Desert Hot Springs City Council
February 4, 2025

Desert Hot Springs Housing Authority
Table of Contents
Page
Independent Auditors’ Report:

Report on Compliance as the Housing Authority; Report on Internal Control Over Compliance; and Report on the Schedule of Excess Surplus ......................................................... 1 Schedule of Excess Surplus ........................................................................................................................................ 4 Schedule of Findings and Management Views .......................................................................................................... 5

200 E. Sandpointe Avenue, Suite 600
Santa Ana, California 92707
REPORT ON COMPLIANCE AS THE HOUSING AUTHORITY; REPORT ON INTERNAL CONTROL OVER COMPLIANCE; AND REPORT ON THE SCHEDULE OF EXCESS SURPLUS Independent Auditors’ Report
To the Board of Directors
of the Desert Hot Springs Housing Authority
Desert Hot Springs, California
Report on Compliance as the Housing Authority
Opinion on Compliance
We have audited the Desert Hot Springs Housing Authority’s (the “Housing Authority”), a component unit of the City of Desert Hot Springs, California (the “City”), compliance with the type of compliance requirements described in the California Health and Safety Code sections applicable to the former Redevelopment Agency’s Housing Successor for the year ended June 30, 2024.

In our opinion, the Housing Authority complied, in all material respects, with the compliance requirements referred to above that are applicable to Housing Authority for the year ended June 30, 2024.

Basis for Opinion
We conducted our audit of compliance in accordance with auditing standards generally accepted in the United States of America (“GAAS”); the standards applicable to financial audits contained in the Government Auditing Standards issued by the Comptroller General of the United States (“Government Auditing Standards”); and California Health and Safety Code sections applicable to the Housing Authority (the “Healthy and Safety Codes”). Our responsibilities under those standards and the Health and Safety Codes are further described in the Auditors’ Responsibilities for the Audit of Compliance section of our report.

We are required to be independent of the Housing Authority and to meet our other ethical responsibilities, in accordance with relevant ethical requirements relating to our audit. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion. Our audit does not provide a legal determination of the Housing Authority’s compliance with the compliance requirements referred to above.

Responsibilities of Management for Compliance
Management is responsible for compliance with the requirements referred to above and for the design, implementation, and maintenance of effective internal control over compliance with the requirements of laws, statutes, regulations, rules, and provisions of contracts or grant agreements applicable to the Housing Authority's government programs.

To the Board of Directors
of the Desert Hot Springs Housing Authority
Desert Hot Springs, California

2 Auditors’ Responsibilities for the Audit of Compliance Our objectives are to obtain reasonable assurance about whether material noncompliance with the compliance requirements referred to above occurred, whether due to fraud or error, and express an opinion on the Housing Authority’s compliance based on our audit. Reasonable assurance is a high level of assurance but is not absolute assurance and therefore is not a guarantee that an audit conducted in accordance with GAAS, Government Auditing Standards, and the Health and Safety Codes will always detect material noncompliance when it exists. The risk of not material noncompliance resulting from fraud is higher than for that resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control. Noncompliance with the compliance requirements referred to above is considered material if there is a substantial likelihood that, individually or in the aggregate, it would influence the judgment made by a reasonable user of the report on compliance about the Housing Authority's compliance with the requirements of the government program as a whole.

In performing an audit in accordance with GAAS, Government Auditing Standards, and the Health and Safety Codes, we:
 exercise professional judgment and maintain professional skepticism throughout the audit.  identify and assess the risks of material noncompliance, whether due to fraud or error, and design and perform audit procedures responsive to those risks. Such procedures include examining, on a test basis, evidence regarding the Housing Authority's compliance with the compliance requirements referred to above and performing such other procedures as we considered necessary in the circumstances.  obtain an understanding of the Housing Authority's internal control over compliance relevant to the audit in order to design audit procedures that are appropriate in the circumstances and to test and report on internal control over compliance in accordance with the Health and Safety Codes, but not for the purpose of expressing an opinion on the effectiveness of the Housing Authority's internal control over compliance.

Accordingly, no such opinion is expressed.

We are required to communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and any significant deficiencies and material weaknesses in internal control over compliance that we identified during the audit.

Other Matters
The results of our auditing procedures disclosed instances of noncompliance which are required to be reported in accordance with the Health and Safety Codes and which are described in the accompanying schedule of findings and management views as items 2024-002. Our opinion on compliance is not modified with respect to these matters.

Government Auditing Standards requires the auditor to perform limited procedures on the Housing Authority’s response to the noncompliance findings identified in our compliance audit described in the accompanying schedule of findings and responses. The Housing Authority’s response was not subjected to the other auditing procedures applied in the audit of compliance and, accordingly, we express no opinion on the response.

Report on Internal Control Over Compliance
Our consideration of internal control over compliance was for the limited purpose described in the Auditors’ Responsibilities for the Audit of Compliance section above and was not designed to identify all deficiencies in internal control over compliance that might be material weaknesses or significant deficiencies in internal control over compliance and therefore, material weaknesses or significant deficiencies may exist that were not identified.

However, as discussed below, we did identify certain deficiencies in internal control over compliance that we consider to be material weaknesses.

To the Board of Directors
of the Desert Hot Springs Housing Authority
Desert Hot Springs, California

3 A deficiency in internal control over compliance exists when the design or operation of a control over compliance does not allow management or employees, in the normal course of performing their assigned functions, to prevent, or detect and correct, noncompliance with a type of compliance requirement of a federal program on a timely basis. A material weakness in internal control over compliance is a deficiency, or a combination of deficiencies, in internal control over compliance, such that there is a reasonable possibility that material noncompliance with a type of compliance requirement will not be prevented, or detected and corrected, on a timely basis.

A significant deficiency in internal control over compliance is a deficiency, or a combination of deficiencies, in internal control over compliance with a type of compliance requirement that is less severe than a material weakness in internal control over compliance, yet important enough to merit attention by those charged with governance. We consider the deficiencies in internal control over compliance described in the accompanying schedule of findings and management views as item 2024-002 to be a material weakness.

Our audit was not designed for the purpose of expressing an opinion on the effectiveness of internal control over compliance. Accordingly, no such opinion is expressed.

Government Auditing Standards requires the auditor to perform limited procedures on Housing Authority’s response to the internal control over compliance findings identified in our compliance audit described in the accompanying schedule of findings and questioned costs. Housing Authority’s response was not subjected to the other auditing procedures applied in the audit of compliance and, accordingly, we express no opinion on the response The purpose of this report on internal control over compliance is solely to describe the scope of our testing of internal control over compliance and the results of that testing based on the requirements of the Health and Safety Codes.

Accordingly, this report is not suitable for any other purpose.

Report on the Schedule of Excess Surplus
We have audited the financial statements of the governmental activities, each major fund, and the aggregate remaining fund information of the City of Desert Hot Springs, California as of and for the year ended June 30, 2024, and the related notes to the basic financial statements, which collectively comprise the City’s basic financial statements. We issued our report thereon dated January 27, 2025, which contained unmodified opinions on those financial statements. Our audit was conducted for the purpose of forming opinions on the financial statements that collectively comprise the basic financial statements. The accompanying the Schedule of Excess Surplus is presented for purposes of additional analysis and is not a required part of the basic financial statements. Such information is the responsibility of management and was derived from and relates directly to the underlying accounting and other records used to prepare the basic financial statements. The information has been subjected to the auditing procedures applied in the audit of the financial statements and certain other procedures, including comparing and reconciling such information directly to the underlying accounting and other records used to prepare the basic financial statements or to the basic financial statements themselves, and other additional procedures in accordance with GAAS. In our opinion, the Schedule of Excess Surplus is fairly stated in all material respects in relation to the basic financial statements as a whole.

Santa Ana, California
January 27, 2025

Desert Hot Springs Housing Authority
Schedule of Excess Surplus
For the Year Ended June 30, 2024
4 Opening fund balance $ 5,910,455
Less: notes receivables (3,334,172)
Less: land held for resale (85,090)
Available housing funds 2,491,193
Limitation (greater of $1,000,000 or four years deposits) Aggregate amount deposited for last four years:
2022-2023 1,110,544
2021-2022 761,846
2020-2021 727,722
2019-2020 381,574
Total $ 2,981,686
Greater amount 2,981,686
Computed Excess Surplus $ (490,493)
Low and Moderate
Housing Funds
July 1, 2023

Desert Hot Springs Housing Authority
Schedule of Findings and Management Views
For the Year Ended June 30, 2024
5 A. Current Year Findings
Finding 2024-002 Internal Control Over Compliance and Compliance with Monitoring Eligible Expenditures and Reporting of Affordable Housing
Criteria:

Pursuant to Health and Safety Code Section 34176.1(a)(1), a housing authority may expend up to 5% of the statutory value of real property, loans, and grants receivable per fiscal year for monitoring and preserving the long-term affordability of units and for administering other housing activities. If this amount is less than $200,000, the housing authority may expend up to $200,000 per fiscal year for these purposes. Additionally, pursuant to Health and Safety Code Section 34176.1(a)(2), up to $250,000 per fiscal year may be spent on homelessness prevention and rapid rehousing services if all obligations pursuant to Sections 33413 and 33418 have been fulfilled.

Pursuant to the Health and Safety Code Section 34176.1(f), the housing authority shall conduct, and shall provide to its governing body, an independent financial audit of the Low and Moderate Income Housing Asset Fund within six months after the end of each fiscal year, which may be included in the independent financial audit of the host jurisdiction. If the housing authority is a city or county, it shall also include in its report pursuant to Section 65400 of the Government Code and post on its Internet Web site all of the following information pursuant to the Health and Safety Code Section 34176.1(f)(1) to (13) for the previous fiscal year.

Condition:

During the fiscal year ended June 30, 2024, we noted the following the Housing Authority expended more than $200,000 on monitoring and related expenses, exceeding the statutory cap set forth in Section 34176.1(a)(1). A review of expenditure details for the fiscal year revealed that program expenditures were limited to payroll, contract services, and Community Development Block Grant reallocation of funds to the Riverside County Home Enhancement Program. No expenditures were made for homeless prevention and rapid rehousing services for individuals and families, as permitted under Section 34176.1(a)(2).

Further, during our audit for the year ended June 30, 2024, we noted that the City did not prepare a consolidated SB341 Report that includes all the required component pursuant to the Health and Safety Code Section 34176.1(f)(1) to (13).

Cause:

The Housing Authority did not monitor its expenditures against the statutory limits set forth in Health and Safety Code Section 34176.1(a). Additionally, resources were not allocated toward homelessness prevention and rapid rehousing services as authorized under the Code. There were key staffing changes within the Housing Authority which caused the Housing Authority to not have enough capacity to prepare the SB341 report.

Effect or Potential Effect:

Exceeding the statutory expenditure cap for monitoring and related expenses may result in noncompliance with Health and Safety Code Section 34176.1(a)(1). The absence of expenditures on homelessness prevention and rapid rehousing services may indicate a missed opportunity to address critical housing needs within the community.

Desert Hot Springs Housing Authority
Schedule of Findings and Management Views (Continued)
For the Year Ended June 30, 2024
6 A. Current Year Findings (Continued)
Finding 2024-002 Internal Control Over Compliance and Compliance with Monitoring Eligible Expenditures and Reporting of Affordable Housing (Continued) Effect or Potential Effect (Continued):

Although the information pursuant to the Health and Safety Code Section 34176.1(f)(1) to (13) are available in the City’s basic financial statements, Desert Hot Springs Housing Authority Compliance Report, City’s website, or in the annual housing report, the disaggregated reporting increases the risk to not timely report all the required components or incomplete reporting.

Recommendation:

We recommend that the Housing Authority implement processes to monitor, evaluate, and track Health and Safety Code compliances to ensure compliance with the statutory requirements related to the Housing Authority’s activities. We further recommended, the City prepare a single consolidated SB341 Report that includes all the required components and submit to the City Council within six months after the end of each fiscal year for approval and post on the City’s website.

View of Responsible Officials:

Due to the staffing challenges for fiscal years ending June 30, 2023 and June 30, 2024, the City contracted with RSG Solutions to prepare the SB 341 Report. RSG Solutions will prepare this year’s SB341 Report as well as catch up reports back to 2014. They will also be preparing a reporting template for City staff to use to complete the annual report on a timely basis. The overpayment of funds was a one-time transaction needed to rebalance the Community Development Block Grant funding and to be part of a housing program that will assist Desert Hot Springs residents. In the future, staff will continue to monitor housing expenditures to stay within statutory limits and to work towards implementing homelessness prevention and rapid rehousing services.

Status:

Finding carried over from prior year.

Desert Hot Springs Housing Authority
Schedule of Findings and Management Views (Continued)
For the Year Ended June 30, 2024
7 B. Prior Year Findings
Finding 2023-002 Internal Control Over Compliance and Compliance with Monitoring and Reporting of Affordable Housing
Condition:

During our audit for the year ended June 30, 2024, we noted that the City has not monitored or reviewed the annual reports to be submitted by the owners or managers of the housing loans pursuant to the Health and Safety Code Section 33418(a) to (c). Further, during our audit for the year ended June 30, 2024, we noted that the City did not prepare a consolidated SB341 Report that includes all the required component pursuant to the Health and Safety Code Section 34176.1(f)(1) to (13).

Recommendation:

We recommend the City establish policies and procedures which assign specific staff to monitor the annual reports that are submitted. We further recommended, the City prepare a consolidated SB341 Report to include all the required components in one single report and submit the SB341 Report to the City Council within six months after the end of each fiscal year for approval and post on the City’s website.

Status:

Corrective action has not been implemented for internal control over compliance with monitor. See current year finding for internal control over compliance with reporting.

City of Desert Hot Springs
Desert Hot Springs, California
Independent Accountants’ Report on
Applying Agreed-Upon Procedures to
Utility User Tax
For the Year Ended June 30, 2024

200 E. Sandpointe Avenue, Suite 600
Santa Ana, California 92707
INDEPENDENT ACCOUNTANTS’ REPORT ON

APPLYING AGREED-UPON PROCEDURES
To the Honorable Mayor and Members of City Council
of the City of Desert Hot Springs
Desert Hot Springs, California
We have performed the procedures enumerated below on User Utility Tax (“UUT”) of the City of Desert Hot Springs, California (the “City”) for the year ended June 30, 2024. The City’s management is responsible for User Utility Tax.

The City has agreed to and acknowledged that the procedures performed are appropriate to meet the intended purpose, which is to fulfill the requirement of the City’s Municipal Code Chapter 3.28 with respect to the accounting records of the UUT of the City and the service providers within the City that collect UUT (the “Service Providers”). This report may not be suitable for any other purpose. The procedures performed may not address all the items of interest to a user of this report and may not meet the needs of all users of this report and, as such, users are responsible for determining whether the procedures performed are appropriate for their purposes.

The procedures and associated findings are as follows:

1. Recalculated 64.29% and 35.71% of the UUT are deposited in Public Safety Fund and Debt Service Fund, respectively, and reconciled the Schedule of UUT to the general ledger for the year ended June 30, 2024.

Results: See Exhibit A for recalculation of taxes remitted.

2. Selected one Service Provider from each category of services provided and 4 months per Service Provider and performed procedures below:

Category of Services
a. Telecommunications services user tax (3.28.020)
b. Electricity services user tax (3.28.030)
c. Water and Sewer services user tax (3.28.040)
d. Gas services user tax (3.28.050)
e. Video services user tax (3.28.060)
Procedures Performed:
a. Obtained from the City the UUT returns/remittance advices submitted by the Service Providers. b. Compared the tax return obtained from the City to the Schedule of UUT prepared by the City and the cash receipt record.
c. Identified the accuracy of the calculation for UUT remitted by performing recalculation. d. Verified whether the returns and tax were timely submitted and calculate late fees owed, if any.

Results: See Exhibit B for the results of the recalculation of UUT for the Service Providers selected for each category. See Exhibit C for the results of submission. Exceptions noted on the recalculation of UUT and submission test.

To the Honorable Mayor and Members of City Council
of the City of Desert Hot Springs
Desert Hot Springs, California

2 3. Scanned the general ledger detail for Public Safety Fund and Debt Service Fund for expenditures incurred other than public safety or debt service purposes.

Results: No exceptions were noted as a result of the procedures.

We were engaged by the City to perform this agreed-upon procedures engagement and conducted our engagement in accordance with attestation standards established by the American Institute of Certified Public Accountants. We were not engaged to and did not conduct an examination or review engagement, the objective of which would be the expression of an opinion or conclusion, respectively, on User Utility Tax. Accordingly, we do not express such an opinion or conclusion. Had we performed additional procedures, other matters might have come to our attention that would have been reported to you.

We are required to be independent of the City and to meet our other ethical responsibilities, in accordance with the relevant ethical requirements related to our agreed-upon procedures engagement.

This report is intended solely for the information and use of City Council and the management of the City and is not intended to be and should not be used by anyone other than those specified parties.

Santa Ana, California
January 27, 2025

City of Desert Hot Springs
Agreed Upon Procedures Applied to Utility User Tax
Exhibit A – Tax Revenue Recalculation
For the Year Ended June 30, 2024
3 Category UUT Revenue
Telecommunications 302,364 $
Electric 3,315,138
Water and Sewer 769,968
Gas 341,506
Video 186,632
Riverside County Refund (11,221)
Total 4,904,387 $
Recalculation
Amount Reported in
Trial Balance Variance
Public Safety Fund - 64.29% $ 3,153,030 3,153,030 $ - $ Debt Service Fund - 35.71% 1,751,357 1,751,357 -
Total 4,904,387 $ 4,904,387 $ - $

City of Desert Hot Springs
Agreed Upon Procedures Applied to Utility User Tax
Exhibit B – Service provider UUT Recalculation
For the Year Ended June 30, 2024
4 Recalculated Reported
Tax Exemption Taxable UUT UUT per
Month Ended Gross Revenue Claimed UUT Revenue @ 7% Tax Return Difference August 2023 $ - 135 $ 135 $ 9 $ 9 $ - $
October 2023 - 412 412 29 29 -
March 2024 - 137 137 10 10 -
May 2024 - 136 136 10 10 -
August 2023 $ - 28 $ 28 $ 2 $ 2 $ - $
October 2023 - 26 26 2 2 -
March 2024 - 32 32 2 2 -
May 2024 - 23 23 2 2 -
August 2023 $ - 525,198 $ 525,198 $ 36,764 $ 36,764 $ - $ October 2023 - 422,058 422,058 29,544 29,544 -
March 2024 - 405,492 405,492 28,384 28,384 -
May 2024 - 526,870 526,870 36,881 36,881 -
August 2023 $ - 987 $ 987 $ 69 $ 69 $ - $
October 2023 - 1,108 1,108 78 78 -
March 2024 - 512 512 36 36 -
May 2024 - 399 399 28 28 -
August 2023 $ - 1,850 $ 1,850 $ 130 $ 130 $ - $
October 2023 - 2,372 2,372 166 166 -
March 2024 - 2,246 2,246 157 157 -
May 2024 - 2,414 2,414 169 169 -
Gas Service Provider
Tiger Natural Gas, Inc.

Video Service Provider
Zoom Video Communications, Inc.

Telecommunication Service Provider

SIP US, LLC
Electricity Service Provider
Just Energy Solutions, Inc.

Water and Sewer Service Provider
Mission Springs Water District

City of Desert Hot Springs
Agreed Upon Procedures Applied to Utility User Tax
Exhibit C – Submission
For the Year Ended June 30, 2024
5 Delinquent Delinquent Delinquent
Tax Return Tax Return Penalty Penalty Penalty
Month Due Date Filing Date Receipt Date On Time 15% (B) Paid Payable August 2023 September 30, 2023 September 12, 2023 September 25, 2023 Yes $ - - $ - $ October 2023 November 30, 2023 November 9, 2023 November 20, 2023 Yes - - - March 2024 April 30, 2024 April 10, 2024 April 23, 2024 Yes - - - May 2024 June 30, 2024 June 11, 2024 June 24, 2024 Yes - - - August 2023 September 30, 2023 September 19, 2023 September 19, 2023 Yes $ - - $ - $ October 2023 November 30, 2023 November 17, 2023 November 17, 2023 Yes - - - March 2024 April 30, 2024 April 19, 2024 April 19, 2024 Yes - - - May 2024 June 30, 2024 June 19, 2024 June 19, 2024 Yes - - - August 2023 September 30, 2023 October 19, 2023 November 6, 2023 A $ - 9,191 $ 9,191 $ October 2023 November 30, 2023 December 7, 2023 December 19, 2023 A - 7,386 7,386 March 2024 April 30, 2024 May 6, 2024 May 13, 2024 A - 7,096 7,096 May 2024 June 30, 2024 July 17, 2024 August 6, 2024 A - 9,220 9,220 August 2023 September 30, 2023 September 9, 2023 September 19, 2023 Yes $ - - $ - $ October 2023 November 30, 2023 November 8, 2023 November 14, 2023 Yes - - - March 2024 April 30, 2024 April 10, 2024 April 22, 2024 Yes - - - May 2024 June 30, 2024 June 12, 2024 June 17, 2024 Yes - - - August 2023 September 30, 2023 September 8, 2023 September 25, 2023 Yes $ - - $ - $ October 2023 November 30, 2023 November 10, 2023 November 21, 2023 Yes - - - March 2024 April 30, 2024 April 10, 2024 April 30, 2024 Yes - - - May 2024 June 30, 2024 June 10, 2024 June 20, 2024 Yes - - - Gas Service Provider
Tiger Natural Gas, Inc.

Video Service Provider
Zoom Video Communications, Inc.

Telecommunication Service Provider

SIP US, LLC
Electricity Service Provider
Just Energy Solutions, Inc.

Water and Sewer Service Provider
Mission Springs Water District
A. Delinquent penalty was not submitted when the tax return and tax remittance were past due.

B. Municipal Code Section 3.28.070 Delinquency-Interest-Penalty.

6 This page intentionally left blank. 11

City of Desert Hot Springs
Desert Hot Springs, California
Independent Accountants’ Report on
Applying Agreed-Upon Procedures to
Appropriations Limit Schedule
For the Year Ended June 30, 2024

200 E. Sandpointe Avenue, Suite 600
Santa Ana, California 92707
INDEPENDENT ACCOUNTANTS’ REPORT ON

APPLYING AGREED-UPON PROCEDURES
To the Honorable Mayor and Members of City Council
of the City of Desert Hot Springs
Desert Hot Springs, California
We have performed the procedures enumerated below on the Appropriation Limit Schedule of the City of Desert Hot Springs, California (the “City”) for the year ended June 30, 2024. The City’s management is responsible for the Appropriations Limit Schedule.

The City has agreed to and acknowledged that the procedures performed are appropriate to meet the intended purpose of meeting the requirements of Section 1.5 of Article XIII-B of the California Constitution, which was agreed by the City and the League of California Cities (as presented in the publication entitled Agreed-upon Procedures Applied to the Appropriations Limitation Prescribed by Article XIII-B of the California Constitution). This report may not be suitable for any other purpose. The procedures performed may not address all the items of interest to a user of this report and may not meet the needs of all users of this report and, as such, users are responsible for determining whether the procedures performed are appropriate for their purposes.

The procedures and associated findings are as follows:

1. We obtained the completed worksheets used by the City to calculate its appropriations limit for the year ended June 30, 2024, and verified that the limit and annual calculation factors were adopted by resolution of the City Council. We also verified that the population and inflation options were selected by a recorded vote of the City Council.

Finding: No exceptions were noted as a result of our procedures.

2. For the accompanying Appropriations Limit Schedule, we added the prior year’s limit to the total adjustments, and verified the resulting amount to the current year’s limit.

Finding: Prior year’s limited was corrected to reflect the correctly calculated limit. No exceptions were noted as a result of our procedures.

3. We verified the current year information presented in the accompanying Appropriations Limit Schedule to corresponding information in worksheets used by the City.

Finding: No exceptions were noted as a result of our procedures.

4. We verified the appropriations limit presented in the accompanying Appropriations Limit Schedule to the appropriations limit adopted by the City Council.

Finding: No exceptions were noted as a result of our procedures.

2 To the Honorable Mayor and Members of City Council
of the City of Desert Hot Springs
Desert Hot Springs, California

We were engaged by the City to perform this agreed-upon procedures engagement and conducted our engagement in accordance with attestation standards established by the American Institute of Certified Public Accountants. We were not engaged to and did not conduct an examination or review engagement, the objective of which would be the expression of an opinion or conclusion, respectively, on the accompanying Appropriations Limit Schedule.

Accordingly, we do not express such an opinion or conclusion. Had we performed additional procedures, other matters might have come to our attention that would have been reported to you.

We are required to be independent of the City and to meet our other ethical responsibilities, in accordance with the relevant ethical requirements related to our agreed-upon procedures engagement.

This report is intended solely for the information and use of the City Council and management of the City and is not intended to be and should not be used by anyone other than those specified parties. However, this report is a matter of public record and its distribution is not limited.

Santa Ana, California
January 3, 2025

City of Desert Hot Springs
Appropriations Limit Schedule
For the Year Ended June 30, 2024
See accompanying Notes to the Appropriations Limit Schedule. 3 Amount Source
A. Appropriations Limit FY 2022-2023 40,289,946 $ Prior year appropriations limit adopted by the City
B. Calculation Factors:
1) Population increase % 1.0068 California Department of Finance 2) Inflation increase % 1.0444 California Department of Finance 3) Total adjustment % 1.0515 (B1 x B2)
C. Annual Adjustment Increase 2,074,932 {(B3-1) x A}
D. Other Adjustments:
1) Loss responsibility (-) - N/A
2) Transfer to private (-) - N/A
3) Transfer to fees (-) - N/A
E. Total Adjustments 2,074,932 (C + D)
F. Appropriations Limit FY 2023-2024 42,364,878 $ (A + E)

City of Desert Hot Springs
Notes to the Appropriations Limit Schedule
For the Year Ended June 30, 2024
4 Note 1 – Purpose of Limited Procedures Review
Under Article XIIIB of the California Constitution (the Gann Spending Limitation Initiative), California governmental agencies are restricted as to the amount of annual appropriations from proceeds of taxes. Effective for years beginning on or after July 1, 1990, under Section 1.5 of Article XIIIB, the annual calculation of the appropriations limit is subject to a limited procedures review in connection with the annual audit.

Note 2 – Method of Calculation
Under Section 10.5 of Article XIIIB, for fiscal years beginning on or after July 1990, the appropriations limit is required to be calculated based on the limit for the fiscal year 1986-87, adjusted for the inflation and population factors discussed in Notes 3 and 4 below.

Note 3 – Population Factors
A California governmental agency may use as its population factor either the annual percentage change of the jurisdiction’s own population or the annual percentage change in population of the county where the jurisdiction is located. The factor adopted by the City for the year ended June 30, 2024, represents the annual percentage change in population for the City of Desert Hot Springs.

Note 4 – Inflation Factors
A California governmental agency may use as its inflation factor either the annual percentage change in the 4th quarter per capita personal income (which percentage is supplied by the California Department of Finance) or the percentage change in the local assessment roll from the preceding year due to the change of local nonresidential construction. The factor adopted by the City for the year ended June 30, 2024, represents the annual percentage change for per capita personal income.

Note 5 – Other Adjustments
A California government agency may be required to adjust its appropriations limit when certain events occur, such as the transfer of responsibility for municipal services to, or from, another government agency or private entity. The City had no such adjustments for the year ended June 30, 2024.

SR-25-023
City of Desert Hot Springs
City Council

AGENDA ITEM REPORT
To: City Council
Date: February 4, 2025
Department: City Clerk
Prepared by: Jerryl Soriano, City Clerk
Subject: Appointment of a Delegate and Alternate Delegate for the 2025 Southern California Association of Governments (SCAG) Annual General Assembly RECOMMENDATION:

Appoint a delegate and alternate delegate for the 2025 SCAG Annual General Assembly on May 1, 2025 - May 2, 2025.

DISCUSSION:

The SCAG 2025 General Assembly will be held in Palm Desert at the JW Marriott Desert Springs Resort & Spa on Thursday, May 1, 2025 - Friday, May 2, 2025.

Each year, SCAG member cities select a delegate and alternate representative to participate at this annual meeting.

The Delegate (or Alternate, in the absence of the Delegate) will have the opportunity to propose any policy matter for determination by the General Assembly in the form of a proposed Resolution and/or to propose revisions to the SCAG Bylaws. All proposed Resolutions and/or Bylaws revisions will be reviewed by SCAG’s Bylaws and Resolutions Committee and Regional Council before being considered at the Regional Conference and General Assembly meeting.

FISCAL IMPACT:

None.

SR-25-025
City of Desert Hot Springs
City Council

AGENDA ITEM REPORT
To: City Council
Date: February 4, 2025
Department: City Clerk
Prepared by: Jerryl Soriano, City Clerk
Subject: City Council Regular Meeting Minutes: January 21, 2025 RECOMMENDATION:

Approve the minutes as presented; or as corrected.

