Loading...
HomeMy WebLinkAboutPW13-184 - Original - Konecranes, Inc. - Contract - 07/11/2013 ::11111111!6 ecords M eme KENO Document W A3MINOTOM ut7- 7 CONTRACT COVER SHEET This is to be completed by the Contract Manager prior to submission to City Clerks Office. All portions are to be completed. If you have questions, please contact City Clerk's Office. Vendor Name: Konecranes, Inc Vendor Number: JD Edwards Number Contract Number: T 0 / 3-/a 7 This is assigned by City Clerk's Office Project Name: Hoist Inspection Description: ❑ Interlocal Agreement ❑ Change Order ❑ Amendment ® Contract ❑ Other: Contract Effective Date: 7/11/2013 Termination Date: 12/31/2013 Contract Renewal Notice (Days): Number of days required notice for termination or renewal or amendment Contract Manager: Sean Bauer Department: Public Works Ops - Water Detail: (i.e. address, location, parcel number, tax id, etc.): Annual hoist inspection at Clark Springs and Pump Station #5 S Public\RecordsManagement\Forms\ContractCover\adcc7832 1 11/08 KENT WASHII.GTON GOODS & SERVICES AGREEMENT between the City of Kent and Konecranes, Inc. THIS AGREEMENT is made by and between the City of Kent, a Washington municipal corporation (hereinafter the "City"), and Konecranes, Inc. organized under the laws of the State of Washington, located and doing business at 8735 S 212th St Kent, WA 98031 (hereinafter the "Vendor"). AGREEMENT I. DESCRIPTION OF WORK. Vendor shall provide the following goods and materials and/or perform the following services for the City: Vendor will provide the labor and materials to complete an annual monorail hoist inspection and recertification at two City of Kent Water Facilities; Clark Springs 24875 Kent Kangley Road and Pump Station #5 23825 98`h Ave South. For additional information, see the Contractor quote dated 6/12/2013, which is attached as Exhibit A and incorporated by this reference. Vendor acknowledges and understands that it is not the City's exclusive provider of these goods, materials, or services and that the City maintains its unqualified right to obtain these goods, materials, and services through other sources. II. TIME OF COMPLETION. Upon the effective date of this Agreement, Vendor shall complete the work and provide all goods, materials, and services by December 31, 2013. III. COMPENSATION. The City shall pay the Vendor an amount not to exceed $471.43, including applicable Washington State Sales Tax, for the goods, materials, and services contemplated in this Agreement. The City shall pay the Vendor the following amounts according to the following schedule: GOODS & SERVICES AGREEMENT - 1 (Under$10,000.00, including WSST) Upon completion of work with acceptance by the City and invoice the vendor will be paid in full within 30 days. If the City objects to all or any portion of an invoice, it shall notify Vendor and reserves the option to only pay that portion of the invoice not in dispute. In that event, the parties will immediately make every effort to settle the disputed portion. A. Defective or Unauthorized Work. The City reserves its right to withhold payment from Vendor for any defective or unauthorized goods, materials or services. If Vendor is unable, for any reason, to complete any part of this Agreement, the City may obtain the goods, materials or services from other sources, and Vendor shall be liable to the City for any additional costs incurred by the City. "Additional costs" shall mean all reasonable costs, including legal costs and attorney fees, incurred by the City beyond the maximum Agreement price specified above. The City further reserves its right to deduct these additional costs incurred to complete this Agreement with other sources, from any and all amounts due or to become due the Vendor. B. Final Payment: Waiver of Claims. VENDOR'S ACCEPTANCE OF FINAL PAYMENT SHALL CONSTITUTE A WAIVER OF CLAIMS, EXCEPT THOSE PREVIOUSLY AND PROPERLY MADE AND IDENTIFIED BY VENDOR AS UNSETTLED AT THE TIME REQUEST FOR FINAL PAYMENT IS MADE. IV. INDEPENDENT CONTRACTOR. The parties intend that an Independent Contractor-Employer Relationship will be created by this Agreement. By their execution of this Agreement, and in accordance with Ch. 51.08 RCW, the parties make the following representations: A. The Vendor has the ability to control and direct the performance and details of its work, the City being interested only in the results obtained under this Agreement. B. The Vendor maintains and pays for its own place of business from which Vendor's services under this Agreement will be performed. C. The Vendor has an established and independent business that is eligible for a business deduction for federal income tax purposes that existed before the City retained Vendor's services, or the Vendor is engaged in an independently established trade, occupation, profession, or business of the same nature as that involved under this Agreement. D. The Vendor is responsible for filing as they become due all necessary tax documents with appropriate federal and state agencies, including the Internal Revenue Service and the state Department of Revenue. E. The Vendor has registered its business and established an account with the state Department of Revenue and other state agencies as may be required GOODS & SERVICES AGREEMENT - 2 (Under$10,000.00, including WSST) by Vendor's business, and has obtained a Unified Business Identifier (UBI) number from the State of Washington. F. The Vendor maintains a set of books dedicated to the expenses and earnings of its business. V. TERMINATION. Either party may terminate this Agreement, with or without cause, upon providing the other party thirty (30) days written notice at its address set forth on the signature block of this Agreement. VI. CHANGES. The City may issue a written amendment for any change in the goods, materials or services to be provided during the performance of this Agreement. If the Vendor determines, for any reason, that an amendment is necessary, Vendor must submit a written amendment request to the person listed in the notice provision section of this Agreement, section XIV(D), within fourteen (14) calendar days of the date Vendor knew or should have known of the facts and events giving rise to the requested change. If the City determines that the change increases or decreases the Vendor's costs or time for performance, the City will make an equitable adjustment. The City will attempt, in good faith, to reach agreement with the Vendor on all equitable adjustments. However, if the parties are unable to agree, the City will determine the equitable adjustment as it deems appropriate. The Vendor shall proceed with the amended work upon receiving either a written amendment from the City or an oral order from the City before actually receiving the written amendment. If the Vendor fails to require an amendment within the time