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Contract Number: 5095 Vendor: SULLIVAN HEATING & COOLING, INC Subject: Goods & Services Agreement Department: Facilities File Class: GS50-01-11 Rev. 3 General Begin Date: 11/1/2011 End Date: 11/1/2017 Review Date: 8/1/2017 Vault Date: 2018 Comments: Amendment 1 2/11/13; Amendment #2 5/6/13; Amendment #3 4/28/14; Amendment #4 9/17/15 AMENDMENT 4 TO GOODS AND SERVICES AGREEMENT FOR HVAC EQUIPMENT SYSTEMS SERVICES AND MAINTENANCE This is the fourth amendment to the contract for HVAC equipment systems services and maintenance entered into on the 9`� day of November, 2011 ("the Contract"), between the City of Bremerton("City") and Sullivan Heating and Cooling, Inc. ("Vendor"). Whereas, the City and Vendor entered into the Contract wherein the Vendor provides HVAC equipment systems services and maintenance to various City facilities, as stated in the Contract and its exhibits; and Whereas, the Contract is set to expire on November 1, 2015; and Whereas, the City and the Vendor wish to extend the Contract for two years, with all existing prices, conditions and specifications; and Whereas, the parties wish to amend the Contract under Section 2, "Time of Completion,"to effectuate the two-year Contract extension. NOW,THEREFORE, in consideration of the terms and conditions contained herein, the City and Vendor mutually agree that Section 2 of the Contract is amended as follows: 2. TIME OF COMPLETION: The term of this agreement shall commence on (November 1, 2011) and will terminate on(November 1, 2015), unless terminated earlier pursuant to this agreement. A. CONTRACT EXTENSION: The term of this agreement is extended to November 1, 2017. This document will become a supplement to the Contract and all provisions will apply hereto. All other terms of the Contract not specifically amended herein shall remain in full force and effect. IN WITNESS WHEREOF the parties hereto have executed this Amendment the date and year indicated. 1 r SULLIVAN HEATING AND COOLING, INC. ` 0� -3 ( � IS Print Name c�,c ^_ 5u 1 t.Ctn Date Its �,r-�S�c��2✓1 CITY OF BREMERTON -� 09 /�- ,Zo/� Patty Len yor Date Approved as to form: � Roger A. Lubovic� Attorn Received for filing Shannon Corin, City Clerk R:\Legal\Legal\ContractsU'UBLIC WORKS\Amendmcnt No.4 to HVAC systems services agreemcnt.doc 2 Contract Number: 5095 Vendor: SULLIVAN HEATING & COOLING, INC Subject: Goods & Services Agreement Department: Facilities File Class: LEG 12 -1 Begin Date: 11/1/2011 End Date: 11/1/2015 Review Date: 8/1/2015 Vault Date: 2015 Comments: Amendment 1 2/11/13; Amendment #2 5/6/13; Amendment #3 4/28/14 AMENDMENT 3 TO GOODS AND SERVICES AGREEMENT FOR HVAC EQUIPMENT SYSTEMS SERVICES AND MAINTENANCE This is the third amendment to the contract for HVAC equipment systems services and maintenance entered into on the 9 day of November, 2011 ( "the Contract "), between the City of Bremerton ( "City ") and Sullivan Heating and Cooling, Inc. ( "Vendor "). Whereas, the City and Vendor entered into the Contract wherein the Vendor provides HVAC equipment systems services and maintenance to various City facilities, as stated in the Contract, Exhibit B; and Whereas, the City has identified one additional facility that requires Vendor's services; and Whereas, the service /maintenance cost per year for the additional facility is $950; and Whereas, the parties wish to amend the Contract under Section 10.K of the Contract to add Kitsap Conference Center, Third Floor Event Space as a service location under the contract, amend Exhibit "C" to reflect the equipment located at the Kitsap Conference Center Third Floor Event Space, and amend the bid proposal in Exhibit " E " to reflect the charges to service the Kitsap Conference Center, Third Floor Event Space. NOW, THEREFORE, in consideration of the terms and conditions contained herein, the City and Vendor mutually agree that: 1) Kitsap Conference Center, Third Floor Event Space shall be added as Location 25 in Exhibit `B "; 2) - Kitsap Conference Center, Third Floor Event Space shall be added to Exhibit `B" of the Contract as follows: 25. Kitsap Conference Center, Third Floor Event Space $950; and 3) The following HVAC Equipment Listings shall be added to Exhibit "C ": Location 25 Kitsap Conference Center, Third Floor Event Space 60 Washington Avenue Unit #' Manufacturer Model # Serial # RTU -1 AAON RN- 026- 3- 0 -EA09 -000 201212- BNC507639 VAV -1 PRICE FDCG5000 N/A VAV -2 PRICE FDCG5000 N/A VAV -3 PRICE FDCG5000 N/A VAV -4 PRICE FDCG5000 N/A VAV -5 PRICE FDCG5000 N/A VAV -6 PRICE FDCG5000 N/A VAV -7 PRICE FDCG5000 N/A 1 VAV -8 PRICE FDCG5000 N/A VAV -9 PRICE FDCG5000 N/A VAV -10 PRICE FDCG5000 N/A VAV -11 PRICE FDCG5000 N/A VAV -12 PRICE FDCG5000 N/A VAV -13 PRICE FDCG5000 N/A VAV -14 PRICE FDCG5000 N/A EF -1 GREEN HECK SQ- 90 -G -X PANTRY EF -2 GREEN HECK SQ- 90 -G -X RESTROOMS This document will become a supplement to the Contract and all provisions will apply hereto. All other terms of the Agreement not specifically amended herein shall remain in full force and effect. IN WITNESS WHEREOF the parties hereto have executed this Amendment the date and year indicated. SULLIVAN AND COOLING, INC. o4 - /O L4- Print Name Date Its (zf5IC 2 CITY OF BREMERTON zx�" � Patty Le ayo Date Approved as to form: Roger A. Lu ovich, City Attorney ived for f . ng Shannon Corin, City Clerk RALegahLegaXontractsTUBLIC WORKMAmendment No. 3 to HVAC systems services agreement.doc 2 Contract Number* 5095 Vendor- SULLIVAN HEATING & COOLING, INC Subject: Goods & Services Agreement Department. Facilities File Class LEG 12 -1 Begin Date. 11/1/2011 End Date 11/1/2015 Review Date: 8/1/2015 Vault Date 2017 Comments Amendment 1 2/11/13, Amendment #2 5/6/13 AMENDMENT 2 TO GOODS AND SERVICES AGREEMENT FOR HVAC EQUIPMENT SYSTEMS SERVICES AND MAINTENANCE This is the second amendment to the contract for HVAC equipment systems services and maintenance entered into on the 9 day of November, 2011 ( "the Contract "), between the City of Bremerton ( "City ") and Sullivan Heating and Cooling, Inc ( "Vendor ") Whereas, the City and Vendor entered into the Contract wherein the Vendor provides HVAC equipment systems services and maintenance to various City facilities, as stated in the Contract, Exhibit B, and Whereas, the City has identified one additional facility that requires Vendor's services, and Whereas, the service /maintenance cost per year for the additional facility is $947, and Whereas, the City's contact person has changed, and Whereas, the parties wish to amend the Contract under Section 10 K of the Contract to add Park Avenue Plaza Garage as a service location under the Contract, change the City's contact in Exhibit "A" from Michael Bishop to Colen Corey, amend Exhibit "C" to reflect the equipment located at the Park Avenue Plaza Parking Garage, and amend the bid proposal in Exhibit "E" to reflect the charges to service Park Avenue Plaza Parking Garage NOW, THEREFORE, in consideration of the terms and conditions contained herein, the City and Vendor mutually agree that 1) The City's contact list in Exhibit "A" shall delete Michael Bishop, Lead Facilities Specialist, Phone 360 - 473 -5335, E -mail Michael bishop @ci bremerton wa us and be replaced with Colen Corey, Lead Facilities Service Specialist, Phone 360 -473- 5335, E -mail colen corey@ci bremerton wa us, and 2) Park Avenue Plaza Parking Garage, 300 Park Avenue shall be added as Location 24 in Exhibit `B ", 3) Park Avenue Plaza Parking Garage shall be added to Exhibit "E" of the Contract as follows 24 Park Avenue Plaza Parking Garage $947, and I 4) The following HVAC Equipment Listings shall be added to Exhibit "C" Location 24 Park Avenue Plaza Parking Garage 300 park Avenue Unit # Manufacturer Model # Serial # EF -P101 GREEN HECK SBE- 3148 -75 -X 12496154 -1106 EF -E101 GREEN HECK CPS- A1050 -QP 125000310 EF -1 GREEN HECK SBE -31-48 -100 -X 12496153 -1106 EF -9202 GREEN HECK SBE- 31-48 -75 -X 12496155 -1106 This document will become a supplement to the Contract and all provisions will apply hereto All other terms of the Agreement not specifically amended herein shall remain in full force and effect IN WITNESS WHEREOF the parties hereto have executed this Amendment the date and year indicated SULLIVAN AND COOLING, INC. Print Name 599 4w,J LAw26c Date Its Zt A,•SP%GEe— CITY OF BREMERTON '5/ ' - O )k zz / '&> � Patty Lent, V16r Date Approved as to form Roger A tubovich,City Attorney e ived for filing Shannon Corin City Clejk R \ 1_CL'd1 \LLgdl \G0III lS \PU13L1C \ \'ORKS \/ \muul III cnl No 2 10 I IVAG sysiun" SLIVILL' ILL mLnt ciuL Contract Number: 5095 Vendor. SULLIVAN HEATING & COOLING, INC Subject- Goods & Services Agreement Department Facilities File Class. LEG 12 -1 Begin Date* 11/1/2011 End Date 11/1/2015 Review Date 8/1/2015 Vault Date 2017 Comments Amendment 1 2/11/13 i AMENDMENT 1 TO GOODS AND SERVICES AGREEMENT FOR HVAC EQUIPMENT SYSTEMS SERVICES AND MAINTENANCE This is an amendment to the contract for HVAC equipment systems services and maintenance entered into on the 9 day of November, 2011 ( "the Contract "), between the City of Bremerton ( "City ") and Sullivan Heating and Cooling, Inc ( "Vendor ") Whereas, the City and Vendor entered into the Contract wherein the Vendor provides HVAC equipment systems services and maintenance to various City facilities, including the Gold Mountain Golf Course as stated in the Contract, Exhibit B, Numbers 20 and 21, and Whereas, the City has recently entered into an agreement with Columbia Hospitality to manage the Gold Mountain Golf Course facilities, and Whereas, Columbia Hospitality is now responsible for all service and maintenance of the Gold Mountain Golf Course facilities, and Whereas, the parties wish to amend the Contract under Section 10 K of the Contract to remove the Gold Mountain Golf Course facilities as a service location under the Contract, and NOW, THEREFORE, in consideration of the terms and conditions contained herein, the City and Vendor mutually agree that Exhibit B of the agreement is modified to read as follows HVAC SERVICE LOCATIONS 1 Public Works & Utilities, 100 Oyster Bay Avenue N 2 Equipment Services, 104 Oyster Bay Avenue N 3 Utilities Warehouse & Offices, 106 Oyster Bay Avenue S 4 Municipal Courts Facility, 550 Park Avenue 5 Naval Museum/Fountain Room Facility, 251 First Street 6 Bremerton Tunnel Control Room, 207 First Street 7 Krtsap Conference Center, 100 Washington Avenue 8 Bremerton Harborside Parking Facility, 100 Washington Avenue 9 Library Building, 612 Fifth Street 10 Forestry Office, 9600 McKenna Falls Road 11. Police Facility, 1025 Burwell Street 12 Police Special Operations, 3029 Olympus Drive 13 Utilities Building, 3027 Olympus Drive 14 Fire Department Warehouse, 3033 Olympus Drive 15 Fire Station #1, 911 Park Avenue 1 16 Fire Station #2, 5005 Krtsap Way 17 Fire Station #3, 3031 Olympus Drive 18 Parks Department, 680 Lebo Boulevard 19 Senior Center, 1136 Nipsic Avenue 20 Parks Green House, 2800 Birch Street 21 UV Water Treatment Facility, 8601 W Belfair Valley Road This document will become a supplement to the Contract and all provision will apply hereto All other terms of the Agreement not specifically amended herein shall remain in full force and effect IN WITNESS WHEREOF the parties hereto have executed this Amendment the date and year indicated SULLIVAN AND COOLING, INC. 04" Z�k a -S A Print Name ey ` L a r hr e Date Its -3 P r yN er- Wl a,^ ct!!ie r CITY OF BREMERTON 4-� 02 Patty Le ayor Date Approved as to form - r A/ / �-/ L" Roger A. Lubovich, City Attorney Received for filing Sh Co n, City Clerk — R \Lega1\Lega1 \Contracts\PUBLIC WORKS\Amendment to HVAC systems services agreement doc 2 Contract Number: Vendor: Sub�ect: Department: File Class: Begin Date: End Date: Review Date Vault Date: 5095 Sullivan Heating and Cooling, Inc. Goods & Services Agreement Facilities LEG 12-1 11/1/2011 11/1/2015 8/1/2015 11/1/2017 Comments : Page 1 of 7 GOODS AND SERVICES AGREEMENT THIS AGREEMENT, �s entered mto between the C�ty of Bremerton, a Washmgton Mun�cipal Corporation ("C�ty"), and SulLvan Heahn� and Coolm , Inc ("Vendor"), whose mailmg address �s 950 West Hills Blvd . Bremerton, WA 98312 The part�es agree as follows VENDOR SERVICES. The Vendor shall prov�de the follow�ng goods and mater�als and/or perform the follow�ng serv�ces for the City SCOPE The vendor agrees to perform the serv�ces more specifically descnbed �n the scope of work and techmcal spec�fications, �ncludmg any attachments thereto, attached hereto as Exhib�t A, wh�ch �s �ncorporated by reference herem The scope of work and techn�cal spec�fications may be mod�fied only pursuant to sect�on 10 K of th�s agreement If the scope of work and techn�cal spec�ficat�ons prov�des for unspec�fied addrt�onal serv�ces, such serv�ces shall only be performed upon the express wr�tten reyuest of the ciry Vendor further represents that the serv�ces furn►shed under thts agreement w�ll be performed �n accordance with generally accepted professional practices �n effect at the t�me such serv�ces are performed TIME OF COMPLETION The term of th�s agreement shall commence on (November l, 2011� and w�ll term�nate on (November l, 2015), unless termmated earl�er pursuant to th�s agreement 3 COMPENSATION The C�ty shall pay the Vendor �n an amount per rate schedules as shown on Exhibrt "E" Vendor shall subm�t regular b�llmg statements descr�bmg work performed and amount charged for HVAC Equipment Systems Services and Maintenance, per ]ocat�on The descr�pt�ons shall conform to and fall w�thm the categones set out m the Scope of Work and Technical Spec�ficat�ons Upon rece�pt of a conformmg billmg statement, the Cty shall promptly process the payment Vendor shall not perform work beyond the Scope of Work and Technical Spec�ficat�ons, nor shall vendor be compensated for such work, unless the Scope of Work and Techn�cal Spec�fications or amount of compensation �s modified pursuant to th�s Agreement Vendor shal I only be compensated for addrtional services if requested pursuant to Sect�on 10 K and, �f not otherw�se provided, such compensation shall be in accordance with th�s Sect�on If a b�ll�ng statement does not conform to th�s Agreement, the City may w�thhold payment unt�l the statement is brought into compliance Such w�thholding does not rel�eve vendor of �ts obl�gations under th�s Agreement INDEPENDENT CONTRACTOR Contractor �s and shall be at all t�mes actmg as an �ndependent contractor and not as an employee of the C�ty The Contractor shall secure at rts expense, and shall be responsible for all payments of mcome tax, social security, state disabil�ty msurance compensation, unemploymentcompensat�on, and all other payroll deduct�ons for the Contractor, officer, agents, employees and sub-contractors The Contractor shall also secure all appl�cable busmess I�censes, �f requ�red, m connection wrth the contract serv�ces, mcludmg all required l�censes for Contractor's officers, agents, employees and subcontractors TERMINATION The City may term�nate this Agreement for good cause "Good cause" shall mclude, wrthout l�mrtat�on, any one or more of the followmg events HVAC Equ�pment Systems Services and Maintenance Between the C�ty of Bremerton & Sull�van Heating and Coolmg, [nc Page 2 of 7 A The Vendor's refusal or failure to supply a suffic�ent number of properly skilled workers for complet�on of th�s Agreement B The Vendor's failure to comply wrth the techn�cal spec�ficat�ons, and HVAC Serv�ces and Mamtenance Requ�rements, as attached C The Vendor's fa�lure to make full and prompt payment to subcontractors or for mater�al or labor D The Vendor's failure to comply with federal, state or local laws, rules or regulat�ons E The Vendor's filmg for bankruptcy or becom�ng ad�udged bankrupt If the C�ty termmates th�s Agreement for good cause, the Vendor shall not rece�ve any further mon�es due under th�s Agreement unt�l the services requ�red by th�s Agreement are completed and fully performed 6 CHANGES The C�ty may �ssue a wr�tten change order for any change m the services to be provided during the performance of th�s Agreement If the Vendor determmes, for any reason, that a change order �s ne�ssary, Vendor must subm�t a wr�tten change order request to an author�zed agent of the C�ty with�n fourteen (14) calendar days of the date Vendor knew or should have known of the facts and events g�ving rise to the requested change If the City determ�nes that the change mcreases or decreases the Vendor's costs or t�me for performance, the City w�ll make an equrtable ad�ustment The City w�ll attempt, m good faith, to reach agreement w�th the Vendor on all equrtable ad�ushnents However, �f the part►es are unable to agree, the C�ty w�ll deter►n�ne the equrtable adfustment as �t deems appropr�ate The Vendor shall proceed wrth the change order work upon rece�v�ng erther a wr�tten change order from the City or an oral order from the C�ty before actually rece�vmg the wr�tten change order If the Vendor fa�ls to requ�re a change order withm the time allowed, the Vendor wa►ves �ts r�ght to make any cla�m or subm�t subsequent change order requests for that port�on of the contract work Ifthe Vendor d�sagrees with the eGu�table adJustment the Vendor must complete the change order work, however, the Vendor may elect to protest the ad�ustment as provided below A Procedure and Protest bv the Vendor If the Vendor d�sagrees with anything requ�red by a change order, another wr�tten order, or an oral order from the City, mcludmg any direction, mstruction, mterpretation, or determination by the City, the Vendor shall 1 Immed�ately g�ve a s�gned wr�tten not�ce of protest to the Ctty, 2 Supplement the wr�tten protest w►thm fourteen (14) calendar days w�th a wrttten statement that prov�des the followmg mformat�on a The date of the Vendor's protest b The nature and c�rcumstances that caused the protest c The provis�ons in th�s Agreement that support the protest d The estimated dollar cost, �f any, of the protested work and how that estimatewas determmed An analysis of the progress schedule showmg the schedule change or durupt�on �f the Vendor �s assertmg a schedule change or d�srupt�on HVAC Equipment Systems Services and Mamtenance Between the Gty of Bremerton & Sullivan Heatmg and Coolmg, Inc Page 3 of 7 The Vendor shall keep complete records of extra costs and t�me mcurred as a result of the protested work The C�ty shall have access to any of the Vendor's records needed for evaluat�ng the protest The C�ty will evaluate all protests, prov�ded the procedures �n this sect�on are followed if the C�ty determ�nes that a protest �s valid, the C�ty will ad�ust payment for work or time by an equitable adJustment No ad�ustment will be made for an inval�d protest B Vendor's Duty to Complete Protested Work In sprte of any protest, the Vendor shall proceed promptly to prov�de the goods, materials and services requ�red by the City under th�s Agreement C Vendor's Acceptance of Chan� The Vendor accepts all requ�rements of a change order by (1) endorsmg it, (2) wr�tmg a separate