ATTACHMENTS:

Draft City Council Regular Meeting Minutes - January 21, 2025

City of Desert Hot Springs

DRAFT ACTION MINUTES
City Council Regular Meeting
6:00 PM - Tuesday, January 21, 2025
Council Chambers
CLOSED SESSION - 4:30 P.M.

CALL TO ORDER
Mayor Matas called the Closed Session to order at 4:30 PM.

ROLL CALL

Present:

Council Members: Daniel Pitts, Jan Pye, Dirk Voss
Mayor Pro Tem: Gary Gardner
Mayor: Scott Matas

PUBLIC COMMENTS
None.

Tuan-Anh Vu, City Attorney, announced the Closed Session items.

CLOSED SESSION:

1. CONFERENCE WITH LABOR NEGOTIATORS
Pursuant to Government Code §54967.6
Agency Designated Representatives: City Manager, Frank Luckino City Attorney, Tuan-Anh Vu
Employee Organization: Desert Hot Springs Police Officers' Association (DHSPOA)

2. CONFERENCE WITH LABOR NEGOTIATORS
Pursuant to Government Code §54967.6
Agency Designated Representatives: City Manager, Frank Luckino City Attorney, Tuan-Anh Vu
Employee Organization: Desert Hot Springs Employees' Union (DHSEU)

3. CONFERENCE WITH LABOR NEGOTIATORS
Pursuant to Government Code §54967.6
Agency Designated Representatives: City Manager, Frank Luckino City Attorney, Tuan-Anh Vu
Employee Group: Unrepresented Employee Positions

City Council
January 21, 2025

4. CONFERENCE WITH LEGAL COUNSEL - ANTICIPATED LITIGATION Significant exposure to litigation pursuant to subdivision (d)(2) of Section 54956.9: The facts and circumstances involve transactional occurrence that might result in litigation
PRESENTATIONS - 5:30 P.M.

Certificates of Recognition Presented to DHS Eagles Youth Football, Tiny Mites
REGULAR SESSION - 6:00 P.M.

CALL TO ORDER
Mayor Matas called the Regular Session to order at 6:00 PM.

ROLL CALL

Present:

Council Members: Daniel Pitts, Jan Pye, Dirk Voss
Mayor Pro Tem: Gary Gardner
Mayor: Scott Matas

INVOCATION
Elder Sandra Canela, Word of Life Church, gave the Invocation.

PLEDGE OF ALLEGIANCE
Councilmember Voss led the Pledge of Allegiance.

CITY ATTORNEY REPORT ON CLOSED SESSION
Tuan-Anh Vu, City Attorney, advised that the City Council voted 5-0 to approve a conflict waiver agreement under Closed Session Item No. 4.

APPROVAL OF AGENDA
ACTION: Approve the January 21, 2025 Regular Meeting agenda withdrawing Item No. 7, and approve the Consent Calendar in its entirety.

Moved by Councilmember Gardner
Seconded by Councilmember Pitts
Carried 5-0 by the following votes:

AYES: Pitts, Pye, Voss, Gardner, and Matas
Item 8 was considered at this time.

City Council
January 21, 2025

PUBLIC COMMENTS
1) Mary Franklin commended the Public Works Department for expeditious pothole repairs.
2) Matthew (last name not provided) spoke regarding The Hub. 3) Joe Erndt spoke regarding employee labor negotiations. 4) Amy Diaz expressed concerns regarding vacant lots containing trash and dry brush.
5) Ms. Thomas spoke regarding the Community Emergency Response Team (CERT) program.
6) Eric Menendez spoke regarding digital passports.
7) Stephanie Chan expressed concerns regarding vacant lots containing trash and dry brush.

CITY MANAGER REPORT
Frank Luckino, City Manager, provided an update regarding the Animal Hospital.

Doria Wilms, Deputy City Manager, announced that the downtown mural project was underway; and introduced new employee Shayra Hernandez, Government Relations and Communications Manager.

Geoffrey Buchheim, Administrative Services Director, provided a financial update.

Daniel Porras, Assistant City Manager, provided an update regarding Varner Road.

MAYOR AND COUNCIL MEMBER REPORTS
Mayor Pro Tem Gardner reported on the various meetings and events he attended.

Councilmember Pitts reported on the various meetings and events he attended.

Councilmember Voss reported on the various meetings and events he attended.

Councilmember Pye reported on the various meetings and events she attended.

Mayor Matas reported on the various meetings and events he attended.

City Council
January 21, 2025
PUBLIC HEARINGS:

5. Formation of Community Facilities District No. 2025-1 (Skyborne Village) Recommendation:
1) Staff Report;
2) Entertain questions from Staff and from the City Council; 3) Open the Public Hearing;
4) Take public testimony from those in favor;
5) Take public testimony from those opposed;
6) Take public testimony from those in a neutral position; 7) Close the Public Hearing;
8) City Council discussion;
9) Adopt a Resolution of the City Council establishing CFD No. 2025-1; 10) Adopt a Resolution of the City Council declaring the necessity to incur bond indebtedness within CFD No. 2025-1;
11) Hold the election;
12) Canvass the election;
13) Adopt a Resolution of the City Council certifying election results; and 14) Introduce for first reading and read by title only: " An Ordinance of the City Council of the City of Desert Hot Springs acting in its capacity as the legislative body of Community Facilities District No. 2025-1 (Skyborne Village) of the City of Desert Hot Springs authorizing the levy of special taxes within Improvement Area No. 1 and Improvement Area No. 2 and in territory annexed to the District in the future.

Staff Report - SR-25-008 - Pdf
Mayor Matas recused due to a potential conflict of interest.

Laurence Chan, Straddling Yocca Carlson & Rauth, presented the staff report.

Mayor Pro Tem Gardner opened the Public Hearing.

There was no public testimony.

Mayor Pro Tem Gardner closed the Public Hearing.

ACTION 1: Adopt Resolution No. 2025-001 establishing CFD No. 2025-1 Moved by Councilmember Voss
Seconded by Mayor Pro Tem Pye
Carried 4-0 by the following votes:

AYES: Pitts, Pye, Voss, and Gardner
RECUSE: Matas
ACTION 2: Adopt Resolution No. 2025-002 declaring the necessity to incur bond indebtedness within CFD No. 2025-1.

City Council
January 21, 2025
Moved by Mayor Pro Tem Pye
Seconded by Councilmember Voss
Carried 4-0 by the following votes:

AYES: Pitts, Pye, Voss, and Gardner
RECUSE: Matas
ACTION 3: Adopt Resolution No. 2025-003 certifying the election results.

Moved by Mayor Pro Tem Pye
Seconded by Councilmember Voss
Carried 4-0 by the following votes:

AYES: Pitts, Pye, Voss, and Gardner
RECUSE: Matas
ACTION 4: Introduce for first reading and read by title only: "An Ordinance of the City Council of the City of Desert Hot Springs acting in its capacity as the legislative body of Community Facilities District No. 2025-1 (Skyborne Village) of the City of Desert Hot Springs authorizing the levy of special taxes within Improvement Area No. 1 and Improvement Area No. 2 and in territory annexed to the District in the future.

Moved by Councilmember Voss
Seconded by Mayor Pro Tem Pye
Carried 4-0 by the following votes:

AYES: Pitts, Pye, Voss, and Gardner
RECUSE: Matas
ADMINISTRATIVE CALENDAR:

6. City Council Appointments to City Commissions
Recommendation:

Appoint five (5) members to each of the following Commissions for a two-year term expiring in January 2027.

A) Planning Commission:
1) Ratify Mayor Matas' appointment of James Nindel;
2) Ratify Mayor Pro Tem Gardner's appointment of Chris Wagstaff; 3) Ratify Councilmember Pitts' appointment of Theodore Parker; 4) Ratify Councilmember Pye's appointment of Robert Rowe; and 5) Ratify Councilmember Voss' appointment of Joseph Lombardo.

B) Public Safety Commission:
1) Ratify Mayor Matas' appointment of Donna Lozano;
2) Ratify Mayor Pro Tem Gardner's appointment of Mirna Flores; 3) Ratify Councilmember Pitts' appointment of Micheline Anderson;

City Council
January 21, 2025
4) Ratify Councilmember Pye's appointment of Michael Rizzio; and 5) Ratify Councilmember Voss' appointment of Reynaldo Sanchez.

Staff Report - SR-25-010 - Pdf
Jerryl Soriano, City Clerk, presented the staff report and advised that Micheline Anderson had withdrawn her application for the Public Safety Commission and therefore Councilmember Pitts would be appointing Charles Lantz.

ACTION 1: Ratify appointments to the Planning Commission.

Moved by Councilmember Voss
Seconded by Councilmember Gardner
Carried 5-0 by the following votes:

AYES: Pitts, Pye, Voss, Gardner, and Matas
ACTION 2: Ratify appointments to the Public Safety Commission.

Moved by Councilmember Gardner
Seconded by Councilmember Voss
Carried 5-0 by the following votes:

AYES: Pitts, Pye, Voss, Gardner, and Matas

7. Municipal Identification Card Ordinance
Recommendation:

Introduce for first reading and read by title only: "An Ordinance of the City Council of the City of Desert Hot Springs, California, adding chapter 2.70, “Municipal Identification Cards” and Adding Various Subsections of the Desert Hot Springs Municipal Code."
Staff Report - SR-24-218 - Pdf
This item was withdrawn from the agenda. No action was taken.

8. Corporate Yard Park Naming Contest
Recommendation:

Concur in recommendation of the subcommittee (Mayor Pro Tem Gardner and Councilmember Pye) to name the park "Golden Eagle Sports Park." Staff Report - SR-25-011 - Pdf
Councilmember Gardner presented the report and responded to questions.

ACTION: Approve naming the Park "Eagles Sports Park."
Moved by Councilmember Gardner
Seconded by Mayor Pro Tem Pye

City Council
January 21, 2025
Carried 5-0 by the following votes:

AYES: Pitts, Pye, Voss, Gardner, and Matas

9. Mayor's Appointments to Various Intergovernmental and Regional Boards and Committees
Recommendation:

Ratify Mayor Matas' appointments to the various intergovernmental and regional boards and committees.

Staff Report - SR-25-009 - Pdf
Mayor Matas presented the report and responded to questions.

ACTION: Approve recommendation.

Moved by Councilmember Gardner
Seconded by Councilmember Voss
Carried 5-0 by the following votes:

AYES: Pitts, Pye, Voss, Gardner, and Matas
CONSENT CALENDAR:

10. Selection of Consultants to Provide Staff Augmentation for Planning Services
Staff Report - SR-24-216 - Pdf
ACTION: Approved Staff recommendation to authorize the City Manager to execute a Professional Services Agreement with The Altum Group and MNS, Engineers, Inc. for a period of 5 years not to exceed $100,000 per year. The term would be for three (3) years with an option to renew for two (2) additional years.

11. Approve Professional Services Agreement with Exhibit B State and Federal Requirements for Engineering Design of HSIP Cycle 11 - Citywide Pedestrian Safety Project, City Project No. 3027 Cycle 11 - Citywide Pedestrian Safety Project, City Project No. 3027.

Staff Report - SR-25-015 - Pdf
ACTION: Approved Staff recommendation to:
1) Authorize the City Manager to cancel the original Professional Services Agreement between the City of Desert Hot Springs and Minagar and Associates; and
2) Approve the Professional Services Agreement between the City of Desert Hot Springs and Minagar and Associates to include Exhibit B – State and Federal Requirement and: 3. Authorize the City Manager to execute the Professional Services Agreement with Exhibit B, for Engineering Design for

City Council
January 21, 2025
HSIP Cycle 11 – Citywide Pedestrian Safety Project, City Project No. 3027 with Minagar and Associates, Inc. in the amount not to exceed $62,373.00 with a contingency of $6,237.30 (10%) for any additional work as approved by the City, which brings a total budget of $68,610.30.

12. Approval of Parcel Map No. 38435, for Desert Gateway Project Staff Report - SR-25-012 - Pdf
ACTION: Approved Staff recommendation to:
1) Find that the Parcel Map No. 38435 is in substantial conformance with the previously approved tentative map;
2) Approve Parcel Map No. 38435 in accordance with the Conditions of Approval;
3) Accept any and all dedications as offered on the map for street and public utility purposes, and sidewalk easements;
4) Accept the Subdivision Improvement Agreement, Performance Bond and Labor and Materials Bond, any substantive changes shall be approved by the City Manager and the City Attorney;
5) Authorize the City Clerk and City Engineer to sign the map evidencing the City Council's approval; and
6) Authorize staff to process and file the map and subdivision agreement with the County Recorder's Office.

13. Regional Early Action Planning Grant Program (REAP 2.0) Notice of Funding Availability (NOFA) For Lasting Affordability Program – SCAG Resolution
Staff Report - SR-25-013 - Pdf
ACTION: Approved Staff recommendation to adopt Resolution No. 2025-004 of the City Council of the City of Desert Hot Springs approving the execution of an agreement to receive funding from the Regional Early Action Planning Grant Program of 2021 Notice of Funding Availability For Lasting Affordability Program.

14. Regional Early Action Planning Grant Program (REAP 2.0) Regional Utilities Supporting Housing (RUSH) Pilot Program – SCAG Resolution Staff Report - SR-25-014 - Pdf
ACTION: Approved Staff recommendation to adopt Resolution No. 2025-005:
“A Resolution of the City Council of the City of Desert Hot Springs approving the execution of an agreement to receive funding from the Regional Early Action Planning Grant Program of 2021 Regional Utilities Supporting Housing (RUSH) Pilot Program.”

15. Notice of Completion – HSIP 9-1 Palm Drive Safety Improvement Project,

City Council
January 21, 2025
Federal Project No. HSIPL-5384(023), City Project No. 3019 Staff Report - SR-25-016 - Pdf
ACTION: Approved Staff recommendation to approve the work, accept the project, and direct the City Manager to file the Notice of Completion for the HSIP 9-1 - Palm Drive Safety Improvement Project, Federal Project No.

HSIPL-5384(023), City Project No. 3019.

16. Payment Register and City Council Expenditures for the Period of December 1, 2024 to December 31, 2024
Staff Report - SR-25-007 - Pdf
ACTION: Received and filed.

PUBLIC COMMENTS
None.

ADJOURN
Mayor Matas adjourned the meeting at 7:28 PM.

Jerryl Soriano, CMC, City Clerk

SR-25-019
City of Desert Hot Springs
City Council

AGENDA ITEM REPORT
To: City Council
Date: February 4, 2025
Department: City Manager
Prepared by: Daniel Porras, Assistant City Manager
Subject: Reject Bids for Construction for John H. Furbee Aquatics Center Improvements
RECOMMENDATION:
1) Reject the lowest bid from USA Construction as both nonresponsive and nonresponsible; 2) Reject all bids, and direct Staff to move forward with a re-design of the improvements to include the design and construction of the pool and the splash pad; 3) Authorize the change order increase for the re-design costs of $10,000.00, increasing the professional service agreement with Aquatic Design Group for design, from $84,000.00 to an amount not to exceed $94,000.00.

BACKGROUND:

On April 2, 2024, the City Council approved Staff’s recommendation to “Adopt a Resolution of the City Council authorizing participation in and authorizing the City Manager to approve all agreements and necessary (CDBG) Advancement request. City Staff proposes to request the advancement of CDBG funds from the Riverside County to undertake the rehabilitation of the Furbee Pool located in the Health and Wellness Center. This project is of paramount importance, due to the rapidly deteriorating aquatic facility.

On May 15, 2024, the City Council awarded the professional service agreement with Aquatic Design Group for design, engineering, and construction observation for the John H. Furbee Aquatics Center Pool Renovations in the amount of $84,000.00.

On November 13, 2024, the City of Desert Hot Springs issued a Notice of Inviting Bids for construction of the John H. Furbee Aquatic Center Improvements, City Project No. 2013. The Notice of Inviting Bids was posted on the City’s website and with Planit Reprographics, a local valley clearing house for public bid solicitations. The Notice of Inviting Bids was released for 22 days, closing on December 5, 2024.

On December 5, 2024, City Staff received and publicly opened three (3) bids packages.

On December 12, 2024, City Council approved staff recommendation to award the construction contract agreement to the lowest responsible bidder, USA Construction in the total bid amount with alternate of $1,064,684.00, plus 10% contingency, and the costs of construction management.

SR-25-019
DISCUSSION:

On December 13, 2024, a bid protest letter was received by California Waters. The bid protest was received within the 10 calendar days after the bid opening date of December 4, 2024 per the bid protest procedures as outlined in the projects’ specifications. The protest letter is shown in the attachments.

Staff reviewed the bid protest letter and on December 17, 2024 sent the letter to USA Construction requesting a formal response. On January 9, 2025, USA Construction submitted a response to the bid protest letter. The response to the bid protest letter is shown in the attachments.

Staff reviewed the response to the bid protest letter and found the responses to be vague and did not clearly answer the questions. One main item in question was the verification of the name of the contractor USA Construction, USA Management, USA Pools of California that appeared on the bid proposal documents, and email correspondence.

Staff did further research into the company and found that USA Construction is the same company as USA Management and its employees and representatives. Several years ago, the City obtained a civil judgment against USA Management and their employees for committing fraud on the City. USA Management was awarded a contract to manage the Furbee Aquatic Center. But USA Management’s fraud left the Furbee Aquatic Center in disarray and endangered the public safety. Staff discovered that USA Management made no real attempt to manage the pool, provided no training or supervision of lifeguards, and had falsified records. Ultimately, Staff had to intervene to contain the situation.

Because of these circumstances, Staff believes there is a great risk of fraud should “USA Construction” receive a contract to renovate the Furbee Aquatic Center. Overall, Staff believes that USA Construction’s history of fraud and attempted concealment of its true identity show that it is not a responsible company. The judgment and complaint are shown in the attachments.

Based on this information, Staff is recommending the City Council reject the lowest bid from USA Construction as both nonresponsive and nonresponsible. Staff further recommends the City Council to reject all bids, and direct Staff to move forward with a re-design of the improvements to include value engineering the design and construction of the pool and the splash pad.

FISCAL IMPACT:

The re-design will cost an estimated $10,000.00, increasing the professional service agreement with Aquatic Design Group for design, from $84,000.00 to an amount not to exceed $94,000.00.

ATTACHMENTS:
1) USA Construction Proposal
2) Bid Protest Letter California Waters
3) Bid Protest Response USA Construction
4) Email from USA Managament
5) Judgment
6) Final COMPLAINT WITH EXHIBITS (Conformed)
7) Comparison of Companies

Company’s Quali?cationsFor
John H. Furbee Aquatic Center
Improvements
USAConstruction
1595 Peachtree Pkwy, Suite 204-344
Cumming, GA 30041
PROJECTNO. 2013 PI877-248-1872
Date Due: 12/4/2024 Fl877-224-0872

Cover Sheet
Table of Contents
USA Construction
Meet the Team
Team Structure
Sample Projects
Project Management
Partners *not all are listed
Table of Contents

USA Construction
History: USA Construction was founded in 2001 by a group of aquatic professionals that branched off of USAPools.Since 2001 we have built various types of commercial aquatic facilities. Our group began in the southeast, then worked its way up the east coast, by 2014 we expended to the southwest and west coast.

Safety: The USAConstruction group has experience working on projects from coast to coast. Our safety record is impeccablewith zero incidents. Our safety and standards are unmatched in our industry.

Methodology: USA Construction utilizes the traditional project management “waterfall” method for project management. As well as the utilization of daily reporting that with smart phone technology allows us to have real time trends on project completion.

Capabilities: USA Construction has worked on new build- design as well as renovations for the following types of facilities: traditional commercial swimming pools, lazy rivers, waterslides, beach entry pools, natatoriums, and splash parks as they have become more and more popular. USA conducts business with private business such has hotel/resorts, municipalities, and federal military installations. No job is too big or too small for our group.

Past Performance: USA Construction has the ability to work with smaller scale commercial projects as well as large scale projects. We complete more than 200 projects under $100,000 each year, 50-100 projects that are $100,000-$500,000 and 2—10 projects that scale over $1,000,000.00. These projects each of their own speci?c needs and requirement in which we work with a multitude of engineers, architects, sub contractors and material vendors.

Meet Your Team
Alison Abbott
'~ Sales Manager
Carmen
Zamudio
Contracts and
Finance
‘ _ Morris Barkley
Project ‘ Office
Manager ‘ Administration
Onsite Staff
Our Team at USA Construction is made up of multiple subject matter experts. These professionals are paired with each project depending on the project scope. We have provided swimming pool construction, management, and maintenance services for cities, counties, country clubs, and military bases throughout the country. We have in place the valued services and programs that will enable us to serve you with a 100% guaranteed satisfaction.

We will accept no less than the highest standards in materials and workmanship and offer our full commitment to making this process as smooth and worry-free as possible. We stay personally involved step by step in your project, which ensures complete control over the work and seamless integration with all facets of the job, guaranteeing a top—notch?nal product and total customer satisfaction. Again, we appreciate you taking a good look at USA Construction.

Alison Abbott
Alison studied international business. After working in the medical and hospitality fields she joined the USA team in 2014 and has been successful in moving into a senior management role where her skills and knowledge in technology have aided in bringing organizational systems into more efficient practices.

Experience
Organizational and talent
management
Multidepartment management
Revenue management of 60—80
Million annually
Fields of experience: Hospitality,
Medical, Construction, Aquatic
Safety
Organizational training and system
set up
Skills
- Ability to connect teams
- Ability to provide clear
communication to high level and
ground level team members
° Ability to communicate
expectations and assist others in
setting goals to meet expectations
- Ability to problem solve and make
decisions.
° Ability to identify root cause and
work towards solution
é
'6 LE9v . EDGEWOOD
o A 0 Occupational Safety
(£5.95) and Health Administration COLLEGE s

Team Structure
Its important to have a system of checks and balances on site and in the of?ce. Your project will go through a system of checks and site walks before anything is every approved or labeled as complete.

Sometimes simple is better!
We believe that there should be a
clear chain of command and that
begins with YOU, the client. You
will always have access to all three
levels of management throughout
your project.

The admin or sales manager acts as
the construction director. They
listens, estimates, and designs.

Without their stamp of approval
you will not be presented with pay
applications or statements of work
completed.

Your project manager for USAwill
function 75%in the office and 25%
on—site.They are the eyes and ears
for the project and holds the
superintendent to the highest
standard.

Your onsite superintendent will be
with our crew daily overseeing
each step of your project. We have
several gifted supers that are part 5
of our company.

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Design—Build
Orange Park - GA
1305 Oakland Dr. SW Atlanta, GA 30310
Valued at $1,450,000
Building — 44005f
Pool — 6000 sf

Design—Build
JohnA. White Park — GA
1183 Cascade Cir SW Atlanta, GA 30311
Valued at $1,675,000
Building — 75455f
Pool — 4707 sf

Design-Build
Browns Mill Aquatic - GA
4929 Browns MillRd Lithonia, GA 30038
Valued at $2,600,000
Building — 7450$f
Pool — 17,000 sf

Renovations
Need an update to your location?
Add a slide* Resurface* Extend your Pool * Convert a pool to splash pad* Add play features
ll

SEIashPark Design/Build
la 77,, ,,
iverside Park — GA
575 Riverside Road Roswell, GA 30075
Valued at $594,500
Splash Pad — 2200 sf

,.\ A?"' ' SElaShPark Design/Build
Riverside Park - GA
9000 Fouts Road Roswell, GA 30075
Valued at $623,250
Splash Pad — 2550 sf

SplashPads
You dream it and we build it!
The more out there the design, the more fun the build! At USA Construction we like our partners to have big ideas. Spirals, dinosaurs, and pirates oh my! The sky can be the limit with USA.

SglashParks
Imagine the possibilities
15

Project Management
Our Project Management Software has multiple interfaces, of which the main dashboard/healthchart give us a quick snapshot of how each project is doing.

It allows you to easily identify those projects which are progressing fine and those projects which are in trouble.

Time: Time shows what percentage your project is behind schedule.

Tasks: Shows how many tasks still need to be completed.

Workload: shows how many tasks are overdue.

Progress: Shows what percentage of your project is complete, Cost: Shows your costs vs your planned budget.

Progress
'ask Percent Complete
“an 75% —
)eliver 56% —
'rack 1. Report 22% -
Time
.Ahead .Behind .On Time
aIanned Completion 0%
Ahead 50%
Adual Completion 50%
-
Health
Time 50% ahead of schedule
Tasks 13 tasks to be completed.

Workload 0 tasks overdue
Progress 50% complete.

Cost 100% under budget
Cost
.Actual .Planned .Budge!
S70K
$53K
$35K
$1BK 16
SO ——

ProjectManagement
crystal River Design/Build - 05 Oct 2020 ”'9“
Task Name Duration Planned S. . Planned Percent Complete Priority Actual Hours Planned Hours 1 I General Requirements 7 days 11/9/2020 11I17I2020 None 0 hour 2 I mobilization 7 days 11I9/2020 11/17/2020 None
3 I Design & Permillig 1 day 11/9/2020 11/9/2020 None
4 I Payment A Performance 8... 1 day 11/9/2020 11I9/2020 None 5 I Temporary Fencing 1 day 11l9/2020 11/9/2020 None
6 I Insurance 1 day HIS/2020 11I9/2020 None
7 I Trailer 1 day 1119/2020 11I9I2020 None
8 | Dumpster 1 clay 1119 0 1119/2020 None
9 I
Surveying 5 days 11 11I13/2020 None
10 I Of?ce Supplies 1 day 1/9/2020 None
11 | Miscellaneous Materials 1 day 11 1 20 None
12 | Travel 1 day 1119/2020 20 None
13 I Project Signed by FDEP Gmrul/ days 11/9/2020 I None 0 hour 14 'SileWork 46 days 11/16/2020 1" 0 None 0 hour
15 I Drainage 6 days 11I18I2020 11r2 None
15 I Prep 5 EanhWork 3 days 11I1E/2020 “Ha/2020 None
17 I Excavation.Trenching & BacJ days 11110/2020 1124/2020 None 18 I Fencing 8 Game 7 days 11/16/2020 1104/2020 None
19 I Sod, Landscape & Irrigation 6 days 1/11/2021 1/18/2021 None 20 I Pavement Marking 2 days 11/24/2020 11/25/2020 None 21 Concrele Work 54.04 days 10/19/2020 12/31/2020 None 0 hour 24 Splash Pad - Concrete 4 days 12/21/2020 12/24/2020 None 25 Plaster 4 days 12/28/2020 12/31/2020 None
26 I
Electrical Work 24 days 12/21/2020 1/21/2021 None 0 hour 27 Gen Req for Electrical 14 days 12/21/2020 “7/2021 None 0 hour 20 I Site Lighting 3 days 1/13/2021 1“ 5/2021 None 0 hour 29 Controller Board Installation 4 days 1/18/2021 1I21/2021 None 0 hour 30 Wiring Devices 7 days 12/22/2020 12/30/2020 None
17

USA Design/Build Steps
1) Team Selection :

After carefully reading through the scope of work, USA
Construction chooses your team based on experience/ skill set, quality of work, and cost. Putting together a strong team that can function independently as well as a single unit creates a strong foundation to support the following steps and project. 2) Pre-Construction
This tends to be a shorter phase within our design build process, but it absolutely critical to our success. This is the step where we will ask a great number of questions to make sure that everyone is on the same page. Expectations and reality do not always line up when designing a project and its important to get a solid picture of what is to be
expected/ delivered. Here is where goals, complete scheduling, budgeting (and budgeting problems) and potential project challenges will be addressed. This is also where value
management/ engineering will ?rst appear.
3) Architectural Design
Design can begin after budget and timeline have been set.

There will be assessments for potential cost savings and ways to increase productivity and preliminary drawings are
presented to the project owner.
4) Construction
This can begin during the design phase as it is common to have timing overlap between the two depending on the project. USA tries to minimize change orders through utilizing S-curves and an agile waterfall project management techniques, but this is the phase where change orders will appear (if any).
5) Post Construction
Once completed, your team will do an overview of the project, a ?nal site walk and various training depending on the
technology utilized for your facility. ,8

Schedulin
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—

Billin & Pa ments
You should get what you pay for; in this industry that does not always happen. With USA Construction as your partner you can rest easy that when we submit a pay application, its has been checked, double checked, and triple checked. With the use of an AIA Payment application you will always know where your project stands and how your payments are calculated.

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Site Cleanliness
We all know construction is a messy business, but that does not mean the jobsite has to be sloppy.

The construction director will be performing monthly or bi—weeklysite walks depending on the project and the stage of completion. You can trust and believe in an organized, well run and safejobsite when working with USA Construction.

Our team holds every member of the crew accountable for their work area daily. Our goal is to leave as little footprint as possible when building your aquatic facility.

