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CITY OF ARCADIA C-1--3Uk
CONSTRUCTION CONTRACT
SEWER MANHOLE RESTORATION AT
COMMUNITY CENTER AND SEWER MAIN REPAIR
ON SANTA MARGARITA DRIVE
1. PARTIES AND DATE. Q AThis Contract is made and entered into this �" day of /VI , 204
by and between the City of Arcadia, a public agency of the State of California ("City") and
GRBCON, Inc., a California Corporation, with its principal place of business at 5114 Elton
Street, Baldwin Park, CA 91706 ("Contractor"). City and Contractor are sometimes individually
referred to as "Party" and collectively as "Parties" in this Contract.
2. RECITALS.
2.1 City. City is a public agency organized under the laws of the State of California,
with power to contract for services necessary to achieve its purpose.
2.2 Contractor. Contractor desires to perform and assume responsibility for the
provision of certain construction services required by the City on the terms and conditions set
forth in this Contract. Contractor represents that it is duly licensed and experienced in providing
sewer related construction services to public clients, that it and its employees or subcontractors
have all necessary licenses and permits to perform the services in the State of California, and
that it is familiar with the plans of City. The following license classifications are required for this
Project: Class A.
2.3 Project. City desires to engage Contractor to render such services for the Sewer
Manhole Restoration at Community Center and Sewer Main Repair on Santa Margarita
Drive Project ("Project") as set forth in this Contract.
2.4 Project Documents & Certifications. Contractor has obtained, and delivers
concurrently herewith, a performance bond, a payment bond, and all insurance documentation,
as required by the Contract.
3. TERMS
3.1 Incorporation of Documents. This Contract includes and hereby incorporates in
full by reference the following documents, including all exhibits, drawings, specifications and
documents therein, and attachments and addenda thereto:
• Services/Schedule (Exhibit "A")
• Plans and Specifications (Exhibit "B")
• Special Conditions (Exhibit "C")
• Contractor's Certificate Regarding Workers' Compensation (Exhibit "D")
• Public Works Contractor Registration Certification (Exhibit "E")
• Payment and Performance Bonds (Exhibit "F")
• Federal Requirements (Exhibit "G")
• Addenda
• Change Orders executed by the City
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• 2012 Edition of the Standard Specifications for Public Works Construction
(The Greenbook), Excluding Sections 1-9
• Notice Inviting Bids, if any
• Instructions to Bidders, if any
• Contractor's Bid
3.2 Contractor's Basic Obligation; Scope of Work. Contractor promises and agrees,
at its own cost and expense, to furnish to the City all labor, materials, tools, equipment,
services, and incidental and customary work necessary to fully and adequately complete the
Project, including all structures and facilities necessary for the Project or described in the
Contract (hereinafter sometimes referred to as the "Work"), for a Total Contract Price as
specified pursuant to this Contract. All Work shall be subject to, and performed in accordance
with the above referenced documents, as well as the exhibits attached hereto and incorporated
herein by reference. The plans and specifications for the Work are further described in Exhibit
"B" attached hereto and incorporated herein by this reference. Special Conditions, if any,
relating to the Work are described in Exhibit "C" attached hereto and incorporated herein by this
reference.
3.2.1 Change in Scope of Work. Any change in the scope of the Work, method
of performance, nature of materials or price thereof, or any other matter materially affecting the
performance or nature of the Work shall not be paid for or accepted unless such change,
addition or deletion is approved in writing by a valid change order executed by the City. Should
Contractor request a change order due to unforeseen circumstances affecting the performance
of the Work, such request shall be made within five (5) business days of the date such
circumstances are discovered or shall waive its right to request a change order due to such
circumstances. If the Parties cannot agree on any change in price required by such change in
the Work, the City may direct the Contractor to proceed with the performance of the change on
a time and materials basis.
3.2.2 Substitutions/"Or Equal". Pursuant to Public Contract Code Section
3400(b), the City may make a finding that designates certain products, things, or services by
specific brand or trade name. Unless specifically designated in this Contract, whenever any
material, process, or article is indicated or specified by grade, patent, or proprietary name or by
name of manufacturer, such Specifications shall be deemed to be used for the purpose of
facilitating the description of the material, process or article desired and shall be deemed to be
followed by the words "or equal."
Contractor may, unless otherwise stated, offer for substitution any material,
process or article which shall be substantially equal or better in every respect to that so
indicated or specified in this Contract. However, the City may have adopted certain uniform
standards for certain materials, processes and articles. Contractor shall submit requests,
together with substantiating data, for substitution of any "or equal" material, process or article no
later than thirty-five (35) days after award of the Contract. To facilitate the construction
schedule and sequencing, some requests may need to be submitted before thirty-five (35) days
after award of Contract. Provisions regarding submission of "or equal" requests shall not in any
way authorize an extension of time for performance of this Contract. If a proposed "or equal"
substitution request is rejected, Contractor shall be responsible for providing the specified
material, process or article. The burden of proof as to the equality of any material, process or
article shall rest with Contractor.
The City has the complete and sole discretion to determine if a material, process
or article is an "or equal" material, process or article that may be substituted. Data required to
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substantiate requests for substitutions of an "or equal" material, process or article data shall
include a signed affidavit from Contractor stating that, and describing how, the substituted "or
equal" material, process or article is equivalent to that specified in every way except as listed on
the affidavit. Substantiating data shall include any and all illustrations, specifications, and other
relevant data including catalog information which describes the requested substituted "or equal"
material, process or article, and substantiates that it is an "or equal" to the material, process or
article. The substantiating data must also include information regarding the durability and
lifecycle cost of the requested substituted "or equal" material, process or article. Failure to
submit all the required substantiating data, including the signed affidavit, to the City in a timely
fashion will result in the rejection of the proposed substitution.
Contractor shall bear all of the City's costs associated with the review of
substitution requests. Contractor shall be responsible for all costs related to a substituted "or
equal" material, process or article. Contractor is directed to the Special Conditions (if any) to
review any findings made pursuant to Public Contract Code section 3400.
3.3 Period of Performance and Liquidated Damages. Contractor shall perform and
complete all Work under this Contract within 21 calendar days, beginning the effective date of
the Notice to Proceed ("Contract Time"). Contractor shall perform its Work in strict accordance
with any completion schedule, construction schedule or project milestones developed by the
City. Such schedules or milestones may be included as part of Exhibits "A" or "B" attached
hereto, or may be provided separately in writing to Contractor. Contractor agrees that if such
Work is not completed within the aforementioned Contract Time and/or pursuant to any such
completion schedule, construction schedule or project milestones developed pursuant to
provisions of the Contract, it is understood, acknowledged and agreed that the City will suffer
damage. Pursuant to Government Code Section 53069.85, Contractor shall pay to the City as
fixed and liquidated damages the sum of Two Hundred Dollars and No Cents ($200.00) per
day for each and every calendar day of delay beyond the Contract Time or beyond any
completion schedule, construction schedule or Project milestones established pursuant to the
Contract.
3.4 Standard of Performance; Performance of Employees. Contractor shall perform
all Work under this Contract in a skillful and workmanlike manner, and consistent with the
standards generally recognized as being employed by professionals in the same discipline in
the State of California. Contractor represents and maintains that it is skilled in the professional
calling necessary to perform the Work. Contractor warrants that all employees and
subcontractors shall have sufficient skill and experience to perform the Work assigned to them.
Finally, Contractor represents that it, its employees and subcontractors have all licenses,
permits, qualifications and approvals of whatever nature that are legally required to perform the
Work, including any required business license, and that such licenses and approvals shall be
maintained throughout the term of this Contract. As provided for in the indemnification
provisions of this Contract, Contractor shall perform, at its own cost and expense and without
reimbursement from the City, any work necessary to correct errors or omissions which are
caused by Contractor's failure to comply with the standard of care provided for herein. Any
employee who is determined by the City to be uncooperative, incompetent, a threat to the safety
of persons or the Work, or any employee who fails or refuses to perform the Work in a manner
acceptable to the City, shall be promptly removed from the Project by Contractor and shall not
be re-employed on the Work.
3.5 Control and Payment of Subordinates; Contractual Relationship. City retains
Contractor on an independent contractor basis and Contractor is not an employee of City. Any
additional personnel performing the work governed by this Contract on behalf of Contractor shall
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at all times be under Contractor's exclusive direction and control. Contractor shall pay all
wages, salaries, and other amounts due such personnel in connection with their performance
under this Contract and as required by law. Contractor shall be responsible for all reports and
obligations respecting such additional personnel, including, but not limited to: social security
taxes, income tax withholding, unemployment insurance, and workers' compensation insurance.
3.6 City's Basic Obligation. City agrees to engage and does hereby engage
Contractor as an independent contractor to furnish all materials and to perform all Work
according to the terms and conditions herein contained for the sum set forth above. Except as
otherwise provided in the Contract, the City shall pay to Contractor, as full consideration for the
satisfactory performance by Contractor of the services and obligations required by this Contract,
the below-referenced compensation in accordance with compensation provisions set forth in the
Contract.
3.7 Compensation and Payment.
3.7.1 Amount of Compensation. As consideration for performance of the Work
required herein, City agrees to pay Contractor the Total Contract Price of TWENTY-FOUR
THOUSAND, SEVEN HUNDRED NINETY-FOUR DOLLARS AND NO CENTS ($24,794.00)
("Total Contract Price") provided that such amount shall be subject to adjustment pursuant to
the applicable terms of this Contract or written change orders approved and signed in advance
by the City.
3.7.2 Payment of Compensation. If the Work is scheduled for completion in
thirty (30) or less calendar days, City will arrange for payment of the Total Contract Price upon
completion and approval by City of the Work. If the Work is scheduled for completion in more
than thirty (30) calendar days, City will pay Contractor on a monthly basis as provided for
herein. On or before the fifth (5th) day of each month, Contractor shall submit to the City an
itemized application for payment in the format supplied by the City indicating the amount of
Work completed since commencement of the Work or since the last progress payment. These
applications shall be supported by evidence which is required by this Contract and such other
documentation as the City may require. The Contractor shall certify that the Work for which
payment is requested has been done and that the materials listed are stored where indicated.
Contractor may be required to furnish a detailed schedule of values upon request of the City
and in such detail and form as the City shall request, showing the quantities, unit prices,
overhead, profit, and all other expenses involved in order to provide a basis for determining the
amount of progress payments.
3.7.3 Prompt Payment. City shall review and pay all progress payment
requests in accordance with the provisions set forth in Section 20104.50 of the California Public
Contract Code. However, no progress payments will be made for Work not completed in
accordance with this Contract. Contractor shall comply with all applicable laws, rules and
regulations relating to the proper payment of its employees, subcontractors, suppliers or others.
3.7.4 Contract Retentions. From each approved progress estimate, five percent
(5%)will be deducted and retained by the City, and the remainder will be paid to Contractor. All
Contract retention shall be released and paid to Contractor and subcontractors pursuant to
California Public Contract Code Section 7107.
3.7.5 Other Retentions. In addition to Contract retentions, the City may deduct
from each progress payment an amount necessary to protect City from loss because of: (1)
liquidated damages which have accrued as of the date of the application for payment; (2) any
sums expended by the City in performing any of Contractor's obligations under the Contract
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which Contractor has failed to perform or has performed inadequately; (3) defective Work not
remedied; (4) stop notices as allowed by state law; (5) reasonable doubt that the Work can be
completed for the unpaid balance of the Total Contract Price or within the scheduled completion
date; (6) unsatisfactory prosecution of the Work by Contractor; (7) unauthorized deviations from
the Contract; (8) failure of Contractor to maintain or submit on a timely basis proper and
sufficient documentation as required by the Contract or by City during the prosecution of the
Work; (9) erroneous or false estimates by Contractor of the value of the Work performed; (10)
any sums representing expenses, losses, or damages as determined by the City, incurred by
the City for which Contractor is liable under the Contract; and (11) any other sums which the
City is entitled to recover from Contractor under the terms of the Contract or pursuant to state
law, including Section 1727 of the California Labor Code. The failure by the City to deduct any
of these sums from a progress payment shall not constitute a waiver of the City's right to such
sums.
