Agreement
1300-1
SECTION 1300
CONTRACT
THIS
CONTRACT, by and between the CITY OF CATHEDRAL CITY, a
municipal corporation, herein referred to as "City”, and Granite Construction Company , herein referred to as, "Contractor”.
W I T N E S S E T H:
In consideration of their mutual covenants, the parties hereto agree as follows:
1. Contractor shall furnish all necessary labor, material, equi pment, transportation, and services for VIA DE ANZA STREET IM PROVEMENTS, PHASE I, CITY PROJECT NO. 8834, BID NO. B22-05E (the “Work”) in the City of Cathedral City, California. The Wor k s hall be done in strict conformity with this Contract, approved Change Orders, the Invitation to Bid dated MAY 25, 2022, Instructions to Bidder s, permits issued by the City or other agencies, the General and Specific Project Requirements, Standard Specifications, Plans, Referenced Specifications, the Gener al Conditions, S upplementary Conditions the Contractor's Bid dated May 25, 2022, and any addenda thereto (the “Contract Documents”) all of which shall be considered a part hereof as though fully set herein.
2. Contractor will comply with all Federal, State, County, and City of Cathedral City laws, regulations, and policies, which are, as amended from tim e to time, incorporated herein by reference.
3. All work shall be done in a workman-like manner and to the s atisfaction of the City Engineer.
4. Time is of the essence in the Contractor’s performance of th e Work for this Contract. The contractor agrees to diligently pursue the performance and completion of the Work in every detail to the satisfaction of the City. The c ontractor shall commence work after the issuance of a written Notice to Proceed and agre es to have all work completed within 30 working days from the date of Notification to Proceed.
5. In consideration of said Wo rk, City agrees to pay Contractor such sums as shall be approved by the City Engineer a t lump sums and/or unit prices stated in the Contractor's Bid. The total c ompensation to Contractor for all Work shall not exceed Four Hundred Seventy Thousand, Seventy Three Dollars and Twenty C e n t s ($470,073.20). All payments shall be subject to approval by th e City Engineer and shall be in accordance with the terms, conditions, and procedures pro vided in the Contract Documents.
6. The Contractor shall not knowingly pay less than the higher of the Federal minimum wage rate or the general prevailing rate for per diem wages, as determined by the State of California Department of Industrial Relations and referred to in the Invitation to Bid, to any workman employed for the work to be performed un der this contract; and the Contractor shall forfeit as a penalty to the City the sum of Twenty-Five Dollars ($25.00) for each calendar day, or fraction thereof, for such workman paid by him or by
Agreement 1300-2
any subcontractor under him in viol ation of this provision (Sec tions 1770-1777, Labor Code of California).
7. Concurrently with the executi on of this Contract, Contractor shall furnish bonds of a surety satisfactory to City, a s provided in the Contract Docu ments, the cost of which shall be paid by Contractor.
8. Contractor agrees to indemni fy, hold harmless, release and d efend (even if the allegations are false, fraudulent, or groundless), to the maxim um extent permitted by law, the City, its City Council and each member thereof, and it s officers, employees, commission members, and representatives, from any and all liabi lity, loss, suits, claims, damages, costs, judgments and expens es (including attorney's fe es and costs of litigation) which in whole or in part are claimed to result from or to arise out of the usage or operation, including the malfunctioning of, or, any injury c aused by, any product purchased herein; or any acts, e rrors or omissions (including, without limitation, professional negligence) of Cont ractor, its employees, represen tatives, subcontractors, or agents in connection with the performance of this Contract. This agreement to indemnify includes, but is not limited to, personal injury (including death at any time) and damage to property (including, but without limitation, contract or tort or patent, copyright, trade secret, or trademark infri ngement) sustained by any perso n or persons (including, but not limited to, companies, or corporations, Contractor and its employees or agents, and members of the general public.
9. Except as otherwise required, C ontractor shall concurrently with the execution of this Contract, furnish the City satisfactory evidence of insura nce of the kinds and in the amounts provided in the Contract D ocuments. This insurance sha ll be kept in full force and effect by Contractor during this entire contract and all pr emiums thereon shall be promptly paid by it. Each policy shall further state that it c annot be canceled without 30 days unconditional written notic e to the City and shall name th e City as an additional insured. The contractor shall furnish evidence of having in ef fect and shall maintain Workers Compensation Insurance coverage of not less than the st atutory amount or otherwise show a certificate of self-insurance, in accordance w ith the Workers Compensation laws of the State of California. Failure to maint ain the required amounts and types of coverage throughout the duration of this Contract shall constitute a material breach of this Contract.
