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124 <br />125 A contract for residential collection services will be for a ten (10) year period, with an option to <br />126 renew for an additional ten (10) year period, beginning on a negotiated date no later than August <br />127 31, 2011. Either party may cancel the contract by notifying the other party by certified mail a <br />128 minimum of one (1) year prior to the expiration date of the term. <br />129 <br />130 <br />131 REMUNERATION <br />132 Upon the completion of the second year of the contracts contemplated by this Request for <br />133 Proposals and annually thereafter, the rates for the disposal of solid waste at the proposer's site <br />134 or for residential collection services shall be subject to adjustments proportionate to any <br />135 increases or decreases in the Consumer Price Index (CPI) issued by the U.S. Department of <br />136 Labor, Bureau of Labor Statistics for the Dallas/Fort Worth (or any other successor agency of the <br />137 United States that shall issue such indexes or data) and shall provided for the pass-through of any <br />138 increases in the Texas state tipping fee or any new (after the effective date of the contract) <br />139 federal government tax levied on municipal solid waste disposal. Any changes in any law, <br />140 federal or state, which causes an increase in the costs associated with the provision of services <br />141 pursuant to this agreement shall be presented to the City with the background information which <br />142 Proposer/Contractor believes evidences the need for a cost increase with a request to increase the <br />143 amount of remuneration due pursuant to this Agreement. The City shall conduct a due diligence <br />144 investigation to determine whether a requested increase is justified. Following an investigation <br />145 and evaluation of the request the City Council shall act to approve or deny the request. <br />146 <br />147 Either party may cancel a Contract by notifying the other party in writing by certified mail a <br />148 minimum of one (1) year prior to the expiration date of the Contract to the address provided in <br />149 the Contract, as updated throughout the Term, for notices. <br />150 <br />151 The Contractor will be responsible for all City, State, and Federal landfill fees and taxes. <br />152 <br />153 <br />154 INDEMNITY <br />155 The successful proposer will defend, indemnify, and hold the City, its officers, agents, servants <br />156 and employees harmlessfrom and against any and all suits, actions, legal proceedings, claims, <br />157 demands, damages, costs, expenses, and attorney's fees incident to any work done in the <br />158 performance of the Contract arising out of any act or omission of the successful proposer, its <br />159 officers, agents, servants and employees; provided, however, that the successful proposer shall <br />160 not be liable for any suits, legal actions, claims, demands, damages, costs expenses, and <br />161 attorney's fees caused solely by a negligent act or omission of the City, its officers, agents, <br />162 servants and employees. <br />163 <br />164 <br />165 <br />Specifications for Solid Waste Disposal Landfll Facility and Residential Solid Waste Collection <br />Page 4 <br />-1 189 <br />