Agenda packet — Orange City Council, November 14, 2023 (part 5 of 6)

*b. USGS 7.5' Quad: Date: T R 1/4 of 1/4 of Sec B.M.
d. UTM: mE/ mN
e. Other Locational Data:

P1. Other Identifier:
*P2. Location:
c. Address: 208 Zip: 92866
(Give more than one for large and/or linear resources)
(Describe resource and its major elements. Include design, materials, condition, alterations, size, setting, and boudnaries. Continues on Pg.3.) ; ; ;
Zone '
and (P2b and P2c or P2d. Attach a location map as necessary.) - E CHAPMAN City: Orange
*P3a. Description:
*P3b. Resource Attributes:
(List attributes and codes)
Reconnaissance
(Describe)
(Cite survey report and other sources, or enter "none.") *Attachments: Continuation Sheet(s) Building, Structure, and Object Record (Name, affiliation, and address)
(View, date, accession #)
*P6. Date Constructed/ Age and Source:

D. Gest, P. LaValley, D.

Matsumoto
*P7. Owner and Address:
*P8: Recorded by:
*P10. Survey Type:
*P11. Report Citation:

DPR 523A (1/95) *Required Information
*Resource Name or #: CHAPMAN_E_208__APN_390-382-02
(Assigned by Recorder)
*P9. Date Recorded:

May, 2005
1905 c
Primary # 30-162514
HRI # 096894
Date:

NRHP Status Code 1D
Trinomial ORA
Other Listings:

Review Code: Reviewer:
(HP6)--Commercial building
*a. County: Orange
P5b. Description of Photo:

Unrestricted
3 *P4. Resources Present: Building Structure Object Site Element of District District Other (Isolates, etc.) Not for Publication
District Record
Photograph Record
Location Map
Artifact Record
Archaeological Record
NONE
Linear Feature Record Milling Station Record Rock Art Record Other (List):

Materials: Masonry - Other than brick & stucco or plaster AVE
Chattel Architecture
13417 Ventura Blvd.

Sherman Oaks, CA 91423
Historic Prehistoric Both

Brick commercial with wood truss and basement.
,#
2005
Orange County Assessor Records (2005). Chattel Architecture (2005) Historic Resources Survey. AEGIS (1991) Historic Building Inventory Update. Heritage Orange County, Inc. (1982) Orange Historic Survey. 820
B1. Historic Name: Unknown
B3. Original Use: COM B4. Present Use: COM
*B5. Architectural Style: Commercial
*B6. Construction History: (Construction date, atlerations, and date of alterations) Date of Construction: 1905 *B9. Architect or Builder: Unknown
Period of Significance: Old Towne: Early Settlement (c. 1870 - 1920) *B10. Significance: Property Type: Commercial
(Discuss importance in terms of historical or architectural context as defined by theme, period, and geographic scope. Also address integrity. Continues on Pg.4.) *B8. Related Features:
*B7. Moved? Date: Original Location:

Theme: Architecture Area: City of Orange
Structural Integrity: Good Condition - Medium level of alteration. (List attributes and codes)
*Date of Evaluation: September, 2005
B11. Additional Resource Attributes:
(This space reserved for official comments.)
*B14. Evaluator: Robert Chattel
B13. Remarks:

State of California - The Resources Agency

DEPARTMENT OF PARKS AND RECREATION

BUILDING, STRUCTURE, AND OBJECT RECORD
*B12. References:
*NRHP Status Code 1D
Original design concealed by reversible alteration. Altered as of 2005: Windows and Applied stucco.

Primary # 30-162514
HRI # 096894
c
No Yes Unknown

Page 2 of 3 ends

(Assigned by Recorder)
Historic Prehistoric Both
B2. Common Name:

Applicable Criteria: AC
Orange Daily News. Sanborn Maps (1909, 1922, 1950).
(Sketch Map with North arrow required.)
DPR 523B (1/95) *Required Information
Opportunities: Alterations are reversible.

Status change since 1991 Survey: None.

Site Integrity:
(Continues on Pg.3.)
821
State of California - The Resources Agency

DEPARTMENT OF PARKS AND RECREATION

CONTINUATION SHEET
Description of Photo:

Primary # 30-162514
HRI # 096894
Trinomial ORA
Recorded by:

Date Recorded: May, 2005
P3a. Description (Continued from Pg.1):

DPR 523L (11/98) *Required Information
Continuation Update

Page 3 of 3 ends

B6. Construction History (Continued from Pg.2):

Lot Acre: 0.0678
Principal Building Sqft: 2000
Planning Zone: OTMU-15S # of Stories: 1
Years Surveyed: 1982, 1991, 2005
General Plan: OTMIX-15S
# of Units: 1
B13. Remarks (Continued from Pg.2):
1991
D. Gest, P. LaValley, D. Matsumoto
Chattel Architecture
13417 Ventura Blvd.

Sherman Oaks, CA 91423
*Resource Name or #: CHAPMAN_E_208__APN_390-382-02
(Assigned by Recorder)
Listed in National Register: 1982, 1997
# of Buildings: 1

822
823
Agenda Item
City Council
Item #: 3.9. 11/14/2023 File #: 23-0759
TO: Honorable Mayor and Members of the City Council
THRU: Tom Kisela, City Manager
FROM: Sean deMetropolis, Fire Chief

1. SUBJECT
Agreements with the California Department of Health Care Services and CalOptima for a one-time Intergovernmental Transfer.

2. SUMMARY
A request for City Council approval to participate in a one-time Intergovernmental Transfer for the twelve-month period ending December 31, 2022, to access additional Federal Medicaid dollars to support unreimbursed care.

3. RECOMMENDED ACTION

1. Approve agreements with the California Department of Health Care Services and CalOptima in the amount of $659,183, representing $549,319 in unreimbursed Medicare revenue plus a $109,863 administration fee, for a one-time Intergovernmental Transfer, and authorize the Mayor and City Clerk to execute on behalf of the City.

2. Authorize the transfer of $ 659,183 of reimbursable funds to the California Department of Health Care Services.

4. FISCAL IMPACT
Reimbursable funds of $659,183 will be advanced to obtain previously unreimbursed Medicaid revenue of approximately $549,319. Funds are available in the General Fund (100).

5. STRATEGIC PLAN GOALS
Goal 1: Provide for a Safe Community
b: Provide and maintain infrastructure necessary to ensure the safety of the public.

Goal 2: Be a Fiscally Healthy Community
a: Expend fiscal resources responsibly.

6. DISCUSSION AND BACKGROUND
An Intergovernmental Transfer (IGT) allows California’s Medi-Cal managed care plans to partner with local units of government to access additional federal Medicaid dollars and use them to support unreimbursed care and provide health care services. Since the City provides ambulance transport services and has unreimbursed Medicaid expenses, it became eligible to participate in the IGT program in Fiscal Year 2014-2015 (FY15). Currently, the University of California, Irvine (UCI), the City of Newport Beach, and the City of Orange are participants. The following is a breakdown of the net City of Orange Page 1 of 3 Printed on 11/9/2023
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Item #: 3.9. 11/14/2023 File #: 23-0759
of Newport Beach, and the City of Orange are participants. The following is a breakdown of the net revenue received to date:

Fiscal Year Net Revenue Received
2017 $ 140,398
2018 $ 333,657
2019 $ 472,145
2020 $ 478,483
2021 $ 501,481
2022 $ 244,011
2023 $828,965
Provisions of the IGT require the City to transfer an amount representing 50% of unreimbursed CalOptima patient charges (the IGT amount) to the California State Department of Health Services (DHCS). The City also remits an administrative fee equal to 20% of the IGT amount. DHCS uses the original IGT amount to access the Federal government’s highest allowable Medi-Cal reimbursement rate, enabling them to draw down additional Federal funds on behalf of the City. Upon reimbursement from the Federal government, Cal Optima reimburses the City the original IGT amount, the 20% administration fee, and 50% of the additional reimbursement revenue (the maximum allowed recovery amount under the program). The amount received is based on the rate range and the number of CalOptima providers.

While ultimate funding is not guaranteed, DHCS again reached out to the City to participate in the program for Calendar Year (CY) 22. The details of the City’s participation are as follows:

IGT Contribution from City $ 549,319
20% Admin Fee $ 109,864
Total IGT Transfer to DHCS for CY22
Program
$
659,183
Estimated unreimbursed IGT Revenue
available
$
1,098,638
Where of,
50% Additional Revenue goes to City,
and
$ 549,319
50% Remaining Revenue goes to
CalOptima
$ 549,319
Estimated amount City will receive
(Original contribution plus 50%
unreimbursed IGT Revenue available.)
$
1,208,502
Estimated Net Revenue $
439,455
On October 16, 2023, the City submitted a non-binding letter to DHCS confirming our interest in participating in the program. If the City intends to move forward, two agreements need to be City of Orange Page 2 of 3 Printed on 11/9/2023
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Item #: 3.9. 11/14/2023 File #: 23-0759
executed:
1) Intergovernmental Agreement regarding transfer of public funds between the City and DHCS; and
2) Health Plan-Provider Agreement between the City and CalOptima.

Approximate Timeframe for IGT participation:

October 2023: CalOptima advised DHCS the City will be participating in the IGT program at a funding level of $549,319.

November 2023: Agreements will be signed and submitted to DHCS for their review and approval.

January 2024: City will receive an invoice from DHCS for $549,319 representing estimated unreimbursed Medicaid expenses for the twelve months ending December 31, 2022 with a payment deadline of February 16, 2024.

After payment is received DHCS will send the additional revenue to CalOptima for disbursement.

CalOptima will distribute an estimated amount of $1,208,502 back to the City within the 30 days specified in the Provider Agreement, of which $439,455 is the estimated net revenue to the City.

Specifics of this IGT participation require additional monies received to be used for transport services. Allowable expenditures include salaries for transport personnel, related materials and supplies, and capital expenses. While there are no specific guidelines or obligations, the additional revenue received should be used within a year after receipt. There are no guarantees that future monies for reimbursement will be available; as such, this revenue should be viewed as one-time funding only. Although funding is not guaranteed, successful participation in each of the program years did net the City supplementary revenue, and staff recommends the City seek this additional reimbursement.

7. ATTACHMENTS
· Intergovernmental Agreement regarding transfer of public funds between the City of Orange and DHCS
· Provider Agreement between the City of Orange and CalOptima City of Orange Page 3 of 3 Printed on 11/9/2023
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Agenda Item
City Council
Item #: 3.9. 11/14/2023 File #: 23-0759
TO: Honorable Mayor and Members of the City Council
THRU: Tom Kisela, City Manager
FROM: Sean deMetropolis, Fire Chief

1. SUBJECT
Agreements with the California Department of Health Care Services and CalOptima for a one-time Intergovernmental Transfer.

3. RECOMMENDED ACTION

2. Authorize the transfer of $ 659,183 of reimbursable funds to the California Department of Health Care Services.

4. FISCAL IMPACT
Reimbursable funds of $659,183 will be advanced to obtain previously unreimbursed Medicaid revenue of approximately $549,319. Funds are available in the General Fund (100).

5. STRATEGIC PLAN GOALS
Goal 1: Provide for a Safe Community
b: Provide and maintain infrastructure necessary to ensure the safety of the public.

Goal 2: Be a Fiscally Healthy Community
a: Expend fiscal resources responsibly.

6. DISCUSSION AND BACKGROUND
An Intergovernmental Transfer (IGT) allows California’s Medi-Cal managed care plans to partner with local units of government to access additional federal Medicaid dollars and use them to support unreimbursed care and provide health care services. Since the City provides ambulance transport services and has unreimbursed Medicaid expenses, it became eligible to participate in the IGT program in Fiscal Year 2014-2015 (FY15). Currently, the University of California, Irvine (UCI), the City of Newport Beach, and the City of Orange are participants. The following is a breakdown of the net City of Orange Page 1 of 3 Printed on 11/9/2023
powered by Legistar™827
Item #: 3.9. 11/14/2023 File #: 23-0759
of Newport Beach, and the City of Orange are participants. The following is a breakdown of the net revenue received to date:

While ultimate funding is not guaranteed, DHCS again reached out to the City to participate in the program for Calendar Year (CY) 22. The details of the City’s participation are as follows:

IGT Contribution from City $ 549,319
20% Admin Fee $ 109,864
Total IGT Transfer to DHCS for CY22
Program
$
659,183
Estimated unreimbursed IGT Revenue
available
$
1,098,638
Where of,
50% Additional Revenue goes to City,
and
$ 549,319
50% Remaining Revenue goes to
CalOptima
$ 549,319
Estimated amount City will receive
(Original contribution plus 50%
unreimbursed IGT Revenue available.)
$
1,208,502
Estimated Net Revenue $
439,455
On October 16, 2023, the City submitted a non-binding letter to DHCS confirming our interest in participating in the program. If the City intends to move forward, two agreements need to be City of Orange Page 2 of 3 Printed on 11/9/2023
powered by Legistar™828
Item #: 3.9. 11/14/2023 File #: 23-0759
executed:
1) Intergovernmental Agreement regarding transfer of public funds between the City and DHCS; and
2) Health Plan-Provider Agreement between the City and CalOptima.

Approximate Timeframe for IGT participation:

October 2023: CalOptima advised DHCS the City will be participating in the IGT program at a funding level of $549,319.

November 2023: Agreements will be signed and submitted to DHCS for their review and approval.

After payment is received DHCS will send the additional revenue to CalOptima for disbursement.

CalOptima will distribute an estimated amount of $1,208,502 back to the City within the 30 days specified in the Provider Agreement, of which $439,455 is the estimated net revenue to the City.

INTERGOVERNMENTAL AGREEMENT REGARDING

TRANSFER OF PUBLIC FUNDS
This Agreement is entered into between the CALIFORNIA DEPARTMENT OF HEALTH CARE SERVICES (“DHCS”) and CITY OF ORANGE (“GOVERNMENTAL FUNDING ENTITY”) with respect to the matters set forth below.

The parties agree as follows:

AGREEMENT

1. Transfer of Public Funds

1.1 The GOVERNMENTAL FUNDING ENTITY agrees to make a transfer of funds to DHCS pursuant to sections 14164 and 14301.4 of the Welfare and Institutions Code.

The amount transferred shall be based on the sum of the applicable rate category per member per month (“PMPM”) contribution increments multiplied by member months, as reflected in Exhibit

1. The GOVERNMENTAL FUNDING ENTITY agrees to initially transfer amounts that are calculated using the Estimated Member Months in Exhibit 1, which will be reconciled to actual enrollment for the service period of January 1, 2022, through December 31, 2022 in accordance with Sub-Section 1.3 of this Agreement. The funds transferred shall be used as described in SubSection 2.2 of this Agreement. The funds shall be transferred in accordance with the terms and conditions, including schedule and amount, established by DHCS.

1.2 The GOVERNMENTAL FUNDING ENTITY shall certify that the funds transferred qualify for Federal Financial Participation pursuant to 42 C.F.R. part 433, subpart B, and are not derived from impermissible sources such as recycled Medicaid payments, Federal money excluded from use as State match, impermissible taxes, and non-bona fide provider830 CONTRACT # IGT-22-0011
2 Template Version - 10/2023
related donations. Impermissible sources do not include patient care or other revenue received from programs such as Medicare or Medicaid to the extent that the program revenue is not obligated to the State as the source of funding.

1.3 DHCS shall reconcile the “Estimated Member Months,” in Exhibit 1, to actual enrollment in HEALTH PLAN(S) for the service period of January 1, 2022, through December 31, 2022 using actual enrollment figures taken from DHCS records. Enrollment reconciliation will occur on an ongoing basis as updated enrollment figures become available.

Actual enrollment figures will be considered final two years after December 31, 2022. If reconciliation results in an increase to the total amount necessary to fund the nonfederal share of the payments described in Sub-Section 2.2, the GOVERNMENTAL FUNDING ENTITY agrees to transfer any additional funds necessary to cover the difference. If reconciliation results in a decrease to the total amount necessary to fund the nonfederal share of the payments described in Sub-Section 2.2, DHCS agrees to return the unexpended funds to the GOVERNMENTAL FUNDING ENTITY. If DHCS and the GOVERNMENTAL FUNDING ENTITY mutually agree, amounts due to or owed by the GOVERNMENTAL FUNDING ENTITY may be offset against future transfers.

2. Acceptance and Use of Transferred Funds

2.1 DHCS shall exercise its authority under section 14164 of the Welfare and Institutions Code to accept funds transferred by the GOVERNMENTAL FUNDING ENTITY pursuant to this Agreement as Intergovernmental Transfer (IGTs), to use for the purpose set forth in Sub-Section 2.2.

2.2 The funds transferred by the GOVERNMENTAL FUNDING ENTITY pursuant to Section 1 and Exhibit 1 of this Agreement shall be used to fund the non-federal share 831
CONTRACT # IGT-22-0011
3 Template Version - 10/2023
of Medi-Cal Managed Care actuarially sound capitation rates described in section 14301.4(b)(4) of the Welfare and Institutions Code as reflected in the contribution PMPM and rate categories reflected in Exhibit 1. The funds transferred shall be paid, together with the related Federal Financial Participation, by DHCS to HEALTH PLAN(S) as part of HEALTH PLAN(S)’ capitation rates for the service period of January 1, 2022, through December 31, 2022, in accordance with section 14301.4 of the Welfare and Institutions Code.

2.3 DHCS shall seek Federal Financial Participation for the capitation rates specified in Sub-Section 2.2 to the full extent permitted by federal law.

2.4 The parties acknowledge that DHCS will obtain any necessary approvals from the Centers for Medicare and Medicaid Services.

2.5 DHCS shall not direct HEALTH PLAN(S)’ expenditure of the payments received pursuant to Sub-Section 2.2.

3. Assessment Fee

3.1 DHCS shall exercise its authority under section 14301.4 of the Welfare and Institutions Code to assess a 20 percent fee related to the amounts transferred pursuant to Section 1 of this Agreement, except as provided in Sub-Section 3.2. GOVERNMENTAL FUNDING ENTITY agrees to pay the full amount of that assessment in addition to the funds transferred pursuant to Section 1 of this Agreement.

3.2 The 20-percent assessment fee shall not be applied to any portion of funds transferred pursuant to Section 1 that are exempt in accordance with sections 14301.4(d) or 14301.5(b)(4) of the Welfare and Institutions Code. DHCS shall have sole discretion to determine the amount of the funds transferred pursuant to Section 1 that will not be subject to a 832
CONTRACT # IGT-22-0011
4 Template Version - 10/2023
20 percent fee. DHCS has determined that $ 0.00 of the transfer amounts, as shown in the table below, will not be assessed a 20 percent fee, subject to Sub-Section 3.3.

3.3 The 20-percent assessment fee pursuant to this Agreement is nonrefundable and shall be wired to DHCS simultaneously with the transfer amounts made under Section 1 of this Agreement. If at the time of the reconciliation performed pursuant to SubSection 1.3 of this Agreement, there is a change in the amount transferred that is subject to the 20-percent assessment in accordance with Sub-Section 3.1, then a proportional adjustment to the assessment fee will be made.

4. Amendments

4.1 No amendment or modification to this Agreement shall be binding on either party unless made in writing and executed by both parties.

4.2 The parties shall negotiate in good faith to amend this Agreement as necessary and appropriate to implement the requirements set forth in Section 2 of this Agreement.

5. Notices. Any and all notices required, permitted, or desired to be given hereunder by one party to the other shall either be sent via secure email or submitted in writing to the other party personally or by United States First Class, Certified or Registered mail with postage prepaid, addressed to the other party at the address as set forth below:

To the GOVERNMENTAL FUNDING ENTITY:

Trang Nguyen, Finance Director
City of Orange
300 E. Chapman Ave.

Orange, CA 92866
[email protected]
833
CONTRACT # IGT-22-0011
5 Template Version - 10/2023
With copies to:

Katrin Bandhauer, Assistant Finance Director
City of Orange
300 E. Chapman Ave.

Orange, CA 92866
[email protected]
Michelle Kresan, Budget Manager
City of Orange
300 E. Chapman Ave.

Orange, CA 92866
[email protected]
Bryan Johnson, Emergency Manager Orange City Fire
City of Orange
300 E. Chapman Ave.

Orange, CA 92866
[email protected]
Nathalia Flores, Administrative Analyst
300 E. Chapman Ave.

Orange, CA 92866
[email protected]
To DHCS:

Vivian Beeck
California Department of Health Care Services
Capitated Rates Development Division
1501 Capitol Ave., MS 4413
Sacramento, CA 95814
[email protected]
Any required signature(s) on any documents must be in compliance with California Government Code section 16.5 and any other applicable state or federal regulations.

6. Other Provisions

6.1 This Agreement contains the entire Agreement between the parties with respect to the Medi-Cal payments described in Sub-Section 2.2 of this Agreement that are funded 834
CONTRACT # IGT-22-0011
6 Template Version - 10/2023
by the GOVERNMENTAL FUNDING ENTITY, and supersedes any previous or contemporaneous oral or written proposals, statements, discussions, negotiations or other agreements between the GOVERNMENTAL FUNDING ENTITY and DHCS relating to the subject matter of this Agreement. This Agreement is not, however, intended to be the sole agreement between the parties on matters relating to the funding and administration of the MediCal program. This Agreement shall not modify the terms of any other agreement, existing or entered into in the future, between the parties.

6.2 The non-enforcement or other waiver of any provision of this Agreement shall not be construed as a continuing waiver or as a waiver of any other provision of this Agreement.

6.3 Sections 2 and 3 of this Agreement shall survive the expiration or termination of this Agreement.

6.4 Nothing in this Agreement is intended to confer any rights or remedies on any third party, including, without limitation, any provider(s) or groups of providers, or any right to medical services for any individual(s) or groups of individuals. Accordingly, there shall be no third party beneficiary of this Agreement.

6.5 Time is of the essence in this Agreement.

6.6 Each party hereby represents that the person(s) executing this Agreement on its behalf is duly authorized to do so.

7. State Authority. Except as expressly provided herein, nothing in this Agreement shall be construed to limit, restrict, or modify the DHCS’ powers, authorities, and duties under Federal and State law and regulations.

8. Approval. This Agreement is of no force and effect until signed by the parties. 835
CONTRACT # IGT-22-0011
7 Template Version - 10/2023

9. Term. This Agreement shall be effective as of January 1, 2022, and shall expire as of June 30, 2025 unless terminated earlier by mutual agreement of the parties.

SIGNATURES
IN WITNESS WHEREOF, the parties hereto have executed this Agreement, on the date of the last signature below.

THE CITY OF ORANGE:

By: Date: _______________________
Daniel R. Slater, Mayor
ATTEST:
______________________________
Pamela Coleman, City Clerk
APPROVED AS TO FORM:
______________________________
Nathalie Adourian, Sr. Asst. City Attorney
THE STATE OF CALIFORNIA, DEPARTMENT OF HEALTH CARE SERVICES:

By: Date: _______________________
David Bishop, Acting Division Chief, Capitated Rates Development Division √
836
CONTRACT # IGT-22-0011
8 Template Version - 10/2023
Exhibit 1
* Note that Estimated Member Months are subject to variation, and the actual total Contribution (Non-Federal Share) may differ from the amount listed here. * FMAP is a weighted blend of multiple FMAPs.

Health Plan Funding Entity County Service Period Participation % CalOptima City of Orange Orange 1/2022 - 12/2022 1.10%
Category of Aid SIS/UIS Contribution
PMPM
Estimated Member
Months*
Estimated
Contribution (NonFederal Share)
Child SIS $ 0.03 3,520,004 $ 105,600
Child UIS $ 0.05 106,221 $ 5,311
Adult SIS $ 0.05 1,312,319 $ 65,616
Adult UIS $ 0.23 195,134 $ 44,881
ACA Optional Expansion SIS $ 0.02 3,556,781 $ 71,136
ACA Optional Expansion UIS $ 0.19 294,319 $ 55,921
SPD SIS $ 0.17 435,057 $ 73,960
SPD UIS $ 0.52 60,061 $ 31,232
SPD/Full-Dual SIS $ 0.05 75,272 $ 3,764
SPD/Full-Dual UIS $ 0.15 483 $ 72
LTC (non-dual) SIS $ 1.67 11,376 $ 18,998
LTC (non-dual) UIS $ 3.53 2,916 $ 10,293
LTC/Full-Dual SIS $ - - $ -
LTC/Full-Dual UIS $ 2.11 87 $ 184
Whole Child Model SIS $ 0.43 137,953 $ 59,320
Whole Child Model UIS $ 0.84 3,608 $ 3,031
Est. FE Total 9,711,591 $ 549,319
837

HEALTH PLAN-PROVIDER AGREEMENT

INTERGOVERNMENTAL TRANSFER RATE RANGE PROGRAM AGREEMENT This Agreement is made this 1
st day of November, 2023, by and CALOPTIMA HEALTH,
a California public agency hereinafter referred to as "PLAN", and the City of Orange, a California municipal corporation operating through its Fire Department, hereinafter referred to as "PROVIDER".

RECITALS:

WHEREAS, PLAN is a public agency formed pursuant to California Welfare and Institutions Code Section 14087.54 and Orange County Ordinance No. 3896 as amended by Ordinance Nos. 00-8, 05-008, 06-012, 09-001, 11-013, 14-002 and 16-001, and is party to a MediCal managed care contract with DHCS, entered into pursuant to Welfare and Institutions Code Section 14087.3, under which PLAN arranges and pays for the provision of covered Medi-Cal health care services to eligible Medi-Cal members residing in Orange County; WHEREAS, the City of Orange is an emergency transport provider who provides transportation on a non-contract basis, including to CalOptima Health Medi-Cal Members; WHEREAS, PLAN and PROVIDER desire to enter into this Agreement to provide for Medi-Cal managed care capitation rate increases to PLAN as a result of intergovernmental transfers (“IGTs”) from the City of Orange (GOVERNMENTAL FUNDING ENTITY) to the California Department of Health Care Services (“State DHCS”) to maintain the availability of Medi-Cal health care services to Medi-Cal beneficiaries.

NOW, THEREFORE, PLAN and PROVIDER hereby agree as follows:

IGT MEDI-CAL MANAGED CARE CAPITATION RATE RANGE INCREASES

1. IGT Capitation Rate Range Increases to PLAN
A. Payment
Should PLAN receive any Medi-Cal managed care capitation rate increases from State DHCS where the nonfederal share is funded by the GOVERNMENTAL FUNDING ENTITY specifically pursuant to the provisions of the Intergovernmental Agreement Regarding Transfer of Public Funds, #IGT-22-0011, (“Intergovernmental Agreement”) effective for the period of and January 1, 2022 through December 31, 2022 for Intergovernmental Transfer MediCal Managed Care Rate Range Increases (“IGT MMCRRIs”), PLAN shall pay to PROVIDER the amount of the IGT MMCRRIsreceived from State DHCS, in accordance with paragraph 1.E below regarding the form and timing of Local Medi-Cal Managed Care Rate Range (“LMMCRR”) IGT Payments. LMMCRR IGT Payments paid to PROVIDER shall not replace or supplant any other amounts paid or payable to PROVIDER by PLAN.
838
2 B. Health Plan Retention
(1) PLAN shall retain two percent (2.0%) of the net proceeds (after reimbursing PROVIDER’s initial contribution for the transaction), from the Medi-Cal managed care rate increases paid to PLAN by DHCS as described in this agreement prior to disbursing LMMCRR IGT Payments to PROVIDER. The retained funds will be expended by PLAN for Covered Services under PLAN’s contract with DHCS for Medi-Cal, in either the State fiscal year received, or in subsequent State fiscal years, as appropriated by the CalOptima Health Board of Directors.

Each provider’s share of the retained funds shall be calculated based on the provider’s proportionate share of the LMMCRR IGT payment made by PLAN in Orange County.

