Okaloosa County BOCC — October 7, 2014 — C03-0927-GM inc amend 1 — reading text

either extended or is terminated sooner by mutual agreement under the terms of this Agreement. E. OCT agrees to pay the County, as rent for the vehicles and equipment herein leased, a sum of $1.00 per year per vehicle, payable annually within thirty (30) days following the execution of this agreement. Lease rate and payment schedule per vehicle is as specified in Exhibit A. F. OCT agrees not to lease or let transit vehicles or any part thereof, to pass from under its control. OCT further will not, in any manner, permit said motor vehicles or any part thereof to be pledged, seized or held for any taxes, debt, lien, or obligation. G. Be responsible for maintaining all vehicles and equipment owned by the County and used in the operation of the System, including but not limited to: 1. Providing for and paying the cost of maintenance and repair service of the leased equipment in accordance with standard preventive and corrective maintenance procedures on the basis of instructions supplied by the County and/or the manufacturer. Preventive maintenance practices consistent with proper equipment care will be exercised. OCT further agrees to maintain the equipment in presentable condition. 2. It is the primary responsibility of OCT to ensure that all required reports are properly maintained and that any and all reports required by other agencies, including but not limited to FTA and FDOT, are properly maintained and submitted. - 7 -  3. Maintenance reports must include: a. Record of inspection, corrective or preventative maintenance actions including identification and cost of parts used, labor hours and vehicle mileage will be recorded on work order forms and maintained on file, with inspection checklist, for the inspection of the County at any and all reasonable times. b. Individual vehicle maintenance record files will be kept current by OCT and shall be available for County's review during periodic compliance inspecti ons. c. Summary reports for each leased vehicle which describe inspection findings, mileage, and maintenance procedures shall be prepared monthly by the lessee, and available to the County for inspection and review as necessary. 4. OCT also agrees to permit the County's designated representative to audit all books, records and files relative to the operation and maintenance of the leased vehicle(s), equipment and parts, as applicable; to assist in providing said documents and information and to permit inspection of vehicle(s), equipment, and parts by FfA or the County's representatives. Time for conducting said audits and inspections will be during normal business hours. H. OCT shall ensure that vehicles are used in compliance with applicable federal, state, or municipal statutes, laws, ordinances, rules or regulations, and for no purpose contrary to the provisions of any applicable insurance policy. OCT shall return such equipment and replacement thereof to the County at the end of the contract term in the same condition as received, reasonable wear and tear expected. I. OCT agrees not to loan, sell, sublet, assign or mortgage said equipment, or lend or permit said equipment to be subject to any legal process without the County's prior written consent. J. In the operation of equipment leased by this agreement, OCT agrees: 1. To limit use of leased vehicle(s) and equipment to approved public transportation services that serve the best interest and welfare of the public. No changes in use of said vehicle(s) and/or equipment will be implemented by lessee, unless written authorization is received from the County. 2. To obtain written consent of the County for any alterations or modifications to the equipment. If approved, such changes shall upon the termination of this agreement, remain the property of the County. - 8 -  3. To precisely follow the County's guidelines for affixing or painting any designs, or marking signs on the leased vehicles. Political advertisements shall not appear on leased equipment. Commercial advertisements shall not appear on leased equipment without prior approval from the County. Public service posters or announcements may be placed in pre-existing advertising racks, if any. 4. Not to use the equipment in violation of federal, state, or local statute, law, regulation, ruling order or ordinance. 5. To hold the County harmless for all fines, forfeitures or penalties for traffic violations or other violations incurred in connection with the operation of this equipment. 