HomeMy WebLinkAbout2012 CON NBS - Consultant Prop 218 Compliance Landscape Maintence DistrictAGREEMENT
BY AND BETWEEN
THE CITY OF NATIONAL CITY
AND NBS
THIS AGREEMENT is entered into this 3rd day of April 2012, by and between
the CITY OF NATIONAL CITY, a municipal corporation (the "CITY"), and NBS.
RECITALS
WHEREAS, the City Attorney's Office desires to employ a CONSULTANT to
provide a Proposition 218 Compliance Analysis for the National City Landscape and
Maintenance District No. 1 (Mile of Cars) Engineer's Report.
WHEREAS, the CITY has determined that the CONSULTANT is qualified by
experience and ability to perform the services desired by the CITY, and the CONSULTANT is
willing to perform such services.
WHEREAS, the CONSULTANT will be preparing such report for the City
Attorney's Office, at the direction of the City Attorney, as work -product for the City Attorney.
NOW, THEREFORE, THE PARTIES HERETO DO MUTUALLY AGREE AS
FOLLOWS:
1. ENGAGEMENT OF CONSULTANT. The CITY hereby agrees to
engage the CONSULTANT and the CONSULTANT hereby agrees to perform the services
hereinafter set forth in accordance with all terms and conditions contained herein.
The CONSULTANT represents that all services required hereunder will be
performed directly by the CONSULTANT or under direct supervision of the CONSULTANT.
2. SCOPE OF SERVICES. The CONSULTANT will perform services as
set forth in the attached Exhibit "A".
The CONSULTANT shall be responsible for all research and reviews related to
the work and shall not rely on personnel of the CITY for such services, except as authorized in
advance by the CITY. The CONSULTANT shall appear at meetings to keep staff and City
Council advised of the progress on the project.
The CITY may unilaterally, or upon request from the CONSULTANT, from time to time
reduce or increase the Scope of Services to be performed by the CONSULTANT under this
Agreement. Upon doing so, the CITY and the CONSULTANT agree to meet in good faith and
confer for the purpose of negotiating a corresponding reduction or increase in the compensation
associated with said change in services.
3. PROJECT COORDINATION AND SUPERVISION.
City Attorney Claudia Silva hereby is designated as the Project Coordinator for
the CITY and will monitor the progress and execution of this Agreement. The CONSULTANT
shall assign a single Project Director to provide supervision and have overall responsibility for
the progress and execution of this Agreement for the CONSULTANT. Brian Brown thereby is
designated as the Project Director for the CONSULTANT.
4. COMPENSATION AND PAYMENT. The compensation for the
CONSULTANT shall be based on monthly billings covering actual work performed. Billings
shall include labor classifications, respective rates, hours worked and also materials, if any. The
total cost for all work described in Exhibit "A"shall not exceed $10,000 without prior written
authorization from the City Attorney. Monthly invoices will be processed for payment and
remitted within thirty (30) days from receipt of invoice, provided that work is accomplished
consistent with Exhibit "A", as determined by the CITY.
The CONSULTANT shall maintain all books, documents, papers, employee time
sheets, accounting records, and other evidence pertaining to costs incurred and shall make such
materials available at its office at all reasonable times during the term of this Agreement and for
three (3) years from the date of final payment under this Agreement, for inspection by the CITY
and for furnishing of copies to the CITY, if requested.
5. ACCEPTABILITY OF WORK. The CITY shall decide any and all
questions which may arise as to the quality or acceptability of the services performed and the
manner of performance, the acceptable completion of this Agreement and the amount of
compensation due. In the event the CONSULTANT and the CITY cannot agree to the quality or
acceptability of the work, the manner of performance and/or the compensation payable to the
CONSULTANT in this Agreement, the CITY or the CONSULTANT shall give to the other
written notice. Within ten (10) business days, the CONSULTANT and the CITY shall each
prepare a report which supports their position and file the same with the other party. The CITY
shall, with reasonable diligence, determine the quality or acceptability of the work, the manner of
performance and/or the compensation payable to the CONSULTANT.
6. LENGTH OF AGREEMENT. This Agreement commences on the date
first written above, and shall be completed by June 30, 2012.
7. DISPOSITION AND OWNERSHIP OF DOCUMENTS. The
Memoranda, Reports, Maps, Drawings, Plans, Specifications and other documents prepared by
the CONSULTANT for this Project, whether paper or electronic, shall become the property of
the CITY for use with respect to this Project, and shall be turned over to the CITY upon
completion of the Project, or any phase thereof, as contemplated by this Agreement.
Contemporaneously with the transfer of documents, the CONSULTANT hereby
assigns to the CITY and CONSULTANT thereby expressly waives and disclaims, any copyright
in, and the right to reproduce, all written material, drawings, plans, specifications or other work
prepared under this agreement, except upon the CITY's prior authorization regarding
reproduction, which authorization shall not be unreasonably withheld. The CONSULTANT
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shall, upon request of the CITY, execute any further document(s) necessary to further effectuate
this waiver and disclaimer.
The CONSULTANT agrees that the CFI Y may use, reuse, alter, reproduce,
modify, assign, transfer, or in any other way, medium or method utilize the CONSULTANT's
written work product for the CITY's purposes, and the CONSULTANT expressly waives and
disclaims any residual rights granted to it by Civil Code Sections 980 through 989 relating to
intellectual property and artistic works.
Any modification or reuse by the CITY of documents, drawings or specifications
prepared by the CONSULTANT shall relieve the CONSULTANT from liability under Section
14 but only with respect to the effect of the modification or reuse by the CITY, or for any liability
to the CITY should the documents be used by the CITY for some project other than what was
expressly agreed upon within the Scope of this project, unless otherwise mutually agreed.
8. INDEPENDENT CONSULTANT. Both parties hereto in the
performance of this Agreement will be acting in an independent capacity and not as agents,
employees, partners or joint venturers with one another. Neither the CONSULTANT nor the
CONSULTANT'S employees are employee of the CITY and are not entitled to any of the rights,
benefits, or privileges of the CITY's employees, including but not limited to retirement, medical,
unemployment, or workers' compensation insurance.
This Agreement contemplates the personal services of the CONSULTANT and
the CONSULTANT's employees, and it is recognized by the parties that a substantial
inducement to the CITY for entering into this Agreement was, and is, the professional reputation
and competence of the CONSULTANT and its employees. Neither this Agreement nor any
interest herein may be assigned by the CONSULTANT without the prior written consent of the
CITY. Nothing herein contained is intended to prevent the CONSULTANT from employing or
hiring as many employees, or subCONSULTANTs, as the CONSULTANT may deem necessary
for the proper and efficient performance of this Agreement. All agreements by CONSULTANT
with its subCONSULTANT(s) shall require the subCONSULTANT to adhere to the applicable
terms of this Agreement.
9. CONTROL. Neither the CITY nor its officers, agents or employees shall
have any control over the conduct of the CONSULTANT or any of the CONSULTANT's
employees except as herein set forth, and the CONSULTANT expressly agrees not to represent
that the CONSULTANT or the CONSULTANT's agents, servants, or employees are in any
manner agents, servants or employees of the CITY, it being understood that the CONSULTANT,
its agents, servants, and employees are as to the CfI Y wholly independent CONSULTANTs and
that the CONSULTANT's obligations to the CITY are solely such as are prescribed by this
Agreement.
10. COMPLIANCE WITH APPLICABLE LAW. The CONSULTANT, in
the performance of the services to be provided herein, shall comply with all applicable State and
Federal statutes and regulations, and all applicable ordinances, rules and regulations of the City
of National City, whether now in force or subsequently enacted. The CONSULTANT, and each
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of its subCONSULTANTs, shall obtain and maintain a current City of National City business
license prior to and during performance of any work pursuant to this Agreement.
11. LICENSES, PERMITS, ETC. The CONSULTANT represents and
covenants that it has all licenses, permits, qualifications, and approvals of whatever nature that
are legally required to practice its profession. The CONSULTANT represents and covenants that
the CONSULTANT shall, at its sole cost and expense, keep in effect at all times during the term
of this Agreement, any license, permit, or approval which is legally required for the
CONSULTANT to practice its profession.
12. STANDARD OF CARE.
A. The CONSULTANT, in performing any services under this
Agreement, shall perform in a manner consistent with that level of care and skill ordinarily
exercised by members of the CONSULTANT'S trade or profession currently practicing under
similar conditions and in similar locations. The CONSULTANT shall take all special precautions
necessary to protect the CONSULTANT's employees and members of the public from risk of
harm arising out of the nature of the work and/or the conditions of the work site.
B. Unless disclosed in writing prior to the date of this agreement, the
CONSULTANT warrants to the CITY that it is not now, nor has it for the five (5) years
preceding, been debarred by a governmental agency or involved in debarment, arbitration or
litigation proceedings concerning the CONSULTANT's professional performance or the
furnishing of materials or services relating thereto.
C. The CONSULTANT is responsible for identifying any unique
products, treatments, processes or materials whose availability is critical to the success of the
project the CONSULTANT has been retained to perform, within the time requirements of the
CITY, or, when no time is specified, then within a commercially reasonable time. Accordingly,
unless the CONSULTANT has notified the CITY otherwise, the CONSULTANT warrants that
all products, materials, processes or treatments identified in the project documents prepared for
the CITY are reasonably commercially available. Any failure by the CONSULTANT to use due
diligence under this sub -paragraph will render the CONSULTANT liable to the CITY for any
increased costs that result from the CITY' s later inability to obtain the specified items or any
reasonable substitute within a price range that allows for project completion in the time frame
specified or, when not specified, then within a commercially reasonable time.
13. NON-DISCRIMINATION PROVISIONS. The CONSULTANT shall
not discriminate against any employee or applicant for employment because of age, race, color,
ancestry, religion, sex, sexual orientation, marital status, national origin, physical handicap, or
medical condition. The CONSULTANT will take positive action to insure that applicants are
employed without regard to their age, race, color, ancestry, religion, sex, sexual orientation,
marital status, national origin, physical handicap, or medical condition. Such action shall include
but not be limited to the following: employment, upgrading, demotion, transfer, recruitment or
recruitment advertising, layoff or termination, rates of pay or other forms of compensation, and
selection for training, including apprenticeship. The CONSULTANT agrees to post in
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conspicuous places available to employees and applicants for employment any notices provided
by the CITY setting forth the provisions of this non-discrimination clause.
14. CONFIDENTIAL INFORMATION. The CONSULTANT understands
it is preparing a report for the use and as work -product for the City Attorney. CONSULTANT' S
work is subject to both attorney -client and attorney work -product privileges. The CITY may from
time to time communicate to the CONSULTANT certain confidential information to enable the
CONSULTANT to effectively perform the services to be provided herein. The CONSULTANT
shall treat all such information as confidential and shall not disclose any part thereof without the
prior written consent of the CITY. The CONSULTANT shall limit the use and circulation of
such information, even within its own organization, to the extent necessary to perform the
services to be provided herein. The foregoing obligation of this Section 13, however, shall not
apply to any part of the information that (i) has been disclosed in publicly available sources of
information; (ii) is, through no fault of the CONSULTANT, hereafter disclosed in publicly
available sources of information; (iii) is already in the possession of the CONSULTANT without
any obligation of confidentiality; or (iv) has been or is hereafter rightfully disclosed to the
CONSULTANT by a third party, but only to the extent that the use or disclosure thereof has been
or is rightfully authorized by that third party.
The CONSULTANT shall not disclose any reports, recommendations,
conclusions or other results of the services or the existence of the subject matter of this
Agreement without the prior written consent of the CITY. In its performance hereunder, the
CONSULTANT shall comply with all legal obligations it may now or hereafter have respecting
the information or other property of any other person, firm or corporation.
CONSULTANT shall be liable to CITY for any damages caused by breach of this
condition, pursuant to the provisions of Section 14.
15. INDEMNIFICATION AND HOLD HARMLESS. The CONSULTANT
agrees to defend, indemnify, and hold harmless the City of National City, its officers and
employees, against and from any and all liability, loss, damages to property, injuries to, or death
of any person or persons, and all claims, demands, suits, actions, proceedings, reasonable
attorneys' fees, and defense costs, of any kind or nature, including workers' compensation claims,
of or by anyone whomsoever, resulting from or arising out of the CONSULTANT's negligent
performance of this Agreement.
16. WORKERS' COMPENSATION. The CONSULTANT shall comply
with all of the provisions of the Workers' Compensation Insurance and Safety Acts of the State
of California, the applicable provisions of Division 4 and 5 of the California Government Code
and all amendments thereto; and all similar state or Federal acts or laws applicable; and shall
indemnify, and hold harmless the CITY and its officers, and employees from and against all
claims, demands, payments, suits, actions, proceedings and judgments of every nature and
description, including reasonable attorney's fees and defense costs presented, brought or
recovered against the CITY or its officers, employees, or volunteers, for or on account of any
liability under any of said acts which may be incurred by reason of any work to be performed by
the CONSULTANT under this Agreement.
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17. INSURANCE. The CONSULTANT, at its sole cost and expense, shall
purchase and maintain, and shall require its subCONSULTANTs, when applicable, to purchase
and maintain throughout the term of this agreement, the following insurance policies:
® A. If checked, Professional Liability Insurance (errors and omissions) with
minimum limits of $1,000,000 per occurrence.
B. Automobile insurance covering all bodily injury and property damage
incurred during the performance of this Agreement, with a minimum coverage of $1,000,000
combined single limit per accident. Such automobile insurance shall include owned, non -owned,
and hired vehicles ("any auto").
C. Commercial general liability insurance, with minimum limits of
$1,000,000 per occurrence/$2,000,000 aggregate, covering all bodily injury and property damage
arising out of its operations under this Agreement.
D. Workers' compensation insurance in an amount sufficient to meet
statutory requirements covering all of CONSULTANT'S employees and employers' liability
insurance with limits of at least $1,000,000 per accident. In addition, the policy shall be endorsed
with a waiver of subrogation in favor of the CITY. Said endorsement shall be provided prior to
commencement of work under this Agreement.
If CONSULTANT has no employees subject to the California Workers'
Compensation and Labor laws, CONSULTANT shall execute a Declaration to that effect. Said
Declaration shall be provided to CONSULTANT by CITY.
E. The aforesaid policies shall constitute primary insurance as to the CITY,
its officers, employees, and volunteers, so that any other policies held by the CITY shall not
contribute to any loss under said insurance. Said policies shall provide for thirty (30) days prior
written notice to the CITY of cancellation or material change.
F. Said policies, except for the professional liability and workers'
compensation policies, shall name the CITY and its officers, agents and employees as additional
insureds, and separate additional insured endorsements shall be provided.
