Loading...
7300 - Contract Executed Docusign City Council Transmittal Coversheet File Name Purchasing Contact City Council Target Date Piggy Back Option Contract Expiration Ordinance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¶V 5)3  6XSSO\ RI 3UHGLFWLYH 0DLQWHQDQFH IRU :DWHU 5HFODPDWLRQ D FRS\ RI ZKLFK LV RQ ILOH DW WKH RIILFH RI 3XUFKDVLQJ$JHQWDQGLQFRUSRUDWHGKHUHLQIRUDOOSXUSRVHV7KH&RQWUDFWFRQVLVWVRIWKLVZULWWHQ DJUHHPHQWDQGWKHIROORZLQJLWHPVZKLFKDUHDWWDFKHGKHUHWRRURQILOHDQGLQFRUSRUDWHGKHUHLQ E\UHIHUHQFH  D 6SHFLDO7HUPVDQG&RQGLWLRQV ([KLELW³$´  E &LW\RI'HQWRQ¶V5)3 ([KLELW³%´RQILOHDWWKHRIILFHRIWKH3XUFKDVLQJ $JHQW  F &LW\RI'HQWRQ6WDQGDUG7HUPVDQG&RQGLWLRQV ([KLELW³&´  G &HUWLILFDWHRI,QWHUHVWHG3DUWLHV(OHFWURQLF)LOLQJ ([KLELW³'´  H 6XSSOLHU¶V3URSRVDO ([KLELW(  I )RUP&,4±&RQIOLFWRI,QWHUHVW4XHVWLRQQDLUH ([KLELW)   7KHVHGRFXPHQWVPDNHXSWKH&RQWUDFWGRFXPHQWVDQGZKDWLVFDOOHGIRUE\RQHVKDOOEH DVELQGLQJDVLIFDOOHGIRUE\DOO,QWKHHYHQWRIDQLQFRQVLVWHQF\RUFRQIOLFWLQDQ\RIWKHSURYLVLRQV RIWKH&RQWUDFWGRFXPHQWVWKHLQFRQVLVWHQF\RUFRQIOLFWVKDOOEHUHVROYHGE\JLYLQJSUHFHGHQFH ILUVWWRWKHZULWWHQDJUHHPHQWWKHQWRWKHFRQWUDFWGRFXPHQWVLQWKHRUGHULQZKLFKWKH\DUHOLVWHG DERYH7KHVHGRFXPHQWVVKDOOEHUHIHUUHGWRFROOHFWLYHO\DV³&RQWUDFW'RFXPHQWV´  3URKLELWLRQRQ&RQWUDFWVZLWK&RPSDQLHV%R\FRWWLQJ,VUDHO 6XSSOLHUDFNQRZOHGJHVWKDWLQDFFRUGDQFHZLWK&KDSWHURIWKH7H[DV*RYHUQPHQW&RGH&LW\LV SURKLELWHGIURPHQWHULQJLQWRDFRQWUDFWZLWKDFRPSDQ\IRUJRRGVRUVHUYLFHVXQOHVVWKHFRQWUDFWFRQWDLQV DZULWWHQYHULILFDWLRQIURPWKHFRPSDQ\WKDWLW  GRHVQRWER\FRWW,VUDHODQG  ZLOOQRWER\FRWW,VUDHO GXULQJWKHWHUPRIWKHFRQWUDFW7KHWHUPV³ER\FRWW,VUDHO´DQG³FRPSDQ\´VKDOOKDYHWKHPHDQLQJVDVFULEHG WRWKRVHWHUPVLQ6HFWLRQRIWKH7H[DV*RYHUQPHQW&RGHBy signing this agreement, Supplier certifies that Supplier’s signature provides written verification to the City that Supplier: (1) does not boycott Israel; and (2) will not boycott Israel during the term of the agreement. )DLOXUHWRPHHWRU PDLQWDLQWKHUHTXLUHPHQWVXQGHUWKLVSURYLVLRQZLOOEHFRQVLGHUHGDPDWHULDOEUHDFK 3URKLELWLRQ2Q&RQWUDFWV:LWK&RPSDQLHV'RLQJ%XVLQHVVZLWK,UDQ6XGDQRUD)RUHLJQ 7HUURULVW2UJDQL]DWLRQ               &RQWUDFW   6HFWLRQRIWKH7H[DV*RYHUQPHQW&RGHUHVWULFWV&,7<IURPFRQWUDFWLQJZLWKFRPSDQLHVWKDWGR EXVLQHVVZLWK,UDQ6XGDQRUDIRUHLJQWHUURULVWRUJDQL]DWLRQBy signing this agreement, Supplier certifies that Supplier’s signature provides written verification to the City that Supplier, pursuant to Chapter 2252, is not ineligible to enter into this agreement and will not become ineligible to receive payments under this agreement by doing business with Iran, Sudan, or a foreign terrorist organization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¶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¶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¶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¶V FRQWUDFW DUH DSSOLFDEOH WR FRQWUDFWVSXUFKDVHRUGHUVLVVXHGE\WKH&LW\RI'HQWRQKHUHLQDIWHUUHIHUUHGWRDVWKH&LW\RU%X\HU DQGWKH6HOOHURUUHVSRQGHQWKHUHLQDIWHUUHIHUUHGWRDV&RQWUDFWRURU6XSSOLHU$Q\GHYLDWLRQVPXVW EHLQZULWLQJDQGVLJQHGE\DUHSUHVHQWDWLYHRIWKH&LW\¶V3URFXUHPHQW'HSDUWPHQWDQGWKH 6XSSOLHU 1R 7HUPV DQG &RQGLWLRQV FRQWDLQHG LQ WKH VHOOHU¶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¶VSUHPLVHVRURQSXEOLFULJKWVRIZD\  &2175$&725¶6 2%/,*$7,216 7KH &RQWUDFWRU VKDOO IXOO\ DQG WLPHO\ SURYLGH DOO GHOLYHUDEOHVGHVFULEHGLQWKH6ROLFLWDWLRQDQGLQWKH&RQWUDFWRU¶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¶VQDPH DGGUHVV DQG SXUFKDVH RUGHU RU SXUFKDVH UHOHDVH QXPEHU DQG WKH SULFH DJUHHPHQW QXPEHU LI DSSOLFDEOH F &RQWDLQHUQXPEHUDQGWRWDOQXPEHURIFRQWDLQHUVHJER[RIER[HVDQG G WKH QXPEHURIWKHFRQWDLQHUEHDULQJWKHSDFNLQJOLVW7KH&RQWUDFWRUVKDOOEHDUFRVWRISDFNDJLQJ 'HOLYHUDEOHVVKDOOEHVXLWDEO\SDFNHGWRVHFXUHORZHVWWUDQVSRUWDWLRQFRVWVDQGWRFRQIRUPWRDOO WKHUHTXLUHPHQWVRIFRPPRQFDUULHUVDQGDQ\DSSOLFDEOHVSHFLILFDWLRQ7KH&LW\ VFRXQWRUZHLJKW VKDOOEHILQDODQGFRQFOXVLYHRQVKLSPHQWVQRWDFFRPSDQLHGE\SDFNLQJOLVWV  6+,30(1781'(55(6(59$7,21352+,%,7('7KH&RQWUDFWRULVQRWDXWKRUL]HGWR VKLSWKHGHOLYHUDEOHVXQGHUUHVHUYDWLRQDQGQRWHQGHURIDELOORIODGLQJZLOORSHUDWHDVDWHQGHURI GHOLYHUDEOHV  7,7/( 5,6.2)/2667LWOHWRDQGULVNRIORVVRIWKHGHOLYHUDEOHVVKDOOSDVVWRWKH&LW\            &RQWUDFW   RQO\ZKHQWKH&LW\DFWXDOO\UHFHLYHVDQGDFFHSWVWKHGHOLYHUDEOHV  '(/,9(5< 7(506 $1' 75$163257$7,21 &+$5*(6 'HOLYHUDEOHV VKDOO EH VKLSSHG )2% SRLQW RI GHOLYHU\ XQOHVV RWKHUZLVH VSHFLILHG LQWKH 6XSSOHPHQWDO 7HUPV DQG &RQGLWLRQV8QOHVVRWKHUZLVHVWDWHGLQWKH2IIHUWKH&RQWUDFWRU¶VSULFHVKDOOEHGHHPHGWRLQFOXGH DOOGHOLYHU\DQGWUDQVSRUWDWLRQFKDUJHV7KH&LW\VKDOOKDYHWKHULJKWWRGHVLJQDWHZKDWPHWKRGRI WUDQVSRUWDWLRQVKDOOEHXVHGWRVKLSWKHGHOLYHUDEOHV7KHSODFHRIGHOLYHU\VKDOOEHWKDWVHWIRUWK WKHSXUFKDVHRUGHU  5,*+72),163(&7,21$1'5(-(&7,217KH&LW\H[SUHVVO\UHVHUYHVDOOULJKWVXQGHU ODZLQFOXGLQJEXWQRWOLPLWHGWRWKH8QLIRUP&RPPHUFLDO&RGHWRLQVSHFWWKHGHOLYHUDEOHVDW GHOLYHU\EHIRUHDFFHSWLQJWKHPDQGWRUHMHFWGHIHFWLYHRUQRQFRQIRUPLQJGHOLYHUDEOHV,IWKH&LW\ KDVWKHULJKWWRLQVSHFWWKH&RQWUDFWRU¶VRUWKH&RQWUDFWRU¶V6XEFRQWUDFWRU¶VIDFLOLWLHVRUWKH GHOLYHUDEOHVDWWKH&RQWUDFWRU¶VRUWKH&RQWUDFWRU¶V6XEFRQWUDFWRU¶VSUHPLVHVWKH&RQWUDFWRUVKDOO IXUQLVKRUFDXVHWREHIXUQLVKHGZLWKRXWDGGLWLRQDOFKDUJHDOOUHDVRQDEOHIDFLOLWLHVDQGDVVLVWDQFH WRWKH&LW\WRIDFLOLWDWHVXFKLQVSHFWLRQ  125(3/$&(0(172)'()(&7,9(7(1'(5(YHU\WHQGHURUGHOLYHU\RIGHOLYHUDEOHV PXVWIXOO\FRPSO\ZLWKDOOSURYLVLRQVRIWKH&RQWUDFWDVWRWLPHRIGHOLYHU\TXDOLW\DQGTXDQWLW\ $Q\QRQFRPSO\LQJWHQGHUVKDOOFRQVWLWXWHDEUHDFKDQGWKH&RQWUDFWRUVKDOOQRWKDYHWKHULJKWWR VXEVWLWXWHDFRQIRUPLQJWHQGHUSURYLGHGZKHUHWKHWLPHIRUSHUIRUPDQFHKDVQRW\HWH[SLUHGWKH &RQWUDFWRUPD\QRWLI\WKH&LW\RIWKHLQWHQWLRQWRFXUHDQGPD\WKHQPDNHDFRQIRUPLQJWHQGHU ZLWKLQWKHWLPHDOORWWHGLQWKHFRQWUDFW  3/$&($1'&21',7,212):25.7KH&LW\VKDOOSURYLGHWKH&RQWUDFWRUDFFHVVWRWKH VLWHVZKHUHWKH&RQWUDFWRULVWRSHUIRUPWKHVHUYLFHVDVUHTXLUHGLQRUGHUIRUWKH&RQWUDFWRUWR SHUIRUPWKHVHUYLFHVLQDWLPHO\DQGHIILFLHQWPDQQHULQDFFRUGDQFHZLWKDQGVXEMHFWWRWKH DSSOLFDEOHVHFXULW\ODZVUXOHVDQGUHJXODWLRQV7KH&RQWUDFWRUDFNQRZOHGJHVWKDWLWKDVVDWLVILHG LWVHOIDVWRWKHQDWXUHRIWKH&LW\¶VVHUYLFHUHTXLUHPHQWVDQGVSHFLILFDWLRQVWKHORFDWLRQDQG HVVHQWLDOFKDUDFWHULVWLFVRIWKHZRUNVLWHVWKHTXDOLW\DQGTXDQWLW\RIPDWHULDOVHTXLSPHQWODERU DQGIDFLOLWLHVQHFHVVDU\WRSHUIRUPWKHVHUYLFHVDQGDQ\RWKHUFRQGLWLRQRUVWDWHRIIDFWZKLFKFRXOG LQDQ\ZD\DIIHFWSHUIRUPDQFHRIWKH&RQWUDFWRU¶VREOLJDWLRQVXQGHUWKHFRQWUDFW7KH&RQWUDFWRU KHUHE\UHOHDVHVDQGKROGVWKH&LW\KDUPOHVVIURPDQGDJDLQVWDQ\OLDELOLW\RUFODLPIRUGDPDJHVRI DQ\NLQGRUQDWXUHLIWKHDFWXDOVLWHRUVHUYLFHFRQGLWLRQVGLIIHUIURPH[SHFWHGFRQGLWLRQV  7KHFRQWUDFWRUVKDOODWDOOWLPHVH[HUFLVHUHDVRQDEOHSUHFDXWLRQVIRUWKHVDIHW\RIWKHLUHPSOR\HHV &LW\6WDIISDUWLFLSDQWVDQGRWKHUVRQRUQHDUWKH&LW\¶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³,,5,5$ HQDFWHGRQ6HSWHPEHU  &203/,$1&( :,7+ +($/7+ 6$)(7< $1' (19,5210(17$/ 5(*8/$7,2167KH&RQWUDFWRULW¶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¶V REOLJDWLRQVXQGHUWKLVSDUDJUDSK  (QYLURQPHQWDO3URWHFWLRQ7KH5HVSRQGHQWVKDOOEHLQFRPSOLDQFHZLWKDOODSSOLFDEOHVWDQGDUGV RUGHUVRUUHJXODWLRQVLVVXHGSXUVXDQWWRWKHPDQGDWHVRIWKH&OHDQ$LU$FW 86&†et seq DQGWKH)HGHUDO:DWHU3ROOXWLRQ&RQWURO$FWDVDPHQGHG 86&†et seq   ,192,&(6 $7KH&RQWUDFWRUVKDOOVXEPLWVHSDUDWHLQYRLFHVLQGXSOLFDWHRQHDFKSXUFKDVHRUGHURUSXUFKDVH UHOHDVHDIWHUHDFKGHOLYHU\,ISDUWLDOVKLSPHQWVRUGHOLYHULHVDUHDXWKRUL]HGE\WKH&LW\DVHSDUDWH LQYRLFHPXVWEHVHQWIRUHDFKVKLSPHQWRUGHOLYHU\PDGH %3URSHU,QYRLFHVPXVWLQFOXGHDXQLTXHLQYRLFHQXPEHUWKHSXUFKDVHRUGHURUGHOLYHU\ RUGHUQXPEHUDQGWKHPDVWHUDJUHHPHQWQXPEHULIDSSOLFDEOHWKH'HSDUWPHQW¶V1DPHDQG WKH QDPH RI WKH SRLQW RI FRQWDFW IRU WKH 'HSDUWPHQW ,QYRLFHV VKDOO EH LWHPL]HG DQG WUDQVSRUWDWLRQFKDUJHVLIDQ\VKDOOEHOLVWHGVHSDUDWHO\$FRS\RIWKHELOORIODGLQJDQGWKHIUHLJKW ZD\ELOOZKHQDSSOLFDEOHVKDOOEHDWWDFKHGWRWKHLQYRLFH7KH&RQWUDFWRU¶VQDPHUHPLWWDQFH DGGUHVVDQGLIDSSOLFDEOHWKHWD[LGHQWLILFDWLRQQXPEHURQWKHLQYRLFHPXVWH[DFWO\PDWFKWKH LQIRUPDWLRQLQWKH9HQGRU¶VUHJLVWUDWLRQZLWKWKH&LW\8QOHVVRWKHUZLVHLQVWUXFWHGLQZULWLQJWKH &LW\PD\UHO\RQWKHUHPLWWDQFHDGGUHVVVSHFLILHGRQWKH&RQWUDFWRU¶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¶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¶VDJHQWVHPSOR\HHVRUFRQWUDFWRUV ZKLFKLVQRWFRYHUHGE\LQVXUDQFHUHTXLUHGWREHSURYLGHGE\WKH&RQWUDFWRU YUHDVRQDEOHHYLGHQFHWKDWWKH&RQWUDFWRU¶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¶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¶VFRQWLQXLQJREOLJDWLRQV XQGHUWKH&RQWUDFWLQFOXGLQJEXWQRWOLPLWHGWRLQGHPQLW\DQGZDUUDQW\REOLJDWLRQVRU  DULVLQJ XQGHUWKH&LW\¶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¶VVROHGLVFUHWLRQJURXQGVIRUWHUPLQDWLRQWKHUHRI(DFKRIWKH WHUPV³ERRNV´³UHFRUGV´³GRFXPHQWV´DQG³RWKHUHYLGHQFH´DVXVHGDERYHVKDOOEHFRQVWUXHGWR LQFOXGHGUDIWVDQGHOHFWURQLFILOHVHYHQLIVXFKGUDIWVRUHOHFWURQLFILOHVDUHVXEVHTXHQWO\XVHGWR JHQHUDWHRUSUHSDUHDILQDOSULQWHGGRFXPHQW  68%&2175$&7256 $,IWKH&RQWUDFWRULGHQWLILHG6XEFRQWUDFWRUVLQD'%(0%(:%(DJUHHGWR3ODQWKH&RQWUDFWRU VKDOOFRPSO\ZLWKDOOUHTXLUHPHQWVDSSURYHGE\WKH&LW\7KH&RQWUDFWRUVKDOOQRWLQLWLDOO\HPSOR\ DQ\6XEFRQWUDFWRUH[FHSWDVSURYLGHGLQWKH&RQWUDFWRU¶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±7,7/(7KH&RQWUDFWRUZDUUDQWVWKDWLWKDVJRRGDQGLQGHIHDVLEOHWLWOHWRDOO GHOLYHUDEOHVIXUQLVKHGXQGHUWKH&RQWUDFWDQGWKDWWKHGHOLYHUDEOHVDUHIUHHDQGFOHDURIDOOOLHQV FODLPVVHFXULW\LQWHUHVWVDQGHQFXPEUDQFHV7KH&RQWUDFWRUVKDOOLQGHPQLI\DQGKROGWKH&LW\ KDUPOHVVIURPDQGDJDLQVWDOODGYHUVHWLWOHFODLPVWRWKHGHOLYHUDEOHV             &RQWUDFW   :$55$17< ±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¶VRSWLRQ DQGDWQRDGGLWLRQDOFRVWWRWKH&LW\$OOFRVWVLQFLGHQWDOWRVXFKUHSDLURUUHSODFHPHQWLQFOXGLQJ EXWQRWOLPLWHGWRDQ\SDFNDJLQJDQGVKLSSLQJFRVWVVKDOOEHERUQHH[FOXVLYHO\E\WKH&RQWUDFWRU 7KH&LW\VKDOOHQGHDYRUWRJLYHWKH&RQWUDFWRUZULWWHQQRWLFHRIWKHEUHDFKRIZDUUDQW\ZLWKLQ WKLUW\  FDOHQGDUGD\VRIGLVFRYHU\RIWKHEUHDFKRIZDUUDQW\EXWIDLOXUHWRJLYHWLPHO\QRWLFH VKDOOQRWLPSDLUWKH&LW\¶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¶VZDUUDQW\WKH&RQWUDFWRUVKDOOWUDQVIHUDQGDVVLJQVXFKPDQXIDFWXUHU¶VZDUUDQW\WR WKH&LW\,IIRUDQ\UHDVRQWKHPDQXIDFWXUHU¶VZDUUDQW\FDQQRWEHIXOO\WUDQVIHUUHGWRWKH&LW\WKH &RQWUDFWRU VKDOO DVVLVW DQG FRRSHUDWH ZLWK WKH &LW\ WR WKH IXOOHVW H[WHQW WR HQIRUFH VXFK PDQXIDFWXUHU¶VZDUUDQW\IRUWKHEHQHILWRIWKH&LW\  :$55$17<±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¶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¶VHYDOXDWLRQRIDQGGHWHUPLQDWLRQWR DFFHSWVXFKGHIHFWLYHRUQRQFRQIRUPLQJGHOLYHUDEOHV,IDQ\VXFKDFFHSWDQFHRFFXUVSULRUWRILQDO SD\PHQWWKH&LW\PD\GHGXFWVXFKDPRXQWVDVDUHQHFHVVDU\WRFRPSHQVDWHWKH&LW\IRUWKH GLPLQLVKHGYDOXHRIWKHGHIHFWLYHRUQRQFRQIRUPLQJGHOLYHUDEOHV,IWKHDFFHSWDQFHRFFXUVDIWHU ILQDOSD\PHQWVXFKDPRXQWZLOOEHUHIXQGHGWRWKH&LW\E\WKH&RQWUDFWRU  5,*+772$6685$1&(:KHQHYHURQHSDUW\WRWKH&RQWUDFWLQJRRGIDLWKKDVUHDVRQWR TXHVWLRQWKHRWKHUSDUW\¶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¶V2IIHURULQDQ\UHSRUWRUGHOLYHUDEOHUHTXLUHGWREHVXEPLWWHGE\WKH&RQWUDFWRUWR WKH&LW\  7(50,1$7,21)25&$86(,QWKHHYHQWRIDGHIDXOWE\WKH&RQWUDFWRUWKH&LW\VKDOO KDYHWKHULJKWWRWHUPLQDWHWKH&RQWUDFWIRUFDXVHE\ZULWWHQQRWLFHHIIHFWLYHWHQ  FDOHQGDU GD\VXQOHVVRWKHUZLVHVSHFLILHGDIWHUWKHGDWHRIVXFKQRWLFHXQOHVVWKH&RQWUDFWRUZLWKLQVXFK WHQ  GD\SHULRGFXUHVVXFKGHIDXOWRUSURYLGHVHYLGHQFHVXIILFLHQWWRSURYHWRWKH&LW\¶V