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HomeMy WebLinkAboutC34862 Extension LMA18 - 918-16 Contract No. C34862 STAFF REPORT / ! t' V CITY OF PALM DESERT PUBLIC WORKS DEPARTMENT DATE: May 24, 2018 PREPARED BY: Randy Chavez' Landscape Supervisor REQUEST: Approve the second extension to Contract No. C34860 with Conserve LandCare, Inc., for Landscape Maintenance Area No. 18 in the amount of $86,671.56, and include repair work and services at the specified contract amount not to exceed 20 percent, or $17,335 (Project No. 918-16). Recommendation By Minute Motion: 1. Approve a second extension for Contract No. C34860 with Conserve LandCare, Inc., for Landscape Maintenance Area No. 18 in the amount of $86,671.56; 2. Authorize repair work and services at the specified contract amount not to exceed 20 percent, or $17,335; and 3. Authorize the City Manager to execute the contract. Funds are available in the General Fund Account No. 1 1 0461 1-4332001, Repair/Maintenance Landscaping Services. Strategic Plan Objective This is an on-going landscape maintenance function and contributes to our goal of providing a uniquely beautiful desert environment in highly visible areas of the City. Background Analysis The subject contract was awarded to Conserve LandCare, Inc., by the City Council on May 12, 2016, for a term of one year, with an option for four, one-year extensions. The first extension, which was awarded April 27, 2017, is set to expire on June 30, 2018. This contract includes the monthly landscape maintenance of Palma Village Park, Ironwood Park, Cahuilla Hills Park, Homme-Adams Park, Washington Charter School and the Community Gardens (map attached for reference). May 24, 2018 - Staff Report Approve C34862 with Conserve, 2nd Amend for LMA 18 Page 2 of 2 Conserve LandCare has agreed to a second, one-year contract extension commencing July 1, 2018. However, due to the increase of the State's mandated minimum wage and other related costs, they are requesting an increase of approximately 4.6 percent, or $317.63 per month ($3,811.56 per year), to help offset the additional costs. Based on Conserve LandCare's performance, staff finds the request to be reasonable. The request will raise the contract amount to $7,222.63 per month or $86,671.56 per year. Repair work and services covers unquantifiable activities necessary for landscape maintenance, which are not part of the landscape maintenance contract. This repair work and services may include repair and replacement of irrigation equipment; emergency tree work; replacement of trees and shrubs; pest control; and accident and vandalism repair and replacement. Fiscal Analysis The activity is included within the proposed FY 18/19 operating budget; therefore, there is no anticipated fiscal impact beyond the contract amount. LEGAL REVIEW DEPT. REVIEW FINANCIAL REVIEW CITY MANAGER N/A /4 -1 /" Robert W. Hargreaves Timoth' R. onasson;'P.E. t Moore Lauri Aylaian City Attorney Independent Interim Director Director of Finance City Manager of Public Works CONTRACTOR: Conserve LandCare 72265 Manufacturing Road Thousand Palms, California 92276 ATTACHMENTS: C34862, Second Amendment to C34860 Payments and Performance Bonds Certificate of Insurance Ltr from Conserve LandCare, Inc. Vicinity Map LMA 18 /bg CONTRACT NO. C34862 SECOND AMENDMENT TO AGREEMENT WHEREAS, the City of Palm Desert ("City") and Conserve LandCare, ("Contractor"), entered into an agreement, dated May 12, 2016, for Landscape Maintenance Area No. 18 ("Agreement"), the parties wish to amend the Agreement effective July 1, 2018. NOW, THEREFORE, the parties agree as follows: A. Term is amended to add the following paragraph to the end of the existing section, as amended. "The term of this Agreement is extended, and shall include the time period from July 1, 2017, through June 30, 2018." B. The Amount of the contract will increase by the sum of three thousand eight hundred eleven and 56/100 dollars ($3,811.56) for a total annual contract price of$86,671.56. C. All other terms and conditions of the Agreement shall remain unchanged, and shall remain in full force and effect. IN WITNESS WHEREOF, the parties hereto have caused this instrument to be executed the 24th day of May 2018. CITY OF PALM DESERT CONSERVE LANDCARE, INC. A Municipal Corporation Contractor Lauri Aylaian, City Manager City of Palm Desert Attest: Approved as to Content: Rachelle D. Klassen, City Clerk Timothy R. Jonasson, P .E. CITY OF PALM DESERT, CALIFORNIA Independent Interim Director of Public Works Approved as to Form: Robert W. Hargreaves, ESQ. City Attorney CONTRACT NO. C34862 CONTRACTOR NOTARY ACKNOWLEDGMENT A Notary Public or other officer completing this certificate verifies only the identity of the individual who signed the document, to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document. State of California } } SS County of Riverside } On , 20 , before me, , a Notary Public, personally appeared , who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. WITNESS my hand and official seal. Signature (Seal) Contract No. 34862 PERFORMANCE BOND KNOW ALL MEN BY THESE PRESENTS: That whereas the City of Palm Desert has awarded to Conserve LandCare, Inc., hereinafter designated as the "Principal", a contract for: LANDSCAPE MAINTENANCE AREA NO. 18 PROJECT NO. 