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CONTRACT 7396 Public Works ContractAgreement No. 7396 05/2025 PUBLIC WORKS AGREEMENT BETWEEN THE CITY OF EL SEGUNDO AND SUPERIOR PAVEMENT MARKINGS, INC ST 25-02 THERMOPLASTIC STRIPING SERVICES [CITY COUNCIL MUST APPROVE CONTRACTS GREATER THAN $60,000] This CONTRACT is entered into this 21st day of JULY 2025 ("Effective Date") by and between the City of El Segundo, a municipal corporation and general law city ("City") and SUPERIOR PAVEMENT MARKINGS, INC. a CALIFORNIA CORPORATION ("Contractor'). 1. WORK. A. The Contractor shall perform all work required by and set forth in the Contract Documents (the "Work") in a good and workmanlike manner for the project identified in the Contract Documents, as attached hereto and incorporated by reference. The Contractor agrees to perform additional work arising from changes ordered by the City in accordance with the Contract Documents. B. The Contractor shall furnish all of the labor; supplies and materials; equipment; printing; vehicles; transportation; office space and facilities; all tests, testing and analyses; and all matters whatsoever (except as otherwise expressly specified to be furnished by the City) needed to perform and complete the Work and provide the services required of the Contractor by the Contract Documents. C. The Contractor and the City agree to abide by the terms and conditions contained in the Contract Documents. "Contract Documents" means this Contract and the following, as applicable: • Notice Inviting Bids; • Instructions to Bidders; • Supplementary Instructions to Bidders; • Bid Proposal and Bid Bond; • Standard Specifications; • Supplementary Conditions; • Exhibits; • Insurance Requirements; • Labor and Material Payment Bond; • Performance Bond • Technical Specifications; • List of Drawings; • Drawings; • Addenda; • Notice to Proceed; • Change Orders; • Notice of Completion. Page 13 Agreement No. 7396 "Contract Documents" also includes all other documents identified in the Contract Documents which together form the contract between the City and the Contractor for the Work. The Contract Documents constitute the complete agreement between the City and the Contractor and supersede any previous agreements or understandings. 2. CONTRACT SUM. In consideration of the services rendered hereunder, the City shall pay the Contractor a sum not to exceed amount of FORTY FIVE THOUSAND ($45,000) for the Work in the manner set forth in the Contract Documents, in accordance with the prices set forth therein. Contractor shall provide City with a monthly invoice for current completed work. The City shall make payments within thirty-five (35) days after receipt of the Contractor's undisputed and properly submitted invoice, including an updated schedule of work. The City shall return to the Contractor any invoice determined not to be a proper payment request as soon as practicable, but not later than seven (7) days after receipt and shall explain in writing the reasons why the payment request is not proper. Contractor shall have seven days from written notice of improper payment request to submit a revised request satisfactory to the City. Payment for a properly revised payment request shall then be paid by the City within a reasonable period thereafter. 3. SECURITIES AND BONDS. Within ten (10) working days of the Effective Date of this Contract, the Contractor shall furnish a labor and material payment bond in an amount equal to one hundred percent (100%) of the Contract Sum, and a faithful performance bond in the amount equal to one hundred percent (100%) of the Contract Sum. Said bonds shall be secured from a surety company admitted and authorized to do business in California as such and satisfactory to the City. Upon filing the Notice of Completion, the Contractor shall be required to maintain a labor and material payment bond for a period of seven (7) months. Additionally, the faithful performance bond amount shall be reduced to an amount equal to fifteen percent (15%) of the Contract Sum and shall remain in effect until the end of all warranty periods set forth in the Contract Documents, or, if no warranty period is specified, for a period of twelve (12) months after filing of the Notice of Completion. (Note: Securities are not required if Contract Sum is less than $25,000.) 4. INSURANCE. A. Before commencing performance under this Agreement, and at all other times this Agreement is effective, Contractor will procure and maintain the following types of insurance with coverage limits complying, at a minimum, with the limits set forth below: Commercial general liability Business automobile liability Page 2 Limits $2,000,000 per occurrence $1,000,000 per occurrence Agreement No. 7396 Workers Compensation Statutory Requirement (only if Contractor has employees) *The city has the option to increase the limits as required for more complex and major waterworks, sanitation, and road pavement projects. B. Commercial general liability ("CGL") insurance must meet or exceed the requirements of ISO-CGL Form No. Form CG 00 01 04 13, or equivalent, covering CGL on an occurrence basis, including property damage, bodily injury and personal & advertising injury with limits no less than $2,000,000 per occurrence. If a general aggregate limit applies, either the general aggregate limit shall apply separately to this project/location (ISO CG 25 03 or 25 04) or the general aggregate limit shall be twice the required occurrence limit. C. For automobiles, the insurance must meet or exceed the requirements of Insurance Services Office Form Number CA 0001 covering Code 1 (any auto), or, if Contractor provides proof of a personal automobile policy, such personal policy must include and indicate business venture coverage with limits no less than $1,000,000 per accident for bodily injury and property damage. If Contractor has no owned autos, Code 8 (hired) and 9 (non - owned), with limits no less than $1,000,000 per accident for bodily injury and property damage must be included in coverage. D, The amount of insurance set forth above will be a combined single limit per occurrence for bodily injury, personal injury, and property damage for the policy coverage. Liability policies will be endorsed to name City, its officials, and employees as "additional insureds" under said insurance coverage and to state that such insurance will be deemed "primary" such that any other insurance that may be carried by City will be excess thereto. City's additional insured status will apply with respect to liability and defense of suits arising out of Contractor's acts or omissions. Such insurance will be on an "occurrence," not a "claims made," basis and will not be cancelable or subject to reduction except upon thirty (30) days prior written notice to City, and the notice must include any necessary endorsement to facilitate such notice to City. E. Required Insurance Endorsement Language: Additional Insured Endorsement with this language: "The City of El Segundo, its elected and appointed officials, employees, and volunteers as additional insureds." Cancellation Endorsement with this language: "The City of El Segundo will receive thirty (30) days written notice in the event of cancellation, nonrenewed or reduction." Page 3 Agreement No. 7396 iii. Primary and Non -Contributory Endorsement with this language: "Coverage is primary and non-contributory such that any other insurance that may be carried by the City will be excess thereto." F, Contractor will furnish to City valid Certificates of Insurance evidencing maintenance of the insurance required under this Agreement, a copy of an Additional Insured endorsement confirming CITY has been given Additional Insured status under the Contractor's General Liability policy, and such other evidence of insurance or copies of policies as may be reasonably required by City from time to time. Insurance must be placed with insurers with a current A.M. Best Company Rating equivalent to at least a Rating of "A:VI I." G. Should Contractor, for any reason, fail to obtain and maintain the insurance required by this Agreement, CITY may obtain such coverage at Contractor's expense and deduct the cost of such insurance from payments due to Contractor under this Agreement or terminate pursuant to Section 7. 5. TIME FOR PERFORMANCE. A. The Contractor will fully complete the Work by JUNE 30,2026 ("Project Completion Date"). The Contract Documents will supersede any conflicting provisions included on the Notice to Proceed issued pursuant to this Contract. B. The Contractor may not perform any Work until: The Contractor furnishes proof of insurance as required by the Contract Documents; and The City gives the Contractor a written, signed, and numbered purchase order and Notice to Proceed. C. By signing this Contract, the Contractor represents to the City that the Project Completion Date is reasonable for completion of the Work and that the Contractor will complete the Work by that date. D. Should the Contractor begin the Work before receiving written authorization to proceed, any such Work is at the Contractor's own cost and risk. 6. DELAYS AND EXTENSIONS OF TIME. A. General. Unless otherwise agreed in writing, an adjustment to the Project Completion Date by reason of a Change Order shall be agreed to at the time the Change Order is issued and accepted by Contractor. B. Extensions of Time. In the event it is deemed appropriate by the City to extend the time for completion of the Work, any such extension shall not Page 4 Agreement No. 7396 release any guarantee for the Work required by the Contract Documents, nor shall any such extension of time relieve or release the Sureties on the Bonds executed. In executing such Bonds, the Sureties shall be deemed to have expressly agreed to any such extensions of time. The amount of time allowed by an extension of time shall be limited to the period of the delay giving rise to the same as determined by the City. Notwithstanding any dispute which may arise in connection with a claim for adjustment of the Project Completion Date, the Contractor shall promptly proceed with the Work. C. Payment for Delays. Notwithstanding any other terms and conditions of the Contract Documents, the City shall have no obligation whatsoever to increase the Contract Sum or extend the time for delays. Unless compensation and/or markup is agreed upon by the City, the Contractor agrees that no payment of compensation of any kind shall be made to the Contractor for damages or increased overhead costs caused by any delays in the progress of the Contract, whether such delays are avoidable or unavoidable or caused by any act or omission of the City or its agents. Any accepted delay claim shall be fully compensated for by an extension of time to complete the performance of the Work. 7. TERM AND TERMINATION. The Contract is effective as of the Effective Date stated in the first paragraph of this Contract and shall remain in full force and effect until the Contractor has fully rendered the services required by the Contract Documents or the Contract has been otherwise terminated by the City. However, some provisions may survive the term of the Contract, as stated in those provisions. City may terminate this Contract at any time, at will, for any reason or no reason, after giving written notice to Contractor at least ten (10) calendar days before the termination is to be effective. If City defaults under this Agreement, and if City has not cured the default within thirty (30) calendar days after Contractor has given City notice of the event of default. Contractor may terminate this Contract for cause after giving written notice to City at least thirty (30) calendar days before the termination is to be effective. Contractor shall cease all work under this Contract on or before the effective date of termination specified in the notice of termination. Contractor shall be paid for services satisfactorily rendered to the last working day this Contract is in effect and Contractor shall deliver all materials, reports, documents, notes or other written materials compiled through the last working day this Contract is in effect. In no event shall Contractor be entitled to receive more than the maximum compensation set forth in this Contract that would be paid to the Contractor for the full performance of the services required by this Contract. Neither party shall have any other claim against the other party by reason of such termination. In the event the City terminates the Contract, Contractor shall be reimbursed for all unavoidable and unmitigable costs resulting from such termination, in addition to the compensation for all work completed up until the effective date of the termination of the Contract. 8. PERMITS AND LICENSES. Before starting any construction work, the Contractor will be required to obtain all necessary permits, licenses or certificates from the City and shall maintain such permits, licenses and certificates required to complete the Work Page 5 Agreement No. 7396 until the Project Completion Date. Contractor shall bear all costs for fees for all agencies except for the City's permit fees. 9. COOPERATION AND COLLATERAL WORK. The Contractor shall be responsible for coordinating all Work with the City's Street sweeping, trash pick-up, and street maintenance contractors, emergency services departments, utility company crews, and others when necessary. Payment for conforming to these requirements shall be included in other items of Work, and no additional payment shall be made thereof. 10. EXTRA WORK. New and unforeseen work will be classified as Extra Work only when the Work is not covered and cannot be paid for under any of the various items or combination of items for which a Bid price appears on the Bid. The Contractor shall not do any Extra Work except upon written order from the City Manager. 11. ASSIGNMENT. Any purported assignment without written consent of the City shall be null, void, and of no effect, and the Contractor shall hold harmless, defend and indemnify the City and its officers, officials, employees, agents and representatives with respect to any claim, demand, or action arising from or relating to any unauthorized assignment. If the city opts to consent to assignment, the City's consent shall be contingent upon: (1) a letter from the Surety agreeing to the assignment and assigning all of the Bonds to the assignee without any reduction, or the assignee supplying all new Bonds in the amounts originally required under the Contract Documents; and (2) the assignee supplying all of the required insurance in the amounts required in the Contract Documents. Until the Surety assigns all of the Bonds or the assignee supplies all of the new Bonds, and until the assignee supplies all of the required insurance, an assignment otherwise consented to in writing by the City shall not be effective. Even if the City consents to assignment, no assignment shall relieve the Contractor from liability under the Contract. 12. INSPECTION. The Contractor shall arrange and pay for all off -site inspection of the Work required by any ordinance or governing authorities. The Contractor shall also arrange and pay for other inspections, including tests in connection therewith, as may be assigned or required. 13. WORKSITE MAINTENANCE. A. General. Clean-up shall be done as Work progresses at the end of each day and thoroughly before weekends. The Contractor shall not allow the Work site to become littered with trash and waste material but shall maintain the same in a neat and orderly condition throughout the construction operation. Materials which need to be disposed shall not be stored at the Work site but shall be removed by the end of each working day. If the job site is not cleaned to the satisfaction of the City Manager, the cleaning will be done or contracted by the City and shall be back -charged to the Contractor and deducted from the Contract Sum. Page 6 Agreement No. 7396 The Contractor shall promptly remove from the vicinity of the completed Work, all rubbish, debris, unused materials, concrete forms, construction equipment, and temporary structures and facilities used during construction. Final acceptance of the Work by the City will be withheld until the Contractor has satisfactorily complied with the foregoing requirements for final clean-up of the Work site. B. Storage of Equipment and Materials. The Contractor shall make arrangements for storing its equipment and materials. The Contractor shall make its own arrangements for any necessary off -site storage or shop areas necessary for the proper execution of the Work. Approved areas within Work site may be used for temporary storage; however, the Contractor shall be responsible for obtaining any necessary permits from the City. Construction materials and equipment shall not be stored in streets, roads, or highways unless otherwise approved by the City Manager. C. All costs associated with the clean-up and storage required to complete the Work shall be the sole responsibility of the Contractor. 