HomeMy WebLinkAboutHA38760 FY 19-20 Floor Coverings Related Supplies and ServicesCONTRACT NO. HA38760
STAFF REPORT
PALM DESERT HOUSING AUTHORITY
HOUSING DEPARTMENT
MEETING DATE:
June 13, 2019
PREPARED BY:
Jessica Gonzales, Senior Management Anal
REQUEST: Authorize the use of Curtis Allan Floorcoverings, Inc., for purposes
of procuring floor coverings and related supplies and services with
Mohawk Carpet Distribution, Inc., at the Palm Desert Housing
Authority properties in a total annual amount not to exceed $125,000.
Recommendation
By Minute Motion, that the Authority Board,
1) Authorize the use of Curtis Allan Floorcoverings, Inc., as the authorized
vendor for purposes of procuring floor coverings and related supplies and
services (includes costs for non -warrantee partial replacements and repairs)
at the Palm Desert Housing Authority ("Authority") properties for a term of
three years under Sourcewell Agreement Contract No. 121715-MCD with
Mohawk Carpet Distribution, Inc. pursuant to Section 3.30.160 (L) and
3.30.160 (E) of the City of Palm Desert Municipal Code in a total annual
amount not to exceed $125,000; and
2) Confirm continued participation with the service cooperative Sourcewell,
formerly National Joint Powers Alliance ("Sourcewell"); and
3) Authorize the Authority's Legal Counsel to negotiate and finalize an
agreement with Curtis Allan Floorcoverings, Inc.; and
4)
Authorize the Chairman and/or the Executive Director to execute the
Agreement and any documents necessary to effectuate the actions taken
herewith.
Monies have been included in the FY 2019/2020 proposed Authority's operating
budget, in the appropriate Authority accounts for each property.
Housing Commission Recommendation
The Housing Commission will review this recommendation at its regular meeting of
June 12, 2019. Upon request, a verbal report will be provided at the Authority's regular
meeting of June 13, 2019.
June 13, 2019 — STAFF REPORT
Housing Authority — Award of Contract to Curtis Allan (Floor Coverings and Related Services)
Page 2 of 3
Strateqic Plan
This request does not apply to a specific strategic plan goal.
Executive Summary
On November 2015, the Authority approved the use of Curtis Allan Floorcoverings, Inc.
("Curtis Allan") under the former National Joint Powers Alliance ("NJPA") Agreement
Contract No. 121715-MCD with Mohawk Carpet Distribution, Inc. ("Mohawk") as the
primary vendor for purchases of various floor coverings ("flooring"), installation, and
related supplies, equipment and services at the Authority properties. The contract with
Curtis Allan was approved for a one-year term with three one-year extensions taking the
contract through June 30, 2019.
Curtis Allan has been performing satisfactorily under its current contract obligations, the
Authority desires to enter into a new contract for a three (3) year term with the option of
two one-year extensions at the discretion of the Authority.
Backqround Analvsis
The Authority's annual procurement with Curtis Allan includes purchasing of various
flooring materials (i.e., vinyl, carpet, carpet tile, tile, etc.), installation, ancillary flooring
materials (i.e., underlayment, adhesives) and other related supplies, equipment and
services. In addition, the Authority uses Curtis Allan as necessary to complete repairs
and non -warranty services which include partial replacements, repairing seams,
stretching, etc.
This request will allow the Authority to enter into a three (3) year contract with Curtis
Allan beginning July 1, 2019. The contract fee is based on the cooperative pricing
under the Sourcewell contract. (A copy is on file with the City of Palm Desert's City
Clerk's Office.) With the necessary replacements, repairs and reasonable ADA
accommodation requests, the annual not to exceed amount being requested for the new
term remains the same. Any additional increases that may occur during the term of the
contract will continue to be pursuant to the terms of the Sourcewell contract including
any prevailing wage adjustments to labor installation rates.
Under the provisions set forth in the City of Palm Desert Municipal Code ("Municipal
Code"), Section 3.30.160 (L), the Authority may obtain routine and recurring services,
supplies, and maintenance by adopting a procedure approved by the City Manager.
The procurement of flooring and related supplies and services intended to be solicited
from Curtis Allan, have been accepted as routine and recurring. Further, the provisions
of the Municipal Code Section 3.30.160 (E), allow the Authority to participate as a
government entity with the Sourcewell Agreement Contract No. 121715-MCD (Active
from 02/16/2016 - 02/16/2020; a copy is on file with the City of Palm Desert's City
June 13, 2019 — STAFF REPORT
Housing Authority — Award of Contract to Curtis Allan (Floor Coverings and Related Services)
Page 3 of 3
Clerk's Office.). Curtis Allan has confirmed it will provide to the Authority, as a
participating entity, the Sourcewell contract terms, products, product warranty, services
and pricing.
