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HomeMy WebLinkAboutAwrd - C30400 - Prkvw Prof Office Cmplx - TI Ste 100 CITY OF PALM DESERT FINANCE DEPARTMENT STAFF REPORT REQUEST: (1) AWARD THE BID AND APPROVE CONTRACT NO. c3o400 FOR $216,000 PLUS A 10% CONTINGENCY TO DOUG WALL CONSTRUCTION, INC. TO CONSTRUCT THE TENANT IMPROVEMENTS FOR THE STATE WATER RESOURCES SUITE 100 AT THE PARKVIEW OFFICE COMPLEX. (2) APPROPRIATE $216,000 FROM THE PARKVIEW OFFICE COMPLEX FUND 510. SUBMITTED BY: PAUL S. GIBSON, FINANCE DIRECTOR APPLICANT: DOUG WALL CONSTRUCTION, INC. 78450 AVE. 41 BERMUDA DUNES, CA 92203 DATE: DECEMBER 9, 2010 CONTENTS: TWO COPIES OF CONTRACT Recommendation By Minute Motion, that the City Councii (1)award the bid and approve contract no.c3o400 for $216,000 plus a 10% contingency to Doug Wall Construction, Inc. to construct the tenant improvements at the State of California Water Resources suite 100 at the Parkview Office Complex and (2) appropriate $216,000 from the Parkview Office Complex Fund 510. Backqround The State of California Water Control Board currently leases Suite 100 at the Parkview Office Complex (single story building), and they have occupied the space since 1991. The State Water Resources Control Board has requested some changes to their current space, which will include replacing all the carpets, repainting the suite, installing new computer cabling, and renovating the current laboratory space into a Board of Directors conference room. The State Water Resources control board will enter into an 8-year lease agreement with the City of Palm Desert to continue to lease suite 100 at the Staff Report State of California Water Resources Tenant Improvements December 9, 2010 Page 2 Of 2 Parkview Office Complex. The lease will commence once tenant improvements are in place and approved by the state. The following bids were received for the aforementioned tenant improvement project: Contractor Bid Price Main Office 1. Doug Wall Construction, Inc. $216,000 Bermuda Dunes CA 2. D.W. Johnston Construction, Inc $248,000 Palm Springs, CA 3. Interlog Corporation $275,000 Brea, CA 4. Orr Builders $278,000 Palm Desert, CA 5. Dalke & Sons Construction, Inc. $316,680 Riverside, CA In addition to the winning bidder, the flooring, computer cabting, carpet, demolition, and glass work will be completed by local entities. Given the potential environmental impact along with the effects of the exhaust from the laboratory, City staff is in full agreement with the removal of the laboratory, especially at the State's cost. The State will repay the City for $118,550 of the cost of tenant improvements; the city will pay for the cost of the carpet, paint, and computer cabling. The State portion will be repaid to the City in 48 months at 7%. It is Staff's recommendation to award the bid and approve contract no:c3040ofor $216,000 plus a 10% contingency to Doug Wall Construction, Inc. to construct the tenant improvements at the State of California Water Resources Suite. The 10% contingency is requested to cover any unforeseen costs associated with the demolition of the Laboratory. Fiscal Analvsis The tenant improvements are directly related to the 8 year lease agreement between the City of Palm Desert and the State of California; the lease agreement cannot be executed by the State without approval of the improvements. The anticipated gross revenues over the life of this lease are $2,520,757. In addition, the State will reimburse the City for the cost of the improvements plus $17,706 of interest over the first 4-years of the lease. Sub � d By: oval: G"--G Paul S. Gibson, Director of Finance n M. Wohlmuth, City Manager REGULAR PALM DESERT CITY COUNCiL MEETING DECEMBER 9, 2010 � F. REQUEST FOR AWARD OF CONTRACT TO CONSTRUCT THE TENANT IMPROVEMENTS AT SUITE 100 OF THE PARKVIEW PROFESSIONAL OFFICE COMPLEX FOR THE STATE OF CALIFORNIA WATER RESOURCES BOARD TO DOUG WALL CONSTRUCTION IN THE AMOUNT OF $216,000 (CONTRACT N0. C30400) . Rec: By Minute Motion: 1) Award the bid and subject contract in the amount of $216,000 to Doug Wall Construction, Inc. , Bermuda Dunes, California, and authorize a 10� contingency for the project; 2) appropriate $216,000 from the Parkview Office Complex Fund 510 to the project and authorize the Mayor to execute said contract. C[TY COUNCILA�f"ii 'ION APPROVED DF.NTF.D RECEIVED OTHER MEET G DATE � AYES: � NOES: ABSENI: ABSTAIN: VERIFIED BY: Original on Fite with Ci erk's Office Contract No. C30400 AGREEMENT THIS AGREEMENT is made and entered into this day of, 2010= by and between the City of Palm Desert, California, hereafter called "CITY", and. hereinafter called "Contractor". WITNESSETH RECITALS: Contractor has submitted to CITY its Contractor's Proposal for the foltowing City project, 1. TENANT IMPROVEMENTS FOR SUITE 555-100 AT THE PARKVIEW OFFICE COMLPEX BUILDINGS, - in strict accordance with the Contract Documents identified below and CITY has accepted said Proposal. 2. Contractor states that it has re-examined its Contractor's Proposal 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 Proposal to be paid as provided in the Contract Documents. AGREEMENT: I'I' 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 Proposal; (e) The Bidder's Bond; (� The Performance Bond; (g)The Payment Bond; (h) The General and standard Specifications; (i) Addenda (if applicable) Nos. _ and _; (j) Any Change Orders issued; (k) Any additional or supplemental specifications, notices, instructions and drawings issued in accardance with the provisions of the Contract Documents. 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 FIFTY (50) calendar days from the Notice to Proceed date to the satisfaction of the City's Representative. 3. In performing its responsibilities under this Agreement, Contractor shall comply with all federal, state, and local laws and regulations pertaining to the storage, use, I-1 H:\WPD(KSUnteroffice Memos\ParkView\Parkview\Parkview 2010-201 l\Water Resources Suite 100Imp 2010-1 I.doc Contract No. C30400 and disposal of"hazardous or toxic wastes, substances, or materials" as detined by applicable law, to the extent such "hazardous or toxic wastes, substances, or materials"are within Contractor's control. The Contractor agrees to indemnify the City for any costs, fees, fines or losses that may result from environmental contamination or natural resource damage on the subject property if caused by the Contractor's performance in storing, using or disposing of hazardous or toxic substances or materials or wastes such as, but not limited to, paints, lacquers, thinners, adhesives, or other type coating or other water treatment chemicals. The City acknowledges and agrees that the City shall be responsible for any legal or other liability or damage arising out of the presence of environmental contamination or natural resource damage on the subject property by any cause other than the Contractor's performance in storing, using or disposing of hazardous or toxic substances or materials or wastes as, but not limited to, paints, lacquers, thinners, and other type coating or other water treatment chemicals. 