3.7.6 Substitutions for Contract Retentions. In accordance with California
Public Contract Code Section 22300, the City will permit the substitution of securities for any
monies withheld by the City to ensure performance under the Contract. At the request and
expense of Contractor, securities equivalent to the amount withheld shall be deposited with the
City, or with a state or federally chartered bank in California as the escrow agent, and thereafter
the City shall then pay such monies to Contractor as they come due. Upon satisfactory
completion of the Contract, the securities shall be returned to Contractor. For purposes of this
Section and Section 22300 of the Public Contract Code, the term "satisfactory completion of the
contract" shall mean the time the City has issued written final acceptance of the Work and filed
a Notice of Completion as required by law and provisions of this Contract. Contractor shall be
the beneficial owner of any securities substituted for monies withheld and shall receive any
interest thereon. The escrow agreement used for the purposes of this Section shall be in the
form provided by the City.
3.7.7 Title to Work. As security for partial, progress, or other payments, title to
Work for which such payments are made shall pass to the City at the time of payment. To the
extent that title has not previously been vested in the City by reason of payments, full title shall
pass to the City at delivery of the Work at the destination and time specified in this Contract.
Such transferred title shall in each case be good, free and clear from any and all security
interests, liens, or other encumbrances. Contractor promises and agrees that it will not pledge,
hypothecate, or otherwise encumber the items in any manner that would result in any lien,
security interest, charge, or claim upon or against said items. Such transfer of title shall not
imply acceptance by the City, nor relieve Contractor from the responsibility to strictly comply
with the Contract, and shall not relieve Contractor of responsibility for any loss of or damage to
items.
3.7.8 Labor and Material Releases. Contractor shall furnish City with labor and
material releases from all subcontractors performing work on, or furnishing materials for, the
Work governed by this Contract prior to final payment by City.
3.7.9 Prevailing Wages. Contractor is aware of the requirements of California
Labor Code Section 1720 et seq., and 1770 et seq., as well as California Code of Regulations,
Title 8, Section 16000 et seq., ("Prevailing Wage Laws"), which require the payment of
prevailing wage rates and the performance of other requirements on "public works" and
"maintenance" projects. Since the Services are being performed as part of an applicable "public
works" or "maintenance" project, as defined by the Prevailing Wage Laws, and if the total
compensation is $25,000 or more, Contractor agrees to fully comply with such Prevailing Wage
Laws. City shall provide Contractor with a copy of the prevailing rates of per diem wages in
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effect at the commencement of this Contract. Contractor shall make copies of the prevailing
rates of per diem wages for each craft, classification or type of worker needed to execute the
Services available to interested parties upon request, and shall post copies at Contractor's
principal place of business and at the project site. Contractor shall defend, indemnify and hold
the City, its officials, officers, employees and agents free and harmless from any claim or liability
arising out of any failure or alleged failure to comply with the Prevailing Wage Laws. Contractor
and any subcontractor shall forfeit a penalty of up to $200 per calendar day or portion thereof for
each worker paid less than the prevailing wage rates.
3.7.10 Apprenticeable Crafts. If the Total Contract Price exceeds $35,000 and if
Contractor employs workmen in an apprenticeable craft or trade, Contractor shall comply with
the provisions of Section 1777.5 of the California Labor Code with respect to the employment of
properly registered apprentices upon public works. The primary responsibility for compliance
with said section for all apprenticeable occupations shall be with Contractor. The Contractor or
any subcontractor that is determined by the Labor Commissioner to have knowingly violated
Section 1777.5 shall forfeit as a civil penalty an amount not exceeding $100 for each full
calendar day of noncompliance, or such greater amount as provided by law.
3.7.11 Hours of Work. If the Total Contract Price exceeds $25,000, Contractor is
advised that eight (8) hours labor constitutes a legal day's work. Pursuant to Section 1813 of
the California Labor Code, Contractor shall forfeit a penalty of $25.00 per worker for each day
that each worker is permitted to work more than eight (8) hours in any one calendar day and
forty (40) hours in any one calendar week, except when payment for overtime is made at not
less than one and one-half(1-1/2) times the basic rate for that worker.
3.7.12 Payroll Records. If the Total Contract Price exceeds $25,000, Contractor
and each subcontractor shall keep an accurate payroll record, showing the name, address,
social security number, work classification, straight time and overtime hours worked each day
and week, and the actual per diem wages paid to each journeyman, apprentice, worker, or other
employee employed by him or her in connection with the public work. The payroll records shall
be certified and shall be available for inspection at all reasonable hours at the principal office of
Contractor in the manner provided in Labor Code section 1776. In the event of noncompliance
with the requirements of this section, Contractor shall have 10 days in which to comply
subsequent to receipt of written notice specifying in what respects such Contractor must comply
with this section. Should noncompliance still be evident after such 10-day period, Contractor
shall, as a penalty to City, forfeit not more than $100.00 for each calendar day or portion
thereof, for each worker, until strict compliance is effectuated. The amount of the forfeiture is to
be determined by the Labor Commissioner. A contractor who is found to have violated the
provisions of law regarding wages on Public Works with the intent to defraud shall be ineligible
to bid on Public Works contracts for a period of one to three years as determined by the Labor
Commissioner. Upon the request of the Division of Apprenticeship Standards or the Division of
Labor Standards Enforcement, such penalties shall be withheld from progress payments then
due. The responsibility for compliance with this section is on Contractor. The requirement to
submit certified payroll records directly to the Labor Commissioner under Labor Code section
1771.4 shall not apply to work performed on a public works project that is exempt pursuant to
the small project exemption specified in Labor Code Section 1771.4.
3.7.13 Contractor and Subcontractor Registration. If the Total Contract Price
exceeds $25,000, then pursuant to Labor Code sections 1725.5 and 1771.1, all contractors and
subcontractors that wish to bid on, be listed in a bid proposal, or enter into a contract to perform
public work must be registered with the Department of Industrial Relations. No bid will be
accepted nor any contract entered into without proof of the contractor's and subcontractors'
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current registration with the Department of Industrial Relations to perform public work.
Contractor is directed to review, fill out and execute the Public Works Contractor Registration
Certification attached hereto as Exhibit "E" prior to contract execution. Notwithstanding the
foregoing, the contractor registration requirements mandated by Labor Code Sections 1725.5
and 1771.1 shall not apply to work performed on a public works project that is exempt pursuant
to the small project exemption specified in Labor Code Sections 1725.5 and 1771.1.
3.7.14 Labor Compliance; Stop Orders. If the Total Contract Price exceeds
$25,000, Contractor acknowledges that it is aware that this Project is subject to compliance
monitoring and enforcement by the Department of Industrial Relations. It shall be the
Contractor's sole responsibility to evaluate and pay the cost of complying with all labor
compliance requirements under this Contract and applicable law. Any stop orders issued by the
Department of Industrial Relations against Contractor or any subcontractor that affect
Contractor's performance of Work, including any delay, shall be Contractor's sole responsibility.
Any delay arising out of or resulting from such stop orders shall be considered Contractor
caused delay subject to any applicable liquidated damages and shall not be compensable by
the City. Contractor shall defend, indemnify and hold the City, its officials, officers, employees
and agents free and harmless from any claim or liability arising out of stop orders issued by the
Department of Industrial Relations against Contractor or any subcontractor.
3.8 Performance of Work; Jobsite Obligations.
3.8.1 Water Quality Management and Compliance.
3.8.1.1 Water Quality Management and Compliance. Contractor
shall keep itself and all subcontractors, staff, and employees fully informed of and in compliance
with all local, state and federal laws, rules and regulations that may impact, or be implicated by
the performance of the Work including, without limitation, all applicable provisions of the Federal
Water Pollution Control Act (33 U.S.C. §§ 1300); the California Porter-Cologne Water Quality
Control Act (Cal Water Code §§ 13000-14950); local ordinances regulating discharges of storm
water; and any and all regulations, policies, or permits issued pursuant to any such authority
regulating the discharge of pollutants, as that term is used in the Porter-Cologne Water Quality
Control Act, to any ground or surface water in the State.
3.8.1.2 Compliance with the Statewide Construction General
Permit. Contractor shall comply with all conditions of the most recent iteration of the National
Pollutant Discharge Elimination System General Permit for Storm Water Discharges Associated
with Construction Activity, issued by the California State Water Resources Control Board
("Permit"). It shall be Contractor's sole responsibility to file a Notice of Intent and procure
coverage under the Permit for all construction activity which results in the disturbance of more
than one acre of total land area or which is part of a larger common area of development or
sale. Prior to initiating work, Contractor shall be solely responsible for preparing and
implementing a Storm Water Pollution Prevention Plan (SWPPP) as required by the Permit.
Contractor shall be responsible for procuring, implementing and complying with the provisions of
the Permit and the SWPPP, including the standard provisions, and monitoring and reporting
requirements as required by the Permit. The Permit requires the SWPPP to be a "living
document" that changes as necessary to meet the conditions and requirements of the job site
as it progresses through difference phases of construction and is subject to different weather
conditions. It shall be Contractor's sole responsibility to update the SWPPP as necessary to
address conditions at the project site.
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3.8.1.3 Other Water Quality Rules Regulations and Policies.
Contractor shall comply with the lawful requirements of any applicable municipality, drainage
City, or local agency regarding discharges of storm water to separate storm drain systems or
other watercourses under their jurisdiction, including applicable requirements in municipal storm
water management programs.
3.8.1.4 Cost of Compliance. Storm, surface, nuisance, or other
waters may be encountered at various times during construction of The Work. Therefore, the
Contractor, by submitting a Bid, hereby acknowledges that it has investigated the risk arising
from such waters, has prepared its Bid accordingly, and assumes any and all risks and liabilities
arising therefrom.
3.8.1.5 Liability for Non-Compliance. Failure to comply with the
Permit is a violation of federal and state law. Pursuant to the indemnification provisions of this
Contract, Contractor hereby agrees to defend, indemnify and hold harmless the City and its
officials, officers, employees, volunteers and agents for any alleged violations. In addition, City
may seek damages from Contractor for any delay in completing the Work in accordance with
the Contract, if such delay is caused by or related to Contractor's failure to comply with the
Permit.
3.8.1.6 Reservation of Right to Defend. City reserves the right to
defend any enforcement action brought against the City for Contractor's failure to comply with
the Permit or any other relevant water quality law, regulation, or policy. Pursuant to the
indemnification provisions of this Contract, Contractor hereby agrees to be bound by, and to
reimburse the City for the costs (including the City's attorney's fees) associated with, any
settlement reached between the City and the relevant enforcement entity.
3.8.1.7 Training. In addition to the standard of performance
requirements set forth in paragraph 3.4, Contractor warrants that all employees and
subcontractors shall have sufficient skill and experience to perform the Work assigned to them
without impacting water quality in violation of the laws, regulations and policies described in
paragraph 3.8.1. Contractor further warrants that it, its employees and subcontractors will
receive adequate training, as determined by City, regarding the requirements of the laws,
regulations and policies described in paragraph 3.8.1 as they may relate to the Work provided
under this Agreement. Upon request, City will provide the Contractor with a list of training
programs that meet the requirements of this paragraph.
3.8.2 Safety. Contractor shall execute and maintain its work so as to avoid
injury or damage to any person or property. Contractor shall comply with the requirements of
the specifications relating to safety measures applicable in particular operations or kinds of
work. In carrying out its Work, Contractor shall at all times be in compliance with all applicable
local, state and federal laws, rules and regulations, and shall exercise all necessary precautions
for the safety of employees appropriate to the nature of the Work and the conditions under
which the Work is to be performed. Safety precautions as applicable shall include, but shall not
be limited to, adequate life protection and lifesaving equipment; adequate illumination for
underground and night operations; instructions in accident prevention for all employees, such as
machinery guards, safe walkways, scaffolds, ladders, bridges, gang planks, confined space
procedures, trenching and shoring, fall protection and other safety devices, equipment and
wearing apparel as are necessary or lawfully required to prevent accidents or injuries; and
adequate facilities for the proper inspection and maintenance of all safety measures.
Furthermore, Contractor shall prominently display the names and telephone numbers of at least
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two medical doctors practicing in the vicinity of the Project, as well as the telephone number of
the local ambulance service, adjacent to all telephones at the Project site.
