HomeMy WebLinkAbout06/16/1992, C-11 - ENHANCED PUBLIC INPUT ON THE CABLE FRANCHISE AGREEMENT MEETING DATE:
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COUNCIL AGENDA REPORT I NUMB!&
FROM: Ken Hampian, Assistant City Administrative fficer�
Prepared By: Deb Hossli, Administrative Analyst
SUBJECT: Enhanced Public Input on the Cable Franchise Agreement
CAO RECOMMENDATION: Authorize the City Administrative Officer to:
1. Prepare a survey for inclusion in the City's summer newsletter to obtain community
input on customer satisfaction with the present cable operator and public access
needs; and
2. Execute an agreement with Telecommunications Management Corporation (the
City's current cable consultant) to prepare, tabulate and analyze the cable survey
at a cost of $4,000; and
3. Convene a focus group composed of community members to assist the City with
setting cable franchise priorities for the re-negotiation process.
DISCUSSION:
Background
During the May 4, 1992 Study Session, the City Council was provided with an overview
of the process and timeframe for renewing the City's franchise agreement with Sonic
Cable Television. One component of the renewal process, assessing the public's
satisfaction with our existing cable operator and eliciting input on public access needs,
was of particular interest to the Council.
Specifically, the Council felt that staffs recommended approach of extensive consultant
interviews, a 'Town Hall" meeting, and public hearings before the Council, did not go far
enough. Given the advances in cable technology since the last franchise renewal (1978)
and the high level of interest the community holds for cable television, the Council felt that
the City should take added steps in soliciting input from the public, perhaps to include a
relatively inexpensive survey, and return to Council with specific suggestions.
After conferring with the City's cable consultant, Carl Pilnick, staff is recommending
adding both a survey and 'focus group" to the public input component of the franchise
renewal process. The process will still include public hearings and extensive interviews
by the consultant with department heads and representatives of other sectors of the
community (e.g. local schools, Cal Poly).
Recommended Survey Approach
Working with Mr. Pilnick, staff has developed a fairly simple cable survey that is structured
to gather information from the community on cable customer satisfaction and public
access needs (see Attachment 1). As proposed, the survey would be distributed to every
City household through the City's summer newsletter. The newsletter itself would also
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COUNCIL AGENDA REPORT
Page 2
Public Input on Franchise Agreement
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feature an article on the cable franchise renewal process advising the community of the
renewal timeframe, what the City can and cannot control (e.g., rates and programming
selection, etc.), and the types of public uses available for cable television (e.g., cable
casting Council meetings, local educational programming, etc.). The results of the survey
would then be used to help the City set franchise renewal priorities that reflect community
desires.
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i The recommended survey has been kept short and straight-forward for two key reasons: f
(1) response is severely diminished by surveys that are too lengthy (thus we have i
focussed on the most critical issues); and (2) the newsletter can best accommodate a
one and a half page survey (this would allow for the survey to be completed, folded in
half and returned to the City relatively easily and inexpensively). The City's cable
consultant, Telecommunications Management Corporation (TMC), has determined that
it will cost $4,000 to prepare, tabulate, and analyze the survey. The added newsletter
postage should not exceed $1,000. j
The advantage to the recommended approach is that the City would be able to provide
the entire community with an opportunity to comment on the franchise renewal process.
In addition, a survey distributed through the City's newsletter could be completed
relatively quickly (by August) and inexpensively (less than $5,000). The combination of
the article along with the survey would also be advantageous from the perspective that
it would help to educate the community on the City's role in the franchise renewal process
and on the non-traditional types of cable uses the public may not be aware of (e.g., public
access programming), while measuring public opinion on cable issues.
A potential downside to the recommended approach relates to the length of the survey. i
Because the suggested survey is relatively short, it cannot provide the depth a lengthier
telephone survey could. As an example, a more comprehensive survey could generate
information by subgroups (e.g., households with incomes over$50,000 favor"x" services
while households with incomes under $50,000 favor 'y" services, etc.). In addition, a
survey distributed through the newsletter would not be considered statistically valid as it
would not represent a random sampling of the community. While these are valid
concerns, it ,is staff's opinion that, in combination with other public input plans, the
proposed survey will suffice.