Staff recommends that the Authority enter into a new contract with Curtis Allan for the
procurement of these services and Mohawk products for a three year term with the
option of two one-year extensions for the Properties, effective July 1, 2019 through June
30, 2022. The Contract will be in a total annual amount not to exceed $125,000
including any non -warranty partial replacements and repairs.
Fiscal Analvsis
Approval of staff's recommendation to authorize award of contract with Curtis Allan
would result in an expenditure in a total annual amount not to exceed $125,000
including non -warranty partial replacements and repairs which will be paid from the
annual Authority's proposed operating budget.
LEGAL REVIEW
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City Attorney
CONTRACTOR
ATTACHMENTS
DEPTH R VIEW FINANCIAOEVIEW CITY MANAGER
Jan NKore'Jane r oore '' a n Aylaian� —
Dir for of Finance Dire t of Finance City Manager
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Curtis Allan Floorcoverings, Inc.
132 West 8th Street
National City, CA 91950
Mohawk Letter Regarding Curtis Allen as Vendor
DRAFT Contract
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MOHAWK
INDUSTRIES, INC.
April 19, 2019
Mr. Dave Voelker
Curtis Allen Floor Covering
3035 Palisades Drive
Corona, CA 92880
Ms. Teresa Vakili
RPM Company
One Quail Place
72-600 Fred Waring Drive
Palm Desert, CA 92260
Mr. Voelker and Ms. Vakili,
Per your inquiry, this is to verify that Curtis Allen Floor Covering is a dealer and installation company
currently in good standing with Mohawk Industries, Inc.
Curtis Allen Floor Covering has the ability to continue in good standing when providing flooring and
flooring services to their customers by following commercial and residential use guidelines for products
and services as set by Mohawk Industries.
Thank you for considering Mohawk Industries products for your projects.
Sincerely,
Gregg Fishman
Mohawk Industries, Inc.
160 South Industrial Boulevard
Calhoun, GA 30701
PALM DESERT HOUSING AUTHORITY
PROCUREMENT OF FLOOR COVERINGS AND RELATED SUPPLIES,
EQUIPMENT AND SERVICES
CONTRACT NO. HA 38760
1. INTRODUCTION
1.1 Parties and Date. This Contract is made and entered into this 12T11 day of June, 2019, by
and between the Palm Desert Housing Authority ("Authority") and CURTIS ALLEN FLOOR
COVERING, ("Contractor") for on -call maintenance services for the Authority's PROCUREMENT
OF FLOOR COVERINGS AND RELATED SUPPLIES, EQUIPMENT AND SERVICES
CONTRACT NO. HA 38760 . Authority and Contractor are sometimes individually referred to
herein as "Party" and collectively as "Parties."
1.2 Incornoration 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: Scope of Services (Exhibit A), Compensation Schedule
(Exhibit 13) and any other terms as established by Floor Coverings with Related Supplies, Equipment and
Services Contract No. 121715-MCD with Sourcewell formerly National Joint Powers Alliance and the
respective Request for Proposal issued December 18, 2015.
1.3 Cooperative Procurement. This Contract is entered into pursuant to City of Palm Desert
Municipal Code section 3.30.160, which authorizes participation with other governmental agencies who
have, through a bidding process, determined to award or purchase goods and/or services from Contractor.
1.3.1 Program. The purchase has been made through SOURCEWLL, FORMERLY
NATIONAL JOINT POWERS ALLIANCE ("SOURCEWELL"), a program for the procurement of
goods and services for governmental agencies. Documents related to the procurement of this Contract
shall be made available to Authority upon request.
1.3.2 Piaavback Contract. MOHAWK CARPET DISTRIBUTION, INC. entered
into a contract with SOURCEWELL, FORMERLY NATIONAL JOINT POWERS ALLIANCE
dated February 16, 2016 for Flooring with Related Equipment, Products, Supplies, Installation, and
Services Contract No. 121715-MCD (the "Piggyback Contract"), which was entered pursuant to a
competitive procurement process consistent with the laws of California. Contractor is A CERTIFIED
INSTALLER under the Piggyback Contract. Contractor shall provide goods and services under this
Contract at the same prices and terms as established in the Piggyback Contract. Contractor represents and
warrants that it is not currently providing the same or similar goods or services for lower prices than those
established in the Piggyback Contract.
Construction. The terms and conditions set forth herein shall supersede and take precedence over
any terms and conditions contained in the Piggyback Contract. Contractor shall not be entitled to any
notice or any limitation of damages set forth in the Piggyback Contract except as expressly set forth
herein or required by law.
2. AGREEMENT TO PROVIDE ON -CALL OR AS -NEEDED SERVICES
2.1 Scope of Services. Upon request, Contractor promises and agrees, at its own cost and
expense, to furnish to the Owner all labor, materials, tools, equipment, services, and incidental and
customary work necessary to fully and adequately complete the FLOORING services, including all
structures and facilities necessary for the work or described in the Contract (the "Work"). The Work is
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more particularly described in Exhibit "A" attached hereto and incorporated herein by reference. All
Work shall be subject to, and performed in accordance with this Contract. 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 shall be responsible for securing City of Palm Desert ("City") business license(s), building
permits, and any other licenses or permits necessary to perform the Work.