3.8.3 Laws and Regulations. Contractor shall keep itself fully informed of and
in compliance with all local, state and federal laws, rules and regulations in any manner
affecting the performance of the Contract or the Work, including all Cal/OSHA requirements,
and shall give all notices required by law. Contractor shall be liable for all violations of such
laws and regulations in connection with Work. If Contractor observes that the drawings or
specifications are at variance with any law, rule or regulation, it shall promptly notify the City in
writing. Any necessary changes shall be made by written change order. If Contractor performs
any work knowing it to be contrary to such laws, rules and regulations and without giving written
notice to the City, Contractor shall be solely responsible for all costs arising therefrom. City is a
public entity of the State of California subject to certain provisions of the Health & Safety Code,
Government Code, Public Contract Code, and Labor Code of the State. It is stipulated and
agreed that all provisions of the law applicable to the public contracts of a municipality are a part
of this Contract to the same extent as though set forth herein and will be complied with.
Contractor shall defend, indemnify and hold City, its officials, officers, employees and agents
free and harmless, pursuant to the indemnification provisions of this Contract, from any claim or
liability arising out of any failure or alleged failure to comply with such laws, rules or regulations.
3.8.4 Permits and Licenses. Contractor shall be responsible for securing City
permits and licenses necessary to perform the Work described herein, including, but not limited
to, any required business license. While Contractor will not be charged a fee for any City
permits, Contractor shall pay the City's business license fee, if any. Any ineligible contractor or
subcontractor pursuant to Labor Code Sections 1777.1 and 1777.7 may not perform work on
this Project.
3.8.5 Trenching Work. If the Total Contract Price exceeds $25,000 and if the
Work governed by this Contract entails excavation of any trench or trenches five (5) feet or
more in depth, Contractor shall comply with all applicable provisions of the California Labor
Code, including Section 6705. To this end, Contractor shall submit for City's review and
approval a detailed plan showing the design of shoring, bracing, sloping, or other provisions to
be made for worker protection from the hazard of caving ground during the excavation of such
trench or trenches. If such plan varies from the shoring system standards, the plan shall be
prepared by a registered civil or structural engineer.
3.8.6 Hazardous Materials and Differing Conditions. As required by California
Public Contract Code Section 7104, if this Contract involves digging trenches or other
excavations that extend deeper than four (4) feet below the surface, Contractor shall promptly,
and prior to disturbance of any conditions, notify City of: (1) any material discovered in
excavation that Contractor believes to be a hazardous waste that is required to be removed to a
Class I, Class II or Class III disposal site; (2) subsurface or latent physical conditions at the site
differing from those indicated by City; and (3) unknown physical conditions of an unusual nature
at the site, significantly different from those ordinarily encountered in such contract work. Upon
notification, City shall promptly investigate the conditions to determine whether a change order
is appropriate. In the event of a dispute, Contractor shall not be excused from any scheduled
completion date and shall proceed with all Work to be performed under the Contract, but shall
retain all rights provided by the Contract or by law for making protests and resolving the dispute.
3.8.7 Underground Utility Facilities. To the extent required by Section 4215 of
the California Government Code, City shall compensate Contractor for the costs of: (1) locating
and repairing damage to underground utility facilities not caused by the failure of Contractor to
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exercise reasonable care; (2) removing or relocating underground utility facilities not indicated in
the construction drawings; and (3) equipment necessarily idled during such work. Contractor
shall not be assessed liquidated damages for delay caused by failure of City to provide for
removal or relocation of such utility facilities.
3.8.8 Air Quality. Contractor must fully comply with all applicable laws, rules
and regulations in furnishing or using equipment and/or providing services, including, but not
limited to, emissions limits and permitting requirements imposed by the California Air Resources
Board (CARB). Although CARB limits and requirements are more broad, Contractor shall
specifically be aware of their application to "portable equipment", which definition is considered
by CARB to include any item of equipment with a fuel-powered engine. Contractor shall
indemnify City against any fines or penalties imposed by CARB, or any other governmental or
regulatory agency for violations of applicable laws, rules and/or regulations by Contractor, its
subcontractors, or others for whom Contractor is responsible under its indemnity obligations
provided for in this Agreement.
3.8.9 State Recycling Mandates. Contractor shall comply with State
Recycling Mandates. Any recyclable materials/debris collected by the contractor that can be
feasibly diverted via reuse or recycling must be hauled by the appropriate handler for reuse or
recycling.
3.9 Completion of Work. When Contractor determines that it has completed the
Work required herein, Contractor shall so notify City in writing and shall furnish all labor and
material releases required by this Contract. City shall thereupon inspect the Work. If the Work
is not acceptable to the City, the City shall indicate to Contractor in writing the specific portions
or items of Work which are unsatisfactory or incomplete. Once Contractor determines that it
has completed the incomplete or unsatisfactory Work, Contractor may request a reinspection by
the City. Once the Work is acceptable to City, City shall pay to Contractor the Total Contract
Price remaining to be paid, less any amount which City may be authorized or directed by law to
retain. Payment of retention proceeds due to Contractor shall be made in accordance with
Section 7107 of the California Public Contract Code.
3.10 Claims; Government Code Claim Compliance.
3.10.1 Intent. Effective January 1, 1991, Section 20104 et seq., of the California
Public Contract Code prescribes a process utilizing informal conferences, non-binding judicial
supervised mediation, and judicial arbitration to resolve disputes on construction claims of
$375,000 or less. Effective January 1, 2017, Section 9204 of the Public Contract Code
prescribes a process for negotiation and mediation to resolve disputes on construction claims.
The intent of this Section is to implement Sections 20104 et seq. and Section 9204 of the
California Public Contract Code. This Section shall be construed to be consistent with said
statutes.
3.10.2 Claims. For purposes of this Section, "Claim" means a separate demand
by the Contractor, after a change order duly requested in accordance with the terms of this
Contract has been denied by the City, for (A) a time extension, (B) payment of money or
damages arising from Work done by or on behalf of the Contractor pursuant to the Contract, or
(C) an amount the payment of which is disputed by the City. Claims governed by this Section
may not be filed unless and until the Contractor completes all procedures for giving notice of
delay or change and for the requesting of a time extension or change order, including but not
necessarily limited to the change order procedures contained herein, and Contractor's request
for a change has been denied in whole or in part. Claims governed by this Section must be filed
no later than fourteen (14) days after a request for change has been denied in whole or in part
24347.00006\9536520.5 10
or after any other event giving rise to the Claim. The Claim shall be submitted in writing to the
City and shall include on its first page the following in 16 point capital font: "THIS IS A CLAIM."
Furthermore, the claim shall include the documents necessary to substantiate the claim.
Nothing in this Section is intended to extend the time limit or supersede notice requirements
otherwise provided by contract for the filing of claims, including all requirements pertaining to
compensation or payment for extra Work, disputed Work, and/or changed conditions. Failure to
follow such contractual requirements shall bar any claims or subsequent lawsuits for
compensation or payment thereon.
3.10.3 Supporting Documentation. The Contractor shall submit all claims in the
following format:
3.10.3.1 Summary of claim merit and price, reference Contract
Document provisions pursuant to which the claim is made
3.10.3.2 List of documents relating to claim:
(A) Specifications
(B) Drawings
(C) Clarifications (Requests for Information)
(D) Schedules
(E) Other
3.10.3.3 Chronology of events and correspondence
3.10.3.4 Analysis of claim merit
3.10.3.5 Analysis of claim cost
3.10.3.6 Time impact analysis in CPM format
3.10.3.7 If Contractor's claim is based in whole or in part on an
allegation of errors or omissions in the Drawings or Specifications for the Project, Contractor
shall provide a summary of the percentage of the claim subject to design errors or omissions
and shall obtain a certificate of merit in support of the claim of design errors and omissions.
3.10.3.8 Cover letter and certification of validity of the claim,
including any claims from subcontractors of any tier, in accordance with Government Code
section 12650 et seq.
3.10.4 City's Response. Upon receipt of a claim pursuant to this Section, City
shall conduct a reasonable review of the claim and, within a period not to exceed 45 days, shall
provide the Contractor a written statement identifying what portion of the claim is disputed and
what portion is undisputed. Any payment due on an undisputed portion of the claim will be
processed and made within 60 days after the public entity issues its written statement.
3.10.4.1 If City needs approval from its governing body to provide
the Contractor a written statement identifying the disputed portion and the undisputed portion of
the claim, and the governing body does not meet within the 45 days or within the mutually
24347.00006\9536520.5 11
agreed to extension of time following receipt of a claim sent by registered mail or certified mail,
return receipt requested, City shall have up to three days following the next duly publicly noticed
meeting of the governing body after the 45-day period, or extension, expires to provide the
Contractor a written statement identifying the disputed portion and the undisputed portion.
3.10.4.2 Within 30 days of receipt of a claim, City may request in
writing additional documentation supporting the claim or relating to defenses or claims City may
have against the Contractor. If additional information is thereafter required, it shall be requested
and provided pursuant to this subdivision, upon mutual agreement of City and the Contractor.
3.10.4.3 City's written response to the claim, as further
documented, shall be submitted to the Contractor within 30 days (if the claim is less than
$50,000, within 15 days) after receipt of the further documentation, or within a period of time no
greater than that taken by the Contractor in producing the additional information or requested
documentation, whichever is greater.
3.10.5 Meet and Confer. If the Contractor disputes City's written response, or
City fails to respond within the time prescribed, the Contractor may so notify City, in writing,
either within 15 days of receipt of City's response or within 15 days of City's failure to respond
within the time prescribed, respectively, and demand an informal conference to meet and confer
for settlement of the issues in dispute. Upon receipt of a demand, City shall schedule a meet
and confer conference within 30 days for settlement of the dispute.
3.10.6 Mediation. Within 10 business days following the conclusion of the meet
and confer conference, if the claim or any portion of the claim remains in dispute, City shall
provide the Contractor a written statement identifying the portion of the claim that remains in
dispute and the portion that is undisputed. Any payment due on an undisputed portion of the
claim shall be processed and made within 60 days after City issues its written statement. Any
disputed portion of the claim, as identified by the Contractor in writing, shall be submitted to
nonbinding mediation, with City and the Contractor sharing the associated costs equally. City
and Contractor shall mutually agree to a mediator within 10 business days after the disputed
portion of the claim has been identified in writing, unless the parties agree to select a mediator
at a later time.
3.10.6.1 If the Parties cannot agree upon a mediator, each Party
shall select a mediator and those mediators shall select a qualified neutral third party to mediate
with regard to the disputed portion of the claim. Each Party shall bear the fees and costs
charged by its respective mediator in connection with the selection of the neutral mediator.
3.10.6.2 For purposes of this section, mediation includes any
nonbinding process, including, but not limited to, neutral evaluation or a dispute review board, in
which an independent third party or board assists the Parties in dispute resolution through
negotiation or by issuance of an evaluation. Any mediation utilized shall conform to the
timeframes in this section.
3.10.6.3 Unless otherwise agreed to by City and the Contractor in
writing, the mediation conducted pursuant to this section shall excuse any further obligation
under Section 20104.4 to mediate after litigation has been commenced.
3.10.6.4 The mediation shall be held no earlier than the date the
Contractor completes the Work or the date that the Contractor last performs Work, whichever is
earlier. All unresolved claims shall be considered jointly in a single mediation, unless a new
unrelated claim arises after mediation is completed.
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3.10.7 Procedures After Mediation. If following the mediation, the claim or any
portion remains in dispute, the Contractor must file a claim pursuant to Chapter 1 (commencing
with Section 900) and Chapter 2 (commencing with Section 910) of Part 3 of Division 3.6 of Title
1 of the Government Code. For purposes of those provisions, the running of the period of time
within which a claim must be filed shall be tolled from the time the Contractor submits his or her
written claim pursuant to subdivision (a) until the time the claim is denied, including any period
of time utilized by the meet and confer conference or mediation.
3.10.8 Civil Actions. The following procedures are established for all civil actions
filed to resolve claims subject to this Section:
3.10.8.1 Within 60 days, but no earlier than 30 days, following the
filing or responsive pleadings, the court shall submit the matter to non-binding mediation unless
waived by mutual stipulation of both parties or unless mediation was held prior to
commencement of the action in accordance with Public Contract Code section 9204 and the
terms of these procedures.. The mediation process shall provide for the selection within 15
days by both parties of a disinterested third person as mediator, shall be commenced within 30
days of the submittal, and shall be concluded within 15 days from the commencement of the
mediation unless a time requirement is extended upon a good cause showing to the court.