G. If required insurance coverage is provided on a "claims made" rather than
"occurrence" form, the CONSULTANT shall maintain such insurance coverage for three years
after expiration of the term (and any extensions) of this Agreement. In addition, the "retro" date
must be on or before the date of this Agreement.
H. Any aggregate insurance limits must apply solely to this Agreement.
I. Insurance shall be written with only California admitted companies which
hold a current policy holder's alphabetic and financial size category rating of not less than A VIII
according to the current Best's Key Rating Guide, or a company equal financial stability that is
approved by the CITY's Risk Manager. In the event coverage is provided by non -admitted
"surplus lines" carriers, they must be included on the most recent California List of Eligible
Surplus Lines Insurers (LESLI list) and otherwise meet rating requirements.
J. This Agreement shall not take effect until certificate(s) or other sufficient
proof that these insurance provisions have been complied with, are filed with and approved by
the CITY's Risk Manager. If the CONSULTANT does not keep all of such insurance policies in
full force and effect at all times during the terms of this Agreement, the CITY may elect to treat
the failure to maintain the requisite insurance as a breach of this Agreement and terminate the
Agreement as provided herein.
K. All deductibles and self -insured retentions in excess of $10,000 must be
disclosed to and approved by the CITY.
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18. LEGAL FEES. If any party brings a suit or action against the other party
arising from any breach of any of the covenants or agreements or any inaccuracies in any of the
representations and warranties on the part of the other party arising out of this Agreement, then in
that event, the prevailing party in such action or dispute, whether by final judgment or out -of -
court settlement, shall be entitled to have and recover of and from the other party all costs and
expenses of suit, including attorneys' fees.
For purposes of determining who is to be considered the prevailing party, it is
stipulated that attorney's fees incurred in the prosecution or defense of the action or suit shall not
be considered in determining the amount of the judgment or award. Attorney's fees to the
prevailing party if other than the CITY shall, in addition, be limited to the amount of attorney's
fees incurred by the CITY in its prosecution or defense of the action, irrespective of the actual
amount of attorney's fees incurred by the prevailing party.
19. MEDIATION/ARBITRATION. If a dispute arises out of or relates to
this Agreement, or the breach thereof, the parties agree first to try, in good faith, to settle the
dispute by mediation in San Diego, California, in accordance with the Commercial Mediation
Rules of the American Arbitration Association (the "AAA") before resorting to arbitration. The
costs of mediation shall be borne equally by the parties. Any controversy or claim arising out of,
or relating to, this Agreement, or breach thereof, which is not resolved by mediation shall be
settled by arbitration in San Diego, California, in accordance with the Commercial Arbitration
Rules of the AAA then existing. Any award rendered shall be final and conclusive upon the
parties, and a judgment thereon may be entered in any court having jurisdiction over the subject
matter of the controversy. The expenses of the arbitration shall be borne equally by the parties to
the arbitration, provided that each party shall pay for and bear the costs of its own experts,
evidence and attorneys' fees. except that the arbitrator may assess such expenses or any part
thereof against a specified party as part of the arbitration award.
20. TERMINATION. A. This Agreement may be terminated with or without
cause by the CITY. Termination without cause shall be effective only upon 60-day's written
notice to the CONSULTANT. During said 60-day period the CONSULTANT shall perform all
services in accordance with this Agreement.
B. This Agreement may also be terminated immediately by the CITY for
cause in the event of a material breach of this Agreement, misrepresentation by the
CONSULTANT in connection with the formation of this Agreement or the performance of
services, or the failure to perform services as directed by the CITY.
C. Termination with or without cause shall be effected by delivery of written
Notice of Termination to the CONSULTANT as provided for herein.
D. In the event of termination, all finished or unfinished Memoranda Reports,
Maps, Drawings, Plans, Specifications and other documents prepared by the CONSULTANT,
whether paper or electronic, shall immediately become the property of and be delivered to the
CITY, and the CONSULTANT shall be entitled to receive just and equitable compensation for
any work satisfactorily completed on such documents and other materials up to the effective date
of the Notice of Termination, not to exceed the amounts payable hereunder, and less any
damages caused the CITY by the CONSULTANT's breach, if any. Thereafter, ownership of said
written material shall vest in the CITY all rights set forth in Section 6.
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E. The CITY further reserves the right to immediately terminate this
Agreement upon: (1) the filing of a petition in bankruptcy affecting the CONSULTANT; (2) a
reorganization of the CONSULTANT for the benefit of creditors; or (3) a business
reorganization, change in business name or change in business status of the CONSULTANT.
21. NOTICES. All notices or other communications required or permitted
hereunder shall be in writing, and shall be personally delivered; or sent by overnight mail
(Federal Express or the like); or sent by registered or certified mail, postage prepaid, return
receipt requested; or sent by ordinary mail, postage prepaid; or telegraphed or cabled; or
delivered or sent by telex, telecopy, facsimile or fax; and shall be deemed received upon the
earlier of (i) if personally delivered, the date of delivery to the address of the person to receive
such notice, (ii) if sent by overnight mail, the business day following its deposit in such overnight
mail facility, (iii) if mailed by registered, certified or ordinary mail, five (5) days (ten (10) days if
the address is outside the State of California) after the date of deposit in a post office, mailbox,
mail chute, or other like facility regularly maintained by the United States Postal Service, (iv) if
given by telegraph or cable, when delivered to the telegraph company with charges prepaid, or
(v) if given by telex, telecopy, facsimile or fax, when sent. Any notice, request, demand,
direction or other communication delivered or sent as specified above shall be directed to the
following persons:
To CITY:
To CONSULTANT:
Claudia Gacitua Silva
City Attorney
City of National City
1243 National City Boulevard
National City, CA 91950-4301
Brian Brown
Consultant
32605 Temecula Parkway
Suite 100
Temecula, CA 92592
Notice of change of address shall be given by written notice in the manner
specified in this Section. Rejection or other refusal to accept or the inability to deliver because of
changed address of which no notice was given shall be deemed to constitute receipt of the notice,
demand, request or communication sent. Any notice, request, demand, direction or other
communication sent by cable, telex, telecopy, facsimile or fax must be confirmed within forty-
eight (48) hours by letter mailed or delivered as specified in this Section.
22. CONFLICT OF INTEREST AND POLITICAL REFORM ACT
OBLIGATIONS. During the term of this Agreement, the CONSULTANT shall not perform
services of any kind for any person or entity whose interests conflict in any way with those of the
City of National City. The CONSULTANT also agrees not to specify any product, treatment,
process or material for the project in which the CONSULTANT has a material financial interest,
either direct or indirect, without first notifying the CITY of that fact. The CONSULTANT shall
at all times comply with the terms of the Political Reform Act and the National City Conflict of
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Interest Code. The CONSULTANT shall immediately disqualify itself and shall not use its
official position to influence in any way any matter coming before the CITY in which the
CONSULTANT has a financial interest as defined in Government Code Section 87103. The
CONSULTANT represents that it has no knowledge of any financial interests that would require
it to disqualify itself from any matter on which it might perform services for the CITY.
❑ If checked, the CONSULTANT shall comply with all of the reporting
requirements of the Political Reform Act and the National City Conflict of Interest Code.
Specifically, the CONSULTANT shall file a Statement of Economic Interests with the City Clerk
of the City of National City in a timely manner on forms which the CONSULTANT shall obtain
from the City Clerk.
The CONSULTANT shall be strictly liable to the CITY for all damages, costs or
expenses the CITY may suffer by virtue of any violation of this Paragraph 21 by the
CONSULTANT.
23. MISCELLANEOUS PROVISIONS.
A. Computation of Time Periods. If any date or time period provided for in
this Agreement is or ends on a Saturday, Sunday or federal, state or legal holiday, then such date
shall automatically be extended until 5:00 p.m. Pacific Time of the next day which is not a
Saturday, Sunday or federal, state or legal holiday.
B. Counterparts. This Agreement may be executed in multiple counterparts,
each of which shall be deemed an original, but all of which, together, shall constitute but one and
the same instrument.
C. Captions. Any captions to, or headings of, the sections or subsections of
this Agreement are solely for the convenience of the parties hereto, are not a part of this
Agreement, and shall not be used for the interpretation or determination of the validity of this
Agreement or any provision hereof.
D. No Obligations to Third Parties. Except as otherwise expressly provided
herein, the execution and delivery of this Agreement shall not be deemed to confer any rights
upon, or obligate any of the parties hereto, to any person or entity other than the parties hereto.
E. Exhibits and Schedules. The Exhibits and Schedules attached hereto are
hereby incorporated herein by this reference for all purposes.
F. Amendment to this Agreement. The terms of this Agreement may not be
modified or amended except by an instrument in writing executed by each of the parties hereto.
G. Waiver. The waiver or failure to enforce any provision of this Agreement
shall not operate as a waiver of any future breach of any such provision or any other provision
hereof.
H. Applicable Law. This Agreement shall be governed by and construed in
accordance with the laws of the State of California.
I. Entire Agreement. This Agreement supersedes any prior agreements,
negotiations and communications, oral or written, and contains the entire agreement between the
parties as to the subject matter hereof. No subsequent agreement, representation, or promise
made by either party hereto, or by or to an employee, officer, agent or representative of any party
hereto shall be of any effect unless it is in writing and executed by the party to be bound thereby.
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J. Successors and Assigns. This Agreement shall be binding upon and shall
inure to the benefit of the successors and assigns of the parties hereto.
K. Construction. The parties acknowledge and agree that (i) each party is of
equal bargaining strength, (ii) each party has actively participated in the drafting, preparation and
negotiation of this Agreement, (iii) each such party has consulted with or has had the opportunity
to consult with its own, independent counsel and such other professional advisors as such party
has deemed appropriate, relative to any and all matters contemplated under this Agreement, (iv)
each party and such party's counsel and advisors have reviewed this Agreement, (v) each party
has agreed to enter into this Agreement following such review and the rendering of such advice,
and (vi) any rule or construction to the effect that ambiguities are to be resolved against the
drafting party shall not apply in the interpretation of this Agreement, or any portions hereof, or
any amendments hereto.
IN WITNESS WHEREOF, the parties hereto have executed this Agreement on
the date and year first above written.
CITY OF NATIONAL CITY
By: t L-e_
Leslie Deese, City Manager
PROVED AS TO FORM:
Claud': Gac' ua Silva
City
NBS
By:
Mike Rentner
President and CEO
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CONFIDENTIAL ATTORNEY-CLIENT/WORK PRODUCT PRIVILEGED
MNBS
32605 Temecula Parkway, Suite 100
Temecula, CA 92592
Toll tree: 801 67n 7516 iP),1 51.296.1997
nbsgov.com
March 22, 2012
Ms. Claudia Silva
City Attorney
City of National City
1243 National City Blvd.
National City, CA 91950
Subject: Agreement to Provide Proposition 218 Compliance Analysis for the City of National
City Landscape and Maintenance District No. 1 (Mile of Cars) Engineer's Report
Dear Claudia:
NBS would like to thank you for the opportunity to perform the above referenced work for the City of
National City ("City"). Please print two (2) copies of our Executed Agreement. Upon signing, please
return one copy to the undersigned and keep one copy for your records.
Scope of Services
1Proposition 218 Compliance Analysis of Engineer's Report!
Project Schedule. NBS will communicate with City staff and other interested parties to:
• Establish lines of communication.
• Clarify the specific project goals, components and criteria that will meet the City's preference.
• Identify and resolve any special circumstances that may arise.
• Develop project schedules to meet legal requirements and provide for effective interfacing of all
involved parties.
• Establish meeting points consistent with schedule to achieve project milestones.
• Establish and coordinate with City staff a schedule to assure completion of necessary actions and
compliance with statutes.
Special v. General Benefit Analysis. Review the proposed improvements and maintenance services,
budgets, location and type of improvements, analyze Proposition 218 special benefit, general benefit and
recent case law to separate and quantify special vs. general benefit. Meet with City staff to develop a
general benefit contribution and approach for the Proposition 218 Landscape Maintenance District No. 1
(Mile of Cars). Provide staff with related support for the duration of the project.
Budget Development. Review the budget for the projected costs of maintaining the improvements and
providing services. Cost categories may include, but not be limited to, all relevant expenses, improvements,
services, incidental costs (engineering, legal, City staff, consultants and ongoing administration), and
operating reserves.
Exhibit A
helping communities fund tomorrow
CONFIDENTIAL ATTORNEY-CLIENT/WORK PRODUCT PRIVILEGED
Support Determinations. Review the determinations made by the original Assessment Engineer, which
shall include, but not be limited to the Method of Assessment and provide support for those determinations
as information and research allows.
Exempt Parcels. Review all parcels that have been exempted from the annual assessment within the
boundaries of the District and provide recommendations on how each of these parcels should be addressed
in the future.
Findings and Recommendations Report. Prepare a report, summarizing our findings and
recommendations. The main goal of the report is to identify areas of the Engineer's Report that can be
strengthened and supported in accordance with Proposition 218 and recent case law. The report will
provide analysis and numerical support for the breakdown of special vs. general benefit. The City will be
able to use the report to determine the amount of the general benefit contribution and the amount of the
budget that should be assessed for special benefit. Support for determinations made by the original
assessment engineer will be provided as available. The identification of parcels exempt from the
assessment will be identified and addressed.
Fee Structure
'Proposition 218 Compliance Analysis of Engineer's Report'
Consulting Fees (not to exceed) $9,500
$500
Estimated Expenses
(Expenses'
Customary out-of-pocket expenses will be billed to the City at actual cost to NBS. These expenses may
include, but not be limited to travel, mailing fulfillment, postage, supplies, telephone, reproduction,
assessment diagram preparation and materials, meals and various third -party charges for data, maps,
and recording fees.
(Additional Services'
The following table shows our current hourly rates. Additional services authorized by the City, but not
included in the scope of services will be billed at this rate or the then applicable hourly rate.
Title
Director
Hourly Rate
$190
Senior Consultant/Programmer
150
Engineer
140
Consultant
130
Analyst
100
Clerical/Support
55
(Terms'
Consulting fees will be invoiced on a monthly basis. Expenses will be itemized and included in each
invoice. If the project is prematurely terminated by either party or delayed for reasons beyond NBS's
control, NBS shall receive payment for work completed. Payment shall be made within 30 days of
submittal of an invoice. If payment is not received within 90 days simple interest will begin to accrue at
the rate of 1.5% per month.
MNBS
Page 2
CONFIDENTIAL ATTORNEY-CLIENTMIORK PRODUCT PRIVILEGED
Please feel free to contact me if you have any questions or need further information.