The amounts referenced in this agreement are estimates. The parties understand and agree that the total amount of the Medi-Cal managed care capitation rate increases paid by DHCS to PLAN may fluctuate as a result of enrollment. The parties further understand and agree that any such fluctuations will likewise affect the amount to be retained by the PLAN and the amount payable to PROVIDER by the same percentage as the variance in the capitation rate increases, if any.
(2) PLAN will not retain any other portion of the IGT MMCRRIs received from the State DHCS other than those mentioned above.

C. Conditions for Receiving Local Medi-Cal Managed Care Rate Range IGT Payments
As a condition for receiving LMMCRR IGT Payments, PROVIDER shall, as of the date the particular LMMCRR IGT Payment is due:
(1) continue to provide emergency transport services to PLAN Members promptly and in a manner which ensures access to care consistent with PROVIDER’s regular business practices for providing such services; and
(2) not discriminate against PLAN Members or in any way impose limitations on the acceptance of PLAN Members for care or treatment that are not imposed on other patients of PROVIDER.

D. Schedule and Notice of Transfer of Non-Federal Funds (1) PROVIDER shall provide PLAN with a copy of the schedule regarding the transfer of funds to State DHCS referred to in the Intergovernmental Transfer Agreement within fifteen (15) calendar days of establishing such schedule with State DHCS. Additionally, PROVIDER shall notify PLAN, in writing, no less than seven (7) calendar days prior to any changes to an existing schedule, including but not limited to, changes to the amounts specified therein.
(2) PROVIDER shall provide PLAN with written notice of the amount and date of the transfer within seven (7) calendar days after funds have been transferred to State DHCS for use as the nonfederal share of any IGT MMCRRIs.
839
3 E. Form and Timing of Payments
PLAN agrees to pay LMMCRR IGT Payments to PROVIDER in the following form and according to the following schedule:
(1) PLAN agrees to pay the LMMCRR IGT Payments to PROVIDER using the same mechanism through which compensation and payments are normally paid to PROVIDER (e.g., electronic transfer).
(2) PLAN will pay the LMMCRR IGT Payments to PROVIDER no later than thirty (30) calendar days after receipt of the IGT MMCRRIs from State DHCS.

F. Consideration
(1) As consideration for the LMMCRR IGT Payments, PROVIDER shall use the LMMCRR IGT Payments for the following purposes and shall treat the LMMCRR IGT Payments in the following manner:
(a) The LMMCRR IGT Payments shall represent compensation for emergency ambulance services rendered to Medi-Cal PLAN members by PROVIDER between January 1, 2022, and December 31, 2022, and shall be used by PROVIDER solely to fund the costs that exceed the fee-for-service rates paid by Medi-Cal PLAN for covered services provided to Medi-Cal PLAN Members during that period.
(b) To the extent that total payments received by PROVIDER for any State fiscal year under this Agreement exceed the cost of Covered Services provided to Medi-Cal PLAN members by PROVIDER during that fiscal year, any remaining LMMCRR IGT Payment amounts shall constitute an overpayment, and shall by returned to Medi-Cal PLAN pursuant to the provisions of Section 1.K., below
(2) Both parties agree that none of these funds, either from the GOVERNMENTAL FUNDING ENTITY or federal matching funds will be recycled back to the GOVERNMENTAL FUNDING ENTITY’S general fund, the State, or any other intermediary organization. Payments made by the health plan to providers under the terms of this Agreement constitute patient care revenues.

G. PLAN’s Oversight Responsibilities
PLAN’s oversight responsibilities regarding PROVIDER’s use of the LMMCRR IGT Payments shall be limited as described in this paragraph. PLAN shall request, within thirty (30) calendar days after the end of each State fiscal year in which LMMCRR IGT Payments were transferred to PROVIDER, a written confirmation that states whether and how PROVIDER complied with the provisions set forth in Paragraph 1.F above. In each instance, PROVIDER shall provide PLAN with written confirmation of compliance within thirty (30) calendar days of PLAN’s request.
840
4 H. Cooperation Among Parties
Should disputes or disagreements arise regarding the ultimate computation or appropriateness of any aspect of the LMMCRR IGT Payments, PROVIDER and PLAN agree to work together in all respects to support and preserve the LMMCRR IGT Payments to the full extent possible on behalf of the safety net in Orange County.

I. Reconciliation
Within one hundred twenty (120) calendar days after the end of each of PLAN’s fiscal years in which LMMCRR IGT Payments were made to PROVIDER, PLAN shall perform a reconciliation of the LMMCRR IGT Payments transmitted to the PROVIDER during the preceding fiscal year to ensure that the supporting amount of IGT MMCRRIs were received by PLAN from State DHCS. PROVIDER agrees to return to PLAN any overpayment of LMMCRR IGT Payments made in error to PROVIDER within thirty (30) calendar days after receipt from PLAN of a written notice of the overpayment error, unless PROVIDER submits a written objection to PLAN. Any such objection shall be resolved in accordance with the dispute resolution process set forth in Section 1.H. The reconciliation processes established under this paragraph are distinct from the indemnification provisions set forth in Paragraph 1.J below. PLAN agrees to transmit to the PROVIDER any underpayment of LMMCRR IGT Payments within thirty (30) calendar days of PLAN’s identification of such underpayment.

J. Indemnification
PROVIDER agrees to and acknowledges the following: (1) PLAN has no obligation to make any payments hereunder until PLAN has received IGT MMCRRIs from State DHCS; (2) that PLAN is not responsible for State DHCS payments to PLAN, including any mathematical calculations made by DHCS, and (3) PLAN is not responsible for the timing of the payments from DHCS to PLAN (including the conditions precedent to the timing of such payments which includes the timing of DHCS submission to CMS and/or CMS review and approval). In addition, PLAN and PROVIDER agree and acknowledge that nothing herein is intended to create an obligation on the part of PLAN to agree to delays in capitation payment(s) from DHCS in order to accommodate this IGT.

K. Overpayments and CalOptima Health Right to Recover
PROVIDER has an obligation to report any overpayment identified by PROVIDER, and to repay such overpayment to CalOptima Health within sixty (60) days of such identification by PROVIDER, or of receipt of notice of an overpayment identified by CalOptima Health. PROVIDER acknowledges and agrees that, in the event that CalOptima Health determines that an amount has been overpaid or paid in duplicate, or that funds were paid which were not due under this Contract to PROVIDER, CalOptima Health shall have the right to recover such amounts from PROVIDER by recoupment or offset from current or future amounts due from CalOptima Health to PROVIDER, after giving notice and an opportunity to return/pay such amounts. This right to recoupment or offset shall extend to any amounts due from PROVIDER to CalOptima Health, including, but not limited to, amounts due because of overpayments as described in the provisions of this agreement.
841
5 2. Term
The term of this agreement shall commence on January 1, 2022 and shall terminate on June 30, 2025.

SIGNATURES
HEALTH PLAN: CalOptimaHealth
Date: _____________
By: Yunkyung Kim, Chief Operating Officer
PROVIDER: City of Orange
Date: _____________
By: Daniel R. Slater, Mayor
ATTEST:
________________________________________________ Date: _____________ Pamela Coleman, City Clerk
APPROVED AS TO FORM:
________________________________________________ Date: _____________ Nathalie Adourian, Senior Assistant City Attorney
√
842
Agenda Item
City Council
Item #: 3.10. 11/14/2023 File #: 23-0647
TO: Honorable Mayor and Members of the City Council
THRU: Tom Kisela, City Manager
FROM: Christopher Cash, Public Works Director

1. SUBJECT
Appropriation of $43,082 from the Old Towne West Metrolink Parking Structure parking revenue collected during the Orange International Street Fair to be used for maintenance costs.

2. SUMMARY
During the Orange International Street Fair, revenues are generated through parking fees collected at the Old Towne West Metrolink Parking structure. These funds assist with offsetting maintenance costs of the structure.

3. RECOMMENDED ACTION

1. Accept into the City’s revenue budget $43,082 in Metrolink Parking Structure funds from the parking fees into revenue account 100.0000.48380.17006, General Fund - Street Fair Metrolink Parking.

2. Authorize the appropriation of $43,082 into expenditure account number 100.5028.51450.20421, General Fund - Other Maintenance Metrolink Parking Structure.

4. FISCAL IMPACT
The total appropriation for maintenance costs is funded by the revenue received from the Orange International Street Fair parking fees.

5. STRATEGIC PLAN GOALS
Goal 1: Provide for a safe community
b: Provide and maintain infrastructure necessary to ensure the safety of the public.

Goal 2: Be a fiscally healthy community
b: Analyze future fiscal needs and potential revenue opportunities.

6. DISCUSSION AND BACKGROUND
During the Orange International Street Fair, the Old Towne West Metrolink Parking Structure is offered to visitors for parking. Visitors pay a fee upon entrance to the structure. The funds collected assist with ongoing parking structure maintenance costs. The City of Orange received $43,082 in net revenue during the three-day event.

In November 2018, the City Council approved the Old Towne West Metrolink Parking Structure Management and Maintenance Plans with the Federal Transit Agency through the Orange County Transportation Agency. Under this plan, any revenue received from the parking structure is limited to City of Orange Page 1 of 2 Printed on 11/8/2023
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Item #: 3.10. 11/14/2023 File #: 23-0647
Transportation Agency. Under this plan, any revenue received from the parking structure is limited to the use of maintenance costs related to the parking structure. Using the revenue to offset salaries and benefits are prohibited. Staff is requesting to pass-through the revenue received by accepting the funding into the General Fund as revenue and then in a corresponding action appropriate the funding for General Fund parking structure maintenance expenditures for Fiscal Year 2023-2024.

7. ATTACHMENTS
· None
City of Orange Page 2 of 2 Printed on 11/8/2023
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Agenda Item
City Council
Item #: 3.10. 11/14/2023 File #: 23-0647
TO: Honorable Mayor and Members of the City Council
THRU: Tom Kisela, City Manager
FROM: Christopher Cash, Public Works Director

1. SUBJECT
Appropriation of $43,082 from the Old Towne West Metrolink Parking Structure parking revenue collected during the Orange International Street Fair to be used for maintenance costs.

3. RECOMMENDED ACTION

1. Accept into the City’s revenue budget $43,082 in Metrolink Parking Structure funds from the parking fees into revenue account 100.0000.48380.17006, General Fund - Street Fair Metrolink Parking.

2. Authorize the appropriation of $43,082 into expenditure account number 100.5028.51450.20421, General Fund - Other Maintenance Metrolink Parking Structure.

4. FISCAL IMPACT
The total appropriation for maintenance costs is funded by the revenue received from the Orange International Street Fair parking fees.

5. STRATEGIC PLAN GOALS
Goal 1: Provide for a safe community
b: Provide and maintain infrastructure necessary to ensure the safety of the public.

Goal 2: Be a fiscally healthy community
b: Analyze future fiscal needs and potential revenue opportunities.

In November 2018, the City Council approved the Old Towne West Metrolink Parking Structure Management and Maintenance Plans with the Federal Transit Agency through the Orange County Transportation Agency. Under this plan, any revenue received from the parking structure is limited to City of Orange Page 1 of 2 Printed on 11/8/2023
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Item #: 3.10. 11/14/2023 File #: 23-0647
Transportation Agency. Under this plan, any revenue received from the parking structure is limited to the use of maintenance costs related to the parking structure. Using the revenue to offset salaries and benefits are prohibited. Staff is requesting to pass-through the revenue received by accepting the funding into the General Fund as revenue and then in a corresponding action appropriate the funding for General Fund parking structure maintenance expenditures for Fiscal Year 2023-2024.

7. ATTACHMENTS
· None
City of Orange Page 2 of 2 Printed on 11/8/2023
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Agenda Item
City Council
Item #: 3.11. 11/14/2023 File #: 23-0683
TO: Honorable Mayor and Members of the City Council
THRU: Tom Kisela, City Manager
FROM: Christopher Cash, Public Works Director

1. SUBJECT
Approval of plans and specifications for Bid No. 23-24.18, SP-4264; Community Development Block Grant Fiscal Year 2023-2024 Americans with Disabilities Act (ADA) Wheelchair Access Ramp Replacement at Various Locations; authorization to advertise for bids; and finding of CEQA exemption.

2. SUMMARY
Plans and specifications have been completed and the project is ready to be advertised for bids. The total estimated construction cost including a 20% for contingencies and construction engineering is $90,000.

3. RECOMMENDED ACTION
Approve plans and specifications and authorize advertising for bids for the Community Development Block Grant Fiscal Year 2023-2024 Americans with Disabilities Act (ADA) Wheelchair Access Ramp Replacement at Various Locations.

4. FISCAL IMPACT
None.

5. STRATEGIC PLAN GOALS
Goal 1: Provide for a safe community
b: Provide and maintain infrastructure necessary to ensure the safety of the public.

Goal 4: Provide outstanding public service
b: Provide facilities and services to meet customer expectations.

6. DISCUSSION AND BACKGROUND
The Federal Community Development Block Grant (CDBG) Program provides grant funds to enable eligible localities to construct public improvements in Low- and Moderate-Income Areas within their jurisdiction. Eligible activities include infrastructure upgrades such as ADA wheelchair access ramp replacement.

This project will include the construction of approximately eight ADA compliant access ramps at various locations as shown on the location map. As part of the project, detectable warning surfaces (truncated domes) will be installed per the American with Disabilities Act Accessibility Guidelines City of Orange Page 1 of 2 Printed on 11/8/2023
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Item #: 3.11. 11/14/2023 File #: 23-0683
(ADAAG) requirements.

The total estimated project cost is $90,000, including a 20% for contingencies and construction engineering. At the time bids are received and actual bid prices are known, staff may request an additional appropriation to award the contract should it be needed.

Construction is scheduled to begin in January 2024 and is expected to be completed within 30 calendar days. Specifications and cost estimates are available for review in the Public Works Department.

7. ENVIRONMENTAL REVIEW
Categorical Exemption: The proposed project is categorically exempt from the provisions of the California Environmental Quality Act (CEQA) per State CEQA Guidelines 15301 “Existing Facilities” Class 1 because the project involves the repair and maintenance of existing facilities with no expansion of existing use. The CEQA Notice of Exemption will be filed with the County Recorder’s Office upon Council’s approval of the plans and specifications.

8. ATTACHMENTS
· Location Map
City of Orange Page 2 of 2 Printed on 11/8/2023
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Agenda Item
City Council
Item #: 3.11. 11/14/2023 File #: 23-0683
TO: Honorable Mayor and Members of the City Council
THRU: Tom Kisela, City Manager
FROM: Christopher Cash, Public Works Director

4. FISCAL IMPACT
None.

5. STRATEGIC PLAN GOALS
Goal 1: Provide for a safe community
b: Provide and maintain infrastructure necessary to ensure the safety of the public.

Goal 4: Provide outstanding public service
b: Provide facilities and services to meet customer expectations.

This project will include the construction of approximately eight ADA compliant access ramps at various locations as shown on the location map. As part of the project, detectable warning surfaces (truncated domes) will be installed per the American with Disabilities Act Accessibility Guidelines City of Orange Page 1 of 2 Printed on 11/8/2023
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Item #: 3.11. 11/14/2023 File #: 23-0683
(ADAAG) requirements.

Construction is scheduled to begin in January 2024 and is expected to be completed within 30 calendar days. Specifications and cost estimates are available for review in the Public Works Department.

8. ATTACHMENTS
· Location Map
City of Orange Page 2 of 2 Printed on 11/8/2023
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CDBG ADA FY23-24Location Map
10/30/2023, 10:49:57 AM
0 0.025 0.05 0.1 mi
0 0.04 0.08 0.16 km
1:2,257
City of Anaheim, County of Los Angeles, Bureau of Land Management, Esri, HERE, Garmin, GeoTechnologies, Inc., USGS, EPA | City of Orange - Engineering Design
µ

GRAND AVE
851
Agenda Item
City Council
Item #: 3.12. 11/14/2023 File #: 23-0740
TO: Honorable Mayor and Members of the City Council
THRU: Tom Kisela, City Manager
FROM: Mike Vigliotta, City Attorney

1. SUBJECT
Claims for Damages.

2. SUMMARY
Seven claims have been received and investigated by the City Attorney’s Office and/or the Risk Manager with the involved departments.

3. RECOMMENDED ACTION
Deny the following claims and refer to City Attorney and Claims Adjuster:

1. Janet Verkich

2. Michael Joseph Guzman III

3. Marie Conception Guzman

4. Gregory Dennis

5. Arthur Lopez

6. Arthur Lopez

7. Michael Gore

4. FISCAL IMPACT
None.

5. STRATEGIC PLAN GOALS
Goal 2: Be a fiscally healthy community
a: Expend fiscal resources responsibly.

6. DISCUSSION AND BACKGROUND

1. Claim for damages from Janet Verkich alleging personal injury when Claimant tripped and fell in the city of Santa Ana.

2. Claim for damages from Michael Joseph Guzman III alleging wrongful death of Michael Joseph Guzman Jr.

3. Claim for damages from Marie Conception Guzman alleging wrongful death of Michael Joseph Guzman Jr.

4. Claim for damages from Gregory Dennis alleging property damage to Claimant’s vehicle due to a traffic collision in the city of Santa Ana.

5. Claim for damages from Arthur Lopez alleging civil rights violations.

6. Claim for damages from Arthur Lopez alleging personal injury due to Orange Fire City of Orange Page 1 of 2 Printed on 11/8/2023
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Item #: 3.12. 11/14/2023 File #: 23-0740

6. Claim for damages from Arthur Lopez alleging personal injury due to Orange Fire Department’s refusal to provide medical care.

7. Claim for damages from Michael Gore alleging property damage when a City tree branch fell on Claimant’s mailbox.

7. ATTACHMENTS
· None.

City of Orange Page 2 of 2 Printed on 11/8/2023
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Agenda Item
City Council
Item #: 3.12. 11/14/2023 File #: 23-0740
TO: Honorable Mayor and Members of the City Council
THRU: Tom Kisela, City Manager
FROM: Mike Vigliotta, City Attorney

1. SUBJECT
Claims for Damages.

2. SUMMARY
Seven claims have been received and investigated by the City Attorney’s Office and/or the Risk Manager with the involved departments.

3. RECOMMENDED ACTION
Deny the following claims and refer to City Attorney and Claims Adjuster:

1. Janet Verkich

2. Michael Joseph Guzman III

3. Marie Conception Guzman

4. Gregory Dennis

5. Arthur Lopez

6. Arthur Lopez

7. Michael Gore

4. FISCAL IMPACT
None.

5. STRATEGIC PLAN GOALS
Goal 2: Be a fiscally healthy community
a: Expend fiscal resources responsibly.

6. DISCUSSION AND BACKGROUND

1. Claim for damages from Janet Verkich alleging personal injury when Claimant tripped and fell in the city of Santa Ana.

2. Claim for damages from Michael Joseph Guzman III alleging wrongful death of Michael Joseph Guzman Jr.

3. Claim for damages from Marie Conception Guzman alleging wrongful death of Michael Joseph Guzman Jr.

4. Claim for damages from Gregory Dennis alleging property damage to Claimant’s vehicle due to a traffic collision in the city of Santa Ana.

5. Claim for damages from Arthur Lopez alleging civil rights violations.

6. Claim for damages from Arthur Lopez alleging personal injury due to Orange Fire City of Orange Page 1 of 2 Printed on 11/8/2023
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Item #: 3.12. 11/14/2023 File #: 23-0740

6. Claim for damages from Arthur Lopez alleging personal injury due to Orange Fire Department’s refusal to provide medical care.

7. Claim for damages from Michael Gore alleging property damage when a City tree branch fell on Claimant’s mailbox.

7. ATTACHMENTS
· None.

City of Orange Page 2 of 2 Printed on 11/8/2023
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Agenda Item
City Council
Item #: 3.13. 11/14/2023 File #: 23-0691
TO: Honorable Mayor and Members of the City Council
THRU: Tom Kisela, City Manager
FROM: Christopher Cash, Public Works Director

1. SUBJECT
Award of Sourcewell Contract to Horizons Construction Company International, Inc. for the gas line replacement at the El Modena Library; and finding of CEQA exemption.

2. SUMMARY
Award Horizons Construction Company International, Inc., a construction contract for the gas line replacement at the El Modena Library (SP-4273).

3. RECOMMENDED ACTION
Approve a Sourcewell contract with Horizons Construction Company International, Inc. in the amount of $49,134 for the gas line replacement at El Modena Library; and authorize the Mayor and City Clerk to execute on behalf of the City.

4. FISCAL IMPACT
The total expenditure including a 15% contingency for this project is $49,134 and will be funded through Capital Projects Fund 500.5028.56020.19809, City Facility Improvements.

5. STRATEGIC PLAN GOALS
Goal 1: Provide for a safe community
b: Provide and maintain infrastructure necessary to ensure the safety of the public.

Goal 4: Provide outstanding public service
b: Provide facilities and services to meet customer expectations.

6. DISCUSSION AND BACKGROUND
The El Modena Library has served the community as a branch library since 1978. Over the years, the library’s gas line has experienced wear and tear, resulting in inefficiencies and safety concerns, ultimately leading to Southern California Gas Company shutting it down earlier this year. This deterioration also negatively impacts the HVAC system's performance, causing inconsistent heating in the library.

To hire a skilled contractor to replace the failed gas line at a reasonable cost, staff reached out to many vendors and utilized several procurement strategies. Staff collaborated with Gordian EzIQC's project coordinator to develop the scope of work for the gas line using a Sourcewell contractor. This method of procurement is a cooperative purchasing arrangement that several government agencies use to minimize costs and staff resource impacts. By using Sourcewell, a public agency that City of Orange Page 1 of 2 Printed on 11/8/2023
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Item #: 3.13. 11/14/2023 File #: 23-0691
use to minimize costs and staff resource impacts. By using Sourcewell, a public agency that competitively bids on construction tasks, specifications, materials, equipment, and labor costs, the City can access highly qualified specialty contractors and lower overall capital costs. The City of Orange is a member of Sourcewell and has used the cooperative agreements procurement process.

After careful consideration, Horizons Construction Co. Int’l, Inc. (Contract No. CA-R8-GB01-123021- HCC) has been recommended by staff for the project. The proposed price has been reviewed and deemed fair and reasonable, consistent with established unit prices outlined in the contract with Sourcewell. The contractor's proposal for the scheduled work comes in at $42,725. However, staff recognizes that unforeseen work and services may be necessary for the project. Therefore, in anticipation of such contingencies, an additional $6,409 (15%) has been added to the initial sum, bringing the total cost to $49,134.

Construction is scheduled to begin in November 2023 and is expected to be completed within one month, including the procurement of materials. The specifications and cost proposals are available for review at the Public Works Department.

7. ENVIRONMENTAL REVIEW
Categorical Exemption: The proposed project is categorically exempt from the provisions of the California Environmental Quality Act (CEQA) per State CEQA Guidelines 15302 (Class 2 (c) - Replacement or Reconstruction) because the project involves replacing 230 linear feet of a 2-inch gas line segment at the El Modena Library parking lot to comply with current industry standards. No public review is required.

8. ATTACHMENTS
· Contract with Horizons Construction Company International, Inc City of Orange Page 2 of 2 Printed on 11/8/2023
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Agenda Item
City Council
Item #: 3.13. 11/14/2023 File #: 23-0691
TO: Honorable Mayor and Members of the City Council
THRU: Tom Kisela, City Manager
FROM: Christopher Cash, Public Works Director

1. SUBJECT
Award of Sourcewell Contract to Horizons Construction Company International, Inc. for the gas line replacement at the El Modena Library; and finding of CEQA exemption.

2. SUMMARY
Award Horizons Construction Company International, Inc., a construction contract for the gas line replacement at the El Modena Library (SP-4273).

4. FISCAL IMPACT
The total expenditure including a 15% contingency for this project is $49,134 and will be funded through Capital Projects Fund 500.5028.56020.19809, City Facility Improvements.

5. STRATEGIC PLAN GOALS
Goal 1: Provide for a safe community
b: Provide and maintain infrastructure necessary to ensure the safety of the public.

Goal 4: Provide outstanding public service
b: Provide facilities and services to meet customer expectations.

To hire a skilled contractor to replace the failed gas line at a reasonable cost, staff reached out to many vendors and utilized several procurement strategies. Staff collaborated with Gordian EzIQC's project coordinator to develop the scope of work for the gas line using a Sourcewell contractor. This method of procurement is a cooperative purchasing arrangement that several government agencies use to minimize costs and staff resource impacts. By using Sourcewell, a public agency that City of Orange Page 1 of 2 Printed on 11/8/2023
powered by Legistar™858
Item #: 3.13. 11/14/2023 File #: 23-0691
use to minimize costs and staff resource impacts. By using Sourcewell, a public agency that competitively bids on construction tasks, specifications, materials, equipment, and labor costs, the City can access highly qualified specialty contractors and lower overall capital costs. The City of Orange is a member of Sourcewell and has used the cooperative agreements procurement process.

7. ENVIRONMENTAL REVIEW
Categorical Exemption: The proposed project is categorically exempt from the provisions of the California Environmental Quality Act (CEQA) per State CEQA Guidelines 15302 (Class 2 (c) - Replacement or Reconstruction) because the project involves replacing 230 linear feet of a 2-inch gas line segment at the El Modena Library parking lot to comply with current industry standards. No public review is required.

8. ATTACHMENTS
· Contract with Horizons Construction Company International, Inc City of Orange Page 2 of 2 Printed on 11/8/2023
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CONTRACT
[Gas Line Replacement at El Modena Library (SP-4273)]
Sourcewell Contract #CA-R8-GB01-123021-HCC
THIS CONTRACT (the “Contract”) is made and entered into as of ______________, 20__ (“Effective Date”) by and between the CITY OF ORANGE, a municipal corporation (“City”), and HORIZONS CONSTRUCTION COMPANY INTERNATIONAL, INC., a California corporation, (“Contractor”), who agree as follows.

ARTICLE 1
Work Performed
a. For and in consideration of the payments and agreements hereinafter mentioned, to be made and performed by City, and under the conditions expressed in the two (2) bonds presented to City with this Contract and incorporated herein by this reference, Contractor hereby agrees to and shall do all the work and furnish all the labor, materials, tools and equipment, except such as are mentioned in the specifications to be furnished by City to Contractor, necessary to complete in good workmanship and substantial manner the work (the “Work”) described in:
(1) The latest edition of the "City of Orange Standard Plans and Specifications" (the “Orange Book”) with the term "Engineer," as used in the Orange Book and in this Contract, to specifically include the City Engineer (or designee); (2) The "Standard Specifications for Public Works Construction” (the “Greenbook”), and all amendments thereto, except the definition of “Subcontractor” in Section 1.2 (General – Terms and Definitions) of Part 1 (General Provisions) of the Greenbook, which is hereby amended in its entirety to read as follows: “Subcontractor – An individual, firm, or corporation having a direct contract with the Contractor for the performance of a part of the Work;” (3) The “City of Orange Standard Special Provisions;”
(4) The Standard Plans; and
(5) Contractor’s Bid Proposal, which is on file with City’s Department of Public Works.
b. Contractor acknowledges that it has received the Plans from City and that a complete copy of the Plans are in its possession and are hereby specifically referred to and by such reference made a part hereof. The Orange Book, Greenbook and City of Orange Standard Special Provisions and Standard Plans are on file with City’s Public Works Director and are hereby specifically referred to and by such reference made a part hereof. Contractor hereby acknowledges that it has read, reviewed and understands the Plans, the Orange Book, the Greenbook, the Special Provisions, the Standard Plans, and the Encroachment Permit as they relate to the Work, all of which documents shall be referred to herein collectively as the “Plans and Specifications.” 860
2 c. Contractor acknowledges the provisions of Chapter 8.28 of the Orange Municipal Code which requires, among other things, that Contractor utilize City’s exclusive solid waste hauler for the rental of bins for trash and debris removal and imposes mandatory recycling requirements for self-hauled construction and demolition waste. The terms and conditions set forth in this Contract shall control over any terms and conditions in the Plans and Specifications to the contrary.
d. The Work shall be performed in conformity with the Plans and Specifications and the Bid Proposal and all applicable laws, including any and all applicable federal and state labor laws and standards and applicable prevailing wage requirements and any and all state, federal and local statutes, regulations and ordinances relating to the protection of human health or the environment.
e. Unless and until otherwise notified in writing by City’s Public Works Director, City’s Assistant Field Services Manager, Matthew Lorenzen (“Authorized City Representative”), shall be the person to whom Contractor will report for the performance of the Work hereunder. It is understood that Contractor’s performance hereunder shall be under the direction and supervision of the Authorized City Representative or such other person as City’s Public Works Director may designate from time to time, that Contractor shall coordinate the Work hereunder with the Authorized City Representative to the extent required by the Authorized City Representative, and that all performances required hereunder by Contractor shall be performed to the satisfaction of the Authorized City Representative or City’s Public Works Director. f. It is expressly agreed by and between the parties hereto that should there be any conflict between the terms of this instrument and Contractor’s Bid Proposal, then this instrument shall control and nothing herein shall be considered as an acceptance of the said terms of said Bid Proposal conflicting herewith.

