Loading...
HomeMy WebLinkAboutC-8458-1 - PSA for Security Guard Services90 pp PROFESSIONAL SERVICES AGREEMENT WITH LYONS SECURITY SERVICE, INC. FOR C> SECURITY GUARD SERVICES THIS PROFESSIONAL SERVICES AGREEMENT ("Agreement") is made and entered into as of this 1 st day of April, 2017 ("Effective Date"), by and between the CITY OF NEWPORT BEACH, a California municipal corporation and charter city ("City"), and LYONS SECURITY SERVICE, INC., a California corporation ("Consultant'), whose address is 2582 N. Santiago Blvd., Orange, CA 92867, 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 Consultant to provide Security Guard Services ("Project'). C. Consultant possesses the skill, experience, ability, background, certification and knowledge to provide the professional services described in this Agreement. D. City has solicited and received a proposal from Consultant, has reviewed the previous experience and evaluated the expertise of Consultant, and desires to retain Consultant to render professional services under the terms and conditions set forth 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 February 28, 2019, unless terminated earlier as set forth herein. 2. SERVICES TO BE PERFORMED Consultant 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"). City may elect to delete certain Services within the Scope of Services at its sole discretion. 3. TIME OF PERFORMANCE 3.1 Time is of the essence in the performance of Services underthis Agreement and Consultant 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 Consultant 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, Consultant shall not be responsible for delays due to causes beyond Consultant'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 Consultant shall submit all requests for extensions of time for performance in writing to the Project Administrator as defined herein not later than ten (10) 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 Consultant's control. 3.4 For all time periods not specifically set forth herein, Consultant shall respond in the most expedient and appropriate manner under the circumstances, by hand -delivery or mail. 4. COMPENSATION TO CONSULTANT 4.1 City shall pay Consultant 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. Consultant's compensation for all Work performed in accordance with this Agreement, including all reimbursable items and subconsultant fees, shall not exceed Sixty Thousand Dollars and 001100 ($60,000.00), without prior written authorization from City. No billing rate changes shall be made during the term of this Agreement without the prior written approval of City. 4.2 Consultant shall submit monthly invoices to City describing the Work performed the preceding month. Consultant's bills shall include the name of the person 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 Consultant no later than thirty (30) calendar days after approval of the monthly invoice by City staff. 4.3 City shall reimburse Consultant only for those costs or expenses specifically identified in Exhibit B to this Agreement or specifically approved in writing in advance by City. 4.4 Consultant 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. Lyons Security Service, Inc. Page 2 Compensation for any authorized Extra Work shall be paid in accordance with the Schedule of Billing Rates as set forth in Exhibit B. 5. PROJECT MANAGER 5.1 Consultant 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. Consultant has designated Kathleen Guidice to be its Project Manager. Consultant 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. 5.2 Consultant, 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. Consultant warrants that it will continuously furnish the necessary personnel to complete the Project on a timely basis as contemplated by this Agreement. 5.3 If Consultant is performing inspection services for City, the Project Manager and any other assigned staff shall be equipped with a cellular phone to communicate with City staff. The Project Manager's cellular phone number shall be provided to City. 6. ADMINISTRATION This Agreement will be administered by the Recreation & Senior Services Department. City's Recreation & Senior Services Director 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. 7. CITY'S RESPONSIBILITIES To assist Consultant in the execution of its responsibilities under this Agreement, City agrees to provide access to and upon request of Consultant, 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 Consultant's Work schedule. 8. STANDARD OF CARE 8.1 All of the Services shall be performed by Consultant or under Consultant's supervision. Consultant represents that it possesses the professional and technical personnel required to perform the Services required by this Agreement, and that it will perform all Services in a manner commensurate with community professional standards and with the ordinary degree of skill and care that would be used by other reasonably competent practitioners of the same discipline under similar circumstances. All Services shall be performed by qualified and experienced personnel who are not employed by City. By delivery of completed Work, Consultant certifies that the Work conforms to the Lyons Security Service, Inc. Page 3 requirements of this Agreement, all applicable federal, state and local laws, and legally recognized professional standards. 8.2 Consultant represents and warrants to Citythat 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 Consultant to practice its profession. Consultant shall maintain a City of Newport Beach business license during the term of this Agreement. 8.3 Consultant shall not be responsible for delay, nor shall Consultant 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 Consultant's Work promptly, or delay or faulty performance by City, contractors, or governmental agencies. 9. HOLD HARMLESS 9.1 To the fullest extent permitted by law, Consultant 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 Consultant's presence or activities conducted on the Project (including the negligent, reckless, and/or willful acts, errors and/or omissions of Consultant, 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). 9.2 Notwithstanding the foregoing, nothing herein shall be construed to require Consultant 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 Consultant. 10. INDEPENDENT CONTRACTOR It is understood that City retains Consultant on an independent contractor basis and Consultant is not an agent or employee of City. The manner and means of conducting the Work are under the control of Consultant, except to the extent they are limited by statute, rule or regulation and the expressed terms of this Agreement. No civil Lyons Security Service, Inc. Page 4 service status or other right of employment shall accrue to Consultant or its employees. Nothing in this Agreement shall be deemed to constitute approval for Consultant or any of Consultant's employees or agents, to be the agents or employees of City. Consultant shall have the responsibility for and control over the means of performing the Work, provided that Consultant is in compliance with the terms of this Agreement. Anything in this Agreement that may appear to give City the right to direct Consultant as to the details of the performance of the Work or to exercise a measure of control over Consultant shall mean only that Consultant shall follow the desires of City with respect to the results of the Services. 11. COOPERATION Consultant 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 the Consultant on the Project. 12. CITY POLICY Consultant 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 Consultant 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 Consultant's indemnification of City, and prior to commencement of Work, Consultant 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. 15. 