AMENDMENT NO. EIGHT TO
PROFESSIONAL SERVICES AGREEMENT
WITH SAMPSON OIL COMPANY, INC. FOR
OIL WELL MANAGEMENT SERVICES
THIS AMENDMENT NO. EIGHT TO PROFESSIONAL SERVICES AGREEMENT (“Amendment No. Eight”)is made and entered into as of this 12th day of May, 2026 (“EffectiveDate”), by and between the CITY OF NEWPORT BEACH, a California municipal corporation and charter city(“City”),and SAMPSON OIL COMPANY, INC., a Californiacorporation (“Consultant”),whose address is301 Ultimo Avenue, Long Beach, CA 90814, and ismade with reference to the following;
RECITALS
A. On July 11, 2017, City and Consultant entered into a Professional Services Agreement (Contract No. C-8490-1) (“Agreement”) for oil well management services (“Project”).
On July 12, 2020, City and Consultant entered intoAmendment No. One to the Agreement (“Amendment No. One”) to reflectadditionalservices not previously included inthe Agreement, to extend the term of the Agreement to July 31, 2022, to increase the totalcompensation, to update the City’sAdministration of the Agreement, and to update insurance requirements.
On June 14, 2022, City and Consultant entered intoAmendment No. Two to the Agreement (“Amendment No. Two”) to extend the term of the Agreement to July 31,2023, and to increase the totalcompensation.
On March 14, 2023, Cityand Consultant entered intoAmendment No. Three to the Agreement (“Amendment No. Three”) to extend the term of the Agreement to July 31, 2024, and to increase the totalcompensation.
On October 24, 2023, City and Consultant entered intoAmendment No. Four to the Agreement (“Amendment No. Four”) to extend the term of the Agreement to September 30, 2024, and to increase the totalcompensation.
On June 18, 2024, City and Consultant entered into Amendment No. Five (“Amendment No. Five”)to increasethe totalcompensation.
On July 23, 2024, City and Consultant entered into Amendment No. Six (“Amendment No. Six”) to reflect additional Services not included in the Agreement, as amended, to extend the term of the Agreement to March 31, 2025, and to increase the totalcompensation.
On March 25, 2025, City and Consultant entered into Amendment No. Seven (“Amendment No. Seven”) to extend the term of the Agreement to June 30, 2026, to allow time forthe City to go out to bid for these services, and to increase the totalcompensation to cover the extension.
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Attachment A
On April29, 2025, the City Council adopted Resolution 2025-15, creatingthe Ad Hoc OilAdvisory Committee (“Committee”) to work with City staffand report back to the City Council regarding the City’soiloperations;
The partiesdesire to enter intothisAmendment No. Eight (“Amendment No. 8”)to update Section 6, Administration,Section 25.2, Notices,to extend the term of the Agreement to June 30, 2027 and to increase the totalcompensation to cover the extension inorder to provide additionaltime forthe Committee to complete itstask and reportback to the City Council.
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NOW, THEREFORE, itismutually agreed by and between the undersigned parties as follows:
1. TERM
Section 1 of the Agreement is amended in itsentiretyand replaced with the following;“The term of thisAgreement shallcommence on the Effective Date and shall terminate on June 30, 2027, unless terminated earlieras set forth herein.”
2. COMPENSATION TO CONSULTANT
Exhibit B to the Agreement shall be supplemented to include the Schedule of BillingRates, attached hereto as Exhibit B and incorporated herein by reference, which shall be effectiveand supersede all prior versions as of the Effective Date of this Amendment No. Eight. Exhibit B to the Agreement, Exhibit B to Amendment No. One, and ExhibitB to Amendment No. Eight shallcollectivelybe known as “Exhibit B.” Section 4.1 of the Agreement is amended in itsentiretyand replaced with the following:“Cityshallpay Consultant forthe Services on a time and expense not-to-exceed basis in accordance with the provisions of thisSection and the Schedule of BillingRates attached hereto as Exhibit B and incorporated herein by reference. Consultant’s compensation for allWork performed in accordance with this Agreement, including all reimbursable items and subconsultant fees, shall not exceed Seven Million Two Hundred Sixty One Thousand Nine Hundred Sixty Eight Dollars and 00/100 ($7,261,968.00),without priorwrittenauthorizationfrom City. No billingrate changes shallbe made during the term ofthisAgreement withoutthe priorwrittenapproval of City.” The totalamended compensation reflectsConsultant’s additionalcompensation for additionalServices to be performed in accordance with this Amendment No. Six, including allreimbursable items and subconsultant fees, in an amount not to exceed Eight Hundred FiftyThousand Dollars and 00/100 ($850,000.00).
