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HomeMy WebLinkAboutItem 5c. Authorize an Agreement with Alexander's Contract Services, Inc. for Water Meter Reading Services Item 5c Department: Utilities Cost Center: 6105 Utilities Revenue For Agenda of: 3/18/2025 Placement: Consent Estimated Time: N/A FROM: Aaron Floyd, Utilities Director Prepared By: Julie Ridgeway, Utilities Business Manager SUBJECT: AWARD CONTRACT TO ALEXANDER’S CONTRACT SERVICES INC. FOR CONTRACT METER READING SERVICES RECOMMENDATION Award a three-year contract to Alexander’s Contract Services Inc. for contract utilities meter reading services in an amount not to exceed $243,780 per year. POLICY CONTEXT As a part of the Economic Resiliency, Cultural Vitality and Fiscal Sustainability Major City Goal, the City is focusing on fiscal responsibility and sustainability through all work efforts, programs, and the required budget appropriations. Staff are in the process of transitioning the City’s water meter reading services to Advanced Metering Infrastructure (AMI), which will increase operational efficiencies through the use of remote, cellular meter reads. To support this transition, staff released a Request for Proposal (RFP) for contract meter reading services and required contractors to provide a tiered pricing structure to account for a decreasing number of meters being read as AMI continues to be implemented. DISCUSSION Background On December 23, 2024, the City released an RFP for contract meter reading services (Attachment A). Three proposals were received and evaluated. Only two proposals were determined to be responsive to all required elements of the RFP and ultimately Alexander’s Contract Services Inc. (Alexander’s) was chosen based on the quality of services provided and cost to the City (Attachment B). Previous Council or Advisory Body Action On March 3, 2020, City Council awarded a three -year contract with an optional two-year extension for contract utilities meter reading services with Alexander’s Contract Services, Inc. (03-03-2020 City Council Minutes). Page 23 of 559 Item 5c Public Engagement The RFP was published through the City’s third-party organization for bid opportunity postings, BidNet Direct. Businesses have the opportunity to register for this service and receive automatic bid notifications when the City posts a bid opportunity. Because this is an administrative item, no additional public engagement outside of the Bidnet Direct process was completed. CONCURRENCE The procurement team within the City’s Finance Department concurs with this recommendation. ENVIRONMENTAL REVIEW The California Environmental Quality Act does not apply to the recommended action in this report, because the action does not constitute a “Project” under CEQA Guidelines Sec. 15378. FISCAL IMPACT Budgeted: Yes Budget Year: 2024-25 Funding Identified: Yes Fiscal Analysis: Alexander’s has proposed to charge between $1.20 and $1.55 per meter read depending on how many meters the City requests to be manually read each month. There are currently approximately 16,600 water meters that require manual reads within the City. Taking into consideration the rate at which the Utilities Department anticipates installing AMI radios that utilize remote reads, staff anticipate a total annual cost of $51,432 for manual contract meter reading services between April 1, 2025, and June 30, 2025. For FY 2025-26, staff anticipates a total of $153,749 for contract meter reading service needs. For FY 2026-27, staff anticipates a total of $55,384 to meet these needs. These estimates include only the amounts for manual contract meter reads and again are based on the rate at which staff anticipates transitioning meters to utilizing remote cellular meter reads. In addition to meter reads, Alexander’s also provides the option for providing certified- read photographs at an additional charge of $0.25 per certified-read. Certified-read photos are triggered when the water consumption falls outside of a normal range based on pre-specified parameters. Certified read reports help City staff by minimizing the need for re-reads after high or anomalous usage, streamlining operations and improving efficiency. Additionally, these reports assist in notifying customers of potential leaks, helping community members save money while reducing overall water loss. Between July and December of 2024, the percentage of certified read reports ranged between 1-3% of the total number of manual meter reads conducted each month. Therefore, staff estimates 2% of the projected total meters read each month will continue to trigger a certified read photograph. This would be an additional cost of $205.73 between when the contract would go into effect and the end of FY 2024-25. For Fiscal Year 2025-26 certified reads are estimated to cost an additional $579.90 and for Fiscal Year 2026-27 these additional reports are estimated to cost $191.62. Page 24 of 559 Item 5c Contract meter reading services benefit both the Water Fund and the Sewer Fund, because water and wastewater customer charges are both determined based on the monthly customer meter reads. Therefore, expenses related to water meters, including these services, are split equally (50/50) between the City’s Water and Sewer funds. Remaining FY 25 Meter Reading Services Budget Anticipated Annual Cost for Alexander’s Contract Services, Inc. Funding Sources Total Budget Available (FY 25) Current Additional Funding Requested Remaining Balance FY 2024- 25* FY 2025-26 FY 2026- 27 Water Fund $50,787.50 $0 $50,787.50 $25,818.49 $77,164.43 $27,787.76 Sewer Fund $50,787.50 $0 $50,787.50 $25,818.49 $77,164.43 $27,787.76 Total $101,575.00 $0 $101,575.00 $51,636.98 $154,328.90 $55,575.52 *Costs for FY 25 are those that begin with the proposed new contract, starting April 1, 2025. The cost in the current fiscal year (FY 25) can be covered by the current Water and Sewer Fund budgets for meter reading services. Budgets for FY 2025 -26 and 2026-27 will be set to cover the anticipated costs as well as the cellular meter read charges that occur for each meter equipped with AMI capabilities. The “not-to-exceed” contract price is set at $243,780 annually. This amount is the City’s total annual water meter reading budget, which includes charges for both manual contract meter reading services and remote cellular meter reading charges. Staff are requesting that the “not-to-exceed” amount be set at this total to allow for flexibility in the installation rate that meters are transitioned to AMI. ALTERNATIVES 1. Council could decide not to approve the contract with Alexander’s Contract Services Inc. Council may decide not to award the contract to Alexander’s. The current contract is set to expire on March 31, 2025. The City is not equipped to read meters with current staffing levels to ensure on-time and accurate utility billing. If these services were not contracted out, additional internal staff would be required to conduct the City’s water meter reads which takes a significant amount of time and pulls current staff away from other critical projects. This alternative could result in an initial cost savings but would require water distribution staff to change work priorities away from current system maintenance and operations. 2. Council could decide to only approve the meter reading services with Alexander’s Contract Services Inc. and exclude the certified read reports. Not approving the certified read reports portion of the contract could result in some initial savings on this work. However, certified read reports are not a large driver of the overall cost and save City staff time by reducing the number of re-reads staff members are required to conduct following high or anoma lous use. Furthermore, these reports are also utilized to notify community members of potential leaks, thus saving customer money and reducing water loss. Page 25 of 559 Item 5c ATTACHMENTS A - SLO Contract Meter Reading RFP 2025 B - Alexander’s Bid Proposal 2025 C - Draft Contract with Alexander’s Contract Services Inc. Page 26 of 559 The City of San Luis Obispo is committed to including disabled persons in all of our services, programs and activities. Telecommunications Device for the Deaf (805) 781-7410. Notice Requesting Proposals for Contract Water Meter Reading Services The City of San Luis Obispo is requesting sealed proposals for services associated with Contract Meter Reading Services. All firms interested in receiving further correspondence regarding this Request for Proposals (RFP) will be required to complete a free registration using Bidnet https://www.bidnetdirect. All proposals must be r ec e i v e d v i a Bi dn e t by t he D e par tmen t o f Fi nan c e a t or befo re 2p m on 0 1/2 4/2 02 5 whe n th e y w ill be opened electronically in Bidnet. Proposals receiv e d af ter s aid t ime may not be co nsi dered. T he p r e fe rred met hod of submi ssion is electronically via Bidnet. If you wish to send a hard copy to guard against premature opening, each proposal shall be submitted to the Department of Finance in a sealed envelope plainly marked with the proposal title, project number, proposer name, and time and date of the proposal opening. Proposals shall be submitted using the forms provided in the project package. An optional pre-proposal conference will be held to answer any questions that the prospective proposers may have regarding the City's request for proposals. Utilities Conference Room 879 Morro Street, San Luis Obispo 1/15/2024 - 11 am PST Project packages and additional information may be obtained at the City’s Bidnet website at https://www.bidnetdirect.com/california. Contact Julie Ridgeway, Utilities Business Manager, at jridgewa@slocity.org with any questions. Page 27 of 559 TABLE OF CONTENTS SECTION I: PROPOSAL SUBMITTAL FORM .................................................................................................. 12 EXHIBIT A : FORM OF AGREEMENT ............................................................................................................. 16 A. INTRODUCTION ......................................................................................................................................... 1 B. SCOPE OF WORK ....................................................................................................................................... 1 C. PROJECT SCHEDULE .................................................................................................................................. 4 D. GENERAL TERMS AND CONDITIONS ........................................................................................................ 4 E. SPECIAL TERMS AND CONDITIONS ........................................................................................................... 6 Page 28 of 559 A. INTRODUCTION Currently the City’s Contract Meter Reading service is responsible for reading approximately 17,200 water meters on a monthly basis. All of the meters are read over a five-day period at the beginning of each month. The City is interested in continuing these services as it migrates to AMI meter reading over the next three to five years. B. SCOPE OF WORK The City is seeking proposals for a three-year contract with the option to extend for two additional years. The following sections explain the scope of work and technical requirements to provide monthly water meter reading services to the City. 1. Meter Reading Requirements Each month Contractor must read the following types and approximate quantities of digital and analogue water meters. Meter Size .58” .75” 1” 1.5” 2” 3” 4” 6” 8” 10” Quantity 5,747 4,980 4,536 397 394 23 38 19 4 1 These quantities are current estimates and it is understood that the City will add and remove met er s over the term of the co ntract. The Cont ractor is re s ponsibl e for readi ng al l met e r s assigned, including digital meters and meters in underground vaults. During the contract period, the City will be equipping water meters with radio/cellular devices for remote reading. The contractor will be expected to exclude meters equipped with radios from their work. The City shall, to the best of its ability, provide meter export files that exclude meters that are equipped with radios in order to most accurately provide a list of manual-read water meters to the contractor. Should a meter that is equipped with a radio be included in the meter export file, and thus proposed for reading by the contractor, the contractor shall take a photo of the meter and record the meter as a “misread” within the meter reading software. Contractor will read each meter once per month with at least 99.8 percent accuracy (i.e. no more than two (2) missed or incorrect meter reads per 1,000 meters). A penalty of $15.00 per error will be applied against the Contractor’s monthly invoice for each missed or incorrect read in excess of (2) errors per 1,000 meters. -1- Page 29 of 559 All meters will be read over a five-day period sometime between the 3rd and the 9th of each month. All reads will be provided by the end of each working day in a format compatible with the City’s operating and billing systems. Contractor shall provide to the City the meter read dates for the following month as far in advance as possible, but no less than one week prior to the first day of meter reading. The Contractor will read each water meter that is not part of the City’s AMI network, regardless of if the meter is turned on or off. Estimations will not be accepted. It is expressly understood that Contractor will make every effort to read all meters, however, if a read is not obtained due to no fault of Contractor, the read shall be noted but shall be marked as “Unread Meter” with notes and a photo indicating why the meter was unread. The Contractor shall report all meter reading issues by the end of each working day to the City’s designated person. The proposal shall contain what problems the respondent normally reports. 2. Stair-Stepped Pricing Structure To account for the anticipated decrease in the number of meters requiring manual reading due to the progressive implementation of Advanced Metering Infrastructure (AMI), the City requests proposals to include a stair-stepped pricing model as seen in Section I: Proposal Submittal Form. This model should reflect incremental adjustments to the per-meter rate as the total number of meters serviced decreases over the contract period. The proposal should specify pricing tiers and the corresponding thresholds for the number of meters read monthly. This approach aims to ensure equitable compensation for services provided while aligning with the City's transition to AMI technology. 3. Meter Reading Equipment The Contractor shall offer, at no charge, a web-based meter reading platform. The platform shall allow for reading synchronization using a wireless process from the field. The platform shall have the ability to receive re-reads from the office to the handhelds wirelessly. The Contractor shall supply their staff with handheld devices and will maintain those devices required to read meters for the City. The Contractor will ensure that all meter reading equipment, software and files used are compatible with City operating and billing systems at the time of the contract start date. 4. Meter Read In-Field Verification In the field, the Contractor will validate questionable reads based on the City’s specified variance parameters. The Contractor will provide “certified water meter reads” using handheld device technology with picture taking capabilities to document and verify each meter read (please indicate whether an additional charge would apply). 5. Repair Work Order Reporting The Contractor shall note obvious problems with the meter, i.e. broken meter, broken meter boxes and lids, meter leaks, high/low consumption, meters found and not in the City’s meter inventory, and possible customer leaks. Contractor will collect data through their own system with the capability to transmit the data to the City in order to generate work orders for needed repairs (e.g., broken/obscured register, meter box too high/low). -2- Page 30 of 559 Contractor shall notify the City the same day of any hazardous conditions requiring immediate attention (e.g.: broken water meter box lids, broken meters, potential water leaks, construction issues, etc.). The Contractor will provide a report of “certified water meter reads” for digital meters that display error codes, such as leak indicators, using handheld device technology with picture- taking capabilities to document and verify the code (please indicate whether an additional charge would apply). A penalty of $15.00 per meter will be credited against the Contractor’s invoice for each inaccurate work order that results in City staff time during each read cycle. 