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HomeMy WebLinkAboutContracts & Agreements_249-2025AGREEMENT FORM Bid Category No. 08 THIS AGREEMENT, entered into this 16th day of December-, 2025 in the San Bernardino County of the State of California, by and between the CITY OF REDLANDS, hereinafter called the "City", and Southconst Acoustical interiors. Inc , hereinafter called the "Contractor". Contractor acknowledges that this Project is being awarded in accordance with the Uniform Public Construction Cost Accounting ("UPCCAA") set forth in Public Contract Code section 22000 et seq. Bidders shall comply with any requirements set forth in the UPCCAA including all guidelines and requirements in the current California Uniform Construction Cost Accounting Commission Cost Accounting Policies and Procedures Manual. Contractor shall cooperate with the City and provide any requested information or documents as requested by the City to comply with the UPCCAA including, but not limited to, all Project cost data, invoices, accounting records, payroll records, etc. WITNESSETH that the City and the Contractor for the consideration stated herein agree as follows: ARTICLE 1- SCOPE OF WORK: The Contractor shall furnish all labor, materials, equipment, tools, and utility and transportation services, and perform and complete all work required in connection with FCS20251017TS & City Hall Renovation ("Project") in strict accordance with the Contract Documents enumerated in Article 7 below. The Contractor shall be liable to the City for any damages arising as a result of a failure to comply with that obligation, and the Contractor shall not be excused with respect to any failure to comply by an act or omission of the Construction Manager, Architect, Engineer, Inspector, City, or representative of any of them, unless such act or omission actually prevents the Contractor from fully complying with the Contract Documents and the Contractor protests, in accordance with the Contract Documents, that the act or omission is preventing the Contractor from fully complying with the Contract Documents. Such protest shall not be effective unless reduced to writing and filed with the City office within seven (7) days of the date of occurrence of such act or omission preventing the Contractor from fully complying with the Contract Documents. ARTICLE 2 - TIME OF COMPLETION: The City may give notice to proceed within ninety (90) days of the award of the bid by the City. Once the Contractor has received a notice to proceed, the Contractor shall reach Substantial Completion (See Article 1.1.47) of the Work within Three Hundred Thirty-two (332) calendar days from the start of construction receipt. This shall be called Contract Time. (See Article 8). It is expressly understood that time is of the essence. Contractor has thoroughly studied the Project and has satisfied itself that the lime period(s) for this Project was adequate for the timely and proper completion of submittal, procurement and the Project within each milestone and within the Contract time. In the event that the City desires to postpone giving the notice to proceed beyond this ninety (90) day period, it is expressly understood that with reasonable notice to the Contractor, giving the notice to proceed may be postponed by the City. It is further expressly understood by the Contractor, that the Contractor shall not be entitled to any claim of additional compensation as a result of the City's postponement of giving the notice to proceed. If the Contractor believes that a postponement will cause hardship to it, the Contractor may terminate the Contract with written notice to the City within ten (10) days after receipt by the Contractor of the City's notice of postponement. It is further understood by the Contractor that in the event that the Contractor terminates the Contract as a result of postponement by the City, the City shall only be obligated to pay the Contractor for the work performed by the Contractor at the time of notification of postponement. Should the Contractor terminate the Contract as a result of a notice of postponement, the City shall have the authority to award the Contract to the next lowest responsible bidder. ARTICLE 3 - LIQUIDATED DAMAGES: It being impracticable and infeasible to determine the amount of actual damage, it is agreed that the Contractor will pay the City the sum specified in the Supplementary General Conditions per calendar day for each and every day of delay beyond the Contract Time set forth in Article 2 of this Agreement (inclusive of Milestones that are critical on the critical path or noted as critical to the City) as Liquidated Damages and not as a penalty or forfeiture. In the event Liquidated Damages are not paid, the Contractor further agrees that the City may deduct such amount thereof from any money due or that