HomeMy WebLinkAboutOMI AMENDMENT NO 10
AMENDMENT NO. 10
TO THE
AGREEMENT FOR OPERATIONS,
MAINTENANCE AND MANAGEMENT SERVICES
FOR
AUGUST A, GEORGIA
This. AMENDM~~ the Agreement dated July 20, 1999 is made and entered into this
_ l!l day of . ,200ft between Augusta, Georgia, a political subdivision of
the State of Georgia, whose address for any formal notice is 530 GreenCstreet, Room 801,
Augusta Georgia 30911, Attention: City Administrator (hereinafter "Owner") and Operations
Management International, Inc. (hereinafter "OMI") with offices at 9193 South Jamaica Street,
Suite 400, Englewood, Colorado 80112.
NOW, THRERFORE, 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
Article2.34:
2.34 Provide, and document repairs as described in Appendix A.5, provided the total
amount OMI shall be required to pay does not exceed Three Hundred Forty-Nine
Thousand One Hundred Eighty-Eight Dollars and No Cents ($349,188.00) during
the seventh year of the Agreement (January 1,2006 through December 31,2006).
At such time that actual repair costs exceed the annual repairs limit, OMI shall
invoice and the Owner shall pay excess repairs cost on a monthly 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 4.1 is hereby deleted in its entirety and replaced with the following Article 4.1:
4.1 For services rendered during the seventh period of this Agreement (January 1,
2006 through December 31, 2006), Owner shall pay to OMI a base fee equal to
the actual cost of services as provided in Article 4.3 performed, which includes a
Management Fee of One Hundred Seventy Thousand Three Hundred Eighty
Dollars and Thirty Three Cents ($170,380.33). Said Management Fee and
Base Fee shall increase proportionally with Base Fee adjustments described in
Article 4.4.
3. Article 4.3 is hereby deleted in its entirety and replaced with the following Article 4.3.
4.3 OMI estimates that the cost for services for the seventh period under this
Agreement (January 1, 2006 through December 31, 2006) shall be Six Million,
Four Hundred Forty Six Thousand Fifty Six Dollars and No Cents
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($6,446,056.00). Details of said costs are shown in Appendix K. The Base Fee
shall be negotiated each year beginning 120 days prior to conclusion to contract
year. Should Owner and OMI fail to agree, the Base Fee will be determined by
the application of the Base Fee Adjustment Formula shown in Appendix F.
4. Article 4.10 is hereby deleted in its entirety and replaced with the following 4.10.
4.10 Owner shall pay to OMI $250,000 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 OMI in excess of the above amount at direct
cost plus overhead and management fee.
5. Article 5.1 is hereby deleted in its entirety and replaced with the following Article 5.1.
5.1 One Twelfth (1/12) of the Base Fee for the seventh period shall be due and payable
on the first of the month for each month services are provided.
6. Appendix K is hereby deleted in its entirety and replaced with the attached Appendix
K.
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.
OPERATIONS MANAGEMENT
INTERNATIONAL, INC.
AUGUSTA, GEORGIA
Authorized signature:
Authorized signature:
~
ROge~ ~
Senior Vice President
() I! :] II ;)-Va'
Jf2- rY:1!xf. ~
"I David S. Copenha r
Mayor
Date: I / '--'\" ( o~ ~
ATTESTdJ!;1d!~
Clerk
--
Date:
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Appendix K
Estimated Costs
2006
Description Annualized
Cost
Labor and Benefits $ 2,089,448.34
Administrative $ 99,243.60
Equipment and Vehicle Expense $ 84,552.00
Biosolids Application $ 972,000.00
Training $ 32,303.54
Materials and Supplies $ 102,856.96
Chemicals $ 384,552.00
Outside Services $ 117,000.00
Power $ 1,197,900.00
Repairs $ 349,188.00
Miscellaneous $ 300.00
Sub-total $
Overhead 10.5% $ 570,081.17
Management Fee $ 162,880.33
Sub-total $'
Directors Allowance $ 250,000.00
Overhead 10.5% $ 26,250.00
Management Fee $ 7,500.00
Sub-total $
Total $
November 10, 2005
5,429,344
732,961
283,750
6,446,056