HomeMy WebLinkAboutRES 17-02RESOLUTION NO.17-02
A RESOLUTION OF THE MAYOR AND CITY COUNCIL OF THE CITY
OF APACHE JUNCTION,ARIZONA,AUTHORIZING THE CITY TO
ENTER INTO AN INTERGOVERNMENTAL AGREEMENT ("COMPACT")
AMONG THE SIGNATORY POLITICAL JURISDICTIONS WITHIN THE
STATE O F ARIZONA AND THE ARIZONA DEPARTMENT O F
EMERGENCY AND MILITARY AFFAIRS.
WHEREAS,the City of Apache Junction ("City")and various
State of Arizona political jurisdictions ("State")desire to
enter into an intergovernmental agreement ("IGA")for the City's
participation in the Arizona Mutual Aid Compact ("AZMAC"); and
WHEREAS,one or more parties to this Compact may find it
necessary to utilize all of their own resources to cope with
emergencies and may require the assistance of another party or
other parties; and
WHEREAS,pursuant to A.R.S.§11-952(A),public entities
may enter into intergovernmental agreements with other
municipalities and governmental entities (the "Parties")for
joint or cooperative activities which includes mutual aid
compacts; and
WHEREAS,the Parties have crafted the attached written
agreement which sets forth all terms and conditions.
NOW, THEREFORE,BE IT RESOLVED BY THE MAYOR AND CITY COUNCIL
OF THE CITY OF APACHE JUNCTION ARIZONA, AS FOLLOWS:
1)The mayor and city council hereby approve the
intergovernmental agreement for the city's participation in
the Arizona Mutual Aid Compact set forth in Attachment A;
and the mayor is hereby authorized to sign the agreement on
behalf of the city.
2)The city manager and/or his designee is authorized and
directed to take all steps necessary to carry out the
purpose and intent of this resolution and to fulfill all
the duties required under the agreement.
RESOLUTION NO. 17-02
PAGE 1 OF 2
PASSED AND ADOPTED BY THE MAYOR AND CITY COUN IL OF THE CITY OF
APACHE JUNCTION, ARIZONA, THIS CRA91DAY OF , 2017.
isrSIGNED AND ATTESTED TO THIS 67(/DAY OF lir-25ifillAeil 2017.
JEFFVSERDY
Mayor
ATTEST:
t1flU LN l.UNNEJLILI
City Clerk
APPROVED AS TO FORM:
RICHARD J. STERN
City Attorney
RESOLUTION NO. 17-02
PAGE 2 OF 2
Attachment A
ARIZONA MUTUAL AID COMPACT
This Compact is made and entered into by and among the signatory political jurisdictions
within the State of Arizona and the Arizona Department of Emergency and Military Affairs.
Recitals
WHEREAS, one or more parties to this Compact may find it necessary to utilize all of their own
resources to cope with emergencies and may require the assistance of another party or other
parties; and,
WHEREAS, it is desirable that all resources of political subdivisions, municipal corporations,
tribes and other public agencies be made available to respond to such emergencies; and,
WHEREAS, it is desirable that each of the parties hereto should assist one another when such
emergency occurs by providing such resources as are available and needed including, but not
limited to, fire, police, medical and health, environmental, communication, and transportation
services to cope with the problems of response and,
WHEREAS, it is desirable that a compact be executed for the interchange of such mutual aid;
and,
WHEREAS, it is desirable to utilize this agreement in exercising adopted emergency plans;
and,
WHEREAS, it is desirable that the manner of financing of such cooperative undertakings be
resolved in advance of such emergency;
NOW, THEREFORE, IT IS HEREBY AGREED by and between each and all of the signatories
hereto as follows:
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COMPACT
1.Purpose.
The purpose of this Compact is to define for the participating parties the emergency
management terms and procedures which will be used among participating parties for
dispatching mutual aid assistance to any affected area in accordance with local ordinances,
resolutions, emergency plans or agreements. Contracting authority for political subdivisions of
Arizona for this Compact is based upon A.R.S. § 26-308 which provides that each county and
incorporated city and town of the state may appropriate and expend funds, make contracts and
obtain and distribute equipment, materials and supplies for emergency management purposes.
