The URL can be used to link to this page

Home My WebLink AboutC38700 Haystack Parkwwy Turf Reduction 980-19Contract No. C38700 STAFF REPORT CITY OF PALM DESERT PUBLIC WORKS DEPARTMENT MEETING DATE: June 27, 2019 PREPARED BY: Randy Chavez, Landscape Supervisor REQUEST: Reject Bid Protest and Award Contract No. C38700 in the amount of $191,052 to Universal Concrete Construction, of Indio, California for the Haystack Parkway Turf Reduction project (Project No. 980-19). Recommendation By Minute Motion: 1) Reject Bid Protest from Urban Habitat Environmental; and 2) Award Contract No. C38700 in the amount of $191,052 to Universal Concrete Construction, of Indio, California for the Haystack Parkway Turf Reduction project (Project No. 980-19); 3) Authorize the Director of Finance to set aside a 10% contingency in the amount of $19,105; 4) Authorize the City Manager or designee to review and execute change orders up to the contingency amount; and 5) Authorize the Mayor to execute the agreement Funds are available in Account No. 4004437-4391503, Capital Project Reserve. Strategic Plan Removal of passive turf along Haystack Road and the redesign of the landscape to drought tolerant plant material meets the goals outlined in the Strategic Plan Objectives as follows: Priority 1 - Energy & Sustainability. Reduce per capita consumption of energy and water. Background Analvsis In an ongoing effort to reduce water consumption on city owned properties, staff inventoried passive turf areas in all city parks and open spaces. Staff found that the turf between the curb/gutter and sidewalk on Haystack Road serves no meaningful purpose. Based on increased water rates, the consumption of thousands of gallons of water a year to irrigate the turf, and damage to the street caused by the overspray, this is an ideal area to reduce turf in the City. Contract No. C38700 June 27, 2019 — Staff Report Award Contract No. C38700 to Universal Concrete Construction for the Haystack Turf Reduction Project (Project No. 980-19) Page 2 of 3 This project will remove approximately 24,000 square feet of turf and replace with drought tolerant landscape along with boulders and other inorganic material. A portion of the water saved will be used to irrigate the new desert landscape along with the turf and trees utilized to stabilize the channel in the greenbelt area. In addition, staff submitted an application for a $2.00 per square foot turf removal rebate from the Coachella Valley Water District. The application was approved on June 13, 2019, and upon completion of the project, the City will receive a rebate of approximately $48,000. On June 12, 2019, the following six (6) sealed bids were received: Contractor 1. Universal Concrete Construction 2. Urban Habitat Environmental 3. AK Landscape Maintenance 4. Conserve LandCare 5. Clean Cut Landscape 6. Kirkpatrick Landscaping Services Annual Location Amount Indio, CA $191,052.00 Indio, CA $217,563.50 Indio, CA $224,150.21 Thousand Palms, CA $254,435.00 Fresno, CA $257,235.00 Indio, CA $288,121.00 Universal Concrete Construction submitted the lowest responsive bid and has satisfactorily performed similar work for other agencies in the past. A bid protest was filed by Urban Habitat Environmental (attached for your reference) and was responded to by Best, Best, & Krieger, indicating that "The City is not required to reject Universal Concrete Construction's bid for how it classified itself", (attached for your reference). Fiscal Analvsis Beyond the cost of the construction contract, which is currently budgeted in Capital Projects for Fiscal Year 2019/20, the city will save several hundred dollars per month in water. In addition, on June 13, 2019, Coachella Valley Water District notified staff that they have approved our application for a rebate of up to $48,000 once the project is complete. LEGAL REVIEW DEPT. REVIEW FINANCIAL CITY MANAGER REVIEW N/AOirector Robert H. Hargreaves Tom Garcia, P.E. M. Moore Lauri Aylaian City Attorney Director of Public Works of Finance City Manager Contract No. C38700 June 27, 2019 — Staff Report Award Contract No. C38700 to Universal Concrete Construction for the Haystack Turf Reduction Project (Project No. 980-19) Page 3 of 3 CONTRACTOR: Universal Concrete Construction 81-857 Villa Real Indio, CA 92203 ATTACHMENTS: Bid Protest Response from BBK Proposal Agreement and Bonds HOA and Commercial Landscape Rebate Confirmation Letter Vicinity Map OURBAN 110HABITAT LANDSCAPE CONTRACTORS VIA