Loading...
HomeMy WebLinkAboutContracts & Agreements_74-2009_CCv0002.pdf AGREEMENT FOR PUBLIC WORK PROJECT This agreement for Pump Station Airport 1. Well and Pump Rehabilitation Project ("Agreement") is made and entered into this 12th day of May, 2009 ("Effective Date"), by and between the City of Redlands, a municipal corporation ("City"), and South West Pump & Drilling Inc. ("Contractor"). City and Contractor are sometimes individually referred to herein as a "Party" and, together, as the "Parties." In consideration of the mutual promises contained herein, City and Contractor agree as follows: ARTICLE I - ENGAGEMENT OF CONTRACTOR 1.1 City hereby retains Contractor to complete Pump Station Airport L, Well and Pump Rehabilitation Project("Project"). 1.2 Contractor and its subcontractors shall possess all appropriate State contractors' licenses required for the work to be performed in connection with the Project, and shall not be debarred pursuant to Labor Code sections 1777.1 and 1777.7. ARTICLE 2 - RESPONSIBILITIES OF CONTRACTOR 2.1 The Project which Contractor shall perform is more particularly described in Exhibit "A," which is attached hereto and incorporated herein by this reference. Exhibit "A" includes the Scope of Work. 2.2 Contractor shall comply with all applicable Federal, State and local laws and regulations in the performance of the Project including, but not limited, to all applicable Labor Code and prevailing wage laws and non-discrimination laws, including the Americans With Disabilities Act. Pursuant to Labor Code section 177').2, copies of the prevailing rates of per them wages as determined by the Director of the California Department of Industrial Relations for each craft, classification or type of worker needed to undertake the Project are on file at City's Municipal Utilities and Engineering Department, located at the Civic Center, 35 Cajon Street, Suite 15A (Mailing: P.O. Box 3005), Redlands, California 92373. 2.3 Contractor acknowledges that if it violates the Labor Code provisions relating to prevailing wages that City may enforce such provisions by withholding contract payments to Contractor or its subcontractors pursuant to Labor Code section 1771.6. 2.4 If Contractor executes an agreement with a subcontractor to perform work, on the Project, Contractor shall comply with Labor Code sections 1775 and 1777.7, and shall provide the subcontractor with copies of the provisions of Labor Code sections 1771, 1775, 1776, 1777.5, 1813 and 1815. Contractor acknowledges that the statutory provisions establishing penalties for failure to comply with state wage and hour laws and to pay prevailing wages may be enforced by City pursuant to Labor Code sections 1775 and 1813. 2,5 Contractor and its subcontractors shall comply with the provisions of Labor Code section 1776 Airport I agreement.doc regarding payroll records maintenance, certifications, retention and inspection. 2.6 Contractor acknowledges that eight (8) hours constitutes a legal day's work pursuant to Labor Code section 1810. 2.7 Contractor shall comply with the provisions of Labor Code section 1777.5 as to apprenticeships, and Labor Code sections 1771, 1775, 1776, 1777.5, 1813 and 1815. 2.8 Contractor shall obtain, execute and deliver to City a Performance Bond and a Labor and Materials Payment Bond, in the forms attached hereto as Exhibits "B" and"C." 2.9 Pursuant to Public Contract Code section 7104, if the Project involves digging trenches or other excavations that extend deeper than four feet below the surface, Contractor shall promptly, and before the following conditions are disturbed, notify City, in writing, of any: (1) material that Contractor believes may be material that is hazardous waste, as defined in Health and Safety Code section 25117, that is required to be removed to a Class 1, Class 11 or Class III disposal site in accordance with provisions of existing law; (2) subsurface or latent physical conditions at the Project site differing from those indicated by information about the site made available to Contractor prior to entering into this Agreement; or (3) unknown physical conditions at the site of any unusual nature, different materially from those ordinarily encountered and generally recognized as inherent in work of the character provided for in this Agreement. City shall promptly investigate the conditions and, if it finds that the conditions do materially so differ or do involve hazardous waste and cause a decrease or increase Contractor's cost of, or the time required for, performance of any part of the Project, and shall issue a change order under the procedures described in this Agreement. If a dispute arises between City and Contractor as to whether the conditions materially differ, involve hazardous waste, or cause a decrease or increase in Contractor's cost of, or time required for, performance of any part of the Project, Contractor shall not be excused from any scheduled completion date provided for by this Agreement, but shall proceed with all work to be performed under this Agreement. Contractor shall retain any and all rights provided either by this Agreement or by law which pertain to the resolution of disputes between the Parties. 