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HomeMy WebLinkAbout06 - Award of Maintenance and Repair Service Agreement to Global Power Group, Inc. for City GeneratorsQ SEW Pp�T CITY OF O � z NEWPORT BEACH <,FORN'P City Council Staff Report December 13, 2022 Agenda Item No. 6 TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL FROM: Mark Vukojevic, Utilities Director - 949-644-3011, mvukojevic@newportbeachca.gov PREPARED BY: Joshua Rosenbaum, Senior Management Analyst, josenbaum@newportbeachca.gov PHONE: 949-644-3057 TITLE: Award of Maintenance and Repair Service Agreement to Global Power Group, Inc. for City Generators ABSTRACT: The City of Newport Beach (City) has 30 mobile and stationary back-up power generators that require regular preventative maintenance, testing and as -needed repair services. The generators are managed by the Utilities Department with the assistance of a specialty contractor. Bids were received and staff recommends the award of a generator maintenance and repair agreement to Global Power Group, Inc. RECOMMENDATION: a) Determine this action is exempt from the California Environmental Quality Act (CEQA) pursuant to Sections 15060(c)(2) and 15060(c)(3) of the CEQA Guidelines because this action will not result in a physical change to the environment, directly or indirectly; and b) Approve the Maintenance and Repair Service Agreement with Global Power Group, Inc., for City generators, for a three-year term with a total contract compensation amount of $300,000, and authorize the Mayor and City Clerk to execute the Agreement. DISCUSSION: The City owns and maintains 30 mobile and stationary back-up power generators. The generators are managed by Utilities Department electricians as most of the generators are associated with the backup power for the City's water and wastewater systems. The City also has emergency generators at all fire stations, the police station, lifeguard headquarters, the Civic Center, and the Public Works Corporation Yard. 6-1 Award of Maintenance and Repair Service Agreement to Global Power Group, Inc. for City Generators December 13, 2022 Page 2 The engine -driven generators and the associated electrical systems and switch gear are highly complex and require knowledgeable staff with mechanical and electrical abilities and certifications. The generators require regular preventative maintenance, live testing, certification and as -needed repairs. These generators provide backup power in the event of a power outage and are vital pieces of equipment in times of emergency. The maintenance of all City generators is essential to ensure readiness and is a significant facet of our City's emergency preparedness efforts. The current service agreement expires on December 31, 2022. Staff developed and issued a Request for Bids and public notice to solicit licensed contractors. The City received two bids from qualified companies. The incumbent, Global Power Group, Inc., submitted the lower price of the two proposals. The cost proposals are listed below: RANK VENDOR NAME ANNUAL COST 1 Global Power Group $51,000 2 Duthie Power Services $95,027 The new agreement includes costs for quarterly testing, inspection and routine maintenance of each generator and electrical gear. It also includes one annual full -load testing along with annual inflation adjustments and contingency allocations. The contingencies include additional engine repairs, battery, electrical switch gear, and circuit board replacements; temporary generator rentals; and the fueling of the generators. The marine environment and the replacement of corroded generator parts is also an ongoing additional cost. Global Power Group's proposal is approximately 10% higher than its previous agreement pricing. Staff believes the proposed pricing is competitive and the cost increase reflects the inflationary environment seen over the last few years. Insurance, fuel, labor and material prices have all increased. Staff is familiar with Global Power Group as it is the current vendor and the company has satisfactorily performed these services. Following a due diligence staff discussion with the contractor about the bid pricing, it is recommended to award the maintenance and repair service agreement to Global Power Group Inc., for a three-year contract term with a total contract compensation of $300,000. FISCAL IMPACT: The adopted budget includes sufficient funding for preventative maintenance and as - needed repair services for City generators. The Utilities Department expenses these services to the Streetlight Services/Electrical Generator Maintenance account 0109063- 851001; other departments and enterprise funds account for these services in their respective operating budgets. 6-2 Award of Maintenance and Repair Service Agreement to Global Power Group, Inc. for City Generators December 13, 2022 Page 3 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). ATTACHMENT: Attachment A — Maintenance/Repair Services Agreement with Global Power Group, Inc. 6-3 ATTACHMENT A MAINTENANCE/REPAIR SERVICES AGREEMENT WITH GLOBAL POWER GROUP, INC. FOR PREVENTATIVE MAINTENANCE AND AS -NEEDED REPAIR SERVICES FOR CITY GENERATORS THIS MAINTENANCE/REPAIR SERVICES AGREEMENT ("Agreement") is made and entered into as of this 13th day of December, 2022 ("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 December 31, 2025, 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 community professional standards with the ordinary degree of skill and care that would be used by other reasonably competent practitioners of the same discipline under similar circumstances, in performing the Work required hereunder, and that all materials will be of good quality. 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 001100 ($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 increased by three percent (3.0%). Global Power Group, Inc. Page 2 6-5 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 Salvatore Martorana 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. 