13 in its sole and absolute discretion, may also pursue any one or more of the following remedies:
i. Upon written notice to CONSULTANT, the CITY may immediately terminate this Agreement in whole or in part;
ii. Upon written notice to CONSULTANT, the CITY may extend the time of performance;
iii. The CITY may proceed by appropriate court action to enforce the terms of the Agreement to recover damages for CONSULTANT ’s breach of the Agreement or to terminate the Agreement; or
iv. The CITY may exercise any other available and lawful right or remedy.
CONSULTANT will be liable for all legal fees plus other costs and expenses that CITY incurs upon a breach of this Agreement or in the CITY’s exercise of its remedies under this Agreement.
G. In the event CITY is in breach of this Agreement, CONSULTANT’s sole remedy will be the suspension or termination of this Agreement and/or the recovery of any unpaid sums lawfully owed to CONSULTANT under this Agreement for completed services and tasks.
5.3 SCOPE OF WAIVER: No waiver of any default or breach under this Agreement will constitute a waiver of any other default or breach, whether of the same or other covenant, warranty, agreement, term, condition, duty or requirement contained in this Agreement. No waiver, benefit, privilege, or service voluntarily given or performed by a Party will give the other Party any contractual rights by custom, estoppel, or otherwise.
5.4 SURVIVING ARTICLES, SECTIONS AND PROVISIONS: The termination of this Agreement pursuant to any provision of this Article or by normal expiration of its term or any extension thereto will not operate to terminate any Article, Section or provision contained herein which provides that it will survive the termination or normal expiration of this Agreement.
VI.
MISCELLANEOUS PROVISIONS
6.1 DOCUMENTS & DATA; LICENSING OF INTELLECTUAL PROPERTY : All Documents and Data will be and remain the property of CITY without restriction or limitation upon their use or dissemination by CITY. For purposes of this Agreement, the term “Documents and Data” means and includes all reports, analyses, correspondence, plans, designs, notes, summaries, strategies, charts, schedules, spreadsheets, calculations, lists, data compilations, documents or other materials developed and/or assembled by or on behalf of CONS ULTANT in the performance of this Agreement and fixed in any tangible medium of expression, including but not limited to Documents and Data stored digitally, magnetically
14 and/or electronically. This Agreement creates, at no cost to CITY, a perpetual license for CITY to copy, use, reuse, disseminate and/or retain any and all copyrights, designs, and other intellectual property embodied in all Documents and Data. CONSULTANT will require all subcontractors and subconsultants working on behalf of CONSULTANT in the performance of this Agreement to agree in writing that CITY will be granted the same right to copy, use, reuse, disseminate and retain Documents and Data prepared or assembled by any subcontractor or subconsultant as applies to Documents and Data prepared by CONSULTANT in the performance of this Agreement.
6.2 CONFIDENTIALITY: All data, documents, discussion, or other information developed or received by CONSULTANT or provided for performance of this Agreement are deemed confidential and will not be disclosed by CONSULTANT without prior written consent by CITY. CITY will grant such consent of disclosure as legally required. Upon request, all CITY data will be returned to CITY upon the termination or expiration of this Agreement. CONSULTANT will not use CITY’s name or insignia, photographs, or any publicity pe rtaining to the Work in any magazine, trade paper, newspaper, television or radio production or other similar medium without the prior written consent of CITY.
6.3 FALSE CLAIMS ACT : CONSULTANT warrants and represents that neither CONSULTANT nor any person who is an officer of, in a managing position with, or has an ownership interest in CONSULTANT has been determined by a court or tribunal of competent jurisdiction to have violated the False Claims Act, 31 U.S.C., Section 3789 et seq. and the California Fals e Claims Act, Government Code Section 12650 et seq.
6.4 NOTICES: All notices permitted or required under this Agreement will be given to the respective Parties at the following addresses, or at such other address as the respective Parties may provide in writing for this purpose:
CONSULTANT: CITY:
INSERT CONSULTANT NAME
INSERT ADDRESS
Attn: INSERT PERSON OF CONTACT
NAME
Phone: INSERT PHONE NUMBER
City of Bell Gardens
7100 S. Garfield Avenue
Bell Gardens, CA 90201
Attn: DEPARTMENT DIRECTOR
Phone: CITY PHONE NUMBER
Such notices will be deemed effective when personally delivered or successfully transmitted by facsimile as evidenced by a fax confirmation slip or when mailed, forty-eight (48) hours after deposit with the United States Postal Service, first class postage prepaid and addressed to the Party at its applicable address.
6.5 COOPERATION; FURTHER ACTS : The Parties will fully cooperate with one another and will take any additional acts or sign any additional documents as are reasonably necessary, appropriate or convenient to achieve the purposes of this Agreement.
15 6.6 SUBCONTRACTING: CONSULTANT will not subcontract any portion of the Work required by this Agreement, except as expressly stated herein, without the prior written approval of CITY. Subcontracts (including without limitation subcontracts with subconsultants), if any, will contain a provision making them subject to all provisions stipulated in this Agreement, including provisions relating to insurance requirements and indemnification.
6.7 CITY’S RIGHT TO EMPLOY OTHER CONSULTANTS: CITY reserves the right to employ other contractors in connection with the various projects worked upon by CONSULTANT.
6.8 PROHIBITED INTERESTS: CONSULTANT warrants, represents and maintains that it has not employed nor retained any company or person, other than a bona fide employee working solely for CONSULTANT, to solicit or secure this Agreement. Further, CONSULTANT warrants and represents that it has not paid, nor has it agreed to pay any company or person, other than a bona fide employee working solely for CONSULTANT, any fee, commission, percentage, brokerage fee, gift or other consideration contingent upon or resultin g from the award or making of this Agreement. For breach or violation of this warranty, CITY will have the right to rescind this Agreement without liability. For the term of this Agreement, no member, officer or employee of CITY, during the term of his or her service with CITY, will have any direct interest in this Agreement, or obtain any present or anticipated material benefit arising therefrom.
6.9 TIME IS OF THE ESSENCE: Time is of the essence for each and every provision of this Agreement.
6.10 GOVERNING LAW AND VENUE : This Agreement will be interpreted and governed according to the laws of the State of California. In the event of litigation between the Parties, the venue , without exception, will be in the Los Angeles County Superior Court of the State of California. If, and only if, applicable law requires that all or part of any such litigation be tried exclusively in federal court, the venue, without exception, will be in the Central District of California located in the City of Los Angeles, California.
6.11 ATTORNEYS’ FEES: If either Party commences an action against the other Party, legal, administrative or otherwise, arising out of or in connection with this Agreement, the prevailing Party in such litigation will be entitled to have and recover from the losing Party reasonable attorneys’ fees and all other costs of such action.
6.12 SUCCESSORS AND ASSIGNS : This Agreement will be binding on the successors and assigns of the Parties.
6.13 NO THIRD-PARTY BENEFIT: There are no intended third -party beneficiaries of any right or obligation assumed by the Parties. All rights and benefits under this Agreement inure exclusively to the Parties.
6.14 CONSTRUCTION OF AGREEMENT : This Agreement will not be construed in
16 favor of, or against, either Party but will be construed as if the Parties prepared this Agreement together through a process of negotiation and with the advice of their respective attorneys.
6.15 SEVERABILITY: If any portion of this Agreement is declared invalid, illegal, or otherwise unenforceable by a court of competent jurisdiction, the remaining provisions will continue in full force and effect.
6.16 AMENDMENT; MODIFICATION: No amendment, modification or supplement of this Agreement will be valid or binding unless executed in writing and sig ned by both Parties, subject to CITY approval. The requirement for written amendments, modifications or supplements cannot be waived and any attempted waiver will be void and invalid.
6.17 CAPTIONS: The captions of the various articles, sections and paragraphs are for convenience and ease of reference only, and do not define, limit, augment, or describe the scope, content, or intent of this Agreement.
6.18 INCONSISTENCIES OR CONFLICTS : In the event of any conflict or inconsistency between the provisions of this Agreement and any of the exhibits attached hereto, the provisions of this Agreement will control.
6.19 ENTIRE AGREEMENT : This Agreement, including all attached exhibits , constitutes the entire, complete, final and exclusive expression of the Parties with respect to the matters addressed herein and supersedes all other agreements or understandings, whether oral or written, which may have been entered into between CITY and CONSULTANT prior to the execution of this Agreement. Any statements, representations, or other agreements, whether oral or written, made by either Party that is not embodied herein will not be valid or binding on the Parties. No amendment, modification or supplement to this Agreement will be valid and binding unless in writing and duly executed by the Parties pursuant to Section
6.16, above.
6.20 FORCE MAJEURE: The Term shall be extended in the event of any delays due to unforeseeable causes beyond the control of CONSULTANT and without the fault or negligence of CONSULTANT, including but not limited to severe weather, fires, earthquakes, floods, epidemics, quarantine restrictions, riots, strikes, freight embargoes, wars, litigation, and/or acts of any governmental agency, including the CITY. CONSULTANT shall within three (3) calendar days of the commencement of such delay notify the City Representative in writing of the c auses of the delay.
The City Representative shall ascertain the facts and the extent of delay and extend the time for performing the services for the period of the enforced delay when and if in the judgment of the City Representative such delay is justified. The City Representative’s determination shall be final and conclusive upon the parties to this Agreement. In no event shall CONSULTANT be entitled to recover damages against the CITY for any delay in the performance of this Agreement, however caused, CONSULTANT’s sole remedy being extension of the Agreement pursuant to this Section.
17 6.21 COUNTERPARTS: This Agreement may be executed in any number of counterparts, each of which shall be deemed an original, but all of which when taken together shall constitute one and the same instrument. No handwritten or typewritten amendment, modification or supplement to any one counterpart will be valid or binding unless made to all three counterparts in conformity with Section
6.16, above. One fully executed original counterpart will be delivered to CONSULTANT and two original counterparts will be retained by CITY.
(SIGNATURES ON NEXT PAGE)
18 IN WITNESS WHEREOF, the Parties hereto have caused this Agreement to be executed the day and year first appearing in this Agreement, above.
CITY OF BELL GARDENS:
By:_______________________________
Name:____________________________
Title:____________________
Date:_____________________
APPROVED AS TO FORM:
By:____________________________
Stephanie Vasquez, City Attorney
CONSULTANT NAME:
By:_______________________________
Name:____________________________
Title:____________________
Date:_____________________
19 EXHIBIT “A”
CITY RFP
20 EXHIBIT “B”
CONSULTANT PROPOSAL
20 EXHIBIT “B”
CONSULTANT PROPOSAL
309 Pine Avenue | Long Beach, CA 90802
mnsengineers.com
City of Bell Gardens
Request For Proposals (RFP)
2025-2030 CDBG/PLHA
Administration Services
PRIME CONSULTANT MNS ENGINEERS, INC.
LOCAL OFFICE
309 Pine Avenue
Long Beach, CA 90802
PROJECT CONTACT Damien Delany, Housing Practice Lead
310.408.5052 Mobile | [email protected]
April 14, 2025
BELL GARDENS , CA
309 Pine Avenue | Long Beach, CA 90802
mnsengineers.com
April 14, 2025
Ms. Mona Mossayeb
City of Bell Gardens
7100 Garfield Avenue
Bell Gardens, CA 90201
Subject: 2025-2030 CDBG/PLHA Administration Services
Dear Ms. Mossayeb,
MNS Engineers, Inc. (MNS) is pleased to submit this proposal to provide Professional Services for Grant Administration Services to the City of Bell Gardens (City). Specifically, MNS offers Community Development Block Grant (CDBG) and Permanent Local Housing Allocation (PLHA) program administrative services. This proposal is based on the information in the City’s Request for Proposals (RFP), as well as our familiarity with the applicable Los Angeles County Development Authority (LACDA) and Housing Community Development (HCD) regulations and our considerable experience in performing grant administration and compliance monitoring for cities across California.
MNS is well-versed in CDBG grants and PLHA program administration. Our team is comprised of qualified individuals who have demonstrated experience with the community and housing development programs. Our staff can apply for formula allocations in the 36 month timeline. We can provide PLHA services for five years including fiscal year 2025/2026 through fiscal year 2029/2030.
Executive Summary
Established in 1962, MNS is a C-Corporation that provides professional consulting services to municipalities throughout California. Our company specializes in the housing services, which include federal, state, and local program administration, below market rate housing, and PLHA programming.
In addition to this service line, MNS has recently expanded to add planning services, including community planning, environmental compliance (CEQA/NEPA), regulatory permitting, entitlement, overload agency staffing services, municipal finance, and housing services. MNS is supported by our Southern California office in Long Beach. MNS professionals can truly be on call to meet the City's needs on any given day. MNS has assembled a team of experienced agency planners to provide the city with cost-efficient and responsive housing services. The MNS Planning Team has successfully managed on-call planning services contracts for numerous cities and counties and is experienced in providing housing services.
Our Community Housing team is particularly skilled in grant administration, boasting of a team with a collective 80+ years of experience, with a strong focus on CDBG, Community Development Block Grant Cares Act (CDBG-CV), Home Investment Partnership Act program (HOME), Home Investment Partnership American Rescue Plan Program (HOME ARP), and the PLHA programs. We also have expertise and experience in preparing 5-year Consolidated Plans with associated First Year Annual Action Plans and Analysis of impediments to Fair Housing Choice.
Specifically, our staff has experience with HCD’s Permanent Local Housing Allocation Program and LACDA’s CDBG program. This experience includes detailed documentation, timely submissions, seamless coordination, effective
LEGAL NAME
MNS Engineers, Inc.
FIRM OWNERSHIP TYPE
C-Corporation
YEAR FIRM ESTABLISHED
1962
CALIFORNIA DEPARTMENT OF
INDUSTRIAL RELATIONS
State of Incorporation: California
DIR No. 1000003564
CORPORATE OFFICE
201 N. Calle Cesar Chavez,
Suite 300
Santa Barbara, CA 93103
805.692.6921 Office/Fax
mnsengineers.com
LOCAL OFFICE
309 Pine Avenue
Long Beach, CA 90802
PROJECT CONTACT
Damien Delany
Housing Practice Lead
310.408.5052
[email protected]
AUTHORIZED SIGNATURE
Peter Minegar, AICP
Vice President, Planning
951.326.8522
[email protected]
309 Pine Avenue | Long Beach, CA 90802
mnsengineers.com
consultations, productive meetings, thorough reviews, and all necessary steps to ensure full compliance with federal and state requirements. Our team's experience spans every phase of HCD and LACDA funded projects, from initial grant applications to final report submission, ensuring that all financial and performance reports are accurately completed and submitted on time. The team assembled for the City of Bell Gardens has over five years of experience in grants administration funding. We have put together a team of three Housing Specialists and two Community Development Planners.
Conflict of Interest Statement
MNS Engineers, Inc. declares that we have no conflicts of interest related to the 2025-2030 CDBG/PLHA Administration Services scope of services as outlined in the RFP. No employee or public administrator in the City of Bell Gardens has personal financial interest in contracts with MNS, as per Government Code Section 1090.
MNS appreciates the opportunity to submit the proposal and looks forward to providing grant administration services to the City of Bell Gardens. The proposal is signed by Peter Minegar, AICP, who is authorized to bind MNS to all the commitments made in the proposal. If you have any questions regarding the proposal, please contact Damien Delany at 310.408.5052 or [email protected].
MNS is well-equipped to manage all phases of state and federally funded projects with confidence and accuracy. MNS has proven experience in programming activities—we will also explore potential funding sources to secure matching funds to maximize the City's PLHA allocation. Finally, we will carefully review the application deadlines and will submit them to HCD and LACDA well in advance to avoid last-minute issues. We believe the services offered by MNS will fulfill the City’s needs in an efficient, task-oriented, and cost-effective manner. The proposal has been signed by the individual authorized to represent and bind MNS, and we are unaware of any conflict of interest in MNS performing the work requested by the City. This submittal is valid for 120 days. If you have any questions regarding this submittal, please contact Damien Delany at 562.200.7177, or [email protected].
Sincerely,
MNS Engineers, Inc.
Damien Delany Peter Minegar, AICP
Housing Practice Lead Vice President - Planning
City of Bell Gardens
2025-2030 CDBG/PLHA Administration Services
Page | 4
Table of Contents
Proposer’s Qualifications and Staffing _____________________________________________________________ 5 Project Approach ___________________________________________________________________________ 5 Task 1: Preparation and Submission of Request for Funds and Mandatory Reports ______________________ 5 Task 2: CDBG and PLHA Program Administration ________________________________________________ 5 Task 3: Preparation and Submission of Reporting ________________________________________________ 7 Task 4: Commitment Document Review ________________________________________________________ 7 Task 5: Quality Assurance __________________________________________________________________ 7 Staffing ___________________________________________________________________________________ 8 Office Location and Accessibility to the City ________________________________________________________ 15 Professional References _______________________________________________________________________ 16 Proposer Representation ____________________________________________________________________ 16 Client References __________________________________________________________________________ 16 Cost and Pricing _____________________________________________________________________________ 17 Pending Litigation ____________________________________________________________________________ 18 Insurance __________________________________________________________________________________ 19 Appendix: 2025 MNS Rate Schedule _____________________________________________________________ 20
City of Bell Gardens
2025-2030 CDBG/PLHA Administration Services
Page | 5
Proposer’s Qualifications and Staffing
Our staff is well versed in Community Development Block Grant Program funding and Permanent Local Housing Allocation Programs. We understand the respective programs’ policies and procedures providing meticulous oversight of all aspects of CDBG and PLHA administration. This includes detailed documentation, timely submissions, seamless coordination, effective consultations, productive meetings, thorough reviews, and all necessary steps to ensure full compliance with federal and state requirements. Our team's experience spans every phase of LACDA and HCD funded projects, from initial grant applications to final report submission, ensuring that all financial and performance reports are accurately completed and submitted on time.
The team assembled for the City of Bell Garden five years of experience grant administration housing programs. We have put together a team of four housing specialists and one labor compliance officer. Our staff regularly attend state and federal webinars to keep current with changes in regulations to ensure that all projects are in keeping with the most up-to-date parameters. MNS has proven experience in programming activities we will also explore potential funding sources to secure matching funds to maximize the City's PLHA allocation. Finally, we carefully review the application deadlines and will submit to HCD well in advance to avoid last-minute issues.
Project Approach
To administer a PLHA, a local government must apply for funding through the state agency responsible usually the Department of Housing and community development develop a comprehensive housing plan outlining how the funds will be used for affordable housing projects comply with eligibility requirements regularly monitor project progress and submit detailed reports on expenditures and outcomes all while adhering to the program guidelines and regulations set by the state agency
Task 1: Preparation and Submission of Request for Funds and Mandatory Reports To request funding for a PLHA program, the City of Bell Gardens needs to submit a comprehensive application through the LACDA online portal including detailed information about the proposed housing project, target population, budget breakdown, and how the funds will be used to address local housing needs while strictly adhering to the PLH guidelines and application deadlines outlined in the Notice Of Funding Availability (NOFA) document.
MNS can submit the application to the City of Bell Gardens to secure funding through.
MNS will review the current PLHA NOFA to ensure that the program falls within the eligibility requirement, eligible activities, funding allocation formula, and application deadlines.
Task 2: CDBG and PLHA Program Administration
The project plan MNS will develop, in collaboration with the City , will include the identification of how CDBG and PLHA program funding will be used within the parameters of eligible activities. Our team is well versed in Housing Element program development and implementation, and we will conduct a thorough review of the City's Housing Element programs, identifying programs that could be advanced and implemented with CDBG and PLHA funds. The plan can provide a framework to manage all activities related to the successful administration of the following four projects:
• Bell Gardens Veterans Park Restroom Replacement (CDBG) • The Bell Gardens Ford Park Aquatic Center (CDBG)
• Rental Assistance Program (PLHA)
• Homeless Services (PLHA)
The resulting project plan will be consistent with the types of programs, policies, and goals in the City's Housing Element and will seek to prioritize Housing Element program implementation.
City of Bell Gardens
2025-2030 CDBG/PLHA Administration Services
Page | 6
PLHA Program
We will conduct expenditure breakdowns by activity including the award amount and drawdowns MNS will in conjunction with the city create a detailed budget that itemizes all project cost including acquisition construction rehabilitation operating expenses and administrative costs. We are able to also address the required information for:
• Unit mix
• Funding sources
• Scope of work
Part of the requirements for the PLHA reports are demonstrating community engagement and outreach. MNS will demonstrate community support by including letters of support from local organizations, community leaders and potential residents, as well as recount the outreach and engagement feedback from the housing element process.
MNS will ensure projects within the plan are compliant with applicable state and local regulations regarding affordable housing development. In keeping with PLA requirements MNS will ensure the target population is comprised of households at or below 60% of the AMI
MNS will compose narratives for PLHA eligible projects that describe project goals objectives and how it will address local housing needs including the rationale for selecting the proposed site(s) project(s).
CDBG Program
MNS will provide technical assistance to administer the City's CDBG grant programs. The consulting and technical assistance will be comprehensive and include:
1. Reviewing and developing documents, subrecipient agreements, policy and procedure manuals, program forms, protocols, processes, and monitoring procedures to improve grant management performance.
MNS will provide technical assistance to administer the city's CDBG programs. CDBG Administration tasks will include:
a. Performing general program administration and coordinating with LACDA b. Updating project eligibility cover sheets
c. Participating in and responding as necessary to requests for comments on any other CDBG plans and reports
d. Support capital improvement projects
e. Preparing labor compliance reports (Davis-Bacon, BABA, W/MBE, etc.), environmental assessments and financial reports as necessary
City of Bell Gardens
2025-2030 CDBG/PLHA Administration Services
Page | 7
Task 3: Preparation and Submission of Reporting
PLHA
MNS will assist the City with the preparation and submission of the Annual Progress Report. The City is required to submit to HCD the Annual Progress Report (or APR) required by General Code section 65400. The APR must be completed and submitted to the HCD.
The PLHA Annual Report is due on or before July 31st of each reporting year. We will complete the PLHA Annual Report Form and, if needed, the PLHA Budget Revision Form, and ensure the reports, pursuant to HSC Section 50470(b)(2)(B)(ii)(III), will be submitted by July 31 of each program year. We will regularly monitor project progress, track expenditures, and submit reports to HCD demonstrating compliance. We will also audit the program to address any concerns, such as uncommitted funding.
CDBG
The MNS Housing team has experience in the report writing of the Annual Action Plan (AAP) for LACDA grantees.
The AAP outlines the City of Bell Gardens’ current priorities, strategies, and actions in support of development goals.
The reports MNS has prepared for grantees explains how program funding will be applied to qualified entities that were selected by the City of Bell Gardens during the Notification of Funding Availability (NOFA) to carry out the goals outlined in the City’s Consolidated Plan. We have experience in writing AAPs that includes the allocated funding for the coming program year, estimates of other resources expected for the year, program objectives, goals, and planned operations for allocated LACDA funding.
Our team also has experience in writing Consolidated Annual Performance and Evaluation Reports (CAPERs) for grantees. CAPERs are year-end reporting on how CDBG grant funding was spent for the fiscal year. Grantees must report on accomplishments and progress towards Consolidated Plan goals through this report. MNS can complete the City’s CAPER for their program year.
Task 4: Commitment Document Review
In HCD Guidelines for PLHA funding, section 300e states that an applicant shall not be eligible to receive new allocation of PLHA funds if it has an uncommitted amount of formula PLHA funds. MNS will conduct a full document review for applicable funding committed by fiscal year to ensure continued PLHA funding allocation.
Task 5: Quality Assurance
For CDBG and PLHA administration, MNS will offer the City weekly or bi-weekly meetings to review the progress of each of the projects. This allows us to course correct should any changes or concerns arise from the city staff.
Additionally, all reports that are to be submitted to LACDA and/or HCD are reviewed by the Project Manager (first draft and final version) and the Housing Practice Lead (final version). We will also submit at least one draft version for the City’s review of any documentation we produce, before a final version is approved.
City of Bell Gardens
2025-2030 CDBG/PLHA Administration Services
Page | 8
Staffing
The MNS Project Team assembled for this project has over 80+ years of combined experience and knowledge regarding HCD funded programs, LACDA grant management, and Labor Compliance services. We are proposing a team that has proven to be able to execute large-scale projects including multiple jurisdiction deadlines.
Overseeing the team will be Damien Delany, Housing Practice Lead. Damien will oversee both the CDBG and PLHA program for the City of Bell Gardens.
The proposed team members include:
• Joyce Lee, Housing Project Manager
o Role: CDBG program administrator
• Sandra Lee, Labor Compliance Officer
o Role: Davis Bacon reports, Labor Compliance for all funded projects • Estella Wells, Housing Associate
o Role: PLHA Associate
• Noor Jafar, Housing Associate
o Role: CDBG and PLHA program assistance
City of Bell Gardens
2025-2030 CDBG/PLHA Administration Services
Page | 9
Damien Delany
Housing Practice Lead
Mr. Delany has over 40 years of experience in the planning field. He has served as project manager for many community development projects in Southern California. Damien has coordinated the work of technical staff and subconsultants and administered Community Development Block Grant
(CDBG), Home Investment Partnerships (HOME), Affordable Housing Programs, Economic Development Programs,
CARES Act programs, and other state/federal grant-funded projects and programs. His experience includes, but is not limited to:
City of Norwalk. Responsible for administering the City’s CDBG and HOME programs with funding received from US
Department of Housing and Urban Development (HUD) such
as the First Time Home Buyer program, Residential
Rehabilitation Program, update of Policies and Procedures and general grants administration.
City of Redondo Beach. Responsible for administering the City’s annual CDBG grant received from US Department of Housing and Urban Development (HUD), performing labor
standards compliance, monitoring subrecipients and
managing CDBG-funded mobility access and home repair
grant programs.
City of Huntington Park. Responsible for the administration of the City’s PLHA program. This includes assisting the City with application for funding, development of a comprehensive housing plan outlining how the funds will be used for
affordable housing projects and ensuring compliance with eligibility requirements. Damien also oversees regular
monitoring of project progress and submitting detailed reports on expenditures and outcomes; all while adhering to the program guidelines and regulations set by HCD.
Firm
MNS Engineers, Inc.
Areas of Expertise
Project management
Community development
Planning
eCon Planning Suite
HUD regulations
Years of Experience
40
Education
BS, Regional Development and Urban Planning,
University of Arizona
Masters Certificate, Applied Program Management,
Villanova University
Professional Development
IDIS Reporting
Basically CDBG
Building HOME Partnership Training
Affiliation(s)
National Association of Housing and Redevelopment
Officials
City of Bell Gardens
2025-2030 CDBG/PLHA Administration Services
Page | 10
Joyce Lee
Housing Project Manager
Ms. Lee worked in local government and for the higher education industry for three years before transitioning into a housing and community development consultant. Joyce has worked on various projects including mixed-use redevelopment, green placemaking, and community engagement activities. In her capacity as a Project Manager, she has developed and administered various US
Department of Housing and Urban Development funded programs using both CDBG and HOME grants. Her experience includes:
City of Redondo Beach. Responsible for administration of CDBG funds. Developed the COVID-19 Business Assistance Program for small businesses affected by COVID-19. Prepare CAPER, AAP, Consolidated Plan, and Analysis of Impediments to Fair Housing Choice. Prepare staff reports, presentation materials, and public notices. Present at City Council hearings for approval of HUD-related reports. Conduct monitoring of all CDBG subrecipients and present results to City staff. Act as a liaison between City residents and contractors for their Mobility Access and Emergency Repair Program.
Prepare work write-ups, bids, invoices. Assist homeowners with any questions regarding the program. Prepare CDBG Policies and Procedures to guide future program funding.
City of Norwalk. Responsible for administration of CDBG and CARES Act funds. Assist the City with their Economic Recovery Stimulus Program, which provides zero-interest loans and possible grants to small businesses affected by COVID-19. Consult on CDBG process for Economic Development and Housing. Provide presentation material, public notices, and staff reports for City Council meetings. Conduct monitoring of CDBG and HOME funded activities to ensure subrecipient organizations are meeting all HUD regulations and provide recommendations to City staff.
Prepare Consolidated Annual Performance and Evaluation Report (CAPER) and Annual Action Plan (AAP) for CDBG and HOME funds. Responsible for the development of the Consolidated Plan and Analysis of Impediments to Fair Housing Choice.
