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HomeMy WebLinkAboutBID - FY19-20 - El Paseo Courtesy Cart PrgmCONTRACT NO. C38440 CITY OF PALM DESERT ECONOMIC DEVELOPMENT DEPARTMENT STAFF REPORT MEETING DATE: April 11, 2018 PREPARED BY: Deborah S. Glickman, Business Advocate REQUEST: Authorization to go to bid for operations of the 2019/2020 El Paseo Courtesy Cart Program, and consideration of future programs. Recommendation By Minute Motion: 1. Authorize staff to advertise a notice inviting sealed bids for the operation of the El Paseo Courtesy Carts in FY 2019/2020, 2. Approve an expenditure in the amount not to exceed $15,000 for signage on the three (3) Courtesy Carts. Funds are available in the Economic Development Fund. 3. Direct staff to develop an advertising policy and strategy for the Courtesy Carts. Strategic Plan The approval of the El Paseo Courtesy Cart program aligns with the City's Envision Palm Desert Strategic Plan in the following areas: • Economic Development Priority 4: Expand and raise awareness of business -friendly services in order to retain and attract business. • Transportation Priority 3: De-emphasize the use of single/low occupancy vehicles and optimize multiple modes of travel. Committee Recommendation On February 21, 2019, staff gave a presentation on this topic to the El Paseo Parking and Business Improvement District board. Although the board did not take formal action on the item, its preferences are as follows: • Expand the existing Courtesy Cart program, which currently operates two (2) carts daily from 11:00 a.m. — 6:00 p.m. October through May, to operate three (3) carts. April 11, 2019 — Staff Report El Paseo Courtesy Cart Program Page 2 of 5 • Add a Smartphone application (app) to the carts that allows people to track cart locations and receive notifications when a cart is arriving. • If advertising is allowed, then restrict it to El Paseo businesses or the City only. Executive Summary The current contract for operations of the El Paseo Courtesy Cart program expires on May 27, 2019. Approval of this item would authorize staff to seek bids to operate the El Paseo Courtesy Carts for a period of October 2019 — May 2020, with options to extend the executed contract for two (2) additional years. Staff estimates the cost for the Courtesy Cart Program, including cart operations and insurance, to be $140,000 in FY 2019/2020. Additionally, approval of this item would authorize staff to utilize up to $15,000 in budgeted FY 2018/2019 Economic Development funds to bid and purchase identification signage for the City's three (3) courtesy carts. Background The El Paseo Courtesy Carts began operation in September of 2004 with one (1) cart, five (5) days per week. Over the next several years, the program grew to two (2) carts and the service was extended to seven (7) days per week, generally from October to May. In 2016. the City solicited proposals from vendors to operate the El Paseo Courtesy Cart Program, and the contract was awarded to GDG. The contract with GDG allowed for (2) two, one (1) year extensions with City Council approval. In August of 2018, the City Council approved GDG's second and final contract extension, therefore necessitating that staff seek bids for another operator for FY 2019/2020. The El Paseo Courtesy Cart program continues to provide two electric carts (the 3rd cart is available for ADA riders upon request and for special events) shuttling throughout the district, seven (7) days per week from 11:00 a.m. through 6:00 p.m. This year's operation began October 12, 2018, and will run until May 27, 2019. Last fiscal year the courtesy cart provided rides to more than 36,300 visitors on El Paseo. Below is a summary of the ridership over the last two (2) years. Month FY 2016/2017 FY 2017/2018 October N/A 2,206 November 3,420 3,670 December 3,529 3,782 j January 4,962 4,487 February 6,020 I 5,982 i March 6,822 ! 6,672 April 5,342 3,920 j May 2,160 3,920 1 Total 32,255 36,359 April 11, 2019 — Staff Report El Paseo Courtesy Cart Program Page 3 of 5 Discussion On February 28, 2019, staff conducted a Study Session with the City Council to explore the next steps for the Courtesy Cart Program. In the session, staff reviewed the following options: • Current Courtesy Cart operations. • Advertising on the inside of the carts. • Identification signage for the carts. • Expansion of the Courtesy Cart Program to include a Smartphone app that notifies users of cart locations and when the cart is arriving, or one that can be ordered to a specific location (Uber-style). • Contracting with an outside vendor to own, operate, maintain, and insure the carts and include an Uber-style app. • Expansion of cart operations off of El Paseo. From the Study Session, staff developed the following recommendations for FY 2018/2019: Release a Request for Bids for the operation of the Courtesy Cart Program for FY 2019/2020, which includes two (2) Courtesy Carts from 11:00 a.m. — 6:00 p.m. daily October — May. Add identification