HomeMy WebLinkAbout16 - Approve Agreement for Generator Preventive Maintenance and Repair ServicesCTY OF
F
NEWPORT BEACH
City Council Staff Report
June 23, 2015
Agenda Item No. 16
TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL
FROM: George Murdoch, Acting Municipal Operations Department Director - (949) 644-
3011, gmurdoch @newportbeachca.gov
PREPARED BY: Rachell Wilfert
PHONE: (949) 644 -3010
TITLE: Approve Agreement with Global Power Group, Inc. for Generator Preventive
Maintenance and Repair Services
ABSTRACT:
The City of Newport Beach has a combination of 30 fixed and portable emergency back -up generators.
These generators are located at City facilities such as the Civic Center, Fire Stations, Water Pump
Stations, City yards, Lifeguard headquarters, and sewer lift stations. Additionally, the Municipal Operations
Department houses several large portable generators that can be taken out to remote sites in the event of
power outages. All these generators require regular preventive maintenance and as- needed repairs. The
City's current contract for maintenance of these generators is about to expire. Staff has solicited and
received proposals and makes the following recommendations.
RECOMMENDATION:
Approve the preventive maintenance and repair agreement with Global Power Group for a term of five
years with a total amount not to exceed by $300,000.00, and authorize the Mayor and City Clerk to execute
the agreement.
FUNDING REQUIREMENTS:
The current adopted budget in each department includes sufficient funding for this agreement. It will be
expensed to the appropriate accounts in the Fire, Police, and Municipal Operations Department.
DISCUSSION:
Emergency power generators serve an important role in the operations of the City. City facilities such as
the Civic Center, Fire Stations, Water Pump Stations, Sewer Pump Stations, Life Guard Headquarters and
Corporation yards all need electricity to continue operating in the event of a power fail. Many of the facilities
have fixed mounted generators. When the power goes out the generators automatically turn on and the
power is restored within seconds.
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Other sites such as the 21 wastewater lift stations do not have adequate space to contain a generator.
Each of these stations are monitored around the clock with the Supervisory Control and Data Acquisition
System or SCADA. When the power fail alarm is activated, on -call City staff are dispatched to take large
trailered generators to the sites. Portable generators can typically run for several days or can be moved
from site to site.
All of these generators require routine maintenance and testing. Oil changes and fluids are checked or
changed, the unit is started and stopped and generator output is checked. Emergency switchover systems
are checked and the occasional unforeseen repair is performed. Routine maintenance assures these units
are ready for duty when the need arises.
The current contract to perform this maintenance
to the public on March 10, 2015 and a total of thi
by a selection panel on the bases of aualifications
is about to expire. A Request for Proposal was released
E)e proposals were received and subsequently evaluated
availability, experience and cost.
Rank
Proposer
Technical
Cost Ratio
'Total Score
Preventive
Score (out of
Score (out of
Maintenance
50)
50)
(out of 100)
Cost
1
Global Power Group
43.5
50.00
93.5
$43,300.00
2
Fakouri Electrical
28.50
32.68
61.18
$65,850.00
Engineering
3
Quinn Power Systems
26.00
25.41
51.41
$84,700.00
Based upon the evaluation team's scores, Global Power Group, Inc. was chosen to provide generator
preventive maintenance and as- needed repair services. Global Power Group is our existing contractor and
has provided excellent performance and service. The agreement has a term limit of five years with a total
amount not to exceed $300,000.
ENVIRONMENTAL REVIEW:
Staff recommends the City Council find this action is not subject to the California Environmental Quality Act
( "CEQA ") pursuant to Sections 15060(c)(2) (the activity will not result in a direct or reasonably foreseeable
indirect physical change in the environment) and 15060(c)(3) (the activity is not a project as defined in
Section 15378) of the CEQA Guidelines, California Code of Regulations, Title 14, Chapter 3, because it
has no potential for resulting in physical change to the environment, directly or indirectly.
NOTICING:
The agenda item has been noticed according to the Brown Act (72 hours in advance of the meeting at
which the City Council considers the item).
ATTACHMENTS:
Description
Attachment A - Agreement
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ATTACHMENT A
MAINTENANCE /REPAIR SERVICES AGREEMENT
WITH GLOBAL POWER GROUP, INC. FOR
PREVENTIVE MAINTENANCE AND AS- NEEDED REPAIR SERVICES FOR CITY
GENERATORS
THIS MAINTENANCE /REPAIR SERVICES AGREEMENT ( "Agreement') is
made and entered into as of this 18th day of June, 2015 ( "Effective Date "), by and
between the CITY OF NEWPORT BEACH, a California municipal corporation and
charter city ( "City "), and GLOBAL POWER GROUP, INC., a California corporation
( "Contractor'), whose address is 12060 Woodside Avenue, Lakeside, California 92040,
and is made with reference to the following:
RECITALS
A. City is a municipal corporation duly organized and validly existing under the laws
of the State of California with the power to carry on its business as it is now being
conducted under the statutes of the State of California and the Charter of City.
B. City desires to engage Contractor to perform maintenance and /or repair services
for City ('Project').
C. Contractor possesses the skill, experience, ability, background, certification and
knowledge to provide the maintenance and /or repair services described in this
Agreement.
D. Contractor has examined the location of all proposed work, carefully reviewed
and evaluated the specifications set forth by City for the Project, is familiar with
all conditions relevant to the performance of services, and has committed to
perform all work required for the compensation specified in this Agreement.
NOW, THEREFORE, it is mutually agreed by and between the undersigned
parties as follows:
1. TERM
The term of this Agreement shall commence on the Effective Date, and shall
terminate on June 30, 2020, unless terminated earlier as set forth herein.
2. SERVICES TO BE PERFORMED
2.1 Contractor shall diligently perform all the services described in the Scope
of Services attached hereto as Exhibit A and incorporated herein by reference
( "Services" or "Work "). As a material inducement to City entering into this Agreement,
Contractor represents and warrants that Contractor is a provider of first class work and
Contractor is experienced in performing the Work contemplated herein and, in light of
such status and experience, Contractor covenants that it shall follow the highest
industry standards in performing the Work required hereunder and that all materials will
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be of good quality. For purposes of this Agreement, the phrase "highest industry
standards" shall mean those standards of practice recognized by one or more first -class
firms performing similar work under similar circumstances.
