SERVICES AGREEMENT BETWEEN THE CITY OF VERNON MONTROSE AIR
QUALITY SERVICES, LLC FOR SOURCE TESTING SERVICES FOR NATURAL GAS
GENERATION FACILITIES
COVER PAGE
Contractor: Montrose Air Quality Services, LLC
Responsible Principal of Contractor: Matt McCune, Regional Vice President (West)
Notice Information - Contractor: Montrose Air Quality Services, LLC 1631 E. St. Andrew Pl.
Santa Ana, CA 92705
Attention: Matt McCune, Regional Vice
President (West)
Telephone: (714) 279-6777
Notice Information - City: City of Vernon
4305 Santa Fe Avenue
Vernon, CA 90058
Attention: Todd Dusenberry,
General Manager of Public Utilities
Telephone: (323) 583-8811 ext. 579
Commencement Date: December 5, 2023
Termination Date: December 4, 2026
Consideration: Total not to exceed $238,238 (includes all applicable sales tax); and more particularly
described in Exhibit B
Records Retention Period Three (3) years, pursuant to Section 11.20
SERVICES AGREEMENT BETWEEN THE CITY OF VERNON AND MONTROSE AIR
QUALITY SERVICES, LLC FOR SOURCE TESTING SERVICES FOR NATURAL GAS
GENERATION FACILITIES
This Agreement is made between the City of Vernon, a California charter City and California municipal corporation (“City”), and Montrose Air Quality Services, LLC, a limited liability company (“Contractor”).
The City and Contractor agree as follows:
1.0 EMPLOYMENT OF CONTRACTOR. City agrees to engage Contractor to perform the services as hereinafter set forth as authorized by the City Council on December 5, 2023.
2.0 SCOPE OF SERVICES.
2.1 Contractor shall perform all work necessary to complete the services set forth in the City’s Request for Proposals issued on or about October 4, 2023, and titled RFP for Source Testing Services for Natural Gas Generation Facilities, and Contractor's proposal to the City ("Proposal") dated October 18, 2023, Exhibit “A”, a copy which is attached to and incorporated into this Agreement by reference.
2.2 All services shall be performed to the satisfaction of City.
2.3 All services shall be performed in a competent, professional, and satisfactory manner in accordance with the prevailing industry standards for such services.
3.0 PERSONNEL.
3.1 Contractor represents that it employs, or will employ, at its own expense, all personnel required to perform the services under this Agreement.
3.2 Contractor shall not subcontract any services to be performed by it under this Agreement without prior written approval of City.
3.3 All of the services required hereunder will be performed by Contractor or by City approved subcontractors. Contractor, and all personnel engaged in the work, shall be fully qualified and authorized or permitted under State and local law to perform such services and shall be subject to approval by the City.
4.0 TERM. The term of this Agreement shall commence on December 5, 2023, and it shall continue until December 4, 2026, unless terminated at an earlier date pursuant to the provisions thereof.
5.0 COMPENSATION AND FEES.
5.1 Contractor has established rates for the City of Vernon which are comparable to and do not exceed the best rates offered to other governmental entities in and around Los Angeles County for the same services. For satisfactory and timely performance of the services, the City will pay Contractor in accordance with the payment schedule set forth in Exhibit “B” attached hereto and incorporated herein by reference.
5.2 Contractor's grand total compensation for the entire term of this Agreement, shall not exceed $238,238 without the prior authorization of the City, as appropriate, and written amendment of this Agreement.
5.3 Contractor shall, at its sole cost and expense, furnish all necessary and incidental labor, material, supplies, facilities, equipment, and transportation which may be required for furnishing services pursuant to this Agreement. Materials shall be of the highest quality. The above Agreement fee shall include all staff time and all clerical, administrative, overhead, insurance, reproduction, telephone, air travel, auto rental, subsistence, and all related costs and expenses.
5.4 City shall reimburse Contractor only for those costs or expenses specifically approved in this Agreement, or specifically approved in writing in advance by City.
Unless otherwise approved, such costs shall be limited and include nothing more than the following costs incurred by Contractor:
5.4.1 The actual costs of subcontractors for performance of any of the services that Contractor agrees to render pursuant to this Agreement, which have been approved in advance by City and awarded in accordance with this Agreement.
5.4.2 Approved reproduction charges.
5.4.3 Actual costs and/or other costs and/or payments specifically authorized in advance in writing and incurred by Contractor in the performance of this Agreement.
5.5 Contractor shall not receive any compensation for extra work performed without the prior written authorization of City. As used herein, “extra work” means any work that is determined by City to be necessary for the proper completion of the Project, but which is not included within the Scope of Services and which the parties did not reasonably anticipate would be necessary at the time of execution of this Agreement. Compensation for any authorized extra work shall be paid in accordance with the payment schedule as set forth in Exhibit “B,” if the extra work has been approved by the City.
5.6 Licenses, Permits, Fees, and Assessments. Contractor shall obtain, at Contractor’s sole cost and expense, such licenses, permits, and approvals as may be required by law for the performance of the services required by this Agreement. Contractor shall have the sole obligation to pay for any fees, assessments, and taxes, plus applicable penalties and interest, which may be imposed by law and which arise from or are necessary for the performance of the Services by this Agreement.
6.0 PAYMENT.
6.1 As scheduled services are completed, Contractor shall submit to the City an invoice for the services completed, authorized expenses, and authorized extra work actually performed or incurred according to said schedule.
6.2 Each such invoice shall state the basis for the amount invoiced, including a detailed description of the services completed, the number of hours spent, reimbursable expenses incurred and any extra work performed.
6.3 Contractor shall also submit a progress report with each invoice that describes in reasonable detail the services and the extra work, if any, performed in the immediately preceding calendar month.
6.4 Contractor understands and agrees that invoices which lack sufficient detail to measure performance will be returned and not processed for payment.
6.5 City will pay Contractor the amount invoiced within thirty (30) days after the City approves the invoice.
6.6 Payment of such invoices shall be payment in full for all services, authorized costs, and authorized extra work covered by that invoice.
7.0 CITY'S RESPONSIBILITY. City shall cooperate with Contractor as may be reasonably necessary for Contractor to perform its services; and will give any required decisions as promptly as practicable so as to avoid unreasonable delay in the progress of Contractor's services.
8.0 COORDINATION OF SERVICES. Contractor agrees to work closely with City staff in the performance of Services and shall be available to City’s staff, consultants, and other staff at all reasonable times.
9.0 INDEMNITY. Contractor agrees to indemnify City, its officers, elected officials, employees and agents against, and will hold and save each of them harmless from, any and all actions, suits, claims, damages to persons or property, losses, costs, penalties, obligations, errors, omissions or liabilities (herein “claims or liabilities”), including but not limited to professional negligence, that may be asserted or claimed by any person, firm or entity to the
extent caused by and arising as a result of the work, operations or activities of Contractor, its agents, employees, subcontractors, or invitees, provided for herein, and to the extent caused by and arising as a result of the willful misconduct or negligent acts or omissions of Contractor hereunder, or arising from Contractor’s negligent performance of or failure to perform any term, provision, covenant or condition of this Agreement, except to the extent such claims or liabilities arise from the gross negligence or willful misconduct of City, its officers, elected officials, agents or employees. In no event shall Contractor be liable to City for (a) any indirect, consequential and/or incidental damages, and/or (b) any exemplary, special and/or punitive damages arising in connection with this Agreement. Contractor’s aggregate liability to City for any indemnity commitments and for any recoverable damages arising in any way out of the performance of this Agreement is limited to the amounts actually recovered under Contractor's contractuallyrequired insurance coverage(s) and amounts, plus no more than one-and-a-half times the total fees paid to Contractor.
10.0 INSURANCE. Contractor shall, at its own expense, procure and maintain policies of insurance of the types and in the amounts set forth below for the duration of the Agreement, including any extensions thereto. The policies shall state that they afford primary coverage.
i. Automobile Liability with minimum limits of at least $1,000,000 combined single limit, including owned, hired, and non-owned liability coverage. ii. Contractor agrees to subrogate automobile liability resulting from performance under this Agreement by agreeing to defend, indemnify, and hold harmless the City and its respective employees, agents, and City Council from and against all claims, liabilities, suits, losses, damages, injuries and expenses, including all costs and reasonable attorney’s fees (“Claims”), which are attributable to any negligent act or omission by the Contractor under the performance of the services.
iii. General Liability with minimum limits of at least $1,000,000 per occurrence and $2,000,000 aggregate written on an Insurance Services Office (ISO) Comprehensive General Liability “occurrence” form or its equivalent for coverage on an occurrence basis.
Premises/Operations and Personal Injury coverage is required. The City of Vernon, its directors, commissioners, officers, employees, agents, and volunteers must be endorsed on the policy as additional insureds with respect to liability arising out of Contractor’s performance of this Agreement.
(1) If the Contractor employs other contractors as part of the services rendered, Contractor’s Protective Coverage is required. Contractor may
include all subcontractors as insured under its own policy or shall furnish separate insurance for each subcontractor, meeting the requirements set forth herein.
