HomeMy WebLinkAboutC34853 Extension LMA16 916-20CONTRACT NO. C34853
STAFF REPORT
CITY OF PALM DESERT
PUBLIC WORKS DEPARTMENT
DATE: April 25, 2019
PREPARED BY: Randy Chavez, Landscape Supervisor
REQUEST: Approve Contract No. C34853, Amendment No. 3 to Contract No.
C34850 with Conserve LandCare, Inc., for Landscape Maintenance
Area (LMA) No. 16 in the amount of $172,079.16 and include repair
work and services at the specified amount of $30,000 (Project No.
916-20).
Recommendation
By Minute Motion:
1. Approve a third, one-year extension for Contract No. C34850 with
Conserve LandCare, Inc., for LMA No. 16 in the amount of
$172,079.16;
2. Authorize the City Manager to approve extra repair work and services
up to the specified amount of $30,000; and
3. Authorize the City Manager to execute the contract.
Funds are available in the General Fund Account No. 1104611-4332001,
Repair/Maintenance Landscaping Services.
Strateqic Plan
The Parks and Recreation Priority 1 Goal is highlighted with this project. The Priority 1
Goal mandates that our park system be maintained in a high -quality state.
Backqround Analvsis
Contract No. C34850 was awarded to Conserve LandCare, Inc., by the City Council on
May 12, 2016, for a term of one year, with an option for up to four, one-year extensions.
The second extension, which was awarded May 24, 2018, is set to expire on June 30,
2019. This contract includes the monthly maintenance services for LMA No. 16. Which
Hovley Soccer Park, Freedom Park, Joe Mann Park, University Park East, and
University Dog Park (map attached for reference).
April 25, 2019 - Staff Report
Contract No. C34853, Amendment No. 3 to Contract No. C34850 with Conserve
LandCare, Inc. for LMA No. 16 (Project No. 916-20)
Page 2 of 2
Conserve LandCare has agreed to a third, one-year contract extension commencing
July 1, 2019. However, due to the increase of the State's mandated minimum wage and
other related costs, they are requesting an increase of three percent, or $417.67 per
month ($5,012.40 per year), to help offset the additional costs. Based on Conserve's
performance, staff finds the request to be reasonable. The new total contract amount
will be $172,079.16 per year ($14,339.93 per month).
Repair work and services cover unquantifiable activities necessary for landscape
maintenance that are not part of the landscape maintenance contract. This repair work
and services may include repair and replacement of irrigation equipment; emergency
tree work; replacement of trees and shrubs; pest control; accident repair and
replacement; and vandalism repair and replacement.
Fiscal Analvsis
This contract amount is included within the proposed Fiscal Year 2019-2020 operating
budget. Therefore, there is no anticipated fiscal impact beyond the contract amount.
LEGAL REVIEW
WA
Robert W. Hargreaves
City Attorney
DEPT. REVIEW
Tom arcia, P.E.
Director of Public Works
FINANCIAL CITY
REVIEW MANAGER
an t Moore Lauri Aylaian
Director of Finance Citv Manaoer
CONTRACTOR: Conserve LandCare, Inc.
72265 Manufacturing Road
Thousand Palms, California 92276
ATTACHMENTS: Contract No. C34853, Third Amendment to Contract No. C34850
Payment and Performance Bonds
Contractor's Acceptance Letter
Certificate of Insurance
Vicinity Map of LMA No. 16
CONTRACT NO. C34853
THIRD AMENDMENT TO CONTRACT NO. C34850
WHEREAS, the City of Palm Desert ("City") and Conserve LandCare, ("Contractor"),
entered into an agreement, dated May 12, 2016, for Landscape Maintenance Area No. 16
("Agreement'), the parties wish to amend the Agreement effective July 1, 2019.
NOW, THEREFORE, the parties agree as follows:
A. Term is amended to add the following paragraph to the end of the existing section, as
amended.
"The term of this Agreement is extended, and shall include the time period from July 1,
2019, through June 30, 2020."
B. The Amount of the contract will increase by the sum of five thousand twelve and
40/100 dollars ($5,012.40) for a total annual contract price of $172,079.16.
C. All other terms and conditions of the Agreement shall remain unchanged, and shall
remain in full force and effect.
IN WITNESS WHEREOF, the parties hereto have caused this instrument to be
executed the 25th day of April 2019.