918-16 CONTRACT NO. C34862 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, Conserve LandCare, Inc., the Principal, and as Surety, are held and firmly bound unto the City of Palm Desert hereinafter called the City, in the penal sum of Eight-Six Thousand Six Hundred Seventy-One and 56/100 Dollars ($86,671.56), being 100% of the contract amount in lawful money of the United States of America for the payment of which sum well and truly to be made, we hereby bind ourselves, our heirs, executors, administrators, and successors, jointly and severally, firmly by these presents. THE CONDITION OF THIS OBLIGATION IS SUCH, that if the Contractor, his or its heirs, executors, administrators, successors or assigns, shall in all things stand to and abide by, and well and truly keep and perform the covenants, conditions and agreements in the contract Documents and any alteration thereof made as therein provided, on its part, to be kept and performed at the time and in the manner therein specified, and in all respects according to their intent and meaning; and shall faithfully fulfill all obligations including the one (1) year guarantee of all materials and workmanship; and shall indemnify and save harmless the City, its officials, officers, employees, and authorized volunteers, as stipulated in said Contract Documents, then this obligation shall become null and void; otherwise it shall be and remain in full force an effect. As a part of the obligation secured hereby and in addition to the face amount specified therefore, there shall be included costs and reasonable expenses and fees including reasonable attorney's fees, incurred by the City in enforcing such obligation. As a condition precedent to the satisfactory completion of the Contract Documents, unless otherwise provided for in the Contract Documents, the above obligation shall hold good for a period of one (1) year after the acceptance of the work by the City, during which time if the Contractor shall fail to make full, complete, and satisfactory repair and replacements and totally protect the City from loss or damage resulting from or caused by a defective materials or faulty workmanship. The obligations of Surety hereunder shall continue so long as any obligation of the Contractor remains. Nothing herein shall limit the City's rights or the Contractor or 1 Contract No. 34862 Surety's obligations under the Contract, law or equity, including, but not limited to, California Code of Civil Procedure Section 337.15. Whenever the Contractor shall be, and is declared by the City to be in default under the Contract Documents, the Surety shall remedy the default pursuant to the Contract Documents, or shall promptly, at the City's option: a. Take over and complete the Project in accordance with all terms and conditions in the Contract Documents; or b. Obtain a bid or bids for completing the Project in accordance with all terms and conditions in the Contract Documents and upon determination by Surety of the lowest responsive and responsible bidder, arrange for a Contract between such bidder, the Surety and the City and make available as work progresses sufficient funds to pay the cost of completion of the Project, less the balance of the contract price, including other costs and damages, for which Surety may be liable. The term "balance of the contract price" as used in this paragraph shall mean the total amount payable to the Contractor by the City under the Contract and any modification thereto, less any amount previously paid by the City to the Contractor and any other set offs pursuant to the Contract Documents. c. Permit the City to complete the Project in any manner consistent with California law and make available as work progresses sufficient funds to pay the cost of completion of the Project, less the balance of the contract price, including other costs and damages, for which Surety may be liable. The term "balance of the contract price" as used in this paragraph shall mean the total amount payable to the Contractor by the City under the Contract and any modification thereto, less any amount previously paid by the City to the Contractor and any other set offs pursuant to the Contract Documents. Surety expressly agrees that the City may reject any contractor or subcontractor which may be proposed by Surety in fulfillment of its obligation in the event of default by the Contractor. Surety shall not utilize the Contractor in completing the Project nor shall Surety accept a bid from the Contractor for completion of the Project if the City, when declaring the Contractor in default, notifies Surety of the City's objection to the Contractor's further participation in the completion of the Project. The Surety, for value received, hereby stipulates and agrees that no change, extension of time, alteration or addition to the terms of the Contract Documents or to the Project to be performed thereunder shall in any way affect its obligations on this bond, and it does hereby waive notice to any such change extension of time, alteration or addition to the terms of the Contract Documents or to the Project. 