City of Huntington Park. Responsible for the administration of the City’s PLHA program. This includes assisting the City with application for funding, development of a comprehensive housing plan outlining how the funds will be used for affordable housing projects and ensuring compliance with eligibility requirements. Damien also oversees regular monitoring of project progress and submitting detailed reports on expenditures and outcomes; all while adhering to the program guidelines and regulations set by HCD. Assist the City in HUD audits. Review all documentation for GDX submittal. Work with City staff to prepare and identify correct documentation. Assist the City in responding to HUD notifications and submittal for audits.
City of Norco. Assist the City with administering their Residential Rehabilitation Program. Review applications for eligibility and schedule contractor walkthroughs. Assist homeowners and determine eligibility for their Utility Assistance Program, which provides discounts to seniors or persons with disabilities.
City of Lomita. Responsible for assisting with the management of the Lomita Manor Senior Housing Project, a conventional public housing project, and compliance with all HUD-related reporting requirements. Assist the City with administering their Residential Rehabilitation Program, which includes communication between the homeowners and contractors, processing of contractor invoices, answering program-related questions from residents, and preparing bids for homeowner review.
Firm
MNS Engineers, Inc.
Areas of Expertise
Project management
Community development
Years of Experience
6
Education
BA, Urban Studies and Planning, University of
California, San Diego
City of Bell Gardens
2025-2030 CDBG/PLHA Administration Services
Page | 11
City of Anaheim Assist the City’s Economic Development Department to review and track Surplus Land Act (SLA) legislation. Determine if city-owned land is subject to SLA or can be declared exempt surplus. Determine processes for disposition or land retained for city use. Prepare staff reports, presentations, and administrative reports for City council. Provide business assistance connecting business owners, realtors, brokers to internal and external partners.
Provide site selection/opportunity site, business concierge service, streamlined permit assistance, and business license assistance. Review leases for current obligations for amendments or upcoming contracts.
City of Santa Ana Assist the City in developing two COVID-19 business assistance programs. Determine eligibility of applicants and provide weekly updates to city staff. Ensure all program documentation was submitted prior to receival of grant.
City of Pasadena Conduct land use surveys for the City of Pasadena. Review zoning codes to determine if current business application use is allowed. Surveys were specific to Cannabis-related businesses.
City of Bell Gardens
2025-2030 CDBG/PLHA Administration Services
Page | 12
Sandra Lee
Labor Compliance Officer
As a Labor Compliance Officer, Ms. Lee has provided
various public agencies such as cities, counties, and housing authorities with quality project compliance monitoring and reporting services. Sandra has maintained professional
relationships with public agencies that remain as clients for many years. Her experience includes:
City of Hawaiian Gardens. Various Street Rehabilitation and ADA Ramp Installation project throughout the City of Hawaiian Gardens. The project total costs from $120K -
$300K. Projects were funded with HUD CDBG funds through LACDA. Sandra provided federal and state Labor
Compliance monitoring and reporting services to the City as well as preparing project files to be LACDA audit ready and represent the City during audits. All projects were cleared by LACDA.
City of Lawndale. Street Rehabilitation and ADA Ramp
Installation project throughout the City of Lawndale. The project total costs from $330K - $2M and funded with HUD CDBG funds through LACDA. Sandra provided federal and
state Labor Compliance monitoring and reporting services to the City as well as preparing project files to be LACDA audit ready and represent the City during audits. All projects were cleared by LACDA.
City of Torrance. Street Rehabilitation and ADA Ramp
Installation project throughout the City of Torrance. The project total costs from $330K - $1M funded with HUD
CDBG funds through LACDA. Sandra provided federal and
state Labor Compliance monitoring and reporting services to the City as well as preparing project files to be LACDA audit ready and represent the City during audits. All projects were cleared by LACDA.
City of San Leandro. Serving as the Labor Compliance Officer for various federal, state, and local funded projects.
Monitoring federal and state prevailing wage, Section 3 rules, and outreach, and preparing HUD reports.
City of Long Beach. Serving as the Labor Compliance Officer for various federal, state, and local funded projects.
Monitoring federal and state prevailing wage, Section 3 rules, and outreach, and preparing HUD reports.
City of Oxnard. Serving as the Labor Compliance Officer for various federal, state, and local funded projects.
Monitoring federal and state prevailing wage, Section 3 rules, and outreach, and preparing HUD reports.
City of Norwalk. Serving as the Labor Compliance Officer for various federal, state, and local funded projects.
Monitoring federal and state prevailing wage, Section 3 rules, and outreach, and preparing HUD reports.
City of Torrance. Serving as the Labor Compliance Officer for various federal, state, and local funded projects.
Monitoring federal and state prevailing wage, Section 3 rules, and outreach, and preparing HUD reports.
City of Redondo Beach. Serving as the Labor Compliance Officer for various federal, state, and local funded projects. Monitoring federal and state prevailing wage, Section 3 rules, and outreach, and preparing HUD reports.
Firm
MNS Engineers, Inc.
Areas of Expertise
Federal and State Labor Compliance
Federal and State Prevailing Wage requirements
HUD Section 3 Rules, Goals, and Outreach Efforts
Project Labor Agreement
Continuity of Work Agreement
Years of Experience
13
Education
BS, Urban and Regional Planning, California State
Polytechnic University, Pomona, CA
AS, Architectural Technology: Design and Drafting,
Orange Coast Community College, CA
City of Bell Gardens
2025-2030 CDBG/PLHA Administration Services
Page | 13
Estella Wells
Housing Planner
Ms. Wells has 20 years of housing and project
management experience. Her projects consist of the
monitoring of affordable housing units. Estella’s key
strength is the ability to demonstrate knowledge of HOME, Neighborhood Stabilization Program, and Tax Credit
compliance monitoring including the understanding of any other Federal, State, or local programs applicable to
Housing and Economic Development. She has assisted
multiple municipalities to meet their regulatory compliance requirements and affordable contractual housing goals.
Her experience includes:
County of Riverside. Contract staff preparing
Assessment of Fair Housing report and conducting
community engagement outreach.
City of Monterey. Contract staff overseeing the annual
monitoring for the City’s Below-Market Rate Program for 23 rental properties.
City of Huntington Park. Contract staff overseeing the
applicant qualifications of the Huntington Park Emergency Rental Assistance and Home Repair Programs.
County of San Bernardino. Contract staff overseeing the annual monitoring for the County’s Below- Market Rate
Program for 23 rental properties.
City of Norwalk. Contract staff overseeing the applicant qualifications of the Huntington Park Emergency Rental Assistance and Home Repair Programs.
City of Chowchilla. Contract staff overseeing updates to the policies and procedures of an economic development small business development grant program.
City of San Bernardino. Served as Housing Compliance Specialist monitoring, inspecting, and ensuring compliance of 34 affordable housing communities comprised of over 1,072 City funded affordable units.
Implemented Division policies and procedures to ensure timely delivery of housing services and related programming compliance with federal, state, and local laws. Functioned as a liaison between Housing staff and senior management assisting with workflow coordination.
County of San Bernardino. Served as an Economic and Community Development Analyst II monitoring the implementation of the Emergency Solutions Grant program. Prepared funding applications, Consolidated Annual Performance, and Annual Budget reports and other planning documents. Coordinated and monitored subrecipient activities to ensure compliance with funding sources. Researched, prepared, and reviewed requests for proposals, and funding applications. Performed budgetary analysis and ensured adherence to applicable regulations.
Riverside County Economic Development Agency. Monitored over 90 HOME, Redevelopment Agency (“RDA”), Community Development Block Grant (“CDBG”), Neighborhood Stabilization (“NSP”), and BOND County funded housing projects to ensure compliance with federal and state regulations and regulatory agreements.
Ensured that affordable rent was being charged to tenants who were in income and rent restricted units.
Conducted semiannual review of reports, insurance records, and included unit inspections. Developed and facilitated Monitoring Compliance Workshops designed for property owners and property management personnel.
Firm
MNS Engineers, Inc.
Areas of Expertise
Project management
Planning
HUD regulations
Years of Experience
20
Education
MA, Leadership and Organizational Studies, California Baptist University, Riverside, CA
BA French, University of Alabama, Tuscaloosa, AL
Professional Affiliations(s)
American Planning Association
City of Bell Gardens
2025-2030 CDBG/PLHA Administration Services
Page | 14
Noor Jafar
Housing Planner
Ms. Jafar has a background in social work and assisting marginalized populations in accessing housing through a variety of federally funded programs, Noor is committed to promoting equitable housing choices for all. She is fluent in Arabic and has developed an expertise in data analysis, community
engagement, and drafting housing reports. Her experience includes:
City of Orange. Developed program guidelines for the City’s HOME TBRA security deposit assistance program and aided in streamlining the application process through the Neighborly online portal.
City of Redondo Beach. Gathered quantitative data from diverse sources, including the American Community Survey (ACS), HUD, Trulia, and others. Compiled findings into an Analysis of Impediments using relevant research on federal and state laws as well as including specific City insights such as local zoning ordinances, transportation options, and essential resources for residents.
City of Seaside. Collected data from the American Community Survey (ACS), HUD, Trulia, and other relevant sources.
Consolidated the findings into an Analysis of Impediments, integrating pertinent research on federal and state laws, and incorporating specific City insights like local zoning regulations, transportation options, and key resources for residents.
The State of California Department of Housing and Community Development. Completed data analytics for the Market Analysis portion of the State’s 2025-2029 Consolidated Plan.
San Bernardino County. Soda Mountain Solar Project. Researched and collected ACS, HUD, and other data on neighboring towns from where the construction site was located for socioeconomic impact reports.
Firm
MNS Engineers, Inc.
Areas of Expertise
Data research and collection
Affordable housing
Years of Experience
3
Education
BA, Psychology and Human Resource
Management, Rutgers School of Arts and Science
City of Bell Gardens
2025-2030 CDBG/PLHA Administration Services
Page | 15
Office Location and Accessibility to the City
Our staff works both remotely and from our Long Beach office at 309 Pine Avenue, Long Beach, CA 90802. We are located 16 miles from the City of Bell Gardens City Hall and can reach the City via a direct route through Interstate 710.
City of Bell Gardens
2025-2030 CDBG/PLHA Administration Services
Page | 16
Professional References
Proposer Representation
Damien Delany, Housing Practice Lead
Damien Delany has over 40 years of experience in the planning field. He has served as project manager for many community development projects in Southern California. Mr. Delany has coordinated the work of technical staff and subconsultants and administered Community Development Block Grant (CDBG), Home Investment Partnerships (HOME), Affordable Housing Programs, Economic Development Programs, CARES Act programs, and other state/federal grant-funded projects and programs.
Client References
Name of Agency Contact: Name/ Address/Phone/ Email Project City of Norwalk
(2017-present)
Rosio Medina
12700 Norwalk Boulevard
Norwalk, CA 90650
562.929.5952
[email protected]
CDBG Administration, CAPER,
Annual Action Plans, Homeowner
programs
City of Orange
(2020-present)
Jessica Herrera
300 E Chapman Avenue
Orange, CA 92866
714.744.7270
[email protected]
CDBG and HOME program
administration including the
preparation of the 2025-2029
Consolidated Plan and First Year
Annual Action Plan, the 2023-24
CAPER, environmental review,
labor compliance, and as-needed
staff support and technical
assistance.
City of Anaheim
(2020-present)
Sergio M. Ramirez
200 S. Anaheim Boulevard
Anaheim, CA 92805
714.765.4627
[email protected]
Administration of HUD funding for
economic development projects.
City of San Bernardino
(2019-2024)
Trina Perez
290 N D Street
San Bernardino, CA 9240
909.384.5135
[email protected]
CDBG Administration, CAPER,
Annual Action Plans, HOME and
HOME ARP programs
City of Bell Gardens
2025-2030 CDBG/PLHA Administration Services
Page | 17
Cost and Pricing
The feel proposal below includes all costs and expenses related to photocopying, postage, travel, etc. MNS will complete all task without the use of subconsultants. The cost and pricing is for one year of services, with a 5% increase for each year following. The total not to exceed for year one is $55,100.
Cost Proposal for CDBG/PLHA City of Bell Gardens
CDBG administrative services $25,100
PLHA services $30,000
Total $55,100
City of Bell Gardens
2025-2030 CDBG/PLHA Administration Services
Page | 18
Pending Litigation
Not applicable
City of Bell Gardens
2025-2030 CDBG/PLHA Administration Services
Page | 19
Insurance
City of Bell Gardens
2025-2030 CDBG/PLHA Administration Services
Page | 20
Appendix: 2025 MNS Rate Schedule
CITY OF BELL GARDENS
OFFICE OF THE CITY MANAGER
EXECUTIVE SUMMARY
TO:Honorable Mayor and City Council Members
FROM: Michael B. O’Kelly, City Manager
BY:Bernardo Iniguez, Director of Public Works/Facilities Douglas Benash, P.E., City Engineer
SUBJECT:Consideration of Award of Construction Contract for the Various Residential Street Improvements, FY 2024/2025 (CIP No. 3940) MEETING DATE:June 9, 2025
RECOMMENDATION: It is staff’s recommendation that the City Council:
1. Award a Construction Contract to Hardy & Harper, Inc. in the amount of $1,560,752.00 for the Various Residential Street Improvements, FY 2024/2025 (CIP No. 3940);
2. Authorize the City Manager to execute the Construction Contract and approve change orders that may be necessary during construction to cover any unforeseen condition in an amount not to exceed 10% of the construction contract; and
3. Appropriate an additional $200,000 in Measure M funds, $303,000 in Measure R funds, and $250,000 in Prop C funds to cover all construction and project management costs, including contingency.
BACKGROUND/DISCUSSION:
On February 24, 2025, the City Council approved the plans and specifications and authorized staff to solicit bids for the Various Residential Street Improvements, FY 2024/2025 (the “Project”). The City issued a notice inviting competitive bids for the Project on April 3, 2025. The Project scope of work includes excavation and cold milling of existing asphalt concrete (AC) pavement, removal of AC pavement, reconstruction of AC pavement, reconstruction of sidewalks, driveways, curb ramps, concrete bus pads, and curb and gutter, loop detection installation, adjustment of utility manhole frames and covers to finished grade, striping and markings, construction survey, and material testing.
The general location and limit of the work is as follows:
• Lanto Street from Jaboneria Road to Darwell Avenue
• Foster Bridge Boulevard from Kress Avenue to Emil Avenue • Lubec Street from Marlow Avenue to Eastern Avenue
• El Selinda Avenue from Florence Avenue to Ludell Street • Jaboneria Road from Priory Street to Live Oak Street
• Ira Avenue from Priory Street to Fry Street
• Additive Bid - Alley Between Scout Avenue & Gilliand Avenue from Gotham Street to Emil Avenue
On April 29, 2025, the City received a total of (6) bid proposals for this project, as illustrated below:
Bidders Base Bid Amount Additive Bid “A”
Sequel Contractors, Inc. $978,269.35 $435,098.50
Hardy & Harper, Inc. $1,077,260.00 $483,492.00
Onyx Paving Co., Inc. $1,087,000.00 $357,000.00
All American Asphalt $1,177,172.00 $691,422.00
Palp, Inc. DBA Excel Paving $1,128,751.40 $559,883.00
LCR Earthwork & Engineering $1,281,390.70 $397,852.00
Staff conducted an analysis of the apparent lowest bidder, Sequel Contractors, Inc. (Sequel). This analysis included a review of their bid schedule, bid bond, license, references, and all required documentation. Sequel’s bid did not include the required Appendix “B,” Department of Industrial Relations (DIR) Contractor Registration Number Form, with its sealed bid. Therefore, Sequel was deemed a non-responsive bidder.
Staff conducted an analysis of the apparent second lowest bidder, Hardy & Harper, Inc. (Hardy & Harper). This analysis included a review of their bid schedule, bid bond, license, references, and all required documentation. Hardy & Harper’s license is current and active, and reference checks revealed that the contractor’s previous projects were completed satisfactorily, with no contractor-initiated change orders. The Contractor submitted all required documents per the bid documents and the DIR Registration was also reviewed and deemed satisfactory. It has been determined that Hardy & Harper is the lowest responsive and responsible bidder.
Therefore, staff recommends award of a construction contract to Hardy & Harper for the base bid amount of $1,077,260.00 and Additive Bid “A” amount of $483,492.00, for a total contract amount of $1,560,752.00.
ENVIRONMENTAL ANALYSIS:
This project has been reviewed in accordance with Section 21084 of the California Public Resources Code required Guidelines for Implementation of the California Environmental Quality Act ("CEQA"). The Guidelines are required to include a list of classes of projects which have been determined not to have a significant effect on the environment, and which are exempt from the provisions of CEQA. In response to that mandate, staff identified classes of projects that do not have a significant effect on the environment and are declared to be categorically exempt from the requirement for the preparation of environmental documents.
In accordance with Section 15301 "Existing Facilities," Class 1 projects consist of operation, repair, and maintenance of existing highways and streets, sidewalks, gutters, bicycle and pedestrian trails, and similar facilities, therefore, the project is considered categorically
exempt from CEQA, and a Notice of Exemption has been prepared and will be filed with the County Clerk’s Office.
CONCLUSION:
If the Construction Contract is awarded, staff will process the contract for signatures and coordinate a pre-construction meeting.
FISCAL IMPACT:
The total estimated construction cost for the base bid and additive bid is $1,560,752, with a 10% contingency for any unforeseen conditions. The total estimated Project cost, including design, construction, and construction management and inspection is $1,998,168.
The City’s FY 24-25 capital improvement budget includes a total budget of $1,245,168 for the Project, consisting of $672,735 in Measure R and $572,433 in Measure M local return funds. Therefore, an additional appropriation of $200,000 in Measure M funds, $303,000 in Measure R funds, and $250,000 in Prop C funds is recommended to cover the $753,000 shortfall.
APPROVED ELECTRONICALLY BY:
Michael B. O'Kelly, City Manager
Stephanie Vasquez, City Attorney
Manuel Carrillo, Director of Finance and Administrative Services
CITY OF BELL GARDENS
CONSTRUCTION CONTRACT
FOR
VARIOUS RESIDENTIAL STREET IMPROVEMENTS, FY 2024/2025
C.I.P. No. 3940
IN THE CITY OF BELL GARDENS
THIS CONSTRUCTION CONTRACT (hereinafter, “Contract”) is made and entered into this ___________ day of 2025 (hereinafter, the “Effective Date”), by and between the CITY OF BELL GARDENS, a municipal corporation (hereinafter, “CITY”) and HARDY & HARPER, INC. (hereinafter, “CONTRACTOR”). For the purposes of this Contract, CITY and CONTRACTOR may be referred to collectively by the capitalized term “Parties.” The capitalized term “Party” may refer to CITY or CONTRACTOR interchangeably as appropriate.
RECITALS
WHEREAS, CITY requires public works construction services for the Various Residential Street Improvements, FY 2024/2025, CIP N o. 39 40 (hereinafter, the “Project”); and
WHEREAS, CITY issued a notice inviting competitive bids for the Project on April 3, 2025; and
WHEREAS, following the opening of bids on April 29, 2025, CONTRACTOR was determined to be the lowest responsive and responsible bidder for the Project.
NOW, THEREFORE, for and in consideration of the mutual covenants and conditions herein contained, CITY and CONTRACTOR agree as follows:
ARTICLE I (CONTRACT DOCUMENTS)
The contract documents for the Project shall consist of the Notice Inviting Sealed Bids, Instructions to Bidders, General Specifications, Standard Specifications, Special Provisions, Plans, and all referenced specifications, details, standard drawings, and appendices, any and all addenda, Proposal, Bidder Information, all required bonds, insurance certificates, this Contract, permits, notices, affidavits and any future supplemental agreements or Contract change orders, as they may be approved by CITY (hereinafter “Contract Documents”). All of the provisions of the Contract Documents are made a part hereof as though fully set forth herein.
ARTICLE II (WORK TO BE PERFORMED)
CONTRACTOR agrees to furnish all tools, equipment, apparatus, facilities, labor, transportation, and material necessary to perform and complete , in a good and workmanlike manner, Project as called for, and in the manner designated in, and in strict conformity with, the Contract Documents. It is understood and agreed that the tools, equipment, apparatus, facilities, labor, transportation, and material shall be furnished and the work performed and completed as required in the Drawings and Specifications under the sole direction and control of the CONTRACTOR, and subject to inspection and approval of the CITY, or its representatives.
ARTICLE III (CONTRACT PRICE)
CITY agrees to pay and the CONTRACTOR agrees to accept, in full payment for the work above agreed to be done, the sum of ONE MILLION FIVE HUNDRED SIXTY THOUSAND SEVEN HUNDRED FIFTY -TWO DOLLARS ($1,560,752) for the Project (hereinafter, the “Bid Price”). CONTRACTOR agrees to receive and accept the prices set forth in the Proposal as full compensation for furnishing all materials, performing all work, and fulfilling all obligations hereunder. Said compensation shall cover all expenses, losses, damages, and consequences arising out of the nature of the work during its progress or prior to its acceptance, including those for well and faithfully completing th e work and the whole thereof in the manner and time specified in the aforesaid Contract Documents; and also including those arising from actions of the elements, unforeseen difficulties or obstructions encountered in the prosecution of the work, suspension or discontinuance of the work, and all other unknowns or risks of any description connected with the work.
As authorized by the City Council at its Regular Meeting of June 9, 2025, and subject to any applicable restrictions set forth under the Bell Gardens Municipal Code as the same may be amended from time to time or applicable State law, CITY, in its sole and absolute discretion, may authorize expenditures in excess of the Bid Price without further City Council approval provided such additional expenditur es do not cumulatively exceed an amount equal to ten percent (10%) of the Bid Price. Any such additional expenditures must be approved by the City Manager in writing before they may be incurred.
ARTICLE IV (NOTICE AND SERVICE THEREOF)
Any notice from one party to the other under the Contract shall be in writing and shall be dated and signed by the party giving such notice or by a duly authorized representative of such party. Any such notice shall not be effective for any purpose whatsoe ver unless served in the following manner, namely:
(a) If the notice is given to the CITY, by personal delivery thereof, or by depositing the same in the United States mail, enclosed in a sealed envelope, postage prepaid, and certified; addressed to the CITY at:
City of Bell Gardens
Public Works Department
Attn: Public Works Director/Facilities
Bell Gardens City Hall
7100 Garfield Avenue
Bell Gardens, CA 90201
(b) If the notice is given to the CONTRACTOR, by personal delivery thereof to said CONTRACTOR or to its duly authorized representative at the site of the project, or by depositing the same in the United States mail, enclosed in a sealed envelope, postage prepaid, and certified; addressed to the CONTRACTOR at:
Hardy & Harper, Inc.
32 Rancho Circle
Lake Forest, CA 92630
Attn: Michael Amundson, Vice President
Phone: 714-444-1851
(c) If the notice is given to the surety or any other person, by personal delivery to such surety or other person, or by depositing the same in the United States mail, enclosed in a sealed envelope, addressed to such surety or other person, as the case may be, at the address of such surety or person last communicated by it to the party giving the notice, postage prepaid and certified.
ARTICLE V (INSURANCE)
A. Prior to the beginning of and throughout the duration of the Project, CONTRACTOR and its subcontractors shall maintain insurance in conformance with the requirements set forth below. CONTRACTOR will use existing coverage to comply with these requirements. If that existing coverage does not meet the requirements set forth herein, CONTRACTOR agrees to amend, supplement or endorse the existing coverage to do so or to procure insurance coverage to satisfy the requirements.
B. CONTRACTOR acknowledges that the insurance coverage and policy limits set forth in this Section constitute the minimum amount of coverage required. Any insurance proceeds available to CONTRACTOR or its subcontractors in excess of the limits and coverage identified in this Contract and which is applicable to a given loss, claim or demand, will be equally available to CITY.
C. Without limiting CONTRACTOR’s indemnification of CITY and/or the Indemnified Parties and prior to commencement of the Project, CONTRACTOR shall obtain, provide, and maintain at its own expense during the term of this Contract, policies of insurance of the type and amounts described below and in a form satisfactory to CITY.
D. General liability insurance . CONTRACTOR shall maintain commercial general liability insurance with coverage at least as broad as Insurance Services Office form CG
00 01, in an amount not less than $1,000,000 per occurrence, $2,000,000 general aggregate, for bodily injury, personal injury, and property damage, and a $2,000,000 completed operations aggregate. The policy must include contractual liability that has not been amended. Any endorsement restricting standard ISO “insured contract” language will not be accepted.
E. Automobile liability insurance . CONTRACTOR shall maintain automobile insurance at least as broad as Insurance Services Office form CA 00 01 covering bodily injury and property damage for all activities of the CONTRACTOR arising out of or in connection with work to be performed under this Contract, including coverage for any owned, hired, non -owned, or rented vehicles, in an amount not less than $1,000,000 combined single limit for each accident.
F. Umbrella or excess liability insurance . [If required to meet higher limits].
CONTRACTOR shall obtain and maintain an umbrella liability insurance policy with limits that will provide bodily injury, personal injury, and property damage liability coverage, including commercial general liability, automobile liability, and employer’s liability. S uch policy or policies shall include the following terms and conditions:
• A drop-down feature requiring the policy to respond if any primary insurance that would otherwise have applied proves to be uncollectible in whole or in part for any reason, other than bankruptcy or insolvency of said primary insurer;
• “Pay on behalf of” wording as opposed to “reimbursement”; • Concurrency of effective dates with primary policies.
Should CONTRACTOR obtain and maintain an excess liability policy, such policy shall be excess over commercial general liability, automobile liability, and employer’s liability policies. Such policy or policies shall include wording that the excess liability policy follows the terms and conditions of the underlying policies.
G. Workers’ compensation insurance . CONTRACTOR shall maintain Workers’ Compensation Insurance (Statutory Limits) and Employer’s Liability Insurance (with limits of at least $1,000,000) for CONTRACTOR’s employees in accordance with the laws of the State of California, Section 3700 of the Labor Code In addition, CONTRACTOR shall require each subcontractor to similarly maintain Workers’ Compensation Insurance and Employer’s Liability Insurance in accorda nce with the laws of the State of California, Section 3700 for all of the subcontractor’s employees.
CONTRACTOR shall submit to CITY, along with the certificate of insurance, a Waiver of Subrogation endorsement in favor of CITY, its officers, agents, employees, and volunteers.
H. CONTRACTOR’s pollution liability insurance . Coverage shall provide for liability arising out of sudden, accidental, and gradual pollution, and remediation. The policy limit shall be no less than $1,000,000 per claim and in the aggregate. All activities
contemplated in this Contract shall be specifically scheduled on the policy as “covered operations.” The policy shall provide coverage for remediation of the site in the event of an environmental contamination event arising out of the materials, supplies, products, work, operations, or workmanship.
I. Transportation pollution liability insurance. Coverage shall be in an amount not less than $5,000,000 combined single limit per accident and shall include Pollution Liability (CA9948) and MCS -90 Endorsements. The policy shall provide coverage for transportation of pollutants/contaminants to and from the job site and the hauling of waste from the project site to the final disposal location, including non-owned disposal sites.
J. Builder’s risk (course of construction) . Upon commencement of construction and with approval of CITY, CONTRACTOR shall obtain and maintain builder’s risk (course of construction) coverage for the entire duration of the Project until only the CITY has an insurable interest. The builder’s risk coverage shall include the following:
The named insureds shall be CONTRACTOR and CITY, including its officers, officials, employees, and agents. All subcontractors (excluding those solely responsible for design work) of any tier and suppliers shall be included as additional insureds as their i nterests may appear. CONTRACTOR shall not be required to maintain property insurance for any portion of the Project following transfer of control thereof to CITY. The policy shall contain a provision that all proceeds from the builder’s risk policy shall b e made payable to the CITY. The CITY will act as a fiduciary for all other interests in the Project.
Policy shall be provided for replacement value on an “all risk” basis for the completed value of the Project. There shall be no coinsurance penalty or provisional limit provision in any such policy. Policy must include: (1) coverage for any ensuing loss fr om faulty workmanship, nonconforming work, omission or deficiency in design or specifications; (2) coverage against machinery accidents and operational testing; (3) coverage for removal of debris, and insuring the buildings, structures, machinery, equipmen t, materials, facilities, fixtures and all other properties constituting a part of the Project; (4) ordinance or law coverage for contingent rebuilding, demolition, and increased costs of construction; (5) transit coverage (unless insured by the supplier o r receiving contractor), with sublimits sufficient to insure the full replacement value of any key equipment item; (6) ocean marine cargo coverage insuring any Project materials or supplies, if applicable; and (7) coverage with sublimits sufficient to insure the full replacement value of any property or equipment stored either on or off the site or any staging area. Such insurance shall be on a form acceptable to CITY to ensure adequacy of terms and sublimits and shall be submitted to the CITY prior to commencement of construction.