2.10 Pursuant to Labor Code section 6705, if the Project requires any trench five feet or more in depth, Contractor shall submit, subject to City's approval, in advance of excavation, a detailed plan showing the design of shoring, bracing, sloping or other provisions to be made for worker protection from the hazard of caving ground during the excavation of such trench or trenches. If the plan varies from the shoring system standards, the plan shall be prepared by a registered civil or structural engineer. 2.11 Prior to and during any excavation, Contractor shall comply with Government Code section 4216 et seq. 2.12 Because this Agreement was exempt from competitive bidding, prior to commencement of the Project. Contractor shall provide City with the information otherwise found in Public Contract Code section 4104. Airport 1 agreement.doc Z:1 2.13 Pursuant to Public Contract Code section 7103.5(b), Contractor offers and agrees to assign to City all rights, title and interest in and to all causes of action it may have under section 4 of the Clayton Act (15 U.S.C. section 15) or under the Cartwright Act (Chapter 2 (commencing with section 16700) of Part 2 of Division 7 of the Business and Professions Code), arising from purchases of goods, services or materials pursuant to this Agreement ARTICLE 3 - PERIOD OF SERVICE 3.1 Contractor shall commence the Project upon City's delivery to Contractor of a written"Notice to Proceed." 3.2 Contractor shall complete the Project within forty-five (45)calendar days from and after the date of the Notice to Proceed. ARTICLE 4 - PAYMENT AND NOTICE 4.1 City shall pay Contractor the sum of Thirty Five Thousand One Hundred Fifty Five Dollars ($35,155.00) as complete compensation for the work Contractor performs on the Project. 4.2 Payments by City to Contractor shall be made within thirty (30) days after City's receipt and approval of Contractor's invoice, by warrant payable to Contractor. 4.3 All notices shall be made in writing and shall be given by personal delivery or by mail. Notices sent by mail shall be addressed as follows: City: Michael Taylor Water Distribution Supervisor City of Redlands P.O. Box 3005 Redlands, CA 92373 Contractor: Brian Jeffers Branch Manager South West Pump& Drilling Inc. 53-381 Highway 111 Coachella, CA 92236 When so addressed, such notices shall be deemed given upon deposit in the United States mail; in all other instances, notices, bills and payments shall be deemed given at the time of actual delivery. Changes may be made in the names and addresses of the person to whom notices are to be given by giving notice pursuant to this section 4.3. 4.4 Pursuant to Public Contract Code section 22300, Contractor has the option to deposit securities with an Escrow Agent as a substitute for any monies withheld by City to ensure Contractor's Airport 1 agreement,doc performance pursuant to Public Contract Code section 22300. 4.5 Pursuant to Government Code section 421'5, City assumes the responsibility for the timely removal, relocation or protection of existing main or trunkline utility facilities located on the site of the Project, if such utilities are not identified by City in the plans and specifications attached as part of Exhibit "A." City shall compensate Contractor for the costs of locating, repairing damage not due to the failure of Contractor to exercise reasonable care, and removing or relocating such utility facilities not indicated in the plans and specifications with reasonable accuracy and for equipment on the Project necessarily idled during such work. Contractor shall not be assessed liquidated damages for delay in completion of the Project, when such delay was caused by the failure of City or the owner of the utility to provide for removal or relocation of such utility facilities. However, City is not required to indicate the presence of existing service laterals or appurtenances whenever presence of such utilities on the Project site can be inferred from the presence of other visible facilities, such as buildings, meter and junction boxes, on or adjacent to the Project site, provided that City must identify main or trunklines in the plans and specifications attached as part of Exhibit"A." ARTICLE 5 - INSURANCE AND INDEMNIFICATION 5.1 Contractor's Insurance to be Primary. All insurance required by this Agreement shall be maintained by Contractor for the duration of the Project, and shall be primary with respect to City and