(2) Contractor agrees to subrogate General Liability resulting from performance under this Agreement by agreeing to defend, indemnify, and hold harmless the City and its respective employees, agents, and City Council from and against all claims, liabilities, suits, losses, damages, injuries and expenses, including all costs and reasonable attorney’s fees (“Claims”), which are attributable to any negligent act or omission by Contractor under the performance of the services.
iv. Professional Errors and Omissions coverage in an amount not less than $5,000,000 per claim and the annual aggregate, covering all acts, errors, omissions, negligence, infringement, of intellectual property (except patent and trade secret) and network and privacy risks (including coverage for unauthorized access, failure of security, breach of privacy perils, wrongful disclosure of information, as well as notification costs and regulatory defense) in the performance of services for the City or on behalf of the City hereunder. Such insurance shall be maintained in force at all times during the term of the Agreement and for a period of 5 years thereafter for services completed during the duration of the Agreement. The City shall be given at least 30 days’ notice of the cancellation or expiration of the aforementioned insurance for any reason.
v. Excess Coverage – Any umbrella or excess insurance shall contain or be endorsed to contain a provision that such coverage shall also apply on a primary and noncontributory basis for the benefit of the City before the City’s own insurance or self-insurance shall be called upon to project it as a named insured. Any umbrella or excess liability policy will be in the “following form.” It will contain a provision to the effect that if the underlying aggregate is exhausted, the excess coverage will drop down as primary insurance. vi. Contractor shall comply with the applicable sections of the California Labor Code concerning workers’ compensation for injuries on the job. In addition, Contractor shall require each subcontractor to similarly maintain workers’ compensation insurance in accordance with the laws of California for all of the subcontractor’s employees. Compliance is accomplished in one of the following manners:
(1) Provide a copy of permissive self-insurance certificate approved by the State of California; or
(2) Secure and maintain in force a policy of workers’ compensation insurance
with statutory limits and Employer’s Liability Insurance with a minimal limit of $1,000,000 per accident. The policy shall be endorsed to waive all rights of subrogation against the City, its directors, commissioners, officers, employees, and volunteers for losses arising from the performance of this Agreement or
(3) Provide a “waiver” form certifying that no employees subject to the Labor Code’s Workers’ Compensation provision will be used in the performance of this Agreement.
vii. Each insurance policy included in this clause shall be endorsed to state that coverage shall not be canceled except after thirty (30) days prior written notice to the City. viii. Insurance shall be placed with insurers with a Best’s rating of no less than A-VIII. ix. Prior to the commencement of performance, Contractor shall furnish the City with a certificate of insurance for each policy. Each certificate must be signed by a person authorized by that insurer to bind coverage on its behalf. The certificate(s) must be in a form approved by the City. City may require complete, certified copies of any or all policies at any time.
x. Failure to maintain required insurance at all times shall constitute a default and material breach. In such event, Contractor shall immediately notify the City and cease all performance under this Agreement until further directed by the City. In the absence of satisfactory insurance coverage, City may, at its option: (a) procure insurance with collection rights for premiums, attorney’s fees and costs against Contractor by way of set-off or recoupment from sums due to Contractor, at City’s option; (b) immediately terminate this Agreement and seek damages from the Agreement resulting from said breach; or (c) self-insure the risk, with all damages and costs incurred, by judgment, settlement or otherwise, including attorney’s fees and costs, being collectible from Contractor, by way of set-off or recoupment from any sums due to Contractor.
11.0 GENERAL TERMS AND CONDITIONS.
11.1 INDEPENDENT CONTRACTOR.
11.1.1 It is understood that in the performance of the services herein provided for, Contractor shall be, and is, an independent contractor, and is not an agent, officer or employee of City and shall furnish such services in its own manner and method except as required by this Agreement, or any applicable statute, rule, or regulation. Further, Contractor has and shall retain the right to exercise full control over the employment, direction, compensation and discharge of all persons employed by Contractor in the performance of the
services hereunder. City assumes no liability for Contractor’s actions and performance, nor assumes responsibility for taxes, bonds, payments, or other commitments, implied or explicit, by or for Contractor. Contractor shall be solely responsible for, and shall indemnify, defend and save City harmless from all matters relating to the payment of its employees, subcontractors and independent contractors, including compliance with social security, withholding and all other wages, salaries, benefits, taxes, exactions, and regulations of any nature whatsoever.
11.1.2 Contractor acknowledges that Contractor and any subcontractors, agents or employees employed by Contractor shall not, under any circumstances, be considered employees of the City, and that they shall not be entitled to any of the benefits or rights afforded employees of City, including, but not limited to, sick leave, vacation leave, holiday pay, Public Employees Retirement System benefits, or health, life, dental, long-term disability or workers' compensation insurance benefits.
11.2 CONTRACTOR NOT AGENT. Except as the City may authorize in writing, Contractor and its subcontractors shall have no authority, express or implied, to act on behalf of or bind the City in any capacity whatsoever as agents or otherwise.
11.3 OWNERSHIP OF WORK. All documents and materials furnished by the City to Contractor shall remain the property of the City and shall be returned to the City upon termination of this Agreement. All reports, drawings, plans, specifications, computer tapes, floppy disks and printouts, studies, memoranda, computation sheets, and other documents prepared by Contractor in furtherance of the work shall be the sole property of City and shall be delivered to City whenever requested at no additional cost to the City. Any rights in the intellectual property of Contractor existing prior to the services furnished hereunder, used in the services hereunder, developed separately, and/or licensed to Contractor by third parties and used in the services furnished hereunder, and any enhancements or modifications to the same, shall be deemed the sole and exclusive property of Contractor (“Contractor IP”). City’s use of the output(s) and/or result(s) of Contractor IP, if any, embedded in any deliverable(s) to City is limited to the subject deliverable(s) itself. Contractor shall keep such documents and materials on file and available for audit by the City for at least three (3) years after completion or earlier termination of this Agreement. Contractor may make duplicate copies of such materials and documents for its own files or for such other purposes as may be authorized in writing by the City.
11.4 CORRECTION OF WORK. Contractor shall promptly correct any defective, inaccurate or incomplete tasks, deliverables, goods, services and other work, without additional cost to the City. The performance or acceptance of services furnished by Contractor
shall not relieve the Contractor from the obligation to correct subsequently discovered defects, inaccuracy, or incompleteness.
11.5 RESPONSIBILITY FOR ERRORS. Contractor shall be responsible for its work and results under this Agreement. Contractor, when requested, shall furnish clarification and/or explanation as may be required by the City, regarding any services rendered under this Agreement at no additional cost to City. In the event that an error or omission attributable to Contractor occurs, then Contractor shall, at no cost to City, provide all necessary design drawings, estimates and other Contractor professional services necessary to rectify and correct the matter to the sole satisfaction of City and to participate in any meeting required with regard to the correction.
11.6 WAIVER. The City's waiver of any term, condition, breach, or default of this Agreement shall not be considered to be a waiver of any other term, condition, default or breach, nor of a subsequent breach of the one waived. The delay or failure of either party at any time to require performance or compliance by the other of any of its obligations or agreements shall in no way be deemed a waiver of those rights to require such performance or compliance.
No waiver of any provision of this Agreement shall be effective unless in writing and executed by a duly authorized representative of the party against whom enforcement of a waiver is sought.
11.7 SUCCESSORS. This Agreement shall inure to the benefit of, and shall be binding upon, the parties hereto and their respective heirs, successors, and/or assigns.
11.8 NO ASSIGNMENT. Contractor shall not assign or transfer this Agreement or any rights hereunder without the prior written consent of the City and approval by the City Attorney, which may be withheld in the City's sole discretion. Any unauthorized assignment or transfer shall be null and void and shall constitute a material breach by the Contractor of its obligations under this Agreement. No assignment shall release the original parties from their obligations or otherwise constitute a novation.
11.9 COMPLIANCE WITH LAWS. Contractor shall comply with all Federal, State, County and City laws, ordinances, rules and regulations, which are, as amended from time to time, incorporated herein and applicable to the performance hereof. Violation of any law material to performance of this Agreement shall entitle the City to terminate the Agreement and otherwise pursue its remedies. Further, if the Contractor performs any work knowing it to be contrary to such laws, rules, and regulations Contractor shall be solely responsible for all costs arising therefrom.
11.10 ATTORNEY'S FEES. If any action at law or in equity is brought to enforce or interpret the terms of this Agreement, the prevailing party shall be entitled to reasonable attorney's fees, costs, and necessary disbursements in addition to any other relief to which such party may be entitled.
11.11 INTERPRETATION.
11.11.1 Applicable Law. This Agreement shall be deemed an agreement and shall be governed by and construed in accordance with the laws of the State of California. Contractor agrees that the State and Federal courts which sit in the State of California shall have exclusive jurisdiction over all controversies and disputes arising hereunder, and submits to the jurisdiction thereof.
11.11.2 Entire Agreement. This Agreement, including any exhibits attached hereto, constitutes the entire agreement and understanding between the parties regarding its subject matter and supersedes all prior or contemporaneous negotiations, representations, understandings, correspondence, documentation, and agreements (written or oral).
11.11.3 Written Amendment. This Agreement may only be changed by written amendment executed by Contractor and the City Administrator or other authorized representative of the City, subject to any requisite authorization by the City Council. Any oral representations or modifications concerning this Agreement shall be of no force or effect.
