Yuba City City Council
May 17, 2022

of Police vehicle equipment to Cop Shop Installations is in the best interest of the City as they have provided satisfactory work on Police vehicles in the past at a reasonable cost and the proposed negotiated prices are reasonable as well. As such, the City Council approves the purchase of equipment for the vehicles to Cop Shop Installations of Yuba City in the amount of $9,465.15, and authorizes the City Manager to enter into an agreement for the same, subject to approval as to legal form by the City Attorney.

3. This Resolution shall take effect immediately.

The foregoing Resolution was duly and regularly introduced, passed, and adopted by the City Council of the City of Yuba City at a regular meeting thereof held on the 17th day of May, 2022.

AYES:

NOES:

ABSENT:

Dave Shaw, Mayor
ATTEST:

Ciara Wakefield, Deputy City Clerk
APPROVED AS TO FORM:

COUNSEL FOR YUBA CITY:

Shannon Chaffin, City Attorney
Aleshire & Wynder, LLP

Agenda Item 19

CITY OF YUBA CITY

STAFF REPORT
Date: May 17, 2022
To: Honorable Mayor & Members of the City Council
From: Administration Department
Presentation By: Ciara Wakefield, City Clerk Administrator Summary
Subject: General Municipal Election November 8, 2022
Recommendation: A. Adopt a Resolution calling and giving notice of the General Municipal Election to be held on Tuesday, November 8, 2022 for the election of three members of the City Council, and authorizing the Mayor to enter into an agreement for election services with Sutter County
B. Adopt Resolution calling a special municipal election for ballot measures changing the offices of City Clerk and City Treasurer to appointed positions at the Statewide General Election to be held on November 8, 2022, and requesting Sutter County consolidate the election with the Statewide General Election Fiscal Impact: The cost for the 2020 election was $48,052.62. Sutter County is unable to provide a 2022 cost estimate at this time. However, we expect that our election costs will increase significantly in 2022 due to the City's transition to districtbased elections and the City Clerk/City Treasurer measures. The anticipated increase has been accounted for in the Proposed FY 2022-2023 Annual Budget (Account 1710-62722 City Clerk Elections)
Purpose:

To provide notice of the General Municipal Election to be held on November 8, 2022.

Background:

In accordance with the California Election Code and the City Municipal Code, the City of Yuba City is required to hold an election in conjunction with the Statewide General Election being held on Tuesday, November 8, 2022 for the election of three members of City Council and measures which would transition the City Clerk and City Treasurer to appointed positions.

Traditionally, the City has contracted with Sutter County to provide consolidated election services. An agreement is needed with Sutter County to reimburse for costs associated with the Municipal Election.

Sutter County would charge an estimated additional $1,000 to the City to handle the filing of nomination papers, candidate statements, etc. It would still be up to the City to ensure that candidate FPPC forms are posted on the City’s website and each candidate has turned in the required

documents.

Analysis:

Council Elections (District 1, 2, and 3)
The first day for signing nomination papers for the office of Council member will be Monday, July 18, 2022. The close of the nomination period shall be 5:00 p.m. on Friday, August 12, 2022. Should any incumbent not file nomination papers by the close of the nomination period, the voters of the City will have until 5:00 p.m. on Wednesday, August 17, 2022 to nominate candidates other than the incumbent to that office.

Candidates may file a “Statement of Qualifications” to be included within the sample ballot packet that is mailed to registered voters. All costs of printing and handling of the Statement of Qualifications, except mailing costs, shall be paid by the candidate. A deposit will be required to be made at the time of filing to cover anticipated costs, the amount of deposit will be determined by the Sutter County Elections Office. The Statement of Qualifications is limited to 200 words.

City Clerk and City Treasurer Measures
The California Government Code requires general law cities to have a City Clerk and City Treasurer, who are to be either elected or appointed. Currently, the City Clerk and City Treasurer are elected at large in Yuba City, and therefore must reside in and be registered voters of the City. Other than these two requirements, the City cannot impose any minimum qualification requirements for the positions, such as level of experience, education, professional certification, or training.

As a practical matter, these positions can be largely ceremonial or require City Staff to run for office.

For example, virtually all of the work of Clerk's office is performed by City staff (including attendance at all Council meetings), and the City's Finance Director is periodically required to run for the office of City Treasurer just so that he can continue to conduct the City's financial business in that capacity. Among others, this can result in inefficiencies, and can limit the pool of qualified candidates to just those who physically reside within the City.

To address this issue, most cities instead provide for the appointment of these positions by the City Council. The complex technical issues these positions must deal with, and the need to have trained professionals in these jobs, is a primary reason for this change. Appointment not only allows for the selection of the most qualified person (including someone who may live in the County), but also avoids taxpayer expense to place the items on the budget with each appropriate election cycle, and makes more efficient use of employee time.

To transition from elected to appointed positions for the offices of City Clerk and City Treasurer, a resolution must be submitted to the Sutter County Board of Supervisors and the Sutter County Elections Department to place ballot measures before the voters. If the majority of the votes cast on the propositions regarding the City Clerk and City Treasurer is for converting the positions to appointive positions, the City Council would then appoint such officers upon the expiration of the terms of the current City Clerk and City Treasurer ending in November 2022. If approved, the change would not be effective until the current terms expire.

Fiscal Impact:

The cost for the 2020 election was $48,052.62. Sutter County is unable to provide a 2022 cost estimate at this time. However, we expect that our election costs will increase significantly in 2022 due

to the City's transition to district-based elections and the City Clerk/City Treasurer measures. The anticipated increase has been accounted for in the Proposed FY 2022-2023 Annual Budget (Account 1710-62722 City Clerk Elections).

Alternatives:

The City of Yuba City conducting “Stand Alone” elections is currently not feasible. Sutter County has the special equipment, software, personnel and training required to conduct elections, and provides good service to our voters. However, the Council does have the option of choosing not to go forward with the measures for the City Clerk and City Treasurer.

Recommendation:

A. Adopt a Resolution calling and giving notice of the General Municipal Election to be held on Tuesday, November 8, 2022 for the election of three members of City Council and authorizing the Mayor to enter into an agreement for election services with Sutter County.

B. Adopt Resolution calling a special municipal election for ballot measures changing the offices of City Clerk and City Treasurer to appointed positions at the Statewide General Election to be held on November 8, 2022, and requesting Sutter County consolidate the election with the Statewide General Election.

Attachments:

1. Resolution - General Municipal Election (November 8, 2022)

2. Resolution re City Clerk and City Treasurer Election Prepared By: Submitted By:

Ciara Wakefield
City Clerk Administrator
Diana Langley
City Manager

ATTACHMENT 1

RESOLUTION NO. ________

RESOLUTION OF THE CITY COUNCIL OF THE CITY OF YUBA CITY

CALLING AND GIVING NOTICE OF THE HOLDING OF A GENERAL
MUNICIPAL ELECTION TO BE HELD ON TUESDAY NOVEMBER 8, 2022

FOR THE ELECTION OF CERTAIN OFFICERS AND AUTHORIZING THE

CITY TO ENTER INTO AN AGREEMENT FOR ELECTION SERVICES WITH

SUTTER COUNTY
WHEREAS, under the provisions of the laws relating to general law cities in the State of California, a General Municipal Election shall be held on November 8, 2022; and WHEREAS, it is the desire of the City Council of the City of Yuba City to consolidate the Municipal Election with the Statewide General Election to be held on November 8, 2022 for the purpose of electing three Council members for full terms of four years and transitioning the City Clerk and City Treasurer to appointed positions.

NOW, THEREFORE, BE IT RESOLVED by the City Council of the Yuba City as follows:

Section 1. That pursuant to the requirements of Section 10403 of the Elections Code of the State of California, the City Council requests the Board of Supervisors of the County of Sutter to consolidate the City General Municipal Election with the Statewide General Election being held on Tuesday, November 8, 2022, for the following officers:

Office Council District Term
Councilmember 1 4 years (full term)
Councilmember 2 4 years (full term)
Councilmember 3 4 years (full term)
Section 2. That the Sutter County Election Department is authorized to canvass the returns of the General Municipal Election, and that the Consolidated Election shall be held in accordance with Elections Code section 10418. The election shall be held in all respects as if there were only one election, and one form of ballot shall be used.

Section 3. That the Mayor is authorized to enter into an Agreement with Sutter County for the purpose of said election.

Section 4. The City Clerk is directed to forward a certified copy of this Resolution to the Board of Supervisors of Sutter County.

Section 5. The City Clerk is directed to post a Notice of Election not earlier than the 127th day (July 4, 2022) nor later than the 113th day (July 18, 2022) before any municipal election to fill offices, per Elections Code 12101(a).

The foregoing Resolution was duly and regularly introduced, passed, and adopted by the City Council of the City of Yuba City at a regular meeting thereof held on the 17th day May, 2022.

AYES:

NOES:

ABSENT:

_____
Dave Shaw, Mayor
ATTEST:

Ciara Wakefield, Deputy City Clerk

APPROVED AS TO FORM

COUNSEL FOR YUBA CITY
________________________________
Shannon Chaffin, City Attorney
Aleshire & Wynder, LLP

ATTACHMENT 2

RESOLUTION NO. ____

RESOLUTION OF THE CITY COUNCIL OF THE CITY OF YUBA CITY

CALLING A SPECIAL MUNICIPAL ELECTION FOR BALLOT

MEASURES CHANGING THE OFFICES OF CITY CLERK AND CITY

TREASURER FROM ELECTED POSITIONS TO APPOINTED POSITIONS

AT THE STATEWIDE GENERAL ELECTION TO BE HELD ON
NOVEMBER 8, 2022 AND REQUESTING THE COUNTY OF SUTTER

CONSOLIDATE THE ELECTION WITH THE STATEWIDE GENERAL

ELECTION
WHEREAS, the California Government Code requires general law cities such as the City of Yuba City (the “City”) to maintain the positions of City Clerk and Treasurer; and WHEREAS, the City Council of the City (‘City Council”) desires that the positions of City Clerk and City Treasurer be changed from elected positions to positions appointed by the City Council; and
WHEREAS, pursuant to Government Code Section 36508, the City may submit to the voters the question of whether the position of City Clerk and City Treasurer shall be elected or appointed by the City Council; and
WHEREAS, if the majority of the votes cast on the propositions regarding the City Clerk and City Treasurer is for converting the positions to appointive positions, the City Council shall appoint such officers upon the expiration of the terms of the current City Clerk and City Treasurer ending in November 2024; and
WHEREAS, it is the desire of the City Council to call a Special Municipal Election on November 8, 2022 for such purpose, and to consolidate such Special Municipal Election with the Statewide General Election (and General Municipal Election) to be held on November 8, 2022.

NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Yuba City as follows:

Section 1. That pursuant to the requirements of the laws of the State of California relating to the conduct of elections, there is called and ordered to be held in the City of Yuba City, on Tuesday, November 8, 2022, a Special Municipal Election entitled the Special City Ballot Measures Election for the purpose of proposing ballot measures changing the positions of City Clerk and City Treasurer from elected to appointive positions to the qualified voters of the City.

The forms of the measures to appear on the ballot are specified below in Section 2 of this Resolution. The City Manager is hereby authorized and directed to make any changes to the text of the measures or this resolution as required to conform to any requirements of law.

Section 2. That pursuant to the requirements of Section 10403 of the Elections Code of the State of California, the City Council requests the Board of Supervisors of the County of Sutter to consent and agree to the consolidation of a Special City Ballot Measures Election with the Statewide General Election on Tuesday, November 8, 2022, for the purpose of the following ballot questions:

Measure ___
Yes Shall the office of the city treasurer be appointive? No Measure ___
Yes Shall the office of the city clerk be appointive? No Section 3. That pursuant to the provisions of Section 10002 of the Elections Code of the State of California, the City Council requests the Board of Supervisors of the County of Sutter to permit the County Election Department to conduct the Special City Ballot Measures Election and consolidate it with the Statewide General Election to be held on November 8, 2022 .

Section 4. That the City Clerk is authorized, instructed and directed to procure and furnish to the County, if requested, any and all official ballots, notices, printed matter and all supplies, equipment and paraphernalia that may be necessary in order to properly and lawfully conduct the election in accordance with the Elections Code and the laws of the State of California.

That the notice of time and place of holding of the election is hereby given and the City Clerk is authorized, instructed and directed to give further or additional notice as required by law.

Section 5. That the Consolidated Election shall be held in accordance with Elections Code section 10418.

Section 6. That the County Election Department is authorized to canvass the returns of the Special City Ballot Measures Election. The election shall be held in all respects as if there were only one election, and one form of ballot shall be used.

Section 7. That the electorate vote requirement for the measures to pass is a majority (50%+1) of the votes cast on each measure at the November 8, 2022 consolidated election.

Section 8. That the City shall reimburse the County for services performed when the work is completed and upon presentation to the City of a properly approved invoice.

Section 9. The City Clerk is hereby directed to forward a certified copy of this resolution to the County Election Department.

The foregoing resolution was passed and adopted by the City Council of the City of Yuba City at a regular meeting thereof held on the 17th day of May, 2022, by the following vote:

AYES:

NOES:

ABSTAIN:

ABSENT:
__________________________
Dave Shaw, Mayor

ATTEST
By: _____________________________
Ciara Wakefield, Deputy City Clerk
APPROVED AS TO FORM:

By: _________________________________
Shannon L. Chaffin, City Attorney
Aleshire & Wynder, LLP

Agenda Item 20

CITY OF YUBA CITY

STAFF REPORT
Date: May 17, 2022
To: Honorable Mayor & Members of the City Council
From: Administration Department
Presentation By: Ciara Wakefield, City Clerk Administrator Summary
Subject: Approve Tenant Commissioner Appointment to the Regional Housing Authority Recommendation: Approve the re-appointment of Suzanne Gallaty as the Tenant Commissioner to the Regional Authority of Sutter and Nevada Counties Board of Commissioners Fiscal Impact: None
Purpose:

Approval of Regional Housing Authority Tenant Commissioner Appointment.

Background:

Per the Agreement with the Regional Housing Authority of Sutter and Nevada Counties, each Governing Body shall jointly appoint a Tennant Commissioner, per Section 34246.5 of the California Health & Safety Code. At their meeting on April 6, 2022, the Regional Housing authority approved the recommendation to reappoint Suzanne Gallaty as the Tenant Commissioner on the Board of Commissioners.

Analysis:

A request for approval of the recommended appointment to the Board of Directors has been received from the Regional Housing Authority for the Tenant Commissioner. This recommendation is compliant with the Agreement creating the Regional Housing Authority of Sutter and Nevada Counties. Each Governing Body also appoints two commissioners: the City of Yuba City citizen representative is Anthony Kurlan, was appointed by the City Council on September 15, 2020 and the City Council representative is Councilmember Boomgaarden.

Fiscal Impact:

None.

Alternatives:

Do not approve and request that the Regional Housing Authority recruit for an alternative

commissioner.

Recommendation:

Approve the re-appointment of Suzanne Gallaty as the Tenant Commissioner to the Regional Authority of Sutter and Nevada Counties Board of Commissioners.

Attachments:

1. Letter from Regional Housing Authority - Suzanne Gallaty Prepared By: Submitted By:

Ciara Wakefield
City Clerk Administrator
Diana Langley
City Manager

ATTACHMENT 1

Agenda Item 21

CITY OF YUBA CITY

STAFF REPORT
Date: May 17, 2022
To: Honorable Mayor & Members of the City Council
From: Administration Department
Presentation By: George Barlow, Management Analyst
Summary
Subject: Community Sponsorship Request
Recommendation: A. Adopt a Resolution to approve a monetary Sponsorship request from the Downtown Business Association of $10,500.00 for the sponsorship of the 2022 Summer Stroll
B. Approve an In-Kind sponsorship request from the Downtown Business Association of $1,900.00 for Public Works Services
C. Authorize the Finance Director to record a supplemental appropriation in the amount of $6,000.00 from Account No. 4120-66020 - Tourism Fiscal Impact: $10,500 Monetary sponsorship total, and $1,900.00 In-kind sponsorship. $6,000.00 - Account No. 4120-66020 (Tourism), $4,500.00 - Account No. 4220- 66004 (DBA Strolls)
Council's Strategic Goal:

The overarching strategic goal of "Quality of Life."
Purpose:

City sponsorships reflect support of specific programs or events by an organization. The intent is that the public will receive some intrinsic cultural, economic, educational, or entertainment value from the program or event.

Background:

On January 18, 2022, Council adopted an Amended Community Sponsorship Policy which specifies the following factors that will be considered during the approval process:
 All monetary sponsorship requests will be approved by the City Council at a public meeting.  Resources available (e.g., budget, staff, workload capacity, etc.)  Compatibility with the strategic goals of the City Council and the mission of Yuba City.  Impact of an event on City Facilities.

 Risk to the City.
 The ability of the organization to obtain liability insurance naming the City as an additional insured.
 The overall benefit to the community.

Downtown Business Association
The Downtown Business Association’s Business Improvement District (BID) is crucial to the economic survival of the downtown merchants, especially as our economy continues to improve after the effects of COVID. The assessment district’s funds market the downtown, whereas some individual merchants would not be able to market on their own.

The DBA is currently managing the marketing efforts for downtown and will continue to do so for the district. Revenue from the assessments levied in the BID is used to fund improvements and activities to promote the District. The types of activities to be funded include the promotion of public events; the promotion of tourism, and activities that benefit businesses located and operating in the BID.

Analysis:

Downtown Business Association (DBA) Plumas Street Strolls are one-of-a-kind events for our City and a way to bring our community together. The Strolls showcase local businesses and promote the products they sell. The Downtown Strolls provide an opportunity to showcase our Historic Downtown District.

During the FY21/22 Budget Process, the DBA submitted a sponsorship request for $21,000 for the 2021 Christmas Stroll and the 2022 Summer Stroll. After the approval of the FY21/22 Budget, the DBA Stroll budget line item was approved for funding in the amount of $15,000. In November 2021, the City Manager approved an additional $3,000.00 for the total requested amount of $10,500 for the 2021 Christmas Stroll. The remaining balance in Account 4220-66004 of $4,500 for the 2022 Summer Stroll is $6,000 short of the needed funding of $10,500 for the Summer Stroll.

Account Number Description Funding Available
4220-66004 DBA Strolls

$4,500.00
4220-66010 Community Contributions

$0
4220-66015 Community Events

$0
Fiscal Impact: $10,500 Monetary sponsorship, and $1,900.00 In-kind sponsorship. $6,000.00 - Account No. 4120-66020 (Tourism), $4,500.00 - Account No. 4220-66004 (DBA Strolls) Recommendation:

A. Adopt a Resolution to approve a monetary Sponsorship request from the Downtown Business Association of $10,500.00 for the sponsorship of the 2022 Summer Stroll B. Approve an In-Kind sponsorship request from the Downtown Business Association of $1,900.00 for Public Works Services.

C. Authorize the Finance Director to record a supplemental appropriation in the amount of $6,000.00 from Account No. 4120-66020 - Tourism

Attachments:

1. RESOLUTION - Community Sponsorship Request (DBA)

2. 2022 Summer Stroll Sponsorship Request (DBA)
Prepared By: Submitted By:

George Barlow
Management Analyst
Diana Langley
City Manager

ATTACHMENT 1

RESOLUTION NO._______

RESOLUTION OF THE CITY COUNCIL OF THE CITY OF YUBA CITY APPROVING

COMMUNITY SPONSORSHIP REQUEST FOR, DOWNTOWN BUSINESS ASSOCIATION WHEREAS, The Downtown Business Association, a 501(c)(3) non-profit organization, is requesting community sponsorship funds for the 2022 Summer Stroll; and, WHEREAS, the City Council of the City of Yuba City (“City Council”) finds that the listed are nonprofit organizations with financial hardships that serves an important public purpose to the community insofar as the public will receive some intrinsic cultural, economic, educational, or entertainment value from the program; and
NOW, THEREFORE, the City Council of the City of Yuba City does hereby resolve as follows:

Section 1. That the City Council finds the above recitals true and correct.

Section 2. The City Council finds that the Downtown Business Association 2022 Summer Stroll Community Sponsorship request meets the criteria for consideration of such request because the applicant is a nonprofit with financial hardships that services an important public purpose, and according approves the sponsorship request of $10,500.00 for the Downtown Business Association 2022 Summer Stroll. $4,500 from Account No. 4220-66004 (DBA Strolls).

Section 3. The City Council approves a supplemental appropriation in the amount of $6,000.00 from Account No. 4120-66020 (Tourism).

Section 4. If any section, subsection, sentence, clause, phrase, or portion of this Resolution, or the application thereof to any person or circumstances, is, for any reason, held invalid or unconstitutional by any court of competent jurisdiction, such invalidity or unconstitutional section, subsection, sentence, clause, phrase of this Resolution are declared to be severable.

The City Council hereby declares that it would have adopted this Resolution and each section, subsection, sentence, clause, phrase, part or portion thereof, irrespective of the fact that any one or more sections, subsections, sentences, clauses, phrases, parts or portions thereof be declared invalid or unconstitutional.

Section 5. This Resolution shall take effect immediately and that the Deputy City Clerk shall certify the adoption of this Resolution.

The foregoing Resolution of the City Council of the City of Yuba City is duly introduced, PASSED AND ADOPTED at a regular meeting thereof held on this 17th day of May, 2022 by the following vote:

AYES:

NOES:

ABSENT:
____________________________

Dave Shaw, Mayor
ATTEST:
_____________________________
Ciara Wakefield, Deputy City Clerk

APPROVED AS TO FORM

COUNSEL FOR YUBA CITY
___________________________
Shannon L. Chaffin, City Attorney

ATTACHMENT 2

COMMUNITY SPONSORSHIP APPLICATION FORM

SECTION I
Name of Organization Non-Profit ID/ 501 C#
Address City/State/Zip
Contact Person Phone Email
Organization Purpose/Mission
Type of Organization:
 Non-Profit (located and/or primarily serves residents within the City of Yuba City  Educational Institution
 Local business (located within City of Yuba City city limits)

SECTION II
Type of Event:
 Local Celebration  Athletic  Cultural  Educational  Fundraiser  Entertainment  Other
Event Name
Event Location
Event Date/Time
Expected Number of Participants
Open to the Public?  Yes  No

SECTION III
Type of Sponsorship Requested:
 In-kind services: All the necessary arrangements must be made well in advance (such as parade permits, road closures, staffing, equipment availability, etc.). In-kind service sponsorship is considered independently from event arrangements. Amount requested: $ ____________ Services requested: ___________________________________________________________ ____________________________________________________________________________  Monetary Sponsorship: Amount requested $_______________

Please explain how your event meets one or more of the sponsorship criteria below (attach a separate page if needed):
• Boosts the local Yuba City economy:
• Provides an opportunity to help build community, foster a sense of pride within our community, and engage our community:
• Contributes positively to the recognition and image of the City of Yuba City:

SECTION IV:
 I understand that if the City agrees to sponsor the event, I will acknowledge the sponsorship on all printed information or advertising related to the event using a message approved by the City and provide any written marketing material to the City prior to distribution of event materials.  I understand that if the City agrees to sponsor the event, appropriate ADA accessibility will be provided.
 I understand that sponsorship is optional and the City can deny this sponsorship application.

Signature of Applicant Date
Print Name of Applicant
SECTION V (City Administration Use Only)
 Approved  Denied
Signature: ______________________________________Mayor Date:_________________ Amount: $_______________________ Notes: _____________________________________

Agenda Item 22

CITY OF YUBA CITY

STAFF REPORT
Date: May 17, 2022
To: Honorable Mayor & Members of the City Council
From: Finance/IT Department
Presentation By: Spencer Morrison, Finance Director
Summary
Subject: Certifying Need for CalPERS 180-Day Wait Period Exception for Lynn Haile to be appointed as– Extra Help Accounting Manager
Recommendation: Adopt a Resolution
A. Certifying the need for exception of the CalPERS 180-day wait period for Lynn Haile to be appointed as Extra Help-Accounting Manager
B. Approving the employment agreement and appointing Lynn Haile as provided in the Resolution following approval by CalPERS
Fiscal Impact: Anticipating a cost of $50,000 from the Finance Division budget using a combination of salary savings and funds requested in the FY 2022-23 Operating Budget.

Purpose:

To approve a resolution certifying the need for a limited term extra help employment agreement necessary to permit Lynn Haile’s employment as a retired annuitant from the generally-required CalPERS 180-day wait period.

Council’s Strategic Goal:

Fiscal Responsibility
Background
Over the last few months, Finance has experienced significant turnover. The City recently assessed the Finance Department’s structure as well as the pay for accounting office positions to address recruitment and retention issues. The Finance Department has not been able to build the bench for seamless succession in key positions, and soon, long-term employee, Lynn Haile, Accounting Manager, is retiring in mid-June. The City has recruited for and hired her successor, but that person will need training to become familiar with imminent and critical City processes relating to completing our

budget process and our annual audit.

CalPERS' typical requirements for employment of retired annuitants, who are of normal age on their retirement date, is a 180-day wait period before the annuitant can be employed as an annuitant. One of the exceptions to the 180-day wait period is an employer resolution certification of critical need to appoint the annuitant in less than 180 days following retirement. The governing board of the public agency then presents CalPERS with a resolution, passed in a public meeting that makes such certification and approves the appointment. Additionally, the resolution must not be placed on the consent calendar and must include a copy of the retiree’s employment agreement.

Analysis
In order to provide new employee training and generally assist the new Accounting Manager (and other Finance employees) with budget and audit functions, the Finance Department has prepared the required CalPERS resolution and retired annuitant employment agreement for Mrs. Haile to be appointed as temporary, limited term Extra Help- Accounting Manager in early July. If these CalPERS required documents are approved by City Council, Staff will submit them to CalPERS prior to Mrs. Haile beginning work as a retired annuitant with the City in this limited term, extra-help capacity.

Fiscal Impact:

Anticipating a cost of $50,000 from the Finance Division budget using a combination of salary savings and funds requested in the FY 2022-23 Operating Budget.

Alternatives:

1. Do not approve the CalPERS 180-day wait period exception resolution.

2. Provide City staff direction.

Recommendation:

Adopt a Resolution
A. Certifying the need for exception of the CalPERS 180-day wait period for Lynn Haile to be appointed as Extra Help-Accounting Manager.

B. Approving the employment agreement and appointing Lynn Haile as provided in the Resolution following approval by CalPERS.

Attachments:

1. CalPERS Resolution

2. Lynn Haile Temporary Limited-Term Extra Help Employment Agreement Prepared By: Submitted By:

Natalie Springer
Human Resources Director
Diana Langley
City Manager

ATTACHMENT 1

RESOLUTION NO. ____

RESOLUTION OF THE CITY COUNCIL OF THE CITY OF YUBA CITY APPROVING THE EXCEPTION OF THE CALPERS 180-DAY WAIT PERIOD FOR

CALPERS ANNUITANT
WHEREAS, in compliance with Government (Gov.) Code section 7522.56 of the Public Employees’ Retirement Law, the City Council of the City of Yuba City must provide CalPERS this certification resolution when hiring a retiree before 180 days has passed since their retirement date; and
WHEREAS, Lynn Haile, “Haile” (CalPERS ID 6185747822) is retiring from the City of Yuba City in the position of Accounting Manager effective (CalPERS retirement date June 18, 2022); and
WHEREAS, Gov. Code Section 7522.56 requires that post-retirement employment commence no earlier than 180 days after the retirement date, which (date of 181st day after retirement) without this certification; and
WHEREAS, Gov. Code Section 7522.56 provides that this exception to the 180-day wait period shall not apply if the retiree accepts any retirement-related incentive; and WHEREAS, the City Council, the City of Yuba City and Haile certify that Haile has not and will not receive a Golden Handshake or any other retirement-related incentive; and WHEREAS, the City Council hereby appoints Haile as an extra help retired annuitant to perform the duties of the Extra Help - Accounting Manager for the City of Yuba City under Gov. Code section 21224 effective July 2, 2022 or as soon thereafter as the City receives CalPERS approval; and
WHEREAS, the entire employment agreement, contract or appointment document between Haile and the City of Yuba City has been reviewed by this body and is attached herein; and
WHEREAS, no matters, issues, terms or conditions related to this employment and appointment have been or will be placed on a consent calendar; and WHEREAS, the employment shall be limited to 960 hours per fiscal year for all CalPERS employers; and
WHEREAS, the compensation paid to retirees cannot be less than the minimum nor exceed the maximum monthly base salary paid to other employees performing comparable duties, divided by 173.333 to equal the hourly rate; and WHEREAS, the compensation paid to retirees cannot be less than the minimum nor exceed the maximum monthly base salary paid to other employees performing comparable duties, divided by 173.333 to equal the hourly rate; and

WHEREAS, the maximum base salary for this position is $10,882 and the hourly equivalent is $62.78, and the minimum base salary for this position is $8,952 and the hourly equivalent is $51.65; and
WHEREAS, the hourly rate paid to Haile will be $62.78; and WHEREAS, Haile has not and will not receive any other benefit, incentive, compensation in lieu of benefit or other form of compensation in addition this hourly pay rate; and THEREFORE, BE IT RESOLVED THAT the City Council hereby certifies the nature of the appointment of Haile as described herein and detailed in the attached employment agreement/contract/ appointment document and that this appointment is necessary to fill the critically needed position of Extra-Help Accounting Manager for the City of Yuba City by July 2, 2022, or as soon thereafter as possible, because of Haile’s specific expertise in Yuba City’s budget and audit processes. Yuba City’s Finance Department has hired a new Accounting Manager as Haile’s successor, and Haile will train her successor and new Finance staff during a critical timeframe involving the City’s budget and audit activities.

The foregoing Resolution of the City Council of the City of Yuba City was duly introduced, passed and adopted at a regular meeting thereof held on the 17th day of May, 2022.

AYES:

NOES:

ABSENT:
_______________________
Dave Shaw, Mayor
Attest:
___________________________
Ciara Wakefield, Deputy City Clerk
Approved as to form:
________________________
Stacey Sheston
BB&K, Special Counsel

-1-
ATTACHMENT 2

-2-

AGREEMENT FOR TEMPORARY
LIMITED-TERM “EXTRA-HELP” EMPLOYMENT

EXTRA HELP-ACCOUNTING MANAGER
THIS Agreement for temporary, limited term “extra help” employment is by and between the City of Yuba City (“City”) and Lynn Haile (“Employee”) (collectively the “Parties”). It is effective on the latest date of signature below.

WHEREAS, the City has a critical need for an employee to provide needed specialized skills related to training the new Accounting Manager and other new Finance team members in, and assisting them with, necessary public services in the area of Yuba City-specific budget and audit preparation processes;
WHEREAS, Employee possesses the necessary specialized skills, and is competent and qualified to perform the services required by this Agreement; and WHEREAS, this Agreement is in accordance with California Government Code Section 21224.

NOW THEREFORE, in consideration of the mutual covenants contain herein, the Parties agree as follows:

1. Scope of Services: Pursuant to this Agreement, Employee shall temporarily perform critically needed specialized skills related to training the Accounting Manager and new Finance team members in budget and audit preparation as set forth in Exhibit A. Employee shall perform said duties under the direct supervision of the Finance Director. Employee represents that Employee is properly trained and certified to perform the duties required under this Agreement. Employee further represents that Employee will maintain, at Employee’s expense and on Employee’s own time, all required licenses and certification as a condition of this part-time employment.

2. Time of Performance: The services of Employee shall commence on July 2, 2022, and shall continue until June 30, 2023 unless terminated sooner by either Party.

