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HomeMy WebLinkAboutPR 15219: GARNER ENVIRONMENTAL SERVICES, INC.Interoffice MEMORANDUM To: Mayor, City Council, and City Manager From: Mark Sokolow, City Attorney ~ ~.~../ Date: May 1, 2009 Subject: P. R. No. 15219; Council Meeting May 5, 2009 Attached is P. R. No. 15219 authorizing an Agreement with Garner Environmental Services, Inc. as to provide emergency environmental, disaster, and logistical response services in the case of an emergency or disaster. MTS:gt Attachment cc: Major Owens, PAPD GARNER ENVIRONMENTAL SERVICES, INC. z.pr15219 memo P. R. No. 15219 04/28/09 gt RESOLIITION NO. A RESOLIITION AIITHORIZING AN AGREEMENT WITH GARNER ENVIRONMENTAL SERVICES, INC. A3 TO PROVIDE EMERGENCY ENVIRONMENTAL, DISASTER, AND LOGISTICAL RESPONSE SERVICES IN THE CASE OF AN EMERGENCY OR DISASTER WHEREAS, on per Resolution No. 05-094, the City of Port Arthur entered into an Agreement with Garner Environmental Services, Inc. to provide emergency, disaster and logistical response services; and, WHEREAS, per Resolution No. 07-071, the City of Port Arthur entered into a new Agreement with Garner Environmental Services, Inc. to provide emergency, disaster and logistical response services with said agreement expiring on February 14, 2009; and, WHEREAS, the City of Port Arthur desires to enter into an Emergency Contract with Garner Environmental Services, Inc. as to provide emergency environmental, disaster, and logistical response services in case of an emergency or a disaster, as delineated in Exhibit "A"; and, WHEREAS, this agreement is nonexclusive and the City retains the authority to retain other companies to perform similar work.. NOW THEREFORE, BE IT RESOLVED BY THS CITY COIINCIL OF THE CITY OF PORT ARTHIIR: z.pr15219 Section 1. That the facts and opinions in the preamble are true and correct. Section 2. That the City Manager is hereby authorized to enter into a twelve (12) month contract, which shall be automatically renewable on a yearly basis, with Garner Environmental Services, Inc. for the provision of emergency environmental and/or disaster and/or logistical response services in substantially the same form as delineated in Exhibit "A", attached hereto. Section 3. That pursuant to Section 5, Article XIV of the City Charter, this agreement shall not exceed two (2) years in duration without additional authorization of the City Council. Section 4. That Garner Environmental Services shall sign this Resolution agreeing to the terms hereof. Section 5. That a copy of the caption of this Resolution be spread upon the Minutes of the Corporation. READ, ADOPTED AND APPROVED on this day of A.D., 2008, at a Meeting of the City Council of the City of Port Arthur, by the following vote: AYES: Mayor NOES: _~ z.pr15219 Mayor ATTEST: TERRI HANKS, ACTING CITY SECRETARY APPROVED AS TO FORM: ~~ CITY ATTORNEY APPROVED FOR ADMINISTRATION: CITY MANAGER AGREED TO: GARNER ENVIRONMENTAL SERVICES, INC. BY: z.pr15219 EXHIBIT "A" AGREEMENT FOR RESPONSE SERVICES THIS AGREEMENT is made and entered into this day of , 2009, by and between the City of Port Arthur, Texas, a Texas municipality, and with a place of business located at 645 4th Street, Port Arthur, Texas 77641 (hereinafter "CITY"), and GARNER ENVIRONMENTAL SERVICES, INC., a Texas corporation, whose principal office and mailing address is 1717 W. 13th Street, Deer Park, Texas 77536 (hereinafter "CONTRACTOR"). CITY and CONTRACTOR shall collectively be referred to herein as the "Parties". WHEREAS, CONTRACTOR is engaged in the business of providing emergency environmental and/or disaster and/or logistical response services and is capable of rendering emergency response services up to and including "worst case" scenario as defined by the Oil Pollution Act of 1990 (hereinafter "OPA") to any CITY facility as identified by CITY as requiring the immediate services of CONTRACTOR; WHEREAS, CITY owns and operates or has owned or operated or has otherwise assumed responsibility for facilities, functions, and activities that require compliance with federal, state, and local environmental and regulatory requirements; and WHEREAS, CONTRACTOR can provide response services relating to such environmental and regulatory obligations and is willing to perform such services for CITY and its affiliates at all locations. "Affiliates" shall mean any corporation, partnership, joint venture, division or other legal entity, directly or indirectly, through one or more intermediaries, controlling, controlled by, or under common control with CITY, whether foreign or domestic. "CITY" as referred to herein shall include CITY'S affiliates. NOW THEREFORE, in consideration of these premises and the mutual covenants contained herein, the Parties agree as follows: ARTICLE 1. SCOPE OF SERVICE CONTRACTOR shall use its best efforts, on an as needed as available basis, subject to circumstances then existing, to provide to CITY, upon CITY'S request, emergency same-day environmental and/or disaster and/or logistical response services