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 Utilities Department. City's Operations Support Supt. 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 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. Global Power Group, Inc. Page 3 6-6 8. TYPE AND INSTALLATION OF MATE RIALSISTANDARD 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 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, Contractor certifies that the Work conforms to the requirements of this Agreement, all applicable federal, state and local laws and legally recognized professional standards. 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. 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, Global Power Group, Inc. Page 4 6-7 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 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 Global Power Group, Inc. Page 5 6-8 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. 15. BONDING 15.1 Contractor shall obtain, provide and maintain at its own expense during the term of this Agreement: (1) a Labor and Materials Payment Bond in the amount of one hundred percent (100%) of the total amount to be paid Contractor as set forth in this Agreement and in the form attached hereto as Exhibit D which is incorporated herein by this reference; and (2) a Faithful Performance Bond in the amount of one hundred percent (100%) of the total amount to be paid Contractor as set forth in this Agreement in the form attached hereto as Exhibit E which is incorporated herein by this reference. 15.2 The Labor and Materials Payment Bond and Faithful Performance Bond shall be issued by an insurance organization or surety (1) currently authorized by the Insurance Commissioner to transact business of insurance in the State of California, (2) listed as an acceptable surety in the latest revision of the Federal Register Circular 570, and (3) assigned a Policyholders' Rating A (or higher) and Financial Size Category Class VII (or larger) in accordance with the latest edition of Best's Key Rating Guide: Property - Casualty. Global Power Group, Inc. Page 6 6-9 15.3 Contractor shall deliver, concurrently with execution of this Agreement, the Labor and Materials Payment Bond and Faithful Performance Bond, a certified copy of the "Certificate of Authority" of the Insurer or Surety issued by the Insurance Commissioner, which authorizes the Insurer or Surety to transact surety insurance in the State of California. 16. PREVAILING WAGES 16.1 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. 16.2 Unless otherwise exempt by law, Contractor warrants that no contractor or subcontractor was listed on the bid proposal for the Services that it is not currently registered and qualified to perform public work. Contractor further warrants that it is currently registered and qualified to perform "public work" pursuant to California Labor Code section 1725.5 or any successor statute thereto and that no contractor or subcontractor will engage in the performance of the Services unless currently registered and qualified to perform public work. 17. 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. Global Power Group, Inc. Page 7 6-10 18. 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. 19. 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. 20. 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. 21. 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. 22. 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 Global Power Group, Inc. Page 8 6-11 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. 23. CITY'S RIGHT TO EMPLOY OTHER CONTRACTORS City reserves the right to employ other contractors in connection with the Project. 24. CONFLICTS OF INTEREST 24.1 Contractor or its employees may be subject to the provisions of the California Political Reform Act of 1974 (the "Act") and/or Government Code §§ 1090 et seq., which (1) require such persons to disclose any financial interest that may foreseeably be materially affected by the Work performed under this Agreement, and (2) prohibit such persons from making, or participating in making, decisions that will foreseeably financially affect such interest. 24.2 If subject to the Act and/or Government Code §§ 1090 et seq., Contractor shall conform to all requirements therein. 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. 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 Contractor to City shall be addressed to City at- Attn: Operations Support Superintendent Utilities 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 Contractor shall be addressed to Contractor at: Attn: Salvatore Martorana Global Power Group, Inc. Global Power Group, Inc. Page 9 6-12 12060 Woodside Avenue Lakeside, CA 92040 26. CLAIMS 26.1 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 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.). 26.2 To the extent that Contractor's claim is a "Claim" as defined in Public Contract Code section 9204 or any successor statute thereto, the Parties agree to follow the dispute resolution process set forth therein. Any part of such "Claim" remaining in dispute after completion of the dispute resolution process provided for in Public Contract Code section 9204 or any successor statute thereto shall be subject to the Government Claims Act requirements requiring Contractor/Consultant to file a claim in strict conformance with the Government Claims Act. To the extent that Contractor's claim is not a "Claim" as defined in Public Contract Code section 9204 or any successor statute thereto, Contractor shall be required to file such claim with the 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 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. Global Power Group, Inc. Page 10 6-13 28. LABOR 28.1 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 ("FLSA") (29 USCA § 201, of seq.). 