CITY OF PALM DESERT
A Municipal Corporation
Lauri Aylaian, City Manager
City of Palm Desert
Attest:
Rachelle D. Klassen, City Clerk
CITY OF PALM DESERT, CALIFORNIA
Approved as to Form:
Robert W. Hargreaves, ESQ.
City Attorney
CONSERVE LANDCARE, INC.
Contractor
Approved as to Content:
Tom Garcia, P .E.
Director of Public Works
CONTRACT NO. C34853
CONTRACTOR 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 }
} SS
County of Riverside }
On , 20 , before me, , a 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 (Seal)
CONTRACT NO. C34853
PERFORMANCE BOND
KNOW ALL MEN BY THESE PRESENTS: That whereas the City of Palm Desert has
awarded to Conserve LandCare, Inc., hereinafter designated as the "Principal", a
contract for:
LANDSCAPE MAINTENANCE AREA NO. 16
PROJECT NO. 916-20
CONTRACT NO. C34853
WHEREAS, said Principal is required under the terms of said contract to fumish
a good and sufficient bond for the performance of said contract:
NOW THEREFORE, WE, Conserve LandCare, Inc., the Principal, and
as Surety, are held and
firmly bound unto the City of Palm Desert hereinafter called the City, in the penal sum of
One Hundred Seventy -Two Thousand Seventy -Nine and 16/100 Dollars
($172,079.16), being 100% of the contract amount in lawful money of the United States
of America for the payment of which sum well and truly to be made, we hereby bind
ourselves, our heirs, executors, administrators, and successors, 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 (1) year guarantee of all materials and
workmanship; and shall indemnify and save harmless the City, its officials, officers,
employees, and authorized volunteers, as stipulated in said Contract Documents, then
this obligation shall become null and void; otherwise it shall be and remain in full force
an effect.
As a part of the obligation secured hereby and in addition to the face amount
specified therefore, there shall be included costs and reasonable expenses and fees
including reasonable attorney's fees, incurred by the City in enforcing such obligation.
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 the City, during which time if the 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 a defective materials or faulty workmanship. The
obligations of Surety hereunder shall continue so long as any obligation of the
Contractor remains. Nothing herein shall limit the City's rights or the Contractor or
1
CONTRACT NO. C34853
Surety's obligations under the Contract, law or equity, including, but not limited to,
California Code of Civil Procedure Section 337.15.
Whenever the 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:
a. Take over and complete the Project in accordance with all terms and
conditions in the Contract Documents; or
b. 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 the 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.
C. Permit the City to complete the Project in any manner consistent with
California 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 the 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 obligation in the event of default by
the Contractor.
Surety shall not utilize the Contractor in completing the Project nor shall Surety
accept a bid from the Contractor for completion of the Project if the City, when declaring
the Contractor in default, notifies Surety of the City's objection to the 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 to any such change extension of time, alteration or
addition to the terms of the Contract Documents or to the Project.
K
CONTRACT NO. C34853
IN WITNESS WHEREOF, identical counterparts of this instrument, each of which
shall for all purposes be deemed an original thereof, have been duly executed by the
Principal and Surety above named, on this day of , 20
SURETY
BY:
(Signature must be notarized)
Name:
Address:
City/State/Zip Code:
Telephone No.:
Conserve LandCare, Inc.