2.2 Contractor shall perform all Work required to be performed, and shall
provide and furnish all the labor, materials, necessary tools, expendable equipment and
all utility and transportation services necessary for the Project.
3. TIME OF PERFORMANCE
3.1 Time is of the essence in the performance of Services under this
Agreement and Contractor shall perform the Services in accordance with the schedule
included in Exhibit A. In the absence of a specific schedule, the Services shall be
performed to completion in a diligent and timely manner. The failure by Contractor to
strictly adhere to the schedule set forth in Exhibit A, if any, or perform the Services in a
diligent and timely manner may result in termination of this Agreement by City.
3.2 Notwithstanding the foregoing, Contractor shall not be responsible for
delays due to causes beyond Contractor's reasonable control. However, in the case of
any such delay in the Services to be provided for the Project, each party hereby agrees
to provide notice within two (2) calendar days of the occurrence causing the delay to the
other party so that all delays can be addressed.
3.3 Contractor shall submit all requests for extensions of time for performance
in writing to the Project Administrator as defined herein, not later than two (2) calendar
days after the start of the condition that purportedly causes a delay. The Project
Administrator shall review all such requests and may grant reasonable time extensions
for unforeseeable delays that are beyond Contractor's control.
3.4 For all time periods not specifically set forth herein, Contractor shall
respond in the most expedient and appropriate manner under the circumstances, by
fax, hand - delivery or mail.
4. COMPENSATION TO CONTRACTOR
4.1 City shall pay Contractor for the Services on a time and expense not -to-
exceed basis in accordance with the provisions of this Section and the Schedule of
Billing Rates attached hereto as Exhibit B and incorporated herein by reference. Except
as otherwise provided herein, no rate changes shall be made during the term of this
Agreement without the prior written approval of City. Contractor's compensation for all
Services performed in accordance with this Agreement, including all reimbursable
items, shall not exceed Three Hundred Thousand Dollars and 00/100 ($300,000.00),
without prior written amendment to the Agreement.
4.2 Upon the first anniversary of the Effective Date and upon each
anniversary of the Effective Date thereafter, the billing rates set forth in Exhibit B
('Billing Rates ") shall be adjusted in proportion to changes in the Consumer Price Index,
subject to the maximum adjustment set forth below. Such adjustment shall be made by
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multiplying the Billing Rates in Exhibit B by a fraction, the numerator of which is the
value of the Consumer Price Index for the calendar month three (3) months preceding
the calendar month for which such adjustment is to be made, and the denominator of
which is the value of the Consumer Price Index for the same calendar month
immediately prior to Effective Date. The Consumer Price Index to be used in such
calculation is the "Consumer Price Index, All Items, 1982 -84 =100 for All Urban
Consumers (CPI -U) ", for the Los Angeles- Riverside - Orange County Metropolitan Area,
published by the United States Department of Labor, Bureau of Labor Statistics. If both
an official index and one or more unofficial indices are published, the official index shall
be used. If said Consumer Price Index is no longer published at the adjustment date, it
shall be constructed by conversion tables included in such new index. In no event,
however, shall the amount payable under this Agreement be reduced below the Billing
Rates in effect immediately preceding such adjustment. The maximum adjustment
increase to the Billing Rates, for any year where an adjustment is made pursuant to this
Section, shall not exceed the Consumer Price Index or 2.0% of the Billing Rates in
effect immediately preceding such adjustment, whichever is less.
4.3 Contractor shall submit monthly invoices to City describing the Work
performed the preceding month. Contractor's bills shall include the name and /or
classification of employee who performed the Work, a brief description of the Services
performed and /or the specific task in the Scope of Services to which it relates, the date
the Services were performed, the number of hours spent on all Work billed on an hourly
basis, and a description of any reimbursable expenditures. City shall pay Contractor no
later than thirty (30) calendar days after approval of the monthly invoice by City staff.
4.4 City shall reimburse Contractor only for those costs or expenses
specifically identified in Exhibit B to this Agreement, or specifically approved in writing in
advance by City.
4.5 Contractor shall not receive any compensation for Extra Work performed
without the prior written authorization of City. As used herein, "Extra Work" means any
Work that is determined by City to be necessary for the proper completion of the
Project, but which is not included within the Scope of Services and which the parties did
not reasonably anticipate would be necessary at the execution of this Agreement.
Compensation for any authorized Extra Work shall be paid in accordance with Exhibit B.
5. PROJECT MANAGER
5.1 Contractor shall designate a Project Manager, who shall coordinate all
phases of the Project. This Project Manager shall be available to City at all reasonable
times during the Agreement term. Contractor has designated Ed Skane to be its Project
Manager. Contractor shall not remove or reassign the Project Manager or any
personnel listed in Exhibit A or assign any new or replacement personnel to the Project
without the prior written consent of City. City's approval shall not be unreasonably
withheld with respect to the removal or assignment of non -key personnel.
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5.2 Contractor, at the sole discretion of City, shall remove from the Project any
of its personnel assigned to the performance of Services upon written request of City.
Contractor warrants that it will continuously furnish the necessary personnel to complete
the Project on a timely basis as contemplated by this Agreement.
6. ADMINISTRATION
This Agreement will be administered by the Municipal Operations Department.
City's Utilities Manager or designee shall be the Project Administrator and shall have
the authority to act for City under this Agreement. The Project Administrator shall
represent City in all matters pertaining to the Services to be rendered pursuant to this
Agreement.
To assist Contractor in the execution of its responsibilities under this Agreement,
City agrees to provide access to and upon request of Contractor, one copy of all
existing relevant information on file at City. City will provide all such materials in a
timely manner so as not to cause delays in Contractor's Work schedule.
8. TYPE AND INSTALLATION OF MATERIALS /STANDARD OF CARE
8.1 Contractor shall use only the standard materials described in Exhibit A in
performing Services under this Agreement. Any deviation from the materials described
in Exhibit A shall not be installed or utilized unless approved in advance and in writing
by the Project Administrator.
8.2 All of the Services shall be performed by Contractor or under Contractor's
supervision. Contractor represents that it possesses the personnel required to perform
the Services required by this Agreement, and that it will perform all Services in a
manner commensurate with highest industry standards. All Services shall be performed
by qualified and experienced personnel who are not employed by City. By delivery of
completed Work, Contractor certifies that the Work conforms to the requirements of this
Agreement and all applicable federal, state and local laws and the industry standard.
