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HomeMy WebLinkAboutRES 17-183RESOLUTION NO. 17-183 BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF BEAUMONT: THAT the City Manager be and he is hereby authorized to execute a ten (10) year Operations and Maintenance Services Agreement with Trillium CNG to provide operation and maintenance services for Compressed Natural Gas (CNG) fueling stations located at the Beaumont Transit facility and to fund upgraded pumping facilities to comply with newer accounting and credit card standards. The Agreement is substantially in the form attached hereto as Exhibit "A" and made a part hereof for all purposes. The meeting at which this resolution was approved was in all things conducted in strict compliance with the Texas Open Meetings Act, Texas Government Code, Chapter 551. PASSED BY THE CITY COUNCIL of the City of Beaumont this the 19th day of September, 2017. ,Ik n �1lv'. M. -F�a�i•4y� OPERATIONS AND MAINTENANCE SERVICES AGREEMENT This OPERATIONS AND MAINTENANCE SERVICES AGREEMENT ("Agreement") is entered into this day of '2017, ("Effective Date") by and between The City of Beaumont, Texas ("Customer"), and Trillium Transportation Fuels, LLC ("Trillium"), Each of Customer and Trillium may individually be referred to herein as a "Party" and referred to collectively as the "Parties." WHEREAS Customer wishes to procure certain operation and maintenance services from Trillium, and Trillium wishes to provide the same to Customer. NOW THEREFORE, for good and valuable consideration, the receipt and sufficiency of which the Parties hereby acknowledge, the Parties agree as follows: 1. Equipment Upgrade. Customer agrees to procure from Trillium the equipment upgrades to the Site (as defined below) as detailed in the attached Exhibit C ("Equipment Upgrade"). The cost of the Equipment Upgrade shall be paid to Trillium by Customer in monthly installments as part of the Service Charge (as defined below) throughout the first five (5) years of the Term (as defined below), as such prices are more particularly set forth in the attached Exhibit B. In the event Customer fails to pay any portion of the Service Charge associated with the Equipment Upgrade or otherwise fails or refuses to permit the Equipment Upgrade Trillium shall be entitled to suspend performance of the Services, without liability therefor and without terminating this Agreement, until such time as the Equipment Upgrade has been completed and any due and outstanding charges related to the same have been paid in full. 2. Management and Operation. Commencing on the Effective Date, Trillium agrees to provide operation and maintenance services in accordance with Exhibit A (the "Services") at the certain CNG refueling station located at 550 Milam St., Beaumont, Texas 77701 (the "Site"). Service Charges. For each calendar month of the Term, as defined below, Customer will pay Trillium a service charge (the "Service Charge") as set forth in the attached Exhibit B. -On each anniversary of the Effective Date, the Fixed Fee and Volumetric Fee rate components of the Service Charge will be automatically adjusted to reflect any increases or decreases in the National Consumer Price Index for All Urban Consumers, U.S. City Average (All Items; 1982-84 = 100) as issued by the U.S. Department of Labor, Bureau of Labor Statistics (the "CPI"). 4. Billing and Payment. (a) Trillium will invoice Customer within thirty (30) days of the end of each calendar month during the Term, as defined below (each such date of actual invoice issuance shall be referred to as.an "Invoice Date"), for the Services (as described in Exhibit B) owed by Customer in that prior calendar month. Any invoice for a partial month's Services during the Term shall prorate the Fixed Fee based on the number of days that Company has or is expected to provide Services during the month. (b) The Customer shall pay each such invoice within forty-five (45) days of the Invoice Date (the "Due Date"). If payment is not received by Trillium on or before the Due Date, Trillium shall 100177973. D 0 CX;1) EXHIBIT "A" commence charging Customer late payment charges equal to one and one-half percent (1.5%) per month, calculated for the period commencing on the Due Date and ending with the date Trillium receives full payment; provided that in no event will any interest be payable hereunder at a rate in excess of the maximum rate permitted by applicable