PRINCIPAL
41
(Signature must be notarized)
INSURANCE COMPANY and/or AGENT
3
CONTRACT NO. C34853
SURETY ACKNOWLEDGEMENT
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
,AN
before me,
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
4
CONTRACT NO. C34853
PRINCIPAL ACKNOWLEDGEMENT
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
before me,
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
5
CONTRACT NO. C34853
PAYMENT BOND
KNOW ALL MEN BY THESE PRESENTS:
THAT WHEREAS, the City of Palm Desert (sometimes referred to hereinafter as "City")
has awarded to Conserve LandCare, Inc. (hereinafter designated as the
"CONTRACTOR/PRINCIPAL"), an agreement dated April 25, 2019, described as
follows: LANDSCAPE MAINTENANCE AREA NO. 16, PROJECT NO. 916-20,
CONTRACT NO. C34853 (hereinafter referred to as the "Contract"); and
WHEREAS, said CONTRACTOR is required to furnish a bond in connection with said
Contract, and pursuant to Section 9100 of the California Civil Code;
NOW, THEREFORE, we, Conserve LandCare, Inc., the undersigned CONTRACTOR,
as Principal, and
a corporation organized and existing under the laws of the State of
, and duly authorized to transact business under the laws of the State of
California, as Surety, are held and firmly bound unto the City of Palm Desert and to any
and all persons, companies or corporations entitled to file stop payment notices under
Section 9100 of the California Civil Code, in the sum of One Hundred Seventy -Two
Thousand Seventy -Nine and 12/100 Dollars ($172,079.12), said sum being not less
than one hundred percent (100%) of the total amount payable by the said City under the
terms of the said Contract, for which payment 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 said CONTRACTOR, his or
its subcontractors, heirs, executors, administrators, successors or assigns, shall fail to
pay any of the persons named in Civil Code Section 9100, fail to pay for any materials,
provisions or other supplies, implements, machinery or power used in, upon, for or
about the performance of the Public Work contracted to be done, for any work or labor
of any kind, or for bestowing skills or other necessary services thereon, or for amounts
due under the Unemployment Insurance Code with respect to such work or labor, 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 said
CONTRACTOR and his or its Subcontractors pursuant to Revenue and Taxation Code
Section 18663 with respect to such work and labor the Surety or Sureties hereon will
pay for the same in an amount not exceeding the sum herein above specified, and also,
in case suit is brought upon this bond, all litigation expenses incurred by the City in such
suit, including reasonable attorney's fees, court costs, expert witness fees and
investigation expenses.
This bond shall inure to the benefit of any of the persons named in the Civil Code
Section 9100 as to give a right of action to such persons or their assigns in any suit
brought upon this bond.
CONTRACT NO. C34853
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 fumishing 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 pertaining or relating to any scheme
or work of improvement herein above described, nor by any rescission or attempted
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 the
City and the original contractor or on the part of any obligee named in such bond, but
the sole conditions of recovery shall be that the claimant is a person described in the
Civil Code Section 9100, 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, 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
day of , 20
PRINCIPAL/CONTRACTOR:
Conserve LandCare, Inc.
(Typed Name of CONTRACTOR)
By:
(Signature)
(Typed Name and Title)
(Signature must be notarized)
The rate of premium on this bond is $
SURETY:
(Typed Name of Surety)
By:
(Signature of Attorney -in -Fact)
(Typed Name of Attorney -in -Fact)
(Signature must be notarized)
The total amount of premium charged: $
(the above must be filled in by corporate surety).
per thousand.
IMPORTANT: Surety companies executing bonds must possess a certificate of
authority from the California Insurance Commissioner authorizing them to write surety
insurance defined in Section 105 of the California Insurance Code, and if the work or
2
CONTRACT NO. C34853
project is financed, in whole or in part, with federal, grant or loan funds, it must also
appear on the Treasury Department's most current list (Circular 570 as amended).
Any claims under this bond maybe addressed to:..
Surety Agent or Representative for service of
process in California if different than Surety
Name: Name:
Address: Address:
City/State/Zip Code: City/State/Zip Code:
Telephone No.: Telephone No.:
SURETY 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
before me,
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
3
CONTRACT NO. C34853
PRINCIPAL 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
before me,
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
4
c♦nserve
LandCare
March 22, 2019
City of Palm Desert
c/o Randy Chavez, Landscape Supervisor
73510 Fred Waring Dr.
Palm Desert, CA 92260
Dear Mr. Chavez,
We wish to take this opportunity to thank both you and the City of Palm Desert for presenting the
opportunity to Conserve Landcare to extend our contract for another year for the landscape maintenance
of LMA 1, 16 and 18. We are very interested in continuing our relationship with the City. We have
reviewed the contracts and are requesting the following increases in the annual contract amounts for LMA
1, 16 and 18 in order to recover increased costs for the forthcoming year.
At this time, we are compelled to address the minimum wage increase. A $1.00 per hour increase was
mandated by the State effective January 1, 2019 and a second $1.00 per hour increase is forthcoming
effective January 1, 2020. Both will effect portions of our 2019/20 contracts.
We are estimating 5,625 hours annually for Area 1. With an average increase of $1.00 per hour, the total
annual increase is $7,495.93 including employers taxes, Social Security, workers compensation and
profit.
