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HomeMy WebLinkAboutExhibitASSIGNMENT AND ASSUMPTION AGREEMENT This ASSIGNMENT AND ASSUMPTION AGREEMENT (the "Agreement") is dated as of this 3rd day of August 2010 and is entered into by and between Florida Power & Light Company, a.Florida corporation ("Assignor"), FPL Services; LLC, a Florida limited liability company (the "Assignee"), and City of Miami, a Florida Municipal Corporation ("Customer"). RECITALS: A. WHEREAS, Assignor and Customer entered into a MASTER AGREEMENT FOR DEMAND SIDE MANAGEMENT AND ENERGY EFFICIENCY SERVICES, effective December 7, 2004 (the "Agreenzent" ); and B. WHEREAS, Assignor has agreed to assign all of its rights and obligations under the Agreement to Assignee and Assignee has agreed to accept and assume from Assignor such rights and obligations; and C. WHEREAS, Customer consents to the assignment from Assignor to Assignee. AGREEMENT: NOW THEREFORE, the parties hereby agree as follows: 1, The Assignor hereby assigns; transfers, conveys and sets over to the Assignee, all right, title and interest of the Assignor in the rights under the Agreement (collectively; the "Assigned Rights"). The Assignor hereby delegates, transfers, conveys and sets over to the Assignee all duties, liabilities and obligations under the Agreement (collectively; the "Delegated Duties"). 2. The Assignee hereby unconditionally acquires, assumes and accepts the Assigned Rights and the Delegated Duties. 3. The provisions of this Agreement are for the exclusive benefit of the parties hereto and no other party_ (including without limitation any creditor of any party hereto) shall have any right or claim against any party hereto by reason of those provisions or be entitled to enforce any of those provisions against any party hereto. 4. This Agreement shall be governed by and construed in accordance with the substantive laws of the State of Florida. without regard to its conflict of laws rules. 5. This Agreement shall inure to the benefit of and be legally binding upon all successors and assigns of the parties hereto. 6. No amendment or modification of this Agreement shall be effective urdess made in writing and signed by the parties hereto. 7. If any provision of this Agreement is held to be illegal, invalid, or unenforceable under present or future laws, such provision shall be fully severable; this Agreement shall be construed and enforced as if such illegal, invalid or unenforceable provision had never comprised a part of the Agreement; and the remaining provisions of the Agreement shall remain in full force and effect and shall not be affected by the illegal, invalid, or unenforceable provision or by its severance from the Agreement. Furthermore; in lieu of such illegal, invalid or unenforceable provision, there shall be added automatically as a part of this Agreement a provision as similar in its terms to such illegal, invalid or unenforceable provision as may be possible and be legal, valid and enforceable. 8. This Agreement may be executed in counterparts; each of which shall be deemed an original, but all of which together shall constitute one and the same instrument. 9. This Agreement constitutes the entire fmal understanding and agreement of the parties hereto with respect to its subject matter, and there are no agreements, understandings,. restrictions, representations or warranties among the parties other than those set forth in this Agreement. IN WITNESS WHEREOF, the Assignor and the Assignee have each caused their duly authorized representative to execute this Agreement where indicated below. [Signatures on following page] . Assignor: Florida Power & Light Company By: Name: Sam Forrest Title: VP Energy Marketing & Trading Assignee: FPL Services, LLC By: aL= Name: Greg Hanlon Title: VP & GM FPL Services Customer: City of Miami, a Florida Municipal Corporation Name: Title: ASSIGNMENT AND ASSUMPTION AGREEMENT WITH FLORIDA POWER AND LIGHT COMPANY AND FPL SERVICES, LLC CITY OF MIAMI, a municipal Corporation of the State of Florida CARLOS A. MIGOYA CITY MANAGER ATTEST: PRISCILLA A. THOMPSON CITY CLERK APPROVED AS TO INSURANCE REQUIREMENTS GARY RESHEFSKY RISK MANAGEMENT APPROVED AS TO FORM AND CORRECTNESS JULIE 0. BRU CITY ATTORNEY SUPPLEMENTAL AGREEMENT NO, 1 SCHEDULE A DESIGNATION OF SERVICE LOCATIONS Pursuant to Supplemental Agreement No. 1 dated as of —day of , 2010, between FPL Services, LLC (the "Company") and City of Miami (the "Customer") (the "Supplemental Agreement"), the Customer hereby designates the following Service Location(s) of the Customer for purposes of Services to be provided by the Company pursuant to the Supplemental Agreement: City Hall, 3500 Pan American Drive Police N District Substantiation, 1050 NW 62nd Street Manuel Artime Comm. Ctr. 970 SW 1 I Street Police S District Substation, 2200 W Flagler Street Fire -Rescue Station #1,144 NE 5th Street Manuel Artime Comm Center Theater, 900 SW 1 I Street Executed this day of , 2010 by: THE CUSTOMER: City of Miami Carlos A. Migoya City Manager Approved as to insurance requirements: Gary Reshefsky, Interim Director Risk Management Division, c3chedu1e_A_Name» Attest: Priscilla A. Thompson City Clerk Approved as to legal form and correctness: Julie O. Bru City Attorney SUPPLEMENTAL AGREEMENT NO. 1 SCHEDULE E CONSTRUCTION AND IMPLEMENTATION ORDER THIS SCHEDULE E (this "Schedule") for the Service Location(s) set forth in Schedule A is made and entered into as of the 3rd day of August, 2010, by and between FPL SERVICES, LLC (the "Company") and the City of Miami (the "Customer') (the Company and the Customer each being referred to herein individually as a "Party" and collectively as the "Parties"), with reference to the following: RECITAL This Schedule is entered into pursuant to that certain Master Agreement for Demand Side Management and Energy Efficiency Services dated as of December 7, 2004, between the Company and the Customer (the "Master Agreement") and the Service Location(s) set forth in Schedule A dated as of August 3, 2010, also between the Company and the Customer (the "Supplemental Agreement"). Capitalized terms used herein without other definition shall have the meanings set forth in the Master Agreement. The terms of the Master Agreement, the Supplemental Agreement and all Appendices to this Schedule E are incorporated by reference into this Schedule E. NOW, THEREFORE, in consideration of the mutual promises and agreements set forth herein and in the Master Agreement, the Parties, intending to be legally bound, hereby agree as follows: 1. Construction and Implementation Services. The Customer hereby requests the Company to construct and install each approved ECO identified in Appendix I attached hereto, in accordance with the final accepted Design Document prepared by the Company pursuant to City of Miami Phase 1 IGA. The Company agrees to perform such Services for the compensation set forth herein, subject to the terms and conditions of the Master Agreement. Further detailed specifications, if any, agreed upon by the Parties with respect to the Services to be performed by the Company «Schedule E Name» hereunder (including, but not limited to, the designation of one or more Implementation Contractors approved by the Customer) are set forth in Appendix II attached hereto. Additional terms and conditions, if any, with respect to the Services. to be performed by the Company hereunder or the approved ECOs to be constructed and installed pursuant to this Schedule are set forth in Appendix III attached hereto. 2. Customer Cooperation. The Customer shall use reasonable efforts to assist the Company in performing the Services contemplated by this Schedule, including providing reasonable access to the Customer's Service Location(s), providing information concerning the Service Location(s), making appropriate Customer personnel available if requested by the Company to assist the Company in performing such Services, and taking any other actions the Company may reasonably request from time to time to achieve the purposes and intent of this Schedule and the Master Agreement. 3. Inspections and Final Acceptance. During the performance of Services under this Schedule, the Customer shall have the right to inspect the work of the Company or any Implementation Contractor at any time upon reasonable prior notice. Upon completion of construction and installation of each ECO, the Parties shall conduct a final inspection and if the work is found to be substantially complete, the Customer shall execute and return to the Company a Schedule F (Certificate of Final Acceptance) of the Supplemental Agreement for each such completed ECO, within twenty (20) days following receipt by the Customer of a notice of substantial completion from the Company. If, upon inspection by the Customer, the work is not found to be substantially complete, or if any material defect or deficiency exists, then the Customer shall so notify the Company in writing within such twenty (20) -day period, and the Company shall promptly perform any necessary corrections and repairs. When the Company has completed such corrections and repairs, it shall again issue a notice of substantial completion to the Customer, and the foregoing procedure shall be repeated until such time as the Customer shall execute and return a Schedule F;rop vided, however, that a failure of the Customer to respond altogether within any such twenty (20) - day period following the receipt of a notice of substantial completion from the Company shall be deemed, for the purposes of this Schedule, to constitute an issuance by the Customer of a Schedule F with respect to the ECO of which the Customer has been given notice. 4. Training. If applicable pursuant to the Master Agreement, the Company shall provide on-site training for a reasonable number of the Customer's operating personnel with respect to completed ECOs, and the Customer shall assist in such training, all as more fully specified in Appendix II. Unless otherwise provided in Appendix ll, such training shall be conducted with respect to an ECO following the Final Acceptance Date of the ECO. 5. Price and Payment. 5.1 Schedule E Price. The Customer shall pay to the Company the sum of $783,539.00 for all Services performed by the Company pursuant to this Schedule. The Schedule E Price is the full compensation for such Services and includes all federal, state and local taxes, if any, including sales, use and excise taxes, assessed with respect to the Services or with respect to the furnishing of equipment and materials hereunder. 5.2. Company Provided Financing. Not Applicable. 5.3 Assignment and Assumption Agreement, Demand Side Management Agreement. The following documents are to be deemed exhibits to the Master Agreement for Demand Side Management and Energy Efficiency Services effective December 7, 2004 between Florida Power and Light Company and the City of Miami, assigned to FPL Services, LLC pursuant to the Assignment and Assumption Agreement of August 3, 2010: 5.3.1. Supplemental Agreement #1 Schedule A: Designation of Service Locations 5.3.2 Supplemental Agreement #1 Schedule E: Construction and Implementation Order 5.3.3 Supplemental Agreement #1 Schedule E: Appendix I — Approved ECOs 5.3.4 Supplemental Agreement #1 Schedule E: Appendix II — Service Specifications 5.3.5 Supplemental Agreement #1 Schedule E. Appendix III — Draw Schedule 5.3.6 Supplemental Agreement #1 Schedule E: Appendix IV — Preliminary Construction Schedule 5.3.7 Supplemental Agreement #1 Schedule E: Appendix V Construction Cancellation Schedule 5.3.8 Supplemental Agreement #1 Schedule E: Appendix VI — Special Terms and Conditions for City of Miami EECBG Award 5.4 Invoices. Notwithstanding any contrary term in Section 3.09 of the Master Agreement, all invoices shall be submitted to: Ajani Stewart, Environmental Coordinator Office of Sustainable Initiatives City of Miami 444 SW 2"d Ave, 5`h Floor Miami. FL 33130 6. Disclaimer of Warranties. The Customer acknowledges and agrees that the Company makes no representation or warranty of any kind with respect to the Services to be performed by the Company or any other person, including any Implementation Contractor, pursuant or relating to this Schedule, except as expressly set forth in Article 4 of the Master Agreement or, if applicable, in any Appendix attached to this Schedule. 7. Availability of Funding. Notwithstanding Section 15.01 of the Master Agreement, upon thirty (30) days written notice from the Customer, acting through the City 2 Manager, this Schedule is subject to termination for convenience by the Customer due to lack of funds, reduction of funds, and/or change in regulations. In the event of termination, the Customer shall pay the Company for work performed through the effective date of termination as determined in accordance with Section 8 below. 8. Termination Expense. In the event of a termination by the Customer pursuant to Section 7 above, the Company will be paid for work performed prior to the effective date of termination as substantiated by invoices and other supporting documentation reasonably acceptable to Customer; provided that such amounts will not exceed the cumulative amounts up to and including the month of the effective termination date as set forth in the Termination Schedule attached as Appendix V. The Company will have no recourse against the Customer for the balance of the terminated portion of the work; provided however, that, for the avoidance of doubt and subject to the preceding sentence, the costs for the performance of work through the effective date of termination will include the costs of orders placed with Company's subcontractors and suppliers prior to the notice of termination that are not cancelable. Notwithstanding Section 12.01 of the Master Agreement, upon payment of the termination expenses pursuant to this Section 8, Customer shall have full title for all Work performed through the effective date of termination. 9. Interest. The Customer will pay 12% per annum simple interest on an undisputed and uncontroverted balance not paid 25 business days from when the Company has presented a proper invoice, as such terms are defined by Local Government Prompt Payment Act. §218.70-218.79, Fla. Stat. All notices and disputes resolution processes with regard to invoices and payments thereof shall be subject to the requirements of the Local Government Prompt Payment Act. 10. Restrictions on Use of Funds. The Customer intends to fund the specified work through a federal grant, the American Recovery and Reinvestment Act ("ARRA") Energy Efficiency and Conservation Block Grants ("EECBG"). Company shall provide information, documentation and cooperation reasonably necessary for the Customer to comply with its requirements set forth in Sections 1 through 21 of the SPECIAL TERMS AND CONDITIONS FOR CITY OF MIAMI EECBG AWARD, Attached as Schedule E, Appendix IV ("Appendix IV"). Company and the Work shall comply with Sections 22 through 30 of Appendix IV. IN WITNESS WHEREOF, the Parties hereto have executed this Schedule by and through their duly authorized representatives as of the date first hereinabove written. THE COMPANY: FPL Services, LLC By: Sam Forrest Its: Vice -President THE CUSTOMER: City of Miami By: Carlos A. Migoya Its: City Manager Attest. Priscilla A. Thompson City Clerk Approved as to insurance requirements: Approved as to legal form and correctness: Gary Reshefsky, Interim Director Julie O. Bru Risk Management Division, City Attorney 4 SCHEDULE APPENDIXI- APPROVED ECOs Refer to City of Miami Phase 1 — IGA Dated May 20, 2010 SCHEDULE E APPENDIX II - SERVICE SPECIFICATIONS Refer to City of Miami Phase 1 — IGA Dated May 20, 2010 SCHEDULE E APPENDIX III — DRAW SCHEDULE Payment Milestone Amount Due Design and Development of IGA $100,000 30% Completion of Construction $135,062 75% Completion of Construction $352,592 90% Completion of Construction $117,531 Execution of Certificate of Final Acceptance $78,354 Total $783,539 For purposes of this Draw Schedule, the percentage of completion of construction set forth above will be based on the percentage of completion of construction as set forth by actual invoices and mutually agreed upon between the Company and Customer. SCHEDULE E APPENDIX IV — Preliminary Construction Schedule See attached pdf file City of Miami Phase T - Preliminary Conshaclion Schedule Page I Slut dale aA.1 to d,m,ga pm ori d NTP k— No1lc9 W 01—id tlmr,ker is CmNxl Slgnad) 1 day:. F6 10/15/10; Fd Iwlw,0 y. . IaaaaRruoa,aiocmNaaloWrasm�ea._._._...._. ..... -_ ..... pd.ya;..... salfioiir>,io;. _--Th,lii4iio Kick OR Meetkg vdlh City o1 Mimi (SrnldnMi".ilY and GSA) A days' Fd IW27J10 Mon 10/25/10 : ' 6etm6lruc0m moeli Nulb $lallon A SauO, $Islam - rg - - 1 day, 1 Tw 11fd/f01 Till, 11/4/10 ( Pio-cmaWclim meolk,g Slallan dl 1 day Fri f 115/101 Frill, 10 1L1 1�Pro-cm.lrucikn ,T .... ..... .... _ ...