UHDVRQDEOHVDWLVIDFWLRQWKDWVXFKGHIDXOWGRHVQRWLQIDFWH[LVW,QDGGLWLRQWRDQ\RWKHUUHPHG\ DYDLODEOHXQGHUODZRULQHTXLW\WKH&LW\VKDOOEHHQWLWOHGWRUHFRYHUDOODFWXDOGDPDJHVFRVWV ORVVHVDQGH[SHQVHVLQFXUUHGE\WKH&LW\DVDUHVXOWRIWKH&RQWUDFWRU¶VGHIDXOWLQFOXGLQJZLWKRXW OLPLWDWLRQ FRVW RI FRYHU UHDVRQDEOH DWWRUQH\V¶ IHHV FRXUW FRVWV DQG SUHMXGJPHQW DQG SRVW MXGJPHQWLQWHUHVWDWWKHPD[LPXPODZIXOUDWH$GGLWLRQDOO\LQWKHHYHQWRIDGHIDXOWE\WKH &RQWUDFWRUWKH&LW\PD\UHPRYHWKH&RQWUDFWRUIURPWKH&LW\¶VYHQGRUOLVWIRUWKUHH  \HDUVDQG DQ\2IIHUVXEPLWWHGE\WKH&RQWUDFWRUPD\EHGLVTXDOLILHGIRUXSWRWKUHH  \HDUV$OOULJKWVDQG UHPHGLHVXQGHUWKH&RQWUDFWDUHFXPXODWLYHDQGDUHQRWH[FOXVLYHRIDQ\RWKHUULJKWRUUHPHG\ SURYLGHGE\ODZ            &RQWUDFW   7(50,1$7,21 :,7+287 &$86( 7KH &LW\ VKDOO KDYH WKH ULJKW WR WHUPLQDWH WKH &RQWUDFWLQZKROHRULQSDUWZLWKRXWFDXVHDQ\WLPHXSRQWKLUW\  FDOHQGDUGD\V¶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¶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¶6 2%/,*$7,216 81'(5 7+( &2175$&7127+,1*+(5(,16+$//%('((0('72/,0,77+(5,*+762) 7+( &,7< 25 7+( &2175$&725 ,1&/8',1* %87 127 /,0,7(' 72 7+( 5,*+7726((.&2175,%87,21 $*$,167$1<7+,5'3$57<:+20$<%( /,$%/()25$1,1'(01,),('&/$,0  &127:,7+67$1',1*$1<7+,1*727+(&2175$5<$1'5(*$5'/(662) &$86( )$8/7 25 *5281'6 :+(7+(5 81'(5 /$: 25 &2175$&7 $6 $ 5(68/72)%5($&+2)&2175$&7:$55$17<72571(*/,*(1&(675,&7 /,$%,/,7< ,1'(01,),&$7,21 25 27+(5:,6(  ,  ,1 12 (9(17 6+$// &2175$&725 %( /,$%/( 72 7+( &,7< 25 72 $1< 7+,5' 3$57< )25 ,1',5(&7,1&,'(17$/63(&,$/381,7,9(25&216(48(17,$/'$0$*(6 ,1&/8',1*%87127/,0,7('72/2662)352),76255(9(18(/2662) 86(2)7+(*22'625$662&,$7('352'8&76&2672)&$3,7$/&2672) 68%67,787((48,30(17)$&,/,7,(6256(59,&(6'2:17,0(&2676&267 2)'(/$<625)25$1</,48,'$7(''$0$*(6253(1$/,7,(6$1'$1< &/$,062)7+(&,7<252)&86720(562)7+(&,7<)2568&+'$0$*( $1' ,, &2175$&725¶6727$/&808/$7,9(/,$%,/,7<21$1<&/$,0)25 /266 25 '$0$*( $5,6,1* 287 2) 25 &211(&7(' :,7+ $1 25'(5 3(5)250$1&(2)6(59,&(6257+(6833/<2)$1<*22'6257+(6$/( 5(6$/( 23(5$7,21 25 86( 2) $1< *22'6 25 )25 ,1'(01,),&$7,21 6+$// 127 (;&((' 7+( 35,&( $//2&$%/( 72 68&+ 352'8&76 25 6(59,&(6)851,6+('%<&2175$&725:+,&+*,9(5,6(727+(&/$,0 7+,6/,0,7$7,212)/,$%,/,7<5()/(&76$'(/,%(5$7($1'%$5*$,1(' )25 $//2&$7,21 2) 5,6.6 %(7:((1 &2175$&725 $1' 7+( &,7< $1' &2167,787(6 7+( %$6,6 2) 7+( 3$57,(6¶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¶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¶V DQG DOO VXEFRQWUDFWRUV¶ LQVXUDQFH FRYHUDJHVKDOO EH ZULWWHQ E\ FRPSDQLHVOLFHQVHGWRGREXVLQHVVLQWKH6WDWHRI7H[DVDWWKHWLPHWKHSROLFLHVDUHLVVXHG DQGVKDOOEHZULWWHQE\FRPSDQLHVZLWK$0%HVWUDWLQJVRI$9,,RUEHWWHU7KH&LW\ ZLOODFFHSWZRUNHUV¶FRPSHQVDWLRQFRYHUDJHZULWWHQE\WKH7H[DV:RUNHUV¶&RPSHQVDWLRQ ,QVXUDQFH)XQG YL $OO HQGRUVHPHQWV QDPLQJ WKH &LW\ DV DGGLWLRQDO LQVXUHG ZDLYHUV DQG QRWLFHV RI FDQFHOODWLRQ HQGRUVHPHQWV DV ZHOO DV WKH &HUWLILFDWH RI ,QVXUDQFH VKDOO FRQWDLQ WKH VROLFLWDWLRQQXPEHUDQGWKHIROORZLQJLQIRUPDWLRQ  &LW\RI'HQWRQ 0DWHULDOV0DQDJHPHQW'HSDUWPHQW %7H[DV6WUHHW 'HQWRQ7H[DV  YLL7KH³RWKHU´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¶ZULWWHQ QRWLFH RI HURVLRQ RI WKH DJJUHJDWH OLPLWV EHORZ RFFXUUHQFH OLPLWVIRUDOODSSOLFDEOH FRYHUDJH¶VLQGLFDWHGZLWKLQWKH&RQWUDFW [LY7KHLQVXUDQFHFRYHUDJH¶VVSHFLILHGLQZLWKLQWKHVROLFLWDWLRQDQGUHTXLUHPHQWVDUH UHTXLUHGPLQLPXPVDQGDUHQRWLQWHQGHGWROLPLWWKHUHVSRQVLELOLW\RUOLDELOLW\RIWKH            &RQWUDFW   &RQWUDFWRU % 6SHFLILF &RYHUDJH 5HTXLUHPHQWV 6SHFLILF LQVXUDQFH UHTXLUHPHQWV DUH FRQWDLQHG LQ WKH VROLFLWDWLRQLQVWUXPHQW  &/$,06,IDQ\FODLPGHPDQGVXLWRURWKHUDFWLRQLVDVVHUWHGDJDLQVWWKH&RQWUDFWRUZKLFK DULVHVXQGHURUFRQFHUQVWKH&RQWUDFWRUZKLFKFRXOGKDYHDPDWHULDODGYHUVHHIIHFWRQWKH &RQWUDFWRU¶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¶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¶VH[HUFLVHDQ\ZKHUH LQWKHZRUOGRIWKHULJKWVDVVRFLDWHGZLWKWKH&LW\¶V¶RZQHUVKLSDQGLIDSSOLFDEOHOLFHQVHULJKWV DQGLWVXVHRIWKHGHOLYHUDEOHVLQIULQJHVWKHLQWHOOHFWXDOSURSHUW\ULJKWVRIDQ\WKLUGSDUW\RU LL  WKH&RQWUDFWRU¶VEUHDFKRIDQ\RI&RQWUDFWRU¶VUHSUHVHQWDWLRQVRUZDUUDQWLHVVWDWHGLQWKLV&RQWUDFW ,QWKHHYHQWRIDQ\VXFKFODLPWKH&LW\VKDOOKDYHWKHULJKWWRPRQLWRUVXFKFODLPRUDWLWVRSWLRQ HQJDJHLWVRZQVHSDUDWHFRXQVHOWRDFWDVFRFRXQVHORQWKH&LW\¶VEHKDOI)XUWKHU&RQWUDFWRU DJUHHV WKDW WKH &LW\¶V VSHFLILFDWLRQV UHJDUGLQJ WKH GHOLYHUDEOHV VKDOO LQ QR ZD\ GLPLQLVK &RQWUDFWRU¶VZDUUDQWLHVRUREOLJDWLRQVXQGHUWKLVSDUDJUDSKDQGWKH&LW\PDNHVQRZDUUDQW\WKDW WKHSURGXFWLRQGHYHORSPHQWRUGHOLYHU\RIVXFKGHOLYHUDEOHVZLOOQRWLPSDFWVXFKZDUUDQWLHVRI            &RQWUDFW   &RQWUDFWRU  &21),'(17,$/,7<,QRUGHUWRSURYLGHWKHGHOLYHUDEOHVWRWKH&LW\&RQWUDFWRUPD\ UHTXLUHDFFHVVWRFHUWDLQRIWKH&LW\¶VDQGRULWVOLFHQVRUV¶FRQILGHQWLDOLQIRUPDWLRQ LQFOXGLQJ LQYHQWLRQVHPSOR\HHLQIRUPDWLRQWUDGHVHFUHWVFRQILGHQWLDONQRZKRZFRQILGHQWLDOEXVLQHVV LQIRUPDWLRQ DQG RWKHU LQIRUPDWLRQ ZKLFK WKH &LW\ RU LWV OLFHQVRUV FRQVLGHU FRQILGHQWLDO  FROOHFWLYHO\ ³&RQILGHQWLDO ,QIRUPDWLRQ´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¶VVROHRUMRLQWRZQHUVKLSRIDQ\ VXFKGHOLYHUDEOHVDULVLQJE\YLUWXHRIWKH&LW\¶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¶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¶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¶V(WKLF2UGLQDQFHDQGLQWKH&LW\&KDUWHUFKDSWHUDUWLFOH;, (WKLFV $Q\ ZLOOIXOYLRODWLRQRIWKLVVHFWLRQVKDOOFRQVWLWXWHLPSURSULHW\LQRIILFHDQGDQ\RIILFHURUHPSOR\HH JXLOW\WKHUHRIVKDOOEHVXEMHFWWRGLVFLSOLQDU\DFWLRQXSWRDQGLQFOXGLQJGLVPLVVDO$Q\YLRODWLRQ RIWKLVSURYLVLRQZLWKWKHNQRZOHGJHH[SUHVVHGRULPSOLHGRIWKH&RQWUDFWRUVKDOOUHQGHUWKH &RQWUDFWYRLGDEOHE\WKH&LW\7KH&RQWUDFWRUVKDOOFRPSOHWHDQGVXEPLWWKH&LW\¶V&RQIOLFWRI ,QWHUHVW4XHVWLRQQDLUH   ,1'(3(1'(17 &2175$&725 