may become due the Contractor under the Contract (See Article 9.6 and 2.2 of the General Conditions). ARTICLE 4 - CONTRACT PRICE: The City shall pay to the Contractor as full consideration for the faithful performance of the Contract, subject to any additions or deductions as provided in the Contract Documents, the sum of Four Hundred Eighteen Thousand Six Hundred Fiftv DOLLARS (I 4l8 50), said sum being the total amount stipulated in the Bid Contractor submitted. Payment shall be made as set forth in the General Conditions. Should any Change Order result in an increase in the Contract Price, the cost of such Change Order shall be agreed to in advance by the Contractor and the City, subject to the monetary limitations set forth in Public Contract Code section 20118.4. In the event that the Contractor proceeds with a Change in work without an agreement between the City and Contractor regarding the cost of a Change Order, the Contractor waives any Claim of additional compensation for such additional work. ARTICLE S - HOLD HARMLESS AGREEMENT: Contractor shall defend, indemnify and hold harmless City, Architect, Construction Manager, Inspector, the State of California and their officers, employees, agents and independent contractors from all liabilities, claims, actions, liens, judgments, demands, damages, losses, costs or expenses of any kind arising from death, personal injury, property damage or other cause based or asserted upon any act, omission, or breach connected with or arising from the progress of Work or performance of service under this Agreement or the Contract Documents, As part of this indemnity, Contractor shall protect and defend, at its own expense, City, Architect, Construction Manager, Inspector, the State of California and their officers, employees, agents and independent contractors from any legal action including attorney's fees or other proceeding based upon such act, omission, breach or as otherwise required by this Article. Furthermore, Contractor agrees to and does hereby defend, indemnify and hold harmless City, Architect, Construction Manager, Inspector, the State of California and their officers, employees, agents and independent contractors from every claim or demand made, and every liability, loss, damage, expense or attorney's fees of any nature whatsoever, which may be incurred by reason of: (a) Liability for (1) death or bodily injury to persons; (2) damage or injury to, loss (including theft), or loss of use of, any property; (3) any failure or alleged failure to comply with any provision of law or the Contract Documents; or (4) any other loss, damage or expense, sustained by any person, firm or corporation or in connection with the Work called for in this Agreement or the Contract Documents, except for liability resulting from the sole or active negligence, or the willful misconduct of the City. (b) Any bodily injury to or death of persons or damage to property caused by any act, omission or breach of Contractor or any person, firm or corporation employed by Contractor, either directly or by independent contract, including all damages or injury to or death of persons, loss (including theft) or loss of use of any property, sustained by any person, firm or corporation, including the City, arising out of or in any way connected with Work covered by this Agreement or the Contract Documents, whether said injury or damage occurs either on or off City property, but not for any loss, injury, death or damages caused by the sole or active negligence or willful misconduct of the City. (c) Any dispute between Contractor and Contractor's subcontractors/supplies/ Sureties, including, but not limited to, any failure or alleged failure of the Contractor (or any person hired or employed directly or indirectly by the Contractor) to pay any Subcontractor or Materialman of any tier or any other person employed in connection with the Work and/or filing of any stop notice or mechanic's lien claims. Contractor, at its own expense, cost, and risk, shall defend any and all claims, actions, suits, or other proceedings that may be brought or instituted against the City, its officers, agents or employees, on account of or founded upon any cause, damage, or injury identified herein Article 5 and shall pay or satisfy any judgment that may be rendered against the City, its officers, agents or employees in any action, suit or other proceedings as a result thereof. The Contractor's and Subcontractors' obligation to defend, indemnify and hold harmless the City, Architect, Construction Manager, Inspector, the State of California and their officers, employees, agents and independent contractors hereunder shall include, without limitation, any and all claims, damages, and costs for the following: (1) any damages or injury to or death of any person, and damage or injury to, loss (including