Loading...
HomeMy Public PortalAbout09-7894 Productive Change Order for Johnson Control Sponsored by: City Manager RESOLUTION NO. 09-7894 A RESOLUTION OF THE CITY COMMISSION OF THE CITY OF OPA-LOCKA, FLORIDA, APPROVING A DEDUCTIVE CHANGE ORDER IN THE AMOUNT OF ONE HUNDRED AND FIFTY THOUSAND DOLLARS ($150,000.00) AND RELATING TO RESOLUTION 06-6929 FOR WORK NOT PERFORMED BY JOHNSON CONTROLS, INC. AND ASSOCIATED WITH THE REPLACEMENT AND INSTALLATION OF AN AUTOMATED METER READING SYSTEM WHEREAS, the City Commission of the City of Opa-locka ("City Commission") passed and adopted Resolution No. 06-6929, authorizing the City Manager of the City of Opa-locka ("City") to enter into and execute a performance contract with Johnson Controls, Inc. (JCI), in the amount of Three Million Three Hundred Seventy Two Thousand Five Hundred and Forty Three Dollars ($3,372,543.00) for water meter replacement and installation of an automated meter reading system; and WHEREAS, Schedule 1 of the Agreement between the City and JCI outlined the scope of work for JCI and provided for the installation of a wireless camera and video system throughout the City; and WHEREAS,the wireless camera and video system was never installed as provided for in the Agreement, and WHEREAS, the City and JCI desire to execute a deductive change order to recapture funds expended by the City for the installation of the wireless camera and video system in the total amount of One Hundred and Fifty Thousand Dollars ($150,000.00); and Resolution No. 0 9-7 8 9 4 WHEREAS, the City Manager is requesting that the City Commission approve the deductive change order to recapture funds expended by the City to Johnson Controls, Inc. in the amount of One Hundred and Fifty Thousand Dollars ($150,000.00). NOW, THEREFORE, BE IT DULY RESOLVED BY THE CITY COMMISSION OF THE CITY OF OPA-LOCKA, FLORIDA: Section 1. The recitals to the preamble are hereby incorporated by reference. Section 2. The City Commission of the City of Opa-locka hereby approves a deductive change order in the amount of One Hundred and Fifty Thousand Dollars ($150,000.00) for work authorized by Resolution No. 06-6929, which was not performed by Johnson Controls, Inc (JCI). The City Commission further authorizes the City Manager to recapture funds paid by City for a wireless camera and video system associated with the replacement and installation of an automated meter reading system. Section 3. This resolution shall take effect immediately upon adoption. PASSED AND ADOPTED this 2 2 day of JULY , 2009. --JOSEPH L KE EY MAYOR Attest: Approved a to form and legal sufficiency: C / / �.eborah . Irby B ,rnadet orr':-Weeks City Clerk City orney Resolution No. 0 9—7 8 9:4 Moved by: JOHNSON Seconded by: HOLMES Commission Vote: 4-0 Commissioner Holmes: YES Commissioner Johnson: YES Commissioner Tydus: NOT PRESENT Vice-Mayor Taylor: YES Mayor Kelley: YES 0 P- OC Q Ae O 9y; \O�OAAT% Memorandum TO: Mayor Joseph L.Kelley Vice-Mayor Myra L.Taylor Commissioner Ti - by Hohnes Commissioner rothy Johnson Commissioner /'ose Tydus FROM: Bryan K.Finnie, erim City Manager DATE: June 10,2001e, ! r RE: AUT . ' ZATION FOR THE CITY MANAGER TO ACCEPT A DEDUCTIVE CHANGE TO THE CONTRACT WITH JOHNSON CONTROL, INC. Request: A RESOLUTION OF THE CITY COMMISSION OF THE CITY OF OPA-LOCKA, FLORIDA, AUTHORIZING THE CITY MANAGER TO ACCEPT A ONE HUNDRED FIFTY THOUSAND DOLLARS AND ZERO CENTS ($150,000.00) DEDUCTIVE CHANGE ORDER TO THE EXISTING CONTRACT WITH JOHNSON CONTROLS,INC.(JCI) Description: The contract between Johnson Control, Inc. and the City of Opa-locka allows the City to recapture monies allocated for the purchase of a remote camera system, if so desired. Financial Impact: This item is revenue positive in the amount of $150,000. If the Commission approves the reallocation of funds to purchase 800 additional water meters, the combined items will be revenue positive in the amount of$15,140. Implementation Time Line: The revised contract completion date is April 31, 2009. Legislative History: Resolution#06-6929 Recommendation(s): Staff recommends approval. Analysis: In lieu of implementing a remote camera system at this time, it is the recommendation of staff to recapture$150,000 and utilize those funds to purchase 800 meters which are currently needed and were not included in the original JCI contract. Attactment(s): 1. Resolution#06-6929 2. Copy of Deductive Change Order from Johnson Control. PREPARED BY: Fritz Armand,Public Works Director END OF MEMORANDUM JfEHNSON CONTR LS CHANGE ORDER REQUEST Project: City of Opa-Locka, Florida C.O.Request No.: 0004 777 Sharazad Blvd. From(Contractor): Johnson Controls, Inc. Opa-Locka,Fl 33054 To: Fernand Thony Date: April 24,2009 NE Project No.: Re: Deductive Change Order Contract For: This Change Order Request is Based on"Request for Proposal"Number:N/A 1. $150,000 deductive change to the contract for not providing Remote Camera System 2. Revised project completion date of 4/31/2009 Reason For Change: Installation of new Camera System not performed,at clients request. This Change Will Involve a Contract Price Modification: Yes X No This Change Will Involve a Time Modification: Yes X No If Time Extension Required—New Completion date:April 24,2009 Total amount of Contract prior to this change request $3,298,500 Total amount of this change order including all costs for the above scope of work: -$150,000 Total amount of this contract as revised by this Change Order $3,148,500 Unless specifically changed by this Change Order,all terms,Conditions and provisions of the"Agreement Between Owner and Contractor"dated 02.28.2006 remain unchanged and in full effect. OWNER JOHNSON CONTROLS,INC. Name:(typed) Name:(typed) Name:(typed) Title: Title: Title: Signature: I Date: Signature: Date: Signature: I Date: Return signed original document to Johnson Controls,Inc. Sponsored by: City Manager Resolution No 0 6-6 9 2 9 A RESOLUTION OF THE CITY COMMISSION OF THE CITY OF OPA-LOCKA, FLORIDA AUTHORIZING THE CITY MANAGER TO ENTER INTO AND EXECUTE A PERFORMANCE CONTRACT WITH JOHNSON CONTROLS, INC (JCI) FOR WATER METER REPLACEMENT AND INSTALLATION OF AND AUTOMATED METER READING SYSTEM(AMR),IN SUBSTANTIALLY THE FORM ATTACHED HERETO IN AN AMOUNT NOT TO EXCEED THREE MILLION THREE HUNDRED SEVENTY TWO THOUSAND FIVE HUNDRED FORTY-THREE DOLLARS ($3,372,543.00) WHEREAS, the City of Opa-locka wishes to undertake the replacement of its water meters through the installation of a fixed-based AMR system; and WHEREAS, the objective of installing a fixed-based AMR system is to reduce man-hours required for each billing cycle and improvement in the accuracy of the water meters; and WHEREAS, water meter improvements to be performed by JCI will include all materials, hardware, software, labor and training to complete the installation of water meters. NOW,THEREFORE,BE IT DULY RESOLVED BY THE CITY COMMISSION OF THE CITY OF OPA-LOCKA, FLORIDA: Section 1. The recitals to the preamble herein are incorporated by reference. Section 2. The City Manager is hereby authorized to enter into and execute a performance contract with JCI,in substantially the form attached hereto,for water meter replacement and installation of an AMR system,in an amount not to exceed three million three hundred seventy- two thousand five hundred forty-three dollars (3,372,543.00). PASSED AND ADOPTED this 5 day of JULY , 2006. Resolution No. 06-6929 VICE MAYOR Attest to: Approved as to f. T PP d legal sufficiency: / e CITY CLERK `�_ _ CI pA'I/Pf atall E Moved by: COMMISSIONER HOLMES Second by: COMMISSIONER JOHNSON Commission Vote: 3-0 Commissioner Tydus: NOT PRESENT Commissioner Holmes: YES Commissioner Johnson: YES Vice-Mayor Pinder: YES Mayor Kelley: NOT PRESENT Resolution/Performance Contract with Johnson Controls,Inc.-Water Meter Replacement-6-06 07/11/2006 TLE 15:04 FAX 954 i 0407 Johnson Controls Inc, a 001/032 PERFORMANCE CONTRACT PARTIES: JOHNSON CONTROLS, INC.(JCI) 3300 Corporate Ave,Suite 100 Weston, FL 33331 City of Opa-Locka, FL. (Customer) 777 Sharazad Blvd. Opa-Locka,Fl.33054 • AGREEMENT DOCUMENTS: In addition to the terms and conditions of this Performance Contract,incorporated into this Agreement are the following(check as applicable). ® Schedule 1–Scope of Work Schedule ►C4 Schedule 2–Assured Performance Guarantee Schedule ® Schedule 3--Services Schedule 0 Schedule 3–Exhibit 1 Schedule 4—Price and Payment Terms Schedule 10 Schedule 4a–Cash Payment Schedule OR ❑ Schedule 4b--Lease/Purchase Schedule 1. SCOPE OF THE AGREEMENT. Johnson Controls, INC will complete the detailed study(commercial meters)to verify that a budget neutral solution is achievable for the scope identified in Schedule 1 of this agreement. Once verified,Johnson Controls will implement the improvements detailed in the scope section of this agreement,or at Johnson Control's option cancel this agreement if the detailed study reveals insufficient Guaranteed Project Benefits to implement a budget neutral solution as described. Any modifications required after the detailed study to achieve a budget neutral solution will be presented as change orders to this agreement. If Johnson Controls elects to cancel this agreement due to inability to achieve a budget neutral solution after the detailed study,the Customer will have no financial obligation to Johnson Controls and Johnson Controls shall have no further obligation to the Customer After a budget neutral solution is achieved,JCI agrees to install identifiable improvement measures as delineated in Scope of Work Schedule(Schedule 1)which will result in Project Benefits as set forth in the Assured Performance Guarantee(Schedule 2). After installation of the improvement measures,JCI agrees to provide the services identified in Services Schedule(Schedule 3),that include services that are necessary to monitor,measure,and achieve the identified Project Benefits,subject to the terms of the Assured Performance Guarantee(Schedule 2). The Customer • agrees to take all actions identified in this Agreement that are necessary to achieve the Project Benefits identified. JCI shall supervise and direct the Work and Services and shall be solely responsible for all construction means, methods,techniques,sequences,and procedures and for coordinating all portions of the Work and Services under this Agreement. JCI shall be responsible to pay for all labor, materials,equipment,tools,construction equipment and machinery,transportation,and other facilities and services necessary for the proper execution and completion of the Work,whether temporary or permanent and whether or not incorporated or to be incorporated in the Work and Services. The Customer's payments to JCi and its interest in the Equipment will be based upon the terms of Schedule 4. Johnson Controls, Inc. intends to execute certain portions of work described in the Scope of Work Schedule thru subcontracted and procured services from certain subcontractors; US Bronco Services,Inc(installation of meters and AMR technology)and AMR international (Drive-By Meter Reading Technology).Those companies are preferred by the City of Opa-Locka. 