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HomeMy WebLinkAboutNBS Government Finance Group 10.15.12NT THIS AGREEMENT is made and entered into in the City of San Luis Obispo on October 15, 2012, by and between the CITY OF SAN LUIS OBISPO, a municipal corporation, hereinafter referred to as City, and NBS Government Finance Group, hereinafter referred to as Contractor. WITNESSETH: WHEREAS, the City wants to hire Contractor to prepare a citywide user and regulatory fee study. WHEREAS, Contractor 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, as first written above, until acceptance or completion of said services. 2, INCORPORATION BY REFERENCE. Contractor's proposal dated August 3, 2012 is hereby incorporated in and made a part of this Agreement. To the extent that there are any conflicts between this Agreement and the Contractor's proposal, the terms of this Agreement shall prevail, unless specifically agreed otherwise in writing signed by both parties. 3. 1 CITY'S OBLIGATIONS. For providing services as specified in this Agreement, City will pay and Contractor shall receive therefor compensation in a total sum not to exceed $24,660. 4. 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 provide services as set forth in Exhibit A attached hereto and incorporated into this Agreement. Contractor further agrees to the contract performance terms as set forth in Exhibit B attached hereto and incorporated into this Agreement. 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 of the City. Page 2 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 agreement, understanding, or representation be binding upon the parties hereto. 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 Clerk City of San Luis Obispo 990 Pahn Street San Luis Obispo, CA 93401 Contractor NBS Government Finance Group 32605 Temecula Parkway, Suite 100 Temecula, CA 92592 AUTHORITY TO EXECUTE AGREEMENT. Both City and Contractor do covenant that each individual executing this agreement on behalf of each party is a person duly authorized and empowered to execute Agreements for such party. IN WI'T'NESS WHEREOF, the parties hereto have caused this instrument to be executed the day and year fast above written. ATTEST: Ma e TCe e y Grimes 'ity Clerk APPROVED AS FORM: Christine Dietrick, City Attorney CITY OF SAN LUIS OBISPO By' ©. tchtig, City Manager CONTRACTOR BN85 Govern 4 1VeS Mi c:haeli�er�%nec' Preroic��� CEO Exhibit B CONTRACT PERFORMANCE 1. Business Tax. Contractor must have a valid City of San Luis Obispo business tax certificate prior to 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. 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 any and all federal, state, county, city, and special district laws, ordinances, and regulations. 3. Laws to be Observed. Contractor shall keep itself fully informed of and shall observe and comply with all applicable state and federal laws and county 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 Contractor is required to pay. 5. Permits and Licenses. Contractor shall procure all permits and licenses, pay all charges and fees, and give all notices necessary. 6. Safety Provisions. 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 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. 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 as a result of Contractor's operations, it shall be replaced or restored at Contractor's expense. The facilities shall be replaced or restored to a condition as good as when the Contractor began work. 9. Immigration Act of 1986. Contractor warrants on behalf of itself and all sub - contractors engaged for the performance of this work that only persons authorized to work in the United States 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. Contractor Non - Discrimination. In the performance of this work, Contractor agrees that it will not engage in, nor permit such sub - contractors 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 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. Exhibit B: Contract Performance Terms Page B -2 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 services provided by Contractor (Net 30). 13. Inspection. Contractor shall furnish City with every reasonable opportunity for City to ascertain that the services of Contractor are being performed in accordance with the requirements and intentions of this contract. All work done and all materials famished, 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. is, Interests of Contractor. Contractor covenants that it presently has no interest, and shall not acquire any interest direct or indirect or otherwise, which would conflict in any manner or degree with the performance of the work hereunder. Contractor further covenants that, in the performance of this work, no sub - contractor or person having such an interest shall be employed. 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, Contractor shall at all times be deemed an independent contractor and not an agent or employee of the City. 16. Hold Harmless and Indemnification. Contractor agrees to defend, indemnify, protect and hold the City and its agents, officers and employees harmless from and against any and all claims asserted or liability established for damages or injuries to any person or property, including injury to Contractor's employees, agents or officers which arise from or are connected with or are caused or claimed to be caused by the acts or omissions of Contractor, and its agents, officers or employees, in performing the work or services herein, and all expenses of investigating and defending against same, provided, however, that Contractor's duty to indemnify and hold harmless shall not include any claims or liability arising from the established sole negligence or willful misconduct of the City, its agents, officers or employees. 