Okaloosa County BOCC — February 28, 2017 — 2 Final Clean Copy Inland (existing Carts) 2-23-17 (with Asset Management Revisions)(signed) — reading text

in electronic format utilizing Microsoft software, or in a format approved by the Contract Manager. 8.3. Daily Report Within one (1) Day of occurrence, Contractor shall electronically notify the Contract Manager of any of the events listed below, in a format approved by the Contract Manager, which may include use of the asset managment reports, if applicable. If no such events occur, no notification is necessary. a. Collection services non-collection events as specified in Article 3.5.7. b. Incidences of personal injury or property damage, including vehicular damage, to public or private property by Contractor as specified in Article 3.8.4.3. and Article 4.2.6.13. c. Spillage and littering occurrences as specified in Article 3.8.5.2. 8.4. Monthly Report Contractor shall electronically submit a report to the Contract Manager in a format approved by the Contract Manager, within seven (7) Days after the end of the month during the term of this Agreement. The report shall contain the following information for the previous service month: a. A summary of all calls as specified in Article 3.8.8.4. and Article 4.2.6.16. Page 24 Okaloosa County Solid Waste and Recyclables Collection, Transfer, and Processing/Disposal Agreement (using existing bins) b. Repair, replacement, exchange, and asset management reports for all Roll Carts and bins including information as specified in Article 3.8.12.4. c. List of customers receiving services for which the Contractor is billing (not based on cash receipts). The report should include customer name, address, material(s) collected, materials collected (Solid Waste or Recyclables), container size, frequency of collection, and service fees, or any other information required by the Contract Manager. d. Vehicle and equipment list if changes in the fleet of vehicles and equipment occurred during the previous month. e. Documentation of all public education activities planned, initiated, or executed during the previous month as specified in Article 3.9. f. Contractor’s failure to perform any of the requirements under section 8.4 shall be considered a breach of the Contract. 8.5. Annual Report a. Contractor shall provide to the County annually a certified financial statement and report that includes an income statement showing the gross revenue received by Contractor for all services provided by Contractor under this Agreement. The report must include the opinion of a Certified Public Accountant, who had conducted an audit of Contractor’s books and records in accordance with generally accepted accounting standards which include tests and other necessary procedures, that the financial statements are fairly presented in all material aspects and in conformity with generally accepted accounting procedures. The report also must include the Certified Public Accountant opinion that Contractor has properly calculated and fully paid the revenues that are due and owing to the County pursuant to the provisions of this Agreement. The annual audit shall be delivered to the County within one hundred and twenty (120) Days after the end of the Contractor’s fiscal year. The County may waive the requirement of an audited financial statement upon good cause. b. Contractor shall file an annual report with the County no later than thirty (30) Days following the close of the County’s fiscal year (September 30). The annual report shall summarize the previous fiscal year's operations for all services provided pursuant to this Agreement including a discussion of operating issues that occurred during the year, anticipated operating system issues during the coming fiscal year, planned capital improvements if applicable, and any other information pertinent to services provided pursuant to this Agreement. The annual report should include the information regarding the maintenance and stewardship of the Transfer Stations, FDEP Permit, and any other related aspects of this Agreement. It shall also summarize the previous year’s material recovery operations including the quantity of Recovered Materials, an analysis of the recovery process, process improvements, recovery goals for the coming fiscal year, and any other information pertinent to the recovery efforts. c. Contractor shall maintain a comprehensive preventative maintenance schedule and detailed maintenance records for all equipment and systems at the Transfer Stations. Contractor shall provide maintenance records upon request. d. No later than May 1 of each year beginning May 1, 2017, Contractor shall provide the Contract Manager with a report summarizing the total Tons of Recyclables received during the past Agreement year and the net tonnage diverted from disposal. e. Contractor’s failure to perform any of the requirements under section 8.5 shall be considered a breach of the Contract. 