HomeMy WebLinkAboutContract 1670 ORIGINAL - i
South Coast 411/41■ Contract No. ML16006
• Air Quality Management District Clean Transportation
X'S A'S Funding from the MSRC
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AB 27661MSRC LOCAL GOVERNMENT MATCH PROGRAM CONTRACT
1. PARTIES - The parties to this Contract are the South Coast Air Quality Management District (hereinafter
referred to as "SCAQMD") whose address is 21865 Copley Drive, Diamond Bar, California 91765-4178, and
the City of Cathedral City (hereinafter referred to as "CONTRACTOR") whose address is 68-700 Avenida
Lalo Guerrero, Cathedral City, California 92234.
2. RECITALS
A. SCAQMD is the local agency with primary responsibility for regulating stationary source air pollution
within the geographical boundaries of the South Coast Air Quality Management District in the State of
California (State). SCAQMD is authorized under State Health & Safety Code Section 44225 (AB 2766)
to levy a fee on motor vehicles for the purpose of reducing air pollution from such vehicles and to
implement the California Clean Air Act.
B. Under AB 2766, SCAQMD's Governing Board has authorized the imposition of the statutorily set motor
vehicle fee. By taking such action, the State's Department of Motor Vehicles (DMV) is required to collect
such fee and remit it periodically to SCAQMD.
C. AB 2766 further mandates that thirty (30) percent of such vehicle registration fees be placed by
SCAQMD into a separate account for the sole purpose of implementing and monitoring programs to
reduce air pollution from motor vehicles.
D. AB 2766 creates a regional Mobile Source Air Pollution Reduction Review Committee (MSRC) to
develop a work program to fund projects from the separate account. Pursuant to approval of the work
program by SCAQMD's Governing Board, SCAQMD authorized this Contract with CONTRACTOR for
equipment or services described in Attachment 1 - Statement of Work, expressly incorporated herein by
this reference and made a part hereof of this Contract.
E. CONTRACTOR has met the requirements for receipt of AB 2766 Discretionary Funds as set forth in
CONTRACTOR's Local Government Match Program Application/Proposal dated June 1, 2015.
F. CONTRACTOR is authorized to do business in the State of California and attests that it is in good tax
standing with the California Franchise Tax Board.
G. All parties to this Contract have had the opportunity to have this Contract reviewed by their attorney.
3. DMV FEES - CONTRACTOR acknowledges that SCAQMD cannot guarantee that the amount of fees to be
collected under AB 2766 will be sufficient to fund this Contract. CONTRACTOR further acknowledges that
payment under this Contract is contingent upon SCAQMD receiving sufficient funds from the DMV, and that
SCAQMD assumes no responsibility for the collection and remittance of motor vehicle registration fees,
4. AUDIT AND RECORDS RETENTION
A. CONTRACTOR shall, at least once every two years, or within two years of the termination of the
Contract if the term is less than two years, be subject to an audit by SCAQMD or its authorized
representative to determine if the revenues received by CONTRACTOR were spent for the reduction of
pollution from motor vehicles pursuant to the Clean Air Act of 1988.
B. CONTRACTOR agrees to maintain records related to this Contract during the Contract term and
continue to retain these records for a period of two years beyond the Contract term, except that in no
case shall CONTRACTOR be required to retain more than the most recent five years' records.
SCAQMD shall coordinate such audit through CONTRACTOR'S audit staff.
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Contract No.ML16006
C. If an amount is found to be inappropriately expended, SCAQMD may withhold funding, or seek
reimbursement, from CONTRACTOR in the amount equal to the amount that was inappropriately
expended. Such withholding shall not be construed as SCAQMD's sole remedy and shall not relieve
CONTRACTOR of its obligation to perform under the terms of this Contract.
5. TERM - The term of this Contract is for seventy two (72) months from the date of execution by both parties,
unless terminated earlier as provided for in the TERMINATION clause of this Contract, or the term is
extended by amendment of this Contract in writing. No work shall commence prior to the Contract start date,
except at CONTRACTOR's cost and risk, and no charges are authorized until this Contract is fully executed,
subject to the provisions stated in the PRE-CONTRACT COSTS clause of this Contract.