Best regards,
NBS Government Finance Group, City of National City
DBA NBS
Mike Rentner
President and CEO
Title
3/22/2012
Date Title Date
NBS
Page 3
NBSGOVE-01 MES
ACORD,, CERTIFICATE OF LIABILITY INSURANCE
DATE (M1VVDD.YYYY)
4/512012
PRODUCER
Vanorsdale Insurance Services
6165 Greenwich Drive, Suite 200
San Diego, CA 92122
(858) 869-8300
THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION
ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE
HOLDER. THIS CERTIFICATE DOES NOT AMEND, EXTEND OR
ALTER THE COVERAGE AFFORDED BY THE POLICIES BELOW.
INSURERS AFFORDING COVERAGE NAIC #
INSURED
NBS Government Finance Group
32605 Temecula Parkway, Suite 100
Temecula, CA 92592
IT11Rrr:A Maryland Casualty Insurance Company
rx u..JE General Insurance Company of America
=1rE'Q r Northern Insurance Company of New York
114
COVERAGES
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 0—HER DOCUMENT WITH RESPECT TO WHICH THIS CERTIFICATE MAY BE ISSUED OR
MAY PERTAIN. THE INSURANCE AFFORDED BY THE POLICIES DESCRIBED HEREIN 13 SUBJECT TO ALL THE TERMS, EXCLUSIONS AND CONDITLONS OF SUCH
POLICIES. AGGREGATE LIMITS SHOWN MAY -IAVE BEEN REDUCED BY PAID CLAIMS.
INSR ADM.' ''.
LTR INSRD TYPE OF INSURANCE POLICY NUMBER
POLICY EFFECTIVE POLICY EXPIRATION '..
DATE (MwDD,YYI DATE iMMIDDAYYI ' LIMI-S
GENERAL LIABILITY
A X '', X ,,.,1LI,_I' r.erl.ALLI'' L , PAS00053837,
.,_ws49I,>UE X 1 ,ACC._,
r r r (r n'r JCr
912412011 912412012 PRCtirE``'EErE: Je
IEEE 7I.,', Jra .,,Lraj
S 2,000000
f 2,000,000
$ 10,000
PEP„••I:,_ z. . I JJL,R,
2,000,000
YOLK" JE :I u�
F F.AI ..;_ ,, .. -
1 L i TB r I ,r r,u
4,000,000
g 4,000,000
AUTOMOBILE LIABILITY '
B X X IJ'r.:_I-. 24CC2848592
ALE L,L, SEE. A._TrJg
I---.
R J "I,T'1^
,tarElcr.'IMIT
912412011 9124/2012 T
'.r a,dlTv
. 1,000,000
,I.-
IN , F,' ' .Al"'" ._
r au.isnl.
GARAGE LIABILITY !,
J _ 7N T-E+LE7
I F Ti IAN EA AC,;,
$
EXCESS/UMBRELLA LIABIU I Y
-.- D=E - :.3LC
,p.
1 r ^, n, r R-A E
F
,
S
WORKERS COMPENSATION AND
C 'EMPLOYERS'LIAeaur( 0429775201
H 1 i r :?TI F F•T, E I _p_TI'/E
OF I EpA I.1_CR_�vL_D.0
s r r I 1 r
r,,Lif I.,.3f,IrMr
r I
I F^.11.11I. ,
9/2412011 9124/2012 r h nC
3 1,000,000
to ^sF 7,,EVP L,iLE
i IL,txGt „Lr=_M-
1,000,000
i 1,000,000
OTHER
'..
DESCRIPTION OF OPERATIONS LOCATIONS 1 VEHICLES I EXCLUSIONS ADDED BY ENDORSEMENT. SPECIAL PROVISIONS
`Except 10 days notice of cancellation for non-payment of premium.
The City of National City, its elected officials, officers, agents, and employees are named additional insured per CG2010 07104 form regarding
General Liability and Auto Liability per CA7110 03 07. Primary Insurance applies to General Liability per coverage form 9S2001 Ed. 4-99.
Waiver of Subrogation applies in favor of The City of National City, its elected officials, officers, agents, and employees In regards to Workers
Compensation.
CERTIFICATE HOLDER
CANCELLATION
City of National City
cio City Attorney's Office
1243 National City Blvd
National City, CA 91950-4301
SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE THE EXPIRATOH
DATE THEREOF, THE ISSUING INSURER WILL ENDEAVOR TO MAIL 30 DAYS WRITTEN
NOTICE TO THE CERTIFICATE HOLDER NAMED TO THE LEFT, BUT FAILURE TO DO SC SHALL
IMPOSE NO OBLIGATION OR LIABILITY OF ANY KIND UPON THE INSURER. ITS AGENTS OR
REPRESENTATIVES.
AUTHORIZED REPRESENTATIVE
ACORD 25 (2001/08)
0 ACORD CORPORATION 1988
P -)LICY Ni.'f'.Ll?ER PAS,:)0053837 COMMERCIAL GENERAL LIABILITY
('(: 20100704
THIS ENDORSEMENT CHANGES THE POLICY. PLEASE. READ IT CAREFTTLLY.
ADDITIONAL INSURED OWNERS, LESSEES OR
CONTRACTORS SCHEDULED PERSON OR
ORGANIZATION
Ibis endor=en:eni modifies insurance provided under the follow Um.;
C.1'.:fEkl:'i L : TE.NER L LIABILIT I. ': L! E'ER OE PART
SCTTEDT"T.E
Name Of Additional Insured Persons)
Or Organization(s):
Location(s) Of Covered Operations
The ('it• ct National City. its elected of icials, officers, Natndnal
agents. and employees
fnlii'mati•:m required to complete this Schedule. if not shown above. %till he shown In the f)cclara:i,ms
A. Section II Who Is An Insured is amended to Induce as an additional insured the personi.5i ‘»r organization(s)
shown in the Schedule. but only with respect to liability for bodily injury-, -property damage.' _personal and
advertising Incur." caused, in whole or in pail. by
1. Dour alLS or mil is4IJn5. Pr
2. The aces or I'm Issions of those acting on your behalf.
In the perfcr111altce of your Ongoing Operations for Cie additional Insuredts'1 at the 10cati nI s deli nated above
B. vk'ith respect t the insurance afforded t+1 these additional insureds. the folovi nl' additi man exclusions apply:
This uisuranne does not: apply to --bodily incur•, or property damage- ncourring after
I All wnrle. including- materials. parts i,r egttiprnent tarnished In connection with such %rock. can the protect
(other than servbse, maintenance or repairs) to be performed by Or on behalf of the additional insared(,$) at the
location of the eo,cercd operations has been completed. or
That portion of -•:our work' out of which the inlury or damage arises has been put to its intended use br ;In_:
person or organization other Ulan another eaontraetor or subcontractor engaged in performing operations for a
principal as a part(if the same project
CG 2010 0704 'opvnght_ IS'_I Properties. ln(. yO(4 Page 1 of 1
rs rnI'V ICVrnvm I fC 11M1JI01v C. 1 rrn Jrm 11,,, IRMIV`l/ir 11V1V 114,1 L'JUC H4VI IIVIV.Y- rLfl MMJ
Insurance
COMMERCIAL AUTO
CA71100307
THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY.
AUTO PLUS ENDORSEMENT
This endorsement modifies insurance provided under the following:
BUSINESS AUTO COVERAGE FORM
With respect to coverage provided by this endorsement, the provisions of the Coverage Form apply unless
modified by the endorsement.
EXTENDED CANCELLATION CONDITION BLANKET ADDITIONAL INSURED
Paragraph 2.b. at the CANCELLATION Common
Policy Condition is replaced by the following:
b. 60 days before the effective date of cancellation
if we cancel for any other reason.
TEMPORARY SUBSTITUTE AUTO — PHYSICAL
DAMAGE COVERAGE
Under paragraph C. — CERTAIN TRAILERS, MO-
BILE EQUIPMENT AND TEMPORARY SUBSTITUTE
AUTOS of SECTION 1 — COVERED AUTOS, the
following is added:
11 Physical Damage coverage is provided by this Cov-
erage Form, then you have coverage for:
Any "auto" you do not own while used with the per-
mission of its owner as a temporary substitute for a
covered "auto" you own that is out of service be-
cause of its breakdown, repair, servicing, loss" or
destruction.
BROAD FORM NAMED INSURED
SECTION I1 — LIABILITY COVERAGE — A.1. WHO
IS AN INSURED provision is amended by the addition
of the following:
d. Any business entity newly acquired or formed by
you during the policy period provided you own
50% or more of the business entity and the
business entity is not separately insured for
Business Auto Coverage. Coverage is extended
up to a maximum of 180 days following acquisi-
tion or formation of the business entity. Coverage
under this provision is afforded only until the end
of the policy period.
SECTION II — LIABILITY COVERAGE — A.1. WHO
IS AN INSURED provision is amended by the addition
of the following:
e. Any person or organization for whom you are re-
quired by an "insured contract" to provide insur-
ance is an insured", subject to the following
additional provisions:
(1) The "insured contract" must be in effect
during the policy period shown in the Decla-
rations, and must have been executed prior
to the "bodily injury" or "property damage".
(2) This person or organization is an "insured"
only to the extent you are liable due to your
ongoing operations for that insured, whether
the work is performed by you or for you, and
only to the extent you are held liable for an
"accident" occurring while a covered "auto"
is being driven by you or one of your em-
ployees.
There is no coverage provided to this person
or organization for "bodily injury" to its em-
ployees, nor for "property damage" to its
property.
(4) Coverage for this person or organization
shall be limited to the extent of your negli-
gence or fault according to the applicable
principles of comparative negligence or fault.
The defense of any claim or "suit" must be
tendered by this person or organization as
soon as practicable to all other insurers
which potentially provide insurance for such
claim or "suit".
(3)
(5)
Includes copyrighted material of Insurance Services Office, Inc., with its permission.
Copyright, Insurance Services Office, Inc., 1997
`.'a'ttro and Ih: Saleco lege are registered trader -arks of Salem Corporalion
CA 71 10 03 07 Page 10'6 EP
tar MI YI CL! N L/1111 Mc HIt.:f11YC I I1C U15IUh'1fl I tUINJiL IIVIY INNI I.YLLUUCr JUI1 UlYMLrUKIv1.7
(6) The coverage provided will not exceed the
lesser of:
(7)
(a) The coverage and/or limits of this policy;
or
(b) The coverage and/or limits required by
the `insured contract".
A person's or organization's status as an
"insured" under this subparagraph d ends
when your operations for that 'insured" are
completed.
EMPLOYEE AS INSURED
Under Paragraph A. of Section II — LIABILITY COV-
ERAGE item f. is added as follows:
Your °employee" while using his owned "auto", or an
"auto" owned by a member of his or her household,
in your business or your personal affairs, provided you
do not own, hire or borrow that "auto". This coverage
is excess to any other collectible insurance coverage.
FELLOW EMPLOYEE COVERAGE
Exclusion 5. FELLOW EMPLOYEE of SECTION II —
LIABILITY COVERAGE — B. EXCLUSIONS is
amended by the addition of the following:
However, this exclusion does not apply if the °bodily
injury" results from the use of a covered "auto" you
own or hire, and provided that any coverage under
this provision only applies in excess over any other
collectible insurance.
BLANKET WAIVER OF SUBROGATION
We waive the right of recovery we may have for pay-
ments made for `bodily injury" or "property damage"
on behalf of the persons or organizations added as
"insureds" under Section II — LIABILITY COVERAGE
— A.1.D. BROAD FORM NAMED INSURED and
A.1.e. BLANKET ADDITIONAL INSURED.
PHYSICAL DAMAGE — ADDITIONAL TRANS-
PORTATION EXPENSE COVERAGE
The first sentence of paragraph A.4. of SECTION III
— PHYSICAL DAMAGE COVERAGE is amended as
follows:
We will pay up to $50 per day to a maximum of
$1,500 for temporary transportation expense incurred
by you because of the total theft of a covered "auto"
of the private passenger type_
PERSONAL EFFECTS COVERAGE
A. SECTION III — PHYSICAL DAMAGE COVER-
AGE, A.4. COVERAGE EXTENSIONS, is
amended by adding the following:
c. Personal Effects Coverage
For any Owned"auto" that is involved in a
covered "loss", we will pay up to $500 for
"personal effects" that are lost or damaged
as a result of the covered "loss", without
applying a deductible.
EXTRA EXPENSE — BROADENED COVERAGE
Paragraph A. — COVERAGE of SECTION III —
PHYSICAL DAMAGE COVERAGE is amended to
add:
5. We will pay for the expense of returning a stolen
covered "auto" to you.
AIRBAG COVERAGE
Under paragraph B. — EXCLUSIONS of SECTION III
— PHYSICAL DAMAGE COVERAGE, the following is
added:
The exclusion relating to mechanical breakdown does
not apply to the accidental discharge of an airbag.
NEW VEHICLE REPLACEMENT COST
Under Paragraph C — LIMIT OF INSURANCE of
Section lil — PHYSICAL DAMAGE COVERAGE sec-
tion 2 is amended as follows:
2. An adjustment for depreciation and physical con-
dition will be made in determining actual cash
value in the event of a total loss_ However, in the
event of a total loss to your "new vehicle" to
which this coverage applies, as shown in the
declarations, we will pay at your option:
a. The verifiable "new vehicle" purchase price
you paid for your damaged vehicle, not in-
cluding any insurance or warranties pur-
chased;
b. The purchase price, as negotiated by us, of
a new vehicle of the same make, model and
equipment, not including any furnishings,
parts or equipment not installed • by the
manufacturer or manufacturer's dealership.
If the same model is not available pay the
purchase price of the most similar model
available:
Page 2 of 6
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c. The market value of your damaged vehicle,
not including any furnishings, parts or equip-
ment not installed by the manufacturer or
manufacturer's dealership.
This coverage applies only to a covered "auto"
of the private passenger, light truck or medium
truck type (20,000 lbs or less gross vehicle
weight) and does not apply to initiation or set up
costs associated with loans or leases.
TWO OR MORE DEDUCTIBLES
Under SECTION lil — PHYSICAL DAMAGE COV-
ERAGE, if two or more "company" policies or cover-
age forms apply to the same accident, the following
applies to paragraph D. Deductible:
a. If the applicable Business Auto deduct-
ible is the smaller (or smallest) deduct-
ible it will be waived; or
b. If the applicable Business Auto deduct-
ible is not the smaller (or smallest) de-
ductible it will be reduced by the amount
of the smaller (or smallest) deductible;
or
c. If the loss involves two or more Busi-
ness Auto coverage forms or policies
the smaller (or smallest) deductible will
be waived.
For the purpose of this endorsement
"company" means:
a.
b.
c.
d.