Cable Focus Group
In an effort to further encourage public participation and help to ensure that the City's
cable franchise priorities reflect a balance of the community's desires, staff also
recommends that the City convene a cable focus group. As proposed, the focus group
would be composed of local individuals who represent such areas or groups as
education, business, seniors, the disabled, local public access programming, the public
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COUNCIL AGENDA REPORT
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Public Input on Franchise Agreement j
at large, etc. Staff envisions the focus group would be composed of 15 - 20
representatives (to keep it manageable) and appointments would be made by the City
Administrative Officer (the cable survey in the newsletter would serve as one source of
members for this group).
The purpose of the group would be to review the public, education, and government
cable access needs identified by the City's cable consultant (including the cable survey
results); identify any areas that may have been missed; and assist the City with setting
franchise priorities before entering negotiations with the cable company. Staff expects
that the focus group would meet once or twice during the franchise renewal process.
Efforts will be made in advance of the first meeting to familiarize members with cable
issues and possibilities.
ALTERNATIVES:
iObtain public input through a more in-depth telephone survey.
The cable consultant's original proposal included a telephone survey option to measure
community cable needs and customer satisfaction with the current cable operator at a
cost of$15,000. While the telephone survey is clearly a reasonable and viable approach,
staff does not recommend pursuing it. It is staffs opinion that the newsletter survey, in
combination with a focus group and consultant interviews, will adequately represent the
community's interests in the franchise renewal process at a significantly lower cost
($5,000 as opposed to $15,000).
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FISCAL IMPACT:
Approval of this recommendation will result in a total cost of approximately$5,000 ($4,000
in consultant costs to prepare, tabulate, and analyze the survey and $1,000 to cover
postage). Adequate monies are available in the Administrative Offices' budget to fund
these costs (the 1991-93 Financial Plan set aside $50,000 for consultant assistance with
the cable franchise renewal process of which approximately $18,000 is un-allocated to
date). It is also important to note that the City expects to seek full reimbursement from
the cable company for all consultant costs incurred with the during the renewal
proceedings.
ATTACHMENTS:
1. Newsletter Cable Survey
2. Contract with Telecommunications Management Corporation
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CITY OF SAN LUIS OBISPO
CABLE TELEVISION QUESTIONNAIRE
The City is beginning its cable television franchise renewal process. Your response to this questionnaire will
assist the City in negotiating for cable system features and services that are of most interest to the
community.
FOR CABLE NON-SUBSCRIBERS
1. Have you ever subscribed to cable service? Yes No
If yes: Was it in San Luis Obispo? Yes No
Was it in another community? Yes No
2. Why don't you subscribe now? _ Cost _ Not Interested
Other (please explain)
3. Under what conditions would you subscribe?
FOR CABLE SUBSCRIBERS
4. How satisfied are you with the current cable services, in terms of the following? Check one response
for each item.
Very Somewhat Somewhat Very
Satisfied Satisfied Dissatisfied Dissatisfied
Getting money's worth
Choice of programming
Quality of picture
Reliability of service
(picture outages)
Responsiveness of company
• Customer Service
• Telephone Response
Courtesy and Promptness
• Correction of Problems
Other (detail)
Attachment 1
5. What new services would you like to see in the future? Please check as many as are applicable, and
indicate the additional charge, if any, that you might be willing to pay.
Incremental Charge (per month)
0 Less than $1 $1-$2 $2-$5
Movies
Sports
Cultural Programs
Pay-Per-Vew Events — — —
City Council Meetings and
Other Local Events — — —
Local Educational Programs
Video Classified Ads
Stereo Audio
More Channels (All types) _
Other (detail):
6. For any renewed cable television franchise, please rate the following on a scale of 1 to 5 with 1 being
the highest priority and 5 being the lowest priority.
