HomeMy WebLinkAbout2003-03-31 City Council (8)TO:
FROM:
DATE:
SUBJECT:
HONORABLE CITY COUNCIL
CITY MANAGER
MARCH 31, 2003
DEPARTMENT: HUMAN RESOURCES
CMR: 202:03
APPROVAL OF AN AMENDMENT TO EXTEND THE EXISTING
CONTRACT FOR GROUP LIFE, ACCIDENTAL DEATH AND
DISMEMBERMENT (AD&D) AND LONG TERM DISABILITY
INSURANCE (LTD) PLAN WITH STANDARD INSURANCE FOR
AN ADDITIONAL TWO MONTHS, AT A COST OF $150,000
RECOMMENDATION
Staff recommends that Council approve and authorize the Mayor to: 1) execute the
attached contract amendment extending the City’s existing group life, Accidental Death
and Dismemberment (AD&D) and Long Term Disability (LTD) insurance plan contract
with Standard Insurance Company for an additional two-month period and, 2) increase
the amount of the contract by $150,000 for the payment of premiums through the
agreement’ s term.
DISCUSSION
On March 1, 2000, the City entered into a three-year contract for underwriting the City’s
group life, AD&D and LTD insurance benefits. This contract saved the City
approximately $89,500 pe~ year and improved both claims and general administration for
these plans. This contract expired on February 28, 2003.
The City goes to bid every three years to ensure the rates paid remain competitive and
that the claims administration services received are optimal. Staff also wanted to examine
the feasibility of self-insuring the City’s LTD plan. Staff hopes to determine if self-
insurance would result in lowering the City’s cost and~or improve claims administration.
On February 18, 2003 Council approved a one-month extension of this contract in order
to complete the RFP process. However staff has determined that this is not a sufficient
amount of time to complete a thorough review of the bids received and to interview the
potential insurers. Staff received a number of highly competitive bids that need to be
CMR: 202:03 Page 1 of 2
closely analyzed in order to determine the best option. As a result, an additional two
months is needed to complete the RFP process and to implement the new policies with an
effective date of June 1, 2003. The revised expenditure is based on the cost previously
agreed to in the prior extension.
RESOURCE IMPACT
Funding for this agreement is provided in the 2002-03 budget.
POLICY IMPLICATIONS
This request does not contain any policy implications.
ENVIRONMENTAL REVIEW
This is not a project under the California Environmental Quality Act (CEQA).
ATTACHMENTS
A:Amendment No. Two to Agreement No. S0119602
B:Amendment No. One to Agreement No. S0119602
C:Agreement No. S0119602
PREPARED BY: Sandra Blanch, Risk & Benefits Manager
DEPARTMENT HEAD:
Leslie Loomis
Director of Human Resources
CITY MANAGER APPROVAL:’ -- /’~ ~Sr’~/’~ ; ~ ’ "~~
Emily’Fi~arr~s~n
Assistant City Manager
CMR: 202:03 Page 2 of 2
AMENDMENT NO. TWO TO AGREEMENT NO. S0119602
BETWEEN THE CITY OF PALO ALTO AND
STANDARD INSURANCE COMPA~
This Amendment No.Two to Agreement No. S0119602
("AgreementH) is entered into , by and between the
CITY OF PALO ALTO ("CITY"), and STANDARD INSURANCE COMPANY, an
Oregon corporation, located at ii00 SW Sixth Avenue, Portland,
Oregon 97204 ("CONTRACTOR").