6. To cause each vehicle to be operated only by a fully qualified, competent, licensed driver. OCT shall require each driver to have a good driving record and to operate with all due care and diligence to prevent injuries, loss and damage of any nature. K. OCT shall protect the equipment from theft and other hazards. L. OCT shall be responsible for damages and loss to equipment in the event of disaster, fire, theft, flood, riots, strikes, conversion, collision or other partial or total destruction except to the extent the County may be reimbursed by payment of insurance proceeds. M. OCT shall notify the County of any theft, fire, improper performance, damage, accidents, or collisions in which the equipment has been involved exceeding $500. OCT shall supply a copy of any report required to be filed with any administrative body or governmental unit within three (3) days. In the event of failure to so notify the County, OCT will be responsible for any loss to the County as a result of such failure. N. To aid in every reasonable way in the defense of suits or other proceedings which may be brought as a result of the operation of said equipment, and to notify the County promptly of any papers, notices or documents served upon the lessee, its agents servants, or employees, arising out of the operation of said equipment. O. OCT shall take no steps which would affect the County's claim for damages, if any, without written consent of County. P. OCT shall submit order requests and detailed specifications to the Growth Management Department for all vehicles and equipment. Q. It is the responsibility of OCT to inspect all vehicle(s), equipment and parts at the time of delivery. The County agrees to ensure all such vehicle(s) and equipment are operating properly and are in good condition at the time of delivery and to correct any deficiencies noted at that time by OCT, with the exception that the County has the right to remove any vehicle(s) or equipment - 9 -  from this agreement which, in the opinion of the County, has incurred damages or requires repairs that are too costly to warrant such repair. Once OCT has accepted delivery of the vehicle(s) and equipment, OCT assumes full responsibility for all maintenance and repairs to same for the duration of the agreement. R. In the event of expiration or cancellation of this agreement, lessee agrees to proceed as follows: 1. Provide storage space for all leased vehicle(s), equipment and parts, if applicable, until lessor is prepared to transport to the next destination. 2. To be responsible for the cost of repairing, replacing, or restoring any of said vehicle(s), equipment or parts, in substandard condition. 3. To ensure that tread remaining on the tires of the vehicle(s) is no less than 7/32" on any of the tires to provide for safe transport by the lessor to the next destination and to be responsible for the cost of replacing tires not meeting said standards. 4. Any vehicle not in the same or better condition, reasonable wear and tear accepted, at the time of expiration or cancellation of this agreement as when the vehicles were delivered to the lessee will be considered as in substandard condition. S. OCT shall promptly notify the Growth Management Department of the intent to return leased vehicles for auction. Federally funded vehicles planned for disposition shall meet the Service Life Policy as outlined in FTA Circular 9300.1A, Page ill-8. T. The County shall return net auction proceeds of public transit vehicles to OCT for support of public transportation services. U. The County shall return revenues received by the County for approved commercial advertisements on leased equipment to OCT for the benefit of the System; VI. Insurance A. Liability coverage in an amount of $100,000 for the death or injury of one person, $300,000 in the event of death or injury of two or more persons in a single accident, including liability to any employees engaged in operation of the vehicle(s), and $50,000 for property damage. Comprehensive and collision coverage will be obtained for the full value of each vehicle, less normal deductible which shall be borne by the lessee. Current value of equipment leased under this agreement is as specified in Exhibit A. Okaloosa County reserves the right during the term of this contract to request actual certified copies of insurance contracts to support any Certificates of Insurance. At any time that the insurance coverage is unacceptable to Okaloosa County, the Okaloosa County Board of County Commissioners reserves the right to terminate this contractual agreement. - 10 - B. Coverage shall be written by an insurer licensed to do business in the State of Florida. All liability and physical damage coverage (comprehensive/collision) shall list Okaloosa County, the owner/lessor, as an Additional Insured. All policies shall be written so that Okaloosa County is notified of cancellation or restrictive amendments at least thirty (30) days prior to the effective date of such cancellation or amendment. Any notice shall be mailed directly to Okaloosa County Purchasing Department, 602 North Pearl Street, Crestview, FL 32536. C. To the fullest extent permitted by law, OCT shall indemnify and hold harmless the County, its officers, and employees from liabilities, damages, losses, and costs including but not limited to reasonable attorney fees, to the extent caused by the negligence, recklessness or intentional wrongful conduct of OCT and other persons employed or utilized by OCT in the performance of the Agreement. The provisions of this section shall survive the expiration or earlier termination of this Agreement. D. Workers Compensation Insurance: 1. OCT shall secure and maintain during the life of this agreement, Workers Compensation insurance for all employees employed including supervision, administration and management personnel. If any work is sublet with the approval of Okaloosa County, OCT shall require the Subcontractor to provide Workers Compensation insurance for all employees and such evidence of insurance shall be furnished to Okaloosa County not less than ten days prior to the commencement of