2.1.1 Work Orders. The Authority may order Contractor to perform any of the Work
identified in the scope of services by issuance of a written Work Order. Upon receipt of a Work Order,
Contractor shall perform all Work expeditiously and shall promptly commence and complete the Work
within a reasonable time or within the time set forth in the Work Order.
2.1.2 Extra Work. At any time during the term of this Agreement, Authority may
request that Contractor perform Extra Work. As used herein, "Extra Work" means any work which is
determined by Authority to be necessary but which the parties did not reasonably anticipate would be
necessary at the execution of this Contract or the issuance of the Work Order. Contractor shall not
perform, nor be compensated for, Extra Work without written authorization from Authority.
2.2 Term. The term of this Agreement shall be from JULY 1, 2019 to JUNE 30, 2022,
unless earlier terminated as provided herein. The Authority shall have the unilateral option, at its sole
discretion, to renew this Contract annually for no more than Two additional one-year terms.
2.3 Compensation. Contractor shall receive compensation, including authorized
reimbursements, for all Work rendered under this Agreement at the rates set forth in Exhibit "B" attached
hereto and incorporated herein by reference. The total compensation shall not exceed One Hundred
Seventy Five Thousand Dollars and Zero Cents ($175,000) including non -warrantee partial
replacements and repairs without the Authority's written authorization. Extra Work may be authorized,
as described below, and if authorized, will be compensated at the rates and manner set forth in this
Agreement or as agreed to by the Parties in writing. Contractor shall not be reimbursed for any expenses
unless identified in Exhibit "B" or authorized in writing by Authority.
2.4 Accountine Records. Contractor shall maintain complete and accurate records with
respect to all costs and expenses incurred under this Agreement. All such records shall be clearly
identifiable. Contractor shall allow Authority to examine, audit, and make transcripts or copies of such
records and any other documents created pursuant to this Contract. Contractor shall allow inspection of all
work, data, documents, proceedings, and activities related to the Contract for a period of three (3) years
from the date of final payment under this Contract.
2.5 Parties' Representatives. The Authority hereby designates JESSICA GONZALES,
SENIOR MANAGEMENT ANALYST AND/OR TERESA VAKILI, SOUTHERN REGION VICE
PRESIDENT WITH RPM COMPANY, or his/her designee, to act as its representative for the
performance of this Contract ("Authority's Representative"). Authority's Representative shall have the
power to act on behalf of the Authority for all purposes under this Contract, and Contractor shall not
accept direction or orders from any person other than the Authority's Representative or his/her designee.
Before starting the Work, Contractor shall submit in writing the names, qualifications and experience of
its proposed representative ("Contractor's Representative") and any proposed designee(s), all of whom
shall be subject to the review and approval of the Authority. The Contractor's Representative and his/her
designees shall have full authority to represent and act on behalf of the Contractor for all purposes under
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this Contract, shall supervise and direct the Work using their best skill and attention, and shall be
responsible for the satisfactory coordination of all portions of the Work. Contractor's Representative or
his/her designee shall be present at the Work site at all times that any Work is in progress.
2.6 Subcontracts. Contractor shall not subcontract any portion of the Work required by this
Agreement, except as expressly stated herein, without prior written approval of Authority. Subcontracts,
if any, shall contain a provision making them subject to all provisions stipulated in this Agreement.
3. PAYMENT AND TERMS
3.1 Monthly Invoices. Each month, Contractor shall submit to the Authority an itemized
application for payment in the format supplied by the Authority indicating the Work completed.
Contractor shall certify that the Work for which payment is requested has been done and that the
materials listed are stored where indicated. Authority shall review the request and pay all undisputed
amounts within 30 days. No payments will be made for Work not completed in accordance with this
Contract.
3.2 Deductions. Authority may deduct or withhold, as applicable, from each progress
payment an amount necessary to protect Authority from loss because of. (1) stop payment notices as
allowed by state law; (2) unsatisfactory prosecution of the work by Contractor; (3) sums representing
expenses, losses, or damages as determined by the Authority, incurred by the Authority for which
Contractor is liable under the Contract; and (4) any other sums which the Authority 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 Authority to deduct any of these sums from a progress
payment shall not constitute a waiver of the Authority's right to such sums.
3.3 Independent Contractor. Control of Subordinates.. The Work shall be performed by
Contractor or under its supervision. Contractor will determine the means, methods and details of
performing the work subject to the requirements of this Contract. Authority retains Contractor on an
independent contractor basis and not as an employee. All persons performing Work shall not be
employees of Authority and shall at all times be under Contractor's exclusive direction and control.