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 Consultant, or of the interest of any general partner or joint venturer or syndicate member or cotenant if Consultant is a partnership or joint -venture or syndicate or co -tenancy, which shall result in changing the control of Consultant. 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. Lyons Security Service, Inc. Page 5 16. SUBCONTRACTING The subcontractors authorized by City, if any, to perform Work on this Project are identified in Exhibit A. Consultant 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. 17. OWNERSHIP OF DOCUMENTS 17.1 Each and every report, draft, map, record, plan, document and other writing produced, including but not limited to, websites, blogs, social media accounts and applications (hereinafter "Documents"), prepared or caused to be prepared by Consultant, 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 Consultant or any other party. Additionally, all material posted in cyberspace by Consultant, 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 Consultant or any other party. Consultant shall, at Consultant's expense, provide such Documents, including all logins and password information to City upon prior written request. 17.2 Documents, including drawings and specifications, prepared by Consultant pursuant to this Agreement are not intended or represented to be suitable for reuse by City or others on any other project. Any use of completed Documents for other projects and any use of incomplete Documents without specific written authorization from Consultant will be at City's sole risk and without liability to Consultant. Further, any and all liability arising out of changes made to Consultant's deliverables under this Agreement by City or persons other than Consultant is waived against Consultant, and City assumes full responsibility for such changes unless City has given Consultant prior notice and has received from Consultant written consent for such changes. 17.3 All written documents shall be transmitted to City in formats compatible with Microsoft Office and/or viewable with Adobe Acrobat. 18. 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. Lyons Security Service, Inc. Page 6 19. INTELLECTUAL PROPERTY INDEMNITY Consultant shall defend and indemnify City, its agents, officers, representatives and employees against any and all liability, including costs, for infringement or alleged infringement of any United States' letters patent, trademark, or copyright, including costs, contained in Consultant's Documents provided under this Agreement. 20. RECORDS Consultant shall keep records and invoices in connection with the Services to be performed under this Agreement. Consultant 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 Consultant under this Agreement. All such records and invoices shall be clearly identifiable. Consultant shall allow a representative of City to examine, audit and make transcripts or copies of such records and invoices during regular business hours. Consultant 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 Consultant under this Agreement. 21. WITHHOLDINGS City may withhold payment to Consultant 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. Consultant shall not discontinue Work as a result of such withholding. Consultant shall have an immediate right to appeal to the City Manager or designee with respect to such disputed sums. Consultant 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. ERRORS AND OMISSIONS In the event of errors or omissions that are due to the negligence or professional inexperience of Consultant which result in expense to City greater than what would have resulted if there were not errors or omissions in the Work accomplished by Consultant, the additional design, construction and/or restoration expense shall be borne by Consultant. Nothing in this Section is intended to limit City's rights under the law or any other sections of this Agreement. 23. CITY'S RIGHT TO EMPLOY OTHER CONSULTANTS City reserves the right to employ other Consultants in connection with the Project Lyons Security Service, Inc. Page 7 24. CONFLICTS OF INTEREST 24.1 Consultant 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. 24.2 If subject to the Act, Consultant 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. Consultant shall indemnify and hold harmless City for any and all claims for damages resulting from Consultant's violation of this Section. 25. NOTICES 25.1 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. 25.2 All notices, demands, requests or approvals from Consultant to City shall be addressed to City at: Attn: Laura Detweiler, Recreation & Senior Services Director Recreation & Senior Services Department City of Newport Beach 100 Civic Center Drive PO Box 1768 Newport Beach, CA 92658 25.3 All notices, demands, requests or approvals from City to Consultant shall be addressed to Consultant at: Attn: Kathleen E. Guidice Lyons Security Service, Inc. 2582 N. Santiago Blvd. Orange, CA 92887 26. CLAIMS Unless a shorter time is specified elsewhere in this Agreement, before making its final request for payment underthis Agreement, Consultant shall submit to City, in writing, all claims for compensation under or arising out of this Agreement. Consultant'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 Consultant in writing as unsettled at the time of its final request for payment. Consultant and City expressly agree that in addition to any claims filing requirements set Lyons Security Service, Inc. Page 8 forth in the Agreement, Consultant shall be required to file any claim Consultant may have against City in strict conformance with the Government Claims Act (Government Code sections 900 et seq.). 27. TERMINATION 27.1 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. 27.2 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 Consultant. In the event of termination under this Section, City shall pay Consultant for Services satisfactorily performed and costs incurred up to the effective date of termination for which Consultant has not been previously paid. On the effective date of termination, Consultant 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. 28. STANDARD PROVISIONS 28.1 Recitals. City and Consultant acknowledge that the above Recitals are true and correct and are hereby incorporated by reference into this Agreement. 28.2 Compliance with all Laws. Consultant 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 Consultant 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. Lyons Security Service, Inc. Page 9 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 Consultant 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. Consultant represents that it is an equal opportunity employer and it shall not discriminate against any subcontractor, employee or applicant for employment because race, religious creed, color, national origin, ancestry, physical handicap, medical condition, marital status, sex, sexual orientation, 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 party 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] Lyons Security Service, Inc. Page 10 IN WITNESS WHEREOF, the parties have caused this Agreement to be executed on the dates written below. APPROVED AS TO FORM: CITY ATTO 1 'S OFFICE Date: 2 By: Aaro C. Harp 03 torney ATTEST: Date: By: �44t�l- Leilani I. Brown City Clerk PORNi CITY OF NEWPORT BEACH, a California municipal corporation Date: '9 • ZV6- la-- auta Detweiler tion & Senior Services Director CONSULTANT: Lyons Security Service, Inc., a California corporation Date: 3 g3 By: Kathleen E. Guidice Chief Executive Officer/ Secretary [END OF SIGNATURES] Attachments: Exhibit A — Scope of Services Exhibit B — Schedule of Billing Rates Exhibit C — Insurance Requirements Lyons Security Service, Inc. Page 11 EXHIBIT A SCOPE OF SERVICES Lyons Security Service, Inc. Page A-1 SCOPE OF SERVICES LYONS SECURITY SERVICE The Recreation & Senior Services Department utilizes Security services for various rentals held at City facilities. City shall use Lyons Security Service for any of the following duties: Protect the safety of