allowed, the Vendor waives its right to make any claim or submit subsequent amendment requests for that portion of the contract work. If the Vendor disagrees with the equitable adjustment, the Vendor must complete the amended work; however, the Vendor may elect to protest the adjustment as provided in subsections A through E of Section VII, Claims, below. The Vendor accepts all requirements of an amendment by: (1) endorsing it, (2) writing a separate acceptance, or (3) not protesting in the way this section provides. An amendment that is accepted by Vendor as provided in this section shall constitute full payment and final settlement of all claims for contract time and for direct, indirect and consequential costs, including costs of delays related to any work, either covered or affected by the change. VII. CLAIMS. If the Vendor disagrees with anything required by an amendment, another written order, or an oral order from the City, including any direction, instruction, interpretation, or determination by the City, the Vendor may file a claim as provided in this section. The Vendor shall give written notice to the City of all claims within fourteen (14) calendar days of the occurrence of the events giving rise to the claims, or within fourteen (14) calendar days of the date the Vendor knew or should have known of the facts or events giving rise to the claim, whichever occurs first . Any claim for damages, additional payment for any reason, or extension of time, whether under this Agreement or otherwise, shall be conclusively deemed to have been waived by the Vendor unless a timely written claim is made in strict accordance with the applicable provisions of this Agreement. At a minimum, a Vendor's written claim shall include the information set forth in subsections A, items 1 through 5 below. FAILURE TO PROVIDE A COMPLETE, WRITTEN NOTIFICATION OF CLAIM WITHIN THE TIME ALLOWED SHALL BE AN ABSOLUTE WAIVER OF ANY CLAIMS ARISING IN ANY WAY FROM THE FACTS OR EVENTS SURROUNDING THAT CLAIM OR CAUSED BY THAT DELAY. GOODS & SERVICES AGREEMENT - 3 (Under$10,000.00, including WSST) A. Notice of Claim. Provide a signed written notice of claim that provides the following information: 1. The date of the Vendor's claim; 2. The nature and circumstances that caused the claim; 3. The provisions in this Agreement that support the claim; 4. The estimated dollar cost, if any, of the claimed work and how that estimate was determined; and 5. An analysis of the progress schedule showing the schedule change or disruption if the Vendor is asserting a schedule change or disruption. B. Records. The Vendor shall keep complete records of extra costs and time incurred as a result of the asserted events giving rise to the claim. The City shall have access to any of the Vendor's records needed for evaluating the protest. The City will evaluate all claims, provided the procedures in this section are followed. If the City determines that a claim is valid, the City will adjust payment for work or time by an equitable adjustment. No adjustment will be made for an invalid protest. C. Vendor's Duty to Complete Protested Work. In spite of any claim, the Vendor shall proceed promptly to provide the goods, materials and services required by the City under this Agreement. D. Failure to Protest Constitutes Waiver. By not protesting as this section provides, the Vendor also waives any additional entitlement and accepts from the City any written or oral order (including directions, instructions, interpretations, and determination). E. Failure to Follow Procedures Constitutes Waiver. By failing to follow the procedures of this section, the Vendor completely waives any claims for protested work and accepts from the City any written or oral order (including directions, instructions, interpretations, and determination). VIII. LIMITATION OF ACTIONS. VENDOR MUST, IN ANY EVENT, FILE ANY LAWSUIT ARISING FROM OR CONNECTED WITH THIS AGREEMENT WITHIN 120 CALENDAR DAYS FROM THE DATE THE CONTRACT WORK IS COMPLETE OR VENDOR'S ABILITY TO FILE THAT SUIT SHALL BE FOREVER BARRED. THIS SECTION FURTHER LIMITS ANY APPLICABLE STATUTORY LIMITATIONS PERIOD. IX. WARRANTY. This Agreement is subject to all warranty provisions established under the Uniform Commercial Code, Title 62A, Revised Code of Washington. Vendor warrants goods are merchantable, are fit for the particular purpose for which they were obtained, and will perform in accordance with their specifications and Vendor's representations to City. The Vendor shall correct all defects in workmanship and materials within one (1) year from the date of the City's acceptance of the Contract work. In the event any part of the goods are repaired, only original replacement parts shall be used—rebuilt or used parts will not be acceptable. When defects are corrected, the warranty for that portion of the work shall extend for one (1) year from the date such correction is completed and accepted by the City. The Vendor shall begin to correct any defects within seven (7) calendar days of its receipt of notice from the City of the defect. If the Vendor does not accomplish the corrections within a reasonable time as determined by the City, the City may complete the corrections and the Vendor shall pay all costs incurred by the City in order to accomplish the correction. GOODS & SERVICES AGREEMENT - 4 (Under$10,000.00, including WSST) X. DISCRIMINATION. In the hiring of employees for the performance of work under this Agreement or any sub-contract, the Vendor, its sub-contractors, or any person acting on behalf of the Vendor or sub-contractor shall not, by reason of race, religion, color, sex, age, sexual orientation, national origin, or the presence of any sensory, mental, or physical disability, discriminate against any person who is qualified and available to perform the work to which the employment relates. Vendor shall execute the attached City of Kent Equal Employment Opportunity Policy Declaration, Comply with City Administrative Policy 1.2, and upon completion of the contract work, file the attached Compliance Statement. XI. INDEMNIFICATION. Vendor shall defend, indemnify and hold the City, its officers, officials, employees, agents and volunteers harmless from any and all claims, injuries, damages, losses or suits, including all legal costs and attorney fees, arising out of or in connection with the Vendor's performance of this Agreement, except for that portion of the injuries and damages caused by the City's negligence. The City's inspection or acceptance of any of Vendor's work when completed shall not be grounds to avoid any of these covenants of indemnification. IT IS FURTHER SPECIFICALLY AND EXPRESSLY UNDERSTOOD THAT THE INDEMNIFICATION PROVIDED HEREIN CONSTITUTES THE VENDOR'S WAIVER OF IMMUNITY UNDER INDUSTRIAL INSURANCE, TITLE 51 RCW, SOLELY FOR THE PURPOSES OF THIS