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2020-11-09 Special Meeting
Visit our website at www.kodiakak.us www.facebook.com/Kodiakislandborough @KodiakBorough Kodiak Island Borough Assembly Special Meeting Agenda Monday, November 9, 2020, 4:30 p.m. Assembly Chambers This meeting was called by the Borough Mayor. Page 1. ROLL CALL 2. CITIZENS COMMENTS (Limited to Three Minutes per Speaker) 3. CONSIDERATION OF MATTERS IN THE CALL FOR THE SPECIAL MEETING 2 - 4 A. Reconsideration Of The Vote Taken On Ordinance No. FY2021- 01D Version 2 An Ordinance Of The Assembly Of The Kodiak Island Borough Amending Ordinance No. FY2021-01, FY2021 Budget, To Account For Federal Cares (Coronavirus Aid, Relief, And Economic Security) Act Revenues That Are Over Budget, Providing For Additional Expenditures And Moving Funds Between Projects. Reconsideration Filed By Assembly Member Turner Ordinance No. FY2021-01D Budget Amendment Version 2 5 - 103 B. Approval Of First Amendment To Contract No. FY2019 -25 Residential And Commercial Solid Waste Collection And Recycling Services Between The Kodiak Island Borough And Waste Connections Of Alaska, Inc. DBA: Alaska Waste. Contract No. FY 2019-25 - Residential and Commercial Solid Waste Collection Draft Of First Amendment To FY2019-25 4. 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FY2021-01D 7 8 AN ORDINANCE OF THE ASSEMBLY OF THE KODIAK ISLAND BOROUGH AMENDING 9 ORDINANCE NO. FY2021-01, FY2021 BUDGET, TO ACCOUNT FOR FEDERAL CARES 10 (CORONAVIRUS AID, RELIEF, AND ECONOMIC SECURITY) ACT REVENUES THAT ARE 11 OVER BUDGET, PROVIDING FOR ADDITIONAL EXPENDITURES AND MOVING FUNDS 12 BETWEEN PROJECTS. 13 14 WHEREAS, the assembly acknowledges during the recent COVID-19 pandemic many of our 15 citizens and businesses are experiencing financial hardships; and 16 17 WHEREAS, the Federal Government provided funding under Section 601(a) of the Social 18 Security Act, and added by section 5001 of the CARES (Coronavirus Aid, Relief and Economic 19 Security) Act in response to the recent pandemic; and 20 21 WHEREAS, the Assembly passed resolution FY2020-32 accepting the CARES Act grant in the 22 amount of $5,792,501 for the benefit of the Kodiak Island Borough community; and 23 24 WHEREAS, the Assembly, wishes to make additional budget changes to reflect the evolving 25 needs of those impacted by COVID19, by approving a Solid Waste Utility Credit for those active 26 account holders who have been financially impacted by the COVID19 pandemic; and 27 28 WHEREAS, the Assembly wishes to provide additional budgeted funding to acquire testing 29 supplies used for the detection of COVID19. 30 31 NOW, THEREFORE, BE IT ORDAINED BY THE ASSEMBLY OF THE KODIAK ISLAND 32 BOROUGH THAT: 33 34 Section 1: This ordinance is NOT of permanent nature and shall NOT become a part of the 35 Kodiak Island Borough Code of Ordinances. 36 37 Section 2: $1,546,000 for distribution to account holders of solid waste utility accounts as 38 defined in Resolution FY2021-19. 39 40 Section 3: $205,000 for shared expenses with the City of Kodiak. 41 42 Section 4: Increase Borough Expenditures by $2860 to provide funding to KEDC for 43 costs associated with distribution of CARES funds. 44 45 VERSION 2 AGENDA ITEM #3.A. Reconsideration Of The Vote Taken On Ordinance No. FY2021-01D Version 2 ... Page 3 of 103 Kodiak Island Borough, Alaska Ordinance No. FY2021-01D Deletion – Red, Strikeout Version 2 Insertion – Bold Blue Page 2 of 2 Section 5: Increase Borough Expenditures by $10,000 for Civil Air Patrol for loss of 46 revenue from community funding raising being curtailed due to Covid19. 47 48 Section 6: Provide $400,000 to the local Emergency Operations Center for testing 49 equipment and supplies, personal and clinical protection equipment, and 50 related supplies for Covid19 testing. 51 52 Section 7: Increase Borough Expenditures in the amount of $75,179 for the Kodiak 53 Rode & State Fairgrounds for expenses related to improvements and 54 repairs to promote social distancing while allowing community events. 55 56 Section 8: The amounts listed in sections 2 through 7 of this ordinance are hereby 57 appropriated for the purposes stated. 58 59 Effective Date: This ordinance takes effect upon adoption. 60 61 ADOPTED BY THE ASSEMBLY OF THE KODIAK ISLAND BOROUGH 62 THIS _______ DAY OF ______ 2020. 63 64 KODIAK ISLAND BOROUGH 65 ATTEST: 66 67 ___________________________ 68 William Roberts, Mayor ___________________________ 69 Alise L. Rice, Borough Clerk 70 VOTES: 71 Ayes: 72 Noes: 73 AGENDA ITEM #3.A. Reconsideration Of The Vote Taken On Ordinance No. FY2021-01D Version 2 ... Page 4 of 103 CONTRACTNO.FY2OI9-25RESIDENTIALANDCOMMERCIALSOLIDWASTECOLLECTIONANDRECYCLINGSERVICESBETWEENKODIAKISLANDBOROUGHANDWASTECONNECTIONSOFALASKA,INC.dbaALASKAWASTEMAY2019AGENDA ITEM #3.B.Approval Of First Amendment To Contract No. FY2019-25 Residential And Co...Page 5 of 103 ContractNo.FY2019-25TABLEOFCONTENTSRECITALS5SECTION1EXCLUSIVECONTRACT5SECTION2REPRESENTATIONSANDWARRANTIES62.01Contractor’sRepresentationsandWarranties62.02Integration7SECTION3TERMOFCONTRACT73.01InitialTerm73.02SpecificProvisionstoSurviveTerm83.03Contractor’sObligationsUponExpirationorTermination9SECTION4TRANSITIONPLANNING74.01TransitionPlan9SECTIONSGENERALSCOPEOFCONTRACTORDUTIES105.01CollectionandTransferofRefuse105.02CustomerService105.03FeeCollectionandFinancialReporting105.04ColletionandTransferofRecyclableCardboardMaterial40SECTION6SPECIFICCOLLECTIONDUTIES116.01MandatoryService116.02CollectionfromRefuseCarts116.03CollectionfromDumpsters,Roll-OffContainers,orCompactors126.04BulkyItems146.05EmergencyServices146.06On-Call1TemporaryDumpster,andRoll-OffCollectionService15SECTION7DISPOSALOFCOLLECTEDREFUSE167.01TransportationofCollectedRefusedtoKIBLandfill16SECTION8FUTURERECYCLINGPROGRAMSERVICE168.01General168.02ProspectiveServices168.03Methods178.04EquipmentandPersonnel178.05FinalDispositionofRecyclableMaterials178.06Documentation178.07RecordsandReporting188.08RecyclablesProcessingandMarketing16SECTION9GENERALOBLIGATIONSANDPERFORMANCESTANDARDS189.01ProceduresforMissedCollections189.02CustomerComplaints189.03UnpermittedWasteScreening(orRecyclablesifApplicable)199.04ContractServiceExceptions209.05OtherSpecialCustomerServices219.06ContractServiceAssets219.07ServiceStandards239.08BillingandAccountingPractices25SECTION10RECORDKEEPINGANDREPORTING2510.01Acknowledgement2610.02Records262AGENDA ITEM #3.B.Approval Of First Amendment To Contract No. FY2019-25 Residential And Co...Page 6 of 103 ContractNo.P12019-2510.03Reporting2710.04FinancialRecordsandReports27SECTION11CONTRACTORSERVICEFEEANDSPECIALSURCHARGES2811.01ContractorServiceFeeSchedule2811.02Contractor’sCostsCoveredbyServiceFee3111.03AdjustmentofContractorServiceFee60SECTION12MISCELLANEOUSPERFORMANCEOBLIGATIONS3712.01ComplianceWithApplicableLaws6512.02Contractor’sPersonnel6712.03CommunicationWithKIB67SECTION13INDEMNIFICATION,INSURANCE,LETTEROFCREDIT391301Indemnification6713.02RequiredInsurance6813.03PaymentSecurity4513.04GuarantyAgreement44313.05AssuranceofPerformance45SECTION14CHANGESINSCOPEOFCONTRACTOBLIGATIONS4614.01ChangestoPerformanceObligations46414.02ProposalRequirements46SECTION15BREACHOFAGREEMENT,DAMAGES,ANDDEFAULT4715.01LiquidatedDamages4715.02CompensatoryDamages4815.03Defaults4915.04ExcusedBreachesandDefaults4915.05RemediesUponBreach8015.06AdditionalCompensatoryDamages8215.07Waivers8315.08Costs8315.09KIBRightToPerform84SECTION16SUSPENSIONORTERMINATIONOFCONTRACT5716.01KIB’sRighttoSuspendorTerminate5716.02CriminalActivity58SECTION17TRANSFEROFCONTRACT5917.01TransferbyContractor59SECTION18THEPARTIES6118.01IndependentContractor6118.02PartiesinInterest6118.03BindingonSuccessors6118.04FurtherAssurances6118.05ActionsofRIBinItsGovernmentalCapacity6118.06Contractor’sObligationsPerformedatItsSoleExpense6118.07Parties’Representative6118.08DueDiligence9018.09NoUseofKIBName9018.10Subcontractors90SECTION19AMENDMENT6319.01Amendments63SECTION20NOTICES,CONSENTS,ANDAPPROVALS6420.01Notices643AGENDA ITEM #3.B.Approval Of First Amendment To Contract No. FY2019-25 Residential And Co...Page 7 of 103 ContractNo.FY2019-2520.02WritingRequirements6420.03ExerciseofOptions64SECTION21INTEGRATION,GOVERNINGLAW,ANDVENUE6521.01integration6521.02GoverningLaw6621.03Severability6621.04NewContract6621.05Venue6721.06Costs67SECTION22ADDITIONALTERMSANDCONDITIONS67SECTION23DEFINITIONS68SECTION24EXECUTION88EXHIBITA:REQUESTFORPROPOSALEXHIBITS:LIQUIDATEDDAMAGESEXHIBITC:CONTRACTOR’SPROPOSALDOCUMENTS4AGENDA ITEM #3.B.Approval Of First Amendment To Contract No. FY2019-25 Residential And Co...Page 8 of 103 ContractNo.FY2019-25CONTRACTFORRESIDENTIALANDCOMMERCIALSOLIDWASTECOLLECTIONANDRECYCLINGSERVICESThisContractforSolidWasteCollectionandRecyclingServices(“Agreement”)ismadeandenteredintothisNineteenth(1901)dayofJuly,2019(“EffectiveDate”)byandbetweentheKodiakIslandBorough(“Borough”or“KIB”),asecondclassboroughorganizedunderandlawsoftheStateofAlaska,andWasteConnectionsofAlaska,Inc.dbaAlaskaWaste(“Contractor”),anAlaskacorporationauthorizedtodobusinessintheStateofAlaska,collectivelyreferredtoastheParties.RECITALSWHEREAS,theBorough,pursuanttoAS.29.35.210(a)(4),isauthorizedtoprovideforgarbage,solidwaste,andsepticcollectionanddisposalonanon-areawidebasis;and,WHEREAS,theBorough,pursuanttoChapter8.25oftheKodiakIslandBoroughCode,regulatesthemanagementofmunicipalsolidwaste,includingitsstorage,collection,processing,recovery,anddisposal;and,WHEREAS,theBoroughdoessotoprotectthepublicsafety,healthandwelfareofthepeopleoftheBorough,toprotect,preserve,aridenhancetheenvironmentwithintheBorough,andtoprovideforfiscallyresponsiblesolidwastemanagement;and,WHEREAS,theContractorsubmittedaproposaltotheBoroughinresponsetoanREPthatwasissuedtoidentifypartiesqualifiedtoadministerthesolidwasteservicesandrecyclingprogram;and,WHEREAS,basedupontheinformationandrepresentationssetforthintheContractorsproposal,theBoroughhasdeterminedthattheContractoristhelowestresponsiblebidder;and,WHEREAS,thePartieswishforContractortoadministertheBorough’ssolidwasteandrecyclingprogram,subjecttothetermsandconditionssetforthinthisAgreement;and,NOW,THEREFORE,inconsiderationofthemutualpromises,covenants,andagreementscontainedherein,andthemutualbenefitsconferredhereunder,thereceiptandsufficiencyofwhichareherebyacknowledged,theBoroughandtheContractoragreeasfollows:SECTION1:EXCLUSIVECONTRACT1.01ExclusiveRightandPrivilegetoProvideContractServices.TheKIBgrantsContractortheexclusiverightandprivilege,togetherwiththeobligationtoprovide,ContractServiceintheContractServiceAreaconditionedonContractorbeingatalltimesready,willing,andabletomeeteachandeveryPerformanceObligation.5AGENDA ITEM #3.B.Approval Of First Amendment To Contract No. FY2019-25 Residential And Co...Page 9 of 103 ContractNaFY2019-25SECTION2:REPRESENTATIONSANDWARRANTIES2.01Contractor’sRepresentationsandWarranties.a.Status.Contractorisacorporationdulyorganized,validlyexistingandingoodstandingunderthelawsoftheStateofAlaskaandisinallrespectsqualifiedtodobusinessandperformtheContractServiceswithintheState.b.AuthorityandAuthorization.Contractorhasfulllegalright,powerandauthoritytoexecuteanddeliverthisContractandsatisfyitsPerformanceObligations.ThisContracthasbeendutysignedanddeliveredbyContractorandconstitutesalegal,validandbindingobligationofContractorenforceableagainstContractorinaccordancewithitsterms.c.NoConflicts.NeithertheexecutionnordeliverybyContractorofthisContract,theperformancebyContractorofitsPerformanceObligations,northefulfillmentbyContractorofthetermsandconditionsolthisContract:(1)Conflictswith,violatesorresultsinbreachofanyApplicableLaw;(2)Conflictswith,violatesorresultsinabreachofanytermorconditionsofanyjudgment,orderordecreeofanyRegulatoryAuthorityoranyagreementorinstrumenttowhichContractororanyofitsAffiliatesisapartyorbywhichContractororanyofitsAffiliates’propertiesorassetsarebound,orconstitutesadefaultthereunder;or(3)Willresultinthecreationorimpositionofanylien,chargeorencumbranceofanynaturewhatsoeveruponanyofthepropertiesorassetsofContractor.d.NoApprovalsRequired.Noapproval,authorization,license,permit,order,consent,declaration,registrationorfilingwithanygovernmentaloradministrativeauthority,commission,GoverningBody,agencyorinstrumentalityisrequiredforthevalidexecutionanddeliveryofthisContractbyContractor,exceptthosethathavebeendulyobtainedfromitsBoardofDirectorsorothergoverningbody.e.NoLitigation.Contractorwarrantsthatthereisnocurrent,pending,or,tothebestofContractor’sknowledge,threatenedaction,suit,proceedingorinvestigation,eitheratlaworinequity,beforeorbyanycourt,governmentalauthority,commission,governingbody,agencyorinstrumentality,byoragainstContractorwhereinanunfavorabledecision,rulingorfinding,inanysinglecaseorintheaggregate,wouldadverselyaffecttheperformancebyContractorofitsobligationsunderthisContractorinconnectionwiththetransactionscontemplatedbythisContract,orwhichinanywaywouldadverselyaffectthevalidityorenforceabilityofthisContractoranyother6AGENDA ITEM #3.B.Approval Of First Amendment To Contract No. FY2019-25 Residential And Co...Page 10 of 103 ContractNo.FY2019-25agreementorinstrumententeredintobyContractorinconnectionwiththetransactionscontemplatedbythisContract.Contractorfurtherwarrantsthatthereisnoaction,suit,proceedingorinvestigation,eitheratlaworinequity,beforeorbyanycourt,governmentalauthority,commission,board,agencyor‘instrumentalitypendingorthreatened,byoragainstKIBbyContractor.f.DueDiligence.Contractorwarrantsthatithasconductedsuchindependentinvestigation,examinationandresearchoftheconditionsandcircumstancessurroundingthisContract,includingthebestandpropermethodsofprovidingtheContractServices(includingthetypesofContractServices),labor,equipmentandmaterialstoensureitsabilitytoprovidetheContractServicesaccordingtothetermsandconditionssetforthherein.ContractoragreesthatitwillmakenoclaimagainstKIBbasedonanygoodfaithestimates,statementsorinterpretationsmadebyanyofficer,employeeoragentofKIBthatprovestobeinanyrespecterroneous.g.CompliancewithApplicableLaws.ContractorfurtherrepresentsandwarrantsthatithasfullycompliedwithallApplicableLaws,includingwithoutlimitationanyandalllawsrelatingtoconflictsofinterest,inthecourseofprocuringthisContract.h.TruthandAccuracyofApplication.ContractorwarrantsthattheinformationprovidedintheproposalitsubmittedinresponsetoXIS’sRequestforProposalsforthisContract,togetherwithanyaddendathereto,includingallamendments,clarifications,andothercommunicationsfurnishedtoKIBaspartofthatproposal,istrue,accurateandcomplete.i.UpdatestoContractorDocumentation.ContractoragreestopromptlynotifyKIBofanychangeincircumstancethatrendersuntrueanyinformationrepresentedtoKIBaspartofthecompetitiveprocurementprocessgivingrisetotheawardofthisContract,andshallalsodosointheeventthatitdiscoversthatanyrepresentationtoKIBwasotherwiseerroneous.2.02Integration.Thisinstrument,aswellasallappendicesandamendments,setforththeentireagreementoftheparties.Thereexistnootherpromises,terms,conditions,orobligationsotherthanthosecontainedherein,andthisContractshallsupersedeallpreviouscommunications,representationsoragreements,eitheroralorwritten,betweenthepartieshereto.SECTION3:TERMOFCONTRACT3.01InitialTerm.a.ContractCommencementDateandexpirationofTerm.TheContractTerm7AGENDA ITEM #3.B.Approval Of First Amendment To Contract No. FY2019-25 Residential And Co...Page 11 of 103 ContractNo.FY2019-25shallcommenceonJuly1,2020(“CommencementDate”)and,unlessextended,shallexpirein7yearsonJune30,2027(“TerminationDate”).b.CollectionCommencementDate.TheCollectionCommencementDateisJuly1,2020.c.Short4ermextension.Onorbefore30dayspriortotheexpirationoftheTermwhetheroriginalundersubsectiona)orextendedundersubsectiond),KIB,initssolediscretion,mayextendtheTermforuptosixmonths.d.MutualOptiontoExtendTerm.Onorbefore60dayspriortothefollowingdates:(1)expirationoftheInitialTermundersubsectiona),(2)theextendedTermundersubsectionb),or(3)aportionofthemaximumallowableextendedTermunderthissubsection,withKIBandContractor’smutualagreement,mayincrementallyextendtheTermforupto3yearsinanycombinationofthefollowingnumberofyears(suchas1+2,1+1+1;2+1).302SpecificProvisionstoSurviveTerm.ThefollowingprovisionsofthisContractwillsurvivetheTerm:a.allacknowledgements,representatIonsandwarrantiesofthePartiesinthisContract;b.allIndemnities;c.ContractorPaymentObligationsorclaimstherefore;d.allContractor’sPerformanceObligationsandKIB’srightswithrespecttoRecords,includinggivingKIBacopyofRecords,orallowingKIBtocopy,inspectandauditRecords,including:•certificatesofInsuranceorotherevidenceofInsurancecoverage(suchasendorsementsextendingcoverageofclaimsmadeinsurancepolicies),and•ContractServiceAssetInventoryandContractServiceAssetDocumentation(forexample,withrespecttoRefuseCartsthat1(18hastherighttoacquire).e.allContractor’sPerformanceObhgationsandKIB’srightswithrespecttoReports;includingsubmittingfinalReports;8AGENDA ITEM #3.B.Approval Of First Amendment To Contract No. FY2019-25 Residential And Co...Page 12 of 103 ContractNo.FY2OIQ-25f.providingendorsementsextendingcoverageofclaimsmadeinsurancepolicies,iflBwaivestheclaimsmaderequirementandallowsclaimsmadeinsurancepolicies;g.anyotherprovisionthatexpresslystatesthatitsurvivestheTerminationDate(suchtransferofCartownershiptoKIB);andIi.anyrightofeitherPartyvestedandanyobligationofeitherPartiesaccruedbeforetheTerminationDate.3.03ObligationsUponTerminationorExpiration.a.SaleorLeaseofContractServiceAssets.UponterminationorexpirationofthisAgreement,Contractormaywithin10daysenterintogoodfaithnegotiationstopermit1(18oritsnewlyselectedcontracthaulertopurchaseorleasethoseContractServiceAssets,includingRefuseContainers,usedandownedbyContractorwithintheServiceArea.Aspartofanysuchpurchaseorleaseagreement,ContractorshalldeliveranyandallContractServiceAssetDocuments,including,butnotlimitedto:manufacturerswarranties,maintenanceagreements,financingdocuments,andrecordedfinancingstatements,ifany.b.ContractorRemovalofRefuseContainers.IftheContractServiceAssetsarenotsoldorleasedtoKIBuponterminationofthisAgreement,ContractorshallremoveallitsRefuseContainersfromtheServiceAreawithin90daysc.SurvivalofObligations.Contractor’sobligationsunderthisSectionshallsurvivetheterminationorexpirationofthisAgreement,oranyextensionthereto.SCTlON4;TRANSITIONPLANNING4.01TransitionPlan.a.Contractor’sAcknowledgement.ContractoracknowledgesthatitisoftheutmostimportancetoKlBthatthetransitionfromKIB’scurrentsolidwasteservicesprovidertotheContractorproceedssmoothly,andwithoutanysignificantinterruptioninservices.ToensurethecontinuedsatisfactionofCustomers,itshall,submittheirtransitionplanalongwiththeirproposal.Tobereviewedandtakenintoconsiderationwhenscoringisdone.(1)TimelyCollectionateachCustomer’sPremise;(2)AccuratebillingforSpecialServiceSurcharges;(3)EfficientdistributionofRefuseContainers;(4)ThatCustomerpreferencesaretakenintoaccountwithrespecttoanymodificationstopickupdaysortimes,thescopeofservices,orprogramspecifications;and9AGENDA ITEM #3.B.Approval Of First Amendment To Contract No. FY2019-25 Residential And Co...Page 13 of 103 ContractNo.FY2019-25b.ContractorTransitionPlan.TheContractorshallsubmitaPreliminaryTransitionPlanforKIS’sapprovalatthetimeofthesubmissionoftheirproposal.TheFinalTransitionPlanwillbesubmittedforKIB’sapprovalwithinsixty(60)daysoftheNoticeofIntenttoAwardwhichtheContractorshaltbeabletoimplementinamannersatisfactoryto1<18atthecommencementofthecontract.TheTransitionPlanwillprovidedetailsforrespondingtoCustomercomplaintsandinquiries.c.CompliancewithTransitionPlan.ContractorwillfullyimplementitsTransitionPlan,andshalldosoinatimelymanner.Contractorwilldirectemployeestoworkovertimeandloraddextrashifts.asnecessary,withoutanyincreasetoitsContractorServiceFeetoensurecompliancewiththePlan.Contractoragreesthatitwill,onaweeklybasis.submittoKIBwrittenstatusreportsinaformandcontainingsuchinformationasissatisfactoryto1<18.whichshallcommencenolaterthantheFridayoftheweekfollowingtheContractCommencementDate.OnthefirstKIBBusinessDayeachweek.andpromptlyuponKIBrequestthereafter.Contractorwillmeetwith1<18toreviewthestatusofitsimplementationoftheTransitionPlan.SECTION5:GENERALSCOPEOFCONTRACTORDUTIES5.01CollectionandTransferofRefuse.Subjecttotheconditionscontainedherein,Contractorshall,amongotherthings:a.ProvideRefuseContainerstoCustomers;b.ProvideResidentialandCommercialCollectionservice;c.CollectMunicipalSolidWastegeneratedintheServiceArea;d.DeliverMunicipalSolidWastetotheKlBLandfill.5.02CustomerService.Subjecttotheconditionscontainedherein,Contractorshall,amongotherthings:a.ServeastheprimarypointofcontactforCustomers;b.ResolveCustomercomplaintsinatimelymanner;c.ReportCustomercomplaintsto1<18;and,d.PerformitsCollectionandTransferdutiesinaprofessionalandcourteousmanner.5.03FeeCollectionandFinancialReporting.Subjecttotheconditionscontainedherein,Contractorshall,amongotherthings:10AGENDA ITEM #3.B.Approval Of First Amendment To Contract No. FY2019-25 Residential And Co...Page 14 of 103 ContractNo.FY2019-25a.OnbehalfofKIB,chargeCustomersafeeorfeesintheamountsdirectedbyKlB;b.RemittoKIBsuchportionsofthosefeesasdirectedherein;c.Maintaindetailedfinancialrecordsregardingthebillingandcollectionoffees;and,d.IssueReportstoKIBinthemannerandatthetimesdirectedherein.5.04CollectionandTransferofRecyclableCardboardMaterial.Subjecttotheconditionscontainedherein,Contractorshall,amongotherthings:a.ProvideCardboardRecyclingContainerstoCustomers;andb.DeliverCardboardRecyclingContainerstotheKIBdesignatedrecyclingfacilityforprocessing.SECTION6:SPECIFICCOLLECTIONDUTIES6.01MandatoryService.a.ContractoracknowledgesthatContractorisrequiredtochargetheowneroroccupantofaPremisesaServiceFee,regardlessofwhetherthatowneroroccupantself-haulsSolidWasteanddiscardsitintheDumpsterandRollOffContaineratKIBlandfillorutilizesServicesatCustomersPremises.b.IfanyonenotifiesContractorinwritingthatheorshewishestopersonallystore,collect,transportanddisposeofSolidWastegeneratedonthatperson’sPremises,(referredtoas“self-haul”),ContractormayneverthelesschargethatpersonaContractorServiceFeecommensuratewiththegallonequivalent(32,64or96gallons)ofSolidWastethattheself-haulCustomerdiscardsattheDumpsterorRollOffContainerlocatedatKIBLandfill,asestimatedbyaKIBemployee.c.MandatoryServiceNotice.Withinseven(7)ServiceDaysafterreceivingnotice(basedonContractor’sdrivers’observations,informationandbelief,orotherwise)thataformerlyunoccupiedPremisebecomesoccupied,orthattheindividualsoccupyingthePremiseshavechanged,ContractorwillgivewrittennoticetotheowneroroccupantofthatPremisesthatServiceisrequiredunlessContractorhasalreadyreceivedarequestforServiceatthatPremise,orKIBrevokessuchprovisionsoftheKIBCodethatrequiremandatoryService.6.02CollectionFromRefuseCarts.a.AutomatedorSemi-AutomatedCollection.ContractorwillCollectallRefuseCartsusinganAutomatedorSemi-Automatedmanner.“Automated”meansthatRefuseCartsareliftedfromtheirSet-OutSite,emptiedandset11AGENDA ITEM #3.B.Approval Of First Amendment To Contract No. FY2019-25 Residential And Co...Page 15 of 103 ContractNo.FY2019-25backdownattheirSet-OutSitebymechanicalmeans.“Semi-AutomatedmeansthatRefuseCartsarerolledbyContractor’semployeesfromtheirSet-OutSitesintopositionneartheCollectionVehicle;lifted,emptiedandsetbackdownbymechanicalmeans;andreturnedbysuchemployeestotheirSet-OutSites.b.MandatoryCollectionfromRefuseCarts.BeginningontheCollectionCommencementDate,andonaweeklybasisthereafter,ContractorshallcollectallRefuseplacedinCartslocatedatResidential,Multi-familyandCommercialPremiseswithintheCityofKodiak,orsuchotherareasasmaybedesignatedbyKIBinaNoticetoContractor,ontheRegularlyScheduledCollectionDay.c.RefuseCartOptions.(1)StandardOption.UnlessContractormustprovideRollOffContainerspursuanttoSection6.02,itshallprovideeachPremiseswithone95-galloncapacityBear-ResistantRefuseCartforthechargelistedontheServiceFeeScheduleinSection11.01,exceptiftheowneroroccupantofthatPremisesdirectsContractortoprovideadifferentnumberofCartsunderfollowingSubsectionc.(2).(i)IfaPremisefallswithinaBorough—designated“BearAware”area,itshallwithoutexceptionbeexcludedfromreceivingarollcart.(2)CustomerRequestsforAdditionalRefuseCarts.ContractorwillprovideCustomerswithBear-ResistantRefuseCarts.Additionalcartsshallbeprovideduponrequest,witheachadditionalcartpricedatthecorrespondingServiceFee.ci.CartRolloutService.(1)ScopeofService.Uponrequest,ContractorwillprovideRolloutServicetoCustomers,asfollows:(i)WithoutSurcharge.RolloutserviceshallbeprovidedtoSeniorCitizensandDisabledCustomerswithoutsurcharge,iftheCustomercertifiesthatnoable-bodiedpersonresidesatCustomerspremise.(H)WithSurcharge.Ifrequested,rolloutserviceshallbeprovidedtoallotherCustomers,whoshallbechargedthesurchargesetforthontheContractorServiceFeeSchedule.6.03CollectIonFromDumpsters,Roll-OffContainers,orCompactors.a.Residential,Commercial,orMulti-FamilyCollection,GenerallybeginningontheCollectionCommencementDate,ContractorwillprovideallMulti-FamilyandCommercialCustomerswithintheServiceAreawitheitherResidentialRoll-OffContainersorDumpsters,forwhichCustomersshallbechargedin12AGENDA ITEM #3.B.Approval Of First Amendment To Contract No. FY2019-25 Residential And Co...Page 16 of 103 ContractNo.FY2019-25accordancewiththeContractorServiceFeeScheduleinSection11.01.ResidentialCustomerswhosePremisesarelocatedwithintheportionoftheServiceAreaoutsidetheCityofKodiakshallalsobeprovidedwithaResidentialRoll-OffContainerorDumpster.ContractorwillcollectRefusediscardedthereinatleastweekly,ontheRegularlyScheduledCollectionDay(s)oronalternateoradditionaldaysasagreedtobetweenContractorandtheCustomer.b.DumpsterOptions.