that may include but are not limited to containment, removal, neutralization, decontamination, recovery, cleanup, repackaging, transportation, confined space rescue, remediation and, in certain instances, disposal services relating to hazardous and/or non-hazardous materials and/or substances and/or wastes. "Waste" or "wastes" as used herein shall include hazardous materials and non-hazardous materials or substances. As used herein, the "services", the "Work" or the "subject of the Work" shall mean and/or include any substance and/or material and/or waste, whether hazardous or not, of whatever nature, to be removed or handled by CONTRACTOR as part of the services or Work for CITY and/or existing on CITY'S premises, property or the Worksite prior to or at the time of request for Work and/or at the time of performance of Work by CONTRACTOR. 1.1. CONTRACTOR operates a (24) hour-per-day, (7) seven-days-per-week emergency response service telephone line at 1.800.424.1716. Branch office numbers closest to particular CITY locations will be furnished to CITY as part and parcel of this agreement or CITY may call 281.930.1200 to obtain specific or local branch office numbers. The CITY'S representative making the call shall furnish to CONTRACTOR the name and title of the caller, the location of the site needing emergency response services (hereinafter referred to as the "Site" and/or "Worksite"), the hazardous and/or non-hazardous materials involved and other relevant facts relating to the situation in order that CONTRACTOR may use due diligence to mobilize the necessary personnel and equipment subject to the conditions of availability and necessity. Ref. 05/14/04 j Rev-3-02/19/04 Rev. 05/01/09 GES-38 1.2. The Parties recognize that, at the commencement of the Work in accordance with this Agreement, the scope thereof may not be well defined. The Parties agree that, at the commencement of the Work and at frequent intervals, their respective representatives shall consult with each other to review and define the scope of the work to be performed and outline strategies and approaches to such Work. CITY and CONTRACTOR shall each designate a representative who will be authorized to act with respect to the Work. Regarding the Work: The Parties hereby acknowledge that, on occasion, CITY personnel may authorize services and/or Work to be performed by CONTRACTOR based on an oral order, which may or may not be confirmed with a written purchase order, service order or work authorization. The Parties hereby agree that on those occasions it is the Parties' intent that CONTRACTOR respond based upon such oral order and that CITY be bound by the terms and conditions of this Agreement, which shall apply in all respects to the services or Work performed by CONTRACTOR; b. To the extent practicable, CITY shall promptly issue to CONTRACTOR a purchase order describing the scope of the Work to be performed and the names of the designated representatives for CITY and CONTRACTOR. In the event of a conflict between the terms of such purchase order and the terms of this Agreement, the terms of this Agreement shall prevail; and c. If the Parties later agree to modify materially the scope of the Work or the strategies or approaches thereto, they shall, within (7) seven calendar days of such modification, sign a written amendment to the purchase order issued. 1.3. CONTRACTOR undertakes to obtain and maintain any authorizations, classification and/or certification required by applicable federal, state, and/or local laws, regulations and ordinances and to give notice to CITY should such authorization, classification and/or certification terminate. 1.4. The following exhibits, regardless of whether they are physically attached hereto, are part of this Agreement and are hereby incorporated herein in the form that is current at the time Work is actually performed: A. CONTRACTOR'S current Domestic Response Rate Schedule; B. Insurance Requirements; C. If CITY is subject to OPA, CONTRACTOR'S "OPA" Packet (tier level response sheet /letter of intent /Discharge Cleanup Organization Certificate/ Oil Spill Removal Organizations classification /equipment and personnel list); D. If applicable by reason of CITY request for international response services, CONTRACTOR'S current International Response Rate Schedule; and E. If applicable by reason of CITY request for disaster, including natural disaster, response services, CONTRACTOR'S current Disaster Response Rate Schedule. 1.5. This is a nonexclusive agreement and the City retains the authority to retain other companies to perform similar work. ARTICLE 2. RESPONSIBILITIES OF CONTRACTOR 2.1. CONTRACTOR shall provide trained and competent personnel, and the appropriate skilled supervision, labor, materials, tools, equipment, personal protective equipment (hereinafter "PPE"), and subcontracted items where necessary and/or as requested for the performance and completion of the Work. CONTRACTOR recognizes that time is of the essence in the performance of the Work and shall proceed with its best efforts under the circumstances then existing subject to conditions of availability and necessity. 