17. Contract Assignment. 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, Termination. If, during the term of the contract, the City determines that Contractor is not faithfully abiding by any term or condition contained herein, the City may notify Contractor in writing of such defect or failure to perform; which notice must give Contractor a 10 (ten) calendar day notice of time thereafter in which to perform said work or cure the deficiency. If 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 Contractor to said effect. Thereafter, neither party shall have any further duties, obligations, responsibilities or rights under the contract. In said event, 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 Contractor as may be set forth in the Agreement Exhibit B: Contract Performance Terms &3 payment schedule; compensation for any other work, services or goods performed or provided by Contractor shall be based solely on the City's assessment of the value of the work -in- progress in completing the overall workscope. 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 Contractor be entitled to receive in excess of the compensation quoted in its proposal. 19. Ownership of Materials. All original drawings, plan documents and other materials prepared by or in possession of 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. 20. Release of Reports and Information. Any reports, information, data, or other material given to, prepared by or assembled by Contractor as part of the work or services under these specifications shall be the property of City, and shall not be made available to any individual or organization by Contractor without the prior written approval of the City. 21. Copies of Reports and Information, If the City requests additional copies of reports, drawings, specifications, or any other material in addition to what Contractor is required to furnish in limited quantities as part of the work or services under these specifications, Contractor shall provide such additional copies as are requested, and City shall compensate Contractor for the costs of duplicating of such copies at the Contractor's direct expense. 22. Required Deliverable Products. Contractor will provide: a. One copy of the final report that addresses all elements of the workscope. Any documents or materials provided by Contractor will be reviewed by City staff and, where necessary, Contractor will respond to staff comments and make such changes as deemed appropriate. b. One camera -ready original, unbound, each page printed on only one side, including any original graphics in place and scaled to size, ready for reproduction. C. When computers have been used to produce materials submitted to the City as a part of the workscope, Contractor must provide the corresponding computer files to the City, compatible with the following programs whenever possible: • Word Processing Word • Spreadsheets Excel • Desktop Publishing Coreldraw, Pagemaker • Computer Aided Drafting (CAD) AutoCad Computer files must be on 31/2 ", high - density, write- protected diskettes, formatted for use on IBM - compatible systems. Each diskette must be clearly labeled and have a printed copy of the directory. 23. Attendance at Meetings and Hearings. As part of the workscope and included in the contract price is attendance by the Contractor at up to two public meetings to present and discuss its findings and recommendations. Contractor shall attend as many "working" meetings with staff as necessary in performing workscope tasks. Exhibit B: Contract Performance Terms Page B-4 24. Insurance. Contractor shall procure and maintain for the duration of the contract insurance against claims for injuries to persons or damages to property that may arise from or in connection with the performance of the work hereunder by Contractor, its agents, representatives, employees or sub - contractors. a. Minimum scope of insurance. Coverage shall be at least as broad as: • Insurance Services Office Commercial General Liability coverage (occurrence form CG 0001). • Insurance Services Office form number CA 0001 (Ed. 1/87) covering Automobile Liability, code 1 (any auto). • Workers' Compensation insurance as required by the State of California and Employer's Liability Insurance. • Errors and Omissions Liability insurance as appropriate to Contractor's profession. b. Minimum limits of insurance. Contractor shall maintain limits no less than: • General Liability: $1,000,000 per occurrence for bodily injury, personal injury and property damage. If Commercial General Liability or other form with a general aggregate limit is used, either the general aggregate limit shall apply separately to this project/location or the general aggregate limit shall be twice the required occurrence limit. • Automobile Liability: $1,000,000 per accident for bodily injury and property damage. • Employer's Liability: $1,000,000 per accident for bodily injury or disease. • Errors and Omissions Liability: $1,000,000 per occurrence. C. Deductibles and self - insured retentions. Any deductibles or self - insured retentions must be declared to and approved by the City. At the option of the City, either: the insurer shall reduce or eliminate such deductibles or self - insured retentions as respects the City, its officers, officials, employees and volunteers; or Contractor shall procure a bond guaranteeing payment of losses and related investigations, claim administration and defense expenses. d. Other insurance provisions. The general liability and automobile liability policies