2. TERM. The Term of this Agreement shall begin on the Commencement Date,which shall be June 28,2006 or,if no date is included,the date of this Agreement If the Work is divided into phases or individual projects for which individual prices have been negotiated,then separate Commencement bates shall apply to each phase or individual project. The Work shall be completed by the Substantial Completion Date,which shall be the earlier of: (a) the date on which the Customer executes a Certificate of Substantial Completion;or (b) 180 days after the Commencement Date,subject to adjustments as set forth in Paragraph 3 below. If the Work is divided into phases or individual projects for which individual prices have been negotiated,then Page 1 of 32 Performance Contract(Rev 14) 07/11/=2006 TCE 15:04 FAX 954 ) 0407 Johnson Controls Inc. 2002/032 separate Substantial Completion Dates shall apply to each phase or individual project. Substantial Completion means that JCI has provided sufficient materials and services to permit the Customer to operate the Equipment or achieve the intended Project Benefits. The Services shall commence on the Substantial Completion Date and shall continue for 96 months. The term of the Assured Performance Guarantee(see Schedule 2)shall coincide with the term of the Services Schedule(see Schedule 3). If for any reason,the Customer cancels or breaches this Agreement, including but not limited to the Service Schedule,the Assured Performance Guarantee shall automatically terminate. The Payment Term shall be defined in Price and Payment Term Schedule(Schedule 4). 3. DELAYS. If JCI is delayed in the commencement or completion of the Work and/or Services by causes beyond its control and without its fault or negligence,including but not limited to inability to access property,fire,flood,labor disputes, unusual delays in deliveries,abnormal adverse weather conditions,acts of God,acts of war and acts of terrorism or by failure by the Customer to perform its obligations under the Performance Contract and Schedules or failure by the Customer to cooperate with JCI in the timely completion of the Work,then JCI shall provide written notice to the Customer of the existence, extent of.and reason for such delays. An equitable adjustment in Substantial Completion Date,Payment Terms and Assured Performance Guarantee shall be made as a result. ACCESS. Customer is responsible to provide JCI,its subcontractors and/or its agents reasonable and safe access to all facilities and properties that are in the Customer's control which are subject to the Work and Services contained in this Agreement. Customer further agrees to assist JCI,its subcontractors and/or its agents to gain access to facilities and properties that are not controlled by the Customer which are subject to the Work and Services contained in this Agreement. An equitable adjustment in Substantial Completion Date, Payment Terms and Assured Performance Guarantee shall be made as a result of any failure to grant such access. 4. CERTIFICATE OF SUBSTANTIAL COMPLETION. The Certificate of Substantial Completion to be executed by the Customer shall include: a_ an acknowledgement by the Customer of the Improvement Measures substantially completed and the Substantial Completion Date for each Improvement Measure; b. an acknowledgment by the Customer of receipt of manuals and training provided by JCI under the Agreement; c. an acknowledgement by the Customer of the warranty start date and warranty period; d. a punchlist of items remaining to be completed by JCI and, e. an acknowledgement by the Customer that (I) JCI does not warrant against system malfunction caused by improper use,misuse or wrong entry of data by the customer,and JCI shall not be liable for situations or damages that are the direct result of user-generated databases. _ 5. TAXES,PERMITS,AND FEES. JCI shall be responsible for obtaining all permits and related permit fees associated with the Work and Services. JC1 shall pay sales,consumer,use,and other similar taxes and shall secure and pay for the building permit and other permits and governmental fees,licenses,and inspections necessary for proper execution. The Customer shall be responsible for securing any necessary approvals,easements,assessments,or zoning changes and shall be responsible for real estate and personal property taxes where applicable. JCI makes no representations regarding the tax implications or Customer's accounting treatment of this Agreement. 6. WARRANTY. JCI warrants that materials and equipment furnished by JCI will be of good quality and new;that the Work will be free from defects not inherent in the quality required or permitted;and that the Work and Services will conform to the requirements of the Agreement Documents. JCI warrants that the Work shall be free from defects in material and workmanship arising from normal usage for a period of one year from the Substantial Completion Date and that its Services will be free from defects in workmanship,design,and material until the end of the Term,or for one year,whichever is earlier. Upon written notice from the Customer,JCI shall,at its option,repair or replace the defective Work or re-perform defective Services. These warranties do not extend to any Work or Services that have been abused,altered,misused,or repaired by the Customer or third parties without the supervision of and prior written approval of JCI;or if JCI serial numbers or warranty date decals have been removed or altered.The Customer Page 2 of 32 Performance Contract(Rev 14) `07/11/2006 TLE 15:05 FAX 954 1 0407 Johnson Controls Inc, 003/032 must promptly report any failure of the Equipment to JCI in writing. All replaced Equipment or parts become JCI's property. THESE WARRANTIES ARE IN LIEU OF ALL OTHER WARRANTIES,EXPRESS OR IMPLIED,INCLUDING BUT NOT LIMITED TO THOSE OF MERCHANTABILITY AND FITNESS FOR A SPECIFIC PURPOSE. Customer understands that JCI is a provider of services under this Agreement. JCI shall not be considered a merchant or a vendor of goods. If JCi installs or furnishes a piece of equipment under this Agreement,and that equipment Is covered by a warranty from the manufacturer,JCI will transfer the benefits of that manufacturer's warranty to Customer If this Agreement with Customer terminates before the equipment manufacturer's warranty expires.Those warranties for both Meters and Automation Metering Reading technologies will be provided by Johnson Controls to the City of Opa-Locka in writing and will be added to this contract as attachments. 7. CLEANUP. JCI shall keep the premises and the surrounding area free from accumulation of waste materials or rubbish caused by the Work and,upon completion of the Work,JCI shall remove all waste materials,rubbish,tools, construction equipment,machinery,and surplus materials. 8. SAFETY. ,ICI shall be responsible for initiating,maintaining,and supervising all safety precautions and programs in connection with the performance of the Work or Services. JCI shall comply with all applicable laws,ordinances, rules, regulations,and lawful orders of public authorities related to safety of persons or property. 9. HAZARDOUS MATERIALS. Unless specifically noted in Schedule 1,JCI's obligations expressly exclude any Work or Services of any nature associated or connected with the identification,abatement,cleanup, control, removal,or disposal of hazardous materials or substances,including but not limited to asbestos,lead or PCBs, in or on the premises in which JCI will be required to perform Work. The Customer warrants and represents that,to the best of the Customer's knowledge,there is no asbestos or other hazardous materials in the Customer's premises in which JCI will be required to perform Work that will in any way affect JCI's Work. Should JCI become aware of or suspect the presence of asbestos or other hazardous materials,JCI shall have the right to stop work in the affected area immediately and notify the Customer. The Customer will be responsible for doing whatever is necessary to correct the condition in accordance with all applicable statutes and regulations. The Customer agrees to assume responsibility for any claims arising out of or relating to the presence of asbestos or other hazardous materials in the Customer's buildings or any premises in which.ICI will be required to perform Work. 10. INSURANCE. Prior to commencing the Work,JCI shall provide a certificate of insurance with Contractor showing its insurance coverage's,and JCi shall maintain such insurance in full force and effect at all times until the Work and • Services have been completed,in the following minimum amounts: COVERAGES LIMITS OF LIABILITY Workmen's Compensation Insurance or self insurance, Statutory including Employer's Liability Comprehensive General $5,000,000 One Occurrence Liability Insurance, including Contractual. $5,000,000 Each Aggregate Comprehensive Automobile Liability $5,000,000 Combined Insurance Single Limit The above limits are obtained through primary and excess policies. The Customer shall be responsible for obtaining any builder's risk insurance and shall assume full responsibility for any risk of loss to the Work. 11. INDEMNITY.The Customer assumes all risk and liability for the use,operation,and storage of the Equipment,and for injuries or death to persons or damage to property arising out of the use,operation,or storage of the Equipment, Page 3 of 32 Performance Contract(Rev 14) `07/11/2006 TUE 15:05 FE 954 ) 0407 Johnson Controls Inc, 8004/032 except for any injuries or death to persons or damage to property caused by the negligence of JCI, it employees, agents or assigns. JC1 shall indemnify and hold harmless the Customer, its employees,agents,and assigns against all claims,actions, damages,liabilities,and expenses,including attorney's fees, arising out of or related to any claims of patent infringement and any claims of construction or materialman's lien made by any subcontractor or materialman. JCI and the Customer agree that JCI shall be responsible only for such injury, loss,or damage caused by the intentional misconduct or the negligence act or omission of JCI.The obligations of JCI and of the Customer under this paragraph are further subject to paragraph 12 below. 12. LIABILITY AND FORCE MAJEURE. JCI shall not be liable under this Agreement in an amount in excess of its primary general comprehensive policy limits. Neither JCI nor the Customer will be responsible to the other for any special,indirect, or consequential damages arising in any manner from the Work or Services. Neither party will be responsible to the other for damages,loss,injury,or delay caused by conditions that are beyond the reasonable control,and without the intentional misconduct or negligence,of that party. Such conditions include,but are not limited to;acts of God;acts of Government agencies; strikes;labor disputes;fire;explosions or other casualties; thefts;vandalism;riots or war;acts of terrorism:or unavailability of parts, materials or supplies. If this Agreement covers fire safety or security equipment,the Customer understands that JCI is not an insurer regarding those services. JCI shall not be responsible for any damage or loss that may result from fire safety or security equipment that fails to perform properly or fails to prevent a casualty loss. JCI is also not responsible for any injury, loss,or damage caused by equipment that is not Covered Equipment,as defined in Schedule 3. 13. JCI'S PROPERTY. All materials furnished by and used by JCI personnel and/or JCI authorized subcontractors or agents at the installation site,induding documentation, schematics,test equipment,software,and associated media remain the exclusive property of JCI. The Customer agrees not to use such materials for any purpose at any time. The Customer agrees to allow JCI personnel and/or JCI authorized subcontractors or agents to retrieve and to remove all such materials remaining after installation or maintenance operations have been completed. The Customer acknowledges that all JCI software included is proprietary and will be delivered only under the provisions of an appropriate Software License Agreement that will limit its use to the system purchased under this Agreement. 14. DISPUTES. If a dispute arises under this Agreement,the parties shall promptly attempt in good faith to resolve the dispute by negotiation. All disputes not resolved by negotiation shall be resolved in accordance with the Commercial Rules of the American Arbitration Association in effect at that time,except as modified herein.All disputes shall be decided by a single arbitrator.A decision shall be rendered by the arbitrator no later than nine months after the demand for arbitration is filed,and the arbitrator shall state in writing the factual and legal basis for the award.No discovery shall be permitted.The arbitrator shall issue a scheduling order that shall not be modified except by the mutual agreement of the parties.Judgment may be entered upon the award in the highest state or federal court having jurisdiction over the matter.The prevailing party shall recover all costs, including attorney's fees, incurred as a result of the dispute. 15. MODIFICATIONS. Additions,deletions,and modifications to this Agreement may be made upon the mutual agreement of the parties in writing. The parties contemplate that such modifications may include but are not limited to the installation of additional improvement measures,energy conservation measures,facility improvement measures, and operational efficiency improvements or furnishing of additional services within the identified facilities,as well as other facilities owned or operated by the Customer. These modifications may take the form of additional phases of work or modifications to the original scope of Work or Services. 16. NOTICES. All notices or communications related to this Agreement shall be in writing and shall be deemed served if and when sent by facsimile or mailed by certified or registered mail to JCI at the address listed on page 1 of this Performance Contract and to JCI,ATTN:General Counsel-Controls,507 East Michigan Street, Milwaukee, Wisconsin,53202,and to Customer at the address listed on page 1 of this Performance Contract. 17. ADDITIONAL TERMS. A. Any failure of JCI to require strict performance by the Customer,or any waiver by JCI of any requirement under this Agreement, does not consent to or waive any subsequent failure or breach by the Customer. B. If any provision of this Agreement is invalid under any applicable law,that provision shall not apply, but the remaining provisions shall apply as written. C. The captions and titles in this Agreement are for convenience only and shall not affect the interpretation or meaning of this Agreement Page 4 of 32 Performance Contract(Rev 14) "07/11/2006 TILE 15:06 FAX 954 a 0407 Johnson Controls Inc, ?005/032 D. This Agreement is the full Agreement between JCI and the Customer as of the date it is signed. All previous conversations, correspondence,agreements,or representations related to this Agreement(including any Project Development Agreement)are not part of the Agreement between JCI and the Customer and are superceded by this Agreement. E. This Agreement shall be construed in accordance with the laws of the state of the Florida. F. If there is more than one Customer named in this Agreement,the liability of each shall be joint and several. G. Nothing in this Agreement shall be construed as constituting debt,liability or obligation to the City of rape-Locke, Florida. The City's obligation to make payments hereunder constitutes a current obligation payable from legally available funds. H. The Customer agrees to utilize the Florida State Term Contract conducted by the Department of Management Services as its justification for approving this Agreement and naming JCI as its sole provider of performance contracting services. The contract is a State Term contract authorized by Section 287.042(2)(a)of the Florida Statutes(2001)- A copy of the State Term contract justification paperwork is located in the Purchasing office. NOTICE JCI MAKES NO WARRANTIES AS TO THE EQUIPMENT EXCEPT AS SET FORTH ABOVE. City of Opa-Locka,Florida Johnson Controls,Inc. Signature: Signature: %-ta...1_ Printed Name: - annie R.Beverly Printed Name: Joel Lowery Title; City Manager Title: Regional Solutions Manager Date: /HO(. Date: 6/14170 ip V.. • ATTEST To: Approved:-as to form and ' ::.1egaal sufficiency! i' _Ai/ /1 nor= , pat field Irby - A Qu J• . - •, II City C1 rE. City Atte Da Page 5 of 32 Performance Contract(Rev 14) 07/11/2006 TLE 15:06 FAX 954 ) 0407 Johnson Controls Inc. 2006/032 Schedule 1 SCOPE OF WORK SCHEDULE 1. SUMMARY OF WORK: The following summarizes the Work to be provided by JCI under this Agreement, as further defined below: Scope Of Work Summary: 1. Water Meter Replacement: Replace water meters with new water meters with radio transmitters with for a complete Drive—by reading system.'" Size Quantity 5/8-3/4 4,619 1" 217 • 1 %" 112 2" 139 3" 2 4" 1 8" 3 installation work to be provided by US Bronco Services, Inc as subcontractor to Johnson Controls, Inc, AMR International Drive-by Meter Reading Technology with Eagle Talon Mobile Software. One Laptop computer with Truck mounting bracket and Antenna and 1 year of Software of Software Maintenance Fees (included). Installation and Integration to new billing system 2. Wireless CameraNideo System " Note: All meters will be replaced with new meters or retrofitted and/ or re-plumbed. All meters will be provided with AMR International EcoNet Eagle WCU brIve-by AMR system. The scope of work outlined in Schedule 1 includes:Water meter replacement. Under these improvements Johnson Controls will engineer,furnish and install replacement assets as listed below to improve operational efficiency and reliability.Replacement assets will match or exceed the existing assets currently in operation. In addition,the scope includes the installation of a wireless camera/video system. The Scope of Work shall include: • All work will be done in accordance with local,state,and federal license and permitting guidelines. • All work will be performed during normal business hours,unless agreed to by customer In advance. • All work will be scheduled and performed in areas with prior consent of an authorized agent of the facility. Page 6 of 32 Performance Centred(Rev 14) 07/11/2006 TIE 15:06 FAX 954 i 0407 Johnson Controls Inc, 2007/032 1.Water Meter Replacement Water meter improvements will be performed by JCI as described below. The objectives are to improve the accuracy of the water meters and to reduce the man-hours required for each billing cycle through the installation of a drive-by AMR system. Quantities and conditions are