signage to carts. Explore advertising inside carts, including the development of advertising guidelines. Courtesy Cart Operations and Insurance Staff recommends going to bid for a contract for the operation of two (2) Courtesy Carts to run on the current schedule as stated above. Additionally, the contract would include overtime hours for special events (i.e. First Weekend and Fashion Week), and extra hours as per the City Council's request to experiment with changing or expanding the current hours of operations. Staff estimates that the cost of the operations contract and insurance for the carts would be $140,000, which would be incurred in FY 2019/2020. The estimated rate includes up to twelve (12) hours per month of overtime at a rate of $38.50 per cart hour. This rate is based upon that of the current contract. Identification Signage To increase the visibility of the Courtesy Carts as they drive along El Paseo, both the El Paseo Parking and Business Improvement District and staff recommend adding identification signage to the front of the carts. Such signage existed on earlier versions of the carts (as below) and was found to be effective. Staff anticipates that the signage would be lit and estimates the cost for three (3) carts would not exceed $15,000. There is funding available for the signage in the FY 2018/2019 Economic Development budget. April 11, 2019 — Staff Report El Paseo Courtesy Cart Program Page 4 of 5 Advertising on Carts Staff recommends exploring placing digital advertising in the interior of the carts. The investigation would include developing Advertising Guidelines and researching legal requirements and effective methodologies for implementing the program. If implemented, this advertising program could generate revenues to help off -set annual operation expenses. The digital media could also be used to educate visitors about Palm Desert attractions and events. Smartphone Application Staff also recommends enhancing two (2) of the carts with a Smartphone app that will track their locations and notify people of their arrival. Staff is exploring a partnership with Sunline Transit Authority (STA) to utilize the technology of its MyStop app to meet Palm ❑esert's needs. The app is run by hardware that is attached to the cart and communicates with related software. The hardware would also allow free WiFi on the cart at no charge to the user or the City. The estimated cost of the app for both carts is $10,000. As the third Courtesy Cart is not regularly operated, staff does not recommend outfitting it with the app. If in the future the cart is used more regularly the app can be added at that time. Implementation of the new app would require a re -design of our current marketing collateral materials and the development of new ones. Funding for an app and new marketing collateral will be requested through the FY 2019/2020 budgeting process. Outside Vendor/Expansion off Ell Paseo At the Study Session, staff discussed working with an outside vendor to run all aspects of the Courtesy Cart Program, and expanding cart operations off El Paseo. At this time, staff April 11, 2019 — Staff Report El Paseo Courtesy Cart Program Page 5 of 5 recommends postponing further exploration of these items until the renovations on San Pablo are completed and the City has a more pedestrian -oriented downtown corridor, which is likely to be in FY 2020/2021. Conclusion In conclusion, staff's recommends that the City Council authorize staff to go to bid for a Courtesy Cart operator for FY 2019/2020, and to purchase identification signage for three (3) carts in an amount not to exceed $15,000. Staff also recommends budgeting for an app and related marketing expenses during the FY 2019/2020 budgeting process. Fiscal Analvsis FY 2018/2019 The current El Paseo Courtesy Cart Program is funded through the General Fund. In FY 2018/2019, the City has expended $136,500 for the program. Staff recommends that the City Council authorize an amount not to exceed $15,000 for identification signage for three (3) Courtesy Carts. Funds for this expenditure are available in the Economic Development Department Budget. FY 2019/2020 Staff also recommends authorizing funding during the FY 2019/2020 budget planning process for the following: $140,000 - Operation of and insurance for the Courtesy Carts from Fund 1104416 in FY 2019/2020 $10,000 - STA app for two (2) carts from Fund 1104416 in FY 2019/2020 $5,000 - Marketing of Courtesy Cart app from Fund 1104416 in FY 2019/2020 LEGAL REVIEW DEPT. REVIEW FINANCIAL REVIEW CITY MANAGER NA4t Robert W. Martin Alvarez J et Moore Lauri Aylaian Hargreaves Director of Economic irector of Finance City Manager City Attorney Development ATTACHMENT: Draft RFP for Courtesy Cart operations CITY OF PALM DESERT NOTICE INVITING SEALED BIDS FOR OPERATION OF A NEIGHBORHOOD ELECTRIC VEHICLE (NEV) COURTESY CART SERVICE ON EL PASEO IN PALM DESERT, CALIFORNIA PUBLIC NOTICE IS HEREBY GIVEN that the City of Palm Desert will receive sealed bids