non-contributing to any insurance or self-insurance maintained by City. 5.2 Workers' Compensation and Employer's Liability A. Contractor shall secure and maintain Workers' Compensation and Employer's Liability insurance for its employees throughout the duration of the Project pursuant to Labor Code sections 3700 and 1860, in an amount which meets statutory requirements, with an insurance carrier acceptable to City. The insurance policy shall include a provision prohibiting the policy's modification or cancellation except upon thirty (30) days prior written notice to City. Contractor shall execute and deliver to City a Worker's Compensation Insurance Certification in the form attached hereto as Exhibit "D" prior to commencement of the Project. B. Contractor expressly waives all rights to subrogation against City and its elected officials, officers and employees for losses arising from work performed by Contractor on the Project by expressly waiving Contractor's immunity for injuries to Contractor's employees. Contractor agrees that the obligation to indemnify, defend and hold harmless provided for in this Agreement extends to any claim brought by, or on behalf of, any employee of Contractor. 5.3 Hold Harmless and Indemnification. Contractor shall indemnify, hold harmless and defend City and its elected officials, employees and agents from and against any and all claims, losses and liability, including attorneys' fees, arising from injury or death to persons or damage to property occasioned by any negligent or intentionally ivTongful act or omission of Contractor, and its officers, employees and agents, in performing the Project. Airport 1 agreement.doc 5.4 Assignment. Contractor is expressly prohibited from assigning any of the work associated with the Project without the express prior written consent of City. In the event of agreement by the Parties to assign a portion of the Project, Contractor shall add the assignee as an additional insured to its insurance policies and provide City with the insurance endorsements prior to any work being performed by the assignee. Assignment does not include printing or other customary reimbursable expenses that may be provided for in this Agreement. 5.5 Comprehensive General Liability Insurance. Contractor shall secure and maintain in force throughout the duration of the Project comprehensive general liability insurance, with carriers acceptable to City, with minimum coverage of One Million Dollars ($1,000,000) per occurrence and Two Million Dollars ($2,000,000) aggregate for public liability, property damage and personal injury. City shall be named as an additional insured and the insurance policy shall include a provision prohibiting its modification or cancellation except upon thirty (30) days prior written notice to City. A certificate of insurance and endorsements shall be delivered to City prior to commencement of the Project. 5.6 Business Auto Liability Insurance. Contractor shall secure and maintain in force throughout the duration of the Project business automobile liability coverage, with minimum limits of One Million Dollars ($1,000,000) per occurrence, combined single limit for bodily injury liability and property damage liability. This coverage shall include all Contractor owned vehicles used on the Project, hired and non-owned vehicles, and employee non-ownership vehicles. City shall be named as an additional insured and the insurance policy shall include a provision prohibiting its modification or cancellation except upon thirty (30) days prior written notice to City. A certificate of insurance and endorsements shall be delivered to City prior to commencement of the Project. 5.7 Liquidated Damages. Failure of the Contractor to complete the work within the time allowed will result in damages being sustained by City. Such damages are, and will continue to be, impracticable and extremely difficult to determine. Contractor shall pay to City, or have withheld from monies due it, the sum of $500 for each consecutive calendar day in excess of the specified time for completion of the Project. Execution of this Agreement shall constitute agreement by City and Contractor that $500 per day is the minimum and actual damage caused by the failure of Contractor to complete the Project within the allowed time. Such sum represents liquidated damages and shall not be construed as a penalty, and may be deducted from payments due the Contractor if such delay occurs. ARTICLE 6 - GENERAL CONSIDERATIONS 6.1 In the event any action is commenced to enforce or interpret any of the terms or conditions of this Agreement the prevailing Party shall, in addition to any costs and other relief, be entitled to recover its reasonable attorneys' fees, including fees for the use of in-house counsel by a Party. 