Safeco Insurance Company of America
American States Insurance Company
General Insurance Company of America
American Economy Insurance Company
e. First National Insurance Company of
America
f. American States Insurance Company of
Texas
g. American States Preferred Insurance
Company
h. Safeco Insurance Company of Illinois
LOAN/LEASE GAP COVERAGE
Under paragraph C — LIMIT OF INSURANCE of
SECTION III — PHYSICAL DAMAGE COVERAGE,
the following is added:
4. The most we will pay for a total "loss" in any one
"accident" is the greater of the following, subject
to a $1.500 maximum limit:
a. Actual cash value of the damaged or stolen
property as of the time of the "loss", less an
adjustment for depreciation and physical
condition; or
b. Balance due under the terms of the loan or
lease that the damaged covered "auto" is
subject to at the time of the "loss", less any
one or all of the following adjustments:
(1) Overdue payment and financial
penalties associated with those
payments as of the date of the
"loss".
(2) Financial penalties imposed under a
lease due to high mileage, exces-
sive use or abnormal wear and tear.
Costs for extended warranties, Cre-
dit Life Insurance, Health, Accident
or Disability Insurance purchased
with the loan or lease.
(3)
(4) Transfer or rollover balances from
previous loans or leases.
(5) Final payment due under a "Balloon
Loan'.
(6)
(7)
The dollar amount of any
un-repaired damage that occurred
prior to the "total loss" of a covered
"auto".
Security deposits not refunded by a
lessor.
(8) All refunds payable or paid to you
as a result of the early termination
of a lease agreement or any war-
ranty or extended service agree-
ment on a covered `auto".
(9) Any amount representing taxes.
(10) Loan or lease termination lees
GLASS REPAIR — WAIVER OF DEDUCTIBLE
Under paragraph D. — DEDUCTIBLE of SECTION Ili
— PHYSICAL DAMAGE COVERAGE, the following is
added:
No deductible applies to glass damage if the glass is
repaired rather than replaced.
AMENDED DUTIES IN THE EVENT OF ACCI-
DENT, CLAIM, SUIT OR LOSS
The requirement in LOSS CONDITION 2.a. —
DUTIES IN THE EVENT OF ACCIDENT, CLAIM,
SUIT OR LOSS — of SECTION IV — BUSINESS
AUTO CONDITIONS that you must notify us of an
CA 71 10 03 07 Page 3 of 6 EP
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"accident" applies only when the "accident" Is known
to:
(1) You, if you are an individual;
(2) A partner, if you are a partnership; or
(3) An executive officer or insurance manager, if you
are a corporation.
UNINTENTIONAL FAILURE TO DISCLOSE
HAZARDS
SECTION IV — BUSINESS AUTO CONDITIONS —
B.2. is amended by the addition of the following:
If you unintentionally fail to disclose any hazards ex-
isting at the inception date of your policy, we will not
deny coverage under this Coverage Form because of
such failure. However, this provision does not affect
our right to collect additional premium or exercise our
right of cancellation or non -renewal.
HIRED AUTO — LIMITED WORLD WIDE COVER-
AGE
Under Section IV — Business Conditions, Paragraph
B.7.b.e(1) is replaced by the following;
(1) The "accident" or "loss" results
from the use of an "auto" hired for
30 days or less.
RESULTANT MENTAL ANGUISH COVERAGE
SECTION V — DEFINITIONS — C. is replaced by the
following;
"Bodily injury" means bodily injury, sickness or dis-
ease sustained by a person including mental anguish
or death resulting from any of these.
HIRED AUTO PHYSICAL DAMAGE COVERAGE
If hired "autos" are covered "autos" for Liability cov-
erage and if Comprehensive, Specified Causes of
Loss or Collision coverages are provided under this
Coverage Form for any "auto" you own, then the
Physical Damage Coverages provided are extended
to "autos" you hire or borrow.
The most we will pay for loss to any hired "auto" is
$50,000 or Actual Cash Value or Cost of Repair,
whichever is smallest, minus a deductible. The de-
ductible will be equal to the largest deductible appli-
cable to any owned "auto" of the private passenger
or light truck type for that coverage. Hired Auto Phy-
sical Damage coverage is excess over any other col-
lectible insurance. Subject to the above limit,
deductible and excess provisions, we will provide
coverage equal to the broadest coverage applicable
to any covered "auto" you own.
HIRED AUTO PHYSICAL DAMAGE COVERAGE —
LOSS OF USE
SECTION III — PHYSICAL DAMAGE A.4.b. Form
does not apply.
Subject to a maximum of $1,000 per accident, we will
cover loss of use of a hired "auto" if it results from
an accident, you are legally liable and the lessor in-
curs an actual financial loss.
RENTAL REIMBURSEMENT COVERAGE
A. We will pay for rental reimbursement expenses
incurred by you for the rental of an "auto" be-
cause of a covered "loss" to a covered "auto".
Payment applies in addition to the otherwise ap-
plicable amount of each coverage you have on a
covered "auto". No deductibles apply to this
coverage.
B. We will pay only for those expenses incurred
during the policy period beginning 24 hours after
the "loss" and ending, regardless of the policy's
expiration, with the lesser of the following number
of days:
1. The number of days reasorably required to
repair or replace the covered "auto". If
"loss" is caused by theft, this number of
days is added to the number of days it takes
to locate the covered "auto" and return it to
you.
2. 30 days.
C. Our payment is limited to the lesser of the fol-
lowing amounts:
1. Necessary and actual expenses incurred.
2. 550 per day.
D. This coverage does not apply while there are
spare or reserve "autos" available to you for your
operations.
E. If "loss" results from the total theft of a covered
"auto" of the private passenger type, we will pay
under this coverage only that amount of your
rental reimbursement expenses which is not al-
ready provided for under the PHYSICAL DAM-
AGE COVERAGE Coverage Extension.
F. The Rental Reimbursement Coverage described
above does not apply to a covered "auto" that is
described or designated as a covered "auto" on
Page 4 of 6
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Rental Reimbursement Coverage Form
CA 99 23.
AUDIO, VISUAL AND DATA ELECTRONIC
EQUIPMENT COVERAGE
A. Coverage
1. We will pay with respect to a covered "auto"
for loss" to any electronic equipment that
receives or transmits audio, visual or data
signals and that is not designed solely for the
reproduction of sound. This coverage applies
only if the equipment is permanently installed
in the covered "auto' at the time of the
"loss" or the equipment is removable from a
housing unit which is permanently installed
in the covered "auto" at the time of the
"loss", and such equipment is designed to
be solely operated by use of the power from
the "auto's" electrical system, in or upon the
covered "auto".
2. We will pay with respect to a covered "auto"
for "loss" to any accessories used with the
electronic equipment described in paragraph
A.1. above.
However, this does not include tapes,
records or discs.
3. If Audio, Visual and Data Electronic Equip-
ment Coverage form CA 99 80 or CA 99 94
is attached to this policy, then the Audio, Vi-
sual and Data Electronic Equipment Cover-
age described above does not apply.
B. Exclusions
The exclusions that apply to PHYSICAL DAM-
AGE COVERAGE, except for the exclusion relat-
ing to Audio, Visual and Data Electronic
Equipment, also apply to this coverage. In addi-
tion, the following exclusions apply:
We will not pay for either any electronic equip-
ment or accessories used with such electronic
equipment that is:
1. Necessary for the normal operation of the
covered "auto" for the monitoring of the
covered "auto's" operating system; or
2. Both:
a. an integral part of the same unit housing
any sound reproducing equipment de-
signed solely for the reproduction of
sound if the sound reproducing
equipment is permanently installed in
the coverod "auto"; and
b. permanently installed in the opening of
the dash or console normally used by
the manufacturer for the installation of a
radio.
C. Limit of Insurance
With respect to this coverage, the LIMIT OF IN-
SURANCE provision of PHYSICAL DAMAGE
COVERAGE is replaced by the following:
1. The most we will pay for 'loss" to audio, vi-
sual or data electronic equipment and any
accessories used with this equipment as a
result of any one "accident" is the lesser of
a. The actual cash value of the damaged
or stolen property as of the time of the
"loss"; or
b. The cost of repairing or replacing the
damaged or stolen property with other
property of like kind and quality.
c. $1,000.
2. An adjustment for depreciation and physical
condition will be made in determining actual
cash value at the time of the "loss".
3. If a repair or replacement results in better
than like kind or quality, we will not pay for
the amount of the betterment.
D. Deductible
1. If `loss" to the audio, visual or data elec-
tronic equipment or accessories used with
this equipment is the result of a "loss" to the
covered "auto" under the Business Auto
Coverage Form's Comprehensive or Colli-
sion Coverage, then for each covered "auto"
our obligation to pay for, repair, return or re-
place damaged or stolen property will be re-
duced by the applicable deductible shown in
the Declarations. Any Comprehensive Cov-
erage deductible shown in the Declarations
does not apply to "loss" to audio. visual or
data electronic equipment caused by fire or
lightning.
2. If "loss" to the audio, visual or data elec-
tronic equipment or accessories used with
this equipment is the result of a "loss" to the
covered "auto" under the Business Auto
Coverage Form's Specified Causes of Loss
Coverage, then for each covered "auto' our
obligation to pay for, repair, return or replace
damaged or stolen property will be reduced
by a S100 deductible.
3. If "loss" occurs solely to the audio, visual or
data electronic equipment or accessories
used with this equipment, then for each cov-
ered "auto" our obligation to pay for, repair,
CA 71 10 03 07 Pace 5 of 6 EP
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return or replace damaged or stolen property
will be reduced by a $100 deductible.
4. In the event that there is more Than one ap-
plicable deductible, only the highest deduct-
ible wilI apply. In no event will more than one
deductible apply.
SECTION V — DEFINITIONS is amended by adding
the following:
Q. "Personal effects" means your tangible
property that is worn or carried by you, ex-
cept for tools, jewelry, money, or securities.
R. "New vehicle" means any "auto" of which
you are the original owner and the "auto"
has not been previously -titled and is °ess
than 365 days past the purchase date.
Page 6 of 6
COMMERCIAL GENERAL LIABILITY
COMMERCIAL GENERAL LIABILITY COVERAGE FORM
Various provisions in this policy restrict coverage. Read the entire policy carefully to determine
rights, duties and what is and is not covered.
Throughout this policy the words "you" and "your" refer to the Named Insured shown in the
Declarations, and any other person or organization qualifying as a Named Insured under this policy.
The words "we", "us" and "our" refer to the Company providing this insurance.
The word "insured" means any person or organization qualifying as such under SECTION II - WHO
IS AN INSURED.
Other words and phrases that appear in quotation marks have special meaning. Refer to SECTION
V -DEFINITIONS.
Coverage provided by this form is also subject to ail the Conditions in the COMMON POLICY
CONDITIONS form.
QUICK REFERENCE
SECTION OF THIS FORM BEGINS ON PAGE
SectionI - Coverages ..... ..._................ _........_....... .._...__...................1
Coverage A. Bodily Injury and Property Damage Liability 1
Coverage B. Personal and Advertising Injury Liability 6
Coverage C. Medical Expenses 7
Supplementary Payments - Coverages A and B 7
Section II - Who Is An Insured 8
Section III - Limits of Insurance 10
Section IV - Commercial General Liability Conditions _... 11
Section V - Definitions 13
Section VI - Broad Form Nuclear Exclusion 16
SECTION I - COVERAGES
COVERAGE A. BODILY INJURY AND PROPERTY
DAMAGE LIABILITY
1. Insuring Agreement
a. We will pay those sums that the insured
becomes legally obligated to pay as
damages because of "bodily injury' or
"property damage" to which this insur-
ance applies. We will have the right and
duty to defend the insured against any
"suit" seeking those damages. However,
we will have no duty to defend the in-
sured against any "suit" seeking dam-
ages for "bodily injury" or "property
damage" to which this insurance does
952001 Ed. 4-99
not apply. We may, at our discretion,
investigate any "occurrence" and settle
any claim or "suit" that may result. But:
(1) The amount we will pay for dam-
ages is limited as described in SEC-
TION III - LIMITS OF INSURANCE; and
(2) Our right and duty to defend end when
we have used up the applicable limit
of insurance in the payment of judg-
ments or settlements under Cover-
ages A or B or medical expenses
under Coverage C.
No other obligation or liability to pay sums
or perform acts or services is covered
unless explicitly provided for under
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hsrarce Services 044ce, Int, 1997
Ccpyri" 1999, ryrard Casualty Company, as to adi5ol ted and revisiuns
Page 1 of 17
SUPPLEMENTARY PAYMENTS - COV-
ERAGES A AND B.
b. This insurance applies to 'bodily injury"
and "property damage" only if:
(1) The "bodily injury" cr "property dam-
age" is caused by an "occurrence"
that takes place in the "coverage
territory"; and
(2) The "bodily injury' or "property dam-
age" occurs during the policy pe-
riod.
c. Damages because of "bodily injury" in-
clude damages claimed by any person
or organization for care, loss of ser-
vices or death resulting at any time from
the "bodily injury".
2. Exclusions
This insurance does not apply to:
a.
Expected Or Intended Injury
'Bodily injury' or "property damage"
expected or intended from the stand-
point of the insured. This exclusion does
not apply to "bodily injury' resulting from
the use of reasonable force to protect
persons or property.
b. Contractual Liability
"Bodily injury" or "property damage" for
which the insured is obligated to pay
damages by reason of the assumption
of liability in a contract or agreement.
This exclusion does not apply to liability
for damages:
(1) That the insured would have in the
absence of the contract or agree-
ment; or
(2) Assumed in a contract or agreement
that is an "insured contract'', pro-
vided the "bodily injury" or "prop-
erty damage" occurs subsequent to
the execution of the contract or
agreement Solely for the purposes
of liability assumed in an "insured
contract", reasonable attorney fees
and necessary litigation expenses
incurred by or for a party other than
an insured are deemed to be dam-
ages because of "bodily injury" or
"property damage", provided:
{a) Liability to such party for, or for
the cost of, that party's defense
has also been assumed in the same
"insured contract"; and
9S2001 Ed. 4-99
(b) Such attorney fees and litigation
expenses are for defense of that
party against a civil or alterna-
tive dispute resolution proceed-
ing in which damages to which
this insurance applies are alleged.
c. Liquor Liability
"Bodily injury" or "property damage' for
which any insured may be held liable by
reason of:
(1) Causing or contributing to the intoxi-
cation of any person;
(2) The furnishing of alcoholic bever-
ages to a person under the legal
drinking age or under the influence
of alcohol; or
(3) Any statute, ordinance or regulation
relating to the safe, gift, distribution
or use of alcoholic beverages.
