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HomeMy WebLinkAboutContracts & Agreements_56-2011_CCv0001.pdf PUBLIC WORK CONSTRUCTION CONTRACT This Public Work Construction contract ("Contract") made and entered into this day of May. 2011, by and between the City: of Redlands, a municipal corporation organized and existing under the laws of the State ofCalifornia, (hereinafter"City"), and 'fry Kirtley General Engineering, (hereinafter "Contractor")."). City and Contractor are sorn tunes individualiv 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: I. SCOPE OFWORK: Contractor or shad furnish all materials and perform all of the work liar the follow inL- Construction of the Agate No. 2 Well Perchlorate blending complete all items as required by the Contract Documents (as herein defined) and Specifications for City's AGATE NO. 2 WELL PERCEELOWV17E BLE`r'D11A1(i PROJECT, Project No. 71219 ?;, THE CONTRACT SUM: City shall pay Contractor the sura of$92.395.00 as consideration for its performance of the: Work in;accordance with the terms and conditions set forth in the Contract Documents. Pursuant to Public Contract:Code> Section 22300, Contractor has the option to deposit securities with an escrow agent as a substitute for retention of earnings requirement to be withheld by City pursuant to an escrow agreement as set forth in the Public Contract Code Section 22300, 3. 'TIME FOR COMPLETION: The Work shall be completed within Sixty (60) calendar days from and tatter-the date of the delivery to Contractor of<a written Notice to Proceed by City. 4. LIQUIDATED DAMAGES: Contractor's failure to complete the work within the time allowed will result in darnag s being, sustained by Cita;. Such damages are,and will continue to be, impracticable and extremely difficult to determine. Accordingly, Contractor shall pay to City, or have withheld from motiles cline to Contractor, the Burn. of Five Hundred Dollars (S-500) for each consecutive calendar day in excess of the specified time for completion of Work. Execution of the. Contract shall constitute agr eenient by City and Contractor that l=ive hundred Dollar ($500) per day is the estimated damage. to City caused by the failure of the Ccantractor to complete the Work within the allowed time. Such surra is for liquidated damages and shall not be construed as a Penalty, and may be deducted from payments clue Contractor if such delay occurs. 3'; CONTRACTDOCt'NJENT . 'r1iis Contract includes all of the Contract documents set forth herein, to vol. Noticc. Inviting Bids, Instructions to Bidders.. Contractor's Proposal, Biel Borid, Agreement, Performance fond. Labor and IN-laterial Bond, Plans. (J neral Conditions. Special Conditions. Special Provisions and Specifications, and any addenda thereto. C l � Y s cornmenced to enforce or 6ATTORNEYS' FEES: In the ee vnt anlegal actioni interpret the terms or conditions of the Contract documents, the prevailing Party in such action. in addition to any costs and other relief, shall be entitled to recover its reasonable attorneys' fees, including fees for use of in-house counsel by a Party. 7RESOUJITiON OF CONSTRUCTION CLAIMS: Claims by Contractor in the arnount of S375.000 or less shall be made by Contractor and processed by the City pursuant to the provisions of Part _3), Chapter I_ Article 1.5 of the Public Contract Code (cornmencing with Section 20104). All claims shall be in writing and include the documents necessary to substantiate the claim. Nothing in subdivision (a) of Public Contract Code Section 20104.2 shall extend the time limit or supersede the notice requirements provided in this case from filing claims by Contractor, & ELIGIBILITY OF CONTRACTOR/SUBCONTRACTOR: Contractor and all of its subcontractors shall abide by California Public Contract Code, Section 6109, and California Labor Code Sections 1777.1 and/or 1777.74 and certify that they are not debarred and are eligible to work on this project. 9. ASSIGNMENT OF AGRE EMENT: No assignment by a Party of any rights or interests under this Conti-act shall be binding on another Party without the written consent of the Party sought to be bound. 