2 Contract No. 34862 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 Conserve LandCare, Inc. SURETY PRINCIPAL BY: BY: (Signature must be notarized) (Signature must be notarized) INSURANCE COMPANY and/or AGENT Name: Address: City/State/Zip Code: Telephone No.: 3 Contract No. 34862 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 4 Contract No. 34862 PRINCIPAL ACKNOWLEDGEMENT A Notary Public or other officer completing this certificate verifies only the identity of the individual who signed the document, to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document. State of California ) County of ) On before me, personally appeared , who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. WITNESS my hand and official seal. Signature 5 Contract No. 34862 PAYMENT BOND KNOW ALL MEN BY THESE PRESENTS: THAT WHEREAS, the City of Palm Desert (sometimes referred to hereinafter as "City") has awarded to Conserve LandCare, Inc. (hereinafter designated as the "CONTRACTOR/PRINCIPAL"), an agreement dated May 24, 2018, described as follows: LANDSCAPE MAINTENANCE AREA NO. 18, PROJECT NO. 918-16, CONTRACT NO. C34862 (hereinafter referred to as the "Contract"); and WHEREAS, said CONTRACTOR is required to furnish a bond in connection with said Contract, and pursuant to Section 9100 of the California Civil Code; NOW, THEREFORE, we, Conserve LandCare, Inc., the undersigned CONTRACTOR, as Principal, and a corporation organized and existing under the laws of the State of , and duly authorized to transact business under the laws of the State of California, as Surety, are held and firmly bound unto the City of Palm Desert and to any and all persons, companies or corporations entitled to file stop payment notices under Section 9100 of the California Civil Code, in the sum of Eight-Six Thousand Six Hundred Seventy-One and 56/100 Dollars ($86,671.56), said sum being not less than one hundred percent (100%) of the total amount payable by the said City under the terms of the said Contract, for which payment well and truly to be made, we bind ourselves, our heirs, executors and administrators, successors and assigns, jointly and severally, firmly by these presents. THE CONDITION OF THIS OBLIGATION IS SUCH, that, if said CONTRACTOR, his or its subcontractors, heirs, executors, administrators, successors or assigns, shall fail to pay any of the persons named in Civil Code Section 9100, fail to pay for any materials, provisions or other supplies, implements, machinery or power used in, upon, for or about the performance of the Public Work contracted to be done, for any work or labor of any kind, or for bestowing skills or other necessary services thereon, or for amounts due under the Unemployment Insurance Code with respect to such work or labor, or for any amounts required to be deducted, withheld, and paid over to the Employment Development Department or Franchise Tax Board from the wages of employees of said CONTRACTOR and his or its Subcontractors pursuant to Revenue and Taxation Code Section 18663 with respect to such work and labor the Surety or Sureties hereon will pay for the same in an amount not exceeding the sum herein above specified, and also, in case suit is brought upon this bond, all litigation expenses incurred by the City in such suit, including reasonable attorney's fees, court costs, expert witness fees and investigation expenses. This bond shall inure to the benefit of any of the persons named in the Civil Code Section 9100 as to give a right of action to such persons or their assigns in any suit brought upon this bond. 1 Contract No. 34862 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 . PRINCIPAL/CONTRACTOR: SURETY: Conserve LandCare, Inc. (Typed Name of CONTRACTOR) (Typed Name of Surety) By: By: (Signature) (Signature of Attorney-in-Fact) (Typed Name and Title) (Typed Name of Attorney-in-Fact) (Signature must be notarized) (Signature must be notarized) 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 2 Contract No. 34862 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). . .r..,. { !})7+ et=z=, se s�',�'g °.:.�fP e ,e�sfr_..+ems a'�ec>• 1 Surety Agent or Representative for service of process in California if different than Surety Name: Name: Address: Address: City/State/Zip Code: City/State/Zip Code: Telephone No.: Telephone No.: SURETY ACKNOWLEDGMENT A Notary Public or other officer completing this certificate verifies only the identity of the individual who signed the document, to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document. State of California ) County of ) On before me, personally appeared , who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. WITNESS my hand and official seal. Signature 3 Contract No. 34862 PRINCIPAL ACKNOWLEDGMENT A Notary Public or other officer completing this certificate verifies only the identity of the individual who signed the document, to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document." State of California ) ) County of ) On before me, personally appeared , who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. WITNESS my hand and official seal. Signature 4 �...,11 CONSLAN-01 LROCHA ACORO` CERTIFICATE OF LIABILITY INSURANCE DATE(MM/DDIYYYY) �� 03/23/2018 THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE HOLDER.THIS CERTIFICATE DOES NOT AFFIRMATIVELY OR NEGATIVELY AMEND, EXTEND OR ALTER THE COVERAGE AFFORDED BY THE POLICIES BELOW. THIS CERTIFICATE OF INSURANCE DOES NOT CONSTITUTE A CONTRACT BETWEEN THE ISSUING INSURER(S),AUTHORIZED REPRESENTATIVE OR PRODUCER,AND THE CERTIFICATE HOLDER. IMPORTANT: If the certificate holder Is an ADDITIONAL INSURED,the policy(ies)must have ADDITIONAL INSURED provisions or be endorsed. If SUBROGATION IS WAIVED, subject to the terms and conditions of the policy,certain policies may require an endorsement. A statement on this certificate does not confer rights to the certificate holder in lieu of such endorsement(s). PRODUCER License#OF09643 E CT Linda Rocha Desert Empire Ins Services,Inc. 77564 Country Club Drive (A/CONNo,Eat):(760)360-4700 I FAX(A/C,NO...