Tribal contracting authority will be in accordance with each Tribe's laws. Special District
authority will be in accordance with their respective laws.Public education district authority is
based on A.R.S. § 15-342(13) and A.R.S. § 11-952. This Agreement shall be construed in
accordance the laws of the State of Arizona.
2.Scope.
The Scope of this Compact is to (1) provide the procedures to notify the Providing
Parties of the need for emergency assistance; (2) to identify available resources; and, (3) to
provide a mechanism for compensation for resources.
3.Definitions.
•Automatic Mutual Aid means the automatic dispatch and response of requested
resources without incident specific approvals. These agreements are usually basic
contracts; some may be informal accords.
•Backfill means replacement of the Requesting Party's personnel who perform the
regular duties of other personnel while they are performing eligible emergency work.
•Compact means this document, the Arizona Mutual Aid Compact (AZMAC).
•Director is the Director of the Department of Emergency and Military Affairs
(DEMA).
•Emergency or Emergencies means any disaster, emergency, or contingency
situation which requires a collaborative effort among multiple Jurisdictions.
•Exercise is the exercising of adopted emergency plans utilizing the Homeland
Security Exercise and Evaluation Program (HSEEP)
•Jurisdiction means an entity, including Political Subdivisions and tribal
governments, which (1) has the authority to act, within a defined geographical area
especially in times of emergency and (2) is a party to this Compact.
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•Local Mutual Aid are agreements between neighboring jurisdictions or
organizations that involve a formal request for assistance and generally cover a
larger geographic area than automatic mutual aid.
•Political Subdivision means any county, incorporated city or town, fire district, or
public education district, irrigation, power, electrical, agricultural improvement,
drainage, and flood control districts, and other tax levying public improvement
districts.
•Providing Party means the Jurisdiction providing aid in the event of an emergency.
•Requesting Party means the Jurisdiction requesting aid in the event of an
Emergency.
•Self -deployed means to respond ,to an emergency without being requested by the
Requesting Party.
4.Guiding Policy.
•Arizona Revised Statute (A.R.S.), Title 26, Military Affairs and Emergency
Management.
•Arizona Administrative Code (A.A.C.), Title 8, Emergency and Military Affairs.
•National Incident Management System (NIMS), 2008
5.Procedures for Requesting Assistance.
A Requesting Party which needs assistance in excess of its own resources and existing
automatic mutual aid or local mutual aid due to an emergency is authorized to request
assistance from any party to this Compact.However, when making such requests,
consideration shall be given to, and requests made, based on, but not limited to, the
geographical proximity of other jurisdictions with that of the jurisdiction requesting assistance.
All requests for assistance from the State must be coordinated through the Requesting Party's
county emergency operations center, or tribal emergency operations center (whichever is
applicable).
Requests should specify what the emergency is, what resources are needed and the
estimated period of time during which such mutual aid shall be required, if known.Please use
the Resource Request form provided in Appendix A.
6.Providing Party's Assessment of Availability of Resources and Ability to Render
Assistance.
Subject to the terms of this Compact, the Providing Party shall make reasonable efforts
to assist the Requesting Party.In all instances, the Providing Party shall render such mutual
aid as it is able to provide consistent with its own service needs at the time, taking into
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consideration the Providing Party's existing commitments within its own jurisdiction.The
Providing Party shall be the sole judge of what mutual aid it has available to furnish to the
Requesting Party pursuant to this Compact.
7.Implementation Plan.
Each party should develop an emergency operations plan that includes a process to
provide for the effective mobilization of its resources, both public and private, including
acceptance of mutual aid to provide or receive assistance under this Compact.
8.Contact List.
Each Party shall develop a contact list as outlined in Appendix B, which shall be
provided to the Director for distribution to all other parties to this Compact.
9.Reimbursement Procedures between Parties.