Contractor warrants that all employees and subcontractors shall have sufficient skill and experience to
perform the Work assigned to them. 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 a City Business License, and that such licenses and approvals shall be maintained
throughout the term of this Agreement. Upon Authority's request, Contractor shall provide Authority with
the identification information of any person performing Work and shall provide information related to the
license, registration, and other qualifications of subcontractors. This section does not authorize the
subcontracting of any part of the Work.
3.4 Termination. This Contract may be terminated by Authority at any time by giving
Contractor three (3) days advance written notice. In the event of termination by Authority for any reason
other than the fault of Contractor, Authority shall only pay Contractor for Work performed up to that time
as provided herein. In the event of breach of the Contract by Contractor, Authority may terminate the
Contract immediately without notice, may reduce payment to the Contractor in the amount necessary to
offset Authority's resulting damages, and may pursue any other available recourse against Contractor.
Contractor may not terminate this Contract except for cause. Authority may require Contractor to provide
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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.
4. WORK SITES
4.1 Inspection Of Site. Contractor shall visit sites where Work is to be performed and shall
become acquainted with all conditions affecting the Work prior to commencing the Work. Contractor
shall make such examinations as it deems necessary to determine the condition of the Work sites, its
accessibility to materials, workmen and equipment, and to determine Contractor's ability to protect
existing surface and subsurface improvements. No claim for allowances —time or money —will be allowed
as to such matters after commencement of the Work. Unless expressly stated otherwise in the Special
Conditions or Specifications, Contractor acknowledges that Work sites are occupied residential
communities and that Work shall be completed in a manner that ensures minimal resident impact.
4.2 Field Measurements. Contractor shall make field measurements, verify field conditions
and shall carefully compare such field measurements and conditions and other information known to
Contractor with the Contract Documents, including any plans, specifications, or scope of work before
commencing Work. Errors, inconsistencies or omissions discovered shall be reported to the Authority
immediately and prior to performing any Work or altering the condition.
4.3 Removal of Waste and Debris. Contractor shall remove at its own expense all rubbish
and waste materials resulting from its operations, including any material that may fall in swimming pools,
lagoons, or other water features. If on private property, Contractor must obtain permission from the
property owner prior to removing debris. All debris must be removed before the end of the day unless
otherwise directed by Authority or Authority's agent.
4.4 Notifications to Authority and Residents. The Contractor acknowledges that the
Authority provides forty-eight (48) hours -notice in advance of the start of any Work that is to occur at any
residential unit. Contractor shall provide sufficient notice to the Authority before beginning any such
Work so that the Authority may provide timely notice to residents.
4.5 Safety. Contractor shall execute and maintain its Work so as to avoid injury or damage
to any person or property. In carrying out its Work, Contractor shall at all times 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. Contractor shall prominently display the names and telephone
numbers of at least 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.
4.6 Paths of Travel. Pedestrian paths of travel must be maintained free of obstructions and
hazardous conditions, except where the condition is necessary for completion of the Work. To the extent
any portion of the Work requires obstructing pedestrian paths of travel, the Work shall be performed so as
to minimize the extent of the obstruction. Where Contractor's operations may create hazardous conditions
to pedestrian paths of travel, appropriate signing and barricades shall be installed to safely route
pedestrians around the impacted area. The Authority shall be given at least 48 hours -notice prior to the
creation of any condition affecting pedestrian paths of travel.
4.7 Water Oualitv 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
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laws, rules and regulations that may impact, or be implicated by the performance of the Work including,
without limitation, all applicable provisions of the local ordinances regulating discharges of storm water;
the Federal Water Pollution Control Act (33 U.S.C. § 1251 et seq.); the California Porter -Cologne Water
Quality Control Act (Water Code § 13000 et seq.); and any and all regulations, policies, or permits issued
pursuant to any such authority. Contractor shall additionally comply with the lawful requirements of any
local agency with jurisdiction over the location where the Work is to be conducted, regarding discharges
of storm water to separate storm drain systems or other watercourses, including applicable requirements
in municipal storm water management programs.
4.8 Hazardous Materials and Differing Conditions. Except as set forth in the Special
Conditions or Specifications, should Contractor encounter material reasonably believed to be
polychlorinated biphenyl (PCB) or other toxic wastes, hazardous substance and hazardous materials as
defined in California state or federal law at the Site which have not been rendered harmless, the
Contractor shall immediately stop work at the affected area and shall report the condition to the Authority
in writing. The Authority shall contract for any services required to directly remove and/or abate PCBs,
hazardous substances, other toxic wastes and hazardous materials, and shall not require the Contractor to
subcontract for such services. The Work in the affected area shall not thereafter be resumed except by
written agreement of the Authority and Contractor.