11.11.4 Severability. If any provision in this Agreement is held by any court of competent jurisdiction to be invalid, illegal, void, or unenforceable, such portion shall be deemed severed from this Agreement, and the remaining provisions shall nevertheless continue in full force and effect as fully as though such invalid, illegal, or unenforceable portion had never been part of this Agreement.
11.11.5 Order of Precedence. In case of conflict between the terms of this Agreement and the terms contained in any document attached as an Exhibit or otherwise incorporated by reference, the terms of this Agreement shall strictly prevail. The terms of the City’s Request for Proposals shall control over the Contractor’s Proposal.
11.11.6 Construction. In the event an ambiguity or question of intent or interpretation arises with respect to this Agreement, this Agreement shall be construed as if drafted jointly by the parties and in accordance with its fair meaning. There shall be no presumption or burden of proof favoring or disfavoring any party by virtue of the authorship of any of the provisions of this Agreement.
11.12 TIME OF ESSENCE. Time is strictly of the essence of this agreement and each and every covenant, term, and provision hereof.
11.13 AUTHORITY OF CONTRACTOR. The Contractor hereby represents and warrants to the City that the Contractor has the right, power, legal capacity, and authority to enter into and perform its obligations under this Agreement, and its execution of this Agreement has been duly authorized.
11.14 ARBITRATION OF DISPUTES. Any dispute for under $25,000 arising out of or relating to the negotiation, construction, performance, non-performance, breach, or any other aspect of this Agreement, shall be settled by binding arbitration in accordance with the Commercial Rules of the American Arbitration Association at Los Angeles, California and judgment upon the award rendered by the Arbitrators may be entered in any court having jurisdiction thereof. The City does not waive its right to object to the timeliness or sufficiency of any claim filed or required to be filed against the City and reserves the right to conduct full discovery.
11.15 NOTICES. Any notice or demand to be given by one party to the other must be given in writing and by personal delivery or prepaid first-class, registered or certified mail, addressed as follows. Notice simply to the City of Vernon or any other City department is not adequate notice.
If to the City:
City of Vernon
Attention: Lisa Umeda, Utilities Compliance Administrator 4305 Santa Fe Avenue
Vernon, CA 90058
If to the Contractor:
Montrose Air Quality Services, LLC.
Attention: Matt McCune, Regional Vice President (West)
1631 East St. Andrew Place
Santa Ana, CA 92705
With a Courtesy Copy to:
Montrose Legal Department
Email: [email protected]
Any such notice shall be deemed to have been given upon delivery, if personally delivered, or, if mailed, upon receipt, or upon expiration of three (3) business days from the date of posting, whichever is earlier. Either party may change the address at which it desires to receive notice upon giving written notice of such request to the other party.
11.16 NO THIRD PARTY RIGHTS. This Agreement is entered into for the sole benefit of City and Contractor and no other parties are intended to be direct or incidental beneficiaries of this Agreement and no third party shall have any right or remedy in, under, or to this Agreement.
11.17 TERMINATION FOR CONVENIENCE (Without Cause). City may terminate this Agreement in whole or in part at any time, for any cause or without cause, upon fifteen (15) calendar days' written notice to Contractor. If the Agreement is thus terminated by City for reasons other than Contractor's failure to perform its obligations, City shall pay Contractor a prorated amount based on the services satisfactorily completed and accepted prior to the effective date of termination. Such payment shall be Contractor's exclusive remedy for termination without cause.
11.18 DEFAULT. In the event either party materially defaults in its obligations hereunder, the other party may declare a default and terminate this Agreement by written notice to the defaulting party. The notice shall specify the basis for the default. The Agreement shall terminate unless such default is cured before the effective date of termination stated in such notice, which date shall be no sooner than ten (10) days after the date of the notice. In case of default by Contractor, the City reserves the right to procure the goods or services from other sources and to hold the Contractor responsible for any excess costs occasioned to the City thereby. Contractor shall not be held accountable for additional costs incurred due to delay or default as a result of Force Majeure. Contractor must notify the City immediately upon knowing that non-performance or delay will apply to this Agreement as a result of Force Majeure. At that time Contractor is to submit in writing a Recovery Plan for this Agreement. If the Recovery Plan is not acceptable to the City or not received within 10 days of the necessary notification of Force Majeure default, then the City may cancel this order in its entirety at no cost to the City, owing only for goods and services completed to that point.
11.19 TERMINATION FOR CAUSE. Termination for cause shall relieve the terminating party of further liability or responsibility under this Agreement, including the payment of money, except for payment for services satisfactorily and timely performed prior to the service of the notice of termination, and except for reimbursement of (1) any payments made by the City for service not subsequently performed in a timely and satisfactory manner, and (2) costs incurred by the City in obtaining substitute performance. If this Agreement is terminated as provided herein, City may require, at no additional cost to City, that Contractor provide all finished or unfinished documents, data, and other information of any kind prepared by Contractor in connection with the performance of Services under this Agreement. Contractor
shall be required to provide such document and other information within fifteen (15) days of the request.
11.19.1 Additional Services. In the event this Agreement is terminated in whole or in part as provided herein, City may procure, upon such terms and in such manner as it may determine appropriate, services similar to those terminated.
11.20 MAINTENANCE AND INSPECTION OF RECORDS.
The City, or its authorized auditors or representatives, shall have access to and the right to audit and reproduce any of the Contractor's records to the extent the City deems necessary to insure it is receiving all money to which it is entitled under the Agreement and/or is paying only the amounts to which Contractor is properly entitled under the Agreement or for other purposes relating to the Agreement.
The Contractor shall maintain and preserve all such records for a period of at least three (3) years after termination of the Agreement.
The Contractor shall maintain all such records in the City of Vernon. If not, the Contractor shall, upon request, promptly deliver the records to the City of Vernon or reimburse the City for all reasonable and extra costs incurred in conducting the audit at a location other than the City of Vernon, including, but not limited to, such additional (out of the City) expenses for personnel, salaries, private auditors, travel, lodging, meals, and overhead.
11.21 CONFLICT. Contractor hereby represents, warrants, and certifies that no member, officer, or employee of the Contractor is a director, officer, or employee of the City of Vernon, or a member of any of its boards, commissions, or committees, except to the extent permitted by law.
11.22 HEADINGS. Paragraphs and subparagraph headings contained in this Agreement are included solely for convenience and are not intended to modify, explain or to be a full or accurate description of the content thereof and shall not in any way affect the meaning or interpretation of this Agreement.
11.23 ENFORCEMENT OF WAGE AND HOUR LAWS. Eight hours labor constitutes a legal day's work. The Contractor, or subcontractor, if any, shall forfeit twenty-five dollars ($25) for each worker employed in the execution of this Agreement by the respective Contractor or subcontractor for each calendar day during which the worker is required or permitted to work more than 8 hours in any one calendar day and 40 hours in any one calendar week in violation of the provisions of Sections 1810 through 1815 of the California Labor Code as a penalty paid to the City; provided, however, work performed by employees of contractors in excess of 8 hours per day, and 40 hours during any one week, shall be permitted upon
compensation for all hours worked in excess of 8 hours per day at not less than 1½ times the basic rate of pay.
11.24 EQUAL EMPLOYMENT OPPORTUNITY PRACTICES. Contractor certifies and represents that, during the performance of this Agreement, it and any other parties with whom it may subcontract shall adhere to equal employment opportunity practices to assure that applicants, employees and recipients of service are treated equally and are not discriminated against because of their race, religion, color, national origin, ancestry, disability, sex, age, medical condition, sexual orientation or marital status. Contractor further certifies that it will not maintain any segregated facilities. Contractor further agrees to comply with The Equal Employment Opportunity Practices provisions as set forth in Exhibit “C”. [Signatures Begin on Next Page].
IN WITNESS WHEREOF, the Parties have executed this Agreement as of the Commencement Date stated on the cover page.
City of Vernon, a California charter City
and California municipal corporation
By: ____________________________
Carlos Fandino, City Administrator
Montrose Air Quality Services, LLC., a limited
liability company
By:
Name:
Title:
ATTEST:
_______________________________
Lisa Pope, City Clerk
By:
Name:
Title:
APPROVED AS TO FORM:
_______________________________
Zaynah N. Moussa,
City Attorney
EXHIBIT A
CONTRACTOR'S PROPOSAL
Montrose Santa Ana Office Global Headquarters
1631 E. St. Andrew Pl. 5120 Northshore Drive
Santa Ana, California 92705 North Little Rock, AR 72118 T: 714.279.6777 www.montrose-env.com T: 501.900.6400
October 18, 2023
Ms. Lisa Ulmeda
City of Vernon
4305 Santa Fe Avenue
Vernon, California 90058
Phone: (323) 583-8811
Subject: 2023 Proposal for City of Vernon Source Testing for Natural Gas Generation Facilities
Montrose Document Number: W002AS-044369-PQ-2054
Dear Ms. Ulmeda,
Montrose Air Quality Services, LLC (Montrose) is pleased to provide this proposal to the City of Vernon in response to the Request for Proposal titled Source Testing Services for Natural Gas Generation Facilities. This proposal has been prepared according to the guidelines provided in the RFP.