for the operation of the City's Neighborhood Electric Vehicles (NEV) as a courtesy cart service for shoppers on El Paseo in Palm Desert, California. Completed sealed bid proposals will be accepted at the offices of the City Clerk of the Palm Desert City Hall, 73-510 Fred Waring Drive, Palm Desert, California, until Monday. May 13, 2= at 2:00 2ZL,.at which time they will be opened and read publicly. Public and potential operators are invited to be present. Services to be provided consist of operating two (2) NEVs for seven (7) days per week, seven (7) hours per day, for approximately seven (7) months per year (October 11, 2019 through May 25, 2020) as provided in the attached schedule. The NEVs, provided by the City of Palm Desert, will be offered as a courtesy to the public and fares will not be charged. The operators will not be allowed to solicit tips in any manner for their services. The services are to be provided for approximately seven (7) months as noted above from the date of award of contract, and may be cancelled at any time with thirty (30) days written notice for non- performance of the operator. This contract may, at the discretion of the City Council. be extended on a yearly basis, up to an additional two (2) years. It is the responsibility of the bidder to see that any bids sent through the mail have sufficient time to be received by the City Clerk prior to bid opening time. The time received at City Hall will be the governing factor on acceptability of bids. Email, FAX, or telephone bids will not be accepted. Bids must be prepared and submitted on the appropriate proposal forms in conformance with the Instruction to Bidders and submitted in a sealed envelope plainly marked on the outside "SEALED BID FOR OPERATION OF EL PASEO COURTESY CART SERVICE- DO NOT OPEN WITH REGULAR MAIL." Interested parties may obtain a bid package by calling or writing to the City of Palm Desert, 73- 510 Fred Waring Drive, Palm Desert, CA 92260, (760) 346-0611 attention: Martin Alvarez, Director of Economic Development. The City reserves the right to reject any or all bids, to waive any irregularity, to accept any bid or portion thereof, and to take all bids under advisement for a period of sixty (60) days. At the time of contract award, the operator shall possess appropriate licensure for operating vehicles in the State of California and for conducting business in the City of Palm Desert. Dated this 12th day of April, 2019 RACHELLE D. KLASSEN, CITY CLERK CITY OF PALM DESERT, CALIFORNIA INSTRUCTIONS TO BIDDERS 1. Form of Proposal. The proposal must be made on the form of CONTRACTOR's Proposal, which is included in the Contract Documents and must be completely filled in, dated and signed. 2. Submission of Proposal. A proposal must be submitted in a sealed opaque envelope that clearly identifies the bidder and the project. Bids must be received by the time and at the place set forth in the Notice Inviting Bids and may be withdrawn only as stated in the proposal. 3. License. To be considered, a potential bidder must have the kind of license required under provisions of the California Business and Professions Code for the work covered in its Proposal when its bid is submitted. 4. Interpretation of Documents. Discrepancies, requests for information, omissions, ambiguities, and requirements likely to cause disputes or confusion shall be promptly brought to the attention of the CITY in writing by Friday, May 12, 2019, and to the attention of Martin Alvarez, Director of Economic Development, at the City of Palm Desert, 73-510 Fred Waring Drive, Palm Desert, CA 92260, (760) 346- 0611 or malvarez@cityofpalmdesert.org. When appropriate, Addenda will be issued. No communication by anyone as to such matters except by Addenda affects the meaning or requirements of the Contract Documents. 5. Addenda. CITY reserves the right to issue Addenda to the Contract Documents at any time prior to the time set to open bids. Each potential bidder shall leave with the CITY its name, email address, address and phone number for the purpose of receiving Addenda. CITY will cause copies of Addenda to be mailed or delivered to such names at such addresses. To be considered, a CONTRACTOR'S Proposal must list and take into account all issued Addenda. Bids, to be acceptable, must acknowledge receipt of all Addenda. 6. Bids. Bids are required for the entire work. The amount of the bid for comparison purposes will be the seven -month total. The unit prices for additional hourly overtime and daily services will be used only in the event that the contractor provides more or fewer hours of service than contained in the contract, in which case the contract amount will be adjusted accordingly. The evaluation of bids and award of contract shall be the exclusive decision of the City. The CITY reserves the right to reject any and all bids received if, in the opinion of the City Council, it is in the CITY's best interests to do so. 7. Award of Contract. Acceptance by the CITY at a meeting regularly called and held, of a CONTRACTOR's Proposal authorizes CITY to enter into a contract subject to the execution by both CONTRATOR and CITY of a written INSTRUCTIONS TO BIDDERS agreement evidencing said contract, and CONTRACTOR providing all requirements set forth in said contract including but not limited to insurance requirements. CONTRACTOR is advised that the CITY has up to 90 days from Award of Contract within which to issue the Notice to Proceed. 