acceptance, or (3) not protestmg �n the way this sect�on prov�des A change order that �s accepted by Vendor as prov�ded m this sect�on shall const�tute full payment and final settlement of al) cla�ms for contract hme and for d�rect, tndirect and consequent�al costs, �ncludmg costs of delays related to any work, e�ther covered or affected by the change D Fa�lure to Protest Const�tutes Wa�ver By not protestmg as th�s sect�on prov�des, the Vendor also wa�ves any add�t�onal ent�tlement and accepts from the C�ty any wr�tten or oral order (mcludmg d�rect�ons,mstruct�ons, interpretat�ons, and determ�nat�on) E Fa�lure to Follow Procedures Constitutes Wa�ver By fail�ng to follow the procedures of this sect�on, the Vendor completely wa�ves any cla�ms for protested work and accepts from the C�ty any wntten or oral order (mclud�ng directions, instructions, interpretat�ons, and determ�nation) CLAIMS The Vendor shall g�ve written not�ce to the City of all cla�ms other than change orders withm fourteen (14) calendar days of the occurrence of the events g�vmg r�se to the cla�ms Any claim for damages, additional payment for any reason, or extension of time, whether under th►s Agreement or otherw�se, shall be conclus�vely deemed to have been waived by the Vendor unless a timely wr�tten claim is made m strict accordance wrth the appl►cable provis�ons of thts Agreement, or, �f (and only i� no such provis�on is appl�cable, unless that cla�m �s set forth m deta�l m wrrtmg and recerved by the City wrthm seven (7) calendar days from the date Vendor knew, or should have known, of the facts g�ving r�se to the claim At a mmimum, a Vendor's wr�tten clatm must mclude the mformat�on set forth regardmg protests m Sect�on 6(A)(2)(a)-(e) FAILURE TO PROVIDE A COMPLETE, WRITTEN NOTIFICATION OF CLAIM WITHIN THE TIME ALLOWED SHALL BE AN ABSOLUTE WAIVER OF ANY CLAIMS ARISING IN ANY WAY FROM THE FACTS OR EVENTS SURROUNDING THAT CLAIM OR CAUSED BY THAT DELAY Vendor must, �n any event, file any cla�m or brmg any su�t aris�ng from or connected w�th th�s Ageement w�thm 120 calendar days from the date the contract work �s complete HVAC Equ�pment Systems Services and Mamtenance Between the City of Bremerton & Sull�van Heatmg and Coolmg, Inc Page 4 of 7 8 INDEMINIFICATION Vendor shall defend, mdemn�fy and hold the C�ty, �ts officer, offic�als, employees, agents and volunteers harmless from any and all claims, m�ur�es, damages, losses or surts, mcludmg all legal costs and attorney fees, ar�smg out of or m connect�on w�th the performance of this Agreement Vendor's obl�gat�on to mdemmfy shall not extend to that port�on of damages caused by the C�ty's sole negligence The C�ty's mspection or acceptance of any of Vendor's work when completed shall not be grounds to avoid any ofthese covenants of mdemn�fication Should a court of competent�ur�sdict�on determme that th�s Agreement is sub�ect to RCW 4 24 I 15, then, m the event of I�ability for damages ar�s�ng out of bod�ly m�ury to persons or damages to property caused by or resultmg from the concurrent negligence of the Vendor and the C�ty, �ts officers, offic�als, employees, agents and volunteers, the Vendor's I�ab�hty hereunder shall be only to the extent of the Vendor's negl�gence IT IS FURTHER SPECIFICALLY AND EXPRESSLY UNDERSTOOD THAT THIS INDEMNIFICATION CONSTITUTES THE CONSULTANT'S WAIVER OF IMMUNITY UNDER INDUSTRIAL INSURANCE, TITLE 51 RCW, SOLELY FOR THE PURPOSES OF THIS INDEMNIFICATION THE PARTIES ACKNOWLEDGE THAT THEY HAVE MUTUALLY NEGOTIATED THIS WAIVER The prov�sions of th�s section shall surv�ve the exp�ration or termmation of th�s Agreement INSURANCE. The Vendor shall procure and matntatn for the durat�on of th�s Agreement, msurance against cla�ms for �n�ur�es to persons or damage to property that may anse from or m connect�on wrth the performance of the Contract work by the Vendor, rts agents, representat�ves, employees or subcontractors Before begmn�ng work on the pro�ect descr�bed m th�s Agreement, the Vendor shall prov�de a Cert�ficate of Insurance ev�dencmg Automob�le L�ab�l�tv �nsurance wrth l�mrts no less than $500,000 combined smgle l�mrt per acc�dent for bod�ly m�ury and property damage, and Commerc�al General L�ab�l�tv �nsurance written on an occurrence basis wrth l�mrts no less than $1,000,000 combmed smgle lim�t per occurrence and $2,000,000 aggregate for personal m�ury, bodily m�ury and property damage Coverage shall include but not be l�m�ted to blanket contractual, products/completed operations/broad form property damage, and employer's liab�l�ty Any payment of deductible or self msured retent�on shall be the sole respons�b�l�ty of the Vendor All requ�red pol�cies shall be prov�ded on an "occurrence" bas�s except profess�onal liabil�ty msurance (�f requ�red), wh�ch shall be prov�ded on a "clatms-made" bas�s The City shall be named as an addrt�onal msured on the Commerc�al General L�ab�l�ty msurance pol�cy, as respects work performed by or on behalf of the Vendor and a copy of the endorsement nammg the City as addmonal msured shall be attached to the Cert�ficate of Insurance The C�ty reserves the nght to receive a cemfied copy of all the requ�red msurance pol�c�es HVAC Equ�pment Systems Serv�ces and Maintenance Between the City of Bremerton & Sullivan Heatmg and Coohng, Inc Page 5 of 7 The Vendor's Commerc�al General L�abil�ty �nsurance shall conta�n a clause statmg that coverage shall apply separately to each msured agamst whom claim �s made or surt �s brought, except w�th respects to the limrts of the »surer's I�ab�l�ty �'he Vendor's msurance shall be pnmary msurance as respects the C�ty and the C�ty shall be g�ven thirty (30) days pnor wntten notice by cert�fied ma�l, return receipt requested, of any cancellat�on, suspens�on or mater�al change mcoverage The C�ty also reserves its unqual�fied r�ght to reyu�re at any t�me and for any reason, proof of coverage m the form of a duphcate of the msurance policy w�th all endorsements as evidence of coverage 10. MISCELLANEOUS A Licenses and Taxes Vendor shall possess a current Bremerton Busmess License and any regulatory hcense requ�red to fulfill Vendor's obl�gat�ons under this contract B&O taxes shall be pa�d when due, and Vendor, by this agreement, ass�gns any payments due under this contract to the City Clerk for payment of such taxes which have been declared delmquent , B Confl�ct and Precedence In the event of a conflict between the contract documents, the document which rates higher on the followmg list shall take precedence 1 Addenda, �f any, 2 Contract, 3 Scope of Work & Technical Spec�ficat�ons (Exh�bit A) 4 B�d Proposal (Exh�btt E) C Documents Incorporated bv Reference The followmg documents are �ncorporated by reference, to �nclude, but not be limited to 1 Scope of Work & Techn�cal Specificat�ons (Exhibrt A) 2 HVAC Service Locations (Exh�brt B) 3 HVAC Equ�pment L�st►ngs (Exh�b�t C) 4 HVAC Serv�ces and Ma�ntenance L�stmgs (Exh�brt D) 5 B�d Proposal (Exhib�t E) D Nond�scnmmat�on In the h�r�ng of employees for the performance of work under th�s Agreement the Vendor, rts subcontractors, or any person actmg on behalf of Vendor shall not, by reason of race, religion, color, sex, sexual or�entat�on, nat�onal or�g�n, or the presence of any sensory, mental, or physical disab�hty, d�scr�mmate aga�nst any person who �s qual�fied and ava�lable to perform the work to which the employment relates E Comphance with Laws Vendor shall comply w�th all federal, state and local laws, rules and regulations throughout every aspect m the performance of th�s Agreement HVAC Equipment Systems Services and Mamtenance Between the City of Bremerton & Sullivan Heatmg and Coohng, Inc Page 6 of 7 F G f:i � L l►l.l Work Performed at Vendor's R�sk Vendor shall take all precaut�ons necessary and shall be respons�ble for the safety of its employees, agents, and subcontractors m the performance of th�s Agreement All work shall be done at Vendor's own r�sk, and Vendor shall be respons�ble for any loss of or damage to mater�als, tools, or other art�cles used or held for use m connect�on with the work Governmg Law This Agreement shall be governed and construed m accordance w�th the laws of the State of Washmgton If any d�spute ar�ses between the City and Vendor under any of the prov�sions ofth�s Agreement, resolut�on of that dispute shall be available exclus�vely under the�ur�sdict�on, venue and rules of the K�tsap County Super�or Court, Kitsap County, Washmgton Attorne 'sv Fees In any cla�m or lawsu�t for damages ar�smg from the part�es' performance of this Agreement, each party shall be responsible for payment of rts own legal costs and attorney's fees mcurred m defendmg or br�ngmg such cla�m or lawsurt, however, nothmg m th�s subsect�on shall hmrt the C�ty's r�ght to mdemn�ficat�on under Sect�on 9 of th�s Agreement Wr�tten Notice All commumcat�ons regardmg this Agreement shall be sent to the part�es at the addresses I�sted below, unless otherw�se notified Any wr�tten not�ce shall become effective upon delivery, but �n any event three (3) calendar days after the date of mailmg by registered or certified ma�l, and shall be deemed sufficiently g�ven �f sent to the addressee at the address stated m th�s Agreement Not�ces to be sent to VENDOR Attn Erick Carlson Sull�van Heatmg and CoolmR, Inc 950 West Hills Blvd Bremerton, WA 98312 Not�ces to be sent to CITY Attn C� _ Clerk C�ty of Bremerton 345 6` Street, Su�te 600 Bremerton, WA 98337 Ass� nment Any assignment of th�s Agreement by the Vendor wrthout the wntten consent of the C�ty shall be vo�d Modificat�on No waiver, alteration, or mod�ficat�on of any of the provis�ons ofth�s Agreement shall be bmdmg unless m wrrtmg and s�gned by a duly author�zed representat�ve of the C�ty and Vendor Severabilitv lf any one or more sect�ons, sub-sections, or sentences of th�s Agreement are held to be unconstrtuhonal or mvalid, that dec�s�on shall not affect the vandity of the rema�n�ng portion of this Agreement and the remainder shall remam m full force and effect Ent�re Agreemen� The wr�tten prov�s�ons and terms of th�s Agreement, together wrth any attached Exh�brts, supersede all pr�or verbal statements by any representat�ve of the C�ty, and those statements shall not be construed as form�ng a part of or alter�ng m any manner this Agreement Th�s Agreement and any attached Exh�bits conta�n the ent�re Agreement between the part�es Should any language �n any Exh�bit to th�s Agreement confl�ct w�th any language contamed �n th�s Agreement, the terms of this Agreement shall preva�l HVAC Equipment Systems Services and Mamtenance Between the City of Bremerton & Sullrvan Heahng and Coolmg, Inc Page 7 of 7 IN WI'I'NESS WHEREOF, the part�es below have executed th�s Agreement VENDOR Sullivan Heatmg and Cool�ng, Inc By Prn Its Da� HVAC Eqwpment Systems Serv�ces and Mamtenance CITY Ciry of Bremerton : � /� � ' L ��L�Ti�JL_:� �, i i APPROVED AS TO FORM `� l By � Bremerton C�ry Attorney ATTEST . By C�ty Clerk Between the City of Bremerton & Sullivan Heatmg and Coolmg, Inc Page 1 of 4 � ��� r�t SCOPE OF WORK AND TECHNICAL SPECIFICATIONS FOR HVAC EQUIPMENT SYSTEMS SERVICES AND MAINTENANCE EXHIBIT "A" Page 2 of 4 EXHIBIT A SCOPE OF WORK AND TECHNICAL SPECIFICATIONS FOR HVAC EQUIPMENT SYSTEMS SERVICES AND MAINTENANCE The HVAC Contractor shall A Provide 24hour emergency sennce availabdity, to mirnm�ze equipment downtime, with a maximum (3) three-hour response time B Provide local HVAC technicians who are tramed and qualified to mspect, mamtam and repair ail equipment listed in Exhibit "C " C Perform HVAC system mspections to check equipment performance in accordance with the manufacturer's recommendations, equipment appiication, and location D Perform mspections, service and maintenance tasks reqwred for HVAC equipment usmg Exhibit "D," HVAC Services and Mamtenance Listmgs, as a mmimum standard These maintenance services shall be performed by the HVAC contractor (2) two times a year (bi-annuaij and/or one (1) time a year (annual) as listed Any dewation from these standards must be authonzed �n writmg by the authonzed City Representative E Install, per Exhibit "D," disposable air filters wh�ch wdl be purchased by the City and sto�ed on site City staff wili perform additional air filter changes, as necessary, to maintam indoor air quality, reduce energy costs and avoid excessive HVAC equipment wear F Perform all non-emergency HVAC equipment system services, ma�ntenance and repairs between the hours of 7 30 a m to 4 00 p m, Monday through Friday All HVAC services, maintenance and repairs reqwre scheduling with the City's Representative or his/her designee Penodically, events or other C�ty busmess may impede services and maintenance G Obtam pnor approval for any mamtenance or repairs outside the scope of Exhibit "D," HVAC Services and Mamtenance Listings, which wdl result in charges additional to the annual bid amount H Keep an equ�pment information log, on-site, that wdl provide service and maintenance performed, dates completed, and other related informat�on i Follow all safety codes, including wearing of safety glasses and work gloves Follow all recommended warrnngs or cautions as applicable to each HVAC urnt Consult all current local buddmg codes, National Electrical Code (NEC) and City Safety Manual Guidelines, as applicable for speaal requirements Page 3 of 4 HVAC SERVICES AND MAINTENANCE REQUIREMENTS All HVAC serwces, maintenance and repairs shall follow all nationally recogrnzed Heatmg, Ventdation and Air Conditiornng (HVAC} standards, as applicable, from orgarnzations HARDI, ASHRAE, SMACNA, ACCA, Undorm Mechanical Code and AMCA, all appiicable State of Washmgton code requirements, and/or standards acceptable to the City of Bremerton HVAC contractor techrncians servicing, mamtainmg, or �epairmg equipment within the scope of this contract shall possess, at mirnmum Current Washmgton State Labor and Industries "6A — HVAC/R," Joumeyman, or Master Electncian Certificate • EPA section 608, type 2 certification HVAC contractor technicians shall be subJect to City sponsored, fingerprmt-based cnminal background screernng Authorization to work at secunty-sensitive facd�ties may be derned based on negative cnmmal background, at the discretion of the Chief of Police, or his/her designated agent At some locations, a City escort may be required Note ail HVAC eqwpment models and serial numbers have been provided for reference and bidding purposes, but verification by the contractor is recommended Page 4 of 4 CITY CONTACT LIST: A Chris Mottner, Inventory/Factldies Supervisor (City Representative) Phone (360) 473-2316 Email chris mottner(a)ci bremerton wa us B Michael Bishop, Lead Facdities Service Specialist Phone (360) 473-5335 Emad michael bishopC�a.ci bremerton wa us C Customer Response Dispatcher (24-hour message phone) Phone (360) 473-5920 D CenCom, ask for City of Bremerton Facdity Staff Response Phone (360) 308-5400 or 911 .,_.� � ��� r�I HVAC SERVICE LOCATIONS EXHIBIT "B" Public Works and Utdities Department 100 Oyster Bay Ave N. Bremerton, WA 98312 .(360) 473-5920 • FAX (360) 473-5360 HVAC SERVICE LOCATIONS 1 Public Works & Ualities, 100 Oyster Bay Avenue N Z Equipment Services, 104 Oyster Bay Avenue N 3 Utilities Wazehouse & Offices, 106 Oyster Bay Avenue S, 4 Municipal Courts Facility, 550 Park Avenue 5 Naval Museum/Fountain Room Facility, 251 First Street 6 Bremerton Tunnel Control Room, 207 First Street 7 Kitsap Conference Center, 100 Washington Avenue 8 Bremerton Harborside Parlcing Facihty, 100 Washington Avenue 9 Library Bmlding, 612 Fifth Street 10 Forestry Office, 9600 McKenna Falls Road 11 Police Facility, 1025 Burwell Street 12 Police Special Operations, 3029 Olympus Drive 13 Ut�hties Building, 3027 Olympus Dnve 14 Fire Depanment Warehouse, 3033 Olympus Dnve 15 Fire Station #1, 911 Park Avenue 16 Fire Station #2, 5005 ICitsap Way 17 Fire Station #3, 3031 Olympus Drive 18 Parks Department, 680 Lebo Boulevard 19 Senior Center, 1136 Nipsic Avenue 20 Gold Mountain Golf Course Clubhouse, 7263 W Belfair Valley Road 21 Gold Mountain Golf Course Maintenance Building, 7263 W Belfair Valley Road 22 Parks Green House, 2800 Birch Street 23 IJV Water Treatment Facility, 8601 W Belfair Valley Road EXHIBIT u�» � ��� ��► HVAC EQUIPli�IENT LISTINGS EXHIBIT "C" LOCATION 1 Public Works and Utilities Department 100 Oyster Bay Avenue N. 'rrUnit;#a °�� :;f411anufacturer,� -' �' �°�� `��' �����`����-����`% �Y �''=:�5`e�ial= "u'' _ _ R- a i _ L ,r t C �>"` i i+ ° Yi , HP-1 TRANE TWAl20A4006A HE1198924 AHU-1 TRANE TWE120A300BA H44170999 H P-2 TRAN E TW E090A4006A H33198620 AHU-2 TRANE TWE90A300BA H39170128 H P-3 TRAN E TWA036C300A1 H46240960 AHU-3 TRANE TWE036C140A0 H49839499 HP-4 TRANE TWA048D400A1 Z4635TR3F AHU-4 TRANE TWE048P13FB0 Z4928WY2V HP-5 TRANE TWA036D400A0 R384KOX4F AHU-5 TRANE TWE036P13F60 Z483KYG2V HP-6 TRANE TWA060D400A1 Z2111 T51 F AHU-6 TRANE TWE060C15FD0 Z371 PGRIV BF-1 GREENHECK SWB-18-3 94A13003 BF-2 GREENHECK SWB-27-5 94A13937 UH-1 TRANE GPND010AAD10000 A93L37456 UH-2 TRANE GPND006AAD10000 A93L37458 U H-3 TRAN E GCND015AAD 10000 A93L37454 UH-4 TRANE GCND015AAD10000 A93L37455 UH-5 REZNOR UDAP45 BHJ79Y2N74607X UH-6 TRANE GPNDOI0AAD10000 A93L37457 EF-1 GREENHECK GP-140-7 94A11102 EF-2 GREENHECK FH1-16X24 94A13857 EF-3 GREENHECK FH1-16X24 94A13858 EF-4 GREENHECK FH1-12X12 94A07853 EF-5 GREENHECK GB-120-4X-QD 93J15415 EF-6 GREENHECK FHR-16X24 94A13865 EF-7 GREENHECK GB-90-4X-QD 94Al2727 EF-8 GREENHECK FH1-30X30 94A013860 EF-9 GREENHECK FH1-20X36 94A13859 HVAC EQUIPMENT LISTINGS, PAGE 1 OF 23 LOCATION 2 Equipment Services 104 Osyter Bay Avenue N. HVAC ECIUIPMENT LISTINGS, PAGE 2 OF 23 LOCATION 3 Utilities Warehouse and Offices 106 Oyster Bay Avenue S. HVAC EQUIPMENT LISTINGS, PAGE 3 OF 23 LOCATION 4 Municipal Courts Facility 550 Park Avenue HVAC EQUIPMENT LISTINGS, PAGE 4 OF 23 LOCATION 5 Naval Museum/Fountain Room Facility 251 First Street ' ZONE CONTROL SYSTEM INCLUDING THREE (3) MOTORIZED DAMPERS HVAC EQUtPMENT LISTINGS, PAGE 5 OF 23 LOCATION 6 Bremerton Tunnel Control Room 207 First Street HVAC EQUIPMENT LISTINGS, PAGE 6 OF 23 LOCATION 7 Kitsap Conference Center 100 Washington Avenue e t+ C " �' � N v ' F i " � :" ' ' `}. `' [ 'x "`z..'�h �n,z"ir— �.,. L y S > < 4� x�tl'lhit,#r�. --.��,-, �.�,T ��,Ma�yfact�icer�_;t>,�. ,:� x,�� � FModel"# r_.y ,�, ;�,..- t�=�.�3ena1,#.y � .. ;� E,_,� EF-101 GREENHECK BSQ-160-15 w EF-R02 GREENHECK CUBE-180-10 HP-101 TRANE TWE120A35 CU-101 TRANE TWAl20A4 AC-M01 MAMMOTH 80 Tons WX-1052-GXL CU-ROt CARRIER 80 Tons) 09DK-084 VAV-101 NAILOR D35SE-1003 VAV-102 NAILOR D35SEST-1204 VAV-103 NAILOR D35SEST-1204 VAV-104 NAILOR D35SE-1205 VAV-105 NAILOR D35SEST-1607 VAV-106 NAILOR D35SEST 1607 VAV-107 NAIIOR D35SEST-1607 VAV-110 NAILOR D35EST-1204 VAV-111 NAILOR D35EST-1204 VAV-112 NAILOR D35EST-1204 VAV-113 NAILOR D35EST-1204 VAV-114 NAILOR D35EST-1204 VAV-115 NAILOR D35EST-1204 VAV-116 NAILOR D35EST-1204 VAV-117 NAILOR D35EST-1204 VAV-118 NAILOR D35EST-1204 VAV-119 NAILOR D35EST-1204 VAV-120 NAILOR D35EST-1204 VAV-121 NAILOR D35EST-1204 VAV-122 NAILOR D35EST-1204 VAV-124 NAILOR D3001-12 VAV-125 NAILOR D35SEST-1204 ET-M01 AMTROL AX-15 B-M01 RAYPACK HI-Delta 402 EDH-101 INDEECO QUA GR-M01 MAXITROL 325-5AL600 GR-MO2 MAXITROL 325-5AL600 HVAC EC�UIPMENT LISTINGS, PAGE 7 OF 23 LOCATION 8 Bremerton Harborside Parking Facility 100 Washington Avenue `' ;_�; `l(nit��sK x X ,. .r� AManirfa"cfuT���� r Y�� ; �, � ,. _,, `° ;��MQdeh#:� � , ,��� Y r y,,�<� -- -� �:,v � >�rSena `�5- �-� .