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Resolution No. 8688 , . ,l 1 2 3 4 5 6 RESOLUTION NO. 8688 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF VERNON APPROVING AND AUTHORIZING THE EXECUTION OF AN EQUIPMENT PURCHASE CONTRACT BY AND BETWEEN THE CITY OF VERNON AND SCHWEITZER ENGINEERING LABORATQRIES, INC. REGARDING THE MALBURG GENERATING STATION , PROJECT 7 WHEREAS, the Vernon Light and Power Department needs new 8 equipment to be used with the 7kV switchgear to upgrade its existing 9 relay communication equipment at the Power Plant's Station A to 10 facilitate the commissioning process of the Malburg Generating Station 11 Project and the increased outlay of consumable energy; .and 12 WHEREAS, Matzinger-Keegan, Inc., the exclusive Southern 13 California distributor for Schweitzer Engineering Laboratories, Inc. 14 ("Schweitzer"), submitted a Quotation dated February 16, 2005; and 15 WHEREAS, on March 2, 2005, the Finance Committee considered 16 the recommendation of Bruce V. Malkenhorst, Director of Finance, dated 17 February 17, 2005, that an agreement be approved and executed for the 18 relay equipment; and 19 WHEREAS, the City Council of the City of Vernon has 20 determined that, pursuant to the provisions of subsection (a) of 21 Section 2.27 of the Vernon City Code, it is in the public interest and 22 necessity to enter into an agreement with Schweitzer. 23 NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE 24 CITY OF VERNON AS FOLLOWS: 25 SECTION 1: The City Council of the City of Vernon hereby 26 finds and determines that the recitals contained hereinabove are true 27 and correct. 28 SECTION 2: The City Council of the City of Vernon hereby 18 19 20 21 22 23 24 25 26 27 28 '. t' 1 approves the Equipment Purchase Contract, in substantially the same 2 form as the copy which is attached hereto as Exhibit A and 3 incorporated by reference. 4 SECTION 3: The City Council of the City of Vernon hereby 5 authorizes the Mayor to execute said Agreement for, and on behalf of, 6 the City of Vernon and the City Clerk is hereby authorized to attest 7 thereto. 8 SECTION 4: The City Council of the City of Vernon hereby 9 directs the City Clerk, or his designee, to send one fully executed 10 Agreement to: 11 12 13 14 Schweitzer Engineering Laboratories, Inc. Attn. Kim Bielenberg 2350 NE Hopkins Court Pullman, WA 99163-5603 SECTION 5: The City Clerk of the City of Vernon shall 15 certify to the passage of this Resolution, and thereupon and 16 thereafter the same shall be in full force and effect. 17 APPROVED AND ADOPTED this 2nd day of March, 2005. ATTEST: ~/~ BRUCE V. MALKENHORST, City Clerk ~~Y' /" EONIS C. M BURG, Mayor - 2 - .' '. .. 1 STATE OF CALIFORNIA ss 2 COUNTY OF LOS ANGELES 3 4 I, BRUCE V. MALKENHORST, City Clerk of the City of Vernon, do 5 hereby certify that the foregoing Resolution, being Resolution No. 6 8688, was duly adopted by the City Council of the City of Vernon at a 7 regular meeting of the City Council duly held on Wednesday, March 2, 8 2005, and thereafter was duly signed by the Mayor of the City of 9 Vernon. 10 11 ,/ --~~ BRUCE V. MALKENHORST, City Clerk 12 (SEAL) 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 - 3 - EXHIBIT A " EOUlPMENTPURCHASECONTRACT THIS EQUIPMENT PURCHASE CONTRACT (this "Contract") is made, entered into and executed in duplicate originals, either copy of which may be considered and used as the original hereof for all purposes, as of this 2nd day of March, 2005, in the City of Vernon, County of Los Angeles, State of California BY AND BETWEEN THE CITY OF VERNON (hereinafter referred to as "City") 4305 Santa Fe Avenue Vernon, CA 90058 AND SCHWEITZER ENGINEERING LABORATORIES, INC. (hereinafter referred to as "Schweitzer") 2350NE Hopkins Court Pullman, WA 99163-5603 RECITALS Vernon community; and WHEREAS, Schweitzer, through Matzinger-Keegan, Inc., its exclusive Southern California distributor, has prepared a Quotation dated February 16, 2005 for the Relay Equipment, a copy of which is attached hereto as Exhibit A and incorporated by this reference ("the Proposal"); and WHEREAS, Schweitzer represents that it is qualified and capable of furnishing the labor, materials and expertise necessary to furnish the Relay Equipment that the City requires, as set forth in this Contract and the Proposal and is willing to do so on the terms and -conditions set forth below; and 1 " .' WHEREAS, the City desires to enter into an agreement with Schweitzer to provide for the Relay Equipment, as defined below, on the terms and conditions set forth below. NOW, THEREFORE, THE PARTIES AGREE AS FOLLOWS: 1. Purchase and Sale of the Relay Equipment. 1.1 Relay Equioment. Schweitzer shall sell and deliver, and the City shall purchase the Relay Equipment described in the Proposal. In the event of a conflict between the terms of this Contract and the Proposal, the terms of this Contract shall control. 1.2 Delivery. Schweitzer shall obtain, sell and deliver the Relay Equipment at the City of Vernon, F.O.B. Job Site. Schweitzer is responsible for all costs of full freight, including insurance, to Job Site. Risk ofloss shall pass to the City upon delivery F.O.B. Job Site. 2. Time of Performance. Schweitzer shall commence and complete the delivery of the Relay Equipment as follows: 2.1 Time Schedule. Schweitzer shall begin to obtain the Relay Equipment upon the later of the full execution of this Contract and the City's issuance of a Purchase Order (the "Commencement Datett). Schweitzer shall complete delivery of the Relay Equipment no later than six (6) weeks from the Commencement Date (the "Delivery Timett). Unless performance is excused, as set forth in Paragraph 2.2, Schweitzer's failure to deliver the Relay Equipment within the Delivery Time shall constitute a material default of this Contract; and, among other remedies available to it, the City shall have the option of terminating this Contract. 2.2 Force Majeure. Neither party shall be considered to be in default in any of its obligations under this Contract when a failure of performance shall be due to an uncontrollable force. The term "uncontrollable force" shall mean any cause beyond the control of the party affected, including, but not restricted to, flood, earthquake, storm, fire, lightening, epidemic, war, riot, civil disturbance or disobedience, federal, state, or municipal action, statute, ordinance, or regulation, embargoes of the United States Government or any other government, which by exercise of due diligence such party could not reasonably have been expected to avoid and by exercise of due diligence has been unable to overcome. Either party rendered unable to fulfill any of its obligations under this Contract by reason of an uncontrollable force shall give written notice within five (5) business days of such fact to the other party and shall exercise due diligence to remove such inability with all reasonable dispatch. The Delivery Time shall be extended by Change Order by the number of days of delay caused by the uncontrollable force, as the City may reasonably determine. An extension of the 2 " .' Delivery Time by reason of an uncontrollable force shall not justify extra compensation for Schweitzer for administrative or other costs or expenses; provided, however, that if the time for achieving delivery is materially extended by reason of uncontrollable force through no fault of Schweitzer, Schweitzer shall be entitled to an increase in the Contract Sum, but only in any amount equal to the increase in Schweitzer's direct cost resulting from such delay. 