E-MAIL ONLY June 14, 2019 Randy Chavez Landscape Supervisor City of Palm Desert 73-510 Fred Waring Drive Palm Desert, CA 92260 Re: Haystack Parkway Turf Reduction Project 980-19, Contract C387W (the "Project") Urban Habitat Bid Protest of Contract Award Dear Mr. Chavez: I am the COO of Urban Habitat, the second -place bidder for the Project. I write to protest the award of a contract by the City of Palm Desert (the "City") for the Project to the apparent low bidder Alfonso Montes dba Universal Concrete Construction ("Universal") because (1) Universal does not have the appropriate C-27 specialty contractors' license for Landscaping to perform the required scope of work, and (2) it misrepresented its qualifications in its bid. The bid requirements state in Paragraph 6: License. "To be considered, a potential bidder must have the type of license required under provisions of the California Business and Professions Code for the work covered in its Bid when its bid is submitted. This includes a joint venture formed to submit a bid." Paragraph 16 requires that if any work is to be done by subcontractors, they must be listed in the bid. Universal listed no subcontractors in its bid, thus it must have the license required to perform the work with its own forces. This is consistent with Section 7059(b) of the Business & Professions Code which provides: In public works contracts, as defined in Section 1101 of the Public Contract Code, the awarding authority shall determine the license classification necessary to bid and perform the project. In no case shall the awarding authority award a prime contract to a specialty contractor whose classification constitutes less than a majority of the project. When a specialty contractor is authorized to bid a project, all work to be performed outside of his or her license specialty, except work authorized by subdivision (a), shall be performed by a licensed subcontractor in compliance with the Subletting and Subcontracting Fair Practices Act (Chapter 4 (commencing with Section 4100) of Part 1 of Division 2 of the Public Contract Code). Universal has a General Engineering License, Class A, and a specialty C-8 Concrete license. Neither of these licenses permits Universal to perform the landscape scope of work for the Project that involves, among other work, installing irrigation systems and trees and plants. That work must be done by a specialty C-27 subcontractor, which Universal effectively admits by misrepresentation in its bid when on Page D-1 in section 9 for DIR Classifications it states: "General Engineering / Concrete Landscape" PO Box 1177 La Qulnta, CA 92247 855.4.My.Habitat CA Lic. # 963744 DURBAN 00HABITAT LANDSCAPE CONTRACTORS Universal does not have a C-27 license with the Contractor's State License Board and certainly a general engineering contractor cannot perform landscape work with its own forces as the type of work is entirely different. We ask that the City not award a contract for the Project to Universal, but instead award the contract to Urban Habitat, the next lowest bidder and the lowest qualified bidder. We look forward to your favorable response to this bid protest. Please contact me if you have questions or need more information. in�;B , Brerenn C00 Urban Habitat cc: Theresa Brennan Thomas N. FitzGibbon, Esq. PO Box 1177 La Quinta, CA 92247 855.4.My.Habitat CA Lic. # 963744 CI1Y Of PRIM 73-510 FRED WARING DRIVE PALM DESERT, CALIFORNIA 92260-2578 TEL: 760 346-o6i i info@cityofpalmdesert.org JULY 17, 2019 VIA OVERNIGHT MAIL, E-MAIL Mr. Brett Brennan Urban Habitat Landscape Contractors P.O. Box 1177 La Quinta, CA 92247 brett @ myurbanhabitat.com Re: Haystack Parkway Turf Reduction Project No. 980-19 Contract No. C38700 — Response to Bid Protest Dear Mr. Brennan: This letter is in response to the bid protest dated June 14, 2019, filed by Urban Habitat Landscape Contractors ("Urban"), for the above captioned project. Your protest states that the contract for the Project should not be awarded to Alfonso Montes dba Universal Concrete Construction ("Universal"), the apparent low bidder, because Universal does not have the appropriate C-27 specialty contractors' license to perform the Project and misrepresented its qualifications in its bid. After review, we find that your bid protest is without merit and will recommend that the City Council reject your bid protest and award the contract to the lowest responsible bidder submitting a responsive bid — Universal. Universal is