-�;�: >a R,. YV L ^< £^ � 4Si-� rx Y�i+ Y� � _S�+r.. CF-P301 DAYTON 5M196 CF-P302 DAYTON 5M196 CF-P201 DAYTON 5M196 CF-P202 DAYTON 5M196 CF-P101 DAYTON 5M196 CF-P102 DAYTON 5M196 CF-P103 DAYTON 5M196 GEF-P301 GREENHECK SBE-2L42-75 GEF-P3Q2 GREENHECK SBE-2L42-75 GEF-201 GREENHECK SBE-3L54-150 GEF-P202 GREENHECK SBE-3L54-150 GEF-P101 GREENHECK SBE-3L48-100 GEF-P102 GREENHECK SBE-3L48-100 EF-P101 GREENHECK SBE-2H24-5 HP-P201 BARD WH-602C09 EF-P102 GREENHECK CSP-A2150 EF-P301 GREENHECK CSP-A1410 EF-P202 GREENHECK CSP-264 EF-P206 GREENHECK CSP-A2150 EF-P201 GREENHECK CSP-263 EF-P205 GREENHECK CSP-12150 VAV-126 NAILOR D35SEST-1205 VAV-127 NAILOR D35SE-0802 HVAC EQUIPMENT LISTINGS, PAGE 8 OF 23 LOCATION 9 Library Building 612 Fifth Street HVAC EQUIPMENT LISTINGS, PAGE 9 OF 23 LOCATION 10 Forestry Office 9600 McKenna Falls Road HVAC EQUIPMENT LISTINGS, PAGE 10 OF 23 LOCATION 11 Police Facility 1025 Burwell Street ` ` "rz��.-„ n 3r r ° ti �,1, '2 r •,. .^Ci � "., x�� _u i r T kb, a g � ; Uni�#�, � MarlufactureF�t °y- ,j�'«� , �;>� :Model�� ° ��� „- f �°=SeciaL#�`i�k: �:���.- a . 6 �b � -f� *? . r: ti��.� i � 1s �Yr"'G•.a e^v-e. �k�ag $ CP-1 TRANE � CGAEC30GABA19GYRT J95A68009 AHU-1 TRANE 10CCZ1 E U3G29488 RTU-1 TRANE BW0090F300HC N/A RTU-2 TRANE BW0036 N/A RTU-3 TRANE WSCO36E3REAOSD N/A HP-2 MCQUAY ACZ025AC12-ER10 STNUO20800023 AHU-2 MCQUAY LSL122DH 3PM00256-02 DH-1 THRU 8 Various Vanous Vanous AC-1 THRU �1 TRANE A35AE030/D16A0060 Vanous HP-3 CARRIER 38BNCO24301 AHU-3 CARRIER N/A WAC-1 AMANA PTH093635ARBR 0805743788 WAC-2 AMANA PTH093635ARBR 0805743792 EF-1 GREENHECK CUBE 101-4 N/A EF-2 GREENHECK SP-B90 N/A EF-3 GREENHECK CSP-A710 N/A EF-4 GREENHECK CSP-A1410 N/A EF-5 GREENHECK CSP-A510 HVAC E�UIPMENT LISTINGS, PAGE 11 OF 23 LOCATiON 12 Police Special Operations 3029 Olympus Drive HVAG EQUIPMENT LISTINGS, PAGE 12 OF 23 LOCATION 13 Utilities Building HVAC EClUIPMENT LISTINGS, PAGE 13 OF 23 LOCATION 14 Fire Department Warehouse 3033 Olympus Drive HVAC EQUIPMENT LISTINGS, PAGE 14 OF 23 LOCATION 15 Fire Station 1 911 Park Avenue >�,:� uUrii��#=t���' �'�Manufacturer ' "Y� 7 '2r�r�, �x �,,��� �". ,_� 1 _�;c�S.e`rial�,#_��:== 1 ��`�kE; �.; HP-1 AAON CA0707 200412-CCCC04439 AHU-4 AAON HB10603 200412-CBEB01321 HP-2 AAON CA0707 200412-CCCD04440 AHU-2 AAON VB10377 200412-CBEB01322 HP-3 AAON CA0708 200412-CCCC04444 AHU-3 AAON VB10379 200412-C63601326 HP-4 AAON CA0708 200412-CCCC04443 AHU-4 AAON HB10602 200412-CBE601325 HP-5 AAON CA0710 200412-CCCE04445 AHU-5 AAON VC10608 200412-CBEC01327 HP-6 AAON CA0707 200412-CCCD04441 AHU-6 AAON HC10710 200412-CBEC01323 HP-7 AAON CA0708 200412-CCCC04444 AHU-7 AAON VB10378 200412-CBEB01324 MAU-1 REZNOR SCE-225-6-SMP EBDK6603N08714/MPI UH-1 REZNOR UDAS60 N/A UH-2 REZNOR UDAS60 N/A EF-1 GREENHECK GB-300-20 04K09144 EF-2 GREENHECK GB-141-3 04K09413 EF-3 GREENHECK CSP-A290 N/A EF-4 GREENHECK GB-101-4 04K09244 EF-5 GREENHECK GB-081-6 04K09225 EF-6 GREENHECK GB-091-4 04K09232 EF-7 GREENHECK CSP-A700 N/A EF-8 GREENHECK GB-300-20 04K09145 KEF-1 GREENHECK CUBE-180HP-15 04K09113 HVAC EQUIPMENT LISTINGS, PAGE 15 OF 23 LOCATION 16 Fire Station #2 5005 Kitsap Way HVAC EQUIPMENT LISTINGS, PAGE 16 OF 23 LOCATION 17 Fire Station #3 3031 Olympus Drive HVAC EC2UIPMENT LISTINGS, PAGE 17 OF 23 LOCATION 18 PARKS DEPARTMENT 680 Lebo Boulevard HVAC EQUIPMENT LISTINGS, PAGE 18 OF 23 LOCATION 19 Senior Center 1136 Nipsic Avenue HVAC EQUIPMENT LISTINGS, PAGE 19 OF 23 LOCATION 20 Gold Mountain Gold Course Clubhouse T263 W. Belfair Valley Road HVAC EQUIPMENT LISTINGS, PAGE 20 OF 23 LOCATION 21 Gold Mountain Gold Course Maintenance Building 7263 W. Belfair Valley Rd. HVAC EQUIPMENT LISTINGS, PAGE 21 OF 23 LOCATION 22 Parks Green House 2800 Birch Street HVAC EQUIPMENT LISTINGS, PAGE 22 OF 23 LOCATION 23 UV Water Treatment Facility 8601 W. Belfair Valley Road �•••�.��� ,:_rnr�an.uracturer�, �;�� `�; k�- - ", 3 x ?� EF-1 GREENHECK EF-2 GREENHECK SF-1 GREENHECK SF-1 GREENHECK DH-1 TUTCO DH-2 TUTCO AC-1 MITSUBISHI AC-1 MITSUBISHI AC-2 MITSUBISHI AC-2 MITSUBISHI AC-3 MITSUBISHI AC-3 MITSUBISHI 15-X 15-X DHC 3018-60 0-3P DHC 3018-50 0-3P 'UZ-A30NHA4 MSZ-FE12NA MSZ-FE12NA MSZ-FE12NA MSZ-FE12NA 122045291009 122045301009 12204533 1009 1220453� � nnc► 222568-001 #1 222568-001 #2 04A00117C 9004528 T 9002523 T 9004428 T 9003252 T ;� HVAC EQUIPMENT LISTINGS, PAGE 23 OF 23 � ��� ��� HVAC SERVICES AND MAINTENANCE LISTINGS EXHIBIT "D" Page 2 of 7 SPUT_HEAT PUMPS, SPLIT AIR CONDITIONING. 8 AIR HANDLING UINTS [HP, AHU, GP, AC, CU, MAU, WAC] BI ANNUAL MAINTENANCE Replace disposable filter(s) Inspect fresh air mtake screen Inspect all panels and cabinet insulation inspect and clean condensate drain system / add pan tablets as needed Inspect cabinet and all painted surfaces Clean urnt and surrounding area Check economizer and associated eqwpment for proper operation, if equipped inspect blower motor, blower pulleys, and ad�ust belts as needed Check proper operation of duct system controls Check buddmg pressure control fans and related equipment Inspect wirmg and all electncal components Check contactor points Record all motor and compressor currents and venfy withm speafications Check liquid line sight glass for indication of moisture and/or bubbles Inspect ACR piping and insulation, perform visuai leak check Inspect condenser / evaporator coil condition Inspect condenser fans Inspect safety controls Inspect operational controls Lube beanngs per manufacturer's recommendations Inspect thermostat ANNUAL MAINTENANCE Clean retum air grdles and supply diffusers as needed Clean retum air section Replace all belts Label old belt as emergency spare and store m cabmet Clean burners Inspect ignition controls inspect heater safety Inspect heat exchangers Inspect heater operational controis / valves / forced draft blower Check marnfold pressure Check electric heating elements for proper resistance Inspect disconnect / fuses Inspect winng / tighten connections Check crankcase heater operation Inspect compressor Record each circuit's refngerant pressures, superheat, subcooling, and ambient temperature Check chilled water loop inlet and outlet Clean condenser coil Clean evaporator cod Replace thermostat batteries Page 3 of 7 GAS BOILER [GB, B, GR� ET] BI ANNUAL MAINTENANCE (Seasonal) Inspect ail painted surfaces / panels Clean unit and surroundmg areas Inspect operational controls Check operating pressure Test low water cut off Check blow down valve Check pressure relief for proper operation Test flow control Check high temperature limit Inspect gaskets for leaks Check of proper gauge operation and visibdity Check temperature sensors for proper operation Clean and ad�ust ignition electrodes Check heatmg elements for proper resistance ANNUAL MAINTENANCE � SAFETY INSPECTION Disassemble, mspect and clean low water cut off, reassemble with new gaskets Puil and clean burners Ciean pilot/electrodes Check heat exchanger Clean and test combustion / draft fan PerForm flue gas analysis on forced draft burners only Check / set marnfold pressure Check draft and ad�ust draft regulator as needed Check for fuel vent blockages Check and clean water feed valve Check expansion tank for proper water levels and mspect for leaks or cracks Test all operational controls and operating cycle Record motor current and voltage and verify with�n specificat�ons Lube burner Imkage Test all safety controls Check heatmg elements for proper resistance Inspect wmng 1 tighten connections Check isolation valves for proper operation Check disconnect and fuses / breaker Page 4 of 7 FURNACES [FU] BI ANNUAL MAINTENANCE Replace disposable filter(s) Inspect all panels and cabmet insulation Inspect and clean condensate drain system Inspect cabmet and all painted surfaces Ciean urnt and surrounding area inspect blower motor, blower pulleys, and ad�ust belts as needed Inspect wmng and all electrical components Check contactor pomts Record alt motor and compressor currents and verify within specifications inspect safety controls Inspect operational controls Lube bear�ngs per manufacturer's recommendations Inspect thermostat ANNUAL MAINTENANCE Clean burners Clean pdot / electrodes Inspect heat exchangers Inspect draft fan / clean as needed Inspect flue pipe and cap Test safety controls Replace thermostat battenes Page 5 of 7 GAS FIRED UNIT HEATERS [UH} ANNUAL MAINTENANCE Inspect cabmet and all pamted surfaces Clean urnt and surrounding area Clean burners Ciean pilot / electrodes Inspect heat exchangers Inspect draft fan / clean as needed Inspect flue pipe and cap Inspect blower motor for signs of overheatmg and beanng wear inspect and ad�ust beits Inspect motor and blower pulleys for wear Lube beanngs per manufacturer's recommendations Inspect ignition controls Inspect wmng / tighten connections Inspect disconnect / fuses Record motor current and voltage and verify within specifications Test safety controls Check manifold pressure Replace / clean filters Inspect thermostat Page 6 of 7 ELECTRIC UNIT HEATERS � DUCT HEATERS {VAV, EDH, DH, UH] ANNUAL MAINTENANCE Inspect cabmet and ali pamted surfaces Clean urnt and surrounding area Inspect disconnect / fuses Inspect wiring / tighten connections Check electric heat contactors and limits Check damper actuators and dampers for proper operation / position Inspect blower wheel Inspect blower motor for signs of overheatmg and bearing wear Record motor current and voltage and verify withm specifications Repiace / clean filters if applicable Page 7 of 7 FANS [BF, EF, GEF, CF, KEF] ANNUAL MAINTENANCE Inspect cabinet and all pamted surfaces Clean urnt and surrounding area Inspect blower wheei Inspect blower motor and blower puileys for signs of overheating and beanng wear Inspect and ad�ust belts Inspect motor and blower pulleys for wear Lube beanngs per manufacturer's recommendations Inspect motor controller and or overload Record motor current and voltage and verify withm specifications Inspect wiring / tighten connections Inspect disconnect / fuses Replace / clean fiiters if applicable Pa?e I of 4 � ��� ��► BID PROPOSAL EXHIBIT "E" Page 2 of 4 EXHIBIT E BID PROPOSAL HVAC EQUIPMENT SYSTEMS SERVICES AND MAINTENANCE CITY OF BREMERTON NOTE Due to the vaned City Departments and funds included within this HVAC Services Proposal, each location will be bid separately, cost per �ar SERVICE / MAINTENANCE COST PER EACH LOCATION LISTED, TOTALS WILL BE CONSIDERED IN LOWEST BID DETERMINATIONS 1 2 3 4 5 6 7 8 Public Works & Ut�lrties $ 1,076.40 � 451.20 � 280.80 $ � 74A Rn $ 748.80 $ 187.20 $� $ 1,216.80 $ 936.00 � �s7.2o $ 1,591.20 $ 280.80 $ 561,60 $ 187.20 $ 1�216.80 $ 56i .60 $ 561.60 $ 280.80 $ 280.80 $ �4s.so $ 468.00 $ 280.80 $ a�1.60 Equipment Services Utilities Warehouse & Offices Murucipal Courts Facility Naval Museum/Fountain Room Facihty Bremerton Tunnel Control Room Kitsap Conference Center Bremerton Harborside Parlung Facihty 9 Library Bwlc�ng 10 Forestry Office 11 Pol�ce Fac�lity 12 Police Special Operanons 13 UUlities Bu�lduig 14 Fire Department Warehouse 15 Fire Station # 1 16 Fire Station #2 17 Fire Station #3 18 19 20 21 22 23 Parks Department Semor Center Gold Mountain Golf Course Clubhouse Gold Mountauz Golf Course Maintenance $u�lding Parks Green House W Water Treatment Facihty � 'CIiT.OF ,. BREMER HVAC TECHNICIAN SERVICE RATES Page 3 of 4 Indicate per hour rates below for additional work not listed m"Exhibit D" HVAC Services and Maintenance Listings List separately afterhours and/or emergency call back rates, if applicable City of Bremerton contract requirements and Washington State prevailmg wage rates may apply HVAC Techrncian Service Regular Rates HVAC Technician Service Overtime Rates Fuel/Environmental Trip Charge HVAC Controls Technician Service Regular Rates HVAC Controls Techrncian Service Overtime Rates Fuel/Environmental Tr►p Charge $-9s-oo per hour $142.50 per hour $ �_ per visit � 9 __ per hour $142.50 per hour $=_ per visit Page 4 of 4 BID EXCLUSIONS A Washington State Sales Tax B Replacement of HVAC equipment, or controls C HVAC controls software updates or programming D Duct work repairs or improvements • ��1 SULLHE2 OP ID: RB ,4coREY CERTIFICATE OF LIABILITY INSURANCE DATE 13/2015Y) �'�� i � ���� 11/13/2015 THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE HOLDER. THIS CERTIFICATE DOES NOT AFFIRMATIVELY OR NEGATIVELY AMEND, EXTEND OR ALTER THE COVERAGE AFFORDED BY THE POLICIES BELOW. THIS CERTIFICATE OF INSURANCE DOES NOT CONSTITUTE A CONTRACT BETWEEN THE ISSUING INSURER(S), AUTHORIZED REPRESENTATIVE OR PRODUCER,AND THE CERTIFICATE HOLDER. IMPORTANT: If the certificate r holder is an ADDITIONAL INSURED,the policy(ies) must be endorsed. If SUBROGATION IS WAIVED,subject to the terms and conditions of the policy,certain policies may require an endorsement. A statement on this certificate does not confer rights to the certificate holder in lieu of such endorsement(s). PRODUCER CONTACT AM Edgren Hecker&Lemmon Ins Inc PHONE Rich Hecker • FAX P.O.Box 986 (Nc,No,Ext):360-779-4448 (A/C,No): 360-697-4598 Poulsbo,WA 98370ADD/ESS: •rich@ehlinsurance.com Rich Hecker INSURER(S)AFFORDING COVERAGE NAIC# • INSURER A:American Hallmark Insurance 43494 INSURED Sullivan Heating&Cooling,Inc INSURER B: JD Sullivan Investments, LLC 5373 Auto Center Way Ste 205 INSURER C: 0 Bremerton,WA 98312 INSURER D: (OAkt. • , INSURER E: INSURER F: COVERAGES CERTIFICATE NUMBER: REVISION NUMBER: THIS IS TO CERTIFY THAT THE POLICIES OF INSURANCE LISTED BELOW HAVE BEEN ISSUED TO THE INSURED NAMED ABOVE FOR THE POLICY PERIOD INDICATED. NOTWITHSTANDING ANY REQUIREMENT, TERM OR CONDITION OF ANY CONTRACT OR OTHER DOCUMENT WITH RESPECT TO WHICH THIS CERTIFICATE MAY BE ISSUED OR MAY PERTAIN, THE INSURANCE AFFORDED BY THE POLICIES DESCRIBED HEREIN IS SUBJECT TO ALL THE TERMS, EXCLUSIONS AND CONDITIONS OF SUCH POLICIES.LIMITS SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS. INSR ADDL SUBR POLICY EFF POLICY EXP LTR TYPE OF INSURANCE NSD WVD POLICY NUMBER POLICY EFF POLICY EXP LIMITS (MM/DD/YYYY) (MM/DD/YYYY) A X COMMERCIAL GENERAL LIABILITY EACH OCCURRENCE $ V 1,000,000 CLAIMS-MADE X OCCUR X 44CL48605RECEIVED 11/29/2015 11/29/2016 DAMAGE TO RENTEDaoccurrence) $ 100,000 PREMISES(E MED EXP(Any one person) $ 5,000 N O V 2 3 2015 PERSONAL&ADV INJURY $ 1,000,000 GEN'L AGGREGATE LIMIT APPLIES PER: ` GENERAL AGGREGATE $ 2,000,000 POLICY X E LOC PRODUCTS-COMP/OP AGG $ 2,000,000 OTHER: City of Bremerton $ AUTOMOBILE LIABILITY Risk Managefllt;lit COMBINED SINGLE LIMIT (Ea accident) $ 1,000,000 A X ANY AUTO 44CL486050 11/29/2015 11/29/2016 BODILY INJURY(Per person) $ ALL OWNED SCHEDULED BODILY INJURY(Per accident) $ AUTOS _ AUTOS X X NON-OWNED PROPERTY DAMAGE $ HIRED AUTOS AUTOS (Per accident) $ X UMBRELLA LIAB OCCUR EACH OCCURRENCE $ 3,000,000 A EXCESS LIAB CLAIMS-MADE 44CU486051 11/29/2015 11/29/2016 AGGREGATE $ 3,000,000 DED X RETENTION$ 10,000 $ WORKERS COMPENSATION PER 0TH- AND EMPLOYERS'LIABILITY STATUTE X ER YIN A ANY PROPRIETOR/PARTNER/EXECUTIVE 44CL486050 11/29/2015 11/29/2016 E.L.EACH ACCIDENT $ 1,000,000 OFFICER/MEMBER EXCLUDED? N/A • (Mandatory in NH) WA STOP GAP E.L.DISEASE-EA EMPLOYEE $ 1,000,000 If yes,describe under .DESCRIPTION OF OPERATIONS below . " .E.L.DISEASE POI ICy LIMIT $ 1.000.000. DESCRIPTION OF OPERATIONS/LOCATIONS/VEHICLES (ACORD 101,Additional Remarks Schedule,may be attached if more space is required) Certificate Holders is named as additional insured per attached MP9767.Coverage is Primary&Non-contributory per attached MP9767. CERTIFICATE HOLDER CANCELLATION . CITYBRB SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE Cityof Bremerton THE EXPIRATION DATE THEREOF, NOTICE WILL BE DELIVERED IN ACCORDANCE WITH THE POLICY PROVISIONS. 345 6th Street,Suite 600 Bremerton,WA 98337 AUTHORIZED REPRESENTATIVE ©1988-2014 ACORD CORPORATION. All rights reserved. ACORD 25(2014/01) The ACORD name and logo are registered marks of ACORD SULLH 2 '`)OP ID: SQUI ACORP O CERTIFICATE OF LIABILITY INSURANCE DATE /DD/YYYY) 4....------- 111/17/2016/17/2016 THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE HOLDER. THIS CERTIFICATE DOES NOT AFFIRMATIVELY OR NEGATIVELY AMEND, EXTEND OR ALTER THE COVERAGE AFFORDED BY THE POLICIES BELOW. THIS CERTIFICATE OF INSURANCE DOES NOT CONSTITUTE A CONTRACT BETWEEN THE ISSUING INSURER(S), AUTHORIZED REPRESENTATIVE OR PRODUCER,AND THE CERTIFICATE HOLDER. IMPORTANT: If the certificate holder is an ADDITIONAL INSURED, the policy(ies) must be endorsed. If SUBROGATION IS WAIVED, subject to the terms and conditions of the policy, certain policies may require an endorsement. A statement on this certificate does not confer rights to the certificate holder in lieu of such endorsement(s). PRODUCER CONTACT NAME: Edgren Hecker&Lemmon Ins Inc PHONE Rhonda Byers FAX P.O.Box 986 (A/C.No,Ext):360-779-4448 (A/C,No): 360-697-4598 Poulsbo,WA 98370 I Rich Hecker RECEIVED ADDRESS:rbyers@ehlinsurance.Com INSURER(S)AFFORDING COVERAGE NAIL# INSURER A:American Hallmark Insurance 43494 INSURED Sullivan Heating&Cooling,lnc NOV 2 1 2016 INSURER B: JD Sullivan Investments, LLC 5373 Auto Center Way Ste 205 INSURER C: \` Bremerton,WA 98312 City of Bremerton INSURER D: Risk Management INSURER E: t / / INSURER F: COVERAGES CERTIFICATE NUMBER: REVI N NUMBER: THIS IS TO CERTIFY THAT THE POLICIES OF INSURANCE LISTED BELOW HAVE BEEN ISSUED TO THE INSURED NAMED ABOVE FOR THE POLICY PERIOD INDICATED. NOTWITHSTANDING ANY REQUIREMENT, TERM OR CONDITION OF ANY CONTRACT OR OTHER DOCUMENT WITH RESPECT TO WHICH THIS CERTIFICATE MAY BE ISSUED OR MAY PERTAIN, THE INSURANCE AFFORDED BY THE POLICIES DESCRIBED HEREIN IS SUBJECT TO ALL THE TERMS. EXCLUSIONS AND CONDITIONS OF SUCH POLICIES.LIMITS SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS. INSR ADDL SUBR LTR TYPE OF INSURANCE NVIMD SD POLICY NUMBERPOLICY EFF POLICY EXP LIMITS (MM/DD/YYYY) (MMIDD/YYYY) A X COMMERCIAL GENERAL LIABILITY EACH OCCURRENCE $ V 1,000,000 CLAIMS-MADE X OCCUR X 44CL486050 11/29/2016 11/29/2017 PREMISES RENTEDaoccurrence) $ 100,000 TO(E MED EXP(Any one person) $ 5,000 PERSONAL&ADV INJURY $ i 1,000,000 GEN'L AGGREGATE LIMIT APPLIES PER: GENERAL AGGREGATE $ ✓ 2,000,000 POLICY X PEtg, LOC PRODUCTS-COMP/OP AGG $ 2,000,000 OTHER. $ AUTOMOBILE LIABILITY COMBINED SINGLE LIMIT (Ea accident) $ NV 1,000,000 A X ANY AUTO 44CL486050 11/29/2016 11/29/2017 BODILY INJURY(Per person) $ ALL OWNED SCHEDULED BODILY INJURY(Per accident) $ AUTOS AUTOS _ X X NON-OWNED PROPERTY DAMAGE $ HIRED AUTOS AUTOS (Per accident) $ X UMBRELLA LIAB OCCUR EACH OCCURRENCE $ 3,000,000 A EXCESS LIAB CLAIMS-MADE 44CU486051 11/29/2016 11/29/2017 AGGREGATE $ 3,000,000 DED X RETENTION$ 10,000 $ WORKERS COMPENSATION PER 0TH- AND EMPLOYERS'LIABILITY STATUTE X ER Y/N A ANY PROPRIETOR/PARTNER/EXECUTIVE 44CL486050 11/29/2016 11/29/2017 E.L.EACH ACCIDENT $ 1,000,000 OFFICER/MEMBER EXCLUDED? N/A (Mandatory in NH) WA STOP GAP E.L.DISEASE-EA EMPLOYEE $ 1,000,000 If yes,describe under DESCRIPTION OF OPERATIONS below E.L.DISEASE-POLICY LIMIT $ 1,000,000 DESCRIPTION OF OPERATIONS/LOCATIONS/VEHICLES (ACORD 101,Additional Remarks Schedule,may be attached if more space is required) Certificate Holders is named as additional insured per attached MP9767. Coverage is Primary& Non-contributory per attached MP9767. CERTIFICATE HOLDER CANCELLATION CITYBRB SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE THE EXPIRATION DATE THEREOF, NOTICE WILL BE DELIVERED IN City of Bremerton ACCORDANCE WITH THE POLICY PROVISIONS. 