Quality of Service Rates (Federal law does not allow for cable rates to be
regulated.)
Choice of Programming Choice of Programming
Local Programming: Other:
City
Educational
Community
* * * * * * * * * * * * * * * * * * * * * * * * * *
Yes, I would be interested in participating in a Cable Focus Group for the City:
Name:
Address:
Telephone:
PLEASE RETURN THIS QUESTIONNAIRE BY 1992.
PROFESSIONAL SERVICES AGREEMENT
WITH TELECOMMUNICATIONS MANAGEMENT CORPORATION
TO CONDUCT A SURVEY OF CITY RESIDENTS REGARDING
CABLE TELEVISION ISSUES
This agreement, made this _ day of , 1992 by and between the CITY
OF SAN WIS OBISPO, California (hereinafter referred to as "City"), and
TELECOMMUNICATIONS MANAGEMENT CORPORATION (hereinafter referred to as
"Contractor').
WITNESSETH:
Whereas, the City desires assistance with conducting a survey to measure public
satisfaction with the City's cable television operator and identity public access needs;
and
Whereas, the City has determined that the Contractor is qualified to carry out the survey.
NOW, THEREFORE, in consideration of their mutual covenants, the parties hereto agree
as follows:
1. PROGRAM COORDINATION
A. it . The City Administrative Officer, or his designated representative, shall
be the Project Manager representing the City for all purposes under this
agreement. He shall supervise the progress and execution of this
agreement.
B. Contractor. Contractor shall assign a single Project Manager to have overall
responsibility for the progress and execution of this agreement for
Contractor. Carl Pilnick is hereby designated as the Project Manager for
Contractor. Should circumstances or conditions subsequent to the
execution of this agreement require a substitute Project Manager for any
reason, the Project Manager designee shall be subject to the prior written
acceptance and approval by City Project Manager.
2. DUTIES OF CONTRACTOR
A. Services to be furnished.
1. The Contractor will provide the services as described in Exhibit "1"
of this document.
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B. Laws to be observed by Contractor.
1. Procure all permits and licenses, pay all charges and fees, and give
all notices which may be necessary and incidental to the due and
lawful prosecution of the services to be performed by Contractor
under this agreement.
2. Keep itself fully informed of all existing and proposed federal, state
and local laws, ordinances, regulations, orders, and decrees which
may affect those engaged or employed under this agreement, any
materials used in Contractor's performance under this agreement,
or the conduct of the services under this agreement.
3. At all times observe and comply with and cause all of its employees
to observe and comply with all of said laws, ordinances, regulations,
orders, and decrees mentioned above.
4. Immediately report to the City's Project Manager in writing any
discrepancy or inconsistency it discovers in said laws, ordinances,
regulations, orders, and decrees mentioned above in relation to any
plans, drawings, specifications, or provisions of this agreement.
C. Copies of reports and information. If City requests additional copies of
reports, drawings, specifications, or any other materials in addition to what
the Contractor is required to furnish in limited quantities as part of the
services under this agreement, Contractor shall provide such additional
copies as are requested, and City shall compensate Contractor for the
costs of duplicating of such copies at Contractor's direct expense.
D. Qualifications of Contractor. Contractor represents that it is qualified to
furnish the services described under this agreement.
E. Notwithstanding any representations, oral or written, between parties,
including any and all agents or representatives thereof, Contractor of all
times covered by the terms of this agreement is acting as a free and
independent contractor, not as any agent of the City. Any and all
supervision and direction by any City official, department or body shall be
only that necessary to provide broad general outlines, and Contractor will
use its own initiative and discretion in performing the details of work herein.
F. All services provided by the Contractor listed within this agreement are in
addition and beyond those of any and all other contracts currently held
between the City and Contractor.
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3. DUTIES OF CITY
City agrees to cooperate with Contractor and to perform work described hereto
and incorporated by this reference.