3. Compensation: Employee shall be compensated as follows:
(a) Hourly Rate of Pay: Employee shall be paid at the rate of $62.78 per hour (the “Hourly Rate”). The City has determined that this hourly rate is neither less than the minimum, nor more than the maximum, hourly rate paid to other employees performing comparable duties. Payments will be made on regularly scheduled

-3-
City payroll dates. Employee will be responsible for keeping track of Employee’s hours worked on a biweekly time sheet form, provided by the City and submitted to the City Manager or designee for approval and payroll purposes. Employee understands and agrees that Employee is not, and will not be, eligible to receive any compensation other than this specified hourly rate of pay. (b) Hours per Week: This employment is for part-time work and, generally, will not exceed 40 hours per week. The City will assign Employee specific hours to work, and under no circumstances may Employee work in excess of 40 hours per week without the express prior permission of the Finance Director.
(c) Payment for Work Done in Excess of 40 Hours Per Week: The temporary position under this Agreement is not exempt from FLSA overtime pay requirements. The Employee shall be paid at one and one-half times the regular rate of pay for any time worked in excess of 40 hours per week.
(d) Work less than 960 hours per year: Employee is allowed to work a cumulative maximum of 960 hours per fiscal year for any CaPERS agencies. Provided that Employee has not exceeded this
maximum annual amount, it is anticipated that Employee will be assigned approximately 20 to 80 hours per month, although this may change with operational needs. The City retains the right to reduce, change, or amend the number of hours worked consistent with the City’s workload and other needs. If Employee’s annual hours are approaching 960, then the City retains the right to summarily suspend Employee’s duties under this Agreement and to reassign any scheduled hours, as needed, to ensure that Employee does not exceed the maximum hours allowed by this Agreement.

4. Employment Status as Fixed-Term/”Extra-Help” Employee: The parties agree that Employee has specialized skills needed in performing work of limited duration. In the performance of the work and services agreed to be performed, Employee is not filling a vacant, regular position with City, but rather Employee shall act as and be a temporary, fixed-term/ “Extra-Help” employee to address a special need and circumstance.
(a) Time of Retirement. Employee retired effective June 18, 2022 in the CalPERS system. Because she possesses critical skills necessary to support the continuation of Accounting Manager functions in the Finance Department (in particular, budget- and audit-related skills and knowledge), the City Council has certified the need for Employee’s appointment before 180 days has passed following her retirement.

-4-
(b) Benefits: Employee understands and agrees that Employee is not, and will not be, eligible to receive any benefits from the City, including any City group plan for hospital, surgical, or medical insurance, any City retirement program, or any paid holidays, vacation, sick leave, or other leave, with or without pay, or any other job benefits available to an employee in the regular service of the City, except for Worker’s Compensation Insurance coverage and as otherwise required by law. City will enroll Employee in CalPERS solely for administrative recordkeeping purposes (Employee will remain in retired status) and will report both Employee’s hours and pay pursuant to this Agreement.
(c) No Membership in Bargaining Unit: Employee understands that Employee is not a member of any bargaining unit and is not covered by the terms of any Memorandum of Understanding with any represented or unrepresented group of City employees. (d) No Property Right in Employment: Employee understands and agrees that the terms of this employment are governed only by this Agreement and that no right of regular employment for any specific term is created by this Agreement. Employee further understands that Employee acquires no property interest in this employment by virtue of this Agreement, that the employment is “at will” as defined by the laws of the State of California (meaning that Employee can be terminated at any time for any reason or for no reason), and that Employee is not entitled to any pre- or post-deprivation administrative hearing or other due process upon termination or any disciplinary action.
(e) Employment of a Retiree: Employee understands that CalPERS retired annuitants may be employed by a CalPERS public agency employer, by temporary appointment for a limited duration to a position not to exceed 960 hours in any fiscal year for all such employers; either (1) during an emergency to prevent stoppage of public business or (2) because the retired employee has skills needed in performing the work of limited duration. In the event Employee is providing service to any other CalPERS public agency employer during the term of this Agreement, Employee must immediately notify the City of such other CalPERS
agency employment and disclose on a periodic basis the
number of hours Employee is performing for that other public agency to ensure that the maximum number of hours is not exceeded. Employee expressly agrees that Employee shall be solely responsible for any costs or liabilities of either party resulting from Employee’s failure to disclose such other CalPERS agency employment and shall indemnify and hold City harmless from any such costs and liabilities.

-5-
(f) No Recent Unemployment Payments to Retiree. Retiree specifically warrants and represents that Employee has not received unemployment insurance payments in the prior 12-month period arising from work performed as a retiree for any public employer.

5. Termination: Either Party may terminate this Agreement without cause upon written notice.

6. Ownership of Work: All documents furnished to Employee by the City and all reports and supportive data prepared by Employee under this Agreement are City property and shall be given to City at the completion of Employee’s services.

7. Notices: Any notice given under this Agreement shall be in writing and deemed given when personally delivered or deposited in the mail (certified or registered) addressed to the Parties as follows:

CITY
City Manager
City of Yuba City
1201 Civic Center Blvd.

Yuba City, CA 95993

EMPLOYEE
Lynn Haile
9917 State Highway 70
Marysville, CA 95901

8. Non-Assignment of Agreement: This Agreement is intended to secure the individual services of the Employee and is not assignable or transferable by Employee to any third party.

9. Governing Law/Venue: This Agreement shall be interpreted according to the laws of the State of California. Venue for any action or proceeding regarding this contract shall be in Sutter County.

10. Enforceability: If any term, covenant, condition, or provision of this Agreement is held by a court of competent jurisdiction to be invalid, void, or unenforceable, the remainder of the provisions hereof shall remain in full force and effect and shall in no way be affected, impaired or invalidated thereby.

11. Conflict of Interest: Employee agrees that during the term of this Agreement, Employee will not maintain any financial interest or engage in any other contract employment, occupation, work, endeavor or association, whether compensated for or not, that would in any way conflict with, or impair Employee’s ability to perform the duties described in this Agreement. Any work performed for the City outside the terms of this Agreement must be approved in advance in

-6-
writing by the City Manager. Employee agrees to disclose whether Employee is performing work for any other CalPERS public agency employer as required by this Agreement.

12. Entire Agreement and Modification: This Agreement constitutes the entire understanding of the Parties hereto. This Agreement supersedes any previous contracts, agreements, negotiations or understandings, whether written or oral, between the Parties. Employee shall be entitled to no other compensation or benefits than those specified herein, and Employee acknowledges that no representation, inducements or promises not contained in this Agreement have been made to Employee to induce Employee to enter into this Agreement. No changes, amendments, or alterations hereto shall be effective unless in writing and signed by both Parties. Employee understands that no oral modification of this Agreement made by any officer, agent, or employee of the City is effective.

Employee specifically acknowledges that in entering into and executing this Agreement, Employee relies solely upon the provisions contained herein and no others.

13. Support Services and Equipment: Employee shall be provided work space and the necessary tools and equipment during assigned working hours, sufficient to fulfill obligations under this Agreement, as determined by the City Manager, at no cost to Employee.

14. Reimbursement for Necessary and Approved Work Expenses: Employee shall be reimbursed by City in accordance with applicable law and standard City policy for all properly pre-authorized and necessary travel or other expenditures undertaken by Employee in performance of services pursuant to this Agreement.

Employee shall document and claim said reimbursement in the manner and forms required by the City. Other than as specifically provided herein, Employee shall receive no other compensation or reimbursements for expenses incurred in performance of this Agreement.

-7-
IN WITNESS WHEREOF, the Parties have caused this Agreement to be executed as of the date first written above.

CITY OF YUBA CITY:

By: __________________________
Diana Langley
City Manager

EMPLOYEE
By: __________________________________
Lynn Haile

-8-

EXHIBIT A
The temporary, limited term employment under this Agreement is for performance of the following duties and scope of work:

1. Training the Accounting Manager and other new Finance team members on and assisting them in budget preparation.

2. Training the Accounting Manager and other new Finance team members on and assisting them annual audit preparation.

Agenda Item 23

CITY OF YUBA CITY

STAFF REPORT
Date: May 17, 2022
To: Honorable Mayor & Members of the City Council
From: Finance/IT Department
Presentation By: Spencer Morrison, Finance Director
Summary
Subject: Two (2) Dump Truck Chassis and (1) Aerial Tree Truck Award Recommendation: A. Adopt a Resolution awarding the purchase of two (2) 10-yard dump trucks to PB Loader, of Fresno, CA, in the amount of $360,933.92 plus a 10% contingency of $33,119.08, and one (1) aerial tree truck to Terex Utilities, Inc., of Watertown, SD, in the amount of $250,504.90 plus a 10% contingency of $23,357.10, all using Sourcewell contract pricing quotes and utilizing Section 9.8 of the Purchasing Policy finding it is in the best interest of the City

B. Appropriate $517,463.80 for the above purchases in the Vehicle Replacement Fund
Fiscal Impact: $517,463.80 Vehicle Replacement Fund Account 6610-69410 Purpose:

Purchase of replacement trucks for the Water Distribution, Sewer Collection, and Parks Maintenance divisions.

Council's Strategic Goal:

This staff report addresses the City Council’s Strategic Goal of fiscal responsibility.

Background:

The California Clean Air Regulations are state air quality laws that have created an end-of-life situation for several City vehicles with diesel powerplants. Staff has struggled finding available chassis in recent years due to various supply chain issues and has located a dump truck chassis that satisfies the 10- yard dump truck purchase authorization granted by City Council on August 17, 2021, and chassis for two additional vehicle replacements slated for the current fiscal year: another 10-yard dump truck for the Water Distribution division and an Aerial Tree Truck for the Parks Maintenance division. The Resolution adopted on August 17th authorized the lease financing of one 10-yard dump truck in the amount of $150,451.20, among other vehicles.

Analysis:

Once funding for a 10-yard dump truck was secured at the August 17th council meeting, staff worked with the approved vendor, PB Loader to find a chassis. In late April, Public Works staff received notice that two chassis are available and this request is an attempt to purchase both chassis: one approved and a second in anticipation of a second dump truck becoming out of compliance. The price of these chassis has increased by nearly $30,000 from the amount City Council approved, $150,451.20, and requires additional appropriation. Public Works staff has secured Sourcewell cooperative contract pricing and will use Section 9.8 of the City’s Purchasing Policy to accept the quote.

An aerial tree truck was approved in the FY 2020-21 capital acquisitions budget. After much discussion about budget, leasing versus buying, and supply-chain related price increases, staff recommends purchasing this aerial truck using funds saved in the Vehicle Replacement Fund for this vehicle, $253,000.

Fiscal Impact:

A total of $517,463.80 will be purchased using the Vehicle Replacement Fund account, 6610-69410.

Recommendation:

A. Adopt a Resolution awarding the purchase of two (2) 10-yard dump trucks to PB Loader, of Fresno, CA, in the amount of $360,933.92 plus a 10% contingency of $33,119.08, and one (1) aerial tree truck to Terex Utilities, Inc., of Watertown, SD, in the amount of $250,504.90 plus a 10% contingency of $23,357.10, all using Sourcewell contract pricing quotes and utilizing Section 9.8 of the Purchasing Policy finding it is in the best interest of the City.

B. Appropriate $517,463.80 for the above purchases in the Vehicle Replacement Fund.

Alternatives:

1. Reject all Sourcewell pricing

2. Request a formal bid process

3. Do not authorize purchases
Attachments:

1. Resolution

2. Quote - 10-Yard Dump Truck

3. Quote - Aerial Tree Truck
Prepared By: Submitted By:

Spencer Morrison
Finance Director
Diana Langley
City Manager

Agenda Item
ATTACHMENT 1

RESOLUTION NO. ___

RESOLUTION OF THE CITY COUNCIL OF THE CITY OF YUBA CITY AWARDING THE PURCHASE OF TWO (2) 10-YARD DUMP TRUCKS AND ONE (1) AERIAL TREE TRUCK
WHEREAS, the California Clean Air Regulations require certain diesel-powered vehicles in Yuba City’s fleet to be replaced by January, 2023; and
WHEREAS, the City’s Fleet Maintenance staff has identified vehicles to be replaced per the regulations or due to vehicles’ ages and maintenance records, including two (2) 10-yard dump trucks and an aerial tree truck; and
WHEREAS, the City has been unsuccessful in obtaining one of the above-mentioned 10-yard dump trucks authorized by City Council at the August 17, 2021, meeting and pricing for that vehicle have increased by $30,000 due to increased manufacturing costs, and; WHEREAS, City staff has found heavy-duty chassis suitable for assembling the three trucks and has elected to utilize Section 9.8, the piggyback clause, in the City’s Purchasing Policy to streamline the purchasing process in order to control costs and finding that it is in the best interest of the city; and
WHEREAS, the City has elected to use Sourcewell, a government cooperative purchasing source that provides access competitively sourced contracts; and WHEREAS, heavy duty trucks are difficult to obtain in 2022 and decision delays are fraught with steel surcharges, supply chain woes, and other factors that are increasing prices every three to six months; and
WHEREAS, City staff recommends awarding the purchase of two (2) 10-yard dump trucks to PB Loader Corporation of Fresno, CA, a Sourcewell pricing supplier; and WHEREAS, City staff recommends awarding the purchase of one (1) aerial tree truck to Terex Utilities of Watertown, SD, a Sourcewell pricing supplier; and NOW, THEREFORE, the City Council of the City of Yuba City does resolve as follows:

1. The City Council of Yuba City finds that Sourcewell provided contracts at a fair and reasonable cost. The City Council hereby authorizes the City Manager to purchase the two 10-yard dump trucks and one aerial tree truck, allowing for a 10% contingency for unforeseen price increases or surcharges, utilizing $517,463.80 from the Vehicle Replacement Fund, 6610-69410, without additional written consent from the City, subject to approval as to legal form by the City Attorney.

2. This Resolution shall take effect immediately.

The foregoing Resolution was duly and regularly introduced, passed, and adopted by the City Council of the City of Yuba City at a regular meeting thereof held on the 17th day of May, 2022.

AYES:

NOES:

ABSENT:

Dave Shaw, Mayor
ATTEST:

Ciara Wakefield, Deputy City Clerk
APPROVED AS TO FORM:

COUNSEL FOR YUBA CITY:

Shannon Chaffin, City Attorney
Aleshire & Wynder, LLP

ATTACHMENT 2

PB Loader Corporation
5778 W. Barstow • Fresno, California 93722-5024 • Telephone (559) 277-7370 • Fax (559) 277-7375 Toll free 800-350-8521 • Web www.pbloader.com

QUOTATION
CITY OF YUBA CITY DATE: 4/26/2022
1201 CIVIC CENTER BLVD TERMS: NET 30
YUBA CITY, CA 95993-3097 F.O.B: FRESNO
SOURCWELL MEMBER ID# 84769 MFG PRODUCT: SEE BELOW
INSTALL: SEE BELOW
QTY PART NO. DESCRIPTION PRICE EXTENSION
PB LOADER CONTRACT NO. 080521-PBL

SOURCEWELL CONTRACT - DISCOUNTED PRICES

MARKET PRICE SUPPORT BODY & ACCESSORIES
1 PBLDB-10 $36,696.00
1 50502-00 PULL TARP 16' -MANUAL ASPHALT TYPE W/ ROPE HOOKS (4-PER SIDE) $2,867.00 1 MODS-32 SIDE FLAPS FOR PULL TARP $346.00
2 695-058 WHELEN 500 SERIES STROBE (LED) - MOUNTED FACING REAR $477.00 $954.00 2 695-240 WHELEN LED MICRONS MCRNSA - MOUNTED IN GRILLE $608.00 $1,216.00 1 8200-00 HITCH PLATE W/ D-RINGS W/ 7 WIRE ROUND PIN SOCKET $1,385.00 1 7050-40 45 TON PINTLE HITCH (PREMIER 270A) - MOUNTED 24-26" FROM GROUND $936.00

WITH AIR BRAKE ATTACHEMENT

MARKET PRICE ACCESSORIES/ UPGRADES
1 $12,685.00
1 SURCH9.0 CURRENT 9% STEEL SURCHARGE FOR SUPPORT BODY $3,303.00

MARKET PRICE CHASSIS
1 $105,508.00
TOTAL: $165,896.00
SALES TAX (7.25%): $12,027.46
FREIGHT: $2,500.00
CA TIRE RECYLING FEE: $10.50
CA LICENSE FEE $33.00
TOTAL NET PRICE FOR ONE (1) UNIT, TAX & FREIGHT INCLUDED: $180,466.96 TOTAL NET PRICE FOR TWO (2) UNITS: $360,933.92
$21,074.00
NOTES:

Delivery times are approximate.

ADD FOR CHANGES TO BODY ABOVE:
10 YD CAPACITY, 32" SIDES, 40" FRONT AND 40" REAR**
FLOOR MATERIAL 1/4" AR450

DOUBLE WALL SIDES
HIGH LIFT TAILGATE (**IN LIEU OF STANDARD TAILGATE, INCREASES TAILGATE HEIGHT TO 40")
TWO (2) DITCH GATES EITHER SIDE OF TAILGATE
FOUR (4) PULL-OUT LADDERS WITH GRAB HANDLES, TWO MOUNTED DRIVER SIDE,

TWO MOUNTED PASSENGER SIDE

SIDE GUIDE ARMS FOR PULL TARP (BENT FOR SIDE ACCESS)
SET OF TWO (2) STEEL TAILGATE SAFETY LATCHES

GLAD HANDS MNT AT HITCH PLATE

BODY PAINTED WHITE IN LIEU OF BLACK
NO. 11391R
PB LOADER SUPPORT BODY, 15 FT 12-14 YARD, HPT53-130 CLASS 80 NTEA HOIST, 3/16" STEEL FLOOR AND TAILGATE, 10 GAUGE STEEL BALANCE, 38" SIDES, 54" FRONT AND 46" REAR, 12" SPREADER APRON, 1/4 CABSHIELD, LED LIGHTS, WIRING

HARNESS & BACKUP ALARM, PUMP, CONTROLS, TANK, VALVE, MUD FLAPS, STEEL

MUDGUARDS, HOT SHIFT PTO, AIR TAILGATE, PAINT BLACK, INSTALLATION

1. LEAD TIME FOR BODY PRODUCTION IS 120 DAYS, WITH AN ADDITIONAL 120-150 DAYS TO INSTALL AFTER RECIEPT OF CHASSIS AND BODY. LEAD TIME SUBJECT TO CHANGE AFTER RECEIPT TO ORDER.

2. PURCHASE ORDER MUST BE MADE OUT TO PB LOADER CORPORATION.

3. 2023 STEEL SURCHARGE WILL BE WAIVED IF ORDER IS PAID IN FULL UPON COMPLETION OF BODY AT FACTORY, BEFORE INSTALLATION ON CHASSIS. DUE TO MARKET CONDITIONS 2023 STEEL SURCHARGE IS SUBJECT TO CHANGE AT ANY TIME
2023 FREIGHTLINER M2106 CONVENTIONAL CAB CHASSIS WITH CUMMINS L9 300 HP @ 2200 RPM DIESEL ENGINE, ALLISON 3000 RDS AUTOMATIC TRANSMISSION WITH PTO PROVISION, 40,000 LB. TANDEM REAR AXLE SUSPENSION, 12,000 LB. SINGLE FRONT AXLE SUSPENSION, 50-GAL. ALUMINUM FUEL TANK, CONTINENTAL HSC3 11R22.5 16 PLY RADIAL TIRES, MAXION WHEELS 90260 STEEL WHEELS, CAB

PAINTED WHITE
BUDGETARY 2023 STEEL SURCHARGE PER CHASSIS ARRIVES AFTER 12/31/22:

ATTACHMENT 3

Sourcewell 2022 Pricing 110421‐TER
Date: 5/2/2022 Revision #9
Quote Number: QU16043 Unit: XTPRO 56

CITY OF YUBA CITY
1185 MARKET STREET
YUBA CITY, CA 95991
(530)822‐4772
Attention: TONY JAYNE
Unit, Body & Install Price: $150,156
Chassis: $83,415
Grand Total Each: $233,571
Notes:
1) Delivery Terms are: CPT Destination
2) Terms: Net 30 days
3) Delivery days from receipt of order shall be       360 + Terex Utilities Inc. Accepted By:
____________________________________
Steve Fedt
Sales Coordinator PO Number: _________________________
Matthew Mayer Quantity: ___________________________
Account Manager
Grand Total:_________________________
Date:_______________________________

CUSTOMER ORDER ACKNOWLEDGEMENT
Terex Utilities, Inc.  ‐  3140  15th Avenue SE ‐ Watertown, SD 57201 ‐ Phone: 605‐882‐4000 Buyer hereby agrees to purchase the products in this quotation, subject to acceptance by Seller. Buyer has read and agrees to Seller's Terms and Conditions of Sale.

Prices are subject to change until shipment. Applicable taxes and surcharges will be added. Taxes, shipping & handling and lead times are estimates and subject to change. Quoted prices are based on total quoted package and subject to change if all items not purchased. All prices quoted are in U.S. dollars unless otherwise specified. Payment by cash or certified check only. Chassis payment is due upon chassis receipt at our facility. Quote withdrawn after 30 days.

Please ensure the accuracy of the specifications and drawings you provide. Changes made after receipt of order may incur additional charges. If you are trading equipment in, you warrant that: You have good title to the trade-in; it is free of all liens and encumbrances; all information you have provided related to the trade-in is true and correct.

Terex purchased chassis through Terex preferred International Dealer will include at no additional cost a special tow package for 12 months/unlimited mileage to nearest International Dealership for a warrantable failure. Coverage limited to $550 per incident. Roadside assistance call 1-800-448-7825
Terex purchased chassis through Terex preferred Freightliner Dealer will include at no additional cost a special tow package for 12 months/unlimited mileage/KM extended towing coverage $550 cap FEX applies. Roadside assistance call 1-800-FTL-HELP

2 - Terex Utilities, Inc. Terms and Conditions of Sale, U.S. and Canada (except Quebec), Rev. 15 March 2021

TERMS AND CONDITIONS OF SALE
TEREX SOUTH DAKOTA, INC./TEREX UTILITIES, INC.

U.S. and CANADA (except Quebec)

1. Terms and Conditions. The provision by Seller to Buyer of any Equipment or Parts (collectively referred to as “Products”) shall be exclusively governed by these Terms and Conditions of Sale (“Terms and Conditions”) and Seller’s sales order acknowledgement (collectively referred to as “Agreement”). This Agreement cancels and supersedes any and all terms and conditions previously issued by Seller and shall remain in effect unless and until superseded in writing by Seller. Acceptance of an order for Products by Seller shall be deemed to constitute a binding agreement between the parties pursuant to these Terms and Conditions and Buyer agrees that the order may not thereafter be countermanded or otherwise changed without the explicit prior written consent of Seller. No other terms and conditions shall apply, including the terms of any purchase order submitted to Seller by Buyer, whether or not objected to by Seller or whether or not such terms are inconsistent or conflict with or are in addition to these Terms and Conditions. These Terms and Conditions shall be deemed accepted by Buyer if any of the following occurs: (i) if confirmed by Buyer, (ii) if undisputed by Buyer within ten (10) days after receipt, or (iii) if Seller delivers Products to Buyer. Any communication construed as an offer by Seller and acceptance thereof is expressly limited to these Terms and Conditions. The Products are intended for industrial/commercial use by professional contractors and their trained employees and are not intended for use by consumers.

2. Terms of Payments. Payment for Products purchased by Buyer shall be made in accordance with any of the following terms, provided they have been previously arranged with and expressly approved by Seller in writing: (1) cash in advance; (2) confirmed, irrevocable letter of credit established in such amount and form and at such time and at such bank as shall be approved by Seller in respect of each order; (3) credit account purchases for which payment will be due and payable on net thirty (30) day terms, plus service and other charges applicable to past due amounts in accordance with Seller's written notices; or (4) other payment arrangements expressly approved by Seller in writing prior to or at the time the order is placed. If any Buyer credit account purchase is not paid in accordance with Seller's credit payment terms, in addition to any other remedies allowed in equity or by law, Seller may refuse to make further shipments without advance payment by Buyer. Nothing contained herein shall be construed as requiring Seller to sell any Products to Buyer on credit terms at any time, or prohibiting Seller from making any and all credit decisions which it, in its sole discretion, deems appropriate for Seller. Seller shall have the right, at its option, to charge interest on all amounts not paid when due and Buyer agrees to pay such interest calculated on a daily basis, from the date that payment was due until the Seller receives payment in full, at the rate of 1.5% per month or the maximum rate permitted by applicable law. Unless otherwise agreed in writing between Seller and Buyer, Seller may, in its sole discretion, increase or decrease the price of any Product, as Seller deems reasonably necessary, at any time prior to shipment and invoice Buyer for the same. If Buyer orders the chassis through Seller, the chassis payment is due upon receipt of chassis by Seller and the balance owed for the completed unit is due in accordance with agreed upon payment terms. When supplied by Buyer, Seller will inspect the chassis upon receipt and will notify Buyer of any chassis mounted components (including but not limited to fuel tanks, air tanks, battery boxes and exhaust systems) that require relocation. Buyer will be invoiced for such work upon completion of the finished Equipment.

3. Taxes and Duties. Unless otherwise noted, prices quoted do not include taxes or duties of any kind or nature. Buyer agrees that it will be responsible for filing all tax returns and paying applicable tax, duty, export preparation charge and export documentation charge resulting from the purchase of the Products. In addition, in the event any other similar tax is determined to apply to Buyer's purchase of the Products from Seller, Buyer agrees to indemnify and hold Seller harmless from and against any and all such other similar taxes, duties and fees. All prices quoted are U.S. dollars unless otherwise specified. The amount of any present or future taxes applicable to the sale, transfer, lease or use of the Products shall be paid by Buyer; or in lieu thereof, Buyer shall provide Seller with a tax exemption certificate satisfactory to the applicable taxing authority proving that no such tax is due and payable upon such sale, transfer, lease or use.

4. Title, Property, Risk and Delivery. Unless otherwise stated in writing, for all intra-continental United States shipments, all prices and delivery are FCA, point of manufacture (Incoterms 2020); for all other shipments, all prices and delivery are FAS, named port of shipment (Incoterms 2020). Title and all risk of loss or damage to Products shall pass to Buyer upon delivery, as per Incoterms 2020. Any claims for loss, damage or delay in transit must be entered and prosecuted by the Buyer directly with the carrier, who is hereby declared to be the agent of the Buyer. Seller shall not be liable for any delay in performance of this agreement or delivery of the Products, or for any damages suffered by Buyer by reason of delay, when the delay is caused, directly or indirectly, by a force majeure event described in Section 20 herein or any other cause beyond Seller's control. Claims for shortages in shipments shall be deemed waived and released by Buyer unless made in writing within five (5) days after Buyer's receipt of shipment. Seller's responsibility for shipment shall cease upon delivery of the Products to the place of shipment, and all claims occurring thereafter shall be made to or against the carrier by Buyer. Delivery shall generally be 240 to 270 days after receipt by Seller of a signed Order, provided that, where applicable: (1) Seller receives the chassis a minimum of 90 days prior to scheduled delivery, (2) drawings are timely sent by Buyer and the approved drawings are returned to Seller by Buyer by the requested date, (3) all vendor-supplied components and Buyer-supplied accessories are received by Seller by the date necessary to comply with scheduled delivery. Seller shall not be liable for any delay in performance of this agreement or delivery of the Products, or for any damages suffered by Buyer by reason of delay, when the delay is caused, directly or indirectly, by a force majeure event described in Section 20 herein or any other cause beyond

3 - Terex Utilities, Inc. Terms and Conditions of Sale, U.S. and Canada (except Quebec), Rev. 15 March 2021
Seller's control. Claims for shortages in shipments shall be deemed waived and released by Buyer unless made in writing within fifteen (15) days after Buyer's receipt of shipment. Seller's responsibility for shipment shall cease upon delivery of the Parts and or Equipment to the place of shipment, and all claims occurring thereafter shall be made to or against the carrier by Buyer.

5. Delays Caused By Buyer. In the event of a delay in shipment or delivery due to delay by Buyer in furnishing delivery instructions, arranging a method of payment satisfactory to Seller, submitting valid import permits or licenses, or any other delay caused by Buyer or at Buyer’s request, if the Products are not shipped or delivered within five (5) days from the first date they are ready to be shipped or delivered, then Seller shall be entitled to charge, as compensation, any additional costs incurred related to such delay. If the Products are not shipped or delivered by the date which is ten (10) days from the first date they are ready to be shipped or delivered, then Buyer’s order shall be deemed cancelled and Seller may, in its sole discretion, sell such Products to another buyer without any liability or responsibility to Buyer whatsoever. Seller shall have the right to keep payments on account already received from Buyer, and the difference between the sales price (increased by any other and all further costs, including but not limited to attorney’s fees and expenses, storage and other costs, and interest accrued thereon) and the price received from another buyer shall constitute a debt of Buyer and bear interest at the same rate set forth in Section 2 herein. Seller shall be entitled to claim for any further damages suffered as a consequence of Buyer's breach of its obligations hereunder.

6. Cancellation. Prior to delivery to place of shipment, a Product order may be cancelled only with Seller's prior consent and upon terms indemnifying Seller from all resulting losses and damages. Seller shall have the right to cancel and refuse to complete a Product order if any term and/or condition governing this agreement is not complied with by Buyer. In the event of cancellation by Seller, or in the event Seller consents to a request by Buyer to stop work or to cancel the whole or any part of any order, Buyer shall, in the event that Seller asks Buyer to do so, make reimbursement to Seller, as follows: (i) any and all work that can be completed within thirty (30) days from date of notification to stop work on account of cancellation shall be completed, shipped and paid in full; and (ii) for work in progress and any materials and supplies procured or for which definite commitments have been made by Seller in connection with the order, Buyer shall pay such sums as may be required to fully compensate Seller for actual costs incurred, plus fifteen percent (15%). Buyer may not cancel any order after Seller's delivery to place of shipment. Orders for "Special" Equipment may not be cancelled after acceptance, except by Seller. Items of "Special" Equipment are those that differ from standard Seller specifications, have a limited market, or incorporate specifications that have been determined for a specific application. Determination of whether an item of Equipment is “Special” shall be made by Seller in its sole discretion.

7. Inspection and Acceptance. Buyer agrees that it shall inspect the Products immediately after receipt and promptly (in no event later than fifteen (15) days after receipt) notify Seller in writing of any non-conformity or defect. Buyer further agrees that failure to give such prompt notice or the commercial use of the Products shall constitute acceptance. Acceptance shall be final and Buyer waives the right to revoke acceptance for any reason, whether or not known by Buyer at the time of such acceptance.

The giving of any such notice by Buyer shall automatically cause the provisions of Seller’s warranty to apply and govern the rights, obligations and liabilities of the parties with respect to such nonconformity or defect, provided under no circumstances shall rejection give rise to any liability of Seller for incidental or consequential damages or losses of any kind. Seller shall not be bound by any agent's, employee’s or any other representation, promise or inducement not set forth herein. Seller’s catalogues, technical circulars, price lists, illustrations, drawings and any other similar literature are for Buyer’s general guidance only and the particulars contained in them shall not constitute representations by Seller and Seller shall not be bound by them.

8. Warranty for New Products. Seller warrants its new Equipment and Parts manufactured and sold worldwide, to be free, under normal use and service, of any defects in material or workmanship for a period of twelve (12) months from the date of delivery (as limited by Seller’s Limited Product Warranty); provided that Buyer sends Seller written notice of the defect within thirty (30) days of its discovery and establishes that: (i) the Equipment has been operated and maintained in strict compliance with Seller’s operating and maintenance manuals ; and (ii) the defect did not result in any manner from the intentional or negligent action or inaction of Buyer, its agents or employees and (2) a new machine registration certificate has been completed, signed and delivered to the Seller within thirty (30) days of the Equipment’s “in-service” date. If requested by Seller, Buyer must return any defective Product to Seller's manufacturing facility, or other location designated by Seller, for inspection, and if Buyer cannot establish that conditions (i) and (ii) above have been met, then this warranty shall not cover the alleged defect. Failure to give written notice of defect within such period shall be a waiver of this warranty and any assistance rendered thereafter shall not extend or revive it. Accessories, assemblies and components included in the Products of Seller, which are not manufactured by Seller, are subject to the warranty of their respective manufacturers.