based upon information provided to JCI by the city. Quantities shall reflect the list contained in Table above. Meter Warranty will be per meter manufacturer published warranty and 30 days warranty on labor from date of installation. This improvement Measure includes all materials,hardware,software,labor, and training needed to complete the installation of water meters with quantities provided by the City of Opa-Locka. After installation has been completed,each unit will be programmed to function with the drive-by AMR system. Once the units have been installed and programmed,they will be read with the drive-by system to ensure all units are commissioned and functioning properly. Johnson Controls will install up to but no more than the meters listed above for each size. Any meters from above not installed will be provided to the City of Opa-Locka as inventory for future use. Automatic Meter Reading(AMR)Hardware and Software:AMR hardware will include the following items: - AMR International Drive-by system - Laptop Computer with Truck Mounting Bracket and Antenna - Reading Software - Custom interface to existing billing software - . Onsite installation and training Meter Boxes.Vaults&Roadways: Johnson Controls is responsible for repairing any damages to meter boxes,vaults, and roadways incurred as a result of installation. New meter boxes will be replaced with same type lid that is currently in place at each meter.Johnson Controls will install up to 2,500 small new meter boxes and 725 dual meter boxes,which will be composite meter boxes and bolt down lids, Upon approval of the Customer,Johnson Controls, Inc. may salvage undamaged meter box parts for reuse on this project Some areas of concrete and other hard surfaces may need to be broken-up to gain access to meters. In this instance,the area in question will be restored to,at minimum,the condition of the area prior to installation. Johnson Controls will be accountable for any work in repairing the area in question, including,but not limited to:masonry/brick,carpentry,asphalt,concrete,etc. Discosal:Johnson Controls is responsible for disposal of all waste,debris and materials resulting from the installation of water meters and AMR technology. AMR Training: Johnson Controls will provide a Meter representative for on-site training after the installation. The City of Opa-Locka will need to identify persons for training that will be responsible for;generating bills,reading the meters via radio read system and overseeing the new system. In addition,Johnson Controls will provide training to relevant City Meter Staff on the proper techniques for installation/replacement of new metes and AMR radios so the City will be positioned to support meters and AMR technology going forward.The City will identify individuals that will require training and coordinate availability with Johnson Controls. Water Shutoffs:Johnson Controls is responsible for shutting off the water to each meter serviced as well as notifying each customer of the water shutoff. Some assistance may be required by the City of Opa-Locka in notifying customers.The water meter teams will notify residential customers in person or through the use of door hangers left on the front door. In the case of large commercial customers such as:schools, hospitals, nursing homes or any other large commercial customer,special efforts will be made to ensure minimum disruption to their water needs. To prevent any damage from running flush valves or any other plumbing fixtures that are sensitive to water shutoff's,Johnson Controls will schedule the replacements with these commercial customers and will notify the maintenance personnel when turning the water back on to the facilities. Ultimately the responsibility of fixtures inside the buildings is the responsibility of the end user. Labor, Materials and Warranty Included in this provernent Measure All labor,material,and necessary equipment required for the installation of the equipment proposed are included in this Improvement Measure.Johnson Controls,Inc.is responsible for the labor and material cost to replace any meters that fail within 30 days of the final completion of meter replacement After 30 days the manufacturer warranty is in place and the installation of replacement water meter is the responsibility of the City of Opa-Locka,per water meter manufacturer's warranty,notwithstanding Section 6,page 2 of the Performance Contract Page 7of32 Performance Contract(Rev 14) '07/11/2006 TOE 15:07 FAX 954 0407 Johnson Controls Inc, I008/032 Utility Interruptions and Customer Support Required Customer support will be required during implementation of this Improvement Measure to obtain access to meter boxes/pits and to coordinate utility interruptions. Johnson Controls personnel will be responsible for adequate notification and coordination with appropriate City of Opa-Locke personnel to facilitate minimal disruption. 2.Wireless CameraNideo System Cameras:This project includes 6 cameras in various locations throughout the City.The camera images will be available in 5 portable laptop computers located inside the City police cars.The images will also be available at a central location (either City Hall or the Police Station).T.his includes training and one year of warranty.This system is expandable and allows for the addition of other communication services as well. EXCLUSIONS Asbestos-It is understood by Customer that Johnson Controls, Inc.and its subcontractors will not provide,nor be responsible for the identification,testing or removal of asbestos. If asbestos is encountered during construction,Customer will be solely responsible for its identification,testing,removal and/or encapsulation. Dated 7/I ,200 4 City of Opa-L ka,Florida JOHNSON CONTROLS,INC. Signature: Signature: Printed Name:Jannie R.Beverly Printed Name I Lowery Title:City Manager Title:Regional Solutions Manager Page 8 of 32 Performance Contract(Rev 14) 07/11/2006 TUE 15:07 FAX 954 ) 0407 Johnson Controls Inc. g009/032 Schedule 2 ASSURED PERFORMANCE GUARANTEE SCHEDULE • 1. DEFINITIONS. The following terms are defined for purposes of this Schedule as follows: Project Benefits are the Measured savings,cost avoidance&/or Billable Usage increases that occur in the Guarantee Term plus the Non-Measured savings,cost avoidance&/or Billable Usage increases achieved for that year as set forth in paragraph 3, Reconciliation,of this Schedule. Annual Guaranteed Project Benefits are the portion of the Total Guaranteed Project Benefits to be achieved in any one year of the Guarantee Term,calculated and adjusted as set forth in this Schedule. Annual Project Benefits are the Project Benefits achieved for any one year of this Agreement. Project Benefits Surplus is the amount by which the Annual Project Benefits that exceed the Annual Guaranteed Project Benefits in any one-year of the Guarantee Term. Project Benefits Shortfall is the amount by which the Annual Guaranteed Project Benefits exceeds the Annual Project Benefits in any one-year of the Guarantee Term. Guarantee Term is the term of this Assured Performance Guarantee. As outlined in paragraph 2 of this Agreement, the Guarantee Term shall coincide with the term of Services and shall be 96 months from the Substantial Completion Date,unless terminated earlier. Installation Period means the period between the Commencement Date and the first day of the month following the Substantial Completion Date. For purposes of the annual reconciliation, Project Benefits achieved during the Installation Period shall be considered Project Benefits achieved during the first year of the Guarantee Term. Measured Project Benefits are achieved and calculated as set forth in paragraph 3, Reconciliation,of this Schedule. Non-Measured Project Benefits are the Project Benefits that have been agreed by the parties will be deemed achieved on the Substantial Completion Date and are set forth in Exhibit 2 of this Schedule.JCI and the Customer agree that Non-Measured Project Benefits may include,but are not limited to,future capital or operational costs avoided as a result of this Agreement. Customer agrees and acknowledges that JCI shall not be responsible for the achievement of such Project Benefits,as the actual realization of those Project Benefits is not within JCI's control. Customer acknowledges that it has evaluated sufficient information to believe that the Non-Measured Project Benefits will occur. As a result,Non-Measured Project Benefits shall not be measured or monitored at any time during the Guarantee Term, but rather shall be deemed achieved on the Substantial Completion Date. Billable Usage Increases are the incremental increases in billable usage that occur as a result of guaranteed meter efficiency improvements as calculated in(Schedule 2, Exhibit 5)pursuant to billing information as provided by the Customer. Total Guaranteed Project Benefits are the Total Guaranteed Project Benefits to be achieved during the entire Guarantee Term,calculated and adjusted as set forth in this Schedule. Total Project Benefits are the Project Benefits achieved during the entire term of this Agreement. Equipment is the product(s)installed by JCI,its subcontractors and/or its agents as outlined in Schedule 1 (Scope of Work). Service is the scope of work provided by JCI,its subcontractors and/or its agents as outlined in Schedule 3(Service Schedule). Baseline is the mutually agreed upon calculated figures and/or usage amounts that reflect existing conditions and assumptions as set forth in Schedule 2,Exhibit 6. 