Little Rock School District Management Services Agreement with ServiceMaster

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Little Rock School District Management Services Agreement With ServiceMaster September 20, 1995 tjc3/~5 ~ kv (14-' c~~ daiv ~w
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e~~ 6 e in Services 6 ......... : : : : : : : : : : : ~ LITTLE ROCK SCHOOL DISTRICT MANAGEMENT SERVICES AGREEMENT TABLE OF CONTENTS RECITALS . . . . . . . . . . . . . . . . . . . . . _. . . . . . . . . . . . . . . . . . . . . . . . . . . 1 1. INTRODUCTION 1.1 Nature and Scope of Employment . . . . . . . . . . . . . . . . . . . . . . . . . . 1 1.2 Information Provided by School . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 2. SERVICES 2.1 Management Services . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 2.2 Related Administrative Services . . . . . . . . . . . . . . . . . . . . . . . . . . . 2 2.3 Training Materials . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2 2.4 Permits and Licenses
Compliance with Law . . . . . . . . . . . . . . . . . . . 2 2.5 Costs To Be Absorbed by ServiceMaster . . . . . . . . . . . . . . . . . . . . . 2 3. PERSONNEL 3. 1 ServiceMaster Personnel . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3 3.2 School Personnel . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3 4. MATERIALS AND SUPPLIES 4 .1 Scope of this Section . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4 4.2 Custodial . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4 4.3 Plant Operations and Maintenance . . . . . . . . . . . . . . . . . . . . . . . . . 4 4.4 Grounds . . . ... . ... . .. .................. .. ... .. .. . 4 5. EQUIPMENT 5 .1 Equipment Provided by ServiceMaster . . . . . . . . . . . . . . . . . . . . . . . 4 5.2 Equipment Provided by School: Custodial . . . . . . . . . . . . . . . . . . . . . 5 5.3 Equipment Provided by the School: Plant Operations and Maintenance . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5 5.4 Equipment Provided by the School: Grounds . . . . . . . . . . . . . . . . . . . 5 6. COMPENSATION 6.1 School's Agreement to Pay Contract Amount . . . . . . . . . . . . . . . . . . . 6 6.2 Contract Amount ......... ... ..... . ... .... .. .. ....... 6 6.3 Payments of the Contract Amount . . . . . . . . . . . . . . . . . . . . . . . . . 6 6.4 Adjustment of the Contract Amount: Base Wage Increase . . . . . . . . . . . 6 6.5 Adjustment of the Contract Amount: Change in Services . . . . . . . . . . . 6 6.6 ServiceMaster Guarantee . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7 7. INDEMNIFICATION 7. 1 Insurance and Indemnification of the School . . . . . . . . . . . . . . . . . . . 8 7. 2 Indemnification of ServiceMaster . . . . . . . . . . . . . . . . . . . . . . . . . . 9 7. 3 Indemnification Regarding Asbestos . . . . . . . . . . . . . . . . . . . . . . . . 9 8. AGREEMENTS CONCERNING EMPLOYEES OF A PARTY 8.1 Agreements . . . . . . . . . . . .. . . . . . . . . . . . . . . . . . . . . . . . . . . . 9 8.2 Remedies for Breach . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10 9. TERM 9.1 Initial Term: Renewals . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10 10. SPACE AND OTHER ACCOMMODATIONS PROVIDED BY THE SCHOOL 10.1 Space and Utilities . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10 11. MONTHLY JOINT REVIEW 11.1 Joint Review Committee . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10 12. TERMINATION FOR NON-PERFORMANCE 12.1 Notice of Non-Performance
Grace Period
Termination . . . . . . . . . . . 10 12.2 Termination by ServiceMaster Based on the School's Failure to Pay the Net Amount Due . . . . . . . . . . . . . . . . . 11 12.3 Relationship to Section 8.2 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11 13. NOTICES 13 .1 Form of Notice and Delivery . . . . . . . . . . . . . . . . . . . . . . . . . . . 11 14. GENERAL PROVISIONS 14.1 Appropriation of Funds . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11 14.2 Severability . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11 14.3 Headings . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12 14.4 Entire Agreement ......................... : . . . . . . . . 12 14.5 Amendments . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12 14.6 Management Service (Exhibit D) . . . . . . . . . . . . . . . . . . . . . . . . . 12 14. 7 Assignments . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12 14.8 Choice of Law and Jurisdiction . . . . . . . . . . . . . . . . . . . . . . . . . . 12 14.9 Attorney's Fees . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12 14.10 Non-Waiver . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12 14.11 Counterparts . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12 14.12 Pending Litigation .................................... 12 Agreement Page 2 MANAGEMENT SERVICES AGREEMENT THIS AGREEMENT, made this __ day of ________ , 199 _, by and between SERVICEMASTER MANAGEMENT SERVICES L.P., a Delaware limited partnership ("ServiceMaster") and Little Rock School District, (the "School") W I T N E S S E T H: RECITALS: A. B. C. D. The School operates various departments which provide services in support of the School's principal function
The School recognizes that it is important to its overall operations that the employees of its support services departments be well trained and managed to provide a clean, safe environment for students, staff and public and that the materials, supplies and equipment used by such employees in the discharge of their responsibilities be of the proper quality and quantity
ServiceMaster has represented to the School that ServiceMaster has extensive experience in providing management services to support departments of education facilities and in providing certain of the materials and supplies needed by such departments
The School wishes to obtain the management services of ServiceMaster for certain of its support departments and ServiceMaster desires to provide such management services for the School. NOW, TIIEREFORE, in consideration of the foregoing and the terms and conditions set fo,:11 ,{ ,f. below the parties agree as follows: ~ ~. 1. INTRODUCTION ~~~ 1.1 Nature and Scope of Employment. The School hereby retains ServiceMaster as the sole, exclusive provider of management services as set forth in section 2 and to make available certain materials, supplies and equipment for the efficient performance of such management services as set forth in sections 4 and 5, and the School agrees to pay the consideration therefor as provided in section 6
and ServiceMaster accepts such employment and responsibilities and agrees to provide such services and to make available to the School such materials, supplies and equipment, all as set forth herein. 1.2 Information Provided by School and Acquired by ServiceMaster. The program of l, management services which ServiceMaster is to provide hereunder has been developed based on ~ information provided by the School and upon an independent on-site survey and investigation by ServiceMaster, an inspection of building, equipment and grounds and interviews with administrators, principals and staff of school. 2. SERVICES 2.1 Management Services. (a) ServiceMaster agrees to train, manage and direct the School's employees in the support service departments of School which are identified in section Agreement Page 1 3.2 below (the "Service Employees"). Such training, management and direction together with the administrative services related thereto (the "Management Services") shall be provided by ServiceMaster in the context of the statements and descriptions of the physical areas, the job descriptions and duties of the Service Employees and the elaborations of ServiceMaster's duties as are set forth in the Exhibits attached hereto and hereby incorporated in this Agreement by reference. (b) The Management Services shall be provided to those departments for which an Exhibit number appears in the following table: Department Support Services Function Custodial Plant Operations and Maintenance Grounds Exhibit A A AB \ Grounds Equipment . J' 2.2 Related Administrative Services. ServiceMaster agrees that it will perform all~~ administrative responsibilities which relate to the employment of the Service Employees by the School as directed by the School, including maintenance of time records and furnishing to the \ School the data from which the School can formulate its regular payroll for the Service t Employees should the School so desire. 2.3 Training Materials. ServiceMaster will, at its sole expense, provide and maintain all Management Service related training equipment, films, slides, literature, daily work and project schedules, indices, standard operational procedures, and training manuals used to train the Service Employees. Such materials shall at all times remain the property of ServiceMaster. 2.4 Permits and Licenses
Compliance with Law. ServiceMaster shall, at its sole expense, procure all licenses and permits which are required for the lawful rendering of the Management Services and ServiceMaster agrees to comply with all statutes, ordinances and regulations which are applicable to the conduct of its services and sales hereunder. 2.5 Costs To Be Absorbed by ServiceMaster. (a) ServiceMaster shall pay all direct operating costs incurred in connection with the Management Services. The term "direct operating costs" as used in the preceding sentence means all costs directly attributable to the provision of the Management Services hereunder except that the term does not include those items listed in paragraph (b) below. The term includes (but is not limited to) the following costs: (i) salaries, taxes, benefits and employment-related costs or contributions (i.e., worker's compensation, unemployment, retirement, etc., if any) of ServiceMaster personnel, (ii) all taxes and fees currently imposed by federal, state or local authorities in connection with the provision of the Management Services, and (iii) training materials described in section 2.3. (b) The following costs are not "direct operating costs" and are not costs which are to be paid by ServiceMaster as provided in paragraph (a) above: (i) wages and all related payroll taxes of Service Employees and all other employment-related costs or contributions (including all items listed in section 3.2(d))
(ii) cost of uniforms or other special clothing currently provided to Service Employees
(iii) maintenance expenses for equipment owned by the School Agreement Page 2 which is made available to ServiceMaster as provided in Section 5
(iv) repair and maintenance of the space provided to ServiceMaster pursuant to Section 10
(v) materials and supplies pursuant to Section 4.2(d)
and, (vi) payroll and employment forms and documents (such as time cards, time sheets, application forms, evaluation forms, etc). 3. PERSONNEL 3 .1 ServiceMaster Personnel. (a) ServiceMaster agrees to furnish no less than five (5) coordinating management personnel which, in ServiceMaster's judgment, are required for the f proper performance of the Management Services as elaborated in the Exhibits attached hereto~ _,A One of such persons shall be a coordinating manager, who shall be ServiceMaster's chie ( \ representative in connection with the performance of ServiceMaster' s powers and duties under this Agreement. (b) In addition to the management personnel, ServiceMaster will furnish all necessary supervisory, training and technical personnel and special projects personnel as required for the efficient performance of the Management Services. (c) All of the personnel described in paragraphs (a) and (b) will be employees of ServiceMaster. ServiceMaster will pay all of their salaries and all payroll and other taxes, fees, workers ' compensation insurance and other charges or insurance levied or required by any federal , state or local statute in connection with their employment. ( d) If any ServiceMaster management, supervisory, training, technical or special projects personnel are not acceptable to the Superintendent of the School or his or her designee, such person may request, in writing, the removal of such personnel. Upon the receipt by ServiceMaster of such a request, ServiceMaster will provide within a reasonable time a replacement reasonably acceptable to the Superintendent. j 3.2 School Personnel. (a) All persons who were Service Employees on the date of this Agreement shall continue to be employees of the School as opposed to becoming employees of ServiceMaster and all persons employed by School as Service Employees after the date of this Agreement shall be employees of the School. All such persons are subject to discipline, job action and discharge by the School pursuant to applicable practices, polices, procedures, statutes and other laws. (b) ServiceMaster shall not be regarded as a party to any collective bargaining agreement or agreements to which the School was or becomes a party. ServiceMaster will, upon request by the School, make recommendations in connection with wage and wage-related matters, but ServiceMaster shall not make any decisions with respect to wages, hours or other working conditions for Service Employees. ServiceMaster agrees to comply with all collective bargaining agreements, school policies and procedures, and state, local and federal laws. (c) The School shall have the sole responsibility to hire, discipline and discharge Service , Employees. The School states that such matters will be handled in accordance with its established policies and procedures. _ \ (d) The School shall pay all wages and salaries of the Service Employees and the School V shall pay all payroll and other taxes, fees, and other charges or insurance levied or required by lJ federal, state or local statutes relating to the employment of the Service Employees. The School J ,shall pay all workers compensation insurance. Any claims for the Service Employees injured '\ 111J,