ARTICLE 2
Commencement of Work
Contractor shall commence the Work provided for in this Contract within fifteen (15) days of the date of the issuance by City of a Notice to Proceed and diligently prosecute completion of the Work within thirty (30) calendar days from such date, unless legal extension is granted in accordance with the terms set forth in the Greenbook. Time is of the essence in this Contract.

Contractor shall do all things necessary and incidental to the prosecution of Contractor's Work.

ARTICLE 3
Compensation
a. Contractor agrees to receive and accept an amount not to exceed FORTY-TWO THOUSAND SEVEN HUNDRED TWENTY-FOUR DOLLARS and 95/100 ($42,724.95) as compensation for furnishing all materials and doing all the Work contemplated and embraced in this Contract. Said compensation covers (1) all loss or damage arising out of the nature of the Work, from the acts of the elements; (2) any unforeseen difficulties or obstructions which may arise or be encountered in the prosecution of the Work until its acceptance by City, other than as 861
3 provided below; (3) all risks of every description connected with the Work; (4) all expenses incurred by or in consequence of the suspension or discontinuance of the Work; and (5) well and faithfully completing the Work, and for the whole thereof, in the manner and according to the Plans and Specifications, and requirements of the Authorized City Representative under them.

Retention amounts shall be withheld from progress payments as required by law unless Contractor provides securities in lieu of retention.
b. In addition to the scheduled Work to be performed by the Contractor, the parties recognize that additional, unforeseen work and services may be required by the Authorized City Representative. In anticipation of such contingencies, the sum of SIX THOUSAND FOUR HUNDRED EIGHT DOLLARS and 74/100 ($6,408.74) has been added to the total compensation of this Contract. The Authorized City Representative may approve the additional work and the actual costs incurred by the Contractor in performance of additional work or services in accordance with such amount as the Authorized City Representative and the Contractor may agree upon in advance. Said additional work or services and the amount of compensation therefor, up to the amount of the authorized contingency,shall be memorialized in the form of a Contract Amendment approved by the City Manager on a form acceptable to the City Attorney. The Contractor agrees to perform only that work or those services that are specifically requested by the Authorized City Representative. Any and all additional work and services performed under this Contract shall be completed in such sequence as to assure their completion as expeditiously as is consistent with professional skill and care in accordance with a cost estimate or proposal submitted to and approved by the Authorized City Representative prior to the commencement of such Work or services.
c. The total amount of compensation under this Contract, including contingencies, shall not exceed FORTY-NINE THOUSAND ONE HUNDRED THIRTY-THREE DOLLARS and 69/100 ($49,133.69).

ARTICLE 4
Licenses
Contractor represents that it and any subcontractors it may engage, possess any and all licenses which are required under state or federal law to perform the Work contemplated by this Contract and that Contractor and subcontractors shall maintain all appropriate licenses, including a City of Orange business license, at its cost, during the performance of this Contract.

ARTICLE 5
Guarantees
a. Contractor guarantees the construction and installation of all Work included in the Plans and Specifications for which Contractor has been awarded this Contract. b. Should any of the materials or equipment installed pursuant to this Contract prove defective or should the Work as a whole prove defective, due to faulty equipment, workmanship, materials furnished or methods of installations, or should said Work or any part thereof fail to function properly, as designed, due to any of the above causes within twelve (12) months after the 862
4 date on which said Work is accepted by City, Contractor shall make repairs and furnish such materials and equipment as are necessary to be furnished and installed within fifteen (15) calendar days after the receipt of a demand from City.
c. Said Work will be deemed defective within the meaning of this guarantee in the event that it fails to function as originally intended either by the Plans and Specifications of this Contract or by the manufacturer(s) of the equipment incorporated into the Work. d. In the event repairs are not made within fifteen (15) calendar days after Contractor's receipt of a demand from City, City shall have the unqualified option to make any needed repairs or replacements itself or by any other contractor. Contractor shall reimburse City, upon demand, for all expenses incurred in restoring said Work to the condition contemplated in this Contract, including the cost of any equipment or materials replaced. e. It is understood that emergency repairs may, by necessity, be made by City.

Therefore, when defective equipment, materials or workmanship result in emergency repairs by City, Contractor shall reimburse City, upon demand, for all expenses incurred. Emergency repairs will be deemed as those repairs determined by City’s Director of Public Works to be necessary due to an immediate detriment to the health, safety, welfare or convenience of the residents of City.

ARTICLE 6
Water Quality
a. The Santa Ana Regional Water Quality Control Board (“RWQCB”) has issued National Pollutant Discharge Elimination System (“NPDES”) Permit No. R8-2009-0030 (the “Permit”), which governs storm water and non-storm water discharges resulting from municipal activities performed by City or its contractors. In order to comply with the Permit requirements, the County of Orange has prepared a Drainage Area Management Plan (“DAMP”), containing Model Maintenance Procedures with Best Management Practices (“BMPs”) that City and its contractors must adhere to. The Model Maintenance Procedures contain pollution prevention and source control techniques to minimize the impact of those activities upon dry-weather urban runoff, storm water runoff, and receiving water quality. Examples include: wash water from cleaning of sidewalks or parking lots must be collected and disposed of in the sewer or landscaped areas.
b. The Permit, the DAMP and the Model Maintenance Procedures are on file in the office of City’s Director of Public Works. Contractor hereby acknowledges that it has read, reviewed and understands the Permit, the DAMP and the Model Maintenance Procedures, as they relate to the Work and hereby shall perform the Work in conformance therewith.

ARTICLE 7
Independent Contractor; Contractor not Agent
a. At all times during the term of this Contract, Contractor shall be an independent contractor and not an employee of City. City shall have the right to control Contractor only insofar 863
5 as the result of Contractor’s services rendered pursuant to this Contract. City shall not have the right to control the means by which Contractor accomplishes services rendered pursuant to this Contract. Contractor shall, at its sole cost and expense, furnish all facilities, materials and equipment which may be required for furnishing services pursuant to this Contract. Contractor shall be solely responsible for, and shall indemnify, defend and save City harmless from all matters relating to the payment of its subcontractors, agents and employees, including compliance with social security, withholding and all other wages, salaries, benefits, taxes, exactions, and regulations of any nature whatsoever. Contractor acknowledges that Contractor and any subcontractors, agents or employees employed by Contractor shall not, under any circumstances, be considered employees of City, and that they shall not be entitled to any of the benefits or rights afforded employees of City, including, but not limited to, sick leave, vacation leave, holiday pay, Public Employees Retirement System benefits, or health, life, dental, long-term disability or workers' compensation insurance benefits.
b. Except as City may specify in writing, Contractor shall have no authority, express or implied, to act on behalf of City in any capacity whatsoever as an agent. Contractor shall have no authority, express or implied, to bind City to any obligation whatsoever.

ARTICLE 8
Public Work; Prevailing Wage
a. The Work which is the subject of this Contract is a “public work,” as that term is defined in Section 1720 of the California Labor Code, for which prevailing wages must be paid.

To the extent Contractor’s employees will perform any work that falls within any of the classifications for which the Department of Labor Relations of the State of California promulgates prevailing wage determinations, Contractor hereby agrees that Contractor, and any subcontractor under it, shall pay not less than the specified prevailing rates of wages to all such workers. The general prevailing wage determinations for crafts can be located on the website of the Department of Industrial Relations (www.dir.ca.gov/DLSR). Additionally, to perform work under this Contract, Contractor must meet all State registration requirements and criteria, including project compliance monitoring.
b. Attached hereto as Attachment No. 1 and incorporated herein by this reference is a copy of the provisions of Sections 1725.5, 1771, 1771.1, 1771.4, 1775, 1776, 1777.5, 1813 and 1815 of the California Labor Code. Contractor hereby acknowledges that it has read, reviewed and understands those provisions of the Labor Code and shall prosecute and complete the Work under this Contract in strict compliance with all of those terms and provisions. c. Contractor shall secure the payment of compensation to its employees in accordance with the provisions of Section 3700 of the California Labor Code. Accordingly, and as required by Section 1861 of the California Labor Code, Contractor hereby certifies as follows:
“I am aware of the provisions of Section 3700 of the Labor Code which require every employer to be insured against liability for workers' compensation or to undertake self-insurance in accordance with the provisions of that code, and I will comply with such provisions before commencing the performance of the work of this contract.”
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6 d. Contractor shall indemnify, protect, defend and hold harmless City and its officers, employees, contractors and agents, with counsel reasonably acceptable to City, from and against any and all loss, liability, damage, claim, cost, expense, and/or “increased costs” (including reasonable attorney’s fees, court and litigation costs, and fees of expert witnesses) which result or arise in any way from the noncompliance by Contractor of any applicable local, state and/or federal law, including, without limitation, any applicable federal and/or state labor laws (including, without limitation, the requirement to pay state prevailing wages). It is agreed by the parties that, in connection with the construction of the Work which is the subject of this Contract, Contractor shall bear all risks of payment or non-payment of state prevailing wages. “Increased costs” as used in this paragraph shall have the meaning ascribed to it in Labor Code Section 1781, as the same may be enacted, adopted or amended from time to time. The foregoing indemnity shall survive termination of this Contract.

ARTICLE 9
Equal Employment Opportunity
During the performance of this Contract, Contractor agrees as follows:
a. Contractor shall not discriminate against any employee or applicant for employment because of race, color, religion, sex, national origin, mental or physical disability, or any other basis prohibited by applicable law. Contractor shall ensure that applicants are employed and that employees are treated during employment, without regard to their race, color, religion, sex, national origin, mental or physical disability, or any other basis prohibited by applicable law.

Such actions shall include, but not be limited to the following: employment, upgrading, demotion or transfer, recruitment or recruitment advertising, layoff or termination, rates of pay or other forms of compensation and selection for training, including apprenticeship. Contractor shall post in conspicuous places, available to employees and applicants for employment, a notice setting forth provisions of this non-discrimination clause.
b. Contractor shall, in all solicitations and advertisements for employees placed by, or on behalf of Contractor, state that all qualified applicants will receive consideration for employment without regard to race, color, religion, sex, national origin, mental or physical disability, or any other basis prohibited by applicable law. c. Contractor shall cause the foregoing paragraphs (a) and (b) to be inserted in all subcontracts for any Work covered by this Contract, provided that the foregoing provisions shall not apply to subcontracts for standard commercial supplies or raw materials.

ARTICLE 10
Conflicts of Interest
Contractor agrees that it shall not make, participate in the making, or in any way attempt to use its position as a contractor to influence any decision of City in which Contractor knows or has reason to know that Contractor, its officers, partners, or employees have a financial interest as defined in Section 87103 of the Government Code. Contractor further agrees that it shall not be eligible to work as the builder for any project for which the design work is part of this Contract. 865
7 ARTICLE 11
Indemnity
Contractor shall defend, indemnify and hold harmless City and its officers, officials, agents, and employees from and against:
a. Any and all claims, liabilities, losses, damages, penalties, costs or expenses (including reasonable attorneys' fees and court costs) which City may directly or indirectly sustain or suffer arising from or as a result of the death of any person or any accident, injury, loss or damage whatsoever caused to any person or the property of any person which shall occur on or adjacent to the real property which is the subject of this Contract, or in connection with performance of this Contract which may be directly or indirectly caused by the acts or omissions of Contractor or its officers, employees, contractors or agents, or as a consequence of any use, generation, manufacture, storage, disposal, release or threatened release of a hazardous waste or substance. Contractor shall not be responsible for (and such indemnity shall not apply to) any willful misconduct, negligence or breach of this Contract by City or its officers, officials, agents, and employees. The foregoing indemnity shall survive termination of this Contract. b. Any and all claims under workers’ compensation acts and other employee benefit acts with respect to Contractor’s employees or Contractor’s subcontractor’s employees arising out of Contractor’s Work under this Contract, including any and all claims under any law pertaining to Contractor’s status as an independent contractor.

ARTICLE 12
Insurance
a. Contractor shall procure and maintain for the duration of this Contract insurance against claims for injuries to persons or damages to property which may arise from or in connection with the performance of the Work hereunder and the results of that Work by Contractor, its agents, representatives, employees or subcontractors. Any umbrella liability insurance that is provided as part of the general or automobile liability minimums set forth below shall be maintained for the duration of the Contract.
b. Contractor shall maintain the following minimum amount of insurance: the greater of either the limits set forth in (1) through (4), below; or all of the insurance coverage and/or limits carried by or available to Contractor.
(1) General Liability $2,000,000 per occurrence for bodily injury, personal injury and property damage. If
Commercial General Liability insurance
or other form with a general aggregate
limit is used, either the general aggregate
limit shall apply separately to this
project/location or the general aggregate
limit shall be twice the required
occurrence limit.
866
8 (2) Automobile Liability $1,000,000 per accident for bodily injury and property damage.
(3) Workers’ Compensation as required by the State of California. (4) Employer’s Liability $1,000,000 per accident for bodily injury or disease. c. Any insurance proceeds in excess of or broader than the minimum required coverage and/or minimum required limits which are applicable to a given loss shall be available to City. No representation is made that the minimum insurance requirements of this Contract are sufficient to cover the obligations of Contractor under this Contract. d. Any deductibles or self-insured retentions must be declared to and approved by City. At the option of City, either: the insurer shall reduce or eliminate such deductibles or selfinsured retentions with respect to City, its officers, officials, agents and employees; or Contractor shall provide a financial guarantee satisfactory to City guaranteeing payment of losses and related investigations, claim administration, and defense expenses. e. Each policy of general liability and automotive liability insurance shall contain, or be endorsed to contain, the following provisions:
(1) City, its officers, officials, agents, and employees are declared to be additional insureds under the terms of the policy, with respect to liability arising out of automobiles owned, leased, hired or borrowed by or on behalf of Contractor (any auto), and with respect to liability arising out of Work or operations performed by or on behalf of Contractor, including materials, parts or equipment furnished in connection with such Work or operations. A policy endorsement to that effect shall be provided to City along with the certificate of insurance. In lieu of an endorsement, City will accept a copy of the policy(ies) which evidences that City is an additional insured as a contracting party. The minimum coverage required by Subsection 12.b, above, shall apply to City as an additional insured.
(2) For any claims related to this Contract, Contractor’s insurance coverage shall be primary insurance with respect to City, its officers, officials, agents and employees. Any insurance or self-insurance maintained by City, its officers, officials, agents and employees shall be excess of Contractor’s insurance and shall not contribute with it. (3) Coverage shall not be canceled, except after thirty (30) days’ prior written notice has been provided to City.
f. Contractor shall furnish City with original certificates of insurance and endorsements effecting coverage required by this Article 12. The endorsements shall be on forms acceptable to City. All certificates and endorsements are to be received and approved by City before the Work commences. However, failure to do so shall not operate as a waiver of these insurance requirements. City reserves the right to require complete, certified copies of all required insurance policies, including endorsements effecting the coverage required by these specifications at any time.
867
9 g. All insurance procured and maintained by Contractor shall be issued by insurers admitted to conduct the pertinent line of insurance business in California and having a rating of Grade A or better and Class VII or better by the latest edition of Best Key Rating Guide. h. Contractor shall immediately notify City if any required insurance lapses or is otherwise modified and cease performance of this Contract unless otherwise directed by City. In such a case, City may procure insurance or self-insure the risk and charge Contractor for such costs and any and all damages resulting therefrom by way of set-off from any sums owed Contractor. i. Contractor agrees that in the event of loss due to any of the perils for which it has agreed to provide insurance, Contractor shall look solely to its insurance for recovery. Contractor hereby grants to City, on behalf of any insurer providing insurance to either Contractor or City with respect to the services of Contractor herein, a waiver of any right to subrogation which any such insurer may acquire against City by virtue of the payment of any loss under such insurance.

The Workers’ Compensation policy shall be endorsed with a waiver of subrogation in favor of City for all Work performed by Contractor, its employees, agents and subcontractors. Contractor shall obtain any other endorsement that may be necessary to effect this waiver of subrogation. j. Contractor shall require and verify that all subcontractors maintain insurance meeting all of the requirements stated herein.

ARTICLE 13
Termination
City, acting through its City Manager or designee, reserves the right to terminate this Contract for any reason by giving five (5) days’ written notice of intent to terminate to Contractor.

Upon receipt of notice, Contractor shall immediately cease work, unless the notice provides otherwise. Should City terminate this Contract, City shall pay Contractor for services satisfactorily provided and all allowable reimbursements incurred to the date of termination in compliance with this Contract, unless such termination shall be for cause, in which event City may withhold any disputed compensation. City shall not be liable for any claim of lost profits.

ARTICLE 14
Maintenance and Inspection of Records
In accordance with generally accepted accounting principles, Contractor and its subcontractors shall maintain reasonably full and complete books, documents, papers, accounting records and other information (collectively, the “records”) pertaining to the costs of and completion of services performed under this Contract. During the term of this Contract and for a period of three (3) years after termination or completion of this Contract, City shall have the right to inspect and/or audit Contractor's records pertaining to the performance of this Contract at Contractor's office. Contractor shall make available all such records for inspection or audit at its offices during normal business hours and upon three (3) days’ notice from City, and copies thereof shall be furnished if requested.
868
10 ARTICLE 15
Compliance with Laws
a. Contractor shall be knowledgeable of and comply with all local, state and federal laws pertaining to the subject matter hereof or in any way regulating the activities undertaken by Contractor or any subcontractor hereunder.
b. Contractor represents and warrants that it:
(1) Has complied and shall at all times during the term of this Contract comply, in all respects, with all immigration laws, regulations, statutes, rules, codes, and orders, including, without limitation, the Immigration Reform and Control Act of 1986 (IRCA); and (2) Has not and will not knowingly employ any individual to perform services under this Contract who is ineligible to work in the United States or under the terms of this Contract; and
(3) Has properly maintained, and shall at all times during the term of this Contract properly maintain, all related employment documentation records including, without limitation, the completion and maintenance of the Form I-9 for each of Contractor’s employees; and
(4) Has responded, and shall at all times during the term of this Contract respond, in a timely fashion to any government inspection requests relating to immigration law compliance and/or Form I-9 compliance and/or worksite enforcement by the Department of Homeland Security, the Department of Labor, or the Social Security Administration. c. Contractor shall require all subcontractors and/or subconsultants to make the same representations and warranties required by this Article 15 when hired to perform services under this Contract.
d. Contractor shall, upon request of City, provide a list of all employees working under this Contract and shall provide, to the reasonable satisfaction of City, verification that all such employees are eligible to work in the United States. All costs associated with such verification shall be borne by Contractor. Once such request has been made, Contractor may not change employees working under this Contract without written notice to City, accompanied by the verification required herein for such employees. Contractor shall require all subcontractors and/or sub-consultants to make the same verification when hired to perform services under this Contract. e. If Contractor, or a subcontractor or subconsultant, knowingly employs an employee providing Work under this Contract who is not authorized to work in the United States, and/or fails to follow federal laws to determine the status of such employee, such shall constitute a material breach of this Contract and may be cause for immediate termination of this Contract by City.
869
11 f. Contractor shall indemnify and hold City, its officials and employees harmless for, of and from any loss, including but not limited to fines, penalties and corrective measures, City may sustain by reason of Contractor’s failure to comply with said laws, rules and regulations in connection with the performance of this Contract.

ARTICLE 16
Governing Law and Venue
This Contract shall be construed in accordance with and governed by the laws of the State of California and Contractor shall submit to the jurisdiction of California courts. Venue for any dispute arising under this Contract shall be in Orange County, California.

ARTICLE 17
Integration and Amendment
a. This Contract constitutes the entire agreement of the parties. No other agreement, oral or written, pertaining to the Work to be performed under this Contract shall be of any force or effect unless it is in writing and signed by both parties. Any Work performed which is inconsistent with or in violation of the provisions of this Contract shall not be compensated. b. Amendments to this Contract must be in writing and signed by both parties. The City Manager is authorized to execute amendments to this Contract up to the amounts specified in Chapter 3.08 of the Orange Municipal Code.

ARTICLE 18
Notice
Except as otherwise provided herein, all notices required under this Contract shall be in writing and delivered personally, by e-mail, or by first class mail, postage prepaid, to each party at the address listed below. Either party may change the notice address by notifying the other party in writing. Notices shall be deemed received upon receipt of same or within three (3) days of deposit in the U.S. Mail, whichever is earlier. Notices sent by e-mail shall be deemed received on the date of the e-mail transmission.
“CONTRACTOR” “CITY”
Horizons Construction Company City of Orange
International, Inc. 300 E. Chapman Avenue
432 W. Meats Ave. Orange, CA 92866-1591
Orange, CA 92865
Attn: Kinan Kotrash Attn: Matthew Lorenzen
Telephone: 714-626-0000 Telephone: 714-532-6488
E-Mail: [email protected] E-Mail: [email protected] 870
12 ARTICLE 19
Claim Resolution
City and Contractor agree that the claim resolution process applicable to any claim by Contractor in connection with the Work provided herein shall be subject to the procedures set forth in California Public Contract Code Section 9204, attached hereto as Attachment No. 2, and incorporated herein by this reference.

CONTRACT, BONDS AND INSURANCE
APPROVED BY:

Melissa M. Crosthwaite
Senior Assistant City Attorney
CITY OF ORANGE, a municipal corporation
By:

Daniel R. Slater
Mayor of the City of Orange
ATTEST:

Pamela Coleman, City Clerk
“CONTRACTOR”

HORIZONS CONSTRUCTION COMPANY
INTERNATIONAL, INC., a California
corporation
[Note: Signature of Chairman of the By:

Board, President or Vice President is Printed Name:
required] Title:
[Note: Signature of Secretary, Assistant By:

Secretary, Chief Financial Officer or Printed Name:

Assistant Treasurer is also required] Title:
√
872
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ATTACHMENT NO. 1

CALIFORNIA LABOR CODE
SECTIONS 1725.5, 1771, 1771.1, 1771.4, 1775, 1776, 1777.5, 1813 and 1815 Section 1725.5. Registration of contractors; mandatory registration; qualifications and application; fees; exempt contractors
A contractor shall be registered pursuant to this section to be qualified 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 that is subject to the requirements of this chapter. For the purposes of this section, “contractor” includes a subcontractor as defined by Section 1722.1. (a) To qualify for registration under this section, a contractor shall do all of the following:
(1)(A) Register with the Department of Industrial Relations in the manner prescribed by the department and pay an initial nonrefundable application fee of four hundred dollars ($400) to qualify for registration under this section and an annual renewal fee on or before July 1 of each year thereafter. The annual renewal fee shall be in a uniform amount set by the Director of Industrial Relations, and the initial registration and renewal fees may be adjusted no more than annually by the director to support the costs specified in Section 1771.3. (B) Beginning June 1, 2019, a contractor may register or renew according to this subdivision in annual increments up to three years from the date of registration. Contractors who wish to do so will be required to prepay the applicable nonrefundable application or renewal fees to qualify for the number of years for which they wish to preregister.
(2) Provide evidence, disclosures, or releases as are necessary to establish all of the following:
(A) Workers' compensation coverage that meets the requirements of Division 4 (commencing with Section 3200) and includes sufficient coverage for any worker whom the contractor employs to perform work that is subject to prevailing wage requirements other than a contractor who is separately registered under this section.

Coverage may be evidenced by a current and valid certificate of workers' compensation insurance or certification of self-insurance required under Section 7125 of the Business and Professions Code. (B) If applicable, the contractor is licensed in accordance with Chapter 9 (commencing with Section 7000) of the Business and Professions Code.
(C) The contractor does not have any delinquent liability to an employee or the state for any assessment of back wages or related damages, interest, fines, or penalties pursuant to any final judgment, order, or determination by a court or any federal, state, or local administrative agency, including a confirmed arbitration award. However, for purposes of this paragraph, the contractor shall not be disqualified for any judgment, order, or determination that is under appeal, provided that the contractor has secured the payment of any amount eventually found due through a bond or other appropriate means. (D) The contractor is not currently debarred under Section 1777.1 or under any other federal or state law providing for the debarment of contractors from public works. (E) The contractor has not bid on a public works contract, been listed in a bid proposal, or engaged in the performance of a contract for public works without being lawfully registered in accordance with this section, within the preceding 12 months or since the effective date of the requirements set forth in subdivision (e), whichever is earlier. If a contractor is found to be in violation of the requirements of this paragraph, the period of disqualification shall be waived if both of the following are true:
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(i) The contractor has not previously been found to be in violation of the requirements of this paragraph within the preceding 12 months.
(ii) The contractor pays an additional nonrefundable penalty registration fee of two thousand dollars ($2,000). (b) Fees received pursuant to this section shall be deposited in the State Public Works Enforcement Fund established by Section 1771.3 and shall be used only for the purposes specified in that section. (c) A contractor who fails to pay the renewal fee required under paragraph (1) of subdivision (a) on or before the expiration of any prior period of registration shall be prohibited from bidding on or engaging in the performance of any contract for public work until once again registered pursuant to this section. If the failure to pay the renewal fee was inadvertent, the contractor may renew its registration retroactively by paying an additional nonrefundable penalty renewal fee equal to the amount of the renewal fee within 90 days of the due date of the renewal fee.
(d) If, after a body awarding a contract accepts the contractor's bid or awards the contract, the work covered by the bid or contract is determined to be a public work to which Section 1771 applies, either as the result of a determination by the director pursuant to Section 1773.5 or a court decision, the requirements of this section shall not apply, subject to the following requirements:
(1) The body that awarded the contract failed, in the bid specification or in the contract documents, to identify as a public work that portion of the work that the determination or decision subsequently classifies as a public work.
(2) Within 20 days following service of notice on the awarding body of a determination by the Director of Industrial Relations pursuant to Section 1773.5 or a decision by a court that the contract was for public work as defined in this chapter, the contractor and any subcontractors are registered under this section or are replaced by a contractor or subcontractors who are registered under this section. (3) The requirements of this section shall apply prospectively only to any subsequent bid, bid proposal, contract, or work performed after the awarding body is served with notice of the determination or decision referred to in paragraph (2).
(e) The requirements of this section shall apply to any bid proposal submitted on or after March 1, 2015, to any contract for public work, as defined in this chapter, executed on or after April 1, 2015, and to any work performed under a contract for public work on or after January 1, 2018, regardless of when the contract for public work was executed.
(f) This section does not apply to work performed on a public works project of twenty-five thousand dollars ($25,000) or less when the project is for construction, alteration, demolition, installation, or repair work or to work performed on a public works project of fifteen thousand dollars ($15,000) or less when the project is for maintenance work.

Section 1771. Payment of general prevailing rate
Except for public works projects of one thousand dollars ($1,000) or less, not less than the general prevailing rate of per diem wages 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 fixed as provided in this chapter, shall be paid to all workers employed on public works.