This warranty shall not cover any item on which serial numbers have been altered, defaced or removed. Maintenance and wear parts are not covered by this warranty and are the sole maintenance responsibility of Buyer. This warranty is limited to the original purchaser or end-user if sold to a distributor, and is not assignable or otherwise transferable without written agreement of Seller. THIS WARRANTY IS EXPRESSLY IN LIEU OF AND EXCLUDES ALL OTHER WARRANTIES,

EXPRESS OR IMPLIED (INCLUDING THE WARRANTIES OF MERCHANTABILITY AND FITNESS FOR A PARTICULAR PURPOSE) AND ALL OTHER OBLIGATIONS OR LIABILITY ON SELLER'S PART. THERE ARE NO WARRANTIES THAT EXTEND BEYOND THE LIMITED WARRANTY CONTAINED HEREIN. Seller neither assumes nor authorizes any other person to assume for Seller any other liability in connection with the sale of Seller's Products. This

4 - Terex Utilities, Inc. Terms and Conditions of Sale, U.S. and Canada (except Quebec), Rev. 15 March 2021
warranty shall not apply to any of Seller's Products or any part thereof which has been subject to misuse, alteration, abuse, negligence, accident, acts of God or sabotage. No action by either party shall operate to extend or revive this limited warranty without prior written consent of Seller.

9. Warranty for Used Equipment. Used Equipment sold hereunder is sold on an “AS IS, WHERE IS, WITH ALL FAULTS” BASIS WITH NO WARRANTIES WHATSOEVER, EXCEPT AS TO TITLE, UNLESS OTHERWISE SPECIFICALLY AGREED IN WRITING BY BUYER AND SELLER. SELLER ASSUMES NO RESPONSIBILITY FOR THE CONDITION,

SAFETY, LEGAL COMPLIANCE, OR USABILITY OF THE USED EQUIPMENT AND MAKES NO REPRESENTATION OR

WARRANTY, EXPRESS OR IMPLIED, WITH RESPECT TO THE USED EQUIPMENT INCLUDING, WITHOUT LIMITATION, ANY IMPLIED WARRANTY OF MERCHANTABILITY OR FITNESS FOR A PARTICULAR PURPOSE. SELLER MAKES NO

REPRESENTATION OR WARRANTY REGARDING THE CONDITION OF THE USED EQUIPMENT, NOR THE SUFFICIENCY OF ANY WARNINGS, INSTRUCTIONS OR MANUALS PROVIDED WITH THE USED EQUIPMENT. Seller recommends and Buyer acknowledges that Buyer should contact the original manufacturer to obtain all available information for the used Equipment, including but not limited to product manuals, warnings, safety bulletins, recall notices, and instructional placards before using the used Equipment. Seller shall not be responsible for providing such information. Buyer agrees not to assert any claims against Seller with respect to the used Equipment or its use. Buyer agrees that it shall inspect the used Equipment prior to issuance of a purchase order for such Equipment and acknowledges that it is not relying upon any photographs, images, videos, representations, statements or other assertions made by Seller with respect to the used Equipment’s condition, but is relying upon its own knowledge and/or inspection of the used Equipment.

10. Remedies for Breach. IN THE EVENT OF ANY BREACH OF THE WARRANTY BY SELLER, THE PARTIES AGREE

THAT SELLER'S LIABILITY SHALL BE LIMITED EXCLUSIVELY TO THE REMEDIES OF REPAIR OR REPLACEMENT (AT SELLER’S SOLE DISCRETION) OF ANY DEFECTIVE EQUIPMENT COVERED BY THE WARRANTY. In no event shall any repair or replacement of any defective equipment covered by the Seller’s warranty extend the length of the warranty beyond the period specified in Section 8 herein.

11. Limitation of Liability. NOTWITHSTANDING ANYTHING CONTAINED IN THIS AGREEMENT TO THE CONTRARY, SELLER AND ITS AFFILIATES SHALL NOT BE LIABLE FOR, AND SPECIFICALLY DISCLAIM, ANY LIABILITY FOR ANY:
(A) LOST PROFITS AND/OR BUSINESS INTERRUPTION (WHETHER DIRECT OR INDIRECT); AND (B) INDIRECT,

INCIDENTAL, CONSEQUENTIAL (WHETHER DIRECT OR INDIRECT) OR OTHER DAMAGES OR LOSSES OF ANY KIND WHATSOEVER, including, without limitation, labor costs, lost profits, loss of use of other equipment, third party repairs, personal injury, emotional or mental distress, improper performance or work, penalties of any kind, loss of service of personnel, or failure of Products to comply with any federal, state, provincial or local laws, regardless of whether arising from a breach of contract, or warranty, legal claims or otherwise. Nothing in this Section shall operate to exclude Seller's liability for death or personal injury when directly related to Seller’s negligent act or omission.

12. Limitation of Actions. Any action for breach of this agreement must be commenced within one (1) year after the cause of action has accrued.

13. Specification Changes. In the event Seller incurs additional expense because of changes in specifications or drawings previously approved by Buyer, or in the event Seller is required to modify the ordered Equipment, perform any additional work or supply any additional Products, the additional expense shall be added to the purchase price. Buyer must submit to Seller a revised purchase order specifying any and all requested changes. Upon receipt of Buyer’s revised purchase order, Seller shall have the right, in its sole discretion, to accept or reject any changes in specifications requested by Buyer.

14. Trade-in Offers. Trade-in offers are subject to Seller’s inspection and acceptance of the equipment, which must have been maintained to U.S. Department of Transportation operating and safety standards. All accessories on the equipment, including without limitation jibs, winches, pintle hooks and trailer connectors, must remain with the equipment unless otherwise agreed by Seller and Buyer in writing. Seller reserves the right to cancel any trade-in offers or agreements if these conditions are not met, or if Buyer has misrepresented any information about the trade-in unit.

15. Insurance. Until the purchase price of any Products is paid in full, the Buyer shall provide and maintain insurance equal to the total value of the Equipment delivered hereunder against customary casualties and risks; including, but not limited to fire and explosion, and shall also insure against liability for accidents and injuries to the public or to employees, in the names of Seller and Buyer as their interest may appear, and in an amount satisfactory to Seller. If the Buyer fails to provide such insurance, it then becomes the Buyer's responsibility to notify the Seller so that the Seller may provide same; and the cost thereof shall be added to the contract price. All loss resulting from the failure to affect such insurance shall be assumed by the Buyer.

16. Patents, Copyrights, Trademarks, Confidentiality. No license or other rights under any patents, copyrights or trademarks owned or controlled by Seller or under which Seller is licensed are granted to Buyer or implied by the sale of Products hereunder. Buyer shall not identify as genuine products of Seller products purchased hereunder which Buyer has treated, modified or altered in any way, nor shall Buyer use Seller's trademarks to identify such products; provided, however, that Buyer may identify such products as utilizing, containing or having been manufactured from genuine products

5 - Terex Utilities, Inc. Terms and Conditions of Sale, U.S. and Canada (except Quebec), Rev. 15 March 2021
of Seller as treated, modified or altered by Buyer or Buyer's representative, upon prior written approval of Seller. All plans, photographs, designs, drawings, blueprints, manuals, specifications and other documents relating to the business of Seller ("Information") shall be and remain the exclusive property of Seller and shall be treated by Buyer as confidential information and not disclosed, given, loaned, exhibited, sold or transferred to any third party without Seller’s prior written approval; provided, however, that these restrictions shall not apply to Information that Buyer can demonstrate: (a) at the time of disclosure, is generally known to the public other than as a result of a breach of this Agreement by Buyer; or (b) is already in Buyer's possession at the time of disclosure by from a third party having a right to impart such Information.

17. Default and Seller's Remedies. In the event of default by Buyer, all unpaid sums and installments owed to Seller, shall, at Seller's sole option, become immediately due and payable without notice of any kind to Buyer. In addition to its right of acceleration, Seller may pursue any and all remedies allowed by law or in equity, including but not limited to any and all remedies available to it under the Delaware Uniform Commercial Code. In addition to the foregoing, and not in limitation thereof, Seller shall have the right to set off any credits or amounts owed to Buyer against any amounts owed by Buyer to Seller.

18. Indemnification by Buyer. Buyer hereby agrees to indemnify, release, defend and hold harmless Seller, its directors, officers, employees, agents, representatives, successors, and assigns against any and all suits, actions or proceedings at law or in equity (including the costs, expenses and reasonable attorney's fees incurred in connection with the defense of any such matter) and from any and all claims demands, losses, judgments, damages, costs, expenses or liabilities, to any person whatsoever (including Buyer's and Seller's employees or any third party), or damage to any property (including Buyer's property) arising out of or in any way connected with the performance or the furnishing of Products under this agreement, regardless of whether any act, omission, negligence (including any act, omission or negligence, relating to the manufacture, design, repair, erection, service or installation of or warnings made or lack thereof with respect to any Products furnished hereunder) of Seller, its directors, officers, employees, agents, representatives, successors or assigns caused or contributed thereto. If Buyer fails to fulfill any of its obligations under this paragraph or this agreement, Buyer agrees to pay Seller all costs, expenses and attorney's fees incurred by Seller to establish or enforce Seller's rights. The provisions of this paragraph are in addition to any other rights or obligations set forth in this agreement.

19. Installation. Unless otherwise expressly agreed in writing, Buyer shall be solely responsible for the installation and erection of the Products purchased. Although Seller may in some cases provide a serviceman, data and drawings to aid Buyer with installation or start-up, Seller assumes no responsibility for proper installation or support of any Products when installed and disclaims any express or implied warranties with respect to such installation and support. Notwithstanding whether data and drawings are provided or a serviceman aids in the installation, Buyer shall indemnify and hold Seller harmless and at Seller's request, defend Seller from all claims, demands or legal proceedings (including the costs, expenses and reasonable attorney's fees incurred in connection with the defense of any such matter) which may be made or brought against Seller in connection with damage or personal injury arising out of said installation or start-up.

20. Force Majeure. Seller shall not be liable to Buyer or be deemed to be in breach of this agreement by reason of any delay in performing, or any failure to perform, any of Seller’s obligations in relation to the Products if the delay or failure was due to any cause beyond the reasonable control of Seller including (without limitation) strike, lockout, riot, civil commotion, fire, accident, explosion, tempest, act of God, war, epidemic, stoppage of transport, terrorist activity, supply shortage or changes in government, governmental agency, laws, regulations or administrative practices.

21. Anti-Corruption; Export Controls; No Boycotts. Buyer agrees that it shall, and that any party retained or paid by the Buyer (“Retained Party”) shall, comply with all applicable laws including, but not limited to, laws prohibiting public corruption and commercial bribery. Buyer further agrees that it shall, and that any Retained Party shall, comply with all applicable export controls, economic sanctions, embargoes and regulations regarding the export, re-export, shipment, distribution and/or sale of Products, technology, information or warranty related services. Buyer further agrees that it shall not, and any Retained Party shall not, export or re-export Products, technology, information or warranty related services directly or with its knowledge indirectly into Iran, Sudan, Cuba, Syria, North Korea, the Crimea Region of the Ukraine or Russia without Buyer first obtaining written approval from Seller. Failure to comply strictly with this section and all applicable laws, regulations and licensing/approval requirements shall be grounds for immediate termination of this agreement by Seller.

Notwithstanding anything to the contrary contained in any agreement between the Buyer and Seller or in any other document or agreement relating to the Products sold hereunder, Seller will not comply with requests related to the boycott of any country or other jurisdiction, except to the extent such boycott is required by or otherwise not inconsistent with United States law.

22. Telematics. If a telematics system is included with the Equipment, the telematics system is administered by a third party (“Teleservice Provider”) and collects a range of operational data about the Equipment including, but not limited to, usage, performance and reliability. Buyer consents to Seller’s obtaining such data from the Teleservice Provider for warranty, product improvement, marketing and customer support purposes and to Seller’s management and reporting of data (personal and non-personal) about the Equipment including, but not limited to, fuel consumption, up/down times, operation, defects, parts replacement, movement and location. Buyer shall, to the extent required by applicable law, obtain consent from its customers and/or any third party for Seller and/or third parties to provide teleservices and data to Buyer. Buyer shall

6 - Terex Utilities, Inc. Terms and Conditions of Sale, U.S. and Canada (except Quebec), Rev. 15 March 2021
comply with all applicable laws relating to the provision of teleservices. Buyer agrees to be bound by the current version of the Terex Telematics Terms of Use at https://www.terex.com/en/products/telematics-tou.

23. Construction and Severability. These Terms and Conditions of Sale constitute the entire agreement between the parties regarding the subject matter hereof and shall be construed and enforced in accordance with the laws of Delaware. The United Nations Convention on Contracts for the International Sale of Goods (1980) (CISG) shall not apply. The invalidity or unenforceability of any provisions of this agreement shall not affect any other provision and this agreement shall be construed in all respects as if such invalid or unenforceable provision were omitted.

24. Jurisdiction. The parties agree that the proper and exclusive forum and venue in all legal actions brought to enforce or construe any provisions herein shall be in United States District Court, District of Delaware or, if federal jurisdiction is lacking in such action, in New Castle County Superior Court in Delaware.

25. No Assignment. No rights arising under this agreement may be assigned by the Buyer unless expressly agreed to in writing by the Seller.

26. No Set-off. Buyer shall have no right to set-off any amounts it may owe Seller against amounts Seller may owe Buyer under this or any other agreement between Buyer and Seller.

27. Miscellaneous. Buyer represents that: (i) it is solvent and has the financial ability to pay for the Equipment and Parts purchased hereunder and (ii) it has all requisite right, power and authority to perform its obligations under this agreement.

Buyer’s Initials: ________________

LIMITED PRODUCT WARRANTY
TEREX Utilities, Inc. and TEREX South Dakota, Inc. (each a “Seller”), as to the equipment manufactured by each respective company, warrants its new equipment and parts manufactured and sold worldwide to be free, under normal use and service, of any defects in manufacture or materials for a period of 12 months from date of delivery to the first end user, but in no event longer than 18 months from date of shipment from the factory; provided that (1) Seller receives written notice of the defect within thirty (30) days of its discovery and Buyer establishes that (i) the equipment has been maintained and operated within the limits of rated and normal usage; and (ii) the defect did not result in any manner from the intentional or negligent action or inaction by Buyer, its agents or employees, and (2) a new machine registration certificate has been completed and received by Seller within thirty (30) days of the equipment’s “in-service” date. If requested by Seller, Buyer must return the defective equipment to Seller’s manufacturing facility, or other location designated by Seller, for inspection, and if Buyer cannot establish that conditions (1) (i) and (1) (ii) above have been met, then this warranty shall not cover the alleged defect.

Seller’s obligation and liability under this warranty is expressly limited to, at Seller’s sole option, repairing or replacing, with new or remanufactured parts or components, any part which appears to Seller upon inspection to have been defective in material or workmanship. Such parts shall be provided at no cost to the owner, FOB Seller’s parts facility (Incoterms 2010). If requested by Seller, components or parts for which a warranty claim is made shall be returned to Seller at a location designated by Seller. All components and parts replaced under this warranty become the property of Seller. This warranty shall be null and void if parts (including wear parts) or attachments other than genuine OEM Seller parts or approved attachments are used in or attached to the equipment.

Accessories, assemblies and components included in Seller’s equipment, which are not manufactured by Seller, are subject to the warranty of their respective manufacturers. Normal maintenance, adjustments, or maintenance/wear parts, are not covered by this warranty and are the sole maintenance responsibility of Buyer.

The following structural members have a lifetime parts only warranty for the original Buyer after date of shipment from Seller: sub frame, pedestal, turntable, and boom. Replacement of fiberglass jibs, seals, gaskets, hoses, and exterior coating is not covered under the lifetime warranty. The lifetime warranty requires an annual service inspection of the equipment by an authorized distributor of Seller.

The sub frame, pedestal, turntable, and boom shall have a 5 year parts only warranty if the annual service inspection is performed by an approved entity other than an authorized distributor of Seller.

All replacement parts must be genuine OEM Seller parts.

SELLER MAKES NO OTHER WARRANTY, EXPRESS OR IMPLIED, AND MAKES NO WARRANTY OF MERCHANTABILITY OR FITNESS FOR ANY PARTICULAR PURPOSE, AS TO THE EQUIPMENT AND PARTS IT SUPPLIES.

No employee or representative of Seller is authorized to modify this warranty unless such modification is made in writing and signed by an authorized officer of Seller. Seller’s warranty is continuous for the stated period, and “stopping and restarting” such period is not permitted.

Seller’s obligation under this warranty shall not include duty, taxes, environmental fees, including without limitation, disposal or handling of tires, batteries, petrochemical items, or any other charges whatsoever. Seller shall not be liable for indirect, incidental, or consequential damages, even if advised of the possibility of such damages.

Improper maintenance, improper use, abuse, improper storage, operation beyond rated capacity, operation after discovery of defective or worn parts, accident, sabotage or alteration or repair of the equipment by persons not authorized by Seller shall render this warranty null and void. Seller reserves the right to inspect the installation of the product and review maintenance procedures to determine if the failure is covered under this warranty.

Parts Warranty: Seller warrants the parts ordered from the Seller to be free of defects in materials or workmanship for either (1) a period of 12 months after date of shipment from the factory, or (2) the balance of the remaining new equipment warranty, whichever occurs first. With respect to parts ordered from Seller for equipment for which the warranty has expired, Seller warrants such parts to be free of defects in materials or workmanship for a period of 12 months after date of shipment from the factory.

NO TRANSFERABILITY OF WARRANTY: This warranty is limited to the original purchaser or original end-user if sold to a distributor, and is not assignable or otherwise transferable without the written agreement of Seller.

ITEMS NOT COVERED BY WARRANTY
The following listed items, which are not exhaustive, are NOT covered under this warranty:

1. Items sold by any individual, corporation, partnership or any other organization or legal entity that is not authorized by Seller to distribute its equipment.

2. Inbound freight, duty and taxes for replacement components or outbound freight, duty, and taxes for any part requested as a warranty return.

3. Components which are not manufactured by Seller or its affiliates. Such components may include, but are not limited to, chassis, engines, batteries, tires, customer-supplied products, transmissions, air compressors, and axles.

4. Replacement of a complete assembly that is field repairable by the replacement or repair of defective part(s) within the assembly. Seller has the option to repair or replace any defective part or assembly.

5. Wear parts and maintenance services including, but not limited to: lamps, lenses, seals, gaskets, hoses, filters, breathers, belts, nozzles, friction plates, glass, clutch and brake linings, wire rope, nuts and fittings, exterior coatings, proper tightening of bolts, adding or replacing of fluids, adjustments of any kind, services, inspections, diagnostic time, travel time and supplies such as hand cleaners, towels and lubricants.

6. Damage caused by carrier handling. Any such claim for damage should be filed immediately with the respective carrier.

7. Repairs, work required or parts exposed as the result of age, storage, weathering, lack of use, demonstration use, or use for transportation of corrosive chemicals.

8. Damage resulting to the equipment or parts should the owner or operator continue to operate the equipment after it has been noted that a failure has occurred.

9. Damage caused by, or labor or other costs related to, work performed by personnel not authorized by Seller to service the equipment.

IN NO EVENT SHALL SELLER, OR ANY AFFILIATE, SUBSIDIARY OR DIVISION THEREOF BE LIABLE FOR INDIRECT, INCIDENTAL OR CONSEQUENTIAL DAMAGES OR LOSSES

RESULTING FROM ANY BREACH OF WARRANTY, REPRESENTATION OR CONDITION, EXPRESS OR IMPLIED, OR ANY TERMS OF THIS WARRANTY, OR ANY BREACH OF ANY DUTY

OR OBLIGATION IMPOSED BY STATUTE, CONTRACT, TORT, COMMON LAW OR OTHERWISE (WHETHER OR NOT CAUSED BY THE NEGLIGENCE OF THE SELLER, ITS EMPLOYEES,

AGENTS OR OTHERWISE), INCLUDING, WITHOUT LIMITATION, LOSS OF USE, LOST PROFITS OR REVENUES, LABOR OR EMPLOYMENT COSTS, LOSS OF USE OF OTHER

EQUIPMENT, DOWNTIME OR HIRE CHARGES, THIRD PARTY REPAIRS, IMPROPER PERFORMANCE OR WORK, LOSS OF SERVICE OF PERSONNEL, LOSS OF CONTRACTOR OPPORTUNITY AND PENALTIES OF ANY KIND, PERSONAL INJURY, EMOTIONAL OR MENTAL DISTRESS, OR FAILURE OF EQUIPMENT TO COMPLY WITH ANY APPLICABLE LAWS.

The Seller’s liability to the Buyer shall not in any event exceed the purchase price of the equipment.

THIS WARRANTY IS EXPRESSLY IN LIEU OF AND EXCLUDES ALL OTHER WARRANTIES, REPRESENTATIONS AND CONDITIONS, EXPRESS OR IMPLIED AND ALL OTHER

STATUTORY, CONTRACTUAL, TORTIOUS AND COMMON LAW OBLIGATIONS OR LIABILITY ON SELLER'S PART ARE HEREBY EXPRESSLY EXCLUDED TO THE MAXIMUM EXTENT PERMITTED BY LAW. THERE ARE NO WARRANTIES THAT EXTEND BEYOND THE LIMITED WARRANTY CONTAINED HEREIN. Seller neither assumes nor authorizes any other person to assume for Seller any other liability in connection with the sale of Seller’s equipment. In the event that any provision of this warranty is held unenforceable for any reason, the remaining provisions shall remain in full force and effect. TUFM1050 Rev D 03-06-12

Terex Utilities, Inc.
3140 15th Ave SE, Watertown, SD 57201
Phone: 605-882-4000 Fax: 605-882-1842
Quotation

04/28/2022

CITY OF YUBA CITY
1185 MARKET STREET
YUBA CITY, CA 95991
Attention: TONY JAYNE
Phone: (530)822-4772
Qty. Description
UNIT
1 One (1) new Terex Hi-Ranger XT PRO 56 insulated overcenter aerial device providing a working height of 61.0 ft (18.6 m) and a side reach of 41.5 ft (12.6 m) non-overcenter and 45.6 ft (13.9 m) overcenter.

Design Criteria:
* Design criteria is in accordance with current industry and engineering standards applicable and accepted for structural and hydraulic design.

Boom Tip:

Upper Controls: "Control-Plus" single stick controller.

Maintenance free chain.

Manual Platform Tilt Release:
* Tilts perpendicular to the boom.
* Allows the platform to be horizontally tilted for rescue or clean out.

Dual Hydraulic Tool Outlets At Platform:
* Dual hydraulic tool outlets at platform to accommodate two (2) open center hydraulic tools. * Tools cannot operate simultaneously.
* Includes relief to limit pressure to 2250 PSI.
* Flow is adjustable.

Lower Boom:
* Filament wound high strength fiberglass insert providing an insulation gap. * The lower boom is supported when stored by a boom rest.

Upper Boom:
* Filament wound tapered fiberglass boom providing a clear span insulation gap.

Continuous & Unrestricted Rotation:
* A hydraulic rotary manifold provides a rotating oil distribution system for continuous and unrestricted rotation.
* Self-locking worm gear rotation drive is provided and equipped with bi-directional motor. * A 4-channel electric collector ring is provided.

Lower Controls:

Quotation
QU16043-30

Qty. Description
* Individual control levers are provided and located in an accessible location on the turntable.
* An upper/lower control selector provides override of platform controls.

Outrigger Interlock:
* To operate the boom the outriggers must be extended.

Pedestal:
* The pedestal is designed with access for maintenance of hydraulic plumbing.

Rotation Bearing:
* The rotation bearing is a heavy duty "shear-ball" bearing with external gear teeth utilizing polished alloy steel balls.
* Both the inner and outer races are machined from high-strength alloy steel and are heat treated to provide maximum life.
* High-strength, grade 8 bolts attach the inner and outer races to the pedestal and turntable.

ANSI Rating:

Aerial device is designed as a Category C machine in accordance and is dielectrically tested and rated for operation on systems up to 46 Kv phase to phase per ANSI/SIA A92.2-2015
Hydraulic System:
* Full pressure, open center hydraulic system.
* A external 33 gallon hydraulic oil reservoir is provided with a 60 mesh filter screen, baffles, 100 mesh suction screen with bypass, clean-out access hole, dipstick and shut off valve. * A 10 micron return line filter located in oil reservoir. * An in-line relief is also provided.
* Hydraulic hoses are equipped with swaged hose fittings.

Miscellaneous:
* All metallic components of the complete aerial device are powder coat white. * The fiberglass upper boom, lower boom insert, and platforms are white. * Two complete manuals providing operation and maintenance procedures, and a replacement parts listing.
* Warning decals are provided with unit.
1 Pedestal and Outriggers Assembly, Split Mount.
* For behind the cab mount units.
* Booms not installed on the pedestal/outriggers prior to shipping. * One set of (9283) outriggers welded and assembled to pedestal. * Outrigger controls and Chip box dump control located on side of pedestal. * Outrigger moving alarm, outrigger and chip box harness and switches shipped loose 1 Platform 24" x 24" x 40":
* One curbside mounted fiberglass platform with a rated capacity of 400 lbs. * Includes one (1) outside access step with slip-resistant surface. 1 A safety harness with lanyard is provided for fall arrest. 1 A padded saddle rest provides platform support during road travel.

Quotation
QU16043-30

Qty. Description
1 Insulated Platform Liner For 24" x 24" x 40" Platform:
* Tested at 50 KV AC.
1 Vinyl Platform Cover For 24" x 24" Platform:
* Waterproof with internal elastic cord around edge.
1 Tie down kit.
1 Engine Stop/Start controlled at platform and lower controls.

Auxiliary Let Down for use with Open Center Hydraulics:
* Allows for the descent of the boom (platform) in the most direct manner for a time limited by the duty cycle of the electric motor.
*Includes 12 volt electric motor for use on a 12 volt chassis.

Note: This includes a switch for activation at pedestal for electric or air function. 1 Terex Advanced Chassis Controller:
* Multiplexed system to include: Controller, LCD Screen, Manual and Schematics. * Standard Options: Diagnostics, Status Screens, Event Log, Hours Meter, Selectable Button Labels, System Alerts and System Test.
* Programmable settings allow installer t customize/select options need for their application. * Back-up Camera ready.
* Screw terminal-type connections and enclosure to cover connections. * Recommended on Class 6 and above chassis with multiple outputs * The PTO hour is standard. The engine hour meter is standard (When available). This is a message we get from the truck Data link. All trucks except Ford give us the Engine hours. So if it's a Ford, we just display PTO hours.
1 Pump: Fixed Gear and bi-directional
* 8 GPM at 2750 PSI at 1200 RPM
** ALTERED FROM STANDARD **
1 .
1 American flag displayed on unit.
1 Factory Warranty

BODY, INSTALLATION
** BODY INFORMATION **
1 Chipper Body Package:
* As per the attached Chipper Body Specifications.
** BODY INFORMATION **
1 Terex Install of Chipper Body Package:
1 Install Aerial Device Behind Cab And Install All Associated Components:

Quotation
QU16043-30

Qty. Description
* Final test and inspect completed unit including stability and dielectric testing per manufacturers requirements.
1 Hose and fittings to connect the hydraulic system from the oil reservoir to the pump and unit.
1 Platform rest, bottom base
1 Power take off with indicator light for automatic transmission. 1 DOT Inspection.
1 Set chassis parameters.
1 Back-up alarm to sound when the vehicle is shifted into reverse. 2 Laminated wood outrigger pad 24" x 24" x 2-1/4" with rope handle. * Includes outrigger pad storage.
* Locate (1) under each side of Body Compartments.
2 Chain style retainer
2 Rubber wheel chocks with eye bolt.
2 Wheel chock bracket, single for mounting under the body. * Locate under Curbside of Chipper Body - Front and Rear of Rear Axle. 2 Chain style retainer
2 Cone holder bracket, fold down type with base.
* Locate (1) on each Outrigger.
1 Grab handles as necessary for 3-point contact.
2 Mud flap with logo 30" tall.

Note: Trim As-Required.
1 A mounting kit for under 45" flatbed frame height for a pair of mud flaps. 1 Tree trimmer cab guard constructed of tubing and heavy duty expanded metal, painted black. Includes curb side access steps to top of cab guard * Top of Cab Guard to be covered with Steel Treadplate - -- Treadplate Gauge to be determined on Approval Drawings. * Change to Curbside Staircase Gripstrut Access Steps.

Quotation
QU16043-30

Qty. Description
1 Channel bumper and skirt required for mounting a cab guard. 1 Chipper Body Lighting Wiring:
* Connect Body Vendor Supplied Chipper Body Lighting Wiring to Chassis and -- Terex Chassis Controller Wiring.
1 Lighted license plate bracket kit with LED light.
1 Peterson Clearance Light Kit with 2.50" Amber, LED.
4 12 volt outlet, cigarette electrical style.
* Locate (1) in at each Corner of Cab Guard - Near Golight Mounts. 1 Whelen 4 corner LED, Amber Strobe Light Kit with 4" grommets. *Wired into On/Off swtich in cab.
* Locate (2) at Front under Cab Guard.
* Locate (2) at Rear Upper Corners of Chipper Body.
2 Cab guard strobe mounting.
2 Golight 7901 spotlight, portable, programmable wireless remote, suction cup & magnetic mount shoe, 15' cord w/cigarette plug and white in color. * Ship Loose.
4 Bracket for spotlight mounting.
* Plate for Magnetic Mount Golight(s).
* Locate (1) on each Corner of Cab Guard.
1 Whelen TAM-65 arrow directional LED light stick, 36" long, 6-lamp. * Locate on Top Rear of Chipper Body - Centered.
1 Guard for Whelen Traffic Advisor:
* Terex PN: TBD.
1 Tekonsha Voyager electric brake control.
1 15 ton pintle hook:

Quotation
QU16043-30

Qty. Description
* Safety chain eyes.
"Pintle hook brackets and attachment methods are designed to meet the associated pintle hook ratings. They are not designed for recovery purposes. If recovery attachments are required, please order the appropriate tow eyes."
1 ICC rear bumper.
1 7-blade trailer socket. (RV style)
1 Heat shields, as required to protect hydraulic system from exhaust. 1 Oil tank mounting for external reservoirs.
45 Fill with Hydraulic oil for general purpose use.
* Refer to the product maintenance manual for specific type to be used. 1 Modify to Auxiliary Tool Outlet Hydraulic Quick Couplers:
* Add 90-Degree Elbow Fittings to (1) Set of Quick Couplers. * Terex PNs: TBD.
1 Fairmont 43178 Hydraulic Long Reach Chain Saw:
* 62.5" Long Reach with 13" cutting capacity.
* Rotate trigger spool for open or closed center systems. 1 8' of non-conductive hose with couplers.
1 Scabbard for chain saw, plastic that mounts to the rim of platform. 1 Boom Mount Chain Saw Scabbard:
* Model #ARBSC.
* Includes Scabbard / Handle Rack & (3) Ratchet Straps. * Terex PN: TBD.
1 Safety Kit consists of the following:
* 5-lb ABC fire extinguisher with bracket.
* James King triangle reflector kit.
2 Level indicator, Rieker inclinometer, +/- 5 Degrees.
* Locate near Outrigger Controls - (1) Side to Side & (1) Fore & Aft. 1 Rear view vision 2.5" round red marker light camera & 5" monitor system. 1 Paint body floor with non-skid paint.
* Include Cab Guard.

