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HomeMy WebLinkAboutDoc 574 - Fuel-Carlock ServicesDeschutes County Board of Commissioners 1300 NW Wall St., Suite 200, Bend, OR 97701-1960 (541) 388-6570 -Fax (541) 385-3202 -www.deschutes.org AGENDA REQUEST & STAFF REPORT For Board Business Meeting of February 1,2012 Please see directions for completing tltis document on tlte next page. DATE: January 25, 2012 FROM: Dave Inbody Adminsitrative Services 322-7697 TITLE OF AGENDA ITEM: Consideration of Signature of Document No. 2011-574 Contract with Bend Oil Company to provide fuel purchasing through carlock facilities. PUBLIC HEARING ON THIS DATE? No BACKGROUND AND POLICY IMPLICATIONS: An audit of county gas card usage was completed in 2008. This uncovered significant differences in policy between departments and raised questions about our current price agreements. A new fuel purchasing policy was drafted in 2009. In an effort to reduce the cost current paid for fuel, an ITB was released to provide fuel purchases. Bend Oil Co. was the lowest bidder. Bend Oil Co. has agreed to provide Deschutes County with fuel through Pacific Pride and CFN cardlock locations for the set pricing over the wholesale rate (rack rate). Regular unleaded +$0.1624, midgrade +$0.1724, premium +$0.1624, diesel +$0.1724, winterized diesel +$0.2044. FISCAL IMPLICATIONS: It is anticipated this contract will save the County a minimum of$15,000 in annual fuel costs. This contract is a one-year two year extension on the original contract. RECOMMENDATION & ACTION REQUESTED: Approval and signature of Document No. 2011-574 by the Chair of the Board of County Commissioners with Bend Oil Company to provide fuel purchasing through carlock facilities. ATTENDANCE: Dave Inbody, Administrative Services DISTRIBUTION OF DOCUMENTS: Dave Inbody Bend Oil DESCHUTES COUNTY DOCUMENT SUMMARY (NOTE: This form is required to be submitted with ALL contracts and other agreements, regardless of whether the document is to be on a Board agenda or can be signed by the County Administrator or Department Director. If the document is to be on a Board agenda, the Agenda Request Form is also required. If this form is not included with the document, the document will be returned to the Department. Please submit documents to the Board Secretary for tracking purposes, and not directly to Legal Counsel, the County Administrator or the Commissioners. In addition to submitting this form with your documents, please submit this form electronically to the Board Secretary.) Please complete all sections above the Official Review line. Date: /8/30/11/ Department: !Administrative Servicesl Contractor/Supplier/Consultant Name: ~d Oil Co./ Contractor Contact: /Kathy Temp@ Contractor Phone #: 1(541) 330-83561 Type of Document: Fuel Purchasing Price Agreement Goods and/or Services: Bend Oil Co. has agreed to provide Deschutes County with fuel through Pacific Pride and CFN cardlock locations for the set pricing over the wholesale rate (rack rate). Regular unleaded +$0.1624, midgrade +$0.1724, premium +$0.1624, diesel +$0.1724, winterized diesel +$0.2044. This is an extension of the existing agreement. Background &History: An audit of county gas card usage was completed in 2008. This uncovered significant differences in policy between departments and raised questions about our current price agreements. A new fuel purchasing policy was drafted in 2009. In an effort to reduce the cost current paid for fuel, an ITB was released to provide fuel purchases. Bend Oil Co. was the lowest bidder. Agreement Starting Date: 11-1-20111 Ending Date: ~-20121 Annual Value or Total Payment: 1$150,000+1 ~ Insurance Certificate Received check box) Insurance Expiration Date: 05/17/2012 Check all that apply: ~ RFP, Solicitation or Bid Process o Informal quotes «$150K)o Exempt from RFP, Solicitation or Bid Process (specify -see DCC §2.37) Funding Source: (Included in current budget? ~ Yes o No If No, has budget amendment been submitted? 0 Yes o No Is this a Grant Agreement providing revenue to the County? 0 Yes ~ No Special conditions attached to this grant: 8/3li2011 Deadlines for reporting to the grantor: If a new FTE will be hired with grant funds, confirm that Personnel has been notified that it is a grant-funded position so that this will be noted in the offer letter: 0 Yes 0 No Contact information for the person responsible for grant compliance: Departmental Contact and Title: Dave Inbody, Assistant to the County Administrator Phone #: r-[32-2--7-6-9---;7[ Department Director Approval: _----""Q·iL~'--_~--'Jl_---¥--R,.....---_ Signature r Date Distribution of Document: Who gets the original document and/or copies after it has been signed? Include complete information if the document is to be mailed. Official Review: County Signature Required (check one): 0 BOCC 0 Department Director (if <$25K) o Administrator (if >$25K but <$150K; if >$150K, BOCC Order No. _____) Legal Review ~.~ Date 1~1 -tf Document Number DC -20 11-5 7 l~ o'V-t "/ -f f!4,..-U'(IiJ 0 d It ; ~;tI; ;""J'''-I''«-c, (f tl< ' ;?M-~tf&r1 ~J '''''~7r ftc < coz...J.; -;t ,) rJ ;1. tya ~c1 /I/l S"'-/'~ 8/31/20 II FUEL PURCHASING PRICE AGREEMENT This agreement (the "Price Agreement") is entered into as of the January 1,2011 by Deschutes County ("County"), acting by and Bend Oil Company ("Contractor"). The purpose of this agreement is to provide fuel to the County. The County and the Contractor are collectively referred to as the "Parties." Contractor submitted an offer in response to the ITB in strict accordance with the terms and conditions set forth in this Price Agreement. The County has awarded this Price Agreement to Contractor. NOW, THEREFORE, In consideration of the foregoing recitals and subject to the covenants, terms and conditions set forth below the Parties agree as follows: 1. AGREEMENT TO PROVIDE GOODS During the Term of the Price Agreement, Contractor agrees to provide Goods of the kind and quantity requested, at the time and place requested by the County on the terms and conditions set forth in this Price Agreement. 2. TERM OF THE PRICE AGREEMENT: 2.1. The Initial Term of the Price Agreement shall be one (l) year beginning on January 1,2011 and expiring on December 31,2012 unless terminated sooner in accordance with the termination provisions of this Price Agreement. The Price Agreement may be extended one year at a time for up to four (4) additional years by agreement of the parties as set forth below. 2.2. The County shall notify Contractor in writing if the County intends to extend the Price Agreement ("Renewal Notice") at least thirty (30) days prior to the expiration of the then current term. If Contractor consents to the extension, it shall sign and return the Renewal Notice to County within the time period specified therein. If the Contractor does not consent, the Price Agreement shall expire according to its terms, unless earlier terminated. 