We are estimating 7,880 hours annually for Area 16. With an average increase of $1.00 per hour, the
total annual increase is $10,191.09, including employers taxes, Social Security, Workers Compensation,
and profit.
72265 Manufacturing Road
Thousand Palms, CA 92276
Phcne 760-343-1433
Fax 760-343-0433
Conservel-andCare.com
c/nserve
LandCare
We are estimating 3,920 hours annually for Area 18. With an average increase of $1.00 per hour, the
total annual increase is $5,286.97, including employers taxes, Social Security, Workers Compensation
and profit.
This results in the following increases:
LMA 1
Current Yearly Cost % Increase Reauested New Annual Price New Monthlv Price
$ 122,884.08 3% $ 126,570.60 $ 10,547.55
LMA 16
Current Yearly Cost
$ 167,067.12
LMA 18
Current Yearly Cost
% Increase Requested New Annual Price New Monthlv Price
3% $ 172,079.13 $ 14,339.92
6 3
% Increase Reauested New Annual Price New Monthlv Price
86,671.56 3% $ 89,271.70 $ 7,439.30
If there is a way the City can help us offset this cost it would be greatly appreciated. It would also afford
us the opportunity to avoid cutting back on labor to cover this additional expense.
We respectfully ask that you consider this request and look forward to your response.
Sincerely,
Randy Mitchell
Director of Landscape Maintenance
rmitchel l'i?conservelandcare.com
Tel: (760) 250-7246
72265 Manufacturing Road
Thousand Palms, CA 92276
Phone 760-343-1433
Fax 760-343-0433
ConserveLandCare.com
CONSLAN-05 DNIELSEN
ACORO' CERTIFICATE OF LIABILITY INSURANCE DATE(MM/DD/YYYY)
`� 3/29/2019
THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE HOLDER. THIS
CERTIFICATE DOES NOT AFFIRMATIVELY OR NEGATIVELY AMEND, EXTEND OR ALTER THE COVERAGE AFFORDED BY THE POLICIES
BELOW. THIS CERTIFICATE OF INSURANCE DOES NOT CONSTITUTE A CONTRACT BETWEEN THE ISSUING INSURER(S), AUTHORIZED
REPRESENTATIVE OR PRODUCER, AND THE CERTIFICATE HOLDER.
IMPORTANT: If the certificate holder Is an ADDITIONAL INSURED, the policy(ies) must have ADDITIONAL INSURED provisions or be endorsed.
if SUBROGATION IS WAIVED, subject to the terms and conditions of the policy, certain policies may require an endorsement. A statement on
this certificate does not confer rights to the certificate holder In lieu of such endorsement(s).
PRODUCER License A 0757776 C , CT Linda Roche
HUB International Insurance Services Inc. PHONE FAX
77564 Country Club Drive, Suite 401 LArc, No. Vie): (760) 360.4700 4250 [A/c, No1_(760) 360-6450
Palm Desert, CA 92211 ass• Hnda. .rocha� hubinteational.com
! — - - --- --- -- -rn- - - ----- - --- -- - - -
INSURER S) AFFORDING COVERAGE ' NAIC
i INSURER A:Ar(lonaut Insurance -Company •19.801
INSURED l INSURER B : Saiaamore Insurance _Company _ ,40460
Conserve LandCare, Inc. i_nLsURERC-;_Philadelphia Indemnity Insurance Company_ _18058_. _
72-265 ManufactumSU
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INDICATED. NOTWITHSTANDING ANY REQUIREMENT, TERM OR CONDITION OF ANY CONTRACT OR OTHER DOCUMENT WITH RESPECT TO WHICH THIS
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DESCRIPTION OF OPERATIONS / LOCATIONS / VEHICLES (ACORD 101, Additional Remarks Schedule, may be attached H more space is required)
Re: Contract No. C34851 (Project 916-16) Landscape Maintenance Area No. 16
The City of Palm Desert and its employees are named additional Insured per the attached. Insurance is primary and noncontributory.
CERTIFICATE HOLDER CANCELLATION
SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE
C Of Palm Desert THE EXPIRATION DATE THEREOF, NOTICE WILL BE DELIVERED IN
hY ACCORDANCE WITH THE POLICY PROVISIONS.