6. Stopped and Stuck Water Meters Contractor will check for "stopped/stuck" meters on all accounts that reflect no consumption by reviewing the meter status (on or off) and occupant activity (visibly occupied or unoccupied). Contractor will report suspected malfunctioning meters to the City for repairs. 7. Water Meter Reporting Incentive The City will credit $ 15.00 to the Contractor for each inoperative meter identified by the Contractor not previously identified as inoperative by the City or the Contractor and verified by the City to be inoperative during each meter reading cycle. Excluded from the meter reporting incentive is any meter that is inoperative due to physical abuse or damage by the Contractor. 8. Report to City any Located Meters that are not with the City Read File Contractor will inform the City’s Contract Administrator of the address, meter ID number, location and current read. The City will credit $50.00 to the Contractor for each meter that is owned by the City but not within the City’s active read file, unless the meter is equipped with a radio and part of the remote read system during each meter reading cycle. 9. Illegal Connection Incentive The City will credit a $50.00 incentive to the Contractor per location for identification of illegal connections not previously identified as an illegal connection by the City or the Contractor and verified by the City to be an illegal connection during each meter reading cycle. 10. Normal Work Hours Contractor’s normal hours of operation will be between the hours of 7:00 a.m. and 7:00 p.m., Monday through Friday. Deviation or exceptions from the work schedule must be approved by the City’s Contract Administrator in advance. Contractor will submit a list of Holidays observed by Contractor with this RFP. The awarded Contractor shall be able to manage their own staff, ensuring they have completed the routes that have been assigned on a daily basis. 11. Contractor’s Employees and Vehicles Due to its visibility in the community, the Contractor directly represents the City. Therefore, the awarded Contractor’s employees shall dress in a professional uniform, drive a clearly marked vehicle in accordance with California traffic law and conduct themselves in a manner that reflects the City in a professional manner. Uniforms and vehicles shall be provided by the Contractor. At all times, the Contractor shall employ only competent readers, experienced or well trained in the task being performed, and who are familiar with meter location. Employees must be able to effectively communicate in a courteous manner when approached by a customer but will refrain -3- Page 31 of 559 from answering questions but will provide information or materials supplied by the City directing the customers to a City contact. Contractor shall continuously oversee the activities of such readers. At the City’s written request, and based upon reasonable evidence, the Contractor shall immediately remove and replace any incompetent, careless or negligent meter readers. At all times, contractor shall have employees be uniformed with the Contractor company logo and identification tags. All Contractor vehicles shall be clean, well-maintained, and marked appropriately to identify the service provided. 12. Ongoing Coordination/Meetings Contract amount shall include the cost for ongoing coordination and other meetings during the contract term as agreed upon by the City and Contractor. C. PROJECT SCHEDULE Schedule Tasks 04/01/2025 • Contract Start Date D. GENERAL TERMS AND CONDITIONS PROPOSAL REQUIREMENTS 1. Requirement to Meet All Provisions. Each individual or firm submitting a proposal (bidder) shall meet all the terms, and conditions of the Request for Proposals (RFP) project package. By virtue of its proposal submittal, the bidder acknowledges agreement with and acceptance of all provisions of the RFP specifications. 2. Proposal Submittal. Each proposal must be submitted on the form(s) provided in the specifications and accompanied by any other required submittals or supplemental materials. Proposal documents shall be submitted electronically via BidNet. However, if you can’t submit electronically in BidNet., please email a copy to the contacts listed in the RFP package, if you can’t email it, please send a copy in a sealed envelope to the Department of Finance, City of San Luis Obispo, 990 Palm Street, San Luis Obispo, CA, 93401. To guard against premature opening, the proposal should be clearly labeled with the proposal title, project number, name of bidder, and date and time of proposal opening. No FAX submittals will be accepted. 3. Insurance Certificate. Each proposal must include a certificate of insurance showing: a. b. c. The insurance carrier and its A.M. Best rating. Scope of coverage and limits. Deductibles and self-insured retention. Th e p ur pos e of t hi s sub m i ttal i s to gen erally ass ess t he ad e qua cy o f th e bi dd e r’s i nsu ran ce coverage during proposal evaluation; as discussed under paragraph 12 below, endorsements are -4- Page 32 of 559 not required until contract award. The City’s insurance requirements are detailed in Exhibit C to the Agreement (Exhibit A to the RFP) 4. Proposal Quotes and Unit Price Extension. The extension of prices for the meter size units i ndica ted and t he u ni t prices qu oted b y t he b id der mu s t be e ntered in fi gu res in t he spaces The Proposal Submittal Form(s) must be totally provided on the Proposal Submittal Form(s). completed. 5. Proposal Withdrawal and Opening. A bidder may withdraw its proposal, without prejudice prior to the time specified for the proposal opening, by submitting a written request to the Director of Finance for its withdrawal, in which event the proposal will be returned to the bidder unopened. No proposal received after the time specified or at any place other than that stated in the “Notice Inviting Bids/Requesting Proposals” will be considered. All proposals will be opened and declared Bidders or their representatives are invited to be present at the opening of the publicly. proposals. 6. Submittal of One Proposal Only. No individual or business entity of any kind shall be allowed to make or file, or to be interested as the primary submitter in more than one proposal, except an alternative proposal when specifically requested; however, an individual or business entity that has submitted a sub-proposal to a bidder submitting a proposal, or who has quoted prices on materials to such bidder, is not thereb y disqualified from submitting a sub-proposal or from quoting prices to other bidders submitting proposals. 7. Communications. All timely requests for information submitted in writing will receive a written response from the City. Telephone communications with City staff are not encouraged but will be permitted. However, any such oral communication shall not be binding on the City. CONTRACT AWARD AND EXECUTION 8. Proposal Retention and Award. The City reserves the right to retain all proposals for a period of 60 days for examination and comparison. The City also reserves the right to waive non-substantial irregulariti es i n any propo s a l, to r eject any or all proposals, to re je ct or delete one part of a prop osal a nd accept the oth e r, exc e pt to the e xtent tha t prop osals are q uali f ied by speci fic limitations. See the “special terms and conditions” in Section C of these specifications for proposal evaluation and contract award criteria. 9. Competency and Responsibility of Bidder. The City reserves full discretion to determine the competence and responsibility, professionally and/or financially, of bidders. Bidders will provide, in a timely manner, all information that the City deems necessary to make such a decision. 10. Contract Requirement. The bidder to whom award is made (Contractor) shall execute a written contract with the City within ten (10) calendar days after notice of the award. The contract shall be made in the form adopted by the City and incorporated in these specifications. CONTRACT PERFORMANCE 11. The City’s contract terms and conditions that Contractor will be expected to execute and be bound by are attached hereto as Exhibit A. -5- Page 33 of 559 E. SPECIAL TERMS AND CONDITIONS 1. Contract Award. The contract will be awarded to the most qualified bidder that, in the City’s sole discretion in accordance with the Proposal Evaluation and Selection criteria set forth herein (if applicable), provides the best proposal. 2. Sales Tax Reimbursement. Fo r sales o c cu rrin g w ith i n the C ity o f San Lu i s Ob i spo, th e City receives s al es t ax re v e nu e s. Therefore, for bids from retail firms located in the City at the time of proposal closing for which sales tax is allocated to the City, 1% of the taxable amount of the bid will be deducted from the proposal by the City in calculating and determining the most qualified lowest cost bidder. 3. Labor Actions. In the event that the successful proposer is experiencing a labor action at the time of contract award (or if its suppliers or subcontractors are experiencing such a labor action), the City reserves the right to declare said proposer is no longer the most qualified, responsive proposer and to accept the next acceptable proposal from a proposer that is not experiencing a labor action, and to declare it to be the most qualified, responsive proposer. 4. Failure to Accept Contract. The following will occur if the proposer to whom the award is made (Contractor) fails to enter into the contract: the award will be annulled; any bid security will be forfeited in accordance with the special terms and conditions if a proposer's bond or security is required; and an award may be made to the next lowest responsible, responsive proposer who shall fulfill every stipulation as if it were the party to whom the first award was made. 5. Contract Term. The supplies or services identified in this specification will be used by the City for three years. The prices quoted for these items must be valid for the entire period indicated above unless otherwise conditioned by the proposer in its proposal. 6. Contract Extension. The term of the contract may be extended by mutual consent for up to an additional two-years, for a total of five years. 7. Supplemental Purchases Supplemental purchases may be made from the successful proposer during the contract term in addition to the items listed in the Detail Proposal Submittal Form. For these supplemental purchases, the proposer shall not offer prices to the City in excess of the amounts offered to other similar customers for the same item. If the proposer is willing to offer the City a standard discount on all supplemental purchases from its generally prevailing or published price structure during the contract term, this offer and the amount of discount on a percentage basis should be provided with the proposal submittal. 8. Contractor Invoices. The Contractor may deliver either a monthly invoice to the City with attached copies of detail invoices as supporting detail, or in one lump-sum upon completion. -6- Page 34 of 559 9 10. 12. 11. 13. 14. 15. Non-Exclusive Contract. The City reserves the right to purchase the items listed in the Detail Proposal Submittal Form, as well as any supplemental items, from other vendors during the contract term. Unrestrictive Brand Names. Any manufacturer's names, trade names, brand names or catalog numbers used in the specifications are for the purpose of describing and establishing general quality levels. Such references are not intended to be restrictive. Proposals will be considered for any brand that meets or exceeds the quality of the specifications given for any item. In the event an alternate brand name is proposed, supplemental documentation shall be provided demonstrating that the alternate brand name meets or exceeds the requirements specified herein. The burden of proof as to the suitability of any proposed alternatives is upon the proposer, and the City shall be the sole judge in making this determination. Delivery. Prices quoted for all supplies or equipment to be provided under the terms and conditions of this RFP package shall include del ivery charges, t o be delivere d F.O.B. San Luis Obispo by the successful proposer and received by the City within 90 days after authorization to proceed by the City. St art and Co mpletion of Wo rk. Wo r k o n this proj e ct sh a ll beg in im med iately af ter co ntr act execution and shall be completed within 90 calendar days thereafter, unless otherwise negotiated with City by mutual agreement. Change in Work. The City reserves the right to change quantities of any item after contract award. If the total quantity of any changed item varies by 25% or less, there shall be no change in the agreed upon unit price for that item. Unit pricing for any quantity changes per item in excess of 25% shall be subject to negotiation with the Contractor. Submittal of References. Each proposer shall submit a statement of qualifications and references on the form provided in the RFP package. Statement of Contract Disqualifications. Each proposer shall submit a statement regarding any past governmental agency bidding or contract disqualifications on the form provided in the RFP package. -7- Page 35 of 559 PROPOSAL CONTENT 1. Proposal Content. Your proposal must include the following information: Submittal Forms a. b. c. Proposal submittal summary. Certificate of insurance. References from at least three firms for whom you have provided similar services. Qualifications d. e. f. Experience of your firm in performing work and projects relevant to the Scope of Services outlined and described in the request. Resumes of the individuals who would be assigned to this project with their corollary experience highlighted and specific roles in this project clearly described. Statement and explanation of any instances where your firm or sub-consultant has been removed from a project or disqualified from proposing on a project. Work Program g. h. i. j. k. l. m. Detailed description of your approach to completing the work. Detailed schedule for completing the work. Detailed budget for completing the work. Services or data to be provided by the City. Services and deliverables provided by the Contractor(s). Any other information that would assist us in making this contract award decision. Description of assumptions critical to development of the response which may impact cost or scope. Requested Changes to Terms and Conditions n. The City desires to begin work soon after selecting the preferred Contractor and expects the Contractor to execute the City’s contract and all of the terms therein, as set forth in Exhibit A. To expedite the contracting process, each submittal shall include requested redlined changes to terms and conditions, if necessary. Please be advised that Contractor’s requested changes to the City’s terms and conditions will be considered by City staff when scoring and determining the competency and responsibility of the proposer. Proposal Length o. Proposal length should only be as long as required to be responsive to the RFP, including attachments and supplemental materials. 2. Proposal Evaluation and Selection. Proposals will be evaluated by a review committee and evaluated on the following criteria: -8- Page 36 of 559 a. b. c. d. e. f. Understanding of the work required by the City. Quality, clarity and responsiveness of the proposal. Demonstrated competence and professional qualifications necessary for successfully performing the work required by the City. Recent team experience in successfully performing similar services. Value References. As reflected above, contract award will not be based solely on price, but on a combination of factors as determined to be in the best interest of the City. After evaluating the proposals and discussing them further with the finalists or the tentatively selected contractor, the City reserves the right to further negotiate the proposed work and/or method and amount of compensation. 