10. Contractor shall forfeit as a penalty to City $25.00 for ea ch laborer, workman, or mechanic employed in the execution of this Contract by said Con tractor, or any subcontractor under it, upon any of the work herein mentioned, for each calendar day during which such laborer, workm an, or mechanic is required or permitted to work at other than a rate of pay provi ded by law for more than 8 hours in any one calendar day and 40 hours in any one calendar week, in violation of the prov isions of Sections 1810- 1815 of the Labor Code of the State of California.
11. In accepting this Contract, Contractor certifies that in th e conduct of its business it does not deny the right of any individual to seek, obtain an d hold employment without discrimination because of race, r eligious creed, color, national origin, ancestry, physical disability, mental disability, medical condition, genetic infor mation, marital status, sex, gender, gender identity, gender expre ssion, age, sexual orienta tion, or military and
Agreement 1300-3
veteran status as provided in the California Fair Employment Pr actice Act (Government Code Sections 12900, et seq.) C ontractor agrees that a finding by the State Fair Employment Practices Commission that Contractor has engaged dur ing the term of this Contract in any unlawful employment practice shall be deemed a breach of this Contract and Contractor shall pay to Cit y $500.00 liquidated damages for each such breach committed under this Contract.
12. Contractor also agrees that for contracts in excess of $30, 000 that apprentices will be employed without discrimination in an approved program in a ratio established in the apprenticeship standards of t he craft involved (Sections 17 77.5 and 1777.6, Labor Code of California). Contractors who willfully fail to comply will be denied the right to bid on public projects for a period of six months in addition to ot her penalties provided by law.
13. Contractor and Owner do hereby acknowledge that this project will be partially or fully funded with Community Development Block Grant (CDBG) funds [24 CFR 570 and is therefore subject to applicable Federal procurement, labor, environmental, equal opportunity, and other regulations.
14. Contractor shall comply with the Davis-Bacon Fair Labor Sta ndards Act (40 USC a-276, a-5) and the implementati on regulations issued pursuant thereto (29 CFR Section 1, 5) and any amendments thereof. Pursuant to the said regulations. Contractor shall comply with the U.S. D epartment of Housing and Urban Deve lopment’s Federal Labor Standards Provisions (HUD 4010).
Contractor acknowledges that wor k under this contract is subjec t to the payment of prevailing wages pursuant to Se ction 1770 and 1773 et seq. of t he Labor Code of the State of California, the Director of Industrial Relations (State Prevailing Wages), and the U.S. Department of Housing and Urban Development’s Federal Labo r Standards Provisions (Davis-Bacon Act Prevailing Wages). The Contractor to whom the contract is awarded, and all subcontractors under him, shall pay the higher of the Federal or State prevailing wage rate for any given classification employed in t he performance of this contract.
Contractor acknowledges that the applicable Wage Determination for this project is:
General Decision Number: CA20220025
Modification Number: 5
Date: 2-25-2022
15. Section 3 Compliance: The Contractor hereby acknowledges that this federally- funded project is subject to Section 3 of the Housing and Urban D e v e l o p m e n t A c t o f 1968 [12 U.S.C. 1701u and 24 CFR Part 135] and agrees to the following:
A. The work to be performed under this contract is subject to t he requirements of section 3 of the Housing and Ur ban Development Act of 1968, as amended, 12 U.S.C. 1701u (section 3). The pur pose of section 3 is to ensure that employment
Agreement 1300-4
and other economic opportunities generated by HUD assistance or HUD-assisted projects covered by section 3, shall, to the greatest extent feasible, be directed to low- and very low-income persons, particularly persons who are recipients of HUD Assistance for housing.
B. The parties to this contract will comply with the provisions of said Section 3 and the regulations issued pursuant t hereto by the Secretary of Hou sing and Urban Development set forth in 24 CF R 570, and all applicable rules a nd orders of the Department issued hereunder prior to the execution of this cont ract. The parties to this contract certify and agree that they are under no contr actual or other disability which would prevent them from complying with these requirements.