8. Qualifications of Bidders. No award will be made to any bidder who cannot give satisfactory assurance to the CITY as to his/her own ability to carry out the contract, both from his/her financial standing and by reason of his/her previous experience as a contractor on work of the nature contemplated in the contract. The bidder shall be required to submit its record of work of a similar nature to that proposed for this contract as listed on the attached "Information Required of Bidder" form. Unfamiliarity with the type of work may be sufficient cause for rejection of bid. END OF INSTRUCTIONS INSTRUCTIONS TO BIDDERS CONTRACTOR'S PROPOSAL TO: CITY OF PALM DESERT DATE: BIDDER: "CONTRACTOR" The UNDERSIGNED, CONTRACTOR, having carefully examined the Contract Documents for the operation of the El Paseo Courtesy Cart, hereby proposes to provide the services in accordance with the Contract Documents, including any addenda for the amount stated in this Proposal. By submitting this Proposal, CONTRACTOR agrees with CITY: 1. That unless withdrawn in person by CONTRACTOR or some person authorized in writing by CONTRACTOR — not by telephone, fax or email — before the time specified in the Notice Inviting Bids for the public opening of bids, this Proposal constitutes an irrevocable offer for ninety (90) calendar days after that date. 2. The CITY has the right to reject any or all Proposals and to waive any irregularities or informalities to accept any bid or portion thereof, and to take all bids under advisement for a period of sixty (60) days. 3. That award of the contract shall be authorized only by the governing body of the CITY. 4. To submit to the CITY such information as CITY may require to determine the Bidder's financial standing experience and to perform the work. CONTRACTOR'S PROPOSAL CONTRACTOR'S PROPOSAL FOR EL PASEO COURTESY CART OPERATION SERVICES Item I Item Description Qty x Units = Total No. 1 Hourly rate for STRAIGHT TIME 1 Hour Cost per $ 1 operation of a single NEV as prescribed STRAIGHT I in the attached contract. Hourly rate to TIME hour j include all overhead, benefits and profits. 2 Hourly rate for OVERTIME operation of a 1 Hour Cost per $ single NEV as prescribed in the attached OVERTIME contract. Hourly rate to include all hour j overhead, benefits and profits. 3 Daily cost for operation of a single NEV 7 Hours Cost per $ according to the Schedule prescribed in STRAIGHT the contract. Hourly rate to include all TIME hour overhead, benefits and profits. 4 Total cost for yearly operation of 3,143 Cost per $ STRAIGHT TIME for the program Hours STRAIGHT according to the Schedule prescribed in TIME hour the contract. Hourly rate to include all overhead, benefits and profits. By signing the proposal below, Bidder acknowledges that the unit costs described above may be used to either increase or decrease the contract value in instances where the CITY requests that the CONTRACTOR operate the NEVs for either more or fewer hours than described in the operating scheduled in the contract documents. TOTAL YEARLY AMOUNT BASE BID IN FIGURES $ TOTAL YEARLY AMOUNT BASE BID IN WORDS: In witness whereof, CONTRACTOR executed this proposal as of date set forth above, by: Signature of Contractor Print Name and Title CONTRACTOR'S PROPOSAL (NO BID WILL BE CONSIDERED UNLESS THIS DOCUMENT IS COMPLETED IN FULL. ALL APPLICABLE ITEMS MUST BE FILLED OUT) INFORMATION REQUIRED OF BIDDER The bidder is required to supply the following information. Additional sheets may be attached if necessary. (1) Firm Name (2) Address (3) Telephone No. (4) Type of Firm (Individual, Partnership or Corporation) (5) Corporation organized under the laws of the State of (6) Business License No. Exp. Date CONTRACTOR hereby swears under penalty of perjury that this information provided is true and correct. By: Title: Signature CONTRACTOR (7) List the names and addresses of all owners of the firm or names and titles of all officers of the corporation: (8) Number of years' experience as a provider of transportation services (9) List at least three references for which CONTRACTOR performed transportation services recently: 1. Reference Name Address Phone Number Description of services performed for above reference: has CONTRACTOR'S PROPOSAL 2. Reference Name Address Phone Number Description of services performed for above reference: 3. Reference Name Address Phone Number Description of services performed for above reference: CONTRACTOR'S PROPOSAL Contract No. C-38440 AGREEMENT FOR SERVICES TO OPERATE THE EL PASEO COURTESY CART SERVICE OCTOBER 11, 2019 THROUGH MAY 25, 2020 This Agreement dated 2019 is entered into between the City of Palm Desert (CITY) and (CONTRACTOR), for the operation of the El Paseo Courtesy Cart Service, a non -fixed route public transit service within the City of Palm Desert. This Agreement shall cover the period beginning on October 11, 2019, and ending on May 25, 2020. 