Not Required to Hold a Specialty Class C-27 License The City is authorized and required by law to specify the license classifications necessary to bid and perform the project, and a contractor must strictly conform to those classifications. (See Bus. & Prof. Code, § 7059; Pub. Contract Code, § 3300.) Here, the City specified a Class "A" Contractors' license and/or any combination of Class "C" specialty Contractors' License(s) sufficient to perform the work. (See Notice Inviting Bids.) Universal holds a Class A license and is, therefore, responsive to the licensing requirements under the Contract Documents. Urban's assertion that Universal may not self -perform work otherwise covered by a specialty classification is a misstatement of the contractor licensing laws. �~� PpINIEU Op pE(Y(lEU PpPFR Mr. Brett Brennan June 17, 2019 Page 2 Class A (General Engineering) contractors may contract to perform all or any part of a project that falls under the description of a Class A license. Business & Professions Code section 7056 indicates that a General Engineering contractor can perform, among other things, "fixed works requiring specialized engineering knowledge and skill, including the following divisions or subjects: irrigation, drainage... parks, playgrounds and other recreational works ... land leveling and earthmoving projects, excavating, grading, trenching, paving and surfacing work and cement and concrete works in connection with the above -mentioned fixed works." (emphasis added.) In contrast, a C- 27 landscaping contractor "constructs, maintains, repairs, installs, or subcontracts the development of landscape systems and facilities for public and private gardens and other areas which are designed to aesthetically, architecturally, horticulturally, or functionally improve the grounds within or surrounding a structure or a tract or plot of land. In connection therewith, a landscape contractor prepares and grades plots and areas of land for the installation of any architectural, horticultural and decorative treatment or arrangement." (16 Cal. Code Regs. 832.27 (emphasis added).) As you can see, work required for the Project including, but not limited to, installation of irrigation systems, clearing and grubbing, and grading adjustment are permitted under a Class A license. Further, the installation of trees and plants is not specifically called out in the description of either a Class A or a Class C-27 contractor, but installation of trees and plants is similar to other types of work permitted under a Class A license such as "parks, playgrounds, or other recreational works . . . land leveling and earthmoving projects, excavating [and] grading ..." Both the California Attorney General and courts have noted that a contractor holding a Class A license may perform work covered by a specialty license classification. (See Pacific Caisson & Shoring, Inc. v. Bernards Bros Inc. (2011) 198 Cal.App.4th 681; 40 Ops.Cal.Atty.Gen 112 (1962).) Here, Universal's Class A license is clearly responsive to the City's licensing requirements for the Project and authorizes it to self -perform the work Urban notes is covered exclusively by a Class C-27 specialty license. Moreover, a Class A licensed contractor is not legally required to possess the specialty licenses for each portion of specialty work in a project if such specialty work is a part of a larger project which the contractor is entitled to perform. (See e.g. Pacific Caisson & Shoring, Inc. v. Bernards Bros. Inc. (2011) 198 Cal. App. 4th 681; Ron Yates Construction Co. v. Superior Court (1986) 186 Cal App 3d 337 (California case law supports a broad construction of the term "specialized engineering knowledge and skill" such that it encompasses other activities not specifically called out in the text of Business & Professions Code section 7056).) Universal is a Class A contractor as required by the Notice Inviting Bids, therefore Universal is legally authorized to self - perform the installation of trees and plants (which is a component of the Project for which the City required a Class A license). [ I I y Uf PH1M 0IsIRI €, PRIREEU OR RFRYREs PAPER Mr. Brett Brennan June 17, 2019 Page 3 II. The City is Not Required to Reject Universal's Bid for How it Classified Itself Urban argues that Universal misrepresented its qualifications in its bid by listing in Section 9 DIR Classification, "General Engineering/Concrete Landscape." The City fails to see how Universal misrepresented its