/~,w.,:_ ,,A ~reema ee nt ( t~ while working under the direction and supervision of ServiceMaster shall be handled by the ., School. ( e) The School agrees to furnish to ServiceMaster, upon request, certificates of insurance as evidence of the proper employee insurance coverage for the Service Employees and ServiceMaster agrees to furnish to School certificates of insurance as evidence of proper employee insurance coverage for the employees of ServiceMaster, including, but not limited to, workers compensation insurance. 4. MATERIALS AND SUPPLIES 4.1 Scope of this Section. This Section 4 allocates the responsibilities of the parties for the furnishing of the materials and supplies which are required in connection with the performance of the Management Services. If any sub-section in this Section 4 is not applicable because the condition set forth in paragraph (a) thereof is not satisfied, the sub-section shall be considered as deleted from this Agreement. 4.2 Custodial. (a) This Section 4.2 shall be applicable only if the Management Services y to be provided hereunder include services with respect to the School's custodial department. ~ (b) The cost of the materials and supplies (excluding the expendable supplies referred . to in paragraph (d)) which are needed in connection with the performance of the Management~ Services applicable to the Custodial Department is included in the Contract Amount. The materials and supplies purchased by ServiceMaster pursuant to this paragraph (b) are owned as ~ of the date of Purchase by School and upon termination of this Agreement any inventory of unused materials and supplies shall be delivered to School. d(. (c) If the School is an organization which is exempt from state and local sales and use taxes, the School shall furnish to ServiceMaster a Certificate of Tax Exemption upon the commencement of the Management Services. (d) School agrees to provide, at its own expense, the expendable supplies, as such may be defined by agreement of ServiceMaster and School, required in connection with the operation of the School's Custodial department. Such expendable supplies include (but are not limited to) toilet tissue, paper towels, deodorants, washroom soap, plastic container liners, and paint. 4.3 Plant Operations and Maintenance. (a) This section 4.3 shall be applicable only if the Management Services to be provided hereunder include services with respect to School's plant operations and maintenance. (b) The School shall provide, at its own expense, all plant operations and maintenance supp lies, materials, repair parts, purchased services and utilities. 4.4 Grounds. (a) This section 4.4 shall be applicable only if the Management Services to be provided hereunder include services with respect to the School's grounds department. (b) The School shall provide, at its own expense, all grounds supplies, materials, repair parts, and purchased services. 5. EQUIPMENT 5. 1 Equipment Provided by ServiceMaster. All equipment now owned by ServiceMaster and used in connection with the rendering of the Management Services (including computer hardware and software) shall remain the property of ServiceMaster. ServiceMaster shall be Agreement Page 4 responsible for the repair, maintenance and replacement of such equipment, at no additional cost to the School. 5.2 Equipment Provided by the School: Custodial. (a) This section 5.2 shall be applicable only if the Management Services to be provided hereunder include services with respect to the School's custodial department. (b) The School shall make available for use by ServiceMaster the equipment owned by the School and used in the custodial department at the date of this Agreement. Such equipment shall remain the property of the School, and ServiceMaster shall be responsible for the maintenance of the equipment. Additional or replacement equipment needed for the Management Services which are provided to the custodial department shall be provided and maintained by ServiceMaster. The cost of such additional or replacement equipment has been included in the Contract Amount. Equipment purchased by ServiceMaster pursuant to this paragraph (b) is owned by the School. The only additional amounts to be paid to ServiceMaster at the termination of this Agreement being the unamortized book value of said equipment. Equipment purchased hereunder shall be amortized by ServiceMaster over its useful life, not to exceed five years. School is not obligated to pay to ServiceMaster the unamortized book value of any equipment School does not desire to retain. In such an event, title to any equipment not desired by School shall be transferred to ServiceMaster. In the event ServiceMaster has not paid the complete amount owed on the additional equipment at the time the Agreement is terminated, the School may make any payments pursuant to this sub-section directly to the entity owed, rather than to ServiceMaster. 5.3 Equipment Provided By the School: Plant Operations and Maintenance. (a) This section 5. 3 shall be applicable only if the Management Services to be provided hereunder include services with respect to the School's plant operations and maintenance. (b) The School agrees to permit ServiceMaster to utilize the present plant operations and maintenance service equipment. The School agrees to maintain such equipment in an operative, workable and safe condition. The School shall be responsible, at its expense, for the repair of such equipment (including replacement parts) and the provision of additional or replacement maintenance service equipment. 5.4 Equipment Provided by the School: Grounds. (a) This section 5.4 shall be applicable only if the Management Services to be provided hereunder include services with respect to the School's grounds department. (b) The School agrees to permit ServiceMaster to utilize the present grounds equipment. The School shall maintain such equipment, at its expense, in an operable, workable and safe condition. The School shall be responsible, at its expense, for the repair of such equipment (including replacement parts). ServiceMaster shall purchase, within forty-five (45) days of the date of this Agreement, grounds equipment, the purchase price of which has been paid in full, described in Exhibit B. The equipment so described shall be owned by School as of the date of its purchase. The only additional amounts to be paid to ServiceMaster at the termination of this Agreement being the unamortized book value of said equipment. Equipment purchased hereunder shall be amortized by ServiceMaster over its useful life, not to exceed five years. School is not obligated to pay to ServiceMaster the unamortized book value of any equipment School does not desire to retain. In such an event, title to any equipment not desired by School shall be transferred to ServiceMaster. In the event ServiceMaster has not paid the complete Agreement Page 5 amount owed on the additional equipment at the time the Agreement is terminated, the School may make any payments pursuant to this sub-section directly to the entity owed, rather than to ServiceMaster. 6. COMPENSATION 6.1 School's Agreement to Pay Contract Amount. In consideration of the performance by ServiceMaster of the Management Services and in consideration of the transfer of the materials and supplies by ServiceMaster to the School in connection with the performance of the ..-Q Management Services, the School agrees to pay to ServiceMaster, at the times set forth inGJJtl C,~ 1 section 6.3, the Contract Amount as set forth in section 6.2. c11' \~ 6.2 Contract Amount. Subject to adjustment as provided in subsequent sections of this f'("' Section 6, the Contract Amount shall be $98,659.00 per month. If the Management Services commence on a day other than the first day of a month, or if the Management Services terminate on a day other than the last day of a month, the Contract Amount for the first or the last month shall be prorated on the basis of the number of days within such first or last month on which Management Services were provided. It is agreed that of the $1 ,183,908 to be paid annually f p to ServiceMaster pursuant to this Agreement, ServiceMaster will incur not less than an average of $329,347 expense per year for materials, supplies and equipment to be used in its performance of the terms and conditions of this Agreement and title to such material, supplies and equipment will be solely in the name of School. On or before each annual anniversary date of this Agreement, ServiceMaster shall provide invoices, contracts or other written documentation satisfactory to School evidencing that at least an average of $329,347 has been expensed by ServiceMaster toward the purchase of materials, supplies and equipment. 6.3 Payments of the Contract Amount . (a) Commencing on October 15, 1995, and on the fifteenth of each month thereafter, the School shall pay to ServiceMaster the Contract Amount. (b) If any payment of the Contract Amount is not paid in full within fifteen days of the due date, the unpaid portion shall bear interest at the highest rate allowed by the laws of the State of Arkansas . Further, School shall pay all costs and reasonable attorney's fees incurred by ServiceMaster (not to exceed 10% of the amount awarded) in collecting amounts due to ServiceMaster from the School. I 1~/3 'f. I 6- 6 .4 Adjustment of the Contract Amount: Base Wage Increase. On each anniversary of the commencement of services hereunder, the Contract Amount (excluding custodial and grounds capital equipment, computerization and vehicles) ~all be increased by the percentage increase that the ba wa e rate of the Service Em lo es of Sctiool have mere sect for the previous twelve 12 month enod not to excee 2.5%in an given ear. Base wage rate 1s e med as e rate of compensation pa1 to service employees w c s al include the annual raise approved or authorized for the Service Employees of School. This amount does not include any annual step increase or increment given for an additional year of service with the School. 6.5 Adjustment of the Contract Amount: Change in Services. The Contract Amount has been established on the basis of the area, job descriptions and specific duties described in the Exhibits. If the total amount of area or the job descriptions or the duties to be performed by ServiceMaster or the Service Employees is enlarged, reduced or altered in any manner, there shall be an increase or decrease, as the case may be, in the Contract Amount. Such adjustment Agreement Page 6 shall be effective with the first payment to be made immediately following such increase, reduction or alteration. In connection therewith, ServiceMaster and School shall negotiate in good faith and mutually agree upon any enlargement, reduction or alteration of the contract amount. _ 6.6 ServiceMaster Guarantee. ServiceMaster guarantees that the School's costs to perform services for the custodial, maintenance and grounds departments as set forth in Exhibit A attached hereto, including ServiceMaster annual fees, during each year of this agreement, shall not exceed the amount reflected in the applicable portions of the School's 1995-96 fiscal year /\. budget for such period as reflected in Exhibit C. Should any payment to ServiceMaster for \~f services provided cause School to exceed the budget as adjusted for fiscal year 1995-96, . ~ ServiceMaster agrees that the School shall not be obligated to make any payment(s) to 1 ServiceMaster which would cause the School to exceed the amount reflected in the applicable \ portions of the School's 1995-96 fiscal year budget. Rather, the school's liability to ServiceMaster for any remaining amounts owed pursuant to Section 6 would terminate, except to the extent hereinafter provided. As such, the School would not be obligated to pay ~ l ServiceMaster the total annual amount reflected in paragraph 6.2. However, should the School realize sufficient savings in the applicable portions of the School's budget such that the amounts for the 1995-96 school year is less than or equal to the applicable portions of the adjusted budget, 'i .f for the 1995-96 fiscal year, including the amount owed to ServiceMaster, the School shall pay ~ ~ ServiceMaster any remaining amounts owed under paragraph 6.2. It being the intent of the parties that the School shall not incur costs and expenses, including the amounts paid to ServiceMaster, in the applicable portions of the School's budget relating to maintenance and plant operations which would cause the School to exceed the amount budgeted for that area during the 1995-96 fiscal year. For instance, the School's 1995-96 budget for custodians, maintenance and related matters is $10,779,986.00. The ServiceMaster projection for 1995-96 for these same areas, including the annual amount in paragraph 6.2, total $10,621,136.00. If those projections are achieved, ServiceMaster would receive the compensation as provided by this Agreement, assuming all other terms and conditions are met. Should the projections not be achieved, the School would not be obligated to pay ServiceMaster, to the extent the payment(s) would cause the School to exceed the $10,779,986.00 budgeted amount for the 1995-96 fiscal year as pro-rated for the nine (9) months of the shortened initial year. In subsequent years, the School would not be obligated to pay ServiceMaster, to the extent the payments would cause the School to exceed the baseline amount as adjusted pursuant to the provisions of this Agreement. To get the pro-rated baseline and actual amounts for the 1995-96 fiscal year, ServiceMaster and the School shall negotiate and mutually agree in writing within forty (40) calendar days after the October 2, 1995 commencement date. Management fees and amounts to be expended by ServiceMaster on equipment and supplies during the initial year will also need to be pro-rated, as necessary. Likewise, if the operational costs, exclusive of the amounts owed to ServiceMaster, exceed $9,596,086.00 ($10,779,986.00 minus $1,183,908.00), ServiceMaster must refund to the School, dollar for dollar, all such amounts already paid to Service Master which would cause the School to exceed the 1995-96 budgeted amount ($10,779,986.00). However, in no event would ServiceMaster be obligated to refund more than the management fee for the particular year (i.e., $854,561, which will be subject to proration during the initial year.) For example, Agreement Page 7 should the operational costs, exclusive of the amounts owed to ServiceMaster reach $10,300,000 during the school year and the School has already paid ServiceMaster $640,917 ($71,213 x 9), the total in this category so far would be $10,940,917. This exceeds the budgeted amount by $160,931.00. As such, ServiceMaster would be required to refund $160,931.00 to the School and not receive any payments remaining ($71,213 x 3 = $213,639), to honor its guarantee to the School. This same guarantee would apply for each year of this agreement, using the school's 1995-96 budgeted amount as the baseline. However, following the 1995-96 fiscal year, the wage and benefit portion of the baseline will increase each year by the base wage rate as defined in paragraph 6 .4 plus any annual step increase or increment given for an additional year of service with the School. Likewise, the remaining portion including supplies, purchased services and utilities will increase each year by 1.5 % . The amounts not paid from year-to-year, for which the School is not liable, may be determined by the School and ServiceMaster and recorded in a log. Thereafter, should the operational costs for the applicable portions of the School's budget, including the amounts paid to ServiceMaster for the year in consideration, achieve sufficient savings (after all required services, supplies, equipment and other school needs for the year in question have been met), the School may pay ServiceMaster a portion of the amounts reflected in the log, but only to the extent such payment(s) (after determining the actual expenditures for the year in question, including payments to ServiceMaster for the year in question) would not cause the School to exceed the applicable portions of the baseline. Should such savings never be achieved during the term of this Agreement, the School would have no liability whatsoever to ServiceMaster for the amounts reflected in the log. Should ServiceMaster deem it necessary to request that certain expenditures be removed or adjusted to arrive at the actual expenditures for a particular year of this Agreement, upon request by ServiceMaster, ServiceMaster and School shall negotiate in good faith and mutually agree upon any such adjustments. Notwithstanding any of the foregoing, including the possibility that ServiceMaster may either receive less than full payment of the amounts reflected in paragraph 6.2 during one or more years of this Agreement or that ServiceMaster may have to refund monies to the School should sufficient savings not be achieved, ServiceMaster's obligation to perform management services shall not be reduced, abated or otherwise relieved as such constitutes a portion of the guarantee made by ServiceMaster to the School. No party shall have any liability to the other hereunder by reason of any delay or failure to perform any obligation or covenant including ServiceMaster guarantee if the delay or failure to perform is occasioned by force majeure, meaning any act of God, storm, fire, casualty, work stoppage, strike, lockout, civil disturbance, riot, war, national emergency, act of government, act of public enemy, or other cause of similar or dissimilar natu,r,e beyond its control. 