-...... maali� Cil Ildl . ............ ng- Y � .. ... .. . . tdry, .... .. ....... Tua 1I19/10� ... 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Q3 ... _........F eSlakon Mt .. _ .. ... .. .-_- ......_:..... isday. .. sell 4/2/11 - SM 4118/11 _ I... ... _ .. ,lirtick Parke _. I Odays; Wed 411N71 � .. � Wed 4/20/11 .0.4/20 .. .._.-.. .ECM3 HVAC... ............. _.._......_ .._ .. _.... ........ a._... .105dvydrilla: _ - Wod 1v8110 • . .. M on 8120111 ; Perrtul Drawings 45dq Wetl 1218110:, Fri 121/II _( or-a—g eNaw City of M'md. ... .. .. Sdays, Snl 122J11.yVM 1126/11 - L1 Submit 1Permit - - 15 days Thu 127/11 Th v10/II IIVACSb Ilds - �-� � � ..days Thu 121/11, file 2/15/11 t I City Mimi S-111,1 RevWw - 5dq WM 71 loll 1. Su, 22WI1 Matmlal OrOm livAc � � � GO dny him 212 1111 tirri 421/11 .� Pollca llemlr.mrlms-DVC OdnYe It"',1121/11 ihu 2121111 1 412 Fdice Norlh Slalim-OCV � � � � 30 days _.. _.... Thu 5/12111 Fr10/10/Ii Pdbce Sauth Stripa, - DCV- 30 tlays Sun 5/22/11 d him G20/f i " Fire IID SuPPmVG eq P o9 em hla T -Slats Qday Thu 4/21111 I IN, 4/21/11 V21 Fire Sl.11a-1di- Pmgrammnhle T-SIo1. iuy.. Fri v22/II S,m fdl/n ,j FPL N-11-VerincallaVI'mt MRV Meaauren,m,ls 10 tlnys SaI 61I1/I I M- 513411 • Comn,Las sung -. ..... .. . .. .. ......... ..... _ ... _. 10 day. SM 5/21/11 ! M. 813411 1 FPLS F3mc1 U.11 - 19dq T,m 5r3111'; TI-ef9111 . .... .._.Cdy d Mimi P,mch Usi. .. _... ... ......._ .. ....... .. ... 12 day .. ... WmI FVIB/11 S.n6/2Wll Subslmllal Cmwlelm Id y. Mm 0/27/11 S,m 713/11 - . rrolning - ... .. ........ .. .5eaya Wed 1/0/111 Stm 7/10111 G8M Mmu:h Subs lnrl 14 drys Mm Ill I'll S,m 724/11 ..... _.. .... Find A q,l _... _ d -- -.... ... _ _. .. ... i5 day -� him 1125/11 � Mon &8111 Project Ckae Out 30 day. Tua&9/II: WM92/11 tm. Task M:lealone ♦ Rolled Up Task j;iII rgrs RdIM Up Pres E,,la-i Tasks Gim By: Sl�m�mnry Miami Data: Mm 9/27110 -"` Progress 1111111111i:iiialil Slmmtuy, RNlad Up Mimlmo O S{fl , Projnel Summmy Page I Slut dale aA.1 to d,m,ga pm ori d NTP k— SCHEDULE E APPENDIX V — Construction Cancellation Schedule Description Cost Feasibility Study $100,000 Mobilization Fees $75,000 Month 1 -- Major Material $200,000 Month 2 -- Labor, Misc Material $100,000 Month 3 -- Labor, Misc Material $50,000 Month 4 -- Labor, Misc Material $50,000 Month 5 -- Labor, Misc Material $40,000 Month 6 -- Labor, Misc Material $40,000 Month 7 -- Labor, Misc Material $12,500 Month 8 -- Labor, Misc Material $12,500 Month 9 -- Labor, Misc Material $12,500 Month 10 -- Labor, Misc Material $12,500 Month 11 -- Labor, Misc Material $78,539 Total Project Cost $783,539 E SCHEDULE E APPENDIX VI — SPECIAL TERMS AND CONDITIONS FOR CITY OF MIAMI EECBG AWARD Number Subiect I. 2. 3. 4. 5. 6. 7. 8. 9. 10. 11. 12. 13. 14. 15. 16. 17. 18. 19. 20. 21. 22. 23. 24. 25. 26. 27. 28 29 30. f.`�7 xy /\ /I<I Y �i�u i.`7_\►`1Z�Z�]►`I1l Y Y [fl►`f.9 Table of Contents RESOLUTION OF CONFLICTING CONDITIONS................................................................................11 AWARD AGREEMENT TERMS AND CONDITIONS.......................................................................... 11 ELECTRONIC AUTHORIZATION OF AWARD DOCUMENTS.........................................................11 PAYMENT PROCEDURES - ADVANCES THROUGH THE AUTOMATED STANDARD APPLICATION FOR PAYMENTS (ASAP) SYSTEM............................................................................1 I CEILING ON ADMINISTRATIVE COSTS.............................................................................................12 LIMITATIONS ON USE OF FUNDS.......................................................................................................12 INDIRECT COSTS AND FRINGE BENEFITS ARE NOT REIMBURSABLE.....................................12 PRE -AWARD COSTS..............................................................................................................................12 USE OF PROGRAM INCOME.................................................................................................................12 STATEMENT OF FEDERAL STEWARDSHIP......................................................................................13 SITEVISITS..............................................................................................................................................13 REPORTING REQUIREMENTS.............................................................................................................. 13 PUBLICATIONS.......................................................................................................................................13 FEDERAL, STATE, AND MUNICIPAL REQUIREMENTS..................................................................14 LOBBYING RESTRICTIONS..................................................................................................................14 STAGEDDISBURSEMENT....................................................................................................................14 NATIONAL ENVIRONMENTAL POLICY ACT (NEPA) REQUIREMENTS......................................14 HISTORIC PRESERVATION..................................................................................................................15 WASTESTREAM.....................................................................................................................................16 DECONTAMINATION AND/OR DECOMMISSIONING (D&D) COSTS............................................16 SUBCONTRACT/SUBGRANT APPROVALS........................................................................................16 ADVANCE UNDERSTANDING CONCERNING PUBLICLY FINANCED ENERGY IMPROVEMENT PROGRAMS................................................................................................................17 SPECIAL PROVISIONS RELATING TO WORK FUNDED UNDER AMERICAN RECOVERY AND REINVESTMENT ACT OF 2009 (May 2009)................................................................................17 REPORTING AND REGISTRATION REQUIREMENTS UNDER SECTION 1512 OF THE RECOVERYACT.....................................................................................................................................21 NOTICE REGARDING THE PURCHASE OF AMERICAN -MADE EQUIPMENT AND PRODUCTS -- SENSE OF CONGRESS..................................................................................................21 REQUIRED USE OF AMERICAN IRON, STEEL; AND MANUFACTURED GOODS — SECTION 1605 OF THE AMERICAN RECOVERY AND REINVESTMENT ACT OF 2009 ..............21 REQUIRED USE OF AMERICAN IRON, STEEL, AND MANUFACTURED GOODS (COVERED UNDER INTERNATIONAL AGREEMENTS) — SECTION 1605 OF THE AMERICAN RECOVERY AND REINVESTMENT ACT OF 2009 .......................................................24 WAGE RATE REQUIREMENTS UNDER SECTION 1606 OF THE RECOVERY ACT .....................28 RECOVERY ACT TRANSACTIONS LISTED IN SCHEDULE OF EXPENDITURES OF FEDERAL AWARDS AND RECIPIENT RESPONSIBILITIES FOR INFORMING SUBRECIPIENTS.....................................................................................................................................28 DAVIS-BACON ACT REQUIREMENTS................................................................................................29 10 1. RESOLUTION OF CONFLICTING CONDITIONS Any apparent inconsistency between Federal statutes and regulations and the terms and conditions contained in this award must be referred to the DOE Award Administrator for guidance. 2. AWARD AGREEMENT TERMS AND CONDITIONS This award/agreement consists of the Assistance Agreement, plus the following: a. Special Terms and Conditions. b. Attachments: Attachment Number Title I. Statement of Project Objectives 2. Federal Assistance Reporting Checklist and Instructions 3. Budget Pages (SF 424A) c. DOE Assistance Regulations, 10 CFR Part 600 at htro:Hecfr.gpoaccess. gov. d. Application/proposal as approved by DOE. e. National Policy Assurances to Be Incorporated as Award Terms in effect on date of award at http://management.energy.goy/business doe/1374.htm. K= DIRKWO :i\ EMAIJ141•I s 111\ • 191713118 191413-1113" Acknowledgement of award documents by the Recipient's authorized representative through electronic systems used by the Department of Energy, specifically FedConnect, constitutes the Recipient's acceptance of the terms and conditions of the award. Acknowledgement via FedConnect by the Recipient's authorized representative constitutes the Recipient's electronic signature. 4. PAYMENT PROCEDURES - ADVANCES THROUGH THE AUTOMATED STANDARD APPLICATION FOR PAYMENTS (ASAP) SYSTEM a. Method of Payment. Payment will be made by advances through the Department of Treasury's ASAP system. V b. Requesting Advances. Requests for advances must be made through the ASAP system. You may submit requests as frequently as required to meet your needs to disburse funds for the Federal share of project costs. If feasible, you should time each request so that you receive payment on the same day that you disperse funds for direct project costs and the proportionate share of any allowable indirect costs. If same- day transfers are not feasible, advance payments must be as close to actual disbursements as administratively feasible. c. Adjusting payment requests for available cash. You must disburse any funds that are available from repayments to and interest earned on a revolving fund, program income, rebates, refunds, contract settlements, audit recoveries, credits, discounts, and interest earned on any of those funds before requesting additional cash payments from DOE. d. Payments. All payments are made by electronic funds transfer to the bank account identified on the ASAP Bank Information Form that you filed with the U.S. Department of Treasury. 11 5. CEILING ON ADMINISTRATIVE COSTS a. Local government and Indian Tribe Recipients may not use more than 10 percent of amounts provided under this program. or $75,000, whichever is greater (EISA Sec 545 (b)(3)(A)), for administrative expenses, excluding the costs of meeting the reporting requirements under Title V, Subtitle E of EISA. These costs should be captured and summarized for each activity under the Projected Costs Within Budget: Administration. b. Recipients are expected to manage their administrative costs. DOE will not amend an award solely to provide additional funds for changes in administrative costs. The Recipient shall not be reimbursed on this project for any final administrative costs that are in excess of the designated 10 percent administrative cost ceiling. In addition. the Recipient shall neither count costs in excess of the administrative cost ceiling as cost share, nor allocate such costs to other federally sponsored project, unless approved by the Contracting Officer. 6. LIMITATIONS ON USE OF FUNDS a. By accepting funds under this award, you agree that none of the funds obligated on the award shall be expended, directly or indirectly, for gambling establishments, aquariums, zoos, golf courses or swimming pools. b. Local government and Indian tribe Recipients may not use more than 20 percent of the amounts provided or $250.000, whichever is greater (EISA Sec 545 (b)(3)(11)), for the establishment of revolving loan funds. c. Local government and Indian tribe Recipients may not use more than 20 percent of the amounts provided or $250,000, whichever is greater (EISA Sec 545 (b)(3)(C)), for subgrants to nongovernmental organizations for the purpose of assisting in the implementation of the energy efficiency and conservation strategy of the eligible unit of local government or Indian tribe. 7. INDIRECT COSTS AND FRINGE BENEFITS ARE NOT REIMBURSABLE The budget for this award does not include indirect costs or fringe benefits. Therefore, these expenses shall not be charged to nor reimbursement requested for this project nor shall the indirect and fringe benefit costs from this project be allocated to any other federally sponsored project. In addition, indirect costs or fringe benefits shall not be counted as cost share unless approved by the Contracting Officer. This restriction does not apply to sub-awardees' indirect or fringe benefit costs. 8. PRE-AWARD COSTS You are entitled to reimbursement for costs incurred on or after February 17, 2009, as authorized by the pre- award costs letter dated August 20, 2009, if such costs are allowable in accordance with the applicable Federal cost principles referenced in 10 CFR Part 600. 9. USE OF PROGRAM INCOME If you earn program income during the project period as a result of this award, you may add the program income to the funds committed to the award and used to further eligible project objectives. V 12 10. STATEMENT OF FEDERAL STEWARDSHIP DOE will exercise normal Federal stewardship in overseeing the project activities performed under this award. Stewardship activities include, but are not limited to, conducting site visits; reviewing performance and financial reports; providing technical assistance and/or temporary intervention in unusual circumstances to correct deficiencies which develop during the project; assuring compliance with terms and conditions; and reviewing technical performance after project completion to ensure that the award objectives have been accomplished. 