2.3. Notwithstanding the foregoing, the County reserves the right in its sole discretion to extend the Price Agreement for a maximum of one (1) calendar month beyond any term. County shall notify Contractor in writing of the one-month extension prior to the expiration of the then current term. Consecutive one-month extensions under this Section are not allowed. 3. PRICING, INVOICING AND PAYMENT 3.1. County shall pay the Transaction Price as specified in Attachment B for fuel purchased under this Price Agreement. 3.2. Contractor shall invoice County on a monthly basis or as required as outlined in Attachment A, for the purchased fuel using an invoice format approved by the County. Contractor shall send invoices to the address specified by County. Contractor shall meet other invoicing specifications contained in Attachment A. 3.3. County shall pay Contractor within thirty (30) days after receipt of the invoice. County shall send payment to Contractor at the address specified in the invoice. 3.4. The calculation of the Transaction Price may be adjusted as described in Attachment B. ~A;t'rM I LEGAL COUNSEL Page 1 of 14 DC -2011-57 ! 4. CONTRACTORS REPRESENTATIONS AND WARRANTIES: 4.1. The warranties set forth in this Section and in the VCC, which is incorporated into the Price Agreement and resulting Contracts by reference, are in addition to, and not in lieu of, any other warranties provided in the Price Agreement and any resulting Contract. All warranties provided shall be cumulative, and shall be interpreted expansively so as to afford the County with the broadest warranty protection available. 4.2. The Contractor represents and warrants as follows: 4.2.1. Contractor has the power and authority to enter into and perform the Price Agreement and the resulting Contracts. The Price Agreement, when executed and delivered, shall be a valid and binding obligation of Contractor enforceable in accordance with its terms. 4.2.2. All Goods meet or exceed the specifications set forth in Attachment A and are free from all defects. 4.2.3. All services required to be performed, if any, shall be performed in a good and workmanlike manner, and in accordance with the highest applicable professional or industry standards. 4.2.4. All Goods are free and clear of any liens or encumbrances, and that Contractor has full legal title to the Goods, and that no other person has any right, title or interest in the Goods which shall be superior to or infringe upon the rights granted to the County hereunder. 4.2.5. All Goods provided under this Price Agreement comply with all applicable federal health and safety standards, including but not limited to, Occupational Safety and Health Administration (OSHA), and all Oregon safety and health requirements. 5. TERMINATION OF THE PRICE AGREEMENT: The Parties may terminate the Price Agreement as follows: 5.1. The Price Agreement may be terminated at anytime by mutual written agreement of the Parties. 5.2. The Price Agreement may be terminated by the County at its sole discretion, for its convenience, upon 30 days written notice to the Contractor. 5.3. The County may, at its sole discretion, terminate the Price Agreement upon 30 days written notice to Contractor for the reasons set forth in ORS 2798.140. 5.4. The County may terminate the Price Agreement if Contractor is in default of the Price Agreement or any resulting Contract. 5.5. The Contractor has no unilateral right to terminate the Price Agreement prior to the expiration or termination of the Term of the Price Agreement. 6. DEFAULT: Contractor shall be in default ofthis Price Agreement under the following circumstances: 6.1. Contractor institutes or has instituted against it, insolvency, receivership or bankruptcy proceedings, makes an assignment for the benefit of creditors, or ceases doing business on a regular basis; or 6.2. Contractor no longer holds a license or certificate that is required for Contractor to perform its obligations under this Contract and Contractor has not obtained such license or certificate Page 2 of14 within ten (10) business days after delivery of a notice by the County or such longer period as the County may specify in such notice; or 6.3. Contractor commits any material breach or default of any covenant, warranty, obligation or certification under this Price Agreement and such breach, default or failure is not cured within ten (10) business days after delivery of a notice of default by the County or such longer period as the County may specify in such notice. 6.4. The County is in default of this Price Agreement if the County commits any material breach or default of any covenant, warranty, obligation or certification under this Price Agreement and such breach, default or failure is not cured within thirty (30) Business Days after Contractor's delivery of a notice of default to the County or such longer period as the Contractor may specify in such notice. 7. REMEDIES 7.1. If Contractor is in default under Section 6, the County is entitled to the following remedies: 7.1.1. Recovery of any and all damages suffered as the result of Contractor's default, including but not limited to direct, indirect, incidental and consequential damages, damages as provided in ORS 72.7110 to 72.7170 and damages provided by any other applicable Oregon law. 7.1.2. Termination of this Contract under Section 5.3. 7.1.3. Initiation of an action or proceeding for specific performance or declaratory, injunctive or equitable relief; 7.1.4. Exercise of its right of setoff, and withholding of monies otherwise due and owing. 7.2. These remedies are cumulative to the extent the remedies are not inconsistent, and the County may pursue any remedy or remedies singly, collectively, successively or in any order whatsoever. 8. REPORTS 8.1. Contractor shall provide to the County quarterly reports of sales made under the Price Agreement. ("Volume Sales Reports"). The Volume Sales Reports shall be delivered in Excel format electronically as directed by the County and contain the following information: 8.1.1. Department Name of Purchaser 8.1.2. Card or Account Number 8.1.3. Purchase Order or Transaction Order number 8.1.4. Date Purchased 8.1.5. Type of Fuel Purchased 8.1.6. Gallons Purchased 8.1.7. Price Per Gallon 8.1.8. Total Price for each Transaction 8.1.9. Tax Collected for each Transaction. 8.1.10. Rack Location where Fuel Originated for each Transaction 8.1.11. Associated Rack Rate for Purchase Page 3 of 14 8.2. The County may request more detailed reports on a quarterly or monthly basis. 8.3. Volume Sales Reports are due by the 15th day following the end of each calendar quarter during the Term of the Price Agreement. Calendar quarters end March 31, June 30, September 30 and December 31. THE COUNTY RESERVES THE RIGHT TO TERMINATE THE PRICE AGREEMENT IF CONTRACTOR DOES NOT SUBMIT SALES REPORTS AS SCHEDULED. 