Quali?Control Assessments
With USA Construction as your preferred partner, rest
assured that our focus is always on the quality of our
work/product!
Each week your project manager is going to check in with you, the director and the super individually. During this check ins your project manager will utilize a quality
control assessment form to make sure that the partner, the director and the on site superintendent are satisfied and up to date on what has been completed, what is currently in progress, what needs correcting, the plan for correcting and what are the next steps towards success and project completion.
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Quali Control Assessments
QualityControl Plan for Construction
Automated Template Library-Example Project-ExampleTeam-DP-QUAL-Cim 8 ~12 Form Number
Section 1 PURPOSEOFTHEPROJECTQUALITYMANAGEMENTPLAN
Provide the purpose of the Project Quality Management Plan. This document should be tailored to fit the particular project needs. identify which project(s). productis). and/or the portion of the project life cycle that are covered by this plan and the overall quality objectives for this project.

1.1 Project Project name: Newtown Street Neighbourhood
Name and
Purpose
Purpose - Complete renovation works on the east side buildings Section 2 PROJECTQUALITYMANAGEMENTOVERVIEW

2.1 Describe the primary roles and responsibilities of the project staff as it relates to the practice of Project Organisation. Quality Management. indicate responsibilities for activities such as mentoring or coaching. auditing Responsibilitie work products. auditing processes. participating in project reviews, etc. 5. and interfaces
Name Role Quality Responsibility
3DaveHodgson National quality manager
' Coachingan quality personnel and other 1 personnel where applicable 5 ‘ l
L '
' ‘ t Patricia Barbara ‘ Quality auditing on work products i
jess King ‘ Auditingworit products acrossthe project
TBalindajones Establish auditing processes and manage
i personell
;james Tran . Orgarising and leading all participation in project

2.2 Tools. List and de?ne the data elements ' e {7 y __ t will be used to measure project quality and level Environment. of conformance to de?ned quality sta "3ard m and interfaces ”
:Tool
I Bend'imarking
I Referencingand monitoring quality in comparison to Industry recognised benchmarks Continuous improvement Setting our own benchmarls and seeking continuous imprwement across ‘
‘ operations
, Qualitymanagement software platform Get real-time analytics and insights from quality performance to properly analyse and adjust coursewhere required
' 3rd party audit . 3rd party auditing at pro-defined intervalsto ensure qua?ty and 1 compliance
Section 3 PROjECTQUALITYMANAGEMENT
At the highest of levels Quality Management involves planning, doing. checking, and acting to Improve project quality standards. The practice of Quality Management is broken into three process groups:
0 3.1 Quality Planning (OF),
23

Quali Control Assessments
0 3.2 Quality Assurance (0A) and
0 3.3 Quality Control (QC).

The following sections de?ne how this project will apply each of these practice groups to define. monitor and control quality standards.

3.1 Quality Identify which quality standards are relevant to the project and how to satisfy them. Identify and de?ne Planning (QP) appropriate quality metrics and measures for standards for project processes, product ftmctionality. regulatory compliance requirements. project deliverables.project management performance. documentation.testing. etc. Identifies the acceptance criteria for project deliverables and product performance

1.Project structure
Separate Quality Staff- Testing is a veryspecialised function. Acontrador may elect to hire a separate staff or subcontractor to perform testing and to generate the documentation required by the FARClause and the FP.But the testing and documentation are only part of the inspection system required by the contract. ifthe entire inspection system is performed by personnel separate from production personnel, that would mirror the traditionalrelationship between contractor and agency organisations.

2. Process control testing
Testing provides a reflectionof qualityand the process. But only changes to the process can improve quality.

Extens'wetesting needed to identifydefects so that they can be corrected is an indicationof a poor process. ideallyfrequencies of QCtesting are dependent on characteristics of the overall process. in a transition environment however.when contractors are not used to designing comprehensive QCsystems. it may be necessary for the agency to provide guide frequencies to minimize the riskof serious de?cienciesundetected until late in the process.

3. Inspection/control procedure '4
Formost typicalFLHconstruction project - adequately address the qualityprocess basics l ._, j I; Thisdoes notinciude testing schedules.certifica ‘ _ the narrative includesexcessive redundancies, para that willadd to the required length.

4. Preliminary. Startup and Production Phases
The FPrequires each of the three sequential phases to be addressed separat- 4’}. ; construction.a ?ve by three matrix is generated which constitutes the inspectio '17"trol part of the CQCP.The preliminary phase includes evaluation of equipment. materials and other resources prior to work being started. it also involvescomparing contract requirements with training and other needs. Startup includes the additional management. training and inspection resources usually needed when a newoperation is started. Production addresses the routine QCresources necessary after the process is established.

5. Subcontractors and Suppliers
When subcontractors and suppliers [other than suppliers of commercialitems] provide part of the work.then the QC?needs to be clear whether their QCresponsibilities willbe independent. or a part of the prime contractor's responsibilities. if they are independent. then the subcontractors or suppliers QCPmust be developed and submitted for approval. through the prime.

8. Manufactured Materials
24

Quali Control Assessments
Commercial Items -These are materials manufactured and sold to the general public, as opposed to materials made to the unique speci?cations of the agency. For most commercialitems.the contractor‘s responsibilitiesare limited to veri?cation that the materialsare as required or permitted in the contract.and that the delivered materials are in fact those approved materials Some materials whichare arguablycommercialare considered of criticalimportance. and have speci?c QCIQArequirements in the contract. Non-commercialItems - These are materials manufactured offsite, but speci?cally to agency specifications for this project QCplan coverage for non-commercial items should be a separate document from the manufacturer, or the manufacture of those items should be 8 included in the QCplan of the contractor or a subcontractor. Likecriticalcommercial items, aitical noncommercial items may have speci?c QCIQA requirements in the contract.

Exploitation Comment

13.1.1 Define Project Quality Covered in OKRsheet 2
r IdentifyqualityStandardsand expectations for cistorners. the project. ‘ organization and federal regulations. de?ne customerand projea goals. : quaiky standards, criticalsuccess factors, and metrics for which to . measure success.and outline acceptance criteria for project deliverables l and product performance.
1 3.1.2 Measure Project Quality Covered in moot
; identifydesired metrics and related monitoring processesfor which to 2 measurequalitystandard.develop a plan for measuring quality, de?ne i
l methods of data colection and archiving. and document timeframe for ‘ measurement and metrics reporting.
lr3.2 Quality identifyand define those actions.and the metrics to measure them, that provide the con?dence that Assurance project quality is in fact being met and has been achieved. Relate thee actions to the quality standards (QA) defined in the planning section of this document.

Defects per subcontractor - Trackthe number of defects per < and assess punch list and snag list completion and performance .97'
,/ -"/. Project delays oTrackdays behind schedule, planned vs. actuals and budgeting to chk how much quality has impacted these core project KPl's
Variations - The number of variations and instructions are indicative of project scope changing which introduce more uncertainty around jobs and quality which can negativelyimpact quality tot management - Understand how each team and function is performing from lot reporting ; Explalnadon Comment

3.2.1 Analyze Project Quality
‘ Qualitymanagement software to improve planned vs. actuais and real- Analyzequality data.document opportunities for improrement and apply time tracking Md monitoring what was learned from quality analysis to eliminate gaps between current ‘ and desired leveb ofperformance.
2S

Our Partners
$AO¢JAWOLUC
Newly-designed commercial and residential
pool filter packs are made of thick
fiberglass lids with a one-inch ?oor for no
warping and easy drainage. Aquaworx uses
stainless hardware on our hinges and
latches in addition to unions on all pumps
for easy removal. 26

Our Partners

AQUATICS

SAFESWAPTMANCHORING SYSTEM
Attractive ground caps are
substituted for future play products
Easily add future play elements with no
change to infrastructure
Easily move products from one location
to another at no additional cost
Provides ?exibility to spread investment
over time as capital becomes available
Structural stainless-steel base
for maximum strength
Optional interim spray cap (as shown)

RECIRCULATION

Our Partners
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Our Partners
® WHITEWATERM
EST. 1980

Our Partners

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Our Partners
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Our Partners
32

Our Partners
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EXPOSED AGGREGATE POOL FIN|SH
33

lot retlectlve OI actual agreement. One would be modmed [0 re?ect COSt and scope upon award

USACONSTRUCTION
PROPOSAL FOR:

John H. Furbee Aquatic Center Improvements
This Agreement, between the undersigned,
(herein referred to as "0wner"), hereby contracts with USA Construction (herein after referred to as "Contractor") for the installation described below at the price, terms, and conditions set forth herein.

JOB ADDRESS: John H. Furbee Aquatic Center, located at 11750 Cholla Drive, Desert Hot Springs, CA92240 MAILADDRESS:Office of the City Clerk, City Hall, 11-999 Palm Drive, Desert Hot Springs, CA 92240
CONTRACTPRICE(in words): One Million Fifty-Eight Thousand Six Hundred Eighty Dollars CONTRACTPRICE(in numbers): $1,058,680
Payable as follows:

PAYMENTSCHEDULE
Payment is Scheduled in AIA format
USA CONSTRUCTIONagrees to furnish and pay all labor, material, equipment, takes, insurance, and do allthings necessary for the proper construction and completion ofswimming pool at FacilityName, Locatedin Name County, State in accordance with the requirements of the local Health Department in effect on the date of this Agreement, and as shown on the plans provided by the Owner. Without limiting the generality of foregoing, the work is generally described as the construction of a swimming pool the shape and size specified on the attached plan and as described in the Plans and Specifications provided by the Owner.

Any written notices, which may be required herein, shall be mailed by Registered or Certified US Mail,return receipt requested, to the Contractor at the following address:

USAConstruction
1595 Peachtree Pkwy
Suite 204~344
Cumming, GA, 30041

Pool re-plastering and re—tiling.

Partial deck renovation.

Replacement of undenNater lights and deck equipment.

Reconstruction of pool coping.

General work required to provide a fully operational aquatic facility.

LANS:

Iwner is required to provide Contractor with three (3) full sets of engineer stamped plans upon signing of agreement. ontractor cannot start the project or the permit process without three (3) full sets of engineer stamped plans. Plans iUSt include drawings of pool layout with depths and dimensions of pool. plumbing layout of pool, and all electrical nes for pool to include pump room layout and pool lights. Contractor can provide these plans at an additional fee to 1e agreement cost.
00L OPERATIONS
he Contractor shall put the filtration equipment into operation. The Contractor shall provide oral instructions; as Iellas provide all owners’ manualsto Owner. The premises shall be cleared of all excess materials, tools, equipment nd debris from construction site.
his bid assumes there are no underground rocks or structures, quicksand, lakes, trash dumps or uel tank, and there is reasonable access to the job site. This bid also assumes there is acceptable soil type and Jmpaction to support pool structure and decks.
rwner represents that he/shehas title to the land, that the pool is located within the property lines and clear atbacks, underground installations and overhead power lines, and that the pool and equipment location complies iith applicable zoning laws.

HANGEORDERS
ny additional work that is above and beyond the originalscope of work listed above shall be invoiced separately and ayment shall be due upon completion of additionalwork that Was approved by Owner in the change order. Any wange orders that are more than $2,000.00 shall require a 50% deposit with the written approved change order. ayment terms listed below shall apply to all change orders.

DDENDA
he following Addenda are pursuant to, and part, of this Agreement:

N/A
ERSONNELl SUBCONTRACTORS
lhereas, Company will invest substantial resources to train and convey information concerning perationaI/construction techniques and management procedures to its personnel and subcontractors at Owner‘s icility, Owner acknowledges that such information and investment is a valuable asset of Company's business. Owner grees not to hire or contract (without the prior written consent of Company) any personnel or former personnel of ie Company directly or indirectly to work at, service, or be connected in any way with the project named herein for a eriod of one (1) year from the date of completion or cancellation of this agreement. Owner further agrees not to antract for any work performed at project as described herein with any subcontractor hired by Contractor (without 1e prior written consent of Company) to perform work on project listed above herein for a period of one (1) year pm the date of completion or cancellation of this agreement. Hiring of subcontracts by Owner is a direct breach of iis agreement and a violation of the permit status of this project.

'AYMENTTERMS
Iontract Payments are due as indicated above. Any contract payment not made within ten (10 days of the schedule sted above shall be subject to a delinquent payment of five percent (5%) of the amount due or any portion thereof. 1 the event contract payments are not received within fifteen (15) days of the schedule listed above, the Company hall have the right, at it's option, and within its sole discretion, to interrupt or terminate its services under this lgreement and to withdraw and remove all personnel and supplies from Owner's premises without any further or dditional notice to Owner. Any such interruption or termination notwithstanding, Owner shall be fully responsible or all payments provided herein. In the event that Company is required to collect payment at Owner's establishment, )wner agrees to pay an amount not to exceed $350.00 for courier services. 1 the event that the Company elects to pursue collection of any amounts due under this Agreement, Owner shall pay || said amounts, together with the interest at the rate of 18% per annum from the date the same became due, ogether with any and all cost of collection, including and together with any and all reasonable litigation expenses, 1cluding reasonable attorneys fees.
urther, Contractor will not assume any liability or responsibility for any work during the Warranty Period until all woices are paid and Owner’s account is current.

IANCELLATION
'he Owner shall have the right to cancel this Agreement based on Company‘s non-performance of duties and esponsibilities as follows:
1) Owner shall notify corporate office (1595 Peachtree Pkwy Suite 204-344 Cumming, GA, 30041) by certified mail nd by phone of any problem regarding performance as detailed in the Agreement. Company shall have ten (10) Ausinessdays following receipt of certi?ed notification to remedy stated violation of agreement. (Remedy Period) 2) if Company failsto remedy the violation within the Remedy Period as detailed in this Agreement; Owner may then ancel this Agreement by providing Company written notice of cancellation via certified mail, within ten (10) days of he end of the remedy period. ThisAgreement shallthen terminate five (5) days after the receipt thereof by the Zompany and be considered the Termination Date.

CLOSEOUTlSUBSTANTlAL COMPLETION
)wner is required to attend a Close Out walk through ofjob site within 3 days of Substantial Completion of project. ubstantial Completion is achieved when facility/pool is usable and or permitted for operations. IfOwner does not ttend the Close Out walk through, Owner agrees to ?nal completion and payment of all outstanding invoices, 1cluding any and all retainage.

VARRANTYPERIOD/WARRANTYREVIEW
Zontractor provides a one-year warranty (Warranty Period) on all parts and labor for this project. The Warranty 'eriod on parts is limited to the extent of the Manufacture’swarranwfor each part. Owner is entitled to request a Varranty Review throughout the Warranty Period as long as all outstanding payments/invoices are completely paid to Zontractor. in order to request 3 Warranty Review of the project, Owner is required to submit the request in writing 0 our office via certified mail detailing any item they would like the Contractor to review under our warranty terms. lpon receipt of Warranty Review, Contractor willhave ten (10) days to provide a written response to the Owner’s Varranty Review request. IfWarranty Review contains items that fall within the warranty provided under this greement, Contractor has thirty (30) days to correct those items that fall under our warranty from date of cceptance of Owner's Warranty Review. Page 5

Varranty Period begins upon Substantial Completion and completion of Close Out walk through. However, a Varranty Review will not be accepted at any time until Owner has paid all contract payments and outstanding ivoices due on this project.
iOVERNINGLAW
'his Contract shall be governed by and construed according to the Laws of where the Company is domiciled.Venue or any disputes arising out of this Contract shall be in the State or Superior Courts of where the Company is lomiciled.

IlODlFICATlON
his Agreement constitutes the entire agreement of the parties and supersedes any prior agreements, understandings ir negotiations, written or oral. ThisAgreement may not be modified or amended except in writing, signed by both iarties hereto. This Agreement shall be binding to ensure the benefit of the Owner and Contractor and so their espective heirs, successors and assigns.

TRICTCOMPLIANCE
lo failure of Contractor to exercise any power or right granted herein, or to insist compliance by Owner with its ibligations and duty herein shall constitute a waiver of Contractor's right to demand strict compliance with the revisions hereof at any time.

EVERABILITY
: any term or provision of this Agreement or the application théreofto any person or circumstance shall, to any ‘xtent, be invalid or unenforceable, the remainder of this Agreement,or the application of such term or provision to Iersons or circumstances other than those to which it is held invalid or unenforceable, shall not be affected thereby nd each term and provision of this Agreement shall be valid and enforceableto the fullest extent permitted by law. lONWAlVER
)wner and Contractor agree that no failure to exercise and no delay in exercising any right, power or privilege under hisAgreement on the part of either party shall operate as a waiver of any right, power, or privilege under this igreement.
iTTORNEYSFEES
1 the event of legal action to enforce the rights of the Contractor or Owner, under the terms of this Agreement, the Iarties agree that the Contractor shall be entitled to receive as additional damages, any and all litigation expenses, 1cludingattorney's fees.
iOOD FAITH
JSAConstruction has provided this proposal in good faith based on information obtained from the owner and from Iur inspections.

AISCELLANEOUS
icts of God, natural phenomenon, previous damage or irregularities, or those inconsistencies beyond the control of iSAConstruction may give cause to the contractor to advise the owner of a change in scope of the work. Thischange waynecessitate an adjustment in price, or a modification in some part of the work to be performed.

’ROPOSALEXPIRATIONDATE
[his contract is void at the Company's option if not executed by the Owner and returned to the Company 14 days )fter December 4th, 2024.

BINDINGAGREEMENT
Thisinstrument shall become effective as of .The Agreement shall )ecome binding upon the signature and /or seal of both parties.

ACCEPTANCE
Acceptance of this Agreement by Owner through signatures below and return of this Agreement along with any )ayments due hereunder willconstitute a contract entered into in accordance with the specifications, terms and :onditions and addenda attached hereto.

I'hanksfor your confidence in USAConstruction
JSA CONSTRUCTION Name of Owner
3y: USA Construction, LLC ' By:

Authorized Agent- ”Owner”
)f?cer: Title:
)ATE: DATE:

ADDENDUMNo. 1
John H. Furbee Aquatic Center Improvements
City Project No. 2013
November 21, 2024
The following is for clari?cation or changes to the John H. Furbee Aquatic Center Improvements, City Project No. 2013.

Notice of Inventing Sealed Bid Proposals - Receipt of Bid Proposals The work requires a California Class “A”license or California Class “B”license.

The Contractor or the Subcontractor must have a C-53 license.

Thank you,
Nicholas Haecker
PublicWorks Director
Receipt of this addendum shall be submitted with your bid by signing below. YOUR BIDWILLBE DISQUALIFIEDIF THISADDENDUMNO. 1 IS NOT SIGNEDAND SUBMITTED WITHYOUR BID PROPOSAL.

W
Bidder 3 a ure

ADDENDUMNo. 2 -
John H.FurbeeAquatic Center Improvements
CITYPROJECT NO. 2013

CITYOF DESERT HOT SPRINGS
December 3, 2024'
If. The following is for clarification or changes to the John H. Furbee Aquatic Center’ Improvements, City Project No. 2013.
,1- As part of the new deck construction the contractor shallinclude the new conduit infrastructureforthe “future”scoreboard and timing system as shown onplans.

2. AddBidAlternate1—“The purchase and installationof the scoreboard and timing system per the attached plans Sheet SP-3 and SP- 7”.

3. Use attached Revised Bid Form, as of?cial Bid Form.

Thankyou,
Daniel Porras, P.E.

Assistant City Manager / City Engineer
‘ Receipt ofthis addendumshallbe submittedwithyour bidby signing below. YOUR BID VWILLBE DISQUALIFIED IF THIS ADDENDUMNO. 2 IS NOT SIGNEDAND SUBMITTEDWITHYOURBID PROPOSAL.

MOW/4 *
Bidder’sSignature

BID PROPOSALFORM-REVISED
John H. Furbee Aquatic Center Improvements

IN THE CITY OF DESERT HOT SPRINGS

TO THE CITYCOUNCILOF THE CITYOF DESERT HOT SPRINGS, CALIFORNIA The undersigned as bidder declares that he has carefully examined the location of the proposed work, that he has examined the Special Provisions and read the accompanying instructionsto bidders, and hereby proposes and agrees, ifthe bid proposal is accepted, to furnish all materials and do all work required to complete the said work in accordance with the said Standard Speci?cations, Special Provisions, Technical Speci?cations, and Project Plans in the time and manner therein prescribed for the unit price set forth in the following schedule:

BASE BID: 3; 1,058,680
ADDITIVEALTERNATE#1 BlD:

The purchase and installation of the
scoreboard and timing system per the
attached plans Sheet SP-3 and SP-7 $
6,000
TOTAL BID: $ 1.064.680
Onemillionsixty-fourthousand six hundred eighty
(words)
The undersigned further agrees that in case of default in executing the required contract, with necessary bonds, within ten (10) days, notincluding Sundays and legal holidays, after having received notice that the contract has been awarded and is ready for signature, the proceeds of the security accompanying his bid proposal shall become the property of the City of Desert Hot Springs, and this bid proposal and the acceptance thereof may be considered null and void.

Signature
(If an individual,
ofbidderm—
so state. If a ?rm or co-partnership, state the ?rm name and give the names of all individual co-partners composing the ?rm. Ifa corporation, state legal name of corporation, also names of president, secretary, treasurer and manager thereof.) 1595 PEACHTREE PKWY
SUITE 204-344
CUMMING,GA 30041
Business Address

Dated:
877-248-1872
Telephone Number
12/3/2024

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BIDDER’S PROPOSAL
FOR THE John H. Furbee Aquatic Center Improvements INTHE CITY OF DESERT

HOT SPRINGS, CALIFORNIA
Date “/26 20 24
To the City Council of the
City of Desert Hot Springs:

The Undersigned hereby declares:
(a) That the only persons or parties interested in this proposal as principals are the following:

USA CONSTRUCTION LLC
(Ifthe bidder is a corporation, give the name of the corporation and the name of its president, secretary, treasurer, and manager. If a co-partnership, give the name under which the co-partnership does business, and the names and addresses of all copartners. Ifan individual, state the name under which the contract is to be drawn.) (b) That this bid proposal is made without collusion with any person, ?rm or corporation.
(c) That he has carefully examined the location of the proposed work and has familiarized himself with all of the physical and climatic conditions, and makes this bid proposal solely upon his own knowledge.
(d) That by submitting this Bidder's Proposal, he acknowledges receipt and knowledge of the contents of those communications sent by the City of Desert Hot Springs to him at the address furnished by him to the City of Desert Hot Springs when this bid proposal form was obtained.
(e) That he has carefully examined the speci?cations, both general and detail, and the drawings attached hereto, and communications sent to him as aforesaid, and makes this bid proposal in accordance therewith.
(f) That, ifthis bid proposal is accepted he will enter into a written contract for the performance of the proposed work with the City of Desert Hot Springs. 9

BIDDER’S PROPOSAL
(9) That he proposes to enter into such contract and to accept in full payment for the work actually done thereunder the prices shown in the attached schedule. It is understood and agreed that the quantities set forth are but estimates, and that the unit prices willapply to the actual quantities whatever they may be.

Accompanying this bid proposal is a certified or cashier’s check or bidder’s bond, payable to the order of the City of Desert Hot Springs in the sum of One Hundred FlVe Dollars Thousand Eight Hundred Sixty-Eight DOLLARS ($ 105,868 ) Said bidder’s bond has been duly executed by the undersigned bidder and by a ?nancially sound surety company authorized to transact business in this state.

It is understood and agreed that should the bidder fall within ten days after award of contract to enter into the contract and furnish acceptable surety bonds, then the proceeds of said cash, check, or bidder's bond, shall become the property of the City of Desert Hot Springs, but ifthis contract is entered into and said bonds are furnished, or if the bid is not accepted then said check or cash shall be returned to the undersigned, or the bidder willbe released from the bidder’s bond.
1595 PEACHTREE PKWYSUITE 204-344 877-248-1872
Address of Bidder Telephone of Bidder lime
Signature of Bidder
CUMMING 30041
City Zip Code
10

BID PROPOSAL FORM
John H. Furbee Aquatic Center improvements

INTHE CITYOF DESERT HOT SPRINGS

TO THE CITY COUNCIL OF THE CITY OF DESERT HOT SPRINGS, CALIFORNIA The undersigned as bidder declares that he has carefully examined the location of the proposed work, that he has examined the Special Provisions and read the accompanying instructions to bidders, and hereby proposes and agrees, if the bid proposal is accepted, to furnish all materials and do all work required to complete the said work in accordance with the said Standard Speci?cations, Special Provisions, Technical Speci?cations, and Project Plans in the time and manner therein prescribed for the unit price set forth in the following schedule:

One MillionFifty-EightThousandSixHundred Eighty
TOTAL BID Dollars. $ $1,058,680
(words)
The undersigned further agrees that in case of default in executing the required contract, with necessary bonds, within ten (10) days, not including Sundays and legal holidays, after having received notice that the contract has been awarded and is ready for signature, the proceeds of the security accompanying his bid proposal shall become the property of the City of Desert Hot Springs, and this bid proposal and the acceptance thereofmay be considerednull and void.

Signatureof bidder
/ U 4
(If an individual,so state. If a ?rm or co-partnership,state the ?rm name and give the names of all individual co-partners composing the ?rm. If a corporation,state legal name of corporation, also names of president,secretary, treasurer and manager thereof.)

USACONSTRUCTIONLLC
_ SECRETARY: CARMENZAMUDIO PRESIDENT.JOHN WILLIAMS, TREASURER: CARMENZAMUDIO 1595 PEACHTREEPKWYSUITE204-344 MANAGER:ALISONABBOTT
CUMMING,GA.30041
BusinessAddress
877-248-1872
Telephone Number
Dated: “’26 , 20 24
11

REFERENCES
The following are the names, addresses, and telephone numbers for three public agencies for which BIDDERhas performed similar work within the past two years.

1. Arthur Culbreth City of Atlanta
Name and Address OfOwner
Arthur CUIbreth 770-595-3870 Aculbreth0009@gmai|_com
Primary Contact Name, Email, and Telephone Number
Second Contact Name, Email, and Telephone Number
$650900 CONSTRUCTION, PLASTER MAY2024
Contract Amount Type OfWork Date Completed
MikielleBarkley NY-Queens
Name and Address OfOwner
MikielleBarkley 404.993.4014 [email protected] Primary Contact Name, Email, and Telephone Number
Second Contact Name, Email, and Telephone Number
$575,000 CONSTRUCTION, PLASTER JUNE 2024
Contract Amount Type of Work Date Completed
Warren Holiday City OfLaurel
Name and Address of Owner
Warren Holiday 601-577-5814 [email protected]
Primary Contact Name, Email, and Telephone Number
Second Contact Name, Email, and Telephone Number

CONSTRUCTION, PLASTER
$180300 MAINTENANCE
Contract Amount Type of Work Date Completed
15

Elle Anderson City of Stockton
Name and Address of Owner
Elle Anderson 650-296-4396 [email protected]
Primary Contact Name, Email, and Telephone Number
Second Contact Name, Email, and Telephone Number
$220,000 CONSTRUCTION, PLASTER JAN. 2024
_—______MA1NIENANCE____—__
Contract Amount Type of Work Date Completed
The following are the names, addresses, and telephone numbers for all brokers and sureties from whom BIDDERintends to procure insurance bonds:
16

EXHIBITB-4
Required Bid

CERTIFICATION OF BIDDER

REGARDING NONSEGREGATED FACILITIES
Project Name; John H. Furbee Aquatic Center lmprovements Name OfBidder: USA CONSTRUCTIONLLC
The above named Bidder hereby certifies that:

I do not maintain or provide for my employees any segregated facilities at any of my establishments, and that I do not permit my employees to perform their services at any location, under my control, where segregated facilities are maintained. As used in this certification, the term “segregated facilities” means any waiting rooms, work areas, rest rooms, wash rooms, restaurants and other eating areas, time clocks, locker rooms or other dressing areas, parking lots, drinking fountains, recreation or entertainment areas, transportation, and housing facilities provided for employees which are segregated by explicit directive or are in fact segregated on the basis of race, color, religion, national origin, or because of habits, local customs, or otherwise.

I further agree to obtain identical certifications from all proposed subcontractors prior to the award of subcontracts exceeding $10,000. \
. Signature: A
Name (Print): USA CONSTRUCTIONLLC
Title: PROJECT MANAGER
11/26/2024
Date:
17

EXHIBITB-5

COUNTY OF RIVERSIDE

AFFIRMATIVEACTION PROGRAM
ECONOMIC OPPORTUNITIES FOR SECTION 3 RESIDENTS
AND
SECTION 3 BUSINESS CONCERNS
The work to be performed under this contract is subject to the requirements of section 3 of the Housing and Urban Development Act of 1968, as amended, 12 U.S.C. 1701u (section 3). The purpose of section 3 is to ensure that employment 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.
18

AFFIRMATIVEACTION POLICY STATEMENT
The County of Riverside, as the Community Development Block Grant Administrator, shall take Af?rmative Action to insure to the greatest extent feasible that:

1. Contracts for work (involving both construction and non-construction projects) funded from Community Development moneys be awarded to business located in and/or owned in substantial part by persons residing within the Section 3 covered project area.