6. SUCCESSORS-IN-INTEREST - This Contract, and the obligations arising under the Contract, shall be
binding on and inure to the benefit of CONTRACTOR and their executors, administrators, successors, and
assigns.
7. REPORTING - CONTRACTOR shall submit reports to SCAQMD as outlined in Attachment 1 - Statement of
Work. SCAQMD reserves the right to review, comment, and request changes to any report produced as a
result of this Contract.
8. TERMINATION
A. In the event any party fails to comply with any term or condition of this Contract, or fails to provide
services in the manner agreed upon by the parties, including, but not limited to, the requirements of
Attachment 1 — Statement of Work, this failure shall constitute a breach of this Contract. The non-
breaching party shall notify the breaching party that it must cure this breach or provide written notification
of its intention to terminate this contract. Notification shall be provided in the manner set forth in the
NOTICES clause of this Contract. The non-breaching party reserves all rights under law and equity to
enforce this Contract and recover damages.
B. SCAQMD reserves the right to terminate this Contract, in whole or in part, without cause, upon thirty (30)
days' written notice. Once such notice has been given, CONTRACTOR shall, except as and to the
extent or directed otherwise by SCAQMD, discontinue any Work being performed under this Contract
and cancel any of CONTRACTOR's orders for materials, facilities, and supplies in connection with such
Work, and shall use its best efforts to procure termination of existing subcontracts upon terms
satisfactory to SCAQMD. Thereafter, CONTRACTOR shall perform only such services as may be
necessary to preserve and protect any Work already in progress and to dispose of any property as
requested by SCAQMD.
C. CONTRACTOR shall be paid in accordance with this Contract for all Work performed before the
effective date of termination under section B of the TERMINATION clause of this Contract. Before
expiration of the thirty (30) days' written notice, CONTRACTOR shall promptly deliver to SCAQMD all
copies of documents and other information and data prepared or developed by CONTRACTOR under
this Contract with the exception of a record copy of such materials, which may be retained by
CONTRACTOR.
9. STOP WORK - SCAQMD may, at any time, by written notice to CONTRACTOR, require CONTRACTOR to
stop all or any part of the Statement of Work tasks in this Contract. A stop work order may be issued for
reasons including, but not limited to, the project exceeding the budget, out of scope work, delay in project
schedule, or misrepresentations. Upon receipt of the stop work order, CONTRACTOR shall immediately
take all necessary steps to comply with the order. CONTRACTOR shall resume the work only upon receipt
of written instructions from SCAQMD cancelling the stop work order. CONTRACTOR agrees and
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understands that CONTRACTOR will not be paid for performing work while the stop work order is in effect,
unless SCAQMD agrees to do so in its written cancellation of the stop work order.
10. INSURANCE - CONTRACTOR represents that it is permissibly self-insured and will maintain such self-
insurance in accordance with applicable provisions of California law throughout the term of this Contract.
CONTRACTOR shall provide evidence of sufficient coverage during the term of this Contract and any
extensions thereof that meet or exceed the minimum requirements set forth by the SCAQMD below. The
certificate of self-insurance shall be mailed to: SCAQMD, 21865 Copley Drive, Diamond Bar, CA 91765-
4178, Attention: Cynthia Ravenstein, MSRC Contracts Administrator. The SCAQMD Contract Number
must be included on the face of the certificate. If CONTRACTOR fails to maintain the required insurance
coverage, SCAQMD reserves the right to terminate the Contract or purchase such additional insurance and
bill CONTRACTOR or deduct the cost thereof from any payments owed to CONTRACTOR. Minimum
insurance coverages are as follows:
A. Worker's compensation insurance in accordance with either California or other state's
applicable statutory requirements.
B. General Liability insurance with a limit of at least$1,000,000 per occurrence, and
$2,000,000 in general aggregate.
C. Automobile Liability insurance with limits of at least$100,000 per person and $300,000 per
accident for bodily injuries and $50,000 in property damage, or$1,000,000 combined
single limit for bodily injury or property damage.
11. INDEMNIFICATION - CONTRACTOR agrees to hold harmless, defend and indemnify SCAQMD, its officers,
employees, agents, representatives, and successors-in-interest against any and all loss, damage, costs,
lawsuits, claims, demands, causes of action, judgments, attorney's fees, or any other expenses arising from
or related to any third party claim against SCAQMD, its officers, employees, agents, representatives, or
successors in interest that arise or result in whole or in part, from any actual or alleged act or omission of
CONTRACTOR, its employees, subcontractors, agents or representatives in the performance of this
Contract. This Indemnification Clause shall survive the expiration or termination (for any reason) of the
Contract and shall remain in full force and effect.
12. DISCLAIMER OF WARRANTY - The purchase or lease of funded vehicles/equipment is the
CONTRACTOR's decision. The SCAQMD does not make any express or implied warranty of
merchantability, fitness for a particular purpose or otherwise, quality or usefulness of the technology or
product. Without limiting the foregoing, the SCAQMD will not be financially responsible, or otherwise liable,
for the installation or performance of the vehicle/equipment.
13. PAYMENT
A. SCAQMD shall reimburse CONTRACTOR up to a total amount of Fifty Five Thousand Dollars ($55,000)
in accordance with Attachment 2 — Payment Schedule expressly incorporated herein by this reference
and made a part hereof of the Contract.
B. A withhold amount or percentage (if any) shall be identified in the Payment Schedule, and such amount
shall be withheld from each invoice. Upon satisfactory completion of project and final acceptance of
work and the final report, CONTRACTOR's invoice for the withheld amount shall be released. Proof of
project completion shall include a Final Report detailing the project goals and accomplishments, data
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collected during project performance, if any, documentation of significant results, and emissions
reduction input data needed for calculation of emissions reductions.
C. Any funds not expended upon early Contract termination or Contract completion shall revert to the AB
2766 Discretionary Fund. Payment of charges shall be made by SCAQMD to CONTRACTOR within
thirty (30) days after approval by SCAQMD of an itemized invoice prepared and furnished by
CONTRACTOR.
D. An invoice submitted to SCAQMD for payment must be prepared in duplicate, on company letterhead,
and list SCAQMD's contract number, period covered by invoice, and CONTRACTOR's social security
number or Employer Identification Number and submitted to:
South Coast Air Quality Management District
21865 Copley Drive
Diamond Bar, CA 91765-4178
Attn: Cynthia Ravenstein, MSRC Contracts Administrator
1. Charges for equipment, material, and supply costs, travel expenses, subcontractors, and other
charges, as applicable, must be itemized by CONTRACTOR. Reimbursement for equipment,
material, supplies, subcontractors, and other charges, as applicable, shall be made at actual cost.
Supporting documentation must be provided for all individual charges (with the exception of direct
labor charges provided by CONTRACTOR).
2. SCAQMD shall pay CONTRACTOR for travel-related expenses only if such travel is expressly set
forth in Attachment 2 — Payment Schedule of this Contract or pre-authorized by SCAQMD in
writing.
3. CONTRACTOR's failure to provide receipts shall be grounds for SCAQMD's non-reimbursement of
such charges. CONTRACTOR may reduce payments on invoices by those charges for which
receipts were not provided.
4. CONTRACTOR must submit final invoice no later than ninety (90) days after the termination date of
this Contract or invoice may not be paid.
14. COMPLIANCE WITH APPLICABLE LAWS - CONTRACTOR agrees to comply with all federal, state, and
local laws, ordinances, codes and regulations and orders of public authorities in the performance of this
Contract. CONTRACTOR must also ensure that the vehicles and/or equipment to be purchased, leased or
installed is in compliance with all applicable federal, state, and local air quality rules and regulations, and that
it will maintain compliance for the full Contract term. CONTRACTOR shall ensure that the provisions of this
clause are included in all subcontracts.
15. MOBILE SOURCE EMISSION REDUCTION CREDITS (MSERCs)
A. The MSRC has adopted a policy that no MSERCs resulting from AB 2766 Discretionary Funds may be
generated and/or sold.
B. CONTRACTOR has the opportunity to generate MSERCs as a by-product of the project if a portion of
the air quality benefits attributable to the project resulted from funding sources other than AB2766.
These MSERCs, which are issued by SCAQMD, are based upon the quantified vehicle miles traveled
(VMT) by project vehicles or other activity data as appropriate. Therefore, a portion of prospective
MSERCs, generated as a result of AB 2766 Funds, must be retired. The portion of prospective credits
funded by the AB 2766 program, and which are subject to retirement, shall be referred to as "AB 2766-
MSERCs."
C. The determination of AB 2766-MSERC's is to be prorated based upon the AB 2766 program's
contribution to the cost associated with the air quality benefits. In the case where AB 2766 Discretionary
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Contract No.ML16006
Funds are used to pay for the full differential cost of a new alternative fuel vehicle or for the retrofitting or
repowering of an existing vehicle, all MSERCs attributable to AB 2766 Discretionary Funds must be
retired. The determination of AB 2766-MSERCs for infrastructure and other ancillary items is to be
prorated based upon the AB 2766 program's contribution to the associated air quality benefits.
Determination of the project's overall cost will be on a case-by-case basis at the time an MSERC
application is submitted. SCAQMD staff, at the time an MSERC application is submitted, will calculate
total MSERCs and retire the AB 2766-MSERCs. CONTRACTOR would then receive the balance of the
MSERCs not associated with AB 2766 funding.
16. NOTICES -All notices that are required under this Contract shall be provided in the manner set forth herein,
unless specified otherwise. Notice to a party shall be delivered to the attention of the person listed below, or
to such other person or persons as may hereafter be designated by that party in writing. Notice shall be in
writing sent by email, U.S. Mail, express, certified, return receipt requested, or a nationally recognized
overnight courier service. In the case of email communications, valid notice shall be deemed to have been
delivered upon sending, provided the sender obtained an electronic confirmation of delivery. Email
communications shall be deemed to have been received on the date of such transmission, provided such
date was a business day (Tuesday-Friday) and delivered prior to 5:30pm Pacific Standard Time. Otherwise,
receipt of email communications shall be deemed to have occurred on the following business day. In the
case of U.S. Mail notice, notice shall be deemed to be received when delivered or five (5) business days
after deposit in the U. S. Mail. In the case of a nationally recognized overnight courier service, notice shall be
deemed received when delivered (written receipt of delivery).
SCAQMD:
South Coast Air Quality Management District
21865 Copley Drive
Diamond Bar, CA 91765-4178
Attn: Cynthia Ravenstein, MSRC Contracts Administrator, email: cravenstein(a�agmd.gov
CONTRACTOR:
City of Cathedral City
68-700 Avenida Lalo Guerrero
Cathedral City, CA 92234
Attn: Deanna Pressgrove, email: DPressgrove @,,cathedralcity.gov
17. INDEPENDENT CONTRACTOR - CONTRACTOR is an independent contractor. CONTRACTOR, its
officers, employees, agents, representatives, or subcontractors shall in no sense be considered employees
or agents of SCAQMD, nor shall CONTRACTOR, its officers, employees, agents, representatives, or
subcontractors be entitled to or eligible to participate in any benefits, privileges, or plans, given or extended
by SCAQMD to its employees. SCAQMD will not supervise, direct, or have control over, or be responsible
for, CONTRACTOR's or subcontractor's means, methods, techniques, work sequences or procedures, or for
the safety precautions and programs incident thereto, or for any failure by them to comply with any local,
state, or federal laws, or rules or regulations, including state minimum wage laws and OSHA requirements.
18. SUBCONTRACTOR APPROVAL- If CONTRACTOR intends to subcontract all or a portion of the work under
this Contract, then CONTRACTOR must first obtain written approval from SCAQMD's Executive Officer or
designee prior to subcontracting any work. Any material changes to the subcontract(s) that affect the scope
of work, deliverable schedule, and/or payment/cost schedule shall also require the prior written approval of
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Contract No.ML16006
the SCAQMD Executive Officer or designee. No subcontract charges will be reimbursed unless the required
approvals have been obtained from SCAQMD.
19. OWNERSHIP - Title and full ownership rights to any equipment purchased under this Contract shall at all
times remain with CONTRACTOR.
20. SECURITY INTEREST - CONTRACTOR hereby grants SCAQMD a security interest in any and all
equipment purchased, in whole or in part, with funding provided by SCAQMD pursuant to this Contract.