345 6th Street,Suite 600 Bremerton,WA 98337 AUTHORIZED REPRESENTATIVE Rich Hecker ©1988-2014 ACORD CORPORATION. All rights reserved. ACORD 25(2014/01) The ACORD name and logo are registered marks of ACORD ARTISANS ADVANTAGE ENHANCED COVERAGE ENDORSEMENT THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY. RECEIVED This endorsement modifies insurance provided under the following: BUILDING AND PERSONAL PROPERTY COVERAGE FORM NOV 2 1 2016 CAUSES OF LOSS—SPECIAL FORM COMMERCIAL PROPERTY CONDITIONS City of Bremerton COMMERCIAL GENERAL LIABILITY COVERAGE FORM Risk Management When this endorsement is attached to the policy, insurance under the Building and Personal Property Coverage Form, the Causes of Loss—Special Form,the Commercial Property Conditions and the Commercial General Liability Coverage Form is enhanced to provide the coverages described in this endorsement. All other conditions of the policy continue to apply. This coverage is subject to the provisions applicable to the Building and Personal Property Coverage Form, Causes of Loss— Special Form, the Commercial Property Conditions and the General Liability Coverage Form. SCHEDULE Coverage Enhancements Limits of Insurance Each Location Property Coverage Premises Boundary 1,000 feet Property Coverage Extensions Newly Acquired or Constructed Property Buildings $500,000. at Each Building Business Personal Property $250,000. at Each Building Personal Effects and Property of Others $ 25,000. at Replacement Cost Valuable Papers and Records (Other than Electronic Data) $ 25,000. Property Off-Premises (Including Laptops and Other Electronic Equipment) $ 15,000. Outdoor Property(Named Perils) $ 1,000. per tree/shrub, max. limit$25,000. Non-Owned Detached Trailers $ 10,000. Accounts Receivable $ 50,000. Property in Transit (Including Laptops and Other Electronic Equipment) $ 15,000. Fine Arts $ 25,000. Property Additional Coverages Debris Removal $ 25,000. Fire Department Service Charge $ 5,000. Pollutant Clean-up and Removal $ 15,000. Electronic Data $ 25,000. Interruption of Computer Operations $ 15,000. Arson Reward $ 5,000. Water Back-Up and Sump Overflow $ 25,000. Brands and Labels $ 25,000. Employee Theft $ 10,000. Business Income Including Extra Expense $ 25,000. Business Income from Dependent Properties $ 10,000. Claims Expenses $ 10,000. Inventory or Appraisal Cost $ 5,000. Money and Securities Inside $ 10,000. Outside $ 5,000. Off Premises Power Failure— Direct Damage $ 10,000. Ordinance or Law Coverage Coverage A Included within Building Limit. Coverages B and C Combined 25% of Bldg. Limit, $150,000. maximum Outdoor Signs $ 10,000. Recharging of Fire Extinguishers $ 5,000. Unauthorized Business Card Use $ 5,000. Forgery or Alteration $ 10,000. Salespersons Samples $ 2,500. MP 97 67 10 10 Includes copyrighted material of Insurance Services Office, Inc.and Page 1 of 25 American Association of Insurance Services,Inc.,with their permission • Inland Marine Coverages Installation Coverage $ 10,000. Contractors Equipment Coverages: Small Tools $ 5,000. (Maximum limit per item $1,000) Employee Small Tools $ 1,000. (Maximum limit per item $250) Leased and Rented Equipment $ 5,000. Rental Reimbursement $ 1,000. General Liability Additional Coverages Blanket Additional Insured (Including Primary Non-Contributing Coverage) Included in Each Occurrence Limit Mobile Equipment Broadened Coverage Included in Each Occurrence Limit Aggregate Limit Per Project Included in Each Occurrence Limit Blanket Waiver Included in Each Occurrence Limit Voluntary Property Damage Coverage $ 2,500. The following applies to coverages under this endorsement only. Property Coverage The phrase'within 100 feet of the described premises'used in Paragraphs a.(5)(b), b.and c.(2)under A.1.Covered Property of the BUILDING AND PERSONAL PROPERTY COVERAGE FORM and Paragraph 2.c.(1) under C. Limitations of the CAUSES OF LOSS—SPECIAL FORM is replaced by the phrase 'within 1,000 feet of the described premises'. Property Coverage Extensions Paragraph A.5. Coverage Extensions of the BUILDING AND PERSONAL PROPERTY COVERAGE FORM is deleted in its entirety and replaced by the following: 5. Coverage Extensions Except as otherwise provided, the following Extensions apply to property located in or on the building described in the Declarations or in the open (or in a vehicle)within 1,000 feet of the described premises. If a Coinsurance percentage of 80% or more or, a Value Reporting period symbol, is shown in the Declarations, you may extend the insurance provided by this Coverage Part as follows: a. Newly Acquired Or Constructed Property (1) Buildings If this policy covers Building, you may extend that insurance to apply to: (a) Your new buildings while being built on the described premises; and (b) Buildings you acquire at locations, other than the described premises, intended for: (i) Similar use as the building described in the Declarations; or (ii) Use as a warehouse. The most we will pay for loss or damage under this Extension is$500,000 at each building. (2) Your Business Personal Property (a) If this policy covers Your Business Personal Property, you may extend that insurance to apply to: (i) Business personal property, including such property that you newly acquire,at any location you acquire,at any location you acquire other than at fairs, trade shows or exhibitions; (ii) Business personal property, including such property that you newly acquire, located at your newly constructed or acquired buildings at the location described in the Declarations; or (iii) Business personal property that you newly acquire, located at the described premises. The most we will pay for loss or damage under this Extension is $250,000 at each building. (b) This Extension does not apply to: Page 2 of 25 Includes copyrighted material of Insurance Services Office, Inc.and MP 97 67 10 10 American Association of Insurance Services,Inc.,with their permission (i) Personal property of others that is temporarily in your possession in the course of installing or performing work on such property; or (ii) Personal property of others that is temporarily in your possession in the course of your manufacturing or wholesaling activities. (3) Period of Coverage With respect to insurance on or at each newly acquired or constructed property, coverage will end when any of the following first occurs: (a) This policy expires; (b) 30 days expire after you acquire or begin construction of that part of the building that would qualify as covered property; or (c) You report values to us. We will charge you additional premium for values reported from the date you acquire the property or begin construction of that part of the building that would qualify as covered property. b. Personal Effects And Property Of Others (1) You may extend the insurance that applies to Your Business Personal Property to apply to: (a) Personal effects owned by you, your officers, your partners or members, your managers or your employees. (b) Personal property of others in your care, custody or control. This Extension does not apply to employee tools. (2) The most we will pay for loss or damage under this Extension is$25,000 at each described premises.Our payment for loss of or damage to personal property of others will only be for the account of the owner of the property. (3) Extension Of Replacement Cost To Personal Property Of Others (a) Replacement Cost coverage is extended to apply to personal property of others. (b) Paragraphs 3.b.(1) and 4. under G. Optional Coverages of the BUILDING AND PERSONAL PROPERTY COVERAGE FORM are deleted and all other provisions of the Replacement Cost Optional Coverage apply to replacement cost on personal property of others. (c) With respect to replacement cost on the personal property of others the following limitation applies: If an item of personal property of others is subject to a written contract which governs your liability for loss or damage to that item,then valuation of that item will be based on the amount for which you are liable under such contract, but not to exceed the lesser of the replacement cost of the property or the applicable Limit of Insurance. c. Valuable Papers And Records (Other Than Electronic Data) (1) You may extend the insurance that applies to Your Business Personal Property to apply to direct physical loss or damage to valuable papers and records that you own, or that are in your care, custody or control, caused by or resulting from a Covered Cause of Loss. This Extension includes the cost to research lost information on valuable papers and records for which duplicates do not exist. But this Extension does not apply to valuable papers and records which exist as electronic data. Electronic data has the meaning described under Property Not Covered, Electronic Data. (2) Coverage under this Extension is limited to the "specified causes of loss" as defined in the CAUSES OF LOSS— SPECIAL FORM, and Collapse as set forth in that form. (3) This Extension does not apply to: (a) Property held as samples or for delivery after sale; (b) Property in storage away from the premises shown in the Declarations. (4) Section B. Exclusions in the CAUSES OF LOSS—SPECIAL FORM does not apply to this Extension, except for: (a) Paragraph B.1.c. Governmental Action; (b) Paragraph B.1.d. Nuclear Hazard; (c) Paragraph B.1.f. War And Military Action; (d) Paragraph B.2.f.; (e) Paragraph B.2.g.; and (f) Paragraph B.3. (5) The most we will pay under this Extension for loss or damage to valuable papers and records in any one occurrence at each described premises is $25,000. MP 97 67 10 10 Includes copyrighted material of Insurance Services Office, Inc.and Page 3 of 25 American Association of Insurance Services,Inc.,with their permission For valuable papers and records not at a described premises,the most we will pay is$5,000 in any one occurrence. Such amounts are additional insurance. We will also pay for the cost of blank material for reproducing the records (whether or not duplicates exist), and (when there is a duplicate) for the cost of labor to transcribe or copy the records. The costs of blank material and labor are subject to the applicable Limit of Insurance on Your Business Personal Property and therefore coverage of such costs is not additional insurance. d. Property Off—Premises (Including Laptops And Other Electronic Equipment) (1) You may extend the insurance provided by this Coverage Form to apply to your Covered Property while it is away from the described premises, if it is: (a) Temporarily at a location you do not own, lease or operate; (b) In storage at a location you lease, provided the lease was executed after the beginning of the current policy term; or (c) At any fair, trade show or exhibition. (2) This Extension does not apply to property: (a) In or on a vehicle; or (b) In the care,custody or control of your salespersons,unless the property is in such care,custody or control at a fair, trade show or exhibition. (3) The most we will pay for loss or damage under this Extension is$15,000. e. Outdoor Property(Named Perils) You may extend the insurance provided by this Coverage Form to apply to your outdoor fences, retaining walls (other than retaining walls that are a part of a building), radio and television antennas(including satellite dishes),signs(other than signs attached to buildings),trees,shrubs and plants(other than"stock"of trees,shrubs or plants),including debris removal expense, caused by or resulting from any of the following causes of loss if they are Covered Causes of Loss: (1) Fire; (2) Lightning; (3) Explosion; (4) Vandalism; (5) Vehicle Damage; (6) Riot or Civil Commotion; or (7) Aircraft. The most we will pay for loss or damage under this Extension is $25,000, but not more than $1,000 for any one tree, shrub or plant.These limits apply to any one occurrence, regardless of the types or number of items lost or damaged in that occurrence. f. Non-Owned Detached Trailers (1) You may extend the insurance that applies to Your Business Personal Property to apply to loss or damage to trailers that you do not own, provided that: (a) The trailer is used in your business; (b) The trailer is in your care, custody or control at the premises described in the Declarations; and (c) You have a contractual responsibility to pay for loss or damage to the trailer. (2) We will not pay for any loss or damage that occurs: (a) While the trailer is attached to any motor vehicle or motorized conveyance,whether or not the motor vehicle or motorized conveyance is in motion; (b) During hitching or unhitching operations,or when a trailer becomes accidentally unhitched from a motor vehicle or motorized conveyance. (3) The most we will pay for loss or damage under this Extension is $10,000, unless a higher limit is shown in the Declarations. (4) This insurance is excess over the amount due (whether you can collect on it or not) from any other insurance covering such property. g. Accounts Receivable (1) You may extend the insurance that applies to Your Business Personal Property to accounts receivable. We will pay: Page 4 of 25 Includes copyrighted material of Insurance Services Office,Inc.and MP 97 67 10 10 American Association of Insurance Services,Inc.,with their permission (a) All amounts due from your customers that you are unable to collect; (b) Interest charges on any loan required to offset amounts you are unable to collect pending our payment of these amounts; (c) Collection expenses in excess of your normal collection expenses that are made necessary by"loss"; and (d) Other reasonable expenses that you incur to re-establish your records of accounts receivable; that result from direct physical loss or damage by any Covered Cause of Loss to your records of accounts receivable. (2) The most we will pay under this Extension for loss or damage in any one occurrence at each described"premises"is $50,000. (3) Section B.Exclusions in the CAUSES OF LOSS—SPECIAL FORM does not apply to this Extension, except for: (a) Paragraph B.1.c. Governmental Action; (b) Paragraph B.1.d. Nuclear Hazard; (c) Paragraph B.1.f.War And Military Action; (d) Paragraph B.2.f.; (e) Paragraph B.2.g.; and (f) Paragraph B.3. (4) The following additional exclusion applies to the Extension: We will not pay for: (a) Loss or damage caused by or resulting from alteration,falsification, concealment or destruction of records of accounts receivable done to conceal the wrongful giving,taking or withholding of"money,""securities"or other property. This exclusion applies only to the extent of the wrongful giving, taking or withholding. (b) Loss or damage caused by or resulting from bookkeeping, accounting or billing errors or omissions. (c) Any loss or damage that requires any audit of records or any inventory computation to prove its factual existence. h. Property In Transit(Including Laptops And Other Electronic Equipment) F.1.under Additional Coverage Extensions of the CAUSES OF LOSS—SPECIAL FORM is deleted and replaced with the following: 1. Property In Transit(Including Laptops And Other Electronic Equipment) This Extension applies only to your personal property to which this form applies. a. You may extend the insurance provided by this Coverage Part to apply to your personal property(other than property in the care,custody or control of your salespersons)in transit more than 1,000 feet from the described premises. Property must be in or on a motor vehicle you own, lease or operate while between points in the coverage territory. b. Loss or damage must be caused by or result from one the following causes of loss: (1) Fire, lightning, explosion, windstorm or hail, riot or civil commotion, or vandalism. (2) Vehicle collision, upset or overturn. Collision means accidental contact of your vehicle with another vehicle or object. It does not mean your vehicle's contact with the road bed. (3) Theft of an entire bale, case or package by forced entry into a securely locked body or compartment of the vehicle. There must be visible marks of the forced entry. c. The most we will pay for loss or damage under this Extension is$15,000. i. Fine Arts (1) You may extend the insurance that applies to Your Business Personal Property to cover"fine arts" owned by you and located on the premises described in the Declarations (2) In addition to the exclusions in CAUSES OF LOSS—SPECIAL FORM we will not pay for loss or damage caused by or resulting from repairing, restoration, or retouching processes. (3) In the event of loss or damage, we will pay the actual cash value of the item. The actual cash value will be the price you paid for the item, or the value as determined by an appraisal of the item not more than 360 days prior to the date of loss or damage. In no event will the actual cash value exceed the amount necessary to repair or replace the item with substantially like property. MP 97 67 10 10 Includes copyrighted material of Insurance Services Office, Inc.and Page 5 of 25 American Association of Insurance Services,Inc.,with their permission (4) The most we will pay for"fine arts"at any premises described in the Declarations is $25,000. Each of these Extensions is additional insurance unless otherwise indicated. The Additional Condition, Coinsurance,does not apply to these Extensions. Property Additional Coverages The following are Additional Coverages. The Additional Condition, Coinsurance, does not apply to these coverages. A. Debris Removal A.4.a. of the BUILDING AND PERSONAL PROPERTY COVERAGE FORM is deleted and replaced as follows: a. Debris Removal (1) Subject to Paragraphs (3) and (4), we will pay your expense to remove debris of Covered Property caused by or resulting from a Covered Cause of Loss that occurs during the policy period.The expenses will be paid only if they are reported to us in writing within 180 days of the date of direct physical loss or damage. (2) Debris Removal does not apply to costs to: (a) Extract"pollutants"from land or water; or (b) Remove, restore or replace polluted land or water. (3) Subject to the exceptions in Paragraph (4), the following provisions apply: (a) The most we will pay for the total of direct physical loss or damage plus debris removal expense is the Limit of Insurance applicable to the Covered Property that has sustained loss or damage. (b) Subject to (a) above, the amount we will pay for debris removal expense is limited