RECITALS:
WHEREAS, on March i, 2000, the Agreement was entered into
between the parties for the provision of group life insurance,
accidenta! death and dismemberment insurance and group long term
disability insurance for an initial one-year term; and
WHEREAS, on April 5, 2001, the parties renewed the
Agreement for an additional one-year term, in accordance with the
Agreement and the City Council authorization therefor; and
WHEREAS, on March 22, 2002, the parties renewed the
Agreement for a final one-year renewal term, in accordance with the
Agreement and the City Council authorization therefor; and
WHEREAS, the parties amended the Agreement (the City by
Counci! action on February 18, 2003) to extend the final renewa!
term by one month, and to increase the Agreement amount by
$150,000, for payment of premiums through the amended term; and
WHEREAS, the parties wish to amend the Agreement to
extend the final renewa! term of the Agreement through and
including May 31, 2003, and to increase the amount of the Agreement
by $150,000, for payment of premiums through the amended term, in
order to cover the cost of coverage during completion of the
ongoing RFP process and implementation of new policies.
NOW, THEREFORE, in consideration of the covenants, terms,
conditions, and provisions of the Agreement and this Amendment, the
parties agree:
SECTION i. The section entitled "TERMS" is hereby
amended to read as fol!ows:
030318 cl 8120324
TERM The insurance and/or materials furnished
under this Agreement shall commence in
accordance with Exhibits "A" & B". One year
initial term and two one-year renewal terms to
be exercised at City’s option in accordance
with RFP #119602. The fina! renewal term,
which was previously extended by one
additional month to and including March 30,
2003, is hereby extended by two additional
months to and including May 31, 2003.
SECTION 2. The section entitled "COMPENSATION" is hereby
amended, to read as follows:
COMPENSATION for the full performance of this
Agreement: CITY shall pay CONTRACTOR: in
accordance with the rates set forth in Exhibit
"C". Total compensation payable to CONTRACTOR
for services to al! Members for the final
renewal period of March i, 2002 through March
30, 2003, shall not exceed Nine Hundred
Thousand Dollars ($900,000). Tota!
compensation payable to CONTRACTOR for
services to all Members for the extended final
renewal period of March i, 2002 through May
31, 2003, shal! not exceed One Million Fifty
Thousand Dollars ($1,050,000).
SECTION 3. Except as herein modified, all other
provisions of the Agreement, including any exhibits and subsequent
amendments thereto, shall remain in full force and effect.
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030318 cl 8120324
IN WITNESS WHEREOF, the parties have by their duly
authorized representatives executed this Amendment on the date
first above written.
ATTEST:CITY OF PALO ALTO
City Clerk
APPROVED AS TO FORM:
Senior Asst. City Attorney
APPROVED:
Assistant City Manager
Mayor
STANDARD INSURANCE COMPANY, an
Oregon Corporation
By:
Name:
Title:
By:
Name:
Title:
Taxpayer Identification No.
Director of Administrative
Services
Director of Human Resources
insurance Review
(Compliance with Corp. Code § 313 is
required if the entity on whose behalf
this contract is signed is a corporation.
In the alternative, a certified corporate
resolution attesting to the signatory
authority of the individuals signing in
their respective capacities is acceptable)
030318 cl 8120324
3
CERTIFICATE OF ACKNOWLEDGMENT
(Civil Code § 1189)
STATE OF )
)
COUNTY OF )
On
notary public in and
, before me, the undersigned, a
for said County, personally appeared
personally known to me (or 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 signature(s) on the
instrument the person(s), or the entity upon behalf of which the
person(s) acted, executed the instrument.
WITNESS my hand and official seal.
Signature of Notary Public
030318 cl 8120324
CERTIFICATE OF ACKNOWLEDGMENT
(Civil Code § 1189)
STATE OF
CO~TY OF
)
)
)
On
notary public in and for
before me, the undersigned, a
said County, personally appeared
personally known to me (or 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 signature(s) on the
instrument the person(s), or the entity upon behalf of which the
person(s) acted, executed the instrument.
WITNESS my hand and official seal.
Signature of Notary Public
030318 cl 8!~0~4
AVIENDMENT NO. ONE TO AGREEMENT NO. S0119602
BETWEEN THE CITY OF PALO ALTO AND
STANDARD INSURANCE COMPANY
This ~_mendment No.One to Agreement No. S0119602
("Agreement") is entered into , by and between the
CITY OF PALO ALTO ("CITY"), and ST~!qDARi3 INSURANCE COMPANY_, an
Oregon corporation, !ocated at ii00 SW Sixth Avenue, Portland,
Oregon 97204 ("CONTRACTOR").