K. Installation floater. If required by the CITY or not covered by builders’ risk (course of construction) coverage, CONTRACTOR shall obtain an installation floater for the value of the property and covering the portion of the work to be constructed, installed, altered,
or repaired by CONTRACTOR. The installation floater policy must include coverage for the fixtures, materials, supplies, machinery, and equipment used in or incidental to the construction project as well as property kept off -site or while in transit. Covera ge must include property of others in the CONTRACTOR’s care, custody, or control. In addition to CONTRACTOR, the CITY and all subcontractors shall be named as additional insureds on the policy with coverage extending through the final completion date.
L. Other provisions or requirements:
Proof of insurance . CONTRACTOR shall provide certificates of insurance and required endorsements to CITY as evidence of the insurance coverage required herein. Insurance certificates and endorsements must be approved by CITY’s Risk Manager prior to commencement of performan ce. Current certification of insurance shall be kept on file with CITY for the contract period and any additional length of time required thereafter.
CITY reserves the right to require complete, certified copies of all required insurance policies, at any time and CONTRACTOR agrees to provide the same.
Duration of coverage. CONTRACTOR shall procure and maintain for the contract period, and any additional length of time required thereafter, insurance against claims for injuries to persons or damages to property, or financial loss which may arise from or in connection with th e performance of the work hereunder by CONTRACTOR, its agents, representatives, employees, subcontractors or subconsultants. CONTRACTOR must maintain general liability and umbrella or excess liability insurance for as long as there is a statutory exposure to completed operations claims. CITY and its officers, officials, employees, and agents shall continue as additional insureds under such policies.
Primary/noncontributing. Coverage provided by CONTRACTOR shall be primary and any insurance or self -insurance procured or maintained by CITY shall not be required to contribute with it. The limits of insurance required herein may be satisfied by a combination of primary and umbr ella or excess insurance. Any umbrella or excess insurance shall contain or be endorsed to contain a provision that such coverage shall also apply on a primary and non -contributory basis for the benefit of CITY before the CITY’s own insurance or self - insurance shall be called upon to protect it as a named insured.
Products/completed operations coverage. Products/completed operations coverage shall extend a minimum of three (3) years after Project completion. Coverage shall be included on behalf of the insured for covered claims arising out of the actions of independ ent contractors. If the insured is using subcontractors, the policy must include work performed “by or on behalf” of the insured. Policy shall contain no language that would invalidate or remove the insurer’s duty to defend or indemnify for claims or suits expressly excluded from coverage. Policy shall specifically provide for a duty to defend on the part of the insurer. The CITY, its officials, officers, agents, and employees, shall be included as additional insureds under the products and completed operations coverage.
CITY’s rights of enforcement . In the event any policy of insurance required under this Contract does not comply with these requirements or is canceled and not replaced, CITY has the right but not the duty to obtain the insurance it deems necessary, and any premium paid by CITY will be promptly reimbursed by CONTRACTOR or CITY will withhold amounts s ufficient to pay premium from CONTRACTOR payments. In the alternative, CITY may cancel this Contract.
Acceptable insurers . All insurance policies shall be issued by an insurance company currently authorized by the Insurance Commissioner to transact business of insurance or is on the List of Approved Surplus Line Insurers in the State of California, with an assigned policyholders’ Rating of A- (or higher) and Financial Size Category Class VII (or larger) in accordance with the latest edition of Best’s Key Rating Guide, unless otherwise approved by the CITY’s Risk Manager.
Waiver of subrogation . All insurance coverage maintained or procured pursuant to this Contract shall be endorsed to waive subrogation against CITY, its elected or appointed officers, agents, officials, employees, and volunteers or shall specifically allow CONTRACTOR or others providing insurance evidence in compliance with these specifications to w aive their right of recovery prior to a loss. CONTRACTOR hereby waives its own right of recovery against CITY and shall require similar written express waivers and insurance clauses from each of its subconsultants.
Enforcement of contract provisions (non estoppel) . CONTRACTOR acknowledges and agrees that any actual or alleged failure on the part of the CITY to inform CONTRACTOR of non-compliance with any requirement imposes no additional obligations on the CITY nor does it waive any rights hereunder.
Requirements not limiting. Requirements of specific coverage features or limits contained in this Section are not intended as a limitation on coverage, limits or other requirements, or a waiver of any coverage normally provided by any insurance. Specific reference to a given coverage feature is for purposes of clarification only as it pertains to a given issue and is not intended by any party or insured to be all inclusive, or to the exclusion of other coverage, or a waiver of any type. If the CONTRACTOR maintains higher limits than the minimums shown above, the CITY requires and shall be entitled to coverage for the higher limits maintained by the CONTRACTOR. Any available insurance proceeds in excess of the specified minimum limits of insurance and coverage shall be available to the CITY.
Notice of cancellation. CONTRACTOR agrees to oblige its insurance agent or broker and insurers to provide the CITY with a thirty (30) day notice of cancellation (except for nonpayment for which a ten (10) day notice is required) or nonrenewal of coverage for each required coverage. If any of the CONTRACTOR’s insurers are unwilling to provide such notice, then CONTRACT OR shall have the responsibility of notifying the CITY immediately in the event of CONTRACTOR’s failure to renew any of the required insurance coverages, or insurer’s cancellation or non-renewal.
Additional insured status . General liability, automobile liability, and umbrella/excess liability insurance policies shall provide or be endorsed to provide that CITY and its officers, officials, employees, agents, and volunteers shall be additional insureds under such policies.
Prohibition of undisclosed coverage limitations . None of the coverages required herein will be in compliance with these requirements if they include any limiting endorsement of any kind that has not been first submitted to CITY and approved of in writing.
Separation of insureds. A severability of interests provision must apply for all additional insureds ensuring that CONTRACTOR’s insurance shall apply separately to each insured against whom claim is made or suit is brought, except with respect to the insurer’s limits of liability. The policy(ies) shall not contain any cross-liability exclusions.
Pass through clause . CONTRACTOR agrees to ensure that its subconsultants, subcontractors, and any other party who is brought onto or involved in the Project by CONTRACTOR (hereinafter collectively “subcontractor”), provide the same minimum insurance coverage and endorsements required of CONTRACTOR under this Contract.
CONTRACTOR agrees to monitor and review all such coverage and assumes all responsibility for ensuring that such coverage is provided in conformity with the requirements of this Section. Howeve r, in the event CONTRACTOR’s subcontractor cannot comply with this requirement, which proof must be submitted to the CITY in writing, CONTRACTOR may still be able to utilize the subcontractor provided CONTRACTOR shall be required to ensure that its subcontractor provide and maintain insurance coverage and endorsements sufficient to the specific risk of exposure involved with subcontractor’s scope of work and services, with limits less than required of the CONTRACTOR, but in all other terms consistent with the CONTRACTOR’s requirements under this Contract. This provision does not relieve the CONTRACTOR of its contractual obligations under the Contract and/or limit its liability to the amount of insurance coverage provided by its subcontractors. This provision is intended solely to provide CONTRACTOR with the ability to utilize a subcontractor who may be otherwise qualified to perform the work or servic es but may not carry the same insurance limits as required of the CONTRACTOR under this Contract given the lim ited scope of work or services provided by the subcontractor. CONTRACTOR agrees that upon request, all agreements with subcontractors, and others engaged in the project, will be submitted to CITY for review.
CITY’s right to revise requirements . The CITY reserves the right at any time during the term of the contract to change the amounts and types of insurance required by giving the CONTRACTOR a ninety (90)-day advance written notice of such change. If such change results in substantial additional cost to the CONTRACTOR, the CITY and CONTRACTOR may renegotiate CONTRACTOR’s compensation.
Self-insured retentions. Any self-insured retentions must be declared to and approved by CITY. CITY reserves the right to require that self -insured retentions be eliminated, lowered, or replaced by a deductible, or require proof of ability to pay losses and related
investigations, claim administration, and defense expenses within the retention through confirmation from the underwriter.
Timely notice of claims . CONTRACTOR shall give CITY prompt and timely notice of claims made or suits instituted that arise out of or result from CONTRACTOR’s performance under this Contract, and that involve or may involve coverage under any of the required liability policies.
Additional insurance. CONTRACTOR shall also procure and maintain, at its own cost and expense, any additional kinds of insurance, which in its own judgment may be necessary for its proper protection and prosecution of its work on the Project.
ARTICLE VI (EXECUTION)
A. CONTRACTOR shall indemnify, defend with legal counsel approved by CITY, and hold harmless CITY, its officers, officials, employees, and volunteers (“Indemnified Parties”) from and against all claims for and actual liabilities, losses, damages, expenses, costs (including without limitation reasonable attorney’s fees, expert fees, and all other costs and fees of litigation) of every nature relating to, arising out of or in connection with CONTRACTOR’s, its officers, agents, employees, or subcontractors (or any agency or individual that CONTRACTOR shall bear the legal liability thereof) negligence, recklessness or willful misconduct in the performance of work on and/or connected with the Project or its failure to comply with any of its obligations contained in this Contract, except such loss or damage which is caused by the sole or active negligence or willful misconduct of the Indemnified Parties. Should conflict of interest principles preclude a single attorney from representing both CITY and CONTRACTOR, or should CITY otherwise find CONTRACTOR’s attorney unacceptable, then CONTRACTOR shall reimburse the CITY its costs of defense, including without limitation reasonable attorney’s fees, expert fees, and all other costs and fees of litigation. The CONTRACTOR shall promptly pay any final judgment rendered against the Indemnified Parties with respect to claims determined by a trier of fact to have been the result of the CONTRACTOR’s negligent, reckless, or wrongful act, omission or performance. It is expressly understood and agreed that the foregoing provisions are intended to be as broad and inclusive as is permitted by the law of the State of California and will survive termination of this Contract.
B. CONTRACTOR’s obligations under this Section apply regardless of whether or not such claim, charge, damage, demand, action, proceeding, loss, stop notice, cost, expense, judgment, civil fine or penalty, or liability was caused in part or contributed to by Indemnified Parties. However, without affecting the rights of Indemnified Parties under any provision of this Contract, CONTRACTOR shall not be required to indemnify and hold harmless Indemnified Parties for liability attributable to the sole or active n egligence or willful misconduct of Indemnified Parties, provided such sole or active negligence or willful misconduct is determined by agreement between the parties or by the findings of a court of competent jurisdiction. In instances where Indemnified Parties are shown to have been solely or actively negligent or to have acted with willful misconduct and where Indemnified Parties’ sole or active negligence or willful misconduct accounts for only a percentage of
the liability involved, the obligation of CONTRACTOR will be for that entire portion or percentage of liability not attributable to the sole or active negligence or willful misconduct of Indemnified Parties.
ARTICLE VII (EXECUTION)
CONTRACTOR affirms that the signatures, titles and seals set forth hereinafter in execution of this Contract represent all individuals, firm members, partners, joint ventures, and/or corporate officers having principal interest herein.
ARTICLE VIII (COMPLETION DATE)
The CONTRACTOR shall complete all work, including the Additive Bid “A”, in every detail within fifty-five (55) working days comprised of five (5) working days for mobilization and fifty (50) working days for construction, after the effective date in the Notice -to- Proceed with the Work to be issued by the CITY.
ARTICLE IX (RECORDS & AUDITS)
CONTRACTOR shall maintain accounts and records, including personnel, property, and financial records, adequate to identify and account for all costs pertaining to the contract and such other records as may be deemed necessary by the CITY to assure proper accounting for all Project funds. These records will be made available for audit purposes to the CITY or any authorized representative and will be retained for 5 years after the expiration of this contract unless permission to destroy them is granted by the CITY.
ARTICLE X (PREVAILING WAGES)
(a) CONTRACTOR agrees to comply with the provisions of California Labor Code Section 1773.8, which requires the payment of travel and subsistence payments to each worker needed to execute the work to the extent required by law.
(b) By the execution of this Contract, CONTRACTOR hereby certifies that it is registered with the California Department of Industrial Relations as required pursuant to Labor Code Section 1725.5 (contractor registration).
(c) CONTRACTOR agrees to comply with the provisions of California Labor Code Section 1774 and 1775 concerning the payment of prevailing rates of wages to workers and the penalties for failure to pay prevailing wages. The CONTRACTOR shall, as a penalty to the CITY, forfeit no more than fifty dollars ($50) for each calendar day, or portion thereof, for each worker paid less than the prevailing rates as determined by the Director of Industrial Relations for the work or craft in which the worker is employed f or any public work done under the contract by CONTRACTOR or by a subcontractor.
(d) CONTRACTOR agrees to comply with the provisions of California Labor Code Section 1776 which requires CONTRACTOR and each subcontractor to (i) keep
accurate payroll records, (ii) certify and make such payroll records available for inspection as provided by Section 1776, and (iii) inform the CITY of the location of the records.
CONTRACTOR is responsible for compliance with Section 1776 by itself and all of its subcontractors.
(e) CONTRACTOR agrees to comply with the provisions of California Labor Code Section 1777.5 concerning the employment of apprentices on public works projects, and further agrees that CONTRACTOR is responsible for compliance with Section 1777.5 by itself and all of its subcontractors.
(f) CONTRACTOR agrees to comply with the provisions of California Labor Code Section 1813 concerning penalties for workers who work excess hours without approval of the CITY. CONTRACTOR shall, as a penalty to CITY, forfeit twenty -five dollars ($25) for each worker employed in the execution of the contract by the CONTRACTOR or by any subcontractor for each calendar day or portion thereof during which such worker is required or permitted to work more than eight (8) hours in any one calendar day and forty (40) hours in any one calendar week in violation of the provisions of Division, 2, Part 7, Chapter 1, Article 3 of the California Labor Code. CONTRACTOR may, with the approval of the Director of Public Works/Facilities, or their designee, use its employees to carry out work on the Project beyond the normal eight (8) hour workday and on Saturdays, Sundays and Holidays provided the employees are paid at the following hourly rates:
• Week days (Monday through Friday) after eight (8) hours daily and not to exceed twelve (12) hours daily total per day and not exceeding forty- eight (48) hours work in a seven (7) day period week at one and one - half (1.5) times the prevailing hourly wage fo r the initial eight (8) hours of regular work time for the time worked after the initial eight (8) hours regular time.
• Saturdays, Sundays and Holidays for time worked after forty (40) hours of regular work time in a seven (7) day period week at the rate of two (2.0) times the prevailing hourly wage for the initial eight (8) hours of regular weekday work time and not to exc eed a total of forty -eight (48) hours of work within the seven (7) day work week period.
(g) California Labor Code Sections 1860 and 3700 provide that every contractor will be required to secure the payment of compensation to its employees. In accordance with the provisions of California Labor Code Section 1861, CONTRACTOR hereby certifies as follows:
“I am aware of the provisions of Section 3700 of the Labor Code which require every employer to be insured against liability for worker’s compensation or to under self-insurance in accordance with the provisions of that Code, and I will comply with such provisions before commencing the performance of the work of this Contract.”
ARTICLE XI (PROMPT PAYMENT)
Prompt Progress Payment to Subcontractors
Attention is directed to Section 7108.5 of the California Business and Professions Code, which requires a prime CONTRACTOR or subcontractor to pay any subcontractor not later than ten (10) days of receipt by CONTRACTOR of each progress payment, unless otherwise agreed to in writing.
ARTICLE XII (LIQUIDATED DAMAGES)
A. Pursuant to Government Code Section 53069.85, if work is not completed within durations established for the individual activities as set forth in the Contract Documents, it is understood, acknowledged, and agreed CITY will suffer damage. It is therefore agreed that CONTRACTOR shall pay to CITY the sum of FIVE HUNDRED DOLLARS ($500.00) for each and every calendar day of delay beyond any completion schedule, construction schedule, or Project milestones established in or pursuant to the [Project Schedule], or beyond the time indicated in the Contract Documents for any individual Project activity.
(SIGNATURES ON NEXT PAGE)
IN WITNESS THEREOF the parties hereto for themselves, their heirs, executors, administrators, successors, and assigns do hereby agree to the full performance of the covenants herein contained and have caused this Contract to be executed in triplicate by setting hereunto their names, titles, hands, and seals this ___________ day of _________, 20____.
Contractor: ___________________________________________________________
___________________________________________________________ (Signature)
Name and Title (Printed) __________________________________________________
CONTRACTOR’s License No. __________________ License Class_______________
CONTRACTOR Business License No. _______________________________________
Federal Tax Identification No. ______________________________________________
Subscribed and sworn to this ______ day of __________________, 20______.
NOTARY PUBLIC_______________________________________________________
CITY: ___________________________________________________________ Mayor
Attested: ___________________________________________________________ City Clerk
Date _______________________________________________________
Approved as
to form: ___________________________________________________________ City Attorney
Date _______________________________________________________
“Contract Documents”
Due to size limitations, Contract Documents can be found in the below link:
https://www.bellgardens.org/Home/Components/RFP/RFP/258/304
FAITHFUL PERFORMANCE BOND
FOR
VARIOUS RESIDENTIAL STREET IMPROVEMENTS FY 2024/2025
PROJECT – CIP NO. 3940
The CITY OF BELL GARDENS, hereinafter “City,” entered into a Contract dated , 20 with hereinafter Contractor,” for the
work described as follows:
Various Residential Street Improvements FY 2024/2025 Project – CIP No. 3940
WHEREAS, said Contractor is required under terms of said Contract to furnish a bond for the faithful performance of said Contract; and
WHEREAS, the Contract is by reference made a part hereof.
NOW, THEREFORE, we, , the undersigned
Contractor, as Principal, and [corporate surety] , a corporation organized and existing under the laws of the State of , and duly authorized to transact business under the laws of the State of California, as Surety, are held and firmly bound unto the City in the penal sum of , lawful money of the United States, said sum being not less than one hundred percent (100%) of the total Contract amount, for the payment of which sum be made, we bind ourselves, our heirs, executors, administrators, and successors, jointly and severally, firmly by these presents.
THE CONDITION OF THIS OBLIGATION IS SUCH, THAT, if the above-bounded Contractor, its heirs, executors, administrators, successors or assigns, shall in all things stand to and abide by, and perform the covenants, conditions, and agreements in said Contract and any alterations thereof made as therein provided, on its part, to be kept and performed at the time and in the manner therein specified, and in all respects according to their true intent and meaning, and shall indemnify and save harmless the City, its officers and agents, as therein stipulated, then this obligation shall become null and void; otherwise it shall be and remain in full force and virtue.
As a condition precedent to the satisfactory completion of said Contract, the above obligation in said amount shall hold good for a period of one (1) year after the completion and acceptance of said work, during which time if the above-bounded Contractor, its heirs, executors, administrators, successors or assigns shall fail to make full, complete, and satisfactory repair and replacements or totally protect the City from loss or damage made evident during said period of one (1) year from the date of acceptance of said work, and resulting from or caused by defective materials or faulty workmanship in the prosecution of the work done, the above obligation in said sum shall remain in full force
and effect. However, anything in this paragraph to the contrary notwithstanding, the obligation of the Surety hereunder shall continue so long as any obligation of the Contractor remains.
And the Surety, for value received, hereby stipulates and agrees that no change, extension of time, alteration or addition to the terms of the Contract or to the work to be performed thereunder or the specifications accompanying the same shall, in any way, affect its obligations on this bond and it does hereby waive notice of any such change, extension of time, alteration, or addition to the terms of the Contract or to the work or the specifications. Said Surety hereby waives the provisions of Sections 2819 and 2845 of the Civil Code of the State of California.
In the event suit is brought upon this bond by the City and judgment is recovered, the Surety shall pay all costs incurred by the City in such suit, including reasonable attorneys’ fees to be fixed by the Court.
IN WITNESS WHEREOF, we have hereunto set our hands and seals this day of , 20 .
(Contractor as Principal)
(Seal) By:
(Seal) By:
NOTE: If Contractor is a Partnership, all parties must execute the Bond.
IMPORTANT: Surety companies executing Bonds must appear on the Treasury Department’s most current list (Circular 570 as amended) and be authorized to transact business in California.
LABOR AND MATERIALS BOND
FOR
VARIOUS RESIDENTIAL STREET IMPROVEMENTS FY 2024/2025
PROJECT – CIP NO. 3940
The CITY OF BELL GARDENS, hereinafter “City,” has awarded to ,hereinafter “Contractor,” a Contract for the work described as follows:
Various Residential Street Improvements FY 2024/2025 Project – CIP No. 3940
WHEREAS, the Contractor is required by the Contract and by the provisions of Third Division, Part 4, Title 15, Chapter 7 of the Civil Code to furnish a bond in connection with the Contract, as hereinafter set forth.
NOW, THEREFORE, we, , the undersigned
Contractor, as Principal, and , a corporation
organized and existing under the laws of the State of duly authorized to transact business under the laws of the State of California, as Surety, are held and firmly bound unto the in the sum of
( ), said
sum being not less than one hundred (100%) percent of the total Contract amount payable by the City, under the terms of the Contract, for which payment well and truly to be made, we bind ourselves, our heirs, executors and administrators, successors and assigns, jointly and severally, firmly by these presents.
THE CONDITION OF THIS OBLIGATION IS SUCH, THAT, if the Contractor, its heirs, executors, administrators, successors, and assigns or subcontractors shall fail to pay for any materials, provisions, provender or other supplies or teams, implements or machinery used in, upon, for or about the performance of the work contracted to be done, or shall fail to pay for any work or labor thereon of any kind, or shall fail to pay any persons named in Civil Code section 9100, or shall fail to pay for amounts due under the Unemployment Insurance Code with respect to such work or labor thereon of any kind, or shall fail to pay for any amounts required to be deducted, withheld, and paid over to the Employment Development Department from the wages of employees of the Contractor and subcontractors pursuant to Section 13020 of the Unemployment Insurance Code with respect to such work or labor, and provided that the claimant shall have complied with the provisions of that code, the Surety or Sureties hereon will pay for the same in an amount not exceeding the sum specified in the Contract; otherwise, the above obligation shall be void. In case suit is brought upon this bond, the Surety will pay reasonable attorneys’ fees to the prevailing party to be fixed by the court.
This bond shall insure to the benefit of any and all persons, companies and corporations entitled to file claims under Section 9100 of the Civil Code, so as to give a right of action to them or to their assigns in any suit brought upon this bond.
It is further stipulated that the Surety of this bond shall not be exonerated or released from the obligation of the bond by any change, extension of time for performance, addition, alteration, or modification in, to, or of any contract, plans, specifications, or agreement pertaining or relating to any scheme or work of improvement described above or pertaining or relating to the furnishing of labor, materials, or equipment therefor, nor by any change or modification of any terms of payment or extension of the time for any payment pertaining or relating to any scheme or work of improvement described above, nor by any rescission or attempted rescission of the Contract, agreement, or bond, nor by any conditions precedent or subsequent in the bond attempting to limit the right of recovery of claimants otherwise entitled to recover under any such contract or agreement or under the bond, nor by any fraud practiced by any person other than the claimant seeking to recover on the bond, and that this bond be construed most strongly against the Surety and in favor of all persons for whose benefit such bond is given, and under no circumstances shall Surety be released from liability to those for whose benefit such bond has been given, by reason of any breach of contract between the City and original contractor or on the party of the obligee named in such bond, but the sole conditions of recovery shall be that claimant is a person described in Sections 8400 and 8402 of the California Civil Code and has not been paid the full amount of its claim and that Surety does hereby waive notice of any such change, extension of time, addition, alteration, or modification.
IN WITNESS WHEREOF, we have hereunto set our hands and seals this day of , 20 .
(Contractor as Principal)
(Seal) By:
(Seal) By:
NOTE: If Contractor is a Partnership, all partners should execute Bond.
IMPORTANT: Surety companies executing Bonds must appear on the Treasury Department’s most current list (Circular 570 as amended) and be authorized to transact business in California.
CITY OF BELL GARDENS
OFFICE OF THE CITY MANAGER
EXECUTIVE SUMMARY
TO:Honorable Mayor and City Council Members
FROM: Michael B. O’Kelly, City Manager
BY:Bernardo Iniguez, Director of Public Works/Facilities SUBJECT:Consideration of a Resolution Approving a First Amendment to Water System Operation and Maintenance Contract Agreement with Liberty Utilities (Park Water) Corp.
MEETING DATE:June 9, 2025
RECOMMENDATION:
It is staff’s recommendation that the City Council adopt the attached Resolution authorizing the City Manager to execute the First Amendment to Water System Operation and Maintenance Contract Agreement with Liberty Utilities (Park Water) Corp. for the City’s Municipal Water System.
BACKGROUND/DISCUSSION:
On June 22, 2020, the City of Bell Gardens (“City”) entered into a Water System Operation and Maintenance Contract Agreement (“O&M Agreement”) with Liberty Utilities (Park Water) Corp. (“Liberty”) for the operation and maintenance of the City-owned water system. This contract details the maintenance and operations of the City’s water system that serves 1,650 metered customers. It also includes the required monthly reporting and testing, service billing, meter readings, and all components necessary to effectively operate the system. The term of the Agreement is for five years, through June 30, 2025.
On May 30, 2025, the City received a letter from Liberty proposing to extend the O&M Agreement for an additional three months. This extension through September 30, 2025, would include an increase to the monthly rate for Basic Customer Services (Ordinary Services) due to cost escalation. During the three-month extension, the monthly compensation would be $25,075.00, an increase of $5,408.33 from the current monthly rate of $19,666.67.
Public Works is currently working with the City’s engineering firm to release a Request for Proposals (“RFP”) for the maintenance and operation of the City’s water system. The anticipated release date is July 31, 2025, and the anticipated recommendation of award date for the new maintenance and operation agreement is September 8, 2025. Liberty
has performed its services satisfactorily to date. Staff recommends approval of an Amendment to the O&M Agreement for an increase to the monthly compensation and extension of the term, as this will allow for the completion of a competitive solicitation.
CONCLUSION:
Approving the First Amendment would extend the term and approve a compensation increase to the O&M Agreement through September 30, 2025, to allow the City to undergo a competitive bidding process.
FISCAL IMPACT:
Funding for the water system’s operation and maintenance services is available in the FY 2025/26 budget.
APPROVED ELECTRONICALLY BY:
Michael B. O'Kelly, City Manager
Stephanie Vasquez, City Attorney
Manuel Carrillo, Director of Finance and Administrative Services
RESOLUTION NO. 2025-49
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
BELL GARDENS, CALIFORNIA, APPROVING A FIRST
AMENDMENT TO THE WATER SYSTEM OPERATION
AND MAINTENANCE CONTRACT AGREEMENT BY AND
BETWEEN THE CITY OF BELL GARDENS AND LIBERTY
UTILITIES (PARK WATER) CORP. FOR THE
MAINTENANCE AND OPERATION OF THE CITY’S
WATER SYSTEM
WHEREAS, on June 22, 2020, the City of Bell Gardens (“City”) and Liberty Utilities (Park Water) Corp. (“Liberty”) executed and entered into a Water System Operation and Maintenance Contract Agreement (“Master Agreement”); and
WHEREAS, the term of the Master Agreement is set to expire on June 30, 2025; and
WHEREAS, on May 30, 2025, the City received a letter from Liberty proposing to extend the term of the Master Agreement for an additional three months as well as an increase to the monthly compensation from $19,666.67 to $25,075.00; and
WHEREAS, to allow sufficient time for the completion of the competitive Request for Proposals (“RFP”) process, it is necessary to extend the term of the existing Agreement for an additional three months through September 30, 2025; and
WHEREAS, the City desires to enter into a First Amendment to modify the Master Agreement to extend the term and increase the compensation, to allow the City to complete the RFP process.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Bell Gardens as follows:
SECTION 1. The City Council hereby finds and determines that the foregoing recitals are true and correct, constitute a material part of this Resolution, and therefore incorporate them herein in their entirety as part of the findings.
SECTION 2. Based upon the above recitals, the staff report accompanying this Resolution, and such other oral and written evidence, the Bell Gardens City Council hereby approves a First Amendment to the Master Agreement with Liberty, which is attached to the staff report as Exhibit 2.
SECTION 3. The City Council further authorizes and directs the City Manager to execute the First Amendment with Liberty, on the City’s behalf, along with any other ancillary documents relating thereto, including any other documents consistent with and necessary to implement and effectuate the intent of the City Council as set forth in this
Resolution No. 2025-49
2 of 3
Resolution.