qualifications when it answered a question regarding DIR classifications and not qualifications. The City does not share Urban's concern with this answer, as it was responsive to the bid documents. The City Council will consider the award of this contract at its meeting on June 27, 2019. City staff will recommend that the Council reject the bid protest submitted by Urban as meritless and award the contract to the lowest responsible bidder submitting a responsive bid — Universal. Si rely, D'1K. Tom Garcia, P.E. Director of Public Works City of Palm Desert cc: Randy Chavez, Landscape Supervisor Cora L. Gaugush, Management Specialist 11 CITY Of PRIM OHIRI QI Moo ON Kama unt C — CONTRACTOR'S BID HAYSTACK PARKWAY TURF REDUCTION PROJECT NAME 980-19 CONTRACT NO. C38700 TO: CITY OF PALM DESERT, "CITY" DATE: 6-12-2019 BIDDER: UNIVERSAL CONCRETE CONSTRUCTION "CONTRACTOR" The UNDERSIGNED, "CONTRACTOR", having carefully examined the site and the Contract Documents for the construction of, HAYASTACK PARKWAY TURF REDUCTION, PROJECT NO. 980-19, CONTRACT NO. C38700 hereby proposes to construct the work in accordance with the Contract Documents, including Addenda No(s). #1 for the amount stated in this Bid. By submitting this Bid, the Contractor agrees with the City: 1. That unless withdrawn in person by CONTRACTOR or some person authorized in writing by CONTRACTOR before the time specified in the Notice Inviting Bids for the public opening of bids, this Bid constitutes an irrevocable offer for 60 calendar days after that date. 2 The CITY has the right to reject any or all Bids and to waive any irregularities or informalities contained in a Bid. 3. That the contract shall be awarded only by the governing body :of CITY. Said contract shall only be deemed awarded after the CONTRACTOR'S complete submission of all contract documents, bonds, insurance documentation, and the CITY shall obtain all necessary signatures of the governing. body, at which time the contract shall be deemed awarded. 4. To submit to CITY such information as CITY may require to determine the Bidder's financial standing experience and to perform thework. 5. That the accompanying cash, certified or cashier's check or Bid Bond constitutes a guarantee that if awarded the contract, CONTRACTOR will execute the Agreement and deliver the required bonds and certificates of insurance within 10 days after notice of award. If CONTRACTOR fails to execute and deliver said documents, the cash, check or Bid Bond is to be charged with the costs of the resultant damages to CITY, including but not limited to publication costs, the difference in money between the amount bid and the amount in excess of the bid which costs CITY to do or cause to be done the work involved, lease and rental costs, additional salaries and overhead, increased interest and costs of funding the project, attorney expense, additional engineering and architectural expense C-1 and cost of maintaining or construction alternate facilities occasioned by the failure to execute and deliver said documents. 6. It is understood that the quantities shown hereon, except for those quantities marked "Lump. Sum"., are estimates and the final payment will be based upon the actual work performed, subject to such adjustment and alterations as elsewhere provided herein. INO ITEM DESCRIPTION UNITS QUAN" !TY COS TOTAL 1 Mobilization LS 1 $ 11, 000 $11, 000 2 Traffic Control LS 1 $ 14, 540 $14, 540 3 Clearing and Grubbing LS 1 $ 28, 000 $ 28,000 4 Grading Adjustment LS 1 $ 14, 300 $14., 300 5 Brahea armata 63 $ 385.00 $24, 255 2 ft. Brown Truck Height (BTH) EA 6 Caesalpinea cacaloco smoothie" EA 1 $ 80.00 $ 80.00 1-5 Gallon Eucalyptus spathulata I EA 1 $ 255.00 $255.00 P-4" Box 8 Hesperaloe funifera I EA 29 $ 17.00 $ 493.00 5 (3allon 9 Yucca pallida EA 56 $ 21.00 $1,176.00 5 Gallon 10 Callistemon citrinus "Jeffersii" I EA 65 $ 17.00 $1,105.00 5 Gallon 11 Senna oliogophylla I EA 43 $15.00 $ 645.00 5 Gallon 12 �Hesperaloe parviflora EA 38 $ 15.00 $570.00 �i Gam P13 ipa tenuissima EA83 $ 8.00 $664.00 Gallon 14 Yucca elata EA 33 $ 21.00 $693.00 5 Gallon 15 Agave parryi "Hybrld" ( EA 123 $ 25.00 $3, 075.00 5Gallon 16 IFerocactus acanthodes EA 107 $ 55.00 $5, 885.00 10" Dianlefer minimum 17 �puntia cacanapa "Elllisiana EA 30 $ 16.00 $ 480. 00 Gallon 18 IFouquieria splendens-7 cane EA 22 $ 150.00 $3, 300.00 minimum and 7' tall minimum C-2 19 Yucca rostrate 28 $ 17.00 $476.00 5 Gallon 20 Decomposed Granite -- 3" thick "Brimstone" SQFT 16,000 ± $ 1.55 $24, 800.0 ) 21 Crushed Rock n3" to 6" size -- SQFT 8,000 + $1. 