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April 9, 2025 24 City of Pleasanton/GreenWaste Recovery, LLC described in Contractor’s Proposal, even if the addition of the subject material is covered under what might 891 otherwise be considered an eligible item under Section 8.5.A. 892 If existing Extended Producer Responsibility Programs (including but not limited to, AB 1201, SB 1383, SB 54, 893 and SB 343) or new Extended Producer Responsibility Programs, as further described in Section 2.6, require 894 additional materials be Diverted that are not otherwise identified in Exhibit D and Exhibit E, the City may 895 incorporate such materials into the City’s Collection program for Recyclable Materials and update Exhibit D, 896 as appropriate, and Contractor shall Accept, Process, Recover, and Divert those materials. The City may also 897 request Contractor participate in another type of program to receive the subject material for Processing, 898 Recovery, and Diversion that would constitute a change in scope, as described in Section 2.3, although the 899 City is under no obligation to do so. Notwithstanding the provisions of Section 8.5.A.4, any and all such 900 changes described in this paragraph related to Extended Producer Responsibility Programs shall be treated as 901 a change in scope pursuant to Sections 2.3, 8.5.A.1, and 8.6 and shall not be considered a Change in Law. 902 Further, Contractor shall also be expressly precluded from requesting a Special Tipping Fee Review, as 903 described in Section 8.5, to the extent any such item is covered under an Extended Producer Responsibility 904 Program that compensates Contractor for the Processing, Recovery, and/or Diversion of such materials, in 905 whole. The City reserves the right to trigger a Special Tipping Fee Review or direct Contractor to otherwise 906 remit compensation attributable to the Services under this Agreement, as provided in Section 8.5.E, if 907 Contractor receives compensation for the Processing, Recovery, and/or Diversion of any such item from the 908 City’s Service Area under an Extended Producer Responsibility Program. 909 Additionally, to the extent that either Party becomes aware that Exhibit D may need to be modified as a result 910 of an Extended Producer Responsibility Program, that Party shall notify the other Party within five (5) Days of 911 being made aware of such change. Upon the City’s request, and to the extent the City desires to incorporate 912 any new materials into the City’s Collection program, the Parties shall promptly meet and confer to discuss 913 the timeline and process for the City to implement such changes to the Collection program and for Contractor 914 to make necessary adaptations to its Processing method to ensure Recovery and Diversion of the subject 915 materials. The City shall update Exhibit D, as appropriate, and Contractor shall implement any required 916 changes to its Processing method on a timeline as mutually agreed to by Contractor and the City or before 917 any required deadlines identified in the Extended Producer Responsibility Program, whichever is sooner. 918 Contractor shall maintain records in accordance with Article 9 and Exhibit A. Pursuant to Section 11.3, 919 Contractor shall bear full responsibility for complying with all Applicable Law and the provisions of this 920 Agreement. 921 D. Diversion. Contractor shall Process all Recyclable Materials in a manner that maximizes reuse, Recycling, and 922 Diversion. After Processing, Contractor may Dispose of materials that do not have a higher or better use as 923 Residue, to the extent allowed by State and local law. Contractor shall Process all Recyclable Materials such 924 that each Diverted commodity is of sufficient quality such that they attract the highest domestic market prices 925 for similar commodities, produced and sold by other local Processing facilities that Process single-stream 926 Recyclable Materials. Contractor’s operation of the Approved Recyclable Materials Processing Facility must 927 consistently produce commodities that achieve Residue and contamination standards that meet or exceed 928 the domestic market requirements such that they could attract the highest current domestic market price for 929 the specified commodities. Verification of commodity quality standards shall be conducted annually through 930 the material characterization study performed in accordance with Exhibit I. 931 E. Material Characterization. Contractor shall engage a third party to design and perform a Residue and material 932 characterization study of the Recyclable Materials Processed at the Approved Recyclable Materials Processing 933 Facility a minimum of one (1) time per calendar year. Contractor shall propose a study methodology that must 934 include separately Processing at least thirty (30) Tons of Recyclable Materials from the City Service Area, 935 stratified across no fewer than three (3) distinct Days of Service, at the Approved Recyclable Materials 936 Processing Facility under normal operating conditions for the Facility (i.e., staffing levels, belt speed, burden 937 depth) and meet all other requirements as described in Exhibit I. The methodology must be approved by the 938 Docusign Envelope ID: B9D91F28-4A42-4ED7-9248-1A1839D4B6C9