1. Background: The CITY desires that CONTRACTOR operate the El Paseo Courtesy Cart Service along El Paseo within the City of Palm Desert during the contract period. The CONTRACTOR will provide these services while operating two (2) Neighborhood Electric Vehicles (NEV) owned by the City of Palm Desert. The courtesy cart services are offered free of charge to the general public and shoppers on El Paseo, and the CONTRACTOR shall neither charge for services nor solicit tips in any manner for the services. 2. Vehicle Operation: Vehicles shall be in regular service seven days per week in accordance with the attached Schedule: 11:00 a.m. through 6:00 p.m. daily, starting October 11, 2019 - May 25, 2020 (days subject to change by the CITY), including holidays, except Christmas Day and Thanksgiving Day. Vehicles are permitted to be out of service for one half-hour plus two 15-minute breaks during each seven -hour operating period. No breaks shall be taken consecutively. At direction of the CITY, more hours may be added to the schedule described herein, or may be reduced from this schedule. In the event that the number of hours is changed, the contract amount will be adjusted accordingly by application of the unit rates contained in the CONTRACTOR's Proposal. The CITY retains the right to increase, decrease, or, with thirty (30) days' notice, to suspend or cancel the service for any period at any time. The CONTRACTOR shall provide neatly -attired professional drivers whose appearance is appropriate for the context in which they will be working (company golf shirts, for example). 3. Vehicle Maintenance: CONTRACTOR shall perform all routine preventative maintenance on the vehicles in accordance with the manufacturer's recommendations. The regular preventative maintenance items shall include labor and fluids as required. CONTRACTOR will also perform routine safety inspections every fourteen days during the term of this Agreement. All routine maintenance costs based on vehicles are included in this Agreement. If extraordinary repairs become necessary, CONTRACTOR will meet with the CITY to determine if costs of repairs will be borne by the CITY, if substitute vehicles might be used, or other options should be explored. Cost of vehicle preventative maintenance shall be carried in CONTRACTOR's lump sum price for courtesy cart operation. Any extraordinary repair costs will be paid by the CONTRACTOR and reimbursed through billings attached to the monthly invoices. 4. Fees and Payment: Payment to CONTRACTOR will be made as follows: A. Operation of the El Paseo Courtesy Cart Service: An amount not to exceed $ vearly for the cost of operating the courtesy cart service Contract No. C- as described in the contract documents and any additional extraordinary maintenance costs associated with repairs as described in Section Three (3) of this contract. Vehicle hours include routine service, "dead head" hours, and any layover time requiring a vehicle operation. Adjustments to compensation will be paid at the unit rates of $ per vehicle hour straight time and $ per vehicle hour overtime for additional NEV operation requested by the CITY beyond the following schedule: Vehicles will run in accordance with the attached Schedule, Exhibit A. B. Cleaning of the vehicles: The NEVs will also have their interiors cleaned on a daily basis and will have their exteriors washed on a weekly basis. The cost of these services will be carried in CONTRACTOR's lump sum price for courtesy cart service operation. C. Insurance: Prior to the beginning of and throughout the duration of the work, CONTRACTOR will maintain insurance in conformance with the requirements set forth below. CONTRACTOR will use existing coverage to comply with these requirements. If that existing coverage does not meet the requirements set forth here, it will be amended to do so. CONTRACTOR acknowledges that the insurance coverage and policy limits set forth in this section constitute the minimum amount of coverage required. Any insurance proceeds available to CITY in excess of the limits and coverage required in this agreement and which is applicable to a given loss, will be available to CITY. Indemnity for liability: The CITY, as registration holders and maintainers of the vehicles, will insure the vehicles against damage or loss and also provide vehicle liability coverage indemnifying the CONTRACTOR against damages that might occur which are beyond the control of the driver or result from mechanical failure. The CONTRACTOR will be required to hold the harmless CITY and endorse their liability insurance with the CITY as an additional insured to protect