INDEMNIFICATION. THE PARTIES FURTHER ACKNOWLEDGE THAT THEY HAVE MUTUALLY NEGOTIATED THIS WAIVER. In the event Vendor refuses tender of defense in any suit or any claim, if that tender was made pursuant to this indemnification clause, and if that refusal is subsequently determined by a court having jurisdiction (or other agreed tribunal) to have been a wrongful refusal on the Vendor's part, then Vendor shall pay all the City's costs for defense, including all reasonable expert witness fees and reasonable attorneys' fees, plus the City's legal costs and fees incurred because there was a wrongful refusal on the Vendor's part. The provisions of this section shall survive the expiration or termination of this Agreement. XII. INSURANCE. The Vendor shall procure and maintain for the duration of the Agreement, insurance of the types and in the amounts described in Exhibit B attached and incorporated by this reference. XIII. WORK PERFORMED AT VENDOR'S RISK. Vendor shall take all necessary precautions and shall be responsible for the safety of its employees, agents, and subcontractors in the performance of the contract work and shall utilize all protection necessary for that purpose. All work shall be done at Vendor's own risk, and Vendor shall be responsible for any loss of or damage to materials, tools, or other articles used or held for use in connection with the work. XIV. MISCELLANEOUS PROVISIONS. A. Recyclable Materials. Pursuant to Chapter 3.80 of the Kent City Code, the City requires its contractors and consultants to use recycled and recyclable products whenever practicable. A price preference may be available for any designated recycled product. GOODS & SERVICES AGREEMENT - 5 (Under$10,000.00, including WSST) B. Non-Waiver of Breach. The failure of the City to insist upon strict performance of any of the covenants and agreements contained in this Agreement, or to exercise any option conferred by this Agreement in one or more instances shall not be construed to be a waiver or relinquishment of those covenants, agreements or options, and the same shall be and remain in full force and effect. C. Resolution of Disputes and Governing Law. This Agreement shall be governed by and construed in accordance with the laws of the State of Washington. If the parties are unable to settle any dispute, difference or claim arising from the parties' performance of this Agreement, the exclusive means of resolving that dispute, difference or claim, shall only be by filing suit exclusively under the venue, rules and jurisdiction of the King County Superior Court, King County, Washington, unless the parties agree in writing to an alternative dispute resolution process. In any claim or lawsuit for damages arising from the parties' performance of this Agreement, each party shall pay all its legal costs and attorney's fees incurred in defending or bringing such claim or lawsuit, including all appeals, in addition to any other recovery or award provided by law; ,provided, however, nothing in this paragraph shall be construed to limit the City's right to indemnification under Section XI of this Agreement. D. Written Notice. All communications regarding this Agreement shall be sent to the parties at the addresses listed on the signature page of the Agreement, unless notified to the contrary. Any written notice hereunder shall become effective three (3) business days after the date of mailing by registered or certified mail, and shall be deemed sufficiently given if sent to the addressee at the address stated in this Agreement or such other address as may be hereafter specified in writing. E. Assignment. Any assignment of this Agreement by either party without the written consent of the non-assigning party shall be void. If the non-assigning party gives its consent to any assignment, the terms of this Agreement shall continue in full force and effect and no further assignment shall be made without additional written consent. F. Modification. No waiver, alteration, or modification of any of the provisions of this Agreement shall be binding unless in writing and signed by a duly authorized representative of the City and Vendor. G. Entire Agreement. The written provisions and terms of this Agreement, together with any Exhibits attached hereto, shall supersede all prior verbal statements of any officer or other representative of the City, and such statements shall not be effective or be construed as entering into or forming a part of or altering in any manner this Agreement. All of the above documents are hereby made a part of this Agreement. However, should any language in any of the Exhibits to this Agreement conflict with any language contained in this Agreement, the terms of this Agreement shall prevail. H. Compliance with Laws. The Vendor agrees to comply with all federal, state, and municipal laws, rules, and regulations that are now effective or in the future become applicable to Vendor's business, equipment, and personnel engaged in operations covered by this Agreement or accruing out of the performance of those operations. GOODS & SERVICES AGREEMENT - 6 (Under$10,000.00, mcludIng WSST) I. Counterparts. This Agreement may be executed in any number of counterparts, each of which shall constitute an original, and ail of which will together constitute this one Agreement. IN WITNESS, the parties below execute this Agreement, which shall become effective on the last date entered below. VENDOR: CITY OF KENT: By: XAL By: (Signat re) 1 (signature) Print Name: l�ny ��if�il/ Print Name: Bradley Lake Its: JF%GME I AIA,rtAPOZ� Its: Operations Manager title) DATE: 7 ?J DATE: t :r NOTICES TO BE SENT TO: NOTICES TO BE SENT TO: VENDOR: CITY OF KENT: Tim Meehan Sean Bauer Konecranes, Inc City of Kent 8735 S 212" St 220 Fourth Avenue South Kent, WA 98031 Kent, WA 98032 253-872-9696 (telephone) (253) 856-5600 (telephone) 253-872-3458 (facsimile) (253) 856-6600 (facsimile) GOODS & SERVICES AGREEMENT - 7 (Under$10,000.00, Including WSST) DECLARATION CITY OF KENT EQUAL EMPLOYMENT OPPORTUNITY POLICY The City of Kent is committed to conform to Federal and State laws regarding equal opportunity. As such all contractors, subcontractors and suppliers who perform work with relation to this Agreement shall comply with the regulations of the City's equal employment opportunity policies. The following questions specifically identify the requirements the City deems necessary for any contractor, subcontractor or supplier on this specific Agreement to adhere to. An affirmative response is required on all of the following questions for this Agreement to be valid and binding. If any contractor, subcontractor or supplier willfully misrepresents themselves with regard to the directives outlines, it will be considered a breach of contract and it will be at the City's sole determination regarding suspension or termination for all or part of the Agreement; The questions are as follows: 1. I have read the attached City of Kent administrative policy number 1.2. 