persons and properties on site. • Respond to renter's day of event requests immediately. • Interact with rental clients in a polite and professional manner. • Prevent and minimize fire, theft, damage and trespassing on the property. • Prohibit entry into security sites by anyone other than persons authorized to the premises. • Report any unusual incidents or hazardous conditions. • Maintain an electronic daily log for each shift, distribute to the Contractor and City staff. • Complete rounds of the facility to ensure security measures are complete. • Assistlescort visitors on/off the property if necessary. • Inspect all floors/parking lots to ensure maintenance and security breaches have not occurred. • Officers shall be responsible for all building and system keys in their possession and shall be accountable for the whereabouts of keys at all time. • Be familiar and implement emergency procedures when necessary. • Officers will provide foot patrols at each site, documenting all activity. • Officers will be in fully Lyons -approved uniforms from the start of their shift to the end. • Officers will be able to communicate clear English • As the duties outlined above are general descriptions of work for the security officers, the City of Newport Beach may see other requirements the officers shall maintain and Contractor will adjust accordingly. • Contractor will ensure that officers provide exceptional service through checks and balances of our Quality Assurance Program. Quality assurance inspections will be performed in order to ensure the optimum performance of guard force personnel and adherence to all contractual requirements. • The Lyons inspection system encompasses both scheduled and unscheduled inspections, comprised of daily, weekly, and quarterly inspections. Deficiencies will be reported to the corporate office immediately. Accordingly, subsequent corrective action shall be devised and immediately implemented. • Provide a project manager, who shall coordinate all phases of security services. • The City owns and operates facilities that host rental events. Pursuant to the Newport Beach Municipal Code a security presence is required at any rental event in which alcohol is served. These events include, but are not limited to: weddings, receptions, fundraisers, conferences, holiday parties, birth day parties, celebrations of life and other social gatherings. If alcohol is served at any of these events, guests under the age of twenty-one (21) years old are prohibited from serving or being served alcohol. Security guards assigned by Contractor shall ensure that no alcohol leaves the premises of an event, unless specifically permitted by the City. • Security guards assigned by Contractor shall have the authority to enforce all City imposed rules and regulations pertaining to facility rentals by asking guests for compliance. In the event there continues to be a lack of compliance, security guards shall contact the Newport Beach Police Department to address situations that cannot be handled. Quality Assurance Program Scheduled and Unscheduled Inspections Scope of Inspection System Quality assurance inspections will be performed in order to ensure the optimum performance of guard force personnel and adherence to all contractual requirements. The Lyons inspection system encompasses both scheduled and unscheduled inspections, comprised of shift musters, post inspections, and daily, weekly, and quarterly inspections. Deficiencies will be reported to the regional and corporate offices immediately. Accordingly, subsequent corrective action shall be devised and immediately implemented. Inspection reports will be maintained as a permanent record and shall include a detailed account of all pertinent information relating to each detected deficiency and subsequent corrective action. • The Supervisors will conduct shift musters prior to guards going on duty. During shifts, guard force personnel will be assigned equipment, issued orders, receive training, and inspected for personal appearance. • The Supervisors or the designee to insure that all personnel have properly entered the network will monitor the communications network during each shift Post Inspections Each week, the Project Manager will provide the Supervisors with a detailed program identifying scheduled and unscheduled inspections to be performed. These inspections shall be performed utilizing the required checklists and established filing procedures. • The Supervisor will conduct a detailed inspection of each post to ensure that guards are performing their duties in accordance with the general and post orders and to ascertain the functionality of equipment. • The Supervisor will inspect posts and create post inspection reports. Inspection reports contain, but are not limited to: 1. Attitude and personal hygiene 2. Condition of assigned equipment 3. Condition of uniforms 4. Knowledge of general and post orders 5. Knowledge of revised and/or special orders 6. Condition and functionality of the post (e.g., radios and equipment) 7. Accuracy and completeness of post logs Daily The Project Manager and Supervisors will monitor daily operational elements of Inspections the program, including a review of posts, activities, incidents, and log reports. • Each month, the Project Manager and Supervisors will review the daily inspection reports for the previous month and reward those individuals selected as exemplary Lyons Security Service, Inc. Quality Insurance Program, Updated July 7 2076 Quality Assurance Program Weekly Post inspections by the Supervisors will be performed weekly in order to ensure Inspections that guards are performing duties in accordance with the general and post orders 1. and to ensure that all equipment is in proper, functional order. Each week, the Project Manager and Supervisors will conduct one scheduled and one unscheduled detailed inspection of each post. Supervisors • The Project Manager will personally review the performance of the Supervisors 2. weekly. Supervisors • Each week, the Project Manager and Supervisors will review the training needs and activities of the guard force as well as any security -related problems or incidents. • The Supervisors will conduct a weekly review of key control, including an 3. inspection of all keys and combinations. Supervisors • The Project Manager will also conduct weekly staff meetings with the Supervisors for the purpose of resolving conflicts and maintaining effective lines of communication. During the staff meetings, the Project Manager and Supervisors 4. will evaluate performance improvement suggestions submitted by guard force Supervisors personnel. Monthly Each month, the Project Manager will personally review key control, preparedness Inspections for emergency response and inspect all guard force equipment. Quarterly Members of the Lyons managerial staff will conduct a detailed inspection of the Inspections guard force program each quarter. Each inspection shall include, but is not limited to, the following: 1. Performance evaluation of the Supervisors. 6. 2. A review of each post operation, to include general and post orders, familiarity Supervisors of personnel with post functions and emergency procedures, and operational expertise with special and emergency equipment. 3. A random inspection of guard force personnel to monitor the condition of uniforms and physical appearance, and to determine the levels of alertness, record keeping, security knowledge, job familiarity, morale, and attitude. 4. A detailed review with the Client point contact of noted deficiencies, problems, personnel issues, improvements, and suggested modifications. 5. A review of both operational and administrative records. 6. A review of explosive detection and/or x-ray inspection records when necessary. 