4. Contractor agrees to indemnify, defend and hold the CITY and its officers, agents and employees 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. Attention is directed to the General Specifications, the plans, and drawings in its entirety are made part of this Agreement as set forth in Agreement paragraph 1, above. 5. 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 attomey's fees incurred in any such litigation relating to this Contract. 6. This Agreement shall be binding upon all parties hereto and their respective heirs, executors, administrators, successors, and assigns. 7. Contractor shall be paid in the manner set forth in the Contract Documents the I-2 H:\WPDOCSUnteroffice Memos�ParkView�Parkview�Parkview 2010-2011\Water Resources Suite!00[mp 2010-1 l.doc ' Contract No. C30400 amount of its Proposal as accepted by CITY, subject to such additions and deductions as may be made pursuant to the Contact Documents and applicable law. 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 as follows: "I am aware of the provisions of Section 3700 of the California Labor Code which requires every employer to be insured against liability for worker's compensation or to undertake self insurance in accordance with the provisions of that Code, and 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 ofticials, this Agreement which shall be deemed an original on the date first above written. CTTY OF PALM DESERT "CONTRACTOR"(signature to be notarized) By: By: Mayor S ignature Attest: Title City Clerk Approved as to content David J.Erwin, City Attorney I-3 H:\WPDOCS\Intero(fice Memos�ParkView\Parkview�Parkview 2010-20t 1\14'ater Resources Suite 100 lmp 20t0-I t.doc CITY OF PALM DESERT GENERAL SPECIFICATIONS & STANDARD SPECI�ICATIONS FOR TENANT IMPROVEMENTS FOR SUITE 100 AT THE CITY OF PALM DESERT PARKVIEW OFFICE COMPLEX BUILIDINGS SCOPE OF WORK The work to be done consists of furnishing all materials, equipment, tools, labor and incidentals to remove and replace and construct the tenant improvements for suite 555- 100 at City of Palm Desert Parkview Office Complex Buildings as required by the contract documents, architectural drawings and attached. CONTRACTORS ARE RESPONSIBLE FOR ALL MEASUREMENTS AND ESTIMATES, NO CHANGE ORDERS WILL BE ALLOWED FOR ERRORS IN MEASUREMENTS AND ESTIMATES. Thoroughly examine specifications, drawings, site of work and conditions under which work will be performed before submitting a proposal. Any work which cannot be prepared, constructed or installed as specified, shall 'unmediately be brought to the attention of the City's representative in writing. If applicable an addenda will be issued. 1. Starting of work without such notification shall be considered acceptance by the contractor of surfaces involved. 2. The Contractor shall replace unsatisfactory work caused by improper or defective surfaces, as directed by the City's representative(s) at no additional cost. LOCATION OF WORK The work is located at the Parkview Office Complex Buildings located at 73-720, Suite 100,The State of California Water Resources Department, Palm Desert, CA 92260. TIME OF COMPLETION The Contractor shall complete all work in every detail as specified in part 2. of the agreement, page I-1 of the Agreement. No extension to the Contract Time will be made for changes in the work. SP-1 H:IWPDOCS\(nteroffice MemosiParkViewiParkview�Pazkview 2010-201 I\Water Resources Suite 100 Imp 2010-1 l.doc PRE-CONSTRUCTION CONFERENCE A pre-construction conference shall be conducted at the Parkview Office Complex, 73-710 Fred Waring Drive, Palm Desert, California, 92260 (Conference room TBD) prior to the start of the project. The Contractor shall prepare a tentative progress schedule for submission and review at the pre-construction meeting. STANDARD SPECIFICATIONS A. QUALITY ASSURANCE 1. All the work shall be performed by experienced skillful craftsmen to assure finished work of first class quality and durability. The contractor shall have a minimum of (5) years proven satisfactory experience and shall show proof before commencement of work that he will maintain a qualified crew throughout the duration of this project. 2. Contractor shall allow for all walkways, entrances to building to be available Monday through Friday during normal business hours. Normally 6:00 a.m. through 7:00 p.m. 3. Vehicles and equipment shall be parked and placed as determined by the City Representative. 4. Unattended build-ups, walkways, or other obstructions shall be secured at all times to prevent risk of loss or injury to any person or property. The contractor shall provide to the CITY in writing their plan on protecting the aforementioned from misuse at all times, especially during non-working periods. The contractor bears all risk and holds the city harmless regarding the construction, demolition, and use of all build-ups, walkways and other obstructions. No Exceptions will be granted for any reason. B. PROFESSIONAL CARE 1. All work shall be subject to approval by the City of Palm Desert representative(s). 2. Contractor shall correct all work that does not comply with the intent of the specification. 3. Contractor shall coordinate with the City Representative(s) before using noisy,motorized equipment. SP-2 H:\WPDOCS\Interoffice Memos�ParkView�Parkview�Parkview 2010-201 L\Water Resources Suite IO0 Imp 2010-1 l.doc 4. Contractor shall make every effort to prevent damage to the building, entryways, and surrounding landscape. 5. The Contractor shall make every effort to prevent damage to any furnishings and fixtures, surfaces not included in the bid, i.e. concrete floors, red brick atrium floor, and other. 6. The daily start and stop times shall be coordinated through the City Representative. Weekend and night work will be allowed and is preferable when demolition is required. DELIVERY,5TORAGE,AND HANDLING A.DELIVERY: 1. The delivery of all equipment and materials, and other products is the sole responsibility of the contractor. The City will malce every effort to provide a location to store aforementioned equipment and materials, but does not guarantee for the misuse, theft or destruction of the equipment and materials. B.STORAGE: 1. Only acceptable project materials shall be stored on site in a suitable location, protected from tampering and loss. 2. Contractor shall provide adequate storage to restrict access to equipment and project materials. 3. Contractor shall comply with health and safety codes, City of Palm Desert Ordinances, and all Fire Regulations pertaining to the use and storage of all materials. It is the Contractors responsibility to obtain all relevant literature from those regulating agencies. 