R"IE C I T’A L S:
9~EREAS, on March !, 2000, the Agreement was entered into
between the parties for the provision of group life insurancel
accidenta! death and dismemberment insurance and group long term
disability insurance for an initial one-year term; and
WHEREAS, on Apri! 5, 2001, the parties renewed the
Agreement for an additional one-year, term, in accordance with the
Agreement and the City Council authorization therefor; and
9~EREAS, on March 22, 2002, the parties renewed the
Agreement for a final one-year renewal term, in accordance with the
Agreement and the City Counci! authorization therefor; and
~^~EREAS, the parties wish to amend the Agreement to
extend the fina! renewa! term of the Agreement through and
including March 30, 2003, and to increase the amount of the
Agreement to cover the increased cost of coverage due to additional
management employees.
NOW, THEPSFORE, in consideration of the covenants, terms,
conditions, and provisions of the Agreement and this .Amendment, the
parties agree:
SECTION i. The section entitled "TERMS" is hereby
amended to read as fo!lows:
TERM The insurance and/or materials furnished
under this Agreement shall commence in
accordance with EY~ibits "A" & B" One year
initial term and two one-year renewal terms to
be exercised at City’s option in accordance
with RFP #119602. The final renewa! term is
hereby extended by one additional month to and
including March 30, 2003.
SECTION 2. The section entitled "COMPENSATION" is hereby
amended, to read as follows:
030213 cl 8120322
CERTIFICATE OF ACKNOWLEDGMENT
(civil Code § 1189)
STATE OF
COUNTY OF
)
)
)
On before me, the undersigned, a
notary public in and for said Comnuy De~sonallv appeared
personally knows, to me (or 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 signature(s) on the
instrument the person(s), or the entity upon behalf of which the
person(s) acted, execute the instrument
~ ~hand and official seal¼~TN~SS my "
Signature of Notary Public
~(~..~REEMENT No.P ’~’
"i".,,( .., 2000 . .
BY THIS AGREEMENT MADE AND E~RED I~O ON ~E ! DAY OF LaY CI~ PURCHASING
BYAND B~EEN~E Cl~ OF PALO ALTO "OI~,AND S~ANDA~ ZNS~CS COM?~n Oreqon c&rporation .(~):
(ADDRESS) II00 SW Six~ Avenue "(ci~Portland,~ ~R iz~) 97204 (p~ONE)(925) 947"
~CONTRACTOR" ~CONS~DE~T~ON OF ~E~R ~ OOV~A~S,~E PARTIES ~ER~OA~SEEAS Eo&ows:- 39.50
e CONTRACTOR S~&~aOV’OEORFU~’~S~O~OW’~S~£C’F’ED~ ~ : ~’~’< ~ ~GOODS AND MAT£RIAtSi 2) SERVICES ~~ 3)ACOMBINATION
~EREOF AS SPECI~ED IN ~E EXHIBITS NAMED BELOW AND A~ACHED HEROD AND INCORPORATED RER~IN B~ ~IS REFE~NCE;
TI~E: (DESCRIPTION) . "
EXHIBITS THE FOLLOWING A]-[ACHED ~HISF[s HERESY .~RE MADE PART OF THIS AGREE4VIEI~:
insurance ’--.TERM ~E~ND/ORMA~RIALS-~RNISHEDUNDER~ISAGREEME~SHA~COMMENCE~ in accordance Wi~h
~~~~ Exhibits A & Bo One ¥#~r initial term.and tw0-oneyear
renewa! terms to .be exerCisedat City’s op~i0n in accordance with RFP#II9602o
COMPENSA~ONFOR~E ~ PERFORMANCE OFTHIS AGREEME~: ~ :
~.CI~SH~PAYCONTRACTOR: i~ accordance ~ith Exhibit Co
~X~~izf~hX~C~X Insurance-benefits in accordance with Exhibits:-~ & B-
PAYMENT RECORD (DEPARTMENT USE REVERSESIDE)
o CITY ACCOUNT NUMBER:
KEY CODE OBJECT
I PROJECT
PHASE NO.