This section is applicable only to work performed under contract, and is not applicable to work carried out by a public agency with its own forces. This section is applicable to contracts let for maintenance work. 874
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Section 1771.1. Registration as a contractor or subcontractor required prior to bid submission; exceptions; violations; penalties
(a) A contractor or subcontractor shall not be qualified 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 contract for public work, as defined in this chapter, unless currently registered and qualified to perform public work pursuant to Section 1725.5. It is not a violation of this section for an unregistered contractor to submit a bid that is authorized by Section 7029.1 of the Business and Professions Code or by Section 10164 or 20103.5 of the Public Contract Code, provided the contractor is registered to perform public work pursuant to Section 1725.5 at the time the contract is awarded.
(b) Notice of the requirement described in subdivision (a) shall be included in all bid invitations and public works contracts, and a bid shall not be accepted nor any contract or subcontract entered into without proof of the contractor or subcontractor's current registration to perform public work pursuant to Section 1725.5. (c) An inadvertent error in listing a subcontractor who is not registered pursuant to Section 1725.5 in a bid proposal shall not be grounds for filing a bid protest or grounds for considering the bid nonresponsive, provided that any of the following apply:
(1) The subcontractor is registered prior to the bid opening. (2) Within 24 hours after the bid opening, the subcontractor is registered and has paid the penalty registration fee specified in subparagraph (E) of paragraph (2) of subdivision (a) of Section 1725.5. (3) The subcontractor is replaced by another registered subcontractor pursuant to Section 4107 of the Public Contract Code.
(d) Failure by a subcontractor to be registered to perform public work as required by subdivision (a) shall be grounds under Section 4107 of the Public Contract Code for the contractor, with the consent of the awarding authority, to substitute a subcontractor who is registered to perform public work pursuant to Section 1725.5 in place of the unregistered subcontractor.
(e) The department shall maintain on its Internet Web site a list of contractors who are currently registered to perform public work pursuant to Section 1725.5.
(f) A contract entered into with any contractor or subcontractor in violation of subdivision (a) shall be subject to cancellation, provided that a contract for public work shall not be unlawful, void, or voidable solely due to the failure of the awarding body, contractor, or any subcontractor to comply with the requirements of Section 1725.5 or this section.
(g) If the Labor Commissioner or his or her designee determines that a contractor or subcontractor engaged in the performance of any public work contract without having been registered in accordance with this section, the contractor or subcontractor shall forfeit, as a civil penalty to the state, one hundred dollars ($100) for each day of work performed in violation of the registration requirement, not to exceed an aggregate penalty of eight thousand dollars ($8,000) in addition to any penalty registration fee assessed pursuant to clause (ii) of subparagraph (E) of paragraph (2) of subdivision (a) of Section 1725.5. (h)(1) In addition to, or in lieu of, any other penalty or sanction authorized pursuant to this chapter, a higher tiered public works contractor or subcontractor who is found to have entered into a subcontract with an unregistered lower tier subcontractor to perform any public work in violation of the requirements of Section 1725.5 or this section shall be subject to forfeiture, as a civil penalty to the state, of one hundred dollars ($100) 875
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for each day the unregistered lower tier subcontractor performs work in violation of the registration requirement, not to exceed an aggregate penalty of ten thousand dollars ($10,000). (2) The Labor Commissioner shall use the same standards specified in subparagraph (A) of paragraph (2) of subdivision (a) of Section 1775 when determining the severity of the violation and what penalty to assess, and may waive the penalty for a first time violation that was unintentional and did not hinder the Labor Commissioner's ability to monitor and enforce compliance with the requirements of this chapter. (3) A higher tiered public works contractor or subcontractor shall not be liable for penalties assessed pursuant to paragraph (1) if the lower tier subcontractor's performance is in violation of the requirements of Section 1725.5 due to the revocation of a previously approved registration. (4) A subcontractor shall not be liable for any penalties assessed against a higher tiered public works contractor or subcontractor pursuant to paragraph (1). A higher tiered public works contractor or subcontractor may not require a lower tiered subcontractor to indemnify or otherwise be liable for any penalties pursuant to paragraph (1).
(i) The Labor Commissioner or his or her designee shall issue a civil wage and penalty assessment, in accordance with the provisions of Section 1741, upon determination of penalties pursuant to subdivision (g) and subparagraph (B) of paragraph (1) of subdivision (h). Review of a civil wage and penalty assessment issued under this subdivision may be requested in accordance with the provisions of Section 1742. The regulations of the Director of Industrial Relations, which govern proceedings for review of civil wage and penalty assessments and the withholding of contract payments under Article 1 (commencing with Section 1720) and Article 2 (commencing with Section 1770), shall apply. (j)(1) Where a contractor or subcontractor engages in the performance of any public work contract without having been registered in violation of the requirements of Section 1725.5 or this section, the Labor Commissioner shall issue and serve a stop order prohibiting the use of the unregistered contractor or the unregistered subcontractor on all public works until the unregistered contractor or unregistered subcontractor is registered. The stop order shall not apply to work by registered contractors or subcontractors on the public work.
(2) A stop order may be personally served upon the contractor or subcontractor by either of the following methods:
(A) Manual delivery of the order to the contractor or subcontractor personally. (B) Leaving signed copies of the order with the person who is apparently in charge at the site of the public work and by thereafter mailing copies of the order by first class mail, postage prepaid to the contractor or subcontractor at one of the following:
(i) The address of the contractor or subcontractor on file with either the Secretary of State or the Contractors' State License Board.
(ii) If the contractor or subcontractor has no address on file with the Secretary of State or the Contractors' State License Board, the address of the site of the public work. (3) The stop order shall be effective immediately upon service and shall be subject to appeal by the party contracting with the unregistered contractor or subcontractor, by the unregistered contractor or subcontractor, or both. The appeal, hearing, and any further review of the hearing decision shall be governed by the procedures, time limits, and other requirements specified in subdivision (a) of Section 238.1. 876
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(4) Any employee of an unregistered contractor or subcontractor who is affected by a work stoppage ordered by the commissioner pursuant to this subdivision shall be paid at his or her regular hourly prevailing wage rate by that employer for any hours the employee would have worked but for the work stoppage, not to exceed 10 days.
(k) Failure of a contractor or subcontractor, owner, director, officer, or managing agent of the contractor or subcontractor to observe a stop order issued and served upon him or her pursuant to subdivision (j) is guilty of a misdemeanor punishable by imprisonment in county jail not exceeding 60 days or by a fine not exceeding ten thousand dollars ($10,000), or both.
(l) This section shall apply to any bid proposal submitted on or after March 1, 2015, and any contract for public work entered into on or after April 1, 2015. This section shall also apply to the performance of any public work, as defined in this chapter, on or after January 1, 2018, regardless of when the contract for public work was entered.
(m) Penalties received pursuant to this section shall be deposited in the State Public Works Enforcement Fund established by Section 1771.3 and shall be used only for the purposes specified in that section. (n) This section shall not apply to work performed on a public works project of twenty-five thousand dollars ($25,000) or less when the project is for construction, alteration, demolition, installation, or repair work or to work performed on a public works project of fifteen thousand dollars ($15,000) or less when the project is for maintenance work.

Section 1771.4. Additional requirements when bidding and awarding public works contracts (a) All of the following are applicable to all public works projects that are otherwise subject to the requirements of this chapter:
(1) The call for bids and contract documents shall specify that the project is subject to compliance monitoring and enforcement by the Department of Industrial Relations. (2) The awarding body shall post or require the prime contractor to post job site notices, as prescribed by regulation.
(3) Each contractor and subcontractor shall furnish the records specified in Section 1776 directly to the Labor Commissioner, in the following manner:
(A) At least monthly or more frequently if specified in the contract with the awarding body. (B) In a format prescribed by the Labor Commissioner.
(4) If the contractor or subcontractor is not registered pursuant to Section 1725.5 and is performing work on a project for which registration is not required because of subdivision (f) of Section 1725.5, the unregistered contractor or subcontractor is not required to furnish the records specified in Section 1776 directly to the Labor Commissioner but shall retain the records specified in Section 1776for at least three years after completion of the work.
(5) The department shall undertake those activities it deems necessary to monitor and enforce compliance with prevailing wage requirements.
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(b) The Labor Commissioner may exempt a public works project from compliance with all or part of the requirements of subdivision (a) if either of the following occurs:
(1) The awarding body has enforced an approved labor compliance program, as defined in Section 1771.5, on all public works projects under its authority, except those deemed exempt pursuant to subdivision (a) of Section 1771.5, continuously since December 31, 2011.
(2) The awarding body has entered into a collective bargaining agreement that binds all contractors performing work on the project and that includes a mechanism for resolving disputes about the payment of wages. (c) The requirements of paragraph (1) of subdivision (a) shall only apply to contracts for public works projects awarded on or after January 1, 2015.
(d) The requirements of paragraph (3) of subdivision (a) shall apply to all contracts for public work, whether new or ongoing, on or after January 1, 2016.

Section 1775. Penalties for violations
(a)(1) The contractor and any subcontractor under the contractor shall, as a penalty to the state or political subdivision on whose behalf the contract is made or awarded, forfeit not more than two hundred dollars ($200) for each calendar day, or portion thereof, for each worker paid less than the prevailing wage rates as determined by the director for the work or craft in which the worker is employed for any public work done under the contract by the contractor or, except as provided in subdivision (b), by any subcontractor under the contractor.
(2)(A) The amount of the penalty shall be determined by the Labor Commissioner based on consideration of both of the following:
(i) Whether the failure of the contractor or subcontractor to pay the correct rate of per diem wages was a good faith mistake and, if so, the error was promptly and voluntarily corrected when brought to the attention of the contractor or subcontractor.
(ii) Whether the contractor or subcontractor has a prior record of failing to meet its prevailing wage obligations.
(B)(i) The penalty may not be less than forty dollars ($40) for each calendar day, or portion thereof, for each worker paid less than the prevailing wage rate, unless the failure of the contractor or subcontractor to pay the correct rate of per diem wages was a good faith mistake and, if so, the error was promptly and voluntarily corrected when brought to the attention of the contractor or subcontractor. (ii) The penalty may not be less than eighty dollars ($80) for each calendar day, or portion thereof, for each worker paid less than the prevailing wage rate, if the contractor or subcontractor has been assessed penalties within the previous three years for failing to meet its prevailing wage obligations on a separate contract, unless those penalties were subsequently withdrawn or overturned. (iii) The penalty may not be less than one hundred twenty dollars ($120) for each calendar day, or portion thereof, for each worker paid less than the prevailing wage rate, if the Labor Commissioner determines that the violation was willful, as defined in subdivision (c) of Section 1777.1. (C) If the amount due under this section is collected from the contractor or subcontractor, any outstanding wage claim under Chapter 1 (commencing with Section 1720) of Part 7 of Division 2 against that contractor 878
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or subcontractor shall be satisfied before applying that amount to the penalty imposed on that contractor or subcontractor pursuant to this section.
(D) The determination of the Labor Commissioner as to the amount of the penalty shall be reviewable only for abuse of discretion.
(E) The difference between the prevailing wage rates and the amount paid to each worker for each calendar day or portion thereof for which each worker was paid less than the prevailing wage rate shall be paid to each worker by the contractor or subcontractor, and the body awarding the contract shall cause to be inserted in the contract a stipulation that this section will be complied with. (b) If a worker employed by a subcontractor on a public works project is not paid the general prevailing rate of per diem wages by the subcontractor, the prime contractor of the project is not liable for any penalties under subdivision (a) unless the prime contractor had knowledge of that failure of the subcontractor to pay the specified prevailing rate of wages to those workers or unless the prime contractor fails to comply with all of the following requirements:
(1) The contract executed between the contractor and the subcontractor for the performance of work on the public works project shall include a copy of the provisions of this section and Sections 1771, 1776, 1777.5, 1813, and 1815.
(2) The contractor shall monitor the payment of the specified general prevailing rate of per diem wages by the subcontractor to the employees, by periodic review of the certified payroll records of the subcontractor. (3) Upon becoming aware of the failure of the subcontractor to pay his or her workers the specified prevailing rate of wages, the contractor shall diligently take corrective action to halt or rectify the failure, including, but not limited to, retaining sufficient funds due the subcontractor for work performed on the public works project. (4) Prior to making final payment to the subcontractor for work performed on the public works project, the contractor shall obtain an affidavit signed under penalty of perjury from the subcontractor that the subcontractor has paid the specified general prevailing rate of per diem wages to his or her employees on the public works project and any amounts due pursuant to Section 1813. (c) The Division of Labor Standards Enforcement shall notify the contractor on a public works project within 15 days of the receipt by the Division of Labor Standards Enforcement of a complaint of the failure of a subcontractor on that public works project to pay workers the general prevailing rate of per diem wages.

Section 1776. Payroll records; retention; inspection; redacted information; agencies entitled to receive nonredacted copies of certified records; noncompliance penalties; rules (a) Each contractor and subcontractor shall keep accurate payroll records, showing the name, address, social security number, work classification, straight time and overtime hours worked each day and week, and the actual per diem wages paid to each journeyman, apprentice, worker, or other employee employed by him or her in connection with the public work. Each payroll record shall contain or be verified by a written declaration that it is made under penalty of perjury, stating both of the following:
(1) The information contained in the payroll record is true and correct. (2) The employer has complied with the requirements of Sections 1771, 1811, and 1815 for any work performed by his or her employees on the public works project. 879
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(b) The payroll records enumerated under subdivision (a) shall be certified and shall be available for inspection at all reasonable hours at the principal office of the contractor on the following basis:
(1) A certified copy of an employee's payroll record shall be made available for inspection or furnished to the employee or his or her authorized representative on request. (2) A certified copy of all payroll records enumerated in subdivision (a) shall be made available for inspection or furnished upon request to a representative of the body awarding the contract and the Division of Labor Standards Enforcement of the Department of Industrial Relations. (3) A certified copy of all payroll records enumerated in subdivision (a) shall be made available upon request by the public for inspection or for copies thereof. However, a request by the public shall be made through either the body awarding the contract or the Division of Labor Standards Enforcement. If the requested payroll records have not been provided pursuant to paragraph (2), the requesting party shall, prior to being provided the records, reimburse the costs of preparation by the contractor, subcontractors, and the entity through which the request was made. The public may not be given access to the records at the principal office of the contractor.
(c) Unless required to be furnished directly to the Labor Commissioner in accordance with paragraph (3) of subdivision (a) of Section 1771.4, the certified payroll records shall be on forms provided by the Division of Labor Standards Enforcement or shall contain the same information as the forms provided by the division.

The payroll records may consist of printouts of payroll data that are maintained as computer records, if the printouts contain the same information as the forms provided by the division and the printouts are verified in the manner specified in subdivision (a).
(d) A contractor or subcontractor shall file a certified copy of the records enumerated in subdivision (a) with the entity that requested the records within 10 days after receipt of a written request. (e) Except as provided in subdivision (f), any copy of records made available for inspection as copies and furnished upon request to the public or any public agency by the awarding body or the Division of Labor Standards Enforcement shall be marked or obliterated to prevent disclosure of an individual's name, address, and social security number. The name and address of the contractor awarded the contract or the subcontractor performing the contract shall not be marked or obliterated. Any copy of records made available for inspection by, or furnished to, a multiemployer Taft-Hartley trust fund (29 U.S.C. Sec. 186(c)(5)) that requests the records for the purposes of allocating contributions to participants shall be marked or obliterated only to prevent disclosure of an individual's full social security number, but shall provide the last four digits of the social security number. Any copy of records made available for inspection by, or furnished to, a joint labormanagement committee established pursuant to the federal Labor Management Cooperation Act of 1978 (29 U.S.C. Sec. 175a) shall be marked or obliterated only to prevent disclosure of an individual's social security number.
(f)(1) Notwithstanding any other provision of law, agencies that are included in the Joint Enforcement Strike Force on the Underground Economy established pursuant to Section 329 of the Unemployment Insurance Code and other law enforcement agencies investigating violations of law shall, upon request, be provided nonredacted copies of certified payroll records. Any copies of records or certified payroll made available for inspection and furnished upon request to the public by an agency included in the Joint Enforcement Strike Force on the Underground Economy or to a law enforcement agency investigating a violation of law shall be marked or redacted to prevent disclosure of an individual's name, address, and social security number. 880
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(2) An employer shall not be liable for damages in a civil action for any reasonable act or omission taken in good faith in compliance with this subdivision.
(g) The contractor shall inform the body awarding the contract of the location of the records enumerated under subdivision (a), including the street address, city, and county, and shall, within five working days, provide a notice of a change of location and address.
(h) The contractor or subcontractor has 10 days in which to comply subsequent to receipt of a written notice requesting the records enumerated in subdivision (a). In the event that the contractor or subcontractor fails to comply within the 10-day period, he or she shall, as a penalty to the state or political subdivision on whose behalf the contract is made or awarded, forfeit one hundred dollars ($100) for each calendar day, or portion thereof, for each worker, until strict compliance is effectuated. Upon the request of the Division of Labor Standards Enforcement, these penalties shall be withheld from progress payments then due. A contractor is not subject to a penalty assessment pursuant to this section due to the failure of a subcontractor to comply with this section.
(i) The body awarding the contract shall cause to be inserted in the contract stipulations to effectuate this section.
(j) The director shall adopt rules consistent with the California Public Records Act (Chapter 3.5 (commencing with Section 6250) of Division 7 of Title 1 of the Government Code) and the Information Practices Act of 1977 (Title 1.8 (commencing with Section 1798) of Part 4 of Division 3 of the Civil Code) governing the release of these records, including the establishment of reasonable fees to be charged for reproducing copies of records required by this section.

Section 1777.5. Employment of registered apprentices; wages; standards; number; apprenticeable craft or trade; exemptions; contributions; compliance program (a)(1) This chapter does not prevent the employment upon public works of properly registered apprentices who are active participants in an approved apprenticeship program. (2) For purposes of this chapter, “apprenticeship program” means a program under the jurisdiction of the California Apprenticeship Council established pursuant to Section 3070. (b)(1) Every apprentice employed upon public works shall be paid 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 the craft or trade to which he or she is registered.
(2) Unless otherwise provided by a collective bargaining agreement, when a contractor requests the dispatch of an apprentice pursuant to this section to perform work on a public works project and requires the apprentice to fill out an application or undergo testing, training, an examination, or other preemployment process as a condition of employment, the apprentice shall be paid for the time spent on the required preemployment activity, including travel time to and from the required activity, if any, at the prevailing rate of per diem wages for apprentices in the trade to which he or she is registered. Unless otherwise provided by a collective bargaining agreement, a contractor is not required to compensate an apprentice for the time spent on preemployment activities if the apprentice is required to take a preemployment drug or alcohol test and he or she fails to pass that test.
(c) Only apprentices, as defined in Section 3077, who are in training under apprenticeship standards that have been approved by the Chief of the Division of Apprenticeship Standards and who are parties to written 881
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apprentice agreements under Chapter 4 (commencing with Section 3070) of Division 3 are eligible to be employed at the apprentice wage rate on public works. The employment and training of each apprentice shall be in accordance with either of the following:
(1) The apprenticeship standards and apprentice agreements under which he or she is training. (2) The rules and regulations of the California Apprenticeship Council. (d) If the contractor to whom the contract is awarded by the state or any political subdivision, in performing any of the work under the contract, employs workers in any apprenticeable craft or trade, the contractor shall employ apprentices in at least the ratio set forth in this section and may apply to any apprenticeship program in the craft or trade that can provide apprentices to the site of the public work for a certificate approving the contractor under the apprenticeship standards for the employment and training of apprentices in the area or industry affected. However, the decision of the apprenticeship program to approve or deny a certificate shall be subject to review by the Administrator of Apprenticeship. The apprenticeship program or programs, upon approving the contractor, shall arrange for the dispatch of apprentices to the contractor. A contractor covered by an apprenticeship program's standards shall not be required to submit any additional application in order to include additional public works contracts under that program. “Apprenticeable craft or trade,” as used in this section, means a craft or trade determined as an apprenticeable occupation in accordance with rules and regulations prescribed by the California Apprenticeship Council. As used in this section, “contractor” includes any subcontractor under a contractor who performs any public works not excluded by subdivision (o).
(e) Before commencing work on a contract for public works, every contractor shall submit contract award information to an applicable apprenticeship program that can supply apprentices to the site of the public work.

The information submitted shall include an estimate of journeyman hours to be performed under the contract, the number of apprentices proposed to be employed, and the approximate dates the apprentices would be employed. A copy of this information shall also be submitted to the awarding body, if requested by the awarding body. Within 60 days after concluding work on the contract, each contractor and subcontractor shall submit to the awarding body, if requested, and to the apprenticeship program a verified statement of the journeyman and apprentice hours performed on the contract. The information under this subdivision shall be public. The apprenticeship programs shall retain this information for 12 months. (f) The apprenticeship program supplying apprentices to the area of the site of the public work shall ensure equal employment and affirmative action in apprenticeship for women and minorities. (g) The ratio of work performed by apprentices to journeymen employed in a particular craft or trade on the public work may be no higher than the ratio stipulated in the apprenticeship standards under which the apprenticeship program operates if the contractor agrees to be bound by those standards. However, except as otherwise provided in this section, in no case shall the ratio be less than one hour of apprentice work for every five hours of journeyman work.
(h) This ratio of apprentice work to journeyman work shall apply during any day or portion of a day when any journeyman is employed at the jobsite and shall be computed on the basis of the hours worked during the day by journeymen so employed. Any work performed by a journeyman in excess of eight hours per day or 40 hours per week shall not be used to calculate the ratio. The contractor shall employ apprentices for the number of hours computed as above before the end of the contract or, in the case of a subcontractor, before the end of the subcontract. However, the contractor shall endeavor, to the greatest extent possible, to employ apprentices during the same time period that the journeymen in the same craft or trade are employed at the jobsite. When an hourly apprenticeship ratio is not feasible for a particular craft or trade, the Administrator 882
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of Apprenticeship, upon application of an apprenticeship program, may order a minimum ratio of not less than one apprentice for each five journeymen in a craft or trade classification. (i) A contractor covered by this section who has agreed to be covered by an apprenticeship program's standards upon the issuance of the approval certificate, or who has been previously approved for an apprenticeship program in the craft or trade, shall employ the number of apprentices or the ratio of apprentices to journeymen stipulated in the applicable apprenticeship standards, but in no event less than the 1-to-5 ratio required by subdivision (g).
(j) Upon proper showing by a contractor that he or she employs apprentices in a particular craft or trade in the state on all of his or her contracts on an annual average of not less than one hour of apprentice work for every five hours of labor performed by journeymen, the Administrator of Apprenticeship may grant a certificate exempting the contractor from the 1-to-5 hourly ratio, as set forth in this section for that craft or trade. (k) An apprenticeship program has the discretion to grant to a participating contractor or contractor association a certificate, which shall be subject to the approval of the Administrator of Apprenticeship, exempting the contractor from the 1-to-5 ratio set forth in this section when it finds that any one of the following conditions is met:
(1) Unemployment for the previous three-month period in the area exceeds an average of 15 percent. (2) The number of apprentices in training in the area exceeds a ratio of 1 to 5. (3) There is a showing that the apprenticeable craft or trade is replacing at least one-thirtieth of its journeymen annually through apprenticeship training, either on a statewide basis or on a local basis. (4) Assignment of an apprentice to any work performed under a public works contract would create a condition that would jeopardize his or her life or the life, safety, or property of fellow employees or the public at large, or the specific task to which the apprentice is to be assigned is of a nature that training cannot be provided by a journeyman.
(l) If an exemption is granted pursuant to subdivision (k) to an organization that represents contractors in a specific trade from the 1-to-5 ratio on a local or statewide basis, the member contractors shall not be required to submit individual applications for approval to local joint apprenticeship committees, if they are already covered by the local apprenticeship standards.
(m)(1) A contractor to whom a contract is awarded, who, in performing any of the work under the contract, employs journeymen or apprentices in any apprenticeable craft or trade shall contribute to the California Apprenticeship Council the same amount that the director determines is the prevailing amount of apprenticeship training contributions in the area of the public works site. A contractor may take as a credit for payments to the council any amounts paid by the contractor to an approved apprenticeship program that can supply apprentices to the site of the public works project. The contractor may add the amount of the contributions in computing his or her bid for the contract. (2)(A) At the conclusion of the 2002-03 fiscal year and each fiscal year thereafter, the California Apprenticeship Council shall distribute training contributions received by the council under this subdivision, less the expenses of the Department of Industrial Relations for administering this subdivision, by making grants to approved apprenticeship programs for the purpose of training apprentices. The grant funds shall be distributed as follows:
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(i) If there is an approved multiemployer apprenticeship program serving the same craft or trade and geographic area for which the training contributions were made to the council, a grant to that program shall be made.
(ii) If there are two or more approved multiemployer apprenticeship programs serving the same craft or trade and county for which the training contributions were made to the council, the grant shall be divided among those programs based on the number of apprentices from that county registered in each program. (iii) All training contributions not distributed under clauses (i) and (ii) shall be used to defray the future expenses of the Department of Industrial Relations for the administration and enforcement of apprenticeship and preapprenticeship standards and requirements under this code. (B) An apprenticeship program shall only be eligible to receive grant funds pursuant to this subdivision if the apprenticeship program agrees, prior to the receipt of any grant funds, to keep adequate records that document the expenditure of grant funds and to make all records available to the Department of Industrial Relations so that the Department of Industrial Relations is able to verify that grant funds were used solely for training apprentices. For purposes of this subparagraph, adequate records include, but are not limited to, invoices, receipts, and canceled checks that account for the expenditure of grant funds. This subparagraph shall not be deemed to require an apprenticeship program to provide the Department of Industrial Relations with more documentation than is necessary to verify the appropriate expenditure of grant funds made pursuant to this subdivision.
(C) The Department of Industrial Relations shall verify that grants made pursuant to this subdivision are used solely to fund training apprentices. If an apprenticeship program is unable to demonstrate how grant funds are expended or if an apprenticeship program is found to be using grant funds for purposes other than training apprentices, then the apprenticeship program shall not be eligible to receive any future grant pursuant to this subdivision and the Department of Industrial Relations may initiate the process to rescind the registration of the apprenticeship program.
(3) All training contributions received pursuant to this subdivision shall be deposited in the Apprenticeship Training Contribution Fund, which is hereby created in the State Treasury. Upon appropriation by the Legislature, all moneys in the Apprenticeship Training Contribution Fund shall be used for the purpose of carrying out this subdivision and to pay the expenses of the Department of Industrial Relations. (n) The body awarding the contract shall cause to be inserted in the contract stipulations to effectuate this section. The stipulations shall fix the responsibility of compliance with this section for all apprenticeable occupations with the prime contractor.
(o) This section does not apply to contracts of general contractors or to contracts of specialty contractors not bidding for work through a general or prime contractor when the contracts of general contractors or those specialty contractors involve less than thirty thousand dollars ($30,000). (p) An awarding body that implements an approved labor compliance program in accordance with subdivision (b) of Section 1771.5 may, with the approval of the director, assist in the enforcement of this section under the terms and conditions prescribed by the director.

Section 1813. Forfeiture for violations; contract stipulation; report of violations The contractor or subcontractor shall, as a penalty to the state or political subdivision on whose behalf the contract is made or awarded, forfeit twenty- five dollars ($25) for each worker employed in the execution of 884
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the contract by the respective contractor or subcontractor for each calendar day during which the worker is required or permitted to work more than 8 hours in any one calendar day and 40 hours in any one calendar week in violation of the provisions of this article. In awarding any contract for public work, the awarding body shall cause to be inserted in the contract a stipulation to this effect. The awarding body shall take cognizance of all violations of this article committed in the course of the execution of the contract, and shall report them to the Division of Labor Standards Enforcement.