5. CONTRACTOR'S RESPONSIBILITIES
5.1 Loss and Damage. 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 Authority.
5.2 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 the
Contractor observes that the drawings or specifications are at variance with any law, rule or regulation, it
shall promptly notify the Authority in writing. Any necessary changes shall be made by written change
order. If the Contractor performs any work knowing it to be contrary to such laws, rules and regulations,
the Contractor shall be solely responsible for all costs arising therefrom. Contractor shall defend,
indemnify and hold Authority, 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. Each and every provision of law and clause
required by law to be inserted in this Contract shall be deemed to be inserted herein.
5.3 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 Authority 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
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shall act sooner as requested by the Authority 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 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 Authority 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 the 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 Authority, regardless of whether or not such warranties and
guarantees have been transferred or assigned to the Authority by separate agreement and Contractor
agrees to enforce such warranties and guarantees, if necessary, on behalf of the Authority. 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 Authority, the Authority 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 Authority for any expenses incurred hereunder upon demand.
5.4 Indemnification. Contractor shall defend (with counsel of Authority's choosing),
indemnify and hold Authority and City, their officials, officers, agents, employees and representatives
free and harmless from any and all claims, demands, causes of action, costs, expenses, liabilities, losses,
damages or injuries, in law or equity, regardless of whether the allegations are false, fraudulent, or
groundless, to property or persons, including wrongful death, to the extent arising out of or incident to
any acts, omissions or willful misconduct of Contractor, its officials, officers, employees, agents,
consultants and contractors arising out of or in connection with the performance of the Work or this
Contract, including claims made by subcontractors for nonpayment, including without limitation the
payment of all consequential damages and attorneys' fees and other related costs and expenses. To the
fullest extent permitted by law, Contractor shall defend, at Contractor's own cost, expense and risk, with
counsel of Authority's choosing, any and all such aforesaid suits, actions or other legal proceedings of
every kind that may be brought or instituted against Authority, its officials, officers, agents, employees
and representatives. To the extent of its liability, Contractor shall pay and satisfy any judgment, award or
decree that may be rendered against Authority or City, their officials, officers, employees, agents,
employees and representatives, in any such suit, action or other legal proceeding. Contractor shall
reimburse Authority, its officials, officers, agents, employees, and representatives, for any and all legal
expenses and costs incurred by each of them in connection therewith or in enforcing the indemnity herein
provided. The only limitations on this provision shall be those imposed by Civil Code Section 2782.
5.5 Insurance.
5.5.1 Contractor shall not commence work under this Agreement until it has provided
evidence satisfactory to the Authority 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 Authority that the subcontractor has secured all insurance required
under this section.
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Without limiting Contractor's indemnification of Authority or City, and prior to commencement
of Work, Contractor shall obtain, provide and maintain at its own expense during the term of this
Agreement, policies of insurance of the type and amounts described below and in a form satisfactory to
Authority.
5.5.1.1 General Liabilitv Insurance: Contractor shall maintain commercial
general liability insurance with coverage at least as broad as Insurance Services Office form CG 00 01, in
an amount not less than $2,000,000 per occurrence, $4,000,000 general aggregate, for bodily injury,
personal injury, and property damage, including without limitation, blanket contractual liability, and a
$4,000,000 completed operations aggregate. Defense costs shall be paid in addition to the limits. The
policy shall contain no endorsements or provisions limiting coverage for (1) contractual liability; (2) cross
liability exclusion for claims or suits by one insured against another; or (3) contain any other exclusion
contrary to the Agreement.
5.5.1.2 Automobile Liabilitv Insurance: Contractor shall maintain automobile
insurance at least as broad as Insurance Services Office form CA 00 01 covering bodily injury and
property damage for all activities of the Contractor arising out of or in connection with Work to be
performed under this Agreement, including coverage for any owned, hired, non -owned or rented vehicles,
in an amount not less than $1,000,000 combined single limit for each accident.
5.5.1.3 Umbrella or Excess Liability Insurance: Contractor shall obtain and
maintain an umbrella or excess liability insurance policy with limits of not less than $4,000,000 that will
provide bodily injury, personal injury and property damage liability coverage at least as broad as the
primary coverages set forth above, including commercial general liability and employer's liability Such
policy or policies shall include the following terms and conditions:
• A drop down feature requiring the policy to respond in the event that any primary
insurance that would otherwise have applied proves to be uncollectable in whole or in part for any reason;
• Pay on behalf of wording as opposed to reimbursement;
• Concurrency of effective dates with primary policies;
• Policies shall "follow form" to the underlying primary policies; and
• Insureds under primary policies shall also be insureds under the umbrella or excess
policies.
5.5.1.4 Workers' Compensation Insurance: Contractor shall maintain
Workers' Compensation Insurance (Statutory Limits) and Employer's Liability Insurance (with limits of
at least $1,000,000) for Contractor 's employees in accordance with the laws of the State of California,
Section 3700 of the Labor Code In addition, Contractor shall require each subcontractor to similarly
maintain Workers' Compensation Insurance and Employer's Liability Insurance in accordance with the
laws of the State of California, Section 3700 for all of the subcontractor's employees. Contractor shall
submit to Authority, along with the certificate of insurance, a Waiver of Subrogation endorsement in
favor of the Palm Desert Housing Authority, the City of Palm Desert, their officers, agents, employees
and volunteers.