I DOLLAR AMOUN~T_8_7 _00_ _0_00_ 0_3024 --$450.000 L
~uuuuuu 3022 )’~’~RR ’\ -&750,000:Total’87000000 .2~023 1 ~,~ -GENERAL TERMS AND CONDITIONS ARE INCLUDED ON BOTH SIDES OFTHIS AGREEMENT. )
THIS AGREEMENT SHALL BECOME EFFECTIVE UPON ITS APPROVAL AND EXECUTION BY CITY. IN WITNESS THEREOF, THE PARTIES H.AV~i~ECUXED THIS
AGREEMENT THE DAY, MONTH, AND YEAR FIRST WRffTEN ABOVE..
HOLD HARMLESS. CONTRACTOR aarees to indemnify, defend and ho~d harmless CITY, its Council Members. officers, employees, and agents from any and all demands,
claims or liability of any nature, including wrongful death, caused by or arising out of CONTRACTOR’& its officers’, directors’, emp{oyees’ or agents’ negligent acts, errors,
or omissions, or willful misconduct, or conduct for which the law imposes strict liabilify on CONTRACTOR in the performance of or failure to perform this agreement by
CONTRACTOR.
ENTIRE AGREEI~ENT. This agreement and the terms and conditions on the reverse hereof represent the entire agreement between the parties with respect to the purchase
and sale of the goods, equipment, materials or supplies or payment for services which may be the subject of this agreement. All prior a0reements, representations,
statements, negotiations and undertakings whether oral or written are superseded hereby.
PROJECT MANAGER A.D REPRESENTAT,VE FOR crw CONTRAC~TOR
NAME ~ Z!lOk~_r Ronalm ~. T~pe u
DEPT.Human Resources T~TLE Chairman, President and CEO
P.O. BOX 10250 SOCIAL SECURITY
PALO ALTO, CA 94303 OR I.R.S. NUMBER /9 3.~ 0 2 4 -- 2 9 9 0>3 / /’,/Telephone (650) q’~9-2235 By
J .,;iG~L,~9 iaes s
INVOICING SEND ALL INVOICES-tO THE CITY, A]-I-N: PROJECT MANAGER . I’ . , .’ ’T3.~ile.: Vice Pr.esiient. & Corporate
CITY OF,, PALO ALTO APPROVALS: (ROUTE FOR SIGNATURES ACCORDING TO NUMBERS IN ,~I~@ROVAL BOXES BELOW) Secretar’
(1) (2
APPROVAL OVER $25,000 "
011Y OF PAL0 ALTO .............. :.. ..~: .. :’.~: ;:.,f" ..,’// ....... .--2-.-;._....
B"~1";/ " ":", " .¯’--::~.@,IAYOR ....::S,::.CI)-~¢CL~RK CITY ATTORNEY~F;:?ASSISTANT CITY MANAGER’~"~
ACCEPTANCE. THIS AGREEMENT IS LIMITED TO THE TERMS AND
CONDITIONS ON THE FACE AND BACK HEREOF WH]CH 1NCLIUDES ANY
EXHIBITS REFERENCED.
