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CITY OF SAN BERNARDINO - REQUEST FOR COUNCIL AQilG1NAL
From: TOM MAREK,
ACTING L8. DIRECTOR
Subject:
RESOLUTION OF THE CITY OF SAN
BERNARDINO AUTHORIZING A FIRST
AMENDMENT TO THE CONTRACT FOR
800 MHz RADIO TIME-AIR SERVICES
BETWEEN THE CITY AND PATTON
STATE HOSPITAL
Dept: ADMINIINFORMATION
SERVICES DIVISION
Date: April 6, 2005
Synopsis orPrevious Connell Action:
Resolution # 2004-218, dated July 6, 2004, standard contract for 800 MHz radio time-air services
between the City and Patton State Hospital.
MlCC Meeting Date: May Z, ZOO5
Recommended Motion:
Adopt resolution.
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Signature
Contact person:
Tom M.r"k
Phone: 3ll4-!l947
Supporting data attached: Staff Reoort
Ward: All
FUNDING REQUIREMENTS:
Amount:
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Souree: Projected Income from Fees: $11,091.00
679-000-490 I - IS Fund
Finanee
Counell Notes:
P.r. d-DDs,JOb
Agenda Item No.
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STAFF REPORT
SUBJECT
Resolution of the City of San Bernardino authorizing a first amendment to the contract for 800 MHz radio time-air
services between the City and Patton State Hospital.
BACKGROUND
Resolution # 2004-218 approved July 6, 2004, authorized the Mayor of San Bernardino to sign a standard contract
between the City and Patton State Hospital to utilize airtime on the City's 800 MHz radio system. Annual revenues
arising from the contract were projected to be $600.00.
The Patton State Hospital Police Department (PSHPD) has pW'Chased nine Motorola L TS 2000 radios, single unit
chargers and spare batteries. PSHPD is in the process of having the radios programmed as outlined in the contract
and deployed for field use. PSHPD has identified a need for 10 additional portable radios and one mobile radio to
be used as a base station radio for their police dispatch center in Phase-II of their radio communications project.
PSHPD has requested that the City lease these additional radios to Patton State Hospital and complete a first
amendment to the standard contract to include annual lease costs and increased airtime costs. Additionally, PSHPD
has requested that the City lease them nine additional portable radios in February 2008 when their state owned
Motorola L TS 2000 radios become obsolete and need to be replaced.
To accommodate a lease agreement, Information Services will need to pW'Chase 10 Motorola XTS 5000 portable
radios, chargers and spare batteries and one XTL 5000 mobile radio on a leaselpW'Chase agreement. Motorola has
offered four payment options with a lease term of five years with the first payment in arrears by one month up to
one year after contract execution. The lease agreement with PSHPD will allow IS to completely recover the lease
payments made to Motorola. An annual contract fee of $250 will be charged over the five-year lease period and
subsequent leases. The City will retain ownership of all leased radio equipment.
FINANCIAL IMPACT
IS will need to make annual lease payments not to exceed $ 10,241.00 for the five year lease period and will
include additional lease payments in their annual budgets commencing FY 05/06. These expenditures will be
completely offset by corresponding lease revenues from Patton State Hospital. Should Patton State Hospital
terminate the contract early, radios would be returned to the City and assigned to the Police Department. The
Police Department would absorb the lease payments as part of their regular replacement pW'Chase plan. Radio
repairs not covered under warranty will be billed to Patton Hospital.
All funds from Patton State Hospital will be credited to the IS Fund account number 679-0004901 (Misc.
Revenues) which will offset the expenditures that will be included in the IS Expenditure Budget.
. Airtime revenues will increase from $600 to $1,200 annually and an annual $250 contract fee will be
collected for the first five-year lease period. This annual revenue will be extended until 2013 when the
second lease of radio equipment is approved.
. Total additional revenues for FY 05/06 are estimated at $11,091 (contract , air time fees, and lease
payments).
RECOMMENDATION
Adopt resolution.
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RESOLUTION NO.
RESOLUTION OF THE CITY OF SAN BERNARDINO AUTHORIZING A FIRST
AMENDMENT TO THE CONTRACT FOR 800 MHz RADIO TIME-AIR SERVICES
BETWEEN THE CITY AND PATTON STATE HOSPITAL.
SECTION I:
The Mayor and Common Council of the City of San Bernardino
hereby authorize the Mayor of San Bernardino to sign the first amendment to the contract
between the City and Patton State Hospital authorizing the Patton State Hospital Police
Department to use the City's 800 MHz radio system and to enter into a lease agreement with
Patton State Hospital for requested phase II radio equipment necessary to support 800 MHz
radio operations.