7. INDEMNIFICATION Ii. 7 .1 Insurance and Indemnification of the School. ServiceMaster agrees to indemnify and hold the School and its School board members, officers and employees harmless from any liability imposed against the School by reason of the negligent acts or omissions of ServiceMaster or its employees. ServiceMaster shall, at its sole expense, obtain and keep in force during the term of this Agreement, a policy of comprehensive public liability insurance Agreement Page 8 insuring ServiceMaster and School against any liability arising out of the negligent acts or omissions of ServiceMaster or its agents, representatives or employees. Such insurance shall be in an amount of not less than $1,000,000.00 for injury to or death of one person in any one accident or occurrence and in an amount of not less than $20,000,000.00 for injury to or death of more than one person in any one accident or occurrence. Such insurance shall further insure ServiceMaster and the School against liability for property damage of at least $20,000,000.00. The limits of said insurance shall not, however, limit the liability of ServiceMaster hereunder. If ServiceMaster shall fail to procure and maintain said insurance School may, but shall not be required to, procure and maintain the same, but at the expense of ServiceMaster. 7. 2 Indemnification of ServiceMaster. The School shall indemnify and hold ServiceMaster and its partners, directors, officers and employees harmless from any liability imposed against ServiceMaster by reason of the negligent acts or omissions of the School or its employees to the extent that the School is covered by insurance and to the extent that such is permitted by applicable law. Such insurance shall be in an amount of not less than $1,000,000 for injury to or death of one person in any one accident or occurrence and in an amount of not less than $3,000,000 for injury to or death of more than one person in any one accident or occurrence. Further, the school does not, by so agreeing, intend to waive any immunity or other defense to which it may be entitled. Therefore, to the extent such an agreement would jeopardize or otherwise interfere with the School's immunity and other defenses, such indemnity provision becomes null and void. 7 .3 Indemnification Regarding Asbestos. The School acknowledges its obligation to identify the presence, if any, of asbestos material on the School's premises and its responsibility to appoint the Asbestos Hazard Emergency Response Act (AHERA) "Designated Person." ServiceMaster agrees to provide assistance to the School in the form of: (i) support service employee education and training material when ServiceMaster is responsible to train, manage and direct said employees
(ii) guidance in the fonn of Standard Operating Procedures for smallscale, short-duration operation and maintenance activities as defined by AHERA
and (iii) other support as determined by ServiceMaster to aid the School in its AHERA-related activities. School agrees that under no circumstance shall a ServiceMaster employee be or act in the capacity of the "Designated Person." School also acknowledges that ServiceMaster has no obligation hereunder to identify or take corrective action by removing or containing asbestos fibers for other than small-scale, short-duration operations and maintenance activities as defined by AHERA, nor does ServiceMaster have any duty to mitigate the hazards from exposure to asbestos fibers. The School agrees to indemnify and hold ServiceMaster harmless from any liability imposed against ServiceMaster, including costs and reasonable attorney's fees (not to exceed 10% of the amount awarded), by reason of the presence of asbestos material on the School's premises or for any actions done or failed to be done by ServiceMaster while acting on School's behalf related to AHERA. (This indemnity agreement is subject to the conditions, restrictions and limitations in paragraph 7. 2.) 8. AGREEMENTS CONCERNING EMPLOYEES OF A PARTY 8.1 Agreements. At no time during the tenn of this Agreement and for a period of one year thereafter will either of the parties call upon any employee of the other party or persons who were employees of the other within the then previous twelve months, to employ, hire or Agreement Page 9 otherwise interfere with the contractual relationships of such employees, without the prior written approval of the other party
nor will either party directly or indirectly, for itself or on behalf of or in connection with, any other person, firm, partnership, corporation, association or School, solicit, hire, employ or take away any such employee from the other party. The parties agree that this provision is for the protection of their respective legitimate business interests and is not intended to restrict the employment rights of individuals. 8.2 Remedies for Breach. If either party breaches the above covenant, the offended party shall have the right to apply to a court of competent jurisdiction for an injunction to restrain the offending party from employing such employee and for an order to enforce the terms of this section so breached, and the offending party shall be liable to the offended party for all reasonable attorneys' fees , costs and expenses incurred by it to enforce the covenant. 9. TERM 9.1 Terms. The term of this Agreement shall be for a period of five years commencing on October 2, 1995. 10. SPACE AND OTHER ACCOMMODATIONS PROVIDED BY THE SCHOOL 10.1 Space and Utilities. The School shall provide ServiceMaster with reasonable offices, storage space and facilities on the School's premises from which ServiceMaster will conduct the Management Services. Such offices and storage space shall be under the operational control of ServiceMaster. The provision of such space shall include all utilities (including water, sewer, electricity and local telephone service). Such space, local facilities and utilities shall be provided without cost to ServiceMaster. ServiceMaster will insure its interest in any property owned by it located on or about the office and storage space provided to ServiceMaster. ServiceMaster shall vacate the office and storage space upon termination of this Agreement. 11. MONTHLY JOINT REVIEW 11 .1 Joint Review Committee. The parties shall form a Joint Review Committee consisting of at least two persons from the School and two persons from ServiceMaster. The Joint Review Committee will meet on a monthly basis for the purpose of reviewing ServiceMaster' s performance with respect to the Management Services and generally to review the results of operations under this Agreement in comparison with the expectations of the parties. 12. TERMINATION FOR NON-PERFORMANCE 12.1 Notice of Non-Performance: Grace Period: Termination. If one party (the "Offended Party") considers the other party (the "Offending Party") to have not performed one or more of its obligations hereunder, the Offended Party shall give the Offending Party a written notice which shall specify the nature of the alleged non-performance. The Offending Party shall then have sixty days from the receipt of such notice to remedy the alleged non-performance. If, at the end of such sixty-day period, the Offended Party considers the alleged non performance not to have been cured, the Offended Party may thereupon terminate this Agreement by giving the Offending Party a written notice of termination and, at the expiration of the thirtieth day following the delivery of such notice, the Offended Party shall be relieved from the further performance of its obligations hereunder. The parties understand and agree that the foregoing Agreement Page 10 30-day period is to allow for an orderly transition from the Management Services as provided hereunder to an alternative service mechanism. 12.2 Termination by ServiceMaster Based on the School's Failure to Pay the Net Amount Due. Notwithstanding the provisions of Section 12.1 and 6.3(b), ServiceMaster may terminate this Agreement upon ten days prior written notice if the School fails or refuses to pay ServiceMaster in accordance with the provisions of Sections 6.1, 6.2, 6.3(a) or 6.6. 12.3 Relationship to Section 8.2. This Section 12 shall not affect the covenants and remedies for breach thereof which are set forth in Section 8. 13. NOTICES 13 .1 Form of Notice and Delivery. Any notice required or permitted under this Agreement shall be in writing and shall be delivered by certified or registered mail, with proper postage prepaid If to ServiceMaster, to: ServiceMaster Management Services L. P. ServiceMaster Education Management Services One ServiceMaster Way Downers Grove, IL 60515 Attn: President If to the School, to: Little Rock School District 810 West Markham Street Little Rock, AR 72201 Attn: Superintendent In the event the date of actual receipt of any notice is not recorded, notices shall be deemed to have been received on the third day after post. 14. GENERAL PROVISIONS 14.1 Appropriation of Funds. In the event sufficient funds shall not be appropriated or made available for the funding of operations of the School and School has no funds legally available for the payments due hereunder from other sources, School and ServiceMaster shall review the services provided hereunder and the Contract Amount, in keeping with the then proportionate amount of appropriated funds for the services hereunder, and determine the level of services which can be performed and the method of delivery of such services to School within the level of appropriated funds. In the event ServiceMaster is not able to modify its program to meet the funds appropriated, either party may terminate this Agreement upon giving to the other thirty days prior written notice. 14.2 Severability. If a court holds any part, term or provision of this Agreement to be unenforceable, the validity of the remaining portions or provisions shall not be affected, and the rights and obligations of the parties shall be construed and enforced as if this Agreement did not contain the particular part, term or provision. Agreement Page 11 14.3 Headings. The headings which appear in this Agreement have been inserted for the purpose of convenience and ready reference. They are not intended to, and shall not be deemed to, define, limit or extend the scope or intent of any provision hereof. 14.4 Entire Agreement. This Agreement (including Exhibits A, B, C and Das well as the School's Business Case dated August 24, 1995, all of which are incorporated herein by reference as if included word-for-word) has been negotiated and prepared by and for the parties equally and shall not be construed as having been drafted by one party. When fully executed, it shall supersede any and all prior and existing.Agreements between the parties, either oral or in writing. This Agreement contains the entire agreement between the parties hereto with respect to the subject matter hereof. 14.5 Amendments. Other than for amendments as provided in Section 6.4, any amendment or modification of this Agreement must be made in writing and signed by the parties. 14.6 Management Service (Exhibit D). A proposal detailing ServiceMaster Management Services has been submitted. The said proposal becomes a part of this agreement and is attached hereto as Exhibit D. 14. 7 Assignments. This Agreement is not assignable by either party without the prior written consent of the other party. 1Y 14.8 Choice of Law and Jurisdiction. This Agreement shall be governed by the laws of the State of Arkansas. The parties agree to submit to the jurisdiction of the courts within th~~ State of Arkansas. 14.9 Attorney 's Fees. Except as otherwise specifically provided herein, in any action '~ brought in law or in equity based on this Agreement, each party shall be responsible for its ow ~ ,J costs and attorneys fees . ..4
,y,- 14.10 Non-Waiver. No waiver of any default will be construed to be or constitute arr' waiver of any subsequent defaults. 14.11 Counterparts. This Agreement may be executed in one or more counterparts, each of which shall be a separate document but all of which constitute one and the same instrument. 14.12 Pending Litigation. Each of the parties agree that as of the date of the execution of this Agreement a motion to enjoin School from entering into this Agreement with ServiceMaster is now pending in the United States District Court, Eastern District of Arkansas, Western Division, styled Little Rock School District v. Pulaski County Special School District No. I, et al., No. LR-C-82-866. Service Master does hereby release and forever discharge School from any and all actions, causes of action, damages, claims or demands which ServiceMaster may hereafter have, arising out of or in any way relating, directly or indirectly, from orders issued by the United States District Court which may terminate or modify this Agreement. School is under no obligation or duty to appeal any decisions of the United States District Court affecting this Agreement. Further, the School's liability hereunder will be subject to the outcome (through either settlement, order of the Court or otherwise) of that litigation. Agreement Page 12 IN WITNESS WHEREOF, the parties have executed this Agreement the day and year first above written. SERVICEMASTER MANAGEMENT SERVICES Limited Partnership ServiceMaster Management Services, Inc., General Partner Education Management Services, General Partner ATTEST By: By: Kevin L. Creasman, President Assistant Secretary LITTLE ROCK SCHOOL DISTRICT ATTEST By: By: Title: Title: Agreement Page 13 Exhibit "A" General Contract Work Specifications I. Buildings, Plant Facilities, and Areas to be serviced: Custodial, Plant Operations and Maintenance, and Grounds. Buildings Central High Hall High Parkview High J. A. Fair High McClellan High Metropolitan Vo Tech Cloverdale Jr. High Dunbar Jr. High Forest Heights Jr. High Henderson Jr. High Mabelvale Jr. High Mann Jr. High Pulaski Heights Jr. High Southwest Jr. High Badgett Elementary Bale Elementary Baseline Elementary Booker Elementary Brady Elementary Carver Magnet Chicot Elementary Cloverdale Elementary David 0. Dodd Elementary Fair Park Elementary Forest Park Elementary Franklin Elementary Fullbright Elementary Garland Elementary Geyer Springs Elementary Gibbs Elementary Oakhurst/Chicot Elementary Jefferson Elementary McDermott Elementary Mabelville Elementary Meadowcliff Elementary Mitchell Elementary Gross Square Feet 262,626 153,916 166,477 133,116 128,203 129,546 81,894 99,397 113,034 103,212 66,673 113,013 76,240 86,064 25,612 36,688 50,455 74,530 38,419 61,695 0 33,263 46,712 31,075 33,450 68,500 66,892 38,632 41,780 38,677 31,955 48,490 48,020 55,568 37,651 39,968 Exhibit "A" Page 1 Buildings Otter Creek Elementary Puliski Heights Elementary Rightsell Elementary Rockefeller Elementary Romine Elementary Ish Elementary Terry Elementary Wakefield Elementary Washington Elementary Watson Elementary W estem Hills Elementary Williams Elementary Wilson Elementary Woodruff Elementary ALC Elementary Martin L. King Elementary Administration Admin. Annex Plant Services Transportation IRC Procurement Food Service Safety Security Quigley Stadium Adult Ed. Scott Stadium Cashin Building Total Square Footage Total Acreage: 634 II. SERVICES TO BE PERFORMED Gross Square Feet 37,319 59,652 39,166 64,561 45,098 31,802 46,080 39,699 89,800 55,934 41,991 50,956 38,539 38,000 37,360 76,000 26,790 26,273 22,644 20,414 24,000 20,914 38,456 6,000 30,905 89,133 4,401 6,418 3,769,748 SERVICEMASTER shall provide administration and technical direction in the management of the plant operations and maintenance organiz.ation of the School. In the discharge of its responsibilities, SERVICEMASTER will be guided by the highest professional and technical standards in order to accomplish the following services: A. Professionalized Mana~ement 1. The company resources of SERVICEMASTER shall be applied to serve the custodial and plant operations and maintenance management needs of the School. Counsel shall be made available to the School in Exhibit "A" Page 2 B. recommendation and appraisal of functions and services associated with custodial, maintenance and grounds departments. SERVICEMASTER shall seek to enhance interdepartmental coordination and cooperation. 