CONTRACTOR acknowledges and agrees that SCAQMD shall have all lien rights as a secured creditor on
any and all equipment purchased in whole or in part by the CONTRACTOR, under this Contract or any
amendments thereto. The SCAQMD shall have lien rights in effect until the CONTRACTOR satisfies all
terms under the Contract, including but not limited to, the use and reporting requirements. Accordingly,
CONTRACTOR further agrees that SCAQMD is authorized to file a UCC filing statement or similar
security instrument to secure its interests in the equipment that is the subject of the Contract. In the
event CONTRACTOR files for bankruptcy protection, CONTRACTOR shall notify SCAQMD within 10
business days of such filing.
21. NON-DISCRIMINATION - In the performance of this Contract, CONTRACTOR shall not discriminate in
recruiting, hiring, promotion, demotion, or termination practices on the basis of race, religious creed, color,
national origin, ancestry, sex, age, or physical handicap and shall comply with the provisions of the California
Fair Employment & Housing Act (Government Code Section 12900, et seq.), the Federal Civil Rights Act of
1964 (P.L. 88-352) and all amendments thereto, Executive Order No. 11246 (30 Federal Register 12319),
and all administrative rules and regulations issued pursuant to said Acts and Order. CONTRACTOR shall
likewise require each subcontractor to comply with this clause and shall include in each such subcontract
language similar to this clause.
22. CITIZENSHIP AND ALIEN STATUS
A. CONTRACTOR warrants that it fully complies with all laws regarding the employment of aliens and
others, and that its employees performing services hereunder meet the citizenship or alien status
requirements contained in federal and state statutes and regulations including, but not limited to, the
Immigration Reform and Control Act of 1986 (P.L. 99-603). CONTRACTOR shall obtain from all covered
employees performing services hereunder all verification and other documentation of employees'
eligibility status required by federal statutes and regulations as they currently exist and as they may be
hereafter amended. CONTRACTOR shall have a continuing obligation to verify and document the
continuing employment authorization and authorized alien status of employees performing services
under this Contract to insure continued compliance with all federal statutes and regulations.
Notwithstanding the above, CONTRACTOR, in the performance of this Contract, shall not discriminate
against any person in violation of 8 USC Section 1324b.
B. CONTRACTOR shall retain such documentation for all covered employees for the period described by
law. CONTRACTOR shall indemnify, defend, and hold harmless SCAQMD, its officers and employees
from employer sanctions and other liability which may be assessed against CONTRACTOR or
SCAQMD, or both in connection with any alleged violation of federal statutes or regulations pertaining to
the eligibility for employment of persons performing services under this Contract.
23. ASSIGNMENT AND TRANSFER OF EQUIPMENT
A. The rights and responsibilities granted hereby may not be assigned, sold, licensed, or otherwise
transferred by CONTRACTOR without the prior written consent of SCAQMD, and any attempt by
CONTRACTOR to do so shall be void upon inception.
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Contract No.ML16006
B. CONTRACTOR agrees to obtain SCAQMD's written consent to any assignment, sale, license or transfer
of Equipment, if any, prior to completing the transaction. CONTRACTOR shall inform the proposed
assignee, buyer, licensee or transferee (collectively referred to here as "Buyer") of the terms of this
Contract. CONTRACTOR is responsible for establishing contact between SCAQMD and the Buyer and
shall assist SCAQMD in facilitating the transfer of this Contract's terms and conditions to the Buyer.
CONTRACTOR will not be relieved of the legal obligation to fulfill the terms and conditions of this
Contract until and unless the Buyer has assumed responsibility of this Contract's terms and
conditions through an executed contract with SCAQMD.
24. NON-EFFECT OF WAIVER - The failure of CONTRACTOR or SCAQMD to insist upon the performance of
any or all of the terms, covenants, or conditions of this Contract, or failure to exercise any rights or remedies
hereunder, shall not be construed as a waiver or relinquishment of the future performance of any such terms,
covenants, or conditions, or of the future exercise of such rights or remedies, unless otherwise provided for
herein.
25. TAX IMPLICATIONS FROM RECEIPT OF MSRC FUNDS - CONTRACTOR is advised to consult a tax
attorney regarding potential tax implications from receipt of MSRC funds.
26. ATTORNEYS' FEES - In the event any action is filed in connection with the enforcement or interpretation of
this Contract, each party in said action shall pay its own attorneys' fees and costs.
