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1 <br />2 <br />3 <br />4 <br />5 <br />6 <br />7 <br />8 <br />9 <br />10 <br />11 <br />12 <br />13 <br />14 <br />15 <br />16 <br />17 <br />18 <br />19 <br />20 <br />21 <br />22 <br />23 <br />24 <br />25 <br />26 <br />27 <br />28 <br />29 <br />30 <br />31 <br />32 <br />33 <br />34 <br />35 <br />36 <br />37 <br />38 <br />39 <br />40 <br />41 <br />42 <br />43 <br />July 1, 1999 - June 1, 2000 -$45,202.50 annually <br />July l, 2000 - June 1, 2001 -$47,462.63 annually <br />July 1, 2001 - Fixed amount -$49,835.75 annually <br />d. Indemnification. Contractor agrees to protect and defend City with counsel selected by <br />Contractor and approved by City, and to indemnify and hold harmless City from and against all fines <br />or penalties imposed by the California lntegrated Waste Management Board if the diversion goals <br />specified in California Public Resources Code Section 41780 as of the date hereof are not met by the <br />City with respect to the MSW Collected by Contractor hereunder or due to Contractor's delays in <br />providing information which the City required to timely submit reports required by the Public <br />Resources Code. <br />During the year prior to each compliance reporting date under the Public Resources Code, if in the <br />sole opinion of the City, based upon information provided by Contractor and/or the State, the City is <br />not reasonably convinced that the Contractor will attain compliance, the City may require Contractor <br />to provide a performance bond in the amount of FIVE HUNDRED THOUSAND DOLLARS <br />($500,000) until such time as compliance is attained. <br />If the City finds that additional programs are necessary to meet any required diversion goals, the City <br />may require proposals for additional diversion programs to meet the diversion requirements. If <br />necessary, City and Contractor shall enter into good faith negotiations, but if agreement regarding <br />programs and/or rate adjustments cannot be reached City reserves the right upon sixty days' notice <br />thereof to terminate the Contractor's right and obligation to collect Residential and/or Commercial <br />Refuse, Recyclables, and/or Green Waste, and/or to independently implement programs that may be <br />needed to comply with the requirements of Applicable Law. <br />e. Enforcement of Anti-Scavenging Laws. Contractor shall cooperate with City in enforcing <br />anti-scavenging laws, including instituting civil actions against a Person alleged to have violated <br />Section 41950 of the Act for treble damages, as measured by the value of the material removed, or a <br />civil penalty of not more than one thousand dollars, whichever is greater, for each unauthorized <br />removal, in accordance with Section 41953 of the Act. <br />4.03 Disposal. <br />a. Disposal Facility. Contractor shall transport and deliver to a permitted Disposal Facility <br />approved by City all Refuse, including Residential Refuse, Commercial Refuse, City Refuse, Refuse <br />collected in performing emergency services in accordance with Section 4.07, and Bulky Waste which <br />cannot be diverted in accordance with Section 4.Olc(1), and residue in accordance with Section <br />4.02b(4). Contractor shall select a Disposal Facility which results in the least expensive disposal <br />option for the City, taking into account tipping fees there at and transportation costs thereto and <br />compliance with Applicable Law (including Subtitle D requirements), consistent with public health <br />and safety and Contractor's obligations hereunder. For ease of reference, Parties shall attach any <br />agreements between a Disposal Processing Facility owner or operator and either Party and any rules, <br />5/06/97 execution <br />21 <br />