2. During the time of this Agreement I will not discriminate in employment on the basis of sex, race, color, national origin, age, or the presence of all sensory, mental or physical disability. 3. During the time of this Agreement the prime contractor will provide a written statement to all new employees and subcontractors indicating commitment as an equal opportunity employer. 3 4. During the time of the Agreement I, the prime contractor, will actively consider hiring and promotion of women and minorities. 5. Before acceptance of this Agreement, an adherence statement will be signed by me, the Prime Contractor, that the Prime Contractor complied with the requirements as set forth above. By signing below, I agree to fulfill the five requirements referenced above. Dated this J day of 12013. By: ' n For: iN AAaw-,i Title: GE ,1�-R1R�L �2 Date: 2A13 EEO COMPLIANCE DOCUMENTS - 1 of 3 CITY OF KENT ADMINISTRATIVE POLICY NUMBER: 1.2 EFFECTIVE DATE: January 1, 1998 SUBJECT: MINORITY AND WOMEN SUPERSEDES: April 1, 1996 CONTRACTORS APPROVED BY Jim White, Mayor POLICY: Equal employment opportunity requirements for the City of Kent will conform to federal and state laws. All contractors, subcontractors, consultants and suppliers of the City must guarantee equal employment opportunity within their organization and, if holding Agreements with the City amounting to $10,000 or more within any given year, must take the following affirmative steps: 1. Provide a written statement to all new employees and subcontractors indicating commitment as an equal opportunity employer. 2. Actively consider for promotion and advancement available minorities and women. Any contractor, subcontractor, consultant or supplier who willfully disregards the City's nondiscrimination and equal opportunity requirements shall be considered in breach of contract and subject to suspension or termination for all or part of the Agreement. Contract Compliance Officers will be appointed by the Directors of Planning, Parks, and Public Works Departments to assume the following duties for their respective departments. 1. Ensuring that contractors, subcontractors, consultants, and suppliers subject to these regulations are familiar with the regulations and the City's equal employment opportunity policy. 2. Monitoring to assure adherence to federal, state and local laws, policies and guidelines. EEO COMPLIANCE DOCUMENTS - 2 of 3 CITY OF KENT EQUAL EMPLOYMENT OPPORTUNITY COMPLIANCE STATEMENT This form shall be filled out AFTER COMPLETION of this project by the Contractor awarded the Agreement. I, the undersigned, a duly represented agent of Company, hereby acknowledge and declare that the before-mentioned company was the prime contractor for the Agreement known as that was entered into on the (date), between the firm I represent and the City of Kent. I declare that I complied fully with all of the requirements and obligations as outlined in the City of Kent Administrative Policy 1.2 and the Declaration City of Kent Equal Employment Opportunity Policy that was part of the before-mentioned Agreement. Dated this day of , 20 By: For: Title: Date: EEO COMPLIANCE DOCUMENTS - 3 of 3 EXHIBIT A OFFER EGRANES ,..' Lifting Businesses' Handled by Jeff Schweizer Offer date: 06/12/2013 / Revision 06/12/2013 Offer number:T25150-16 1/SE61213JS18 Page 1 ................................................. Customer: Kent, City of Reference: 2013 Annual Crane Inspections Inquiry date: 06/12/2013 Address: 5821 S 240th Subject: Inspect cranes at 2 locations. Kent, WA 98032 Contact person: Sean Bauer USA Customer Tel: 253-856-5616 Customer Fax: Thank you for your consideration of our maintenance programs and the opportunity to be of service We are the leading provider of comprehensive maintenance services for overhead cranes, port equipment and machine tools and a global manufacturer of material handling equipment. By partnering with our customers, our joint focus is to enhance the safety and productivity of your operations through innovative technologies and customized maintenance programs We will prove value through periodic performance reviews of mutually agreed upon goals. We first seek to understand your business, then we apply our industry-wide experience and expertise. We call this process "Lifting Businesses". ANNUAL INSPECTION AND PREVENTIVE MAINTENANCE Our Annual Inspection Program will be performed in accordance with Konecranes' Mainman software system of crane analysis and the original equipment manufacturers recommended procedures This copyrighted program has been developed through years of industry experience and our interpretation of the appropriate ANSI, CMAA, HMI, ISO 9000, NEC, NEMA, OSHA, Cal/OSHA (where required) and CMSC (Crane Manufacturers Service Committee of CMAA) codes. The benefits of this program include maximizing safety and productivity while eliminating costly downtime and emergency repairs ,1 MAINMAN ® guides our certified inspectors in delivering consistent, repeatable inspections combined with the appropriate level of preventive maintenance that is customized based on application and equipment type: each piece of equipment is uniquely configured and tracked. Inspectors enter field data through their MobilTec handheld devices that upload data directly to the MAINMAN ® database reducing turn-around time and the chance of data entry errors. Konecranes Certified Crane Inspectors have successfully passed exams and are certified by the Konecranes Training Center in Springfield, Ohio Konecranes Inspectors receive ongoing training in the field and the classroom. In order to qualify for the program, our Inspectors must exceed the crane maintenance experience requirements of CMAA Spec 78. Our Inspectors evaluate and assign a condition code and priority consequence for all crane components. Our Inspectors not only help ensure safety and compliance, but also provide an accurate assessment of the condition, safety and reliability of your equipment. They will consult with you, communicate results and provide recommendations A set of comprehensive reports are generated for each crane or piece of equipment Any deficiencies are prioritized by the impact they have on safe crane operation or the potential loss of production. ..................................................................................................................................................................................... Konecranes,Inc,8735 S 212th St,98031 Kent WA USA,Tel(253)872 9696, Fax(253)872 3458 www konecranes.com L4 XH11511 A ................................ ................................................................................................................ OFFER KC)NECsRAINES� Offer number: T25150-161 Page 2 Lifting Businesses" Any item found during the inspection which may constitute a safety hazard will be documented on a Safety Summary, brought to the attention of the appropriate personnel and confirmed with your designated contact before our Inspector leaves your site. The Safety Summary documentation can be e-mailed directly from our technician's handheld device. Our inspection meets all regulatory requirements and Is delivered in compliance with ISO-9001 format. Some items associated with the crane and runway systems traditionally have not been assessed by service companies due to inaccessibility and/or the requirement for extensive disassembly. Please note that there remains an owner responsibility within OSHA codes to assess these Items (see 1910.179 0)(3)(Iv) and OSHA interpretation letter available from OSHA or ask you Konecranes Representative for a copy) Konecranes has extensive experience and several programs available to assist with NDT testing of those items disclosed as "Unable to Inspect" which are beyond the scope of this proposal We would be happy to review these with you and provide these services at your option. A Scope of the service is included In this proposal for your review. The Mainman reporting package you will receive as a part of our service agreement will contain the following information REPORT KEY—Description of Priority and Condition codes along with a copy of regulations, "Unable to Inspect" disclosures, OSHA interpretation letter and other information to help you maximize benefits EQUIPMENT LIST- Provides a valuable tool which includes asset numbers, locations, manufacturers, and serial numbers CONDITION SUMMARY— Konecranes proprietary algorithm will rank your equipment from worst to best, i providing a solid basis for pnont¢atlon of repairs, modernizations and replacement. PLANNING OVERVIEW- Itemizes any reported problems by priority SAFETY SUMMARIES—Copies of the safety summaries left on site daily during time of the service WORK ORDERS- Itemizes any remaining discrepancies by condition and priority. A short description Is provided for each item needing attention. A specific place Is provided to record the date of correction and the technician performing the correction when completed. QUOTATIONS— Presents the cost of repairs required for each piece of equipment. BUSINESS REVIEW—A comprehensive review of the services provided, related cost analysis, recommended actions and a business review approval form to maximize communication and your benefit from the Mainman process. CRANE CONDITION - Indicates the condition of your cranes during the inspection and prior to any repairs, without reference to priorities and repair consequences. (Minimum OSHA/CSA documentation). ................................................................................................................................................................................... Konecranes,Inc,8735 S 212th St,98031 Kent WA USA,Tel(253)872 9696, Fax(253)872 3458 www konecranes.com ........................................................ EXHIBIT A OFFER KONEGRANESW Offer number: T25150-161 Page 3 Lifting Businesses KONECRANES Mainman PROGRAM BENEFITS By choosing us for your crane needs, you will receive local services of the highest quality backed by the global resources of Konecranes. - Certified Crane Inspectors and Technicians - Guaranteed response times on emergency breakdowns, depending on your agreement and location - Proven maintenance processes that ensure we deliver value and a return on your maintenance dollar - Crane Pro Parts, our regional crane parts warehouses with multi-million dollar Inventories - 24/7 Emergency Service Special Programming and customized care levels for multiple year contract customers Annual Business Review which provides you with a comprehensive analysis of how your maintenance dollars were invested, important monitoring of trends, safety and action plans During this on-site meeting, we work with you to define future action plans to maximize the return on your maintenance investment, identify capital requirements, and any other items you may wish to discuss. We provide • Spend by Type of Activity • Maintenance and Inspection Evaluation • Trend Analysis • Safety Scoring • Equipment Condition Scoring • Quality Controls • Action Planning—short term and long term • Recommendations for upgrade, modification or replacement where appropriate Your Business Review is included annually, but can be done at your request at any time. Annual Mycrane corn- Mycrane com is a valuable on-line maintenance tool which provides access to your Inspections and service history. Access is included during the period of this agreement. Scope of the service Complete annual crane inspections at two locations. Pricing Summary Type of Service Units Cost Per Visit #of Visits Total Cost Mainman Level Inspection 3 42857 1 42857 Total price is $428 57. This quote/proposal is subject to the Konecranes, Inc. d/b/a Crane Pro Services Standard Terms and Conditions of Sale (Revision 082207), a copy of which is attached hereto or otherwise available upon request and the terms of which are incorporated as if fully rewritten herein Price quoted is based on clear access to the work area and work being completed during a normal workday. It is our intent to work with our customer's production schedule as much as possible. However, please note that quoted prices are based upon the equipment being available to the service technician(s) at the expected time of i arrival through completion of the required work Any unexpected delays caused by the customer will be charged at the applicable hourly rate. 9 •................................................................................................................................................................................. Konecranes,Inc.,8735 S 212th St,98031 Kent WA USA,Tel(253)872 9696, Fax(253;872 3458 www konecranes.com EXHllsll � ........................................... ....................................................................................................................... OFFER KONEGRANES`� Offer number: T25150-161 Page 4 Lifting Businesses" All concealed damages and/or Items found necessary to be repaired or replaced upon start of the above Items, and not readily apparent prior to the beginning of the work, and not otherwise covered by the purchase order, shall be brought to your immediate attention and a price for said work agreed upon prior to proceeding with the repairs Manlifts. Customer to supply lifts) or we will supply at cost+ 15%. Travel (for inspections) is Included. Contract Contract period is Continuous- Until notice.The Annual price Increase is based on negotiation. Invoicing Invoicing will be done 1 times in a calendar year. Payment term All payments net in 15 