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Affordable Generator Services, Inc. - 2024-07-01 (2)
SERVICE AGREEMENT BETWEEN THE CITY OF HUNTINGTON BEACH AND AFFORDABLE GENERATOR SERVICES, INC. FOR GENERATOR MAINTENANCE , INSPECTION AND REPAIR SERVICES THIS AGREEMENT ("Agreement") is made and entered into by and between the City of Huntington Beach, a municipal corporation of the State of California, hereinafter called"City," and Affordable Generator Services, Inc., hereinafter referred to as "Contractor." Recitals A. The City desires to retain a Contractor having special skill and knowledge in the field of generator maintenance, inspection and repair. B. Contractor represents that Contractor is able and willing to provide such services to the City. C. In undertaking the performance of this Agreement, Contractor represents that it is knowledgeable in its field and that any services performed by Contractor under this Agreement will be performed in compliance with such standards as may reasonably be expected from a comparable company or firm in the field. Contractor has been selected to perform these services pursuant to Huntington Beach Municipal Code Chapter 3.02. NOW, THEREFORE, it is agreed by City and Contractor as follows: 1. Scope of Services Contractor shall provide all services as described in Exhibit"A," which is attached hereto and incorporated into this Agreement by this reference. These services shall sometimes hereinafter be referred to as the "Project." Contractor hereby designates Gilbert Garcia, who shall represent it and be its sole contact and agent in all consultations with City during the performance of this Agreement. 2. City Staff Assistance City shall assign a staff coordinator to work directly with Contractor in the performance of this Agreement. 24-14571/347707 1 3. Compensation a. City agrees to pay, and Contractor agrees to accept as total payment for its services, the rates and charges identified in Exhibit"B." The total sum to be expended under this Agreement, shall not exceed Five Hundred Thousand Dollars ($500,000.00) per any one year during the term of this Agreement. b. Payment by City shall be made within thirty (30) days following receipt of proper invoice evidencing work performed; subject to City accounting procedures. Payment need not be made for work which fails to meet the standards of performance set forth in the Recitals which may reasonably be expected by City. c. Contractor shall be paid pursuant to the terms of Exhibit"B." 4. Term Time is of the essence of this Agreement. The services of Contractor are to commence July 1, 2024, or as soon as practicable after the execution of this Agreement by City (the "Commencement Date") and terminate three (3) years from Commencement Date, unless terminated earlier in accordance with the provisions of this Agreement. Contract may be extended for 2 additional one-year periods if mutually agreed to in writing by both parties. The time for performance of the tasks identified in Exhibit"A" are generally to be shown in Exhibit"A." This schedule and Term may be amended to benefit the Project if mutually agreed to in writing by City and Contractor. In the event the Commencement Date precedes the Effective Date, Contractor shall be bound by all terms and conditions as provided herein. 5. Extra Work In the event City requires additional services not included in Exhibit"A" or changes in the scope of services described in Exhibit"A," Contractor will undertake such work only after receiving written authorization from City. Additional compensation for such extra work shall be allowed only if the prior written approval of City is obtained. 6. Disposition of Plans,Estimates and Other Documents Contractor agrees that title to all materials prepared hereunder, including, without limitation, all original drawings, designs, reports, both field and office notices, calculations, computer code, language, date or programs, maps, memoranda, letters and other documents, shall belong to City, and Contractor shall turn these materials over to City upon expiration or termination of this Agreement or upon Project completion, whichever shall occur first. These materials may be used by City as it sees fit. 24-14571/347707 2 7. Hold Harmless Contractor hereby agrees to protect, defend, indemnify and hold harmless City, its officers, elected or appointed officials, employees, agents, and volunteers from and against any and all claims, damages, losses, expenses,judgments, demands and defense costs, and consequential damage or liability of any kind or nature, however caused, including those resulting from death or injury to Contractor's employees and damage to Contractor's property, arising directly or indirectly out of the obligations or operations herein undertaken by Contractor, caused in whole or in part by any negligent act or omission of the Contractor, any subcontractors, anyone directly or indirectly employed by any of them or anyone for whose acts any of them may be liable, including but not limited to concurrent active or passive negligence, except where caused by the active negligence, sole negligence, or willful misconduct of the City. Contractor will conduct all defense at its sole cost and expense and City shall approve selection of Contractor's counsel. 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. 8. Workers Compensation Insurance Pursuant to California Labor Code Section 1861, Contractor acknowledges awareness of Section 3700 et seq. of this Code, which requires every employer to be insured against liability for workers' compensation; Contractor covenants that it will comply with such provisions prior to commencing performance of the work hereunder. Contractor shall obtain and furnish to City workers' compensation and employer's liability insurance in an amount of not less than the State statutory limits. Contractor shall require all subcontractors to provide such workers' compensation and employer's liability insurance for all of the subcontractors' employees. Contractor shall furnish to City a certificate of waiver of subrogation under the terms of the workers' compensation and employer's liability insurance and Contractor shall similarly require all subcontractors to waive subrogation. 9. General Liability Insurance In addition to the workers' compensation and employer's liability insurance and Contractor's covenant to defend,hold harmless and indemnify City, Contractor shall obtain and furnish to City, a policy of general public liability insurance, including motor vehicle coverage covering the Project/Service. This policy shall indemnify Contractor, its officers, employees and agents while acting within the scope of their duties, against any and all claims arising out of or in connection with the Project/Service, and shall provide coverage in not less than the following amount: combined single limit bodily injury and property damage, including products/completed operations liability and blanket contractual liability, of One Million Dollars ($1,000,000) per occurrence. If coverage is provided under a form which includes a designated general aggregate limit, 24-14571/3477Q7 3 the aggregate limit must be no less than One Million Dollars ($1,000,000) per occurrence. If coverage is provided under a form which includes a designated general aggregate limit,the aggregate limit must be no less than One Million Dollars ($1,000,000) for this Project/Service. This policy shall name City, its officers, elected or appointed officials, employees, agents, and volunteers as Additional Insureds, and shall specifically provide that any other insurance coverage which may be applicable to the Project/Service shall be deemed excess coverage and that Contractor's insurance shall be primary. Under no circumstances shall said above-mentioned insurance contain a self- insured retention, or a"deductible" or any other similar form of limitation on the required coverage. 