Quotation
QU16043-30

Qty. Description
1 Paint compartment top with non-skid paint.
1 Paint cab guard one color.
* Note: specify color
* WHITE to match Chassis Cab.

CHASSIS
1 Freightliner M2 106 4x2 (Spec # 80)
* 33,000 lbs GVWR
* Wheelbase 189", CA 123", axle to frame 100"
* 13,220-lb capacity front axle
* 21,000-lb capacity locking rear axle
* Cummins B6.7 (6.7L) 300 HP @ 2,600 rpm, torque 660 lb-ft @ 1,600 rpm * Allison 3500 RDS wide ratio, 5-speed automatic transmission with double overdrive * L0006EY White Elite EY
** CHASSIS INFORMATION **
1 Includes the following:
* Carb22
* Front Frame Extensions.

SPECIAL CHARGES
1 Delivery to Customer.
1 First Article Inspection, Digital
** ADDITIONAL INFORMATION **
* Bluejeans.
6 CALIFORNIA TIRE FEE
** ALTERED FROM STANDARD **
1 .
** ALTERED FROM STANDARD **
1 Terex Utilities to License & Register Completed Unit with California DMV:
* Additional Taxes & Fees to be determined at time of invoice.

Quotation
QU16043-30

Qty. Description
OPTIONS: ADD

Q

Notes:

1. Federal Excise Tax will be added if certificate is not supplied with order.

2. The following items must be considered by the purchaser if not already included:

Back-up Alarm $150.00; Strobe Light $525.00; Wheel Chocks $110.00; Outrigger Pads $200.00 to $650.00 (based on pad size & type); Truck Grounding Cable $550.00; Barricade Kit $895.00; Hydraulic Over Load Protection (derrick only, price will vary based on final option selection); Boom / Boom Stow Interlock $700.00; Engine Stop / Start $200.00 to $795.00 (based on unit model); Auxiliary Let Down $1500.00; and Platform Liner $380.00 to $625.00 (based on platform size).

3. Terex Utilities, Inc. strongly recommends all installation accessories be located up front in front in the quote or secondarily on the approved engineering drawing. Any accessories located or relocated during manufacturing may be subject to additional charges.

4. Terex Utilities, Inc. - Assembly in Watertown, South Dakota is ISO 9001:2000 Certified.

QUOTATION
Quote Number: C1711-22
Bid Spec: QU16043 XTPRO56
_________________________________________________________________________________ Customer Information:

Customer: Terex South Dakota End Customer: Ind Orig Equip Manufactur Ref C7287-21 Customer Number: 22806 Contact: Steven Fedt Platform And Pack Quote Information:

Quote Date: 03/22/2022
_________________________________________________________________________________ Base Quote Information:

Qty Ins Item Description Notes/Specifications
1 N Forestry Body 11' Notched
Overall Length - - - - - -11'3" Long sills (34"spc.) - -7" structural channel Overall Width - - - - - -95" Pole Saw and Ladder Box installed Streetside Overall Height - - - - - -62" Lights- - - -Clearance, S/T/T, Backup and Strobe Interior Height - - - - -52" Forestry Body prime paint - -Complete immersion in Floor Length - - - - - - -110" electrodeposition gray epoxy primer.

Rear Gate Height - - - - -24" (opens to curbside) Undercoating - - - - - -Complete undercoating Chip Capacity- - - - - -15.05 Cubis Yards Finish paint - Prime only Forestry Body Floor - - -12 Ga. HS smooth steel WARRANTY: Standard Knapheide Limited Warranty Cross sills (18"spc.)- -3" Structural Channel
------------------------------------------------------------------------------------------------------------------------------------------------------------------- 1 Y KFB Special Roof Height 62" interior clear height. 73" overall height. ------------------------------------------------------------------------------------------------------------------------------------------------------------------- 1 N Hoist KH-1512SF-AE
------------------------------------------------------------------------------------------------------------------------------------------------------------------- 1 Y KFB Ladder Box Streetside ilo standard curb side
------------------------------------------------------------------------------------------------------------------------------------------------------------------- 1 Y Coal Tar Coating 11'&12' Interior
------------------------------------------------------------------------------------------------------------------------------------------------------------------- 1 Y Reinforce Roof/Rear Reinforce roof and rear end for boom rest support. ------------------------------------------------------------------------------------------------------------------------------------------------------------------- 1 N Forestry Pack KPF-944850 Includes:
(1) Full length shelf, 54"L, centered side to side.
(3) Combo hooks mounted in curb side compartment.
3pt T-Handle latches with master lock system.
------------------------------------------------------------------------------------------------------------------------------------------------------------------- 3 Y KPF Combo Hooks 3-0-3 Six total in curb side front vertical. 3-0-3. ------------------------------------------------------------------------------------------------------------------------------------------------------------------- 1 Y KPF Louver Vents-1Pr R2V
------------------------------------------------------------------------------------------------------------------------------------------------------------------- 1 Y KPF 3PT T-Handle Latches
------------------------------------------------------------------------------------------------------------------------------------------------------------------- 1 N Aerial Platform 50"L 94"W x 6"H. Cutout in floor for aerial. ------------------------------------------------------------------------------------------------------------------------------------------------------------------- 2 N Grip Strut Access Step Ay Bolt-on style. Shipped loose. One for each side of the aerial platform.
------------------------------------------------------------------------------------------------------------------------------------------------------------------- 4 N Bolt-On Grab Handles Two per side of aerial platform. Four total. -2 Pool type and 2 for front of Knap Pack.

Shipped loose.
------------------------------------------------------------------------------------------------------------------------------------------------------------------- 1 Y Forestry Body Ext White Exterior of body painted Knapheide white. Some touch up may be required by distributor after shipment and handling. ------------------------------------------------------------------------------------------------------------------------------------------------------------------- 1 Y Knap Pack Ext White Exterior of pack painted Knapheide white. Some touch up may be required by distributor after shipment and handling. ------------------------------------------------------------------------------------------------------------------------------------------------------------------- (CONTINUED)
Quote Number: C1711-22 Page: 1

 We cater to your needs through pay‐as‐you‐go, customized service agreements.  We can cover your entire fleet, for all manufacturers!  Our inspections provide a trusted and certified review of your unit.  Maintain your Terex Limited Lifetime Structual Warranty eligibility by utilizing Terex Services for your maintenance needs!
Basic Silver Gold Platinum
✓ ✓ ✓ ✓
✓ ✓ ✓
✓ ✓
+ Rotation Bolt Torque Checks* ✓
Basic Silver Gold
✓ ✓ ✓
✓ ✓
✓
Basic Silver
✓ ✓
✓
 Be sure to select your preferred inspection level to be quoted. *Terex recommends selecting to compy with ANSIO/OSHA requirements. ©2021 Terex Corporation. Terex, the Terex Crown design and Works For You are trademarks of Terex Corporation or its subsidiaries. All rights reserved. June 2021.

Fleet Maintenance and Inspection Agreements
Contact us NOW for pricing! 1-210-476-7768
Annual Inspection
(4 Options)
+ Dielectric Test
+ Lubrication & Filters
180-Day Inspection
(3 Options)
+ Lubrication & Filters
+ Rotation Bolt Torque Checks*
90-Day Inspection
(2 Options)
+ Lubrication & Filters*
Preventive Maintenance and Inspection Program
We come to you!
Or you can come
to us!
Or you can come to us!
Get preferential travel rates by
including your entire fleet!
V78.2107121151

XT PRO Series Overcenter Articulating Aerial Device
= number of years of preventive maintenance service in the quote = quantity of units to include in the quote
Include field service travel time (otherwise units will be serviced at a branch) Please indicate customer location:

Include leveling chain replacement at 5 years
NOTE: The selected unit does not require leveling chain inspection nor replacement at 5 years Select your package:

Customer signature:

Customer confirms selection of the maintenance package indicated for the price and duration specified. Customer accepts and agrees to the attached Terex Terms and Conditions of Sale, which govern this transaction. In the event of early cancellation of this Agreement, Customer agrees that Terex shall be entitled to retain as liquidated damages, and not as a penalty, any fees paid in advance, which the parties agree reasonably approximate Terex’s actual damages.

Preventive Maintenance Packages, Single Unit
Silver Gold Platinum
- Annual preventive
maintenance as defined in
maintenance manual,
including the following:
- Torque checking of
rotation bolts, drift test,
lubrication, hydraulic oil
test, dielectric test
- Replacement hydraulic oil
filters and lubricant
- Qualifies as the required
annual inspection under the
Terex Limited Product
Warranty
- 90 day, 180 day, and 270
day inspection and
preventive maintenance
- Replacement hydraulic oil
filters and lubricant
‐ 5 years preventive
maintenance
- Removal and inspection of
leveling chains and insulator
rods**
Standard
service price:

Your package
price:

Basic
- Yearly visual inspection
and operational test of all
critical components.*
Standard
service price:

Your package
price:

Custom
Package includes:

See custom package
configurator
Standard
service price:

Your package
price:

Standard
service price:

Your package
price: $10,348
You save: $1,603
$11,951 Standard
service price:

Your package
price:
$6,851
$5,932
You save: You save: $919 You save: You save:
$5,100
$4,416
$684
$11,951
$10,348
$1,603
$11,951
$10,348
$1,603
Basic (customer declines, among others, torque check of critical fasteners) Silver Gold Platinum Custom
Preventive Maintenance and Inspection Program
‐ Yearly visual inspection and
operational test of all critical
components.
* NOTE- Basic package by itself
does not qualify as the required
annual inspection under the
Terex Limited Product Warranty
‐ Annual preventive
maintenance as defined in
maintenance manual,
including the following:
‐ Torque checking of rotation
bolts, drift test, lubrication,
hydraulic oil test, dielectric
test
‐ Replacement hydraulic oil
filters and lubricant
‐ Qualifies as the required
annual inspection under the
Terex Limited Product
Warranty
‐ Yearly visual inspection and
operational test of all critical
components.
‐ 90 day, 180 day, and 270
day inspection and
preventive maintenance
‐ Replacement hydraulic oil
filters and lubricant
‐ Annual preventive
maintenance as defined in
maintenance manual,
including the following:
‐ Torque checking of rotation
bolts, drift test, lubrication,
hydraulic oil test, dielectric
test
‐ Replacement hydraulic oil
filters and lubricant
‐ Qualifies as the required
annual inspection under the
Terex Limited Product
Warranty
‐ Yearly visual inspection and
operational test of all critical
components.
** Not required for XT PROs,
OPTIMAS, units equipped with
Extended Life leveling chains, or
units not equipped with leveling
chains.
- 180 day inspection and
preventive maintenance
- Replacement hydraulic oil
filters and lubricant
‐ 180 day inspection and
preventive maintenance
‐ Replacement hydraulic oil
filters and lubricant
V78.2107121151

90 Dasy
Product Code: XT PRO Series Overcenter Articulating Aerial Device = number of years of service
= quantity of units to include in the quote
Include the following periodic Preventive Maintenance:
90 Days (360 Hours)
180 Days (720 Hours)
270 Days (1,080 Hours)
12 Months (1,050 Hours)
Dieletric Test (Yearly)
5 Years (5,250 Hours)
NOTE: The selected unit does not require leveling chain inspection nor replacement at 5 years Include field service travel time
Please indicate customer location:

Preventive Maintenance and Inspection Program
Custom Package Configurator
Visit us at TEREX.com
Include leveling chain replacement at 5 years
Standard service price:

Your package price:

You save:
$11,951
$10,348
$1,603
Custom
V78.2107121151

A SCOPE OF SERVICES
1 For each Terex Utilities equipment unit specified in section C below, Service Provider will provide, annualy, for the Basic Package: Visual inspections and operational tests; for the Silver Package: Annual preventive maintenance, dielectric test, lubricant and hydraulic filter; for the Gold Package: 90‐Day preventive maintenance (except for XT PRO), 180‐Day preventive maintenance, 270‐Day preventive maintenance (except for XT PRO), Annual preventive maintenance, dielectric test; for the Platinum Package: 90‐Day preventive maintenance (except for XT PRO), 180‐Day preventive maintenance, 270‐Day preventive maintenance (except for XT PRO), Annual preventive maintenance, dielectric test, 5 years preventive maintenance ; for the Custom Package: 180‐Day preventive maintenance, Annual preventive maintenance, dielectric test, lubricant and hydraulic filter, ; services will be provided for 5 years, provided this Agreement has not expired or been terminated. Such Maintenance will be consistent with the applicable service manual for each Equipment unit. The commencement date for such Maintenance for the Equipment will be the on the equipment delivery date. Service Provider will have no obligation to perform Maintenance on any Equipment after termination or expiration of this Agreement.
2 The Maintenance will be conducted at the Designated Service Location specified in section C below. Maintenance outside such location will be performed at an additional fee to be agreed by the parties in advance. Customer shall provide a safe work area for the Maintenance, with electric power, water, waste disposal, and access provisions. Vehicle must be provided free and clear of debris to allow technician safe access to the equipment controls and pedestal area. Service Provider will provide periodic reports to Customer of the Maintenance that has been performed. 3 Maintenance and Inspection of the Equipment will be scheduled by Customer at least five (5) business days in advance. The parties will cooperate to ensure advance notice is provided to Service Provider of any additional service that may be requested. 4 In the event an Equipment unit does not meet the Inspection criteria because of needed repairs (“Repairs”), Service Provider will provide an estimated cost for such Repairs. Repairs will be performed upon Customer’s approval and issuance of a purchase order. The Repairs must be performed prior to Service Provider acknowledging that the Inspection is completed.
5 Maintenance, Inspections, and Repairs will be performed by Service Provider on the Equipment within the hours of 7:00 a.m. to 5:00 p.m. on normal business days (excluding weekends and public holidays). In the event Customer schedules Maintenance, Inspections, and/or Repairs outside of such hours, or on weekends or public holidays, the following additional fees will be charged: $130.00 an hour, or for prorated portions of an hour depending on the time of completion. Fees will be billed from the time the Service Provider reaches the jobsite. 6 In the event Customer proposes changes to the Scope of Services stated herein, Service Provider reserves the right to renegotiate the fee agreed between the parties.

B FEE SCHEDULE
For the Basic Package: $4,416; for the Silver Package: $5,932; for the Gold Package: $10,348; for the Platinum Package: $10,348; for the Custom Package:
$10,348; for 5 years of service, with payment by Customer to Service Provider due upon signing of this Agreement.

C LIST OF EQUIPMENT UNITS TO BE INSPECTED AND MAINTAINED The following equipment, listed by Serial Number and Model, is included under this Agreement:

Equipment Model: XTPRO56
Equipment Serial Number(s):

This document will be supplemented with serial numbers for the units once they are available Designated Service Location:

CUSTOMER'S ADDRESS
TEREX USA, LLC, d/b/a TEREX SERVICES

PREVENTIVE MAINTENANCE AND INSPECTION PROGRAM
V78.2107121151 4/9

(“Seller”)

TERMS AND CONDITIONS OF SALE

1. Terms and Conditions. The provision by Seller to Buyer of any Equipment or Parts (collectively referred to as “Products”) and field labor, reconditioning, repair, maintenance and inspection services (collectively referred to herein as “Services”) shall be exclusively governed by these Terms and Conditions of Sale (“Terms and Conditions”) and Seller’s sales order (collectively referred to as “Agreement”). This Agreement cancels and supersedes any and all terms and conditions previously issued by Seller and shall remain in effect unless and until superseded in writing by Seller. Acceptance of an order for Products or Services by Seller shall be deemed to constitute a binding agreement between the parties pursuant to these Terms and Conditions and Buyer agrees that the order may not thereafter be countermanded or otherwise changed without the explicit prior written consent of Seller. No other terms and conditions shall apply, including the terms of any purchase order submitted to Seller by Buyer, whether or not objected to by Seller or whether or not such terms are inconsistent or conflict with or are in addition to these Terms and Conditions. These Terms and Conditions shall be deemed accepted by Buyer if any of the following occurs: (i) if confirmed by Buyer, (ii) if undisputed by Buyer within ten (10) days after receipt, or (iii) if Seller delivers Products or Services to Buyer. Any communication construed as an offer by Seller and acceptance thereof is expressly limited to these Terms and Conditions. The Products are intended for industrial/commercial use by professional contractors and their trained employees and are not intended for use by consumers.

2. Terms of Payments. Payment for Products or Services purchased by Buyer shall be made in accordance with any of the following terms, provided they have been previously arranged with and expressly approved by Seller in writing: (1) cash in advance; (2) confirmed, irrevocable letter of credit established in such amount and form and at such time and at such bank as shall be approved by Seller in respect of each order; (3) credit account purchases for which payment will be due and payable on net thirty (30) day terms, plus service and other charges applicable to past due amounts in accordance with Seller's written notices; or (4) other payment arrangements expressly approved by Seller in writing prior to or at the time the order is placed. If any Buyer credit account purchase is not paid in accordance with Seller's credit payment terms, in addition to any other remedies allowed in equity or by law, Seller may refuse to make further shipments without advance payment by Buyer. Nothing contained herein shall be construed as requiring Seller to sell any Products or Services to Buyer on credit terms at any time, or prohibiting Seller from making any and all credit decisions which it, in its sole discretion, deems appropriate for Seller. Seller may charge interest on all amounts not paid when due and Buyer agrees to pay such interest calculated on a daily basis, from the date that payment was due until the Seller receives payment in full, at the rate of 1.5% per month or the maximum rate permitted by applicable law. Seller shall be entitled to an equitable adjustment in the price of Products or Services in order to account for increases in the cost to Seller of labor or materials, or in the event of unanticipated or unforeseen circumstances.

3. Taxes and Duties. Unless otherwise specified, prices quoted do not include taxes or duties of any kind or nature. Buyer agrees that it will be responsible for filing all tax returns and paying applicable tax, duty, export preparation charge and export documentation charge resulting from the purchase of any Products or Services. In addition, in the event any other similar tax is determined to apply to Buyer's purchase of any Products or Services from Seller, Buyer agrees to indemnify and hold Seller harmless from and against any and all such other similar taxes, duties and fees. All prices quoted are U.S. DOLLARS unless otherwise specified. The amount of any present or future taxes applicable to the sale, transfer, lease or use of any Products shall be paid by Buyer; or in lieu thereof, Buyer shall provide Seller with a tax exemption certificate satisfactory to the applicable taxing authority proving that no such tax is due and payable upon such sale, transfer, lease or use.

4. Title, Risk, Transportation and Delivery. Unless otherwise stated in writing, all prices and delivery are FCA, Seller’s Premises (Incoterms 2010). Title and all risk of loss or damage to Products shall pass to Buyer upon delivery, as per Incoterms 2010. Any claims for loss, damage or delay in transit must be entered and prosecuted by the Buyer directly with the carrier, who is hereby declared to be the agent of the Buyer. In the event delay in shipment of Products is caused by Buyer's failure to furnish necessary information with respect to data and details for Buyer's specifications, Seller, may, in its sole discretion, extend the date of shipment for a reasonable time. In the event delay in shipment is caused by Buyer or at Buyer's request, and there are Products that are not shipped within ten (10) days from the first date they are ready to be shipped, Seller may, in its sole discretion, sell such Products to another buyer without any liability or responsibility to Buyer whatsoever. All payments shall be made in accordance with the terms of the applicable invoice. In addition, storage charges due to delay in furnishing delivery instructions, arranging and establishing a method of payment satisfactory to Seller, or submitting valid import permits or licenses, or any other delay caused by Buyer or at Buyer’s request, will be for the account of Buyer. SELLER SHALL NOT BE LIABLE FOR ANY LOSS OF USE OR FOR ANY OTHER INDIRECT, CONSEQUENTIAL, INCIDENTAL OR OTHER DAMAGES OR LOSSES DUE TO DELAY IN SCHEDULED DELIVERY. Claims for shortages in shipments shall be deemed waived and released by Buyer unless made in writing within five (5) days after Buyer's receipt of shipment. Seller's responsibility for shipment shall cease upon delivery of the Products to the place of shipment, and all claims occurring thereafter shall be made to or against the carrier by Buyer.

V78.2107121151 5/9

5. Cancellation. Prior to delivery to place of shipment, a Products order may be cancelled only with Seller's prior written consent and upon terms indemnifying Seller from all resulting losses and damages. Seller shall have the right to cancel and refuse to complete a Products or Services order if any term and/or condition governing this agreement is not complied with by Buyer. In the event of cancellation by Seller, or in the event Seller consents to a request by Buyer to stop work or to cancel the whole or any part of any order, Buyer shall make reimbursement to Seller, as follows: (i) any and all work that can be completed within (30) days from date of notification to stop work on account of cancellation shall be completed, shipped and paid in full; and (ii) for work in progress and any materials and supplies procured or for which definite commitments have been made by Seller in connection with the order, Buyer shall pay such sums as may be required to fully compensate Seller for actual costs incurred, plus fifteen percent (15%). Buyer may not cancel any order after Seller's delivery to place of shipment. Orders for "Special" Equipment may not be cancelled after acceptance, except by Seller. Items of "Special" Equipment are those that differ from standard Seller specifications, have a limited market, or incorporate specifications that have been determined for a specific application. Determination of whether an item of Equipment is “Special” shall be made by Seller in its sole discretion.

6. Inspection and Acceptance. Buyer agrees that it shall inspect the Products or Services immediately after receipt of Products or completion of Services and promptly notify Seller in writing of any non‐conformity or defect within 10 days after the Products are put into service or the Services are completed, but not more than thirty (30) days after delivery or completion. Buyer further agrees that confirmation that the Products or Services comply with the order, its commercial use of the Products or its failure to give prompt notice of non‐conformity or defect shall constitute acceptance. Acceptance shall be final and Buyer waives the right to revoke acceptance for any reason, whether or not known by Buyer at the time of such acceptance. Acceptance shall automatically cause the provisions of Seller’s warranty to apply and govern the rights, obligations and liabilities of the parties with respect to such nonconformity or defect, provided under no circumstances shall rejection give rise to any liability of Seller for incidental or consequential damages or losses of any kind.

7. Warranty for Products and Services.
(a)For Equipment:

Seller warrants its new Equipment manufactured and sold worldwide to be free, under normal use and service, from defects in material or workmanship for the time period designated in the warranty applicable to the particular type, make and model of Equipment or, in the event no specific warranty exists for such Equipment, for a period of twelve (12) months from the date of delivery. (b)For Parts:
(i) Seller warrants that Parts supplied by Seller will be free, under normal use and service, from defects in material or workmanship for a period of twelve (12) months from the date of delivery, where Seller is the OEM of such Parts; (ii) Seller warrants that that Parts supplied in connection with a warranty repair on Equipment sold by Seller will be free, under normal use and service, from defects in material or workmanship for a period of time equal to the OEM warranty provided by the manufacturer of such Parts, but if there is no OEM warranty on such Parts, then such warranty period shall terminate upon the expiration of the warranty for the Equipment originally sold by Seller; and (iii) Seller warrants that Parts supplied in connection with Services performed by Seller on equipment not originally sold by Seller will be free, under normal use and service, from defects in material or workmanship for a period of time equal to the OEM warranty provided by the manufacturer of such Parts. (c)For Services:
(i) Seller warrants that its field and shop labor services will be free from defects in workmanship for a period of ninety (90) days from the date of completion of such services;
(ii) Seller warrants that its labor supplied in connection with its reconditioning services on mobile equipment will be free from defects in workmanship for a period of six (6) months from the date of completion of such services; and (iii)Seller provides no warranty, express or implied, on its inspecƟon services.

The foregoing warranties shall only be valid if Buyer sends Seller written notice of the defect within thirty (30) days of its discovery and establishes that: (i) the Equipment or Parts, or any equipment subject to any Service, has been maintained and operated within the limits of rated and normal usage; and (ii) the defect did not result in any manner from the intentional or negligent action or inaction by Buyer, its agents or employees. If requested by Seller, Buyer must return the defective Equipment or Parts to Seller’s facility for inspection, and if Buyer cannot establish that conditions (i) and (ii) above have been met, then the foregoing warranties shall not cover the alleged defect. Failure to give written notice of defect within such period shall be a waiver of the foregoing warranties and any assistance rendered thereafter shall not extend or revive it. Equipment, accessories, assemblies, components and Parts which are not manufactured by Seller are subject to the warranty of their respective manufacturers. The foregoing warranties shall be void in the event Buyer has carried out modifications or reconditioning work on the Equipment or Parts without the prior written consent of Seller. The foregoing warranties shall not cover any item on which serial numbers have been altered, defaced or removed. Maintenance and wear parts are not covered by the foregoing warranties and are the sole maintenance responsibility of Buyer. The foregoing warranties are limited to the first retail purchaser and are not assignable or otherwise transferable without the written agreement of Seller. THE FOREGOING WARRANTIES ARE EXPRESSLY IN LIEU OF AND EXCLUDE ALL OTHER WARRANTIES, EXPRESS OR IMPLIED (INCLUDING THE WARRANTIES OF MERCHANTABILITY AND FITNESS FOR A PARTICULAR PURPOSE) AND ALL OTHER OBLIGATIONS OR LIABILITY ON SELLER'S PART. THERE ARE NO WARRANTIES THAT EXTEND BEYOND THE LIMITED WARRANTIES CONTAINED HEREIN. Seller neither assumes nor authorizes any other person to assume for Seller any other liability in connection with the sale of Seller's Equipment, Parts or Services. The foregoing warranties shall not apply to any Equipment or Parts or any part thereof purchased from Seller, or any equipment which was the subject of any Service performed by Seller, which has been subject to misuse, alteration, abuse, negligence, accident, acts of God or sabotage. No action by either party shall operate to extend or revive the foregoing limited warranties without the prior written consent of Seller.

V78.2107121151 6/9

8. Remedies for Breach. IN THE EVENT OF ANY BREACH OF WARRANTY BY SELLER, THE PARTIES AGREE THAT SELLER'S LIABILITY SHALL BE LIMITED EXCLUSIVELY TO THE REMEDIES OF REPAIR OR REPLACEMENT (AT SELLER’S SOLE DISCRETION) OF ANY DEFECTIVE PRODUCT OR THE RE-PERFORMANCE OF ANY DEFECTIVE SERVICES COVERED BY THE WARRANTY. In no event shall any repair or replacement of any defective Equipment or Parts, or the re‐performance of any defective Services covered by the Seller’s warranties in Section 7 extend the length of such warranties beyond the applicable periods specified in Section 7 above.

9. Limitation of Liability. NOTWITHSTANDING ANYTHING CONTAINED IN THIS AGREEMENT TO THE CONTRARY, SELLER AND ITS AFFILIATES SHALL NOT BE LIABLE FOR, AND SPECIFICALLY DISCLAIM, ANY LIABILITY FOR ANY: (A) LOST PROFITS AND/OR BUSINESS INTERRUPTION (WHETHER DIRECT OR INDIRECT); AND (B) INCIDENTAL, INDIRECT, CONSEQUENTIAL (WHETHER DIRECT OR INDIRECT) OR OTHER DAMAGES OR LOSSES OF ANY KIND, including without limitation, labor costs, loss of use, equipment rental, third party repairs, investigation costs, personal injury, emotional or mental distress, penalties, loss of service of personnel, or failure of Products to comply with any applicable laws; whether or not arising from breach of contract, warranty, negligence, product liability or otherwise. Notwithstanding anything contained herein to the contrary, in no event shall Seller’s liability exceed the total order value.

10. Limitation of Actions. Any action for breach of this agreement must be commenced within one (1) year after the cause of action has accrued.

11. Specification Changes. In the event Seller incurs additional expense because of changes in specifications or drawings previously approved by Buyer, or in the event Seller is required to modify the ordered Products, perform any additional Services, perform any additional work or supply any additional Products, the additional expense shall be added to the purchase price. Seller shall have the right, in its sole discretion, to accept or reject any changes in specifications requested by Buyer. In no event shall any changes in specifications be made or accepted thirty (30) days prior to launch date or thereafter.

12. Security Interest. Buyer grants Seller a security interest in the Products purchased and the proceeds thereof. The security interest shall continue until payment in full of the purchase price and payment and performance by Buyer of all of its other obligations hereunder. Seller is entitled to all remedies of a secured party after default under the Ohio Uniform Commercial Code or other applicable law, including but not limited to the applicable Personal Property Security Act in Canada, in addition to all other rights provided by contract and by operation of law. Buyer agrees to pay to Seller, in addition to the interest on overdue sums due, reasonable attorney fees, court costs and other expenses of Seller incurred in enforcing Seller's rights. The Products purchased shall remain personal property and shall not become or be deemed a fixture or a part of any real estate on which it may be located. Buyer agrees to execute any instrument or document considered necessary by Seller to perfect its security interest in the Products including, but not limited to, financing statements, chattel mortgages, deeds of trust, deeds to secure debt, mortgages or other security instruments.

13. Insurance. Until the purchase price of any Product is paid in full or the Service is completed, the Buyer shall provide and maintain insurance equal to the total value of any such Product delivered hereunder against customary casualties and risks; including, but not limited to fire and explosion, and shall also insure against liability for accidents and injuries to the public or to employees, by adding Seller as additional insured with waiver of subrogation, and in an amount satisfactory to Seller. If the Buyer fails to provide such insurance, it then becomes the Buyer's responsibility to notify the Seller so that the Seller may provide same; and the cost thereof shall be added to the contract price. All loss resulting from the failure to affect such insurance shall be assumed by the Buyer.

14. Return of Products. Products may be returned only with Seller's prior written consent and upon the following conditions: (i) such Products must be new, unused and undamaged (and not obsolete), in good working order and in first class marketable condition; (ii) such Products must have been originally purchased by Buyer from Seller within the previous twelve (12) month period; and (iii) such Products shall be returned in the same condition as that in which they were sold by Seller to Buyer, and in the original packaging. Notwithstanding the foregoing, wire rope, cut chain, electrical components, special orders of Products or any Products which are altered or manufactured pursuant to Buyer’s requirements and specifications are not returnable. The price for the repurchase of such Products shall be the invoice price previously received by Seller from Buyer for the Products in question, net of freight and taxes, and less a restocking fee to be determined by Seller at the time of the return.

15. Patents, Copyrights, Trademarks, Confidentiality. No license or other rights under any patents, copyrights or trademarks owned or controlled by Seller or under which Seller is licensed are granted to Buyer or implied by the sale of Products or the provision of Services. Buyer shall not identify as genuine products of Seller Products purchased hereunder which Buyer has treated, modified or altered in any way, nor shall Buyer use Seller's trademarks to identify such products; provided, however, that Buyer may identify such products as utilizing, containing or having been manufactured from genuine products of Seller as treated, modified or altered by Buyer or Buyer's representative, upon written prior approval of Seller. All plans, photographs, designs, drawings, blueprints, manuals, specifications and other documents relating to the business of Seller ("Information") shall be and remain the exclusive property of Seller and shall be treated by Buyer as confidential information and not disclosed, given, loaned, exhibited, sold or transferred to any third party without Seller’s prior written approval; provided, however, that these restrictions shall not apply to Information that Buyer can demonstrate: (a) at the time of disclosure, is generally known to the public other than as a result of a breach of this agreement by Buyer; or (b) is already in Buyer's possession at the time of disclosure by from a third party having a right to impart such Information.