4. COMPENSATION
City shall pay to CONTRACTOR A TOTAL OF $4,000 for providing services
described in Exhibit "1". Contractor will bill City for services upon completion of
work described in Exhibit "1".
5. TIME FOR COMPLETION OF THE WORK
Contractor will provide City with all services as described in Exhibit "1" by
September 30, 1992.
6. TEMPORARY SUSPENSION
The City Project Manager shall have the authority to suspend this agreement
wholly or in part, for such period as he deems necessary due to unfavorable
conditions or to the failure on the part of the contractor to perform any provision
of this agreement Contractor will be paid the compensation due and payable to
the date of temporary suspension.
7. SUSPENSION; TERMINATION
A. Right t�spend or terminate. ,The City retains the right to terminate this
agreement for any reason by notifying Contractor in writing sixty (60) days
prior to termination and by paying the compensation due and payable to
the date of termination; ff this agreement is terminated for fault of Contractor,
City shall be obligated to compensate Contractor only for that porton of
Contractor services which are of benefit to City. Said compensation is to
be arrived at by mutual agreement of the City and Contractor and should
they fail to agree, then an independent arbitrator is to be appointed"by
mutual agreement and his decision shall be binding upon the parties.
8. INSPECTION
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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 agreement. All work done and all materials
furnished, if any, shall be subject to the City's Project Manager's inspection and
approval. The inspection of such work shall not relieve'Contractor of any of its
obligations to fulfill its agreement as prescribed.
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9. NOTICE
All notices hereunder shall be given in writing and mailed, postage prepaid, by
Certified Mail, addressed as follows:
To Contractor: Telecommunications Management Corp.
5757 Wilshire Blvd., Suite 344
Los Angeles, CA 90036
Attention: Carl Pilnick
To City: City of San Luis Obispo
P. O. Box 8100
San Luis Obispo, CA 93403-8100
Attention: Deb Hossli, Administrative Analyst
10. INTEREST OF CONTRACTOR
Contractor covenants that it presently has no interest, and shall not acquire any
interest direct or indirect financial or otherwise, which would conflict in any manner
or degree with the performance of the services hereunder. Contractor further
covenants that, in the performance of this agreement, no subcontractor or person
having such an interest shall be employed. Contractor certifies that no one who
has or will have any financial interest under this agreement is an officer or
employee of the City. It is hereby expressly agreed that, in the performance of the
services hereunder, Contractor shall at all times be deemed an independent
contractor and not an agent or employee of the City.
11. INDEMNITY
Contractor hereby agrees to indemnify and save harmless City, its officers, agents,
and employees:
A. Any and all claims and demands which may be made against City; its
officers, agents or employees by reason of any injury to or death of any
person or corporation caused by any negligent act or omission of
Contractor under this agreement or of Contractor's employees or agents;
B. Any and all damage to or destruction of the property of City, its officers,
agents, or employees, occupied or used by or in the care, custody, or
control of Contractor, or in proximity to the site of Contractor's work, caused
by any negligent act or omission of Contractor under this agreement or of
Contractor;
C. Any and all claims and demands which may be made against City, its
officers, agents, or employees by reason of any injury to or death of or
damage suffered or sustained by any employee or agent of Contractor
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under this agreement, however caused, excepting, however, any such
claims and demands which are the result of the negligence or willful
misconduct of City, its officers, agents, or employees;
D. Any and all claims and demands which may be made against City, its
officers, agents, or employees by reason of any infringement or alleged
infringement of any patent rights or claims caused by the use of any
apparatus, appliance, or materials furnished by Contractor under this
agreement; and
E. Any and all penalties imposed or damages sought on account of the
violation of any law or regulation or of any term or condition of any permit,
when said violation of any law or regulation or of any term or condition of
any permit is due to negligence on the part of the Contractor.