2. Lower income residents of said project area are to be provided, to the greatest extent feasible, employment and training opportunities emanating from such contracts.

Itwillbe established policy to:

1. Enlist the support of community agencies, schools and unions in the recruitment, hiring and training of low income persons residing within Section 3 project areas.

2. Insure that project area business are afforded a maximum feasible opportunity to bid on contracts.

3. lnsure that contractors understand and comply with their obligations under the Act (24 CFR Part 75).

4. Provide a system to periodically monitor and evaluate the effectiveness with which the plan is being carried out.

To insure that we continue to meet our obligations and commitments we have developed a Section 3 Af?rmative Action Program. Allcontractors and sub-contractors are expected to demonstrate a spirit of support and cooperation in the implementation of this program.

The Executive Director of the Community Development Agency willbe responsible for the implementation, administration, and monitoring of our policy and program.

Date: February 8, 1988
Supervisor Walt P. Abraham Chairman, Board of Supervisors 19

I I

DEFINITIONOF TERMS

1. Business concerns located withinthe Section 3 covered project area: Means those individualsor ?rms located withinthe relevant Section 3 covered project area as determined, pursuant to 24 CFR 135.5.

2. Business concerns owned in substantial part by persons residing in the Section 3 covered project area: Means those business concerns which are fifty-one (51) percent or more owned by persons residing within the relevant Section 3 covered project as determined pursuant to 24 CFR135.5.

3. Contracting party: Means any entity which contracts with a contractor for the performance of work in connection with a Section 3 covered project.

4. Contractor: Means any entity which performs work in connection with a Section covered project.

5. Lower income resident of the area: A person residing in the Community Development Block Grant project area of the County of Riverside whose annual family income does not exceed eighty (80) percent of the median income. (Calculations are to be based on the median income level as reported by HUD).

6. Project area: In most cases the project area will be bounded by the County limits (or participants' City limitsas applicable). However, priority shall be given to persons livingwithin the County's Impact Areas.

III

SPECIFIC AFFIRMATIVE ACTION STEPS
In order to comply with Section 3 regulations af?rmative action must be taken. This af?rmative action willbe at least as extensive and speci?c as the following:
0 Each contractor and sub-contractor shall incorporate in all contracts for work in connection with a Section 3 covered project the following Section 3 Clause:
0 Every applicant, recipient, contracting party, contractor, and subcontractor shall incorporate, or cause to be incorporated, in all contracts for work in connection with Section 3 covered project, the following clause (referred to as a Section 3 Clause):
20

The work to be performed under this contract is on a project assisted under a program providing direct Federal financial assistance from the Department of Housing and Urban Development, and is subject to the requirements of Section 3 of the Housing and Urban Development act of 1968, as amended, 12 U.S.C. 1701u.

Section 3 requires that to the greatest extent feasible opportunities for training and employment be given to lower income residents of the project area and contracts for work in connection with the project be awarded to business concerns which are located in, or owned in substantial part by persons residing in the area of the project.

The parties to this contract will comply with the provisions of said Section 3 and the regulations issued pursuant thereto by the Secretary of Housing and Urban Development set forth in 24 CFR 570, and all applicable rules and orders of the Department issued hereunder prior to the execution of this contract. The parties to this contract certify and agree that they are under no contractual or other disability which would prevent them from complying with these requirements.

The contractor willsend to each labor organization, or representative or workers, with which he has collective bargaining agreement or other contract, or understanding, if any, a notice advising the said labor organization or workers; representative of his commitments under this Section 3 Clause and shall post copies of the notice in a conspicuous place available to employees and applicants for employment or training.

The contractor willinclude this Section 3 Clause in every sub-tier contract for work in connection with the project and will, at the direction of the applicant for, or recipient of, the Federal ?nancial assistance, take appropriate action pursuant to the sub-tier contract upon finding that the subcontractor is in violation of the regulations issued by the Secretary of Housing, and Urban Development, 24 CFR 570. The contractor willnot enter into any sub-tier contract with any subcontractor where it has notice or knowledge that the latter has been found in violation of regulations under 24 CFR 570 and willnot let any subcontract unless the subcontractor has ?rst provided it with a preliminary statement of abilityto comply with the requirements of these regulations.

Compliance with the provisions of Section 3, the regulations set forth in 24 CFR 570, and all applicable rules and orders of the Department issued thereunder prior to the execution of the contract, shall be a condition of the Federal ?nancial assistance provided to the project binding upon the applicant or recipient for such assistance, its successors, and assigns. Failure to fulfill these requirements shall subject the applicant or recipient, its contractors and subcontractors, its successors, and assigns to those sanctions specified by the grant or loan agreement or contract through which Federal assistance is provided, and to such sanctions as are specified by 24 CFR 135.

All contractors and their subcontractors shall include as part of their bid proposal a copy of their Section 3 Affirmative Action Plan. The Plan should include the following:
21

1. A preliminary statement of workforce needs (skilled, semi-skilled, unskilled labor and trainees by category).

2. Goals (in percentage) relative to utilization of lower income persons in project area.

3. Goals relative to the project dollar amount of subcontractors to be awarded to project area business.

IV
DISSEMINATION OF SECTION 3 PROGRAM POLICY
In order that all contractors of the County of Riverside have a fullunderstanding of the County's position regarding this Section 3 AffirmativeAction Plan the following procedures willbe initialed:

1. Alladvertisements and invitationsto bidwillinclude the County's Section 3 Af?rmative Action Plan requirements.

2. AllCommunity Development Block Grant contracts willinclude the County's Section 3 Af?rmative Action Plan.

3. The Section 3 Grievance Procedure and signs shall be placed at construction sites identifyingthe project as a Section 3 covered project.

V

PROGRAM EVALUATION
Pursuant to Section 3 requirements (24 CFR 135.72,) the County of Riverside, as Block Grant Administrator, shall assist and actively cooperate with the Department of Housing and Urban Development in insuring the compliance of our contractors and subcontractors.

Allcontractors shall:

1. Maintain a list of all lower income area residents who have applied whether on their own or on referral from any source.

2. Set forth evidence, acceptable to the Executive Director or the Community Development Agency that its actions were not an attempt to circumvent program requirements, if vacant apprentice or trainee positions in its organization are ?lled immediately prior to undertaking work pursuant to a Section 3 covered project.
22

VI

COMPLAINT PROCEDURE
Who may file a complaint?
The following individuals and business concerns may, personally or through an authorized representative, file with the Assistant Secretary a complaint alleging noncompliance with section 3:

1. Any Section 3 resident on behalf of himself or herself, or as a representative of persons similarlysituated, seeking employment, training or other economic opportunities generated from the expenditure of Section 3 covered assistance with a recipient or contractor, or by a representative who is not a section 3 resident but who represents one or more Section 3 residents;

2. Any Section 3 business concern on behalf of itself, or as a representative of other section 3 business concerns similarly situated, seeking contract opportunities generated from the expenditure of Section 3 covered assistance from a recipient or contractor, or by an individual representative of Section 3 business concerns.

Where to ?le a complaint?
A complaint must be ?led with the:

Assistant Secretary for Fair Housing and Equal Opportunity Department of Housing and Urban Development
Washington, DC, 20410.

Questions regarding Section 3 compliance, procedures for ?ling a complaint, or the County of Riverside’s Af?rmative Action Program, should be addressed to:

Department of Housing &Workforce Solutions
CDBG Program Administrator - Section 3 Program
3403 10thStreet, Suite 300
Riverside, CA 92501
(951) 955-5933
23

EXHIBIT3-6

$200,000 or more
BIDDERCERTIFICATION FOR SECTION 3 COMPLIANCE
(Housing and Community Development Act of 1968)
Project Title: John H. Furbee Aquatic Center Improvements Amount of Bid: $1 058 680 The undersigned hereby certifies that helshe has read and understands Riverside County's Section 3 Affirmative Action Program as well as Section 3 of the Housing and Community Development Act of 1968, and further certifies adoption of, and adherence to, said program, and certifies understanding of the following for all construction contracts over $200,000.

I. Employment Oggortunities
I understand and agree that in the event that I am awarded this contract, and in the event that any new employment opportunities are created as a result of this CDBG-funded project, Iwill:
a. Contact the US. Department of Housing and Urban Development (HUD) Section 3 website at www.hud.gov/section3 to review the list of certified Section 3 persons, within Riverside County, to be considered for available employment opportunities; and HUD Section 3 Opportunity Portal at: https://hudapps.hud.qov/OpportunitvPortal/ YP Initial Here
b. Forward to the Department of Housing & Workforce Solutions all detailed job descriptions for new employment opportunities and Section 3 reports, in a form, at a place, and at a time as directed by the Department of Housing &Workforce Solutions.

L Initial Here
c. Present a list, of the number of total labor hours, Section 3 worker labor hours, and Targeted Section 3 worker labor hours expected to be generated from the initial contract and a list of projected number of available positions, to include job descriptions and wage rates.

L Initial Here
d. Notify Section 3 Coordinator of contractor interests regarding employment of Section 3 workers prior to hiring. YP Initial Here
e. Submit a list of core employees (including administrative, clerical, planning, and other positions pertinent to the construction trades) at the time of contact award.

YP Initial Here
f, Post available positions and advertise job Section 3 workers openings at:
www.rivcoiobs.org
YP Initial Here

9. Sign the Section 3 Plan.

YP Initial Here
24

Com lete our aoroosed workforce clan for this oro'ect below:

JOB CATEGORY

CURRENT NUMBEROF NUMBEROF NEWHIRES
POS'T'ONS NEw HIRES PROPOSED To BE
IF SECTION3 RESIDENTS

AWARDED
BID

PROFESSIONALS
WILLBE P" OVIDED AF ER THE AWARD IS AN" OUNCED

CONSTRUCTION BY
TRADE
W6
OTHER --—
TOTAL --—---
EXHIBITB-6
°/oOF NEWHIRES TO BE
SECTION 3
25

EXHIBIT 8-6

BIDDERCERTIFICATION FOR SECTION 3 COMPLIANCE
II. Subcontracting Opportunities
a. I understand and agree that for any and all subcontracting opportunities that may result from this CDBG-funded project, I will contact the US. Department of Housing and Urban Development (HUD) Section 3 website at www.hud.gov/section3 to review the list of certified Section 3 Businesses, within Riverside County, to be considered for available subcontracting opportunities prior to selecting any subcontractor for my bid submittal. YP Initial Here
I understand and agree that any and all sub-contracts and sub-tier agreements resulting from this CDBG-funded project are also subject to Section 3 compliance, and therefore, as the General/Prime Contractor, I am responsible to ensure compliance from all subcontractors. YP Initial Here
Contact the US. Department of Housing and Urban Development (HUD) Section 3 website at www.hud.gov/section3 to review the list of certified Section 3 persons, within Riverside County, to be considered for available employment opportunities; and HUD Section 3 Opportunity Portal at: https://hudapps.hud.qov/OpportunitvPortal/ L Initial Here
Forward to the Department of Housing & Workforce Solutions all detailed job descriptions for new employment opportunities and Section 3 reports, in a form, at a place, and at a time as directed by the Department of Housing &Workforce Solutions.

YP Initial Here
Present a list, of the number of total labor hours, Section 3 worker labor hours, and Targeted Section 3 worker labor hours expected to be generated from the initial contract and a list of projected number of available positions, to include job descriptions and wage rates.

YP Initial Here
Notify Section 3 Coordinator of contractor interests regarding employment of Section 3 workers prior to hiring.

YP Initial Here
Submit a list of core employees (including administrative, clerical, planning, and other positions pertinent to the construction trades) at the time of contact award.

YP Initial Here
Post available positions and advertise job Section 3 workers openings at:
www.rivco'obs.org
YP Initial Here
26

Com Iete our Subcontractin- Plan for this ro'ect below:

IS THE SUBCONTRACTOR
SECTION3 ELIGIBLE?

YES OR NO

WILLBE PROVIDD AFTER THE A ARD IS ANNOUNCED
IF SUBCONTRACTOR IS SECTION3, INDICATE
ELIGIBLE STATUS.

AMOUNTOF
SUBCONTRACT($)
51% OWNER I 30% EMPLOYEE
* Add additional sheets if necessary
Bidder (Company) Name: USA CONSTRUCTIONLLC
Authorized Representative (Type Name): YESHU PURI
Signature: YMMM.4 _._ ______________ 11/26/2024
Date:
27

Required Bid Form for
bids $200,000 or more
SUBCONTRACTOR CERTIFICATION FOR SECTION 3 COMPLIANCE

MUST BE COMPLETED BY ALL SUBCONTRACTORS
(Housing and Community Development Act of 1968)
Project Title: John H. Furbee Aquatic Center Improvements Subcontractor: NON-IDENTIFIEDAT THISTIME
USA CONSTRUCTION LLC Contractor/Bidder: ____________.——————-— The undersigned hereby certifies that helshe has read and understands Riverside County's Section 3 Affirmative Action Program as well as Section 3 of the Housing and Community Development Act of 1968, and further certifies adoption of, and adherence to, said program, and certifies understanding of the following for all prime construction contracts over $200,000:
a. I understand and agree that in the event that I am awarded a subcontract, and in the event that any new employment opportunities are created as a result of this CDBG—fundedproject, I will contact the U.S. Department of Housing and Urban Development (HUD) Section 3 website at www.hud.gov/section3 to review the list of certi?ed Section 3 persons, within Riverside County, to be considered for available employment opportunities; YP Initial Here
b. I willforward to the Department of Housing & Workforce Solutions all detailed job descriptions and Section 3 reports, in a form, at a place, and at a time as directed by the Department of Housing &Workforce Solutions.

YP Initial Here
28

EXHIBITB-10
Complete your proposed workforce plan for this project below:

NUMBEROF
CURRENT NEW HIRES NUMBEROF NEWHIRES % OF NEWHIRES TO BE

JOB CATEGORY PROPOSED TO BE
POSITIONS IFAVIQISDED SECTION3 RESIDENTS SECTION 3

PROFESSIONALS

NON-IDEN IFIEDATTHI- TIME

TECHNICIANS

CONSTRUCTION BY
TRADE
-

APPRENTICE
-

TRAINING
OTHER --_
TOTAL
Subcontractor (Company) Name: NON-IDENTIFIEDATTHISTIME
Authorized Representative (Type Name): YESHU PURI
Signature: N
Date; 11/26/2024
29

EXHIBIT3-?
Required Bid Form

COUNTYOF RIVERSIDE

CDBG PROGRAM
BIDDERCERTIFICATION0N

FEDERAL CONTRACTREQUIREMENTS
PROJECT NAME:w
CERTIFICATION:

I hereby certify that I have reviewed and understand the diversi?ed Federal construction contract related requirements imposed on the Contractor(s) of HUDfunded construction projects, including but not limitedto the following:

1. The subject project is being ?nanced with Community Development Block Grant funds (24 CFR Part 570);

2. This project and all related construction contracts are subject to the US.

Department of Housing and Urban Development’s Federal Labor Standards PrdvisiOns(HUD4010 — revised 06/2009); and

3. This project is subject to all applicable laws and regulations as listed in the General Summary of these Special Federal Provisions; and

4. if my bid is $200,000 or more, this project and all related contracts willsubject to Section 3 requirements (12 U.S.C.1701u).

Contractor's Name: USA CONSTRUCTIONLLC
Contractor’s License No.: 1015575 (C53)
Address: 1595 PEACHTREE PKWYSUITE 204-344 CUMMING, GA
Authorized Representative (Type Name): YESHU PUR'
Signature: 2mg
Date: 11/26/2024
30

W
Required Bid Form

QUESTIONNAIREREGARDING BIDDERS
Bidder has been engaged in the contracting business under the present name of USA CONSTRUCTION LLC , since 2014 (Date).
present business address is; 1595 PEACHTREE PKWYSUITE 204-344 CUMMING, GA Federal Tax ID: 83-3599409 Amount of Bid $ $1.058.680
California Contractor's License No.: 1015575 Expiration Date: 6/30/2025 DUNS Number: 117524685 or CAGE Code:

Because this project is Federally-funded, it is necessary to obtain information concerning minority and other group participation for statistical purposes. The US. Department of Housing and Urban Development (HUD) uses this information to determine the degree to which its programs are being utilized by minority business enterprises and targeted group contractors.

A minority enterprise is de?ned by the Federal Government as a business that is ?fty-one percent (51%) or more “minority-owned”. Please check applicable box concerning the ownership of your business:

D American Indian or Native Alaskan
Asian or Paci?c Islander/Native Hawaiian
CI Black/African American
Cl Hispanic YK White
El Hasidic Jews
Cl Other
A woman-owned enterprise is de?ned by the Federal Government as a business that is ?ftypercent (50%) or more woman-owned. Please check applicable box concerning the ownership of your business:
[I] Woman/Female owned E/Male owned
A Section 3 Contractor or Subcontractor is a business concern that is more than ?fty-one percent (51%) owned by a low or very low-income person, or a business concern that provides economic opportunities to low and very low-income residents. Please check applicable box concerning the ownership of your business:

D Section 3 Business concern [Q/Non-Section 3 Business concern The United States Department of Housing and Urban Development (HUD) is authorized to solicit the information requested in this form by virtue of Title 12, United States Code, Section 1701 et seq., and other regulations. It will not be disclosed or released outside of HUD without your consent, except as required or permitted by law. 31

SAMPLE PUBLIC WORKSCONSTRUCTIONAGREEMENT
32

PUBLICWORKS CONSTRUCTIONAGREEMENT

BY AND BETWEEN

THE CITYOF DESERT HOT SPRINGS
AND
THIS PUBLIC WORKS CONSTRUCTIONAGREEMENT (“Agreement”) is made and entered into this day of , 20__, by and between the City of Desert Hot Springs, a municipal corporation located in the County of Riverside, State of California, hereinafter referred to as "City," and , a
, hereinafter referred to as "Contractor."

RECITALS
WHEREAS, the City desires to retain Contractor, on an independent contractor basis, to perform [INSERT BRIEF DESCRIPTION OF SERVICES] as more particularly described below; and
WHEREAS, Contractor represents that it is fully qualified to perform such services by virtue of its experience and the training, education and expertise of its principals and employees.

NOW THEREFORE, IN CONSIDERATION OF THE MUTUALPROMISES AND

RELEASES CONTAINED HEREIN, AND FOR OTHER GOOD AND VALUABLE

CONSIDERATION, RECEIPT OF WHICH IS HEREBY ACKNOWLEDGED, THE PARTIES AGREE AS FOLLOWS:

AGREEMENT

1. Incorporation by Reference
The foregoing recitals are hereby expressly made a part of this Agreement as though fullyset forth herein.

2. ProiectInformation.
0 Location: as depicted in Contractor’s proposal dated
, 20—, and attached hereto and incorporated herein as Exhibit “A” ("Scope of Services” or sometimes "Project”). In the event any con?ict exists between this Agreement minus the Scope of Services, on the one hand, and the Scope of Services, on the other hand, the former shall supersede. 0 Project description, including signi?cant materials to be used and equipment to be installed: , in the City of Desert Hot Springs,
California, as set forth in the Scope of Services.
0 License classi?cation applicable to Project:
33

0 Approximate start date:
. Approximate completion date:
0 Substantial completion of work evidenced by: Inspection and approval by City Staff.
o It is expressly agreed that except for extensions of time duly granted by the City, in writing, time shall be of the essence.
o The parties agree that the specifications, standards, and procedures set forth in the 2021 Greenbook: Standard Specifications for Public Works Construction (“Greenbook") shall govern the completion of the Project, and to such extent the Greenbook is incorporated herein by this reference; provided, however, in the event any conflict exists between this Agreement and the Greenbook, this Agreement shall supersede unless otherwise required by law.

3. Contractor Information
0 Address:
6 License Number:

4. Insurance Coverage
a. Contractor shall procure and maintain at its own expense, until expiration of the term of this Agreement as de?ned in Section 9, commercial general liability insurance of not less than One MillionDollars ($1,000,000) combined single limit per occurrence, and Two Million Dollars ($2,000,000) in the aggregate, for bodily injury, personal injury, death, loss or damage resulting from the wrongful or negligent acts by the Contractor or its officers, employees, servants, volunteers and agents and independent contractors. Contractor shall provide insurance on an occurrence, not claims-made basis. Contractor acknowledges and agrees that, for purposes of clari?cation with the intention of avoiding gaps in coverage with any umbrella or excess insurance, personal and advertising injury coverage shall be triggered by an “offense” while bodily injury and property damage coverage shall be triggered by an “occurrence” during the policy period.
b. Contractor shall further procure and maintain at its own expense, until expiration of the term of this Agreement as de?ned in Section 9, commercial vehicle liability insurance covering personal injury and property damage, of not less than Two Million Dollars ($2,000,000) combined single limit per occurrence, and Two Million Dollars in the aggregate ($2,000,000), covering any vehicle utilized by Contractor or its of?cers, employees, servants, volunteers and agents and independent contractors in performing the services required by this Agreement.

0. Unless Contractor has no employees and is exempt from worker’s compensation requirements, Contractor shall further procure and maintain at its expense, until expiration of the term of this Agreement as de?ned in Section 9, workers' compensation insurance providing coverage as required by the California State 34

Workers' Compensation Law. If any class of employees employed by the Contractor pursuant to this Agreement is not protected by the California State Workers' Compensation Law, Contractor shall provide adequate insurance for the protection of such employees to the satisfaction of the City. Contractor agrees to waive its statutory immunity under any workers’ compensation or similar statute, as respecting the City, and to require any and all subcontractors and any other person or entity involved in the Project to do the same.

Worker’s Compensation Insurance:
0 Contractor has no employees and is exempt from workers’ compensation requirements.
o Contractor carries workers’ compensation insurance for all employees. d. All policies required by this section shall be secured from insurers authorized to do business in the State of California with an “A”policyholder’s rating or better and a ?nancial rating of at least Class VII,in accordance with the current Best’s Ratings.
e. Contractor agrees to require that all parties, including but not limited to subcontractors, architects, engineers or others with whom Contractor enters into contracts or whom Contractor hires or retains pursuant to or in any way related to the performance of this Agreement, provide the insurance coverage required herein, at minimum, and name as additional insureds the parties to this Agreement. 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.
f. In the event this Agreement is terminated for any reason prior to the completion of all obligations and requirements of this Agreement, Contractor agrees to maintain all coverages required herein until the City provides written authorization to terminate the coverages following the City's review and determination that all liability posed under this Agreement as to the party providing insurance has been eliminated. g. Contractor agrees and acknowledges that if it fails to obtain all of the insurance required in this Agreement in accordance with the requirements herein, or to obtain and ensure that the coverage required herein is maintained by any subcontractors or others involved in any way with the Project, Contractor shall be responsible for any losses, claims, suits, damages, defense obligations, or liability of any kind or nature attributable to the City, and/or their of?cers, employees, servants, volunteers, agents and independent contractors.

5. Insurance Documentation
a. Contractor shall provide certi?cates of insurance with original endorsements to the City as evidence of the insurance coverage required herein.

Certi?cates of such insurance shall be ?led withthe City on or before commencement of performance of this Agreement. Contractor shall ensure that the most current 35

certi?cation of insurance shall be delivered to and retained by the City at all times until expiration of the term of this Agreement as de?ned in Section 9. b. Notwithstanding any inconsistent statement in any required insurance policies or any subsequent endorsements attached thereto, the comprehensive general liability and commercial vehicle liability policies shall bear endorsements whereby it is provided that the City, and its of?cers, employees, servants, volunteers, agents and independent contractors are named as additional insureds. Additional insureds shall be entitled to the full bene?t of all insurance policies in the same manner and to the same extent as any other insureds and there shall be no limitation to the bene?ts conferred upon them other than policy limitsto coverages.
c. Contractor shall require the carriers of all required insurance policies to waive all rights of subrogation against the City, and their of?cers, employees, servants, volunteers, agents and independent contractors.
d. Each policy required herein must be endorsed to provide that the policy shall not be cancelled or non-renewed by either party, or reduced in coverage or limits (except by paid claims) unless the insurer has provided the City with at least thirty (30) days prior written notice of said cancellation, non-renewal, or reduction, with the exception that only ten (10) days prior written notice shall be required in the event of cancellation for nonpayment of premium.
e. All insurance policies required to be provided by Contractor or any other party must be endorsed to provide that the policies shall apply on a primary and noncontributing basis in relation to any insurance or self-insurance, primary or excess, maintained or available to the City, and their of?cers, employees, servants, volunteers, agents and independent contractors.

6. Security
a. Contractor shall, concurrently with the execution hereof and to the extent not already completed, furnish a payment bond at no expense to the City, in substantially the same form as that attached hereto and made part hereof as Exhibit “,”Bin an amount equal to Dollars and No Cents ($ ), as security of the payment of all persons performing labor and furnishing materials in connection with this Agreement. To be acceptable, the surety company must be authorized to do business and have an agent for service of process in California, be on the accredited list of the United States Treasury Department, and have an "A" policyholder's rating and a ?nancial rating of Class V, or better, in accordance with the current Best's Rating.
b. Contractor shall, concurrently with the execution hereof and to the extent not already completed, furnish a performance bond at no expense to the City, in substantially the same form as that attached hereto and made part hereof as Exhibit “,"C or deposit an amount with the City equal to Dollars and No Cents ($ ), as security for the faithful performance of this Agreement. To be acceptable, the surety company must be authorized to do business and have an agent for service of process in California, be on the accredited list of the United States 36

Treasury Department, and have an "A" policyholder's rating and a ?nancial rating of Class V, or better, in accordance with the current Best's Rating. c. The surety on any and all bonds and the form thereof shall be satisfactory to the City Attorney.
d. The payment bond shall remain in force and shall not be released until at least seven (7) months after the date of recordation of the Notice of Completion or Notice of Acceptance, whichever occurs ?rst. The performance bond shall remain in force until at least (1) year after the date of ?nal acceptance of the Project, unless the City determines, in its sole and absolute discretion, to release the Performance Bond earlier and noti?es Contractor of the same in writing.

7. Compensation; Payments
a. Contractor shall be paid compensation not to exceed
Dollars and No Cents ($ ) for the services rendered by
Contractor pursuant to this Agreement, including profit, labor and materials, in accordance with the Scope of Services.
b. Contractor shall invoice the City for the performance of the services under this Agreement in the amount agreed upon by the parties herein. Subject to the retention provisions below, Contractor shall be paid the amount speci?ed in the invoice within 30 days of receipt by the City, provided that the services reflected in the invoice were performed to the reasonable satisfaction of the City in accordance with the terms of this Agreement.
c. Pursuant to Public Contract Code section 9203, the City shall retain no less than ?ve percent of the compensation to be paid to Contractor which shall be released to the Contractor no later than sixty (60) days from the date of the City's acceptance of the work pursuant to this Agreement.

8. Extra Work and Change Orders
Extra work and change orders shall become a part of this Agreement once the extra work or change order is approved in writingand signed by the City and Contractor, prior to the commencement of any extra work or change in work covered by the change order. The City’s form change order shall be used for both extra work and a change in work. The change order must describe the scope of the extra work or change in work, and the cost to be added or subtracted from this Agreement. The City shall not require Contractor to perform any extra work or a change in work without written authorization.

A change order shall not be enforceable against the City unless the change order complies with this provision.

9. Term
Contractor willperform the services set forth in the Scope of Services and in any approved change orders pursuant to section 1 of this Agreement, the term of which shall commence as of , and shall expire one (1) year following the 37

City's acceptance of the Project pursuant to this Agreement, or upon release of the Performance Bond in accordance with Section 6.d. of this Agreement, whichever occurs ?rst.

10. Independent Contractor
Contractor shall at all times during the term of this Agreement perform the services described in this Agreement as an independent contractor, and hereby waives any claims for any compensation or bene?ts afforded to City employees and not to independent contractors.

11. Civil Code Section 1542 Waiver
a. Contractor expressly waives any and all rights and bene?ts conferred upon it by the provisions of section 1542 of the California Civil Code which reads as follows:
“Ageneral release does not extend to claims which the creditor does not know or suspect to exist in his favor at the time of executing the release, which if known by him must have materially affected his settlement with the debtor." b. This waiver shall be effective as a bar to any and all actions, fees, damages, losses. claims, liabilities and demands of whatsoever character, nature and kind that are known or unknown, or suspected or unsuspected, including, without limitation, claims of entitlementsunder the California Public Employees’ Retirement System (CalPERS) that are only afforded to employees and not independent contractors. Contractor further represents and warrants that it understands this waiver and that if it does not understand this waiver, it shall seek the advice of a quali?ed attorney before executing this Agreement.

Initials

12. Acceptance of Work
Acceptance of the Project shall be by action of the City Council or its designee.

Neither the acceptance nor prior inspections or failure to inspect shall constitute a waiver by the City of any defects in the Project. From and after acceptance, the Project shall be owned and operated by the City. As a condition to acceptance, Contractor shall certify to the City in writing that all of the Project performance has been performed in strict conformity with this Agreement and that all costs have been paid, satisfactory to the City, guaranteeing such performance.