SECTION 4. The City Clerk shall attest and certify to the passage and adoption of this Resolution and enter it into the book of original resolutions, and it shall become effective immediately upon its approval.
PASSED, APPROVED AND ADOPTED this 9th day of June 2025.
THE CITY OF BELL GARDENS
_____________________________
Jorgel Chavez, Mayor
APPROVED AS TO FORM: ATTEST:
__________________________ ___________________________ Stephanie Vasquez Daisy Gomez
City Attorney City Clerk
Resolution No. 2025-49
3 of 3
I, ____________________, City Clerk of the City of Bell Gardens, hereby CERTIFY that City Council Resolution No. ___________ was adopted by the Bell Gardens City Council at a regular meeting of the City Council held on ___________________, and was approved and passed by the following vote:
AYES:
NOES:
ABSTAIN:
ABSENT:
_________________________
Daisy Gomez, City Clerk
1 2025
FIRST AMENDMENT TO WATER SYSTEM OPERATION AND MAINTENANCE
CONTRACT AGREEMENT
(Engagement: Maintenance and Operation of the City’s Water System) (Contractor: Liberty Utilities (Park Water) Corp.)
THIS FIRST AMENDMENT (hereinafter, “First Amendment”) to that certain agreement entitled “Water System Operation and Maintenance Contract Agreement” and dated June 22, 2020 (hereinafter, the “Master Agreement”), is hereby made and entered into this ____ day of ____________, 2025 (hereinafter, “Effective Date”) by and between the CITY OF BELL GARDENS, a municipal corporation (hereinafter, “CITY”) and LIBERTY UTILITIES (PARK WATER) CORP. (hereinafter, “CONTRACTOR”). For purposes of this First Amendment, the capitalized term “Parties” shall be a collective reference to both CITY and CONTRACTOR. The capitalized term “Party” may refer to either CITY or CONTRACTOR interchangeably, as appropriate.
RECITALS
This First Amendment is made and entered into with respect to the following facts:
WHEREAS, on June 22, 2020, the Parties executed and entered into the Master Agreement for maintenance and operation of water system services by the CONTRACTOR in the CITY; and
WHEREAS, the Master Agreement is attached and incorporated hereto as Exhibit “A”; and
WHEREAS, the term of the Master Agreement is set to expire on June 30, 2025; and
WHEREAS, the City requires sufficient time to complete the competitive Request for Proposals (“RFP”) process for a new operations and maintenance contract, and therefore seeks to extend the term of the Master Agreement through September 30, 2025; and
WHEREAS, on May 30, 2025, the CONTRACTOR provided its extension letter entitled, “Water System Operation and Maintenance Contract Agreement Extension” (hereinafter, “May 2025 Extension Letter”) which proposed to extend the term of the Master Agreement for an additional three months through September 30, 2025; and
WHEREAS, under the terms of the Master Agreement, the CITY agreed to pay CONTRACTOR a monthly not-to-exceed sum of NINETEEN THOUSAND SIX HUNDRED SIXTY-SIX DOLLARS AND SIXTY-SEVEN CENTS ($19,666.67) (hereinafter, “Monthly Not-to-Exceed Sum”); and
WHEREAS, in its May 2025 Extension Letter, CONTRACTOR further requested an increase of 27.5% in the Monthly Not-to-Exceed Sum due to cost escalation, totaling an increase of FIVE THOUSAND FOUR HUNDRED EIGHT DOLLARS AND THIRTY-
2 THREE CENTS ($5,408.33); and
WHEREAS, the May 2025 Extension Letter is attached and incorporated hereto as Exhibit “B”.
NOW, THEREFORE, in consideration of the mutual agreements contained herein, and other good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, and intending to be legally bound hereby, the Parties agree as follows:
SECTION 1. Section 8. (Compensation for Ordinary Services) of the Master Agreement is hereby amended to increase the Monthly Not-to-Exceed Sum of NINETEEN
THOUSAND SIX HUNDRED SIXTY-SIX DOLLARS AND SIXTY-SEVEN CENTS ($19,666.67) by FIVE THOUSAND FOUR HUNDRED EIGHT DOLLARS AND THIRTY- THREE CENTS ($5,408.33) for a new total Monthly Not-to-Exceed Sum of TWENTY- FIVE THOUSAND SEVENTY-FIVE DOLLARS ($25,075.00) which shall be effective as of July 1, 2025, and shall continue through the remainder of the Term.
SECTION 2. Section 11. (Term) of the Master Agreement is hereby amended to extend the Term of the Master Agreement through September 30, 2025.
SECTION 3. Except as otherwise set forth in this First Amendment, the Master Agreement shall remain binding, controlling, and in full force and effect. Section 33 of the Master Agreement notwithstanding, this First Amendment, together with the Master Agreement, shall constitute the entire, complete, final, and exclusive expression of the Parties with respect to the matters addressed in both documents.
SECTION 4. The provisions of this First Amendment shall be deemed a part of the Master Agreement and except, as otherwise provided under this First Amendment, the Master Agreement, all provisions contained therein shall remain binding and enforceable.
In the event of any conflict or inconsistency between the provisions of this First Amendment and the provisions of the Master Agreement, the provisions of this First Amendment shall control, but only in so far as such provisions conflict with the First Extension and Master Agreement, and no further.
(SIGNATURES ON NEXT PAGE)
3 IN WITNESS WHEREOF, the Parties hereto have caused this First Amendment to be executed on the day and year first appearing above.
CITY:
CITY OF BELL GARDENS
By:__________________________________
Michael B. O’Kelly, City Manager
Date:
APPROVED AS TO FORM:
By:__________________________________
Stephanie Vasquez, City Attorney
CONTRACTOR:
LIBERTY UTILITIES (PARK WATER)
CORP.
By:_____________________________
Name:_________________________
Title: ___________________________
Date:
4 EXHIBIT “A”
MASTER AGREEMENT
Operations & Maintenance Proposal
--------------------------------------------
City of Bell Gardens Water System
Confidential
Liberty Utilities (Park Water) Corp.
May 28, 2020
Table of Contents
2 Confidential
I. COVER LETTER
II. TECHNICAL PROPOSAL
Company Overview
Liberty Operations
Contract Operations Qualifications
Project Understanding
Project Approach
Project Work Plan
Project Organization Structure & Staffing Plan
Project Options
III. FEE PROPOSAL
Proposed Annual Service Fee
Projected Annual Service Fee Savings from Project Option 1-3 Extraordinary Services
Billing Rates Schedule
3 Confidential
Section I
COVER LETTER
Cover Letter
4 Confidential
Ms. Chau Vu
Director of Public Works
City of Bell Gardens
8327 Garfield Avenue
Bell Gardens, CA 90201
Subject: Proposal for Maintenance and Operation of the City of Bell Gardens Water System
Dear Ms. Vu:
Liberty Utilities (Park Water) Corp. (“Liberty” or the “Company”) appreciates the opportunity to submit our response to the City of Bell Gardens’ (“City”) Request for Bids for the Maintenance and Operation of the City Owned Water System (“RFP”). The proposal presented herein demonstrates Liberty’s qualifications and approach to perform the services outlined in the RFP and expresses our commitment to provide safe and reliable water service to the Bell Gardens community.
Liberty has a long and successful history of providing potable water and recycled water services to communities in the Southeast Los Angeles area. The Company knows the City’s water system (“City System”) well—having owned and operated the City System until it was sold to the City in 1991—and is excited about the opportunity to serve Bell Gardens residents and businesses again.
The Proposal presented herein details why Liberty is the best firm with a proven solution to continue to deliver the greatest value to the City and the local community. The Company is committed to continue to be the City’s business partner and build on the relationships, transparency and trust demonstrated over the past five years. Summarized below are the key reasons for selecting Liberty.
Uninterrupted Quality Service. Since February of 2015, Liberty has demonstrated quality, reliable and proven ability to ensure excellent service for the City of Bell Gardens.
Liberty has the developed a deep understanding of the needs of the City System operations. If selected to continue our business partnership, Liberty will continue to provide excellent customer care from our local office, which your residents have become familiar as an accessible and dependable location to visit for all of their needs. Customer Focus. The Company is committed to delivering best-in-class customer service, including providing City customers multiple payment options, phone and on-line access to account information, and the ability to speak with a Liberty representative 24/7. Integrated Project Team. Liberty has formed a single integrated team of local managers and staff that will be responsible for both the transition and operations phases of the project. This team has an extensive history of working together and is committed to delivering a successful project.
Proven and Effective Work Plan. Building on the Company’s extensive operations expertise and experience in Southeast Los Angeles area, Liberty has developed and ready to implement a proven and effective project work plan. This work plan will ensure full compliance with laws and regulations and incorporate industry best practices. Unparalleled Water Utility Expertise. Liberty has over seventy-five years of experience in water utility management, operations, and maintenance. Our team is professionally trained and possesses all the required qualifications and certifications to deliver exceptional and reliable water service to the City and City customers. Moreover, the City will be able to draw upon Liberty’s utility and business expertise to assist in meeting current and future challenges.
Cover Letter
5 Confidential
Creative Value Adding Project Options. Liberty’s proposal offers a number of project options for consideration by the City. These project options will provide immediate and long-term value to the City and City customers, improve operational reliability and efficiency, and promote best industry practices.
Liberty hereby provides a proposal guarantee equal to 10% of Liberty’s total bid amount if Liberty is awarded the contract and fails to execute the contract and provide the required insurance documents set forth in those documents.
Further, Liberty hereby discloses to the best of its knowledge that none of its officers or employees maintain a personal, professional or financial relationship with officer or employee of the City.
Again, Liberty is excited about this opportunity to provide water service to the City and support the City in addressing the City System’s current and future challenges. Thank you for your consideration, and please contact Frank Heldman if you need additional information or clarification.
Sincerely,
_________________________________
Chris Alario, PhD.
President, California
Water System Corporate Contact
_________________________________
Frank M. Heldman, MAOL
Director, Operations
Water System Project Manager
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Section II
TECHNICAL PROPOSAL
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Company Overview
Liberty Utilities (Park Water) Corp. (“Liberty” or the “Company”) is a public water utility regulated by the California Public Utilities Commission (“CPUC”) and the State Water Resources Control Board (“SWRCB”).
Liberty was formed and incorporated in the State of California as a public water system in 1937 and has been providing water services in the Southern Los Angeles County region for over 80 years. Three non-contiguous public water systems currently comprise Liberty’s operations—Compton/Willowbrook, Lynwood/Rancho Dominguez, and Bellflower/Norwalk— and collectively serve 29,400 connections along the east/west Interstate 105 corridor (“Liberty System”).
Figure 1: Utility Statistics for Liberty System
Liberty manages and operates its three water systems as a single integrated operations from its Downey headquarters and operations yard.
Liberty also owns and operates two other public water systems in California. Acquired in 1987, the Apple Valley Water System began providing water service in 1945 and currently serves 20,600 connections in and around the Town of Apple Valley in San Bernardino County.
The service territory is 51 square miles with a population of 61,700 people. Apple Valley serves approximately 80% of the population in this high desert, commuter, and retireme nt town. Acquired in June 2019, the La Cañada Water System began providing water in 1962 and currently serves 700 connections to a portion of the City of La Cañada Flintridge in Los Angeles County. The service territory is 0.8 square miles with a population of 2,200 people.
Liberty’s parent company is Algonquin Power & Utilities Corp. (“APUC”). Through its two business groups, APUC owns and operates a diversified portfolio of North American rate - regulated electricity, natural gas, and water utility distribution businesses and non-regulated clean energy generation facilities. APUC trades on the Toronto Stock Exchange and the New York Stock Exchange under the symbol AQN.
Liberty is committed to community engagement and responsi ble corporate citizenship. The Company’s local operations are very active in the community —providing annual contributions to a number of local community based organizations —and engage regularly with local elected officials, city administrators, and other key community stakeholders. As part of the Company’s efforts on corporate responsibility, Liberty publishes an annual Sustainability Report, which highlights some of the many achievements in socially responsible practices across all of its business activities.
Liberty has maintained a successful Utility Supplier Diversity Program for the last fifteen years. Liberty has actively sought and successfully developed ongoing business relationships with talented minority- and women-owned businesses, as well as enterprises led by disabled
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veterans. Liberty continues to focus on expanding and strengthening the Company’s relationships with diverse suppliers and increase its business with them.
Liberty Operations
Liberty’s service territory in Southeast Los Angeles is divided into three separate water systems: Compton/Willowbrook (Compton West), Lynwood/Rancho Dominguez (Compton East) and Bellflower/Norwalk.
Figure 2: Liberty Service Territory
Liberty’s customers are predominantly residential, representing 91% of total connections and 69% of revenue. The Company’s commercial customers are highly diversified with no single customer exceeding 5% of total revenues.
Liberty’s water supply is sourced through a combination of purchased imported water (15%), Central Basin groundwater (82%) and purchased recycled water (3%). The Company manages a diverse portfolio of Central Basin owned and leased water rights, including 1,000 acre-feet (“AF”) of owned water rights, 5,000 AF of long-term leased water rights, and approximately 1,000 AF of annual leased water rights.
Liberty’s operations are highly automated. Water production, treatment, distribution, and storage are monitored and controlled remotely through a supervisory control and data acquisition system (‘SCADA”). Pressure, flow, and disinfectant and fluoride concentrations are monitored constantly through SCADA. If levels fall outside of normal operating ranges, alarms are sent to Liberty’s communications center and, after normal business hours, directly to on-call operations personnel. SCADA also controls flow at certain well and reservoir sites.
Liberty has converted its customer meters to Automatic Meter Reading (“AMR”) and will be migrating all customer meters to Advanced Meter Infrastructure (“AMI”) over the next several years.
Contract Operations Qualifications
Liberty has been providing commercial operations and maintenance services in the Southeast Los Angeles area for over 25 years, using Liberty’s experienced and certified personnel, communication systems, vehicles, equipment, and facilities to provide a range of utility management, operations, and maintenance services.
Liberty successfully completed multiple operations and maintenance contracts with Central Basin Municipal Water District from 1992 to 2017 , serving as the contract operator of the
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Century Recycled Water System and Rio Hondo Recycled Water System located in the East Los Angeles County area.
Project Understanding
The City has issued an RFP with the intent to retain a qualified and experienced contractor to operate and maintain the City’s Water System (“City System”) for a period of five years.
The City System serves 1,650 metered and primarily residential customers, approximately 30% of the northerly area of the City. The City System also serves a small number of commercial and industrial customers, the City Hall, the Police Station, the County Fire Station, and the Library.
The City System has two primary sources of water. The first is Well No. 1 (drilled in 1996), which is equipped with a variable speed pump and a maximum production capacity of 3,000 gallons per minute. The second is a Metropolitan Water District of Southern California imported water connection, which has a production capacity of 7.5 cubic feet per second. The imported water connection also has the capacity to serve as a backup source of supply to Well No. 1.
The City System has another inactive water source, Well No. 3F, which has been out of service since 1997. To reduce its imported water purchases, the City is considering using an interest - free loan from the Water Replenishment District to bring Well No. 3F back into service by installing wellhead treatment for manganese.
The City owns 1,941 acre-feet of adjudicated pumping rights in the Central Basin aquifer. In 2013, Well No. 1 and the imported water connection delivered a combined 1,228 AF of water, 248 acre-feet of which was purchased imported water that was needed to meet system pressure requirements.
The City owns approximately 13 miles of distribution system pipelines, ranging in diameter from 4 inch to 14 inch. While the City has replaced several water mains since 1992, most of the distribution system was installed in the 1940s. Approximately 40% of the distribution system is cast iron with the balance consisting of asbestos cement (25%), PVC (13%), and ductile iron (22%). The RFP notes that the distribution system is generally leak-free.
Project Approach
As the incumbent operator, Liberty is committed to continuing to provide the professionalism, resources, and expertise that underpinned its successful operations of the City System over the last five years and that will ensure Liberty’s continued successful performance of the routine and ordinary operations and maintenance s ervices (“Routine/Ordinary Operations and Maintenance Services”) and additional services (“Extraordinary Services”) outlined in the RFP for the next five years.
Moreover, Liberty will continue to bring the same high level of commitment and professionalism to the operations of the City System that underpin its successful utility operations in Southern California.
Project Work Plan
If selected, Liberty plans to continue to use its current project work plan for the City System.
This work plan has proven successful in delivering (i) timely and effective project performance and delivery of Routine/Ordinary Operations and Maintenance Services ; (ii) compliance with all laws and regulations, industry standards , and the Company’s system operations practices and procedures; and (iii) timely response to all City requests for Extraordinary Services to address City System concerns or issues.
The Company will continue to use its Downey -based Liberty organization, staf f, vehicles, equipment and facilities —supported by qualified and trusted subcontractors and utility vendors—to perform all Routine/Ordinary Operations and Maintenance Services and Extra Ordinary Services.
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Project Management
Frank Heldman, Liberty’s Director of Operations, will serve as the C orporate Contact and the Company’s primary liaison to the City . Mr. Heldman will be responsible for the Company’s overall project performance and client satisfaction. To ensure that Liberty is meeting the City’s expectations, Mr. Heldman will contact the City quarterly to review performance and discuss the City’s concerns or issues.
James Elliott, Liberty’s Chief Engineer, will serve as the Project Manager . Mr. Elliott will be responsible for the project’s start-up and performance, project records, accounting and invoicing, and contract compliance. He will also prepare and submit to the City a Monthly Report on the City System operations in the format set forth in the RFP.
Figure 3: Management Team Overview
Name Position Water
Experience
Profile
Frank
Heldman
Director,
Operations
35 SWRCB Water Distribution Operator
Grade 5
SWRCB Water Treatment Operator
Grade 4
Responsible for Water Distribution,
Field Services, and Production
groups.
10 years of experience in the public
sector working for municipal water
systems
24 years in the private sector
working for regulated utilities.
Vanessa
Lumley
Water Quality
Specialist
17 SWRCB Water Treatment Operator
Grade 2
SWRCB Water Distribution Operator
Grade 2
CWEA Laboratory Analyst Grade 1
Certificate #1308218331
Recycled, Agricultural and Raw
Water use Supervisor Certificate
#1039
M.S. Chemical Engineering and B.S
Chemical Engineering
Oversees the compliance program of
the California water systems. She is
the internal water quality subject
matter expert supporting the
operations and engineering
departments
Brett
Ommen
Supervisor,
Distribution
Operations
11 SWRCB Water Distribution Operator
Grade 5
SWRCB Water Treatment Operator
Grade 2
B.S. Business Management- Cal
State University Long Beach
Coordinates the day-to- day work
activities of the Distribution
Department. This includes the
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operation, repair, and system
maintenance of water mains,
services, and fire hydrants.
Gabriel
Gomez
Supervisor,
Production
Operations
26 SWRCB Water Distribution Operator
Grade 4
SWRCB Water Treatment Operator
Grade 2
AWWA Cross Connection Specialist
Coordinates the day-to-day work
activities of the Production
Department, including the operation,
repair, and maintenance of domestic
water production facilities. A special
emphasis on preventive maintenance
programs for all the water treatment
facilities, storage reservoirs, booster
stations, water quality sampling.
Armando
Gonzalez
Supervisor, Field
Service Operations
14 SWRCB Water Distribution Operator
Grade 4
SWRCB Water Treatment Operator
Grade 2
Coordinates the day-to-day work
activities of meter reading, field
customer service, transportation,
and warehouse. Other duties include
maintaining a meter-aging program
and meter testing.
Paul Kim Cross Connection
Specialist
30 SWRCB Water Distribution Operator
Grade 4
SWRCB Water Treatment Operator
Grade 2
Responsible for executing cross
connection control program for
potable water systems including
documenting that customers perform
annual cross connection device
testing. Other duties include site
inspections to determine presence of
potential cross-connection control
hazards. Also coordinates the annual
and four-year recycled water
inspections.
Amy Ellison Manager, Customer
Service
30 B.A. Business Administration, Cal
State Long Beach
Responsible for leading the Customer
Service, Billing and Collections, and
Dispatch teams.
She joined Liberty in 2012 and has
over 30 years of business and
customer service experience in the
water and telecommunications
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industries, as well as a background
in municipal finance
Esperanza
Castaneda
Supervisor,
Customer Service
8 Responsible for all day to day
operations in the Customer Service
Department. In her current role she
oversees a staff of six Customer
Service Representatives.
Her responsibilities include training,
system testing, and process
documentation and implementation.
Alison Vai
Senior Manager,
Communications
14 M.Ed. Non-Profit Leadership,
Belmont University
B.S. Business Administration &
Marketing
Responsible for Liberty’s community
outreach efforts, building and
strengthening community
relationships, organizing volunteers
for Liberty Day events, public
relations, and managing website and
social media updates.
Sarah Rae
Manager,
Conservation
4 B.A. Environmental Science and
Policy, California State University,
Long Beach
AWWA Water Use Efficiency
Practitioner Grade 1
Oversees development and
implementation of water use
efficiency programs for the
residential, commercial, institutional,
and industrial sectors. She is
responsible for program
management, outreach and
education, legislation, and reporting
to the State Water Resources Control
Board and California Public Utilities
Commission. She has an extensive
background in water conservation
and drought tolerant landscapes
Sharon
Yang
Director, Legal
Services
16 J.D., Georgetown University Law
Center
A.B ., Harvard University
Seasoned regulatory and commercial
litigator with extensive in- house
experience representing investor-
owned utilities before the California
Public Utilities Commission (CPUC)
and state and federal legislative
bodies. Ms. Yang has handled
numerous CPUC proceedings from
inception to implementation and has
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comprehensive knowledge about
CPUC rules of practice and procedure
Gabriel Gomez, Liberty’s Operations Superintendent, will serve as the Project Superintendent and Chief Operator of the City System. Mr. Gomez will be responsible for all operations and maintenance activities for the City System —including maintaining a City-approved safety and water system operations training program—and, above all, ensuring the delivery of high quality and reliable wa ter ser vice to City customers. He will also be responsible for water quality compliance activities and the cross-connection backflow prevention program.
Amy Ellison will manage and oversee the Bell Gardens Office. She will be responsible for supervising the Customer Service staff, communicating and working directly with City customers that may require special assistance, and ensuring timely and professional responses to all customer inquiries and requests.
Armando Gonzalez will supervise the Field Service personnel assigned to service calls and meter reading. He will also manage meter reading data for data upload to the Company’s customer information system during the customer billing cycle.
Operations and Maintenance. Lorenzo Mendoza will serve as the Assistant Chief Operator for the City System and the Project Foreperson. Mr. Mendoza is bilingual and will be responsible for supervision and performanc e of the day -to-day operation s and maintenance activities, ensuring at a minimum one field staff person on duty is bilingual, and maintaining a safe work environment.
Under the direction of the Project Foreperson, Liberty field operations personnel will operate, maintain, and monitor the City System, respond to all after-hours emergency calls twenty-four hours a day, 365 days a year, and perform the following operations and maintenance duties:
Check operation of well(s) daily
Check pumping levels and document operational parameters daily Check chlorination system daily
Check operation of MWD connection daily
Perform minor facility and equipment repairs as needed Maintain the grounds of the well and MWD connection sites as needed Visually inspect all water main alignments bimonthly
Operate and exercise 150 system valves and 125 fire hydrant lateral valves annually Respond to underground service alerts as needed
Flush the City System as needed
Respond to after-hours emergency calls as needed
Repair and replace system facilities and equipment as needed (Extra Ordinary Services) Customer Service & Billing. Liberty will set up and maintain a Customer Service Office in the City System service area with local telephone number (“Bell Gardens Office”) , staffed with qualified, bilingual customer service personnel Monday through Friday, 8:00 AM to 5:00 PM (except City holidays).
Erika Garcia will serve as the Project Customer Service Lead for the Bell Gardens Office. Ms.
Garcia is bilingual and will be responsible for supervision and performance of the day -to-day customer service activities, ensuring all customer service staff is bilingual and maintaining a safe work environment.
The Bell Gardens Office personnel will serve City customers during regular business hours and perform the following customer service duties:
Respond to customer inquiries via telephone or in person and dispatch operations staff as needed to respond to customer inquiries or requests
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Process customer payments
Deposit receipts into the City’s bank account daily
Process customer applications to establish or terminate service Maintain customer service and customer accounting records and customer communications log regarding billing and usage
The Bell Gardens Office personnel will also manage and pursue collections of delinquent customer accounts, performing the following duties:
Collect delinquent customer payments and/or shut -off/lock-off service in accordance with City rules
Process Delinquent Listing Report on 35 th day of billing period and perform collection of delinquent customer payments as needed and in accordance with City Rules Mail second bill (payable 10 days) for all delinquent customer accounts (35 days past due) Coordinate with field service personnel for hand delivery of third and final bill (payable 7 days) for delinquent customer accounts (45 days past due) Subject to City approval, coordinate with field service personnel to shut -off and lock -off service for delinquent customer accounts (52 days past due) Liberty’s Field Service staff will perform the following meter reading and service call duties:
Read 1,650 meters bimonthly
Upload meter read data into the Company’s customer information system and bill customers bimonthly using third party vendor
Replace non-working meters as-needed (extra ordinary service) Turn-on, turn-off, and shut-off/lock services as needed Respond to other customer service requests as-needed
Customer Care. The Company prides itself on establishing an innovative and industry leading customer care program. As part of Liberty, City customers will have access to a range of exceptional customer care services in addition to the in-person services that will be offered at the Bell Gardens Office.
Liberty will provide City customers a number of automated services through its 24/7 Interactive Voice Recognition (“IVR”) phone system , including access to their account information and account balances, bill payment and payment arrangement options, office hours and directions and conservation tips.
While City customers always will have the option of paying their bills in person at the Bell Gardens Office (cash, check or money order) or by mail, they will have access to several additional bill payment options as part of Liberty.
Figure 4: Additional Customer Payment Options
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One of the Company most innovative customer care services is the PayNearMe service , which will allow City customers to pay their bills in cash at any 7-Eleven store in the country. All that is required to use this service is a PayNearMe PayCode, which is scanned by the store attendant to complete the payment process. Customer s will also receive a receipt confirming payment.
Figure 8 on the next page provides a map showing several 7-Eleven stores conveniently located in or near Bell Gardens.
The Company offers several services for customer with special needs, including the following:
Language Translation – Liberty will provide an interpreter, if needed, to answer questions by phone in languages other than English and Spanish.
Large Print Bills – The Company will provide large print bills for visually impaired customers Priority Customer Designation – Liberty will designate customers who depend on a kidney dialysis machine or other life sustaining equipment that require water a Priority Customer to ensure that the special water needs of these customers are met. Third Party Notification – The Company will prov ide a copy of reminder notices and disconnect notices to the third party designated by the customer. It is a way of providing a friendly reminder that a bill is due to a third party. This service is particularly useful for elderly and disabled customers.
TTY/TTD – Liberty provides a relay service operator for hearing impaired customers.
Figure 8: PayNearMe Locations Map
Project Organizational Structure & Staffing Plan
Pay with cash at local pay stations located at 7-
11 convenience stores in the City of Bell
Gardens and throughout Southern California
using the PayNearMe service.
Pay over the phone using the Company's IVR
system with a credit or debit card, or electronic
check
Pay on-line through Park Water's website using
a credit card or debit card, or electronic check
Pay through Easy Pay service, which deducts
the payment amount from customers' bank
account automatically
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Liberty has d esigned the project’s organizational structure to optimize the City System operations by leveraging the Company’s extensive organizational capabilities, potable water experience and expertise, and its network of subcontractors and vendors.
Liberty’s staffing plan will ensure that the Company will be able to maintain sufficient staffing levels of qualified personnel at all times to perform Routine/Ordinary Operations and Maintenance Services, respond 24/7 to after-hours emergency situations and perform Extraordinary Services as needed.
Figures 3 details Liberty’s management team and operations staff—which comprises 40 employees—that will be responsible for the Bell Garden System. Figure 4 below is a summary table of Liberty’s key management personnel.
Figure 5: Liberty Organization Chart
Figure 6: Liberty’s Key Management Personnel
Name Position Experience
(Years)
Frank Heldman Director, Operations 34
Vanessa Lumley Water Quality Specialist 17
Brett Ommen Operations Supervisor, Distribution 9
Gabriel Gomez Operations Supervisor, Production 24
Armando Gonzalez Operations Supervisor, Field Services 11 Paul Kim Cross Connection Specialist 26
Amy Ellison Manager, Customer Service 30
Esperanza Castaneda Supervisor, Customer Service 8
Alison Vai Senior Manager, Communications 14
Sarah Rae Manager, Conservation 4
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Project Options
Liberty has developed a number of creative, value-adding project options for the City’s consideration.