SECTION 2:
The Mayor and Common Council of the City of San Bernardino
hereby authorize an exemption from the regular bid process, in accordance with Section
3.04.010, Section B.l. of the San Bernardino Municipal Code and authorize a selected source
purchase for the radio communications equipment listed in Section 4 for this resolution.
SECTION 3:
The Mayor and Common Council of the City of San Bernardino
hereby authorize the Director of Finance to issue a purchase order for to Motorola XTS5000
portable radios, 2 multiple battery "gang" chargers, spare batteries, and I Motorola XTL5000
mobile radio as configured in Motorola quote XTS5000XTL5000-MB for a total $38,873.02 to
Motorola Corporation of San Diego, California. The purchase order shall reference the number
of this resolution and shall incorporate the terms and conditions of the proposal, which is on
file in the City Clerk's Office. The purchase order shall read, "Motorola Portable and Mobile
Radios. Motorola Quote XTS5000XTL5000-MB. Not to exceed $38,873.02."
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RESOLUTION OF THE CITY OF SAN BERNARDINO AUTHORIZING A FIRST
AMENDMENT TO THE CONTRACT FOR 800 MHz RADIO TIME-AIR SERVICES
BETWEEN THE CITY AND PATTON STATE HOSPITAL.
I HEREBY CERTIFY that the foregoing resolution was duly adopted by the Mayor and
Common Council of the City of San Bernardino at a
meeting thereof: held on
the
day of
, 2005, by the following vote, to wit:
Abstain
Absent
Aves
Nays
Council Members
9 ESTRADA
10 LONGVILLE
11 McGINNIS
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DERRY
KELLEY
JOHNSON
McCAMMACK
City Clerk
The foregoing resolution is hereby approved this _ day of
,2005.
Judith Val1es, Mayor
City of San Bernardino
Approved as to form and legal content:
J~f. es F. Penman, City Attorney
BY: , ? I~/t.....
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FIRST AMENDMENT to
CITY OF SAN BERNARDINO
STANDARD CONTRACT
IT IS HEREBY AGREED AS FOLLOWS:
. The first bullet in Section 2 has been revised to read: The creation and
maintenance of a Patton radio talk group containing a1l necessary channels for
police and fire radio communications as well as providing Patton State Hospital
police department with talk around capability.
. Section 4 has been revised to read:
CITY agrees to lease to the CONTRACTOR necessary 800 MHz radio equipment
under the following terms.
I. In FY 04/05, 10 Motorola XTS 5000 portable and one Motorola XTL 5000
mobile 255-channel portable radios, batteries, and chargers will be leased to
the CONTRACTOR at the rate of $931 per radio or $10,241 annually for five
years.
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2. In FY 07/08, nine additional Motorola XTS 5000 portable radios, batteries
and chargers will be leased to the CONTRACTOR at the rate of $931 per
radio or $8,379 annually for five years.
3. Lease payments include an annual $250 contract fee paid by the
CONTRACTOR to the CITY to cover the administrative costs of the purchase
and leasing of radio equipment.
4. After the fifth year of each lease, CONTRACTOR will not pay any additional
lease payments unless radios need to be replaced when lost or stolen, damaged
beyond repairs or due to technology changes or obsolescence requiring
replacement. The new lease payments for the replacement radio would be
added to the outstanding lease balance.
5. The CITY will include all leased radios on the CITY'S existing warranty
service plan. Radio repairs that are the result of misuse or abuse will be billed
to the CONTRACTOR by the CITY on a quarterly basis. The CITY will
consult with the CONTRACTOR before making repairs that would be billable
under this section.
All leased radio equipment shall remain the property of the CITY.
. Section 6 has been revised to read:
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The term of this contract shall be for five (5) years commencing on April I, 2005.
The CITY will consider renewing the agreement at the CONTRACTOR'S
request. At the time of renewal the agreement terms are renegotiable but will
include all costs incurred by the CITY to continue the agreement.
Notwithstanding the foregoing, this contract may be terminated at any time with
or without cause by the CONTRACTOR or CITY upon written notice given to
the other party at least sixty (60) days before the specified date for such
termination. Any such termination shall coincide with the end of a calendar
month.
.