7KH&RQWUDFW VKDOOQRW EHFRQVWUXHG DVFUHDWLQJ DQ            &RQWUDFW   HPSOR\HUHPSOR\HHUHODWLRQVKLSDSDUWQHUVKLSRUDMRLQWYHQWXUH7KH&RQWUDFWRU¶VVHUYLFHVVKDOO EHWKRVHRIDQLQGHSHQGHQWFRQWUDFWRU7KH&RQWUDFWRUDJUHHVDQGXQGHUVWDQGVWKDWWKH&RQWUDFW GRHVQRWJUDQWDQ\ULJKWVRUSULYLOHJHVHVWDEOLVKHGIRUHPSOR\HHVRIWKH&LW\RI'HQWRQ7H[DVIRU WKH SXUSRVHV RI LQFRPH WD[ ZLWKKROGLQJ VRFLDO VHFXULW\ WD[HV YDFDWLRQ RU VLFN OHDYH EHQHILWV ZRUNHU¶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¶V 3XUFKDVLQJ 0DQDJHU LQ ZULWLQJ RI D FRPSDQ\ QDPH RZQHUVKLS RU DGGUHVV FKDQJH IRU WKH SXUSRVH RI PDLQWDLQLQJ XSGDWHG &LW\ UHFRUGV 7KH SUHVLGHQW RI WKH FRPSDQ\ RU DXWKRUL]HG RIILFLDO PXVW VLJQ WKH OHWWHU $ OHWWHU LQGLFDWLQJ FKDQJHV LQ D FRPSDQ\ QDPH RU RZQHUVKLS PXVW EH DFFRPSDQLHG ZLWK VXSSRUWLQJ OHJDO GRFXPHQWDWLRQ VXFK DV DQ XSGDWHG : GRFXPHQWV ILOHG ZLWK WKHVWDWH LQGLFDWLQJ VXFK FKDQJH FRS\ RI WKH ERDUG RI GLUHFWRU¶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¶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¶V'D\ REVHUYHG  0/.'D\ 0HPRULDO'D\ WKRI-XO\ /DERU'D\ 7KDQNVJLYLQJ'D\ 'D\$IWHU7KDQNVJLYLQJ &KULVWPDV(YH REVHUYHG  &KULVWPDV'D\ REVHUYHG  1HZ<HDU¶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¶V DJHQW VKDOO HQJDJH LQ DQ\ GLVFULPLQDWRU\ HPSOR\PHQW SUDFWLFH  1R SHUVRQ VKDOO RQ WKH JURXQGV RI UDFH VH[ VH[XDO RULHQWDWLRQDJHGLVDELOLW\FUHHGFRORUJHQHWLFWHVWLQJRUQDWLRQDORULJLQEHUHIXVHGWKHEHQHILWVRI RUEHRWKHUZLVHVXEMHFWHGWRGLVFULPLQDWLRQXQGHUDQ\DFWLYLWLHVUHVXOWLQJIURPWKLV5)4 %$PHULFDQVZLWK'LVDELOLWLHV$FW $'$ &RPSOLDQFH1R2IIHURURU2IIHURU¶VDJHQWVKDOO HQJDJHLQDQ\GLVFULPLQDWRU\HPSOR\PHQWSUDFWLFHDJDLQVWLQGLYLGXDOVZLWKGLVDELOLWLHVDVGHILQHG LQWKH$'$   %8< $0(5,&$1 $&76833/,(6 $SSOLFDEOH WR FHUWDLQ IHGHUDOO\ IXQGHG UHTXLUHPHQWV  7KH IROORZLQJ IHGHUDOO\ IXQGHG UHTXLUHPHQWV DUH DSSOLFDEOH $'HILQLWLRQV $V XVHG LQ WKLV SDUDJUDSK± L&RPSRQHQWPHDQVDQDUWLFOHPDWHULDORUVXSSO\LQFRUSRUDWHGGLUHFWO\LQWRDQHQGSURGXFW LL&RVWRIFRPSRQHQWVPHDQV  )RUFRPSRQHQWVSXUFKDVHGE\WKH&RQWUDFWRUWKHDFTXLVLWLRQFRVWLQFOXGLQJWUDQVSRUWDWLRQ FRVWVWRWKHSODFHRILQFRUSRUDWLRQLQWRWKHHQGSURGXFW ZKHWKHURUQRWVXFKFRVWVDUHSDLGWRD            &RQWUDFW   GRPHVWLFILUP DQGDQ\DSSOLFDEOHGXW\ ZKHWKHURUQRWDGXW\IUHHHQWU\FHUWLILFDWHLVLVVXHG RU  )RUFRPSRQHQWVPDQXIDFWXUHGE\WKH&RQWUDFWRUDOOFRVWVDVVRFLDWHGZLWKWKHPDQXIDFWXUHRI WKHFRPSRQHQWLQFOXGLQJWUDQVSRUWDWLRQFRVWVDVGHVFULEHGLQSDUDJUDSK  RIWKLVGHILQLWLRQSOXV DOORFDEOHRYHUKHDGFRVWVEXWH[FOXGLQJSURILW&RVWRIFRPSRQHQWVGRHVQRWLQFOXGHDQ\FRVWV DVVRFLDWHGZLWKWKHPDQXIDFWXUHRIWKHHQGSURGXFW LLL'RPHVWLFHQGSURGXFWPHDQV  $QXQPDQXIDFWXUHGHQGSURGXFWPLQHGRUSURGXFHGLQWKH8QLWHG6WDWHVRU  $QHQGSURGXFWPDQXIDFWXUHGLQWKH8QLWHG6WDWHVLIWKHFRVWRILWVFRPSRQHQWVPLQHG SURGXFHG RU PDQXIDFWXUHG LQ WKH 8QLWHG 6WDWHV H[FHHGV  SHUFHQW RI WKH FRVW RI DOO LWV FRPSRQHQWV&RPSRQHQWVRIIRUHLJQRULJLQRIWKHVDPHFODVVRUNLQGDVWKRVHWKDWWKHDJHQF\ GHWHUPLQHV DUH QRW PLQHG SURGXFHG RU PDQXIDFWXUHG LQ VXIILFLHQW DQG UHDVRQDEO\ DYDLODEOH FRPPHUFLDOTXDQWLWLHVRIDVDWLVIDFWRU\TXDOLW\DUHWUHDWHGDVGRPHVWLF6FUDSJHQHUDWHGFROOHFWHG DQGSUHSDUHGIRUSURFHVVLQJLQWKH8QLWHG6WDWHVLVFRQVLGHUHGGRPHVWLF LY(QGSURGXFWPHDQVWKRVHDUWLFOHVPDWHULDOVDQGVXSSOLHVWREHDFTXLUHGXQGHUWKHFRQWUDFW IRUSXEOLFXVH Y)RUHLJQHQGSURGXFWPHDQVDQHQGSURGXFWRWKHUWKDQDGRPHVWLFHQGSURGXFW YL8QLWHG6WDWHVPHDQVWKH6WDWHVWKH'LVWULFWRI&ROXPELDDQGRXWO\LQJDUHDV %7KH%X\$PHULFDQ$FW 86&DG SURYLGHVDSUHIHUHQFHIRUGRPHVWLFHQGSURGXFWV IRUVXSSOLHVDFTXLUHGIRUXVHLQWKH8QLWHG6WDWHV &7KH&LW\GRHVQRWPDLQWDLQDOLVWRIIRUHLJQDUWLFOHVWKDWZLOOEHWUHDWHGDVGRPHVWLFIRUWKLV &RQWUDFWEXWZLOOFRQVLGHUIRUDSSURYDOIRUHLJQDUWLFOHVDVGRPHVWLFIRUWKLVSURGXFWLIWKHDUWLFOHV DUHRQDOLVWDSSURYHGE\DQRWKHU*RYHUQPHQWDO$JHQF\7KH2IIHURUVKDOOVXEPLWGRFXPHQWDWLRQ ZLWKWKHLU2IIHUGHPRQVWUDWLQJWKDWWKHDUWLFOHLVRQDQDSSURYHG*RYHUQPHQWDOOLVW '7KH&RQWUDFWRUVKDOOGHOLYHURQO\GRPHVWLFHQGSURGXFWVH[FHSWWRWKHH[WHQWWKDWLWVSHFLILHG GHOLYHU\RIIRUHLJQHQGSURGXFWVLQWKHSURYLVLRQRIWKH6ROLFLWDWLRQHQWLWOHG%X\$PHULFDQ$FW &HUWLILFDWH  5,*+772,1)250$7,217KH&LW\RI'HQWRQUHVHUYHVWKHULJKWWRXVHDQ\DQGDOO LQIRUPDWLRQ SUHVHQWHG LQ DQ\ UHVSRQVH WR WKLV FRQWUDFW ZKHWKHU DPHQGHG RU QRW H[FHSW DV SURKLELWHGE\ODZ6HOHFWLRQRIUHMHFWLRQRIWKHVXEPLWWDOGRHVQRWDIIHFWWKLVULJKW  /,&(16()((6257$;(63URYLGHGWKHVROLFLWDWLRQUHTXLUHVDQDZDUGHGFRQWUDFWRURU VXSSOLHUWREHOLFHQVHGE\WKH6WDWHRI7H[DVDQ\DQGDOOIHHVDQGWD[HVDUHWKHUHVSRQVLELOLW\RIWKH UHVSRQGHQW  35(9$,/,1*:$*(5$7(67KHFRQWUDFWRUVKDOOFRPSO\ZLWKSUHYDLOLQJZDJHUDWHVDV GHILQHG E\ WKH 8QLWHG 6WDWHV 'HSDUWPHQW RI /DERU 'DYLV%DFRQ :DJH 'HWHUPLQDWLRQ DW KWWSZZZGROJRYZKGFRQWUDFWVGEUDKWPDQGDWWKH:DJH'HWHUPLQDWLRQVZHEVLWHZZZZGROJRY IRU'HQWRQ&RXQW\7H[DV :'   &203/,$1&(:,7+$//67$7()('(5$/$1'/2&$//$:67KHFRQWUDFWRU RUVXSSOLHUVKDOOFRPSO\ZLWKDOO6WDWH)HGHUDODQG/RFDOODZVDQGUHTXLUHPHQWV7KH5HVSRQGHQW PXVWFRPSO\ZLWKDOODSSOLFDEOHODZVDWDOOWLPHVLQFOXGLQJZLWKRXWOLPLWDWLRQWKHIROORZLQJ L  †RIWKH7H[DV3HQDO&RGHZKLFKSURKLELWVEULEHU\ LL †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¶&RPSHQVDWLRQLQVXUDQFHFRYHUDJH5HVSRQGHQWVKDOOHQVXUHFRPSOLDQFHZLWK DOOIHGHUDODQG6WDWHWD[ODZVDQGZLWKKROGLQJUHTXLUHPHQWV7KH&LW\RI'HQWRQVKDOOQRWEHOLDEOH WR5HVSRQGHQWRULWVHPSOR\HHVIRUDQ\8QHPSOR\PHQWRU:RUNHUV &RPSHQVDWLRQFRYHUDJHRU IHGHUDORU6WDWHZLWKKROGLQJUHTXLUHPHQWV&RQWUDFWRUVKDOOLQGHPQLI\WKH&LW\RI'HQWRQDQGVKDOO SD\DOOFRVWVSHQDOWLHVRUORVVHVUHVXOWLQJIURP5HVSRQGHQW VRPLVVLRQRUEUHDFKRIWKLV6HFWLRQ  '58*)5((:25.3/$&(7KHFRQWUDFWRUVKDOOFRPSO\ZLWKWKHDSSOLFDEOHSURYLVLRQV RIWKH'UXJ)UHH:RUN3ODFH$FWRI 3XEOLF/DZ7LWOH96XEWLWOH'86& (7 6(4  DQG PDLQWDLQ D GUXJIUHH ZRUN HQYLURQPHQW DQG WKH ILQDOUXOH JRYHUQPHQWZLGH UHTXLUHPHQWVIRUGUXJIUHHZRUNSODFH JUDQWV