theft), or loss of use of, any property; (2) breach of any warranty, express or implied; (3) failure of the Contractor or Subcontractors to comply with any applicable governmental law, rule, regulation, or other requirement; (4) products installed in or used in connection with the Work; and (5) any claims of violation of the Americans with Disabilities Act ("ADA"). ARTICLE b -PROVISIONS REQUIRED BY LAW: Each and every provision of law and clause required to be inserted in this Contract shall be deemed to be inserted herein, and this Contract shall be read and enforced as though it were included herein, and if through mistake or otherwise any such provision is not inserted or is not inserted correctly, then upon application of either party the Contract shall forthwith be physically amended to make such insertion or correction. ARTICLE 7 - COMPONENT PARTS OF THE CONTRACT: The Contract entered into by this Agreement consists of the following Contract Documents, all of which are component parts of the Contract as if herein set out in full or attached hereto: Notice Inviting Bids Instructions to Bidders Designation of Subcontractors Non -Collusion Declaration Bid Guarantee Form Bid Bond Bid Form Contractor's Certificate Regarding Worker's Compensation Acknowledgment of Bidding Practices Regarding Indemnity Agreement Form Payment Bond Performance Bond Guarantee Escrow Agreement for Security Deposit In Lieu of Retention Workers' Compensation/Employers Liability Endorsement General Liability Endorsement Automobile Liability Endorsement Contractor's Certificate Regarding Drug -Free Workplace Contractor's Certificate Regarding Alcohol and Tobacco General Conditions Supplementary General Conditions Specifications All Addenda as issued Drawings/Plans Substitution Request Form Requirements, Reports and/or Documents in the Project Manual or Other Documents Issued to Bidders Trade Scope of Work Summary All of the above named Contract Documents are intended to be complementary. Work required by one of the above named Contract Documents and not by others shall be done as if required by all. ARTICLE 8 - PREVAILING WAGES: Wage rates for this Project shall be in accordance with the general prevailing rate of holiday and overtime work in the locality in which the work is to be performed for each craft, classification, or type of work needed to execute the Contract as determined by the Director of the Department of Industrial Relations. Copies of schedules of rates so determined by the Director of the Department of Industrial Relations are on file at the administrative office of the City and are also available from the Director of the Department of Industrial Relations. Monitoring and enforcement of the prevailing wage laws and related requirements will be performed by the Labor Commissioner/ Department of Labor Standards Enforcement (DLSE). The following are hereby referenced and made a part of this Agreement and Contractor stipulates to the provisions contained therein. Chapter 1 of Part 7 of Division 2 of the Labor Code (Section 1720 et seq.) 2. California Code of Regulations, Title 8, Chapter 8, Subchapters 3 through 6 (Section 16000 et seq.) ARTICLE 9 - RECORD AUDIT: In accordance with Government Code section 8546.7(and Davis Bacon, if applicable) and Article 13.11 of the General Conditions, records of both the City and the Contractor shall be subject to examination and audit for a period of five (5) years after a Final Retention Payment or the Recording of a Notice of Completion, whichever occurs first. ARTICLE 10 - CONTRACTOR'S LICENSE: The Contractor must possess throughout the Project a Class as specified in the Notice Inviting Bids, Contractor's License, issued by the State of California, which must be current and in good standing. IN WITNESS WHEREOF, this Agreement has been duly executed by the above named parties, on the day and year first above written. City of Redlands CONTRACTOR: Sauq*6a.J4 4eo u5t«4 'zrn4• 2��e a 4n ) 6j" Mario Saucedo, Mayor Typed or Pfrinted Name Dated: 12 (7 z5 Attest: nne Donaldson, City Clerk re /f r1Ju�� Title Signature Type or Printed Name Title (Authorized Officers or Agents) Signature �f.10- i:. &:Q; Bond # GRCA72829 PAYMENTBOND (CALIFORNIA PUBLIC WORK) KNOW ALL MEN BY THESE PRESENTS: THAT WHEREAS, the City of Redlands (sometimes referred to hereinafter as "Obligee") has awarded to Southcoast Acoustical Interiors, Inc. (hereinafter designated as the "Principal" or "Contractor"), an agreement for the work described as follows: City Hall Renovation - Bid Category 08 (hereinafter referred to as the "Public Work"); and WHEREAS, said Contractor is required to furnish a bond in connection with said Contract, and pursuant to California Civil Code section 9550; NOW, THEREFORE, We, Southcoast Acoustical Interiors, Inc. the undersigned Contractor, as Principal; and Granite Re, Inc. dba Granite Surety*, a corporation organized and existing under the *Insurance laws of the State of Minnesota , and duly authorized to transact business trader the laws of the Company State of California, as Surety, are held and firmly bound unto the City of Redlands and to any and all persons, companies, or corporations entitled by law to file stop notices under California Civil Code section 9100, or any person, company, or corporation entitled to make a claim on this bond, in the sum of Four Hundred Eighteen Thousand Six Hundred Fifty Dollars ($ 418,650.00 ), such sum being not less than one hundred percent (100%) of the total amount payable by said Obligee under the terms of said Contract, for which payment will and truly to be made, we bind ourselves, our heirs, executors and administrators, successors and assigns, jointly and severally, firmly by these presents. THE CONDITION OF THIS OBLIGATION IS SUCH that if said Principal, its heirs, executors, administrators, successors, or assigns, or subcontractor, shall fail to pay any person or persons named in Civil Code section 9100; or fail to pay for any materials, provisions, or other supplies, used in, upon, for, or about the performance of the work contracted to be done, or for any work or labor thereon of any kind, or for amounts due under the Unemployment Insurance Code, with respect to work or labor thereon of any kind; or shall fail to deduct, withhold, and pay over to the Employment Development Department, any amounts required to be deducted, withheld, and paid over by Unemployment Insurance Code section 13020 with respect to work and labor thereon of any kind, Dien said Surety will pay for the same, in an amount not exceeding the amount herein above set forth, and in the event suit is brought upon this bond, also will pay such reasonable attorneys' fees as shall be fixed by the court, awarded and taxed as provided in California Civil Code section 9550 et seq. This bond shall inure to the benefit of any person named in Civil Code section 91.00 giving such person or his/her assigns a right of action in any suit brought upon this bond. It is further stipulated and agreed that the Surety of this bond shall not be exonerated or released from the obligation of the bond by any change, extension of time for performance, addition, alteration or modification in, to, or of any contract, plans, or specifications, or agreement pertaining or relating to any scheme or work of improvement herein above described; or pertaining or relating to the furnishing of labor, materials, or equipment therefor; nor by any change or modification of any terms of payment or extension of time for payment pertaining or relating to any scheme or work of improvement herein above described; nor by any rescission or attempted rescission of the contract, agreement or bond; nor by any conditions precedent or subsequent in the bond attempting to limit the right of recovery of claimants otherwise entitled to recover under any such contract or agreement or under the bond; nor by any fraud practiced by any person other than the claimant seeking to recover on the bond; and that this bond be construed most strongly City Hall Renovation Payment Bond City of Redlands Page 39 against the Surety and in favor of all persons for whose benefit such bond is given; and under no circumstances shall the Surety be released from liability to those for whose benefit such bond has been given, by reason of any breach of contract between the Obligee and the Contractor or on the part of any obligee named in such bond; that the sole condition of recovery shall be that the claimant is a person described in California Civil Code section 9100, and who has not been paid the full amount of his or her claim; and that the Surety does hereby waive notice of any such change, extension of time, addition, alteration or modification herein mentioned. IN WITNESS WHEREOF this instrument has been duly executed by the Principal and Surety above named, on the 23rd day of December , 20 25 . ► �Ii7:� 11LK�LII�i Sou oast Acoustical Interior>rIne. >3 cir, Granite Re, Inc. dba Granite Surety Insurance Company By: W Kenneth D. Whittington, Attorney -in -Fact City Hall Renovation Payment Bond City of Redlands Page 40 ACKNOWLEDGMENT A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document. State of California County of San Bernardino On December 29, 2025 before me, Linda Lorraine Bender, Notary Public (insert name and title of the officer) personally appeared Cynthia D. Ortega who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. >w LINDA LCRUNE BENDER 7 Notary Pub#Ic • California = WITNESS my hand and official seal. _ San 6ersion #o County > Commission # 2527579 �� �a•"* My Comm. Expires Jut 19. 