Option 1: Alternative Customer Service Office Location
As an alternative to the RFP requirement to establish a new customer service office in the City System’s service area, Liberty proposes utilizing its existing customer service office located in the City of Downey (“Downey Office”). The Downey Office is a full-service customer service operation—capable of providing the same level of customer service to the City customers at a significantly lower expense—and is located approximately 4.8 miles from the City System’s service area. In fact, City customers regularly traveled to the Company’s Downey Office to conduct water business and pay bills prior to the City’s acquisition in 1991.
The projected Annual Service Fee Savings in the first year of the contract is $77,000.
Liberty considers this project option a reasonable alternative given the Downey Office’s close proximity to City System’s service area and the enhanced customer care services offered by the Company, notably the PayNearMe service and other automated services and bill payment options described above.
Figure 7: Driving Route to Downey Office Map
Option 2: Alternative Preventive Maintenance Cycle
As an alternative to the RFP requirement to operate system valves and fire hydrant lateral valves on annual basis, the Company proposes that the City consider utilizing a three-year cycle for valve turning. Liberty’s preventive maintenance practice for its water systems is to utilize a three-year cycle to operate system valves and fire hydrant lateral valves. The three- year cycle is an industry best practice and has proven to be a very efficient and an effective approach to maintain these key system facilities. The projected Annual Service Fee Savings in the first year of the contract is $27,000.
Option 3: SCADA Utilization
The SCADA system installed during the last contract allows for 24/7 remote access and monitoring. Liberty recommends continuing to utilize this improvement to the City System to monitor the system four of the seven days per week remotely. Liberty will moni tor Well No. 1 and the MWD Connection sites to its existing SCADA network. This allows Liberty staff to monitor remotely both of these sites on a 24-hour basis and provide an alarm system for
18 Confidential
problems at the sites related to abnormal system pressure, pumping failure, etc. Moreover, SCADA allows the Company to reduce the number of weekly site visits from seven to three on average. Liberty has demonstrated that this approach is proven and successful under the current contract, providing annual costs savings to the City. Liberty recommends continuing with this proven and efficient alternative to allow the City to continue to recognize annual cost savings. The projected Annual Service Fee Savings in the first year of the contract is $23,000.
Option 4: Additional Utility Operations Services
Liberty possesses the experience, qualifications, and capabilities to provide a range of additional utility operations services to the City including but not limited to the following:
Water operations best practice and system and water supply optimization strategies Water conservation programs
Billing and collection best practices to maximize revenue collection Rate design and stabilization strategies, including design of a subsidy program for low - income customers
Option 5: Asset Management Services
A major component of Liberty’s business strategy is to address the capital needs of its aging water systems by becoming a more efficient and effective asset manager. Installed between the 1950s and 1970s, large portions of Liberty’s utility infrastructure in California— particularly the distribution systems—require an on-going rehabilitation and replacement program. With its enhanced asset management capabilities, the Company has been able to expand significantly its capital investment over the last decade. Liberty has the capabilities and expertise to provide the City a range of asset management services, from multi-year capital planning and improvements and infrastructure replacement strategies to capital financing alternatives, including long-term concession of the City System.
Option 6: NPDES Permit Application
Liberty possesses the experience, qualifications, and capabilities to assist the City in complying with the new statewide requirements for a National Pollution Discharge Elimination Program (“NPDES”) permit, including assisting the City in the preparation and submission of the application to the California Regional Water Quality Control Board for new statewide National Pollution Discharge Elimination Program (“NPDES”) permit.
Operations & Maintenance Proposal
--------------------------------------------
City of Bell Gardens Water System
Confidential
Liberty Utilities (Park Water) Corp.
May 28, 2020
Table of Contents
18 Confidential
I. COVER LETTER
II. TECHNICAL PROPOSAL
Company Overview
Liberty Operations
Contract Operations Qualifications
Project Understanding
Project Approach
Project Work Plan
Project Organization Structure & Staffing Plan
Project Options
III. FEE PROPOSAL
Proposed Annual Service Fee
Projected Annual Service Fee Savings from Project Option 1-3 Extraordinary Services
Billing Rates Schedule
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Section III
FEE PROPOSAL
Fee Proposal
20 Confidential
Proposed Annual Service Fee
Liberty proposed Annual Service Fee —detailed below in Figure 8—was prepared in conformance with all RFP requirements —including the scope of work —and other pertinent information provided in the RFP.
The proposed Annual Service Fee is estimated on a 12-month basis and includes all expenses and materials required to perform the Routine/Ordinary Operations and Maintenance Services defined in the RFP.
Figure 8: Proposed Annual Service Fee
Projected Annual Service Fee Savings from Project Options 1-3 In the Technical Proposal , Liberty has identified, described , and quantified the projected Annual Service Fee Savings from Project Options 1 -3. These three Project Options were calculated on a 12-month basis and are projected to reduce the proposed Annual Service Fee by 35% on a combined basis. If all three Options are accepted by the City, Liberty projects a total Annual Service Fee Savings of $127,000 as detailed above in Figure 8.
Extraordinary Services
Liberty’s proposed Annual Service Fee does not include any expenses or materials to perform the Extraordinary Services defined in the RFP, as pursuant to the RFP these services will be compensated on a time and material basis and separate from the Annual Service Fee.
Billing Rates Schedule
Liberty has prepared its proposed Billing Rates Schedule to conform to and satisfy all RFP requirements. The proposed Billing Rates Schedule listed in Figure 9 below shows the hourly rate by position and includes all direct and overhead expenses.
Description
Project Management 28,000
Operations & Maintenance 138,000
Customer Service 120,000
Customer Service Office 77,000
Total - Proposed Annual Service Fee 363,000$
Less: Project Option 1 - Alternative Customer Service Office Location (77,000) Less: Project Option 2 - Alternative Preventive Maintenance Cycle (23,000) Less: Project Option 3 - SCADA Utilization (27,000)
Total - Projected Annual Service Fee Savings (Project Options 1-3) (127,000)$ Total - Proposed Adjusted Annual Service Fee (includes Project Options 1-3) 236,000$ (1) Proposed Annual Service Fee includes an annual allocation of 52 responses (104 labor hours) for underground service alerts (2) Proposed Annual Service Fee includes an annual allocation of 450 labor hours for turn-ons, turn-offs, lock-offs & responses to customer calls (3) Proposed Annual Service Fee excludes purchased water, purchased power, chemicals and water testing lab expenses
Fee Proposal
20 Confidential
Figure 9: Billing Rates Schedule
Regular Double
Position Time Overtime Overtime
Project Manager $195
CIS Programmer $193
GIS Coordinator $166
Project Supervisor (O&M) $162
Project Supervisor (Field Service) $152
Safety Manager $132
Civil Engineer $126
Project Foreperson $107
Project Supervisor (Customer Service) $105
Cross Connection Control Specialist $100
Senior Accountant $99
Facilities Specialist $96
Project Customer Service Lead $92
Production Technician $90 $106 $122
Utility Serviceperson $83 $98 $113
Customer Service Representative $81
Project Assistant $75
Engineering Assistant $41
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5 EXHIBIT “B”
MAY 2025 EXTENSION LETTER
May 30, 2025
To:
Bernardo Iniguez
Director of Public Works/Facilities
City of Bell Gardens
8327 Garfield Avenue
Bell Gardens, CA 90201
Subject: Water System Operation and Maintenance Contract Agreement Extension Dear Mr. Iniguez,
Liberty Utilities (Park Water) Corp. respectfully offers a three-month extension of the services currently being provided to the City of Bell Gardens, as outlined in the original contract dated June 22, 2020. A copy of the original contract is attached as Exhibit A.
The scope of work, terms, and conditions will remain unchanged during the extension period. However, due to the escalation of labor and non-labor rates, we propose a 27.5% increase in the contract amount. This adjustment is based on the escalation rate estimates provided by the Public Advocates Office, as detailed in Exhibit B.
As a result, the monthly compensation for providing Basic Customer Services will increase from $19,666.67 to $25,075.00. Additional charges for extra ordinary work will be charged at the current cost and labor rates.
If approved, the three-month extension will commence on July 1, 2025, and expire on September 30, 2025.
We look forward to continuing to provide the City of Bell Gardens with our services and appreciate your consideration of this offer.
Sincerely,
Ken Pfister
Director of Operations
Liberty Utilities (Park Water) Corp.
"Exhibit A"
“Exhibit B”
State of California Public Utilities Commission, San Francisco
APPENDIX: EXPLANATION OF ESCALATION RATES
The recommended NON-LABOR ESCALATION RATES for 2017 through 2029 are presented in Table A. The values for 2017 through 2024 are provided for comparison.
Year
Non-
Labor
Inflation
Rate*
2017 3.7%
2018 4.1%
2019 0.1%
2020 -0.5%
2021 14.7%
2022 11.4%
2023 0.1%
2024 0.7%
2025 1.1%
2026 0.6%
2027 1.0%
2028 1.1%
2029 1.7%
CITY OF BELL GARDENS
OFFICE OF THE CITY MANAGER
EXECUTIVE SUMMARY
TO:Honorable Mayor and City Council Members
FROM: Michael B. O’Kelly, City Manager
BY:Bernardo Iniguez, Director of Public Works/Facilities SUBJECT:Consideration of a Resolution Approving a Purchase Order Agreement with Selman Chevrolet Co. For the Purchase of two (2) 2025 Chevrolet Pick-up trucks
MEETING DATE:June 9, 2025
RECOMMENDATION:
It is staff’s recommendation that the City Council City Council adopt the attached Resolution approving a Purchase Order Agreement with Selman Chevrolet Co. for the purchase of two (2) 2025 Chevrolet pick-up trucks pursuant to Bell Gardens Municipal Code Section 3.04.100(A).
BACKGROUND/DISCUSSION:
The Public Works Department is requesting the replacement of two (2) vehicles that have reached the end of their useful life. Due to their age, maintenance of the existing vehicles is cost prohibitive. The information for the trucks that are due for replacement is as follows:
1995 GMC Sonoma (Vehicle No: P-171)
The vehicle is no longer in service. It has over 104,000 miles, is 30 years old, and is no longer repairable.
2010 Ford Escape Hybrid (Vehicle No: PF-3)
The vehicle is in service, is over 15 years old, and in deteriorating condition. It has over 75,000 miles and has to be taken to a mechanic constantly for services, especially for electrical and battery issues.
The City initially attempted to purchase the required vehicles using Bell Gardens Municipal Code Section 3.04.100(E) exception to the City’s purchasing policy. In November 2024, the Public Works Department obtained quotes from National Auto Fleet Group through Sourcewell. However, the manufacturer stopped production for 2025 models during that time, thus voiding the quotes that the City had initially obtained.
National Auto Fleet Group indicated that the City could request quotes in Spring 2025
with a two percent (2%) increase in vehicle pricing and that manufacturing lead time exceeded six (6) months.
In an effort to secure lower vehicle pricing the City then issued a Request for Quotation (RFQ) for three (3) 2025 Chevrolet pick-up trucks, which included two (2) Chevrolet Silverado 2500 Regular Cab Vehicles 2WD; and one (1) Chevrolet Silverado 1500 Regular Cab Vehicle 2WD, with specific 3 rd party equipment upfitting. The RFQ was published in the adjudicated newspaper on February 20, 2025, and February 27, 2025.
Quotations were due on March 13, 2025. However, no bids were received.
Sole Source Purchasing Procedure
Given its multiple unsuccessful attempts to procure the vehicles, staff is now recommending the City Council approve the purchase of the vehicles using Bell Gardens Municipal Code Section 3.04.100(A) which allows for the purchase of equipment if the equipment is available from one source, or if bidding is not likely to result in the lowest price. Public Works obtained quotes for the specified vehicles from one sole vendor:
Selman Chevrolet Co. located in the City of Orange. The vendor has two (2) 2025 Chevrolet pick-up trucks in stock and provided the following pricing:
2025 Chevrolet Silverado 2500 Regular Cab Vehicle 2WD, 2500 Regular Cab Vehicle 2WD, 6.6L V8 Gasoline, Transmission: Allison 10-speed automatic with specific 3rd party equipment upfitting $58,803.33
2025 Chevrolet Silverado 1500 Regular Cab Vehicle 2WD,
TurboMax, Gasoline, Transmission: 10-speed automatic with specific 3rd party equipment upfitting
$49,483.94
Upon delivery, these new vehicles will be assigned to the Public Works Parks/Facilities Division for routine maintenance and facilities projects.
CONCLUSION:
If the attached Resolution is adopted, staff will process and issue a purchase order to procure the two (2) 2025 Chevrolet Pick-up Trucks.
FISCAL IMPACT:
The purchase of the two pick-up trucks totals $108,287.27, including upfitting, taxes and additional fees. The City’s FY 2024-2025 budget includes sufficient funds for the purchase of the two pick-up trucks for the Public Works Parks/Facilities Division.
APPROVED ELECTRONICALLY BY:
Michael B. O'Kelly, City Manager
Stephanie Vasquez, City Attorney
Manuel Carrillo, Director of Finance and Administrative Services
RESOLUTION NO. 2025-50
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
BELL GARDENS, CALIFORNIA, APPROVING A
PURCHASE ORDER AGREEMENT WITH SELMAN
CHEVROLET CO. FOR THE PURCHASE OF TWO (2) 2025
CHEVROLET PICK-UP TRUCKS
WHEREAS, the City’s Public Works Department needs to replace two (2) pick-up trucks as they have reached the end of their useful life; and
WHEREAS, pursuant to Section 3.04.080 of the Bell Gardens Municipal Code (“BGMC”) requires a formal purchasing procedure be followed for the purchase of supplies, equipment, and services over $10,000; and
WHEREAS, the City attempted to procure the vehicles through a cooperative purchasing agreement, as permitted under BGMC Section 3.04.100(E); however, the procurement was unsuccessful; and
WHEREAS, the City then attempted to purchase the two vehicles by issuing a Request for Quotation but did not receive any quotes; and
WHEREAS, pursuant to BGMC Section 3.04.100(A) , the purchasing policy may be dispensed when the City Council finds that such equipment is unique because of their availability or fitness for a particular use and are available only from one source, or if available from more than one source, bidding is not likely to result in the lowest price; and
WHEREAS, the City obtained quotes from Selman Chevrolet Co. for the two vehicles; and
WHEREAS, the City Council finds that the City has complied with the procurement process; and
WHEREAS, the City desires to enter into a Purchase Order Agreement with Selman Chevrolet Co. for the purchase of two (2) Chevrolet Pick-up Trucks for a total of $108,287.27.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Bell Gardens as follows:
SECTION 1. The City Council, after consideration of the staff report and presentation, discussion, oral testimony and evidence presented to the City Council, finds that the above recitals are true and correct and incorporate them herein.
SECTION 2. The City Council finds that the City has complied with Section
3.04.100(A) of the Bell Gardens Municipal Code.
Resolution No. 2025-50
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SECTION 3. The City Council hereby approves a Purchase Order Agreement with Selman Chevrolet Co. for the purchase of two (2) Chevrolet Pick-up Trucks for a total of $108,287.27.
SECTION 4. The City Council further authorizes the City Manager to execute any ancillary documents reasonably necessary to effectuate the intent of this Resolution.
SECTION 5. The City Clerk shall attest and certify to the passage and adoption of this Resolution and enter it into the book of original resolutions, and it shall become effective immediately upon its approval.
PASSED, APPROVED AND ADOPTED this 9th day of June 2025.
THE CITY OF BELL GARDENS
_____________________________
Jorgel Chavez, Mayor
APPROVED AS TO FORM: ATTEST:
__________________________ ___________________________ Stephanie Vasquez Daisy Gomez
City Attorney City Clerk
I, ____________________, City Clerk of the City of Bell Gardens, hereby CERTIFY that City Council Resolution No. ___________ was adopted by the Bell Gardens City
Resolution No. 2025-50
3 of 3
Council at a regular meeting of the City Council held on ___________________, and was approved and passed by the following vote:
AYES:
NOES:
ABSTAIN:
ABSENT:
_________________________
Daisy Gomez, City Clerk
CITY OF BELL GARDENS
7100 S. GARFIELD AVE
BELL GARDENS, CA 90201
(562) 806-7700
DATE PO NUMBER
Account Number Amount Account Number Amount
SUBTOTAL
TAX
FREIGHT
TOTAL
Quantity Unit Description Unit Price Ext. Price
BILL TO:
VENDOR: SHIP TO:
FOB Point:
Terms:
Req. Del. Date:
Special Inst:
Req. No.:
Dept.:
Contact:
Confirming?
PUBLIC WORKS
8327 S GARFIELD AVENUE
BELL GARDENS, CA 90201
net 30
1 Page 1 /
BELL GARDENS PUBLIC WORKS
~|OutputTypes:Dms|ID:PO|IDVal:06053|DmsLink:ESAPURCH@@1240069|DmsView:toppgpo|~
VENDOR COPY
Authorized Signature
TERMS AND CONDITIONS
1. DEFINITIONS: The phrase “City of Bell Gardens” shall mean the governing body of the City of Bell Gardens, or any department thereof, hereinafter called the “City.”
2. ACCEPTANCE OF PURCHASE ORDER: This purchase order constitutes City’s offer to Vendor and shall become a binding contract upon the terms and conditions set forth herein upon acceptance by Vendor either by acknowledgment or commencement or performance. No charges for transportation, unloading, containers, p acking, etc., will be allowed unless specified in vendor's quotation
3. DATA AND FACILITIES: Vendor represents that he now has or can readily procure without assistance of the City all data, facilities, machinery and equipment necessary for the performance of this purchase order.
4. CASH DISCOUNT : The date used as the basis for cash discount calculation is the date the Articles are received or the date an acceptable invoice is received, whichever is later.
5. PACKING AND SHIPPINGS: Deliveries shall be made as specified without charge for boxing, crating, carting, or storage unless otherwise specified, and Articles shall be suitably packed to secure lowest transportation costs, and in accor dance with the requirements of common carriers, and in such manner as to assure against damage from weather or transportation.
6. TAXES: Vendor shall separately state on all invoices any taxes imposed by federal or state government applicable to furnishing of the articles; provided, however, where a tax exemption is available, such tax shall be subtracted from the total price and identified. Municipalities are exempt from federal excise and transportation taxes. Total prices quoted are to exclude federal taxes. Exemption certificates will be furnished upon request. Unless otherwise indicated, prices quoted will be considered to exclude state and city sales or use tax, which is payable by the City.
7. PRICES: Vendor represents that the prices quoted to or paid by C ity shall not exceed current prices charged to any other customer of Vendor for items which are the same or substantially similar to the articles, taking into account the quality under consideration, and Vendor will forthwith refund any amounts paid by City in excess of such price.
8. WARRANTY: Vendor warrants that all Articles will conform to applicable specifications, drawings, descriptions and samples, and will be merchantable, of good workmanship and material, and free from defect.
9. CHANGES : City shall have the right by written notice to change the extent of the work covered by the contract, the drawings, specifications, or other description herein, the time, method or place of delivery or the method of shipment or packaging or to suspend wo rk. Upon receipt of any such notice, Vendor shall proceed promptly to make the changes in accordance with the terms of the notice. If any such change causes an increase or decrease in the cost or performance or in the time required for performance, an equi table adjustment shall be negotiated promptly, and the contract modified in writing accordingly. Vendor shall deliver to City as promptly as possible, and in any event within thirty (30) days after receipt of change notice, a statement showing the effect of any such change in the delivery dates and prices, such statement to be supplemented within thirty (30) days from the date thereof by detailed specification of the amount of the price adjustment and supporting cost figures. Failure of Vendor to submit the statements within the time limits stated shall constitute its consent to perform the change without increase in price, without claim for material rendered obsolete and without change in delivery schedule.
10. TERMINATION: In the event Vendor fails to comply with any term or condition of this agreement or fails to provide the supplies or services in the manner agreed upon by the parties, this failure shall constitute a breach of the agreement. City at its sole discretion shall either notify the Vendor that it must cure this breach within 15 days of notice of breach or provide written notification of its intention to terminate this agreement. City reserves the right to terminate this agreement for its convenience and will reimburse Vendor for actual costs incurred in performance of this agreement through the effective date of termination.
11. DEFAULT : City may, by written notice to Vendor, cancel for default this contract, in whole or from time to time in part, (1) if the Vendor fails to deliver the Articles or to perform the services strictly within the time specified herein, of if no time is specifi ed, within a reasonable time; (2) if the Articles delivered do not conform to contractual requirements or if Vendor fails to perform any of the other provisions of the contract, or so fails to make progress as to endanger performance of the contract in acc ordance with its terms; or (3) if the Vendor becomes insolvent or commits an act of bankruptcy. If this contract is cancelled for default, City in addition to all other rights afforded by law for Vendor's breach of contract, shall have the right to charge Vendor the amount by which the costs of fabricating or procuring the Articles cancelled from another source exceed the prices specified herein, and City may set off any such charge against any amounts which may become payable to Vendor under the contract or otherwise. Upon such cancellation Vendor will deliver to City any of the Articles, parts or materials, for which City shall make written request at or after cancellation and City will pay Vendor the fair value of any such property so requested and delivered.
12. ASSIGNMENT OF CONTRACT : None of the sums due or to become due nor any of the work to be performed under this contract shall be assigned nor shall Vendor subcontract for completed or substantially completed Articles or major components thereof without City’s prior written consent.
13. INDEMNITY: Vendor agrees to defend, indemnify and hold harmless the City, its elected officials, officers, agents, employees and volunteers, at Vendor's sole expense, from and against any and all claims, actions, suits or other legal proceedings brought against the City, its elected officials, officers, agents, employees and volunteers arising out of the performance of the Vendor, its employees, and/or authorized subcontractors, of the work undertaken pursuant to this contract. The defense obligation provided for hereunder shall apply without any advance showing of negligence or wrongdoing by the Vendor, its employees, and/or authorized subcontractors, but shall be required whenever any claim, action, complaint, or suit asserts as its basis the negligence, errors, omissions or misconduct of the Vendor, its employees, and/or authorized subcontractors, and/or whenever any claim, action, complaint or suit asserts liability against the City, its elected officials, officers, agents, employees and volunteers based upon the work performed by the Vendor, its employees, and/or authorized subcontractors under this contract, whether or not the Vendor, its employees, and/or authorized subcontractors are specifically named or otherwise assert ed to be liable. This provision shall supersede and replace all other indemnity provisions contained either in the City's specifications or Vendor's Proposal, which shall be of no force and effect.
14. WAIVERS: The failure of the City to insist, in any one or more instances, upon the performance of any of the terms, covenants or conditions of this contract, or to exercise any right hereunder shall not be construed as a waiver or relinquishment of the future performance of any such term, covenant or condition or the future exercise of such right, but the obligation of Vendor with respect to such future performance shall continue in full force and effect.
15. EQUAL EMPLOYMENT OPPORTUNITY: The Vendor affirms that it shall not discriminate against any employee or ap plicant for employment because of race, creed, color, sex, or national origin. The Vendor will ensure that applicants are employed, and that employees are treated during employment, without regard to their race, creed, color, sex, or national origin. Such policy of the Vendor shall apply, but not be limited to the following:
Employment, upgrading, demotion, or transfer; recruitment or recruitment advertising; layout or termination rates of pay or other forms of compensation and selection for training, inclu ding apprenticeship.
16. PREVAILING WAGES . For public projects. Vendor shall comply with Prevailing Wage Requirements. Pursuant to sections 1720 through 1861 of the California Labor Code.
17. INSURANCE : Vendor shall obtain and maintain during the performance of any services under this contract the following insurance coverage issued by a company satisfactory to the City Attorney, the requirement that Vendor obtain and maintain such insurance coverage.
17.1. Commercial general liability insurance, i ncluding a contractual liability endorsement, in an amount not less than $ 1,000.000 combined single limit for bodily injury and property damage for each claimant for general liability with coverage equivalent to Insurance Services Office Commercial Genera l Liability coverage (Occurrence Form CG 2010 ed), with no special limitations affecting City.
17.2. Business/Commercial automobile liability insurance in an amount not less than $1,000,000 combined single limit for bodily injury and property damage for each claimant for automobile liability with coverage equivalent to Auto Liability Insurance Services Office coverage (Occurrence Form CA 001, including Symbol 1 (any auto)), with no special limitations affecting City.
17.3. Workers' compensation insurance in compliance with the laws of the State of California, including employer's liability insurance in an amount not less than $1,000,000 per claimant.
17.4. Vendor shall not commence work under this contract until it has obtained City approved insurance. Befor e beginning work hereunder, during the entire period of this contract, for any extensions hereto, and for periods after the end of this contract as may be indicated below, Vendor must have and maintain in place all of the insurance coverages required by Ci ty. Vendor's insurance shall comply with all items specified by this contract.
Any subcontractors shall be subject to all the requirements of this section and Vendor shall be responsible to obtain evidence of insurance from each subcontractor and provide i t to City before the subcontractor commences work. Alternatively, Vendor's insurance may cover all subcontractors.
18. BUSINESS LICENSE. For any work done within the City, Vendor shall obtain, prior to issuance of a PO, and maintain a valid business license from City.
19. GOVERNING LAW. This contract shall be governed by the laws of the State of California.
In the event of litigation between the City and the Vendor, the prevailing party shall be entitled to reasonable attorneys' fees and costs incurred based on comparable fees of private attorneys practicing in Los Angeles County.
20. COMPLIANCE WITH LAW: Vendor shall in the performance of the contract comply with all applicable laws, regulations, ordinances, proclamations, demands and requisitions of the City of Bell Gardens or State of California.
21. ENTIRE AGREEMENT . This contract contains the entire understanding between the parties with respect to the subject matter herein. There are no representations, agreements, or understandings (whether oral or written) between or among the parties relating to the subject matter of this contract which are not fully expressed herein. If the attachments or exhibits to this contract, if any, are inconsistent with this contract, th is contract shall control.
CITY OF BELL GARDENS
OFFICE OF THE CITY MANAGER
EXECUTIVE SUMMARY
TO:Honorable Mayor and City Council Members
FROM: Michael B. O’Kelly, City Manager
BY:Bernardo Iniguez, Director of Public Works/Facilities SUBJECT:Consideration of a Resolution Approving an Agreement with Horizons Construction Company Int’l, Inc. for the Demolition of the Ford Park East Restroom/Sunshine Building
MEETING DATE:June 9, 2025
RECOMMENDATION: It is staff’s recommendation that the City Council:
1. Approve the plans and specifications for the demolition of the Ford Park East Restroom/Sunshine Building;
2. Adopt the attached Resolution approving an agreement with Horizons Construction Company Int’l, Inc. for the demolition of the Ford Park East Restroom/Sunshine Building for an amount not-to-exceed $81,233.05; and
3. Authorize the City Manager to execute the agreement and approve change orders that may be necessary during construction to cover any unforeseen condition in an amount not to exceed 10% of the agreement amount.
BACKGROUND/DISCUSSION:
On November 8, 2016, the voters of the County of Los Angeles approved the Safe, Clean Neighborhood Parks, Open Space Beaches, Rivers Protection, and Water Conservation Measure (“Measure A”). The Los Angeles County Regional Park and Open Space District (“District”) is responsible for administering and monitoring the competitive grant program as well as the annual allocation program under Measure A.
On August 14, 2023, the City Council authorized staff to submit a competitive grant application to the District for the Ford Park Playground and Restroom Replacement Project. The scope of work includes the demolition of the East Restroom/Sunshine Building, demolition of the playground, installation of a prefabricated restroom facility, and installation of new playground equipment, a drinking fountain, bench, picnic table, trash receptacle, irrigation, and landscaping.
The City was awarded $1,046,902 in Measure A funds, and the City and the District executed a Grant Agreement in October 2023. Additionally, the City has budgeted
$444,414 in Measure A Annual Allocation Funds, and $204,078 in allocations for California Drought, Water, Parks, Climate, Coastal Protection, and Outdoor Access for All Act of 2018 (“Prop 68”) to complete the scope of work. The Ford Park Playground and Restroom Replacement Project will be completed in multiple phases to maximize the City’s funding resources and expedite the completion of priority safety projects, starting with the demolition of the Ford Park East Restroom/Sunshine Building.