days. Delivery time Estimated delivery time is 1-2 weeks from receipt of written order. Validity of the offer This offer is valid until 07/12/2013. We will confirm scheduling of your inspections immediately upon receipt of your authorization Should you have any questions, please contact us at any time. We sincerely appreciate the opportunity to be of service. Yours truly Konecranes, Inc. Jeff Schweizer Service Supervisor Tel 253-872-9696 Mobile 206-909-7668 NOTE. Konecranes shall not inspect and has no responsibility for inspection, installation, operation, maintenance, safety, or condition of any below the hook devices unless those items are specifically included in our proposal —we will be happy to provide information on this service at any time. ..................................................................................................................................................................................i Konecranes,Inc,8735 S 212th St,98031 Kent WA USA,Tel(253)872 9696, Fax(253)872 3458 www.konecranes.com EXRwIT A ................................................. ............................................................................................................. OFFER KCWNECGRANES� Offer number: T25150-161 Page 5 Lifting Businesses' CRANES IN SERVICE Units Reference Crane type Capacity Visit/a 2 Kent Maintenance Op. Monorail/Hoist on a Beam 2 Ton 1 1 981"Ave Pump Station Monorail/Hoist on a Beam 2 Ton 1 +R ...................................................................................................................................................................................I Konecranes,Inc.,8735 S 212th St,98031 Kent WA USA,Tel(253)872 9696, Fax(253)872 3458 www konecranes.com :................................................ EXHIBIT A .................................................................................................................... OFFER KCWNEGRANES` Offer number: T25150-161 Page 6 Lifting Businesses' Mamman®/OSHA Periodic Inspection 1910 179 0)(1)(ii)(b) Annual Inspection Program Scope Konecranes' MAINMAN® analyzes the condition of hundreds of components on your equipment; any make or model, and puts them into a prioritized list of what should be repaired first. Each MAINMAN® inspection is customized to fit your crane, which includes data on the mechanical, structural and electrical aspects of the crane. The inspections are performed by our "Certified Crane Inspectors" whom exceed industry qualification standards E such as CMAA Spec 78 Our Inspectors have thousands of hours of experience in the field and are able to analyze crane conditions and offer cost effective recommendations Our inspection program has been developed from our years of experience in the industry and our Interpretation of E the appropriate ANSI, CMAA, HMI, ISO 9000, NEC, NEMA, CSA, and OSHA codes and/or standards. Our inspection program includes, but is not limited to the following items - Inspect all equipment oil and lube reservoirs levels and report any excessive leakage. - Visually inspect the sheaves, drums, wheels, and bearings for general conditions and proper lubrication. - Inspect the wire rope for any signs of kinking, crushing, cutting, bird caging, corrosion, or other unusual wear. Visually inspect the load block and hook for any excessive wear, such as bending, twisting, cracks, grooves, or increased throat opening. Visually inspect the external parts of the hoists, trolley frames, catwalks, and handrails for loose bolts, broken parts, misalignments, broken welds, or any other unusual conditions. Check entire unit for smoothness of operation and proper pendant identifications Open control boxes and check all contactors, relays, timers, etc., for proper operation, loose or broken connections. Inspect all safety devices, i e limit switches, for proper operation. - Inspect external motors and wiring for wear and deterioration Check operations of all motors in general - Inspect general condition of the end stops, rail sweeps, drop lugs, and shock absorbing bumpers - Visually Inspect motor brakes for proper operation or possible need of adjustment or replacement of brake discs, studs, coils, shoes, etc. Inspection of collector shoes, brushes, or wheels for signs of arcing and/or wear. MAINMAW has a new feature that is available now called MYCRANE.COM My Crane is a secure website that allows you to review all of your service and inspection history for your overhead lifting equipment online My Crane allows you to have access to all historical inspections reports and print or distribute them at your convenience. All Items found during inspections which constitute a safety hazard will be documented on a safety summary report and submitted to customer management before Konecranes' Inspectors leave the customer's facility. Several components are Inaccessible or disassembly Is required for Inspection and not covered under the scope of an OSHA Periodic or MAINMAN° inspection unless otherwise contracted to do so as additional services, these E Include internal couplings, internal mechanical load brake, internal hoist gearing and bottom block bearings and hook shank, load chain gear and runway structures ...................................................................................................................................................................................: Konecranes,Inc,8735 S 212th St,98031 Kent WA USA,Tel(253)872 9696, Fax(253)872 3458 www.konecranes com EXHIBIT B INSURANCE REQUIREMENTS FOR SERVICE CONTRACTS Insurance The Contractor shall procure and maintain for the duration of the Agreement, insurance against claims for injuries to persons or damage to property which may arise from or in connection with the performance of the work hereunder by the Contractor, their agents, representatives, employees or subcontractors. A. Minimum Scope of Insurance Contractor shall obtain insurance of the types described below: 1. Automobile Liability insurance covering all owned, non-owned, hired and leased vehicles. Coverage shall be written on Insurance Services Office (ISO) form CA 00 01 or a substitute form providing equivalent liability coverage. If necessary, the policy shall be endorsed to provide contractual liability coverage. 2. Commercial General Liability insurance shall be written on ISO occurrence form CG 00 01 and shall cover liability arising from premises, operations, independent contractors, products-completed operations, personal injury and advertising injury, and liability assumed under an insured contract. The Commercial General Liability insurance shall be endorsed to provide the Aggregate Per Project Endorsement ISO form CG 25 03 11 85. The City shall be named as an insured under the Contractor's Commercial General Liability insurance policy with respect to the work performed for the City using ISO additional insured endorsement CG 20 10 11 85 or a substitute endorsement providing equivalent coverage. 