GOVERNING LAW. TF S AGREEMENT SHALL BE GOVERNED BY THE
LAWS OF THE STATE OF CALIFORNIA
INTEREST OF CONTRACTOR, IT IS UNDERSTOOD AND AGREED THAT
THIS AGREEMENT IS NOT A CONTRACT OF EMPLOYMENT IN THE SENSE THAT
THE RELATION OF MASTER AND SERVANT EXISTS BETWEEN THE CITY AND
UNDERSIGNED. AT ALL TIMES CONTRACTOR SHALL.BE DEEMED TO BE AN
INDEPENDENT CONTRACTOR AND CONTRACTOR IS NOT AUTHORIZED TO
.BIND CITY TO ANY CONTRACTS OR OTHER OBLIGATIONS. IN EXECUTING
THIS AGREEMENT, CONTRACTOR CERTIFIES THAT NO ONE WHO HAS OR
WILL HAVE ANY FINANCIAL INTEREST UNDER THIS AGREEMENT IS AN
OFFICER OR EMPLOYEE OF CITY,
INSURANCE. CONTRACTOR AGREES TO PROVIDE THE INSURANCE
SPECIFIED IN THE "INSURAN DE REQUIREMENTS" FORM ISSUED HEREWITH.
~ THE EVENT SELLER IS UNABLE TO SECURE A POLICY ENDORSEMENT
NAMING THE CITY OF PALO ALTO AS AN ADDITIONAL INSURED UNDER ANY
COMPREHENSIVE GENERAL LIABILITY OR COMPREHENSIVE AUTOMOBILE
aOLICY OR POLICIES CONTRACTOR SHALL AT A MINIMUM, AND ONLY WITH
THE WRITtEN APPROVAL OF CITY’S RISK ~,,1ANAGER OR DESIGNEE, CAUSE
EACH SUCH INSURANCE POLICY OBTAINED BY IT TO CONTA!N AN
ENDORSEMENT PROVIDING THAT THE INSURER W,~IVES ALL BIGHT OF
RECOVERY BY WAY OF SUBROGATION.AGAINST ClT~Y, ITS. (~F~-ICERS
AGENTS. AND EMPLOYEES ’4 C(~NNECTION WITH ANY DAMAGE CLAIM,
LIABILITY PERSONAL INJURY., OR WRONGFUL DEATH COVERED BY.ANY SUCH
POLICY: EACH SIjCH POLICY OBTAINED BY CONTRACTOR SH~.LCOi~TA’II~I’,~:~7~
ENDORSEMENT REQUIRING THIRTY [30) DAYS’ WRI]-FEN NOTICE FROM THE
INSURER TO CR-Y BEFORE CANCELLATION OR CHANGE IN THE COVERAGE
SCOPE OR AMOUNT.OF SUCH POLICY.
CONTRACTOR SHALL PROVIDE CERTIFICATES OF SUCH POLICIES OR OTHER
EVIDENCE OF COVERAGE SATISFACTORY TO CITY’S RISK MANAGER.
TOGETHER WITH EVIDENCE,@E:PAYMENF--QP PREMIEtMS TO CI’f~Y AT THE
COMMENCEMENT OF THIS AGREEMENT. AND ON RENEWAL OF THE POLICY
OR POLICIES. NOT LATER THAN .TWE.N]Y.:(~Q) DAYS ~EEORE E~EIRATION_OF
THE TERMS OF ANY SUCH POLICY
TERMINATIOI’4.TRIS ,~GR~MENT MAY BE ~ERMINATED BY CITY UPON
]:EN (.10) DAYS. WRITTEN NOTICE-TO CON] RACTOR,-MONIES THEN OWlNd
BASED_L)PON WORK SATISFACTORILY A_C__C.OMP~__I_SHED SHALL BE PAID TO
CHANG ES. THIS AdREEMENT SHALL "NOT:BE ASSIGNED OR TRANSFERRED
WITHOUT THE WRITTEN CONSENT OF THE CITY. NO CHANGES OR
VARIATIONS OF ANY KIND AREAUTHORIZE~"~,’ITHOOT THE WRITTEN
CONSENT OF THE CITY MANAGEEL
AUDITS. CONTRACTOR AGREES TO PERMIT CITY TO AUDIT. AT ANY
REASONABLE ’~’li’(,,IE DURING THE TER.M OF THIS AG:R~EEMENT AND FOR THREE
(3) Y~ARS THEREAFTER, C~0NTRACTOR’S RECORDS PERTAINING TO
MAqq-ERS COVERED BY THIS AGREEMENT. CONTRACTOR FURTHER AGREES
TO MAINTAIN SUCH RECORDS FOR AT LEAST THPJEE {3) YEARS AFq’~ ER THE
TERM OF THIS AGREEMENT,
NO DJiPLIED WAIVER. r,~o PAYMENT, PARTIAL PAY,,4ENT, ACCEPTANCE,
OR PARTIAL ACCEPTANCE BY CITY SRALL OPERATE AS A WAIVER OH THE
PART OF CITY OF ANY O~ ITS RIGHTS .UNDER THiS AGREEMENT.