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Products/completed operations coverage shall extend a minimum of three years after project
completion. Coverage shall be included on behalf of the insured for covered claims arising out of the
actions of independent contractors. If the insured is using subcontractors, the Policy must include work
performed "by or on behalf' of the insured. Policy shall contain no language that would invalidate or
remove the insurer's duty to defend or indemnify for claims or suits expressly excluded from coverage.
Policy shall specifically provide for a duty to defend on the part of the insurer. The Palm Desert Housing
Authority, City of Palm Desert, their officials, officers, employees, and agents, shall be included as
insureds under the policy.
5.5.2 Insurance for Subcontractors: All Subcontractor's shall be included as additional
insureds under the Contractor's policies, or the Contractor shall be responsible for causing Subcontractors
to purchase the appropriate insurance in compliance with the terms of these Insurance Requirements,
including adding the Palm Desert Housing Authority and the City of Palm Desert as Additional Insureds
to the Subcontractor's policies. Contractor shall provide to Authority satisfactory evidence as required
under Insurance Section of this Agreement.
5.5.3 Proof of Insurance: Contractor shall provide certificates of insurance to Authority
as evidence of the insurance coverage required herein, along with a waiver of subrogation endorsement
for workers' compensation. Insurance certificates and endorsement must be approved by Authority's Risk
Manager prior to commencement of performance. The certificates and endorsements for each insurance
policy shall be signed by a person authorized by that insurer to bind coverage on its behalf. Current
certification of insurance shall be kept on file with Authority at all times during the term of this contract.
Authority reserves the right to require complete, certified copies of all required insurance policies, at any
time.
5.5.4 Duration of Coverage: Contractor shall 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, his agents, representatives,
employees or subcontractors. Contractor must maintain general liability and umbrella or excess liability
insurance for as long as there is a statutory exposure to completed operations claims. Palm Desert
Housing Authority, City of Palm Desert and their officers, officials, employees, and agents shall continue
as additional insureds under such policies.
5.5.5 Authority's Rights of Enforcement: In the event any policy of insurance required
under this Agreement does not comply with these requirements or is canceled and not replaced, Authority
has the right but not the duty to obtain the insurance it deems necessary and any premium paid by
Authority will be promptly reimbursed by Contractor, or Authority will withhold amounts sufficient to
pay premium from Contractor payments. In the alternative, Authority may cancel this Agreement.
5.5.6 Acceptable Insurers: All insurance policies shall be issued by an insurance
company currently authorized by the Insurance Commissioner to transact business of insurance in the
State of California, with an assigned policyholders' Rating of A- (or higher) and Financial Size Category
Class VII (or larger) in accordance with the latest edition of Best's Key Rating Guide, unless otherwise
approved by the Authority's Risk Manager.
5.5.7 Waiver of Subrogation: All insurance coverage maintained or procured pursuant
to this agreement shall be endorsed to waive subrogation against Palm Desert Housing Authority, City of
Palm Desert, their elected or appointed officers, agents, officials, employees and volunteers, or shall
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specifically allow Contractor or others providing insurance evidence in compliance with these
specifications to waive their right of recovery prior to a loss. Contractor hereby waives its own right of
recovery against Palm Desert Housing Authority and City of Palm Desert, and shall require similar
written express waivers and insurance clauses from each of its subcontractors.
5.5.8 Enforcement of Contract Provisions (Non Estoppel): Contractor acknowledges
and agrees that any actual or alleged failure on the part of the Authority to inform Contractor of non-
compliance with any requirement imposes no additional obligations on the Authority nor does it waive
any rights hereunder.
5.5.9 Primary and Non-Contributiniz Insurance: All insurance coverages shall be
primary and any other insurance, deductible, or self-insurance maintained by the indemnified parties shall
not contribute with this primary insurance. Policies shall contain or be endorsed to contain such
provisions.
5.5.10 Requirements Not Limitiniz: Requirements of specific coverage features or limits
contained in this Section are not intended as a limitation on coverage, limits or other requirements, or a
waiver of any coverage normally provided by any insurance. Specific reference to a given coverage
feature is for purposes of clarification only as it pertains to a given issue and is not intended by any party
or insured to be all inclusive, or to the exclusion of other coverage, or a waiver of any type.
5.5.11 Notice of Cancellation: Contractor agrees to oblige its insurance agent or broker
and insurers to provide to Authority with a thirty (30) day notice of cancellation (except for nonpayment
for which a ten (10) day notice is required) or nonrenewal of coverage for each required coverage.