7. A review of surveillance detection operations and records. As Needed Unscheduled inspections will be used at any time during the course of the contract to ensure the optimum performance of guard force personnel and compliance with all contractual requirements II. Scheduled/Announced Inspections TASK DESCRIPTION INSPECTOR FREQUENCY 1. Training Project Manager and Once per week Supervisors 2. Post Inspection: Supervisors Once per shift Uniforms and Hygiene 3. Post Inspection: Supervisors Once per shift Condition of Equipment 4. Post Inspection: Supervisors Once per shift Knowled e of Orders 5. Post Inspection: Supervisors Once per shift Standards of Conduct 6. Post Inspection: Supervisors Once per shift Condition of Post Lyons Security Service, Inc. Quality Insurance Program, Updated July 12016 Quality Assurance Program TASK DESCRIPTION INSPECTOR FREQUENCY 7. Post Inspection: Accuracy of Logs and Reports Supervisors Once per shift 8. Ent /Exit Control Supervisors Once per shift 9. Building Perimeters Supervisors Once per shift 10. Secured Gates/Buildings Supervisors Once per shift 11. Guard Force Vehicles Supervisors One per shift and one per week III. Unscheduled/Unannounced Inspections TASK DESCRIPTION INSPECTOR FRE UENCY 1. Supervisors Project Manager One per week 2. Post Inspection: Uniforms and Hygiene Supervisors Once per shift 3. Post Inspection: Condition of Equipment Supervisors Once per shift 4. Post Inspection: Knowledge of Orders Supervisors Once per shift 5. Post Inspection: Standards of Conduct Supervisors Once per shift 6. Post Inspection: Condition of Post Supervisors Once per shift 7. Post Inspection: Accuracy of Logs and Reports Supervisors Once per shift 8. En /Exit Control Supervisors Once per shift 9. Building Perimeters Supervisors Once per shift 10. Review Station Logs and Reports Supervisors Once per shift 11. Secured Gates/Buildings Supervisors Once per shift 12. Monitor Alarms Supervisors Once per shift 13. Keys and Combinations Guard Supervisor Proect Mana er Weekly Monthly 14. Preparedness for Emergency Response Project Manager Monthly 15. Alarm Response Project Manager As needed 16. Escorts if utilized Project Manager As needed IV. Summary of Scheduled and Unscheduled Inspections The following activities will occur on a scheduled basis 1. Conduct a review of shift change to ensure that it occurs in accordance with written guidance and no posts are left unmanned to ensure compliance with written procedures and complete staffing of posts. 2. Ensure that posts are properly staffed. 3. Confirm Guard fitness and ability to work. 4. Confirm the presence and functionality of required post equipment. 5. Confirm Guard receipt of new instructions/requirements concerning post duties and ensure the implementation of previous instructions. 7. Interview Guards to determine knowledge of post and general orders. Lyons Security Service, Inc. Quality Insurance Program, Updated July 12016 Quality Assurance Program 8. Inspect the post logs and records to ensure the timely recording of entries The aforementioned activities may also be inspected on an unscheduled basis, if scheduled inspections revealed the existence of a particular problem with a specific post, person, or activity, unscheduled inspections will take place to correct the problem. The following inspection events and activities will occur on a regular, unscheduled basis: 1. Ensure that posts are properly manned 2. Confirm that Guards are alert and are knowledgeable of their duties 3. Advise Guards of new information that was not available at the beginning of the shift 4. Check that Guards have all required equipment and equipment is operational 5. Check that scheduled inspections are conducted. Lyons Security Service, Inc. Quality Insurance Program, Updated July 12016 Quality Assurance Program Identifying and Correcting Deficiencies General Identifying and correcting deficiencies is the primary objective of the Lyons quality assurance inspection system. The inspection system consists of five critical components: 1. Inspectors—attuned to areas of contract compliance criticality 2. Schedules—regular inspection timetables 3. Elements—itemized list of inspection agenda 4. Procedures—the approach and implementation of the inspection 5. Corrective action —consistent actions enforced to correct detected deficiencies. it. Inspectors The inspection staff and corresponding chain of command are as follows: Supervisors Project Manager Director of Operations President/CEO The corporate office is ultimately responsibility for quality assurance. However, completion of all operational inspections will be the responsibility of the Project Manager, Guard and Supervisors. Lyons holds its operational management staff accountable as follows: Project Responsible for the overall quality assurance program, including development and Manager implementation. • Reviews all related documentation within 24 hours after completion of each inspection. • Ensures compliance and completion of established inspection schedules. • Conducts weekly and monthly inspections of various elements of the guard force operations. Guard Monitors all elements of the quality assurance program. Supervisor Ensures that corrective action is implemented expeditiously. • Conducts weekly inspections of various other elements of the guard force operations. • Executes the quality assurance inspections. Inspects guard force personnel at their assigned post during a designated shift. III. Schedules Frequent inspections provide a means for identifying and subsequently correcting performance deficiencies before attaining unacceptable levels. Inspection intervals are as follows: Hourly Supervisors will perform radio checks every hour to ensure radio access to guard force Inspections personnel and proper use of the communications net. Lyons Security Service, Inc. Quality Insurance Program, Updated July 12016 Quality Assurance Program Shift The Project Manager and/or Supervisors will conduct a shift before Guards commence Inspections duty assignments. During shift review, guard force personnel will be assigned post • equipment, issued orders, provided training, and inspected for personal appearance, • including uniform and hygiene. • Supervisors will monitor the communications net during each shift changeover to • ensure that oncoming guard force personnel have properly entered the net. • The oncoming Guard Supervisor will inspect all vehicles at the beginning of each • shift. Vehicle inspections will include safety and lighting equipment, fluid levels, and • vehicle service records. • The Project Manager and/or Supervisors will conduct a detailed inspection of each post at least twice per shift during daylight hours and three times per shift during night hours. Post inspections will be performed in order to ensure that Guards are performing duties in accordance with the general and post orders, and to ensure that all equipment is in proper, functional order. Daily The Project Manager and Supervisors will monitor all operational elements of the Inspections guard force operations to ensure full compliance with all contractual requirements. Weekly The Project Manager will assess the performance of the Supervisors each week to Inspections ensure compliance with contractual specifications and Lyons performance requirements. • Post inspections by the Supervisors will be performed weekly in order to ensure that Guards are performing duties in accordance with the general and post orders and to ensure that all equipment is in proper, functional order. Each week, the Supervisors will conduct one scheduled and one unscheduled detailed inspection of each post. Shifts to be inspected by the Supervisors during these weekly inspections will be alternated each week in order to ensure that all posts during all shifts are reviewed. • The Project Manager, or Supervisors will assess the training needs and activities of the guard force. • The Supervisors will inspect all keys and combinations. Monthly The Project Manager will inspect guard force equipment, including an inventory Inspections account of all communications equipment and post furnishings. • The Project Manager will review key control and preparedness