2. SERVICEMASTER shall provide professionally qualified resident and resource management for the direction of custodial, maintenance, and grounds administrative functions. 3. SERVICEMASTER shall make initial and continuing recommendations for the custodial, maintenance, and grounds organizational structure, procedures implementation and resource application. The recommendations will be acted upon only with School concurrence. 4. SERVICEMASTER shall provide the leadership necessary for the effective coordination of custodial, maintenance, and grounds efforts and skills. Personnel Selection and Development 1. SERVICEMASTER and School recognize that the most important element of a ~uccessful custodial, maintenance, and grounds program is people. SERVICEMASTER shall make recommendations in the recruitment, selection and assignment of people for positions in the custodial, maintenance, and grounds department, subject always to the control of School as sole employer of such employees. Concern for the individual shall extend to one-on-one training directed to a sense of professionalism, personal worth, and dignity. 2. Direction - SERVICEMASTER shall encourage employee self-development by establishing clearly defined objectives and uniformity of efforts. All custodial, maintenance and grounds employees will be provided orientation in support of the School and its staff. There shall be a current, written policy and an organization structure approved by School, for coordination within the department and with the other departments of the School. Job descriptions, organizational diagrams, lines of communications, and policies and procedures shall be provided to contribute to employee understanding and teamwork. 3. Training - SERVICEMASTER will offer each employee the individual attention necessary to personal and occupational growth. The program shall include resource material available in multimedia form: the determination of employee qualifications and experience, on-the-job training, educational counseling, and School orientation. A series of self-paced study courses shall be made available to the custodial and Exhibit "A" Page 3 c. maintenance employees. Resource material in multimedia form shall be provided by SERVICEMASTER. 4. Administration - SERVICEMASTER shall establish and/or maintain personnel records in accordance with the requirements of the facility and will facilitate the measurement of individual progress and the preparation of required reports. 5. Organizational Level - SERVICEMASTER shall supervise the School employees as shown in the proposed custodial, maintenance, and grounds organization and as reflected in the corresponding contract amount. Standard Operational Procedures 1. Objectives - SERVICEMASTER shall implement, with the concurrence of School, Standard Operational Procedures. The purpose of these procedures shall be to coordinate manpower efforts, skills, and other designated resources through the establishment of clearly defined objectives. The primary objectives shall include a clean, safe 2. 3. 4. environment, conducive for learning, and the ability to provide the designated an.d appropriate levels of plant operations and grounds maintenance. Management Systems - SERVICEMASTER shall provide clearly defined routines, record requirements, tests and inspections, plant operating instructions, and administrative procedures essential to the designated custodial, maintenance, and grounds levels and programs. Research- SERVICEMASTER shall provide the research necessary to design and implement the respective plant operations and maintenance, grounds, as well as the custodial levels and programs. Direction - SERVICEMASTER shall develop and maintain a Departmental Manual containing instructions for implementation and maintenance of the program. D. Fiscal Management 1. Objectives - SERVICEMASTER shall fulfill custodial, maintenance, and grounds management responsibilities with a strong and continued attention to fiscal responsibilities. The objectives of SERVICEMASTER financial and materials management programs are: Exhibit "A" Page 4 E. 2. a. To strive for increased effectiveness at less cost through improved management and engineering practices. b. To provide written instructions necessary to the fiscal management of operations, maintenance, equipment and supplies. c. To comply with established School fiscal control systems and directives. Budgets - SERVICEMASTER shall provide custodial, plant operations and maintenance, and grounds financial and statistical data to assist the School in preparation of its budgets. SERVICEMASTER shall monitor expenditures as designated by the School in accordance with the chart of accounts. 3. Cost Accounting - SERVICEMASTER will structure a work order system permitting allocation to designated cost centers as may be desired by School. 4. Purchasing - SERVICEMASTER shall provide written policies and instructions based on School requirements governing the purchase of plant operations and maintenance materials, supplies, equipment and utilities. SERVICEMASTER shall make available consultation in the purchase of mechanical or electrical equipment as may be contemplated by the School. 5. Receipt, Storage and Issue of Materials - SERVICEMASTER shall provide procedures, in accordance with School directives and guidance, necessary for the implementation of programs for the proper inspection, charges, storage, inventory, security and issue of custodial, maintenance, and grounds supplies and equipment. Quality Control of SeCTice The following quality performance reviews will be initiated to insure a high standard of service for the School: I. Weekly inspections will be made by the ServiceMaster Manager in the company of the Superintendent or appointed designee. 2. Daily Journal will be maintained for the use of the Director of Facilities Services and the review by the Superintendent. 3. Preventive Maintenance schedules with notation of performance will be maintained for management control, control inspection, and administrative review. Exhibit "A" Page 5 F. 4. Corrective Maintenance Requisition actions will be tabulated by category, resource requirement (cost/time), originator and cost center. 5. A Joint Executive Committee meeting will be held monthly, with at least two representatives from the School and an equal number from SERVICEMASTER. In addition, a monthly summary of custodial, maintenance, and grounds functions, accomplishments and objectives will be prepared and presented for comments, additions, and concurrence of the Superintendent. 6. An annual report will be prepared and submitted to the Superintendent. This report will summarize the activities of the ServiceMaster Managed Departments for the fiscal year. This report includes financial information, training and other areas that are under the responsibility of ServiceMaster. Iechpical Support 1. SERVICEMASTER shall provide professional services and technical resources in support of its field management to: a. Perform research in determination of School custodial, plant operations and grounds management needs, resources, utilization, programs, procedures and systems. b. Implement technical support programs for system implementation, training, control inspection and consultant services relating to School custodial, plant operations and maintenance, and grounds management. 2. It is understood that SERVICEMASTER personnel will provide counsel concerning applicable codes including Life Safety and National Electric Codes, but that official interpretation shall only be made by those authorities having jurisdiction. a. Consult and make recommendations concerning the plant operations and maintenance aspects of architectural and engineering proposals. b. Provide program to follow progress of major modernization and new construction projects as an option available requiring amendment to this Agreement. Exhibit "A" Page 6 G. H. Authorized Personnel Structure 1. SERVICEMASTER shall propose the number of personnel necessary to carry out the custodial, maintenance, and grounds program. After initial agreement, any revision to the number of personnel required to carry out the custodial, maintenance, and grounds program will be made in the form of a written amendment, approved and signed by SERVICEMASTER and School. 2. School and SERVICEMASTER recognize that the proposed personnel structure is subject to revision as may be necessary to comply with all federal, state, and municipal laws, rules and regulations that are now or may in the future become applicable to the School and its personnel engaged in custodial, maintenance, and grounds services. School Information 1. The School, after consideration and at discretion, has requested SERVICEMASTER to perform the duties and frequencies as set forth in this Exhibit. To the best of 'sERVICEMASTER's knowledge, the duties and frequenci~s are in compliance with applicable standards or regulations presently in force unless SERVICEMASTER has otherwise advised School. If in the future SERVICEMASTER becomes aware that the School is not in compliance with a standard or regulation, SERVICEMASTER shall notify School of its noncompliance, but will not change the duties or frequencies unless directed to do so by School. School retains the responsibility for any liability arising from noncompliance and agrees to indemnify and hold SERVICEMASTER harmless from any liability imposed on SERVICEMASTER due to the failure of School to comply with applicable standards or regulations. 2. SERVICEMASTER shall provide advice to School regarding School's obligations to comply with applicable federal, state or local building or construction code requirements where known to SERVICEMASTER. Advice in such matters is understood to be supplementary to architects and engineers of School
therefore, School agrees to indemnify and hold SERVICEMASTER harmless from any liability imposed on SERVICEMASTER due to any noncompliance or violation of such requirements by School. Exhibit "A" Page 7 III. MAINTENANCE DEPARTMENT DUTIES A. B. Responsibilities 1. Preventive Maintenance: Pre-scheduled maintenance designed to maintain equipment and structure in normal operating condition. 2. Corrective Maintenance: Program designed to return equipment or structure to normal operating condition. 3. Casualty Prevention and Control : Safety inspections and tasks designed to minimize and control casualties to structure, equipment and personnel. 4. Minor Construction : Minor changes or additions to facility. 5. Plant Operations : Routine day-to-day operation of environmental systems to include careful control, adjustment, monitoring and recording of equipment functions. 6. Operational Energy Management (OEM): Program designed to minimize energy consumption through personnel education and proper equipment operation, maintenance and control. 7. Computerized Maintenance Management System : ServiceMaster computerized system for maintenance management with 24-hour on-site computer access to complete plant equipment records, personnel records, cost and hours records and energy management information. Resource Management SERVICEMASTER shall advise School of maintenance resource requirements. Maintenance actions shall respond to the School's current designation of priorities for the completion of preventive maintenance, corrective maintenance, and minor construction (additions, alterations, modifications) in consideration of SERVICEMASTER recommendations. SERVICEMASTER shall advise School should priorities require reduced standards of preventive maintenance. SERVICEMASTER shall administer Plant Operations and Maintenance purchased services to include: I. Recommendation of services 2. Control of services for timely completion, satisfactory performance, proper materials, and agreed costs. Exhibit "A" Page 8 C. Formalized Maintenance Program SERVICEMASTER shall develop, implement and maintain effective programs for the standardization of maintenance. These programs shall be based on the SERVICEMASTER computer-assisted maintenance scheduling, control and documentation system for maximizing cost and management effectiveness. These programs shall be designed to promote the longevity of equipment and structure, reduce costly breakdowns, control costs and meet emergency requirements. 1. Preventive Maintenance SERVICEMASTER shall implement and manage an ongoing system of periodic maintenance on structures and electromechanical equipment. Preventive maintenance procedures and frequencies shall be based on the Computerized Maintenance Management system and shall meet or exceed minimum regulatory agency and manufacturers' requirements. 2. Corrective Maintenance SERVICEMASTER shall implement a corrective maintenance program to both initiate corrective maintenance and to respond to user initiated maintenance requests. This program shall include a formalized maintenance request system with provisions for prioritization of requests and feedback to the initiator in regard to scheduled repair time. Equipment and structure deficiencies which threaten the safety of building occupants or the primary academic mission of the School shall be responded to on an emergency basis. 