14. WARRANTY. For purposes of the calculation of the start of the warranty period, the Work shall be deemed completed upon the date of the Notice of Completion. If that direction is contingent on the completion of any items remaining on a punch list, the Work shall be deemed to be completed upon the date of the City Manager's acceptance of the final item(s) on the punch list. The Contractor shall repair or replace defective materials and workmanship at its own expense. Additionally, the Contractor agrees to defend, indemnify, and hold harmless the City from claims or any kind arising from damage, injury, or death due to such defects. The parties agree that no certificates given shall be conclusive evidence of the faithful performance of the Contract, either in whole or in part, and that no payment shall be construed to be in acceptance of any defective Work or improper materials. Further, the certificate or final payment shall not terminate the Contractor's obligations under the warranty herein. 15. CONTRACTOR'S RESPONSIBILITY FOR WORK. Until the final acceptance of the Work by the City, the Contractor shall have the charge and care thereof and shall bear the risk of injury or damage to any part of the Work by the action of the elements, criminal acts, or any other cause. The Contractor shall rebuild, repair, restore and make good all injuries or damages to any portion of the Work occasioned by any cause before its completion and acceptance and shall bear the expense thereof, except for such injuries or damages arising from the sole negligence or willful misconduct of the City, its officers, agents or employees. In the case of suspension of Work from any cause whatsoever, the Contractor shall be responsible for all materials and the protection of Work already completed, shall properly store and protect them if necessary, and shall provide suitable drainage and erect temporary structures where necessary. The Contractor is prohibited from performing work with a subcontractor who is debarred pursuant to Labor Code §§ 1777.1 or 1777.7. 16. DISPUTES. Disputes arising from this contract will be determined in accordance with the Contract Documents and Public Contracts Code §§ 10240-10240.13. Page 7 Agreement No. 7396 17. THIRD PARTY CLAIMS. in accordance with Public Contracts Code § 9201, the City will promptly inform the Contractor regarding third -party claims against the Contractor, but in no event later than 10 business days after the City receives such claims. Such notification will be in writing and forwarded in accordance with the "Notice" section of the Contract Documents. As more specifically detailed in the Contract Documents, the Contractor agrees to indemnify and defend the City against any third- party claim. 18. TAXPAYER IDENTIFICATION NUMBER. The Contractor will provide the City with a Taxpayer Identification Number. 19. OWNERSHIP OF DOCUMENTS. All documents, data, studies, drawings, maps, models, photographs and reports prepared by the Contractor under the Contract Documents are the City's property. The Contractor may retain copies of said documents and materials as desired, but will deliver all original materials to the City upon the City's written notice. 20. INDEMNIFICATION. To the maximum extent permitted by law, the Contractor hereby agrees at its sole cost and expense, to defend, protect, indemnify, and hold harmless the City, its elected and appointed officials, officers, employees, volunteers, attorneys, agents (including those City agents serving as independent contractors in the role of City representative), successors, and assignees (collectively "Indemnitees") from and against any and all claims (including, without limitation, claims for bodily injury, death or damage to property), demands, charges, obligations, damages, causes of action, proceedings, suits, losses, stop payment notices, judgments, fines, liens, penalties, liabilities, costs and expenses of every kind and nature whatsoever, in any manner arising out of, incident to, related to, in connection with or resulting from any act, failure to act, error or omission of the Contractor or any of its officers, agents, attorneys, employees, subcontractors, material supplies or any of their officers, agents or employees and/or arising out of, incident to, related to, in connection with or resulting from any term, provision, image, plan, covenant, or condition in the Contract Documents, including, without limitation, the payment of all consequential damages, attorneys' fees, experts' fees, and other related costs and expenses (individually a "Claim", or collectively, "Claims"). The Contractor shall promptly pay and satisfy any judgment, award or decree that may be rendered against any of the Indemnitees as to any such Claim. The Contractor shall reimburse Indemnitees for any and all legal expenses and costs incurred by each of them in connection therewith or in enforcing the indemnity herein provided. The Contractor's obligation to indemnify shall not be restricted to insurance proceeds, if any, received by the Contractor or Indemnitees. This indemnity shall apply to all claims regardless of whether any insurance policies are applicable or whether the Claim was caused in part or contributed to by an Indemnitee. Nonwaiver of Rights. Indemnitees do not and shall not waive any rights that they may possess against the Contractor because the acceptance by the City or the deposit with the city of any insurance policy or certificate required pursuant to these Contract Documents. This indemnity provision is effective regardless of any prior, concurrent, or subsequent active or passive negligence by Indemnitees and shall operate to fully Page 8 Agreement No. 7396 indemnify Indemnitees against any such negligence. Waiver of Right of Subrogation. The Contractor, on behalf of itself and all parties claiming under or through it, hereby waives all rights of subrogation and contribution against the Indemnitees, while acting within the scope of their duties, from all Claims arising out of or incident to the activities or operations performed by or on behalf of the Contractor regardless of any prior, concurrent or subsequent active or passive negligence by Indemnitees. Survival. The provisions of this Section 20 shall survive the term and termination of the Contract, are intended to be as broad and inclusive as is permitted by the law of the State, and are in addition to any other rights or remedies that Indemnitees may have under the law. Payment is not required as a condition precedent to an Indemnitee's right to recover under this indemnity provision, and an entry of judgment against the Contractor shall be conclusive in favor of the Indemnitee's right to recover under this indemnity provision. 21. NONDISCRIMINATORY EMPLOYMENT. The Contractor shall not unlawfully discriminate against any individual based on race, religion, creed, color, national origin, ancestry, physical disability, mental disability, medical condition, genetic information, marital status, sex, gender identity, gender expression, age, sexual orientation, or military and veteran status. The Contractor understands and agrees that it is bound by and will comply with the nondiscrimination mandates of all statutes and local ordinances and regulations. 22. PREVAILING WAGES. In accordance with Labor Code § 1770 et seq., the Project is a "public work" to which prevailing wages apply. The Contractor and any Subcontractors shall pay wages in accordance with the determination of the Director of the Department of Industrial Relations ("DIR") regarding the prevailing wage rate of per diem wages. The Contractor shall post a copy of the DIR's determination of the prevailing rate of per diem wages at each job site. The project is subject to compliance monitoring and enforcement by the DIR. 23. INDEPENDENT CONTRACTOR. The City and the Contractor agree that the Contractor will act as an independent contractor and will have control of all work and the manner in which it is performed. The Contractor will be free to contract for similar service to be performed for other employers while under contract with the City. The Contractor is not an agent or employee of the City and is not entitled to participate in any pension plan, insurance, bonus or similar benefits the City provides for its employees. Any provision in this Contract that may appear to give the City the right to direct the Contractor as to the details of doing the work or to exercise a measure of control over the work means that the Contractor will follow the direction of the City as to end results of the work only. 24. CONFLICTS OF INTEREST. Contractor and its employees, associates and subcontractors, if any, shall comply with all California conflict of interest statutes applicable to Contractor's Work under this Contract, including, but not limited to the Political Reform Act (Gov. Code § 81000 et seq.) and Government Code § 1090. Page 9 Agreement No. 7396 25. AUDIT OF RECORDS. The Contractor will maintain full and accurate records with respect to all services and matters covered under this Contract. The City will have free access at all reasonable times to such records, and the right to examine and audit the same and to make transcript therefrom, and to inspect all program data, documents, proceedings and activities. The Contractor will retain such financial and program service records for at least three years after termination or final payment under the Contract Documents. 26. NON -WAIVER OF TERMS, RIGHTS AND REMEDIES. Waiver by either party of any one or more of the conditions of performance under the Contract Documents shall not be a waiver of any other condition of performance under the Contract Documents. In no event shall the making by the City of any payment to the Contractor constitute or be construed as a waiver by the City of any breach of covenant, or any default that may then exist on the part of the Contractor, and the making of any such payment by the City shall in no way impair or prejudice any right or remedy available to the City with regard to such breach or default. 27. NOTICES. All communications to either party by the other party will be deemed made when received by such party at its respective name and address as follows: To Contractor: To City: Attention: Superior Pavement Markings, LLC Attention: James Quaintance City Of El Segundo 5312 Cypress Street 350 MAIN STREET Cypress, Ca 90630 EL SEGUNDO,CA 90245 Attention: Daniel Nunez Email: " uai'ntance eise und.or Email: contrac s su erior avementmarkin s.com Phone: (310) 524-2899 Phone: (714) 995-9100 Any such written communications by mail will be conclusively deemed to have been received by the addressee upon deposit thereof in the United States Mail, postage prepaid and properly addressed as noted above. In all other instances, notices will be deemed given at the time of actual delivery. Changes may be made in the names or addresses of persons to whom notices are to be given by giving notice in the manner prescribed in this paragraph. 28. NO THIRD PARTY BENEFICIARY. This Contract and every provision herein is for the exclusive benefit of the Contractor and the City and not for the benefit of any other party. There will be no incidental or other beneficiaries of any of the Contractor's or the City's obligations under this Contract. 29. INTERPRETATION. This Contract was drafted in, and will be construed in accordance with the laws of the State of California, and exclusive venue for any action involving this Page 10 Agreement No. 7396 Contract will be in Los Angeles County. 30. EFFECT OF CONFLICT. In the event of any conflict, inconsistency, or incongruity between any provision of the Contract Documents, precedence will be as determined in the Standard Specifications. 31. SEVERABILITY. If any portion of the Contract Documents are declared by a court of competent jurisdiction to be invalid or unenforceable, then such portion will be deemed modified to the extent necessary in the opinion of the court to render such portion enforceable and, as so modified, such portion and the balance of this Contract will continue in full force and effect. 32. AUTHORITY/MODIFICATION. The Parties represent and warrant that all necessary action has been taken by the Parties to authorize the undersigned to execute this Contract and to engage in the actions described herein. This Contract may be modified by written amendment. The City's city manager, or designee, may execute any such amendment on the City's behalf. 33. ENTIRE AGREEMENT. This Contract, including the Contract Documents and any other documents incorporated herein by specific reference, represents the entire and integrated agreement between City and Contractor. This Contract supersedes all prior oral or written negotiations, representations or agreements. This Contract may not be modified or amended, not any provisions or breach waived, except in a writing signed by both parties that expressly refers to this Contract. 34. ELECTRONIC SIGNATURES; SIGNATURE AUTHORITY. This Contract may be executed by the Parties on any number of separate counterparts, and all such counterparts so executed constitute one agreement binding on all the Parties notwithstanding that all the Parties are not signatories to the same counterpart. In accordance with Government Code §16.5, the Parties agree that this Contract, agreements ancillary to this Contract, and related documents to be entered into in connection with this Contract will be considered signed when the signature of a party is delivered by electronic transmission. Such electronic signature will be treated in all respects as having the same effect as an original signature. Contractor warrants that its signatory (or signatories, as applicable) to this Agreement has the legal authority to enter this Agreement and bind Contractor accordingly. 35. COVENANTS AND CONDITIONS. The parties agree that all of the provisions hereof will be construed as both covenants and conditions, the same as if the words importing such covenants and conditions had been used in each separate paragraph. 36. CAPTIONS. The captions of the paragraphs of this Contract are for convenience of reference only and will not affect the interpretation of this Contract. 37. TIME IS OF ESSENCE. Time is of the essence for each and every provision of the Page 11 Agreement No. 7396 Contract Documents. [Signatures on following page.] Page 12 Agreement No. 7396 0512025 IN WITNESS WHEREOF the parties hereto have executed this Contract the day and year first hereinabove written. CITY OF EL SEGUNDO SUPERIOR PAVEMENT MARKINGS, INC w � 0arreil George, Name: Darren Veltz City Manager Title: Chief Financial Officer ATTEST: Susan Truax, City Clerk APPROVED AS TO FORM: MARK D. HENSLEY, City Attorney M By: David King, Assista t C Attorney Taxpayer ID No. 20-4518251 Contractor State License No. VK401Z-1 Contractor City Business License No. 41262 Page 13 Exhibit A Agreement No. 7396 RATE SHEET This work is subject to prevailing wage. The hourly wages paid to laborers, workers, or mechanics shall not be less than the DIR prevailing wage rates for an hour's work in the same trade or occupation in Los Angeles County. Prevailing wage rates are available online at hu A. LABOR ITEM DESCRIPTION UNIT HOURLY NO. RATE 1 Foreman/Superintendent Hour $ 115.85 2 Painter/Striper Hour $ 79.95 Night Work Premium Hour 3 (Additional $ 200.00 Rate B. EQUIPMENT C. SE ITEM DESCRIPTION UNIT HOURLY NO. RATE 4 Paint Striper (Walk -Behind) Hour $ 25.00 Truck -Mounted Paint Striping 5 Machine Hour $ 62.00 6 Thermoplastic Heating Equipment Hour $ 74.00 7 Grinder/Line Remover Hour $ 140.00 8 Service Vehicle (utility body pickup) Hour $ 56.00 RVICES ITEM DESCRIPTION UNIT UNIT NO. PRICE New Thermoplastic Lines/Paint 9 Detail 1 LF $ 0.85 10 Detail 2 LF $ 0.90 11 Detail 5 LF $ 0.85 12 Detail 6 LF $ 0.90 13 Detail 8 LF J$0.85 14 Detail 9 LF $ 0.90 15 Detail 9A LF $ 0.90 16 Detail 11 LF $ 0.85 17 Detail 12 LF $ 0.90 350 Main Street, El Segundo, CA 90245-3813 (310) 524-2300 350 Main Street, El Segundo, CA 90245-3813 (310) 524-2300 Agreement No. 7396 ITEM NO. DESCRIPTION UNIT UNIT PRICE New Thermoplastic Lines/Paint 18 19 20 Detail 12A Detail 15 Detail 16 LF LF LF $ 0.90 $ 1.88 $ 1.88 21 Detail 18 LF $ 1.88 22 23 Detail 19 Detail 21 LF LF $ 1.88 $ 2.35 24 Detail 22 LF $ 2.55 25 26 Detail24 Detail25 LF LF $ 1.40 $ 1.58 27 Detail25A LF $ 1.68 28 Detail 26 LF $ 0.60 29 Detail 27 LF $ 2.55 30 Detail 27B LF 1 $ 1.40 31 Detail 27C LF $ 1.10 32 33 Detail 28 Detail 29 LF LF $ 5.05 $ 5.40 34 Detail 31 LF $ 4.70 35 Detail 32 LF I $ 4.92 36 Detail 34 LF $ 1.88 37 Detail 34A LF $ 1.88 38 Detail 35 LF $ 1.88 39 Detail 36 LF $ 3.74 40 Detail 36A LF $ 3.74 41 Detail 36B LF $ 3.15 42 Detail 37 LF $ 3.15 43 Detail 37B LF $ 3.15 44 Detail 38 LF $ 3.74 45 Detail 38A LF 46 Detail 38B LF $ 3.74 47 Detail 39 LF $ 1.40 48 Detail39A LF $ 1.40 50 51 Detail40 Detail 41 LF LF $ 1.15 $ 1.35 52 112" White LF 1$3.65 53 12" Yellow LF $ 3.65 54 8" White LF $ 3.00 55 8" Yellow LF $ 3.00 56 4" White LF $ 2.20 57 4" Yellow LF $ 2.20 58 Yield Line LF $ 25.00 59 6" White LF $ 1.40 60 T e I 10' Arrow EA $ 105.00 350 Main Street, El Segundo, CA 90245-3813 (310) 524-2300 Agreement No. 7396 ITEM NO. DESCRIPTION UNIT UNIT PRICE New Thermoplastic Lines/Paint 62 