(1)StandardOption.ContractorwillprovideeachCommercialPremiseandMultiFamilyPremisewithone2.0cubicyardcapacitydumpstertobeCollectedonceweeklyforthechargelistedontheServiceFeeScheduleinSection11.01,subjecttothefollowingexceptions:(H)IfaPremisefallswithinaBorough-designated“BearAware”area,itshallwithoutexceptionreceiveabear-resistantDumpster.(IU)ACustomermaydirectContractortoprovideaDumpsterofalternatecapacity,oroneormoreRefuseCartsorRoll-OffContainers,subjecttothechargesprescribedbytheContractorServiceFeeSchedule.ACustomermayalsodirectContractorto,notwithstandinganyRegularlyScheduledCollectionDay(s),collectrefusefromtheCustomersPremisesonalternateoradditionaldaysasagreedtobetweentheContractorandCustomer,andsubjecttotheContractorServiceFeeSchedule.(iv)ShouldtheContractor,initssolediscretion,determinethatthereisinsufficientroomatapremisetoplaceorsafelycollectoneormoredumpstersforeachcustomerusingthecorrespondingset-outsite,theContractorwilleither:A.ProvideoneormorecartsofthecapacityandnumberthateachCustomerrequirestosafelyandadequatelystoreitsdiscardedRefusependingCollection;or.B.AllowoneormoreCustomerstoshareaDumpster.(2)DumpsterLocks.ShouldaCustomersorequest,ContractorshallpromptlyprovidedumpsterLocks,whichshallbesubjecttoanysurchargesetforthontheContractorServiceFeeSchedule.b.Compactors.ContractorisnotobligatedtoprovideaCompactortoanyCustomer.However,onrequestoftheowneroroccupantofaCommercialorMulti1amilyPremise,ContactorwillCollectallRefuseplacedinsideeachCompactoratthefrequencyrequestedbythatCustomerandforthechargelistedontheServiceFeeScheduleinSection11.01.13AGENDA ITEM #3.B.Approval Of First Amendment To Contract No. FY2019-25 Residential And Co...Page 17 of 103 ContractNo.FY2019-25c.Roll-OffContaineratKIBLandfill.BeginningontheCommencementDate,ContractorwilldeliveraDumpsterorRollOffContainerinanycapacityprovidedontheServiceFeeScheduleinSection11.01,asrequestedbyKIB,tothelocationspecifiedbyKIBattheKIBLandfill.ContractorwillreplacethatDumpsterorRoll-offContainerwithanotherDumpsterorRollOffContainerofanyothercapacityprovidedontheServiceFeeSchedule,withintwo(2)ServiceDaysofKIB’5request.ContractorwillprovideK!BwiththeServiceprescribedinSection6.03(a)(includingcontainerrepairandmaintenance),asii1<18wereaCustomer.BeginningontheCollectionCommencementDate,ContractorwillCollectallSolidWasteplacedthereinatthefrequencyagreedtobyKIBandtheContractor,anddisposeofitattheKIBLandfill,withoutchargetoKlB.ci.CardboardRecyclingContainers.BeginningontheCommencementDate,ContractorwilldeliveraspeciallyfabricatedCardboardRecyclingContainerinanycapacityprovidedontheServiceFeeScheduleinSection11.01,atthedesignatedlocationsspecifiedbytheKIB.Contractorwillcollectcardboardrecyclablematerialdiscardedthereinatleastweekly,ontheRegularlyScheduledCollectionDay(s)oronalternateoradditionaldaysasagreedtobetweenContractorandtheKIBbensurethateachCardboardRecydingContainerispiornpttyemptiedwhencontainersatpadty.6.04BulkyItems.a.ReportingBulkyItems.Contractor’semployeesmustpromptlynotifyContractorofanyBulkyItemsthattheyobservediscardedataDumpsterSetOutSite.1.On-CallCollectionServiceandFees.Contractormust,withinthree(3)daysofaCustomer’srequest,collectBulkyItemswithmaximumallowabledimensionsof4x5x6cubicfeetthatarediscardedataSet-OutSite.Customersshallbeentitledtoonesuchpickupeachmonth;however,ContractorshallchargeCustomersthesurchargelistedontheContractorServiceFeeScheduleinSection11.01foreachadditionalpickupofBulkyItemsthatoccurswithinthesamecalendarmonth.c.DiversionProgramforBulkyItems.ContractorwillusereasonablebusinesseffortstodivertallbulkyItemsthatitcollects.ContractorshalldeliverallbulkyItemsthatitdoesnotdivedtoafacilityapprovedbyKIB.6.05EmergencyServices.a.NatureofEmergencyServices.Within24hoursofnoticebyKIB,whetheroralorwritten,ContractorwillprovideemergencyservicesbeyondthescopeoftheContractServicesatthetimesandtotheextentdirectedbyKIB,includingprovidingvehicles,driversandotherequipmentandpersonneltocleanupSolidWasteandotherdebrisconsequentuponnaturaldisasterssuchasearthquakes,storms,floods,riotsandcivildisturbances,forwhich14AGENDA ITEM #3.B.Approval Of First Amendment To Contract No. FY2019-25 Residential And Co...Page 18 of 103 ContractNo.FY2019-25ContractorwillbecompensatedContractorsreasonableReimbursementCosts.Tothefullestextentpossible,ContractorshallseekKIB’spreapprovalpriortoincurringanyexpensesrelatedtotheprovisionofemergencyservices.b.Reporting.ContractorwillcooperatewithKIB,theState,andfederalofficialsinfilinginformationrelatedtoaregional,stateorfederaldeclaredstateofemergencyordisasterastowhichContractorhasprovidedservicesunderthisChapter.c.EmergencyBackupServicePlan.ContractorwillsubmitanemergencybackupserviceplantoKIBsixty(60)dayspriortotheContractCommencementDate,whichshallbesubjecttoKIB’sapproval.Contractorshallimplementthatplanif,duetoUncontrollableCircumstancesorforanyreasonwhatsoever,Contractorfails,refuses,orisunableforaperiodof48hourstocollectand/oratanytimetransportSolidWasteoranyportionthereoftotheapplicableSolidWasteManagementFacility,andtheKIBManagerdeterminessuchfailurereasonablypresentsadangertothepublichealth,safety,orwelfare.6.06On-CallTemporaryDumpsterandRoll-OffCollectionService.a.ContainerDelivery.Uponrequest,ContractorwilldeliveraDumpsterorRollOffContainer,inanynumberandsizeavailablepursuanttotheContractorServiceFeeSchedule,atthefollowingtimes:(1)OnthesameServiceDayifContractorreceivesarequestbefore10a.m.onthatServiceDay;(2)OnthenextServiceDayifContractorreceivesarequestafter10a.m.butbefore4:00p.m.onaServiceDay;and,(3)WithintwoServiceDays,ifContractorreceivesarequestafter4:00p.m.onaServiceDay.b.Collection.BeginningontheCollectionCommencementDate,ContractorwillcollectallRefuseand/orConstructionandDemolition(C&D)DebrisdepositedinaDumpsterorRoll-OffContaineratthefrequencyrequestedbytheCustomerforthecorrespondingchargeslistedontheContractorServiceFeeScheduleinSection11.01.c.DiversionofConstructionandDemolitionDebristoKIBLandfill.TheContractorshalluseReasonableBusinessEffortstoDivertConstructionandDemolitionDebrisfromdisposal.IfContractorcannotdivertConstructionandDemolitionDebrisfromdisposalusingReasonableBusinessEfforts,itwilldeliverittoKIBLandfill,subjecttothesameobligationsthatContractorhaswithrespecttoRefuseunderSection7.d.ContainerPickup.ContractorwillpickupsuchDumpsterorRollOffContainer15AGENDA ITEM #3.B.Approval Of First Amendment To Contract No. FY2019-25 Residential And Co...Page 19 of 103 ContractNo.FY2O19-25withintwo(2)ServiceDaysofaCustomersrequestorothertimeagreedtobetweenContractorandCustomer.SECTION7:DISPOSALOFCOLLECTEDREFUSE7.01TransportationofCollectedRefusetoKIBLandfill.a.KIBLandfill.ContractorwilltransportanddeliverallRefusethatitCollectstotheKIBLandfill.ContractorwillcoordinatethatdeliverywithHolidayCollectionschedulesandclosuresforrepairandmaintenance.ContractorwillkeepRefusethatitCollectsatResidentialPremises,whetherinCarts,Dumpsters,orRoll-Offs,separatefromRefusethatitCollectsatCommercialorMulti-FamilyPremisesandwillnotcomminglethatRefuseinoneVehicle.b.ComplianceandCooperation.ContractorwillensurethatitsVehiclesarecapableofpassinginandoutofthedoorofthebalerbuildingattheKIBLandfill.ContractorwillcooperatewithKIBLandfilloperators,andshallcomplywithallrulesineffectattheKIBLandfill,including,butnotlimitedto:(1)DeliveringRefuseonlyatthetimesandonthosedaysspecifiedbyKIB;(2)FollowingdirectionstounloadCollectionVehiclesindesignatedareas;(3)AccommodatingKIBLandfilloperationsandmaintenanceactivities;and,(4)ComplyingwithKISsUnpermittedWasteexclusionprograms.c.DisposalFees.ContractorwillpayallKIBLandfillDisposalfees,includingthefeesforDisposalofRefusethatContractorCollectsfromRoll-OffContainersandDumpsterslocatedattheKlBlandfill.SECTION8:FUTURERECYCLINGSERVICESPROGRAM8.01General.Contractoracknowledgesthat,subjecttotheprotocolssetforthatSection14ofthisAgreement,KIBmayalsorequireContractortoimplementaRecyclingcollectionprogram.Inthatevent,KIBwillrequestthatContractorsubmitaproposaltoimplementsuchRecyclingcollectionprogram,whichitshallreviewandconsiderpriortorequestingproposalsfrom,ornegotiatingwith,anyotherPersonfortheprovisionoftheseservices.However,ifKIBandContractordonotreachagreementbytheendoftheperiodspecifiedinSection14,KIBshallbeentitledtotakeanysuchotheractionsasmaybepermissiblepursuanttothetermsofthisAgreement.8.02ProspectiveServIces.IfKIBselectsContractortoprovideRecyclingservices,Contractorshallsupplyalllabor,equipment,personnel,quarterlyreports,andpaymentinvoicesinatimelymannerasoutlinedinthisAgreement.TheContractorshallagreetoperformallservicesnecessaryfortheprocessingandshipmentofrecyclablematerialsthatitcollectswithintheCityofKodiakand16AGENDA ITEM #3.B.Approval Of First Amendment To Contract No. FY2019-25 Residential And Co...Page 20 of 103 ContractNo.FY2019-25KIB.Contractorwillcollectandprocesscardboard,mixedpaper/paperboard,newspaper,plastic,aluminumcansandofficepaper.Recyctabtematerialdoesnotincludelargemetalitemssuchasvehicles,partsofvehicles,appliancesorhomeconstructiontypeofsiding.ContractorwillimplementtheprocessingmethodsandRecyclablescollectionasdescribedinitsProposalandthefinaladdendumandcoverallcostsassociatedwithContractoescollectionandhandlingofRecyclables.8.03Methods.ContractorwilladheretothecollectionplanandprocessingmethodsbaseduponitsProposalandanyaddendathereto.8.04EquipmentandPersonnel.TheContractorhasidentified,initsProposalandanyaddendathereto,theequipmenttobeusedinthecollectionandprocessingofRecyclables.Thisidentificationshallincludetheminimumfollowinginformation:a.Equipmenttype;b.Equipmentquantities;and,c.Availabilityofbackupequipment.TheContractorhasalsoidentifiedinitsProposalthenumberofpersonnelnecessarytomeettherequirementsofthisAgreement.Personnellistedshallincludemanagement,supervisory,customerservice,equipmentoperators,collectionpersonnel,etc.AnychangestomanagementpersonnelshallbepromptlycommunicatedtoKIB.8.05FinalDispositionofRecyclableMaterials.ItshallbetheresponsibilityoftheContractortoensurethatcollectedmaterialisprocessedandrecycled.TothisendtheContractorshalldocumentthefinaldispositionofthecollectedmaterialaspartofitsquarterlyreportingrequirement.8.06Documentation.ContractorshallmaintainthroughoutthedurationoftheAgreement,andfortwo(2)additionalyears,documentationonalloftheContractServicesprovided.Contractorshallmaintainrecordstosubstantiateallworkperformedandfeesrequested.Suchrecordsshallinclude,butnotbelimitedto,dailyrecordsonthepoundsofprocessedrecyclables,shipmentrecords,andrecyclablepickuplocations.KIBmayrequestthatcopiesorportionsofthisdocumentationbeincludedwithContractor’smonthlyrequestsforpayment.8.07RecordsandReporting.a.Records.Contractorwillcollectandrecord,onadailybasis,tonnageinformation,includingthegross,tare,andnetweightofeachloadofRecyclablesitcollects,aswellasthereceiptsfromtheRecyclablesprocessingfacilities,insuchamannerthatContractorandKIBmayreviewtheamountofRecyclablescollectedanddeliveredbyContractoronanygivenday.17AGENDA ITEM #3.B.Approval Of First Amendment To Contract No. FY2019-25 Residential And Co...Page 21 of 103 ContractNo.FY2OI9-25b.Reports.Contractorwillincludeasummaryoftherecordsfortonnage,andanyadditionalinformationrequestedbyKIBinitsQuarterlyReport,asdescribedintheKlBResidentialandCommercialSolidWasteCollectionandRecyclingServicesRFPandContractor’sProposal.c.Inventory.ContractorwillsubmitanupdatedinventoryofServiceAssetstoKIBonJuly1ofeachyearduringtheContractTerm,whichshallincludethefollowing:(1)Ageneraldescriptionofitsmaintenanceyards,operationsfacilities,dropofflocations,ContractorOffice,andanyotheradministrativeandcustomerserviceoffices;and,(2)AlistofVehiclesdescribedbytype,includingmanufactureandmodelnumberforcab,chassisandbody;descriptivenotation(i.e.kant-endloader,compactor,etc.);number;DMVlicensenumber;theageofthechassisandbody;typeofbody(i.e.,open-top,closed,etc.);typeoffuelused;thedateofacquisition;themaintenanceandrebuildstatus;and,leaseorinstallmentpurchaseinformation.8.08RecyclablesProcessingandMarketing.ContractormaychangeitsselectionofRecyclablesProcessingFacilityandnotifyKIBwithin30daysofdoingso.IftheRecyclablesProcessingFacilityiswhollyorpartiallyinoperableforanyreason,includinguncontrollablecircumstances,ContractorwillmakeotherarrangementstoprocessRecyclablesortotransporttheRecyclablestotheRecyclablesProcessingFacilitywithoutincreaseoftheContractorcompensationdespiteanyconsequentadditionalcoststoContractor.SECTION9:GENERALOBLIGATIONSANDPERFORMANCESTANDARDS9.01ProceduresforMissedCollections.a.CorrectiveActionRequired.AbsentContractServiceExceptions,onthenextContractServiceDayfollowingtelephonicorothernoticetoContractor,ContractorwillCollectwithoutchargeanycontainerthatContractorshouldhaveCollected,delivered,exchanged1orrepairedbutdidnot.IfContractorfailstodoso,KIBmayprovidetheContractServiceitselforthroughathirdpartyandContractorwiflreimburseKIB’sReimbursementCoststhereof.9.02CustomerComplaints.a.Response.ContractorwiflrespondtoallCustomerinquiriesandcomplaints(includinganyinquiryorcomplaintleftwiththetelephoneansweringservice)within24hoursfollowingnoticetoContractor,andhandleallcomplaintsconsistentwiththerequirementsoftheCustomerComplaintProtocolsetforthinthisSection.b.CustomerComplaintProtocol.Contractorwillmaintain,updateas18AGENDA ITEM #3.B.Approval Of First Amendment To Contract No. FY2019-25 Residential And Co...Page 22 of 103 ContractNo.FY2019-25necessary,andfollowtheCustomerComplaintProtocol.UponcommencementofthisAgreementandinadvanceofallupdates,ContractorwillprovideKIBwithacopyoftheCustomerComplaintProtocolforitsapproval,whichshallnotbeunreasonablywithheld.c.ReferraltoKIB.ContractorwillnotreferorforwardanyCustomertoKIBforresolutionofcomplaintsoranswerstoinquiriesunlessContractorhasmadeallreasonableeffortstoresolvethematter,hasfailedtoreachresolution,andtheCustomerinsists.Insuchevent,ContractorshallrefertheCustomertotheindividualspecifiedastheKIBRepresentative.d.EmployeeTraining.ContractorwilltraineachofitsCustomerserviceemployeestofollowtheCustomerComplaintProtocoluponstartingemployment,andperiodicallythereafter.e.RecordkeepingandKIBAccesstoRecords.ContractorwillmaintainawrittenrecordofeveryinquiryandcomplaintthatitreceivesrelatedtoitsprovisionoftheContractServices,includinginformationrequiredbyRIB,andprovideKIBwithacopyofanysuchinquiriesandcomplaintsthatoccurredinamonthbythe15thdayofthesubsequentmonth.ContractorwillallowKIBaccesstocomplaintrecordsatContractor’sOfficeduringContractorOfficeHours.ContractorwillprovidecopiesofanyCustomercomplaintsandtheresolutionofthosecomplaints,andotherrelatedRecords,toKlBwithintwohoursofKIB’srequest.f.CertainCustomercomplaintsmaybedirectlyrelatedto,orrequiredirectinputfrom,theKIB,andContractorshouldnotbepenalizedorincurcostsforsuchmatters.KIB’sinvoiceforKIB’sReimbursementCostsshallindicatethefollowing:(1)thenameandaddressoftheCustomer;(2)natureofcomplaintorinquiry;(3)amountoftimespentbyKIBemployeeorrepresentative;(4)hourlyfeesforKIBemployeesorrepresentatives;and,(5)costofmaterialsorotherdisbursements,includingphoneandpostagecosts,requiredtoresolvethecomplaintoranswerthequestion.9.03UnpermiftedWasteScreening(orRecyclablesifApplicable).a.Protocol.ContractorwilldevelopandimplementanUnpermittedWaste(orrecyclablesifapplicable)ScreeningProtocolincompliancewithApplicableLaw,whichshallbesubmittedtoKIB60dayspriortotheCommencementDate.AnyamendmentstoContractor’sUnpermittedWasteScreeningProtocolshallbesubjecttoapprovalbyKIBpriortoimplementation.19AGENDA ITEM #3.B.Approval Of First Amendment To Contract No. FY2019-25 Residential And Co...Page 23 of 103 ContractNo.FY2019-25b.InadvertentDeliveryofUnpermittedWastetoKIBLandfill.IfContractorinadvertentlydeliversUnpermittedWaste(orrecyclablesifapplicable)toaSolidWasteManagementFacility,ContractorwilluseitsbesteffortstoidentifytheCustomerthatdiscardedtheUnpermittedWaste(orrecyclablesifapplicable)andcooperatewiththeSolidWasteManagementFacilityinanyrelatedinvestigations.ContractorwillcontactanyidentifiedCustomerandprovidethatCustomerwithinformationonsafedisposalofUnpermittedWaste(orrecyclablesifapplicable).9.04ContractServiceExceptions.a.CollectionException.ContractorshallnotbeobligatedtoCollectanySolidWasteintheeventofanyContractServiceException,asdefinedinSection23ofthisAgreement.b.NoticeofNon-Collection.IfContractordoesnotCollectanySolidWaste(orrecyclablesifapplicable)duetoaContractServiceException,ContractormustcompleteandleaveaNon-CollectionNoticesecurelyattachedtoacontaineratorneartheSet-OutSite;however,intheeventthatunsafeconditionsdonotpermitContractortodoso,itwillinsteadusebesteffortstoimmediatelynotifytheCustomeroftheunsafecondition,includingleavingaNon-CollectionNoticeonthedoorofthePremise,ifsafetodoso,ortelephoningtheCustomer.(1)ANon-CollectionNoticewithrespecttoSolidWaste(orrecyclablesifapplicable)thatisnotproperlyplacedinsidecontainersmustcontainthefollowinginformation:(i)AreminderthattheCustomermustplaceSolidWaste(orrecyclablesifapplicable),exceptforBulkyItems,inaclosedcontainer;(ii)AnoticethatContractorisauthorizedtochargetheCustomerthesurchargelistedontheServiceFeeScheduleinSection11.01eachtimetheCustomersetsoutacontainerthatisfilledabovethecontainerrimsuchthatitwillnotfullyclose;(iii)AnoticethatContractorisauthorizedtochargetheCustomerthesurchargelistedontheServiceFeeScheduleeachtimetheCustomersetsoutacontainercontaininghouseholdwastethathasnotbeenplacedwithinabag;and,(iv)InstructionsonhowtheCustomercanacquireadditionalRefuse(orrecyclingifapplicable)ContainersfromContractor,includinganyadditionalsurcharges,orrequeston-callCollectionofBulkyItems.(2)ANon-CollectionNoticewithrespecttoUnpermittedWaste(orrecyclablesifapplicable),suchashazardouswaste,(itemsnotabletoberecycledwithintheprogramifapplicable),orunsafematerials,20AGENDA ITEM #3.B.Approval Of First Amendment To Contract No. FY2019-25 Residential And Co...Page 24 of 103 ContractNo.P12019-25mustdescribewhereCustomercandisposeoftheUnpermittedWaste(orrecyclablesifapplicable)orthosematerials,suchasattheKIBLandfillorsomeotherlocationasdesignatedbyKIB.(3)PromptlyuponKIBrequest,ContractorwillinformKIBofeachCustomertowhichContractorgaveaNon-CollectionNotice.9.05OtherSpecialCustomerServices.UponCustomerrequest,ContractormayprovidespecialservicesinadditiontoanyprescribedContractServicesfollowingapprovalbyKIBbasedonthefollowinginformation:a.Adescriptionofservices,includingtheirproposedscope;and,b.Anyadditionalsurchargetobechargedforsuchservice.9.06ContractServiceAssets.a.ContractorOperationsandMaintenanceFacilities.(1)Location.PriortotheContractCommencementDate,Contractorwillsecurepossessionanduseofsuchoperationsandmaintenancefacilities,includingalocalContractorOffice,whichshallbelocatedonpubliclymaintainedroadswithintheBorough.Contractor’sOfficeshallbelocatedintheKIBorCityofKodiakattheaddressprovidedinContractorDocumentation.IfContractorsitesitsoperationsandmaintenancefacilitiesinthe1<18orCityofKodiak,itwilldosoinaccordancewithapplicablelaws,includingzoninglaws,withampleingressandegressforvehicles.Contractorwillmaintainitsfacilityinaneat,cleanandpresentablemanner,includingregularsweepingofrelatedgroundsforlitter.(2)KIBAccess.KIBanditsdesigneesshallbepermittedtoenterContractor’soperationsandmaintenancefacilitiesorContractorOfficeduringContractorOfficeHoursupontwo(2)hourspriornotice,andshallbepermittedtoinvestigate,observe,inspectandreviewContractor’soperationsandContractServiceAssets.ContractorwillmakeavailableamanagementrepresentativeorotherauthorizedpersontoescorteachKIBrepresentativethroughfacilities.ThisrightdoesnotlimitKIB’srighttoinspectContractor’sVehicles.b.RefuseContainers.(1)RefuseCartsandDumpsters.ContractorwillmaintainatalltimesasufficientnumberofcontainerstoexecuteitsobligationsunderthisAgreement.AllcontainersshallbeonhandandreadyforservicenolaterthanthedateprovidedinContractorTransitionPlan,andshallensurethatallCartsandDumpstersconformwiththespecificationsdescribedinContractorDocumentation,asapprovedby1<18,includingBearCarts.Inaddition,Contractorshalllabelcartswithuseinstructionsapprovedbythe21AGENDA ITEM #3.B.Approval Of First Amendment To Contract No. FY2019-25 Residential And Co...Page 25 of 103 ContractNo.FY2019-25KIBforanynewcartuser.Basicoperatinginstructionswillbehotstampedontocarts.Contractorprovidesnoexpresswarrantyofdurationfortherollcarts,andContractor’sonlyobligationwithregardstheretoshallbetoprovideandmaintainsuchrollcartsinaccordancewiththecontract.(2)Roll-OffContainers.ContractorwillprovideRoll-OffContainersnolaterthanthedateprovidedintheContractorTransitionPlan.ContractormayprovideRoll-OffContainersthatarenotnewif,inthesolejudgmentofthe1<16Representative,theyareingoodrepairandappearance.(3)ReplacementContainers.Contractorwillprovideadditionalandreplacementcontainers(otherthanCompactors)asnecessarytoensurethatCustomeralwayshasacontainer.(4)Inventory.ContractorwillprepareapreliminaryinventoryofRefuseCartsandDumpstersthatContractorwillacquireorsupplyasrequiredbytheTransitionPlanasContractorDocumentation.InitsnextMonthlyReportfollowingdeliveryofanyCartasrequiredbytheTransitionPlan,Contractorwillcompleteandfinalizetheinventory.IneachAnnualReportfollowingcompletionoftheTransitionPlan,orwithinten(10)businessdaysuponrequestbyKIB,ContractorwillupdatetheinventorytoreflectacquisitionorreplacementofRefuseCartsandDumpsters,accompaniedbyarepresentationandwarrantysignedbyContractorthatallRefuseCartsandDumpstersmeetspecifications.(5)ChangesinService,RepairandReplacement.Contractorwillexchange,removeand/ordelivercontainersatthetimedirectedbyKIB,andcompensatedbysurcharges,ifany,listedontheContractorServiceFeeTable,includingforthefollowing:(QChangesinService;(ii)RepairofDamagedContainers;and,(iii)ReplacementofdamagedorstolenContainers.(6)Locks.WithinoneweekofCustomerdirection,ContractorwillprovidelocksonaDumpsterforthesurchargeslistedontheContractorServiceFeeSchedule.(7)RequiredLabelingforRollCarts.ContractorwilllabelRollCartswithmessageanduseinstructionsapprovedbythe1<18foranynewCartuser.Basicoperatinginstructionswillbehotstampedontocarts.Contractorprovidesnoexpresswarrantyofdurationfortherollcarts,andContractor’sonlyobligationwithregardstheretoshallbetoprovideandmaintainsuchrollcartsinaccordancewiththecontract.c.UseandPossessionofContractServiceAssets.ContractorwilleitherowneachContractServiceAssetorensurethatanylease,financingdocumentation,rentsorpurchasesbyinstallmentorconditionalsaleagreementwithrespectto22AGENDA ITEM #3.B.Approval Of First Amendment To Contract No. FY2019-25 Residential And Co...Page 26 of 103 ContractNo.FY2019-25eachContractServiceAssetallowsKIB’sacquisitionorpurchaseofContractServiceAssets,pursuanttoSection3.03ofthisAgreement.ContactorwillprovideacopyoftheContractServiceAssetDocumentuponKIB’srequest.AnyContractServiceAssetDocumentshall:(1)PermittheGuarantortoassumeContractor’sobligationsandtocontinueuseofContractServiceAssetsinperformingContractServices;and,(2)PermitKIBoritsdesigneetoassumeContractor’sobligationsandtocontinueuseofContractServiceAssetsinperformingContractServices.9.07ServiceStandards.ContractorwillprovideContractServicesinaccordancewiththefollowingprovisions:a.Lifter,SpillsandLeaks.(1)Lifter.ContractorwillensurethateachcollectionVehiclecarriesabroomandshovelatalltimessoastoensureitsabilitytoperformitsobligationswithrespecttomaterialspillsandliquidleaks,asprovidedinthissection.(2)MaterialSpills.Contractorwillonlytransportcollectedwasteandrecyclablesincoveredvehicles.Contractorwillpreventmaterialsfromescaping,dropping,spilling,blowingorscatteringfromVehiclesduringcollectionandtransportation.Contractorwillimmediatelyremoveanymaterialsthataredropped,blown,spilled,scattered,ortrackedontoanyalley,streetorpublicorprivateplace,anddisposeofsuchmaterialsconsistentwiththerequirementssetforthinthisAgreement.(3)LiquidLeaks.Duringcollectionandtransportation,Contractorwillalsopreventoil,hydraulicfluid,paintorotherliquidfromleakingoutofVehicles.Contractorwillensurethateachcollectionvehiclecarriespetroleumabsorbentmaterials.Contractorwillimmediatelycoverleakedfluidswithabsorptivematerials,removethosematerialsfromthegroundandapplyacleaningagenttocleansethesoiledspot.ContractorwillassurethatnohydraulicfluidorotherliquidleaksfromanyVehicleontothepavement.Ifaleakdoesoccur,Contractorwillimmediatelycleanitup.b.CustomerPrivacy.ContractorwillstrictlyobserveandtakesuchactionsinitsprovisionofContractServicesasarereasonablynecessarytopreserveitsCustomersprivacyrights.ContractorwillnotrevealinformationidentifyingindividualcustomersorthecompositionorcontentsofaCustomerswastestreamtoanypersonotherthanKIB,unlessotherwisedirectedbymeansofavalidcourtorder,unlessrequiredtodosobysomeapplicablelegalduty,oruponthevalidauthorizationoftheCustomer.Further,Contractorwillusereasonablebusinesseffortstokeepthatinformationconfidentialamongitsownstaff,consultants,representatives,agents,andanyotherpersonsactingonContractor’sbehalf.23AGENDA ITEM #3.B.Approval Of First Amendment To Contract No. FY2019-25 Residential And Co...Page 27 of 103 ContractNo.FY2019-25ThisprovisionwillnotbeconstruedtoprecludeContractorfrompreparing,participatingin,orassistinginthepreparationof,wastecharacterizationstudiesorwastestreamanalysesthatmayberequiredbylaw.Inaddition,Contractorwillnotmarket,sell,convey,ordonatetoanypersonanylistwiththenameoraddressofCustomers.TherightsaccordedcustomerspursuanttothissectionareinadditiontoanyotherprivacyrightaccordedCustomerspursuanttoapplicablelaw.ContractorwillusereasonablebusinesseffortstokeepinformationwithrespecttoCustomersandcustomerserviceinformation,including,butnotlimitedto,accountsserviced,containers,specialservices,recyclablesinventory,salesofrecyclablesandcontaminants,confidentialamongstaffanditsconsultants,ifany,aspermittedbyapplicablelaw.c.VehiclesandDrivers.(1)Leak-ProofVehicles.Vehiclesusedincollectionortransportationofrecyclablesmusthavewatertightbedsofmetalorimperviousmaterialthatcanbecleaned.