Section 1815. Overtime
Notwithstanding the provisions of Sections 1810 to 1814, inclusive, of this code, and notwithstanding any stipulation inserted in any contract pursuant to the requirements of said sections, work performed by employees of contractors in excess of 8 hours per day, and 40 hours during any one week, shall be permitted upon public work upon compensation for all hours worked in excess of 8 hours per day at not less than 1 ½ times the basic rate of pay.
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ATTACHMENT NO. 2
CALIFORNIA PUBLIC CONTRACT CODE SECTION 9204
Section 9204. Legislative findings and declarations regarding timely and complete payment of contractors for public works projects; claims process (Eff: January 1, 2017) (a) The Legislature finds and declares that it is in the best interests of the state and its citizens to ensure that all construction business performed on a public works project in the state that is complete and not in dispute is paid in full and in a timely manner.
(b) Notwithstanding any other law, including, but not limited to, Article 7.1 (commencing with Section 10240) of Chapter 1 of Part 2, Chapter 10 (commencing with Section 19100) of Part 2, and Article 1.5 (commencing with Section 20104) of Chapter 1 of Part 3, this section shall apply to any claim by a contractor in connection with a public works project.
(c) For purposes of this section:
(1) “Claim” means a separate demand by a contractor sent by registered mail or certified mail with return receipt requested, for one or more of the following:
(A) A time extension, including, without limitation, for relief from damages or penalties for delay assessed by a public entity under a contract for a public works project. (B) Payment by the public entity of money or damages arising from work done by, or on behalf of, the contractor pursuant to the contract for a public works project and payment for which is not otherwise expressly provided or to which the claimant is not otherwise entitled. (C) Payment of an amount that is disputed by the public entity. (2) “Contractor” means any type of contractor within the meaning of Chapter 9 (commencing with Section 7000) of Division 3 of the Business and Professions Code who has entered into a direct contract with a public entity for a public works project.
(3)(A) “Public entity” means, without limitation, except as provided in subparagraph (B), a state agency, department, office, division, bureau, board, or commission, the California State University, the University of California, a city, including a charter city, county, including a charter county, city and county, including a charter city and county, district, special district, public authority, political subdivision, public corporation, or nonprofit transit corporation wholly owned by a public agency and formed to carry out the purposes of the public agency.
(B) “Public entity” shall not include the following:
(i) The Department of Water Resources as to any project under the jurisdiction of that department. (ii) The Department of Transportation as to any project under the jurisdiction of that department. (iii) The Department of Parks and Recreation as to any project under the jurisdiction of that department. (iv) The Department of Corrections and Rehabilitation with respect to any project under its jurisdiction pursuant to Chapter 11 (commencing with Section 7000) of Title 7 of Part 3 of the Penal Code. 886
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(v) The Military Department as to any project under the jurisdiction of that department. (vi) The Department of General Services as to all other projects. (vii) The High-Speed Rail Authority.
(4) “Public works project” means the erection, construction, alteration, repair, or improvement of any public structure, building, road, or other public improvement of any kind. (5) “Subcontractor” means any type of contractor within the meaning of Chapter 9 (commencing with Section 7000) of Division 3 of the Business and Professions Code who either is in direct contract with a contractor or is a lower tier subcontractor.
(d)(1)(A) Upon receipt of a claim pursuant to this section, the public entity to which the claim applies shall conduct a reasonable review of the claim and, within a period not to exceed 45 days, shall provide the claimant a written statement identifying what portion of the claim is disputed and what portion is undisputed. Upon receipt of a claim, a public entity and a contractor may, by mutual agreement, extend the time period provided in this subdivision.
(B) The claimant shall furnish reasonable documentation to support the claim. (C) If the public entity needs approval from its governing body to provide the claimant a written statement identifying the disputed portion and the undisputed portion of the claim, and the governing body does not meet within the 45 days or within the mutually agreed to extension of time following receipt of a claim sent by registered mail or certified mail, return receipt requested, the public entity shall have up to three days following the next duly publicly noticed meeting of the governing body after the 45-day period, or extension, expires to provide the claimant a written statement identifying the disputed portion and the undisputed portion. (D) Any payment due on an undisputed portion of the claim shall be processed and made within 60 days after the public entity issues its written statement. If the public entity fails to issue a written statement, paragraph (3) shall apply.
(2)(A) If the claimant disputes the public entity’s written response, or if the public entity fails to respond to a claim issued pursuant to this section within the time prescribed, the claimant may demand in writing an informal conference to meet and confer for settlement of the issues in dispute. Upon receipt of a demand in writing sent by registered mail or certified mail, return receipt requested, the public entity shall schedule a meet and confer conference within 30 days for settlement of the dispute. (B) Within 10 business days following the conclusion of the meet and confer conference, if the claim or any portion of the claim remains in dispute, the public entity shall provide the claimant a written statement identifying the portion of the claim that remains in dispute and the portion that is undisputed. Any payment due on an undisputed portion of the claim shall be processed and made within 60 days after the public entity issues its written statement. Any disputed portion of the claim, as identified by the contractor in writing, shall be submitted to nonbinding mediation, with the public entity and the claimant sharing the associated costs equally. The public entity and claimant shall mutually agree to a mediator within 10 business days after the disputed portion of the claim has been identified in writing. If the parties cannot agree upon a mediator, each party shall select a mediator and those mediators shall select a qualified neutral third party to mediate with regard to the disputed portion of the claim. Each party shall bear the fees and costs charged by its respective mediator in connection with the selection of the neutral mediator. If mediation is unsuccessful, the parts of the claim remaining in dispute shall be subject to applicable procedures outside this section. 887
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(C) For purposes of this section, mediation includes any nonbinding process, including, but not limited to, neutral evaluation or a dispute review board, in which an independent third party or board assists the parties in dispute resolution through negotiation or by issuance of an evaluation. Any mediation utilized shall conform to the timeframes in this section.
(D) Unless otherwise agreed to by the public entity and the contractor in writing, the mediation conducted pursuant to this section shall excuse any further obligation under Section 20104.4 to mediate after litigation has been commenced.
(E) This section does not preclude a public entity from requiring arbitration of disputes under private arbitration or the Public Works Contract Arbitration Program, if mediation under this section does not resolve the parties’ dispute.
(3) Failure by the public entity to respond to a claim from a contractor within the time periods described in this subdivision or to otherwise meet the time requirements of this section shall result in the claim being deemed rejected in its entirety. A claim that is denied by reason of the public entity’s failure to have responded to a claim, or its failure to otherwise meet the time requirements of this section, shall not constitute an adverse finding with regard to the merits of the claim or the responsibility or qualifications of the claimant. (4) Amounts not paid in a timely manner as required by this section shall bear interest at 7 percent per annum. (5) If a subcontractor or a lower tier subcontractor lacks legal standing to assert a claim against a public entity because privity of contract does not exist, the contractor may present to the public entity a claim on behalf of a subcontractor or lower tier subcontractor. A subcontractor may request in writing, either on their own behalf or on behalf of a lower tier subcontractor, that the contractor present a claim for work which was performed by the subcontractor or by a lower tier subcontractor on behalf of the subcontractor. The subcontractor requesting that the claim be presented to the public entity shall furnish reasonable documentation to support the claim. Within 45 days of receipt of this written request, the contractor shall notify the subcontractor in writing as to whether the contractor presented the claim to the public entity and, if the original contractor did not present the claim, provide the subcontractor with a statement of the reasons for not having done so. (e) The text of this section or a summary of it shall be set forth in the plans or specifications for any public works project that may give rise to a claim under this section. (f) A waiver of the rights granted by this section is void and contrary to public policy, provided, however, that (1) upon receipt of a claim, the parties may mutually agree to waive, in writing, mediation and proceed directly to the commencement of a civil action or binding arbitration, as applicable; and (2) a public entity may prescribe reasonable change order, claim, and dispute resolution procedures and requirements in addition to the provisions of this section, so long as the contractual provisions do not conflict with or otherwise impair the timeframes and procedures set forth in this section. (g) This section applies to contracts entered into on or after January 1, 2017. (h) Nothing in this section shall impose liability upon a public entity that makes loans or grants available through a competitive application process, for the failure of an awardee to meet its contractual obligations. (i) This section shall remain in effect only until January 1, 2027, and as of that date is repealed, unless a later enacted statute, that is enacted before January 1, 2027, deletes or extends that date. 888
Agenda Item
City Council
Item #: 3.14. 11/14/2023 File #: 23-0725
TO: Honorable Mayor and Members of the City Council
THRU: Tom Kisela, City Manager
FROM: Leslie Hardy, Community Services Director

1. SUBJECT
Award of Contract to Onyx Paving Company, Inc. for parking lot pavement rehabilitation at Fred Barrera, Santiago Hills, and Serrano Parks and McPherson Athletic Center; resurfacing of bike trails and walking paths at the following locations: El Modena Bike Trail, Santiago Creek Bike Trail, and Hart Park; and finding of CEQA exemption.

2. SUMMARY
As part of the Parking Lot Pavement Rehabilitation (30053) and Resurfacing Bike Trails and Walking Paths (20475) Capital Improvement Projects, an evaluation of City maintained park parking lots, bike trails, and walking path revealed that pavement maintenance and rehabilitation treatment were needed at Serrano, Fred Barrera, and Santiago Hills Parks, and the McPherson Athletic Center parking lots. Additionally, the evaluation concluded that resurfacing was needed along city owned bike trails and walking paths at El Modena Bike Trail, Santiago Creek Bike Trail, and Hart Park walking paths. The evaluation also identified ADA compliance work needed at various specified locations. Staff is recommending that the City Council award a contract to Onyx Paving Company, Inc. to complete the construction of both projects.

3. RECOMMENDED ACTION

1. Approve the contract with Onyx Paving Company, Inc. in the amount of $1,059,300 for Parking Lot Pavement Rehabilitation (30053) and Resurfacing Bike Trails and Walking Paths (20475); and authorize the Mayor and City Clerk to execute on behalf of the City.

2. Authorize an appropriation transfer of $43,968.18 from expenditure account 510.7021.56015.20475 - CIP - Reno-Resurfacing Bike Trails to 510.7021.56015.30053 - Parking Lot Pavement Rehab.

3. Authorize the appropriation of $183,568 in unreserved Park Acquisition (Infill) (510) fund balance to expenditure account 510.7021.56015.30053 - Parking Lot Pavement Rehab.

4. FISCAL IMPACT
The total expenditure for this agreement is $1,059,300 and will be funded in the Parking Lot Pavement Rehabilitation (30053) and the Resurfacing Bike Trails and Walking Paths (20475) projects through:

Park Acquisition (Infill) (510) account 510.7021.56015.20475 - CIP - Reno-Resurfacing Bike Trails
$164,929.82
Park Acquisition and Development (Quimby) (511) account 511.7021.56020.20475 - CIP - Reno-Resurfacing Bike Trails 175,219.00
Park Acquisition (Infill) (510) account 510.7021.56015.30053 - Parking Lot Pavement Rehab
719,151.18
City of Orange Page 1 of 3 Printed on 11/8/2023
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Park Acquisition (Infill) (510) account 510.7021.56015.20475 - CIP - Item #: 3.14. 11/14/2023 File #: 23-0725 Reno-Resurfacing Bike Trails
$164,929.82
Park Acquisition and Development (Quimby) (511) account 511.7021.56020.20475 - CIP - Reno-Resurfacing Bike Trails 175,219.00
Park Acquisition (Infill) (510) account 510.7021.56015.30053 - Parking Lot Pavement Rehab
719,151.18
Total: $1,059,300.00
Upon approval of this appropriation, the estimated fund balance in the 510 fund at June 30, 2024, will be $3.674 million

5. STRATEGIC PLAN GOALS
Goal 1: Provide for a safe community.
b: Provide and maintain infrastructure necessary to ensure the safety of the public.

Goal 3: Enhance and promote quality of life in the community. a: Renovate, maintain, develop, and/or expand public use places and spaces.

6. DISCUSSION AND BACKGROUND
The asphalt parking lot pavement in City parks degrade in various stages over time, requiring a pavement maintenance and rehabilitation (M&R) treatment to protect from further degradation. Some lots require complete removal and replacement of asphalt pavement, some can be ground down and capped with new asphalt, and other lots require slurry coating and new striping. As part of a multiyear parking lot pavement rehabilitation initiative, successful pavement M&R treatments have been completed at the following parking lots: Killefer parking lot in Fiscal Year 2016-17 (FY17), Eisenhower and El Camino parking lots in Fiscal Year 2018-19 (FY19), and Olive and Grijalva parking lots in Fiscal Year 2020-21 (FY21). The parking lot at Shaffer Park was completed in FY19 as part of the Shaffer Park Renovation project and Handy Park was incorporated into the Handy Park Maintenance Renovation project which was completed in Fiscal Year 2021-22 (FY22).

In addition, several areas and sections of City bike trails and adjacent walking paths were identified as needing maintenance and/or repair. In FY21, the Resurfacing Bike Trails and Walking Paths (20475) Capital Improvement Project (CIP) was approved.

In Fiscal Year 2022-23 (FY23), Quality Engineering Solutions, Inc. (QES) evaluated the parking lots at Fred Barerra, Santiago Hills, and Serrano Parks, and the McPherson Athletic Center and provided a scope of work needed. QES also studied the bike trail adjacent to the El Modena Open Space on N. Cannon St, City-owned portions of the Santiago Creek Bike Trail, and sections of walking paths through Hart Park near the tennis court and Diamond 1. The subsequent report revealed that each location required some degree of pavement M&R treatment and ADA compliance work at all of these locations to include crack sealing, slurry seal and re-stripe, and asphalt removal and replacement.

Based upon the results of the evaluations, QES also provided a biddable scope of work for the Parking Lot Pavement Rehabilitation (30053) and Resurfacing Bike Trails and Walking Paths (20475) projects. Staff issued a request for bids to complete these projects (RFB No. 23-24.07). The City received five bids in September 2023:

1. Onyx Paving Company, Inc., Anaheim, CA $963,000.00

2. Century Paving, Inc., La Mirada, CA $995,332.00

3. R.J. Noble Company, Orange, CA $1,106,646.95

4. All American Asphalt, Corona, CA $1,248,444.00

5. Elegant Construction, Inc., Irvine, CA $1,382,640.00 The lowest responsive and responsible bid is from Onyx Paving Company, Inc., for $963,000. Staff City of Orange Page 2 of 3 Printed on 11/8/2023
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Item #: 3.14. 11/14/2023 File #: 23-0725
The lowest responsive and responsible bid is from Onyx Paving Company, Inc., for $963,000. Staff verified the qualifications of the vendor with references provided for similar projects and received positive responses.

Staff is recommending that the City Council take three actions. First, it is recommended the City Council approve an agreement with Onyx Paving to complete the two CIP projects. The total amount for the contract is $1,059,300, which includes a 10 percent contingency of $96,300. Project 30053 has an estimated expense of $719,151.18 and Project 20475 has an estimated expense of $340,148.82.

The Fiscal Year 2023-24 (FY24) approved CIP includes funding of $491,615 from the Park Acquisition (Infill) (510) for Project 30053, creating a short fall of $227,536.18 in available appropriation for this project. The FY24 approved CIP also includes appropriations totaling $384,117 from the Park Acquisition (Infill) (510) and Park Acquisition and Development (Quimby) (511) funds for Project 20475. Therefore, staff is recommending that the City Council approve an appropriation transfer from Project 20475 to Project 30053 to assist in covering the cost.

Lastly, following this action, Project 30053 will require an additional appropriation to account for the estimated expense to repair the parking lots. As such, staff is recommending the City Council approve an appropriation of $183,568 from the unreserved Park Acquisition (Infill) (510) fund to the Parking Lot Pavement Rehabilitation (30053) project.

All work will be done with the intent to minimize disruption to regular park programming or facility rentals. It may be necessary to restrict access to one or more facilities for specific dates, times, or durations for safety reasons. Signage will be placed at appropriate locations to inform the public of any closures. Work start date and completion will be contingent upon weather conditions.

8. ATTACHMENTS
· Contract with Onyx Paving Company, Inc.

City of Orange Page 3 of 3 Printed on 11/8/2023
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Agenda Item
City Council
Item #: 3.14. 11/14/2023 File #: 23-0725
TO: Honorable Mayor and Members of the City Council
THRU: Tom Kisela, City Manager
FROM: Leslie Hardy, Community Services Director

3. RECOMMENDED ACTION

2. Authorize an appropriation transfer of $43,968.18 from expenditure account 510.7021.56015.20475 - CIP - Reno-Resurfacing Bike Trails to 510.7021.56015.30053 - Parking Lot Pavement Rehab.

3. Authorize the appropriation of $183,568 in unreserved Park Acquisition (Infill) (510) fund balance to expenditure account 510.7021.56015.30053 - Parking Lot Pavement Rehab.

Park Acquisition (Infill) (510) account 510.7021.56015.20475 - CIP - Reno-Resurfacing Bike Trails
$164,929.82
Park Acquisition and Development (Quimby) (511) account 511.7021.56020.20475 - CIP - Reno-Resurfacing Bike Trails 175,219.00
Park Acquisition (Infill) (510) account 510.7021.56015.30053 - Parking Lot Pavement Rehab
719,151.18
City of Orange Page 1 of 3 Printed on 11/8/2023
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Park Acquisition (Infill) (510) account 510.7021.56015.20475 - CIP - Item #: 3.14. 11/14/2023 File #: 23-0725 Reno-Resurfacing Bike Trails
$164,929.82
Park Acquisition and Development (Quimby) (511) account 511.7021.56020.20475 - CIP - Reno-Resurfacing Bike Trails 175,219.00
Park Acquisition (Infill) (510) account 510.7021.56015.30053 - Parking Lot Pavement Rehab
719,151.18
Total: $1,059,300.00
Upon approval of this appropriation, the estimated fund balance in the 510 fund at June 30, 2024, will be $3.674 million

5. STRATEGIC PLAN GOALS
Goal 1: Provide for a safe community.
b: Provide and maintain infrastructure necessary to ensure the safety of the public.

Goal 3: Enhance and promote quality of life in the community. a: Renovate, maintain, develop, and/or expand public use places and spaces.

1. Onyx Paving Company, Inc., Anaheim, CA $963,000.00

2. Century Paving, Inc., La Mirada, CA $995,332.00

3. R.J. Noble Company, Orange, CA $1,106,646.95

4. All American Asphalt, Corona, CA $1,248,444.00

5. Elegant Construction, Inc., Irvine, CA $1,382,640.00 The lowest responsive and responsible bid is from Onyx Paving Company, Inc., for $963,000. Staff City of Orange Page 2 of 3 Printed on 11/8/2023
powered by Legistar™893
Item #: 3.14. 11/14/2023 File #: 23-0725
The lowest responsive and responsible bid is from Onyx Paving Company, Inc., for $963,000. Staff verified the qualifications of the vendor with references provided for similar projects and received positive responses.

8. ATTACHMENTS
· Contract with Onyx Paving Company, Inc.

City of Orange Page 3 of 3 Printed on 11/8/2023
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CONTRACT
[Parking Lot Pavement Rehabilitation And Resurfacing Of Bike Trails And Walking Paths (RFB No. 23-24.07)]
THIS CONTRACT (the “Contract”) is made and entered into as of ______________, 20__ (“Effective Date”) by and between the CITY OF ORANGE, a municipal corporation (“City”), and ONYX PAVING COMPANY, INC., a California corporation (“Contractor”), who agree as follows.

ARTICLE 2
Commencement of Work
Contractor shall commence the Work provided for in this Contract within fifteen (15) days of the date of the issuance by City of a Notice to Proceed and diligently prosecute completion of the Work within ninety (90) calendar days from such date, unless legal extension is granted in accordance with the terms set forth in the Greenbook. Time is of the essence in this Contract.

Contractor shall do all things necessary and incidental to the prosecution of Contractor's Work.

ARTICLE 3
Compensation
a. Contractor agrees to receive and accept an amount not to exceed NINE HUNDRED SIXTY-THREE THOUSAND DOLLARS and 00/100 ($963,000.00) as compensation for furnishing all materials and doing all the Work contemplated and embraced in this Contract. Said compensation covers (1) all loss or damage arising out of the nature of the Work, from the acts of the elements; (2) any unforeseen difficulties or obstructions which may arise or be encountered in the prosecution of the Work until its acceptance by City, other than as provided below; (3) all risks of every description connected with the Work; (4) all expenses incurred by or in consequence of the suspension or discontinuance of the Work; and (5) well and faithfully completing the Work, and for the whole thereof, in the manner and according to the Plans and Specifications, and requirements of the Authorized City Representative under them. Retention amounts shall be withheld from progress payments as required by law unless Contractor provides securities in lieu of retention.
b. In addition to the scheduled Work to be performed by the Contractor, the parties recognize that additional, unforeseen work and services may be required by the Authorized City Representative. In anticipation of such contingencies, the sum of NINETY-SIX THOUSAND THREE HUNDRED DOLLARS and 00/100 ($96,300.00) has been added to the total compensation of this Contract. The Authorized City Representative may approve the additional work and the actual costs incurred by the Contractor in performance of additional work or services in accordance with such amount as the Authorized City Representative and the Contractor may agree upon in advance. Said additional work or services and the amount of compensation therefore, up to the amount of the authorized contingency, shall be memorialized in the form of a Contract Amendment approved by the City Manager on a form acceptable to the City Attorney.

The Contractor agrees to perform only that work or those services that are specifically requested by the Authorized City Representative. Any and all additional work and services performed under this Contract shall be completed in such sequence as to assure their completion as expeditiously as is consistent with professional skill and care in accordance with a cost estimate or proposal submitted to and approved by the Authorized City Representative prior to the commencement of such Work or services.
896
3 c. The total amount of compensation under this Contract, including contingencies, shall not exceed ONE MILLION FIFTY-NINE THOUSAND THREE HUNDRED DOLLARS and 00/100 ($1,059,300.00).

ARTICLE 5
Guarantees
a. Contractor guarantees the construction and installation of all Work included in the Plans and Specifications for which Contractor has been awarded this Contract. b. Should any of the materials or equipment installed pursuant to this Contract prove defective or should the Work as a whole prove defective, due to faulty equipment, workmanship, materials furnished or methods of installations, or should said Work or any part thereof fail to function properly, as designed, due to any of the above causes within twelve (12) months after the date on which said Work is accepted by City, Contractor shall make repairs and furnish such materials and equipment as are necessary to be furnished and installed within fifteen (15) calendar days after the receipt of a demand from City.
c. Said Work will be deemed defective within the meaning of this guarantee in the event that it fails to function as originally intended either by the Plans and Specifications of this Contract or by the manufacturer(s) of the equipment incorporated into the Work. d. In the event repairs are not made within fifteen (15) calendar days after Contractor's receipt of a demand from City, City shall have the unqualified option to make any needed repairs or replacements itself or by any other contractor. Contractor shall reimburse City, upon demand, for all expenses incurred in restoring said Work to the condition contemplated in this Contract, including the cost of any equipment or materials replaced. e. It is understood that emergency repairs may, by necessity, be made by City.

Therefore, when defective equipment, materials or workmanship result in emergency repairs by City, Contractor shall reimburse City, upon demand, for all expenses incurred. Emergency repairs will be deemed as those repairs determined by City’s Community Services Senior Project/Landscape Coordinator to be necessary due to an immediate detriment to the health, safety, welfare or convenience of the residents of City.

ARTICLE 6
Water Quality
a. The Santa Ana Regional Water Quality Control Board (“RWQCB”) has issued National Pollutant Discharge Elimination System (“NPDES”) Permit No. R8-2009-0030 (the 897
4 “Permit”), which governs storm water and non-storm water discharges resulting from municipal activities performed by City or its contractors. In order to comply with the Permit requirements, the County of Orange has prepared a Drainage Area Management Plan (“DAMP”), containing Model Maintenance Procedures with Best Management Practices (“BMPs”) that City and its contractors must adhere to. The Model Maintenance Procedures contain pollution prevention and source control techniques to minimize the impact of those activities upon dry-weather urban runoff, storm water runoff, and receiving water quality. Examples include: wash water from cleaning of sidewalks or parking lots must be collected and disposed of in the sewer or landscaped areas.
b. The Permit, the DAMP and the Model Maintenance Procedures are on file in the office of City’s Director of Public Works. Contractor hereby acknowledges that it has read, reviewed and understands the Permit, the DAMP and the Model Maintenance Procedures, as they relate to the Work and hereby shall perform the Work in conformance therewith.

ARTICLE 7
Independent Contractor; Contractor not Agent
a. At all times during the term of this Contract, Contractor shall be an independent contractor and not an employee of City. City shall have the right to control Contractor only insofar as the result of Contractor’s services rendered pursuant to this Contract. City shall not have the right to control the means by which Contractor accomplishes services rendered pursuant to this Contract. Contractor shall, at its sole cost and expense, furnish all facilities, materials and equipment which may be required for furnishing services pursuant to this Contract. Contractor shall be solely responsible for, and shall indemnify, defend and save City harmless from all matters relating to the payment of its subcontractors, agents and employees, including compliance with social security, withholding and all other wages, salaries, benefits, taxes, exactions, and regulations of any nature whatsoever. Contractor acknowledges that Contractor and any subcontractors, agents or employees employed by Contractor shall not, under any circumstances, be considered employees of City, and that they shall not be entitled to any of the benefits or rights afforded employees of City, including, but not limited to, sick leave, vacation leave, holiday pay, Public Employees Retirement System benefits, or health, life, dental, long-term disability or workers' compensation insurance benefits.
b. Except as City may specify in writing, Contractor shall have no authority, express or implied, to act on behalf of City in any capacity whatsoever as an agent. Contractor shall have no authority, express or implied, to bind City to any obligation whatsoever.

To the extent Contractor’s employees will perform any work that falls within any of the classifications for which the Department of Labor Relations of the State of California promulgates prevailing wage determinations, Contractor hereby agrees that Contractor, and any subcontractor under it, shall pay not less than the specified prevailing rates of wages to all such workers. The 898
5 general prevailing wage determinations for crafts can be located on the website of the Department of Industrial Relations (www.dir.ca.gov/DLSR). Additionally, to perform work under this Contract, Contractor must meet all State registration requirements and criteria, including project compliance monitoring.
b. Attached hereto as Attachment No. 1 and incorporated herein by this reference is a copy of the provisions of Sections 1725.5, 1771, 1771.1, 1771.4, 1775, 1776, 1777.5, 1813 and 1815 of the California Labor Code. Contractor hereby acknowledges that it has read, reviewed and understands those provisions of the Labor Code and shall prosecute and complete the Work under this Contract in strict compliance with all of those terms and provisions. c. Contractor shall secure the payment of compensation to its employees in accordance with the provisions of Section 3700 of the California Labor Code. Accordingly, and as required by Section 1861 of the California Labor Code, Contractor hereby certifies as follows:
“I am aware of the provisions of Section 3700 of the Labor Code which require every employer to be insured against liability for workers' compensation or to undertake self-insurance in accordance with the provisions of that code, and I will comply with such provisions before commencing the performance of the work of this contract.”
d. Contractor shall indemnify, protect, defend and hold harmless City and its officers, employees, contractors and agents, with counsel reasonably acceptable to City, from and against any and all loss, liability, damage, claim, cost, expense, and/or “increased costs” (including reasonable attorney’s fees, court and litigation costs, and fees of expert witnesses) which result or arise in any way from the noncompliance by Contractor of any applicable local, state and/or federal law, including, without limitation, any applicable federal and/or state labor laws (including, without limitation, the requirement to pay state prevailing wages). It is agreed by the parties that, in connection with the construction of the Work which is the subject of this Contract, Contractor shall bear all risks of payment or non-payment of state prevailing wages. “Increased costs” as used in this paragraph shall have the meaning ascribed to it in Labor Code Section 1781, as the same may be enacted, adopted or amended from time to time. The foregoing indemnity shall survive termination of this Contract.

Such actions shall include, but not be limited to the following: employment, upgrading, demotion or transfer, recruitment or recruitment advertising, layoff or termination, rates of pay or other forms of compensation and selection for training, including apprenticeship. Contractor shall post in 899
6 conspicuous places, available to employees and applicants for employment, a notice setting forth provisions of this non-discrimination clause.
b. Contractor shall, in all solicitations and advertisements for employees placed by, or on behalf of Contractor, state that all qualified applicants will receive consideration for employment without regard to race, color, religion, sex, national origin, mental or physical disability, or any other basis prohibited by applicable law. c. Contractor shall cause the foregoing paragraphs (a) and (b) to be inserted in all subcontracts for any Work covered by this Contract, provided that the foregoing provisions shall not apply to subcontracts for standard commercial supplies or raw materials.