3. Workers' Compensation coverage as required by the Industrial Insurance laws of the State of Washington. B. Minimum Amounts of Insurance Contractor shall maintain the following insurance limits: 1. Automobile Liability insurance with a minimum combined single limit for bodily injury and property damage of $1,000,000 per accident. 2. Commercial General Liability insurance shall be written with limits no less than $1,000,000 each occurrence, $2,000,000 general aggregate and a $2,000,000 products-completed operations aggregate limit. EXHIBIT B (Continued ) C. Other Insurance Provisions The insurance policies are to contain, or be endorsed to contain, the following provisions for Automobile Liability and Commercial General Liability insurance: 1. The Contractor's insurance coverage shall be primary insurance as respect the City. Any Insurance, self-insurance, or insurance pool coverage maintained by the City shall be excess of the Contractor's insurance and shall not contribute with it. 2. The Contractor's insurance shall be endorsed to state that coverage shall not be cancelled by either party, except after thirty (30) days prior written notice by certified mail, return receipt requested, has been given to the City. 3. The City of Kent shall be named as an additional insured on all policies (except Professional Liability) as respects work performed by or on behalf of the contractor and a copy of the endorsement naming the City as additional insured shall be attached to the Certificate of Insurance. The City reserves the right to receive a certified copy of all required insurance policies. The Contractor's Commercial General Liability insurance shall also contain a clause stating that coverage shall apply separately to each insured against whom claim is made or suit is brought, except with respects to the limits of the insurer's liability. D. Acceptability of Insurers Insurance is to be placed with insurers with a current A.M. Best rating of not less than A:VII. E. Verification of Coverage Contractor shall furnish the City with original certificates and a copy of the amendatory endorsements, including but not necessarily limited to the additional insured endorsement, evidencing the insurance requirements of the Contractor before commencement of the work. F. Subcontractors Contractor shall include all subcontractors as insureds under its policies or shall furnish separate certificates and endorsements for each subcontractor. All coverages for subcontractors shall be subject to all of the same insurance requirements as stated herein for the Contractor. A� DATE IYYYY) CERTIFICATE OF LIABILITY INSURANCE o41001201312013 THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE HOLDER. THIS CERTIFICATE DOES NOT AFFIRMATIVELY OR NEGATIVELY AMEND, EXTEND OR ALTER THE COVERAGE AFFORDED BY THE POLICIES BELOW THIS CERTIFICATE OF INSURANCE DOES NOT CONSTITUTE A CONTRACT BETWEEN THE ISSUING INSURER(S), AUTHORIZED REPRESENTATIVE OR PRODUCER,AND THE CERTIFICATE HOLDER IMPORTANT. If the certificate holder is an ADDITIONAL INSURED,the policy(ies) must be endorsed If SUBROGATION IS WAIVED, subject to the terms and conditions of the policy,certain policies may require an endorsement A statement on this certificate does not confer rights to the certificate holder in lieu of such endomement(s) PRODUCER CONTACT Marsh USA Inc NAME 325 John H McConnell Boulevard,Suite 350 PHONE FAX No Columbus,OH 43215 E-MAIL Alin Ranae Friend-ranae a fnend@marsh cam ADDRESS INSURERS)AFFORDING COVERAGE NAIC# 586030-(2M)-CIPRO-12-13 SEA Kent INSURERA Zunch American Insurance Cc 16535 INSURED Travelers Indemnity Co Of CT 25682 Konecranes,Inc INSURER B 8735 S 212th St INSURER C Travelers Property Casualty Cc Of America 25674 Kent,WA 98031 INSURER D NIA N/A INSURER E NIP' NIA INSURER F NIA NIA COVERAGES CERTIFICATE NUMBER* CLE-003927520-02 REVISION NUMBER 1 THIS IS TO CERTIFY THAT THE POLICIES OF INSURANCE LISTED BELOW HAVE BEEN ISSUED TO THE INSURED NAMED ABOVE FOR THE POLICY PERIOD INDICATED NOTWITHSTANDING ANY REQUIREMENT, TERM OR CONDITION OF ANY CONTRACT OR OTHER DOCUMENT WITH RESPECT TO WHICH THIS CERTIFICATE MAY BE ISSUED OR MAY PERTAIN, THE INSURANCE AFFORDED BY THE POLICIES DESCRIBED HEREIN IS SUBJECT TO ALL THE TERMS, EXCLUSIONS AND CONDITIONS OF SUCH POLICIES LIMITS SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS INSR rypE OF INSURANCE ADDL SUBR POLICY EFF POLICY EXP LIMITS LTR POLICY NUMBER MM/DDIYYYY MMIDD/YVYY A GENERAL LIABILITY X GLO8249716-03 10/01/2012 10101/2013 EACH OCCURRENCE $ 5,000,000 X DAMAGE TO RENTED 100,000 COMMERCIAL GENERAL LIABILITY PREMISES Ea occurrence $ CLAIMS-MADE FXI OCCUR MED EXP(Any one person) $ 5,000 PERSONAL B ADV INJURY $ 5,006,000 GENERAL AGGREGATE $ 5,000,000 GEN'LAGGREGATE LIMITAPPLIES PER PRODUCTS-COMP/OP AGG $ 5,000,000 POLICY X IFrTPRO LOC $ B AUTOMOBILE LIABILITY X HC2E-CAP-474M710-5-TCT-12 10101/2012 10/01/2013 COMBINED SINGLE LIMIT 2r0000D� Ea accident) X ANY AUTO BODILY INJURY(Per person) $ ALL OWNED SCHEDULED BODILY INJURY(Per accident) $ i AUTOS AUTOS NON-OWNED PROPERTY DAMAGE E HIREDAUTOS AUTOS Peracadent � `Belt-Insured Comp/Call" E UMBRELLA LIAR OCCUR EACH OCCURRENCE $ EXCESS LIAB CLAIMS-MADE AGGREGATE $ DED RETENTION$ $ G WORKERS COMPENSATION HRJ-UB474M528-9-12(WI) 10/0112012 1U/01/2013 X WOSTAru- oTH- AND EMPLOYERS LIABILITYER G ANY PROPRIETCRIPARTNER/EXECUTIVE YIN HC2J-UB-074M527-7-12(ADS) 10101/2012 10101I2013 EL EACH ACCIDENT $ 1,000,000OFFICER/MEMBER EXCLUDED? ❑N NIA (Mandatory in NH) EL DISEASE-EA EMPLOYEE $ 1,000,000 If yes descnbe under 1,000,000 DESCRIPTION OF OPERATIONS below EL DISEASE-POLICY LIMIT S I DESCRIPTION OF OPERATIONS I LOCATIONS/VEHICLES (Attach ACORD 101,Additional Remarks Schedule,If more space is required) CITY OF KENT IS INCLUDED AS ADDITIONAL INSURED WHERE REQUIRED BY WRITTEN CONTRACT OR AGREEMENT AS RESPECTS GENERAL LIABILITY AND AUTO LIABILITY POLICIES CERTIFICATE HOLDER CANCELLATION City of Kent SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE Attn Sean Bauer THE EXPIRATION DATE THEREOF, NOTICE WILL BE DELIVERED IN 220 Fourth Ave South ACCORDANCE WITH THE POLICY PROVISIONS Kent,WA 98032 AUTHORIZED REPRESENTATIVE of Marsh USA Inc Suzanne Butsch ©1988-2010 ACORD CORPORATION All rights reserved ACORD 25(2010105) The ACORD name and logo are registered marks of ACORD x COMMPRCIAI AUTO POLICY NUMBER: nc25-Cnr-474m05-rcr-12 ISSUE DATE: 10/01/12 THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY. ADDITIONAL INSURED - PRIMARY AND NON-CONTRIBUTORY WITH OTHER INSURANCE I This endorsement modifies Insurance provided by the following: BUSINESS AU10 COVERAGE FORM I With respect to coveiage provided by this endorsement,the provisions of the Coverage Form apply unless modi- tied by this endorsement SCHEDULED PERSONS