2029 SignatureU (Seal) IMPORTANT: THIS IS A REQUIRED FORM. Surety companies executing bonds must possess a certificate of authority from the California Insurance Commissioner authorizing them to write surety insurance defined in California Insurance Code section 105, and if the work or project is financed, m whole or in part, with federal, grant or loan funds, Surety's name must also appear on the Treasury Department's most current list (Circular 570 as amended). Any claims under this bond may be addressed to: (Name and Address of Surety) Granite Re, Inc. dba Granite Surety Insurance Company 14001 Quailbrook Drive, Oklahoma City, OK 73134 833-985-0298 (Name and Address of agent or representative for service for service of process in California) Gregory Vrooman, Federated Insurance 10850 Gold Center Drive, Suite 150, Rancho Cordova, CA 95670 Telephone: 951-317-2087 A notary public or other office completing this certificate verifies only the identity of the individual who signed the domnnent to which this certificate is attached. and not the truthfulness. accuraev, or validity of that docrunent. OKLAHOMA STATE OF MMOMM) ) ss. COUNTY OF OKLAHOMA ) On December 23, 2025 , before me, Bethany J. Alred personally appeared KennethD. Whittington , who proved on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies) as the Attorney -in -Fact of Granite Re, Inc. dba Granite Surety*(Surety) and acknowledged to me that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) executed the instrument. *Insurance Company I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. WIT SS my hand and official seal. Notary Public in and f r ai tate Commission expires: April 21, 2027 a'vlU t u tires r Qt: #110�y7 ty�tEAL) +o QN;.. Qae oo''alr,.'q�W �erll0f0 0 NOTE: A copy of the power -of -attorney to local representatives of the bonding company must be attached hereto. City Hall Renovation Payment Bond City of Redlands Page 41 GRANITE RE, INC. DBA GRANITE SURETY INSURANCE COMPANY GENERAL POWER OF ATTORNEY Know all Men by these Presents: That GRANITE RE, INC. DBA GRANITE SURETY INSURANCE COMPANY, a corporation organized and existing under the laws of the State of MINNESOTA and having its principal office at the City of OKLAHOMA CITY in the State of OKLAHOMA does hereby constitute and appoint: KENNETH D. WHITTINGTON; KYLE MCDONALD its true and lawful Attorney -in -Facts) for the following purposes, to wit: To sign its name as surety to, and to execute, seal and acknowledge any and all bonds, and to respectively do and perform any and all acts and things set forth in the resolution of the Board of Directors of the said GRANITE RE, INC. DBA GRANITE SURETY INSURANCE COMPANY a certified copy of which is hereto annexed and made a part of this Power of Attorney; and the said GRANITE RE, INC. DBA GRANITE SURETY INSURANCE COMPANY through us, its Board of Directors, hereby ratifies and confirms all and whatsoever the said: KENNETH D. WHITTINGTON; KYLE MCDONALD may lawfully do in the premises by virtue of these presents. In Witness Whereof, the said GRANITE RE, INC, DBA GRANITE SURETY INSURANCE COMPANY has caused this instrument to be sealed with its corporate seal, duly attested by the signatures of its President and Assistant Secretary,, this 315t day of July, 2023. Kenneth D. Whitti on, President STATE OF OKLAHOMA ) SS: COUNTY OF OKLAHOMA ) Ky�. McDonald, Assistant Secretary On this 315t day of July, 2023, before me personally came Kenneth D. Whittington, President of the GRANITE RE, INC. DBA GRANITE SURETY INSURANCE COMPANY and Kyle P. McDonald, Assistant Secretary of said Company, with both of whom I am personally acquainted, who being by me severally duly sworn, said, that they, the said Kenneth D. Whittington and Kyle P. McDonald were respectively the President and the Assistant Secretary of GRANITE RE, INC. DBA GRANITE SURETY INSURANCE COMPANY, the corporation described in and which executed the foregoing Power of Attorney; that they each knew the seal of said corporation; that the seal affixed to said Power of Attorney was such corporate seal, that it was so fixed by order of the Board of Directors of said corporation, and that they signed their name thereto by like order as President and Assistant Secretary, respectively, of the Company. My Commission Expires: April 21, 2027 Commission #: 11003620 GRANITE RE, INC. Certificate ix Notary Public THE UNDERSIGNED, being the duly elected and acting Assistant Secretary of GRANITE RE, INC. DBA GRANITE SURETY INSURANCE COMPANY, a Minnesota Corporation, HEREBY CERTIFIES that the following resolution is a true and correct excerpt from the July 15, 1987, minutes of the meeting of the Board of Directors of GRANITE RE, INC. DBA GRANITE SURETY INSURANCE COMPANY and that said Power of Attorney has not been revoked and is now in full force and effect. "RESOLVED, that the President, any Vice President, the Assistant Secretary, and any Assistant Vice President shall each have authority to appoint