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Attachment 1 PROFESSIONAL SERVICES AGREEMENT THIS PROFESSIONAL SERVICES AGREEMENT ("Agreement") is entered into this 1st day of July 2021, between the CITY OF PLEASANTON, a municipal corporation ("City"), and Innovative Claim Solutions, Inc., a third party workers' compensation administrator, whose address is P.O. Box 5128, San Ramon, CA 94583, and telephone number is (925) 327-8050, ("Consultant"). RECITALS A. Consultant is qualified to and experienced in providing claims management and administration of workers' compensation self-insurance plans, and has offered its services for the purposes specified in this Agreement. B. City finds it necessary and advisable to use the services of the Consultant for the purposes provided in this Agreement. NOW THEREFORE, in consideration of the mutual covenants and conditions in this Agreement, City and Consultant agree as follows: 1. Consultant's Services. Subject to the terms and conditions set forth in this Agreement, Consultant shall provide to City the services described in Exhibit A. Consultant shall provide said services at that time, place and in the manner specified in Exhibit A. 2. City Assistance, Facilities, Equipment and Clerical Support. Except as set forth in Exhibit A, Consultant shall, at its sole cost and expense, furnish all facilities and equipment that may be required for furnishing services pursuant to this Agreement. City shall furnish to Consultant only the facilities and equipment listed in Exhibit A according to the terms and conditions set forth in Exhibit A. 3. Terms. This contract shall commence on the date written above and shall expire on June 30, 2024. The City has the option to extend the contract for two successive one year terms upon provision of sixty (60) days advance notice by the City to Consultant before the commencement of each one-year term. The City may choose to extend the contract only for a one-year term (year four) and not for the second one-year term (year five),to extend the contract for both years (years four and five), or to not extend the contract at all (years one through three only). 4. Compensation. City shall pay Consultant for services rendered pursuant to this Agreement as described more particularly in Exhibit A. The payments shall be made on a monthly basis upon receipt and approval of Consultant's invoice. Total compensation for services and reimbursement for costs shall not exceed$209,510 in year one, $215,705 in year two and $222,087 in year three of this contract. In the event the contract is extended,the City shall by Consultant $228,659 in year four and $235,429 in year five. 1IPage