law. If an invoice remains unpaid following the Due Date, Trillium may, in Trillium's sole discretion, in addition to any other rights and remedies available under this Agreement or at law or in equity, either (i) suspend further Services until such invoice is paid or (ii), terminate this Agreement effective upon Customer's receipt of written notice from Trillium. (c) In the event Customer disputes the amount properly due hereunder, Customer shall promptly pay all amounts reflected on the invoice, and -the Parties will work together in good faith to resolve any such dispute pursuant to this Agreement. If, at any time, the Parties agree that there has been an overcharge, Trillium will promptly refund the same. In no event will any adjustment be made with respect to amounts paid or required to be paid hereunder unless written claim is made therefor not later than twelve (12) months following the date such amount was paid. (d) Trillium will retain from the price per GGE, defined as Gas Gallon Equivalent, paid by Customer's Third Party customers, defined as all customers of the Refueling Station other than Customer, in partial payment of its fee for its operation and management services hereunder, an amount equal to the Service Charge (as described in Exhibit B , plus $0.0625 per GGE. Any excess amount received by Trillium from the sale of CNG by Trillium to Customer's Third Parry customers over and above that portion retained by Trillium in partial payment of its fee will be paid to the Customer within thirty (30) days following the end of each calendar month during the Term, with any late payments bearing interest at one and one-half percent (1.51) per month calculated from the date due until the date paid. 5. Customer's Covenants. In addition to payment of the Service Charge and other terms and conditions contained herein, the Customer agrees and covenants as follows: (a) Customer shall designate to Trillium in writing the name and pertinent contact information for the individual who shall act as the primary point of contact for the Customer relating to the Services (the Customer's "Designated Representative"). The initial Designated Representative is Bill Munson, Beaumont Municipal Transit General Manager. The Designated Representative shall further be responsible for assisting Trillium in securing the Site in the event of an emergency. (b) Customer shall provide Trillium with continuous and uninterrupted access to the Site. Notwithstanding any other provision in this Agreement, Trillium will not be responsible for any delays in performance due to Customer's failure to grant Trillium access to the Site. (c) Customer shall. provide at its cost and expense any maintenance and inspection obligations designated as Customer's as set forth on Exhibit A. (d) Customer agrees to limit access to the Site to its employees, the employees of Customer's fleet customers, Customer's public customers engaged in refueling natural gas vehicles and to authorized personnel and vendors of the Customer or Trillium who are working with or performing work on the Site. Trillium will have no responsibility whatsoever with respect to f 00177973. D OCX;1)2 any party who gains access to the Site, whether such access is authorized or unauthorized, other than employees or authorized agents of Trillium. 6. Term and Termination. (a) The term (the "Term") of this Agreement will commence on the Effective Date and will continue in full force and effect until the tenth (10th) anniversary of the Effective Date. (the "Primary Termination- Date") Unless a Party provides not less than thirty (30) days prior written notice to the other Party of their intent to terminate this Agreement, this Agreement will continue beyond the Primary Termination Date on a month to month basis, and thereafter either Party may terminate this Agreement by providing the other Party not less than thirty (30) days' notice of such desire to terminate. (b) Except as provided in Section 6(c), if pursuant to Section 6(a) either Party delivers a written notice to the other stating that it intends to terminate this Agreement, the Parties agree that upon receipt of such written notice, this Agreement will terminate at the end of the calendar month following such notice. (c) Upon the termination of this Agreement, neither Party will have any further liability or obligation hereunder, other than any liability or payment obligation or other obligation arising out of this Agreement that has accumulated and remains to be performed as of the date of termination hereof. 