C. The contractor will send to eac h labor organization, or representative or workers, with which he has collective bargaining agreement or other cont ract, or understanding, if any, a notice adv ising the said labor organiz ation or workers; representative of his commitmen ts under this Section 3 Clause a nd shall post copies of the notice in a conspicuous place available to employ ees and applicants for employment or training.
D. The contractor will include this Section 3 Clause in every s ub-tier contract for work in connection with the project and will, at the direction of the applicant for, or recipient of, the Federal financ ial assistance, take appropriat e action pursuant to the sub-tier contract upon findi ng that the subcontractor is in violation of the regulations issued by the Secretar y of Housing, and Urban Devel opment, 24 CFR 570. The contractor will not enter into any sub-tier contra ct with any subcontractor where it has notic e or knowledge that the latter has been found in violation of regulations under 24 CFR 570 and will not let any subcontract unless the subcontractor has first pro vided it with a preliminary stat ement of ability to comply with the requirements of these regulations.
E. Compliance with the provisi ons of Section 3, the regulations set forth in 24 CFR 570, and all applicable rules and orders of the Department issu ed thereunder prior to the execution of the c ontract, shall be a condition of the Federal financial assistance provided to the project binding upon the applicant or recipient for such assistance, its successors, and assigns. Failure to fulfill the se requirements shall subject the applicant or recipient, its contractors and subcont ractors, its successors, and assigns to those sanctions specified by the gra nt or loan agreement or contract through which Federal assistance is provided, and to such sanctions as are specified by 24 CFR 135.
F. All contractors and their subc ontractors shall include as pa rt of their bid proposal a copy of their Section 3 Affirmative Action Plan. The Plan sho uld include the following:
a. A preliminary statement of w orkforce needs (skilled, semi-skilled, unskilled labor and trainees by category).
b. Goals (in percentage) relative to utilization of lower incom e persons in project area.
Agreement 1300-5
c. Goals relative to the project dollar amount of subcontractor s to be awarded to project area business.
16. Additional Feder al Requirements. Whereas, the work under this Agreement is subject to applicable Federal, State, and local la ws and regulations, including but not limited to the regulations pertaining to the Community Development Block Grant program ( 24 CFR Part 570) and the Uniform Administrative Requirement, Cost Principles, and Audit Requirements for Federal Awards (2 CFR Part 200) .
Contractor, sub-contractors, Cons ultants, and sub-consultants a gree to comply with, and are subject to, all applicable requirements as follows:
A. Equal Employment Opportunity - Compliance with Executive Order 11246 of September 24, 1965, entitled "Equal Employment Opportunity", a s amended by Executive Order 11375 of October 13, 1967, and as supplemented in Department of Labor regulations (41 CFR chapter 60). The Contractor/Consultant will not discriminate against any employee or applicant for employment because of race, c olor, religion, sex, or nation al origin.
Contractor/Consultant will ensure that all qualified applicants will receive consideration for employment w ithout regard to race, color, rel i g i o n , s e x o r national origin. The Contractor/Consultant will take affirmativ e action to ensure that applicants are empl oyed and the employees are treat ed during employment, without regard to their race color, religion, sex, or national origin.
Such actions shall include, but a re not limited to, the followi ng: employment, up-grading, demotion, or transfer; recruitment or recruitment advertising; rates of pay or other forms of compens ation; and selection for traini ng, including apprenticeship. The Contractor/C onsultant agrees to post in a conspicuous place, available to employees and applicants for employment, no tices setting forth the provisions of this non-discriminating clause.
B. Copeland “Anti-Kickback” Act (18 U.S.C. 874 and 40 U.S.C. 276c: All contracts and subgrants in excess of $2,000 for construction or repair awarded by recipients and subrecip ients shall include a provisi on for compliance with the Copeland “Anti-Kickback” Act (18 U.S.C. 874 ), as supplemented by Department of Labor regulations (29 CFR part 3, “Contractors and Subcontractors on Public Building or Public Wo rk Financed in Whole or in Part by Loans or Grants from the United States”) . The Act provides that each contractor o r subrecipient shall be prohibit ed from inducing, by any means, any person employed in the construction , completion, or repair of public work, to give up any part of th e compensation to which he is otherwise entit led. The recipient shall report a ll suspected or reported violations to HUD.
C. Davis-Bacon Ac t, as amended (40 U.S.C. 276a to a-7: When required by Federal program legislation, all construction contracts awarded b y t h e recipients and subrecipients of more than $2000 shall include a provision for compliance with the Davis-Bacon Act (40 U.S.C. 276a to a-7) and a s supplemented by Department of Labor regulations (29 CFR part 5, “Labor Standards Provisions Applicable t o Contracts Governing Federall y Financed
Agreement 1300-6
and Assisted Construction”). Under this Act, contractors shall be required to pay wages to laborers and mechanics at a rate not less than the minimum wages specified in a wage determination made by the Secretary o f Labor. In addition, contractors shall be re quired to pay wages not less t han once a week. The recipient shall place a copy of the current prevailin g wage determination issued by the Department of Labor in each solicit ation and the award of a contract shall be co nditioned upon the acceptance of the wage determination. The recipient shall report all suspected or reported violations to HUD.
D. Contract Work Hours and Safety Standards Act (40 U.S.C. 327 through 333: Where applicable, all contracts awarded by recipients in excess of $2000 for construction contracts and in excess of $2500 for other con tracts that involve the employment of mech anics or laborers shall include a provision for compliance with Sections 102 and 107 of the Contract Work Hours a n d Safety Standards Act (40 U.S.C. 327–333), as supplemented by De partment of Labor regulations (29 CFR part 5). Under Section 102 of the Act, each contractor shall be required to c ompute the wages of every mech anic and laborer on the basis of a standard workweek of 40 hours. Work i n excess of the standard workweek is permissi ble provided that the worker i s compensated at a rate of not less than 1 1/2 times the basic rate of pay for all hours worked in excess of 40 hours in the workweek. Section 107 of the Act is applicable to construction work and provides that no laborer or mechanic shall be required to work in s urroundings or under working cond itions which are unsanitary, hazardous or dan gerous. These requirements do n ot apply to the purchases of supplies or materials or articles ordinarily a vailable on the open market, or contracts for transportation or transmission of intelligence.
E. Rights to Inventions Made Under a Contract or Agreement— Contracts or agreements for the performance of experimental, developmental, or research work shall provide for the rights of the Federal Government and the recipient in any resulting invention in accordance with 37 CFR part 401, “Rights to Inventions Made by Nonprofit Organizations and Small Business F irms Under Government Grants, Contracts and Cooperative Agreements,” and a ny implementing regulations issued by HUD.
F. Rights to Data and Copyrights – Contractors and consultants agree to comply with all applicable provisions pertaining to the use of data and copyrights pursuant to 48 CFR Pa rt 27.4, Federal Acquisition Re gulations (FAR).
G. Clean Air Act (42 U.S.C. 7401 et seq.) and t he Federal Water Pollution Control Act (33 U.S.C. 1251 et seq.), as amended—Contracts and subgrants of amounts in excess of $100,000 s hall contain a provision that requires the recipient to agree to comply wit h all applicable standards, ord ers or regulations issued pursuant to the Clean Air Act (42 U.S.C. 740 1 et seq.) and the Federal Water Pollution Control Act as amended (33 U.S.C. 1251 et seq.).
Violations shall be reported to HUD and the Regional Office of the Environmental Protection Agency (EPA).
Agreement 1300-7
H. Byrd Anti-Lobbying Amendment (31 U.S.C. 1352)— Contractors who apply or bid for an award of $100,000 or more shall file the required certification.
Each tier certifies to the tier above that it will not and has not used Federal appropriated funds to pay any per son or organization for influe ncing or attempting to influence an officer or employee of any agency, a member of Congress, officer or employee of Congress, or an employee of a member of Congress in connection with obtaining any Federal contract, gra nt or any other award covered by 31 U.S.C. 1352. Each tier shall also dis close any lobbying with non-Federal funds that takes place in connection with obtaining any Federal award. Such disclosures are forwarded from tier-to- tier up to the recipient.
I. Debarment and Suspension (E.O.s 12549 and 12689)—No contract shall be made to parties listed on the General Services Administratio n's List of Parties Excluded from Federal Pro curement or Nonprocurement Pro grams in accordance with E.O.s 12549 and 12689, “Debarment and Suspensio n,” as set forth at 24 CFR part 24. This list contains the names of pa rties debarred, suspended, or otherwise excluded by agencies, and contractors d eclared ineligible under statutory or regulatory authority other than E .O. 12549.