8.3 Contractor represents and warrants to City that it has, shall obtain and
shall keep in full force and effect during the term hereof, at its sole cost and expense, all
licenses, permits, qualifications, insurance and approvals of whatsoever nature that is
legally required of Contractor to practice its profession. Contractor shall maintain a City
of Newport Beach business license during the term of this Agreement.
8.4 Contractor shall not be responsible for delay, nor shall Contractor be
responsible for damages or be in default or deemed to be in default by reason of strikes,
lockouts, accidents, acts of God, or the failure of City to furnish timely information or to
approve or disapprove Contractor's Work promptly, or delay or faulty performance by
City, contractors, or governmental agencies.
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9. RESPONSIBILITY FOR DAMAGES OR INJURY
9.1 City and all officers, employees and representatives thereof shall not be
responsible in any manner for any loss or damage to any of the materials or other things
used or employed in performing the Project or for injury to or death of any person as a
result of Contractor's performance of the Services required hereunder; or for damage to
property from any cause arising from the performance of the Project by Contractor, or
its subcontractors, or its workers, or anyone employed by either of them.
9.2 Contractor shall be responsible for any liability imposed by law and for
injuries to or death of any person or damage to property resulting from defects,
obstructions or from any cause arising from Contractor's Work on the Project, or the
Work of any subcontractor or supplier selected by Contractor.
9.3 To the fullest extent permitted by law, Contractor shall indemnify, defend
and hold harmless City, its City Council, boards and commissions, officers, agents,
volunteers, and employees (collectively, the "Indemnified Parties ") from and against any
and all claims (including, without limitation, claims for bodily injury, death or damage to
property), demands, obligations, damages, actions, causes of action, suits, losses,
judgments, fines, penalties, liabilities, costs and expenses (including, without limitation,
attorneys' fees, disbursements and court costs) of every kind and nature whatsoever
(individually, a Claim; collectively, "Claims "), which may arise from or in any manner
relate (directly or indirectly) to any breach of the terms and conditions of this
Agreement, any Work performed or Services provided under this Agreement including,
without limitation, defects in workmanship or materials or Contractor's presence or
activities conducted on the Project (including the negligent and /or willful acts, errors
and /or omissions of Contractor, its principals, officers, agents, employees, vendors,
suppliers, consultants, subcontractors, anyone employed directly or indirectly by any of
them or for whose acts they may be liable or any or all of them).
9.4 Notwithstanding the foregoing, nothing herein shall be construed to
require Contractor to indemnify the Indemnified Parties from any Claim arising from the
sole negligence or willful misconduct of the Indemnified Parties. Nothing in this
indemnity shall be construed as authorizing any award of attorneys' fees in any action
on or to enforce the terms of this Agreement. This indemnity shall apply to all claims
and liability regardless of whether any insurance policies are applicable. The policy
limits do not act as a limitation upon the amount of indemnification to be provided by
Contractor.
9.5 Contractor shall perform all Work in a manner to minimize public
inconvenience and possible hazard, to restore other work areas to their original
condition and former usefulness as soon as possible, and to protect public and private
property. Contractor shall be liable for any private or public property damaged during
the performance of the Work by Contractor or its agents.
9.6 To the extent authorized by law, as much of the money due Contractor
under and by virtue of the Agreement as shall be considered necessary by City may be
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retained by it until disposition has been made of such suits or claims for damages as
aforesaid.
9.7 The rights and obligations set forth in this Section shall survive the
termination of this Agreement.
10. INDEPENDENT CONTRACTOR
It is understood that City retains Contractor on an independent contractor basis
and Contractor is not an agent or employee of City. The manner and means of
conducting the Work are under the control of Contractor, except to the extent they are
limited by statute, rule or regulation and the expressed terms of this Agreement. No
civil service status or other right of employment shall accrue to Contractor or its
employees. Nothing in this Agreement shall be deemed to constitute approval for
Contractor or any of Contractor's employees or agents, to be the agents or employees
of City. Contractor shall have the responsibility for and control over the means of
performing the Work, provided that Contractor is in compliance with the terms of this
Agreement. Anything in this Agreement that may appear to give City the right to direct
Contractor as to the details of the performance of the Work or to exercise a measure of
control over Contractor shall mean only that Contractor shall follow the desires of City
with respect to the results of the Services.
11. COOPERATION
Contractor agrees to work closely and cooperate fully with City's designated
Project Administrator and any other agencies that may have jurisdiction or interest in the
Work to be performed. City agrees to cooperate with Contractor on the Project.
12. CITY POLICY
Contractor shall discuss and review all matters relating to policy and Project
direction with City's Project Administrator in advance of all critical decision points in
order to ensure the Project proceeds in a manner consistent with City goals and
policies.
13. PROGRESS
Contractor is responsible for keeping the Project Administrator informed on a
regular basis regarding the status and progress of the Project, activities performed and
planned, and any meetings that have been scheduled or are desired.
14. INSURANCE
Without limiting Contractor's indemnification of City, and prior to commencement
of Work, Contractor shall obtain, provide and maintain at its own expense during the
term of this Agreement or for other periods as specified in this Agreement, policies of
insurance of the type, amounts, terms and conditions described in the Insurance
Requirements attached hereto as Exhibit C, and incorporated herein by reference.
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15. PREVAILING WAGES
Pursuant to the applicable provisions of the Labor Code of the State of California,
not less than the general prevailing rate of per diem wages including legal holidays and
overtime Work for each craft or type of workman needed to execute the Work
contemplated under the Agreement shall be paid to all workmen employed on the Work
to be done according to the Agreement by the Contractor and any subcontractor. In
accordance with the California Labor Code (Sections 1770 et seq.), the Director of
Industrial Relations has ascertained the general prevailing rate of per diem wages in the
locality in which the Work is to be performed for each craft, classification, or type of
workman or mechanic needed to execute the Agreement. A copy of said determination
is available by calling the prevailing wage hotline number (415) 703 -4774, and
requesting one from the Department of Industrial Relations. The Contractor is required
to obtain the wage determinations from the Department of Industrial Relations and post
at the job site the prevailing rate or per diem wages. It shall be the obligation of the
Contractor or any subcontractor under him /her to comply with all State of California
labor laws, rules and regulations and the parties agree that the City shall not be liable
for any violation thereof.