(2)VehicleIdentification.ContractorwillensurethatitsnameandtelephonenumberareclearlyshownoneachVehicle,soastoindicatethatitisownedandoperatedbyContractor.d.PavementandUtilities.Contractorisresponsiblefordamagetopavementanddrivingsurfacesifcollectionsitesarelocatedonpublicorprivateproperty,otherthanordinarywearandtear,ifthedamageistheresultofvehiclesexceedingthemaximumweightlimitsallowedbyapplicablelaworContractor’snegligentoperationofvehicles.CustomerorKIBmaydirectContractortopromptlyrepairorreplacedamageddrivingsurfacesorutilitiesorrepairandreplacethemitselforthroughathirdparty,tosatisfactionofcustomerorRIB,asthecasemaybe.ContractorwillreimbursecustomerforhisorhercostsofrepairorreplacementandKIBorCityofKodiakthereimbursementcostsofrepairorreplacement.Contractorisresponsiblefordamagetopublicandprivateutilities,whetherlocatedonpublicstreetsorpropertyorprivateproperty,ifdamageistheresultoftheinattention,carelessnessornegligenceofContractor.e.DamagetoPropertyorPersonalInjury.ContractorshallnotintentionallyornegligentlycausedamagetopropertyorpersonalinjuryinconjunctionwiththeprovisionofContractServices.ContractoragreestorepairorreplaceanypropertythatsustainsdamageasaresultofContractor’snegligenceduringthecourseofitsperformanceoftheContractServices,whetherthepropertyispublicorprivate,tothesatisfactionoftheowner,andwillreimbursetothesatisfactionofaninjuredindividual,thecostofanypersonalinjurycausedbythenegligentorwillfulactsoromissionsofContractor.NotwithstandinganyrightsRIBmayhaveinsuchinstancesforbreachofcontractandtoindemnificationbyContractor,anyandalldisputesbetweenContractorandanyotherPersonregardingdamagetoprivatepropertyoranyotherinjuryarisingoutofContractor’snegligenceorwillfulmisconductarecivilmattersbetweenthe24AGENDA ITEM #3.B.Approval Of First Amendment To Contract No. FY2019-25 Residential And Co...Page 28 of 103 ContractNo.FY2019-25ContractorandthatPerson.9.08BillingandAccountingPractices.a.CustomerBillingandFeeCollection.(1)ServiceFeesandSurcharpes.ContractorwillprovidebillingandbillcollectionservicesatthetimeandinamannersatisfactorytoKIB,consistentwiththeContractorServiceFeeSchedule,SeniorDiscount,AdjustedTonnageAmount,andanyotherfeesdirectedbyKIB.(2)KIBFees.(i)AmountOnbehalfofKIB,ContractorwillchargeCustomersafeeorfeesintheamountdirectedbyKIB.ContractorwillnotseparatelyitemizethatfeeorfeesoninvoicestoCustomersoranyothercorrespondencewithCustomers,unlessauthorizedbyKIB.(ii)RecordingFees.UponreceiptofanyCustomerspaymentoffeesforContractService,ContractorwillsimultaneouslyrecordreceiptofKIB’sfeesinseparateaccountswithinContractor’sdetailedgeneralledger.ThosefeesbelongtoKIBandnottoContractor.(Hi)RemittingFeesto1<18.ContractorwillremittoKIBamountsequaltoKIB’sfeesatthetimedirectedbyKIB,ContractormayretaintheremainingamountsreceivedfromCustomersascompensationforfullyandtimelysatisfyingContractor‘sobligationsunderthisAgreement.b.CustomerServiceSubscription.(1)FormandContent.BeforecommencingContractServiceforanewCustomer,orchangingContractServicelevelsorfrequencyforanexistingCustomer,ContractorwillprovidetheCustomerwithawrittenSubscriptionSummary.Contractormayincludeawaiverofdamageliabilityand/orCustomerindemnityinconnectionwithCollectiononaCustomer’sprivatedrivewayorpavementinformandcontentsatisfactorytoKIB.(2)ServiceRequests.ContractorwillacceptCustomer’srequestsforcommencementoforchangesinregularorspecialContractServicebyphone,mail,faxorE-mail.(3)Copies.ContractorwillprovideKIBwithacopyofanySubscriptionSummarypromptlyuponrequest.SECTION10:RECORDKEEPINGANDREPORTING25AGENDA ITEM #3.B.Approval Of First Amendment To Contract No. FY2019-25 Residential And Co...Page 29 of 103 ContractNo.FY2019-2510.01Acknowledgement.ContractorunderstandsandacknowledgesthatKIBshallhavearighttoreviewcertainContractor’sRecords,andtoreceiveReports,forvariousreasonsincluding:a.TheenforcementofCustomers’rights;b.TheevaluationofContractor’sperformanceofitsdutiespursuanttothisContract;c.TopreserveKIB’srighttoperformanceofContractor’sPerformanceObligations,ortoensurethatathirdPersonorSubcontractorperformsitsdutiespursuanttothisContract;and,d.Toconfirmand/ordeterminetheamountofanyContractorPaymentObligation10.02Records.a.Maintenance.ContractorwillkeepaccurateandcompleteRecords.b.PreservationandRetention.UnlessotherwisedirectedbyKIB.specifiedinthisContract,ormandatedbyApplicableLaw,ContractorwillpreserveandretainallRecordsrelatedtoitsPerformanceObligationsforthefullContractTerm,includinganyextensions,andforatleasttwo(2)yearsfollowingtheTerminationDate.c.1<18RighttoInspectionandAuditofContractorRecords.(1)Location.(i)ContractoracknowledgestheKIB’srightofinspection,butsuchinspectionshallbeofthe1<18’sownactionsandefforts.(U)inspectionorAuditatContractor’sOffice.Uponatleast7days’priorwrittenrequest,ContractorwillmaketheRecordsavailableto1(16oritsdesigneesforinspection,revieworauditatContractorOfficeduringContractorOfficeHours.(2)ScopeofKISsRighttoInspectorAudit.KIBshallhavearighttoinspectanyofContractor’sRecordsrelatedtoContractor’sexecutionofitsPerformanceObligationsatanytimewithreasonablenotice,andtocompleteanauditofsuchRecordsonceperContractYear.KlB’srighttoinspectorauditinclude,butarenotlimitedto,Recordspertainingto:(i)CustomerSpecialServiceSurchargesthatContractorchargedtoandcollectedfromCustomers;(N)ContractFees;26AGENDA ITEM #3.B.Approval Of First Amendment To Contract No. FY2019-25 Residential And Co...Page 30 of 103 ContractNo.FY2019-25(Ui)TonnageofSolidWasteCollected,Processed,DivertedorDisposed;(iv)Customercomplaints;and,(v)OtherRecordsnecessarytoconfirmContractor’scompliancewithitsPerformanceObligations.10.03Reporting.a.AnnualReport.ContractorwillsubmitacompleteAnnualReporttoKIBnolaterthanFebruary15ofeachContractYear,whichshalladdresstheprecedingCalendarYear.Ataminimum,theAnnualReportshallincludethefollowinginformation:(1)NumberofpersonnelemployedbyContractorduringreportingperiod,andadescriptionofhowmanypersonnelareassignedtospecificfunctions(e.g.,drivers,mechanics,administration);(2)NumberofVehiclesbytype(3)NumberofContainersinservice,identifiedbysizeofcontainer;(4)LocationofresidentialRoll-OffContainers;(5)Disposalloadcount,weight,andcostforC&D,CommercialMSW,ResidentialMSW,metal,trash;(6)AnnualsummaryofquarterlyRecyclingreports;and,(7)ContractorRecommendations.b.MonthlyMeeting.ContractorshallparticipateinamonthlymeetingwithKIBatatimeandlocationofKIB’schoosing.10.04FinancialRecordsandReports.a.MaintenanceofRecords.(1)Content.ContractorwillmaintaininContractor’sOfficeaccurateandcompletefinancialRecordsofthefollowing:(I)Customerreceipts;(H)PaymentstoKIB(includingContractorPaymentObligations,suchasanyContractFee);and,(Hi)CostsandexpensesassociatedwithsatisfyingPerformanceObligations,27AGENDA ITEM #3.B.Approval Of First Amendment To Contract No. FY2019-25 Residential And Co...Page 31 of 103 ContractNo.FY2OI9-25whetherbyContractor,itsSubcontractor,oranotherAffiliate.ContractormaymaintainfinancialRecordsassociatedwithGoodsorServicesprovidedbyanAffiliateintheofficeoftheAffiliatebutwillprovideKIBwithacopyorthoseRecordswithinten(10)daysofKIBrequest.(iv)Form.ContractorwillmaintainitsfinancialRecordsonanaccrualbasisandinaccordancewithGenerallyAcceptedAccountingPrinciples.SuchRecordsshallsetforthfinancialinformationregardingContractor’soperationsunderthisContractseparatelyfromanyotheroperationsunderothercontractsorinotherlocations,asifContractorwereanindependententityprovidingserviceonlyto1(18.SECTION11:CONTRACTORSERVICEFEEANDSPECIALSURCHARGES11.01ContractServiceFeeSchedule.ContractorServiceFeesadoptedbyKIBasoftheContractCommencementDateareappendedforconvenienceofthePartiestothisAgreement.KIBmayamendtheseFeespursuanttoApplicablelaw,andconsistentwiththisAgreement.AmendedFeeswillautomaticallybedeemedtoapplytothisContractwithoutanyfurtheraction.ContractorisdeemedtohaveknowledgeofApplicableLaw,includingKIBresolutionsandordinances.However,forconvenienceofadministeringthisContract,thePartiesmayfromtimetotimeamendthisSectionbyattachingthemostrecentdatedcurrentContractorServiceFeeresolutionorordinancetothisSection.Inaddition,ifaCustomerRequestsServiceofacapacityand/orfrequencynotprovidedintheContractorServiceFeesadoptedbyKIB,ContractormaychargeanappropriateFeeforthatservicefollowingKIDapprovalandCustomeragreement.a.AmountsPaidbyCustomersforSubscribedService.ContractormaychargeContractorServiceFeestoCustomersascompensationforprovidingContractServicesincompliancewithallPerformanceObligations.TheContractorServiceFeewillnotchangeexceptunderSection11.03.TheTonnageAdjustmentAmountwillbeaddedtoorsubtractedfromtheContractorServiceFeeunderSection11.03(b).b.AmountsPaidbyKIBforSeniorDiscount.OneachJuly1(orotherdaydesignatedby1(18butnolessfrequentlythanannually)1(18willpayContractortheaggregateamountofSeniorDiscountsthatContractorgaveCustomersduringtheperiodbeginningApril1oftheprioryearandendingMarch31ofthatyear(orperiodcommensuratewithanotherpaymentdatedesignatedbyKIB).28AGENDA ITEM #3.B.Approval Of First Amendment To Contract No. FY2019-25 Residential And Co...Page 32 of 103 ContractNo.FY2019-25ContractorServiceFeeForCartServiceContainerMonthlyServiceFeeSeniorDiscount95-gallonBear-Resistant$49.95$42.95(-$7.00)RollCartEachadditionalRollCart$49.95$42.95(-$7.00)ResidentialRoll-OfforRollOffRatePerSizeRollOffRatePerSizeAdditionalSet-OutFeeNoChargeNoCharge29AGENDA ITEM #3.B.Approval Of First Amendment To Contract No. FY2019-25 Residential And Co...Page 33 of 103 ContractNo.FY2OIY-25ContractorServiceFeeSurchargesforServicesSHALLNOTEXCEEDActivityContractorServiceFee(peroccurrence)OncallCollectionofBulkyWaste$20.00percall(notitem)plusDirectCostof_DisposalDistanceCharge$3.50permilebeyondUnitedStatesCoastGuardbaseRolloutServiceforNon-Eligible$7.36Customers—Initial30feetorfractionRolloutServiceforNon-Eligible$6.13Customers—Each_additional_30_feetBeginning7monthsafterCollection$2500plusDirectCostofCartCommencementDate,replacementofCartinexcessofoncepercalendaryearBearlockforCustomersinportionofContractortoprovideallbearresistantrollContractServiceAreanotrequiredtocarts—NoinitialCustomerChargehavebearlocksLockondumpster$25.00toinstall,nochargethereafterCollectionofresidentialmaterialthat$6.87does_not_fit_in_roll-cadResidentialRoll-OfforDumpster$5.00Clean-upCostsContractorMonthlyServiceFeeforDumpstersDumpsterSize*NumberofDumpsters(ScheduledTipsPerWeek)123452cubicyards$156.07$312.15$468.21S624.28$780.352.6cubicyards£208.47£416.95$625.41$833.88$1042.353cubicyards$243.41$486.81$730.23$973.64$1217.053.6cubicyards$287.96$575.91$863.88$1151.84$1439.804cubicyards$317.66$635.31$952.98$1207.64$1588.305cubicyards$372.43$744.87$1117.29$1489.72$1862.155.5cubicyards$399.82$799.64$1199.46$1599.28$1999.106cubicyards$427.21$854.42$1281.63$1708.84$2136.058cubicyards$544.36$1088.73$1633.08$2177.44$2721.80ContractorServiceFeeformultipleDumpstersisequaltotheabovescheduledamountsmultipliedbythenumberofDumpsters30AGENDA ITEM #3.B.Approval Of First Amendment To Contract No. FY2019-25 Residential And Co...Page 34 of 103 ContractNo.FY2OI9-25ContractorServiceFeeSurchargesforDumpstersServiceDescriptionAgreementSectionAmountChangeinsizeandnumberofSection6.02$0.00perexchangeperDumpstermorefrequentlythanDumpsteronceperContractYearLocksonDumpsterSection6.02$25.00one-timefeeContractorMonthlyServiceFeeforRoll-OffService3040cubicCompactoryard$214.69perhaulplusdisposalfeeplus$21.25disconnectfee(ifapplicable)10-20cubicyards$161.44perhaulplusdisposalfee3040cubicyards$214.69disposalfeeplusdisposalfee10-20cubIcyardCompactor$161.44perhaulplusdisposalfeeplus$21.25disconnectfee(ifapplicable)ContractorMonthlyServiceFeeforCardboardRecyclingService10cubicyards20cubicyards30cubicyards40cubicyards$161.44feeper$161.44feeper$214.69feeper$214.69feeperpullpullpullpull11.02Contractor’sCostCoveredByServiceFee.a.TheContractorServiceFeeincludesallContractor’sdirectcosts,indirectcosts,aswellasanyprofitorreturnoninvestmentforprovidingContractServices,includingthefollowing:(1)Labor,includingwagesandfringebenefits,drivers,Customerservicepersonnel,supervisors,andadministrators;(2)Acquisition,repairandmaintenanceofContractServiceAssets,includingbuildingsgrounds,andVehicles;(3)Toolsandsupplies;(4)Fuelandutilities;(5)InsurancepremiumsandfeesfortheLetterofCreditoranyfurther31AGENDA ITEM #3.B.Approval Of First Amendment To Contract No. FY2019-25 Residential And Co...Page 35 of 103 ContractNo.P12019-25assuranceofperformance;(6)Taxes;(7)SecuringandmaintainingPermitsandcomplyingwithApplicableLaw;(8)FinesandpenaltiesforviolationofPermitsorApplicableLaw;(9)HandlingUnpermittedWastediscoveredinSolidWaste,includingdisposalthereofasrequiredbyApplicableLaw;(10)Negligenceormisconduct;(11)FeesimposedbyRegulatoryAgencies,includinganyContractFee;(12)FeeschargedbySolidWasteManagementFacilities,suchastippingfeesaKIBLandfill:and(13)AnyothercostsassociatedwiththeprovisionofContractServicesnotexplicitlycompensatedbysurchargetoCustomerorchargeto1<18.b.ContractorServiceFeeisnotadjustedforchangesinthesecosts,exceptunderSection11.03.ReferenceinthisContracttoprovidingContractServices“withoutsurcharge”orsimilarlanguagedoesnotinferthatabsenceofthosewords,“withoutsurcharge”,elsewhereinthisContract,meansthatContractorisentitledtoeitherofthefollowing(1)compensationinadditiontotheContractorServiceFeelistedontheContractorServiceFeeSchedule;or,(2)reimbursementofDirectCostsorContractor’sReimbursementCosts.11.03AdjustmentofContractorServiceFee.a.Adjustmenteventsandtiming.TheContractorServiceFeewillbeupondirectionoftheKlB,initssolediscretion.b.AnnualAdjustment.OnJuly1,2020,andeachfollowingJuly1,theContractorServiceFeewillbeadjustedsoastomakeitequaltotheContractorServiceFeethatisineffectduringthepriorContractYear(orportionofthatContractYear),plusorminustheWeightedAdjustmentPercentagetimesthatContractorServiceFee.BetweenApril1andApril15ofeachContractYear,ContractorwillprepareastatementsettingforthContractor’sdetailedcalculationofContractor’srequestedannualadjustmentinContractorServiceFeeintheformofthefollowingexamplesorotherformatprescribedbyKlB(see,forexample,subsectionIi).Contractor’sstatementisforconvenienceof1<18butisnot32AGENDA ITEM #3.B.Approval Of First Amendment To Contract No. FY2019-25 Residential And Co...Page 36 of 103 ContractNo.FY2019-25bindingonKIB.KIBmaymakecorrectionsoradjustmentstothatstatement.Themethodusedtocalculatetheannualservicefeeadjustmentissetforthinthefollowingsubsectionc.c.CalculationofAnnualServiceFeeAdjustment.TheannualadjustmentwillbecalculatedforfiveCollectionRateCostComponentsandRecyclingasfollows:(1)Collection&AdministrativeCostComponent:AnnualChangesintheCPI.TheoperationalcomponentidentifiedbytheContractorforeachlevelofservicewillbeadjustedby75%oftheCPIpercentchangefromsecondhalfofoneyeartothenext(i.e.,fromthesecondhalfofyearn-itothesecondhalfofyearn,withnbeingthemostcurrentyearavailable),butnogreaterthan5%,asconfirmedbyKIB.“CPI”meansthesecondhalfconsumerpriceindex(CPI-U)forAnchorage,BasePeriod1982-84=100,SeriesID:CUUSA427SAO,notseasonallyadjusted,aspublishedbytheU.S.DepartmentofLabor,BureauofLaborStatisticsatwww.bls.gov.(2)FuelCostComponent:AnnualChangesinthePPI.ThefuelcomponentidentifiedbytheContractorforeachrevelofservicewillbeadjustedby75%ofthePPIpercentchangefromFebruarytoFebruary(i.e.fromFebruaryofyearn-itoFebruaryofyearnwithnbeingthecurrentyear),butnogreaterthan5%,asconfirmedbyKIB.“PPI”meanstheannualProducerPriceIndexforNo.2dieselfuel,BasePeriod1982=100,SeriesID:WPU057303,notseasonallyadjusted,aspublishedbytheU.S.DepartmentofLabor,BureauofLaborStatisticsatwww.bls.gov.(3)FixedCostComponent:NoChangeOvertheInitialContract.ThefixedcostsidentifiedbytheContractorforeachlevelofservicewillnotbeadjustedandremainconstantoverthetermoftheinitialcontract.Thesecostsinclude,butarenotlimitedtovehicledepreciation,leases,cartandcontainerrent(asnecessarytomaintaincontainersprovidedtoContractoratthestartofthiscontract,andforanynewcontainerspurchasedbytheContractor).(4)DisposalCostComponent:ChangeinDisposalFeeandTonnagePerCustomer.ThedisposalcostidentifiedbytheContractorforeachlevelofservicewillbeadjustedby100%ofthechange,ifany,inthetonnageratechargedContractoratKIBLandfill(comparedtotherateineffectonApril15,2018),andforthechange,ifany,intheratiobetweentonsdisposedandthenumberofcustomersserved(comparedtotheratioascalculatedonApril15,2018).(5)Profit:NoChanaeOvertheInitialContract.Thepercentageofprofit(operatingmargin)identifiedbytheContractorforeachlevelofservice33AGENDA ITEM #3.B.Approval Of First Amendment To Contract No. FY2019-25 Residential And Co...Page 37 of 103 ContractNo.FY2019-25willnotbeadjustedandremainconstantoverthetermoftheinitialcontract.ProfitiscalculatedasapercentageofthetotalCollectionrate.(6)Recycling:AnnualChangesintheCPI.TheContractorServiceFeeforRecyclingwillbeadjustedby75%oftheCPIpercentchange,ifany,fromsecondhalfofoneyeartothenext(i.e.,fromthesecondhalfofyearn-itothesecondhalfofyearn,withnbeingthemostcurrentyearavailable),intheCPIduringtheperiodcommencingApril1ofthepreviousyearandendingMarch31ofthecurrentyear,butnogreaterthan5%,asconfirmedbyKIB.d.SummaryofServiceFeeAdjustments.ThefollowingtablesummarizestheContractServiceFeeadjustmentsforeachCollectionRateCostComponent:RateCostComponentAdjustment1)CollectionandAdministrativeCostsCPI2)_Fuel-PPI3)FixedCostFixed4)DisposalCostTonnagerateandtonspercustomer5)Profit%ofRateTotalCollectionRateSumofAbovee,AdjustmentforChangesinOperations.AssoonaspossiblefollowingagreementofthePartiesunderSection14,theContractorServiceFeewillbeadjustedforachangeinContractor’sDirectCostsofprovidingContractServicesduetochangesinPerformanceObligations.TotheextentpermittedbyApplicableLaw,anadjustmentwillreflectContractorscostsfromthedateincurred.TheContractorServiceFeewillnototherwisebeadjusted(forexample,noadjustmentwilloccurforanychangesinthepriceoffuel).f.RoundIng.(1)Calculations.Interimcalculationsshallberoundedtothenearesthundredthi.e.,0.499and0.510shallberoundedto0.50,exceptingpercentagechangesusedincalculations,whichshallberoundedtothenearesthundredthpercenti.e.,0.50%(2)Dollars.ThefinaladjustmentinContractorServiceFeeshallberoundedtothenearestpenny.g.NoAdjustmentifAnyBreachorDefaultRemainsUncured.TheContactorServiceFeewillnotbeadjustedupwardsifContractorhasBreachedthisAgreementorDefaultedonanyPerformanceObligation,andsuchSreachorDefaultremainsuncured:34AGENDA ITEM #3.B.Approval Of First Amendment To Contract No. FY2019-25 Residential And Co...Page 38 of 103 ContractNo.FY2019-25h.ExampleCa%culationsofAnnualAdjustmentsinContractorServiceFee.ThefollowingisanexampleofhowannualadjustmentstotheContractorServiceFeewillbecalculated.Theescalation,tonnage,anddollaramountsshownareexamplesonly.(1)AnnualadjustmentofCollectionandAdministrationCostComponentDue(2)toChangeinCPI.Calculationof%2’dhalf,currentyear-1223.83changeinCPI2ndhalf,currentyear-2220.621.45%(notmorethanPercentChange5%)Portionof%75%1.09%changeAnnualAdiustmentofFuelCostComponentDuetoChangeinPPI.CalculationofFebruary,currentyear120.5changeinPPIFebruary,currentyear-122.3-1.47%(notmorethanPercentChange5%)Portionof%-1.10%change35AGENDA ITEM #3.B.Approval Of First Amendment To Contract No. FY2019-25 Residential And Co...Page 39 of 103 Co,flractNo.FY2019-25(3)DisposalCostAdjustmentEXAMPLEONLYRow2018(201920202021TonnageRateAdjustmentBaseTonnageRate(S/ton$3621whenproposalsubmitted)TonnageRateinnextcontract$398$398$3982year(July1-June30)Percentincrease(decrease)4.65%8.53%8.53%fromcontractstartDisposalTon-per-CustomerAdjustment4Prioryeartons,actual8588.198,766.588,843.258,972.45(January1-December31)Customeractuals(asofApril3,1153,1503,2453,2406Ratio,tonsIcustomer2.7572.7832.7252.769Percentincrease(decrease)0.94%-1.16%0.44%fromcontractstartDisposalCostComponentAdjustment,effectiveJuly1(1+Row3)x(1+Row7)-I,I5.64%7.27%9.01%8roundedtohundredths9DisposalCostComponent$14.83j$15.67$15.91$16.17Note:Greencellsarethecontractstart,whichisusedasthebasisforcalculationsinallfutureyears.Yellowcellsaredatathatwouldbeinputeachyearbasedontonnagerate,customeraccounts,andscalehouserecords.tonsandcustomersrefertoresidentialaccounts+commercialdumpsters.Thenumberofcommercial“customers’referstothenumberofcontainersinservice.Itexcludescommercialrolloffswherecustomersarebilledfortheactualcostofdisposal.Allnumbersshownareexamples(notactuals)shownforillustrativepurposes.Inthisexample,thedisposalcomponentofratesininitialproposalwouldbeadiustedby5.64%totakeeffectonthecontractstartdate.Theinitialproposalrateswouldbeadjustedby7.27%andwouldtakeeffectonJuly1,2020,and9.01%onJuly1,2021.36AGENDA ITEM #3.B.Approval Of First Amendment To Contract No. FY2019-25 Residential And Co...Page 40 of 103 ContractNo.FY2019-25(4)ExampleApplicationofAnnualUpdatetoRateComponents.CostComponentsRateComponentProposedRateNextYearAdjustmentMethodRateAdjustmentsRateCollectionandCP$13.57$0.15$13.72AdministrativeCostsFuelFuelPPI$3.30($0.04)$3.26Fixed(rent,NoInflators$9.00$0.00$9.00depreciation,lease)DisposalCost(PassTonnagerateand$1483$084$1567Through)tons/customerSubtotal$40.70$0.95$41.65Profit(7.5%ofRate)$3.30$0.08$3.38ExampleRate$44.00$1.03$45.03(5)AdjustedContractorServiceFee.Theadjustedcontractorserviceleewillbethecurrentrateplusthesumoftherateadjustments.SECTION12:MISCELLANEOUSPERFORMANCEOBLIGATIONS12.01ComplianceWithApplicableLaws.a.InGeneral.AllactionstakenbyContractorunderthisContractshallcomplywithallApplicableLaws.NoPerformanceObligationmaybeconstruedtorelieveContractorofanyobligationsimposedbyApplicableLaw.Contractorshallacquireandmaintainingoodstandingallpermits,licenses,andotherentitlementsnecessarytocompleteitsPerformanceObligations.IfaPermitissuedbyKIBremainsineffectaftertheexpirationorterminationofthisContract,ContractorneverthelessmaynotoperatewithinKIBforcollectionofSolidWasteformerlycollectedunderthisContract.THISPROHIBITIONWILLSURVIVETHETERMINATIONOFTHISCONTRACTandKIBmayseekspecificenforcementofthisprohibitionpursuanttotheprovisionsofthisAgreementandasotherwiseauthorizedbylaw.Atleast60dayspriortotheContractCommencementDate,andthereafterasrequested,ContractorshallpromptlydelivertoKIBcopiesofanyandallPermits,aswellasotherdocumentation,sufficienttoevidencethatContractorhascompliedwithallpermittingandlicensingrequirementsmandatedbyApplicableLaw.ContractorshallpayalltaxespertainingtoitsPerformanceObligationsunderthisContract.b.NoLimitationonDutytoComply.ReferencesinthisContracttoparticularprovisionsorrequirementsofApplicableLawmaynotbeconstruedtolimitContractor’sobligationtocomplywithallprovisionsofApplicableLaw.ThosereferencesareintendedtofacilitateContractorssatisfactionofitsPerformanceObligationsandKIB’sadministrationandspecificenforcementofthisContract.ThosereferencesmaynotbeconstruedtoconstitutelackofContractorobligationtocomplywithotherprovisionsorrequirementsof37AGENDA ITEM #3.B.Approval Of First Amendment To Contract No. FY2019-25 Residential And Co...Page 41 of 103 ContractNo.FY2OI9-25ApplicableLawthatarenotspecificallyreferredtoorcitedinthisContract.IfanyprovisionofthisContractismorestringentthanApplicableLaw,Contractorwillcomplywiththatprovision.c.FinesandPenalties.ContractorissolelyliableforallfinesandpenaltiesthatareimposedduetoContractor’sactions,includingfinesandpenaltiesthataretheresultofContracto?sViolationofApplicableLaw.ContractorwillnotseekreimbursementfromKIBoranyCustomerforanyfinesorpenaltiessoimposed.ContractorwillinformKIBwithin24hoursuponreceivinganyviolations,finesorpenalties.d.ContractualObligations.AllApplicableLawsareincorporatedinthisContractbyreferenceasifsetforthfullyherein,andContractor’scompliancewithsuchshallbeconstruedaspartofContractor’sPerformanceObligations.IfanyApplicableLawisinconsistentwiththisContract,themorestringentwillapply.(1)Breaches.Inadditiontoorinlieuofprosecutingviolationsofthe1(18Codeasmisdemeanors,infractions,orothermannerprovidedundertheKIBCode,KIBmayenforceContractor‘sobligationsunderApplicableLaw(includingtheKIBCode)inthesamemannerasitmayenforceContractor’sothercontractualobligationsunderthisContract(includingspecificperformanceandasBreachessubjecttocure),whetherornotnoncompliancewiththoseprovisionsofApplicableLawhasbecomeaViolation.NeitherprosecutionofContractorfornoncompliancewithAppflcableLawnorenforcementofApplicableLawshallbeaconditionprecedenttoenforcingthosePerformanceObligations.IndeterminingwhetherornotContractorisinnoncompliancewiththoseprovisions,thestandardofproofapplicabletobreachofcontractwillapply.KIBhasnoobligationtoenforceanyApplicableLaw.(2)Violation.Contractor’sViolationofApplicableLawisaDefaultsubjecttocontestpursuanttoSectionlSofthisContract.e.KIB’sProtectionofPublicSafety,Health,andWelfare.ContractoracknowledgesthatKIBisauthorizedtomakeallnecessaryandreasonablerulesandregulationsregardingallaspectsofMSWManagementServicestoprotectthepublic’shealth,safety,andwelfare.NoprovisioninthisContractmaybedeemedtolimitKIB’spowertotakeanyactionthatKIB,initssolediscretion,deemsnecessaryorappropriatetoprotectthepublic’ssafety,health,andwelfare.f.ComplianceWithKIBCode.ContractormustcomplywiththeKIBCode,subjecttopossibleadjustmentsinContractorServiceFeeintheeventofChangesinLaw.ContractorwarrantsandrepresentsthatitisfullyacquaintedwiththeprovisionsofKIBCode.ContractormustpayLiquidatedDamageswithrespecttonon-compliancewithspecifiedprovisionsoftheKIBCode,includingfailuretoremedyanyViolationof1(18Codewithinfive(5)daysofthedateofnoticeofViolation,andintheeventofconvictionofaViolation.38AGENDA ITEM #3.B.Approval Of First Amendment To Contract No. FY2019-25 Residential And Co...Page 42 of 103 ContractNo.FY2019-25g.InspectionorAuditatContractor’sOffice.Uponatleast7days’priorwrittenrequest,ContractorwillmaketheRecordsavailabletoKIBoritsdesigneesforinspection,revieworauditatContractorOfficeduringContractorOfficeHours.12.02Contractor’sPersonnel.a.Identification,Appearance,andConduct.Contractorwilltrainandrequireeachofitspersonneltopresentaneat,tidyandorderlyappearance,andshallrequirethosepersonnelresponsibleforCollecting,Delivering,andDisposingofRefuseorRecyclablestowearuniformsandsafetyvestsidentifyingthemasContractor’semployees.Employeesshallbedirectedtoconductthemselvesinacourteousmanner,refrainfromusingloudorprofanelanguagewhileonduty,andtoperformCollectioninasquietamanneraspossible.b.NoGratuities.Contractorwillnotpermititspersonneltodemandorsolicit,directlyorindirectly,anyadditionalcompensationorgratuityfromanyCustomerormemberofthepublic.c.CompliancewithOSHA.Receiptofacitationorfailure-to-abatenoticefromtheStateDivisionofOccupationalSafetyandHealthoranyothersimilarRegulatoryAuthorityshallconstituteaBreachofthisAgreement.12.03CommunicationWithKIB.a.KIBPointofContactAllofficialcommunicationsfromContractortoKIBregardingthisAgreement,oranyoftheParties’respectiverightsandobligationsthereunder,shallbedirectedtotheProjectManager.b.ResponsivenesstoKIB.