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HomeMy WebLinkAbout2012-151 8 -ZI • IZ RECYCLABLES TRANSFER, PROCESSING & MARKETING SERVICES AGREEMENT BY AND BETWEEN SOLID WASTE DISPOSAL DISTRICT, INDIAN RIVER COUNTY, FLORIDA AND RESOURCE RECOVERY SYSTEMS , LLC, d / b/a RECOMMUNITY DATED AS OF august 21 , 2012 TABLE OF CONTENTS ARTICLE I . DEFINITIONS , . 0 0 a 0 5 a 0 a a 0 a a 9 0 a 0 a 1 0 a a * a 0 6 1 ARTICLE II , AGREEMENT TERM . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5 ARTICLE III , SWDD RESPONSIBILITIES . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5 Section 3 . 1 . Delivery of Program Recyclables . . . . . . . . . . . . . . . . . . . . . . . . . 5 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Section 3 . 2 . Scalehouse . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6 Section 3 . 3 . County MRF Operations . 0 0 9 a 0 0 0 a a 1 0 a a 0 9 a a a * 0 P 1 0 6 6 0 0 0 a a 0 a 0 6 a 0 0 4 a 6 b a 0 a a a 0 9 a a 0 9 a 0 a s d 6 Section 3 . 4 . Loading of Vehicles & Monthly Reports , . 0 0 0 a a 0 4 0 a a a 0 a a 0 a 0 a 0 0 6 a a a a a a 0 0 0 0 a a 0 4 0 0 a a 0 0 0 0 0 9 8 a 0 a a 0 a 0 a a a 0 a 6 ARTICLE IV, PROCESSOR RESPONSIBILITIES . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7 Section 4 . 1 . Processor May Monitor Activities . . . . . . . . . . . . . . . . . . . . . . . . 7 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Section 4 . 2 . Material Rejection . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7 Section 4 . 3 . Transportation , . 6 0 a a a 0 0 a 0 d a 1 0 8 0 a a 0 0 0 a 8 a 6 a 0 0 4 0 0 a 0 a a 6 0 0 a a * a d 0 8 Section 4 . 4 . Processing and Marketing . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8 Section 4 . 5 . Disposition of Recyclable Materials . a 0 0 0 a a 0 0 1 a 0 a a 0 a a I a a a a 0 0 0 a 8 a 0 9 0 a d & 9 P 0 0 a a 8 0 0 0 0 6 & a 0 0 0 a a a a 8 Section 4 . 6 . Compliance with Applicable Law; Recovered Material Certification . . . . . . . . . . . . . . . . 8 Section 43 . SWDD Access and Right to Inspect . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9 ARTICLE V . PAYMENTS TO SWDD . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9 Section 5 . 1 . Dual Stream Program Recyclables Revenue . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9 Section 5 . 2 . Composition Study . 8 0 a 0 9 a a 0 0 0 0 4 0 0 a 0 a W 9 0 a 0 a 0 9 1 1 a a 6 a 0 0 1 0 a a 6 9 0 0 0 8 6 0 a 0 4 a a & 0 0 9 0 9 a a a 0 9 0 a 0 a & a 0 0 0 0 6 6 0 0 0 0 a 0 a a 4 a 0 a 0 a a a 10 Section 5 . 3 . Single Stream Program Recyclables Revenue11 Section 5 . 4 . Market Index . a 0 9 0 6 a 0 0 a 4 1 4 0 0 a 0 a 0 0 a a a a 0 a 0 a 0 6 a 0 0 0 s 11 Section 5 . 5 . Adjustment to Processor' s Fee . . . . . . 12 ARTICLE VI , INVOICING AND PAYMENT , a a a a * 1 0 0 * a a a a 0 a a 6 0 9 0 8 0 a a 0 0 0 a & a 0 4 9 0 8 0 a 6 9 a a 0 0 a 0 0 0 0 0 6 a 0 a 6 0 a 0 a a a 9 a a 0 a 0 a a a a 0 a 0 a a 0 0 0 0 0 12 OZ . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . uolj:) njjsuoO pue Anel 8uluaanoD ' 9t ' 6 uoi1OaS OZ . 90 . . 009 . 0 . 0 . 6 . 60000 . . 00 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9anuaA 4St • 6 uOIID@S . � S OZ . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . sl ied.ialunoO ' ti166 uo11:) aS OZ . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . s9ulpeaH • £ t ' 6 uoiPaS OZ . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . si ! giyx3 ' suoi1ea1JipolN '1uaua9aa2V aa11u3 ' Zt • 6 uol ;aaS OZ . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . saanleM ' tt06 uOIID@S 6t . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . sa:) ueanssV aaylan j • Ot66 uo11aaS 6t . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . salaePPua8 'sallaed ayj jo diysuoljela8 6 . 6 uol � � aS 6t . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . JuawuBissy 98 . 6 uOIID@S 8t . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . sallaed Jo s@ ' Iueaae/V\ pue suoljejuasaada8 ' L06 uol �aaS 8t . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . uoijn � osa8 aindsld • g • 6 uoilaaS Lt . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . uoi } ealjluwapul • S • 6 uo14aaS Lt . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . u011eulwial pue 1Inep (] • t1 • 6 uoQnaS 9t . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . • . . . . . . . . . . . . . . . . . . . . . . ainefeA a :)aoj • 8 . 6 uolPaS aoueansul ' Z • 6 uolPaS saDI1oN • 106 uolPaS St . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . SNOI114NOJ (INV SM131 GUVGNd1S ' XI 3IDIAV tit . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . luauaaaaBV Jo weal Buiand sagewea palepinbil ecas uoi � a . � S tit . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . saBewe (i palepinbll Oulssassy aoj ainpa :) oad VZOS uoi � a . � S £ t . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . s@Sewea palepinbll ao sise . 8 t ' 8 uoi43aS S3JVVYVG (131VOinbll ' IIIA 3IOIlbt/ Et . . . • . . . . • • . . . • • • . . • . • . . • • . . . • . . . . • • . . . . . . . . . . . . . NOIldOf (13 (INV SSIN32JVMd JNIIOADRI ' IIA 3IOI12IV 8t . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . sjuawAed Z • g uoi oa . . . . . . . . . . . . . . . . . . . . . . . . a0ionul AjyjuoV l • t • g uoipas Section 9 . 17 . Waiver of Jury Trial . . . . . . . . . 21 . . . . . . . . . . . . . . . . . . . . . . . . . . Section 9 . 18 . Severability . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 21 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Section 9 . 19 . Binding Agreement . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 21 . . . . . . . . . . . . . . . . . . . . . . . Section 9 . 20 , Reasonableness Standard . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 21 Section9 . 21 , Attorney Fees . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 21 Section9 . 22 . Time of Essence . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 22 Section 9 . 23 . Cooperation and Release of information . d 1 0 4 V a 6 M 0 0 & a 0 0 0 a a a 0 0 0 V 9 0 * a 0 a 0 9 0 0 0 0 a 1 0 D 0 6 a I a a 6 0 0 6 0 0 a a a 22 Section 9 . 24 . Sovereign Immunity , . a 1 6 6 6 0 0 0 a a 0 0 a 0 a a a 0 0 0 1 N a A 0 0 6 0 0 4 0 0 a & a a M * 0 0 0 a M a 0 0 6 0 6 0 0 a 0 6 * 0 a 0 4 0 a M 4 a 0 a a M 0 0 a a 6 0 a 0 a 0 0 a R a a 8 0 22 Section 9 . 25 . Records Retention . 1 9 0 0 9 5 1 a 0 0 a 0 0 0 a a 6 0 9 a 0 4 a a I I # I a a 0 9 0 6 0 6 a a 0 0 0 0 a 0 0 a 0 a w a 9 0 0 0 0 6 a P 4 9 a 0 a . a 0 0 0 6 a a 0 22 Section9 . 26 . Counterparts . . 0 0 a a 0 d a 0 0 w 6 6 0 0 0 5 0 a 0 * a 0 0 9 0 a 0 a 0 6 0 6 a a 0 0 0 a 9 9 a 0 * M 0 0 0 6 M * 0 a 0 a 0 6 M M a 9 0 a a a a 0 0 0 a a a 4 4 a a a 6 0 0 0 a 0 & 0 0 0 a a a a 22 Section 9 . 27 . Confidential Information . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 22 Schedules Schedule A Program Recyclables . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 25 Schedule B Composition Percentages of Program Recyclables Used for Calculation of AMV . . . . . 26 Schedule B - 1 Example Calculation of Revenue for Dual Stream Program Recyclables . . . . . . . . . . . . . . . 27 Schedule B - 2 Example Calculation of Revenue for Single Stream Program Recyclables . . . . . . . . . . . . . 28 RECYCLABLES TRANSFER, PROCESSING, & MARKETING SERVICES AGREEMENT This RECYCLABLES TRANSFER, PROCESSING, & MARKETING SERVICES AGREEMENT ( "Agreement" ) is entered into this day of , 2012 ( " Effective Date " ) between the INDIAN RIVER SOLID WASTE DISPOSAL DISTRICT, a dependent special district of Indian River County, Florida , whose address is c/o Department of Utility Services, 1801 27th Street, Vero Beach , Florida 32960 ( hereinafter referred to as the " District" or "SWDD" ) , and RESOURCE RECOVERY SYSTEMS, LLC, d/ b/a ReCommunity, whose address is 809 West Hill Street, Charlotte , NC 28208 ( hereinafter referred to as the " Processor, " with the District and Processor individually a " Party" and collectively the " Parties" ) . WITNESSETH : WHEREAS, the District issued a Request for Proposals, RFP #2012023 , on December 2 , 2011 and subsequently selected the Processor to provide recyclables transfer, processing and marketing services ( the "Services" ) ; and WHEREAS, the Processor has reviewed the services required pursuant to this Agreement and is qualified , willing and able to provide and perform all such services in accordance with the terms herein , and WHEREAS, the District desires to enter into this Agreement on such terms and conditions as are set