3. Casualty Prevention and Control (a) The resident SERVICEMASTER manager will be available to serve as a member of the safety committee if directed by School administration. (b) SERVICEMASTER shall advise and implement to the extent requested and authorized by School, casualty prevention and control programs and measures for custodial and maintenance in contribution to a structurally and functionally safe facility. SERVICEMASTER shall recommend and assist in the administration of casualty prevention and control programs to include: (1) Assistance with written fire programs (2) Assistance with instruction of School staff in emergency responsibilities Exhibit "A" Page 9 (3) Assistance in developing the format and content of inspections and tests (4) Liaison with insurance and regulatory organizations (5) Reduction of safety hazards (mechanical and electrical) ( 6) Assistance with the preparation of School's external and internal disaster plan (7) Provisions for emergency services and utilities 4. Minor Construction Minor construction projects are a specifically limited part of the plant operations and maintenance program. Where individual projects exceed 10% of the allocated hours, they shall be considered Facility Improvement Maintenance and will be subject to negotiation to determine the feasibility of accomplishing the project in-house or inviting bids and awarding a contract for accomplishment. It is understood that any authorized expenditure of man-hours over the above agreed upon figure will be at the expense of other programs. SERVICEMASTER personnel shall supervise minor building alterations in accordance with designs originated by others and approved by authorities having jurisdiction. Minor construction requirements .shall be approved by the School. All requisitions requiring the expenditure of materials shall also be approved by School. 5. Plant Operations 6. SERVICEMASTER shall develop, implement and maintain a plant operations program designed to insure an environment conducive to the learning process. School employees shall be trained in the efficient and safe operation of environmental systems Operational Energy Management (OEM) SERVICEMASTER shall design, implement and maintain an operational energy management program. Energy consumption shall be controlled through the proper operation and maintenance of School's environmental systems. D. Property Identification The following Plant Operations and Maintenance materials shall become the property of School. POM02M POM0ID Work Order Summary Sheet and Additional Work Order Sheets and Corrective Maintenance Summary Inventory Edit List Exhibit "A" Page JO 73001 Daily Journal 73015 Maintenance and Repair Requisitions 73012 Service Request/f rouble Call Log 73008 Roof Inspection Sheet 73006 Fire Extinguisher Inspection Log 73023 Emergency Generator Log 73029 Automatic Heat, Smoke Detector and Fire Alarm Test Record 73031 Sprinkler Valve Inspection, Fire Drill Log and Sprinkler Drop Test 73018 Filter System Log 73013 Inventory Control Sheet 73017 Water Test Control Log 73055 Contractor Service Log Purchase Order Records (locally reproduced), Valve Schedules and Charts Transportation Log (locally reproduced) All other materials will remain the property of ServiceMaster Management Services Corporation. IV. CUSTODIAL DUTIES TO BE PERFORMED A. GENERAL - Monday through Friday - First/Second/Third Shift 1. Work Schedules The custodial and maintenance employees will be instructed and their schedules will be written so as to be as flexible as possible to meet the many and various requests or needs of the Administration. 2. Outside Grounds Outside grounds of all entrances will be policed daily, five times per week. B. CLASSROOMS AND OFFICES - Monday through Friday - First/Second/Third Shifts 3. Main cleaning of floors - Daily, five days per week Thoroughly clean all traffic areas using a chemically treated dust mop or vacuum where appropriate. 4. Wet cleaning of floors - Weekly, one time per week Wet clean hard surface floors with an appropriate floor chemical designed to extend the life of the floor finish. Provide a schedule to Administration showing which rooms and areas are to be done. The wet cleaning of floors Exhibit "A" Page 11 will be provided one time per week, month. Shampoo carpeted floors on a project basis. 5. Spot cleaning of floors Remove spots from spillage on hard surface and carpeted floors as needed. 6. Check and spot clean - Daily, five days per week Spot clean walls, doors and electric switch plates. Clean interior of glass doors and glass partitions. Remove graffiti. Adjust shades or blinds to a uniform height throughout the buildings. 7. Trash Receptacles - Daily, five days per week Empty and clean wastepaper baskets and ashtrays. Wet wipe with an odor controlling solution as needed. Reline wastebaskets where necessary. (Liners to be provided by SCHOOL.) 8. Wet wipe - Weekly/On a Project Basis All office and classroom desks will be dusted and/or wet cleaned once per week when cleared. All desks, including student desks, will be cleaned on a project basis annually. 9. Chalkboards, Chalktrays, Slate Blackboards and Pencil Sharpeners - Weekly Dust and wet clean chalktrays and slate blackboards, empty pencil sharpeners, and erase chalkboards weekly. 10. Laboratories - Biology, Chemistry, (Earth) Science, Physics - Daily, five days per week and/or project Perform points 1 through 7 Equipment, chemical sinks, hoods, shelves and countertops will be cleaned by students or other SCHOOL personnel. 11. Art Rooms - Daily, five days per week and/or project Perform points 1 through 7 Kilns, ovens, countertops and sinks will be cleaned by students or other SCHOOL personnel. 12. Library Daily, Weekly, five times per week Exhibit "A" Page 12 Perform points 1 through 7. All book cleaning to be done by students or SCHOOL personnel. 13. Auditoriums, Stages, Music Rooms - Daily and Project Perform points 1 through 7 Cleaning of equipment will be performed by students or other SCHOOL personnel. Refinishing of the stage floor will be the responsibility of the custodial staff. 14. Industrial Arts Department Perform points 1 through 7 in the Industrial Arts classrooms. Students and instructors will perform all shop cleaning. C. NON-CLASSROOM AREAS 1 5. Custodial and Maintenance Closets as required Clean and maintain all custodial and maintenance closets. 16. Metal work-As required/weekly Clean, polish and maintain all bright metal work. 17. Drinking fountain - Daily, five days per week Wet clean and disinfect drinking fountains with a germicidal solution. 18. Public telephones - Daily, five days per week Wet clean and disinfect public telephones with a germicidal solution. 19. Stairways - Daily, five days per week Dust down, dry mop and spot wet mop once per day, five days per week. 20. Corridors - Daily, five days per week Thoroughly dry mop with a chemically treated mop daily, five times per week, and spot wet mop as needed. Wet clean all hard surface corridors thoroughly once per week. Thoroughly vacuum all carpeted corridors five times per week. Remove spots as necessary. Exhibit "A" Page 13 21. Public entrances - Daily, five days per week Spot clean glass doors and clean entrance floor area as needed. Vacuum walk off mats. Sweep exterior steps and sidewalk in front of main entrances. Entrance steps and sidewalks will be cleaned by custodial. 22. Kitchen and kitchen storerooms - Daily, five days per week All cleaning of kitchen areas will be by Food Service personnel. Cleaning of floors and equipment will be by Food Service personnel. 23. Cafeteria - Daily, five times per week Thoroughly wet clean floor area once daily, five times per week. Wet wipe all tables and chairs on a project basis. Cleaning of cafeteria floors will be performed by custodial personnel, one time per day. Cleaning of tables and chairs will be by Food Service personnel. Spot cleaning of floors will be done throughout feeding periods. 24. Kitchen - Annually The kitchen floors, walls, vents, hoods, ovens, equipment, and refrigerators will be thoroughly cleaned by food service personnel. All cleaning of food preparation equipment will be the responsibility of Food Service personnel. 25. Bathrooms - Daily, five times per week Completely clean and disinfect washrooms including: a. Wet wipe fixtures, shelves and ledges with a germicidal solution. b. Clean and disinfect both the inside and outside of urinals, toilet bowls and sinks. c. Replenish the supply of dispenser items such as toilet tissue, soap and paper towels. (These items provided by SCHOOL.) d. Wet clean and disinfect floors with a germicidal solution. e. Clean and polish mirrors. f. Provide daily spot checking and cleaning as needed. Exhibit "A" Page 14 26. Locker rooms and shower - Daily, five days per week Police areas. Wet clean floor with a gennicidal solution. Daily maintenance of lockers to be done by students or district personnel. Cleaning of inside of lockers to be done annually by custodial personnel. 27. Conditioning area - Weekly Dry and wet mop floors with a germicidal solution. Vacuum carpets and sanitize mats on a scheduled basis. 28. Athletic Program - Daily, five days per week a. Gymnasium, Field House Perform dry mopping and/or sweeping of floors one time per day and prior to as well as following all interscholastic sporting events. Clean bleachers and grandstand areas after use and as needed. Prepare floor surfaces with proven finishes and cleaners on a project basis. b. Wrestling, Gymnastic and Dancing Rooms Dry mop floor daily one time per day and prior to and as well as following all interscholastic sporting events. Clean matting on a weekly basis. Prepare floor surface with specified cleaners as needed. D. OTHER CUSTODIAL/MAINTENANCE DUTIES 29. Cleaning and relamping oflight fixtures - as needed Light fixtures will be cleaned once per year. Some relamping will be provided as needed. 30. Window cleaning - Annually All cleaning of the interior and exterior of all windows up to the second level will be done annually by custodial personnel. 31. Security - As needed The custodial and maintenance employees will have the responsibility of opening buildings per administration's direction. Tum off all lights and Exhibit "A" Page I 5 lock all doors and windows at the completion of cleaning each room. Lock all doors after extracurricular activities and provide weekend supervision over community events when assigned by administration. 32. Trash removal - Daily, five times per week Remove trash from all areas of the SCHOOL and take to incinerator, dumpster, compactor area. 33. Floor finishing Follow a carefully planned program of applying correct finishes and maintaining the floor surfaces throughout SCHOOL. Refinish floors on a scheduled program that will take into account the different use conditions, traffic, types of floors and activities in each area of SCHOOL. A floor buffing program one time per week will be established and coordinated with each building administrator. 34. Carpet/furniture cleaning Service carpe~ and furniture on a scheduled program that will take into consideration the different use conditions, traffic, types of floors and activities in each area of SCHOOL. All of these programs will utilize the unique SERVICEMASTER method of carpet care developed by ServiceMaster laboratories. 35. Grounds care and snow removal Scheduled grounds care and snow removal will be provided for the lawns, trees, shrubs, sidewalks, and roadways to provide a safe and attractive environment. This includes cutting grass, trimming and fertilizing of grass and shrubbery. In addition, we will handle the policing of roads, walks, leaves, trimming trees and supervision of contract snow removal. Staffing and expense for these programs will be in line with the SCHOOL's budgets. 36. Transportation and grounds vehicles - As needed All vehicle maintenance cleaning and refueling will be the responsibility of district SCHOOL personnel. 37. Other miscellaneous projects of a cleaning nature will be done such as: a. Removal of graffiti Exhibit "A" Page 16 b. Cleaning of grills and vents c. Delivery of general custodial supplies from central warehouse to other FACILITIES. d. Machine scrubbing of all ceramic tile floors in showers and lavatories to remove odors, grease and reduce the possibility of bacterial and fungal growth. e. Minor ceiling repair and replacement will be. done on an as needed basis by maintenance personnel. f. Minor repairs of doors will be the responsibility of the Maintenance Department. g. Minor electrical and plumbing repairs will be the responsibility of the Maintenance Department. h. Minor repair of audiovisual equipment will be coordinated through the Maintenance Department. 1. Custodial service will be provided for community and extracurricular activities on SCHOOL premises as approved by SCHOOL administration. J. Custodians will be responsible to aid in the setting up of chairs and tables for activities on SCHOOL property. 38. Summer Program All facilities used for any approved summer or week-end/after school program will be maintained within the schedule of items A - D and paid for from custodial accounts as per existing practice. V. GROUNDSCARE SERVICEMASTER shall develop, implement and maintain an effective program of grounds maintenance. The program shall be designed to promote the safe and enjoyable use of recreational facilities as well as the overall attractiveness of the School. All equipment and supplies necessary to perform these services, including but not limited to tractors, lawn mowers, edgers, trucks, hand tools, seed, fertilizer, lime, herbicides, mulch, plant material, hoses and sprinklers is the responsibility of the School. Exhibit "A" Page I 7 The following services will be perfonned: I. General Turf Maintenance 2. The levels and frequency of turf-care for each site shall be established by mutual agreement between SERVICEMASTER and School and will be based on specific site use, relative impact on overall site appearance and safety factors. Mowing Mowing will be done at regular intervals to conf onn to good turf care practices. Rate of growth, level of care and cultural practices will all influence frequency of mowing. Frequencies in rapid growth seasons will be increased to keep up with needs, conditions pennitting. Frequency will be reduced during dry periods. Mowing height will be detennined by the type of grass present and use of the turf areas. 3. Aeration 4. Core aeration. will be done at least once a year on all lawn and athletic . field areas provided that equipment is supplied by School. Areas of heavy use will receive additional aeration to help promote a soil structure favorable to plant growth. Soil Sampling Within six months of the commencement of this contract, soil samples will be taken from appropriate areas to determine soil nutrient levels. Results of soil sample analysis will be used to determine a proper liming and fertilization program. Expense for the sample analysis will be paid by the School. 5. Liming Application of liming materials will be made based on soil sample results. Materials and equipment necessary to apply liming materials will be supplied by the School. 6. Fertilization Areas to be fertilized will receive treatments based on level of care and soil sample results. Timing and frequency will be based on good turf Exhibit "A" Page 18 management practices. Fertilizer and application equipment will be supplied by the School. 7. Turf Repair Seeding or sodding in established turf areas will be performed as needed on damaged areas. Seed or sod best suitable to the climate and use of the turf area will be used. Athletic fields will be overseeded if necessary at the end of the season or in early spring. Seeding will be done with a verticut seeder if available .. Materials and equipment to complete repairs will be supplied by the School. 