(1)TelephoneCalls.ContractorwillreturnanytelephonecallsitreceivesfromKIB,totheindividualwhomadethatcall,nolaterthanthenextKIBBusinessDay.(2)Meetings.WithinoneweekoforalorwrittendirectionbyKIB,ContractorwillmeetwithKIBduringKIBOfficeHoursatthelocationdirectedbyKIB.(3)E-mails.Contractorwillrespondtoalle-mailsfromKIBwithintwo(2)KIBbusinessdays.(4)WrittenCorrespondence.ContractorwillrespondtowrittencorrespondencefromKIBwithinoneweekofreceipt,oratsuchothertimeasmaybespecifiedbyKIB.SECTION13:INDEMNIFICATION1INSURANCE,LETTEROFCREDIT39AGENDA ITEM #3.B.Approval Of First Amendment To Contract No. FY2019-25 Residential And Co...Page 43 of 103 ContractNo.FY2019-2513.01Indemnification.a.Contractor’sAgreementtoIndemnifyKIB.TotheextentallowableunderApplicableLaw,ContractoragreesthatitwillIndemnifyandholdharmless,defendwithcounselapprovedbyKIB,andreleaseKIBand1<18’sRelatedPartiesfromandagainstallLiabilitiesandLossespaid,incurredorsufferedby,orassertedagainst,KIBor1<16’sRelatedPartiesarisingoutoforinconnectionwiththisContract,includinginconnectionwithanyallegedfailureofKIBorKIB’sRelatedPartiestoenforceprovisionsofthisContractorofApplicableLaw.Contractorunderstandsandacknowledgesthatthisisintendedtooperateasanagreementpursuantto42U.S.C.Section9607(e),andanycorrespondingprovisionsofthelawsoftheStateofAlaska,toinsure,release,protect,holdharmlessandindemnifyKIBfromLiabilitiesandLossessetforthherein,b.IndemnityforLiabilitiesandLossesArisingfromContractServices.Contractor’sIndemnityislimitedtoLiabilitiesandLossesresultingfromContractServicesprovidedbyContractorfromtheContractCommencementDatethroughtheTerminationDate.However,CONTRACTOR’SOBLIGATIONSUNDERTHISSECTIONSHALLSURVIVETHEEXPIRATIONORTERMINATIONOFTHISCONTRACT.c.ReimbursementofEnforcementCosts.IfContractorfailstopayanyIndemnitiesandthatfailureresultsinanycoststoKIB,withinfifteen(15)daysofKIBrequest,ContractorwillpayKB’sReimbursementCosts.13.02RequiredInsurances.a.CoverageRequirements.WithoutlimitingitsIndemnities,ContractorwillsecureandmaintaininsurancecoveragemeetingtherequirementsinthisSection.KIBmayrequireContractortosecureandmaintainlargeramountsortypesofcoverageifitcompensatesContractortheDirectCostsoftheadditionalpremiumforthatcoverageunderSection11.02.Contractormayuseacombinationofprimaryandexcessinsurancecoveragetosatisfytheserequirements.KBmayreduceinsurancerequirementsifitdeterminesthatthereductionisin1<16’sbestinterest.EachliabilitypolicymustprovidecontractualliabilitycoverageforContractor’sIndemnities,includinganynecessaryendorsement,scheduleorotherdocumentation.(1)GeneralLiabilityInsurance.WrittenonISOpolicyformCG0001(occurrence)oritsequivalent(andnotCG0002claimsmade)withlimitsofnotlessthanthefollowing:GeneralAggregate:$4millionProducts/CompletionOperationsAggregate:$4millionPersonalandAdvertisingInjury:$1millionEachOccurrence$2million(2)LiabilityCoverageforPollutionConditionsResultingfromTransported40AGENDA ITEM #3.B.Approval Of First Amendment To Contract No. FY2019-25 Residential And Co...Page 44 of 103 ContractNo.FY2019-25Cargo.Withalimitofnotlessthan$2millionperoccurrencecoveringLiabilitiesandLossesthattheContractorbecomeslegallyobligatedtopayasaresultofclaimsforbodilyinjury,propertydamage,cleanupcostsandotherfines,feesorexpensesassessedbyfederalorstateagencies,KIB,orthirdparties,whichresultfrompollutionconditionscausedbytransportedcargo,includingwaste.Forthepurposesofthissubsection,‘pollutionconditions”includesthedispersal,discharge,release,orescapeofanysolid,liquid,gaseousorthermalirritantorcontaminant—suchassmoke,vapors,soot,fumes,acids,alkalis,toxicchemicals,medicalwaste,andwastematerials—intooruponland,anystructureonland,theatmosphere,oranywatercourseorbodyofwater,includinggroundwater,providedtheconditionsarenotnaturallypresentintheenvironmentintheamountsorconcentrationsdiscoveredContractor’sgeneralliabilitypolicymaybeendorsedtoprovideforthispollutionliabilitycoverage.(3)AutomobileLiabilityCoverage.Suchinsurancecoverageshallbe:writtenonISOpolicyformsCA0012orCA0020(ortheirequivalent)withalimitofliabilitynotlessthan$2millionforeachaccident;endorsedtodeletethepollutionand/ortheasbestosexclusionandincludepollutionliability(usingformCA9948oritsequivalent)foraccidentalspillsanddischargeswhiletransportingand/orprocessingmaterials;and,mustcoverallVehiclesthatContractoroperatesonpublicroads.(4)FinancialResponsibilityCoverage.IfContractorissubjecttofederalregulations,Contractoralsowillmaintainanyothercoveragenecessarytosatisfystateorfederalfinancialresponsibilityrequirements.(5)Workers’CompensationandEmployers’Liability.Contractorshallmaintaincoveragethatmeetsthefollowingrequirements:(i)Workers’compensationbenefitsrequiredbyApplicableLaw(includingtheStateLaborCodeorbyanyotherstatelaborlaw),andforwhichContractorisresponsible;and,(ii)Employers’Liabilitycoveragewithlimitsofnotlessthanthefollowing:Eachaccident:$1millionDisease—policylimit:$1millionDisease—eachemployee:$1millionb.Insurerqualifications.Contractorwillsecureinsuranceprovidedbyaninsurerthat:(1)IsdeemedacceptablebyKIB;(2)IsanadmittedcompanyauthorizedtodobusinessintheStateofAlaska;41AGENDA ITEM #3.B.Approval Of First Amendment To Contract No. FY2019-25 Residential And Co...Page 45 of 103 ContractNo.FY2019-25(3)HasasizecategoryofVIIorlargerbyAM.BestCompany,Inc.;and,(4)HasaratingofAorbetterbyAM.BestCompany,Inc.c.InsuranceCoverageRequirementsforSubcontractors.ContractorwillinsureeachSubcontractorperformingContractServicesortransportationofSolidWastebyprovidingevidencethateither:(1)ContractorismaintaininginsurancerequiredbythisSectioncoveringtheactivitiesoftheSubcontractor;or,(2)TheSubcontractorismaintainingthatinsuranceitselfd.EvidenceofCoverage.Contractorwillprovidecertificatesofinsurance,endorsements,schedulesandotherevidenceofinsurancecoveragerequestedbyandacceptabletoKIBatthefollowingtimes:(1)OnorbeforetheContractCommencementDate,(2)WithsubmissionofeachAnnualReport,(3)Promptlyuponrenewalofpolicies,and(4)Withinten(10)daysofKIB’srequest.e.CertificatesofInsurance.Contractorwillprovidecertificates(orotherevidenceofcoverage)containing,ataminimum,thefollowinginformationwithrespecttoContractorandanySubcontractor;(1)ContractName.CertificatesofinsurancemustexplicitlyidentifythisContract(forexample,UNDERDESCRIPTIONOFOPERATIONS),andifnecessarytosecurecontractualliabilitycoverageasan“insuredcontract”orotherwise,includingascheduleorendorsementthatspecificallyidentifiesthisContract;(2)PolicyDetails.Coveragetype(s),policynumbers,policyeffectiveandexpirationdates,policylimits,andidentificationofeachrequiredinsuranceservicesoffice(ISO)policyformorconfirmationofitsequivalencytoISOpolicyformsrequiredunderthisContract(suchas“autoliabilityISOformCA0012”).WherethisContractdoesnotrequireaspecificISOpolicyform,thecertificateofinsurancemustspecificallyreferencetherequiredtypeofcoverage(suchas“pollutionliability”underTYPEOFINSURANCE-OTHER)togetherwithasummarydescriptionofitscoverage(suchas“pollutionconditionscausedbytransportedcargo”underSPECIALPROVISIONS);(3)Thirty-DayCancellationNoticeRequirement.CertificatesofInsuranceshallcontaintheexpressconditionthatKlBmustbegiven42AGENDA ITEM #3.B.Approval Of First Amendment To Contract No. FY2019-25 Residential And Co...Page 46 of 103 ContractNo.FY2019-25writtennoticebymailatleastthirty(30)daysinadvanceofcancellationforallpoliciesevidencedonthecertificateofinsurance.Endorsementscannotcontainmere“besteffort”modifiersorrelievetheinsurerfromitsresponsibilitytogivethatnoticeandtheCANCELLATIONinformationonthecertificateofinsurancemustdeletelanguagesuchas“failuretodososhallimposenoobligationorliabilityofanykindupontheinsurer,itsagentsorrepresentatives”.(4)DeductiblesandSelf-InsuredRetentions.CertificatesofInsuranceshallidentifyanydeductibleandself-insuredretention.UponKIBrequest,Contractorwillreduceanyself-insuredretentionasitappliestoKIBorprovidealetterofcredit,certificateofdepositorotherfinancialassuranceacceptabletoKIBguaranteeingpaymentofallretainedlossesandrelatedcostsandexpensesrelatedtoinvestigations,claimsadministrations,andlegaldefense.TheletterofcreditorcertificateofdepositmustbeprovidedbyabanksatisfactorytoKIB;and(5)ClaimsMade.IfKIBwaivestheprohibitiononprocuringclaimsmadepoliciesandinsurancecoverageiswrittenonaclaims-madeform,thenevidenceisrequiredthatthe“retrodate”isbeforetheContractCommencementDate.Contractormustmaintainthatcoverageforatleastfive(5)yearsaftertheTerminationDate(orlongerasrequiredunderthisContract).PromptlyuponKIBrequest,ContractormustprovideKIBwithevidenceofthatcoverage.THISPROVISIONSURVIVESTHETERMINATIONOFTHISCONTRACT.f.Endorsements.ContractormustprovidecopiesofthefollowingendorsementsorotherdocumentationwithrespecttoContractorandanySubcontractorsatisfactorytoKIB:(1)Additionalinsuredendorsementtoeachliabilitypolicy,explicitlyaddingKIBandits“officers,agents,andemployees”asanadditionalinsuredparty;(2)Waiverofsubrogation;(3)EstablishingContractor’sinsuranceasprimary,withrespecttoallliabilitiesarisingfromContractor’sperformanceofanyandallContractServices;and,(4)ProvidingdedicatedlimitsunderaliabilitypolicyinfavorofKIBasanadditionalinsured.g.Schedules.ContractormustprovideschedulesorotherevidencethatliabilitypoliciesofContractorandanySubcontractorprovidecontractualliabilitycoverageforIndemnities,suchaslistingthisContractasan“insuredcontract”.h.Signatureverification.AtKIB’srequest,Contractormustprovide43AGENDA ITEM #3.B.Approval Of First Amendment To Contract No. FY2019-25 Residential And Co...Page 47 of 103 ContractNo.FY2OI9-25documentationverifyingthattheindividualsigningorcountersigningthecertificates,policies,endorsements,orotherevidenceofcoverageofContractorandanySubcontractorisauthorizedtodosoandidentifieshisorhercompanyaffiliationandtitle.KIBmayrequirecomplete,certifiedcopiesofContractor’sinsurancepoliciesatanytime.i.Noticeofclaims.IfanyPersonmakesaclaimagainstContractororanySubcontractorexceedingtheamountofanydeductiblesorself-insuredretentions,ContractorwillpromptlynotifyKIBoftheclaim.j.Contractoraccounting.ContractorwillinstituteacomprehensiveaccountingsystemsatisfactorytoKIBtomonitorallinsurancerequirementsunderthisContract,includingthoseofeachofitsSubcontractors.k.Contractorcompliance.Contractorwillcomplywithallrequirementsofitsinsurancepoliciesandinsurers.13.03PaymentSecurity.ContractorshallprovidethefollowingtoensurepaymentofdisposalfeesandreimbursementofbillingcostsincurredbyKIBintheeventofaDefaultorBreachbyContractor:a.PerformanceBond.ContractorshallprovideaPerformanceBondtoKIBissuedbyaninsurancecompanyapprovedbyKIBtosecurepaymentofdelinquentdisposalfeesinthefoflowingprincipalamounts:(1)Duringthefirstcontractyear$348,000.00(2)Duringthesecondcontractyear:$382,000.00(3)Duringtheremainderofthecontractterm:anamountequalto3monthsoftheaveragedisposalfeespaidduringthepreviouscontractyear.b.PledgedBankAccount.ContractshalldepositwithaBankapprovedbyKIBthesumof$55,000.00tobeusedtoreimburseKIBforcostsitmayincurinbillingrefuseCustomersintheeventofaDefaultorBreachbyContractorunderthisAgreement.KIBshallbenamedastheonlypartyauthorizedtomakewithdrawalsfromtheaccount,andContractorshalldirecttheBankthatholdstheaccounttodelivermonthlystatementstoKIB.AnyinterestontheaccountshallbepayabletotheContractor.c.PaymentUponDefault(1)IntheeventthatContractorfailstopaydisposalfeeswhendue,orisotherwiseinBreachorDefaultofthisAgreement,KIBmaydrawuponthePerformanceBond,inoneormoredrawings,anyamountsofmoneyduetoKIBbutunpaid.(2)KIBmaydrawonthePledgedSankAccount,inoneormoredrawings,any44AGENDA ITEM #3.B.Approval Of First Amendment To Contract No. FY2019-25 Residential And Co...Page 48 of 103 ContractNo.FY2019-25reasonableexpensesincurredbyKIBintheeventthat,duetoContractor’sDefaultorBreach,KIBassumesresponsibilityforissuingbillingstatementstoCustomersforrefuseservices.d.ReturnofSecurity.1)ThePerformanceBondshallterminate,andamountsinthePledgedBankAccountmaybepaidtoContractor,noearlierthanthedateuponwhichKIBissuesacertificatestatingthat:(i)ThisContracthasexpired;or,(U)ThisContracthasbeenterminatedforaperiodof180daysorsuchotherpreferenceperiodprovidedunderapplicablelawwithrespecttoContractor’sbankruptcyorinsolvency;or,(Ui)ContractorhassubstitutedanalternativeletterofcreditorothersecuritydocumentthatKIB,initssolediscretion,hasdeemedacceptable;and,(iv)ContractorhaspaidtoKIBallamountstowhichitisentitledunderthisContract.e.SurvivalofTerms,THISSECTION13.03SHALLSURVIVETHEEXPIRATIONORTERMINATIONOFTHISCONTRACT.13.04GuarantyAgreementAnyPersonthatservedinanywayasthebasisforKIB’sevaluationofContractor’sfinancialstrengthandcreditworthinessaspartofContractor’sproposaltoKIBmustbemadealegal,valid,andbindingGuarantorofthisContract,andproofofsuchmustbesubmittedtoKIBinaformthatKIBdeemssatisfactory.13.05AssuranceofPerformance.InadditiontoanyotherremediesavailabletoKIBpursuanttothisContractoranyotherapplicablelaws,itmayatitssolediscretiondemandfromthatContractorprovidereasonableassurancesthatitwillfullysatisfyanyofitsPerformanceObligations,andthatsuchassurancesbeprovidedbyaspecifieddate,inanyofthefollowinginstances:a.LaborUnrest.Contractoristhesubjectof,orisotherwiseaffectedby,anylaborunrest,includingworkstoppageorslowdown,sick-out,picketing,lockout,orotherconcertedjobaction,whichcontinuesinexcessofsix(6)days.b.Insolvency.KBreasonablydeterminesthatContractorisunabletoregularlypayitsdebtsastheybecomedue,asdemonstratedbyContractor’sfailuretopay:(1)Anytippingfee(s)atanySolidWasteManagementFacility;(2)Anyinsurancedeductiblesorself-insuredretention;45AGENDA ITEM #3.B.Approval Of First Amendment To Contract No. FY2019-25 Residential And Co...Page 49 of 103 ContractNo,FY2019-25(3)Anyemployee’swages;and,(4)Anyotherbill,suchthatitbecomesdelinquentforaperiodofmorethan60days.c.MonetaryJudgments,Penalties,orFees.Contractoristhesubjectoffines,penalties,orcivilorcriminaljudgmentsorordersenteredbyanycourt,federalorStateagency,orRegulatoryAuthority,whichareorareestimatedtobeinexcessofthepastthree(3)monthsofContractorServiceFeescollectedbyContractor.SECTION14:CHANGESINSCOPEOFCONTRACTOBLIGATIONS14.01ChangestoPerformanceObligations.a.UponRequestbyKIB.KIBmayrequestchangeofitsPerformanceObligationsunderdirectedbyKIB,ContractorshallsubmititsBusinessDays.1(18maywithdrawitsrequestatb.UponContractor’sRequest.ContractorPerformanceObligationsunderthisContractwhichshallconformwiththerequirementsof14.02ProposalRequirements.thatContractorimplementathisContract.Unlessotherwiseproposalwithinten(10)1(18anytime,foranyreason.mayproposeachangetoitsbysubmittingaProposalto1(18,Section14.02.a.Contents.Initsproposal,ContractorwillincludesuchsupportingdocumentationasKIBdeemsnecessary,andmustdescribeitsdetailedplanforimplementingtherequestedorproposedchanges,andsuchdescriptionshallincludethefollowing:(1)Atasklistandtime-lineimplementationschedule;(2)GoodsorServices,includinganySubcontractor,necessarytoimplementthechange;and,(3)AnychangeinContractorServiceFeeandcostsubstantiationtherefore,includingContractor’schangesinDirectCosts,takingintoaccountbothincrementalDirectCostsandsavingsoffsets,suchasany:(I)Vehiclemodifications;(ii)AdditionofReceptacles,Vehicles,orroutes;(Hi)Shorteningorextensionofroutetime;(iv)Changestopersonnel;and,46AGENDA ITEM #3.B.Approval Of First Amendment To Contract No. FY2019-25 Residential And Co...Page 50 of 103 ContractNo.FY2019-25(v)IncreasesintransportationdistanceortimetoaSolidWasteManagementFacility.b.Contractor’sProposalDeemedanOffer.Contractor’sproposalwillbedeemedContractor’soffertoKIBtoimplementthedirectedorproposedchange.Contractor’sproposalwillremainbindingforatleastthirty(30)daysfromthedatethatithasbeensubmittedtoKIB.c.ReviewbyKIB.(1)Response/Comments.Withinthirty(30)KIBBusinessDaysofreceivingContractor’sproposal,KIBmayreview,approve,ordisapprovetheproposal,orproposeamendmentstoit.IfKIBdoesnotrespondwithinthattime,itsapprovalwillbedeemeddenied.IfContractor’sproposalincludesarequestforchangeintheContractorServiceFeethatmustbeapprovedbytheAssembly,KIBmayreview,approveordisapprovetheproposalwithinforty-five(45)days.(2)AcceptanceofComments,Contractorwillacceptorrejectanyproposedamendmentswithinfifteen(15)KIBBusinessDaysofreceivingthem.IfContractoracceptstheamendments,KIBwillprepareaformalamendmenttothisContractthatwillimplementtheproposal.(3)RejectionofCommentsINegotiations.IfContractorrejectsKIB’scomments,thePartieswillnegotiateingoodfaithforaperiodofatleastfifteen(15)KIBBusinessDaysfollowingContractor’sreceiptofKIBcomments.SECTION15:BREACHOFAGREEMENT,DAMAGES,ANDDEFAULT15.01LiquidatedDamages.a.Acknowledgements.ThePartiesherebyacknowledgethat:(1)KIBhasincurredconsiderabletimeandexpensenegotiatingthisContracttosecureanimprovedlevelofCollectionandRecyclingservicequality,increasedDiversionandincreasedCustomersatisfaction.Therefore,consistentandreliableContractServicesareofutmostimportancetoKIBandCustomers.(2)InawardingthisContracttoContractor,KIBconsideredandreliedonContractor’smunicipalreferences,experience,qualifications,andreputationastoservicequality,andContractor’sBreachrepresentsalossofbargaintoKIB.(3)QuantifiedstandardsofperformancearenecessaryandappropriatetoensureconsistentandreliableContractService,andifContractorfailsto47AGENDA ITEM #3.B.Approval Of First Amendment To Contract No. FY2019-25 Residential And Co...Page 51 of 103 ContractNo.FY2019-25meetPerformanceObligations)KIBwillsufferdamagesinsubjectivewaysandinvaryingdegreesofintensitythatareincapableofmeasurementinprecisemonetaryterms.Theimpositionofliquidateddamagesisnotapenalty,butisinsteadrecognitionofthedifficultyinascertainingthosedamagesthatmayreasonablyresultfromContractor’sbreachofitsPerformanceObligations.(4)TerminationofthisContractforDefaultandotherremediesprovidedinthisContractare,atbest,ameansoffuturecorrectionandnotremediesthatmakeKIBwholeforpastBreaches.b.Non-Waiver.KIB’sassessmentofLiquidatedDamagesforContractor’sbreachesdoesnotprecludeKlBfromenforcingtheKIBCodeintheeventthatsuchbreachesconstituteViolations.c.Procedure.(1)NoticeofIntenttoAssessLiquidatedDamages.BeforeKIBmayassessLiquidatedDamagespursuanttothisSection,foreachcategoryofviolation(thatis,foreachofthecategorieslistedinExhibitB),KIBshallgiveContractorwrittennoticeofContractor’sviolationoftheperformancestandardandofKIB’sintenttoassessLiquidatedDamagesforanyfutureviolationofthesameperformancestandard.ThepurposeofthisprovisionistogiveContractornoticethatKIBconsidersContractortohaveviolatedaperformancestandard,andthatKIBwillassessLiquidatedDamagesifsuchviolationsarerepeated.(2)ProcedureforReviewofLiquidatedDamages.KIBmayassessLiquidatedDamagespursuanttothisSectionmonthly.AttheendofeachmonthduringthetermofthisAgreement,KIBshallissueawrittennoticetoContractor(“NoticeofAssessmenr)oftheLiquidatedDamagesassessedandthebasisforeachassessment.Theassessmentshallbecomefinalunless,withinten(10)calendardaysofthedateofthenoticeofassessment,Contractorprovidesawrittenrequestforameetingwiththetopresentevidencethattheassessmentshouldnotbemade.1(16shallscheduleameetingwithContractorassoonasreasonablypossibleaftertimelyreceiptofContractor’srequest.KIBshallreviewContractor’sevidenceandrenderadecisionsustainingorreversingtheLiquidatedDamagesassoonasreasonablypossibleafterthemeeting.WrittennoticeofthedecisionshallbeprovidedtoContractor.IntheeventContractordoesnotsubmitawrittenrequestforameetingwithinten(10)calendardaysofthedateoftheNoticeofAssessment,1(16determinationshallbefinalandKIBmayassesstheLiquidatedDamages,unlessKIBwaivesthisrequirement.LiquidateddamagesshallbeassessedaccordingtotheschedulesetforthinExhibitS.15.02CompensatoryDamages.IfContractorfailstodeliveranytypeofSolidWastetoafacilityapprovedbyKIB(suchasarecyclablesprocessingfacilityinconnectionwithanyRecyclablescollectionprogramthatmaybeestablished),thenin48AGENDA ITEM #3.B.Approval Of First Amendment To Contract No. FY2019-25 Residential And Co...Page 52 of 103 ContractNo.FY2019-25additiontoassessingLiquidatedDamages,KIBmayinitssolediscretionassessthefollowingCompensatoryDamages,andContractorwillpay1(18thefollowingCompensatoryDamages:1(16’sReimbursementCostsformonitoringContractor’scompliancewithitsdeliveryPerformanceObligations,includingtheassignmentof1(16personneltofollowCollectionVehiclesonCollectionroutes;anda.1(16’sReimbursementCostforenforcingorsecuringspecificperformanceofContractor’sdeliveryobligation.15.03Defaults.ThefollowingactsoromissionsbyContractorshallconstituteaDefaultofthisAgreement.a.ContractServiceDefaults.(1)UncuredBreach.AnybreachofthisAgreementshallbedeemedtoremainuncuredif:(i)KIBnotifiestheContractorthataBreachhasoccurred;and,(U)TheContractorfailstocorrectthatBreachwithintwenty(20)daysofthatNotice,unlessKIBagreesinwritingtoextendtheperiodforcorrection.(2)RepeatedBreach.KIBdeterminesthatContractorrepeatedlyorhabituallyBreachesitsObligationsunderthisContract.(3)ContractServiceFailures.WhennotexcusedbyaContractServiceException,theContractorfailstoCollectRefuse,eitheraccordingtoitsregularscheduleorbyappointment,inthefollowingamounts:(i)100ormoremissedpickupsformorethanseven(7)consecutivedays.(ii)500ormoremissedpickupsduringany12-monthperiod;or,(Hi)Atleast99.5%ofpickupsscheduledforaday,formorethanten(10)cumulativedays.(4)FailuretoComplywithApplicableLaw.(i)Violations.A.Material.ContractordoesnotcureanymaterialViolationofApplicableLawtothesatisfactionofKIBorapplicableRegulatoryAuthoritywithin30daysofthenotice,assessment,ordeterminationofthatViolationofApplicableLaw.B.Repeated.InKIB’sjudgment,Contractorrepeatedlyreceivesanotice,assessmentordeterminationofthesameordifferent49AGENDA ITEM #3.B.Approval Of First Amendment To Contract No. FY2019-25 Residential And Co...Page 53 of 103 ContractNo.FY2019-25Violation.(ii)Appeals.IfContractorisentitledtoappealandingoodfaithdoesappealanotice,assessment,ordeterminationofViolationofApplicableLaw,noDefaultwillbedeemedtohaveoccurreduntilafinaldecisionadversetoContractorhasbeenenteredbytheapplicableauthority.(5)CriminalActivity.ContractorfailstocomplywiththerequirementsofSection16.02ofthisContract.(6)FailuretoTimelyPayContractorPaymentObligation.ContractorfailstopayanyContractorPaymentObligationwithinfifteen(15)daysofthedateitisdueandpayable.(7)CharginginExcessoftheAmountsListedinContractorServiceFeeSchedule.ContractorchargesanyCustomermorethanthescheduledCustomerSpecialServiceSurchargelistedintheServiceScheduleanddoesnotreimbursetheexcesswithinthirty(30)daysofContractor’sdiscoverythereof,KIBnoticeorCustomerrequest.(8)Failuretoallow1(18toperformContractServices.ContractorfailstotimelyallowKIBtoexerciseanyofKIB’srightsinconnectionwithperformingContractServicesunderSection15.09.b.PerformanceAssuranceDefaults.(1)FailuretoProvideAdeguateAssurancesofPerformance.ContractorfailstoprovideKIBwithadequatePerformanceAssurancewhenrequested.(2)SeizureandAttachment.AnyContractServiceAssetisseized,attachedorleviedupon(otherthanapre-judgmentattachment)soastosubstantiallyimpairContractor’sabHitytotimelyandfullyperformContractServices,andwhichcannotbereleased,bondedorotherwiseliftedwithinforty-eight(48)hours,exceptingweekendsandHolidays.(3)Insolvency,BankruDtcy.andLiquidation.ItshallconstituteaDefaultofthisAgreementifanyofthefollowingeventsoccur,ortheContractortakesanyactionsinfurtheranceofsuchevents:(i)Contractorfilesavoluntaryclaimfordebtreliefunderanyapplicablebankruptcy,insolvency,debtorrelief,orothersimilarlawnoworhereafterineffect,unlessContractorretainsfullcontrolofContractServiceAssetsthroughoutthependencyofthatclaim;(ii)Contractorconsentstotheappointmentofortakingofpossessionbyareceiver,liquidator,assignee(otherthanasapadofatransferofContractServiceAssetsnolongerusedtoprovideContractServicesorbackupContractServices),trustee(otherthanassecurityofanobligationunderadeedoftrust),custodian,sequestration,50AGENDA ITEM #3.B.Approval Of First Amendment To Contract No. FY2019-25 Residential And Co...Page 54 of 103 ContractNo.FY2019-25administrator(orsimilarofficial)ofContractorforanypartofContractor’soperatingassetsoranysubstantialpadofContractor’sproperty;(üí)ContractormakesanygeneralassignmentforthebenefitofContractor’screditors;(iv)ContractorfailsgenerallytopayContractor’sdebtsastheybecomedue;(v)AcourthavingjurisdictionentersadecreeororderforreliefinrespectofthisContract,inanyinvoluntarycasebroughtunderanybankruptcy,insolvency,debtorrelietorsimilarlawnoworhereafterineffect,or(vi)Contractorconsentstoorfailstoopposeanysimilarproceeding;or,(vu)Anycourthavingjurisdictionentersadecreeororderappointingareceiver,liquidator,assignee,custodian,trustee,sequestrator,administrator(orsimilarofficial)ofContractororforanypartofContractor’soperatingequipmentorassets,orordersthewindinguporliquidationoftheaffairsofContractor.(4)DefaultunderGuaranty.TheoccurrenceofanydefaultundertheGuaranty.