11. SITE VISITS DOE's authorized representatives have the right to make site visits at reasonable times to review project accomplishments and management control systems and to provide technical assistance, if required: You must provide, and must require your sub-awardees to provide, reasonable access to facilities, office space, resources, and assistance for the safety and convenience of the government representatives in the performance of their duties. All site visits and evaluations must be performed in a manner that does not unduly interfere with or delay the work. 12. REPORTING REQUIREMENTS a. Requirements. The reporting requirements for this award are identified on the Federal Assistance Reporting Checklist, DOE F 4600.2, attached to this award. Failure to comply with these reporting requirements is considered a material noncompliance with the terms of the award. Noncompliance may result in withholding of future payments, suspension or termination of the current award, and withholding of future awards. A willful failure to perform, a history of failure to perform, or unsatisfactory performance of this and/or other financial assistance awards, may also result in a debarment action to preclude future awards by Federal agencies. b. Additional Recovery Act Reporting Requirements are found in the Provision below labeled: "REPORTING AND REGISTRATION REQUIREMENTS UNDER SECTION 1512 OF THE RECOVERY ACT." 13. PUBLICATIONS a. You are encouraged to publish or otherwise make publicly available the results of the work conducted under the award. b. An acknowledgment of DOE support and a disclaimer must appear in the publication of any material, whether copyrighted or not, based on or developed under this project, as follows: ,4cknowledgn7ent: "This material is based upon work supported by the Department of Energy [National Nuclear Security Administration] [add name(s) of other agencies, if applicable] under Award Number(s) [enter the award number(s)]." Disclaimer: "This report was prepared as an account of work sponsored by an agency of the United States Government. Neither the United States Government nor any agency thereof, nor any of their employees, makes any warranty, express or implied, or assumes any legal liability or responsibility for the accuracy, completeness, or usefulness of any information, apparatus; product, or process disclosed, or represents that its use would not infringe privately owned rights. Reference herein to any specific commercial product, process, or service by trade name, trademark, manufacturer, or otherwise does not necessarily constitute or imply its endorsement, recommendation, or favoring by the United States 13 Government or any agency thereof The views and opinions of authors expressed herein do not necessarily state or reflect those of the United States Government or any agency thereof." 14. FEDERAL, STATE, AND MUNICIPAL REQUIREMENTS You must obtain any required permits and comply with applicable federal, state, and municipal laws, codes, and regulations for work performed under this award. i �7C��.�:3� X1,`[!].7 �1.'il Y� [� #i L�l►`�� By accepting funds under this award, you agree that none of the funds obligated on the award shall be expended, directly or indirectly, to influence congressional action on any legislation or appropriation matters pending before Congress, other than to communicate to Members of Congress as described in 18 U.S.C. 1413. This restriction is in addition to those prescribed elsewhere in statute and regulation. 16. STAGED DISBURSEMENT a. The total funding allocation for this award, shown in Block 12 of the Assistance Agreement, will be obligated in full with this action; however, funds will be released according to a staged disbursement schedule. All funds must be expended within 36 months of the effective date of the award. 1. The initial disbursement of funds is 50% of the total funding allocation. The amount identified on Page 2 of the Assistance Agreement will be released to the Recipient to begin work on the approved activities listed in the Statement of Project Objectives. If conditions are included in the terms and conditions of this award, upon satisfying the conditions, the Contracting Officer will lift the funding restrictions associated with the conditions and release the remainder of the initial disbursement of funds. 2. Project performance will be monitored and corrective action taken, as necessary to ensure acceptable performance under this award. After one or more progress reviews, in which the Recipient must demonstrate that it has made satisfactory progress on its activities; expended funds appropriately; complied with reporting requirements; and created jobs, the Contracting Officer will approve the release of the remaining balance of the total funding allocation. b. No additional funds will be disbursed to the Recipient for payment, and DOE does not guarantee or assume any obligation to reimburse costs incurred by the Recipient, until the requirements of each progress review are met. Failure by the Recipient to demonstrate acceptable performance under this award will be deemed a noncompliance pursuant to 10 CFR 600. If a noncompliance occurs, the Contracting Officer may unilaterally terminate or suspend this award and deobligate the amounts obligated. In such case, the Recipient shall not be reimbursed for costs incurred at the Recipient's risk, as described above. 17. NATIONAL ENVIRONMENTAL POLICY ACT (NEPA) REQUIREMENTS You are restricted from taking any action using Federal funds, which would have an adverse effect on the environment or limit the choice of reasonable alternatives prior to DOE providing either a NEPA clearance or a final NEPA decision regarding this project. 14 If you move forward with activities that are not authorized for Federal funding by the DOE Contracting Officer in advance of the final NTEPA decision, you are doing so at risk of not receiving Federal funding and such costs may not be recognized as allowable cost share. V DOE has made a conditional NEPA determination for this award, and funding for certain activities or tasks under this award is contingent upon the final NEPA determination. Miami Green Lab Prohibited actions include: Demolition, construction, removal, installation or disposal activities; until such time that Recipient complies with the Waste Stream and Historic Preservation clauses. This restriction does not preclude Recipient from: (1) purchasing any necessary equipment or related materials; or (2) conducting assessments, studies and other related administrative work. Recipient shall ensure the safety and structural integrity of any repair; replacement, construction and/or alteration performed under this project. The NTEPA determination for the Miami Green Lab applies only to Energy Efficiency retrofits and upgrades. Recipient is restricted from distributing Federal funds on any other activities pending: (1) further submission by Recipient specifically identifying all activities authorized under this Program; and (2) a final NEPA determination from DOE regarding those activities. Energy Efficiency Retrofits in Existing City -Owned Buildings Prohibited actions include: Demolition, construction, removal, installation or disposal activities, until such time that Recipient complies with the Waste Stream and Historic Preservation clauses. This restriction does not preclude Recipient from: (1) purchasing an), necessary equipment or related materials; or (2) conducting assessments, studies and other related administrative work. Recipient shall ensure the safety and structural integrity of any repair, replacement, construction and/or alteration performed under this project. 18. HISTORIC PRESERVATION Prior to the expenditure of Federal funds to alter any structure or site, the Recipient is required to comply with the requirements of Section 106 of the National Historic Preservation Act (NI -IPA), consistent with DOE's 2009 letter of delegation of authority regarding the NHPA. Section 106 applies to historic properties that are listed in or eligible for listing in the National Register of Historic Places. In order to fulfill the requirements of Section 106, the recipient must contact the State Historic Preservation Officer (SHPO), and, if applicable, the Tribal Historic Preservation Officer (THPO), to coordinate the Section 106 review outlined in 36 CFR Part 500. SHPO contact information is available at the following link: http://www.ncshno.ora/find/index.htm. THPO contact information is available at the following link: hhu://u,,A-w.nathpo.orgimap.html . Section 110(k) of the NHPA applies to DOE funded activities. Recipients shall avoid taking any action that results in an adverse effect to historic properties pending compliance with Section 106. Recipients should be aware that the DOE Contracting Officer will consider the recipient in compliance with Section 106 of the NHPA only after the Recipient has submitted adequate background documentation to the SHPO/THPO for its review, and the SHPO/THPO has provided written concurrence to the Recipient that it does 15 not object to its Section 106 finding or determination. Recipient shall provide a copy of this concurrence to the Contracting Officer. 19. WASTE STREAM Prior to the expenditure of Federal funds to dispose of sanitary or hazardous waste, the Recipient is required to provide documentation to the Project Officer demonstrating that it has prepared a disposal plan for sanitary or hazardous waste generated by the proposed activities. Sanitary or hazardous waste includes, but is not limited to, old light bulbs, lead ballasts, piping, roofing material, discarded equipment, debris, asbestos; etc. The DOE Contracting Officer shall consider compliance with this clause complete only after the Recipient has submitted adequate documentation to DOE for its review, and DOE has provided written approval to the Recipient of its proposed plan to dispose of its sanitary or hazardous waste. 20. DECONTAMINATION AND/OR DECOMMISSIONING (D&D) COSTS Notwithstanding any other provisions of this Agreement, the Government shall not be responsible for or have any obligation to the Recipient for (i) Decontamination and/or Decommissioning (D&D) of any of the Recipient's facilities; or (ii) any costs which may be incurred by the Recipient in connection with the D&D of any of its facilities due to the performance of the work under this Agreement, whether said work was performed prior to or subsequent to the effective date of the Agreement. 21. SUBCONTRACUSUBGRANT APPROVALS a. In the original application, the subcontractor(s)/subuantee(s) were not proposed by the recipient. In order to receive reimbursement for the costs associated with subcontractors/activities listed in the approved Statement of Project Objectives (SOPO), each subcontract/subgrant must be approved by the DOE Contracting Officer. b. Upon the recipient's selection of the subcontractors)/subgrantee(s), and within 180 days of the award date in Block 27 of the Assistance Agreement, the recipient shall provide the following information for each, regardless of dollar amount: - Name - DUNS Number - Award Amount - Statement of work including applicable activities - EF -I for all proposed activities c. In addition to the information in paragraph b. above, for each subcontract/subgrant that has an estimated cost greater than 25% of the Total Allocation or 51,000;000, whichever is less, the recipient must submit a Statement of Objectives, SF424A Budget Information — Nonconstruction Programs, and Budget Justification. The DOE Contracting Officer may require additional information concerning these subcontract(s)/subgrant(s) prior to providing written approval. d. No funds shall be expended on the subcontracts supporting the activities listed in the approved SOPO until DOE approval is provided. DOE does not guarantee or assume any obligation to reimburse costs incurred by the Recipient or subcontractor for these activities, until approval is provided in writing by the Contracting Officer. 16 e. Upon written approval by the Contracting Officer, the Recipient may then receive payment for the activities listed in the approved SOPO for allowable costs incurred in accordance with the payment provisions contained in the Special Terms and Conditions of this agreement. 22. ADVANCE UNDERSTANDING CONCERNING PUBLICLY FINANCED ENERGY IMPROVEMENT PROGRAMS The parties recognize that the Recipient may use funds under this award for Property -Assessed Clean Energy (PACE) loans, Sustainable Energy Municipal Financing, Clean Energy Assessment Districts, Energy Loan Tax Assessment Programs (ELTAPS), or any other form or derivation of Special Taxing District whereby taxing entities collect payments through increased tax assessments for energy efficiency and renewable energy building improvements made by their constituents. The Department of Energy intends to publish 'Best Practices" or other guidelines pertaining to the use of funds made available to the Recipient under this award pertaining to the programs identified herein. By accepting this award, the Recipient agrees to incorporate, to the maximum extent practicable, those Best Practices and other guidelines into any such program(s) within a reasonable time after notification by DOE that the Best Practices or guidelines have been made available. The Recipient also agrees, by its acceptance of this award, to require its sub -recipients to incorporate to the maximum extent practicable the best practices and other guideline into any such program used by the sub - recipient. 23. SPECIAL PROVISIONS RELATING TO WORK FUNDED UNDER AMERICAN RECOVERY AND REINVESTMENT ACT OF 2009 (May 2009) Preamble The American Recovery and Reinvestment Act of 2009, Pub. L. 111-5, (Recovery Act) was enacted to preserve and create jobs and promote economic recovery, assist those most impacted by the recession, provide investments needed to increase economic efficiency by spurring technological advances in science and health, invest in transportation, environmental protection, and other infrastructure that will provide long-term economic benefits, stabilize State and local government budgets, in order to minimize and avoid reductions in essential services and counterproductive State and local tax increases. Recipients shall use grant funds in a manner that maximizes job creation and economic benefit. The Recipient shall comply with all terms and conditions in the Recovery Act relating generally to governance, accountability, transparency, data collection and resources as specified in Act itself and as discussed below. Recipients should begin planning activities for their first tier sub -recipients, including obtaining a DUNS number (or updating the existing DUNS record), and registering with the Central Contractor Registration (CCR). Be advised that Recovery Act funds can be used in conjunction with other funding as necessary to complete projects, but tracking and reporting must be separate to meet the reporting requirements of the Recovery Act and related guidance. For projects funded by sources other than the Recovery Act, Contractors must keep separate records for Recovery Act funds and to ensure those records comply with the requirements of the Act. The Government has not fully developed the implementing instructions of the Recovery Act, particularly concerning specific procedural requirements for the new reporting requirements. The Recipient will be provided these details as they become available. The Recipient must comply with all requirements of the Act. If the recipient believes there is any inconsistency between ARRA requirements and current award terms and conditions, the issues will be referred to the Contracting Officer for reconciliation. 