against damages that might occur as a result of driver error, which would include failure to follow established safety guidelines. CONTRACTOR shall indemnify, defend, and hold harmless the City, and its officers, employees, and agents ("City indemnitees"), from and against any and all causes of action, claims, liabilities, obligations, judgments, or damages, including reasonable legal counsels' fees and costs of litigation ("claims"), arising out of the Contractor's performance of its obligations under this agreement or out of the operations conducted by Contractor, including the City's active or passive negligence, except for such loss or damage arising from the sole negligence or willful misconduct of the City. In the event the City indemnitees are made a party to any action, lawsuit, or other adversarial proceeding arising from Contractor's performance of this agreement, the Contractor shall provide a defense to the City indemnitees, or at the City's option reimburse the City indemnitees their costs of defense, including reasonable legal counsels' fees. incurred in defense of such claims. Contract No. C- Contractor shall not commence work under this Agreement until it has provided evidence satisfactory to the City of Palm Desert that it has secured all insurance required under this section. In addition, Contractor shall not allow any subcontractor(s) to commence work on any subcontract until it has provided evidence satisfactory to the City that the subcontractor(s) has secured all insurance required under this section. Without limiting Contractor's indemnification of City, and prior to commencement of Work, Contractor shall obtain, provide and maintain at its own expense during the term of this Agreement, policies of insurance of the type and amounts described below and in a form that is satisfactory to City. i. General Liability Insurance: Contractor shall maintain commercial general liability insurance with coverage at least as broad as Insurance Services Office form CG 00 01, in an amount not less than $1,000,000 per occurrence, $2,000,000 general aggregate, for bodily injury, personal injury, and property damage, including without limitation, blanket contractual liability. Defense costs shall be paid in addition to the limits. The policy shall contain no endorsements or provisions limiting coverage for (1) contractual liability; (2) cross liability exclusion for claims or suits by one insured against another; or (3) contain any other exclusion contrary to the Agreement. ii. Workers' Compensation Insurance: Contractor shall maintain Workers' Compensation Insurance (Statutory Limits) and Employer's Liability Insurance (with limits of at least $1,000,000). Contractor shall submit to City, along with the certificate of insurance, a Waiver of Subrogation endorsement in favor of City of Palm Desert, its officers, agents, employees and volunteers. iii. Umbrella or Excess Liability Insurance: Contractor may opt to utilize umbrella or excess liability insurance in meeting insurance requirements. In such circumstances, Contractor shall obtain and maintain an umbrella or excess liability insurance policy with limits of not less than $4,000,000 that will provide bodily injury, personal injury and property damage liability coverage at least as broad as the primary coverages set forth above, including commercial general liability and employer's liability. Such policy or policies shall include the following terms and conditions: • A drop down feature requiring the policy to respond if any primary insurance that would otherwise have applied proves to be uncollectible in whole or in part for any reason; • Pay on behalf of wording as opposed to reimbursement; • Concurrency of effective dates with primary policies; and • Policies shall "follow form" to the underlying primary policies. • Insureds under primary policies shall also be insureds under the umbrella or excess policies Contract No. C- OTHER PROVISIONS OR REQUIREMENTS Insurance for Subcontractors: All subcontractors shall be included as additional insureds under the Contractor's policies, or the Contractor shall be responsible for causing subcontractors to purchase the appropriate insurance in compliance with the terms of these Insurance Requirements, including adding the City as an Additional Insured to the subcontractors' policies. Contractor shall provide to City satisfactory evidence as required under Insurance Section of this Agreement. Proof of Insurance: Contractor shall provide certificates of insurance to City as evidence of the insurance coverage required herein, along with a waiver of subrogation endorsement or workers' compensation. Insurance certificates and endorsement must be approved by City's Risk Manager prior to commencement of performance. Current certification of insurance shall be kept on file with City at all times during the term of this contract. City reserves the right to require complete, certified copies of all required insurance policies, at any time. Duration