(5)Transfer.ContractormakesaTransferwithoutKIB’sconsent,asrequiredbySection17.(6)Subcontract.ContractorengagesaSubcontractororentersintoaSubcontractwithoutKIB’sconsent,asrequiredbySection18.10,anddoesnotterminatethatSubcontractwithinfifteen(15)KIBBusinessDaysofKIB’sNotice.c.FalseRepresentationsandBreachofWarranties.(1)UnderthisContract.(i)ContractormakesarepresentationorcertificationinorunderthisContract,includingSection2,whichContractorknows,orinthecourseofdiligentlyconductingbusinessandprovidingContractServicesshouldhaveknown,isuntrueonthedateContractormadeit.(ü)ContractorbreachesawarrantyunderthisContract.(2)AsInducementtoEnterIntoThisContract.Contractormakesarepresentationorfailstomakeadisclosure,whetherwithinthisContractorotherwise,toKIBinconnectionwithorasamaterialinducementtoenteringintothisContractoranyfutureamendmentto51AGENDA ITEM #3.B.Approval Of First Amendment To Contract No. FY2019-25 Residential And Co...Page 55 of 103 ContractNo.FY2OI9-25thisContract,whichrepresentationorfaileddisclosureisfalseormisleadinginanymaterialrespectwhenmade.15.04ExcusedBreachesandDefaults.a.UncontrollableCircumstances,IftheContractorisunabletoperform,orisdelayedinitsperformanceofanyofitsobligationsunderthisAgreementbyreasonofanyUncontrollableCircumstances,orforcemajeure,suchinabilityofdelayshallbeexcusedatanytimeduringwhichcomplianceispreventedbysucheventandduringsuchperiodthereafterasmaybereasonablynecessaryfortheContractortocorrectthequalifyingevent’sadverseeffects.(1)NoticetoKIB.Tobeentitledtothebenefitofthisprovision,theContractormustgivepromptwrittennoticetoKIB,whichspecifiesindetail:(i)ThenatureandscopeoftheUncontrollableCircumstance;(U)Itsexpectedduration;(iii)ThewaysinwhichtheeventwilladverselyaffecttheContractor‘SperformanceofContractServices;and,(iv)ThestepsthattheContractoristakingtomitigatesuchadverseeffects.b.KIB’sRights.(1)PerformContractServices.NotwithstandingthataBreachduetoUncontrollableCircumstancesdoesnotconstituteaDefault,afterthecontinuanceoftheBreachforforty-eight(48)hours,initssolediscretion,KlBmayneverthelessperform(orcausetobeperformed)ContractServicesintheContractServiceAreaitselfunderSection15.09.(2)ExerciseOtherRemedies.AfterthecontinuanceofanyBreachforthirty(30)days,1<18may,initssolediscretion,exerciseanyotherremedyunderthisContract,includingsuspendingorterminatingthisContractunderSection16.01.15.05RemediesUponBreach.a.AsProvidedbyLaw.EitherPartymayexerciseanyandallremediesavailableunderlaworequitytoremedytheotherParty’sbreachofthisContract.AParty’sexerciseofanyoneremedy,includingKIB’sassessingLiquidatedDamagesorCompensatoryDamages,isnotanelectionofremediesbutiscumulativewithanyotheravailableremedies.b.KIB’sAdditionalRemedies.Inadditiontoexercisinganyremedyavailableatlaworequity,uponoccurrenceofaDefault,RIBmayexerciseanyorallofthe52AGENDA ITEM #3.B.Approval Of First Amendment To Contract No. FY2019-25 Residential And Co...Page 56 of 103 ContractNo.FY2019-25foliDwingadditionalremedies:(1)Termination.TerminatethisContractoranyportionofPerformanceObligations,pursuanttoSection16.01(a);(2)Suspension.SuspendthisContract,pursuanttoSection1601(b);(3)PerformContractSeMcesKIBmayitselfperformContractor’sPerformanceObligations,orcausethemtobeperformedbyanotherparty,pursuanttoSection15.09;(4)Damages.AssessLiquidatedorCompensatoryDamagesagainsttheContractor;and,(5)ExerciseFinancialAssurances.DrawontheLetterofCredit,demandpaymentundertheGuarantyoranyIndemnity,orsubmitanyclaimunderinsurance.(6)IniunctiveRelief.Contractoracknowledgesthat1<16maybealsobeentitledtoinjunctivereliefinthoseinstanceswhereanawardofdamagestoKIBfortheContractor’sBreachorDefaultmaybeinadequateforreasonsincludingthefollowing:(i)PublicHealthandSafety.Theurgencyoftimely,continuousandhigh-qualityContractServices,includingCollection,Recycling,transportationand/ortransferandDisposalofputresciblesolidwastesthatconstituteathreattopublichealth;(U)ProcurementTimeandExpense.Thelongtimeandsignificantinvestmentofmoneyandpersonnel(includingKB’sstaff,electedofficialsandKIBCounsel,aswellasprocurementcounselandconsultants)necessaryto:A.DevelopascopeofContractServicesandPerformanceObligationsacceptableto1<16;B.DraftthisContractandrelatedprocurementdocuments;C.SolicitcommentsonthisContractandprocurementdocumentsfromKIB(andKIBCounsel)andPersonsinterestedinproposingtoprovideContractServicesD.MeetwiththosepotentialproposerstodiscusstheircommentsandanswertheirquestionsaboutthisContractandtheprocurement;E,FinalizethisContractandprocurementdocuments;F.SolicitproposalsforContractServices;53AGENDA ITEM #3.B.Approval Of First Amendment To Contract No. FY2019-25 Residential And Co...Page 57 of 103 ContractNo.FY2OI9-25S.Reviewandevaluatethoseproposalsandseekclarificationsofthoseproposals.H.AwardthisContractunderKIB’sApplicableLaw;I.FinalizeexecutionofthisContract,includingreviewingcommentingonandapproving(ifrequired)ContractorDocumentation;and,J.ConformKIBCodetotheautomatedRefuseCollectionprograms.(Hi)RelianceonContractor.KIB’srelianceonContractorsmeetingevaluativecriteriaonwhichawardofthisContractwasbased,suchasthefollowing:ASolidwastemanagementexperience;B.KIBreferences;C.Qualificationsofkeypersonnel;D.EnvironmentalprogramsandproposedUnpermittedWasteScreeningProtocol;E.Litigationhistory;F.Contractor’sproposedtransition,Customereducation,diversionandotherplans;G.AcceptanceoftermsofthisContract;and,H.Diversionrecord.(iv)Re-ProcurementTimeandExpense.Thelengthandsignificantinvestmentoftimeandmoneydescribedinitem(ii)todevelopalternativeMSWManagementServicescomparabletoContractServicesforthepriceprovidedunderthisContract,andtonegotiatenewagreementstherefore.c.RecoveryofUnpaidContractorPaymentObligations.KIBmaycollectContractorPaymentObligationsdueandowingbyContractortoKIBbyanyorallofthefollowingmeans:(1)DemandingpaymentfromContractororGuarantor;(2)DrawingontheLetterofCredit;54AGENDA ITEM #3.B.Approval Of First Amendment To Contract No. FY2019-25 Residential And Co...Page 58 of 103 ContractNo.FY2OIY-25(3)SubmittingclaimsasanadditionalinsuredunderInsurancepoliciesorundercontractualliabilityprovisionsofinsurancepolicies;and,(4)DirectingContractortooffsetContractorPaymentObligationfromContractorServiceFeesthatContractorreceivedfromCustomerstoremitthemtoKIB.d.Intheeventofdefaultbyeitherparty,thenon-defaultingpartyshallprovidenoticeofthedefaultwithspecificity.Noremediesforsuchdefaultshallaccrueunlessanduntilthedefaultingpartyshallhavefailedtocuresaiddefaultwithin10daysofreceiptofsuchwrittennoticeofdefault,saveandexceptsituationsthatmayimpactpublichealthorsafety,theenvironment,ormaybeaviolationoflaworanyprovisioninSection15.03whichgivesgreaterthan10daystocuresuchparticularlyidentifiedeventofdefault.15.06AdditionalCompensatoryDamages.AdditionalCompensatoryDamages.WithoutlimitingKIB’srighttoseekCompensatoryDamages,pursuanttoeitherthisContractorotherwiseavailableatlaw,KIBmayseekthefollowingadditionalCompensatoryDamages:a.AmountsequaltoanyContractorPaymentObligationsorotheramountsthatContractorhaspreviouslypaidtoKIBbutaresubsequentlyrecoveredfromKIBbyatrusteeinbankruptcyaspreferentialpaymentsorotherwise;b.IfKIBterminatesthisContractforDefault,KIB’sReimbursementCoststoprovideorre-procureMSWManagementServices;and,c.IfKIBterminatesthisContractforDefault,KIB’sprojectedDirectCostsofreplacingMSWManagementServicesinexcessofContractorServiceCompensationforthebalanceoftheTermremainingifthisContracthadnotbeenterminated,asbasedonservicefeesunderreplacementagreementsforthoseMSWManagementServices.THISSECTIONWILLSURVIVETHETERMINATIONOFTHISCONTRACTFOR180DAYSOROTHERPREFERENCEPERIODPROVIDEDUNDERAPPLICABLELAWWITHRESPECTTOBANKRUPTCYORINSOLVENCY.KIBmaydrawupontheLetterofCredit,GuarantyoranyotheravailablePerformanceAssurancetopaycompensatorydamages.15.07Waivers.a.WaiverofBreach.NowaiverofanyBreachorDefaultconstitutesawaiverofanyotherBreachorDefault.FailureofKIBtoenforceanyprovisionofthisContractmaynotbeconstruedasawaiverofKIB’senforcementrights.KIB’ssubsequentacceptanceofanydamagesorothermoneypaidbyContractormaynotbedeemedtobeawaiverbyKIBofanypre-existingorconcurrentBreachorDefault.55AGENDA ITEM #3.B.Approval Of First Amendment To Contract No. FY2019-25 Residential And Co...Page 59 of 103 ContractNo.FY2019-25b.ContractorWaiverofCertainDefenses.ContractoracknowledgesthatitissolelyresponsibleforprovidingContractServicesandbythisContractirrevocablyandunconditionalwaivesdefensestothepaymentandperformanceofitsobligationsunderthisContractbasedonfailureofconsideration;contractofadhesion;impossibilityorimpracticabilityofperformance;commercialfrustrationofpurpose;ortheexistence,non-existence,occurrenceornonoccurrenceofanyforeseenorunforeseenfact,eventorcontingencythatmaybeabasicassumptionofContractorwithregardtoanyprovisionofthisContract;providedthatContractordoesnotbythisContractwaiveanydefensesunderthisContractofUncontrollableCircumstances.15.08Costs.a.Non-PrevailingParty.Thenon-prevailingPartyinanydisputeinvolvingthisContractwillpaytheprevailingParty’sReimbursementCosts,includingstandardandreasonableattorney’sfees.b.KIB’sEnforcementCosts.ContractorwillreimburseKIBpromptlyuponrequestforeitherorbothofthefollowingKIB’sReimbursementCosts:(1)CostsresultingfromKIB’sinvestigationofanyallegedBreach;or,(2)CostsincurredbyKIBasaconsequenceofContractor’sBreach.15.09KlBRighttoPerform.a.Events.1<15mayperform,orprovide[ortheperformanceof,anyorallPerformanceObligationsifKIBreasonablydeterminesthat:(1)Contractor,duetoUncontrollableCircumstancesorforanyreasonwhatsoever,fails,refusesorisunabletoCollectanySolidWasteandoperatetheRecyclablesProcessingFacilityforaperiodofforty-eight(48)hoursaftertheCollectionoracceptancewasrequiredunderthisContract,and1<16determinesinitssolediscretionthatthereisadangertothepublichealth,safetyorwelfare;or,(2)1<16suspendsorterminatesthisContract.b.Continuation.1<16hasnoobligationtocontinueperformingorprovidingfortheperformanceofanyorallPerformanceObligationsandmayatanytime,initssolediscretion,ceasetoprovideanyorallPerformanceObligation.However,1<16’srighttoperformorprovidefortheperformanceofanyorallPerformanceObligationswillcontinueuntileither(1)ContractordemonstratestoKIB’ssatisfactionthatContractorisready,willingandabletoresumetimelyandfullperformanceofallPerformanceObligations;or,56AGENDA ITEM #3.B.Approval Of First Amendment To Contract No. FY2019-25 Residential And Co...Page 60 of 103 ContractNo.FY2019-25(2)KIBiscapableofmakingalternativearrangementsforprovidingMSWManagementServicesand/orRecyclingservice,initsjudgmentcomparabletoContractServicesinscopeandprice,whichmayincludecontractingwithanotherserviceprovider.c.Notice.KIBmaygiveContractor24-houroralnoticethatKIBisexercisinganyorallofKIB’5rightsunderthisSection.Theoralnoticewillbeeffectiveimmediately,buttoremaineffective,withinanother24hoursKIBmustconfirmthatoralnoticewithawrittenNotice.d.KIBPurchaseorLeaseofServiceAssets.ShouldKIBelecttoexerciseitsauthoritytoperformtheContractServicesasprovidedinthisSection15.09,ContractorshallenterintogoodfaithnegotiationsforthesaleorleasetoKIBofallServiceAssetsreasonablynecessarytodoso,consistentwithSection3.03.SECTION16:SUSPENSIONORTERMINATIONOFCONTRACT16.01KIB’sRighttoSuspendorTerminate.a.Contractoriswillingtoagreetocommercially-standardsuspensionandterminationprovisionstiedtothemattersofdefaultaddressedinSection15,butonlyaftertherighttocureperiodinthe16.01f.b.TerminationEvents.KIBmay,initssolediscretion,terminatethisContractshouldanyofthefollowingTerminationEventsoccur:(1)Contractor’sDefault;(2)Contractor’sBreachduetoUncontrollableCircumstances,whichremainsuncuredforaperiodof30days;(3)AnyContractProvision,asdefinedinSection22,isruledunconstitutional,illegal,invalid,non-bindingorunenforceablebyanycourtofcompetentjurisdiction,regardlessofwhetheritisdeemedseverable;or,(4)AnyGuarantortransferstheGuarantywithouttheconsentrequiredbytheGuaranty,andonorbefore15daysafterthetransfer,theGuarantordoesnotprovideKIBwithasubstituteGuarantororalternativefinancialcreditsupportsatisfactorytoKIB.c.SuspensionEvents.UpontheoccurrenceofanyTerminationEvent,KIBmay,inlieuofTermination,andinitssolediscretion,suspendthisContract,inwholeinorinpart,fornolongerthan30days.DuringthesuspensionperiodContractorwillhavetheopportunitytodemonstratetothesatisfactionofKIBthatContractorcanonceagainfullyperformContractServices.IfContractorsodemonstratestosatisfactionofKIBinitssolediscretion,KIB’srighttosuspendorterminatethisContractwillceaseandContractormayresumeprovidingContractServices.IfContractordoesnotsodemonstrate,KIBmayterminate57AGENDA ITEM #3.B.Approval Of First Amendment To Contract No. FY2019-25 Residential And Co...Page 61 of 103 ContractNo.FY2019-25thisContractandexerciseitsadditionalrightsandremedies.d.NoticetoContractor.KIBwillgiveContractoraNoticeofTerminationorSuspensioneffectiveatthefollowingtimes:(1)ImmediatelyoruponotherperiodstatedbyKIBwithrespecttothefollowingDefaults,morefullydescribedinSection15.03:(i)FailureofContractortoprovideadequatePerformanceAssurances;or,(H)Insolvency,bankruptcy,liquidation,totheextentpermittedbyApplicableLaw(Insolvency,Bankruptcy,Liquidation);(2)UponContractor’sreceiptofNoticewithrespecttoanyotherDefault,unlessKIBspecifiesanalternativedateintheNotice;or,(3)SuchotherdateasKIBmayspecifyintheNotice.e.ReductioninFeeUponPartialSuspension.IfKIBsuspendsaportionofthisContractortheContractor’sPerformanceObligations,ContractorwillcontinuetofullyperformitsremainingPerformanceObligationsandtheContractorServiceFeewillbeadjustedtoreflectreductionsinPerformanceObligations.f.Contractor’sRighttoCure.ShouldKIBatanytime,contendthatContractorhasbreachedanymaterialprovisionofthisAgreement,KIBshallimmediatelynotifyContractorinwritingofKIB’scontention.Contractorshallhaveareasonabletimetocureanysuchallegedbreach,whichinalleventsshallnotbelessthanthirty(30)calendardays,oranysuchlongerperiodasreasonablyneededtocuresaidbreach,providedContractorinitiatedcuringthebreachwithinsuchthirty(10)calendardayperiodunlessagreedtoinwritingbytheborough,andcontinuestodiligentlypursuesuchbreach.IfContractorfailstocurethebreachwithinsuchtime,KIBmayterminatethisAgreementand/orpursueanyotherremedyprovidedforinthisAgreement,atlaworinequity.Classesofbreachthatarenotsubjecttothe“noticeandcure”requirements—especiallybreachesresultingfromtheviolationoflaws,includinglawsgoverninglifeandsafety.Contractorshallonlyhavearighttocureifithasnotcommittedthesamebreach3timeswithinthepreceding12months.16.02CriminalActivIty.a.NotIce.ContractorwillimmediatelygiveNoticetoKIBofeitherofthefollowingwithrespecttoContractororanyContractManager(exceptfortheContractManagerinaPositionofinfluence):(1)ConvictionofaCriminalActivity(“Conviction”);or,58AGENDA ITEM #3.B.Approval Of First Amendment To Contract No. FY2019-25 Residential And Co...Page 62 of 103 ContractNo.FY2019-25(2)PleaofguiltyornobcontenderetoaCriminalActivity(“Plea”).ContractorwillpromptlygiveNoticetoKIBofanyofthoseconvictionsorpleaswithrespecttotheContractorManagerinaPositionofInfluence.b.Cure.UpontheoccurrenceofanyconvictionorpleadefinedinSubsectiona,Contractorimmediatelywilldoorcausetobedonebothofthefollowing:(1)TerminatefromemploymentanyoneinaPositionofInfluenceorremovefromofficeanyoneinaPositionofInfluence,unlessotherwisedirectedororderedbyacourtorRegulatoryAuthorityofcompetentjurisdictionand/orauthority,andunlessterminationwouldsubjectContractor,anAffiliateoranyofitsContractManagerstosubstantialliabilityforbreachofanylaboragreemententeredintobeforetheContractCommencementDate;and,(2)RefrainfromemployingorappointingthatindividualorindividualsresponsiblefortheCriminalActivityfromanyotherPositionofinfluence.c.KIBremedies.IntheeventthatContractororanyAffiliatefailstoeffectuatethecuredescribedinSubsectionb,ortheCriminalActivityisrelatedtothisContractoroccurswithintheKIB’smunicipalboundaries,KIBmayeithersuspendorterminatethisContractasitdeemsproper.d.LimitationsonContractorManager.ContractorshallnotpermitanyPersontoserveasContractorManagerwhohaspreviouslybeenconvictedofaCriminalActivity,orplead“guilty”or“nobcontendere”toanyCriminalActivity.SECTION17:TRANSFEROFCONTRACT.17.01TransferbyContractor.a.Acknowledgment.ContractoracknowledgesthatContractorsubmittedevidencetoKIBwithrespecttoContractorsexperience,expertiseandqualificationstoprovideContractServices,andthatContractorsexperience,expertiseandqualificationswerematerialconsiderationsofKIBinenteringintothisContractwithContractor.b.KIBConsentRequired.ContractorwillnotTransfer,inwholeorinpart,voluntarilyorinvoluntarily,thisContract,theGuaranty,oranyrightsordutiesinthisContractorundertheGuaranty,withoutKIB’sAssembly’sprior,writtenconsent,whichconsentshallnotbeunreasonablywithheld,conditioned,ordelayed.ContractormaynotcircumventKISsconsentrightsbysecuringGoodsorServicesfromaSubcontractor.ContractoracknowledgesthatinitssubmittedproposaltoprovideContractServicesandenterintothisAgreementitdescribedtheexperience,59AGENDA ITEM #3.B.Approval Of First Amendment To Contract No. FY2019-25 Residential And Co...Page 63 of 103 ContractNo.FY2019-25qualifications,andoperationsnotonlyofContractoritself,butofthefollowingcompaniesthatarewhollyownedbyContractorasoftheContractCommencementDate:___________________(together,“Contractor’sOperations”).Furthermore,initsproposalContractordidnottakeanexceptiontoitsPerformanceObligationtoprovidetheGuaranty.Therefore,inlieuofprovidingtheGuaranty,ContractorwillnotTransferinwholeorinpart,voluntarilyorinvoluntarilyanyofContractor’sOperationswithoutKIBconsent,giveninKIB’ssolediscretion.ForpurposesofthisPerformanceObligationandKIBright,thedefinitionof“Transfee’,the“Contracto?’isdeemedtoinclude“Contractor’sOperations.c.Contractorrequest.WithoutobligatingKIBtogiveconsent,ContactorwilldemonstratetoKIB’ssatisfactionthattheproposedtransfereehastheoperationalandfinancialabilitytosatisfyPerformanceObligations.1(18isnotobligatedtoconsideranyproposedTransferbyContractorifContractorisinBreachatanytimeduring1(18’sconsideration.d.PaymentofKIB’sTransferCosts.(1)TransferDeposit.Contractormustmakeanyrequestfor1(18’sconsenttoaTransferinthemannerprescribedby1(18.ContractormustpayKIBtheTransferDepositbeforeKIBwillconsiderContractor‘srequest.“TransferDeposit”meanslesserofthefollowingrefundableamounts:(i)$1,500or,(ii)KISsanticipatedTransferCosts.(2)AdditionalTransferCosts.Within30daysofKIB’srequest,Contractorwillfurtherpay1(15’sadditionalTransferCostsinexcessoftheTransferDeposit,whetherornotthatKIBapprovestheTransfer.“TransferCosts”meanssuch1(18ReimbursementCostsresultingfromits:(i)ConsiderationandreviewofContractor’srequestforTransfer;(ii)Investigationregardingthesuitabilityoftheproposedtransferee;(Hi)Determinationofwhetherornottoconsent;and,(iv)PreparationofthosedocumentsnecessarytoeffectuatetheTransfer.(3)1(18’sReimbursementCostsofEnforcement.Within30daysofKISsrequest,Contractorwillpay1(15’sReimbursementCostsforfeesandinvestigationcostsas1(18deemsnecessarytoenjointheTransferortootherwiseenforcethisSection.e.Novation.If1(18consentstoTransferofthisContract,uponrequestofthetransferee,KIBwillexecuteanovationunderwhichthePersonwhichisthe60AGENDA ITEM #3.B.Approval Of First Amendment To Contract No. FY2019-25 Residential And Co...Page 64 of 103 ContractNo.FY2OID-25transfereeContractorassumesalltherightsandPerformanceObligationsofthetransferorContractor.SECTION18:THEPARTIES18.01IndependentContractor.ThePartiesagreeandtheContractoracknowledgesasfollows:a.ContractorisanindependententityandcontractorengagedbyKIBandnotKIB’sRelatedPartyorapartytoanyjointventurewithKIB.b.NoemployeeoragentofContractorisdeemedtobeKIB’sRelatedParty.c.ContractorwiflhavetheexclusivecontroloverthemannerandmeansofperformingContractServicesandoverallPersonsperformingContractServices.d.ContractorissolelyresponsiblefortheactsandomissionsofContractor’sRelatedParties,noneofwhomisdeemedtobeKIB’sRelatedParty.e.NothinginthisContractmaybeconstruedascreatinganarrangementforhandlingUnpermittedWaste.1.NeitherContractornoranyofContractor’sRelatedPartieswillobtainanyrightstoretirementbenefits,workers’compensationbenefits,oranyotherbenefitsthataccruetoKIBemployeesandContractorexpresslywaivesanyclaimitmayhaveoracquiretothosebenefits.g.Contractorbearsthesoleresponsibilityandliabilityforfurnishingworkers’compensationandallotherbenefitsrequiredbylawtoanyindividualforinjuriesarisingfromorconnectedwithContractServices.18.02PartiesinInterest.NothinginthisContract,whetherexpressorimplied,isintendedtoconferanyrightsonanyoneotherthanthePartiesandtheParties’respectiverepresentatives,successorsandpermittedassigns.RelatedPartiesarethirdpartybeneficiariesofprovisionsinthisContractthatreferencethem.18.03BindingonSuccessors.TheprovisionsofthisContractwillinuretothebenefitofandbebindingonthesuccessorsandpermittedassignsoftheParties.18.04FurtherAssurances.EachPartyagreestoexecuteanddeliveranyinstrumentsandtoperformanyactsasmaybenecessaryorreasonablyrequestedbytheothertogivefulleffecttothisContract,includingContractorDocumentation.ContractorwillcompleteContractorDocumentationsatisfactorytoKIBbytheContractCommencementDate.61AGENDA ITEM #3.B.Approval Of First Amendment To Contract No. FY2019-25 Residential And Co...Page 65 of 103 ContractNo.FY2019-2518.05ActionsofKIBinItsGovernmentalCapacity.NothinginthisContractmaybeinterpretedaslimitingtherightsandobligationsofKIBinitsgovernmentalorregulatorycapacity.18.06Contractor’sObligationsPerformedatItsSoleExpense.ContractorwillperformContractServicessolelyforthecompensationexpresslyprovidedforinthisContract.18.07PartiesRepresentatives.a.KIB(1)Identification.TheKIBRepresentativeistheManagerorhisorherdesignee,asmaybeamendeduponNoticetoContractorbyKIBinRIB’ssolediscretion.(2)Delegation.ByauthorizingtheexecutionofthisContract,RIBdelegatestotheRIBRepresentativetheauthoritytoexerciseKIB’srights,remediesandoptionsunderthisContractandadministerthisContract,exceptwithrespecttothefollowing,whichmustbeapprovedbytheKIBGoverningBody:(I)ExtendingtheTermforanadditionalyearormore;(ii)SuspendingorTerminatingthisContract;(iH)ApprovingordisapprovingTransferofthisContract;(iv)AmendingthisContract,includingamendmentstotheContractorServiceFeeduetochangesinoperationspursuanttoSectionI1.03e,butnottoannualadjustmentspursuanttoSection1I.03b;(v)Indemnities;and,(vi)ExercisinganydelegationofauthoritycontrarytoApplicableLaw.b.ContractorRepresentative.TheContractorRepresentativeisnamedinContractorDocumentation.TheContractorRepresentativemusthaveatleast5yearsofexperienceinSolidWastecollectionservicesbeforebeingnamedContractorRepresentative.TheContractorRepresentativeisauthorizedtoactonbehalfofContractorinthesatisfactionofallPerformanceObligationsandexerciseofContractor’srightsandoptionsunderthisContract.18.08DueDiligence.ContractoracknowledgesthatMSWManagementServicesandRecyclingServices,includingContractServices,arehighlyregulatedunderApplicableLaw,andthatwastemanagementisapublichealthandsafetyconcern.ContractoragreesthatitwillexerciseduediligenceinperformingContractServices.62AGENDA ITEM #3.B.Approval Of First Amendment To Contract No. FY2019-25 Residential And Co...Page 66 of 103 ContractNo.FY2019-2518.09NoUseofKIBName.ContractorwillnotconductanybusinessrelatedtoitsPerformanceObligationsunderthisContractusinganynamereferencingKIB,orotherwiseappliesassociationwithorownershipbyKIB.18.10Subcontractors.a.Subcontractsexceeding$50,000.ContractorwillnotengageanySubcontractorinanamountexceeding$50,000foranyindividualSubcontractorwithoutKIB’spriorapprovaloftheSubcontractandSubcontractor.AnySubcontractenteredintowithoutKIB’spriorapprovalisvoid.ContractorwillidentifyapprovedSubcontractorsinContractorDocumentation.b.ContractorResponsibility.ContractorissolelyresponsiblefordirectingtheworkofSubcontractorsandpayingSubcontractors’compensation.c.Removal.KIBmayrequireContractortoremoveanyapprovedSubcontractorforanyofthefollowingreasons:(1)ItsfailuretoprovideContractServices;(2)Itsnon-compliancewithApplicableLaw,or(3)Itsengagementinconductthat,inKIB’sjudgment,isabusive,rudeorunsafe.d.ReferencetoSubcontractors.SpecificreferencetoSubcontractorsunderthisContract(suchaswithrespecttocompliancewithApplicableLawandmeetingInsurancerequirements)doesnotimplythatlackofspecificreferencetoSubcontractorselsewhereunderthisContractExemptsSubcontractorsfromcomplyingwiththisContract.SECTION19:AMENDMENTS19.01Amendments.a.MeansofAmendment.AmendmentstoContractrights,remediesandoptions,unlessdelegatedtotheKIBRepresentative,willbeeffectiveuponcompletionofthefollowingactions:(1)AuthorizationanddirectionofKIBGoverningBody;(2)ConsentoftheContractor;and,(3)DueexecutionbythePartiesofawrittenamendmenttothisContractreflectingthosechanges.b.ConsentbyRepresentatives.AllotherAmendmentstothisContractwillbeeffectiveuponcompletionofthefollowing:63AGENDA ITEM #3.B.Approval Of First Amendment To Contract No. FY2019-25 Residential And Co...Page 67 of 103 ContractNo.FY2019-25(1)ConsentoftheKIBRepresentative,exceptforContractorsamendmentstoContractorDocumentationthatdonotrequire1<18consent;(2)ConsentoftheContractorRepresentative,exceptforamendmentstothisContractthatdonotrequireContractorconsent;and,(3)DueexecutionbythePartiesoftextreflectingthosechanges.Examp’esofthoseamendmentsincludethefollowing:(i)AmendmentsnotlistedinSubsectiona;(H)ContractorDocumentation;and,(iH)ExhibitsorAttachmentstothisContract(exceptwithrespecttoContractorServiceFeeotherthanannualadjustments).c.Dueexecution.ForpurposesofthisSection,“dueexecution”ofamendmentstothetextofthisContractmeansthattheParties’authorizedrepresentatives:(1)WitnessandsignthewrittenamendmentintheformprovidedonthesignaturepageofthisContract:and,(2)Warrantthattheyareauthorizedtoexecutetheamendment.SECTION20:NOTICES,CONSENTS,ANDAPPROVALS20.01NotIces.NoticesmustbegivenattheaddressesprovidedinContractorDocumentationattachedtothisContract,asfollows:a.ByEmailorfacsimile,promptlyfollowedbypersonalormaileddelivery;b.BypersonaldeliverytotheContractorRepresentativeor1<18Representative,asthecasemaybe;c.BydepositintheUnitedStatesmaüfirstclasspostageprepaid(certifiedmail,returnreceiptrequested);or,d.Bycommercialdeliveryserviceprovidingdeliveryverification.Noticeby1<18toContractorofamissedpick-uporaCustomerproblemorcomplaintmaybegiventoContractororallybytelephonetoContractorRepresentativeorotherContractorpersonnelresponsiblefortakingcomplaintsfromKIBorthepublic.PartiesmaychangetheiraddressuponNoticetotheotherParty.20.02WritingRequirements.AllNotices,reports,demands,requests,directions,selections,optionexercises,orders,proposals,reviews,comments,64AGENDA