17 Definitions For purposes of this clause, Covered Funds means funds expended or obligated from appropriations under the American Recovery and Reinvestment Act of 2009, Pub. L. 111-5. Covered Funds will have special accounting codes and will be identified as Recovery Act funds in the Brant, cooperative agreement or TIA and/or modification using Recovery Act funds. Covered Funds must be reimbursed by September 30, 2015. Non -Federal employer means any employer with respect to covered funds -- the contractor, subcontractor, grantee, or recipient, as the case may be, if the contractor, subcontractor, grantee, or recipient is an employer; and any professional membership organization, certification of other professional body, any agent or licensee of the Federal government, or any person acting directly or indirectly in the interest of an employer receiving covered funds; or with respect to covered funds received by a State or local government, the State or local government receiving the funds and any contractor or subcontractor receiving the funds and any contractor or subcontractor of the State or local government; and does not mean any department, agency, or other entity of the federal government. Recipient means any entity that receives Recovery Act funds directly from the Federal government (including Recovery Act funds received through grant, loan, or contract) other than an individual and includes a State that receives Recovery Act Funds. Special Provisions A. Flow Down Requirement Recipients must include these special terms and conditions in any subaward. B. Segregation of Costs Recipients must segregate the obligations and expenditures related to funding under the Recovery Act. Financial and accounting systems should be revised as necessary to segregate, track and maintain these funds apart and separate from other revenue streams. No part of the funds from the Recovery Act shall be commingled with any other funds or used for a purpose other than that of making payments for costs allowable for Recovery Act projects. C. Prohibition on Use of Funds None of the funds provided under this agreement derived from the American Recovery and Reinvestment Act of 2009, Pub. L. 111-5, may be used by any State or local government, or any private entity, for any casino or other gambling establishment, aquarium, zoo, golf course, or swimming pool. D. Access to Records With respect to each financial assistance agreement awarded utilizing at least some of the funds appropriated or otherwise made available by the American Recovery and Reinvestment Act of 2009, Pub. L. 111-5, any representative of an appropriate inspector general appointed under section 3 or 8G of the Inspector General Act of 1988 (5 U.S.C. App.) or of the Comptroller General is authorized -- (1) to examine any records of the contractor or grantee, any of its subcontractors or subgrantees, or any State or local agency administering such contract that pertain to, and involve transactions that relate to; the subcontract, subcontract, grant; or subgrant; and (2) to interview any officer or employee of the contractor, grantee, subgrantee, or agency regarding such transactions. 18 E. Publication An application may contain technical data and other data, including trade secrets and/or privileged or confidential information, which the applicant does not want disclosed to the public or used by the Government for any purpose other than the application. To protect such data, the applicant should specifically identify each page including each line or paraeTaph thereof containing the data to be protected and mark the cover sheet of the application with the following Notice as well as referring to the Notice on each page to which the Notice applies: Notice of Restriction on Disclosure and Use of Data The data contained in pages ---- of this application have been submitted in confidence and contain trade secrets or proprietary information, and such data shall be used or disclosed only for evaluation purposes, provided that if this applicant receives an award as a result of or in connection with the submission of this application, DOE shall have the right to use or disclose the data here to the extent provided in the award. This restriction does not limit the Government's right to use or disclose data obtained without restriction from any source, including the applicant. V Information about this agreement will be published on the Internet and linked to the website www.recovery.gov, maintained by the Accountability and Transparency Board. The Board may exclude posting contractual or other information on the website on a case-by-case basis when necessary to protect national security or to protect information that is not subject to disclosure under sections 552 and 552a of title 5, United States Code. F. Protecting State and Local Government and Contractor Whistleblowers. The requirements of Section 1553 of the Act are summarized below. They include, but are not limited to: Prohibition on Reprisals: An employee of any non -Federal employer receiving covered funds under the American Recovery and Reinvestment Act of 2009, Pub. L. 111-5, may not be discharged, demoted, or otherwise discriminated against as a reprisal for disclosing, including a disclosure made in the ordinary course of an employee's duties, to the Accountability and Transparency Board, an inspector general, the Comptroller General, a member of Congress, a State or Federal regulatory or law enforcement agency, a person with supervisory authority over the employee (or other person working for the employer who has the authority to investigate, discover or terminate misconduct), a court or grant jury, the head of a Federal agency, or their representatives information that the employee believes is evidence of: gross management of an agency contract or grant relating to covered funds; a gross waste of covered funds; a substantial and specific danger to public health or safety related to the implementation or use of covered funds; an abuse of authority related to the implementation or use of covered funds; or as violation of law, rule, or regulation related to an agency contract (including the competition for or negotiation of a contract) or grant, awarded or issued relating to covered funds. Agency Action: Not later than 30 days after receiving an inspector general report of an alleged reprisal, the head of the agency shall determine whether there is sufficient basis to conclude that the non -Federal employer has subjected the employee to a prohibited reprisal. The agency shall either issue an order denying relief in whole or in part or shall take one or more of the following actions: Order the employer to take affirmative action to abate the reprisal. Order the employer to reinstate the person to the position that the person held before the reprisal, together with compensation including back pay, compensatory damages, employment benefits, and other terms and conditions of employment that would apply to the person in that position if the reprisal had not been taken. 19 - Order the employer to pay the employee an amount equal to the aggregate amount of all costs and expenses (including attorneys' fees and expert witnesses' fees) that were reasonably incurred by the employee for or in connection with, bringing the complaint regarding the reprisal, as determined by the head of a court of competent jurisdiction. Nonenforceability of Certain Provisions Waiving Rights and remedies or Requiring Arbitration: Except as provided in a collective bargaining agreement, the rights and remedies provided to aggrieved employees by this section may not be waived by any agreement, policy, form, or condition of employment, including any predispute arbitration agreement. No predispute arbitration agreement shall be valid or enforceable if it requires arbitration of a dispute arising out of this section. Requirement to Post Notice of Rights and Remedies: Any employer receiving covered funds under the American Recovery and Reinvestment Act of 2009, Pub. L. 111-5, shall post notice of the rights and remedies as required therein. (Refer to section 1553 of the American Recovery and Reinvestment Act of 2009, Pub. L. 111-5, www.Recovery.gov, for specific requirements of this section and prescribed language for the notices.). V G. Reserved H. False Claims Act Recipient and sub -recipients shall promptly refer to the DOE or other appropriate Inspector General any credible evidence that a principal, employee, agent, contractor, sub -grantee, subcontractor or other person has submitted a false claim under the False Claims Act or has committed a criminal or civil violation of laws pertaining to fraud, conflict of interest, bribery, gratuity or similar misconduct involving those funds. I. Information in Support of Recovery Act Reporting Recipient may be required to submit backup documentation for expenditures of funds under the Recovery Act including such items as timecards and invoices. Recipient shall provide copies of backup documentation at the request of the Contracting Officer or designee. J. Availability of Funds Funds obligated to this award are available for reimbursement of costs until 36 months after the award date K. Additional Funding Distribution and Assurance of Appropriate Use of Funds Certification by Governor — For funds provided to any State or agency thereof by the American Reinvestment and Recovery Act of 2009, Pub. L. 111-5, the Governor of the State shall certify that: 1) the state will request and use funds provided by the Act; and 2) the funds will be used to create jobs and promote economic growth. Acceptance by State Legislature -- If funds provided to any State in any division of the Act are not accepted for use by the Governor, then acceptance by the State legislature, by means of the adoption of a concurrent resolution, shall be sufficient to provide funding to such State. Distribution -- After adoption of a State legislature's concurrent resolution, funding to the State will be for distribution to local govemments, councils of government, public entities, and public-private entities within the State either by formula or at the State's discretion. 20 L. Certifications With respect to funds made available to State or local governments for infrastructure investments under the American Recovery and Reinvestment Act of 2009, Pub. L. 111-5, the Governor, mayor, or other chief executive, as appropriate, certified by acceptance of this award that the infrastructure investment has received the full review and vetting required by law and that the chief executive accepts responsibility that the infrastructure investment is an appropriate use of taxpayer dollars. Recipient shall provide an additional certification that includes a description of the investment, the estimated total cost, and the amount of covered funds to be used for posting on the Internet. A State or local agency may not receive infrastructure investment funding from funds made available by the Act unless this certification is made arid posted. 24. REPORTING AND REGISTRATION REQUIREMENTS UNDER SECTION 1512 OF THE RECOVERY ACT (a) This award requires the recipient to complete projects or activities which are funded under the American Recovery and Reinvestment Act of 2009 (Recovery Act) and to report on use of Recovery Act funds provided through this award. Information from these reports will be made available to the public. (b) The reports are due no later than ten calendar days after each calendar quarter in which the Recipient receives the assistance award funded in whole or in part by the Recovery Act. (c) Recipients and their first-tier subrecipients must maintain current registrations in the Central Contractor Registration (http://mn4,u�.ccr.gov) at all times during which they have active federal awards funded with Recovery Act funds. A Dun and Bradstreet Data Universal Numbering System (DUNS) Number (http://www.dnb.com) is one of the requirements for registration in the Central Contractor Registration. (d) The recipient shall report the information described in section 1512(c) of the Recovery Act using the reporting instructions and data elements that will be provided online at http://Unvw.FederalReportii7g.gov and ensure that any information that is pre -filled is corrected or updated as needed. 25. NOTICE REGARDING THE PURCHASE OF AMERICAN -MADE EQUIPMENT AND PRODUCTS -- SENSE OF CONGRESS It is the sense of the Congress that, to the greatest extent practicable, all equipment and products purchased with funds made available under this award should be American-made. *Special Note: Defmitization of the Provisions entitled, "REQUIRED USE OF AMERICAN IRON, STEEL, AND MANUFACTURED GOODS — SECTION 1605 OF THE AMERICAN RECOVERY AND REINVESTMENT ACT OF 2009" and "REQUIRED USE OF A MRICAN IRON, STEEL, AND MANUFACTURED GOODS (COVERED UNDER INTERNATIONAL AGREEMENTS) — SECTION 1605 OF THE AMERICAN RECOVERY AND REINTVESTMENT ACT OF 2009" will be done upon definition and review of final activities. 26. REQUIRED USE OF AMERICAN IRON, STEEL, ANTD MANUFACTURED GOODS - SECTION 1605 OF THE AMERICAN RECOVERY AND REINVESTMENT ACT OF 2009 21 (a) Definitions. As used in this award term and condition— (1) Manufactured good means a good brought to the construction site for incorporation into the building or work that has been— (i) Processed into a specific form and shape; or (ii) Combined with other raw material to create a material that has different properties than the properties of the individual raw materials. (2) Public building and public work means a public building of, and a public work of a governmental entity (the United States; the District of Columbia; commonwealths, territories. and minor outlying islands of the United States; State and local govem.-nents; and multi -State, regional, or interstate entities which have governmental functions). These buildings and works may include, without limitation, bridges, dams, plants, highways, parkways, streets, subways, tunnels, sewers, mains, power lines, pumping stations, heavy generators, railways, airports, terminals, docks, piers, wharves, ways, lighthouses, buoys, jetties, breakwaters, levees, and canals, and the construction, alteration, maintenance, or repair of such buildings and works. (3) Steel means an alloy that includes at least 50 percent iron, between .02 and 2 percent carbon, and may include other elements. (b) Domestic preference. (1) This award term and condition implements Section 1605 of the American Recovery and Reinvestment Act of 2004 (Recovery Act) (Pub. L. 111-5), by requiring that all iron, steel, and manufactured goods used in the project are produced in the United States except as provided in paragraph (b)(3) and (b)(4) of this section and condition. (2) This requirement does not apply to the material listed by the Federal Government as follows: To Be Determined (3) The award official may add other iron, steel, and/or manufactured goods to the list in paragraph (b)(2) of this section and condition if the Federal Government determines that— (i) The cost of the domestic iron, steel, and/or manufactured goods would be unreasonable. The cost of domestic iron, steel, or manufactured goods used in the project is unreasonable when the cumulative cost of such material will increase the cost of the overall project by more than 25 percent; (ii) The iron, steel, and/or manufactured good is not produced, or manufactured in the United States in sufficient and reasonably available quantities and of a satisfactory quality; or (iii) The application of the restriction of section 1605 of the Recovery Act would be inconsistent with the public interest. (c) Request for determination of inapplicability of Section 1605 of the Recovery Act. (1)(i) Any recipient request to use foreign iron, steel, and/or manufactured goods in accordance with paragraph (b)(3) of this section shall include adequate information for Federal Government evaluation of the request, includin. (A) A description of the foreign and domestic iron, steel, and/or manufactured goods 22 (B) Unit of measure; (C) Quantity; (D) Cost: (E) Time of deliver), or availability; (F) Location of the project; (G) Name and address of the proposed supplier; and (H) A detailed justification of the reason for use of foreign iron, steel, and/or manufactured goods cited in accordance with paragraph (b)(3) of this section. (ii) A request based on unreasonable cost shall include a reasonable survey of the market and a completed cost comparison table in the format in paragraph (d) of this section. (iii) The cost of iron, steel, and/or manufactured goods material shall include all delivery costs to the construction site and any applicable