If the Providing Party desires reimbursement for the assistance they are providing, the
Requesting Party shall reimburse the Providing Party for all costs incurred in the mutual
assistance, whether an incident has been declared an emergency or not. The Providing Party
must declare its intent to seek reimbursement as part of their response to the Requesting
Party's request for assistance (see Appendix A: Resource Request forms). The Providing
Party and the Requesting party shall agree upon allowable costs for mutual assistance prior to
the dispatch of any mutual assistance resources.Unless otherwise negotiated by the parties
involved, the parties may reference the state allowable costs as defined in A.A.C. Title 8 (as
may be amended from time to time).If the assistance is authorized and accepted, the
Requesting Party shall reimburse the Providing Party all allowable costs of labor, equipment,
and materials that have actually been expended during the execution of the mission
assignment, after receipt of an itemized voucher and documentation is received.
If there has been a declaration of emergency from the Governor and/or President, the
Requesting Party may be eligible for reimbursement for these mutual aid costs under the state
or federal declaration of emergency.See item 10.
10.Reimbursement Procedures from the State.
If the Governor and/or President have declared an emergency, the Requesting Party
can prepare an itemized voucher and documentation of all paid allowable costs including all
the cost of the mutual aid resources reimbursed to any Providing Parties under this Compact,
for submittal to the State for consideration for reimbursement in accordance with A.A.C. Title 8
(as may be amended from time to time).As per A.A.C. Title 8, R8-2-301, sub -parts 1, 12 & 15,
only state agencies and political subdivisions are eligible to receive reimbursement under a
Governors Declaration.Any Tribal Nations as the Requesting Party would need to seek
reimbursement under a Presidential Declaration.Any Tribal Nations as the Providing Party
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would seek reimbursement from the Requesting Party as outlined in Item 9.
The state is not liable for any claim arising from an emergency for which the applicant
receives funds from another source (A.A.C. Title 8, R8-2-312).
Self -deployed resources will not be reimbursed.
11.Personnel Compensation and Insurance.
The Requesting Party and the Providing Party shall be responsible for all compensation
and insurance coverage of their respective employees and equipment.
12.Immunity.
The parties shall have such immunity as provided by applicable state, federal or tribal
law.
13.Indemnification.
Each party (as "Indemnitor") agrees to defend, indemnify, and hold harmless the other
party (as "Indemnitee") from and against any and all claims, losses, liability, costs, or expenses
(including reasonable attorney's fees) (hereinafter collectively referred to as "Claims") arising
out of bodily injury of any person (including death) or property damage, but only to the extent
that such Claims which result in vicarious/derivative liability to the lndemnitee are caused by
the act, omission, negligence, misconduct, or other fault of the lndemnitor, its officers, officials,
agents, employees, or volunteers.This compact is between Governmental entities. Should a
signatory to this agreement use a contractor for any purpose, said contractor would be
required to abide by ADOA Risk Management insurance requirements which are attached as
Appendix C.
14.Term.
This Compact shall be effective on the date it is recorded with the Secretary of State.
Except as otherwise provided in this Compact, this Compact shall terminate ten years after the
effective date. This Compact, upon mutual consent of the parties may be extended for a
period of time not to exceed 10 years.Any modification or time extension of this Compact
shall be by formal written amendment and executed by the parties hereto.
15.ADA.
Each party shall comply with applicable provisions of the Americans with Disabilities Act
(Public Law 101-336, 42 United States Code. 12101-12213) and all applicable federal
regulations under the Act, including 28 Code of Federal Regulation Parts 35 and 36.
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16.Non -Discrimination.
To the extent of the law the Parties shall comply with Executive Order 2009-9, which
mandates that all persons, regardless of race, color, religion, sex, age, or national origin not
mentioned in Order shall have equal access to employment opportunities, and all other
applicable state and Federal employment laws, rules, and regulations, including the Americans
with Disabilities Act.Parties shall take affirmative action to ensure that applicants for
employment and employees are not discriminated against due to race, creed, color, religion,
sex, national origin or disability.
17.Compliance with Laws.
Each party shall comply with all federal, tribal, state and local laws, rules, regulations,
standards and Executive Orders, as applicable, without limitation to those designated within
this Compact. Any changes in the governing laws, rules and regulations during the terms of
this Compact shall apply but do not require an amendment.
18.Worker's Compensation.