LVVXHGE\WKH2IILFHRI0DQDJHPHQWDQG%XGJHW DQGWKH'HSDUWPHQWRI'HIHQVH &)53DUW6XESDUW) WRLPSOHPHQWWKHSURYLVLRQVRIWKH 'UXJ)UHH:RUN3ODFH$FWRILVLQFRUSRUDWHGE\UHIHUHQFHDQGWKHFRQWUDFWRUVKDOOFRPSO\ ZLWKWKHUHOHYDQWSURYLVLRQVWKHUHRILQFOXGLQJDQ\DPHQGPHQWVWRWKHILQDOUXOHWKDWPD\KHUHDIWHU EHLVVXHG  5(6321'(17/,$%,/,7<)25'$0$*(72*29(510(173523(57<7KH 5HVSRQGHQWVKDOOEHOLDEOHIRUDOOGDPDJHVWRJRYHUQPHQWRZQHGOHDVHGRURFFXSLHGSURSHUW\DQG HTXLSPHQWFDXVHGE\WKH5HVSRQGHQWDQGLWVHPSOR\HHVDJHQWVVXEFRQWUDFWRUVDQGVXSSOLHUV LQFOXGLQJDQ\GHOLYHU\RUFDUWDJHFRPSDQ\LQFRQQHFWLRQZLWKDQ\SHUIRUPDQFHSXUVXDQWWRWKH &RQWUDFW7KH5HVSRQGHQWVKDOOQRWLI\WKH&LW\RI'HQWRQ3URFXUHPHQW0DQDJHULQZULWLQJRIDQ\ VXFKGDPDJHZLWKLQRQH  FDOHQGDUGD\  )25&(0$-(85(7KH&LW\RI'HQWRQDQ\&XVWRPHUDQGWKH5HVSRQGHQWVKDOOQRWEH UHVSRQVLEOHIRUSHUIRUPDQFHXQGHUWKH&RQWUDFWVKRXOGLWEHSUHYHQWHGIURPSHUIRUPDQFHE\DQDFW RIZDURUGHURIOHJDODXWKRULW\DFWRI*RGRURWKHUXQDYRLGDEOHFDXVHQRWDWWULEXWDEOHWRWKHIDXOW RU QHJOLJHQFH RI WKH &LW\ RI 'HQWRQ ,Q WKH HYHQW RI DQ RFFXUUHQFH XQGHU WKLV 6HFWLRQ WKH 5HVSRQGHQWZLOOEHH[FXVHGIURPDQ\IXUWKHUSHUIRUPDQFHRUREVHUYDQFHRIWKHUHTXLUHPHQWVVR DIIHFWHG IRU DV ORQJ DV VXFK FLUFXPVWDQFHV SUHYDLO DQG WKH 5HVSRQGHQW FRQWLQXHV WR XVH FRPPHUFLDOO\UHDVRQDEOHHIIRUWVWRUHFRPPHQFHSHUIRUPDQFHRUREVHUYDQFHZKHQHYHUDQGWR ZKDWHYHUH[WHQWSRVVLEOHZLWKRXWGHOD\7KH5HVSRQGHQWVKDOOLPPHGLDWHO\QRWLI\WKH&LW\RI 'HQWRQ3URFXUHPHQW0DQDJHUE\WHOHSKRQH WREHFRQILUPHGLQZULWLQJZLWKLQILYH  FDOHQGDU GD\V RI WKH LQFHSWLRQ RI VXFK RFFXUUHQFH  DQG GHVFULEH DW D UHDVRQDEOH OHYHO RI GHWDLO WKH FLUFXPVWDQFHVFDXVLQJWKHQRQSHUIRUPDQFHRUGHOD\LQSHUIRUPDQFH  121:$,9(52)5,*+76)DLOXUHRID3DUW\WRUHTXLUHSHUIRUPDQFHE\DQRWKHU3DUW\ XQGHUWKH&RQWUDFWZLOOQRWDIIHFWWKHULJKWRIVXFK3DUW\WRUHTXLUHSHUIRUPDQFHLQWKHIXWXUH1R GHOD\IDLOXUHRUZDLYHURIHLWKHU3DUW\¶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¶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±)RUP   7KH&LW\PXVWDFNQRZOHGJHWKHUHFHLSWRIWKHILOHG)RUPQRWODWHUWKDQWKHWKGD\DIWHU &RXQFLO DZDUG 2QFH D )RUP  LV DFNQRZOHGJHG LW ZLOO EH SRVWHG WR WKH 7H[DV (WKLFV &RPPLVVLRQ¶VZHEVLWHZLWKLQVHYHQEXVLQHVVGD\V            RFP RESPONSE TO: CITY OF DENTON, TX RFP #7300 “Supply of Predictive Maintenance for Wastewater Reclamation” Prepared by: FCx Performance d/b/a Instrumentation Services (ISI) 10525-C Granite Street Charlotte, NC 28273 800-532-0415 T 888-367-3571 F Contact: Tim Cahill tcahill@fcxperformance.com Proposal # ISI/FCX03032020TC ISI Quality Policy ISI is dedicated to providing the highest quality services and products to meet or exceed customer expectations. Customer satisfaction will be achieved by preventing nonconformity in all stages of service delivery. ISI is committed to the philosophy that Customer Satisfaction is Our Job. Overview of ISI ISI has been providing instrumentation and calibration services for over 40 years. ISI was founded on the philosophy of providing on-site services to meet the needs of our clients; we have continued this tradition, while expanding our capabilities and service territory. ISI's ability to provide flexible service programs has driven us to be the leader in our industry and maintain long-term partnerships with our clients. ISI corporate headquarters are located in Charlotte, NC. EXHIBIT E           Introduction: ISI is part of FCx Performance, a highly diversified and leading provider of process flow control solutions and products to the eastern United States. FCx has 30 locations covering 33 states and over 400 employees serving more than 1500 customers. In addition to FCx/ISI we have two other companies based in Texas, BARO in Houston and Pierce Pump in Dallas. ISI works through these companies to deliver services to our Texas customers. FCx/ISI has the experience and resources in place to deliver multi-faceted solutions to the City of Denton. ISI will provide the right solution when and where you need it. FCx/ISI’s geography diversification, service diversification and manpower strength positions FCx/ISI to service City of Denton in both normal business times and catastrophic nature disasters. ISI has reviewed in detail the above RFP and understands the requested services, important issues and the City’s requirements. ISI has a unique understanding of these requirements since ISI has been providing these services to the City of Denton for over 15 years. ISI has been providing these types of PdM Services to both Industrial and Government operation for over 25 years. FCx Performance (d/b/a ISI) Company and Personnel Qualifications: ¾ ISI has been in business providing Instrumentation Services for over 40 years and PdM Services for over 25 years. ¾ ISI maintains full liability and Workman’s Compensation Insurance coverage ¾ ISI has a staff of fully accredited Technicians located throughout the US who are available to provide additional support as needed. ¾ ISI will supply all test instrumentation and tools need to perform the scope ¾ ISI has the personnel and/or capability to perform PdM Services. These resources are skilled, experienced, and maintain significant training to assure proper technical knowledge. ¾ ISI continuously analyses its organization to determine the competency, qualification and training needs of employees and updates skills as needed. ¾ ISI has implemented a Substance Abuse Program, which includes testing on demand. ¾ ISI has established a Personnel Security Screening Program which incorporates background for personnel working at Governmental and Industrial locations. ¾ ISI provides Health and Safety Training Programs that fully meets all OSHA Standards Pricing: Year Annual Price Cumulative Total 1 $23,640.00 $23,640.00 2 $23,640.00 $47,280.00 3 $23,640.00 $70,920.00 Note: The annual contract price has been increased from the last service agreement due to the increased scope of additional vibration testing at lift stations.            