice thereof. City shall have the option, at its sole discretion and without cause, of terminating this Agreement by giving seven (7),days' prior written notice.to Consultant as provided herein. Upon termination of this Agreement, each party shall pay to the other party that portion of compensation specified in this Agreement that is earned and unpaid prior to the effective date of termination. . In the event of termination, Consultant shall deliver to City, copies of all reports, documents,,and other work performed by Consultant under this Agreement. 21. COMPLIANCES: Consultant shall comply with all state or federal laws and all-ordinances, rules and regulations enacted or issued by City. 22. CONFLICT OF LAW: This Agreement shall be interpreted under, and enforced by the laws of the State of California excepting any choice of law rules which may direct the application of laws of another jurisdiction. The Agreement and obligations of the parties are subject to all valid laws, orders, rules, and regulations of the. authorities having jurisdiction over this Agreement (or the successors of those Page 9 of 11 Non-Design Professional Agreement authorities.) Any suits brought pursuant to this Agreement shall be filed with the courts of the County of Santa Clara, State of California. 23. ADVERTISEMENT: Consultant shall not post, exhibit, display or allow to be posted, exhibited, displayed any signs, advertising, show bills, lithographs, posters or cards of any kind pertaining to the services performed under this Agreement unless prior written approval has been secured from City to do otherwise. 24. WAIVER: A waiver by City of any breach of any term, covenant, or condition contained herein shall not be deemed to be a waiver of any subsequent breach of the same or any other term, covenant, or condition contained herein, whether of the same or a different character. 25. INTEGRATED CONTRACT: This Agreement represents the full and complete understanding of every kind or nature whatsoever between the parties hereto, and all preliminary negotiations and agreements of whatsoever kind or nature are merged herein. No verbal agreement or implied covenant shall be held to vary the provisions hereof. Any modification of this Agreement will be effective only by written execution signed by both City and Consultant. 26. GIFTS: A. Consultant is familiar with City's prohibition against the acceptance of any gift by a City officer or designated employee, which prohibition is found in City Administrative Procedures. B. Consultant agrees not to offer any City officer or designated employee any gift prohibited by the Administrative Procedures. C. The offer or giving of any prohibited gift shall constitute a material breach of this Agreement by Consultant. In addition to any other remedies, City may have in law or equity, City may terminate this Agreement for such breach as provided in Section 19 of this Agreement. 27. INSERTED PROVISIONS: Each provision and clause required by law to be inserted into the Agreement shall be deemed to be enacted herein, and the Agreement shall be read and enforced as though each were included herein. If through mistake or otherwise, any such provision is not inserted or is not correctly inserted, the Page 10 of 11 Non-Design Professional Agreement Agreement shall be amended to make such insertion on application by either party. 28. CAPTIONS: The captions in this Agreement are for convenience only, are not a part of the Agreement and in no way affect, limit or amplify the terms or provisions of this Agreement. P.O. No. 1-0 l O IN WITNESS WHEREOF, the parties have caused the Agreement to be executed. CONSULTANT CITY OF CUPERTINO HF&H Consultants, LLC A Municipal Corporation By: By Marva Behan, Vice President Timm Borden, Director of Public Works Date Date Tax I.D. No.: 94-3097242 Address: 201 N. Civic Drive, Suite 230 Walnut Creek, CA 94596 APPROVED AS TO FORM: Carol Korade, City Attorney ATTEST: Grace Schmidt, City. Clerk Contract Amount: AccountNo. : Z o- g f- 801- d0_ vL Page 11 of 11 Non-Design Professional Agreement EXHIBIT A SCOPE OF SERVICES CONSULTANT shall perform professional services as detailed in the following sections related to'conducting an audit of current garbage and recycling services: SECTION 1. GENERAL A. General PROJECT Description:-The PROJECT involves the auditing.of current garbage and recycling services provided to the City of Cupertino by franchised waste hauler Recology. The audit will establish the collection and processing costs and revenues for the years November 1,2010—October 31,2011 and November 12013—October 31,2014. The PROJECT budget is$39,961 which includes all costs, reimbursables, and contingencies. B. General Performance Requirements: L' The performance of all services by CONSULTANT shall be to the satisfaction of the CITY, in accordance with the express terms hereof, including but not limited to the terms set out in detail in this scope of. services and the standard of care provisions contained in this AGREEMENT. 2. The CITY's Department of Public Works shall manage this PROJECT and this AGREEMENT. CONSULTANT shall receive final direction from the CITY's Director of Public Works or his/her authorized designee hereinafter collectively "CITY") only. The CITY shall resolve any conflicting direction from other groups, departments or agencies. 4. CONSULTANT shall coordinate this scope of serviceswith the CITY as well as with other CITY consultants, as needed or as directed by the CITY. CONSULTANT shall schedule all PROJECT meetings under the scope of work. 5. CONSULTANT shall designate and provide to the CITY the names of their team members for the PROJECT. The team members shall be satisfactory to the CITY. CONSULTANT shall not substitute any team members without the prior approval of the CITY. 6. CONSULTANT's services shall'be performed as expeditiously as is consistent with professional skill and care and the orderly process of the Page 1 of 13 City of Cupertino Solid waste Franchise Audit Agreement Exhibits Consultant:HF&H work. The schedule for the performance included in EXHIBIT B, may be adjusted by mutual agreement. 