13. Warranty
a. In addition to Contractor's other obligations under this Agreement, Contractor warrants all work and materials to be of good quality and ?t for the purpose and intended use for a duration that shall continue until expiration of the term of this Agreement as described in Section 9, or the longest period permitted by law, whichever 38

is later. If any defects in materials or workmanship become evident prior to expiration of the warranty granted in this Section, the Contractor shall, at its own expense, make any repair(s) or replacement(s) necessary to restore the work to full compliance with the this Agreement. Contractor shall also repair, replace and restore any other work which is displaced in correcting defective work as well as other portions of the work which the City by reason of such defects reasonably suspects may also be defective. In the event of a failure to commence with the compliance of above-mentioned conditions within seven (7) calendar days after being noti?ed in writing or failure to diligently pursue such compliance to completion, the City is hereby authorized to proceed to have the defects repaired and made good at the expense of Contractor who hereby agrees to pay the cost and charges therefor immediately on demand.
b. If, in the opinion of the City, nonconforming work creates a dangerous condition or requires immediate correction or repair to prevent further loss to the City or to prevent interruption of operations, the City shall attempt to give the Contractor notice.

If Contractor cannot be contacted or does not comply with the City’s request for correction within a reasonable time as determined by the City, the City may proceed to make such correction or provide such repair. The costs of such correction or repair shall be charged against Contractor, who agrees to make payment for said costs upon demand. Corrective action by the City willnot relieve Contractor or Contractor's sureties or insurers of the guarantees and indemnities of this Agreement.

0. This section does not in any way limitthe City’s remedies available under the law, or the guarantee or warranty on any items for which a longer guarantee is speci?ed or on any items for which a manufacturer or supplier gives a longer guarantee or warranty period. Contractor agrees to act as a co-guarantor with such manufacturer or supplier and shall furnish the City all appropriate guarantees or warranty certi?cates upon completion of the Project. No manufacturer's guarantee period shall in any way limitthe liabilityof Contractor or Contractor's sureties and insurers under the indemnity or insurance provisions of this Agreement.

14. Indemnification
a. Contractor shall defend, indemnify and hold harmless the City, their of?cers, of?cials, agents, employees, volunteers, the County of Riverside, its Agencies, Districts, Special Districts and Departments, their respective directors, of?cers, Board of Supervisors, elected and appointed of?cials, employees, agents and representatives from and against any and all claims, demands, actions, losses, damage, injuries, and liability, direct or indirect (including any and all costs and expenses in connection therewith) arising out of the performance of this Agreement, except for any such claim arising out of the sole or active negligence or willful misconduct of the City, or their of?cers, agents, employees or volunteers.
b. If Contractor should subcontract all or any portion of the work to be performed under this Agreement, Contractor shall require each subcontractor to indemnify, hold harmless and defend the City and each of its of?cers, of?cials, employees, agents and volunteers to the same extent as Contractor is required in the preceding paragraph.
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c. The City does not, and shall not, waive any rights that it may have against Contractor under this Section because of the acceptance by the City, or the deposit with the City, of any insurance policy or certi?cate required pursuant to this Agreement. The hold harmless, indemni?cation 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, action, damage, liability, loss, cost or expense described herein. d. Notwithstanding the foregoing provisions of this section, Contractor shall not be responsible for damages or be in default or deemed to be in default by reason of delay caused by strikes, lockouts, accidents, or acts of God, or the failure of the City to furnish timely information or to approve or disapprove Contractor’s work promptly, or by reason of delay or faulty performance by the City, construction contractors, or governmental agencies, or by reason of any other delays beyond Contractor’s control, or for which Contractor is without fault.
e. This section shall survive termination or expiration of this Agreement.

15. Default
a. Failure or delay by any party to this Agreement to perform any material term or provision of this Agreement shall constitute a default under this Agreement; provided however, that ifthe party who is othenrvise claimed to be in default by the other party commences to cure, correct or remedy the alleged default within ?fteen days after receipt of written notice specifying such default and shall diligently complete such cure, correction or remedy, such party shall not be deemed to be in default hereunder. b. The party which may claim that a default has occurred shall give written notice of default to the party in default, specifying the alleged default. Delay in giving such notice shall not constitute a waiver of any default nor shall it change the time of default; provided, however, the injured party shall have no right to exercise any remedy for a default hereunder without delivering the written default notice, as speci?ed herein.

0. Any failure or delay by a party in asserting any of its rights or remedies as to any default shall not operate as a waiver of any default or of any rights or remedies associated with a default.
d. In the event that a default of any party to this Agreement may remain uncured for more than ?fteen days following written notice, as provided above, a "breach" shall be deemed to have occurred. In the event of a breach, the injured party shall be entitled to seek any appropriate remedy or damages by initiating legal proceedings.

16. Licenses Certifications and Permits
Contractor represents that it has obtained and willmaintain at all times during the term of this Agreement all professional and/or business licenses, certi?cations and/or permits necessary for performing the services described in this Agreement.

17. Labor LawsIPrevailing Wages
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a. All work or services performed within the State of California pursuant to this Agreement by Contractor, Contractor’s employees and independent contractors, or Contractor’s subcontractors and its subcontractors’ employees and independent contractors shall be performed by individuals lawfully permitted to perform such work or services in the State of California and/or the United States of America pursuant to all applicable State and/or Federal labor laws, rules and regulations including, but not limited to, any State or Federal law, rule or regulation prohibiting the employment of undocumented workers or any other person not lawfully permitted to perform said work or services in the State of California or the United States of America. b. Contractor represents that it is an equal opportunity employer and shall not discriminate against any subcontractor, employee, or applicant ("person”) for employment because of race, denial of family and medical care leave, religious creed (including religious dress and grooming practices), color; national origin (including language use restrictions), ancestry, physical disability or mental disability (including HIV and Aids), medical condition (cancer and genetic characteristics), genetic information, military or veteran status, marital status, gender, gender identity, gender expression, sex (which includes pregnancy, childbirth, breastfeeding and medical conditions related to pregnancy, childbirth or breastfeeding), age or sexual orientation.

Unless otherwise permitted under the law, Contractor shall not refuse to hire or employ any such person or refuse to select any such person for a training program leading to employment, or bar or discharge any such person from employment or from a training program leading to employment, or otherwise discriminate against any such person in compensation or in terms, conditions, or privileges of employment.

0. Contractor and all of Contractor’s subcontractors, if any, shall pay each employee engaged in all applicable trades or occupation not less than the prevailing hourly wage rate for work of a similar character in the locality in which the public work is performed, and not less than the general prevailing rate of per diem wages for holiday and overtime work. In accordance with the provisions of Section 1770 of the California Labor Code (“Labor Code"), the Director of Department of Industrial Relations of the State of California has determined the general prevailing rates of wages and employer payments for health and welfare, pension, vacation, travel time, and subsistence pay as provided for in Labor Code Section 1773.8, apprenticeship or other training programs authorized by Labor Code Section 3093 and similar purposes applicable to the work to be done. Said wages are available through the California Department of Industrial Relations‘ Internet website at http://www.dir.cwv/dlsr/PWD/index.htm and are on file at City Hall, as provided in Section 17732 of the Labor Code. Said rates shall be posted at the Project site where work is to be performed, in accordance with Labor Code Section 1773.2. Contractor shall access a copy of the wage rate determination and shall make all subcontractors, if any. aware of the determination. As the wage determination for each craft re?ects an expiration date, it shall be the Contractor's responsibility to ensure that the prevailing wage rates of concern are current and paid.

Subject to the safe harbor provisions of Labor Code Section 1775, Contractor shall forfeit t0 the City an amount not to exceed two hundred dollars ($200) for each calendar day or portion thereof, as set by the Labor Commissioner in accordance with the terms of Labor Code section 1775, for each laborer, workmen or mechanics employed that is paid less than the general prevailing rate of wages herein referred to and stipulated for 41

any work done under the proposed contract, by him, or by any subcontractor under him, in violation of the provisions of the Labor Code, and in particular, Sections 1770 to 1781 inclusive. Contractor and any and all or its subcontractors shall forfeit to the City twenty-?ve dollars ($25) for each worker employed in the performance of this Agreement for each calendar day during which the 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 Section 1813 of the Labor Code. In the event the total cost of the Project is thirty thousand dollars ($30,000.00) or more, Contractor shall further comply with provisions set forth in Labor Code Section 1777.5 pertaining to employment of properly registered apprentices, including without limitation the obligation to (i) pay employed apprentices the prevailing rate of per diem wages for apprentices in the trade to which he or she is registered and shall be employed only at the work of craft or trade to which he or she is registered; (ii) employ apprentices in at least the ratio as set forth in said section; (iii)submit contract award information to an applicable apprenticeship program; and (iv) contribute to California Apprenticeship Council.
d. Contractor and all subcontractors hired to perform any work under the Project shall keep accurate payroll records, includingthe name, address, social security number, work classi?cation, straight time and overtime hours worked each day and week, and the actual per diem wages paid to each worker, in accordance with Section 1776 of the Labor Code. Payroll records shall be on forms provided by the Division of Labor Standards Enforcement ("DLSE”)or in a manner containing the same information as the forms provided by the DLSE. Failure to comply with the above may result in monetary penalties to the Contractor or affected subcontractor. Payroll records shall be veri?ed by written declaration made under penalty of perjury, that the information contained in the records is true and correct. Contractor and any and all subcontractors shall make a certi?ed copy of all payroll records available for inspection by DLSE, the City or any member of the public and othenlvise provide certi?ed copies of such records to any of the foregoing within ten (10) days of Contractor’s and subcontractor's receipt of written request therefor. Failure to comply with the above may result in monetary penalties, in accordance with Labor Code Section 1776(d) and (h). e. Notwithstanding anything else to the contrary, Contractor hereby acknowledges that all contractors and subcontractors must be registered with the Department of Industrial Relations (“Department”) pursuant to Labor Code Section 1725.5 in order to be quali?ed to bid on, be listed in a bid proposal, subject to the requirements of Section 4104 of the Public Contract Code, or engage in the performance of any public work contract, including this Agreement, that is subject to the payment of prevailing wages. The Project is subject to compliance monitoring and enforcement by the Department of industrial Relations. In accordance with Section 3700 of the Labor Code, Contractor must secure payment of compensation to all Contractor’s employees. Contractor represents and warrants that Contractor is registered with the Department in the manner prescribed by the Department and has paid the requisite application fee, as required by Labor Code Section 1725.5. Moreover, prior to Contractor entering into any contracts with any subcontractor, Contractor shall obtain proof that all such subcontractors have also registered with the Department in accordance with Section 1725.5.
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18. Notices
a. Any notice to be provided pursuant to this Agreement shall be in writing, and all such notices shall be delivered by personal service or by deposit in the United States mail, certified or registered, return receipt requested, with postage prepaid, and addressed to the parties as follows:

To the City: Public Works Director
City of Desert Hot Springs
11-999 Palm Drive
Desert Hot Springs, CA 92240
Telephone: (760) 329-6411
Facsimile: (760) 288-3129
To Contractor:
b. Notices, payments and other documents shall be deemed delivered upon receipt by personal service or as of the second (2nd) day after deposit in the United States mail.

19. Additional Federal Reguirements
Whereas the work under this Agreement is subject to applicable Federal, State, and local laws and regulations, including but not limited to the regulations pertaining to the Community Development Block Grant program (24 CFR Part 570) and 2 CFR Part 200. Contractor, sub-contractors, Consultants, and sub-consultants agree to comply with, and are subject to, all applicable reguirements as follows:

A. Equal Employment Opportunity - Compliance with Executive Order 11246 of September 24, 1965, entitled "Equal Employment Opportunity", as amended by Executive Order 11375 of October 13, 1967, and as supplemented in Department of Labor regulations (41 CFR chapter 60). The Contractor/Consultant willnot discriminate against any employee or applicant for employment because of race, color, religion, sex, or national origin.

Contractor/Consultant will ensure that all quali?ed applicants will receive consideration for employment without regard to race, color, religion, sex or national origin. The Contractor/Consultant will take af?rmative action to ensure that applicants are employed and the employees are treated during employment, without regard to their race color, religion, sex, or national origin. Such actions shall include, but are not limited to, the following: employment, up-grading, demotion, or transfer; recruitment or recruitment advertising; rates of pay or other forms of compensation; and selection for training, including apprenticeship. The Contractor/Consultant agrees to post in a conspicuous place, available to 43

employees and applicants for employment, notices to be provided by the County setting forth the provisions of this non-discriminating clause.

B. Copeland “Anti-Kickback” Act (18 U.S.C. 874 and 40 US. C. 2760: All contracts and subgrants in excess of $2,000 for construction or repair awarded by recipients and subrecipients shall include a provision 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 Work Financed in Whole or in Part by Loans or Grants from the United States”). The Act provides that each contractor or subrecipient shall be prohibited from inducing, by any means, any person employed in the construction, completion, or repair of public work, to give up any part of the compensation to which he is othenNise entitled. The recipient shall report all suspected or reported violations to HUD.

C. Davis-Bacon Act, as amended (40 U.S.C. 276a to a-7: When required by Federal program legislation, all construction contracts awarded by the 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 as supplemented by Department of Labor regulations (29 CFR part 5, “Labor Standards Provisions Applicable to Contracts Governing Federally Financed 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 speci?ed in a wage determination made by the Secretary of Labor. In addition, contractors shall be required to pay wages not less than once a week. The recipient shall place a copy of the current prevailing wage determination issued by the Department of Labor in each solicitation and the award of a contract shall be conditioned 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 contracts that involve the employment of mechanics or laborers shall include a provision for compliance with Sections 102 and 107 of the Contract Work Hours and Safety Standards Act (40 U.S.C. 327—333),as supplemented by Department of Labor regulations (29 CFR part 5). Under Section 102 of the Act, each contractor shall be required to compute the wages of every mechanic and laborer on the basis of a standard workweek of 40 hours. Work in excess of the standard workweek is permissible provided that the worker is 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 surroundings or under working conditions which are unsanitary, hazardous or dangerous. These requirements do not apply to the purchases of supplies or materials or articles ordinarily available on the open market, or contracts for transportation or transmission of intelligence.

E. Rights to Inventions Made Under a Contract or Agreement— Contracts or 44

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 Firms Under Government Grants, Contracts and Cooperative Agreements," and any implementing regulations issued by HUD.
. 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 Part 27.4, Federal AcquisitionRegulations (FAR). . Clean Air Act (42 U.S.C. 7401 et seq.) and the Federal Water Pollution Control Act (33 U.S.C. 1251 et seq.), as amended—Contracts and subgrants of amounts in excess of $100,000 shall contain a provision that requires the recipient to agree to comply with all applicable standards, orders or regulations issued pursuant to the Clean Air Act (42 U.S.C. 7401 et seq.) and the Federal Water Pollution Control Act as amended (33 U.S.C. 1251 et seq.). Violations shall be reported to HUDand the Regional Of?ce of the Environmental Protection Agency (EPA).
. Byrd Anti-Lobbying Amendment (31 U.S.C. 1352)——Contractors who apply or bid for an award of $100,000 or more shall ?le the required certification. Each tier certi?es to the tier above that it will not and has not used Federal appropriated funds to pay any person or organization for in?uencing or attempting to in?uence an of?cer or employee of any agency, a member of Congress, of?cer or employee of Congress, or an employee of a member of Congress in connection with obtaining any Federal contract, grant or any other award covered by 31 U.S.C. 1352. Each tier shall also disclose 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.

Debarment and Suspension (E.0.3 12549 and 12689)—No contract shall be made to parties listed on the General Services Administration's List of Parties Excluded from Federal Procurement or Nonprocurement Programs in accordance with E.O.s 12549 and 12689, “Debarment and Suspension,” as set forth at 24 CFR part 24. This list contains the names of parties debarred, suspended, or othen/vise excluded by agencies, and contractors declared ineligible under statutory or regulatory authoriwother than E.O. 12549.

Contractors with awards that exceed the small purchase threshold shall provide the required certi?cation regarding its exclusion status and that of its principal employees.
. Drug-Free Workplace Requirements—The Drug-Free Workplace Act of 1988 (42 U.S.C. 701) requires grantees (including individuals) of federal agencies, as a prior condition of being awarded a grant, to certify that they will provide drugfree workplaces. Each potential recipient must certify that it willcomply with drugfree workplace requirements in accordance with the Act and with HUD's rules at 24 CFR part 24, subpart F.
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K. Access to Records and Records Retention: The Consultant or Contractor, and any sub-consultants or sub-contractors, shall allow all duly authorized Federal, State, and/or County officials or authorized representatives access to the work area, as well as all books, documents, materials, papers, and records of the Consultant or Contractor, and any sub-consultants or sub-contractors, that are directly pertinent to a speci?c program for the purpose of making audits, examinations, excerpts, and transcriptions. The Consultant or Contractor, and any sub-consultants 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 this agreement in a form in accordance with generally acceptable accounting principles. Allsuch books and records shall be retained for such periods of time as required by law, provided, however, notwithstanding any shorter periods of retention, all books, records, and supporting detail shall be retained for a period of at least four (4) years after the expiration of the term of this Agreement.

L. Federal Employee Bene?t Clause: No member of or delegate to the congress of the United States, and no Resident Commissioner shall be admitted to any share or part of this agreement or to any bene?t 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 subdivision of a state and its contractors must comply with section 6002 of the Solid Waste Disposal Act, as amended by the Resource Conservation and Recovery Act. The requirements of Section 6002 include procuring only items designated in guidelines of the Environmental Protection Agency (EPA) at 40 CFR part 247 that contain the highest percentage of recovered materials practicable, consistent with maintaining a satisfactory level of competition, where the purchase price of the item exceeds $10,000 or the value of the quantity acquired by the preceding ?scal year exceeded $10,000; procuring solid waste management serviées in a manner that maximizes energy and resource recovery; and establishing an af?rmative procurement program for procurement of recovered materials identi?ed in the EPA guidelines.

20. General Conditions
a. Severability. If any one or more of the sentences, clauses, paragraphs or sections contained herein is declared invalid, void or unenforceable by a court of competent jurisdiction, the same shall be deemed severable from the remainder of this Agreement and shall not affect, impair or invalidate any of the remaining sentences, clauses, paragraphs or sections contained herein.
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b. Governing Law. The validity of this Agreement and any of its terms or provisions, as well as the rights and duties of the parties under this Agreement, shall be construed pursuant to and in accordance with California law. c. Cumulative Remedies. Except with respect to rights and remedies expressly declared to be exclusive in this Agreement, the rights and remedies of the parties are cumulative and the exercise by either party of one or more of such rights or remedies shall not preclude the exercise by it, at the same or different times, of any other rights or remedies for the same default of any other default by the other party. d. Venue. All proceedings involving disputes over the terms, provisions, covenants or conditions contained in this Agreement and all proceedings involving any enforcement action related to this Agreement shall be initiated and conducted in the applicable court or forum in Riverside County, California. e. Litigation Expenses and Attorneys Fees In the event any action, suit or proceeding Is brought for the enforcement of, or the declaration of any right or obligation pursuant to this Agreement or as a result of any alleged breach of any provision of this Agreement, the prevailing party in such suit or proceeding shall be entitled to recover its costs and expenses, including reasonable attorney's fees, from the losing party, and any judgment or decree rendered in such a proceeding shall include an award thereof. f. Counterparts. This Agreement may be executed in counterparts, each of which shall be deemed to be an original.

9. Entire Agreement. This Agreement contains all of the covenants and agreements between the parties with respect to the subject matter of this Agreement, and supersedes any and all other agreements, either oral or written, between the City and Contractor. Each party to this Agreement acknowledges that no representations, inducements, promises, or agreements have been made by or on behalf of any party except those covenants and agreements embodied in this Agreement. No agreement, statement, or promise not contained in this Agreement shall be valid or binding. h. Con?icts of Interest. Contractor covenants that it does not have any interest, nor shall it acquire an interest, directly or indirectly, which would con?ict in any manner with the performance of Contractor’s services under this Agreement. In the event the City of?cially determines that Contractor must disclose its ?nancial interests by completing and ?ling a Fair Political Practices Commission Form 700, Statement of Economic interests, Contractor shall ?le the subject Form 700 with City Hall, as specified under the Notice provisions of this Agreement, pursuant to the written instructions provided by the City.
i. Termination. This Agreement may be terminated by the City immediately for cause. The City may terminate this Agreement without cause upon thirty (30) days' written notice of termination. Upon termination, Contractor shall be entitled to compensation for services performed up to the effective date of termination. 47

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IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed as of the date ?rst written above.

CITYOF DESERT HOT SPRINGS
Frank Luckino, City Manager By Its:

ATTEST:

Jerryl Soriano, CMC, City Clerk
APPROVED AS TO FORM:

Tuan- Anh Vu, CityAttorney
"N:\DHSO\0008-01 Public WorksiForms\5001 - Public Works Construction Agreement Prevailing Wage with Bonds (8.3.17).docx"
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EXHIBIT“A”

SCOPE OF SERVICES

SEE ATTACHED PROPOSAL
DATED 11/26/2024
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EM?BW“B”

PAYMENTBOND
See Post Contract Award Forms
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EXHIBIT“C”

PERFORMANCE BOND
See Post Contract Award Forms
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EXHIBIT“D”
HOLD HARMLESS/INDEMNIFICATION— RIVERSIDE COUNTY
Hold Harmless/Indemni?cation
CONTRACTOR shall indemnify and hold harmless the County of Riverside, its Agencies, Districts, Special Districts and Departments, their respective directors, of?cers, Board of Supervisors, elected and appointed of?cials, employees, agents and representatives(individually and collectively hereinafter referred to as Indemnitees) from any liability, action, claim or damage whatsoever, based or asserted upon any services of CONTRACTOR, its of?cers, employees, subcontractors,agents or representatives arising out of or in any way relating to this Agreement, including but not limited to property damage, bodily injury, or death or any other element of any kind or nature. CONTRACTORshall defend, at its sole expense, all costs, and fees including, but not limited, to attorney fees, cost of investigation, defense and settlements or awards, the Indemniteesin any claimor action based upon such alleged acts or omissions.

With respect to any action or claim subject to indemni?cation herein by CONTRACTOR, CONTRACTOR shall, at their sole cost, have the right to use counsel of their own choice and shall have the right to adjust, settle, or compromise any such action or claim without the prior consent of the COUNTY; provided, however, that any such adjustment, settlement or compromise in no manner whatsoever limits or circumscribes CONTRACTOR’S indemni?cation to Indemniteesas set forth herein.

CONTRACTOR’S obligation hereunder shall be satis?ed when CONTRACTOR has provided to COUNTY the appropriate form of dismissal relieving COUNTY from any liability for the action or claim involved.

The speci?ed insurance limits required in this Agreement shall in no way limit or circumscribe CONTRACTOR’S obligations to indemnify and hold harmless the Indemniteesherein from third party claims.

Insurance
Without limiting or diminishing the CONTRACTOR'S obligation to indemnify or hold the COUNTY harmless,CONTRACTOR shall procure and maintain or cause to be maintained, at its sole cost and expense, the following insurance coverage’s during the term of this Agreement.

As respects to the insurancesection only, the COUNTY herein refers to the County of Riverside, its Divisions, and Departments, their respective directors, of?cers, Board of Supervisors, Directors, employees, elected or appointed of?cials, agents, or representatives as Additional Insureds.

A. Workers’ Compensation:

If the CONTRACTOR has employees as de?ned by the State of California, the CONTRACTOR shall maintain statutory Workers' Compensation Insurance (Coverage A) as prescribed by the laws of the State of California. Policy shall include Employers’ Liability (Coverage B) including Occupational Disease with limits not less than $1,000,000 per person per accident. The policy shall be endorsed to waive subrogation in favor of the COUNTY.

B. Commercial General Liability:

Commercial General Liability insurance coverage, including but not limited to, premises liability, unmodi?ed contractual liability, products and completed operations liability, personal 53

and advertising injury, and cross liability coverage, covering claims which may arise from or out of CONTRACTOR’S performance of its obligations hereunder. Policy shall name the COUNTY as Additional Insured. Policy’s limit of liability shall not be less than $1,000,000 per occurrence combined single limit. If such insurance contains a general aggregate limit, it shall apply separately to this agreement or be no less than two (2) times the occurrence limit.

C. Vehicle Liability:

If vehicles or mobile equipment is used in the performance of the obligations under this Agreement, then CONTRACTOR shallmaintainliability insurance for all owned, non-owned, or hired vehicles so used in an amount not less than $1,000,000 per occurrence combined single limit. If such insurance contains a general aggregate limit, it shall apply separately to this agreement or be no less than two (2) times the occurrence limit. Policy shall name the COUNTY as Additional Insureds.

D. Professional Liability Contractor shall maintain ProfessionalLiability Insurance providing coverage for the Contractor’s performance of work includedwithin this Agreement, with a limit of liability of not less than $1,000,000 per occurrence and $2,000,000 annual aggregate. If Contractor’s Professional Liability Insurance is written on a claims made basis rather than an occurrence basis, such insurance shall continue through the term of this Agreement and CONTRACTOR shall purchase at his sole expense either 1) an Extended Reporting Endorsement (also, known as Tail Coverage); or 2) Prior Dates Coverage ?om new insurerwith a retroactive date back to the date of, or prior to, the inception of this Agreement; or 3) demonstrate through Certi?cates of Insurance that CONTRACTOR has Maintained continuous coverage with the same or original insurer. Coverage provided under items; 1), 2), or 3) will continue as long as the law allows.

E. General Insurance Provisions - All lines:
1) Any insurance carrier providing insurance coverage hereunder shall be admitted to the State of Californiaand have an A M BEST rating of not lessthan A: VIII (Az8) unless such requirements are waived, in writing, by the COUNTY Risk Manager. If the COUNTY’SRisk Manager waives a requirementfor a particular insurersuch waiver is only valid for that speci?c insurer and only for one policy term.
2) The CONTRACTOR must declare its insurance self-insured retention for each coverage required herein. If any such self-insured retention exceeds $500,000 per occurrence each such retention shall have the prior written consent of the COUNTY Risk Manager before the commencement of operations under this Agreement. Upon noti?cation of self-insured retention unacceptable to the COUNTY, and at the election of the COUNTY’S Risk Manager, CONTRACTOR’S carriers shall either; 1) reduce or eliminate such self-insured retention as respects this Agreement with the COUNTY, or 2) procure a bond which guarantees payment of losses and related investigations, claims administration,and defense costs and expenses. 3) CONTRACTOR shall cause CONTRACTOR’S insurance carrier(s) to furnish the COUNTY with either 1) a properly executed original Certi?cate(s) of Insurance and certi?ed original copies of Endorsementseffecting coverage as required herein, and 2) if requested to do so orally or in writing by the COUNTY Risk Manager, provide original Certi?ed copies of policies including all Endorsements and all attachments thereto, showing such insurance is in full force and effect. Further, said Certi?cate(s) and policies of insurance shall contain the covenant of the 54

insurance carrier(s) that thirty (30) days written notice shall be given to the COUNTY prior to any materialmodi?cation, cancellation,expiration or reduction in coverage of such insurance.In the event of a material modi?cation, cancellation, expiration, or reduction in coverage, this Agreement shall terminate forthwith, unless the COUNTY receives, prior to such effective date, another properly executed original Certi?cate of Insurance and original copies of endorsements or certi?ed original policies, including all endorsements and attachments thereto evidencing coverage’s set forth herein and the insurance required herein is in ?lll force and effect.

CONTRACTOR shall not commence operationsuntil the COUNTY has been furnished original Certi?cate (8) of Insurance and certi?ed original copies of endorsements and if requested, certi?ed original policies of insurance including all endorsements and any and all other attachments as required in this Section. An individual authorized by the insurance carrier shall sign the original endorsementsfor each policy and the Certi?cate of Insurance. 4) It is understood and agreed to by the parties hereto that the CONTRACTOR’S insuranceshall be construedas primary insurance, and the COUNTY'S insurance and/or deductibles and/or selfinsuredretention’s or self-insuredprograms shall not be construedas contributory. 5) If, during the term of this Agreement or any extension thereof, there is a material change in the scope of services; or, there is a material change in the equipment to be used in the performance of the scope of work; or, the term of this Agreement, including any extensions thereof, exceeds ?ve (5) years; the COUNTY reserves the right to adjust the types of insurance and the monetary limits of liability required under this Agreement, if in the COUNTY Risk Manager's reasonable judgment, the amount or type of insurance carried by the CONTRACTOR has become inadequate.
6) CONTRACTOR shall pass down the insurance obligations contained herein to all tiers of subcontractorsworking under this Agreement.
7) The insurance requirements contained in this Agreement may be met with a program(s) of self-insurance acceptableto the COUNTY.
8) CONTRACTOR agrees to notify COUNTY of any claim by a third party or any incident or event that may give rise to a claim arising from the performance of this Agreement. 55

AFFIDAVITFOR CORPORATION BIDDER

STATE OF GEORGIA
ss

COUNTY OF FULTON

YESHU PURI
, being ?rst duly sworn,
deposes and says:

That he IS PROJECT MANAGER Of,

USA CONSTRUCTIONLLC
a corporation which is the party making the foregoing bid proposal; that such bid proposal is genuine and not collusive or sham; that said bidder has not colluded, conspired, connived or agreed, directly or indirectly, with any other bidder or person to put in a sham bid proposal or that such other person shall refrain from bidding; and has not in any manner sought by collusion to secure any advantage against the City of Desert Hot Springs or any person interested in the proposed contract, for himself or for any other person.

