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HomeMy WebLinkAbout1518 RESOLUTION NO. 1518. A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ARCADIA, CALIFORNIA FORFEITING BOND FURNISHED BY ElIIill MILLER COMPANM, CONTRACTOR, AS PRINC IPAL, AND THE GREAT AMERICAN INDEMNITY COMPANY, SURETY, DUE TO FAILURE OF CONTRACTOR TO ENTER INTO CON- TRACT FOR CONSTRUCTION OF SE\~R SYSTEM TRUNK LINES IN SAID CITY OF ARCADIA. WHEREAS, this City Council on March 26, 1946 adopted Resolution No. 1456 determining that the public interest and necessity required the acquisition and construction of a certain municipal improvement, to wit: trunk and intercep- tor sanitary sewers for said City, inCluding the acquisition of all pipe, equipment, apparatus, materials, easements and property necessary or convenient therefor, at an estimated cost of $350,000.00; and WHEREA~, by the terms of Ordinance No. 582, regularly adopted and passed by this Council on April 2, 19~6, a proposition to incur a bonded indebtedness in the amount of $350,000.00 was duly voted upon and passed by the ~ters of said ~ City; and WHEREAS, the bonds so voted as aforesaid were duly sold by said City on June 18, 1946; and WHEREAS, following preparation of suitable plans and specifications, bids were regularly called for the acquisition and construction of said municipal improvement; and WHEREAS, said sealed bids were duly opened r;jo,-Q \....~ on August 20, 1946, whereupon it was determined by this Council that Mike Miller Company was the lowest, responsible bidder in the amount of $347,129.40; and on August 26, 1946 this Council, by appropriate Resolution regularly awarded the contract for said work and improvement to said Mike Miller Company on the basis of said bid of $347,129.40; and WHEREAS, in conjunction with, and ac- companying, the bid of said Mike Miller Company, the said Mike Miller Company was required to, and did, furnishdo said City of Arcadia a proposal bond in the full and just sum of $37,500.00, guaranteeing that said Mike Miller Company would enter into a written contract for such work and improvement within five (5) days after said contract was awarded; that said bond, being No. 239157, was executed by Mike Miller Company, as Principal, and the Great American Indemnity Company, as Surety, on the 20th day of August, 1946, as a guarantee to said City of Arcadia that the bidder, if his bid was accepted and an award of such contract made to him, would enter into a satisfactory contract and furnish a good and sufficient bond for the faithfUl per- formance thereof and for the payment of labor and material costs; and ':; L. ~, WHEREAS, said Mike Miller Company, Con- tractor, has failed and refused, and continues to fail and refuse, to enter into said contract with said City and said Contractor now seeks to avoid the execution of such contract through legal pro- ceedings instituted on his behalf in the Superior -2- Court of the State of California: NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF ARCADIA DOES HEREBY IlESOLVE, DETERMINE AND ORDERfAS FOLLOWS: SECTION 1. That the aforementioned Bond of Mike Miller Company, Principal, and the Great American Indemnity Company, Surety, in the sum of $37,500.00 be, and the same is hereby, forfeited II ""'" ..' ,.. . .. .,' . I. ", by reason of the failure and refusal of the said Mike Miller Company to enter into the contract for the completion of said work and to give bond for the faithful performance thereof. SECTION 2. That the City Clerk is hereby instructed to forthwith notify the said Mike Miller Company and the Great American Indemnity Company of the forfeiture of said bond, and the City Attor~ey ~s_hereby instructed to take all necessary. steps to' enforce payment by suit or otherwise.of all sums due to the said City of Arcadia therefrom. SECTION ~. The City Clerk shall certify to the adoption of this Resolution. 1 I! HJ1:REJ3Y ,CERTIFY that the foregoing Resolution was adopted at a regular meeting b~ the City Council of the City of Arcadia,.Ca1ifornia held on the 17th day of September,. 1946, 'by the affirmative votes of at least t~ree Councilmen, to wit: ~ :Counci1men Adcock, Leeper, Nugent, Ormsby and None Russell None &-e dt .., ... .', City Clerk SIGNED AND APPROVED this- .lZYl day of September, 946. ATTEST: ~e:~ )J;. .# @ , C1tv ~,....1l-. _') u____ ~~-1 AYES; NOES: ABSENT: