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HomeMy WebLinkAboutResolution - 3368 - Agreement - Ernst & Young - Water & Sewer Rate Consulting Services - 05_10_1990Resolution #3368 May 10, 1990 Item #17 DGV:js RESOLUTION BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF LUBBOCK: THAT the Mayor of the City of Lubbock BE and is hereby authorized and directed to execute for and on behalf of the City of Lubbock an Agreement by and between the City of Lubbock and Ernst & Young for Consulting Services, attached herewith, which shall be spread upon the minutes of the Council and as spread upon the minutes of this Council shall constitute and be a part of this Resolution as if fully copied herein in detail. Passed by the City Council this loth ATTEST: 31 ry 1APPRO W AS TO CONTENT: ! DcF A. Haw ins, Director o Water U ilities !APPROVED AS TO FORM: do'"Ja G. Vandiver, first Ass1s City Attorney day of May , 1990. °'B. C. McMINN, MAYOR �es�33�e8 AGREEMENT FOR CONSULTING SERVICES THIS AGREEMENT, between the City of Lubbock, Texas (hereinafter referred to as "Owner") and Ernst & Young, with principal offices at 4300 Republic Plaza, Denver, Colorado 80202 (hereinafter referred to as "Consultant"): WITNESSETH: WHEREAS, Owner intends to perform a water and wastewater cost of service and rate design study to ensure that its rates, fees, and charges are adequate to finance utility operations, capital improvements, and maintain adequate reserve fund balances; and, WHEREAS, Owner requires certain professional services in connection with the Project (hereinafter referred to as the Services); and, WHEREAS, Consultant is prepared to provide such Services; NOW THEREFORE, in consideration of the promises contained herein, the parties hereto agree as follows: ARTICLE 1 - EFFECTIVE DATE The effective date of this Agreement shall be May 11, 1990. ARTICLE 2 - SERVICES TO BE PERFORMED BY CONSULTANT Consultant shall perform the Services described in Attachment A, Scope of Services, which is attached hereto and incorporate by reference as part of this Agreement; and as described in Consultant's proposal dated March 13, 1990 and the Owner's Request for Proposal RFP 410570, and all addendums, all of which are incorporated by reference as part of the Agreement. ARTICLE 3 - COMPENSATION Owner shall pay Consultant in accordance with Attachment B, Compensation, which is attached hereto and incorporated by reference as part of this Agreement. ARTICLE 4 - STANDARD OF CARE Consultant shall exercise the same degree of care, skill, and diligence in the performance of the Services as is ordinarily provided by a professional consulting firm under similar circumstances and Consultant shall, at no cost to Owner, re - perform services which fail to satisfy the foregoing standard of care. 1 ARTICLE 5 - LIMITATIONS OF RESPONSIBILITY Consultant shall be responsible for actual methods, techniques, sequences, procedures, and programs used in connection with the Project. ARTICLE 6 - LIABILITY AND INDEMNIFICATION 6.1 General. Having considered the risks and potential liabilities that may exist during the performance of the Services and in consideration of the promises included herein, owner and Consultant agree to allocate such liabilities in accordance with this Article 6. Words and phrases used in this Article shall be interpreted in accordance with customary insurance industry usage and practice. 6.2 Indemnification. Consultant agrees to defend, indemnify, and hold Owner whole and harmless against all claims for damages, costs, and expenses of persons or property that may solely arise out of, or be occasioned by, or from any negligent act, error, or omission of Consultant, or any agent, servant, or employee of Consultant in the execution or performance of this Contract. 6.3 Defense of Claims. In the event an action for damages is filed in which negligence is alleged on the part of Owner and Consultant, Consultant agrees to defend Owner. In the event Owner accepts Consultant's defense, Owner agrees to indemnify and reimburse Consultant on a pro rata basis for all fees and expenses of defense. Owner also agrees to indemnify and reimburse Consultant on a pro rata basis for any judgment or amount paid by Consultant in resolution of such claim. Such pro rata share shall be based upon a final judicial determination of negligence or, in the absence of such determination, by mutual agreement. 6.4 Employee Claims. Consultant shall indemnify Owner against legal liability for damages arising out of claims by Consultant's employees. Owner shall indemnify Consultant against legal liability for damages arising out of claims by Owner's employees. 