forth herein ; WHEREAS, the Parties wish hereunder to provide for their respective rights and obligations with respect to the Services; NOW, THEREFORE, in consideration of these premises, and other good and valuable consideration , the receipt and sufficiency of which are hereby acknowledged, the Parties hereto, intending to be legally bound , covenant and agree to as follows : ARTICLE I . DEFINITIONS As used in this Agreement, the following terms shall have the meanings set forth below : Agreement or Contract — This agreement between SWDD and the Processor, including the schedules, attachments and any written amendments . Applicable Law — means any act, statute, law, regulation , permit, license, ordinance, rule, judgment, order, decree, directive, guideline or policy ( to the extent mandatory ) or any similar form of decision or determination by, or any interpretation or administration of, any of the foregoing by any governmental authority with jurisdiction over the Facilities, the - 1 - performance of the Parties obligations hereunder and the transactions contemplated hereunder . With respect to state law, the law of the State of Florida shall be applicable . Average Market Value (AMV) — A market index used to determine the revenue paid by the Processor to SWDD for Program Recyclables transferred from the County MRF to the Processing Facility based on monthly fluctuations in the commodity market . Specifically the market index is defined as the sum of Regional Average commodity prices ( U . S . Dollar per Ton ) posted on the first week of the month for the Southeast United States of America ( USA) in SecondaryMaterialsPricing . com and SecondaryFiberPricing . com multiplied by the estimated composition percentages of SWDD ' s Recyclables as defined in this Agreement . Business Hours — means the hours of 7 : 00 a . m . to 5 : 00 p . m . every day other than Saturdays and Sundays, New Year' s Day, Independence Day, Labor Day, Thanksgiving Day and Christmas Day . Commencement Date — The date on which the Processor shall commence to accept for transporting, processing and marketing Program Recyclables in accordance with this Agreement . The Commencement Date shall in no event be later than the later of ( a ) September 1 , 2012 or ( b ) fifteen ( 15 ) days after the Effective Date . County — means Indian River County, Florida . County MRF — The County- owned facility, located at 1325 74th Avenue, SW, Vero Beach , FL 32968, at which the Processor receives Recyclable Materials hereunder for transportation to Processor' s Processing Facility. Operation of the County MRF is contracted under separate agreement, which terminates on December 31, 2017, but which may be extended for one ( 1 ) additional period of seven ( 7) years at the mutual agreement between the MRF Operator and SWDD . Customer Convenience Center — A site owned by SWDD and operated by an SWDD contractor at which residents and businesses may drop off Recyclable Materials . Dual Stream — A Recycling process in which Recyclable Containers ( one stream ) are collected separately from Recyclable Fibers ( the other stream ), each as defined under Program Recyclables and as set forth under the respective , applicable headings in Schedule A attached hereto . Effective Date — means the date on which the last of the Parties has executed this Agreement . Facilities — means, collectively, the County MRF and the Processing Facility . Force Majeure — Means the following events or circumstances to the extent that they delay or prevent SWDD or Processor from performing any of its obligations ( other than payment obligations ) under this Agreement : strikes and work stoppages unless caused by a negligent or willful act or omission of Processor or its agents or assigns; acts of God , tornadoes, - 2 - hurricanes, floods, sinkholes, fires, and explosions ( except those caused by negligence of Processor, its agents, and assigns ) , landslides, earthquakes, epidemics, quarantine, pestilence, and extremely abnormal and excessively inclement weather; and acts of public enemy, acts of war, terrorism , effects of nuclear radiation , blockades, insurrection , riots, civil disturbances, national or international calamities, or any suspension of services or closure at the landfill not caused by the Processor, its contractors, subcontractors, agents, or employees . Franchised Hauler(s) — The solid waste and Recyclable Materials collection service providers contracted by SWDD to provide such services for the residents in the unincorporated area of the County . These providers may also provide recyclable materials collection service to one or more of the Municipalities within Indian River County under the associated Interlocal Agreement ( ILA ) with that Municipality . Hazardous Waste — shall have the meaning as defined in Florida Statutes, section 403 . 703 , and Florida Administrative Code, Rule 62- 730 . 020, and their respective successor provisions . Household Hazardous Waste — Leftover household products that contain corrosive, toxic, ignitable, or reactive ingredients , including products such as paints , cleaners, oils, batteries and pesticides that contain potentially hazardous ingredients . Interlocal Agreement or ILA — means each and every interlocal agreement the District has in effect with each Municipality that provides for the Municipality to deliver or cause to be delivered to the County MRF all Recyclables under control of the Municipality . MRF Operator — The private company with which the County contracts to operate the County MRF . Municipality — means each municipality located in Indian River County, Florida ( i . e ., City of Vero Beach , City of Sebastian , Town of Orchid , Town of Indian River Shores , and City of Fellsmere ) . Processing — The manual or mechanical separation of commingled Recyclables to conform to the specifications for each marketable Recovered Material . Processor — The person , business, firm , corporation , or agency with whom SWDD enters into this Agreement . Processor's Fee — The fee to Processor ( as a deduction from the payment due the District under Sections 5 . 1 and 5 . 3 ) for transportation, Processing, and marketing of Program Recyclables . The Processor' s Fee for Dual Stream Program Recyclables is fifty- nine dollars and forty- nine cents ( $ 59 . 49 ) as adjusted by Section 5 . 5 . The Processor' s Fee for Single Stream Program Recyclables is seventy- eight dollars ( $ 78 . 00 ) as adjusted by Section 5 . 5 . - 3 - Processing Facility — The Processor' s materials recovery facility located in Sarasota , Florida or any other facility at which Processor performs the Processing and marketing of Recyclables pursuant to this Agreement . Program Recyclables — Recyclable Materials received at the County MRF that are transported and processed by the Processor . Program Recyclables include Recyclable Containers and Recyclable Fiber as defined in Schedule A and other Recyclable Materials mutually agreed upon by SWDD and the Processor during the Term . Recovered Materials — Recyclable Materials that have been diverted or removed from the solid waste stream for sale, use or reuse as raw materials, whether or not the materials require subsequent processing, but does not include materials destined for any use that constitutes disposal . Recyclable Materials (Recyclables) — Materials that are capable of being recycled and would otherwise be processed or disposed of as solid waste . Recycling — Any process by which materials that would otherwise have been solid waste are collected , separated or processed and reused or returned to use in the form of raw materials or products . Recyclable OCC — means recyclable old corrugated cardboard that is delivered to the County MRF separate from other Recyclable Materials . Rejects — Materials, other than Residue, that cannot be processed into Recovered Materials . Residue — That portion of the Recyclable Materials stream accepted by the Processor that is not converted to Recovered Materials due to breakage and/or transportation or processing inefficiencies . Scalehouse - SWDD' s landfill scalehouse located at 1325 74th Avenue, SW , Vero Beach , FL 32968 , Single Stream — A Recycling process that allows for commingled collection of Recyclable Fibers and Recyclable Containers in a single collection container or vehicle with no sorting required by residents, businesses or haulers . SWDD Director — means the Director of Utilities Services or designee who shall serve as the SWDD' s Agreement Administrator for this agreement . Ton — A unit of weight equal to 2 , 000 pounds , also referred to as a " short ton . " - 4 - ARTICLE II , AGREEMENT TERM Except as otherwise provided for herein , the obligations of the Parties shall take effect on the Effective Date and Processor shall commence accepting Recyclable Materials for transportation , Processing and marketing in accordance with this Agreement on the Commencement Date . The term of this Agreement ( the "Term " ) shall terminate five ( 5 ) years from the Commencement Date , The District and Processor, by written mutual agreement, may extend the Term for an additional five ( 5 ) year term . Any written agreement to extend the Term shall be made not less than 180 days prior to the expiration of the then current Term . Nothing herein shall create a legal right in either party to renew or extend the Term for an additional five ( 5 ) year term . ARTICLE III . SWDD RESPONSIBILITIES Section 3 . 