9. ACCESS TO RECORDS AND AUDIT RIGHTS 9.1. Contractor shall maintain, retain, and keep accessible all records relevant to the Price Agreement and Contracts (the "Records") for a minimum of six (6) years, or such longer period as may be required by applicable law following expiration or termination of the Price Agreement, or until the conclusion of any audit, controversy or litigation arising out of or related to the Price Agreement, whichever date is later. This period shall be referred to as the "Record Retention Period." Financial Records shall also be kept in accordance with generally­ accepted accounting principles. During the Record-Retention Period, the Contractor shall permit the County, and its duly authorized representatives, access to the Records at reasonable times and places for purposes of examination and copying. 9.2. During the Term of the Price Agreement and the Record Retention Period, the County, at its own expense (except as provided herein), shall have the right to audit Contractor's Records and other pertinent data, to determine and verify the figures reported in any Volume Sales Reports furnished by Contractor. Such audits shall take place during regular business hours, at Contractor's premises, and upon reasonable notice, and shall be conducted by an authorized representative of the County. In the event that any such audit reveals an overpayment Contractor shall immediately pay (i) the amount of deficiency, together with interest thereon at the maximum legal rate in the State of Oregon, and (ii) the reasonable cost of the audit by the County. 10. COMPLIANCE WITH APPLICABLE LAWS AND STANDARDS: The County's agreement to maintain this Price Agreement in effect is conditioned upon Contractor's compliance with the obligations of contractors contemplated under ORS 279B.220, 2798.230 and 2798.235, which are incorporated by reference herein. In addition, Contractor shall comply with all federal, state and local laws, rules, regulations, executive orders and ordinances applicable to the Price Agreement and any resulting Contract, all of which are incorporated herein by reference to the extent applicable. Contractor shall, to the maximum extent economically feasible in the performance of this Price Agreement, use recycled paper as defined in 0 RS 279 A.01 O( 1)(ee) and other recycled plastic resin products and recycled products as "recycled product" is defined in ORS 279A.01 0(1 )(gg). 11. CONFLICT BETWEEN PRICE AGREEMENT AND STATE AND FEDERAL LAW: Federal law applicable to the Price Agreement or Contracts, or both, take precedence over any conflict between that federal law and the Price Agreement or Contracts, or both, and over any conflict between that federal law and the state law applicable to the Price Agreement or Contracts, or both. If federal law does not apply to the Price Agreement or Contract, or both, or applies to the Price Agreement or Contract, or both, and does not conflict with the state law applicable to the Price Agreement or Contract, or both, the state law applicable to the Price Agreement or Contract, or both, takes precedence over any conflict between that State law and the Price Agreement or Contract, or both. Notwithstanding the foregoing order of precedence, if the conflict is between minimum standards for quality, safety or similar attributes ofthe Goods and Services, the higher standards shall apply if not in violation of the applicable federal or state law. Page 4 of 14 12. TIME IS OF THE ESSENCE: Contractor agrees that time is of the essence for Contractor's performance obligations under the Price Agreement and any Contract. 13. FORCE MAJEURE: Neither the County nor Contractor shall be held responsible for delay or default caused by fire, riot, acts of God, war, or any other cause which is beyond the Party's reasonable control. Contractor shall, however, make all reasonable efforts to remove or eliminate such a cause of delay or default and shall, upon the cessation of the cause, diligently pursue performance of its obligations under the Price Agreement. The County may terminate the Price Agreement upon written notice after reasonably determining that such delay or default will likely prevent successful performance of the Price Agreement. 14. INSURANCE: During the Term ofthe Price Agreement, Contractor shall obtain prior to the Effective Date of the Price Agreement, and maintain during the Term ofthe Price Agreement, the insurance required as provided in Exhibit 2. With regard to workers' compensation insurance, all employers, including Contractor, that employ subject workers who work under the Price Agreement in the State of Oregon shall comply with ORS 656.017 and provide the required workers' compensation coverage, unless such employers are exempt under ORS 656.126(2). Contractor shall require and ensure that each of its subcontractors, if any, complies with these requirements. 15. FUNDS AVAILABLE AND AUTHORIZED; PAYMENTS: Contractor understands and agrees that Agency's payment of amounts under this Contract is contingent on Agency receiving funding, appropriations, limitations, allotments or other expenditure authority at levels sufficient to allow Agency, in the exercise of its reasonable administrative discretion, to make payments under this Contract. 16. INDEMNIFICATION: 16.1. CONTRACTOR SHALL DEFEND, SAVE, HOLD HARMLESS, AND INDEMNIFY THE COUNTY AND ITS OFFICERS, EMPLOYEES AND AGENTS FROM AND AGAINST ALL CLAIMS, SUITS, ACTIONS, PROCEEDINGS, LOSSES, DAMAGES, LIABILITIES, AWARDS AND COSTS OF EVERY KIND AND DESCRIPTION (INCLUDING REASONABLE ATTORNEY'S FEES AND EXPENSES AT TRIAL, ON APPEAR AND IN CONNECTION WITH ANY PETITION FOR REVIEW) (COLLECTIVELY, "CLAIM") WHICH MAY BE BROUGHT OR MADE AGAINST THE COUNTY, OR THEIR AGENTS, OFFICIALS, EMPLOYEES AND ARISING OUT OF OR RELATED TO (I) ANY PERSONAL INJURY, DEATH OR PROPERTY DAMAGE CAUSED BY ANY ALLEGED ACT, OMISSION, ERROR, FAULT, MISTAKE OR NEGLIGENCE OF CONTRACTOR, ITS EMPLOYEES, AGENTS, RELATED TO THIS PRICE AGREEMENT, (II) ANY ACT OR OMISSION BY CONTRACTOR THAT CONSTITUTES A MATERIAL BREACH OF THIS CONTRACT, INCLUDING WITHOUT LIMITATION ANY BREACH OF WARRANTY, OR (III) THE INFRINGEMENT OF ANY PATENT, COPYRIGHT, TRADE SECRET OR OTHER PROPRIETARY RIGHT OF ANY THIRD PARTY BY DELIVERY OR USE OF THE GOODS. COUNTY SHALL PROMPTLY NOTIFY CONTRACTOR IN WRITING OF ANY CLAIM THAT THE COUNTY BECOMES AWARE. CONTRACTOR'S OBLIGATION UNDER THIS SECTION SHALL NOT EXTEND TO ANY CLAIM PRIMARILY CAUSED BY (I) THE NEGLIGENT OR WILLFUL MISCONDUCT OF THE COUNTY, OR THEIR AGENTS, OFFICIALS OR EMPLOYEES, OR (II) AGENCY'S MODIFICATION OF GOODS WITHOUT CONTRACTOR'S APPROVAL AND IN A MANNER INCONSISTENT WITH THE PURPOSE AND PROPER USAGE OF SUCH GOODS. Page 5 of 14 1 1 l 1 1 16.2. ATTORNEYS' FEES: Neither party shall be entitled to recover attorney's fees, court and investigative costs, or any other fees or expenses associated with pursuing a remedy for damages arising out of or relating to the Price Agreement. 