10, SUCCESSORS AND ASSIGNS: City and Contractor each binds itself and their respective successors and assigns in respect to all covenants, agreements, and obligations contained in the Contract Documents. I I. SEVERABILITY: Any provision or part of the Contract documents held to be void or unenforceable under any law or regulation shall be deemed stricken, and Lill remaining provisions shall contillUe to be valid and binding upon City. and Contractor. CD 7 IN WITNESS WHEREOF, the parties hereto have executed this Agreement the day and year first written above. City of Redlands (SEAL) (Owner) A t4- 'V Mayor, City of Redlands, Cowity of' San Bernardino, California ATTEIST- Citv Clerk. 0tv f Redlands County of San Bernardino, California (SEAL) Name of Contractor By: ��' ''Lure of A-4awrized Agent Title Sioliature of Authorized Ao rit f{if`necessary) e Title Contractor's License No. CD 3 WORKER'S KER'S C*C)MPENS TION INSURANCE CERTIFICATION Description cifC ontract City of Redlands Municipal futilities& Engineering Depat�ttt�ent AG,ATE NO. 2 WELL PERCHLORATE BLENDING DING , Project No. 71,219. Labor Coda, Section 3700, provides, in part that: "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 paycompensation 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 o self-insure, either as an individual employer, or as one employer in group of employers which may be given upon furnishing roof satisfactory to the Director of Industrial Relations of ability to self-insure and to pay any compensation that may, become clue to his or her employees. I ant aware of the provisions of Section 700 of the 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 Cole._ and I will comply with such provisions before commencing the performance of the work of this contract, (Labor Code section 186 1) Dated this day° of f� 4 ?tf l 1, (Contractor) ( ionatUre) (Official Title) (SEAL) (Labor `ode Section 1861 provides that the above Certificate must be sign d tnd filed b the CONTRACTOR lith the OWNER prior to performing, the work of the Contract.) Bond No: 0914971 PERFORMANCE BOND Ptemiutn, $2,772.00 Whereas,the City Council of the City of Redlands, State of California, and Tryco General Engina ryrr Tn (hereinafter designated as "Principal") have entered into an agreement whereby Principal agrees to install and complete certain` designated public improvements,which said agreement, dated Mays1 and identified as AGATE NO. 2 WELL PERCHLORATE BLENDING , Project No. 71219 is hereby referred to and made a part hereof; and Whereas, said Principal is required under the terms of said agreement to furnish a bond for the performance of said.project. Financial Pacific Now,therefore, said Principal and Insurance•. Company , as surety, are held firmly bound unto the City of Redlands(hereinafter call "City"), in the penal sunt of Dollars92,395.00� ) lawful money of the United Mates, for the payment of which sutra well and truly to be made, we bind ourselves,;our heirs, successors, executors and adt inistra ors, jointly and severally, firmly by these presents, The condition of this obligation is such that if the above bounded .principal, his or her heirs, executors, administrator, 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, or his/her or their part, to be Rept and perfortrted at the tine and in the manner therein specified, and in all respects according to their true intent and meaning, and shall defend, indemnify and hold harmless the City, its elected officials, officers, agents and employees, as therein stipulated, then this obligation shall become null and void; otherwise it shall be and remain in full farce 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 the 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 bored, and;it does hereby waive notice of any such change, extension of time, alteration or addition to the terins 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 above named,on May 11, 2011.. (SEAT, _ (SEAL) Financial Pacific insurance (CONTRACT OR) tare ty) B .�uw ... ignature) Michael Harbison (Signature) Attorney—In-fact: Address, gel Atherton Road Rocklin, CA 95765 cgeal and Notarial Acknowledgment of Telephone(91 ) 630-3841 Surety) Ninety Two Thousand Three Hundred Ninety Five Dollars and No1100 ($92,395-00) TATE OF CALIFORNIA ) ss . COUNTY OF PLACER On May 11, 2011_, before me, D. Garvin, Notary Public,, personally appeared Michael__D. Harbison who proved to me on the basis of satisfactory evidence to be the; person+ whose name is/ ubscribed to the within instrument and acknowledged to me that h ,`sh,- ,--hey executed the same in his.,he2� ��� authorized capacity $ and that by his /t- i signature on the instrument the person or the entity upon behalf of which the per on 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 . D, GARVIN mr-n�s n # 1911716 r k .. m mss .= Signature of Notary Public (Not try Seal) LIMITED I F ATTORNEY Financial Pacific Insurance Company BOND NUIMBER C914971 POWER NNUAlBER 914971 FPRINC"l>AL Tryco General Engineering, Inc, PENAL SUM S92,395.00 KNOW ,LI, MEN, BY THESE PRESENTS, that Financial Pacific Insurance Company, a California corporation f'the -C:ckaipattv"), does hereby trtake,constitute and appoint: Linda Reechetti, Michael A tt rbi on, Lindsay Spruill its true and laay.foo.thea• ys ra-F ct,;vitt limited po- t r and authoj ity for rued on behalf'of the C ort'part} as surely,to exe rit€,deli c r tract affix the scaal of the Company thereto if a seal is required on boatels,undertakings.recognir_:aaaces or other written otrlig aticaus in the nature thereof as fudlo o s- iPerfrrr a: ee, I a ytnent, Subdivision and Miscellaneous 11ntls rip to S3,000,000-00 . and to bifid € c1 C; (--infamy= ftart:l', is eavwe.r� of Attorney is, signed and sealed by facsimile under out] by the authority of tete forollo iusf rex,€Attic as adopted by the Board o EheeCL0rS Of Fitaaricial Paterflc lustivanc:e Ceampany at the me ftaap duly field.laxly,6, 1993,which are now in tall fo ice and efftTt: RESOLVED, that the President or :any Vice President, in cor%junction with (tie Secretary or any Asa staant Secretary, rn ay appoint rrtorncys; i t-forct or agents vvith authority as dedsred or ltanated in the instrumentevideztc°ing the appointment in each cnse-,for and carr beh all'of fhe C ompaarty,to mxecutc and,deliver and affix tate seal of Lbe C'ornpatny°tt:bonds.undettral;ingl�.recognizatices,and suretyship obligations ttf all kinds;;and said officers truty st)eave zany:,arch atattrt'n v' ifa-fact or:agent andrevolte any po erofattorncy previously granted such person, RES{)I."v°ED EU[ RTHE,'R, that any bond, undertaking, reco uIIIzarnce,or suretyship obligation shall be valid and binding exhort the Company when signed and sealed cif at:seal be required) €ty one or niore attorneys-itt-fsact Pursuant to and within the fronts of the aauthority, evidenced by the fetiver of attorney issued by the Company to such person or persons, RESOLVED FURTHER.that the signature of any aut)ttatize d officer and the seal of'the Company sttaav be affixed by fa csirrrile to ally Power of aattearney or certification Thereof tauthor-izirag the exectativirr aart(I delivery of any bond.undertaking, reeognixatnce,or other suretyship obligations of the Company,any. such siw-nature and sal vv'h n sat used,ball have tire sa irrea force and effect as though manually affixed. IN WITNESS WHEREOF, Financial 'acute Insurance C rnpany has caused these presents to be signed by it's proper officers,.and it-s corporate seat to be hereunto affixed this 9th of December'20 10 CIS V \yi yt g .Y y c• 986 a STATE OFCAL.IEORNIA.COUNTY OF PLACER On this 9th ofDece rriber,2010 before,me Debra Gavin-Notary Public,personally appeared aared Edward J Paaoletti,arid,Icahn R,Hollin gshea d,vvho proved to nae on the basis of satisfactory evidence to be the persons whose natttaCt;acre}subscribed to the within instrument acrid acknoaavled-ld to one,that they= executed the same In their authorized capacities,and that by, their.signatures on the Instrument the persons,or the efuiPV upon behalf cal`-which the::. persons acted,executed the irrstrassrte nt t3. iAftttlt fr A si�tt#t i9t1�t � a e��, gL yp200*1 it 4r C 13 a t