27. FORCE MAJEURE - Neither SCAQMD nor CONTRACTOR shall be liable or deemed to be in default for any
delay or failure in performance under this Contract or interruption of services resulting, directly or indirectly,
from acts of God, civil or military authority, acts of public enemy, war, strikes, labor disputes, shortages of
suitable parts, materials, labor or transportation, or any similar cause beyond the reasonable control of
SCAQMD or CONTRACTOR.
28. SEVERABILITY - In the event that any one or more of the provisions contained in this Contract shall for any
reason be held to be unenforceable in any respect by a court of competent jurisdiction, such holding shall not
affect any other provisions of this Contract, and the Contract shall then be construed as if such
unenforceable provisions are not a part hereof.
29. HEADINGS - Headings on the clauses of this Contract are for convenience and reference only, and the
words contained therein shall in no way be held to explain, modify, amplify, or aid in the interpretation,
construction, or meaning of the provisions of this Contract.
30. DUPLICATE EXECUTION - This Contract is executed in duplicate. Each signed copy shall have the force
and effect of an original.
31. GOVERNING LAW-This Contract shall be construed and interpreted and the legal relations created thereby
shall be determined in accordance with the laws of the State of California. Venue for resolution of any
disputes under this Contract shall be Los Angeles County, California.
32. PRE-CONTRACT COSTS - Any costs incurred by CONTRACTOR prior to CONTRACTOR receipt of a fully
executed Contract shall be incurred solely at the risk of the CONTRACTOR. In the event that a formal
Contract is not executed, neither the MSRC nor the SCAQMD shall be liable for any amounts expended in
anticipation of a formal Contract. If a formal Contract does result, pre-contract cost expenditures authorized
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Contract No.ML16006
by the Contract will be reimbursed in accordance with the Payment Schedule and payment provision of the
Contract.
33. CHANGE TERMS - Changes to any part of this Contract must be requested in writing by CONTRACTOR
and approved by MSRC in accordance with MSRC policies and procedures. CONTRACTOR must make
requests a minimum of 90 days prior to desired effective date of change. All modifications to this Contract
shall be in writing and signed by the authorized representatives of the parties. Fueling station location
changes shall not be approved under any circumstances.
34. ENTIRE CONTRACT - This Contract represents the entire agreement between CONTRACTOR and
SCAQMD. There are no understandings, representations, or warranties of any kind except as expressly set
forth herein. No waiver, alteration, or modification of any of the provisions herein shall be binding on any
party unless in writing and signed by the authorized representative of the party against whom enforcement of
such waiver, alteration, or modification is sought.
35. AUTHORITY -The signator hereto represents and warrants that he or she is authorized and empowered and
has the legal capacity to execute this Contract and to legally bind CONTRACTOR both in an operational and
financial capacity and that the requirements and obligations under this Contract are legally enforceable and
binding on CONTRACTOR.
(THE REMAINDER OF THIS PAGE IS INTENTIONALLY LEFT BLANK)
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Contract No.ML16006
IN WITNESS WHEREOF, the parties to this Contract have caused this Contract to be duly executed on their
behalf by their authorized representatives.
SOUTH COAST AIR QUALITY MANAGEMENT DISTRICT CITY OF CATHEDRAL CITY
(0, I /' / G
Dr.William A. Burke, Chairman, Governing Board Name: kar os c `'n Al
Title: (3/7
//7/. Date: �" )4(c l 36)/
Date: �
ATTEST:
Saundra McDaniel, Clerk of the Board
By:
APPROVED AS TO FORM:
Kurt R.Wiese, General Counsel
By: \,(),,U.0\_
//MSRC Master Boilerplate
Revised December 16,2014
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Attachment 1
Statement of Work
City of Cathedral City
Contract Number ML16006
1. Project Elements
A. Purchase CNG-fueled Vehicle: The City of Cathedral City (hereinafter referred to as
"CONTRACTOR") is to purchase one heavy-duty compressed natural gas (CNG) on-road
vehicle with a 10-year life expectancy and equipped with a dedicated CNG engine. Each
heavy-duty vehicle must have a GVWR greater than 14,000 pounds. Each heavy-duty
engine must be certified by the California Air Resources Board at, or cleaner than, the
2010 heavy-duty engine emission standards of 0.2 g/bhp-hr for oxides of nitrogen (NOx)
and 0.01 g/bhp-hr for particulate matter (PM).