17. NOTICES: All notices required under the Price Agreement shall be in writing and addressed to the Party's authorized representative. Contractor's authorized representative shall be the individual identified in a notice to the County prior to the Effective Date. Mailed notices shall be deemed received five (5) days after post marked, when deposited, properly addressed and prepaid, into the U.S. postal service. Faxed notices shall be deemed received upon electronic confirmation of successful transmission to the designated fax number. Personal delivery shall be effective upon delivery. 18. GOVERNING LAW, VENUE AND CONSENT TO JURISDICTION: The Price Agreement and any Contract shall be governed by and construed in accordance with the laws of the State of Oregon, without regard to principles of conflicts of laws. To the extent not modified by the terms of this Price Agreement, the UCC shall govern this transaction. 19. SURVIVAL: Any terms of this Price Agreement, which by their context or nature are intended to survive termination or expiration including but not limited to warranty, indemnification, access to records, governing law, venue, consent to jurisdiction, termination and remedies provisions shall survive the termination or expiration of this Price Agreement. 20. SEVERABILITY: If any provision of the Price Agreement is declared by a court of competent jurisdiction to be illegal or otherwise invalid, the validity of the remaining terms and provisions shall not be affected, and the rights and obligations of the parties shall be construed and enforced as if the Price Agreement did not contain the particular provision held to be invalid. 21. ASSIGNMENT/SUBCONTRACT/SUCCESSORS: Contractor shall not assign, sell, transfer, or subcontract rights, or delegate responsibilities under the Price Agreement, in whole or in part, without the prior written approval of the County. Further, no such written approval shall relieve Contractor of any obligations under the Price Agreement, and any assignee, transferee, or delegate shall be considered the agent of Contractor. The provisions of the Price Agreement shall be binding upon, and shall inure to the benefit the parties to the Price Agreement and their respective successors and permitted assigns. 22. MERGER CLAUSE; AMENDMENT; WAIVER: The Price Agreement constitutes the entire agreement between the Parties on the subject matter thereof. There are no understandings, agreements, or representations, oral or written, not specified therein regarding the Price Agreement. No waiver, consent, or amendment of terms of the Price Agreement shall bind either party unless in writing and signed by both parties, and all necessary approvals have been obtained. Waivers and consents shall be effective only in the specific instance and for the specific purpose given. The failure of the County to enforce any provision of the Price Agreement shall not constitute a waiver by the Authorized Purchaser of that or any other provision. 23. NO THIRD PARTY BENEFICIARIES: The County and Contractor are the only parties to this Price Agreement and are the only parties entitled to enforce the terms of this Price Agreement. Nothing in this Price Agreement gives, is intended to give, or shall be construed to give or provide any benefit or right not held by or made generally available to the public, whether directly, indirectly or otherwise, to third persons unless such third persons are individually identified by name herein and expressly described as intended beneficiaries of the terms of this Price Agreement. Page 6 of 14 Contracto By: _---==tr:::"":-OL-.:...O,.~LL..L._______ 24. CERTIFICATION OF COMPLIANCE WITH NON-DISCRIMINATION LAWS: By my signature on this Price Agreement, I hereby attest or affirm under penalty of perjury: that I am authorized to act on behalf of Contractor in this matter, and to the to the best of my knowledge the Contractor has not discriminated against minority, women or emerging small business enterprises in obtaining any required subcontracts, and that the Contractor is not in violation of any Discrimination Laws." 25. SIGNATURE OF CONTRACTOR'S DULY AUTHORIZED REPRESENTATIVE THIS CONTRACT MUST BE SIGNED IN INK BY AN AUTHORIZED REPRESENTATIVE OF THE CONTRACTOR; ANY ALTERATIONS OR ERASURES TO THE OFFER MUST BE INITIALED IN INK BY THE UNDERSIGNED AUTHORIZED REPRESENTATIVE. The undersigned acknowledges, attests and certifies individually and on behalf of the Contractor that: 25.1. He/she is a duly authorized representative of the Contractor, has been authorized by Contractor to make all representations, attestations, and certifications contained in this Contract, if any, issued, and to execute this Price Agreement on behalf of Contractor. 25.2. Contractor is bound by and will comply with all requirements, Specifications, and terms and conditions contained in this Price Agreement (including all listed attaclunents and Addenda, if any, issued 25.3. Contractor will furnish the designated Goods in accordance with the Price Agreement Specifications and requirements, and will comply in all respects with the tenns of the resulting Contract upon award; and 25.4. CONTRACTOR WILL PROVIDE/FURNISH FEDERAL EMPLOYEE IDENTIFICATION NUMBER OR SOCIAL SECURITY NUMBER WITH OFFER. For Contractor: For County: Bend Oil / Central Petroleum Deschutes County 913 NE First St. 1300 NW Wall Street Bend, Oregon 97701 Bend, Oregon 97701 Attention: Robb Nordby Attention: Erik Kropp Phone: (541) 382-4751 Phone: (541) 388-6584 Fax: (541) 382-4905 Fax: (541) 385-3202 Deschutes County hereby accepts Contractor's offer and awards a Price Agreement to the above item(s) and/or service(s) designated as Item No.1 through 5 CONTRACTOR Title: _---+-])_flt_S_,o_Jr_____Date: ~,.~J ; II COUNTY By: ______________Title: ___________.Date: ___ Page 7 of 14 ATTACHMENT A: SPECIFICATIONS 1. SERVICE: Bidders are required to submit with their Bids detailed information about service facilities, locations, and procedures, including, but not limited to, the following: 1.1. Current contacts and telephone numbers, fax numbers with after-hour telephone numbers (if available), for each service facility in Oregon. 1.2. Contact Person: The apparent successful Bidder shall designate one or more persons(s) to act as Bidder's authorized representative and Contract Administrator under the Contract to be awarded. The name, address, and telephone number(s) of such person shall be provided to Deschutes County contact within ten (10) calendar days of notification of award. 