5.5.12 Additional Insured Status: General liability, Automobile Liability, and if
applicable, Pollution Liability, policies shall provide or be endorsed to provide that the Palm Desert
Housing Authority, City of Palm Desert and their officers, officials, employees, and agents shall be
additional insureds with regard to liability and defense of suits or claims arising out of the performance of
the Agreement, under such policies. This provision shall also apply to any excess liability policies.
5.5.13 Authoritv's Riaht to Revise Requirements: The Authority reserves the right at
any time during the term of the contract to change the amounts and types of insurance required by giving
the Contractor a ninety (90)-day advance written notice of such change. If such change results in
substantial additional cost to the Contractor, the Authority and Contractor may renegotiate Contractor's
compensation.
5.5.14 Self -Insured Retentions: Any self -insured retentions must be declared to and
approved by Authority. Authority reserves the right to require that self -insured retentions be eliminated,
lowered, or replaced by a deductible. Self-insurance will not be considered to comply with these
specifications unless approved by Authority.
5.5.15 Timelv Notice of Claims: Contractor shall give Authority prompt and timely
notice of claims made or suits instituted that arise out of or result from Contractor's performance under
this Agreement, and that involve or may involve coverage under any of the required liability policies.
5.5.16 Safe : Contractor shall execute and maintain its work so as to avoid injury or
damage to any person or property. In carrying out its Work, Contractor shall at all times be in compliance
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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, where applicable, shall include, but shall not be
limited to: (A) adequate life protection and lifesaving equipment and procedures; (B) instructions in
accident prevention for all employees and subcontractors, such as safe walkways, scaffolds, fall
protection ladders, bridges, gang planks, confined space procedures, trenching and shoring, equipment
and other safety devices, equipment and wearing apparel as are necessary or lawfully required to prevent
accidents or injuries; and (C) adequate facilities for the proper inspection and maintenance of all safety
measures.
5.5.17 Additional Insurance: Contractor shall also procure and maintain, at its own cost
and expense, any additional kinds of insurance, which in its own judgment may be necessary for its
proper protection and prosecution of the Work.
5.6 Bonds.
5.6.1 Delivery. To the extent payment and/or performance bonds are required by law
or this Contract such bonds shall be executed or delivered concurrently with this Contract. If required, no
payment will be made to Contractor until the bond has been received and approved by the Authority. If
the Contractor fails to furnish any required bond, the Authority may terminate the Contract for cause.
5.6.2 Bond Provisions. No change or alteration of the Contract (including, without
limitation, an increase in the Total Contract Price), extensions of time, or modifications of the time, terms,
or conditions of payment to the Contractor, will release the surety of the obligation provided by the bond.
To the extent, if any, that the Total Contract Price is increased in accordance with the Contract, the
Contractor shall, upon request of the Authority, cause the amount of the bond to be increased accordingly
and shall promptly deliver satisfactory evidence of such increase to the Authority. The obligations of the
surety under the bonds shall continue so long as any obligation of Contractor related to the subject of the
bond remains.
5.6.3 Suretv Qualifications. Only bonds executed by an admitted surety insurer, as
defined in California Code of Civil Procedure Section 995.120, shall be accepted. The surety must be a
California -admitted surety and satisfactory to the Authority. 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 Authority.
5.6.4 Payment Bond. Contractor shall execute and provide to Authority a Payment
Bond in the amount of the One Hundred Seventy Five Thousand Dollars and Zero Cents ($175,000)
and in a form provided or approved by the Authority.
5.6.5 Performance Bond. Contractor shall execute and provide to Authority a
Performance Bond in the amount of the One Hundred Seventy Five Thousand Dollars and Zero Cents
($175,000) and in a form provided or approved by the Authority.
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6. LABOR LAWS
6.1 Prevailina Waaes. 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. If the Work is 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 $1,000 or more, Contractor agrees to fully comply with such
Prevailing Wage Laws. Authority shall provide Contractor with a copy of the prevailing rates of per diem
wages in 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 Work
available to interested parties upon request, and shall post copies at the Contractor's principal place of
business and at the project site. Contractor shall defend, indemnify and hold the Authority, its elected
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. The Contractor and each
subcontractor shall forfeit as a penalty to the Authority not more than two hundred dollars ($200.00) for
each calendar day, or portion thereof, for each worker paid less than the stipulated prevailing wage rate
for any work done by him, or by any subcontract under him, in violation of the provisions of the Labor
Code.
6.2 Registration. If subject to prevailing wages, this Contract will be subject to compliance
monitoring and enforcement by the Department of Industrial Relations. Contractor shall comply with all
requirements and regulations from the Department of Relations relating to labor compliance monitoring
and enforcement. Pursuant to Labor Code sections 1725.5 and 1771.1, Contractor shall be registered with
the Department of Industrial Relations to perform public work throughout the performance of the Work.
6.3 Mmenticeable Crafts. When 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.
6.4 Hours of Work. 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.
6.5 Pavroll Records. In accordance with the requirements of California Labor Code Section
1776, Contractor shall keep accurate payroll records which are either on forms provided by the Division
of Labor Standards Enforcement or which contain the same information required by such forms.