7. CONSULTANT has no SUBCONSULTANTS and shall administer the PROJECT. CONSULTANT shall consult with the CITY, communicate with members of the PROJECT team, and issue progress reports as necessary and directed by the CITY. 8. CONSULTANT shall prepare and update a PROJECT schedule for the CITY at the beginning of each TASK as defined in SECTION 2- "SCOPE of SERVICES" of this EXHIBIT A. The PROJECT schedule shall identify milestone dates for deliverables to be furnished by CONSULTANT, completion of documentation provided by CONSULTANT, and as identified in the exhibits under this AGREEMENT. 9. CONSULTANT shall submit written requests for all information and official documents related to the PROJECT to the CITY. SECTION 2.0. TASKS GENERAL The CONSULTANT shall provide all services required to manage the project, including all processes, all communication, all coordination, all record-keeping, and all process documentation. The CONSULTANT shall propose a detailed schedule for the project for review and approval of the CITY. The CONSULTANT shall solicit and obtain decisions from CITY as the project process requires in order to advance the project in accordance with the approved project schedule. The CONSULTANT shall prepare and submit to the CITY a project and process update report at least monthly, or more frequently as project process requires. The CONSULTANT shall provide all services necessary required to complete the tasks identified in the Scope of Services. The CITY shall use the Tasks identified in SECTION 2- "SCOPE of SERVICES" of this EXHIBIT A as evidence that the CONSULTANT met the Task deliverable submission for billing purposes. Any deficiencies identified shall cause the CITY to require the CONSULTANT to make appropriate corrections, and resubmit, at no cost to the CITY. Earned value for submissions according to the EXHIBIT C, Compensation Payment Schedule shall not be considered earned until the Task Deliverable meets the minimum work standards set for in SECTION 2- "SCOPE of SERVICES" of this EXHIBIT A. Page 2 of 13 City of Cupertino Solid waste Franchise Audit Agreement Exhibits Consultant:HF&H l TASK#1.0: EVALUATE REVENUES AND COSTS OF COMPOSTABLE MATERIALS PROCESSING 1.01 From Recology's Annual Reports (as described in Sec 12.4 of its Agreement) submitted for the periods of November 1, 2010—October 31, 2011 and November 1, 2013-October 31,'2014, CONSULTANT shall prepare a variance analysis of Recology's 2010 costs and revenues and 2014 costs and revenues from Compostable Materials Processing. CONSULTANT shall compare the results to industry standards. . 1.02 CONSULTANT will investigate significant variances. 1.03 ' CONSULTANT shall compare the number of commercial businesses and their respective volumes in 2010 and 2014. 1.04 CONSULTANT shall compare the number of businesses and their respective organics volumes in 2010 and 2014. 1.05 From Recology's Annual Reports (as described in Sec 12.4 of its Agreement) submitted for the periods of November 1, 2010—October 31, 2011 and November 11 2013—October 31, 2014, CONSULTANT shall prepare a variance analysis.of Recology's 2010 costs and revenues and 2014 costs and revenues from the collection of commercial solid waste, recyclables and organic materials. .. . 1.06 CONSULTANT shall prepare a variance analysis of Recology's 2010 costs and revenues and 2014 costs and revenues from the collection of commercial organic materials only and investigate significant differences. 1.07 CONSULTANT shall prepare a variance analysis of revenues to Recology from sale of recyclable materials, above the revenues from November 2010— November 2011, and from the sale of products produced from compostable materials processing and investigate significant variances. 1.08 CONSULTANT shall draft a memorandum summarizing the results of'the analysis. Page 3of13' City of Cupertino Solid waste Franchise Audit-Agreement Exhibits Consultant:HF&H TASK#1.0 DELIVERABLES: A memorandum summarizing the results of the variance analysis.described above. TASK#2.0:EVALUATE THE COST OF PROCESSING ORGANICS AT SOUTH VALLEY ORGANICS 2.01 CONSULTANT shall obtain all necessary information from Recology to calculate South Valley Organics' costs to collect organics and produce compost at that facility for the periods of November 1, 2010—October 31, 2014. 2.02 CONSULTANT shall convert costs to cost per ton of organics received for clean yard waste,yard waste mixed with food scraps and commercial food scraps; handling of contaminants. 2.03 CONSULTANT shall identify revenues received for sale of compost produced at the site from each of the streams in task 2b. 2.04 CONSULTANT shall review Recology's methodology to allocate costs to participating jurisdictions and determine the methodology was properly applied. 2.05 CONSULTANT shall include pertinent information such as the change in subscription levels of commercial business as identified in Task 2. 2.06 CONSULTANT shall review and comment on a comparison of the Recology facilities prepared by Richard Gertman of such areas as levels of contamination accepted at each facility, quality of compost product, etc. 2.07 CONSULTANT shall produce a memo evaluating the per ton cost of processing organics at South Valley Organics for the periods of November 1, 2010—October 31, 2011 and November 1, 2013—October 31, 2014. CONSULTANT shall evaluate the per-ton costs to each of the participating jurisdictions, including Cupertino, Gilroy,Morgan Hill, Mountain View, and any other participating jurisdictions. TASK#2 DEVLIVERABLE:A memorandum evaluating the per-ton cost of processing organics at South Valley Organics for the period of November 1, 2010—October 31, 2011 and November 1, 2013—October 31, 2014. Page 4 of 13 City of Cupertino Solid waste Franchise Audit Agreement Exhibits Consultant:HF&H TASK#3.0: EVALUATE THE COST OF PROCESSING ORGANICS AT THREE OTHER RECOLOGY SITES 3.01 CONSULTANT_shall obtain all necessary information from Recology.to identify the costs to produce compost at the Jepson Prairie Organics Facility and at the two Recology Grover Environmental Products Facilities; and compare that cost . with the cost of producing compost at the Couth Valley Organics Site. 3.02 CONSULTANT shall seek explanation from Recology to identify the reasons for any cost differences found in Task#1.01, and to determine if the cost of processing organics from the City would be lowered by utilizing an alternate processing facility. 