Contractor, at its own costs, expense, and risk, shall defend any and all suits,
actions, or other legal proceedings that may be brought against or for employees
on any such claim or demand of such third persons, or to enforce any such
penalty, and pay and satisfy any judgement or decree that may be rendered
against City, its officers, agents, or employees in any such suit, action or other
legal proceeding, when same were due to negligence of the Contractor.
12. WORKERS COMPENSATION
Contractor certifies that it is aware of the provisions of the Labor Code of the State
of California, which require every employer to be insured against liability for
workers compensation or to undertake self-insurance in accordance with the
provisions of that code, and it certifies that it will comply with such provisions
before commencing the performance of the work of this agreement.
13. INSURANCE
Contractor shall provide proof of insurance in accordance with Insurance
Requirements for Consultants as described in Exhibit 2 attached hereto and
incorporated herein by reference as though here fully set forth..
14. AGREEMENT BINDING
The terms, covenants, and conditions of this agreement shall apply to, and shall
bind,the heirs,successors,executors, administrators, assigns,and subcontractors
of both parties.
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15. WAIVERS
The waiver by either party of any breach or violation of any term, covenant, or
condition of this agreement or of any provision, ordinance, or law shall not be
deemed to be a waiver of any subsequent breach of violation of the same or of
any other term, covenant, condition, ordinance, or law. The subsequent
acceptance by either party of any fee or other money which may become due
hereunder shall not be deemed to be a waiver of any preceding breach or violation
by the other party of any term, covenant, or condition of this agreement or of any
applicable law or ordinance.
16. COSTS AND ATTORNEY FEES
The prevailing party in any action between the parties to this agreement brought
to enforce the terms of this agreement or arising out of this agreement may
recover its reasonable costs and attorney's fees expended in connection with
such an action from the other party.
17. DISCRIMINATION
No discrimination shall be made in the employment of persons under this
agreement because of the race, color, national origin, ancestry, religion, sexual
orientation, or sex of such person.
If Contractor is found in violation of the nondiscrimination provisions of the State
of California Fair Employment Practices Act or similar provisions of federal law or
executive order in the performance of this agreement, it shall thereby be found in
material breach of this agreement. Thereupon, City shall have the power to cancel
or suspend this agreement, in whole or in part, or to deduct from the amount
payable to Contractor the sum of Twenty-Five Dollars ($25) for each person for
each calendar day during which such person was discriminated against, as
damages for said breach of contract, or both. Only a finding of the State of
California Fair Employment Practices Commission or the California Fair
Employment Practices Commission or the equivalent federal agency or officer
shall constitute evidence of a violation of contract under this paragraph.
If Contractor is found in violation of the nondiscrimination provisions of this
agreement or the applicable affirmative action guidelines pertaining to this
agreement, Contractor shall be found in material breach of the agreement.
Thereupon, City shall have the power to cancel or suspend this agreement, in
whole or in part, or to deduct from the amount payable to Contractor the sum of
Two hundred Fifty Dollars ($250) for each calendar day during which Contractor
is found to have been in such noncompliance as damages for said breach of
contract, or both.
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18. AGREEMENT CONTAINS ALL UNDERSTANDINGS
This document represents the entire and integrated agreement between City and
Contractor and supersedes all prior negotiations, representatives, or agreements
either written or oral. This document may be amended only by written instrument,
signed by both City and Contractor. All provisions of this agreement gire expressly
made conditions. This agreement shall be governed by the laws of the State of
California.
IN WITNESS WHEREOF, City and Contractor have executed this agreement on the day
and year first above written.
TELECOMMUNICATIONS MANAGEMENT CORP.
BY
Carl Pilnick, President '
CITY OF SAN LUIS OBISPO
John Dun , City Administrative Officer
APPROVED AS TO FORM:
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May 21 '92 15:53 TELECOMM. MGMT. TEL 213-931-7355 P. 2
413D>LELTMUNICAT'oSANA��� .