73-510 Fred Waring Drive
Palm Desert, CA 92260
AUTHORIZED REPRESENTATIVE
4" L/Al,
ACORD 25 (2016/03) 9)1988-2015 ACORD CORPORATION. All rights reserved.
The ACORD name and logo are registered marks of ACORD
Policy No. LAA2901414-00
THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY.
BUSINESS AUTO FLEET ENDORSEMENT
This endorsement modes insurance provided under the following:
BUSINESS AUTO COVERAGE PART
A. BROADENED NAMED INSURED
In SECTION V — DEFINITIONS, item G. is amended as follows:
The definition of "insured" is amended to include the following:
BUSINESS AUTO
"Insured' includes as Named Insured any organization that is acquired or formed by you, in which one or
more Named Insured(s) shown in the Declarations has an ownership interest of more than 50%, if there is no
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However, 'insured' does not include any newly acquired or formed organization:
1. That is a joint venture or partnership;
2. That is an "insured" under any other similar liability or indemnity policy;
3. That has exhausted its limit of insurance under any other similar liability or indemnity policy; or
4. That has existed for 180 days or more after acquisition or formation by you unless you have notified us
of the organization prior to the 181 st day after the effective date of acquisition or formation or the end of
the policy period, whichever is earlier.
No person or organization is an "insured" with respect to the conduct of any current or past partnership or joint
venture that is not shown as a Named Insured in the Declarations.
B. AMENDMENT OF COVERAGE EXTENSIONS
In SECTION II — LIABILITY COVERAGE, the following are amended:
1. Paragraph A.2.a.(2) is replaced by the following:
(2) Up to $2,500 for the cost of bail bonds (including bonds for related traffic law violations) required
because of an "accident" we cover. We do not have to furnish these bonds.
2. Paragraph A.2.a.(4) is replaced by the following:
(4) All reasonable expenses incurred by the "insured" at our request, including actual loss of earnings
up to $500 per day because of time off from work.
C. RENTAL REIMBURSEMENT COVERAGE
Payment applies in addition to the otherwise applicable amount of each coverage you have on a covered "auto".
No deductibles apply to this coverage.
1. This coverage applies only to a covered "auto" described or designated in the Vehicle Schedule or in the
Declarations as carrying physical damage coverage.
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2. We will pay for rental reimbursement expenses incurred by you for the rental of an "auto' because of "loss" to
a covered "auto'.
3. We will pay only for those expenses incurred during the policy period beginning 24 hours after the "loss" and
ending, regardless of the policy's expiration, with the lesser of the following number of days:
a. The number of days reasonably required to repair or replace the covered 'auto'. If "loss' is caused by
theft, this number of days is added to the number of days it takes to locate the covered "auto" and
return it to you;
b. 60 days; or
C. The vehicle is replaced, repaired or returned.
4. Our payment is limited to the lesser of the following amounts:
a. Necessary and actual expenses incurred; or
b. $1,500 maximum.
5. This coverage does not apply while there are spare or reserve "autos" available to you for your operations.
6. If "loss' results from the total theft of a covered "auto" of the private passenger type, we will pay under this
coverage only that amount of your rental reimbursement expenses which is not already provided for under the
PHYSICAL DAMAGE COVERAGE Coverage Extension.
D. COMMUNICATION EQUIPMENT COVERAGE
COVERAGE
a. We will pay, with respect to a covered "auto" described in the Vehicle Schedule or Declarations, for
"loss" to any electronic equipment that receives or transmits audio, visual or data signals and that is not
designed solely for the reproduction of sound. This coverage applies only if the equipment is
permanently installed in the covered "auto" at the time of "loss". Equipment which is removable from a
housing unit which is permanently installed in the covered "auto" and is designed to be solely operated
by use of the power from the "auto's" electrical system in or upon the covered "auto' is considered to be
permanently installed.
b. We will pay, with respect to a covered "auto' described in the Vehicle Schedule or Declarations, for
"loss" to any accessories used with the electronic equipment described in paragraph I.S. above.
However, this does not include tapes, records or discs.