Contractors with awards that exc eed the small purchase threshol d shall provide the required certificat ion regarding its exclusion stat us and that of its principal employees.
J. Drug-Free Workplace Requirements —The Drug-Free Workplace Act of 1988 (42 U.S.C. 701) requires grant ees (including individuals) of federal agencies, as a prior condition of being awarded a grant, to certify that they will provide drug-free workplaces. Ea ch potential recipient must cer tify that it will comply with drug-free workplace requirements in accordance with the Act and with HUD's rules at 24 CFR part 24, subpart F.
K. Access to Records and Records Retention: The Consultant or Contractor, and any sub-consultants or sub-cont ractors, shall allow all dul y authorized Federal, State, and/or County officials or authorized representatives access to the work area, as well as all books, documents, materials, pape rs, and records of the Consultant or C ontractor, and any sub-consultant s or sub- contractors, that are directly pertinent to a specific program for the purpose of making audits, examinations, e xcerpts, and transcriptions. The Consultant or Contractor, and any sub-consultant s or sub-contractors, further agree to maintain and keep such books, documents, materials, papers, and records, on a current basis, recording all transactions pertaining to th is agreement in a form in accordance with generally acceptable accounting princip les. All such books and records shall be retained for such periods of time as required by law, provided, however, notwiths tanding any shorter periods of retention, all books, records, and supporting detail shall be retained for a p eriod of at least four (4) years after the expiration of the term of this Agreement.
Agreement 1300-8
L. Federal Employee Benefit Clause: No member of or delegate to the congress of the United States, and no Resident Commissioner sha ll be admitted to any share or part of this agreement or to any benef it to arise from the same.
M. Energy Efficiency: Mandatory standards and policies relating to energy efficiency which are contained in the state energy conservation plan issued in compliance with the Energy Policy and Conservation Act (Pub. L. 94A 163, 89 Stat. 871).
N. Procurement of Recovered Materials (2 CFR 200.322.) A non-Federal entity that is a state agency or agency of a political subdivis ion of a state and its contractors must comply with section 6002 of the Solid Wast e Disposal Act, as amended by the Resource Conservation and Recovery Act. The requirements of Section 6002 include procuring only items desig nated in guidelines of the Environmental Protection Agency (EPA) at 40 C FR part 247 that contain the highest percent age of recovered materials prac ticable, consistent with maintaining a sa tisfactory level of competition , where the purchase price of the item exceeds $10,000 or the value of the quantity acquired by the preceding fisca l year exceeded $10,000; procuri ng solid waste management services in a m anner that maximizes energy and resource recovery; and establishing an affirmative procurement program for procurement of recovered materials identified in the EPA guidelines.
17. This Contract shall not be assignable by Contractor without the written consent of City.
18. Contractor shall notify the City Engineer (in writing) forthwith when the Contract is deemed completed.
19. In accepting this Contract, the Contractor certifies that n o member or officer of the firm or corporation is an officer or employee of the City e xcept to the extent permitted by law.
20. Contractor certifies that it is the holder of any necessary California State Contractor's License and authorized to undertake the Work. The contractor must, at the Contractor’s sole expense, obtain all necessary permits and lic enses required for the Work, give all necessary notices and pay all fees and taxes req uired by law, including, without limitation, any business license tax imposed by City. The contractor represents and declares to Agency that it has all licenses, permits, quali fications, and approvals of whatever nature which are legally required to practice its profession.
21. The City, or its authorized audi tors or representatives, sh all have access to and the right to audit and reproduce any of the Contractor records to the extent the City deems necessary to ensure it is receiving all money to which it is entitled under the contract and/or is paying only the amounts to which Contractor is properly entitled under the Contract or for other purposes relating to the Contract.
Agreement 1300-9
22. The Contractor shall maintain and preserve all such records f o r a p e r i o d o f a t least three years after termination of the Contract.
23. The Contractor shall maintain all such records in the City of Cathedral City. If not, the Contractor shall, upon request, promptly deliver the r ecords to the City or reimburse the City for all reasonable and extra costs incurred in conducting the audit at a location other than at City offi ces including, but not limite d to, such additional (out of the City) expenses for personnel, salaries, private auditors, t ravel, lodging, meals and overhead.