Section 8 has been revised to read:
CITY shall acquire and program specified radio equipment to be leased to
CONTRACTOR. All leased and State owned radio equipment will be
programmed with the necessary Patton talk group, Patton talk around capability
and designated 800 MHz police and fire radio channels for the CONTRACTOR'S
use during fire and police mutual aid events on or around Patton State Hospital.
City of San Bernardino
Patton State Hospital
By:
By:
Gary Hahn,
Hospital Administrator
Judith Valles, Mayor
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Dated:
Dated:
Approved as to form and legal content
James F. Penman
City Att rney
By:
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Date:
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STATE OF CALIFORNIA
STANDARD AGREEMENT
STO 213 (Rev 06103)
,. This Agreement is entered into between the State Agency and the STATE named below
STATE AGENCY'S NAME
AGREEMENT NUMBER:
REGISTRATION NUMBER:
04-30022
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DEPARTMENT OF MENTAL HEALTH (Patton State Hospital)
STATE'S NAME
CITY OF SAN BERNARDINO (San Bernardino Police Department)
2. The term of this Agreement is: April 01,2005 through June 30, 2009
3. The .maximum amount of this Agreement is:
$80,269.00.
4. The parties agree to comply with the terms and conditions of the following exhibits which are by this reference made a part of the Agreement:
Exhibit A Scope of WOr!<
ExhibitS
Exhib~ C'
Budget Detail and Payment Provisions
General Tenns and Conditions
2 pages
3 pages
G1Al01'
Check marl<. one item below as Exhibit 0:
I8J Exhib~ D - Special Tenns and Condibons (Attached hereto as part of this agreement)
o Exhib~ D - Special Tenns and Condibons
2 pages
pages
ExhibR E
- Additional Provisions
pages
Items shown with an Asterisk ('J, are hereby incorporated by reference and made part of this agreement as if aHached hereto. These documents can be view at
www.das.ca.aov/contracts
I Certify that I have reviewed this agreement and it meets current program and departmental policy.
Octavia C. Luna, Executive Director
Date
WITNESS WHEREOF, this Agreement has been executed by the parties hereto.
STATE
CALIFORNIA
Department of General Services
Use Only
STATE'S NAME (" other than an individual. state whether a caporation, parlnership, etc)'
CITY OF SAN BERNARDINO San Bernardino Police De artment
BY (Authorized S'9fIalure) DATE SIGNED (do not type)
PRINTED NAME AND TITLE OF PERSON SIGNING
JUDITH VALLES. MAYOR
ADDRESS
San Bernardino Police Department
P.O. BOX 1559
San Bemardino. CA 92401-1559
909 387-0657
STATE OF CALIFORNIA
AGENCY NAME
DEPARTMENT OF MENTAL HEALTH - Patton State Hospital
BY (Authotized Signatu,e) DATE SIGNED (do nol Iype)
PRINTED NAME AND TITLE OF PERSON SIGNING
T erne T atDsian, Procurement and Contracting Officer - Administrative Services
ADORESS
Contracts Unit
3102 East Highland Avenue
Pallon, CA 92369-9999
1018
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City of San Bernardino
(San Bernardino Police Department)
CONTRACT #04-30022
EXHIBIT "A"
Scope of Work
1. CITY agrees to provide to the Department of Mental Health, Patton State Hospital, airtime on the CITY'S
800 MHz trunked radio voice communications backbone.
2. The services shall be performed for Patton State Hospital 3102 E. Highland Avenue, Patton, CA 92369-0999.
3. Any and all notices required to be given hereafter shall be given in writing by registered or certified mail,
postage prepaid. The addresses of the parties hereto until further notice are as follows:
State Agency: PATTON STATE HOSPITAL STATE: San Bernardino Police Department
0 Name: Lt. Thomas Maune Name: Michelle Taylor. Senior Secretary
Phone: (909) 425-6551 Phone: (909) 384-5002
Fax: (909) 425-6549 Fax: (909) 384-5158
Direct all inquiries to:
State Agency:
Section/Unit
Attention:
Address:
PATTON STATE HOSPITAL
STATE:
Section/Unit:
Attention:
Address:
City of San Bernardino
San Bernardino Police Department
Michelle Taylor, Senior Secretary
P.O. BOX 1559
San Bemardino, CA 92401-1559
Phone:
Fax:
Hospital Police Office
Lt. Thomas Maune
3102 E. Highland Avenue
Patton. CA 92369-9999
(909) 425-6551
(909) 425-6549
Phone:
Fax:
(909) 384-5002
(909) 384-5158
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EXHIBIT "A"
Scope of Work
C(ContinUed)
CITY OF SAN BERNARDINO
(San Bernardino Police Department)
CONTRACT #04.30022
4. SPECIFICATION/DETAILED DESCRIPTION OF WORK:
THIS CONTRACT is entered into in the State of California by and between the City of San Bernardino, hereinafter called
the CITY, and State of California, Patton State Hospital Police Department, hereinafter called the STATE.