3. Contract Sum. The purchase price for the Relay Equipment is a sum of not to exceed Forty-Nine Thousand Four Hundred Sixty-Four Dollars and Eighty-Four Cents ($49,464.84), tax included (the "Contract Sum"). 4. Payment Terms. 4.1 Payment. One hundred percent (100%) of the Contract Sum shall be paid within thirty (30) days after (a) the City's receipt and approval of the Relay Equipment and (b) the City's receipt of an invoice in a form reasonably acceptable to the City from Schweitzer. Invoices shall contain an itemization of services rendered and other directly related job expenses and subcontract charges incurred by Schweitzer and for which compensation is due. Schweitzer shall be responsible for paying any subcontractors used in the performance of this Agreement. Subcontractors shall not bill the City directly. Payment of the invoice shall be made after acceptance and approval by the City within thirty (30) days of receipt. The City's approval of the invoice shall not be unreasonably withheld. 4.2 Billings for Change Orders. Any billings for Change Orders, as defined in Paragraph 7 below, must be billed by separate invoice, with _a copy of the applicable Change Order signed by the City attached to the invoice. 4.3 Payment Holds. Notwithstanding anything to the contrary contained herein, the City shall not be obligated to make any payment to Schweitzer if Schweitzer is in default of any of its obligations under this Contract; any portion of the Relay Equipment is defective or not in accordance with the terms of this Contract (provided, however, that payment shall be made as to any portion of the Relay Equipment that is acceptable to the City); or the conditions required for payment as set forth in Paragraph 4.1 above have not been satisfied. 4.4 Pavrnent is Not Acceptance, Neither payment by the City nor use of the Relay Equipment by the City shall constitute an acceptance of any Relay Equipment not in accordance with the terms of this Contract. 3 " 5. Schweitzer's Representations. Warranties. and Covenants. 5.1 Capability. Schweitzer represents to the City that it is qualified, willing, and able to obtain, sell, and deliver the Relay Equipment. 5.2 Assignment of Warranties: Delivery of Documentation. Schweitzer shall assign to the City at the time of the Relay Equipment delivery all manufacturers' warranties and Schweitzer shall assemble and deliver to the City complete copies of all warranties, guaranties, and operating and maintenance data and all other documentation from all manufacturers pursuant to this Contract. 5.3 Compliance with Law. Schweitzer shall strictly observe and comply with all applicable federal, state, and local laws, ordinances, and regulations governing the sale and delivery of the Relay , Equipment, including, but not limited to any permit or license requirements of the United States Department of Commerce. 5.4 Authorizations. Schweitzer is authorized to do business in California and properly licensed and registered by all governmental authorities having jurisdiction over it. 5.5 Title to City. Schweitzer warrants that title to Relay Equipment will pass to the City either by incorporation in the construction or upon the receipt of payment by Schweitzer, whichever occurs first, free and clear of all liens, claims, security interests or encumbrances, and that no seller of any Relay Equipment or any portion thereof will retain an interest therein or an encumbrance thereon. 5.6 Payments to Third Parties. Schweitzer shall promptly pay all bills for labor and materials furnished by others in connection with this Contract. 5.7 Warranty. 5.7.1 Schweitzer's Warranties. Schweitzer warrants that all Relay Equipment will be new and free from defects in materials and workmanship, comply with the specifications provided by the manufacturers, be of good quality and merchantability, and fit for their intended purposes, and conform to all applicable governmental regulations, statutes, and ordinances. Any Relay Equipment not conforming to these requirements, including substitutions not properly approved and authorized, may be considered defective. In the event that the test results obtained by either Schweitzer or the City reveals that any portion of the Relay Equipment does not meet the City's specifications or the City identifies any defects in or damage to the Relay Equipment, Schweitzer shall promptly repair or replace any defective Relay Equipment; provided, however, that if, in the City's reasonable discretion, the quantity or quality of the defects are substantial, the City shall have 4 '. the option of rejecting the entire shipment of Relay Equipment from that vendor, and obtaining another vendor to provide that Relay Equipment. Schweitzer shall be responsible for all direct and indirect costs that may be incurred by the City in connection with the rejection and/or replacement of damaged or defective Relay Equipment, including any and all damages caused to the City's existing equipment, storage and/or system and the Vernon Substation or the Malburg Project by the use of defective Relay Equipment provided by Schweitzer. 5.7.2 Manufacturers' Warranties. Schweitzer shall obtain for the benefit of the City, and assign to the City, commercially reasonable manufacturers' warranties, which shall commence for a period often (10) years from the date the City receives the Relay Equipment under this Contract or the City's acceptance of the Relay Equipment being purchased hereunder, whichever occurs first. Schweitzer shall assist the City in the enforcement of all such warranties. 5.7.3 Warranty Period. Schweitzer, at its cost, shall promptly repair or replace or cause the manufacturer to repair or replace (provided, however, that the City shall cooperate in working with the manufacturers if the warranties have been assigned to the City) Relay Equipment rejected by the City as defective or as failing to conform to this Contract if reported to Schweitzer within the Warranty Period. The Warranty Period shall be the period of (a) ten (10) years from the date of Relay Equipment being delivered hereunder or from the date of the City's acceptance of the Relay Equipment being purchased hereunder, whichever occurs first; or (b) such longer period of time as may be prescribed by law or by the terms of the applicable manufacturers' warranty. The City shall give such notice promptly after discovery of a defective condition. A new ten year Warranty Period shall commence for replaced Relay Equipment on the date the replacement was made. Schweitzer's obligations hereunder shall include the obligation to repair any damage to other property caused by the defective Relay Equipment or the repair thereof. Schweitzer shall indemnify the City from and hold the City harmless against any and all claims, liabilities, liens, damages, losses, costs, and expenses, including reasonable attorneys' fees and all costs of defense, arising out of or relating (a) to any such Relay Equipment found to be defective or not in accordance with this Contract, or (b) the correction of any such Relay Equipment. The foregoing representations, warranties, covenants, and agreements shall survive any te~ination of this Contract and final completion of the delivery of the Relay Equipment and are in addition to, and not in lieu of, any and all other liability imposed upon Schweitzer by law with respect to Schweitzer's duties, obligations and performance hereunder. 