16. PROHIBITION AGAINST ASSIGNMENTS AND TRANSFERS
Except as specifically authorized under this Agreement, the Services to be
provided under this Agreement shall not be assigned, transferred contracted or
subcontracted out without the prior written approval of City. Any of the following shall
be construed as an assignment: The sale, assignment, transfer or other disposition of
any of the issued and outstanding capital stock of Contractor, or of the interest of any
general partner or joint venturer or syndicate member or cotenant if Contractor is a
partnership or joint- venture or syndicate or cotenancy, which shall result in changing the
control of Contractor. Control means fifty percent (50 %) or more of the voting power or
twenty -five percent (25 %) or more of the assets of the corporation, partnership or joint -
venture.
17. SUBCONTRACTING
The subcontractors authorized by City, if any, to perform Work on this Project are
identified in Exhibit A. Contractor shall be fully responsible to City for all acts and
omissions of any subcontractor. Nothing in this Agreement shall create any contractual
relationship between City and any subcontractor nor shall it create any obligation on the
part of City to pay or to see to the payment of any monies due to any such
subcontractor other than as otherwise required by law. City is an intended beneficiary
of any Work performed by the subcontractor for purposes of establishing a duty of care
between the subcontractor and City. Except as specifically authorized herein, the
Services to be provided under this Agreement shall not be otherwise assigned,
transferred, contracted or subcontracted out without the prior written approval of City.
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18. OWNERSHIP OF DOCUMENTS
Each and every report, draft, map, record, plan, document and other writing
produced (hereinafter "Documents "), prepared or caused to be prepared by Contractor,
its officers, employees, agents and subcontractors, in the course of implementing this
Agreement, shall become the exclusive property of City, and City shall have the sole
right to use such materials in its discretion without further compensation to Contractor or
any other party. Contractor shall, at Contractor's expense, provide such Documents to
City upon prior written request.
19. CONFIDENTIALITY
All Documents, including drafts, preliminary drawings or plans, notes and
communications that result from the Services in this Agreement, shall be kept
confidential unless City expressly authorizes in writing the release of information.
20. RECORDS
Contractor shall keep records and invoices in connection with the Services to be
performed under this Agreement. Contractor shall maintain complete and accurate
records with respect to the costs incurred under this Agreement and any Services,
expenditures and disbursements charged to City, for a minimum period of three (3)
years, or for any longer period required by law, from the date of final payment to
Contractor under this Agreement. All such records and invoices shall be clearly
identifiable. Contractor shall allow a representative of City to examine, audit and make
transcripts or copies of such records and invoices during regular business hours.
Contractor shall allow inspection of all Work, data, Documents, proceedings and
activities related to the Agreement for a period of three (3) years from the date of final
payment to Contractor under this Agreement.
21. WITHHOLDINGS
City may withhold payment to Contractor of any disputed sums until satisfaction
of the dispute with respect to such payment. Such withholding shall not be deemed to
constitute a failure to pay according to the terms of this Agreement. Contractor shall not
discontinue Work as a result of such withholding. Contractor shall have an immediate
right to appeal to the City Manager or his /her designee with respect to such disputed
sums. Contractor shall be entitled to receive interest on any withheld sums at the rate of
return that City earned on its investments during the time period, from the date of
withholding of any amounts found to have been improperly withheld.
22. CITY'S RIGHT TO EMPLOY OTHER CONTRACTORS
City reserves the right to employ other contractors in connection with the Project.
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23. CONFLICTS OF INTEREST
23.1 Contractor or its employees may be subject to the provisions of the
California Political Reform Act of 1974 (the "Act "), which (1) requires such persons to
disclose any financial interest that may foreseeably be materially affected by the Work
performed under this Agreement, and (2) prohibits such persons from making, or
participating in making, decisions that will foreseeably financially affect such interest.
23.2 If subject to the Act, Contractor shall conform to all requirements of the
Act. Failure to do so constitutes a material breach and is grounds for immediate
termination of this Agreement by City. Contractor shall indemnify and hold harmless
City for any and all claims for damages resulting from Contractor's violation of this
Section.
24. NOTICES
24.1 All notices, demands, requests or approvals, including any change in
mailing address, to be given under the terms of this Agreement shall be given in writing,
and conclusively shall be deemed served when delivered personally, or on the third
business day after the deposit thereof in the United States mail, postage prepaid, first -
class mail, addressed as hereinafter provided.
24.2 All notices, demands, requests or approvals from Contractor to City shall
be addressed to City at:
Attn: Utilities Manager
Municipal Operations Department
City of Newport Beach
100 Civic Center Drive
PO Box 1768
Newport Beach, CA 92658
24.3 All notices, demands, requests or approvals from City to Contractor shall
be addressed to Contractor at:
Attn: Salvatore Martorana
Global Power Group, Inc.
12060 Woodside Avenue
Lakeside CA 92040
25. CLAIMS
Unless a shorter time is specified elsewhere in this Agreement, before making its
final request for payment under this Agreement, Contractor shall submit to City, in
writing, all claims for compensation under or arising out of this Agreement.
Contractor's acceptance of the final payment shall constitute a waiver of all claims for
compensation under or arising out of this Agreement except those previously made in
writing and identified by Contractor in writing as unsettled at the time of its final request
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for payment. Contractor and City expressly agree that in addition to any claims filing
requirements set forth in the Agreement, Contractor shall be required to file any claim
Contractor may have against City in strict conformance with the Government Claims Act
(Government Code sections 900 et seq.).
26. TERMINATION
26.1 In the event that either party fails or refuses to perform any of the
provisions of this Agreement at the time and in the manner required, that party shall be
deemed in default in the performance of this Agreement. If such default is not cured
within a period of two (2) calendar days, or if more than two (2) calendar days are
reasonably required to cure the default and the defaulting party fails to give adequate
assurance of due performance within two (2) calendar days after receipt of written
notice of default, specifying the nature of such default and the steps necessary to cure
such default, and thereafter diligently take steps to cure the default, the non - defaulting
party may terminate the Agreement forthwith by giving to the defaulting party written
notice thereof.