ARTICLE 11
Indemnity
Contractor shall defend, indemnify and hold harmless City and its officers, officials, agents, and employees from and against:
a. Any and all claims, liabilities, losses, damages, penalties, costs or expenses (including reasonable attorneys' fees and court costs) which City may directly or indirectly sustain or suffer arising from or as a result of the death of any person or any accident, injury, loss or damage whatsoever caused to any person or the property of any person which shall occur on or adjacent to the real property which is the subject of this Contract, or in connection with performance of this Contract which may be directly or indirectly caused by the acts or omissions of Contractor or its officers, employees, contractors or agents, or as a consequence of any use, generation, manufacture, storage, disposal, release or threatened release of a hazardous waste or substance. Contractor shall not be responsible for (and such indemnity shall not apply to) any willful misconduct, negligence or breach of this Contract by City or its officers, officials, agents, and employees. The foregoing indemnity shall survive termination of this Contract. b. Any and all claims under workers’ compensation acts and other employee benefit acts with respect to Contractor’s employees or Contractor’s subcontractor’s employees arising out of Contractor’s Work under this Contract, including any and all claims under any law pertaining to Contractor’s status as an independent contractor.

ARTICLE 12
Insurance
a. Contractor shall procure and maintain for the duration of this Contract insurance against claims for injuries to persons or damages to property which may arise from or in connection 900
7 with the performance of the Work hereunder and the results of that Work by Contractor, its agents, representatives, employees or subcontractors. Any umbrella liability insurance that is provided as part of the general or automobile liability minimums set forth below shall be maintained for the duration of the Contract.
b. Contractor shall maintain the following minimum amount of insurance: the greater of either the limits set forth in (1) through (4), below; or all of the insurance coverage and/or limits carried by or available to Contractor.
(1) General Liability $2,000,000 per occurrence for bodily injury, personal injury and property damage. If
Commercial General Liability insurance
or other form with a general aggregate
limit is used, either the general aggregate
limit shall apply separately to this
project/location or the general aggregate
limit shall be twice the required
occurrence limit.
(2) Automobile Liability $1,000,000 per accident for bodily injury and property damage.
(3) Workers’ Compensation as required by the State of California. (4) Employer’s Liability $1,000,000 per accident for bodily injury or disease. c. Any insurance proceeds in excess of or broader than the minimum required coverage and/or minimum required limits which are applicable to a given loss shall be available to City. No representation is made that the minimum insurance requirements of this Contract are sufficient to cover the obligations of Contractor under this Contract. d. Any deductibles or self-insured retentions must be declared to and approved by City. At the option of City, either: the insurer shall reduce or eliminate such deductibles or selfinsured retentions with respect to City, its officers, officials, agents and employees; or Contractor shall provide a financial guarantee satisfactory to City guaranteeing payment of losses and related investigations, claim administration, and defense expenses. e. Each policy of general liability and automotive liability insurance shall contain, or be endorsed to contain, the following provisions:
(1) City, its officers, officials, agents, and employees are declared to be additional insureds under the terms of the policy, with respect to liability arising out of automobiles owned, leased, hired or borrowed by or on behalf of Contractor (any auto), and with respect to liability arising out of Work or operations performed by or on behalf of Contractor, including materials, parts or equipment furnished in connection with such Work or operations. A policy endorsement to that effect shall be provided to City along with the certificate of insurance. In lieu of an endorsement, City will accept a copy of the policy(ies) which evidences that City is an 901
8 additional insured as a contracting party. The minimum coverage required by Subsection 12.b, above, shall apply to City as an additional insured.
(2) For any claims related to this Contract, Contractor’s insurance coverage shall be primary insurance with respect to City, its officers, officials, agents and employees. Any insurance or self-insurance maintained by City, its officers, officials, agents and employees shall be excess of Contractor’s insurance and shall not contribute with it. (3) Coverage shall not be canceled, except after thirty (30) days’ prior written notice has been provided to City.
f. Contractor shall furnish City with original certificates of insurance and endorsements effecting coverage required by this Article 12. The endorsements shall be on forms acceptable to City. All certificates and endorsements are to be received and approved by City before the Work commences. However, failure to do so shall not operate as a waiver of these insurance requirements. City reserves the right to require complete, certified copies of all required insurance policies, including endorsements effecting the coverage required by these specifications at any time.
g. All insurance procured and maintained by Contractor shall be issued by insurers admitted to conduct the pertinent line of insurance business in California and having a rating of Grade A or better and Class VII or better by the latest edition of Best Key Rating Guide. h. Contractor shall immediately notify City if any required insurance lapses or is otherwise modified and cease performance of this Contract unless otherwise directed by City. In such a case, City may procure insurance or self-insure the risk and charge Contractor for such costs and any and all damages resulting therefrom by way of set-off from any sums owed Contractor. i. Contractor agrees that in the event of loss due to any of the perils for which it has agreed to provide insurance, Contractor shall look solely to its insurance for recovery. Contractor hereby grants to City, on behalf of any insurer providing insurance to either Contractor or City with respect to the services of Contractor herein, a waiver of any right to subrogation which any such insurer may acquire against City by virtue of the payment of any loss under such insurance.

Upon receipt of notice, Contractor shall immediately cease work, unless the notice provides otherwise. Should City terminate this Contract, City shall pay Contractor for services satisfactorily 902
9 provided and all allowable reimbursements incurred to the date of termination in compliance with this Contract, unless such termination shall be for cause, in which event City may withhold any disputed compensation. City shall not be liable for any claim of lost profits.

ARTICLE 15
Compliance with Laws
a. Contractor shall be knowledgeable of and comply with all local, state and federal laws pertaining to the subject matter hereof or in any way regulating the activities undertaken by Contractor or any subcontractor hereunder.
b. Contractor represents and warrants that it:
(1) Has complied and shall at all times during the term of this Contract comply, in all respects, with all immigration laws, regulations, statutes, rules, codes, and orders, including, without limitation, the Immigration Reform and Control Act of 1986 (IRCA); and (2) Has not and will not knowingly employ any individual to perform services under this Contract who is ineligible to work in the United States or under the terms of this Contract; and
(3) Has properly maintained, and shall at all times during the term of this Contract properly maintain, all related employment documentation records including, without limitation, the completion and maintenance of the Form I-9 for each of Contractor’s employees; and
(4) Has responded, and shall at all times during the term of this Contract respond, in a timely fashion to any government inspection requests relating to immigration law compliance and/or Form I-9 compliance and/or worksite enforcement by the Department of Homeland Security, the Department of Labor, or the Social Security Administration. c. Contractor shall require all subcontractors and/or subconsultants to make the same representations and warranties required by this Article 15 when hired to perform services under this Contract.
903
10 d. Contractor shall, upon request of City, provide a list of all employees working under this Contract and shall provide, to the reasonable satisfaction of City, verification that all such employees are eligible to work in the United States. All costs associated with such verification shall be borne by Contractor. Once such request has been made, Contractor may not change employees working under this Contract without written notice to City, accompanied by the verification required herein for such employees. Contractor shall require all subcontractors and/or sub-consultants to make the same verification when hired to perform services under this Contract. e. If Contractor, or a subcontractor or subconsultant, knowingly employs an employee providing Work under this Contract who is not authorized to work in the United States, and/or fails to follow federal laws to determine the status of such employee, such shall constitute a material breach of this Contract and may be cause for immediate termination of this Contract by City.
f. Contractor shall indemnify and hold City, its officials and employees harmless for, of and from any loss, including but not limited to fines, penalties and corrective measures, City may sustain by reason of Contractor’s failure to comply with said laws, rules and regulations in connection with the performance of this Contract.

ARTICLE 17
Integration and Amendment
a. This Contract constitutes the entire agreement of the parties. No other agreement, oral or written, pertaining to the Work to be performed under this Contract shall be of any force or effect unless it is in writing and signed by both parties. Any Work performed which is inconsistent with or in violation of the provisions of this Contract shall not be compensated. b. The City Manager is authorized to execute amendments to this Contract up to the amounts specified in Chapter 3.08 of the Orange Municipal Code.

ARTICLE 18
Notice
Except as otherwise provided herein, all notices required under this Contract shall be in writing and delivered personally, by e-mail, or by first class mail, postage prepaid, to each party at the address listed below. Either party may change the notice address by notifying the other party in writing. Notices shall be deemed received upon receipt of same or within three (3) days of deposit in the U.S. Mail, whichever is earlier. Notices sent by e-mail shall be deemed received on the date of the e-mail transmission.
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11 “CONTRACTOR” “CITY”
ARTICLE 19
Claim Resolution
City and Contractor agree that the claim resolution process applicable to any claim by Contractor in connection with the Work provided herein shall be subject to the procedures set forth in California Public Contract Code Section 9204, attached hereto as Attachment No. 2, and incorporated herein by this reference.

ARTICLE 20
Counterparts
This Contract may be executed in one or more counterparts, each of which shall be deemed an original, but all of which together shall constitute one and the same instrument. Signatures transmitted via facsimile and electronic mail shall have the same effect as original signatures. [Remainder of page intentionally left blank; signatures on next page] Onyx Paving Company, Inc. City of Orange
2890 E. La Cresta Ave. 300 E. Chapman Avenue
Anaheim, CA 92806 Orange, CA 92866-1591
Attn.: Corey R. Kirschner Attn.: Nathan Bluhm
Telephone: 714-632-6699 Telephone: 714-532-6491
E-Mail: [email protected] E-Mail: [email protected] 905
12 “CITY”

CONTRACT, BONDS AND INSURANCE
APPROVED BY:

Nathalie Adourian
Senior Assistant City Attorney
CITY OF ORANGE, a municipal corporation
By:

Daniel R. Slater
Mayor of the City of Orange
ATTEST:

Pamela Coleman, City Clerk
“CONTRACTOR”
ONYX PAVING COMPANY, INC., a California
corporation
By:

Printed Name:

Title:

By:

Printed Name:

Title:
√
906
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CITY OF ORANGE
COMMUNITY SERVICES DEPARTMENT www.cityoforange.org PHONE: (714) 744-7274 FAX: (714) 744-7251

PARKING LOT PAVEMENT

REHABILITATION AND RESURFACING OF BIKE

TRAILS AND WALKING PATHS
REQUEST FOR BID (RFB) NO. 23-24.07
BIDS DUE: September 7, 2023
TIME: 2:00 P.M.

PROJECT: Parking Lot Pavement Rehabilitation and Resurfacing of Bike Trails and Walking Paths LOCATION: Various Locations
CONTACT: Nathan Bluhm Sr. Project/Landscape Coordinator OFFICE PHONE: 714-532-6491
E-MAIL: [email protected]
PROJECT DESCRIPTION: The City of Orange, CA, a Municipal Corporation, is inviting qualified paving contractors to provide bids in accordance with plans, specifications and technical information within this RFB for maintenance and rehabilitation (M&R) of concrete and asphalt paving at City of Orange trails and park parking lots, at various locations.

TIMELINE (APPROXIMATE):

1. Mandatory Pre-Bid Zoom meeting: August 28, 2023 at 1:30 PM

2. Deadline for questions regarding RFB: August 30, 2023 by 12:00PM

3. Bids due: September 7, 2023 by 2:00 PM

4. Presentation to City Council: November 14, 2023

5. Notice to Proceed: TBD
Exhibit A
923
BID SUBMISSIONS:

Provide response to the above REQUEST FOR BIDS on attached Bid Sheet and return all pages of the Request for Bids (including the scope and specification sections) references, and bid bond.

Bids must be received before or on September 7, 2023 by 2:00 P.M. via Electronic Bid Submission, or at the City of Orange City Clerk’s Office located at 300 E. Chapman Ave., Orange, CA 92866.

OPTION 1:

Electronic Bids may be submitted through the following link at Electronic Bid Submissions and must include all required attachments listed in the Request for Bid document.

OPTION 2:

Responses may be sent via U.S. Mail or delivered personally to the office of the City Clerk at the address listed above. Please provide three copies of bid packets.

Bid packets must be labelled appropriately:

RFB 23-24.07- PARKING LOT PAVEMENT REHABILITION AND RESURFACING OF

BIKE TRAILS AND WALKING PATHS
Attn: City of Orange, City Clerk’s Office
The City reserves the right to reject any and all Bids and any item on items therein, and to waive any non-conformity of Bids with this Request for Bids, whether of a technical or substantive nature, as the interest of the City may require.
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LEGAL NOTICE
Sealed bids are invited for Bid No. 23-24.07; Parking Lot Pavement Rehabilitation and Resurfacing of Bike Trails and Walking Paths.

Interested bidders should subscribe to receive bid updates and notifications via the City’s website at:
https://public.govdelivery.com/accounts/CACITYORANGE/subscriber/new as well as emailing [email protected] to be added to the contact list for this specific bid list in order to receive emailed updates of any revised/additional information and addenda. It is the responsibility of the interested bidder to request being added to the bid list and to check the website frequently to look for any additional updates.

All bids will be presented to the City Council on November 14, 2023.

The City reserves the right to reject at any time any or all bids, or parts thereof, and to waive any variances, technicalities and informalities which do not impair the quality, or performance of the project.

The bidder selected by the City must be properly licensed at the time of submitting its bid as a General Engineering Contractor (Class A). The City will reject the bid as non-responsive if the bidder does not hold the requisite contractor’s license at the time of submitting its bid. In addition, each subcontractor listed by the bidder shall possess, at the time of the award and at all times when work is performed, a valid contractor’s license for the appropriate classification necessary to perform the work for which that subcontractor is listed. Failure of the bidder to deliver evidence to the City prior to the award of contract for this project that each and every subcontractor listed by the bidder is properly licensed shall constitute a failure to execute the contract and may subject the bidder to all legal penalties imposed by law, including, but not limited to, forfeiture of the security of the bidder.

A payment bond is required for projects over $25,000. In lieu of retention, the Contractor may deposit qualifying securities under an escrow agreement, as provided in Public Contract Code Section 22300.

The Contractor and subcontractor shall be registered with Department of Industrial Relations (DIR), per Labor Code Section 1725.5 at the time of bid. This project is subject to compliance monitoring and job-site posting requirements. The project is a public work subject to prevailing wage requirements, which can be found at http://www.dir.ca.gov/dirdatabases.html
Community Services Department

CITY OF ORANGE
230 East Chapman Avenue
Orange, California 92866
(714) 744-7274
925
GENERAL PROVISIONS:

1. A mandatory pre-bid meeting has been scheduled for Monday, August 28, 2023, at 1:30 P.M via Zoom. Click here to join the zoom meeting during the scheduled time and date. Meeting ID: 861 4541 7423. Passcode: 868360.

2. NOTE: All work shall be performed in adherence to the provisions of this RFB, the City of Orange Public Works Standard Plans and Specifications (available on the City of Orange website at www.cityoforange.org under Public Works Department webpage), and the current edition of the “Green Book” for ‘Standard Specifications for Public Works Construction’.

3. Contractor shall, at all times, carry valid insurance, which meets all City of Orange insurance requirements as outlined in Attachment No. 1.

4. Contractor shall pay prevailing wages per the current Department of Industrial Relations wage rate (including all scheduled increases) and furnish Certified Payroll Reports for all workdays.

5. The contractor is responsible for carrying/acquiring all pertinent licenses/permits for accomplishing this work. Contractors bidding for work on this project must hold an active State of California Contractors License; minimum license requirement is to be Class ‘A’.

6. All work shall conform to the specifications contained in the RFB and any subsequent agreements.

7. Contractor shall be required to provide a $1,500.00 deposit for use of a City water meter on a City fire hydrant if required. Contractor shall be charged $2.75/day for water meter rental and shall be responsible for all water charges associated with project. Consumption charges of $2.59 per hundred cubic feet of water apply.

8. Working hours will be per City of Orange ordinance; 7:00 am till 4:00 p.m. Weekend work will only take place with permission from the City of Orange.

9. All vehicles used by the contractor are to be identified with door signs (approx. 20” x 16”, magnetic sign okay) or equivalent with the company name and phone number. These need to be visible from both sides of said vehicle.

10. Uniforms: All of contractor’s employees shall wear appropriate uniforms at all times while on duty. Uniforms must have the contractor’s name.

11. Background/Security: All personnel engaged in performance of this work shall be employees of the contractor and as such shall be warranted to possess sufficient experience and security records to perform this work.

SCOPE OF WORK AND PROJECT SPECIFICATIONS
The work to be done in general consists of maintenance and rehabilitation of City park parking lots, bike trails and walking paths at various locations throughout the City of Orange (see Site Location Maps “Exhibit A”). Work items may include but not be limited to: traffic control, ADA ramps, Portland cement concrete (PCC) removal and replacement, asphalt concrete (AC) grinding, AC overlaying, slurry seal, unclassified excavation, AC dig-out repairs with deep lift pavement, adjustment of surface grade utility boxes, covers and vault lids, traffic detector loops, pavement striping, legends and raised pavement markers, including all labor, equipment and materials necessary for completion of the work.
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Additions to the Standard Specifications

1. The protection of all existing improvements, including valve cans and meter boxes, and all work being done by the Contractor, shall be the responsibility of the Contractor until such time as the work is completed and accepted by the Owner. A pre-construction job walk will be required prior to any work being done at each site/location.

2. A schedule of work shall be submitted with response to this RFB and approved by the City of Orange prior to beginning the work. Hours of work are 7:00 AM to 4:00 PM. All work shall be phased with phasing to be approved by the City of Orange. Flaggers will be required when traffic is reduced to one lane to ensure safe access around the work area. All flagging and traffic control operations shall be included in the various bid items and no additional compensation will be provided.

3. Areas that are scheduled for removal and replacement (Dig-out Areas) will be removed by first saw cutting a straight vertical cut a minimum of two (2) inches in depth around the perimeter of the area and then the existing asphalt pavement and any underlying base shall be removed to the specified depth. (If a cold planer is used for the removal then saw-cutting will not be required). The subgrade will be compacted using a roller and/or a whacker or vibraplate to provide a firm and unyielding surface prior to the placement of the hot mix asphalt (HMA) base course, per Greenbook Section 301-1.3. The HMA will be placed in two lifts per Greenbook Section 203-6.4 Type B for the base course. The finish course of HMA shall be Greenbook Section 203-6.4 Type C1. All edges of the newly placed HMA shall be sealed with asphalt emulsion and a light coating of sand. The finished surface shall be at the same elevation as the adjacent asphalt.

4. Areas designated to be cold milled and overlayed shall be cold milled to the specified depth over the entire area. The area shall be cleaned of all loose materials and then tacked with asphalt emulsion at the rate 0.05 to 0.07 gallons per square yard. Asphalt emulsion shall be diluted no more than an 80/20 mix. Once the tack coat has broken a new layer of HMA shall be placed in one lift.

5. All cracks greater than 1/8” in width shall be cleaned of all vegetation and loose material to a depth equal to or greater than the width of the crack. CRAFCO Parking Lot Sealant No. 34200 (or equal) shall be used per the manufacturer’s recommendations. The finished crack fill material shall be at the same elevation as the adjacent asphalt. Any crack filled areas that become depressed in excess of ¼” will have additional crack fill material placed to fill the depressed areas. Crack filling shall take place after all asphalt repairs have been made.

6. Asphalt that is designated to be removed and replaced with Portland Cement Concrete (PCC) shall be excavated and compacted to a minimum of 95% compaction. Reinforcing steel will be required using No. 4 rebar placed at a maximum of 18” on center. Where new PCC joins existing PCC, the existing PCC will be drilled and doweled. PCC shall be per City Standard Plan No. 118 at specified thickness. Protection against unwanted initials and writing in the newly place PCC shall be the responsibility of the contractor. A light broom finish will be used.
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7. Remove & Replace Cracked Concrete Cross Gutter/Swale – The existing PCC swale shall be removed and replaced with new Portland Cement Concrete (PCC) in the same configuration as the existing. After removal of the existing, the subgrade will be compacted to a minimum of 95% relative compaction. Reinforcing steel will be required using No. 4 rebar placed at a maximum of 18” on center. Wherever new PCC joins existing PCC, the existing PCC will be drilled and doweled. PCC shall be 520-C-2500 and be placed at a minimum of 5½” in thickness. Curing compound will be required. Transverse expansion joints shall be installed to minimize cracking. Longitudinal and transverse weakened plane joints shall also be constructed to minimize cracking. A light broom finish will be used. Protection against unwanted initials and writing in the newly place PCC shall be the responsibility of the contractor.

8. Seal Coat - The seal coat will be placed on the asphalt pavement after a minimum four week curing period of any newly placed asphalt. Seal Coat shall be one coat. 2% Latex and fine mesh sand at the rate of two (2) to three (3) pounds per gallon of seal coat material shall be uniformly added to the seal coat material. The seal coat will be placed per Greenbook Specification 302-8.

9. Alternate Second Coat of Seal – The alternate second coat of seal shall be placed without any added Latex or fine mesh sand. The first coat of seal shall be completely dry before the second application is placed.

10. Re-Stripe – All pavement striping and markers/lettering shall be replaced per existing pattern, including red fire lane, pathway markings and ADA markings. Paint shall be applied per the manufacturer’s recommendations for single coat applications and per Greenbook Section 210, including reflective material per Section 210-1.6.5. Temporary striping shall be placed on any asphalt repair area where the existing has been removed.

Permanent striping will take place after the seal coat is completed.

11. Contractor to submit a mix design, for all concrete and/or asphalt, for approval prior to work commencing.

SITE SPECIFIC WORK INCLUDED
Site 1: Serrano Park Parking Lot
Pavement M&R Treatment:

Patch existing asphalt to full depth with asphalt and aggregate base (AB), seal all cracks, place Type II Slurry Seal over the entire surface, and re-stripe all pavement markings.

ADA Compliance Work:

Install new detectable warning surface (DWS) at ADA ramp (see location maps: Site01 Ramp 1) per City Standard Plan No. 121. Re-stripe all ADA parking stalls and marked paths. Remove and replace two (2) driveways (see location maps: Site01 Ramp 2 and Ramp 3) per City Standard Plan No. 115.
928
Site 2: Fred Barrera Park Parking Lot
Pavement M&R Treatment:

Seal all cracks, place Type II Slurry Seal over the entire surface, and re-stripe all pavement markings.

ADA Compliance Work:

Remove and replace ADA ramp per City Standard Plan No. 121 (see location maps: Site02 Ramp 1) and level to the path of travel. Install new DWS at ramp, and re-stripe all ADA parking stalls and marked paths.

Site 3: McPherson Athletic Center Parking Lot
Pavement M&R Treatment:

Seal all cracks, place Type II Slurry Seal over the entire surface, and re-stripe all pavement markings.

ADA Compliance Work:

Install new DWS at 5 ADA ramps per City Standard Plan No. 121 (see location maps: Site03 Ramp 1, Ramp 2, Ramp 3, Ramp 4, and Ramp 5). Re-stripe all ADA parking stalls and marked paths.

Remove and replace two (2) driveways (see location maps: Site03 Ramp 6 and Ramp 7) per City Standard Plan No. 115.

Site 4: Santiago Hills Park Parking Lot
Pavement M&R Treatment:

Full reconstruction of parking lot pavement to a thickness of 3 inches of AC and 6 inches of AB.

Install a layer of geogrid between the subgrade and aggregate base layer to provide additional support.

ADA Compliance Work:

Remove and replace 3 ADA ramps per City Standard Plan No. 121 (see location maps: Site04 Ramp 3, Ramp 4, and Ramp 5).

Site 5: El Modena Bike Trail (E. Creekside Ave. to E. Patria Ct.) Pavement M&R Treatment:

Patch all areas with slippage cracks to full depth. All remaining pavement shall be cold milled to a depth of 2 inches and a 2-inch AC overlay placed on the milled surface. Re-stripe to match original pattern. Adjust grade to direct runoff into existing culvert adjacent to trail (see location map for site05).

ADA Compliance Work:

Install new detectable warning surface (DWS) at 2 ADA ramps (see location maps: Site05 Ramp 1 and Ramp 2) per City Standard Plan No. 121. Grind existing gutter lip to smooth transition at Ramp 2. Remove and replace Ramp 3 per City Standard Plan No. 121. (see location maps: Site05). 929
Site 6: Santiago Creek Bike Trail (Hart Park to Cambridge St.) Pavement M&R Treatment:

Crack seal all cracks greater than ¼ inch wide, patch all areas with slippage cracks to full depth, grind all lateral and transverse (L&T) cracks which have swelled ¼ inch or greater flush with the pavement surface to prevent tripping hazards, and place Type 1 Slurry Seal over entire surface.

Re-stripe to match original pattern. (see location map and quantities table).

ADA Compliance Work:

Install new detectable warning surface (DWS) at ADA ramp (see location map: Site06 Ramp 1) per City Standard Plan No. 121.

Site 7A: Hart Park (Tennis Court Path)
Pavement M&R Treatment:

Remove existing asphalt walkway and replace with 4 inch PCC sidewalk per City of Orange Standard Plan No. 118 (see location map).

Site 7B1: Hart Park (Baseball Field Trail)
Pavement M&R Treatment:

Crack seal all cracks greater than ¼ inch wide and place Type 1 Slurry Seal over entire surface.

Re-stripe to match original pattern (see location map).

Site 7B2: Hart Park (Baseball Field Asphalt Pad)
Pavement M&R Treatment:

Completely remove existing AC and AB and replace existing section with 3 inches of AC and 5 inches of AB. Grind smooth any tripping hazards greater than ¼ inch at asphalt pavement and concrete sidewalk transitions. Remove and replace failed cross gutter section near the main bleachers (see location map).

Site 8: Santiago Creek Bike Trail (All Parts)
Pavement M&R Treatment:

Crack seal all cracks greater than ¼ inch wide, patch all areas with slippage cracks to full depth, and grind all lateral & transverse cracks, which have swelled ¼ inch or greater, flush with the pavement surface to prevent tripping hazards. Re-stripe to match original pattern. (see location map).

ADA Compliance Work:

Install new detectable warning surface (DWS) at two (2) ADA ramps per City Standard Plan No. 121 (see location maps: Site08, Part 2 Ramp 2 & Part 4 Ramp 2). Remove and replace two (2) ADA ramps per City Standard Plan No. 121 (see location maps: Site08, Part 1, Ramp 1 & Part 2, Ramp 1). Grind trip hazard to smooth transition at Site 08, Part 2 Ramp 2, and Site 08, Part 4 Ramp 9.
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SPECIAL INSTRUCTIONS:

1. Contractor to submit a 10% Bid Bond with bid package.

2. If awarded, this project requires a payment bond (for projects over $25,000).

3. This project is subject to a 5% retention.

4. The contractor is required to provide with the submittal of bid not less than three references indicating:
• A description of work including location/address and approximate cost of job. • A contact name, phone number and email address for City of Orange staff to contact and verify work experience.
• Work references must demonstrate commensurate/equal type of experience and skill. • The contractor is required to provide the name, title, telephone number and email address of the individual to whom correspondence and communication should be directed during the duration of this work. Said individual is to have full knowledge of this work and the ability to consult/discuss with the City.

5. The City reserves the right to reject any contractor who they feel does not meet a qualifying work experience or satisfying references.

6. The City reserves the right to reject at any time any or all bids, or parts thereof, and to waive any variances, technicalities and informalities which do not impair the quality, or performance of the project.

7. All measurements and quantities listed in this RFB, are approximate.

8. The contractor is responsible for the repair of any existing site amenities, concrete, landscape, underground utilities, irrigation lines or sprinklers that are damaged during the implementation of this work. Any and all replacement work will be performed to the satisfaction of the City of Orange. Any damages to City or residential property resulting from the contractors work shall be repaired or replaced at the contractor’s expense to the satisfaction of the City of Orange.