Signature
Subscribed and sworn (af?rmed)
to before me this
26 day of NOVEMBER , 20 24

BIDDER’SBOND

KNOWALLMEN BYTHESE PRESENTS, THATWE,
MIKEPRICE INDIVIDUALSURETY as surety, are he|d and firmly bound unto the City of Desert Hot Springs, hereinafter “City”in the sum to ten percent (10%) of the total amount of the bid of the principal, to be paid to the said CITY or its certain attorney, its successors and assigns; for which payment will and truly to be made, we bind ourselves, our heirs, executors and administrators, successors or assigns, jointly and severally, ?rmly by these presents.

In no case shall the liabilityof the surety hereunder exceed the sum of $ 105,868 One Hundred Five Thousand Eight Hundred Sixty-Eight Dollars

THE CONDITIONOF THIS OBLIGATIONIS SUCH,
That whereas the principal has submitted the above mentioned bid to the City of Desert Hot Springs for certain construction specifically described as follows, for which bids are to be opened at Desert Hot Springs City Hall on December 10, 2024 for John H. Furbee Aquatic Center Improvements.

NOW THEREFORE, if the aforesaid principal is awarded the contract, and within the time and manner required under the speci?cations, after the prescribed forms are presented to him for signature, enters into a written contract, in the prescribed form in accordance with the bid proposal, and ?les the two bonds with the City of Desert Hot Springs, one to guarantee faithful performance and other to guarantee payments for labor and materials, as required by law, then this obligation shall be null and void; otherwise it shall remain in full force and effect. In the event suit is brought upon this bond by the obligee and judgment is recovered, the surety shall pay all costs incurred by the obligee in such suit, including a reasonable attorney's fee to be ?xed by the court. 60

IN WITNESS WHEREOF, we have hereunto set our hands and sealsonthis _¥_6_____dayof__N_Q_V_EMEE_E_____, 202_4 :..

USA CONSTRUCTION LLC ‘ i :E
,_

MIKEPRICE INDIVIDUALSURETY
’ "
SURETY
8725 ROSWELLRDSTE H SANDYSPRINGS, GA303(ifSeal)

ADDRESS
NOTE: Signatures of those executing for the surety must be properly acknowledged. 61

CERTIFICATION OF NON-DISCRIMINATIONANDAFFIRMATIVEACTION As suppliers of goods or services to the City of Desert Hot Springs, the ?rm listed below certi?es that it does not discriminate in its employment with regards to race, religion, sex, or national origin; that it is in compliance with all Federal, State, and local directives and executive orders regarding non-discrimination in employment; and that it will pursue an af?rmative course of action as required by the af?rmative action guidelines.

We agree speci?cally:

1. To establish or observe employment policies which af?rmatively promote opportunities for minority persons at all job levels.

2. To communicate this policy to all persons concerned including all company employees, outside recruiting services, especially those serving minority communities, and to the minority communities at large.

3. To take af?rmative steps to hire minority employees within the company.

FIRM USA CONSTRUCTION LLC
TITLEOF OFFICER Sl www—
SIGNATURE y7 DATE 11/26/2024
Please include any additional information available regarding equal opportunity employment programs now in effect within your company:
62

CERTIFICATION WITH REGARD TO THE PERFORMANCE OF PREVIOUS CONTRACTS OR

SUBCONTRACTS SUBJECT TO THE EQUAL OPPORTUNITY CLAUSE AND THE FILING OF

REQUIRED REPORTS
The bidd r USACONSTRUCTIONLLC, proposedsubcontractor hereby certi?es that he has ,has not ,participatedin a previous contract or subcontract subject to the Equal Opportunity Clause, as requiredby Executive Orders 10925, 11114 or 11246, and that he has _,\/ has not _, ?led with the Joint Reporting Committeethe Director of the of?ce of Federal Contract Compliance, a Federal Government contracting or administering agency, or the former President’s Committee on Equal Employment Opportunity, all reports due under the applicable ?ling requirements.

USACONSTRUCTIONLLC
(COMPANY) By?g QM

PROJECT MANAGER
(TITLE)
DATE: “/26 , 20_24_. NOTE: The above certi?cation is required by the Equal Employment Opportunity Regulations of the Secretary of Labor (41 CFR 60-1] (b) (1), and must be submitted by bidders and proposed subcontractors only in connection with contracts and subcontracts which are subject to the Equal Opportunity Clause. Contracts and subcontracts which are exempt from the Equal Opportunity Clause are set forth in 41 CFR 60-15. (Generally only contracts or subcontracts of $10,000 or under are exempt).

Currently, Standard Form 100 (EEO-1) is the only report required by the Executive Orders or their implementing regulations.

Proposed prime contractors and subcontractors who have participated in a previous contract or subcontract subject to the Executive Orders and have not ?led the required reports should note that 41 CFR 60-1] (b) (1) prevents the award of contracts and subcontracts unless such contractor submits a report covering the delinquent period or such other period speci?ed by the Federal Highway Administration or by the Director, Of?ce of Federal Contract Compliance, US. Department of Labor.
63

NON-COLLUSIONAFFIDAVIT
The undersigned in submitting a bid proposal for performing the following work by contract, being duly sworn, deposes and says:

That he has not, either directly or indirectly, entered into any agreement, participated in any collusion, or othenNise taken any action in restraint of free competitive bidding in connection with such contract.

C
All project work and incidental items to complete the project shall be performed in accordance with the plans, speci?cations, and other provisions of the contract. Allthe above improvements are to be constructed in a workmanlike manner, leaving the entire project in a neat and presentable condition. :gignature of Bidder
1595 PEACHTREEPKWYSUITE204-344
Business Address
CUMMING,GA,30041
Place of Business
Subscribed and sworn (af?rmed) to before me this 26 day of NOVEMBER , 20A v ” ‘*»Ei;é§-§-{?6’o\:’r,’ Notary Public in and for the County of FULTON Q *2th 9%‘9 ____________, State of GEORGIA
g:My commission expires $7973" , 20i? ‘/
64

COUNTYOF RIVERSIDE
Housing & Workforce Solutions (HWS)

SPECIAL FEDERAL PROVISIONS

CONSTRUCTION BID DOCUMENT
Projects Over $200,000
Community Development Block Grant
Construction Activities
65

SPECIAL FEDERALPROVISIONS

DOCUMENTINDEX
general Information

1. General Summary

2. Hold Harmless Clause and Additional Insured-Insurance Requirements

3. 8-1 Federal Labor Standards Provisions (HUD 4010)

4. 8-2 Federal Prevailing Wage Decision (CA Mod. _)

5. 8-3 Project Sign (SAMPLE)

6. 8-5 County of Riverside Section 3 Program Overview (Applicablefor Projects $200,000 or more)

7. Additional Federal Requirements
Bid Forms

8. 3-4 Certification of Bidder Regarding Non-Segregated Facilities (Required for all Projects)

9. 8-6 Section 3 Implementation Plan (Required for Projects $200,000 or more)

10. 8-7 Certification for Section 3 Compliance (Required for Projects $200,000 or more)

11. 8-8 Bidder’s Certification on Federal Contract Requirements (Required for all Projects)

12. 3—8Questionnaire Regarding Bidders (Required for all Projects)

13. 8-10 List of Subcontractors and Suppliers (Required for all Projects) Must be completed by all Subcontractors

14. 8-6 Section 3 Implementation Plan (Required for Projects $200,000 or more)

15. B-7Certification for Section 3 Compliance (Requiredfor Projects $200,000or more) Post-Award Egrms

16. PA-1 Performance Bond (100% of contract price) (Required for Projects $200,000 or more)

17. PA-2 Payment Bond (Required for Projects $200,000 or more)

18. PA-3 Subcontractor Questionnaire (Required for all Projects)

19. PA—4Subcontractor Certification Regarding Non-segregated Facilities (Required for all Projects)

20. PA-5 List of Permanent Employees/Section 3 Worker Employer Certification (Required for Projects $200,000 or more)

21. PA-6 Documentation of Qualitative Efforts (Required for Projects $200,000 or more)

22. PA-7 Davis-Bacon Classifications and Pay Rates (Required for all Projects) 66

GENERAL SUMMARY
The following Federal Provisions and the attached exhibits herewith become binding on the contractor(s) and incorporated in the Bid Document in their entirety.

1. The Contractor and the Subcontractor(s) shall perform all work in accordance with the project plans and specifications, including all stipulations designed to meet diversified Federal Environmental Architectural, the Architectural Barriers Act of 1968, as amended; the Americans with Disabilities Act of 1990, Public Law 101—336,as amended.

2. The Contractor and the Subcontractor(s) shall allow all authorized Federal, State Comptroller, and/or County officials access to the work area, fiscal, payroll, materials and other relevant contract records which are directly pertinent to that specific contract for the purpose of making audit, examination, excerpts, and transcriptions. Allrelevant records must be retained for at least four years.

3. The Contractor and the Subcontractor(s) shall comply with the Lead Based Paint Poisoning Prevention Act and the Implementation Regulations (24 CFR 35) issued pursuant thereto and any amendments thereof.

4. The Contractor and the Subcontractor(s) shall comply with Section 503 of the Rehabilitation Act of 1973 (P.L. 93-112) and the Implementation Regulations (41 CFR 60-741) issued pursuant thereto and any amendments thereof.

5. The Contractor and the Subcontractor(s) shall comply with Section 40-2, Vietnam Era Veterans Adjustment Assistance Act of 1974 and the Implementation Regulations (41 CFR 60- 250) issued pursuant thereto and any amendment thereof.

6. The Contractor and the Subcontractor(s) shall comply with the Title IVof the Civil Rights Act of 1964 and the Title VIIIof the CivilRights Act of 1963 and any amendment thereof.

7. For projects $200,000 or over, the Contractor and the Subcontractor(s) shall comply with Clean Air Act of 1963 (P.L. 90—148) and the Federal Water Pollution Act (P.L. 92-500), as amended and all applicable standards or regulations (40 CFR Part 15 and 61) issued pursuant to the said acts.

8. For projects $2,000 or over, the Contractor and the Subcontractor(s) shall comply with the Davis-Bacon Fair Labor Standards Act (40 USC a—276 a-5), and the implementation regulations issued pursuant thereto (29 CFR Section 1, 5) and any amendments thereof.

Pursuant to the said regulations, Exhibit B-] and B-2 entitled “Federal Labor Standards Provisions” and “Federal Prevailing Wage Decision” respectively are herewith attached.

9. The Contractor and Subcontractor(s) shall comply with the Copeland Anti-Kickback Act (40 USC 276 C) and the Implementation regulations (29 CFR 3) issued pursuant thereto and any amendments thereof. ExhibitB-J contains the key provisions of the said act.

10. For construction projects $2,000 or over, or other projects $2,500 or more which utilize mechanics or laborers the Contractor and the Subcontractor(s) shall comply with the Contract Work Hours and Safety Standards Act (40 USC 327- 332) and the implementation Regulations (29 CFR 5) issued pursuant thereto and any amendments thereof. E..l11tzi1_B:1 contains the key provisions of the said act.

11. For projects $25,000 or over the Contractor shall provide one sign board to be located as directed by the owner. The sign board shall be mounted in an acceptable manner and constructed as shown and specified in Exhibit? Additional information can be added to the project sign at the request of the project sponsor.

12. The Contractor shall comply with all laws, ordinances, and regulations applicable to the work.

If the Contractor ascertains at any time that any of the requirements of the contract are at variance with applicable law, ordinances, regulations or building code requirements, he shall promptly notify the owner and the Executive Director of Riverside County's Department of Housing &Workforce Solutions and shall not proceed with the work in question, except at his own risk, until the owner and the said Director has had an opportunity to determine the extent of the responsibility for the variance and the appropriate corrective actions undertaken.

13. The Contractor must complete and execute the attached Certification of Bidder Regarding Segregated Facilities Exhibit 8-4 and submit with the bid.

14. Wherever applicable, the Contractor and the Subcontractor(s) shall comply with, Uniform Administrative Requirements for Grants and Cooperative Agreements to State, Local and Federally Recognized Indian Tribal Governments, 24 CFR Part 85 or Uniform Requirements for Assistance to State and Local Governments, Circular A-102; Whichever is applicable.

15. For projects $200,000 or over the Contractor shall furnish to the owner, a Performance bond, 8 Payment bond, and Materials Bond executed as surety by a corporation acceptable to the owner and authorized to issue surety bonds in the State of California. Such a performance bond and a payment bond and materials bond shall be for one hundred percent (100%) of the total contract price. (Attached herewith are recommended formats for said bonds, 55mm PA-1 and PA—2,

16. The Contractor and the Subcontractor(s) shall comply with Section 3 of The Housing and Community Development Act of 1968 and the regulations (24 CFR Part 75) issued pursuant thereto and amendments thereof. Pursuant to the said act, the Contractor and the Subcontractor(s) shall comply with the attached County of Riverside Section 3 Implementation Plan mg, 8-6, and PA—6.The Contractor and Sub-contractor(s) must submit ExhibitB-?, for all projects over $200,000, as part of the bid package.

17. The Contractor and Sub-contractor(s) must submit the attached, ExhihiLB;8_. certification that “he/she fully understands the diversified Federal requirements imposed on the Contractor(s) and Sub-contractor(s) of HUD funded construction projects”, as part of the bid package.

S:\CDBG\CONSTRUCTION\GencralSummary of SPECIALFEDERALPROVISIONS.docSPEClALFEDERAL PROVISIONS

18. 19.

20. 21.

22. 23.

24. 25.

26. Wherever applicable, the Contractor and the Sub-contractor(s) shall comply with Section 109 of The Housing and Community Development Act of 1974 and the Implementation Regulations (24 CFR 570.601) issued pursuant thereto and any amendments thereof.

For projects $200,000 or over the Contractor shall submit a Bid Guarantee Bond in an amount no less than 5% of the total contract price, along with the bid.

The Contractor and Sub-contractor(s) shall comply with the Section 3 Reporting Requirements by completing the attachment Wentitled, "Certification for Section 3 Compliance,” and submit with bid for all projects $200,000 and over.

Federal Employee Benefit Clause: No member of or delegate to the congress of the United States, and no Resident Commissioner shall be admitted to any share or part of this agreement or to any benefit to arise from the same.

The Contractor must submit QuestionnaireRegarding Bidders Exhibit B-9 and List of Sub— contractors Exhibit??? as part of the bid package. These forms are considered part of the Federal Contracting Requirements and are included in the bid document. Both documents are required to be completed by the Prime Contractor.

The Contractor shall follow 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. 94-163, 89 Stat. 871). [ 53 FR 8068,8087, Mar. 11, 1988, as amended at 60 FR19639.19642, April 19, ‘1995] Contractor must comply with awarding agency (HUD) requirements and regulations pertaining to copyrights and rights in data.

Contractor will comply with Notice of awarding agency requirements and regulations pertaining to patent rights with respect to any discovery or invention which arises or is developed in the course of or under such contract.

Contractor will comply with notice of awarding agency requirements and regulations pertaining to reporting.

S:\CDBG\CONSTRUCTION\Gcncral Summary of SPECIALFEDERAL PROVISIONS.docSPECIALFEDERAL PROVISIONS

HOLD HARMLESS CLAUSE/INSURANCE REQUIREMENTS
The following County of Riverside Hold Harmless and Insurance provisions herewith become binding on the contractor(s) in their entirety.

LDHAR E EMN F CAT ON
CONTRACTOR shall indemnify and hold harmless the
County of Riverside, its Agencies, Districts, Special Districts and Departments, their respective directors, officers, Board of Supervisors, elected and appointed officials, employees, agents and representatives (individually and collectively hereinafter referred to as lndemnitees) from any liability whatsoever, based or asserted upon any services of CONTRACTOR, its officers, employees, subcontractors, agents or representatives arising out of or in any way relating to this Agreement, including but not limited to property damage, bodily injury, or death or any other element of any kind or nature whatsoever arising from the performance of CONTRACTOR, its officers, employees, subcontractors, agents or representatives lndemnitors from this Agreement.

CONTRACTORshall defend, at its sole expense, all costs and fees including, but not limited, to attorney fees, cost of investigation, defense and settlements or awards, the lndemnitees in any claim or action based upon such alleged acts or omissions.

With respect to any action or claim subject to indemnification herein by CONTRACTOR, CONTRACTOR shall, at their sole cost, have the right to use counsel of their own choice and shall have the right to adjust, settle, or compromise any such action or claim without the prior consent of COUNTY; provided, however, that any such adjustment, settlement or compromise in no manner whatsoever limits or circumscribes CONTRACTOR’S indemnification to lndemnitees as set forth herein.

CONTRACTOR’S obligation hereunder shall be satisfied
when CONTRACTORhas provided to COUNTYthe appropriate form of dismissal relieving COUNTY from any liability for the action or claim involved. The specified insurance limits required in this Agreement shall in no way limit or circumscribe CONTRACTOR’Sobligations to indemnify and hold harmless the lndemnitees herein from third party claims. in the event there is conflict between this clause and California Civil Code Section 2782, this clause shall be interpreted to comply with Civil Code 2782. Such interpretation shall not relieve the CONTRACTOR from indemnifying the lndemnitees to the fullest extent allowed by law.
lbLSJiBANQE
Without limiting or diminishing the CONTRACTOR’Sobligation to indemnify or hold the COUNTY harmless, CONTRACTOR shall procure and maintain or cause to be maintained, at its sole cost and expense, the following insurance coverage’s during the term of this Agreement. As respects to the insurance section only, the COUNTY herein refers to the County of Riverside, its Agencies, Districts, Special Districts, and Departments, their respective directors, officers, Board of Supervisors, employees, elected or appointed officials, agents or representatives as Additional lnsureds.

A.Workers’ Compensation:

Previous editionsobsolete 70 Form HUD-4010, (10/2023)
ref. Handbook 1344.]

If the CONTRACTOR has employees as defined by the State of California, the CONTRACTOR shall maintain statutory Workers' Compensation Insurance (Coverage A) as prescribed by the laws of the State of California. Policy shall include Employers’ Liability (Coverage B) including Occupational Disease with limits not less than $1,000,000 per person per accident. The policy shall be endorsed to waive subrogation in favor of The County of Riverside.

B.C_QmmeLoial§_enemLLiabilltv;
Commercial General Liability insurance coverage, including but not limited to, premises liability, unmodified contractual liability, products and completed operations liability, personal and advertising injury, and cross liability coverage, covering claims which may arise from or out of CONTRACTOR’S performance of its obligations hereunder. Policy shall name the COUNTY as Additional Insured.

Policy’s limit of liability shall not be less than $1,000,000 per occurrence combined single limit. If such insurance contains a general aggregate limit, it shall apply separately to this agreement or be no less than two (2) times the occurrence limit.

C. MehicleLiability:

If vehicles or mobile equipment are used in the performance of the obligations under this Agreement, then CONTRACTORshall maintain liability insurance for all owned, non—owned or hired vehicles so used in an amount not less than $1,000,000 per occurrence combined single limit. If such insurance contains a general aggregate limit, it shall apply separately to this agreement or be no less than two (2) times the occurrence limit. Policy shall name the COUNTYas Additional lnsureds.

OW
(ONLY TO BE INCLUDED IN CONTRACTS WITH SERVICE PROVIDERS INCLUDING BUT NOT LIMITEDTO ENGINEERS, DOCTORS, AND LAWYERS) Contractor shall maintain Professional Liability Insurance providing coverage for the Contractor’s performance of work included within this Agreement, with a limit of liability of not less than $1,000,000 per occurrence and $2,000,000 annual aggregate. If Contractor’s Professional Liability Insurance is written on a claims made basis rather than an occurrence basis, such insurance shall continue through the term of this Agreement and CONTRACTORshall purchase at his sole expense either 1) an Extended Reporting Endorsement (also, known as Tail Coverage); or 2) Prior Dates Coverage from new insurer with a retroactive date back to the date of, or prior to, the inception of this Agreement; or 3) demonstrate through Certi?cates of Insurance that Contractor has Maintained continuous coverage with the same or original insurer. Coverage provided under items; 1), 2) or 3) will continue for a period of five (5) years beyond the termination of this Agreement.

E. W- AllLines:
a) Any insurance carrier providing insurance coverage hereunder shall be admitted to the State of California and have an A M BEST rating of not less than A: VIII(A:8) unless such requirements are waived, in writing, by the County Risk Manager. Ifthe County’s Risk Manager waives a requirement for a particular insurer such waiver is only valid for that specific insurer and only for one policy term.

Previouseditionsobsolete 71 Form HUD-4010,(10/2023)
ref. Handbook 1344.1

b) The Contractor’s insurance carrier(s) must declare its insurance deductibles or selfinsured retentions. If such deductibles or self-insured retentions exceed $500,000 per occurrence such deductibles and/or retentions shall have the prior written consent of the County Risk Manager before the commencement of operations under this Agreement. Upon notification of deductibles or self insured retention’s unacceptable to the County, and at the election of the Country’s Risk Manager, Contractor’s carriers shall either; 1) reduce or eliminate such deductibles or self-insured retention’s as respects this Agreement with the County, or 2) procure a bond which guarantees payment of losses and related investigations, claims administration, and defense costs and expenses.
0) Contractor shall cause Contractor’s insurance carrier(s) to furnish the County of Riverside with either 1) a properly executed original Certificate(s) of Insurance and certified original copies of Endorsements effecting coverage as required herein, or 2) if requested to do so orally or in writing by the County Risk Manager, provide original Certified copies of policies including all Endorsements and all attachments thereto, showing such insurance is in full force and effect. Further, said Certificate(s) and policies of insurance shall contain the covenant of the insurance carrier(s) that thirty (30) days written notice shall be given to the County of Riverside prior to any material modification, cancellation, expiration or reduction in coverage of such insurance. In the event of a material modification, cancellation, expiration, or reduction in coverage, this Agreement shall terminate forthwith, unless the County of Riverside receives, prior to such effective date, another properly executed original Certificate of Insurance and original copies of endorsements or certified original policies, including all endorsements and attachments thereto evidencing coverage’s set forth herein and the insurance required herein is in full force and effect. Contractor shall not commence operations until the County has been furnished original Certificate (3) of Insurance and certified original copies of endorsements or policies of insurance including all endorsements and any and all other attachments as required in this Section. An individual authorized by the insurance carrier to do on its behalf shall sign the original endorsements for each policy and the Certificate of Insurance. d) it is understood and agreed to by the parties hereto and the insurance company(s), that the Certificate(s) of Insurance and policies shall so covenant and shall be construed as primary insurance, and the County’s insurance and/or deductibles and/or self-insured retention’s or self-insured programs shall not be construed as contributory. e) The County’s Reserved Rights--lnsurance. If, during the term of this Agreement or any extension thereof, there is a material change in the scope of services; or, there is a material change in the equipment to be used in the performance of the scope of work (such as the use of aircraft or watercraft) the County reserves the right to adjust the types of insurance required under this Agreement and the monetary limits of liability for the insurance coverage’s currently required herein, if; in the County Risk Manager's reasonable judgment, the amount or type of insurance carried by the Contractor has become inadequate. f) Contractor shall pass down the insurance obligations contained herein to all tiers of subcontractors working under this Agreement. g) The insurance requirements contained in this agreement may be met with a program(s) of self-insurance acceptable to the County.

Previous editionsobsolete 72 Form HUD-4010,(10/2023)
ref. Handbook1344.1

EXHIBIT B-l
HUD-4010 US. Department of Housing
and Urban DevelopmentFederalLabor StandardsProvisions
Of?ce of Davis-Bacon and Labor Standards
A. APPLICABILITY
The Project or Program to which the construction work covered by this Contract pertains is being assisted by the United States of America, and the following Federal Labor Standards Provisions are included in this Contract pursuant to the provisions applicable to such Federal assistance.

1. Minimum wages and fringe benefits
i. All laborers and mechanics employed or working upon the site of the work (or otherwise working in construction or development of the project under a development statute), will be paid unconditionally and not less often than once a week, and without subsequent deduction or rebate on any account (except such payroll deductions as are permitted by regulations issued by the Secretary of Labor under the Copeland Act (29 CFR part 3)), the full amount of basic hourly wages and bona fide fringe benefits (or cash equivalents thereof) due at time of payment computed at rates not less than those contained in the wage determination of the Secretary of Labor which is attached hereto and made a part hereof, regardless of any contractual relationship which may be alleged to exist between the contractor and such laborers and mechanics. As provided in 29 CFR 5.5(d) and (e), the appropriate wage determinations are effective by operation of law even if they have not been attached to the contract. Contributions made or costs reasonably anticipated for bona fide fringe benefits under the DavisBacon Act (40 U.S.C. 3141 (2)(B)) on behalf of laborers or mechanics are considered wages paid to such laborers or mechanics, subject to the provisions of paragraph (a)(1)(v) of these contract clauses; also, regular contributions made or costs incurred for more than a weekly period (but not less often than quarterly) under plans, funds, or programs which cover the particular weekly period, are deemed to be constructively made or incurred during such weekly period. Such laborers and mechanics must be paid the appropriate wage rate and fringe benefits on the wage determination for the classification(s) of work actually performed, without regard to skill, except as provided in 29 CFR 5.5(a)(4). Laborers or mechanics performing work in more than one classification may be compensated at the rate specified for each classification for the time actually worked therein: Provided, That the employer’s payroll records accurately set forth the time spent in each classification in which work is performed. The wage determination (including any additional classifications and wage rates conformed under 29 CFR 5.5(a)(1)(iii)) and the Davis-Bacon poster (WH—1321) must be posted at all times by the contractor and its subcontractors at the site of the work in a prominent and accessible place where it can be easily seen by the workers. ii. Frequently recurring classifications
A. In addition to wage and fringe benefit rates that have been determined to be prevailing under the procedures set forth in 29 CFR part 1, a wage determination may contain, pursuant to § 1.3(f), wage and fringe benefit rates for classifications of laborers and mechanics for which conformance requests are regularly submitted pursuant to 29 CFR 5.5(a)(1)(iii), provided that:

1. The work performed by the classification is not performed by a classification in the wage determination for which a prevailing wage rate has been determined; Previous editionsobsolete ' 73 Form HUD-4010,(10/2023)
ref. Handbook 1344.1

2. The classification is used in the area by the construction industry; and

3. The wage rate for the classification bears a reasonable relationship to the prevailing wage rates contained in the wage determination.

B. The Administrator will establish wage rates for such classifications in accordance with 29 CFR 5.5(a)(1)(iii)(A)(3). Work performed in such a classification must be paid at no less than the wage and fringe benefit rate listed on the wage determination for such classification.
iii. Conformance
A. The contracting officer must require that any class of laborers or mechanics, including helpers, which is not listed in the wage determination, and which is to be employed under the contract be classified in conformance with the wage determination. Conformance of an additional classification and wage rate and fringe benefits is appropriate only when the following criteria have been met:

1. The work to be performed by the classification requested is not performed by a classification in the wage determination; and
Z. The classification is used in the area by the construction industry; and

3. The proposed wage rate, including any bona fide fringe benefits, bears a reasonable relationship to the wage rates contained in the wage determination.

B. The conformance process may not be used to split, subdivide, or otherwise avoid application of classifications listed in the wage determination.

C. If the contractor and the laborers and mechanics to be employed in the classification (if known), or their representatives, and the contracting officer agree on the classification and wage rate (including the amount designated for fringe benefits where appropriate), a report of the action taken will be sent by the contracting officer by email to DBAcoutomla?ceMgoL The Administrator, or an authorized representative, will approve, modify, or disapprove every additional classification action within 30 days of receipt and so advise the contracting officer or will notify the contracting officer within the 30—day period that additional time is necessaw.

D.ln the event the contractor, the laborers or mechanics to be employed in the classification or their representatives, and the contracting officer do not agree on the proposed classification and wage rate (including the amount designated for fringe benefits, where appropriate), the contracting officer will, by email to DBAconformance©dol,g0v, refer the questions, including the views of all interested parties and the recommendation of the contracting officer, to the Administrator for determination. The Administrator, or an authorized representative, will issue a determination within 30 days of receipt and so advise the contracting officer or will notify the contracting officer within the 30—day period that additionaltime is necessary.