1 . Delivery of Program Recyclables ( a ) At all times during the Term , SWDD shall direct the delivery of all Recyclable Materials collected by its Franchised Hauler ( s ) in the unincorporated County or at its Convenience Centers to the County MRF . SWDD does not guarantee the specific tonnage of Recyclable Materials that will be delivered . SWDD shall use reasonable efforts to assure that loads delivered to the County MRF do not contain contaminants . ( b ) Recyclable Materials collected by the Franchised Hauler ( s ) from the Municipalities are currently delivered to the County MRF under Interlocal Agreements ( ILAs ) between SWDD and the Municipality; however, SWDD does not guarantee specific tonnages since the Municipalities have the right to terminate the ILA with a written 90-day notice . SWDD acknowledges that it has recently approved a 200 home Single Stream pilot program in the City of Fellsmere through a Memorandum of Understanding ( MOU ) . This MOU allows for the transfer of Single Stream recyclables out- of-county up to September 30, 2015 or until SWDD changes to a Single Stream program , whichever is earlier . ( c) Recyclable Materials shall be delivered to the County MRF in a Dual Stream unless the District decides to convert to or also include Single Stream Recyclables . The District shall provide the Processor at least one hundred and eighty ( 180 ) days advance written notice of its intent to convert to or include Single Stream Recyclables . Within five ( 5 ) business days of such notification , the Processor shall respond in writing to the District confirming its ability to accept and process Single Stream Recyclables within that timeframe . If the Processor is not able or willing to accept and process Single Stream Recyclables, the District may seek Single Stream Processing services from another vendor . As of the effective date of any agreement with another vendor for Single Stream Processing services, this Agreement shall terminate . The Processor shall - 5 - not be in violation of this Agreement if it is unable or unwilling to accept and process Single Stream Recyclables , Section 3 . 2 . Scalehouse The Scalehouse shall be used to weigh all in - coming and out-going Recyclable Materials . The Processor' s vehicles shall be weighed going in and out at the Scalehouse, and the driver will be provided a weigh ticket . Actual and not stored tare weights shall be used . Out-going tonnages shall be the starting basis of payment to SWDD . The District shall staff and maintain the Scalehouse and associated equipment at its expense during all Business Hours in accordance with generally accepted industry standards and as required under Applicable Law . The Scalehouse shall be calibrated in accordance with the requirements of the Florida Bureau of Weights and Measures . Processor shall have the right to be present during each calibration and shall be given not fewer than five ( 5 ) days notice thereof. Section 3 . 3 . County MRF Operations ( a ) During the Term the County MRF shall be open Monday through Friday from 7 a . m . to 5 p . m . , closed on Saturdays and Sundays and shall be closed on New Year' s Day, Independence Day, Labor Day, Thanksgiving Day, and Christmas Day . ( b ) If during the Term SWDD converts its Recyclables collection to Single Stream , then SWDD will create a tipping and holding space at the County MRF acceptable for holding all Single Stream Recyclables and for the County MRF Operator to load the Single Stream Recyclables into Processor' s vehicles . SWDD and the Processor shall share equally in the costs of these improvements . Section 3 . 4 . Loading of Vehicles and Monthly Reports ( a ) Processor shall cause transfer vehicles to be brought to the County MRF for loading of Recyclables . Each driver shall identify to the Scalehouse operator that the vehicle is being loaded on behalf of Processor . ( b ) The MRF Operator will load Recyclable Materials into Processor' s transfer vehicles upon arrival at the County MRF . The District shall use its best efforts to ensure the vehicles are loaded promptly and to maximize load weights, within legal limits . Notwithstanding anything in this Agreement that may be construed to the contrary, Processor shall be excused from any responsibility under this Agreement ( including but not limited to liquidated damages ) where the inability to perform such responsibility is materially caused by the MRF Operator' s failure to properly or timely load Processor' s vehicles . - 6 - ( c ) Recyclable Fibers and Recyclable Containers shall be maintained separately and loaded as such in separate vehicles . Recyclable OCC shall be maintained and loaded separately unless Processor chooses to manage Recyclable OCC in another way at the County MRF . ( d ) The District shall provide Processor with monthly reports with respect to Recyclables loaded on Processor' s trucks the previous month that show scale ticket number; truck number; date ; and gross, net and tare weights ( in Tons ) . Such reports shall be delivered no later than the fifth ( 5th ) business day of each month with respect to the previous month . ( e ) Processor shall have the right to have Recyclable Materials from third parties delivered to the County MRF and loaded by the MRF Operator on Processor' s trucks . Processor shall pay SWDD $ 10 . 00 per Ton of Recyclable Materials so loaded . ARTICLE IV, PROCESSOR RESPONSIBILITIES Section 4 . 1 . Processor May Monitor Activities ( a ) Processor shall have the right, at its expense and without interfering with SWDD and operations at the County MRF, to have personnel at the County MRF to monitor activities relating to the services included in this Agreement . ( b ) Processor shall work with the MRF Operator in a collaborative manner related to the Processor' s delivery of vehicles , preference for loading of vehicles, and identification and removal of rejects . Processor shall communicate any issues in writing directly to the SWDD Director . ( c ) Further, upon approval by SWDD through an amendment or an MOU , the Processor may install such equipment as Processor deems necessary or advisable to process Recyclables at the County MRF in whatever manner Processor determines, so long as it is done at Processor' s expense, does not interfere with other operations, and does not create additional safety concerns at the County MRF . Processor shall remove such equipment within thirty ( 30) days after the end of the Term and shall leave the County MRF in substantially the same condition as before such installations . Section 4 . 2 . Material Rejection ( a ) Processor shall have the right to inspect Recyclables before loading at the County MRF . Processor shall have the right to reject Recyclables that contain more than twenty percent ( 20 % ) Rejects by volume, or which contain any amount of Hazardous Waste . Processor shall immediately notify the SWDD Director if any materials are rejected . . 7 - ( b ) The District will direct the MRF Operator to keep any materials rejected by the Processor segregated from other materials . Upon inspection , should the SWDD Director concur with the Processor, the District will be responsible for disposal of such materials at its cost . Should the SWDD Director determine that such Recyclables do not contain more than twenty percent ( 20 % ) Rejects by volume , the materials will be loaded for transport and Processing by the Processor . Section 4 . 