Montrose personnel have performed the requested services at Malburg Generating Station for the City of Vernon and previous owners for over 12 years. Montrose is uniquely qualified to provide the City of Vernon with level of experience, qualifications, and understanding of the unique needs of the City of Vernon that is unmatched by other emission measurement firms. The details of this experience, qualification, and understanding are provided in the individual sections of the proposal. Montrose’s Santa Ana office will be the primary office executing this program. Matt McCune is the Regional Vice President based in the Santa Ana office and will act as the primary contact person during the proposal evaluation period.
Montrose Air Quality Services
1631 E. St. Andrew Pl.
Santa Ana, CA 92705
(714) 279-6777
Matt McCune
Regional Vice President (West)
[email protected]
(714) 448-8511 (mobile)
Montrose will perform all on-site activities required under this RFP. The only subcontracted work will be VOC sample analysis which is expected to be performed by Enthalpy Analytical (a Montrose Environmental Group company) in Orange, California and fuel sample sulfur analysis which is expected to be performed by Quantum Analytical in Wilmington, California.
This proposal is valid for a period of not less than ninety (90) days from the submittal date.
Montrose Santa Ana Office Global Headquarters
1631 E. St. Andrew Pl. 5120 Northshore Drive
Santa Ana, California 92705 North Little Rock, AR 72118 T: 714.279.6777 www.montrose-env.com T: 501.900.6400
Montrose looks forward to continuing our working relationship with the City of Vernon.
Please feel free to reach out if you have any questions or comments regarding this proposal.
Sincerely,
Matt McCune, P.E.
Regional Vice President
Montrose Air Quality Services, LLC
The information contained in this proposal is proprietary and contains confidential information which is of significant economic value to Montrose Air Quality Services, LLC. It is intended to be used only for evaluation of our qualifications for providing services. It should not be duplicated, used, re-written or disclosed in whole or in part for any purpose other than to evaluate this proposal and quotation.
PROPOSAL FOR
SOURCE TESTING SERVICES FOR NATURAL GAS
GENERATION FACILITIES FOR THE
CITY OF VERNON
Prepared For:
City of Vernon – Public Utilities Department
4305 Santa Fe Avenue
Vernon, California 90058
Prepared By:
Montrose Air Quality Services, LLC
1631 E. St. Andrew Pl.
Santa Ana, California 92705
(714) 279-6777
Matt McCune – Regional Vice President
Submittal Date: October 18, 2023
Document Number: W002AS-044369-PQ-2054
City of Vernon
Source Testing Services Proposal
TABLE OF CONTENTS
SECTION PAGE
1.0 INTRODUCTION............................................................................................................... 5
2.0 GENERAL SCOPE OF WORK.......................................................................................... 6
2.1 Known and Required Tests ........................................................................................ 6
2.1.1 First Quarter 2024............................................................................................... 6
2.1.2 First Quarter 2025............................................................................................... 6
2.1.3 Third Quarter 2025.............................................................................................. 6
2.1.4 First Quarter 2026............................................................................................... 6
2.1.5 2026.................................................................................................................... 6
2.2 Potential Tests ........................................................................................................... 6
2.2.1 Malburg Semi-Annual RATA (if annual RATA does not meet annual incentive criteria)................................................................................................................ 6
2.2.2 Malburg Quarterly NH3 Slip (if annual NH3 Slip test does not pass)..................... 6
2.2.3 Additional Gonzalez units NOx and CO compliance tests (contingent on SCAQMD rule-making process).......................................................................... 6
3.0 WORK PLAN..................................................................................................................... 7
3.1 Malburg Annual RATA and NH3 Slip Test................................................................... 7
3.2 Malburg Tri-Annual PM10, VOC, and SOx Test ........................................................... 8
3.3 Gonzalez Unit NOx and CO Compliance Test ...........................................................10
3.4 Potential Tests ..........................................................................................................10
4.0 FEES AND COSTS..........................................................................................................10
5.0 ABILITY OF THE PROPOSER TO PERFORM ................................................................11
6.0 AFFIDAVIT OF NON-COLLUSION...................................................................................18
LIST OF TABLES
3-1 RATA TEST METHODS AND MATRIX............................................................................. 7 3-2 RATA REQUIREMENTS................................................................................................... 8 3-3 MALBURG TRI-ANNUAL COMPLIANCE TEST METHODS ............................................. 9 3-4 PERMITTED EMISSION LIMITS....................................................................................... 9 3-5 GONZALEZ UNIT TEST METHODS................................................................................10 5-1 REFERENCES.................................................................................................................13
LIST OF FIGURES
5-1 SCAQMD LABORATORY APPROVAL PROGRAM CERTIFICATE.................................14 5-2 CARB CERTIFICATE.......................................................................................................15 5-3 A2LA STAC ACCREDITATION CERTIFICATE................................................................16 5-4 MONTROSE SANTA ANA ORG CHART .........................................................................17 W002AS-044369-PQ-2054 4 of 19
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1.0 INTRODUCTION
Montrose experience at Malburg Generating Station and the Station A Gonzalez Units provides a unique understanding of the required testing and steps involved in completing emission measurement programs that meet the regulatory agency needs.
The requested testing is broken down into two categories: 1) known and required tests and 2) potential tests. Known and required tests are made up of the annual Relative Accuracy Test Audit (RATA) and ammonia (NH3) slip testing and tri-annual PM10, Volatile Organic Compound (VOC), and Oxides of Sulfur (SOx) tests for the two combined cycle units at Malburg Generating Station and one Gonzalez Plant Unit 7 Quinquennial NOx and CO compliance test. Potential tests consist of semi-annual RATAs (if annual RATAs do not meet the annual incentive criteria) or quarterly NH3 slip tests (if an annual NH3 slip test does not meet the permitted limits) for the two combined cycle units at Malburg Generating Station, additional NOx and CO compliance testing for the two Gonzalez Units, and any other emission measurement needs that arise during the contract period for informational or engineering purposes.
Each compliance test or RATA will have two deliverables. The first deliverable is a test plan which is designed to define the test program. In some cases, a previously submitted test plan can be referenced instead of a formal test plan for each mobilization. The Permit to Operate and/or applicable regulation will define the number of days prior to the test that the source test plan must be submitted. The second deliverable is a test report which documents the results of each test. The Permit to Operate and/or applicable regulation will define the number of days following completion of testing that the source test report must be submitted to the regulator agency. Montrose will deliver these documents directly to the City of Vernon for review. The City of Vernon will be responsible for submitting the final documents to regulatory agencies and for agency notifications.
While each test program is different, the steps to complete them are similar. Typical steps in an emission measurement test program include:
1) Preparation and Submittal of the Source Test Plan/Protocol 2) Scheduling of the Test Date(s)
3) Preparation of Test Equipment
4) Mobilization to the Site, Completion of Safety Training, and Equipment Setup 5) Perform the Emission Measurement test program
6) Sample Analysis
7) Preparation and Submittal of the Source Test Report
Montrose has prepared both test plans and source test reports for the City of Vernon for each of the tests requested in this RFP. These documents have been accepted by South Coast Air Quality Management District and will be used as templates for future deliverables.
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The remaining sections in this proposal define the General Scope of Work, a Work Plan, and a description of Montrose’s capabilities, certifications, experience, and references.
2.0 GENERAL SCOPE OF WORK
The general scope of work presented here is based on the Scope of Services Required listed in the RFP as well as our direct experience working with the City of Vernon.
2.1 Known and Required Tests
2.1.1 First Quarter 2024
• Malburg
o Annual Relative Accuracy Test Audit (RATA)
o Annual Ammonia (NH3) Slip Test
2.1.2 First Quarter 2025
• Malburg
o Annual Relative Accuracy Test Audit (RATA)
o Annual Ammonia (NH3) Slip Test
2.1.3 Third Quarter 2025
• Malburg
o Tri-Annual PM10, VOC, and SOx Test
2.1.4 First Quarter 2026
• Malburg
o Annual Relative Accuracy Test Audit (RATA)
o Annual Ammonia (NH3) Slip Test
2.1.5 2026
• Gonzalez Unit 7
o Quinquennial NOx and CO compliance test
2.2 Potential Tests
2.2.1 Malburg Semi-Annual RATA (if annual RATA does not meet annual incentive criteria)
2.2.2 Malburg Quarterly NH3 Slip (if annual NH3 Slip test does not pass)
2.2.3 Additional Gonzalez units NOx and CO compliance tests (contingent on SCAQMD rule-making process)
The next section of this proposal presents a Work Plan for each type of test.
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3.0 WORK PLAN
The introduction section of this proposal described the generic steps required for an emission measurement program. This section provides details on the test methodology, duration, and strategy for each type of test.