10. Automobile Liability Insurance Contractor shall obtain and furnish to City an automotive liability insurance policy covering the work performed by it hereunder. This policy shall provide coverage for Contractor's automotive liability in an amount not less than One Million Dollars ($1,000,000.00)per occurrence and a separate "Additional Insured Endorsement" page listing both the policy number and naming the "City of Huntington Beach, its officers, elected or appointed officials, employees, agents and volunteers" as additional insured on the endorsement. The above-mentioned insurance shall not contain a self-insured retention, "deductible" or any similar form of limitation on the required coverage except with the express written consent of City. 11. Certificate of Insurance Prior to commencing performance of the work hereunder, Contractor shall furnish to City a certificate of insurance subject to approval of the City Attorney evidencing the foregoing insurance coverage as required by this Agreement; the certificate shall: a. provide the name and policy number of each carrier and policy; b. state that the policy is currently in force; and c. promise that such policy shall not be suspended, voided or canceled by either party, reduced in coverage or in limits except after thirty (30) days' prior written notice; however, ten (10) days' prior written notice in the event of cancellation for nonpayment of premium. Contractor shall maintain the foregoing insurance coverage in force until the work under this Agreement is fully completed and accepted by City. This requirement for carrying the foregoing insurance coverage shall not derogate from Contractor's defense,hold harmless and indemnification obligations as set forth in this Agreement. City or its representative shall at all times have the right to demand the original or a copy of the policy of insurance. Contractor shall pay, in a prompt and timely manner, the premiums on the insurance hereinabove required. 24-14571/347707 4 12. Independent Contractor Contractor is, and shall be, acting at all times in the performance of this Agreement as an independent contractor herein and not as an employee of City. Contractor shall secure at its own cost and expense, and be responsible for any and all payment of all taxes, social security, state disability insurance compensation, unemployment compensation and other payroll deductions for Contractor and its officers, agents and employees and all business licenses, if any, in connection with the Project and/or the services to be performed hereunder. 13. Conflict of Interest Contractor covenants that it presently has no interests and shall not have interests, direct or indirect, which would conflict in any manner with performance of services specified under this Agreement. 14. Termination This Agreement may be terminated by the City upon thirty (30) days written notice of termination. In such event, Contractor shall be entitled to receive and the City shall pay Contractor compensation for all services performed by Contractor prior to receipt of such notice of termination, subject to the following conditions: a. As a condition of such payment,the Director may require Contractor to deliver to the City all work product completed as of such date, and in such case such work product shall be the property of the City unless prohibited by law, and Contractor consents the City's use thereof for such purposes as the City deems appropriate. b. Payment need not be made for work which fails to meet the standard of performance specified in the Recitals of this Agreement. 15. Exclusivity and Amendment This Agreement represents the complete and exclusive statement between the City and Contractor, and supersedes any and all other agreements, oral or written, between the parties. In the event of a conflict between the terms of this Agreement and any attachments hereto, the terms of this Agreement shall prevail. This Agreement may not be modified except by written instrument signed by the City and by an authorized representative of Contractor. The parties agree that any terms or conditions of any purchase order or other instrument that are inconsistent with, or in addition to,the terms and conditions hereof, shall not bind or obligate Contractor or the City. Each party to this Agreement acknowledges that no representations, inducements, promises or agreements, orally or otherwise, have been made by any party, or anyone acting on behalf of any party, which are not embodied herein. 24-14571/347707 5 16. Assignment Inasmuch as to this Agreement is intended to secure the specialized services of Contractor, Contractor may not assign,transfer, delegate, or subcontract any interest herein without the prior written consent of the City and any such assignment, transfer, delegation or subcontract without the City's prior written consent shall be considered null and void. Nothing in this Agreement shall be construed to limit the City's ability to have any of the services which are the subject to this Agreement performed by City personnel or by other Contractors retained by City. 17. City Employees and Officials Contractor shall employ no City official nor any regular City employee in the work performed pursuant to this Agreement. No officer or employee of City shall have any financial interest in this Agreement in violation of the applicable provisions of the California Government Code. 18. Notices Any notices, certificates, or other communications hereunder shall be given either by personal delivery to Contractor's agent(as designated in Section 1 hereinabove) or to City as the situation shall warrant, or by enclosing the same in a sealed envelope, postage prepaid, and depositing the same in the United States Postal Service, to the addresses below. City and Contractor may designate different addresses to which subsequent notices, certificates or other communications will be sent by notifying the other party via personal delivery, a reputable overnight carrier or U.S. certified U.S. certified mail-return receipt requested: To City: Contractor: City of Huntington Beach Affordable Generator Services, Inc. Attn: Director of Public Works Attn: Gilbert Garcia 2000 Main Street 13525 Larwin Circle Huntington Beach, CA 92648 Santa Fe Springs, CA 90670 19. Consent When City's consent/approval is required under this Agreement, its consent/approval for one transaction or event shall not be deemed to be a consent/approval to any subsequent occurrence of the same or any other transactions or event. 20. Modification No waiver or modification of any language in this Agreement shall be valid unless in writing and duly executed by both parties. 24-14571/347707 6 21. Section Headings The titles, captions, section, paragraph and subject headings, and descriptive phrases at the beginning of the various sections in this Agreement are merely descriptive and are included solely for convenience of reference only and are not representative of matters included or excluded from such provisions, and do not interpret, define, limit or describe, or construe the intent of the parties or affect the construction or interpretation of any provision of this Agreement. 22. Interpretation of this Agreement The language of all parts of this Agreement shall in all cases be construed as a whole, according to its fair meaning, and not strictly for or against any of the parties. If any provision of this Agreement is held by an arbitrator or court of competent jurisdiction to be unenforceable, void, illegal or invalid, such holding shall not invalidate or affect the remaining covenants and provisions of this Agreement. No covenant or provision shall be deemed dependent upon any other unless so expressly provided here. As used in this Agreement,the masculine or neuter gender and singular or plural number shall be deemed to include the other whenever the context so indicates or requires. Nothing contained herein shall be construed so as to require the commission of any act contrary to law, and wherever there is any conflict between any provision contained herein and any present or future statute, law, ordinance or regulation contrary to which the parties have no right to contract, then the latter shall prevail, and the provision of this Agreement which is hereby affected shall be curtailed and limited only to the extent necessary to bring it within the requirements of the law. 23. Duplicate Original The original of this Agreement and one or more copies hereto have been prepared and signed in counterparts as duplicate originals, each of which so executed shall, irrespective of the date of its execution and delivery, be deemed an original. Each duplicate original shall be deemed an original instrument as against any party who has signed it. 24. Immigration Contractor shall be responsible for full compliance with the immigration and naturalization laws of the United States and shall, in particular, comply with the provisions of the United States Code regarding employment verification. 