1.3. Training: The Contractor shall provide training of customer personnel in the proper dispensing of flammable liquids and fire safety training in accordance with OAR 837-20-055. The Contractor shall comply with the current and future regulations in this area. 2. TECHNICAL SPECIFICATIONS: 2.1. Contractor shall supply to the County new original issued cards as requested at no cost to the County. 2.2. The County may be charged by the Contractor for the replacement of lost or stolen cards. 3. HOURS OF OPERATION: The Commercial fueling site shall be available 24 hours-per-day, every day of the year. 4. ENVIRONMENT AL CONDITIONS: The site shall be well lit, clean and be in an open area as to provide a safe environment for 24-hour use by customers drivers. The site shall have functional fire extinguishers (that meet state, and/or local fire marshal requirements), shall post emergency phone numbers for use in case of problems, and shall provide locally-owned pay telephones and/or emergency telephones. 5. FUELS: The Contractor shall provide a site that will be a functional Commercial Fueling system for the purchase of Regular Unleaded gasoline, Midgrade Unleaded gasoline, Premium Unleaded gasoline, Ultra Low Sulfur Diesel #2 and Winterized Diesel motor fuels and shall meet the following requirements: 5.1. All motor fuels shall be free from impurities including, but not necessarily limited to, water, dirt, harmful oils, fibrous material, and other petroleum products or contaminants. 5.2. In case of damage directly traceable to a contaminated motor fuel at the site, the Contractor shall be responsible for the damage costs. 5.3. Underground storage tanks shall comply with current and future federal and state regulations. 5.4. All Goods shall comply with applicable industry and government standards, specifications and American Society of Testing and Materials (ASTM) Standards at the time of bid closing. Contractors shall also be required to meet all industry and governments standards as they are updated. 5.4.1. Regular Unleaded Gasoline shall have a minimum of 87 Octane. 5.4.2. Midgrade Unleaded Gasoline shall have a minimum of 89 Octane. 5.4.3. Premium Unleaded Gasoline shall have a minimum of 91 Octane. 5.4.4. Ultra Low Sulfur Diesel #2 shall have a cetane rating from 40 to 45. Page 8 of 14 I j 5.4.5. Winterized Diesel shall be used in the months of October through March to a Cloud 1 I Point not higher than six (6) degrees Celcius above the tenth percentile minimum ambient temperature for the area in which the fuel is sold. 5.5. Fuel Availability: The Contractor shall maintain, adequate supplies of regular unleaded gasoline, midgrade unleaded gasoline, premium unleaded gasoline and diesel motor fuels to meet customer needs; however, the requirement of adequate supply shall be excused by strikes or lockouts, inability to obtain motor fuel beyond the control of Contractor, governmental regulations or controls, Acts of God, or other causes beyond the reasonable control of the Contractor. 6. SITE LOCATIONS: The purpose of the Contract shall be to supply commercial fueling sites primarily in Deschutes County. 6.1. The Contractor that is awarded this Contract shall have commercial fueling sites in the following cities: Bend, Redmond, Sisters and La Pine. 6.2. Additionally, commercial fueling sites are strongly encouraged in the following cities: Portland, Eugene, Salem, Madras and Prineville. 6.3. Contractor shall provide, prior to award, a complete list of all site locations available for use by County including those listed above. 7. KEY/CARD DEVICE INVALIDATION LIABILITY: The Contractor shall be responsible for purchases at any of its commercial fueling sites, after twenty-four (24) hours has expired following notification of an invalidation. County shall be responsible for purchases in the first twenty-four (24) hours after notification of an invalidation. 8. INVOICING: 8.1. The Contractor's invoicing system shall meet the accounting system in use by Deschutes County. 8.2. The Contractor shall transmit sales and billing information as required by the County. 8.3. The Contractor shall allow flexibility in their billing frequency for the County (i.e. weekly, bi­ weekly or monthly). 8.4. The Contractor shall invoice by card, department or a single invoice, as required by the County. 9. VALID VEHICLES: Purchase charges for valid cards shall be paid by the County. Any charge not corresponding to a valid cards shall be deducted from the billing and the Contractor shall be notified. 10. OPIS Pricing: Contractor shall provide a website where County can access the daily OPIS pricing to assist them in verifYing their invoices. The daily OPIS pricing shall be updated on the website on a weekly basis. Contractor shall also make available to the County a complete electronic listing of all daily OPIS pricing for the entire Contract period if requested. Page 9 of 14 ATTACHMENT B: PRICING AND PRICE ADJUSTMENTS 1. DEFINITIONS RELATING TO PRICING 1.1. Applicable Rack means the Rack from which the Goods sold to the County were acquired by the Contractor. 1.2. Contractor Markup shall mean the markup as bid by the Contractor. The Contractor Markup shall be inclusive of (i) all direct, indirect, fixed or variable costs and fees of any type or description incurred by Contractor including transportation, labor, and administrative fees, and (ii) overhead and profit. 1.3. OPIS Daily Index Price shall mean the Closing! End of Day Branded or Unbranded Average Price as published by OPIS for Goods in each Bid Item category for the Applicable Rack for the previous calendar day. 1.4. Contract Price means the price calculated by adding (a) the OPIS Daily Index Price (previous day closing price), for the Good purchased on the date of the transaction for the Applicable Rack and (b) the appropriate Contractor Markup and multiplying the sum of these components by the number of units purchased.. No other costs, fees or other charges shall be added by the Contractor in determining the Contract Price. 1.5. Tax Component means applicable federal, State and local taxes applicable to the transaction for which the County is not exempt. 2. PRICING: The Contractor is entitled to receive the Transaction Price for fuel purchased by the County. The Transaction Price shall be the sum ofthe Contract Price and the Tax Component. No other costs, fees or charges shall be added by the Contractor in determining the Transaction Price. Fuel Type Contractor Markup 1. R~lar Unleaded $ 0.1624 2. Midgrade Unleaded I $ 0.1724 I 3. PremlUm Unleaded $ 0.1624 4. Ultra Low Sulfur Diesel #2 $ 0.1724 5. Winterized Diesel $ 0.2044 3. PRICING ADJUSTMENT: The Contract Price for Goods may be increased or decreased during the Term of the Contract only as set forth hereafter. 