28.2 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. 28.3 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. 28.4 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. 29. STANDARD PROVISIONS 29.1 Recitals. City and Contractor acknowledge that the above Recitals are true and correct and are hereby incorporated by reference. 29.2 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. 29.3 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. 29.4 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. 29.5 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. Global Power Group, Inc. Page 11 6-14 29.6 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. 29.7 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. 29.8 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. 29.9 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. 29.10 Equal Opportunity Employment. Contractor represents that it is an equal opportunity employer and it shall not discriminate against any subcontractor, employee or applicant for employment because of race, religious creed, color, national origin, ancestry, physical handicap, medical condition, marital status, sex, sexual orientation, age or any other impermissible basis under law. 29.11 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. 29.12 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 6-15 IN WITNESS WHEREOF, the parties have caused this Agreement to be executed on the dates written below. APPROVED AS TO FORM: CITY ATTORNEY'S OFFICE Date: IZAoL-/Zzz By:J A r n C. Harp City Attorney ATTEST: Date: Ac Leilani 1. Brown City Clerk CITY OF NEWPORT BEACH, a California municipal corporation Date: Bv: Kevin Muldoon Mayor CONTRACTOR: Global Power Group, Inc., a California corporation Date: Bv: Terry Mammen Chief Executive Officer 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 Exhibit D — Labor and Materials Payment Bond Exhibit E — Faithful Performance Bond Global Power Group, Inc. Page 13 6-16 EXHIBIT A SCOPE OF SERVICES Contractor shall provide the following services to the City under the direction of the Utilities Department, which shall identify specific tasks, deliverables and deadlines on an as -needed basis. Contractor shall provide preventative maintenance and as -needed repair services for City generators located throughout the City as designated herein. Contractor shall 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. Services shall be done quarterly, comprised of three (3) quarters of inspection services (as defined below), and one (1) quarter of annual inspection services (as defined below); and As -needed repairs subject to prior approval by City. WORKING HOURS Normal working hours shall be between the hours of 7:00 AM and 4:30 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 1) 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. 2) 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. 3) 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. Global Power Group, Inc. Page A-1 6-17 CORRESPONDENCE All correspondence shall be addressed to Utilities Manager, Utilities Department, City of Newport Beach, 949 West 161h Street, Newport Beach, California 92663. PREVENTIVE MAINTENANCE SERVICES The Contractor shall perform the following preventive maintenance tasks: QUARTERLY INSPECTION SERVICES (three times per year): A) Inspect generator enclosure for obstructions, debris & corrosion, clean & spot paint. B) Starting batteries will be cleaned and electrolyte levels and specific gravity checked. C) Battery load test performed, reports made for recharging or replacing batteries, and charging system will be checked for proper operation. D) Inspect fuel, oil and coolant system for leaks. E) All fluid levels will be checked and topped -off as needed, fuel levels noted and reported. F) Check engine for leaks, top of all engine fluids and governor system and linkage will be checked for binding and proper operation. G) Air cleaners will be checked and recommendations for replacement made when necessary. H) Engine block heater(s) and associated plumbing will be checked for proper operation. 1) All belts will be checked for proper tension, signs of age and wear. J) Radiator will be checked externally for debris, leaks and corrosion. K) Coolant will be tested with a coolant test strip, internal condition noted. L) Radiator will be pressure tested and cap and seal checked for proper seal. M) All cooling system hoses will be checked for defects. N) Check all electrical connections, switches, gauges, and bulbs for proper operation, including panel lights. Bulbs will be replaced if needed. O) Equipment will be checked for abnormal speed, operation, vibration, and noises. P) Automatic transfer switches will be visually inspected for defects, panel lights checked and replaced if needed. Q) Check automatic transfer switch and generator for bad connections with an infrared gun. Global Power Group, Inc. Page A-2 6-18 R) Simulate power failure and test system for proper operation — must notify City staff first. S) Log generator start and stop times in logbook. T) Change oil/filter based on manufacturer's specification. ANNUAL INSPECTION SERVICES (one time r)er vear): A) Perform Quarterly Inspection Service items. B) Change engine lubrication oil and oil filters. C) Change engine fuel filters (if not required quarterly). D) Change engine air cleaner element(s). E) Change water filters and coolant conditioners (if not required quarterly). F) Obtain oil and coolant sample for analysis by fluid testing lab. G) Dispose of hazardous wastes from Inspection/Service. H) Load banks tested at manufacturer's recommendation on full load for one -hour and monitored to ensure proper operation. 