ITEM #3.B.Approval Of First Amendment To Contract No. FY2019-25 Residential And Co...Page 68 of 103 ContractNo.FY2019-25acknowledgments,approvals,agreements,consents,waivers,certificationsandothercommunicationsmadeunderthisContractmustbeinwriting,exceptthefollowing:a.Oralcommunicationisexplicitlyauthorized;and,b.CommunicationwithrespecttoroutineContractadministration,suchassubmittingRecordsorReports,correctingReportsor,discussingCustomercomplaints.20.03ExerciseofOptions.Partieswillexerciseanyapproval,disapproval,consent,acceptance,option,discretion,election,opinionorchoiceunderthisContract,makearequirementunderthisContract,orinterpretthisContract(“DiscretionaryAction”)inamannerthatisreasonable.RecognizingtheessentialpublichealthandsafetyprotectionsthisContractserves,wherethisContractspecificallyprovidesthattheexerciseofanyDiscretionaryActionisineitherParty’sindependent,sole,exclusiveorabsolutediscretion,controlorjudgment,theotherPartywillnotquestionorchallengetheotherParty’sexercisethereof.PartieswillneverthelessexercisetheirrightsandremediesingoodfaithasrequiredbyApplicableLaw.AnymediatororcourtmustfindtheParty’sexercisetobereasonable.SECTION21:INTEGRATIONS,GOVERNINGLAW,ANDVENUE21.01Integrations.ThisContractcontainstheentireagreementbetweenthePartieswithrespecttotheirrightsandobligationsunderthisContract.ThisContractcompletelyandfullysupersedesallpriorunderstandingsandagreementsbetweenthePartieswithrespecttotheirrespectiverightsandobligations,includingthosecontainedineachofthefollowing:a.Requestsforproposals;b.Proposals;c.Memoranda;d.Correspondence;e.Telephonecalls;f.Fieldtrips;g.Interviews;h.Negotiations;and,i.MeetingsoftheKIBAssembly,andothercommission,committees,andboards.65AGENDA ITEM #3.B.Approval Of First Amendment To Contract No. FY2019-25 Residential And Co...Page 69 of 103 ContractNo.FY2019-2521.02GoverningLaw.TheParties’respectiverightsandobligationspursuanttothisContractshallbedeterminedaccordingto,andgovernedby,thelawsoftheStateofAlaska21.03Severability.a.Generally.Shouldanycourtofcompetentjurisdictionholdthatanyclause,sentence,provision,section,subsection,exhibit,orattachmentofthisContractisunconstitutional,illegal,invalid,non-binding,orotherwiseunenforceable,suchdeterminationshallnotaffectanyoftheremainingprovisionsofthisContract.ThisContractwillbeconstruedandenforcedasiftheContractProvisiondidnotexist,andthePartieswillasaresult:(1)PromptlymeetandnegotiateasubstitutefortheContractProvisionandanyrelatedamendments,deletionsoradditionstootherprovisionsofthisContractwhichtogethereffecttheParties’originalintenttothegreatestextentallowableunderApplicableLaw;and,(2)Ifnecessaryordesirabletoaccomplishprecedingitem(1),applytothecourtthatdeclaredsaidinvalidityforajudicialconstructionofthesubstitutedContractProvisionandanyamendments,deletionsoradditionstothisContract.Within10daysofanyKIB’srequest,ContractorwillpayKIBhalfoftheDirectCostsofthatapplication.However,ifanyContractProvisionwithrespecttoKIBdirectiontoaSolidWasteManagementFacilityisruledunconstitutional,illegal,invalid,nonbindingorunenforceablebyanycourtofcompetentjurisdiction,thenKIBinitssolediscretionmayeither:(1)SeverthatContractProvisionandconstrueandenforcethisContractunderthisSection;or,(2)TerminatethisContract.b.Contractor’sWaiverofCertainLegalChallengesContractoragreesnottochallengetheconstitutionality,legality,validity,enforceabilityorbindingnatureofeitherofthefollowingprovisionsofthisContract:(1)Contractor’sobligationtodeliverRefusetoKIBLandfill;and,(2)Contractor’sobligationtodeliveranyothertypeofSolidWaste(suchasrecyclables)toanyotherSolidWasteManagementfacilityasdirectedbyKIB.21.04NewContractThisContractisanewobligationbetweenthePartiesandisanovation,substitutionandreplacementforanypresentorpriorcontractsoragreementsbetweenthePartiesconnectedwithorrelatedtoMSWManagementServices.66AGENDA ITEM #3.B.Approval Of First Amendment To Contract No. FY2019-25 Residential And Co...Page 70 of 103 ContractNo.FY2019-2521.05Venue.AnycivilactionarisingfromthisContractshallbebroughtintheSuperiorCourt,ThirdJudicialDistrict,StateofAlaska21.06Costs.Thenon-prevailingPartyinanydisputeinvolvingthisContractshallpaytheprevailingParty’sreasonableReimbursementCosts,includingattorney’sfees.SECTION22:ADDITIONALTERMSANDCONDITIONS1.Notwithstandinganythinghereintothecontrary:(a)Contractorshallhavenoobligationtocollectortransportanymaterialwhichisorcontains,orwhichContractorreasonablybelievestobeorcontain,radioactive,volatile,corrosive,highlyflammable,explosive,biomedical,infectious,biohazardous,toxicorhazardousmaterialasdefinedbyapplicablefederal,stateorlocallawsorregulations(“ExcludedWaste”);(b)ifContractorfindswhatreasonablyappearstobediscardedExcludedWaste,ContractorshallpromptlynotifytheKIBandtheproduceroftheExcludedWaste,iftheproducercanbereadilyidentified;and(c)titletoandliabilityforanyExcludedWasteshallremainwiththeproduceroftheExcludedWaste,evenifContractorinadvertentlycollectsordisposesofsuchExcludedWaste.2.CustomersandtheKIBmustcomplywithanydescriptionofand/orprocedureswithrespecttoremovalofcontaminantsorpreparationofrecyclablematerialsasreasonablyprovidedbyContractor.IfanycustomerortheKIBfailstodoso,Contractormaydeclinetocollectsuchmaterialswithoutbeinginbreachofthecontract.Contractorshallnotberesponsibleforandhasnotmadeanyrepresentationregardingtheultimaterecyclingofsuchrecyclablematerialsbyanythird-partyfacilities.3.Notwithstandinganythinghereintothecontrary,totheextentsuppliedbyContractor,intheeventthatacontainerbecomeslost,unsightly,unsanitary,broken,orunserviceablebecauseoftheactsoromissionsofacustomerortheKIB(excludingnormalwearandtear),thecustomerorKIB(asthecasemaybe)willbechargedfortheresultingrepairsorreplacementandsuchamountswillbepaidtoContractorupondemand.4.AnyequipmentfurnishedhereunderbyContractorshallremainthepropertyofContractor;however,thecustomersandtheKIB(asapplicable)shallhavecare,custodyandcontroloftheequipmentwhileattheservicelocations.CustomersandtheKIBshallnotoverload(byweightorvolume),moveoraltertheequipment,andshallusetheequipmentonlyforitsproperandintendedpurpose.CustomersandtheKIBmustprovideunobstructedaccesstotheequipmentonthescheduledcollectionday.Theword“equipment”asusedinthecontractshallmeanallcontainersusedforthestorageofnon-hazardoussolidwaste.5.Exceptforthepaymentofamountsowedhereunder,neitherpartyheretoshallbeliableforitsfailuretoperformordelayinitsperformancehereunderduetocontingenciesbeyonditsreasonablecontrolincluding,butnotlimitedto,strikes,67AGENDA ITEM #3.B.Approval Of First Amendment To Contract No. FY2019-25 Residential And Co...Page 71 of 103 ContractNo.P12019-25riots,compliancewithlawsorgovernmentalorders,inabilitytoaccessacontainer,fires,inclementweatherandactsofGod,andsuchfailureshallnotconstituteabreachunderthecontract.SECTION23:DEFINITIONSAffiliatemeansaPersonthat,directlyorindirectly,throughoneormoreintermediaries,controls,oriscontrolledby,orisundercommoncontrolwith,Contractor.Forthepurposeofthisdefinition,“control”hasthemeaningprovidedinRule144oftheSecuritiesActof1993.AffiliateParentmeansanAffiliatethat,directlyorindirectly,throughoneormoreintermediaries,controlsContractor.AnnualReportmeanstheReportrequiredunderSection10.03informandcontentsatisfactoryto1(18.ApplicableLawsmeansanyorallofthefollowingenacted,adopted,promulgated,issued,ruled,ordered,determinedorotherwisemadebyanyRegulatoryAuthoritythatapplytoorgovernContractServicesortheperformanceoftheParties’obligationsunderthisContract:(1)Laws,statutes(2)rules,regulations(3)guidelines,(4)Permits,(5)actions,determinations,orders,or(6)otherrequirements,includingApplicableLawconcerningthefollowing:(7)health,(8)safety,(9)fire,(10)laborrelations,(11)mitigationmonitoringplans,(12)buildingcodes,(13)zoning,(14)non-discrimination,(15)Vehicles:suchas:(i)airemissions(smogchecks);tires;documentationthroughmaintenancelogorotherwiseofasafetycompliancereport:Vehiclehighwaylighting,flashingandwarninglights,clearancelights,andwarningflags;registration;weightlimits;cleaning;enclosureIwatertightbeds;(ii)Theappropriateclassofdrivers’licensesissuedbytheStateDepartmentofMotorVehicles;(hi)anyStatelawsrelatingtooperatingequipmentconstruction,safety,and68AGENDA ITEM #3.B.Approval Of First Amendment To Contract No. FY2019-25 Residential And Co...Page 72 of 103 ContractNo.FY2OI9-25parkingandidentification,(16)Carts:suchas:a.maintenanceandplacementofCarts;b.placingContractoesnameandtelephonenumberonReceptacle;(17)Labor:(I)(H)(Hi)(18)Envi(i)(H)(Hi)Drugandalcoholtesting;TheOccupationalSafetyandHealthAct,(29U.S.C.§651etseq.),includingtheSolidWasteDisposalFacilityCriteriapromulgatedbytheU.S.EPAonOctober9,1991(40C.F.R.,Parts257and258);andcorrespondingStaterequirements;immigrationReformandControlActof1966(PL.99-603);ronmentalProtection:CERCLA;RCRA;CleanAirAct,(42U.S.C.§1351etseq.,42U.S.C.§7401-7642)andCleanWaterAct,and;(iv)correspondingStaterequirements;(v)EmergencyPlanningandCommunityRighttoKnowAct,(42U.S.C.§llOOletseq.);(vi)regulationsgoverningtherecoveryofozone-depletingrefrigerantsduringtheDisposalofairconditioningorrefrigerationequipment,including40C.F.R.Part82;(vii)anywash-downrequirementsforcontainers,trucksorfacilities,(19)KIBCode,(20)Miscellaneous:(i)CivilRightsActof1964(SubchapterVIorChapter21ofTitle42);(H)Customer’sprivacyrights.ReferencetoApplicableLawincludesamendmentsandsupplementstoorreplacement,restatementorrecodificationoccurringaftertheContractCommencementDate.69AGENDA ITEM #3.B.Approval Of First Amendment To Contract No. FY2019-25 Residential And Co...Page 73 of 103 ContractNo.FY2OIY-25BaseServiceLevelisdescribedontheContractorServiceFeeSchedule.BearCartmeansacartdesignedtoberesistanttoopeningbybears.BreachmeansContactor’sfailuretofullyandtimelymeetanyPerformanceObligation.Bulkyitem(s)meansanylargeitemofSolidWastethatcanbesafelyliftedbytwoindividualsusingadolly,generatedatResidentialPremisesanddiscardedatResidentialSet-outSites,suchasthefollowing:(1)furniture,includingmetaldesksandstoragecabinets,(2)pianosandorgans,(3)televisions,(4)largeappliances,includingwashers,driers,refrigerators,freezers,dishwashersandstoves,(5)toys,bikesanddismantledswingsets,(6)lawnmowersandsnowblowerswithnogasoroilinthem,upto4autoorpickuptiresperCustomereachcalendarmonth,withrimsremoved,(7)anyitem(otherthanlumber)thatcanbecutorbroken-downmeetingthefollowingrequirements:(i)nolongerthan4feetinlength,(N)weighingnomorethan70pounds.BulkyItemsdoesnotmeanthefollowing:(1)materialgeneratedatnon-ResidentialPremises,includingcommercialbusinessoperations,(2)bundledYardWaste,branches,(3)sod,soilandrock,(4)brokenconcreteandasphalt,(5)brick,blockandstone,(6)railroadtiesorsimilartypeofretainingwalltimbers,(7)remodelingdebris,includingshingles,(8)carpeting,(9)sinks,concretelaundrytubsandcast-ironplumbingfixtures,(10)windowsanddoors,(11)lumber,(12)animalwaste,includingallexcrementfromdomesticanimalsandfowl,andallhay,straworothermaterialsthathavebeenusedforanimals’orfowls’bedding,(13)liquids,includingpaint,(14)hazardouswaste,includinghouseholdhazardouswaste,(15)fueloiltanks,(16)anyautomotiveparts(includingvehiclebatteriesandtires).C&DDebrismeansanySolidWastediscardedinDumpstersorRollOffContainersthatContractormustCollectunderSection6.05,suchasthefollowing:70AGENDA ITEM #3.B.Approval Of First Amendment To Contract No. FY2019-25 Residential And Co...Page 74 of 103 ContractNo.FY2019-25(1)bundledYardWaste,branches,(2)sod,soilandrock,(3)brokenconcreteandasphalt,(4)brick,blockandstone,(5)railroadtiesorsimilartypeofretainingwalltimbers,(6)remodelingdebris,includingshingles,(7)carpeting1(8)sinks,concretelaundrytubsandcast-ironplumbingfixtures,(9)windowsanddoors,(10)lumber.CalendarYearmeansaperiodof12monthsof365or366consecutivedaysbeginningJanuary1andendingDecember31.(Compare“ContractYear’9CardboardRecyclingContainermeansarolloffcontainerordumpsterwithanarrowopeningorslotonthesideofthecontainerthatwillrequirecardboardboxestobefirstflattenedinordertoallowthecardboardmaterialtobeinsertedintothecontainer.Cartmeansawheeledreceptaclethatcanbeemptiedbyeithersemi-orfully-automatedvehicles.ChangeinLawmeansthefollowingchangesoccurringaftertheContractCommencementDate:(1)theadoption,promulgation,repeal,modification,amendmentorotherchangeinApplicableLaworchangeinjudicialoradministrativeinterpretationthereofoccurring,otherthan:(i)lawswithrespecttotaxesbasedonormeasuredbynetincome,or(ii)anyunincorporatedbusiness,payrollorContracttaxesleviedbyanytaxgovernmentalauthority(otherthananytaxesleviedbyKIBthatareobligationsofContractorandnotmerelyfeesthatContractormustcollectonbehalfofKIB),or(hi)employmenttaxes;(2)anyorderorjudgmentissuedbyaRegulatoryAuthoritythatbindsContractororhasamaterialimpactonContractService:(i)iftheorderorjudgmentisnotalsotheresultofthewillfulmisconductornegligentactionorinactionofthePartyrelyingthereonorofanythirdpartyforwhomthePartyrelyingthereonisdirectlyresponsible;and(ii)unlessexcusedinwritingfromsodoingbytheotherParty,thePartyrelyingthereonwillmakeorhavemade,orwillcauseorhavecausedtobemade,ReasonableBusinessEfforts(suchasretainingcounsel)71AGENDA ITEM #3.B.Approval Of First Amendment To Contract No. FY2019-25 Residential And Co...Page 75 of 103 ContractNo.FY2019-25tocontesttheorderorjudgment(itbeingunderstoodthatcontestingingoodfaithanorderorjudgmentwillnotconstituteorbeconstruedasawillfulmisconductornegligentactionofthatParty);or(3)theimpositionbyaRegulatoryAuthorityofanynewordifferentmaterialconditionsinconnectionwiththeissuance,renewal,ormodificationofanyPermit;or,(4)aRegulatoryAuthority’s(i)failuretoissueorrenewanyPermit,(H)delayinissuingorrenewinganyPermit,or(Hi)suspension,interruptionorterminationof,anyPermit;providedthefailure,delay,suspensionorterminationisnotduetothewillfulmisconductornegligentactionorinactionofthePartyrelyingthereonoranythirdpartyforwhomthePartyrelyingthereonisdirectlyresponsible.Collect,CollectionorCollectingotherformthereofmeanspick-upandremovalofdiscardedSolidWasterequiredunderthisContract.CollectionCommencementDatemeansthedatedescribedinSection3.01,onwhichContractorshallbeginprovidingcertainCustomerCollectionservices.(Compare“ContractCommencementDate)CollectionHoursmeansthetimeduringwhichContractormaycollectsolidwasteundertheKIBCode.CommercialdescribesPersons(suchasCustomers)orthings(suchasCarts,PremisesortypesofSolidWaste)intheContractServiceAreathatarenotResidentialorMultifamily.CommercialCustomermeansaCustomerwhoownsoroccupiesaCommercialPremise.CommercialPremisemeanseachPremisecontainingthatisnotaResidentialPremiseorMulti-familypremise,suchasbusinesses.Compactormeansareceptaclecontainingaramthatpushesandcompresseswasteintoacontainerorbale.CompensatoryDamagesmeans‘CompensatoryDamages’describedinSection15.Contractmeansthisagreement,includingall:(1)Sections;(2)Exhibits;and,(3)Otherappendeddocumentation,includingAttachments,Exhibitsand72AGENDA ITEM #3.B.Approval Of First Amendment To Contract No. FY2019-25 Residential And Co...Page 76 of 103 ContractNo.FY2019-25documentation,whichareincorporatedinthisContractbyreferenceasiffullysetforthherein.ContractCommencementDatemeansthedateonwhichthisContractissignedbybothContractorandKID.(Compare“CollectionCommencementDate”.)ContractManagermeansthefollowing:(1)ContractorRepresentative(2)Contractor’sofficers(3)Contractor’sdirectors,and(4)anyindividualinaPositionofinfluence.ContractServicemeanstheMSWManagementServicesthatContractormustprovideforCustomersunderthisContract,includingallPerformanceObligations,thefutureCollectionofRecyclablesifagreedtobytheParties,CollectionfromRoll-offs,Customerbillingandcollection,andTransportationofCollectedMSWtotheKIDlandfill).(Compare“MSWManagementServices“.)ContractServiceAreameansalllandwithintheboundariesofKIBwhereCustomer’spremisescanbeservedbyroads.ContractServiceAssetDocumentmeansadocumentthatencumbersorlimitsContractor’sinterestinaContractServiceAssetorthatevidencesContractor‘sownershipinterestintheContractServiceAsset,suchas:(1)lease-purchaseagreement,(2)installmentpurchaseagreement,(3)financingstatement,mortgageorotherinstrumentestablishingasecurityinteresttoorbyContractor,(4)ifrequestedbyKID,documentsrelatedtoContractor’srightswithrespecttotheContractorServiceAsset,suchasCartwarranties,and(5)ifrequestedbyKID,documentsrelatedtooperationandmaintenanceoftheContractorServiceAsset.ContractServiceAssetsmeansallproperty,bothtangibleandintangible(suchasfacilityTeasesorequipmentinstallmentpurchaseagreements)useddirectlyorindirectlyinperformingContractServices,includingthefollowing:(1)vehicles,(2)receptacles,(3)operationImaintenanceequipmentandfacilities,(4)administrativeIofficeequipment(suchascomputerhardwareandsoftware,telephones/telefax)andoffices.ContractServiceAssetInventorymeansalistingofallContractServiceAssetsthatincludesadescriptionofthetype,size,yearinservice,commentsregardingcondition(ifrelevant),andusefulservicelifeforeachasset.73AGENDA ITEM #3.B.Approval Of First Amendment To Contract No. FY2019-25 Residential And Co...Page 77 of 103 ContractNo.FY2019-25ContractServiceDaymeansaweekdayorSaturdayonwhichContractormustperformContractServices,Holidaysexcepted.(Compare“day”and‘KJBBusinessDayContractServiceExceptionsmeans:(1)SolidWasteNotProperlyPlacedinReceptacles:discardedSolidWaste(otherthananyBulkyItem)thatisnotplacedinsideaReceptacle.(2)AnyReceptaclethatweighsmorethanlimitsprescribedonReceptacle’smanufacturerwarrantyorotherdocumentationacceptabletoKIBandnotedontheReceptacle.(3)ReceptacleorBulkyItemsNotPlacedatProperSet-outSite:aReceptacleisnotdiscardedattheSet-outSite,oraSulkyItemorexcessRefuseisnotdiscardedattheSet-outSiteunder4.04.(4)UnsafeCondition:TheSet-outSiteisnotsafelyaccessibletoVehiclesorContractor’semployees.(5)UnpermittedWasteorUnsafeMaterials:ContractorobservesUnpermittedWasteinaReceptacleorattheSet-outSite.(6)Anycustomerwithapastduebalanceof90-daysorgreaterwillnolongerbeofferedarefusecartforcurbsidecollectionandwillinsteadbebilledtherateforresidentialroll-offcontainerservice.Oncethecustomer’sbalanceispaidinfull,thecustomerwillagainbeofferedarefusecadforcurbsidecollection.Contractormeans:(1)ThePersonnamedandsigningthesignaturepageofthisContract;(2)AnyTransfereeapprovedbyKIBpursuanttoSection17;(3)Forthepurposesofindemnities,ContractorandContractor’sRelatedParties.ContractorsactionsandPerformanceObligationsincludereferencetoanySubcontractor’sactionsunderthisContract,asapplicable,withoutspecifyingineachinstancethatContractormustdirectlytakethoseactionsitself,orcauseitsSubcontractorstotakethoseactionsonContractor’sbehalf.ContractorDocumentationmeansdocumentationprovidedbyContractortoKIBunderthisContractinformandcontentsatisfactorytoKIB,includingthosedocumentssetforthinExhibitB.ContractorOfficemeansanyofficeandotherbasesofoperationlocatedinKIB.ContractorOfficeHoursmeansatleast8:00a.m.to5:00p.m.MondaythroughFriday(Holidaysexcepted).74AGENDA ITEM #3.B.Approval Of First Amendment To Contract No. FY2019-25 Residential And Co...Page 78 of 103 ContractNo.FY2019-25ContractorPaymentObligationsmeansamountsContactorowestoKIB,including:(1)damages,includingLiquidatedDamagesandCompensatoryDamages;(2)reimbursementstoKIB,includingKIB’sReimbursementCosts;(3)anyotheramountsprovidedinthisContract,suchascostsofapplyingtocourtsforjudicialconstructionofContractProvisions.ContractorPhoneHoursarehours(exceptingHolidays)betweenthefollowingtimes:(1)8:00a.m.and5:00p.m.,MondaythroughFriday,ContractorRepresentativemeanstheindividualorindividualsauthorizedbyContractorunderSection18.07andlistedinContractorDocumentation.(Compare‘1<18Representativc’JContractor’sReimbursementCostsmeansContractor’sDirectCostsplus10%thereof.(Compare“K/B‘aReimbursementCosts.)Contractor’sRelatedPartiesmeansContractor’semployees,partners,officers,agents,Subcontractors,attorneys,consultants,licensees,inviteesandAffiliates.Contractor’sRelatedPartiesarethirdpartybeneficiariesofprovisionsthatreferencethem.(Compare“KlB’aRelatedPaflies”.)ContractorServiceFeemeanstheamountlistedontheContractorServiceFeeSchedule.ContractorServiceFeeSchedulemeanstheschedulesetforthatSection11.01.ContractorTransitionPlanmeansContractorDocumentationconsistingoftheplanrequiredbySection4,whichhasbeenapprovedbyKIB.ContractYearmeanseach12-monthperiodcommencingJuly1andendingJune30,orwithrespecttolessthan12-monthperiodsfollowingexecution,terminationorexecutionoftheAgreement,theportionofthat12-monthperiod.(Compare“CalendarYear”.)CriminalActivitymeansanyofthefollowing:(1)fraudorcriminalfelonyoffensesinconnectionwithobtaining,attemptingtoobtain,procuringorperformingapublicorprivateagreementrelatedtorecyclables,yardwaste,constructionanddemolitiondebris,garbage,refuse,oranyothersolidwasteorMSWManagementServicesofanykind(includingcollection,hauling,transfer,processing,compostingordisposal),includingthisContract;(2)briberyorattemptingtobribeapublicofficeroremployeeofaRegulatoryAuthority;or(3)embezzlement,extortion,racketeering,falseclaims,falsestatements,forgery,75AGENDA ITEM #3.B.Approval Of First Amendment To Contract No. FY2019-25 Residential And Co...Page 79 of 103 ContractNo.FY2019-25falsificationordestructionofrecords,obstructionofjustice,knowinglyreceivingstolenproperty,theft,ormisprision(failuretodisclose)ofafelony;or(4)unlawfuldisposalofhazardous,designatedorotherwaste;or(5)violationofthefollowing:(i)securitiesorantitrustlaws(suchaslawsrelatingtoprice4ixing,bid-riggingandsalesandmarketallocation),and(U)unfairandanti-competitivetradepracticelaws,includingwithrespecttoinflationofwastecollection,haulingordisposalfees.CubicYardmeans46.656cubicinches.CustomerorCustomersmeansaPersonwhosubscribesforContractServicesfromContractor.CustomerComplaintProtocolmeanstheprotocolunderSection9.03informandcontentsatisfactorytoXIS.ItisContractorDocumentation.CustomerServiceSubscriptionisContractorDocumentationconsistingoftheserviceorderformprescribedbySection9.08,asapprovedbyKIB.Daymeansacalendarday.(Compare“1(18BusinessDay”and“ContractServiceDay”.)Defaultmeans‘Defauw’asdefinedanddescribedinSection15.DirectCostsmeansthesumofthefollowing:(1)payrollcostsdirectlyrelatedtotheperformance,ormanagementorsupervisionofanyobligationundertheprovisionsofthisContract,comprisedofcompensationandfringebenefits,includingvacation,sickleave,holidays,retirement,workers’compensationinsurance,federalandstateunemploymenttaxesandallmedicalandhealthinsurancebenefits,plus(2)thecostsofmaterials,services,directrentalcostsandsupplies,plus(3)travelandsubsistencecosts,plus(4)thereasonablecostsofanypaymentstoSubcontractors(withrespecttoContractor)orcontractors(withrespecttoKIB)orthirdparty’snecessarytoandinconnectionwithPerformanceObligations;plus(5)anyothercostorexpensewhichisdirectornormallyassociatedwithataskperformed;plus(6)reasonablelitigationcostsandexpenses,includingattorneys’fees(includingthereasonablevalueoftheservicesrenderedbyKIBCounsel’sOffice)76AGENDA ITEM #3.B.Approval Of First Amendment To Contract No. FY2019-25 Residential And Co...Page 80 of 103 ContractNo.FY2019-25investigationfeesandexpertwitnessfees.WhichDirectCostsaresubstantiatedby:(7)acertificatesignedbytheprincipalfinancialofficerofContractororanauthorizedrepresentativeofKIB,asthecasemaybe:(i)sellingforththeamountofthecostandthereasonwhythecostisproperlychargeabletoKIBorContractor,asthecasemaybe,and(N)statingthatthecostisanarm’slengthandcompetitiveprice,iftherearecompetitiveprices,fortheserviceormaterialssupplied;andifKIBorContractorrequests,asthecasemaybe,theadditionalback-updocumentationtosubstantiateanyDirectCost,includinginvoicesfromsuppliers,Subcontractorsandcontractors.DirectCostsexcludesprofitorreturnoninvestment.DisposalorDisposeorotherformthereofmeansfinaldepositionordestructionofSolidWaste.DiversionorDivertmeansactivitiesthatreduceoreliminatetheamountofSolidWastefromdisposal.Drive-inServicemeanswhenthecontractorisrequiredtoleavethepublicright-of-wayandenteradriveway,privateroad,orprivateproperty.Dumpstermeansareceptaclefordiscardedsolidwastethathasslotstoallowpick-upbytheforklifts,generallyametalboxwithlidalsoreferredtoas“bin”or“container”.ElderlyorHandicappedmeansanyResidentialCustomerwhomeetsthefollowingcriteria:(1)hashandicappedstatusrecognizedbytheStateDepartmentofMotorVehicles,or(2)isover65yearsoldasevidencedbybirthdatesondriver’slicenses,birthcertificates,passports,greencardsorotherdocumentationissuedbyaRegulatoryAuthority,and(3)provideswrittenrepresentationthatheorsheisfunctionallyunabletorollhisorherRefuseCadtothecurb,andthatthereisnooneelseresidinginthatCustomer’spremiseswhoisfunctionallyabletorollthatRefuseCarttothecurb.ElectronicWastemeansdiscardedcomputers/monitors/equipment,officeelectronicequipment,entertainmentdeviceelectronics,mobilephones,televisionsets,andothermaterialswithelectronicsthatmaybeRecyclable.GoodsorServicesmeansgoodsorservicesusedinprovidingContractServices,includingthefollowing:(1)labor,77AGENDA ITEM #3.B.Approval Of First Amendment To Contract No. FY2019-25 Residential And Co...Page 81 of 103 ContractNo.FY2019-25(2)leasesandsubleases,(3)equipment,(4)supplies,(5)capital,(6)insurance,iftheinsurerisanAffiliate,(7)bondsorothercreditsupportifthesuretyorotherproviderisanAffiliate;and(8)legal,riskmanagement,generalandadministrativeservices.GuarantormeansthePersonexecutingtheGuaranty.GuarantymeanstheguarantyinaformapprovedbyKIB,andsignedbyGuarantor.Herein,Hereof,Hereunderandvariationsmean“inthisContract”,“ofthisContract”,“underthisContract”;“hereinbefore”and“hereinafter”meanbeforeandaftertheContractCommencementDate,respectively.HolidaysmeansdaysonwhichfOBofficesareclosedforbusinesstothepublic,comprisedontheContractCommencementDateofthefollowingdays:(1)NewYear’sDay,(2)MartinLutherKingDay(3)President’sDay(4)Seward’sDay(5)MemorialDay,(6)IndependenceDay,(7)LaborDay,(8)Veteran’sDay(9)ThanksgivingDayandthedayafterThanksgivingand,(10)Christmas.IncludingorIncludeorvariationsthereofmeans9ncludingwithoutlimitation,“including,butnotlimitedto”and“including,ataminimum”.IndemnitiesorIndemnityorIndemnificationorvariationsthereofmeansContractor’sobligationtoholdKIBharmless,andallsuchrelateddefenses,indemnitiesandreleasesunderthisContract.InsurancemeanstheinsurancecoveragesrequiredbySection13.KIBmeansthefollowing:(1)theKodiakIslandBorough;(2)anytransfereeofKodiakIslandBorough;and,(3)forpurposeofIndemnities,KodiakIslandBorough’sRelatedParties.K1BBusinessDaymeansanydayonwhichKIBAdministrationofficeisopentodobusinesswiththepublic.