16. Default and Seller's Remedies. In the event of default by Buyer, all unpaid sums and installments owed to Seller, shall, at the Seller's sole option, become immediately due and payable without notice of any kind to Buyer. In addition to its right of acceleration, Seller may pursue any and all remedies allowed by law or in equity, including but not limited to any and all remedies available to it under the Ohio Uniform Commercial Code. In addition to the foregoing, and not in limitation thereof, Seller shall have the right to set off any credits or amounts owed to Buyer against any amounts owed by Buyer to Seller.

V78.2107121151 7/9

17. Indemnification by Buyer. Buyer hereby agrees to indemnify, release, defend and hold harmless Seller, its directors, officers, employees, agents, representatives, successors, and assigns against any and all suits, actions or proceedings at law or in equity (including the costs, expenses and reasonable attorney's fees incurred in connection with the defense of any such matter) and from any and all claims demands, losses, judgments, damages, costs, expenses or liabilities, to any person whatsoever (including Buyer's and Seller's employees or any third party), or damage to any property (including Buyer's property) arising out of or in any way connected with any act, omission, negligence or willful misconduct of Buyer, its directors, officers, employees, agents, representatives, successors or assigns with respect to its purchase, use, operation, maintenance or installation of any Services or any Parts or Equipment furnished hereunder, or any breach by Buyer of these Terms and Conditions of Sale. If Buyer fails to fulfill any of its obligations under this paragraph or this agreement, Buyer agrees to pay Seller all costs, expenses and attorney's fees incurred by Seller to establish or enforce Seller's rights under this paragraph or this agreement. The provisions of this paragraph are in addition to any other rights or obligations set forth in this agreement.

18. Installation. Unless otherwise expressly agreed in writing, Buyer shall be solely responsible for the installation and erection of the Products purchased.

Although Seller may in some cases provide a serviceman, data and drawings to aid Buyer with installation or start‐up, Seller assumes no responsibility for proper installation or support of any Product when installed and disclaims any express or implied warranties with respect to such installation and support.

Notwithstanding whether data and drawings are provided or a serviceman aids in the installation, Buyer shall indemnify and hold Seller harmless and at Seller's request, defend Seller from all claims, demands or legal proceedings (including the costs, expenses and reasonable attorney's fees incurred in connection with the defense of any such matter) which may be made or brought against Seller in connection with damage or personal injury arising out of said installation or start‐up.

19. On-Site Services. In the event that Seller is providing Services at Buyer’s worksite (or at a location designated by Buyer), Buyer shall provide Seller free and clear access and an adequate power supply in order to perform the Services. Buyer shall maintain safe working conditions at the worksite, including, without limitation, implementing appropriate procedures regarding hazardous materials and energization and de‐energization of power systems. Buyer shall immediately remedy any unsafe working condition at the worksite. Seller shall be entitled to suspend or terminate the Services in the event it determines that the worksite is unsafe. Seller shall have no responsibility or liability for any pre‐existing condition of the worksite including, without limitation, violations of safety rules, building codes, zoning ordinances or other laws or regulations (“Regulations”). In the event that any unsafe working condition or failure of the worksite to comply with a Regulation results in an increase in the Seller’s cost of, or the time required for, performance of the Services, Seller may make an equitable adjustment in price and schedule. Buyer authorizes Seller to perform the disassembly and inspection of any equipment necessary to provide the Services, including provision of all necessary Parts and labor, and agrees that Seller is not responsible for any damage or loss due to causes beyond Seller’s control. Unless expressly agreed in writing, Services do not include architectural/engineering services or structural changes to Buyer’s premises.

20. Additional Terms of Equipment Services. In the event Seller performs Services on Equipment for Buyer, Buyer hereby authorizes Seller to inspect and disassemble the Equipment provided, and authorizes Seller to perform the Services indicated in the applicable estimate, quote or work order (including provision of all necessary parts and labor). Buyer agrees that Seller is not responsible for: (i) damage or loss to the Equipment, or loss of personal property, caused by fire, theft, or causes beyond Seller’s control, or (ii) delays in completion of Services caused by unavailability of parts or other causes. Buyer authorizes Seller and its employees to operate the Equipment on streets, highways or elsewhere for the purpose of testing and/or inspection. Buyer will be subject to a storage fee of $20 per day for any Equipment left on Seller’s premises more than fifteen (15) days after completion of the Services. Buyer grants Seller a security interest and lien in the Equipment and any parts supplied until payment in full of any amounts owed by Buyer to Seller. Seller is entitled to all remedies of a secured party after default under the Uniform Commercial Code in addition to all other rights provided under law or equity. Buyer agrees to pay to Seller, in addition to interest at the rate of 18% annually on overdue sums (or the maximum rate permitted by law), reasonable attorney fees, court costs and other expenses incurred by Seller in enforcing Seller's rights. Buyer agrees to execute any instrument or document considered necessary by Seller to perfect its security interest in the Equipment. In the event Buyer fails to retrieve the Equipment within ninety (90) days after completion of the Services, Buyer grants Seller a power of attorney to sell, or otherwise dispose of, such Equipment and to convey title to a purchaser of such Equipment, and to apply any sale proceeds against any amount owed by Buyer to Seller. In the event of default by Buyer, all unpaid sums owed to Seller shall, at Seller's sole option, become immediately due and payable without notice of any kind to Buyer.

21. Force Majeure. The Seller shall not be liable to the Buyer or be deemed to be in breach of this agreement by reason of any delay in performing, or any failure to perform, any of the Seller’s obligations in relation to the Products or Services if the delay or failure was due to any cause beyond the reasonable control of the Seller including (without limitation) strike, lockout, riot, civil commotion, fire, accident, explosion, tempest, act of God, war, epidemic, stoppage of transport, terrorist activity, supply shortage or changes in government, governmental agency, laws, regulations or administrative practices.

22. Anti-Corruption; Export Controls; No Boycotts. Buyer agrees that it shall, and that any party retained or paid by the Buyer (“Retained Party”) shall, comply with all applicable laws including, but not limited to, laws prohibiting public corruption and commercial bribery. Buyer further agrees that it shall, and that any Retained Party shall, comply with all applicable export controls, economic sanctions, embargoes and regulations regarding the export, re‐export, shipment, distribution and/or sale of Products, technology, information or warranty related services. Buyer further agrees that it shall not, and any Retained Party shall not, export or re‐export Products, technology, information or warranty related services directly or with its knowledge indirectly into Iran, Cuba, Syria, North Korea, the Crimea Region of the Ukraine or Russia without Buyer first obtaining written approval from Seller. Failure to comply strictly with this section and all applicable laws, regulations and licensing/approval requirements shall be grounds for immediate termination of this agreement by Seller. Notwithstanding anything to the contrary contained in any agreement between the Buyer and Seller or in any other document or agreement relating to the Products sold hereunder, Seller will not comply with requests related to the boycott of any country or other jurisdiction, except to the extent such boycott is required by or otherwise not inconsistent with United States law.

V78.2107121151 8/9

23. Telematics. If a telematics system is included with the Equipment, the telematics system is administered by a third party (“Teleservice Provider”) and collects a range of operational data about the Equipment including, but not limited to, usage, performance and reliability. Buyer consents to Seller’s obtaining such data from the Teleservice Provider for warranty, product improvement, marketing and customer support purposes. In addition to the foregoing, Buyer consents to Seller’s collection, management and reporting of data (personal and non‐personal) about the Equipment including, but not limited to, fuel consumption, up/down times, operation, defects, parts replacement, movement and location. Buyer shall gain any prior explicit consent from its customers and/or any third party, as required by applicable laws, enabling Seller and/or third parties to provide teleservices and data to Buyer. Buyer shall comply with all applicable laws relating to the provision of teleservices, including without limitations any applicable data protection laws.

24. Construction and Severability. This agreement constitutes the entire agreement between the parties regarding the subject matter hereto and shall be construed and enforced in accordance with the laws of the State of Ohio. Seller shall not be bound by any agent's, employees or any other representation, promise or inducement not set forth herein. The invalidity or unenforceability of any provisions of this agreement shall not affect any other provision and this agreement shall be construed in all respects as if such invalid or unenforceable provision were omitted.

25. Jurisdiction. The parties agree that the proper and exclusive forum and venue in all legal actions brought to enforce or construe any of the provisions of this sales order agreement shall be in the United States District Court, Northern District of Ohio or, if federal jurisdiction is lacking in such legal action, in the state courts in Cleveland, Ohio.

26. No Assignment. No rights arising under this agreement may be assigned by the Buyer unless expressly agreed to in writing by the Seller.

27. Miscellaneous. Buyer represents that: (i) it is solvent and has the financial ability to pay for the Products or Services; and (ii) it has all requisite right, power and authority to perform its obligations under this agreement.

V78.2107121151 9/9

Prepared for:

Sheldon Seward

TEREX UTILITIES BB
500 OAKWOOD RD
WATERTOWN, SD 57201
Phone: 605-882-5515

Prepared by:

Zachary Burt

FOUR STAR FREIGHTLINER OF

MONTGOMERY
3140 HAYNEVILLE ROAD
MONTGOMERY, AL 36108
Phone: 334-263-1085
Application Version 11.7.102
Data Version PRL-23M.039
2024 Spec 80
03/15/2022 7:42 AM

D I M E N S I O N S

VEHICLE SPECIFICATIONS SUMMARY - DIMENSIONS
Model ....................................................................................................................................................................................... M2106 Wheelbase (545) ..........................................................................................................................4800MM (189 INCH) WHEELBASE Rear Frame Overhang (552).................................................................................. 2550MM (100 INCH) REAR FRAME OVERHANG Fifth Wheel (578)................................................................................................................................................... NO FIFTH WHEEL Mounting Location (577) ............................................................................................................... NO FIFTH WHEEL LOCATION Maximum Forward Position (in)....................................................................................................................................................0 Maximum Rearward Position (in) .................................................................................................................................................0 Amount of Slide Travel (in)...........................................................................................................................................................0 Slide Increment (in)......................................................................................................................................................................0 Desired Slide Position (in).........................................................................................................................................................0.0 Cab Size (829)................................................................................106 INCH BBC FLAT ROOF ALUMINUM CONVENTIONAL CAB Sleeper (682)................................................................................................................................NO SLEEPER BOX/SLEEPERCAB Exhaust System (016) ........RH OUTBOARD UNDER STEP MOUNTED HORIZONTAL AFTERTREATMENT SYSTEM ASSEMBLY

WITH RH B-PILLAR MOUNTED VERTICAL TAILPIPE

TABLE SUMMARY - DIMENSIONS

Prepared for:

Sheldon Seward

TEREX UTILITIES BB
500 OAKWOOD RD
WATERTOWN, SD 57201
Phone: 605-882-5515

Prepared by:

Zachary Burt

FOUR STAR FREIGHTLINER OF

MONTGOMERY
3140 HAYNEVILLE ROAD
MONTGOMERY, AL 36108
Phone: 334-263-1085
Application Version 11.7.102
Data Version PRL-23M.039
2024 Spec 80
03/15/2022 7:42 AM

Performance calculations are estimates only. If performance calculations are critical, please contact Customer Application Engineering.

Prepared for:

Sheldon Seward

TEREX UTILITIES BB
500 OAKWOOD RD
WATERTOWN, SD 57201
Phone: 605-882-5515

Prepared by:

Zachary Burt

FOUR STAR FREIGHTLINER OF

MONTGOMERY
3140 HAYNEVILLE ROAD
MONTGOMERY, AL 36108
Phone: 334-263-1085
Application Version 11.7.102
Data Version PRL-23M.039
2024 Spec 80
03/15/2022 7:42 AM

S P E C I F I C A T I O N P R O P O S A L
Data Code

Description
Weight
Front
Weight
Rear
Price Level
PRL-23M M2 PRL-23M (EFF:01/21/20)
Data Version
DRL-039 SPECPRO21 DATA RELEASE VER 039
Vehicle Configuration
001-172 M2 106 CONVENTIONAL CHASSIS 5,709 3,503
004-223 2024 MODEL YEAR SPECIFIED
002-004 SET BACK AXLE - TRUCK
019-001 TRAILER TOWING PROVISION AT END OF

FRAME FOR TRUCK
10 10
003-001 LH PRIMARY STEERING LOCATION
General Service
AA1-003 TRUCK/TRAILER CONFIGURATION
AA6-002 DOMICILED, USA (EXCLUDING CALIFORNIA AND

CARB OPT-IN STATES)
A85-010 UTILITY/REPAIR/MAINTENANCE SERVICE
A84-1UT UTILITY BUSINESS SEGMENT
AA4-011 FIXED LOAD COMMODITY
AA5-006 TERRAIN/DUTY: 10% (SOME) OF THE TIME, IN

TRANSIT, IS SPENT ON NON-PAVED ROADS
AB1-008 MAXIMUM 8% EXPECTED GRADE
AB5-003 MAINTAINED GRAVEL OR CRUSHED ROCK -

MOST SEVERE IN-TRANSIT (BETWEEN SITES)

ROAD SURFACE
995-091 MEDIUM TRUCK WARRANTY
A66-99D EXPECTED FRONT AXLE(S) LOAD : 13220.0 lbs
A68-99D EXPECTED REAR DRIVE AXLE(S) LOAD :
21000.0 lbs
A63-99D EXPECTED GROSS VEHICLE WEIGHT CAPACITY
: 33000.0 lbs (Derated)

Prepared for:

Sheldon Seward

TEREX UTILITIES BB
500 OAKWOOD RD
WATERTOWN, SD 57201
Phone: 605-882-5515

Prepared by:

Zachary Burt

FOUR STAR FREIGHTLINER OF

MONTGOMERY
3140 HAYNEVILLE ROAD
MONTGOMERY, AL 36108
Phone: 334-263-1085
Application Version 11.7.102
Data Version PRL-23M.039
2024 Spec 80
03/15/2022 7:42 AM

Data Code

Description
Weight
Front
Weight
Rear
A70-99D EXPECTED GROSS COMBINATION WEIGHT :
45000.0 lbs
Truck Service
AA3-006 UTILITY BODY
AF3-2A5 TEREX
AF7-99D EXPECTED BODY/PAYLOAD CG HEIGHT ABOVE
FRAME "XX" INCHES : 32.0 in
Engine
101-21X CUM B6.7 300 HP @ 2600 RPM, 2600 GOV, 660
LB-FT @ 1600 RPM
Electronic Parameters
79A-075 75 MPH ROAD SPEED LIMIT
79B-000 CRUISE CONTROL SPEED LIMIT SAME AS ROAD

SPEED LIMIT
79K-005 PTO MODE ENGINE RPM LIMIT - 900 RPM
79M-001 PTO MODE BRAKE OVERRIDE - SERVICE

BRAKE APPLIED
79P-002 PTO RPM WITH CRUISE SET SWITCH - 700 RPM
79Q-002 PTO RPM WITH CRUISE RESUME SWITCH - 700
RPM
79S-001 PTO MODE CANCEL VEHICLE SPEED - 5 MPH
79U-007 PTO GOVERNOR RAMP RATE - 250 RPM PER
SECOND
79W-001 ONE REMOTE PTO SPEED
79X-001 PTO SPEED 1 SETTING - 700 RPM
80G-002 PTO MINIMUM RPM - 700
80J-001 REGEN INHIBIT SPEED THRESHOLD - 0 MPH
Engine Equipment
99C-021 2010 EPA/CARB/GHG21 CONFIGURATION
99D-010 NO 2008 CARB EMISSION CERTIFICATION
13E-001 STANDARD OIL PAN
105-001 ENGINE MOUNTED OIL CHECK AND FILL
014-099 SIDE OF HOOD AIR INTAKE WITH FIREWALL

MOUNTED DONALDSON AIR CLEANER
124-1D7 DR 12V 160 AMP 28-SI QUADRAMOUNT PAD

ALTERNATOR WITH REMOTE BATTERY VOLT
SENSE
292-205 (2) DTNA GENUINE, FLOODED STARTING, MIN
1900CCA, 350RC, THREADED STUD BATTERIES
290-017 BATTERY BOX FRAME MOUNTED

Prepared for:

Sheldon Seward

TEREX UTILITIES BB
500 OAKWOOD RD
WATERTOWN, SD 57201
Phone: 605-882-5515

Prepared by:

Zachary Burt

FOUR STAR FREIGHTLINER OF

MONTGOMERY
3140 HAYNEVILLE ROAD
MONTGOMERY, AL 36108
Phone: 334-263-1085
Application Version 11.7.102
Data Version PRL-23M.039
2024 Spec 80
03/15/2022 7:42 AM

Data Code

Description
Weight
Front
Weight
Rear
* 281-008 STANDARD BATTERY JUMPERS W / Additional
ground stud mounted 12 inches aft of the spring
shackle
282-001 SINGLE BATTERY BOX FRAME MOUNTED LH

SIDE UNDER CAB
291-017 WIRE GROUND RETURN FOR BATTERY CABLES

WITH ADDITIONAL FRAME GROUND RETURN
289-001 NON-POLISHED BATTERY BOX COVER
87P-001 CAB AUXILIARY POWER CABLE 5
295-029 POSITIVE AND NEGATIVE POSTS FOR

JUMPSTART LOCATED ON FRAME NEXT TO

STARTER
2 107-032 CUMMINS TURBOCHARGED 18.7 CFM AIR

COMPRESSOR WITH INTERNAL SAFETY VALVE
108-002 STANDARD MECHANICAL AIR COMPRESSOR

GOVERNOR
131-013 AIR COMPRESSOR DISCHARGE LINE
152-041 ELECTRONIC ENGINE INTEGRAL SHUTDOWN

PROTECTION SYSTEM
128-076 CUMMINS ENGINE INTEGRAL BRAKE WITH

VARIABLE GEOMETRY TURBO ON/OFF
20 016-1C2 RH OUTBOARD UNDER STEP MOUNTED

HORIZONTAL AFTERTREATMENT SYSTEM

ASSEMBLY WITH RH B-PILLAR MOUNTED

VERTICAL TAILPIPE
30 25
28F-007 ENGINE AFTERTREATMENT DEVICE,

AUTOMATIC OVER THE ROAD ACTIVE

REGENERATION AND DASH MOUNTED SINGLE

REGENERATION REQUEST/INHIBIT SWITCH
239-026 10 FOOT 06 INCH (126 INCH+0/-5.9 INCH)

EXHAUST SYSTEM HEIGHT
237-1CR RH CURVED VERTICAL TAILPIPE B-PILLAR

MOUNTED ROUTED FROM STEP
23U-001 6 GALLON DIESEL EXHAUST FLUID TANK
30N-003 100 PERCENT DIESEL EXHAUST FLUID FILL
43X-002 LH MEDIUM DUTY STANDARD DIESEL EXHAUST

FLUID TANK LOCATION
23Y-001 STANDARD DIESEL EXHAUST FLUID PUMP

MOUNTING
43Y-001 STANDARD DIESEL EXHAUST FLUID TANK CAP
242-011 ALUMINUM AFTERTREATMENT

DEVICE/MUFFLER/TAILPIPE SHIELD(S)
273-058 AIR POWERED ON/OFF ENGINE FAN CLUTCH

Prepared for:

Sheldon Seward

TEREX UTILITIES BB
500 OAKWOOD RD
WATERTOWN, SD 57201
Phone: 605-882-5515

Prepared by:

Zachary Burt

FOUR STAR FREIGHTLINER OF

MONTGOMERY
3140 HAYNEVILLE ROAD
MONTGOMERY, AL 36108
Phone: 334-263-1085
Application Version 11.7.102
Data Version PRL-23M.039
2024 Spec 80
03/15/2022 7:42 AM

Data Code

Description
Weight
Front
Weight
Rear
276-001 AUTOMATIC FAN CONTROL WITHOUT DASH

SWITCH, NON ENGINE MOUNTED
110-003 CUMMINS SPIN ON FUEL FILTER
118-001 FULL FLOW OIL FILTER
* 266-078 950 SQUARE INCH ALUMINUM RADIATOR 50
103-039 ANTIFREEZE TO -34F, OAT (NITRITE AND

SILICATE FREE) EXTENDED LIFE COOLANT
171-007 GATES BLUE STRIPE COOLANT HOSES OR

EQUIVALENT
172-001 CONSTANT TENSION HOSE CLAMPS FOR

COOLANT HOSES
270-016 RADIATOR DRAIN VALVE
168-002 LOWER RADIATOR GUARD
138-010 PHILLIPS-TEMRO 750 WATT/115 VOLT BLOCK
HEATER
4 140-053 BLACK PLASTIC ENGINE HEATER RECEPTACLE

MOUNTED UNDER LH DOOR
134-001 ALUMINUM FLYWHEEL HOUSING
132-004 ELECTRIC GRID AIR INTAKE WARMER
155-058 DELCO 12V 38MT HD STARTER WITH

INTEGRATED MAGNETIC SWITCH
Transmission
342-584 ALLISON 3500 RDS AUTOMATIC TRANSMISSION

WITH PTO PROVISION
200 60
Transmission Equipment
343-339 ALLISON VOCATIONAL PACKAGE 223 -
AVAILABLE ON 3000/4000 PRODUCT FAMILIES

WITH VOCATIONAL MODELS RDS, HS, MH AND
TRV
84B-012 ALLISON VOCATIONAL RATING FOR ON/OFF

HIGHWAY APPLICATIONS AVAILABLE WITH ALL

PRODUCT FAMILIES
84C-022 PRIMARY MODE GEARS, LOWEST GEAR 1,
START GEAR 1, HIGHEST GEAR 5, AVAILABLE
FOR 3000/4000 PRODUCT FAMILIES ONLY
84D-022 SECONDARY MODE GEARS, LOWEST GEAR 1,
START GEAR 1, HIGHEST GEAR 5, AVAILABLE
FOR 3000/4000 PRODUCT FAMILIES ONLY
84E-017 S5 PERFORMANCE LIMITING PRIMARY SHIFT
SCHEDULE, AVAILABLE FOR 3000/4000

PRODUCT FAMILIES ONLY

Prepared for:

Sheldon Seward

TEREX UTILITIES BB
500 OAKWOOD RD
WATERTOWN, SD 57201
Phone: 605-882-5515

Prepared by:

Zachary Burt

FOUR STAR FREIGHTLINER OF

MONTGOMERY
3140 HAYNEVILLE ROAD
MONTGOMERY, AL 36108
Phone: 334-263-1085
Application Version 11.7.102
Data Version PRL-23M.039
2024 Spec 80
03/15/2022 7:42 AM

Data Code

Description
Weight
Front
Weight
Rear
84F-018 S7 ECONOMY LIMITING SECONDARY SHIFT
SCHEDULE, AVAILABLE FOR 3000/4000

PRODUCT FAMILIES ONLY
84G-018 2600 RPM PRIMARY MODE SHIFT SPEED
84H-016 2400 RPM SECONDARY MODE SHIFT SPEED
84J-000 ENGINE BRAKE RANGE PRESELECT

RECOMMENDED BY DTNA AND ALLISON, THIS

DEFINED BY ENGINE AND VOCATIONAL USAGE
84K-000 ENGINE BRAKE RANGE ALTERNATE

PRESELECT RECOMMENDED BY DTNA AND

ALLISON, THIS DEFINED BY ENGINE AND

VOCATIONAL USAGE
84N-200 FUEL SENSE 2.0 DISABLED - PERFORMANCE -

TABLE BASED
84U-000 DRIVER SWITCH INPUT - DEFAULT - NO

SWITCHES
353-023 VEHICLE INTERFACE WIRING CONNECTOR

WITHOUT BLUNT CUTS, AT END OF FRAME
34C-001 ELECTRONIC TRANSMISSION CUSTOMER

ACCESS CONNECTOR FIREWALL MOUNTED
362-823 CUSTOMER INSTALLED CHELSEA 280 SERIES
PTO
363-001 PTO MOUNTING, LH SIDE OF MAIN

TRANSMISSION ALLISON
341-018 MAGNETIC PLUGS, ENGINE DRAIN,

TRANSMISSION DRAIN, AXLE(S) FILL AND
DRAIN
345-003 PUSH BUTTON ELECTRONIC SHIFT CONTROL,

DASH MOUNTED
97G-004 TRANSMISSION PROGNOSTICS - ENABLED 2013
370-015 WATER TO OIL TRANSMISSION COOLER, IN

RADIATOR END TANK
346-013 TRANSMISSION OIL CHECK AND FILL WITH

CROSSOVER TO CLEAR LH PTO AND DIRECT

MOUNT PUMP
35T-001 SYNTHETIC TRANSMISSION FLUID (TES-295

COMPLIANT)
Front Axle and Equipment
400-1A7 DETROIT DA-F-13.3-3 13,300# FF1 71.5 KPI/3.74

DROP SINGLE FRONT AXLE
402-049 MERITOR 16.5X5 Q+ CAST SPIDER CAM FRONT

BRAKES, DOUBLE ANCHOR, FABRICATED
SHOES
403-002 NON-ASBESTOS FRONT BRAKE LINING

Prepared for:

Sheldon Seward

TEREX UTILITIES BB
500 OAKWOOD RD
WATERTOWN, SD 57201
Phone: 605-882-5515

Prepared by:

Zachary Burt

FOUR STAR FREIGHTLINER OF

MONTGOMERY
3140 HAYNEVILLE ROAD
MONTGOMERY, AL 36108
Phone: 334-263-1085
Application Version 11.7.102
Data Version PRL-23M.039
2024 Spec 80
03/15/2022 7:42 AM

Data Code

Description
Weight
Front
Weight
Rear
419-001 CAST IRON OUTBOARD FRONT BRAKE DRUMS
409-006 FRONT OIL SEALS
408-001 VENTED FRONT HUB CAPS WITH WINDOW,

CENTER AND SIDE PLUGS - OIL
416-022 STANDARD SPINDLE NUTS FOR ALL AXLES
405-002 MERITOR AUTOMATIC FRONT SLACK

ADJUSTERS
536-050 TRW THP-60 POWER STEERING
539-003 POWER STEERING PUMP
534-015 2 QUART SEE THROUGH POWER STEERING

RESERVOIR
40T-001 MINERAL SAE 80/90 FRONT AXLE LUBE
Front Suspension
620-1D8 13,300# TAPERLEAF FRONT SUSPENSION 75
619-005 MAINTENANCE FREE RUBBER BUSHINGS -

FRONT SUSPENSION
* 62H-012 FRONT SUSPENSION WITH LEFT HAND AND

RIGHT HAND OFFSET SHACKLE BRACKETS
410-001 FRONT SHOCK ABSORBERS
Rear Axle and Equipment
420-1N0 MS-21-14X 21,000# R-SERIES SINGLE REAR
AXLE
10 421-557 5.57 REAR AXLE RATIO
424-001 IRON REAR AXLE CARRIER WITH STANDARD

AXLE HOUSING
386-073 MXL 17T MERITOR EXTENDED LUBE MAIN

DRIVELINE WITH HALF ROUND YOKES
452-001 DRIVER CONTROLLED TRACTION

DIFFERENTIAL - SINGLE REAR AXLE
20 878-018 (1) DRIVER CONTROLLED DIFFERENTIAL LOCK

REAR VALVE FOR SINGLE DRIVE AXLE
87B-004 BLINKING LAMP WITH EACH MODE SWITCH,

DIFFERENTIAL UNLOCK WITH IGNITION OFF,
ACTIVE <5 MPH
423-020 MERITOR 16.5X7 Q+ CAST SPIDER CAM REAR

BRAKES, DOUBLE ANCHOR, FABRICATED
SHOES
433-002 NON-ASBESTOS REAR BRAKE LINING
434-012 BRAKE CAMS AND CHAMBERS ON REAR SIDE

OF DRIVE AXLE(S)
451-023 CONMET CAST IRON REAR BRAKE DRUMS
440-006 REAR OIL SEALS

Prepared for:

Sheldon Seward

TEREX UTILITIES BB
500 OAKWOOD RD
WATERTOWN, SD 57201
Phone: 605-882-5515

Prepared by:

Zachary Burt

FOUR STAR FREIGHTLINER OF

MONTGOMERY
3140 HAYNEVILLE ROAD
MONTGOMERY, AL 36108
Phone: 334-263-1085
Application Version 11.7.102
Data Version PRL-23M.039
2024 Spec 80
03/15/2022 7:42 AM

Data Code

Description
Weight
Front
Weight
Rear
426-100 WABCO TRISTOP D LONGSTROKE 1-DRIVE

AXLE SPRING PARKING CHAMBERS
428-002 MERITOR AUTOMATIC REAR SLACK

ADJUSTERS
41T-002 CURRENT AVAILABLE SYNTHETIC 75W-90 REAR

AXLE LUBE
Rear Suspension
622-1MJ 23,000# 52 INCH VARIABLE RATE MULTI-LEAF

SPRING REAR SUSPENSION WITH LEAF

SPRING HELPER
110
621-001 SPRING SUSPENSION - NO AXLE SPACERS
431-001 STANDARD AXLE SEATS IN AXLE CLAMP
GROUP
Brake System
018-002 AIR BRAKE PACKAGE
490-100 WABCO 4S/4M ABS
871-001 REINFORCED NYLON, FABRIC BRAID AND WIRE

BRAID CHASSIS AIR LINES
904-001 FIBER BRAID PARKING BRAKE HOSE
412-001 STANDARD BRAKE SYSTEM VALVES
46D-002 STANDARD AIR SYSTEM PRESSURE

PROTECTION SYSTEM
413-002 STD U.S. FRONT BRAKE VALVE
432-003 RELAY VALVE WITH 5-8 PSI CRACK PRESSURE,

NO REAR PROPORTIONING VALVE
480-088 WABCO SYSTEM SAVER HP WITH INTEGRAL

AIR GOVERNOR AND HEATER
479-012 AIR DRYER MOUNTED UNDER HOOD
460-001 STEEL AIR BRAKE RESERVOIRS
607-001 CLEAR FRAME RAILS FROM BACK OF CAB TO

FRONT REAR SUSPENSION BRACKET, BOTH

RAILS OUTBOARD
477-004 PULL CABLES ON ALL AIR RESERVOIR(S)
Trailer Connections
* 914-035 AIR CONNECTIONS FOR EOF ONLY TIED TO
2ND TO LAST XMBR WITH 72" ADDITIONAL
HOSE
296-027 PRIMARY CONNECTOR/RECEPTACLE WIRED

FOR COMBINATION STOP/TURN, CENTER PIN

POWERED THROUGH IGNITION WITH STOP

SIGNAL PREWIRE PACKAGE

Prepared for:

Sheldon Seward

TEREX UTILITIES BB
500 OAKWOOD RD
WATERTOWN, SD 57201
Phone: 605-882-5515

Prepared by:

Zachary Burt

FOUR STAR FREIGHTLINER OF

MONTGOMERY
3140 HAYNEVILLE ROAD
MONTGOMERY, AL 36108
Phone: 334-263-1085
Application Version 11.7.102
Data Version PRL-23M.039
2024 Spec 80
03/15/2022 7:42 AM

Data Code

Description
Weight
Front
Weight
Rear
297-001 SAE J560 7-WAY PRIMARY TRAILER CABLE

RECEPTACLE MOUNTED END OF FRAME
335-004 UPGRADED CHASSIS MULTIPLEXING UNIT
32A-002 UPGRADED BULKHEAD MULTIPLEXING UNIT
Wheelbase & Frame
545-480 4800MM (189 INCH) WHEELBASE
546-102 7/16X3-9/16X11-1/8 INCH STEEL FRAME
(11.11MMX282.6MM/0.437X11.13 INCH) 120KSI
160 280
552-063 2550MM (100 INCH) REAR FRAME OVERHANG
55W-009 FRAME OVERHANG RANGE: 91 INCH TO 100
INCH
-50 210
AC8-99D CALC'D BACK OF CAB TO REAR SUSP C/L (CA) :
123.43 in
AE8-99D CALCULATED EFFECTIVE BACK OF CAB TO
REAR SUSPENSION C/L (CA) : 120.43 in
AE4-99D CALC'D FRAME LENGTH - OVERALL : 318.77 in
FSS-0LH CALCULATED FRAME SPACE LH SIDE : 87.87 in
FSS-0RH CALCULATED FRAME SPACE RH SIDE : 70.93 in
553-001 SQUARE END OF FRAME
550-001 FRONT CLOSING CROSSMEMBER
559-001 STANDARD WEIGHT ENGINE CROSSMEMBER
561-001 STANDARD CROSSMEMBER BACK OF