3. Proposal Review and Award Schedule. The following is an outline of the anticipated schedule for proposal review and contract award: Preliminary Schedule Tasks 12/23/2024 01/15/2025 01/24/2025 01/31/2025 Week of 02/03/2025 02/20/2025 03/18/2025 4/1/2025 • • • • • • • • Issue RFP Pre-proposal Conference Receive proposals Complete proposal evaluation Conduct finalist interviews Finalize staff recommendation Award/execute contract (by City Council) Start Work 4. Pre-Proposal Conference. An optional, one-hour pre-proposal conference will be held at the following location, date, and time to answer any questions that prospective bidders may have regarding this RFP: Wednesday, January 15th, 2025 11:00 am –12:00 pm PST 879 Morro St. San Luis Obispo To attend remotely, please email jridgewa@slocity.org before Tuesday, January 7th at 5:00 pm to be provided remote access information. 5. Ownership of Materials. All original drawings, plan documents and other materials prepared by or in possession of the Contractor as part of the work or services under these specifications shall become the permanent property of the City and shall be delivered to the City upon demand. 6. Release of Reports and Information. Any reports, information, data, or other material given to, prepared by or assembled by the Contractor as part of the work or services under these specifications shall be the property of the City and shall not be made available to any individual or organization by the Contractor without the prior written approval of the City. 7. Copies of Reports and Information. If the City requests additional copies of reports, drawings, specifications, or any other material in addition to what the Contractor is required to furnish in limited quantities as part of the work or services under these specifications, the Contractor shall -9- Page 37 of 559 provide such additional copies as are requested, and City shall compensate the Contractor for the costs of duplicating of such copies at the Contractor's direct expense. 8. Required Deliverable Products. The Contractor will be required to provide: a. One electronic submission - digital-ready original .pdf of all final documents. If you wish to file a paper copy, please submit in sealed envelope to the address provided in the RFP. b. Corresponding computer files compatible with the following programs whenever possible unless otherwise directed by the project manager: Word Processing: Spreadsheets: Desktop Publishing: Virtual Models: Digital Maps: MS Word MS Excel InDesign Sketch Up Geodatabase shape files in State Plan Coordinate System as specified by City GIS staff c. City staff will review any documents or materials provided by the Contractor and, where necessary, the Contractor will be required to respond to staff comments and make such changes as deemed appropriate. ALTERNATIVE PROPOSALS 9. Alternative Proposals. The proposer may submit an alternative proposal (or proposals) that it believ es will also meet the City's proj ect objectiv es but in a different way . In th is case, t he proposer must provide an analysis of the advantages and disadvantages of each of the alternative and discuss under what circumstances the City would prefer one alternative to the other(s). 10. Attendance at Meetings and Hearings. The Contractor is not expected to attend any public meetings to present and discuss its findings or recommendations. Contractor shall attend as many "working" meetings with staff as necessary in performing work-scope tasks. 11. Accuracy of Specifications. The specifications for this project are believed by the City to be accurate and to contain no affirmative misrepresentation or any concealment of fact. Bidders are cautioned to undertake an independent analysis of any test results in the specifications, as City does not guaranty the accuracy of its interpretation of test results contained in the specifications package. In preparing its proposal, the bidder and all subcontractors named in its proposal shall bear sole responsibility for proposal preparation errors resulting from any misstatements or omissions in the plans and specifications that could easily have been ascertained by examining eith er the project site o r accurate test data in the Ci ty's possession. Although the effect of ambiguities or defects in the plans and specifications will be as determined by law, any patent ambiguity or defect shall give rise to a duty of bidder to inquire prior to proposal submittal. Failure to so inquire shall cause any such ambiguity or defect to be construed against the bidder. An ambiguity or defect shall be considered patent if it is of such a nature that the bidder, assuming reasonable skill, ability and diligence on its part, knew or should have known of the existence of the ambiguity or defect. Furthermore, failure of the bidder or subcontractors to notify City in writing of specification or plan defects or ambiguities prior to proposal submittal shall waive any right to assert said defects or ambiguities subsequent to submittal of the proposal. -10- Page 38 of 559 To the extent that these specifications constitute performance specifications, the City shall not be liable for costs incurred by the successful bidder to achieve the project’s objective or standard beyond the amounts provided there for in the proposal. In the event that, after awarding the contract, any dispute arises as a result of any actual or alleged ambiguity or defect in the plans and/or specifications, or any other matter whatsoever, Contractor shall immediately notify the City in writing, and the Contractor and all subcontractors shall continue to perform, irrespective of whether or not the ambiguity or defect is major, material, minor or trivial, and irrespective of whether or not a change order, time extension, or additional compensation has been granted by City. Failure to provide the hereinbefore described written notice within one (1) working day of contractor's becoming aware of the facts giving rise to the dispute shall constitute a waiver of the right to assert the causative role of the defect or ambiguity in the plans or specifications concerning the dispute. -11- Page 39 of 559 SECTION I: PROPOSAL SUBMITTAL FORM The undersigned declares that she or he has carefully examined Project No. 2025 Contract Meter Reading which is hereby made a part of this proposal; is thoroughly familiar with its contents; is authorized to represent the proposing firm; and agrees to perform the specified work for the following cost quoted in full: BID ITEM: TIERED METER READING PRICING Pricing Tier Tier 1 Tier 2 Tier 3 Tier 4 Tier 5 Tier 6 Tier 7 Tier 8 Number of Meters 17,501 and more 15,001 to 17,500 12,501 to 15,000 10,001 to 12,500 7,501 to 10,000 5,001 to 7,500 2,501 to 5,000 0 to 2,500 Per-Meter Price $ $ $ $ $ $ $ $ Certificate of insurance attached; insurance company’s A.M. Best rating: __________________. Firm Name and Address Contact Phone Signature of Authorized Representative Date -12- Page 40 of 559 REFERENCES Number of years engaged in providing the services included within the scope of the specifications under the present business name: . Describe fully the last three contracts performed by your firm that demonstrate your ability to provide the services included with the scope of the specifications. Attach additional pages if required. The City reserves the right to contact each of the references listed for additional information regarding your firm's qualifications. Reference No. 1: Agency Name Contact Name Telephone & Email Street Address City, State, Zip Code Description of services provided including contract amount, when provided and project outcome Reference No. 2: Agency Name Contact Name Telephone & Email Street Address City, State, Zip Code Description of services provided including contract amount, when provided and project outcome -13- Page 41 of 559 Reference No. 3 Agency Name Contact Name Telephone & Email Street Address City, State, Zip Code Description of services provided including contract amount, when provided and project outcome -14- Page 42 of 559 STATEMENT OF PAST CONTRACT DISQUALIFICATIONS The proposer shall state whether it or any of its officers or employees who have a proprietary interest in it, has ever been disqualified, removed, or otherwise prevented from bidding on, or completing a federal, state, or local government project because of the violation of law, a safety regulation, or for any other reason, including but not limited to financial difficulties, project delays, or disputes regarding work or product quality, and if so to explain the circumstances. ◼ Do you have any disqualification as described in the above paragraph to declare? Yes q No q ◼ If yes, explain the circumstances. Executed on at _______________________________________ under penalty of perjury of the laws of the State of California, that the foregoing is true and correct. ______________________________________ Signature of Authorized Proposer Representative -15- Page 43 of 559 Page 44 of 559 ~ Celebrati~ years Aexander s Contract Services, Inc. <._ --=--_. City of San Luis Obispo Response to City of San Luis Obispo Request for Proposal for Contract Water Meter Reading Services RFP Specification No. 2025-UTL-01 Proposal Due Date: January 24, 2025 Alexander's Contract Services Inc. 8655 Morro Rd., Ste. C Atascadero, CA 93422 Contact: Bill Van Wagoner Cell: 801-864-5024 Phone: 805-461-3458 Fax: 805-461-1263 billv@alexander-co.com Page 45 of 559 January 24, 2025 Julie Ridgeway Utilities Business Manager City of San Luis Obispo Department of Finance 990 Palm Street A exande1 s~· Contract Services, Inc. <-----=--_j_. San Luis Obispo, CA 93401 Re: RFP -Contract Water Meter Reading Services Dear Ms. Ridgeway: On behalf of Alexander's Contract Services Inc., we submit this response to the City's request for proposal for Water Meter Reading Services. The proposal outlines Alexander's understanding of the project and requested services, innovative approach and strategy, responsible personnel, and fee proposal for meter reading services at your city. ACS will plan to continue the use of the currently implemented RM4 meter reading software and handhelds which provides additional benefits in: • Alexander's unique and powerful handheld software that requires accuracy of the meter reader (Photo Certification, Meter ID Lock, Trouble Code issuance, Electronic Reread etc.) • Paperless web-based interface for billing staff to upload and download meter reading data with access available by laptop, tablet, smartphone, or any internet capable device. • A full suite of web-based reports and data information that can be accessed by the City users from any desktop or internet accessible wireless workstation . • Efficient and immediate notification of field meter problems through notes, trouble codes, photos and targeted reports. • Real-time notification of milestone read events to City staff via email or text message to an internet connected PC, laptop or smart phone. Alexander's is confident in our ability to perform the highest level of service and requirements described in the RFP. Any contact regarding this proposal should be directed to: Bill Van Wagoner Vice President, Sales Alexander's Contract Services, Inc. 8655 Morro Rd. Ste. C Atascadero, CA 93422 Phone: 805-461-3458 billv@alexander-co.com Page 46 of 559 We would like to thank you in advance for your time and consideration, and we look forward to the opportunity of continue our great working relationship with the City of San Luis Obispo. Chris Molina CFO Alexander's Contract Services Page 47 of 559 A exande1 S"'Y-~ Contract Services, Inc. <----~ ~ City of San Luis Obispo Contract W ater Meter Reading Services January 24, 2025 Table of Contents Submittal Forms page2 a) Proposal Submittal Summary b) Certificate of Insurance c) References Qualifications page 7 d) Experience of your Firm in Performing Relevant Work e) Resumes of the Individuals who would be Assigned to this Project f) Statement and Explanation of any Instances of Disqualification Work Program page 12 g) Detailed Description of your Approach to Completing the Work h) Detailed Schedule for Completing the Work i) Detailed Budget for Completing the Work j) Services or Data to be Provided by the City k) Services and Deliverables Provided by the Contractor(s) I) Any Other Information that would Assist the City in Making this Decision m) Description of Assumptions Critical to Development of the Response which may Impact Scope or Cost Requested Changes to Terms and Conditions page 19 n) The City Desires to Begin Work Soon After Selecting the Preferred Vendor-(Requested changes to City's Terms and Conditions) l Page 48 of 559 SUBMITTAL FORMS a. PROPOSAL SUBMITTAL SUMMARY The undersigned declares that she or he has carefully examined Project No. 2025 Contract Meter Reading which is hereby made a part of this proposal; is thoroughly familiar with its contents; is authorized to represent the proposing firm; and agrees to perform the specified work for the following cost quoted in full: BID ITEM: TIERED METER READING PRICING Pricing Tier Number of Meters Per-Meter Price Tier 1 17,501 and more $1.20 Tier2 15,001 to 17,500 $1.22 Tier3 12,501 to 15,000 $1.25 Tier4 10,001 to 12,500 $1.30 Tier 5 7,501 to 10,000 $1.35 Tier6 5,001 to 7,500 $1.40 Tier7 2,501 to 5,000 $1.45 Tiers 0 to 2,500 $1.55 Certificate of Insurance attached; insurance company's A.M. Best rating: see attached. Firm Nam e a nd Address ~lexander's Contract Services, Inc. 8655 Morro Road, Suite C Atascadero, CA 93422 Contact-Bill Van Wagoner, Vice President-Sales Phone 805-464-4638 Date 2 Page 49 of 559 Alexander's Additional Pricing Notes: Certified Reads • Negative, Maintenance, Unread with Notes and Double Highs= No Charge • Zero, Low and High= $.25 per read Fuel Escalation: (triggered when below cost for Regular Unleaded is at that average price per gallon over a 3-month period) • $5.50 -$5. 74 per gallon read price increases by= $.01 per meter • $5. 75 -$6.00 per gallon read price= $.01 per meter • $6.01 + per gallon read price= $.01 per meter If price escalation is triggered, the read price will be dropped down to the next level after a 3-month average of decreased fuel cost not to go below contract base pricing per read. 3 Page 50 of 559 b. CERTIFICATE OF INSURANCE See attached Certificate of Insurance Documentation 4 Page 51 of 559 c. REFERENCES Number of years engaged in providing the services included within the scope of the specifications under the present business name: 57 years. Describe fully the last three contracts performed by your firm that demonstrate your ability to provide the services included with the scope of the specifications . Attach additional pages if required. The City reserves the right to contact each of the references listed for additional information regarding your firm's qualifications. Reference No 1: Agency Name Atascadero Mutual Water Co. Contact Name John Neil Telephone & Email 805 466-2428 jneil@amwc.us Street Address 5005 El Camino Real City, State, Zip Code !Atascadero, CA 93422 Description of services provided IA CS provides monthly contract meter reads to the Atascadero including contract amount, when Mutual Water Co. provided and project outcome A pproximate Contract Amount: -$15,000/month S ervice Type: Alexander's contract meter reading services Served Since: 1978 -(Contract renewed each term because of excellent value & performance. Contract was recently renewed between the City and ACS.) Reference No. 2. Agency Name Irvine Ranch Water District Contact Name Ryan Matuska matuskar@irwd.com Telephone & Email 949-453-5300 Street Address 15600 Sand Canyon Ave City, State, Zip Code Irvine, CA 92618 Description of services provided IACS provides monthly contract meter reads to the Irvine Ranch including contract amount, when IVV ater District. provided and project outcome A pproximate Contract Amount: $120 ,000/month S ervice Type : Alexander's contract meter reading services S erved Since : 2009 -(Contract renewed each term because of excellent value & performance. Contract was recently renewed between the District and ACS.) 5 Page 52 of 559 Reference No. 3 Agency Name le ity of Temple Contact Name Heather Mikulas Telephone & Email 12 54-298-5616 hmikulas@ci.temple .tx .us Street Address 12 N Main Street City, State, Zip Code h"emple, TX 76501 Description of services provided IACS provides monthly contract meter reads to the City of Temple 's including contract amount, when w ater meters. provided and project outcome !A pproximate Contract Amount: $26 ,000/month Service Type : Alexander's contract meter reading services Served Since : 2012-Temple has seen the rereads drop from over 350 rereads per month to less than 60 rereads per month. The field photos in conjunction with the Certified reads have been invaluable to the City. (Contract was recently renewed between the City of T emple and ACS) 6 Page 53 of 559 QUALi