(760)360-6430 Suite 401 _ ss;linda.rocha@desertempireins.com- Palm Desert,CA 92211 INSURER(S)AFFORDING COVERAGE NAICM INSURER A:WOSCo Insurance Company _.._.. �25011 INSURED INSURER B:Philadelphia Insurance Companies __. .._23850 Conserve LandCare,Inc. L INSURER c:Sagamore Insurance Company 40460 72-265 Manufacturng Road i INSURER D:Hartford Casualty Insurance Company 29.424_ Thousand Palms,CA 92276 i INSURER E: —.._....- .. . INSURER F: COVERAGES CERTIFICATE NUMBER: REVISION NUMBER: THIS IS TO CERTIFY THAT THE POLICIES OF INSURANCE LISTED BELOW HAVE BEEN ISSUED TO THE INSURED NAMED ABOVE FOR THE POLICY PERIOD INDICATED. NOTWITHSTANDING ANY REQUIREMENT, TERM OR CONDITION OF ANY CONTRACT OR OTHER DOCUMENT WITH RESPECT TO WHICH THIS CERTIFICATE MAY BE ISSUED OR MAY PERTAIN, THE INSURANCE AFFORDED BY THE POLICIES DESCRIBED HEREIN IS SUBJECT TO ALL THE TERMS, EXCLUSIONS AND CONDITIONS OF SUCH POLICIES.LIMITS SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS. INSR'. TYPE OF INSURANCE ADDL SUBR: POUCY NUMBER POLICY EFF POUCY EXP OMITS LTR ,INSD,WYD ,IMM/DD/YYYY1 IMM/DD/YYYYI A X •COMMERCIAL GENERAL UABILITY . EACH OCCURRENCE -S 1,000,000 ; J I CLAIMS-MADE ; X OCCUR b(VPP1242999 03 02/22/2018 02/22/2019 DAMAGE TO RENTED 100,000 X PREMISES(Ea occurrence) S MED EXP(Any one person) S 5,000 PERSONAL 8 ADV INJURY S 1'000'000 ._G_E_N•L AGGREGATE LIMIT APPLIES PER- GENERAL AGGREGATE i S 2,000,000 • POLICY 1 X;PET LOC PRODUCTS-COMP/OPAGG 2,000,000 5 .—.__ OTHER • I S A AUTOMOBILE LIABILITY •COMBINED SINGLE LIMIT 1,000,000 �(Fa acatlentL — $ X I ANY AUTO X .WPP1242999 03 02/22/2018 02/22/2019: BODILY INJURY(Per person) .S _ OWNED I SCHEDULED AUTOS ONLY AUTOSSWNEp B OORDILY INJURY(Per accident),S • X I HIREDTS ONLY X AUUTOS ONLY PROPERTYt.AMAGE S :S B UMBRELLA UAB 1 X:OCCUR EACH OCCURRENCE 1$ 4,000,000 X EXCESS LIAR 'CLAIMS-MADE PHUB618846 02/22/2018 02/22/2019 AGGREGATE SS 4,000,000 I DED I RETENTIONS I 15 C WORKERS COMPENSATION X .STATUTE R ' I OT ERH AND EMPLOYERS'LIABILITY • Y/N SW-2305825-01 04/01/2018! 04/01/2019 1,000,000 ANY PROPRIETOR/PARTNER/EXECUTIVE I N/A E.L.EACH ACCIDENT ,$ (Mandatory OFFICER/MEMBER EXCLUDED? I 1,000,000 (Mandatory In NH) E L DISEASE-EA EMPLOYEE;S If yes.descnbe under 1,000,000 DESCRIPTION OF OPERATIONS below E.L.DISEASE-POLICY LIMIT S D ;Equipment Floater 72MSHA0131 01/10/2018: 01/10/2019 $100,000/$1,000 Ded • • 1 DESCRIPTION OF OPERATIONS I LOCATIONS I VEHICLES (ACORD 101,Additional Remarks Schedule,may be attached If more space Is required) Re:Contract No.C34851(Project 916-16)Landscape Maintenance Area No.16 The City of Palm Desert and its employees are named additional Insured per the attached.Insurance is primary and non-contributory. CERTIFICATE HOLDER CANCELLATION 1 SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE Cityof Palm Desert THE EXPIRATION DATE THEREOF, NOTICE WILL BE DELIVERED IN ACCORDANCE WITH THE POLICY PROVISIONS. 73-510 Fred Waring Drive Palm Desert,CA 92260 AUTHORIZED REPRESENTATIVE ' ./Y/f,se,%4C ACORD 25(2016/03) ©1988-2015 ACORD CORPORATION. All rights reserved. The ACORD name and logo are registered marks of ACORD Policy#WPP1242999 02 COMMERCIAL GENERAL LIABILITY CG20380413 THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY. ADDITIONAL INSURED - OWNERS, LESSEES OR CONTRACTORS - AUTOMATIC STATUS FOR OTHER PARTIES WHEN REQUIRED IN WRITTEN CONSTRUCTION AGREEMENT This endorsement modifies insurance provided under the following: COMMERCIAL GENERAL LIABILITY COVERAGE PART A. Section II — Who Is An Insured is amended to B. With respect to the insurance afforded to these include as an additional insured: additional insureds; the following additional 1. Any person or organization for whom you are exclusions apply: performing operations when you and such This insurance does not apply to: person or organization have agreed in writing 1. "Bodily injury", "property damage" or "personal in a contract or agreement that such person or and advertising injury" arising out of the organization be added as an additional insured rendering of, or the failure to render, any on your policy; and professional architectural, engineering or 2. Any other person or organization you are surveying services; including: required to add as an additional insured under a. The preparing, approving, or failing to the contract or agreement described in prepare or approve, maps, shop drawings, Paragraph 1.above. opinions, reports, surveys, field orders, Such person(s) or organization(s) is an additional change orders or drawings and insured only with respect to liability for "bodily specifications; or injury', "property damage" or "personal and advertising injury"caused, in whole or in part, by: b. engineering inspection, architectural or activities. a. Your