individuals as attorneys -in -fact or under other appropriate titles with authority to execute on behalf of the company fidelity and surety bonds and other documents of similar character issued by the Company in the course of its business, On any instrument making or evidencing such appointment, the signatures may be affixed by facsimile. On any instrument conferring such authority or on any bond or undertaking of the Company, the seal, or a facsimile thereof, may be impressed or affixed or in any other manner reproduced; provided, however, that the seal shall not be necessary to the validity of any such instrument or undertaking." IN WITNESS WHEREOF, the undersigned has subscribed this Certificate and affixed the corporate seal of the Corporation this December 23 , 2025 . - �)) tiA 1. yE^ Kyle P. McDonald, Assistant Secretary GR-40 (CA) Ed. 06.24 Bond # GRCA72829 PERFORMANCE BOND (CALIFORNIA PUBLIC WORK) KNOW ALL MEN BY THESE PRESENTS: THAT WHEREAS, the City of Redlands (sometimes referred to hereinafter as "Obligee") has awarded to Southcoast Acoustical Interiors, Inc. (hereinafter designated as the "Principal' or "Contractor"), an agreement for the work described as follows: FCS20251017TS & City Hall Renovation - Bid Category 08 (hereinafter referred to as the "Public Work"); and WHEREAS, the work to be performed by the Contractor is more particularly set forth in that certain contract for said Public Work dated December 16, 2025 , (hereinafter referred to as the "Contract'), which Contract is incorporated herein by this reference; and WHEREAS, the Contractor is required by said Contract to perform the terms thereof and to provide a bond both for the performance and guaranty thereof. NOW, THEREFORE, we, Southcoast Acoustical Interiors, Inc. , the undersigned Contractor, as Principal, and Granite Re, Inc. dba Granite Surety*, a corporation organized and existing under the *Insurance laws of the State of Minnesota , and duly authorized to transact business under the laws of the Company State of California, as Surety, are held and firmly bound unto the City of Redlands in the sum of Four Hundred Eighteen Thousand Six Hundred Fifty Dollars ($ 418,650.00 ), said sum being not less than one hundred percent (100%) of the total amount payable by said Obligee under the terms of said Contract, for which amount well and truly to be made, we bind ourselves, our heirs, executors, administrators, successors, and assigns, jointly and severally, firmly by these presents. THE CONDITION OF THIS OBLIGATION IS SUCH THAT, if the bounded Contractor, his or her heirs, executors, administrators, successors or assigns, shall in all things stand to and abide by, and well and truly keep and perform die covenants, conditions, and agreements in said Contract and any alteration thereof made as therein provided, on his or her part, to be kept and performed at the time and in the manner therein specified, and in all respects according to their intent and meaning; and shall faithfully fulfill guarantees of all materials and workmanship; and indernnify, defend and save harmless the Obligee, its officers and agents, as stipulated in said Contract, then this obligation shall become null and void; otherwise it shall be and remain in full force and effect. The Surety, for value received, hereby stipulates and agrees that it shall not be exonerated or released from the obligation of this bond (either by total exoneration or pro tanto) by any change, extension of time, alteration in or addition to the terms of the contract or to the work to be performed there under or the specifications accompanying the same, nor by any change or modification to any terms of payment or extension of time for any payment pertaining or relating to any scheme of work of improvement under the contract. Surety also stipulates and agrees that it shall not be exonerated or released from the obligation of this bond (either by total exoneration or pro tanto) by any overpayment or underpayment by the Obligee that is based upon estimates approved by the Architect. The Surety stipulates and agrees that none of the aforementioned changes, modifications, alterations, additions, extension of time or actions shall in any way affect its obligation on this bond, and it does hereby waive notice of any such changes, modifications, alterations, additions or extension of time to the terns of tie contract, or to the work, or the specifications as well notice of any other actions that result in the foregoing. City Hall Renovation Performance Bond City of Redlands Page 42 Whenever Principal shall be, and is declared by the Obligee to be, in default under the Contract, the Surety shall promptly either remedy the default, or shall promptly take over and complete the Contract through its agents or independent contractors, subject to acceptance and approval of such