FiCA TIONS d. EXPERIENCE OF FIRM IN PERFORMING RELEVANT WORK Alexander's Contract Services, Inc. (ACS), incorporated in San Luis Obispo, CA, has provided meter reading services to municipalities, water districts and other local entities since 1967. ACS started reading meters in 1967 and currently manages over 10,500,000 meters annually in cities from California to Virginia . In 2003, ACS began an in-house software project to incorporate the many years of experience into a streamlined web and mobile solution. This solution provides the flexibility to allow the customer to implement and manage any meter reading demand from one location. Because of the years of involvement in the utility's process of gathering meter reading data from the field, ACS gained valuable knowledge regarding accurate field data acquisition and its expedition to the billing system, effective reporting and verification of misread or unread accounts, and the need to provide secure access to information by the client. While ACS grooms our service and meter reading technicians to be the most capable and experienced in the water industry, the powerful software mobile solution produced by ACS now controls the work flow of each ACS meter reader to produce the highest accuracy and reliability of data provided in the utility industry today. RouteManager 4.0 (RM4), a cloud-based meter reading technology and product of ACS, was created in 2003 to separate the contract reading division from the software and hardware components of meter reading. Alexander's has been providing the powerful RM4 meter reading product and ultra-rugged handhelds for over 22 years and draws on the experience that ACS has given for over 57 years in the water utility industry and has never defaulted on a contract. ACS understand the problems that occur in the field during the data acquisition process and have spent many years designing innovative products to improve upon basic meter reading gathering methods and processes to ensure business success within the utility. ACS' technical focus on innovative meter reading products such as wireless field technologies ("Certified Photo Read "), electronic reread processing, web-based mobile access, cellular network connectivity, and Android OS applications, has enhanced ACS meter reading processes. These innovative technologies have strengthened the RM4 product brand in the utility marketplace and have positioned Alexander's as a leader in Cloud Based meter reading products and services . Alexander's focus is on water utilities and meter reading solutions to that industry, from walk-by manual read to touch read solutions. We focus on developing software that reduces redundancy and increases productivity in all aspects of the meter reading operations, from the field to billing. We feel that we can gain long-term and solid relationships with our clients by providing superior products and services that really solve problems for the user. ACS has over 150 employees. Our regional offices are located in California, Illinois, Utah, Texas, Virginia, and Florida. Sales and Support offices are located in Atascadero, CA and Salt Lake City, Utah. ACS is headquartered in Atascadero, on California's central coast. ACS has documented experience with utilities throughout the US, Canada, and Central America, and is project managing many others at the present time. 7 Page 54 of 559 Alexanders has implemented the RM4 software in a number of municipality and water district meter reading contracts throughout the US and is providing meter reading services to many of these utilities. A partial list of the contract service clients and recent system implementation and support accounts include: City of Suffolk, VA-2016 (reading services, 23,000 water meters) City of College Station, TX -2016 (reading services, 66,000 water/electric meters) City of Bartow, FL-2014 (reading services, 19,000 water and electric meters) Western Municipal Water District, Riverside, CA -2016 (reading services, 23,000 water meters) City of Temple, TX -2012 (reading services and rerouting services, 26,000 water meters) Sacramento County Water-Elk Grove, CA-1995 (reading services, 33,000 water meters) Irvine Ranch Water District, Irvine, CA -2009 (meter reading services, 104,000 water meters) City of Corona, CA-2010 (reading services and soft services, 43,000 water meters) City of Paso Robles, CA -1981 (reading services, 12,000 water meters) City of San Clemente, CA -2006 (reading services, 18,000 water meters) City of Montecito, CA -1991 (reading services, 10,000 water meters) Belize Water Services, Belize-2010 (meter reading system, 68,000 water meters) East Bay Municipal Utility District, Oakland, CA-2014 (meter reading system, 685,000 water meters) Atascadero Mutual Water, Atascadero, CA-1978 (reading services, 11,000 water meters) Carpinteria Valley Water District, CA-Carpinteria, CA-2009 (reading services, 5,000 water meters) Birmingham Water Works, AL -2021 (meter reading system, 254,000 meters) City of Orange, CA -2023 (reading services, 38,000 meters) Serrano Water District, Villa Park, CA-2023 (meter reading system, 7,500 meters) City of Hubbard, OH -2024 (meter reading system, 5,000 meters) City of Harker Heights, TX -2024 (reading services, 13,000 meters) e. RESUMES OF INDIVIDUALS WHO WOULD BE ASSIGNED TO THIS PROJECT Nicholas Griialva -Project Leader {Crew Supervisor) Tenure with ACS: 2023 to Present Mr. Grijalva has been a member of the Alexander's field meter reading and supervisory team for approximately 2 years. Being quickly promoted to Supervisor of crews within 5 months after his start with the company, his priorities include accuracy and timely data collection. Each meter reader supervised has been taught greater skills in teamwork, communication and productivity due to Nicholas' efforts. Each assignment that he has been given throughout the ACS customer base has resulted in a very high level of efficiency and productivity. He has an unparalled work ethic. His success has come through his attention to details and his ability to establish and achieve goals through daily setting of priorities. Because of his level of successful previous crew management in the oil fields, Nicholas moved quickly to a supervisor position amongst a number of the ACS contract service customers. He has spent time participating with or supervising crews in Atascadero, Paso Robles, Moffo Bay, Nipomo, Grover Beach, and Pismo Beach. He has conducted quality checks and resolved discrepancies to maintain data integrity. Clients have expressed accolades for his efforts that have resulted in improved accuracies and confidence in collected meter reading data. Safety has been a very important priority to Nicholas. He has led effective safety training sessions with his crews which have resulted in decreased workplace incidents. 8 Page 55 of 559 Nicholas is one of the most dependable and hardest working Supe,visors of Alexander's field personnel. He has collaborated with billing to address customer inquiries in a very positive manner which has boosted utility customer satisfaction. This work ethic sets a positive example for the crew that he supe,vises. His ability to communicate with his team, understand and overcome challenges in the read process, and his sense of working for the client's best interest, has helped him in becoming the strong, reliable field supe,visor that greatly contributes to Alexander's overall success in the utility marketplace. Notable meter reading experience: Cities of Atascadero, Paso Robles, Morro Bay, Nipomo, Grover and Pismo Beach City of San Luis Obispo -Present Mike Lakes -Pro iect Team Member (Vice President Operations } Tenure with ACS: 2009 to Present Mr. Lakes has been a member of the Alexander's management team for over 15 years. Throughout that time Mike has demonstrated strength in management and strong administrative skills. Mike oversees the field management of meter reading operations, which includes approximately 9,500,000 meters read annually by the Alexander crews. He has been successfully involved with implementing and managing projects at Corona, /,vine Ranch Water District, Virginia Beach, San Clemente, Newport Beach, City of Davis, Sacramento County, Whittier and City of Orange, and has overseen the Bartow, Florida, Bellaire, TX and Western Municipal Water District transitions. Mike started his career at Alexander's in 2009 and has worked his way through the management ranks. His depth of technical abilities and meter knowledge makes him a leader in the utility industry. He has strengths in hiring and training new personnel and the day-to-day management of their presentation and daily performance in the various functions in the field. His ability to relate to the readers and tackle the challenges as well as the importance of quality meter reading has made him a strong and respected leader. Notable meter reading project management experience: Newport Beach, CA -2011 City of Corona, CA -2011 /,vine Ranch Water District, /,vine, CA -2011 City of San Clemente, CA -2012 City of Bellaire, TX -2014 City of Bartow, FL -2014 Eastern Municipal Water District, Perris, CA -2015 City of San Luis Obispo, CA -2015 City of Port Hueneme, CA -2015 Las Virgenes Municipal Water District, Calabasas, CA -2015 Western Municipal Water District, Riverside, CA -2016 City of Virginia Beach, VA -2017 City of Whittier, CA -2017 City of Santa Monica, CA -2019 City of Orange, CA -2023 City of Harker Heights, TX -2024 9 Page 56 of 559 Chris Molina -Pro ject Team Member (ACS CFO/COO ) Tenure with ACS: 2010 to Present Education: PGA Business Schools Graduate 1995-1997 Licenses and Professional Affiliations: Past President Rotary, Property/Casual Insurance Mr. Molina has been a member of the Alexander's management team for over 14 years. Over the years he has been owner/manager of a number of successful small businesses and is currently licensed (6, 63) by the state as financial auditor. He was a 13-time winner as a PGA Association golf professional from 1990-2002, and has demonstrated at Alexander's a strength in management and administrative accomplishment. Chris oversees the field management of meter reading operations, which includes approximately 9,500,000 meters read annually by the Alexander crews in locations from California on the West Coast to Texas and Florida, and to Virginia on the East Coast. He has been successfully involved with implementing and managing projects at Corona, Irvine Ranch Water District, San Juan Capistrano, San Clemente, Newport Beach, City of Davis and Sacramento County. His thorough management and training of field supervisors, crew chiefs and meter readers has led to the success of Alexander's Contract Services in the utility meter reading industry . Notable meter reading project management experience: Newport Beach, CA-2011 City of Corona, CA-2011 Irvine Ranch Water District, Irvine, CA-2011 City of San Clemente, CA-2012 City of Bellaire, TX-2014 City of Bartow, FL-2014 Eastern Municipal Water District, Perris, CA-2015 City of San Luis Obispo, CA -2015 Lee Lake Water, CA-2015 City of Virginia Beach, VA -2017 City of Norfolk, VA -2017 City of New Port News, VA -2018 City of Whittier, CA -2017 City of Santa Monica, CA -2019 City of Orange, CA -2023 City of Harker Heights, TX -2024 10 Page 57 of 559 f. STATEMENT AND EXPLANATION OF PAST CONTRACT REMOVAL OR DISQUALIFICATIONS The proposer shall state whether it or any of its officers or employees who have a proprietary interest in it, has ever been disqualified, removed, or otherwise prevented from bidding on, or completing a federal, state, or local government project because of the violation of law, a safety regulation, or for any other reason, including but not limited to financial difficulties, project delays, or disputes regarding work or product quality, and if so to explain the circumstances. ■ Do you have any disqualification as described in the above paragraph to declare? Yes ■ If yes, explain the circumstances . Executed on penal:z=: the laws of the State of California, that the foregoing is true and correct. Signature of Authorized Proposer Representative Alexander's Contract Services holds true to the commitment in providing the most responsive and highest quality of work toward the requirements of contracts agreed to between ACS and the Utility. Because of this high level of commitment, experience and integrity, Alexander's Contract Services has never been removed from a project, or, been disqualified from proposing on a contract. 11 Page 58 of 559 Work Program g. DETAILED DESCRIPTION OF YOUR APPROACH TO COMPLETING THE WORK ACS plans to continue to provide the City of San Luis Obispo superior performance in meter reading data collection through experienced and conscientious field personnel. To complement these experienced readers, ACS will continue the use of the ACS RouteManager 4.0 meter reading product. Since the RM4 product is web based, constant communication and notification can be provided to the City management via email and text message regarding the status of read and the various unread and misread conditions coming from the field. ACS makes use of many hardware technologies to collect data in the field. We use the latest technology that incorporates cameras, GPS receivers, 802.11 wireless and Verizon cellular communication to capture all pertinent information and deliver it in seconds via a secure cellular or Wi-Fi connection. Whatever the City's read requirements are, the ACS crews are very capable in collecting the reads and delivering the data in a timely manner to the utility's back-end system for billing. All field data will be made live on the client's secure database portion of the RouteManager 4.0 server from the first read to the last. Data is provided in "real-time" since ACS crews use wireless rugged handheld 45 -- technology in the field to transfer data to the web server. This simple solution allows for the City of San Luis Obispo to respond to early reading exceptions as they occur. Mis-reads, unreads and problem meters can be quickly addressed as the information is passed from the field to the office. The web-based reports populate from the beginning of the read cycle and become complete upon the last meter read in the cycle. RM4 comes with dozens of standard reports, yet customized reporting is available by request of each ACS client. When a reading cycle is complete, an email or text message can be sent to an authorized customer manager or staff member at the utility. There are many automated notifications that are triggered by different reading events, and all reports can be accessed from the client's RM4 web site. This allows for the most efficient sharing of data possible between client's key personnel, supervisors and managers. The ACS RM4 meter reading product currently provides a seamless interface with the City's utility billing system. There will be no requirement to alter any of the existing interface formats for the upload and download files as related to the billing system with this contract. 