E.The contracting officer must promptly notify the contractor of the action taken by the Wage and Hour Division under 29 CFR 5.5 (a)(1)(iii)(C) and (D). The contractor must furnish a written copy of such determination to each affected worker, or it must be posted as a part of the wage determination. The wage rate (including fringe benefits where appropriate) determined pursuant to 29 CFR 5.5 (a)(1)(iii)(C) or (D) must be paid to all workers performing work in the classification under this contract from the first day on which work is performed in the classification. iv. Fringe benefits not expressed as an hourly rate
Previous editions obsolete 74 Form HUD-4010, (10/2023)
ref. Handbook 1344.1

Whenever the minimum wage rate prescribed in the contract for a class of laborers or mechanics includes a fringe benefit which is not expressed as an hourly rate, the contractor may either pay the benefit as stated in the wage determination or may pay another bona fide fringe benefit or an hourly cash equivalent thereof. v. Unfunded plans
If the contractor does not make payments to a trustee or other third person, the contractor may consider as part of the wages of any laborer or mechanic the amount of any costs reasonably anticipated in providing bona fide fringe benefits under a plan or program, Provided, That the Secretary of Labor has found, upon the written request of the contractor, in accordance with the criteria set forth in 29 CFR 5.28, that the applicable standards of the Davis-Bacon Act have been met. The Secretary of Labor may require the contractor to set aside in a separate account assets for the meeting of obligations under the plan or program.
vi. Interest Inthe event of a failure to pay all or part of the wages required by the contract, the contractor will be required to pay interest on any underpayment of wages.

2. Withholding
i. Withholding requirements
The U. S. Department of Housing and Urban Development may, upon its own action, or must, upon written request of an authorized representative of the Department of Labor, withhold or cause to be withheld from the contractor so much of the accrued payments or advances as may be considered necessary to satisfy the liabilities of the prime contractor or any subcontractor for the full amount of wages and monetary relief, including interest, required by the clauses set forth in 29 CFR 5.5(a) for violations of this contract, or to satisfy any such liabilities required by any other Federal contract, or federally assisted contract subject to Davis-Bacon labor standards, that is held by the same prime contractor (as defined in 29 CFR 5.2). The necessary funds may be withheld from the contractor under this contract, any other Federal contract with the same prime contractor, or any other federally assisted contract that is subject to Davis-Bacon labor standards requirements and is held by the same prime contractor, regardless of whether the other contract was awarded or assisted by the same agency, and such funds may be used to satisfy the contractor liability for which the funds were withheld. In the event of a contractor’s failure to pay any laborer or mechanic, including any apprentice or helper working on the site of the work (or otherwise working in construction or development of the project under a development statute) all or part of the wages required by the contract, or upon the contractor’s failure to submit the required records as discussed in 29 CFR 5.5(a)(3)(iv), HUD may on its own initiative and after written notice to the contractor, sponsor, applicant, owner, or other entity, as the case may be, take such action as may be necessary to cause the suspension of any further payment, advance, or guarantee of funds until such violations have ceased.
ii. Priority to withheld funds
The Department has priority to funds withheld or to be withheld in accordance with 29 CFR 5.5(a)(2)(i) or (b)(3)(i), or both, over claims to those funds by:

A. A contractor’s surety(ies), including without limitation performance bond sureties and payment bond sureties;
B. A contracting agency for its reprocurement costs;
C. A trustee(s) (either a court-appointed trustee or a US. trustee, or both) in bankruptcy of a contractor, or a contractor’s bankruptcy estate; Previouseditionsobsolete 75 FormHUD-4010,(10/2023)
ref. Handbook 1344.1

D. Acontractor’s assignee(s);
E. A contractor’s successor(s); or
F. Aclaim asserted under the Prompt Payment Act, 31 U.S.C. 3901 -3907.

3. Records and certified payrolls
i. Basic record requirements
A. Length of record retention. All regular payrolls and other basic records must be maintained by the contractor and any subcontractor during the course of the work and preserved for all laborers and mechanics working at the site of the work (or otherwise working in construction or development of the project under a development statute) for a period of at least 3 years after all the work on the prime contract is completed.

B. Information required Such records must contain the name; Social Security number; last known address, telephone number, and email address of each such worker; each worker’s correct classification(s) of work actually performed; hourly rates of wages paid (including rates of contributions or costs anticipated for bona fide fringe benefits or cash equivalents thereof of the types described in 40 U.S.C. 3141(2)(B) of the Davis-Bacon Act); daily and weekly number of hours actually worked in total and on each covered contract; deductions made; and actual wages paid.

C. Additional records relating to fringe benefits. Whenever the Secretary of Labor has found under 29 CFR 5.5(a)(1)(v) that the wages of any laborer or mechanic include the amount of any costs reasonably anticipated in providing benefits under a plan or program described in 40 U.S.C. 3141(2)(B) of the Davis-Bacon Act, the contractor must maintain records which show that the commitment to provide such benefits is enforceable, that the plan or program is financially responsible, and that the plan or program has been communicated in writing to the laborers or mechanics affected, and records which show the costs anticipated or the actual cost incurred in providing such benefits.

D. Additional records relating to apprenticeship Contractors with apprentices working under approved programs must maintain written evidence of the registration of apprenticeship programs, the registration of the apprentices, and the ratios and wage rates prescribed in the applicable programs.
ii.Certified payroll requirements
A. Frequency and method of submission The contractor or subcontractor must submit weekly, for each week in which any DBA-or Related Acts-covered work is performed, certified payrolls to HUD ifthe agency is a party to the contract, but ifthe agency is not such a party, the contractor willsubmit the certified payrolls to the applicant, sponsor, owner, or other entity, as the case may be, that maintains such records, for transmission to HUD. The prime contractor is responsible for the submission of all certified payrolls by all subcontractors. A contracting agency or prime contractor may permit or require contractors to submit certified payrolls through an electronic system, as long as the electronic system requires a legally valid electronic signature; the system allows the contractor, the contracting agency, and the Department of Labor to access the certified payrolls upon request for at least 3 years after the work on the prime contract has been completed; and the contracting agency or prime contractor permits other methods of submission in situations where the contractor is unable or limited in its ability to use or access the electronic system B. Information required The certified payrolls submitted must set out accurately and Previouseditionsobsolete 76 Form HUD-4010,(10/2023)
ref. Handbook 1344.1

completely all of the information required to be maintained under 29 CFR

5.5(a)(3)(i)(B), except that full Social Security numbers and last known addresses, telephone numbers, and email addresses must not be included on weekly transmittals. instead, the certified payrolls need only include an individually identifying number for each worker (e.g., the last four digits of the worker’s Social Security number). The required weekly certified payroll information may be submitted using Optional Form WH—347or in any other format desired. Optional Form WH—347is available for this purpose from the Wage and Hour Division Web site at hnosibmmugoLgostmesLdolgov?LlesMHD?egacy?uesMhBAZpdf or its successor website. It is not a violation of this section for a prime contractor to require a subcontractor to provide full Social Security numbers and last known addresses, telephone numbers, and email addresses to the prime contractor for its own records, without weekly submission by the subcontractor to the sponsoring government agency (or the applicant, sponsor, owner, or other entity, as the case may be, that maintains such records).

C. Statement of Compliance Each certified payroll submitted must be accompanied by a “Statement of Compliance," signed by the contractor or subcontractor, or the contractor‘s or subcontractor’s agent who pays or supervises the payment of the persons working on the contract, and must certify the following:

1. That the certified payroll for the payroll period contains the information required to be provided under 29 CFR 5.5(a)(3)(ii), the appropriate information and basic records are being maintained under 29 CFR 5.5 (a)(3)(i), and such information and records are correct and complete;

2. That each laborer or mechanic (including each helper and apprentice) working on the contract during the payroll period has been paid the full weekly wages earned, without rebate, either directly or indirectly, and that no deductions have been made either directly or indirectly from the full wages earned, other than permissible deductions as set forth in 29 CFR part 3; and

3. That each laborer or mechanic has been paid not less than the applicable wage rates and fringe benefits or cash equivalents for the classification(s) of work actually performed, as specified in the applicable wage determination incorporated into the contract.

D. Use of Optional Form WH-347 The weekly submission of a properly executed certification set forth on the reverse side of Optional Form WH-347 will satisfy the requirement for submission of the “Statement of Compliance” required by 29 CFR

5.5(a)(3)(ii)(C).

E. Signature The signature by the contractor, subcontractor, or the contractor’s or subcontractor’s agent must be an original handwritten signature or a legally valid electronic signature.

F. Falsification The falsification of any of the above certifications may subject the contractor or subcontractor to civil or criminal prosecution under 18 U.S.C. 1001 and 31 U.S.C. 3729.

G. Length of certified payroll retention The contractor or subcontractor must preserve all certified payrolls during the course of the work and for a period of 3 years after all the work on the prime contract is completed.
iii. Contracts, subcontracts, and related documents The contractor or subcontractor must maintain this contract or subcontract and related documents including, without limitation, bids, proposals, amendments, modifications, and extensions. The Previous editions obsolete 77 Form HUD-4010, (10/2023)
ref. Handbook 1344.1

contractor or subcontractor must preserve these contracts, subcontracts, and related documents during the course of the work and for a period of 3 years after all the work on the prime contract is completed.
iv. Required disclosures and access
A. Required record disclosures and access to workers The contractor or subcontractor must make the records required under 29 CFR 5.5(a)(3)(i)-(iii), and any other documents that HUD or the Department of Labor deems necessary to determine compliance with the labor standards provisions of any of the applicable statutes referenced by 29 CFR 5.1, available for inspection, copying, or transcription by authorized representatives of HUD or the Department of Labor, and must permit such representatives to interview workers during working hours on the job.

B. Sanctions for non-compliance with records and worker access requirements If the contractor or subcontractor fails to submit the required records or to make them available, or refuses to permit worker interviews during working hours on the job, the Federal agency may, after written notice to the contractor, sponsor, applicant, owner, or other entity, as the case may be, that maintains such records or that employs such workers, take such action as may be necessary to cause the suspension of any further payment, advance, or guarantee of funds. Furthermore, failure to submit the required records upon request or to make such records available, or to permit worker interviews during working hours on the job, may be grounds for debarment action pursuant to 29 CFR 5.12. In addition, any contractor or other person that fails to submit the required records or make those records available to WHD within the time WHD requests that the records be produced will be precluded from introducing as evidence in an administrative proceeding under 29 CFR part 6 any of the required records that were not provided or made available to WHD. WHD will take into consideration a reasonable request from the contractor or person for an extension of the time for submission of records. WHD will determine the reasonableness of the request and may consider, among other things, the location of the records and the volume of production.

C. Required information disclosures Contractors and subcontractors must maintain the full Social Security number and last known address, telephone number, and email address of each covered worker, and must provide them upon request to HUD if the agency is a party to the contract, or to the Wage and Hour Division of the Department of Labor. Ifthe Federal agency is not such a party to the contract, the contractor, subcontractor, or both, must, upon request, provide the full Social Security number and last known address, telephone number, and email address of each covered worker to the applicant, sponsor, owner, or other entity, as the case may be, that maintains such records, for transmission to HUD, the contractor, or the Wage and Hour Division of the Department of Labor for purposes of an investigation or other compliance action.

4. Apprentices and equal employment opportunity
i. Apprentices
A. Rate of pay Apprentices will be permitted to work at less than the predetermined rate for the work they perform when they are employed pursuant to and individually registered in a bona fide apprenticeship program registered with the US Department of Labor, Employment and Training Administration, Office of Previouseditionsobsolete 78 Form HUD-4010,(10/2023)
ref. Handbook 1344.1

Apprenticeship (0A), or with a State Apprenticeship Agency recognized by the 0A.

A person who is not individually registered in the program, but who has been certified by the 0A or a State Apprenticeship Agency (where appropriate) to be eligible for probationary employment as an apprentice, will be permitted to work at less than the predetermined rate for the work they perform in the first 90 days of probationary employment as an apprentice in such a program. In the event the 0A or a State Apprenticeship Agency recognized by the 0A withdraws approval of an apprenticeship program, the contractor will no longer be permitted to use apprentices at less than the applicable predetermined rate for the work performed until an acceptable program is approved.

B. Fringe benefits Apprentices must be paid fringe benefits in accordance with the provisions of the apprenticeship program. Ifthe apprenticeship program does not specify fringe benefits, apprentices must be paid the full amount of fringe benefits listed on the wage determination for the applicable classification. if the Administrator determines that a different practice prevails for the applicable apprentice classification, fringe benefits must be paid in accordance with that determination.

C. Apprenticeship ratio The allowable ratio of apprentices to journeyworkers on the job site in any craft classification must not be greater than the ratio permitted to the contractor as to the entire work force under the registered program or the ratio applicable to the locality of the project pursuant to 29 CFR 5.5(a)(4)(i)(D). Any worker listed on a payroll at an apprentice wage rate, who is not registered or othenNise employed as stated in 29 CFR 5.5(a)(4)(i)(A), must be paid not less than the applicable wage rate on the wage determination for the classification of work actually performed. In addition, any apprentice performing work onthe job site in excess of the ratio permitted under this section must be paid not less than the applicable wage rate on the wage determination for the work actually performed.

D. Reciprocity of ratios and wage rates Where a contractor is performing construction on a project in a locality other than the locality in which its program is registered, the ratios and wage rates (expressed in percentages of the journey worker’s hourly rate) applicable within the locality in which the construction is being performed must be observed. ifthere is no applicable ratio or wage rate for the locality of the project, the ratio and wage rate specified in the contractor’s registered program must be observed.
ii. Equal employment opportunity The use of apprentices and journey workers under this part must be in conformity with the equal employment opportunity requirements of Executive Order 11246, as amended, and 29 CFR part 30.

5. Compliance with Copeland Act requirements. The contractor shall comply with the requirements of 29 CFR part 3, which are incorporated by reference in this contract.

6. Subcontracts. The contractor or subcontractor must insert in any subcontracts the clauses contained in 29 CFR 5.5(a)(1) through (11), along with the applicable wage determination(s) and such other clauses or contract modifications as the U.S.

Department of Housing and Urban Development may by appropriate instructions require, and a clause requiring the subcontractors to include these clauses and wage determination(s) in any lower tier subcontracts. The prime contractor is responsible for the compliance by any subcontractor or lower tier subcontractor with all the contract clauses in this section. In the event of any violations of these clauses, the prime contractor and any subcontractorls) responsible will be liable for any unpaid wages and Previous editionsobsolete 79 FormHUD-4010,(10/2023)
ref. Handbook 1344.1

monetary relief, including interest from the date of the underpayment or loss, due to any workers of lower-tier subcontractors, and may be subject to debarment, as appropriate.

7. Contract termination: debarment. A breach of the contract clauses in 29 CFR 5.5 may be grounds for termination of the contract, and for debarment as a contractor and a subcontractor as provided in 29 CFR 5.12.

8. Compliance with Davis-Bacon and Related Act requirements. All rulings and interpretations of the Davis-BaCOnand Related Acts contained in 29 CFR parts 1, 3, and 5 are herein incorporated by reference in this contract.

9. Disputes concerning labor standards. Disputes arising out of the labor standards provisions of this contract shall not be subject to the general disputes clause of this contract. Such disputes shall be resolved in accordance with the procedures of the Department of Labor set forth in 29 CFR parts 5, 6, and 7. Disputes within the meaning of this clause include disputes between the contractor (or any of its subcontractors) and the contracting agency, the US. Department of Labor, or the employees or their representatives.

10. Certification of eligibility.
i. By entering into this contract, the contractor certifies that neither it nor any person or firm who has an interest in the contractor’s firm is a person or firm ineligible to be awarded Government contracts by virtue of 40 U.S.C. 3144(b) or 29 CFR 5.12(a). ii. No part of this contract shall be subcontracted to any person orfirm ineligible for award of a Government contract by virtue of 40 U.S.C. 3144(b) or 29 CFR 5.12(a). iii. The penalty for making false statements is prescribed in the US. Code, Title 18 Crimes and Criminal Procedure, 18 U.S.C. 1001.
11 Anti-retaliation It is unlawful for any person to discharge, demote, intimidate, threaten, restrain, coerce, blacklist, harass, or in any other manner discriminate against, or to cause any person to discharge, demote, intimidate, threaten, restrain, coerce, blacklist, harass, or in any other manner discriminate against, any worker or job applicant for:
i. Notifying any contractor of any conduct which the worker reasonably believes constitutes a violation of the DBA, Related Acts, or 29 CFR parts 1, 3, or 5; ii. Filing any complaint, initiating or causing to be initiated any proceeding, or otherwise asserting or seeking to assert on behalf of themselves or others any right or protection under the DBA, Related Acts, or 29 CFR parts 1, 3, or 5; iii. Cooperating in any investigation or other compliance action, or testifying in any proceeding under the DBA, Related Acts, or 29 CFR parts 1, 3, or 5; or iv. Informing any other person about their rights under the DBA, Related Acts, or 29 CFR parts 1, 3, or 5.

B. Contract Work Hours and Safety Standards Act (CWHSSA) The Agency Head must cause or require the contracting officer to insert the following clauses set forth in 29 CFR 5.5(b)(1), (2), (3), (4), and (5) in full, or (for contracts covered by the Federal Acquisition Regulation) by reference, in any contract in an amount in excess of $100,000 and subject to the overtime provisions of the Contract Work Hours and Safety Standards Act. These clauses must be inserted in addition to the clauses required by 29 CFR 5.5(a) or 4.6. As used in this paragraph, the terms “laborers and mechanics” include watchpersons and guards.

1. Overtime requirements. No contractor or subcontractor contracting for any part of the contract work which may require or involve the employment of laborers or mechanics shall require or permit any such laborer or mechanic in any workweek in Previous editionsobsolete 80 Form HUD-4010,(IO/2023)
ref. Handbook 1344.1

which he or she is employed on such work to work in excess of forty hours in such workweek unless such laborer or mechanic receives compensation at a rate not less than one and one-half times the basic rate of pay for all hours worked in excess of forty hours in such workweek.

2. Violation; liability for unpaid wages; liquidated damages. In the event of any violation of the clause set forth in 29 CFR 5.5(b)(1) the contractor and any subcontractor responsible therefor shall be liable for the unpaid wages and interest from the date of the underpayment. In addition, such contractor and subcontractor shall be liable to the United States (in the case of work done under contract for the District of Columbia or a territory, to such District or to such territory), for liquidated damages. Such liquidated damages shall be computed with respect to each individual laborer or mechanic, including watchpersons and guards, employed in violation of the clause set forth in 29 CFR 5.5(b)(1), in the sum of $31 for each calendar day on which such individual was required or permitted to work in excess of the standard workweek of forty hours without payment of the overtime wages required by the clause set forth in 29 CFR 5.5(b)(1).

3. Withholding for unpaid wages and liquidated damages
i. Withholding process The US Department of Housing and Urban Development or the recipient of Federal assistance may, upon its own action, or must, upon written request of an authorized representative of the Department of Labor, withhold or cause to be withheld from the contractor so much of the accrued payments or advances as may be considered necessary to satisfy the liabilities of the prime contractor or any subcontractor for any unpaid wages; monetary relief, including interest; and liquidated damages required by the clauses set forth in 29 CFR 5.5(b) on this contract, any other Federal contract with the same prime contractor, or any other federally assisted contract subject to the Contract Work Hours and Safety Standards Act that is held by the same prime contractor (as defined in 29 CFR 5.2). The necessary funds may be withheld from the contractor under this contract, any other Federal contract with the same prime contractor, or any other federally assisted contract that is subject to the Contract Work Hours and Safety Standards Act and is held by the same prime contractor, regardless of whether the other contract was awarded or assisted by the same agency, and such funds may be used to satisfy the contractor liability for which the funds were withheld.
ii Priority to withheld funds The Department has priority to funds withheld or to be withheld in accordance with 29 CFR 5.5(a)(2)(i) or (b)(3)(i), or both, over claims to those funds by:

A. A contractor’s surety(ies), including without limitation performance bond sureties and payment bond sureties;
B. Acontracting agency for its reprocurement costs;
C. A trustee(s) (either a court-appointed trustee or a US. trustee, or both) in bankruptcy of a contractor, or a contractor’s bankruptcy estate; D. Acontractor’s assignee(s);
E. A contractor’s successor(s); or
F. A claim asserted under the Prompt Payment Act, 31 U.S.C. 3901-3907.

4. Subcontracts. The contractor or subcontractor must insert in any subcontracts the clauses set forth in 29 CFR 5.5(b)(1) through (5) and a clause requiring the subcontractors to include these clauses in any lower tier subcontracts. The prime contractor is responsible for compliance by any subcontractor or lower tier subcontractor with the clauses set forth Previouseditionsobsolete 81 FormHUD—4010,(10/2023)
ref. Handbook 1344.1

in 29 CFR 5.5(b)(1) through (5). In the event of any violations of these clauses, the prime contractor and any subcontractor(s) responsible will be liable for any unpaid wages and monetary relief, including interest from the date of the underpayment or loss, due to any workers of lower-tier subcontractors, and associated liquidated damages and may be subject to debarment, as appropriate.
5 Anti-retaliation It is unlawful for any person to discharge, demote, intimidate, threaten, restrain, coerce, blacklist, harass, or in any other manner discriminate against, or to cause any person to discharge, demote, intimidate, threaten, restrain, coerce, blacklist, harass, or in any other manner discriminate against, any worker orjob applicant for:
i. Notifying any contractor of any conduct which the worker reasonably believes constitutes a violation of the Contract Work Hours and Safety Standards Act (CWHSSA) or its implementing regulations in 29 CFR part 5; ii. Filing any complaint, initiating or causing to be initiated any proceeding, or othenNise asserting or seeking to assert on behalf of themselves or others any right or protection under CWHSSA or 29 CFR part 5;
iii. Cooperating in any investigation or other compliance action, or testifying in any proceeding under CWHSSA or 29 CFR part 5; or
iv. informing any other person about their rights under CWHSSA or 29 CFR part 5.

C. CWHSSA required records clause In addition to the clauses contained in 29 CFR 5.5(b), in any contract subject only to the Contract Work Hours and Safety Standards Act and not to any of the other laws referenced by 29 CFR 5.1, the Agency Head must cause or require the contracting officer to insert a clause requiring that the contractor or subcontractor must maintain regular payrolls and other basic records during the course of the work and must preserve them for a period of 3 years after all the work on the prime contract is completed for all laborers and mechanics, including guards and watchpersons, working on the contract. Such records must contain the name; last known address, telephone number, and email address; and social security number of each such worker; each worker’s correct classification(s) of work actually performed; hourly rates of wages paid; daily and weekly number of hours actually worked; deductions made and actual wages paid. Further, the Agency Head must cause or require the contracting officer to insert in any such contract a clause providing that the records to be maintained under this paragraph must be made available by the contractor or subcontractor for inspection, copying, or transcription by authorized representatives of the (write the name of agency) and the Department of Labor, and the contractor or subcontractor will permit such representatives to interview workers during working hours on the job.

D. Incorporation of contract clauses and wage determinations by reference Although agencies are required to insert the contract clauses set forth in this section, along with appropriate wage determinations, in full into covered contracts, and contractors and subcontractors are required to insert them in any lower-tier subcontracts, the incorporation by reference of the required contract clauses and appropriate wage determinations will be given the same force and effect as ifthey were inserted in full text.

E. Incorporation by operation of law The contract clauses set forth in this section (or their equivalent under the Federal Acquisition Regulation), along with the correct wage determinations, will be considered to be a part of every prime contract required by the applicable statutes referenced by 29 CFR 5.1 to include such clauses, and will be effective by operation of law, whether or not they are included or incorporated by reference into such contract, unless the Administrator grants a variance, tolerance, or exemption from the application of this paragraph. Where the clauses and applicable wage determinations Previouseditionsobsolete 82 Form HUD-4010, (IO/2023)
ref. Handbook 1344.l

are effective by operation of law under this paragraph, the prime contractor must be compensated for any resulting increase in wages in accordance with applicable law.

F. HEALTHANDSAFETY
The provisions of this paragraph (F) are applicable where the amount of the prime contract exceeds
$100,000.

1. No laborer or mechanic shall be required to work in surroundings or under working conditions which are unsanitary, hazardous, or dangerous to his or her health and safety, as determined under construction safety and health standards promulgated by the Secretary of Labor by regulation.

2. The contractor shall comply with all regulations issued by the Secretary of Labor pursuant to 29 CFR Part 1926 and failure to comply may result in imposition of sanctions pursuant to the Contract Work Hours and Safety Standards Act, (Public Law 91-54, 83 Stat 96), 40 U.S.C. § 3701 et seq.

3. The contractor shall include the provisions of this paragraph in every subcontract, so that such provisions will be binding on each subcontractor. The contractor shall take such action with respect to any subcontractor as the Secretary of Housing and Urban Development or the Secretary of Labor shall direct as a means of enforcing such provisions.

Previous editionsobsolete 83 Form HUD-4010,(10/2023)
ref. Handbook 1344.1

Emil-l

FEDERALPREVAILING WAGE DECISION
(CA mod. )
Insert most recent, (10 days prior to bid opening) wage decision at this point.

LABORSTANDARDSREQUIREMENTS- PRECONSTRUCTIONPHASE. A construction project covered by Federal Labor Standards Provisions (HUD-4010) requires a series of specific actions prior to the actual start of construction. Those actions are:
a. obtaining an applicable Davis-Bacon wage determination for the project; b. including that wage determination (and any modifications) in the bid documents where there is competitive bidding or in invitations for proposals; and

0. including appropriate labor standards provisions and the wage determination in the construction contract.

CONSTRUCTION WAGE DETERMINATION- DEFINITION.All construction bid documents and contracts, or analogous instruments covered by the Federal Labor Standards Provisions (HUD-4010) m contain a current and applicable wage determination issued by the Department of Labor. The term “wage determination” includes the original decision and any subsequent decisions modifying, superseding, correcting, or otherwise changing the provisions of the original decision.

Reference: Handbook 1344.1 Federal Labor Standards Compliance in Housing and Community Development Programs’; paragraph 2-1, section 1 paragraph 1-1.

OBTAININGWAGE DETERMINATIONS
The Riverside County Department of Housing &Workforce Solutions (HWS) will be responsible to obtain and provide the appropriate Federal wage determination from the US. Department of Labor (DOL) for this project. The appropriate wage determination will be the most current determination, applicable for Riverside County and the construction type, that is effective ten (10) days before the opening of bids. Wage determinations shall be effective (locked-in) on the date that bids are opened provided that the contract is awarded within 90 days after bid opening. If the contract is awarded more than 90 days after bid opening, the wage determination shall be updated as of the date of award. If construction starts more than 90 days after contract award, the wage determination shall be updated as of the construction start date.

SEE ATTACHED PREVATLTNG WAGE DETERMINATION
DATED NOVEMBER 08 2024

Additional Federal Requirements
Whereas, the work under this Agreement is subject to applicable Federal, State, and local laws 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, subcontractors, Consultants, and sub-consultants agree to comply with, and are subject to, all applic_abl_eLeguiLements as follows:

0. Equal Employment Opportunity - Compliance with Executive Order 11246 of September 24, 1965, entitled "Equal Employment Opportunity", as amended by Executive Order 11375 of October 13, 1967, and as supplemented in Department of Labor regulations (41 CFR Part 60). The Contractor/Consultant will not discriminate against any employee or applicant for employment because of race, color, religion, sex, sexual orientation, general identity or national origin.

Contractor/Consultant will ensure that all qualified applicants will receive consideration for employment without regard to race, color, religion, sex sexual orientation, general identity or national origin. The Contractor/Consultant will take affirmative action to ensure that applicants are employed and the employees are treated during employment, without regard to their race color, religion, sex, sexual orientation, general identity or national origin. Such actions shall include, but are not limited to, the following: employment, up-grading, demotion, or transfer; recruitment or recruitment advertising; rates of pay or other forms of compensation; and selection for training, including apprenticeship. The Contractor/Consultant agrees to post in a conspicuous place, available to employees and applicants for employment, notices to be provided by the County setting forth the provisions of this non-discriminating clause.

2. Copeland “Anti-Kickback”Act (18 U.S.C. 874 and 40 U.S.C.A. Section 3145): All contracts and subgrants in excess of $2,000 for construction or repair awarded by recipients and subrecipients shall include a provision for compliance with the Capeland “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 Work Financed in Whole or in Part by Loans or Grants from the United States”). The Act provides that each contractor or subrecipient shall be prohibited from inducing, by any means, any person employed in the construction, completion, or repair of public work, to give up any part of the compensation to which he is othewvise entitled. The recipient shall report all suspected or reported violations to HUD.