6.2 All documents, records, drawings, electronic data files and data base. , photographic prints and negatives, designs and specifications, cost estimates, and other Project documents developed by Contractor for the Project shall become the property of City and shall be delivered to City upon Airport 1 aggreement.doc completion of the Project. 6.3 Contractor is, for all purposes under this Agreement, an independent contractor with respect to the Project and not an employee of City. All personnel employed by Contractor to perform the Project are for its account only, and in no event shall Contractor or any personnel retained by it be deemed to have been employed by City or engaged by City for the account of, or on behalf of, City. Nothing in this Agreement shall be considered to create the relationship of employer and employee between the Parties. 6.4 Unless earlier terminated as provided for below, this Agreement shall terminate upon completion and acceptance of the Project by City. 6.5 City may terminate this Agreement for any reason, at any time at its sole discretion, upon five (5) calendar days prior written notice to Contractor. 6.6 Upon receipt of a termination notice, Contractor shall (1) promptly discontinue all work associated with the Project and (2) deliver or otherwise make available to City, copies of any data, design calculations, drawings, specifications, reports, estimates, summaries, and such other information and materials as may have been accumulated by Contractor in performing the Project. Contractor shall be compensated on a pro-rata basis for any work completed up until notice of termination. 6.7 This Agreement, including the exhibits incorporated by reference, represents the entire agreement and understanding between the Parties as to the matters contained herein and any prior negotiations, proposals and agreements relating to the subject matter hereof are superseded by this Agreement. Any amendment to this Agreement shall be in writing and approved by City and Contractor. 6.8 This Agreement shall be governed by and construed in accordance with the laws of the State of California. 6.9 Claims by Contractor in the amount of Three Hundred Seventy-Five Thousand Dollars ($375,000) or less shall be made by Contractor and processed by City pursuant to the provisions of Part 3, Chapter 1, Article 1.5 of the Public Contract Code (commencing with section 20104). All claims shall be in writing and include the documents necessary to substantiate the claim. 6.10 If any provision or of this Agreement is held to be void or unenforceable under any law or regulation, it shall be deemed stricken, and all remaining provisions shall continue to be valid and binding upon City and Contractor. Airport 1 agreement.doc IN WITNESS WHEREOF, duly authorized representatives of the Parties have signed in confirmation of this Agreement. CITY ED NDS ATTEST: I/Z Enri e in z City erk City anager SOUTH FEST PUMP & DRILLING INC. By Date tZ Brae 4""g= -?QV t`t 6wn- Airport I agreement.doc EXHIBIT "A" Airport I agreement.doc Bond #2303288 Premium: $387.00 Exhibit "B" PERFORMANCE BOND WHEREAS, the City of Redlands (hereinafter designated as "City"), and South West Pump & Drilling Inc. (hereinafter designated as "Principal") have entered into an Agreement whereby Principal agrees to install and complete certain designated public improvements, which by said agreement dated May 12, 2009, and identified Pump Station Airport 1, Well and Pump Rehabilitation Project ("Project") is hereby referred to and made a part hereof-, and WHEREAS, under the terms of said agreement, Principal is required, prior to performance of the Project, to furnish a bond for the faithful performance of said agreement. NOW, THEREFORE, said Principal and the undersigned as corporate surety, are held and firmly bound unto City in the penal sum of, Thirty Five Thousand One Hundred Fifty Five Dollars($35,155.00), lawful money of the United States, for the payment of which sum well and truly to be made, we bind ourselves, our heirs, successors, executors and administrators,jointly and severally, firmly by these presents. The condition of this obligation is such that if the above bounded principal, 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 provisions in the said agreement and any alteration thereof made as therein provided, on his or their part,to be kept and perfon-ned at the time and in the manner therein specified, and in all respects according to their true intent and meaning, and shall indemnify and save harmless City, its officers, agents and employees,as therein stipulated,then this obligation shall become null and void;otherwise it shall be and remain in full force and 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 City in successfully enforcing such obligation, all to be taxed as costs and included in any judgment rendered. The surety hereby stipulates and agrees that no change,extension of time, alteration or addition to the terms of the agreement or to the work to be performed thereunder or the specifications accompanying the same shall in anywise affect its obligations on this bond, and it does hereby waive notice of any such change, extension of time, alteration or addition to the terms of the agreement or to the work or to the specifications. IN WITNESS WHEREOF,this instrument has been duly executed by the Principal and surety named, on May 13, 2009. Bond No. 2303288 (SEAL) (SEAL) SOUTH WEST P0,4P & DRILLING INC INSURaE MTANY OF THE WEST for (S (S 14 AM-11;Any%00a.