2. GUARANTEE. Subject to the terms and conditions of this Agreement,JCI guarantees that the Customer will achieve $4.711,313.00 of Total Guarantee Project Benefits during the Term of the Agreement,and that this Annual Project Benefit will equal the amortized cost of Improvement Measures. Customer's sole remedy for breach of this guarantee shall be the actions set forth in Section 5 of this Schedule. Page 9 of 32 Performance Cpntravt(Rev 14) 07/11/2006 TUE 15:08 FAX 954 ) 0407 Johnson Controls Inc. I010/032 3. RECONCILIATION. Within 60 days after the Substantial Completion Date,or earlier if otherwise specified in this Performance Contract,JCI will calculate the Project Benefit achieved during the Installation Period and advise the Customer of the amount of such Project Benefits.The frequency and the methods of reconciliation to be used during the Guarantee Term have been approved by the Customer at the time that this Agreement was executed and are defined in the Exhibits attached to this Schedule. Except by mutual agreement of the parties,no changes to the frequency or methods of reconciliation may be made during the Guarantee Term;but,if a utility providing energy to the Customer modifies its method of billing during the Guarantee Term,or if the Customer changes its utility suppliers or method of purchasing,JCI may,at its option,adjust the reconciliation methods to methods appropriate to the utility's revised method of billing. Customer agrees and acknowledges that JCI shall not be responsible for the achievement of such Project Benefits, as the actual realization of those Project Benefits is not within JCI's control.Customer acknowledges that it has evaluated sufficient information to believe that the Non-Measured Project Benefits will occur. As a result,Non- Measured Project Benefits shall not be measured or monitored at any time during the Guarantee Term,but rather shall be deemed achieved on the Substantial Completion Date. 4, CHANGES IN USE. The Customer agrees to notify JCI,within five(5)business days,of any actual or intended change,whether before or during the Guarantee Term,in the use of any facility or equipment to which this Schedule applies,or of any other condition arising before or during the Guarantee Term,that reasonably could be expected to change the amount of Project Benefits to which this Schedule applies. Such a change or condition would include,but is not limited to: changes in the primary use of any facility;changes to the hours of operation of any facility;changes or modifications to the Equipment or Services provided under this Agreement;failure of the premises to meet local building codes;changes in utility suppliers,method of utility billing,or method of utility purchasing;improper maintenance of the Equipment or of any related equipment other than by JCI;changes to the equipment or to any facility required by changes to local building codes;or additions or deletions of equipment at any facility. Such a change or condition need not be identified in the Base Line in order to permit JCI to make an adjustment. Upon receipt of such notice,or if JCI independently learns of any such change or condition,JCI shall calculate and send to the Customer a notice of adjustment to the Base Line to reflect the impact of such change or condition,and the adjustment shall become effective as of the date that the change or condition first arose. Should the Customer fail to provide.JCl with notice of any such change or condition,JCI may make reasonable estimates as to the impact of such change or condition and as to the date on which such change or condition first arose in calculating the impact of such change or condition,and such estimates shall be conclusive. 5. PROJECT BENEFIT SURPLUSES OR SHORTFALLS. If the Annual Project Benefits during a specific year of the Guarantee Term are less than the Annual Guaranteed Project Benefits for that year,JCI may apply the difference against any unpaid balances from the Customer then existing under the Agreement. If there are any remaining amounts,JCI may,at the Customer's written election,pay the Customer any remaining Project Benefit shortfalls, however JC1 reserves the right to bill Customer for these Project Benefit shortfall payments from any immediately preceding year up to the amount of any excess benefit. Upon the mutual agreement of the parties,JCI may also provide additional products or services,in the value of the shortfall,at no additional cost to the Customer. Where Project Benefit shortfalls have occurred,JCI reserves the right,subject to the approval of the Customer,which shall not be unreasonably withheld,to implement additional operational improvements or conservation measures, at no cost to the Customer,that will generate additional Project Benefits in future years of the Guarantee Term.Such payment or credit shall be the sole and exclusive remedy of the Customer for any failure by JCI to achieve guaranteed Project Benefits under this Agreement,including any alleged breach of any other express or implied warranty of Project Benefits. Page 18 of 32 Performance Contract(Rev 14) 07/11/2006 TIE 15:08 FAX 954 ) 0407 Johnson Controls Inc, ?011/032 The following Exhibits are attached and made part of this Schedule: Exhibit 1 Annual Reconciliation&Guaranteed Project Benefit Allocation Exhibit 2 Non-Measured Project Benefits Exhibit 3 Responsibilities of JCI and Customer Exhibit 4 Unit Utility Rates and Costs Exhibit 5 Calculation of Base Line and Project Benefits O FEMP or IPMVP Option A ❑ FEMP or IPMVP Option B ® Water Meter Upgrades ❑ FEMP or IPMVP Option C ❑ FEMP or IPMVP Option D Exhibit 6 Pre-Retrofit Monthly Billable Revenue Data-Baseline(s) Exhibit 7 Pre-Retrofit Conditions—Baseline(s) Exhibit 8 Post-Retrofit Meter Guarantees&Exclusions Exhibit 9 Post-Retrofit Conditions Page 11 of 32 Performance Contract(Rev 14) 07/11/2006 TtE 15:08 FAX 954 0407 Johnson Controls Inc, 1012/032 Schedule 2 Exhibit 1 ANNUAL RECONCILIATION&GUARANTEED PROJECT BENEFIT ALLOCATION VP, f 1 th X� r f {i t N r. �l 1 J� ? A� '';;.',4. n I 1. : t balp &" X k1 4, u gr a , -4--, 'bt reE,„„ ,K,,# $ 7 *4N4 r' P i ..mi �01 ifr i , j8:t >.. 4 ,, i x,` i i , �' 4 „, " f rr:y ll U'5 W'1" "n r n I - t 41 n r iv +On •4 it ,",,• i 4" �a I '"fi " n < 0 4C.11 am,mmi t r c 7,,,, i v', ' '' ' mozom , u ltr,lt t„ - t ,3,i r J�rir """"- _ Construction $0 $0 $0 $0 1 $0 _ $74,000 $506,660 $580,660 2 $0 $76,220 $506,660 $582,880 3 $0 $78,507 $506,660 $585,167 4 $0 $80,862 $506,660 $587,522 5 $0 $83,288 $506,660 $589,948 6 $0 $85,786 $506,660 $592,446 _ 7 $0 $88,360 $506,660 $595,020 8 $0 $91,011 $597,671 Totals $0 $658,033 $4,053,280 $4,711,313 City of Opa-Locka,Florida: JOHNSON CONTROLS,INC. Initials: Initials_ rs_.) • Page 12 of 32 Performance Contract(Rev 14) 07/11/2006 TtE 15:09 FAX 954 ) 0407 Johnson Controls Inc, 1013/032 Schedule 2 Exhibit 2 Non-Measured Project Benefits The Project Benefits identified below shall be Non-Measured Project Benefits(as defined above)under this Schedule. The amount of the Non-Measured Project Benefits shall be deemed to increase during each year of the Guarantee Term by the escalation percentages set forth below. Source of Non-Measured Project Benefits First Year Project Benefits Escalation Truck and Labor Savings $74,000 3% TOTAL NON-MEASURED PROJECT $658,033.00 NIA BENEFITS(for term of contract) Truck Savings: Reduced cost of truck and truck related expenses. Labor Reallocation Savings: Result of re-assigning 2 meter reader positions. Total first year savings estimated at$74,000(including all benefits). City of Opa-Locka,Florida Johnson Controls,Inc. Signature: 44..L0-1/ Signature: (Alt, # `t e.. , •Printed Name: Jannie R.Beverly Printed Name: • .wery Title: City Manager Title: Regional Solutions Manager Date: 7/74 Date: (p � Page 13 of 32 Performance Contract(Rev 14) 07/11/2006 TUE 15:09 FAX 954 ' 0407 Johnson Controls Inc. Z014/032 Schedule 2 Exhibit 3 Responsibilities of JCI and Customer This Exhibit details the individual responsibilities of JCI and of the Customer, not otherwise set forth in this Performance Contract, in connection with the management and administration of the Assured Performance Guarantee. JCI Reseonsibilities Ensure all work complies with applicable codes and standards. Coordinate with Customer for water shutoff to City supplied customers. Compile savings reports and present results to the appropriate representative. Perform annual measurements per contract documents. Identify and report any deficiencies or corrections resulting from adverse changes or conditions affecting performance. Report any operational or retrofit opportunities that would further increase the efficiencies of the facilities, utilities or systems. Coordinate with Customer for scheduling areas during construction. Perform annual accuracy measurements on 1%of the water meter population as specified in Schedule 3. Perform annual accuracy measurements,calibration,and minor repair on eighteen(18)2"and larger meters each year. Provide data entry services for all pertinent information to be uploaded into the Customer's existing billing software during the installation period. Customer Responsibilities Provide for shutdown and scheduling of areas during construction. Provide assistance with notification and coordination of utility interruptions to minimize disruption to City supplied customers. Notify JCI of any major equipment additions or failures of any equipment or strategies that might impact savings. Provide routine maintenance of all owner systems and equipment affected by this agreement. • Planned Service Agreement must be paid as agreed and renewed annually to maintain Performance Contract savings and revenue guarantee. ' Maintain installed equipment using the same manufacturer and specifications that were installed or equivalent as approved by JCI. Provide access to all necessary buildings and equipment for JCI and their subcontractors in a timely manner during construction. All Facility Improvement Measures(FIMs)will be maintained,and kept in operation with equal or better replacement components. Provide all programming for new water meters that are installed after the completion of this contract City of Opa-Locke,Florida JOHNSON CONTROLS,INC. Initials: ��' • Initials: t1 --. 