Section 25299.64 Of Article 6.5. Performance-based Contract From California Health And Safety Code >> Division 20. >> Chapter 6.75. >> Article 6.5.
25299.64
. (a) For purposes of this article, the following
definitions shall apply:
(1) "Baseline concentration" means the initial concentration of a
constituent of concern prior to conducting corrective action pursuant
to a performance-based contract.
(2) "Constituent of concern" means the chemical element, compound,
or grouping, including, but not limited to, total petroleum
hydrocarbons, as in gasoline, that is present in the soil or
groundwater and subject to corrective action.
(3) "Performance-based contract" means a written agreement
approved by the board between a claimant and an appropriately
licensed contractor, where the contractor agrees for a fixed price to
take corrective action to reduce the concentrations of designated
constituents of concern to specified concentrations.
(4) "Remediation milestone" means that a specified reduction in
the concentrations of constituents of concern from baseline
concentrations has been attained through corrective action. The
reduction is expressed as a percentage of the total reduction
required by the performance-based contract.
(b) The board may pay a claim pursuant to Section 25299.57 to
reimburse the cost of a performance-based contract if the board
approves the contract as being consistent with this article.
(c) A performance-based contract includes, but is not limited to,
the total fixed price contract amount, designated constituents of
concern, baseline concentrations, and if appropriate, a payment
schedule indicating the amount to be paid when specified remediation
milestones are attained.
(d) The board shall make payments based upon the reduction in the
concentrations of designated constituents of concern to specified
concentrations. If corrective action is estimated to take six months
or more to achieve these concentrations and the remediation
technology proposed is a pump-and-treat or other type of mechanical
remediation technology, the board may pay a portion of the fixed
price based on the attainment of specified remediation milestones or
other performance parameters, in the following manner:
(1) The first payment shall include the amount of incurred capital
costs upon successful installation and startup of the mechanical
remediation system.
(2) The second payment shall be an amount equal to the agreed upon
percent of the total contract price when the 25 percent remediation
milestone is attained.
(3) The third payment shall be equal to an agreed upon percent of
the total contract price when the 50 percent remediation milestone is
attained.
(4) The fourth payment shall be equal to an agreed upon percent of
the total contract price when the 75 percent remediation milestone
is attained.
(5) The fifth payment shall be equal to an agreed upon percent of
the total contract price when the 100 percent remediation milestone
is attained.
(6) The final payment shall be the amount of the remaining
contract price that shall be paid when the 100 percent remediation
milestone has been maintained for one year following cessation of all
active remediation.