HomeMy WebLinkAboutAMENDMENT NO 2 OMI
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AMENDMENT NO.2
TO THE
AGREEMENT FOR OPERATIONS,
.MAINTENANCE AND MANAGEMENT SERVICES
FOR
AUGUSTA., GEORGIA
This AMENDNIENT No. 2 to the Agreement dated July 20, 1999 is made and entered into this
/t{tt-day of .{)tcte:mt6e-'-t.- , 2000, between Augusta, Georgia, a political subdivi.sion
of the State of Georgia, whose address for any fonnal notice is 530 Greene Street, Room 801,
Augusta, Georgia 30911, Attention: City Administrator (hereinafter "Owner"), and Operations
Management International, Inc. (hereinafter "OW"), with offices at 6060 South Willow Drive,
Suite 200, Greenwood Village, Colorado 80111-3333, whose address for any fonnal notice is
postOffice Box 6607, Englewood, Colorado 80155-6607.
NOW, THEREFORE, Owner and OMI agree to amend the Agreement as follows:
1. Article 2.34 is hereby deleted in its entirety and replaced with the following Article 2.34:
2.34 Provide, for and document repairs as described in Appendix A.S, provided the
total amount ONU shall be required to pay does not. exceed Three Hundred Ninety-
nine Thousand Nine Hundred Ninety-six Dollars..($399,996.00) during the second
year of this Agreement (January 1, 2001 through December 31, 2001). At such
time that actual repair's costs exceed the annual repairs limit, OMI shall invoice
and the Owner shall pay excess repairs' cost on a montWy basis. Said repairs will
be invoiced at direct costs, with no markup for overhead or profit. OMI will rebate
to Owner the entire amount that actual repairs are less than the repairs' limit
during the period of this Agreement. Repairs' amounts below or in excess of the
annual repairs' Limits shall not contribute to Base Fee overages or underages.
2. Article 2.55 is hereby deleted in its entirety.
3. Article 4. 1 is hereby deleted in its entirety and replaced with the following Article 4.1 :
4.1 For services rendered during the s~cond period of this Agreement (January 1,2001
through December 3 1, 2001), Owner shall pay 'to OMI a base fee equal to the
actual cost of services as provided in Article 4.3 perfonned, which includes a
Management Fee of One Hundred Thirty Seven Thousand Eight Hundred Forty-
Two Dollars ($137,842.00). Said Management Fee and Base Fee shall be paid in
twelve equal monthly installments. Management Fee shall increase proportionally
.with Base Fee adjustments described in Article 4.4.
. 1 .
4. Article 4.3 is hereby deleted' in its entirety and replaced with the following Article 4.3:
4.3 aMI estimates that cost for services for the second period under this Agreement
(January 1,2001 through December 31, 2001) shall be Five Million, Four Hundred
Ninety-Six Thousand, Four Hundred Ninety-Four Dollars ($5,496,494.00). De-
tails of ~aid cost are shown in Appendix K. The Base Fee shall be negotiated each
year beginning 90 days prior to conclusion of contract year. Should Owners and
OMI fail to agree, the Base Fee will be determined by the application of the Base
Fee Adjustment Fonnula shown in Appendix F.
5. Article 4.9 is hereby deleted in its entirety and replaced with the following Article 4.9:
4.9 OMI's compensation for Owner-Directed Capital Improvements shall be as
follows: (1) Programs undertaken by ONll personnel shall be subject to mutually
agreeable tenns and conditions of compensation and payment~ (2) programs which
. OM! assigns to subcontractor personnel shall be billed at cost, plus a fee of five
percent (5%) of direct costs, in lieu of the ten and one half percent (10.S%)
administrative fee set forth in Article 4.7. On-site labor already covered under this
contract shall not be billed against the Owner-Directed Capital Improvements
account. There will be a total comp'ensation limit of Five Hundred Thousand
Dollars ($500,000.00) for Owner Directed Capital. The Costs for Owner Directed
Capital Improvements are not included in the estimated costs identified in Article
4.3.
6. Article 4.10 is hereby added in its entirety.
4.10 Owner shall pay to OMI $281,480 for an allowance for assistance requested by the
Utility Director. Said amount is included in the amount stated in Article 4.3. Such
assistance will be requested in writing. Any amount not spent will be fully refunded
to Owner within sixty days of Agreement year-end. Owner will pay any amounts
requested and expended by aMI in excess of the above amount at direct cost plus
overhead and management fee.
7. Article S.l is hereby deleted in its entirety and replaced with the following Article S.l:
S.l One Twelfth (1/12) of the base fee for the second period shall be due and payable
on the first of the month for each month that services are provided.
8. Appendix E is included as attached.
9. Appendix K is hereby deleted in its entirety and replaced with the attached Appendix K.
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. All other terms and conditions remain in effect in accordance with the original Agreement.
Both parties indicate their approval of this Agreement by their signatures below.
Authorized Signature:
Authorized Signature:
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E. F orres! F orhes _.,
Vice President
~BObYOUng
.. ~. Title: Mayor
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OPERATIONS MANAGEMENT
INTERNATIONAL, INC. \
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Date: ,,:~ ..:../Ii/.J @../
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AUGUST A., GEORGIA
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ATTEST-
Clerk
Date
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ESTIMATED COSTS
Appendix K
I Description
Labor'and Benefits
Mobilization/Systems Implementation
Administrative
Equipment & Vehicle Expenses
Biosolids Application.
. Training
Materials & Supplies
Outside Services
Utilities
Repair
Miscellaneous
Sub- Total
Overhead 10.5%
Management Fee
Sub- Total
Allowance for assistance requested by
Utility Director
Overhead 10.5%
Management Fee
Sub- Total
Total
Annualized I
Cost
$1,687,693
$0
$127,833
$44,436
$788,400
$50,1 ~q,
$412,3"
$120,090
$961,000
$399,996
$2.780
$4,594,726
$482,446
$137.842
$620,288
$248,000
$26,040
$7.440
$281,480
$5,496,494
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