7. Taxes. Customer is responsible for the payment of any and all taxes, fees and assessments imposed on the sale or delivery of CNG at or from the Site. 8. Licenses, Permits and Utilities. Trillium, at its sole expense, will secure all necessary permits, licenses, variances, consents, certificates and other authorizations required to perform the Services at the Site (collectively, the "Permits"), at Trillium's expense. Customer will, at .its sole expense, make available to Trillium all utility services required to perform the Services at the Site, including all gas, electrical, water, sewer and storm drain lines. Notwithstanding any other provision hereof, Trillium may terminate this Agreement by written notice to Customer in the event Trillium is unable, through reasonable commercial efforts to obtain such Permits deemed necessary by Trillium for Trillium's performance under this Agreement. 9. Warranty. With respect to Services performed regarding the installation or assembly by Trillium of new equipment or any additional new or replacement equipment during the Term, Trillium warrants that same will be free from defects in material and workmanship for a period of twelve (12) months after initial start-up of the new equipment or new or replacement equipment. If any failure to :conform to the above warranty is reported in writing to Trillium within said period, Trillium will, at its option, correct such nonconformity by suitable repair of the equipment or by furnishing and installing a replacement part. The effects of corrosion, impurities in gas and ordinary wear and tear are specifically excluded from the above warranty. Trillium will not be responsible for any repairs or replacements performed by Customer or others without Trillium's prior written approval. With respect to all components of the equipment furnished by Trillium but manufactured by others, Trillium will pass all warranties of the manufacturers of such components to Customer to the full extent to which such warranties may be passed to Customer. TRILLIUM MAKES NO OTHER WARRANTIES OF WHATSOEVER NATURE, EXPRESS OR IMPLIED, CONCERNING THE EQUIPMENT, IT BEING THE INTENTION OF TRILLIUM f 00177973. D O CX;1}3 AND CUSTOMER TO NEGATE EXPRESSLY AND TO EXCLUDE ALL OTHER WARRANTIES, INCLUDING WITHOUT LIMITATION, ANY IMPLIED WARRANTIES OF MERCHANTABILITY AND FITNESS FOR ANY PARTICULAR PURPOSE, WARRANTIES CREATED BY ANY AFFIRMATION OF FACT OR PROMISE OR BY ANY DESCRIPTION OF THE EQUIPMENT, AND ANY OTHER WARRANTIES WHATSOEVER CONTAINED IN OR CREATED BY LAW. 10. Indemnification. (a) Customer. Customer will indemnify, defend and hold Trillium, its affiliates and their respective officers, directors, agents, insurers and employees harmless from and against any and all claims, demands, damages, costs, expenses, actions, proceedings, liabilities or losses, of whatsoever nature (including reasonable attorney's fees), for any injury to or death of persons, or for damage or loss to property of Trillium, Customer or a third party ("Claims") arising out of any negligent act or omissions or any intentional wrongdoing of Customer its performance or non-performance under, or otherwise in connection with, this Agreement; provided, however, that Customer will not be obligated to defend or indemnify Trillium against any Claim to the extent caused by any negligent act or omission or any intentional wrongdoing of the Trillium. (b) Trillium. Trillium will indemnify, defend and hold Customer, its affiliates and their respective officers, directors, agents, insurers and employees harmless from and against any and all Claims, arising out of any negligent act or omissions or any intentional wrongdoing of Trillium its performance or non-performance under, or otherwise in connection with, this,Agreement; provided, however, that Trillium will not be obligated to defend or indemnify Customer against any Claim to the extent caused by any negligent act or omission or any intentional wrongdoing of the Customer. (c) Survival. The provisions of this Section 10 will survive termination of this Agreement. 