9. If/when street closures are required in completion of this work; the contractor must first gain permission from the City of Orange Traffic Division and will be responsible for preparation/submittal/approval of any required and/or related ‘Traffic Control Plan’. The Contractor will also be responsible to follow guidelines for interior streets and/or general traffic control as specified within the ‘California Watch Manual’.

10. The contractor is required to provide and post appropriate signage directing/re directing any and all pedestrian traffic in appropriate directions, per City of Orange.

11. All work as described within this RFB shall be completed by the final day of the approved schedule. Any work that is not completed, per the scheduled end date, will have Liquidated Damages assessed in the amount of $500.00 per working day. A working day is understood to be Monday through Friday; not including weekends, holidays and rain delay days.
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Location Maps:

See Exhibit A for site location maps and work limits for the following sites:
• Site 1 - Serrano
• Site 2 - Fred Barrera Park
• Site 3 - McPherson Athletic Facility
• Site 4 - Santiago Hills
• Site 5 - El Modena Trail
• Site 6 - Santiago Creek Bike Trail from Hart Park to Cambridge St. • Site 7 – Hart Park
• Site 8 – Santiago Creek Bike Trail (Parts 1-4)
City Standard Plans:

See Exhibit B for applicable City of Orange Standard Plans. 932
RFB 23-24.07 Parking Lot Pavement
Rehabilitation and Resurfacing of Bike Trails and Walking Paths

BID SHEET
Date:

Bid Submitted by: _________________________________________ Company Name: _________________________________________ Address: _________________________________________
E-mail Address:

Contact Name:

Signature of Responsible Officer or Employee Print Name The stated bid amount below constitutes the total dollar amount to perform the work described in the above scope of services to include all that is required to provide the work product and/or install all materials required to complete the work to a professional workmanship standard, and to install and apply all materials per all manufacturer’s specifications and recommendations.

Contractor represents and warrants that it has thoroughly investigated and considered the scope of services and fully understands the difficulties and restrictions in performing the work. Contractor represents that it is experienced in performing the work and will follow professional standards in performance of the work. All services provided shall conform to all federal, state and local laws, rules and regulations and to the best professional standards and practices.
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BID SCHEDULE
Parking Lot Pavement Rehabilitation and Resurfacing of Bike Trails and Walking Paths (Bid No. 23-24.07)
ITEM
NO. QUANTITY

UNIT PRICE

TO BE WRITTEN IN WORDS UNIT PRICE TOTAL
Concrete
1 7 EA Remove Existing Curb and Sidewalk
Access Ramp, and Construct New Ramp
Per City Standard Plan No. 121 (All
Types) with Detectable Warning Surface
(Truncated Dome 4’ x 3’)
_______________________ dollars
and____________________ cents ___________ ___________
2 11 EA Install Detectable Warning Surface
(Truncated Dome 4’x3’) Per City
Standard Plan No. 121 On Existing Curb
Ramp
_______________________ dollars
and____________________ cents ___________ ___________
3 10 LF Remove Existing and Construct New
Concrete Cross Gutter Per City Standard
Plan No. 119
_______________________ dollars
and____________________ cents ___________ ___________
4 2920 SF Remove Existing Asphalt and Construct
New Concrete Sidewalk Per City
Standard Plan No. 118
_______________________ dollars
and____________________ cents ___________ ___________
5 1600 SF Remove Existing and Construct New
Concrete Driveway Per City Standard
Plan No. 115
_______________________ dollars
and____________________ cents ___________ ___________
Slurry
6 1839 SY Type I Slurry Seal (Trails)
_______________________ dollars
and____________________ cents ___________ ___________
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ITEM
NO. QUANTITY

UNIT PRICE

TO BE WRITTEN IN WORDS UNIT PRICE TOTAL
7 825 LF Crack Sealing (Trails)
_______________________ dollars
and____________________ cents ___________ ___________
8 9556 SY Type II Slurry Seal (Parking Lots)
_______________________ dollars
and____________________ cents ___________ ___________
9 430 LF Crack Sealing (Parking Lots)
_______________________ dollars
and____________________ cents ___________ ___________
Striping
10 15500 LF Striping (Trails and Parking Lots)
_______________________ dollars
and____________________ cents ___________ ___________
Asphalt
11 3943 SY 2” Cold Mill existing AC pavement
_______________________ dollars
and____________________ cents ___________ ___________
12 445 TON 2” Asphalt Overlay
_______________________ dollars
and____________________ cents ___________ ___________
13 533 CY Unclassified Excavation – remove
existing section of AC and AB at Site
#7B2 Hart Park Baseball Field
_______________________ dollars
and____________________ cents ___________ ___________
14 557 TON Place 5” Aggregate Base at Site #7B2
Hart Park Baseball Field
_______________________ dollars
and____________________ cents ___________ ___________
15 357 TON Place 3” Asphalt Concrete at Site #7B2
Hart Park Baseball Filed
_______________________ dollars
and____________________ cents ___________ ___________
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ITEM
NO. QUANTITY

UNIT PRICE

TO BE WRITTEN IN WORDS UNIT PRICE TOTAL
16 627 CY Full Reconstruct at Site #4 Santiago Hills
Parking Lot – Unclassified Excavation
_______________________ dollars
and____________________ cents ___________ ___________
17 585 TON Place 6” Aggregate Base at Site #4
Santiago Hills Parking Lot
_______________________ dollars
and____________________ cents ___________ ___________
18 423 TON Place 3” Asphalt Concrete at Site #4
Santiago Hills Parking Lot
_______________________ dollars
and____________________ cents ___________ ___________
19 210 LF Grind Tripping Hazards
_______________________ dollars
and____________________ cents ___________ ___________
TOTAL BID AMOUNT $ ____________________
TOTAL BID AMOUNT WRITTEN IN WORDS:
_________________________________________________________________________________ LEGEND
EA = each LF = linear feet SF = square feet SY = square yards CY = cubic yards 936
Company Name (Bidder)

PROPOSAL
TO THE CITY COUNCIL OF THE CITY OF ORANGE:

In compliance with the notice inviting bids, plans, specifications and other contract documents for the construction of Bid No. 23-24.07; Parking Lot Pavement Rehabilitation a n d R e s u r f a c i n g o f B i k e T r a i l s a n d W a l k i n g P a t h s the undersigned has carefully examined: the location(s) of the proposed work, character, quality and quantity of work to be performed, conditions to be encountered, materials to be furnished and as to the requirements of the plans, specifications and other contract documents; agrees that submission of a bid shall be considered prima facie evidence that the bidder has made such examination; and proposes to furnish all labor, materials, tools, and equipment necessary to complete the work in accordance with said plans, specifications and other contract documents at the following unit or lump sum prices set forth in the schedule.

If awarded the contract, the undersigned agrees to commence the work under the contract within fifteen (15) days after the date of contract, and complete said work within fifty five (55) working days from the first day of commencement of such work unless legal extension is granted in accordance with the terms set forth in the specifications. If undersigned is awarded more than one zone, the work must be completed consecutively.

The undersigned agrees that the foregoing estimate of quantities of work to be done and materials to be furnished are approximate only, being given as basis for the comparison of bids.

The undersigned agrees that the City will not be held responsible if any of the approximate quantities shown in the foregoing bid shall be found incorrect, and shall not make any claim for damages or for loss of profits because of a difference between the quantities of the various classes of work as estimated and the work actually done.

If any error, omission or mis-statement shall be discovered in the estimated quantities, it shall not invalidate this contract or release the undersigned from the execution and completion of the whole or part of the work herein specified, in accordance with the specifications and the plans herein mentioned and the prices herein agreed upon and fixed therefore, or excuse him from any of the obligations or liabilities hereunder, or entitle him to any damages or compensation otherwise than as provided for in this contract.

The undersigned agrees that the City shall have the right to increase or decrease the quantity of any bid item or portion of the work or to omit portions of the work as may be deemed necessary or expedient, and that the payment for incidental items of work not separately provided in the bid shall be considered included in the price bid for other various items of work.

Accompanying this bid is ($ )
NOTICE: Insert the words "Cash", "Certified Check", or "Bidder's Bond", as the case may be, in an amount equal to at least 10 percent of the total bid price, payable to the City of Orange to guarantee that the bidder will, if awarded the contract, promptly execute such contract in accordance with the bid and in the manner and form required by the contract documents, and will furnish good and sufficient bonds for the faithful performance of the same.
937
The undersigned deposits the above named security as a bid guaranty and agrees that it shall be forfeited to the City of Orange as liquidated damages in case this bid is withdrawn by the undersigned and the undersigned shall fail to execute a contract for doing said work and to furnish good and sufficient bonds in the form set forth in the specifications and contract documents of the City, with surety satisfactory to the City within 15 days after the bidder has received written notice of the award of the contract; otherwise, said security shall be returned to the undersigned.

Bidder hereby declares in writing, under penalty of perjury that all employees who will be performing labor, maintenance, delivery, installation or repair, will be those who are legally entitled to live and work in the United States. Further, the bidder as employer agrees to provide documentary proof of such eligibility (when requested by the City of any other authorized entity or agency). Bids are to be submitted for the entire work. The bidder shall set forth for each unit basis item of work a unit price and a total for the item, and for each lump sum item a total for the item, all in clearly legible figures in the respective spaces provided for that purpose. In the case of unit basis items, the amount set forth under the "Item Total" column shall be the product of the unit price bid and the estimated quantity for the item. In case of discrepancy between the unit price and the total set forth for a unit basis item, the unit price shall prevail, except as provided in (a) or (b), as follows:
(a) If the amount set forth as a unit price is unreadable or otherwise unclear, or is omitted, or is the same as the amount as the entry in the item total column, then the amount set forth in the item total column for the item shall prevail and shall be divided by the estimated quantity for the item and the price thus obtained shall be the unit price;
(b) (Decimal Errors) If the product of the entered unit price and the estimated quantity is exactly off by a factor of ten, one hundred, etc., or one-tenth, or one-hundredth, etc. from the entered total, the discrepancy will be resolved by using the entered unit price or item total, whichever most closely approximates percentage wise the unit price or item total in the City of Orange Final Estimate of cost.

If both the unit price and the item total are unreadable or otherwise unclear, or are omitted, the bid may be deemed irregular. Likewise if the item total for a lump sum item is unreadable or otherwise unclear, or is omitted, the bid may be deemed irregular unless the project being bid has only a single item and a clear, readable total bid is provided.

Symbols such as commas and dollar signs will be ignored and have no mathematical significance in establishing any unit price or item total or lump sums. Written unit prices, item totals and lump sums will be interpreted according to the number of digits and, if applicable, decimal placement. Cents symbols also have no significance in establishing any unit price or item total since all figures are assumed to be expressed in dollars and/or decimal fractions of a dollar. Bids on lump sum items shall be item totals only; if any unit price for a lump sum item is included in a bid and it differs from the item total, the items total shall prevail.

The foregoing provisions for the resolution of specific irregularities cannot be so comprehensive as to cover every omission, inconsistency, error or other irregularity which may occur in a bid. Any situation not specifically provided for will be determined in the discretion of the City of Orange, and that discretion will be exercised in the manner deemed by the City of Orange, to best protect the public interest in the prompt and economical completion of the work. The decision of the City of Orange respecting the amount of a bid, or the existence or treatment of an irregularity in a bid, shall be final.
938

LIST OF SUBCONTRACTS
A. The undersigned intends to subcontract a portion of this project to the following subcontracts (Note: Refer to Section 2.3 of the Standard Specifications and Section 4100 through 4113 of the California Contract Code for SUBCONTRACT DISCLOSURE REQUIREMENTS.

NAME OF SUBCONTRACTOR LICENSE BID ITEM NUMBER(s) PERCENT OF CHECK IF DESCRIBE WORK WHEN $ AMOUNT AND ADDRESS NO. BID ITEM
SUBBED
SPECIALITY LESS THAN 100% OF WORK

IS SUBBED

BASED ON

BID AMOUNT
$
B. The undersigned DOES NOT INTEND to subcontract any portion of this project.

NOTE: The bidder shall check Box A or B as applicable. If the bidder does not check either box, it will be deemed that he has checked Box B.

Signature of the Bidder
939

PUBLIC CONTRACT CODE
Public Contract Code Section 10285.1 Statement
In conformance with Public Contract Code Section 10285.1 (Chapter 376, Stats. 1985), the bidder hereby declares under penalty of perjury under the laws of the State of California that the bidder has convicted
, has not been
within the preceding three years of any offenses referred to in that section, including any charge of fraud, bribery, collusion, conspiracy, or any other act in violation of any state or Federal antitrust law in connection with the bidding upon, award of, or performance of, any public works contract, as defined in Public Contract Code Section 1101, with any public entity, as defined in Public Contract Code Section 1100, including the Regents of the University of California or the Trustees of the California State University. The term "bidder" is understood to include any partner, member, officer, director, responsible managing officer, or responsible managing employee thereof, as referred to in Section 10285.1.

Note: The bidder must place a check mark after "has" or "has not" in one of the blank spaces provided. The above Statement is part of the bid. Signing this bid on the signature portion thereof shall also constitute signature of this Statement. Bidders are cautioned that making a false certification may subject the certifier to criminal prosecution.

Public Contract Code Section 10162 Questionnaire
In conformance with Public Contract Code Section 10162, the Bidder shall complete, under penalty of perjury, the following questionnaire:

Has the bidder, any officer of the bidder, or any employee of the bidder who has a proprietary interest in the bidder, ever been disqualified, removed, or otherwise prevented from bidding on, or completing a federal, state, or local government project because of a violation of law or a safety regulation? Yes No
If the answer is yes, explain the circumstances in the following space. 940
Public Contract Code 10232 Statement
In conformance with Public Contract Code Section 10232, the Contractor, hereby states under penalty of perjury, that no more than one final unappealable finding of contempt of court by a federal court has been issued against the Contractor within the immediately preceding two year period because of the Contractor's failure to comply with an order of a federal court which orders the Contractor to comply with an order of the National Labor Relations Board.

Note: The above Statement and Questionnaire are part of the Bid. Signing this Bid on the signature portion thereof shall also constitute signature of this Statement and Questionnaire. Bidders are cautioned that making a false certification may subject the certifier to criminal prosecution. 941
Non-collusion Affidavit
(Title 23 United States Code Section 112 and
Public Contract Code Section 7106)
To the CITY OF ORANGE – DEPARTMENT OF COMMUNITY SERVICES In conformance with Title 23 United States Code Section 112 and Public Contract Code 7106 the bidder declares that the bid is not made in the interest of, or on behalf of, any undisclosed person, partnership, company, association, organization, or corporation; that the bid is genuine and not collusive or sham; that the bidder has not directly or indirectly induced or solicited any other bidder to put in a false or sham bid, and has not directly or indirectly colluded, conspired, connived, or agreed with any bidder or anyone else to put in a sham bid, or that anyone shall refrain from bidding; that the bidder has not in any manner, directly or indirectly, sought by agreement, communication, or conference with anyone to fix the bid price of the bidder or any other bidder, or to fix any overhead, profit, or cost element of the bid price, or of that of any other bidder, or to secure any advantage against the public body awarding the contract of anyone interested in the proposed contract; that all statements contained in the bid are true; and, further, that the bidder has not, directly or indirectly, submitted his or her bid price or any breakdown thereof, or the contents thereof, or divulged information or data relative thereto, or paid, and will not pay, any fee to any corporation, partnership, company association, organization, bid depository, or to any member or agent thereof to effectuate a collusive or sham bid.

Note: The above Non-collusion Affidavit is part of the Bid. Signing this Bid on the signature portion thereof shall also constitute signature of this Non- collusion Affidavit.

Bidders are cautioned that making a false certification may subject the certifier to criminal prosecution.
942

DEBARMENT AND SUSPENSION CERTIFICATION
TITLE 49, CODE OF FEDERAL REGULATIONS, PART 29
The bidder, under penalty of perjury, certifies that, except as noted below, he/she or any other person associated therewith in the capacity of owner, partner, director, officer, manager:
• is not currently under suspension, debarment, voluntary exclusion, or determination of ineligibility by any Federal agency;
• has not been suspended, debarred, voluntarily excluded or determined ineligible by any Federal agency within the past 3 years;
• does not have a proposed debarment pending; and
• has not been indicted, convicted, or had a civil judgement rendered against it by a court of competent jurisdiction in any matter involving fraud or official misconduct within the past 3 years.

If there are any exceptions to this certification, insert the exceptions in the following space.

Exceptions will not necessarily result in denial of award, but will be considered in determining bidder responsibility. For any exception noted above, indicate below to whom it applies, initiating agency, and dates of action.

Notes:Providing false information may result in criminal prosecution or administrative sanctions.

The above certification is part of the Bid. Signing this Bid on the signature portion thereof shall also constitute signature of this Certification.
943
The undersigned bidder hereby represents as follows:

That no Councilman, officer, agent, or employee of the City of Orange, is personally interested, directly or indirectly, in the Contract, or the compensation to be paid hereunder:

That this bid is made without connection with any person, firm or corporation making a bid for the same work, and is in all respects fair, and without collusion or fraud.

By my signature on this bid I certify, under penalty of perjury under the laws of the State of California, that the foregoing questionnaire and statements of Public Contract Code Sections 10162, 10232 and 10285.1 are true and correct and that the bidder has complied with the requirements of Section 8103 of the Fair Employment and Housing Commission Regulations (Chapter 5, Title 2 of the California Administrative Code). By my signature on this bid I further certify, under penalty of perjury under the laws of the State of California and the United States of America, that the Non-collusion Affidavit required by Title 23 United States Code, Section 112 and Public Contract Code Section 7106; and the Title 49 Code of Federal Regulations, Part 29 Debarment and Suspension Certification are true and correct.

Date:

Signature and Title of Bidder
(If an individual, so state. If a firm or co-partnership, state the firm name and give the names of all individual co-partners composing the firm. If a corporation, state legal name of corporation, also names of President, Secretary, Treasurer and Manager thereof).

NAME OF BIDDER
BUSINESS P.O. BOX

CITY, STATE, ZIP

BUSINESS STREET ADDRESS
944
(Please include even if P.O. Box is used)

CITY, STATE, ZIP
PLACE OF BUSINESS (Include City & State)
PLACE OF RESIDENCE (Include City & State)
Telephone No. ( ) Fax No.( )
Licensed in accordance with an Act providing for the registration of Contractors.

LICENSE NUMBER

LICENSE CLASS
945
Bond No.__________

CALIFORNIA PUBLIC WORKS

PROPOSAL OR BID BOND
TO WHOM IT MAY CONCERN:

WE, ____________________________________________________(CONTRACTOR) as Principal, and ____________________________ (SURETY), a Corporation organized and existing under the laws of the State of and authorized to transact business in the State of California, as Surety, are held and firmly bound unto the CITY OF ORANGE, hereinafter called the Obligee, for the penal sum of Ten Percent (10%) of the Amount of the Bid as described herein and we each of us bind ourselves, our heirs, executors, administrators, successors and assigns, jointly and severally, by this Proposal/Bid Bond.

WHEREAS, the Principal is herewith submitting a proposal (bid) for Bid No. 23-24.07 Parking Lot Pavement Rehabilitation and Resurfacing of Bike Trails and Walking Paths THE CONDITION OF THE ABOVE OBLIGATION IS SUCH that if the Principal shall be awarded the contract, and the Principal does within the period specified therefor, or, if no period be specified, within ten (10) days after the notice of such award, enter into a contract and give bond or bonds as specified in the bidding or contract documents with good and sufficient surety of adequate financial size category rating acceptable to the Obligee for the faithful performance of the contract and for the prompt payment of labor and material furnished in the prosecution thereof, then this obligation shall be null and void. Otherwise the Principal and the Surety will pay to the Obligee the difference in money between the amount of the bid of the Principal and the amount for which the Obligee may legally contract with another party to perform the work if the latter amount be in excess of the former. In no event shall the liability hereunder exceed the penal sum hereof.

SIGNED AND SEALED this ____________ day of _______________________________, 20________.

CONTRACTOR NAME OF SURETY
BY: BY:

SECRETARY/TREASURER ATTORNEY-IN-FACT
BY:

PRESIDENT/VICE PRESIDENT

NOTARY ACKNOWLEDGEMENTS ATTACHED
946
Attachment 1
Insurance Requirements
[Behind this page.]
947
Attachment 1:

Parking Lot Pavement Rehabilitation and Resurfacing of Bike Trails and Walking Paths Liability Insurance:

Contractor shall procure and maintain for the duration of this Agreement insurance against claims for injuries to persons or damages to property which may arise from or in connection with the performance of the work hereunder and the results of that work by the Contractor, his agents, representatives, employees or subcontractors.

Coverage shall be at least as broad as:

1. Insurance Services Office Commercial General Liability coverage (occurrence Form CG 00 01).

2. Insurance Services Office Form Number CA 00 01 covering Automobile Liability, code 1 (any auto).

3. Workers’ Compensation insurance as required by the State of California and Employer’s Liability Insurance.

Contractor shall maintain limits no less than:

1. General Liability: $2,000,000 per occurrence for bodily injury, personal injury and property damage. If
Commercial General Liability insurance or
other form with a general aggregate limit
is used, either the general aggregate limit
shall apply separately to this
project/location or the general aggregate
limit shall be twice the required occurrence
limit.

2. Automobile Liability: $1,000,000 per accident for bodily injury and property damage.

3. Workers’ Compensation: As required by the State of California.

4. Employer’s Liability: $1,000,000 per accident for bodily injury or disease.

Any deductibles or self-insured retentions must be declared to and approved by the City. At the option of the City, either: the insurer shall reduce or eliminate such deductibles or self-insured retentions as respects the City, it officers, officials and employees; or the Contractor shall provide a financial guarantee satisfactory to the City guaranteeing payment of losses and related investigations, claim administration, and defense expenses.

Each policy of general liability and automotive liability insurance shall contain, or be endorsed to contain, the following provisions.
948
.

1. The City, its officers, officials, agents and employees are to be covered as additional insureds with respect to liability arising out of automobiles owned, leased, hired or borrowed by or on behalf of the Contractor; and with respect to liability arising out of work or operations performed by or on behalf of the Contractor, including materials, parts or equipment furnished in connection with such work or operations. General Liability coverage shall be provided in the form of an Additional Insured Endorsement (Insurance Services Office, Inc. Form CG 20 10 11 85 or such other form as may be acceptable to the City) to the Contractor’s insurance policy, or as a separate owner’s policy.

2. For any claims related to this project, the Contractor’s insurance coverage shall be primary insurance as respects the City, its officers, officials and employees. Any insurance or selfinsurance maintained by the City, its officers, officials and employees shall be excess of the Contractor’s insurance and shall not contribute with it.

3. Each insurance policy required by this clause shall be endorsed to state that coverage shall not be canceled by either party, except after thirty (30) days’ prior written notice has been provided to the City
The Contractor shall furnish the City with original certificates of insurance and endorsements effecting coverage required by this clause. The endorsements should be on forms acceptable to City. All certificates and endorsements are to be received and approved by the City before work commences. However, failure to do so shall not operate as a waiver of these insurance requirements. The City reserves the right to require complete, certified copies of all required insurance policies, including endorsements effecting the coverage required by these specifications at any time.

All insurance procured and maintained by the Contractor shall be issued by insurers admitted to conduct the pertinent line of insurance business in the State of California and having a rating of Grade A or better and Class VII or better by the latest edition of Best's Key Rating Guide.

Contractor shall immediately notify the City if any required insurance lapses or is otherwise modified and cease performance of this Agreement unless otherwise directed by the City. In such a case, the City may procure insurance or self-insure the risk and charge Contractor for such costs and any and all damages resulting therefrom, by way of set-off from any sums owed Contractor.

Contractor hereby agrees to waive subrogation, which any insurer of the Contractor may acquire from the Contractor by virtue of the payment of any loss. The Contractor agrees to obtain any endorsement that may be necessary to effect this waiver of subrogation.

The Workers’ Compensation policy shall be endorsed with a waiver of subrogation in favor of the City for all work performed by the Contractor, its employees, agents and subcontractors.