2. LIMIT OF INSURANCE
With respect to this coverage under this endorsement, the LIMIT OF INSURANCE provision for PHYSICAL
DAMAGE COVERAGE is replaced by the following:
a. The most we will pay for all "loss" to audio, visual or data electronic equipment and any accessories
used with this equipment as a result of any one'accident" is the lesser of:
(1) The actual cash value of the damaged or stolen equipment as of the time of the "loss";
(2) The cost of repairing or replacing the damaged or stolen equipment with other equipment of like
kind or quality; or
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BUSINESS AUTO
(3) $2,500.
b. An adjustment for depreciation and physical condition will be made in determining actual cash value at
the time of the "loss".
3. DEDUCTIBLE
No deductibles apply to this coverage.
E. TAPES, RECORDS AND DISCS COVERAGE
1. Under Comprehensive Coverage we will pay for "loss" to tapes, records, discs or other similar devices used
with audio, visual or data electronic equipment. We will pay only N the tapes, records, discs or other similar
devices:
a. Are your property; and
b. Are in a covered "auto" showing visible signs of forcible entry at the time of "loss".
2. The most we will pay for "loss" is $250.
3. PHYSICAL DAMAGE COVERAGE provisions apply to this coverage, except for any deductible.
F. EXTENDED TOWING COVERAGE
In SECTION III - PHYSICAL DAMAGE COVERAGE, the following is amended:
Paragraph A.2. is replaced by the following:
2. Towing
a. We will pay up to the limit shown in b. for towing and labor costs incurred each time an
"auto" is disabled. However, the labor must be performed at the place of disablement.
b. Limit of Insurance
(1) The most we will pay per disablement of a private passenger type "auto" is $75.
(2) The most we will pay per disablement of an "auto" not of the private passenger type
is $500.
G. EXTENDED GLASS COVERAGE
In SECTION III - PHYSICAL DAMAGE COVERAGE, the following is amended:
Paragraph A.3.a. is replaced by the following:
a. Glass breakage. If "loss" is applicable to only the glass of a covered "auto" and the glass is
repaired rather than replaced, the deductible will be waived.
AG 1600 (12.09) Argo Group US Page 3 of 7
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H. AIRBAG COVERAGE
In SECTION III - PHYSICAL DAMAGE COVERAGE, the following is amended:
In B. Exclusions, mechanical breakdown does not apply to an unintended discharge of an airbag. Coverage
is excess over any other collectable insurance or warranty specifically designed to coverage such an
occurrence.
I. ADDITIONAL INSURED AND WAIVER OF SUBROGATION COVERAGE REQUIRED BY "INSURED
CONTRACT", WRITTEN AGREEMENT OR PERMIT
In SECTION II — LIABILITY COVERAGE, item a.1. Who Is An Insured, the following are added as "insureds":
f. Any person, organization, trustee, estate or governmental entity with respect to the operation,
maintenance or use of a covered "auto" if:
(1) You are obligated to add that person, organization, trustee, estate or governmental entity as an
additional "insured" to this policy by:
(a) An expressed provision of an "insured contract' or written agreement; or
(b) An expressed condition of a written permit issued to you by a governmental or public
authority.
(2) The "bodily injury' or "property damage" is caused by an "accident' which takes place after:
(a) You executed the 'insured contract' or written agreement; or
(b) The permit has been issued to you.
The following paragraph is added to SECTION IV — BUSINESS AUTO CONDITIONS:
We waive any right of recovery we may have against any additional "insured" under paragraph f. above, but
only as respects 'loss" arising out of the operation, maintenance or use of a covered 'auto" pursuant to the
provisions or conditions of the 'insured contract", written agreement or permit.
J. HIRED CAR PHYSICAL DAMAGE
The following replaces item 5.b. of B. General Conditions of SECTION IV — BUSINESS AUTO CONDITIONS:
b. Coverage Extension. If Comprehensive, Specified Causes of Loss or Collision coverage is provided by this
policy, you may extend that coverage to apply to Physical Damage "loss" to hired "autos' We will provide
coverage equal to the broadest coverage available to any covered "auto" shown in the Declarations.
This coverage is subject to the following provisions:
(1) The most we will pay for "loss" to a hired "auto" in any one "accident" is the lesser of:
(a) $50,000; or
(b) The actual cash value of the damaged or stolen property as of the time of the "loss;" or
(c) The actual cost of repairing or replacing the damaged or stolen property with other property of like
kind and quality.
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BUSINESS AUTO
(2) For each hired "auto," our obligation to pay for "loss" will be reduced by a deductible equal to the largest
deductible applicable to any owned "auto" for that coverage. No deductible will be applied to "loss"
caused by fire or lightning.