2.2. CONTRACTOR shall take necessary precautions for safety of its employees and shall comply with all applicable provisions of federal, state, and local safety and health laws, rules, and regulations and, while on CITY premises, shall abide by all of CITY'S rules that are provided by CITY and further shall erect and properly maintain, as required by the conditions and progress of Ref. 05/14/04 2 Rev-3-02/19/04 Rev. 05/01/09 GES-38 the Work, necessary safeguards for the protection of its employees and shall require all subcontractors hired or supervised by it to implement such safeguards and to comply in the same manner. 2.3. If requested by CITY, CONTRACTOR will endeavor to assist CITY in obtaining the proper and necessary permits for the Work, subject to on-site conditions and/or applicable rules and regulations; however, CONTRACTOR shall in no way be obligated to satisfy any local, state or federal regulatory reporting requirements that may apply. All required environmental clean-up permits shall be issued in CITY'S name. ARTICLE 3. RESPONSIBILITIES OF CITY 3.1. CITY shall furnish to CONTRACTOR information on the Worksite concerning physical characteristics, soil reports, subsurface investigations, utility and easement locations, and other similar reports or documents reasonably needed by CONTRACTOR to perform the Work. Where necessary, CITY shall furnish information on any body of water or shoreline affected, including charts and maps. 3.2. CITY shall ensure that it is in possession of CONTRACTOR'S current applicable Response Rate Schedule in effect at the time CITY requests CONTRACTOR'S services. 3.3. Whether or not CITY owns or operates the Worksite, CITY shall, prior to commencement of the Work, arrange for, provide for and ensure lawful access to the Worksite by CONTRACTOR, its employees and subcontractors and their vehicles and equipment. 3.4. CITY shall furnish to CONTRACTOR copies of Material Safety Data Sheets (MSDSs) for all known hazardous and/or non-hazardous materials to be cleaned up at the Worksite. ARTICLE 4. COMPENSATION 4.1. Compensation which shall be payable by CITY to CONTRACTOR shall cover and include all overhead, superintendents, labor, use of equipment furnished, and all other cost and expense incurred by CONTRACTOR in the performance of said Work whether or not specifically enumerated in CONTRACTOR'S then current rate schedule(s). CITY shall compensate CONTRACTOR for the Work performed for CITY pursuant to this Agreement on a time and materials basis as follows: a. For work performed domestically, in accordance with CONTRACTOR'S then current Response Rate Schedule at the time the Work is performed (Exhibit "A"); b. For work performed outside the United States, in accordance with CONTRACTOR'S then current International Rate Schedule at the time the Work is performed (Exhibit "D"); and c. For work performed in connection with disasters including natural disasters, in accordance with CONTRACTOR'S then current Disaster Response Rate Schedule (Exhibit "E"). 4.2. It is expressly acknowledged and agreed upon by and between the Parties that the rates, terms and conditions set forth within CONTRACTOR'S applicable response rate schedule, in their current form at the time Work is actually performed, are incorporated herein for all purposes as if fully copied at length, are part and parcel of this Agreement, and may not be modified except in writing signed by both parties. 4.3. CONTRACTOR shall submit weekly invoices to CITY for the Work performed pursuant to the oral request and/or purchase order issued in accordance with Article 1 herein setting forth the total amounts due in accordance with the applicable, then current Response Rate Schedule at the time Work is performed for labor, materials, equipment, subcontract services and other services Ref. 05/14/04 3 Rev-3-02/19/04 Rev. 05/01/09 GES-38 utilized or incurred in performance of the Work, less such previous payments as have been received for such Work. 4.4. CITY agrees to pay all amounts due under this Agreement in United States Dollars (US $) within fifteen (15) days of being invoiced. The balance of any invoice not timely paid will accrue a finance charge computed at the periodic rate of twelve percent (12%) per annum. In addition, if the invoice is not paid, the City will pay all reasonable attorneys fees and court costs. 4.5. All services provided to date by CONTRACTOR to CITY and/or its affiliates are subject to the terms of this Agreement and are to be ratified in accordance with this Agreement. CITY agrees to make timely payment without regard to whether CITY or CITY'S affiliates may be entitled to reimbursement from an entity or person not a party to this agreement including but not limited to CITY'S insurance carrier. 