Exhibit CONFLICT OF INTEREST QUESTIONNAIRE - FORM CIQ For vendor or other person doing business with local governmental entity This questionnaire reflects changes made to the law by H.B. 23, 84th Leg., Regular Session. This questionnaire is being filed in accordance with Chapter 176, Local Government Code, by a vendor who has a business relationship as defined by Section 176.001(1-a) with a local governmental entity and the vendor meets requirements under Section 176.006(a). By law this questionnaire must be filed with the records administrator of the local government entity not later than the 7th business day after the date the vendor becomes aware of facts that require the statement to be filed. See Section 176.006(a-1), Local Government Code. A vendor commits an offense if the vendor knowingly violates Section 176.006, Local Government Code. An offense under this section is a misdemeanor. 1 Name of vendor who has a business relationship with local governmental entity. 2 Check this box if you are filing an update to a previously filed questionnaire. (The law requires that you file an updated completed questionnaire with the appropriate filing authority not later than the 7th business day after the date on which you became aware that the originally filed questionnaire was incomplete or inaccurate.) 3 Name of local government officer about whom the information in this section is being disclosed. Name of Officer This section, (item 3 including subparts A, B, C & D), must be completed for each officer with whom the vendor has an employment or other business relationship as defined by Section 176.001(1-a), Local Government Code. Attach additional pages to this Form CIQ as necessary. A. Is the local government officer named in this section receiving or likely to receive taxable income, other than investment income, from the vendor? Yes No B. Is the vendor receiving or likely to receive taxable income, other than investment income, from or at the direction of the local government officer named in this section AND the taxable income is not received from the local governmental entity? Yes No C. Is the filer of this questionnaire employed by a corporation or other business entity with respect to which the local government officer serves as an officer or director, or holds an ownership of one percent or more? Yes No D. Describe each employment or business and family relationship with the local government officer named in this section. 4 I have no Conflict of Interest to disclose. 5 Signature of vendor doing business with the governmental entity Date                             "! !!$""# $%" !$"!   Certificate Of Completion Envelope Id: 852FAD63208C4D54B806D504F39160AF Status: Completed Subject: Please DocuSign: City Council Contract 7300-Supply of Predictive Maintenance for Water Reclamation Source Envelope: Document Pages: 29 Signatures: 6 Envelope Originator: Certificate Pages: 6 Initials: 1 Crystal Westbrook AutoNav: Enabled EnvelopeId Stamping: Enabled Time Zone: (UTC-06:00) Central Time (US & Canada) 901B Texas Street Denton, TX 76209 crystal.westbrook@cityofdenton.com IP Address: 198.49.140.104 Record Tracking Status: Original 5/11/2020 11:30:36 AM Holder: Crystal Westbrook crystal.westbrook@cityofdenton.com Location: DocuSign Signer Events Signature Timestamp Crystal Westbrook crystal.westbrook@cityofdenton.com Buyer City of Denton Security Level: Email, Account Authentication (None) Completed Using IP Address: 198.49.140.104 Sent: 5/11/2020 11:37:23 AM Viewed: 5/11/2020 11:37:51 AM Signed: 5/11/2020 11:40:27 AM Electronic Record and Signature Disclosure: Not Offered via DocuSign Lori Hewell lori.hewell@cityofdenton.com Purchasing Manager City of Denton Security Level: Email, Account Authentication (None) Signature Adoption: Pre-selected Style Using IP Address: 129.120.6.150 Sent: 5/11/2020 11:40:29 AM Viewed: 5/12/2020 9:33:53 AM Signed: 5/12/2020 9:37:38 AM Electronic Record and Signature Disclosure: Not Offered via DocuSign Mack Reinwand mack.reinwand@cityofdenton.com City of Denton Security Level: Email, Account Authentication (None)Signature Adoption: Pre-selected Style Using IP Address: 129.120.6.150 Sent: 5/12/2020 9:37:40 AM Viewed: 5/15/2020 10:27:25 AM Signed: 5/15/2020 10:29:16 AM Electronic Record and Signature Disclosure: Not Offered via DocuSign Brian Richter brichter@fcxperformance.com Vice President Business Services Security Level: Email, Account Authentication (None)Signature Adoption: Pre-selected Style Using IP Address: 66.77.191.62 Sent: 5/15/2020 10:29:18 AM Viewed: 5/15/2020 11:05:14 AM Signed: 5/15/2020 11:52:43 AM Electronic Record and Signature Disclosure: Accepted: 5/15/2020 11:05:14 AM ID: 38e94562-7f80-4249-9007-4dec06d91b15 Signer Events Signature Timestamp Frank Pugsley frank.pugsley@cityofdenton.com Water and Wastewater Utilities Director City of Denton Security Level: Email, Account Authentication (None) Signature Adoption: Pre-selected Style Using IP Address: 129.120.6.150 Sent: 5/15/2020 11:52:46 AM Viewed: 5/15/2020 3:19:07 PM Signed: 5/15/2020 3:19:34 PM Electronic Record and Signature Disclosure: Accepted: 5/15/2020 3:19:07 PM ID: 3461770a-18a8-4b0f-b256-86f6f68ed12d Cheyenne Defee cheyenne.defee@cityofdenton.com Contract Administrator City of Denton Security Level: Email, Account Authentication (None) Completed Using IP Address: 129.120.6.150 Sent: 5/15/2020 3:19:37 PM Viewed: 6/18/2020 11:01:13 AM Signed: 6/18/2020 11:01:40 AM Electronic Record and Signature Disclosure: Not Offered via DocuSign Fodd Hileman Fodd.Hileman@cityofdenton.com City Manager City of Denton Security Level: Email, Account Authentication (None) Signature Adoption: Pre-selected Style Using IP Address: 47.186.196.49 Sent: 6/18/2020 11:01:43 AM Viewed: 6/18/2020 11:02:57 AM Signed: 6/18/2020 11:03:04 AM Electronic Record and Signature Disclosure: Accepted: 7/25/2017 11:02:14 AM ID: 57619fbf-2aec-4b1f-805d-6bd7d9966f21 Rosa Rios rosa.rios@cityofdenton.com City Secretary Security Level: Email, Account Authentication (None)Signature Adoption: Pre-selected Style Using IP Address: 172.58.67.11 Sent: 6/18/2020 11:03:07 AM Viewed: 6/18/2020 3:30:32 PM Signed: 6/18/2020 3:31:39 PM Electronic Record and Signature Disclosure: Not Offered via DocuSign In Ierson Signer Events Signature Timestamp Editor DeliverI Events Status Timestamp Igent DeliverI Events Status Timestamp IntermediarI DeliverI Events Status Timestamp CertiIied DeliverI Events Status Timestamp CarIon CopI Events Status Timestamp Cheyenne Defee cheyenne.defee@cityofdenton.com Contract Administrator City of Denton Security Level: Email, Account Authentication (None) Sent: 5/11/2020 11:40:30 AM Electronic Record and Signature Disclosure: Not Offered via DocuSign CarIon CopI Events Status Timestamp Sherri Fhurman sherri.thurman@cityofdenton.com City of Denton Security Level: Email, Account Authentication (None) Sent: 5/15/2020 3:19:37 PM Electronic Record and Signature Disclosure: Not Offered via DocuSign Fane Richardson Fane.richardson@cityofdenton.com Assistant City Secretary City of Denton Security Level: Email, Account Authentication (None) Sent: 6/18/2020 11:01:43 AM Electronic Record and Signature Disclosure: Not Offered via DocuSign Folaina Parker Folaina.Parker@cityofdenton.com City of Denton Security Level: Email, Account Authentication (None) Sent: 6/18/2020 11:01:43 AM Viewed: 6/18/2020 2:45:02 PM Electronic Record and Signature Disclosure: Not Offered via DocuSign Rusty Willard rusty.willard@cityofdenton.com Water Rec Superintendent City of Denton Security Level: Email, Account Authentication (None) Sent: 6/18/2020 3:31:42 PM Electronic Record and Signature Disclosure: Not Offered via DocuSign Iitness Events Signature Timestamp IotarI Events Signature Timestamp Envelope SummarI Events Status Timestamps Envelope Sent Hashed/Encrypted 6/18/2020 3:31:42 PM Certified Delivered Security Checked 6/18/2020 3:31:42 PM Signing Complete Security Checked 6/18/2020 3:31:42 PM Completed Security Checked 6/18/2020 3:31:42 PM IaIment Events Status Timestamps Electronic Record and Signature Disclosure ELECTRONIC RECORD AND SIGNATURE DISCLOSURE From time to time, City of Denton (we, us or Company) may be required by law to provide to you certain written notices or disclosures. Described below are the terms and conditions for providing to you such notices and disclosures electronically through your DocuSign, Inc. (DocuSign) Express user account. Please read the information below carefully and thoroughly, and if you can access this information electronically to your satisfaction and agree to these terms and conditions, please confirm your agreement by clicking the 'I agree' button at the bottom of this document. Getting paper copies At any time, you may request from us a paper copy of any record provided or made available electronically to you by us. For such copies, as long as you are an authorized user of the DocuSign system you will have the ability to download and print any documents we send to you through your DocuSign user account for a limited period of time (usually 30 days) after such documents are first sent to you. After such time, if you wish for us to send you paper copies of any such documents from our office to you, you will be charged a $0.00 per-page fee. You may request delivery of such paper copies from us by following the procedure described below. Withdrawing your consent If you decide to receive notices and disclosures from us electronically, you may at any time change your mind and tell us that thereafter you want to receive required notices and disclosures only in paper format. How you must inform us of your decision to receive future notices and disclosure in paper format and withdraw your consent to receive notices and disclosures electronically is described below. Consequences of changing your mind If you elect to receive required notices and disclosures only in paper format, it will slow the speed at which we can complete certain steps in transactions with you and delivering services to you because we will need first to send the required notices or disclosures to you in paper format, and then wait until we receive back from you your acknowledgment of your receipt of such paper notices or disclosures. To indicate to us that you are changing your mind, you must withdraw your consent using the DocuSign 'Withdraw Consent' form on the signing page of your DocuSign account. This will indicate to us that you have withdrawn your consent to receive required notices and disclosures electronically from us and you will no longer