for emergency Quarterly Members of the Lyons corporate staff or designees will conduct one detailed Inspections inspection approximately once each calendar quarter of all aspects of the guard force program. As Needed Unscheduled inspections will be used at any time during the course of the contract to ensure optimum performance of the guard force personnel and compliance of all contractual requirements. IV. Elements Each operational element of the guard force program will be subject to review and inspection. Operational elements include, but are not limited to, the following: Personnel Post qualifications • Performance levels • Knowledge of post and general orders • Personal appearance including uniform and hygiene • Standards of conduct • Training needs. Training Basic Training • Annual Recertification Training • Surveillance Detection Training (when applicable) • Explosives/X-ray Training (when applicable) Lyons Security Service, Inc. Quality Insurance Program, Updated July 12016 Quality Assurance Program • Chemical and Biological Countermeasures Training (when applicable) • Remedial Training Posts Post orders, circulars and security bulletins • Entry/exit control • Logs and reports • Keys and combinations • Equipment Preparedness for emergency response. Property and Lyons-Fumished Property Equipment Client -Furnished Property Procedures Lyons Standard Operating Procedures • Security procedures • Client's rules and regulations Applicable local laws. V. Procedures Upon contract award, members of the corporate staff, the Project Manager or Supervisors will conduct a review of each post location. Inspection procedures tailored to the specific contractual requirements for each post will then be developed. All quality assurance inspections, regardless of location and/or post, will include the following basic components: Observations Observations of guard force personnel in the performance of assigned duties provide the primary means for assessing performance. Questions Questions are designed by management personnel to gauge knowledge of: 1. Assigned duties 2. Post and general orders 3. Standards of conduct 4. Lyons -furnished property 5. Client-fumished property 6. Client rules and regulations 7 Guard force policies and procedures. Documentation All inspections will be documented using prescribed reports and checklists. ' If deficiencies are detected, a report will be written at the time of the incident, or if minor, summarized on the daily log. • Subsequent corrective actions will also be documented. • The inspecting employee will prepare the inspection reports. • Inspectors are trained to detail their observations, as complete and accurate inspection reports and checklists are critical to the success of the quality assurance inspection system. • Language used in inspection documentation will be clear and specific. • All inspection documentation will be reviewed by the Project Manager or Supervisors within 24 hours after completion of each inspection in order to: 1. Identify potential operational deficiencies 2. Evaluate performance levels of guard force personnel 3. Identify performance issues to be addressed with remedial training. Feedback Prompt feedback of results is vital to the success of the quality assurance program. • Feedback of positive results motivates employees and promotes individual pride. • Expedient feedback of negative results ensures that deficiencies are addressed before the guard force mission is detrimentally affected. Lyons Security Service, Inc. QualityInsurance Program, Updated July 12016 Quality Assurance Program Corrective Corrective action, if necessary, will be developed and implemented as Action expeditiously as possible. • For example, should the Guard Supervisor inspect a post and discover it vacant, he/she will immediately implement corrective action as follows: L Immediately obtain a replacement guard for the post 2. Locate and relieve the missing Guard 3. Prepare an incident report and UNSAT inspection report 4. Obtain additional information and/or statements from witnesses 5. Determine and implement disciplinary action. • If corrective action cannot be implemented immediately, the Project Manager will be notified immediately and a thorough investigation conducted to determine the appropriate course of action. VI. Corrective Action If deficiencies are detected, a prompt evaluation will be made by the inspecting operational management/supervisory personnel to determine the appropriate course of corrective action. When possible, corrective action will be developed and implemented at the time of the inspection. Common areas of deficient performance and the typical corrective action used are as follows: Personnel For deficiencies originating from sub -par performance or work habits, the Performance operational managemendsupervisory personnel will refer to the Lyons personnel and/or management policies Work Habits Depending on the nature, severity, and frequency of the offense, any of the following courses of disciplinary action may be utilized: I. Verbal counseling 2. Written warning 3. Probation 4. Suspension 5. Termination. Training If determined by the inspecting operational management/supervisory personnel that performance deficiencies are due to inadequate training, remedial training will be conducted at no additional cost to the Client. Unforeseen Should deficiencies be due to circumstances beyond Lyons control, it will be Circumstances recorded as a discrepancy for the Client contact and the Project Manager to seek immediate resolution, as necessary. • If corrective action requires assistance from the Client, the Project Manager will submit a written report to the Client contact and forward a copy to the Lyons corporate office. The Project Manager and Client contact will develop a suitable plan of action while coordinating the appropriate agencies. Upon detection of a deficiency, the Project Manager will be responsible for monitoring the development and subsequent implementation of corrective action. The Project Manager will also be responsible for the distribution of related documentation, establishing a tracking file, defining target dates and coordinating training, if necessary. Each month, the Project Manager will submit a monthly summary describing the status of each deficiency and associated corrective action to the corporate head of operations. Lyons Security Service, Inc. Quality Insurance Program, UpdatedJuly 12016 Quality Assurance Program Disciplinary & Corrective Actions General It is the responsibility of all Lyons supervisory and management personnel to ensure full compliance of all contractual requirements and Lyons policies and procedures. Under the guidance of this procedure, the Regional Director, Project Manager and Supervisor(s) are ultimately responsible for administering the disciplinary process. The process involves disciplinary and/or corrective actions that are progressive, with increasing severity for each offense. The Project Manager reports all violations of contractual requirements or company policies and procedures immediately to Lyons Regional Director. Subsequent disciplinary action is expedited to ensure violations are promptly addressed. Depending on the nature and severity of the infraction, disciplinary courses of action generally include: • Verbal counseling • Written warning • Probation Suspension • Termination • Any combination of the above. Suspensions and/or terminations will be administered in accordance with Lyons policy regarding suspensions and terminations. However, gross violations may be cause for immediate suspension or termination. Guidelines on the use of these disciplinary actions, which are for this contract, are found below. II. Verbal Counseling Verbal counseling is generally used to address first time offenses of minor violations and may only be used when the Project Manager believes the infraction can and will be resolved through counseling. All verbal counseling sessions will be documented