3.10.8.2 If the matter remains in dispute, the case shall be
submitted to judicial arbitration pursuant to Chapter 2.5 (commencing with Section 1141.10) of
Title 3 of Part 3 of the Code of Civil Procedure, notwithstanding Section 1114.11 of that code.
The Civil Discovery Act of 1986 (Article 3 (commencing with Section 2016) of Chapter 3 of Title
3 of Part 4 of the Code of Civil Procedure) shall apply to any proceeding brought under this
subdivision consistent with the rules pertaining to judicial arbitration.
3.10.8.3 In addition to Chapter 2.5 (commencing with Section
1141.10) of Title 3 of Part 3 of the Code of Civil Procedure, (A) arbitrators shall, when possible,
be experienced in construction law, and (B) any party appealing an arbitration award who does
not obtain a more favorable judgment shall, in addition to payment of costs and fees under that
chapter, also pay the attorney's fees on appeal of the other party.
3.10.9 Government Code Claims. In addition to any and all contract
requirements pertaining to notices of and requests for compensation or payment for extra work,
disputed work, claims and/or changed conditions, Contractor must comply with the claim
procedures set forth in Government Code sections 900 et seq. prior to filing any lawsuit against
the City. Such Government Code claims and any subsequent lawsuit based upon the
Government Code claims shall be limited to those matters that remain unresolved after all
procedures pertaining to extra work, disputed work, claims, and/or changed conditions have
been followed by Contractor. If no such Government Code claim is submitted, or if any
prerequisite contractual requirements are not otherwise satisfied as specified herein, Contractor
shall be barred from bringing and maintaining a valid lawsuit against the City. A Government
Code claim must be filed no earlier than the date the work is completed or the date the
Contractor last performs work on the Project, whichever occurs first. A Government Code claim
shall be inclusive of all unresolved claims unless a new unrelated claim arises after the
Government Code claim is submitted.
3.10.10 Non-Waiver. City's failure to respond to a claim from the
Contractor within the time periods described in this Section or to otherwise meet the time
requirements of this Section shall result in the claim being deemed rejected in its entirety. City's
failure to respond shall not waive City's rights to any subsequent procedures for the resolution
of disputed claims.
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3.11 Loss and Damage. Except as may otherwise be limited by law, Contractor shall
be responsible for all loss and damage which may arise out of the nature of the Work agreed to
herein, or from the action of the elements, or from any unforeseen difficulties which may arise or
be encountered in the prosecution of the Work until the same is fully completed and accepted
by City. In the event of damage proximately caused by an Act of God, as defined by Section
7105 of the Public Contract Code, the City may terminate this Contract pursuant to Section
3.17.3; provided, however, that the City needs to provide Contractor with only one (1) day
advanced written notice.
3.12 Indemnification.
3.12.1 Scope of Indemnity. To the fullest extent permitted by law,
Contractor shall defend, indemnify and hold the City, its officials, employees, agents and
authorized volunteers free and harmless from any and all claims, demands, causes of action,
suits, actions, proceedings, costs, expenses, liability, judgments, awards, decrees, settlements,
loss, damage or injury of any kind, in law or equity, to property or persons, including wrongful
death, (collectively, "Claims") in any manner arising out of, pertaining to, or incident to any
alleged acts, errors or omissions, or willful misconduct of Contractor, its officials, officers,
employees, subcontractors, consultants or agents in connection with the performance of the
Contractor's services, the Project or this Agreement, including without limitation the payment of
all consequential damages, expert witness fees and attorneys' fees and other related costs and
expenses. Notwithstanding the foregoing, to the extent required by Civil Code section 2782,
Contractor's indemnity obligation shall not apply to liability for damages for death or bodily injury
to persons, injury to property, or any other loss, damage or expense arising from the sole or
active negligence or willful misconduct of the City or the City's agents, servants, or independent
contractors who are directly responsible to the City, or for defects in design furnished by those
persons.
3.12.2 Additional Indemnity Obligations. Contractor shall defend, with
counsel of City's choosing and at Contractor's own cost, expense and risk, any and all Claims
covered by this section that may be brought or instituted against City or its officials, employees,
agents and authorized volunteers. In addition, Contractor shall pay and satisfy any judgment,
award or decree that may be rendered against City or its officials, employees, agents and
authorized volunteers as part of any such claim, suit, action or other proceeding. Contractor
shall also reimburse City for the cost of any settlement paid by City or its officials, employees,
agents and authorized volunteers as part of any such claim, suit, action or other proceeding.
Such reimbursement shall include payment for City's attorney's fees and costs, including expert
witness fees. Contractor shall reimburse City and its officials, employees, agents and
authorized volunteers, for any and all legal expenses and costs incurred by each of them in
connection therewith or in enforcing the indemnity herein provided. Contractor's obligation to
indemnify shall not be restricted to insurance proceeds, if any, received by the City, its officials,
employees, agents and authorized volunteers.
3.13 Insurance.
3.13.1 Time for Compliance. Contractor shall not commence Work under
this Contract until it has provided evidence satisfactory to the City that it has secured all
insurance required under this section. In addition, Contractor shall not allow any subcontractor
to commence work on any subcontract until it has provided evidence satisfactory to the City that
the subcontractor has secured all insurance required under this section. Failure to provide and
maintain all required insurance shall be grounds for the City to terminate this Contract for cause.
24347.00006\9536520.5 14
3.13.2 Minimum Requirements. Contractor shall, at its expense, procure
and maintain for the duration of the Contract insurance against claims for injuries to persons or
damages to property which may arise from or in connection with the performance of the Work
hereunder by Contractor, its agents, representatives, employees or subcontractors. Contractor
shall also require all of its subcontractors to procure and maintain the same insurance for the
duration of the Contract. Such insurance shall meet at least the following minimum levels of
coverage:
3.13.2.1 Minimum Scope of Insurance. Coverage shall be at least
as broad as the latest version of the following: (1) General Liability: Insurance Services Office
Commercial General Liability coverage (occurrence form CG 00 01) OR Insurance Services
Office Owners and Contractors Protective Liability Coverage Form (CG 00 09 11 88) (coverage
for operations of designated contractor); (2) Automobile Liability: Insurance Services Office
Business Auto Coverage form number CA 00 01, code 1 (any auto); and (3) Workers'
Compensation and Employer's Liability: Workers' Compensation insurance as required by the
State of California and Employer's Liability Insurance. Policies shall not contain exclusions
contrary to this Contract.
3.13.2.2 Minimum Limits of Insurance. Contractor shall maintain
limits no less than: (1) General Liability: $1,000,000 per occurrence and $1,000,000 aggregate
for bodily injury, personal injury and property damage; (2) Automobile Liability: $1,000,000 per
accident for bodily injury and property damage; and (3) Workers' Compensation and Employer's
Liability: Workers' compensation limits as required by the Labor Code of the State of California.
Employer's Liability limits of $1,000,000 each accident, policy limit bodily injury or disease, and
each employee bodily injury or disease. Defense costs shall be available in addition to the
limits. Notwithstanding the minimum limits specified herein, any available coverage shall be
provided to the parties required to be named as additional insureds pursuant to this Contract.
3.13.3 Insurance Endorsements. The insurance policies shall contain the
following provisions, or Contractor shall provide endorsements (amendments) on forms supplied
or approved by the City to add the following provisions to the insurance policies:
3.13.3.1 General Liability. (1) Such policy shall give the City, its
officials, employees, agents and authorized volunteers additional insured status using ISO
endorsements CG20 10 10 01 plus CG20 37 10 01, or endorsements providing the exact same
coverage, with respect to the Work or operations performed by or on behalf of Contractor,
including materials, parts or equipment furnished in connection with such work; (2) all policies
shall waive or shall permit Contractor to waive all rights of subrogation which may be obtained
by the Contractor or any insurer by virtue of payment of any loss or any coverage provided to
any person named as an additional insured pursuant to this Contract, and Contractor agrees to
waive all such rights of subrogation; and (3) the insurance coverage shall be primary insurance
as respects the City, its officials, employees, agents and authorized volunteers, or if excess,
shall stand in an unbroken chain of coverage excess of Contractor's scheduled underlying
coverage. Any insurance or self-insurance maintained by the City, its officials, employees,
agents and authorized volunteers shall be excess of Contractor's insurance and shall not be
called upon to contribute with it.
3.13.3.2 Automobile Liability. (1) Such policy shall give the City, its
officials, employees, agents and authorized volunteers additional insured status with respect to
the ownership, operation, maintenance, use, loading or unloading of any auto owned, leased,
hired or borrowed by Contractor or for which Contractor is responsible; (2) all policies shall
waive or shall permit Contractor to waive all rights of subrogation which may be obtained by the
24347.00006\9536520.5 15
Contractor or any insurer by virtue of payment of any loss or any coverage provided to any
person named as an additional insured pursuant to this Contract, and Contractor agrees to
waive all such rights of subrogation; and (3) the insurance coverage shall be primary insurance
as respects the City, its officials, employees, agents and authorized volunteers, or if excess,
shall stand in an unbroken chain of coverage excess of Contractor's scheduled underlying
coverage. Any insurance or self-insurance maintained by the City, its officials, employees,
agents and authorized volunteers shall be excess of Contractor's insurance and shall not be
called upon to contribute with it in any way.
3.13.3.3 Workers' Compensation and Employer's Liability
Coverage. The insurer shall agree to waive all rights of subrogation against the City, its
officials, employees, agents and authorized volunteers for losses paid under the terms of the
insurance policy which arise from work performed by Contractor.
3.13.3.4 All Coverages. Each insurance policy required by this
Contract shall be endorsed to state that: (1) coverage shall not be suspended, voided, reduced
or canceled except after thirty (30) days prior written notice by certified mail, return receipt
requested, has been given to the City; and (2) any failure to comply with reporting or other
provisions of the policies, including breaches of warranties, shall not affect coverage provided to
the City, its officials, employees, agents and authorized volunteers.
3.13.4 Separation of Insureds; No Special Limitations. All insurance
required by this Section shall contain standard separation of insureds provisions. In addition,
such insurance shall not contain any special limitations on the scope of protection afforded to
the City, its officials, employees, agents and authorized volunteers.
3.13.5 Deductibles and Self-Insurance Retentions. Any deductibles or
self-insured retentions must be declared to and approved by the City. Contractor shall
guarantee that, at the option of the City, either: (1) the insurer shall reduce or eliminate such
deductibles or self-insured retentions as respects the City, its officials, employees, agents and
authorized volunteers; or (2) the Contractor shall procure a bond or other financial guarantee
acceptable to the City guaranteeing payment of losses and related investigation costs, claims
and administrative and defense expenses.
3.13.6 Acceptability of Insurers. Insurance is to be placed with insurers
with a current A.M. Best's rating no less than A:VII, licensed to do business in California, and
satisfactory to the City. Exception may be made for the State Compensation Insurance Fund
when not specifically rated.
3.13.7 Verification of Coverage. Contractor shall furnish City with original
certificates of insurance and endorsements effecting coverage required by this Contract on
forms satisfactory to the City. The certificates and endorsements for each insurance policy shall
be signed by a person authorized by that insurer to bind coverage on its behalf, and shall be on
forms supplied or approved by the City. All certificates and endorsements must be received and
approved by the City before work commences. The City reserves the right to require complete,
certified copies of all required insurance policies, at any time.
3.13.8 Subcontractors. All subcontractors shall meet the requirements of
this Section before commencing Work. Contractor shall furnish separate certificates and
endorsements for each subcontractor. Subcontractor policies of General Liability insurance
shall name the City, its officials, employees, agents and authorized volunteers as additional
insureds using form ISO 20 38 04 13 or endorsements providing the exact same coverage. All
24347.00006\9536520.5 16
coverages for subcontractors shall be subject to all of the requirements stated herein except as
otherwise agreed to by the City in writing.
3.13.9 Reporting of Claims. Contractor shall report to the City, in addition
to Contractor's insurer, any and all insurance claims submitted by Contractor in connection with
the Work under this Contract.