11. Disputes. In the event of a dispute between the Parties arising from this Agreement, the Parties' respective authorized representatives having day to day responsibility for the matters governed by this Agreement shall attempt in good faith to resolve the dispute. In the event the dispute is not resolved within five (5) days following negotiations by such authorized representatives, the dispute shall the dispute shall be referred to the respective executive level officers of the Parties, who shall attempt in good faith to resolve the dispute. In the event the dispute is not resolved within fifteen (15) days following referral of the dispute to such executive officers, the Parties may proceed to pursue such other rights and remedies (including equitable remedies) as may be available. 12. Insurance. (a) Trillium Insurance Requirements. Trillium agrees to obtain and maintain the following types and amounts of insurance coverage for the entire Term of this Agreement to insure against any and all liabilities, claims, losses, damages or expenses resulting from activities related to the Services provided hereunder: (i) Workman's Compensation and Employer's Liability Insurance as required by the state or province of the Site; {00177973. D O CX;114 (ii) Comprehensive Automobile and Vehicle Liability Insurance covering claims for injuries to vehicles, including on-site and off-site operations, and owned, non - owned or hired vehicles, with $2,000,000 combined limits, together with any appropriate endorsements and coverage relating to the maintenance and operation of the Site; (iii), Commercial General Liability Insurance covering claims for personal injury or damage to property arising out of a negligent act or omission of Trillium and any of its employees, agents or Subcontractors, with limits of $5,000,000 in the aggregate. The policies listed in (ii) and (iii) above will name the Customer and its parent and affiliated companies as additional insured. Trillium shall supply proper certificates of insurance on request. (b) Customer Insurance Requirements. Customer agrees to obtain and maintain the following types and amounts of insurance coverage for the entire Term of this Agreement to insure against any and all liabilities, claims, losses, damages or expenses resulting from its use of the equipment on the Site: (i) Workman's Compensation and Employer's Liability Insurance as required by the state or province of the Site; (ii) Comprehensive Automobile and Vehicle Liability Insurance covering claims for injuries to vehicles, including on-site and off-site operations, and owned, non - owned or hired' vehicles, with $2,000,000 combined limits, together with any appropriate endorsements and coverage relating to the use by Customer of the equipment; (iii) Commercial General Liability Insurance covering claims for personal injury or damage to property arising out of a negligent act or omission of Customer and any of its employees, agents or subcontractors, with limits of $5,000,000 in the aggregate. The policies listed in (ii) and (iii) above shall name Trillium and its parent and affiliated companies as additional insured. Customer shall supply proper certificates of insurance to Trillium upon request. 13. Limitation of Liability. The remedies of Customer set forth herein are exclusive, and the total liability of Trillium with respect to this Agreement or the equipment and Services furnished hereunder, in connection with the performance or breach thereof, or from the manufacture, sale, delivery, repair, replacement of equipment or provision Services covered by or furnished under this Agreement, whether based on contract, warranty, negligence, indemnity, strict liability or otherwise, will not exceed the cash consideration actually received by the Trillium under this Agreement. Trillium shall not, under any circumstances, be liable to Customer for any defect in or failure or malfunction of the equipment resulting in loss of use, lost profits or revenue, interest, lost goodwill, work stoppage, impairment of other goods, loss by reason of shutdown or non -operation, increased expenses of operation, cost of purchase of replacement fuel or claims of Customer or customers of Customer for service interruption whether or not such loss or damage is based on contract, warranty, negligence, indemnity, strict liability or otherwise. Neither Party, under any circumstances, shall be liable to the other Party for any consequential, incidental, indirect, special or punitive damages arising out of this Agreement or any breach thereof. The provisions of this Section 13 shall survive termination of the Agreement. 14. Governing Law and Venue. CUSTOMER AND TRILLIUM AGREE THAT THIS AGREEMENT WILL BE INTERPRETED AND GOVERNED UNDER THE LAWS OF THE STATE OF TEXAS. Each Party hereby 100177973.DOCX;1}5 irrevocably submits itself to the original and exclusive jurisdiction of -the state and federal courts sitting in the state of Texas and the Parties agree that venue for any mediation, arbitration or litigation shall be Harris County, Houston, Texas. 15. Counterparts. This Agreement may be executed simultaneously in one or more counterparts, each of which will be deemed an original and all of which together will constitute one instrument. The use of facsimile or PDF signatures for the execution of this Agreement shall be legal and binding and shall have the same force and effect as if originally signed. 16. Assignment. This Agreement will be binding upon and inure to the benefit of the Parties to this Agreement and their respective successors and permitted assigns. Neither Party may assign this Agreement without obtaining the prior written consent of the other Party (which consent will not be unreasonably withheld, conditioned or delayed). Notwithstanding the foregoing, (a) either Party may assign this Agreement and its rights and obligations underthis Agreement to any of the assigning Party's affiliates, or to a third Party in conjunction with the sale of all or substantially all of its assets, upon notice to, but without the consent of the non -assigning Party, and (b) Trillium may subcontract all or any part of the Services provided hereunder. 17. Third Party Beneficiaries. The Parties expressly understand and agree that nothing contained in this Agreement is intended to confer upon any other person any rights, benefits or remedies of any kind or character whatsoever, and no person will be deemed a third party beneficiary under or by reason of this Agreement. 18. Expenses. Except as maybe specifically provided for elsewhere in this Agreement, each Party to this Agreement will pay and discharge all the expenses incurred by it in connection with the negotiation of this Agreement and the consummation of the transactions contemplated hereby. 19. Integration. THIS AGREEMENT (and incorporated exhibits) REPRESENTS THE FINAL AGREEMENT BETWEEN THE PARTIES WITH RESPECT TO THE TRANSACTIONS CONTEMPLATED HEREIN AND MAY NOT BE CONTRADICTED BY EVIDENCE OF PRIOR, CONTEMPORANEOUS, OR SUBSEQUENT ORAL AGREEMENTS OF THE PARTIES. 20. Amendment, Waiver and Severability. This Agreement cannot be amended, supplemented or modified except by an instrument in writing signed by each Party. No failure or delay of either Party in enforcing its rights hereunder shall act as a waiver thereof, nor shall any single or partial exercise thereof preclude any other or further exercise thereof or the exercise of any other right set forth herein. If any provision of this Agreement, is declared void or otherwise unenforceable, such provision shall be deemed to have been severed from this Agreement, and the remaining provisions of this Agreement shall continue in full force and effect. 21. Force Majeure. The term "force majeure" as used herein means laws, regulations or acts of duly constituted governmental authority, acts of God, strikes, lockouts, or other industrial disturbances, acts of the public enemy, events similar to those of September II, 200 I, war, blockades, insurrections, stormy, freezing or inclement weather, riots, epidemics, landslides, lightening, earthquakes, fires, storms, floods, washouts, arrests and restraints of governments and people, civil disturbances, explosions, breakage or accident to machinery or lines of pipe, exhaustion or depletion of supplies of gas, freezing of wells, equipment or lines of pipe, electrical power outages, fuel shortages or partial or complete curtailment or interruption of deliveries by Trillium's or Customer's suppliers or transporters, {00177973.DOCX;1}6 failure of any governmental entity, agency or official to timely furnish Trillium or Customer with any required permit or approval and any other causes, whether of the kind herein enumerated or otherwise, not reasonably within the control of the Party claiming force majeure and which by the exercise of due diligence such Party is unable to prevent or overcome. (a) Excused Performance. If any Party hereto is rendered unable, either wholly or partially, by force majeure from carrying out its obligations under this Agreement, it is agreed that the obligations of Trillium and Customer (other than obligations of Customer to pay any amounts due hereunder), insofar as they are affected by such force majeure, will be suspended during the continuance of the inability so caused, but for no longer period. If an event of force majeure occurs, the Party experiencing same must promptly notify the other Party in writing of the circumstances and the expected duration of the force majeure event. �l (b) Termination. If an event of force majeure which precludes the delivery or receipt of natural gas under this Agreement occurs and continues for thirty (30) or more consecutive days, or if the nature of a force majeure event is such that it is reasonably likely that performance hereunder will be precluded for a period of thirty (30) or more consecutive days, then each Party hereto will have the right to terminate this Agreement on not less than thirty (30) days prior written notice to the non -terminating . Party. 22. Laws. Each of the Parties hereunder shall perform its obligations in a good and workmanlike manner and in compliance with all applicable laws, regulations, codes, and ordinances, including, without limitation, those relating -to human health, the environment, natural resources, and worker safety (collectively, the "Law" or "Laws"). Each Party shall prepare, file and maintain all reports required by Law to be prepared or filed with any governmental authority concerning its performance under this Agreement and shall retain the same for a *period of two (2) years from the date of preparation thereof orfor such longer time period as may be legally required. 23. Endorsements. Except as otherwise be required by law, Trillium and Customer each agree that it will not use the logo or name of the other Party in connection with any publicity, release, endorsement or announcement, without the prior written consent of the other Party hereto. 24. Notices. All notices, requests and communications hereunder will be in writing and will be deemed to be received when mailed, correctly addressed and by certified mail or nationally recognized overnight courier, to the respective Parties at their respective addresses reflected below. Any Party may, by proper written notice hereunder to the other Party, change the address to which notice will thereafter be sent to such Party. f 00177973. D O CX;1}7 CUSTOMER CONTACT INFORMATION: The City of Beaumont - State of Organization: Texas Principal Place of Business: 550 Milani St. Beaumont, Texas 77701 Phone: (409) 835-7895 Address for Notices: 550 Milam St. Beaumont, Texas 77701 Attn: Bill Munson Phone: (409) 835-7895 E-mail: bmunson@beaumonttransit.com TRILLIUM CONTACT INFORMATION: TRILLIUM TRANSPORTATION FUELS, LLC State of Organization: Delaware Principal Place of Business: 2929 Allen Parkway, Suite 4100 Houston, Texas 77019 Phone: (713) 332-5726 Fax: (713) 354-5357 Address for Notices: Trillium Transportation Fuels, LLC 2929 Allen Parkway, Suite 4100 Houston, Texas 77019 Attn: General Counsel Phone: (405)-302-6793 Fax: (405) 463-3793 E-mail: morris.collie@musketcorp.com 25. Intellectual Property. Proprietary documents, software or techniques of any kind ("Intellectual Property") that may be used in conjunction with equipment or the Services provided under this Agreement shall not become the property of Customer if it was developed by Trillium. Customer is not allowed to publish or otherwise share such Intellectual Property with third Parties. All intellectual property rights of Trillium in the equipment, materials, services, programs, processes and all other matters related to the equipment or Services provided hereunder shall remain the sole property of Trillium. All ideas, discoveries, inventions, computer programs, developments, original works of authorship, systems documentation, trade secrets, and technical know-how that are conceived, devised, invented, developed or reduced to practice or tangible medium by Trillium, its contractors or employees, whether individually or jointly with others, that relate, indirectly or directly, to the equipment or Services provided hereunder, shall be the sole property of Trillium, and, except as may be provided in this Agreement, Trillium shall have no obligation to assign or to cause any of its contractors or employees to assign any of Trillium's rights therein to Customer or any other party. 26. Default. If at any time either Party (a "Defaulting Party") fails to perform any of its material duties or obligations under this Agreement; the other Party (the "Non -defaulting Party"), upon five (5) days written notice to the Defaulting Party if the default is a payment default or upon fifteen (15) days written notice to the Defaulting Party if the default is one other than a payment default, may terminate this Agreement effective as of the end of such five (e) or fifteen (15) day period; provided, however, that {00177973.DOCX;1}8 the Non -Defaulting Party may not terminate this Agreement pursuant to this Section 26 if the Defaulting Party cures the subject default within the applicable period described above, or has commenced and is diligently pursuing to cure such breach or default if the breach or default is not one that can be cured within fifteen (15) days. 27. Termination of Prior Agreement. Customer and Pinnacle CNG Company, predecessor in interest to Trillium, previously entered in to that certain Natural Gas Refueling Management and Maintenance Services agreement dated as of November 8, 2006 (the "Prior Agreement"). The Parties acknowledge and agree that the intent of this Agreement is, among other things, to amend and restate the terms of the Prior Agreement. Accordingly,, as of the Effective Date, the Prior Agreement is hereby terminated, restated, and replaced in its entirety with this Agreement. Notwithstanding the foregoing, any obligations of the Parties under the Prior Agreement which accrued prior to the Effective Date but remain unsatisfied shall carry on in accordance with Section 4.2(c) of the Prior Agreement. IN WITNESS WHEREOF, the Parties hereto have caused this Agreement to be signed by their duly authorized representatives, effective as of the date first above set forth. TRILLIUM TRANSPORTATION FUELS, LLC By: Name: Title: Date: The City of Beaumont By: Name: Title: Date: {00177973.DOCX;1}9 Exhibit A Operations and Maintenance Services R E,MO�T E MO N iT O R N �G — jS ER� IFClET�Q ?O�CCU1�RA�FTE RsT Hg,E�NIE W 'E Q1Ul1PME�+NTIUIPGRA DE� Company will provide 24 hour per day, 7 days per week remote monitoring of the Customer's Equipment, which includes the following activities: • Reviewing all station alarms and reset. • Reset remotely when possible according to manufacturer recommendations. • Notifying Customer's Designated Representative immediately when Equipment is inoperable or within twenty-four (24) hours, if Equipment is operable, but requires maintenance. • Responding to Customer calls to Company's 24/7 customer service line at 1-800-920-1166. • Maintain controls software (HMI upgrades, Windows patches, antivirus software, etc.). • Remote diagnostics and analysis of station performance. • Recommend corrective action to improve performance. • Manage internet/communication accounts and fees. TRANSACT ON MANAGEMENT—SERVIGE TO OCCUR AFTETHW R E NEEQUIP ENT UPGRADE Company will provide transaction management processing for customer fills at station. This includes the following activities: • Manage transaction management software (Comdata's Petroleader system). • Troubleshoot card failures and issues. • Provide access to Petroleader account. • Remote system resets and manual transactions. • Installation of software upgrades. • Pay annual software support fees. • Manage internet/communication accounts and fees. Customer will be responsible for the following: • Credit card or Fleet card merchant processing accounts and related fetes. {00177973.DOCX;1}10 E QIJIP.ME NT REPAIRS & MA�INT E NAtN,C E Company will provide regularly scheduled Site inspections and Equipment maintenance by a trained technician according to the frequency noted below. This includes: • Full replacement of all damaged parts for the CNG station Equipment. • All routine and manufacturer recommended maintenance services for the CNG station Equipment including but not limited to those activities listed in the table below. Note that for purposes of the table, to the extent not included in a listed piece of Equipment, "Station" refers to every component of Equipment including, Facility Control Panels, Safety Systems and Electrical Gear. Customer will be responsible for the following: • Repair costs associated with damage to include parts and labor caused to the CNG station Equipment by CNG station users (i.e., drive -offs). Such repair Services will be completed by Company, but billed to Customer at the following rates: $95.00 per hour for labor; Cost plus 15% for parts. • Any landscaping, snow removal, trash removal, or temporary restroom maintenance services. Activity Equipmentreguencv Complete Station Check Report Station Weekly Visual Site Inspection Station Weekly Check fittings for Gas Leaks Station Weekly Monitor/Record Station Operating Parameters Station Weekly Check Equipment Fault History Station Weekly Check Dispensers for Gas Leaks Dispensers Weekly Check Hoses and Nozzles Dispensers Weekly Drain Filters from Dispensers Dispensers Weekly Check Frame Oil Pressure Compressor Weekly Check Frame Oil Level Compressor Weekly Check Lubricator Block Indicator Compressor Weekly Check Packing Vents Compressor Weekly Check for Gas Leaks Compressor Weekly Check for Oil Leaks Compressor Weekly Check Operating Pressures and Temps Compressor Weekly Check Lube Oil Level Compressor Weekly Check for Abnormal Noise Compressor Weekly Check for Abnormal Vibration Compressor Weekly Check and Confirm Safety Shutdown Function Compressor Monthly Lubricate Motors Compressor Monthly Lubricate Fan Bearings Compressor Monthly Service Air Dryer Air Compressor Monthly Check/Change Compressor Coalescing Filter Compressor 6 Months Check/Change Dispenser Coalescing Filters Dispenser 6 Months Change Air Compressor Oil Air Compressor 6 Months {00177973.DOCX;1}11 ActivifiyRAW ` I %R' Egu�, m nt r ie9u_e iEry=M Check/Drain Storage Vessels Storage 6 Months Check/Tighten Fan Belts Compressor 6 Months Change Oil Filter Compressor 6 Mos or 4,000 hrs Change Oil (or as needed) Compressor 6 Mos or 4,000 hrs Check Crankcase for Foreign Material Compressor 6 Mos or 4,000 hrs Check/Re-Torque Base Bolts Compressor 6 Mos or 4,000 hrs Check/Replace High Pressure Piston Rings Compressor 6 Mos or 4,000 hrs Check Main Bearing Clearance Compressor Annual or 8,000 Hrs Check Crosshead Guide Clearance Compressor Annual or 8,000 Hrs Inspect/Replace Valves Compressor Annual or 8,000 Hrs Inspect Cylinder Bore Compressor Annual or 8,000 Hrs Inspect/Replace Piston Rings Compressor Annual or 8,000 Hrs Inspect/Replace Piston Rods Compressor Annual or 8,000 Hrs Rebuild Cylinder Packing Cases Compressor Annual or 8,000 Hrs Inspect/Re-align Coupling Compressor Annua'I or 8,000 Hrs Check/Record Rod Run Out Compressor Annual or 8,000 Hrs Check/Replace DNFT Compressor Annual or 8,000 Hrs Pressure Test Lubricator Distribution Blocks Compressor Annual or 8,000 Hrs Check all Compressor Safety Shutdowns Station Annual Check ESD Operation Station Annual Check all Station Shutdowns Station Annual Test Dispenser Hoses Dispenser Annual Check/Test Pressure Relief Valves Station Annual Check Auxiliary Gears and Chain Compressor 2 Yrs or 16,000 Hrs Rebuild Oil Wiper Cases Compressor 2 Yrs or 16,000 Hrs Check Main/Connecting Rod Bearing Clearance Compressor 4 Yrs or 32,000 Hrs Check Crosshead Guide Clearance Compressor 4 Yrs or 32,000 Hrs Check Crosshead Pin Bushing Compressor 4 Yrs or 32,000 Hrs Check Piston Ring Groove Compressor 4 Yrs or 32,000 Hrs Replace Main and Connecting Rod Bearings Compressor 6 Yrs or 48,000 Hrs Replace Lubricator Distribution Blocks Compressor 6 Yrs or 48,000 Hrs Replace Crosshead Bushings Compressor 6 Yrs or 48,000 Hrs {00177973.DOCX;1}12 Exhibit B Service Charge Pursuant to Section 3, the Service Charge shall be calculated as follows, plus any applicable sales or use taxes: Total Service Charge = Fixed Fee + Volumetric Fee, Where: "Fixed Fee" means a flat monthly fee in the amount and for the applicable portion of the Term set forth in the box below. "Volumetric Fee" means $0.34 per Gasoline Gallon Equivalent ("GGE") of CNG dispensed at the Site during a calendar month. The Customer's monthly natural gas utility bills shall be provided._ to Trillium and will serve as the basis for this calculation. Year Amount owed per month 1-5 $0.34/GGE + $3,250 Fixed Fee 6-10 $0.34/GGE + $2,050, Fixed Fee *Third Party Customer Fee $0.0625/GGE * "Customer's Third Party Customers" means all customers of the Refueling Station other than Customer. {00177973.DOCX;1}13 Exhibit C Equipment Upgrade •6 '0 " 0'0 0 8 ' ' '�D , MW_ Card Reader Replace existing stand-alone card reader and receipt printer with two (2) Comdata outdoor payment pedestals Controls and Upgrade existing Pinnacle controls system and PC -Charge Transaction transaction management system to one (1) Allen-Bradley Management Systems based controls system and one (1) Comdata transaction management system {00177973. D 0 CX;1}14