Each Party herein shall comply with the provisions of A.R.S §23-1022(E) by posting the
public notice required. As provided for in A.R.S. §23-1022(D), an employee of a public agency
who works under the jurisdiction or control of or within the jurisdictional boundaries of another
public agency pursuant to a specific intergovernmental agreement or contract entered into
between the public agencies is deemed to be an employee of both public agencies. However,
the primary employer is solely liable for the payment of Workers" Compensation benefits. As
such, each Party shall maintain Workers' Compensation insurance coverage on all of its own
employees providing services pursuant to this agreement.
19.Insurance.
Each Party shall bear the risk of its own actions, as it does with all its operations, and
shall determine for itself an appropriate level of insurance coverage and maintain such
, coverage. Nothing in this Agreement shall be construed as a waiver of any limitation on liability
that may apply to a Party.
20.Non -appropriation.
Every payment obligation of the Parties under this Agreement is conditioned upon the
availability of funds appropriated and allocated for the payment of such obligation. If funds are
not appropriated, allocated and available or if the appropriation is changed by the legislature
resulting in funds no longer being available for the continuance of this Agreement, this
Agreement may be terminated by the Parties at the end of the period for which funds are
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available.No liability shall accrue to the Party in the event this provision is exercised, and
neither Party shall be obligated or liable for any future payments or for any damages as a
result of termination under this paragraph.
21.No Third Party Beneficiaries.
Nothing in the provisions of this Compact is intended to create duties or
obligations to or rights in third parties not parties to this Compact or affect the legal liability of
any party to the Compact by imposing any standard of care different from the standard of care
imposed by law.
22.Entire Compact.
This document constitutes the entire Compact between the parties pertaining to the
subject matter hereof.This Compact shall not be modified, amended, altered or extended
except through a written amendment signed by the parties and recorded with the Arizona
Secretary of State or Tribal government as appropriate.
23.Jurisdiction.
Nothing in this Compact shall be construed as otherwise limiting or extending the legal
jurisdiction of any party.Nothing in this Compact is intended to confer any rights or remedies
to any person or entity that is not a party.
24.Conflict of Interest.
The requirements of A.R.S. § 38-511 apply to this Agreement.The Parties may cancel
this Agreement, without penalty or further obligation, if any person significantly involved in
initiating, negotiating, securing, drafting or creating this Agreement on behalf of the Party is, at
any time while this Agreement or any extension is in effect, an employee, agent or consultant
of Party with respect to the subject matter of this Agreement.
25.Supervision and Control.
Management of an emergency shall remain with the jurisdiction in which the emergency
occurred. Supervision and control of Providing Parties' personnel and equipment shall be in
accordance with National Incident Management System. The Requesting Party will be
responsible for providing supplies and services, such as food, shelter, gasoline and oil, for on-
site use of equipment and for the personnel providing assistance.All equipment and
personnel used pursuant to this Compact shall be returned to the Providing Party upon being
released by the Requesting Party or on demand of the Providing Party for such return.
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26.Severability: Effect on Other Agreements.
It is expressly understood that this Compact shall not supplant existing agreements
between some of the parties, which do provide for the exchange or furnishing of certain types
of services on a compensated basis.
27.Severability.
If any provision of this Compact is held to be invalid or unenforceable, the remaining
provisions shall continue to be valid and enforceable to the full extent permitted by law.
28.Responsibility of the Department of Emergency and Military Affairs.
Nothing within this Compact limits or restricts the duties and obligations the State of
Arizona may have to respond to the emergency of any party.
29.Effective Date.
This Compact shall become effective as to each party when adopted by resolution and
executed by the governing body of the jurisdiction, and shall remain operative and effective as
between each and every party that has heretofore or hereafter executed this Compact, until
participation in this Compact is terminated by the party.The termination by one or more of the
parties of its participation in this Compact shall not affect the operation of this Compact as
between the other parties thereto.The Director shall identify on their website, with updates as
needed, all parties signatory to this Compact.
30.Execution Procedure.
Execution of this Compact shall be as follows:
This Compact, which will be designated as "ARIZONA MUTUAL AID COMPACT," shall be
executed in counterparts by the governing body of each party.Upon execution, the
counterpart will be filed with the Secretary of State and the Tribal government as applicable
and be provided to the Director.This Compact will be effective between all parties who
execute this Compact even if it is not executed by all eligible jurisdictions.