B. Implement Bicycle Education Program: CONTRACTOR is also to develop and implement
a bicycle outreach and education program, including but not necessarily limited to:
i. Plan and execute a minimum of four bicycle-related events at schools and/or Boys
and Girls Clubs;
ii. Purchase 40 bicycles, 100 bicycle helmets, and various bike safety promotional items
such as lights, safety stickers and glow lights. Distribute at the above events; and
iii. Develop, print and distribute bicycle education program related materials.
CONTRACTOR shall be reimbursed according to Attachment 2 - Payment Schedule.
2. Operation Requirements and Reimbursement for Noncompliance-Vehicles
Vehicles are required to operate for a minimum of five years, but it is expected that the vehicles
will continue to operate for their entire life expectancy. CONTRACTOR is obligated to comply
with the geographical restriction requirements as follows:
A. Each of the vehicles funded under this Contract must accrue at least 85% of its annual
mileage or engine hours of operation within the geographical boundaries of the South
Coast Air Quality Management District for a period of no less than five (5) years from
the date the vehicle enters service (new vehicles) or returns to service (repowered
vehicles). Should CONTRACTOR deviate from or fail to comply with this obligation,
CONTRACTOR shall reimburse SCAQMD for a prorated share of the funds provided for
the vehicle as indicated in the table below:
5 year Operations Obligation Percentage of MSRC Funds
Termination Occurs to be Reimbursed
Within Year 1 100%
Between Years 1-2 80%
Between Years 2-3 60%
Between Years 3-4 40%
Between Years 4-5 20%
After Year 5 0%
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Attachment 1
Statement of Work
City of Cathedral City
Contract Number ML16006
B. The appropriate reimbursable amount shall be paid to SCAQMD within sixty (60) days
from the date the vehicle ceases to operate in accordance with the geographical
restriction.
C. Should CONTRACTOR sell, lease,transfer, assign or otherwise divest itself of the vehicles
during the five year period referred to above, notice shall be provided to SCAQMD no
less than 30 days preceding the sale, lease, transfer, or assignment is effectuated. The
agreement effectuating the sale, lease, transfer or assignment shall state that the
SCAQMD is an intended third-party beneficiary of the agreement and shall include the
following requirement: the obligation to accrue mileage within the South Coast Air
Quality Management District shall be a continuing obligation of the subsequent
purchaser, lessee, transferee, successor in interest, heir or assign and shall remain in full
force and effect until the expiration of the five year operation period. This obligation
shall be passed down to any subsequent purchaser, lessee or transferee during this five
year term and SCAQMD shall be an intended third-party beneficiary of any subsequent
agreement. Upon receiving notice of any subsequent sale, lease, transfer, assignment or
other divestiture, SCAQMD may elect to either require the reimbursement specified
above, or require the subsequent purchaser, lessee, transferee or assignee to comply
with the continuing obligation to operate the vehicle for a period of no less than five (5)
years from the date the vehicle entered service (new vehicles) or re-service (re-powered
vehicles). Notice of SCAQMD's election of remedies shall be provided to CONTRACTOR
and any subsequent purchaser, lessee,transferee or assignee in a timely fashion.
3. Display of MSRC Logo
CONTRACTOR agrees to permanently display one MSRC decal in a prominent location on each
vehicle purchased pursuant to this Contract. Decals will be provided by SCAQMD upon
notification that each subject vehicle and/or station becomes operational. Decals are
approximately twelve (12) inches in height and eighteen (18) inches in width (Note: a smaller
decal may be provided if CONTRACTOR demonstrates that application of the standard decal is
not feasible). CONTRACTOR shall maintain decal for life of equipment subject to this Contract.
Should any decal become damaged, faded, or otherwise unreadable, CONTRACTOR shall
request replacement decal from SCAQMD and apply new decal in the same or other prominent
location. SCAQMD shall not be responsible for damage to paint or other surfaces arising from
application or removal of decals.