25. Legal Services Subcontracting Prohibited Contractor and City agree that City is not liable for payment of any subcontractor work involving legal services, and that such legal services are expressly outside the scope of services contemplated hereunder. Contractor understands that pursuant to Huntington Beach City Charter Section 309, the City Attorney is the exclusive legal counsel for City; 24-14571/347707 7 and City shall not be liable for payment of any legal services expenses incurred by Contractor. 26. Confidentiality Contractor recognizes that in the performance of its duties under this Agreement, it must conduct its activities in a manner designed to protect information of a sensitive nature from improper use or disclosure. Contractor warrants that it will use reasonable efforts consistent with practices customary in the facilities management industry in recruiting, training and supervising employees and in otherwise performing its duties hereunder in order to achieve this result. In the furtherance of this, Contractor agrees, at . the request of the City, to require its employees to execute written undertakings to comply with the foregoing confidentiality provision. 27. Discrimination Contractor shall not discriminate because of race, color, creed, religion, sex, marital status, sexual orientation, age, national origin, ancestry, or disability, as defined and prohibited by applicable law, in the recruitment, selection,training, utilization, promotion, termination or other employment related activities. Contractor affirms that it is an equal opportunity employer and shall comply with all applicable federal, state and local laws and regulations. 28. Jurisdiction—Venue This Agreement and all questions relating to its validity, interpretation, performance, and enforcement shall be government and construed in accordance with the laws of the State of California. This Agreement has been executed and delivered in the State of California and the validity, interpretation, performance, and enforcement of any of the clauses of this Agreement shall be determined and governed by the laws of the State of California. Both parties further agree that Orange County, California, shall be the venue for any action or proceeding that may be brought or arise out of, in connection with or by reason of this Agreement. 29. Professional Licenses Contractor shall,through the term of this Agreement, maintain all necessary licenses, permits, approvals, waivers, and exemptions necessary for the provision of the services hereunder and required by the laws and regulations of the United States, the State of California, the City of Huntington Beach and all other governmental agencies. Contractor shall notify the City immediately and in writing of her inability to obtain or maintain such permits, licenses, approvals, waivers, and exemptions. Said inability shall be cause for termination of this Agreement. 24-14571/347707 8 30. Attorney's Fees In the event suit is brought by either party to construe, interpret and/or enforce the terms and/or provisions of this Agreement or to secure the performance hereof, each party shall bear its own attorney's fees, such that the prevailing party shall not be entitled to recover its attorney's fees from the non-prevailing party. 31. Survival Terms and conditions of this Agreement, which by their sense and context survive the expiration or termination of this Agreement, shall so survive. 32. Governing Law This Agreement shall be governed and construed in accordance with the laws of the State of California. 33. Signatories Each undersigned represents and warrants that its signature hereinbelow has the power, authority and right to bind their respective parties to each of the terms of this Agreement, and shall indemnify City fully for any injuries or damages to City in the event that such authority or power is not, in fact, held by the signatory or is withdrawn. 34. Entirety (a) The parties acknowledge and agree that they are entering into this Agreement freely and voluntarily following extensive arm's length negotiation, and that each has had the opportunity to consult with legal counsel prior to executing this Agreement. The parties also acknowledge and agree that no representations, inducements, promises, agreements or warranties, oral or otherwise, have been made by that party or anyone acting on that party's behalf, which are not embodied in this Agreement, and that that party has not executed this Agreement in reliance on any representation, inducement, promise, agreement warranty, fact or circumstance not expressly set forth in this Agreement. (b) All Exhibits referenced herein and attached hereto shall be incorporated as if fully set forth in the body of this Agreement. 24-14571/347707 9 35. Effective Date IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed by and through their authorized officers. This Agreement shall be effective on the date of its approval by the Mayor. This Agreement shall expire when terminated as provided herein. CONTRACTOR CITY OF HUNTINGTON BEACH, a AFFORDABLE GENERATOR SERVICES, INC. municipal corporation of the State of Califor • se" d By: si...1, Aye , ayor Li"...)(91277 (Z. Print name ITS: (circle one) Chairman/President/ Vice President SM., 9,4 C ty Clerk frit AND By: INITIATED AND APPROVED: Print name ITS: (circle one) Secretary/Chief Financial Officer/Asst. Secretary-Treasurer Director of Public Works APPROVED FORM: CC City Attorney REVIE D AND VED: City Manager 24-14571/347707 10 EXHIBIT "A" A. STATEMENT OF WORK: (Narrative of work to be performed) Provide generator maintenance, inspection and repair services. B. CONSULTANT'S DUTIES AND RESPONSIBILITIES: SEE ATTACHED EXHIBIT A C. CITY'S DUTIES AND RESPONSIBILITIES: D. WORK PROGRAM/PROJECT SCHEDULE: 24-14571/347707 11 EXHIBIT A. PUBLIC WORKS OPERATIONS DIVISION SCOPE OF WORK SPECIFICATIONS LOCATIONS PW Generator Services RFQ 1May2024 OPERATIONS DIVISION SCOPE OF WORK • Operations Annual Generator Preventative Maintenance Requirements: • One(1) -Level 1 Minor preventive maintenance inspection for each site listed below. • One(1) -Level 2 Major preventive maintenance inspection for each site listed below. • One(1) -ATS Inspection with Service (as needed) at each site listed below. • One(1) -Two (2)Hour Load Bank Test following the Level 2 service at each site listed. Level 1 (Minor) Service Scope of Work: A. Automatic Transfer Switch (with proper authorization) • Initiate automatic transfer switch. • Observe operation of the automatic transfer switch. • Record duration of timers. • Observe operation of generator set and automatic transfer switch in the automatic mode. • ATS service as needed. B. Engine and Oil • Check oil levels and fill if needed. • Check oil heater, all belts, ignition wires and distributor. • Check engine and alternator for vibration. • Check oil and engine seals for leakage. • Check governor for proper operation, oil levels and linkage lubrication. • Observe transfer from NG to propane at applicable sites. C. Cooling System • Check coolant level and coolant filter. Check system for signs of leakage. • Check all hoses and radiator for cracks, leaks and proper water/air flow. • Check and lubricate cooling system fan. • Check solenoid valves for proper operation. D. Intake System • Check all hoses, clamps and Turbo Charger for leaks. • Check condition of air filter. E. Exhaust System • Check exhaust pipes for leaks, cracks and corrosion. PW Generator Services RFQ 1May2024 • Drain condensation from exhaust silencer. Check proper operation of rain cap. • Check all exhaust pipes/manifold for leaks,oil blowby and corrosion. F. Electrical System • Check control panel relays, solid state circuits and exciter for proper operation/corrosion. • Check all electrical connections for corrosion, cracked insulation and tighten if necessary. • Check battery charger for proper operation. • Battery- inspect and maintain electrolyte levels. Clean and check connections for tightness. • Inspect for correct voltage, adjust if needed and record readings. • Inspect for correct RPM/HZ, adjust if needed and record readings. Level 2 (Major) Service Scope of Work(all services included in Level 1 Service and including the