31.Termination.
Termination of participation in this Compact may be effected by any party as follows:
Notice of termination will be given to the Director 20 days prior to termination.
Any party may, by resolution of its governing body, terminate its participation in this
Compact and file a certified copy of such resolution with the Secretary of State or the Tribal
government, with a copy to be provided to the Director.
The parties to this Compact understand and acknowledge that this Compact is subject
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to cancellation by any party pursuant to A.R.S. § 38-511 or applicable Tribal law.
32.Dispute Resolution.
The Parties to this Agreement agree to resolve all disputes arising out of or relating to
this Agreement through arbitration, after exhausting applicable administrative review, to the
extent required by A.R.S. § 12-1518 except as may be required by other applicable statutes.
33.Record Retention
Pursuant to A.R.S. §§ 35-214 and 35-215, the Parties shall retain all records relating to this
Agreement for a period of five years after completion of the Agreement. All records shall be
subject to inspection and audit by the State of Arizona at reasonable times.
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ARIZONA MUTUAL AID COMPACT
SIGNATURE PAGE
IN WITNESS WHEREOF,the parties hereto each sign this Arizona Mutual Aid Compact
signature page.The signor warrants that he or she has .been duly authorized to commit the
jurisdiction to participate in ,the Compact by formal approval of the jurisdiction's governing
body.
(Signing Authority)Date
ATTEST:
(Attesting Authority)Date
Date of formal approval by governing body:
Pursuant to A.R.S. § 11-952(D) or applicable Tribal law, the attorney for the above entity has
determined that the foregoing Compact is in proper form and is within the powers and authority
of the entity as granted under the laws of this State and the applicable Tribal government.
(Attorney)Date
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Appendix A
ARIZONA MUTUAL AID COMPACT (AZMAC)
EMERGENCY MANAGEMENT RESOURCE REQUEST
Date of Request Requesting Agency Tracking Number
Requesting Organization Organization Point of Contact
Work
Cell
E -Mail
Requested Resource Type/Kind Quantity
Unit of Measure
Date/Time Required
Resniire must come with:i
Fuel 1-1Fuel
n Maintenance n
Mission
Special Instructions
Request Forwarded to
Meals
Lodging E
Operator(s)
Power
LI
LI
Water
Transporter
Contact Name
Organization/Agency
Vendor
Date/Time of Submission
Request Approved by
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Date
Appendix A
ARIZONA MUTUAL AID COMPACT (AZMAC)
EMERGENCY MANAGEMENT RESOURCE REQUEST
Date of Request Assisting Agency Tracking Number
Assisting Organization Organization Point of Contact
Work.
CellCell
E -Mail •
Requested Resource Type/Kind Quantity
Unit of Measure
Date/Time Required
Offer
Travel Costs
Equipment Costs
Commodities
Personnel
F. Name L. Name Phone E -Mail Regular Regular Overtime Overtime
Salary/Fringe Salary/Fringe Benefit
Hourly Benefit Hourly Hourly Rate
Rate Hourly Rate
Rate
Estimated Resource Cost
Providing Party Agency Representative Signature and Date
Representative Name and Title (Print)
Requesting Party Agency Representative Signature and Date
Signature & Date
Representative Name and Title (Print)Signature & Date
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Appendix B
ARIZONA MUTUAL AID COMPACT (AZMAC)
POINTS OF CONTACT
Date:December 12, 2016
Name of Jurisdiction:City of Apache Junction
Mailing Address:300 East Superstition Boulevard
City, State, Zip Code:Apache Junction, Arizona 85119
Authorized Representatives to Contact for Mutual Aid Assistance
Primary Contact •1st Alternate 2 nd Alternate
Name Thomas Kelly Troy Mullender Arnold Freeman
Title Police Chief Captain/Commander Captain/Commander
24 -Hr Phone No.480-797-1786 480-797-0576 480-600-8649
Address Same as above Same as above Same as above
Day Phone No.Same Same Same
Night Phone No.Same Same Same
Fax No.480474-5489 480474-5489 480-474-5489
Email tkelly@ajcity.net tmullender@ajcity.net afreeman@ajcity.net
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Appendix C
ARIZONA MUTUAL AID COMPACT (AZMAC)
USE OF A CONTRACTOR
In addition,each signatory -shall cause its contractor(s)and subcontractors,if any,to
defend, indemnify,and hold harmless the State of Arizona, any jurisdiction or agency issuing
any permits for any work arising out of this Agreement, and their respective directors, officers,
officials, agents, and employees (hereinafter referred to as "Indemnitee") from and against any
and all claims,actions,liabilities,damages,losses,or expenses (including court costs,