8.6. Additional Information Contractor shall provide any additional information or reports as requested by the Contract Manager to monitor this Agreement or the County’s Solid Waste and Recyclables programs. Page 25 Okaloosa County Solid Waste and Recyclables Collection, Transfer, and Processing/Disposal Agreement (using existing bins) ARTICLE 9. COMPENSATION 9.1. Residential Collection Service Fees Fees for Residential Collection Services are provided in Exhibit 1. Fees are subject to Fee adjustments set forth in Article 9.1.1. No additional fees or charges shall be billed by Contractor unless approved by the Board. 9.1.1. Residential Collection Service Fees Annual Adjustment All unit fees set forth in Exhibit 1 shall remain the same through the first contract year of the Agreement. Notices to customers regarding fee adjustments must be approved by the County prior to being issued. 9.1.1.1. On October 1, 2018 and October 1 of each subsequent year during the term of this Agreement, the Residential Collection Service Fee shall be adjusted. The Residential Collection Services fee adjustment calculation shall be made as specified in Exhibit 4 and shall not exceed three percent (3%) of the previous year’s Residential Collection Services fee. 9.2. Transfer Station Operations Fee The Contractor shall invoice the County monthly for the acceptance and handling of Solid Waste and Recyclables received at the Transfer Stations. The fee per Ton to be paid to the Contractor is provided in Exhibit 1. The monthly tonnage to be invoiced shall be based on the inbound tons of Solid Waste and Recyclables received at the Transfer Stations pursuant to this Agreement. This fee shall take effect on the Commencement Date of this Agreement and shall continue without adjustment through September 30, 2018, and thereafter may be adjusted in accordance with Article 9.5. 9.3. Solid Waste Processing/Disposal Fee The Contractor shall invoice the County monthly for the transportation and Processing/Disposal of Solid Waste received at the Transfer Stations. The fee per Ton of Solid Waste to be paid to the Contractor is provided in Exhibit 1. The monthly tonnage to be invoiced shall be based on the outbound tons of Solid Waste pursuant to this Agreement. This fee shall take effect on the Commencement Date of this Agreement and shall continue without adjustment through September 30, 2018, and thereafter may be adjusted in accordance with Article 9.5. 9.4. Recyclables Delivery Fee The Contractor shall invoice the County monthly for the transportation and delivery of Recyclables to the Designated Recycling Facility. The fee per Ton of Recyclables to be paid to the Contractor for delivery of Recyclables is provided in Exhibit 1. The monthly tonnage shall be invoiced based on the outbound tons of Recyclables pursuant to this Agreement, and thereafter may be adjusted in accordance with Article 9.5. This fee shall take effect on the Commencement Date of this Agreement and shall continue without adjustment through September 30, 2018, and thereafter may be adjusted in accordance with Article 9.5 9.5. Annual Fee Adjustment On October 1, 2018 and October 1 of each subsequent year during the term of this Agreement, the Residential Collection Services Fee, Transfer Station Operations Fee, Solid Waste Processing/Disposal Fee, and Recyclables Delivery Fee shall be adjusted as specified in Exhibit 4 and shall not exceed three percent (3%) of the previous year’s fee. 9.6. Change in Law Fee Adjustment Contractor may petition the County for an additional fee adjustment resulting from a Change in Law. Contractor’s request shall contain substantial proof and justification to support the need for the fee adjustment. The County may request from Contractor such further information as may be reasonably necessary in making its determination. Within sixty (60) Days of receipt of the request and all other Page 26 Okaloosa County Solid Waste and Recyclables Collection, Transfer, and Processing/Disposal Agreement (using existing bins) additional information required by the County, the Contract Manager shall make a determination regarding the fairness of the request and shall make a recommendation to the Board. The Board shall consider the request at a regularly scheduled meeting. If the Board approves the request, adjusted fees shall become effective upon the Board’s approval. All notices to customers regarding fee adjustments must be approved by the County prior to being issued. 9.7. Limitation on Fee Changes Contractor shall not be allowed a fee increase for any reason other than those expressly specified in this Agreement. Notwithstanding the foregoing, in the event that a federal, state, or local entity imposes a fee, charge, or tax after April 1, 2017 that applies to Contractor’s operations, such fee, charge, or tax shall be treated as a Change in Law and shall be passed through as a separate billed item after notice to, and confirmation by, the County. ARTICLE 10. BILLING AND PAYMENT 10.1. Collection Services 10.1.1. Residential Collection Service 10.1.1.1. The County shall provide billing and collection services for Residential Customers that are billed by the County Water and Sewer System. The Contractor will be charged a five percent (5%) administration fee deducted from the