6.5 Limitations of Liability. To the fullest extent permitted by law, Consultant's total liability to Owner for any and all injuries, claims, losses, expenses or damages arising out of or in any way related to the Project or this Agreement from any cause or causes including but not limited to Consultant's negligence, errors, omissions, strict liability, breach of contract or breach of warranty shall not exceed the minimum amounts required by Article 9 of this Agreement. 6.6 Survival. Upon completion of all services, obligations and duties provided for in this Agreement, or in the event of termination of this Agreement for any reason, the terms and conditions of this Article shall survive. 2 ARTICLE 7 - INDEPENDENT CONTRACTOR Consultant undertakes performance of the Services as an independent contractor and shall be wholly responsible for the methods of its own performance and that of its subcontractors, agents and employees. Owner shall have no right to supervise the methods used but Owner shall have the right to observe such performance. Consultant shall work closely with Owner in performing Services under this Agreement. ARTICLE 8 - COMPLIANCE WITH LAWS In performance of the Services, Consultant will comply with applicable regulatory requirements including federal, state, and local laws, rules, regulations, orders, codes, criteria and standards. Consultant shall possess the licenses necessary (if any) to allow Consultant to perform the Consulting Services. ARTICLE 9 - INSURANCE Prior to the time Consultant is entitled to commence any part of the services under this Contract, Consultant shall procure, pay for, and maintain the following insurance written by companies licensed in the State of Texas or meeting surplus lines requirements of Texas law and acceptable to Owner. The insurance shall be evidence by delivery to Owner of either (1) a certificate of insurance, executed by the insurer, listing coverage and limits, expiration date and term of policy, and certifying that the insurer is licensed to do business in Texas or meets the surplus lines requirements of Texas law, or (2) a certified copy of each policy, including all endorsements. The insurance requirements shall remain in effect throughout the term of this Contract. A. Comprehensive General Liability Insurance The Consultant shall have Comprehensive General Liability Insurance with limits of $300,000 Bodily Injury and $300,000 Property Damage per occurrence to include: Premises and Operations Products and Completed Operations Hazard Contractual Liability Independent Contractors Coverage Personal Injury (with exclusion "c" waived) The Owner is to be named as an additional insured on this policy for this specific job, and copy of the endorsement doing so is to be attached to the Certificate of Insurance. B. Comprehensive Automobile Liability Insurance The Consultant shall have Comprehensive Automobile Liability Insurance with limits of not less than: 3 Bodily Injury $250,000 Property Damage $100,000 to include all owned and non -owned cars including Employers Non -ownership Liability Hired and Non -owned vehicles. The Owner is to be named as an additional insured on this policy for this specific job and copy of the endorsement doing so is to be attached to the Certificate of Insurance. C. Worker's Compensation and Employer's Liability Insurance As required by State statute covering all employees whether employed by the Consultant or any Subcontractor on the job with Employer's Liability of at least $100,000 limit. D. Professional Liability Insurance (including errors and omissions) with minimum limits of $1,000,000 per claim. Consultant shall furnish Owner certificates of insurance which shall include a provision that such insurance shall not be cancelled without at least thirty days written notice to Owner. ARTICLE 10 - OWNER'S RESPONSIBILITIES Owner shall be responsible for all matters described in Attachment C, Owner's Responsibilities, which is attached hereto and incorporated by reference as part of this Agreement. ARTICLE 11 - REUSE OF DOCUMENTS All documents, including computer software, prepared by Consultant pursuant to this Agreement are instruments of service in respect to this Project. They are not intended or represented to be suitable for reuse by Owner or others on extensions of this Project or on any other project. Any reuse without written verification or adaptation by Consultant for the specific purpose intended will be at Owner's sole risk and without liability or legal exposure to Consultant. ARTICLE 12 - AMENDMENT, TERMINATION, AND STOP ORDERS This Contract may be altered or amended only by mutual written consent and may be terminated by the Owner at any time by written notice to the Consultant. Upon receipt of such notice, the Consultant shall, unless the notice directs otherwise, immediately discontinue all work in connection with the performance of this Contract and shall proceed to cancel promptly all existing orders insofar as such orders are chargeable to this Contract. The Consultant shall submit a statement showing in detail the work performed