duty. (iv) Any recipient request for a determination submitted after Recovery Act funds have been obligated for a project for construction, alteration, maintenance, or repair shall explain why the recipient could not reasonably foresee the need for such determination and could not have requested the determination before the funds were obligated. If the recipient does not submit a satisfactory explanation, the award official need not make a determination. (2) If the Federal Government determines after funds have been obligated for a project for construction, alteration, maintenance, or repair that an exception to section 1605 of the Recovery Act applies, the award official will amend the award to allow use of the foreign iron, steel, and/or relevant manufactured goods. When the basis for the exception is nonavailability or public interest, the amended award shall reflect adjustment of the award amount, redistribution of budgeted funds, and/or other actions taken to cover costs associated with acquiring or using the foreign iron, steel, and/or relevant manufactured goods. When the basis for the exception is the unreasonable cost of the domestic iron, steel, or manufactured goods, the award official shall adjust the award amount or redistribute budgeted funds by at least the differential established in 2 CFR 176.110(a). (3) Unless the Federal Government determines that an exception to section 1605 of the Recovery Act applies, use of foreign iron, steel, and/or manufactured goods is noncompliant with section 1605 of the American Recovery and Reinvestment Act. (d) Data. To permit evaluation of requests under paragraph (b) of this section based on unreasonable cost, the Recipient shall include the following information and any applicable supporting data based on the survey of suppliers: 73) Foreign and Domestic Items Cost Comparison Description Unit of measure Quantity Cost (dollars)* Item I. Foreign steel, iron, or manufactured good Domestic steel; iron, or manufactured good Item 2: Foreign steel, iron, or manufactured good Domestic steel. iron. or manufactured good List name; address, telephone number; email address, and contact for suppliers surveyed. Attach copy of response; if oral, attach summary. Include other applicable supporting information. *Include all delivery costs to the construction site. 27. REQUIRED USE OF AMERICAN IRON, STEEL, AND NLA UFACTURED GOODS (COVERED UNDER INTERNATIONAL AGREEMENTS) — SECTION 1605 OF THE AMERICAN RECOVERY AND REINVESTMENT ACT OF 2009 (a) Definitions. As used in this award term and condition— Designated country— (1) A World Trade Organization Government Procurement Agreement country (Aruba, Austria, Belgium, Bulgaria, Canada, Cyprus, Czech Republic, Denmark, Estonia, Finland, France, Germany, Greece, Hong Kong, Hungary, Iceland, Ireland, Israel, Italy, Japan, Korea (Republic of), Latvia, Liechtenstein, Lithuania, Luxembourg, Malta, Netherlands, Norway, Poland, Portugal, Romania, Singapore, Slovak Republic, Slovenia, Spain, Sweden, Switzerland, and United Kingdom; (2) A Free Trade Agreement (FTA) country (Australia, Bahrain, Canada, Chile, Costa Rica, Dominican Republic, El Salvador, Guatemala, Honduras, Israel, Mexico, Morocco, Nicaragua, Oman, Peru, or Singapore); or (3) A United States -European Communities Exchange of Letters (May 15, 1995) country: Austria, Belgium, Bulgaria, Cyprus, Czech Republic, Denmark, Estonia, Finland, France, Germany, Greece, Hungary, Ireland, Italy, Latvia, Lithuania, Luxembourg, Malta, Netherlands, Poland, Portugal, Romania, Slovak Republic, Slovenia, Spain, Sweden, and United Kingdom. Designated country iron, steel, and/or manufactured goods — (1) Is wholly the growth, product, or manufacture of a designated country; or 24 (2) In the case of a manufactured good that consist in whole or in part of materials from another country, has been substantially transformed in a designated country into a new and different manufactured good distinct from the materials from which it was transformed. Domestic iron, steel. and/or manufactured good — (1) Is wholly the growth, product, or manufacture of the United States; or (2) In the case of a manufactured good that consists in whole or in part of materials from another country, has been substantially transformed in the United States into a new and different manufactured good distinct from the materials from which it was transformed. There is no requirement with regard to the origin of components or subcomponents in manufactured goods or products, as long as the manufacture of the goods occurs in the United States. Foreign iron, steel, and/or manufactured good means iron, steel and/or manufactured good that is not domestic or designated country iron, steel, and/or manufactured good. Manufactured good means a good brought to the construction site for incorporation into the building or work that has been— V (1) Processed into a specific form and shape; or (2) Combined with other raw material to create a material that has different properties than the properties of the individual raw materials. Public building and public Mork means a public building of, and a public work of, a governmental entity (the United States; the District of Columbia; commonwealths, territories, and minor outlying islands of the United States; State and local governments; and multi -State, regional, or interstate entities which have governmental functions). These buildings and works may include, without limitation, bridges, dams, plants, highways, parkways, streets, subways, tunnels, sewers, mains, power lines, pumping stations, heavy generators, railways, airports, terminals, docks, piers, wharves, ways, lighthouses; buoys, jetties, breakwaters, levees, and canals, and the construction, alteration, maintenance, or repair of such buildings and works. Steel means an alloy that includes at least 50 percent iron, between .02 and 2 percent carbon, and may include other elements. (b) Iron, steel, and manufactured goods. (1) The award term and condition described in this section implements— (i) Section 1605(a) of the American Recovery and Reinvestment Act of 2004 (Pub. L. 111-5) (Recovery Act), by requiring that all iron, steel, and manufactured goods used in the project are produced in the United States; and (ii) Section 1605(d), which requires application of the Buy American requirement in a manner consistent with U.S. obligations under international agreements. The restrictions of section 1605 of the Recover; Act do not apply to designated country iron, steel, and/or manufactured goods. The Buy American requirement in section 1605 shall not be applied where the iron, steel or manufactured goods used in the project are from a Part), to an international agreement that obligates the recipient to treat the goods and services of that Party the same as domestic Goods and services. This obligation shall only apply to projects with an estimated value of $7,44.3,000 or more. 25 (2) The recipient shall use only domestic or designated country iron, steel, and manufactured goods in performing the work funded in whole or part with this award, except as provided in paragraphs (b)(3) and (b)(4) of this section. (3) The requirement in paragraph (b)(2) of this section does not apply to the iron, steel, and manufactured goods listed by the Federal Government as follows: To Be Determined (4) The award official may add other iron; steel, and manufactured goods to the list in paragraph (b)(3) of this section if the Federal Government determines that— (i) The cost of domestic iron, steel, and/or manufactured goods would be unreasonable. The cost of domestic iron, steel, and/or manufactured goods used in the project is unreasonable when the cumulative cost of such material will increase the overall cost of the project by more than 25 percent; (ii) The iron, steel, and/or manufactured good is not produced, or manufactured in the United States in sufficient and reasonably available commercial quantities of a satisfactory quality; or (iii) The application of the restriction of section 1605 of the Recovery Act would be inconsistent with the public interest. (c) Request for determination of inappiicabiiity of section 1605 of the Recovery Act or the Buy American Act. (1)(i) Any recipient request to use foreign iron, steel, and/or manufactured goods in accordance with paragraph (b)(4) of this section shall include adequate information for Federal Government evaluation of the request, including— (A) A description of the foreign and domestic iron, steel, and/or manufactured goods; (B) Unit of measure; (C) Quantity; (D) Cost; (E) Time of delivery or availability; (F) Location of the project; (G) Name and address of the proposed supplier; and (H) A detailed justification of the reason for use of foreign iron, steel, and/or manufactured goods cited in accordance with paragraph (b)(4) of this section. (ii) A request based on unreasonable cost shall include a reasonable survey of the market and a completed cost comparison table in the format in paragraph (d) of this section. 26 (iii) The cost of iron, steel, or manufactured goods shall include all delivery costs to the construction site and any applicable duty. (iv) Any recipient request for a determination submitted after Recovery Act funds have been obligated for a project for construction, alteration, maintenance, or repair shall explain why the recipient could not reasonably foresee the need for such determination and could not have requested the determination before the funds were obligated. If the recipient does not submit a satisfactory explanation, the award official need not make a determination. (2) If the Federal Government determines after funds have been obligated for a project for construction, alteration, maintenance, or repair that an exception to section 1605 of the Recovery Act applies, the award official will amend the award to allow use of the foreign iron, steel, and/or relevant manufactured goods. When the basis for the exception is nonavailability or public interest, the amended award shall reflect adjustment of the award amount, redistribution of budgeted funds, and/or other appropriate actions taken to cover costs associated with acquiring or using the foreign iron, steel, and/or relevant manufactured goods. When the basis for the exception is the unreasonable cost of the domestic iron, steel, or manufactured goods, the award official shall adjust the award amount or redistribute budgeted funds; as appropriate, by at least the differential established in 2 CFR 176.1 10(a). (3) Unless the Federal Government determines that an exception to section 1605 of the Recovery Act applies, use of foreign iron, steel, and/or manufactured goods other than designated country iron, steel, andlor manufactured goods is noncompliant with the applicable Act. (d) Data. To permit evaluation of requests under paragraph (b) of this section based on unreasonable cost, the applicant shall include the following information and any applicable supporting data based on the survey of suppliers: Foreign and Domestic Items Cost Comparison Description Unit of measure Quantity Cost (dollars)* Item 1: Foreign steel, iron, or manufactured good Domestic steel, iron, or manufactured good Item 2. Foreign steel, iron, or manufactured good Domestic steel, iron, or manufactured good List name, address, telephone number, email address, and contact for suppliers surveyed. Attach copy of response; if oral, attach summary. Include other applicable supporting information. *Include all delivery costs to the construction site. 27 28. WAGE RATE REQUIREMENTS UNDER SECTION 1606 OF THE RECOVERY ACT (a) Section 1606 of the Recovery Act requires that all laborers and mechanics employed by contractors and subcontractors on projects funded directly by or assisted in whole or in part by and through the Federal Government pursuant to the Recovery Act shall be paid wages at rates not less than those prevailing on projects of a character similar in the locality as determined by the Secretary of Labor in accordance with subchapter IV of chapter 31 of title 40, United States Code. Pursuant to Reorganization Plan No. 14 and the Copeland Act, 40 U.S.C. 3145, the Department of Labor has issued regulations at 29 CFR parts I, 3, and 5 to implement the Davis -Bacon and related Acts. Regulations in 29 CFR 5.5 instruct agencies concerning application of the standard Davis -Bacon contract clauses set forth in that section. Federal agencies providing grants, cooperative agreements, and loans under the Recovery Act shall ensure that the standard Davis -Bacon contract clauses found in 29 CFR 5.5(a) are incorporated in any resultant covered contracts that are in excess of $2,000 for construction, alteration or repair (including painting and decorating). (b) For additional guidance on the wage rate requirements of section 1606, contact your awarding agency. Recipients of grants, cooperative agreements and loans should direct their initial inquiries concerning the application of Davis -Bacon requirements to a particular federally assisted project to the Federal agency funding the project. The Secretary of Labor retains final coverage authority under Reorganization Plan Number 14. 29. RECOVERY ACT TRANSACTIONS LISTED IN SCHEDULE OF EXPENDITURES OF FEDERAL AWARDS AND RECIPIENT RESPONSIBILITIES FOR INFORMING SUBRECIPIENTS (a) To maximize the transparency and accountability of funds authorized under the American Recovery and Reinvestment Act of 2009 (Pub. L. 111-5) (Recovery Act) as required by Congress and in accordance with 2 CFR 215.21 "Uniform Administrative Requirements for Grants and Agreements" and OMB Circular A-102 Common Rules provisions, recipients agree to maintain records that identify adequately the source and application of Recovery Act funds. OMB Circular A-102 is available at http://xni, 4,. whitehouse.gov/oinb/circulars/a102/a102. html. (b) For recipients covered by the Single Audit Act Amendments of 1996 and OMB Circular A-133, "Audits of States, Local Governments, and Non -Profit Organizations," recipients agree to separately identify the expenditures for Federal awards under the Recovery Act on the Schedule of Expenditures of Federal Awards (SEFA) and the Data Collection Form (SF—SAC) required by OMB Circular A-133. OMB Circular A-133 is available at http://i+nv» Whitehouse.gov/oinblcirculai-slal331a]33.hnrsl, This shall be accomplished by identifying expenditures for Federal awards made under the Recovery Act separately on the SEFA, and as separate rows under Item 9 of Part III on the SF—SAC by CFDA number, and inclusion of the prefix "ARRA-" in identifying the name of the Federal program on the SEFA and as the first characters in Item 9d of Part III on the SF—SAC. (c) Recipients agree to separately identify to each subrecipient, and document at the time of subaward and at the time of disbursement of funds, the Federal award number, CFDA number, and amount of Recovery Act funds. When a recipient awards Recovery Act funds for an existing program, the information furnished to subrecipients shall distinguish,the subawards of incremental Recovery Act funds from regular subawards under the existing program. 