4. Where toxic and/or volatile /explosive/flammable materials are being used, the Contractor shall provide adequate fireproof storage lockers and take all necessary precautions and post adequate warnings (e.g. no smoking) as . required. Materials that constitute a fire hazard (paints, solvents, drop cloths, etc.) shall be stored in suitable closed and rated containers and removed from the site on a daily basis. They City may allow for an adequate lockable storage unit/locker to be placed in an enclosed parking location, at the Contractor's cost; the contractor assumes all liability. SP-3 H:\WPDOCS\Intcroffice McmoslParkVicw�Parkview�Parkview 2010-201 l\Water Resources Suite I(�Imp 2010-I l.cioc C.ENVIRONMENTAL IMPACT: l. Contractor shall comply with manufacturer's recommendation as to environmental conditions under which may pertain to improvements removal and replacement is covered. (See "Agreement" part 3 "Compliance with Environmental Law") 2. The contractor shall adhere and guarantee that at the quantity of volatile organic compounds (VOC) used in removing and installing the improvements, cleaning, moisture barrier, cements (concrete) and other products used on this project does not exceed the limits permitted under the current regulations for tile removal and installations of the South Coast Air Quality Management District, or any other governing agency, if applicable. 3. Removal of tile, carpet, and subfloor shall comply with the regulations of the air pollution control district having jurisdiction. PRODUCTS: See drawings, general specifications, and Exhibit B Outline Specifications. COLORS: See drawings, general specifications, and Exhibit B Outline Specifications. STANDARD: 1. Contractor shall meet all relevant specifications of the American's with Disabilities Act(ADA) pertinent to all tenant improvements installed. IN5PECTION: 1. Contractor shall examine all areas scheduled for removal and installation for conditions that would aversely affect execution, pertnanence or quality of work and which cannot be put into acceptable condition through preparatory work included in this proposal. Notify the City's Representative in writing of any defects or conditions, which will prevent a satisfactory installation prior to starting the project. 2. Contractor accepts full responsibility of area of construction and guazantees proper application once project has begun. SP-4 H:\WPDOCS\Interoffice Memos\PazkView�Pazkview�Parkview 20 10-20 1 11Water Resources Suite 100!mp 2010-1 l.doc PROTECTION AND CLEAN UP: 1. The contractor shall protect floors,concrete slabs, staircase, signage, and other areas not subject to improvements from damage throughout the project. 2. The contractor shall provide clean drop cloths wherever necessary, and orderly and carefully arrange and protect supplies, materials,and containers. 3. The contractor shall immediately clean up all accidental splatter, spillage, and misplaced product and restore the affected surface to its original condition. 4. At the completion of the work, the Contractor shall remove all materials, supplies, debris and rubbish and leave each area in a clean acceptable condition. 5. Contractor shall remove debris and rubbish from the jobsite on a daily basis. Contractor shall arrange to have separate waste disposal bins at the jobsite for their exclusive use. Contractor shall not use the onsite waste disposal bins for the building tenants. SUBSTITUTION OF SECURITIES In conformance with the State of California Government Code Chapter 13, Section 4590, the Contractor may substitute securities for any moneys withheld by the CITY to ensure performance under the contract. At the request and expense of the Contractor, securities equivalent to the amount withheld shall be deposited with the City or with a State or Federally chartered bank as the escrow agent who shall pay such moneys to the Contractor upon notification by CITY of Contractor's satisfactory completion of the contract. The type of securities deposited and the method of release shall be approved by the City Attorney's office. CITY'S REPRESENTATIVE The CITY will appoint or retain a City's Representative during the construction period. The representative shall determine the amount, quality, acceptability and fitness of all parts of the work, and interpret the Contract Documents. The City's Representative will make visits to the site and determine if the work is proceeding in accordance with the Contract Docuinents. No act or omission of the City's representative relieves Contractor of the duty to proceed with the work in strict conformity with the Contract Documents. Upon request, the City's Representative shall reduce to writing any oral order, objection, requirement or determination. Wherever the City's Representative's approval is SP-5 H:\WPDOCS\InterofFice Memos\ParkView�Parkview�Parkview 2010-2011\Wa[er Resources Suite 100 Imp 2010-I l.doc required it shall be in writing only. All communications to CTTY by Contractor shall be via the City's Representative. No work shall be performed on site other than during normal working hours without the knowledge and consent of the City's Representative. The Contractor, and not the City's Representative, will be responsible for the construction means, controls, techniques, sequences, procedures, and construction safety. As stated elsewhere, amounts shown in the Proposal and Agreement as to quantities are but estimates only. The City's Representative shall direct Contractor as to the prosecution of the work in such a manner as to increase or decrease such estimates as to the work actually to be done. Contractor shall comply with such instructions and shall be paid only for work actually done based on the unit price set out in the Agreement. USE OF AND PROTECTION OF PREMISES AND REMOVAL OF DEBRIS At its expense the Contractor shall: A) Take every precaution against injuries to persons or damage to property. B) Comply with regulations governing the use of the property. C) Store and suitably protect its apparatus, equipment, materials, and supplies in an orderly fashion on site. D) Place on the work only such loads as are consistent with the safety of the work. E) Before final payment remove all surplus material, false work, temporary structures, debris and similar matter resulting from its operations from the site and return the site to its original condition. F) Construct, operate and maintain all passageways, guard fences, lights, barricades and other facilities required for protection by State or municipal laws and regulations and local conditions during the course of the work. G) Guard City's and private individual's property from injury or loss. H) Take all reasonable precautions for dust and noise control and generally conduct operations so as not to constitute a nuisance. I) Be responsible for the protection of existing signs, fences, asphalt pavement, concrete curb and gutter and other facilities, which may be encountered at the jobsite. The replacement or repair of any facilities, which the CITY deems necessary as a result of the Contractor's operations, shall be done by the SP-6 H:IWPDOCSUnteroffice Memos�PazkViewlParkview�Parkview 2010-201 