4 Page 14 of 32 Performance Contract(Rev 14) 07/11/2006 TUE 15:09 FAX 954 - 0407 Johnson Controls Inc, 0015/032 Schedule 2 Exhibit 4 Water&Sewer Rates and Costs All others(Commercial, Governmental, Industrial and Combination)based on Meter Size. Water and Sewer Rates 3/4 inch meters Monthly Rate .., $4.50 Base Water $4.49 Per 1,000 Sewer $3.15 Per 1,000 1 inch meters Monthly_Rate $43.75 Base Water $4.49 Per 1,000 Sewer $3.15 Per 1,000 1 1/2 inch meters w. Monthly Rate $50.00 Base Water $4.49 Per 1,000 Sewer $3.15 Per 1,000 2 inch meters _._._ Monthly Rate _ Base Water _ ....__ $4.49 Per 1,000 Sewer $3.15 Per 1,000 3 inch meters Monthly Rate _ $125.00 Base Water $4.49 Per 1,000 —..._... ...... Sewer -....__..__�..�-$3.15 Per 1,000 4 inch meters Monthly Rate — $160.00 Base Water) $4.49 Per 1,000 Sewer $3.15 Per 1,000 5 inch meters Monthly Rate $195.00 Base Water $4.49 Per 1,000 Sewer $3.15 Per 1,000 6 inch meters _ Monthly Rate — ' $230.00 Base Water _ _ $4.49 Per 1,000 Sewer $3.15 Per 1,000 S inch meters Monthly Rate $1,128.15 Base Water $4.49 Per 1,000 Sewer $3.15 Per 1,000 Page 15 of 32 Performance Contract(Rev 14) 07/11/2006 TUE 15:09 FAX 954 ") 0407 Johnson Controls Inc, Z016/032 Miscellaneous Fees and Charges Unit Connection Fees _.. water Unit dinnection Fees Sewer Unit Connection Fees pg !t for Single Meter Size 3/4 inch meter 1 inch meter 1 1/2 inch meter 2 inch meter 3 inch meter 4 inch meters 6 inch meter 8 inch meter 10 inch meter Hydrant Meter 3/4 inch Hydrant Meter 3 inch Deposit for Multiple Use Installation by Meter Size TMultiply the number of units times$55.00. Compare this deposit amount to the deposit required above and use the larger of the two.• Monthly Meter MaintmnpsChalmia Meter Size 1 1/2 inch meter 2 inch meter 3 inch meter 4 inch meters 6 inch meter 8 inch meter 10 inch meter Note:All f refines are to be charged at a 3 inch meter charge and ERU. Water Tapping Fees by Meter Size 314 inch 1 inch 1112 inch - ------ ------- 2 inch 3 inch ... Page 16 of N Performance Centred(Rev 14) 07/11/2006 TUE 15:10 FAX 954 ' ) 0407 Johnson Controls Inc. 2017/032 Wastewater Tapping Fees 2"Force Main Tap liketerTesy Meter Size 3/4 inch meter 1 inch meter 1 1/2 inch meter _ 2 inch meter 3 inch meter 4 inch meters and larger Misc. Service Charaes After Hours Service Call Sewer Locate Fee Transfer of Account Non-Pay Disconnect Damaged Meter Trip Charge Additional Readings at Customer Request *Sewer Locate Fee may have additional costs billed depending on equipment and manpower needed. City of Opa-Locka,Florida JOHNSON CONTROLS,INC. 114 initials: 7 initials: C Page 17 of 32 Performance Contact(Rev 14) 07/11/2006 TUE 15:10 FAX 954 i 0407 Johnson Controls Inc, ?018/032 Schedule 2 Exhibit 5 Improvement Measure Measurement&Verification Plan M&V Option B Water Meter Upgrades Water Meter Replacement and Installation of an Automated Meter Reading(AMR)System Utility Revenue Impact Description A significant percentage of the existing water meters served by the Customer do not read accurately, and the Customer is losing revenue annually due to this inaccuracy. By replacing inaccurate water meters with more accurate water meters the Customer will increase the volume of water registered by the meters and thereby increase water meter revenue. By applying accuracy increases to the baseline water billing amounts,supplied to JCI by the Customer,the impact of billing for the additional water recognized would have resulted in an increased revenue stream of$506,660.00 in the baseline year. Methodology: This measure represents annual water and sewer revenue increases associated with the replacement of the Customer's existing water meters with new,more accurate units. This measure includes the removal and installation of the City's water meters as presented in Schedule 1.As agreed upon by the customer,the total amount of base billable gallons for the term of this guarantee is equal to billable gallons measured by the customer plus incremental gallons (currently unrecognized and unbilled). The customer assumes the responsibility under this project for maintaining water consumption at or above the base billable gallons for the term of the contract JCI Liability Limit JCI is not responsible for damage to water meters as a result of foreign objects or other water quality issues that affect the water meter manufacturer's warranty.JCI is also not responsible should the customer choose not to maintain/calibrate any equipment subject to this guarantee within manufacturers guidelines. Project Benefit Calculations JCI and the customer agree upon all schedules,inputs and calculations described herein. Pre-Retrofit Calculations: JCI used the Pre-Retrofit Monthly Billable Revenue Data supplied to JCI by the Customer and shown in Schedule 2 Exhibit 6. Baseline factors were obtained from billing reports supplied by the Customer during the detailed audit The Weighted Average Accuracy Pre-Retrofit was calculated during the detailed audit and is based upon testing a representative sample of the existing meter population and is included in Schedule 2 Exhibit 7. Average accuracy is based on the average of low,medium and high flow measurements according to the American Water Works Association (AWWA)guidelines as delineated in the Manual of Water Supply Practices-M6, Fourth Edition. Water Meters-Selection,Installation,Testing and Maintenance; Copyright..1999 American Water Works Association, ISBN 1-58321-017-2 American Water Works Association 6666 West Quincy Avenue Denver, CO 80235 or other mutually agreed upon guidelines for average accuracy measurements. Further details of baseline factors are acknowledged and accepted by Customer in Schedule 2 Exhibits 4 and 6. Page 18 of 32 Performance Contract(Rev 14) 07/11/2006 T1 E 15:10 FAX 954 i 0407 Johnson Controls Inc, 019/032 Post-Retrofit: SCI will determine the accuracy of the installed water meters as described in Schedule 3(Services Schedule)of this contract The Weighted Average Meter Accuracy Post-Retrofit will be based upon a representative sample of the population for the new meters. The weighted average accuracy will be based on the average of low, medium and high flow measurements according to American Water Works Association(AWWA)guidelines as delineated in the Manual of Water Supply Practices-M6, Fourth Edition,Water Meters-Selection, Installation,Testing and Maintenance; Copyright-1999 American Water Works Association, ISBN 1-58321-017-2 American Water Works Association 6666 West Quincy Avenue Denver, CO 80235 or other mutually agreed upon guidelines for average accuracy measurements. For purposes of this contract,the Weighted Average Meter Accuracy Post-retrofit calculation and the Post-Retrofit Guaranteed Meter Accuracy is as described in Schedule 2 Exhibit 9. Guarantee: JCI's guarantee Is based upon the weighted average measured accuracy increase for a test sample of meters. JCI does not guarantee the performance of Individual meters. The meter sizes considered as part of this performance contract are listed in Schedule 2 Exhibit 8. Any meter sizes excluded from the guarantee,and not tested post-retrofit,are listed In Schedule 2 Exhibit 8. No guarantee,either express or Implied,Is made relative to the post-retrofit accuracy of meters excluded from the guarantee. The performance guarantee for this improvement measure is based solely on the post-retrofit weighted average measured accuracy of the meters installed applied to the Customer supplied"Baseline"revenue values listed in Schedule 2 Exhibit 6.Johnson Controls,Inc.makes no guarantee,either express or implied,as to the actual revenue to be achieved post-retrofit since actual revenues are impacted by variables outside the control of Johnson Controls,Inc.Examples of uncontrollable variables are:weather,droughts,floods, imposed restrictions,regulatory changes,demographic shifts, industrial base,&utility rates. Johnson Controls,inc. makes no representation about Customer's ability to meet Its financial commitments to third party financing sources and Johnson Controls,Inc.is not liable for any obligation of Customer to third party financing sources. The following equations have been used to determine the impact of improved meter accuracy on Baseline revenues. These equations will be used post-retrofit,along with tested meter accuracy,to determine the performance of the improvement measure versus guarantee. Increased water and sewer revenues during the installation period will be based upon the actual percentage of new meters installed each month and the manufacturer's stated accuracy for all new meters. Equations (Refer to Schedule 2 Exhibits 4 and 7 for Baseline and Schedule 2 Exhibits 8 and 9 for Post-Retrofit conditions) Test flow rates for each meter size are listed in Schedule 2 Exhibit 7. For Each Rate Class: Baseline Base Charge Annual Revenue(Baseline) =Number of Meters*Monthly Base Rate,.12 Months/Year Marginal Revenue above Billable Gallons(Baseline)T Annual Revenue—Base Charge Annual Revenue(Baseline) Page 19 of 32 Performance Contract(Ray 14) 07/11/2006 TUE 15:11 FAX 954 0407 Johnson Controls Inc, g020/032 Post-Retrofit Base Charge Annual Revenue(Post-Retrofit)=Number of Meters*Monthly Base Rate* 12 Months/Year Marginal Revenue above Billable Gallons(Post-Retrofit)=Marginal Revenue above Billable Gallons(Baseline)* (Weighted Average Meter Accuracy Post-Retrofit/Weighted Average Meter Accuracy Pre-Retrofit) Revenue Increase=Marginal Revenue Billable Gallons(Post-Retrofit)-Marginal Revenue Billable Gallons(Baseline) City of Opa-Locka,Florida JOHNSON CONTROLS,INC. Initials: ?1,4) Initials: c Page 20 of 32 Performance Contract(Rev 14} 07/11/2006 TUE 15:11 FAX 954 ) 0407 Johnson Controls Inc, 0021/032 Schedule 2 Exhibit 6 Pre-Retrofit Monthly Billable Revenue Data-Baseline(s) Annual Water Consum.tion and Revenue from October 2003 to Sc.temb r 2004 Revenue Avg.No.of Total Annual Total Annual Accounts per Consumption Revenue($) Month General Water Revenue 4,750 960,470,896 $3,684,115 General Sewer Revenue 4,500(Estimated) 710,932,300 $,3,418,573 Water Meter Replacement Budget None City of Opa-Locka,Florida JOHNSON CONTROLS,INC. , Initials: )14S Initials: y.....3._.