1) Fuel polishing to remove water, bacteria and sediment from fuel tank, sample fuel to determine condition of fuel. J) Switch gear and automatic transfer switch inspection and service, which includes lubricating moving parts. K) Annual trailer service: pack wheel bearings, check light operation, clean trailer magnets and adjust breaks, clean and paint any rust. L) 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 Project Administrator. AS -NEEDED REPAIR SERVICES 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 Global Power Group, Inc. Page A-3 6-19 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. 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. Contractor shall perform the approved repair services in a timely manner as to minimize the amount of down time for each generator. This also includes the procurement time for parts and accessories needed to perform the repairs. It is the responsibility of the contractor to stock items for frequently used or repaired parts, and if additional parts as needed, then procurement should be performed within one week of approved service repairs. The City shall be notified if any third - party delays prevent Contractor from performing responsibilities and repairs in a timely manner. Contractor is to have the necessary and qualified staffing on hand to meet the demands of the contract scope of services, including the preventative maintenance and repair services. o After -Hours shall be Monday through Thursday 4:30 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 ADDITIONAL SERVICE REQUIREMENTS 1) 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. 2) 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. Global Power Group, Inc. Page A-4 6-20 3) Contractor shall have a certified fuel truck capable of delivering #2 EPA diesel. 4) Contractor shall hold a C-10 Electrical Contractors License. 5) If requested, Contractor shall provide assistance with Engine Emissions information and APCD Registration. 6) Factory Trained Generator Service Engineers. 7) Contractor's engineers shall be Hazmat Certified to legally haul specified amounts of hazardous wastes. 8) 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. 9) Contractor must have stock of back-up generators available for short- and long-term rental. ATTACHMENT 1. List of City Generators Global Power Group, Inc. Page A-5 6-21 CITY GENERATOR DETAILS Name Address Make Model Serial # - * Power #5572 949 W. 1611 St. Denyo — MQ 70 DCA- 70SSIU4F 7356042 70 KW #5574 3300 Pacific View Denyo — MQ 70 DCA- 70SSIU4F 7356041 70 KW #5591 949 W. 1611 St. Multiquip DB1101-J 7400015 48 KW #5593 949 W. 16th St. Generac GR50/04059- 0 3165909 50 KW #5594 949 W. 1611 St. Generac GR50/04059- 0 3231954 50 KW #5595 949 W. 1611 St. Multiquip DCA70-SSJU 7303265 40 KW #5596 949 W. 161h St. Multiquip DCA85-SSJU 7700i85 60 KW #5597 949 W. 1611 St. Multiquip DCA125-SUSJ 8500270 72 KW #9291 949 W. 1611 St. Generac 97AO57545 2037779 150 KW #5592 Back Bay Pump Station 949 W. 16th St. Generac GR85 3119161 71 KW Bren Tract 1733 Ford Rd. Kohler 50REZG 2289881 50 KW Caterpillar Portable 592 Superior Ave Kato 200SR9E 74610 200 KW Civic Center #1 100 Civic Center Dr. Generac 13557300300 2114805 400 KW Civic Center #2 100 Civic Center Dr. Generac 13557300300 2114806 400 KW Fire Station #1 110 Balboa Blvd. Kohler 50REOZJD SGM32FDPM 12.5 KW Fire Station #2 2807 Newport Blvd Marathon 362PSL1606 MT-0107383- 0321 105 KW @ 1,800 rpm 72 KW @ 1,500 rpm Fire Station #3 868 Santa Barbara Dr. Kohler 50REOZJD SGM32FHRJ 30 KW Fire Station #4 124 Marine Ave. Generac 93AO4362-S 2010148 20 KW Fire Station #5 410 Marigold Ave. Marathon 4RO12ODS125 95130500513 135 KW Fire Station #6 1348 Irvine Ave Generac 6498200100 2087723 20 KW Fire Station #7 20401 Acacia St. Onan DSHAC — 5841388 D070043062 200 KW Global Power Group, Inc. Page A-6 6-22 Fire Station #8 6502 Ridge Park Onan 50 DGCA - D070043062 50 KW Road 5841388 Harbor Ridge Harbor Ridge & Kohler 45REZG 2291604 45 KW Ridgeline Dr. Main Library 100 Civic Center Kohler 15REOZK SGM32FM5T 15 KW Drive Life Guard Head 70 Newport Pier Kohler 150RE025F SGM32G4FH 30 KW Quarters Police Station 870 Santa Generac 1133915010 2103983 300 KW Barbara Dr. Polaris Dr 1019 1/2 Polaris Kohler 80REZG 2287528 80 KW Dr. Water Dept/Zone 4 3300 Pacific View Waukesha F1197GU 351118 150 KW Dr. Water Dept/ 3 3300 Pacific View Kohler 600ROZD4 0719531 600 KW Pump Dr. Zone 5 39 Morro Bay Dr. Kohler 10ORFG 0729771 100 KW Updated October 3, 2022 *Due to recent changes, some serial numbers may need to be updated. Global Power Group, Inc. Page A-7 6-23 Global Power Global Power Group, Inc. GROUP, INC. 2022 This document is meant to serve as an introduction to Globai Power Group, Company Inc., briefly outlining our breadth of experience and identifying our capabilities_ Profile Global Power Group, Inc. Page A-8 6-24 This document is meant to serve as an introduction to Global Power Group, In.c., briefly outlining our breadth of experience and identifying our capabilities_ Global Power Group, Inc was formed in October 2005 to specialize in the critical and back-up power Industry. We currently have four offices in Southern California. Our corporate office is located in Lakeside and we have satellite offices in both El Centro and Anaheim, we are a California, Arizona and Nevada Certified Small Business, a GSA qualified vendor and a part of the Better Business Bureau. Global Power Group, Inc, is licensed through the state contractor's license board and holds (A) General Engineering, (B) General building and a C-10 electrical contractors licenses. The company is bonded; we have $10 million dollar pollution policy as well as liability coverage of $11 million dollars, Including a $10 million dollar umbrella policy. Our generator technicians are hazmat certified and factory trained while our electricians are state