following): A. Engine and Oil • Change engine, crankcase oil, filters and take oil sample for analysis. • Check governor for proper operation, oil levels and linkage lubrication. B. Fuel Systems • Replace fuel filter. • Check fuel pump lines, injector supply and return for leaks. C. Battery and Starting System • Clean and treat battery terminals, check battery fluid levels. • Check and record alternator and battery voltages. D. Electrical and Operations • Check control panel relays for proper operation. • Check control panel illumination for the system alarms. • Check and record voltage without load, adjust if necessary. • Simulate power loss with City staff approval. • Check/record-voltage, amperage under load and adjust if necessary. E. Final Checks • Verify main breaker is closed. • Verify automatic remote switch is in correct position. • Clean,wipe down generator. • Provide maintenance summary and work performed to key Facilities maintenance staff. • Provide follow up report for areas of concern and recommended repairs. PW Generator Services RFQ 1May2024 Load Bank Testing Scope of Work: • Two (2)hour Load Bank testing for all sites following Level 2 service. • Load Bank test data provided to key Facilities maintenance staff. Operations Division Generator Locations: 1. Gothard Fire Station#1 - 18311 Gothard Street 2. Murdy Fire Station#2 - 16221 Gothard Street 3. Bushard Fire Station#3 - 19711 Bushard Street 4. Magnolia Fire Station#4- 21441 Magnolia Street 5. Lake Fire Station#5 - 530 Lake Street 6. Edwards Fire Station#6 - 18591 Edwards Street 7. Warner Fire Station#7 - 3 831 Warner Ave. 8. Heil Fire Station#8 - 5891 Heil Ave. 9. Lifeguard Headquarters - 130 Pacific Coast Highway 10. Joint Powers Training Center- 18301 Gothard Street 11. Civic Center and Police Dept-2000 Main Street 12. Central Library - 7111 Talbert Ave. • PW Generator Services RFQ 1May2024 City of Huntington Beach Facility Backup Power Generators Manufactured Location Description Date Model Serial# KW Voltage Primary Fuel Backup Fuel Civic Center Diesel NA 2000 Main Street Detroit Generator 1970 E665M2 19-C-72 200 KW 480 Volt 4000 gal tank Police Department Diesel NA 2000 Main Street Detroit Generator 1970 E665m2 21-D-72 200 KW 480 Volt 4000 gal tank Central Library* -Gas NA 7111 Talbert Ave. 0nan Cu....mins 1991 15.OJCIXR 233551256 15 KW 480Volt Gothard Fire Station#1 Propane Natural Gas 18311 Gothard Street Onan Cummins 2001 GGHH-4959002 F010234278 100 KW 120/208 Volt 500 gal tank Murdy Fire Station#2 Propane Natural Gas 16221 Gothard Street Onan Cummins 2002 GGHG-5550897 B020333871 85 KW 120/208 Volt 500 gal tank Bushard Fire Station#3 Propane Natural Gas 19711 Bushard Street Onan Cummins 2002 GGFE-5587549 L020447891 42 KW 120/240 Volt 120 gal tank Magnolia Fire Station#4 Propane Natural Gas 21441 Magnolia Street Onan Cummins 2002 GGFD-5587529 L020448056 35 KW 120/208 Volt 120 gal tank Lake Fire Statio#5 Propane Natural Gas 530 Lake Street Onan Cummins 2002 GGHG-5550898 B020333870 85 KW 277/480 Volt 500 gal tank Edwards Fire Station#6 Propane Natural Gas 18591 Edwards Street Onan Cummins 2006 _ GGHH-5760936 D060936 100 KW 120/208 Volt 500 gal tank Warner Fire Station#7 Diesel N/A 3831 Warner Ave. Onan Cummins 2008 DSFAD-7508009 K080223830 60 KW 120/208 Volt 2000 gal tank Heil Fire Station#8 Propane Natural Gas 5891 Heil Ave. Onan Cummins 2006 GGFE-5760940 D060911364 100 KW 120/240 Volt 120 gal tank Lifeguard Headquarters Diesel NA 103 Pacific Coast Hwy Kohler 2004 50REOZJB 2004399 50 KW 120/208 Volt 120 gal tank Joint Powers Training Ctr Diesel NA 18301 Gothard Street Onan Cummins 1999 100DGDB B940533309 100 KW 120/208 Volt 2000 gal tank *Currently replacing this generator,specs TBD PUBLIC WORKS UTILITIES DIVISION SCOPE OF WORK GENERATOR SPECIFICATIONS / INFORMATION LOCATIONS PW Generator Services RFQ 1May2024 UTILITIES DIVISION SCOPE OF WORK Utilities Annual Generator Preventative Maintenance Requirements: • One (1) -Level 1 Minor preventive maintenance inspection for each site listed below. • One(1) -Level 2 Major preventive maintenance inspection for each site listed below. • One(1) - ATS Inspection with Service(as needed) at each site listed below. • One(1) - Two(2)Hour Load Bank Test following the Level 2 service at each site listed. Level 1 (Minor) Service Scope of Work: A. Automatic Transfer Switch (with proper authorization) • Initiate automatic transfer switch. • Observe operation of the automatic transfer switch. • Record duration of timers. • Observe operation of generator set and automatic transfer switch in the automatic mode. • ATS service as needed. B. Engine and Oil • Check oil levels and fill if needed. • Check oil heater, all belts, ignition wires and distributor. • Check engine and alternator for vibration. • Check oil and engine seals for leakage. • Check governor for proper operation, oil levels and linkage lubrication. • Observe transfer from NG to propane at applicable sites. C. Cooling System • Check coolant level and coolant filter. Check system for signs of leakage. • Check all hoses and radiator for cracks, leaks and proper water/air flow. • Check and lubricate cooling system fan. • Check solenoid valves for proper operation. D. Intake System • Check all hoses, clamps and Turbo Charger for leaks.. • Check condition of air filter. E. Exhaust System • Check exhaust pipes for leaks, cracks and corrosion. • Drain condensation from exhaust silencer. Check proper operation of rain cap. PW Generator Services RFQ 1May2024 • Check all exhaust pipes/manifold for leaks, oil blowby and corrosion. F. Electrical System • Check control panel relays, solid state circuits and exciter for proper operation/corrosion. • Check all electrical connections for corrosion, cracked insulation and tighten if necessary. • Check battery charger for proper operation. • Battery- inspect and maintain electrolyte levels. Clean and check connections for tightness. • Inspect for correct voltage, adjust if needed and record readings. • Inspect for correct RPM/HZ, adjust if needed and record readings. Level 2 (Major) Service Scope of Work (all services included in Level 1 Service and including the following): A. Engine and Oil • Change engine, crankcase oil, filters and take oil sample for analysis. • Check governor for proper operation,oil levels and linkage lubrication. B. Fuel Systems • Replace fuel filter. • Check fuel pump lines, injector supply and return for leaks. C. Battery and Starting System • Clean and treat battery terminals, check battery fluid levels. • Check and record alternator and battery voltages. D. Electrical and Operations • Check control panel relays for proper operation. • Check control panel illumination for the system alarms. • Check and record voltage without load, adjust if necessary. • Simulate power loss with City staff approval. • Check/record-voltage, amperage under load and adjust if necessary. E. Final Checks • Verify main breaker is closed. • Verify automatic remote switch is in correct position. • Clean,wipe down generator. • Provide maintenance summary and work performed to key Utilities staff. • Provide follow up report for areas of concern and recommended repairs. PW Generator Services RFQ 1May2024 Load Bank Testing Scope of Work: • Two (2) hour Load Bank testing for all sites following Level 2 service. • Load Bank test data provided to key Utilities staff. PW Generator Services RFQ 1May2024 UTILITIES DIVISION GENERATOR SPECIFICATIONS/INFORMATION Technology Program: three (3) generators and three (3) automatic transfer switches* located at the Utilities Yard (19001 Huntington Street, HB 92648): • Utility Yard o Generator: ■ 120-208 Volt, 3ph,4 wire o ATS: • Make: GE Zenith • Model: ZBTS00B10200E • Serial: 150271526-10-1 • Voltage: 208 ■ Amps: 2000 • Phase: 3 • Wire: 3 • Water Production Shop o Generator: • 277-480 Volt, 3ph,4.wire o ATS: ■ Make: GE Zenith ■ Model: ZBTS00B00026F • Serial: 1684438-1 • Voltage: 277/480 • Amps: 260 ■ Phase: 3 • Wire: 4 • SCADA Data Center o Generator: • 120-208 Volt, 3ph, 4 wire o ATS: • Make: GE Zenith • Model: ZBTS00B00010F • Serial: 1663031-1 ■ Voltage: 120/208 • Amps: 100 • Phase: 3 • Wire: 4 *Note: See attached service reports for the three (3) automatic transfer switches. PW Generator Services RFQ 1May2024 UTILITIES DIVISION GENERATOR LOCATIONS (WASTEWATER) Wastewater Program: on-site generator locations and model**'. 