Res 2005-127 - Laserfiche WebLink

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ARTICLE IX CAPITAL MODIFICATIONS SECTION 9.1. CAPITAL MODIFICATIONS GENERALLY. (A) Purpose. The parties acknowledge that it may be necessary or desirable from time to time during the term of the Service Contract to modify, alter or improve the Facilities in their then-current condition, either at the request of the Authority or at the request of the City due to growth, expansion or otherwise, or as a result of Uncontrollable Circumstances or a Change in Law. Capital Modifications shall normally be the financial responsibility of the City, except as otherwise provided in the Regional Agreement. The Authority shall provide a reasonable level of design input regarding any modifications proposed by the City. Maintenance, repair and replacement of the Facilities in their then-current condition shall be the general responsibility of the Authority and shall not be considered Capital Modifications. Capital Modifications may be financed by the City through the issuance of bonds or such other method as may be determined by the City. (B) City Approval and Change Orders Proposed bv the Authoritv. The City shall have the right, in its sole discretion, to approve or reject all Capital Modifications except as otherwise provided in the Regional Agreement. The City's approval shall be given by means of a "Change Order," which shall contain all material information required by this Article. All Capital Modifications shall be made and implemented in accordance with this Article. For Capital Modifications fmanced by the City, the City shall have the express right to condition its approval of such Capital Modification upon the sharing of net cost savings expected, if any, to result therefrom as provided in subsection (D) of this Section. The City may retain all planning responsibility for Capital Modifications and all other capital facilities related to the System. (C) Party Responsible for Costs. The City shall bear the cost and expense (subject to the cost-sharing provisions set forth in subsection 12.2(E) related to Uncontrollable Circumstances) of all Capital Modifications and related operation, maintenance, repair and replacement costs (other than as part of an enforcement action taken in response to an Authority breach hereof), unless the Capital Modification is requested by the Authority. (D) Cost Savings. In the event any Capital Modification is financed by the City is reasonably expected to result in a net cost savings to the Authority, the parties shall negotiate in good faith the extent to which any such net cost savings shall be shared with the City, and the Service Fee shall be reduced accordingly. (E) Capital Modifications Financing. Capital Modifications may be fmanced by the City through the issuance of bonds or such other method as may be determined by the City. 62