48 $ 11, 840.00 Apache Brown 22 Boulder -Desert Select-4' diameter EA 17 $135.00 $ 22, 295. 00 23 Boulder -Desert Select-3' diameter EA 58 $100.00 $5, 800.00 24 Boulder -Desert Select-2' diameter EA 79 $ 75.00 $ 5, 925.00 25 Irrigation System Installation LS 1 $26, 400 $26, 400.Oil 26 Plant Establishment and LS 1 $ 3, 000 $3, 000.00 Maintenance TOTAL BID :PRICE $191,052.00 The costs of any work shown or required in the Plans .and Specifications, but not specifically identified as a Pay Item are included in the related Pay Item(s), and no additional compensation shall be due CONTRACTOR by virtue of CONTRACTOR'S compliance with the Plans and Specifications. TOTAL AMOUNT BASE BID IN FIGURES $ 191, 052.00 TOTAL AMOUNT BASE BID IN WORDS one hundred ninety one thousand, fifty two dollars. no cents IN WITNESS WHEREOF CONTRACTOR ecuted this 'Bid as of a set forth on Page C-1. By: Ure (must be notarized) Title: OWNER C-3 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 Califomip County of vkto 4-t— On !�� ; 20 befor me, �Yc �[ T (IlJC1P.c��0 u person lly appeared "&-"o� 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 signatures(s) onthe 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. WITNEkS§ my hand an fFicial seal. Sgw� ignature of Notary Public 01 sHEMFYABBEY 'COMM. #2181017 s x NOTARY PUBLIC • CALIFORNIA RNERSIDE COUNTY } Conmissfon Eghs Feb. 13, 2021 ?v:.:•. �.ti:•rrvunnw.wr C-4 Contract No. C38700 AGREEMENT THIS AGREEMENT is made and entered into this 27th day of June 2019, by and between City of Palm Desert, California; hereafter called "CITY," and Universal Concrete Construction. hereinafter called "CONTRACTOR." W I T N E S S E T H RECITALS: CONTRACTOR has submitted to CITY its Contractor's Bid for the construction of CITY Project, 1. Haystack Parkwav Turf Reduction, PROJECT NO. 980-19; CONTRACT NO. C38700, in strict accordance with the Contract Documents identified below, and CITY has accepted said Bid. 2. CONTRACTOR states that it has re-examined its CONTRACTOR'S Bid and found it to be correct, has ascertained that its Subcontractors are properly licensed and possess the requisite skill and forces, has examined the site and Contract in accordance with the Contract Documents for the money set forth in its Bid to be paid as provided in the Contract Documents. AGREEMENT: IT IS AGREED BY THE PARTIES AS FOLLOWS: 1. Contract Documents: The entire contract consists of the following: (a) The Agreement, (b) The Notice Inviting Bids, (c) The Instruction to Bidders, (d) The Contractor's Bid, (e) Public Works Contractor DIR Registration Certification, (f) Noncollusion Declaration, (g) The Bidder's Bond, (h) Performance Bond, (i) The Payment Bond, (j) The Iran Contracting Certification, (k) General Specifications, (1) The Special Provisions, (m) The Standard Specifications as modified in other portions of the Contract Documents, (n) The Plans, (o) Any Change Orders issued, (p) Any additional or supplemental specifications, notices, instructions and drawings issued in accordance with the provisions of the Contract Documents (q) The Determination of Prevailing Wage Rates for Public Works, (r) Addenda No.(s) 1. All of said Documents presently in existence are by this reference incorporated herein as if here set forth in full and upon the proper issuance of their documents they shall likewise be deemed incorporated. 2. Contractor shall commence the work within ten calendar days after the date of the Notice to Proceed and will do all things necessary to construct the work generally described in Recital No. 1 in accordance with the Contract Documents and will complete said work within 45 Calendar Days from the Notice to Proceed date to the satisfaction of the Engineer. Page 1 Contract No. C38700 3. Contractor agrees to indemnify, defend and save CITY and its officers, agents and employees, and the Engineer harmless from: a Any and all liability, claims, damages, losses or injuries to any person or other entity, including injury to Contractor's employees, and all claims which arise from or are connected with the negligent performance of or failure to perform the work or other obligations of this Agreement, or which are caused or which are claimed to be caused by the negligent or intentional acts or omissions of Contractor, its subcontractors, its agents or employees, and, all expenses of investigating and defending against same, b. Any and all