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<br />78 <br />Attachment 2 Page 33 <br /> <br />SBWMA Contractor Selection Process <br /> <br />Executive Summary <br /> <br />Summary of SBWMA Board Recommendations <br /> <br />. Certificate of deposit payable to the SBWMA or member agency <br />with interest accruing to the benefit of the contractor (new) <br /> <br />- The amount of the contractor's performance surety shall be as follows: <br /> <br />. Each member agency shall determine the amount of the surety for <br />future collection agreements (unchanged) <br /> <br />. The SBWMA shall require a $2 million surety for the future <br />Shoreway operating agreement (unchanged) <br /> <br />. For the future off-site recyclable materials and organic materials <br />processing agreements, the SBWMA shall require a surety equal <br />to one twelfth of the contractor's first-year annual compensation <br />( new) <br /> <br />- Contractor's failure to comply with performance surety requirements shall <br />be an event of default, which can lead to termination of the agreement <br />(unChanged) <br /> <br />. Termination RiQhts. The future contracts shall include rights for the SBWMA or <br />member agencies to terminate the agreement for cause in the event of: <br /> <br />- Default <br /> <br />- Endangerment of public health, safety, or welfare <br /> <br />- Felonious conduct or misdemeanors related to the performance of the <br />contract <br /> <br />- Damage or destruction of facilities <br /> <br />- Assignment without consent <br /> <br />. Defaults and Remedies <br /> <br />- Default shall include, at a minimum, the following events: <br /> <br />. Failure to maintain insurance coverage as required by the <br />agreement and failure to comply with performance surety <br />requirements <br /> <br />· Failure to provide assurance of performance <br /> <br />. Failure to pay member agency/SBWMA or provide reports or <br />records to member agency/SBWMA <br /> <br />· Failure to perform collection, processing, and/or transfer service for <br />two or more consecutive days, for any reason within the control of <br />Contractor <br /> <br />. Seizure, attachment, or levy on, some or all of the contractor's <br />equipment <br /> <br />. Fraud or deceit upon the member agency or SBWMA <br /> <br />HF&H Consultants. LLC <br /> <br />E8-12 <br />