ty "aarvin,N tary 1-ublic 11 fat C .Ex reshot t1i4 CERTIFICATE I c•ertifv under the.Penalty(if Per ury f trde~r the hie'S'etf tltc4 State of California that that fore ,oinli paragraph is trice and correct, I It 1 May 11i�,4101 Signed and seated at Placer,ihis. play of ._ __.. t)_ ihn T .E:aalhatgshead Scc r:,i,ty *ins f Financial Pacific, Insurance Company scat fust lie afftxe d Bond No: C914971 Premium: Included on Performance Bond LABOR AND MATERIAL Li+CJI''`ID Whereas,the City Council of the City of Redlands, State of California,and _Fnainppr%. njz. Inc- (hercir after designated as "Principal") have entered into all agreement whereby Principal agrees to install and complete certain designated public €rnprovernems,which said agreement,dated axe 121 2011, and identified as AGATE `-O. 2 WELL PERCULoikX iE BLENDING Project No. 71219 is hereby referred to and made a Part hereof,and Whereas, under the terms of said agreement, Principal is required before entcri0,04 upon the perforrraance of the work,to file as good and sufficient payment bond with the City of Redlands to secure the claims to which reference is made in Title 1 5 (cornmencing with Section>gt1 2)of-Part 4 of Division 3 ofthe Civil Code of the State of California, Now, therefore, said Principal and the undersigned as corporate surety, are held firinly° bound unto the City, of Redlands and all CONTRACTORS, SUBCONTRACTOR—S, laborers, material men and other persons employed in the performance of the aforesaid agreement and referred so in the aforesaid Carle of Civil Procedure in the siren of _ Dollars( for materials runaished or labor thereon of any kind, or for arra€sats dare under the Unemployment Insurance Act with respect to such work or labor; that said surety lvill pay the same in all amount not exceeding the amount hereinabove set forth, and also, in case suit is brought upon this bond, ,gill pay, in addition to the face amount thereof; costs and reasonable expenses and tees, including reasonable attorney's fees, incurred by tlae>City of Redlands i successfully enforcing such obligation, to be awarded and fired by the court, and to be taxed ars costs and to be included in the judgment therein rendered. It is hereby expressly stipulated and agreed that ibis band shall insure to the benefit of any and all persons, companies and Corporations entitled to rile claims under Title 15 (commencing with Section 3)11$2)of Part 4 of Division 3 of the Civil Code,ser as to give a right of acrion to,these or their assigns in any suit brought upon this bond. Should €lee condition of this band be sully perConried, these 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. alter atiora or additien to tile: terms of said agreement or the specifications accompanying the saaMe shall ill any: meter, r affect its obligations earl this bond. and it does hereby walve notice of any such change, extension of time, alteration or addition. In witness whereof, dais ir,strtaruerat has been duly executed by the Principal and surely above narned,on May 1.1 2011. SAL Financial Pacific 'Sr r._ r ti , rt.t arts. ; , ; fnsc o I*11AtC"1{5f�i ye) Michael D. Harbison (Signature) Attorney—In—Fact . rYdre.=s 35$01 Atherton Road (Sea!and Nowr al Ac"—r owledg me rt of Sutety) Tr*'epheni9 1 ir; -. 841 Ninety Two Thousand 'three Hundred Ninety Five Dollar and Noe/100 ($92,395.00)' TATE OF CALIFORNIA ) ss . COUNTY OF PLACE On May 11 2011, before me D. Garvin, Notary Public, personally appeared _ MichaelHarbison, who proved to me on the basis of satisfactory evidence to be the person- }- whose same iso` =e subscribed to the within instrument and acknowledged to me' that he.ls � h y executed the same in his lie Pthe authorized cap .city : +, and that by his,l r- rthe s;ignature4-e+ on, the instrument the person4-s+, or the entity upon behalf of which the person acted, executed the instrument. T 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 . 