This exclusion applies only if you are in
the business of manufacturing, distrib-
uting, selling, serving or furnishing alco-
holic beverages.
d. W orkers' Compensation And Similar Laws
Any obligation of the insured under a
workers' compensation, disability ben-
efits or unemployment compensation law
or any similar law.
e. Employer's Liability
"Bodily injury" to:
(1) An "employee" of the insured arising
out of and in the course of:
(a) Employment by the insured; or
(b) Performing duties related to the
conduct of the insureds busi-
ness; or
(2) The spouse, child, parent, brother
or sister of that "employee" as a con-
sequence of Paragraph {1) above.
This exclusion applies:
(1) Whether the insured may be liable
as an employer or in any other ca-
pacity; and
(2) To any obligation to share damages
with or repay someone else who
must pay damages because of the
injury.
This exclusion does not apply to liability
assumed by the insured under an "in-
sured contract".
booths otpyri}rted rtelerid of Insrarce Services Office, Inc, vvrh its pmrissim
Irarance Saw$ Office, Inc, 1997
Copyright I999, Whryland Casulty Cmfmy, as to add5aal text ad revisions
Page 2 of 17
f. Pollution
(1) "Bodily injury" or "property damage"
arising out of the actual, alleged or
threatened discharge, dispersal,
seepage, migration, release or es-
cape of "pollutants":
(a) At or from any premises, site or
location which is or was at any
time owned or occupied by, or
rented or loaned to, any insured.
However, this subparagraph does
not apply to:
(i) "Bodily injury" if sustained
within a building and caused
by smoke, fumes, vapor or
soot from equipment used
to heat that building;
"Bodily injury or "property
damage" for which you may
be held liable, if you are a
contractor and the owner or
lessee of such premises, site
or location has been added
to your policy as an additional
insured with respect to your
ongoing operations per-
formed for that additional
insured at that premises, site
or location and such pre-
mises, site or location is not
and never was owned or
occupied by, or rented or
loaned to, any insured, other
than that additional insured;
or
(iif7 "Bodily injury" or "property
damage" arising out of heat,
smoke or fumes from a "hos-
tile fire';
(b) At or from any premises, site or
location which is or was at any
time used by or for any insured
or others for the handling, stor-
age, disposal, processing or
treatment of waste;
(c) Which are or were at any time
transported, handled, stored,
treated, disposed of, or pro-
cessed as waste by or for any
insured or arty person or orga-
nization for whom you may be
legally responsible;
(d) At or from any premises, site or
location on which any insured or
any contractors or subcontrac-
tors working directly or indirectly
9S2001 Ed 4-99
on any insured's behalf are per-
forming operations if the "pol-
lutants" are brought on or to the
premises, site or location in con-
nection with such operations by
such insured, contractor or sub-
contractor. However, this sub-
paragraph does not apply to:
(i) "Bodily injury" or "property
damage" arising out of the
escape of fuels, lubricants or
other operating fluids which
are needed to perform the
normal electrical, hydraulic or
mechanical functions neces-
sary for the operation of
"mobile equipment" or its
parts, if such fuels, lubricants
or other operating fluids es-
cape from a vehicle part
designed to hold, store or
receive them. This exception
does not apply if the "bodily
injury" or "property damage"
arises out of the intentional
discharge, dispersal or re-
lease of the fuels, lubricants
or other operating fluids, or
if such fuels, lubricants or
other operating fluids are
brought on or to the pre-
mises, site or location with
the intent that they be dis-
charged, dispersed or re-
leased as part of the opera-
tions being performed by
such insured, contractor or
subcontractor;
(ii) "Bodily injury" or "property
damage" sustained within a
building and caused by the
release of gases, fumes or
vapors from materials
brought into that building in
connection with operations
being performed by you or
on your behalf by a contractor
or subcontractor; or
liiil "Bodily injury" or "property
damage" arising out of heat,
smoke or fumes from a"hos-
tile fire"; or
(e) At or from any premises, site or
location on which any insured or
any contractors or subcontrac-
tors working directly or indirectly
on any insured's behalf are per-
forming operations if the opera-
Irducles sqsyritted rratalal of Inarar¢ savias Office. In;, veei its perrrissirn
Insrance Serwkae Office, Inc, 1997
Cgayri¢q 1999, h ryand Casvaty Carpany, as to add4onl text and revisit s
Page 3 of 17
tions are to test for, monitor,
clean up, remove, contain, treat,
detoxify or neutralize, or in any
way respond to, or assess the
effects of, "pollutants".
€2) Any loss, cost or expense arising
out of any
(a) Request, demand, order or statu-
tory or regulatory requirement
that any insured or others test
for, monitor, clean up, remove,
contain, treat, detoxify or neu-
tralize, or in any way respond to,
or assess the effects of, "pol-
lutants'; or
(b) Claim or suit by or on behalf of
a governmental authority for
damages because of testing for,
monitoring, cleaning up, remov-
ing, containing, treating, detoxi-
fying or neutralizing, or in any way
responding to, or assessing the
effects of, "pollutants".
However, this paragraph does not
apply to liability for damages because
of "property damage" that the in-
sured would have in the absence of
such request, demand, order or
statutory or regulatory requirement,
or such claim or "suit" by or on be-
half of a governmental authority.
g. Aircraft, Auto Or Watercraft
"Bodily injury" or "property damage"
arising out of the ownership, mainte-
nance, use or entrustment to others of
any aircraft, "auto" or watercraft owned
or operated by or rented or loaned to
any insured. Use includes operation and
"loading or unloading".
This exclusion does not apply to:
(1) A watercraft while ashore on pre-
mises you own or rent;
(2) A watercraft you do not own that is:
(a) Less than 51 feet long; and
(b) Not being used to carry persons
or property for a charge;
(3) Parking an "auto' on, or on the ways
next to, premises you own or rent,
provided the "auto" is not owned by
or rented or loaned to you or the
insured;
(4) Liability assumed under any "insured
contract" for the ownership, main-
992001 Ed. 4-99
j•
tenance or use of aircraft or wa-
tercraft;
(5) "Bodily injury" or "property damage"
arising out of the operation of any
of the equipment listed in Paragraph
CO or f.(3) of the definition of "mobile
equipment"; or
(6) An aircraft you do not own that you
charter with crew.
h. Mobile Equipment
"Bodily injury" or "property damage"
arising out of:
(1) The transportation of "mobile equip-
ment' by an "auto" owned or oper-
ated by or rented or loaned to any
irsured; or
(2) The use of "mobile equipment" in, or
while in practice for, or while being
prepared for, any prearranged rac-
ing, speed, demolition, or stunting
activity.
War
"Bodily injury' or "property damage" due
to war, whether or not declared, or any
act or condition incident to war. War
includes civil war, insurrection, rebellion
or revolution. This exclusion applies only
to liability assumed under a contract or
agreement
Damage To Property
"Property damage" to:
(1) Property you own, rent, or occupy;
(2) Premises you sell, giveaway or aban-
don, if the "property damage" arises
out of any part of those premises.
(3) Property loaned to you;
(4) Personal property in the care, cus-
tody or control of the insured;
(5) That particular part of real property
on which you or any contractors or
subcontractors working directly or
indirectly on your behalf are per-
forming operations, if the "property
damage" arises out of those opera-
tions; or
(6) That particular part of any property
that must be restored, repaired or
replaced because "your work' was
incorrectly performed on it.
Paragraphs (1), (3) and (4) of this exclu-
sion do not apply to "property damage"
,dudes copyrighted nuterici of Insurance Services Office, Inc, ydth its peniesicn
Copyriept, Irma -arse S vices Office, Inc, 1997
Geoye4t 1999, Maryland Casualty Corptny, as to aditaal tad and revisals
Page 4 of 17
to premises, including the contents of
such premises, rented to you for a pe-
riod of 7 or fewer consecutive days. A
separate limit of insurance applies to
Tenants Legal Liability as described in
SECTION III - LIMITS OF INSURANCE.
Paragraph (2) of this exclusion does not
apply if the premises are "your work"
and were never occupied, rented or held
for rental by you.
Paragraphs (3), (4), (5) and (8) of this
exclusion do not apply to liability as-
sumed under a sidetrack agreement.
Paragraph (6) of this exclusion does not
apply to "property damage" included in
the "products -completed operations
hazard".
k. Damage To Your Product
"Property damage" to "your product"
arising out of it or any part of it.
I. Damage To Your Work
"Property damage" to "your work" aris-
ing out of it or any part of it and included
in the "products -completed operations
hazard".
This exclusion does not apply if the dam-
aged work or the work out of which the
damage arises was performed on your
behalf by a subcontractor.
m. Damage To Impaired Property Or Prop-
erty Not Physically Injured
"Property damage" to "impaired prop-
erty" or property that has not been physi-
cally injured, arising out of:
(1) A defect, deficiency, inadequacy or
dangerous condition in "your prod-
uct' or "your work"; or
(2) A delay or failure by you or anyone
acting on your behalf to perform a
contract or agreement in accordance
with its terms.
This exclusion does not apply to the loss
of use of other property arising out of
sudden and accidental physical injury to
"your product" or "your work" after it
has been put to its intended use.
n. Recall Of Products, Work Or Impaired
Property
Damages claimed for any loss, cost or
expense incurred by you or others for
the loss of use, withdrawal, recall, in-
9S2001 Ed. 4-99
spection, repair, replacement, adjust-
ment, removal or disposal of:
(1) "Your product";
(2) "Your work"; or
(3) "Impaired property";
if such product, work, or property is
withdrawn or recalled from the market
or from use by any person or organiza-
tion because of a known or suspected
defect, deficiency, inadequacy or dan-
gerous condition in it.
o. Professional
(1) "Bodily injury" or "property damage"
arising out of the rendering or fail-
ure to render any professional ser-
vice, including but not limited to:
(a) Accounting, advertising, archi-
tectural, drafting, engineering, fi-
nancial, insurance or legal ser-
vices, advice and instruction;
(b) Medical, cosmetic, dental, ear
piercing, hair dressing, massage,
physical therapy, veterinary, nurs-
ing, surgical or x-ray services,
advice and instruction;
(c) Use of any tanning booth, tan-
ning bed, tanning equipment or
tanning device;
(d) Laboratory operations or ser-
vices, whether medical or not;
and
(e) Services performed as a funeral
director or as an operator of a
cemetery; and
(f) Any service, treatment, advice
or instruction for the purpose
of appearance or skin enhance-
ment, hair removal or replace-
ment or personal grooming.
(2) This exclusion does not apply to:
(a) Pharmacological services if:
(i) You do business as a retail
drug store and do not manu-
facture or compound in bulk
pharmaceuticals for sale by
others; and
(la The "bodily injury" or "prop-
erty damage" is not caused
by the willful violation of a
penal statute or ordinance
relating to the sale of phar-
Irdudes crpyrichted matteerial ca Instance Services office. Inc, vith its p rressiu
CgMynlYt 1999. t rylad Casualty cn r y. as Office,
to adacvol97
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Page 5 of 17
maceuticals by or with the
knowledge or consent of any
insured;
(b) Optical or hearing aid services,
including the prescribing, prepa-
ration, production, mounting, fit-
ting, demonstration or distribu-
tion of ophthalmic lenses and
similar products or hearing aid
services.
p. Personal And Advertising Injury
"Bodily injury" arising out of "personal
and advertising injury'.
Exclusions c. through o. do not apply to "prop-
erty damage" to premises while rented to you
or temporarily occupied by you with permis-
sion of the owner. A separate limit of insurance
applies to Tenants Legal Liability, as described in
SECTION III - LIMITS OF INSURANCE.
COVERAGE B. PERSONAL AND ADVERTISING
INJURY LIABILITY
1. Insuring Agreement
a. We will pay those sums that the insured
becomes legally obligated to pay as
damages because of "personal and ad-
vertising injury" to which this insurance
applies. We will have the right and duty
to defend the insured against any "suit"
seeking those damages. However, we
will have no duty to defend the insured
against any "suit" seeking damages for
"personal and advertising injury" to which
this insurance does not apply. We may,
at our discretion, investigate any offense
and settle any claim or "suit" that may
result. But
(1) The amount we will pay for dam-
ages is limited as described in SEC-
TION AI - LIMITS OF INSURANCE; and
(2) Our right and duty to defend end when
we have used up the applicable limit
of insurance in The payment of judg-
ments or settlements under Cover-
ages A or B or medical expenses
under Coverage C.
No other obligation or liability to pay sums
or perform acts or services is covered
unless explicitly provided for under
SUPPLEMENTARY PAYMENTS - COV -
ERAGES A AND B.
b. This insurance applies to "personal and
advertising injury" caused by an offense
arising out of your business but only if
the offense was committed in the "cov-
952001 Ed. 4-99
erage territory' during the policy pe-
riod.
2. Exclusions
This insurance does not apply to:
a.
"Personal and advertising injury":
(1) Caused by or at the direction of the
insured with the knowledge that the
act would violate the rights of an-
other and would inflict "personal and
advertising injury";
(2) Arising out of oral or written pub-
lication of material, if done by or at
the direction of the insured with
knowledge of its falsity;
(3) Arising out of oral or written pub-
lication of material whose first pub-
lication took place before the be-
ginning of the policy period;
(4) Arising out of the willful violation of
a penal statute or ordinance com-
mitted by or at with the consent of
any insured;
(5) For which the insured has assumed
liability in a contract or agreement
This exclusion does not apply to li-
ability for damages that the insured
would have in the absence of the
contract or agreement;
(6) Arising out of a breach of contract,
except an implied contract to use
another's advertising idea in your
"advertisement";
(7) Arising out of the failure of goods,
products or services to conform with
any statement of quality or perfor-
mance made in your "advertisement",
(8) Arising out of the wrong descrip-
tion of the price of goods, prod-
ucts or services stated in your "ad-
vertisement,
(9) Committed by an insured whose
business is advertising, broadcast-
ing, publishing or telecasting. How-
ever, this exclusion does not apply
to Paragraphs 1 4.a, b. and c. of "per-
sonal and advertising injury" under
SECTION V - DEFINITIONS: or
(10) Arising out of the actual, alleged or
threatened discharge, dispersal,
seepage, migration, release or es-
cape of "pollutants" at any time.
Ircludes apyrictrted material of ersirarce Services Office, tnc, v,ith its perm Ran
Ccpyri¢R Insurers 5rviss Office, Inc, 1997
Ccpyngr. 1999, IVItryland Casualty Corpany, as to adtiad tad and rev¢iars
Page 6 of 17
b. Any loss, cost or expense arising out of
any:
(1) Request, demand or order that any
insured or others test for, monitor,
clean up, remove, contain, treat,
detoxify or neutralize, or in any way
respond to, or assess the effects
of, "pollutants'; or
(2) Claim or suit by or on behalf of a
governmental authority for damages
because of testing for, monitoring,
cleaning up, removing, containing,
treating, detoxifying or neutralizing,
or in any way responding to, or as-
sessing the effects of, "pollutants".
