Proposed Agreement Clauses for Purchase of Crushed Gravel from a Land Owner/Contractor or “Commercial Source“ Purpose of Proposed Agreement Clauses. The proposed acceptance and payment provisions show below will protect both the Land Owner/Contractor and Johnson County in the following manner: 1. Land Owner/Contractor gets the assurance that the gravel crushed will be paid for, even if some quantities produced do not meet gradation and plasticity index specifications. 2. Johnson County is assured of obtaining good quality crushed gravel 3. Both parties to the contract are assured that an equitable process will be used to reduce price for out of spec materials, or include up to a five percent bonus for materials that are consistently down the middle of the specifications. 4. Both parties to the contract are assured that the acceptance sampling and testing will accurately represent the quality of the crushed gravel. 5. An industry standard method of measurement is used so no questions exist for the accurate determination of quantity for payment Clause for Crushed Gravel Quality. Johnson County agrees to purchase _____ cubic yards of crushed gravel that meets gradation and plasticity index specifications. Specification compliance will be determined by acceptance samples taken from the stockpile at three or more locations using a front end loader. Each bucket load must be spread on the stockpile floor about one foot thick and at least one 5 gallon bucket full must be taken from each load at random locations. Between 20 and 30 samples must be taken at regular intervals. These acceptance samples will be taken by the Contractor at a set time of day that is convenient for Johnson County personnel to observe and assist with the sampling process. Johnson County will pay a certified lab for acceptance sample testing. Although testing will be done as rapidly as possible, the Contractor should not depend on test results from acceptance samples for adjusting the crusher (process control). The payment for each lot that represents five samples will be determined by the 2003 Edition of WYDOT Standard Specification for Road and Bridge Construction Section 113.1, Acceptance of Aggregate. The contract may be terminated if payment levels for any lot reach 0.75. Each acceptance sample represents a sublot. The Contractor must use belt scales to determine the relative size of each lot that represents 5 samples. Final payment will be determined by a weighted average of pay factors for each lot. See Section 113.1 for further details. Clause for Crushed Gravel Quantity. Cubic Yard quantities for payment will be based on the calculated stockpile volume provided the volume is within plus or minus 10 percent of that specified. Surveys will be done by either total station methods, or by methods using survey grade dual frequency GPS instruments. Johnson County will employ a licensed surveyor to conduct the surveys. An initial survey will be conducted after a ____ inch thick stockpile floor is built, and again after the contractor indicates the stockpile contains the quantities specified. If quantities are less than 90 percent of that specified, the cost for additional surveys will be deducted from the final payment for crushed aggregate. After surveys indicate quantities are accepted by Johnson County, the Contractor will build a two wire temporary fence around the base of the stockpile. Example of Weighted Pay Factor Calculation for Payment Pay Factor Payment Based on Weighted Pay Factor Total Cubic Yard Quantity Specified: Minimum CY Quantity: Maximum CY Quantity: Approximate Contract Payment: 75,000 Monlux 11-22-09 Actual CY Quantity in Stockpile: 85,000 CY Quantity used for Payment: 82,500 Weighted Pay Factor: 1.012 Unit Price per Cubic Yard in Contract: $10.00 -10% 67,500 Contractor crushed beyond the 10% maximum, so payment will be based on 82,500 CY 82,500 $750,000 = $10 x Pay Factor $10 x 750,000 +10% Unit Price with Pay Factor: Final Payment Total Wet Tons Crushed According to Belt Scales: Acceptance Sample Numbers $10.12 $834,597 115,615 % of Total Quantity Pay Factor for Each Lot Weighted Pay Factor each Lot 1 thru 5 6 thru 10 11 thru 15 16 thru 20 21 thru 25 26-28 Belt Scale Quantity 17,525 22,575 21,835 24,450 19,650 9,580 15.2 19.5 18.9 21.1 17.0 8.3 0.92 0.99 1.04 1.03 1.05 1.04 0.139 0.193 0.196 0.218 0.178 0.086 Totals 115615 100 =15.2 x .92 / 100 1.012 = 100 x 17,525/115,615 Pay Factor is calculated from the quality of acceptance sample test results from each lot