—4 BY: (44-40 ignatu or Ann Wil and (Signature) Attorney—in—Fact *t CAUA. 1DVX9- Address: 77-564 Country Club Dr. #3401 — Palm Desert, Ca, 92211 (Seal and Notarial Acknowledgment of Surety) Telephone( 760 )3LD--47-0fl— Airport I agreement Exhibit"C" LABOR AND MATERIAL BOND Whereas, the City of Redlands ("City") and South West Pump &Drilling Inc. (hereinafter designated as "Principal") have entered into an agreement whereby Principal agrees to install and complete certain (fesignated public improvements, which said agreement, dated May 12,2009, and identified as Pump Station Airport 1, Well and Pump Rehabilitation Project("Project")is hereby referred to and made a part hereof; and Whereas, under the terms of said agreement, Principal is required before entering upon the performance of the Project, to file a good and sufficient payment bond with City to secure the claims to which reference is made in Title 15 (commencing with Section 3082)of Part 4 of Division 3 of the Civil Code. Now, therefore, the Principal and the undersigned as corporate surety, are held firmly bound unto City and all contractors, subcontractors, laborers, material men and other persons employed in the performance of the aforesaid agreement and referred to in the aforesaid Civil Code in the sum of Thirty Five Thousand One Hundred Fifty Five Dollars ($35,155.00), for materials furnished or labor thereon of any kind, or for amounts due under the Unemployment Insurance Act with respect to such work or labor, that said surety will pay the same in an amount not exceeding the amount hereinabove set forth, and also in case suit is brought upon this bond, will pay, in addition to the face amount thereof, costs and reasonable expenses and fees, including reasonable attorneys' fees, incurred by City, in successfully enforcing such obligation, to be awarded and fixed by the court, and to be taxed as costs and to be included in the judgment therein rendered. It is hereby expressly stipulated and agreed that this bond shall insure to the benefit of any and all persons, companies and corporations entitled to file claims under Title 15 (commencing with Section 3082) of Part 4 of Division 3 of the Civil Code, so as to give a right of action to them or their assigns in any suit brought upon this bond. Should the condition of this bond be fully performed,then this obligation shall become null and void, otherwise it shall be and remain in full force and effect. The surety hereby stipulates and agrees that no change, extension of time, alteration or addition to the terms of said agreement or the specifications accompanying the same shall in any manner affect its obligations on this bond, and it does hereby waive notice of any such change,extension of time, alteration or addition. In witness whereof, this instrument has been duly executed by the Principal and surety above named, on May 13, -,--. 2009. PUN (VSE ) (S EIA L) C C SOUTH WEST P & DRILLING, INSURAXqE COMPANY OF THF' WEST 0 BY: (Signa ure) Ann -QI-kand (Signature) Attorney-.in-Fact bmnt� Address: 77-564 CountrY Club #B401 Palm Desert, Ca. 92211 (Seal and Notarial Acknowledgment of Surety) Telephone( 760) 360 4700 Airport 1 agreement No. 00004214 ICW GROUP Power of Attorney Insurance Company of the West Explorer Insurance Company Independence Casualty and Surety Company KNOW ALL MEN BY THESE PRESENTS: That Insurance Company of the West,a Corporation duly organized under the laws of the State of California, Explorer Insurance Company,a Corporation duly organized under the laws of the State of California,and Independence Casualty and Surety Company,a Corporation duly organized under the laws of the State of Texas,(collectively referred to as the"Companies"),do hereby appoint PAUL W.LEWIS,ANN WILLARD,DIANE M.NIELSEN,VAN G.TANNER their true and lawful Attomey(s)-in-Fact with authority to date,execute,sign,seal,and deliver on behalf of the Companies,fidelity and surety bonds,undertakings,and other similar contracts of suretyship,and any related documents. In witness whereof,the Companies have caused these presents to be executed by its duly authorized officers this Ist day of November,2005. ��owrurr S RqM`" r•�'Y Vyd `yi � �G *►ou