Type I 18' Arrow EA $ 135.00 63 64 Type 124' Arrow Type II(1) Arrow _ EA EA $ 145.00 $ 240.00 65 Type II B Arrow EA $ 270.00 66 T e III L) Arrow EA $ 240.00 67 Type III B) Arrow EA $ 310.00 68 Type IV Arrow EA $ 105.00 69 TvDe V Arrow EA $ 180.00 70 T e VI Arrow EA $ 210.00 71 T e VII Arrow EA $ 178.00 72 Type VIII Arrow EA $ 310.00 73 Railroad Crossing Symbol EA $ 325.00 74 Bike Lane Symbol without Person EA $ 145.00 75 Bike Lane Symbol with Person EA $ 168.00 76 International Symbol of Accessibility ISA Markin EA $ 415.00 77 Diamond Symbol EA $ 110.00 78 Bicycle Loop Detector Symbol EA $ 145.00 79 80 Shared Roadwa Bic cle Markin Pavement Marking Words EA SF $ 168.00 $ 9.80 81 Pavement Marking Numbers SF $ 9.80 82 Ladder Crosswalk SF I $ 3.65 83 Diagonal Crosswalk SF j $ 3.65 84 Continental Yellow Crosswalk SF j $ 3.65 85 Ladder Yellow Crosswalk SF $ 3.65 86 87 Diagonal Yellow Crosswalk Green Bike Land Back round SF SF $ 3.65 $ 18.88 Stripin Removal by grindinR 88 Removal of Striping, Markers and Reflectors SF Curb Painting 89 New Curb Painting - red, white, blue, green or yellow LF $ 2.70 90 Repainting of Curb — red, white, blue, reen or ellow LF $ 1.87 350 Main Street, El Segundo, CA 90245-3813 (310) 524-2300 Agreement No. 7396 COST SCHEDULE ITEM DESCRIPTION The prices proposed for each item listed on the Cost Schedule above will be used for a comparative analysis of the proposals. The descriptions set forth below of each of the items are not intended to be exclusive descriptions of work categories and the Contractor shall determine and include in its pricing all materials, labor, and equipment necessary to complete each item as shown and specified. Payment of the items within the Cost Schedule shall be made within a year when the work is to be completed. The following is a description of each item. ITEMS I TO 3 — LABOR The unit prices for items 1 to 3 shall include the Proposer's hourly cost for providing a Foreman/Superintendent, Painter/Striper, and additional Night Work Premium. These rates must adhere to the provisions of the California Labor Code, Sections 1779 et. Seq., and include all necessary personnel costs, such as wages, travel, and fringe benefits, excluding overhead and profit. The total payment to the Contractor will be the unit price multiplied by the actual hours worked by the specified personnel. If a dual role is performed (e.g., Foreman/Painter), the higher -cost role will apply. Any overtime will be compensated at the standard rate multiplier. ITEMS 4 TO 8 — EQUIPMENT The unit prices for items 4 to 8 shall include the Proposer's hourly cost for essential equipment, including a Walk -Behind Paint Striper, Truck -Mounted Paint Striping Machine, Thermoplastic Heating Equipment, Grinder/Line Remover, and Service Vehicle (utility body pickup). Each rate includes all expenses related to obtaining and operating the equipment required for work. The Contractor's compensation will be based on the unit price multiplied by the time each equipment item is actively used in the field. ITEMS 9 TO 90 — SERVICES The unit prices for items 9 to 90 encompass the costs for different Thermoplastic Paint Services as listed. These rates cover all materials necessary for applying and maintaining street markings. Payments to the Contractor will be based on the material quantities (linear foot, square foot, or per type) used during the project. 350 Main Street, El Segundo, CA 90245-3813 (310) 524-2300 Agreement No. 7396 LABOR AND MATERIALS BOND ON -CALL STRIPING SERVICES PROJECT NO.: ST 25-02 Bond No. 800188233 Bond Fee: See attached Performance Bond Superior Pavement Markings, Inc. 1 as principal ("PRINCIPAL") and Atlantic Specialty Insurance Company a corporation incorporated under the laws of the State of New York and licensed by the State of California to execute bonds and undertakings as sole surety, as surety ("SURETY"), are held and firmly bound unto the CITY OF EL SEGUNDO ("CITY") in the sum of Forty Five Thousand Dollars ($45,000.00) lawful money of the United States, which may be increased or decreased by a rider hereto executed in the same manner as this bond, for the payment of which sum PRINCIPAL and SURETY bind themselves, their successors, and assigns, jointly and severally, by this instrument. This bond is conditioned upon and guarantees payment by PRINCIPAL to contractors, subcontractors, and persons renting equipment; payment by PRINCIPAL and all PRINCIPAL'S subcontractors for all materials, provisions, provender, or other supplies, and equipment used in, upon, for or about the performance of the work contemplated in ON -CALL STRIIPING SERVICES, SPECIFICATIONS NO. ST 25-02 ("Public Project"), the public works contract executed for such Public Project, and for all work or labor of any kind performed for the Public Project. In the case of any default in the performance of the conditions and stipulations of this undertaking, it is agreed that PRINCIPAL or SURETY will apply the bond or any portion thereof,, to the satisfaction of any damages, reclamation, assessments, penalties, or deficiencies arising by reason of such default. BOND CONDITIONS 1. PRINCIPAL will construct the public improvements identified in SPECIFICATIONS NO. ST 25-02, and the public works contract executed for such Specifications, copies of which is on file with CITY's Engineering Division ("Public Project"). Such performance will be in accordance with CITY's plans and profiles (CITY DRAWING FILE NO. ST 25-02), which are made a part of this bond when said plans and profiles are approved by the City Council and filed with CITY's Engineering Division. 2. PRINCIPAL will pay all contractors, subcontractors, and persons renting equipment. 3. PRINCIPAL will pay for all materials and other supplies, for equipment used in, on, for or about the performance of the Public Project, and will pay for all work and labor I-F-1 Agreement No. 7396 thereon. 4. This bond is conditioned upon and guarantees due compliance with all applicable law including, without limitation, the El Segundo Municipal Code ("ESMC"). 5. SURETY, for value received, agrees that no changes, extensions of time, alteration or modification of SPECIFICATIONS NO. ST 25-02, or of the obligation to be performed will in any way affect its obligation on this bond, and it waives notice of any such change, extension of time, alteration or modification of the contract documents or of the obligation to be performed. 6. This bond consists of this instrument; the plans and specifications identified above; and the following TWO (2) attached exhibits all of which are incorporated herein by reference: A. A certified copy of the appointment, power of attorney, bylaws or other instrument entitling or authorizing the persons executing this bond to do so and B. A certificate issued by the county clerk for the county in which SURETY's representative is located conforming with California Code of Civil Procedure § 995.640 and stating that SURETY's certificate of authority has not been surrendered, revoked, cancelled, annulled, or suspended, or in the event that it has, that renewed authority has been granted. 7. Should PRINCIPAL perform its obligations within the time allowed, PR.INCIPAL's obligation will be void upon the acceptance of the performance by CITY; otherwise this obligation will remain in full force and effect. [SIGNATURES ON FOLLOWING PAGE] I-F-2 Agreement No. 7396 SIGNED AND SEALED this 24th day of July PRINCIPAL's PRESIDENT PRINCIPAL's SECRETARY PRINCIPAL's MAILING ADDRESS: 5312 Cypress St, Cypress, CA 90630 20 25 . KID Wapato, Attorney -in -Fact y� 's P ESIDEN`I' Randi Tepper, Account Manager '�'''sl CRETAR SLWTY's MAILING ADDRESS: 605 Highway 169 North, Suite 800, Plymouth, MN 55441 NOTE: (1) ALL signatures must be acknowledged by a notary public. Return one (1) original to City Clerk's Office. (2) Bond shall be effective for one (1) year after acceptance of the job I-F-3 Agreement No. 7396 i 0 Itact INSURANCE KNOW ALL MIEN BY THESE PRESENTS, that ATLANTIC SPECIALTY INSURANCE COMPANY, a New York corporation with its principal office in Plymouth, Minnesota, does hereby constitute and appoint: B. Ateman, Charles R.Ireter, U1, Chase Seyfordi, D. Garcia, Edward C. Spector, Erin Brown, Ethan Spector, Jaren A Marx, Jennifer OcIv% KD Wapato, Marina "Tapia, MB Neely, Rachel A Mullen, Sandra Corona, Saraft Campbell, Simone Gerhard, each individually if there be more than one named, its true and lawful Attomey-in-Fact, to make, execute, seal and deliver, for and on its behalf as surety, any and all bonds, recognizances, contracts of indemnity, and all other writings obligatory in the nature thereof; provided that no bond or undertaking executed under this authority shall exceed in amount the sum of: unlimited and the execution of such bonds, recognizances, contracts of Indemnity, and all other writings obligatory in the nature thereof in pursuance of these presents, shall be as binding upon said Company as if they had been fully signed by all authorized officer of the Company and scaled with the Company sea], This Power of Attorney is made and executed by authority of the following resolutions adopted by the Board of Directors of ATLANTIC SPECIALTY INSURANCE COMPANY on the twenty-fifth day of September, 2012: Resolved: That the President, any Senior Vice President or Vice -President (each an "Authorized Officer") may execute for and in behalf of the Company any and all bonds, recognizances, contracts of indemnity, and all other writings obligatory in the nature thereof, and affix the seal of the Company thereto; and, that the Authorised Officer may appoint and authorize an AuorneyAn-Fact In execute an behalf of the Company anyand all such instruments and to affix the Company seat thereto; and that the Authorized Officer may any time remove any such Attorney-in-17acl and revoke all power and authority given to any such Altarney-in- Fact. Resolved: That the Attorney -in -Fact may be given hill power and authority to execute for and in The name and on behalf of the Company any and all bonds, recognizances, contracts of indemnity, and all other writings obligatory in the nature thereof, and any such instrument executed by any such Attorney -in -,Fact shall be as binding upon the Company as if signed and sealed by an Authorized Officer and, hardier, the Auorney-in-Far:L is hereby authorized to verify ally affidavit required to be attached to bonds, recognizances, contracts of indemnity, and all other writings obligatory in the nature thereof. This Power of attorney is '.signed and sealed by facsimile tinder the authority of the following Resolution adopted by the Board of Directors of ATLANTIC SPECIALTY INSURANCE COMPANY on the twenty-f ifth day of September, 2012: Resolved: That the signature of ail Authorized Officer, the signature of the Secretary or the Assistant Secretary, and the Company sea] may be affixed by facsimile to any power of attorney or to any cerfificale relating therein appointing air Attorney -in -Fact for purposes only of executing and sealing any bond, undertaking, recognizance or other written obligation in the nature thereof, and any such signature and sea) where so used, being hereby adopted by the Company as the original signature of such officer and the original seal of die Company, to be valid and binding upon, the Company with the same force and effect as though manually affixed. IN WITNESS WHEREOF, ATLANTIC SPECIALTY INSURANCE COMPANY has caused these presents to be signed by an Authorized Officer and the seal of the Company to be affixed this first day of January, 2023. e A SEAL iri 1986 n J By STATE OF MINNESOTA a 'b" Sarah A. Kolar, Vice President and General Counsel HENNEPIN COUNTY On this first day of January, 2023, before me personally came Sarah A. Kolar, Vice President and General Counsel of ATLANTIC" SPECIALTY INSURANCE COMPANY„ to me personally known to be the individual and officer dew.ribed in and who executed the preceding instrument, and she, acknowledged the execution of the same, and being by me duly sworn, that she is the said officer of the Company aforesaid, and that the seal affixed to the preceding instrument is the seal of said Company and that the said seat and the signature as such officer was duly affixed and subscribed to the said instrument by the authority and at the direction of the Company. ALISON D. NASH-TROUT T + NOTARY PUBLIC - MINNESOTA] Mw.y Commission Expires 1 . 0 0 NotaryPublic January 31, 20370 1, the undersigned, Secretary of ATLANTIC SPECIALTY INSURANCE COMPANY, a New York Corporation, do hereby certify that the foregoing power of attorney is in full force and has not been revoked, and the resolutions set forth above are now in force. Signed and sealed. Dated 24th day of MY 2025 SEAL ro i 98r) o. This Power of Attorney expires i 11w y00 64$ January 31, 2030 Kara L.B. Barrow, Secretary Please direct bond verifications to surv[�,(d Lintac, Agreement No. 7396 CALIFORNIA ALL-PURPOSE ACKNOWLEDGMENT CIVIL CODE § 1189 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 August 4th. 2025 before me, Date personally appeared Darren Veltz Lorena B. Berumen-Notary Public Here Insert Name and Title of the Officer Name(s) of Signer(s) 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(ids), 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. Notary kbfic - California a"r Orange County Commission 4 2380838 /gay Corm, Expires Oct M 2025 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 official seal. Signature Signature of Notary Public Place Notary Seal Above OPTIONAL Though this section is optional, completing this information can deter alteration of the document or fraudulent reattachment of this form to an unintended document. Description of Attached Document Title or Type of Document: Labor and Material Bond Document Date: Number of Pages: Signer(s) Other Than Named Above: Capacity(ies) Claimed by Signer(s) Signer's Name: ❑ Corporate Officer — Title(s): ❑ Partner — ❑ Limited ❑ General ❑ Individual ❑ Attorney in Fact ❑ Trustee ❑ Guardian or Conservator n Other - Signer Is Representing: Signer's Name: ❑ Corporate Officer — Title(s): ❑ Partner — ❑ Limited ❑ General ❑ Individual ❑ Attorney in Fact ❑ Trustee ❑ Guardian or Conservator n Other: Signer Is Representing: ©2015 National Notary Association • www.NationalNotary.org • 1-800-US NOTARY (1-800-876-6827) Item #5907 STATE OF CALIFORNIA Agr ent,NQ r7396 DEPARTMENT of INSURANCE u o "J. SAN FRANCISCO Certificate enot Authority THIS IS TO CERTIFY THAT, Pursuant to the Insurance Code of the State of California, Atlantic Specialty Insurance Company New York , organized under the Of laws of New York , subject to its Articles of Incorporation or other fundamental organizational documents, is hereby authorized to transact within the State, subject to all provisions of this Certificate, the following classes of insurance. - Fire, Marine, Surety, Disability, Plate Glass, Liability, Workers' Compensation, Common Carrier Liability, Boiler and Machinery, Burglary, Credit, Sprinkler, Team and Vehicle, Automobile, and Miscellaneous as such classes are now or may hereafter be defined in the Insurance Laws of the State of California. THIS CERTIFICATE is expressly conditioned upon the holder hereof now and hereafter being in full compliance with all, and not in violation of any, of the applicable laws and lawful requirements made tinder authority of the laws of the State of California as long as such laws or requirements are in effect and applicable, and as such laws and requirements now are, or may hereafter be changed or amended. IN WITNESS WHEREOF, effective as of the 16th day of Se' tember 2011 , I have hereunto set my hand and caused my official seal to be affixed this Se tember _-----+ 2011 16th day of �P Dave Jones Insurance Commissioner By Valerie J. Sar aty for 'Nettie Hoge )&*Mot Chief Deputy NOTICE. Qualification with the Secra;tarY of Stec rrnntrst be accomplished as required by Rite California Corporations Ca�alean d dilly after issuance of this Certificate of Authority.. Failure to do so will be a violation tat insurance Code Section ttb'Y and will he grounds for revoking this Certirteate of Authority pursuant to the convenants made in the application therefor and the conditions contained hereirn.. in OSP 00 39391 MUM[7J m Agreement No. 7396 FAITHFUL PERFORMANCE BOND ON -CALL STRIPING SERVICES PROJECT NO: ST 25-02 Bond No. 800188233 Bond Fee: $405.00 Su prior Pavernent Markin Is, Inc. ("PRINCIPAL") and Atlantic S edalty Insurance Company , a corporation incorporated under the laws of the State of New York and licensed by the State of California to execute bonds and undertakings as sole surety, as surety ("SURETY"), are held and firmly bound unto the CITY OF EL SEGUNDO ("CITY") in the sum of Forty Five Thousand ($45,000) lawful money of the United States, which may be increased or decreased by a rider hereto executed in the same manner as this bond, for the payment of which sum PRINCIPAL and SURETY bind themselves, their successors, and assigns, jointly and severally, by this instrument. PRINCIPAL or SURETY will apply this bond for the faithful performance of any and all of the conditions and stipulations set forth in this bond, SPECIFICATIONS NO. ST 25-02, and the public works contract executed with such Specifications. In the case of any default in the performance of the conditions and stipulations of this undertaking, it is agreed that PRINCIPAL or SURETY will apply the bond or any portion thereof, to the satisfaction of any damages, reclamation, assessments, penalties, or deficiencies arising by reason of such default. BOND CONDITIONS 1. PRINCIPAL will construct the public improvements identified in SPECIFICATIONS NO. ST 25-02, a copy of which is on file with CITY's Engineering Division ("Public Project"). Such performance will be in accordance with CITY's plans and profiles (CITY DRAWING FILE NO. ST 25-02) which are made a part of this bond when said plans and profiles are approved by the City Council and filed with CITY's Engineering Division. CITY has estimated the required amount of the bond as shown above. 