Orange County NC Website
Browse       Search
13 <br /> e) Expansion or Reduction in Number of Residences Serviced <br /> The Contract may be expanded or reduced at the option of County to include additional or fewer <br /> residential Residences and adjacent small businesses, schools, institutions, churches, and <br /> pedestrian recycling stations. If legislation or ordinances are passed which significantly impact <br /> the program participation, the cost of service may be renegotiated between the Contractor and <br /> County. <br /> f) Fuel Cost Adjustment <br /> County encourages Contractor to utilize a renewable clean burning alternative fuel such as <br /> biodiesel or a biodiesel blend such as B-20 while providing service to County under this <br /> Contract. <br /> The Fuel Cost Adjustment will become effective on April 1, 2006. No Fuel Cost Adjustment <br /> will be made prior to this time. <br /> County and Contractor agree that fuel cost represents a significant portion of the costs to <br /> Contractor in providing the services outlined in this Contract. In order to help adjust for the <br /> financial impact of the changes in the cost of fuel, a Fuel Cost Adjustment shall be in place <br /> as follows: <br /> Base Line Fuel Usage shall be measured and determined annually, and shall be defined as the <br /> number of gallons, consumed each month by the Urban Curbside Recycling Collection <br /> Vehicle Fleet as operated by Contractor in providing services to County under this Contract. <br /> Base Line Fuel usage for Year 1 is 1,800 gallons of diesel fuel per month. Base Line Fuel <br /> Usage shall be reset annually on July 1, and shall be determined by a verifiable audit of the <br /> actual usage of fuel by the fleet of trucks dedicated to servicing the work under this Contract. <br /> Contractor shall produce Fuel Usage Documentation of the actual fuel usage for the months <br /> of April, May, and June, and the Average Monthly Fuel Usage of the fleet shall be calculated <br /> from this information. Fuel Usage Documentation shall be provided for each vehicle, and <br /> shall include for each vehicle the type of vehicle (including year, make/model, and engine <br /> type), the typical function of that vehicle, the number of miles driven, the number of hours <br /> operated, and the amount of fuel consumed during the time in question. If the fuel usage of <br /> any vehicle as determined from the above information (typically miles per gallon) exceeds <br /> commonly accepted industry standard for that vehicle type, then County and Contractor will <br /> negotiate a fuel usage value to be substituted for the exceptional value when calculating the <br /> Base Line Fuel Usage, and this substituted fuel usage value will be set to industry standard <br /> unless otherwise agreed to by both County and Contractor. The Average Monthly Fuel <br /> Usage, determined as stipulated above, shall become the Base Line Fuel Usage used to <br /> determine the Fuel Cost Adjustment for the next four quarters ending September 30, <br /> December 31, March 31, and June 30. <br /> Base Line Fuel Cost shall be determined annually. Base Line Fuel Cost for Year 1 is $2.30 <br /> per gallon of diesel fuel. Base Line Fuel Cost for future years shall be reset annually on July <br /> 1,and will be based on the average per-gallon cost of diesel fuel as paid by Contractor during <br /> the months of April, May and June, and verified by submittal of copies of actual fuel <br /> invoices. <br /> 5 <br />