4.6. Should CITY request by telephone or in writing CONTRACTOR'S services and, acting on this request, CONTRACTOR mobilizes its equipment and personnel yet CITY subsequently terminates this request before services are performed, then CITY is obligated to, shall be responsible for, and shall pay for those equipment and personnel charges on a portal-to-portal basis in accordance with CONTRACTOR'S applicable then current Response Rate Schedule at that time. 4.7. All payments shall be made by CITY to Garner Environmental Services, Inc. at 1717 W. 13tH Street, Deer Park, Texas 77536. 4.8. CONTRACTOR reserves the right to require a retainer in an amount to be determined during the initial response, or at any time subsequent to commencement of operations and, in its discretion, may suspend operations until such retainer has been provided. ARTICLE 5. INDEPENDENT CONTRACTOR CONTRACTOR is and shall be, in the performance of all Work, services, and activities under this Agreement, an independent contractor and not an employee, agent, or servant of CITY. All persons engaged by CONTRACTOR to perform the Work, services, or activities described herein shall, at all times and in all places, be subject to the sole direction, supervision, and control of CONTRACTOR. The relationship between CITY and CONTRACTOR (including CONTRACTOR'S employees) shall be in all respects an independent contractor relationship and not an employer/employee or principal/agent relationship. ARTICLE 6. FORCE MAJEURE If due to Force Majeure either Party hereto is rendered unable, in whole or in part, to carry out its obligations under this Agreement, save and except for CITY'S obligation to make timely payments for services or Work performed, upon such Party giving written notice including full particulars of such force majeure to the other Party immediately after the occurrence of the cause relied on, then the obligation of that party giving such notice, so far as it is affected by such Force Majeure, shall be suspended during the continuance of any inability so caused, but for no longer period and such cause shall, as far as possible, be remedied with all reasonable dispatch. The term "Force Majeure" as employed herein, shall mean acts of God, strikes, lockouts, or other industrial disturbances, acts of the public enemies, wars, blockades, insurrections, riots, epidemics, landslides, lightning, earthquakes, fires, storms, floods, washouts, arrests and restraints of rulers and people, civil disturbances, explosions, inability with reasonable diligence to obtain materials and any other causes not within the reasonable control of the Party claiming a suspension which by the exercise of due diligence such Party shall not have been able to avoid or overcome. In no event, however, shall the foregoing limit the rights of the CITY or CONTRACTOR to terminate this Agreement or the Work as otherwise provided herein. Ref. 05/14/04 4 Rev-3-02/19/04 Rev. 05/01/09 GES-38 ARTICLE 7. INDEMNIFICATION 7.1. CONTRACTOR shall be liable for its own acts, omissions and representations as to whether it provided environmental and/or disaster and/or logistical responses services that may include but not be limited to containment, removal, neutralization, decontamination, recovery, cleanup, repackaging, transporting, confined space rescue, remediation, and in certain instances, disposal services relating to hazardous and/or non-hazardous materials and/or substances and/or wastes in accordance with industry standards. 7.2. CITY shall be liable for its own acts, omissions and representations as to its participation as a generator or owner of land that has hazardous or non-hazardous waste. 7.3. Each party shall indemnify, hold harmless and defend the other party for a breach of its obligations in this agreement. 7.4. CONTRACTOR shall maintain insurance as delineated in the attachment. ARTICLE 8. TITLE 8.1. CITY agrees that title to contaminated waste materials resulting from the cleanup and/or services provided in connection with the subject of the Work will not be transferred to CONTRACTOR. 8.2. CITY understands that CITY may arrange for another entity to provide transportation and/or disposal services. In the event CITY requests and authorizes CONTRACTOR to assist with transportation and/or disposal of waste, CITY acknowledges and agrees that CITY is the responsible party for the generation and existence of all hazardous and/or non-hazardous material and/or waste. 8.3. In the event that CITY requests CONTRACTOR'S assistance in meeting CITY'S obligations as set forth herein, CONTRACTOR as requested by CITY may (i) collect samples and perform analytical testing to assist CITY in the characterization of waste for the purpose of CITY'S manifest; (ii) identify a number of potential transporters and disposal facilities from which CITY may select in accomplishing the transportation and disposal of collected waste; and (iii) draft the technical provisions of contracts or purchase orders and prepare manifests implementing CITY'S selection of a transporter and/or disposal facility for review and execution solely by CITY. 8.4. Notwithstanding CONTRACTOR'S assistance which may be rendered to CITY as set forth above, CITY acknowledges and agrees that CITY shall be solely responsible for the storage handling, transportation, treatment, processing, and disposal of any wastes, pollutants, or contaminants that are the subject of this Agreement and for full compliance with provisions of the Resource Conservation and Recovery Act, as amended, the Comprehensive Environmental Response, Compensation and Liability Act, as amended, the Toxic Substances Control Act, as amended and all other applicable federal, state, or local laws, statutes, or regulations governing the treatment, transportation, storage, or disposal of waste material. 