I\Water Resources Suite 100 Imp 2010-1 Ldoc Contractor at his own expense and to the satisfaction of the City's Representative. J) Be responsible for the protection of landscaping, irrigation, fences, storage structures, and miscellaneous improvements at the Buildings and Parking Lots, as well as, the private property of the tenants and visitors CHANGE ORDERS Each approved change order shall be considered as an amendment to the Contract Documents and will not be considered approved until executed by the City Council. BRAND OR TRADE NAME -SUBSTITUTE OF EOUALS Reference is made to Section 4380 of the California Government Code, which is by this reference incorporated herein with like effects as if herein with like effect as if here set forth in full. If a potential bidder believes he knows of an equal to a speci�ed brand or trade name which is not mentioned in the Contract Documents, then such potential bidder may so advise the CITY REPRSENTATNE of such fact, giving all relevant information. ff appropriate, an addendum will be issued as to the alleged equal provided that such issuance may be accomplished at least 5 days before the time fixed for opening bids. Unless the subject article or product is expressly designated for matching others in use in a particular public improvement either completed or in the course of completion, any bidder may, as part of its bid proposal, include a request for substitution of an item equal to any specified brand or trade name. At the pre-construction meeting, the Contractor may submit to the CTTY REPRSENTATNE data substantiating such a request, and the difference, if any, in cost. CITY REPRSENTATNE shall promptly investigate the request and make a recommendation to the CITY as to equality. CITY shall promptly determine whether the substitute is equal in every respect to the item specified, and approve or deny the request accordingly, and shall notify the CONTRACTOR of the determination made, in writing of the decision. Unless the request is granted, substitution will not be permitted. Nothing herein shall authorize a change in the contract price or prevent the use of change orders in the manner provided elsewhere in the Contract Documents. FINAL INSPECTION -NOTICE OF COMPLETION When the work is ready for final inspection CITY will cause the work to be inspected and subject to such tests as seem to be required for the purpose of determining if the work is complete in every respect. SP-7 H:\WPDOCS1lnteroffice Memos�PazkViewtPazkview�Parkview 2010-201 I\Water Resources Suite 100 Imp 2010-I Ldoc Upon acceptance of the work the CITY shall issue a Notice of Acceptance to the Contractor and a Notice of Completion will be recorded. As between the parties, the recordation of the Notice of Completion, unless recorded because of a cessation of labor, means only that the time for final payment and the commencement of the guarantee period begins. GUARANTEE The Contractor shall warrant and guarantee all materials, surfaces, and work performed for a period of five (5) years from the date of Notice of Completion and that the completed system is free froin all defects due to faulty materials or workmanship. The Contractor shall promptly make such corrections as may be necessary by reason of such defects including the repairs of any damage to other parts of the system resulting from such defects. The CITY will give notice of observed defects with reasonable promptness. In the event that the Contractor should fail to make such repairs, adjustments, or other work that may be made necessary by such defects, the CITY may do so and charge the Contractor the cost thereby incurred. The Performance Bond shall remain in full force and effect through the guarantee period. CITY'S RIGHT TO STOP WORK OR TERMINATE THE CONTRACT CTTY may, without prejudice to such other right,remedy or relief it may be entitled to, by 10 day's notice to Contractor, terminate the employment of Contractor and its right to proceed, if: 1. Contractor shall be adjudged bankrupt or malce an assignment for the benefit of creditors. 2. A receiver or liquidator is appointed for Contractor or any of its property. 3. Contractor shall refuse or fail after Notice of Warning from CITY by City's Representative to supply sufficient properly skilled workmen or suitable materials. 4. Contractor fails to perform the work with such diligence as will insure its completion within the stipulated time period. 5. Contractor fails to make payments to persons supplying labor or materials for the work. 6. Contractor does not comply with applicable law or instructions of City's Representative. SP-8 H:\WPDOCS\Interoffice Memos�ParkView\Parkview�Parkview 20I0-2011\Water Resources Suite IOO lmp 2010-I l.dce 7. Contractor is otherwise guilty of a substantial violation of any provision of the Contract Documents. City's right to terminate may be for the entire work, or at City's option, as to any portion thereof as to which delay shall have occurred or breach or noncompliance relates, and may thereupon take possession of the affected work and complete the work by Contract or otherwise, as CITY deems expedient. In such case Contractor shall not be entitled to receive any further payment until the work is finished. If the unpaid balance shall exceed the expense of completion, and other damage, expense or loss of CITY occasioned by Contractor's failure to properly perform, such excess shall be paid by Contractor. If such expense and damage exceeds the unpaid balance, Contractor is liable to CITY for the excess. If CITY elects to proceed under this Section, it may take possession of and utilize in completing the work such materials, supplies, plant and equipment on site which may be necessary or convenient for the purpose of completing the work. CITY is expressly granted the right - acting via an City's Representative or otherwise -to operate equipment and machinery on site for the purpose of determining whether it has a basis for proceeding under this section. Decision by CITY not to proceed under this Section does not constitute a waiver by CITY of any right it might from time to time have against Contractor under the Contract Documents. FINAL PAYMENT Within thirty-five (35) days after the Notice of completion is recorded the City will pay to the contractor all remaining funds. Representative will make a proposed final estimate in writing of the quantities of work done under the contract and the value of such work and will submit such estimate to Contractor. Within thirty-five (35) days thereafter Contractor shall submit to City's Representative his written approval of said proposed final estimate or written statement of all claims, which he has for additional compensation claimed to be due under the contract. On Contractor's approval or if he files no claims within said period of thirty-five (35) days, City's Representative will issue a final written estimate as submitted to Contractor and CITY shall pay the sum found due thereon after deducting all