4420 Los Patos Ave. Facility ID: 147422 (Cummins NPower Model CFPC) 16249 Trinidad Ln. Facility ID: 181124 (Multiquip Model DCA70SSJU4i) 16903 Edgewater Ln. Facility ID: 189214 3815 Warner Ave. Facility ID: 178658 • 17413 Oakbluff Ln_ Facility ID: 177177 (Generac Model 7086210300) 17482 Springdale Ln. Facility ID:194237 16451 Saybrook Ln. Facility ID: 194466 **Note: See attached generator model specifications. PW Generator Services RFQ 1May2024 EXHIBIT "B" Payment Schedule (Hourly Payment) A. Hourly Rate CONSULTANT'S fees for such services shall be based upon the following hourly rate and cost schedule: SEE ATTACHED EXHIBIT B B. Travel Charges for time during travel are not reimbursable. C. Billing 1. All billing shall be done monthly in fifteen (15) minute increments and matched to an appropriate breakdown of the time that was taken to perform that work and who performed it. 2. Each month's bill should include a total to date. That total should provide,at a glance, the total fees and costs incurred to date for the project. 3. A copy of memoranda, letters, reports, calculations and other documentation prepared by CONSULTANT may be required to be submitted to CITY to demonstrate progress toward completion of tasks. In the event CITY rejects or has comments on any such product, CITY shall identify specific requirements for satisfactory completion. 4. CONSULTANT shall submit to CITY an invoice for each monthly payment due. Such invoice shall: A) Reference this Agreement; B) Describe the services performed; C) Show the total amount of the payment due; D) Include a certification by a principal member of CONSULTANT's firm that the work has been performed in accordance with the provisions of this Agreement; and E) For all payments include an estimate of the percentage of work completed. Upon submission of any such invoice, if CITY is satisfied that CONSULTANT is making satisfactory progress toward completion of tasks in accordance with this Agreement, CITY shall approve the invoice, in which event payment shall be made within thirty(30) days of receipt of the invoice by CITY. Such approval shall not be unreasonably withheld. If CITY does not approve an invoice, CITY shall notify CONSULTANT in writing of the reasons for non-approval and the schedule of performance set forth in Exhibit "A" may at the option of CITY be suspended until the parties agree that past performance by CONSULTANT is in, or has been brought into compliance, or until this Agreement has expired or is terminated as provided herein. 5. Any billings for extra work or additional services authorized in advance and in writing by CITY shall be invoiced separately to CITY. Such invoice shall contain all of the information required above, and in addition shall list the hours expended and hourly rate charged for such time. Such invoices shall be approved by CITY if the work performed is in accordance with the extra work or additional services requested, and if CITY is satisfied that the statement of hours worked and costs incurred is accurate. Such approval shall not be unreasonably withheld. Any dispute between the parties concerning payment of such an invoice shall be treated as separate and apart from the ongoing performance of the remainder of this Agreement. Public Works Generator Services Revised Bid Sheet REVISED Public Works Generator Maintenance and Inspection Services BID SHEET Contractor Name: Affordable Generator Services, Inc Date: 5/29/2024 Instructions for completing Bid Sheet: 1. Fill in the company name and date above. 2. Fill-in the cost/bid information below. 3. Include this Bid Sheet with your RFQ submittal. KW Range 25-50 KW KW Range 51-99 KW KW Range 100-200 KW Cost/Bid Cost/Bid Cost/Bid Level 1 Inspection (based on generators ranging from min. 25 KW to max. 200 KW)* $200.00 $ 200.00 $ 200.00 Cost/Bid Cost/Bid Cost/Bid Level 2 Inspection (based on generators ranging from min. 25 KW to max. 200 KW)* $366.68 $ 412.71 $ 573.40 Cost/Bid Cost/Bid Cost/Bid Load Bank Testing(2 hours and providing staff test results)* $400.00 $ 400.00 $ 400.00 Cost/Bid ATS Inspection Service (based on ATS PM Work Order Scope in Exhibit B) $ 250.00 Cost per hour Hourly labor rate (during regular business hours) $ 100.00 Cost per hour Hourly labor rate(after hours/weekends) $ 150.00 Cost plus Materials mark-up (for items outside of regular maintenance, e.g. repairs, installations, etc.) 15% * Bid/cost to provide the service for one(1) unit in each KW range for city comparison purposes. �....4„1 AFFOGEN-01 CP CKHAM A. �� CERTIFICATE OF LIABILITY INSURANCE DA7ii512o2a Y) THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE HOLDER.THIS CERTIFICATE DOES NOT AFFIRMATIVELY OR NEGATIVELY AMEND, EXTEND OR ALTER THE COVERAGE AFFORDED BY THE POLICIES BELOW. THIS CERTIFICATE OF INSURANCE DOES NOT CONSTITUTE A CONTRACT BETWEEN THE ISSUING INSURER(S),AUTHORIZED REPRESENTATIVE OR PRODUCER,AND THE CERTIFICATE HOLDER. IMPORTANT: If the certificate holder Is an ADDITIONAL INSURED,the policy(ies)must have ADDITIONAL INSURED provisions or be endorsed. If SUBROGATION IS.WAIVED, subject to the terms and conditions of the policy,certain policies may require an endorsement. A statement on this certificate does not confer rights to the certificate holder In lieu of such endorsement($). PRODUCER License#0L78680 CONTACT Rock 10 Insurance Servicos PHONE FAX P O Box 15608 (Arc.No,Ext):(866)376-25:10 I:ove.Ne):(866)376-2511 San Diego,CA 92175 Mass;serylce@rocklOinsurande.com INSURER(S)AFFORDING COVERAGE NAIC 4 INSURER A:Gemini Insurance Company 1.0833 INSURED INSURER B:California Automobile Insurance 38342 Affordable Generator ServIces Inc INSURER C:Clear Spring Property and Casualty Company 15563 13525 Larwln Cir INSURER D: Santa Fe Springs,CA 90670 INSURER E: _ INSURER.F: COVERAGES CERTIFICATE NUMBER: REVISION NUMBER: THIS IS TO CERTIFY THAT THE POLICIES OF INSURANCE LISTED BELOW HAVE BEEN ISSUED TO THE INSURED NAMED ABOVE FOR THE POLICY PERIOD INDICATED. NOTWITHSTANDING ANY REQUIREMENT, TERM OR CONDITION OF ANY CONTRACT OR OTHER:DOCUMENT WITH RESPECT TO WHICH THIS CERTIFICATE MAY BE ISSUED OR MAY PERTAIN, THE INSURANCE AFFORDED BY THE POLICIES DESCRIBED HEREIN IS SUBJECT TO ALL THE TERMS, EXCLUSIONS AND CONDITIONS OF SUCH POLICIES.LIMITS SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS. INSR TYPE OF INSURANCE ADDL SUBR POLICY NUMBER POLICY EFF POLICY EXP LIMITS LTR INSO WVD (Mfd/DOfyYYY)_(MM/DD/YYYYI A X COMMERCIAL GENERAL LIABILITY EACH OCCURRENCE $ 1,000,000 CLAIMS-MADE XI OCCUR VCGP031253 212212024 2/22/2025 OAAInGErORENTEO 100,000 X X PREMISES(Ea occurrenw) $ MED EXP(Any one person) $ 5,000 PERSONAL&ADV INJURY $ 1,000,000 GEN'L AGGREGATE LIMIT APPLIES PER: GENERAL AGGREGATE $_._ 2,000,000 POLICY X JLOCT LOC PRODUCTS-COMP/OP AGG $ 2,000,006 OTHER: S B COMBINED SINGLE LIMIT 1,000,000 AUTOMOBILE LIABILITY (Ea accident) $ X ANY AUTO X BA0400000131.64 2/28/2024 2/28/2025 BODILY INJURY(Per person) ,$' OWNED -SCHEDULED _AUTOS ONLY AUTOSU BODILY INJURY] pp (Per accident) S .� AUTOS ONLY _ AUTOS ONLY (PPerr acdaenl)AMAGE S S A _ UMBRELLA LIAB X OCCUR EACH OCCURRENCE $ 2,000,000 X EXCESS LIAR CLAIMS-MADE VCFX003036 2/22/2024 2/22/2025 AGGREGATE S 2,000,000 DED RETENTIONS $ C WORKERS COMPENSATION X_ PERTUTE ER OTH- ANDEMPLovERsuABaITV CWCO2358901 8/1/2024 8/1/2025 1,000,000 ANY PROPRIETOR/PARTNER/EXECUTIVE Y/N E.L.EACH ACCIDENT $ Q.land RJMPnINEfi)R EXCLUDED? Y N/A 1,000,000 E.L.DISEASE-EA EMPLOYEE S If yes,describe under 1,000,000 DESCRIPTION OF OPERATIONS below E.L.DISEASE-POLICY LIMIT S DESCRIPTION OF OPERATIONS 1 LOCATIONS/VEHICLES(ACORD 101,Additional Remarks Schedule,may be attached If more space Is required) Re:Various locations throughout the State of California. Additional Insured status applies to The City of Huntington Beach,Its officers,elected or appointed officials,employees,agents and volunteers under the Commercial General Liability Policy subject to attached endorsetnents. Commercial Auto Additional Insured applies to The City of Huntington Beach,its officers,elected or appointed A(igigi,omtpyfos'('@I$lm of I hers per attached endorsement. Owner(s)excluded from Workers'Compensation coverage. By: ------- - MICHAEL E. GATES CERTIFICATE HOLDER CANCELLATION CITY ATTORNEY CITY OF HUNTINGTON BEACH SHOULD ANY OF THE.ABO DESCRIBED POLICIES BE CANCELLED BEFORE THE EXPIRATION DATE THEREOF,. NOTICE WILL BE DELIVERED IN City of Huntington Beach ACCORDANCE WITH THE POLICY PROVISIONS. 