3.1 Malburg Annual RATA and NH3 Slip Test
The annual RATA is performed to satisfy SCAQMD Rule 2012 (NOx ppm, NOx lb/hr, O2 %, and stack volumetric flow rate), EPA 40 CFR, Part 75 (NOx lb/MMBtu) and SCAQMD Rule 218.1 (CO ppm). The SCAQMD Rule 2012 and EPA 40 CFR, Part 75 RATAs are performed simultaneously. To increase the probability of meeting the annual incentive criteria, the Rule 2012 RATA is performed by drawing flue gas in parallel with the facility CEMS multi-hole probe. This technique is not allowed by Part 75 so a separate probe, sampling system and NOx and O2 analyzers are used for the separate but simultaneous EPA 40 CFR, Part 75 RATA. CO concentrations are typically less than 1 ppm. Normal RATA techniques can’t be used due to the low CO concentrations. The CO RATA is performed using “spiking” techniques. These “spiking” RATAs must be performed separately from the other RATAs or compliance tests since the CEMS in out of service and readings are not representative of actual flue gas concentrations. Table 3-1 presents the test methods and matrix and Table 3-2 presents the Relative Accuracy requirements.
TABLE 3-1
RATA TEST METHODS AND MATRIX
Parameter Method Measurement Principle # of Runs Test Duration NOx SCAQMD 100/1/EPA 7E Chemiluminescence 9-12 >30 min.
O2 SCAQMD 100.1/EPA 3A Electrochemical Cell 9-12 >30 min.
CO2 SCAQMD 100.1 NDIR 9-12 >30 min.
CO SCAQMD 100.1(1) NDIR/GFC 9-12 >10 min.
Velocity SCAQMD 2.1 Differential Pressure 9-12 1 set per run Moisture(2) SCAQMD 4.1 Gravimetric ~3 Up to 3 RATA runs (1) Rule 218.1 CO RATA is performed separately from RECLAIM/Part 75 RATA using spiking technique. (2) Moisture data may be obtained from simultaneous ammonia slip tests, if performed concurrently. (3) EPA 40 CFR, Part 75 RATA runs may be 21 minutes.
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TABLE 3-2
RATA REQUIREMENTS
Parameter/Units Test Location Method Criteria
NOx, ppm RECLAIM RATA Stack SCAQMD 100.1 20% or +/-1 ppm – Pass, 7.5% - Annual
O2, % RECLAIM RATA Stack SCAQMD 100.1 20% or +/-1 % O2 – Pass Stack Flow RECLAIM RATA Stack SCAQMD 2.1, 4.1 15% – Pass, 7.5% - Annual NOx, lb/hr RECLAIM RATA Stack Calculated 20% or low emitter criteria – Pass,
7.5% - Annual
NOx, lb/MMBtu Part 75 RATA Stack EPA 7E/3A
10% or 0.02 lb/MMBtu difference –
Pass
7.5% or 0.015 lb/MMBtu difference
- Annual
CO, ppm
Rule 218.1
Spiking RATA
Spiked CEMS
Sample SCAQMD 100.1 20% (or ±2 ppm absolute difference) The ammonia slip test is typically performed during the RATA. Duplicate, 60-minute, tests are performed by SCAQMD Method 207.1. Each test is performed using a 12-point traverse of the stack. O2 data may be obtained from the facility CEMS or SCAQMD Method 100.1 data. At the request of the City of Vernon, Montrose provides an on-site chemist to analyze the sample shortly after sample collection. This technique, while more expensive, provides test results shortly after the tests are completed.
The annual RATA and NH3 slip tests for both Malburg units is typically a three-day test program with the following schedule:
Day 1: Mobilize to site, perform safety training, perform CO Spiking RATA on first unit, setup stack for RATA and NH3 testing on first unit - 6 hours on-site Day 2: Perform SCAQMD Rule 2012 and 40 CFR Part 75 RATA and NH3 Slip Test on first unit – 9 hours on-site
Day 3: Perform SCAQMD Rule 2012 and 40 CFR Part 75 RATA and NH3 Slip Test on second unit and Perform CO Spiking RATA on second unit – 11 hours on-site
3.2 Malburg Tri-Annual PM10, VOC, and SOx Test
The tri-annual PM10, VOC, and SOx Tests are required by the facility Permit. Testing is performed at two operating conditions 1) when the gas turbine and duct burner are operating simultaneously at 100% of maximum heat input and 2) when the gas turbine is W002AS-044369-PQ-2054 8 of 19
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operating alone at 100% of maximum heat input. Table 3-3 presents the test methods and matrix and Table 3-4 presents the emission limits.
TABLE 3-3
MALBURG TRI-ANNUAL COMPLIANCE TEST METHODS
Parameter Method Measurement
Principle
Number of
Runs(1) Test Duration
O2/CO2 SCAQMD 100.1 Electrochemical
Cell/NDIR In conjunction with all tests
SOx SCAQMD 307-91 Fuel Sample 2
(2) N/A
PM10 EPA 201A/SCAQMD 5.1 Gravimetric 3
(3) ~4 hours
VOC Modified SCAQMD 25.3 GC 3
60 minutes
(nominal)(4)
(1) Per test condition
(2) A total of 2 fuel samples will be collected which are representative of all test conditions. (3) PM10 tests will only be performed at the full load condition with duct burners. (4) VOC samples will be collected until desired canister vacuum is achieved (~10-14” Hg). The system will be setup for a nominal test duration of 60 minutes. Actual sample time may be less than or greater than 60 minutes.
TABLE 3-4
PERMITTED EMISSION LIMITS
MALBURG GENERATING STATION
Parameter Units Limit
PM10 gr/dscf @ 3% O2 0.01
gr/dscf @ 12% CO2 0.1
lb/hr 3.386
SOx lb/MMBtu 0.06
VOC ppm @ 15% O2 2.0
The Malburg tri-annual compliance tests are typically a five-day test program with the following schedule:
Day 1: Mobilize to site, perform safety training, setup stack for testing on first unit - 6 hours on-site
Day 2: Full load with duct burners. PM10 by EPA 201A/SCAQMD 5.1 (2 x 4 hours), VOC by Modified SCAQMD Method 25.3 (3 x 60 minutes), and SOx by SCAQMD 307- 91 (2 samples) – 12 hours on-site.
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Day 3: PM10 by 201A/5.1 (1 x 4 hours) at full load with duct burners. VOC by Modified SCAQMD Method 25.3 (3 x 60 minutes) at full load without duct burners. Move to second unit – 10 hours on-site
Day 4: Repeat Day 2 on second unit
Day 5: Repeat Day 3 on second unit
3.3 Gonzalez Unit NOx and CO Compliance Test
The Gonzalez Units are currently required to test for NOx and CO compliance every five years. A 60-minute test is performed to determine compliance with the permitted limits.
Table 3-5 presents the test methods and matrix.
TABLE 3-5
GONZALEZ UNIT TEST METHODS
Parameter Method Measurement
Principle
Number of
Runs Test Duration
O2 SCAQMD 100.1 Electrochemical Cell 1 60 minutes
CO2 SCAQMD 100.1 NDIR 1 60 minutes
NOx SCAQMD 100.1 Chemiluminescence 1 60 minutes
CO SCAQMD 100.1 NDIR/GFC 1 60 minutes
(1) NOx lb/MMSCF determination is made using EPA Method 19 (standard natural gas F-Factor of 8,710 dscf/MMBtu) and a natural gas heating value of 1,050 Btu/SCF.
The Gonzalez Unit compliance test is expected to be completed in one 6 hour day onsite.
3.4 Potential Tests
The potential tests consist of semi-annual RATAs and quarterly NH3 slip tests on the Malburg units and additional NOx and CO tests on the Gonzalez Units. The specifics on each of these tests are described above. If these tests are required, it is likely that they will be required individually. Combining tests or mobilizations may not be possible for these potential tests.
4.0 FEES AND COSTS
As requested in the RFP, the fees and costs associated with this work are submitted in a separate document.
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5.0 ABILITY OF THE PROPOSER TO PERFORM
Montrose has proven, through its performance for the City of Vernon at the Malburg and Gonzalez facilities, that it is capable of performing the required scope of services.
Montrose and Montrose personnel (previously at Delta Air Quality Services) have been performing these services for over 12 years.
Montrose’s previous and current execution of emission test programs at the City of Vernon is the best indicator of our qualifications and capabilities. Montrose is uniquely qualified to provide the City of Vernon with an unmatched level of consistent service.
While the RFP describes specific compliance test requirements, past experience has shown that additional emission testing services may be needed as rules and regulations develop, generating units are modified, Continuous Emission Monitoring Systems are upgraded, and unforeseen challenges arise. Montrose’s Qualifications and Capabilities important to the City of Vernon include:
1) Safety: Montrose takes safety seriously. We want our people and those we work around us to go home safely at the end of each day. Montrose develops a SiteSpecific Safety Plan for each test program and conducts daily on-site safety meetings to discuss and document potential hazards and how they will be mitigated.
2) Certifications and Quality Management: Montrose maintains all necessary certifications to perform the City of Vernon’s emission testing. Montrose is certified under the South Coast Air Quality Management District (SCAQMD) Laboratory Approval Program (LAP) and California Air Resource Board (CARB) Independent Contractor Program. Montrose has established a quality management system that led to accreditation with ASTM Standard D-7036 (Standard Practice for Competence of Air Emission Testing Bodies). In addition, our project managers have been certified under the qualified source testing individual (QSTI) program instituted by the Source Evaluation Society (SES). Montrose has completed multiple functional assessments for ASTM D7036-04 which were conducted by The American Association for Laboratory Accreditation (A2LA). A2LA granted accreditation for the Montrose quality management system in February 2016.