24. In entering into this Contra ct or a contract with a subcont ractor to supply goods, services, or materials pursuant to this Contract, Contractor and any or subcontractor are deemed to have offered and agreed to assign to City all rights, title, and interest in and to all causes of action it may have under Section 4 of the Clay ton Act (15 U.S.C. Sec. 15) or under the Cartwright Act (Chapter 2, commencing with Section 16700 of Part 2 of Division 7 of the California Business and Professions Code), ar ising from purchases of goods, services, or materials for the Contract. This assignmen t will be deemed made and will become effective at the time City tenders final paymen t to Contractor, without further acknowledgment by the Parties.
Agreement 1300-10
IN WITNESS WHEREOF, the parties have executed this Contract as of the dates stated below.
"CITY"
CITY OF CATHEDRAL CITY,
a California municipal corporation
By:________________________________ Dated:______________________________ Charles P. McClendon, City Manager
ATTEST:
Dated: _____________________________
Tracey R. Hermosillo, CMC, City Clerk
APPROVED AS TO FORM:
Dated: _____________________________
Eric Vail, City Attorney
“CONTRACTOR”
Dated: By: _______________________________ Name: ________________ _______________
Title: ________________ _______________
Dated: By: ____________ ________________ Name: ________________ ________________
Title: ________________________________
[CONTRACTOR SIGNATURES MUST BE NOTARIZED. IF CONTRACTOR IS A CORPORATION OR LIMITED LIABILITY COMPANY, TWO SIGNATURES MUST BE PROVIDED.]
Faithful Performance Bond 1310-1
SECTION 1310
FAITHFUL PERFORMANCE BOND
KNOW ALL MEN BY THESE PRESENTS:
THAT the City of Cathedral City, a municipal corporation, herei nafter designated the City, has, on _______ , 2022, awarded to Granite Construc tion Company , hereinafter designated as the Principal, a Contract for VIA DE ANZA STREET IMPROVEMENS, PHASE I, CITY PROJECT NO. 8834, BID NO. B22-05E and
WHEREAS, said Principal is requ ired under the terms of said con tract to furnish a bond for the faithful performance of said Contract:
NOW, THEREFORE, we, the Principal, and __________________________, as Surety, are held and firmly bound unto the City in the just and full amount of (________________) lawful money of t he United States, for the p ayment of which sum well and truly to be made, we bind ourselves, our heirs, execut ors, administrators, and successors, jointly and severally, firmly by these presents.
THE CONDITION OF THIS OBLIGATION IS SUCH, that if said Principa l, his or its heirs, executors, administrat ors, successors, or assigns, s hall in all things stand to and abide by, and well and truly keep and faithfully perform th e covenants, conditions, and agreements in the said contract and any alterations made as therein provided, on his or their part to be kept and performed, at the time and in the manner therein specified, and in all respects according to their true intent a nd meaning, and shall indemnify and save harmless, the City, its officers, and agents as therein stipulated, then this obligation shall beco me null and void; otherwise it s hall be and remain in full force and virtue.
It is acknowledged that the Cont ract provides for one-year guar antee period, during which time this bond remains in full force and effort.
And the said Surety, for value received, hereby stipulates and agrees that no change, extension of time, alter ation, 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 hereb y waive notice of any such change, an extension of time, alteration, or addition to the te rms of the Contract or to the work or to the specifications. Said Surety hereby waives t he provisions of Sections 2819 and 2845 of the Civil Code of the State of California.
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Faithful Performance Bond 1310-2
IN WITNESS WHEREOF, the Principal and Surety have executed this instrument under their seals this ___ day of __________________, 2022, the name and corporate seal of each corporate party bei ng hereto affixed and these pre sents duly signed by its undersigned representative, pursuant to the authority of its governing body.