under this Contract to the date of termination. The Owner shall then pay the Consultant promptly 4 work accomplished under this Contract shall be delivered to the Owner. The Owner may issue a Stop Work Order to the Consultant at any time. Upon receipt of such order, the Consultant is to discontinue all work under this Contract. If the Owner does not issue a Restart Order within 90 days after receipt by the Consultant of the Stop Work Order, the Consultant shall regard this Contract terminated in accordance with the foregoing provisions. ARTICLE 13 - NONDISCLOSURE OF PROPRIETARY INFORMATION Consultant shall consider all information provided by Owner to be proprietary unless such information is available from public sources. Consultant shall not publish or disclose proprietary information for any purpose other than the performance of the Services without the prior written authorization of Owner or in response to legal process. ARTICLE 14 - NOTICE Any notice, demand, or request required by or made pursuant to this Agreement shall be deemed properly made if personally delivered in writing or deposited in the United States mail, postage prepaid, to the address specified below. To Consultant: Ernst & Young 4300 Republic Plaza Denver, Colorado 80202 ATTN: Richard D. Giardina West Region Director, Environmental Consulting To Owner: City of Lubbock P. O. Box 2000 Lubbock, TX 79457 ATTN: Dan A. Hawkins Director of Water Utilities Nothing contained in this Article shall be construed to restrict the transmission of routine communications between representatives of Consultant and Owner. ARTICLE 15 - UNCONTROLLABLE FORCES Neither Owner nor Consultant shall be considered to be in default of this Agreement if delays in or failure of performance shall be due to uncontrollable forces the effect of which, by the exercise of reasonable diligence, the nonperforming party could not avoid. The term "uncontrollable forces" shall mean any event which results in the prevention or delay of performance by a party of its obligations under this Agreement and which is beyond the 5 control of the nonperforming party. It includes, but is not limited to, fire, flood, earthquakes, storms, lightning, epidemic, war, riot, civil disturbance, sabotage, inability to procure permits, licenses, or authorizations from any state, local, or federal agency or person for any of the supplies, materials, accesses, or services required to be provided by either Owner or Consultant under this Agreement, strikes, work slowdowns or other labor disturbances, and judicial restraint. Neither party shall, however, be excused from performance if nonperformance is due to uncontrollable forces which are removable or remediable and which the nonperforming party could have, with the exercise of reasonable diligence, removed or remedied with reasonable dispatch. The provisions of this Article shall not be interpreted or construed to require Consultant or Owner to prevent, settle, or otherwise avoid a strike, work slowdown, or other labor action. The nonperforming party shall, within a reasonable time of being prevented or delayed from performance by an uncontrollable force, give written notice to the other party describing the circumstances and uncontrollable forces preventing continued performance of the obligations of this Agreement. ARTICLE 16 - GOVERNING LAW This Agreement shall be governed by the laws of the State of Texas. Any suit brought to enforce any provision of this Agreement or for construction of any provision thereof shall be brought in Lubbock County, Texas. ARTICLE 17 - MISCELLANEOUS 17.1 Nonwaiver. A waiver by either Owner or Consultant of any breach of this Agreement shall not be binding upon the waiving party unless such waiver is in writing. In the event of a written waiver, such a waiver shall not affect the waiving party's rights with respect to any other or further breach. 17.2 Severability. The invalidity, illegality, or unenforceability of any provision of this Agreement, or the occurrence of any event rendering any portion or provision of this Agreement void, shall in no way affect the validity or enforceability of any other portion or provision of the Agreement. Any void provision shall be deemed severed from the Agreement and the balance of the Agreement shall be construed and enforced as if the Agreement did not contain the particular portion or provision held to be void. The parties further agree to reform the Agreement to replace any stricken provision with a valid provision that comes as close as possible to the intent of the stricken provision. The provisions of this section shall not prevent the entire Agreement from being void should a provision which is of the essence of the agreement be determined to be void. N. ARTICLE 18 - INTEGRATION AND MODIFICATION This Agreement represents the entire and integrated agreement between the Parties