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City of Pleasanton Article 12. Other Agreements of the Parties Franchise Agreement with Pleasanton Garbage Service City of Pleasanton Page 127 June 7, 2022March 8, 2018 B. Execution of a guaranty by the controlling entity in the event of a City approved assignment of this 4457 Agreement to any corporation, limited liability company, and every similar corporate entity that is 4458 controlled by another such corporate entity through ownership of a majority of the equity interests 4459 in the assignee. The guaranty shall unconditionally and absolutely guarantee the performance of 4460 the Contractor’s obligations hereunder and shall be in a form approved by the City. For the 4461 avoidance of doubt, while the City and the controlling entity may agree on any form of guaranty 4462 they wish, if a form of guaranty proposed by the City is substantially similar to those in use by other 4463 municipalities in northern California in connection with similar solid waste collection agreements, 4464 then it shall be presumed to be reasonable by the controlling entity. In the event the City does not 4465 propose a guaranty form then if a form of guaranty proposed by the controlling entity is 4466 substantially similar to those accepted by other municipalities in northern California in connection 4467 with similar solid waste collection agreements by the controlling entity, then it shall be presumed 4468 to be reasonable. The form of guaranty shall be provided concurrently with the request for City 4469 approval of the assignment of the Agreement and no assignment to the proposed assignee shall be 4470 effective until the controlling entity executes the guaranty. This paragraph shall not be construed 4471 so as to require a guaranty from human Persons controlling an assignee or controlling entity thereof. 4472 C. Funding of a fidelity bond in an amount similar to such required by other Cities for similar facilities 4473 and/or provision of financial assurance in a form other than a fidelity bond, such as a letter of credit 4474 or certificate of deposit. 4475 D. Application of Liquidated Damages as set forth in Section 11.6 and Exhibit E including the provision 4476 of the initials as required in Exhibit E. 4477 12.6 Subcontracting 4478 Contractor shall not engage any Subcontractors for Collection, Transportation, Processing or Disposal of 4479 Solid Waste, Recyclable Materials, Organic Materials, C&D or Bulky Items without the prior written 4480 consent of the City. As of the Effective Date of this Agreement, the City has approved Contractor’s use of 4481 the following Subcontractors: (1) Pleasanton Truck & Equipment Repairs, Inc. (truck repairs); (2) Recycling 4482 and Resource Recovery Systems, LLC (hauling, grinding, material sales marketing); (3) City Automatic 4483 Recycling, Inc. (Recyclable Material sorting); (4) Amador Valley Industries, LLC (CNG Fuel); (5) M&M Land 4484 Company, LLC (land lease, TS employees); (6) Southfront LLC (land lease); (7) Republic Industries 4485 (Disposal); (8) Recology (Organics Processing); (9) Tiger Lines (hauling); and (10) Harvest Power (wood 4486 Diversion). (i) Pleasanton Truck & Equipment Repairs, Inc. (truck repairs - Subcontractor); (ii) Recycling 4487 and Resource Recovery Systems, LLC (hauling, grinding, material sales, marketing - Subcontractor); (iii) 4488 City Automatic Recycling, Inc. (Recyclable Materials sorting - Subcontractor); (iv) Amador Valley Industries, 4489 LLC (CNG Fuel - Subcontractor); (v) M&M Land Company, LLC (land lease, TS employees - Subcontractor); 4490 (vi) Waste Management (Disposal - subcontractor); (vii) Tiger Lines (hauling - subcontractor); and, (viii) 4491 Waste Management (Organic Materials Processing - subcontractor). Contractor shall comply with all 4492 obligations, including but not limited to, insurance, indemnification, and performance standards set forth 4493 in Section 5.13.5, for any subcontractors or Subcontractors engaged by the Contractor to conduct Organic 4494 Materials Processing, Recyclable Materials Processing, or other services specified in Section 5.13.5. 4495