certified At Global Power Group our goal is to utilize our experience and expertise to provide our customers with the finest quality of service available in the industry. Global Power Group Mission Statement. To become the leader In the Power Systems Industry and to establish an excellent, unequalled reputation for the best customer service with the highest technical quality. Our staff of 80Is comprised of personnel from both electrical and generator divisions with an average of 25+years of critical power experience. We have factory trained generator technicians and highly trained and license electrical crews capable of handling all our customers' needs from small system integrations to the complete installation of One of North Americas Largest Roof Mounted Solar System, 2.3 megawatts_ We are experts in designing turn -key Installations of Solar Systems, UPS Systems, DC plants, Generators, Switch Gear, Sub stations, Rental Generators, Energy Reduction Service, Utility Inner Connections, Preventative Maintenance, Fueling Services, System Repair, System Monitoring, Air Quality Permits, and Power Plant Certification, Our goal is to provide a one stop shop for all our valued customers. Our focus in recent years on green energy consumption was a natural progression- We pride ourselves in all ways striving to exceed our customers' expectations. This is showcased in our solar and electrical retrofit projects. The recently completed multi Luxury Condo's and Townhomes in one of the largest district and is a shining example of both our technical knowledge and commitment to quality. The pinnacle of our solar installation capabilities is a 2.3 mega watt system on the roof of the Toyota's NACCP in Ontario California, The system consisted of more than 10,000 photovoltaic modules covering 570,000 square feet of the roof of the 760,D00 square foot facility. Is one of the largest rooftop solar systems In North America, Global Power Group successfully installed this mega system in 3 months. To better meet the needs of our customers we provide 24/7/365 emergency service. Our diverse fleet of vehicles including 4 wheel drive service trucks, a 4 wheel drive crane and a 1,006 gallon 4 wheel drive fuel truck, 5000 gallon tanker diesel fuel truck, Three aerial man lift vehicle with the capability to reach Global Power Group, Inc. Page A-9 6-25 over 65 feet, give us the ability to respond to any job. Our state of the art equipment Includes power quality monitors, Fuel pollshers, 4 megawatts of load banks, and one of the most advanced Infra -red cameras in the industry_ We can also provide our customers with instant updates on all projects from the job site wia our web -based management system. We currently have over 800 contacts nationwide with companies ranging from small to Fortune 100, and are responsible for maintaining over 4,000 pieces of equipment. In California we work closely with Imperial Power and }plater (IIDj, SDG&E and Sempra Utilities. Some examples of our current clients include; Harrah's Rincon Casino City J County of Los Angeles City of Newport Beach City 1 County San Diego City of Santa Ana Federal Government Sony Cal Trans County of San Bernardino SDSU UC Riverside Time Warner Home Depot Alere Barona Casino Jones Lang LaSalle Life Technologies SDG&E Hilton t.owes US Military Embassy Suites AT&T Scripps Hospitals J Research Toys R Us Verizon Toyota Pfizer Sempra Energy HItact l Motorola CBRE Marriot Imperial Irrigation District Johnson Controls Sears Our executive team consists of the following highly qualified, experienced individua!s; President: Salvatore Martorana. Mr. Martorana is our In house expert. He is military trained and has been involved in the powergeneration industry for over 29 years where he started as a field technician and now directs all technical and sales aspects of GPG. Sal Is the Qualifying Officer for the (A) General Engineering, jB) General building and a C-10 electrical contractors licenses. His extensive training and experience makes him our source to help solve the difficult diagnostic problems. He oversees all electrical and power generation projects. Chief Financial Officer: Salvador Cebablos. Mr_ Ceballos has a 8,5. degree in accounting and 20 years' experience in the finance and operations industry, including his last 14 In the power generation industry. Sal Is in charge of the day to day operations of GPG and is Instrumental In our efforts to automate all aspects Chief Executive Officer. Terry Mammen. Mr. Mammen has a B.S. degree in accounting and has spent over 36 years in the business world. He has owned and operated a variety of business ventures in real estate, franchising, and for the last 14 years the power generation industry. Terry is the financier and is involved in the strategic planning of GPG. Global Power Group, Inc. Page A-10 6-26 By holding a general engineering license (A), general contractor license (H) and an electrical contractor's license (C-10] GPS is capable of providing an all inclusive service package for our customers. We have a proven record in all aspects of the Power Industry, from designed turn -key installations of Solar Systems, LIPS Systems, Generators, Switch Gear, Rental Generators, Preventative Maintenance, Arc Flash and Breaker Coordination Studies, Fueling Services, System Repair, System Monitoring, Air quality Permits, and Power Plant Certification. Our goal is to provide a one stop shop for our valued customers. Bottom line "Our Business is Powering Your Business" 24/7/3631 Our customers range from small businesses to Fortune 100 Companies and we have an excellent set of references. In closing Global Power Group, Inc is comprised of a group of highly skilled and experienced individuals that spend 100% of their time working as a team with our customers to get the job donel At Global Power Group we thank you for the opportunity to be earn your business. If you have any questions or would like more information on any of the above mentioned topics please to not hesitate to call us. Headquarters 12060 Woodside Ave Lakeside, CA 92040 Phone- 619-579-1221 Fax- 619-579-1166 1 Global Power GROUP, INC. 