TRANSMISSION
562-001 STANDARD MIDSHIP #1 CROSSMEMBER(S)
572-001 STANDARD REARMOST CROSSMEMBER
565-001 STANDARD SUSPENSION CROSSMEMBER
Chassis Equipment
556-1AP THREE-PIECE 14 INCH PAINTED STEEL

BUMPER WITH COLLAPSIBLE ENDS
30 558-001 FRONT TOW HOOKS - FRAME MOUNTED 15
574-001 BUMPER MOUNTING FOR SINGLE LICENSE
PLATE
586-024 FENDER AND FRONT OF HOOD MOUNTED

FRONT MUDFLAPS
551-007 GRADE 8 THREADED HEX HEADED FRAME

FASTENERS
605-103 D15-28195-000 CENTER PUNCH TO MARK

CENTERLINE OF REAR SUSPENSION ON TOP

FLANGE OF FRAME
Fuel Tanks

Prepared for:

Sheldon Seward

TEREX UTILITIES BB
500 OAKWOOD RD
WATERTOWN, SD 57201
Phone: 605-882-5515

Prepared by:

Zachary Burt

FOUR STAR FREIGHTLINER OF

MONTGOMERY
3140 HAYNEVILLE ROAD
MONTGOMERY, AL 36108
Phone: 334-263-1085
Application Version 11.7.102
Data Version PRL-23M.039
2024 Spec 80
03/15/2022 7:42 AM

Data Code

Description
Weight
Front
Weight
Rear
204-215 50 GALLON/189 LITER SHORT RECTANGULAR

ALUMINUM FUEL TANK - LH
20 218-005 RECTANGULAR FUEL TANK(S)
215-005 PLAIN ALUMINUM/PAINTED STEEL

FUEL/HYDRAULIC TANK(S) WITH PAINTED
BANDS
212-007 FUEL TANK(S) FORWARD
664-001 PLAIN STEP FINISH
205-001 FUEL TANK CAP(S)
122-1J1 DETROIT FUEL/WATER SEPARATOR WITH

WATER IN FUEL SENSOR, HAND PRIMER AND
12 VOLT PREHEATER"
-5
216-020 EQUIFLO INBOARD FUEL SYSTEM
202-016 HIGH TEMPERATURE REINFORCED NYLON

FUEL LINE
Tires
093-1YX CONTINENTAL HSC3 11R22.5 16 PLY RADIAL

FRONT TIRES
48 094-12P CONTINENTAL HDR2+ 11R22.5 14 PLY RADIAL

REAR TIRES
92 Hubs
418-060 CONMET PRESET PLUS PREMIUM IRON FRONT
HUBS
450-060 CONMET PRESET PLUS PREMIUM IRON REAR
HUBS
Wheels
502-657 ACCURIDE 51408 ACCU-LITE 22.5X8.25 10-HUB
PILOT 6.16 INSET 2-HAND STEEL DISC FRONT
WHEELS
505-657 ACCURIDE 51408 ACCU-LITE 22.5X8.25 10-HUB
PILOT 2-HAND STEEL DISC REAR WHEELS
496-011 FRONT WHEEL MOUNTING NUTS
497-011 REAR WHEEL MOUNTING NUTS
Cab Exterior
829-071 106 INCH BBC FLAT ROOF ALUMINUM

CONVENTIONAL CAB
650-008 AIR CAB MOUNTING
678-998 NO GRAB HANDLES
646-023 HOOD MOUNTED CHROMED PLASTIC GRILLE
65X-003 CHROME HOOD MOUNTED AIR INTAKE GRILLE
644-004 FIBERGLASS HOOD

Prepared for:

Sheldon Seward

TEREX UTILITIES BB
500 OAKWOOD RD
WATERTOWN, SD 57201
Phone: 605-882-5515

Prepared by:

Zachary Burt

FOUR STAR FREIGHTLINER OF

MONTGOMERY
3140 HAYNEVILLE ROAD
MONTGOMERY, AL 36108
Phone: 334-263-1085
Application Version 11.7.102
Data Version PRL-23M.039
2024 Spec 80
03/15/2022 7:42 AM

Data Code

Description
Weight
Front
Weight
Rear
727-1AF SINGLE 14 INCH ROUND HADLEY AIR HORN

UNDER LH DECK
4 726-001 SINGLE ELECTRIC HORN
728-001 SINGLE HORN SHIELD
575-001 REAR LICENSE PLATE MOUNT END OF FRAME
312-038 INTEGRAL HEADLIGHT/MARKER ASSEMBLY

WITH CHROME BEZEL
302-001 (5) AMBER MARKER LIGHTS
294-090 OMIT STOP/TAIL/BACKUP LIGHTS AND PROVIDE

WIRING FOR COMBINED STOP/TURN LIGHTS TO

FOUR FEET BEYOND END OF FRAME
-5
300-015 STANDARD FRONT TURN SIGNAL LAMPS
744-1BH DUAL WEST COAST MOLDED-IN COLOR

MIRRORS
797-001 DOOR MOUNTED MIRRORS
796-001 102 INCH EQUIPMENT WIDTH
743-1AP LH AND RH 8 INCH MOLDED-IN COLOR CONVEX
MIRRORS M0UNTED UNDER PRIMARY

MIRRORS
729-001 STANDARD SIDE/REAR REFLECTORS
275-061 PARK BRAKE REMINDER WARNING SYSTEM
768-043 63X14 INCH TINTED REAR WINDOW
661-003 TINTED DOOR GLASS LH AND RH WITH TINTED

NON-OPERATING WING WINDOWS
654-027 RH AND LH ELECTRIC POWERED WINDOWS,

PASSENGER SWITCHES ON DOOR(S)
4 663-013 1-PIECE SOLAR GREEN GLASS WINDSHELD
659-019 2 GALLON WINDSHIELD WASHER RESERVOIR

WITHOUT FLUID LEVEL INDICATOR, FRAME

MOUNTED
Cab Interior
707-1AK OPAL GRAY VINYL INTERIOR
706-013 MOLDED PLASTIC DOOR PANEL
708-013 MOLDED PLASTIC DOOR PANEL
772-006 BLACK MATS WITH SINGLE INSULATION
785-001 DASH MOUNTED ASH TRAYS AND LIGHTER
691-008 FORWARD ROOF MOUNTED CONSOLE WITH

UPPER STORAGE COMPARTMENTS WITHOUT

NETTING
694-010 IN DASH STORAGE BIN
742-007 (2) CUP HOLDERS LH AND RH DASH

Prepared for:

Sheldon Seward

TEREX UTILITIES BB
500 OAKWOOD RD
WATERTOWN, SD 57201
Phone: 605-882-5515

Prepared by:

Zachary Burt

FOUR STAR FREIGHTLINER OF

MONTGOMERY
3140 HAYNEVILLE ROAD
MONTGOMERY, AL 36108
Phone: 334-263-1085
Application Version 11.7.102
Data Version PRL-23M.039
2024 Spec 80
03/15/2022 7:42 AM

Data Code

Description
Weight
Front
Weight
Rear
680-006 GRAY/CHARCOAL FLAT DASH
700-002 HEATER, DEFROSTER AND AIR CONDITIONER
701-001 STANDARD HVAC DUCTING
703-005 MAIN HVAC CONTROLS WITH RECIRCULATION
SWITCH
170-015 STANDARD HEATER PLUMBING
130-041 VALEO HEAVY DUTY A/C REFRIGERANT

COMPRESSOR
702-002 BINARY CONTROL, R-134A
739-033 STANDARD INSULATION
285-013 SOLID-STATE CIRCUIT PROTECTION AND
FUSES
280-007 12V NEGATIVE GROUND ELECTRICAL SYSTEM
324-011 DOME DOOR ACTIVATED LH AND RH, DUAL

READING LIGHTS, FORWARD CAB ROOF
657-001 DOOR LOCKS AND IGNITION SWITCH KEYED

THE SAME
78G-002 KEY QUANTITY OF 2
655-005 LH AND RH ELECTRIC DOOR LOCKS
284-023 (1) 12 VOLT POWER SUPPLY IN DASH
756-338 BASIC ISRINGHAUSEN HIGH BACK AIR

SUSPENSION DRIVERS SEAT WTIH

MECHANICAL LUMBAR AND INTEGRATED

CUSHION EXTENSION
30 760-235 2 MAN TOOL BOX MID BACK NON SUSPENSION

PASSENGER SEAT
20 711-004 LH AND RH INTEGRAL DOOR PANEL ARMRESTS
758-036 VINYL WITH VINYL INSERT DRIVER SEAT
761-036 VINYL WITH VINYL INSERT PASSENGER SEAT
763-101 BLACK SEAT BELTS
532-002 ADJUSTABLE TILT AND TELESCOPING

STEERING COLUMN
10 540-015 4-SPOKE 18 INCH (450MM) STEERING WHEEL
765-002 DRIVER AND PASSENGER INTERIOR SUN
VISORS
Instruments & Controls
732-004 GRAY DRIVER INSTRUMENT PANEL
734-004 GRAY CENTER INSTRUMENT PANEL
870-001 BLACK GAUGE BEZELS

Prepared for:

Sheldon Seward

TEREX UTILITIES BB
500 OAKWOOD RD
WATERTOWN, SD 57201
Phone: 605-882-5515

Prepared by:

Zachary Burt

FOUR STAR FREIGHTLINER OF

MONTGOMERY
3140 HAYNEVILLE ROAD
MONTGOMERY, AL 36108
Phone: 334-263-1085
Application Version 11.7.102
Data Version PRL-23M.039
2024 Spec 80
03/15/2022 7:42 AM

Data Code

Description
Weight
Front
Weight
Rear
486-006 LOW AIR PRESSURE INDICATOR LIGHT AND
AUDIBLE ALARM WITH (1) ADDITIONAL PARK

SWITCH FOR CUSTOMER USE
840-002 2 INCH PRIMARY AND SECONDARY AIR

PRESSURE GAUGES
198-025 INTAKE MOUNTED AIR RESTRICTION

INDICATOR WITHOUT GRADUATIONS
149-013 ELECTRONIC CRUISE CONTROL WITH

SWITCHES IN LH SWITCH PANEL
156-007 KEY OPERATED IGNITION SWITCH AND
INTEGRAL START POSITION; 4 POSITION

OFF/RUN/START/ACCESSORY
811-042 ICU3S, 132X48 DISPLAY WITH DIAGNOSTICS, 28

LED WARNING LAMPS AND DATA LINKED
160-038 HEAVY DUTY ONBOARD DIAGNOSTICS

INTERFACE CONNECTOR LOCATED BELOW LH
DASH
844-001 2 INCH ELECTRIC FUEL GAUGE
148-003 PROGRAMMABLE RPM CONTROL -

ELECTRONIC ENGINE
856-001 ELECTRICAL ENGINE COOLANT TEMPERATURE
GAUGE
864-001 2 INCH TRANSMISSION OIL TEMPERATURE
GAUGE
830-017 ENGINE AND TRIP HOUR METERS INTEGRAL

WITHIN DRIVER DISPLAY
372-051 CUSTOMER FURNISHED AND INSTALLED PTO

CONTROLS
852-002 ELECTRIC ENGINE OIL PRESSURE GAUGE
679-001 OVERHEAD INSTRUMENT PANEL
746-137 AM/FM/WB WORLD TUNER RADIO WITH

BLUETOOTH, USB AND AUXILIARY INPUTS,
J1939
10 747-001 DASH MOUNTED RADIO
750-002 (2) RADIO SPEAKERS IN CAB
753-008 AM/FM ANTENNA MOUNTED ON LH SIDE
MIRROR
810-027 ELECTRONIC MPH SPEEDOMETER WITH

SECONDARY KPH SCALE, WITHOUT

ODOMETER
817-001 STANDARD VEHICLE SPEED SENSOR
812-001 ELECTRONIC 3000 RPM TACHOMETER
162-011 IDLE LIMITER, ELECTRONIC ENGINE
482-001 BW TRACTOR PROTECTION VALVE

Prepared for:

Sheldon Seward

TEREX UTILITIES BB
500 OAKWOOD RD
WATERTOWN, SD 57201
Phone: 605-882-5515

Prepared by:

Zachary Burt

FOUR STAR FREIGHTLINER OF

MONTGOMERY
3140 HAYNEVILLE ROAD
MONTGOMERY, AL 36108
Phone: 334-263-1085
Application Version 11.7.102
Data Version PRL-23M.039
2024 Spec 80
03/15/2022 7:42 AM

Data Code

Description
Weight
Front
Weight
Rear
883-001 TRAILER HAND CONTROL BRAKE VALVE
836-015 DIGITAL VOLTAGE DISPLAY INTEGRAL WITH

DRIVER DISPLAY
660-008 SINGLE ELECTRIC WINDSHIELD WIPER MOTOR

WITH DELAY
304-001 MARKER LIGHT SWITCH INTEGRAL WITH

HEADLIGHT SWITCH
882-004 TWO VALVE PARKING BRAKE SYSTEM WITH

WARNING INDICATOR
299-013 SELF CANCELING TURN SIGNAL SWITCH WITH

DIMMER, WASHER/WIPER AND HAZARD IN
HANDLE
298-039 INTEGRAL ELECTRONIC TURN SIGNAL

FLASHER WITH HAZARD LAMPS OVERRIDING

STOP LAMPS
Design
065-000 PAINT: ONE SOLID COLOR
Color
980-5F6 CAB COLOR A: L0006EY WHITE ELITE EY
986-020 BLACK, HIGH SOLIDS POLYURETHANE CHASSIS
PAINT
962-972 POWDER WHITE (N0006EA) FRONT
WHEELS/RIMS (PKWHT21, TKWHT21, W, TW)
966-972 POWDER WHITE (N0006EA) REAR
WHEELS/RIMS (PKWHT21, TKWHT21, W, TW)
964-6Z7 BUMPER PAINT: FP24812 ARGENT SILVER

DUPONT FLEX
963-003 STANDARD E COAT/UNDERCOATING
Certification / Compliance
996-001 U.S. FMVSS CERTIFICATION, EXCEPT SALES

CABS AND GLIDER KITS
Raw Performance Data
AE8-99D CALCULATED EFFECTIVE BACK OF CAB TO
REAR SUSPENSION C/L (CA) : 120.43 in
Sales Programs

NO SALES PROGRAMS HAVE BEEN SELECTED

T O T A L V E H I C L E S U M M A R Y

Prepared for:

Sheldon Seward

TEREX UTILITIES BB
500 OAKWOOD RD
WATERTOWN, SD 57201
Phone: 605-882-5515

Prepared by:

Zachary Burt

FOUR STAR FREIGHTLINER OF

MONTGOMERY
3140 HAYNEVILLE ROAD
MONTGOMERY, AL 36108
Phone: 334-263-1085
Application Version 11.7.102
Data Version PRL-23M.039
2024 Spec 80
03/15/2022 7:42 AM

Weight Summary
Weight
Front
Weight
Rear
Total
Weight
Factory Weight+ 6401 lbs 4315 lbs 10716 lbs
Total Weight+ 6401 lbs 4315 lbs 10716 lbs
Extended Warranty
WAG-010 TOWING: 1 YEAR/UNLIMITED MILES/KM EXTENDED TOWING COVERAGE $550 CAP FEX APPLIES (AT NO ADDITIONAL CHARGE) (+) Weights shown are estimates only.

If weight is critical, contact Customer Application Engineering. (***) All cost increases for major components (Engines, Transmissions, Axles, Front and Rear Tires) and government mandated requirements, tariffs, and raw material surcharges will be passed through and added to factory invoices.

Agenda Item 24

CITY OF YUBA CITY

STAFF REPORT
Date: May 17, 2022
To: Honorable Mayor & Members of the City Council
From: Public Works Department
Presentation By: Ben Moody, Public Works & Development Services Director Summary
Subject: Development Impact Fees – Ad Hoc Committee
Recommendation: Re-establish and designate two (2) Councilmembers to steer the Development Impact Fee Ad Hoc Committee for a period not to exceed one (1) year, unless additional action is taken by the Council
Fiscal Impact: Costs associated with staff time supporting the committee Purpose:

To evaluate the City’s Development Impact Fees in an effort to efficiently balance the needs of the City with development requirements.

Council’s Strategic Goal:

This item directly relates to all of the City Council’s Strategic Goals of Infrastructure, Fiscal Responsibility, Public Safety, and providing a Business-Friendly environment - where continuous efforts to evaluate the City’s Development Impact Fees help maintain and enhance the quality of life for City residents.

Background:

The City Council held a special workshop on December 2, 2019, to discuss the City’s Development Impact Fees. Based on the discussion, on December 17, 2019, Council approved the formation of an Ad Hoc Development Impact Fee Committee (Committee) comprised of two (2) Councilmembers, staff, and representatives.

The Committee identified short-term, mid-range, and long-term objectives to facilitate development in Yuba City.

At the Council’s March 17, 2020 meeting, the Council confirmed the Committee’s recommendation that impact fees be reduced across the City limits to match the Infill Development Impact Fee rate, and adopted an Overhead Utility Policy.

Since Council’s March 17, 2020 actions, staff and Council have been coordinating towards addressing the additional mid and long-term objectives identified by the Committee. Work has included rescending

outdated City Growth Plans and Specific Plans, updating a Citywide traffic model, work to implement infrastructure and Impact fee financing options through the SCIP program, coordinated discussions with the school district regarding fee payment options, and coordination to remove the City’s levee impact fee.

Analysis:

The previous Committee identified the long-term objective to update the City’s AB1600 study and associated impact fees. Staff in coordination with the City’s traffic engineering consultant has substantially completed a City-wide traffic model and cost update. Due to significant changes that may result with the implementation of an updated traffic model and associated implementation policies, staff recommends to re-establish the Development Impact Fee Ad Hoc Committee to review the information and provide policy recommendations for Council consideration.

The two Councilmembers designated to steer the Ad Hoc Committee will coordinate with staff to solicit Committee members, facilitate the meetings, identify necessary staff to participate in each meeting, and coordinate the preparation of a report with recommendations as applicable to the entire City Council.

Fiscal Impact:

Costs associated with staff time supporting the committee.

Alternatives:

Do not form the committee and/or provide staff alternative direction.

Recommendation:

Re-establish and designate two (2) Councilmembers to steer the Development Impact Fee Ad Hoc Committee for a period not to exceed one (1) year, unless additional action is taken by the Council.

Attachments:

None
Prepared By: Submitted By:

Ben Moody
Public Works & Development Services Director
Diana Langley
City Manager

Agenda Item 25

CITY OF YUBA CITY

STAFF REPORT
Date: May 17, 2022
To: Honorable Mayor & Members of the City Council
From: Public Works Department
Presentation By: Ben Moody, Public Works & Development Services Director Summary
Subject: Barry Elementary School Waterline Extension Project (Plans & Specifications) Recommendation: A. Adopt a Resolution approving the plans and specifications for the Barry Elementary School Waterline Extension Project (15-06) and authorizing advertisement for bids on the project
B. Adopt a Resolution designating and authorizing the Public Works Director to sign and enter into the Initial Drinking Water State Revolving Fund Construction Loan Funding Agreement, and any amendments made thereto, with the State Water Resource Control Board for construction of the Barry Elementary School Waterline Extension Project, subject to approval as to legal form by the City Attorney
C. Adopt a Resolution authorizing the City Manager to execute an Out of Agency Water Service Agreement with Yuba City Unified School District in accordance with Sutter County Local Agency Formation Commission (LAFCO) requirements and the terms of the State Funding Agreement, subject to review and approval as to legal form by the City Attorney
Fiscal Impact: Engineer’s Estimate: $3,923,000 – Account No. 1258 (Barry School Water Transmission Line)
Purpose:

To facilitate the construction of the Barry School Waterline Extension Project to provide water service to Barry Elementary School.

Council’s Strategic Goal:

This project addresses City Council’s Strategic Goals of improving the City’s Infrastructure and operating our City government in a fiscally responsible manner.

Background:

Barry Elementary School is located at 1255 Barry Road in Yuba City, and it has a student population of approximately 700 students. In 2009, the California Department of Public Health issued a nonPage 312 of 380 compliance order to Barry Elementary School for non-compliance with a maximum contaminant level for arsenic. In coordination with the State Water Resources Control Board (State), the school prepared a Feasibility Study to determine viable options to provide clean drinking water to the school. Due to long term costs and operation requirements for onsite treatment, the study determined that the most viable option was to obtain water from the City.

On June 2, 2015, Council approved providing water service to Barry Elementary School and authorized staff to proceed with a state grant application to determine project eligibility and funding. On September 1, 2015, Council authorized the City Manager to sign a financial assistance application for a financing agreement with the State for the planning and design of the Barry Elementary School Waterline Extension Project. The project includes the construction of approximately 12,580 LF of new City waterlines to extend water services to Barry Elementary School (Attachment 5).

In August 2016, Council approved the project's Environmental Initial Study/Mitigated Negative Declaration. There has not been any substantial new information acquired nor changes to the project since it was evaluated, and no further evaluation for this portion of the project is required under CEQA.

On January 16, 2018, Council approved an agreement for professional services to MHM, Inc. of Marysville for design of the project.

Since the City’s initial application in 2015, the project review period, by the State, lapsed several fiscal years while funding was trying to be programmed and thus underwent multiple internal State processes for financial and technical evaluations. Staff submitted all required documents to the State in a timely fashion upon request. On March 15, 2022, the State concluded their final review of the City’s financial application and released an Initial Draft Funding Agreement (Attachment 2a) providing for $2,380,000 in principal forgiveness for all costs encumbered through planning, design, and construction.

Analysis:

Plans and Specifications:

The plans, specifications, and estimate for the Barry Elementary School Waterline Extension Project have been completed. Staff proposes to move forward with the project at the following anticipated schedule, with the supposition that Council approves the project and the State Funding Agreement is executed by both parties:

Advertise for Bid: June - July 2022
Final Budget Approval Process: August 2022 – October 2022 Award Contract: November 2022
Start of Construction: December 2022
Completion: Winter 2023
The plans and specifications for the project are on file in the Public Works Department at City Hall and at http://www.yubacity.net/publicworksplans for review.

Funding Agreement:

The State has requested that the City give authority for designated staff to enter into the pending project Initial Funding Agreement. The Initial Funding Agreement will commit the State to provide full funding amounts, and for the City to construct the waterline project in accordance with the terms of the agreement. The State will submit the initial agreement for execution within a thirty (30) day time frame upon Council resolution designating and authorizing the Public Works Director to execute.

Due to the existing inflationary environment and extremely high construction material and labor costs,

staff believes the principal forgiveness funding amount of $2,380,000 is insufficient. Staff presented the State with an updated estimate of $3,923,000 based on cost comparisons and adjustments of similar items of work for the Bridge St. Widening Project and other similar state-funded projects within the last 6 months.

Upon review of the updated estimate submitted by the City and internal files for similarly funded projects bidding for over the original funding amount, the State acknowledges the existing principal forgiveness amount of $2,380,000 is too low.

With assurances from State staff and due to State processes, staff recommends authorizing the Public Works Director to execute the Initial Funding Agreement to avoid further delays, with the assurance that a State Funding Amendment will need to be processed prior to award.

The State’s Credit Department has approved the revised $3,923,000 (Attachment 4) and the Division of Financial Assistance has provided reasonable assurances that the project will be 100% funded given the substantial increase in funding expected upon receiving bids, citing the school’s water quality and profile, and assuming the City’s financials will not change. Additionally, the DWSRF Intended Use Plan (IUP) stipulates Category A-C consolidation projects that serve small disadvantaged communities (DACS), small severely disadvantaged communities (SDACs), expanded small DACs/SDACs, medium DACs, or small non-DACs with median household income (MHIs) less than 150% of the statewide MHI, are eligible for 100% grant/principal forgiveness (PF) funding up to $60,000 per connection. The number of connections for the project is calculated by taking the population of Barry Elementary School (650) and dividing it by 3.3 (per Drinking Water Standards) for 197 connections, so the revised cost of $3,923,000 is well within program limits.

Upon bid review, staff will complete a Final Budget Approval Package (FBA Package) with actual costs based on bids. This package will be submitted to the State for review and approval prior to award of a construction contract. The State review period is expected to take 60-90 days. The bid specifications require bids to be valid for 120-days.

Water Service Agreement:

The State requires the City enter into an Out of Agency Water Service Agreement (Attachment 3a) to finalize conditions for State funding, and to implement the project in accordance with Sutter County Local Agency Formation Commission (LAFCO) requirements and terms established with Barry Elementary School as a new water customer outside the City limits and City sphere of influence.

On March 5, 2019, City Council adopted a policy allowing existing parcels within the Sphere of Influence, but outside the City limits, to connect to City water services if the owner enters into an Extraterritorial Water Service Agreement. The Out of Agency Water Service Agreement with Yuba City Unified, is a modified City Extra Territorial Water Service Agreement incorporating LAFCO requirements allowing the City to provide water service outside the City’s sphere of influence. The general intent of the agreement is to highlight details of the City’s intent to build a waterline and provide water services to Barry Elementary School, with funding from the state. Additionally, the State requires the City to maintain the 3-inch distribution waterline from the City water main to the point of connection at Barry Elementary School. The agreement requires Yuba City Unified to reimburse the City for the cost of maintaining this distribution waterline.

LAFCO approved the Out of Agency Water Service Agreement at their July 8, 2020 meeting. The agreement was also approved by Yuba City Unified School District at their May 6, 2020 Board meeting (Attachment 3b).

Staff has worked with the City Attorney, State, and Yuba City Unified School District to work out the

terms of the agreement that are acceptable to all parties.

Fiscal Impact:

The estimated total project cost is $3,923,000 including design, contingency, construction management, and inspection costs. The project is anticipated to be 100% funded through the Drinking Water State Revolving Fund Drinking Water Construction Loan Grant and encumbered through CIP Account No. 1258 (Barry School Water Transmission Line).

Detailed fiscal impacts will be presented to Council at the award of the contract based on the actual bid amounts and revised FBA package approved by the State.

Prior to award, there will be an opportunity to terminate the Agreement if the State does not provide 100% funding through an anticipated amendment based on the actual bid amount.

Environmental:

A draft Initial Study/Mitigated Negative Declaration (IS/MND), was prepared and filed with the State Clearinghouse (SCH # 2016062026) on June 9, 2016 and the Sutter County Clerk on June 9, 2016.

The draft IS/MND was circulated for public review from June 9, 2016 through July 11, 2016. No comments were received during the public review period. Council adopted the final version of the Mitigated Negative Declaration on August 16, 2016.

There has not been any substantial new information acquired nor changes to the project since it was evaluated, and no further evaluation for this portion of the project is required under CEQA.

Alternatives:

Provide staff with alternative direction related to the project and funding.

Recommendation:

A. Adopt a Resolution approving the plans and specifications for the Barry Elementary School Waterline Extension Project (15-06) and authorizing advertisement for bids on the project.

B. Adopt a Resolution designating and authorizing the Public Works Director to sign and enter into the Initial Drinking Water State Revolving Fund Construction Loan Funding Agreement, and any amendments made thereof, with the State Water Resource Control Board for construction of the Barry Elementary School Waterline Extension Project, subject to approval as to legal form by the City Attorney.

C. Adopt a Resolution authorizing the City Manager to execute a Extraterritorial Water Service Agreement with Yuba City Unified School District in accordance with Sutter County Local Agency Formation Commission (LAFCO) requirements and the terms of the State Funding Agreement, subject to review and approval as to legal form by the City Attorney.

Attachments:

1. Resolution – Barry Elementary School Waterline Extension Project Approval of Plans and Specifications

2. Resolution – Barry Elementary School Waterline Extension Project Authorizing Agreement

3. Draft Initial Funding Agreement

4. Resolution – Barry Elementary School Waterline Extension Project Water Service Agreement

5. State Correspondence – Barry Elementary School Waterline Extension Project

6. Vicinity Map – Barry Elementary School Waterline Extension Project Prepared By: Submitted By:

Nick Menezes
Assistant Engineer
Diana Langley
City Manager

ATTACHMENT 1

RESOLUTION NO.

RESOLUTION OF THE CITY COUNCIL OF THE CITY OF YUBA CITY

APPROVING THE PLANS AND SPECIFICATIONS FOR THE BARRY
SCHOOL WATERLINE EXTENSION PROJECT (PROJECT NO. 15-06)

AND AUTHORIZNG ADVERTISEMENT FOR BIDS ON THE PROJECT
WHEREAS, the Public Works Department intends to solicit bids for construction of the Barry School Waterline Extension Project (15-06) (Project).

NOW, THEREFORE, be it resolved and ordered by the City Council of Yuba City as follows:

1. The Council finds this project has been fully assessed for the purposes of the California Environmental Quality Act (CEQA). An initial study and Mitigated Negative Declaration were previously prepared and adopted by the City for the Project. This approval is to implement that project. An analysis has been performed pursuant CEQA Guidelines §15162 to determine whether subsequent environmental review is required for the approval of this agreement and associated construction. Based upon this analysis, no subsequent environmental review is required as i) no substantial changes are proposed in the project which will require major revisions of the previous Mitigated Negative Declaration due to the involvement of new significant environmental effects or a substantial increase in the severity of previously identified significant effects; ii) no substantial changes have occurred with respect to the circumstances under which the project is undertaken which will require major revisions of the previous negative declaration due to the involvement of new significant environmental effects or a substantial increase in the severity of previously identified significant effects; iii) there is no new information, which was not known and could not have been known at the time of the adoption of the previous Mitigated Negative Declaration that the project will have significant effect not discussed in the Mitigated Negative Declaration. Furthermore, since a Mitigated Negative Declaration was previously adopted for this project, the considerations set forth in CEQA Guidelines §15162(a)(3)(C) and (D), related to the adequacy and feasibility of previously adopted mitigation measures, are not applicable. Based upon these findings, it has been determined that no further environmental documentation is required for this project.

2. The plans and specifications for the Project are approved.

3. The Public Works Department is hereby authorized and directed to advertise for bids for the Project.

The foregoing Resolution was duly and regularly introduced, passed, and adopted by the City Council of the City of Yuba City at a regular meeting thereof held on the 17th day of May, 2022.

AYES:

NOES:

ABSENT:

Dave Shaw, Mayor
ATTEST:

Ciara Wakefield, Deputy City Clerk

APPROVED AS TO FORM
COUNSEL FOR YUBA CITY:

Shannon Chaffin, City Attorney
Aleshire & Wynder, LLP

ATTACHMENT 2

RESOLUTION NO. ________________

RESOLUTION OF THE CITY COUNCIL OF THE CITY OF YUBA CITY

DESIGNATING AND AUTHORIZING THE PUBLIC WORKS DIRECTOR TO EXECUTE THE

DRINKING WATER STATE REVOLVING FUND CONSTRUCTION FINANCIAL ASSISTANCE

AGREEMENT AND AMENDMENTS OR CHANGES THERETO AND CERTIFY FINANCING

AGREEMENT DISBURSEMENTS ON BEHALF OF THE CITY OF YUBA CITY FOR THE

IMPLEMENTATION OF THE BARRY ELEMENTARY SCHOOL WATERLINE EXTENSION

PROJECT
WHEREAS, The City of Yuba City (City) has applied for funding with the State Water Resources Control Board (SWRCB) for the construction of Barry Elementary School Waterline Extension Project; and
WHEREAS, prior to SWRCB executing a Drinking Water Construction Loan Agreement (Agreement), the City is required to adopt a Resolution authorizing an officer to execute said Agreement and amendments, designating a person or persons to approve claims for reimbursement, designating a person or persons to sign the Budget and Expenditure Summary, designating a person or persons to sign Certification of Project Completion, designating a person to review and approve claim forms, and designating a person to sign the Final Release form.