12 Page 59 of 559 Since the ACS RM4 product is interactive, any approved City staff member will be able to log onto the website and see live data regarding the reading process. Among other activity, the staff member will be able to affect some of these features: • Status of the current reading cycle. • Reports listing all meters including readings outside the acceptable range (high/low limits) • Certified Photo Reads on exceptional reads where a photo has been taken to ensure accuracy of the read and proximity to the meter. • The ability to review Certified Photo Reads and approve for billing or resend electronically to the field for reread. Upon 100% completion of the meter reading, review of reports and exceptions, the supervisor can then process and transfer the file to the billing system. New cycles can be loaded to the could- based RM4 software for upcoming read scheduling. The City of San Luis Obispo will see benefits from the following features and services that come from the ACS meter reading team and technology: Wireless Reread Management ACS makes use of the RM4 meter reading product to electronically process rereads from the field via wireless connectivity. ACS Supervisors review possible rereads as they occur in the read process, before they arrive at the utility's billing site. Supervisors determine the nature of the exception, verifying the Photo taken and actual reading. They will visit the meter if necessary or assign those rereads to a meter reader electronically to review well in advance of the data transfer deadline of that day. Using the RM4 technology, Certified Photos, GPS points and wireless connectivity between the handhelds and the web server, ACS provides 99.98% or greater accuracy regarding reads and rereads to all of our clients. Meter ID Locks ACS's RM4 meter reading product provides superior accuracy due to its ID lock solution programmed into the handheld application. The handheld meter reading application does not allow the meter reader to view the previous read or meter ID number making it nearly impossible for a meter reader to enter an erroneous read. When the ACS meter reader reads a meter, the read must be within the high/low limits set by the billing system. If the read is outside of this range, the reader must enter the meter's ID number that is only found on the meter in question. Once the proper ID number is entered to the unit, it will unlock and show the reader the previous read and the ID number for that single meter only. At this point the reader is prompted to reread the meter taking the previous read into consideration. This simple function transforms to accuracy in the collection of meter reads in the field by the ACS meter reader and it guarantees that each read is authentic. The proprietary technology handheld application also requires a photo to be taken of the meter and GPS points are collected to ensure and provide irrefutable proof that the meter reader is at the correct meter taking the correct read. Because this activity can be seen by the supervisor as the meter reader collects the data, the supervisor can immediately respond electronically to all potential rereads and correct error reads prior to being transferred to the utility's billing system. 13 Page 60 of 559 Certified Read Feature With the ACS RM4 meter reading software every questionable read is guaranteed to be authentic. The ACS meter reader utilizes the full benefit of this product while collecting the meter reads in the field. RM4 software collects and cross references supplementary data to ensure an authentic read has occurred while at the meter in the field. By collecting this supplementary data at the time of the meter reading, all doubt regarding any questionable read not being authentic is removed. The "Certified Read" feature guides the meter reader to capture the date, time, GPS coordinates and a photo right at the meter. The benefits of this feature are enormous to the client end user. Certified Reads help to: • Gain customer confidence • Eliminate estimated reads • Reduce customer inquiries • Reduce billing mistakes • Produce Certified Reports • Substantiate billing data • Certify meter tampering, neglect or abuse • Validate meter reader comments Operational Structure and Benefits of the RM4 Product Certified Read = --- The RM4 can be accessed by any internet accessible device by the client through very strict and secure login processes. Devices such as a desktop PC, Laptop, iPad or Smartphone can be given access to the web server. This allows each utility manager to monitor activity regarding rereads, exceptions, trouble meters, and performance of the ACS crews as the reads take place each day. Each user of the system is given unique credentials that are designed with access to functions within the system for which they are authorized. Read and Meter Site Survey services (RMSS) -AMI and AMR Environments Added to the powerful tool that RM4 meter reading collection brings to field data is the management of AMI and AMR meters. As that transition occurs in the field as the utility progresses , the Alexander's meter technicians can provide a valuable service in monitoring and auditing the accuracy of meter readings and the conditions of the meter site. This includes accepting a route-based file from the RM4 web software and providing verified read check on assigned accounts, as well as inspection of the meter location for conditions which can create safety and operational issues. The target is to mitigate these issues which result in an extreme liability to the utility. In a real-time, wireless environment, the ACS technician, via a wireless connected mobile handheld, uses the Read and Meter Site Survey product (RMSS) to collect valuable information, including multiple photos, trouble descriptions and codes, to ensure that detailed action can be taken at the meter. (additional fees for this service apply) The benefits of the RMSS ongoing services provides for: • The Utility's awareness of potentially serious and safety compromised meter locations within the field operations. (i.e. missing meter lid, water damage, inaccurate read comparison verification, theft or tampering etc.) 14 Page 61 of 559 • Services to inspect and report information in real-time from the field that allows for immediate correction of field meter issues. • Visual inspection by trained personnel to ensure the integrity of meter operations in the field even in AMI/AMR infrastructures. • Electronic transfer of data information at the inspected meter location (including photo and GPS location) in real-time response to the Utility's required survey questions. • The Utility's more accurate comparison between the AMI gathered reading data, and the visual read and meter condition provided by the ACS Field Technician as collected at the meter. • Configuration control by the Utility to determine type and content of collected site data. • Valuable system reporting of collected survey and field read data to assist in the Utility's ability to manage field meter asset decisions . • More confident utility customers with the utility's overall management of field monitoring of meter equipment and sites. Customers are assured that experienced technical personnel are still inspecting and visiting the meter location on a regular basis. (Additional fees apply to these ongoing services) h. DETAILED SCHEDULE FOR COMPLETING WORK Alexander's Contract Services has created this initial Plan for the City of San Luis Obispo, however, since A CS currently reads the meters for the City a continuation of the services is in order under the direction of the City and the terms and conditions of this RFP and mutual contract agreement. Water Meter Reading TASK DESCRIPTION 1 2 3 CONTRACT ACCEPTANCE The City of San Luis Obispo and Alexander's acknowledge contract agreement. POST SALE MEETING Discuss general utility requirements based upon contract. Confirm assignments, ensure transparent transition to services under new contract. Introduction of Alexander's staff and discuss any City training as required. CITY OF SAN LUIS OBISPO CONVERSION -STAGE 1 This Task is already Completed -Set up City on the RM4 software platform. Detail specifications for file interface to billing 15 INVOLVED City of San Luis Obispo Alexander's Management Alexander's Management Alexander's Field Lead Alexander's PM City of San Luis Obispo Alexander's Field Lead Alexander's PM DATE After Contract Agreement Contract Date Week 1 Week 1 Page 62 of 559 system, reports, notification requirements, possible routing or resequencing requirements. Obtain standard billing test file interface data element layout and softcopy for Alexander's project and programmer managers. Discuss cycle/routing read timing and schedules, billing schedule expectations, known issues and potential reading problems. Alexander's Field supervisor and crew to become familiarized with Special Meters and Security Codes etc. Train the City of San Luis Obispo Office and Billing Staff. 4 PERSONNEL HIRE AND ESTABLISH Alexander's Field Lead Week 1 BASE Alexander's Field Crew This Task is already Completed-ACS Alexander's PM management to interview and hire local readers to assist senior readers, ensuring proper back-up. In depth, and continued training of meter readers on policies, procedures, meter reading concepts, SST handheld and application usage, read processes, scheduling, safety and reporting requirements is employed. Establishment of base for meter reader equipment, scooters or other materials as determined by management. 5 CUSTOMER CONVERSION-STAGE 2 City of San Luis Obispo Week 1 This Task is in Process and Many Tasks Contact are Completed-Read meters per reading Alexander's Field Lead schedule, work with City employees on Un-Alexander's Field Crew located meters. Work with the City of San Alexander's PM Luis Obispo office staff on Customized Reporting and File Importing and Exporting. The ACS meter readers will read per approved City of San Luis Obispo Reading Schedule 6 CUSTOMER CONVERSION-STAGE 3 City of San Luis Obispo Week 1 This Task is in Process -Read meters per Contact schedule. Fine tune reporting and any field, Alexander's Field Lead routing or administrative process issues Alexander's Field Crew encountered during the read process. Alexander's PM 16 Page 63 of 559 7 8 9 TRANSITION STATUS REVIEW Review all elements of Contract Renewal Plan and Requirements with City of San Luis Obispo. Make adjustments as necessary. Review t Server configuration, test file performance, personnel performance and representation and administrative activity. Additional discussion or review of routing, field requirements, and City staff questions as necessary. POST TRANSITION CONTACT Schedule resolution of any configuration modifications or minor non-production deficiencies. Review and support. CONTINUING SUPPORT AND REVIEW Alexander's Inc. continuing contact and monitoring. Alexander's field Lead monitors and manages daily activity with Alexander reading personnel. Adjust performance as required through training or personnel development. Advise City staff regularly of issues or concerns. Minimum monthly meeting regarding production and performance with City staff or contact. Alexander's support and maintenance of operations and regular communication to customer through newsletter, phone, email, and meetings as needed onsite and by phone. Discussion with City management of potential need for ongoing AMI/AMR read and meter site survey via the ACS RMSS software services . i. DETAILED BUDGET FOR COMPLETING THE WORK City of San Luis Obispo Contact Alexander's PM Alexander's Management City of San Luis Obispo Contact Alexander's PM City of San Luis Obispo Contact Alexander's Field Lead Alexander's PM Please see the "Proposal Submittal Summary" Page 2 , under 1. Submittal Forms 17 WeekB TBD TBD Page 64 of 559 j. SERVICES OR DATA PROVIDED BY THE CITY Responsibilities of the City of San Luis Obispo • Provide transition support and initial orientation of routes and route organization to ACS personnel. • Provide a point of contact for our Field Manager. • Provide a standard billing test file and interface data element layout and softcopy for Alexander's project and program managers. (completed) • Provide electronic cycle files for each cycle to be included in the City of San Luis Obispo's secured RM4 software database. (completed) • Provide a list (or update that list) of all City staff that will have authoritative access to the reports, billing file interface process, and route/cycle management assignment within the RouteManager 4.0 (RM4) product. (completed) • Provide regular direction regarding read schedule requirements based upon billing targets. • Provide ACS Field Manager regular and timely feedback of issues or changes in field meter reading operations. • Provide regular opportunity for the ACS Field Manager to meet with the City point of contact to discuss status of reads and inputs to change for increased efficiency and productivity in the meter reading operation. • Provide for the importing of new monthly cycle files to the ACS Smart Server System from the City of San Luis Obispo Billing System. • Post completed read cycle files to the City of San Luis Obispo Billing System from the ACS RM4 product. • Provide payment of services to Alexander's Inc. each month based upon Net 30 Day invoice that will be issued to the City on a regular basis each month. k. SERVICES AND DELIVERABLES PROVIDED BY THE CONTRACTOR Responsibilities of Alexander's Contract Services • Provide experienced, conscientious and responsible meter readers. That includes a seasoned meter reader supervisor from our California operations. Provide for back-up personnel as required. • Provide service per requirements of the City of San Luis Obispo RFP # 2025- UTL-01 for a period of three years, as well as, contract extension years as part of the contract to read the City's water meters. • Provide all handheld equipment, meter reading software, materials, transportation, cell phones and equipment needed to read the City of San Luis Obispo's water meters • Provide professional labor and adhere to standard safety practices. • Provide care and responsible respect for City and resident properties and equipment. • Provide own transportation, including to and from the work place to read City's designated meters. • Work under the direction of the City's meter reading supervisor for route assignments and direction. 18 Page 65 of 559 • Provide own Insurance and Uniform (as required) for reading City's meters • Communicate to City's meter reading supervisor information on field/meter service issues and customer concerns • Enter readings via the Alexander hardware and software and submit Billing System compatible files per agreed upon target billing schedule and read schedule with the City of San Luis Obispo. • Provide insurance on the employee and proof of insurance to the City of San Luis Obispo, with the City listed as insured. • Provide the City with an invoice for meter reader services on regular monthly basis with Net 30 payment terms. • Provide for future discussion and option for verified read and meter site survey services of AMI/AMR installed meters. (RMSS) I. ANY OTHER INFORMATION THAT WOULD ASSIST THE CITY IN MAKING DECISION Alexander's Contract Services , Inc. provides no additional information at this time. m. DESCRIPTION OF ASSUMPTIONS CRITICAL TO DEVELOPMENT OF THE RESPONSE WHICH MAY IMPACT COST OR SCOPE Alexander's Contract Services currently provides the contract meter reading services to the City of San Luis Obispo. The following are assumptions that were made in developing our response to the City's RFP. Changes to these parameters may impact the scope or cost of this project: 1) The file interface to the City of San Luis Obispo's Billing system is currently designed and in place . Drastic changes to the interface (which ACS does not at present anticipate), may result in a change in the scope or cost of this project. 2) ACS anticipates, as described in the RFP, that we will continue to make use of our own provided meter reading system (RM4) and the handhelds to collect the readings for the City. Changes to this platform would affect the scope or cost. 3) Areas of dramatic change in quantity of meters read, optional service incidents required by the City could affect cost of this project. (This is reflected in the "Proposal Submittal Summary" on page 2. 4) Please see "Additional Pricing Notes" regarding Certified Reads and Fuel Escalation below Proposal Submittal summary, Page 3 of this response. 5) ACS is unable to provide a report of and input data regarding the display error codes listed on the face of the digital meter as defined in Section 5. Repair Work Order Reporting (paragraph 2 page 3 of RFP). 19 Page 66 of 559 Requested Changes to Terms and Conditions n. CITY DESIRES TO BEGIN WORK SOON AND EXPECTS THE CONTRACTOR TO EXECUTE THE CITY'S CONTACT AND ALL THE TERMS THEREIN After having reviewed very carefully the Scope of Work and Terms and Conditions of the contract for Meter Reading Services for the City of San Luis Obispo, Alexander's has the following comments and requested changes: 1) Under the section "B. Scope of Work 5. Repair Work Order Reporting" of the RFP, ACS will provide a report of ucertified Water Reads" for all water meter reads that have occurred where an exception or trouble code is required to be entered into the handheld. All hazardous conditions requiring immediate attention will be reported, and any visual problems with the meter or meter box and surrounding area will be provided, however, we are unable to provide a report of and input data regarding the display error codes listed on the face of the digital meter. 