COVERAGE C. MEDICAL PAYMENTS
1. Insuring Agreement
a. We will pay medical expenses as de-
scribed below for "bodily injury" caused
by an accident
(1) On premises you own or rent;
(2) On ways next to premises you own
or rent; or
(3) Because of your operations;
provided that:
(1) The accident takes place in the "cov-
erage territory" and during the policy
period;
(2) The expenses are incurred and re-
ported to us within three years of
the date of the accident; and
(3) The injured person submits to ex-
amination, at our expense, by physi-
cians of our choice as often as we
reasonably require.
b. We will make these payments regard-
less of fault These payments will not
exceed the applicable limit of insurance.
We will pay reasonable expenses for:
(1) First aid administered at the time of
an accident;
(2) Necessary medical, surgical, x-ray
and dental services, including pros-
thetic devices; and
(3) Necessary ambulance, hospital, pro-
fessional nursing and funeral services.
2. Exclusions
We will not pay expenses for "bodily injury":
a. To any insured.
9S2001 Ed. 4-99
g.
h.
b. To a person hired to do work for or on
behalf of any insured or a tenant of any
insured.
c. To a person injured on that part of pre-
mises you own or rent that the person
normally occupies.
d. To a person, whether or not an "em-
ployee" of any insured, if benefits for
the "bodily injury" are payable or must
be provided under a workers' compen-
sation or disability benefits law or a similar
law.
e. To a person injured while taking part in
athletics.
f. Included within the "products -completed
operations hazard".
Excluded under Coverage A
Due to war, whether or not declared,
or any act or condition incident to war.
War includes civil war, insurrection, re-
bellion or revolution.
SUPPLEMENTARY PAYMENTS - COVERAGES
A AND B
1. We will pay, with respect to any claim we
investigate or settle, or any "suit" against an
insured we defend:
a. All expenses we incur.
b The cost of bail bonds required because
of accidents or traffic law violations
arising out of the use of any vehicle to
which the Bodily Injury Liability Cover-
age applies. We do not have to furnish
these bonds.
c The cost of bonds to release attach-
ments, but only for bond amounts within
the applicable limit of insurance. We do
not have to furnish these bonds.
d. All reasonable expenses incurred by the
insured at our request to assist us in the
investigation or defense of the claim or
"suit", including actual loss of earnings
up to $250 a day because of time off
from work.
e. All costs taxed against the insured in the
"suit".
f. Prejudgment interest awarded against the
insured on that part of the judgment we
pay. If we make an offer to pay the ap-
plicable limit of insurance, we will not
pay any prejudgment interest based on
that period of time after the offer.
Induces apyri*Hed insteial of Ire rance Services Office, Inc, vuh its pernisecn
Ccpynq-it, Inarance Services Otfio1. Inc, 1997
Ccpyrq t. 1999, rNaryland Caa.Ity COWAN, as to ad6tiorel text and revisass
Page7of 17
g. All interest on the full amount of any
judgment that accrues after entry of the
judgment and before we have paid, of-
fered to pay, or deposited in court the
part of the judgment that is within the
applicable limit of insurance.
These payments will not reduce the limits of
insurance.
2. If we defend an insured against a "suit" and
an indemnitee of the insured is also named
as a party to the "suit", we will defend that
indemnitee if all of the following conditions
are met:
a. The 'suit" against the indemnitee seeks
damages for which the insured has as-
sumed the liability of the indemnitee in a
contract or agreement that is an "in-
sured contract";
b. This insurance applies to such liability
assumed by the insured;
c. The obligation to defend, or the cost of
the defense of, that indemnitee, has also
been assumed by the insured in the same
"insured contract";
d. The allegations in the "suit and the in-
formation we know about the "occur-
rence" are such that no conflict appears
to exist between the interests of the
insured and the interests of the indem-
nitee:
e. The indemnitee and the insured ask us to
conduct and control the defense of that
indemnitee against such "suit" and agree
that we can assign the same counsel to
defend the insured and the indemnitee;
and
f. The indemnitee:
(1) Agrees in writing to:
(a) Cooperate with us in the inves-
tigation, settlement or defense
of the "suit";
(b) Immediately send us copies of
any demands, notices, sum-
monses or legal papers received
in connection with the "suit";
(c) Notify any other insurer whose
coverage is available to the in-
demnitee; and
(d) Cooperate with us with respect
to coordinating other applicable
insurance available to the indem-
nitee; and
9S2001 Ed. 4-99
(2) Provides us with written authoriza-
tion to:
(a) Obtain records and other infor-
mation related to the "suit'; and
(b) Conduct and control the defense
of the indemnitee in such "suit'.
So long as the above conditions are met,
attorneys' fees incurred by us in the de-
fense of that indemnitee, necessary litiga-
tion expenses incurred by us and necessary
litigation expenses incurred by the indemni-
tee at our request will be paid as Supple-
mentary Payments. Notwithstanding the pro-
visions of Paragraph 2.b.(2) of SECTION 1 -
COVERAGE A - BODILY INJURY AND PROP -
ERTYDAMAGE LIABLITY, such payments will
not be deemed to be damages for "bodily
injury' and "property damage" and will not
reduce the limits of insurance.
Our obligation to defend an insureds indem-
nitee and to pay for attorneys' fees and nec-
essary litigation expenses as Supplemen-
tary Payments ends when:
a.
We have used up the applicable limit of
insurance in the payment of judgments
or settlements; or
b. The conditions set forth above, or the
terms of the agreement described in
Paragraph f. above, are no longer met.
SECTION II - WHO IS AN INSURED
1. If you are designated in the Declarations as:
a. An individual, you and your spouse are
insureds, but only with respect to the
conduct of a business of which you are
the sole owner.
b. A partnership or joint venture, you are
an insured. Your members, your part-
ners, and their spouses are also insureds,
but only with respect to the conduct of
your business.
c. A limited liability company, you are an
insured Your members are also insureds,
but only with respect to the conduct of
your business. Your managers are in-
sureds, but only with respect to their
duties as your managers.
d. An organization other than a partner-
ship, joint venture or limited liability com-
pany, you are an insured. Your "execu-
tive officers" and directors are insureds,
but only with respect to their duties as
your officers or directors. Your stock-
holders are also insureds, but only with
respect to their liability as stockholders.
Inc*.,es alayri¢rted material of Imo -arcs Services Office Inc, Mt its pcYnission
Ccpyrijt, Irstrace Services Office, Inc. 1997
Cepyrij t 1999, Maryland Casualty Carpany, as to acitivei text and rev:tivs
Page 8 of 17
Your subsidiaries, and subsidiaries of
subsidiaries, are 'nsureds if:
(1) They are legally incorporated enti-
ties; and
(2) You own more than 50% of the vot-
ing stock in them as of the effective
date of this policy.
If such subsidiaries are not shown in the
Declarations, you must report them to
us within 180 days of the inception of
this policy.
2. Each of the following is also an insured:
a. Your "employees", other than either your
"executive officers" (if you are an or-
ganization other than a partnership, joint
venture or limited liability company) or
your managers (if you are a limited li-
ability company), but only for acts within
the scope of their employment by you
or while performing duties related to
the conduct of your business. However,
none of these "employees" is an insured
f or:
(1) "Bodily injury" or "personal and ad-
vertising injury":
(a) To you, to your partners or
members (if you are a partner-
ship or joint venture), to your
members (if you are a limited li-
ability company), or to a co -"em-
ployee" while that co -"employee"
is either in the course of his or
her employment or performing
duties related to the conduct of
your business;
() To the spouse, child, parent,
brother or sister of that co -"em-
ployee" as a consequence of
Paragraph (t )(a) above;
(c) For which there is any obligation
to share damages with or repay
someone else who must pay
damages because of the injury
described in Paragraphs (1 )(a) or
(b) above; or
(d) Arising out of his or her provid-
ing or failing to provide profes-
sional health care services.
(2) "Property damage" to property:
(a) Owned, occupied or used by,
(b) Rented to, in the care, custody
or control of, or over which
physical control is being exer-
9S2001 Ed. 4-99
cised for any purpose by you,
any of your "employees", any
partner or member (if you are a
partnership or joint venture), or
any member (if you are a limited
liability company).
b. Any person (other than your 'employee"),
or any organization while acting as your
real estate manager.
c. Any person or organization having proper
temporary custody of your property if
you die, but only:
(1) With respect to liability arising out
of the maintenance or use of that
property; and
(2) Until your legal representative has
been appointed.
d. Your legal representative if you die, but
only with respect to duties as such. That
representative will have all your rights
and duties under this Coverage Part
e. Any person or organization with whom
you agree, because of a written con-
tract, to provide insurance such as is
afforded under this policy, but only with
respect to liability arising out of your
operations, "your work" or facilities
owned or used by you
This provision does not apply.
(1) To any vendor, concessionaire, les-
sor of leased equipment, grantor of
a franchise, engineer, architect or
surveyor; or
(2) Unless the contract has been signed
prior to the date of "bodily injury",
"property damage", or "personal or
advertising injury".
f. Any person or organization to whom you
are obligated by virtue of a written "in-
sured contract" to provide insurance such
as is afforded by this policy, but only
with respect to liability arising out of the
ownership, maintenance, or use of that
part of any premises leased to you. This
does not apply to:
(1) Any "occurrence" that takes place
after you cease to be a tenant on
those premises.
(2) Structural alterations, new construc-
tion or demolition operations per-
formed by or on behalf of such in-
sured.
iris Rpyrigted neterial of Insurance Services Office, Inc, with its permission
Ccpyri9K. Instance Services Office, I. 3997
Ccplript 1999, N&y,and Caaatly Company, as lo aditia i text and revisions
Page 9 of 17
g.
Any state or political subdivision, but only
as respects legal liability incurred by the
state or political subdivision solely be-
cause it has issued a permit in connec-
tion with premises you own, rent, or
control for one of the hazards listed
below:
(1) The existence, maintenance, repair,
construction, erection, or removal
of advertising signs, awnings, cano-
pies, cellar entrances, coal holes,
driveways, manholes, marquees,
hoistaway openings, sidewalk vauts,
street banners or decorations and
similar exposures;
(2) The construction, erection or re-
moval of elevators; or
(3) The ownership, maintenance or use
of any elevators covered by this in-
surance.
3. With respect to "mobile equipment" regis-
tered in your name under any motor vehicle
registration law, any person is an insured
while driving such equipment along a public
highway with your permission. Any other per-
son or organization responsible for the con-
duct of such person is also an insured, but
only with respect to liability arising out of
the operation of the equipment, and only if
no other insurance of any kind is available to
that person or organization for this liability.
However, no person or organization is an
insured with respect to:
a. "Bodily injury" to a co -'employee" of
the person driving the equipment; or
b. "Property damage' to property owned
by, rented to, in the charge of or occu-
pied by you or the employer of any
person who is an insured under this pro-
vision.
4. Any organization you newly acquire or form,
other than a partnership or joint venture,
and over which you maintain ownership or
majority interest, will qualify as a Named
Insured if there is no other similar insurance
available to that organization. However:
a Coverage under this provision is afforded
only until the 180th day after you ac-
quire or form the organization or the
end of the policy period, whichever is
earlier;
b. Coverage A does not apply to "bodily
injury" or "property damage" that oc-
curred before you acquired or formed
the organization; and
9S2001 Ed. 4-99
c. Coverage B does not apply to "personal
and advertising injury" arising out of an
offense committed before you acquired
or formed the organization.
No person or organization is an insured with
respect to the conduct of any current or past
partnership, joint venture or limited liability com-
pany that is not shown as a Named Insured in the
Declarations.
SECTION III - LIMITS OF INSURANCE
1. The Limits of Insurance shown in the Dec-
larations and the rules below fix the most
we will pay regardless of the number of:
a Insureds;
b. Claims made or "suits" brought; or
c. Persons or organizations making claims
or bringing "suits".
2. The General Aggregate Limit is the most we
will pay for the sum of:
a. Damages under Coverage A except
damages because of "bodily injury" or
"property damage" included in the "prod-
ucts -completed operations hazard"; and
b. Damages under Coverage B,
The General Aggregate Limit applies sepa-
rately to each location owned by or rented
to you. Location, as used here, means pre-
mises involving the same or connecting lots,
or premises whose connection is interrupted
only by a street, roadway, waterway or
right-of-way of a railroad.
3. The Products -Completed Operations Ag-
gregate Limit is the most we will pay under
Coverage A for damages because of "bodily
injury" and "property damage" included in the
"products -completed operations hazard.
4. Subject to 2. above, the Personal and Ad-
vertising Injury Limit is the most we will pay
under Coverage B for the sum of all dam-
ages because of all "personal and advertis-
ing injury' sustained by any one person or
organization.
5. Subject to 2. or 3. above, whichever ap-
plies, the Each Occurrence Limit is the most
we will pay for the sum of:
a. Damages under Coverage A and
b. Medical expenses under Coverage C
because of all "bodily injury" and "property
damage" arising out of any one "occurrence".
6. Subject to 5. above, the Tenants Legal Li-
ability Limit is the most we will pay under
Inc Jes o[pyrigrted material of Irscrarce Services Office, Inc, nit, its pemissici
Ccpyri¢k, inarance Services Office, Inc, 1997
aping* 1999, hbryland Caaoley Ccopany, as to addtimel text and revisicns
Page 10 of 17
Coverage A for damages because of "prop-
erty damage" to any one premises, while
rented to you or temporarily occupied by
you with permission of the owner, arising
out of any one "occurrence".
7. Subject to 5. above, the Medical Expense
Limit is the most we will pay under Cover-
age C for all medical expenses because of
"bodily injury" sustained by any one person.
The Limits of Insurance of this Coverage Part
apply separately to each consecutive annual period
and to any remaining period of less than 12
months, starting with the beginning of the policy
period shown in the Declarations, unless the policy
period is extended after issuance for an addi-
tional period of less than 12 months. In that
case, the additional period will be deemed part
of the last preceding period for purposes of
determining the Limits of Insurance.
SECTION IV - COMMERCIAL GENERAL LIABU1Y
CONDITIONS
1. Bankruptcy
Bankruptcy or insolvency of the insured or
of the insured's estate will not relieve us of
our obligations under this Coverage Part
2. Duties In The Event Of Occurrence, Offense,
Claim Or Suit
a. You must see to it that we are notified
as soon as practicable of an "occur-
rence" or an offense which may result
in a claim. To the extent possible, notice
should include:
(1) How, when and where the "occur-
rence" or "offense" took place;
(2) The names and addresses of any in-
jured persons and witnesses; and
(3) The nature and location of any injury
or damage arising out of the "oc-
currence" or offense.
b. If a claim is made or "suit" is brought
against any insured, you must
(1) Immediately record the specifics of
the claim or "suit' and the date re-
ceived; and
(2) Notify us as soon as practicable.