5 " 6. Indemnification. 6.1 Schweitzer's Indemnity. To the fullest extent permitted by law, Schweitzer shall defend, indemnify and hold harmless City and its elected officials, officers, agents and employees from all claims, suits, actions, demands, damages, liabilities, expenses, judgments, settlements and penalties, losses, fines, and all costs and expenses incurred in connection therewith, including reasonable attorneys' fees and all costs of defense, arising out of or attributable to the negligent or wrongful acts of Schweitzer or its employees or agents in the delivery of Relay Equipment under this Contract, except to the extent arising from or caused by the sole negligence or willful misconduct of the City, its officers, agents or employees. The terms of this indemnity shall survive the termination of this Contract. The obligations in this Paragraph are in addition to Schweitzer's duty to provide insurance and shall not be limited by any limitation on the amount or type of insurance coverage carried by Schweitzer. 6.2 Indemnity Process. The City shall notify Schweitzer in writing of any suits, claims or demands covered by this indemnity. Promptly after receipt of such notice, Schweitzer shall assume the defense of such claim with counsel reasonably satisfactory to City. If Schweitzer fails, within a reasonable time after receipt of such notice, to assume the defense with counsel reasonably satisfactory to City, or if, in the reasonable judgment of City, a direct or indirect conflict of interest exists between the parties with respect to the claim, or if in the sole judgment of City the assumption and conduct of the defense by Schweitzer would materially and adversely affect City in any manner or prejudice its ability to conduct a successful defense, then the City shall have the right to undertake the defense, compromise and settlement of such claim for the account and at the expense of Schweitzer. Notwithstanding the above, if the City in its sole discretion so elects, City may also participate in the defense of such actions by employing counsel at its expense, without waiving the City's obligations to indemnify or defend. Schweitzer shall not settle or compromise any claim or consent to the entry of any judgment without the prior written consent of the City and without an unconditional release of all liability by each claimant or plaintiff to the City. 7. Change Orders. The City reserves the right to make additions to or deletions from the Relay Equipment being purchased under this Contract. All such changes shall be incorporated in written change orders executed by the City. The Change Orders shall specify the changes ordered and the adjustment of prices, delivery schedules and warranties. Any Relay Equipment or services added to this Contract under a Change Order shall be subject to all of the terms and conditions of this Contract, except as otherwise set forth in the 6 '. .' Change Order. No claim for additional compensation or extension of time shall be valid or recognized unless contained in a Change Order signed by the Chief Executive Officer of the Light & Power Department. 8. Termination of the Contract. 8.1 Right of Termination. This Contract may be terminated by the City, with or without cause, upon at least fifteen (15) calendar days' written notice delivered to Schweitzer. 8.2 Termination bv City Without Cause. In the event of termination by the City without cause, Schweitzer shall be compensated for all Relay Equipment delivered prior to the date of delivery of the termination notice, plus compensation for (i) necessary work performed during the notice period and authorized in the termination notice, and (ii) all costs reasonably and necessarily incurred by Schweitzer directly attributable to termination which could not reasonably have been avoided and for which Schweitzer is not otherwise compensated that are incurred through the date of the termination and in effectuating the termination (the "Termination Expensestt). Termination Expenses shall not include lost profits, lost opportunities, consequential damages, or the like. 8.3 Termination by the City for Cause or by Schweitzer without Cause. If Schweitzer breaches this Contract, the City shall notify Schweitzer in writing of said breach and if Schweitzer has not cured or begun reasonable efforts to cure within fifteen (15) calendar days of delivery of said notice, and fails to diligently pursue corrective action, the City shall have the right to cancel this Contract on the 15th day following delivery of notice to Schweitzer for cause. Schweitzer shall be responsible for all direct and indirect costs due to the City's re-procurement of the equivalent of the Relay Equipment cancelled pursuant to this Paragraph 8.3. If this Contract is terminated by the City with cause, or terminated by Schweitzer without cause, the City shall pay Schweitzer for all Relay Equipment delivered prior to the date of delivery of the termination notice, subject to the right of the City to withhold such unpaid amounts pending resolution of damages incurred by the City as a result of Schweitzer's default and for any reason described as a justification for a payment hold as set forth in Paragraph 4.3. 8.4 Actions Subsequent to Termination. Following the termination date, regardless of whether the Contract is terminated with or without cause, and subject only to the payments described in Paragraphs 8.2 or 8.3, as applicable, the City shall have no further duties, liabilities or obligations whatsoever under this Contract. Upon a termination of this Contract, except for its obligations under Paragraph 12.5 below, Schweitzer shall have no further rights, duties, liabilities or obligations whatsoever under this Contract. 7 " " Notwithstanding anything in this Contract, including the foregoing, to the contrary, Paragraphs 5, 6, 8, 9, 10, 11.2, 11.3, 11.4, 11.5 and 11.12 shall survive the termination ofthis Contract. 8.5 Delivery of Work Product and Documentation. Within three (3) business days after any termination of this Contract, Schweitzer shall deliver to the City all Work Product (as defined in Paragraph 9) and all Documentation (as defined in Paragraph 4.1) pertaining to this Contract and any and all copies thereof, whether in the possession of Schweitzer or a party engaged by Schweitzer; provided, however, that solely for its internal auditing purposes, Schweitzer may, at its sole expense, make and retain copies of Work Product materials, subject to the confidentiality provisions of Paragraph 10. Schweitzer shall also furnish all such information, take all such other action and shall cooperate with the City as the City shall reasonably require in order to effectuate an orderly and systematic termination of Schweitzer's duties and activities hereunder. 9. Work Product. All [mished or unfinished documents, plans, designs, drawings, data, databases, studies, surveys, maps, models, photographs, reports and other materials, in whatever form or medium, prepared by or for Schweitzer, its officers, employees, agents in the course of performing the obtaining, delivering, and selling to the City the Relay Equipment sold under this Contract (collectively, the "Work Product"), but 'excluding working notes and internal documents, shall be the property of City, and City shall have the sole right to use such materials in its discretion without further compensation to Schweitzer or to any other party. Work Product materials shall be delivered to City by Schweitzer as they are generated. 