acts or omissions; or This exclusion applies even if the claims against b. The acts or omissions of those acting on any insured allege negligence or other wrongdoing your behalf; in the supervision, hiring, employment, training or in the performance of your ongoing operations for monitoring of others by that insured, if the the additional insured. "occurrence" which caused the "bodily injury" or However, the insurance afforded to such "property damage, or the offense which caused the "personal and advertising injury", involved the additional insured described above: rendering of, or the failure to render; any a. Only applies to the extent permitted by law; professional architectural; engineering or and surveying services. b. Will not be broader than that which you are 2. "Bodily injury' or "property damage" occurring required by the contract or agreement to after: provide for such additional insured. a. All work, including materials, parts or A person's or organization's status as an equipment furnished in connection with additional insured under this endorsement ends such work, on the project (other than when your operations for the person or service, maintenance or repairs) to be organization described in Paragraph 1. above are performed by or on behalf of the additional completed. insured(s) at the location of the covered operations has been completed; or CG 20 38 04 13 ®Insurance Services Office, Inc., 2012 Page 1 of 2 b. That portion of'your work" out of which the 2. Available under the applicable Limits of injury or damage arises has been put to its Insurance shown in the Declarations; intended use by any person or organization whichever is less. other than another contractor or subcontractor engaged in performing This endorsement shall not increase the operations for a principal as a part of the applicable Limits of Insurance shown in the same project. Declarations. C. With respect to the insurance afforded to these additional insureds, the following is added to Section III—Limits Of Insurance: The most we will pay on behalf of the additional insured is the amount of insurance: 1. Required by the contract or agreement described in Paragraph A.1.; or Page 2 of 2 ©Insurance Services Office, Inc., 2012 CG 20 38 0413 COMMERCIAL GENERAL LIABILITY CG20010413 THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY. PRIMARY AND NONCONTRIBUTORY - OTHER INSURANCE CONDITION This endorsement modifies insurance provided under the following: COMMERCIAL GENERAL LIABILITY COVERAGE PART PRODUCTS/COMPLETED OPERATIONS LIABILITY COVERAGE PART The following is added to the Other Insurance (2) You have agreed in writing in a contract or Condition and supersedes any provision to the agreement that this insurance would be contrary: primary and would not seek contribution Primary And Noncontributory Insurance from any other insurance available to the additional insured. This insurance is primary to and will not seek contribution from any other insurance available to an additional insured under your policy provided that: (1) The additional insured is a Named Insured under such other insurance; and CG 20 01 0413 ©Insurance Services Office, Inc., 2012 Page 1 of 1 POLICY NUMBER: WPP1242999 02 COMMERCIAL AUTO CA990187 0715 This Endorsement Changes The Policy. Please Read It Carefully BUSINESS AUTO COVERAGE EXPANSION ENDORSEMENT This endorsement modifies insurance provided by the following: BUSINESS AUTO COVERAGE FORM With respect to coverage provided by this endorsement,the provisions of the COVERAGE FORM apply unless modified by the endorsement. A. Newly Acquired or Formed e. An"employee"of yours is an"insured" Organizations, Employee Hired Car while operating an"auto"hired or rented Liability and Blanket Additional Insured under a contract or agreement in that Status for Certain Entities. "employee's" name, with your Item 1.Who is an Insured of Paragraph A. permission,while performing duties Coverage under SECTION II—COVERED related to the conduct of your business. AUTOS LIABILITY COVERAGE is f. Any person or organization you are amended to add: required by written contract or d. Any organization you newly acquire or agreement to name as an additional form, other than a partnership,joint insured", but only with respect to venture or limited liability company, and liability created in whole or in part by over which you maintain ownership of a such agreement. majority interest(greater than 50%), will B. Increase Of Loss Earnings Payment qualify as a Named Insured; however, Subpart(4) of a.Supplementary Payments (1) coverage under this provision is of Item 2. Coverage Extensions of afforded only until the 180t day Paragraph A.Coverage under SECTION II after you acquire or form the —COVERED AUTOS LIABILITY organization or the end of the policy COVERAGE is amended to read: period, whichever is earlier; (4) We will pay reasonable expenses (2) coverage does not apply to"bodily incurred by the"insured"at our injury', "property damage"or request, including actual loss of "covered pollution cost or expense" earnings up to$1,000 per day that results from an"accident"which because of time off from work. occurred before you acquired or C. Fellow Employee Injured By Covered formed the organization;and Auto You Own Or Hire (3) coverage does not apply if there