2. PRINCIPAL's work on the Public Project will be done in accordance with CITY's plans and specifications and with any permit issued by CITY. Should PRINCIPAL fail to complete all required work within the time allowed, CITY may, at its sole discretion, cause all required work to be done and the parties executing the bond will be firmly bound for the payment of all necessary costs therefor. 3. PRINCIPAL will guarantee its work against any defective work, labor, or materials on the Public Project for a period of one (1) year following the Public Project's completion and acceptance by CITY. I-E-1 Agreement No. 7396 4. This bond is conditioned upon and guarantees due compliance with all applicable law including, without limitation, the El Segundo Municipal Code ("ESMC"). 5. SURETY, for value received, agrees that no changes, extensions of time, alteration or modification of SPECIFICATIONS NO. ST 25-02 or of the obligation to be performed will in any way affect its obligation on this bond, and it waives notice of any such change, extension of time, alteration or modification of the contract documents or of the obligation to be performed. 6. This bond consists of this instrument; the plans and specifications identified above; and the following two (2) attached exhibits all of which are incorporated herein by reference: A. A certified copy of the appointment, power of attorney, bylaws or other instrument entitling or authorizing the persons executing this bond to do so; B. A certificate issued by the county clerk for the county in which SURETY's representative is located conforming with California Code of Civil Procedure § 995.640 and stating that SURETY's certificate of authority has not been surrendered, revoked, cancelled, annulled, or suspended, or in the event that it has, that renewed authority has been granted; and 7. Should PRINCIPAL perform its obligations within the time allowed, PRINCIPAL's obligation will be void upon the acceptance of the performance by CITY; otherwise this obligation will remain in full force and effect. [SIGNATURES ON FOLLOWING PAGE] I-E-2 Agreement No. 7396 SIGNED AND SEALED this 24th day of July 20 25 Atlantic Specialty Insurance Company g'D Wa ato PRINCIPAL's PRESIDENT PRINCIPAL's SECRETARY PRINCIPAL's MAILING ADDRESS: 5312 Cypress St, Cypress, CA 90245 er�c�unt Manager SUYs�SRU�E�TARV SURETY's MAILING ADDRESS: Rn5 Hinhwav 169 North. Suite 800. Plvmouth. MN 55441 NOTE, (1) ALL signatures must be acknowledged by a notary public. Return one (1) original to City Clerk's Office. (2) Bond shall be effective for one (1) year after acceptance of the job. I-E-3 Agreement No. 7396 CALIFORNIA ALL-PURPOSE ACKNOWLEDGMENT CIVIL CODE § 1189 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 August 4th 2025 before me, Date personally appeared Darren Veltz Lorena B. Berumen-Notary Public Here Insert Name and Title of the Officer Name(s) of Signer(s) 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. . f - LORENA B. BERUMEN Notary Dubdc . CalHornia Z Orange County Commission 4 23�2025 tiny Comm. Expires Oc 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 a fficial seal. Signature Signature of Notary Public Place Notary Seal Above OPTIONAL Though this section is optional, completing this information can deter alteration of the document or fraudulent reattachment of this form to an unintended document. Description of Attached Document Title or Type of Document: Document Date: Signer(s) Other Than Named Above: Faithful Performance Bond Capacity(ies) Claimed by Signer(s) Signer's Name: ❑ Corporate Officer — Title(s): ❑ Partner — ❑ Limited ❑ General ❑ Individual ❑ Attorney in Fact ❑ Trustee ❑ Guardian or Conservator ❑ Other: Signer Is Representing: Number of Pages: Signer's Name: ❑ Corporate Officer — Title(s): ❑ Partner — ❑ Limited ❑ General ❑ Individual ❑ Attorney in Fact ❑ Trustee ❑ Guardian or Conservator ❑ Other: Signer Is Representing:. 02015 National Notary Association • www.Nationa[Notary.org - 1-800-US NOTARY (1-800-876-6827) Item #5907 STATE OF CALIFORNIA Agreement N©..,7396 DEPARTMENT OF INSURANCE N° u b Zi SAN FRANCISCO Certificate enot Authority THIS IS TO CERTIFY THAT, Pursuant to the Insurance Code of the State of California, Atlantic Specialty Insurance Company New York , organized under the Of laws of New York , subject to its Articles of Incorporation or other fundamental organizational documents, is hereby authorized to transact within the State, subject to all provisions of this Certificate, the following classes of insurance: Fire, Marine, Surety, Disability, Plate Glass, Liability, Workers' Compensation, Common Carrier Liability, Boiler and Machinery, Burglary, Credit, Sprinkler, Team and Vehicle, Automobile, and Miscellaneous as such classes are now or may hereafter be defined in the Insurance Laws of the State of California. THIS CERTIFICATE is expressly conditioned upon the holder hereof now and hereafter being in full compliance with all, and not in violation of any, of the applicable laws and lawful requirements made tinder authority of the laws of the State of California as long as such laws or requirements are in effect and applicable, and as such laws and requirements now are, or may hereafter be changed or amended. IN WITNESS WHEREOF, effective as of the 16th . day of S tuber . 2011 . I have hereunto set my hand and caused my official seal to be affixed this' 16th day ofSeptetkz 2011 .�-�--- Dave Jones insurance Commissioner %4j 4�-. , � .4,M, By Valerie J. Sarfat,y for Nettie Hoge X-Y*Nx Chief Deputy NOTICE' Qualification with the Seerelary of State must be accomplished as required by the California Corporations Coate promptly after Issuance of ibis Certificate of Authority. Failure tas tlo aa3 will lie a violation of insurance Code Section 701 and will be terIsgrounds fax revel king this Certificate of Authority pursuant, to the converiants made in tht apFliettd n therefor and the Conditions contained herein.. OSP 00 39391 Pn➢N rK.3 Agreement No. 7396 CITY OF EL SEGUNDO PUBLIC WORKS DEPARTMENT GENERAL PROVISIONS FOR CONTRACTS LESS THAN $60,000 PURSUANT TO ESMC § 1-7C-4 0-1 GENERAL Except as modified by these Standard Specifications, the provisions of the latest edition of the "Standard Specifications for Public Works Construction" ("Greenbook") and its supplements prepared and promulgated by the Southern California Chapters of the American Public Works Association and the Associated General Contractors of America, constitute the Standard Specifications for this project. The numbering contained within the Standard Specifications of the Contract Documents is intended to correspond with Greenbook numbering. 1-2 DEFINITIONS The following subsection is added to Subsection 1-2 of the Greenbook. Acceptance — The date on which the City Council accepts the Work as complete. Architect, Design Engineers, Soils Engineer, Structural Engineers - Advisors employed by the City. Compensable Delay -- a delay entitling the Contractor to an adjustment of the Contract Sum and an adjustment of the Contract Time in accordance with this Agreement. Due Notice - A written notification, given in due time, of a proposed action where such notification is required by the contract to be given a specified interval of time (usually 48 hours or two working days) before the commencement of the contemplated action. Notification may be from Engineer to Contractor or from Contractor to Engineer. KHB20151022 Page 1 of 36 Agreement No. 7396 Engineer - The City Engineer, or designee, as defined in the Greenbook. Unless otherwise provided, all correspondence and decisions made relative to the contract will be by the City Engineer or his designated representative. PCC — California Public Contract Code. Prompt - The briefest interval of time required for a considered reply, including time required for approval of a governing body. Public Works Director — The City's Public Works Director, or designee. ❑ (Check if applicable) State Standard Specifications - State of California Standard Specifications, dated July 1992, Business and Transportation Agency, Department of Transportation Working Days - A working day is defined as any day, except Saturdays, Sundays, legal holidays and days when work is suspended by the Engineer, as provided in Subsection 6-3 and days determined to be non -working in accordance with Subsection 6-7, "Time of Completion." 1-3 ABBREVIATIONS The following Subsection is added to Subsection 1-3 of the Greenbook. 1-3.1 The following abbreviations are added to Subsection 1-3 of the Greenbook: AAN American Association of Nurserymen AGC Associated General Contractors of America AISC American Institute of Steel Construction APWA American Public Works Association ASME American Society of Mechanical Engineers IEEE Institute of Electric and Electronic Engineers NEC National Electric Code Green Book The most current edition of the Standard Specification for Public Works Construction, and subsequent supplements prepared by Public Works Standards, Inc. WATCH Work Area Traffic Control Handbook SPPWC Standard Plans for Public Works Construction by the American Public Works Association SSPWC Standard Specifications for Public Works Construction by the American Public Works Association ASA American Standard Association CITY City of El Segundo KHB20151022 Page 2 of 36 Agreement No. 7396 SECTION 2 — SCOPE AND CONTROL OF WORK The following subsections 2-1.1 and 2-1.2 are added to the Greenbook. 2-1.1 ACCESS TO PROJECT SITE Not later than the date designated in the City Notice to Proceed, the City will provide access to the real property and facilities upon which the Work is to be performed, including access to real property and facilities designated in the Contract Documents for the Contractor's use. 2-1.2 OWNERSHIP AND USE OF CONTRACT DOCUMENTS. The Contract Documents and all copies furnished to or provided by the Contractor are the City's property and may not be used on other work. 2-3 SUBCONTRACTS Subsection 2-3 Subcontractors of Greenbook is deleted in its entirety and replaced with the following subsection. 2-3.1 GENERAL Except as provided in PCC §§ 4100 et. seq., each bidder will file with its bid the name and location of the place of business of each subcontractor who will perform work or labor or render service to the prime contractor in or about the construction of the work or improvement, or a subcontractor licensed by the State of California who, under subcontract to the prime contractor, specifically fabricates and installs a portion of the work or improvement according to detailed drawings contained in the plans and specifications, in an amount in excess of one-half of one percent of the prime contractor's total bid. Only one subcontractor will be listed for each portion of the work, which portion will be defined in the bid. In each instance, the nature and extent of the work to be sublet will be described. The failure of the Contractor to specify a subcontractor, or the listing of more than one subcontractor for the same portion of the work, constitutes an agreement by the Contractor that it is fully qualified to perform that portion itself and that it will perform that portion itself. The Contractor must have the City Council's written consent to substitute a subcontractor other than that designated in the original bid, to permit any subcontract to be assigned or transferred, or to allow a subcontract to be performed by other than the original subcontractor. Subcontracting of work for which no subcontractor was designated in the original bid, and which is more than one-half of one percent of the work, will be allowed only in cases of public emergency or necessity, and then only after a KHB20151022 Page 3 of 36 Agreement No. 7396 finding reduced to writing as a public record of the City Council setting forth the facts constituting the emergency or necessity. Violation of any of the above provisions will be considered a breach of the Contract, and the City may terminate the Contractor's control over the Work, cancel the contract, or assess the Contractor a penalty of not more than ten percent of the subcontract involved. All persons engaged in the work, including subcontractors and their employees will be considered as employees of the Contractor. The Contractor will be solely responsible for and have control over construction means, methods, techniques, sequences, procedures, and the coordination of all portions of the Work. The City will deal directly with, and make all payments to, the prime Contractor. When subcontracted work is not being prosecuted in a satisfactory manner, the Contractor will be notified to take corrective action. The Engineer may report the facts to the City Council. If the City Council so orders, and on receipt by the Contractor of written instructions from the Engineer, the subcontractor will be removed immediately from the Work. That subcontractor will not again be employed on the Work. If licensure or proper licensure is controverted, then proof of licensure pursuant to this section must be made by production of a verified certificate of licensure from the Contractors' State License Board which establishes that the individual or entity bringing the action was duly licensed in the proper classification of contractors at all times during the performance of any act or contract covered by the action. Nothing in this subdivision requires any person or entity controverting licensure or proper licensure to produce a verified certificate. When licensure or proper licensure is controverted, the burden of proof to establish licensure or proper licensure is on the licensee. 2-3.2 ADDITIONAL RESPONSIBILITY Add the following to Subsection 2-3.2 Additional Responsibility: The Contractor will submit experience statements for each subcontractor who will perform contract work that amounts to more than ten percent (10%) of the Work. 2-4 CONTRACT BONDS The following paragraph is added to Subsection 2-4 of the Greenbook. The Faithful Performance Bond and the Labor and Materials Bond must be paid and in effect for one year after the acceptance of the job by the City in KHB20151022 Page 4 of 36 Agreement No. 7396 accordance with the guarantee required by Subsection 6-8.1, Subsection 2-5.1 of the Greenbook is replaced by the following subsection. 2-5.1 GENERAL The Contractor will maintain the following at the Work site: 2. 3. 4. 5. KHB20151022 One as -built copy of the Plans and Specifications, in good order and marked to record current changes and selections made during construction. As -built plans must be submitted to the City representative for approval before the City pays a final retention amount. The current accepted Contract Schedule. Shop Drawings, Product Data, and Samples. Approved permits from other agencies, including Cal -OSHA permits for trench shoring. All other required submittals. The Plans, Specifications, and other Contract Documents will govern the Work. The Contract Documents are intended to be complementary and cooperative and to describe and provide for a complete project. Anything in the Specifications and not on the Plans, or on the Plans and not in the Specifications, will be as though shown or mentioned in both. Payment for any items on the plans for which there is no specific bid item will be included in the various items of work or in any item to which it is appurtenant. If the Contractor performs any wor involves an error, inconsistency, o obtaining written consent from the responsible for the resulting losses, costs of correcting defective work. Page 5 of 36 k r which it knows or should know omission without notifying and Engineer, the Contractor will be including, without limitation, the Agreement No. 7396 2-5.2 PRECEDENCE OF CONTRACT DOCUMENTS The following paragraph is added to subsection 2-5.2 of the Greenbook: As the figured dimensions shown on the plans and in the specifications of the Contract may not in every case agree with scaled dimensions, the figured dimensions will be followed in preference to the scaled dimensions, and plans to a large scale will be followed in preference to the plans to a small scale. Should it appear that the work to be done, or any of the matters relative thereto, are not sufficiently detailed or explained in the Contract, the Contractor will apply to the Engineer for such further explanations as may be necessary, and will conform thereto as part of the Contract so far as may be consistent with the terms thereof. Any items shown on drawings and not mentioned in the specifications will be of like effect as if shown or mentioned in both. 2-5.5 ACCURACY OF PLANS AND SPECIFICATIONS Although it is believed that much of the information pertaining to conditions and existing utilities that may affect the cost of the Work will be shown on the Plans or indicated in the Specifications, the City does not warrant the completeness or accuracy of such information. The Contractor will carefully study and compare each of the Contract Documents with the others and with information furnished by the City and will promptly report in writing to the Engineer any errors, inconsistencies, or omissions in the Contract Documents or inconsistencies with applicable law observed by the Contractor. The Contractor will take field measurements, verify field conditions, perform soil investigations, and carefully compare with the Contract Documents such field measurements, conditions, and other information known to the Contractor before commencing the Work. Errors, inconsistencies, or omissions discovered at any time will be promptly reported in writing to the Engineer. 