3.03 CONSULTANT shall request the following information for all facilities: types of materials composted,types of prohibited materials (contaminants), equipment/process used to deal with contaminants 3.04 CONSULTANT shall produce a memo evaluating the potential for cost savings that could be;achieved by diverting the City's commercial organics to an alternate Recology organics processing facility. TASK#3 DEVLIVERABLE:A memorandum evaluating the potential for cost savings that could be achieved by diverting the City's commercial organics to an alternative Recology,organics facility: TASK#4.0 IDENTIFY RECYCLABLE MATERIAL REVENUE FROM MONTHLY REPORTS 4.01 CONSULTANT will review the monthly reports submitted by Recology for the periods of November 1, 2010—October 21,2011 and November 1, 2013-October 31, 2014; and create a variance report,to identify the difference in revenue from the sale of recyclables collected in the City. 4.02 CONSULTANT shall provide a statement of the 2010-2011 and 2013-2014 revenues received by Recology for the sale_ of recyclable materials collected in the City. Page 5 of 13 City of Cupertino Solid waste Franchise Audit Agreement Exhibits Consultant:HF&H TASK#4 DEVLIVERABLE:A summary schedule identifying the revenues received by Recology from the sale of recyclable materials collected in the City for the two-year period. TASK#5.0: ANAEROBIC DIGESTION TECHNOLOGY ALTERNATIVES CONSULTANT shall incorporate memorandum provided by Richard Gertman (Task 5) into draft letter report Task# 6.02 and final letter report Task#6 Deliverable. TASK#6.0: COMMUNICATE RESULTS 6.01 CONSULTANT shall provide two status updates via conference call and City offices. 6.02 CONSULTANT shall prepare draft letter report from the memorandums in Tasks #1 through Task#4. CONSULTANT shall incorporate memorandum from Task 5 provided by Richard Gertman. 6.03 CONSULTANT shall prepare for and meet with staff to review draft letter report. 6.04 CONSULTANT shall revise and send final letter report to City. TASK#6 DEVLIVERABLE:Final letter report from memorandums in Tasks #1 through Task #4.incorporating Richard Gertman's memorandum from Task#5. TASK#7.0: ENGAGEMENT MANAGEMENT: Consultant will prepare and amend detailed work plans; monitor engagement progress;make sure sufficient resources are available to ensure timely completion of the engagement;review analytical results and interim findings;review the draft and final reports, respond to questions regarding the progress of the engagement and other issues;and review and submit monthly invoices. Page 6 of 13 City of Cupertino Solid waste Franchise Audit Agreement Exhibits Consultant:HF&H EXHIBIT B SCHEDULE OF PERFORMANCE CONSULTANT shall complete all work by September 9, 2015. The following sets forth the distribution of CONSULTANT's Schedule of Performance for each project. The CITY may approve in writing the extension of any milestone date set in this Exhibit. Task#1 Evaluate revenues and costs of compostable materials Weeks 1 -5 processing Task#2 Evaluate the cost of processing organics at South Weeks 1 -5 Valley Organics Task#3 Evaluate the cost of processing organics at three other Weeks 1 —5 Recology sites Task#4 Identify recyclable material revenue from monthly Weeks 1 -5 reports Task#5 Incorporate memorandum prepared by Richard Weeks 5 -6 Gertman in draft memorandum and final report for Task#6. Task#6 Communicate results Weeks 6-7 Task#7 Engagement management Weeks 1-7 Page 7 of 13 City of Cupertino Solid waste Franchise Audit Agreement Exhibits Consultant:HF&H EXHIBIT C COMPENSATION A. Maximum Compensation. The CITY agrees to compensate CONSULTANT for professional services performed in accordance with the terms and conditions of this AGREEMENT. The maximum amount of compensation to be paid to CONSULTANT under this AGREEMENT, including both payment for professional services and reimbursable expenses, shall not exceed THIRTY-NINE THOUSAND NINE HUNDRED SIXTY-ONE DOLLARS ($ 39,961). CONSULTANT agrees that it shall perform all of the services set forth in Exhibit A of this AGREEMENT. B. Method of Payment For Task Nos. 1 through 7 CONSULTANT shall, during the term of this AGREEMENT, invoice the CITY monthly based upon a percentage of completion of each milestone set forth below in the Payment Schedule (Schedule D below) for services performed in completing that milestone under this AGREEMENT. Provided CONSULTANT has completed the services covered by the Invoice in accordance with the provisions of this AGREEMENT, as determined by the CITY, the CITY shall pay CONSULTANT the amount shown on the Invoice within thirty (30) working days of receipt of the Invoice. The Invoice shall be based on the percentage of milestone completed, and it shall describe the topics and tasks completed during the Invoice period in accordance with the Budget Schedule and Payment Schedule set forth below. The Invoice shall list work completed and reimbursable expenses if applicable, in accordance with the Budget Schedule and Payment Schedule set forth below. CONSULTANT also shall include supporting documents for any reimbursable expenses. The Invoice shall also show the total to be paid for the Invoice period. Page 8 of 13 City of Cupertino Solid waste Franchise Audit Agreement Exhibits Consultant:HF&H C. Budget Schedule The Budget Schedule for this AGREEMENT shall be as follows: Task Task Description Compensation Task#1: Evaluate revenues and costs of compostable materials processing 15,495 Task#2 Evaluate the cost ofprocessing organics at South Valley Organics 8,065 Task#3: Evaluate the cost ofprocessing organics at three other Recology 5,035 sites Task#4: Identify recyclable material revenue from monthly reports 