10. Confidential Information. 10.1 Access to Confidential Information. The City may provide Schweitzer or allow Schweitzer access to certain information not available to the public concerning the City or businesses located in the City. The information may include information regarding companies located in the City, tax information, utility usage, and information concerning various company's sales, value of assets, or other confidential information about companies dealing with the City. All such non-public information shall be known as "Confidential Information" and may not be by Schweitzer for any purpose other than to perform its duties hereunder. 10.2 No Disclosure. Except as expressly permitted by prior written consent of the City, Schweitzer shall not disclose, permit the disclosure of, release, disseminate, or transfer, whether orally or by any other means, any part of such Confidential Information to any other person or entity, without the express prior written consent of an authorized representative of the City. Schweitzer shall return any written Confidential 8 .' '. Information and all copies made of such items to the City upon the City's written request, but in any event not later than the date that Schweitzer has delivered all Relay Equipment to be delivered pursuant to this Contract. Schweitzer hereby agrees that such Confidential Information and any documents provided may be used by Schweitzer only as authorized by the City. 10.3 Court Ordered Disclosure. Schweitzer shall immediately notify the City of any court order or subpoena requiring disclosure of Confidential Information, and shall cooperate with the City's legal counsel in responding to any such order or subpoena. Schweitzer may only disclose Confidential Information required to be disclosed pursuant to court order or subpoena after legal counsel has exhausted any lawful and timely appeal or challenge. lOA Exceptions to Confidentiality. The foregoing obligations shall not apply to any Confidential Information lawfully in Schweitzer's possession prior to its acquisition from the City; received in good faith from a third party not subject to any confidential obligation to the City; or that now is or later becomes publicly known through no breach of confidential obligation by Schweitzer. 10.5 Remedies. In addition to any other remedies that it may have at law or in equity, the City shall be entitled to a temporary and permanent injunction by a court of competent jurisdiction against any breach or threatened breach of any of the provisions of this Paragraph 10. Schweitzer acknowledges that in case of such breach or threatened breach of said provisions, the City would have no adequate remedy at law, and the City shall not be required to post a bond or other security or to prove damages. 1 1. General Provisions. 11.1 Entire Agreement. This Contract, with Exhibits A and B, each of which is attached hereto and incorporated herein by this reference, represents the entire and integrated agreement between the parties hereto, and supersedes and replaces all prior and contemporaneous negotiations, representations, discussions, or agreements between the parties related to the matters set forth in this Contract. This Contract may be amended or modified only by a written amendment signed by the parties. 11.2 Forum Selection. Any action brought relating to this Contract shall be brought and held exclusively in a Court in or serving the County of Los Angeles, California. 11.3 Arbitration. The parties agree that any and all disputes arising out of or in relation to this Agreement, including without limitation any action in tort, shall be resolved exclusively, finally and conclusively by arbitration in Los Angeles County, California under the auspices of and pursuant to the rules of 9 .' " the Judicial Arbitration & Mediation Services Inc. (JAMS). Each party will select an arbitrator. Those two arbitrators will then select a third. The three member panel will make the fmal decision. All decisions of the arbitrators shall be in writing, and the arbitrators shall provide written reasons for their decision. The arbitration decision shall be final and binding on the parties. Notwithstanding the foregoing, the parties shall be permitted to access the court system to enforce any arbitration award or to obtain injunctive relief. The exclusive jurisdiction and venue for any such action shall be the Superior Court of California, Los Angeles County. 11.4 Attorneys' Fees. If either party institutes an action or legal proceeding arising out of or related to this Contract or the relationship of the parties or their rights or duties in connection with the matters set forth in this Contract, whether sounding in tort, contract, or otherwise, the prevailing party in such action or proceeding shall be entitled to recover from the other party all costs and expenses, including all costs and reasonable attorneys' fees, in addition to any other remedy awarded by the court. 11.5 Notices. All notices required or permitted by this Contract shall be in writing and may be delivered in person (by hand or by messenger or courier service) or may be sent by certified or registered mail, return receipt requested, or by facsimile transmission during normal business hours, if delivery is confirmed and provided a copy is also delivered via delivery or mail, and shall be deemed effective upon delivery or refusal to accept delivery, if served in a manner specified in this Paragraph 11.4 to the recipient as set forth below. If a notice is delivered on a Saturday, Sunday, or holiday, it shall be deemed delivered on the next business day. Notices to the parties shall be sent to the addresses set forth below, or such other address as is provided by <;me party to the other in writing. If there is any change in a party's address, that party shall give notice, in writing, to the other party indicating the address change within five (5) business days. CITY: THE CITY OF VERNON Attn: Bruce V. Malkenhorst City Administrator 4305 Santa Fe Avenue Vernon, CA 90058-0805 SCHWEITZER: SCHWEITZER ENGINEERING LABORATORIES, INe. 2350 NE Hopkins Court Pullman, W A 99163-5603 Attn: Kim Bielenberg 10 .' " 11.6 Status of Schweitzer. At all times during the term of this Contract, Schweitzer shall be an independent contractor. Except as the City may specify in writing, Schweitzer shall have no authority, express or implied, to act on behalf of the City in any capacity whatsoever as an agent. Schweitzer shall have no authority, expressed or implied, pursuant to this Contract to bind the City to any obligation whatsoever. 11.7 Insurance. Schweitzer agrees to provide insurance in the amounts and forms specified in Exhibit B, which is attached hereto and incorporated by reference. Schweitzer shall submit to the City documentation indicating compliance with these minimum requirements no less than one (l) day prior to the beginning of performance under this Contract. Schweitzer shall not commence performance of its work under this Contract until the above insurance has been obtained and proof of insurance has been filed with and approved by the City, Schweitzer shall not permit a subcontractor or vendor to perform work on City premises unless and until a certificate of insurance is obtained showing that such subcontractor or vendor has worker's compensation coverage. Schweitzer employs subcontractors as part of the services rendered, Schweitzer's protective coverage is required. Schweitzer may include all subcontractors as insureds under its own policy or shall furnish separate insurance for each subcontractor, meeting the requirements set forth herein. Il.8 Operations Manager. The City's Operation Manager is Manuel G. Garcia. The City reserves the right, in the City's sole discretion, to replace Mr. Garcia as the City's Operations Manager upon notice to Schweitzer. 