f l 4' C,°'''s #acr4 �� ++�p 1 � � � INSURANCE COMPANY OF THE WEST j o`saSEAL 1 a EXPLORER INSURANCE COMPANY + '4.0 +'� �;i Z� a INDEPENDENCE CASUALTY AND SURETY COMPANY �, ti � Jeffrey D.Sweeney,Assistant Secretary John L.Hannum,Executive Vice President State of California } County of San Diego ss. On June 5,2006 before me,Mary Cobb,Notary Public,personally appeared John L.Hannum and Jeffrey D.Sweeney,personally known to me to be the persons whose names are subscribed to the within instrument,and acknowledged to me that they executed the same in their authorized capacities,and that by their signatures on the instrument,the entity upon behalf of which the persons acted,executed the instrument. Witness my hand and official seal. "Namocotwry � ER SQA. Mary Cobb,Notary Public RESOLUTIONS This Power of Attomey is granted and is signed,sealed and notarized with facsimile signatures and seals under authority of the following resolutions adopted by the respective Boards of Directors of each of the Companies: "RESOLVED: That the President,an Executive or Senior Vice President of the Company,together with the Secretary or any Assistant Secretary,are hereby authorized to execute Powers of Attorney appointing the person(s)named as Attomey(s)-in-Fact to date,execute,sign,seal,and deliver on behalf of the Company,fidelity and surety bonds,undertakings,and other similar contracts of suretyship,and any related documents. RESOLVED FURTHER: That the signatures of the officers making the appointment,and the signature of any officer certifying the validity and current status of the appointment,may be facsimile representations of those signatures;and the signature and seal of any notary,and the seal of the Company,may be facsimile representations of those signatures and seals,and such facsimile representations shall have the same force and effect as if manually affixed. The facsimile representations referred to herein may be affixed by stamping,printing,typing,or photocopying." CERTIFICATE I,the undersigned,Assistant Secretary of Insurance Company of the West,Explorer Insurance Company,and Independence Casualty and Surety Company,do hereby certify that the foregoing Power of Attorney is in full force and effect,and has not been revoked,and that the above resolutions were duly adopted by the respective Boards of Directors of the Companies,and are now in full force. lark a �/ IN WITNESS WHEREOF,I have set my hand this day of �I Jeffrey D.Sweeney,Assistant Secretary To verify the authenticity of this Power of Attorney you may call 1-800-877-1111 and ask for the Surety Division. Please refer to the Power of Attomey Number,the above named individual(s)and details of the bond to which the power is attached. For information or filing claims,please contact Surety Claims,ICW Group, 11455 EI Camino Real,San Diego,CA 92130-20-45 or call(858)350-2400. STATE OF CALIFORNIA COUNTY OF RIVERSIDE ON 2009 BEFORE ME, LINDA ROCHA, Notary Public PERSONALLY APPEARED: ANN WILLARD who proved to me on the basis of satisfactory evidence to be the person whose name is subscribed to the within instrument & acknowledged to me that she executed the same in her authorized capacity, and that by her signatures on the instrument the person, or the entity upon behalf of which the person acted, executed the instrument. I certify under penal of perjury under the laws of the State of California that the foregoing paragraph is true and correct. WITNESS mv hand and official seal. LINDA ROCHA commission # 1777932 t Notri Public -California Riverside County Signatu�e: `inda Rocha, Notary ALL PURPOSE ACKNOWLEDGMENT Exhibit "D" WORKERS' COMPENSATION INSURANCE CERTIFICATION Project: Pump Station Airport 1, Well and Pump Rehabilitation Project Every employer except the State, shall secure the payment of compensation in one or more of the following ways: (a) By being insured against liability to pay compensation in one or more insurer duly authorized to write compensation insurance in this State. (b) By securing from the Director of Industrial Relations, a certificate of consent to self- insure, either as an individual employer or as one employer in a group of employers, which may be given upon furnishing proof satisfactory to the Director of Industrial Relations of ability to self-insure and to pay any compensation that may become due to his or her employees. I am aware of the provisions of Section 3700 of the Labor Code which requires every employer to be insured against liability for Workers' Compensation or to undertake self-insurance in accordance with the provisions of that Code, and I will comply with such provisions before commencing the performance of the work of this Agreement. (Labor Code §1861). South West Pump &Drilling Inc. Date: N kf-t74 B 2,oe 00 y Contractor's License No. U"b VWCAUA W-EStbekM Airport I acyreernent.doc