--, Page 21 of 32 Performance Contract(Rev 14) 07/11/2006 TUE 15:11 FAX 954 ) 0407 Johnson Controls Inc, 2022/032 Schedule 2 Exhibit 7 Pre-Retrofit Conditions-Baseline(s) Water Meter Average Accuracies Pre-retrofit water meter tests were performed on meters selected at random by JCI and approved by the Customer. The testing was performed in accordance with American Water Works Association(AWWA)guidelines. The weighted factors used in the testing were 15%for minimum flow, 70%for intermediate flow,and 15%for high flow rates. The following Table summarizes the test result data. Weighted Average Accuracy Pre-Retrofit 15%*Low Flow Rate Accuracy+70%*Mid Flow Rate Accuracy+15%* High Flow Rate Accuracy. Weighted Average Accuracy Pre-Retrofit Meter Test Results and Flow Rates-All Meters Tested Meter Test Flow Rates Meter Size Test Qty Weighted Average Low Flow Test Mid Flow Test High Flow Test Accuracy GPM GPM GPM 0.625"x 0.75" 117 86.0% 0.25 2.0 15.0 1.00" 0 1 1/2" 0 . 2.00" 0 3.00" 0 - 4.00" 0 8.00" , 0 _ t/ Water Meter Field Test Results Intermediate Minimum Flow Flow High Flow Final Rate Accuracy Rate Accuracy Rate Accuracy Weighted Average Ref# Manufacturer Serial# Reading (gpm) (%) (gpm) (°/.) (gpm) (%) Accuracy(%) 1 AMCO 13181253 234,162 0.25 0.0% 2.00 _ 100.0% 15.00 -.97.0% 84.6% 2 AMCO <-, 14281420 207,590 0.25 98.0% 2.00 99.0% 15.00 99.0% 98.6% 3 AMCO . 14319157 32,089 0.25 0.0% 2.00 100.0% 15.00 99.0% 84.9% 4 AMCO , 14343204 183650 _ 0.25 0.0% 2.00 101.0% 15.00 99.0% 85.6% 5 AMCO 14380198 155,731 0.25 94.0% 2.00 100.0% 15.00 100.0% 99.1% 6 AMCO 14438538 110,503 0.25 94.0% 2.00 100.0% 15.00 , 99.0% 99,0% 7 AMCO _ 15315129 111,713 0.25 96.0% 2.00 96.0% 15.00 99.0% 96.5% 8 BADGER , 9704699 49,998 0.25 94,00% 2.00 98.00% 15.00 97.80% 97.3% 9 BADGER 12498571 5 199 747 0.25 80.0% 2.00 100.0% 15.00 98.00/5 96.7%T�� 10 BADGER 12985243 3,148,030 0.25 0.00% 2.00 0.00% 15.00 96.10% 14.4% 11 BADGER 12996992 1,359,803 0,25 0.0% 2.00 94.0% 15.00 98.0% , 80.5% 12 BADGER 13081921 1,876,518 0.25 78.0% 2.00 99.0% 15.00 100.0% 96.0% 13 BADGER 13401584 1,741803 0.25 0.0% 2.00 0.0% 15.00 97.0% 14,6% 14 BADGER 13434700 3,333,810 0.25 0.0% 2.00 50.0% 15.00 94.0% 49.1% 15 BADGER 15831853 349,980 0.25 92.0% 2.00 98.0% 15.00 95.0% 96.7% 16 BADGER 15838154 537,340 0.25 0.00% 2.00 __ 99-00% 15.00 98.40% 84.1% 17 BADGER 15838169 45,267 , 0.25 98,0% 2.00 101.0% 15.00 100.0% 100.1% Page 22 of 32 Performance Contract(Rev 14) 07/11/2006 TUE 15:11 FE 954 0407 Johnson Controls Inc, g023/032 Minimum Flow Intermediate Flow High Flow Final Rate Accuracy Rate Accuracy Rate Accuracy Weighted Average Ref# Manufacturer Serial# Reading (gpm) (%) (9pm) (%) (gam) f_%) Accuracy(%) 18 BADGER 15838178 , 482,104 0,25 0.0% 2.00 95.0% 15.00 98.0% 81.2% 19 BADGER 16432597 266,023 0.25 98.0% 2.00 100.0% 15.00 98.0% 99.4% 20 BADGER 16702261 234,191 0.25 98.0% 2.00 99.0% 15,00 100.0% 99.0% 21 BADGER 17916717 - 243.453 0.25 99.0% 2.00 100.0% 15.00 98.0% 99.6% 22 BADGER 17916731 257,189 0.25 99.0% 2.00 101.0% 15.00 98.0% 100.3% 23 BADGER 17953999 298,405 0.25 94.0% 2.00 98.0% 15.00 99.0% 97.6% 24 BADGER 18320799 131.962 0.25 0.0% 2.00 99.0% 15.00 99.0% 84.2% 25 BADGER 18320817 400,490 0.25 0.0% 2.00 98.0% 15.00 99.0% 83.5% 28 BADGER 18320826 140,721 0.25 96.0% 2.00 98.0% 15.00 98.0% 97.7% 27 BADGER 18958399 143,584 0.25 98.0% 2.00 100.0% 15.00 - 100.0% 99.7% 28 BADGER 78090147 769,684 025 98.0% 2,00 99,0% 15.00 100.0% 99.0% 29 BADGER 76202958 142,264 0.25 0.0% 2.00 0.0% 15.00 0.0% 0.0% 30 BADGER 86254.691 1,847,286 0.25 95.0% 2.00 99.0% 15.00 _ . 98.0% 98.3% 31 BADGER 88254695 1,543,543 0.25 100.0% 2.00 100.0% 15.00 98.0% 99.7% 32 BADGER 89643192 909,220 0.25 0,00% 2.00 98.00% 15.00 98.20% 83.3% 33 BADGER 89643297 857,066 0.25 0.0% 2.00 100.0% 15.00 99.0% 84.9% 34 BADGER 69643369 902.293 0.25 . 96.0% 2.00 100_0% 15.00 101.0% 99.6% 35 BADGER 89643431 329,853 0.25 0.0% 2.00 98.0% 15.00 99.0% ___ 83.5% 36 BADGER 90484951 1,028 797 0,25 97.0% 2.00 98.0% 15.00 99.0% 98.0% 37 BADGER 90827277 1,637,363 0.25 92.0% . 2,00 100.0% 15.00 99.0% 98.7% 38 BADGER 91072426 649.510 0.25 4.00% 2.00 98.00% 15.00 97.20% . - 83,8% _- 39 BADGER 91072636 871 220 0.25 0.00% 2.00 101.00% 15.00 99.80% 85.7% 40 BADGER 91072809 2,669,151 025 98.0% 2.00 99.0% 15.00 95.0% 98.3% • 41 BADGER 91072811 1.133,480 0.25 98.0% 2.00 98.0% 15.00 97.0% 97.9% 42 BADGER 91886171 1 361 050 0.25 98.0% 2.00 100.0% 15.00 99.0% 99,6% 43 BADGER 91686185 . 1,872,410 0.25 96.0% 2.00 99.0% 15.00 97.0% 98.3% 44 BADGER 91686215 1,379,050 0.25 99,0% 2.00 100.0% 15.00 100.0% 99.9% t 45 BADGER 92234408 728,844 _ 0.25 98.0% 2.00 100.0%. 15.00 99.0% 99.6% 46 BADGER 92518489 853,059 0.25 0.0% 2.00 99.0% 15.00 100.0% 84.3% 47 BADGER 92518530 1,528,974 0.25 100.0% 2.00 101.0% 15.00 100.0% 100.7% 48 BADGER 92518537 2,487,240 0.25 0.00% 2.00 101,00% 15.00 99.70% 85.7% 49 BADGER 92975031 343,008 0.25 99.0% 2.00 99.0% 15.00 99.0% 99.0% 50 BADGER 92975051 85020 0.25 0.00% 2.00 100.00% 15.00 99.30% 84.9% 51 BADGER 93057014 741,050 025 93.00% 2.00 100.00% 15.00 99.60% 98.9% 52 BADGER 93057033 166.081 0.25 , 98.0% 98.0% 15.00 99.0% 98.2% 53 BADGER 93057068 . 1,379,895 . 0.25 0.0% 2.00 100,0% , 15.00 99.0% 84.9% 54 BADGER 93248020 856,506 0.25 96.0% 2.00 100.0% 15.00 99.0% 99.3% _ 55 BADGER 93666829 708 372 0.25 0.0% 2.00 98.0% 15.00 99.0% 83.5% ~ 56 BADGER 93748841 733,476 0.25 98.0% 2.00 99.0% 15.00 100.0% 99.0% 57 BADGER 93748851 691.401 0.25 98.0% 2.00 99.0% 15.00 97.0% 98.6% 58 BADGER 93748873 963,300 0.25 94.00% 2.00 100.00% 15.00 98.50% 98.9% 59 BADGER 94262512 779.906 0.25 99.0% 2.00 100.0% 15.00 100.0% 99.7% 60 BADGER 94262571 542645 0.25 96,0% 2.00 101.0% 15.00 99.0% 100,0% 61 BADGER 94262583 1,745,264 0.25 98.0% 2.00 100.0% 15.00 98.0% 99.4% 62 BADGER 94262592 1,056,080 0.25 94.00% 2.00 100.00% 15.00 „ 99.30% 99.0% 63 BADGER 94262879 516.936 0.25 98.0% 2.00 98.0% 15.00 97.0% 97.9% 64 BADGER 94687253 , 111.382 0.25 98.0% 2.00 99.0% 15.00 98.0% 98.7% Page 23 of 32 Performance Contract(Rev 14) 07/11/2006 TUE 15:12 FAX 954 . 0407 Johnson Controls Inc, 2024/032 Minimum Flow Intermediate Flow High Flow Final Rate Accuracy Rate Accuracy Rate Accuracy Weighted Average Ref# Manufacturer Serial# Readin. • • •.m % .•m % Accura % 65 BADGER 94687266 1,363,874 0.25 97.0% 2.00 100.0% 15.00 98.0% 99.3% 86 BADGER 95361129 1,666,710 0.25 98.0% 2.00 100.0% 15.00 99,0% 99.6% IRBADGER 95492452 683.349 0.25 98.0% 2.00 98.0% 15.00 99.0% BADGER 95492507 1649,224 0.25 96.0% 2.00 100.0% 15.00 98.0% 69 BADGER 95945703 1,169.831 0.25 98.0% 100 101.0% 15.00 98.0% 100.1% 70 BADGER 95945708 1,586,194 0,25 2.00 98.0% 15.00 97.0% 97.9% 71 BADGER 96188876 369,757 0.25 96.0% 2.00 100.0% 15.00 97.0% 99.0% 72 BADGER 96188876 376268 0.25 100.0% 2.00 100.0% 15.00 100.0% 100.0% 73 BADGER 96188885 824,548 0.25 97.0% 2.00 100.0% 15.00 100.0% 99.6% 74 BADGER 96765652 624.440 0.25 100.0% 2.00 100.0% 15.00 100.0% 100.0% 75 BADGER 96765664 947.898 0.25 0.0% 2.00 98.0% 15.00 98.0% 83.3% 76 BADGER 96785676 568,750 0.25 99.0% 2.00 100,0% 15.00 100.0% 99.9% 77 BADGER 96765713 1,511,061 0.25 0.0% 2.00 98.0% 15.00 99.0% 83.5% lin BADGER 96785748 528 zoo 0.25 98.00% 2.00 100.00% 15.00 99.40% 99.6% 79 BADGER 97339817 799,080 0.25 95.00% 2.00 99,00% 15,00 98.10% 98.3% 80 BADGER 97823472 1,280,448 0.25 98,0% 2.00 98.0% 15.00 97.0% 97.9% 81 BADGER 97823487 404 594 0.25 98.0% 2.00 100.0% 15.00 100.0% 99.7% 82 BADGER 98672076 535,309 0.25 0.0% 2.00 98.0% 15.00 99.0% 83.5% 83 BADGER 98672086 832.170 0.25 99.00% 2.00 100.00% 15.00 99.10% 99.7% 84 BADGER 98672091 599 357 0.25 98.0% 2.00 98.0% 15.00 98.0% 98.0% 65 BADGER 98672115 300,833 0.25 98.0% 2.00 100.0% 15.00 990% 99.6% 86 BADGER 98672128 101.022 025 0.0% 2.00 100.0% 15.00 100.0% 85.0% 87 BADGER 98672148 459,921 0.25 98.0% 2.00 98.0% 15.00 99.0% 98.2% 88 BADGER 99228667 176 489 0.25 100.0% 2.00 100.0% 15.00 99.0% 99,9% 89 BADGER 88623376 667.300 0.25 99.00% 2.00 100.00% 15.00 99.60% 99.8% 90 BADGER WA 3,164,263 025 0.0% 2.00 0.0% 15.00 97.0% 14.8% 91 BADGER N/A 2,794,929 0.25 0.0% 2.00 0.0% 15.00 77.0% 11.6% 92 BADGER NIA 654,115 025 0.0% 2.00 0.0% 15.00 76.0% 11.4% 93 BADGER nn 697 020 0.25 0.00% 2.00 0.00% 15.00 97.30% 14.6% 94 HERSEY 377439 213,801 0.25 98.0% 2.00 98.0% 15.00 99.0% 97.9% 95 NEPTUNE 16960231 4.425,860 0.25 88.00% 2.00 100.00% 15.00 99.60% 98.1% 96 NEPTUNE 19500612 2,736,402 025 0.0% 2.00 98.0% 15.00 100.0% 82.2% 97 NEPTUNE 19756563 2,625,500 0.25 0.00% 2.00 0.00% 15.00 0.00% 0.0% 98 NEPTUNE 22292632 5.968,570 0.25 82.0% 2.00 100.0% 15.00 98.0% 97.0% 99 NEPTUNE 29196867 2 308,930 025 0.00% 2.00 74.00% 15.00 99,00% 66.7% 100 NEPTUNE 29196875 1,355,672 0.25 0.0% 2.00 98.0% 15.00 99.0% 83.5% 101 NEPTUNE 29196878 2.137,110 Q25 0.0% 2.00 96.0% 15.00 100.0% 82.2% 102 NEPTUNE 29197103 541,540 0.25 0.00% 2.00 18.00% 15.00 98.90% 27.4% 103 NEPTUNE 29745421 1,249 700 0.25 0.0% 2.00 100.0% 15.00 99.0% 84.9% 104 NEPTUNE 29745432 592,860 0.25 0.0% 2.00 78.0% 15.00 97,0% 69,2% 105 NEPTUNE 29945470 1,794.913 0.25 0.0% 2.00 46.0% 15.00 99.0% 47.1% 106 NEPTUNE 30307748 1 396 480 0.25 0.0% 2.00 100.0% 15.00 99.0% 84 9% 107 NEPTUNE 30412392 914,017 0.25 94.0% 2,00 100.0% 15.00 100.0% 99.1% 108 NEPTUNE 30870729 2 180 971 0.25 88.0% 2.00 100.0% 15.00 100.0% 98.2% 109 NEPTUNE 31459120 1,365,694 0.25 94.0% 2.00 101.0% 15.00 99.0% 99.7% 110 IIVEtt= 33499804 1 040$27 0.25 0,0% 2.00 98.0% 15.00 97.0% 81.8% 111 NEPTUNE 34231986 1,308,130 025 98.0% 2.00 100.0% 15.00 98.0% 99.1% Page 24 of 32 Performance Contract(Rev 14) 07/11/2006 TUE 15:12 FAX 954 ; 0407 Johnson Controls Inc. 1 025/032 112 NEPTUNE 98672108 149,930 0.25 10.00% I 2.00 , 100.00% 15,00 100.50% __ . 86,6% Minimum Flow Intermediate Flow High Flow Final Rate Accura Rata Accuracy Rate Accuracy Weighted Average Ref# Manufacturer SaHal Rea % m °!