__________________________________________________
Principal
(Seal)
__________________________________________________
Signature for Principal
__________________________________________________
Title of Signatory
__________________________________________________
Surety
(Seal)
__________________________________________________
Signature for Surety
__________________________________________________
Title of Signatory
__________________________________________________
Address of Surety
__________________________________________________
Phone # of Surety
__________________________________________________
Contact Person For Surety
Payment Bond 1320-1
SECTION 1320
PAYMENT BOND
KNOW ALL MEN BY THESE PRESENTS:
THAT the City of Cathedral City, a municipal corporation, herei nafter designated the City, has, on ___ 2022, awa rded to Granite Construction Company ,ereinafter designated as the Principal, a Contract for VIA DE ANZA STREET IMPROVEMENTS, PHASE I, CITY PROJECT NO. 8834, BID NO. B22-05E and
WHEREAS, said Principal is required to furnish a bond in connec tion and with said Contract, providing that if said Principal, or any of it or its subcontractors shall fail to pay for any materials, provisions, or other supplies used in, u pon, for, or about the performance of the work contracted to be done, or for any work or labor done thereon of any kind, the Surety of this bond will pay the same to the extent hereinafter set forth:
NOW, THEREFORE, we, the Principal, and _____________________________, as Surety, are held and firmly bound unto the City in the just and full amount of (________________), executors, administrators, and successors, jointly and severally, firmly by these presents.
THE CONDITION OF THIS OBLIGATION IS SUCH, that if said Principa l, it or its heirs, executors, administrators, successors, or assigns, shall f a i l t o p a y f o r a n y materials, provisions, or other supplies used in, upon, for, or about the performance of the work contracted to be done, o r for any work or labor thereo n of any kind or for amount due under the Unemployment I nsurance Act with respect to such work or labor, or any amounts due, or to be wit hheld pursuant to Sections 1880 6 of the Revenue and Taxation Code of the State of California with respect to such w ork or labor, then said surety will pay the same in or to an amount not exceeding the a mount hereinabove set forth, and also will pay in case suit is brought upon this bond , such reasonable attorney's fees to the City as shall be fixed by the court.
This bond shall insure to the benefit of any and all persons, c ompanies, and corporations named in Section 3181 of the Civil Code of the State of California to give a right of action to them or their assigns in any suit brought upon this bond.
And the said Surety, for value received, hereby stipulates and agrees that no change, extension of time, alterat ion, or addition of the terms of the Contractor to the work to be performed thereunder or the specifications accompanying the same shall, in any way, affect its obligations of this bond, and it does hereb y waive notice of any change, an extension of time, alt eration, or addition to the te rms of the contract or the work or the specifications. Sai d Surety hereby waives the prov isions of Sections 2819 and 2845 of the Civil Code of the State of California.
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Payment Bond 1320-2
IN WITNESS WHEREOF, the Principal and Surety have executed this instrument under their seals this _____ day of ____________________, 2022, the name and corporate seal of each corporat e party being hereto affixed, an d these present duly signed by its undersigned represent ative, pursuant to the autho rity of its governing body.
__________________________________________________
Principal
(Seal)
__________________________________________________
Signature for Principal
________________________________________________
Title of Signatory
__________________________________________________
Surety
(Seal)
__________________________________________________
Signature for Surety
__________________________________________________
Title of Signatory
__________________________________________________
Address of Surety
__________________________________________________
Phone # of Surety
__________________________________________________
Contact Person For Surety
Workers' Compensation Insurance 1330-1
SECTION 1330
WORKERS' COMPENSATION IN SURANCE CERTIFICATE
In accordance with California La bor Code Section 1861, prior to commencement of work on the Contract, the Cont ractor shall sign and file with t he City the following certification:
"I am aware of the provisions of Section 3700 of the Labor Code w h i c h require every employer to be insured against liability for work ers' compensation or to undertake sel f-insurance in accordance with the provisions of that code, and I wil l comply with such provisions before commencing the performance of the work of this contract."
______________________________________________
Signature
______________________________________________
Title
______________________________________________
Date
Liability & Insurance Requirements 1340-2
SECTION 1340
LIABILITY AND INSU RANCE REQUIREMENTS
1.0 INDEMNIFICATION
Contractor shall defend, indemni fy and hold harmless the City, City Council and each member thereof, and every officer, employee, and agent of City, from any claim, demand, damage, liability, loss, cost, or expense (inclu ding, without limitation, attorney’s fees and co sts) arising from any intenti onal, reckless, negligent, or otherwise wrongful a cts, errors or omissions of t he Contractor, or any of the Contractor'’ employees, or any of its subcontractors arising out of work under this Contract.