liability, claims, damages, losses or injuries to any and all contractors, subcontractors, material -men, laborers, or any other person, firm or corporation furnishing or supplying work, services, materials or supplies in connection with the performance of the Agreement. o Attention is directed to the General Specifications - Claims, Liability, and Indemnity Agreement/Hold Harmless sections, which specifications are made part of this Agreement as set forth in Agreement paragraph 1, above. d Attention is directed to Section 6-9, "Liquidated Damages" of the Standard Specifications and is hereby amended to substitute the "City of Palm Desert" in place of "Agency." Liquidated damages shall be $500.00 per calendar day of delay. 4. Should any litigation or arbitration be commenced between the parties concerning the works of improvements as referenced herein, the prevailing party in any such litigation, being the CITY or the Contractor, should be entitled to a reasonable sum for attorney's fees incurred in any such litigation relating to this Contract. 5. This Agreement shall be binding upon all parties hereto and their respective heirs, executors, administrators, successors, and assigns. 6. Contractor shall be paid in the manner set forth in the Contract Documents the amount of its Bid as accepted by CITY, subject to such additions and deductions as may be made pursuant to the Contact Documents and applicable law. Satisfactory Performance: The prime Contractor agrees to pay each Subcontractor under this prime contract for satisfactory performance of its contract no later than 10 days from the receipt of each payment the prime Contractor receives from City of Palm Desert. Any delay or postponement of payment from the above referenced time frame may occur only for good cause following written approval of the City of Palm Desert. Release of Retention: The prime Contractor agrees further to release retention payments to each Subcontractor within 30 days after the Subcontractor's work is Page 2 Contract No. C38700 satisfactorily completed. Any delay or postponement of payment from the above referenced time frame may occur only for good cause following written approval of the City of Palm Desert. 7. Provisions Required by Law and Contractor Compliance. Each and every provision of law required to be included in these Contract Documents shall be deemed to be included in these Contract Documents. The Contractor shall comply with all requirements of applicable federal state and local laws, rules and regulations, including but not limited to the provisions of the California Labor Code and the California Public Contract Code. 8. Execution of the Agreement by the parties constitutes their agreement to abide by all applicable provisions of the California Labor Code; constitutes contractor's certification that he is aware of the provisions of said Code and will comply with them; and further constitutes Contractor's certification asfollows: "I am aware of the provisions of Section 3700 of the California Labor Code which requires every employer to be insured against liability for workers' compensation or to undertake self-insurance in accordance with the provisions of that Code, and I will comply with such provisions before commencing the performance of the work of this contract." IN WITNESS WHEREOF the parties hereto have executed or caused to be executed by their duly authorized officials, this Agreement which shall be deemed an original on the date first above written. CONTRACTOR: BY: TITLE: CITY: M (Signature to be notarized) Susan Marie Weber TITLE: Mavor of Palm Desert, CA APPROVED AS TO CONTENT: TOM GARCIA, P.E. DIRECTOR OF PUBLIC WORKS ATTEST BY: ATTEST BY: TITLE: Citv Clerk of Palm Desert, CA APPROVED AS TO FORM: ROBERT W. HARGREAVES CITY ATTORNEY Page 3 Contract No. C38700 CONTRACTOR ACKNOWLEDGMENT A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document, to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document. State of California ) County of ) On , 20 , before me, , 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 of Notary Public Page 4 Contract No. C38700 PERFORMANCE BOND KNOW ALL MEN BY THESE PRESENTS: That whereas the City of Palm Desert has awarded to Universal Concrete Construction hereinafter designated as the "Principal", a contract for: HAYSTACK TURF REDUCTION PROJECT PROJECT NO. 980-19 CONTRACT NO. C38700 WHEREAS, said Principal is required under the terms of said contract to furnish a good and