NON-DISCRIMINATION. NO DISCRIMINATION SHALL BE MADEIN THE
EMPLOYMENT. OF FERSONS UNDER THIS AGREEMENT BECAUSE OF THE
RACE, COLOR. NATIONAL ORIGIN, AGE, ANCESTRY, RELIGION OR SEX OF
SUCH PERSON¯
WARRANTY. CONTRACTOR EXPRESSLY WARRANTS THA"~ ALL MATERIALS
AND SERVICES COVERED BY THIS AGREEMENT SHALL CONFORM TO THE
SF~ECIFICATIONS, REQUIREMENTS, INSTRUCTIONS, OR OTHER DESCRIP-
TIONS UPON WHICH THIS AGREEMENT iS BASED, SHALL. BE FIT AND
SUFFICIENT FOR THE PURPOSE INTENDED. OF GOOD M~TERIAE’ AND
WORKMANSHIP AND FREE FROM DEFECT AND-:THAT MATERIALS AND
SERVICES OF CONTRACTOR’S DESIGN WILL BE. FREE FROM DEFECT IN
DESIGN. INSPECTION, TEST, ACCEPTANCE, PAYMENT OR USE OF THE GOODS
FURNISHED HEREUNDER SHALL NOT AFFECT THE CONTRACTOR’S
OBLIGATION UNDER THIS WARRANTY, AND SUCH WARRANTIES SHALL
SURVIVE INSPECTION, TEST ACCEPTANCE AND USE. CONTRACTOR AGREES
TO REPLACE, RESTORE, OR CORRECT DEFECTS OF ANY MATERIALS OR
SERVICES NOT CONFORMING TO THE FOREGOING WARRANTY PROMPTLY,
WITHOUT EXPENSE TO CITY, WHEN NOTIFIED OF SUCH NONCONFORMITY BY
CITY. IN THE EVENT OF FAILURE BY CONTRACTOR TO CORRE(~’T DEFE(~TS tN
OR REPLACE NONCONFORMING GOODS OR SERVICES PROMPTLY,-CITY,
AFTER REASONABLE NOTICE TO CONTRACTOR, MAY MAKE SUCH
CORRECTIONS OR REPLACE SUCH MATERIALS QR SERVICES AND CHARGE
CONTRACTOR FOR THE COST INCU BRED BY THE CITY THEREBY.
WORKERS’- COMPENSATION: CONTRACTOR, BY EXE~C~~ING -THIS
AGREEMENT, CERTIFIES THAT iT IS AWARE OF THE PROVISIONS OF THE
LABOR CODE OF THE STATE OF CALIFORNIA V~fCHRE’~UtRE EVERY
EMPLOYER TO BE INSURED AGAINST q.IA.B.~I~Y FOR WO~R~.ERS’
COMPENSATION O~ TO:UNDERTAKE SELF-iNS-0R,~CE. IN.A(~ORDANCE
WITH THE PROVISIONS OF THAT CODE, AND CERTIFIES THAT IT WILL COMPLY
WITH SUCH PROVISIONS BEFORE COMMENCING THE PERFORMANCE OF THE
WORK OF THIS AGREEMENT.
PRICE TERMS.