2) Under "Exhibit B. General Terms and Conditions" as related to Section "19. Termination for Convenience." and Section "20. Termination" as it relates to cancellation of Agreement via written notice to the Contractor, ACS requests the following additional term and condition verbiage be added for the benefit of the Contractor: "Notwithstanding any other provision of this Agreement, Contractor shall have the right to terminate this Agreement upon ninety (90) days written notice to City. In the event of termination of the Agreement under this paragraph, Contractor shall within ten (10) days after the date of termination, provide the City with a final statement. Upon receipt by the City of this final statement, the City shall pay Contractor in the amounts and in the manner required by this Agreement." 20 Page 67 of 559 '· ~ AALEXC0-02 BOTCERTS ACORD CERTIFICATE OF LIABILITY INSURANCE I DATE (MM/DD/YYYY) ~ 1/17/2025 THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE HOLDER. THIS CERTIFICATE DOES NOT AFFIRMATIVELY OR NEGATIVELY AMEND, EXTEND OR ALTER THE COVERAGE AFFORDED BY THE POLICIES BELOW. THIS CERTIFICATE OF INSURANCE DOES NOT CONSTITUTE A CONTRACT BETWEEN THE ISSUING INSURER($), AUTHORIZED REPRESENTATIVE OR PRODUCER, AND THE CERTIFICATE HOLDER. IMPORTANT: If the certificate holder is an ADDITIONAL INSURED, the policy(ies) must have ADDITIONAL INSURED provisions or be endorsed. If SUBROGATION IS WAIVED, subject to the terms and conditions of the policy, certain policies may require an endorsement. A statement on this certificate does not confer rights to the certificate holder in lieu of such endorsement(s). PRODUCER ~f tU~CT Jessica Perozzi Morris & Garritano Insurance Agency, Inc. i~,NJo, Ext): (805) 543-6887 312 I fQc, Nol:(805) 543-3064 1122 Laurel Lane San Luis Obispo, CA 93401 i~~~ ..... lperozzi@morrlsgarrltano.com INSURER/SI AFFORDING COVERAGE NAIC# INSURER A: Travelers Property Casualtv Company of America 25674 INSURED INSURERB : Alexander's Contract Services, Inc. INSURERC: 8655 Morro Rd. Ste C INSURERD: Atascadero, CA 93422 INSURER E: INSURER F: COVERAGES CERTIFICATE NUMBER· REVISION NUMBER· THIS IS TO CERTIFY THAT THE POLICIES OF INSURANCE LISTED BELOW HAVE BEEN ISSUED TO THE INSURED NAMED ABOVE FOR THE POLICY PERIOD INDICATED . NOTWITHSTANDING ANY REQUIREMENT, TERM OR CONDITION OF ANY CONTRACT OR OTHER DOCUMENT WITH RESPECT TO WHICH THIS CERTIFICATE MAY BE ISSUED OR MAY PERTAIN, THE INSURANCE AFFORDED BY THE POLICIES DESCRIBED HEREIN IS SUBJECT TO ALL THE TERMS, EXCLUSIONS AND CONDITIONS OF SUCH POLICIES . LIMITS SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS . l,Njf TYPE OF INSURANCE A X COMMERCIAL GENERAL LIABILITY =~ CLAIMS-MADE 00 OCCUR I------------ 1------------- GEN 'L AGGREGATE LIMIT APPLIES PER: rx7 POLICY □ ~r& □ LOC n OTHER: A AUTOMOBILE LIABILITY X ANYAUTO t--OWNED -SCHEDULED ,.._ AUTOS ONLY _ AUTOS ,.._ ~WlWs ONLY -~r~ii1.~ A ..!.. UMBRELLA LIAB L!..I OCCUR EXCESS LIAB ii CLAIMS-MADE OED I x I RETENTION$ o A WORKERSCOMPENSATION AND EMPLOYERS' LIABILITY Y/N ANY PROPRIETOR/PARTNER/EXECUTIVE □ QfFICER/MiMBER EXCLUDED? (Mandatory n NH) g~i~~r~'1~ O~~PERATIONS below POLICYEFF X 6302W699479 1/17/2025 ~10-2W670474 1/17/2025 CU P-2W714426 1/17/2025 UB2W702347 1/17/2025 N/A POLICY EXP LIMITS EACH OCCURRENCE $ 1,000,000 1/17/2026 300,000 MED EXP rAn v one oerson 1 S 10,000 PERSONAL & ADV INJURY S 1,000,000 GENERAL AGGREGATE S 2,000,000 PRODUCTS • COMP/OP AGG S 2,000,000 s $ 1,000,000 1/17/2026 i-BO~D=IL~Y~INJ=UR~Y~· /~Pe='~ cerso=1n l,-t-~$-------1 BODILY INJURY IPer accident\ $ PR OPERTY DAMAGE $ /Per accidenll Comp/Coll Oedt s 1,000 EACH OCCURRENCE s 10,000,000 1/17/2026 AGGREGATE 10,000,000 s 4/1/2025 E.L. EACH ACCIDENT $ 1,000,000 E.L. DISEASE· EA EMPLOYEE $ 1,000,000 E.L. DISEASE· POLICY LIMIT S 1,000,000 DESCRIPTION OF OPERATIONS/ LOCATIONS/ VEHICLES (ACORD 101, Additional Remarks Schedule, may be attached If more space Is required) See forms attached as triggered by written contract: GL : Al -CG D417 0219 CERTIFICATE HOLDER CANCELLATION SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE City of San Luis Obispo THE EXPIRATION DATE THEREOF , NOTICE WILL BE DELIVERED IN ACCORDANCE WITH THE POLICY PROVISIONS. 1055 Monterey St San Luis Obispo, CA 93408 AUTHORIZED REPRESENTATIVE I If-~//.~ ACORD 25 (2016/03) © 1988-2015 ACORD CORPORATION. All rights reserved. The ACORD name and logo are registered marks of ACORD Page 68 of 559 COMMERCIAL GENERAL LIABILITY THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY. XTENDENDORSEMENTFORTECHNOLOGY This endorsement modifies insurance provided under the following: COMMERCIAL GENERAL LIABILITY COVERAGE PART GENERAL DESCRIPTION OF COVERAGE -This endorsement broadens coverage. However, coverage for any injury, damage or medical expenses described in any of the provisions of this endorsement may be excluded or limited by another endorsement to this Coverage Part, and these coverage broadening provisions do not apply to the extent that coverage is excluded or limited by such an endorsement. The following listing is a general coverage description only. Read all the provisions of this endorsement and the rest of your policy carefully to determine rights, duties, and what is and is not covered. A. Non-Owned Watercraft -75 Feet Long Or Less B. Who Is An Insured -Unnamed Subsidiaries C. Who Is An Insured -Employees -Supervisory Positions D. Who Is An Insured -Newly Acquired Or Formed Limited Liability Companies E. Who Is An Insured -Liability For Conduct Of Unnamed Partnerships Or Joint Ventures F. Blanket Additional Insured -Persons Or Organizations For Your Ongoing Operations As Required By Written Contract Or Agreement G. Blanket Additional Insured -Broad Form Vendors H. Blanket Additional Insured -Controlling Interest PROVISIONS A. NON-OWNED WATERCRAFT-75 FEET LONG OR LESS 1. The following replaces Paragraph (2) of Exclusion g., Aircraft, Auto Or Watercraft, in Paragraph 2. of SECTION I COVERAGES -COVERAGE A -BODILY INJURY AND PROPERTY DAMAGE LIABILITY: (2) A watercraft you do not own that is: (a) 75 feet long or less; and (b) Not being used to carry any person or property for a charge; 2. The following replaces Paragraph 2.e. of SECTION II -WHO IS AN INSURED: e. Any person or organization that, with your express or implied consent, either uses or I. Blanket Additional Insured -Mortgagees, Assignees, Successors Or Receivers J. Blanket Additional Insured -Governmental Entities -Permits Or Authorizations Relating To Premises K. Blanket Additional Insured -Governmental Entities -Permits Or Authorizations Relating To Operations L. Medical Payments -Increased Limit M. Blanket Waiver Of Subrogation N. Contractual Liability -Railroads O. Damage To Premises Rented To You is responsible for the use of a watercraft that you do not own that is: (1) 75 feet long or less; and (2) Not being used to carry any person or property for a charge. B. WHO IS AN INSURED UNNAMED SUBSIDIARIES The following is added to SECTION II -WHO IS AN INSURED: Any of your subsidiaries, other than a partnership or joint venture, that is not shown as a Named Insured in the Declarations is a Named Insured if: a. You are the sole owner of, or maintain an ownership interest of more than 50% in, such subsidiary on the first day of the policy period; and b. Such subsidiary is not an insured under similar other insurance. CG D417 0219 © 2017 The Travelers Indemnity Company. All rights reserved. Page 1 of 5 Includes copyrighted material of Insurance Services Office. Inc. with its permission. Page 69 of 559 .. COMMERCIAL GENERAL LIABILITY No such subsidiary is an insured for "bodily injury'' or "property damage" that occurred, or "personal and advertising injury" caused by an offense committed: a. Before you maintained an ownership interest of more than 50% in such subsidiary; or b. After the date, if any, during the policy period that you no longer maintain an ownership interest of more than 50% in such subsidiary. For purposes of Paragraph 1. of Section II -Who Is An Insured, each such subsidiary will be deemed to be designated in the Declarations as: a. A limited liability company; b. An organization other than a partnership, joint venture or limited liability company; or c. A trust; as indicated in its name or the documents that govern its structure. C. WHO IS AN INSURED -EMPLOYEES - SUPERVISORY POSITIONS The following is added to Paragraph 2.a.(1) of SECTION II -WHO IS AN INSURED: Paragraphs (1)(a), (b) and (c) above do not apply to "bodily injury" to a co-"employee" while in the course of the co-"employee's" employment by you arising out of work by any of your "employees" who hold a supervisory position . D. WHO IS AN INSURED -NEWLY ACQUIRED OR FORMED LIMITED LIABILITY COMPANIES The following replaces Paragraph 3. of SECTION II -WHO IS AN INSURED: 3. Any organization you newly acquire or form, other than a partnership or joint venture, and of which you are the sole owner or in which you maintain an ownership interest of more than 50%, will qualify as a Named Insured if there is no other similar insurance available to that organization. However: a. Coverage under this provision is afforded only: (1) Until the 180th day after you acquire or form the organization or the end of the policy period, whichever is earlier, if you do not report such organization in writing to us within 180 days after you acquire or form it; or (2) Until the end of the policy period, when that date is later than 180 days after you acquire or form such organization, if you report such organization in writing to us within 180 days after you acquire or form it; b. Coverage A does not apply to "bodily injury" or "property damage" that occurred before you acquired or formed the organization; and c. Coverage B does not apply to "personal and advertising injury" arising out of an offense committed before you acquired or formed the organization. For the purposes of Paragraph 1. of Section II -Who Is An Insured, each such organization will be deemed to be designated in the Declarations as: a. A limited liability company; b. An organization, other than a partnership, joint venture or limited liability company; or c. A trust; as indicated in its name or the documents that govern its structure . E. WHO IS AN INSURED -LIABILITY FOR CONDUCT OF UNNAMED PARTNERSHIPS OR JOINT VENTURES The following replaces the last paragraph of SECTION II -WHO IS AN INSURED: No person or organization is an insured with respect to the conduct of any current or past partnership or joint venture that is not shown as a Named Insured in the Declarations. This paragraph does not apply to any such partnership or joint venture that otherwise qualifies as an insured under Section II -Who Is An Insured. F. BLANKET ADDITIONAL INSURED -PERSONS OR ORGANIZATIONS FOR YOUR ONGOING OPERATIONS AS REQUIRED BY WRITTEN CONTRACT OR AGREEMENT The following is added to SECTION II -WHO IS AN INSURED: Any person or organization that is not otherwise an insured under this Coverage Part and that you have agreed in a written contract or agreement to include as an additional insured on this Coverage Part is an insured, but only with respect to liability for "bodily injury" or "property damage" that: a. Occurs subsequent to the signing of that contract or agreement: and b. Is caused, in whole or in part, by your acts or omissions in the performance of your ongoing operations to which that contract or Page 2 of 5 © 2017 The Travelers Indemnity Company. All rights reserved. CG D417 0219 Includes copyrighted material of Insurance Services Office, Inc. with its permission. Page 70 of 559 agreement applies or the acts or omissions of any person or organization performing such operations on your behalf. The limits of insurance provided to such insured will be the minimum limits that you agreed to provide in the written contract or agreement, or the limits shown in the Declarations, whichever are less. G. BLANKET ADDITIONAL INSURED -BROAD FORM VENDORS The following is added to SECTION II -WHO IS AN INSURED: Any person or organization that is a vendor and that you have agreed in a written contract or agreement to include as an additional insured on this Coverage Part is an insured, but only with respect to liability for "bodily injury" or "property damage" that a. Occurs subsequent to the signing of that contract or agreement; and b. Arises out of "your products" that are distributed or sold in the regular course of such vendor's business. The insurance provided to such vendor is subject to the following provisions: a. The limits of insurance provided to such vendor will be the minimum limits that you agreed to provide in the written contract or agreement, or the limits shown in the Declarations, whichever are less. b. The insurance provided to such vendor does not apply to: (1) Any express warranty not authorized by you or any distribution or sale for a purpose not authorized by you; (2) Any change in "your products" made by such vendor; (3) Repackaging, unless unpacked solely for the purpose of inspection, demonstration, testing, or the substitution of parts under instructions from the manufacturer, and then repackaged in the original container; (4) Any failure to make such inspections, adjustments, tests or servicing as vendors agree to perform or normally undertake to perform in the regular course of business, in connection with the distribution or sale of "your products"; (5) Demonstration, installation, servicing or repair operations, except such operations COMMERCIAL GENERAL LIABILITY performed at such vendor's premises in connection with the sale of "your products"; or (6) "Your products" that, after distribution or sale by you, have been labeled or relabeled or used as a container, part or ingredient of any other thing or substance by or on behalf of such vendor. Coverage under this provision does not apply to: a. Any person or organization from whom you have acquired "your products", or any ingredient, part or container entering into, accompanying or containing such products; or b. Any vendor for which coverage as an additional insured specifically is scheduled by endorsement. H. BLANKET ADDITIONAL INSURED CONTROLLING INTEREST 1. The following is added to SECTION II -WHO IS AN INSURED: Any person or organization that has financial control of you is an insured with respect to liability for "bodily injury", "property damage" or "personal and advertising injury" that arises out of: a. Such financial control; or b. Such person's or organization's ownership, maintenance or use of premises leased to or occupied by you. The insurance provided to such person or organization does not apply to structural alterations, new construction or demolition operations performed by or on behalf of such person or organization . 