3.14 Bond Requirements.
3.14.1 Payment Bond. If required by law or otherwise specifically requested by
City in Exhibit "C" attached hereto and incorporated herein by reference, Contractor shall
execute and provide to City concurrently with this Contract a Payment Bond in an amount
required by the City and in a form provided or approved by the City. If such bond is required, no
payment will be made to Contractor until the bond has been received and approved by the City.
3.14.2 Performance Bond. If specifically requested by City in Exhibit "C"
attached hereto and incorporated herein by reference, Contractor shall execute and provide to
City concurrently with this Contract a Performance Bond in an amount required by the City and
in a form provided or approved by the City. If such bond is required, no payment will be made
to Contractor until the bond has been received and approved by the City.
3.14.3 Bond Provisions. Should, in City's sole opinion, any bond become
insufficient or any surety be found to be unsatisfactory, Contractor shall renew or replace the
effected bond within (ten) 10 days of receiving notice from City. In the event the surety or
Contractor intends to reduce or cancel any required bond, at least thirty (30) days prior written
notice shall be given to the City, and Contractor shall post acceptable replacement bonds at
least ten (10) days prior to expiration of the original bonds. No further payments shall be
deemed due or will be made under this Contract until any replacement bonds required by this
Section are accepted by the City. To the extent, if any, that the Total Contract Price is increased
in accordance with the Contract, Contractor shall, upon request of the City, cause the amount of
the bond to be increased accordingly and shall promptly deliver satisfactory evidence of such
increase to the City. If Contractor fails to furnish any required bond, the City may terminate the
Contract for cause.
3.14.4 Surety Qualifications. Only bonds executed by an admitted surety
insurer, as defined in California Code of Civil Procedure Section 995.120, shall be accepted. If
a California-admitted surety insurer issuing bonds does not meet these requirements, the
insurer will be considered qualified if it is in conformance with Section 995.660 of the California
Code of Civil Procedure, and proof of such is provided to the City.
3.15 Warranty. Contractor warrants all Work under the Contract (which for purposes
of this Section shall be deemed to include unauthorized work which has not been removed and
any non-conforming materials incorporated into the Work) to be of good quality and free from
any defective or faulty material and workmanship. Contractor agrees that for a period of one
year (or the period of time specified elsewhere in the Contract or in any guarantee or warranty
provided by any manufacturer or supplier of equipment or materials incorporated into the Work,
whichever is later) after the date of final acceptance, Contractor shall within ten (10) days after
being notified in writing by the City of any defect in the Work or non-conformance of the Work to
the Contract, commence and prosecute with due diligence all Work necessary to fulfill the terms
of the warranty at its sole cost and expense. Contractor shall act sooner as requested by the
City in response to an emergency. In addition, Contractor shall, at its sole cost and expense,
repair and replace any portions of the Work (or work of other contractors) damaged by its
defective Work or which becomes damaged in the course of repairing or replacing defective
24347.00006\9536520.5 17
Work. For any Work so corrected, Contractor's obligation hereunder to correct defective Work
shall be reinstated for an additional one year period, commencing with the date of acceptance of
such corrected Work. Contractor shall perform such tests as the City may require to verify that
any corrective actions, including, without limitation, redesign, repairs, and replacements comply
with the requirements of the Contract. All costs associated with such corrective actions and
testing, including the removal, replacement, and reinstitution of equipment and materials
necessary to gain access, shall be the sole responsibility of Contractor. All warranties and
guarantees of subcontractors, suppliers and manufacturers with respect to any portion of the
Work, whether express or implied, are deemed to be obtained by Contractor for the benefit of
the City, regardless of whether or not such warranties and guarantees have been transferred or
assigned to the City by separate agreement and Contractor agrees to enforce such warranties
and guarantees, if necessary, on behalf of the City. In the event that Contractor fails to perform
its obligations under this Section, or under any other warranty or guaranty under this Contract,
to the reasonable satisfaction of the City, the City shall have the right to correct and replace any
defective or non-conforming Work and any work damaged by such work or the replacement or
correction thereof at Contractor's sole expense. Contractor shall be obligated to fully reimburse
the City for any expenses incurred hereunder upon demand.
3.16 Employee/Labor Certifications.
3.16.1 Contractor's Labor Certification. By its signature hereunder, Contractor
certifies that he is aware of the provisions of Section 3700 of the California Labor Code which
require every employer to be insured against liability for Worker's Compensation or to undertake
self-insurance in accordance with the provisions of that Code, and agrees to comply with such
provisions before commencing the performance of the Work. A certification form for this
purpose, which is attached to this Contract as Exhibit "D" and incorporated herein by reference,
shall be executed simultaneously with this Contract.
3.16.2 Equal Opportunity Employment. Contractor represents that it is an equal
opportunity employer and that it shall not discriminate against any employee or applicant for
employment because of race, religion, color, national origin, ancestry, sex, age or other
interests protected by the State or Federal Constitutions. Such non-discrimination shall include,
but not be limited to, all activities related to initial employment, upgrading, demotion, transfer,
recruitment or recruitment advertising, layoff or termination.
3.16.3 Verification of Employment Eligibility. By executing this Contract,
Contractor verifies that it fully complies with all requirements and restrictions of state and federal
law respecting the employment of undocumented aliens, including, but not limited to, the
Immigration Reform and Control Act of 1986, as may be amended from time to time, and shall
require all subcontractors and sub-subcontractors to comply with the same.
3.17 General Provisions.
3.17.1 City's Representative. The City hereby designates the General Manager,
or his or her designee, to act as its representative for the performance of this Contract ("City's
Representative"). City's Representative shall have the power to act on behalf of the City for all
purposes under this Contract. Contractor shall not accept direction or orders from any person
other than the City's Representative or his or her designee.
3.17.2 Contractor's Representative. Before starting the Work, Contractor shall
submit in writing the name, qualifications and experience of its proposed representative who
shall be subject to the review and approval of the City ("'Contractor's Representative").
Following approval by the City, Contractor's Representative shall have full authority to represent
24347.00006\9536520.5 18
and act on behalf of Contractor for all purposes under this Contract. Contractor's
Representative shall supervise and direct the Work, using his best skill and attention, and shall
be responsible for all construction means, methods, techniques, sequences and procedures and
for the satisfactory coordination of all portions of the Work under this Contract. Contractor's
Representative shall devote full time to the Project and either he or his designee, who shall be
acceptable to the City, shall be present at the Work site at all times that any Work is in progress
and at any time that any employee or subcontractor of Contractor is present at the Work site.
Arrangements for responsible supervision, acceptable to the City, shall be made for emergency
Work which may be required. Should Contractor desire to change its Contractor's
Representative, Contractor shall provide the information specified above and obtain the City's
written approval.
3.17.3 Termination. This Contract may be terminated by City at any time, either
with our without cause, by giving Contractor three (3) days advance written notice. In the event
of termination by City for any reason other than the fault of Contractor, City shall pay Contractor
for all Work performed up to that time as provided herein. In the event of breach of the Contract
by Contractor, City may terminate the Contract immediately without notice, may reduce payment
to Contractor in the amount necessary to offset City's resulting damages, and may pursue any
other available recourse against Contractor. Contractor may not terminate this Contract except
for cause. In the event this Contract is terminated in whole or in part as provided, City may
procure, upon such terms and in such manner as it may determine appropriate, services similar
to those terminated. Further, if this Contract is terminated as provided, City may require
Contractor to provide all finished or unfinished documents, data, diagrams, drawings, materials
or other matter prepared or built by Contractor in connection with its performance of this
Contract.
3.17.4 Contract Interpretation. Should any question arise regarding the meaning
or import of any of the provisions of this Contract or written or oral instructions from City, the
matter shall be referred to City's Representative, whose decision shall be binding upon
Contractor.
3.17.5 Anti-Trust Claims. This provision shall be operative if this Contract is
applicable to California Public Contract Code Section 7103.5. In entering into this Contract to
supply goods, services or materials, Contractor hereby offers and agrees to assign to the City
all rights, title, and interest in and to all causes of action it may have under Section 4 of the
Clayton Act (15 U.S.C. Section 15) or under the Cartwright Act (Chapter 2, commencing with
Section 16700, of Part 2 of Division 7 of the Business and Professions Code) arising from
purchases of goods, services, or materials pursuant to the Contract. This assignment shall be
made and become effective at the time the City tender final payment to Contractor, without
further acknowledgment by the Parties.
3.17.6 Notices. All notices hereunder and communications regarding
interpretation of the terms of the Contract or changes thereto shall be provided by the mailing
thereof by registered or certified mail, return receipt requested, postage prepaid and addressed
as follows:
CONTRACTOR:
GRBCON, Inc.
5114 Elton Street
Baldwin Park, CA 91706
Attn: Kristion Grbavac, President
24347.00006\9536520.5 19
CITY:
City of Arcadia
240 West Huntington Drive
Arcadia, California 91066
Attn: Mohideen Buharie, Assistant Engineer
Any notice so given shall be considered received by the other Party three (3) days after deposit
in the U.S. Mail as stated above and addressed to the Party at the above address. Actual
notice shall be deemed adequate notice on the date actual notice occurred, regardless of the
method of service.
3.17.7 Time of Essence. Time is of the essence in the performance of this
Contract.
3.17.8 Assignment Forbidden. Contractor shall not, either voluntarily or by
action of law, assign or transfer this Contract or any obligation, right, title or interest assumed by
Contractor herein without the prior written consent of City. If Contractor attempts an assignment
or transfer of this Contract or any obligation, right, title or interest herein, City may, at its option,
terminate and revoke the Contract and shall thereupon be relieved from any and all obligations
to Contractor or its assignee or transferee.
3.17.9 No Third Party Beneficiaries. There are no intended third party
beneficiaries of any right or obligation assumed by the Parties.
3.17.10 Laws, Venue, and Attorneys' Fees. This Agreement shall be
interpreted in accordance with the laws of the State of California. If any action is brought to
interpret or enforce any term of this Agreement, the action shall be brought in a state or federal
court situated in the County of Los Angeles, State of California.
3.17.11 Counterparts. This Contract may be executed in counterparts,
each of which shall constitute an original.
3.17.12 Successors. The Parties do for themselves, their heirs, executors,
administrators, successors, and assigns agree to the full performance of all of the provisions
contained in this Contract.
3.17.13 f Reservedl
3.17.14 Solicitation. Contractor maintains and warrants that it has not
employed nor retained any company or person, other than a bona fide employee working solely
for Contractor, to solicit or secure this Contract. Further, Contractor warrants that it has not paid
nor has it agreed to pay any company or person, other than a bona fide employee working
solely for Contractor, any fee, commission, percentage, brokerage fee, gift or other
consideration contingent upon or resulting from the award or making of this Contract. For
breach or violation of this warranty, City shall have the right to terminate this Contract without
liability.
3.17.15 Conflict of Interest. Contractor maintains and warrants that it has
not employed nor retained any company or person, other than a bona fide employee working
solely for Contractor, to solicit or secure this Agreement. Further, Contractor warrants that it
has not paid nor has it agreed to pay any company or person, other than a bona fide employee
working solely for Contractor, any fee, commission, percentage, brokerage fee, gift or other
consideration contingent upon or resulting from the award or making of this Agreement. For
24347.00006\9536520.5 20
breach or violation of this warranty, City shall have the right to rescind this Agreement without
liability. For the term of this Contract, no official, officer or employee of City, during the term of
his or her service with City, shall have any direct interest in this Contract, or obtain any present
or anticipated material benefit arising therefrom. In addition, Contractor agrees to file, or to
cause its employees or subcontractors to file, a Statement of Economic Interest with the City's
Filing Officer as required under state law in the performance of the Work.
3.17.16 Certification of License.
3.17.16.1 Contractor certifies that as of the date of execution of this
Contract, Contractor has a current contractor's license of the classification indicated below
under Contractor's signature.
3.17.16.2 Contractors are required by law to be licensed and
regulated by the Contractors' State License Board which has jurisdiction to investigate
complaints against contractors if a complaint regarding a patent act or omission is filed within
four (4) years of the date of the alleged violation. A complaint regarding a latent act or omission
pertaining to structural defects must be filed within ten (10) years of the date of the alleged
violation. Any questions concerning a contractor may be referred to the Registrar, Contractors'
State License Board, P.O. Box 26000, Sacramento, California 95826.