NOW, THEREFORE, be it resolved and ordered by the City Council of Yuba City as follows:

1. The Public Works Director (the “Authorized Representative”) is hereby authorized to sign the Initial Drinking Water State Revolving Fund Construction Loan Funding Agreement, and any amendments made thereof, from the SWRCB for the construction of the Barry Elementary School Waterline Extension Project (Project).

2. The Authorized Representative is designated to provide the assurances, certifications, and commitments required for the executing of the agreement from the SWRCB and any amendments or changes thereto.

3. The Authorized Representative, is designated to represent the City in carrying out the City’s responsibilities under the agreement, including certifying disbursement requests on behalf of the City and compliance with applicable state and federal laws.

The foregoing Resolution was duly and regularly introduced, passed, and adopted by the City Council of the City of Yuba City at a regular meeting thereof held on the 17TH day of May, 2022.

AYES:

NOES:

ABSENT:
_________________________

Dave Shaw, Mayor
Ciara Wakefield, Deputy City Clerk

APPROVED AS TO FORM
COUNSEL FOR YUBA CITY:
_________________________
Shannon Chaffin, City Attorney
Aleshire & Wynder, LLP
Attachments:

Attachment B – Draft Agreement

DRINKING WATER CONSTRUCTION LOAN
AGREEMENT No. D2102019
by and between
CITY OF YUBA CITY (“Recipient”)
AND
CALIFORNIA STATE WATER RESOURCES CONTROL BOARD (“State Water Board”) for the purpose of the

BARRY ELEMENTARY SCHOOL WATER LINE EXTENSION
PROJECT NO. 5110002-016C
• Section 116760 et seq. of the Health and Safety Code and Resolution Nos. 2021-0022 and 2019-0065.

PROJECT FUNDING AMOUNT: $2,380,000.00
PRINCIPAL FORGIVENESS COMPONENT: $2,380,000.00
ESTIMATED REASONABLE PROJECT COST: $2,380,000.00
ELIGIBLE WORK START DATE: DECEMBER 16, 2015
ELIGIBLE CONSTRUCTION START DATE: OCTOBER 26, 2021
CONSTRUCTION COMPLETION DATE: JUNE 1, 2025
FINAL REIMBURSEMENT REQUEST DATE: JANUARY 1, 2026
RECORDS RETENTION END DATE: JUNE 1, 2061

City of Yuba City
Agreement No.: D2102019
Project No. 5110002-016C

DWCostrx22ix2021

1. The State Water Board and the Recipient mutually promise, covenant, and agree to the terms, provisions, and conditions of this Agreement, including the following Exhibits, which are attached hereto or are incorporated by reference:
• EXHIBIT A – SCOPE OF WORK AND SCHEDULE
• EXHIBIT B – SPECIFIC FUNDING PROVISIONS
• EXHIBIT C – GENERAL TERMS AND CONDITIONS 2019-NOV
• EXHIBIT D – SPECIAL CONDITIONS

2. The following documents are also incorporated by reference:
• the Final Plans & Specifications, which are the basis for the construction contract to be awarded by the Recipient;
• the Drinking Water System Permit No. 5110002
• Administrator Order No. 082108192
• the Davis-Bacon requirements found at:
https://www.waterboards.ca.gov/water_issues/programs/grants_loans/srf/docs/davisbacon/20 21_dwsrf_governmental_entities.pdf

3. Party Contacts during the term of this Agreement are:

State Water Board City of Yuba City
Section: Division of Financial Assistance
Name: Michael Ngai Name: Dave Vaughn, City Manager
Address: 1001 I Street, 16th Floor Address: 1201 Civic Center Blvd City, State, Zip: Sacramento, CA 95814 City, State, Zip: Yuba City, CA 95993 Phone: (916) 319-9060 Phone: (530) 822-4602
Email: [email protected] Email: [email protected] Each party may change its contact upon written notice to the other party. While Party Contacts are contacts for day-to-day communications regarding Project work, the Recipient must provide official communications and notices to the Division’s Deputy Director.

4. Conditions precedent to this Agreement are set forth as follows:
(a) The Recipient must deliver to the Division a resolution authorizing this Agreement and identifying its authorized representative by title.
(b) The Recipient must deliver an opinion of general counsel satisfactory to the State Water Board’s counsel dated on or after the date that the Recipient signs this Agreement.

5. The Recipient represents, warrants, and commits to the following as of the Eligible Work Start Date and continuing thereafter for the term of this Agreement, which shall be at least until the Records Retention End Date:
(a) The Recipient agrees to comply with all terms, provisions, conditions, and commitments of this Agreement, including all incorporated documents.
(b) The execution and delivery of this Agreement, including all incorporated documents, has been duly authorized by the Recipient. Upon execution by both parties, this Agreement constitutes a valid and binding obligation of the Recipient, enforceable in accordance with its terms, except as such enforcement may be limited by law.

City of Yuba City
Agreement No.: D2102019
Project No. 5110002-016C

DWCostrx22ix2021
(c) None of the transactions contemplated by this Agreement will be or have been made with an actual intent to hinder, delay, or defraud any present or future creditors of Recipient. The Recipient is solvent and will not be rendered insolvent by the transactions contemplated by this Agreement. The Recipient is able to pay its debts as they become due. The Recipient maintains sufficient insurance coverage considering the scope of this Agreement, including, for example but not necessarily limited to, general liability, automobile liability, workers compensation and employer liability, professional liability. (d) The Recipient is in compliance with all State Water Board funding agreements to which it is a party.

6. This Agreement may be executed and delivered in any number of counterparts, each of which when delivered shall be deemed to be an original, but such counterparts shall together constitute one document. The parties may sign this Agreement either by an electronic signature using a method approved by the State Water Board or by a physical, handwritten signature. The parties mutually agree that an electronic signature using a method approved by with the State Water Board is the same as a physical, handwritten signature for the purposes of validity, enforceability, and admissibility.

City of Yuba City
Agreement No.: D2102019
Project No. 5110002-016C

DWCostrx22ix2021
IN WITNESS WHEREOF, this Agreement has been executed by the parties hereto.

CITY OF YUBA CITY:

By: ____________________________________
Name: Dave Vaughn
Title: City Manager
Date: _________________________________
STATE WATER RESOURCES CONTROL BOARD:

By: ____________________________________
Name: Joe Karkoski
Title: Deputy Director
Division of Financial Assistance
Date: __________________________________

City of Yuba City
Agreement No.: D2102019
Project No. 5110002-016C

Exhibit A
EXHIBIT A – SCOPE OF WORK AND SCHEDULE
A.1 PROJECT PURPOSE AND DESCRIPTION.

The Project is for the benefit of the Recipient and has a Useful Life of 30 years. The funding under this Agreement shall be used for the benefit of the Recipient and has a Useful Life of at least 30 years. The funding under this Agreement shall be used to connect two (2) major water mains and extend water services to Barry Elementary School (School) for connecting to the City of Yuba City’s (City’s) water system. This consolidation will address the School’s arsenic maximum contaminant level (MCL) violation.

A.2 SCOPE OF WORK.

The Recipient agrees to do the following: This Project will construct an extension of the City’s water system to the School to address the arsenic MCL violation. City water service will be provided through a

1.16 mile, 3-inch waterline that will run south along Railroad Avenue and west along Barry Road, where it will end in connection to the School. The point of connection for the 3-inch line will begin at the intersection of Railroad Ave (extension of a 14-inch waterline) and Stewart Road (extension of a 12-inch waterline) where both mains intersect to create a loop. Creating a loop will keep water flowing, prevent the degradation of water quality, and ensure that the School’s students receive good quality water.

Upon Completion of Construction, the Recipient must expeditiously initiate Project operations.

A.3 SIGNAGE
The Recipient must place a professionally prepared sign at least four feet tall by eight feet wide made of ¾ inch thick exterior grade plywood or other approved material in a prominent location on the Project site and must maintain the sign in good condition for the duration of Project implementation. The sign may include another agency’s required information and must include, prominently displayed, the following disclosure statement and color logos available from the Division.

Funding for this project has been provided in full or in part under the Drinking Water State Revolving Fund, which may include capitalization funding from the United States Environmental Protection Agency through an agreement with the State Water Resources Control Board.

A.4 SCHEDULE.

Failure to provide items by the due dates indicated in the table below may constitute a material violation of this Agreement. The Project Manager may adjust the dates in the “Estimated Due Date” column of this table, but Critical Due Date adjustments will require an amendment to this Agreement. The Recipient must complete and submit all work in time to be approved by the Division prior to Project Completion. As applicable for specific submittals, the Recipient must plan adequate time to solicit, receive, and address comments prior to submitting the final submittal. The Recipient must submit the final Reimbursement Request prior to the Final Reimbursement Request Date set forth on the Cover Page.

City of Yuba City
Agreement No.: D2102019
Project No. 5110002-016C

Exhibit A

ITEM DESCRIPTION OF SUBMITTAL CRITICAL DUE
DATE

ESTIMATED DUE
DATE

SCOPE OF WORK
1 Finalize bid document and advertise for bid N/A 10/1/2022 2 Construction Begins N/A 6/1/2023
3 Construction Completion 6/1/2025 N/A

REPORTING
1 Progress Reports N/A Quarterly
2 Final Project Inspection and Certification N/A 1/1/2026 3 Project Completion Report N/A 1/1/2026
4 As Needed Information and Reports N/A As Requested by Division

BUDGET COSTS AND REIMBURSEMENT
1 First Reimbursement Request No later than 90
days from
Agreement
Execution Date
N/A
2 Final Budget Approval Package N/A 2/1/2023
3 Reimbursement Requests N/A Quarterly
4 Final Reimbursement Request 1/1/2026 N/A
The Recipient must award the prime construction contract and begin construction timely. The Recipient must deliver any request for extension of the Completion of Construction Date no less than 90 days prior to the Completion of Construction Date.

The Division may require corrective work to be performed prior to Project Completion. The State Water Board is not obligated to reimburse corrective work under this Agreement.

A.5 PROGRESS REPORTS.

The Recipient must provide a progress report to the Division each quarter, beginning no later than 90 days after execution of this Agreement. The Recipient must provide a progress report with each Reimbursement Request. Failure to provide a complete and accurate progress report may result in the withholding of Project Funds, as set forth in Exhibit B. A progress report must contain the following information:
1) A summary of progress to date including a description of progress since the last report, percent construction complete, percent contractor invoiced, and percent schedule elapsed;
2) A description of compliance with environmental requirements; 3) A listing of change orders including amount, description of work, and change in contract amount and schedule; and
4) Any problems encountered, proposed resolution, schedule for resolution, and status of previous problem resolutions.

A.6 PROJECT COMPLETION REPORT.

City of Yuba City
Agreement No.: D2102019
Project No. 5110002-016C

Exhibit A
(a) The Recipient must submit a Project Completion Report to the Division with a copy to the appropriate District Office on or before the due date established by the Division and the Recipient at the time of final project inspection. The Project Completion Report must include the following:
i. Description of the Project,
ii. Description of the water quality problem the Project sought to address, iii. Discussion of the Project’s likelihood of successfully addressing that water quality problem in the future, and
iv. Summary of compliance with applicable environmental conditions. (b) If the Recipient fails to submit a timely Project Completion Report, the State Water Board may stop processing pending or future applications for new financial assistance, withhold reimbursements under this Agreement or other agreements, and begin administrative proceedings.

A.7 SPECIAL REPORTS.

The Recipient must report Disadvantaged Business Enterprise (DBE) utilization to the Division on the DBE Utilization Report, State Water Board Form DBE UR334. The Recipient must submit such reports to the Division annually within ten (10) calendar days following October 1 until such time as the "Notice of Completion" is issued. The Recipient must comply with 40 CFR § 33.301 and require its contractors and subcontractors on the Project to comply.

A.8 FINAL PROJECT INSPECTION AND CERTIFICATION.

Upon completion of the Project, the Recipient must provide for a final inspection and must certify that the Project has been completed in accordance with this Agreement, any final plans and specifications submitted to the State Water Board, and any amendments or modifications thereto. If the Project involves the planning, investigation, evaluation, design, or other work requiring interpretation and proper application of engineering, or other professionals, the final inspection and certification must be conducted by a California Registered Civil Engineer or other appropriate California registered professional. The results of the final inspection and certification must be submitted to the Project Manager.

Exhibit B
EXHIBIT B – FUNDING AMOUNTS
B.1 ESTIMATED REASONABLE COST AND PROJECT FUNDS.

The estimated reasonable cost of the total Project is set forth on the Cover Page of this Agreement, and is greater than or equal to the funding anticipated to be provided by the State Water Board under this Agreement. Subject to the terms of this Agreement, the State Water Board agrees to provide Project Funds not to exceed the amount of the Project Funding Amount set forth on the Cover Page of this Agreement.

B.2 RECIPIENT CONTRIBUTIONS.

The Recipient must pay any and all costs connected with the Project including, without limitation, any and all Project Costs. If the Project Funds are not sufficient to pay the Project Costs in full, the Recipient must nonetheless complete the Project and pay that portion of the Project Costs in excess of available Project Funds, and shall not be entitled to any reimbursement therefor from the State Water Board.

The loan component of this Agreement is forgiven. The estimated amount of principal that will be due to the State Water Board from the Recipient under this Agreement is Zero dollars and no cents ($0.00).

Only expenses that are otherwise eligible under the Guidelines will be counted towards the Match Contribution.

Costs incurred prior to the adoption of do not count towards the Match Contribution. If, at Work Completion, the Recipient has contributed less than the full Match Contribution, the State Water Board may proportionately reduce the Project Funding Amount, upon approval of the Deputy Director of the Division.

B.3 VERIFIABLE DATA.

Upon request by the Division, the Recipient must submit verifiable data to support deliverables specified in the Scope of Work. The Recipient’s failure to comply with this requirement may be construed as a material breach of this Agreement.

B.4 BUDGET COSTS
Estimated budget costs are contained in the Summary Project Cost Table below:

ITEM DESCRIPTION TOTAL

ESTIMATED
COST

PROJECT

FUNDING
AMOUNT
A Construction Cost $1,808,100 $1,808,100
B Pre-Purchased Material/Equipment $0 $0
C Purchase of Land $0 $0
D Contingencies $180,810 $180,810
E Allowances $391,090 $391,090
Total $2,380,000 $2,380,000

The Division’s Final Budget Approval and related Form 259 and Form 260 will document a more detailed budget of eligible Project Costs and Project funding amounts.

Reasonable indirect costs may be allowable upon approval by the Division.

The Recipient is prohibited from requesting disbursement amounts that represent Recipient’s mark-ups to costs invoiced or otherwise requested by consultants or contractors.

B.5 LINE ITEM ADJUSTMENTS.

Upon written request by the Recipient, the Division may adjust the line items of the Summary Project Cost Table at the time of Division’s Final Budget Approval. Upon written request by the Recipient, the Division may also

Exhibit B
adjust the line items of the Summary Project Cost Table as well as the detailed budget at the time of Recipient’s submittal of its final claim. Any line item adjustments to the Summary Project Cost Table that are due to a change in scope of work will require an Agreement amendment. The sum of adjusted line items in both the Summary Project Cost Table and the detailed budget must not exceed the Project Funding Amount. The Division may also propose budget adjustments.

Under no circumstances may the sum of line items in the budget approved through the Final Budget Approval process exceed the Project Funding Amount. Any increase in the Project Funding Amount will require an Agreement amendment.

B.6 REIMBURSEMENT PROCEDURE.

Except as may be otherwise provided in this Agreement, reimbursements will be made as follows:

1. Upon execution and delivery of this Agreement by both parties, the Recipient may request immediate reimbursement of any eligible incurred planning and design allowance costs through submission to the State Water Board of the Reimbursement Request Form 260 and Form 261, or any amendment thereto, duly completed and executed.

2. The Recipient must submit a Reimbursement Request for costs incurred prior to the date this Agreement is executed by the State Water Board no later than ninety (90) days after this Agreement is executed by the State Water Board. Late Reimbursement Requests may not be honored.

3. Additional Project Funds will be promptly disbursed to the Recipient upon receipt of Reimbursement Request Form 260 and Form 261, or any amendment thereto, duly completed and executed by the Recipient for incurred costs consistent with this Agreement, along with receipt of progress reports due under this Agreement.

4. The Recipient must not request reimbursement for any Project Cost until such cost has been incurred and is currently due and payable by the Recipient, although the actual payment of such cost by the Recipient is not required as a condition of Reimbursement Request. Supporting documentation (e.g., receipts) must be submitted with each Reimbursement Request. The amount requested for Recipient’s administration costs must include a calculation formula (i.e., hours or days worked times the hourly or daily rate = total amount claimed). Reimbursement of Project Funds will be made only after receipt of a complete, adequately supported, properly documented, and accurately addressed Reimbursement Request. Upon request by the Division, supporting documents for professional and administrative services must include the employees’ names, classifications, labor rates, hours worked, and descriptions of the tasks performed. Reimbursement Requests submitted without supporting documents may be wholly or partially withheld at the discretion of the Division.

5. The Recipient must spend Project Funds within 30 days of receipt. If the Recipient earns interest earned on Project Funds, it must report that interest immediately to the State Water Board. The State Water Board may deduct earned interest from future reimbursements.

6. The Recipient must not request a reimbursement unless that Project Cost is allowable, reasonable, and allocable.

7. Notwithstanding any other provision of this Agreement, no reimbursement shall be required at any time or in any manner which is in violation of or in conflict with federal or state laws, policies, or regulations.

Notwithstanding any other provision of this Agreement, the Recipient agrees that the State Water Board may retain an amount equal to ten percent (10%) of the Project Funding Amount until Project Completion. Any retained amounts due to the Recipient will be promptly disbursed to the Recipient, without interest, upon Project Completion.

Except as follows, construction costs and disbursements are not available until after the Division has approved the final budget form submitted by the Recipient. The Deputy Director of the Division may authorize the disbursement of up to ten percent (10%) of Project Funds for the reimbursement of eligible construction costs and pre-purchased materials prior to Division approval of the final budget form submitted by the Recipient. All other construction costs are not eligible for reimbursement until after the Division has approved the final budget form submitted by the Recipient. Construction costs incurred prior to the Eligible Construction Start Date are not eligible for reimbursement.

B.7 REVERTING FUNDS AND DISENCUMBRANCE.

In the event the Recipient does not submit Reimbursement Requests for all funds encumbered under this Agreement timely, any remaining funds revert to the State. The State Water Board may notify the Recipient that

Exhibit B
the project file is closed, and any remaining balance will be disencumbered and unavailable for further use under the Agreement.

Exhibit C
EXHIBIT C – GENERAL TERMS AND CONDITIONS 2019-NOV
GENERAL TERMS AND CONDITIONS 2019-NOV is incorporated by reference and is posted at https://www.waterboards.ca.gov/water_issues/programs/grants_loans/general_terms.html

Exhibit D
EXHIBIT D – SPECIAL CONDITIONS
D.1 DEFINITIONS
(a) Notwithstanding Exhibit C, the following terms have no meaning for the purposes of this Agreement:
• Work Completion
• Work Completion Date
Each capitalized term used in this Agreement has the following meaning:
• “Allowance" means an amount based on a percentage of the accepted bid for an eligible project to help defray the planning, design, and construction engineering and administration costs of the Project.
• "Authorized Representative" means the duly appointed representative of the Recipient as set forth in the certified original of the Recipient’s authorizing resolution that designates the authorized representative by title.
• "Completion of Construction" means the date, as determined by the Division after consultation with the Recipient, that the work of building and erection of the Project is substantially complete, and is established on the Cover Page of this Agreement.
• “District Office” means District Office of the Division of Drinking Water of the State Water Board. • “Division of Drinking Water” means the Division of Drinking Water of the State Water Board. • “Eligible Construction Start Date” means the date set forth on the Cover Page of this Agreement, establishing the date on or after which construction costs may be incurred and eligible for reimbursement hereunder.
• “Eligible Work Start Date” means the date set forth on the Cover Page of this Agreement, establishing the date on or after which any non-construction costs may be incurred and eligible for reimbursement hereunder.
• “Enterprise Fund” means the enterprise fund of the Recipient in which Revenues are deposited. • “Event of Default” means, in addition to the meanings set forth in Exhibit C, the occurrence of any of the following events:
a) A material adverse change in the condition of the Recipient, the Revenues, or the System, which the Division reasonably determines would materially impair the Recipient’s ability to satisfy its obligations under this Agreement. b) Failure to operate the System or the Project, unless the Division has given its approval for such non-operation;
c) The occurrence of a material breach or event of default under any Recipient obligation that results in the acceleration of principal or interest or otherwise requires immediate prepayment, repurchase or redemption;
d) The occurrence of a material breach or event of default under any of the following agreements, that the Division determines would materially impair the Recipient’s ability to satisfy its obligations under this Agreement
• “Final Budget Approval (FBA)” means the Division-approved final budget for the Project, as set forth in Exhibit B.
• “Indirect Costs” means those costs that are incurred for a common or joint purpose benefiting more than one cost objective and are not readily assignable to the Project (i.e., costs that are not directly related to the Project). Examples of Indirect Costs include, but are not limited to: central service costs; general administration of the Recipient; non-project-specific accounting and

Exhibit D
personnel services performed within the Recipient organization; depreciation or use allowances on buildings and equipment; the costs of operating and maintaining non-project-specific facilities; tuition and conference fees; generic overhead or markup; and taxes. • "Initiation of Construction" means the date that notice to proceed with work is issued for the Project, or, if notice to proceed is not required, the date of commencement of building and erection of the Project.
• Net Revenues" means, for any Fiscal Year, all Revenues received by the Recipient less the Operations and Maintenance Costs for such Fiscal Year.
• "Operations and Maintenance Costs" means the reasonable and necessary costs paid or incurred by the Recipient for maintaining and operating the System, determined in accordance with GAAP, including all reasonable expenses of management and repair and all other expenses necessary to maintain and preserve the System in good repair and working order, and including all reasonable and necessary administrative costs of the Recipient that are charged directly or apportioned to the operation of the System, such as salaries and wages of employees, overhead, taxes (if any), the cost of permits, licenses, and charges to operate the System and insurance premiums; but excluding, in all cases depreciation, replacement, and obsolescence charges or reserves therefor and amortization of intangibles.
• “Policy" means the State Water Board's “Policy for Implementing the Drinking Water State Revolving Fund,” as amended from time to time, including the Intended Use Plan in effect as of the execution date of this Agreement.
• "Revenues" means, for each Fiscal Year, all gross income and revenue received or receivable by the Recipient from the ownership or operation of the System, determined in accordance with GAAP, including all rates, fees, and charges (including connection fees and charges) as received by the Recipient for the services of the System, and all other income and revenue howsoever derived by the Recipient from the ownership or operation of the System or arising from the System, including all income from the deposit or investment of any money in the Enterprise Fund or any rate stabilization fund of the Recipient or held on the Recipient’s behalf, and any refundable deposits made to establish credit, and advances or contributions in aid of construction. • “System” means all drinking water collection, transport, treatment, storage, and delivery facilities, including land and easements thereof, owned by the City of Yuba City, or its successor agency, and all other properties, structures, or works hereafter acquired and constructed by the Recipient and determined to be a part of the System, together with all additions, betterments, extensions, or improvements to such facilities, properties, structures, or works, or any part thereof hereafter acquired and constructed.
• “Useful Life” means the economically useful life of the Project beginning at Project Completion and is set forth in Exhibit A.

D.2 ADDITIONAL REPRESENTATIONS AND WARRANTIES.

Public Purpose. The Recipient represents and warrants that the Project has a clear and definite public purpose, and must benefit customers of the System, not the investors.

The Recipient has not made any untrue statement of a material fact in its application for this financial assistance or omitted to state in its application a material fact that makes the statements in its application not misleading.

The Recipient agrees to fulfill all assurances, declarations, representations, and commitments in its application, accompanying documents, and communications filed in support of its request for funding under this Agreement.

Exhibit D
The execution, delivery, and performance by Recipient of this Agreement, including all incorporated documents, do not violate any provision of any law or regulation in effect as of the date set forth on the first page hereof, or result in any breach or default under any contract, obligation, indenture, or other instrument to which Recipient is a party or by which Recipient is bound as of the date set forth on the Cover Page.

Except as set forth in this paragraph, there are, as of the date of execution of this Agreement by the Recipient, no pending or, to Recipient’s knowledge, threatened actions, claims, investigations, suits, or proceedings before any governmental authority, court, or administrative agency which materially affect the financial condition or operations of the Recipient, the Revenues, and/or the Project.

There are no proceedings, actions, or offers by a public entity to acquire by purchase or the power of eminent domain any of the real or personal property related to or necessary for the Project.

The Recipient is duly organized and existing and in good standing under the laws of the State of California. Recipient must at all times maintain its current legal existence and preserve and keep in full force and effect its legal rights and authority. Within the preceding ten years, the Recipient has not failed to demonstrate compliance with state or federal audit disallowances.

Any financial statements or other financial documentation of Recipient previously delivered to the State Water Board as of the date(s) set forth in such financial statements or other financial documentation: (a) are materially complete and correct; (b) present fairly the financial condition of the Recipient; and (c) have been prepared in accordance with GAAP. Since the date(s) of such financial statements or other financial documentation, there has been no material adverse change in the financial condition of the Recipient, nor have any assets or properties reflected on such financial statements or other financial documentation been sold, transferred, assigned, mortgaged, pledged or encumbered, except as previously disclosed in writing by Recipient and approved in writing by the State Water Board.

The Recipient is current in its continuing disclosure obligations associated with its material debt, if any.

The Recipient has no conflicting or Material Obligations, except as set forth in this paragraph.

The Recipient has sufficient real or personal property rights necessary for the purposes of this Agreement, not subject to third party revocation, which rights extend at least to the Records Retention End Date of this Agreement, except as disclosed to the State Water Board. The Recipient has disclosed to the State Water Board all proceedings, actions, or offers of which the Recipient has knowledge or belief that may in any way affect the Recipient’s ability to access or legally possess all of the property necessary for the purpose of this Agreement, including any proceedings, actions, or offers to lease, purchase, or acquire by eminent domain any of the real or personal property related to or necessary for the Project.

The Recipient and its principals, contractors, and subcontractors, to the best of the Recipient’s knowledge and belief, are not presently debarred, suspended, proposed for debarment, declared ineligible, or otherwise excluded from participation in any work overseen, directed, funded, or administered by the State Water Board program for which this funding is authorized; nor have they engaged or permitted the performance of services covered by this Agreement from parties that are debarred or suspended or otherwise excluded from or ineligible for participation in any work overseen, directed, funded, or administered by the State Water Board program for which this funding is authorized.

The Recipient possesses all water rights necessary for this Project.

D.3 ACKNOWLEDGEMENTS
The Recipient must include the following acknowledgement in any document, written report, or brochure to be shared with the general public prepared in whole or in part pursuant to this Agreement:
• “Funding for this project has been provided in full or in part under

Exhibit D
o the Drinking Water State Revolving Fund, which may include capitalization funding from the United States Environmental Protection Agency
through an agreement with the State Water Resources Control Board. The contents of this document do not necessarily reflect the views and policies of the foregoing, nor does mention of trade names or commercial products constitute endorsement or recommendation for use.”
D.4 RATES, FEES, AND CHARGES
The Recipient must, to the extent permitted by law, fix, prescribe and collect rates, fees and charges for the System during each Fiscal Year which are reasonable, fair, and nondiscriminatory and which will be sufficient to generate Revenues in the amounts necessary to cover Operations and Maintenance Costs, and must ensure that Net Revenues are in an amount necessary to meet its obligations under this Agreement. The Recipient may make adjustments from time to time in such fees and charges and may make such classification thereof as it deems necessary, but shall not reduce the rates, fees and charges then in effect unless the Net Revenues from such reduced rates, fees, and charges will at all times be sufficient to meet the requirements of this section.

D.5 ENVIRONMENTAL SPECIAL CONDITIONS
a. The Recipient shall implement mitigation measures “Mitigation Measure Biological – 1,” “Mitigation Measure Cultural – 1,” “Mitigation Measure Cultural – 2,” and “Mitigation Measure Cultural – 3” identified in the IS/MND titled City of Yuba City Barry School Water Line Extension Project Final Initial Study/Mitigated Negative Declaration, (SCH#2016062026) adopted on August 16, 2016 for the project. b. The Recipient shall notify the Division within 24 hours of any discovery of any potential tribal cultural resource and/or archeological or historical resource. Notice shall be addressed to the Deputy Director of the Division and contact via phone at (916) 327 – 9978 or email to [email protected] and/or [email protected]. Should a potential tribal cultural resource and/or archeological or historical resource be discovered during construction, the Recipient shall ensure that all work in the area of the find will cease until a qualified archeologist has evaluated the situation and made recommendations regarding preservation of the resource, and the Division has determined what actions should be taken to protect and preserve the resource. The Recipient shall implement appropriate actions as directed by the Division.

D.6 TECHNICAL SPECIAL CONDITIONS
a. Recipient shall submit a copy of the Project’s final bid package to the Division for approval prior to bidding for construction.
b. Recipient shall notify the Division of the start of the Project construction and subsequently at fifty percent (50%) and one hundred percent (100%) complete.

D.7 FUNDS RELATED TO CONTAMINATION
(a) As a condition precedent to this Agreement and prior to any disbursement, the Recipient shall (i) notify the Division of any demands made by the Recipient against third parties for monetary damages, reimbursement of costs, or other relief, including litigation, related to drinking water contamination, including but not limited to contamination by 1,2,3-trichloropropane (1,2,3-TCP); and (ii) unless waived by the Division, notify and provide to the Division copies of any agreements with third parties (e.g., settlement agreements, consent agreements, etc.) or court or administrative orders arising out of litigation or disputes related to contamination of the drinking water associated with the Project.

Exhibit D
(b) After execution of this Agreement, the Recipient shall notify the Division promptly of the new occurrence of any matters requiring notice under paragraph (a), above. Upon request, the Recipient shall promptly provide information and copies of documents as requested by the Division. (c) The Recipient shall place all funds received after the date of this Agreement under any order or agreement described in paragraphs (a)(ii) and (b), above, into a restricted account to be used either for a capital improvement project that addresses the contamination, or for operation and maintenance of treatment or remediation of the contamination. Alternatively, upon consent of the Division, the funds received after the date of this Agreement under any such order or agreement shall be used as match funding for the Project or held in a restricted reserve account to support the financial capacity of the System.
(d) The amount of this Agreement may be reduced, and/or disbursements withheld, to offset amounts received under any contamination-related order or agreement described in paragraphs (a)(ii) or (b), above, to avoid double recovery. Noncompliance with paragraphs (a), (b), or (c) above shall be an Event of Default.

D.8 APPOINTMENT OF RECEIVER OR CUSTODIAN
Upon the filing of a suit or other commencement of judicial proceedings to enforce the rights of the State Water Board under this Agreement, the State Water Board may make application for the appointment of a receiver or custodian of the Revenues, pending such proceeding, with such power as the court making such appointment may confer.