2-8 RIGHT-OF-WAY The following subsection is added to Subsection 2-8 of the Greenbook. 2-8.1 ADDITIONAL WORK AREAS AND FACILITIES When the Contractor arranges for additional temporary work areas and facilities, the Contractor will provide the City with proof that the additional work areas or facilities have been left in a condition satisfactory to the owner(s) of said work areas or facilities before acceptance of the work. KHB20151022 Page 6 of 36 Agreement No. 7396 2-9 SURVEYING Subsection 2-9.3, Survey Service, is deleted in its entirety and replaced by the following subsection: 2-9.3 SURVEY SERVICE 2-9.3.1 CONSTRUCTION SURVEYING The Contractor will provide for all construction surveying required to layout, monitor and complete the work. The surveying will be performed by a Land Surveyor or Civil Engineer authorized to practice land surveying by the State of California. The Project Benchmark is shown on the plans. The Contractor will establish all necessary control lines based on the plans and record information on file with the County of Los Angeles Surveyor and the Engineer. It is the responsibility of the Contractor to protect the survey control as shown on the plans. If the survey control is destroyed or disturbed during construction, the Contractor will provide for resetting them and file appropriate documents with the County of Los Angeles at the direction of the Engineer. Computations, survey notes, and other data used to accomplish the work will be neat, legible and accurate. Copies of all computations, survey notes, and other data (electronic format may be required) will be furnished to the Engineer before beginning work that requires their use. 2-9.3.2 MEASUREMENT AND PAYMENT Construction Survey — Unless a separate bid item is provided, payment will be considered included in the other items of the bid and no additional payment will be made therefore. 3-3.2.2 BASIS FOR ESTABLISHING COSTS Subsection 3-3.2.2.3, Tool and Equipment Rental is modified where the second and third paragraphs are replaced with "Regardless of ownership, the rates to be used in determining the equipment usage costs will not exceed those listed for the same or similar equipment in the California State Department of Transportation publication of Labor Surcharge and Equipment Rates effective for the period of usage." 3-3.2.3 MARKUP Subsection 3-3.2.3, Mark Up, is deleted in its entirety and replaced by the KHB20151022 Page 7 of 36 Agreement No. 7396 following subsection: (a) Work by Contractor. The following percentages will be added to the Contractor's costs and will constitute the markup for all overhead and profits. 1) Labor ........................................... 20 2) Materials......................................15 3) Equipment Rental ........................15 4) Other Items and Expenditures .....15 To the sum of the costs and markups provided for in this subsection, 1 percent will be added as compensation for bonding. No other formula, e.g., the Eichleay or other method, may be used to calculate daily damages for office overhead, profit, or other purported loss. (b) Work by Subcontractors. When all or any part of the extra work is performed by a Subcontractor, the markup established in 3-3.2.3(a) will be applied to the Subcontractor's actual cost of such work. A markup of 10 percent on the first $5,000 of the subcontracted portion of the extra work and a markup of 5 percent on work added in excess of $5,000 of the subcontracted portion of the extra work may be added by the Contractor. (c) In the event that City becomes liable to Contractor for compensable delays, City agrees to pay Contractor the daily Contractor Delay Damages set forth in the Bid Form or Contractor's actual daily delay damages, whichever is less, for each day of Compensable Delay as provided for by these Contract Documents. Add the following paragraph to subsection 3-3.3, Daily Reports by Contractor: If disagreement continues regarding extra work, the Contractor may seek compensation in accordance with the Claims procedure. Daily Reports required by this subsection must be made part of the Claim as supporting data for the Claim. 3-4 CHANGED CONDITIONS Subsection 3-4, Changed Conditions, is deleted in its entirety and replaced with the following subsection: If the Contractor encounters concealed or unknown conditions that differ materially from those anticipated or expected ("changed conditions"), the KHB20151022 Page 8 of 36 Agreement No. 7396 Contractor will immediately notify the Engineer in writing of such changed conditions (upon discovery and before disturbing such changed conditions), as provided in Subsection 6-11, so that the Engineer can determine if such conditions require design details that differ from those design details shown in the Contract Documents. Notwithstanding the time period set forth in Subsection 6-11.3, the Contractor is liable to the City for any extra costs incurred as a result of the Contractor's failure to promptly give such notice. Changed conditions include, without limitation, the following: Subsurface or latent physical conditions differing materially from those represented in the Contract Documents; 2. Unknown physical conditions of an unusual nature differing materially from those ordinarily encountered and generally recognized as inherent in work of the character being performed; and 3. Material differing from what is represented in the Contract which the Contractor believes may be hazardous waste as defined in California Health & Safety Code § 25117 that is required to be removed to a Class I, II, or III disposal site in accordance with applicable law. The Engineer will promptly investigate conditions that appear to be changed conditions. The Engineer's decision, and any dispute regarding that decision, will be made in accordance with Section 6-11 except that the Engineer will render a decision promptly. Any information provided pursuant to INFORMATION AVAILABLE TO BIDDERS is subject to the following provisions: The information is made available for the Bidders' convenience and is not a part of the Contract. 2, The City has not determined the accuracy or completeness of such information and all such information is made available to Bidders without any representation or warranty by the City whatsoever as to its accuracy, completeness, or relevancy. 3. Bidders will independently evaluate such information for their use and will be solely responsible for use or interpretation of such information. Any such use or interpretation will not be the basis of any claim against the City. 3-5 DISPUTED WORK Subsection 3-5 is deleted in its entirety and replaced by the following KHB20151022 Page 9 of 36 Agreement No. 7396 subsection.. If the Contractor and the City do not reach agreement on disputed work, the City may direct the Contractor to proceed with the work. Any payment for the disputed work will be determined pursuant to the claims procedures in these Standard Specifications. Although not to be construed as proceeding under extra work provisions, the Contractor will keep and furnish records of disputed work as required by the Contract Documents. 4-1.3 INSPECTION REQUIREMENTS Subsection 4-1.3, Inspection Requirements, is deleted in its entirety and replaced by the following subsections. 4-1.3.1 GENERAL Unless otherwise specified, inspection at the source of production for such materials and fabricated items as bituminous paving mixtures, structural concrete, fabricated metal products, cast metal products, welding, reinforced and unreinforced concrete pipe, application of protective coatings, and similar shop and plant operations is not required. A certificate of compliance, signed by an authorized officer of the producer, certifying compliance with the contract documents will be submitted for all of the following materials: steel pipe, sizes less than 18 inches; vitrified clay pipe; asbestos cement pipe; cast iron pipe; reinforced concrete pipe; non -reinforced concrete pipe; and PVC sewer and water pipe; subject to sampling and testing by City. Standard items of equipment, such as electric motors, conveyors, plumbing fittings and fixtures, lumber, plywood, and so on, are subject to inspection at the job site. All other equipment items will be inspected and tested in accordance with the contract documents. The City does not provide full time inspection. The Contractor will provide 24-hour minimum notice for each inspection required by the work unless other arrangements have been agreed upon, in writing, with the City Engineer. Any inspection required outside of normal working hours and days, including holidays, will be at the Contractor's cost at rates established by the City. 4-1.6 TRADE NAMES OR EQUALS Whenever any material, product, equipment, or service is specified by brand, trade, or proprietary name, the item so specified will be deemed to be followed by the words "or equal." KHB20151022 Page 10 of 36 Agreement No. 7396 For the City's consideration of a proposed "equal" item, the Bidder must submit, a minimum of ten (10) calendar days before the date of the bid opening, documentation of the particulars of the proposed "equal item." At a minimum, the submitted documentation will include: • Written request with explanation of why the product should be considered as an equal product. • Material specifications. Technical specifications. Test data. ■ Samples. Comparison chart of key specifications of the "equal" item against similar specifications of the specified item. Work locations and reference telephone numbers of at least three (3) locations where the proposed "equal" item has been recently installed under similar conditions. ■ Warranty data. The Bidder will be notified by the Engineer whether or not the proposed "equal" product is acceptable to the City five (5) calendar days before the date of the bid opening. Failure to submit all required documentation and/or submittal of incomplete documents may result in the City's rejection of the proposed "equal" product without further consideration. 5-2 PROTECTION The following subsection is added to Subsection 5-2 of the Greenbook. 5-2.1 INCORRECT LOCATION OF UTILITIES If the Contractor, while performing the Work, discovers utility facilities not identified correctly or not shown in the contract plans or specifications by the City, the Contractor will immediately notify the City and utility owner in writing. 5-4 RELOCATION The following subsection is added to Subsection 5-4 of the Greenbook. 5-4.1 RESPONSIBILITY OF UTILITY REMOVAL OR RELOCATION The City will be responsible to arrange for the removal, repair, or relocation of existing utilities located within the project limits if such utilities are not correctly identified in the contract plans or specifications by the City. The City will have the sole discretion to perform repairs or relocation work or permit the Contractor to do such repairs or relocation. KHB20151022 Page 11 of 36 Agreement No. 7396 5-5 DELAYS The following paragraphs are added to Subsection 5-5 of the Greenbook. Actual loss, as used in this Subsection, will be understood to include no items of expense other than idle time of equipment and necessary payments for idle time of workers, cost of extra moving of equipment, and cost of longer hauls. Compensation for idle time of equipment and idle time of workers will be determined by Subsection 5-5.1 and no markup will be added in either case for overhead and profit. The cost of extra moving of equipment and the cost of longer hauls will be paid for as extra work. The following subsection is added to Subsection 5-5 of the Greenbook. 5-5.1 CALCULATING IDLE TIME Equipment idle time will calculated in accordance with Subsection 3-3.2.2 and based upon the actual normal working time during which the delay condition exists, but in no case will exceed 8 hours in any one day. The days for which compensation will be paid will be the calendar days, excluding Saturdays, Sundays and legal holidays, during the existence of the delay. Worker idle time will be calculated in accordance with Subsection 3-3.2.2. 6-1 CONSTRUCTION SCHEDULE AND COMMENCEMENT OF WORK Section 6-1, Construction Schedule and Commencement of Work, is deleted in its entirety and replaced by the following subsections. After contract award, the City will arrange for a pre -construction meeting to discuss the construction of the project. City will invite utility agencies and the contractor will arrange for all of its sub -contractors to attend the meeting. 6-1.1 CONTRACT SCHEDULE After notification of award and before starting any work, the Contractor will submit a Contract Schedule to the Engineer for review, as required by these Specifications within fifteen (15) calendar days of award. 6-1.2 CONTENT OF CONTRACT SCHEDULE The Contract Schedule, and any updated Contract Schedule, will meet the following requirements: KHB20151022 Page 12 of 36 Agreement No. 7396 1. Schedules must be suitable for monitoring progress of the Work. 2. Schedules must provide necessary data about the time for the Engineer's decisions. 3. Schedules must be sufficiently detailed to demonstrate adequate planning for the Work. 4. Schedules must represent a practical plan to complete the Work within the Contract Time. 5. Schedules must show the critical path method for completing the Work. The Engineer's review of the form and general content of the Contract Schedule and any updated Contract Schedules is only for the purpose of determining if the listed requirements are satisfied, nothing more. 6-1.3 EFFECT OF CONTRACT SCHEDULE The Contract Schedule, and any updated Contract Schedules, will represent a practical plan to complete the Work within the Contract Time. Extension of any schedule beyond the Contract Time will not be acceptable. Schedules showing the Work completed in less than the Contract may be acceptable if judged by the Engineer to be practical. Acceptance of such a schedule by the Engineer will not change the Contract Time. The Contract Time, not the Contract Schedule, will control in determining liquidated damages payable by the Contractor and in determining any delay. If a schedule showing the Work completed in less than the Contract Time is accepted, the Contractor will not be entitled to extensions of the Contract Time for Excusable Delays or Compensable Delays or to adjustments of the Contract Sum for Compensable Delays until such delays extend the completion of the Work beyond the expiration of the Contract Time. The Contractor will plan, develop, supervise, control, and coordinate the performance of the Work so that its progress and the sequence and timing of Work activities conform to the current accepted Contract Schedule. The Contractor will continuously obtain from Subcontractors information and data about the planning for and progress of the Work and the delivery of equipment, will coordinate and integrate such information and data into updated Contract Schedules, and will monitor the progress of the Work and the delivery of equipment. The Contractor will act as the expeditor of potential and actual delays, interruptions, hindrances, or disruptions for its own forces and those forces of Subcontractors. The Contractor will cooperate with the Engineer in developing the Contract Schedule and updated Contract Schedules. The Engineer's review and comments about any schedule or scheduling data will not relieve the Contractor from its sole responsibility to plan for, perform, and complete the Work within the Contract Time. Review and comments about any schedule will not transfer responsibility for any schedule to the Engineer or KHB20151022 Page 13 of 36 Agreement No. 7396 the City nor imply their agreement with (1) any assumption upon which such schedule is based or (2) any matter underlying or contained in such schedule. The Engineer's failure to discover errors or omissions in schedules that have been reviewed, or to inform the Contractor that the Contractor, Subcontractors, or others are behind schedule, or to direct or enforce procedures for complying with the Contract Schedule will not relieve the Contractor from its sole responsibility to perform and complete the Work within the Contract Time and will not be a cause for an adjustment of the Contract Time or the Contract Sum. The Contractor will perform the Work in accordance with the currently accepted Contract Schedule. 