3. Davis-Bacon Act, as amended (40 U.S.C.A. Section 3141-3148): When required by Federal program legislation, all construction contracts awarded by the recipients and subrecipients of more than $2000 shall include a provision for compliance with the Davis-Bacon Act (40 U.S.C. A. Section 3141—3148) and as supplemented by Department of Labor regulations (29 CFR Part 5, “Labor Standards Provisions Applicable to Contracts Governing Federally Financed and Assisted Construction”). Under the Davis Bacon 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 U.S. Secretary of Labor. In addition, contractors shall be required to pay wages not less than once a week. The recipient shall place a copy of the current prevailing wage determination issued by the U.S. Department of Labor in each solicitation and the award of a contract shall be conditioned upon the acceptance of the wage determination. The recipient shall report all suspected or reported violations to HUD.

4. Contract Work Hours and Safety Standards Act (40 U.8. CA.. 32701 through 3708): Where applicable, all contracts awarded by recipients in excess of $2,000 for construction contracts and in excess of $2,500 for other contracts that involve the employment of mechanics or laborers shall include a provision for compliance with the Contract Work Hours and Safety Standards (40 U.S.C.A.

32701—3708), as supplemented by Department of Labor Regulations (29 CFR Part 5). Under Section 40 U.S.C.A. 3702, each contractor shall be required to compute the wages of every mechanic and laborer on the basis of a standard workweek of 40 hours. Work in excess of the standard workweek is permissible provided that the worker is 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. 40 U.S.C.A. 3704of the Act is applicable to construction work and provides that no laborer or mechanic shall be required to work in surroundings or under working conditions which are unsanitary, hazardous or dangerous. These requirements do not apply to the purchases of supplies or materials or articles ordinarily available on the open market, or contracts for tranSportation or transmission of intelligence.

5. 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 Firms Under Government Grants, Contracts and Cooperative Agreements,” and any implementing regulations issued by HUD.

6. 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 Part 27.404-3, Federal Acquisition Regulations (FAR).

7. Air Pollution Prevention and Control (formally known as the Clean Air Act) (42 U.S.C.A. 7401 et seq.) and the Federal Water Pollution Control Act (33 U.S.C.A. Section 1251 et seq.), as amended:—Contracts and subgrants of amounts in excess of $100,000 shall contain a provision that requires the recipient to agree to comply with all applicable standards, orders or regulations issued pursuant to the Clean AirAct (42 U.S.C. 7401 et seq.) and the Federal Water Pollution Control Act as amended (33 U.S.C.A. 1251 et seq.). Violations shall be reported to HUD and the Regional Office of the Environmental Protection Agency (EPA).

8. Byrd Anti-Lobbying Amendment (31 U.S.C.A. 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 person or organization for influencing 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, grant or any other award covered by 31 U.S.C. 1352. Each tier shall also disclose any lobbying with non-Federal funds that takes place in connection with obtaining any Federal award. Such disclosures are fonivarded from tier to tier up to the recipient.

9. Debarment and Suspension (Executive Orders (£0. 5) 12549 and 12689)—No contract shall be made to parties listed on the General Services Administration's List of Parties Excluded from Federal Procurement or Nonprocurement Programs in accordance with E.O.s 12549 and 12689, “Debarment and Suspension," as set forth at 24 CFR part 2424. This list contains the names of parties debarred, suspended, or otherwise excluded by agencies, and contractors declared ineligible under statutory or regulatory authority other than E.O. 12549. Contractors with awards that exceed the small purchase threshold shall provide the required certification regarding its exclusion status and that of its principal employees.

10. Drug-Free Workplace Requirements— The Anti-Drug Abuse Act of 1988 (41 U.S.C.A.

Section 8101 -8103)requires grantees (including individuals) of federal agencies, as a prior condition of being awarded a grant, to certify that they will provide drug—free workplaces. Each potential recipient must certify that it will comply with drug—freeworkplace requirements in accordance with the Act and with HUD's rules at 24 CFR part 2425.

11. Access to Records and Records Retention: The Consultant or Contractor, and any subconsultants or sub-contractors, shall allow all duly authorized Federal, State, and/or County officials or authorized representatives access to the work area, as well as all books, documents, materials, papers, and records of the Consultant or Contractor, and any sub-consultants or sub-contractors, that are directly pertinent to a specific program for the purpose of making audits, examinations, excerpts, and transcriptions. The Consultant or Contractor, and any sub-consultants or subcontractors, further agree to maintain and keep such books, documents, materials, papers, and records, on a current basis, recording all transactions pertaining to this agreement in a form in accordance with generally acceptable accounting principles. All such books and records shall be retained for such periods of time as required by law, provided, however, notwithstanding any shorter periods of retention, all books, records, and supporting detail shall be retained for a period of at least four (4) years after the expiration of the term of this Agreement.

12. Federal Employee Benefit Clause: No member of or delegate to the congress of the United States, and no Resident Commissioner shall be admitted to any share or part of this agreement or to any benefit to arise from the same.

13. 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, Dec. 22, 1975; 42 U.S.C.A. Section 6201, et. seq., 89 Stat. 871).

14. Procurement of Recovered Materials (2 CFR 200.322.) Anon-Federal entity that is a state agency or agency of a political subdivision of a state and its contractors must comply with 42 U.S.C.

Section 6962 of the Solid Waste Disposal Act (42 U.S.C.A. Section 6901 , et seq.), as amended by the Resource Conservation and Recovery Act. The requirements of Section 6002 include procuring only items designated in guidelines of the Environmental Protection Agency (EPA) at 40 CFR part 247 that contain the highest percentage of recovered materials practicable, consistent with maintaining a satisfactory level of competition, where the purchase price of the item exceeds $10,000 or the value of the quantity acquired by the preceding fiscal year exceeded $10,000; procuring solid waste management services in a manner that maximizes energy and resource recovery; and establishing an affirmative procurement program for procurement of recovered materials identified in the EPA guidelines.

15. Build America, Buy America (BABA)Act: The Grantee must comply with the requirements of the Build America, Buy America (BABA)Act, 41 USC 8301 note, and all applicable rules and notices, as may be amended, If applicable to the Grantee’s infrastructure project. Pursuant to HUD’s Notice, “Public Interest Phased Implementation Waiver for FY 2022 and 2023 of Build America, Buy America Provisions as Applied to Recipients of HUD Federal Financial Assistance” (88 FR 17001), any funds obligated by HUD on or after the applicable listed effective dates, are subject to BABArequirements, unless excepted by a waiver.

16. Violence Against Women Act (VAWA): VAWA provides housing protections for survivors of domestic and dating violence, sexual assault and stalking (‘domestic violence”). VAWA 2022 reauthorizes, amends, and strengthens the VAWAof 1994, as amended (Pub. L. 103-322, tit. IV,sec. 40001 -40703; 34 U.S.C. 12291 et seq.) HUD’s implementing regulations for VAWA’S protections, rights, and responsibilities are codified in 24 CFR part 5, subpart L, and related provisions in HUD’s program regulations (HUD’s VAWA regulations). VAWA 2022 amendments took effect on October 1, 2022 and 2022 VAWA’s reauthorization includes new implementation requirements. Grantees, subrecipients and developers shall ensure compliance with all requirements of VAWA including but not limited to: (a) Assure domestic violence survivors are not denied assistance as an applicant, or evicted, or have assistance terminated as a tenant because applicant or tenant is or has been a victim of domestic violence; (b) Implement an emergency transfer plan allowing domestic violence

survivor to move to another safe and available unit; (0) Provide protections against denial, terminations, and evictions that directly result from being a victim of domestic violence; (d) Implement a low barrier certification process and allow self-certification of domestic violence.

EXHIBIT B-4
Required Bid Form

CERTIFICATION OF BIDDER

REGARDING NONSEGREGATED FACILITIES
Project Name: John H.Furbee Aquatic Center Improvements Name orBiddenw
The above-named Bidder hereby certifies that:

I do not maintain or provide for my employees any segregated facilities at any of my establishments, and that I do not permit my employees to perform their services at any location, under my control, where segregated facilities are maintained. As used in this certification, the term “segregated facilities” means any waiting rooms, work areas, rest rooms, wash rooms, restaurants and other eating areas, time clocks, locker rooms or other dressing areas, parking lots, drinking fountains, recreation or entertainment areas, transportation, and housing facilities provided for employees which are segregated by explicit directive or are in fact segregated on the basis of race, color, religion, national origin, or because of habits, local customs, or otherwise.

I further agree to obtain identical certifications from all proposed subcontractors prior to the award of subcontracts exceeding $10,000.

Signature: \[W W
Name (Print): YESHUPURI
Title: PROJECT MANAGER
Date: 11/26/2024

opus
COUNTY OF RIVERSIDE’S

DEPARTMENTOF HOUSING ANDWORKFORCE SOLUTIONS
SECTION 3 PROGRAM

OVERVIEW AND REQUIREMENTS
The work to be performed under this contract is subject to the requirements of section 3 of the Housing and Urban Development Act of 1968, as amended, 12 U.S.C. 1701u (section 3). The purpose of section 3 is to ensure that employment 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 or residents of the community in which Federal assistance is spent.

APPLICABILITY
o Recipients and sub-recipients of Section 3 covered assistance, including contractors and subcontractors that perform work on Section 3 covered contracts/projects, are required to comply with Section 3 requirements.
0 Section 3 requirements do not apply to contractors who furnish only materials or supplies and do not undertake the installation of the materials or supplies.

SE T ON 3 GOALS
Contracts over $200,000 trigger Section 3. When triggered, best efforts must be made to extend Section 3 opportunities to verified Section 3 residents and business concerns to meet these safe harbor benchmarks:

1. Twenty-five percent (25%) of the total hours on a Section 3 project must be worked by Section 3 workers; and

2.Five percent (5%) of the total hours on a Section 3 project must be worked by Targeted Section 3 workers.

Contractors and subcontractors must make their best efforts to provide employment and training opportunities to Section 3 Workers and document such efforts to realize the Section 3 benchmarks.

Contractors and subcontractors will be considered to have complied with Section 3, if they meet or exceed the Section 3 benchmarks, or certify that they have followed the prioritization of efforts in 24 CFR75.9 and 24 CFR75.19.

E SE 8
Section 3 ProiectImplementation Plan
I. Submittal of Section 3 Implementation Plan:

Bidder/Proposer ANDits first-tier subcontractors are to submit a completed Section 3 Implementation Plan in bid. A ”non-responsive” determination may be made due to non-submittal.

II. Submittal of Supporting Documentation:

Bidder/Proposer AND its first-tier subcontractors whose Utilization Plans indicate no subcontract awards to certified Section 3 Business Concerns will be required to submit, upon request by HWSsupporting documentation for review and approval verifying efforts to outreach to and award subcontracts to Section 3 Business Concerns. A “non-responsive” determination shall be made due to a lack of documented outreach to Section 3 Business Concerns by the Bidder/Proposer.

Housing &Workforce Solutions 3403 Tenth St. Suite300 RiversideCA92501 951 -955-1 161 Rivcoeda.org/Departments/Housing/Community Development BlockGrant/Community Development Section 3 Program

NOUUNG AND HWSwcuvoatt $OLUNOHS
Bidder/Proposer may be deemed “non-responsive” if Implementation Plan indicates the following: (1) Existing employees do not meet the definition of a Section 3 Worker; and (2) Bidder/Proposer does not agree to make a documented good faith effort to hire Section 3 Workers (when there is a need to hire new employees).

SECTION 3 REQUIREMENTSFOR AWARDEES
SecticniQQDILamLanguage
AllSection 3 covered contracts and subcontracts shall include the following language:

I. The work to be performed under this contract is subject to the requirements of Section 3 of the Housing and Urban Development Act of 1968, as amended, 12 USC.1701u (Section 3). The purpose of Section 3 is to ensure that employment 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.

II. The parties to this contract agree to comply with HUD's regulations in 24 CFR part 75, which implement Section 3. As evidenced by their execution of this contract, the parties to this contract certify that they are under no contractual or other impediment that would prevent them from complying with the part 75 regulations.

III. The contractor agrees to send to each labor organization or representative of workers with which the contractor has a collective bargaining agreement or other understanding, if any, a notice advising the labor organization or workers' representative of the contractor's commitments under this Section 3 Clause and will post copies of the notice in conspicuous places at the work site where both employees and applicants for training and employment positions can see the notice. The notice shall describe the Section 3 preference, shall set forth minimum number and job titles subject to hire, availability of apprenticeship and training positions, the qualifications for each; the name and location of the person(s) taking applications for each of the positions; and the anticipated date the work shall begin.

IV. The contractor agrees to include this Section 3 Clause in every subcontract subject to compliance with regulations in 24 CFR part 75, and agrees to take appropriate actions, as provided in an applicable provision of the subcontract or in this Section 3 Clause, upon a finding that the subcontractor is in violation of the regulations in 24 CFR part 75. The contractor will not subcontract with any subcontractor where the contractor has notice or knowledge that the subcontractor has been found in violation of the regulations in 24 CFRpart 75.

V. The contractor will certify that any vacant employment positions, including training positions, that are filled (1) after the contractor is selected but before the contract is executed, and (2) with persons other than those to whom the regulations of 24 CFR part 75 require employment opportunities to be directed, were not filled to circumvent the contractor‘s obligations under 24 CFR part 75.

VI. Noncompliance with HUD's regulations in 24 CFRpart 75 may result in sanctions, termination of this contract for default, and debarment or suspension from future HUD assisted contracts.

VII.With respect to work performed in connection with Section 3 covered Indian housing assistance, section 7(b) of the Indian Self-Determination and Education Assistance Act (25 USC 450e) also applies to the work to be performed under this contract. Section 7(b) requires that to the greatest extent feasible (i) preference Housing&Workforce Solutions 3403 Tenth St. Suite 300 RiversideCA92501 951 -955-1 161 Rivcoeda.org/Departments/Housing/Community Development BlockGrant/Community Development Section 3 Program

- KOUHNG AND
. WGIR’OR(I
. sownom
' ru .4 .r r- -,.n - l
' .
and opportunities for training and employment shall be given to Indians and (ii) preference in the award of contracts and subcontracts shall be given to Indian organizations and Indian-owned Economic Enterprises.

Parties to this contract that are subject to the provisions of Section 3 and section 7(b) agree to comply with Section 3 to the maximum extent feasible, but not in derogation of compliance with section 7(b).

Section??uatterm LaborHours Report
Contractors and subcontractors are to make good faith assessments of employees’ labor hours on Section 3 covered contracts/projects for the following:
0 Total labor hours worked by all employees (excludes the total labor hours from professional services) 0 Total labor hours worked by Section 3 Workers
0 Total labor hours worked byTargeted Section 3 Workers Contractors and subcontractors are to report their good faith assessments of labor hours on the Section 3 Quarterly Labor Hours Report. Exception: Contractors and subcontractors whose contracts are subject to prevailing wage laws are to submit their weekly certified payroll reports, instead of the Section 3 Quarterly Labor Hours Report.
li ' r'
Section 3 compliance monitoring will be performed by HWS Section 3/EOC Unit. Contractors and subcontractors who submitted approved Utilization Plans shall maintain their approved percentages of Section 3 participation throughout the term of the contract/project. Contractors and/or subcontractors whose Utilization Plans projected no new hires must, to the greatest extent feasible, hire certified Section 3 Workers or Targeted Section 3 Workers, when the need to hire occurs.
‘ FREQUENCY OF.MONITORING 2 ContractDescription
Constructlon andMaintenance (subject to prevailing
Non- -Construction(<3 months’ performance)
Non-Construction( >3 months’ performance)
Noncompliance with HUD’s regulations in 24CFR75 may result in sanctions, termination of contract for default, and debarment or suspension from future HUD-assisted contracts.

Housing&Workforce Solutions 3403 Tenth St. Suite 300 RiversideCA92501 951 -955-1161 Rivcoeda.org/Departments/Housing/Community Development BlockGrant/Community Development Section 3 Program

O HW351%‘1‘3'313" EXHIBIT 8-6
:I ‘ ~ ‘10.fo1?“'3 .
—— Required Bid Form
Section 3 Project Implementation Plan
general SubminalInstructions:
8' r AND its first-tier subcontractors are to submit a completed Section 3 Implementation Plan(s) in bid. If not, A “non-responsive” determination may be made clue to non-submittal.

Project Information:

Project Name: John H.FurbeeAquaticCenter Bid/Solicitation #: 2013 lmorovements
[jContractor E] Subcontractor Information
Company Name: USACONSTRUCTIONLLC Address: 1595 PEACHTREEPKWYsurrE 204-344 CUMMING,GA.30041
Authorized Representative: YESHUPURI Title: PROJECT MANAGER Ph°“e‘ 877-248-1872 Email: [email protected]
Proposed Dollar Value of Contract or Subcontract:

List if ELBE,DBE,DVBE,MBE,SB, SLBEor WBE(or “N/A” if non-applicable): N/A Section 3 Requirements
Employment and Training
To the greatest extent feasible, employment and training opportunities arising in connection with Section 3 projects shall be provided to Section 3 workers within the County of Riverside. Where feasible, priority for employment and training will be given to:

1. Section 3 workers residing within the service area or neighborhood of the project, and

2. Participants in YouthBuild programs.

Contracting
To the greatest extent feasible, work contracts awarded in connection with Section 3 projects shall be provided to business concerns that provide economic opportunities to Section 3 workers residing within the County of Riverside. Where feasible, priority for contracting opportunities will be given to:

1. Section 3 business concerns that provide economic opportunities to Section 3 workers residing within the service area or the neighborhood of the project, and

2. YouthBuild programs.

Compliance Benchmarks
To demonstrate compliance with Section 3, contractors are required to follow the prioritization of effort
outlined above and meet or exceed the following safe harbor benchmarks:

1. 25 percent or more of the total number of labor hours worked by all workers on the project shall be performed by Section 3 workers, and

2. 5 percent or more of the total number of labor hours worked by all workers on the project shall be performed by Targeted Section 3 workers.

Definitions

HOUSING um HWSwcruoau
SOLUTIONS Section 3 Project Implementation Plan E_XH_ IBIT B-6 (Continued)
0 Section 3 worker: Any worker who currently fits or when hired within the past three years fits at least one of the following categories, as documented:
(1) The worker’s income for the previous or annualized calendar year is below the income limit established by HUD(see Income Limits table below). (2) The worker is employed by a Section 3 business concern. (3) The worker is a YouthBuild participant.
0 Targeted Section 3 worker: ASection 3 worker who is:
(1) Aworker employed by a Section 3 business concern; or (2) A worker who currently fits or when hired within the past three years fit at least one of the following categories, as documented:
(i) Livingwithin the service area or the neighborhood of the project; or (ii)AYouthBuild participant.
- Service area or the neighborhood of the project: An area within one mile of the Section 3 project or, if fewer than 5,000 people live within one mile of a Section 3 project, within a circle centered on the Section 3 project that is sufficient to encompass a population of 5,000 people according to the most recent US Census.

HUDIncome Limits
The table below shows the income limits set by HUD that determine eligibility for certain programs, including Section 3. HUD develops income limits based on Area Median Income (AMI)estimates and Fair Market Rent (FMR) area definitions. For more information, please see the HUD Income Limits Documentation System online at muttduser.gov[po?alLda.tasetsLiLht[tLL Riverside County, CA MSA
2023 2022 2021
Low-income

1. Does your business qualify as a Section 3 business concern? YESDNO\/
Ifyou answered YES, complete the attached Section 3 Business Concern Form (Pg. 6), and submit with this Plan.

A Section 3 business concern is a business that satisfies at least one of the following criteria, as documented within the last six-month period:
a. The business is at least 51% owned and controlled by low- or very low-income persons; b. The business is at least 51% owned and controlled by residents who currently live in public housing or Section 8-assisted housing; or

0. Over 75% of the labor hours performed for the business over the prior three-month period were performed by Section 3 workers — i.e., workers who currently are, or when hired within the past three years were:
(i)low-income persons or
(ii)YouthBuild participants.

HWS?§5‘;.‘~.’?§:E*“
Section 3 Project Implementation Plan

2. Do you have current employees whose annual income is below the income limit? See HUD Income Limits table.

YES NO \/
If "YES,”prior to contract execution, the names of qualifying employees shall be provide EXHIBIT 8-6 gContinued! 3. Do you plan to hire new employees to perform on or support the contract, ifzt/_-_...c contract? YES NO
if "YES,”at a minimum, you must contact the HWS Section 3 Unit at RivCoCDBGQrivcotorg to obtain examples of qualitative efforts to create employment

4. Do you agree that when there is a need to hire new employees, a documented ood faith effort shall be made to hire Section 3 Workers? kl;YES NO

5. How many workers are needed to complete the project? Please list the job classifications and number of workers your company will need to complete the contract work. Attach additional sheets if necessary.

(9 HWS?§€‘:7-S§:ET“
Section 3 Project Implementation Plan
Job classrfication Total Number of
(Office/Clerical, Manager, estimated
k
, Estimated
Engineer, Technician, number of war ers m number of
Supervisor/Foreman, Electrician, workers current additional Plumber, Laborer, Trainee, needed workforce workers needed Security, etc.)

NON-IDENTIFIEDATTHISTIME
EXHIBIT B-6
1Continued|

8. Will you be using subcontractors on this project? \(YESNO If “Yes”, Bidder/Proposer is required, to the greatest extent feasible, to outreach to and award subcontracts to Section 3 Business Concerns. WMLLS CQNTAQTltLE HWS SJiClIQN A3ZEQQ, UNIT AT BNQDQDMUMMLOLQOJQ
httpszllrivcoedacrg/Departments [Houmg/ Community-Develm Blocerant/QommunigDeveImeent ISection-B—Program TO OBTAIN "ExamplQLQLE?Q?SJQ Create Eanlovmentand Contracti‘ngQonrtunities.”
Section 3 Business Concerns must complete the Section 3 Business Concern Form and ms:
3 certified by HWS. For ELBE, SLBE, SB, DBE, MBE,WBE or DVBEfirms, please attach a copy

raw3
Section 3 Project Implementation Plan
of their certification(s). List ALLproposed subcontractors (including subconsultants) for this project on the table below.

Scope of work (trade or Section 3, Estimated contract . . . busmess . servrce description) value Yes I No
Business name

4. Do you commit to engage in good faith efforts to meet or exceed the Section 3 Benchmarks? [3455[:1 No
Such qualitative efforts may include, but are not limited to:
0 A lic t — EXHIBIT 8-6
I Engage in outreach efforts to generate job applicants who are (M1199) workers, including posting job openings at the job site, HUD OpportunityPortal, social media pages, and other platforms. .Clearly indicate Section 3 eligibility on all job postings, notifications, and advertisements with the following statement: “This is a Section 3 eligible job opportunity. We encourage applications from individuals that are low-income, live in public housing, and/or receive a Section 8 voucher.”
- Include the Section 3 Worker Self-Certification form in alljob postings.

Momma AND HW8wcuvmu
$OLUNONS Section 3 Project Implementation Plan
One-Step / YouthBuildOytreach - Engage in outreach or referrals with local YouthBuild programs, or other community organizations to assist with training and recruiting Section 3 and Targeted Section 3 workers.

Training and Apprenticeship — Provide training or apprenticeship opportunities.

JQinaiLs — Hold one or more job fairs or sponsor a job informational meeting in the project area.
?usiuessgoncemgutmach:

I Engage in outreach efforts to identify and secure bids from Section 3 businesses by advertising notices of contracting opportunities and related information in local community papers.

I Provide written notice to all known Section 3 business concerns, with sufficient time for interested businesses to respond to bid invitations.
l"Send notice of contracting opportunities to local community development organizations, business development organizations, or minority contracting associations.

I State clearly in all notices that the contracting opportunity is Section 3 eligible and include a copy of the Section 3 Business Concern Certification form.

Competition Assistance — Provide technical assistance to help Section 3 business concerns understand and bid on contracts.

QQLELQCLSELg- Size, split, or divide contracts into smaller jobs to facilitate participation by Section 3 business concerns, particularly where economies of scale or efficiency of delivery are not factors. [2 CFR 200.321 (b)(3)]
Wm! - Provide bonding assistance, guaranties, or other efforts to support viable bids from Section 3 business concerns.

Business Registries — Promote the use of business registries designed to create opportunities for disadvantaged and small businesses.

Additional activities and efforts aimed at increasing economic opportunities for Section 3 workers and
businesses may include, but are not limited to:

EmploymemAssistance - Provide technical assistance to help Section 3 workers compete for jobs, or connect them with assistance in seeking employment, including resume assistance, interview preparation, coaching, orjob placement services.

Werk Readiness and Retentien — Provide or refer Section 3 workers to services supporting work readiness and retention, such as interview clothing, licensing or testing fees, transportation, or childcare.

EinancialLitereey— Help Section 3 workers obtain financial literacy training or coaching.

Edeeetien Assistance — Assist Section 3 workers to apply for or attend community college, four-year educational institution, or vocationaUtechnical training.

5. Do you commit to prioritize your efforts in hiring, training, and contracting as equ‘ ed by the Section 3 regulations and outlined on page 1 of this Plan? {3/ was |:| NO

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SECTION 3 BUSINESS CONCERN FORM
Please complete this form to determine if your business may qualify as a Section 3 Business. Businesses that qualify will be contacted by HWS Section 3 Coordinator to complete a Section 3 Business Application and asked to provide additional documentation to verifytheir status as a Section 3 Business.

What is S?ztion 3?
Section 3 is a provision of the Housing and Urban Development Act of 1968 (24 CFR Part 75) that requires recipients of certain HUD financial assistance, to the greatest extent possible, to provide job training, employment, and contract opportunities for low~ or very low~income residents in connection with projects and activities in their neighborhood.
'
Abmgcmmeqim?titmastered the tolloyving criteria:

A. It is at least 51% owned and controlled by low» or very low-income persons; B. Over 75% of the labor hours performed for the business over the past three-month period were performed by workers who met at least one of the criteria below; or C. It is at least 51% owned and controlled by current public housing residents or residents who currently live in Section 8-assisted housing.

Workers must meet one Qfthe tollewingcdte??ora businessto qualify as,Se,c,tionSAodeLitemJiabove; - Reside within one mile of the Section 3 project (or, if fewer than 5,000 people live within one mile of the Section 3 project, within a circle centered on the Section 3 project that is sufficient to encompass a population of 5,000 people according to the most recent U.S. Census); . Be a HUD YouthBuild participant; or 0 Income forthe previous or annualized calendar year is below 80% of the current area median income for the area in which the worker resides. (Use the worker’s annual gross income based on AMIfor a single-person household.) HUD income limits can be found at bnoszliw?vvwenuduser.goy/portal/datasets/il.html.)
ICompany Name: USA CONSTRUCTIONLLC
lContact Person: YESHUPURI
Mddress: 1595 PEACHTREE PKWYSUITE204—344
City: CUMMING State: GA Zip: 30041
Phone: 8772484872 Email: [email protected]
jhavereviewed the above information and my business MAY QUALIFYas a Section 3 Business.

Please contact me about completing an application and certification. 11/26/2024
Date

(9st
EXHIBIT B-7
Required Bid Form
Certification for Section 3 Compliance
(Requlte?itLBldlieRaniallSubcontraQthS)
Project Information:

Project Name: John H, FurbeeAquaticCenter ImprovemenB Bid/Solicitation #2 2013 Contractor/Subcontractor Information:

C0mpany Name: USACONSTRUCTIONLLC Address: 1595 PEACHTREE PKWYSUITE204-344 CUMMING,GA,30041
Authorized Representative: YESHU PURI Title: PROJECT MANAGER Phone: 877-248-1872 Email: [email protected]
”I.

By completing and signing this form, I agree to comply with all applicable requirements of Section 3 of the Housing and Urban Development Act of 1968 (24 CFR Part 75) and HWS’ Section 3 requirements
INITIALHERE ___YP
i understand that “to the greatest extent feasible,” work contracts awarded in connection with Section 3 projects shall be provided to business concerns that provide economic opportunities to Section 3 workers following the prioritization efforts outlined in Section 3 regulation.

INITIALHEREL
I understand that in the event any new employment opportunities are created as a result of this CDBG-funded project then “to the greatest extent feasible” employment and training opportunities shall be provided to Section 3 workers following the prioritization efforts outlined in Section 3 regulation.

INITIALHERFL
I understand the safe harbor benchmarks for Section 3 compliance and that ifthese benchmarks are not met the contractor will be required to report on the qualitative efforts made to meet the INITIALHERE VP—
I understand that I will be required to make good faith assessments of employee labor hours on Section 3 covered projects and submit quarterly and final Section 3 reports and supporting

INITIALHERE YP
I understand that any and all sub-contracts and sub-tier agreements resulting from this CDBGfunded project are also subject to Section 3 compliance and that it will be the General/Prime Contractor’s responsibility to ensure compliance from all subcontractors.

INITIALHERE
IV.
benchmarks.

V.
documentation.

VI.

VII. I understand that noncompliance with HUD’s regulations in 24 CFR Part 75 may result in sanctions, termination of contract for default, and debarment or suspension from future HUDassisted contracts.

INITIALHEREL