28 (d) Recipients agree to require their subrecipients to include on their SEFA information to specifically identify Recovery Act funding similar to the requirements for the recipient SEFA described above. This information is needed to allow the recipient to properly monitor subrecipient expenditure of ARRA funds as well as oversight by the Federal awarding agencies, Offices of Inspector General and the Government Accountability Office, 30. DAVIS-BACON ACT REQUIREMENTS Note: Where necessary to make the context of these articles applicable to this award, the term "Contractor" shall mean 'Recipient" and the term "Subcontractor" shall mean "Subrecipient or Subcontractor" per the following definitions. Recipient means the organization, individual, or other entity that receives an award from DOE and is financially accountable for the use of any DOE funds or property provided for the performance of the project, and is legally responsible for carrying out the terms and conditions of the award. Subrecipient means the legal entity to which a subaward is made and which is accountable to the recipient for the use of the funds provided. The term may include foreign or international organizations (such as agencies of the United Nations). V Davis -Bacon Act (a) Definition. --"Site of the work"-- (1) Means -- (i) The primary site of the work. The physical place or places where the construction called for in the award will remain when work on it is completed; and (ii) The secondary site of the work, if any. Any other site where a significant portion of the building or work is constructed, provided that such site is -- (A) Located in the United States; and (B) Established specifically for the performance of the award or project; (2) Except as provided in paragraph (3) of this definition, includes any fabrication plants, mobile factories, batch plants, borrow pits, job headquarters, tool yards, etc., provided -- (i) They are dedicated exclusively, or nearly so, to performance of the award or project; and (ii) They are adjacent or virtually adjacent to the "primary site of the work" as defined in paragraph (a)(1)(i), or the "secondary site of the work" as defined in paragraph (a)(1)(ii) of this definition; (3) Does not include permanent home offices, branch plant establishments, fabrication plants, or tool yards of a Contractor or subcontractor whose locations and continuance in operation are determined wholly without regard to a particular Federal award or project. In addition, fabrication plants, batch plants, borrow pits, job headquarters, yards, etc., of a commercial or material supplier which are established by a supplier of materials for the project before opening of bids and not on the Project site, are not included in the "site of the work." Such 29 permanent, previously established facilities are not a part of the "site of the work" even if the operations for a period of time may be dedicated exclusively or nearly so, to the performance of a award. (b) (1) All laborers and mechanics employed or working upon the site of the work will be paid unconditionally and not less often than once a week, and without subsequent deduction or rebate on any account (except such payroll deductions as are permitted by regulations issued by the Secretary of Labor under the Copeland Act (29 CFR Part 3)), the full amount of wages and bona fide fringe benefits (or cash equivalents thereof) due at time of payment computed at rates not less than those contained in the wage determination of the Secretary of Labor which is attached hereto and made a part hereof, or as may be incorporated for a secondary site of the work, regardless of any contractual relationship which may be alleged to exist between the Contractor and such laborers and mechanics. Any wage determination incorporated for a secondary site of the work shall be effective from the first day on which work under the award was performed at that site and shall be incorporated without any adjustment in award price or estimated cost. Laborers employed by the construction Contractor or construction subcontractor that are transporting portions of the building or work between the secondary site of the work and the primary site of the work shall be paid in accordance with the wage determination applicable to the primary site of the work. (2) Contributions made or costs reasonably anticipated for bona fide fringe benefits under section I (b)(2) of the Davis -Bacon Act on behalf of laborers or mechanics are considered wages paid to such laborers or mechanics, subject to the provisions of paragraph (e) of this article; also, regular contributions made or costs incurred for more than a weekly period (but not less often than quarterly) under plans, funds, or programs which cover the particular weekly period, are deemed to be constructively made or incurred during such period. (3) Such laborers and mechanics shall be paid not less than the appropriate wage rate and fringe benefits in the wage determination for the classification of work actually performed, without regard to skill, except as provided in the article entitled Apprentices and Trainees. Laborers or mechanics performing work in more than one classification may be compensated at the rate specified for each classification for the time actually worked therein; provided, that the employer's payroll records accurately set forth the time spent in each classification in which work is performed. (4) The wage determination (including any additional classifications and wage rates conformed under paragraph (c) of this article) and the Davis -Bacon poster (ATHA 321) shall be posted at all times by the Contractor and its subcontractors at the site of the work in a prominent and accessible place where it can be easily seen by the workers. (c) (1) The Contracting Officer shall require that any class of laborers or mechanics which is not listed in the wage determination and which is to be employed under the award shall be classified in conformance with the wage determination. The Contracting Officer shall approve an additional classification and wage rate and fringe benefits therefore only when all the following criteria have been met: (i) The work to be performed by the classification requested is not performed by a classification in the wage determination. (ii) The classification is utilized in the area by the construction industry. (iii) The proposed wage rate, including any bona fide fringe benefits, bears a reasonable relationship to the wage rates contained in the wage determination. (2) If the Contractor and the laborers and mechanics to be employed in the classification (if known), or their representatives and the Contracting Officer agree on the classification and wage rate (including the amount designated for fringe benefits, where appropriate), a report of the action taken shall be sent by the Contracting 30 Officer to the Administrator of the Wage and Hour Division Employment Standards Administration U.S. Department of Labor Washington, DC 20210 The Administrator or an authorized representative will approve; modify, or disapprove every additional classification action within 30 days of receipt and so advise the Contracting Officer or will notif;, the Contracting Officer within the 30 -day period that additional time is necessary. (3) In the event the Contractor, the laborers or mechanics to be employed in the classification, or their representatives, and the Contracting Officer do not agree on the proposed classification and wage rate (including the amount designated for fringe benefits, where appropriate), the Contracting Officer shall refer the questions, including the views of all interested parties and the recommendation of the Contracting Officer, to the Administrator of the Wage and Hour Division for determination. The Administrator, or an authorized representative, will issue a determination within 30 days of receipt and so advise the Contracting Officer or will notify the Contracting Officer within the 30 -day period that additional time is necessary. (4) The wage rate (including fringe benefits, where appropriate) determined pursuant to subparagraphs (c)(2) and (c)(3) of this article shall be paid to all workers performing work in the classification under this award from the first day on which work is performed in the classification. (d) Whenever the minimum wage rate prescribed in the award for a class of laborers or mechanics includes a fringe benefit which is not expressed as an hourly rate, the Contractor shall either pay the benefit as stated in the wage determination or shall pay another bona fide fringe benefit or an hourly cash equivalent thereof. (e) If the Contractor does not make payments to a trustee or other third person, the Contractor may consider as part of the wages of any laborer or mechanic the amount of any costs reasonably anticipated in providing bona fide fringe benefits under a plan or program; provided, that the Secretary of Labor has found, upon the written request of the Contractor, that the applicable standards of the Davis -Bacon Act have been met. The Secretary of Labor may require the Contractor to set aside in a separate account assets for the meeting of obligations under the plan or program. Rates of Wages - Prior Approval for Proceeding with Davis -Bacon Construction Activities If the Recipient determines at any time that any construction, alteration, or repair activity as defined by 29 CFR 5.20) (httn://cfr.vIex.com/vid/5-)-definitions-19681309) will be performed during the course of the project, the Recipient shall request approval from the Contracting Officer prior to commencing such work. If the Contracting Officer concurs with the Recipient's determination, the Recipient must receive Contracting Officer approval to proceed with such activity, and must comply with all applicable Davis -Bacon requirements, prior to commencing such work. A modification to the award which incorporates the appropriate Davis -Bacon wage rate determination(s) will constitute the Contracting Officer's approval to proceed. If the Contracting Officer does not concur with the Recipient's determination, the Contracting Officer will so notify the Recipient in writing. 31 Investment Grade Audit City of Miami May 20, 2010 Submitted bY.: FPL;Serv'ices,SLC 6001 Village Blvd. West Palm Beach, FL 33407-0768 David Harold Russell, Jr., PE PE 42062 0 of A: 9264 A 2 x j Where proven meets possible" a9 Where proven meets possible" Investment Grade Audit Cite of Miami The The federal government launched the Energy Efficiency & Conservation Block Grant (EECBG) program, funded by the American Recovery & Reinvestment Act (ARRA), to help entities create and implement strategies to create jobs, reduce total energy use; and improve energy efficiency in the building and transportation sectors. As a 2009 recipient of this grant, the City of Miami committed to: • Improving energy efficiency in the building sector • Reducing fossil fuel emissions in a manner that is ---- environmentally sustainable and, to the maximum extent practicable, maximize benefits for local and regional communities .• Reducing the total energy consumption .�iveJurve. beeriPresenietl rvilh xt,great >oppnrruriitp;ahirti7tsaa:'i17c�merierur . )t�cctveiy. niaclI7erituestii2erit� cl (MCRA), fn savc�nbs;:trnd iavesi:rn rkeepin;: owr.comniiaiify "compefitive. FPL Services, LLC (FPLS) is proud to present this Phase 1 lviayorThomaslZegatado Investment Grade Audit (IGA) to the City of Miami for Enemy Efficiency Retrofits and Performance Contracting Services, as specified in the City's EECBG application. In addition to lowering the City's overall energy use by approximately 590,000 per year, the City of Miami will achieve other communitywide economic and environmental benefits. FPLS performed an energy audit for the City of Miami from December 2009 to May 2010. The purpose of this Phase 1 audit was to idcntif57 and analyze energy conservation opportunities that would result in the greatest reductions in energy consumption at eleven (I I) facilities assigned to this audit. The technologies evaluated during this audit included: •• Lighting Systems .• LED Exterior Lighting Systems .• Occupancy Sensors • Chiller • Air Handling Units • LEED Certification HVAC Systems • ProgranmaZole Thcimostats • Outside Air Controls (Demand Control NAV) • Sports Field Lighting Systems • Photovoltaic Renewable Energy (Solar) • Energy Star Labels Although FPLS evaluated each of the above tecl-mologies, several did not produce sufficient energy savings and are therefore not included in the final implementation recommendations. It is important to note that while the technologies evaluated did improve equipment efficiencies, the limited run times at some facilities resulted in lower than expected long tcrm energy savings, i.e., the Artinle Conununity Center Theater, Nonetheless; FPLS developed solutions and identified technologies able to produce 1 st year energy savings of $56,042 and material savings of $2, 731. The following revenue producing conservation measures are recommended for install ati on/retrofit. Page 1 PPL Barvric;e:E;. Investment Grade Audit Where proven meets possible' 0413 qfmianzi The following matrix summarizes the economics for the combined ECMs recommended within this report: rg tin, W Vt �Mh IN= MIN RA f I $2,731 "Es x W. 9M �� IRM"I'l- I Police Headquarters* (removed -2 Occupancy Sensors $1,897 $0 N/A from Scope of Work,) 4.8 _ECM ECM -4 Outside Air Controls $16,695 $0 City Hall Y 10.8 (DCV / VAV) Fire -Rescue Training Center ECM -4a Programmable (removed from Scope of $o N/A $17,390 14.7 Work) Police North District Substation Y Y Y N/A Artime Community Center Y Artime Community Center Theater Y Police South District Substation Y Y Rescue Support Service/Fire Garage (removed from Scope of Work) Fire -Rescue Station #1 Y Y Y Virrick Park Community Center (removed from Scope of worA,) Curtis Park (removed from Scope of Work) The following matrix summarizes the economics for the combined ECMs recommended within this report: ECM -1 Lighting Retrofit MINION, I $2,731 $3,160 M. �nlp Mwgxnt.