° m % Ace= 113 NEPTUNE N/A 1,607,755 0.25 0.0% 2.00 0.0% 15.00 92.0% 13.8% 114 NEPTUNE N/A 1.209,802 0.25 0,0% 2.00 99.0% 15.00 100,0% 84.3% 115 NEPTUNE N/A 923,693 0.25 0.0% 2.00 99.0% 15.00 100.0% 84.3% 118 ROCKWELL 31770814 269.381 0.25 88.0% 2.00 99.0% 15.00 98,0%- _ 97,2% 117 ROCKWELL 31911536 136,286 0.25 0.0% 2,00 100.0% 15.00 99.0% 84.9% These Accuracies will be derated at.3%per year. Pre-retrofit water meter accuracies used for calculations Year 1 Year 2 Year 3 Year 4 Year 5 .625"x.75" 90.0% 89.7% 89.4% 89.1% 87.8% 1.00" 90.0% 89.7% , 89.4% 89.1% 87.8% 1.50" 90.0% 89,7% 89.4% 89.1% 87.8% 2.00" 88.0% 87.7% 87.4% 87.1% 86.8% Year 6 _ Year 7 Year 8 Year 9 Year 10 .625"x.75" 87.5% 87.2% 86.9% 86.6% 86.3% 1.00" 87.5% 87.2% 86.9% 86.6% 86.3% 1.50" 87.5% 87.2% 86.9% 86.6% 86.3% 2.00" 85.5% 85.2% 84,9% 84.6% 84.3% City of Opa-Locka,Florida JOHNSON CONTROLS,INC. initials: Initials: Page 25 of 32 Performance Contract(Rev 14) 07/11/2006 TCE 15:12 FAX 954 0407 Johnson Controls Inc, ?026/032 Schedule 2 Exhibit 8 Post-Retrofit Meter Guarantees&Exclusions Meter sizes Included In the Performance Guarantee Meter Size Qty .625"x.75" 4,289 1" 217 1.5" 112 2" 139- 3" 2 4" 1 8" 3 City of Opa-Locka,Florida JOHNSON CONTROLS,INC. Initials: prell Initials' ---- _ , Page 26 of 32 Performance Contract(Rev 14) 07/11/2006 TUE 15:13 FAX 954 0407 Johnson Controls Inc, Z027/032 Schedule 2 Exhibit 9 Post-Retrofit Conditions Water Meter Average Accuracies Post-retrofit water meter tests were performed on meters selected at random by JCI and approved by the Customer. The testing was performed in accordance with American Water Works Association(AWWA)guidelines. The weighted factors used in the testing were 15%for minimum flow,70%for intermediate flow,and 15%for high flow rates. The following Table summarizes the test result data. Weighted Average Accuracy Post-Retrofit=15%*Low Flow Rate Accuracy+70%*Mid Flow Rate Accuracy+ 15%* High Flow Rate Accuracy Post-Retrofit Guaranteed Meter Accuracy 5/8 X To 1,5 2.0 3.0 4.0 6.0 8.0 10.0 3!4 installed 98.0% 98.0% 98.0% 96.0% 96.0% 96.0% 96.0% 96.0% 96.0% Year 1 97.7% 97.7% 97.7% 95.7% 95.7% 95.7% 95.7% 95.7°Ar 95,7% Year 2 97.4% 97.4% 97.4% 95.4% 95.4% 95.4% 95,4% 95.4% 95.4% Year 3 97.1% 97.1% 97.1% 95.1% 95.1%, 95.1% 95.1% 95.1% 95.1% Year 4 96.8% 96.8% 96.8% 94.8% 94.8% 94.8% 94.8% 94.8% 94.8% Year 5 96.5% 96.5% 96.5% 94.5% 94.5%' 94.5% 94.5% 94.5% 94.5% Year 6 96.2% 96.2%' 96.2% 94.2% 94.2% 94.2% 94.2% 94.2% 94.2% Year 7 95.9% 95.9% 95.9% 93.9% 93.9% 93.9% 93.9% 93.9% 93.9% Year 8 95.6% 95.6% 95.6% 93.6% 93.6% 93.6% 93.6% 93.6% 93.6% City of Opa-Locka,Florida Johnson Controls,inc. Signature: ,.. \,A ,00��„ghlw Printed Name: Jannie R. Beverly Printed Name: 0 Lowery Title:, City Man ager Title: Regional Solutions Manager Date: %J/7/(ij Date: C7 7i�+' Ob Schedule 3 Exhibit 1 Page 27 of 32 Performance Contract(Rev 14) 07/11/2006 TUE 15:13 FAX 954 0407 Johnson Controls Inc, ?028/032 SERVICES SCHEDULE 1. SCOPE OF SERVICE. JCI and the Customer agree that the services checked below will be provided by JCI at the Customer's facility. ® Performance Reporting Services ® Performance Consulting Service Page 28 of 32 Performance Contract(Rev 14) 07/11/2006 TUE 15:13 FAX 954 0407 Johnson Controls Inc, 2029/032 Schedule 3 Exhibit 2 ®PERFORMANCE ASSURANCE SERVICES Water Meters 1)Annually verify the accuracy of a maximum 1%of the water meters,according to the attached table of Meter Size and Count to be verified. The scope of work is as follows: a) Clean meter utility box b) Visually inspect utility box for signs of water leakage c) Replace meters with new or refurbished water meters that have been tested per AWWA standards d) Send removed meters to factory approved testing facility for accuracy bench test e) Rebuild and clean the removed meters and store for the following year f) If JCI and the City determine that damaged and/or inaccurate meters were not caused by normal wear and tear, City will be responsible for replacement of these meters. 2) The average(central tendency)and variance(spread)will be calculated to estimate the population characteristics. Additional samples may be required if the variability in the sample test shows that the sample size is not sufficient to draw valid conclusions about the population. A complete retest will be conducted if the sample average is lower than the required weighted average accuracy. If these two samples are significantly different,another retest will be conducted. If not,the reconciliation process will be initiated as described in Schedule 2 of this agreement. 3) Report any observed operational or retrofit opportunities that would increase Customer benefits. 4) Training 5) Customer consultation 6) Telephone support as required • WATER METER PERFORMANCE REPORTING CONSULTING SERVICES 1) Provide quarterly written evaluations of the billed data to evaluate the metering system and recommend a revenue retention strategy to maximize value. 2) Provide annual cost avoidance reports based on cost avoidance methodology described in this contract, Reporting shall include the following: a) Water/sewer revenues for period compared to targets b) A summary of the annual meter accuracy testing c) Operating and future capital cost avoidance for period.(if applicable) City of Opa-Locka,Florida Johnson Controls,Inc. Signature: Signature: \.ae , ! Ali' Printed Name: Jennie Ft Beverly Printed Name: i Lowery Title: City Manager Title: Regional Solutions Manager Date: 7/7/06, Date: 2.4104 Page 29 of 32 Performance Contract(Rev 14) • 07/11/2006 TUE 15:13 FAX 954 0407 Johnson Controls Inc, R030/032 Schedule 3 Exhibit 3 SERVICES COST SCHEDULE TERM. The term of this Services Schedule shall be 8 years and shall commence on the first day of the month following the Substantial Completion Date set forth in Schedule 1. PRICE. The total price for JCl's Services during the term of the agreement can be found in the table below, This amount will be paid to JCI in annual installments and will be due and payable when the Customer receives JCPs invoice. Payment will be made in advance of the services JCI Is to provide. These services will be invoiced separately from the lease-purchase agreement payments being sent from the Customer's Lessor, Note:This schedule does not include any service for the wireless camera/video system. If desired by the City, Johnson Controls will be happy to propose a service contract either during or after the warranty period. Service Agreement Costs s r/r • �i"e�r hr ''r .11., installation $0 1 $45,455 2 $46,818 3 $48,223 4 $49,669 5 $51,159 6 $52,694 7 $54,275 8 $55,903 Total $404,197 1. ELECTRONIC FUNDS TRANSFER(EFT). In order to streamline the payment process for both the Customer and for JCI, arrangements have been made for our annual Planned Service Agreement payments to be wired directly to the bank via EFT utilizing the following information, PLEASE ENSURE THAT INVOICE NUMBER(S)BEING PAID ARE LISTED. COMPANY INFORMATION: Johnson Controls,Inc. P.O. Box 2012 Milwaukee,Wisconsin 53201-2012 Page 30 of 32 Performance Contract(Rev 14) 07/11/2006 TEE 15:13 FAX 954 0407 Johnson Controls Inc, 2031/032 TELEPHONE NUMBER: (414)524-3666 FAX NUMBER: (414)524-3515 EMPLOYEE ID#: 39-038-0010 FINANCIAL INSTITUTION: Bank One One First National Plaza Chicago, Illinois 60670 ROUTING TRANSIT#: 071000013 DEPOSITOR ACCOUNT#: 55—14347 TYPE OF ACCOUNT: Checking City of Opa-Locka,Florida Johnson Controls,Inc. Signature: Signature: Printed Name: nnie R. Beverly Printed Name: Lowery Title: City Manager / Title: Regional Solutions Manager Date: 71 �(/f Date: if p 1' 4 d Go Page 31 of 32 Performance Contract(Rev 14) 01/11/1006 TUE 15:14 FAX 954 0407 Johnson Controls Inc, Z032/032 Schedule 4A PRICE AND PAYMENT TERMS SCHEDULE 1. The Customer shall make payments to JCI for Work performed, as well as payments for Services rendered pursuant to the Services Schedule. (a) The price to be paid by the Customer for the Work shall be$3,298,500.00. Progress payments(including payment for materials delivered to JCI and work performed on and off-site)shall be made to JCI as follows: First payment Due: $1,649,250.00, 30 days after commencement date Second payment due: $659,700.00, 60 days after commencement date Third payment due: $329,850.00, 90 days after commencement date Forth payment due: $329,850.00, 120 days after commencement date Final payment due: $329,850.00, 150 days after commencement date Final payment,constituting the entire unpaid balance for the Work,shall be made to JCI within 30 days after the Substantial Completion Date. Payments may be withheld on account of any breach of this Agreement by JCI and claims by third parties(including JCI subcontractors and material suppliers),but only to the extent that written notice has been provided to JCI and JCI has failed,within ten days of the date of receipt of such notice,to provide adequate security to protect Customer from any loss,cost,or expense related to such claims. (b) The total price for JCI's Services during the Term of this Agreement is$404,197.00. This amount will be paid to JCI in annual installments of as shown on the chart in Schedule 3 Exhibit 3.These payments will be due and payable when the Customer receives JCI's invoice and in advance of the services JCI is to provide and shall be made throughout the Service Term. 2. CUSTOMER PURCHASE ORDERS. The Customer acknowledges and agrees that any purchase order issued by Customer, in accordance with this Agreement,is intended only to establish payment authority for the Customer's internal accounting purposes. No purchase order shall be considered to be a counteroffer,amendment,modification, or other revision to the terms of this Agreement No term or condition included in the Customer's purchase order will have any force or effect. City of Opa-Locka,Florida Johnson Controls,Inc. Signature; Signature; `�► at► _, •"�► Printed Name: Jennie R.Beverly Printed Name: Lowery Title: City Manager Title; Regional Solutions Manager Date: I ,Al Date: O(p/a/C)6 Page 32 of 32 Performance Contract(Rev 14)