26.2 Notwithstanding the above provisions, City shall have the right, at its sole
and absolute discretion and without cause, of terminating this Agreement at any time by
giving no less than seven (7) calendar days' prior written notice to Contractor. In the
event of termination under this Section, City shall pay Contractor for Services
satisfactorily performed and costs incurred up to the effective date of termination for
which Contractor has not been previously paid. On the effective date of termination,
Contractor shall deliver to City all reports, Documents and other information developed
or accumulated in the performance of this Agreement, whether in draft or final form.
27. LABOR
27.1 Contractor shall conform with all applicable provisions of state and federal
law including, but not limited to, applicable provisions of the federal Fair Labor
Standards Act ( "FLSK) (29 USCA § 201, et seq.).
27.2 Whenever Contractor has knowledge that any actual or potential labor
dispute is delaying or threatens to delay the timely performance of this Agreement,
Contractor shall immediately give written notice to City, and provide all relevant
information.
27.3 Contractor represents that all persons working under this Agreement are
verified to be U.S. citizens or persons legally authorized to work in the United States.
27.4 To the fullest extent permitted by law, Contractor shall indemnify, defend,
and hold harmless City, its City Council, boards and commissions, officers, agents,
volunteers, and employees from loss or damage, including but not limited to attorneys'
fees, and other costs of defense by reason of actual or alleged violations of any
applicable federal, state and local labor laws or law, rules, and /or regulations. This
obligation shall survive the expiration and /or termination of the Agreement.
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28. STANDARD PROVISIONS
28.1 Recitals. City and Contractor acknowledge that the above Recitals are
true and correct and are hereby incorporated by reference.
28.2 Compliance with all Laws. Contractor shall, at its own cost and expense,
comply with all statutes, ordinances, regulations and requirements of all governmental
entities, including federal, state, county or municipal, whether now in force or hereinafter
enacted. In addition, all Work prepared by Contractor shall conform to applicable City,
county, state and federal laws, rules, regulations and permit requirements and be
subject to approval of the Project Administrator and City.
28.3 Waiver. A waiver by either party of any breach, of any term, covenant or
condition contained herein shall not be deemed to be a waiver of any subsequent
breach of the same or any other term, covenant or condition contained herein, whether
of the same or a different character.
28.4 Integrated Contract. This Agreement represents the full and complete
understanding of every kind or nature whatsoever between the parties hereto, and all
preliminary negotiations and agreements of whatsoever kind or nature are merged
herein. No verbal agreement or implied covenant shall be held to vary the provisions
herein.
28.5 Conflicts or Inconsistencies. In the event there are any conflicts or
inconsistencies between this Agreement and the Scope of Services or any other
attachments attached hereto, the terms of this Agreement shall govern.
28.6 Interpretation. The terms of this Agreement shall be construed in
accordance with the meaning of the language used and shall not be construed for or
against either party by reason of the authorship of the Agreement or any other rule of
construction which might otherwise apply.
28.7 Amendments. This Agreement may be modified or amended only by a
written document executed by both Contractor and City and approved as to form by the
City Attorney.
28.8 Severability. If any term or portion of this Agreement is held to be invalid,
illegal, or otherwise unenforceable by a court of competent jurisdiction, the remaining
provisions of this Agreement shall continue in full force and effect.
28.9 Controlling Law and Venue. The laws of the State of California shall
govern this Agreement and all matters relating to it and any action brought relating to
this Agreement shall be adjudicated in a court of competent jurisdiction in the County of
Orange, State of California.
28.10 Equal Opportunity Employment. Contractor represents that it is an equal
opportunity employer and it shall not discriminate against any subcontractor, employee
Global Power Group, Inc. Page 11
16 -13
or applicant for employment because of race, religion, color, national origin, handicap,
ancestry, sex, age or any other impermissible basis under law.
28.11 No Attorneys' Fees. In the event of any dispute or legal action arising
under this Agreement, the prevailing parry shall not be entitled to attorneys' fees.
28.12 Counterparts. This Agreement may be executed in two (2) or more
counterparts, each of which shall be deemed an original and all of which together shall
constitute one (1) and the same instrument.
[SIGNATURES ON NEXT PAGE]
Global Power Group, Inc. Page 12
16 -14
IN WITNESS WHEREOF, the parties have caused this Agreement to be
executed on the dates written below.
APPROVED AS TO FORM:
CITY ATTO E 'S OFFICE
Date:
By.
Aaron C. Harp &WOU16flir
City Attorney
ATTEST:
Date:
Leilani I. Brown
City Clerk
CITY OF NEWPORT BEACH,
a California municipal corporation
Date:
By:
Edward D. Selich
Mayor
CONTRACTOR: Global Power Group,
Inc., a California corporation
Date:
Salvador Martorana
President
Date:
By:
Salvador Ceballos
Chief Financial Officer
[END OF SIGNATURES]
Attachments: Exhibit A — Scope of Services
Exhibit B — Schedule of Billing Rates
Exhibit C — Insurance Requirements
Global Power Group, Inc. Page 13
16 -15
EXHIBIT
SCOPE OF SERVICES
Global Power Group, Inc. Page A -1
1s -1s
SCOPE OF SERVICES
• INTENT
o The intent of these specifications is to provide full and complete details of
preventive maintenance and as- needed repair services for City generators
located throughout the City.
• DESCRIPTION OF PROJECT
o Furnish all labor, equipment, materials, and supervision to perform generator
preventive maintenance and repair services as described herein including, but
not limited to, the following:
Quarterly and annual preventive maintenance Services, and
As- needed repairs.
• WORKING HOURS
o Normal working hours shall be between the hours of 7:00 AM and 4:00 PM,
Monday through Thursday, 7:00 AM to 3:30 PM Fridays. No weekend or after -
hours work is to be scheduled without prior written permission from the City,
unless it is an emergency situation.
• LEVEL OF MAINTENANCE
o All work shall be performed in accordance with the HIGHEST INDUSTRY
STANDARDS, as stated in the enclosed maintenance specification description.
Standards and frequencies may be modified from time to time as deemed
necessary by the City for the proper maintenance of the sites.
o If, in the judgment of the City, the level of maintenance is less than that specified
herein, the City shall, at its option, in addition to or in lieu of other remedies
provided herein, withhold appropriate payment from the Contractor until
services are rendered in accordance with specifications set forth within this
document and providing no other arrangements have been made between the
Contractor and the City. Failure to notify of a change and /or failure to perform
an item or work on a scheduled day may, at the City's sole discretion, result in
deduction of payment for that date, week, or month. Payment will be retained
for work not performed until such time as the work is performed to City
standard.