are to contain, or be endorsed to contain, the following provisions: The City, its officers, officials, employees, agents and volunteers are to be covered as insureds as respects: liability arising out of activities performed by or on behalf of Contractor; products and completed operations of Contractor; premises owned, occupied or used by Contractor, or automobiles owned, leased, hired or borrowed by Contractor. The coverage shall contain no special limitations on the scope of protection afforded to the City, its officers, official, employees, agents or volunteers. For any claims related to this project, Contractor's insurance coverage shall be primary insurance as respects the City, its officers, officials, employees, agents and volunteers. Any insurance or self - insurance maintained by the City, its officers, officials, employees, agents or volunteers shall be excess of Contractor's insurance and shall not contribute with it. Exhibit B: Contract Performance Terms B -5 Any failure to comply with reporting or other provisions of the policies including breaches of warranties shall not affect coverage provided to the City, its officers, officials, employees, agents or volunteers. Contractor's insurance shall apply separately to each insured against whom claim is made or suit is brought, except with respect to the limits of the insurer's liability. Each insurance policy required by this clause shall be endorsed to state that coverage shall not be suspended, voided, canceled by either party, reduced in coverage or in limits except after thirty (30) days' prior written notice by certified mail, return receipt requested, has been given to the City. e. Acceptability of insurers. Insurance is to be placed with insurers with a current A.M. Best's rating of no less than A: V ll. Verification of coverage. Contractor shall furnish the City with a certificate of insurance showing maintenance of the required insurance coverage. Original endorsements effecting general liability and automobile liability coverage required by this clause must also be provided. The endorsements are to be signed by a person authorized by that insurer to bind coverage on its behalf. All endorsements are to be received and approved by the City before work commences. Section E Consultant Services The Contractor shall procure and maintain for the duration of the contract insurance against claims for injuries to persons or damages to property which may arise from or in connection with the performance of the work hereunder by the Contractor, its agents, representatives, employees or subcontractors. Minimum Scope of Insurance. Coverage shall be at least as broad as: 1, Insurance Services Office Commercial General Liability coverage (occurrence form CG 0001). 2. Insurance Services Office form number CA 0001 (Ed. 1/87) covering Automobile Liability, code 1 (any auto). Workers' Compensation insurance as required by the State of California and Employer's Liability Insurance. 4. Errors and Omissions Liability insurance as appropriate to the consultant's profession. Minimum Limits of Insurance. Contractor shall maintain limits no less than: 1. General Liability: $1,000,000 per occurrence for bodily injury, personal injury and property damage. If Commercial General Liability or other form with a general aggregate limit is used, either the general aggregate limit shall apply separately to this project/location or the general aggregate limit shall be twice the required occurrence limit. 2. Automobile Liability: $1,000,000 per accident for bodily injury and property damage. 3. Employer's Liability: $1,000,000 per accident for bodily injury or disease. 4. Errors and Omissions Liability: $1,000,000 per occurrence Deductibles and Self- Insured Retentions. Any deductibles or self - insured retentions must be declared to and approved by the City. At the option of the City, either: the insurer shall reduce or eliminate such deductibles or self- insured retentions as respects the City, its officers, officials, employees and volunteers; or the Contractor shall procure a bond guaranteeing payment of losses and related investigations, claim administration and defense expenses. Other Insurance Provisions. The general liability and automobile liability policies are to contain, or be endorsed to contain, the following provisions: 1. The City, its officers, officials, employees, agents and volunteers are to be covered as insureds as respects: liability arising out of activities performed by or on behalf of the Contractor; products and completed operations of the Contractor; premises owned, occupied or used by the Contractor; or automobiles owned, (eased, hired or borrowed by the Contractor. The coverage shall contain no special limitations on the scope of protection afforded to the City, its officers, official, employees, agents or volunteers. 2. For any claims related to this project, the Contractor's insurance coverage shall be primary insurance as respects the City, its officers, officials, employees, agents and volunteers. Any insurance or self - insurance maintained by the City, its officers, officials, employees, agents or volunteers shall be excess of the Contractor's insurance and shall not contribute with it. -21- 3. The Contractor's insurance shall apply separately to each insured against whom claim is made or suit is brought, except with respect to the limits of the insurer's liability. 