3.1. The OPIS Daily Index Price for all Applicable Racks may increase or decrease on a daily basis during the Term of the Price Agreement based solely on the change of the OPIS Daily Index Price as published by the Oil Pricing Information Service. 3.2. At any time during the Term of the Price Agreement, Contractor shall be entitled to an increase in the Tax Component reflecting (i) new, increased or additional federal, State or local taxes that take effect after the Closing (ii) for which some or all Authorized Purchasers are not exempt. To obtain this increase, Contractor shall submit written notification to the County, including all appropriate documentation and information relating to the tax increase. The increase shall be collected from the County, if not exempt, from the tax beginning on the effective date of the tax as implemented by the applicable governmental entity. THERE SHALL BE NO RETROACTIVE COLLECTION OF TAXES UNDER THIS SECTION. The Contractor shall also submit in writing to the County, notice of a decrease in the Contractor Markup reflecting any reductions in such taxes. Page lO of14 3.3. The Contractor Markup may be adjusted only in connection with the renewal of the Price Agreement pursuant to Section 3. Any adjustment shall be based solely upon documented increases in costs to the Contractor. The County reserves the right in its sole discretion to determine whether to agree to a price increase for an Extension Term. It further reserves the right to require additional documentation, or to independently verify the basis for and validity of any proposed price increase utilizing its internal price review and analysis protocols. The County may accept or reject the requested increase or offer some lesser amount. In the event the County offers some compromise amount or rejects the requested price increase, Contractor may elect to agree to the proposed Extension Term under those conditions, or allow the Price Agreement to expire. However, Contractor has no right to receive, or claim for failure to receive, a price increase for any Extension Term. Approved price increases shall be firm for the duration of the applicable Extension Term, Provided, however, no more than one price increase shall be allowed during any twelve-month period regardless of the number of Extension Terms entered into during that time. 4. MISCELLANEOUS PROVISIONS 4.1. It is understood and agreed by Contractor that Rack locations and prices can be removed from and added to the OPIS publication by the publishing company without affecting the procedure for price computation. In the event that the Rack location that is being used for pricing is removed a substantially similar location will be used. 4.2. If it appears that an error has occurred in any OPIS Daily Index Price, the County shall contact the publisher for clarification. 4.3. Contractor shall provide a website where the County can access the OPIS Daily Index Price to assist them in verifYing their invoices. Contractor shall also make available to the County a complete electronic listing of all OPIS Daily Index Prices for the Term of the Contract if requested. 4.4. The County reserves the right to add additional fuel types to the awarded Price Agreement as required. Additional fuel types at any given location, may be added to the Price Agreement by mutual consent of Contractor and the County. 5. MOST FAVORABLE PRICES AND TERMS 5.1. Contractor represents that all prices, terms and benefits offered by Contractor under this Price Agreement are equal to or better than the equivalent prices, terms and benefits being offered by Contractor to any other state or local government unit or commercial customer. 5.2. Should Contractor, during the Term of the Agreement, enter into any contract, agreement or arrangement that provides lower prices, more favorable terms or greater benefits to any other such government unit or commercial customer, this Price Agreement shall thereupon be deemed amended to provide the same price or prices, terms and benefits to the County. This provision applies to comparable Goods and services, and to purchase volumes by the County that are not less than the purchase volumes of the government unit or commercial customer that has received the lower prices, greater benefits or more favorable terms. 5.3. Section 5.2 does not apply to donations of Goods to charitable, nonprofit or government entities, if the donations are recognized as such and are deductible under the federal Internal Revenue Code, shall not be considered contracts, agreements, sales or arrangements with other government units or commercial customers that call for the application of section 5.2. Page 11 of 14 ATTACHMENT C: DESCHUTES COUNTY SERVICES CONTRACT INSURANCE REQUIREMENTS Contractor shall at all times maintain in force at Contractor's expense, each insurance noted below. Insurance coverage must apply on a primary or non-contributory basis. All insurance policies, except Professional Liability, shall be written on an occurrence basis and be in effect for the term of this contract. Policies written on a "claims made" basis must be approved and authorized by Deschutes County. Contractor Name Bend Oil Company I Central Petroleum Inc. Workers Compensation insurance in compliance with ORS 656.017, requiring Contractor and all subcontractors to provide workers' compensation coverage for all subject workers, or provide . certification of exempt status. Employer's Liability Insurance with coverage limits of not less \. than $500,000 must be included. Professional Liability insurance with an occurrence combined single limit of not less than: Per Occurrence limit Annual Aggregate limit o $500,000 0 $500,000 o $1,000,000 0 $1,000,000 o $2,000,000 0 $2,000,000 Professional Liability insurance covers damages caused by error, omission, or negligent acts related to professional services provided under this Contract. The policy must provide extended reporting period coverage, sometimes referred to as "tail coverage" for claims made within two years after this contract is completed. o Required by County I:&l Not required by County (one box must be checked) Commercial General Liability insurance with a combined single limit of not less than: Per Single Claimant and Incident All Claimants Arising from Single Incident IXl Oregon Tort Claims Act limits IX! Oregon Tort Claims Act limits o $1,000,000 0 $2,000,000 o $2,000,000 0 $3,000,000 Commercial General Liability insurance includes coverage for personal injury, bodily injury, advertising injury, property damage, premises, operations, products, completed operations and contractual damages. The Oregon Legislature has adopted legislation which establishes tort claims limits for actions against local public bodies, including their officers, agents and employees. The tort claims act limits are automatically adjusted on July 1 