6-1.4 COMMENCEMENT OF CONTRACT TIME The Contract Time will commence when the City issues a Notice to Proceed. The Work will start on the date specified in the Notice to Proceed and within a maximum of fifteen (15) calendar days after the date of the Notice to Proceed, and be diligently prosecuted to completion with the time provided in the Specifications. The language in subsection 6-4 is deleted in its entirety and replaced with the following subsections. 6-4.1 GENERAL Should the Contractor fail to begin delivery of material and equipment, to commence the Work within the time specified, to maintain the rate of delivery of material, to execute the Work in the manner and at such locations as specified, or fail to maintain the Work schedule (as determined by the current accepted Contract Schedule) which will ensure the City's interest, or if the Contractor is not carrying out the intent of the Contract, the City may serve written notice upon the Contractor and the Surety on its Faithful Performance Bond demanding satisfactory compliance with the Contract. 6-4.2 TERMINATION OF CONTRACTOR'S CONTROL OVER THE WORK The City may terminate the Contractor's control over the Work without liability for damages when, in the City's opinion, the Contractor is not complying in good faith, has become insolvent, or has assigned or subcontracted any part of the Work without the City's consent. Should such termination occur, the Contractor will be paid the actual amount due based on Contract Unit Prices or lump sums bid and the quantity and quality of the Work completed at the time of termination, less damages caused to the City by the Contractor's action or KHB20151022 Page 14 of 36 Agreement No. 7396 inaction. In the event of such termination of control, the City may do any one, or combination of, the following: 1. Serve written notice upon the Surety on its Faithful Performance Bond demanding satisfactory compliance with the Contract. In such event the Surety will, within 5 days, assume control and perform the Work as successor to the Contractor; 2. The City may perform the Work itself and deduct the cost thereof from any payment due to the Contractor; 3. The City may replace the Contractor with a different contractor to complete the work and deduct the cost thereof from any payment due to the Contractor. Nothing herein will waive, or serve as a limitation upon, any additional remedy the City may have under these Contract Documents or applicable law. 6-6 DELAYS AND EXTENSIONS OF TIME Subsection 6-6 is deleted in its entirety and replaced with the following subsections. 6-6.1 GENERAL If delays are caused by unforeseen events beyond the control of the Contractor, such delays will entitle the Contractor to an extension of time as provided herein, but the Contractor will not be entitled to damages or additional payment due to such delays except as otherwise provided herein. Excusable delay may include: war, earthquakes exceeding 3.5 on the Richter Scale, government regulation, labor disputes outside the contemplation of the parties, strikes outside the contemplation of the parties, fires, floods, changes to the Work as identified herein, or other specific events that may be further described in the Specifications. Delays to the project caused by labor disputes or strikes involving trades not directly related to the project, or involving trades not affecting the project as a whole will not warrant an extension of time. The City will not grant an extension of time for a delay by the Contractor's inability to obtain materials unless the Contractor furnishes to the Engineer documentary proof. The proof must be provided in a timely manner in accordance with the sequence of the Contractor's operations and accepted construction schedule. Should delays be caused by events other than those included herein, the KHB20151022 Page 15 of 36 Agreement No. 7396 Engineer may, but is not required to, deem an extension of time to be in the City's best interests. 6-6.2 EXTENSIONS OF TIME If granted, extensions of time will be based upon the effect of delays to the critical path of the Work as determined by the current accepted Contract Schedule. Delays to minor portions of the Work that do not affect the critical path will not be eligible for extensions of time. 6-6.3 PAYMENT FOR DELAYS TO CONTRACTOR Any payment for compensable delay will be based upon actual costs as set forth in Subsection 5-5 excluding, without limitation, what damages, if any, the Contractor may have reasonably avoided. The Contractor understands that this is the sole basis for recovering delay damages and explicitly waives any right to calculate daily damages for office overhead, profit, or other purported loss, using different formulas including, without limitation, the Eichleay Formula. If the Contractor desires payment for a delay or an extension of time, it will give the Engineer written notice of such request not later than the time limit set forth in the Proposal for submitting a claim after the event or occurrence giving rise to a delay claim. Failure to submit a written request within such amount of time will result in the Contractor waiving its delay claim. Any claim for payment or an extension of time must be in the form required by the "Claims" sections of these Specifications. In no event will the City grant the Contractor an extension of time if the delay is within the Contract Time as identified by the Contract Documents. KHB20151022 Page 16 of 36 Agreement No. 7396 6-7.2 WORK DAYS AND WORKING HOURS City Hall is open from Monday thru Friday 7am-4pm. It is closed on the following holidays: New Year's Day Martin Luther King, Jr. Day President's Day Memorial Day Independence Day Labor Day Veterans' Day Thanksgiving Christmas Eve Christmas New Year's Eve City inspections during hours when City Hall is closed are subject to inspection overtime fees to be paid for by the Contractor. If the Contractor does construction on a day when City Hall is closed, that day is counted as a project working day. On workdays, Contractor's activities will be confined to the hours between 7:00 a.m. and 4:00 p.m. Please see Section 6-7.5 below for weekend and holiday work restrictions.. 6-7.4 NIGHT WORK The following paragraph is added to Section 6-7 of the Greenbook: The City will not permit Work between the hours of 4 p.m. and 7 a.m. of the following day unless specifically provided for in the bid documents or unless the Contractor receives prior written approval. The Engineer may, but is not required to, allow the Contractor to work on Saturdays, Sundays and City Holidays. 6-8 COMPLETION AND ACCEPTANCE Subsection 6-8 of the Greenbook is deleted in its entirety and replaced by the following: KHB20151022 Page 17 of 36 Agreement No. 7396 The Work will be inspected by the Engineer for acceptance upon the Engineer receiving the Contractor's written assertion that the Work is complete. If, in the Engineer's judgment, the Work is complete and is ready for acceptance, the Engineer will accept the Work on behalf of the City in the manner prescribed by the City. The Engineer will recommend approval of the Notice of Completion to the City Council. This will be the date when the Contractor is relieved from responsibility to protect the Work. All work will be guaranteed by the Contractor against defective workmanship and materials furnished by the Contractor for a period of 1 year from the date the Work was completed. The Contractor will replace or repair any such defective work in a manner satisfactory to the Engineer, after notice to do so from the Engineer, and within the time specified in the notice. If the Contractor fails to make such replacement or repairs within the time specified in the notice, the City may perform this work and the Contractor's sureties will be liable for the cost thereof. 6-8.1 GENERAL GUARANTY The Contractor will remedy any defects in the work and pay for any damage to other work resulting therefrom, which will appear within a period of one year from the date of final acceptance of the work unless a longer period is specified. The owner will give notice of observed defects with reasonable promptness. Subsection 6-9, Liquidated Damages, of the Greenbook is deleted in its entirety and replaced by the following subsections. 6-9.1 FAILURE TO COMPLETE WORK ON TIME If all the work called for under the contract is not completed before or upon the expiration of the Contract Time, the City will sustain damage. Since it is and will be impracticable to determine the actual damage which the City will sustain in the event of and by reason of such delay, it is therefore agreed that the Contractor will pay to the City the sum specified in the Proposal for each and every calendar day beyond the time prescribed to complete the work not as a penalty, but as a predetermined liquidated damage. The Contractor agrees to pay such liquidated damages as are herein provided, and in case the same are not paid, agrees that the City may deduct the amount thereof from any money due or that may become due to the Contractor under the contract. Unless otherwise specified, liquidated damages will be $250 per calendar day. 6-11 DISPUTES AND CLAIMS; PROCEDURE KHB20151022 Page 18 of 36 Agreement No. 7396 6-11.1 GENERAL Consistent with PCC § 10240.6, "Claim" means a written demand or assertion by the Contractor that seeks an adjustment or interpretation of the terms of the Contract Documents, payment of money, extension of time, or other relief with respect to the Contract Documents, including a determination of disputes or matters in question between the City and the Contractor arising out of or related to the Contract Documents or the performance of the Work, and claims alleging an unforeseen condition or an act, error, or omission by the City, the Engineer, their agents or employees. "Claim" does not mean, and the Claims procedures herein do not apply, to the following: 1. Claims respecting penalties for forfeitures prescribed by statute or regulations, which a government agency is specifically authorized to administer, settle, or determine. 2. Claims respecting personal injury, death, reimbursement, or other compensation arising out of or resulting from liability for personal injury or death. 3. Claims respecting a latent defect, breach of warranty, or guarantee to repair. 4, Claims respecting stop notices. If a Claim is subject to the Change Order procedures, the Claim arises upon the issuance of a written final decision denying in whole or in part the Contractor's Change Order Request. If a Claim is not subject to the Change Order Procedures, the Claim arises when the Contractor discovers, or reasonably should discover, the condition or event giving rise to the Claim. 6-11.2 FORM A Claim must include the following: A statement that it is a Claim and a request for a decision. 2. A detailed description of the act, error, omission, unforeseen condition, event or other condition giving rise to the Claim. 3. If the Claim is subject to the Change Order procedures, a statement demonstrating that a Change Order Request was timely submitted and denied. 4, A detailed justification for any remedy or relief sought by the Claim, including to the extent applicable, the following:. KHB20151022 a) If the Claim involves extra work, a detailed cost breakdown Page 19 of 36 Agreement No. 7396 claimed. The breakdown must be provided even if the costs claimed have not been incurred when the Claim is submitted. b) To the extent costs have been incurred when the Claim is submitted, the Claim must include actual cost records (including, without limitation, payroll records, material and rental invoices) demonstrating that costs claimed have actually been incurred. c) To the extent costs have not yet been incurred at the time the Claim is submitted, actual cost records must be submitted on a current basis not less than once a week during any periods costs are incurred. A cost record will be considered current if submitted within seven (7) calendar days of the date the cost reflected in the record is incurred. At the Engineer's request, claimed extra costs may be subject to further verification procedures (such as having an inspector verify the performance of alleged extra work on a daily basis). 5. If the Claim involves an error or omission in the Contract Documents: a) An affirmative representation that the error or omission was not discovered before submitting a bid for the Contract; and b) A detailed statement demonstrating that the error or omission reasonably should not have been discovered by the Contractor, its Subcontractors and suppliers, before submitting a bid for the Contract. 6. If the Claim involves an extension of the Contract Time, written documentation demonstrating the Contractor's entitlement to a time extension. 7. If the Claim involves an adjustment of the Contract Sum for delay, written documentation demonstrating the Contractor's entitlement to such an adjustment. 8. A personal certification from the Contractor that reads as follows: KHB20151022 "I, BEING THE (MUST BE AN OFFICER) OF (CONTRACTOR NAME), DECLARE UNDER PENALTY OF PERJURY UNDER CALIFORNIA LAW, AND DO PERSONALLY CERTIFY AND ATTEST THAT I HAVE THOROUGHLY REVIEWED THE ATTACHED CLAIM FOR ADDITIONAL COMPENSATION OR EXTENSION OF TIME, AND KNOW ITS CONTENTS, AND SAID CLAIM IS MADE IN GOOD FAITH; THE SUPPORTING DATA IS TRUTHFUL AND ACCURATE; THAT Page 20 of 36 Agreement No. 7396 THE AMOUNT REQUESTED ACCURATELY REFLECTS THE CONTRACT ADJUSTMENT FOR WHICH THE CONTRACTOR BELIEVES CITY IS LIABLE; AND, FURTHER, THAT I AM FAMILIAR WITH CALIFORNIA PENAL CODE § 72 AND CALIFORNIA GOVERNMENT CODE § 12650, ET SEQ., PERTAINING TO FALSE CLAIMS, AND FURTHER KNOW AND UNDERSTAND THAT SUBMITTING OR CERTIFYING A FALSE CLAIM MAY LEAD TO FINES, IMPRISONMENT, AND OTHER SEVERE LEGAL CONSEQUENCES." Within thirty (30) calendar days after the circumstances giving rise to a Claim occur, the Contractor will submit its Claim to the Engineer for a decision. Regardless of any Claim submittal, or any dispute regarding a Claim, unless otherwise directed by the Engineer, the Contractor will not cause any delay, cessation, or termination of the Work, but will diligently proceed with the performing the Work in accordance with the Contract Documents. Except as otherwise provided, the City will continue to make payments in accordance with the Contract Documents. 6-11.4 CLAIM IS PREREQUISITE TO OTHER REMEDY The Contractor certifies that it is familiar with PCC § 10240.2 and understands and agrees that submitting a Claim in accordance with these Specifications is an express condition precedent to the Contractor's right to otherwise pursue a claim whether through alternative dispute resolution or by litigation. Should the Contractor fail to submit a claim in accordance with these Specifications, including the time limits set forth herein, it will waive any right to a remedy, whether in law or equity, it might otherwise have pursuant to the Contract Documents or applicable law. 6-11.5 DECISION ON CLAIMS The Engineer will promptly review Claims submitted by the Contractor in accordance with these Specifications. Should the Engineer require additional supporting evidence to evaluate the claim, the Engineer will request such additional information in writing. Any such requested data will be furnished not later than ten (10) calendar days after the Contractor receives the Engineer's request. The Engineer will render a decision not later than 30 calendar days after either receiving the Claim or the deadline for furnishing additional supporting data, whichever is later. If the Claim amount is more than $50,000, the time period will be extended to 60 days. If the Engineer fails to render a decision within the time period established herein, then the Claim will be deemed denied. The KHB20151022 Page 21 of 36 Agreement No. 7396 Engineer's decision will be final and binding unless appealed in accordance with these Specifications. The Engineer's decision on a Claim will include a statement substantially as follows: "This is a decision pursuant to the General Specifications of your contract. If you are dissatisfied with the decision, and have complied with the procedural requirements for asserting claims, you may have the right to alternative dispute resolution or litigation. Should you fail to take appropriate action within thirty (30) calendar days of the date of this decision, the decision will become final and binding and not subject to further appeal." 