8.5. CITY and CONTRACTOR agree that CONTRACTOR is not and shall not be considered (i) the owner of material, substances, or wastes noted in the Scope of Work; (ii) the operator of a waste management facility; (iii) the generator, stover, or disposer of hazardous or solid waste; and (iv) to have arranged for the transportation, disposal of any wastes, pollutants, or contaminants by virtue of the performance of this Contract or anything contained herein, as those terms are used in the Resource Conservation and Recovery Act, as amended; the Comprehensive Environmental Response, Compensation and Liability Act, as amended; the Toxic Substances Control Act, as Ref. 05/14/04 5 Rev-3-02/19/04 Rev. OS/0l /09 GES-38 amended, or any other federal or state statute or regulation governing the treatment, transportation, storage, or disposal of materials or wastes. ARTICLE 9. TERM OF AGREEMENT The initial term of this Agreement shall be (12) twelve months after the date of execution by all parties. Thereafter, this Agreement shall be renewed for successive (1) one year terms unless either Party hereto provides written notice to the other Party at least (30) thirty days prior to the expiration date of the Agreement that they do not wish to have the Agreement renewed. Otherwise, either Party hereto may terminate this Agreement only for cause and after a failure to cure such cause within (10) ten calendar days after written notice. "Cause" if asserted by CONTRACTOR means a failure of CITY to make payment of an invoice timely or actions or demands of CITY that impair CONTRACTOR'S professional obligations. "Cause" if asserted by CITY means a failure of the CONTRACTOR to perform timely services or any other material breach of this Agreement. CITY shall pay CONTRACTOR any unpaid expenses or fees incurred prior to notification of termination in accordance with Article 4. All rights and obligations of the parties arising pursuant to this agreement prior to termination shall remain enforceable. ARTICLE 10. MISCELLANEOUS PROVISIONS 10.1. All headings herein are for convenience only and are in no way to be construed as part of this Agreement or as a limitation of the scope of the particular paragraphs to which they refer. The use of pronouns shall not affect the substance herein. 10.2. The covenants and agreements contained herein shall apply to, inure to the benefit of, and be binding upon the Parties hereto and upon their respective subsidiaries, affiliates, successors, and assigns. This Agreement shall not be interpreted or deemed to confer rights or benefits on persons not a party hereto. 10.3. If any provision of this Agreement is determined or declared by a court of competent jurisdiction to be invalid or otherwise unenforceable, all remaining provisions of the Agreement shall remain in full force and effect. 10.4. All parties agree that the validity, interpretation and performance of this agreement and contents thereof are to be interpreted and enforced pursuant to the law of the State of Texas. 10.5. No waiver by either Party of any default by the other Party in the performance of any provision of this Agreement shall operate as or be construed or deemed to be a waiver of any future default, whether alike or different in character. 10.6. This Agreement may be executed in two (2) or more counterparts, each of which shall be deemed an original, but all of which together shall constitute one (1) and the same instrument. 10.7. This instrument together with all documents described herein constitutes and expresses the entire agreement and understanding between CITY and CONTRACTOR, and any modification hereto must be made in writing and agreed to by both Parties; provided, however, that the scope of a particular job and the designation of representatives may be defined, amended, and modified as set forth herein. Ref. 05/14/04 ( Rev-3-02/19/04 Rev. 05/01/09 GES-38 IN WITNESS WHEREOF, the Parties hereto have executed this Agreement as of the date first above written. GARNER ENVIRONMENTAL SERVICES, INC. By: OTIS CHAMBERS CITY OF PORT ARTHUR By: (Typed/Printed Name) Title: EXECUTIVE VICE-PRESIDENT Title: Date: Date: Ref. 05/14/04 '] Rev-3-02/19/04 Rev. 05/01/09 GES38 GARNER ENVIRONMENTAL SERVICES, INC. 1717 West 13~' Street Deer Park, Texas 77536 (281) 930-1200 (800) 424-1716 DISASTER RESPONSE RATE SCHEDULE for Government Agencies ONLY Corporate Disaster Response Rate Schedule Schedule Operations For Government Agencies ONLY Revised January 2009 TABLE OF CONTENTS Power Equipment .............................. Pump Equipment ............................... Material Handling Equipment ............ Emergency Response Equipment ..... Heavy Equipment .............................. Personnel ........................................... Vehicles & Transportation .................. Environmental Control ....................... Water & Ice ........................................ Base Camps & Structures ................. EQUIPMENT .............................................................................................1 -2 ................................................................................................. 3 ................................................................................................. 4 .................................................. ...................... ................... 5 ................................................... ...................... ................... 6 ................................................... ...................... ................... 7 ................................................... ...................... ................... 8 ................................................... ...................... ................... 9 ................................................... ...................... .................10 ................................................... ...................... ................. 11 i All rates listed in this schedule are subject to change without notice. Corporate Disaster Response Rate Schedule Schedule Operations For Government Agencies ONLY Revised January 2009 Automotive Equipment Automotive Equipment Hourly Rates charges are portal to portal. A four (4) hour minimum time will be charged on all call-outs. A mileage charge of $0.50 per mile after the first 50 miles will be added for all automotive equipment, except for automobiles and pick-up trucks which will have a mileage charge of $0.445 per mile added where applicable. Equipment Decontamination /Washout Time and Material charges are portal to portal and will continue through decontamination and/or washout of any and all equipment used on the job. Haz-Mat Rates Haz-Mat rates will be charged when the material being dealt with has a hazard rating of two or greater on the NFPA 704 labeling system or hazardous material identifying system, or if a job requires the use of respiratory protection. Insurance The rates in this RATE SCHEDULE include insurance coverage for Worker's Compensation, General Liability, Pollution and Automobile Liability. A Certificate of Insurance will be forwarded upon request. These rates do not include work performed under the U.S. Longshoremen's and Harbor Workers Act (33 USC ss 901-950). For work performed under this statute, an additional 69% surcharge per $100.00 of wages will be assessed on labor only. Personnel All labor charges will be in accordance with Garner Environmental Services, Inc. service receipts. Charges for personnel are portal- to-portal. Garner Environmental Services, Inc. will invoice for personnel and the time required to mobilize, service, repair, and restock all vehicles and equipment used in the performance of the services for customer. Overtime for personnel will be charged at time and a half between 1600 (4:00 pm) through 0730 (7:30 am) Monday through Thursday; weekends from 1600 (4:00 p.m.) Friday through 0730 (7:30 am) Monday, unless personnel are working a scheduled shift. DOUBLE TIME RATES will be charged for all National Holidays. 4-Hour Minimum Service Charge on All Labor Call-Outs. In the event Garner Environmental Services, Inc. responds to a request from Customer and/or on behalf of Customer for record gathering and/or litigation support services, Customer will pay for personnel provided and/or requested in the amount corresponding to the personnel designation in the rate sheet. Replacement of Damaged or Contaminated Equipment If, during performance of a service and/or services for a customer, equipment and/or material sustain damage which renders the equipment and/or material beyond repair or renders decontamination impossible, said equipment and/or material will be subject to a replacement charge at Garner Environmental Services, Inc.'s cost plus 15% unless said damage was sustained as a result of misuse by Garner Environmental Services, Inc. personnel. Roll-Off Boxes Roll-Off Box delivery and pickup charges vary according to the distance from the site location. The cost for roll-off box liners is $50.00 each. Box Liners are not mandatory, but if the Roll-Off Box requires cleaning at the end of the rental period, the customer will incur the cleaning charges. Logistic Staging Area The parties agree that Garner Environmental Services, Inc. (GESI) utilizes a Logistic Staging Area (LSA) for deployment of equipment, personnel, etc. To the extent that the LSA services more than one area, GESI will charge its