(3) We will also pay up to $500 per "accident" for loss of use of the hired "auto" if it results from an
"accident" for which you are legally liable. The lessor must suffer an actual financial loss for this
coverage to apply.
(4) Hired Car Physical Damage Coverage provided by this extension is excess over any other collectible
insurance.
Under SECTION III — PHYSICAL DAMAGE COVERAGE, A. Coverage, 4. Coverage Extensions, item b. Loss Of
Use Expenses is deleted in its entirety and replaced by the following:
b. Loss of Use Expenses
For Hired Auto Physical Damage, we will pay expenses for which an "insured" becomes legally responsible to
pay for loss of use of a vehicle rented or hired without a driver, under a written rental contract or agreement.
We will pay for loss of use expenses if caused by:
(1) Other than collision only if the Declarations indicate that Comprehensive Coverage is provided for any
covered "auto";
(2) Specified Causes Of Loss only if the Declarations indicate that Specified Causes Of Loss Coverage is
provided for any covered "auto"; or
(3) Collision only if the Declarations indicate that Collision Coverage is provided for any covered "auto".
However, the most we will pay for any expenses for loss of use is $30 per day, subject to a maximum of $900
per "accident."
This extension of coverage does not apply to any "auto" you hire or borrow from:
(1) any of your "employees",
(2) partners (if you are a partnership);
(3) members (if you are a limited liability company); or
(4) members of their households.
K. LEASE OR LOAN PHYSICAL DAMAGE COVERAGE EXTENSION
In the event of a total "loss" to a covered owned 'auto" that does not exceed three model years old, from the current
model year, and is designated in the Vehicle Schedule or the Declarations and shown as having a loss payee or
additional insured — lessor, SECTION III - PHYSICAL DAMAGE COVERAGE, C. Lhnit of Insurance, is replaced
by the following:
We will pay the greater of:
1. "Outstanding indebtedness" under the initial finance agreement for a covered 'auto" and its equipment;
or
2. The actual cash value of the damages or stolen property as of the time of the "loss".
AG 1600 (12-09) Argo Group US Page 5 of 7
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"Outstanding indebtedness" means the amount you owe on the finance agreement at the time of "loss' less
any amounts representing taxes; overdue payments; penalties, interest or charges resulting from overdue
payments; additional mileage charges; excess wear and tear; or lease termination fees.
We will not pay any administrative costs or overhead fees assessed by the finance company who has leased
the covered "auto" to you.
L. AMENDED DUTIES IN THE EVENT OF ACCIDENT, CLAIM, SUIT OR LOSS
SECTION IV — CONDITIONS, A.2. Loss Conditions — Duties in the Event of Accident, Claim, Suit or Loss,
paragraph a. is replaced by the following:
a. In the event of "accident", claim, 'suit" or "loss", you must give us or our authorized representative
prompt notice of the "accident" or "loss" when the "accident" or'loss" is known to:
(1) You or your authorized representative, if you are an individual;
(2) A partner, or an authorized representative, if you are a partnership;
(3) A member, or an authorized representative, if you are a limited liability company; or
(4) An executive officer, insurance manager or authorized representative, if you are a corporation.
Knowledge of an "accident", claim' "suit" or "loss' by other employee(s) does not imply you also have
such knowledge.
Notice to us should include:
(1) How, when and where the "accident" or "loss" occurred;
(2) The "insured's' name and address; and
(3) To the extent possible, the names and addresses of any injured persons and witnesses.
Additionally, your rights afforded under this policy shall not be prejudiced if you fail to give us notice of an
"occurrence", offense, claim or "suit", solely due to your reasonable and documented belief that the
'bodily injury' or 'property damage" is not covered under this policy.
M. AUTO MEDICAL PAYMENTS
if the "insured" has purchased Auto Medical Payments coverage, the limit of liability for those vehicles designated in
the policy as having this coverage will be the greater of:
1. $5,000; or
2. The amount shown in the Declarations.
N. UNINTENTIONAL ERRORS AND OMISSIONS
The following is added to SECTION IV — CONDITIONS, B GENERAL CONDITIONS, item 2. Concealment,
Misrepresentation, or Fraud:
Failure of the "insured" to disclose all hazards existing as of the inception date of the policy that you have
knowledge of shall not prejudice the "insured" with respect to the insurance provided by this policy, provided such
failure to disclose any hazard or any omission of a known hazard is not intentional.