3 . Transportation ( a ) Processor shall provide a sufficient number of transfer vehicles at the County MRF so that no more than thirty ( 30 ) tons of Recyclable Materials are stockpiled at the end of each day . At the SWDD Director' s reasonable request, Processor shall provide additional transfer vehicles prior to a pending major storm or hurricane event should SWDD deem it necessary to empty the County MRF prior to the event . ( b ) Processor shall be responsible for and shall bear all costs of transporting all Recyclable Materials from the County MRF to the Processing Facility . ( c ) Title to all Recyclables shall pass from the District to Processor upon loading onto Processor' s vehicles . Section 4 . 4 . Processing and Marketing ( a ) Processor shall process and market SWDD' s Program Recyclables and Recyclable OCC and provide a monthly revenue payment to SWDD, if applicable, in accordance with this Agreement . ( b ) Processor, at its expense, is responsible for the proper disposal of any Residue and Rejects resulting from the Processing by Processor of Recyclable Materials . Section 4. 5 . Disposition of Recyclable Materials Unless the Processor has prior written permission from the SWDD, the Processor shall not dispose of or landfill any Recyclables or Recovered Materials processed pursuant to this Agreement . The Processor shall not sell Recyclables or Recovered Materials to another agent that landfills or disposes of material other than through Recycling . The prohibition stated in the immediately prior sentence does not apply to disposal of Rejects and Residue . Section 4 . 6 . Compliance with Applicable Law; Recovered Material Certification ( a ) Processor shall comply at all times with all Applicable Law and regulations concerning the acceptance , transfer, and Processing of Recyclable Materials, and the temporary storage and marketing of Recovered Materials . - 8 - ( b ) Processor shall provide a copy of its current Recovered Materials Dealer Certification Form from the State of Florida Department of Environmental Protection to certify that it is qualified , approved and licensed to accept and process Recyclables and market Recovered Materials . Processor shall maintain this certification and annually provide SWDD with a copy throughout the Term . ( c ) Processor shall provide the SWDD Director with a copy of each quarterly Reporting Form for Recovered Materials that is submitted to the Florida Department of Environmental Protection . Section 4 . 7 . SWDD Access and Right to Inspect SWDD shall have the right at any time and with reasonable prior notice during the Processor' s hours of operation to inspect both the operating and maintenance practices and records of the Processor at the Processing Facility . ARTICLE V. PAYMENTS TO SWDD Section 5 . 1 . Dual Stream Program Recyclables Revenue Processor shall pay SWDD monthly for each Ton of Dual Stream Program Recyclables transferred from the County MRF to the Processing Facility as measured out- bound at the Scalehouse . The payment per Ton of Dual Stream Program Recyclables shall be a percentage of the Average Market Value ( AMV) of a Ton of Program Recyclables less the Processor' s Fees for transportation , Processing and marketing . The payment per Ton shall be calculated as follows : ( a ) Each month , SWDD shall calculate the Average Market Value ( AMV) of a Ton of Program Recyclables, defined as the sum of the Southeast USA regional average commodity prices ( U . S . Dollar per Ton ) first posted in the month for which payment is being made in SecondaryMaterialsPricing . com and SecondaryFiberPricing . com multiplied by the composition percentages of Program Recyclables, as defined in Schedule B . Schedule B- 1 also provides a sample calculation of the AMV based on the defined market indexes for November 2011 . ( b ) The Processor' s Fee, fifty- nine dollars and forty- nine cents ( $ 59 . 49 ) as adjusted by Section 5 . 5, shall be deducted from the AMV calculated for the month for which payment is being made . ( c ) Processor shall remit to SWDD seventy-five and one -tenth percent ( 75 . 10 % ) of the remaining amount (AMV less Processor' s Fee ) times the number of Tons of Dual Stream Program Recyclables transferred from the County MRF during the month for which payment is being made . - 9 - ( d ) The Processor' s Fee shall be payable solely from the AMV . If the AMV is less than the Processor' s Fee for any month , no payment shall be due for that month from the Processor to SWDD ; nor shall SWDD owe any additional Processor' s Fee ( in addition to the fee deducted from the AMV ) to the Processor for that month . Section 5 . 2 . Composition Study ( a ) The material percentages provided in Schedule B and their use for calculating the AMV shall remain in effect for the first year of the Term . ( b ) Within the first year of the Term , Processor or SWDD may perform a study to obtain a current measurement of the composition of Program Recyclables ( " Initial Composition Study" ) . The cost of this Initial Composition Study shall be the responsibility of the Party requesting such study unless the Parties agree to share in the cost . The Initial Composition Study methodology and selection of a qualified entity to conduct the study are subject to written approval by the SWDD Director, such approval not to be unreasonably withheld or delayed . SWDD staff and/or representatives and Processor' s representatives may be present to observe the study . The material percentages provided in Schedule B and utilized to calculate the AMV shall be adjusted based on the results of the Initial Composition Study effective the beginning of the second year of the Term . ( c ) Subsequent to the Initial Composition Study, Processor or SWDD may request additional Composition Studies, but changes to the material percentages in Schedule B may not be made more frequently than annually . The cost of each Composition Study shall be the responsibility of the Party requesting such study unless the Parties agree to share in the cost . Each Composition Study, its methodology, and selection of a qualified entity to conduct the study are subject to written approval by the SWDD Director, such approval not to be unreasonably withheld or delayed . SWDD staff and/or representatives and Processor' s representatives may be present to observe the study . A copy of each final Composition Study report shall be provided to the SWDD Director . The material percentages provided in Schedule B shall be adjusted based on the Composition Study results and shall become effective the following month and the remainder of the Term , or until further adjusted by a future Composition Study, if any . A method for aggregating results of multiple Composition Studies, if any, shall be mutually agreed upon by both Parties . - 10 - Section 5 . 3 . Single Stream Program Recyclables Revenue ( a ) If the District decides to convert to Single Stream recycling, the Processor shall commence the acceptance of Single Stream Program Recyclables under the conditions agreed below . If the Processor does not agree to these conditions, the District may seek Single Stream Processing services from another vendor pursuant to Section 3 . 1 ( c) . ( b ) SWDD and Processor shall expand , if appropriate, the Program Recyclables identified in Schedule A and continue with the composition percentages at the time of the transition until such time that a new Composition Study is performed for Single Stream Program Recyclables . The procedure for a Composition Study shall be the same as outlined in Section 5 . 2 . ( c) Processor shall pay SWDD monthly for each Ton of Single Stream Program Recyclables transferred from the County MRF as measured out- bound at the Scalehouse . The payment per Ton of Single Stream Program Recyclables shall be a percentage of the Average Market Value ( AMV) of a Ton of Program Recyclables less the Processor' s Fees for transportation , Processing and marketing . The payment per Ton shall be calculated as outlined below . An example of this calculation is provided in Schedule B -2 . ( i ) The monthly ( AMV) shall be calculated as outlined in Section 5 . 1 ( a ) . ( ii ) The Processor' s Fee, seventy- eight dollars ( $ 78 . 00 ) as adjusted by Section 5 . 5, shall be deducted from the AMV calculated for the month for which payment is being made . ( iii ) Processor shall remit seventy-five and one -tenth percent ( 75 . 