customers/contract holders on a pro rata basis, to the extent practical, taking into consideration the amount of equipment deployed on behalf of a particular customer as well as the associated services and costs. For LSA charges not subject to proportionate charges, the LSA will be charged to the customer at a package rate. LSA costs are not included in any equipment unit rates and will be charged and invoiced separately. All rates listed in this schedule are subject to change without notice. Corporate Disaster Response Rate Schedule Schedule Operations For Government Agencies ONLY Revised January 2009 Subcontract Services /Third-Party Services When Garner Environmental Services, Inc.'s equipment is available, Garner Environmental Services, Inc. will use and bill Customer for said equipment at rates published in the rate schedule. For any item that is identified on Garner Environmental Services, Inc.'s rate sheet and which Garner acquires through or from a third party vendor or supplier, Customer will pay to Garner Environmental Services, Inc. the higher of Garner Environmental Services, Inc.'s rate or Garner Environmental Services, Inc.'s cost plus a 15% handling charge. A 15% handling charge will apply and be invoiced for all shipping and transportation of equipment, materials and goods regardless of whether such equipment, materials and goods appear on Garner Environmental Services, Inc.'s rate schedule. In addition, for all items not listed on Garner Environmental Services, Inc.'s rate schedule, including but not limited to personnel, equipment, materials and goods, laboratory services, testing services, damage waivers and/or other services, said items will be billed at Garner Environmental Services, Inc.'s cost plus a 15% handling charge. Cost, as used herein, is defined as the amount invoiced to Garner Environmental Services, Inc. by a third-party supplier of material and/or goods and/or material and/or labor and/or equipment and/or services. Taxes All domestic federal, state and municipal taxes, except income taxes and ad-valorem taxes, now and hereinafter imposed with respect to services rendered, to rental equipment, to the processing, manufacture, repair, and to the delivery and transportation of equipment and supplies will be added to and become part of the total price payable by the Customer. If a Customer claims an exemption from payment of Sales and Use Tax, the Customer will be required to render an Exemption Certificate or a Resale Certificate to Garner Environmental Services, Inc. for said exemption to apply to the services rendered. If for any reason the services rendered result in the assessment of foreign income taxes, excise taxes, or other fees alleged as owing to a foreign state or government, the Customer will pay directly the amount of any assessment or fee. In the event Company pays any such foreign tax or fee directly, Customer will promptly reimburse Company for same. Terms The term of payment for all invoices is Net 30 Days from the date of invoice in United States Dollars (US $) unless prior arrangements have been made. The balance of any invoice not timely paid will accrue a finance charge computed at the periodic rate of one and one-half percent (1.5%) per month (18% per annum) beginning on the first day of the first month following any delinquency. Customer is obligated to make payment to Garner Environmental Services, Inc. at its principal office at 1717 West 13th Street, Deer Park, TX 77536 in Harris County, Texas. Place of Performance The procurement of Garner Environmental Services, Inc.'s services may not be in the same county as the work site area. Customer is obligated to make payment to Garner Environmental Services, Inc. in Harris County, Texas for services provided. Because this agreement has been procured in Harris County, Texas and is being managed and administered from Garner Environmental Services, Inc.'s central office in Harris County, Texas, this agreement is being performed in Harris County, Texas. The validity, interpretation and performance of the services and payment and the contents herein are to be interpreted and enforced pursuant to the laws of the State of Texas and any suit in connection herewith will be filed in Harris County, Texas. Travel, Lodging and Per Diem For all employees who do not reside in the local commuting area for the work site, Garner Environmental Services, Inc. will be reimbursed for costs incurred for employee travel to and from the work site on the basis of Garner Environmental Services, Inc.'s incurred costs plus 15% handling charge for all commercial transportation. A minimum Per Diem charge of $110.00 per day, or as otherwise set forth in the currently applicable CONUS rates, for all employees who do not reside in the local commuting area of the work site will apply and be charged for each day that such employee is present in the locale of the work site. iii All rates listed in this schedule are subject to change without notice. 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