8. Irrigation Watering of areas of primary concern will be carried out as needed and as equipment permits. Frequency will be based on climatic and turf conditions. A supply of water and equipment for application will be supplied by the School. 9. Weed Control Weeds in turf, paved areas, and along fences, walls and curbs will be controlled as permissible under herbicide application licensing regulations. Materials and equipment for weed control will be supplied by the School. 10. Field Lining 11. 12. 13. Field lining will be done by members of the School Athletic Department, and grounds personnel. Playground Equipment Playground equipment will be inspected annually and repaired as needed during the year. Supplies and parts for repair will be supplied by the School. Shrubs Pruning and shaping will be performed at the appropriate time based on plant growth. Dead, diseased and damaged limbs within easy access of ground will be removed. Appropriate equipment and disposal sites will be supplied by the School. Mulching of Beds Exhibit "A" Page 19 Beds to be mulched will be weeded prior to placement of mulch. Application of pre-emergent herbicide will be done in compliance with local herbicide licensing regulations. Mulched areas shall be edged and mulch maintained to an average depth of two inches. Materials and equipment necessary for bed maintenance will be supplied by the School. Exhibit "A" Page 20 Exhibit "B" The grounds equipment listed below is to be provided by ServiceMaster. Type of Size/ Cost Equip. Equipment M2!!d ~ Q!l:& Eah. ~ Mower Outfront 4x4 72" 4 $16,000 $64,000 Mower Walk-behind 36" 5 3,800 19,000 Edger Stickedger 5 300 1,500 Trimmer String 5 300 1,500 Blower Backpack 5 300 1,500 Trimmer Hedge 3 350 1,050 Exhibit "C" BUDGET 95/96 SALARIES 2539-120 VO TECH 85,149.00 1199-140 SUBS 200,000.00 FUND 12-2542-120 MAGNET 372,934.00 2542-120 CUST 2,561,168.75 SUBTOTAL 3,219,251.75 2542-121 MAINT 1,109,338.00 2541-120 SER AREA 175,750.00 2548-120 ASB 55,115.43 SUBTOTAL 1,340,203.43 TOTAL SAL 4,559,455.18 210+240 ABOVE FUNCTIONS BENEFITS 720,591.26 TOTAL LABOR 5,280,046.44 SUPPLIES CUST 400,500,600 OBJECTS 2541,2,4,5,8 MAINT 198,641.00 FUND 12 MAGNET 15,000.00 TOTAL 213,641.00 300 OBJECTS 2541,2,4,5 EXCEPT 321-323 PURCH SER 1,035,999.00 UTILITIES FUND 12 MAGNET 576,335.00 2542-322 ELECT 2,791,665.00 2542-321 GAS 698,200.00 2542-323 WATER 184,100.00 TOTAL 4,250,300.00 GRAND TOTAL 10,779,986.44 Executive Overview for Little Rock School District Little Rock, Arkansas ServiceMASTER, Table of Contents Custodial Services Maintenance Services Grounds Services Technical Support and Resources ServiceMaster, the Company Partial Reference List ServiceMASTER, Custodial Management Services ServiceMaster manages the cleaning of over 200 million square feet of floors daily. The Objective: ServiceMaster's innovative custodial management programs are designed to work in partnership with you. We specialize in creating and sustaining an attractive, clean and safe environment. Our programs have successfully provided measurable results by improving quality, containing costs, training and motivating support employees and minimizing risks. Our goal is to work with you to provide a customized program which meets your objectives. This is achieved through effective, professional on-site management, combined with proven resources adds up to a program you can depend upon. The primary concern is to enhance the overall quality of your learning environment, while relentlessly seeking cost containment measures. Proven experience has helped us implement quality custodial management programs which have met the demands of over 500 education customers nationwide. A Partnership Designed For Results Improves Quality Contains Costs Trains and Motivates Employees Minimizes Risks The Value: You can depend on the ServiceMaster Custodial Management Program to: g Provide professional, on-site management. g Improve overall efficiency. g Improve the quality of employee contributions. g Control costs. g Reduce tension and strife among workers caused by uneven work schedules. g Maintain a consistent and high level of quality. g Create a cleaner, more pleasing environment for learning. g Provide a sense of ownership and responsibility for all employees. g Implement training and motivational programs for all support employees. ~ Provide proven expertise in cleaning products and systems for dependable and effective results. g Provide methods to improve response time by accurately assessing tasks accomplished and tasks in need of being completed. ~ Extend the life and improve the appearance of all carpet, hard floors and walls. ~ Provide solutions to your custodial challenges through an extensive technical support network of specialists and systems engineers. IS!r' Provide accurate and timely information on costs for both long-term and short-term budget projections. 1S!r' Provide proven methods and systems to make well-informed decisions regarding costs, people, special projects and day-to-day custodial care. -2- The Specifics: In addition to providing a professionally trained on-site manager, ServiceMaster brings a wealth of proven systems, procedures and equipment. For over a decade we have helped administrators implement comprehensive custodial partnerships. These successful partnerships can be attributed to the specifics of our program including the state-of-the-art systems and procedures ServiceMaster has developed. The following briefly highlights the specifics of the Custodial Management Program that ServiceMaster will provide for your education facility. Equipment - ServiceMaster provides effective, labor saving equipment, designed specifically to meet the demands of an education environment. Cleaning Systems - Special cleaning agents, germicides, and floor care products are carefully formulated by ServiceMaster to ensure consistent quality and compatibility with each other. Effective Procedures - ServiceMaster's laborsaving procedures have been developed by our research experts, field tested and refined to ensure product compatibility, effectiveness and quality control. Custodial Management Information System Production Scheduling Personnel Management Financial Management Quality Control Inventory Management Employee Work Schedules Integrated Work Processes for Each Employee Proven Carpet Cleaning Program Floor Finishing Program Wall Cleaning Program -3- The Specifics (continued): Comprehensive Technical Library including: Product Safety Hard Surface Floors Carpets Walls Gymnasium General Cleaning Swimming Pool Care High Dusting Program Comprehensive Gymnasium Floor Program Daily Hard Surface Dry Mopping Program Regular Cleaning of Bathrooms and Lockers Routine Damp Cleaning of All Window Ledges and Furniture AHERA Asbestos Training Public Bathroom Monitoring to Prevent Vandalism Standard Operating Procedures and Policies Developed to Adhere to State and Federal Regulatory Agencies At ServiceMaster, we believe that your support, commitment and objectives are crucial to a successful program. Our programs are designed to work in collaboration with you to provide results on which yoi.: can depend. -4- Maintenance Management Programs ServiceMaster Plant Operations and Maintenance managers are responsible for over 135 million square feet of structures. The Objective: What separates the ServiceMaster Maintenance Management Program from other programs? Focus. ServiceMaster provides technically trained, on-site managers, tools and supportive resources to focus your maintenance program on achieving planned, quantified results. You can rely on the ServiceMaster Maintenance Management Program to: 1) reduce daily disruptions caused by equipment failure, 2) extend the life of electro-mechanical equipment, 3) minimize risks and liability, 4) improve average response time to mechanical concerns, and 5) control costs in all areas. ServiceMaster offers a proactive solution to managing your physical plant. Our goal is to deliver a program which demonstrates value, effectiveness and cost containment. By implementing effective procedures, resources and management tools, we are confident that together we can provide a program designed for results. A Partnership Designed For Results Extends Equipment and Building Life Improves Response Time Reduces Liability Controls Costs The Specifics: In addition to providing a professionally trained on-site manager, ServiceMaster brings a wealth of proven systems, procedures and equipment. For over a decade we have helped administrators implement comprehensive custodial partnerships. These successful partnerships can be attributed to the specifics of our program including the state-of-the-art systems and procedures ServiceMaster has developed. The following briefly highlights the specifics of the Custodial Management Program that ServiceMaster will provide for your education facility. Equipment - ServiceMaster provides effective, labor saving equipment, designed specifically to meet the demands of an education environment. Cleaning Systems - Special cleaning agents, germicides, and floor care products are carefully formulated by ServiceMaster to ensure consistent quality and compatibility with each other. Effective Procedures - ServiceMaster's laborsaving procedures have been developed by our research experts, field tested and refined to ensure product compatibility, effectiveness and quality control. Custodial Management Information System Production Scheduling Personnel Management Financial Management Quality Control Inventory Management Employee Work Schedules Integrated Work Processes for Each Employee Proven Carpet Cleaning Program Floor Finishing Program Wall Cleaning Program -3- The Specifics (continued): Comprehensive Technical Library including: Product Safety Hard Surface Floors Carpets Walls Gymnasium General Cleaning Swimming Pool Care High Dusting Program Comprehensive Gymnasium Floor Program Daily Hard Surface Dry Mopping Program Regular Cleaning of Bathrooms and Lockers Routine Damp Cleaning of All Window Ledges and Furniture AHERA Asbestos Training Public Bathroom Monitoring to Prevent Vandalism Standard Operating Procedures and Policies Developed to Adhere to State and Federal Regulatory Agencies At ServiceMaster, we believe that your support, commitment and objectives are crucial to a successfu. program. Our programs are designed to work in collaboration with you to provide results on which yot can depend. -4- Maintenance Management Programs ServiceMaster Plant Operations and Maintenance managers are responsible for over 13 5 million square feet of structures. The Objective: What separates the ServiceMaster Maintenance Management Program from other programs? Focus. ServiceMaster provides technically trained, on-site managers, tools and supportive resources to focus your maintenance program on achieving planned, quantified results. You can rely on the ServiceMaster Maintenance Management Program to: 1) reduce daily disruptions caused by equipment failure, 2) extend the life of electro-mechanical equipment, 3) minimize risks and liability, 4) improve average response time to mechanical concerns, and 5) control costs in all areas. ServiceMaster offers a proactive solution to managing your physical plant. Our goal is to deliver a program which demonstrates value, effectiveness and cost containment. By implementing effective procedures, resources and management tools, we are confident that together we can provide a program designed for results. A Partnership Designed For Results Extends Equipment and Building Life Improves Response Time Reduces Liability Controls Costs The Value: You can rely on the ServiceMaster Maintenance Management Program to: ~ Provide professional, on-site management. lir Focus on proactive solutions. lir Provide measurable results. lir Give administration accurate, detailed financial information for projecting capital expenditure and replacement. lir Provide proven one-on-one training resources in specific technical areas for all maintenance support employees and supervisors. lir Give administration a clear understanding of the results which have been achieved. lir Reduce the likelihood of emergency breakdowns and repairs. lir Include a complete Technical Resource Library and Manufacturer's Instruction Library for quick access to answers for specific maintenance challenges. 1ir Provide solutions for your maintenance concerns through an extensive network of technical experts and professionals. lir Provide a single source ofresponsibility. [jf' Ensure administrator comfort and peace of mind. The Specifics: Your ServiceMaster Maintenance Management Program is designed to keep your physical plant operating smoothly and efficiently. We have created a program which targets and brings balance to these specific areas of maintenance: World's Largest Maintenance Data Base Local Technical Support Preventive Maintenance Corrective Maintenance Casualty Prevention Minor Construction Plant Operations Energy Management Personnel Information Management A vital component of your ServiceMaster Maintenance Management Program is a computer assisted maintenance information system, developed to improve management control and effectiveness. This ~"1mputerized system handles: FACT ServiceMaster Manages a Data Base of Over 22 Million Pieces of Electro-Mechanical Equipment Every Day. Standard operating procedures and life expectancy data Comprehensive schedules for preventive maintenance tasks Productivity information for each employee Specific cost accounting information for labor, parts and service for each building Up-to-date safety information Current work order status The Specifics (continued): The ServiceMaster Maintenance Management Program will also take on the following responsibilities and provide you with the comfort of knowing that they are being properly maintained. Heating, ventilation and air-conditioning systems All boilers Hot water systems, portable and other waste systems Refrigeration Electrical power and lighting distribution Local, state, federal code compliance In addition to our management services and on-site comprehensive training programs, ServiceMaster will provide your staff with a variety of technical resources. FACT The ServiceMaster Program Guarantees Total Quality Services for Your Facility -4- A Technical Resource Library including detailed infonnation on such topics as: Steam Generation Electrical Plant Components Piping, Compressors, Pumps and Lubricants Refrigeration and Air Conditioning Steam Power Fundamentals Structures Painting and Grounds Plant Operations Manual AHERA Asbestos Training The Specifics (continued): A Manufacturer's Instruction Library will be established and maintained for all equipment. Information will include: Standard Operating Procedures Maintenance Programs Casualty Prevention and Control Financial and Materials Management Maintenance and Repair Requisition System Personnel Selection and Development Logs documenting locations and work performed will be provided including: Filter Logs Electrical Safety Fire Alarm Systems Daily Journal of Rounds Boiler & Chiller Logs FACT ServiceMaster has a 95% Customer RetentionRate Exceptional in the Service Industry ServiceMaster continues to dedicate significant resources each year to develop additional systems, methods and procedures