10% ) of the remaining amount ( AMV less the Processor' s Fee ) times the number of Tons of Single Stream Program Recyclables transferred from the County MRF to the Processing Facility during the month for which payment is being made . ( iv) The Processor' s Fee shall be payable solely from the AMV . If the AMV is less than the Processor' s Fee for any month , no payment shall be due for that month from the Processor to SWDD; nor shall SWDD owe any additional Processor' s Fee ( in addition to the fee deducted from the AMV) to the Processor for that month . Section 5 . 4 . Market Index ( a ) The formulas outlined in Article V for payment by the Processor to SWDD shall be used regardless of the location of the Processing Facility utilized by the Processor. - 11 - ( b ) The market index and AMV calculation is used solely as an index and is not based on actual revenue received by the Processor. ( c ) If at any time during the Term , SecondaryMaterialsPricing . com or SecondaryFiberPricing . com no longer post or otherwise provide the applicable market indices, then the Parties shall mutually and in good faith select an appropriate replacement source for the required information from among the sources Recycling industry professionals utilize to obtain reliable secondary pricing information . Section 5 . 5 . Adjustment to Processor' s Fee ( a ) The Processor shall be permitted annually to request a price adjustment to the Processor' s Fee and both the Processor and SWDD acknowledge and agree that the first price adjustment shall be effective , if granted , on January 1 , 2014 . Such request shall not be unreasonably refused . The Processor shall submit a written request and appropriate documentation , no later than July 1 of each year and any such adjustment granted by SWDD shall become effective on January 1 of the following year . ( b ) The adjustment shall not exceed 75 percent of the change of the Consumer Price Index ( CPI ) , specifically, the Urban Consumers Index, published by the U . S . Department of Labor, Bureau of Labor Statistics, for the Southern States . Rates may be adjusted as calculated herein , subject, however, to a maximum of three percent ( 3 %) per year . Downward adjustments resulting from a negative CPI shall be made by SWDD, when appropriate, without a request from the Processor . ( c ) The adjustment shall be computed as follows : For each subsequent year of the Term , the net percentage change shall be 75 percent of the difference between the CPI as of the immediately preceding January and the second preceding January divided by the CPI as of the second preceding January . The following formula shall be used for the cost adjustment : CostAdjustment = ( X2 - X 1 x 0. 75) + I X1 Where, X1 = CPI for second preceding January; XZ = CPI for immediately preceding January . ARTICLE VI , INVOICING AND PAYMENT Section 6 . 1 . Monthly Invoice SWDD shall send the Processor a monthly invoice and report detailing the total Tons of Dual Stream Program Recyclables , Single Stream Program Recyclables, and Recyclable OCC transferred from the County MRF to the Processing Facility - 12 - during the previous month and the total revenue due to SWDD for such Recyclables . Section 6 . 2 . Payments Processor shall remit payment of said revenue to SWDD within thirty ( 30 ) calendar days from the date of the invoice . Interest shall accrue on all past due invoices and any other amounts that may be due and owing hereunder at the rate of one - half percent ( 0 . 5 % ) per month from the date due until the date paid , and the Party owing such overdue amounts shall pay any and all costs incurred by the other Party for collection of unpaid balances, including without limitation costs of investigation and attorneys' fees . ARTICLE VII , RECYCLING AWARENESS AND EDUCATION In its response to the Request for Proposals referenced on page 1 of this Agreement, the Processor represented that ( a ) it would provide education and promotion support to SWDD to increase participation in the Recyclables Program ; ( b ) the support may take the form of strategic planning, access to video feeds, media support, education tools and equipment, recycling education videos, promotion programs, social media tools, and other such activities ; and ( c) the Processor' s estimated value of the support exceeded $ 100, 000 . SWDD relied upon this representation in selecting the Processor from among the entities responding to the Request for Proposals . Within thirty ( 30) days after each yearly anniversary of this Agreement, the Processor shall provide a written report to SWDD setting forth the support activities undertaken by the Processor during the prior year, and the Processor' s estimate of the value of such activities . The estimated value shall average approximately $ 20, 000 per year and shall total approximately $ 100, 000 or more for the five ( 5 ) year term of this Agreement . It shall not be a default hereunder if SWDD believes that the value of such support is less than $ 20, 000 per year or $ 100, 000 in the aggregate . ARTICLE VIII . LIQUIDATED DAMAGES Section 8 . 1 . Basis for Liquidated Damages ( a ) Processor and SWDD acknowledge and agree that it is difficult or impossible to accurately determine the amount of damages that would or might be incurred by SWDD due to those failures or circumstances described in this Article VIII and for which the Processor would otherwise be liable . Accordingly, the Processor and SWDD have negotiated the terms and amounts of the liquidated damages set forth herein , and the Parties agree that the liquidated damages are reasonable under the circumstances . The Processor and SWDD also have consulted with their legal counsel and confirmed that these liquidated damages are appropriate . Therefore, the following administrative assessments shall - 13 - constitute liquidated damages, not penalties, for the Processor' s breach of this Agreement . ( b ) SWDD shall not assess and the Processor shall not be required to pay liquidated damages in those cases where the delay or failure in the Processor' s performance was ( i ) excused in advance by the SWDD Director or ( ii ) due to unforeseeable causes that were beyond the Processor' s reasonable control and without any fault or negligence of the Processor . Section 8 . 2 . Procedure for Assessing Liquidated Damages ( a ) Prior to assessing liquidated damages, the SWDD Director shall provide written notice to the Processor, indicating SWDD' s intent to assess liquidated damages and the basis for SWDD ' s position . ( b ) If a protest is filed within five ( 5 ) business days of delivery of written notice to Processor, the matter shall be referred to the County Administrator for resolution . The County Administrator shall review the issues in a timely manner and then provide a written decision to the Processor . The County Administrator' s decision shall be the final administrative decision , but may be appealed in any proper court . ( c ) If a protest is not timely filed by the Processor, or if the County Administrator concludes that liquidated damages should be assessed and such decision is not appealed or is upheld on appeal , the amount of liquidated damages shall be added to the Processor' s next payment to SWDD . ( d ) The procedures in this Article VIII shall be used in lieu of the procedures in Section 9 . 6 when resolving disputes concerning liquidated damages; however, the procedures in Section 9 . 6 will be used , upon the Processor' s request, if the dispute involves an assessment of liquidated damages that exceeds twenty thousand dollars ( $ 20, 000 ) in one calendar month . Section 8 . 3 . Liquidated Damages During Term of Agreement During the Term , the SWDD Director may assess liquidated damages as follows : Performance Standard Violation Liquidated Damages Failing to provide a sufficient number of transfer vehicles at the County MRF so that no more than thirty ( 30 ) tons of Recyclable $ 100 per day Materials are stockpiled at any given time . ( Section 4 . 3 . ( a ) ) - 14 - Disposing of Program Recyclables or Recovered Materials, other than through Recycling, and $ 500 per with the exception of Rejects and Residue , occurrence without prior SWDD approval . ( Section 4 . 5 . ) ARTICLE IX , STANDARD TERMS AND CONDITIONS Section 9 . 