agents or independent contractors by Obligee as hereinafter set forth, in accordance with its terms and conditions and to pay and perform all obligations of Principal under the Contract, including, without limitation, all obligations with respect to warranties, guarantees and the payment of Liquidated Damages; or, at Obligee's sole discretion and election, Surety shall obtain a bid or bids for completing the Contract in accordance with its terms and conditions, and upon deternunation by Obligee of the lowest responsible bidder, arrange for a contract between such bidder and the Obligee and make available as Work progresses (even though there should be a default or succession of defaults under the contract or contracts of completion arranged under this paragraph) sufficient funds to pay the cost of completion less the "balance of the Contract Price" (as hereinafter defined), and to pay and perform all obligations of Principal under the Contract, including, without limitation, all obligations with respect to warranties, guarantees and the payment of Liquidated Damages. The term "balance of the Contract Price," as used in this paragraph, shall mean the total amount payable to Principal by the Obligee under the Contract and any modifications thereto, less the amount previously paid by the Obligee to the Principal, less any withholdings by the Obligee allowed under the Contract. Obligee shall not be required or obligated to accept a tender of a completion contractor from the Surety. Surety expressly agrees that the Obligee may reject any agent or contractor which may be proposed by Surety in fulfillment of its obligations in the event of default by the Principal. Unless otherwise agreed by Obligee, in its sole discretion, Surety shall not utilize Principal in completing the Contract nor shall Surety accept a bid from Principal for completion of the work in the event of default by the Principal. No final settlement between the Obligee and the Contractor shall abridge the right of any beneficiary hereunder, whose claim may be unsatisfied. The Surety shall remain responsible and liable for all patent and latent defects that arise out of or relate to the Contractor's failure and/or inability to properly complete the Public Work as required by the Contract and the Contract Documents. The obligation of the Surety hereunder shall continue so long as any obligation of the Contractor remains. Contractor and Surety agree that if the Obligee is required to engage the services of an attorney in connection with enforcement of the bond, Contractor and Surety shall pay Obligee's reasonable attorneys' fees incurred, with or without suit, in addition to the above sum. In the event suit is brought upon this bond by the Obligee and judgment is recovered, the Surety shall pay all costs incurred by the Obligee in such suit, including reasonable attorneys' fees to be fixed by the Court. City Hall Renovation Performance Bond City of Redlands Page 43 IN WITNESS WHEREOF, we have hereunto set our hands and seals this 23rd day of December , 20 22S . PRINCIPALICONTRACTOR: SouthSouth"G4 Acoustical Interiors, Inc. By: SURETY: Granite Re, Inc. dba Granite Surety Insurance Company By: �+ -- Kenneth D. Whittington,Attorney-in-Fa The rate of premium on this bond is $9.401$7.20 per thousand. The total amount of premium charged: $ 3,234 (This must be ftIIed in by a corporate surety). IMPORTANT: THIS IS A REQUIRED FORM. Surety companies executing bonds insist possess a certificate of authority from the California Insurance Cominissioner authorizing them to write surety insurance defined in California Insurance Code section 105, and if the work or project is financed, in whole or in part, with federal, grant or loan funds, Surety's name must also appear on the Treasury Department's most current list (Circular 570 as amended). Any claims under this bond may be addressed to -- (Name and Address of Stuety) Granite Re, Inc. dba Granite Surety Insurance Company 14001 Quailbrook Drive, Oklahoma City, OK 73134 Telephone: 833-985-0288 (Name and Address of agent or representative for service for service of process in California) Gregory Vrooman, Federated Insurance 10850 Gold Center Drive, Suite 150, Rancho Cordova, CA 95670 Telephone: 951-317-2087 A notary public or other office completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document. City Hall Renovation Performance Bond City of Redlands Page 44 ACKNOWLEDGMENT A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document. State of California County of San Bernardino On December 29, 2025 before me, Linda Lorraine Bender, Notary Public (insert name and title of the officer) personally appeared Cynthia D. Ortega who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that helshelthey executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. WITNESS my hand and official seal