is Item 5. Fellow Employee of Paragraph B. other similar insurance available to Exclusions under SECTION II—COVERED that organization, or if similar AUTOS LIABILITY COVERAGE is insurance would have been amended to add: available but for its termination or the exhaustion of its limits of This exclusion does not apply if the"bodily insurance. injury"results from the use of a covered "auto"you own or hire. Such coverage as This insurance does not apply if is afforded by this provision is excess over coverage for the newly acquired or any other collectible insurance. formed organization is excluded either by the provisions of this coverage form or by endorsement. CA990187 0715 Includes Copyrighted Material of Insurance Services Offices,Inc. Page 1 of 5 Used with permission D. Limited Automatic Towing Coverage G. "Personal Effects" Coverage Item 2.Towing,of Paragraph A. Coverage, Item 4.Coverage Extensions of Paragraph under SECTION III—PHYSICAL DAMAGE A. Coverage, under SECTION III- COVERAGE is amended to read: PHYSICAL DAMAGE COVERAGE,is amended to add: 2. Towing We will pay for towing and labor costs "Personal Effects" Coverage each time that a covered"auto"is We will pay actual cash value for"loss"to disabled. All labor must be performed at "personal effects"of the"insured"while in the place of disablement of the covered a covered"auto"subject to a maximum "auto". limit of$2,500 per"loss", for that covered "auto"caused by the same"accident". No a. The limit for towing and labor for deductible will apply to this coverage. each disablement is$500; H. "Downtime Loss"Coverage b. No deductible applies to this cover- age. Item 4. Coverage Extensions, of Paragraph A. Coverage, under SECTION E. Item 3.Glass Breakage—Hitting A Bird III. PHYSICAL DAMAGE COVERAGE, is Or Animal—Falling Objects or Missiles of amended to add: Paragraph A. Coverage under SECTION III e"Downtime Loss"Coverage —PHYSICAL DAMAGE COVERAGE, is g amended to add: We will pay any resulting"downtime loss" Glass Repair Coverage expenses you sustain as a result of a covered physical damage"loss"to a We will waive the Comprehensive covered"auto" up to a maximum of$100 deductible for Glass, if one is indicated on per day,for a maximum of 30 days for the your covered"auto", for glass repairs. We same physical damage"loss", subject to will repair at no cost to you, any glass that the following conditions: can be repaired without replacement, provided the"loss"arises from a covered a. We will provide"downtime loss"beginning on the 5 day after we have given you Comprehensive"loss"to your"auto". our agreement to pay for repairs to a F. Increase Of Transportation Expense covered"auto"and you have given the Coverage repair facilit y ty your authorization to make Subpart a.Transportation Expenses of repairs; Item 4.Coverage Extensions of Paragraph b. Coverage for"downtime loss" expenses A. Coverage under SECTION III— will end when any of the following occur: PHYSICAL DAMAGE COVERAGE is amended to read: (1) You have a spare or reserve"auto" available to you to continue your a. Transportation Expenses operations. We will pay up to$50 per day to a (2) You purchase a replacement"auto". maximum of$1,000 for temporary transportation expense incurred by you (3) Repairs to your covered"auto" have because of the total theft of a covered been completed by the repair facility "auto"of the private passenger type. and they determine the covered We will pay only for those covered "auto" is road worthy. "autos"for which you carry either (4) You reach the 30 day maximum Comprehensive or Specified Causes of coverage. Loss Coverage or Theft Coverage. We will pay for temporary transportation expenses incurred during the period beginning 48 hours after the theft and ending, regardless of the policy's expiration,when the covered"auto" is returned to use or we pay for its"loss". CA990187 0715 Includes Copyrighted Material of Insurance Services Offices,Inc. Page 2 of 5 Used with permission I. Item 4.Coverage Extensions, of d. Contraband or property in the course Paragraph A.Coverage, under SECTION of illegal transportation or trade. III. PHYSICAL DAMAGE COVERAGE, is e. "Loss"caused by theft, unless there is amended to add: evidence of forced entry into the We will pay any resulting rental covered "auto"and a police report is reimbursement expenses incurred by you for filed. a rental of an "auto" because of"loss"to a K. Accidental Airbag Discharge Coverage covered"auto"up to a maximum of$100 per day, for a maximum of 30 days for the same Item 3.a.of Paragraph B. Exclusions under physical damage"loss", subject to the SECTION III—PHYSICAL DAMAGE following conditions: COVERAGE is amended to read: a. We will provide rental reimbursement a. Wear and tear,freezing, mechanical incurred during the policy period or electrical breakdown.The beginning 24 hours after the"loss"and exclusion relating to mechanical ending, regardless of the policy break-down does not apply to the expiration,with the number of days accidental discharge of an air bag. reasonably required to repair or replace L. Loan or Lease Gap Coverage the covered "auto". If the"loss" is Paragraph C. Limit Of Insurance under caused by theft, this number of days is SECTION III—PHYSICAL DAMAGE the number of days it takes to locate the COVERAGE is amended to