utilizing the notes taken by the Project Manager during each session. The procedure for verbal counseling follows: WHO ACTION TAKEN Employee Commits a minor violation. Project Manager Prior to counseling, obtains a copy of the employee's disciplinary history for reference. Project Manager Begins the counseling session by informing the employee that they are being verbally counseled for violation of company policies and procedures or contractual requirements. Project Manager Identifies the specific policy, procedure, or requirement affected and describes in detail the nature of the infraction, including names, dates, times, locations, and actions. Employee Is given the opportunity to provide a statement relative to the infraction. Project Manager Reviews previous disciplinary actions with the employee. Lyons Security Service, Inc. Quality Insurance Program, Updated July 12016 Quality Assurance Program Project Manager Informs employee that further infractions of company policies and procedures or Employee contractual requirements will result in further disciplinary action up to and including discharge. Project Manager Reviews the verbal counseling session with the employee. Signs the documentation. Employee Signs verbal counseling documentation. Should the employee decline to sign, the Project Manager Project Manager indicates the employee has refused to sign by writing "Employee Refuses to Sign." Project Manager Distributes copies of the verbal counseling session documentation as follows: Project Manager * Original is retained for the employee's on-site personnel file * One copy is forwarded to the corporate office for retention in the employee's file * One copy is given to the employee. III. Written Warning Written warnings are used to address continued occurrences of minor violations. However, a written warning may be utilized to address first offenses of some minor violations. WHO ACTION TAKEN Employee Commits a minor violation within 30 days after verbal counseling or commits a minor violation that warrants a written warning for the first offense. Project Manager Issues a written warning utilizing the Notice of Employee Reprimand Form. With the exception of the Employee Statement section, completes the written warning in advance of the disciplinary session. Project Manager When issuing the written warning, informs the employee that he/she is being issued a written warning for violation, or repeated violations, of company policies and procedures or contractual requirements. Project Manager Reads the completed Details oflnfraction section, which describes in detail the nature of the infraction and the specific policy, procedure, or requirement affected. As with verbal counseling, when providing details of the infraction, the Project Manager identifies specific names, dates, times, locations, and actions. Employee Is given the opportunity to provide a statement relative to the infraction. The employee is permitted to record his/her statement in the Employee Statement section or to submit a more detailed statement on additional pages. Project Manager Reviews the completed Past Reprimands section with the employee. Project Manager Reads the completed Further Action section to the employee. This section simply states that further infractions of company policies and procedures or contractual requirements will result in further disciplinary action up to and including discharge. Project Manager Signs the written warning. Lyons Security Service, Inc. Quality Insurance Program, Updated July 12016 Quality Assurance Program Employee Signs the written warning. Should the employee decline to sign, the Project Employee Manager indicates that the employee has refused to sign by writing "Employee Refuses to Sign" in the employee's signature block. Project Manager Distributes copies of the written warning as follows: Project Manager * Original is retained for the employee's on-site personnel file * One copy forwarded to the corporate office for retention in the employee's file Project Manager * One copy is given to the employee. IV. Probation Probation is generally the next step in the disciplinary process to address further occurrences of minor violations and some major violations. However, probation is also the first disciplinary step to address most major violations. The procedure for placing an employee on probation is as follows: WHO ACTION TAKEN Employee Commits a minor violation within 30 days after issuance of a written warning or commits a major violation. Project Manager Notifies the Director of Operations. Project Manager Reviews the employee's disciplinary history and determines a suitable probationary period. Typically, probationary periods may range from seven to thirty days. Project Manager Initiates probation by using the `Notice of Employee Reprimand. " With the exception of the Employee Statement section, the Project Manager in advance of a disciplinary meeting completes probation notices. Project Manager When issuing the probation notice, informs the employee that he/she is being placed on probation for violation, or repeated violations, of company policies and procedures or contractual requirements. Project Manager Specifies the probation period to the employee. Project Manager Reads the completed Details oflnfraction section, which describes in detail the recent infraction and the specific policy, procedure, or requirement affected. As with a written warning, when providing details of the infraction, the Project Manager identifies specific names, dates, times, locations, and actions. Employee Is given the opportunity to provide a statement relative to the infraction. The employee is permitted to record his/her statement in the Employee Statement section or to submit a more detailed statement on additional pages. Project Manager Reviews the completed Past Reprimands section with the employee. Project Manager Reads the Further Action section to the employee. This section simply states that further infractions of company policies and procedures or contractual requirements will result in further disciplinary action up to and including discharge. Director of Signs the probation notice. Operations/ Project Manager Lyons Security Service, Inc. Qualiry Insurance Program, Updated July 12016 Quality Assurance Program Employee Signs the probation notice. Should the employee decline to sign, the Project Employee Manager indicates that the employee has refused to sign by writing "Employee Refuses to Sign" in the employee's signature block. Project Manager Distributes copies of the probation notice as follows: Project Manager e Original is retained for the employee's Office personnel file * One copy forwarded to the corporate office for retention in the employee's file Project Manager * One copy is given to the employee. Employee Returns to work. Project Manager Monitors the employee's job performance during the probationary period. Project Manager Conducts an interim review session with the employee midway through probation. Project Manager Upon completion of probation, reviews the employee's performance with the employee. At that time, determines to either conclude or extend probation, or seek Project Manager further action. Project Manager Commends employee for his/her performance improvement and concludes probation, if employee's performance level has improved and deemed acceptable. Reminds employee that further violations could result in further disciplinary action up to and including discharge. Or, extends probation or seeks further disciplinary action if the employee's performance level has not improved or has further deteriorated. In this case, the employee is again notified of the intended disciplinary action with a "Notice of Employee Reprimand. " V. Suspension Suspension is the next step in the disciplinary process and is used to address further occurrences of minor and/or major violations. However, suspension may be the first step in the disciplinary process to address some major violations