Responsibility for compliance with California Labor Code Section 1776 shall rest solely with Contractor,
and Contractor shall make all such records available for inspection at all reasonable hours. In accordance
with Labor Code section 1771.4, the Contractor and each subcontractor shall furnish the certified payroll
records directly to the Department of Industrial Relations on a weekly basis and in the format prescribed
by the Department of Industrial Relations, which may include electronic submission
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6.6 Contractor's Labor Certification. By its signature hereunder, Contractor certifies the
following: "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 1, the
undersigned Contractor, agree to and will comply with such provisions before commencing the
performance of the Work on this Contract."
7. MISCELLANEOUS
7.1 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: Curtis Allen Floor Covering
3035 Palisades Dr.
Corona, Ca 92880
ATTN:
Name and Title
Authority: Palm Desert Housing Authority
73-510 Fred Waring Drive
Palm Desert, CA 92260
ATTN: Jessica Gonzales, Senior Management Analyst
Any notice so given shall be considered received by the other Party forty-eight (48) hours 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.
7.2 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, the Contractor hereby offers and agrees to assign to the Authority 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 Authority tender final
payment to the Contractor, without further acknowledgment by the Parties.
7.3 Miscellaneous. 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. Time is of the essence in the
performance of this Contract. 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.
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
Authority. This Contract shall be governed by the laws of the State of California and shall be performed
in Riverside County. This Contract may be executed in counterparts, each of which shall constitute an
original. Contractor represents that it is an equal opportunity employer and that it shall not discriminate
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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.
7.3 Precedence. To the extent there is a conflict between any portions of this Contract, the
order of precedence shall be as follows: change orders, special conditions, technical specifications,
plans/construction drawings, general contract terms, scope of work, standard plans, advertisements for
bid/proposals, bids/proposals or other documents submitted by Contractor.
7.4 Claims of $375,000 or Less. Notwithstanding any other provision herein, claims of
$375,000 or less shall be resolved pursuant to the procedures set forth in California Public Contract Code
§§ 20104, et seq. Contractor shall comply with the claim procedures set forth in Government Code
section 900 et seq. prior to filing any lawsuit against the Authority. If no such Government Code claim is
submitted, or if the prerequisite contractual requirements are not otherwise satisfied as specified herein,
Contractor shall be barred from bringing and maintaining a lawsuit against the Authority.
8. CONTRACTOR'S CERTIFICATIONS
8.1 Certification of License. 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. If this Contract is subject to the Prevailing Wage Law, Contractor further certifies
that Contractor is currently registered with the Department of Industrial Relations to perform public work.
8.2 Authority to Enter Contract. Contractor has all requisite power and authority to conduct
its business and to execute, deliver and perform the Contract. The individuals who have signed this
Contract have the legal power, right and authority to make this Contract and bind Contractor.
IN WITNESS WHEREOF, each of the Parties has caused this Contract to be executed on the day
and year first above written.
PALM DESERT HOUSING AUTHORITY CURTIS ALLEN FLOOR COVERING
By: By:
Susan Marie Weber, Chairman NAME:
ATTEST:
TITLE:
By:
NAME:
TITLE:
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Rachelle D. Klassen, Secretary Contractor's License Number and
Classification
APPROVED AS TO FORM:
Best Best & Krieger LLP
General Counsel
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CONTRACT NO. HA34820
EXHIBIT "A"
SCOPE OF SERVICES
This Contract includes and hereby incorporates in full by reference the Scope of Services as
provided in the SOURCEWELL, FORMERLY NATIONAL JOINT POWERS ALLIANCE
Flooring with Related Equipment, Products, Supplies, Installation, and Services Contract
No. 121715-MCD (the "Piggyback Contract"), and the respective Request for Proposal issued
November 18, 2018.
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EXHIBIT "B"
SCHEDULE OF SERVICES
This Contract includes and hereby incorporates in full by reference the Schedule of Services as
provided in the SOURCEWELL, FORMERLY NATIONAL JOINT POWERS ALLIANCE
Flooring with Related Equipment, Products, Supplies, Installation, and Services Contract
No. 121715-MCD (the "Piggyback Contract"), and the respective Request for Proposal issued
November 18, 2018.
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EXHIBIT "C"
COMPENSATION
This Contract includes and hereby incorporates in full by reference the Compensation for the Scope of
Services to be as provided in the Floor Coverings with Related Supplies, Equipment and Services with
Sourcewell formerly National Joint Powers Alliance and the respective Request for Proposal issued
November 18, 2015.
In the event that this Agreement is renewed, the rates set forth above may be increased or reduced each
year at the time of renewal, but any increase shall not exceed the Consumer Price Index, All Urban
Consumers, Los Angeles -Riverside -Orange Counties.
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