You must see to it that we receive writ-
ten notice of the claim or "suit" as soon
as practicable.
c. You and any other involved insured must:
11) Immediately send us copies of any
demands, notices, summonses or
9S2001 Ed. 4-99
legal papers received in connection
with the claim or "suit";
(2) Authorize us to obtain records and
other information;
(3) Cooperate with us in the investiga-
tion or settlement of the claim or
defense against the "suit"; and
(4) Assist us, upon our request, in the
enforcement of any right against any
person or organization which may
be liable to the insured because of
irjury or damage to which this in-
surance may also apply.
d. No insured will, except at that insured's
own cost, voluntarily make a payment,
assume any obligation, or incur any ex-
pense, other than for first aid, without
our consent.
e. Knowledge of "occurrence", claim or
"suit" by an agent, servant or "employee"
of an insured (other than an officer or
partner) does not imply knowledge by
the insured unless the insured has re-
ceived notice from the agent, servant
or "employee'.
Failure by an agent, servant or "employee"
of an insured (other than an "executive
officer", manager or partner) to notify
us of an "occurrence" will not be con-
sidered an failure to comply with para-
graphs a and b. above.
3. Legal Action Against Us
No person or organization has a right under
this Coverage Part
a. To join us as a party or otherwise bring
us into a "suit" asking for damages from
an insured; or
b. To sue us on this Coverage Part unless
all of its terms have been fully complied
with.
A person or organization may sue us to re-
cover on an agreed settlement or on a final
judgment against an insured obtained after
an actual trial; but we will not be liable for
damages that are not payable under the terms
of this Coverage Part or that are in excess
of the applicable limit of insurance. An agreed
settlement means a settlement and release
of liability signed by us, the insured and the
claimant or the claimant's legal representa-
tive.
f.
4. Motor Vehicle Laws
Injuries ccpyri¢4ed rreteiel of In9rence Services- Office, Inc, wth i a peenasim
Upright.Insrwre SavIMS Ofoe, Inc, 1987
cwi 1, 1999 Maylad Caaelty CmFany, as to addlioial text ad reviriau
Page 11 of 17
With respect to "mobile equipment" to which
this insurance applies:
a. When this Coverage Part is certified as
proof of financial responsibility under
the provisions of any motor vehicle fi-
nancial responsibility law, the insurance
provided by the Coverage Part for Bodily
Injury Liability or Property Damage Li-
ability will comply with the provisions of
the law to the extent of the coverage
and limits of insurance required by that
law.
b. We will provide any liability, uninsured
motorists, underinsured motorists, no-
fault or other coverages required by any
motor vehicle insurance law. We will
provide the required limits for those
coverages.
5. Other Insurance
If other valid and collectible insurance is avail-
able to the insured for a loss we cover under
Coverages A or B of this Coverage Part,
our obligations are limited as follows:
a. Primary Insurance
This insurance is primary except when
b. below applies. if this insurance is pri-
mary, our obligations are not affected
unless any of the other insurance is also
primary. Then, we will share with all that
other insurance by the method described
in c. below.
b. Excess Insurance
This insurance is excess over:
(1) Any of the other insurance, whether
primary, excess, contingent or on
any other basis:
(a) That is Fire, Extended Coverage,
Builder's Risk, Installation Risk or
similar coverage for "your work";
(b) That insures for direct physical
loss to premises rented to you
or temporarily occupied by you
with permission of the owner;
(c) That is insurance purchased by
you to cover your liability as a
tenant for "property damage" to
premises rented to you or tem-
porarily occupied by you with
permission of the owner; or
(d) If the loss arises out of the main-
tenance or use of aircraft, "au-
tos" or watercraft to the extent
not subject to Exclusion g. of
9S2001 Ed. 4-99
SECTION I - COVERAGE A -
BODILY JURY AND PROPERTY
DAMAGE LIABILITY.
(2) Any other primary insurance avail-
able to you covering liability for dam-
ages arising out of the premises or
operations for which you have been
added as an additional insured by
attachment of an endorsement.
When this insurance is excess, we will
have no duty under Coverages A or B to
defend the insured against any claim or
"suit if any other insurer has a duty to
defend the insured against that claim or
"suit". If no other insurer defends, we
will undertake to do so, but we will be
entitled to the insureds rights against all
those other insurers.
When this insurance is excess over other
insurance, we will pay only our share of
the amount of the loss, if any, that ex-
ceeds the sum of:
(1) The total amount that all such other
insurance would pay for the loss in
the absence of this insurance; and
(2) The total of all deductible and self -
insured amounts under all that other
insurance.
We will share the remaining loss, if any,
with any other insurance that is not de-
scribed in this Excess Insurance provi-
sion and was not bought specifically to
apply in excess of the Limits of Insur-
ance shown in the Declarations of this
Coverage Part.
c. Method Of Sharing
If ail of the other insurance permits con-
tribution by equal shares, we will follow
this method also. Under this approach
each insurer contributes equal amounts
until it has paid its applicable limit of in-
surance or none of the loss remains,
whichever comes first
If any of the other insurance does not
permit contributon by equal shares, we
will contribute by limits. Under this
method, each insurer's share is based
on the ratio of its applicable limit of in-
surance to the total applicable limits of
insurance of all insurers
6. Premium Audit
In des aol:yritted material of Instrar a Services Off* Inc, oath its permit -am
Ccpyr 1 Irwance Services Office, Inc, 1997
Cgrynght 1999, Maryland Casually CcnparN, as to addtiawl lea and revisima
Page 12 of 17
a. We will compute all premiums for this
Coverage Part in accordance with our
rules and rates.
b. Premium shown in this Coverage Part as
advance premium is a deposit premium
only. At the close of each audit period
we will compute the earned premium
for that period. Audit premiums are due
and payable on notice to the first Named
Insured. If the sum of the advance and
audit premiums paid for the policy pe-
riod is greater than the earned premium,
we will return the excess to the first
Named Insured.
c. The first Named Insured must keep
records of the klformation we need for
premium computation, and send us cop-
ies at such times as we may request
7. Representations
By accepting this policy, you agree:
a. The statements in the Declarations are
accurate and complete;
b. Those statements are based upon rep-
resentations you made to us; and
c. We have issued this policy in reliance
upon your representations.
8. Separation Of Insureds
Except with respect to the Limits of Insur-
ance, and any rights or duties specifically
assigned in this Coverage Part to the first
Named Insured, this insurance applies:
a. As if each Named Insured were the only
Named Insured; and
b. Separately to each insured against whom
claim is made or "suit" is brought
9. Transfer Of Rights 0f Recovery Against
Others To Us
If the insured has rights to recover all or
part of any payment we have made under
this Coverage Part, those rights are trans-
ferred to us. The insured must do nothing
after loss to impair them At our request,
the insured will bring 'suit" or transfer those
rights to us and help us enforce them.
This condition does not apply to Coverage
C. Medical Expenses.
10. Unintentional Errors And Omissions
Any unintentional error or omission in the
description of, or failure to completely
describe, any premises or operations in-
tended to be covered by this Coverage Part
9S2001 Ed. 4-99
11
SE
1
will not invalidate or affect coverage for
those premises or operations. But you must
report such error or omission to us as soon
as practicable after its discovery.
.When We Do Not Renew
If we decide not to renew this Coverage
Part, we will mail or deliver to the first Named
Insured shown in the Declarations written
notice of the non -renewal not less than 30
days before the expiration date.
If notice is mailed, proof of mailing will be
sufficient proof of notice.
CTION V - DEFINITIONS
"Advertisement" means a notice that is
broadcast or published to the general public
or specific market segments about your
goods, products or services for the pur-
pose of attracting customers or support-
ers.
2. "Auto" means a land motor vehicle, trailer
or semitrailer designed for travel on public
roads, including any attached machinery or
equipment But"auto" does not include "mobile
equipment".
3. 'Bodily injury" means bodily injury, sickness
or disease sustained by a person. This in-
cludes mental anguish, mental injury, shock,
fright or death resulting from bodily injury,
sickness or disease.
4. "Coverage territory' means:
a. The United States of America (including
its territories and possessions), Puerto
Rico and Canada;
b. International waters or airspace, pro-
vided the injury or damage does not occur
in the course of travel or transportation
to or from any place not included in a.
above; or
c. All parts of the world if:
(1) The injury or damage arises out of:
(a) Goods or products made or sold
by you in the territory described
in a above; or
(b) The activities of a person whose
home is in the territory described
in a above, but is away for a short
time on your business; and
(2) The insureds responsibility to pay
damages is determined in a "suit` on
the merits, in the territory described
in a above or in a settlement we
agree to.
Indus crprricjded material of Insurance Services Office, Ii . vile its perrrissicn
CcpyrioNt thwart? Services Office, Inc, 1997
Ccpyn¢r, 1999. !o'sryland Casually Ccnpeny, as to addtimal text and revisintts
Page 13 of 17
5. "Employee" includes a "leased worker". "Em-
ployee" does not include a "temporary
worker".
6. "Executive officer" means a person holding
any of the officer positions created by your
charter, constitution, by-laws or any other
similar governing document.
7. "Hostile fire" means one which becomes
uncontrollable or breaks out from where it
was intended to be.
S. "Impaired property" means tangible prop-
erty, other than "your product" or "your work",
that cannot be used or is less useful be-
cause:
a. It incorporates 'your product" or "your
work" that is known or thought to be
defective, deficient, inadequate or dan-
gerous; or
b. You have failed to fulfill the terms of a
contract or agreement;
if such property can be restored to use by:
a. The repair, replacement, adjustment or
removal of "your product' or "your work'
or
b. Your fulfilling the terms of the contract
or agreement.
9. "Insured contract' means:
a. A contract for a lease of premises.
However, that portion of the contract
for a tease of premises that indemnifies
any person or organization for damage
by fire to premises while rented to you
or temporarily occupied by you with
permission of the owner is not an "in-
sured contract";
b. A sidetrack agreement;
c. Any easement or license agreement,
except in connection with construction
or demolition operations on or within
50 feet of a railroad,
d. An obligation, as required by ordinance,
to indemnify a municipality, except in con-
nection with work for a municipality;
e. An elevator maintenance agreement;
f. That part of any other contract or agree-
ment pertaining to your business (including
an indemnification of a municipality in
connection with work performed for a
municipality) under which you assume the
tort liability of another party to pay for
'bodily injury" or "property damage' to
a third person or organization. Tort li-
9S2001 Ed 4-99
ability means a liability that would be
imposed by law in the absence of any
contract or agreement.
Paragraph f. does not include that part
of any contract or agreement
(1) That indemnifiesa railroad for "bodily
injury" or "property damage" arising
out of construction or demolition
operations, within 50 feet of any
railroad property and affecting any
railroad bridge or trestle, tracks,
road -beds, tunnel, underpass or
crossing;
(2) That indemnifies an architect, engi-
neer or surveyor for injury or dam-
age arising out of:
(a) Preparing, approving, or failing
to prepare or approve, maps,
shop drawings, opinions, reports,
surveys, field orders, change
orders or drawings and specifi-
cations; or
(b) Giving directions or instructions,
or failing to give them, if that is
the primary cause of the injury
or damage; or
(3) Under which the insured, if an archi-
tect, engineer or surveyor, assumes
liability for an injury or damage aris-
ing out of the insured's rendering or
failure to render professional ser-
vices, including those listed in (2)
above and supervisory, inspection,
architectural or engineering activi-
ties.
10."Leased worker" means a person leased to
you by a labor leasing firm under an agree-
ment between you and the labor leasing firm,
to perform duties related to the conduct of
your business. "Leased worker" does not
include a "temporary worker".
1 1. "Loading or unloading" means the handling
of property.
a. After it is moved from the place where
it is accepted for movement into or onto
an aircraft, watercraft or "auto";
b. While it is in or on an aircraft, water-
craft or "auto"; or
c. While it is being moved from an air-
craft, watercraft or "auto" to the place
where it is finally delivered;
but "loading or unloading" does not include
the movement of property by means of a
mechanical device, other than a hand truck,
Indudes aPY^$ material SServices
its Pm^ssim
Ir aSery Office. Inc. 1997
Cgryright. 1999, hMryland Casufy Corpeny, as to aditmal text and reviaims
Page 14 of 17
that is not attached to the aircraft, water-
craft or "auto".
12. "Mobile equipment' means any of the fol-
lowing types of land vehicles, including any
attached machinery or equipment
a. Bulldozers, farm machinery, forklifts and
other vehicles designed for use princi-
pally off public roads;
b. Vehicles maintained for use solely on or
next to premises you own or rent;
c. Vehicles that travel on crawler treads;
d. Vehicles, whether self-propelled or not,
maintained primarily to provide mobility
to permanently mounted:
(1) Power cranes, shovels, loaders, dig-
gers or drills; or
(2) Road construction or resurfacing
equipment such as graders, scrap-
ers or rollers;
e. Vehicles not described in a., b., c. or d.
above that are not self-propelled and
are maintained primarily to provide
mobility to permanently attached equip-
ment of the following types:
(1) Air compressors, pumps and gen-
erators, including spraying, welding,
building cleaning, geophysical explo-
ration, lighting and well servicing
equipment; or
(2) Cherry pickers and similar devices
used to raise or lower workers;
f. Vehicles not described in a b., c. or d.
above maintained primarily for purposes
other than the transportation of per-
sons or cargo.
However, self-propelled vehicles with
the following types of permanently at-
tached equipment are not "mobile equip-
ment" but will be considered "autos":
111 Equipment with a gross vehicle weight
of 1000 lbs. or more and designed
primarily for:
(a) Snow removal;
(b) Road maintenance, but not con-
struction or resurfacing; or
(c) Street cleaning;
(2) Cherry pickers and similar devices
mounted on automobile or truck
chassis and used to raise or lower
workers; and
9S2001 Ed. 4-99
(3) Air compressors, pumps and gen-
erators, including spraying, welding,
building cleaning, geophysical explo-
ration, lighting and well servicing
equipment.
13. "Occurrence" means an accident, including
continuous or repeated exposure to sub-
stantially the same general harmful condi-
tions.