3.17.17 Authority to Enter Contract. Each Party warrants that the
individuals who have signed this Contract have the legal power, right and authority to make this
Contract and bind each respective Party.
3.17.18 Entire Contract; Modification. This Contract contains the entire
agreement of the Parties with respect to the subject matter hereof, and supersedes all prior
negotiations, understandings or agreements. This Contract may only be modified by a writing
signed by both Parties.
3.17.19 Non-Waiver. None of the provisions of this Agreement shall be
considered waived by either party, unless such waiver is specifically specified in writing.
3.17.20 City's Right to Employ Other Contractors. City reserves right to
employ other contractors in connection with this Project or other projects.
[SIGNATURES ON NEXT PAGE]
24347.00006\9536520.5 21
SIGNATURE PAGE FOR CONSTRUCTION CONTRACT
BETWEEN THE CITY OF ARCADIA
AND GRBCON, INC.
IN WITN S WHEREOF, the Parties have entered into this Agreement as of the
day of ;
ACKNOWLEDGMENT
A notary public or other officer completing this
certificate verifies only the identity of the individual
who signed the document to which this certificate is
attached, and not the truthfulness, accuracy, or
validity of that document.
State of California
County of Los Angeles
On PlArciin 7i`{ 4 ZpZ( before me, Brett Harper, Notary Public
(insert name and title of the officer)
personally appeared Kr i S'i-9 (>�� 1 Pres
who proved to me on the basis of satisfactory evidence to be the person( .whose name(sytJafe-
subscribed to the within instrument and acknowledged to me thate$/ehefthey executed the same in
/herIthoir authorized capacity(ies), and that by I5/49er-itheir signature.on the instrument the
person(};or the entity upon behalf of which the personN acted, executed the instrument.
I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing
paragraph is true and correct.
WITNESS my hand and official seal. . t•:°' �, BRETT DYLAN HARPER
�
= Notary Public-California
� = Los Angeles County f.
Commission x 2340893
^o•" My Comm.Expires Jan 2,2025
Signature ,- - (Seal)
ACKNOWLEDGMENT
A notary public or other officer completing this
certificate verifies only the identity of the individual
who signed the document to which this certificate is
attached, and not the truthfulness, accuracy, or
validity of that document.
State of California
County of Los Angeles
On Aril 2,C2,t before me, Brett Harper, Notary Public
(insert name and title of the officer)
personally appeared &dr�Dv► ("t'6w,vac. of
who proved to me on the basis of satisfactory evidence to be the personN) whose nameNa/are
subscribed to the within instrument and acknowledged to me thatt/cbe/tey executed the same in
4a/her/their authorized capacity(it s), and that by s/weir signature($on the instrument the
person(, or the entity upon behalf of which the persons acted, executed the instrument.
I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing
paragraph is true and correct.
.:,°'..?, BRETf DYLAN HARPER
WITNESS my hand and official seal. Notary Public-California
= Los Angeles County g
� Commission x 2340893
My Comm.Expires Jan Z,2025
Signature ���" (Seal)
CO
QN
GRBCON, Inc.
A California Corporation
Meeting of the Board of Directors
Dated: January 7th, 2016
Corporate Resolution Regarding Contractual Authority
Following the establishment GRBCON, Inc. on 12/24/15, its Board of Directors.has met on
January 7`h, 2016 and have granted Kristion Grbavac the authority to enter into binding
agreements on behalf of the Corporation. Kristion Grbavac shall occupy the positions of CEO,
Secretary,Treasurer, and member of the board. Gordon Anthony Grbavac shall serve as Vice
President and member of the board.
When, and if requested, Kristion Grbavac shall have the ability to enter into contractual
agreements on behalf of the firm and to sign in the capacities as the officers mentioned above.
IN WITNESS THEREOF,Gordon Anthony Grbavac and Kristion Grbavac have executed this
written consent dated January 7th,2016.
0
Affix Corporate l :o r avac,Director
O,Treasurer and Secretary
ted: January 7th.2016
•rdon • •(=''~r rbavac,Director
Vice President
Dated: January 7th 2016
EXHIBIT "A"
SERVICES / SCHEDULE
The project proposal is incorporated into this Contract. Services shall include:
• Provide labor and materials to remove broken 8" VCP Sewer Main Pipe AND replace
with 8" VCP at Santa Margarita Drive at two (2) locations, located on Santa Margarita
Drive and the Community Center
• Include restoration at both stated locations due to excavation
• Provide labor and materials to raise manhole grade at the Community Center
24347.00006\9536520.5 23
EXHIBIT "B"
PLANS AND SPECIFICATIONS
All service and unit specifications are listed in Exhibit "A".
-24-
24347.00006\9536520.5
EXHIBIT "C"
SPECIAL CONDITIONS
ARTICLE 1. BONDS
Within ten (10) calendar days from the date the Contractor is notified of award of the Contract,
the Contractor shall deliver to the City four identical counterparts of the Performance Bond and
Payment Bond on the forms supplied by the City and included as Exhibit "F" to the Contract.
Failure to do so may, in the sole discretion of City, result in the forfeiture of Contractor's bid
security. The surety supplying the bond must be an admitted surety insurer, as defined in Code
of Civil Procedure Section 995.120, authorized to do business as such in the State of California
and satisfactory to the City. The Performance Bond and the Payment Bond shall be for one
hundred percent (100%)of the Total Contract Price.
-25-
24347.00006\9536520.5
EXHIBIT "D"
CERTIFICATION
LABOR CODE - SECTION 1861
I, the undersigned Contractor, am aware of the provisions of Section 3700, et seq., of
the California Labor Code which require every employer to be insured against liability for
Worker's Compensation or to undertake self-insurance in accordance with the provisions of the
Code, and I, the undersigned Contractor, agree to and will comply with such provisions before
commencing the performance of the Work on this Contract.
GRBCON, INC.
By:
gnature
sr 01Q C+t . A,NAC
Name (Print)
Qt:L StpEN'r
Title (Print)
-26-
24347.00006\9536520.5
EXHIBIT "E"
PUBLIC WORKS CONTRACTOR REGISTRATION CERTIFICATION
Pursuant to Labor Code sections 1725.5 and 1771.1, all contractors and subcontractors that
wish to bid on, be listed in a bid proposal, or enter into a contract to perform public work must be
registered with the Department of Industrial Relations. See http://www.dir.ca.gov/Public-
Works/PublicWorks.html for additional information.
No bid will be accepted nor any contract entered into without proof of the contractor's and
subcontractors' current registration with the Department of Industrial Relations to perform public
work.
Contractor hereby certifies that it is aware of the registration requirements set forth in Labor
Code sections 1725.5 and 1771.1 and is currently registered as a contractor with the
Department of Industrial Relations.'
Name of Contractor: CSR-CbcoN =+vc•
DIR Registration Number: 1000° 312) CocNt
DIR Registration Expiration: Cc - 30 " Zl
Small Project Exemption: > Yes or No
Unless Contractor is exempt pursuant to the small project exemption, Contractor further
acknowledges:
• Contractor shall maintain a current DIR registration for the duration of the project.
• Contractor shall include the requirements of Labor Code sections 1725.5 and 1771.1 in
its contract with subcontractors and ensure that all subcontractors are registered at the
time of bid opening and maintain registration status for the duration of the project.
• Failure to submit this form or comply with any of the above requirements may result in a
finding that the bid is non-responsive.
Name of Contractor 6112-6c-oN , INC.
Signature
Name and Title 1404511 0r.) Ga-gf'►-AC- , p12-Es l 0E1
Dated S " Z`{
1 If the Project is exempt from the contractor registration requirements pursuant to the small project exemption under
Labor Code Sections 1725.5 and 1771.1,please mark"Yes"in response to"Small Project Exemption."
-27 -
24347.00006\9536520.5
EXHIBIT "F"
PAYMENT AND PERFORMANCE BONDS
-28 -
24347.00006\9536520.5
Bond No.602-131657-5
Premium:$310.00
PERFORMANCE BOND
KNOW ALL PERSONS BY THESE PRESENTS:
THAT WHEREAS, the City of Arcadia (hereinafter referred to as "City") has awarded to
GRBCON, Inc., (hereinafter referred to as the "Contractor") an agreement for Sewer Manhole
Restoration at Community Center and Sewer Main Repair on Santa Margarita Drive
Project (hereinafter referred to as the "Project").
WHEREAS; the work to be performed by he Contractor is more particularly set forth in
the Contract Documents for the Project dated L), (hereinafter referred to as
"Contract Documents"), the terms and conditions o which are expressly incorporated herein by
reference; and
WHEREAS, the Contractor is required by said Contract Documents to perform the terms
thereof and to furnish a bond for the faithful performance of said Contract Documents.
NOW, THEREFORE, we, Gnccon,Tnc. , the undersigned Contractor and
United States Fire Insurance Company as Surety, a corporation organized and
duly authorized to transact business under the laws of the State of California, are held and firmly
bound unto the City in the sum of TWENTY-FOUR THOUSAND, SEVEN HUNDRED NINETY-
FOUR DOLLARS AND NO CENTS ($24,794.00), said sum being not less than one hundred
percent (100%) of the total amount of the Contract, for which amount well and truly to be made,
we bind ourselves, our heirs, executors and administrators, successors and assigns, jointly and
severally, firmly by these presents.
THE CONDITION OF THIS OBLIGATION IS SUCH, that, if the Contractor, his or its
heirs, executors, administrators, successors or assigns, shall in all things stand to and abide by,
and well and truly keep and perform the covenants, conditions and agreements in the Contract
Documents and any alteration thereof made as therein provided, on its part, to be kept and
performed at the time and in the manner therein specified, and in all respects according to their
intent and meaning; and shall faithfully fulfill all obligations including the one-year guarantee of
all materials and workmanship; and shall indemnify and save harmless the City, its officers and
agents, as stipulated in said Contract Documents, then this obligation shall become null and
void; otherwise it shall be and remain in full force and effect.
As a condition precedent to the satisfactory completion of the Contract Documents,
unless otherwise provided for in the Contract Documents, the above obligation shall hold good
for a period of one (1) year after the acceptance of the work by City, during which time if
Contractor shall fail to make full, complete, and satisfactory repair and replacements and totally
protect the City from loss or damage resulting from or caused by defective materials or faulty
workmanship, Surety shall undertake and faithfully fulfill all such obligations. The obligations of
Surety hereunder shall continue so long as any obligation of Contractor remains. Nothing herein
shall limit the City's rights or the Contractor or Surety's obligations under the Contract, law or
equity, including, but not limited to, California Code of Civil Procedure section 337.15.
Whenever Contractor shall be, and is declared by the City to be, in default under the
Contract Documents, the Surety shall remedy the default pursuant to the Contract Documents,
or shall promptly, at the City's option:
-29-
24347.00006\9536520.5
(1) Take over and complete the Project in accordance with all terms and conditions
in the Contract Documents; or
(2) Obtain a bid or bids for completing the Project in accordance with all terms and
conditions in the Contract Documents and upon determination by Surety of the
lowest responsive and responsible bidder, arrange for a Contract between such
bidder, the Surety and the City, and make available as work progresses sufficient
funds to pay the cost of completion of the Project, less the balance of the
contract price, including other costs and damages for which Surety may be liable.
The term "balance of the contract price" as used in this paragraph shall mean the
total amount payable to Contractor by the City under the Contract and any
modification thereto, less any amount previously paid by the City to the
Contractor and any other set offs pursuant to the Contract Documents.
(3) Permit the City to complete the Project in any manner consistent with local,
California and federal law and make available as work progresses sufficient
funds to pay the cost of completion of the Project, less the balance of the
contract price, including other costs and damages for which Surety may be liable.
The term "balance of the contract price" as used in this paragraph shall mean the
total amount payable to Contractor by the City under the Contract and any
modification thereto, less any amount previously paid by the City to the
Contractor and any other set offs pursuant to the Contract Documents.
Surety expressly agrees that the City may reject any contractor or subcontractor which
may be proposed by Surety in fulfillment of its obligations in the event of default by the
Contractor.