that are so severe in nature that suspension for the first offense is warranted. Suspension is defined as non -compensated time off during regularly scheduled work -days and typically ranges from one to five days. The procedure for placing an employee on suspension is as follows: WHO ACTION TAKEN Employee Commits repeated infractions of minor or major violations, or in some cases commits his/her first infraction of severe major violations. Project Manager Notifies the Regional Director. Project Manager Reviews the employee's disciplinary history and determines the length of suspension. Project Manager Initiates suspension by using the "Notice of Employee Reprimand. " With the exception of the Employee Statement section, suspension notices are completed in advance of a disciplinary meeting. Project Manager When issuing the suspension notice, informs the employee that he/she is being placed on suspension for violation, or repeated violations, of company policies and procedures or contractual requirements. Project Manager Specifies the suspension period to the employee. Lyons Security Service, Inc. Quality Insurance Program, OpdatedJuly 12016 Quality Assurance Program Project Manager Reads the completed Details oflnfraction section, which describes in detail the Employee recent infraction and the specific policy, procedure, or requirement affected. As with a probation notice, when providing details of the infraction, the Project Project Manager Manager identifies specific names, dates, times, locations, and actions. Employee Is given the opportunity to provide a statement relative to the infraction. The Director of Operations employee is permitted to record his/her statement in the Employee Statement section or to submit a more detailed statement on additional pages. Project Manager Reviews the completed Past Reprimands section with the employee. Project Manager Reads the Further Action section to the employee. This section simply states that Presidem/CEO further infractions of company policies and procedures or contractual requirements will result in further disciplinary action up to and including Director of Human discharge. Regional Director/ Signs the suspension notice. Project Manager Receives the approved termination notice and reviews for completeness and Employee Signs the suspension notice. Should the employee decline to sign, the Project Manager indicates that the employee has refused to sign by writing "Employee Refuses to Sign" in the employee's signature block. Project Manager Distributes copies of the suspension notice as follows: * Original is retained for the employee's personnel file * One copy is given to the employee. VI. Termination Termination is the final step in the disciplinary process and is used to address further occurrences of minor and/or major violations. However, termination may be used for first time offenses of major violations that are so severe in nature that termination is warranted. WHO ACTION TAKEN Employee Commits repeated infractions of minor or major violations, or in some case commits his/her first infraction of severe major violations. Project Manager Promptly notifies the Regional Director. Project Manager Promptly notifies the Director of Operations at the Lyons Corporate Office. Director of Operations Requests an "Employee Termination Notice" from the Director of Human Resources. Director of Human Prepares an "Employee Termination Notice" and forwards it through the Resources President/CEO for final approval. Presidem/CEO Initials the Corporate Office Use Only block and returns to the Director of Human Resources. Director of Human Forwards the completed "Employee Termination Notice" to the Project Manager. Resources Project Manager Receives the approved termination notice and reviews for completeness and accuracy. Lyons Security Service, Inc. Quality Insurance Program, Updated July 12016 Quality Assurance Program Project Manager Schedules a meeting with the employee. Informs the employee that he/she is Second being terminated for willful misconduct due to violation, or repeated violations, Fourth of company policies and procedures or contractual requirements. Project Manager Reads the completed Details oflnfraction section, which describes in details the Offense infraction and the specific policy, procedure, or requirement affected. As with a Offense suspension notice, when providing details of the infraction, the Project Manager Absent without authorization identifies specific names, dates, times, locations, and actions. Project Manager Advises the employee of any remaining pay, including severance pay. Project Manager Distributes copies of the termination notice as follows: for one full shift. * Original is retained for the employee's on-site personnel file * One copy is forwarded to the corporate office for retention in the employee's file Tardiness. * One copy is given to the employee. VII. Minor Violations Minor violations are infractions of a less serious nature that have little effect on the performance of other guard force personnel, consulate personnel, the general public, or the overall guard force mission. Likewise, minor violations are not considered to be a safety risk to other guard force personnel, consulate personnel, or the general public. Tardiness is a typical example of a minor violation. Minor violations generally warrant a verbal or written warning prior to probation. However, the circumstances surrounding a violation may make a "typical" minor violation more detrimental and thus escalate the disciplinary process. In determining the seriousness of a violation, it must be determined whether the act was due to carelessness or willful misconduct. VIII. Major Violations Major violations are infractions of a more serious nature. Major violations represent a significant risk to the safety and/or performance of other guard force personnel, Client personnel, the general public, or the overall guard force mission. They include any deliberate or willful infraction of rules or regulations and may preclude continued employment. Committing a felony, falsifying documents, sexual harassment, and being under the influence of drugs and/or alcohol are typical examples of major violations. IX. Violations As advised by legal counsel, Lyons proposes to incorporate all Violations into the employment contracts for all guard force personnel. Violations are as follows: Violation First Second Third Fourth Fifth Offense Offense Offense Offense Offense Absent without authorization Written Probation Suspension Termination for one full shift. Warning Tardiness. Verbal Written Probation Suspension Termination Counseling Warning Failure to notify immediate Written Probation Suspension Termination superior of intended absence at Warning least four hours before the start of the shift. Lyons Security Service, Inc. Quality Insurance Program, UpdaledJuly 12016 Quality Assurance Program Violation First Second Third Fourth Fifth Offense Offense Offense Offense Offense Failing to report to work Termination without excuse or approval from management for three consecutive days. Deviation from scheduled Written Probation Suspension Termination hours, including starting time, Warning quitting time, rest and meal periods. Stealing, vandalizing, or Termination/ committing any other criminal Notification act. to Local Law Enforcement Defacing company or Client Termination/ property. Notification to Local Law Enforcement Committing a felony or Termination/ misdemeanor. Notification to Local Law Enforcement Engaging in subversive Termination/ activities. Notification to Local Law Enforcement Interfering with another Verbal Written Probation Suspension Termination employee's job performance. Warning Warning Participating in disorderly or Suspension Termination immoral conduct, using abusive or offensive language, quarreling, fighting, or intimidating by word or action. Engaging in any act that Suspension Termination creates an unsafe environment for other company employees, Client