11.9 Assignment and Subcontracting Prohibited. No party to this Agreement may assign or subcontract any right or obligation pursuant to this Agreement except with the express written consent of the other party. Any other attempted or purported assignment of any right or obligation pursuant to this Agreement shall be void and of no effect. 11.10 Partial Invalidity. Wherever possible, each provision hereof will be interpreted in such manner as to be effective and valid under applicable law, but in case anyone or more of the provisions contained herein is held by a court of competent jurisdiction to be invalid, illegal or unenforceable in any respect, such provision will be limited to the extent required to make such provision valid and enforceable, and if necessary, severed from this Contract. All other terms and conditions shall remain in full force and effect. Il.Il Time of the Essence. Time is of the essence in the performan,ce of this Contract. II .. " 11.12 Rights and Remedies. The City's rights and remedies under the Contract are cumulative with and in addition to all other legal and equitable rights and remedies which the City may have under applicable law. IN WITNESS WHEREOF, the parties have caused this Contract to be executed by and through their authorized officers on the date, month and year first written above. CITY OF VERNON By: LEONIS C. MALBURG, Mayor ATTEST: Bruce V. Malkenhorst, City Clerk APPROVED AS TO FORM Eric T. Fresch, City Attorney SCHWEITZER ENGINEERING LABORATORIES, INC. By: Typed Name: Title: By: Typed Name: Title: 12 EXHIBIT A (')(1)"'0 -0 (')- ::rCD 3:~f}l SlI CD CD [F:f3 ~ C'O 0) .... 7\ CDmCD 7 ~ 0 ~ee a lB s ~ C'O CIl SlI ~ 0 ~ :i' S- ee- r-~ SlI C" o DJ r+ o .... (ii" !l S" S'>> .. )>m"'Oz 2:~CDO ;:;:::r0)-I (5"..,~m :::J CD _. 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J' ~, I \~ ~~ '. ~ r\ ~ :1"~ , ',,> o '"1 I ~ .-.. >VlC/JO ;x:ot71o ~ ~;J ~Wl"",",, oW""Co.. \OO\s:::t71 "-' I ::::~. w~s("') ~~~& I tv? 0 -.......) !-h \0 ~7S ~ >Q C'.l s ~ ~ ~ ~ ~. ~ ~ ~ ~ ~ ~ ~ s ...... ..... ~ ~ o '"1 I I 0(\. \1 ,. "I c .,' I c ~ . ~ 4: 4: ( !. 0- f" ~ CI ~ ~ G tv o ...., w - EXHIBIT B .. EXHIBIT B - , ". INSURANCE SCHEDULE Schweitzer shall provide proof of insurance, including a standard certificate of insurance, in at least the following amounts and coverage (combined single limit permitted): I. Coverage and Limits Bodily Iniury Property Damage Each Person Each Accident Each Accident Hazards Automobile Liability Owned Automobiles Hired Automobiles Non-Owned Automobiles VVorkers'Compensation Employers' Liability $ 500,000 $ 500,000 $ 500.000 $ Statutory $1.000.000 per employer II. Liability General Liability Premises Operations Independent Contractor Products - Completed Operations Contractual Liability Umbrella Liability $1,000,000 $1,000,000 $1,000,000 $1,000,000 $ 1.000.000 $2.000.000 $1,000,000 $1,000,000 $1.000.000 $2,000,000 $2,000,000 $2,000,000 $2,000,000 $2.000.000 $2.000.000 $ 500,000 $ 500,000 $ 500.000 $1,000,000 $1,000,000 $1,000,000 $1,000,000 $1.000.000 $2.000.000 a. The general liability policy shall contain the following special endorsements which shall be noted on or attached to the standard certificate of insurance: 1. An endorsement naming the City of Vernon, its officers, and employees as additional insureds under the policy. 2. An endorsement providing the City of Vernon thirty (30) days notice of cancellation or material reduction of coverage. 3. An endorsement providing coverage for all operations under this Agreement. 4. Such other endorsement as may be required by City. b. In addition to the above, the Consultant shall provide such further proof of insurance documentation as the City deems necessary. EXHIBIT "B" SUPPORTING DOCUMENTS 1 EQUIPMENT PURCHASE CONTRACT THIS EQUIPMENT PURCHASE CONTRACT (this "Contract") is made, entered into and executed in duplicate originals, either copy of which may be considered and used as the original hereof for all purposes, as of this 13th day of June, 2005, in the City of Vernon, County of Los Angeles, State of California BY AND BETWEEN AND THE CITY OF VERNON (hereinafter referred to as "City") 4305 Santa Fe Avenue Vernon, CA 90058 SCHWEITZER ENGINEERING LABORATORIES, INC. (hereinafter referred to as "Schweitzer") 2350 NE Hopkins Court Pullman, W A 99163-5603 RECITALS WHEREAS, the City's Light & Power Department is requesting the purchase of seven (7) Schweitzer Communication Processors with 2701 card, DNP TCPIIP ready, & 2RJ-45 ports, four (4) Schweitzer Ethernet 2701 lOX Cards w/DNP3 TCPIIP ready and 2RJ-45 ports and two (2) Schweitzer DNP3 TCP/IP firmware upgrades for 2701 card for existing SEL-2030s (collectively the "Relay Equipment''), to be used with the 7kV switchgear at the Power Plant's Station A in order to facilitate the commissioning process at the Malburg Generating Station; and WHEREAS, the City desires to purchase the Relay Equipment to upgrade the existing equipment to handle the additional outlay of consumable energy, protect the City's power system and to improve the effectiveness of its operation and enhance the services provided to citizens, residents and businesses within the Vernon community; and WHEREAS, Schweitzer, through Matzinger-Keegan, Inc" its exclusive Southern California distributor, has prepared a Quotation dated February 16, 2005 for the Relay Equipment, a copy of which is attached hereto as Exhibit A and incorporated by this reference (''the Proposal"); and WHEREAS, Schweitzer represents that it is qualified and capable of furnishing the labor, materials and expertise necessary to furnish the Relay Equipment that the City requires, as set forth in this Contract and the Proposal and is willing to do so on the terms and conditions set forth below; and 1 WHEREAS, the City desires to enter into an agreement with Schweitzer to provide for the Relay Equipment, as defined below, on the terms and conditions set forth below. NOW, THEREFORE, THE PARTIES AGREE AS FOLLOWS: 1. Purchase and Sale of the Relay Equipment. 1.1 Relay Equipment. Schweitzer shall sell and deliver, and the City shall purchase the Relay Equipment described in the Proposal. In the event of a conflict between the terms of this Contract and the Proposal, the terms of this Contract shall control. 1.2 Delivery. Schweitzer shall obtain, sell and deliver the Relay Equipment at the City of Vernon, F.O.B. Job Site. Schweitzer is responsible for all costs offull freight, including insurance, to Job Site. Risk ofloss shall pass to the City upon delivery F.O.B. Job Site. 2. Time of Performance. Schweitzer shall commence and complete the delivery of the Relay Equipment as follows: 2.1 Time Schedule. Schweitzer shall begin to obtain the Relay Equipment upon the later of the full execution of this Contract and the City's issuance ofa Purchase Order (the "Commencement Date"). Schweitzer shall complete delivery of the Relay Equipment no later than six (6) weeks from the Commencement Date (the "Delivery Time"). Unless performance is excused, as set forth in Paragraph 2.2, Schweitzer's failure to deliver the Relay Equipment within the Delivery Time shall constitute a material default of this Contract, and, among other remedies available to it, the City shall have the option oftenninating this Contract. 