2000 Main St. Huntington Beach,CA 92648 AUTHORIZE?REPRESENTATIVE ACORD 25(2016/03) ©1988-2015 ACORD CORPORATION. All rights reserved. The ACORD name and logo are registered marks of ACORD Policy Number: VCGP031253 CG 20 10 12 19 Insured Name: Affordable Generator Services, Inc. Number: 38 Effective Date:0212212024 THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY. ADDITIONAL INSURED - OWNERS, LESSEES OR CONTRACTORS - SCHEDULED PERSON OR ORGANIZATION This endorsement modifies insurance provided under the following: Commercial General Liability Coverage Part Schedule Name Of Additional Insured Person(s) Or Organizations) Location(s) Of Covered Operations The City of Huntington Beach,it's officers,elected or Various locations throughout Orange County,CA. appointed officials,employees,agents and volunteers. Information required to complete this Schedule, if notshown above,will be shown in the Declarations. A. Section II—Who Is An Insured is amended to B. With respect to the insurance afforded to these include as an additional insured the person(s) additional insureds, the following additional or organization(s) shown in the Schedule, but exclusions apply: l : only with respect to liability for "bodily injury", "property damage"or"personal and advertising This insurance does not apply to "bodily injury" injury"caused, in whole or in part, by: or"property damage"occurring after: 1. Your acts or omissions;or 1. All work, including materials, parts or equipment furnished in connection with such 2. The acts or omissions of those acting on work, on the project (other than service, your behalf; maintenance or repairs)to be performed by in the performance of your ongoing operations or on behalf of the additional insured(s) at for the additional insured(s) at the location(s) the location of the covered operations has designated above. been completed; or However: 2. That portion of"your work" out of which the 1. The insurance afforded to such additional injury or damage arises has been put to its insured only applies to the extent permitted intended use by any person or organization other than another contractor or by law;and subcontractor engaged in performing 2. If coverage provided to the additional operations for a principal as a part of the insured is required by a contract or same project. agreement, the insurance afforded to such additional insured will not be broader than that which you are required by the contract or agreement to provide for such additional insured. CG 20 10 12 19 ©Insurance Services Office, Inc., 2018 Page 1 of 2 C. With respect to the insurance afforded to these additional insureds, the following is added to Section ill—Limits Of Insurance: If coverage provided to the additional insured is required by a contract or agreement, the most we will pay on behalf of the additional insured is the amount of Insurance: 1. Required by the contract or agreement;or 2. Available under the applicable limits of insurance; whichever is less. This endorsement shall not increase the applicable limits of insurance. All other terms and conditions of this Policy remain unchanged. CG 20 10 12 19 ©Insurance Services Office, Inc., 2018 Page 2 of 2 Policy Number: VCGP031253 CG 20 37 12 19 Insured Name: Affordable Generator Services,Inc. Number: 43 Effective Date: 02/22/2024 THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY. ADDITIONAL INSURED - OWNERS, LESSEES OR CONTRACTORS - COMPLETED OPERATIONS This endorsement modifies insurance provided underthe following: Commercial General Liability Coverage Part Schedule Name Of Additional Insured Person(s) Location And Description Of Or Organization(s) Completed Operations The City of Huntington Beach,it's officers,elected or Various locations throughout Orange County, appointed officials,employees,agents and volunteers. CA. Information required to complete this Schedule,if not shown above,will be shown in the Declarations. A. Section II—Who Is An Insured is amended to B. With respect to the insurance afforded to these include as an additional insured the person(s)or additional insureds, the following is added to organization(s)shown in the Schedule, but only Section III—Limits Of Insurance: with respect to liability for "bodily injury" or If coverage provided to the additional insured is property damage" caused, in whole or in part, required by a contract or agreement, the most by "your work" at the location designated and we will pay on behalf of the additional insured is described in the Schedule of this endorsement the amount of insurance: performed for that additional insured and 1. Required bythe contract or agreement;or included in the "products-completed operations q g hazard". 2. Available under the applicable limits of However: insurance; 1. The insurance afforded to such additional whichever is less. insured only applies to the extent permitted This endorsement shall not increase the by law;and applicable limits of insurance. 2. If coverage provided to the additional insured is required by a contract or agreement, the insurance afforded to such additional insured will not be broader than that which you are required by the contract or agreement to provide for such additional insured. All other terms and conditions of this Policy remain unchanged. CG 20 37 12 19 ©Insurance Services Office, Inc., 2018 Page 1 of 1 Policy Number:VCGP031253 VE 09 73 04 20 Insured Name:Affordable Generator Services, Inc. Number: 51 Effective Date: 02/22/2024 THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY. PRIMARY AND NONCONTRIBUTORY - OTHER INSURANCE CONDITION This endorsement modifies insurance provided under the following: Commercial General Liability Coverage Part The following is added to the Other Insurance Condition and supersedes any provision to the contrary: Primary And Noncontributory Insurance This insurance is primary to and will not seek contribution from any other Commercial General Liability insurance available to an additional insured under your policy, but only if: (1) The additional insured is a Named Insured under such other Commercial General Liability insurance; and (2) You have agreed in writing in a contract or agreement that this insurance would be primary and would not seek contribution from any other Commercial General Liability insurance available to the additional Insured. Coverage granted to an additional insured remains subject to all terms, conditions, limitations, and exclusions set forth In the endorsement form that conferred the additional insured status. In the event of conflict between this endorsement and an endorsement conferring additional insured status, then the endorsement conferring additional insured status shall govern the scope of coverage available to the additional insured. All other terms and conditions of this Policy remain unchanged. VE 09 73 04 20 Includes copyrighted material of Insurance Services Office, Inc. Page 1 of 1 with its permission Policy Number:VCGP031253 CG 24 0412 19 Insured Name: Affordable Generator Services, Inc. Number:46 Effective Date: 02/22/2024 THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY. WAIVER OF TRANSFER OF RIGHTS OF RECOVERY AGAINST OTHERS TO US (WAIVER OF SUBROGATION) This endorsement modifies insurance provided under the following: Commercial General Liability Coverage Part Schedule Name Of Person(s) Or Organization(s): Any person or organization you have agreed in a written and executed contract,prior to an"occurrence", that you would provide such person or organization a waiver of transfer of rights of recovery against others to us on your policy. Information required to complete this Schedule, if not shown above,will be shown In the Declarations. The following is added to Paragraph 8.Transfer Of Rights Of Recovery Against Others To Us of Section IV—Conditions: We waive any right of recovery against the person(s) or organization(s) shown in the Schedule above because of payments we make under this Coverage Part. Such waiver by us applies only to the extent that the insured has waived its right of recovery against such person(s) or organization(s) prior to loss. This endorsement applies only to the person(s) or organization(s)shown in the Schedule above. All other terms and conditions of this Policy remain unchanged. CG 24 04 12 19 0 Insurance Services Office, Inc.,2018 Page 1 of 1 Policy Number:VCGP031253 VE 01 8412 13 Insured Name:Affordable Generator Services, Inc. Number: 19 Effective Date:02/22/2024 THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY. DESIGNATED CONSTRUCTION PROJECTS(S) GENERAL AGGREGATE LIMIT - SUBJECT TO A MAXIMUM AGGREGATE This endorsement modifies insurance provided under the following: • Commercial General Liability Coverage Part SCHEDULE Designated Construction Project(s):All construction projects for which you have agreed in writing in a contract,prior to an occurrence that causes"bodily injury", "property damage"or"personal and advertising injury",to provide project specific limits. A. For all sums which the insured becomes legally obligated to pay as damages caused by"occurrences" under Section I — Coverage A, and for all medical expenses caused by accidents under Section I—Coverage C, which can be attributed only to ongoing operations at a single designated construction project shown In the Schedule above: 1. A separate Designated Construction Project General Aggregate Limit applies to each designated construction project, and that limit is equal to the amount of the General Aggregate Limit shown in the Declarations. 