The City does not, and shall not, waive any rights that it may have against Contractor, any of the Contractor’s employees, or any of its subcontractors under this Section because of the acceptance by the City, or the depo sit with the City, of any insurance policy or certi ficate, required pursuant to th is Contract. The hold harmless, indemnification, and duty to defend provisions of this Section shall apply regardless of whether or not said insurance policies are determined to be applicable to the claim, demand, damage, liability, loss, cost, or expense described herein. The City will not be liable for any accident , loss, or damage to the work prior to its completion and acceptance.
2.0 INSURANCE REQUIREMENTS
2.1 General
After award of contract, the Cont ractor shall promptly obtain, at its own expense, all the insurance required by Paragraph 1340-2.0, INSURANCE REQUIREMENTS, and shall submit coverage verification for review and approval by the City upon execution of the Contract.
The Notice to Proceed with the Wo rk under this Contract will no t be issued, and the Contractor shall not commence work until such insurance has been approved by the City. The Contractor s hall not allow any subcontractors to commence work on its subcontract until a ll similar insurance required of the subcontractor has been obtained and verified by the Contractor. Such insuranc e shall remain in full force and effect at all times during the prosecution of th e Work and until the final completion and acceptance thereof.
The Notice to Proceed does not re lieve the Contractor of the du ty to obtain such insurance as required by Paragraph 1340-2.0 INSURANCE REQUIREMENTS.
Liability & Insurance Requirements 1340-3
2.2 Commercial General Liability Policy
The Contractor shall take out and maintain during the life of t he Contract, a Commercial General Liability Policy, on an occurrence basis, wi t h a m i n i m u m limit of not less than One Million Dollars ($1,000,000) combine d single limit for bodily injury and property damage for any one occurrence and a Two Million Dollar ($2,000,000) annual project aggregate, for all of the following:
a. Premises Operations, includi ng Explosion, Collapse, and Underground (X, C, and U) Coverage.
b. Completed Operations/Products , including X, C, and U Coverage.
c. Independent Contractors.
d. Blanket Contractual.
e. Deductible shall not exceed One Thousand Dollars ($1,000).
2.3 Commercial Business Auto Policy
The Contractor shall take out and maintain during the life of t his Contract a Commercial Business Auto Policy, on an occurrence basis, with a minimum amount of not less than One Milli on Dollars ($1,000,000) combin ed single limit for bodily injury and property dam age, providing at least all o f the following coverage:
a. Coverage shall be applicable to any and all leased, owned, h ired, or non- owned vehicles used in pursuit of any of the activities associa ted with this Contract.
b. Any and all mobile equipment, including cranes, which is not covered under said Commercial Business Auto Policy shall have said cove rage provided for under the Commercial General Liability Policy.
c. Deductible shall not exceed O ne Thousand Dollars ($1,000).
2.4 Workers' Compensation Insurance
The Contractor shall take out and maintain during the life of t he Contract, Worker's Compensation and Employer s' Liability insurance provid ing coverage for any and all employees of Contractor:
a. The required policy shall prov ide coverage for Workers' Comp ensation (Coverage A).
b. This policy shall provide coverage for One Million Dollars ( $1,000,000) Employers' Liability (Coverage B).
Liability & Insurance Requirements 1340-4
2.5 Endorsements
All of the following en dorsements are requir ed to be made a par t of the policies described in this Section hereof:
a. "The City, City employees and officers, the City Engineer, i ts consultants, elected officials, agents, and s ub-consultants are hereby added a s additional insured insofar as Work done under this Contract is concerned."
b. "This policy shall be consi dered primary insurance as respec ts any other valid and collectible insurance, i ncluding self-insured retenti on, the City may possess, and any other insurance the City does possess shal l be considered excess insurance only."
c. "This insurance shall act for each insured, and additional i nsured, as though a separate policy had been written for each. This, howe ver, will not act to increase the limit of liability of the insuring company.
d. "Thirty (30) days prior writt en notice of cancellation shall be given to the City. Such notice shall be sent to:
Tami E. Scott, Administrative Services Director
City of Cathedral City
68-700 Avenida Lalo Guerrero
Cathedral City, CA 92234
2.6 Change in Terms
The Contractor shall provide i mmediate written notice to the Ci ty of any change in terms and conditions and/or reduction in the coverage of any nature to the insurance policies. The notice shall be sent to the location identified in Paragraph 1340-2.6.d, Endorsements. The C ontractor shall be obligated to pay any extra premium for maintaining the insurance requirements specified herein.