Copies of these certifications/accreditations are provided in Figures 5-1, 5-2, and 5-3. All testing will be overseen and supervised onsite by at least one Qualified Individual, as defined in EPA 40 CFR, 72.2.
3) Local Capabilities: We expect all of the work for the City of Vernon will be performed from our Santa Ana office. We do not expect to use any on-site subcontractors. The Santa Ana office is located approximately 30 miles from the City of Vernon with the following full-time employees: Regional Vice President, District Manager, Logistic Manager, Project Managers (19), Sr. Technicians and Technicians (20), Chemists (3), Quality/Reporting/Documents (5), and Finance (2). An organizational chart for the Santa Ana office is presented as Figure 5-4.
Matt McCune is a Regional Vice President and will oversee the test program. Mr.
McCune has over 33 years of emission measurement services and was the onW002AS-044369-PQ-2054 11 of 19 City of Vernon
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site Project Manager at Malburg Generating Station for several years. He has a degree in Mechanical Engineering from U.C. Berkeley and is a registered Professional Engineer in the State of California. Takuma Terakado has acted as the on-site Project Manager for most of the recent work at the City of Vernon. He has a Bachelors degree in Environmental Science and Policy, is a Qualified Individual for SES Groups 1 and 3, and has over 6 years of emission testing experience. As mentioned, Montrose has many other qualified project managers with 5 – 35 years of experience. Resumes or qualifications can be provided upon request.
Mobile laboratories serve as the base for emission testing programs. The Santa Ana office maintains fifteen (15) of these mobile laboratories to support projects.
The Santa Ana office maintains an analytical laboratory. The laboratory is fully equipment to perform analysis for PM/PM10/PM2.5, Ammonia, and Oxides of Sulfur. 4) National Capabilities: In addition to the Santa Ana office, Montrose Air Quality Services operates out of over 25 offices with over 325 full time emission test personnel and over 100 mobile laboratories. If the City of Vernon requires resources above and beyond the capabilities of the Santa Ana office, we can draw upon resources from other offices.
5) Additional Services: While not specifically requested in this RFP, Montrose offers additional services which may be valuable or needed by the City of Vernon including:
a. Regulatory Consulting Services
b. Ambient Measurements
c. Emerging Technologies Division
d. Leak Detection and Repair (LDAR)
e. Laboratory Services through our Enthalpy Laboratory division 6) Provide Consultancy Services as needed: Montrose understands that additional emission measurement services will be needed in addition to the required RATAs and compliance testing. Montrose understands local and federal regulations and test methods. We often provide assistance and additional emission measurement services to support our customers, solve problems, and provide solutions. Additional testing which may be needed and Montrose has performed include:
a. Support for engineering tests, emission guarantee and performance verification tests
b. Troubleshooting of CEMS equipment malfunctions including finding the cause and assisting in resolving failed emissions tests and RATAs. We must maintain our status as an independent tester. As such, we can never guarantee compliance or passing RATAs. We are required to provide quality assured measurement data which meet test method requirements.
With that said, we have worked with clients many times to identify problems W002AS-044369-PQ-2054 12 of 19
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and suggest solutions when CEMS accuracy or compliance with rules and regulations are an issue.
c. CEMS certification and support activities. CEMS certification tests include requirements in addition to a RATA. We provide assistance with these tests including Linearity Tests, Cylinder Gas Audits, and other gas injection tests.
Montrose has and can provide gas cylinders required for CEMS certifications or diagnostic checks that may not be a part of the City of Vernon’s normal inventory
d. Real-time Ammonia (NH3) measurements. Montrose provides real-time continuous NH3 concentration data using one of two methods: 1) the use of an NH3 to NO converter and two NOx analyzers to determine NH3 concentration by difference and 2) Fourier Transform Infrared (FTIR) analyzer. Both methods can be used in SCR tuning or ammonia slip troubleshooting programs.
7) Reliability: Montrose’s capabilities and qualifications are such that we have the personnel and equipment resources to meet the City of Vernon’s needs. Since we have performed and are currently performing the requested Scope of Work, this isn’t new work for us. We will not need to hire additional personnel, purchase additional equipment, or juggle existing customers to accommodate the City of Vernon. We strive to provide a consistent team that the City of Vernon can rely on.
We understand operational difficulties arise and schedules can change. We will work with the City of Vernon to accommodate these schedule changes.
One of the Montrose Santa Ana office’s primary area of expertise is testing natural gas fired combustion turbines subject to strict emission limits within the South Coast Air Quality Management District. A small set of customers you may contact as a reference for our capabilities in testing combustion turbines is listed in Table 5-1. Several of these references are for municipal utilities. Many additional references can be provided upon request.
TABLE 5-1
REFERENCES
Facility Name e-mail
Southern California Edison Julia Garner [email protected] Southern California Edison Ali Aleshaiker [email protected] Los Angeles Department of
Water and Power Maru Streets [email protected] Southern California Public
Power Authority Bertha Hernandez [email protected] City of Burbank Claudia Reyes [email protected]
City of Glendale John Escudero [email protected] City of Pasadena Marcin Sobczyk [email protected] W002AS-044369-PQ-2054 13 of 19
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FIGURE 5-1
SCAQMD LABORATORY APPROVAL PROGRAM CERTIFICATE
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FIGURE 5-2
CARB CERTIFICATE
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FIGURE 5-3
A2LA STAC ACCREDITATION CERTIFICATE
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FIGURE 5-4
MONTROSE SANTA ANA ORG CHART
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6.0 AFFIDAVIT OF NON-COLLUSION
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EXHIBIT B
SCHEDULE
City of Vernon – 2023 Tri-Annual Proposal – Costs and Fees W002AS-044369-PQ-2054
This document presents the expected fees and costs associated with the scope of work provided in response to the City of Vernon’s RFP titled Source Testing Services for Natural Gas Generation Facilities. The fees and costs are presented separately as required in the RFP. Some portions of the scope of work are known and defined while others are potential work. Tables 1 through 7 provide the expected costs for each task based on the assumptions provided in the technical proposal. A summary the costs for all of the known and expected work along with costs of potential work is provided in Table
8. Please note that the costs presented here include items that other bidders may not include but have been requested or required for the City of Vernon. These costs include: 1) having a chemist on-site to analyze NH3 samples shortly after samples are collected, 2) performing SCAQMD Rule 2012 and Part 75 RATAs simultaneously but using separate sampling systems and analyzers, and 3) performing separate SCAQMD Rule 218.1 “spiking” RATAs due to low CO concentrations.
TABLE 1
1ST QUARTER 2024 RATA AND NH3 SLIP
MALBURG GENERATING STATION
Task Cost
Planning and Protocol $601
Test Preparation $1,162
Mob/Travel/Setup/Demob $4,002
On-Site Testing $17,163
Lab Analysis $0
Reporting $2,248
Total $25,175
TABLE 2
1ST QUARTER 2025 RATA AND NH3 SLIP
MALBURG GENERATING STATION
Task Cost
Planning and Protocol $625
Test Preparation $1,208
Mob/Travel/Setup/Demob $4,162
On-Site Testing $17,849
Lab Analysis $0
Reporting $2,338
Total $26,182
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TABLE 3
1ST QUARTER 2026 RATA AND NH3 SLIP
MALBURG GENERATING STATION
Task Cost
Planning and Protocol $650
Test Preparation $1,256
Mob/Travel/Setup/Demob $4,328
On-Site Testing $18,563
Lab Analysis $0
Reporting $2,432
Total $27,229
TABLE 4
3RD QUARTER 2025 TRI-ANNUAL
MALBURG GENERATING STATION
Task Cost
Planning and Protocol $1,831
Test Preparation $1,498
Mob/Travel/Setup/Demob $4,600
On-Site Testing $26,600
Lab Analysis $10,261
Reporting $2,812
Total $47,602
TABLE 5
2026 NOx AND CO COMPLIANCE
GONZALEZ UNIT 7
Task Cost
Planning and Protocol $661
Test Preparation $572
Mob/Travel/Setup/Demob $775
On-Site Testing $3,339
Lab Analysis $0
Reporting $673
Total $6,020
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TABLE 6
SINGLE UNIT SEMI-ANNUAL NOx RATA
MALBURG GENERATING STATION
Task Cost
Planning and Protocol $625
Test Preparation $1,208
Mob/Travel/Setup/Demob $1,006
On-Site Testing $5,976
Lab Analysis $0
Reporting $969
Total $9,784
TABLE 7
SINGLE UNIT QUARTERLY NH3 SLIP TEST
MALBURG GENERATING STATION
Task Cost
Planning and Protocol $0
Test Preparation $501
Mob/Travel/Setup/Demob $1,052
On-Site Testing $3,479
Lab Analysis $0
Reporting $636
Total $5,669
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TABLE 8
COST SUMMARY TABLE
MALBURG AND GONZALEZ STATION
Time Task Qty. Item Cost
Defined
Task
Total
Potential
Task Total
1st Quarter 2024 Malburg RATA and NH3 1 $25,175 $25,175 -- 1st Quarter 2025 Malburg RATA and NH3 1 $26,182 $26,182 -- 3rd Quarter 2025 Malburg Tri-Annual 1 $47,602 $47,602 -- 1st Quarter 2026 Malburg RATA and NH3 1 $27,229 $27,229 -- 2026 Gonzalez Unit 7
Compliance 1 $6,020 $6,020 --
-- Semi-Annual RATA 2 $9,784 -- $19,568
-- Quarterly NH3 4 $5,669 -- $22.676
-- Gonzales Compliance 4 $6,020 -- $24,080
Sub-Total $132,208 $66,324
20% Contingency $26,442 $13,265
Total $158,650 $79,589
Total $238,238
Montrose’s standard Terms and Conditions are presented here. Montrose and the City of Vernon have negotiated acceptable Terms and Conditions for the work we have done over the last several years and we fully expect that we can do the same if we are awarded this tri-annual contract.