and supersedes all prior negotiations, representations, or agreements, either written or oral. This Agreement may be amended only by a written instrument signed by each of the Parties. ARTICLE 19 - SUCCESSORS AND ASSIGNS Owner and Consultant each binds itself and'its directors, officers, partners, successors, executors, administrators, assigns and legal representatives to the other party to this Agreement and to the partners, successors, executors, administrators, assigns, and legal representatives of such other party, in respect to all covenants, agreements, and obligations of this Agreement. ARTICLE 20 - ASSIGNMENT Neither Owner nor Consultant shall assign, sublet, or transfer any rights under or interest in (including, but without limitation, monies that may become due or monies that are due) this Agreement without the written consent of the other, except to the extent that the effect of this limitation may be restricted by law. Unless specifically stated to the contrary in any written consent to an assignment, no assignment will release or discharge the assignor from any duty or responsibility under this Agreement. Nothing contained in this paragraph shall prevent Consultant from employing such independent consultants, associates, and subcontractors as he may deem appropriate to assist him in the performance of the Services hereunder. ARTICLE 21 - SUBCONTRACTORS No work herein called for by the Consultant shall be subcontracted to a subcontractor who is not acceptable to the owner or assigned without prior written approval of the owner. The Consultant shall require subcontracts to conform to the applicable terms of this Contract and include provisions which require subcontractor compliance with Owner Rules. ARTICLE 22 - THIRD PARTY RIGHTS Nothing herein shall be construed to give any rights or benefits to anyone other than Owner and Consultant. 7 IN WITNESS WHEREOF, the parties have executed this Agreement. AS TO CONTENT: 7 h A. Hawkins, PE rector of Water Utilities APPROVED AS TO FORM: Don Vandiver First Assistant City Attorney CITY OF LUBBOCK, TEXAS �C/' •S /ice/ eZB. McMinn, Mayor Att t: ette Boyd C ty Secretary ERNST & Attest: BY: i G, Title: 0 ATTACHMENT A TO CONTRACT FOR CONSULTING SERVICES OWNER: City of Lubbock, Texas PROJECT: Consulting services required to perform a water and wastewater cost of service and rate design study. SCOPE OF WORK The Consultant's representative shall consult with members of the City staff, research available information on pertinent topics, meet with the City's review team, and consult with all regulatory agencies having authority over the City's water and wastewater operations as necessary to develop reports, recommendations, plans, and cost estimates for the City to use in evaluating its cost of services and rate structures. The Consultant shall determine all costs and schedule any necessary phasing of all recommendations. Work to be completed by the Consultant shall include the following: 1. Identify and list general problems within the existing water and wastewater rate, fee, and charge structures. 2. Conduct a comprehensive evaluation of the cost of all water and wastewater services (excluding wholesale service), revenue requirements, rates, fees, and charges assessed by the City of Lubbock for such water and wastewater services. 3. Evaluate existing wastewater surcharges for excessive wastewater contributions (i.e., BODS, grease, etc.) as specified in the Code of Ordinances of the City of Lubbock. 4. Evaluate existing fees for engineering, service connection, reconnection after discontinuation of services and other applicable fees and charges (excluding those identified as being impact fees). 5. Review customer record keeping systems and recommend data collection improvements. 6. Analyze historical water demand levels with an evaluation and projection of the key components of demand including numbers and types of customers. 7. Analyze historical demand characteristics with the purpose of properly classifying and segregating costs associated with the different functions and customers of the water and wastewater systems. 8. Analyze and classify the City's existing water and wastewater debt service requirements and known future requirements of each. 9. Review and analyze the maintenance and operation expense requirements for the water and wastewater systems projected by the City and allocate these expenses to the proper cost components. 10. Evaluate the current water and wastewater rates and rate structures in terms of the ability of these rates to generate adequate revenue to meet the requirements from the proper sources. 11. Allocate the costs of water and wastewater services for a defined test period to the related functional components and customer classes. 