(Compare“ContractServiceDay’)KIBCodemeansmunicipallawofKIB.78AGENDA ITEM #3.B.Approval Of First Amendment To Contract No. FY2019-25 Residential And Co...Page 82 of 103 ContractNo.FY2019-25KIBGoverningBodymeansKIBAssembly.KIBOfficeHoursmeansthehoursofanyKIBBusinessDayonwhichKIBAdministrationofficeisopentodobusinesswiththepublic.(Compare‘ContractorOfficeHours”.)KIBRepresentativemeanstheindividualholdingthepositionnamedbyKIBunderSection16.7(Compare“ContractorRepresentative”.)KIB’sReimbursementCostsmeansKissDirectCostsplus15%.(Compare“ContractorsReimbursementCosts”JKIB’sRelatedPartiesmeansKlB’sofficers,employees,agents,contractors,attorneys,administrators,affiliates,representatives,servants,insurers,heirs,assigns,volunteersandeachandeveryoneofthem.TheyarethirdpartybeneficiariesofprovisionsinthisContractthatreferencethem.(Compare“Contractor‘.sRelatedParties’)KIBLandfillmeansthelandfillownedbyKIB.LetterofCreditmeanstheletterofcreditdescribedmSection13.03.ItisContractorDocumentation.LiabilitiesandLossesmeansallofthefollowing:(1)liabilities;(2)lawsuits;(3)claims;(4)complaints;(5)causesofaction;(6)citations;(7)investigations;(8)demands;(9)clean-uporders;(10)damages(includingactual,special,consequentialandpunitive)whetherincontractorintort,suchasnaturalresource,propertyandpersonalinjurydamages;(11)costsandexpenses,including(i)allcostsandexpensesoflitigation,mediationorarbitration,accountantlees,engineer’slees,attorney’sfees(whetherKISsorContractor’sstaffattorneysoroutsideattorneys)andotherconsultant’sfees,expertwitnessfees,andcourtcosts;and,(U)responseremediationandremovalcosts.(12)losses;(13)debts;(14)liens;(15)mediation,arbitration,legaloradministrativeproceedings;79AGENDA ITEM #3.B.Approval Of First Amendment To Contract No. FY2019-25 Residential And Co...Page 83 of 103 ContractNo,FY2019-25(16)interest;(17)fines,charges,penalties;and,(18)otherdetrimentsofeverynatureanddescription,whetherunderstateorfederallaw.LiquidatedDamagesaredescribedinSection15.01andExhibitC.MonthlyMeetingmeansthemeetingprescribedbySection10.03.MSWManagementServicesmeans:(1)collection,transportation,storage,transfer,orprocessingofsolidwaste;and/or(2)arrangingfordisposalofsolidwaste.Multi-familydescribesPersons(suchasCustomers)orthings(suchasCartsortypesofSolidWaste)intheContractServiceAreathatarenotResidential.Multi-familyCustomermeansaCustomerwhoownsoroccupiesaMulti-FamilyPremise.Multi-familyPremisesmeanspremisesthatarenotresidentialpremises(andthereforecontains4crmoredwellingunits)includingapartmentcomplexesandtrailercourts.Non-CollectionNoticemeansanoticeinformandsubstancesatisfactorytoKIBleftbyContractorineventofContractServiceExceptions,suchasDiscardofUnpermittedMaterials.NoticeorNotifyorothervariationthereofmeansnoticegivenunderSection20.“DueNotice’or”Noticedulygiven”,referstoNoticegivenunderSection20.Own,OwnerorOwnershiporothervariationthereorhasthemeaningprovidedintheconstructiveownershipprovisionsofSection318(a)oftheInternalRevenueCodeof1986,asineffectontheContractCommencementDate,exceptthat(1)10%issubstitutedfor50%inSection318(a)(2)(C)andinSection318(a)(3)(C)thereof;(2)Section318(a)(5)(C)isdisregarded,and(3)ownershipinterestoflessthan10percentisdisregardedandpercentageinterestsisdeterminedonthebasisofthepercentageofvotinginterestorvaluewhichtheownershipinterestrepresents,whicheverisgreater.PartyandPartiesmeansthefollowing2Persons,individuallyandtogether:(1)KIB,and(2)Contractor.PerformanceAssurancesmeanseachandeveryIndemnity,Insurance,LetterofCreditandGuaranty,andanyotherinstrumentdescribedinSection13.80AGENDA ITEM #3.B.Approval Of First Amendment To Contract No. FY2019-25 Residential And Co...Page 84 of 103 ContractNo.FY2019-25PerformanceObligationsmeanseachandeveryobligationandliabilityofContractorunderthisContract.Permitmeansanyofthefollowing,ofwhateverkindandhoweverdescribedthatApplicableLawrequiresContractortoobtainormaintainwithrespecttosatisfactionofPerformanceObligations,asrenewedoramendedfromtimetotime:(1)permit;(2)registration;(3)order;(4)license(includingbusinesslicense);(5)approval;(6)authorization;(7)consent;and,(8)entitlementPersonmeansanyofthefollowing:(1)individual;(2)soleproprietorship(3)firm;(4)association;(5)organization;(6)partnership(whetherlimitedorgeneral);(7)corporation;(8)trust;(9)jointventure;(10)RegulatoryAuthority’or,(11)anyotherentityPositionofInfluencemeansapositionofauthorityorresponsibilitytodirectlyorindirectlyadminister,manage,direct,superviseoroverseeContractServicesorthisContract,includingthefollowing:(1)AffiliateParents’officers;(2)AffiliateParents’directors;(3)individualwhoreviewsornegotiatesContractor’scontracts(includingthisContract);(4)individualwhoprovidesin-houselegalservices;(5)Affiliateinsurer(captiveinsurance),(6)Guarantor,and(7)AffiliatesuretyorotherPersonprovidingPerformanceAssurance.PremisesmeansatractoflandwithhabitablebuildingslocatedintheContractServiceAreaandsafelyaccessiblebyVehicles.Processingmeanssolidwaste:81AGENDA ITEM #3.B.Approval Of First Amendment To Contract No. FY2019-25 Residential And Co...Page 85 of 103 ContractNo.FY2OIQ-25(1)reduction;(2)separation;(3)recovery;(4)conversion;(5)recycling;and,(6)composting.Processingmeans‘)rocessing”ofSolidWaste:itdoesnotmeanbalingrefuse.PromptlyorPromptmeansassoonaspracticable,butnotmorethantwodays.Quartermeansanyofallofthefollowingperiods,asthecontextdemands:(1)January,February,March(“1stQuarter”),(2)April,May,June(“2ndQuarter”),(3)July,August,September(‘3rdQuarter”),(4)October,November,December(“4thQuarter”).ProposalmeanstheresponseprovidedbytheContractortotheResidentialandSolidWasteCollectionandRecyclingServicesRequestForProposal.RCRAmeanstheResourceConservationandRecoveryAct(42U.S.C.Section6901etseq.ReasonableBusinessEffortsmeansthoseeffortsareasonablyprudentbusinessPersonwouldexpendunderthesameorsimilarcircumstancesintheexerciseofthatPerson’sbusinessjudgment,intendingingoodfaithtotakestepscalculatedtosatisfytheobligationwhichthatPersonhasundertakentosatisfy.ReceptaclemeansanyCart,Dumpster,RollOffContainerorotherreceptacle(suchasbagsdesignedforsolidwastediscard,butnotshoppingorgrocerybags)forstoringdiscardedRefuse.RecordsmeansinformationrelatingtoContractServicesandotherPerformanceObligations,includingdocumentationinanyformormedia,including:(1)ledgersandbooksofaccount;(2)invoices,vouchersandcanceledchecks;(3)logsandcorrespondence;(4)dataandcomputations;(5)files;(6)reports;(7)drawings,plansanddesigns(otherthanthoserespectingfacilitiesorfacilityoperationsthatdonotinvolveCollection,suchasmaterialsrecoveryfacilityplansandspecifications);and,(8)photographs.RecyclablesmeansSolidWastethatisrecyclable.82AGENDA ITEM #3.B.Approval Of First Amendment To Contract No. FY2019-25 Residential And Co...Page 86 of 103 ContractNo.FY2019-25RecyclablesProcessingFacilitymeanstheContractor-operatedfacilitywhereitprocessesrecyclablesforshipmenttomarkets.Recycle,RecyclingorRecyclablemeanstheprocessofcollecting,sorting,cleansing,treating,andreconstitutingmaterialsthatwouldotherwisebecomesolidwasteandreturningthemtotheeconomicmainstreamintheformofrawmaterialfornew,reused,orreconstitutedproductsthatmeetthequalitystandardsnecessarytobeusedinthemarketplace.RecycledContentProcurementPolicymeansKIB’Scurrentbuy-recycledpolicy,ifany.RecyclingorRecyclingServicesmeansallactivitiesrelatedtomanagingRecyclables.RefusemeansSolidWastecomprisedofrubbish,trashandgarbage,excludinganyBulkyItemthatContractorDiverts.RegularlyScheduledCollectionDay(s)meansthesameday(s)eachweekonwhichContractorprovidesCoflectiontoaCustomer.RegulatoryAuthoritymeanseachofthefollowingthathasjurisdictionovereitherPartyorthisContract:(1)theUnitedStates;(2)theStateofAlaskaandotherstates;(3)KIB;(4)governmentalauthorities,agenciesanddistricts;(5)governmentalboardsandcommissions;(6)federal,stateandlocalcourts;and,(7)anyothermunicipal,governmentalorpublicbodies.ReportmeansanyreportthatContractorisobligatedtoprovideunderthisContract,includingSection10.ResidentialdescribesPersons(suchasCustomers)orthings(suchasCarts,PremisesortypesofSolidWaste)intheContractServiceAreathatresideorarerelatedtoResidentialPremises.ResidentialCustomermeansaCustomerwhoownsoroccupiesaResidentialPremise.ResidentialPremisemeansapremisesmeetingbothofthefollowingconditions:(1)Itcontainsone,twoorthreedwellingunit(s);and,(2)Eachdwellingunitisoccupiedbyrelatedindividualsorby5orfewerunrelatedindividuals.RollOffContainermeansanopen-toppedrectangularcontainerforstorage,collectionandtransportofSolidWastethatarerolledonandoffflatbedcollectionvehiclesviawinchesorreevingcylinders(hooks).RolloutServicemeanstakingthefollowingactionsbymanualmeans:83AGENDA ITEM #3.B.Approval Of First Amendment To Contract No. FY2019-25 Residential And Co...Page 87 of 103 ContractNo.FY2019-25(1)dismountingfromtheCollectionVehicle,(2)movingaReceptaclemorethanfivefeet(5’)fromitsstoragelocationindicatedonthatCustomer’sServiceSubscription(suchaswithinenclosuresorbygarages)totheCollectionVehicleforemptying,and(3)returningtheReceptacletoitsstoragelocation.SeniorDiscountmeanstheamountbywhichtheContractorServiceFeeisreducedfromtimetotimebyXISforprovidingContractServicetoanyResidentialCustomerwhoisover65yearsoldasevidencedtoMBbybirthdatesondriver’slicenses,birthcertificates,passports,greencardsorotherdocumentationissuedbyaRegulatoryAuthority.ServIceDaymeansaweekdayorSaturday,Holidaysexcepted,whenContractormustprovideContractService.(Compare‘KIBBusinessDay’)Set-outSitemeansthelocationagreedtobyContractorandtheCustomerandindicatedontheCustomerServiceSubscriptionorrequiredbyXIS,whereCustomermustplaceitsCartsforCoflection,including:(1)Residentialcurb:onthecurbinfrontofResidentialPremises;inthestreetimmediatelyadjacenttothatcurbor;ifthereisnocurb,attheedgeofCustomer’spropertyabuttingthestreet,unlessContractorprovidesRoll-outServiceorUp-the-DriveService;(2)Roll-outService:atthestoragelocationagreeduponbetweenaResidentialCustomerandContractorandincludedontheCustomerServiceSubscription;and.(3)Up-the-DriveCollection:atthestoragelocationagreeduponbetweenaResidentialCustomerandContractor.Solidwastemeans“municipalsolidwaste”definedunderAS46.03.900.SolidWastemeans“municipalsolidwaste”discardedinReceptacles,otherthanUnpermittedWaste,locatedintheContractServiceAreathatContractMustCollect,including:(1)Refuse;(2)Recyclables;(3)BulkyItems;and,(4)C&DDebris.SolidWasteManagementFacilitymeansthefollowingfacilities,individualandtogether,asthecontextdemands:(1)KIBLandfill;and,(2)anyotherfacilitythathandlesSolidWasteandthatisapprovedbyMB.84AGENDA ITEM #3.B.Approval Of First Amendment To Contract No. FY2019-25 Residential And Co...Page 88 of 103 ContractNo.FY2019-25StatemeanstheStateofAlaska.Subcontractmeansanyarrangement,formalorinformal,writtenormerelyinpractice,betweenContractorandaSubcontractor,including:(1)contractsoragreements;(2)lettersormemorandumofunderstandingorintent;and,(3)subscriptionorpurchaseorders.SubcontractormeansanyonePersonthatprovidesGoodsorServicesrelatedtoCollection,transportationorstorageofSolidWasteorrelatedtoServiceAssets,includingtheiroperation,maintenanceandrepair,tooronbehalfofContractor.Suchasmeansforexample.TermofthisContractmeanstheperiodbeginningontheContractCommencementDateandendingontheTerminationDate.TerminationDatemeansthedatethisContractexpiresorisearlierterminated.TerminationEventsaresuchinstancesasdescribedinSection16.01.Ton(orTonnage)meansashorttonof2,000poundsavoirdupois.Transfermeansanyofthefollowing:(1)selling,exchangingorotherwisetransferringOwnershiporcontrolofContractor(throughsale,exchangeorothertransferofoutstandingstock,partnershipshares,equityinterestorotherwise);(2)issuingnewstockorselling,exchangingorotherwisetransferring20%ormoreofthethenoutstandingcommonstockof,orpartnershipsharesorequityinterestin,Contractor;(3)anydissolution,reorganization,consolidation,merger,re-capitalization,stockissuanceorre-issuance,votingtrust,poolingagreement,escrowarrangement,liquidation,buy-outorothertransactionwhichresultsinachangeofOwnershiporcontrolofContractor;(4)anyassignmentbyoperationoflaw,includinginsolvencyorbankruptcy,makingassignmentforthebenefitofcreditors,writofattachmentofanexecution,beingleviedagainstContractor,appointmentofareceivertakingpossessionofanyofContractor’stangibleorintangibleproperty(5)anysaleorothertransferof50%ormoreofthevalueofassetsofContractorexceptforsalesortransferstoparents,grandparents,siblings,children,andgrandchildrenofpersonshavingashareholder,partnershiporotherequity85AGENDA ITEM #3.B.Approval Of First Amendment To Contract No. FY2019-25 Residential And Co...Page 89 of 103 ContractNo.FY2019-25interestinContractorontheContractCommencementDate(“ImmediateFamily”)ortrustcreatedprimarilytobenefitmembersoftheImmediateFamily;(6)substitutionbyasuretycompanyprovidinganyperformancebondofanotherPersonforCollectortoperformContractServices;and(7)assumptionofanyofContractor’srightsunderthisContract,or(8)assumptionby,delegationtoortakeoverofanyPerformanceObligationsoranyotherContractor’sdutiesorresponsibilitiesunderthisContractbyanyPersonotherthanContractor,whetherbySubcontract,unlessapprovedbyKIBpursuanttotherequirementsofthisContract,oranyothermechanism.(9)anycombinationoftheforgoing(whetherornotinrelatedorcontemporaneoustransactions),withoutconsideration,whichhastheeffectofanytransferorchangeofOwnershiporcontrolofContractor.Forthepurposeofthisdefinition,“control”hasthemeaningprovidedinRule144oftheSecuritiesActof1993TransitionPlanmeanstheContractorDocumentationconsistingoftheplansubmittedbytheContractorpursuanttoSection4,asapprovedbyKIB.UncontrollableCircumstance(s)meansanyofthefollowingevents:(1)anynaturaldisastersuchaslandslide,lightning,earthquake,fire,flood,tsunami,(otherthanreasonablyanticipatedweatherconditionsforthegeographicareaofKIB,suchaswind,rainorsnow);(2)sabotage,explosion;(3)insurrection,riotorcivildisturbance,warorotheremergencyaffectingKIBdeclaredbythePresidentoftheUnitedSatesorCongressoftheUnitedStates,theStateGovernororKlBGoverningBody;(4)failureofpublicagencyorprivateutilitytoprovideandmaintainwater,powerorserviceinKIBoratContractor’soperationsandmaintenanceyardoradministrativeoffices;(5)othercatastrophiceventsbeyondthereasonablecontrolofthatPartyandnottheresultofwillfulornegligentactionorinactionofthatParty(otherthanthecontestingingoodfaithorthefailureingoodfaithtocontestthatactionorinaction),whichmateriallyandadverselyaffectstheabilityofeitherPartytoperformanyobligationunderthisContractdespitethatParty’sexerciseofduediligence.UncontrollableCircumstancesexcludes,withoutlimitation:(1)Breach,DefaultorContractor’sfinancialinabilitytosatisfyitsPerformanceObligations;86AGENDA ITEM #3.B.Approval Of First Amendment To Contract No. FY2019-25 Residential And Co...Page 90 of 103 ContractNo.FY2019-25(2)strikes,workstoppagesorotherlabordisputesordisturbancesofanySubcontractororContractorsinabilitytohireadequatenumbersofpersonnelwhoarecompetentandskilledintheworktowhichtheyareassigned;(3)failureofContractortoobtainPermitsandpatents,licenses,ortrademarksnecessarytoperformContractServices;and(4)thefailureofanyContractServiceAssettofunctionunderanywarranties,unlesscausedbyUncontrollableCircumstances.UnpermittedWastemeansmaterialsthatcannotbedisposedofintheKIBLandfillunderApplicableLawoftheStateorKIBrules.UnpermittedWasteScreeningProtocolisContractorDocumentationconslstmgoftheprotocolthatContractorhassubmittedpursuanttoSection9.03,whichhasbeenapprovedbyKIB.VehiclemeansanytruckusedtoprovideContractServices.ViolationmeansanynoncompliancewithApplicableLawasevidencedbywrittennotice,assessmentordeterminationofanyRegulatoryAuthoritytoContractor,whetherornotafineorpenaltyisincluded,assessed,leviedorattached.87AGENDA ITEM #3.B.Approval Of First Amendment To Contract No. FY2019-25 Residential And Co...Page 91 of 103 ContractNo.FY2019-25SECTION24:EXECUTION24.01ExecutioninCounterparts.ThisContractmaybesignedinanynumberoforiginalcounterparts.AllcounterpartswillconstitutebutoneandthesameContract.24.02AuthorItytoExecute.a.KIB.lOBwarrantsthatitsofficerslistedbelowhavebeendulyauthorizedtoexecutethisContractonitsbehalfb.Contractor.ContractorwarrantsthattheindividualslistedbelowhavebeendulyauthorizedtoexecutethisContractonbehalfofContractor.KODIAKISLANDBOROUGH_-Name:MichaelPowersName:Title:BoroughAttorneyTitle:CONTRACTORBy:______Title:BoroughManageDated:743/7nc(1LLI’caC)l1Ci-ATTEST:Dated:Name:TaraWelinskyTitle:BorouphClerk‘7Dated:APPVEDASTOFORMKIBCOUNSELName:4tlEA.F.a*V..C1%C1frX88AGENDA ITEM #3.B.Approval Of First Amendment To Contract No. FY2019-25 Residential And Co...Page 92 of 103 ContractNo.FY2OIQ-25Dated:_________________EXHIBITAREQUESTFORPROPOSAL89AGENDA ITEM #3.B.Approval Of First Amendment To Contract No. FY2019-25 Residential And Co...Page 93 of 103 ContractNo.FY2019-25EXHIBITBLIQUIDATEDDAMAGES1.LIquidatedDamages.PursuanttoSection15.01oftheExclusiveServiceContractforResidentialandCommercialSolidWasteCollectionandRecyclingServices(‘Contract”)executedbyandbetweentheKodiakIslandBorough(“1<1W)and__________________(“Contractor’),ContractorshallbeliabletoKIBforliquidateddamagesintheamountof$75.00foranyfirstincident,$100.00foranysecondincidentwithin12months,and$200.00foreverysimilarincidentthereafterwithin12months1should1<18determinethatContractorhascommittedcertainbreachesofitsPerformanceObligations.1<16’sassessmentofLiquidatedDamagesdoesnotprecludeKIBfromenforcingtheKIBCodeforcorrespondingViolations.2.BreachesforWhichLiquidatedDamagesMayBeAssessed.a.FailuretoprovideContractServicestoanyCustomer,includingmissedpickups;b.FailuretoreturnemptiedContainerstoitsSet-outsite;c.FailuretodeliveranycollectedSolidWastetoadisposalfacilityapprovedbyKIB;d.FailuretomaintainRecords,includingbutnotlimitedtoContractor’sfailuretorecordacomplaint;e.Failuretotimelyrespondtoandresolveacustomercomplaint;f.Failuretodeliver,repair,replaceorpickupCarts,DumpstersorRoll-offs;g.FailuretoobserveCollectionschedule;h.FailuretoobserveContractor’sOfficeHours;i.Failuretocleanuplitter,spills,andleaks;j.TransportationofcollectedwasteandrecyclablesinuncoveredCollectionVehicles;k.FailuretoprovideKIBwithtimelyaccesstoRecords;I.FailuretodisplayitstelephonenumberonVehicles;m.FailuretoreturnKIBtelephonecalls;n.Failuretomeetwith1<16;90AGENDA ITEM #3.B.Approval Of First Amendment To Contract No. FY2019-25 Residential And Co...Page 94 of 103 ContractNo.FY2019-25o.FailuretoremedyanyviolationofKIBcodewithinfive(5)daysofanyNoticeofViolation;p.FailuretosubmitReports,oranyotherrequireddocumentation,toKIB;q.FailuretochargeCustomersconsistentwiththeContractorServiceFeeSchedule;r.EngagingindiscourteousbehaviortowardCustomers;91AGENDA ITEM #3.B.Approval Of First Amendment To Contract No. FY2019-25 Residential And Co...Page 95 of 103 ContractNo.FY2019-25EXHIBITCCONTRACTOR’SPROPOSALDOCUMENTS92AGENDA ITEM #3.B.Approval Of First Amendment To Contract No. FY2019-25 Residential And Co...Page 96 of 103 11.6.2020 FINAL DRAFT {00093369.DOCX.} FIRST AMENDMENT TO CONTRACT NO. FY2019-25 RESIDENTIAL AND COMMERCIAL SOLID WASTE COLLECTION AND RECYCLING SERVICES BETWEEN KODIAK ISLAND BOROUGH AND WASTE CONNECTIONS OF ALASKA, INC. dba ALASKA WASTE MAY 2019 AMENDED NOVEMBER 2020 AGENDA ITEM #3.B. Approval Of First Amendment To Contract No. FY2019-25 Residential And Co... Page 97 of 103 11.6.2020 FINAL DRAFT {00093369.DOCX.} This First Amendment to Contract No. FY2019-25 (“Amendment”) is made and entered into effective as of the ___ day of __________, 2020 (“Amendment Effective Date”), by and between WASTE CONNECTIONS OF ALASKA, INC. (“Contractor”), and KODIAK ISLAND BOROUGH (the “Borough”). Contractor and the Borough are each individually referred to herein as a “Party” and collectively as the “Parties”. Capitalized terms not otherwise defined herein shall have the respective meanings ascribed to them in the Agreement (as defined below). BACKGROUND A. WHEREAS, Contractor and the Borough entered into Contract No. FY2019-25 (the “Agreement”) dated July 19, 2019; and B. WHEREAS, the Parties have discovered and agree that the original contract contained an error in the listing of the commercial dumpster rates due to failure to properly transfer the rates proposed in the Contractor’s proposal into the contract document; and C. WHEREAS, section 11.03 permits CPI adjustments to Collection and Administrative Cost Component, and PPI adjustments to the Fuel Cost Component beginning July 1, 2020 for each successive year of the contract; and D. WHEREAS, section 11.03 permits and a Disposal Cost Component adjustment July 1, 2020 and each July 1 thereafter based upon the changes in the tonnage rate charged the Contractor and the change in customer’s served since an April 15, 2018 reference date but the Request for Proposals used rates as of October 2018 as a reference point for rate proposals; and E. WHEREAS, section 6.03 contains two sections labelled as subsection b and is ambiguous as to the authority and criteria for changes in container size; and F. WHEREAS, the parties desire to revise the method for determining and charging the per occurrence charges for Residential Roll-Off or Dumpster Clean-up Costs; and G. WHEREAS, the parties desire to clarify the circumstances for commercial use of roll carts and prescribe a rate for commercial roll cart service; and H. WHEREAS, the Parties now desire to amend the Agreement to correct the error in the listing of the commercial dumpster rates as they appeared in the original agreement; to correct the reference date for calculation of adjustments for changes in disposal rates; to reduce the ambiguity as to the intended operation of subsection 6.03(b), and to incorporate those adjustments due under section 11.03 of the contract effective as of July 1, 2020. AGREEMENT NOW, THEREFORE, in consideration of the premises and obligations as set forth in this Amendment, the receipt and adequacy of which is hereby agreed to and acknowledged, the Parties agree as follows: 1. Amendment to Section 6.01(b) of the Agreement. The subsection entitled “Mandatory Service” on page 11 of the agreement is amended to clarify how the standard container charge for self hauling charges is determined, and restated to read as follows: “b. If anyone notifies Contractor in writing that he or she wishes to personally store, collect, transport and dispose of Solid Waste generated on that person’s Premises, (referred to as “self-haul”), Contractor may nevertheless charge that person a Contractor Service Fee commensurate with either the weekly Residential Roll Cart fee for Residential Premises, or the weekly Commercial Roll Cart fee for commercial premises, as applicable, based upon 95 gallons or less of Solid Waste that the self-haul Customer discards at the Dumpster or Roll Off Container located at the KIB Landfill, as estimated by a KIB employee. 2. Amendment to Section 6.03(b) of the Agreement. The subsection entitled “Dumpster Options” on page 13 of the agreement is amended to clarify how the appropriate container is determined, and restated to read as follows: AGENDA ITEM #3.B. Approval Of First Amendment To Contract No. FY2019-25 Residential And Co... Page 98 of 103 11.6.2020 FINAL DRAFT {00093369.DOCX.} b. Dumpster Options. (1) Standard Option. Contractor will provide each Commercial Premise and Multi Family Premise (as defined in section 23) with one 2.0 cubic yard capacity dumpster to be Collected once weekly for the charge listed on the Service Fee Schedule in Section 11.01, subject to the following exceptions: (i) If a Premise falls within a Borough-designated “Bear Aware” area, it shall without exception receive a bear-resistant Dumpster. (ii) A Customer may direct Contractor to provide a Dumpster of alternate capacity, or one or more Roll-Off Containers, subject to the charges prescribed by the Contractor Service Fee Schedule. (iii) A customer which requires one 95 gallon commercial roll cart or less per week to properly store and dispose of their refuse may request and receive a reduction to a single commercial roll cart charged at the commercial roll cart rate. A Customers which requires more than a single 95 gallon roll cart weekly to securely store and dispose of their refuse will receive service under the standard option, subject to modification only under (ii), (iv), (v) and (vi) of this section. (iv) A Customer with dumpster service may also direct Contractor to, notwithstanding any Regularly Scheduled Collection Day(s), collect refuse from the Customers Premises on alternate or additional days as agreed to between the Contractor and Customer, and subject to the Contractor Service Fee Schedule. (v) Should the Contractor, in its sole discretion, determine that there is insufficient room at a premise to place or safely collect one or more dumpsters for each customer using the corresponding set- out site, the Contractor will either: A. Provide one or more carts of the capacity and number that each Customer requires to safely and adequately store its discarded Refuse pending Collection; or. B. Allow one or more Customers to share a Dumpster. (vi) Should the Contractor, in its sole discretion, determine that the routine waste volume of a Commercial Premises or Multi Family Premise requires a larger capacity container, the Contractor may provide container(s) of sufficient size and notify the customer and the Borough of the change in container(s). (2) Dumpster Locks. Should a Customer so request, Contractor shall promptly provide dumpster Lock bars, which shall be subject to any surcharge set forth on the Contractor Service Fee Schedule. 3. Amendment to Section 6.03(b-d) of the Agreement. The subsection entitled “b. Compactors” on page 13 of the agreement is incorrectly labelled as a second subsection 6.03(b). This section is re-labelled as subsection 6.03(c), and the subsections labelled (c) and (d) on page 14 of the agreement are re-labelled to be (d) and (e). 4. Amendment to Section 11.01 of the Agreement. The table titled “Contractor Service Fee for Cart Service” on page 29 of the Agreement is hereby amended to incorporate the adjustments permitted under section 11.03 effective July 1, 2020 and restated in its entirety to read as follows: Contractor Service Fee For Cart Service Container Monthly Service Fee (Serviced Once per Week) Senior Discount Residential 95-gallon Bear Resistant Roll Cart $51.37 $44.37 (-$7.00) Each Additional Residential 95-gallon Bear Resistant Roll Cart $51.37 $44.37 (-$7.00) Residential Roll-Off Roll Off Rate Per Size Roll Off Rate Per Size AGENDA ITEM #3.B. Approval Of First Amendment To Contract No. FY2019-25 Residential And Co... Page 99 of 103 11.6.2020 FINAL DRAFT {00093369.DOCX.} Additional Set-Out Fee No Charge No Charge Commercial Roll Cart $65.37 None Commercial Roll Cart Extra Bags not in Cart $8.74 per bag 5. Amendment to Section 11.01 of the Agreement. The table titled “Contractor Service Fee Surcharges for Services SHALL NOT EXCEED” on page 30 of the Agreement is hereby amended to amend the item “Residential Roll-Off or Dumpster Clean-Up Costs”, to refer only to “Dumpster clean-up costs”, and a new provision for fees for Residential Roll-Off Clean-Up Costs is added to read as follows: “Residential Roll-Off Clean-Up Costs shall be compensated by a one-time charge of $4.83 to each residential and commercial customer, which will appear on their January invoice. This fee will be adjusted annually on January 1, based on the actual cost of the twelve month period from November 1st- October 31st preceding the January 1 charge. Actual cost will be determined based upon the costs of picking up any litter and trash around residential roll off containers, not including bulky items which are too large to fit in a trash bag or any hazardous materials, for a distance of 20 feet, to be charged in 5 minute increments of time, for a fee of $5.00. At the end of each month, Alaska Waste will provide KIB with copies of route sheets to document actual time spent, along with a summary of those sheets.” 6. Amendment to Section 11.01 of the Agreement. The table titled “Contractor Service Fee Surcharges for Services SHALL NOT EXCEED” on page 30 of the Agreement is hereby amended to add an item “Collection of commercial material that does not fit in dumpster” with a charge of not to exceed $40.44 per yard. 7. Amendment to Section 11.01 of the Agreement. The table titled “Contractor Monthly Service Fee for Dumpsters” on page 30 of the Agreement is hereby amended to incorporate the adjustments permitted under section 11.03 effective July 1, 2020 and restated in its entirety to read as follows: Contractor Monthly Service Fee for Dumpsters Dumpster Size Number of Dumpsters (Scheduled Tips Per Week) 1 2 3 4 5 6 Extra Pickup 2 yard $ 337.28 $ 674.56 $ 1,011.83 $ 1,349.11 $ 1,686.39 $ 2,023.65 $ 89.58 2.6 yard $ 450.51 $ 901.03 $ 1,351.54 $ 1,802.06 $ 2,252.57 $ 2,703.06 $ 119.65 3 yard $ 526.00 $ 1,052.00 $ 1,578.00 $ 2,103.99 $ 2,629.99 $ 3,156.00 $ 139.70 3.6 yard $ 622.27 $ 1,244.54 $ 1,866.81 $ 2,489.08 $ 3,111.36 $ 3,733.65 $ 165.27 4 yard $ 686.46 $ 1,372.91 $ 2,059.36 $ 2,745.81 $ 3,432.26 $ 4,118.74 $ 182.32 5 yard $ 804.83 $ 1,609.66 $ 2,414.50 $ 3,219.33 $ 4,024.16 $ 4,828.98 $ 213.75 5.5 yard $ 864.02 $ 1,728.02 $ 2,592.03 $ 3,456.05 $ 4,320.06 $ 5,184.09 $ 229.47 6 yard $ 923.20 $ 1,846.40 $ 2,769.60 $ 3,692.80 $ 4,616.01 $ 5,539.21 $ 245.19 8 yard $ 1,176.37 $ 2,352.75 $ 3,529.12 $ 4,705.49 $ 5,881.87 $ 7,058.21 $ 312.43 *Contractor Service Fee for multiple Dumpsters is equal to the above scheduled amounts multiplied by the number of Dumpsters 8. Amendment to Section 11.01 of the Agreement. The table titled “Contractor Monthly Service Fee for Roll- Off Service” on page 31 of the Agreement is hereby amended to incorporate the adjustments permitted under section 11.03 effective July 1, 2020 and restated in its entirety to read as follows: AGENDA ITEM #3.B. Approval Of First Amendment To Contract No. FY2019-25 Residential And Co... Page 100 of 103 11.6.2020 FINAL DRAFT {00093369.DOCX.} Contractor Monthly Service Fee for Roll-Off Service 10-20 cubic yards 30-40 cubic yards 10-20 cubic yard Compactor 30-40 cubic yard Compactor $163.46 per haul, plus disposal fee $217.38 per haul, plus disposal fee $163.46 per haul, plus disposal fee, plus $21.25 disconnect fee (if applicable) $217.38 per haul plus disposal fee, plus $21.25 disconnect fee (if applicable) 9. Amendment to Section 11.01 of the Agreement. The table titled “Contractor Monthly Service Fee for Cardboard Recycling Service” on page 31 of the Agreement is hereby amended to incorporate the adjustments permitted under section 11.03 effective July 1, 2020 and restated in its entirety to read as follows: Contractor Monthly Service Fee for Cardboard Recycling Service 10 cubic yards 20 cubic yards 30 cubic yards 40 cubic yards $163.46 per haul $163.46 per haul $217.38 per haul $217.38 per haul 10. Amendment to Section 11.03(c)(4) of the Agreement. Titled “Disposal Cost Component: Change in Disposal Fee and Tonnage Per Customer” on page 33 of the Agreement is hereby amended and restated in its entirety to read as follows: (4) Disposal Cost Component: Change in Disposal Fee and Tonnage Per Customer. The disposal cost identified by the Contractor for each level of service will be adjusted by 100% of the change, if any, in the tonnage rate charged Contractor at KIB Landfill (compared to the rate in effect when the RFP was issued in October 2018), and for the change, if any, in the ratio between tons disposed and the number of customers served (compared to the ratio as calculated in October 2018). 11. Amendment to Section 23, Definitions, of the Agreement. Section 23: Definitions, is amended to include the following: “”Cart Commercial” or “Commercial roll cart” means a wheeled receptacle that can be emptied by either semi- or fully- automated vehicles which is used by a commercial customer, but does not include a cart used by a residential customer in a dwelling unit in a multi-family premises which is not served by dumpster service. Commercial roll carts are limited to one per Premises unless multiple Commercial Roll Carts are required by the Contractor. Commercial Roll Carts are not available in bear aware areas, and may not be used for disposal of food waste. “”Cart Residential” or “Residential roll cart” means a wheeled receptacle that can be emptied by either semi- or fully- automated vehicles which is used by a residential customer, including a cart used by a residential customer in a dwelling unit in a multi-family premises which is not served by dumpster service. “Self-Haul” a Customer who notifies the Contractor in writing that they intend to personally store, collect, transport and dispose of Solid Waste generated on that person’s Premises, and will be charged by the Contractor a Contractor Service Fee commensurate with the weekly Residential Roll Cart fee for Residential Premises or the weekly Commercial Roll Cart fee for commercial premises. 12. Correction of Monthly Rental Charges for Containers and Lock Bars. Contractor agrees to discontinue charging monthly rental for containers and lock bars. Contractor further agrees to apply credits to accounts that were charged monthly rental for containers and locks bars between July 1, 2020 and the Amendment Effective Date. AGENDA ITEM #3.B. Approval Of First Amendment To Contract No. FY2019-25 Residential And Co... Page 101 of 103 11.6.2020 FINAL DRAFT {00093369.DOCX.} 13. Correction of Clerical Error in Cost Component Table. Contractor’s bid included a clerical error in its table titled “Cost Components of 3.6 cy, 1x/week, Monthly Rate” (the “Cost Component Table”). The Parties hereby agree to replace the Cost Component Table in Contractor’s price proposal with the following Cost Component Table: Cost Components of 3.6 cy, 1x/weekly, Monthly Rate Collection and Administrative $146.85 Fuel $15.11 Fixed $6.81 Disposal $332.02 Profit $75.12 Total $575.91 14. Counterparts. This Amendment may be executed in one or more facsimile or original counterparts, each of which shall be deemed an original and both of which together shall constitute one and the same instrument. 15. Ratification. All terms and provisions of the Agreement not amended hereby, either expressly or by necessary implication, shall remain in full force and effect. 16. Conflicting Provisions. In the event of any conflict between the terms of the Agreement and this Amendment, the terms of this Amendment shall prevail. 17. Authorization. Each Party executing this Amendment represents and warrants that it is duly authorized to cause this Amendment to be executed and delivered. [Signature Page Follows] AGENDA ITEM #3.B. Approval Of First Amendment To Contract No. FY2019-25 Residential And Co... Page 102 of 103 {00093369.DOCX.} IN WITNESS WHEREOF, the Parties execute this Amendment as of the date first written above. Contractor: WASTE CONNECTIONS OF ALASKA, INC. By: _________________________________ Name: _________________________________ Title: _________________________________ Date: _________________________________ ATTEST: By: _________________________________ Name: _________________________________ Title: _________________________________ Date: _________________________________ The Borough: KODIAK ISLAND BOROUGH By: _________________________________ Name: _________________________________ Title: _________________________________ Date: _________________________________ ATTEST: By: _________________________________ Name: _________________________________ Title: _________________________________ Date: _________________________________ APPROVED AS TO FORM: By: _________________________________ Name: _________________________________ Title: _________________________________ Date: _________________________________ AGENDA ITEM #3.B. Approval Of First Amendment To Contract No. FY2019-25 Residential And Co... Page 103 of 103 November 9, 2020 Dan Rohrer Comments on Waste Contract Amendment I am very concerned with this special meeting to approve the solid waste contract amendments. These changes were made available to the public effectively Friday morning. I spent my weekend going through the 7 pages and have a lot of concerns. I am very concerned that the new Assembly members are being put in a position to vote on a very complex issue with very little time. The fact that this is the first time the Assembly and staff have spoken on this issue in a public meeting is also noteworthy. It has been hard to have substantive discussion with Assembly members or staff as everyone is being very careful to not violate the confidentiality of the executive session. Concerns: #2 in the contract: Amendment of Dumpster Options. Still very unclear as to when roll carts can be used. In one of the allowed exceptions roll carts was removed which adds to the confusion. It is still not abundantly clear if a multifamily dwelling is allowed to choose the number of roll carts they need. A very concerning is the section that says the contractor at its sole discretion can decide what size container I need and if they want to make it bigger they can. This needs to be done in conjunction with Borough Staff. #5 Residential Roll Off Clean-up The sites need cleaned up. Allowing AK Waste to decide when how and how often to do this and then back charge us for whatever the cost Is not acceptable to me. More importantly the charge should just be to residential customers and not to commercial customers. Why should I as a commercial customer be responsible to clean up my own dumpster sites and have to pay an annual fee to clean up after residential sites. Please strike the reference to commercial customers and consider adding some limiters on AK Waste's authority. #11 cart commercial Definition. I am okay with the additional language up to the point where it says that commercial roll carts are limited to one per premise unless the contractor wants it. That number is not high enough. Certainly if someone wants two or three they should be allowed. Roll carts can be kept inside and out of the way of bears, parking, etc. Additionally are multifamily or mixed used buildings residential or commercial. It isn't clear. #7 most importantly. This section should be struck. The numbers are not correct. This gets complicated so please bear with me. There are a number of reasons why the annual service fee can be modified (pg 33 of the contract). Two of them - Fuel Cost (PPI) modifier and CPI modifier. Both allow specifically for a % modifier based on changeover the previous year. The contract is very clear on these two items that you compare the current year to the preceding year and make the appropriate changes. The problem is that staff and AK Waste went back and made a change foriuly 2019 and then another one for July 2020. The contract became effective July 2020 and as such only one modifier is allowed. There are other issues but I am out of time. Ultimately please vote to postpone this amendment until your next regular meeting on December 3rtl There is no rush. We have been aware of some of the problems in this contract since the night it was approved and many more since June of this year. Why the last minute push to pass this at a special meeting that very few members of the public are even aware is happening? I see the problems broken down into philosophical issues and then calculation issues. The philosophical issues must be settled first and then the calculations can be done. Once the calculations are done please make them available to the general public in a format that is relatively easy to understand. I would suggest a breakdown on the residential roll cart and the 3.6 yard dumpster. Please discuss and then postpone. Alise Rice From: Scott Brandt-Erichsen <s.brandt-erichsen@keenecurrall.com> Sent: Monday, November 9, 2020 3:24 PM To: Alise Rice Subject: RE: REC Alise, I read through the memo from May. I still agree with what I said then, and I believe that it is consistent with what you and I discussed today except for the question of the number of votes which is 2/3 for suspending the rules. The issue in May had 2 other complications in that it was a continuation meeting and the measure had a deadline which would make the issue moot if not taken up before the next regular meeting. The focus was on how to take it up at the continuation meeting, and while I mentioned that there was no clear authority to take up a motion to reconsider special meeting I noted that if the Assembly did so a court likely would not reject that action. I do not believe that a motion to suspend the rules is required to do so, but if the Assembly were to adopt such a motion it would provide an additional argument to defend the action as proper in the event of a challenge. The difference in advice in my May 20 memo from what we talked about today is how to tabulate the 2/3 vote for suspending the rules. In the May 22, 2020 memo I advised that because of the difference between KIBC 2.30.070(F) which requires a majority vote of the total membership and KIBC 2.30.070(P) where it provides for 2/3 vote but does not specify that it is 2/3 of the total membership, would support the conclusion that the 2/3 vote on procedural suspension or procedural matters would be 2/3 of those present and voting, and thus not require 5 if only 5 or 6 members were present. When you and I talked at 1pm or so I believe I was thinking 2/3 of the entire body. While 2/3 of the entire body might be preferable, if there are only 6 present and 4 vote to suspend the rules, I do not think a court would find error in that. It is difficult to state these questions in absolutes because of the fact that the court is unlikely to second guess the Assembly in its parliamentary procedural matters where any statutory minimums are met. However, here the descending order of certainty would go something like this: 1. Most certain would be reconsideration taken up next regular meeting. However, if harm may result then it may provide reasons to do so earlier. 2. If the Assembly votes to suspend the rules to take up reconsideration at a special meeting by 2/3 vote of the entire body the code does not prohibit that, nor does it specifically allow it. Roberts rules allow it if it is in the call of the meeting. A court is unlikely to overturn the action. 3. If the Assembly votes to suspend the rules to take up reconsideration at a special meeting by 2/3 vote of those members present and voting the code does not prohibit that, nor does it specifically allow it. Roberts rules allow it if it is in the call of the meeting. A court is unlikely to overturn the action. 4. If it is to be taken up at a special meeting, without suspending the rules, the code does not prohibit that, nor does it specifically allow it. Roberts rules allow it if it is in the call of the meeting. A court is unlikely to overturn the action. I believe that I can defend any of those approaches. However, if the body starts down one path I recommend they not switch. For example, if a motion is made to suspend the rules to take up the reconsideration at a special meeting the Mayor could rule it out of order as unnecessary, but if he allows the motion and then the motion fails, it would likely cause consternation if he then ruled that they did not need to suspend the rules to take it up. I am not saying he could not do so, but if that is the path he is choosing then it is better to stick to it from the start. RECONSIDERATION AFFIDAVIT INJA40 TkOJO , having vote on the prevailing side, file my intent to reconsider the vote taken on the Ordinance No. 2021-01 D Version 2 An Ordinance Of The Assembly Of The Kodiak Island Borough Amending Ordinance No. FY2021-01, FY2021 Budget, To Account For Federal Cares (Coronavirus Aid, Relief, And Economic Security) Act RevenuVq%IThat/y f,e Over Budget, Providing For Additional Expenditures And Moving Funds Between Projects. �.�`� PLISE4 .S�, ,p OT} A ember Signature Ic SUBSCRIBED AND SWORN to [Sefq ju*thi �j{`, /t1,71 ; 2020_---::> In and For Alaska m Expires: (c. K4, r I Assembly Member ��o r.�o� second the reconsideration affidavit filed by Assembly Member J1 -n Ps 7 _z, / (�� �11111111/,,� NOT r_ �N�.. 'N6[Ic ALAB��`� k4 SUBSCRIBED AND SWORN to before me this l� Assemb y Member Signature My Corhmission 2020. Title 2 Administration and Personnel, Chapter 2.30 Rules of the Assembly, 2.30.070 Ordinances, resolutions, and motions.. (P.) A motion to reconsider may be applied to any ordinance, resolution, or action of the assembly and has precedence over all motions except the motion to adjourn. An assembly member may make a motion to reconsider only if: (1.) The assembly member voted with the prevailing side on the question to be reconsidered. If an ordinance, resolution, or other action which is the subject of a motion to reconsider was not adopted on initial consideration because it did not receive the required number of "yes" votes, then those assembly members voting "no" shall constitute the prevailing side regardless of the relative number of "yes" and "no" votes cast on the question. An assembly member who changes his vote in accordance with these rules shall be a member of the side on which his vote is finally recorded by the clerk. Kodiak Island Borough Assembly Special Meeting Agenda Monday, November 9, 2020, 4:30 p.m., Assembly Chambers This meeting was called by the Borough Mayor. 1. ROLL CALL KIBC 2.25.070.... the Chair shall cause the record to reflect the absence of the member, the REASONfor the absence, and whether the absence is excused by the Assembly. 2. CITIZENS COMMENTS (Limited to Three Minutes per Speaker) This is for agenda Items not scheduled for public hearing & general comments only. Read phone number: Local is 486-3231; Toll Free is 1-855-492-9202. Please ask speakers to: LO1. sign in 2. state their name for the record 3. turn on the microphone before speaking .. ' 4. address all remarks to the Assembly as a body and not to any member thereof 3. CONSIDERATION OF MATTERS IN THE CALL FOR THE SPECIAL MEETING Motion: Clerks Note: Reconsideration Of The Vote Taken On Ordinance No. FY2021- Assembly member Turner 01D Version 2 An Ordinance Of The Assembly Of The Kodiak should be the maker of the Island Borough Amending Ordinance No. FY2021-01, FY2021 motion. Budget, To Account For Federal Cares (Coronavirus Aid, Relief, And Economic Security) Act Revenues That Are Over Budget, Move to reconsider the Providing For Additional Expenditures And Moving Funds vote taken on Ordinance Between Projects. No. FY2021-01D Version 2 An Ordinance Of The Assembly discussion. Assembly Of The Kodiak Island Borough Amending Clerk's Note: Once the motion is seconded, discussion is to focus only Ordinance No. FY2021-01, the item on the table. FY2021 Budget, To Account For Federal Cares Clerk's Note: If the motion to reconsider fails, the original vote stands. (Coronavirus Aid, Relief, ROLL CALL VOTE ON (requires 4 to pass) And Economic Security) Act Revenues That Are Over Budget, Providing For Additional Expenditures And Moving Funds Between Projects. Visit our website at www.facebook.com/Kodiakislandborouqh © @KodiakBorough www.kodiakak.us 93 Motion: B. Approval Of First Amendment To Contract No. FY2019-25 Residential And Commercial Solid Waste Collection And Move to approve Recycling Services Between The Kodiak Island Borough And amendment No.1 to Waste Connections Of Alaska, Inc. DBA: Alaska Waste. Contract No. FY2019- 25 between the Kodiak Staff Report — Manager Powers. Island Borough and WAssembly discussion. Waste Connections of Alaska, Inc. dba ROLL CALL VOTE ON THE MOTION Alaska Waste Motion: 4. ADJOURNMENT Move to VOICE VOTE ON MOTION. adjourn the meeting KIBC 2.30.030 A.... Meetings shall adjourn at 10:30 p.m. unless the time is extended by a majority of the votes to which the assembly is entitled. No meeting shall be extended beyond 11 p.m., unless extended by a two-thirds vote of the assembly, except the meeting shall be extended to set the time and place for resumption of the meeting. Visit our website at www.facebook.com/Kod iakisland borough © @KodiakBorough www.kodiakak.us 93 CD 0 N O N, N < O C N CD CDCD 3 J p_ 0 O -. E' N (D L'o N N O N N N 3 m 0 CD c 0 mm y D v N (D O N C J J O p C �(D 3 c-O (D c, p N N EY 3 N p O^ O I X N CL N CD N m J J m a^ J O ;u CD n (D y N p A �n CD O' C y CD C T m N N o � J C w A W m O . M n G cr CD m 3 N N 3 N N O O cc 3 10 < O C r O � W o X m 'a, —I 0-< y Z Z 0 * 7 -I C 0 y O 3 7 W D m W[ n O 0 9 CD 0 r m r m' m < 3 3 m 0 x 3 ° �` %�• O CD cn m en N co CD ? N Z \ m N 3 m 0 2 m 3� enN 3K 3 in ' 7 m W S.,d, j N10 O a �,� z 0 CD O O m ill CD I n- M A- t'n+ y 0 y( D 3 c � m CD JJ ° r 0 D N N I PM �* i V z o ID Z pi O D n o° m J r m = 3 3 m <,0 < a" z m m ' m O m 3 N m o M' 0` a N m n Enf� ( p Er 0 z t \ m m f'D m m m m< O< 0 7 0 7 0 7 3 m p r m �_ � <Cl) 3, 3 < 0 CL �^ / _ z po: W m 3 y m ' 3 3 En C cc C J, / 0 CD L,ars F—I CD CD 0 cn CD n TV m O O 7 CD CD n D a 0 C J CD a s m CD 11 "X(Q � K� I nQre-yj \ ' s m View our website: www.kodiakak.us Visit our Facebook page: www.facebook.com/KodiakIslandBorough Follow us on Twitter: @KodiakBorough Kodiak Island Borough Assembly Newsletter Vol. FY2021, No. 12 November 10, 2020 At Its Special Meeting Of November 9, 2020, The Kodiak Island Borough Assembly Took The Following Actions. FAILED TO RECONSIDER Reconsideration Of The Vote Taken On Ordinance No. FY2021-01D Version 2 An Ordinance Of The Assembly Of The Kodiak Island Borough Amending Ordinance No. FY2021-01, FY2021 Budget, To Account For Federal Cares (Coronavirus Aid, Relief, And Economic Security) Act Revenues That Are Over Budget, Providing For Additional Expenditures And Moving Funds Between Projects. POSTPONED The First Amendment To Contract No. FY2019-25 Residential And Commercial Solid Waste Collection And Recycling Services Between The Kodiak Island Borough And Waste Connections Of Alaska, Inc. DBA: Alaska Waste To The Next Assembly Regular Meeting On December 3, 2020.