Progress invoices will be issued incrementally in the form of two invoices: (1) the first invoice is issued after completion of the field work and includes project management, preparation, equipment fees, specialized rentals, mobilization, performance of the field work, and analytical tasks, and (2) the second invoice includes the reporting and ERT (if applicable) and is issued upon delivery of the final report, or five business days following delivery of the draft report. Time and materials (T&M) and optional testing may be invoiced separately.
Should changes in scope become necessary (e.g. remobilization, out of scope, standby time, etc.), the lump sum quotation will be adjusted according to the standard fee schedule for source testing attached, plus all applicable lab fees, equipment and expenses. Note that overtime rates shall be invoiced when applicable. It is understood that out of scope work will need client authorization prior to commencement. The attached Standard Terms and Conditions shall apply to all services. In addition, the following terms and conditions for source testing shall apply:
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Process Information: The client shall provide accurate process information in a manner acceptable to the regulatory agency and in sufficient detail to perform the necessary test calculations and complete the pertinent regulatory agency forms.
Safety Training: Time spent for plant required safety orientation or training longer than 30 minutes in duration will accrue additional charges at the per-person, per-hour standby rate, plus expenses.
Drug Testing: Drug testing or physical examinations required by the client or plant, which are not covered by Montrose company policy will be invoiced at the per-person, per-hour standby rate, plus the cost of the drug test or examination.
Postponement: If the client postpones or reschedules a test, all expenses incurred for the preparation and travel that must be repeated prior to the actual test will be invoiced. If the postponement is made less than two weeks prior to a scheduled test date, Montrose reserves the right to charge the client an additional fee of 10% of the estimated project price. If the project is postponed less than a week before the scheduled test date, Montrose reserves the right to charge the client an additional fee of 25% of the estimated project price.
Standby Fees: If the test team arrives on site and cannot test due to causes beyond the control of Montrose (i.e., client's process or equipment delays, inclement weather, etc.); standby fees will be charged at the normal Montrose labor rates.
Cancellation: If the client cancels testing after a purchase order is issued or a test scheduled, Montrose will charge a cancellation fee plus expenses incurred for travel and/or preparation expenses incurred. The cancellation fee will follow the same schedule described in Postponement above.
Audit Samples: The EPA Stationary Audit Sample Program (SSAS) has been discontinued. The SSAS requires that two or more independent audit providers be available, currently there is only one. If a second provider becomes available, the program will be reinstated. Until that time, Montrose will not acquire audit samples associated with the SSAS program. If the program is reinstated, Montrose shall not be responsible or held liable for an unsuccessful test resulting from failed audit sample analysis conducted by a third-party subcontracted laboratory. Montrose’s liability under such circumstances shall be limited to the actual cost of the audit sample analysis, and shall not extend to cost of procurement of the audit samples or any costs associated with retesting, whether or not such re-testing is required by any regulatory agency or official.
Inclement Weather: Inclement weather is defined as lightning, thunderstorms, strong winds, icing, or other atmospheric conditions that may endanger or cause damage to Montrose personnel and/or equipment or otherwise adversely affect the test results. The decision to conduct or postpone sampling operations will be at the discretion of the Montrose test team leader. Should weather conditions preclude safe testing during the scheduled hours and days the client will be invoiced at the per-person, per-hour standby rate, plus expenses.
DOT Driving Requirements: All source sampling companies, are subject to and must comply with local and Federal Department of Transportation (DOT) regulations. The regulations include specific ‘hours of service’ provisions with which our employees/drivers must adhere to. Montrose does not quote projects to exceed the on-duty time; however, if the applicable DOT rules are exceeded due to out of scope work or delays, driving DOT vehicles will not be permitted. In this PQ-2054 - Fees and Costs 5 of 11
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case, an extra-night stay over may be required. The client will then be invoiced at the per-person, per-day standby rate, plus expenses.
Limitations of Liability: Montrose shall not be responsible for an unsuccessful test due to failure, malfunction, or improper operation of the client's process and/or control equipment. The client is responsible for having the process and/or control equipment operating in a representative manner. Montrose may recommend adjustments to equipment operation, but such action will be at the discretion of the client and will in no way render Montrose liable.
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Standard Terms and Conditions
I. SCOPE
Montrose Air Quality Services, LLC (through itself or its affiliates or subsidiaries) (“Montrose”) agrees to perform the services described in the proposal attached hereto which incorporates these terms and conditions. Unless modified in writing by the parties hereto, the duties of Montrose shall not be construed to exceed those services specifically set forth in the proposal. These terms and conditions and the proposal, when executed by Client, shall constitute a binding agreement on both parties (hereinafter the "Agreement").
II. COMPENSATION
Client agrees to pay for the services in the proposal in accordance with the compensation provisions set forth therein. Unless otherwise agreed, Montrose shall, at its sole discretion, invoice Client incrementally upon execution of services in the form of two bills: (1) delivery of the test protocol, preparation, equipment fees, performance of the fieldwork, and the analytical tasks, and (2) delivery of the final report(s) or five days after delivery of the draft report(s). Montrose shall invoice Client any remaining amounts due, including but not limited to out of scope charges, delay time or other fees, upon completion of the final report(s) or five days after delivery of the draft report(s).
Time-related charges will be made in accordance with the billing rate referenced in the proposal or agreement. Direct expenses and Subcontractor servicesshall be billed in accordancewith the proposalor compensation exhibit attached to this Agreement. Otherwise, Montrose's standard billing rates shall apply. Unless otherwise agreed, Client agrees to pay within 30 days of the presentation of any invoice submitted by Montrose hereunder. Payments not received within 30 days of the invoice date will accrue a late payment charge of 1.5% per month on the unpaid balance of the invoice.
Montrose shall also be entitled to reimbursement from Client of expenses, including attorney’s fees and court costs, which may be incurred in collecting any overdue payments. Payment is not contingent on payment from another party.
III. RESPONSIBILITY
Montrose is employed to render a professional service only, and any payments made by Client are compensation solely for such servicesrendered and recommendations made in carrying out the work. Montrose shall perform the services in accordance with the usual and customary care and accepted practices in effect when the services are rendered.
Montrose's review or supervision of work prepared or performed by other individuals or firms employed by Client shall not relieve those individuals or firms of complete responsibility for the adequacy of their work.
It is understood that any resident engineering or inspection provided by Montrose is for the purpose of determining compliance with the technical provisions of the project specifications and does not constitute any form of guarantee or assurance with respect to the performance of a contractor. Montrose does not assume responsibility for methods or appliances used by a contractor, for safety of construction work, or for compliance by contractorswith laws and regulations. Further,Montrose is notresponsible,in any capacity, for Client’s failure to comply with any laws or regulations or for damages or penalties of any type sought or assessed, including attorney’s fees and expenses, from any source.
IV. FORCE MAJEURE
Montrose, its officers, employees and agents, shall not be liable for its failure to perform hereunder or for any loss or damage due to any failure of delay from any cause beyond the reasonable control of Montrose. This includes but is not limited to: acts of God, war (declared or undeclared) terrorist attaches, civil commotion, tornados, embargoes, epidemics,fires, floods,strikes, testing difficulties, shortage of chemicals, materials, or other equipment, acts or omissions by Client, acts or omissions of suppliers or vendors, acts or omissions of governmental authorities, or changes to any applicable governmental laws orregulations.
V. INDEMNIFICATION
Client agrees to indemnify Montrose and its officers, directors, subsidiaries, employees and affiliates for any losses (including reasonable fees and expense incurred, including reasonable attorney fees), arising out of or related to any legal action or claim resulting from any services provided by Montrose, to which Montrose is not a party and to the extent Montrose is found not to be at fault in connection with such claim or legal action.