Cooperative Purchasing through Sourcewell
Under Section 3.04.100(E) of the Bell Gardens Municipal Code, the City's purchasing policy allows for an exception to the purchasing policy when the supplier offers the same or better price, terms and conditions as a supplier offered as the lowest responsible bidder under a competitive procurement conducted by another city or public agency.
Sourcewell (formerly National Joint Powers Alliance NJPA) was created by state law as a service cooperative to provide programs and services to education and government.
As a service cooperative, Sourcewell is a local government unit, public corporation, and public agency created under the laws of the State of Minnesota (Minnesota Statutes Section 123A.21) that offers cooperative procurement solutions to its members.
Participation is open to all levels of a governmental entity, higher education, K-12 education, nonprofit, tribal government, and other public entities located in the United States and Canada. The City is a member of Sourcewell, and membership entitles the City to access competitively bid national contracts. Public Works is making use of Sourcewell ezIQC, an Indefinite Delivery, Indefinite Quantity (IDIQ) procurement process from which competitively bid contracts are awarded to contractors. Sourcewell has contracted Gordian to administer the ezIQC program for Sourcewell members around the country. Sourcewell is authorized to establish competitively awarded cooperative purchasing contracts on behalf of itself and its participating agencies. Sourcewell follows the competitive contracting law process to solicit, evaluate, and award cooperative purchasing contracts for goods and services.
On September 12, 2023, Sourcewell issued an Invitation for Bids (“Sourcewell IFB”) for Indefinite Delivery-Indefinite Quantity Construction Contracts in the State of California (IFB # CA-101723). On October 17, 2023, Horizons Construction Company Int’l, Inc. (Horizons) submitted a bid and on December 1, 2023, Sourcewell and Horizons entered into Contract Number CA-R8-GB-101723-HRZ (“Sourcewell Contract”) with an effective date of December 6, 2023, and expiration date of December 5, 2024. On November 15, 2024, the Sourcewell contract was extended to December 5, 2025.
In order to expedite the project, Public Works requested a cost proposal from Horizons under the Sourcewell Contract for the demolition of the Ford Park East Restroom/Sunshine Building (the “Demolition Project”). Horizons provided a cost proposal totaling $81,233.05 for the Demolition Project, which includes the following scope of work:
Demolition of existing East Restroom/Sunshine Building Removal of asbestos material
Cut and cap existing drain, sewer and water lines
Temporary chain link fencing
Design Immunity
Government Code section 830.6 states in part, “Neither a public entity nor a public employee is liable for an injury caused by the plan or design of a construction of, or an improvement to, public property where such plan or design has been approved in advance of the construction or improvement by the legislative body of the public entity or by some other body or employee exercising discretionary authority to give such approval or where such plan or design is prepared in conformity with standards previously approved.”
In order to complete the Project and provide California design immunity, per Government Code section 830.6, the City Council must approve the plans and specifications prior to construction. The intent of Section 830.6 is to prevent a judge or jury from second- guessing discretionary approvals made by the public agency and its employees regarding a plan or design for a construction project.
The plans and specifications for the Project are consistent with the City’s standards and the General Plan. Staff’s recommendation for City Council approval of the plans and specifications is intended to avail the City of the immunities set forth in Government Code section 830.6, prior to proceeding with construction of the Project. Through the City Council’s approval, the Director of Public Works/Facilities, as the City’s project manager, would be authorized to act on the City’s behalf in approving any necessary alterations or modifications of the plans and specifications throughout the course of the Project.
Environmental Analysis
Pursuant to the California Environmental Quality Act (CEQA) (Public Resources Code §§ 21000 et seq.) and CEQA Guidelines (California Code of Regulations, Title 14, §§ 15000 et seq.), the City conducted an environmental assessment. Based on the environmental assessment, the Project was determined to be categorically exempt pursuant to CEQA Guidelines § 15303 (Class 1 – Existing Facilities) since the existing location is currently open green space. A Notice of Exemption will be prepared and filed with the L.A. County Registrar Recorder’s Office.
CONCLUSION:
If the attached Resolution is adopted, staff will process the agreement for signatures and issue a Notice to Proceed with the Demolition Project to Horizons.
FISCAL IMPACT:
The total budget for the Ford Park Playground and Restroom Replacement Project is $1,695,394 in FY 24/25.
The agreement amount for the Demolition Project is $81,233.05. A contingency of ten percent (10%) (approximately $8,123.31) will be necessary to cover any unforeseen conditions; therefore, the total project budget for the Demolition Project is $89,356.36 consisting of Measure A funds.
APPROVED ELECTRONICALLY BY:
Michael B. O'Kelly, City Manager
Stephanie Vasquez, City Attorney
Manuel Carrillo, Director of Finance and Administrative Services
RESOLUTION NO. 2025-51
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF BELL
GARDENS, CALIFORNIA, APPROVING AN AGREEMENT BY AND
BETWEEN THE CITY OF BELL GARDENS AND HORIZONS
CONSTRUCTION COMPANY INT’L, INC. FOR THE DEMOLITION OF
THE FORD PARK EAST RESTROOM/SUNSHINE BUILDING
WHEREAS, the voters of the County of Los Angeles on November 8, 2016, approved the Safe, Clean Neighborhood Parks, Open Space Beaches, Rivers Protection, and Water Conservation Measure (“Measure A”); and
WHEREAS, Measure A offers a competitive grant program and an annual allocation program and has designated the Los Angeles County Regional Park and Open Space District (the “District”) to administer said funds; and
WHEREAS, on August 14, 2023, the City Council authorized staff to submit a competitive grant application to the District for the Ford Park Playground and Restroom Replacement Project; and
WHEREAS, in October 2023, the City was awarded an allocation of $1,046,902 in Measure A funds to fund the Ford Park Playground and Restroom Replacement Project; and
WHEREAS, it has been determined that the Ford Park Playground and Replacement Project will be completed in multiple phases to maximize the City’s funding resources and expedite the completion of priority safety projects; and
WHEREAS, the City requires the demolition of the Ford Park East Restroom/Sunshine Building; and
WHEREAS, under Section 3.04.100(E) of the Bell Gardens Municipal Code, the City’s purchasing policy allows for an exception when the supplier offers the same or better price, terms and conditions as a supplier offers the lowest responsible bidder under a competitive procurement conducted by another city or public agency; and
WHEREAS, Sourcewell (formerly National Joint Powers Alliance NJPA) is a State of Minnesota local government agency and service cooperative created under the laws of the State of Minnesota (Minnesota Statutes Section 123A.21) that offers cooperative procurement solutions to its members; and
WHEREAS, on September 12, 2023, Sourcewell issued an Invitation for Bids (“Sourcewell IFB”) for Indefinite Delivery-Indefinite Quantity Construction Contracts in the State of California (IFB # CA-101723); and
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WHEREAS, On October 17, 2023, Horizons Construction Company Int’l, Inc. (“Horizons”), submitted a bid in response to the Sourcewell IFB; and
WHEREAS, on December 1, 2023, Horizons and Sourcewell entered into Contract NumberCA-R8-GB-101723-HRZ (“Sourcewell Contract”) with an effective date of December 6, 2023 and expiration date of December 5, 2024; and
WHEREAS, on November 15, 2024, Horizons and Sourcewell extended the term of the Sourcewell Contract for one (1) additional year, extending the term of the contract through December 5, 2025; and
WHEREAS, the City is a member of Sourcewell and membership entitles the City to access competitively bid national contracts; and
WHEREAS, the City Council finds that the City has complied with the procurement processes; and
WHEREAS, the City desires to enter into an agreement with Horizons for the demolition of the Ford Park East Restroom/Sunshine Building under Sourcewell Contract Number CA-R8-GB-101723-HRZ for a total cost of $81,233.05.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Bell Gardens as follows:
SECTION 1. The City Council, after consideration of the staff report and presentation, discussion, oral testimony and evidence presented to the City Council, hereby finds that the above recitals are true and correct and incorporate them herein.
SECTION 2. The City Council finds that the City has complied with local, state and federal requirements for procurement as members of Sourcewell.
SECTION 3. The City Council hereby approves an agreement with Horizons Construction Company Int’l, Inc. for the demolition of the Ford Park East Restroom/Sunshine Building.
SECTION 4. The City Council further authorizes and directs the City Manager to execute the agreement with Horizons Construction Company Int’l, Inc., consistent with this Resolution along with any ancillary documents reasonably necessary to effectuate the intent of this Resolution.
SECTION 5. The City Clerk shall attest and certify to the passage and adoption of this Resolution and enter it into the book of original resolutions, and it shall become effective immediately upon approval.
[Signatures on the following page]
Resolution No. 2025-51
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PASSED, APPROVED, and ADOPTED this 9th day of June, 2025.
THE CITY OF BELL GARDENS
_________________________________
Jorgel Chavez, Mayor
APPROVED AS TO FORM: ATTEST:
________________________________ ___________________________________ Stephanie Vasquez Daisy Gomez
City Attorney City Clerk
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I, ____________________, City Clerk of the City of Bell Gardens, hereby CERTIFY that City Council Resolution No. ___________ was adopted by the Bell Gardens City Council at a regular meeting of the City Council held on ___________________, and was approved and passed by the following vote:
AYES:
NOES:
ABSTAIN:
ABSENT:
_________________________
Daisy Gomez, City Clerk
1 2025
COOPERATIVE AGREEMENT
(Engagement: Demolition of Ford Park East Restroom/Sunshine Building) (Parties: City of Bell Gardens and Horizons Construction Company Int’l, Inc.)
THIS COOPERATIVE AGREEMENT (hereinafter, “Agreement”) is made and entered into this day of 2025 by and between the CITY OF BELL GARDENS, a municipal corporation (hereinafter, “City ”) and HORIZONS CONSTRUCTION COMPANY INT’L, INC. (hereinafter, “Contractor”). For the purposes of this Agreement, City and Contractor may be referred to collectively by the capitalized term “Parties.” The capitalized term “Party” may refer to City or Contractor interchangeably.
RECITALS
WHEREAS, City is a municipal corporation organized under the laws of the State of California, with power to contract for services necessary to achieve its purpose; and
WHEREAS, City requires expedited demolition of the Ford Park East Restroom/Sunshine Building; and
WHEREAS, per Section 3.04.100(E) (Exceptions) of Chapter 3. 04 (Purchasing System) of the Bell Gardens Municipal Code (hereinafter, “Section 3. 04.100”), the purchasing policy may be dispensed with when supplies, services or equipment can be produced from a supplier who offers the same or better prices, terms and/or conditions as the supplier previously offered as the lowest responsible bidder under competitive procurement conducted by another city or public agency; and
WHEREAS, on September 12, 2023, Sourcewell (hereinafter, “Sourcewell”) issued an Invitation for Bid for Indefinite Delivery-Indefinite Quantity Construction Contracts in the State of California, IFB # CA-101723 (hereinafter, “Sourcewell IFB”); and
WHEREAS, on October 17, 2023, Contractor submitted a bid; and
WHEREAS, on December 1, 2023 , Contractor and Sourcewell entered into Contract Number CA-R8-GB-101723-HRZ (hereinafter, “Sourcewell Contract”) with an effective date of December 6, 2023, and expiration date of December 5, 2024; and
WHEREAS, on November 15, 2024, the Sourcewell contract was extended to December 5, 2025; and
WHEREAS, as authorized under Section 3.04 .100(E) of the Bell Gardens Municipal Code , City wishes to avail itself to the opportunity to receive construction services and pricing as provided under the Sourcewell Contract; and
WHEREAS, City desires to enter into an agreement with Contractor for construction services for the demolition of the Ford Park East Restroom/Sunshine
2 Building, upon the conditions set forth below.
NOW, THEREFORE, for and in consideration of the mutual covenants and conditions herein contained, City and Contractor, agree as follows:
Section 1. DESCRIPTION OF MATERIALS AND SERVICES
A. Subject to all the terms and conditions of this Agreement, Contractor agrees to provide construction services for the demolition of the Ford Park East Restroom/Sunshine Building, as described in the C ity’s General Provisions (hereinafter, “General Provisions”), which are attached and incorporated hereto as Exhibit “A” and in Contractor’s “EZIQC Work Order Number 139969.00” dated May 5, 2025 (hereinafter, the “Quote”), which is attached and incorporated hereto as Exhibit “B”. For purposes of this Agreement, the capitalized term “ Project” shall refer to the construction services for the demolition of the Ford Park East/Restroom Sunshine Building. The bid prices charged by Contractor to City for the Project listed in the Quote shall be no greater than the bid prices charged to Sourcewell under the Sourcewell IFB. Except as otherwise provided herein the Project shall, in all respects, meet the specifications for identical Projects set forth under the Sourcewell IFB and shall be subject to all warranties set forth under the Sourcewell IFB and Sourcewell Contract (Collectively referred to as “Sourcewell Documents”). A true and correct copy of the Sourcewell Documents are attached and incorporated hereto as Exhibit “C”.
B. Contractor’s performance under this Agreement includes all transportation services, labor, material, tools and equipment necessary for Contractor to complete the Project at the location(s) specified by the City Representatives in a good workmanlike manner. Contractor shall not commence the Project until such time as C ity issues a written notice to proceed (hereinafter, the “Notice to Proceed”) with the Project, which notice shall specify the date, time and location , along with such other written instructions as may be provided by the City Representatives.
C. Contractor shall perform all services and tasks contemplated under this Agreement continuously and with due diligence. City shall in no way be responsible for undertaking the Project with its own personnel or any other contracted third-party, nor shall City be responsible for providing Contractor’s personnel with training, tools or equipment required to complete the Project. The Project shall be completed within thirty (30) working days of the City’s issuance of a written Notice to Proceed.
D. The liquidated damage for this Project is Two Hundred Fifty Dollars ($250.00) per calendar day for each calendar day the Project is not completed to the satisfaction of the City within the contract time including any extension of time granted by the City.
E. The Project shall be subject to inspection by City and may be rejected by City if
3 the Project does not meet the specifications called for under this Agreement or is otherwise defective. The Project shall be considered accepted upon City’s issuance of a written Notice of Acceptance , which shall not be unreasonably withheld or delayed. At any time prior to the issuance of a Notice of Acceptance, City may reject, and demand repairs for the tasks which do not meet the required specifications of the Project and such repairs shall be borne solely and exclusively by Contractor. No payment shall be required un til repairs are complete. Prior to the issuance of such Notice of Acceptance, Contractor, at Contractor’s sole cost and expense, shall be required to make all such repairs, modifications or corrections to the Project as may be necessary to ensure that the Project is performing in accordance with the agreed specifications.
F. City’s acceptance of the Project shall be conditioned upon the final inspection by City, as specified under Section 5 of this Agreement, below, to ensure that the Project satisfies the requiremen ts of the C ity and is capable of performing in accordance with performance standards set forth in the specifications of the Sourcewell IFB. City reserves the right to direct to repair, at no additional cost to City, any portion of the Project which is determined to be damaged, defective or other non-compliant with such specifications.
Section 2. STANDARD OF CARE
A. Contractor represents, acknowledges and agrees as follows:
1. Contractor shall perform all work and services contemplated under this Agreement skillfully, competently and to the highest standards applicable to the Contractor’s field;
2. Contractor shall perform all work in a manner reasonably satisfactory to the City;
3. Contractor shall comply with all applicable federal, state and local laws and regulations, including the conflict of interest provisions of Government Code Section 1090 and the Political Reform Act (Government Code Section 81000 et seq.);
4. Contractor understands the nature and scope of the work to be performed under this Agreement as well as any and all schedules of performance;
5. All of Contractor’s employees and agents ( including but not limited to Contractor’s subcontractors and subconsultants) possess sufficient skill, knowledge, training and experience to perform those services and tasks contemplated under this Agreement; and
6. All of Contractor’s employees and agents ( including but not limited to Contractor’s subcontractors and subconsultants) possess all licenses, permits, certificates, qualifications and approvals of whatever nature that
4 are legally required to perform the tasks and services contemplated under this Agreement and all such licenses, permits, certificates, qualifications and approvals shall be maintained throughout the term of this Agreement.
The Parties acknowledge and agree tha t Contractor’s acceptance of any work performed by or on Contractor’s behalf shall not constitute a release of any defects or damage to the Project undetectable or otherwise unknown to City at the time of acceptance. The Parties further acknowledge, understand and agree that City has relied upon the foregoing representations of Contractor, including but not limited to the representation that possesses the skills, training, knowledge and experience necessary to perform all services and tasks contemplated under this Agreement in a skillful and competent manner.
Section 3. REPRESENTATIVES
A. City Representative . For the purposes of this Agreement, the Agreement administrator and City ’s representative shall be Bernardo Iniguez, Director of Public Works /Facilities (hereinafter, the “City Representative”). It shall be Contractor’s responsibility to assure that the City Representative is kept informed of the progress of the performance of the services and Contractor shall refer any decisions which must be made by City to the City Representative. Unless otherwise specified herein, any approval of City required hereunder shall mean the approval of the City Representative.
B. Contractor Representative. For the purposes of this Agreement , Kinan Kotrash, Vice President , is hereby designated as the principal and representative of Contractor authorized to act on its behalf with respect to Contractor’s performance under this Agreement and to make all decisions in connection therewith (the “Contractor Representative”). Notice to the Contractor Representative shall be written to constitute notice to Contractor.
Section 4. CONTRACTOR’S PERSONNEL
A. Contractor represents that it has, or will secure at its own expense, all personnel required to perform the services and tasks required under this Agreement. All such services will be performed by or under its supervision, and all personnel engaged in the work shall possess the qualifications, permits and licenses required by applicable law to perform such services.
B. Contractor shall be solely responsible for the satisfactory work performance of all personnel engaged in performing services required by this Agreement, and compliance with all reasonable performance standards established by City.
C. In the event that City, in its sole and absolute discretion, at any time during the term of this Agreement, desires the removal of any person or persons assigned to perform services pursuant to this Agreement, Contractor shall remove any such person immediately upon receiving notice from C ity of the desire of C ity for the
5 removal of such person or persons.
D. Contractor shall be responsible for payment of all employees’ and subcontractors’ wages and benefits and shall comply with all requirements pertaining to employer’s liability, workers’ compensation, unemployment insurance, and Social Security.
E. Permits and Licenses. Contractor shall obtain and maintain during the Agreement term all necessary licenses, permits and certificates required by law for the provision of services under this Agreement, including a City business license.
Section 5. INSTRUCTION ON MAINTENANCE
City’s personnel in coordination with Contractor’s personnel shall have a period of thirty (30) calendar days from the date the Project completion to run performance tests of the Project in order to determine whether or not the Project meets specifications, is not damaged and is functioning properly. Contractor, during the testing and inspection period contemplated herein, shall also provide City personnel with instruction and training on maintenance of the Project and shall supply City with true and corre ct copies of all technical specifications, operating manuals and other materials relating to the maintenance and upkeep of the Project. The foregoing shall be in addition to and not in lieu of any training program specified under the Sourcewell Documents. Unless otherwise notified in writing, the Project shall be deemed accepted following the end of the 30 -day testing and instruction period. City’s issuance of notification of conditions, circumstances or other factors which make the City unwilling to accept the Project shall toll, the expiration of the 30-day testing and instruction period as to all Project.
Section 6. WARRANTIES
Contractor shall extend to City all such warranties for the Project provided to Sourcewell under the Sourcewell Documents, subject to the same terms and conditions set forth therein.
Section 7. COMPENSATION
A. Compensation. Contractor shall complete the Project as referenced in the Quote at bid pricing that is no greater than the bid pricing provided to Sourcewell for identical services under the Sourcewell Documents. The foregoing notwithstanding, Contractor’s total aggregate compensation for the Project shall not exceed the aggregate sum of EIGHTY-ONE THOUSAND TWO HUNDRED THIRTY-THREE DOLLARS AND FIVE CENTS ($81,233.05) (hereinafter, the “Not-to-Exceed Amount”).
B. As authorized by the City Council at its Regular Meeting of June 9, 2025 , and subject to any applicable restrictions set forth under the Bell Gardens Municipal Code as the same may be amended from time to time or applicable State law, City, in its sole and absolute discretion, may authorize expenditures in excess of the Not-to-Exceed Amount without further City Council approval provided such
6 additional expenditures do not cumulatively exceed an amount equal to ten percent (10%) of the Not-to-Exceed Amount. Any such additional expenditures must be approved by the City Manager in writing before they may be incurred.
Section 8. SURETY BOND
A. Performance Bond. Contractor shall execute and provide to City concurrently with this Agreement a Performance Bond in the amount of the total Not-to-Exceed Sum.
The Performance Bond shall be in a form approved by City. No payment shall be made to Contractor until the Performance Bond has been received and approved by the City or the requirement for the Performance Bond has been waived.
B. Labor and Materials Bond . Contractor shall execute and provide to City concurrently with this Agreement a Labor and Materials Bond in the amount of the Not-to-Exceed Sum. The Labor and Materials Bond shall be in a form approved by City. No payment shall be made to Contractor until the Labor and Materials Bond has been received and approved by the City.
Section 9. PREVAILING WAGES AND GENERAL LABOR COMPLIANCE AND
REPORTING
A. Contractor shall comply with the provisions of the Labor Code applicable to public works, in the manner set forth under this Section. In addition to any other indemnification obligation set forth under this Agreement, Contractor shall indemnify, hold harmless, and defend City concerning any liability arising out of Labor Code Section 1720 et seq.
B. Contractor and any subcontractor performing or contracting any portion of the Project shall comply with all applicable provisions of the California Labor Code for all workers, laborers and mechanics of all crafts, classifications or types, including, but necessarily limited to the following:
1. In accordance with California Labor Code Section 1810, eight (8) hours of labor in performance of the Project shall constitute a legal day’s work under this Contract. Contractor and any subcontractor shall pay workers overtime pay (not less than 1 1/2 times the base rate of pay) as required by California Labor Code Section 1815. Contractor and any subcontractor shall, as a penalty to the City, forfeit Twenty-Five Dollars ($25) for each worker employed in the execution of the contract by the respective contractor or subcontractor for each calendar day during which the worker is required or permitted to work more than 8 hours in any one calendar day and 40 hours in any one calendar week in violation to the provisions of Article 3 of Chapter 1 of Part 7, Division 2 of the California Labor Code, which is incorporated by this reference as though fully set forth herein.
2. Pursuant to the provisions of California Labor Code Sections 1770 et. seq., Contractor and any subcontractor under Contractor shall pay not less than
7 the prevailing rate of per diem wages as determined by the Director of the California Department of Industrial Relations. Pursuant to the provisions of California Labor Code Section 1773.2, Contractor is hereby advised that copies of the prevailing rate of per diem wages and a general prevailing rate for holidays, Saturdays and Sundays and overtime work in the locality in which the work is to be performed for each craft, classification, or type of worker required to execute the Agreement, are on file at th e Public Works Yard, which copies shall be made available to any interested party on request. Contractor shall post a copy of said prevailing rate of per diem wages at each job site.
C. As required by Section 1773.1 of the California Labor Code, Contractor shall pay travel and subsistence payments to each worker needed to execute the Project, as such travel and subsistence payments are defined in the applicable collective bargaining agreements filed in accordance with this Section.
D. To establish such travel and subsistence payments, the representative of any craft, classification, or type of workman needed to execute the contracts shall file with the Department of Industrial Relations fully executed copies of collective bargaining agr eements for the particular craft, classification or type of work involved. Such agreements shall be filed within ten (10) days after their execution and thereafter shall establish such travel and payments.
E. Contractor shall comply with the provisions of Section 1775 of the California Labor Code and shall, as a penalty to City, forfeit up to Fifty Dollars ($50) for each calendar day, or portion thereof, for each worker paid less than the prevailing rate of per diem wages for each craft, classification, or type of worker needed to execute the contract. Contractor shall pay each worker an amount equal to the difference between the prevailing wage rates and the amount paid worker for each calendar day or portion thereof for which a worker was paid less than the prevailing wage rate. Contractor is required to pay all applicable penalties and back wages in the event of violation of prevailing wage law, and Contractor and any subcontractor shall fully comply with California Labor Code Section 1775, which is incorporated by this reference as though fully set forth herein.
F. Contractor and any subcontractor shall maintain and make available for inspection payroll records as required by Labor Code Section 1776, which is incorporated by this reference as though fully set forth herein. Contractor is responsible for ensuring compliance with Labor Code Section 1776 and shall keep accurate payroll records containing all such information as may be called for under Labor Code Section 1776 and other applicable provisions of State law.
G. Contractor and any subcontractors shall, when they employ any person in any apprenticeable craft or trade, apply to the joint apprenticeship committee administering the apprenticeship standards of the craft or trade in the area of the work site for a certificate appr oving Contractor or subcontractor under the apprenticeship standards for the employment and training of apprentices in the
8 area or industry affected; and shall comply with all other requirements of Section 1777.5 of the California Labor Code, which is incorporated by this reference as though fully set forth herein. The responsibility of compliance with California Labor Code S ection 1777.5 during the performance of this contract rests with CONTRACTOR. Pursuant to California Labor Code Section 1777.7, in the event CONTRACTOR knowingly fails to comply with the provisions of California Labor Code Section 1777.5, civil penalties w ill be assessed. Contractor shall also be subject to California Labor Code Section 1777.1.
H. In accordance with the provisions of Article 5, Chapter 1, Part 7, Division 2 (commencing with Section 1860), and Chapter 4, Part 1, Division 4 (commencing with Section 3700) of the California Labor Code, Contractor is required to secure the payment of compensation to its employees and for that purpose obtain and keep in effect adequate Workers' Compensation Insurance and Employers Liability Insurance. If Contractor, in the sole discretion of the City satisfies the City of the responsibility and capacity u nder the applicable Workers' Compensation Laws, if any, to act as self-insurer, Contractor may so act, and in such case, the insurance required by this paragraph need not be provided. Contractor is advised of the provisions of Section 3700 of the California Labor Code, which requires every employer to be insured against liability for Workers' Compensation or to undertake self-insurance in accordance with the provisions of that Code and shall compl y with such provisions and have Employer’s General Liability limits of $1,000,000 per accident before commencing the performance of the Work of this Agreement.
The Notice to Proceed with the Project under this Agreement will not be issued, and Contractor shall not commence the Work, until Contractor submits written evidence that it has obtained full Workers' Compensation Insurance coverage for all persons whom it employs or may employ in carrying out the Project under this Agreement. This insurance shall be in accordance with the requirements of the most current and applicable state Workers' Compensation Insurance Laws. In accordance with the provisions of Section 1861 of the California Labor Code, Contractor in signing this Agreement certifies to the City as true the following statement: "I am aware of the provisions of Section 3700 of the Labor Code which require every employer to be insured against liability for Workers' Compensation or to undertake self-insurance in accordance with the provisions of that Code, and I will comply with such provisions before commencing the performance of the Work of this Agreement." A subcontractor is not allowed to commence the Project until verification of Workers’ Compensation Insurance coverage has been obtained and verified by Contractor and submitted to the Publ ic Work’s Director for the City’s review and records.
I. In accordance with the provisions of Section 1727 of the California Labor Code, the City, before making payment to Contractor of money due under a contract for public work, shall withhold and retain therefrom all amounts required to satisfy any civil wage and penalty assessment issued by the Labor Commissioner, along with the terms of Chapter 1, Part 7, Division 2 of the California Labor Code (commencing with Section 1720). But no sum shall be withheld, retained or forfeited, except from the final payment, without a full investigation by either the
9 Division of Labor Standards Enforcement or by the City.
Section 10. PROHIBITED INTERESTS
Contractor warrants, represents and maintains that it has not employed nor retained any company or person, other than a bona fide employee working solely for Contractor, to solicit or secure this Agreement. Further, Contractor warrants and represents that it has not paid nor has it agreed to pay any company or person, other than a bona fide employee working solely for Contractor, any fee, commission, percentage, brokerage fee, gift or other consideration contingent upon or resulting from the award or making of this Agreement. For breac h or violation of this warranty, C ity shall have the absolute and unfettered right to rescind this Agreement without liability or penalty. For the term of this Agreement, no member, officer or employee of City, during the term of his or her service with C ity, shall have any direct interest in this Agreement, or obtain any present or anticipated material benefit arising therefrom.
Section 11. INDEPENDENT CONTRACTOR
Contractor will act hereunder as an independent contractor. This Agreement shall not and is not intended to constitute as an agent, servant, or employee of C ity and shall not and is not intended to create the relationship of partnership, joint ven ture or association between City and Contractor.