�V f 11.1 -2 Occupancy Sensors $1,897 $0 N/A $9,047 4.8 ECM -1 Lighting Retrofit I $36,264 I $2,731 $3,160 $435,443 11.1 -2 Occupancy Sensors $1,897 $0 N/A $9,047 4.8 _ECM ECM -4 Outside Air Controls $16,695 $0 N/A $180,009 10.8 (DCV / VAV) ECM -4a Programmable $1,186 $o N/A $17,390 14.7 Thermostats ECM -5 Solar PV' N/A N/A N/A N/A N/A "Solar opportunities will be re-evaluated during Phase 2 of the J1FLSJ7?VeSt.77?.e771 Urade Audit Page 2 Investment Grade Audit Where proven meats possible' City O f Miami FPLS has prepared rr CaslrfloN Statenzerzt (please refer to Appendix. C) which shows a cumulative savings over 5_vears of $266,380. The City of Miami. has indicated that if desires to fund this Pro 1004 with American Recovery and Re-innestnientAct CARICA) funds. The total cost gfthisprojecttts sltolwn on the CashfloN) Statement is asf0110zi1s: ECM Cost S641,889 FPL Rebates (93,160) IGA Cost S'10(1,000 2 fears q f Measurement d $44,810 Verificrttion (MS, V) Total Project Cost x'753,539 Next Steps: Growing the Savings FPLS has begun discussions with key City Staff to develop strategies aimed at identifying additional technologies and conservation measures that will significantly increase long-term energy savings for the City of R2iami. To this aim, the following strategies have been identified: -C Expand the number of facilities: by not limiting the Phase 2 investment grade audit to a specific set of buildings, FPLS will be able to examine, through a preliminary audit, multiple facilities and select the facilities and technologies that will produce the greatest possible energy savings. Phase expansion of outside air- control for Police Headquarters and control system upgrades at the larger facilities, including the Miami Riverside Center. •o If financially prudent, fold the renewable energy technologies (photovoltaic panels) developed in Phase I into a Phase.2 bundled package solution. FPL Services: A Partner Committed to Your Conservation FPLS is a prominent Energy Services Company committed to providing energy solutions and savings to our customers. Our expertise in energy conservation, renewable energy and utility rate structures will provide the City of Miami with the confidence of working with a leading and trusted energy partner. Throughout FPL.'s 84 -year history, energy awareness and conservation have been among our top priorities. FPL Group received Florida's "Green to Gold" award in its inai -Dral year of 2009. Presented by Enterprise Florida, the honor is given to companies or organizations focused on developing green products and advocating sustainable management of resources. FPLS will bring this same comrnit neint to the City of Miami. V1e are pleased to have this opportunity to partner with the City of Miami in developing and implementing energy efficiency solutions as part of the EECBG program, and look forward to continuing our work with y0ur City staff. Page 3 AGREEMENT FOR fNTESTYl i NT GRADE AUDIT Energy Performance Contract, Engineerin6 & Project Planning TI1IS ENERGY PEPJ,0R1vLANCE CONTRACT (EPC) AGIR=MENT FOR AN 1 , ESTIMENT GRADE AUDIT (IGA) (tliis "Agreement") is made gild entered into as of the 15th day of June 20.09 ("Effective Fate") between FrL SERVICES, LLC (the ''Company") and the City of Miami (the "Customer") (the Company and the Customer each being referred to herein individually as a "Party` and collectively as the "Parties"), with reference to the following: Whereas, pursuant to this Agreement, the Parties wish to set forth their understanding concealing certain services (the "Services") to be provided by the Company to the Customer as set forth in Appendix A (Investment Cnade Audit Specifications),Appendix B (Clinton Climate Initiative Energy Performance Contracting Best Practices) and Appendix C (Special Terms and Conditions for Work Fielded Under American Recovery and Reinvestment Act oF2009 (ARRA). NOW, THEREFORE, iii consideration of the mutual promises and agreements set forth, herein, the Parties, intending to be legally bound, hereby agree as follows: 1. investment Grade Audit (FGA). The Customer hereby requests the Company to perform an Investment Grade Audit (IGA) for an Energy Efficiency Building Refront with respect to the facilities legally owned or operated by the Customer at which the Customer desires the Company to perform Services (the "Service Location(s)") shown on Appendix A. The Company ab ees to perform such an IGA for the compensation set forth herein, and the Company undertakes to prepare and submit to the Customer an IGA Report- with respect to recommended Energy Conservation Opportunities (ECO) at such Service Location(s) and accompanying implementation contract. Detailed specifications, if any, agreed upon by the Parties for the IGA (including, but not limited to, energy savings technologies to be reviewed, the Customer's payback criteria, special terns and conditions for the use of ARRA fluids, time schedules and other such matters) are set forth in Appendix A ,B & C, attached hereto. 2, Customer Cooperation. To expedite the energy audit, the Customer shall use reasonable efforts to assist the Company in perforning the Services contemplated by this Agreement, including providing reasonable access to each Service Location, providing inforniation concerning each Service Location, making appropriate Customer personnel available if requested by the Corripany to assist the Company in performing such Services, and taking any other actions the Company may reasonably request from time to tune to achieve the purposes and intent of this Agreement, 3. Election to Proceed with ECOs. Upon submission by the Company to the Customer of ail Investment Grade Audit Report and accompanying implementation contract as set forth in Section 1 above, the Customer shall have ninety (90) days to deteradne, in its sole discretion, if it wishes to proceed with the -implementation of any or all of the ECOs recommended by the Company in the IGA Report (the "Implementation Services"). If the Customer fails to provide the Company with its written intent to proceed with the Inmpleinnentation Services of the project as reconmmended by the Cornpculy within such ininety (90) -day period, the Company's obligations under this Agreement shall terminate, without father liability of the Company, and the Customer shall be obligated to pay the Company for the Agreement Price for .IGA Report in accordance with the provisions of Section 4.2 of this Agreement. If, however, the Customer wishes to proceed with the Implementation Services identified in the IGA Report and provides the Company with written intent to proceed in accordance with the foregoing, then the Company and the Customer shall enter into a separate agreement (the "Implementation, Contract'). 4. .Price and Pavment. 4.1 Investment Grade Audit Price. Subject to the provisions of Section 4.5 below, the Customer shall pay to the Company the stun of $100,000 (the "Agreement Price") for all Services performed by the Company pursuant to this Agreement. The Agreement Price is the full compensation for such Services and includes all federal, state and local taxes, if any, assessed witli respect to the Services or with respect to the famishing of any items. hereunder. The Agreement Price shall be. incorporated into the total project cost and if the Customer chooses to implement only a portion of said sei7dces, the Customer shall not be held liable for any costs exceeding the Azreement Price. 4.2 Pavment on Vermination. hi the event of a termination ofthe Company's obligations under this Agreement, the Company shall provide an invoice to the Customer for the full Agreement Price, and the Customer shall be obligated to pay such amount within tliiliy (30) days following receipt of the invoice. 4.3 Deferral Election. In the event the Customer elects to proceed with the Implementation Services pursuant to Section 3 above, the Customer shall notify, the Company, on or before executing an Implementation Contract, of the Customer's election to either (a) receive an invoice for the fill amount of the Agreement Price, or (b) defer and rollover payment of the Agreement Price until such time as compensation is payable to the Company pursuant to the implementation Contract. If the Customer elects, pursuant to clause (a) of the foregoing; to receive an invoice, or if the Customer fails to male-- a timely election pursuaint to the foregoing deferral option in (b), the Company shall issue a1 invoice for the full anou nt of the Agreement Price, and the Customer shall be obligated to pay such amount within thirty (30) days following receipt of tlne invoice. 4.4 Date Payments. Any overdue payment winder this Section 4 shall bear interest at the Delayed Payment Rate of 1.5% per aummn from the date such payment is due until and including the date of payment. 4.5 Release from Payment Obligation. 4.5.1 Notwithstanding any provision in this Agrecnlent to the contrary, the Customer shall have no obligation hereunder to pay the Company for the Services performed by the Company tinder this Agreement if (a) the IGA Report submitted by the Company pursuant to Section 1 does not identit, at least one potential ECO at a Customer Service Lcoation specified in Appendix A wlhich meets the Customer's agreed upon paybacic criteria of 10 years or less, and (b) tine Customer does not elect to proceed further with any approved ECO as set forth in Section 3. For purposes of the foregoing, the term "payback criteria", with respect to an ECO, shall mean the number of years obtained by dividing (i) the total estimated implementation cost of the ECO, as set forth in the IGA Report (including the Price specified in Section 4.1 hereof, but excluding all fmancing costs associated with implementation of the ECO), by (ii) the estimated savings to the Customer from the installed ECO, including energy savings, maintenance savuzgs, avoided capital costs, and other costs as applicable, as set forth in the IGA Report. All such estimates shall be made by the Company in its sole professional judgment and the Customer. reserves the right to request and review any backup information used to determine estimates. 4.5.2 In the event the Company determines, prior to submission of the IGA Report to the Customer, that the Company will not be able to identify at least one potential ECO which meets the Customer's agreed upon paybacic criteria as set forth in Section 4.5.1 above, then the Company, in its sole discretion, may elect by written notice to the Customer to teimhinate the Agreement without further liability, unless the Customer, within five (5) days following receipt of such notice, elects in writing to waive the provisions of Section 4.5.1 above and to pay to tae Company the Price as otherwise set forth herein. 5. Disclaimer of Warranties. THE CUSTOMER ACKNOWLEDGES AND AGREES THAT THE COMPANY HAS NOT KADE, DOES NOT MAKE AND SPECIFICALLY NEGATES AND DISCLAIMS ANY REPRESENTATIONS, WARRANTIES, PRO-NgSES, COVENANTS, AGREEMENTS, OR GUARANTIES OF ANY KIND OF CaARACTER WF3ATSOEVER, WHETHER EXPRESS OR IMPLIED, ORAL OR WRITTEN, PAST, PRESENT OR FUTURE, OF, AS TO, CONCERNING, OR WITH RESPECT TO (A) THE SUITABILITY OF THE SERVICES FOR ANY AND ALL ACTIVITIES AND USES, (B) THE COMPLIANCE OF OR BY THE SERVICES OR ITS OPERATION WITH ANY LAWS, RULES, ORDINANCES, OR REGULATIONS OF ANY APPLICABLE GOVERNMENTAL AUTHORITY OR BODY, AND (C) THE MERCHANTABILITY, hv1R ETABILITY, PROFITABILITY, OR FITNESS FOR A PARTICULAR PURPOSE OF THE SERVICES AND IJvfP D WARRANTIES OF CUSTOM OR USAGE. 6. Limitations of Liabil . Neither Party shall be liable to the other Party for special, indirect, consequential or punitive damages, even if the Party has been advised that such damages are possible. No Party shall be liable for lost profits, lost revenue, or lost institutional operating savings. Iii no event shall the Coiupmy's total aggregate liability exceed the Agre ment.Price set for in Section 4.1 for the Services under this Agreement. 7. Indemnification. Company shall indeinnify, .and hold harmless the Customer and its officials, employees and agents (collectively referred to as "Indeinnitees") and each of thcna from and against all loss, costs, penalties, fines, damages, claims, expenses (including attorney's fees) or liabilities (collectively referred to as "Liabilities") by reason of any injury to or death of any person or damage to or destruction or loss of any property arising out of, resulting Lom, or In connection with (1) the performance or non-performance of the services contemplated by this Agreement which is or is alleged to be directly or indirectly caused, in whole or in part, by any act, omission, default or negligence (whether active or passive) of Company or its employees, agents or sifocontractors (collectively referred to as "Company"), regardless of whether it is, or is alleged to be, caused in whole or part (whether joint, concurrent or contributing) by any act, omission, default or negligence (whether active or passive) of the Indenuaitees, or any of then? or (ii) the failure of the Company to comply with any of the paragraphs herein or the failure of the Company to coinform to statutes, ordinances, or other regulations or regiiireinents of any govenunental authority, federal or state, in connection with the performance of the Agreement. Company expressly agrees to indemnify and hold harmless the Indemnitees, or any of then, from andd against all liabilities which may be asserted by an employee or former employee of the Company, or any of its subcontractors, as provided above, for which the Company's liability to such employes or former employee would otherwise be limited to payments under state Workers' Cornpensation of similar laws. This Indemnity shall be interpreted to comply with § 725.06 and § 725.08, Fla. Stat., as applicable. 8. Confidentiality. Both Parties agree to hold Confidential Information in strict confidence and agree that it shall not disclose Confidential Information without prior written consent of the other patty. For purposes of this Agreement, "Confidential Information" shall mean all infoinnation, regardless of the foinm in which it is comimuunicated, prepared or maintained (whether oral, written, or visual) by a party (he "Disclosing Paty") which is disclosed to the other party (the "Receiving Party") in connection with the this Agreement and including all reports, analyses, notes or other inforinnation that are based on, contain or reflect any such Confidential Information, Confidential Information may only be disclosed to employees or subcontractors with a. need to know the Confidential Infonmation for the sole purpose of performing it obligations tunder this Agreement and the Receiving Party is responsible for any breach of this Section 7 by its employees or subcontractors. This Section does not apply to information that is presently a matter of public knowledge, which is or becomes available on a non -confidential basis from a source which is not luiown to be prohibited fi-om disclosing such infonmation or which was legally in the Receiving Patty's possession without obligation of confidentiality prior to disclosure by the Disclosing Paa-ty. In the event that either Pzuty is requested or required by legal or regulatory authority to disclose any Confidential Information, the Receiving Party shall promptly notify the Disclosing Party of such request or requirement prior to disclosure so that the Disclosing Party may seek an appropriate protective order and/or waive compliance with the teens of this Agreement. Both Patties aclutovvledge that the Disclosing Party would not have an adequate remedy at law for nnoney damages if the covenants contained in this Section 7 were breached. Accordingly, the Disclosizig Party shall be entitled to an injunction restnd ning Receiving Patty from violating this Section 7. 9. Ownership. Except for each Party's Confidential Information, the Parties agree that the IGA Report, inchldi ng a1137 useful ideas, concepts, methods, procedures, processes, improvements, inventions, discoveries, and the like produced or composed in comicGtion with work products resulting u•om the Services perforined shall be solely owned by the Company, not the Customer, and the Company shall own the intellecival propel -Ey rights thereto, including all copyrights. The Company Hereby grants the Customer a non-exclusive, linnited, perpetual, and royalty-f7•ec license to use IGA Report for its internal business purposes. The Customer agrees that, notwithstanding ' anything to the contrary set forth herein, as part of the Corlpany's provision of the Services inereunder, the Company may utilize preexisting intellectual property, including without limitation software, methodologies, tools, specifications, models, samples and doctuuentation, the Company's Confidential Information, as well as copyrights, tradennarlcs, service merles, ideas, concepts, know- how, techniques, lahowledge or data, which have been originated, developed or purchased by the Company or by third parties raider agreement to provide services for such third patties. The Parties shall retain exclusive ownership, right, title and interest in any Confidential Information provided to the other Party in connection with this Agreement. 10. Governing Law. This Agreement shall be govein•1ed by, construed and enforced in accordance with the laws of the State of Florida, exclusive of conflicts of laws provisions. 