to 25% of the sum of the deductible plus the amount that we pay for direct physical loss or damage to the Covered Property that has sustained loss or damage. (4) We will pay up to an additional $25,000 for debris removal expense, for each location, in any one occurrence of physical loss or damage to Covered Property, if one or both of the following circumstances apply: (a) The total of the actual debris removal expense plus the amount we pay for direct physical loss or damage exceeds the Limit of Insurance on the Covered Property that has sustained loss or damage. (b) The actual debris removal expense exceeds 25%of the sum of the deductible plus the amount that we pay for direct physical loss or damage to the Covered Property that has sustained loss or damage. Therefore, if(4)(a) and/or (4)(b) apply, our total payment for direct physical loss or damage and debris removal expense may reach but will never exceed the Limit of Insurance on the Covered Property that has sustained loss or damage, plus$25,000. (5) Examples Example#1 Limit of Insurance $ 90,000 Amount of Deductible $ 500 Amount of Loss $ 50,000 Amount of Loss Payable $ 49,500 ($50,000—$500) Debris Removal Expense $ 10,000 Debris Removal Expense Payable $ 10,000 ($10,000 is 20% of$50,000) The debris removal expense is less than 25% of the sum of the loss payable plus the deductible. The sum of the loss payable and the debris removal expense ($49,500 +$10,000 = $59,500) is less than the Limit of Insurance. Therefore, the full amount of debris removal expense is payable in accordance with the terms of Paragraph (3). Example#2 Limit of Insurance $ 90,000 Amount of Deductible $ 500 Amount of Loss $ 80,000 Amount of Loss Payable $ 79,500 ($80,000—$500) Debris Removal Expense $ 35,500 Page 6 of 25 Includes copyrighted material of Insurance Services Office, Inc.and MP 97 67 10 10 American Association of Insurance Services,Inc.,with their permission Debris Removal Expense Payable Basic Amount $ 10,500 Additional Amount $ 25,000 The basic amount payable for debris removal expense under the terms of Paragraph (3) is calculated as follows: $80,000($79,500+$500)x .25=$20,000; capped at$10,500).The cap applies because the sum of the loss payable ($79,500)and the basic amount payable for debris removal expense ($10,500)cannot exceed the Limit of Insurance ($90,000). The additional amount payable for debris removal expense is provided in accordance with the terms of Paragraph (4), because the debris removal expense ($35,500) exceeds 25% of the loss payable plus the deductible ($35,500 is 44.375% of$80,000), and because the sum of the loss payable and debris removal expense ($79,500 + $35,500 = $115,000)would exceed the Limit of Insurance($90,000).The additional amount of covered debris removal expense is $25,000,the maximum payable under Paragraph (4).Thus the total payable for debris removal expense in this example is$35,500. B. Fire Department Service Charge A.4.c. of the BUILDING AND PERSONAL PROPERTY COVERAGE FORM is deleted and replaced as follows: c. Fire Department Service Charge When the fire department is called to save or protect Covered Property from a Covered Cause of Loss,we will pay up to $5,000 for your liability for fire department service charges: (1) Assumed by contract or agreement prior to loss; or (2) Required by local ordinance. No Deductible applies to this Additional Coverage. C. Pollutant Clean-up And Removal A.4.d. of the BUILDING AND PERSONAL PROPERTY COVERAGE FORM is deleted and replaced as follows: d. Pollutant Clean-up And Removal We will pay your expense to extract"pollutants"from land or water at the described premises if the discharge,dispersal, seepage, migration, release or escape of the "pollutants" is caused by or results from a Covered Cause of Loss that occurs during the policy period.The expenses will be paid only if they are reported to us in writing within 180 days of the date on which the Covered Cause of Loss occurs. This Additional Coverage does not apply to costs to test for, monitor or assess the existence,concentration or effects of "pollutants". But we will pay for testing which is performed in the course of extracting the "pollutants"from the land or water. The most we will pay under this Additional Coverage for each described premises is$15,000 for the sum of all covered expenses arising out of Covered Causes of Loss occurring during each separate 12 month period of this policy. D. Electronic Data A.4.f. of the BUILDING AND PERSONAL PROPERTY COVERAGE FORM is deleted and replaced as follows: f. Electronic Data (1) Under this Additional Coverage,electronic data has the meaning described under Property Not Covered,Electronic Data. (2) Subject to the provisions of this Additional Coverage,we will pay for the cost to replace or restore electronic data, which has been destroyed or corrupted by a Covered Cause of Loss. To the extent that electronic data is not replaced or restored, the loss will be valued at the cost of replacement of the media on which the electronic data was stored, with blank media of substantially identical type. (3) In addition to the"specified causes of loss"as defined in the CAUSES OF LOSS—SPECIAL FORM,and Collapse as set forth in that form, the following are covered causes of loss: (a) A virus, harmful code or similar instruction introduced into or enacted on a computer system (including electronic data)or a network to which it is connected, designed to damage or destroy any part of the system or disrupt its normal operation. But there is no coverage for loss or damage caused by or resulting from manipulation of a computer system (including electronic data)by any employee,including a temporary or leased employee,or by an entity retained by you or for you to inspect,design, install,modify,maintain,repair or replace that system. (b) Changes in your electrical power supply, including interruption,power surge,blackout or brownout,if the cause of such event originates 100 feet or less from any premises described in the Declarations; (c) Dishonest acts committed by your employees acting alone or in collusion with other persons,except you or your partners, directors or trustees, but theft by employees is not covered; MP 97 67 10 10 Includes copyrighted material of Insurance Services Office,Inc.and Page 7 of 25 American Association of Insurance Services,Inc.,with their permission (d) Dampness or dryness of atmosphere or changes in or extremes of temperature; (e) Floods,surface water,waves,tides,tidal waves,overflow of any body of water,or their spray,all whether driven by wind or not; and (f) Earth movement, such as an earthquake, landslide or earth sinking, rising or shifting. (4) The most we will pay under this Additional Coverage — Electronic Data is $25,000 for all loss or damage sustained in any one policy year, regardless of the number of occurrences of loss or damage or the number of premises, locations or computer systems involved. E. Interruption Of Computer Operations We will pay your necessary"Extra Expense"to continue normal operations caused by an interruption in computer operations due to destruction or corruption of your electronic data due to a Covered Cause of Loss. We will also pay for your actual "Business Income" if you must close all or part of your business due to destruction or corruption of your electronic data due to a Covered Cause of Loss. The most we will pay under this coverage is$15,000 for any one occurrence. Under this Additional Coverage—Interruption Of Computer Operations, electronic data has the meaning set forth in Paragraph 5. Limitation—Interruption of Computer Operations included in Additional Coverage—Business Income Including Extra Expense of this form. F. Arson Reward We will reimburse you for an arson reward that you give to someone who discloses information that leads to the conviction of a person or persons for arson at the premises described in the Declarations. The most we will pay under this coverage is$5,000 each occurrence. G. Water Back-Up And Sump Overflow 1. We will pay for direct physical loss or damage to Covered Property caused by or resulting from: a. Water which backs up through or overflows from a sewer or drain; or b. Water which overflows from a sump,even if the overflow results from mechanical breakdown of a sump pump or its related equipment. However, with respect to Paragraph b. above, we will not pay the cost of repairing or replacing a sump pump or its related equipment in the event of mechanical breakdown. 2. The coverage described in Paragraph 1.above does not apply to loss or damage resulting from an insured's failure to: a. Keep a sump pump or its related equipment in proper working condition; or b. Perform the routine maintenance or repair necessary to keep a sewer or drain free from obstructions. 3. The most we will pay under this coverage is $25,000 each occurrence. 4. With respect to the coverage provided in this Additional Coverage—Water Back-Up and Sump Overflow,Paragraph 3. of the Water Exclusion included in this Policy does not apply. H. Brands And Labels If branded or labeled merchandise that is Covered Property is damaged by a Covered Cause of Loss, we may take all or part of the property at an agreed or appraised value. If so, you may: 1. Stamp the word 'Salvage' on the merchandise or its containers, if the stamp will not physically damage the merchandise; or 2. Remove the brands and labels, if doing so will not physically damage the merchandise or its containers to comply with the law. We will pay reasonable costs you incur to perform the activity described in Paragraphs 1.and 2.above. The most we will pay for these costs and the value of the damaged property under this Additional Coverage is $25,000. Payments under this Additional Coverage are subject to and not in addition to the Limits of Insurance. I. Employee Theft 1. We will pay for direct loss of or damage to Your Business Personal Property and your"money"and"securities"resulting from "theft"committed by any of your"employees"acting alone or in collusion with other persons (except you or your partners, members or managers)with the manifest intent to: a. Cause you to sustain loss or damage; and also b. Obtain financial benefit (other than salaries, commissions, fees, bonuses, promotions, awards, profit sharing, pensions or other employee benefits earned in the normal course of employment)for: (1) Any"employee"; or (2) Any other person or organization. Page 8 of 25 Includes copyrighted material of Insurance Services Office,Inc.and MP 97 67 10 10 American Association of Insurance Services,Inc.,with their permission 2. We will not pay for loss or damage: a. Resulting from any dishonest or criminal act that you or any of your partners, members, officers, "managers," directors,trustees,authorized representatives or anyone to whom you entrust the property for any purpose commit, whether acting alone or in collusion with other persons; or b. The only proof of which as to its existence or amount is one or both of the following: (1) An inventory computation; or (2) A profit and loss computation. 3. The most we will pay under this Additional Coverage for loss or damage in any one occurrence is $10,000. 4. All loss or damage: a. Caused by one or more"employees"; and b. Involving a single act or series of related acts; is considered one occurrence. 5. We will pay only for loss or damage you sustain through acts committed or events occurring during the policy period. Regardless of the number of years this policy remains in force or the number of premiums paid, no Limit of Insurance cumulates from year to year or period to period. 6. This Additional Coverage does not apply to loss caused by an "employee" after discovery by: a. You; or b. Any of your partners, officers or directors, or members or"managers" not in collusion with the"employee"; of any"theft"or any other dishonest act committed by that"employee" before or after being hired by you. 7. Extended Period To Discover Loss a. We will pay for loss that you sustained prior to the effective date of termination or cancellation of this policy,which is discovered by you no later than 1 year from the date of that termination or cancellation. b. However, this extended period to discover loss terminates immediately upon the effective date of any other insurance obtained by you replacing in whole or in part the insurance afforded by this policy, whether or not such other insurance provides coverage for loss sustained prior to its effective date. 8. If you discover a loss or damage during the policy period that you (or any predecessor in interest)sustained during the period of any prior insurance that you could have recovered under that insurance except that the time within which to discover loss or damage had expired, we will pay for it under this Additional Coverage, provided: a. This Additional Coverage became effective at the time of cancellation or termination of the prior insurance; and b. The loss or damage would have been covered by this Additional Coverage had it been in effect when the acts or events causing the loss or damage were committed or occurred. 9. The insurance under Paragraph 8.above is provided within,and not in addition to,the Limit of Insurance applying to this Additional Coverage and is limited to the lesser of the amount recoverable under: a. This Additional Coverage as of its effective date; or b. The prior insurance, had it remained in effect. 10. None of the exclusions in Section B.Exclusions of the CAUSES OF LOSS—SPECIAL FORM apply to Employee Theft Coverage provided under this endorsement except: a. B.1.c. Governmental Action; b. B.1.d. Nuclear Hazard; and c. B.1.f.War And Military Action. 11. We will not pay for loss as specified below: a. Acts Committed by You or Your Partners Loss resulting from any dishonest or criminal act committed by your or any of your partners whether acting alone or in collusion with other persons. b. Indirect Loss Loss that is an indirect result of any act or occurrence covered by this insurance including, but not limited to, loss resulting from: (1) Your inability to realize income that you would have realized had there been no loss of,or loss from damage to "money" and "securities". (2) Payment of damages of any type for which you are legally liable. But, we will pay compensatory damages arising directly from a loss covered under this Additional Coverage. MP 97 67 10 10 Includes copyrighted material of Insurance Services Office,Inc.and Page 9 of 25 American Association of Insurance Services,Inc.,with their permission (3) Payment of costs, fees or other expenses you incur in establishing either the existence or the amount of loss under this Additional Coverage. c. Legal Expenses Expenses related to any legal action. 12. Ownership Of Property; Interests Covered The property covered under this Additional Coverage is limited to property: a. That you own or lease; b. That you hold for others; or c. For which you are legally liable, except for property inside the premises of a "client"of yours. However,this coverage is for your benefit only. It provides no rights or benefits to any other person or organization. Any claim for loss that is covered under this coverage must be presented by you. 13. Valuation—Settlement Subject to the Limit of Insurance, we will pay for: a. Loss of"money" but only up to and including its face value. We may,at our option, pay for loss of"money"issued by any country other than the United States of America: (1) At face value in the "money" issued by that country; or (2) In the United States of America dollar equivalent determined by the rate of exchange published in The Wall Street Journal on the day the loss was discovered. b. Loss of "securities" but only up to and including their value at the close of business on the day that loss was discovered. We may, at our option: (1) Pay the value of such "securities"or replace them in kind, in which event you must assign to us all your rights, title and interest in and to those"securities"; (2) Pay the cost of any Lost Securities Bond required in connection with issuing duplicates of the "securities." However, we will be liable only for the payment of so much of the cost of the bond as would be charged for a bond having a penalty not exceeding the lesser of the: (a) Value of the"securities" at the close of business on the day the loss was discovered; or (b) Limit of Insurance. J. Business Income Including Extra Expense 1. Coverage a. Business Income Business Income means the: (1) Net Income (Net Profit or Loss before income taxes)that would have been earned or incurred; and (2) Continuing normal operating expenses incurred, including payroll. For manufacturing risks, Net Income includes the net sales value of production. Business Income includes "Rental Value." We will pay the actual loss of Business Income you sustain due to the necessary"suspension"of your"operations" during the"period of restoration." The"suspension"must be caused by direct physical loss of or damage to property at the premises described in the Declarations, including personal property in the open(or in a vehicle)within 1,000 feet, caused by or resulting from any Covered Cause of Loss. b. Extra Expense Extra Expense means necessary expenses you incur during the "period of restoration"that you would not have incurred if there had been no direct physical loss or damage to property caused by or resulting from a Covered Cause of Loss. We will pay Extra Expense (other than the expenses to repair or replace property)to: (1) Avoid or minimize the "suspension" of business and to continue operations at the premises described in the Declarations or at replacement premises or temporary locations, including relocation expenses and costs to equip and operate the replacement location or temporary location; (2) Minimize the"suspension" of business if you cannot continue"operations." We will pay Extra Expense to repair or replace property, but only to the extent it reduces the amount of loss that otherwise would have been payable under this Additional Coverage. Page 10 of 25 Includes copyrighted material of Insurance Services Office,Inc.and MP 97 67 10 10 American Association of Insurance Services,Inc.,with their permission 2. Additional Coverages a. Alterations And New Buildings We will pay for the actual loss of Business Income you sustain and necessary Extra Expense you incur due to direct physical loss or damage at the described premises caused by or resulting from any Covered Cause of Loss to: (1) New buildings or structures, whether complete or under construction; (2) Alterations or additions to existing buildings or structures; and (3) Machinery,equipment,supplies or building materials located on or within 1,000 feet of the described premises and: (a) Used in the construction, alterations or additions; or (b) Incidental to the occupancy of new buildings. If such direct physical loss or damage delays the start of "operations," the "period of restoration" for Business Income Coverage will begin on the date"operations"would