attorneys' fees, and costs of claim processing, investigation and litigation) (hereinafter referred
to as "Claims") for bodily injury or personal injury (including death), or loss or damage to
tangible or intangible property Caused, or alleged to be caused, in whole or in part, by the
negligent or willful acts or omissions of signatory's contractor or any of the directors, officers,
agents, or employees or subcontractors of such contractor.This indemnity includes any claim
or amount arising out of or recovered under the Workers' Compensation Law or arising out of
the failure of such contractor to conform to any federal, state or local law, statute, ordinance,
rule, regulation or court decree. It is the specific intention of the parties that the lndemnitee
shall, in all instances, except for Claims arising solely from the negligent or willful acts or
omissions of the lndemnitee, be indemnified by such contractor from and against any and all
claims.It is agreed that such contractor will be responsible for primary loss investigation,
defense and judgment costs where this indemnification is applicable."
Insurance Requirements for Governmental Parties:
None.
Insurance Requirements for Any Contractors Used by a Party to the Intergovernmental
Agreement:
(Note: this applies only to Contractors used by a governmental entity, not to the governmental
entity itself.) The insurance requirements herein are minimum requirements and in no way limit
the indemnity covenants contained in the Intergovernmental Agreement. The State of Arizona
in no way warrants that the minimum limits contained herein are sufficient to protect the
governmental entity or Contractor from liabilities that might arise out of the performance of the
work under this Contract by the Contractor,his agents,representatives,employees or
subcontractors, and Contractor and the governmental entity are free to purchase additional
insurance.
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A.Minimum Scope and Limits of Insurance:Contractor shall provide coverage with
limits of liability not less than those stated below.
1.Commercial General Liability — Occurrence Form
Policy shall include bodily injury, property damage, personal and advertising injury
and broad form contractual liability.
•General Aggregate $2,000,000
•Products — Completed Operations Aggregate $1,000,000
•Personal and Advertising Injury $1,000,000
•Damage to Rented Premises $50,000
•Each Occurrence $1,000,000
a.The policy shall be endorsed (Blanket Endorsements are not
acceptable) to include the following additional insured language:
"The State of Arizona,and its departments,agencies,boards,
commissions,-universities, officers, officials, agents, and employees
shall be named as additional insureds with respect to liability arising
out of the activities performed by or on behalf of the Contractor."
Such additional insured shall be covered to the full limits of liability
purchased by the Contractor, even if those limits of liability are in
excess of those required by this Contract.
(Note that the other governmental entity(ies) is/are also required to be
additional insured(s) and they should supply the Contractor with their own
list of persons to be insured.)
b.Policy shall contain a waiver of subrogation endorsement (Blanket
Endorsements are not acceptable) in favor of the "State of Arizona,
and its departments, agencies, boards, commissions, universities,
officers, officials, agents, and employees" for losses arising from
work performed by or on behalf of the Contractor.
2.Business Automobile Liability
Bodily Injury and Property Damage for any owned, hired, and/or non -owned vehicles
used in the performance of this Contract.
•Combined Single Limit (CSL)$1,000,000
a.The policy shall be endorsed iBlanket Endorsements are not
acceptable) to include the following additional insured language:
"The State of Arizona,and its departments,agencies,boards,
commissions, universities, officers, officials, agents, and employees
shall be named as additional insureds with respect to liability arising
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out of the activities performed by or on behalf of the Contractor,
involving automobiles owned,leased,hired or borrowed by the
Contractor".Such additional insured shall be covered to the full
limits of liability purchased by the Contractor, even if those limits of
liability are in excess of those required by this Contract.
b.Policy shall contain a waiver of subrogation endorsement (Blanket
Endorsements are not acceptable) in favor of the "State of Arizona,
its departments, agencies, boards, commissions, universities and
its officers, officials, agents, and employees" for losses arising from
work performed by or on behalf of the Contractor.