prior payments and all amounts to be kept and retained under the provisions of the contract, City's Representative shall then consider and investigate Contractor`s claims and shall make such revisions in the said estimate as he may find to be due, and shall then make and issue his written estimate. CITY will pay the amount so found due after deducting all previous payments and amount to be retained under the contract. All prior partial estimates and payments shall be subject to correction in the final estimate and payment. SP-9 H:IWPDOCS\6ueroffice Memos�PazkView�Parkview�Parkview 2010-201 I\Water Resources Suite 100[mp 2010-1 I.doc The final estimate shall be conclusive and binding against both parties to the contract on all questions relating to the performance of the contract and the amount of work done thereunder and compensation therefore, except in the case of gross error. Acceptance of final payment constitutes a release of CITY by Contractor from all claims relating to undisputed contract amounts. Any payment, however, final or otherwise, shall not release the Contractor or his sureties from any obligations under the Contract Documents or the Performance Bond and Payment Bonds. CLAIMS The Contractor will indemnify and save the CITY or the City's agents harmless from all claims growing out of the lawful demand of subcontractors, laborers, workmen, mechanics, materialmen, and furnishers of machinery and parts thereof, equipment tools, and supplies, incurred in the furtherance of the performance of the work. The Contractor shall, at the City's request, furnish satisfactory evidence that all obligations of the nature designated above have been paid, discharged, or waived. If the Contractor fails to do so the CITY may, after having notified the Contractor, either pay unpaid bills or withhold from the Contractor's unpaid compensation a sum of money deemed reasonable and suf�cient to pay any and all such lawful claims until satisfactory evidence is furnished that all liabilities have been fully discharged whereupon payment to the Contractor shall be resumed, in accordance with the terms of the Contract Documents, but in no event shall the provisions of this sentence be constructed to impose any obligations upon the CITY to either the Contractor his Surety, or any third party. In paying any unpaid bills of the Contractor, any payment so made by the CITY shall be considered as a payment made under the Contract Documents by the CITY to the Contractor and the CITY shall not be liable to the Contractor for any such payment made in good faith. DISPUTE RE50LUTION Any separate demand by the Contractor for payment of moneys or damages arising from work done by or on behalf of the Contractor pursuant to this contract, payment of which is not otherwise expressly required by the contract or any separate demand by the Contractor the amount of which is disputed by the CITY, such demand being in an amount of$375,000 or less, shall be resolved pursuant to Sections 20104, etseq• of the California Public Contract Code, as may be amended. These sections are summarized as follows: A) For any claim, as defined in Section 20104 of the California Public Contract Code, by the Contractor of an amount less than $50,000, the CITY will respond in writing within forty-five (45) days of receipt of the claim, or may request in writing within thirty (30) days of receipt of the claim any additional documentation supporting the claim or related to any defenses the CITY may have against such claim. The City's written response to the SP-10 H:IWPDOCS\Interoffice Memos�PazkViewlPazkview�Parkview 2010-201 t\Water Resources Suite 1001mp 2010-I l.doc claim, as further documented, will be submitted to the Contractor within fifteen (15) days from receipt of the further documentation or within a period of time no greater than that taken by the Contractor in producing the additional documentation,whichever is greater. B) For any claim, as defined in Section 20104 of the California Public Code, by the Contractor for an amount between$50,000 and$375,000, the CTTY will respond in writing within sixty (60) days of receipt of the claim, or may request in writing within thirty (30) days of receipt of the claim any additional documentation supporting the claim or related to any defenses which the CITY may have against such claim. The City's written response to the claim, as further documented, will be submitted to the Contractor within thirty (30) days from receipt of the further documentation or within a period of time no greater than that taken by the Contractor in producing the additional documentation, whichever is greater. C) If the Contractor disputes the City's written response, or the CITY fails to respond within the time prescribed, the Contractor may notify the CITY, in writing, either within fifteen (15) days of receipt of the City's response or within fifteen(15)days of the City's failure to respond within the statutorily prescribed time, and demand and informal conference to meet and confer for settlement of the issues in dispute. Upon demand, the CITY shall schedule a meet and confer conference within thirty(30) days for settlement of the dispute. D) If the meet and confer process does not produce a settlement agreement, the Contractor may file a claim pursuant to Government Code Section 900, et se�c., The period of time within which to file such a claim shall be as defined in Section 20104.2(e). E) The procedures for any civil action brought by the parties resolve such claims shall be those set forth in Section 20104.4 of the California Public Contract Code, a summary of which is set for below: 1) Within sixty(60)days, but no earlier than thirty(30)days, following the filing of responsive pleading, unless waived by mutual stipulation of both parties, the court shall submit the matter to non- binding mediation. The mediation process shall commence within thirty (30) days of the submittal, and shall be concluded within fifteen (15) days from the commencement of the mediation process, except as may be otherwise required by Section 20104.4 of the Public Contract Code. 2) If the matter remains in dispute after mediation, the case shall be submitted to judicial arbitration. An arbitrator shall be appointed and SP-11 H:IWPDOCS\[nteroffice MemoslParkView�Parkview�Pazkview 2010-201 l\Water Resoutces Suite 100[mp 2010-I l.doc proceedings shall be conducted pursuant to provisions of Section 20104.4 of the Public Contract Code. 3) If the party appealing an arbitration award does not obtain a more favorable judgment that party shall, in addition to the payment of costs and fees, also pay the attorneys' fees on appeal of the other party. F) In any suit filed pursuant to these provisions, the CITY shall pay interest at the legal rate on any arbitration award or judgment in favor of the Contractor. The interest shall begin to accrue on the date the suit is filed in a court of law. G) Except as set forth herein, or as otherwise provided under