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A comprehensive description of contract terms is found in the draft franchise agreement. <br />Below are some key terms to bring to your attention. Section references to the draft franchise <br />agreement are included in the following summary. <br />HOLIDAY COLLECTION <br />If the regularly scheduled collection day falls on New Year's Day, Memorial Day, Fourth of <br />July, Labor Day, Thanksgiving Day, or Christmas Day, collection days for the remainder of <br />that week shall all be postponed one collection day and residential collection is permitted on <br />Saturday during the make-up week. See Section 4.7.1. <br />EDUCATION AND PUBLIC AwARENESS <br />The City recognizes that effective public education is the key to implementing effective <br />programs and regulatory compliance. See Section 5.3. <br />CONTAINER SPECIFICATIONS AND DISTRIBUTION <br />Carts - Contractor will be responsible for supplying and maintaining all carts under this <br />agreement. Carts shall be new upon initiation of services under the Agreement, and <br />compliant with SB 1383. See Section 4.7.4.1 of the draft agreement. <br />Bin and Cart Labels and Colors - All carts and bins will be labeled to he compliant with SB <br />1383. See Sections 4.7.4.1 and 4.7.4.3. <br />Cart Distribution - Contractor shall enable customers to select cart sizes, and to exchange cart <br />sizes upon request. See Section 4.7.4.1 of the agreement. <br />FAITHFUL PERFORMANCE BOND <br />The Contractor will be required to provide a performance bond totaling $2,500,000. See <br />Section 9.5. <br />FAITHFUL PERFORMANCE LETTER OF CREDIT <br />The Contractor will be required to provide a letter of credit totaling $500,000. See Section 9.6. <br />INSURANCE REQUIREMENTS <br />The draft agreement requires the Contractor to maintain minimum insurance levels. See <br />Section 9.4 for the minimum limits of insurance for general liability, automobile liability, and <br />workers compensation. <br />Draft, March 9, 2020 15 City of Santa Ana <br />60A-25 <br />