'Our business, is powering your business" Global Power Group, Inc. Page A-11 6-27 1, Global Power Statement of Qualifications Global Power Group, Inc was formed in October 2005 to specialize in the critical and back-up power industry. We are licensed through the state contractors license board and hold (A) General Engineering, (B) General building and a C-10 electrical contractors licenses. At Global Power Group our goal is to utilize our experience and expertise to provide our customers with the finest quality of service available in the industry. our staff of 80 is comprised of personnel from both electrical and generator divisions with an average of 25+years of critical power experience. We have factory trained generator technicians and highly trained and licensed electrical crews capable of handling all our customers' needs. To better meet the needs of our customers we provide 24/7/365 emergency services. Our diverse fleet of vehicles including 4-wheel drive service trucks, a 4 wheel drive crane and a 1,000-gallon 4-wheel drive fuel truck, and a 5000 gallon tanker diesel fuel truck gives us the ability to respond to any job. We have a rental fleet of backup generators available for short- and long-term rentals should the need arise. We have been providing services for generator maintenance and repair for 15+ years and spend 100% of our time working as a team with our customers to get the job done. Global Power Group, Inc. Page A-12 6-28 x� Global rawer GROUP, INC ORGANIZATIONAL INFORMATION Key personnel for Generator Maintenance & Repair Services: Bill Havrilla (Service Manager) — Bill oversees all service jobs/projects, Dispatch Team — Our dispatchers schedule all service and maintenance requests and let our customers know when service is due on any equipment we service. They will be the primary points of contact for service requests. Technicians — Our gen techs are hazmat certified, and factory trained to service all equipment requested for this project. Anthony Monriog (Project Manager) — Anthony oversees all rentals for backup and stock generators for City use if needed. We will not be utilizing any subcontractors for this project. Global Power Group, Inc. Page A-13 6-29 Global Power 0a0V►, INC PROJECT APPROACH/METHODOLOGY Global Power Group, Inc. has the abilities to perform all the services requested in this specific Scope of Services. Our factory trained generator technicians excel in preventative maintenance services. They will be performing quarterly inspection services, annual inspection services, emergency services, and repair services as they arise_ These technicians have the ability to troubleshoot any issue with the equipment we will be servicing and are more than qualified to get the job done. Global Power Group, Inc. has all the required licenses, certified fleet vehicles, and rental equipment to meet the needs of Scope of Services. During the quarterly and annual inspections we will have all the necessary materials, equipment, and fuel to make sure the inspections are done thoroughly and correctly. For any repairs needed we have access to all the necessary parts and materials to make sure we get the equipment back up and running properly and efficiently. We provide 24/7/365 emergency services, so should any complications occur, we will have a technician respond and be onsite within 2 hours of requested service. Global Power Group, Inc. is committed to providing excellent customer service and making sure we exceed expectations in our work performance. Global Power Group, Inc. Page A-14 6-30 '^Y Global Po%vc o•ovr. �Nc. EQUIPMENT LISTING unit number size (kua) GPG25-1 25 GPG25-2 25 GPG25-3 25 GPG70-1 70 GPG70-2 70 GPG 100-1 m GPG100-02 125 GPG128-1 160 GPG176-1 176 GPG176-2 176 GP6235-2 235 GPG235-2 235 GPG 235-3 235 GPG320-1 I 400 GPG800-01 1250 GPG1000-64-1 1500 GPG1000-99-2 1500 GPG500-1 500 GPG500-2 Soo GPG500-3 500 GPG 500-4 500 GPG 5 00-5+6 1000 GPG LT 1 Light rower GPG LT 2 Light Tower GPG LT 3 Light Tower Global Power Group, Inc. Page A-`! 5 6-31 EXHIBIT B SCHEDULE OF BILLING RATES GLOBAL POWER GROUP, INC. (3%increase annuafty, Starting Year2 ) Quarterly PM Annual Location Make Model Se"rkce Senfice Tots! per Lfnnt (3x/year) (ix year j #5574 MQ DCA-7DSSIU4F $ 75D.00 S 950.00 $ 1,700.00 #5572 MQ DCA-70SSIU4F $ 750.00 S 950.00 I $ 1,700.00 #5S91 MQ D81101-J $ 750.00 S 950.00 I $ 1,700.00 #5S93 Generac GR50104059-0 $ 750.00 S 950.00 I $ 1,700.00 #5S94 Generac GR50/04059-0 $ 750.00 S 950.00 1 $ 1,700.00 #5S95 MQ DCA70-MU $ 75D.Do S 950.001S 1,700.00 45596 MQ DCABS-MU $ 750.00 $ 950.00 I $ 1,700.00 45S97 MQ DCA125-SUSJ $ 750.00 $ 950.00 I S 1,700.00 49291 Generac 97AC5754-S $ 750.00 $ 950.00 I $ 1,700.00 Back Bay Pump Station MQ GR85 $ 750.00 $ 950.001 $ 1,700.00 Bren Tract Kohler SOREZG $ 750.00 $ 950.0o I $ 1,700.00 Catepillar Portable Kato 200SR9E 5 $ 750.00 S 950.00 I $ 1,700,00 Civic Center #1- 2114805 Generac 13557300300 $ 750.00 S 950.00 I $ 1,70D.OD Civic Center #2 - 2114806 General 13SS73003CO $ 750.00 S 950.00 $ 1,700.00 Fires Station #1 Kohler SOREOZJD $ 750.00 S 950.00 I $ 1,700.00 Fires Station #2 Marathon 362PSU606 $ 750.00 $ 950.00 I $ 1,700.00 Fires Station #3 Kohler 50REOZJD $ 750.00 $ 950.00 15 1,700.00 Fires Station #4 Generac 93AC4362-S $ 750.00 $ 950.00 I $ 1,700.00 Fires Station #5 Marathon 363PSL1607 $ 750.00 S 950.00 I $ 1,700.00 Fires Station #6 Generac 64982DOlOG $ 750.00 S 950.00 I $ 1,700.00 Fires Station #7 Onan DSHAC-5841388 $ 750.00 S 950.00 I $ 1,700.00 Fires Station #8 Onan SO DGCA $ 750.00 $ 950.00 I $ 1,700A0 LG HQ Kohler 15GREOZJF $ 