Item 20 - Solid Waste Services Proposers

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RFP No. 20-097 - Collection and Handling of Solid Waste Generated, Produced and/or Accumulated in the City of Santa Ana 27 audit or other record review conducted by the City, available for the City’s review, inspection and copying within five business days (excluding Saturday, Sunday and holidays included in Section 4.7.1) of receiving written notice from the City requesting the same. Rationale: This revision is intended to place appropriate, industry standard limits on the type of financial information subject to City review. Moreover, undertaking the review at Contractor’s local office minimizes the opportunity for confidential and proprietary information coming into the City’s possession, where it could become subject to disclosure under the Public Records Act. (new section) Section 9.2. E – Hazardous Material Indemnification The foregoing indemnity shall not apply to the extent arising from Hazardous Material delivered by City to Contractor, or a City requirement that Contractor utilize a disposal or processing facility not selected by Contractor and not owned and operated by Contractor or an Affiliate. Rationale: This provision is intended to exclude Contractor’s indemnification obligation in those cases where the claim arose from the actions of the City. This limiting provision is included in the large majority of franchise agreements in Southern California. Section 9.3, (first paragraph) – AB 939 Indemnification and Guarantee Except for programs required by Applicable Law but not set forth in this Agreement, or that Contractor is expressly instructed by City not to implement, or to the extent resulting from the acts or omissions of City, and subject to Section 4.6.8, Contractor unconditionally guarantees compliance with the requirements of AB 939 as amended from time to time. Contractor shall carry out its obligations under this Agreement so that the City will meet or exceed the Diversion requirements set forth in AB 939, and all amendments thereto more fully set forth below. City and Contractor shall reasonably assist each other to meet the City's AB 939 Diversion requirements. In carrying out the provisions of this Section, Contractor agrees to perform the following obligations at its cost and expense: Rationale: This revision acknowledges that aspects of compliance with regulatory requirements are solely the responsibility of the City or are outside of the reasonable control of Contractor. Section 9.4.B. (second paragraph) – Public Liability Insurance Said policy or policies of insurance shall provide coverage for both bodily injury and property damage in not less than the following minimum amount: One Hundred Five Million Dollars ($1005,000,000.00) combined single limit and, in addition, Ten Five Million Dollars ($105,000,000.00) of Environmental Impairment Pollution Legal Liability coverage for bodily injury, property damage and cleanup costs as it relates to the transportation of Solid Waste. Said insurance shall protect Contractor and City from any claim for damages for bodily injury, including accidental death, as well as from any claim for property damage which may arise from operations performed pursuant to this Agreement, whether such operations be by Contractor itself, or by its agents, employees, and/or subcontractor. Such policy or policies shall contain severability of interests clauses so that the rights and duties of the City are clearly separate from Contractor interests. Said policy or policies shall also contain a provision that no termination, cancellation or change of coverage of insured or additional insured shall be effective until after thirty (30) days prior written notice by certified mail thereof has been given to City. Contractor shall give City prompt and timely notice of any claim made or suit instituted. Rationale: The coverage amounts are excessive and do not bear a reasonable relationship to the potential risk to the City. Contractors Pollution Legal Liability policy covers transportation risks. Subcontractor insurance requirements are addressed in proposed new Section 9.4.C. Attachment 6 6 - 12