1 1. Tadeoendent Contractor. The Company shall be an hndependent contractor- with respect to the Searvices performed li=L nder, and the Compar_y shall not be deemed to be an employee, representative or agent of the Customer. Nothirng in this Agreement shall be construed as inconsistent with the foregoing independent contractor status or relationship, or as creating or implying any partnership, joint venture, trust or other relationship between the Company and -the Customer. 12. Survival. Sections 4, 5, 6, 7, S and 9 shall survive the teimination or expiration of this Aa1•eement 13. Severabiaity. The invalidity of one or more phrases, sentences, clauses orsections contained in tliis Agreement shall not affect the validity of the rennaining portions thereof so long as the material ptuposes of such doculment can be determined and eff ctuated. 14. Non -waiver, The failure of a Party to enforce, insist upon, or comply with any of the terms, conditions or covenants of this Agreement, or a party's waiver of the same in any instance or instances shall not be consiTued as a general waiver or relinquishment of any such terms, condlt10I1S or covenants, but the same shall be and remain at all times in full force and effect. 15. Assianment. This Agreement and each Party's rights, duties and obligations tinder this Agreement are personal in nature and shall not be subcontracted, assigned, delegated or otherwise disposed of by either Party without the prior vnitten consent of tlne other Party. Such approval shall not be tinreasonably witiilleld. Notwiti-istanding the foregoing, the Company may assign this A, reement to an afMiate or subsidiary upon prior written approved by the Customer. 16. Compleie Agreement. This Ao reement is composed of this doclunent and all exhibits hereto. This Agreement constitutes the entire and final agI•eenlent and supersedes all prior and contemporaneous agI•eements, representations, warranties and understandings of the parties whefuer oral, written or Implied. D WITNESS 'WHEREOF, the Parties hereto have executed this Energy Performance Contract (EPC) Agreement for an Investment Cnade Audit (IGA) by and tln•ough their duly authorized representatives as of the date first hereinabove written. THE COMPAQ': PL Services, LLC By: Cnegothou Its: VP i/d GM, FPL Services, LLC TBE CIiSTO City of Mianu,a 1prida lvltuucipal Corporation By: Pedro G. Herz Its: City Manager Approved as to L�'o�nx: City A n�e n0� AGREEMENT FOR INVE, STMENT GRADE AUDIT Energy Performance Contract, Engineering & Pro,jeef Planning Between Ir'PL Services, LLC, and the City ofMi imi CITY OF MIAMI, a municipal Corporation of the State of Florida ATTEST: PRTSCILLA TH010SON CITY CLERK CITY RiAINAGER APPROVED AS TO FOR -1\6 ANM CORRECTNESS JUZIF, f �� CITY ORNEY Aunendix A - Investment Grade Audit Specifications 1. Service Locations: r�571t.i Ora�,Fa't.w�"2' a nal new .tg', k9 L'utf r ter ! yxk ^d� .Wr ILII.°,.nY.Fse5r� ? P.t'.4C.u�?-�Y.l;�9Y� �e��' aA ��A>irry "�A , * 1 Police headquarters 400 NW 2"d _venue $494,629 5,426,400 ( 290,126 2 1 City hall 3500 Pan American Drive $69.1127F 654,000 43,063 3 Fire -Rescue Training Ctr, Police N District Substation Manuel Aithne Contin. Cir.. Police S District Substation Fire-RescueSupEoit Service 3425 Jefferson Street 1050 NW 62id Street 970 SW 151 Street 2200 W Flagler Street 1151 NV+T 7t1' Street 11 $66,051 562,681 549,386 545,022 674,700 666,720 571,920 522;600 476,050 30,000 est. 24,437 25,000 est. 16,546 51,596 4 5 6 7 5 Five -Rescue Station 4#1 Vir ick Park 144 NE 5"' Street 3255 Plaza Street $44,054 $42,654 444,720 424,320 11 20,000 est. 32,137 9 10 Cutis Pane 1901 NW 24" Avenue 900 SW 15t Street $35,726 $36,754 223,300 273,600 15,000 est. I 5,592 11 Manuel Altime Com Center j Theater Tine cost to perfolan the Investment Grade Audit, including the initial steps toward LEED certification and Energy Star labeling, is 5100,000, or approximately $9,100 per facility. Should the City decide to proceed to implementation the City may elect to include this cost as part of the overall implementation project. 2. Project Performance Criteria: This Energy Performance Contract (EPC) Agreement for an Investment Grade Audit (IGA) will comply with Clutton Climate Initiative (CCI) Energy Performance Contracting Best Practices (Appendix B). Where financially feasible, the IGA will include Uusuing LEED for Existing Buildings Operations & Maintenance (LEED EBOl.) Certification and Energy Star labels. ® FPL Services will investigate renewable energy teclulologies forthe facilities listed above, and provide recommendations for use of such in IGA Report 3. Detailed Local or Site Specific Concerns: None noted. 4. Energy Savings Technologies required by the Customer: None noted at this time. 5. Payback Criteria: As indicated in Section 4.5.1 above, the maximum payback criterion is 10 years for identified ECOs. The decision to include either LEED or Energy Star will ultimately rest with the City based on the additional cost and payback period required. . - 6. Timeline for commencing the IGA and submitting the ?!GA Report to the Customer: TGA "Kick Of?'Meeting: The Customer and the Company agree to schedule an IGA "Kick Off' meeting within two weoeks of executing this Aeement. TGA Report & EPC Contract: The IGA Report Enid accompanying ImplernenteLon Contract will be provide-d to the Customer within 90 clays following the "Kick Off" nleetino. Annendix E— M Energy Performance Contracting Best Practices cLir� on C L I N 1 O N Energy Performaice Contacting aornonr�ov i' tJr' Best est Practices INITIATIVE IATIVL The Clinton Climate Initiative President Clinton launched the Clinton Climate Initiative (CCI) in August 2006 to innalct a difference in the fight against climate change in practical, measurable and significarit ways. In its first phase, CCI is serving as the exclusive implementing pa-tmr of the C40 Large Cities Climate Leadership Croup, an association of large, international cities that have pledged to accelerate their efforts to reduce greenhouLse aas emissions. Expanding upon its wort: with the C40, CCI is pamering with additional cities, building owners and institutions to develop and implement large-scale projects that result in substantial reductions in greenhouse gas missions. In May 2007, President Clinton am-iounced the creation of an Energy Efficiency Building Retrofit Prognun. This program brings together many of the world's largest energy service companies, financial nlstitutrons, and cities in a landinnark effort to reduce energy consumption in existing buildings across the municipal, private, commercial, educational and public housing sectors. CCI CONMMENT CCI will negotiate initial agreements to launch an Energy FfEciency Building Retrofit Program; serve as ongoing liaison among ESCOs, owners and financial partners to ensure Continuity, focus on the mission and long-term program performance; develop, in cooperation with partners, a broad set of industry best business practices for the program; work with building owners to stinnulate incrennental demand for energy efficiency sen7ices among owners, negotiate streamlined procuuement and regulatory processes t'nat eliminate or reduce barriers to the Prograu; and seek cornplementay sources of fu nding and credit enhancement such as IFI financial guarantees, investment credits, and utility rebates to lower total Program costs and risk. ESCO COMMIT'ME( N"r COI's ESCO partners agree to work with CCI and owners in good faith to maximize energy and oilier related savings witlniin a justifiable economic model that delivers sustainable peifornnance f orn the building improvements implemented, provide performance guarantees of CnGro)' StlVlll�s, GXptlIlU [dell' ousmesses io meet Yrogl'aln a'owui, wort mlml l Ul to Towel' total system. costs and prices, and develop, in cooperation with owners, CCI, and othe. program partners, mutually acceptable performance contract terms and conditions, ESCOs agree to use the Clinton Foundation's nine or logo or any name or logo owned or used by the Clinton Foundation, of President Clinton's name, image, voice or likeness (collectively, the "Clinton Images") only with the express vTitten consent of the Clinton Foundation and agree that the Clinton Foundation has the absolute right to revieuj and approve (in Writing) any and all proposed uses (in their entirety) that include Clinton Images. The Clinton Foundation's written response will normally be rendered within seven (7) business days of receipt by the Clinton Foundation (or its designated representative), incl, if a response is not received within seven (7) business days, the request should be deemed rejected by the Clinton Foundation. ENERO'Y SERVICES PROCUREMENT AND DELINTERI' MODEL The Program will operate in the following way and is generally described in Figure 1 below: ESCO Pre -qualification ° Financial stability Technical expertise ° Resource mobilization Initial Owner RFP Commitment ° Harmonization ° Credit check ° Investment criteria ° Qualifications ° Scope of work -° Transparent pricing .'.Cost -reduction incentive Performance Contract ° Qualified measures ° Performance guarantee ° Walk -away compensation \ Selection Audit Investment e Conformance ° Qualitative evaluation Figure 1 ° =n'rgy engineering Investment Proposal Service proposal ESCO FRE -QUALIFICATION cox' INITIAL, OTiWER COTvII1RTMENT ° Underwriting ° =quity Participation Owners may pre -qualify a pool of qualified ESCOs. Pre -qualification is intended to be a high- level review of total ESCO capabilities rather than a detailed evaluation. More detailed qualification information about local capabilities will be included in and submitted at the tine of an RFP, i ne loiiowing consiaeranons will De part of uie pre-qua.iineation process; L)o eanctictate ESCOs have the requisite technical shills to develop, deliver, and service large building energy retrofit projects? Do they have a demonstrated history of successfully delivering promised energy savings and performance guarantees? Do they have the ability and willingness to use local labor and product suppliers wherever feasible? Do they have the ability and willingness to einploy project and product performance specifications that ensure the best value for building owners? Do they have adequate financial bonding capacity and other attributes accepiable to CCI, owners, and financial partners that influence the quality of their performance guarantees? RFPL & ESCO SELB(CTION Owners play invite a Request for Proposal (RFP) from ESCOs. Ouliners may initiate projects by identifying specific btd1dings to evaluate and establish threshold financial criteria for approval of efficiency pleasures (cash flow, simple payback, life cycle model), Owners requiring financing may allow ESCOs and financial partners to complete a credit check. ESCOs will respond with airy qualifications unique to the defined scope of work and other attributes they believe make them the best qualified candidate. Owners will evaluate responses using such criteria as 1.) management approach, 2) technical approach, -3) project development methodology, 4) project delivery methodology, �) past performance, 6) service capabilities, 7) interview perforiiiance, 8) local resource mobilization, and 9) financial terms (e. g., walls -away fes, insurance coverage, bonding) and will award priiane contractor responsibility to an ES CO with the best qualifications and most attractive terms. While harmonized, the selection process may be adapted by each owner according to prevailing statutes in its jurisdiction; and while an PFP is a single tender with a defined scope of work that would normally be implemented by a single selected ESCO, it may sometimes be .awarded to more than one ESCO. AUDIT— ENERGY PERFORMANCE CONTRACT, ENGM. ERrNG, AND PROJECT PLANNING After selection of an ESCO as the prime contractor, but before beginning site-specific work, the selected ESCO and owner will execute an energy performance contract (EPC). An EPC will eonfnn the financial criteria that each owner will use to evaluate measures proposed for their buildings. An EPC will ensure agreement between the owner and the ESCO on key issues such as preliminary project performance criteria and local or site specific concerns. An EPC will include provision of an ESCO-provided energy savings performance guarantee. An EPC will detail the walls -away compensation that the ESCO will receive should the ovnmer decide not to implement qualified measures, which will normally be a percentage of the estimated project cost or actual project development costs. To expedite the energy audit, building owners and cooperating tenants will provide certified data as follows: 1) the age of each building in the scope of work, 2) the building gross square footage and number of floors, 3) all building energy usage in the most recent 13 to 36 nnontln period (electricity, fuel, natuxal gas, water/sewer, purchased chilled/hot water & steam) inc1uaing ren -,m: space where energy majt be 11 =Teel s2l Rrately, 4) tile builCl111g Occupancy and use, 6) any historical energy audits, and 6) any anticipated building changes and major capital imUrovements. This data will serve as a baseline for GHG emissions and help prioritize buildings for retrofit. ESCOs will develop a scope of work addressing specific energy savings and project costs for improving the efficiency of buildings including all enemy consuming systems, building envelope, and oilier aspects of file site that may impact GPIG emissions; such as operating procedures and occupancy schedules, even when separate pe mission must be obtained from tenants to do so. IMT STMENIT - APPROVAL, IMPLRAMNT_ATTON, AND PERF ORMiUNCR A.SSURANCR ESCOs will audit, develop mad estimate the cost of viable retrofit measures using transparent pricing that will allow owners to compare project costs with reference data acceptable to owners. Examples of such reference data include publicly available pricing schedules, labor estimating standards or similar reference points appropriate to the jurisdiction. Qualified measures developed and guaranteed by ESCOs will be ir_zplemented after approval by the owner, provided that reasonable and safe building access has been granted by the owner and the owner's tenants. work will be implemented u+ith a guaranteed maximum price (GMP) in accordance with the performance contract executed by an owner and ESCO. ESCOs will be provided incentives to reduce project costs fntther by a cost -reduction feature that splits net project cost savings (i.e., amounts below the approved GMP or financial_ savings attributed to accelerating construction) on a basis that is acceptable to both parties. CCI will support an ESCO's product supplier selection to ensure use of suitable emissions -reducing equipment and technology. CCI will also mance available to its clients the discounted prices that it negotiates with manufactured product and service providers. ESCOs will provide an energy performance guarantee with acceptable measurement and verification that specifies energoy and other related savings to be achieved and places specific liability on the ESCO in order to assure performance. The guarantee will compensate ovmcrs for energy savings shortfalls that occur for which ESCOs are deemed liable. Owners will fund the measurement; verification and maintenance services acceptable to ESCOs to help ensure proper measurement, verification, operation and maintenance of retrofitted buildings for the term of the performance.guarantee. Measurement and verification (M&V) procedures will be guided by the International Performance Measurement & Verification Protocol (IPMVP). Measurement will include a calculation of the reduction in GHG emissions generated by the project and ESCOs will report these to the CCI GHG Measurement Program.