State law, it is understood and agreed by the parties that all rights any of them may have to arbitration for the settling of disputes, claims, and other matters arising out of or relating to this contract or the breach thereof are hereby specifically waived by all of them. DOCUMENTS OF CONTRACTOR Upon demand, Contractor shall make available to CITY all documents in its possession relevant to the work accomplished or to be accomplished or any demand or claim of the Contractor as to CITY. This includes copies of documents sent by Contractor or others in its possession. Contractor shall further make available to CITY, conformed copies of all documents submitted to the sureties who executed the Bid Bond, Faithful Performance Bond or Labor and Materials Bond for the indemnification made to such surety by others for such purpose. Contractor shall maintain in its possession all documents relative to the work for three years after Notice of Completion. PROJECT SAFETY AND RESPONSIBILITY OF CONTRACTOR TO ACT IN AN EMERGENCY The Contractor shall take all responsible precautions for the safety of, and shall provide all reasonable protection to prevent damage, injury or loss to: 1. All employees on the worksite and all other persons who may be affected thereby; 2. All the work and all materials and equipment to be incorporated therein, whether in storage on or off the site, under the care, custody or control of the Contractor or any of his Subcontractor or Sub-subcontractors; 3. Other property at the site or adjacent thereto, including trees, shrubs, lawns, irrigation, walkways, pavements, roadways, structures and utilities not designated for removal, relocation or replacement in the course of the SP-12 H:IWPDOCSUnterofflce Memos�ParkView�Pazkview�Parkview 2010-201 t\Water Resources Suite 100[mp 2010-1 I.doc project; and 4. Vehicular and pedestrian traffic on or near the project site. This requirement shall apply continuously and not be limited to normal working hours. The Contractor is responsible for maintaining full compliance with all CAL OSHA standards and regulations while performing the work under this contract. The Contractor acknowledges and agrees to be defined as the "controlling employer" at the work site. As the controlling employer, the Contractor shall be responsible for taking reasonable steps to ensure that all subcontractors, performing work under this contract, also meet all CAL OSHA standards and regulations. The Contractor shall be responsible for all fines, penalties, judgments or work - stoppages that result from CAL OSHA action. The Contractor shall give all notices and comply with all applicable laws, ordinances, rules, regulations and lawful orders of any public authority bearing on the safety of persons or property or their protection from damage, injury or loss. The Contractor shall erect and maintain, as required by existing conditions and progress of the work, all reasonable safeguards for safety and protection, including posting danger signs and other warnings against hazards, promulgating safety regulations and notifying City's and users of adjacent utilities. Full compensation for the work involved in carrying out the safety precautions shall be considered as included in the various items of work and no additional payment will be made therefore. In case of an emergency, which threatens loss or injury to property or life, Contractor shall act without previous instructions as the situation may warrant. Contractor shall notify City's Representative immediately thereafter. Any compensation for emergency work claimed by Contractor, together with substantiating documentation, shall be submitted to CITY via City's Representative. SUPERVISION BY CONTRACTOR The Contractor will supervise and direct the work. He will be solely responsible for the means, methods, techniques, sequences and procedures of construction. The Contractor will employ and maintain on the work site a qualified supervisor or superintendent who shall have been designated in writing by the Contractor as the Contractor's representative at the site. The supervisor shall have full authority to act on behalf of the Contractor and all communications given to the supervisor shall be as binding SP-13 H:\WPDOCS\tnteroF6ce Memos\ParkView\Parkview\Parkview 2010-2011\Water Resources Suite 100 hnp 2010-I Ldoc as if given to the Contractor. The supervisor shall be present on the work site at all times as required to perform adequate supervision and coordination of the work. Contractor shall not change job supervisor without written approval of City's Representative. CHANGES IN THE WORK The CITY may at any time, as the need arises,order changes within the scope of the work without invalidating the Agreement. If such changes increase or decrease the amount due under the Contract Documents, or in the time required for performance of the work, an equitable adjustment shall be authorized by Change Order. CHANGES IN CONTRACT PRICE The Contract Price may be changed only by a Change Order. The value of any work covered by a Change Order or of any claim for the increase or decrease in the Contract Price shall be determined by one or more of the following methods in the order of precedence listed below: 1. Unit prices previously approved. 2. An agreed lump sum. 3. The actual cost for labor, direct overhead, materials, supplies, equipment, and other services necessary to complete the work. In addition there shall be added an amount to be agreed upon but not to exceed fifteen(15) percent of the actual cost of the work to cover the cost of general overhead and profit. INDENINITY AGREEMENT/HOLD HARMLESS Except for gross negligence or willful misconduct of an Indemnity, the Contractor hereby assumes liability for and agrees to defend, indemnify, protect and hold harmless the City and its officers, agents, and employees, from and against all claims, charges, damages, demands, actions, proceeding, losses, stop notices, costs, expenses (including counsel fees), judgments, civil fines and penalties, liabilities of any kind or nature whatsoever, which may arise out of or encountered in connection with this Agreement or the performance of the Work including, but not limited to, death of or bodily or personal injury to persons or damage to property, including property owned by or under the care and custody of the City, and for civil fines and penalties, that may arise from or be caused, in whole or in part, by any negligent or other act or omission of Contractor, its off'icers, agents, employees,or Subcontractors including, but not limited to, liability arising from: 1. Any dangerous, hazardous, unsafe or defective condition of, in or on the premises, of any nature whatsoever, which may exist by reason of any act, SP-14 H:\WPDOC'S\[nteroffice Memos�ParkView�Parkview\Parkview 2010-201 I\Water Resources Suite!00 Imp 2010-I I.doc omission, neglect, or any use or occupation of the premises by the Contractor, its officers, agents, employees,or subcontractors; 