of Coveraqe: Contractor shall procure and maintain for the duration of the contract, insurance against claims for injuries to persons or damages to property, which may arise from or in connection with the performance of the Work hereunder by Contractor, his/her agents, representatives, employees or sub -consultants. City's Riqhts of Enforcement: In the event any policy of insurance required under this Agreement does not comply with these specifications or is canceled and not replaced, City has the right, but not the duty, to obtain the insurance it deems necessary and any premium paid by City will be promptly reimbursed by Contractor, or City will withhold amounts sufficient to pay premium from Contractor payments. In the alternative, City may cancel this Agreement. Acceptable Insurers: All insurance policies shall be issued by an insurance company currently authorized by the Insurance Commissioner to transact business of insurance in the State of California, with an assigned policyholders' Rating of A- (or higher) and Financial Size Category Class VII (or larger) in accordance with the latest edition of Best's Key Rating Guide, unless otherwise approved by the City's Risk Manager. Waiver of Subroqation: All insurance coverage maintained or procured pursuant to this agreement shall be endorsed to waive subrogation against the City of Palm Desert, its elected or appointed officers, agents, officials, employees and volunteers, or shall specifically allow Vendor or others providing insurance evidence in compliance with these specifications to waive their right of recovery prior to a loss. Vendor hereby waives its own right of recovery against the City of Palm Desert, its elected or appointed officers, agents, officials, employees and volunteers and shall require similar written express waivers and insurance clauses from each of its subcontractors. Contract No. C- Enforcement of Contract Provisions (non estoppel). Contractor acknowledges and agrees that any actual or alleged failure on the part of the City to inform Contractor of non-compliance with any requirement imposes no additional obligations on the City nor does it waive any rights hereunder. Primary and Non -Contributing Insurance: Coverage provided by Vendor shall be primary and any insurance or self-insurance procured or maintained by City shall not be required to contribute with it. The limits of insurance required herein may be satisfied by a combination of primary and umbrella or excess insurance. Any umbrella or excess insurance shall contain or be endorsed to contain a provision that such coverage shall also apply on a primary and non-contributory basis for the benefit of City before the City's own insurance or self-insurance shall be called upon to protect it as a named insured. Requirements Not Limitinq: Requirements of specific coverage features or limits contained in this Section are not intended as a limitation on coverage, limits or other requirements, or a waiver of any coverage normally provided by any insurance. Specific reference to a given coverage feature is for purposes of clarification only as it pertains to a given issue and is not intended by any party or insured to be all inclusive, or to the exclusion of other coverage, or a waiver of any type. If the Vendor maintains higher limits than the minimums shown above, the City requires and shall be entitled to coverage for the higher limits maintained by the Vendor. Any available insurance proceeds in excess of the specified minimum limits of insurance and coverage shall be available to the City. Notice of Cancellation: Contractor agrees to oblige its insurance agent or broker and insurers to provide to City with a thirty (30) day notice of cancellation (except for nonpayment for which a ten (10) day notice is required) or nonrenewal of coverage for each required coverage. Additional Insured Status: General liability, automobile liability, and if applicable, pollution liability and cyber liability, policies shall provide or be endorsed to provide that the City of Palm Desert and its officers, officials, employees, agents, and volunteers shall be additional insureds under such policies. This provision shall also apply to any excess/umbrella liability policies. Prohibition of Undisclosed Coveraqe Limitations. None of the coverages required herein will be in compliance with these requirements if they include any limiting endorsement of any kind that has not been first submitted to City and approved of in writing. Separation of Insureds. A severability of interests provision must apply for all additional insureds ensuring that Vendor's insurance shall apply separately to each insured against whom claim is made or suit is brought, except with respect to the insurer's limits of liability. The policy(ies) shall not contain any cross -liability exclusions. Contract No. C- Pass Through Clause. Vendor agrees to ensure that its sub -consultants, subcontractors, and any other party involved with the project who is brought