have begun if the direct physical loss or damage had not occurred. b. Civil Authority When a Covered Cause of Loss causes damage to property other than property at the described premises,we will pay for the actual loss of Business Income you sustain and necessary Extra Expense caused by action of civil authority that prohibits access to the described premises, provided both of the following apply: (1) Access to the area immediately surrounding the damaged property is prohibited by civil authority as a result of the damage,and the described premises are within that area but are not more than one mile from the damaged property; and (2) The action of civil authority is taken in response to dangerous physical conditions resulting from the damage or continuation of the Covered Cause of Loss that caused the damage, or the action is taken to enable a civil authority to have unimpeded access to the damaged property. Civil Authority Coverage for Business Income will begin 72 hours after the time of the first action of civil authority that prohibits access to the described premises and will apply for a period of up to four consecutive weeks from the date on which such coverage began. Civil Authority for Extra Expense will begin immediately after the time of the first action of civil authority that prohibits access to the described premises and will end: (1) Four consecutive weeks after the date of that action; or (2) When Civil Authority for Business Income ends; whichever is later. c. Extended Business Income (1) Business Income Other Than "Rental Value" If the necessary "suspension" of your "operations" produces a Business Income loss payable under this additional coverage, we will pay for the actual loss of Business Income you incur during the period that: (a) Begins on the date property (except "finished stock") is actually repaired, rebuilt or replaced and "operations"are resumed; and (b) Ends on the earlier of: (i) The date you could restore your"operations,"with reasonable speed,to the level which would generate the "business income" amount that would have existed if no direct physical loss or damage had occurred; or (ii) 30 consecutive days after the date determined in (1)(a) above. However, Extended Business Income does not apply to loss of Business Income incurred as a result of unfavorable business conditions caused by the impact of the Covered Cause of Loss in the area where the described premises are located. Loss of Business Income must be caused by direct physical loss or damage at the described premises caused by or resulting from any Covered Cause of Loss. (2) "Rental Value" If the necessary"suspension"of your"operations"produces a"Rental Value"loss payable under this additional coverage, we will pay for the actual loss of"Rental Value"you incur during the period that: (a) Begins on the date property is actually repaired, rebuilt or replaced and tenantability is restored; and MP 97 67 10 10 Includes copyrighted material of Insurance Services Office, Inc.and Page 11 of 25 American Association of Insurance Services,Inc.,with their permission (b) Ends on the earlier of: (i) The date you could restore tenant occupancy,with reasonable speed,to the level which would generate the "Rental Value"that would have existed if no direct physical loss or damage had occurred; or (ii) 30 consecutive days after the date determined in (2)(a) above. However, Extended Business Income does not apply to loss of "Rental Value" incurred as a result of unfavorable business conditions caused by the impact of the Covered Cause of Loss in the area where the described premises are located. Loss of"Rental Value"must be caused by direct physical loss or damage at the described premises caused by or resulting from any Covered Cause of Loss. 3. Limits of Insurance The most we will pay for loss under this Additional Coverage-Business Income Including Extra Expense in any one occurrence is $25,000. Payments under the following additional coverages will not increase the applicable Limit of Insurance: a. Alterations and New Buildings; b. Civil Authority; or c. Extended Business Income. 4. Valuation The following is added to E.7.Valuation of the BUILDING AND PERSONAL PROPERTY COVERAGE FORM: g. The amount of Business Income loss will be determined based on: (1) The Net Income of the business before the direct physical loss or damage occurred; (2) The likely Net Income of the business if no loss or damage occurred, but not including any Net Income that would likely have been earned as a result of an increase in the volume of business due to favorable business conditions caused by the impact of the Covered Cause of Loss on customers or on other businesses; (3) The operating expenses, including payroll expenses, necessary to resume"operations"with the same quality of service that existed just before the direct physical loss or damage; and (4) Other relevant sources of information, including: (a) Your financial records and accounting procedures; (b) Bills, invoices and other vouchers; and (b) Deeds, liens or contracts. h. The amount of Extra Expense will be determined based on: (1) All expenses that exceed the normal operating expenses that would have been incurred by"operations"during the "period of restoration" if no direct physical loss or damage had occurred. We will deduct from the total of such expenses: (a) The salvage value that remains of any property bought for temporary use during the"period of restoration" once "operations"are resumed; and (b) Any Extra Expense that is paid for by other insurance, except for insurance that is written subject to the same plan, terms, conditions and provisions as this insurance; and (2) Necessary expenses that reduce the Business Income loss that otherwise would have been incurred. i. Loss Payment We will pay for covered loss within 30 days after we receive the sworn proof of loss, if you have complied with all of the terms of this Additional Coverage and: (1) We have reached an agreement with you on the amount of loss; or (2) An appraisal award has been made. j. Resumption of Operations We will reduce the amount of your: (1) Business Income loss,other than Extra Expense,to the extent you can resume your"operations,"in whole or in part, by using damaged or undamaged property(including merchandise or stock)at the described premises or elsewhere. (2) Extra Expense loss to the extent you can return "operations"to normal and discontinue such Extra Expense. If you do not resume"operations,"or do not resume"operations"as quickly as possible, we will pay based on the length of time it would have taken to resume "operations"as quickly as possible. Page 12 of 25 Includes copyrighted material of Insurance Services Office, Inc.and MP 97 67 10 10 American Association of Insurance Services,Inc.,with their permission 5. Limitation—Interruption of Computer Operations a. Coverage for Business Income does not apply when action is taken to avoid or minimize a "suspension" of "operations"caused by destruction or corruption of electronic data,or any loss or damage to electronic data,except as provided under the Additional Coverage—Interruption Of Computer Operations. b. Coverage for Extra Expense does not apply when action is taken to avoid or minimize a"suspension"of"operations" caused by destruction or corruption of electronic data,or any loss or damage to electronic data,except as provided under the Additional Coverage—Interruption Of Computer Operations. c. Electronic data means information,facts or computer programs stored as or on,created or used on,or transmitted to or from computer software (including systems and applications software), on hard or floppy disks, CD-ROMs, tapes, drives, cells, data processing devices or any other repositories of computer software which are used with electronically controlled equipment. The term computer programs, referred to in the foregoing description of electronic data, means a set of related electronic instructions which direct the operations and functions of a computer or device connected to it,which enable the computer or device to receive,process,store,retrieve or send data. K. Business Income From Dependent Properties 1. We will pay for the actual loss of Business Income you sustain due to the necessary"suspension"of your"operations" during the coverage period.The"suspension"must be caused by direct physical loss of or damage at the premises of a dependent property caused by or resulting from a Covered Cause of Loss. However, this Additional Coverage does not apply when the only loss to dependent property is loss or damage to electronic data,including destruction or corruption of electronic data. If the dependent property sustains loss or damage to electronic data and other property,coverage under this Additional Coverage will not continue once the other property is repaired,rebuilt or replaced. Electronic data has the meaning set forth in Paragraph 5. Limitation—Interruption of Computer Operations included in Additional Coverage—Business Income Including Extra Expense of this form. The most we will pay under this Additional Coverage is $10,000 in any one occurrence. 2. We will reduce the amount of your Business Income loss, other than Extra Expense, to the extent you can resume "operations," in whole or in part, by using any other available: a. Source of materials; or b. Outlet for your products. 3. If you do not resume`operations,"or do not resume"operations"as quickly as possible,we will pay based on the length of time it would have taken to resume"operations" as quickly as possible. 4. Business Income, as it pertains to this Additional Coverage — Business Income From Dependent Properties, means: a. Net income (net profit or loss before income taxes)that would have been earned or incurred if no physical loss or damage had occurred, but not including any net income that would likely have been earned as a result of an increase in the volume of business due to favorable business conditions caused by the impact of the Covered Cause of Loss; and b. Continuing normal operating expenses incurred, including ordinary payroll. 5. Dependent property means property operated by others whom you depend on to: a. Deliver materials or services to you, or to others for your account. But services does not mean water, communication or power supply services; b. Accept your products or services; c. Manufacture your products for delivery to your customers under contract for sale; or d. Attract customers to your business. The dependent property must be located in the coverage territory of this policy. 6. The coverage period for Business Income under this Additional Coverage: a. Begins 72 hours after the time of direct physical loss or damage caused by or resulting from any Covered Cause of Loss at the premises of the dependent property; and b. Ends on the date when the property at the premises of the dependent property should be repaired, rebuilt or replaced with reasonable speed and similar quality. 7. The Business Income coverage period,as stated in Paragraph 6.,does not include any increased period required due to the enforcement of any ordinance or law that: a. Regulates the construction, use or repair, or requires the tearing down, of any property; or b. Requires any insured or others to test for, monitor,clean up,remove,contain,treat,detoxify or neutralize,or in any way respond to or assess the effects of"pollutants". The expiration date of this policy will not reduce the Business Income coverage period. MP 97 67 10 10 Includes copyrighted material of Insurance Services Office, Inc.and Page 13 of 25 American Association of Insurance Services,Inc.,with their permission L. Claims Expenses In the event of covered loss or physical damage we will pay up to$10,000 in any one occurrence as an additional Limit of Insurance to cover reasonable expenses incurred by you at our specific request to assist us in: 1. The investigation of a claim or suit; or 2. The determination of the amount of loss, such as taking inventory, or auditing business records. M. Inventory Or Appraisal Cost We will pay up to$5,000 each occurrence for the cost of any inventory or appraisal required as a result of direct physical loss or damage to covered property caused by or resulting from a Covered Cause of Loss. N. Money And Securities 1. We will pay for loss of"money"and "securities"used in your business caused by"theft,"disappearance or destruction. The most we will pay for loss in any one"occurrence" under this coverage is: a. $10,000 for"money"and "securities"while inside the "premises"or a"banking premises." b. $5,000 for"money"and "securities"while in the care and custody of a "messenger." 2. Additional Exclusions Applicable to Money And Securities We will not pay for loss as specified below: a. Loss resulting from accounting or arithmetical errors or omissions; b. Loss resulting from the giving or surrendering of property in any exchange or purchase. a. Loss of property contained in any money operated device unless the amount of"money"deposited in it is recorded by a continuous recording instrument in the device. d. Loss resulting from any dishonest or criminal act committed by any of your "employees," directors, trustees or authorized representatives: (1) Acting alone or in collusion with other persons; or (2) While performing services for you or otherwise. e. Loss of property after it has been transferred or surrendered to a person or place outside the"premises"or"banking premises." (1) On the basis of unauthorized instructions; or (2) As a result of a threat to do: (a) Bodily harm to any person; or (b) Damage to any property. (3) But, this exclusion does not apply to loss of"money"and "securities"while outside the"premises"or"banking premises" in the care and custody of a "messenger" if you: (a) Had no knowledge of any threat at the time the conveyance began; or (b) Had knowledge of a threat at the time the conveyance began, but the loss was not related to the threat. f. Loss resulting from your,or anyone acting on your express or implied authority, being induced by any dishonest act to voluntarily part with title to or possession of any property. 3. Additional Conditions a. The reference to"money"and "securities" in Subparagraph A.2.a. Property Not Covered of the BUILDING AND PERSONAL PROPERTY COVERAGE FORM does not apply to the coverage provided by this form. b. You must keep records of all "money" and "securities" so we can verify the amount of loss or damage. O. Off Premises Power Failure—Direct Damage 1. With respect to coverage provided in this Additional Coverage —Off Premises Power Failure — Direct Damage, Exclusion B.1.e. of the CAUSES OF LOSS—SPECIAL FORM is deleted in its entirety and replaced as follows: e. Utility Services The failure of utility service(other than Power Supply Service)supplied to the described premises,however caused, if the failure occurs away from the described premises. Failure includes lack of sufficient capacity and reduction in supply. But if the failure of utility service results in a Covered Cause of Loss,we will pay for the loss or damage caused by that Covered Cause of Loss. This exclusion does not apply to the Business Income coverage or to Extra Expense coverage. Instead,the Special Exclusion in Paragraph B.4.a.(1) applies to these coverages. Page 14 of 25 Includes copyrighted material of Insurance Services Office,Inc.and MP 97 67 10 10 American Association of Insurance Services,Inc.,with their permission 2. The following Additional Coverage is added: Off Premises Power Failure—Direct Damage a. We will pay for loss of or damage to Covered Property caused by an interruption in Power Supply Service to the described premises. The interruption in Power Supply Service must result from direct physical loss or damage bya Covered Cause of Loss to property that is located off the described premises. b. Coverage under this Additional Coverage does not apply to loss or damage to electronic data, including destruction or corruption of electronic data. The term electronic data has the meaning set forth in Paragraph 5. Limitation— Interruption of Computer Operations included in Additional Coverage— Business Income Including Extra Expense of this form. c. Power Supply Service means the following types of property supplying electricity, steam or gas to the described premises: (1) Utility generating plants; (2) Switching stations; (3) Substations; (4) Transformers; and (5) Transmission lines, including overhead transmission lines. d. The most we will pay for any one occurrence is $10,000. P. Ordinance Or Law Coverage Exclusion B.1.a. Ordinance Or Law of the CAUSES OF LOSS—SPECIAL FORM is deleted and the following coverage applies: 1. Ordinance or Law Coverage applies only if the following is satisfied. a. The ordinance or law: (1) Regulates the demolition,construction or repair of buildings,or establishes zoning or land use requirements at the described premises; and (2) Is in force at the time of loss. But coverage under this endorsement applies only in response to the minimum requirements of the ordinance or law. Losses and costs incurred in complying with recommended actions or standards that exceed actual requirements are not covered under this endorsement. b. (1) The building sustains direct physical damage that is covered under this policy and such damage results in enforcement of the ordinance or law; or (2) The building sustains both direct physical damage that is covered under this policy and direct physical damage that is not covered under this policy, and the building damage in its entirety results in enforcement of the ordinance or law. (3) But if the building sustains direct physical damage that is not covered under this policy,and such damage is the subject of the ordinance or law,then there is no coverage under this additional coverage even if the building has also sustained covered direct physical damage. c. In the situation described in 1.b.(2)above,we will not pay the full amount of loss otherwise payable under the terms of Coverage A and/or Coverage B and C Combined of this additional coverage. Instead,we will pay a proportion of such loss; meaning the proportion that the covered direct physical damage bears to the total direct physical damage. However, if the covered direct physical damage,alone,would have resulted in enforcement of the ordinance or law, then we will pay the full amount of loss otherwise payable under the terms of Coverages A and/or B and C Combined of this endorsement. 