2,055 Task#5 Provided by Richard Gertman 0- Task#6: Communicate results 7,880 Task#7 Engagement management 1,245 Reimbursable Expenses 186 TOTAL 39,961 CONSULTANT may transfer budget amounts between any of the Tasks listed above provided the total AGREEMENT amount does not exceed THIRTY-NINE THOUSAND NINE HUNDRED SIXTY-ONE DOLLARS ($ 39,961). Page 9 of 13 City of Cupertino Solid waste Franchise Audit Agreement Exhibits Consultant:HF&H EXHIBIT C-1 CONSULTANT HOURLY RATES FOR ADDITONAL SERVICES HF&H Vice President—(M. Sheehan) 235 Senior Associate—(C. Costine)185 Associate Analyst—(D. Hilton) 135 Administration 100 Page 10 of 13 City of Cupertino Solid waste Franchise Audit Agreement Exhibits Consultant:HF&H D. Payment Schedule HF&H Consultants, LLC Standard Hourly Rates and Billing Arrangements Effective January 1, 2015)' Professional Fees Hourly rates for professional and administrative personnel are as follows: Position Rate President 265 Senior Vice President & Vice President 240 .:. $265 Senior Project Manager 219 - $230 Senior Associate/Project Manager Associate Analyst 140 - $150 Assistant Analyst 100 - $130 Administrative Staff 100 Direct Expenses Standard charges for common direct expenses areas follows: Automobile Travel. Prevailing IRS mileage rate Document Reproduction 15 cents per page (black &white) 75 cents per page (color) Facsimile No charge Telephone No charge Public Conveyances Actual Postage Actual Overnight Mail and Couriers Actual Billing Policies HF&H policy is to bill for our services and direct expenses based on the standard hourly rates of the staff,member assigned, multiplied by the time required to perform the client- related tasks, plus the subcontractor services as described above. In implementing this policy we adhere to the following practices: It is our standard practice to.e-mail invoices to our clients, although hard copies of invoices can be sent to clients on request. 1 Litigation Support and Expert Witness Services are not covered by this schedule of fees and expenses. Page 11 of 13 City of Cupertino Solid waste.Franchise Audit Agreement Exhibits Consultant:HF&H We round to the nearest one-half hour (e.g., if two hours and 50 minutes are spent on a task, it is recorded as three.hours, if two hours and 10 minutes are spent on a task, it is recorded as two hours). A minimum charge of one-half hour is charged for any client work performed in a day. We attempt to schedule travel time before and after normal work hours and we do not bill for this time. If travel occurs during normal work hours and we.can use public conveyances, we attempt to use the time productively for the benefit of the client or for another client and this-time is billed to the appropriate client. If we must travel during business hours and cannot use the time productively or use a_public conveyance, we bill the time to the client ori whose behalf we are traveling. Because public meetings (e.g., Board of Supervisors,City Council, and Board of Directors meetings) generally occur after business hours and are not conducted in accordance with strict schedules, our standard policy is to bill a minimum two-hour charge. We do not mark up out-of-pocket expenses, however,we may charge administrative.or professional time related to the provision of the goods and services:associated with these charges. Costs for outside consultants and subcontractors are billed at actual cost plus a 15 percent administrative fee. Mileage fees are based on the round-trip distance from the point of origin. If a client's change to a previously scheduled meeting results in penalties being assessed by a third party(e.g., airline cancellation fee),then the client will bear the cost of these penalties. While no-minimum fee for a consulting engagement has been established, it is unlikely given the nature of our services) that we can gain an understanding of a client's particular requirement, identify alternatives, and recommend a solution in less than twenty-four hours. Insurance We maintain the following policies of insurance with carriers doing business in California: Comprehensive General Liability Insurance ($2,000,000) Workers'Compensation ($1,000,000) Professional Liability Insurance($2,000,000) Hired and Non-Owned Auto,Liability($2,000,000) All costs incurred in complying with special insurance, licensing, or permit requirements, including but not limited to naming client as an additional insured and waiver of subrogation, become the responsibility of the client and are not included in the fees for Page 12 of 13 City of Cupertino Solid waste Franchise Audit Agreement Exhibits Consultant:HF&H services or direct charges but are billed in addition to the contract at cost, plus any professional or administrative fees. Invoices and Payment for Services HF&H time reporting and billing system has certain standard formats that are designed to provide our clients with a.detailed•invoice of the time and charges associated with their engagement. (We typically discuss these with our clients at our kick-off meeting.) We are also pleased to provide our clients with a custom invoice format but we will have to bill the,client for any additional costs associated with their unique requirements. Billings.for professional services and charges are submitted every month, in order that our clients can more closely monitor our services. A late fee of-one and one-half percent per month, is applied to balances unpaid after thirty (30) days. D. Subconsultant Services.. The work covered_under this Agreement does not include any SUBCONSULTANTS to . CONSULTANT. F. Reimbursable expenses. Reimbursable expenses are included in CONSULTANT's compensation,,including all expenses related to this AGREEMENT. Page 13 of 13 City of Cupertino Solid waste Franchise Audit Agreement Exhibits Consultant:HF&H Client#: 782698 HFHCONSU DATE(MM/DDIYYYY) ACORD,. CERTIFICATE OF LIABILITY INSURANCE 6/02/2015 THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE HOLDER.THIS CERTIFICATE DOES NOT AFFIRMATIVELY OR NEGATIVELY AMEND,EXTEND OR ALTER THE COVERAGE AFFORDED BY THE POLICIES BELOW.THIS