2. Any operation conducted upon or any use or occupation of the premises by Contractor, its officers, agents, employees, or Subcontractors under or pursuant to the provisions of this contract or otherwise; 3. Any act, omission or negligence of Contractor, its officers, agents, employees or Subcontractors; 4. Any failure of Contractor, its officers, agents or employees to comply with any of the terms or conditions of this Contract or any applicable federal, state regional, or municipal law ordinance,rule or regulation. The Contractor also agrees to indemnify City and pay for all damage or loss suffered by City including, but not limited to damage or loss of City property, to the extent not insured by City and loss of City revenue from any source, caused by or arising out of the conditions, operations, uses, occupations, acts, omissions or negligence referred to in Sub-sections(1), (2), (3), and(4) above. Contractor's obligations under this Section apply regardless of whether or not such claim, charge, damage, demand, action, proceeding, loss, stop notice, cost, expense, judgment, civil fine or penalty, or liability was caused in part or contributed to by an Indemnity. However, without affecting the rights of the City under and provision of this agreement, Contractor shall not by required to indemnify and hold harmless City for liability attributable to the active negligence of City, provided such active negligence is determined by agreement between the parties or by the findings of a court of competent jurisdiction In instances where City is shown to have been actively negligent and where City's active negligence accounts for only a percentage of the liability involved, the obligation of the Contractor will be for that entire portion or percentage of liability not attributable to the active negligence of City. Contractor agrees to obtain executed indemnity agreements with provisions identical to those set forth herein this section from each and every subcontractor or any other person or entity involved by, for, with, or on behalf of Contractor in the performance of this agreement. In the event that Contractor fails to obtain such indemnity obligations from others as required here, Contractor agrees to by fully responsibly according to the terms of this section. Failure of City to monitor compliance with these requirements imposes no additional obligations on City and will in no way act as a waiver of any rights hereunder. This obligation to indemnify and defend City as set forth here is binding on the successors, assigns or heirs of Contractor and shall survive the termination of this agreement or this section. SP-15 H:\WPDOCS\InteroFfice Memos�ParkView\Parkview�Parkview 2010-201 t\Water Resounes Suite 100 Imp 2010-1 l.dcx T'his Indemnity shall survive termination of the Agreement or Final Payment hereunder. This Indemnity is in addition to any other rights or remedies that the Indemnities may have under the law or under any other Contract Documents or Agreements. In the event of any claim or demand made against any party which is entitled to be indemni�ed hereunder, City may, in its sole discretion, reserve, retain or apply any monies to the Contractor under this Agreement for the purpose of resolving such claims; provided, however, City may release such funds if the Contractor provides City with reasonable assurance of protection of the Indemnities' interests. City shall, in its sole discretion,determining whether such assurances are reasonable. LIABILITY INSURANCE The Contractor shall procure and maintain for the duration of the contract commercial general liability insurance against claims for injuries to persons or damages to property, which may arise from or in connection with the performance of the work hereunder by the Contractor, his agents, representatives, employees or subcontractors. The cost of such insurance shall be borne by the Contractor. The Contractor shall maintain general commercial liability of not less than One Million Dollars ($1,000,000.00) per occurrence for bodily injury, personal injury and property damage, and three-million dollars ($3,000,000.00) in general aggregate. Any deductibles or self-insured retentions must be declared to the City and approved by the Risk Manager. "The City, its Redevelopment Agency, its officials, employees, agents, and volunteers are to be covered as additionally insureds" as respects: l. Commercial General Liability Insurance using Insurance Services Office "Commercial General Liability" policy form CG 00 O1 or the exact equivalent. Defense costs must be paid in addition to limits. There shall be no cross liability exclusion for claims or suits by one insured against another. Limits shall by not less than $1,000,000 per occurrence for all covered losses and no less than$3,000,000 general aggregate. 2. Workers Compensation on a state-approved policy form providing statutory benefits as required by law with employer's liability limits not less than$1,000,000 per accident for all covered losses. 3. Business Auto Coverage on an ISO Business Auto Coverage form CA 00 O1 06 92 including symbol 1 (Any Auto) or the exact equivalent. Limits shall be no less than $1,000>000 per accident, combined single limit. If Contractor owns no vehicles, this requirement may be satisfied by a non- owned auto endorsement to the general liability policy described above. If Contractor or Contractor's employees will use personal autos in any way on this project, Contractor shall provide evidence of personal auto liability coverage for each such person. SP-16 H:\WPDOCSUnterof6ce Mcmos\ParkView�Parkview\Parkview 2010-2011\Water Resources Suite l00 Imp 2010-1 l.doc 4. Course of Construction insurance shall provide "all risk" coverage for the completed value of the project. Policies shall contain the following provisions: (1) City shall be named as loss payee; and (2) the insurer shall waive all rights of recovery against the City. Insurance procured pursuant to these requirements shall be written by insurers that are admitted carriers in the state of California and with an A.M. Best rating of A- or better and a minimum financial size VII. The contractor also agrees to the following: 1. Contractor agrees to endorse third party general liability coverage required here to include as additional insureds City, its Redevelopment Agency, its officials, employees and agents. Contractor also agrees to require the same provision of all subcontractors,joint ventures or other parties engaged by or on behalf of Contractor in relation to this agreement. 2. Contractor agrees to provide evidence of the insurance required herein, satisfactory to City, consisting of: a) certificate(s) of insurance evidencing all of the cover ages required and b) an additional insured endorsement to Contractor's general liability policy using Insurance Services Office form CG 20 10 11 85. Contractor agrees, upon request by City to provide complete, certified copies of any policies required by this section, within 10 days of such request. Any actual or alleged failure on the part of City or any other additional insured under these requirements to obtain proof of insurance required under this Agreement in no way waives any right or remedy of City or any additional insured, in this or any other regard. 