O. REVISED DEFINITION OF "BODILY INJURY"
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SECTION V — DEFINITIONS, definition C. "Bodily injury" is deleted and replaced with the following:
3. "Bodily injury" means bodily injury, sickness or disease sustained by a person, including death resulting from any
of these at any time. "Bodily injury" includes mental anguish or other mental injury, but only to the extent that it is
directly resulting from bodily injury, sickness or disease sustained by that person.
AG 1600 (12-09) Argo Group US Page 7 of 7
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Policy No. LAN2901414-00
THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY.
ADDITIONAL INSURED - OWNERS, LESSEES OR
CONTRACTORS - SCHEDULED PERSON OR
ORGANIZATION
BLANKET -
AS REQUIRED BY WRITTEN CONTRACT
This endorsement modifies insurance provided under the following:
COMMERCIAL GENERAL LIABILITY COVERAGE PART
Policy Effective Date 02/22/2019 'Policy Expiration Date 02/22/2020
Named Insured Conserve Landcare Inc.
If the required policy Information Is not shown above, it will be shown in the Declarations.
SCHEDULE
Name Of Additional Insured Person(s)
Or Organization(s): Location(s) Of Covered Operations
Any person or organization with whom you agreed,
because of a written "insured contract", written agreement
or permit, is an Insured during the policy period.
A. Section II — Who Is An Insured Is amended to
Include as an additional insured the person(s) or
organization(s) shown in the Schedule, but only
with respect to liability for "bodily injury", "property
damage" or "personal and advertising injury"
caused, in whole or in part, by:
1. Your acts or omissions; or
2. The acts or omissions of those acting on your
behalf;
In the performance of your ongoing operations for
the additional Insured(s) at the location(s)
designated above.
However:
1. The insurance afforded to such additional
insured only applies to the extent permitted by
law; and
Blanket as required by written "insured contract".
2. If coverage provided to the additional insured is
required by a contract or agreement, the
insurance afforded to such additional insured
will not be broader than that which you are
required by the contract or agreement to
provide for such additional Insured.
AG CG 2010 B 1216 Includes copyrighted material of Insurance Services Office, Inc. Page 1 of 2
with its permission.
13. With respect to the insurance afforded to these
additional Insureds, the following additional
exclusions apply:
This Insurance does not apply to "bodily injury" or
"property damage" occurring after:
1. All work, including materials, parts or
equipment furnished In connection with such
work, on the project (other than service,
maintenance or repalrs) to be performed by or
on behalf of the additional insured(s) at the
location of the covered operations has been
completed; or
2. That portion of "your work" out of which the
Injury or damage arises has been put to its
Intended use by any person or organization
other than another contractor or subcontractor
engaged in performing operations for a
principal as a part of the same project.
C. With respect to the insurance afforded to these
additional Insureds, the following Is added to
Section III — Limits Of Insurance:
If coverage provided to the additional Insured is
required by a contract or agreement, the most we
will pay on behalf of the additional insured is the
amount of insurance:
1. Required by the contract or agreement; or
2. Available under the applicable Limits of
Insurance shown In the Declarations;
whichever Is less.
This endorsement shall not Increase the
applicable Limits of Insurance shown in the
Declarations.
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with its permission.
COMMERCIAL GENERAL LIABILITY
CG 20 01 04 13
THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY.
PRIMARY AND NONCONTRIBUTORY -
OTHER INSURANCE CONDITION
This endorsement modifies insurance provided under the following:
COMMERCIAL GENERAL LIABILITY COVERAGE PART
PRODUCTS/COMPLETED OPERATIONS LIABILITY COVERAGE PART
The following is added to the Other Insurance
Condition and supersedes any provision to the
contrary:
Primary And Noncontributory Insurance
This insurance is primary to and will not seek
contribution from any other insurance available
to an additional Insured under your policy
provided that:
(1) The additional insured is a Named Insured
under such other insurance; and
(2) You have agreed in writing in a contract or
agreement that this insurance would be
primary and would not seek contribution
from any other insurance available to the
additional insured.
CG 20 01 0413 0 Insurance Services Office, Inc., 2012 Page 1 of 1
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