2. Under this coverage, we will not pay for loss due to any ordinance or law that: a. You were required to comply with before the loss, even if the building was undamaged; and b. You failed to comply with. 3. Under this coverage, we will not pay for: a. Enforcement of any ordinance or law which requires the demolition,repair,replacement,reconstruction,remodeling or remediation of property due to contamination by"pollutants"or due to the presence,growth, proliferation,spread or any activity of"fungus,"wet or dry rot or bacteria; or b. The costs associated with the enforcement of any ordinance or law which requires any insured or others to test for, monitor, clean up, remove, contain, treat, detoxify or neutralize, or in any way respond to, or assess the effects of "pollutants," "fungus,"wet or dry rot or bacteria. MP 97 67 10 10 Includes copyrighted material of Insurance Services Office, Inc.and Page 15 of 25 American Association of Insurance Services,Inc.,with their permission 4. Coverage A: Coverage for Loss to the Undamaged Portion of the Building a. If a Covered Cause of Loss occurs to covered building property at the premises described in the Declarations,we will pay for the loss in value of the undamaged portion of the building as a consequence of enforcement of an ordinance or law that requires demolition of undamaged parts of the same building. b. Coverage A is included within the Limit of Insurance applicable to the covered building property at the premises described in the Declarations. Coverage A does not increase the Limit of Insurance. c. Loss will be determined as follows: (1) If the Replacement Cost Coverage Option applies and the property is repaired or replaced, on the same premises or another premises, we will not pay more than the lesser of: (a) The amount you actually spend to repair, rebuild or reconstruct the building, but not for more than the amount it would cost to restore the building on the same premises and to the same height,floor area, style and comparable quality of the original property insured; or (b) The Limit of Insurance shown in the Declarations as applicable to the covered building property. (2) If the Replacement Cost Coverage Option applies and the property is not repaired or replaced, or if the Replacement Cost Coverage Option does not apply, we will not pay more than the lesser of: (a) The actual cash value of the building at the time of loss; or (b) The Limit of Insurance shown in the Declarations as applicable to the covered building property. 5. Coverages B: Demolition Cost and C: Increased Cost of Construction (Combined) If a Covered Cause of Loss occurs to covered building property, we will pay up to 25 percent (25%) of the Limit of Insurance applicable to building property at the premises described in the Declarations, subject to a maximum limit of $150,000,for the total of all covered losses(combined)for Demolition Cost and Increased Cost of Construction. Subject to these limits of coverage, the following conditions will apply: a. Demolition Cost (1) With respect to the building that has sustained covered direct physical damage,we will pay the cost to demolish and clear the site of undamaged parts of the same building,as a consequence of enforcement of an ordinance or law that requires demolition of such undamaged property. (2) The Coinsurance Additional Condition does not apply to Demolition Cost. (3) We will not pay more than the amount you actually spend to demolish and clear the site of the premises described in the Declarations. b. Increased Cost of Construction (1) With respect to the building that has sustained covered direct physical damage,we will pay the increased cost to: (a) Repair or reconstruct damaged portions of that building property; and/or (b) Reconstruct or remodel undamaged portions of that building property,whether or not demolition is required; when the increased cost is a consequence of enforcement of the minimum requirements of the ordinance or law. However: (a) This coverage applies only if the restored or remodeled property is intended for similar occupancy as the current property, unless such occupancy is not permitted by zoning or land use ordinance or law. (b) We will not pay for increased cost of construction if the building is not repaired,reconstructed or remodeled. The Coinsurance Additional Condition does not apply to Increased Cost of Construction. (2) When covered building property is damaged or destroyed by a Covered Cause of Loss and Increased Cost of Construction applies to that property in accordance with b.(1) above, coverage for the Increased Cost of Construction also applies to repair or reconstruction of the following, subject to the same conditions stated in b.(1): (a) The cost of excavations, grading, backfilling and filling; (b) Foundation of the building; (c) Pilings; and (d) Underground pipes, flues and drains. The items listed in(2)(a)through(2)(d)above are deleted from Property Not Covered, but only with respect to the coverage described in this provision 5.b. (3) Loss Payment will be determined as follows: Page 16 of 25 Includes copyrighted material of Insurance Services Office, Inc.and MP 97 67 10 10 American Association of Insurance Services,Inc.,with their permission (a) We will not pay: (i) Until the property is actually repaired or replaced, at the same or another premises; and (ii) Unless the repairs or replacement are made as soon as reasonably possible after the loss or damage, not to exceed two years. We may extend this period in writing during the two years. (b) If the building is repaired or replaced at the same premises,or you elect to rebuild at another premises,the most we will pay is the increased cost of construction at the same premises. Q. Outdoor Signs 1. We will pay for direct physical loss of or damage to all Outdoor Signs at the premises described in the Declarations: a. owned by you; or b. owned by others but in your care, custody or control. 2. None of the exclusions in Section B.Exclusions of the CAUSES OF LOSS—SPECIAL FORM apply to Outdoor Signs provided under this coverage except: a. B.1.c. Governmental Action; b. B.1.d. Nuclear Hazard; and c. B.1.f.War and Military Action. 3. We will not pay for loss or damage caused by or resulting from: a. wear and tear; b. hidden or latent defect; c. rust; d. corrosion; or e. mechanical breakdown. The most we will pay for loss of or damage in any one occurrence is $10,000. R. Recharging Of Fire Extinguishers We will pay for expenses you incur for the recharging of Fire Extinguishers made necessary by the fighting of a fire at the premises described in the Declarations or adjacent to such property. The most we will pay for any one occurrence is $5,000. S. Unauthorized Business Card Use We will pay for the loss of'money"resulting from theft,forgery or unauthorized use of credit,debit or charge cards issued in the business name to you, your partners or officers, including: 1. Fund transfer cards; 2. Charge plates; and 3. Telephone cards. The most we will pay under this Additional Coverage during each 12 month period of this policy(including any extension of less than one year), is $5,000. We will not pay for loss resulting from the use of any credit, debit or charge card if not customarily used in your business. T. Forgery Or Alteration 1. We will pay for loss resulting directly from "forgery"or alteration of checks, drafts, promissory notes, or similar written promises, orders or directions to pay a sum certain in "money"that are: (a) Made or drawn by or drawn upon you; or (b) Made or drawn by one acting as your agent; or that are purported to have been so made or drawn. For the purposes of this Insuring Agreement, a substitute check as defined in the Check Clearing for the 21st Century Act shall be treated the same as the original it replaced. 2. If you are sued for refusing to pay any instrument covered in Paragraph 1.above,on the basis that it has been forged or altered,and you have our written consent to defend against the suit,we will pay for any reasonable legal expenses that you incur and pay in that defense. 3. The most we will pay for any loss in any one "occurrence" including legal expenses is $10,000. U. Salespersons Samples 1. We will pay for loss of or damage to Covered Property from a Covered Cause of Loss to samples (including their containers)of your stock in trade that are: (a) Owned by you; or MP 97 67 10 10 Includes copyrighted material of Insurance Services Office, Inc.and Page 17 of 25 American Association of Insurance Services,Inc.,with their permission (b) The property of others for which you are legally liable. But this coverage applies only while such property is: (a) In the custody of your salespersons or authorized sales representatives; (b) In your custody, if you are an individual, while you are acting as a salesperson; or (c) In due course of transit to or from your premises and your salespersons or authorized sales representatives. 3. Additional Exclusion Applicable to Salespersons Samples We will not pay for loss as specified below: Theft from an unattended vehicle unless at the time of theft, its windows, doors and compartments were closed and locked and there are visible signs that the theft was the result of forced entry. 4. The most we will pay under this coverage is $2,500 in any one occurrence. Inland Marine Coverages The following coverages are added under 4. Additional Coverages of the BUILDING AND PERSONAL PROPERTY COVERAGE FORM. The Additional Condition, Coinsurance, does not apply to these coverages. A. Installation Coverage 1. Coverage a. We will pay for loss of or damage to the following property: (1) Materials, supplies, equipment, machinery and fixtures owned by you or in your care, custody or control, and which are to be installed by you or at your direction; and (2) Temporary structures built or assembled by you on site, including cribbing,scaffolding and construction forms. This property is covered while: (1) At any job site you do not own, lease or operate; (2) Awaiting and during installation, or awaiting acceptance by the purchaser; (3) At a"temporary storage location." But property in transit is not covered except as provided under Property Extension— Property In Transit. b. This Additional Coverage does not apply to: (1) An existing building or structure to which an addition, alteration, improvement or repair is being made; (2) Property stored at a permanent warehouse or storage yard that you own; (3) A plan, blueprint, design or specification; and (4) Machinery,tools, equipment, supplies or similar property that will not become a permanent part of the project. This includes contractors equipment and other tools belonging to a contractor or sub-contractor. c. We will not pay for loss or damage caused by or resulting from any of the following: (1) The cost to make good or replace faulty or defective materials or workmanship; (2) Penalties for noncompletion or non-compliance with any contract terms or conditions; (3) Testing including stand-up performance, stress, pressure, overload testing of the covered property; (4) A fault, defect, deficiency, error or omission in a plan, blueprint, design or specification; or (5) The weight of a load when it exceeds the designed capacity of any property covered under this Additional Coverage to lift, move or support the load from any position. 2. The following is added to E.7.Valuation of the BUILDING AND PERSONAL PROPERTY COVERAGE FORM: f. As respects your materials,supplies, machinery,fixtures and equipment and similar property of others in your care, custody or control which will become a permanent part of your installation,fabrication or erection project,the value of covered property may be valued as follows: (1) Actual Cost to Repair, Replace or Rebuild. The value of covered property will be based on the lesser of the following accounts: (a) The actual cost to repair, replace or rebuild the covered property with materials of like kind and quality. The actual cost may include material, labor and reasonable overhead expenses; or (b) The amount you actually spend to repair, replace or rebuild the covered property. Page 18 of 25 Includes copyrighted material of Insurance Services Office,Inc.and MP 97 67 10 10 American Association of Insurance Services,Inc.,with their permission This valuation provision does not apply to Paragraphs(2) or(3) below. (2) Pair or Set. The value of a lost or damaged article which is part of a pair or set is based on a reasonable proportion of the value of the entire pair or set. The loss is not considered a total loss of the pair or set. (3) Loss to Parts. The value of a lost or damaged part of an item that consists of several parts when it is complete is based on the value of only the lost or damaged part or the cost to repair or replace it. 3. Limit of Insurance The most we will pay for loss or damage to property covered under this Additional Coverage is$10,000 per occurrence. This is the most we will pay regardless of: a. The number of job sites you do not own, lease or operate; or b. "Temporary storage locations." 4. With respect to this coverage, Installation Coverage, Section D. Deductible of the BUILDING AND PERSONAL PROPERTY COVERAGE FORM is deleted and replaced by the following: D. Deductible We will not pay for loss or damage in any one occurrence until the amount of loss or damage exceeds$500. We will then pay the amount of loss or damage in excess of$500 up to the applicable limit of insurance. 5. Paragraph e. of C.1. Limitations of the CAUSES OF LOSS—SPECIAL FORM is replaced by the following: e. Property that is missing,where the only evidence of the loss or damage is a shortage disclosed on taking inventory, or other instances where there is no physical evidence to show what happened to the property. But, this limitation does not apply to covered property in the custody of a carrier for hire. 6. The following are added to F.Additional Conditions of the BUILDING AND PERSONAL COVERAGE FORM: 3. Carriers for Hire You may accept bills of lading or shipping receipts issued by carriers for hire that limit their liability to less than the actual cash value of the covered property. 4. Coverage provided under the Installation Coverage will end when one of the following first occurs: (1) This policy expires or is cancelled; (2) The property covered under this Additional Coverage is accepted by the purchaser; (3) Your interest in the property covered under this Additional Coverage ceases; (4) You abandon the project to be performed by you for the purchaser, with no intention to complete it; (5) 90 days after the project to be performed by you for the purchaser is completed, unless we specify a different date in writing. B. Contractors Equipment Coverage 1. Your"Small Tools" and "Small Tools"Owned by Your Employees We will pay for your"small tools"and "small tools"owned by your employees. The most we will pay is as follows: Limit for Your"Small Tools": $5,000. (maximum limit per item $1,000) Limit for"Small Tools" Owned by Your Employees: $1,000. (maximum limit per item $250) Leased and Rented Equipment We will pay for contractors' equipment that is leased or rented from others to you. Contractors' equipment means machinery, equipment, and tools of a mobile nature that you use in your contracting, installation, erection, or moving operations or projects. The most we will pay for property leased or rented from others is $5,000. a. Coverage applies only to covered property while: (1) At the described premises; (2) On a "client's" premises; or (3) In transit directly between the described premises and a"client's"premises and while in a motor vehicle owned, leased or operated by the named insured. b. The coverage provided by this Additional Coverage applies only to loss caused by or resulting from the following causes of loss and only if they are Covered Causes of Loss: (1) Fire: (2) Lightning; (3) Explosion; (4) Aircraft; MP 97 67 10 10 Includes copyrighted material of Insurance Services Office,Inc.and Page 19 of 25 American Association of Insurance Services,Inc.,with their permission (5) Vandalism and malicious mischief; or (6) Theft. c. The following is added to A.2. Property Not Covered of the BUILDING AND PERSONAL PROPERTY COVERAGE FORM: r. Property while stored or operated underground in connection with any mining operations. d. The following is added to Paragraph 2. of B. Exclusions of the CAUSES OF LOSS -SPECIAL FORM: n. We will not pay for loss or damage caused by puncture, blowout and road damage to tires and tubes mounted on vehicles. However, we do pay for puncture, blowout or road damage caused by a specified peril. o. We will not pay for loss caused by humidity, dampness, dryness or changes in or extremes of temperature. p. We will not pay for loss caused by the weight of a load which, under the operating conditions at the time of a loss, exceeds the registered lifting capacity of any equipment or machine. q. We will not pay for loss due to theft or mysterious disappearance from any vehicle or attached container. We will pay for loss due to burglary when there are signs of forcible entry to a locked vehicle or container. e. E.7.Valuation of the BUILDING AND PERSONAL PROPERTY COVERAGE FORM is deleted and replaced by the following: 7. Valuation We will determine the value of covered property in the event of loss or damage as follows: a. At actual cash value at the time of the loss (with a deduction for depreciation) except as provided in Paragraphs b. and c.following. b. Pair or Set. The value of a lost or damaged article which is part of a pair or set is based on a reasonable proportion of the value of the entire pair or set. The loss is not considered a total loss of the pair or set. c. Loss to Parts. The value of a lost or damaged part of an item that consists of several parts when it is complete is based on the value of only the lost or damaged part or the cost to repair or replace it. 2. Rental Reimbursement In the event of loss by a covered peril to covered contractors' equipment that you own, we will reimburse you for your expense to rent similar equipment while your equipment is inoperable. The most we will reimburse you for rental reimbursement expenses is$1,000. We will continue to reimburse you for the rental of equipment after the expiration date of this coverage provided the loss occurred before the expiration date. We will not reimburse you: a. If you can continue or resume your operations with similar equipment that is available to you at no additional expense to you; or b. For the rental expense of any equipment unless you make every reasonable effort to repair, replace or rebuild the inoperable equipment after the covered loss occurs. 3. With respect to this Additional Coverage,Contractors Equipment Coverage,Section D.Deductible of the BUILDING AND PERSONAL PROPERTY COVERAGE FORM is deleted and replaced by the following: D. Deductible We will not pay for loss or damage in any one occurrence until the amount of loss or damage exceeds$500.We will then pay the amount of loss or damage in excess of$500 up to the applicable limit of insurance. We will not reimburse you for the rental of equipment until after 72 hours have passed since the covered property was rendered inoperable. After 72 hours have passed,we will only reimburse you for the rental expense that you actually incur. The deductible of$500 does not apply to rental reimbursement expenses. General Liability Additional Coverages The following Additional Coverages are added to the COMMERCIAL GENERAL LIABILITY COVERAGE FORM. A. Blanket Additional Insured Coverage 1. SECTION II—WHO IS AN INSURED of the COMMERCIAL GENERAL LIABILITY COVERAGE FORM is amended to include as an insured any person or organization(referred to as Additional Insured)whom you are required to add as an Additional Insured on this policy under: a. A written contract or agreement; and b. Where a certificate of insurance showing that person or organization as an additional insured has been issued;and Page 20 of 25 Includes copyrighted material of Insurance Services Office,Inc.and MP 97 67 10 10 American Association of Insurance Services,Inc.,with their permission c. When the written contract or agreement and certificate of insurance are currently in effect or becoming in effect during the term of the policy and executed prior to the "bodily injury," "property damage," or "personal and advertising injury." 