AgdaPkt 2018-03-26 Joint SA PFA - Laserfiche WebLink

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REV: 03-16-18 MI ATTY/AGR/2018.054/RECOLOGY OF SAN MATEO Page 89 of 119 11.02 DETERMINATION OF CONTRACTOR’S COMPENSATION 3660 A. Contractor’s Compensation for Rate Year Eleven (2021). Contractor’s 3661 Compensation for 2021 shall be determined in 2020 by adjusting Contractor’s 3662 projected 2021 Contractor’s Compensation shown on Attachment N to reflect the 3663 following factors: 3664 • Change in Customer account and service levels as provided in Attachment K; 3665 and, 3666 • Change in fuel prices as provided in Attachment K. 3667 B. Different Compensation Methods for Other Member Agency. If Contractor enters 3668 into a franchise agreement with any other Member Agency which uses a substantially 3669 different methodology for calculating Contractor's Compensation than that set forth in 3670 Article 11 and Attachments K and N of this Agreement, then (i) for purposes of 3671 calculating Contractor's Compensation under this Agreement, Contractor's costs of 3672 providing service to such other Member Agency shall continue to be calculated using 3673 the methodology set forth in Attachments K and N, and, (ii) Contractor's 3674 Compensation for providing service to such other Member Agency shall be as set 3675 forth in the franchise agreement between it and Contractor. Any such franchise 3676 agreement shall (i) implement the performance incentives and disincentives provided 3677 for in this Agreement, and, (ii) require Contractor to pay sums due to SBWMA for 3678 delivery of materials from such Member Agency to Shoreway Recycling and Disposal 3679 Center. 3680 C. Reserved 3681 D. Contractor’s Compensation for Subsequent Rate Years. Contractor’s 3682 Compensation shall be adjusted annually, commencing with the determination of 3683 Contractor’s Compensation for Rate Year Twelve (2022) and continuing through the 3684 remaining Term including any extension periods to reflect inflation (or deflation), 3685 changes in service levels, and the difference between Contractor’s Compensation 3686 approved for the prior Rate Year (e.g., 2021) and Net Revenues Billed (e.g., 2021) 3687 and similarly for subsequent Rate Years. 3688 E. No Changes for Actuals. During the Term, no changes to Contractor’s 3689 Compensation will be made to reflect actual costs, actual profit, or actual Contractor 3690 Pass-Through Costs, except for adjustments related to vehicle acquisition costs, as 3691 provided in Attachment K. 3692 F. Change in Contractor’s Compensation for Rate Years Eight, Nine, and Ten 3693 (2018, 2019, 2020). The Contractor’s Compensation for Rate Years Eight, Nine, and 3694 Ten (2018, 2019, 2020) shall be determined in accordance with the procedures 3695 specified in Attachment K of the 2009 Franchise Agreement with the following 3696 exceptions: 3697 1. In Rate Years Eight, Nine, and Ten (2018, 2019, 2020), an adjustment shall be 3698 made to allocated indirect costs to account for a reduction in the staffing of 3699 Contractor’s Waste Zero Specialists (from 8 full-time positions to 6 full-time 3700 positions). The adjustment shall be made by adding a new line item to the 3701 6.2.B. - Page 102