CERTIFICATE OF INSURANCE DOES NOT CONSTITUTE A CONTRACT BETWEEN THE ISSUING INSURER(S),AUTHORIZED REPRESENTATIVE OR PRODUCER,AND THE CERTIFICATE HOLDER. IMPORTANT:If the certificate holder is an ADDITIONAL INSURED,the policy(les)must be endorsed.If SUBROGATION IS WAIVED,subject to the terms and conditions of the policy,certain policies may require an endorsement.A statement on this certificate does not confer rights to the certificate holder in lieu of such endorsement(s). PRODUCER CONTACT Tim McKinley HUB Int'I Insurance Serv.Inc. PHONE 925 415-1107 FAX 925 884-8028AICNo,Ext: A/C,No License#0757776 E-MAILADDRESS: Tim-McKinley@hubinternational.com 3000 Executive Parkway Suite 300 INSURER(S)AFFORDING COVERAGE NAIC# San Ramon, CA 94583 INSURER A:Sentinel Insurance Company Ltd 11000 INSURED INSURER B:Technology Insurance Company, 1 42376 HF&H Consultants, LLC INSURERC:Houston Casualty Company 42374 201 North Civic Drive Ste 230 INSURER D Walnut Creek, CA 94596 INSURER E INSURER F: COVERAGES CERTIFICATE NUMBER: REVISION NUMBER: THIS IS TO CERTIFY THAT THE POLICIES OF INSURANCE LISTED BELOW HAVE BEEN ISSUED TO THE INSURED NAMED ABOVE FOR THE POLICY PERIOD INDICATED. NOTWITHSTANDING ANY REQUIREMENT, TERM OR CONDITION OF ANY CONTRACTOR OTHER DOCUMENT WITH RESPECT TO WHICH THIS CERTIFICATE MAY BE ISSUED OR MAY PERTAIN, THE INSURANCE AFFORDED BY THE POLICIES DESCRIBED HEREIN IS SUBJECT TO ALL THE TERMS, EXCLUSIONS AND CONDITIONS OF SUCH POLICIES. LIMITS SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS. INSR TYPE OF INSURANCE ADDL SUB POLICY EFF POLICY EXP LIMITSLTRINSRWVDPOLICYNUMBERMM/DD/YYYY MM/DD A GENERAL LIABILITY X X 57SBAGB6653 12/15/2014 12/15/2015 EACH OCCURRENCE 2,000,000 X COMMERCIAL GENERAL LIABILITY PREMISESERENTEDoccuence $1,000,000 CLAIMS-MADE 51OCCUR MED EXP(Any one person) $10,000 PERSONAL&ADV INJURY $2,000,000 GENERAL AGGREGATE $4,000,000 GEN'L AGGREGATE LIMIT APPLIES PER: PRODUCTS-COMP/OP AGG $4,000,000 X POLICY JECT PRO-LOC A AUTOMOBILE LIABILITY 57SBAGB6653 12/15/2014 12/15/201 COEaMBINED ccidentSINGLE LIMIT $1,000,000a ANY AUTO BODILY INJURY(Per person) $ ALL OWNED SCHEDULED BODILY INJURY(Per accident) $ AUTOSAUTOS X HIRED AUTOS X NON-OWNED IR PEidentDAMAGE AUTOS A X UMBRELLA LIAB X OCCUR 57SBAGB6653 12/15/2014 12/15/2015 EACH OCCURRENCE 3 000 000 EXCESS LIAB CLAIMS MADE AGGREGATE s3,000,000 DED I X RETENTION$10,000 B WORKERS COMPENSATION TWC3430245 09/06/2014 09/06/201 X WOC STAT TS ETH- AND EMPLOYERS'LIABILITY ANY PROPRIETOR/PARTNER/EXECUTIVE Y/N E.L.EACH ACCIDENT 1,000,000 OFFICER/MEMBER EXCLUDED? N N/A Mandatory in NH) E.L.DISEASE-EA EMPLOYEE $1,000000 Ifyes,describe under DESCRIPTION OF OPERATIONS below E.L.DISEASE-POLICY LIMIT $1,000,000 C Professional Liab H714104195 09/06/2014 09/06/201 Occur/Agg: $2,000,000 Retro Date:8/1/89 Retention:$10,000 DESCRIPTION OF OPERATIONS/LOCATIONS/VEHICLES(Attach ACORD 101,Additional Remarks Schedule,if more space is required) City, its City Council, boards and commissions, officers,employees and volunteers are Additional Insured in regard to the General Liability policy per the attached endorsement form SS0008 04105,Waiver of Subrogation included. Notice of Cancellation endorsement applies. CERTIFICATE HOLDER CANCELLATION Cit of Cupertino SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE Y P THE EXPIRATION DATE THEREOF, NOTICE WILL BE DELIVERED IN Attn:Cheri Donnelly ACCORDANCE WITH THE POLICY PROVISIONS. 10300 Torre Ave. Cupertino,CA 95014 AUTHORIZED REPRESENTATIVE 1988-2010 ACORD CORPORATION.All rights reserved. ACORD 25(2010/05) 1• of 1 The ACORD name and logo are registered marks of ACORD S3533305/M3201864 HD41 Named Insured: HF&H Consultants,LLC Policy Number: 57SBAGB6653 Policy Term: 12/15/14-12!15/15 BUSINESS LIABILITY COVERAGE FORM b) Rented to, in the care, custody or b. Coverage under_ this provision does not control of, or over which physical apply to: control is being exercised for any 1) "Bodily injury" or "property damage"purpose by you, any of your that occurred; or employees", "volunteer workers"' any partner or member (if you are 2) "Personal and advertising injury" a partnership or joint venture), or arising out of an offense committed any member (if you are a limited before you acquired or formed the liability company). organization.. b. Real Estate Manager 4. Operator Of Mobile Equipment Any person (other than your"employee"or With respect to "mobile equipment" registered in volunteer worker"), or any organization your name under any motor vehicle registration while acting as your real estate manager. law, any person is an insured while driving such c. Temporary Custodians Of Your equipment along a public highway with your Property permission. Any other person or organization responsible for the conduct of such person is Any person or organization having proper also an insured, but only with respect to liabilitytemporarycustodyofyourpropertyifyouarisingoutoftheoperationoftheequipment,anddie, but only: only if no other insurance of any kind is available 1) With respect to liability arising out of the to that person or organization for this liability. maintenance or use of that property;and However, no person or organization is an insured 2) Until your legal representative has with respect to: been appointed. a. "Bodily injury" to a co-"employee" of the d. Legal Representative If You Die person driving the equipment; or Your legal representative if you die, but b. "Property damage" to property owned by, only with respect to duties as such. That rented to, in the charge of or occupied by representative will have all your rights and you or the employer of any person who is duties under this insurance. an insured under this provision. e. Unnamed Subsidiary 5. Operator of Nonowned Watercraft Any subsidiary and subsidiary thereof, of With respect to watercraft you do not own that yours which is a legally incorporated entity is less than 51 feet long and is not being used of which you own a financial interest of to carry persons for a charge,any person is an more than 50% of the voting stock on the insured while operating such watercraft with