5757WI! • SuRe3losAngefes,Ce1
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ornia90036 (213)931-2600
May 21, 1992
Ms. Debbie HOssli
Administrative Analyst
City of San Luis Obispo
P.O.Box 8100
San Luis Obispo, CA 93403-8100
Dear Deb:
This will confirm our telephone conversation in which I
quoted a cost of $4,000 to support the City in a survey of
cable television subscribers to be conducted in conjunction
with a forthcoming issue of the City' s newsletter.
The scope of our work will include.:
I. Preparation of a survey questionnaire , approximately
one page in length, for insertion into the newsletter.
The questionnaire will focus upon the public's
interest in future cable services, as well as current
perceptions , so as to provide the City with guidance
on franchise renewal priorities. Some questions may
also be addressed tonon-subscribers, if the City
wishes, to determine what factors might influence
non-subscribers to subscribe . The questionnaire
will be submitted to the City within •ten days and
be modified, after City review, as appropriate.
2. Evaluation of .the responses to the questionnaire,
reflecting any consensus indicated and how the
responses may be translated into franchise renewal
priorities and objectives. The end-product will be
a written report including all data, conclusions and
recommendations .
The evaluation report will be submitted within three weeks
after we receive a copy of all of the survey responses.
Please let me know if you need any additional information
at this time.
Sincerely,
CARL K
Presidentdent EXHIBIT 1 d-11-/�
Exhibit
INSURANCE REQUIREMENTS FOR CONSULTANTS
Consullant 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 Consultant his agents,
representatives,employees.
Knimum Sao:* of Insurance
Coverage shall be at least as broad as:
1. Insurance Services O,fine Commercial General Uabliity coverage (occurrence form CG 0001).
2 Insurance Services Office form number CA 0001 (Ed. 1/M covering Automobile Uability, code 1 (any auto).
3. Workers'Compensation insurance as required by the Vale of California and Employer's Liability Insurance.
in theN �n. aY
Winimum Umlts of Insurance
Consultant shall maintain limits no less than:
1. General Uability. $1,000,000 per occurrence for bodily injury, personal injury and property damage. If Commercial
- General UabBlty or other form with a general aggregate limit is used, either the general aggregate fruit shall apply
separately to this projer/iocation or the general aggregate (unit shall be twice the required occurrence fimit.
2 Automobile UabiW.. $1,D00,DDD per accident for bodily injury and property damage.
3. Employer's Uabfgty. 51,000,000 per accident for bodily injury or disease.
Deductibles and SeNJnsured Retentions
Any deductibles or seB-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 Consularit 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 My. Its officers, officials,employees, agents and volunteers are to be covered as insureds as respects: fiabTrty
arising out of activities performed by or on behalf of the Consultant; products and completed operations of the
Consultant; premises owned, occupied or used by the Consultant; or automobiles owned, leased, hired or borrowed
by the Consuftant 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 Consultant's insurance coverage shall be primary insurance as respects the
City, its officers, oYcials,employees, agens and volunteers. Any insurance or self-insurance maintained by the City.
Its officers, officials, employees, agents or volunteers shag be excess of the Consultant's insurance and shall not
contribute with IL
3 Any failure to comply with reporting or other provisions of the policies including breaches of warranties shall not affect
coverage provided to the Cdy,its officers, officials, employees, agenu or volunteers.
4. The Consuftant's insurance shall appy separately to each insured against whom claim is made or suit Is brought except
with respect to the limits of the insurer's liability.
S Each insurance policy required by this clause shall be endorsed to sate that coverage shag not be suspended,voided,
cancelled by either party,reduced In coverage or In Timis except after thirty (30)days'prior written notice by certified
mail, return receipt requested, has been given to the City.
AcceMbillly of Insurers
Insurance is to be placed with Insurers with a current Aid. Best's rating of no less than A:VIL
Verfilcation of Coverers
Consultant shag furnish the City with original endorsements effecting coverage required by this clause. The endorsements are
to be signed by a person authorbed by that insurer to bind coverage on Its behalf. All endorsements are to be received and
approved by the City before work commences.
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