14. "Personal and advertising injury" means in-
jury, including consequential "bodily injury",
arising out of one or more of the following
offenses:
a. False arrest, detention or imprisonment:
b. Malicious prosecution;
c. The wrongful eviction from, wrongful
entry into, or invasion of the right of
private occupancy of a room, dwelling
or premises that a person occupies,
committed by or on behalf of its owner,
landlord or lessor;
d. Oral or written publication of material
that slanders or libels a person or orga-
nization or disparages a person's or
organization's goods, products or ser-
vices;
e. Oral or written publication of material
that violates a person's right of privacy;
f. Misappropriation of advertising ideas or
style of doing business; or
Infringing upon another's copyright, trade
dress or slogan in your "advertisement".
15."Pollutants" mean any solid, liquid, gaseous
or thermal irritant or contaminant, including
smoke, vapor, soot, fumes, acids, alkalis,
chemicals and waste. Waste includes ma-
terials to be recycled, reconditioned or re-
claimed.
9-
16. "Products -completed operators hazard":
a. includes all "bodily injury' and "property
damage" occurring away from premises
you own or rent and arising out of "your
product" or "your work" except:
(1) Products that are still in your physi-
cal possession; or
(2) Work that has not yet been com-
pleted or abandoned. However, "your
work' will be deemed completed at
the earliest of the following times,
(a) When all of the work called for
in your contract has been com-
pleted_
Irc6;des cq rlcq,eed rreterlal cf Inarance Services Office, Inc, .title its pemissice
Ctorig¢,t Ingranoe Services Office, It,:, 1997
Cq ri r, lass, Maryland Casualty Cmpany, as to addtiaral text and reutsicns
Page 15 of 17
(b) When all of the work to be done
at the job site has been com-
pleted if your contract calls for
work at more than one job site.
(c) When that part of the work done
at a job site has been put to its
intended use by any person or
organization other than another
contractor or subcontractor
working on the same project.
Work that may need service, main-
tenance, correction, repair or re-
placement, but which is otherwise
complete, will be treated as com-
pleted.
b. Also includes "bodily injury" and "prop-
erty damage" arising from the consump-
tion of food or beverages sold, handled
or distributed as "your product" at any
premises you own or rent.
c. Does not include "bodily injury" or "prop-
erty damage" arising out of:
(1) The transportation of property, un-
less the injury or damage arises out
of a condition in or on a vehicle cre-
ated by the "loading or unloading" of
that vehicle;
(2) The existence of tools, uninstalled
equipment or abandoned or unused
materials; or
13} Products or operations for which
the classification, listed in this Cov-
erage Part, states that products -
completed operations are subject to
the General Aggregate Limit.
17. Property damage" means:
a. Physical injury to tangible property, in-
cluding all resulting loss of use of that
property. All such loss of use shall be
deemed to occur at the time of the
physical injury that caused it; or
b. Loss of use of tangible property that is
not physically injured. All such loss of
use shall be deemed to occur at the time
of the "occurrence" that caused it.
18, "Suit" means a civil proceeding in which
damages because of "bodily injury", "prop-
erty damage" or "personal and advertising
injury" to which this insurance applies are
alleged, "Suit" includes
a. An arbitration proceeding in which such
damages are claimed and to which the
insured must submit or does submit with
our consent; or
9S2001 Ed. 4-99
b. Any other alternative dispute resolution
proceeding in which such damages are
claimed and to which the insured sub-
mits with our consent
19. 'Temporary worker' means a person who
is furnished to you to substitute for a per-
manent "employee" on leave or to meet
seasonal or short-term workload condi-
tions.
20. "Your product" means:
a. Any goods or products, other than real
property, manufactured, sold, handled,
distributed or disposed of by:
(1) You;
(2) Others trading under your name; or
(3) A person or organization whose
business or assets you have acquired;
and
b. Containers (other than vehicles), mate-
rials, parts or equipment furnished in
connection with such goods or prod-
ucts.
"Your product" includes:
a. Warranties or representations made at
any time with respect to the fitness,
quality, durability, performance or use
of "your product"; and
b. The providing of or failure to provide
warnings or instructions.
"Your product' does not include vending ma-
chines or other property rented to or lo-
cated for the use of others but not sord.
21. "Your work" means:
a. Work or operations performed by you
or on your behalf; and
b. Materials, parts or equipment furnished
in connection with such work or opera-
tions.
"Your work" includes:
a. Warranties or representations made at
any time with respect to the fitness,
quality, durability, performance or use
of "your work"; and
b. The providing of or failure to provide
warnings or instructions.
SECTION VI - NUCLEAR ENERGY LIABILITY
EXCLUSION
The insurance does not apply:
IndWes copyrighted material of Inraroa Svcs Office. Inc, wth its Fnrmrico
Iroararte Services Office Inc, 1997
Copyright. 1999, {fiery and Casualty Garvey, as to addtiuul text and recisions
Page 16 of 17
1.
Under any Liability Coverage, to "bodily in-
jury" or "property damage":
a. With respect to which an insured under
the policy is also an insured under a
nuclear energy liability policy issued by
Nuclear Energy Liability Insurance As-
sociation, Mutual Atomic Energy Liabil-
ity Underwriters, Nuclear Insurance As-
sociation of Canada or any of their
successors, or would be an insured under
any such policy but for its termination
upon exhaustion of its limits of liability;
or
b. Resulting from the "hazardous proper-
ties" of "nuclear material" and with re-
spect to which (1) any person or orga—
nization is required to maintain financial
protection pursuant to the Atomic En-
ergy Act of 1954, or any law amenda-
tory thereof, or (2) the insured is, or had
this policy not been issued would be,
entitled to indemnity from the United
States of America, or any agency
thereof, under any agreement entered
into by the United States of America. or
any agency thereof, with any person or
organization.
2. Under any Medical Expenses coverage, to
expenses incurred with respect to "bodily
injury" resulting from the "hazardous prop-
erties" of "nuclear material" and arising out
of the operation of a "nuclear facility" by
any person or organization.
3. Under any Liability Coverage, to "bodily in-
jury" or "property damage" resulting from
the "hazardous properties" of "nuclear ma-
terial", if:
a. The "nuclear material" (1) is at any nuclear
facility owned by, or operated by or on
behalf of, an insured, or (2) has been
discharged or dispersed therefrom;
b. The "nuclear material" is contained in
'spent fuel" or "waste" at any time pos-
sessed, handled used, processed, stored,
transported or disposed of by or on
behalf of any insured; or
c. The "bodily injury" or "property dam-
age" arises out of the furnishing by an
insured of services, materials, parts or
equipment in connection with the plan-
ning, construction, maintenance, opera-
tion or use of any "nuclear facility", but
if such facility is located within the United
States of America, its territories or
possessions or Canada, this exclusion
(el applies only to "property damage" to
932001 Ed. 4-99
such "nuclear facility" and any propert
thereat.
As used in this exclusion.
"Hazardous properties" include radioactive,
toxic or explosive properties;
"Nuclear material" means "source material,"
"special nuclear material," and "by-product
material,' which have the meanings given them
in the Atomic Energy Act of 1954 or in any
law amendatory thereof;
"Spent fuer means any fuel element or fuel
component, solid or liquid, which has been
used or exposed to radiation in a nuclear
reactor";
"Waste" means any waste material (1) con-
taining "by-product material" other than the
tailings or wastes produced by the extrac-
tion or concentration of uranium or thorium
from any ore processed primarily for its
"source material" content, and (2) resulting
from the operation by any person or orga-
nization of any "nuclear facility' included under
the first two paragraphs of the definition of
"nuclear facility.'
"Nuclear facility" means:
a. Any "nuclear reactor";
b. Any equipment or device designed or
used for (1) separating the isotopes of
uranium or plutonium, (2) processing or
uti'izing "spent fuel", or (3) handling, pro-
cessing or packaging "waste";
c. Any equipment or device used for the
processing, fabricating or alloying of
"special nuclear material" if at any time
the total amount of such material in the
custody of the insured at the premises
where such equipment or device is lo-
cated consists of or contains more than
25 grams of plutonium or uranium 233
or any combination thereof, or more
than 250 grams of uranium 235;
d. Any structure, basin, excavation, pre-
mises or place prepared or used for
the storage or disposal of "waste";
and includes the site on which any of the
foregoing is located, all operations con-
ducted on such site and all premises used
or such operations:
f
Nuclear reactor" means any apparatus de-
signed or used to sustain nuclear fission in
a self-supporting chain reaction or to con-
tain a critical mass of fissionable material;
Property damage" includes all forms of ra-
dioactive contamination of property.
Ir 1udes copyric t d mitered of kwranQ Sevc s Office, MC, w:ti its pennsaarn
Cepyri¢R Inmate Services Office, Inc. 1997
Ccpyrig,t, 1999, Me -viand Cavalry C, parry, as to addtiv,ar text and revisions
Page 17 of 17
y
NBSGOVE-01
MES
ACORP.4, CERTIFICATE
OF LIABILITY INSURANCE
DATE(572D012rr!
PRODUCER (858)
Vanorsdale Insurance Services
6165 Greenwich Drive, Suite 200
San Diego, CA 92122
869-8300
THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION
ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE
HOLDER. THIS CERTIFICATE DOES NOT AMEND, EXTEND OR
ALTER THE COVERAGE AFFORDED BY THE POLICIES BELOW.
INSURERS AFFORDING COVERAGE I NAIC #
INSURED NBS Government Finance GroupF1.;IJUL.•A.
32605 Temecula Parkway, Suite 100
Temecula, CA 92592
Philadelphia IndemnityInsurance Com an 1.
p P' )�
INE.nPL,= 1
INSIIPE -7 j
IN&U9C1 7
f.6l_IHE-' I
COVERAGES
THE POLICIES CF INSURANCE LISTED BELOW HAVE BEEN ISSUED TO THE INSURED NAMED ABOVE FOR THE POLICY PERIOD INDICATED. NOTWITHSTANDING
ANY REOUIREMENT. 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. AGGREGATE LIMITS SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS.
IIJSR ADD'L
LTR INSRD TYPE OF INSURANCE POLICY NUMBER
POLICY EFFECTIVE POLICY EXPIRATION
DATE 1MM'OO YYI DATE {MM/DD/YYI
LIMITS
',. GENERAL LIABILRY '..
',.
_JI-, .1LF ,,',AL SEVERAL LI L
IMS MADE DC_ F
DAC LE I `Ja
I ErPAAGE TO Ir.ETfE'E
I FPEM :ES" ;Ea ��.0 U ice[
PIED E.,(Arp ora Nar_rq
EP.L 3•,+iE. A- EI IM TTLIEu4H'
:F✓O CF:, r. P .....
AUTOMOBILE LIABILITY
[ A'JY ALI V
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P D 1UTO''
1, VV`h,L A, 11,5
T.OF ET. E-S 1_%L- _'A
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FN(t E 'LAMA'J=
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GARAGE LIABILITY '.
'NYAIJT:I
' ATE ONLY - E., - CE`J'
A::
i -HEG THAN
$
I IT Al, ,,,rs
LXCESSIUMBRELLA LIABILITY
J=L,V'_ 13LE
-ETEN 7^.i §
F ^.1 '' 1 I I M-E `!t:'E
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WORKERS COMPENSATION AND ''
I EMPLOYERS' LIABILITY
AP1'r PRO'PIETCP,DART NER,E'<ECLTRIE
E IOE' ENDS. _.:-JDE:,7 !
AL'I I��z. balav, 'i
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F , VI I -n
E Th1 CAC -"TNT
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$
A
A
OTHERI.
Professional Liability !PHSD672187
Professional Liability 1PHSD672187
912412011 9124/2012
912412011 912412012
!,
Each Wrongful Act
lAnnual Aggregate
$2,000,000
$2,000,000
DESCRIPTION OF OPERATIONS 1 LOCATIONS I VEHICLES! EXCLUSIONS ADDED BY ENDORSEMENT ' SPECIAL PROVISIONS
'Except 10 days notice of cancellation for non-payment of premium.
Proof of Insurance.
CERTIFICATE HOLDER
CANCELLATION
City of National City
clo City Attorneys Office
1243 National City Blvd
National City, CA 91950-4301
SHOULD ANY OF TFE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE THE EXPIRATION
DATE THEREOF, THE ISSUING INSURER 'WILL ENDEAVOR TO MAIL 30 DAYS l'RITTEN
NOTICE TO THE CERTIFICATE HOLDER NAMED TO THE LEFT, BUT FAILURE TO DO SO SHALL
IMPOSE NO OBLIGATION OR _IABILRY OF ANY KIND UPON THE INSURER. ITS AGENTS DR
REPRESENTATIVES.
AUTHORIZED REPRESENTATIVE
ACORD 25 (2001/08)
ACORD CORPORATION 1988
ThNBS'
32605 Temecula Parkway, Suite 100
Temecula, CA 92592
Toll free: 800.676.7516 (P) 951.296.1997
nbsgov.com
April6, 2012
Ginny Miller
Executive Assistant to the City Attorney
City of National City
1243 National City Blvd
National City, CA 91950-4301
RE: Agreement Between NBS and the City of National City
Dear Ginny,
Enclosed please find two (2) copies of the above referenced agreement. I've also enclosed the
insurance certificates. Please remit one fully executed copy to my attention once all signatures have
been obtained:
Geralin Reyes
NBS
32605 Temecula Parkway, Suite 100
Temecula, CA 92592
Please call me with any questions at 800.676.7516
Geralin Reyes
greyes@nbsgov.com
helping communities fund tomorrow
CITY OF NATIONAL CITY
OFFICE OF THE CITY ATTORNEY
1243 National City Boulevard, National City, CA 91950-4301
Claudia G. Silva • City Attorney
Phone: (619) 336-4220 Fax: (619) 336-4327 TDD: (619) 336-1615
E-mail: Attorney@nationalcityca.gov
TO: City Clerk
FROM: Ginny Miller, Legal Assist
SUBJECT: Agreement between City an
DATE: April 10, 2012
Attached please find an original, fully -executed Agreement between the City and NBS for your
files. I have sent the other original to NBS..
Thank you.
Attachment
CALIFORNIA
Mayor
Ron Morrison
Council Members
Alejandra Sotelo-Solis
Louis Natividad
Mona Rios
April 10, 2012
Brian Brown
NBS Consultant
32605 Temecula Parkway
Suite 100
Temecula, CA 92592
NATIONAL CJTir
INCORPORATED
Office of the City Attorney
City Attorney
Claudia Gacitua Silva
Deputy City Attorney
Jennifer Knight
RE: Agreement with the City of National City
Dear Mr. Brown:
Enclosed please find a fully -executed original Agreement between the City of National City and
NBS for your files.
Very truly yours,
Ginny Miller
Legal Assistant
Enclosure
cc: City Attorney
t..City Clerk
1243 National City Boulevard; National City, California 91950-4301
Tel.: (619) 336.4220 Fax: (619) 336.4327