(Note that the other governmental entity(ies) is/are also required to be
additional insured(s) and they should supply the Contractor with their own
list of persons to be insured.)
c.Policy shall contain a severability of interest provision.
3.Worker's Compensation and Employers' Liability
•Workers' Compensation Statutory
•Employers' Liability
Each Accident $1,000,000
Disease — Each Employee $1,000,000
Disease — Policy Limit $1,000,000
a.Policy shall contain a waiver of subrogation endorsement (Blanket
Endorsements are not acceptable) in favor of the "State of Arizona,
its departments, agencies, boards, commissions, universities and
its officers, officials, agents, and employees" for losses arising from
work performed by or on behalf of the Contractor.
b.This requirement shall not apply to:Separately, EACH contractor
or subcontractor exempt under A.R.S. § 23-901, AND when such
contractor or subcontractor executes the appropriate waiver (Sole
Proprietor/Independent Contractor) form.
B. Additional Insurance Requirements: The policies are to contain,or be endorsed
(Blanket Endorsements are not acceptable) to contain, the following provisions:
1.The Contractor's policies shall stipulate that the insurance afforded the
Contractor shall be primary insurance and that any insurance carried by the
Department, its agents, officials, employees or the State of Arizona shall be
excess and not contributory insurance, as provided by A.R.S § 41-621 (E).
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2.The Contractor's insurance shall apply separately to each insured against
whom claim is made or suit is brought, except with respect to the limits of the
insurer's liability. Coverage provided by the Contractor shall not be limited to
the liability assumed under the indemnification provisions of its Contract with
the other governmental entity(ies) party to the IGA.
C.Notice of Cancellation:With the exception of (10) day notice of cancellation for non-
payment of premium, any changes material to compliance with this contract in the
insurance policies above shall require (30) days written notice to the State of
Arizona. Such notice shall be sent directly,to the Department and shall be sent by
certified mail, return receipt requested.
D. Acceptability of Insurers:Contractors insurance shall be placed with companies
licensed in the State of Arizona. Insurers shall have an "A.M. Best" rating of not less
than A- VII or duly authorized to transact Workers' Compensation insurance in the
State of Arizona. The State of Arizona in no way warrants that the above -required
minimum insurer rating is sufficient to protect the Contractor from potential insurer
insolvency.
E.Verification of Coverage:Contractor shall furnish the State of Arizona with
certificates of insurance (ACORD form or equivalent approved by the State of
Arizona) as required by this Contract. The certificates for each insurance policy are
to be signed by an authorized representative.
All certificates and endorsements (Blanket Endorsements are not acceptable) are to
be received and approved by the State of Arizona before work commences. Each
insurance policy required by this Contract must be in effect at or prior to
commencement of work under this Contract and remain in effect for the duration of
the project. Failure to maintain the insurance policies as required by this Contract, or
to provide evidence of renewal, is a material breach of contract.
All certificates required by this Contract shall be sent directly to the Department. The
State of Arizona project/contract number and project description are to be noted on
the certificate of insurance. The State of Arizona reserves the right to require
complete,certified copies of all insurance policies required by this Contract at any
time.
F.Subcontractors:Contractor's certificate(s)shall include all subcontractors as
insureds under its policies or Contractor shall furnish to the State of Arizona
separate certificates for each subcontractor. All coverages for subcontractors shall
be subject to the minimum requirements identified above.
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G. Approval:Any modification or variation from the insurance requirements in any
Intergovernmental Agreement must have prior approval from the State of Arizona
Department of Administration, Risk Management Division, whose decision shall be
final. Such action will not require a formal contract amendment, but may be made by
administrative action.
H.Exceptions:In the event the Contractor or sub-contractor(s) is/are a public entity,
then the Insurance Requirements shall not apply. Such public entity shall provide a
Certificate of Self -Insurance. If the contractor or sub-contractor(s) is/are a State of
Arizona agency,board,commission,or university then none of the above shall
apply.
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247749.1 10/1/2014