Section 12. RECORDS AND INSPECTION
Contractor shall maintain full and accurate records with respect to all matters covered under this Agreement for a period of three (3) years. C ity shall have access, without charge, upon reasonable notice, during normal business hours to such records, and the right to examine and audit the same and to make transcripts therefrom, and to inspect all program data, documents, proceedings, and activities . This right inspection shall not extend to the makeup of lump sum prices, day rates, or profit margins.
Section 13. CONFLICTS OF INTEREST
Contractor hereby warrants for itself, its employees, and subcontractors that those persons presently have no interest and shall not obtain any interest, direct or indirect, which would conflict in any manner with the performance of the services contemplated by this Agreement. No person having such conflicting interest shall be employed by or associated with in connection with this project. Contractor hereby warrants for itself, its employees, and subcontractors that no such person shall engage in any con duct which would constitute a conflict of interest under any City ordinance, state law or federal statute. Contractor agrees that a clause substantially similar to this Section shall be incorporated into any sub -contract that executes in connection with the performance of this Agreement.
10 Section 14. INDEMNIFICATION
Contractor shall indemnify, defend and hold harmless the City, its elected and appointed officials, commissioners, officers, employees, agents and volunteers for the same types of loss, claims, suits, actions, damages and causes of action to the extent caused by the acts or omissions of Contractor and to the same extent afforded to Sourcewell, Sourcewell’s officials, commissioners, officers, agents, employees and volunteers.
Section 15. INSURANCE
Contractor shall, at all times during its period of performance under this Agreement , maintain all policies of insurance at the same coverage levels and of the same type and scope as set forth under Sourcewell Documents.
Section 16. MUTUAL COOPERATION
A. City shall provide all pertinent data, documents and other requested information as is reasonably available for the proper performance of Contractor’s services.
B. In the event any claim or action is brought against C ity relating to Contractor’s performance in connection with this Agreement, Contractor shall render any reasonable assistance that City may require.
Section 17. TERMINATION FOR CONVENIENCE; TERMINATION FOR CAUSE
A. Termination for Convenience . Prior to the issuance of C ity’s written Notice to Proceed, City may immediately terminate this Agreement, without cause, without liability and free of any charge or cost to City. After the City’s issuance of a written Notice to Proceed, City may terminate this Agreement for convenience and without cause upon fifteen (15) days of written notice to Contractor. Such termination for convenience shall be made in writing signed by the City Representative specifying the effective date of such termination . Contractor may only terminate this Agreement for cause. Except as otherwise provided herein, in the event of City’s termination of this Agreement for convenience, Contractor shall be compensated for any materials delivered to and accepted by C ity and for such services performed up to the effective date of the termination.
B. Termination for Cause . In the event either Party fails to perform any duty, obligation, service or task set forth under this Agreement (or fails to timely perform or properly perform any such duty, obligation, service or task set forth under this Agreement), an event of defau lt (hereinafter, “Event of Default”) shall occur. For all Events of Default, the Party alleging an Event of Default shall give written notice to the defaulting Party (hereinafter referred to as a “Default Notice”) which shall specify: (i) the nature of the Event of Default; (ii) the action required to cure the Event of Default; (iii) a date by which the Event of Default shall be cured, which shall not be less than the applicable cure period set forth under subsection 1 7(C) below, or if a cure is not reasonably possible within the applicable cure period, to
11 begin such cure and diligently prosecute such cure to completion. The Event of Default shall constitute a breach of this Agreement if the defaulting Party fails to cure the Event of Default within the applicable cure period or any extended cure period allowed under this Agreement. An Event of Default shall include, but shall not be limited to the following: (i) Contractor’s failure to fulfill or perform its obligations under this Agreement within the specified time or if no time is specified, within a re asonable time; (ii) Contractor’s and/or its employees’ disregard or violation of any federal, state, local law, rule, procedure or regulation; (iii) the initiation of proceedings under any bankruptcy, insolvency, receivership, reorganization, or similar legislation as relates to Contractor, whether voluntary of involuntary; (iv) Contractor’s refusal or failure to perform or observe any covenant, condition, obligation or provision of this Agreement; and/or (v) City’s discovery that a statement representation or warranty by relating to this Agreement is false or erroneous in any material respect.
C. Contractor shall cure the following Events of Defaults within the following time periods:
1. Within ten (10) calendar days of City’s issuance of a Default Notice for any failure to timely provide City or its agents with any information and/or written reports, documentation or work product which Contractor is obligated to provide to City or its agents under this Agreement. Prior to the expiration of the 10 -day cure period, Contractor may submit a written request for additional time to cure the Event of Default upon a showing that it has commenced efforts to cure the Event of Default and that the Event of Default cannot be reasonably cured within the 10 -day cure period. The foregoing notwithstanding, City shall be under no obligation to grant additional time for the cure of an Event of Default under this subsection that exceeds thirty (30) calendar days from the end of the initial 10-day cure period; or
2. Within fifteen (15) calendar days of C ity’s issuance of a Default Notice for any other Event of Default under this Agreement. Prior to the expiration of the 15-day cure period, may submit a written request for additional time to cure the Event of Default upon a showing that has commenced efforts to cure the Event of Default and that the Event of Default cannot be reasonably cured within the 30 -day cure period. The foregoing notwithstanding, C ity shall be under no obligation to grant additional time for the cure of an Event of Default under this subsection that exceeds fifteen (15) calendar days from the end of the initial 15-day cure period.
If an Event of Default relates to a material falsehood or misrepresentation set forth in the Surfacing specifications that is not susceptible to a cure, City in its sole and absolute discretion may elect to treat the falsehood or misrepresentation as a breach of this Agreement or waive the falsehood or misrepresentation. The foregoing notwithstanding, the prior waiver of a falsehood or misrepresentation as an Event of Default shall not operate as a waiver or any other falsehood or misrepresentation later discovered by City.
12 D. Except as otherwise s pecified in this Agreement, C ity shall cure any Event of Default asserted by within thirty (30) calendar days of Contractor’s issuance of a Default Notice, unless the Event of Default cannot reasonably be cured within the 30-day cure period . Prior to the expiration of the 30-day cure period , City may submit a written request for additional time to cure the Event of Default upon a showing that City has commenced its efforts to cure the Event of Default and that the Event of Default cannot be reasonably cured within the 30-day cure period .
The foregoing notwithstanding, an Event of Default dealing with C ity’s failure to timely pay any undisputed sums to Contractor shall be cured by City within thirty (30) calendar days from the date of Contractor’s Default Notice to City.
E. City, in its sole and absolute discretion, may also immediately suspend Contractor’s performance under this Agreement (or the performance of any specific task or function performed by under this Agreement) pending Contractor’s cure of any Event of Default by giving written notice of C ity’s intent to suspend Contractor’s performance (hereinafter, a “Suspension Notice”). City may issue the Suspension Notice at any time upon the occurrence of an Event of Default. Upon such suspension, Contractor shall be comp ensated only for those services and tasks which have been rendered to the reasonable satisfaction of C ity up to the effective date of the suspension. No actual or asserted breach of this Agreement on the part of C ity shall operate to prohibit or otherwise restrict C ity’s ability to suspend this Agreement as provided herein.
F. No waiver of any Event of Default or breach under this Agreement shall constitute a waiver of any other or subsequent Event of Default or breach. No waiver, benefit, privilege, or service voluntarily given or performed by a Party shall give the other Party any contractual rights by custom, estoppel, or otherwise.
G. The duties and obligations imposed under this Agreement and the rights and remedies available hereunder shall be in addition to and not a limitation of any duties, obligations, rights and remedies otherwise imposed or available by law. In addition to any other remedies available to City at law or under this Agreement in the event of any breach of this Agreement, City, in its sole and absolute discretion, may also pursue any one or more of the following remedies:
1. Upon fifteen (15) day written notice to Contractor, the City may terminate this Agreement in whole or in part;
2. Upon written notice to Contractor, the C ity may extend the time of performance;
3. The City may proceed by appropriate court action to enforce the terms of the Agreement to recover damages for Contractor’s breach of the Agreement, obtain specific performance from Contractor or to terminate the Agreement; or
13 4. The City may exercise any other available and lawful right or remedy.
H. In the event City is in breach of this Agreement, Contractor’s sole remedy shall be the suspension or termination of this Agreement and/or the recovery of any unpaid sums lawfully owed under this Agreement for completed services and tasks. In no event shall Contractor be entitled to receive more than the amount that would be paid to for the full performance of the services required by this Agreement.
I. No waiver of any default or breach under this Agreement shall constitute a waiver of any other default or breach, whether of the same or other covenant, warranty, agreement, term, condition, duty or requirement contained in this Agreement. No waiver, benefit, privilege, or service voluntarily given or performed by a Party shall give the other Party any contractual rights by custom, estoppel, or otherwise.
Section 18. FORCE MAJEURE
Contractor shall not be liable for any failure to perform if presents acceptable evidence, in City’s reasonable judgment, that such failure was due to causes beyond the control and without the fault or negligence of Contractor. In the event that a FORCE MAJEURE event materially increases the Contractor’s costs of performance hereunder , then City shall make an equitable contribution to all such increased costs of performance to the extent that such costs are not covered by Contractor’s insurances.
Section 19. NOTICES
Any notices, bills, invoices, or reports required by this Agreemen t shall be deemed received on: (a) the day of delivery if delivered by hand or overnight courier service during Contractor and City’s regular business hours; or (b) on the third business day following deposit in the United States mail, postage prepaid, to the addresses heretofore below, or to such other addresses as the parties may, from time to time, designate in writing.
If to CITY: If to CONTRACTOR:
City of Bell Gardens
7100 S. Garfield Avenue
Bell Gardens, CA 90201
Attn: Bernardo Iniguez,
Director of Public Works/Facilities
562-806-7770
Horizons Construction Company Int’l, Inc.
432 W. Meats Avenue
Orange, CA 92865
Attn: Kinan Kotrash, Vice President
714-626-0000
Section 20. NON-DISCRIMINATION AND EQUAL EMPLOYMENT OPPORTUNITY
In the performance of this Agreement, Contractor shall not deny the contract’s benefits to any person on the basis of nor shall they discriminate unlawfully against any employee, subcontractor, or applicant for employment because of : race, color, creed, religion, sex, marital status, national origin, ancestry, age, physical or mental handicap, medical condition, genetic information, gender, gender identity, gender expression, sexual
14 orientation, or military and veteran status or other basis prohibited by law. Contractor will take affirmative action to ensure that subcontractors and applicants are employed, and that employees are treated during employment without regard to their race, color, creed, religion, sex, marital status, national origin, ancestry, age, physical or mental handicap, medical condition, or sexual orientation.
Section 21. PROHIBITION AGAINST ASSIGNMENT
Contractor shall not delegate, transfer, subcontract or assign its duties or rights hereunder, either in whole or in part, without C ity’s prior written consent, which shall not be unreasonably withheld or delayed and any attempt to do so shall be void and of no effect. City shall not be obligated or liable under this Agree ment to any party other than Contractor.
Section 22. ATTORNEY FEES
In the event that City or Contractor commences any legal action or proceeding to enforce or interpret the provisions of this Agreement, the prevailing party shall be entitled to recover its costs of suit, including reasonable attorney’s fees.
Section 23. ENTIRE AGREEMENT
All documents referenced as exhibits in this Agreement are hereby incorporated in this Agreement. Except as expressly provided in this Agreement or its Exhibits, in the event of any conflict or inconsistency between the express provisions of this Agreement and provisions of any document incorporated by reference, the provisions of this Agre ement shall prevail and control. This instrument contains the entire Agreement between C ity and Contractor with respect to the subject matter herein. No other prior oral or written agreements are binding on the parties. Any modification of this Agreemen t will be effective only if it is in writing and executed by both City and Contractor.
Section 24. GOVERNING LAW; JURISDICTION
This Agreement shall be interpreted and governed according to the laws of the State of California. In the event of litigation between the Parties, venue, without exception, shall be in the Los Angeles County Superior Court of the State of California. If, and only if, applicable law requires that all or part of any such litigation be tried exclusively in federal court, venue, without exception, shall be in the Central District of California located in the City of Los Angeles, California.
Section 25. SEVERABILITY
Wherever possible, each provision of this Agreement shall be interpreted in such a manner as to be valid under applicable law. If any provision of this Agreement is determined by a court of competent jurisdiction to be invalid, void or unenforceable, the remaining provisions shall nevertheless continue in full force and effect.
15 Section 26. AMENDMENT; MODIFICATION
No amendment, modification or supplement of this Agreement shall be valid or binding unless executed in writing and signed by both Parties, subject to C ity approval. The requirement for written amendments, modifications or supplements cannot be waived and any attempted waiver shall be void and invalid.
Section 27. CAPTIONS
The captions used in this Agreement are solely for reference and the convenience of the parties. The captions are not a part of the Agreement, in no way bind, limit, or describe the scope or intent of any provision, and shall have no effect upon the const ruction or interpretation of any provision herein.
Section 28. AUTHORIZATION
Both parties represent and warrant that the person executing this Agreement on behalf of each party is an authorized agent who has actual authority to bind each party to each and every term, condition, and obligation of this Agreement and that all requirem ents of each party have been fulfilled to provide such actual authority.
Section 29. SURVIVAL OF PROVISIONS AND OBLIGATIONS
Any provision of this Agreement, which by its nature must be exercised after termination of this Agreement, will survive termination and remain effective for a reasonable time. Any obligation that accrued prior to termination of this Agreement will survive termination of this Agreement.
Section 30. EXECUTION
This Agreement may be executed in any number of counterparts, each of which shall be deemed an original, but all of which when taken together shall constitute one and the same instrument. One fully executed original counterpart will be delivered to Contractor and two original counterparts will be retained by City. [SIGNATURES ON FOLLOWING PAGE]
16 IN WITNESS WHEREOF, the Parties hereto have caused this Agreement to be executed the day and year first appearing in this Agreement, above.
CITY OF BELL GARDENS HORIZONS CONSTRUCTION COMPANY
INT’L, INC.
By:_____________________________ By:_____________________________ Michael B. O’Kelly, City Manager
Date:_______________ Date:__________________
Approved as to form:
By:
Stephanie Vasquez, City Attorney
17 EXHIBIT “A”
GENERAL PROVISIONS
FORD PARK
EAST RESTROOM/SUNSHINE BUILDING
DEMOLITION FY 2025-2026
IN THE CITY OF BELL GARDENS GENERAL
SPECIFICATIONS
SCOPE OF WORK
The Contractor shall provide all labor, materials, tools, equipment and incidentals as specified and required for demolition, removal and disposal. Included, but not limited to, are demolition and removals of existing materials, equipment, as shown and specified, and to connect same with existing work in an approved manner. Demolition includes structural concrete, foundations, walls, doors, windows, structural steel, metals, roofs, masonry, attachments, appurtenances, piping, electrical and mechanical equipment, paving, curbs, walks, fencing, brush, rubbish, scrap, and similar existing facilities. The Contractor shall also be responsible for the removal of hazardous materials including asbestos and lead based paint as specified in these specifications.
LOCATION OF WORK
Ford Park East Restroom/Sunshine Building is located at John Anson Ford Park, 8000 Park Lane, Bell Gardens, CA 90201. The East Restroom/Sunshine Building consists of one (1) single level structure on a slab.
TIME FOR COMPLETION
The Contractor shall complete all work in every detail within thirty (30) working days comprised of five (5) working days for mobilization and t wenty-five (25) days for construction, after the effective date in the Notice to Proceed with the Work to be issued by the Agency.
NOTIFICATION
The following list of names and telephone numbers is intended for the convenience of the Contractor and is not guaranteed to be complete or correct:
AT&T INQUIRIES
Attention: Mr. Jospeh Forkert (510) 645-2929
CALIFORNIA WATER SERVICE
Attention: Mr. Philip Delgado (323) 263-4145
CHEVRON
Attention: Ms. Dave Zerler (310) 669-4014
CITY OF BELL GARDENS – WATER & SEWER
Attention: Public Works Inspector (562) 806-7775
CITY OF BELL GARDENS
Attention: Mr. Douglas Benash (562) 806-7770
CRIMSON PIPELINE
Attention: Utility Coordinator (562) 285-4100
CROWN CASTLE – LA & VEN
Attention: Fiber Dig (888) 632-0931
FRONTIER
Attention: Ms. Cathy Brown (310) 264-5100
GOLDEN STATE WATER COMPANY
Attention: Mr. Ray Burk (562) 907-9200
L.A. COUNTY SANITATION DISTRICT
Attention: Engineering Counter (562) 908-4288
LIBERTY UTILITIES
Attention: Jim Elliot (562) 299-5127
MAYWOOD MUTUAL WATER CO.
Attention: Mr. Steven Rojo (323) 581-5816
METROPOLITAN WATER DISTRICT – SOTO ST
Attention: Substructures Team (213) 217-7663
MUTUAL WATER COMPANY
Attention: Mr. Jesus Barrera (323) 771-6682
PLAINS ALL AMERICAN PIPELINE
Attention: Ms. Paula Bawden (562) 728-2371
SOUTHERN CALIFORNIA GAS COMPANY – DOWNEY
Attention: Mr. Steve Gomez (714) 456-2419
SOUTHERN CALIFORNIA GAS COMPANY – TRANSMISSION
Attention: SoCalGas Transmission (818) 701-4546
SOUTHERN CALIFORNIA EDISON – DISTRIBUTION
Attention: Design Support/UND (562) 903-3167
SOUTHERN CALIFORNIA EDISON – TELECOMMUNICATIONS
Attention: Design Support/UND (562) 903-3167
SOUTHERN CALIFORNIA EDISON – TRANSMISSION
Attention: Design Support/UND (562) 903-3167
SPECTRUM - IRWINDALE
Attention: Engineering (866) 874-2389
UNDERGROUND SERVICE ALERT 811
EMERGENCY INFORMATION
The names, addresses, and telephone numbers of the Contractor and sub -contractors, or their representatives, shall be filed with the City Engineer, the County Fire Department (local station) and the City Police Department prior to beginning work.
STANDARD SPECIFICATIONS
The Standard Specifications and Plans of the AGENCY are contained in the 2018 Caltrans Standard Plans and Specifications and Latest Edition of the Standard Specifications for Public Works Construction and Standard Plans for Public Works Construction, including all supplements, as written and promulgated by the Public Works Standards, Inc., and all amendments thereto. Copies of these Standard Specifications and Plans are available from the publisher, Building News, Incorporated, 1612 South Clementine Street, Anaheim, California 92802, telephone (714) 517-0970.
The Standard Specifications and Plans set forth above will control the general provisions, construction materials, and construction methods for this contract, except as amended by these Plans, Special Provisions, or other contract documents. The following Special Provisions are supplementary and in addition to the provisions of the Standard Specifications unless otherwise noted and the section numbers of the Special Provisions coincide with those of the said Standard Specifications and Plans. Only those sections requiring elaborations, amendments, specifying of options or additions are called out.
ENVIRONMENTAL PROVISIONS
The Contractor shall as appropriate, comply with all provisions of Public Contracts Code Section 7104 (SB1470). The requirements of this code are summarized as follows:
In the event Contractor is required to dig any trench or excavation that extends deeper than 4 feet below the surface in order to perform the work authorized under this contract, Contractor agrees to promptly notify AGENCY in writing and before further disturbing the site if any of the conditions set forth below are discovered.
1. Materials that the Contractor believed may be material that is hazardous waste, as defined in Section 25117 of the Health and Safety Code, that is required to be removed to a Class I, Class II, or Class III disposal site in accordance with the provisions of existing law.
2. Subsurface or latent physical conditions at the site differing from those indicated.
3. Unknown physical conditions at the site of any unusual nature, different materially from those ordinarily encountered and generally reorganized as inherent in the work of the character provided for in this Contract.
4. AGENCY agrees to promptly investigate the conditions, and if AGENCY finds that the conditions do materially differ, or do involve hazardous waste, and cause a decrease or increase in Contractor’s cost of, or the time required for, performance of any part of the work, shall issue a change order under the procedures described in this Contract.
5. That, in the event a dispute arises between AGENCY and Contractor as to whether the conditions materially increase in Contractor’s cost of, or time required for, performance of any part of the work, Contractor shall not be excused from any scheduled completion date provided for in this Contact, but shall proceed with all work to be performed under the Contract.
Contractor shall retain any and all right provided either by this Contract or by law, which pertain to the resolution of disputes and protests between contracting parties.
FORD PARK
EAST RESTROOM/SUNSHINE BUILDING
DEMOLITION FY 2025-2026
IN THE CITY OF BELL GARDENS
SPECIAL PROVISIONS – GENERAL SECTION
THE FOLLOWING SPECIAL PROVISIONS SUPPLEMENT AND AMEND THE
STANDARD SPECIFICATIONS FOR PUBLIC WORKS CONSTRUCTION, LATEST EDITION, INCLUDING ALL THE SUPPLEMENTS. AS A REFERENCE
CONVENIENCE, THEY HAVE BEEN ARRANGED INTO A SEQUENCE WHICH PARALLELS THE ARRANGEMENT OF THE STANDARD SPECIFICATIONS.
SECTION 1 – TERMS, DEFINITIONS, ABBREVIATIONS AND SYMBOLS A. DEFINITIONS
AGENCY: City of Bell Gardens
Board: City Council of the City of Bell Gardens
Caltrans: State of California, Department of Transportation County: County of Los Angeles
Engineer: The City Engineer of the City of Bell Gardens or his authorized representative
Contractor: The word Contractor is supplemented by adding thereto the following:
The term Contractor means the Contractor as defined herein or his authorized representative.
SECTION 2 – SCOPE AND CONTROL OF THE WORK
2-1 AWARD AND EXECUTION OF CONTRACT
After the date of the AGENCY’S Notice of Award and prior to the dates stablished by the AGENCY, the Contractor shall execute and return the following contract documents to the AGENCY:
Contract Agreement
Faithful Performance Bond
Material and Labor Bond
Public Liability and Property Damage Insurance Certificate Worker’s Compensation Insurance Certificate
Failure to comply with the above will result in annulment of the award and forfeiture of the Proposal Guarantee.
The Contract Agreement shall not be considered binding upon the AGENCY until executed by the authorized AGENCY officials.
A corporation to which an award is made may be required, before the Contract Agreement is executed by the AGENCY, to furnish evidence of its corporate existence, of its right to enter into contracts in the State of California, and that the officers signing the contract and bonds for the corporation gave the authority to do so.
2-3 SUBCONTRACTS
2-3.1 General
The seventh paragraph of Subsection 2 -3.1 of the Standard Specifications is hereby deleted and replaced with the following:
The Contractor shall perform or provide, with its own organization, contract labor, materials, and equipment amounting to at least 50 percent of the Contract Price.
The contract labor performed or provided by the Contractor shall amount to at least 25 percent of the total contract labor for the Contract. Contract labor shall exclude superintendence. Any designated “Specialty Items” may be performed by subcontract and the amount of any such “Specialty Items” so performed may be deducted from the Contract Price before computing the amount of contact labor, materials, and equipment required to be performed or provided by the Contractor with its own organization. Where an entire item is subcontracted, the value of contract labor, materials, and equipment subcontracted will be based on the Contract Unit or Lump -Sum Price. When a portion of an item is subcontracted, the value of contract labor, materials, and equipment subcontracted will be based on the estimated percentage of the Contract Unit or Lump-Sum Price, determined from information submitted by the Contractor, subject to approval by the City Engineer.
The Contractor with the bid package shall submit a list of all subcontractors intended to perform work on the project. This list shall include 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, specially 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 1 percent of the prime contractors total bid. The prime contractor shall provide a description
by bid item number or otherwise fully designate the portion of work to be performed by each subcontractor.
2-4 CONTRACT BONDS
The Faithful Performance Bond shall remain in force for a period of 1 year after the date of recordation of the Notice of Completion. The Material and Labor Bond shall remain in force until 45 days after the date or recordation of the Notice of Completion.
The Contractor shall provide the following supplemental information for each bond as required herein:
A. Surety company or AGENCY name providing bond.
B. Name of the agent.
C. The business address of the surety company and/or AGENCY and agent.
D. The business telephone number of the surety company and/or AGENCY and agent.
2-5 PLANS AND SPECIFICATIONS
2-5.1 General
The Contractor shall maintain a control set of Plans and Specifications on the project site at all times. All final locations determined in the field, and any deviations from the Plans and Specifications, shall be marked in red on this control set to show the as -built conditions. Upon completion of all work, the Contractor shall return the control set to the City Engineer. Final payment will not be made until this requirement is met.
2-5.2 Precedence of Contract Documents
The Special Provisions shall include the Bid Proposal.
Section 2 is amended by adding thereto the following new Subsection 2-5.4 Examination of Contract Documents:
2-5.4 Examination of Contract Documents
The bidder shall examine carefully the entire site of work, including but restricted to the conditions and encumbrances related thereto, the Plans and Specifications, and the proposal and contract forms therefor. The submission of a bid shall be conclusive evidence that the bidder has investigated and is satisfied as to the conditions to be encountered, as to the character, quality, and scope of the work to be performed, the quantities of material to be furnished and as to the requirements of the proposal, Plans, Specifications, and the contract.
2-9 SURVEYING
2-9.2 Survey Service
Subsection 2-9.2 is hereby deleted and replaced with the following:
The Contractor shall retain a Licensed Land Surveyor or a Registered Civil Engineer authorized to practice land surveying within the State to provide construction staking which work shall be paid under the named bid item. Any other surveying deemed necessary by the Contractor shall be paid for as part of other work pay items.
2-9.4 Measurement and Payment
The following section is hereby added:
Full compensation for Construction Surveying, including furnishing all labor, materials, tools, equipment, surveyor, supervision, and incidentals for doing all the work involved shall be considered as included in the contract price paid.
SECTION 3 – CHANGES IN WORK
3-2.2.1 Contract Unit Prices
The first two paragraphs of Subsection 3 -2.2.1 are hereby deleted and replaced with the following:
The AGENCY reserves the right to increase or decrease the amount of any quantity shown and to delete any item from the contract. 3-3 EXTRA WORK
3-3.2 Payment
Subsection 3-3.2.1 is hereby deleted and replaced with the following:
3-3.2.1 General
When the price for the extra work cannot be agreed upon, payment for extra work by cost plus a differential for labor, materials, and equipment shall be considered payment under force account basis. The labor, materials, and equipment provided shall be subject to the approval of the City Engineer and compensation will be determined as provided herein.
3-3.2.2 Basis of Establishing Costs
Subsection 3-3.2.2(a) is hereby deleted and replaced with the following:
3-3.2.2(a) Labor
The Contractor will be paid the cost of labor for the workmen (including foremen when authorized by the City Engineer), used in the actual and direct performance of the work. The cost of labor, whether the employer is the Contractor, subcontractor, or other forces will be the sum of the following:
3-3.2.2(a).1 Actual Wages
The actual wages paid shall include any employer payments to or on behalf of the workmen for health and welfare, pension, vacation, and similar purposes. 3-3.2.2(a).2 Labor Surcharge
To actual wages, as defined in Section 3 -3.2.2.(a).1, will be added a labor surcharge set forth in the Department of Transportation, publication entitled “Labor Surcharge and Equipment Rental Rates,” which is in effect on the date upon which the work is accomplished and which is a part of the contract. Said labor surcharge shall constitute full compensation for all payments imposed by State laws and for all other payments made to, or on behalf of, the workmen, other than actual wages as defined in Section 3 -3.2.2(a).1 and subsistence and travel allowance as specified in Section 3-3.2.2(a).3.
3-3.2.2. (a).3 Subsistence and Travel Allowance
The actual subsistence and travel allowance paid to such workmen.
Subsection 3-3.2.2 (c) is hereby deleted and replaced with the following:
3-3.2.2. (c) Equipment Rental
The Contractor will be paid for the use of equipment at the rental rates listed for such equipment in the Department of Transportation Publication entitled “Labor Surcharge and Equipment Rental Rates,” which is in effect on the date upon which the work is accomplished and which is a part of the contract, regardless of ownership and any rental or other agreement, if such may exist, for the use of such equipment entered into by the Contractor. If it is deemed necessary by the City Engineer to use equipment not listed in the said publication, a suitable rental rate for such equipment will be established by the City Engineer. The Contractor shall furnish any cost data that might assist the City Engineer in the establishment of such rental rate.
The rental rates paid as provided above shall include the cost of fuel, oil, lubrication, supplies, small tools, necessary attachments, repairs, and maintenance of any kind, depreciation, storage, insurance, and all incidentals.
Operators of rented equipment will be paid for as provided in Section 3-3.2.2(a), “Labor.”