3. All insurance coverage and limits provided by Contractor and available or applicable to this agreement are intended to apply to the full extent of the policies. Nothing contained in this Agreement limits the application of such insurance coverage. 4. Contractor agrees to endorse insurance policies provided pursuant to these requirements, to provide notice to City 60 days prior to cancellation of such liability coverage or any material alteration or non-renewal of any such coverage. Contractor shall assure that this provision also applies to any subcontractors,joint ventures or any other party engaged by or on behalf of Contractor in relation to this agreement. Certificate(s) are to reflect that the insurer will provide 60 days notice to City of any cancellation of coverage. Contractor agrees to require its insurer or agent to modify such certificates to delete any exculpatory wording stating that failure of the insurer to mail written notice of cancellation imposes no obligation, or that any party will "endeavor" (as opposed to being required) to comply with the requirements if the certificate. SP-17 H:\WPDOCS\Interoffice Memos�ParkViewlPazkviewlParkview 20t0-201 I1Water Resources Suite 100 imp 2010-I Ldoc 5. It is acknowledged by the parties of this agreement that all insurance coverage required to be provided by Contractor of any subcontractor, is intended to apply on a primary non-contributing basis in relation to any other insurance or self insurance available to City. Policies shall contain or be endorsed to contain such provisions. 6. All coverage types and limits required are subject to approval, modification and additional requirements by the City, as the need arises, Contractor shall not make any reductions in scope of coverage (e.g. elimination of con- tractual liability or reduction of discovery period) that may affect City's protection without City's prior written consent. 7. No liability policy shall contain any provision or definition that would serve to eliminate so-called "third party action over" claims, including any exclusion for bodily injury to an employee of the insured or of any contractor or subcontractor. 8. No liability inst�rance coverage provided to comply with this Agreement shall prohibit Contractor, or Contractor's employees, or agents, from waiving the right of subrogation prior to a loss. Contractor waives its right of subrogation against City. 9. All insurance coverage maintained or procured pursuant to this Agreement shall be endorsed to delete the subrogation condition as to City, or to specifically allow Contractor or others providing insurance herein to waive subrogation prior to a loss. This endorsement shall be obtained regardless of existing policy wording that may appear to allow such waivers. 10. In the event any policy of insurance required under Agreement does not comply with these requirements or is cancelled and not replaced, City has the right but not the duty to obtain the insurance it deems necessary and any premium paid by City will be promptly reimbursed by Contractor or City will withhold amounts sufficient to pay premium from contractor payments. 11. Contractor acknowledges and agrees that any actual or alleged failure on the part of City to inform Contractor of non-compliance with any requirement imposes no additional obligations on City nor does it waive any rights hereunder. 12. Contractor agrees to require all subcontractors or other parties hired for his project to provide the same insurance as required of Contractor unless otherwise agreed to by City. The subcontractor's general liability insurance shall add as additional insured all parties to this Agreement using Insurance Services Office form CG 20 10 44 85. SP-18 H:\WPDOC'S\Interoffice Memos\ParkView�Parkview�Parkview 2010-2011\Water Resources Suite!00 Imp 2010-1 l.doc Contractor agrees to obtain certificates evidencing such coverage and make reasonable efforts to ensure that such coverage is provided as required here. 13. For purposes of insurance coverage only, this Agreement will be deemed to have been executed immediately upon any party hereto taking any steps that can by considered to be in furtherance of ar toward performance of this Agreement. 14. The provisions of any workers' compensation or similar act will not limit the obligations of Contractor under this Agreement. Contractor expressly agrees not to use any statutory immunity defenses under such laws with respect to City, its Redevelopment Agency, its employees, officials and agents. 15. The insurance requirements set forth in this Section are intended to be separate and distinct from any other provision in this Agreement and are intended to by interpreted as such. 16. Unless otherwise approved by City, insurance provided pursuant to these requirements shall be by insures authorized to do business in California and with an A.M. Best rating of A- or better and a minimum financial size of VII. 17. Contractor agrees to provide immediate notice to City of any claim or loss against Contractor arising out of the work performed under this agreement. City assumes no obligation or liability by such notice, but has the right (but not the duty) to monitor the handling of any such clam or claims if they are likely to involve the City. 18. Contractor agrees to have its general liability coverage endorsed so that all coverage limits required by this agreement are available separately for each and every location at which Contractor conducts operations of any type on behalf of City. Contractor warrants that these limits will not be reduced except by losses attributable to those specific locations and not by losses from any other operations of Contractor. TERMINATION OF CONTRACT BY CONTRACTOR The Contractor may terminate the contract upon 10 calendar days written notice to the CTI'Y, whenever (1) the entire work has been suspended in accordance with these provisions for 60 consecutive calendar days through no fault or negligence of the SP-19 H:\WPdOCS\Interoffice Memos�ParkViewlParkview�Pazkview 2010-2011\Water Resources S�ite 1 W Imp 2010-I l.doc Contractor, and notice to resume work or to terminate the contract has not been received from the CITY within this time period; or (2) the CITY should fail to pay the Contractor any substantial sum due him in accordance with the terms of the contract and within the time limits prescribed. In the event of such termination, the Contractor shall have no claims against the CITY except for those claims specifically enumerated in these provisions and determined in accordance thereof. SP-20 H:\WPD(�S\InteroFfice Memos\PazkView\Parkview�Pazkview 2010-201 I1Water Resources Suite 100[mp 20I0-I I.doc