Surety shall not utilize Contractor in completing the Project nor shall Surety accept a bid
from Contractor for completion of the Project if the City, when declaring the Contractor in
default, notifies Surety of the City's objection to Contractor's further participation in the
completion of the Project.
The Surety, for value received, hereby stipulates and agrees that no change, extension
of time, alteration or addition to the terms of the Contract Documents or to the Project to be
performed thereunder shall in any way affect its obligations on this bond, and it does hereby
waive notice of any such change, extension of time, alteration or addition to the terms of the
Contract Documents or to the Project, including but not limited to the provisions of sections
2819 and 2845 of the California Civil Code.
IN WITNESS WHEREOF, we have hereunto set our hands and seals this 18th day of
March , 2021 ).
(Corporate Seal) Grbcon,Inc.
Contractor/ Princi I a
By
Title FRES p NT
-30-
24347.0000619536520.5
United States Fire Insurance Company
(Corporate Sea!)- Su - 4,4
�� . /
a L.Ths1 top Att Al7=in act
Signatures of those signing for the Contractor and S -ty mus .- notarized Ad evidence of
corporate authority attached.
(Attach Attorney-in-Fact Certificate) Title Attorney in Fact
The rate of premium on this bond is $12.50
$310.0o per thousand. The total amount of premium
charges, $
(The above must be filled in by corporate attorney.)
THIS IS A REQUIRED FORM
Any claims under this bond may be addressed to:
(Name and Address of Surety) United States Fire Insurance Company
305 Madison Avenue,Morristown,NJ 07962
(Name and Address of Agent or Alliant Insurance Services,Inc.
Representative for service of
process in California, if different 333 S.Hope Street,#3750,I,os Angeles,CA 90071
from above)
213 443-2464
(Telephone number of Surety and
Agent or Representative for service
of process in California)
NOTE: A copy of the Power-of-Attorney authorizing the person signing on behalf of the Surety
to do so must be attached hereto.
-31 -
24347.0000619536520.5
c.„1-A--AzApJ Ac)r-„Hold ✓ 1. goy Pc-tivic./194
Notary Acknowledgment
A notary public or other officer completing this certificate
verifies only the identity of the individual who signed the
document to which this certificate is attached, and not the
truthfulness, accuracy, or validity of that document.
STATE OF CALIFORNIA SEE ATTACHED ACKNOWLEDGEMENT FOR SURETY
COUNTY OF
On ti 20 , before me, , Notary Public, personally
appeared , who proved to me on the basis of satisfactory
evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to
me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their
signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed
the instrument.
I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph
is true and correct.
WITNESS my hand and official seal.
Signature of Notary Public
OPTIONAL
Though the information below is not required by law, it may prove valuable to persons relying on the document
and could prevent fraudulent removal and reattachment of this form to another document.
CAPACITY CLAIMED BY SIGNER DESCRIPTION OF ATTACHED DOCUMENT
❑ Individual
❑Corporate Officer
Title(s) Title or Type of Document
❑ Partner(s) 0 Limited
❑ General Number of Pages
o Attorney-In-Fact
O Trustee(s)
❑Guardian/Conservator Date of Document
❑Other:
Signer is representing:
Name Of Person(s)Or Entity(ies)
Signer(s)Other Than Named Above
-32-
24347.0000619536520.5
ACKNOWLEDGMENT
A notary public or other officer completing this
certificate verifies only the identity of the individual
who signed the document to which this certificate is
attached, and not the truthfulness, accuracy, or
validity of that document.
State of California
County of Los Angeles
On Marek 2-4 i Uzi before me, Brett Harper, Notary Public
(insert name and title of the officer)
personally appeared lAr4S}Zo✓1 Gricx1,Uct.l.. Pre-stilt/0-
who
r..st .+who proved to me on the basis of satisfactory evidence to be the person(s. whose nameMtlare-
subscribed to the within instrument and acknowledged to me that a /tttey executed the same in
l'l=ter{their authorized capacity(, and that byGH,Ci/llleir signaturek on the instrument the
person(}, or the entity upon behalf of which the person(`s) acted, executed the instrument.
I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing
paragraph is true and correct.
WITNESS my hand and official seal. t"` BRETT DYLAN HARPER
_ Notary Public-California
-ff Los Angeles County
` Commission#2340893
My Comm.Expires Jan 2.2025
Signature (Seal)
CALIFORNIA ALL-PURPOSE ACKNOWLEDGMENT Civil Code § 1189
A notary public or other officer completing this certificate verifies only the identity of the
individual who signed the document to which this certificate is attached, and not the
truthfulness, accuracy or validity of that document.
State of California )
) ss
County of Los Angeles )
On M IS c.-07, before me, Natalie K. Trofimoff, Notary Public, personally appeared
Lisa L. Thornton , who proved to me on the basis of satisfactory evidence to be the
person{s3 whose name{& is/are subscribed to the within instrument and acknowledged to me
that he/she/ executed the same in 1:+4/her/their authorized capacity(ics), and that by
his/her/their signature4s}on the instrument the person{},or the entity upon behalf of which the
persons}acted, executed the instrument.
I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing
paragraph is true and correct.
WITNESS my hand and official seal.
NATAUE K.TROFIMOFF
-> COMM#2308129 >
Y''r Nsrtaryr FuWic-fblitomia w
"b► Co ANG6tES COUNTY
VA
- My Comm.Expire8CC7 22.2023 ijed09/44
Signature:
(Seal) Natalie K. Trofimoff, Notary Public
POWER OF ATTORNEY
UNITED STATES FIRE INSURANCE COMPANY
PRINCIPAL OFFICE-MORRISTOWN,NEW JERSEY
01687411321
KNOW ALL MEN BY THESE PRESENTS:That United States Fire Insurance Company,a corporation duly organized and existing under the laws of the state of Delaware,has
made,constituted and appointed,and does hereby make,constitute and appoint:
C.K.Nakamura,Noemi Quiroz,Maria Pena,Tim M. Tomko,Tiffany Coronado,Jessica Rosser,Natalie K. Trofimoff,
Lisa L.Thornton,Patricia S.Arana
each,its true and lawful Attomey(s)-In-Fact,with full power and authority hereby conferred in its name,place and stead,to execute,acknowledge and deliver:Any and all bond
and undertakings of surety and other documents that the ordinary course of surety business may require,and to bind United States Fire Insurance Company thereby as fully and b
the same extent as if such bonds or undertakings had been duly executed and acknowledged by the regularly elected officers of United States Fire Insurance Company at its principa
office,in amounts or penalties not exceeding:Seven Million,Five Hundred Thousand Dollars($7,500,000).
This Power of Attorney limits the act of those named therein to the bonds and undertakings specifically named therein,and they have no authority to bind United States Fire Insuranc
Company except in the manner and to the extent therein stated.
This Power of Attorney revokes all previous Powers of Attorney issued on behalf of the Attorneys-In-Fact named above and expires on January 31,2022.
This Power of Attorney is granted pursuant to Article IV of the By-Laws of United States Fire Insurance Company as now in full force and effect,and consistent with Article II
thereof,which Articles provide,in pertinent part:
Article IV,Execution of Instruments-Except as the Board of Directors may authorize by resolution,the Chairman of the Board,President,any Vice-President,
any Assistant Vice President,the Secretary,or any Assistant Secretary shall have power on behalf of the Corporation:
(a) to execute,affix the corporate seal manually or by facsimile to,acknowledge,verify and deliver any contracts,obligations,instruments and documents
whatsoever in connection with its business including,without limiting the foregoing,any bonds,guarantees,undertakings,recognizances,powers of attorney or
revocations of any powers of attorney,stipulations,policies of insurance,deeds,leases,mortgages,releases,satisfactions and agency agreements;
(b) to appoint,in writing,one or more persons for any or all of the purposes mentioned in the preceding paragraph(a),including affixing the seal of the
Corporation.
Article III,Officers,Section 3.11,Facsimile Signatures. The signature of any officer authorized by the Corporation to sign any bonds,guarantees,undertakings,
recognizances,stipulations,powers of attorney or revocations of any powers of attorney and policies of insurance issued by the Corporation may be printed,
facsimile,lithographed or otherwise produced. In addition,if and as authorized by the Board of Directors,dividend warrants or checks,or other numerous
instruments similar to one another in form,may be signed by the facsimile signature or signatures,lithographed or otherwise produced,of such officer or officers
of the Corporation as from time to time may be authorized to sign such instruments on behalf of the Corporation. The Corporation may continue to use for the
purposes herein stated the facsimile signature of any person or persons who shall have been such officer or officers of the Corporation,notwithstanding the fact
that he may have ceased to be such at the time when such instruments shall be issued.
IN WITNESS WHEREOF,United States Fire Insurance Company has caused these presents to be signed and attested by its appropriate officer and its corporate seal hereunto
affixed this 22nd day of August 2019.
UNITED STATES FIRE INSURANCE COMPANY
Anthony R.Slimowicz,President
State of Pennsylvania }
County of Philadelphia}
On this 22"d day of August 2019,before me,a Notary public of the State of Pennsylvania,came the above named officer of United States Fire Insurance Company
to me personally known to be the individual and officer described herein,and acknowledged that he executed the foregoing instrument and affixed the seal o
United States Fire Insurance Company thereto by the authority of his office.
Commonwealth of Pennsylvania—Notary Seal r✓ 'RA.$-' Jr
Tamara Watkins,Notary Public
Philadelphia County Tamara Watkins kNtitary Puhl_ic)-'
My commission expires August 22,2023
Commission number 1348843
I,the undersigned officer of United States Fire Insurance Company,a Delaware corporation,do hereby certify that the origtnm Power of Attorney ors.uu h thi
foregoing is a full,true and correct copy is still in force and effect and has not been revoked. `
IN WITNESS WHEREOF,I have hereunto set my hand and affixed the corporate seal of United States Fire Insurance Company on the 18t 1:lay oflvfareh 20 2
UNITED STATES FIRE INSURANCE COMPANY
Al Wright,Senior Vice President
Bond No.:602-131657-5
Premium included with Performance Bond
PAYMENT BOND
KNOW ALL MEN BY THESE PRESENTS That
WHEREAS, the City of Arcadia (hereinafter designated as the "City"), by action taken or
a resolution passed March 16, , 20 21 has awarded to GRBCON, Inc. hereinafter
designated as the "Principal," a contract for the work described as follows:
Sewer Manhole Restoration at Community Center and Sewer Main Repair on Santa
Margarita Drive Project (the "Project"); and
WHEREAS, the work to be performed ky the Pr ci al i more particularly set forth in the
Contract Documents for the Project dated ;, O.'O. ("Contract Documents"), the
terms and conditions of which are expressly incorporated by reference; and
WHEREAS, said Principal is required to furnish a bond in connection with said contract;
providing that if said Principal or any of its Subcontractors shall fail to pay for any materials,
provisions, provender, equipment, or other supplies used in, upon, for or about the performance
of the work contracted to be done, or for any work or labor done thereon of any kind, or for
amounts due under the Unemployment Insurance Code or for any amounts required to be
deducted, withheld, and paid over to the Employment Development Department from the wages
of employees of said Principal and its Subcontractors with respect to such work or labor the
Surety on this bond will pay for the same to the extent hereinafter set forth.
NOW THEREFORE, we, the Principal and United States Fire Insurance Company as Surety,
are held and firmly bound unto the City in the penal sum of TWENTY-FOUR THOUSAND,
SEVEN HUNDRED NINETY-FOUR DOLLARS AND NO CENTS ($24,794.00) lawful money of
the United States of America, for the payment of which sum well and truly to be made, we bind
ourselves, our heirs, executors, administrators, successors and assigns, jointly and severally,
firmly by these presents.
THE CONDITION OF THIS OBLIGATION IS SUCH that if said Principal, his or its
subcontractors, heirs, executors, administrators, successors or assigns, shall fail to pay any of
the persons named in Section 9100 of the Civil Code, fail to pay for any materials, provisions or
other supplies, used in, upon, for or about the performance of the work contracted to be done,
or for any work or labor thereon of any kind, or amounts due under the Unemployment
Insurance Code with respect to work or labor performed under the contract, or for any amounts
required to be deducted, withheld, and paid over to the Employment Development Department
or Franchise Tax Board from the wages of employees of the contractor and his subcontractors
pursuant to Section 18663 of the Revenue and Taxation Code, with respect to such work and
labor the Surety or Sureties will pay for the same, in an amount not exceeding the sum herein
above specified.