2. The following is added to Paragraph 4. of SECTION II -WHO IS AN INSURED: This paragraph does not apply to any premises owner, manager or lessor that has financial control of you. I. BLANKET ADDITIONAL INSURED MORTGAGEES, ASSIGNEES, SUCCESSORS OR RECEIVERS The following is added to SECTION II -WHO IS AN INSURED: Any person or organization that is a mortgagee, assignee, successor or receiver and that you have agreed in a written contract or agreement to include as an additional insured on this Coverage Part is an insured, but only with respect to its CG D417 0219 © 2017 The Travelers Indemnity Company. All rights reserved. Page 3 of 5 Includes copyrighted material of Insurance Services Office, Inc. with its permission. Page 71 of 559 COMMERCIAL GENERAL LIABILITY liability as mortgagee, assignee, successor or receiver for "bodily injury'', "property damage" or "personal and advertising injury" that: a. Is "bodily injury'' or "property damage" that occurs, or is "personal and advertising injury'' caused by an offense that is committed, subsequent to the signing of that contract or agreement; and b. Arises out of the ownership, maintenance or use of the premises for which that mortgagee, assignee, successor or receiver is required under that contract or agreement to be included as an additional insured on this Coverage Part. The insurance provided to such mortgagee, assignee, successor or receiver is subject to the following provisions: a. The limits of insurance provided to such mortgagee, assignee, successor or receiver will be the minimum limits that you agreed to provide in the written contract or agreement, or the limits shown in the Declarations, whichever are less. b. The insurance provided to such person or organization does not apply to: (1) Any "bodily injury" or "property damage" that occurs, or any "personal and advertising injury" caused by an offense that is committed, after such contract or agreement is no longer in effect; or (2) Any "bodily injury'', "property damage" or "personal and advertising injury" arising out of any structural alterations, new construction or demolition operations performed by or on behalf of such mortgagee, assignee, successor or receiver. J. BLANKET ADDITIONAL INSURED GOVERNMENT AL ENTITIES -PERMITS OR AUTHORIZATIONS RELATING TO PREMISES The following is added to SECTION II -WHO IS AN INSURED: Any governmental entity that has issued a permit or authorization with respect to premises owned or occupied by, or rented or loaned to. you and that you are required by any ordinance, law, building code or written contract or agreement to include as an additional insured on this Coverage Part is an insured, but only with respect to liability for "bodily injury", "property damage" or "personal and advertising injury'' arising out of the existence, ownership, use, maintenance, repair. construction, erection or removal of any of the following for which that governmental entity has issued such permit or authorization: advertising signs, awnings, canopies, cellar entrances, coal holes, driveways, manholes, marquees, hoist away openings, sidewalk vaults, elevators, street banners or decorations. K. BLANKET ADDITIONAL INSURED GOVERNMENTAL ENTITIES -PERMITS OR AUTHORIZATIONS RELATING TO OPER- ATIONS The following is added to SECTION II -WHO IS AN INSURED: Any governmental entity that has issued a permit or authorization with respect to operations performed by you or on your behalf and that you are required by any ordinance, law, building code or written contract or agreement to include as an additional insured on this Coverage Part is an insured, but only with respect to liability for "bodily injury", "property damage" or "personal and advertising injury" arising out of such operations . The insurance provided to such governmental entity does not apply to: a. Any "bodily injury'', "property damage" or "personal and advertising injury" arising out of operations performed for the governmental entity; or b. Any "bodily injury" or "property damage" included in the "products-completed operations hazard". L. MEDICAL PAYMENTS-INCREASED LIMIT The following replaces Paragraph 7. of SECTION Ill -LIMITS OF INSURANCE: 7. Subject to Paragraph 5. above, the Medical Expense Limit is the most we will pay under Coverage C for all medical expenses because of "bodily injury" sustained by any one person , and will be the higher of: a. $10,000; or b. The amount shown in the Declarations of this Coverage Part for Medical Expense Limit. M. BLANKET WAIVER OF SUBROGATION The following is added to Paragraph 8., Transfer Of Rights Of Recovery Against Others To Us, of SECTION IV -COMMERCIAL GENERAL LIABILITY CONDITIONS: If the insured has agreed in a contract or agreement to waive that insured's right of recovery against any person or organization, we Page 4 of 5 © 2017 The Travelers Indemnity Company. All rights reserved . CG D417 0219 Includes copyrighted material of Insurance Services Office, Inc. with its permission . Page 72 of 559 waive our right of recovery against such person or organization, but only for payments we make because of: a. "Bodily injury'' or "property damage" that occurs; or b. "Personal and advertising injury" caused by an offense that is committed ; subsequent to the execution of the contract or agreement. N. CONTRACTUAL LIABILITY -RAILROADS 1. The following replaces Paragraph c. of the definition of "insured contract" in the DEFINITIONS Section: c. Any easement or l icense agreement; COMMERCIAL GENERAL LIABILITY 2. Paragraph f.(1) of the definition of "insured contract" in the DEFINITIONS Section is deleted. 0. DAMAGE TO PREMISES RENTED TO YOU The following replaces the definition of "premises damage" in the DEFINITIONS Section: "Premises damage" means "property damage" to: a. Any premises while rented to you or temporarily occupied by you with permission of the owner; or b. The contents of any premises while such premises is rented to you, if you rent such premises for a period of seven or fewer consecutive days. CG D417 0219 © 2017 The Travelers Indemnity Company. All rights reserved . Page 5 of 5 Includes copyrighted material of Insurance Services Office, Inc. with its permission . Page 73 of 559 Page 74 of 559 -1- CITY OF SAN LUIS OBISPO AGREEMENT FOR PURCHASES OF SERVICES This Agreement is made and entered into in the City of San Luis Obispo on __________________________________, by and between the City of San Luis Obispo, a municipal corporation, hereinafter referred to as City, and Alexander’s Contract Services, Inc., hereinafter referred to as Contractor. W I T N E S S E T H: WHEREAS, on December 23, 2024, City requested proposals for Contract Water Meter Reading Services; and WHEREAS, Alexander’s Contract Services, Inc. is qualified to perform this type of service and has submitted a proposal to do so which has been accepted by City. NOW THEREFORE, in consideration of their mutual promises, obligations and covenants hereinafter contained, the parties hereto agree as follows: 1. TERM. The term of this Agreement shall be from the date this Agreement is made and entered into, as first written above, for three years (3) with an option to extend the Agreement for up to an additional two years. 2. INCORPORATION BY REFERENCE. City Request for Proposals / Qualifications for Contract Meter Reading Services and Consultant's proposal are hereby incorporated in and made a part of this Agreement and are attached as Exhibit A. The City’s terms and conditions are hereby incorporated in and made a part of this Agreement and are attached as Exhibit B. The City’s insurance requirements are hereby incorporated in and made part of this Agreement, and are attached as Exhibit C. To the extent that there are any conflicts between the Consultant’s fees and scope of work and the City’s terms and conditions as provided in Exhibit B, the City’s terms and conditions shall prevail unless specifically agreed otherwise in writing signed by both Parties. 3. CITY'S OBLIGATIONS. For providing services as specified in this Agreement, and upon receipt of an invoice, City will pay and Contractor shall receive compensation as set forth in Contractor’s proposal and pursuant to the payment terms set forth in Exhibit A. 4. CONSULTANT’S/CONTRACTOR’S OBLIGATIONS. For and in consideration of the payments and agreements hereinbefore mentioned to be made and performed by City, Contractor agrees with City to do everything required by Contractor proposal set forth in Exhibit A. Page 75 of 559 -2- 5. AMENDMENTS. Any amendment, modification or variation from the terms of this Agreement shall be in writing and shall be effective only upon approval by the City Manager. 6. COMPLETE AGREEMENT. This written Agreement, including all writings specifically incorporated herein by reference, shall constitute the complete agreement between the parties hereto. No oral agreement, understanding or representation not reduced to writing and specifically incorporated herein shall be of any force or effect, nor shall any such oral agree ment, understanding or representation be binding upon the parties hereto. 7. GOVERNING LAW. Any action arising out of this Agreement shall be brought in the Superior Court of San Luis Obispo County, California, regardless of where else venue may lie. The validity, interpretation, construction and performance of this Agreement, and all acts and transactions pursuant hereto and the rights and obligations of the Parties hereto shall be governed, construed and interpreted in accordance with the laws of the State of California, without giving effect to principles of conflicts of law. 8. NOTICE. All written notices to the parties hereto shall be sent by United States mail, postage prepaid by registered or certified mail addressed as follows: City City of San Luis Obispo 879 Morro Street San Luis Obispo, CA 93401 Attn: Utilities Department (utilities@slocity.org) Consultant Alexander’s Contract Services, Inc. 8655 Morro Road, Ste. C Atascadero, CA 93422 Attn: Chris Molina (chrism@alexander-co.com) 9. AUTHORITY TO EXECUTE AGREEMENT. City and Contractor each covenant that each person executing this Agreement on their behalf is a person duly authorized and empowered to execute Agreements on their behalf. Page 76 of 559 -3- IN WITNESS WHEREOF, the parties hereto have caused this instrument to be executed the day and year first above written. CITY OF SAN LUIS OBISPO: CONTRACTOR: ALEXANDER’S CONTRACT SERVICES, INC. By:_____________________________ By: ____________________________ Whitney McDonald, City Manager Chris Molina, CFO/COO chrism@alexander-co.com APPROVED AS TO FORM: ________________________________ J Christine Dietrick, City Attorney Page 77 of 559 -4- EXHIBIT A [CONTRACTOR’S PROPOSAL & CITY RFP] Page 78 of 559 -5- EXHIBIT B GENERAL TERMS AND CONDITIONS 1. Business License & Tax. The Contractor must have a valid City of San Luis Obispo business license & tax certificate before execution of the contract. Additional information regarding the City’s business tax program may be obtained by calling (805) 781-7134. 2. Ability to Perform. The Contractor warrants that it possesses, or has arranged through subcontracts, all capital and other equipment, labor, materials, and licenses necessary to carry out and complete the work hereunder in compliance with all federal, state, county, city, and special district laws, ordinances, and regulations. 3. Laws to be Observed. The Contractor shall keep itself fully informed of and shall observe and comply with all applicable state and federal laws and c ounty and City of San Luis Obispo ordinances, regulations and adopted codes during its performance of the work. 4. Payment of Taxes. The contract prices shall include full compensation for all taxes that the Contractor is required to pay. 5. Permits and Licenses. The Contractor shall procure all permits and licenses, pay all charges and fees, and give all notices necessary. 6. Safety Provisions. The Contractor shall conform to the rules and regulations pertaining to safety established by OSHA and the California Division of Industrial Safety. 7. Public and Employee Safety. Whenever the Contractor’s operations create a condition hazardous to the public or City employees, it shall, at its expense and without cost to the City, furnish, erect and maintain such fences, temporary railings, barricades, lights, signs and other devices and take such other protective measures as are necessary to prevent accidents or damage or injury to the public and employees. 8. Preservation of City Property. The Contractor shall provide and install suitable safeguards, approved by the City, to protect City property from injury or damage. If City property is injured or damaged resulting from the Contractor’s operations, it shall be replaced or restored at the Contractor’s expense. The facilities shall be replaced or restored to a condition as good as when the Contractor began work. Page 79 of 559 -6- 9. Immigration Act of 1986. The Contractor warrants on behalf of itself and all subcontractors engaged for the performance of this work that only persons authorized to work in the United State pursuant to the Immigration Reform and Control Act of 1986 and other applicable laws shall be employed in the performance of the work hereunder. 10. Non-Discrimination. In the performance of this work, the Contractor agrees that it will not engage in, nor permit such subcontractors as it may employ, to engage in discrimination in employment of persons because of age, race, color, sex, national origin or ancestry, sexual orientation, or religion of such persons. 11. Work Delays. Should the Contractor be obstructed or delayed in the work required to be done hereunder by changes in the work or by any default, act, or omission of the City, or by strikes, fire, earthquake, or any other Act of God, or by the inability to obtain materials, equipment, or labor due to federal government restrictions arising out of defense or war programs, then the time of completion may, at the City’s sole option, be extended for such periods as may be agreed upon by the City and the Contractor. In the event that there is insufficient time to grant such extensions prior to the completion date of the contract, the City may, at the time of acceptance of the work, waive liquidated damages that may have accrued for failure to complete on time, due to any of the above, after hearing evidence as to the reasons for such delay, and making a finding as to the causes of same. 12. Payment Terms. The City’s payment terms are 30 days from the receipt of an original invoice and acceptance by the City of the materials, supplies, equipment, or services provided by the Consultant (Net 30). Consultant will submit invoices monthly for actual services performed. Invoices shall be submitted on or about the first business day of each month, or as soon thereafter as practical, for services provided in the previous month. Final June invoices shall be received no later than the 5th business day of July to meet City fiscal year-end deadlines. Payment shall be made within thirty (30) days of receipt of each invoice as to all non -disputed fees. If the City disputes any of Consultant's fees it shall give written notice to Consultant within thirty (30) days of receipt of an invoice of any disputed fees set forth on the invoice. Any final payment under this Agreement shall be made within forty-five (45) days of receipt of an invoice, therefore. 13. Inspection. The Contractor shall furnish City with every reasonable oppo rtunity for City to ascertain that the services of the Contractor are being performed in accordance with the requirements and intentions of this contract. All work done, and all materials furnished, if any, shall be subject to the City’s inspection and approval. The inspection of such work shall not relieve Contractor of any of its obligations to fulfill its contract requirements. 14. Audit. The City shall have the option of inspecting and/or auditing all records and other written materials used by Contractor in preparing its invoices to City as a condition precedent to any payment to Contractor. Page 80 of 559 -7- 15. Interests of Contractor. The Contractor covenants that it presently has no interest, and shall not acquire any interest—direct, indirect or otherwise—that would conflict in any manner or degree with the performance of the work hereunder. The Contractor further covenants that, in the performance of this work, no subcontractor or person having such an interest shall be employed. The Contractor certifies that no one who has or will have any financial interest in performing this work is an officer or employee of the City. It is hereby expressly agreed that, in the performance of the work hereunder, the Contractor shall at all times be deemed an independent contractor and not an agent or employee of the City. 16. Hold Harmless and Indemnification. (a) Non-design, non-construction Professional Services: To the fullest extent permitted by law (including, but not limited to California Civil Code Sections 2782 and 2782.8), Consultant shall indemnify, defend, and hold harmless the City, and its elected officials, officers, employees, volunteers, and agents (“City Indemnitees”), from and against any and all causes of action, claims, liabilities, obligations, judgments, or damages, including reasonable legal counsels’ fees and costs of litigation (“claims”), arising out of the Consultant’s performance or Consultant’s failure to perform its obligations under this Agreement or out of the operations conducted by Consultant, including the City’s active or passive negligence, except for such loss or damage arising from the sole negligence or willful misconduct of the City. In the event the City Indemnitees are made a party to any action, lawsuit, or other adversarial proceeding arising from Consultant’s performance of this Agreement, the Consultant shall provide a defense to the City Indemnitees or at the City’s option, reimburse the City Indemnitees their costs of defense, including reasonable legal fees, incurred in defense of such claims. (b) Non-design, construction Professional Services: To the extent the Scope of Services involve a “construction contract” as that phrase is used in Civil Code Section 2783, this paragraph shall apply in place of paragraph A. To the fullest extent permitted by law (including, but not limited to California Civil Code Sections 2782 and 2782.8), Consultant shall indemnify, defend, and hold harmless the City, and its elected officials, officers, employees, volunteers, and agents (“City Indemnitees”), from and against any and all causes of action, claims, liabilities, obligations, judgments, or damages, including reasonable legal counsels’ fees and costs of litigation (“claims”), arising out of the Consultant’s