VI. LIMITATION OF LIABILITY
MONTROSE (TOGETHER WITH ITS EMPLOYEES, REPRESENTATIVES, OFFICERS, DIRECTORS, AGENTS AND
AFFILIATES) SHALL BE LIABLE ONLY FOR THE PROVEN DIRECT AND IMMEDIATE DAMAGE CAUSED BY MONTROSE’S GROSS NEGLIGENCE OR WILLFUL MISCONDUCT IN CONNECTION WITH THE PERFORMANCE OF SERVICES IN CONNECTION WITH AN ORDER. MONTROSE’S LIABILITY HEREUNDER SHALL BE LIMITED TO AN AMOUNT EQUAL TO ONE-AND-A-HALF TIMES THE TOTAL FEES PAID TO MONTROSE OVER THE LAST 12 MONTHS UNDER THIS AGREEMENT. IN NO EVENT SHALL MONTROSE BE LIABLE TO CLIENT OR TO ANY THIRD PQ-2054 - Fees and Costs 7 of 11
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PARTY FOR ANY LOSS OF USE, REVENUE OR PROFIT, OR FOR ANY CONSEQUENTIAL, INCIDENTAL, INDIRECT,
EXEMPLARY, SPECIAL OR PUNITIVE DAMAGES WHETHER ARISING OUT OF BREACH OF CONTRACT, TORT (INCLUDING NEGLIGENCE) OR OTHERWISE, REGARDLESS OF WHETHER SUCH DAMAGES WERE FORESEEABLE
AND WHETHER OR NOT MOTNROSE HAS BEEN ADVISED OF THE POSSIBILITY OF SUCH DAMAGES, AND NOTWITHSTANDINGTHE FAILURE OF ANY AGREED OR OTHER REMEDY OF ITS ESSENTIALPURPOSE.
VII. INSURANCE
Montrose shall maintain during the life of the Agreement the following minimum insurance:
1. Commercial general liability including bodily injury, property damage, owners and contractors protective, products/completed operations, contractual and personal injury. The combined single limit for bodily injury and property damage shall not be less than $1,000,000.
2. Automobile bodily injury and property damage liability insurance covering owned, non-owned, and hired cars. The combined single limit for bodily injury and property damage shall be not less than $1,000,000.
3. Statutory worker's compensation and employers' liability insurance as required by state law.
4. Professional liability insurance with limits of not less than $1,000,000 VIII. SUBCONTRACTS
Montrose shall be entitled, to the extent determined to be appropriate by Montrose, to subcontract any portion of the work to be performed under this Agreement.
IX. ASSIGNMENT
These terms and conditions and the agreement to which they are attached are binding on the heirs, successors, and assigns of the parties hereto. The agreement is not to be assigned by either Montrose or Client without the prior written consent of the other.
X. INTEGRATION
These terms and conditions and the agreement to which they are attached represent the entire understanding of Client and Montrose as to those matters contained herein. No prior oral or written understanding shall be of any force or effect with respect to those matters covered herein. The agreement may not be modified or altered except in writing signed by both parties.
XI CHOICE OF LAW/JURISDICTION
This agreement shall be administered and interpreted under the laws of the state in which the Montrose office responsible for the project islocated. Jurisdiction of litigation arising from the agreement shall be in that state.
XII. SEVERABILITY
If any part of the agreement is found to be in conflict with applicable laws,such partshall be inoperative, null and void insofar asit is in conflict with said laws, but the remainder of the agreement shall be in full force and effect.
XIII. NO BENEFIT FOR THIRDPARTIES
The services to be performed by Montrose hereunder are intended solely for the benefit of Client, and no right or benefit is conferred on, nor any contractual relationship intended or established with any person or entity not a party to this Agreement. No such person or entity shall be entitled to rely on Montrose's performance of its services hereunder.
XIV. INDEPENDENT CONTRACTOR
The relationship between the parties is that of independent contractors. Nothing contained in this Agreement shall be construed as creating any agency, partnership, joint venture or other form of joint enterprise, employment or fiduciary relationship between the parties, and neither party shall have authority to contract for or bind the other party in any manner whatsoever.
XV. WORK PRODUCT
Montrose and Client recognize that Montrose's work product submitted in performance of this Agreement is intended only for the project covered bythisAgreement. Change, alteration,orreuseon anotherprojectbyClientshallbeatClient'ssolerisk,andClientshall hold harmless and indemnify Montrose against all losses, damages, costs and expense, including attorneys' fees, arising out of or related to any such unauthorized change, alteration or reuse. Rights to Montrose’s intellectual property, in existence prior to the servicesrendered underthis Agreement, that are as presented in the documents or reports delivered in connection with utilized in the performance of the work shall remain the property of Montrose. Client shall not have any rights to Montrose’s trade secrets or proprietary data modeling formulas, spreadsheets and tools.
XVI. SUSPENSION OF WORK
Client may suspend, in writing, all or a portion of the work under the agreement in the event unforeseen circumstances beyond the control of the Client make normal progress in the performance of the work impossible. Montrose may request that the work be suspended by notifying Client, in writing, of circumstances that are interfering with normal progress of the work. Montrose may suspend work on the project in the event Client does not pay invoices when due. The time for completion of the work shall be extended by the number of daysthe work issuspended. In the event that the period of suspension exceeds 90 days, the terms of the agreement are subject to renegotiation and both parties are granted the option to terminate work on the suspended portion of the project, in accordance with the Proposal.
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XVII. TERMINATION OF WORK
Either party at any time, upon reasonable written notice to the other party, may terminate the services hereunder. Upon such termination, Client shall pay Montrose all the amounts it owed hereunder for performance up to the date of termination, plus, if such termination is not due to Montrose’s default under this Agreement, reasonable expenses incurred by Montrose as a result of such termination.
XVIII. NOTICES
All noticesrequired underthisAgreementshall be by personal delivery,facsimile or mail to the MontroseClient Account Manager and to the person signing the proposal on behalf of the Client, and shall be effective upon delivery to the addressed stated in the proposal.
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W002AS-044369-PQ-2054
FEE SCHEDULE FOR SOURCE TESTING
EFFECTIVE JANUARY 1, 2023
Field Testing Personnel Hourly Rate ($)
Consultant ................................................................................................................................................. 225 Client Project Manager.............................................................................................................................. 170 Field Project Manager............................................................................................................................... 130 Senior Technician ..................................................................................................................................... 110 Field Technician .......................................................................................................................................... 95 Support Personnel Hourly Rate ($)
Senior Office Worker................................................................................................................................. 110 Office Worker .............................................................................................................................................. 75 Overtime Rate Hourly Rate ($)
Over 8 hours per day or between 40 and 60 hours per week.........................................Standard Rate x 1.5 Over 12 hours per day or over 60 hours per week..........................................................Standard Rate x 2.0 Note: MAQS also accounts for overtime meeting the “consecutive day” rules.
Overhead Direct Costs Unit Rate ($)
Per Diem ...........................................................................................................................................275/day Mobile Lab Vehicle Mileage ............................................................................................................1.50/mile Other Overhead Direct Costs, including analytical costs ........................................................Cost Plus 15% Testing Equipment Fees Daily Rate ($)
Mobile Laboratory .................................................................................................................................. 1,175 Chase vehicle - (mileage charged separately at $0.75/mile).................................................................... 125 Portable Sampling System........................................................................................................................ 205 Data Acquisition System ........................................................................................................................... 105 Strip Chart Recorders ............................................................................................................................... 105 O2 Analyzer (calibration gases charged separately for all analyzers)....................................................... 130 CO2 Analyzer............................................................................................................................................ 130 CO Analyzer.............................................................................................................................................. 180 NOx Analyzer............................................................................................................................................. 180 SO2 Analyzer ............................................................................................................................................ 205 THC Analyzer............................................................................................................................................ 305 FTIR Analyzer (on site) ............................................................................................................................. 755 Gas Chromatograph (on site).................................................................................................................... 755 Heated sample line ................................................................................................................................... 105 Isokinetic Sampling System - Complete ................................................................................................... 255 Non-Isokinetic Pump & Meter ................................................................................................................... 180 201A / OTM-027 Cyclone / Cascade Impactor ......................................................................................... 130 Impinger Set.............................................................................................................................................. 105 NH3 Analysis Kit ........................................................................................................................................ 275 Lung Sampler............................................................................................................................................ 105 Tedlar Bags (each)...................................................................................................................................... 40 PQ-2054 - Fees and Costs 10 of 11
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The information contained in this proposal is proprietary and contains confidential information which is of significant economic value to Montrose Air Quality Services, LLC. It is intended to be used only for evaluation of our qualifications for providing services. It should not be duplicated, used, re-written or disclosed in whole or in part for any purpose other than to evaluate this proposal and quotation.
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EXHIBIT C
EQUAL EMPLOYMENT OPPORTUNITY
PRACTICES PROVISIONS
A. Contractor certifies and represents that, during the performance of this Agreement, the contractor and each subcontractor shall adhere to equal opportunity employment practices to assure that applicants and employees are treated equally and are not discriminated against because of their race, religious creed, color, national origin, ancestry, handicap, sex, or age. Contractor further certifies that it will not maintain any segregated facilities.
B. Contractor agrees that it shall, in all solicitations or advertisements for applicants for employment placed by or on behalf of Contractor, state that it is an "Equal Opportunity Employer" or that all qualified applicants will receive consideration for employment without regard to their race, religious creed, color, national origin, ancestry, handicap, sex or age.
C. Contractor agrees that it shall, if requested to do so by the City, certify that it has not, in the performance of this Agreement, discriminated against applicants or employees because of their membership in a protected class.
D. Contractor agrees to provide the City with access to, and, if requested to do so by City, through its awarding authority, provide copies of all of its records pertaining or relating to its employment practices, except to the extent such records or portions of such records are confidential or privileged under state or federal law.
E. Nothing contained in this Agreement shall be construed in any manner as to require or permit any act which is prohibited by law.