effective date of this Coverage Part. your permission. Any other person or The insurance afforded herein for any organization responsible for the conduct of subsidiary not shown in the Declarations such person is also an insured, but only with as a named insured does not apply to respect to liability arising out of the operation injury or damage with respect to which an of the watercraft, and only if no other insured under this insurance is also an insurance of any kind is available to that insured under another policy or would be person or organization for this liability. an insured under such policy but for its However, no person or organization is an termination or upon the exhaustion of its insured with respect to: limits of insurance. a. "Bodily injury" to a cc"employee" of the 3. Newly Acquired Or Formed Organization person operating the watercraft; or Any organization you newly acquire or form, b. "Property damage" to property owned by, other than a partnership, joint venture or rented to, in the charge of or occupied by limited liability company, and over which you you or the employer of any person who is maintain financial interest of more than 50% of an insured under this provision. the voting stock, will qualify as a Named G. Additional Insureds When Required By Insured if there is no other similar insurance Written Contract, Written Agreement Or available to that organization. However: Permit a. Coverage under this provision is afforded The person(s) or organization(s) identified in only until the 180th day after you acquire Paragraphs a. through f. below are additional or form the organization or the end of the insureds when you have agreed, in a written policy period,whichever is earlier; and Form SS 00 08 04 05 Page 11 of 24 Named Insured: HF&H Consultants,LLC Policy Number: 57SBAGB6653 BUSINESS LIABILITY COVERAGE FORM Policy Term: 1ld/11}/j2/45/112/15/14 contract, written agreement or because of a e) Any failure to make such permit issued by a state or political inspections, adjustments, tests or subdivision, that such person or organization servicing as the vendor has be added as an additional insured on your agreed to make or normally policy, provided the injury or damage occurs undertakes to make in the usual subsequent to the execution of the contract or course of business, in connection agreement, or the issuance of the permit. with the distribution or sale of the A person or organization is an additional products; insured under this provision only for that f) Demonstration, installation, period of time required by the contract, servicing or repair operations, agreement or permit. except such operations performed However, no such person or organization is an at the vendor's premises inconnectionwiththesaleofthe additional insured under this provision if such product; person or organization is included as an additional insured by an endorsement issued g) Products which, after distribution by us and made a part of this Coverage Part, or sale by you, have been labeled including all persons or organizations added or relabeled or used as a as additional insureds under the specific container, part or ingredient of any additional insured coverage grants in Section other thing or substance by or for F.--Optional Additional Insured Coverages. the vendor; or a. Vendors h) "Bodily injury" or "property Any person(s)or organization(s) (referred to damage" arising out of the sole negligence of the vendor for its below as vendor), but only with respect to own acts or omissions or those ofbodilyinjury" or "property damage" arising its employees or anyone else out of"your products" which are distributed acting on its behalf. However,thisorsoldintheregularcourseofthevendor's exclusion does not apply to:business and only if this Coverage Part provides coverage for "bodily injury" or i) The exceptions contained in property damage" included within the Subparagraphs(d)or(f); or products-completed operations hazard". ii) Such inspections, adjustments, 1) The insurance afforded to the vendor tests or servicing as the vendor is subject to the following additional has agreed to make or normally exclusions: undertakes to make in the usual course of business, inThisinsurancedoesnotapplyto: connection with the distribution a) "Bodily injury" or "property or sale of the products, damage" for which the vendor is 2) This insurance does not apply to anyobligatedtopaydamagesbyinsuredpersonororganizationfrom reason of the assumption of whom you have acquired such products, liability in a contract or agreement. or any ingredient, part or container,This exclusion does not apply to entering into, accompanying orliabilityfordamagesthatthecontainingsuchproducts.vendor would have in the absence of the contract or agreement; b. Lessors Of Equipment b) Any express warranty 1) Any person or organization from unauthorized by you; whom you lease equipment; but only with respect to their liability for "bodilyc) Any physical or chemical change injury", "property damage" or in the product made intentionally personal and advertising injury"by the vendor; caused, in whole or in part, by your d) Repackaging, except when maintenance, operation or use of unpacked solely for the purpose of equipment leased to you by such inspection, demonstration, testing, person or organization. or the substitution of parts under instructions from the manufacturer, and then repackaged in the original container; Page 12 of 24 Form SS 00 08 04 05 Named Insured: HF&H Consultants,LLC Policy Number: 57SBAGB6653 Policy Term: 1U2MZIA-33,/15115115114 BUSINESS LIABILITY COVERAGE FORM 2) With respect to the insurance afforded e. Permits Issued By State Or Political to these additional insureds, this Subdivisions insurance does not apply to any 1) Any state or political subdivision, but occurrence" which takes place after only with respect to operations you cease to lease that equipment. performed by you or on your behalf for c. Lessors Of Land Or Premises which the state or political subdivision 1) Any person or organization from has issued a permit. whom you lease land or