of handling maintenance requirements for you. ServiceMaster is committed to providing you with a program that will meet your needs today, and one that will continue to grow and evolve to meet your needs in the future. Grounds Management Services ServiceMast.er manages over 45,000 acres of grounds for customers throughout the United States. The Objective: In most cases, less than seventy percent of the community will never have the opportunity to walk through your doors to see first-hand the quality educational programs that you are providing. Therefore, Grounds could be one of the most influential fa~tors in determining public image. A strong, positive message is sent to students, parents and community through well maintained grounds and athletic fields. ServiceMaster will help you implement a comprehensive grounds program. We will provide training, motivational programs, technical specialists, cost controlling procedures, and strong leadership. By working in partnership with you, we will deliver measurable results that meet both your long-term and short-term objectives. A Partnership Designed For Results Enhances Campus Appearance Trains and Motivates People Adheres to All Safety Regulations Controls Costs The Value You can rely on the ServiceMaster Grounds Management Program to: lir' Provide professionally trained, on-site leadership. lir' Enhance the appearance of your campus. lir' Focus on results. g Motivate and train your support employees to work more effectively and conscientiously. g Resolve safety and regulatory challenges. lif" Utilize environmentally safe procedures and chemicals. g Implement proactive methods and procedures to handle all details. !ir' Respond to your specific needs. lir' Control costs. lir' Provide additional technical resources to address grounds management challenges. g Maintain a consistently high level of quality. -2- The Specifics The ServiceMaster Grounds Management Program concentrates on five important concerns to create an effective and well-balanced program: Appearance People Development Safety + Cost Effectiveness + Environmental Stewardship FACT ServiceMaster Manages Over 45,000 Acres of School Grounds Every Day By providing the following technical resources and procedures, we can provide you with the highest possible quality while operating within your budgetary limits: Proven System for Grounds Management Based On Professional departmental operations Planning and scheduling standards Technical Expertise Experienced On-Site Manager Regional Grounds Specialists Continuous corporate research and development Grounds Management Program Materials Proven Training & Motivational Materials Department Meetjngs Self-Development Manual Audio Visual Library Winter Seminars Field Days One-on-One Training The Specifics (continued): National Purchasing Agreements Equipment Supplies and Materials Soil Testing Other Grounds Related Needs ServiceMaster is also able to assist you with your landscape conceptual needs through a variety of methods. Landscape Design One of our Grounds Management Specialists will visit your site to determine your unique needs. You will then receive a written plan, photos and sketches to assist you in successfully upgrading your existing landscape. Video-Imaging Through a new process called video-imaging, we can use computer images to transform a photograph of an existing landscape. The resulting picture will show you how the completed landscape project will appear. ServiceMaster has successfully provided grounds management programs to customers for many years. We currently manage over 45,000 acres of grounds for over 500 customers throughout the United States. By providing proactive solutions and measurable results, we have helped our customers enhance their public image, train and motivate their employees, and operate within their budgetary constraints. -4- Operational Energy Management The Objective ServiceMaster is pleased to present to you an Operational Energy Management Program. This unique program is structured to protect your school from unnecessary energy consumption resulting in excessive expenditures. The Operational Energy Management Program provides additional value when combined with the Plant Operations and Maintenance Program offered by ServiceMaster. Through these two programs, the daily operations of your physical plant are ensured to be in harmony with your goals for a comprehensive energy conservation program. Both programs will focus on comfort requirements, operational management, energy conservation, and cost reductions. This provides for a highly coordinated and sophisticated approach for managing the physical assets of your plant. ServiceMaster will provide you with a dependable, single source of responsibility, along with the peace of mind that the job will be handled properly and efficiently. A Partnership Designed For Results Reduces Consumption Reduces Costs Integrates Operations Assures Comfort The Value You can depend on the ServiceMaster Operational Energy Management Technology Program to: lit" Operate a more efficient plant system that reduces energy consumption. ~ Provide documented cost information for each unit of energy consumed. lit" Provide necessary information for developing budgets on projected energy use and costs. lit" Provide additional engineering and training support over the term of the agreement. lit" Provide easy-to-read, understandable reports regarding overall energy consumption. ~ Provide historical records of energy consumption and costs. lit" Provide on-going documentation regarding the success and progress of the program. -?.- The Specifics The ServiceMaster Operational Energy Management Program is a concept intended to help management analyze the energy usage in their facility and gain involvement of all facility personnel in conserving energy. Designed to work in conjW1ction with our computerized maintenance system, this energy program will help you target specific areas and methods of conserving energy, thus reducing your overall costs. At the beginning of the program, all preventive maintenance actions that have a direct bearing on energy conservation and management are coded into the computer system through the use of a special "E" symbol. This coding alerts the director and maintenance service partners to the special significance of these energy related tasks. Each task results in a specific conservation step, method to increase equipment efficiency, or plan to increase the equipment's life cycle. All measures are directed at being cost effective. ServiceMaster Has Provided Energy Savings of Over $75,000,000 ServiceMaster is the Only Sole Source Provider of Energy and Operational Management Programs In addition, the ServiceMaster program provides a set of specific monthly assignments created to improve overall energy management. These assignments cover a ten month period. which allows two months for internal flexibility, seasonal shut down, and operational requirements. ServiceMaster provides comprehensive resource and reference materials which cover a wide range of energy conservation and related functions. ServiceMaster will seek to implement all appropriate low cost/no cost measures. The program also includes a complete analysis of energy consumption and cost in comparison to actual results over three years of energy history for a facility. By normalizing for weather and square footage changes from year to year, actual results of energy conservation efforts can be measured, and new programs for operation and equipment change can be introduced. -3- Additional Resources ServiceMaster is currently the only management services company with an entire division dedicated to energy management. Over the past fifteen years, ServiceMaster Energy Management (SEM) has completed over 3,000 energy management programs ranging from simple energy audits to large, long-term performance based programs where SEM assumed financial liability. SEM currently has over $20 million invested in facilities throughout the United States and is generating over $5 million of utility savings each year. On a portfolio basis, the actual annual energy savings achieved has been ten percent greater than projected during the initial estimate. SEM programs include a variety of flexible financing options. Customers are not required to use dollars provided by SEM. In fact, customers are encouraged to use owner funds in order to talce advantage oflower interest rates. SEM will then provide customers with risk protection from owner funds through debt service or equivalent guarantees. SEM engineers specialize in producing cost-effective capital investment programs for customers across the United States. Since SEM does not manufacture equipment or represent specific vendors, designs are typically completed generically and then bid competitively with local contractors. -4- The ServiceMaster Difference ... Technical Support and Resources As the leading provider of management support programs, ServiceMaster has committed a substantial amount of resources to providing local, regional and national technical support and expertise to our customers. These resources, along with a commitment to technical excellence, allow ServiceMaster to provide a consistent quality of service unmatched by our competitors. The following are some of the support programs and resources available to ServiceMaster customers: [) Quality Assurance Prop-am The ServiceMaster Quality Assurance Program is designed to motivate and encourage all members of the support team to strive for continuous quality improvement. Through recognition and praise for a job well done, support team members learn the value of their individual contributions and take pride in a job done right the first time. The Quality Assurance Program also encourages feedback and participation from school administration and faculty. This teamwork and mutual cooperation provides a framework for fostering an environment dedicated to both quality and productivity. [) Customer Support Center {1-800-SM-KNOWS) The Customer Support Center provides your ServiceMaster on-site manager with additional technical support to solve your facilities management challenges quickly and efficiently. By dialing 1-800-SM-KNOWS, managers can immediately access the right person to gain powerful insights on regulations, finances, personnel, purchasing decisions and a host of other topics. @J National Discount Proeram Customer Supoort Center (continued) The ServiceMaster Customer Support Center specialists take pride in: Providing immediate support. Handling all calls to the satisfaction of the caller. Providing immediate access to experts. Providing proactive solutions. Giving consistent, authoritative answers designed for results. As a result of providing facilities management to over 1600 education, healthcare and industrial facilities, ServiceMaster is able to take advantage of national discount agreements based on volume buying. This enables ServiceMaster education customers to realize savings on products and equipment that they would otherwise be unable to achieve. [!} Local Vendor Partnenhips Supporting your community is central to your mission as a school. ServiceMaster understands and supports your desire to give business to local vendors. As a result, for many of our customers, partnerships have been developed with local vendors to continue providing specific products and services. -.., - @J Minority Partnerships As an Equal Opportunity Employer, ServiceMaster continues to support and work in partnership with qualified minority service providers and vendors. @] Quality Assurance and Research Development ServiceMaster is dedicated to providing the highest quality systems and procedures to all of our customers. As a result, we continue to invest in state-of-the-art research and development practices. In addition to product and system development and testing, the ServiceMaster research and development department supports our on-site managers with technical updates and new federal, state and local mandate information. The Research and Development Department also assists on-site managers with any needs related to special problem solving. For example, additional research can be done on specific stain removal, cleaning processes or fabric analysis. This support is provided at no additional cost and is available only through ServiceMaster. To keep up with the growing needs of our customers, ServiceMaster recently opened four new quality assurance and research labs at our training and development center. 12] Prouam & Service Development Departments In addition to the Research and Development Department, ServiceMaster employs specific teams of specialists whose sole function is to update and expand our current level of support programs in each discipline of facilities management. From our plant operations and management development team, to people services development. to market development, ServiceMaster has committed the resources and time to provide you with state-of-the-art programs and services in all areas. -3- [TI Recycline Prouam [!) Nonna & Ken Wessner Leamine Center The new Leaming Center provides expanded facilities for manager training classes. This new center focuses on providing additional opportunities for growth and development. The Leaming Center is equipped with the latest in video and communication technology and further enhances our current programs. In addition to our standard programs, ServiceMaster has developed and implemented a comprehensive recycling program which is available to all of our customers. This recycling program is based on cost-effective and efficiency measures and has been successful in schools throughout the country. [I} Leeal Resources ~ Extensive Electro-Mechanical Equipment Database ServiceMaster maintains historical, maintenance and warranty information on over 22 million pieces of electro- mechanical equipment. Access to this database provides your ServiceMaster on-site manager with crucial technical information needed to make decisions regarding proper preventive and corrective maintenance procedures, warranty protections and replacement assessments. ServiceMaster legal counsel provides support to customers in the areas of labor relations, risk management and other liability issues. These attorneys do not represent the school, but can offer valuable advice and counsel in a variety of matters. -4- [!I) Relocation Program [!I} Unif onn Program ServiceMaster can provide a flexible uniform program to meet your needs. A complete program can be offered including shirts, pants, lightweight and heavyweight jackets. In addition, uniforms can be customized to include your school's name. Because ServiceMaster provides uniforms to customers throughout the country, we can provide valuable savings by qualifying for volume discounts. ServiceMaster provides a comprehensive relocation program for our managers and your requested educational administrators. This program makes relocation simple and efficient. ServiceMaster takes care of many of the administrative details such as selecting a moving carrier, arranging packing and moving dates and unpacking upon arrival. This allows managers more time to concentrate on your goals and objectives and provides minimal disruption. -5- Training & People Development ServiceMaster firmly believes that people are an organization's most valuable resource. As a result, it is our commitment to provide the very finest education and development programs for both ServiceMaster managers and support employees. Support Employees: Service Partners The attitudes and performance of support employees are crucial to the overall success of a facilities management program. It is the support employees, or Service Partners, who will make the most significant difference . in the quality of your learning environment. For that reason, we have created the ServiceMaster Partner Development Program designed to provide orientation, training, personal development and continuing education opportunities for each Service Partner we have the privilege to lead. g g g g g g g g g g g You can depend on the ServiceMaster Partner Development Program to: Motivate & Encourage Your Service Partners Provide Personal Growth Increase Productivity Reduce Absenteeism Improve Morale Increase Quality of Performance Provide a Team Environment Reduce Employee Turnover Build Employee Confidence Demonstrate the High Value of Service Partners Give Well-Earned Recognition L Orientation & Initial Trair.i1ig One-on-one orientation training is the cornerstone of your quality performance effort. With ServiceMaster, both the learner and the instructor gain the benefit of immediate feedback