4. Promotion
CONTRACTOR shall prepare and submit a proposed Public Outreach Plan to promote the
MSRC's co-funding of the vehicle and bicycle education program. Acceptable outreach may
include, but is not limited to, notices in CONTRACTOR mailings to residents, newspaper notices,
flyers, and information items at CONTRACTOR Board meetings and community events. The
Public Outreach Plan shall automatically be deemed approved 30 days following receipt by
SCAQMD staff, unless SCAQMD staff notify CONTRACTOR in writing of a Public Outreach Plan
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Attachment 1
Statement of Work
City of Cathedral City
Contract Number ML16006
shall implement the approved Public Outreach Plan in accordance with the Project Schedule
below.
5. Reports
Quarterly Reports: Until vehicle is entered into service and bicycle education program is
complete, CONTRACTOR shall provide quarterly progress reports that summarize the project
results to date including, but not limited to: tasks completed, issues or problems encountered,
resolutions implemented, and progress to date. Progress reports that do not comply will be
returned to the CONTRACTOR as inadequate.
Final Report: A Final Report shall be submitted by the CONTRACTOR in the format
provided by SCAQMD staff. Report shall include, at a minimum: a) an executive summary; and
b) a detailed discussion of the results and conclusions of this project. CONTRACTOR will identify
any barriers encountered and solutions developed to overcome the barriers, and impact of
project on future alternative fuel and bicycle transportation projects.
6. Project Schedule
CONTRACTOR shall comply with the increments of progress identified in the following chart.
The completion month for each task is based on the date of Contract execution.
Task Completion
Order vehicle Month 5
Submit Public Outreach Plan Month 6
Complete educational events and activities Month 9
Enter vehicle into service Month 9
Implement Public Outreach Plan Month 11
Quarterly reports Months 4 and 7
Final Report Month 12
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Attachment 2
Payment Schedule
City of Cathedral City
Contract Number ML16006
Cost Breakdown
Maximum
AB2766 CONTRACTOR
Discretionary AB2766 Other Additional
Project Subvention Funds Project Co-
Funds Total Cost
Element payable Funds Applied to Funding(not
under this Applied Match matched)
Contract
Purchase $30,000 (not
CNG-
to exceed
fueled $30,000 per $30,000 $0 $240,000 $300,000
vehicle heavy-duty
vehicle)
Implement
Bicycle
Education $25,000 $0 $25,000 $0 $50,000
Program
Totals $55,000 $30,000 $25,000 $240,000 $350,000
Reporting is not eligible for reimbursement under this Contract.
No funds shall be paid to CONTRACTOR pursuant to this Contract for a project element, until the
project element as described in Attachment 1 is completed and proof of completion is provided
to SCAQMD. If the project element described in Attachment 1 is not completed and satisfactory
proof of completion is not provided to SCAQMD, no monies for that project element shall be due
and payable to CONTRACTOR. However, reimbursement may be made for vehicles even if bicycle
education program is not yet complete, or vice versa. Proof of completion shall include:
Vehicles
o Proof of vehicle delivery, vehicle acceptance, and placement of vehicle into service
o Documentation of the specific engine installed in the vehicle, including the year,
manufacturer, and model
Education Program
o Samples of printed materials;
o Representative photos of promotional items and events; and
o Invoice(s) from any subcontractor(s) executing events.
If, at the completion of the Project,the expenditures are less than the Total Cost amount above,
the actual amount of AB 2766 Discretionary Funds reimbursed to CONTRACTOR shall be adjusted
on a prorated basis, as follows:
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Attachment 2
Payment Schedule
City of Cathedral City
Contract Number ML16006
If, at the completion of the Project, the expenditures are less than the Total Cost amount
above, the actual amount of AB 2766 Discretionary Funds reimbursed to CONTRACTOR shall be
adjusted on a prorated basis, as follows:
• For vehicles, the amount reimbursed to CONTRACTOR shall not exceed the actual
amount of AB 2766 Subvention and other funds applied, up to a maximum of $10,000
per medium-duty vehicle and $30,000 per heavy-duty vehicle; and
• For Education Program, the amount reimbursed to CONTRACTOR shall not exceed the
actual amount of AB 2766 Subvention and other funds applied.
Additional AB 2766 Discretionary Match Funds will not be available to fund project cost
overruns. Any project cost overruns must be funded from other than AB 2766 Discretionary
Funds.
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