be able to use your DocuSign Express user account to receive required notices and consents electronically from us or to sign electronically documents from us. All notices and disclosures will be sent to you electronically Unless you tell us otherwise in accordance with the procedures described herein, we will provide electronically to you through your DocuSign user account all required notices, disclosures, authorizations, acknowledgements, and other documents that are required to be provided or made available to you during the course of our relationship with you. To reduce the chance of you inadvertently not receiving any notice or disclosure, we prefer to provide all of the required notices and disclosures to you by the same method and to the same address that you have given us. Thus, you can receive all the disclosures and notices electronically or in paper format through the paper mail delivery system. If you do not agree with this process, please let us know as described below. Please also see the paragraph immediately above that describes the consequences of your electing not to receive delivery of the notices and disclosures electronically from us. $"! !"  $%" #!#%""$!      "$#"$!  " $"" %#&! How to contact City of Denton: You may contact us to let us know of your changes as to how we may contact you electronically, to request paper copies of certain information from us, and to withdraw your prior consent to receive notices and disclosures electronically as follows: To contact us by email send messages to: purchasing@cityofdenton.com To advise City of Denton of your new e-mail address To let us know of a change in your e-mail address where we should send notices and disclosures electronically to you, you must send an email message to us at melissa.kraft@cityofdenton.com and in the body of such request you must state: your previous e-mail address, your new e-mail address. We do not require any other information from you to change your email address.. In addition, you must notify DocuSign, Inc to arrange for your new email address to be reflected in your DocuSign account by following the process for changing e-mail in DocuSign. To request paper copies from City of Denton To request delivery from us of paper copies of the notices and disclosures previously provided by us to you electronically, you must send us an e-mail to purchasing@cityofdenton.com and in the body of such request you must state your e-mail address, full name, US Postal address, and telephone number. We will bill you for any fees at that time, if any. To withdraw your consent with City of Denton To inform us that you no longer want to receive future notices and disclosures in electronic format you may: i. decline to sign a document from within your DocuSign account, and on the subsequent page, select the check-box indicating you wish to withdraw your consent, or you may; ii. send us an e-mail to purchasing@cityofdenton.com and in the body of such request you must state your e-mail, full name, IS Postal Address, telephone number, and account number. We do not need any other information from you to withdraw consent.. The consequences of your withdrawing consent for online documents will be that transactions may take a longer time to process.. Required hardware and software Operating Systems: Windows2000? or WindowsXP? Browsers (for SENDERS): Internet Explorer 6.0? or above Browsers (for SIGNERS): Internet Explorer 6.0?, Mozilla FireFox 1.0, NetScape 7.2 (or above) Email: Access to a valid email account Screen Resolution: 800 x 600 minimum Enabled Security Settings: •Allow per session cookies •Users accessing the internet behind a Proxy Server must enable HTTP 1.1 settings via proxy connection ** These minimum requirements are subject to change. If these requirements change, we will provide you with an email message at the email address we have on file for you at that time providing you with the revised hardware and software requirements, at which time you will have the right to withdraw your consent. Acknowledging your access and consent to receive materials electronically To confirm to us that you can access this information electronically, which will be similar to other electronic notices and disclosures that we will provide to you, please verify that you were able to read this electronic disclosure and that you also were able to print on paper or electronically save this page for your future reference and access or that you were able to e-mail this disclosure and consent to an address where you will be able to print on paper or save it for your future reference and access. Further, if you consent to receiving notices and disclosures exclusively in electronic format on the terms and conditions described above, please let us know by clicking the 'I agree' button below. By checking the 'I Agree' box, I confirm that: • I can access and read this Electronic CONSENT TO ELECTRONIC RECEIPT OF ELECTRONIC RECORD AND SIGNATURE DISCLOSURES document; and • I can print on paper the disclosure or save or send the disclosure to a place where I can print it, for future reference and access; and • Until or unless I notify City of Denton as described above, I consent to receive from exclusively through electronic means all notices, disclosures, authorizations, acknowledgements, and other documents that are required to be provided or made available to me by City of Denton during the course of my relationship with you.