11Page
16 -17
o The Contractor is required to correct deficiencies within the time specified by
the City. If noted deficient work has not been completed, payment for subject
deficiency shall be withheld for current billing period and shall continue to be
withheld until deficiency is corrected, without right to retroactive payments.
• CORRESPONDENCE
o All correspondence shall be addressed to Utilities Manager, Municipal
Operations Department, City of Newport Beach, PO Box 1768, Newport Beach,
California 92658 -8915.
• PREVENTIVE MAINTENANCE SERVICES
The selected contractor shall perform the following preventive maintenance tasks:
o QUARTERLY INSPECTION SERVICES
• Inspect generator enclosure for obstructions, debris & corrosion, clean &
spot paint.
• Starting batteries will be cleaned and electrolyte levels and specific gravity
checked.
• Battery load test performed, reports made for recharging or replacing
batteries, and charging system will be checked for proper operation.
• Inspect fuel, oil and coolant system for leaks.
• All fluid levels will be checked and topped -off as needed, fuel levels noted
and reported.
• Check engine for leaks, top of all engine fluids and governor system and
linkage will be checked for binding and proper operation.
• Air cleaners will be checked and recommendations for replacement made
when necessary.
• Engine block heater(s) and associated plumbing will be checked for proper
operation.
• All belts will be checked for proper tension, signs of age and wear.
• Radiator will be checked externally for debris, leaks and corrosion.
• Coolant will be tested with a coolant test strip, internal condition noted.
• Radiator will be pressure tested and cap and seal checked for proper seal.
• All cooling system hoses will be checked for defects.
• Check all electrical connections, switches, gauges, and bulbs for proper
operation, including panel lights.
21 Page
16 -18
• Equipment will be checked for abnormal speed, operation, vibration, and
noises.
• Automatic transfer switches will be visually inspected for defects, panel lights
checked.
• Check automatic transfer switch and generator for bad connections with an
infrared gun.
• Simulate power failure and test system for proper operation — must notify
City staff first.
• Log generator start and stop times in logbook.
• Change oil /filter based on manufacturer's specification.
o ANNUAL INSPECTION SERVICES
• Perform Quarterly Inspection Service items.
• Change engine lubrication oil and oil filters.
• Change engine fuel filters (if not required quarterly).
• Change engine air cleaner element(s).
• Change water filters and coolant conditioners (if not required quarterly).
• Obtain oil and coolant sample for analysis by fluid testing lab.
• Dispose of hazardous wastes from Inspection /Service.
• Load banks tested at manufacturer's recommendation on full load for one -
hour and monitored to ensure proper operation.
• Fuel polishing to remove water, bacteria and sediment from fuel tank,
sample fuel to determine condition of fuel.
• Switch gear and automatic transfer switch inspection and service.
• Annual trailer service: pack wheel bearings, check light operation, clean
trailer magnets and adjust breaks, clean and paint any rust.
• Contractor shall provide written recommendations and estimated cost for
repairs beyond normal preventive maintenance service including itemized
cost of all parts.
• EMERGENCY SERVICES
• Contractor shall provide telephone numbers for after - hours, weekend and
holiday emergency service.
• Contractor shall provide 24 -hour emergency service. A technician will respond
within one (1) hour by phone and be onsite within two (2) hours of service
request. Furnish on -site documentation of all PM's and repair work for parts
descriptions, cost, and labor to City Representative.
31 Page
16 -19
• REPAIR SERVICES
o When the need for repair services arises, the City shall request in writing, the
necessary services required in adequate detail. Contractor shall then provide a
letter proposal for Services requested by the City (hereinafter referred to as the
"Letter Proposal "). The Letter Proposal shall include the following:
• A detailed description of the Services to be provided;
• The estimated number of hours and cost to complete the Services; and
• The time needed to finish the specific Project.
o City will assess the Letter Proposal to ensure that services and costs proposed
are commensurate with those provided in the Contractor's RFP response. No
services shall be provided until the City has provided written acceptance of the
Letter Proposal. Once authorized to proceed, Contractor shall diligently perform
the duties in the approved Letter Proposal.
o After -Hours shall be Monday through Thursday 4:00 PM to 7:00 AM.
o Weekend Hours shall be Friday at 3: 30 PM to 7:00 AM Monday.
o Holidays shall be based on the list of Federal Holidays, and are listed below:
• New Year's Day
• Birthday of Martin Luther King, Jr.
• Washington' s Birthday
• Memorial Day
• Independence Day
• Labor Day
• Columbus Day
• Veterans Day
• Thanksgiving Day
• Christmas Day
4 1 P a g e
16 -20
• ADDITIONAL SERVICE REQUIREMENTS
• Contractor shall designate a specific employee or employees to provide services
to the Police Department Headquarters, who shall be required to undergo a
background check process prior to commencement of work.
• Additional as- needed repair or emergency services are performed as applicable
to each piece of equipment. As- needed and emergency repair Services shall be
available 24 hours a day 7 Days a week.
• Fuel delivery of #2 EPA diesel shall be made with Contractor's certified fuel truck.
• Contractor shall hold a current A, B and C -10 Electrical Contractors License.
• If requested, Contractor shall provide assistance with Engine Emissions
information and APCD Registration.
• Factory Trained Generator Service Engineers.
• Contractor's engineers shall be Hazmat Certified to legally haul specified
amounts of hazardous wastes.
• Contractor shall work with City staff to keep the Emergency Power System
operating as safely and reliably as possible. In addition, Contractor shall keep the
City abreast of any changes in local environmental and safety codes and
potential problems that could jeopardize the reliability of the City's generator
equipment.
51 Page
16 -21
CITY GENERATOR DETAILS
Name
Serial #
Address
Make
Model
Power
#5573
3621168
949 W. 16`
MQ
DCA60 -SSI
48 KW
St.
#5576
3649881
3300 Pacific
MQ
DCA60SSI
48 KW
View Dr.
#5591
7400015
3300 Pacific
MQ
DCA100SSJU
48 KW
View Dr.
#5993
3165909
949 W. 16`
Generac
GR50
50 KW
St.
#5994
3231954
949 W. 16`
Generac
GR50
50 KW
St.
#5995
7303265
949 W. 16`
MQ
DCA70 -SSJU
40 KW
St.