2. The Designated Construction Project General Aggregate Limit is the most we will pay for the sum of all damages under Coverage A, except damages because of"bodily injury"or"property damage"included in the "products-completed operations hazard", and for medical expenses under Coverage C regardless of the number of: a. Insureds; b. Claims made or"suits"brought;or c. Persons or organizations making claims or bringing"suits". 3. Any payments made under Coverage A for damages or under Coverage C for medical expenses shall reduce the Designated Construction Project General Aggregate Limit for that designated construction project. Such payments shall not reduce the General Aggregate Limit shown in the Declarations nor shall they reduce any other Designated Construction Project General Aggregate Limit for any other designated construction project shown in the Schedule above. VE 01 84 12 13 Page 1 of 2 4. The limits shown in the Declarations for Each Occurrence, Damage To Premises Rented To You and Medical Expense continue to apply. However, instead of being subject to the General Aggregate Limit shown in the Declarations, such limits will be subject to the applicable Designated Construction Project General Aggregate Limit. 5. All payments under this endorsement are subject to the Maximum Aggregate Limit of: $ 5,000,000 The Maximum Aggregate Limit is the most we will pay under this endorsement regardless of the number of Designated Construction Project General Aggregate Limits. The Maximum Aggregate Limit is not available to pay for damages or expenses other than as set forth in the endorsement. B. For all sums which the insured becomes legally obligated to pay as damages caused by"occurrences" under Section I— Coverage A, and for all medical expenses caused by accidents under Section I — Coverage C, which cannot be attributed only to ongoing operations at a single designated construction project shown in the Schedule above: 1. Any payments made under Coverage A for damages or under Coverage C for medical expenses shall reduce the amount available under the General Aggregate Limit or the Products-completed Operations Aggregate Limit,whichever is applicable;and 2. Such payments shall not reduce any Designated Construction Project General Aggregate Limit. C. When coverage for liability arising out of the "products-completed operations hazard" Is provided, any payments for damages because of"bodily injury" or"property damage" included in the "products-completed operations hazard" will reduce the Products-completed Operations Aggregate Limit, and not reduce the General Aggregate Limit nor the Designated Construction Project General Aggregate Limit. D. If the applicable designated construction project has been abandoned, delayed, or abandoned and then restarted, or if the authorized contracting parties deviate from plans, blueprints, designs, specifications or timetables,the project will still be deemed to be the same construction project. E. The provisions of Section III—Limits Of Insurance not otherwise modified by this endorsement shall continue to apply as stipulated. VE 01 84 12 13 Page 2 of 2 THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY. Business Auto Broadening Endorsement This endorsement modifies insurance provided under the following: BUSINESS AUTO COVERAGE FORM I. NEWLY ACQUIRED OR FORMED ENTITY(BROAD FORM NAMED INSURED) II. EMPLOYEES AS INSUREDS III. AUTOMATIC ADDITIONAL INSURED IV. EMPLOYEE HIRED AUTO LIABILITY V. SUPPLEMENTARY PAYMENTS VI. FELLOW EMPLOYEE COVERAGE VII. ADDITIONAL TRANSPORTATION EXPENSE VIII. HIRED AUTO PHYSICAL DAMAGE COVERAGE IX. ACCIDENTAL AIRBAG DEPLOYMENT COVERAGE X. LOAN/LEASE GAP COVERAGE XI. GLASS REPAIR—DEDUCTIBLE WAIVER XII. TWO OR MORE DEDUCTIBLES XIII. AMENDED DUTIES IN EVENT OF ACCIDENT, CLAIM, SUIT OR LOSS XIV. WAIVER OF SUBROGATION XV. UNINTENTIONAL ERROR, OMISSION, OR FAILURE TO DISCLOSE HAZARDS XVI. EMPLOYEE HIRED AUTO PHYSICAL DAMAGE XVII. PRIMARY AND NONCONTRIBUTORY IF REQUIRED BY CONTRACT XVIII. HIRED AUTO—COVERAGE TERRITORY XIX. BODILY INJURY REDEFINED TO INCLUDE RESULTANT MENTAL ANGUISH Copyright 2017 Mercury Insurance Services,I.LC. All rights reserved. MCA85100817-CA Includes copyrighted material of Insurance Services Office,Inc.,with its Permission Page 1 of 6 BUSINESS AUTO COVERAGE FORM NEWLY ACQUIRED OR FORMED ENTITY(Broad Form Named Insured) SECTION II-LIABILITY COVERAGE,A.Coverage,1.Who Is An Insured,the following is added: d. Any business entity newly acquired or formed by you during the policy period provided you own 50%or more of the business entity and the business entity is not separately insured for Business Auto Coverage.Coverage is extended up to a maximum of 180 days following acquisition or formation of the business entity. Coverage under this provision is afforded only until the end of the policy period. Coverage does not apply to an "accident"which occurred before you acquired or formed the organization. II. EMPLOYEES AS INSUREDS SECTION II-LIABILITY COVERAGE,A.Coverage, 1.Who Is An Insured,the following is added: e. Any"employee"of yours is an"insured"while using a covered"auto"you don't own,hire or borrow in your business or your personal affairs. III. AUTOMATIC ADDITIONAL INSURED SECTION II-LIABILITY COVERAGE,A.Coverage, 1.Who Is An Insured,the following is added: f. Any person or organization that you are required to include as additional insured on the Coverage Form in a written contract or agreement that is signed and executed by you before the"bodily injury"or"property damage"occurs and that is in effect during the policy period is an"insured"for Liability Coverage,but only for damages to which this insurance applies and only to the extent that person or organization qualifies as an"insured"under the Who Is An Insured provision contained in Section II. IV, EMPLOYEE HIRED AUTO LIABILITY SECTION II-LIABILITY COVERAGE,A.Coverage, 1.Who Is An Insured,the following is added: g. An"employee"of yours is an"insured"while operating an"auto"hired or rented under a contract or agreement in that"employee's"name,with your permission, while performing duties related to the conduct of your business. V. SUPPLEMENTARY PAYMENTS SECTION II—LIABILITY COVERAGE,A.Coverage,2.Coverage Extensions,a.Supplementary Payments,Subparagraphs(2)and (4)are replaced by the following: (2) Up to$3,000 for cost of bail bonds(including bonds for related traffic law violations) required because of an"accident"we cover. We are not obligated to furnish these bonds. (4) All reasonable expenses incurred by the"insured"at our request,Including actual loss of earnings up to$500 a day because of time off from work. Copyright 2017 Mercury Insurance Services,LLC. All rights reserved. MCA85100817-CA Includes copyrighted material of Insurance Services Office,Inc.,with its Permission Page 2 of 6 VI. FELLOW EMPLOYEE COVERAGE: SECTION II—LIABILITY COVERAGE, B.Exclusions,5. Fellow Employee This exclusion does not apply if you have workers'compensation insurance in-force covering all of your"employees". Coverage is excess over any other collectible insurance. VII. ADDITIONAL TRANSPORTATION EXPENSE SECTION III-PHYSICAL DAMAGE COVERAGE,A.Coverage,4.Coverage Extensions,a.Transportation Expenses,is replaced with the following: We