1 . Notices All notices to be given under this Agreement shall be in writing and delivered personally or shall be sent by recognized overnight courier, in each case with signature required , as follows : If to Processor : with a copy to : Resource Recovery Systems, LLC David Sturgess, General Counsel 809 West Hill Street Re Community Holdings II , Inc . Charlotte, NC 28208 809 West Hill Street Attention : Sean P . Duffy Charlotte, NC 28208 if to the District : with a copy to : Indian River Solid Waste Disposal District County Attorney at the same address County Administrator Phone : ( 772 ) 226- 1424 180127 th Street Fax : ( 772 ) 569 - 4317 Vero Beach , FL 32960 Phone : ( 772 ) 226- 1408 Fax : ( 772 ) 978- 1822 Notices shall be deemed received when actually received . Section 9 . 2 . Insurance ( a ) Requirements . At all times during the Term , Processor shall maintain the following insurance coverages with an insurance company or companies reasonably acceptable to the District : ( i ) Worker' s compensation insurance, covering liability under applicable worker' s compensation law, employer' s liability insurance of not less than one hundred thousand dollars ( $ 100, 000 . 00 ) per accident; and ( ii ) Commercial general liability with a single occurrence limit of coverage of not less than one million dollars ( $ 1, 000, 000 . 00 ) for death or injury to any person ( s ) or property damage . - 15 - Automobile liability with a combined single limit ( each accident) of not less than one million dollars ( $ 1 , 000, 000 . 00 ) . ( iv ) Umbrella liability with a single occurrence limit of coverage of not less than five million dollars ( $ 5, 000, 000 . 00 ) and an aggregate limit of not less than five million dollars ( $ 5 , 000, 000 . 00 ) for death or injury to any person ( s ) or for property damage as a result of any one occurrence which may arise out of or in connection with ReCommunity' s operations at the County MRF or otherwise in the performance of its obligations hereunder . ( b ) Processor shall provide thirty ( 30 ) days' written notice to the District in advance of any expiration , cancellation , non - renewal or material change in coverage and notice within twenty- four ( 24 ) hours of any notice of expiration , cancellation , non - renewal or material change from the insurer . ( c ) Processor shall name the District as an additional insured with respect to any policies it procures pursuant to this Article IX, except with respect to Subsection ( i ) ( worker' s compensation coverage ) ; ( d ) Insurance Certificates . Processor shall provide the County certificates of insurance to evidence that the required insurance coverage is in effect at all times during the Term . Section 9 . 3 . Force Majeure ( a ) A delay or failure of performance hereunder by either Party shall not constitute an event of default or cause for any liability under this Agreement to the extent caused by a Force Majeure event. Such delay or failure shall be excused at any time performance is materially and directly affected by a Force Majeure and during such period thereafter as may be reasonably necessary for the Party so affected , using Commercially Reasonable Efforts, to correct the adverse effects of such Force Majeure . ( b ) The Party relying on a Force Majeure event as justification for a delay or failure of performance hereunder shall give the other Party notice by telephone as soon as reasonably practicable , followed by written notice within seven ( 7 ) days, of the Force Majeure event . The notice shall identify the event, the anticipated effect on the Party' s performance, the anticipated duration of any non - performance , and the measures being taken to reduce or eliminate the cause of the non - performance . ( c ) The provisions of this Section 9 . 3 shall not relieve a Party from its obligation to use reasonable efforts to overcome or remove the effects of such Force Majeure . - 16 - Section 9 .4 . Default and Termination ( a ) Events of Default . Either Party may immediately terminate this Agreement for cause , without prejudice to any other rights or remedies the terminating Party may have under the law, except as provided herein , when there is an event of default by the other Party . An event of default shall occur if the other Party shall ( 1 ) fail to perform any material provision of this Agreement within fifteen ( 15 ) days of receipt of written notice to cure , ( 2 ) become insolvent or subject to a petition of involuntary bankruptcy and the appointment of a trustee or receiver, in any such case which is not dismissed within 120 days, or ( 3 ) make an assignment for the benefit of creditors, other than as permitted in Section 9 . 8 . ( b ) Remedies . In the event of a breach by a Party of any of its obligations hereunder after any applicable notice and cure period , the other Party shall have the rights specified herein , and any remedy to which it is entitled at law or in equity for such breach , subject to Subsection 9 . 4 . ( c ) , below . ( c ) Exclusivity of Remedies . Neither Party shall be liable for or obligated to pay punitive, consequential , special , incidental or indirect damages in connection with the performance of this Agreement . ( d ) Survival of Obligations . Notwithstanding the expiration or the termination of this Agreement pursuant to its terms, any duty or obligation of a Party which has not been fully observed , performed and /or discharged and any right, unconditional or conditional , which has been created for the benefit of a Party and which has not been fully enjoyed , enforced and /or satisfied ( including but not limited to the duties, obligations and rights, if any, with respect to secrecy, indemnity, warranty, and guaranty) shall survive such expiration or termination until such duty or obligation has been fully observed , performed or discharged and such right has been fully enjoyed , enforced and satisfied . Section 9 . 5 . Indemnification ( a ) By Processor . To the extent permitted by law, Processor shall defend , protect, hold harmless and indemnify District, its Commissioners, directors, officers, employees, and agents and contractors of any tier, or any of them ( the " District Indemnified Persons " ) from and against any cost, expense, loss, claim or liability whatsoever, including the cost of attorneys' fees and appeals, for injury to any person or loss or damage to any property arising out of: ( a ) the negligence or wrongful misconduct of Processor, its directors or partners ( as applicable ) , officers, employees, other agents or contractors of any tier; ( b ) the failure of or by Processor, . 17 - its directors or partners ( as applicable ) , officers, employees , other agents or contractors of any tier to comply with applicable law or regulations of federal , state or local governments ; ( c ) the performance or failure to perform of the Processor under this Agreement ; and ( d ) any breach by Processor of any representation or warranty made in this Agreement . Processor is not required to hold harmless or indemnify any District Indemnified Person for any cost, expense, loss, claim or liability to the extent caused by any District Indemnified Person ' s negligence or reckless misconduct . ( b ) To the extent permitted by law, District shall defend , protect, hold harmless and indemnify Processor, its directors, officers , employees, and agents , from and against any cost, expense, loss, claim or liability whatsoever, including the cost of attorneys' fees and appeals for injury to any person or loss or damage to any property arising out of the negligence of District, or its officers, employees and agents ; provided , however, that nothing herein shall increase District' s liability beyond that set forth in Section 768 . 28 , Florida Statutes . Section 9 . 6 . Dispute Resolution The Parties shall attempt to resolve any and all disputes to the mutual satisfaction of both Parties by good faith negotiations . Whenever a Party desires to initiate the dispute resolution process set forth in this section , it shall do so by delivering a dispute notice to the other Party . Within ten ( 10 ) days after the delivery of a dispute notice , the Parties shall meet for the purpose of negotiating a resolution of the dispute . The Parties will use their best efforts to informally resolve the dispute within forty-five ( 45 ) days after the date of the written notice . If the dispute has not been resolved to either Party' s satisfaction during this time period , the requirement for informal negotiations shall be satisfied . The Parties may, by mutual agreement, extend the period for informal negotiations . Nothing in this section shall prevent either Party from seeking judicial remedies in a court of law at any time . Section 9 . 