#5996
7700i85
949 W. 16`
MQ
DCA85 -SSJU
60 KW
St.
#5997
8500270
949 W. 16`
MQ
DCA125 -SSJU
72 KW
St.
#9291
2037779
949 W. 16`h
Generac
97AO5754 -S
150 KW
St.
#5992 Back Bay
3119161
949 W. 16`
Generac
GR85
71 KW
Pump Station
St.
Bren Tract
2289881
1733 Ford
Kohler
50REZG
50 KW
Rd.
Caterpillar Portable
74610
592
Kato
4132 -1688
200 KW
Superior
Ave
Old City Hall
2051300
3300
Generac
99AO6219 -S
250 KW
Newport
Blvd.
Civic Center #1
2114805
100 Civic
Generac
13557300300
400 KW
Center Dr.
Civic Center #2
2114806
100 Civic
Generac
13557300300
400 KW
Center Dr.
Fire Station #1
890003
110 Balboa
Generac
89AO3730 -S
12.5 KW
Blvd.
Fire Station #2
K800535846
47532 n St.
Onan
125JC -3CR
12.5 KW
Fire Station #3
2038387
868 Santa
Generac
97AO6481 -S
30 KW
Barbara Dr.
Fire Station #4
2010148
124 Marine
Generac
93AO4362 -S
20 KW
Ave.
61 Page
16 -22
Fire Station #5
2072988
410
Generac
3302380100
20 KW
Marigold
Ave.
Fire Station #6
2087723
1348 Dover
Generac
6498200100
20 KW
Dr.
Fire Station #7
D070043062
20401
Cummins
DSHAC —
200 KW
Acacia St.
5841388
Fire Station #8
H950585247
6502 Ridge
Onan
50 DGCA
50 KW
Park Dr.
Harbor Ridge
2291604
Harbor
Kohler
45REZG
45 KW
Ridge &
Ridgeline
Dr.
Life Guard Head
0741794
207 St.
Kohler
30REOZJB
30 KW
Quarters
Police Station
2103983
870 Santa
Generac
1133915010
300 KW
Barbara Dr.
Polaris Dr
2287528
10191/2
Kohler
80REZG
80 KW
Polaris Dr.
Water Dept /Zone 4
351118
3300 Pacific
Waukesha
F1197GU
150 KW
View Dr.
Water Dept/ 3
0719531
3300 Pacific
Kohler
600ROZD4
600 KW
Pump
View Dr.
Zone 5
0729771
39 Morro
Kohler
100RFG
100 KW
Bay Dr.
71 Page
16 -23
EXHIBIT B
SCHEDULE OF BILLING RATES
Global Power Group, Inc. Page B -1
16 -24
1.. p.
r�rrr: u.r`P
COST FILE
Please attach company rate sheets for items not listed below.
Location
Make
Model
Quarterly
PM Service
(3xs a year)
Annual
Service
(1xa year)
Total Per
Unit
#5573
MQ
DCA60 -SSI
$256
$256
$1,024
#5576
MQ
DCA60SSI
$256
$256
$1,024
#5591
MQ
DCA60SSI
$256
$256
$1,024
#5993
Generac
G R50
$263
$263
$1,052
#5994
Generac
G R50
$263
$263
$1,052
#5995
MQ
DCA70 -SSJU
$263
$263
$1,052
#5996
MCI
DCA85 -SSJU
$263
$263
$1,052
#5997
MQ
DCA125-
SSJU
$306
$306
$1,224
#9291
Generac
97AO5754 -S
$306
$306
$1,224
Back Bay Pump Station
Generac
GR85
$277
$277
$1,108
Bren Tract
Kohler
50REZG
$380
$380
$1,520
Caterpillar Portable
Kohler
3406
$400
$400
$1,600
City Hall
Generac
99AO6219 -S
$400
$400
$1,600
Civic Center #1 -
2114805
Generac
1355730030
0
$520
$520
$2,080
Civic Center #2 -
2114806
Generac
1355730030
0
$520
$520
$2,080
Fire Station #1
Generac
89AO3730 -S
$380
$380
$1,520
Fire Station #2
Onan
125JC -3CR
$380
$380
$1,520
Fire Station #3
Generac
97AO6481 -S
$380
$380
$1,520
16 -25
Fire Station #4
Generac
93AO4362 -5
$380
$380
$1,520
Fire Station #5
Generac
3302380100
$380
$380
$1,520
Fire Station #6
Generac
6498200100
$380
$380
$1,520
Fire Station #7
Cummins
DSHAC
$400
$400
$1,600
Life Guard Head
Quarters
Kohler
30REOZJB
$380
$380
$1,520
Fire Station #8
Onan
50 DGCA
$380
$380
$1,520
Harbor Ridge
Kohler
45REZG
$380
$380
$1,520
Police Station
Generac
SC300
$480
$480
$1,920
Polaris Dr
Kohler
80REZG
$430
$430
$1,720
Water Dept/Zone 4
Waukesha
F1197GU
$306
$306
$1,224
Water Dept/ 3 Pump
Kohler
600ROZD4
$480
$480
$1,920
Zone 5
Kohler
10ORFG
$380
$380
$1,520
Repair Services Rates
Regular Hourly Rate
95.00
Minimum Hours
N/A
After -Hours Rate
142.50
Minimum Hours
4hrs if called out
Weekends
142.50
Minimum Hours
4hrs if called out
Holidays 'See scope
for qualifying
holidays
190.00
Minimum Hours
4hrs
The pricing indicated above must be inclusive of anyapplicable Prevailing Wage.
16 -26
EXHIBIT C
INSURANCE REQUIREMENTS — MAINTENANCEIREPAIR/JANITORIAL SERVICES
1. Provision of Insurance. Without limiting Contractor's indemnification of City, and
prior to commencement of Work, Contractor shall obtain, provide and maintain at
its own expense during the term of this Agreement, policies of insurance of the
type and amounts described below and in a form satisfactory to City. Contractor
agrees to provide insurance in accordance with requirements set forth here. If
Contractor uses existing coverage to comply and that coverage does not meet
these requirements, Contractor agrees to amend, supplement or endorse the
existing coverage.