All equipment shall, in the opinion of the City Engineer, be in good working condition and suitable for the purpose for which the equipment is to be used.
Unless otherwise specified, manufacturer’s ratings and manufacturer-approved modifications shall be used to classify equipment for the determination of applicable rental rates. Equipment that has no direct power unit shall be powered by a unit of at least the minimum rating recommended by the manufacturer.
Individual pieces of equipment or tools not listed in said publication and having a replacement value of $200 or less, whether or not consumed by use, shall be considered to be small tools and no payment will be made therefor.
Rental time will not be allowed when equipment is inoperative due to breakdowns.
3-3.2.2(c).1 Equipment on The Work
The rental time to be paid for equipment on the work shall be the time the equipment is in operation on the extra work being performed, and in addition, shall include the time required to move the equipment to the location of the extra work and return it to the original location or to another location requiring no more time than that required to return to its original location, except that moving time will not be paid for if the equipment is used at the site of the extra work on other than such extra work. Loading and transporting costs will be allowed, in lieu of moving time, when the equipment is moved by means other than its own powers, except that no payment will be made if the equipment is used at the site of the extra work on other than such extra work.
The following shall be used in computing the rental time of equipment on the work:
1. When hourly rates are listed, less than 30 minutes of operation shall be considered to be ½ hour of operation.
2. When daily rates are listed, less than 4 hours of operation shall be considered to be ½ day of operation.
3-3.2.2. (c).2 Equipment Not on The Work
For the use of equipment moved in on the work and used exclusively for extra work paid for on a force account basis, the Contractor will be paid the rental rates listed in the Department of Transportation publication entitled “Labor Surcharge and Equipment Rental Rates,” which is in effect on the date upon which the work is accomplished and which is a part of the contract, or determined as provided in Section 3-3.2.2 (c) and for the cost of transporting the equipment to the location
of the work and its return to its original location, all in accordance with the following provisions:
• The original location of the equipment to be hauled to the location of the work shall be agreed to by the City Engineer in advance.
• The AGENCY will pay the costs of loading and uploading such equipment.
• The cost of transporting equipment in low -bed trailers shall not exceed the hourly rates charged by established haulers.
• The cost of transporting equipment shall not exceed the applicable minimum established rates of the Public Utilities Commission.
• The rental period shall begin at the time the equipment is unloaded at the site of the extra work, shall include each day that the equipment is at the site of the extra work, excluding Saturdays, Sundays, and legal holidays unless the equipment is used to perform the extra work on such days, and shall terminate at the end of the day on which the City Engineer directs the Contractor to discontinue the use of such equipment. The rental time to be paid per day will be in accordance with the following:
Hours Equipment is Hours to
On-Site Available for Use be Paid
0 – 4.0 4.0
4.5 4.5
5.0 5.0
5.5 5.5
6.0 6.0
6.5 6.5
7.0 7.0
7.5 7.5
8.0 8.0
Over 8 Hours of Operation Each ½ hr.
The hours to be paid for equipment that is operated less than 8 hours due to breakdowns shall not exceed 8 hours less the number of hours the equipment is inoperative due to breakdowns.
When hourly rates are listed, less than 30 minutes of operation shall be considered to be ½ hour of operation.
When daily rates are listed, payment for ½ day will be made if the equipment is not used. If the equipment is used, payment will be made for 1 day. The minimum rental time to be paid for the entire rental period on an hourly basis shall not be less than 8 hours or if on a daily basis shall not be less than 1 day.
• Should the Contractor desire the return of the equipment to a location other than its original location, the AGENCY will pay the cost of transportation in accordance with the above provisions, provided such payment shall not exceed the cost of moving the equipment to the work.
• Payment for transporting, loading and unloading equipment, as provided above, will not be made if the equipment is used on the work in any other way than upon extra work paid for on a force account basis.
When extra work, other than work specifically designated as extra work in the plans and specifications, is to be paid for on a force account basis and the City Engineer determines that such extra work requires the Contractor to move on to the work equipment which could not reasonably have been expected to be needed in the performance of the contract, the City Engineer may authorize payment for the use of such equipment at equipment rental rates in excess of those listed as applicable for the use of such equipment subject to the following additional conditions:
A. The City Engineer shall specifically approve the necessity for the use of particular equipment on such work.
B. The Contractor shall establish, to the satisfaction of the City Engineer, that such equipment cannot be obtained from his normal equipment source or sources and those of his subcontractors.
C. The Contractor shall establish to the satisfaction of the City Engineer that the proposed equipment rental rate for such equipment from his proposed source is reasonable and appropriate for the expected period use.
D. The City Engineer shall approve the equipment source and the equipment rental rate to be paid by the AGENCY before the Contractor begins work involving the use of said equipment.
3.2.2(c).3 Owner-Operated Equipment
When owner-operated equipment is used to perform extra work to be paid for on a force -account basis, the Contractor will be paid for the equipment and operator, as follows:
Payment for the equipment will be made in accordance with the provisions in Section 3-3.2.2(c), “Equipment Rental.”
Payment for the cost of labor and subsistence or travel allowance will be made at the rates paid by the Contractor to other workmen operating similar equipment already on the project or, in the absence of such other workmen, at the rates of such labor established by collective bargaining agreements for the type workmen and location of work whether or not the owner -operator is actually covered by such an agreement. A labor surcharge will be added to
the cost of labor described herein, in accordance with the provisions in Section 3-3.2.2(a), “Labor.”
To the direct cost of equipment rental and labor, computed as provided herein, will be added to the markups for the equipment rental and labor as provided in Section 3-3.2.3, “Mark-up.”
3-3.2.3 Mark-up
The text of subsection 3 -3.2.3 is hereby deleted and replaced with the following:
E. Work by Contactor. The following percentages at the maximum may be added to the Contractor’s costs and will constitute the mark -up for all overhead and profits, which shall be deemed to include all items of expense not specifically designated as cost or equipment rental in Sections 3 -3.2.2.(a) and 3 -3.2.2.(b), “Materials,” and 3 -3.2.2(c), “Equipment Rental.”
Labor 20%
Materials 15%
Equipment Rental 15%
Other Items and Expenditures 15%
To the sum of the costs and mark-ups provided for in this subsection, 1 percent may be added as compensation for bonding, where appropriate.
F. Work by Subcontractor. When all or any part of the extra work is performed by a subcontractor, the mark -up established in Subsection 3 -
3.2.3(a) shall be applied to the subcontractor’s actual cost of such work, to which a mark-up of 10 percent on the first $2,000 of the subcontracted portion of the extra work and a mark -up of 5 percent on the work added in excess of $2,000 of the subcontracted portion of the extra work may be added by the Contractor.
3-5 DISPUTED WORK
3-5.1 Claims and Disputes During Performance:
The following procedures and requirements shall apply and be fully complied with for any claim or dispute to be considered for payment as extra work:
Procedure:
A. The Contractor and the City shall make good faith attempts to resolve any and all claims and disputes that may from time to time arise during the performance of the Work of this contract. If the Contractor considers any Work required of them to be outside the requirements of the Contract, or if they consider any instruction, meaning, requirement, ruling or decision of the City or its representatives to be in unauthorized, they shall within
seven (7) calendar days after such demand is made, or instruction is given, file a written protest (dispute) with the City stating clearly and in detail their objection and reason therefore. The contractor shall promptly comply with the Work required of them even though a written protest has been filed. If a written protest is not issued within seven (7) calendar days, the Contractor shall waive their right to further claim on the specific issue.
B. The City will review the Contractor’s written protest and provide a decision, if the Contractor still considers the Work required of them to be outside of the requirements of the Contract, they shall so notify the City, in writing, within seven (7) calendar days after receiving the decision that a formal claim will be issued. Within thirty (30) calendar days of receiving the decision, the Contractor shall submit their claim and all arguments, justification, cost or estimate, schedule analysis, and detailed documentation supporting their position. Failure to furnish notification within seven (7) calendar days and all justifying documentation within thirty (30) calendar days will result in the Contractor waiving their right to the subject claim.
C. Upon receipt of the Contractor’s formal claim, including all arguments, justifications, cost or estimates, schedule analysis, and documentation supporting their position as previously stipulated, the City or its representative will review the issue and within thirty (30) calendar days from receipt of the Contractor’s claim render a final determination.
Certification:
A. The Contractor shall submit with the claim their and their Subcontractors’ certifications under penalty or perjury that:
1. The claim is made in good faith.
2. Supporting data is accurate and complete to the best of the Contractor’s knowledge and belief.
3. The amount requested accurately reflects the Contract adjustment for which the Contractor believes the City is liable.
4. If the Contractor is an individual, the certification shall be executed by that individual.
5. If the Contractor is not an individual, the certification shall be executed by an officer or general partner of the Contractor having overall responsibility for the conduct of the Contractor’s affairs.
6. If a false claim is submitted, it will be considered fraud and the Contractor may be subject to criminal prosecution.
B. In regard to any claim or portion of a claim for Subcontractor work, the Contractor shall fully review said claim and certify said claim, under penalty or perjury, to have been made in good faith.
C. Failure to furnish certification as required hereinbefore will result in the Contractor waiving their right to the subject claim.
Claim Format:
A. The Contractor shall submit the claim justification in the following format:
1. Summary of claim merit and quantum plus clause under which the claim is made.
2. List of documents relating to claim:
G. Specifications
H. Drawings
I. Addendum
J. Clarifications/Requests for information
K. Schedules
L. Other
3. Chronology of events and correspondence.
4. Analysis of claim merit.
5. Analysis of claim cost.
SECTION 4 – CONTROL OF MATERIALS
A. MATERIALS AND WORKMANSHIP
B. General
The Contractor shall guarantee that the entire work will meet all requirements of this contract as to the quality of materials, equipment, and workmanship. The Contractor, at no cost to the AGENCY, shall make any repairs or replacements made necessary by defects in materials, equipment, or workmanship that become evident within one (1) year after the date of recordation of the Notice of Completion. Within this one -year period, the Contractor shall also restore to full compliance with requirements of this contract any portion of the work which is found to not meet those requirements. The Contractor shall hold the AGENCY harmless from claims of any kind arising from damages due to said defects or noncompliance. The Contractor shall make all repairs, replacements, and restorations within 30 days after the date of the City Engineer’s written notice. 4-1.4 Test of Materials
Except as elsewhere specified, the AGENCY will bear the cost of testing material and/or workmanship for a determination as to whether or not the material and/or workmanship meet or exceed the requirements indicated in the Standard Specifications and the Special Provisions. The cost of all other tests, including the retesting of material or workmanship that fails to pass the first test, shall be borne by the Contractor.
4-1.5 Certification
A Certificate of Compliance shall be furnished prior to the use of any materials for which these Specifications or the Special Provisions require that such a certificate be furnished. In addition, when so authorized in these Specifications or in the Special Provisions, the City Engineer may permit the use of certain materials or assemblies prior to sampling and testing if accompanied by a Certificate of Compliance. The Certificate shall be signed by the manufacturer of the materials or the manufacturer of assembled materials and shall state that the materials involved comply in all respects with the requirements of the specifications. A Certificate of Compliance shall be furnished with each lot of material delivered to the work and the lot so certified be clearly identified in the Certificate.
All materials used on the basis of a Certificate of Compliance may be sampled and tested at any time. The fact that material is used on the basis of a Certificate of Compliance shall not relieve the Contractor of responsibility for incorporating material in the wok which conforms to the requirements of the Plans and Specifications, and any such material not conforming to such requirements will be subject to rejection whether in place or not.
The AGENCY reserves the right to refuse to permit the use of material on the basis of a Certificate of Compliance.
The form of the Certificate of Compliance and its disposition shall be as directed by the City Engineer.
SECTION 5 – UTILITIES
• LOCATION
The location and existence of any underground utility or substructure was obtained from a search of available records. No guarantee is made or implied that the information is complete or accurate. It shall be the Contractor’s responsibility alone to determine the exact location of underground utilities or substructures of every nature and to protect them from damage. The Contactor shall excavate and expose all high-risk underground facilities.
The Contractor shall notify the owners of all utilities and substructures as set forth in the General Specifications.
5-5 DELAYS
The Contractor will not be entitled to damages or additional payment for delays attributable to utility relocations or alterations if correctly located, noted, and completed in accordance with Subsection 5 -1 of the Standard Specifications.
The Contractor shall ascertain further detailed information to coordinate his work to this effect.
Compensation for idle time due to delays shall be in conformance with Subsection 8 -1.09 of the State Standard Specifications wherein reference to Section 4-1.03D shall mean Subsection 3-3.1 of the Standard Specifications.
SECTION 6 – PROSECUTION, PROGRESS, AND ACCEPTANCE OF THE WORK 6-1 CONSTRUCTION SCHEDULE AND COMMENCEMENT OF WORK
The Contractor’s proposed construction schedule shall be submitted to the City Engineer prior to the pre -construction meeting, the schedule shall clearly state the begin of construction on the dates stablished by the City. The schedule shall be supported by written statements from each supplier of materials or equipment indicating that all orders have been placed and acknowledged and setting forth the dates that each item will be delivered.
In the event the Contractor must modify the work schedule, a written request to modify the schedule shall be submitted to the City Engineer for approval at least 48 hours (2 working days) prior to the intended change. The Contractor shall have the City Engineer’s approval of the change prior to commencing on the changed portion of the work.
Prior to issuing the Notice to Proceed with the Work, the City Engineer will schedule a pre -construction meeting with the Contractor to review the proposed construction schedule and delivery dates, arrange utility coordination, discuss construction methods, and clarify inspection procedures.
The Contractor shall submit progress reports to the City Engineer by the 10th day of each month. The report shall include an updated Construction Schedule. Any deviations from the original schedule shall be explained. Progress payments will be withheld pending receipt of any outstanding reports.
6-6 DELAYS AND EXTENSIONS OF TIME
A. General
Utility delays subject to provisions of Subsection 5 -5 of the Standard Specifications shall only be granted time extensions or payment for delay based in strict conformance with Subsections 6 -6.2, 6 -6.3, and 6 -6.4 in the Standard Specifications and as those subsections are modified in the General Conditions.
6-6.4 Written Notice and Report
The first sentence of subsection 6-6.4 is hereby deleted and replaced with the following:
If the Contractor desires payment for a delay as specified in Subsection 6-6.3 of the Standard Specifications, it shall notify the City Engineer in writing within 3 days of beginning of the delay. If the Contractor desires an extension of time as specified in Subsection 6-6.2 of the Standard Specifications, it shall notify the City Engineer in writing within 3 days of beginning of the delay. Such notice shall specify the nature of the delay, cause, and the conditions, which set the beginning time for the delay.
6-7 TIME OF COMPLETION
6-7.1 General
The time for completion shall be as noted in the General Specifications. 6-7.2 Working Day
The Contractor’s activities shall be confined to the hours between 8:30 a.m. and 3:30 p.m., Monday through Friday, excluding holidays. Contractor shall also coordinate his work with school schedules within the project area in order to minimize traffic disruption when school is in session. The Contractor shall also coordinate his work with the City of Bell Gardens to minimize traffic disruption during construction and incorporate the City of Bell Gardens requirements.
Deviation from these hours will not be permitted without the prior consent of the City Engineer, except in emergencies involving immediate hazard to persons or property. In the event of either a requested or emergency deviation, inspection service fees will be charged against the Contractor. The service fees will be calculated at overtime rates, including benefits, overhead, and travel time. The service fees will be deducted from any amounts due to the Contractor. 6-9 LIQUIDATED DAMAGES
The liquidated damages value will be two hundred fifty dollars ($250.00) per day.
SECTION 7 – RESPONSIBILTIES OF THE CONTRACTOR
7-1 CONTRACTOR’S EQUIPMENT AND FACILITIES
A noise level limit of 86 dBA at a distance of 15 meters (50 feet) shall apply to all construction equipment on or related to the job whether owned by the Contractor or not. The use of excessively loud warning signals shall be avoided, except in those cases required for the protection of personnel.
No equipment, material or porta -potties to be in the Right -of-Way during non - working hours. Unused signs shall be removed. Equipment must be free of any leaks.
7-2 LABOR
7-2.2 Laws
The Contractor, and all subcontractors, suppliers and vendors, shall comply with all AGENCY and State orders regarding affirmative action to ensure equal employment opportunities and fair employment practices. Failure to file any report due under said orders will result in suspension of periodic progress payments.
The Contractor shall ensure unlimited access to the job site for all equal employment opportunity compliance officers.
7-3 LIABILITY INSURANCE
The first four paragraphs of Section 7-3 are amended to read as follows:
The Contractor shall furnish the AGENCY a policy or certificate of liability insurance in which the AGENCY and all its officers, employees, consultants and agents, including [company], are named insured or are named as an additional insured with the contractor. Notwithstanding and inconsistent statement in the policy or any subsequent endorsement attached thereto, the AGENCY and all to its officers, employees, consultants and agents, including [company], shall be the insured or named as an additional insured covering the Work, whether liability is attributable to the Contractor or the AGENCY or its officers, employees, consultants and agents, including [company]. The policy shall insure AGENCY and all of its officers, consultants and agents, including [company], while acting within the scope of their duties of the Work, against all claims arising out of or in connection with the Work, except as provided for in Subsection 6-10.
The Contractor may file insurance acceptable to the AGENCY covering more than one project. The coverage shall provide the following minimum limits:
Insurance Coverage Requirements Limit Requirements
Comprehensive General Liability $1,000,000
Product/Completed Operations Hazard $1,000,000
Comprehensive Automobile Liability $1,000,000
Contractual General Liability $1,000,000
Worker’s Compensation Statute
A combined single-limit policy with aggregate limits in the amount of $2,000,000 will be considered equivalent to the required minimum limits.
The issuer shall be an “admitted surety insurer” duly authorized to transact business under the laws of the State of California.
Acceptable insurance coverage shall be placed with carriers admitted to write insurance in California with a rating of or equivalent to A: VIII by A.M. Best & Co.
Any deviation from this rule shall require specific approval, in writing, from the City.
Except as provided for in Subsection 6 -10, the Contractor shall save, keep, and hold harmless the AGENCY and all of its officers, employees, consultants, and agents, including [company], from all damages, costs or expenses in law or equity that may at any time arise or be set up because of damages to property, or of personal injury received by reason of or in the course of performing work, which may be caused by any willful or negligent act to omission by the Contractor, any of the Contractor’s employees, or any Subcontractor. The AGENCY and all of its officers, employees, consultants, and agents, including [company], will not be liable for any accident, loss, or damage to the Work prior to the completion or acceptance, except as provided for in Subsection 6.10.
A copy of the endorsement, showing policy limits, shall be provided to the City on or before signing this contract.
7-5 PERMITS
The text of Subsections 7-5 of the Standard Specifications is hereby deleted and replaced with the following:
Prior to the start of any work, the Contractor shall take out the applicable AGENCY permits and make arrangements for AGENCY inspections. The AGENCY will issue the permits at no charge to the Contractor and its subcontractors as applicable. The Contractor and all subcontractors shall each obtain at their expense an AGENCY business license and shall be licensed as Contractor in accordance with State Business and Professions Code. The Contractor shall also obtain any and all other permits, licenses, inspections, certificates, or authorizations required by any other governing body or entity.
The Contractor shall pay all cost incurred by the permit and license requirements. 7-8 PROJECT SITE MAINTENANCE
i. Cleanup and Dust Control
Subsection 7-8.1 of the Standard Specification is amended by adding thereto the following:
The Contractor shall have available a power broom to be used at the construction site during all periods of construction to provide for cleanup as directed by the City Engineer during working hours. At the end of each workday,
the Contractor shall remove all dirt and unused materials and sweep haul routes and work areas using the power broom.
7-9 PROTECTION AND RESTORATION OF EXISTING IMPROVEMENTS
The second paragraph of Subsection 7 -9 of the Standard Specifications is hereby deleted and replaced with the following:
The Contractor shall relocate, repair, replace, or re -establish all existing improvements within the project limits which are not designated for removal (e.g., curbs, sidewalks, driveways, fences, walls, sprinkler systems, signs, utility installations, pavements, structures, etc.), which are damaged or removed as a result of his operations or as required by the Plans and Specifications.
Where existing traffic striping, pavement markings, and curb markings are damaged or their reflectivity reduced by the Contractor’s operations, such striping or markings shall also be considered as existing improvements and the Contractor shall repaint or replace such improvements.
All curb termination stub -outs for traffic signal detectors are considered existing improvements. Existing curb termination stub-outs damaged as a result of work required by the Plans and Specifications shall be replaced by the Contractor at no cost to the AGENCY.
Relocations, repairs, replacements or re-establishments shall be at least equal to the existing improvements and shall match such improvements in finish and dimensions unless otherwise specified.
The last paragraph of Subsection 7 -9 of the Standard Specifications is hereby deleted and replaced with the following:
All costs to the Contractor for protecting, removing, restoring, relocating, repairing, replacing, or re-establishing existing improvements shall be included in its bid.
7-10 SAFETY
7-10.4.1 Work Site Safety
7-10.4.1.1 General
Subsection 7 -10.4.1.1 is hereby added to Section 7 of the Standard Specifications as follows:
It is part of the service required of the Contractor to make whatever provisions are necessary to protect the public. The Contractor shall use foresight and shall 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 interruptions or contamination of public water supply, interruption of other public services, or
from the failure of partly completed work or partially removed facilities. Unusual conditions may arise on the work which will require that immediate and unusual provisions be made to protect the public from danger or loss, or damage to life and property, due directly or indirectly to prosecution of work under this contract.
Whenever, in the opinion of the City Engineer, an emergency exists for 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 City Engineer, immediate action shall be considered necessary in order to protect the public or property due to the Contractor’s operations under this contract, the City Engineer will order the Contractor to provide a remedy for the unsafe condition. If the Contractor fails to act on the situation within a reasonable time period, the City Engineer may provide suitable protection to said interests by causing such work to be done and material to be furnished as, in the opinion of the City 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, shall be borne by the Contractor. All expenses incurred by the AGENCY for emergency repairs will be deducted from the progress payments and the final payment due to the Contractor. However, if the AGENCY does not take such remedial measures, the Contractor is not relieved of the full responsibility for public safety.
7-15 RECYCLING OF MATERIALS
Subsection 7-15 is hereby added to the Standard Specifications.
1.1.1 Recycling of Asphalt Concrete, Portland Cement Concrete, Aggregate Base, and Green Waste are required.
RECORDS OF DISPOSAL, INCLUDING SCALE TONNAGES, SHALL BE FURNISHED TO THE AGENCY ON A MONTHLY BASIS.
1.1.2 Contractor’s Obligation
The AGENCY is committed to a recycling program. It is the obligation of the Contractor, under this contract, to recycle the waste material through an approved recycling plant. Records and report of waste recycle shall be submitted to the City of Bell Gardens on a regular monthly basis.
SECTION 8 – FACILITIES FOR AGENCY PERSONNEL
No field offices for AGENCY personnel shall be required; however, the AGENCY personnel shall have the right to enter upon the project at all times and shall be admitted to the project offices of the Contractor if so provided by the Contractor for his own personnel.
SECTION 9 – MEASUREMENT AND PAYMENT
9-3 PAYMENT
9-3.2 Partial and Final Payment
The text of Subsection 9 -3.2 of the Standards Specifications is hereby deleted and replaced with the following:
The closure date for the purpose of making partial progress payments will be on or about the twenty -fifth (25th) day of each month. The Contractor shall prepare the approximate measurement of the work performed through the closure date, obtain the City Inspector’s approval thereof, and then submit it to the AGENCY for approval by the 10th day of the following month.
At the pre-construction meeting the City will distribute a schedule of when the City Council will schedule for approval the project payments and the subsequent payment check issuance date.
When the work is complete, the City Engineer will determine the final quantities of the work performed and prepare the final progress payment report. Payments are commonly authorized and made within 45 days following the 10 th day of the month submitted. However, payments will be withheld pending receipt of any outstanding reports required by the contract documents. 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.
A full 5-percent retention will be deducted from all progress payments. The final retention will be authorized for final payment 35 days after the date of recordation of the Notice of Completion.
The Contractor, however, may receive interest on the retained amount, or receive the retained amount itself so long as the securities equivalent to the retained amounts are substituted with escrow holder approved by the AGENCY.
At the request and expense of the Contractor, retained amounts or securities equivalent to the retained amounts may be deposited with the State Treasurer or a State or Federally chartered bank approved by the AGENCY as the escrow agent, who shall return such monies or securities to the Contractor upon satisfactory completion of the contract.
Securities eligible for investment shall include those listed in Section 16430 of the State Government Code or bank or savings and loan certificates of deposit, interest bearing demand deposit accounts, and standby letters of credit.
Any escrow agreement entered into shall contain the following provisions and shall be substantially similar to the form “Escrow Agreement for Security Deposits” in lieu of retention as contained in Section 4590 of Chapter 13 of Division 5 Title 1 of the Government Code.
9-3.2.2 Alternative Dispute Resolution
After submittal of the proposed final estimate to the Contractor, a meeting shall be held promptly between Contractor and AGENCY, attended by the individuals with decision-making authority regarding the dispute, to attempt in good faith to negotiate a resolution of claims arising under or related to performance of the contract.
Throughout the contract period, meetings shall be held, as needed, between Contractor and City so as to endeavor to settle any then pending disputes.
If, within 30 days after such meeting, the parties have not succeeded in negotiating a resolution of the claims, they will jointly appoint a mutually acceptable neutral person not affiliated with either of the parties (the “neutral”). If they have been unable to agree upon such appointment within 40 days from the initial meeting, the parties shall seek assistance in finding a mutually acceptable neutral. If the parties are unable to agree on a neutral, either party may request that the presiding judge of the Superior Court which would have jurisdiction of the matter if a suite were filed, to appoint the neutral. The fees of the neutral shall be shared equally by the parties.
In consultation with the neutral, the parties will select or devise an alternative dispute resolution procedure (“ADR”) by which they will attempt to resolve the dispute, and, if the parties are unable to agree on such matters within 20 days after the initial consultation with neutral, the procedure, time and place for the ADR to be held will be decided by the neutral. Unless circumstances required otherwise, the ADR shall be held not later than 60 days after selection of the neutral.
The parties agree to participate in good faith in the ADR to its conclusion as designated by the neutral. If the parties are not successful in resolving the dispute through the ADR, then the parties may agree to submit the matter to binding arbitration, or a private adjudicator, or either party may seek an adjudicated resolution through the appropriate court.
9-3.3 Delivered Materials.
Materials and equipment delivered but not incorporated into the work may not be included in the estimate for progress partial payment.
The following subsection is hereby added to Section 9 of the Standard Specifications:
9-3.5 Final Pay Quantities
When the estimated quantities for a specific portion of the work are designed in the bid schedule by the letter (F) as final payment quantities, said estimated quantities shall be the final quantities for which payments for such specific portion of the work will be made unless the dimensions of said portions of the
work shown on the plans are revised by the City Engineer. If such dimensions are revised and such revisions result in an increase or decrease in the quantities of such work, the final quantities for payment will be revised in the amount represented by the changes in the dimensions. The estimated quantities for such specified portion of the work shall be considered as approximate only, and no guarantee is made that the quantities which can be determined by computations is made based on the details and dimensions shown on the plans will equal the estimated quantities. No allowance will be made in the event that the quantities based on computations do not equal the estimated quantities.
SECTION 600 – ACCESS
600-1 GENERAL.
The following is added this this subsection of the Standard Specifications:
The Contractor shall notify the occupants of all affected properties in writing at least forty-eight hours (2 working days) prior to any temporary obstruction of access.
600-2 VEHICULAR ACCESS.
The following is added this this subsection of the Standard Specifications:
Vehicular access to the property line shall 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.
In cases where driveways require replacement. Where a property has two driveways, only one driveway at a time can be closed for replacement. Where a single driveway to a property has a considerable width, half of the driveway is to be closed, worked on and reopened for usage before the other half of the driveway can be worked on.
All driveways have to be open for access during project non -construction hours and days which may require use of plating and other devices or methods.
No driveway can be worked on until the owner/tenant has been informed in writing with five (5) working days’ notice of the scheduled work and has agreed to the planned schedule of the Contractor.
600-3 PEDESTRIAN ACCESS.
The following is added this this subsection of the Standard Specifications:
Under situations of sidewalk closure to pedestrians, the Contractor shall post advance notice on barricades to direct pedestrian to use the sidewalk on the opposite side of the street or the Contractor may elect to provide continuous K - rail in the curb lane to allow pedestrians to walk in the curb lane behind the K-rail.