7 . Representations and Warranties of Parties The Parties represent and warrant to each other that upon execution of this Agreement : ( a ) each Party is duly organized and existing and in good standing under the laws of the state of their creation ; ( b ) the Parties have the power and authority to enter into this Agreement and to carry out their respective obligations hereunder; ( c ) the Parties have taken all legal actions necessary to authorize them to enter into and perform their respective obligations hereunder ; ( d ) entering into and performing this Agreement does not violate any statute , rule , regulation , order, writ, injunction , or decree of any court, administrative agency, or governmental body or violate any agreement by which a Party is bound ; ( e ) this Agreement has been duly entered into by the Party and - 18 - constitutes a legal , valid , and binding obligation of the Party ; ( f) there is no litigation or proceeding pending or threatened against a Party which could materially or adversely affect the performance of this Agreement; and (g ) the Parties have obtained all permits and approvals as may be required to authorize their respective performance of the obligations of this Agreement . Except as expressly provided herein , the Parties make no representations or warranties and waive no rights or remedies . Section 9 . 8 . Assignment This Agreement shall not be assigned by either Party without the prior express written consent of the other Party, which shall not be unreasonably withheld . Notwithstanding the above , Processor may assign the Agreement to an affiliate Processor or to a trustee or lender in connection with the financing or refinancing of the Facility, without obtaining the District' s prior approval . A permitted assignment shall neither be effective nor relieve a Party of its obligations under this Agreement unless this Agreement shall have been assumed by the assignee . Section 9 . 9 . Relationship of the Parties ; Beneficiaries ( a ) This Agreement reflects an arms - length transaction . Nothing herein shall create a fiduciary, partnership, joint venture or employment or other agency relationship between the Parties . ( b ) This Agreement is not entered into for the benefit of, nor are any rights granted to , any third party . ( c ) It is recognized that the District will discharge some of its responsibilities through third party processors or franchisees . The District shall be solely responsible for executing any necessary contracts with processors and franchisees . Any such contract shall be entered into by the District as an independent contractor and not as a representative of Processor . ( d ) It is recognized that the Processor may discharge some of its responsibilities through subcontractors . The Processor shall be solely responsible for executing any necessary contracts with subcontractors . Any such contract shall be entered into by the Processor as an independent contractor and not as a representative of the District . Section 9 . 10 . Further Assurances Each Party agrees to execute and deliver any instruments and to perform any action that may be necessary or reasonably requested in order to give full effect to this Agreement . Each Party shall use all reasonable efforts to provide such information , execute such further instruments and documents, and take such action as may be reasonably requested by the other Party, not inconsistent with - 19 - the provisions of this Agreement and not involving the assumption of obligations other than those provided for in this Agreement, to carry out the intent of this Agreement . Section 9 . 11 . Waivers No provision of this Agreement shall be deemed waived without the express written consent of the Party granting the waiver . The waiver by either Party of a default or a breach of any provision of this Agreement by the other Party shall not operate or be construed to operate as a waiver of any subsequent default or breach . The making or the acceptance of a payment by either Party with knowledge of the existence of a default or breach shall not operate or be construed to operate as a waiver of any subsequent default or breach . Section 9 . 12 . Entire Agreements Modifications ; Exhibits The provisions of this Agreement ( except captions ) , including the exhibits annexed hereto, shall ( a ) constitute the entire agreement between the Parties, superseding all prior or contemporaneous negotiations, understandings or agreements and ( b ) not be modified in any respect except by express written agreement executed by the Parties . The exhibits attached hereto are incorporated by reference . In the event of any conflict between the text of this Agreement and such exhibits, the text of this Agreement shall govern . Section 9 . 13 . Headings Captions and headings in this Agreement are for ease of reference only and do not constitute a part of this Agreement . Captions and headings shall not be deemed to affect the meaning or construction of any of the terms or provisions hereof. Section 9 . 14 . Counterparts This Agreement may be executed in more than one counterpart, each of which shall be deemed to be an original . Section 9 . 15 . Venue Any and all suits for breach of this Agreement shall be instituted and maintained in a state or federal court of competent jurisdiction having jurisdiction over Indian River County, Florida . Section 9 . 16 . Governing Law and Construction This Agreement and any questions concerning its validity, construction and performance shall be governed by the laws of the State of Florida , without giving effect to any conflicts - of- law rules requiring the application of the substantive laws of other jurisdictions . The language of this Agreement shall be construed - 20 - according to its fair meaning, not strictly for or against the Processor or District, and not against either Party as its drafter, because both Parties agree they had an equal hand in drafting this Agreement . The singular shall include the plural ; use of the feminine , masculine , or neuter genders shall be deemed to include the genders not used . Section 9 . 17 . Waiver of Jury Trial Each Party hereby knowingly, willingly, and irrevocably waives its right to a trial by jury concerning claims arising under this Agreement . Section 9 . 18 . Severability In the event that any provision of this Agreement shall , for any reason , be determined to be invalid , illegal , or unenforceable in any respect, the Parties shall negotiate in good faith and agree to such amendments, modifications or supplements of, or to, this Agreement or such other appropriate changes as shall , to the maximum extent practicable in light of such determination , implement and give effect to the intentions of the Parties as reflected herein , and the other provisions of this Agreement shall , as so amended , modified , supplemented , or otherwise effected by such action remain in full force and effect . Section 9 . 19 . Binding Agreement This Agreement, which has been duly authorized , executed and delivered by the respective Parties, constitutes a legal , valid and binding obligation enforceable in accordance with its terms , except as enforcement may be limited by bankruptcy, insolvency, reorganization , moratorium or similar laws affecting the enforcement of creditors ' rights generally, or by general equitable principles concerning remedies . Section 9 . 20 . Reasonableness Standard All determinations, consents, reviews and approvals to be granted and conducted by the Parties under this Agreement and any other acts calling for the exercise of discretion shall be performed in good faith and , unless otherwise so specified , under a standard of reasonableness that is consistent with normal industry practices for the type of work involved . Where time periods are not specified , a reasonable period of time shall be allowed . Section 9 . 21 . Attorney Fees In any civil judicial action brought to enforce the provisions of this Agreement, the prevailing Party may recover from the non - prevailing Party all reasonable court costs, including attorney ' s fees and court preparation costs, and including any appeals thereof. - 21 - Section 9 . 22 . Time of Essence The Parties each understand and acknowledge that time is of the essence of this Agreement . Section 9 . 