add: covered"auto" and return it to you or the number of days it takes for the claim to If a covered"auto"is owned or leased and be settled,whichever comes first. if we provide Physical Damage Coverage b. Our is limited to necessary and on it, we will pay, in the event of a covered actualr payment expenses linimited to total"loss", any unpaid amount due on the lease or loan for a covered"auto", less: c. This coverage does not apply while a. The amount paid under the Physical there are spare or reserve"autos" available to you for your operations. Damage Coverage Section of the policy; and d. If a"loss" results from the total theft of a b. Any: covered"auto" of the private passenger type,we will pay under this coverage (1) Overdue lease or loan only that amount of your rental payments including penalties, reimbursement expenses which is not interest or other charges already provided for under the Physical resulting from overdue Damage Coverage Extension. payments at the time of the J. "Personal Effects" Exclusion "loss"; Paragraph B. Exclusions under SECTION (2) Financial penalties imposed abnor a lease for excessive use, III—PHYSICAL DAMAGE COVERAGE, is abnormal wear and tear or high amended to add: mileage; "Personal Effects" Exclusion (3) Costs for extended warranties, We will not pay for"loss"to"personal Credit Life Insurance, Health, effects"of any of the following: Accident or Disability Insurance a. Accounts, bills, currency, deeds, purchased with the loan or evidence of debt, money, notes, lease; securities or commercial paper or (4) Security deposits not refunded other documents of value. by the lessor; and b. Bullion, gold, silver, platinum, or other (5) Carry-over balances from precious alloys or metals;furs or fur previous loans or leases garments;jewelry;watches; precious or semi-precious stones. c. Paintings, statuary and other works of art. CA990187 0715 Includes Copyrighted Material of Insurance Services Offices, Inc. Page 3 of 5 Used with permission M. Aggregate Deductible (3) An"executive officer"or director, if Paragraph D. Deductible under SECTION you are a corporation; III—PHYSICAL DAMAGE COVERAGE is (4) A manager or member, if you are a amended to add: limited liability company; Regardless of the number of covered (5) Your insurance manager; or "autos"involved in the same"loss", only (6) Your legal representative. one deductible will apply to that"loss". If the deductible amounts vary by"autos", P. Waiver Of Subrogation For Auto Liability then only the highest applicable deductible Losses Assumed Under Insured Contract will apply to that"loss". Item 5.Transfer Of Rights Of Recovery N. Diminishing Deductible Against Others To Us of Paragraph A. D.Deductible under SECTION Loss Conditions under SECTION IV— Paragraph BUSINESS AUTO CONDITIONS is III—PHYSICAL DAMAGE COVERAGE is amended to read: amended to add: 5. Transfer of Rights of Recovery Any deductible will be reduced by the Against Others To Us percentage indicated below on the first "loss" reported during the corresponding If any person or organization to or for policy period: whom we make payments under this Coverage Form has rights to recover damages from another,those rights are Loss Free Policy Periods Deductible transferred to us. That person or With the Expansion Reduction on the organization must do everything Endorsement first"loss" necessary to secure our rights and must 1 0% do nothing after an"accident" or"loss" 2 25% to impair them. However, if the insured has waived those rights to recover 3 50% through a written contract, we will waive 4 75°%° _ any right to recovery we may have 5 100% under this Coverage Form. If we pay a Physical Damage"loss"during Q. Insurance is Primary and the policy period under any BUSINESS Noncontributory AUTO COVERAGE FORM you have with Subpart a. of Item 5.Other Insurance of us, your deductible stated in the Paragraph B. General Conditions under Declarations page of each such SECTION IV—BUSINESS AUTO COVERAGE FORM will not be reduced on CONDITIONS is amended to read: any subsequent claims during the remainder of your policy period and your deductible a. This insurance is primary and reduction will revert back to 0%for each noncontributory,as respects any other such COVERAGE FORM if coverage is insurance, if required in a written renewed. contract with you. O. Knowledge of Loss and Notice To Us R. Other Insurance—Hired Auto Physical Damage Subsection a. of Item 2. Duties In the Event Subpart b. of Item 5..Other Insurance of of Accident,Claim,Suit or Loss of Paragraph B.General Conditions under Paragraph A. Loss Conditions under SECTION IV—BUSINESS AUTO SECTION IV--BUSINESS AUTO CONDITIONS is amended to read: CONDITIONS is amended to add: However, prompt notice of the"accident", b. For Hired Auto Physical Damage claim,"suit"or"loss"to us or our Coverage, the following are deemed authorized representative only applies to be covered autos"you own: after the"accident", claim, "suit" or"loss"is (1) Any covered"auto"you lease, known to: hire, rent or borrow; and (1) You, if you are an individual; (2) A partner, if you are a partnership; CA990187 0715 Includes Copyrighted Material of Insurance Services Offices, Inc. Page 4 of 5 Used with permission (2) Any covered"auto"hired or rented by your "employee"under a contract in that