and thus, experience the rewards oflearning, growing and contributing to their work environment. Experience has shown, in many cases, one of the major obstacles to learning and incorporating new procedures is a poor self-image. By recognizing worth and performance, ServiceMaster is able to help Service Partners feel good about themselves and their contributions. Our program is unique. It is based on a holistic approach which concentrates on the total person rather than just the "work" person. We raise a person's self-image by teaching them to always strive for excellence and making quality a habit ServiceMaster is able to instill values that will enhance the Service Partner's whole life. It is our commitment to people, their dignity and growth. Step 1. Step 2. Step 3. Step 4. Step 5. One-on-One Training TELL THEM. Explain the process to be learned. Use "keys" - the essential points of the content that will form a memory structure for future reference. SHOW THEM. Actually demonstrate the process stressing the procedure keys. Emphasize the main points and answer questions. Stress the benefits ofusing the "best way" to get things done. This builds credibility for you, the process and the total system. HA VE THEM SHOW BACK. Have the employee demonstrate the process. This provides the opportunity for innnediate feedback. HAVE THEM TEACH BACK. Have the employee repeat the process and actually teach it back to you. This provides assurances that they understand the "what" and "why" of the process and builds commitment to properly execute the task. We learn best by teaching. As the employee teaches you, it further locks the learning into his or her mind. TEACH THEM HOW TO EVALUATE FOR QUALITY. Show the employee what results are expected and checked. Encourage the employee to do his/her own quality evaluation and be accountable for his/her own work. Use this opportunity to be a "coach" and praise those parts of the task which were done well. Let them know we want to catch them doing things the right way. ') - IL Personal Development By directly focusing on the Service Partner, Personal Development will open new doors of information, concern and help. Central to this strategy are monthly Team Meetings. One out of three Team Meetings each quarter will be dedicated to a specific topic such as benefits, self-development, personal finance or total health. In addition, ServiceMaster will also coordinate a week long celebration called Partners Week to recognize Service Partners. This week will focus on creatively recognizing individuals for their specific accomplishments, special service contributions, length of service, attendance, and improved safety records. It promises to be a time of fun, inspiration and reinforcement for developing quality work attitudes. Service Partners Ill Continuing Education Training and Development Program Modules Sharpening individual skills is essential to achieving excellence. Continuing education supplements one-on-one training and is designed to improve both productivity and performance through learning. ServiceMaster offers a comprehensive Leadership Development Program which includes interaction, media and teaching resources. It provides even greater flexibility in teaching Service Partners who desire more responsibility as well as continuing to bring added value. Service Partner Perceiver Testing Technical Skills Assessment New Employee Orientation and Training Safety Techniques and Procedures On-Going Retraining Monthly Employee Inscrvices Individual and Group Technical Training Cros.s Training Recognition and Motivational Programs Basic Leadership Training Supervisory Development Management Development In addition, Job Skill Videos provide Service Partners the additional opportunity for postskill review and procedure reinforcement. ServiceMaster Management Development ServiceMaster is committed to the growth and development of your on-site manager. We provide our managers with continuous learning experiences beginning with our New Manager Orientation seminar, and continuing with special Management Development seminars held at various points throughout the manager's career. The ServiceMaster New Manager Orientation seminar is a vital component of our training and development program. This seminar helps new managers focus on specific leadership principles, as well as giving them the framework for understanding ServiceMaster culture, resources and various business segments. ServiceMaster strives to help our managers achieve their highest career and personal goals. By providing education resources and development tools, we encourage all of our managers to continually deliver the highest level of service quality, pursue excellence and continue to challenge themselves and those they lead. Manager Training and Development Modules Orientation Day Training Academy Field Training Program New Manager Orientation Management Review Program Management Development Seminar II - Management Styles Management Development Seminar ill - Excellence Management Development Seminar IV - Career Planning Effective Public Speaking and Presentatiom Courtesy Ambassador Program Implementation Reauitment Strategies Training Management Skills Program Financial Skills Seminar Leadership Development Program Certification Annual Fall Conferences Grounds Care Seminar Plant Operations and Maintenance Seminar Tune Management Seminar Computer Training Program Technical Specialists Seminars Partnership Video Series Plant Operations and Maintenance Career Development Program Award of Excellence Program Why ServiceMaster? ServiceMaster is the: Only company successfully providing management services for over a quarter of a century. Only management services company to be named by Fortune Magazine as THE top service company in America. Only company that develops chemicals and equipment exclusively for education environments. Only company that provides its customers the advantages of research and development laboratories rather than relying solely on consultants. Only company that offers a total program to provide support in the areas of asbestos, lead in drinking water, roofs, hazardous waste, radon, fiberglass, AHERA and ADA. Only company that has built a sizeable base of custodial, maintenance and grounds management customers through performance rather than through acquisition. Only company offering regional skills certification programs. Only company with a specific division dedicated to energy management. Only company offering staff college credit for on-site work. Only company working in partnership with SRI Gallup to implement the service worker perceivers. Only company employing full-time grounds horticulturists. ServiceMaster The Company Pursuing quality and excellence ... Treating people with dignity and pride ... Being driven by service to our customers ... Growing profitably ... these are all part of the goals and objectives of ServiceMaster. ServiceMaster continues to expand our technical resources and customer base in an atmosphere that fosters innovation, creativity and development. Long before the concept of "total quality management" was fervently discussed among businesses and learning institutions, ServiceMaster had committed itself to the objective of "Pursuing Excellence." In the early 1970's, Kenneth T. Wessner, then Chairman of the Board of Directors, wrote: "Our company accepts the responsibility to continually seek better methods to render current and new services to its' customers at a better value. Our trademarks and service marks stand for excellence ... The pursuit of excellence is a never-ending process, the continuing search for a better way. It requires a strong commitment and an understanding that a job, a career - life itself- is never completed, but is in a continual stage of change and growth." It is this philosophy that has continued to guide management and support employees. By listening to customers' needs and remaining focused on the business of providing quality services, ServiceMaster has grown from a small mothproofing business in the early 1940's to a $3.0 billion international company that provides a network of services to consumers, businesses, health care systems and education customers. In 1962, at the request of hospital administrators, the first Housekeeping Management Support Program was introduced. Based on findings from the American Hospital Association, health care professionals and additional research, ServiceMaster designed a program to improve overall cleanliness while reducing costs and management burdens. In 1971, through a series of discussions with school administrators, the company learned of the unique demands and challenges encountered in maintaining school buildings and grounds. As a result, a separate division of the company was started in order to better focus on the specific concerns of educators. Now. over 20 years later, ServiceMaster education resources include four specific divisions nationwide, staffed with operations, sales and support professionals dedicated to handle all aspects of school and college facilities management. In addition, corporate resources are committed to technical research and development. management and support employee training, motivational program development, and hiring professional~ with expertise in the education market. ServiceMaster The Company (continued): Today, as the world's leading provider of support management services to education customers, ServiceMaster continues to serve our first education customer as well as 500 additional colleges, universities and school districts. ServiceMaster is the only company in the world that can provide maintenance, custodial, grounds, energy management, food service, pest control, capital retrofit and asbestos programs all through a single source provider. ServiceMaster Sponsored Programs ServiceMaster continues to demonstrate our education commitment by providing corporate sponsorship and leadership support to a number of different education organizations and programs including: The AASA National Superintendent of the Year Program - ServiceMaster is proud to have initiated, funded and developed, along with the American Association of School Administrators, this prestigious program. The National Superintendent of the Year recognizes and honors the important contribution that superintendents of America's public schools make to our youth and the preservation of our society. Education Research and Development Institute (ERDI) - ERDI is a unique organization whose goal is to bring together innovative leadership in education and business from around the country. Initiated, funded and developed by ServiceMaster, ERDI provides a "think tank" atmosphere for Fortune 500 companies .... a forum for progressive educators to share and exchange ideas, and funding for education research and development. Flag of Learning and Liberty -The Flag of Learning and Liberty, developed in 1985 by the National School Public Relations Association (NSPRA), symbolizes the link between education and the American democratic way of life. ServiceMaster continues to provide funding and support to promote this important educa-tion symbol. ASBO International Eagle Service Award Program - The Eagle Service Award was developed by ServiceMaster and the Association of School Business Officials International to recognize business officials who demonstrate outstanding service to their school, community and the profession. In addition, ServiceMaster was named as one of President Bush's 1,000 Points of Light for providing the opportunity and funding for over 200 ServiceMaster employees to mentor elementary students. ServiceMaster also provides funding and support for the Council of Great City Schools and sponsors over 100 student scholarships nationwide. REFERENCE School District Name of Client: Richardson Independent School District Location: Richardson, Texas Services Provided: Maintenance, Custodial, Grounds, Technology Management Employees on payroll of: District Contract Start Date: October 1990 Total Square Feet/Sites: 5,008,318 sq. ft./63 Buildings Students: 33,000 Contact Person(s)/Phone: Mr. Vernon Johnson, Superintendent Mr. Jack Huffman*, Director of Physical Plant Services 214/301-3333 * Reference Contact ServiceMASTER~. REFERENCE School District Name of Client: Polk County Schools Location: Bartow, Florida Services Provided: Custodial Management Employees on payroll of: District Contract Start Date: November 1986 Total Square Feet/Sites: 7,828,000 sq. ft./109 Buildings Students: 68,000 Contact Person(s)/Phone: Dr. John A. Stewart, Superintendent * Reference Contact Mr. Denny Dunn*, Deputy Superintendent 813/534-0500 ServiceMASTER~. Name of Client: Location: Services Provided: REFERENCE School District Memphis City Schools Memphis, Tennessee Custodial, Maintenance, Grounds Management, Energy Employees on payroll of: District Contract Start Date: June 1993 Total Square Feet/Sites: 16,000,000 sq. ftJl,884 Acres Students: 106,000 Contact Person(s)/Phone: Dr. Geny House, Superintendent 901/325-5444 ServiceMASTER, .. REFERENCE School District Name of Client: Kansas City Missouri School District Location: Kansas City, Missouri Services Provided: Maintenance, Custodial, Grounds Management Employees on payroll of: District Contract Start Date: August 1991 Total Square Feet/Sites: 7,629,101 sq. ft./102 Buildings Students: 35,000 Contact Person(s)/Phone: Dr. Walter Marks, Superintendent Mr. William M. Threatt*, Associate Superintendent 816/871-7814 * Reference Contact ServiceMASTER~. REFERENCE School District Name of Client: District of Colwnbia Public Schools Location: Washington, D.C. Services Provided: Custodial, Preventive Maintenance Management Employees on payroll of: District Contract Start Date: January 1993 To
This project was supported in part by a Digitizing Hidden Special Collections and Archives project grant from The Andrew W. Mellon Foundation and Council on Library and Information Resources.

<dcterms_creator>Little Rock School District</dcterms_creator>