IT IS HEREBY AGREED AS FOLLOWS:
A. This contract is for the furnishing, by CITY to the STATE, of airtime on the CITY's 800 MHz trunked radio voice
communications backbone. It is the intent of the parties to promote more effective regional law enforcement through
the cooperative use and maintenance of the CITY's 800 MHz trunked radio system. This system will allow the
parties to communicate on a common radio frequency when they are responding to law enforcement incidents on or
around the Patton State Hospital grounds.
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B. The CITY will provide the STATE with access to the CITY's 800 MHz radio system to provide the parties with a
common radio frequency for communication. This shall be achieved by the following:
1. The creation and maintenance of a PATTON radio talk-group containing all necessary channels for police and fire
radio communications as well as providing Patton State Hospital Police Department with talk-around capability.
2. A letter to County Communication authorizing the creation of the PATTON talk group and the programming of
STATE owned and leased radios with the PATTON talk group channels.
3. CITY owned radio devices shall be programmed with the PATTON talk group.
C. The CITY and the STATE mutually agree to become knowledgeable of each other's radio dispatch protocols in order
to provide efficient interoperationability, during incidents in which both agencies are responding, and delivery of
service or mutual assistance.
D. The CITY shall acquire and program specified radio equipment to be leased to the STATE. All leased and
STATE owned radio equipment will be programmed with the necessary Pallon talk-group, Pallon talk-around
capability and designated 800 MHz police, and fire radio channels for the STATE'S use during fire and police
mutual aid eVfjnts on or around Patton State Hospital.
5. STATE HOSPITAL REQUIREMENTS:
A. CITY is advised that tan, brown, and khaki clothing may prevent entry to patient areas of the hospital.
B. CITY shall cooperate with Hospital security procedures.
C. All work to be coordinated and scheduled through the Project Coordinator.
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CITY OF SAN BERNARDINO
(San Bernardino Police Department)
CONTRACT #04.30022
EXHIBIT "B"
Budget Detail and Payment Provisions
Contract Term
The term of this contract shall be April 01, 2005 through June 30, 2009.
Commencement of Services
This Agreement must be fully executed and approved by the STATE prior to commencement of services.
Amendments to Contract
1. This contract represents the full and complete understanding of the parties with respect to the subject matter hereto; this
contract supersedes all prior oral and written agreements or understanding between the parties with respect to the subject
matter hereto.
2. The CITY will consider renewing the agreement at the STATE'S request. At the time of renewal, the agreement terms
are renegotiable but will include all costs incurred by the CITY to continue the agreement.
3. Any amendment to this contract shall be in writing signed by other parties.
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Termination of Services
Notwithstanding the foregoing, this contract may be terminated at any time with or without cause by the STATE or the CITY
upon written notice given to the other party at least sixty (60) days before the specified date for such termination. Any such
termination shall coincide with the end of a calendar month.
Indemnification Clause
1. The laws of the State of California shall govern this contract.
2. CITY agrees to hold harmless the STATE and its officers, agents, volunteers from any and all claims, actions or losses,
damages and/or liability arising out of its obligations under this contract.
3. STATE agrees to hold harmless the CITY and its officers, agents, volunteers from any and all claims, actions or losses,
damages and/or liability arising out of its obligations under this contract.
4. In the event the CITY and/or the STATE is found to be com'paratively at fault for any claim, action, loss, or damage,
which results from their respective obligations under the contract, the CITY and/or the STATE shall hold harmless the
other to the extent of its comparative fault.
5. Venue for any lawsuit pertaining to this contract shall be Superior Court of California, County of San Bernardino, San
\ Bernardino District.
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EXHIBIT "B"
Budget Detail and Payment Provisions
(continued)
o InvoicinQ and Pavment
1. Submit a signed invoice in triplicate to the Project Coordinator, Lt. Thomas Maune, HPO Office, stating the time period covered
and the Agreement Number, not more frequently than quarterly, in arrears to:
CITY OF SAN BERNARDINO
(San Bernardino Police Department)
CONTRACT #04.30022
Patton State Hospital
ATTN: Lt. Thomas Maune, HPO Office
3102 E. Highland Avenue
Patton, CA 92369-0999
Additionally, all reports and other communications are to be delivered to the Project Coordinator.