will pay up to$50 per day to a maximum of$1000 for temporary transportation expense incurred by you because of the total theft of a covered"auto"of the private passenger type.We will pay only for those covered"autos"for which you carry either Comprehensive or Specified Causes of Loss Coverage.We will pay for temporary transportation expenses incurred during the period beginning 48 hours after the theft and ending,regardless of the policy's expiration,when the covered"auto"is returned to use or we pay for its"loss". If your business shown in the Declarations is other than an auto dealership,we will also pay up to$1,000 for reasonable and necessary costs incurred by you to return a stolen covered auto from the place where it is recovered to its usual garaging location. ViII. HIRED AUTO PHYSICAL DAMAGE COVERAGE SECTION III—PHYSICAL DAMAGE COVERAGE,A.Coverage,4.Coverage Extensions,the following is added: c. If Liability Coverage is provided in this policy on a Symbol 1 or a Symbol 8 basis and Comprehensive,Specified Causes of Loss,or Collision coverages are provided under this coverage form for any"auto"you own,then the Physical Damage Coverages provided are extended to"autos"you hire,subject to the following limit: (1) The most we will pay for"loss"to any hired"auto" is$50,000 or Actual Cash Value or Cost of Repair,whichever is less (2) $500 deductible will apply to any loss under this coverage extension, except that no deductible shall apply to"loss"caused by fire or lightning Subject to the above limit and deductible we will provide coverage equal to the broadest coverage applicable to any covered"auto"you own of similar size and type. This coverage extension is excess coverage over any other collectible insurance. IX. ACCIDENTAL AIRBAG DEPLOYMENT COVERAGE SECTION Ill-PHYSICAL DAMAGE COVERAGE,B. Exclusions,3.a.,is amended to add the following: This exclusion does not apply to the accidental discharge of an airbag. Copyright 2017 Mercury Insurance Services,LLC. All rights reserved. MCA85100817-CA Includes copyrighted material of Insurance Services Office,Inc.,with its Permission Page 3 of 6 X. LOAN/LEASE GAP COVERAGE SECTION III-PHYSICAL DAMAGE COVERAGE C. Limit of Insurance,the following is added: 4. In the event of a"total loss"to a covered"auto"shown in the schedule or declarations for which Collision and Comprehensive Coverage apply,we will pay any unpaid amount due on the lease or loan for that covered "auto,"less: a. The amount paid under the Physical Damage Coverage Section of the policy;and b. Any: (1) Overdue lease/loan payments at the time of the"loss"; (2) Financial penalties imposed under a lease for excessive use,abnormal wear and tear or high mileage. (3) Security deposits not returned by the lessor; (4) Costs for extended warranties,Credit Life Insurance,Health,Accident or Disability Insurance purchased with the loan or lease;and (5) Carry-over balances from previous loans or leases. The most we will pay under Auto Loan/Lease Gap Coverage for an Insured auto is 25%of the actual cash value of that insured auto at the time of the loss. XI. GLASS REPAIR—DEDUCTIBLE WAIVER SECTION III-PHYSICAL DAMAGE COVERAGE, D.Deductible,the following is added: No deductible applies to glass damage if the glass is repaired rather than replaced. XII. TWO OR MORE DEDUCTIBLES SECTION III-PHYSICAL DAMAGE COVERAGE, D. Deductible,the following is added: If two or more"company"policies or coverage forms apply to the same accident: 1. If the applicable Business Auto deductible is the smallest,it will be waived;or 2. If the applicable Business Auto deductible is not the smallest,it will be reduced by the amount of the smallest deductible;or 3. If the loss involves two or more Business Auto coverage forms or policies the smallest deductible will be waived. For the purpose of this endorsement"company"means the company providing this insurance and any of the affiliated members of the Mercury Insurance Group of companies. XIII. AMENDED DUTIES IN EVENT OF ACCIDENT,CLAIM,SUIT OR LOSS The requirement in SECTION IV,BUSINESS AUTO CONDITIONS,A.Loss Conditions,2.Duties In The Event Of Accident,Claim,Suit,Or Loss,a.,In the event of"accident",you must notify us of an "accident"applies only when the"accident"is known to: (1) You,if you are an individual; (2) A partner,if you are a partnership; (3) A member,if you are a limited liability company;or (4) An executive officer or insurance manager,if you are a corporation. Copyright 2017 Mercury Insurance Services,LLC. All rights reserved. MCA85100817-CA Includes copyrighted material of Insurance Services Office,Inc.,with its Permission Page 4 of 6 XIV. WAIVER OF SUBROGATION SECTION IV-BUSINESS AUTO CONDITIONS,A. Loss Conditions,5.Transfer of Rights Of Recovery Against Others To Us,section is replaced by the following: 5. Transfer Of Rights Of Recovery Against Others To Us We waive any right of recovery we may have against any person or organization to the extent required of you by a written contract executed prior to any"accident"or "loss",provided that the"accident"or"loss"arises out of the operations contemplated by such contract.The waiver applies only to the person or organization designated in such contract. XV. UNINTENTIONAL ERROR,OMISSION,OR FAILURE TO DISCLOSE HAZARDS SECTION IV-BUSINESS AUTO CONDITIONS, B.General Conditions,2.Concealment, Misrepresentation,or Fraud,the following is added; Any unintentional omission of or error in information given by you,or unintentional failure to disclose all exposures or hazards existing as of the effective date or at any time during the policy period shall not invalidate or adversely affect the coverage for such exposure or hazard or prejudice your rights under this insurance. However,you must report the undisclosed exposure or hazard to us as soon as reasonably possible after its discovery. This provision does not affect our right to collect additional premium or exercise our right of cancellation or non-renewal. XVI. EMPLOYEE HIRED AUTO PHYSICAL DAMAGE SECTION IV—BUSINESS AUTO CONDITIONS, B.General Conditions,5.Other Insurance,b. For Hired Auto Physical Damage Coverage,is replaced by the following: b. For Hired Auto Physical Damage Coverage,the following are deemed to be covered "autos"you own: 1. Any covered"auto"you lease,hire,rent or borrow;and 2. Any covered"auto"hired or rented by your"employee"under a contract in that individual"employee's"name,with your permission,while performing duties related to the conduct of your business. However,any"auto"that is leased,hired, rented or borrowed with a driver is not a covered "auto". XVII. PRIMARY AND NONCONTRIBUTORY IF REQUIRED BY CONTRACT SECTION IV—BUSINESS AUTO CONDITIONS,B.General Conditions,5.Other Insurance,the following is added and supersedes any provision to the contrary: e. This insurance is primary to and will not seek contribution from any other insurance available to an additional insured under your policy provided that: (1) The additional insured is a Named Insured under such other insurance;and (2) You have agreed In writing in a contract or agreement that this insurance would be primary and would not seek contribution from any other insurance available to the additional insured. Copyright 2017 Mercury Insurance Services,LLC. All rights reserved. MCA85100817-CA Includes copyrighted material of insurance Services Office,Inc.,with its Permission Page 5 of 6 XVIII. HIRED AUTO-COVERAGE TERRITORY SECTION IV-BUSINESS AUTO CONDITIONS, B.General Conditions,7.Policy Period,Coverage Territory,e.Anywhere in the world if:, is replaced by the following: e. Anywhere in the world if: (1) A covered "auto" is leased,hired, rented or borrowed without a driver for a period of 30 days or less;and (2) The"insured's"responsibility to pay damages is determined in a"suit"on the merits,in the United States of America,the territories and possessions of the United States of America,Puerto Rico,or Canada or in a settlement we agree to. XIX. BODILY INJURY REDEFINED TO INCLUDE RESULTANT MENTAL ANGUISH SECTION V—DEFINITIONS,C. "Bodily Injury"is amended by adding the following: "Bodily injury"also Includes mental anguish but only when the mental anguish arises from other bodily injury,sickness,or disease. Copyright 2017 Mercury Insurance Services,LLC. All rights reserved. MCA85100817-CA Includes copyrighted material of insurance Services Office,Inc.,with its Permission Page 6 of 6