750.00 S 950.00 I $ 1,700.00 Harbor Ridge Kohler 45REZG $ 750.00 $ 950.00 I $ 1,700.00 Main Library Kohler 15REOZK $ 750.00 S 950M I $ 1,700.00 Police Station Generac M39151DO $ 750.00 S 950.00 I $ 1,700.00 Polaris Drive Kohler 8OREZG $ 750.00 $ 950.00 IS 1,700.00 Water Dept/ Zone 4 Waukesha F1197GU $ 750.00 $ 950.00 I $ 1,700.00 Water Dept/ 3 Pump/BCR Kohler 6DOROZD4 $ 750.00 $ 950.00 I $ 1,700.00 Zone S Kohler 1DORFG $ 750.00 $ 950.00 $ 1,700.00 Generators maybe updated or thronged at City's discration $ 2-2,500.00 $ 28,S00.00 $ 51,00OM Contractor wHI be given opportunity to modify costs with change. Hourly Rate Minimum Hrs min/Repair Regular Hourly Rate $ 235.00 0 $ - After Hours Rate $ 350.00 4 $ - weekends $ 375.00 4 $ - HOlidays $ 450.00 4 $ - Global Power Group, Inc. Page B-1 6-32 EXHIBIT C INSURANCE REQUIREMENTS — MAINTENANCE/REPAIR/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 City Council, boards and commissions, officers, agents, volunteers and employees. 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 6-33 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 City Council, boards and commissions, officers, agents, volunteers and employees 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 subcontractors. 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, 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. 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. The certificates and endorsements for each insurance policy shall be signed by a person authorized by that insurer to bind coverage on its behalf. At least fifteen (15) days prior to the expiration of any such policy, evidence of insurance showing that such insurance coverage has been renewed or extended shall be filed with the City. If such coverage is cancelled or reduced, Contractor shall, within ten (10) days after receipt of written notice of such cancellation or reduction of coverage, file with the City evidence of Global Power Group, Inc. Page C-2 6-34 insurance showing that the required insurance has been reinstated or has been provided through another insurance company or companies. 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 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. Global Power Group, Inc. Page C-3 6-35 G. City Remedies for Non -Compliance. If Contractor or any subcontractor 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. 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 Agreement, 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 6-36 EXHIBIT D CITY OF NEWPORT BEACH BOND NO. LABOR AND MATERIALS PAYMENT BOND WHEREAS, the City of Newport Beach, State of California, has awarded to Global Power Group, Inc., hereinafter designated as the "Principal," an agreement for maintenance and/or repair services, in the City of Newport Beach, in strict conformity with the Agreement on file with the office of the City Clerk of the City of Newport Beach, which is incorporated herein by this reference. WHEREAS, Principal has executed or is about to execute the Agreement and the terms thereof require the furnishing of a bond, providing that if Principal or any of Principal's subcontractors, shall fail to pay for any materials, provisions, or other supplies used in, upon, for, or about the performance of the Work agreed to be done, or for any work or labor done thereon of any kind, the Surety on this bond will pay the same to the extent hereinafter set forth. NOW, THEREFORE, We the undersigned Principal, and, duly authorized to transact business under the laws of the State of California, as Surety, (referred to herein as "Surety") are held and firmly bound unto the City of Newport Beach, in the sum of Three Hundred Thousand Dollars ($300,000.00), lawful money of the United States of America, said sum being equal to 100% of the estimated amount payable by the City of Newport Beach under the terms of the Agreement; for which payment well and truly to be made, we bind ourselves, our heirs, executors and administrators, successors, or assigns, jointly and severally, firmly by these present. THE CONDITION OF THIS OBLIGATION IS SUCH, that if the Principal or the Principal's subcontractors, fail to pay for any materials, provisions, or other supplies, implements or machinery used in, upon, for, or about the performance of the Work contracted to be done, or for any other work or labor thereon of any kind, or for amounts due under the Unemployment Insurance Code with respect to such work or labor, or for any amounts required to be deducted, withheld and paid over to the Employment Development Department from the wages of employees of the Principal and subcontractors pursuant to Section 13020 of the Unemployment Insurance Code with respect to such work and labor, then the Surety will pay for the same, in an amount not exceeding the sum specified in this Bond, and also, in case suit is brought to enforce the obligations of this Bond, a reasonable attorneys' fee, to be fixed by the Court as required by the provisions of Section 9554 of the Civil Code of the State of California. The Bond shall inure to the benefit of any and all persons, companies, and corporations entitled to file claims under Section 9100 of the California Civil Code so as to give a right of action to them or their assigns in any suit brought upon this Bond, as required by and in accordance with the provisions of Sections 9500 et seq. of the Civil Code of the State of California. Global Power Group, Inc. Page D-1 6-37 And Surety, for value received, hereby stipulates and agrees that no change, extension of time, alterations or additions to the terms of the Agreement or to the Work to be performed thereunder shall in any wise affect its obligations on this Bond, and it does hereby waive notice of any such change, extension of time, alterations or additions to the terms of the Agreement or to the Work