(a):EXTRA CHARGES. INVOICES:’AND PAYMENT.’NO EXTRA" CHARGESOF ANY
KIND WILL BE ALLOWED UNLESS SPECIFICALLY AGREED TO IN WRITING BY
CITY. ALL STATE AND FEDERAL EXCISE. SALES ANDUSE,TA~ES SHALL BE
STATED SEPARATELY ON THE INVOICES .................
(b) TRANSPORTATION CHARGES. ANY TRANSPORTATION. CHARGES’WITH -
RESPECT TO:-WHICH dd£TRAC’tOR iS
REIMBURSEMENT-SHALL BE ADDED TO CONTRACTOR’S~INVOICE-AS A
SEPARATE ITEM, .WITH THE RECEIPTED FREIG}4~r BILL ATTACHED THEBE-[O.
(c) CONTRAG3-OR .WARRANTS THAT-,THE .pRICES FOR MATER .,~LS OR
SERVICES S(~t~D*"~O ~.IT~.~J~DER ’THIS"AGREEMEN~-"AR .E.. ’f~O[ ~&~S
FAVOt~ABt~E TF~AN THOSE CURRENTLY EXTENDED TO: ANY OTHER
CUSTOMERS OF THE SAME OR LIKE ARTICLES OR SERVI.CES iJ’,! EQUAL OR
LESS QUANTITIES, N ~VENT CONTRACTOR REDUCES ITS:PRICE FOR ~UCH
MATERIALS OR SEP~VICES DURING THE T~RM OF TF~iS ~,GREEMENT,
CONTRACTOR AGREES TO REDUCE THE PRICES OR RATES HEREOF
CORRESPONDINGLY.
SCHEDULES’ OR DELIVERY. TIME IS OF Tt~E ESSENCE OF THIS
AGREEMENt-: CONTRACTOR AGREES TO COMPLY WITH THE SPECIFIC
SCHEDULE PROVIDED BY THE CITY OR AGREED UPON HEREIN WITHOUT
DELAY AND WITHOUT ANTICIPATING C1TY’S REQUIREMENTS. CONTRACTOR
ALSO AGREES NOT TO IvIAKE MATERIAL COMMITMENTS OR ,SCHEDULING
ARRANGEMENTS IN EXCESS OF THE REQUIRED AMOUNT OR IN ADVANCE OF
THE TIME NECESSARY TO MEET THE SCHEDULE(S) OF THIS AGREE.MENT, IF
ANY.
CITY’S PROPERTY. TITLE TO CITY’S PROPERTY FURNISHED TO
CONTRACTOR SHALL REMAIN IN THE CITY. cONTRACTOR SHALL NOT ALTER
OR USE PROPERTY FOR AN’r" PURPOSE, OTHER THAN THAT SPECIFIED BY
CITY, OR FOR ANY OTHER PERSON WITHOUT THE PRIOR WRITTEN CONSENT
OF CITY. CONTRACTOR SHALL STORE, PROTECT, PRESERVE, REPAIR AND
MAINTAIN SUCH PROPERTY IN ACCORDANCE WITH SOUND PROFESSIONAL
PRACTICE, ALL AT CONTRACTOR’S EXPENSEi" .
TRANSPORTATION, PACKAGING & LABELING. ALL MATERIALS
OR SERVICES ARE TO BE PROVIDED: (a)’ F.O.B. PALO ALTO UNLESS
OTHERWISE SPECIFIED; (b) WITH A PACKING LIST.ENCLOSED IN CARTONS,
WHICH iNDICATE THE AGREEMENT NUMBER, EXACT QUANTITY AND
DESCRIPTIONS, CONCERNING ANY MATERIAL SH!PMENTS; (c) AND COMPL__.Y
WITH CURRENT PACKAGING AND LABELING REQUIREMENTS PRESCRIBED BY
D.O.T.
PAYMENT F~CORD: (For Department Use)
Warrant No.Date Amount Warrant b,,’. o.Date Amount
(4)
(2)(5)
(3)(6)