23 . Cooperation and Release of Information District shall cooperate with Processor' s requests for public information and District shall release public records concerning the District, its Processors, and its Franchisees, when such documents are requested by Processor in compliance with Chapter 119 , Florida Statutes , Section 9 . 24 , Sovereign Immunity Nothing in this Agreement is or shall be construed as a waiver of the District' s sovereign immunity or the limitations on liability set forth in Section 768 . 28, Florida Statutes , Section 9 . 25 . Records Retention All records required to be prepared or maintained by the Processor or District shall be retained by the Processor or District, respectively, for at least five ( 5 ) years after the date when the records are prepared . Section 9 . 26 . Counterparts This Agreement may be executed in one or more counterparts, each of which will be deemed an original , but which together will constitute one and the same instrument . Section 9 . 27 . Confidential Information ( a ) SWDD is a dependent special district of Indian River County, Florida and , as such , is subject to the Florida Public Records Act, the Florida Sunshine Law, and other state or federal laws relating to public records ( collectively "Open Records Law" ) . If Processor maintains that any record delivered to SWDD by Processor is confidential or exempt under the Open Records Law, Processor shall stamp or otherwise mark the front page of such record as "confidential " at the time of production . If any third party thereafter requests a copy of any such record , SWDD shall provide notice of such request to Processor and Processor shall have five ( 5 ) business days after receipt of such notice to provide to SWDD a written summary of its position that such record is confidential or exempt under the Open Records Law, which summary shall identify the specific statutory provisions which are relied upon to establish such confidentiality or exemption ; failure to timely deliver such summary shall be deemed to be a waiver or abandonment of Processor' s position . If the County Attorney agrees with the Processor' s position as set forth in the - 22 - written summary, SWDD shall maintain the confidentiality of the record , unless and until a final court order is entered requiring production of the record . If the County Attorney disagrees with Processor' s position as set forth in the written summary, the County Attorney shall provide written notice of such disagreement to Processor, and SWDD shall thereafter produce the record pursuant to the request, unless ( i ) within two ( 2 ) business days of receipt of the County Attorney' s notice of disagreement, Processor delivers written notice to the County Attorney of Processor' s intent to file a civil action to determine the validity of Processor' s position that the record is confidential or exempt, and ( ii ) within seven ( 7 ) business days of receipt of the County Attorney' s notice of disagreement, Processor files such civil action in the Circuit Court in and for Indian River County, Florida . SWDD shall comply with any final court order determining the status of the record as confidential or exempt . ( b ) If ( i ) the County Attorney has provided written notice disagreeing with Processor' s position that the record is confidential or exempt, ( ii ) Processor, or the third party who requested the record , has filed a civil action to determine the validity of Processor' s position that the record is confidential or exempt, ( iii ) a final court order has been entered determining that the record is not confidential or exempt, and ( iv ) a final court order has been entered requiring SWDD to pay the attorney' s fees , costs or expenses of the third party who requested the record , then Processor shall , upon written demand by SWDD, pay such attorney' s fees, costs or expenses to the third party, or, if SWDD has already paid such fees, costs or expenses to the third party, reimburse SWDD for such amounts . ( c ) If SWDD receives a subpoena or similar court order ( collectively "subpoena " ) requiring production of a record which Processor has stamped or marked as "confidential " ( other than a court order described in subsections ( a ) and ( b ) above ) , SWDD shall immediately provide a copy of such subpoena to Processor . Processor, if it elects to do so, shall thereafter be responsible for obtaining a court order staying, quashing or otherwise determining that SWDD is not required to comply with the subpoena . In the absence of such order, SWDD shall comply with the subpoena . ( d ) For the purposes of this section , the term "SWDD " shall include Indian River County, Florida . [ balance of page intentionally left blank] - 23 - [ signature page to Recycling Services Agreement] IN WITNESS WHEREOF, the Parties have caused this Agreement to be executed by their respective authorized representatives . '+Npnn H .Nnnhh �#.oGOM6468IM ► SS/0 .• ATTEST : Jeffrey R . Smith , INDIAN RIVER COUNTY SOLID �.•.`y .q Clerk of Court ndnptroller WASTE DISPOSAL DISTRICT of?' g Deputy Clerk Gary Wheeler , Chairt�na�i ;�� 66# 60 Approved : August 21 2A District A pp q .. NER C� .• '' Date a APPROVED : APPROVED AS TO LEGAL FORM AND SUFFICIENCY : By : By : eph A . Baird Ian .S Polackwich , Sr . County Administrator County Attorney COMPANY : WITNESSES : RESOURCE RECOVERY SYSTEMS,, LLC i By : ' r Name : Sean P . Duffy Title : President and Chief Operating Officer Dated - 24 - Schedule A Program Recyclables Recyclable Containers • Aluminum food and beverage containers • Aluminum foil , pie plates, and trays • Glass food and beverage containers • Ferrous cans, including aerosol cans not containing Household Hazardous Waste • Aseptic cartons, including juice boxes, gable top milk and juice containers, soy milk and soup cartons . • All plastic containers except plastic film • Bulky rigid plastics • Scrap metal Recyclable Fiber • All paper not contaminated by food , including newspaper, magazines, phones books, junk mail , office paper, cardboard , paper bags, office paper, paperboard , chipboard , file folders, envelopes , paperback books, mixed paper, etc . • Shredded paper placed in clear plastic bag - 25 - Schedule B Composition Percentages of Program Recyclables Used for Calculation of AMV (subject to revision in accordance with Section 5 . 2 ) Recyclable Type Percentage Newspaper 31 . 8 % Mixed Paper 10 . 9 % Cardboard 14 . 1 % Steel Cans 2 . 7 % HDPE Natural 2 . 5 % HDPE Color 2 . 5 % PET 6 . 2 % Aluminum 2 . 2 % Mixed Glass 24 . 0 % Waste 3 . 1 % Total 100 . 0% - 26 - Schedule 134 Example Calculation of Revenue for Dual Stream Program Recyclables (subject to revision in accordance with Article V ) Provided below is a sample calculation of revenue for Dual Stream Program Recyclables utilizing the market index for November 2011 . Average Commodity Price Material Recyclable Type Market Index ($/Ton ) Percentage AMV Newspaper PS 8 baled, FOB seller' s dock $ 117 . 50 31 . 8 % $ 37 . 37 Mixed Paper PS 1 baled, FOB seller' s dock $ 115 . 00 10 . 9 % $ 12 . 54 Cardboard PS 11 baled, FOB seller' s dock $ 145 . 00 14 . 1 % $ 20 . 45 Steel Cans $/ton, sorted , baled & delivered $ 117 . 50 2 . 7 % $ 3 . 17 HDPE Natural Cents/Ib . , baled and picked up $ 670 . 00 2 . 5 % $ 16 . 75 HDPE Color Cents/Ib . , baled and picked up $ 510 . 00 2 . 5 % $ 12 . 75 PET Cents/Ib ., baled and picked up $ 610 . 00 6 . 2 % $ 37 . 82 Aluminum Cents/Ib . , sorted , baled & delivered $ 1, 620 . 00 2 . 2 % $ 35 . 64 Mixed Glass 3 - Mix, $/ton delivered $ 0 . 00 24 . 0% $ 0 . 00 Waste N/A tizq=00 3 . 1 % LLO . 62 Tota 1 100 . 0% $ 175 . 87 Based on an AMV of $ 175 . 87, the revenue due to SWDD for each Ton of Dual Stream Program Recyclables transferred from the County MRF to the Processing Facility during that month would be $ 87 . 40 . AMV equals $ 175 . 87 Less Processor' s Fee of $ 59 . 49 Equals $ 116 . 38 Times percentage revenue share of 75 . 1 % Equals $ 87 . 40 - 27 - Schedule 13-2 Example Calculation of Revenue for Single Stream Program Recyclables (subject to revision in accordance with Article V) Based on an AMV of $ 175 . 87, the revenue due to SWDD for each Ton of Single Stream Program Recyclables transferred from the MRF to the Processing Facility during that month would be $ 79 . 89 . AMV equals $ 175 . 87 Less Processor' s Fee of $ 78 . 00 Equals $ 97 . 87 Times percentage revenue share of 75 . 1 % Equals $ 73 . 50 - 28 -