Agmt10 Recology San Mateo County

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• • 3633 Through Costs, and the allocation of costs among Member Agencies contained in 3634 the final Report shall be binding on Contractor and Agency. 3635 11.05 SPECIAL COMPENSATION REVIEW 3636 A. Eligible Items. The Contractor may apply to the Agency for consideration of a 3637 special review of Contractor's Compensation, and the Agency may initiate such a 3638 review, if one or more of the following occur and cause an increase in or decrease 3639 to Contractor's Compensation by two percent (2 %) or more for the then - current 3640 Rate Year: 3641 1. Provision of emergency services pursuant to Section 7.08. 3642 2. Flood, earthquake, or other similar catastrophic event affecting the Agency 3643 which is beyond the control of and not the fault of the Contractor. 3644 3. Change in Law occurring after the Effective Date. 3645 4. Changes in the rates charged for Backyard Collection Service and /or Curbside 3646 Collection Service that alter the price differential between the two, causing 3647 Customers to migrate from one to the other, with the result of increasing or 3648 decreasing Contractor's annual cost of operation by two percent (2 %) or more. 3649 A special compensation review must be requested by Contractor, or initiated by 3650 Agency, within twelve (12) months after one of the above - described events has 3651 occurred. 3652 B. Ineligible Items. A special review of Contractor's Compensation may not be 3653 initiated for any of the following reasons: 3654 1. Increases or decreases in Contractor's cost of operations in excess of the 3655 adjustments provided through the annual adjustment mechanism described in 3656 Attachment K. 3657 2. Growth or decline in the number of Customers or their service levels, with the 3658 exception of adjustments made when determining Contractor's Compensation 3659 for Rate Year One (2011) and Rate Year Three (2013). 3660 3. Changes in the mix of Container sizes or frequency of Collection, with the 3661 exception of adjustments made when determining Contractor's Compensation 3662 for Rate Year One (2011) and Rate Year Three (2013). 3663 C. Review of Costs. Agency shall have the right to review any and all financial and 3664 operating records of Contractor. Agency will take into account the net overall impact 3665 of the event on Contractor's costs, including reductions in cost resulting from 3666 curtailments in service levels or other factors. 3667 D. Submittal of Request. Contractor must submit its request for a special review in a 3668 form and manner specified by the Agency, together with required cost and 3669 operational data. Agency will review the request and determine the amount owed, if 3670 any, to Contractor and the time period to be covered by special compensation 3671 circumstances. 3672 E. Burden of Justification. In a special compensation review under this section, 3673 Contractor shall bear the burden of justifying to the Agency by substantial evidence Franchise Agreement for Collection Services with Recology San Mateo County City of Redwood City ATTY /AGR/2010.014 040510 Page 91 of 115