2. Acceptable Insurers. All insurance policies shall be issued by an insurance
company currently authorized by the Insurance Commissioner to transact
business of insurance in the State of California, with an assigned policyholders'
Rating of A- (or higher) and Financial Size Category Class VII (or larger) in
accordance with the latest edition of Best's Key Rating Guide, unless otherwise
approved by the City's Risk Manager.
3. Coverage Requirements.
A. Workers' Compensation Insurance. Contractor shall maintain Workers'
Compensation Insurance, statutory limits, and Employer's Liability
Insurance with limits of at least one million dollars ($1,000,000) each
accident for bodily injury by accident and each employee for bodily injury
by disease in accordance with the laws of the State of California, Section
3700 of the Labor Code.
Contractor shall submit to City, along with the certificate of insurance,
a Waiver of Subrogation endorsement in favor of City, its officers,
agents, employees and volunteers.
B. General Liability Insurance. Contractor shall maintain commercial general
liability insurance and, if necessary, umbrella liability insurance, with
coverage at least as broad as provided by Insurance Services Office form
CG 00 01, in an amount not less than one million dollars ($1,000,000) per
occurrence, two million dollars ($2,000,000) general aggregate. The
policy shall cover liability arising from premises, operations, products -
completed operations, personal and advertising injury, and liability
assumed under an insured contract (including the tort liability of another
assumed in a business contract).
C. Automobile Liability Insurance. Contractor shall maintain automobile
insurance at least as broad as Insurance Services Office form CA 00 01
covering bodily injury and property damage for all activities of Contractor
arising out of or in connection with Work to be performed under this
Agreement, including coverage for any owned, hired, non -owned or rented
Global Power Group, Inc. Page C -1
16 -27
vehicles, in an amount not less than one million dollars ($1,000,000)
combined single limit each accident.
4. Other Insurance Requirements. The policies are to contain, or be endorsed to
contain, the following provisions:
A. Waiver of Subrogation. All insurance coverage maintained or procured
pursuant to this Agreement shall be endorsed to waive subrogation
against City, its elected or appointed officers, agents, officials, employees
and volunteers or shall specifically allow Contractor or others providing
insurance evidence in compliance with these requirements to waive their
right of recovery prior to a loss. Contractor hereby waives its own right of
recovery against City, and shall require similar written express waivers
from each of its subconsultants.
B. Additional Insured Status. All liability policies including general liability,
products and completed operations, excess liability, pollution liability, and
automobile liability, if required, shall provide or be endorsed to provide that
City and its officers, officials, employees, and agents shall be included as
insureds under such policies.
C. Primary and Non Contributory. All liability coverage shall apply on a
primary basis and shall not require contribution from any insurance or self -
insurance maintained by City.
D. Notice of Cancellation. All policies shall provide City with thirty (30)
calendar days notice of cancellation (except for nonpayment for which ten
(10) calendar days notice is required) or nonrenewal of coverage for each
required coverage.
5. Additional Agreements Between the Parties. The parties hereby agree to the
following:
A. Evidence of Insurance. Contractor shall provide certificates of insurance
to City as evidence of the insurance coverage required herein, along with
a waiver of subrogation endorsement for workers' compensation and other
endorsements as specified herein for each coverage. Insurance
certificates and endorsement must be approved by City's Risk Manager
prior to commencement of performance. Current certification of insurance
shall be kept on file with City at all times during the term of this
Agreement. City reserves the right to require complete, certified copies of
all required insurance policies, at any time.
B. City's Right to Revise Requirements. City reserves the right at any time
during the term of the Agreement to change the amounts and types of
insurance required by giving Contractor sixty (60) calendar days advance
written notice of such change. If such change results in substantial
Global Power Group, Inc. Page C -2
1s -2s
additional cost to Contractor, City and Contractor may renegotiate
Contractor's compensation.
C. Right to Review Subcontracts. Contractor agrees that upon request, all
agreements with subcontractors or others with whom Contractor enters
into contracts with on behalf of City will be submitted to City for review.
Failure of City to request copies of such agreements will not impose any
liability on City, or its employees. Contractor shall require and verify that
all subcontractors maintain insurance meeting all the requirements stated
herein, and Contractor shall ensure that City is an additional insured on
insurance required from subcontractors. For CGL coverage,
subcontractors shall provide coverage with a format at least as broad as
CG 20 38 04 13.
D. Enforcement of Agreement Provisions. Contractor acknowledges and
agrees that any actual or alleged failure on the part of City to inform
Contractor of non - compliance with any requirement imposes no additional
obligations on City nor does it waive any rights hereunder.
E. Requirements not Limiting. Requirements of specific coverage features
or limits contained in this Section are not intended as a limitation on
coverage, limits or other requirements, or a waiver of any coverage
normally provided by any insurance. Specific reference to a given
coverage feature is for purposes of clarification only as it pertains to a
given issue and is not intended by any party or insured to be all inclusive,
or to the exclusion of other coverage, or a waiver of any type. If the
Contractor maintains higher limits than the minimums shown above, the
City requires and shall be entitled to coverage for higher limits maintained
by the Contractor. Any available insurance proceeds in excess of the
specified minimum limits of insurance and coverage shall be available to
the City.
F. Self- insured Retentions. Any self- insured retentions must be declared to
and approved by City. City reserves the right to require that self- insured
retentions be eliminated, lowered, or replaced by a deductible. Self -
insurance will not be considered to comply with these requirements unless
approved by City.
G. City Remedies for Non - Compliance If Contractor or any sub -
consultant fails to provide and maintain insurance as required herein, then
City shall have the right but not the obligation, to purchase such
insurance, to terminate this Agreement, or to suspend Contractor's right to
proceed until proper evidence of insurance is provided. Any amounts paid
by City shall, at City's sole option, be deducted from amounts payable to
Contractor or reimbursed by Contractor upon demand.
Global Power Group, Inc. Page C -3
16 -29
H. Timely Notice of Claims. Contractor shall give City prompt and timely
notice of claims made or suits instituted that arise out of or result from
Contractor's performance under this Contract, and that involve or may
involve coverage under any of the required liability policies. City assumes
no obligation or liability by such notice, but has the right (but not the duty)
to monitor the handling of any such claim or claims if they are likely to
involve City.
Contractor's Insurance. Contractor shall also procure and maintain, at its
own cost and expense, any additional kinds of insurance, which in its own
judgment may be necessary for its proper protection and prosecution of
the Work.
Global Power Group, Inc. Page C -4
16 -30