every year. By separate endorsement, the policy shall name Deschutes County, its officers, agents, employees and volunteers as an additional insured. The additional insured endorsement shall not include declarations that reduce any per occurrence or aggregate insurance limit. The contractor shall provide additional coverage based on any outstanding claim(s) made against policy limits to ensure that minimum insurance limits required by the County are maintained. Construction contracts may include aggregate limits that apply on a "per location" or "per project" basis. IX! Required by County o Not required by County (One box must be checked) Page 10f 2 Automobile Liability insurance with a combined single limit of not less than: Per Occurrence o $500,000 o $1,000,000 o $2,000,000 Automobile Liability insurance includes coverage for bodily injury and property damage resulting from operation of a motor vehicle. Commercial Automobile Liability Insurance shall provide coverage for any motor vehicle (symbol 1 on some insurance certificates) driven by or on behalf of Contractor during the course of providing services under this contract. Commercial Automobile Liability is required for contractors that own business vehicles registered to the business. Examples include: plumbers, electricians or construction contractors . An Example of an acceptable personal automobile policy is a contractor who is a sole proprietor that does not own vehicles registered to the business. o Required by County [:&l Not required by County (one box must be checked) Additional Requirements. Contractor shall pay all deductibles and self-insured retentions. A cross­ liability clause or separation of insured's condition must be included in all commercial general liability policies required by this Contract. Contractor's coverage will be primary in the event ofloss. Certificate of Insurance Required. Contractor shall furnish a current Certificate of Insurance to the County with the signed Contract. The Certificate shall provide that there shall be no cancellation, termination, material change, or reduction oflimits of the insurance coverage without at least 30 days written notice from the Contractor's insurer to the County. The Certificate shall also state the deductible or, if applicable, the self-insured retention level. For commercial general liability coverage, the Certificate shall also provide, by policy endorsement, that Deschutes County, its agents, officers, employees and volunteers are additional insureds with respect to Contractor's services provided under this Contract. The endorsement must be in a format acceptable to Deschutes County. Ifrequested, complete copies of insurance policies shall be provided to the County. Risk Management review Date ~ Page 20f 2 -------------------------- ATTACHMENT D: DESCHUTES COUNTY SERVICES CONTRACT CERTIFICATION STATEMENT FOR CORPORATION OR INDEPENDENT CONTRACTOR NOTE: Contractor Shall Complete A or B in addition to C below: A. CONTRACTOR IS A CORPORATION, LIMITED LIABILITY COMPANY OR A PARTNERSHIP. alty of perjury that Contractor is a [check one]: . Liability Company 0 Partnershi~uthofized to do business in the State of Oregon . ----':j.......-=-=¥\4~'_'___\_-.________ ~Jy4: t , '\.r , I Title Date B. CONTRACTOR IS A SOLE PROPRIETOR WORKING AS AN INDEPENDENT CONTRACTOR. Contractor certifies under penalty of perjury that the following statements are true: 1. If Contractor performed labor or services as an independent Contractor last year, Contractor filed federal and state income tax returns last year in the name of the business (or filed a Schedule C in the name of the business as part of a personal income tax return), and 2. Contractor represents to the public that the labor or services Contractor provides are provided by an independently established business registered with the State of Oregon, and 3. All of the statements checked below are true. NOTE: Check all that apply. You shall check at least three (3) -to establish that you are an Independent Contractor. A. The labor or services I perform are primarily carried out at a location that is separate from my residence or primarily carried out in a specific portion of my residence that is set aside as the location of the business. B. I bear the risk ofloss related to the business or provision of services as shown by factors such as: (a) fixed-price agreements; (b) correcting defective work; (c) warranties over the services or (d) indemnification agreements, liability insurance, performance bonds or professional liability insurance. C. I have made significant investment in the business through means such as: (a) purchasing necessary tools or equipment; (b) paying for the premises or facilities where services are provided; or (c) paying for licenses, certificates or specialized training. D. I have the authority to hire other persons to provide or to assist in providing the services and if necessary to fire such persons. ___--..-..,.1 year I perform labor or services for at least two different persons or entities or I TO ineiy engage in business advertising, solicitation or other marketing efforts easona ly calculated to obtain new contracts to provide similar services. )~ ~r~~r ll Date Page 10f 2 equi (1 subcontracts. C. Representation and Warranties. Contractor certifies under penalty of perjury that the following statements are true to the best of Contractor's knowledge: 1. Contractor has the power and authority to enter into and perfonn this contract; 2 . This contract, when executed and delivered , shall be a valid and binding obligation of Contractor enforceable in accordance with its tenns; 3. The services under this Contract shall be perfonned in a good and workmanlike manner and in accordance with the highest professional standards; and 4. Contractor shall, at all times during the tenn of this contract, be qualified, professionally competent, and duly licensed to perfonn the services. 