0,GARV,N Signature of Notary Public (Nor-ar r Seal) LIMITED POWER OF ATTORNEY Financial Pacific Insurance Company } �497 IaC')'41rNt;,`4fit;E;t� I't)WFRitiUAMt".1E' PRINC IRNI Tryco General Engineering, Ince PEIN t.SUM $92,395.00 NOW ALL SIE",N . THESE PRESENTS, that Financial Pacific Insurance Company,a California corporation (,tire "tonna t€v"). does hereby` Inaike,constitute and appoint: Linda Becclttetti, Michael D. Harbison, Lindsay Spruill rill its true and kv&tui Attorneys-in-Fact,with Innited power and authority forand on behal ko''the Company,as'Wretv,U)Cx0cute.deliv r and affix the seal of tiie Company thereto if as seal is required on bonds;uridertakirigs,recog n izances or other ww`ritren o li aations in the nature,thereo €as foflo)xs= Pie ncrrt Subdivision and MiscellaneousBands tip toS3,000,000-00 and to hiroef t ae onaFany tare v7, is oweinen eft Attorney is si(,nerd .incl sealed by facsimile[under and by the atratlfority of ttre fc=llerww'ira!e. resolutions,adopted by the.Board of Directors of Financial Pacific Insurance Ccatf€pang at the,meeting duly held July tie 399:5,which are now III full force and r ffc%tn RESOLVED, that the President or :anvx Vice President- in carinjunetirin with the Secretary of any .assistant Secretary' may, appoint aattorrievs-ilk-tact or afents with authority ars defined or limited in the instru€ ent-evidencing the altpoitome it in each case.,for and on behail of the C'ornpaa7ry,to execute and deliver Land affix tate seal ofthe Coinfrany to bond,,. and surety,',hip obligations of till kinds:and said officers may remove any such attorney-in-fact or agent dartsl revoke any powerof attorney previously granted such person, RESOLVED ED F4JRTI`ER, drat`a€try bond, nrrdettaa iny?, recognizance, or Isuretyship obligation shall he waf d and hindirr m Uponthe: Carmpanx -,shen signed and sealed {if aseal he_required) by cafe or metra attorneys-in-fact pursuant to and -,vithin the Iorks of the authority evidenced fly tire power of aattor iey issued by the Company eta such person or persons. RE,St)i.w I'D FURTHER.that the signature of any authorized oftrovr and the seal cif thin Company may he affixed by faac'sinole;to any ftowserr of attorneys or certification therei,)f authorizing- the execai ion anddelivery of any hand,andertaakiird,recoonizance,or other :urelyshili obligations of than Company:any such sigita€[tare and *peat when so users*slut! have tyre sante force and effect As thououh maanualiv affixed, IN WITNESS WHEREOF, Financial Pacific Insunance,Company any h<as caused these present-,to be signed by it's,proper officers-and it's corporate por€ttc seal to be hereturba affixed this Pin,of December 2010. �s sss° t INS()S .' SQLy Z ; '•, (986 ti tE4§ktiwww����v, S t°„a".E`E OF CALIFORNIA.C(fLttwlTY OF PLAt"ER On this 9th of December,2010 before me,Debra C_leaw'itt Notary Public,personally appeared Edward J.Pariletti and John R.Hollirai.:;head,who proved to rne°on Inc basis of saitistactory evidence to he the I;ersons w, hose names are subscribed to the within instrument and aacknowt'1r~el,ed to race that the-, executed the same in their authorized capacities,and that be their signatures ern the instrument the persons,or the entity upon behalf of which h titer persons acted,executed the instrument, 0,GAMN w 00motission N lot tilt � t placer cowfty Debra Garvin,Notary Public M Comm,jx friss NOV 2W20JI4 CEWRIFIC ATE I certify uaider the Peria Ity of Per,3ury under the laws of the;Staatt of C"aiIfornita It at the foregoing pa ra,graph i:;trfic and correct: Ilth ila4 I Signed and sealed it Player,this,---_day Mahn l:calhrif cad,fiectetary i ]-in, Lott I Pacific insurance Cornpany seal must i be affixed " exempt from environmental processing pursuant to CEQA guidelines',approved the Project plans and specifications and approved a contract between the City, of Redlands and Kortrix, Inc. to perforn-i the work. Reservoir Mixing Sv.sterri - Oil motion of Councilmember Gardner. seconded by Councilmember Harrison, the City Council unanimously agreed that approval of the agreernent and construction of the Agate Blending Systern Project is exempt from environmental processing pursuant to CEQA LlUidelitles, approved the Project plans and specifications, approved a contract between the City of Redlands and