This bond shall inure to the benefit of any of the persons named in Section 9100 of the
Civil Code so as to give a right of action to such persons or their assigns in any suit brought
upon this bond.
It is further stipulated and agreed that the Surety on this bond shall not be exonerated or
released from the obligation of this bond by any change, extension of time for performance,
addition, alteration or modification in, to, or of any contract, plans, specifications, or agreement
pertaining or relating to any scheme or work of improvement herein above described, or
pertaining or relating to the furnishing of labor, materials, or equipment therefore, nor by any
change or modification of any terms of payment or extension of the time for any payment
-33-
24347.0000619536520.5
pertaining or relating to any scheme or work of improvement herein above described, nor by any
rescission or attempted rescission of the contract, agreement or bond, nor by any conditions
precedent or subsequent in the bond attempting to limit the right of recovery of claimants
otherwise entitled to recover under any such contract or agreement or under the bond, nor by
any fraud practiced by any person other than the claimant seeking to recover on the bond and
that this bond be construed most strongly against the Surety and in favor of all persons for
whose benefit such bond is given, and under no circumstances shall Surety be released from
liability to those for whose benefit such bond has been given, by reason of any breach of
contract between the owner or City and original contractor or on the part of any obligee named
in such bond, but the sole conditions of recovery shall be that claimant is a person described in
Section 9100 of the Civil Code, and has not been paid the full amount of his claim and that
Surety does hereby waive notice of any such change, extension of time, addition, alteration or
modification herein mentioned and the provisions of sections 2819 and 2845 of the California
Civil Code.
IN WITNESS WHEREOF, we have hereunto set our hands and seals this 18th day
of March , 2021
Grbcon,Inc.
(C-orporate Seal)
Contractor/Princi•
By
Title 'P¢Es t o EN r
United Sttaes Fire Insurance Company
(Corporate Seal) S Ilk
flak
Atto in-Far
Title a L.Thor ••,Attorney in Fact
Signatures of those signing for the Contractor and Surety must be notarized and evidence of
corporate authority attached. A Power-of-Attorney authorizing the person signing on behalf of
the Surety to do so must be attached hereto.
NOTE: A copy of the Power-of-Attorney authorizing the person signing on behalf of the Surety
to do so must be attached hereto.
-34-
24347.00006\9536520.5 •
SEE ATTACHED ACKNOWLEDGEMENT FOR SURETY
'l" i F-e t Pr�n��pal
Notary Acknowledgment
A notary public or other officer completing this certificate
verifies only the identity of the individual who signed the
document to which this certificate is attached, and not the
truthfulness, accuracy, or validity of that document.
STATE OF CALIFORNIA
COUNTY OF
On , 20 , before me, , Notary Public, personally
appeared , who proved to me on the basis of satisfactory
evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to
me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their
signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed
the instrument.
I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph
is true and correct.
WITNESS my hand and official seal.
Signature of Notary Public
OPTIONAL
Though the information below is not required by law, it may prove valuable to persons relying on the document
and could prevent fraudulent removal and reattachment of this form to another document.
CAPACITY CLAIMED BY SIGNER DESCRIPTION OF ATTACHED DOCUMENT
o Individual
❑Corporate Officer
Title(s) Title or Type of Document
❑Partner(s) ❑ Limited
❑ General
Number of Pages
❑Attorney-In-Fact
❑Trustee(s)
❑Guardian/Conservator Date of Document
0 Other:
Signer is representing:
Name Of Person(s)Or Entity(ies)
Signer(s)Other Than Named Above
-35-
24347.0000619536520.5
CALIFORNIA ALL-PURPOSE ACKNOWLEDGMENT Civil Code § 1189
A notary public or other officer completing this certificate verifies only the identity of the
individual who signed the document to which this certificate is attached, and not the
truthfulness, accuracy or validity of that document.
State of California
ss
County of Los Angeles
On q ice. Z.Oz"( , before me, Natalie K. Trofimoff, Notary Public, personally appeared
Lisa L. Thornton , who proved to me on the basis of satisfactory evidence to be the
personcs4 whose name{} is/are subscribed to the within instrument and acknowledged to me
that he/she/they executed the same in his/her/, authorized capacity(4es-, and that by
his/her/ signature{}on the instrument the person{s}, or the entity upon behalf of which the
person{} acted, executed the instrument.
I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing
paragraph is true and correct.
WITNESS my hand and official seal.
`` ���NATALiE K.TROF7MOfF
;r =a 3 cOMM#2308129
�, J Notary PuWtc-Cafftomla
� 9 Ct3S AN�Ct ES COUNTY
Signature:
(Seal) Natalie K. Trofimoff, Notary Public
ACKNOWLEDGMENT
A notary public or other officer completing this
certificate verifies only the identity of the individual
who signed the document to which this certificate is
attached, and not the truthfulness, accuracy, or
validity of that document.
State of California
County of Los Angeles
On Mafos(A 2.11 2.0 7..I before me, Brett Harper, Notary Public
/ `1 (insert name and title of the officer)
personally appeared \iS4.tov1 &rbc ua., t Pre �
c1 kIf
who proved to me on the basis of satisfactory evidence to be the person&whose name(s,1 are-
subscribed to the within instrument and acknowledged to me that / e/they-executed the in
6/k4e 7,etr authorized capacity(1 and that by nt /heri'their signatureon the instrument the
person(, or the entity upon behalf of which the person(9) acted, executed the instrument.
I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing
paragraph is true and correct.
_ BRETT DYLAN HARPER
WITNESS my hand and official seal. '' = Notary Public-California
= Los Angeles County
Commission#2340893
My Comm.Expires Jan 2,2025
Signature / (Seal)
POWER OF ATTORNEY
UNITED STATES FIRE INSURANCE COMPANY
PRINCIPAL OFFICE-MORRISTOWN,NEW JERSEY
01687411321
KNOW ALL MEN BY THESE PRESENTS:That United States Fire Insurance Company,a corporation duly organized and existing under the laws of the state of Delaware,has
made,constituted and appointed,and does hereby make,constitute and appoint:
C.K.Nakamura,Noemi Quiroz,Maria Pena,Tim M.Tomko,Tiffany Coronado,Jessica Rosser,Natalie K.Trofimoff,
Lisa L. Thornton,Patricia S.Arana
each,its true and lawful Attomey(s)-In-Fact,with full power and authority hereby conferred in its name,place and stead,to execute,acknowledge and deliver:Any and all bond:
and undertakings of surety and other documents that the ordinary course of surety business may require,and to bind United States Fire Insurance Company thereby as fully and tc
the same extent as if such bonds or undertakings had been duly executed and acknowledged by the regularly elected officers of United States Fire Insurance Company at its principa
office,in amounts or penalties not exceeding:Seven Million,Five Hundred Thousand Dollars($7,500,000).
This Power of Attorney limits the act of those named therein to the bonds and undertakings specifically named therein,and they have no authority to bind United States Fire Insurance
Company except in the manner and to the extent therein stated.
This Power of Attorney revokes all previous Powers of Attorney issued on behalf of the Attorneys-In-Fact named above and expires on January 31,2022.
This Power of Attorney is granted pursuant to Article IV of the By-Laws of United States Fire Insurance Company as now in full force and effect,and consistent with Article ID
thereof,which Articles provide,in pertinent part:
Article IV,Execution of Instruments-Except as the Board of Directors may authorize by resolution,the Chairman of the Board,President,any Vice-President,
any Assistant Vice President,the Secretary,or any Assistant Secretary shall have power on behalf of the Corporation:
(a) to execute,affix the corporate seal manually or by facsimile to,acknowledge,verify and deliver any contracts,obligations, instruments and documents
whatsoever in connection with its business including,without limiting the foregoing,any bonds,guarantees,undertakings,recognizances,powers of attorney or
revocations of any powers of attorney,stipulations,policies of insurance,deeds,leases,mortgages,releases,satisfactions and agency agreements;
(b) to appoint, in writing,one or more persons for any or all of the purposes mentioned in the preceding paragraph(a),including affixing the seal of the
Corporation.
Article III,Officers,Section 3.11,Facsimile Signatures. The signature of any officer authorized by the Corporation to sign any bonds,guarantees,undertakings,
recognizances,stipulations,powers of attorney or revocations of any powers of attorney and policies of insurance issued by the Corporation may be printed,
facsimile,lithographed or otherwise produced. In addition,if and as authorized by the Board of Directors,dividend warrants or checks,or other numerous
instruments similar to one another in form,may be signed by the facsimile signature or signatures,lithographed or otherwise produced,of such officer or officers
of the Corporation as from time to time may be authorized to sign such instruments on behalf of the Corporation. The Corporation may continue to use for the
purposes herein stated the facsimile signature of any person or persons who shall have been such officer or officers of the Corporation,notwithstanding the fact
that he may have ceased to be such at the time when such instruments shall be issued.
IN WITNESS WHEREOF,United States Fire Insurance Company has caused these presents to be signed and attested by its appropriate officer and its corporate seal hereunto
affixed this 22nd day of August 2019.
UNITED STATES FIRE INSURANCE COMPANY
Anthony R.Slimowicz,President
State of Pennsylvania }
County of Philadelphia}
On this 22nd day of August 2019,before me,a Notary publicpf the State of Pennsylvania,came the above named officer of United States Fire Insurance Company,
to me personally known to be the individual and officer described herein,and acknowledged that he executed the foregoing instrument and affixed the seal of
United States Fire Insurance Company thereto by the authority of his office.
Commonwealth of Pennsylvania—Notary Seal 00,4110.gt.-
Tamara Watkins,Notary Public
Philadelphia County Tamara Watkins (NotaE):Public),
My commission expires August 22,2023 ��=
Commission number 1348843
I,the undersigned officer of United States Fire Insurance Company,a Delaware corporation,do hereby certify that the originai^ver of Attorney of whiwlhthe
foregoing is a full,true and correct copy is still in force and effect and has not been revoked. _
IN WITNESS WHEREOF,I have hereunto set my hand and affixed the corporate seal of United States Fire Insurance Company on the 18tlday of Mardi 2 1
-
UNITED STATES FIRE INSURANCE COMPANY -
Al Wright,Senior Vice President
Rachelle Arellano
From: Stephen Deitsch <Stephen.Deitsch@bbklaw.com>
Sent: Wednesday, April 7, 2021 11:39 AM
To: Rachelle Arellano
Subject: RE: City Attorney Review April 6, 2021
CAUTION: This email originated from outside your organization. Exercise caution when opening attachments
or clicking links, especially from unknown senders.
Rachelle, I have reviewed and approve as to form the Construction Contract with GBRCON concerning the Sewer
Manhole Restoration Project. You may use my stamped signature for this purpose.
Thanks.
Steve
X
Stephen Deitsch
Partner
stephen.deitsch@bbklaw.com
T:(909)483-6642 C: (951)662-9343
www.BBKlaw.com E It --
Stay at home and public health orders issued in multiple counties across the U.S. require our offices to be
physically closed. Because all staff are working remotely, all documents(including correspondence,
pleadings, and discovery) will be served via e-mail until further notice. Because we may not receive regular
mail or other deliveries during this period of time,please e-mail copies of anything you send by regular mail
or delivery. Send all e-served documents in your case to the e-mail addresses for any Best Best& Krieger LLP
attorney who has appeared in your case, or who has communicated with you by e-mail on your matter.
From: Rachelle Arellano<rarellano@arcadiaca.gov>
Sent:Tuesday, April 6, 2021 10:34 AM
To:Stephen Deitsch <Stephen.Deitsch@bbklaw.com>
Cc: City Attorney<CityAttorney@arcadiaca.gov>
Subject: City Attorney Review April 6, 2021
CAUTION EXTERNAL SENDER.
Hi Steve,
Attached for your review is a zip folder containing the following items for your review:
1. PSA— Security Guard Services — Roger Hiles
2. Covenant —ADU 901 Victoria Rd.
3. Contract— Sewer Manhole Restoration at Community Center and Sewer Main Repair on Santa
Margarita Drive
4. Contract— Huntington Drive Sidewalk & ADA Curb Ramp Improvements
1