2.2 Force Majeure. Neither party shall be considered to be in default in any of its obligations under this Contract when a failure of performance shall be due to an uncontrollable force. The term "uncontrollable force" shall mean any cause beyond the control of the party affected, including, but not restricted to, flood, earthquake, storm, fire, lightening, epidemic, war, riot, civil disturbance or disobedience, federal, state, or municipal action, statute, ordinance, or regulation, embargoes of the United States Government or any other government, which by exercise of due diligence such party could not reasonably have been expected to avoid and by exercise of due diligence has been unable to overcome. Either party rendered unable to fulfill any of its obligations under this Contract by reason of an uncontrollable force shall give written notice within five (5) business days of such fact to the other party and shall exercise due diligence to remove such inability with all reasonable dispatch. The Delivery Time shall be extended by Change Order by the number of days of delay caused by the uncontrollable force, as the City may reasonably determine. An extension of the 2 Delivery Time by reason of an uncontrollable force shall not justify extra compensation for Schweitzer for administrative or other costs or expenses; provided, however, that ifthe time for achieving delivery is materially extended by reason of uncontrollable force through no. fault of Schweitzer, Schweitzer shall be entitled to an increase in the Contract Sum, but only in any amount equal to the increase in Schweitzer's direct cost resulting from such delay. 3. Contract Sum. The purchase price for the Relay Equipment is a sum of not to exceed Forty-Nine Thousand Four Hundred Sixty-Four Dollars and Eighty-Four Cents ($49,464.84), tax included (the "Contract Sum"). 4. Payment Terms. 4.1 Payment. One hundred percent (100%) of the Contract Sum shall be paid within thirty (30) days after (a) the City's receipt and approval of the Relay Equipment and (b) the City's receipt of an invoice in a form reasonably acceptable to the City from Schweitzer. Invoices shall contain an itemization of services rendered and other directly related job expenses and subcontract charges incurred by Schweitzer and for which compensation is due. Schweitzer shall be responsible for paying any subcontractors used in the performance of this Agreement. Subcontractors shall not bill the City directly. Payment of the invoice shall be made after acceptance and approval by the City within thirty (30) days of receipt. The City's approval of the invoice shall not be unreasonably withheld. 4.2 Billings for Change Orders. Any billings for Change Orders, as defined in Paragraph 7 below, must be billed by separate invoice, with a copy of the applicable Change Order signed by the City attached to the invoice. 4.3 Payment Holds. Notwithstanding anything to the contrary contained herein, the City shall not be obligated to make any payment to Schweitzer if Schweitzer is in default of any of its obligations under this Contract; any portion of the Relay Equipment is defective or not in accordance with the terms of this Contract (provided, however, that payment shall be made as to any portion of the Relay Equipment that is acceptable to the City); or the conditions required for payment as set forth in Paragraph 4.1 above have not been satisfied. 4.4 Payment is Not Acceptance. Neither payment by the City nor use ofthe Relay Equipment by the City shall constitute an acceptance of any Relay Equipment not in accordance with the terms of this Contract. 3 5. Schweitzer's Representations, Warranties, and Covenants. 5.1 Capability. Schweitzer represents to the City that it is qualified, willing, and able to obtain, sell, and deliver the Relay Equipment. 5.2 Assignment of Warranties: Delivery of Documentation. Schweitzer shall assign to the City at the time of the Relay Equipment delivery all manufacturers' warranties and Schweitzer shall assemble and deliver to the City complete copies of all warranties, guaranties, and operating and maintenance data and all other documentation from all manufacturers pursuant to this Contract. 5.3 Compliance with Law. Schweitzer shall strictly observe and comply with all applicable federal, state, and local laws, ordinances, and regulations governing the sale and delivery of the Relay Equipment, including, but not limited to any permit or license requirements of the United States Department of Commerce. 5.4 Authorizations. Schweitzer is authorized to do business in California and properly licensed and registered by all governmental authorities having jurisdiction over it. 5,5 Title to City. Schweitzer warrants that title to Relay Equipment will pass to the City either by incorporation in the construction or upon the receipt of payment by Schweitzer, whichever occurs first, free and clear of all liens, claims, security interests or encumbrances, and that no seller of any Relay Equipment or any portion thereof will retain an interest therein or an encumbrance thereon. 5.6 Payments to Third Parties. Schweitzer shall promptly pay all bills for labor and materials furnished by others in connection with this Contract. 5.7 Warranty. Schweitzer warrants to the City that Products are free from defects in material and workmanship for ten (10) years after shipment. This warranty is conditioned upon proper storage, installation, connection, operation and maintenance of Products, prompt written notice to Schweitzer of any defects, and, if required, prompt availability of Products to Schweitzer for correction. This warranty shall be void in its entirety if the City modifies Products without prior written consent to and subsequent approval of any such modifications by Schweitzer, or fails to implement required Product upgrades. This warranty shall also be void in its entirety in the event of any use of Products for any applications that require product listing or qualification not specifically included in the Schweitzer written quotation or proposal. If any Product fails to conform to this warranty, the City properly notifies Schweitzer of su~h failure, and the City returns the Product to the Schweitzer factory for diagnosis (and pays all expenses for such return), Schweitzer shall correct any such 4 failke by, at its sole discretion, either repairing any defective or damaged Product partes) or making available, FCA Pullman (freight allowed), any necessary replacement partes). Any Product repair or upgrade shall be covered by this warranty for the longer of one (1) year from date of repair or the remainder of the original ten (10) year warranty period. TO THE MAXIMUM EXTENT PERMITTED BY LAW, THIS WARRANTY SHALL BE EXCLUSIVE AND IN LIEU OF ALL OTHER WARRANTIES, WHETHER STATUTORY, EXPRESS, VERBAL OR IMPLIED (INCLUDING WARRANTIES OF MERCHANTABILITY AND FITNESS FOR PARTICULAR PURPOSE AND WARRANTIES ARISING FROM COURSE OF DEALING OR USAGE OF TRADE), EXCEPT TITLE AND PATENT INFRINGEMENT. The above applies to Schweitzer systems sold as Products, provided that Schweitzer does not warrant non-Schweitzer electronic devices within Schweitzer systems (but, whenever possible, Schweitzer shall pass the original manufacturer warranty to the City). Schweitzer does not warrant products or prototypes provided by Schweitzer for testing or marketing purposes. Schweitzer shall perform Services in a manner consistent with the degree of care and skill ordinarily exercised by members of the same profession currently practicing under similar circumstances. Schweitzer shall reperform any defective Services at no cost upon receipt of notice detailing the defect(s) within one (1) year of performance of the original Services. 