D.9 RETURN OF FUNDS
Notwithstanding any other provision of this Agreement, if the Division determines that an Event of Default has occurred, the Recipient may be required, upon demand, to immediately return to the State Water Board any grant or principal forgiveness amounts received pursuant to this Agreement and pay interest at the highest legal rate on all of the foregoing.

D.10 OPERATION AND MAINTENANCE
The Recipient shall sufficiently and properly staff, operate, and maintain the facility and structures constructed or improved as part of the Project throughout the term of this Agreement, consistent with the purposes of this Agreement. The Recipient assumes all operations and maintenance costs of the facilities and structures; the State Water Board shall not be liable for any cost of such maintenance, management or operation.

D.11 INSURANCE
The Recipient will procure and maintain or cause to be maintained insurance on the System and Project with responsible insurers, or as part of a reasonable system of self-insurance, in such amounts and against such risks (including damage to or destruction of the System or Project) as are usually covered in connection with systems similar to the System and Project. Such insurance may be maintained by a selfinsurance plan so long as such plan provides for (i) the establishment by the Recipient of a separate segregated self-insurance fund in an amount determined (initially and on at least an annual basis) by an independent insurance consultant experienced in the field of risk management employing accepted actuarial techniques and (ii) the establishment and maintenance of a claims processing and risk management program.

In the event of any damage to or destruction of the System or Project caused by the perils covered by such insurance, the net proceeds thereof shall be applied to the reconstruction, repair or replacement of the damaged or destroyed portion of the System and Project. The Recipient must begin such

Exhibit D
reconstruction, repair or replacement as expeditiously as possible, and must pay out of such net proceeds all costs and expenses in connection with such reconstruction, repair or replacement so that the same must be completed and the System and Project must be free and clear of all claims and liens.

Recipient agrees that for any policy of insurance concerning or covering the construction of the Project, it will cause, and will require its contractors and subcontractors to cause, a certificate of insurance to be issued showing the State Water Board, its officers, agents, employees, and servants as additional insured; and must provide the Division with a copy of all such certificates prior to the commencement of construction of the Project.

D.12 CONTINUOUS USE OF PROJECT; NO LEASE, SALE, TRANSFER OF OWNERSHIP, OR DISPOSAL OF PROJECT.

The Recipient agrees that, except as provided in this Agreement, it will not abandon, substantially discontinue use of, lease, sell, transfer ownership of, or dispose of all or a significant part or portion of the Project during the Useful Life of the Project without prior written approval of the Division. Such approval may be conditioned as determined to be appropriate by the Division, including a condition requiring repayment of all disbursed Project Funds or all or any portion of all remaining funds covered by this Agreement together with accrued interest and any penalty assessments that may be due.

D.13 NOTICE
Upon the occurrence of any of the following events, the Recipient must notify the Division’s Deputy Director and Party Contacts by phone and email within the time specified below:
(a) Within 24 hours, the Recipient must notify the Party Contacts by phone and by email, and also notify the Division by phone at (916) 327-9978 and by email to [email protected] of any discovery of any potential tribal cultural resource and/or archaeological or historical resource.

Should a potential tribal cultural resource and/or archaeological or historical resource be discovered during construction or Project implementation, the Recipient must ensure that all work in the area of the find will cease until a qualified archaeologist has evaluated the situation and made recommendations regarding preservation of the resource, and the Division has determined what actions should be taken to protect and preserve the resource. The Recipient must implement appropriate actions as directed by the Division.
(b) The Recipient must notify the Division and Party Contacts promptly of the occurrence of any of the following events:
i. Bankruptcy, insolvency, receivership or similar event of the Recipient, or actions taken in anticipation of any of the foregoing;
ii. Change of ownership of the Project (no change of ownership may occur without written consent of the Division);
iii. Loss, theft, damage, or impairment to Project;
iv. Events of Default, except as otherwise set forth in this section; v. A proceeding or action by a public entity to acquire the Project by power of eminent domain.
vi. Any litigation pending or threatened with respect to the Project or the Recipient’s technical, managerial or financial capacity or the Recipient’s continued existence; vii. Consideration of dissolution, or disincorporation;

Exhibit D
viii. Enforcement actions by or brought on behalf of the State Water Board or Regional Water Board.
ix. The discovery of a false statement of fact or representation made in this Agreement or in the application to the Division for this funding, or in any certification, report, or request for reimbursement made pursuant to this Agreement, by the Recipient, its employees, agents, or contractors;
x. Any substantial change in scope of the Project. The Recipient must undertake no substantial change in the scope of the Project until prompt written notice of the proposed change has been provided to the Division and the Division has given written approval for the change;
xi. Any circumstance, combination of circumstances, or condition, which is expected to or does delay Completion of Construction for a period of ninety (90) days or more; xii. Cessation of all major construction work on the Project where such cessation of work is expected to or does extend for a period of thirty (30) days or more; xiii. The Recipient must promptly notify the Division and Party Contacts of the discovery of any unexpected endangered or threatened species, as defined in the federal Endangered Species Act. Should a federally protected species be unexpectedly encountered during implementation of the Project, the Recipient agrees to promptly notify the Division. This notification is in addition to the Recipient’s obligations under the federal Endangered Species Act;
xiv. Any Project monitoring, demonstration, or other implementation activities required in this Agreement;
xv. Any public or media event publicizing the accomplishments and/or results of this Agreement and provide the opportunity for attendance and participation by state representatives with at least ten (10) working days’ notice to the Division; xvi. Any event requiring notice to the Division pursuant to any other provision of this Agreement;
xvii. The award of the prime construction contract for the Project; and the initiation of construction of the Project; and
xviii. Completion of Construction, and Project Completion.

D.14 FRAUD, WASTE, AND ABUSE.

The Recipient shall prevent fraud, waste, and the abuse of Project Funds, and shall cooperate in any investigation of such activities that are suspected in connection with this Agreement. The Recipient understands that discovery of any evidence of misrepresentation or fraud related to Reimbursement Requests, invoices, proof of payment of invoices, or other supporting information, including but not limited to double or multiple billing for time, services, or any other eligible cost, may result in referral to the Attorney General’s Office or the applicable District Attorney’s Office for appropriate action. The Recipient further understands that any suspected occurrences of false claims, misrepresentation, fraud, forgery, theft or any other misuse of Project Funds may result in withholding of reimbursements and/or the termination of this Agreement requiring the immediate repayment of all funds disbursed hereunder.

D.15 DISPUTES.

Exhibit D
The Recipient must continue with the responsibilities under this Agreement during any dispute. The Recipient may, in writing, appeal a staff decision within 30 days to the Deputy Director of the Division or designee, for a final Division decision. The Recipient may appeal a final Division decision to the State Water Board within 30 days. The Office of the Chief Counsel of the State Water Board will prepare a summary of the dispute and make recommendations relative to its final resolution, which will be provided to the State Water Board’s Executive Director and each State Water Board Member. Upon the motion of any State Water Board Member, the State Water Board will review and resolve the dispute in the manner determined by the State Water Board. Should the State Water Board determine not to review the final Division decision, this decision will represent a final agency action on the dispute. This provision does not preclude consideration of legal questions, provided that nothing herein shall be construed to make final the decision of the State Water Board, or any official or representative thereof, on any question of law.

This section relating to disputes does not establish an exclusive procedure for resolving claims within the meaning of Government Code sections 930 and 930.4.

D.16 STATE CROSS-CUTTERS
Recipient represents that, as applicable, it complies and covenants to maintain compliance with the following for the term of the Agreement:
• The California Environmental Quality Act (CEQA), as set forth in Public Resources Code 21000 et seq. and in the CEQA Guidelines at Title 14, Division 6, Chapter 3, Section 15000 et seq. • Water Conservation requirements, including regulations in Division 3 of Title 23 of the California Code of Regulations.
• Monthly Water Diversion Reporting requirements, including requirements set forth in Water Code section 5103.
• Public Works Contractor Registration with Department of Industrial Relations requirements, including requirements set forth in Sections 1725.5 and 1771.1 of the Labor Code. • Volumetric Pricing & Water Meters requirements, including the requirements of Water Code sections 526 and 527.
• Urban Water Management Plan requirements, including the Urban Water Management Planning Act (Water Code, § 10610 et seq.).
• Urban Water Demand Management requirements, including the requirements of Section 10608.56 of the Water Code.
• Delta Plan Consistency Findings requirements, including the requirements of Water Code section 85225 and California Code of Regulations, title 23, section 5002. • Agricultural Water Management Plan Consistency requirements, including the requirements of Water Code section 10852.
• Charter City Project Labor Requirements, including the requirements of Labor Code section 1782 and Public Contract Code section 2503.
• The Recipient agrees that it will, at all times, comply with and require its contractors and subcontractors to comply with directives or orders issued pursuant to Division 7 of the Water Code.

D.17 DAMAGES FOR BREACH OF FEDERAL CONDITIONS

Exhibit D
In the event that any breach of any of the provisions of this Agreement by the Recipient results in the failure of Project Funds to be used pursuant to the provisions of this Agreement, or if such breach results in an obligation on the part of the State or any subdivision or agency thereof to reimburse the federal government, the Recipient must immediately reimburse the State or any subdivision or agency thereof in an amount equal to any damages paid by or loss incurred by the State or any subdivision or agency thereof due to such breach.

D.18 ACCESS AND INSPECTION.

In addition to the obligations set forth in section 2 of the General Terms and Conditions incorporated in Exhibit C of this Agreement, the Recipient must ensure that the United States Environmental Protection Agency, the Office of Inspector General, any member of Congress, or any authorized representative of the foregoing, will have safe and suitable access to the Project site at all reasonable times during the term of the Agreement.

D.19 FINANCIAL MANAGEMENT SYSTEMS.

The Recipient must comply with federal standards for financial management systems. The Recipient agrees that, at a minimum, its fiscal control and accounting procedures will be sufficient to permit preparation of reports required by the federal government and tracking of Project funds to a level of expenditure adequate to establish that such funds have not been used in violation of federal or state law or the terms of this Agreement. To the extent applicable, the Recipient is bound by, and must comply with, the provisions and requirements of the federal Single Audit Act of 1984 and 2 CFR Part 200, subpart F, and updates or revisions, thereto.

D.20 FEDERAL CROSS-CUTTERS [Some of these may be waived if project is not equivalency, but some may not (super-cross-cutters).]
The Recipient acknowledges, warrants compliance with, and covenants to continuing compliance with the following federal terms and conditions for the Useful Life of the Project:
i. Unless the Recipient has obtained a waiver from USEPA on file with the State Water Board or unless this Project is not a project for the construction, alteration, maintenance or repair of a public water system or treatment work, the Recipient shall not purchase “iron and steel products” produced outside of the United States on this Project. Unless the Recipient has obtained a waiver from USEPA on file with the State Water Board or unless this Project is not a project for the construction, alteration, maintenance or repair of a public water system or treatment work, the Recipient hereby certifies that all “iron and steel products” used in the Project were or will be produced in the United States. For purposes of this section, the term "iron and steel products" means the following products made primarily of iron or steel: lined or unlined pipes and fittings, manhole covers and other municipal castings, hydrants, tanks, flanges, pipe clamps and restraints, valves, structural steel, reinforced precast concrete, and construction materials. “Steel” means an alloy that includes at least 50 percent iron, between .02 and 2 percent carbon, and may include other elements.
ii. The Recipient agrees to comply with the Davis-Bacon provisions incorporated by reference in this Agreement. The Recipient must include in full the Wage Rate Requirements (Davis-Bacon) language incorporated by reference in all construction contracts and subcontracts. iii. The Recipient shall notify the State Water Board and the USEPA contact of public or media events publicizing the accomplishment of significant events related to this Project and provide the opportunity for attendance and participation by federal representatives with at least ten (10) working days’ notice.
iv. The Recipient shall comply with applicable USEPA general terms and conditions found at http://www.epa.gov/ogd.

Exhibit D
v. No Recipient may receive funding under this Agreement unless it has provided its Unique Entity Identifier, assigned by the System for Award management, to the State Water Board. vi. The Recipient represents and warrants that it and its principals are not excluded or disqualified from participating in this transaction as such terms are defined in Parts 180 and 1532 of Title 2 of the Code of Federal Regulations (2 CFR). If the Recipient is excluded after execution of this Agreement, the Recipient shall notify the Division within ten (10) days and shall inform the Division of the Recipient’s exclusion in any request for amendment of this Agreement. The Recipient shall comply with Subpart C of Part 180 of 2 CFR, as supplemented by Subpart C of Part 1532 of 2 CFR. Such compliance is a condition precedent to the State Water Board’s performance of its obligations under this Agreement. When entering into a covered transaction as defined in Parts 180 and 1532 of 2 CFR, the Recipient shall require the other party to the covered transaction to comply with Subpart C of Part 180 of 2 CFR, as supplemented by Subpart C of Part 1532 of 2 CFR.
vii. To the extent applicable, the Recipient shall disclose to the State Water Board any potential conflict of interest consistent with USEPA’s Final Financial Assistance Conflict of Interest Policy at https://www.epa.gov/grants/epas-final-financial-assistance-conflict-interest-policy. A conflict of interest may result in disallowance of costs.
viii. USEPA and the State Water Board have the right to reproduce, publish, use and authorize others to reproduce, publish and use copyrighted works or other data developed under this assistance agreement.
ix. Where an invention is made with Project Funds, USEPA and the State Water Board retain the right to a worldwide, nonexclusive, nontransferable, irrevocable, paid-up license to practice the invention owned by the Recipient. The Recipient must utilize the Interagency Edison extramural invention reporting system at http://iEdison.gov and shall notify the Division when an invention report, patent report, or utilization report is filed.
x. The Recipient agrees that any reports, documents, publications or other materials developed for public distribution supported by this Agreement shall contain the Acknowledgment statement set forth in Exhibit D.
xi. The Recipient acknowledges that it is encouraged to follow guidelines established under Section 508 of the Rehabilitation Act, codified at 36 CFR Part 1194, with respect to enabling individuals with disabilities to participate in its programs supported by this Project. xii. The Recipient, its employees, contractors and subcontractors and their employees warrants that it will not engage in severe forms of trafficking in persons, procure a commercial sex act during the term of this Agreement, or use forced labor in the performance of this Agreement. The Recipient must include this provision in its contracts and subcontracts under this Agreement. The Recipient must inform the State Water Board immediately of any information regarding a violation of the foregoing. The Recipient understands that failure to comply with this provision may subject the State Water Board to loss of federal funds. The Recipient agrees to compensate the State Water Board for any such funds lost due to its failure to comply with this condition, or the failure of its contractors or subcontractors to comply with this condition. The State Water Board may unilaterally terminate this Agreement if the Recipient that is a private entity is determined to have violated the foregoing.
xiii. The Recipient certifies to the best of its knowledge and belief that:
a. No federal appropriated funds have been paid or will be paid, by or on behalf of the Recipient, to any person for influencing or attempting to influence an officer or employee of any agency, a Member of Congress, an officer or employee of Congress, or an

Exhibit D
employee of a Member of Congress in connection with the awarding of any federal contract, the making of any federal grant, the making of any federal loan, the entering into of any cooperative agreement, and the extension, continuation, renewal, amendment, or modification of any federal contract, grant, loan, or cooperative agreement. b. If any funds other than federal appropriated funds have been paid or will be paid to any person for influencing or attempting to influence an officer or employee of any agency, a Member of Congress in connection with this Agreement, the Recipient shall complete and submit Standard Form-LLL, “Disclosure Form to Report Lobbying,” in accordance with its instructions, and notify the State Water Board.

The Recipient shall require this certification from all parties to any contract or agreement that the Recipient enters into and under which the Recipient incurs costs for which it seeks reimbursement under this Agreement.
xiv. The Recipient must comply with the following federal non-discrimination requirements:
a. Title VI of the Civil Rights Act of 1964, which prohibits discrimination based on race, color, and national origin, including limited English proficiency (LEP). b. Section 504 of the Rehabilitation Act of 1973, which prohibits discrimination against persons with disabilities.
c. The Age Discrimination Act of 1975, which prohibits age discrimination. d. Section 13 of the Federal Water Pollution Control Act Amendments of 1972, which prohibits discrimination on the basis of sex.
e. 40 CFR Part 7, as it relates to the foregoing.
f. Executive Order 13798, including, to the greatest extent practicable and to the extent permitted by law, the requirement to respect and protect the freedom of persons and organizations to engage in political and religious speech. g. All applicable federal civil rights regulations, including statutory and national policy requirements (2 CFR section 200.300).
xv. Executive Order No. 11246. The Recipient shall include in its contracts and subcontracts related to the Project the following provisions:
"During the performance of this contract, the contractor agrees as follows:"(a) The contractor will not discriminate against any employee or applicant for employment because of race, creed, color, or national origin. The contractor will take affirmative action to ensure that applicants are employed, and that employees are treated during employment, without regard to their race, creed, color, or national origin. Such action shall include, but not be limited to the following:
employment, upgrading, demotion, or transfer; recruitment or recruitment advertising; layoff or termination; rates of pay or other forms of compensation; and selection for training, including apprenticeship. The contractor agrees to post in conspicuous places, available to employees and applicants for employment, notices to be provided by the contracting officer setting forth the provisions of this nondiscrimination clause.
"(b) The contractor will, in all solicitations or advertisements for employees placed by or on behalf of the contractor, state that all qualified applicants will receive consideration for employment without regard to race, creed, color, or national origin. "(c) The contractor will send to each labor union or representative of workers with which he has a collective bargaining agreement or other contract or understanding, a notice, to be provided by the agency contracting officer, advising the labor union or workers' representative of the contractor's commitments under Section 202 of Executive Order No. 11246 of September 24, 1965, and shall post copies of the notice in conspicuous places available to employees and applicants for employment.

Exhibit D
"(d) The contractor will comply with all provisions of Executive Order No. 11246 of Sept. 24, 1965, and of the rules, regulations, and relevant orders of the Secretary of Labor. "(e) The contractor will furnish all information and reports required by Executive Order No. 11246 of September 24, 1965, and by the rules, regulations, and orders of the Secretary of Labor, or pursuant thereto, and will permit access to his books, records, and accounts by the contracting agency and the Secretary of Labor for purposes of investigation to ascertain compliance with such rules, regulations, and orders.
"(f) In the event of the contractor's noncompliance with the nondiscrimination clauses of this contract or with any of such rules, regulations, or orders, this contract may be cancelled, terminated or suspended in whole or in part and the contractor may be declared ineligible for further Government contracts in accordance with procedures authorized in Executive Order No. 11246 of Sept 24, 1965, and such other sanctions may be imposed and remedies invoked as provided in Executive Order No. 11246 of September 24, 1965, or by rule, regulation, or order of the Secretary of Labor, or as otherwise provided by law. "(g) The contractor will include the provisions of Paragraphs (1) through (7) in every subcontract or purchase order unless exempted by rules, regulations, or orders of the Secretary of Labor issued pursuant to Section 204 of Executive Order No. 11246 of Sept. 24, 1965, so that such provisions will be binding upon each subcontractor or vendor. The contractor will take such action with respect to any subcontract or purchase order as the contracting agency may direct as a means of enforcing such provisions including sanctions for noncompliance: Provided, however, That in the event the contractor becomes involved in, or is threatened with, litigation with a subcontractor or vendor as a result of such direction by the contracting agency, the contractor may request the United States to enter into such litigation to protect the interests of the United States."
xvi. The Recipient agrees to comply with the requirements of USEPA’s Program for Utilization of Small, Minority and Women’s Business Enterprises.
xvii. Procurement Prohibitions under Section 306 of the Clean Air Act and Section 508 of the Clean Water Act, including Executive Order 11738, Administration of the Clean Air Act and the Federal Water Pollution Control Act with Respect to Federal Contracts, Grants, or Loans; 42 USC § 7606; 33 USC § 1368. Except where the purpose of this Agreement is to remedy the cause of the violation, the Recipient may not procure goods, services, or materials from suppliers excluded under the federal System for Award Management: http://www.sam.gov/ . xviii. Uniform Relocation and Real Property Acquisition Policies Act, Pub. L. 91-646, as amended; 42 USC §§4601-4655. The Recipient must comply with the Act’s implementing regulations at 49 CFR 24.101 through 24.105.
xix. The Recipient agrees that if its network or information system is connected to USEPA networks to transfer data using systems other than the Environmental Information Exchange Network or USEPA’s Central Data Exchange, it will ensure that any connections are secure. xx. All geospatial data created pursuant to this Agreement that is submitted to the State Water Board for use by USEPA or that is submitted directly to USEPA must be consistent with Federal Geographic Data Committee endorsed standards. Information on these standards may be found at www.fgdc.gov.
xxi. If the Recipient is a water system that serves 500 or fewer persons, the Recipient represents that it has considered publicly-owned wells as an alternative drinking water supply.

Exhibit D
xxii. The Recipient represents that it is not a corporation that has any unpaid Federal tax liability that has been assessed, for which all judicial and administrative remedies have been exhausted or have lapsed, and that is not being paid in a timely manner pursuant to an agreement with the authority responsible for collecting the tax liability; and it is not a corporation that was convicted of a felony criminal violation under a Federal law within the preceding 24 months. xxiii. The Recipient agrees to immediately notify the Project Manager in writing about any allegation of research misconduct involving research activities that are supported in whole or in part with USEPA funds under this Project, including fabrication, falsification, or plagiarism in proposing, performing, or reviewing research, or in reporting research results, or ordering, advising, or suggesting that subordinates engage in research misconduct. xxiv. The Recipient agrees to comply with, and require all contractors and subcontractors to comply with, USEPA’s Scientific Integrity Policy, available at https://www.epa.gov/osa/policy-epascientific-integrity, when conducting, supervising, and communicating science and when using or applying the results of science. For purposes of this condition scientific activities include, but are not limited to, computer modelling, economic analysis, field sampling, laboratory experimentation, demonstrating new technology, statistical analysis, and writing a review article on a scientific issue.

The Recipient shall not suppress, alter, or otherwise impede the timely release of scientific findings or conclusions; intimidate or coerce scientists to alter scientific data, findings, or professional opinions or exert non-scientific influence on scientific advisory boards; knowingly misrepresent, exaggerate, or downplay areas of scientific uncertainty; or otherwise violate the USEPA’s Scientific Integrity Policy. The Recipient must refrain from acts of research misconduct, including publication or reporting, as described in USEPA’s Policy and Procedures for Addressing Research Misconduct, Section 9.C, and must ensure scientific findings are generated and disseminated in a timely and transparent manner, including scientific research performed by contractors and subcontractors.
xxv. The Recipient agrees to comply with the Animal Welfare Act of 1966 (7 USC 2131-2156).

Recipient also agrees to abide by the “U.S. Government Principles for the Utilization and Care of Vertebrate Animals used in Testing, Research, and Training,” available at http://grants.nih.gov/grants/olaw/references/phspol.htm#USGovPrinciples. xxvi. The Recipient certifies that no Project Funds will be used on:
a. Video surveillance or telecommunications equipment produced by Huawei Technologies Company or ZTE Corporation (or any subsidiary or affiliate of such entities), telecommunications equipment produced by Hytera Communications Corporation, Hangzhou Hikvision Digital Technology Company, or Dahua Technology Company (or any subsidiary or affiliate of such entities);
b. Telecommunications or video surveillance services produced by such entities; c. Telecommunications or video surveillance equipment or services produced or provided by an entity that the Secretary of Defense, in consultation with the Director of the National Intelligence or the Director of the Federal Bureau of Investigation, reasonably believes to be an entity owned or controlled by, or otherwise connected to, the government of a covered foreign country; or
d. Other telecommunications or video surveillance services or equipment in violation of 2 CFR 200.216.

ATTACHMENT 3

RESOLUTION NO. ________________

RESOLUTION OF THE CITY COUNCIL OF THE CITY OF YUBA CITY

AUTHORIZING EXECUTION OF AN OUT OF AGENCY WATER SERVICE AGREEMENT

WITH YUBA CITY UNIFIED SCHOOL DISTRICT FOR THE BARRY ELEMENTARY SCHOOL

WATERLINE EXTENSION PROJECT
WHEREAS, the City of Yuba City (City) has applied for funding with the State Water Resources Control Board (SWRCB) for the construction of Barry Elementary School Waterline Extension Project; and
WHEREAS, the SWRCB requires the City to enter into an Out of Agency Water Service Agreement to finalize conditions for funding; and,
WHEREAS, City policy established at the March 5, 2019 City Council meeting allows existing parcels within the Sphere of Influence, but outside the City limits, to connect to City water services if the owner enters into an Extraterritorial Water Service Agreement; and, WHEREAS, the City made an application to the Sutter Local Agency Formation Commission (LAFCO) to provide safe and reliable domestic water service to Barry Elementary School, located outside City limits and sphere of influence; and, WHEREAS, a jurisdictional change to the City is not required since LAFCO authorized the City to provide new or extended services outside its jurisdictional boundary and its sphere of influence.

NOW, THEREFORE, be it resolved and ordered by the City Council of Yuba City as follows:

The City Council approves the Extraterritorial Water Service Agreement, attached hereto, with Yuba City Unified School District, and authorizes the City Manager to execute the same on behalf of the City of Yuba City.

The foregoing Resolution was duly and regularly introduced, passed, and adopted by the City Council of the City of Yuba City at a regular meeting thereof held on the 17TH day of May, 2022.

AYES:

NOES:

ABSENT:
_________________________
Dave Shaw, Mayor

Ciara Wakefield, Deputy City Clerk

APPROVED AS TO FORM
COUNSEL FOR YUBA CITY:
_________________________
Shannon Chaffin, City Attorney

Aleshire & Wynder, LLP
Attachments:

Attachment A – LAFCO Order
Attachment B – Extraterritorial Water Service Agreement

ATTACHMENT A

ATTACHMENT B

Recording Requested by and
When Recorded Return to:

City Clerk
City of Yuba City
1201 Civic Center Blvd
Yuba City, CA 95993
NO FEE-Government Code §61 03
(Space Above This Line for Recorder's Office Use Only)

EXTRATERRITORIAL WATER SERVICE AGREEMENT
This EXTRATERRITORIAL WATER SERVICE AGREEMENT ("Agreement") is made and entered into this day of , 2020 (the "Commencement Date"), by and between YUBA CITY UNIFIED SCHOOL DISTRICT, ("Owner"), and the CITY OF YUBA CITY, a California municipal corporation ("City").

RECITALS
A. Owner represents it has acquired lawful title to property identified by Sutter County Assessor's Parcel Number 23-064-002, located at 1255 Barry Road, Sutter County, CA, (the "Property"), as more particularly described in Exhibit "A." B. The Property is located outside of the incorporated boundaries of City within Sutter County, and neither Sutter County nor any other public agency currently provides water service to the Property. The Property is located within the City's sphere of influence, but outside the City's existing boundaries.

C. California Government Code § 56133(b) permits a City to provide new or extended services by agreement outside its jurisdictional boundaries but within its sphere of influence, and with written approval from Sutter Local Agency Formation Commission ("LAFCO"), which approval is a condition to the effectiveness of this Agreement.

D. The City and Owner both agree it is not necessary for the Property to be annexed into the City at this time.

E. City currently owns and operates a water distribution system which conveys potable water originating in its service area through the City's transmission system. This water distribution system includes a 14-inch waterline traveling south on Railroad Avenue from Bogue Road. In response to a request by the State Water Board Division of Drinking Water regarding water quality and subsequent grant to provide City water to Barry Elementary School, the City Extra Territorial Service and Infrastructure Agreement
-1-

will expand its water distribution system and install new distribution lines to service Barry Elementary School, which is located at the Property. The City's water distribution system, including the proposed new distribution lines to service the Property, is collectively referred to herein as "Distribution System." The Owner's water service line is referred to herein as "New Water Service Line."
F. Owner has agreed to make payments described herein with respect to the water service for the Property in accordance with the fees and rates set by the City for its users, and to comply with City's Municipal Code as may be amended from time to time, as more fully set forth herein.

G. This Agreement is intended to comply with LAFCO requirements for an extraterritorial water service agreement with City.

H. The City has identified options to provide water supply to the Owner to accommodate the Owner's water demands at the Property, provided the Owner meet certain conditions as set forth below.

I. The California Department of Public Heath has determined that the water provided by the District to its students and staff does not comply with certain water health standards; and
J. In order to promote and protect the health and safety of the District, its students and staff, the City has submitted an application for a grant with the State Water Resources Control Board for State Revolving Fund Grant; and
K. If the State Revolving Fund Grant is approved, the City would receive funds to construct the necessary infrastructure along Railroad Ave, Stewart Road, and Barry Road, including a new water mains, service line, water meter, valves, and all other improvements necessary to connect the City's water system to the Property; and L. The City's application for the State Revolving Fund Grant and connection of the City's water system to the Property requires an agreement between the City and the District that identities the responsibilities and obligations of the Parties regarding the use of the State Revolving Fund Grant funds for the construction of the Project and transfer to the City's water system; and
M. The Parties desire to enter into such agreement.

AGREEMENT
NOW, THEREFORE, in consideration of the mutual covenants set forth herein and for other good and valuable consideration, the receipt and adequacy of which is hereby acknowledged, the parties hereto, agree as follows:

ARTICLE I. RIGHTS AND OBLIGATIONS
Extra Territorial Service and Infrastructure Agreement
-2-

1. Recitals Incorporated. The recitals set forth above are true and correct and are hereby incorporated into and made a part of this Agreement.

2. Term. Ownership, and Effectiveness of Agreement: This Agreement shall become effective when executed by both parties hereto, subject to City receiving the State Revolving Fund Grant and further subject to compliance with Section 11 below. The Agreement shall continue in perpetuity or until such time as the Property is annexed into the corporate boundaries of City. At such time, the Owner shall have such rights, privileges, and duties, including fees and rates, as all other City citizens for the then current water service classification. The City and Owner agree that should the City ultimately annex the Property in the future into the City, the Owner will not contest annexation. Owner intends that this Agreement shall constitute its written consent to the annexation of the lands described herein and shall bind its heirs, successors, grantees and/or assigns, and all persons having or acquiring any interest subsequent hereto in said lands, and shall constitute by this Agreement a covenant running with the land and binding upon said successors, grantees and/or assigns that they in fact consent to the annexation of said lands to City and shall execute whatever documentation as may be necessary and do all things required of them to effectuate the annexation at such time as City deems annexation to be in its best interest.

3. Required System Facility Improvements. The parties shall provide the following improvements to accomplish the provision of water service to the Property, which improvements shall be commenced within one-hundred twenty (120) days of the effectiveness of this Agreement, as defined in Section 2 above:
a. Distribution System. The City shall furnish and install a 14-inch waterline originating at the intersection of Railroad A venue and Shanghai Bend traveling south on Railroad A venue to the intersection of Stewart Road and Railroad Ave.

A 12-inch water line will be installed on Stewart Road traveling east to Riverbend Elementary.
b. New Water Service Line. Subject to the City's receipt of sufficient funding from the State Revolving Fund Grant, City shall install the New Water Service Line comprising of a 3-inch water service line from the intersection of Railroad A venue and Stewart Road running south on Railroad A venue then west on Barry Road to its final connection point at Barry Elementary School at the Property. The cost for the materials and installation of the New Water Service Line shall be charged to the Grant.
c. Downstream Water Line. Owner, at its sole expense and without reimbursement from the City, shall be required to provide a downstream water line ("Downstream Water Line") as necessary to connect to the New Water Service Line from the Property downstream from the Connection Point, as such term is defined in Section 3.d below. Owner shall represent, warrant, and covenant to the City that Owner completed all necessary construction/installation from the Property to the Connection Point after receiving all respective County of Sutter Extra Territorial Service and Infrastructure Agreement
-3-