or to the specifications. In the event that any principal above named executed this Bond as an individual, it is agreed that the death of any such principal shall not exonerate the Surety from its obligations under this Bond. IN WITNESS WHEREOF, this instrument has been duly executed by the above named Principal and Surety, on the day of , 20 Name of Contractor (Principal) Name of Surety Address of Surety Telephone APPROVED AS TO FORM: CITY ATTORNEY'S OFFICE Date: in Aaron C. Harp City Attorney Authorized Signature/Title Authorized Agent Signature Print Name and Title NOTARY ACKNOWLEDGMENTS OF CONTRACTOR AND SURETY MUST BE ATTACHED Global Power Group, Inc. Page D-2 6-38 ACKNOWLEDGMENT A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document. State of California County of } ss. On 20 before me, Notary Public, personally appeared who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signatures(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. WITNESS my hand and official seal. Signature (seal) ACKNOWLEDGMENT A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document. State of California County of } ss. On 20 before me, Notary Public, personally appeared proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signatures(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. WITNESS my hand and official seal. Signature (seal) Global Power Group, Inc. Page D-3 6-39 EXHIBIT E CITY OF NEWPORT BEACH BOND NO. FAITHFUL PERFORMANCE BOND The premium charges on this Bond is $ , being at the rate of $ thousand of the Agreement price. WHEREAS, the City of Newport Beach, State of California, has awarded to Global Power Group, Inc. hereinafter designated as the "Principal," an agreement for Preventative Maintenance and As -Needed Repair Services for City Generators, in the City of Newport Beach, in strict conformity with the Agreement on file with the office of the City Clerk of the City of Newport Beach, which is incorporated herein by this reference. WHEREAS, Principal has executed or is about to execute the Agreement and the terms thereof require the furnishing of a Bond for the faithful performance of the Agreement. NOW, THEREFORE, we, the Principal, and duly authorized to transact business under the laws of the State of California as Surety (hereinafter "Surety"), are held and firmly bound unto the City of Newport Beach, in the sum of Three Hundred Thousand ($300,000.00) lawful money of the United States of America, said sum being equal to 100% of the estimated amount of the Agreement, to be paid to the City of Newport Beach, its successors, and assigns; for which payment well and truly to be made, we bind ourselves, our heirs, executors and administrators, successors, or assigns, jointly and severally, firmly by these present. THE CONDITION OF THIS OBLIGATION IS SUCH, that if the Principal, or the Principal's heirs, executors, administrators, successors, or assigns, fail to abide by, and well and truly keep and perform any or all the Work, covenants, conditions, and agreements in the Agreement and any alteration thereof made as therein provided on its part, to be kept and performed at the time and in the manner therein specified, and in all respects according to its true intent and meaning, or fails to indemnify, defend, and save harmless the City of Newport Beach, its officers, employees and agents, as therein stipulated, then, Surety will faithfully perform the same, in an amount not exceeding the sum specified in this Bond; otherwise this obligation shall become null and void. As a part of the obligation secured hereby, and in addition to the face amount specified in this Performance Bond, there shall be included costs and reasonable expenses and fees, including reasonable attorneys fees, incurred by City, only in the event City is required to bring an action in law or equity against Surety to enforce the obligations of this Bond. Surety, for value received, stipulates and agrees that no change, extension of time, alterations or additions to the terms of the Agreement or to the Work to be performed thereunder shall in any way affect its obligations on this Bond, and it does hereby waive Global Power Group, Inc. Page E-1 . ES notice of any such change, extension of time, alterations or additions of the Agreement or to the Work or to the specifications. This Faithful Performance Bond shall be extended and maintained by the Principal in full force and effect for one (1) year following the date of formal acceptance of the Project by City. In the event that the Principal executed this bond as an individual, it is agreed that the death of any such Principal shall not exonerate the Surety from its obligations under this Bond. IN WITNESS WHEREOF, this instrument has been duly executed by the Principal and Surety above named, on the day of , 20 Name of Contractor (Principal) Name of Surety Address of Surety Telephone APPROVED AS TO FORM: CITY ATTORNEY'S OFFICE Date: Aaron C. Harp City Attorney Authorized Signature/Title Authorized Agent Signature Print Name and Title NOTARY ACKNOWLEDGMENTS OF CONTRACTOR AND SURETY MUST BE ATTACHED Global Power Group, Inc. Page E-2 6-41 ACKNOWLEDGMENT A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document. State of California County of } ss. On 20 before me, Notary Public, personally appeared who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signatures(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. WITNESS my hand and official seal. Signature ACKNOWLEDGMENT A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document. (seal) State of California County of SS. On 20 before me, Notary Public, personally appeared proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signatures(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. WITNESS my hand and official seal. Signature (seal) Global Power Group, Inc. Page E-3 6-42