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3897 time the annual Contractors Compensation adjustment process is performed in 3898 accordance with Section 11.02, and Contractor may be compensated retroactively 3899 for such cost subject to Agency approval. 3900 1. Provision of emergency services pursuant to Section 7.08. 3901 2. Flood, earthquake, or other similar catastrophic event affecting the Agency 3902 which is beyond the control of and not the fault of the Contractor. 3903 3. Change in Law occurring after January 1, 2011. 3904 4. Changes in the Rates charged for Backyard Collection Service and/or Curbside 3905 Collection Service that alter the price differential between the two, causing 3906 Customers to migrate from one to the other, with the result of increasing or 3907 decreasing Contractor's annual cost of operation by two percent (2%) or more. 3908 A special compensation review must be requested by Contractor, or initiated by 3909 Agency, within twelve (12) months after one of the above-described events has 3910 occurred unless otherwise agreed to by the Agency. 3911 B. Ineligible Items. A special review of Contractor's Compensation may not be 3912 initiated for any of the following reasons: 3913 1. Increases or decreases in Contractor's cost of operations in excess of the 3914 adjustments provided through the annual adjustment mechanism described in 3915 Attachment K. 3916 2. Growth or decline in the number of Customers or their service levels, with the 3917 exception of adjustments described in Attachment K. 3918 3. Changes in the mix of Container sizes or frequency of Collection, with the 3919 exception of adjustments described in Attachment K. 3920 C. Review of Costs. Agency shall have the right to review any and all financial and 3921 operating records of Contractor. Agency will take into account the net overall impact 3922 of the event on Contractor's Compensation, including reductions in cost resulting 3923 from curtailments in service levels or other factors. 3924 D. Submittal of Request. Contractor must submit its request for a special review in a 3925 form and manner specified by the Agency, together with required cost and 3926 operational data. Agency will review the request and determine the amount owed, if 3927 any, to Contractor and the time period to be covered by special compensation 3928 circumstances. 3929 E. Burden of Justification. In a special compensation review under this Section, 3930 Contractor shall bear the burden of justifying to the Agency by substantial evidence 3931 its entitlement to continuation of current, as well as any increases in, Contractor's 3932 Compensation. If the Agency determines that the Contractor has not met its 3933 burden, it shall notify Contractor that it is prepared to deny Contractors request for 3934 an increase in compensation, or to proceed with a reduction in compensation. 3935 Within ten (10) Days after such notice, Contractor may request a hearing before the 3936 Agency's governing body to produce additional evidence. Upon such request, the 3937 Agency shall provide a hearing before the Agency governing body. REV: 03-16-18 MI Page 95 of 126 ATTY/AGR.2018.054/Recology of San Mateo