2. The insurance provided to the Additional Insured is limited as follows: a. The Additional Insured is only an additional insured for: (1) "Bodily injury,""property damage,"or"personal and advertising injury"caused in whole or in part by negligent acts or omissions of the Named Insured or anyone directly or indirectly employed by the Named Insured or for whose acts a Named Insured may be liable. (2) Liability arising out of your ongoing operations for the Additional Insured by or for you. A person's or organization's status as an insured under this coverage ends when your operations for that insured are completed. b. The Limits of Insurance applicable to the Additional Insured are those specified in the written contractor agreement but not more than the Limits of Insurance specified in the Declarations for this policy. The Limits of Insurance applicable to the Additional Insured are inclusive of and not in addition to the Limits of Insurance shown in the Declarations for the Named Insured. 3. In addition to the other exclusions applicable to Section I, Coverages A., B.and C.of the COMMERCIAL GENERAL LIABILITY COVERAGE FORM, the insurance provided to the Additional Insured does not apply to: a. "Property damage"to: (1) Property owned, used, occupied by, loaned or rented to the Additional Insured; (2) Property in the care,custody or control of the Additional Insured or over which the Additional Insured are for any purpose exercising physical control; or (3) "Your work" performed for the Additional Insured. b. "Bodily injury," "property damage," or "personal and advertising injury" arising out of an architect's, engineer's or surveyor's rendering or failure to render any professional services for you,for the Additional Insured or for others, including, but not limited to: (1) The preparing, approving or failure to prepare or approve maps, drawings, opinions, reports,surveys,change orders, designs or specifications; or (2) Supervisory, inspection or engineering services. c. "Bodily injury"or"property damage" occurring after: (1) All work, including materials, parts or equipment furnished in connection with such work, on the project(other than service,maintenance or repairs)to be performed by or on behalf of the additional insured at the site of the covered operations has been completed; or (2) That portion of"your work" out of which the injury or damage arises has been put to its intended use by any person or organization other than another contractor or subcontractor engaged in performing operations for a principal as a part of the same project. 4. SECTION IV—COMMERCIAL GENERAL LIABILITY CONDITIONS, Paragraph 4.Other Insurance, is amended to add the following subparagraph: d. Additional Insured's Other Insurance As Excess Insurance To the extent required by an"insured contract,"this insurance is primary on behalf of the Additional Insured;and any other insurance maintained by the Additional Insured is excess and not contributory with this insurance. If the "insured contract"does not require this provision, then Paragraph a. above will apply. B. Mobile Equipment Broadened Coverage V.12.f.(1) of the COMMERCIAL GENERAL LIABILITY COVERAGE FORM is replaced by the following: (1) Equipment designed primarily for: (a) Snow Removal; (b) Road maintenance, but not construction or resurfacing; or (c) Street cleaning. Except the above provisions do not apply to self-propelled vehicles of less than 1,000 pounds gross vehicle weight which are not intended for use on a highway. C. Aggregate Limit Per Project The General Aggregate Limit under SECTION III—LIMITS OF INSURANCE of the COMMERCIAL GENERAL LIABILITY COVERAGE FORM applies separately to each of your projects away from premises owned by or rented to you. MP 97 67 10 10 Includes copyrighted material of Insurance Services Office,Inc.and Page 21 of 25 American Association of Insurance Services,Inc.,with their permission D. Blanket Waiver Of Transfer Of Rights Of Recovery Against Others To Us The Transfer Of Rights Of Recovery Against Others To Us Condition (SECTION IV — COMMERCIAL GENERAL LIABILITY CONDITIONS) is amended by the addition of the following: We waive any right of recovery we may have against any person or organization to whom you by written contract or written agreement have waived your own right or recovery for loss caused by that person or organization because of payments we make for injury or damage arising out of your ongoing operations or"your work" done under a written contract or written agreement with that person or organization and included in the"products-completed operations hazard." This provision does not apply unless the written contract or written agreement has been executed prior to the"occurrence"or offense giving rise to the "bodily injury" or"property damage." E. Voluntary Property Damage Coverage 1. We will,at your request,pay but not defend any claim for"property damage"to the property of others otherwise excluded under A.2.j.(4), (5) and (6) of the COMMERCIAL GENERAL LIABILITY COVERAGE FORM provided that: a. Such "property damage"takes place while such property is in your care,custody or control, or is property of others over which you, for any purpose, are exercising or have exercised physical control; and b. Such "property damage"takes place away from any premises you own, rent or lease; and c. Such "property damage"takes place within the "coverage territory"and during the policy term; and d. Such"property damage"takes place only during your operations that are known to us, are scheduled on the policy and for which a premium has been charged. 2. The insurance under this additional coverage does not apply to "property damage"to property: a. Held by you for servicing, repair, storage or sale at premises owned by, rented or leased to you; b. While being transported by or caused by the ownership, maintenance,operation, use,"loading or unloading"of any "auto,"watercraft or aircraft; or c. Owned or occupied by or rented to you. 3. Deductible This additional coverage will apply only to that amount of any loss in each "occurrence"that exceeds $500. The terms of the policy with respect to your duties in the event of"occurrence,"claim or"suit"and the Company's right to investigate,negotiate and settle any claim or"suit"apply irrespective of the application of the deductible amount of$500. We may pay any part or all of the deductible amount of$500 to effect settlement of any claim or"suit."Upon notification of the action taken, you must promptly reimburse us for such part of the deductible amount as has been paid by us. 4. Limits of Liability The Limit of Liability for this additional coverage shall not exceed $2,500 for each "occurrence"and is the limit of the Company's liability for all damages on account of each claim or"suit"covered herein. The annual aggregate Limit of Liability is$2,500 and is, subject to the above provisions respecting each claim,the total limit of the Company's liability for all damages. 5. Settlement In the event of loss covered by this additional coverage,you shall,if requested by us, replace the property or furnish the labor and materials necessary for repairs thereto at actual cost to you,excluding prospective profit or overhead charges of any nature. Any property so paid for or replaced shall,at our option, become the property of the Company. Payment hereunder shall not constitute an admission of liability of you or, except as stated herein, of the Company. Additional Conditions A. Insurance Under Two Or More Coverages The following is added to Paragraph C. Insurance under Two or More Coverages of the COMMERCIAL PROPERTY CONDITIONS: If a Coverage Form is attached to this policy that provides a limit for any coverage provided by this endorsement; the limit shown in the SCHEDULE and the coverage provided by this endorsement are deleted and replaced by the limit and coverage provided by the Coverage Form. B. Limits Of Insurance Regardless of the number of buildings at a location covered by this endorsement,the most we will pay under this Coverage Enhancement endorsement in any one occurrence is the applicable Limits of Insurance shown in the SCHEDULE on page 1 of this endorsement. Page 22 of 25 Includes copyrighted material of Insurance Services Office,Inc.and MP 97 67 10 10 American Association of Insurance Services,Inc.,with their permission C. Deductibles The Deductible described in section D. of the BUILDING AND PERSONAL PROPERTY COVERAGE FORM applies to each of the Coverage Enhancements except as shown below: We will not pay for loss or damage in any one occurrence until the amount of loss or damage exceeds$500. We will then pay the amount of loss or damage in excess of$500 up to the applicable Limit of Insurance for the following enhancements: 1. Personal Effects and Property of Others 2. Valuable Papers and Records (Other than Electronic Data) 3. Property Off-Premises (Including Laptops and Other Electronic Equipment) 4. Outdoor Property(Named Perils) 5. Accounts Receivable 6. Property in Transit(Including Laptops and Other Electronic Equipment) 7. Fine Arts 8. Electronic Data 9. Water Back-Up and Sump Overflow 10. Employee Theft 11. Money and Securities 12. Forgery or Alteration No deductible provisions apply to the following enhancements: 1. Fire Department Service Charge 2. Arson Reward 3. Claims Expenses 4. Inventory or Appraisal Cost 5. Recharging of Fire Extinguishers 6. Rental Reimbursement D. Additional Definitions The following Additional Definitions apply to this endorsement only: 1. "Banking Premises"means the interior of that portion of any building occupied by a banking institution or similar safe depository. 2. "Business Income" means the: a. Net income(Net Profit or Loss before income taxes)that would have been earned had no loss occurred; and b. Continuing normal operating expenses incurred, including payroll. For manufacturing risks, Net Income includes the net sales value of production. 3. "Client" as used in Employee Theft Coverage means any entity for whom you perform services under a written agreement. 4. "Client"as used in Contractors Equipment Coverage means an individual,company or organization with whom you have a written contract or work order for your services for a described premises and have billed for your services. 5. "Employee"as used in Employee Theft and Money And Securities Coverages means: a. "Employee" means: (1) Any natural person: (a) While in your service or for 30 days after termination of service; (b) Who you compensate directly by salary, wages or commissions; and (c) Who you have the right to direct and control while performing services for you; (2) Any natural person who is furnished temporarily to you: (a) To substitute for a permanent"employee"as defined in Paragraph (1) above, who is on leave; or (b) To meet seasonal or short-term work load conditions; while that person is subject to your direction and control and performing services for you, excluding, however, any such person while having care and custody of property outside the "premises"; MP 97 67 10 10 Includes copyrighted material of Insurance Services Office,Inc.and Page 23 of 25 American Association of Insurance Services,Inc.,with their permission (3) Any natural person who is leased to you under a written agreement between you and a labor leasing firm, to perform duties related to the conduct of your business, but does not mean a temporary employee as defined in Paragraph (2) above; (4) Any natural person who is your director or trustee while that person is handling "money"or"securities." (5) Any natural person who is a former "employee," director, partner, member (an owner of a limited liability company represented by its membership interest, who also may serve as a manager), manager (a person serving in a directorial capacity for a limited liability company), representative or trustee retained as a consultant while performing services for you; or (6) Any natural person who is a guest student or intern pursuing studies or duties, excluding, however, any such person while having care and custody of"money"or"securities"outside the "premises." b. "Employee"does not mean: (1) Any agent, broker, factor, commission merchant, consignee, independent contractor or representative of the same general character; or (2) Any manager(a person serving in a directorial capacity for a limited liability company),director or trustee except while performing acts coming within the scope of the usual duties of an "employee." 6. "Extra Expense" means necessary expenses you incur during the "period of restoration"that you would not have incurred if there had been no direct physical loss or damage to property caused by or resulting from a Covered Cause of Loss. Coverage pertains to expenses (other than the expense to repair or replace property)which are incurred to a. Avoid or minimize the "suspension" of business and to continue "operations" at the described premises or at replacement premises or temporary locations, including relocation expenses and costs to equip and operate the replacement location or temporary location. b. Minimize the"suspension" of business if you cannot continue "operations." 7. "Fine Arts" means paintings, etchings, pictures, tapestries, art glass windows, valuable rugs, statuary, marbles, bronzes, antique furniture, rare books, antique silver, manuscripts, porcelains, rare glass, bric—a—brac, and similar property of rarity, historical value or artistic merit. 8. "Finished Stock"means stock you have manufactured. Finished stock also includes whiskey and alcoholic products being aged. 9. "Forgery"means the signing of the name of another person or organization with intent to deceive; it does not mean a signature which consists in whole or in part of one's own name signed with or without authority, in any capacity,for any purpose. 10. "Loss"as used in the Accounts Receivable Extension means accidental loss or damage. 11. "Manager"as used in Employee Theft Coverage means a person serving in a directorial capacity for a limited liability company. 12. "Messenger"means you, any of your partners or any employee while having care and custody of the property outside the "premises." 13. "Money" means: a. Currency, coins and bank notes whether or not in current use; and b. Travelers checks, register checks and money orders held for sale to the public. 14. "Occurrence"as used in the Money And Securities Coverage means an act or series of related acts involving one or more persons; or an act or event, or a series of related acts or events not involving any person. 15. "Occurrence"as used in the Forgery Or Alteration Coverage means all loss caused by any person or in which that person is involved, whether the loss involves one or more instruments. 16. "Operations"as used in the Business Income Including Extra Expense and Business Income From Dependent Properties Coverages"Extra Expense"Definition means your business activities occurring at the address shown in the Declaration that you occupy for your business. 17. "Period of Restoration"means the period of time that: a. Begins with the date of direct physical loss or damage caused by or resulting from any Covered Cause of Loss at the described premises; and b. Ends on the date when the property at the described premises should be repaired, rebuilt or replaced with reasonable speed and similar quality. "Period of Restoration"does not include any increased period required due to the enforcement of any ordinance of law that: (1) Regulates the construction, use or repair, or requires the tearing down of any property; or Page 24 of 25 Includes copyrighted material of Insurance Services Office,Inc.and MP 97 67 10 10 American Association of Insurance Services,Inc.,with their permission (2) Requires any insured or others to test for, monitor,clean up,remove,contain,treat,detoxify or neutralize,or in any way respond to, or assess the effects of"pollutants." 18. "Pollutants" as used in the Business Income From Dependent Properties Coverage and the "Period of Restoration" Definition means any solid, liquid, gaseous or thermal irritant or contaminant, including smoke, vapor, soot,fumes,acids,alkalis,chemicals and waste. Waste includes materials to be recycled, reconditioned or reclaimed. 19. "Premises"as used in the Money And Securities Coverage and "Employee"and "Messenger" Definitions means the interior of that portion of any building you occupy in conducting your business. 20. "Premises"as used in the Accounts Receivable Extension means that interior of the building at the address shown in the Declarations that you occupy for your business. 21. "Rental Value" means the: a. Total anticipated rental income from tenant occupancy of the premises described in the Declarations as furnished and equipped by you, and b. Amount of all charges which are the legal obligation of the tenant(s)and which would otherwise be your obligations, and c. Fair rental value of any portion of the described premises which is occupied by you. 22. "Securities" means negotiable and non-negotiable instruments or contracts representing either "money" or other property and include: a. Tokens, tickets, revenue and other stamps whether or not in current use; and b. Evidences of debt issued in connection with credit or charge cards, which are not of your own issue but does not include"money." 23. "Small Tools"means any tool which can be moved easily by one person without mechanical assistance and/or can be hand held for the purpose of doing labor. 24. "Suspension" means the slowdown or cessation of your business activities. 25. "Temporary Storage Location" means a location where property that is to become a permanent part of a completed project is stored while waiting to be delivered to the job site: a. That you do not own, lease or operate; and b. Where work is in progress, or will begin in 30 days. 26. "Theft"as used in the Employee Theft and Money And Securities Coverages means the unlawful taking of"money" or"securities"to the deprivation of the insured. All Other Conditions of this Policy apply. MP 97 67 10 10 Includes copyrighted material of Insurance Services Office, Inc.and Page 25 of 25 American Association of Insurance Services, Inc.,with their permission