Signature rw.dffi.,. o+ r LINDA LORUNE HNOER Notary PuWit • California San Bernardino County T_ Commission d 2577579 C44110Ry'� sty Camm, Expires Jul 19, 2029 (Seal) OKLAHOMA STATE OF GADIRMUM) ) ss. COUNTY OF OKLAHOMA ) On December 23, 2025 before me, Bethany J. Alred personally appeared KennethD Whittington , who proved on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies) as the Attorney -in -Fact of Granite Re, Inc. dba Granite Surety*(Surety) and acknowledged to me that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) executed the instrument. *Insurance Company 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. A:vD� oj-" . Notary Public in and 10 sai tate Commission expires: April 21, 2027 etttu a uriii ... q<��os 'p11D FpR 03020 m ex..042jly2[t�g _(SEAL) i .. `�rl t i l l NOTE: A copy of the power -of -attorney to local representatives of the bonding company must be attached hereto. City Hall Renovation Performance Bond City of Redlands Page 45 GRANITE RE, INC. DBA GRANITE SURETY INSURANCE COMPANY GENERAL POWER OF ATTORNEY Know all Men by these Presents: That GRANITE RE, INC. DBA GRANITE SURETY INSURANCE COMPANY, a corporation organized and existing under the laws of the State of MINNESOTA and having its principal office at the City of OKLAHOMA CITY in the State of OKLAHOMA does hereby constitute and appoint: KENNETH D. WHITTINGTON; KYLE MCDONALD its true and lawful Attorney-in-Fact(s) for the following purposes, to wit: To sign its name as surety to, and to execute, seal and acknowledge any and all bonds, and to respectively do and perform any and all acts and things set forth in the resolution of the Board of Directors of the said GRANITE RE, INC. DBA GRANITE SURETY INSURANCE COMPANY a certified copy of which is hereto annexed and made a part of this Power of Attorney; and the said GRANITE RE, INC. DBA GRANITE SURETY INSURANCE COMPANY through us, its Board of Directors, hereby ratifies and confirms all and whatsoever the said: KENNETH D. WHITTINGTON; KYLE MCDONALD may lawfully do in the premises by virtue of these presents. In Witness Whereof, the said GRANITE RE, INC. DBA GRANITE SURETY INSURANCE COMPANY has caused this instrument to be sealed with its corporate seal, duly attested by the signatures of its President and Assistant Secretary, this 31't day of July, 2023. Kenneth D. Whitflrcton, President STATE OF OKLAHOMA ) SS: COUNTY OF OKLAHOMA ) Kyl P. McDonald, Assistant Secretary On this 315t day of July, 2023, before me personally came Kenneth D. Whittington, President of the GRANITE RE, INC. DBA GRANITE SURETY INSURANCE COMPANY and Kyle P. McDonald, Assistant Secretary of said Company, with both of whom I am personally acquainted, who being by me severally duly sworn, said, that they, the said Kenneth D. Whittington and Kyle P. McDonald were respectively the President and the Assistant Secretary of GRANITE RE, INC. DBA GRANITE SURETY INSURANCE COMPANY, the corporation described in and which executed the foregoing Power of Attorney; that they each knew the seal of said corporation; that the seal affixed to said Power of Attorney was such corporate seal, that it was so fixed by order of the Board of Directors of said corporation, and that they signed their name thereto by like order as President and Assistant Secretary, respectively, of the Company. My Commission Expires: April 21, 2027 Commission #: 11003620 GRANITE RE, INC. Certificate Notary Public THE UNDERSIGNED, being the duly elected and acting Assistant Secretary of GRANITE RE, INC. DBA GRANITE SURETY INSURANCE COMPANY, a Minnesota Corporation, HEREBY CERTIFIES that the following resolution is a true and correct excerpt from the July 15, 1987, minutes of the meeting of the Board of Directors of GRANITE RE, INC. DBA GRANITE SURETY INSURANCE COMPANY and that said Power of Attorney has not been revoked and is now in full force and effect. 'RESOLVED, that the President, any Vice President, the Assistant Secretary, and any Assistant Vice President shall each have authority to appoint individuals as attorneys -in -fact or under other appropriate titles with authority to execute on behalf of the company fidelity and surety bonds and other documents of similar character issued by the Company in the course of its business. On any instrument making or evidencing such appointment, the signatures may be affixed by facsimile. On any instrument conferring such authority or on any bond or undertaking of the Company, the seal, or a facsimile thereof, may be impressed or affixed or in any other manner reproduced; provided, however, that the seal shall not be necessary to the validity of any such instrument or undertaking." IN WITNESS WHEREOF, the undersigned has subscribed this Certificate and affixed the corporate seal of the Corporation this December 23 , 2025 . Kyle P!McDonald, Assistant Secretary GR-40 (CA) Ed. 06-24