sufficient bond for the performance of said contract: NOW THEREFORE, WE, Universal Concrete Construction, 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 Ninetv One Thousand. Fiftv Two and 00/100 Dollars ($191.152.00), 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 Surety's obligations under the Page 1 Contract No. C38700 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. Page 2 Contract No. C38700 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 (Corporate Seal) Contractor/Principal Title: (Corporate Seal) Surety By: Attorney -in -Fact Signatures of those signing for the Contractor/Principal must be notarized and evidence of corporate authority attached. (Attach Attorney -in -Fact Certificate) Title: The rate of premium on this bond is $ per thousand. The total amount of premium charged: $ (The above must be filled in by corporate surety) Signatures of those signing for the Contractor/Principal and Surety must be notarized and evidence of corporate authority attached. A copy of the Power -of -Attorney to local representatives of the bonding company must be attached hereto. 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 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). THIS IS A REQUIRED FORM toy 40, .._ _ . . Surety Agent or Representative or 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.: NOTE: A copy of the Power -of -Attorney authorizing the person signing on behalf of the Surety to do so must be attached hereto. Page 3 Contract No. C38700 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 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 of Notary Public Page 4 Contract No. C38700 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 of Notary Public Page 5 Contract No. C38700 PAYMENT BOND KNOW ALL MEN BY THESE PRESENTS: THAT WHEREAS, the City of Palm Desert (sometimes referred to hereinafter as "City") has awarded to Universal Concrete Construction (hereinafter designated as the "CONTRACTOR/PRINCIPAL"), an agreement dated June 27. 2019 described as follows: Haystack Turf Reduction Project: Proiect 980-19: Contract No. C38700. (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; WHEREAS, said Principal is required to furnish a bond in connection with said Contract; providing that if said Principal or any of its Subcontractors shall fail to pay for any materials, provisions, provender, equipment, or other supplies used in, upon, for, or about the performance of the work contracted to be done, or for any work or labor done thereon of any kind, or for amounts due under the Unemployment Insurance Code, or for any amounts required to be deducted, withheld, and paid over to the Employment Development Department from the wages of employees of said Principal and its Subcontractors with respect to such work or labor the Surety on this bond will pay for the same to the extent hereinafter set forth. NOW, THEREFORE, we, Universal Concrete Construction, 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 Ninety One Thousand, Fiftv Two and 00/100 Dollars ($191,152.00), 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 Page 1 Contract No. C38700 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. It is further stipulated and agreed that the Surety on this bond shall not be exonerated or released from the obligation of this bond by any change, extension of time for performance, addition, alteration or modification, in, to or of any contract plans, specifications, or agreement pertaining or relating to any scheme or work of improvement herein above described, or pertaining or relating to the furnishing of labor, materials, or equipment therefore, nor by any change or modification of any terms of payment or extension of the time for any payment 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 PRINCIPAVCONTRACTOR: (Typed Name of Principal/Contractor) SURETY: By: By: (Signature) (Signature to be Notarized) (Typed Name and Title) (Typed Name of Surety) (Signature of Attorney -in -Fact) (Signature to be Notarized) (Typed Name of Attorney -in -Fact) Page 2 Contract No. C38700 The rate of premium on this bond is $ per thousand. The total amount of premium charged: $ (The above must be filled in by corporate surety) 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 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). Signatures of those signing for the Principal/Contractor and Surety must be notarized and evidence of corporate authority attached. A copy of the Power -of -Attorney to local representatives of the bonding company must be attached hereto THIS IS A REQUIRED FORM I n . tais underhs httttayec# ... Agent or Representative for service of Surety process in California if different than Surety Name: Name: i Address: Address: City/State/Zip Code: City/State/Zip Code: Telephone No.: Telephone No.: Page 3 Contract No. C38700 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. 