individual "employee's"name,with your permission,while performing duties related to the conduct of your business. However, any"auto"that is leased, hired, rented or borrowed with a driver is not a covered"auto". S. Unintentional Failure To Disclose Hazards Paragraph B.General Conditions under SECTION IV—BUSINESS AUTO CONDI- TIONS is amended to add: 9. Your failure to disclose all hazards existing as of the inception date of this policy shall not prejudice the coverage afforded by this policy, provided that such failure to disclose all hazards is not intentional. However, you must report such previously undisclosed hazards to us as soon as practicable after its discovery. T. Additional Definition SECTION V-DEFINITIONS is amended to add: "Personal effects"means personal property owned by the"insured". "Downtime loss"means actual loss of "business income"for the period of time that a covered"auto": 1. Is out of service for repair or replacement as a result of a covered physical damage"loss"and 2. Is in the custody of a repair facility if not a total"loss". "Business Income"means: 1. Net Income(Net Profit or Loss before income taxes)that would have been earned or incurred; and 2. Continuing normal operating expenses incurred, including payroll. In this endorsement, Headings and Titles are inserted solely for the convenience and ease of reference. They do not affect the coverage provided by this endorsement, nor do they constitute any part of the terms and conditions of this endorsement. All other policy wording not specifically changed, modified, or replaced by this endorsement wording remains in effect. CA990187 0715 Includes Copyrighted Material of Insurance Services Offices, Inc. Page 5 of 5 Used with permission c nserve LandCare May 4,2018 City of Palm Desert c/o Randy Chavez, Landscape Supervisor 73510 Fred Waring Dr. Palm Desert, CA 92260 Dear Mr. Chavez, We wish to take this opportunity to thank both you and the City of Palm Desert for presenting the opportunity to Conserve Landcare to extend our contract for another year for the landscape maintenance of LMA 1, 16 and 18. We are very interested in continuing our relationship with the City. We have reviewed the contracts and are requesting the following increases in the annual contract amounts for LMA 1, 16 and 18 in order to recover increased costs for the forthcoming year. At this time,we are compelled to address the minimum wage increase. A$0.50 per hour increase was mandated by the State effective January 1, 2018 and a second$1.00 per hour increase is forthcoming effective January 1, 2019. Both will effect portions of our 2018/19 contract. We are estimating 5,625 hours annually for Area 1. With an average increase of$0.75 per hour($0.50 for July-Dec '18 and$1.00 for Jan-Jun '19),the total is$5,404.08(including employers taxes, Social Security, Workers Compensation,etc.). We are estimating 7,880 hours annually for Area 16. With an average increase of$0.75 per hour($0.50 for July-Dec '18 and$1.00 for Jan-Jun '19),the total is$7,347.12(including employers taxes, Social Security, Workers Compensation,etc.). 72265 Manufacturing Road Thousand Palms, CA 92276 h[; p 760-343-1433 f 3x 760-343 0433 ConserveLandCare.com c nserve LandCare We are estimating 3,920 hours annually for Area 18. With an average increase of$0.75 per hour($0.50 for July-Dec '18 and $1.00 for Jan-Jun '19),the total is$3,811.56(including employers taxes, Social Security, Workers Compensation, etc.). This results in the following increases: LMA 1 Current Yearly Cost % Increase Requested New Annual Price New Monthly Price $ 117,480.00 4.60% $ 122,884.08 $ 10,240.34 LMA 16 Current Yearly Cost % Increase Requested New Annual Price New Monthly Price $ 159,720.00 4.60% $ 167,067.12 $ 13,922.26 LMA 18 Current Yearly Cost % Increase Requested New Annual Price New Monthly Price $ 82,860.00 4.60% $ 86,671.56 $ 7,222.63 If there is a way the City can help us offset this cost it would be greatly appreciated. It would also afford us the opportunity to avoid cutting back on labor to cover this additional expense. We respectfully ask that you consider this request and look forward to your response. Sincerely, • Randy Mitchell Director of Landscape Maintenance rmitchellconservelandcare.com Tel: (760)250-7246 72265 Manufacturing Road Thousand Palms, CA 92276 760-343-1433 I".;,i 760-343 0433 ConserveLandCare.com ;II ., LANDSCAPE AREA 1814 ', 2 MAGNESIA FALL`S DR o4ruaro \ , 1, i rill 11 San Pablo Community Gardens +/- 50,400 Sq Ft �, LEGEND . Q g ,E Q �LMA16 ,z � Palm Desert Parcels Y ^ mV I I City Boundary Cl)Q Q WARING DR^ , ' a _a �� • o FRED e1 INCH=1,5W FEET �� �• t, - 1 2�^ ,_. _ Q _�" �`Q_ �1 t�J' s"2�J '' �- ` Palma Village Park s -- • V' ' >' W , T,-�,�-k • '1 ,u_ +/- 59,000 Sq Ft y7 Q -i. 0 __W L- ii - 4 ;4 DE ANZA-WAYI r O i SAN7 GORGONIO WAY ' t ,• `', T. �` a � ie , � � � r� rf _. :: �+ R DR n ' 1 ALESSAN O � _- 1P. I .. ASEO EL PASEO - ' . 1,J/t:4,1,'1 EL PASEO r AI fit, 0 , • D� 'P,ITAHAy ., x ` v� , - ,T Q -:: Cahuilla Hills Park . 0 r ' ,/ FJLIR L O Washington Charter School Park - , - Q +/- 70,060Sq Ft i /-,:-y i G EVI ,- RAP NE ST; BURSERA:WAY_ ` Ironwood Park o- +/-665,175 Sq Ft is _. ,y a _ HAYSTACK-RD ,,/n drl • v't, o° ;;. 1� � dHomme/Adams Park 1,., f 4 . +/- 1,159,690 Sq Ft i r- * J- 4 - ;.< • -' „ �,.. .