12. Develop a fair and equitable rate structure which produces sufficient revenues to meet the City's current and future needs and which recovers proportionately and equitably the costs of services from the water and wastewater customer classes for which costs are incurred by the City. The Consultant shall prepare a comprehensive report for the City of Lubbock review which identifies methods used for each and every evaluation performed and all recommendations for improvements to each area evaluated. Each recommendation should be accompanied by a cost/benefit analysis. Each evaluation shall consider the City's projected growth and long-range (20-year) capital improvement program, and show scheduled rate (structured) increases as necessary. Each evaluation shall be concluded with a recommendation of one or more alternatives which would improve the City's current methods or strategy. Ten copies of a draft report shall be furnished to the City's Project Manager on or before August 17, 1990. Twenty copies of the final report shall be delivered to the City's Project Manager on or before September 7, 1990. 2.4 ADDITIONAL SERVICES At the request of the City of Lubbock, the Consultant will provide additional services upon written agreement between the City of Lubbock and the Consultant defining the extent of such additional services and the amount and manner in which the Consultant will be compensated for such additional services. Additional services may include, but are not limited to the following: (1) Conduct an end -use survey to obtain information on the existing level of water conservation devices in use; ii (2) Assist the staff in conveying information concerning the study and proposed rate structures to the City Council; (3) Be present and represent the City in proceedings before the Texas Water Commission, the Texas Water Development Board, and/or other interested parties as necessary for public acceptance and regulatory agency approval of the proposed rate structures; (4) Assist the City in conveying information concerning the study to the public. (5) Conduct an evaluation of the City's wholesale contracts. (6) Conduct an evaluation of impact on developer fees. During the contract term, hourly rates for individuals of the Consultant involved in this project (established in Attachment B) shall also be applicable for compensation to Consultant by Owner for Additional Services. M ATTACHMENT B TO CONTRACT FOR CONSULTING SERVICES OWNER: City of Lubbock, Texas PROJECT: Consulting services required to perform a water and wastewater cost of service and rate design study COMPENSATION For the services covered by this contract, the Owner agrees to pay the Consultant as follows: A. For project management meetings, coordination, and the consulting and technical services as described in Attachment A, plus subcontract personnel services at cost to Consultant. The maximum billed for these Consultant's personnel services shall not exceed $38,000 without further written authorization. In addition, Consultants and subcontractors reimbursable expenses shall be billed at cost. Billing for reimbursable expenses are estimated to be $6,000. The fee schedule for the Consultant's personnel services are specified in paragraph C. B. For Additional Services, an hourly fee for Consultants' personnel as listed in paragraph C below plus reimbursable expenses (and subcontract billing if applicable) at cost to Consultant. Each item of Additional Services shall be established before the work is started. The amount billed for each item of Additional Services shall not exceed the amount established for it without further authorization. Additional amounts for Additional Services may be authorized, if necessary, as the work progresses. C. Hourly fees listed herein for Consultant's personnel services will apply until January 1, 1991 and shall be subject to change annually on January 1st for the upcoming twelve (12) month period. Classification Partner Senior Manager Manager Hourly Billing Rates Range $ 220.00 $ 150.00 $ 120.00 Senior Consultant $ 70.00 FDV E. Consultant Clerical $ 60.00 $ 30.00 The following expenses are reimbursable and shall be reimbursed at actual cost: 1. Travel, subsistence, and incidental costs. 2. Use of motor vehicles on a monthly rental basis for assigned vehicles and on a current mileage basis or rental cost basis for vehicles used for short periods. 3. Telegraph costs, long distance telephone costs and project "onsite" telephone costs. 4. Reproduction of reports, drawings, and specifications. 5. Postage and shipping charges for project - related materials. 6. Computer time charges including program use charges. 7. Rental charges for use of equipment, including equipment owned by the Consultant. 8. Cost of acquiring any other materials or services specifically for and applicable to only this project. 9. Charges of special consultants requested or authorized by the owner. 10. Special insurance coverage required by the Owner, including the cost of naming the owner as an additional insured. 