premises, but 2) With respect to the insurance afforded only with respect to liability arising out to these additional insureds, this of the ownership, maintenance or use insurance does not apply to: of that part of the land or premises a) "Bodily injury", "property damage"leased to you. or "personal and advertising 2) With respect to the insurance afforded injury" arising out of operations to these additional insureds, this performed for the state or insurance does not apply to:municipality; or a) Any 'occurrence" which takes b) 'Bodily injury" or"property damage" place after you cease to lease that included within the "products- land or be a tenant in that completed operations hazard". premises; or f. Any Other Party b) Structural alterations, new 1) Any other person or organization who construction or demolition is not an insured under Paragraphs a. operations performed by or on through e. above, but only with behalf of such person or respect to liability for "bodily injury", organization.property damage" or "personal and d. Architects, Engineers Or Surveyors advertising injury" caused, in whole or 1) Any architect, engineer, or surveyor, but in part, by your acts or omissions or only with respect to liability for "bodily the acts or omissions of those acting injury", "property damage" or "personal on your behalf: and advertising injury" caused, in whole a) In the performance of your or in part, by your acts or omissions or ongoing operations; the acts or omissions of those acting on b) In connection with your premises your behalf: owned by or rented to you; or a) In connection with your premises; c) In connection with"your work"and or included within the "products- b) In the performance of your completed operations hazard", but ongoing operations performed by only if you or on your behalf. i) The written contract or written 2) With respect to the insurance afforded agreement requires you to to these additional insureds, the provide such coverage to following additional exclusion applies: such additional insured; and This insurance does not apply to ii) This Coverage Part provides bodily injury", "property damage" or coverage for "bodily injury" or personal and advertising injury"property damage" included arising out of the rendering of or the within the "products- failure to render any professional completed operations hazard". services by or for you, including: 2) With respect to the insurance afforded a) The preparing, approving, or to these additional insureds, this failure to prepare or approve, insurance does not apply to: maps, shop drawings, opinions, Bodily injury", "property damage" or reports, surveys, field orders, personal and advertising injury" change orders, designs or arising out of the rendering of, or thedrawingsandspecifications; or failure to render, any professional b) Supervisory, inspection, architectural, engineering or surveying architectural or engineering services, including: activities. Form SS 00 08 04 05 Page 13 of 24 Named Insured: HF&H Consultants,LLC Policy Number: 57SBAGB6653 BUSINESS LIABILITY COVERAGE FORM Policy Term: 12/15AJIB2/15/Il5/15/14 a) The preparing, approving, or This General Aggregate limit does not failure to prepare or approve, apply to "property damage" to premises maps, shop drawings, opinions,while rented to you or temporarily reports, surveys, field orders, occupied by you with permission of the change orders, designs or owner, arising out of fire, lightning or drawings and specifications;or explosion. b) Supervisory, inspection, 3. Each Occurrence Limit architectural or engineering Subject to 2.a. or 2.b above, whichever activities. applies, the most we will pay for the sum of all The limits of insurance that apply to additional damages because of all "bodily injury", insureds are described in Section D. — Limits property damage" and medical expenses Of Insurance. arising out of any one 'occurrence" is the How this insurance applies when other Liability and Medical Expenses Limit shown in insurance is available to an additional insured the Declarations. is described in the Other Insurance Condition The most we will pay for all medical expenses in Section E.—Liability And Medical Expenses because of "bodily injury" sustained by any General Conditions. one person is the Medical Expenses Limit No person or organization is an insured with shown in the Declarations. respect to the conduct of any current or past 4. Personal And Advertising Injury Limit partnership, joint venture or limited liability Subject to 2.b. above, the most we will pay for company that is not shown as a Named Insured in the sum of all damages because of all the Declarations. personal and advertising injury" sustained by D. LIABILITY AND MEDICAL EXPENSES any one person or organization is the Personal LIMITS OF INSURANCE and Advertising Injury Limit shown in the Declarations. 1. The Most We Will Pay 5. Damage To Premises Rented To You Limit The Limits of Insurance shown in the Declarations and the rules below fix the most The Damage To Premises Rented To You we will pay regardless of the number of: Limit is the most we will pay under Business Liability Coverage for damages because of a. Insureds; property damage"to any one premises, while b. Claims made or"suits" brought; or rented to you, or in the case of damage by fire, c. Persons or organizations making claims or lightning or explosion, while rented to you or bringing"suits". temporarily occupied by you with permission of 2. Aggregate Limits the owner. The most we will pay for: In the case of damage by fire, lightning or explosion, the Damage to Premises Rented To a. Damages because of "bodily injury" and You Limit applies to all damage proximately property damage" included in the caused by the same event, whether such products-completed operations hazard" is damage results from fire, lightning or explosion the Products-Completed Operations or any combination of these. Aggregate Limit shown in the 6. How Limits Apply To Additional InsuredsDeclarations. b. Damages because of all other "bodily The most we will pay on behalf of a person or