6-11.6APPEAI_ OF ENGINEER'S DECISION Should the Contractor dispute the Engineer's decision, then the Contractor must appeal that decision to the City's Public Works Director within thirty (30) calendar days of receiving the Engineer's decision. The Public Works Director will address disputes or claims within thirty (30) calendar days after receiving such request and all necessary supporting data. The Public Works Director's decision on the dispute or claim will be the City's final decision. If the Contractor disputes the Public Works Director's decision, then the Contractor must demand alternative dispute resolution in accordance with this Section and the PCC within thirty (30) calendar days of the City's final decision. 6-11.7 MEDIATION If the City and the Contractor agree, disputes between the parties may be submitted to non -binding mediation. If the parties cannot agree to an alternative form of mediation, then mediation will be administered by the American Arbitration Association ("AAA") under its Construction Industry Mediation Rules, unless the use of such rules are waived by mutual stipulation of both parties. The parties may, but are not required to be, represented by counsel in mediation. The requirement for mediation will not alter or modify the time limitations otherwise provided for claims and no conduct or settlement negotiation during mediation will be considered a waiver of the City's right to assert that claim procedures were not followed. 6-11.8 ARBITRATION KHB20151022 Page 22 of 36 Agreement No. 7396 If the City and Contractor do not agree to mediation, then a disputes will be submitted to neutral non -binding (except as provided herein) arbitration. Arbitration will be conducted in accordance with PCC § 10240.3. Any decision rendered by an arbitrator will be consistent with PCC § 10240.8. The exclusive venue for any arbitration will be in Los Angeles County. The expenses and fees of the arbitrators and the administrative fees, if any, will be divided among the parties equally. Each party will pay its own counsel fees, witness fees, and other expenses incurred for its own benefit. The decision rendered by the arbitrator will become binding upon the parties unless appealed to the Los Angeles County Superior Court pursuant to PCC § 10240.12 within thirty (30) calendar days of the decision. If subsequent litigation results in an award to the party appealing the arbitration that is less than or equal to that of the arbitration decision, or if the litigation results in a decision in favor of the nonappealing party, then the party appealing the arbitration will pay the nonappealing party's attorney's fees and court costs. 6-11.10 APPEAL TO SUPERIOR COURT; WAIVER OF JURY TRIAL Should a party timely object to the arbitration decision, it may file a petition with the Los Angeles County Superior Court in accordance with California Code of Civil Procedure ("CCP") §§ 1285, et seq. Notwithstanding the limitations set forth in CCP § 1286.2, the court may vacate, correct, or adjust an arbitration award, and enter judgment in accordance with CCP § 1287.4, for any legal or equitable basis including, without limitation, error of law. The court will apply the substantial evidence standard of review when considering the appeal of an objecting party. BY EXECUTING THESE CONTRACT DOCUMENTS, THE CONTRACTOR AGREES TO HAVE DISPUTES OR CONTROVERSY CONCERNING THE CONSTRUCTION, INTERPRETATION, PERFORMANCE, OR BREACH OF THESE CONTRACT DOCUMENTS, INCLUDING CLAIMS FOR BREACH OF CONTRACT OR ISSUES OF BAD FAITH DECIDED IN ACCORDANCE WITH THIS SECTION 6-11. BOTH THE CITY AND THE CONTRACTOR WAIVE THEIR RIGHT TO A JURY TRIAL FOR THESE DISPUTES OR ISSUES. 7-2 LABOR The following subsections are added to Subsection 7-2 of the Green Book. KHB20151022 Page 23 of 36 Agreement No. 7396 7-2.3 PREVAILING WAGES The Contractor will post at appropriate conspicuous points at the site of the project a schedule showing determinations of the Director of Industrial Relations of the prevailing rate of per diem wages. It will be the Contractor's responsibility to obtain copies of the prevailing rate of per diem wages. One source that may be used is the California Department of Industrial Relations website which is currently located at www.dir.ca.gov, or by calling the Prevailing Wage Unit at (415) 703-4774. Attention is directed to Labor Code §§ 1777.5, 1777.6 and 3098 concerning the employment of apprentices by the Contractor or any subcontractor. Labor Code § 1777.5 requires the Contractor or subcontractor employing tradesmen in any apprenticeship occupation to apply to the joint apprenticeship committee nearest the site of the public works project and which administers the apprenticeship program in that trade for a certificate of approval. The certificate will also fix the ratio of apprentices to journeymen that will be used in the performance of the contract. The ratio of apprentices to journeymen in such cases will not be less than one to five except: a) When employment in the area of coverage by the joint apprenticeship committee has exceeded an average of 15 percent in the ninety (90) calendar days before the request for certificate, or b) When the number of apprentices in training in the area exceeds a ratio of one to five, or c) When the trade can show that it is replacing at least 1 /30 of its membership through apprenticeship training on an annual basis state-wide or locally, or d) When the Contractor provides evidence that the Contractor employs registered apprentices on all of his contracts on an annual average of not less than one apprentice to eight journeymen. The Contractor is required to make contributions to funds established for the administration of apprenticeship programs if the Contractor employs registered apprentices or journeymen in any apprenticeable trade on such contracts and if other contractors on the public works site are making such contributions. The Contractor and any subcontractor will comply with Labor Code §§ 1777.5 and 1777.6 in the employment of apprentices. Information relative to apprenticeship standards, wage schedules and other requirements may be obtained from the Director of Industrial Relations, KHB20151022 Page 24 of 36 Agreement No. 7396 ex-officio the Administrator of Apprenticeship, San Francisco, California, or from the Division of Apprenticeship Standards and its branch offices. 7-2.4 RECORD OF WAGES PAID: INSPECTION Every Contractor and subcontractor will keep an accurate certified payroll records showing the name, occupation, and the actual per diem wages paid to each worker employed in connection with the Work. The record will be kept open at all reasonable hours to the inspection of the body awarding the contract and to the Division of Labor Law Enforcement. If requested by the City, the Contractor will provide copies of the records at its cost. 7-3 LIABILITY INSURANCE Subsection 7-3, Liability Insurance, of the Greenbook is deleted in its entirety and replaced by the following subsections. 7-3.1 GENERAL Contractor must procure and maintain for the duration of the contract the following insurance coverages and limits against claims for injuries to persons or damage to property ` that may arise from or in connection with the performance of the work covered by this agreement by the Contractor, its agents, representatives, employees or subcontractors: COVERAGE PER OCCURRENCE Comprehensive General Liability Business Auto Workers' Compensation ISO FORM COMBINED SINGLE LIMIT CL 00 02 01 85 or 88 $2,000,000 CA 00 01 01 87 $1, 000, 000 Statutory Contractor will provide endorsements or other proof of coverage for contractual liability. Combined single limit per occurrence will include coverage for bodily injury, personal injury, and property damage for each accident. If Commercial General Liability Insurance or other form with a general aggregate limit is used, the policy will be endorsed such that the general aggregate limit will apply separately to this contract and a copy of the endorsement provided to the City. Liability policies will contain, or be endorsed to contain the following provisions: KHB20151022 Page 25 of 36 Agreement No. 7396 GENERAL LIABILITY AND AUTOMOBILE LIABILITY: The City, its officers, officials, employees, agents, and volunteers will be covered as insureds as respects: liability arising out of activities performed by or on behalf of the Contractor; products and completed operations of the Contractor; premises owned, occupied or used by the Contractor; or automobiles owned, leased, hired or borrowed by the Contractor. The coverage will contain no special limitations on the scope or protection afforded to the City, its officers, officials, employees, agents, or volunteers. The Contractor's insurance coverage will be primary insurance as respects the City, its officers, officials, employees, agents, and volunteers. Any insurance or self-insurance maintained by the City, its officers, officials, employees, agents, and volunteers will be excess of the Contractor's insurance and will not contribute with it. The insurer will agree in writing to waive all rights of subrogation against the City, its officers, officials, employees and volunteers for losses arising from work performed by the Contractor for the City. Any failure to comply with reporting provisions of the policies will not affect coverage provided to the City, its officers, officials, employees, agents and volunteers. The Contractor's insurance will apply separately to each insured against whom claim is made or suit is brought, except with respect to the limits of the insurer's liability. WORKERS' COMPENSATION: The insurer will agree to waive all rights of subrogation against the City, its officers, officials, employees and volunteers for losses arising from work performed by the Contractor for the City. ALL COVERAGES: Each insurance policy required by this subsection will be endorsed to state that coverage will not be suspended, voided, cancelled by either party, reduced in coverage or in limits except after thirty (30) calendar days written notice by certified mail, return receipt requested, has been given to: CITY CLERK City of El Segundo 350 Main Street El Segundo, CA 90245 Notwithstanding the foregoing, the endorsement may state that insurance may KHB20151022 Page 26 of 36 Agreement No. 7396 be cancelled upon ten (10) calendar day notification for non-payment of premium. The Contractor will provide the City with updated proof of insurance should the Contract Time extend beyond the policy expiration date. All liability insurance will be on an occurrence basis. Insurance on a claims made basis will be rejected. Any deductibles or self -insured retentions will be declared to and approved by City. The insurer will provide an endorsement to City eliminating such deductibles or self -insured retentions as respects the City, its officials, employees, agents, and volunteers. Except for Workers Compensation Insurance, Contractor will furnish to City certificates of insurance and endorsements on forms acceptable to the City's City Attorney, duly authenticated, giving evidence of the insurance coverages required in this contract and other evidence of coverage or copies of policies as may be reasonably required by City from time to time. Endorsements must be supplied on ISO Form No. CG 20 10 11 85, or equivalent. Certificate/endorsement for Workers Compensation Insurance will be furnished on State Comp Fund or other industry standard form. Except for worker's compensation insurance, all insurance required herein will be placed with insurers with a Best's Rating of not less than A:VII. Worker's compensation insurance policies will meet the requirements of California law. All subcontractors employed on the work referred to in this contract will meet the insurance requirements set forth for Contractor. Contractor will furnish certificates of insurance and endorsements for each subcontractor at least five days before the subcontractor entering the job site, or Contractor will furnish City an endorsement including all subcontractors as insureds under its policies. Except as provided in Subsection 6-10, the Contractor will save, keep and hold harmless the City, its officers, officials, employees, agents and volunteers from all damages, costs or expenses in law or equity that may at any time arise or be claimed because of damages to property, or personal injury received by reason of or in the course of performing work, which may be caused by any willful or negligent act or omission by the Contractor or any of the Contractor's employees, or any subcontractor. The City will not be liable for any accident, loss or damage to the work before its completion and acceptance, except as provided in Subsection 6-10. The cost of such insurance will be included in the various items of work in the Contractor's bid and no additional compensation for purchasing insurance or additional coverage needed to meet these requirements will be allowed. In the event that any required insurance is reduced in coverage, cancelled for any reason, voided or suspended, Contractor agrees that City may arrange for insurance coverage as specified, and Contractor further agrees that administrative and premium costs may be deducted from payments due to the KHB20151022 Page 27 of 36 Agreement No. 7396 Contractor. Contractor will not be allowed to work until alternate coverage is arranged. Coverage will not extend to any indemnity coverage for the active negligence of the additional insured if the agreement to indemnify the additional insured would be invalid under Civil Code § 2782(b). 7-3.2 INDEMNIFICATION AND DEFENSE In addition to the provisions of Subsection 7-3 of the Greenbook as between the City and Contractor, Contractor will take and assume all responsibility for the work as stated herein or shown on the plans. The Contractor will bear all losses and damages directly or indirectly resulting to it, to the City, its officers, employees, and agents, or to others on account of the performance or character of the work, unforeseen difficulties, accidents, traffic control, job site maintenance, or any other causes whatsoever. The Contractor will assume the defense of and indemnify and save harmless the City of El Segundo, its officers, employees, and agents, from and against any and all claims, losses, damage, expenses and liability of every kind, nature, and description, directly or indirectly arising from the performance of the contract or work, regardless of responsibility for negligence, and from any and all claims, losses, damage, expenses, and liability, howsoever the same may be caused, resulting directly, or indirectly from the nature of the work covered by the contract, regardless of responsibility for negligence, to the fullest extent permitted by law. In accordance with Civil Code § 2782, nothing in this Subsection 7-3.2 or in Subsection 7-3 of the Standard Specifications will require defense or indemnification for death, bodily injury, injury to property, or any other loss, damage or expense arising from the sole negligence or willful misconduct of the City, or its agents, servants or independent contractors who are directly responsible to the City, or for defects in design furnished by such persons. Moreover, nothing in this Subsection 7-3.2 or in Subsection 7-3 will apply to impose on the Contractor, or to relieve the City from, liability for active negligence of the City. The City does not, and will not, waive any rights against the Contractor which it may have by reason of the aforesaid hold harmless agreements because of the acceptance by the City, or deposit with City by Contractor, of any insurance policies described in Subsection 7-3 of the Special Provisions. This hold harmless agreement by the Contractor will apply to all damages and claims for damages of every kind suffered, or alleged to have been suffered by reasons of any of the aforesaid operations of Contractor, or any subcontractor, regardless of whether or not such insurance policies are determined to be applicable to any of such damages or claims for damages. KHB20151022 Page 28 of 36 Agreement No. 7396 No act by the City, or its representatives in processing or accepting any plans, in releasing any bond, in inspecting or accepting any work, or of any other nature, will in any respect relieve the Contractor or anyone else from any legal responsibility, obligation or liability he might otherwise have. 7-5 PERMITS The following paragraph will be added to Subsection 7-5 of Greenbook: The Contractor will apply for permits required by the City. These permits will be issued on a "no -fee" basis. However, the Contractor must pay for and obtain all other permits from other governmental and utility agencies necessitated by their operations. All bonding fees, (overweight and oversized vehicle permit fees) inspection permit fees or other fees charged or required for such permits must be paid by the Contractor. These costs will be included in the bid item provided. If no bid item is included, costs will be included in the various items of work, and no additional payment will be allowed. 7-8.1 CLEANUP AND DUST CONTROL. Subsection 7-8.1, Cleanup and Dust Control, of the Greenbook is deleted in its entirety and replaced by the following subsections. 