3. ADMINISTRATION
Section 6 of the Agreement is amended in itsentiretyand replaced with the following;“ThisAgreement willbe administered by the UtilitiesDepartment. City’sUtilities Directoror designee shallbe the ProjectAdministratorand shallhave the authorityto act Sampson Oil Company, Inc. Page 2
forCityunder thisAgreement. The ProjectAdministratorshallrepresent Cityinallmatters pertainingto the Services to be rendered pursuant to thisAgreement.”
4. NOTICES
Section 25.2 of the Agreement is amended in itsentiretyand replaced with the following;“Allnotices,demands, requests or approvals from Consultant to City shallbe addressed to City at:
Attn: Utilities Director
UtilitiesDepartment
City of Newport Beach
100 Civic Center Drive
Newport Beach, CA 92660
5. INTEGRATED CONTRACT
Except as expressly modified herein, allother provisions,terms, and covenants set forthinthe Agreement shallremain unchanged and shall be in fullforce and effect. [SIGNATURES ON NEXT PAGE]
Sampson OilCompany, Inc. Page 3
IN WITNESS WHEREOF, the partieshave caused thisAmendment No. Eight to be executed on the dates written below.
CITY OF NEWPORT BEACH,
a Californiamunicipal corporation
Date:
APPROVED AS TO FORM:
CITY ATTORNEY’S OFFICE
Date; U/l^/L(a
By:By:
Lauren Kleiman
MayorityAttorney
ATTEST:
Date:
CONSULTANT: SAMPSON OIL
COMPANY, INC., a California
corporation
Date:
By: By;
Lena Shumway
City Clerk
Renick Sampson
Chief Executive Officer,Chief Financial
Officer
Date:
By:
Pamela Picard
Secretary
[END OF SIGNATURES]
Attachments; ExhibitB - Schedule of BillingRates
Sampson OilCompany, Inc. Page 4
EXHIBIT B
SCHEDULE OF BILLING RATES
Sampson OilCompany, Inc. Page B-1
Sampson OilYearly Fee Schedule
Effective July 1, 2026 (includes2% CPI allocatedforlabor expenses only) Sampson Oil Company presents the followingfee schedule to manage and operate the City of Newport Beach’s oilfield.This schedule isbased on a 365-day work year. $52,640 Per YearPumper
$6,975Design and Engineering Per Year
$17,602Rig Supervision Per Year
$17,954Construction Supervision Per Year
$21,754Special Insurance Charges Per Year
$16,424Special Insurance Charges
increase as of JAN 2026
Per Year (invoiced$1,377
per month)
$133,349 per year,
(inclusiveof pumper and
allother services above)
(Equates to $11,112 per
month + $70 monthly for
production State reports =
$11,182 totalper month)
Total Annual Cost for
Monthly Professional
Services and related fees
Total Allowance for
Ongoing Maintenance &
Repairs
TOTAL ESTIMATED
ANNUAL EXPENSE
*$716,651 July 1, 2026, to June 30,
2027
$850,000 July 1, 2026, to June 30,
2027
*Consultant shall be entitled to reimbursement for the cost of unforeseen maintenance, repairs, and professional services performed as set forth herein, plus a fee not to exceed ten percent (10%) of the invoice amounts paid by Consultants subcontractors,subconsultants, sub-vendors, and sub delivery companies, as set forth herein subject to the annual limit for subcontractors.