injury", "property damage" or "personal organization who is an additional insured and advertising injury , including medical under this Coverage Part is the lesser of. expenses, is the General Aggregate Limit a. The limits of insurance specified in a shown in the Declarations, written contract, written agreement or This General Aggregate Limit applies permit issued by a state or political separately to each of your "locations"subdivision;or owned by or rented to you. b. The Limits of Insurance shown in the Location means premises involving the Declarations. same orconnecting lots, or premises Such amount shall be a part of and not in whose connection is interrupted only by a addition to the Limits of Insurance shown in street, roadway or right-of-way of a the Declarations and described in this Section. railroad. Page 14 of 24 Form SS 00 08 04 05 Policy Number: 57SBAGB6653 Policy Term: 12/15/14-12/15/15 BUSINESS LIABILITY COVERAGE FORM 6) When You Are Added As An When this insurance is excess over other Additional Insured To Other insurance, we will pay only our share of Insurance the amount of the loss, if any, that That is other insurance available to exceeds the sum of: you covering liability for damages 1) The total amount that all such other arising out of the premises or insurance would pay for the loss in the operations, or products and completed absence of this insurance; and operations, for which you have been 2) The total of all deductible and self- added as an additional insured by that insured amounts under all that other insurance; or insurance. 7) When You Add Others As An We will share the remaining loss, if any,withAdditionalInsuredToThisanyotherinsurancethatisnotdescribedinInsurancethisExcessInsuranceprovisionandwasnot That is other insurance available to an bought specifically to apply in excess of the additional insured. Limits of Insurance shown in the However, the following provisions Declarations of this Coverage Part. apply to other insurance available to c. Method Of Sharing any person or organization who is an If all the other insurance permits additional insured under this Coverage contribution by equal shares,we will followPart: this method also. Under this approach, a) Primary Insurance When each insurer contributes equal amounts Required By Contract until it has paid its applicable limit of This insurance is primary if you insurance or none of the loss remains, have agreed in a written contract, whichever comes first. written agreement or permit that If any of the other insurance does not permit this insurance be primary. If other contribution by equal shares, we will insurance is also primary, we will contribute by limits. Under this method,each share with all that other insurance insurer's share is based on the ratio of its by the method described in c. applicable limit of insurance to the total below. applicable limits of insurance of all insurers. b) Primary And Non-Contributory 8. Transfer Of Rights Of Recovery Against To Other Insurance When Others To Us Required By Contract a. Transfer Of Rights Of Recovery If you have agreed in a written If the insured has rights to recover all or- contract, written agreement or part of any payment, includingpermitthatthisinsuranceisSupplementaryPayments, we have made primary and non-contributory with under this Coverage Part, those rights are the additional insured's own transferred to us. The insured must do insurance, this insurance is nothing after loss to impair them. At our primary and we will not seek request, the insured will bring "suit" or contribution from that other transfer those rights to us and help usinsurance.enforce them. This condition does not Paragraphs (a) and (b) do not apply to apply to Medical Expenses Coverage. other insurance to which the additional b. Waiver Of Rights Of Recovery (WaiverinsuredhasbeenaddedasanOfSubrogation) additional insured. If the insured has waived any rights ofWhenthisinsuranceisexcess, we will recovery against any person or have no duty under this Coverage Part to organization for all or art of an payment,9 P Yp Y ,defend the insured against any"suit" if any including Supplementary Payments, we other insurer has a duty to defend the have made under this Coverage Part, we insured against that "suit". If no other also waive that right, provided the insured insurer defends, we will undertake to do waived their rights of recovery against so, but we will be entitled to the insured's such person or organization in a contract, rights against all those other insurers.agreement or permit that was executed prior to the injury or damage. Form SS 00 08 04 05 Page 17 of 24 THE HARTFORD Exhibit `(: STANDARD BLANKET NOTICE FORM THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY. TICS OF CANCELLATION. TO CERTIFICATE HOLDER(S) This policy is subject to the following additional Conditions: If notice is mailed, proof of mailing to:the last known mailing address of the certificate holder(s)on file A. If this policy is cancelled by the Company, other with the agent of record or the Company will be than for nonpayment of premium, notice of such sufficient proof of notice; cancellation will be provided at least thirty (30) Any notification rights,provided by this endorsement' days in advance of the cancellation. effective apply only to active certificate holders)who were date to the certificate holder(s) with mailing issued a certificate of insurance applicable to this addresses on file with the agent of record or the policy's term.. Company. B. If this policy is cancelled by the Company for Failure to provide such notice to`the certificate nonpayment of premium, or by the insured, holder(s)will not amend or extend the date the. notice of such cancellation will be. provided cancellation becomes effective,nor will it negate within (1 b)days of thecancellation effective datecancellation of the:policy. Failure.to send notice to the certificate holder(s) with mailing shall impose no liability of any kind upon.the addresses on file with the agent of record or the Company or its agents or representatives Company.; 7/1 VM11