personnel, or the general public. Using unnecessary force in the Suspension Termination performance of duties. Falsifying, unlawfully Termination concealing, removing, mutilating, or destroying official documents, or records. Willfully omitting material Termination facts from official documents or records. Lyons Security Service, Inc. Quality Insurance Program, Updated July 12016 Quality Assurance Program Violation First Second Third Fourth Fifth Offense Offense Offense Offense Offense Improperly using official Suspension Termination authority or credentials. Failing to cooperate in Termination investigations. Disclosing official information. Termination Participating in disruptive Termination activities that interfere with the normal operations of the Client. Failure to demonstrate proper Termination respect to Client employees, Lyons management, visitors, or the general public. Engaging in reckless or Written Probation Suspension Termination demeaning discussions Waming concerning internal matters, policies, grievances, legal issues, or individuals involved with the Client. Soliciting favorable or Written Probation Suspension Termination preferential treatment. Warning Violating any rules or Written Probation Suspension Termination regulations of Client -controlled Warning property. Making false statements. Termination Discriminating against other Termination contract employees, Client personnel, or the general public. Sexually harassing other Termination contract employees, Client personnel, or the general public. Gambling, unlawful wagering, Termination or promoting gambling at the corporate office or Client - controlled facilities. Possessing, selling, consuming, Termination or being under the influence of intoxicants or dmgs at the Client -controlled facilities. Consuming any alcoholic Suspension Termination substances eight hours prior to reporting to duty. Lyons Security Service, Inc. Quality Insurance Program, Updated July 12016 Quality Assurance Program Violation First Second Third Fourth Fifth Offense Offense Offense Offense Offense Consuming narcotics or other Suspension Termination controlled substances without a prescription from a licensed physician prior to reporting to duty or while on duty at the Branch office or Client - controlled facilities. Failing to present Verbal Written Probation Suspension Termination documentation from a doctor Warning Warning for use of prescription medicine at Lyons' office or Client -controlled facilities. Accepting relief by an Suspension Termination individual known or suspected to be under the influence of alcohol or drugs. Failing to submit to a blood or Termination urine examination when requested by superiors. Failing a blood or urine Termination examination. Leaving assigned post before Termination being properly relieved. Failing to follow Post Orders. Probation Suspension Termination Insubordination or willful Termination disobedience of a superior's order. Delaying or failing to carry out Verbal Written Probation Suspension Termination assigned tasks. Warning Warning Sleeping while on duty. Termination Conducting personal affairs Verbal Written Probation Suspension Termination while on duty. Counseling Warning Disturbing papers on desks, Written Probation Suspension Termination opening desk drawers or Warning cabinets, or using Client telephones. Using Client equipment Written Probation Suspension Termination without authority. Warning Failing to complete an annual Probation Suspension Termination examination by a licensed physician and/or submitting the completed required forms. Failing a physical examination Termination by a licensed physician. Lyons Security Service, Inc. Quality Insurance Program, UpdatedJaly 12016 Quality Assurance Program Violation First Second Third Fourth Fifth Offense Offense Offense Offense Offense Conduct unbecoming of a Suspension Termination security guard or conduct prejudicial to good order while on or off duty. Lyons Security Service, Inc. Quality Insurance Program, Updated July 12016 EXHIBIT B SCHEDULE OF BILLING RATES Lyons Security Service, Inc. Page B-1 BILLING RATES LYONS SECURITY SERVICES will provide Event Staffing Shifts to be assigned as facilities are rented Shifts may be altered in a way that best fits the City's request. If an earlier or later start time is needed, Lyons will shift the schedule according to the needs. Price per security guard per hour: $19.50 per hour Overtime: (to be approved by Recreation & Senior Services staff) $29.25 per hour EXHIBIT C INSURANCE REQUIREMENTS — PROFESSIONAL SERVICES 1. Provision of Insurance. Without limiting Consultant's indemnification of City, and prior to commencement of Work, Consultant 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. Consultant agrees to provide insurance in accordance with requirements set forth here. If Consultant uses existing coverage to comply and that coverage does not meet these requirements, Consultant 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. Consultant 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. Consultant shall submit to City, along with the certificate of insurance, a Waiver of Subrogation endorsement in favor of City, its City Council, boards and commissions, officers, agents, volunteers and employees. B. General Liability Insurance. Consultant 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, 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. Consultant 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 Consultant arising out of or in connection with Work to be performed under this Agreement, including coverage for any owned, hired, non -owned or rented vehicles, in an amount not less than one million dollars ($1,000,000) combined single limit each accident. Lyons Security Service, Inc. Page C-1 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 City Council, boards and commissions, officers, agents, volunteers and employees or shall specifically allow Consultant or others providing insurance evidence in compliance with these requirements to waive their right of recovery prior to a loss. Consultant 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, excess liability, pollution liability, and automobile liability, if required, but not including professional liability, shall provide or be endorsed to provide that City, its City Council, boards and commissions, officers, agents, volunteers and employees 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. Additional Agreements Between the Parties. The parties hereby agree to the following: A. Evidence of Insurance. Consultant 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 Consultant sixty (60) calendar days' advance written notice of such change. If such change results in substantial additional cost to Consultant, City and Consultant may renegotiate Consultant's compensation. C. Enforcement of Agreement Provisions. Consultant acknowledges and agrees that any actual or alleged failure on the part of City to inform Lyons Security Service, Inc. Page C-2 Consultant of non-compliance with any requirement imposes no additional obligations on City nor does it waive any rights hereunder. D. 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 Consultant maintains higher limits than the minimums shown above, the City requires and shall be entitled to coverage for higher limits maintained by the Consultant. Any available insurance proceeds in excess of the specified minimum limits of insurance and coverage shall be available to the City. E. 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. F. City Remedies for Non -Compliance. If Consultant or any subconsultant 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 Consultant'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 Consultant or reimbursed by Consultant upon demand. G. 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. H. Consultant's Insurance. Consultant 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. Lyons Security Service, Inc. Page C-3