11. Local taxes or fees applicable to the Consultanting work or payments therefor. 12. Charges for review of drawings and specifications by government agencies, if any. 13. Cost of acquiring any other materials, or service specifically for and applicable to only this project. The Consultant agrees to use its best efforts to perform the services as defined in Attachment A within the billing limits stated above. ii F. Monthly payments shall be made to the Consultant by the Owner based on the Consultant's statement. For hourly fee items, the statement shall be itemized to indicate the amount of work performed and the associated reimbursable expenses and subcontract costs. G. The uncontested amount of each statement shall be due and payable upon receipt by the Owner. Carrying charges of 1-1/2 percent per month from the billing date, shall be due for accounts which are not paid within 60 days after the billing date. H. It is understood and agreed that the maximum billings of each of the above items are based on the start of the services being authorized not later than May 11, 1990. If start of services is not authorized by the date given, it is understood and agreed that the upper billing limit may be adjusted accordingly by a supplement to this Agreement. I. That the Consultant shall start the performance of the services within ten working days of receipt of notice to proceed. J. That the Consultant shall keep records on the basis of generally accepted accounting practice of costs and expenses and which records shall be available to inspection at reasonable times. i i i ATTACHMENT C TO CONTRACT FOR CONSULTING SERVICES OWNER: City of Lubbock, Texas PROJECT: Consulting services required to perform a water and wastewater cost of service and rate design study. OWNER'S RESPONSIBILITIES The City of Lubbock shall provide full information regarding their requirements for the project. The City of Lubbock will provide access to its records and to all available information concerning the project. The City of Lubbock will designate a Project Manager fully acquainted with the project who has authority to approve changes in the project, render decisions promptly, and furnish information expeditiously. i aCORD. PRODUCER Rollins Surdiic& Hunter of NY 605, T1[:'ei rd Ave New Ydd`k9 WeYi 10158 CODE 212-973-6-200 SUB -CODE INSURED Ernst I Young Uv.So 277 Pars .Avew ' New Yorke NY ISSUE DATE (MMIDDIYY) THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE HOLDER. THIS CERTIFICATE DOES NOT AMEND, EXTEND OR ALTER THE COVERAGE AFFORDED BY THE POLICIES BELOW COMPANY A LETTER COMPANY B LETTER COMPANY C LETTER COMPANY D LETTER. 10172 COMPANY LETTER E COMPANIES AFFORDING COVERAGE THIS IS TO CERTIFY THAT THE POLICIES OF INSURANCE LISTED BELOW HAVE BEEN ISSUED TO THE INSURED NAMED ABOVE FOR THE POLICY PERIOD INDICATED, NOTWITHSTANDING ANY REQUIREMENT, TERM OR CONDITION OF ANY CONTRACT OR OTHER DOCUMENT WITH -RESPECT TO WHICH THIS CERTIFICATE MAY BE ISSUED OR MAY PERTAIN, THE INSURANCE AFFORDED BY THE POLICIES DESCRIBED HEREIN IS SUBJECT TO ALL THE TERMS, EXCLUSIONS AND CONDITIONS OF SUCH POLICIES. LIMITS SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS. TYPE OF INSURANCE POLICY NUMBER POLICY EFFECTIVE POLICY EXPIRATION!ALL LIMITS IN THOUSANDS DATE (MM/DD/YY) , DATE (MM/DD/YY) „....,, ., .., m... ... ........, „ GENERAL LIABILITY ...,.,,.,, ? _. . ,..,,. ......._ . GENERAL AGGREGATE $ ,COMMERCIAL GENERAL LIABILITY ;9.$0 ; PRODUCTS-COMP/OPS AGGREGATEi $ CLAIMS MADE _OCCUR.:. ? PERSONAL & ADVERTISING INJURY ; $ OWNER'S & CONTRACTOR'S PROT. EACH OCCURRENCE $ , i __.a _., _.... _ .... _. .. FIRE DAMAGE (Any one fire) $ILI ,....,. ; MEDICAL EXPENSE (Any and person) ' $ AUTOMOBILE LIABILITY ? COMBINED I . ANY AUTO 73022981 ;. � 7 J :� SINGLE $ I �. LIMIT I � O®, . Fp ..... „ .... .. . j ALL OWNED AUTOS j { BODILY t SCHEDULED AUTOS.* 1/01/'91 3 ! INJURY 3 $ 1 0 92 ,_(Per person) ; g� HIRED AUTOS ? i BODILY t \ INJURY } $ NON -OWNED AUTOS 731,8 290' cmlo ).: r 01/91 t 1/01/92'i (Per accidentX GARAGE LIABILITY .L[ PROPERTY DAMAGE $ I EXCESS LIABILITY OTHER THAN UMBRELLA FORM WORKER'S COMPENSATION AND EMPLOYERS' LIABILITY OTHER W804958a7 1/0-1/911 1f01f92 DESCRIPTION OF OPERATIONS/LOCATIONS/VEHICLES/RESTRICTIONS/SPECIAL ITEMS City of `°I>310iIwF "UnIcIpal.aulldlIng 1625 13th ,. Street Lubboekv Texas 79401 ATTN-v Kre Dan Hawkins " ' @ OCCURRENCE; � Y $ $ S y STATUTORY 3 (EACH ACCIDENT) (DISEASE —POLICY LIMIT) (DISEASE —EACH EMPLO) SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE THE EXPIRATION DATE THEREOF, THE ISSUING COMPANY WILL ENDEAVOR TO MAIL 30 DAYS WRITTEN NOTICE TO THE CERTIFICATE HOLDER NAMED TO THE LEFT, BUT FAILURE TO MAIL SUCH NOTICE SHALL IMPOSE NO OBLIGATION OR LIABILITY OF ANY KIND UPON THE COMPANY, ITS AGENTS OR REPRESENTATIVES. AUTHORIZED §ORESENTATIVE V 002859000