performance or Consultant’s failure to perform its obligations under this Agreement or out of the operations conducted by Consultant, except for such loss or damage arising from the active negligence, sole negligence or willful misconduct of the City. In the event the City Indemnitees are made a party to any action, lawsuit, or other adversarial proceeding arising from Consultant’s performance of this Agreement, the Consultant shall provide a defense to the City Indemnitees or at the City’s option, reimburse the City Indemnitees their costs of defense, including reasonable legal fees, incurred in defense of such claims. Page 81 of 559 -8- (c) Design Professional Services: In the event Consultant is a “design professional”, and the Scope of Services require Consultant to provide “design professional services” as those phrases are used in Civil Code Section 2782.8, this paragraph shall apply in place of paragraphs A or B. To the fullest extent permitted by law (including, but not limited to California Civil Code Sections 2782 and 2782.8) Consultant shall indemnify, defend and hold harmless the City and its elected officials, officers, employees, volunteers and agents (“City Indemnitees”), from and against all claims, damages, injuries, losses, and expenses including costs, attorney fees, expert consultant and expert witness fees arising out of, pertaining to or relating to, the negligence, recklessness or willful misconduct of Consultant, except to the extent caused by the sole negligence, active negligence or willful misconduct of the City. Negligence, recklessness or willful misconduct of any subcontractor employed by Consultant shall be conclusively deemed to be the negligence, recklessness or willful misconduct of Consultant unless adequately corrected by Consultant. In the event the City Indemnitees are made a party to any action, lawsuit, or other adversarial proceeding arising from Consultant’s performance of this Agreement, the Consultant shall provide a defense to the City Indemnitees or at the City’s option, reimburse the City Indemnitees their costs of defense, including reasonable legal fees, incurred in defense of such claims. In no event shall the cost to defend charged to Consultant under this paragraph exceed Consultant’s proportionate percentage of fault. However, notwithstanding the previous sentence, in the event one or more defendants is unable to pay its share of defense costs due to bankruptcy or dissolution of the business, Consultant shall meet and confer with other parties regarding unpaid defense costs. (d) The review, acceptance or approval of the Consultant’s work or work product by any indemnified party shall not affect, relieve or reduce the Consultant’s indemnification or defense obligations. This Section survives completion of the services or the termination of this contract. The provisions of this Section are not limited by and do not affect the provisions of this contract relating to insurance. Contractor’s indemnification obligations under this section extend to any claims arising out of or related to the negligence, recklessness, or willful misconduct of any sub-consultants/ subcontractors. 17. Contract Assignment. The Contractor shall not assign, transfer, convey or otherwise dispose of the contract, or its right, title or interest, or its power to execute such a contract to any individual or business entity of any kind without the previous written consent of the City. 18. Safe Harbor. Contractor/Consultant’s duties and services under this agreement shall not include preparing or assisting the public entity with any portion of the public entity’s preparation of a request for proposals, request for qualifications, or any other solicitation regarding a subsequent or additional contract with the public entity. The public entity entering this agreement shall at all times retain responsibility for public contracting, including with respect to any subsequent phase of this project. Contractor/consultant’s participation in the planning, discussions, or drawing of project plans or specifications shall be limited to conceptual, preliminary, or initial Page 82 of 559 -9- plans or specifications. Contractor/consultant shall cooperate with the public entity to ensure that all bidders for a subsequent contract on any subsequent phase of this project have access to the same information, including all conceptual, prelimi nary, or initial plans or specifications prepared by contractor pursuant to this agreement.” 19. Termination for Convenience. The City may terminate all or part of this Agreement for any or no reason at any time by giving 30 days written notice to Contractor. Should the City terminate this Agreement for convenience, the City shall be liable as follows: (a) for standard or off-the-shelf products, a reasonable restocking charge not to exceed ten (10) percent of the total purchase price; (b) for custom products, the less of a reasonable price for the raw materials, components work in progress and any finished units on hand or the price per unit reflected on this Agreement. For termination of any services pursuant to this Agreement, the City’s liability will be the lesser of a reasonable price for the services rendered prior to termination, or the price for the services reflected on this Agreement. Upon termination notice from the City, Contractor must, unless otherwise directed, cease work and follow the City’s directions as to work in progress and finished goods. 20. Termination. If, during the term of the contract, the City determines that the Contractor is not faithfully abiding by any term or condition contained herein, the City may notify the Contractor in writing of such defect or failure to perform. This notice must give the Contractor a 10 (ten) calendar day notice of time thereafter in which to perform said work or cure the deficiency. If the Contractor has not performed the work or cured the deficiency within the ten days specified in the notice, such shall constitute a breach of the contract and the City may terminate the contract immediately by written notice to the Contractor to said effect. Thereafter, neither party shall have any further duties, obliga tions, responsibilities, or rights under the contract except, however, any and all obligations of the Contractor’s surety shall remain in full force and effect, and shall not be extinguished, reduced, or in any manner waived by the terminations thereof. In said event, the Contractor shall be entitled to the reasonable value of its services performed from the beginning date in which the breach occurs up to the day it received the City’s Notice of Termination, minus any offset from such payment representing the City’s damages from such breach. “Reasonable value” includes fees or charges for goods or services as of the last milestone or task satisfactorily delivered or completed by the Contractor as may be outlined in the Agreement payment schedule; compensation for any other work, services or goods performed or provided by the Contractor shall be based solely on the City’s assessment of the value of the work-in- progress in completing the overall work scope. The City reserves the right to delay any such payment until completion or confirmed abandonment of the project, as may be determined in the City’s sole discretion, so as to permit a full and complete accounting of costs. In no event, however, shall the Contractor be entitled to receive in excess of the compensation quoted in its proposal. Page 83 of 559 -10- 21. Termination by Contractor. Notwithstanding any other provision of this Agreement, Contractor shall have the right to terminate this Agreement upon six (6) month written notice to the City. In the event of termination of the Agreement under this paragraph, Contractor shall, within ten (10) days after the date of termination, provide the City with a final statement and access to lease the proprietary RM 4 software, or any other software utilized by the Contractor used to complete contract meter reading services, for use within the City. Upon receipt by the City of this final statement, the City shall pay Contractor in the amounts and in the manner required by this Agreement 22. Fuel Escalation. Regular unleaded fuel must be purchased within a 30-mile radius of the City of San Luis Obispo for the fuel escalation charges as outlined in Exhibit A to be triggered. Should fuel escalation prices be triggered, Contractor agrees to provide monthly invoices that include receipts showing fuel costs (price per gallon) and the location where the fuel was purchased during the entire time that the fuel escalation charges are in place. 23. File Interface. For the purposes of this agreement, 'drastic changes' to th e file interface shall be defined as modifications that require substantial redevelopment, reconfiguration, or reprogramming beyond routine updates or maintenance. Routine updates, minor format adjustments, and standard maintenance shall not constitute 'drastic changes' and will not result in a change in scope or cost. Any determination of a 'drastic change' must be mutually agreed upon by both parties. Page 84 of 559 -11- Exhibit C INSURANCE REQUIREMENTS Contractors Without limiting Contractor’s indemnification of City, and prior to commencement of work, Contractor shall obtain, provide, and maintain at its own expense during the term of this Agreement, policies of insurance of the types and amounts described below and in a form that is satisfactory to City. General liability insurance. Contractor shall maintain commercial general liability insurance with coverage at least as broad as Insurance Services Office form CG 00 01, in an amount not less than $1,000,000 per occurrence, $2,000,000 general aggregate, for bodily injury, personal injury, and property damage. The policy must include contractual liability that has not been amended. Any endorsement restricting standard ISO “insured contract” language will not be accepted. Automobile liability insurance. Contractor shall maintain automobile insurance at least as broad as Insurance Services Office form CA 00 01 covering bodily injury and property damage for all activities of the Contractor arising out of or in connection with Work to be performed under this Agreement, including coverage for any owned, hired, non-owned, or rented vehicles, in an amount not less than $1,000,000 combined single limit for each accident. Umbrella or excess liability insurance. [If required to meet higher limits]. Contractor may obtain and maintain an umbrella liability insurance policy with limits that will provide bodily injury, personal injury, and property damage liability coverage, including commercial general liability, automobile liability, and employer’s liability. Such policy or policies shall include the following terms and conditions: • A drop-down feature requiring the policy to respond if any primary insurance that would otherwise have applied proves to be uncollectible in whole or in part for any reason, other than bankruptcy or insolvency of said primary insurer; “Pay on behalf of” wording as opposed to “reimbursement”; Concurrency of effective dates with primary policies. Excess insurance. Should Contractor obtain and maintain an excess liability policy, such policy shall be excess over commercial general liability, automobile liability, and employer’s liability policies. Such policy or policies shall include wording that the excess liability policy follows the terms and conditions of the underlying policies. Workers’ compensation insurance. Contractor shall maintain Workers’ Compensation Insurance (Statutory Limits) and Employer’s Liability Insurance (with limits of at least $1,000,000). Contractor shall submit to City, along with the certificate of insurance, a Waiver of Subrogation endorsement in favor of City, its officers, agents, employees, and volunteers Page 85 of 559 -12- Notice of cancellation. Contractor agrees to oblige its insurance agent or broker and insurers to provide the City with a thirty (30) day notice of cancellation (except for nonpayment for which a ten (10) day notice is required) or nonrenewal of coverage for each required coverage. If any of the Contractor’s insurers are unwilling to provide such notice, then Contractor shall have the responsibility of notifying the City immediately in the event of Contractor’s failure to renew any of the required insurance coverages or insurer’s cancellation or non-renewal. Additional insured status. General liability, automobile liability, and umbrella/excess liability insurance policies shall provide or be endorsed to provide that City and its officers, officials, employees, agents, and volunteers shall be additional insureds under such policies. Prohibition of undisclosed coverage limitations. None of the coverages required herein shall comply with these requirements if they include any limiting endorsement of any kind that has not been first submitted to City and approved of in writing. Separation of insureds. A severability of interests provision must apply for all additional insureds ensuring that Contractor’s insurance shall apply separately to each insured against whom claim is made or suit is brought, except with respect to the insurer’s limits of liability. The policy(ies) shall not contain any cross-liability exclusions. Pass through clause. Contractor agrees to ensure that its subconsultants, subcontractors, and any other party who is brought onto or involved in the project/service by Contractor (hereinafter collectively “subcontractor”), provide the same minimum insurance coverage and endorsements required of Contractor. Contractor agrees to monitor and review all such coverage and assumes all responsibility for ensuring that such coverage is provided in conformity with the requirements of this section. However, in the event Contractor’s subcontractor cannot comply with this requirement, which proof must be submitted to the City, Contractor shall be required to ensure that its subcontractor provide and maintain insurance coverage and endorsements sufficient to the specifi c risk of exposure involved with subcontractor’s scope of work and services, with limits less than required of the Contractor, but in all other terms consistent with the Contractor’s requirements under this agreement. This provision does not relieve the Contractor of its contractual obligations under the agreement and/or limit its liability to the amount of insurance coverage provided by its subcontractors. This provision is intended solely to provide Contractor with the ability to utilize a subcontractor who may be otherwise qualified to perform the work or services but may not carry the same insurance limits as required of the Contractor under this agreement given the limited scope of work or services provided by the subcontractor. Contractor agrees that upon request, all agreements with subcontractors, and others engaged in the project, will be submitted to City for review. Page 86 of 559 -13- City’s right to revise specifications. The City reserves the right at any time during the term of the contract to change the amounts and types of insurance required by giving the Contractor ninety (90) days advance written notice of such change. If such change results in substantial additional cost to the Contractor, the City and Contractor may renegotiate Contractor’s compensation. Self-insured retentions. Any self-insured retentions must be declared to and approved by City. City reserves the right to require that self-insured retentions be eliminated, lowered, or replaced by a deductible, or require proof of ability to pay losses an d related investigations, claim administration, and defense expenses within the retention through confirmation from the underwriter. Timely notice of claims. Contractor shall give City prompt and timely notice of claims made or suits instituted that arise out of or result from Contractor’s performance under this Agreement, and that involve or may involve coverage under any of the required liability policies. Additional insurance. Contractor shall also procure and maintain, at its own cost and expense, any additional kinds of insurance, which in its own judgment may be necessary for its proper protection and prosecution of the Work. Verification of Coverage. Contractor shall furnish the City with a certificate of insurance showing maintenance of the required insurance coverage, as well as endorsements effecting general liability coverage. All endorsements are to be received and approved by the City before work commences. Page 87 of 559 Page 88 of 559