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 of Notary Public Page 4 Contract No. C38700 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 of Notary Public Page 5 f WTIR COACHELLAVALLEYWATER DISTRICT Established in 1918 as a public agency 1 GENERAL MANAGER ASSISTANT GENERAL MANAGER Jim Barrett Robert Cheng 6/13/19 Via email: rchavez@cityofpalmdesert.org Dear Valued CVWD Customer: File: 0585.09.1 Subject: HOA and Commercial Landscape Rebate Application Account No. 330559-849954, 330551-849952- City of Palm Desert- 73-020 Haystack Rd and 72-991 Calliandra St Thank you for your interest in the HOA and Commercial Landscape Rebate Program (Program). Review of your rebate application, plans and the results of your pre -site inspection conducted on 6/12/19 are now complete. Your rebate application has been pre -approved for 24,000 square feet of turf removal at $2 per square foot. Congratulations, you may proceed with your project! The pre -approval amount is based on information the applicant provided as the approximate total square footage in their Turf Removal Request. Receiving pre -approval is solely an estimate and does not guarantee a rebate. Please note that in order to receive a rebate, your project must meet the following criteria: 1. Turf must be replaced with desert -friendly plants and permeable landscape surfaces with a minimum of 25% plant canopy at full growth or maturity. 2. If artificial turf is installed, you must provide a copy of receipt for newly installed artificial turf upon project completion. 3. All hardscape and weed barriers must be permeable. Plastic sheeting as a weed barrier is not allowed and will disqualify the site for the rebate Program. 4. All exposed soil must be covered with a 2-3" layer of mulch (acceptable mulch includes compost, bark, wood chip, decomposed granite, river rock). 5. Existing overhead irrigation systems within the project area must be capped off and converted to drip irrigation or bubblers. If artificial turf is used, some spray heads may remain. 6. Retained spray irrigation must be on a separate valve from any drip irrigation. 7. All retrofitted areas must have an operating pressure within the sprinkler/drip irrigation per manufacturer's specifications. Therefore, drip irrigation requires the installation of a pressure regulator. 8. Project area irrigation must be controlled using a smart irrigation controller. Once your conversion is complete, contact CVWD Water Management to schedule a Post Conversion Final Inspection upon the project's completion. You have 90 days from the date of this letter to do so. Rebate amounts are subject to change upon verification of final inspection. Coachella Valley Water District P.O. Box 1058 Coachella, CA 92236 ` Phone (760) 398-2651 Fax (760) 398-3711 www.cvwd.org 6/12/19 If you fail the Post Conversion Final Inspection, CVWD will attempt to allow you to make changes to the project to comply with the Program and be eligible for the rebate. CVWD will conduct one (1) additional Post Conversion Final Inspection within 30 days of the failed inspection. CVWD will not provide more than two (2) inspections for failure to follow Program guidelines. After the project conversion is completed, approved and verified, a rebate check will be mailed to the billing or mailing address associated with the customer's account within 90 days. Please note, the converted project areas must remain in compliance with all Program conditions for a period of at least five (5) years from the date of project approval. Please contact Water Management at extension 3461 for Program or project questions or to schedule your Post Conversion Final Inspection. Sincerely, CVWD Outdoor Rebates Team Water Management RR: rr\wm\turf rebate\pd\cityofpalmdesert\73020haystackrd\72991calliandrast ll J Coachella Valley Water District P.O. Box 1058 Coachella, CA 92236 Phone (760) 398-2651 Fax (760) 398-3711 www.cvwd.org � c ; f anEaa J w w a a � � CO h a --- mg LU w Y N Q y w (]VON HONVH d31 H-LnOS f EJRg "Ay w PRAME 0 w w z G - w 3 7 O a 4] t G W 1 3d A