4. Each insurance policy required by this clause shall be endorsed to state that coverage shall not be suspended, voided, canceled by either party, reduced in coverage or in limits except after thirty (30) days' prior written notice by certified mail, return receipt requested, has been given to the City. Acceptability of Insurers. Insurance is to be placed with insurers with a current A.M. Best's rating of no less than ANIL Verification of Coverage. Contractor shall furnish the City with a certificate of insurance showing maintenance of the required insurance coverage. Original endorsements effecting general liability and automobile liability coverage required by this clause must also be provided. The endorsements are to be signed by a person authorized by that insurer to bind coverage on its behalf. All endorsements are to be received and approved by the City before work commences. -22- N BS 32605 Temecula Parkway, Suite 100 Temecula, CA 92592 Toll free: 800.676.7516 (P) 951.296.1 nbsgov.com August 29, 2012 Ms. Jennifer Thompson Revenue Supervisor City of San Luis Obispo 990 Palm Street San Luis Obispo, CA 93401 Subject: Agreement to Provide a Citywide User and Regulatory Fee Analysis for the City of San Luis Obispo Dear Ms. Thompson: NBS would like to thank you for the opportunity to provide a Citywide User and Regulatory Fee Analysis for the City of San Luis Obispo ( "City"). We look forward to continuing our professional relationship. Please find enclosed two (2) copies of our Executed Agreement. Upon signing, please return one copy to the undersigned and keep one copy for your records. SCOPE OF SERVICES Citywide User and Regulatory Fee Analysis Conduct Administrative Kick -Off Meeting. Conduct onsite administrative project commencement meetings with City staff members in each department / division who will manage the progress, completion, and implementation of the study's findings. This meeting will include a discussion of expectations and an overview of the process for conducting the analysis, including: coordination for onsite and remote interactions with City personnel, timeline for project completion, global data needs, established policies and procedures, and other topics. Gather and Analyze Data. Acquire published or accessible data from the City, centering on adopted budgets, recent financial performance (revenues and expenditures), current labor cost detail and classifications, organizational structures, existing relevant policies, existing time - tracking and volumetric data, and other items of a more global nature. As data is acquired, consultants will catalog necessary financial, procedural, and organizational information and will extract or input data into electronic form for use in analytical models and narrative documentation. Design Fee Structure and Commence Divisional Meetings. Conduct onsite project commencement events with Department / Division staff known to provide the fee - related services under review in this study. The chief purpose of these meetings is to acquire a broad understanding of organization, performance of core services, as well as basic staffing structures /lines of command. Applying industry expertise, NBS consultants will recommend and develop fee structures (as opposed to amounts) for the program. helping communities fund tomorrow Conduct Time Study. Determine and communicate the subsequent steps to acquire and /or develop organizational, performance, and time information necessary for establishing costs of service for justifying fees. NBS will develop an approach and tools for acquiring and /or developing the organizational, performance, and time information necessary for justifying fees. For areas where simple remote questionnaires may suffice, develop and route the forms to key personnel within each department / division studied. For areas where onsite interviews will be necessary, coordinate scheduling and develop interview tools. Conduct onsite events to generate organizational, performance, and time information necessary for justifying fees. Prepare Iterations and Time Study Module. After acquiring information developed through questionnaires and /or interviews, determine any necessary secondary course of action to continue and /or refine organizational, performance, and time data. One to two iterations of the time and service analysis are generally required to ensure that the cost of service analysis is defensible and reasonable. Iterative efforts will be manageable through the use of highly - concentrated /targeted remote questionnaires, which will be routed to the appropriate divisional personnel. The product of this sub -task will be a model of the complete organizational, performance, and time requirements for the services under review in this study. Develop Time /Cost Module. Prepare the module that will perform the time valuation analysis. This module will determine the full cost of service on an annual basis for the program, as well as for its individual application processing, review and regulatory services. The module will also provide an hourly cost basis for the program, and as warranted, by classification of personnel. Integrate City financial/budget data, payroll /labor data, and established overhead charges or cost allocations, as follows: Define the direct costs of service involved in each service under review in this study. Direct costs reflect those specifically related to the provision of service embodied by the activities reflected in the fee schedule, as well as any potential additions to that list. Define the indirect costs of service involved in each service under review in this study. Indirect costs are those incurred to support the provision of direct service, and may be reflected in many functional forms, depending on the division and/or direct services in questions. Examples of indirect functions include administrative support, customer service /public information, code /policy /standards maintenance, training, and management. Outside