Try, Kirtley General Engineering to perform tile work, and accepted a funding commitment letter from Lockheed Martin Corporation for the services to be provided byTry Kirtley. Ordinance 2747 - Ae-ressive Solicitation - Cin motion of Councilinember Harrison, seconded by Councilinember Gardner, tile City Council unanimously approved the introduction of Ordinance 2747, an ordinance of the City of Redlands adding Chapter 9,10 of the Redlands Municipal Code relating to aggressive soliciting or panhandling, CDBG Funds Management - Oil motion of Mayor Pro Tern Foster, seconded by Councilmember Gardner, the City Council unanimously approved executing a 2010-2011 CDBG subrecipient agreement between the City of Redlands and Redlands 11-arnl1v Services, reprogramming S.5,050 in 2010-2011 CDBG funds to Redlands Family Services, and teri-ninating a 2010-2011 CDBG subrecipient agreement between the City of Redlands and Developing Aging Solutions with Heart for failure to comply with terms of the agreement, GIS License - Oil rnotion of Councilmember Bean, seconded by Counclimember Gardner, the City Council approved a master Enterprise Licensc Agreement between the City, of Redlands and Esn for Geographic Information SNstern (GIS) software licensing for a period of three years. Counciltnernber Harrison recused himself from discussion and voting on the agreement due to his employment relationship with Esri, 0otiosition to L-caislation - Cori motion of k-layror Aguilar, seconded by Mayor Pro Tem Foster, the City COL111CII unanimously authorized the NIayor to sian letters to State Senators Bob Dutton and Joe Sirnitian and Assemblyman N/fike Morrell expressing the City of Redlands' opposition to SB34, the Water Resources Investment Act. of 2011, The Act proposes a new tax to generate revenues for water projects, all the examples of which are located in the Sacramento Bay area, CQUTNCTLM EMBER ACTIVITIES: May 3. 2011 Page 5 FAVi1tM-VVm',T,SoCelv and Health Nonh Hollood No haunk, 'A 91 05, LOCKHEED PAA R r , i—+, April 25, 2011 Mr. Chris Diggs City of Redlands Municipal Utilities & Engineering Department 35 Cajon Boulevard Redlands, CA 92397 RE: Commitment of Funding for Agate#2 Well Interim Blending Construction. Dear Chris: This letter is being issued as a commitment of funding by Lockheed Martin Corporation to the City of Redlands for tasks related to the Agate 42 well interim blending construction project, The blending of water from the Agate#2 well may be necessary if a release of residual perchlorate at the former Lockheed Propulsion Company site subsequently causes concentrations in the well to exceed the maximum contaminant level (MCL). It is Lockheed Martin's understanding that the City will contract with Tryco General Engineering to construct the necessary piping and associated equipment to blend water from Agate#2 well and the Hinckley Water Treatinent Plant. The scope of work to be completed by Tryco General Engineering that is at least partially covered by funding from Lockheed Martin will include the following: • Mobilization/demobilization, • Installationof a 12 inch propeller flow meter assembly. • Installation of approximately 170 feet of 12 inch diameter steel pipeline including connection to butterfly valve at the Agate Reservoir, • Installation of 12 inch butterfly valve, valve box, and cover, • Installation of 2 inch air and vacuum valve assembly. • Pressure testing for new water pipelines. • Disinfection of new water pipelines. The goal of these services is to provide a temporary solution to blend water from the Agate#2 well with water from the Hinckley Water Treatment Plant prior to delivery to the City's customers. The temporary solution will remain in place and operational until the construction of a,permanent solution is completed and operational, Lockheed Martin has agreed in discussions with Redlands staff to reimburse the City for the Agate#2 well interim blending construction services provided the work, is conducted in Mr, Chris Diggs City of Redlands April 25, 2011 Page 2 accordance with the task identified in this letter and contract between Tryco