5. To the best of Contractor's knowledge, Contractor is not in violation of any tax laws described in ORS 305.380(4), 6. Contractor understands that Contractor is responsible for any federal or state taxes applicable to any consideration and payments paid to Contractor under this contract ; and as not discriminated against minority, women or small business enterprises in obtaining Date Page 20f 2 ATTACHMENT E: Workers' Compensation Exemption Certificate (To be used only when Contractor claims to be exempt from Workers' Compensation coverage requirements) Contractor is exempt from the requirement to obtain workers' compensation Insurance under ORS Chapter 656 for the following reason (check the appropriate box): D SOLE PROPRIETOR • Contractor is a sole proprietor, and • Contractor has no employees, and • Contractor shall not hire employees to perfonn this contract. • CORPORATION -FOR PROFIT • Contractor's business is incorporated , and • All employees of the corporation are officers and directors and have a substantial ownership interest* in the corporation, and • The officers and directors shall perfonn all work. Contractor shall not hire other employees to perfonn this contract. D CORPORATION -NONPROFIT • Contractor' s business is incorporated as a nonprofit corporation , and • Contractor has no employees; all work is perfonned by volunteers, and • Contractor shall not hire employees to perfonn this contract. D PARTNERSHIP • Contractor is a partnership, and • Contractor has no employees, and • All work shall be perfonned by the partners; Contractor shall not hire employees to perfonn this contract, and • Contractor is not engaged in work perfonned in direct connection with the cons truction , alteration , repair, improvement, moving or demolition of an improvement to real property or appurtenances thereto. D LIMITED LIABILITY COMPANY • Contractor is a limited liability company, and • Contractor has no employees, and • All work shall be perfonned by the members; Contractor shall not hire employees to perfonn this contract, and • If Contractor has more than one member, Contractor is not engaged in work perfonned in direct connection with the construction, alteration, repair, improvement, moving or demolition of an improvement to real property or appurtenances thereto . *NOTE : Under OAR 436-050-0 50 a shareho lder has a "substantial ownership" interest if the shareholder own s 10% of the corporation or, if less than 10% is owned , the shareholder has ownership that is at least equal to or greater than the a verage percentage of ownership of all shareholders. "NOTE: Under certain circumstances partnerships and limited liability co m ani es can claim an exemption even when performing construction wo rk . The requirement s for this exemption are complicated. W Ith County ou 'I before an exemption request is accepted from a contractor who shall perform con struction work . Contractor Printed Name ture Contractor Title Date DATE (MMIDDIYYYYJCERTIFICATE OF LIABILITY INSURANCE 12/07/2011 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 BElWEEN THE ISSUING INSURER(Sl, AUTHORIZED REPRESENTATIVE OR PRODUCER, AND THE CERTIFICATE HOLDER. IMPORTANT: Ifthe certificate holder is an ADDITIONAL INSURED, the policy(ies) must be endorsed. If SUBROGATION IS WAIVED, subjectto 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 s). PRODUCER Lumbermens Insurance / RiskPoint Ins Advisors 1.382.2421 965 SW Emkay Drive PO Box 940 ,::~~~~R9?709,..,........................., , ....................................................,....................................................,....................,.... I;~~~~~·~;..~: ..jE~iM~:C~U·~If:n;~s~iu~r~:a~n~~c~~e;Q~~~~:~~~~ es;'" .,... .. Bend Oil Inc. DBA: Central Petroleum Services, Inc Nordby & Raper Inc. PO Box 7437 Bend, OR 97708 INSURERF: COVERAGES CERTIFICATE NUMBER: MASTER CERT 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 i TYPE OF INSURANCE POLICY NUMBER POLICYEF~T ..poijcY ..EXP'T·.. LIMITS , GENERAL LIABILITY 4X6108 09/26/2011 09/26/2012 r:E,~£f:i....~£U!'l~f>l~ ..... ,.......l~.....,J!.9,Q9...,C?() . .. ~LC<J.~MERCIAL GENERAL LIABILITY :~~..~~~~~~~:~~(~I!J:gj..+.~...~I)OLC?()() .J CLAIMS-MADE L!J OCCUR _~'? EXP..lAny o.!'!})e_~".L_+:..._......::I,(lt.()Q9 A , ... '..._....,__...~ERSO":l..~L~py...'.N..:l'::'~~__.p_.. _...JJQQ()IQ.9 GEN'L AGGREGATE LIMIT APPLIES PER r::~::;~:~~:::~~~~;;-t:·~J~~~'ri~()· X POLICY r 1 ~~&i LOC r-r$ .. . ...........• ... .......... , ........m •• AUTOMOBILE LIABILITY · X ANY AUTO ALL OWNED AUTOS A SCHEDULED AUTOS NON·OWNED AUTOS : UMBRELLA LlAB .... "~ ~'.-i · I EXCESS LlABA .'......... ,........... "........_, ......... DEDUCTIBLE RETENTION $ · WORKERS COMPENSATION ;'1AND EMPLOYERS' LIABILITY YIN i ANY PROPRIETORIPARTNERlEXECUTlVE 0 ! • OFRCERIMEMBER EXCLUDED? .i N I A I (Mandatory In NHI ! If e51 describe under ' S RIPTION PERA N I I 09/26/2012 COMBINED SINGLE LIMIT (Ea accident) BODilY INJURY (Per person) $ ... E.,.~:.. §.Ac:.H_,,(;(;IP5.~.............+..s... _ .E:l.:cQl.SEA5.§...§!'. EMP~Cl~ ~. E,L DISEASE POLICY LIMIT $ 1,.()()() , 000 ESCRJPIIPN OF 0PEP,/ITjONS I a.OCATIONS IYfil1.lCLI'S (AtWeh ACORD l~~A<Witional Remarks ~hedule.11 'llWe.space Is require<;!)ertltlcateh~lder 1S an Addltlonal Insureu tor General Llabl11ty per Cfj7411 endorsement as respects uel purchaslng agreement. CERTIFICATE HOLDER CANCELLATION Deschutes County 1300 NW Wall Street, #200 Be"d , OR 97701 SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE THE EXPIRATION DATE THEREOF, NOTICE WILL BE DELIVERED IN ACCORDANCE WITH THE POLICY PROVISIONS. AUTHORIZED REPRESENTATIVE if~'Nl.{ 'j1f,'n"aw~...,..(_ Jeanne McCausland~JMCCA ® 1988-2009 ACORD CORPORATION. All rights reserved. ACORD 25 (2009/09) The ACORD name and logo are registered marks of ACORD I COMMERCIAL GENERAL. LIABILITY THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY. BLANKET ADDITIONAL INSURED This endorsement modifies the insurance provided under the following: COMMERCIAL GENERAL LIABILITY COVERAGE PART A. SECTION II -WHO IS AN INSURED is amended to include as an additional insured any person or organization when you and such person or organization have agreed in writing in a contract or agreement that such person or organization be added as an additional insured on your policy. Such person or organization is an additional insured only with respect to liability for "bodily injury", "property damage" or "personal and advertising injury" caused, in whole or in part, by your acts or omissions or the acts or omissions of those acting on your behalf: 1. In the performance of your ongoing operations; or 2. In connection with your premises owned or rented to you. B. The limits of insurance applicable to the additional insured are those specified in the Declarations of this policy or in the written contract or written agreement, whichever is lower. These limits of insurance are inclusive of and not in addition to the limits of insurance shown in the Declarations. C. Any coverage provided hereunder shall be excess over any other valid and collectible insurance available to the additional insured whether that insurance is primary, excess, contingent or on any other basis, unless you and the additional insured have specifically agreed in a written contract or written agreement that this insurance be primary. When coverage is provided on a primary basis we will not seek contribution from any other insurance available to the additional insured if a written contract or written agreement requires that this insurance be noncontributory. D. All other terms and conditions of this policy remain unchanged. CG7411 (6-06) Includes copyrighted material of ISO Propertles,lnc. with Its permission. Page 1 of 1