onto or involved in the project by Vendor, provide the same minimum insurance coverage and endorsements required of Vendor. Vendor agrees to monitor and review all such coverage and assumes all responsibility for ensuring that such coverage is provided in conformity with the requirements of this section. Vendor agrees that upon request, all agreements with consultants, subcontractors, and others engaged in the project will be submitted to City for review. Citv's Riqht to Revise Specifications: The City or its Risk Manager reserves the right at any time during the term of the contract to change the amounts and types of insurance required by giving the Vendor ninety (90) days advance written notice of such change. If such change results in substantial additional cost to the Vendor, the City and Vendor may renegotiate Vendor's compensation. If the City reduces the insurance requirements, the change shall go into effect immediately and require no advanced written notice. Self -Insured Retentions: Any self -insured retentions must be declared to and approved by City. City reserves the right to require that self -insured retentions be eliminated, lowered, or replaced by a deductible. Self-insurance will not be considered to comply with these specifications unless approved by City. Timelv Notice of Claims: Contractor shall give City prompt and timely notice of claims made or suits instituted that arise out of or result from Contractor's performance under this Agreement, and that involve or may involve coverage under any of the required liability policies. Additional Insurance. Vendor shall also procure and maintain, at its own cost and expense, any additional kinds of insurance, which in its own judgment may be necessary for its proper protection and prosecution of the Work. Safety. Vendor shall execute and maintain its work so as to avoid injury or damage to any person or property. In carrying out its Services, the Vendor shall at all times be in compliance with all applicable local, state and federal laws, rules and regulations, and shall exercise all necessary precautions for the safety of employees appropriate to the nature of the work and the conditions under which the work is to be performed. Safety precautions, where applicable, shall include, but shall not be limited to: (A) adequate life protection and lifesaving equipment and procedures; (B) instructions in accident prevention for all employees and subcontractors, such as safe walkways, scaffolds, fall protection ladders, bridges, gang planks, confined space procedures, trenching and shoring, equipment and other safety devices, equipment and wearing apparel as are necessary or lawfully required to prevent accidents or injuries; and (C) adequate facilities for the proper inspection and maintenance of all safety measures. Contract No. C- Annual Driver Review: CONTRACTOR shall at least annually review the performance and OMV history of each driver and advise the City of any incidents that have occurred driving or otherwise in the performance of the driver duties. CONTRACTOR shall be responsible for appropriate training of all drivers (new and old) in their duties and proper vehicle operation. D. Payments: CONTRACTOR shall invoice the CITY by the fifteenth of each calendar month for the preceding month's fees. Terms of the invoices shall be net thirty days. 5. Other: CONTRACTOR shall make available City of Palm Desert information in the NEVs. The CITY shall furnish brochures and printed literature in adequate quantities such that CONTRACTOR can restock the information carried in the vehicles on an as -needed basis. CONTRACTOR shall not charge persons wishing to use the parking shuttle service, nor shall the driver solicit tips in any matter. Use of a tip basket is expressly forbidden. Driver shall be subject to review and approval by the CITY. Drivers will be required to be able to answer questions and give information regarding the City of Palm Desert, and its history, in a courteous and helpful manner. At the request of the CITY, CONTRACTOR shall replace any driver found lacking in professionalism or courtesy, or not presenting him/herself in a neat and professional manner while on duty. Driver shall be responsible for retrieving NEV from the supplied storage location and for returning the NEV there at the end of each shift. Driver will also be responsible for recharging the vehicle and promptly reporting any malfunctions of either the vehicle or the recharging apparatus maintained at the storage location. CONTRACTOR is responsible for providing all cleaning materials needed to maintain the exterior and interior of the vehicles in a like -new condition. IN WITNESS WHEREOF the parties hereto have executed or caused to be executed by their duly authorized officials, this Agreement which shall be deemed an original on the date first above written. CITY OF PALM DESERT CONTRACTOR By: By: Susan Marie Weber, Mayor Title Attest: Rachelle D. 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