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tz <br />Warranty Service Provider Operating Agreement <br />Authorization is provided to (Fleet Name), (hereinafter called "Warranty Service Provider") for Major Ford warranty repairs (covered in the Dealer <br />Warranty and Policy Manual): Major repairs authorization includes the following areas: Air Conditioning System, Brakes, Cooling System, Electrical, <br />Fuel Systems, Ignition, Emission Systems, Steering/Front Suspension, Wheels/Hubs/Drums, Body and Paint Gasoline Engines, Rear Axles and <br />Transmissions Repair authorization is limited to gas powered Ford cars and trucks, which are owned, leased or operated at (Fleet Location Address). <br />This agreement does not provide authorization for Diesel engine and related diesel component repairs (Fuel, Cooling and Emissions) <br />or on non -Ford gaseous fuel system components, All Warranty repairs must be performed in accordance with the Pre -Delivery <br />Service Record and the Warranty and Policy Manual. <br />It is recognized that when performing new vehide preparation and conditioning, items of an inddental nature may be encountered periodically which <br />require repair. Authorization is also given to perform such repairs prior to the vehide being placed in service and to be reimbursed by Ford Motor <br />Company for making these repairs in accordance with the provisions stated herein. <br />This authorization allows the Warranty Service Provider to daim and receive reimbursement from Ford Motor Company for performing warranty repairs <br />and is subject to the following conditions and procedures. This agreement may be terminated or cancelled, with or without cause by either party, on 30 <br />days' notice: <br />Conditions for Reimbursement of Warranty Service Provider Performed Repairs <br />• As an authorized Warranty Service Provider, the City of Everett is required to: <br />• Maintain Service facilities that are properly equipped for vehicles being repaired. <br />• Maintain current training and publication subscriptions, available through <br />Commercial Vehicle Operations (CVO) Fleet Service Representative. <br />• Maintain up-to-date diagnostic software as defined by Ford Motor Company. <br />• Possess Ford defined special service tools and equipment. <br />• Hold Ford Motor Company harmless for loss of use (vehicle downtime) related to repairs, including but not limited to <br />procuring parts or obtaining technical assistance. <br />• Failure to meet these requirements will result in termination of the Warranty Service Provider privileges with a 30 day <br />written notice from Ford Motor Company. For assistance go to www.fleet.ford.com or contact your Ford Commercial <br />Vehicle Operations Fleet Service Representative. <br />www.fleet.ford.com or <br />your <br />• Warranty repairs made from a repair location that has been self -certified, but in fact does not meet Ford Motor Company's requirements to <br />perform service will be subject to chargeback and may result in termination of this Agreement. <br />• The Warranty Service Provider agrees to make its tedinidans available for web -based and/or dassroom technical training at Ford Motor Company <br />authorized training fadiities at no cost to the Ford Motor Company. An on -site fee -based training may be available for certain vehicle applications; <br />refer to www.fleet.ford.com for spedflc training information. Note: All contracted Parts and Service personnel induding Technicians must meet <br />the same training, tooling, and part use requirements as the staff actually employed by the Warranty Service Provider. <br />• The Warranty Service Provider agrees to adhere to all prior work approval requirements as Ford Motor Company may specify, (i.e., Digital Imaging, <br />Warranty Cost Cap Tool, vehide and part inspections, warranty daims review and audit actions). <br />• Ford remanufadured engine and transmission assemblies are REQUIRED for use in warranty covered repairs when the estimated repair cost <br />exceeds the cost of an assembly. Ford Motor Company's decision to repair or replace an engine or transmission assembly is obtained by <br />completing a Cost Cap Analysis using either the web -based Cost Cap Tool, for 2000 and newer model year vehicles, or the paper Cost Cap process, <br />for 1999 and prior model year vehides. Please refer to the Warranty and Policy Manual for additional information on assembly replacements and <br />the Cost Cap process or seek additional assistance from your Ford Service Representative. <br />• Except as specified in this procedure, the Warranty Service Provider agrees to operate under the same rules and requirements as Ford/Lincoln <br />Dealers, as expressed in the Warranty and Policy Manual. <br />4-20-12 v.8 Page 1 of 5 <br />50 <br />