OR ORGANIZATIONS j ANY PERSON OR ORGANIZATION AS DF.SCRIIBSU 1 IN PARAGRAPH A. [i1:LOW. PROVISIONS A. The following is added to Paragraph e. in A- 1., S. The following is added to Paragraph 5., Other Who is An Insured, of SECTION II-LIABILITY Insurance, in S. General Conditions of SEC- COVERAGE. TION IV—BUSINESS AUTO CONDITIONS Any parson or organization shown above who is Regardless of the provisions of paragraph a.wW required undor a written contract or agloemonl paragraph d. of lhns part 5. Other Insurance, if between you and that poison or organizutiou,that the echodutod person or organisation shown Is signad and executed by you before the "bodily above has other Insurance under which it is the Injury"or"property damage"occurs and that is in first named insured and that arsuianuo atbo ap- effect during the policy period, to be narnod as an pllos, then this insurance is primary to and non- additional insured is an"insurod"for Llubihty Cov- contributory with that other insurance when die erage, but only for damages to which this insryr. written contract or agreement between you and once applias and only to the extent that person or that bchedutod person or organization, that is organisation qualifies as an "insured" under the signed and oxocutud by you before the"bodily In- Who Is An Inbured provision contained in Suction jury" or "property damage" occurs and that is in It. effect during tho policy peiiod, roquiros this Insur. unco to be pninary and noncontributory. i I CA T4 42 04 9! 0 PM The Trxvelera Compiniba,Inc Page 1 of 1 I Additional Insured -- Automatic — Owners, Lessees Or Contractors ZURICH i _ Policy No. Sxp. Data of POt. 8rr Datc of End. _Aarary No. Add! Prcia, _ 0,lara Pram, OI.O_8249716-03L�J 10 J01/2013 y10/01/2012 THIS ENDORSEMENT CHANGES THE POLICY. PLL►AST READ rr CAREFULLY. Nnuted Insured: Addre.m(including ZIP Code): This endorsement modifies insurance provided under the: Commercial General Liability Coverage fart A Section It—Who Is An Insured is amended to include as an Inured any parson or organization who you are re- quired to add as an additional insured on this policy under a written contract or written ugieemcrt. It. The insurance provided to like additional insured person or organisation applies only to"bodily injury',"property damage" or"personal and advertising injury' covered under SECTION I- Coverage A- Bodily Fury And Property Damage Liability and Section I- Coverage It - Personal And Advertising Injury IJahility, but only i with respect to liability for"bodily injury', "property dtunage"or"personal and advertising nijuryr' caused,in whole or in part,by: 1. Your acts or omissiosuq or 3. The acts or onussions orthoso acltng on your behalf;and resulting diroctly from: a. Your ongoing operations performed for the additional insured,which is the subject of the written con- tract or written agreement;or b. "Your work'completed as included in the"products-completed operations hazard',performed ibr the addiionai insured,winch is The subject of the written contract or written agreoment. C. Ilowevor,regardless of the.provisions ofparagrapls A.anti 11.above: 1. We will not extend any insurance coverage to any additional insured person or organization: a. That is not provided to you in this policy;or b. That is any broader coverage than you are required to provide to the additional insured person or or• gamzation in Cite written contract or written agreement;and 1. We will not provide Units or rmurance to tiny additional uuwred person or organization that exceed the lower of: a. The Limits of Insurance provided to you in this policy;or b. The Limits of huurance you are required to provide in the written cowed or written agroaautriL I , tadwkicapyry{bntduaaMaNiettaawuaanariauoraeglae.,MtAiupormWloa. U4L-1175ds1Cwl3l2@0T) Past or2 iaaaua o*y i J i l .» D,, The ttwuq fgee provided to tiro additional insured person or organization does not apply to: "Bodily injury',"property damage"or"personal and advertising injury'arising out of the rendering or failure to render any professional architecture I,ongincermg or surveytug sor4ocs including: L The preparing, approving or failing to prepare or approve traps,shop drawings,opinions, reports,survoys, Geld orders,change orders or drawings and specifications,and 2. Supervisory,inspection,architectural or engineering activities. IL The additional insured must see to it that: 1. We are notified as soon as practicable of as"occurrence"or olfftwe that may rtiauif In a claiLm; 2. We receive written notice of a claim or"suit'as soon as practicable;and 3. A request for defense and mdenmity of the claim or"suit"will promptly be brought against any policy issued by another instuer under which the additional insured may be an insured in any capacity. This provision does not apply to insuranco on which the additional insured is a Named Insured,if tho written contract or Written agreement requires that this coverage be primary and non-contributory. F. For the coverago provided by this endorsement: 1. The following paragraph is added to Paragraph Ca.of the Other Insurance Condition of Section IV— Cortunehelal General Liability Conditions; This insurance is primary insurance as respects our coverage to the additional insured perabn or orgdiriza- tion, wlicro the written contract or written agreement requires that this insurance be primary and non- contributory In that event,the will not seek contribution from any other insurance policy available to the additional insured on which the additional insured person or orgaaizution us a Narned insured. 2. The following paragraph is added to Paragraph 4.b,of the Other Insurance Condition of Section IV— Cotmnorclal General Idability Conditions, This insurance is oxcbss over; Any of the other insurance,wliolher primary,excess,contingent or on any other basis,available to an addl- tional insured,in Much the additional Insured on our policy is also covered as an additional insured by at- htchment of an endorsement to another policy providing coverage for the same"occurrence",claim or"suit" This provision does not apply to any policy in which the additional insured is a Named Insured on such other policy and where our policy is required by written contract or written agreement to provide coverage to the additional insured on a luintary and non-coutributory basis. I G This endorsement does not apply to an additional insured which has been added to this policy by an endorse- ment showing the additional insured in a Schedule of additional miureds, and which endorsement applies ape- cillcally to that identified additional insured. Any provisions in this Coverage Part not changedby the terms end cotititiotai of thin endorsement eomlthua to apply as written. Iaclodcs copyrighted aattww oriwuitwo scrykos otfice,too..with its peonwea. U-0L•117SD CW(3120) page 2 of 2 aura coav I