R2004-88 AUTHORIZING EXECUTION OF A TIRE LEASE AGREEMENT

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ATTACHMENT A BILLING RATES AND TERMINATION 1. BILLING RATES Following are the billing rates to be used under this Agreement, listed by tire size and by year of the Agreement. The billing rates shown below assume the MANUFACTURER's ability to procure and use such materials and manufacturing methods as were procured and used on the date of this Agreement, and are based upon proven experience of mileage delivered hereunder. If laws, changes in vehicles, governmental regulations, or other causes beyond the MANUFACTLJRER's reasonable control require any change in such materials, performance or methods, which reduce the mileage available from such tires furnished under this Agreement, or which substantially increases the MANUFACTLJRER's costs, the CITY agrees to consider renegotiating the billing rates to compensate therefor. ; TIRE SIZE BILLING RATE PER TIRE MILE YEAR 1 YEAR 2 YEAR 3 YEAR 4 YEAR 5 9R22.5 $0.003837 $0.003910 $0.003988 $0.004025 $0.004025 12R22.5 $0.003837 $0.003910 $0.003988 $0.004025 $0.004025 275/70R22.5 $0.003837 $0.003910 $0.003988 $0.004025 $0.004025 The specific tires to be supplied by the MANUFACTLJRER are the following, as designated at the time of the execution of.this Agreement: • 9R22.5 - Bridgestone R250F(article number 292885); • 12R22.5 -Firestone City Transport Radial CTR AZ 5-Rib; and • 275/70R22.5 - Bridgestone R192. 2. TERMINATION Upon the termination of this Agreement by full performance and expiration of the term of this Agreement, and unless the parties enter into a new tire lease agreement to become effective immediately, the CITY shall within 30 days after termination pay for the unused mileage in each remaining tire on the CITI"s buses, in the CITY's storage facilities, in the process of repair or retreading, in transit or in stock, that have been assigned by the MANUFACTLIRER to the CITY's buses in accordance with the provisions hereof. Decatur Public Transit System 13 Tire Lease Agreement