of discrete functions, indirect costs may also include tangible items, such as materials and supplies. Determine applicable City -wide indirect costs, such as those defined by an overhead cost allocation plan or other analysis maintained by the City to determine appropriate shares of administrative, support services, and /or governance costs. Develop Fully- burdened Hourly Rates. Calculate fully- burdened hourly rates for all divisions directly involved in the provision of the services under review in this study. Hourly rates will be computed at various levels: composite rates for each division, composite rates for core functions of service within divisions, and where warranted, composite rates for different classifications of employee within each division. Consider the applicability of productive hours or direct - billed hours as the basis for the rate calculation. Determine Full Cost of Services. This module will determine the full cost of service at an activity level for each individual service selected as a candidate for a new fee. Integrate applicable information developed in the Organizational Analysis and the Time Valuation to develop activity costs of service. Apply performance /time estimates at identified activity levels to the fully- burdened hourly rates developed in the Time Valuation tasks to determine the full cost of service for each fee - related service. Add any discrete materials /services costs not reflected in the time valuation for specific activities, such as substantial equipment and incremental contract services. NBS Page 2 Conduct Meetings / Revisions. Based on review with City staff, revise core analytical modules and finalize the activity costs of service. (This represents a planned iteration of the analytical work products.) Calculate the final unit costs of service that will serve as the foundation for any revised fee amounts and /or fee structure. Issue Final Report. Prepare a written report describing the complete work and findings of the project. Include an executive summary, narrative sections detailing the Fee Structure Design, Organizational Analysis, Time Valuation, and Cost of Service Analysis. Include technical appendices detailing the entire body of analysis supporting outcomes. Issue the draft report in electronic form (portable document format) to City staff and management for review. Issue the draft final report to City staff and management. Perform one iterative round of changes and incorporation of City staff and management's comments. issue the final technical models and supporting information to the City in Microsoft Excel (XLS) format for future in -house use and modification. Legislative Process. The purpose of this task is to support actively the City's process to legislatively review, approve, and implement the resulting fees stemming from this study. In anticipation of City Council review, prepare foundational presentation materials for use in public meetings. Prepare for and attend one meeting of the City Council to present study findings and respond to questions on behalf of or in support of City staff. Prepare for and attend one meeting of the City Council at which a public hearing is expected in advance of a City Council action to approve modified and /or new fees. FEES Citywide User and Regulatory Fee Analysis PROJECT COST DETAIL Consultant Labor (Hours) Grand Totals Consultant Project Senior Consultant Task Plan Manager Consultant Labor Costs($) (Hours) Hourly Rate $190 $150 Conduct Administrative Kick -Off Meeting 4.0 4.0 8.0 $ 1,360 Gather and Analyze Data - 2.0 2.0 $ 300 Design Fee Structure / Divisional Meetings 1.0 24.0 25.0 $ 3,790 Conduct Time Study - 32.0 32.0 $ 4,800 Prepare Iterations and Time Study Module - 16.0 16.0 $ 2,400 Develop Time /Cost Module 2.0 12.0 14.0 $ 2,180 Develop Fully Burdened Hourly Rates 1.0 8.0 910 $ 1,390 Determine Full Cost of Services 2.0 8.0 1010 $ 1,580 Divisional Meetings / Revisions - 12.0 12.0 $ 1,800 Issue Final Report 2.0 16.0 18.0 $ 2,780 Legislative Process 12.0 - 12.0 $ 2,280 - GRAND TOTAL NOT TO EXCEED 24.0 134.0 158.0 $ 24660 Page 3 N BS Additional Services The following table shows our current hourly rates. Additional services authorized by the City will be billed at this rate or the then applicable hourly rate. Title Director Hourly Rate $ 190 Senior Consultant/Programmer 150 Engineer 140 Consultant 130 Analyst 100 Clerical /Support 55 Expert Witness TBD; with minimum fee Insurance For the protection of our clients, NBS is covered by the insurance policies described in the following table. Workers' Compensation Insurance is maintained at the level required by state law. •• Of Workers' Compensation $1,000,000.00 General Liability $2,000,000.00 Professional Liability $2,000,000.00 Indemnification NBS will indemnify and hold harmless the City from any claims, losses, and damages that arise from errors or negligence on behalf of NBS. Such obligations to indemnify shall not apply to the extent that such claims or portions thereof are caused by the negligence or willful misconduct of any Indemnities. Terms Services will be invoiced monthly. Expenses will be itemized and included in the next regular invoice. Payment shall be made within 30 days of submittal of an invoice. If payment is not received within 90 days simple interest will begin to accrue at the rate of 1.5% per month. Either party can cancel contracts with 30 days written notice. Page 4 NF3S Please feel free to contact me if you have any questions or need further information. Best regards, NBS Government Finance Group, DBA NBS J/6e� Mike Rentner President and CEO /0 12011z— Title Date � NBS City of San Luis Obispo Name sa,a. fo(Z.ry�( 2- Title T Date Page 5