General Engineering and the City, and provides a feasible option for blending perchlorate levels to less than 0% of the MCL. This letter confirms that. Lockheed Martin will reimburse the City for these costs which will not exceed $48,485.80 (this cost includes a 'I:tl% contingency Per discussions between Lockheed Martin and the City); We look forward to continued cooperation and coordinated interaction with the City on this work, Should you have any questions or comments, Tease contact me at (81 8) 847-0197. Sincerely, i Gene Matsushita Senior Technical Project Manager GM/BT Attachment cc: Mr. Bill Gane, City of Redlands Mr. Brian Thorne, LMC C3L°R071 -C.'o ninitment of Imiding for Agate#2 interim construction z a . LOCKHEED MARTIN , April 27, 2011 Mr. Chris Diggs City of Redlands Municipal Utilities & Engineering Department 35 Cajon Boulevard Redlands, CA 92397 : Commitment;of Funding for Agate##2 Well Interim Blending Construction. Dear Chris: This letter is being issued as a commitment of funding by Lockheed Martin Corporation to the City of Redlands for tasks related to the Agate#2 well interim blending construction project. The blending of water from the Agate#2 well may be necessary if a release of residual perchlorate at the former LockheedPropulsion Company site subsequently causes concentrations in the well to exceed the maximum contaminant level (MCL), It is Lockheed Martin's understanding that the City will contract with Try Kirtley General Engineering to construct the necessary piping and associated equipment to blend water from Agate 42 well and the HinckleyWater Treatment Punt. The scope of work to be completed by Try Kirtley General Engineering that is at least partially covered by funding from Lockheed Martin will include the following: • Mobilization/demobilization. • Installation of a 12 inch propeller flow meter assembly. • Installation of approximately 170 feet of 12 inch diameter steel pipeline including connection to butterfly valve at the Agate Reservoir. • Installation of 12 inch butterfly valve, valve box, and cover. • Installation of 2 inch air and vacuum valve assembly. • Pressure testing for new water pipelines. - • Disinfection of new water pipelines.. The goal of these services is to provide a temporary solution to blend water from the Agate##2 well with water from the Hinckley 'Nater Treatment Plant prier to delivery to the City's customers. The temporary solution will remain in place and operational until the construction of permanent solution is completed and operational. Lockheed Martin has agreed in discussions with Redlands staff to reimburse the City (or the Agate#2 well interim blending construction services provided the weak is conducted in Mr.Cliris Dings Citi of Redlands Apr)l 27. 2011 Page?` accordance with the task identified in this letter and contract between`Try Kirtley General Engineering and the City,and provides a feasible;option for blending perchlorate levels- to less than ft%of the A1C L This letter cna'<:tirtaas that LockheedMai-tin will reimburse the City for these assts which will not exceed;$48,485,80(this cast includes a 10%contingency per discussions between Lockheed Martin and the City). We look forward to continued cooperation and coordinated interaction with the City on this work, `should you have any questions or comments,please contact neat at(818)847- 1 7. Sincerely, -1 IA--- Gene r"h,,, —Gene Matsushita Senior'Technical Project Manager GMJB Attachment c: Mr. Bill Gane'; City of Redlands "ver. Brian"T"horne, L.MC B R07t tw ommAmcnt ut tiundrng,t`ur Agate 42 interim c7nstruetwil rev 1 April 14, 2011 To Whom It May Concern: Subject: Authorize a Change in designation of Signator The purpose of this letter is to authorize a designation of signator during my periodic absence in the future. I am delegating signature authority of all reports and letters to Brian Thome.who may be reached at 818-847-9901. If you have any questions regarding this delegation please call me at 818-847-0197. Sincerely, Gene S. Matsushita Senior Manager, Environmental Remediation BUR065 Change in Designation of Signator