7-8.1.1 GENERAL On any construction project requiring trenching within public streets and for which total trenching is in excess of 500 feet, the Contractor will be required to sweep the worksite utilizing a pick-up type street sweeper a minimum of once daily. 7-8.1.2 WATERING Water for dust control caused by Contractor's operations or the passage of traffic through the work will be applied as necessary or as directed by the Engineer. Water for the above or other purposes may be obtained from any approved source. If the Contractor chooses to use a City fire hydrant upon placing deposits and fees as described in this contract, the Engineer will cause a meter to be installed. All water used from the hydrant will be metered and charged to the Contractor at the prevailing rate plus the current daily meter rental rate. The Contractor will be charged a $15 reconnect fee if the Contractor wishes to move the meter to a different hydrant. Costs of water to be used will be included in the cost of various bid items. :. .0 i ;an.1011 KHB20151022 Page 29 of 36 Agreement No. 7396 The following requirements are added to establish storm water and urban runoff pollution prevention controls. (a) Storm or construction generated water containing sediment such as, construction waste, soil, slurry from concrete/asphalt concrete saw cutting operations, clean up of concrete transit mixers or other pollutants from construction sites and parking areas will be retained or controlled on site and will not be permitted to enter the storm drain system. (b) Temporary sediment filtering systems such as sandbags, silt fences, or gravel berms will be utilized to trap sediment so that only filtered water enters the City's storm drain system. Proper clean up and disposal of settled sediment and the filtering system will be the responsibility of the Contractor. (c) Discharge of concrete transit mixer wash water on to approved dirt areas (sub -grade area designated for new concrete construction for example) is acceptable. Discharge on to private property, parkway areas, or the street is not permitted. (d) Plastic or other impervious covering will be installed where appropriate to prevent erosion of an otherwise unprotected area, along with any other runoff control devices deemed appropriate by the City. (e) Excavated soil stored on the site will be covered in a manner that minimizes the amount of sediments running into the storm drain system, street or adjoining properties. (f) No washing of construction or other industrial vehicles and equipment will be allowed adjacent to a construction site. During the rainy season (October 15 to April 15), Contractor will keep at the construction site sufficient materials and labor to install temporary sediment filtering systems and other water pollution prevention control measures. These control measures will be in place and maintained by the Contractor on a daily basis on days when construction is not in progress due to rain. (h) All costs associated with water pollution control will be borne by the Contractor. Any expense incurred by the City to expeditiously respond to storm drain contamination resulting from Contractor's failure to implement water pollution control measures will be charged to the Contractor. 7-9 PROTECTION AND RESTORATION OF EXISTING IMPROVEMENTS The following requirements are added to Section 7-9: KHB20151022 Page 30 of 36 Agreement No. 7396 Where existing traffic striping, pavement markings, and curb markings are damaged or their reflectively reduced by the Contractor's operations, such striping or markings will also be considered as existing improvements and the Contractor will replace such improvements. Relocations, repairs, replacements, or re -establishments will be at least equal to the existing improvements and will match such improvements in finish and dimensions unless otherwise specified. The following requirement is added to Section 7-10: Unless otherwise specified all traffic control will be performed in accordance with the Work Area Traffic Control Handbook (WATCH) Latest Edition, published by Building News, 3055 Overland Avenue, Los Angeles, CA 90034, telephone 310-474-7771. 7-10.1 TRAFFIC AND ACCESS The Contractor will notify the occupants of all affected properties at least 48 hours before any temporary obstruction of access. Vehicular access to property line will be maintained except as required for construction for a reasonable period of time. No overnight closure of any driveway will be allowed except as permitted by the Engineer. At least one (1) twelve (12) foot wide traffic lane will be provided for each direction of travel on all streets at all times except as permitted by the Engineer. The traffic lanes will be maintained on pavement, and will remain unobstructed. All work requiring that a lane be closed or a lane moved right or left will be noticed to the traveling public by use of City approved lighted arrow boards. Clearances from traffic lanes will be five (5) feet to the edge of any excavation and two (2) feet to the face of any curb, pole, barricade, delineator, or other vertical obstruction. One four (4) foot wide paved pedestrian walkway will be maintained in the parkway area on each side of all streets. The clearance from the pedestrian walkway to any traffic lane will be five (5) feet. Pedestrians and vehicles will be protected from all excavations, material storage, and/or obstructions by the placement of an adequate number of lighted barricades (minimum two (2)) at each location, one (1) at each end of the obstruction or excavation), which will have flashing lights during darkness. Barricades will be Type I or Type II per Section 7-3 of the WATCH Manual and lights will be Type A per Section 7-6 of the "Work Area Traffic Control Handbook" (WATCH). KHB20151022 Page 31 of 36 Agreement No. 7396 7-10.2 STREET CLOSURES DETOURS BARRICADES Street closures will not be allowed except as specifically permitted by the Engineer. The Contractor will prepare any traffic control or detour plans that may be required as directed by the Engineer. Lane transitions will not be sharper than a taper of thirty (30) to one (1). Temporary traffic channelization will be accomplished with barricades or delineators. Temporary striping will not be allowed unless specifically permitted by the Engineer. The Contractor will prepare any plans that may be required for temporary striping to the satisfaction of the Engineer. In no event will temporary striping be allowed on finish pavement surfaces, which are to remain. Where access to driveway or street crossings need to be maintained, minimum 1 1/4 inch thick steel plating will be used to bridge the trench. All steel plating will have temporary asphalt concrete 1:12 minimum sloped ramps to assist vehicles to cross comfortably over the plates and have a non-skid surface. Plates subject to vehicle high traffic speeds and in residential areas will be secured by welding at the discretion of the Engineer. 7-10.5 PROTECTION OF THE PUBLIC It is part of the service required of the Contractor to make whatever provisions are necessary to protect the public. The Contractor will use foresight and will take such steps and precautions as his operations warrant to protect the public from danger, loss of life or loss of property, which would result from interruption or contamination of public water supply, interruption of other public service, or from the failure of partly completed work or partially removed facilities. Unusual conditions may arise on the Project which will require that immediate and unusual provisions be made to protect the public from danger or loss of life, or damage to life and property, due directly or indirectly to prosecution of work under this contract. Whenever, in the opinion of the Engineer, an emergency exists against which the Contractor has not taken sufficient precaution for the public safety, protection of utilities and protection of adjacent structures or property, which may be damaged by the Contractor's operations and when, in the opinion of the Engineer, immediate action will be considered necessary in order to protect the public or property due to the Contractor's operations under this contract, the Engineer will order the Contractor to provide a remedy for the unsafe condition. If the Contractor fails to act on the situation immediately, the Engineer may provide suitable protection to said interests by causing such work KHB20151022 Page 32 of 36 Agreement No. 7396 to be done and material to be furnished as, in the opinion of the Engineer, may seem reasonable and necessary. The cost and expense of said labor and material, together with the cost and expense of such repairs as are deemed necessary, will be borne by the Contractor. All expenses incurred by the City for emergency repairs will be deducted from the progress payments and the final payment due to the Contractor. Such remedial measures by the City will not relieve the Contractor from full responsibility for public safety. 7-15 HAZARDOUS MATERIAL The following Subsection will be added to Section 7 of the Greenbook; For any excavation, which extends more than four feet below existing grade, the Contractor will promptly, and before the conditions are disturbed, notify the Engineer, in writing, of 1) any material that the Contractor believes may be hazardous waste, as defined in Health and Safety Code § 25117, which is required to be removed to a Class I, Class II, or Class III disposal site in accordance with provisions of existing law, 2) subsurface or latent physical conditions at the site differing from those indicated, 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 the Contract Documents. After receiving notice from the Contractor, the Engineer will promptly investigate any condition identified by the Contractor as being hazardous. The rights and obligations of the City and the Contractor with regard to such conditions (including, without limitation, the procedures for procuring change orders and filing claims) will be specified by the provisions of Subsection 3-4 (Changed Conditions) of the Greenbook. If a dispute arises between the City and the Contractor whether the conditions materially differ, involve hazardous waste, or cause a change in the Contractor's cost or time required for performance of the work, the Contractor will not be excused from any scheduled completion date provided for by the contract, but will proceed with all work to be performed under the contract. The Contractor will retain all rights provided by Subsection 3-5, Disputed Work, of the Greenbook. If the Engineer determines that material called to the Engineer's attention by the Contractor is hazardous waste, or if the Engineer otherwise discovers the existence of hazardous waste, the Contractor will be responsible for removal and disposal of the hazardous waste by qualified personnel and appropriate equipment in the manner required by law as directed by the Engineer, subject to the provisions of Section 3 (Changes in Work) of the Greenbook. KHB20151022 Page 33 of 36 Agreement No. 7396 9-2 LUMP SUM WORK Subsection 9-2, Lump Sum Work, of the Greenbook is deleted in its entirety and replaced by the following: Items for which quantities are indicated as "Lump Sum," "L.S.," or "Job" will be paid for at the price indicated in the Proposal. Such payment will be full compensation for all costs for labor, equipment, materials and plant necessary to furnish, construct and install the lump sum item of work, complete, in place, and for all necessary appurtenant work, including, but not limited to, all necessary cutting, patching, repair and modification of existing facilities, and clean up of site. Contractor will furnish three copies of a detailed schedule, which breaks down the lump sum work into its component parts and cost for each part, in a form and sufficiently detailed as to satisfy Engineer that it correctly represents a reasonable apportionment of the lump sum. This schedule is subject to approval by Engineer as to both the components into which the lump sum item is broken down, and the proportion of cost attributable to each component. This schedule will be the basis for progress payments for the lump sum work. 9-3.2 PARTIAL AND FINAL PAYMENTS The text of Subsection 9-3.2 of the Standard Specifications is deleted and replaced with the following: The closure date for the purpose of making partial progress payments will be the last working day of each month. The Contractor will prepare the partial payment invoice with measurement of the work performed through the closure date and submit it to the CITY for approval. When work is complete, the Contractor will determine the final quantities of the work performed and prepare the final progress payment, and submit it to the Engineer for approval. It will take a minimum of thirty-five (35) calendar days from the date of approving the Contractor's invoice to make the payment to the Contractor. However, payments will be withheld pending receipt of any outstanding reports required by the contract documents, or legal release of filed Stop Payment Notices against the Contractor. In addition, the final progress payment will not be released until the Contractor returns the control set of Plans and Specifications showing the as -built conditions. The full five percent (5%) retention will be deducted from all progress KHB20151022 Page 34 of 36 Agreement No. 7396 payments. The Contractor will make a payment request for the retained amount, for approval by the City, upon field acceptance of the work by the City Engineer. The City Engineer upon field acceptance and receipt of the final as - built plans and any other reports or documents required to be provided by the Contractor will process a recommendation to the City Council for acceptance of the work. Not less than thirty-five (35) calendar days from the City Council acceptance of the work, the Contractor's final payment will be made provided Stop Payment Notices or other claims have not been filed against the Contractor and/or the City by material suppliers, sub -contractors, other governmental agencies, and private property owners. Until these Stop Payment Notices are released and claims are resolved the stop payment/claim amount will be withheld from the final payment. The Contractor, however, may receive interest on the retention for the length of construction, or receive the retention itself as long as the retention is substituted with escrow holder surety or equal value. At the request and expense of the Contractor, surety equivalent to the retention may be deposited with the State Treasurer, or a State or Federally chartered bank, as the escrow agent, who will pay such surety to the Contractor upon satisfactory completion of the contract. Pursuant to PCC § 22300, the Contractor may substitute securities for retention monies held by the City or request that the City place such monies into an escrow account. The Contractor is notified, pursuant to PCC § 22300, that any such election will be at the Contractor's own expense and will include costs incurred by the City to accommodate the Contractor's request. Progress payment paid by the City as contemplated herein, will be contingent upon the Contractor submitting, in addition to any additional documents, an updated Contract Schedule in the form prescribed by these Contract Documents. Failure of the Contractor to submit an acceptable updated Contract Schedule will result in the City withholding partial payment, without liability to the City, until such an acceptable updated Contract Schedule is submitted. Nothing herein will allow the Contractor to suspend or slow progress of the Work. A City Council resolution established a Project Payment Account, encumbered money in the current budget, and assigned that money to the Project Payment Account which is the sole source of funds available for payment of the Contract Sum. Contractor understands and agrees that Contractor will be paid only from this special fund and if for any reason this fund is not sufficient to pay Contractor, Contractor will not be entitled to payment. The availability of money in this fund, and City's ability to draw from this fund, are conditions precedent to City's obligation to make payments to Contractor. KHB20151022 Page 35 of 36 Agreement No. 7396 Materials and equipment delivered or stored, but not incorporated into the work, will not be approved for progress payments. 100-1 TERMINATION OF AGENCY LIABILITY Before receiving final payment, the Contractor will execute a "Release on Contract" form which will operate as, and will be a release to the City, the City Council, and each member of the City Council and their agencies, from all claims and liability to the Contractor for anything done or furnished for, or relating to, the work or for any act of neglect of the City of any person relating to or affecting the work, except the claim against the City for the remainder, if any there be, of the amounts kept or retained as provided in Subsections 9-3 of the Standard Specifications and except for any unsettled claims listed on said form which have been filed in compliance with the requirements for making claims. - END OF SECTION - KHB20151022 Page 36 of 36