6. Indemnification. 6.1 Schweitzer's Indemnity. To the fullest extent permitted by law, Schweitzer shall defend, indemnify and hold harmless City and its elected officials, officers, agents and employees from all claims, suits, actions, demands, damages, liabilities, expenses, judgments, settlements and penalties, losses, fines, and all costs and expenses incurred in connection therewith, including reasonable attorneys' fees and all costs of defense, arising out of or attributable to the negligent or wrongful acts of Schweitzer or its employees or agents in the delivery of Relay Equipment under this Contract, except to the extent arising from or caused by the negligence or willful misconduct of the City, its officers, agents or employees. The terms of this indemnity shall survive the termination of this Contract. Schweitzer liability shall be limited to claims under products liability. Schweitzer's exposure shall be limited to the insurance limits set forth in Exhibit B. 6.2 Indemnity Process. The City shall notify Schweitzer in writing of any suits, claims or demands covered by this indemnity. Promptly after receipt of such notice, Schweitzer shall assume the defense 5 of such claim with counsel reasonably satisfactory to City, If Schweitzer fails, within a reasonable time after receipt of such notice, to assume the defense with counsel reasonably satisfactory to City, or if, in the reasonable judgment of City, a direct or indirect conflict of interest exists between the parties with respect to the claim, or if in the sole judgment of City the assumption and conduct of the defense by Schweitzer would materially and adversely affect City in any manner or prejudice its ability to conduct a successful defense, !pen the City shall have the right to undertake the defense, compromise and settlement of such claim for the account and at the expense of Schweitzer. Notwithstanding the above, if the City in its sole discretion so elects, City may also participate in the defense of such actions by employing counsel at its expense, without waiving the City's obligations to indemnify or defend. Schweitzer shall not settle or compromise any claim or consent to the entry of any judgment without the prior written consent of the City and without an unconditional release of all liability by each claimant or plaintiff to the City. 7. Change Orders. The City reserves the right to make additions to or deletions from the Relay Equipment being purchased under this Contract. All such changes shall be incorporated in written change orders executed by the City. The Change Orders shall specify the changes ordered and the adjustment of prices, delivery schedules and warranties. Any Relay Equipment or services added to this Contract under a Change Order shall be subject to all of the terms and conditions of this Contract, except as otherwise set forth in the Change Order. No claim for additional compensation or extension oftime shall be valid or recognized unless contained in a Change Order signed by the Chief Executive Officer of the Light & Power Department. 8. Termination of the Contract. 8.1 Right of Termination. This Contract may be terminated by the City, with or without cause, upon at least fifteen (15) calendar days' written notice delivered to Schweitzer. 8.2 Termination by City Without Cause. In the event of termination by the City without cause, Schweitzer shall be compensated for all Relay Equipment delivered prior to the date of delivery of the termination notice, plus compensation for (i) necessary work performed during the notice period and authorized in the termination notice, and (ii) all costs reasonably and necessarily incurred by Schweitzer directly attributable to termination which could not reasonably have been avoided and for which Schweitzer is not otherwise compensated that are incurred through the date of the termination and in effectuating the termination (the "Termination Expenses"). Termination Expenses shall not include lost profits, lost opportunities, consequential damages, or the like. 6 8.3 Termination by the City for Cause or by Schweitzer without Cause. If Schweitzer breaches this Contract, the City shall notify Schweitzer in writing of said breach and if Schweitzer has not cured or begun reasonable efforts to cure within fifteen (15) calendar days of delivery of said notice, and fails to diligently pursue corrective action, the City shall have the right to cancel this Contract on the 15th day following delivery of notice to Schweitzer for cause. Schweitzer shall be responsible for all direct and indirect costs due to the City's re-procurement of the equivalent of the Relay Equipment cancelled pursuant to this Paragraph 8.3. If this Contract is terminated by the City with cause, or terminated by Schweitzer without cause, the City shall pay Schweitzer for all Relay Equipment delivered prior to the date of delivery of the termination notice, subject to the right ofthe City to withhold such unpaid amounts pending resolution of damages incurred by the City as a result of Schweitzer's default and for any reason described as a justification for a payment hold as set forth in Paragraph 4.3. 8.4 Actions Subsequent to Termination. Following the termination date, regardless of whether the Contract is terminated with or without cause, and subject only to the payments described in Paragraphs 8.2 or 8.3, as applicable, the City shall have no further duties, liabilities or obligations whatsoever under this Contract. Upon a termination of this Contract, except for its obligations under Paragraph 12.5 below, Schweitzer shall have no further rights, duties, liabilities or obligations whatsoever under this Contract. Notwithstanding anything in this Contract, including the foregoing, to the contrary, Paragraphs 5, 6, 8, 9, 10, 11.2, 11.3, 11.4, 11.5 and 11.12 shall survive the termination of this Contract. 9. Confidential Information. 9.1 Access to Confidential Information. The City may provide Schweitzer or allow Schweitzer access to certain information not available to the public concerning the City or businesses located in the City. The information may include information regarding companies located in the City, tax information, utility usage, and information concerning various company's sales, value of assets, or other confidential information about companies dealing with the City. All such non-public information shall be known as "Confidential Information'~ and may not be by Schweitzer for any purpose other than to perform its duties hereunder. 9.2 No Disclosure. Except as expressly permitted by prior written consent of the City, Schweitzer shall not disclose, permit the disclosure of, release, disseminate, or transfer, whether orally or by any ~ 7 other means, any part of such Confidential Information to any other person or entity, without the express prior written consent of an authorized representative of the City. Schweitzer shall return any written Confidential Information and all copies made of such items to the City upon the City's written request, but in any event not later than the date that Schweitzer has delivered all Relay Equipment to be delivered pursuant to this Contract. Schweitzer hereby agrees that such Confidential Information and any documents provided may be used by Schweitzer only as authorized by the City. 9.3 Court Ordered Disclosure. Schweitzer shall immediately notify the City of any court order or subpoena requiring disclosure of Confidential Information, and shall cooperate with the City's legal counsel in responding to any such order or subpoena. Schweitzer may only disclose Confidential Information required to be disclosed pursuant to court order or subpoena after legal counsel has exhausted any lawful and timely appeal or challenge. 9.4 Exceptions to Confidentiality. The foregoing obligations shall not apply to any Confidential Information lawfully in Schweitzer's possession prior to its acquisition from the City; received in good faith from a third party not subject to any confidential obligation to the City; or that now is orlater becomes publicly known through no breach of confidential obligation by Schweitzer. 9.5 Remedies. In addition to any other remedies that it may have at law or in equity, the City shall be entitled to a temporary and permanent injunction by a court of competent jurisdiction against any breach or threatened breach of any of the provisions of this Paragraph 10. Schweitzer acknowledges that in case of such breach or threatened breach of said provisions, the City would have no adequate remedy at law, and the City shall not be required to post a bond or other security or to prove damages. 10. General Provisions. 10.1 Entire Agreement. This Contract, with Exhibits A and B, each of which is attached hereto and incorporated herein by this reference, represents the entire and integrated agreement between the parties hereto, and supersedes and replaces all prior and contemporaneous negotiations, representations, discussions, or agreements between the parties related to the matters set forth in this Contract. This Contract may be amended or modified only by a written amendment signed by the parties. 10.2 Forum Selection. Any action brought relating to this Contract shall be brought and held exclusively in a Court in or serving the County of Las Angeles, California. 8 10.3 Arbitration. The parties agree that any and all disputes arising out of or in relation to this Agreement, including without limitation any action in tort, shall be resolved exclusively, finally and conclusively by arbitration in Los Angeles County, California under the auspices of and pursuant to the rules of the Judicial Arbitration & Mediation Services Inc. (JAMS). Each party will select an arbitrator. Those two arbitrators will then select a third. The three member panel will make the final decision. All decisions of the arbitrators shall be in writing, and the arbitrators shall provide written reasons for their decision. The arbitration decision shall be final and binding on the parties. Notwithstanding the foregoing, the parties shall be pennitted to access the court system to enforce any arbitration award or to obtain injunctive relief. The exclusive jurisdiction and venue for any such action shall be the Superior Court of California, Los Angeles County. 10.4 Attorneys' Fees. If either party institutes an action or legal proceeding arising out of or related to this Contract or the relationship of the parties or their rights or duties in connection with the matters set forth in this Contract, whether sounding in tort, contract, or otherwise, the prevailing party in such action or proceeding shall be entitled to recover from the other party all costs. and expenses, including all costs and reasonable attorneys' fees, in addition to any other remedy awarded by the court. 10.5 Notices. All notices required or permitted by this Contract shall be in writing and may be delivered in person (by hand or by messenger or courier service) or may be sent by certified or registered mail, return receipt requested, or by facsimile transmission during normal business hours, if delivery is confirmed and provided a copy is also delivered via delivery or mail, and shall be deemed effective upon delivery or refusal to accept delivery, if served in a manner specified in this Paragraph 11.4 to the recipient as set forth below. If a notice is delivered on a Saturday, Sunday, or holiday, it shall be deemed delivered on the next business day. Notices to the parties shall be sent to the addresses set forth below, or such other address as is provided by one party to the other in writing. Ifthere is any change in a party's address, that party shall give notice, in writing, to the other party indicating the address change within five (5) business days. CITY: THE CITY OF VERNON Atin: Bruce V. Malkenhorst City Administrator 4305 Santa Fe Avenue Vernon, CA 90058-0805 SCHWEITZER: SCHWEITZER ENGINEERING LABORATORIES, INe. 2350 NE Hopkins Court Pullman, WA 99163-5603 9 Attn: Kim Bielenberg 10 10.12 Rights and Remedies. The City's rights and remedies under the Contract are cumulative with and in addition to all other legal and equitable rights and remedies which the City may have under applicable law. 11 IN WITNESS WHEREOF, the parties have caused this Contract to be executed by and through their authorized officers on the date, month and year first written above. CITY OF VERNON ATTEST: By: ~~~/' ~ / EONIS C. MALB. , Mayo ^-v/~ Bruce V. Malkenhorst, City Clerk APPROVED AS TO FORM ~resc~ey SCHWEITZER ENGINEERING LABORATORIES, INC. By: ~J ~ Typed Name: Nancy L. Hindman Title: Vice President of Finance By.~L)J. Typed Name: Nancy L. Hindman Title: Secretary and Treasurer 12 EXHIBIT B INSURANCE SCHEDULE Schweitzer shall provide proof of insurance, including a standard certificate of insurance, in at least the following amounts and coverage (combined single limit permitted): 1. Liability Bodily Injury Property Damage Each Person Each Accident Each Accident Products - Completed Operations $1,000,000 $1,000,000 $1,000,000 a. The general liability policy shall contain the following special endorsements which shall be noted on or attached to the standard certificate of insurance: 1. An endorsement providing the City of V emon thirty (30) days notice of cancellation or material reduction of coverage. EXHIBIT "B" c o +:0 (0 ...... o :J a c (0 C> (I) (I) ~ a!. 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J-f o ,..:..; ...... ro E . o I i I I i f I i iii .r I .. ~ .> -= cJ a!: tf Ci e 4( a: o cO j c.!) z C2 ::f ~ ~ &aJ a: w N !: ~ % ~ [jJ Ii .r: ~ o ~ 4> ~ o o g ..-. --- 4> o 1 --.: ., ,.--- EXHIBIT B INSURANCE SCHEDULE Schweitzer shall provide proof of insurance, including a standard certificate of insurance, in at least the following amounts and coverage (combined single limit permitted): I. Liability Bodily Injury Property Damage Each Person Each Accident Each Accident Products - Completed Operations $1,000,000 $1,000,000 $1,000,000 a. The general liability policy shall contain the following special endorsements which shall be noted on or attached to the standard certificate of insurance: 1. An endorsement providing the City of V emon thirty (30) days notice of cancellation or material reduction of coverage, EXHIBIT "B"