2. The CITY shall administrator of this contract. The STATE shall remit quarterly payment to:
San Bernardino Police Department
A TTN: Accounts Payable
P.O. BOX 1559
San Bernardino, CA 92401-1559
3. For services satisfactorily rendered as specified in EXHIBIT "A", Scope of Work, performed in a manner acceptable to the State,
the STATE agrees to compensate the CITY, quarterly in arrears, in accordance with the rates specified herein, which is attached
hereto (labeled in EXHIBIT "B-1 ") and made a part of this Agreement.
e. All leased radio equipment shall remain the property of the CITY.
o 4. The total amount payable under this contract shall not exceed $ 80,269.00.
5. Amounts to be encumbered for the fiscal years covered by this contract are as follows:
$ 16,054.00 In FY 2004/05 (04101/05 to 6/30105)
$ 16,054.00 In FY 2005/06 (07101/05 to 6/30/06)
$16,054.00 In FY 2006/07 (07101/06 to 6/30107)
$ 16,054.00 In FY 2007108 (07101/07 to 6/30108)
$16,053.00 In FY 2008/09 (07/01/08 to 6/30/09)
BudQet ContinQencv Clause
1 . It is mutually agreed that if the Budget Act of the current year and/or any subsequent years covered under this Agreement does
not appropriate sufficient funds for the program, this Agreement shall be invalid and of no further force and effect. In this event,
the State shall have no further liability to pay any funds whatsoever to the City or to furnish any other considerations under this
Agreement, and the CITY shall not be obligated to perform any provisions of this Agreement.
2. If funding for any fiscal year is reduced or deleted by the Budget Act for purposes of this program, the STATE shall have the
option to either cancel this Agreement with no liability occurring to the State, or offer an agreement amendment to the CITY to
reflect the reduced amount.
Prompt Pavment Clause
dayn;ent will be made in accordance with, and within the time specified in Government Code Chapter 4.5, commencing with Section 927.
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CITY OF SAN BERNARDINO
(San Bernardino Police Department)
-CONTRACT #04-30022
EXHIBIT "B-1"
Detailed Budget Sheet
Years One Through Five
4. The STATE shall pay to the CITY quarterly fees per radio device for airtime fees and maintenance fees, regardless of
the extent of usage during the month. This rate shall remain fixed over the initial contract period; however, the CITY
shall have the right to renegotiate the rate of services for subsequent contract periods.
$ 15.00 Per Radio Device Airtime Fees ($5.00/month x 3 months)
$ 18.00 Per Radio Device Maintenance Fees ($6.00/month x 3 months
5. The CITY agrees to lease to the STATE the necessary 800 MHz radio equipment under the following terms:
a. In FY 2004/05, 10 Motorola XTS 5000 portable and one Motorola XTL 500 mobile 255-channel portable radios,
batteries, and chargers will be leased to the STATE at the rate of $931 per radio or $10,241 annually for five years.
b. In FY 2007/08, nine additional Motorola XTX 5000 portable radios, batteries and chargers will be leased to the STATE
at the rate of $931 per radio or $8,379 annually.
c. Lease payments include an annual $250 contract fee paid by the STATE to the CITY to cover the administrative costs
of the purchase and leasing of radio equipment.
d. After the fifth year of each lease, the STATE will not pay any additional lease payments unless radios need to be
replaced when lost or stolen, damaged beyond repairs or due to technology changes or obsolescence requiring
replacement. The new lease payments for the replacement radio would be added to the outstanding lease balance.
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Equipmenl .. Equipment
Necessarv 800 MHz EQuioment and Ooeration Costs Annual Lease Plan
(10) XTS 5000 portable and (1) Motorola XTL 5000 mobile $ 10,241 x 5 years = $ 51,205
radios (phase /I star-up equipment in Year 1)
(9) replacement Motorola XTS 5000 radios (Required in $ 8,379 x 2 years = $ 16,758
Year 4 lor Nextel migration)
Upgrade of (11) Motorola XTS 5000 radios (Required in Year -0-
4 for Nextel migration)
Administrative Costs for five years $ 250 x 5 years = $ 1,250
Maintenance costs for (20) radios for five years $ 1,400 x 5 years = $ 7,000
(State maintenance for years 1 - 3 Nine radios x $721yr) $ 648 x 3 years = $ (1,944)
Airtime costs for (20) radios for five years $ 1,200 x 5 years = $ 6,000
First Five-Year Total $ 80,269
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CITY OF SAN BERNARDINO
(San Bernardino Police Department)
CONTRACT #04-30022
EXHIBIT D
SPECIAL TERMS AND CONDITIONS
Client Confidentialitv:
A. CITY shall protect from unauthorized disclosure, names and other identifying information concerning persons receiving
services pursuant to this contract, except for statistical information not identifying any client. Client is defined as '1hose
persons receiving services pursuant to a Department of Mental Health funded program". CITY shall not use such identifying
information for any purpose other than carrying out the CITY's obligations under this contract.
B. CITY shall promptly transmit to the STATE all requests for disclosure of such identifying information not emanating from the
client.
C. CITY shall not disclose, except as otherwise specifically permilled by this contract or authorized by the client, any such
identifying information to anyone other than the 5T A TE without prior wrillen authorization from the STATE.
D. For purposes of this section, identity shall include but not be limited to name, identifying number, symbol or other identifying
particular assigned to the individual, such as finger or voice print or a photograph.
Licenses and Permits:
The CITY shall obtain at his/her expense and maintain in good standing alllicense(s) and permit(s) required by law for accomplishing
any work required in connection with this contract.
o the event the CITY fails to keep in effect at all times all required license(s) and permit(s), the STATE may, in addition to any other
remedies it may have, terminate this contract upon occurrence of such event.
Richt to Terminate:
This contract may be terminated at any time with or without cause by the STATE or CITY upon written notice given to the other party at
least 60 days before the specified date for such termination. Any such determination shall coincide with the end of a calendar month.
This agreement may be suspended or cancelled without notice, at the option of the CITY, if the CITY or CITY's premises or equipment
are destroyed by fire or other catastrophe, or so substantially damaged that it is impractical to continue service, or in the event the
CITY is unable to render service as.a result of any action by any governmental authority.
Security:
CITY understands that services may be performed in a secured area and agrees that CITY and his/her representatives shall follow any
and all rules, regulations and requirements in force at Pallon 5T A TE Hospital. Failure to comply shall constitute grounds for immediate
termination of the contract. CITY shall provide the Project Coordinator with a list of employees/subcontractors within 14 days of
requesting access to the secured area.
CITY agrees to review and comply with Patton 5T A TE Hospital's Contraband and Security Policy and Procedures. These documents
may be requested through the Project Coordinator or Pallon 5T A TE Hospital Contracts Coordinator.
CITY certifies that it is fully knowledgeable of the terms and conditions of the contract documents, the location and site conditions of the
Oproject, and the conditions under which the work is to be performed, and that it enters into this contract based upon his investigation of
II stlch matters and is not relying on any opinions or representation of Pallon STATE Hospital. This contract represents the entire
agreement.
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EXHIBIT "D"
Special Terms And Conditions
C (continued)
Settlement of Disputes:
CITY OF SAN BERNARDINO
(San Bernardino Police Department)
CONTRACT #04.30022
Prior to pursuing any other remedy of dispute, CITY shall attempt to settle any dispute concerning a question of fact arising under this contract that is
not disposed of by agreement through the Department of Mental Health, Deputy Director of Administration. All issues pertaining to this dispute will
be submitted In written statements and addressed to the Deputy Director of Administration, Division of Administration, Department of Mental Health,
1600 Ninth Street. Sacramento, CA 95814. Such written notice must contain the Contract Number. The Deputy Director's decision shall be
considered final administratively. Within ten days of receipt of such notice, the Deputy Director, Division of Administration shall advise CITY of hislher
findings. These findings do not preclude CfTY from any other resolution allowed by the laws of the STATE of California as contained in Exhibit'S'
Indemnification Cfause Number 5 (Public Contract Code Section 10381)
Neither the pendency of a dispute nor its consideration by the Deputy Director of Administration will excuse the CITY from full and timely
performance in accordance with the terms of the contract.
Subcontracts:
Nothing contained in this Agreement or otherwise shall create any contractual relation between the STATE and any subcontractors, and no
subcontract shall relieve the CITY of its responsibilities and obligations hereunder. The CITY agrees to be as fully responsible to the STATE for the
acts and omiSSions of ItS subcontractors and of persons either directly or indirectly employed by any of them as it is for the acts and omissions of
persons dlfectly employed by the CITY.
The CITY's obligation to pay its subcontracts is an independent obligation from the STATE'S obligation to make payments to the CITY. As a result,
the STATE shall have no obligation to payor enforce the payment of any moneys to any subcontractor.
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