The Contractor shall require and verify that all subcontractors maintain insurance meeting all of the requirements stated herein.
949
Exhibit A
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Exhibit B
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Exhibit A
981
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1033
ONYX PAVING COMPANY, INC Date:
2890 E. La Cresta Ave. Anaheim, CA 92806 Progress Payment #: 1 Office: (714) 632‐6699 Fax: (714) 632‐1883 Invoice #:

CSLB 630360 Job Location:

DIR 1000004798 Onyx Job #: 0
1 REMOVE EXISTING CURB AND SIDEWALK ACCESS RAMP, AND
CONSTRUCT NEW RAMP PER CITY STANDARD PLAN NO. 121 (ALL TYPES) WITH DETECTABLE WARNING SURFACE (TRUNCATED DOME 4' X 3') 7 EA 9,000.00 $ $ 63,000.00 $ ‐ 0.00 $ ‐ 0.00 $ ‐ 3 REMOVE EXISTING AND CONSTRUCT NEW CONCRETE CROSS GUTTER PER CITY STANDARD PLAN NO. 119 10 LF 333.00 $ $ 3,330.00 $ ‐ 0.00 $ ‐ 0.00 $ ‐ 4 REMOVE EXISTING ASPHALT AND CONSTRUCT NEW CONCRETE
SIDEWALK PER CITY STANDARD PLAN NO. 118 2,920 SF 20.00 $ $ 58,400.00 $ ‐ 0.00 $ ‐ 0.00 $ ‐ 5 REMOVE EXISTING AND CONSTRUCT NEW CONCRETE DRIVEWAY PER CITY STANDARD PLAN NO. 115 1,600 SF 25.00 $ $ 40,000.00 $ ‐ 0.00 $ ‐ 0.00 $ ‐ 8 TYPE II SLURRY SEAL (PARKING LOTS) 9,556 SY 3.30 $ $ 31,534.80 $ ‐ 0.00 $ ‐ 0.00 $ ‐9 CRACK SEALING (PARKING LOTS) 430 LF 7.00 $ $ 3,010.00 $ ‐ 0.00 $ ‐ 0.00 $ ‐ 10 STRIPING (TRAILS AND PARKING LOTS) 15,500 LF 5.00 $ $ 20,500.00 $ ‐ 0.00 $ ‐ 0.00 $ ‐14 UNCLASSIFIED EXCAVATION ‐ REMOVE EXISTING SECTION OF AC AND AB AT SITE #7B2 HART PARK BASEBALL FIELD 533 CY 180.00 $ $ 95,940.00 $ ‐ 0.00 $ ‐ 0.00 $ ‐ 15 PLACE 5" AGGREGATE BASE AT SITE #7B2 HART PARK BASEBALL FIELD 557 TON 65.00 $ $ 36,205.00 $ ‐ 0.00 $ ‐ 0.00 $ ‐16 PLACE 3" ASPHALT CONCRETE AT SITE #7B2 HART PARK BASEBALL FIELD 357 TON 130.00 $ $ 46,410.00 $ ‐ 0.00 $ ‐ 0.00 $ ‐17 FULL RECONSTRUCT AT SITE #4 SANTIAGO HILLS PARKING LOT ‐ UNCLASSIFIED EXCAVATION 627 CY 180.00 $ $ 112,860.00 $ ‐ 0.00 $ ‐ 0.00 $ ‐ 18 PLACE 6" AGGREGATE BASE AT SITE #4 SANTIAGO HILLS PARKING LOT 585 TON 65.00 $ $ 38,025.00 $ ‐ 0.00 $ ‐ 0.00 $ ‐19 PLACE 3" ASPHALT CONCRETE AT SITE #4 SANTIAGO HILLS PARKING LOT 423 TON 133.00 $ $ 56,259.00 $ ‐ 0.00 $ ‐ 0.00 $ ‐20 GRIND TRIPPING HAZARDS 210 LF 30.00 $ $ 6,300.00 $ ‐ 0.00 $ ‐ 0.00 $ ‐21 MOBILIZATION 1 LS 44,000.00 $ $ 22,000.00 $ ‐ 0.00 $ ‐ 0.00 $ ‐22 TRAFFIC CONTROL 1 LS 91,526.20 $ $ 20,000.00 $ ‐ 0.00 $ ‐ 0.00 $ ‐ $ ‐ $ ‐ $ ‐
$ -$ -$ -$ -
CONTRACT TOTALS $ 653,773.80
LESS 5% RETENTION

SUB-TOTAL

LESS PREVIOUS PAYMENTS

TOTAL AMOUNT DUE THIS PROG PAY

PREVIOUS BILLING TOTAL BILLING TO DATE
BILLED

QUANTITY

PERIOD BILLING
BILLED

QUANTITY

PERIOD BILLING
BILLED

QUANTITY

PERIOD BILLING

CITY OF ORANGE
PARKING LOT PAVEMENT REHABILITATION AND RESURFACING OF BIKE TRAILS AND WALKING PATHS (BID NO. 23‐24.07) ‐ PARKING LOT PAY REQUEST MONTH ENDING:

BID ITEM DESCRIPTION QUANTITY UMO UNIT PRICE

TOTAL BID
PRICE

THIS PERIOD BILLING
Exhibit A
1034
ONYX PAVING COMPANY, INC Date:
2890 E. La Cresta Ave. Anaheim, CA 92806 Progress Payment #: 1 Office: (714) 632‐6699 Fax: (714) 632‐1883 Invoice #:

CSLB 630360 Job Location:

DIR 1000004798 Onyx Job #: 0
2 INSTALL DETECTABLE WARNING SURFACE (TRUNCATED DOME 4' X 3') PER CITY STANDARD PLAN NO. 121 ON EXISTING CURB RAMP 11 EA 1,800.00 $ $ 19,800.00 $ ‐ 0.00 $ ‐ 0.00 $ ‐ 6 TYPE I SLURRY SEAL 1,839 SY 12.00 $ $ 22,068.00 $ ‐ 0.00 $ ‐ 0.00 $ ‐7 CRACK SEALING (TRAILS) 825 LF 7.00 $ $ 5,775.00 $ ‐ 0.00 $ ‐ 0.00 $ ‐ 10 STRIPING (TRAILS AND PARKING LOTS) 15,500 LF 5.00 $ $ 57,000.00 $ ‐ 0.00 $ ‐ 0.00 $ ‐11 2" COLD MILL EXISTING AC PAVEMENT 3,943 SY 9.00 $ $ 35,487.00 $ ‐ 0.00 $ ‐ 0.00 $ ‐12 2" ASPHALT OVERLAY 445 TON 130.00 $ $ 57,850.00 $ ‐ 0.00 $ ‐ 0.00 $ ‐13 FULL DEPTH PATCH EXISTING AC PAVEMENT 886 SF 20.00 $ $ 17,720.00 $ ‐ 0.00 $ ‐ 0.00 $ ‐21 MOBILIZATION 1 LS 44,000.00 $ $ 22,000.00 $ ‐ 0.00 $ ‐ 0.00 $ ‐22 TRAFFIC CONTROL 1 LS 91,526.20 $ $ 71,526.20 $ ‐ 0.00 $ ‐ 0.00 $ ‐ $ ‐ $ ‐ $ ‐
$ -$ -$ -$ -
CONTRACT TOTALS $ 309,226.20
LESS 5% RETENTION

SUB-TOTAL

LESS PREVIOUS PAYMENTS

TOTAL AMOUNT DUE THIS PROG PAY

PREVIOUS BILLING TOTAL BILLING TO DATE
BILLED

QUANTITY

PERIOD BILLING
BILLED

QUANTITY

PERIOD BILLING
BILLED

QUANTITY

PERIOD BILLING

CITY OF ORANGE
PARKING LOT PAVEMENT REHABILITATION AND RESURFACING OF BIKE TRAILS AND WALKING PATHS (BID NO. 23‐24.07) ‐ BIKE TRAIL PAY REQUEST MONTH ENDING:

BID ITEM DESCRIPTION QUANTITY UMO UNIT PRICE

TOTAL BID
PRICE

THIS PERIOD BILLING
Exhibit A
1035
Agenda Item
City Council
Item #: 3.15. 11/14/2023 File #: 23-0726
TO: Honorable Mayor and Members of the City Council
THRU: Tom Kisela, City Manager
FROM: Leslie Hardy, Community Services Director

1. SUBJECT
Award of Contract to Delta Electric, LLC. for area lighting replacement at Grijlava Park; and finding of CEQA exemption.

2. SUMMARY
A total of 54 light poles provide area/pathway lighting at Grijalva Park. The lighting was designed with metal poles mounted on concrete foundations at ground level. Despite measures taken to protect the poles, deterioration near the base of these poles has resulted in the need to remove several light poles in past years. It is recommended the City Council award a contract in the amount of $621,390 to Delta Electric, LLC. to install new poles and fixtures, designed to resist corrosion, to complete the Area Lighting Replacement at Grijalva Park Capital Improvement Project (20477).

3. RECOMMENDED ACTION

1. Approve the contract with Delta Electric, LLC. In the amount of $621,390 for the Area Lighting Replacement at Grijalva Park project (20477); and authorize the Mayor and City Clerk to execute on behalf of the City.

2. Authorize the appropriation of $60,000 in unreserved Park Acquisition (Infill) (510) fund balance to expenditure account 510.7021.56015.20477 - CIP - Reno - Area Lighting Replacement.

4. FISCAL IMPACT
The total expenditure for this contract is $621,390 and will be funded in the Area Lighting Replacement at Grijalva Park project (20477) through:

Park Acquisition (Infill) (510) account 510.7021.56015.20477 - CIP - Reno - Area Lighting Replacement
$358,704.00
Reimbursable Capital Projects (550) account
550.7021.56015.20477 - CIP - Renovations
262,686.00
Total: $621,390.00
Upon approval of this appropriation, the estimated fund balance in the 510 fund at June 30, 2024, will be $3.614 million.

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Item #: 3.15. 11/14/2023 File #: 23-0726

5. STRATEGIC PLAN GOALS
Goal 1: Provide for a safe community.
b: Provide and maintain infrastructure necessary to ensure the safety of the public.

Goal 3: Enhance and promote quality of life in the community. a: Renovate, maintain, develop, and/or expand public use places and spaces.

6. DISCUSSION AND BACKGROUND
Currently there are a total of 54 light poles providing area/pathway lighting throughout Grijalva Park.

The existing light poles are composed of thin gauge steel poles mounted on reinforced concrete foundations at ground level. Many of the existing light poles have failed and/or have had to be removed due to corrosion at the base of the poles caused by weather and/or standing irrigation water at the base. Despite past measures taken to protect the poles, deterioration continues due to corrosion.

As part of the Area Lighting Replacement at Grijalva Park project (20477), the City contracted with Lin Consulting, Inc. (Lin) in 2022 to evaluate the area lighting and to provide design services and prepare plans, specifications, and cost estimates. Lin provided a biddable scope of work for the project which included the replacement of all area lighting with new poles and fixtures designed to resist corrosion, while utilizing the existing concrete foundations and electrical infrastructure. Staff incorporated the scope of work provided by Lin and issued a request for bids to complete this project (RFB No. 23-24.05). The City received 12 bids in August 2023:

1. Delta Electric, LLC, Santa Clarita, CA $564,900.00

2. Asplundh Construction, LLC, Buena Park, CA $647,522.64

3. Belco Elecnor Electric, Inc., Chino, CA $680,772.00

4. Ace Electric, Inc., San Diego, CA $698,000.00

5. Select Electric, Inc., Anaheim, CA $730,353.00

6. M. Brey Electric, Inc., Beaumont, CA $742,996.00

7. Academy Electric, Inc., Orange, CA $746,500.00

8. Electro Construction Corporation, Altadena, CA $764,408.00

9. Baker Electric & Renewables, LLC, Escondido, CA $777,202.00

10.Servitek Electric, Inc., Walnut, CA $808,650.00

11.Caliba, Inc., Stanton, CA $878,000.00

12.MBC Enterprises, Inc., Huntington Beach, CA $971,600.00 The lowest responsive and responsible bid is from Delta Electric, LLC, (Delta) for $564,900. Staff verified the qualifications of the vendor with references provided for similar projects and received positive responses.

This project was approved as part of the Fiscal Year 2020-21 CIP. As such, $351,690 in Park Acquisition (Infill) (510) funding was approved for this project. The City also received grant funding of $262,686 through the State’s Per Capita Allocation program funded through Prop 68 for a total of $614,376 for the design and construction of the project. The design completed by Lin cost $38,780.

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Item #: 3.15. 11/14/2023 File #: 23-0726
$614,376 for the design and construction of the project. The design completed by Lin cost $38,780.

Following approval of the proposed contract, the project will require an additional appropriation of $60,000 to complete.

Therefore, staff is recommending that the City Council 1) approve the contract with Delta to complete the Area Lighting Replacement at Grijalva Park project (20477). The total amount for this proposed contract is in the amount of $621,390, which includes a 10 percent contingency of $56,490; and 2) approve an appropriation of $60,000 from the unreserved Park Acquisition (Infill) (510) fund to the Area Lighting Replacement at Grijalva Park (20477) project. The additional appropriation will be used in the event of unforeseen expenses related to possible construction issues and/or a need for redesign work. Any unused appropriation will go back to the 510 fund balance upon completion of the project.

All work will be done with the intent to minimize disruption to regular park programming or rentals. It may be necessary to restrict access to one or more facilities for specific dates, times, or durations for safety reasons. Signage will be placed at appropriate locations to inform the public of any closures.

Work start date and completion will be contingent upon weather conditions.

7. ENVIRONMENTAL REVIEW
Categorical Exemption: The proposed project is categorically exempt from the provisions of the California Environmental Quality Act (CEQA) per State CEQA Guidelines 15302 (Class 2 - Replacement or Reconstruction) because the project replaces existing light poles with new light poles in the same locations. The new structures will have substantially the same purpose and capacity as the existing light pole. No public review is required.

8. ATTACHMENTS
· Contract with Delta Electric, LLC
City of Orange Page 3 of 3 Printed on 11/8/2023
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Agenda Item
City Council
Item #: 3.15. 11/14/2023 File #: 23-0726
TO: Honorable Mayor and Members of the City Council
THRU: Tom Kisela, City Manager
FROM: Leslie Hardy, Community Services Director

1. SUBJECT
Award of Contract to Delta Electric, LLC. for area lighting replacement at Grijlava Park; and finding of CEQA exemption.

3. RECOMMENDED ACTION

2. Authorize the appropriation of $60,000 in unreserved Park Acquisition (Infill) (510) fund balance to expenditure account 510.7021.56015.20477 - CIP - Reno - Area Lighting Replacement.

4. FISCAL IMPACT
The total expenditure for this contract is $621,390 and will be funded in the Area Lighting Replacement at Grijalva Park project (20477) through:

City of Orange Page 1 of 3 Printed on 11/8/2023
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Item #: 3.15. 11/14/2023 File #: 23-0726

5. STRATEGIC PLAN GOALS
Goal 1: Provide for a safe community.
b: Provide and maintain infrastructure necessary to ensure the safety of the public.

Goal 3: Enhance and promote quality of life in the community. a: Renovate, maintain, develop, and/or expand public use places and spaces.

6. DISCUSSION AND BACKGROUND
Currently there are a total of 54 light poles providing area/pathway lighting throughout Grijalva Park.

1. Delta Electric, LLC, Santa Clarita, CA $564,900.00

2. Asplundh Construction, LLC, Buena Park, CA $647,522.64

3. Belco Elecnor Electric, Inc., Chino, CA $680,772.00

4. Ace Electric, Inc., San Diego, CA $698,000.00

5. Select Electric, Inc., Anaheim, CA $730,353.00

6. M. Brey Electric, Inc., Beaumont, CA $742,996.00

7. Academy Electric, Inc., Orange, CA $746,500.00

8. Electro Construction Corporation, Altadena, CA $764,408.00

9. Baker Electric & Renewables, LLC, Escondido, CA $777,202.00

10.Servitek Electric, Inc., Walnut, CA $808,650.00

11.Caliba, Inc., Stanton, CA $878,000.00

City of Orange Page 2 of 3 Printed on 11/8/2023
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Item #: 3.15. 11/14/2023 File #: 23-0726
$614,376 for the design and construction of the project. The design completed by Lin cost $38,780.

Following approval of the proposed contract, the project will require an additional appropriation of $60,000 to complete.

Work start date and completion will be contingent upon weather conditions.

7. ENVIRONMENTAL REVIEW
Categorical Exemption: The proposed project is categorically exempt from the provisions of the California Environmental Quality Act (CEQA) per State CEQA Guidelines 15302 (Class 2 - Replacement or Reconstruction) because the project replaces existing light poles with new light poles in the same locations. The new structures will have substantially the same purpose and capacity as the existing light pole. No public review is required.

8. ATTACHMENTS
· Contract with Delta Electric, LLC
City of Orange Page 3 of 3 Printed on 11/8/2023
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CONTRACT
[Grijalva Area Lighting Replacement (Bid No. 23-24.05)] THIS CONTRACT (the “Contract”) is made and entered into as of ______________, 2023 (“Effective Date”) by and between the CITY OF ORANGE, a municipal corporation (“City”), and DELTA ELECTRIC, LLC, a California limited liability company (“Contractor”), who agree as follows.

ARTICLE 1
Work Performed
a. For and in consideration of the payments and agreements hereinafter mentioned, to be made and performed by City, Contractor hereby agrees to and shall do all the work and furnish all the labor, materials, tools and equipment, except such as are mentioned in the specifications to be furnished by City to Contractor, necessary to complete in good workmanship and substantial manner the work (the “Work”) described in:
(1) Contractor’s Bid, which is attached hereto as Exhibit “A” and incorporated herein.
b. Contractor acknowledges the provisions of Chapter 8.28 of the Orange Municipal Code which requires, among other things, that Contractor utilize City’s exclusive solid waste hauler for the rental of bins for trash and debris removal and imposes mandatory recycling requirements for self-hauled construction and demolition waste. The terms and conditions set forth in this Contract shall control over any terms and conditions in the Plans and Specifications to the contrary.
c. The Work shall be performed in conformity with the Plans and Specifications and the Bid Proposal and all applicable laws, including any and all applicable federal and state labor laws and standards and applicable prevailing wage requirements and any and all state, federal and local statutes, regulations and ordinances relating to the protection of human health or the environment.
d. Unless and until otherwise notified in writing by City’s Community Services Director, City’s Senior Project/ Landscape Coordinator, Nathan Bluhm (“Authorized City Representative”), shall be the person to whom Contractor will report for the performance of the Work hereunder. It is understood that Contractor’s performance hereunder shall be under the direction and supervision of the Authorized City Representative or such other person as City’s Community Services Director may designate from time to time, that Contractor shall coordinate the Work hereunder with the Authorized City Representative to the extent required by the Authorized City Representative, and that all performances required hereunder by Contractor shall be performed to the satisfaction of the Authorized City Representative or City’s Community Services Director.
1042
2 e. It is expressly agreed by and between the parties hereto that should there be any conflict between the terms of this instrument and Contractor’s Bid Proposal, then this instrument shall control, and nothing herein shall be considered as an acceptance of the said terms of said Bid Proposal conflicting herewith.

Contractor shall do all things necessary and incidental to the prosecution of Contractor's Work.

ARTICLE 3
Compensation; Term and Extension
a. Contractor agrees to receive and accept an amount not to exceed FIVE HUNDRED SIXTY-FOUR THOUSAND NINE HUNDRED DOLLARS and 00/100 ($564,900.00) as compensation for furnishing all materials and doing all the Work contemplated and embraced in this Contract. Said compensation covers (1) all loss or damage arising out of the nature of the Work, from the acts of the elements; (2) any unforeseen difficulties or obstructions which may arise or be encountered in the prosecution of the Work until its acceptance by City, other than as provided below; (3) all risks of every description connected with the Work; (4) all expenses incurred by or in consequence of the suspension or discontinuance of the Work; and (5) well and faithfully completing the Work, and for the whole thereof, in the manner and according to the Plans and Specifications, and requirements of the Authorized City Representative under them.

Retention amounts shall be withheld from progress payments as required by law unless Contractor provides securities in lieu of retention.
b. In addition to the scheduled Work to be performed by the Contractor, the parties recognize that additional, unforeseen work and services may be required by the Authorized City Representative. In anticipation of such contingencies, the sum of FIFTY-SIX THOUSAND FOUR HUNDRED NINETY DOLLARS and 00/100 ($56,490.00) has been added to the total compensation of this Contract. The Authorized City Representative may approve the additional work and the actual costs incurred by the Contractor in performance of additional work or services in accordance with such amount as the Authorized City Representative and the Contractor may agree upon in advance. Said additional work or services and the amount of compensation therefor, up to the amount of the authorized contingency, shall be memorialized in the form of a Contract Amendment approved by the City Manager on a form acceptable to the City Attorney. The Contractor agrees to perform only that work or those services that are specifically requested by the Authorized City Representative. Any and all additional work and services performed under this Contract shall be completed in such sequence as to assure their completion as expeditiously as is consistent with professional skill and care in accordance with a cost estimate or proposal submitted to and approved by the Authorized City Representative prior to the commencement of such Work or services.
1043
3 c. The total amount of compensation under this Contract, including contingencies, shall not exceed SIX HUNDRED TWENTY-ONE THOUSAND THREE HUNDRED NINETY DOLLARS and 00/100 ($621,390.00).

ARTICLE 5
Guarantees
a. Contractor guarantees the construction and installation of all Work included in the Plans and Specifications for which Contractor has been awarded this Contract. b. Should any of the materials or equipment installed pursuant to this Contract prove defective or should the Work as a whole prove defective, due to faulty equipment, workmanship, materials furnished or methods of installations, or should said Work or any part thereof fail to function properly, as designed, due to any of the above causes within twelve (12) months after the date on which said Work is accepted by City, Contractor shall make repairs and furnish such materials and equipment as are necessary to be furnished and installed within fifteen (15) calendar days after the receipt of a demand from City.
c. Said Work will be deemed defective within the meaning of this guarantee in the event that it fails to function as originally intended either by the Plans and Specifications of this Contract or by the manufacturer(s) of the equipment incorporated into the Work. d. In the event repairs are not made within fifteen (15) calendar days after Contractor's receipt of a demand from City, City shall have the unqualified option to make any needed repairs or replacements itself or by any other contractor. Contractor shall reimburse City, upon demand, for all expenses incurred in restoring said Work to the condition contemplated in this Contract, including the cost of any equipment or materials replaced. e. It is understood that emergency repairs may, by necessity, be made by City.

Therefore, when defective equipment, materials or workmanship result in emergency repairs by City, Contractor shall reimburse City, upon demand, for all expenses incurred. Emergency repairs will be deemed as those repairs determined by City’s Director of Community Services to be necessary due to an immediate detriment to the health, safety, welfare or convenience of the residents of City.

ARTICLE 6
Water Quality
a. The Santa Ana Regional Water Quality Control Board (“RWQCB”) has issued National Pollutant Discharge Elimination System (“NPDES”) Permit No. R8-2009-0030 (the 1044
4 “Permit”), which governs storm water and non-storm water discharges resulting from municipal activities performed by City or its contractors. In order to comply with the Permit requirements, the County of Orange has prepared a Drainage Area Management Plan (“DAMP”), containing Model Maintenance Procedures with Best Management Practices (“BMPs”) that City and its contractors must adhere to. The Model Maintenance Procedures contain pollution prevention and source control techniques to minimize the impact of those activities upon dry-weather urban runoff, storm water runoff, and receiving water quality. Examples include: wash water from cleaning of sidewalks or parking lots must be collected and disposed of in the sewer or landscaped areas.
b. The Permit, the DAMP and the Model Maintenance Procedures are on file in the office of City’s Director of Public Works. Contractor hereby acknowledges that it has read, reviewed and understands the Permit, the DAMP and the Model Maintenance Procedures, as they relate to the Work and hereby shall perform the Work in conformance therewith.

ARTICLE 7
Independent Contractor; Contractor not Agent
a. At all times during the term of this Contract, Contractor shall be an independent contractor and not an employee of City. City shall have the right to control Contractor only insofar as the result of Contractor’s services rendered pursuant to this Contract. City shall not have the right to control the means by which Contractor accomplishes services rendered pursuant to this Contract. Contractor shall, at its sole cost and expense, furnish all facilities, materials and equipment which may be required for furnishing services pursuant to this Contract. Contractor shall be solely responsible for, and shall indemnify, defend and save City harmless from all matters relating to the payment of its subcontractors, agents and employees, including compliance with social security, withholding and all other wages, salaries, benefits, taxes, exactions, and regulations of any nature whatsoever. Contractor acknowledges that Contractor and any subcontractors, agents or employees employed by Contractor shall not, under any circumstances, be considered employees of City, and that they shall not be entitled to any of the benefits or rights afforded employees of City, including, but not limited to, sick leave, vacation leave, holiday pay, Public Employees Retirement System benefits, or health, life, dental, long-term disability or workers' compensation insurance benefits.
b. Except as City may specify in writing, Contractor shall have no authority, express or implied, to act on behalf of City in any capacity whatsoever as an agent. Contractor shall have no authority, express or implied, to bind City to any obligation whatsoever.

To the extent Contractor’s employees will perform any work that falls within any of the classifications for which the Department of Labor Relations of the State of California promulgates prevailing wage determinations, Contractor hereby agrees that Contractor, and any subcontractor under it, shall pay not less than the specified prevailing rates of wages to all such workers. The 1045
5 general prevailing wage determinations for crafts can be located on the website of the Department of Industrial Relations (www.dir.ca.gov/DLSR). Additionally, to perform work under this Contract, Contractor must meet all State registration requirements and criteria, including project compliance monitoring.
b. Attached hereto as Attachment No. 1 and incorporated herein by this reference is a copy of the provisions of Sections 1725.5, 1771, 1771.1, 1771.4, 1775, 1776, 1777.5, 1813 and 1815 of the California Labor Code. Contractor hereby acknowledges that it has read, reviewed and understands those provisions of the Labor Code and shall prosecute and complete the Work under this Contract in strict compliance with all of those terms and provisions. c. Contractor shall secure the payment of compensation to its employees in accordance with the provisions of Section 3700 of the California Labor Code. Accordingly, and as required by Section 1861 of the California Labor Code, Contractor hereby certifies as follows:
“I am aware of the provisions of Section 3700 of the Labor Code which require every employer to be insured against liability for workers' compensation or to undertake self-insurance in accordance with the provisions of that code, and I will comply with such provisions before commencing the performance of the work of this contract.”
d. Contractor shall indemnify, protect, defend and hold harmless City and its officers, employees, contractors and agents, with counsel reasonably acceptable to City, from and against any and all loss, liability, damage, claim, cost, expense, and/or “increased costs” (including reasonable attorney’s fees, court and litigation costs, and fees of expert witnesses) which result or arise in any way from the noncompliance by Contractor of any applicable local, state and/or federal law, including, without limitation, any applicable federal and/or state labor laws (including, without limitation, the requirement to pay state prevailing wages). It is agreed by the parties that, in connection with the construction of the Work which is the subject of this Contract, Contractor shall bear all risks of payment or non-payment of state prevailing wages. “Increased costs” as used in this paragraph shall have the meaning ascribed to it in Labor Code Section 1781, as the same may be enacted, adopted or amended from time to time. The foregoing indemnity shall survive termination of this Contract.

Such actions shall include, but not be limited to the following: employment, upgrading, demotion or transfer, recruitment or recruitment advertising, layoff or termination, rates of pay or other forms 1046
6 of compensation and selection for training, including apprenticeship. Contractor shall post in conspicuous places, available to employees and applicants for employment, a notice setting forth provisions of this non-discrimination clause.
b. Contractor shall, in all solicitations and advertisements for employees placed by, or on behalf of Contractor, state that all qualified applicants will receive consideration for employment without regard to race, color, religion, sex, national origin, mental or physical disability, or any other basis prohibited by applicable law. c. Contractor shall cause the foregoing paragraphs (a) and (b) to be inserted in all subcontracts for any Work covered by this Contract, provided that the foregoing provisions shall not apply to subcontracts for standard commercial supplies or raw materials.

ARTICLE 12
Insurance
a. Contractor shall procure and maintain for the duration of this Contract insurance against claims for injuries to persons or damages to property which may arise from or in connection 1047
7 with the performance of the Work hereunder and the results of that Work by Contractor, its agents, representatives, employees or subcontractors. Any umbrella liability insurance that is provided as part of the general or automobile liability minimums set forth below shall be maintained for the duration of the Contract.
b. Contractor shall maintain the following minimum amount of insurance: the greater of either the limits set forth in (1) through (4), below; or all of the insurance coverage and/or limits carried by or available to Contractor.
(1) General Liability $2,000,000 per occurrence for bodily injury, personal injury and property damage. If
Commercial General Liability insurance
or other form with a general aggregate
limit is used, either the general aggregate
limit shall apply separately to this
project/location or the general aggregate
limit shall be twice the required
occurrence limit.
(2) Automobile Liability $1,000,000 per accident for bodily injury and property damage.
(3) Workers’ Compensation as required by the State of California. (4) Employer’s Liability $1,000,000 per accident for bodily injury or disease. c. Any insurance proceeds in excess of or broader than the minimum required coverage and/or minimum required limits which are applicable to a given loss shall be available to City. No representation is made that the minimum insurance requirements of this Contract are sufficient to cover the obligations of Contractor under this Contract. d. Any deductibles or self-insured retentions must be declared to and approved by City. At the option of City, either: the insurer shall reduce or eliminate such deductibles or selfinsured retentions with respect to City, its officers, officials, agents and employees; or Contractor shall provide a financial guarantee satisfactory to City guaranteeing payment of losses and related investigations, claim administration, and defense expenses. e. Each policy of general liability and automotive liability insurance shall contain, or be endorsed to contain, the following provisions:
(1) City, its officers, officials, agents, and employees are declared to be additional insureds under the terms of the policy, with respect to liability arising out of automobiles owned, leased, hired or borrowed by or on behalf of Contractor (any auto), and with respect to liability arising out of Work or operations performed by or on behalf of Contractor, including materials, parts or equipment furnished in connection with such Work or operations. A policy endorsement to that effect shall be provided to City along with the certificate of insurance. In lieu of an endorsement, City will accept a copy of the policy(ies) which evidences that City is an 1048
8 additional insured as a contracting party. The minimum coverage required by Subsection 12.b, above, shall apply to City as an additional insured.
(2) For any claims related to this Contract, Contractor’s insurance coverage shall be primary insurance with respect to City, its officers, officials, agents and employees. Any insurance or self-insurance maintained by City, its officers, officials, agents and employees shall be excess of Contractor’s insurance and shall not contribute with it. (3) Coverage shall not be canceled, except after thirty (30) days’ prior written notice has been provided to City.
f. Contractor shall furnish City with original certificates of insurance and endorsements effecting coverage required by this Article 12. The endorsements shall be on forms acceptable to City. All certificates and endorsements are to be received and approved by City before the Work commences. However, failure to do so shall not operate as a waiver of these insurance requirements. City reserves the right to require complete, certified copies of all required insurance policies, including endorsements effecting the coverage required by these specifications at any time.
g. All insurance procured and maintained by Contractor shall be issued by insurers admitted to conduct the pertinent line of insurance business in California and having a rating of Grade A or better and Class VII or better by the latest edition of Best Key Rating Guide. h. Contractor shall immediately notify City if any required insurance lapses or is otherwise modified and cease performance of this Contract unless otherwise directed by City. In such a case, City may procure insurance or self-insure the risk and charge Contractor for such costs and any and all damages resulting therefrom by way of set-off from any sums owed Contractor. i. Contractor agrees that in the event of loss due to any of the perils for which it has agreed to provide insurance, Contractor shall look solely to its insurance for recovery. Contractor hereby grants to City, on behalf of any insurer providing insurance to either Contractor or City with respect to the services of Contractor herein, a waiver of any right to subrogation which any such insurer may acquire against City by virtue of the payment of any loss under such insurance.

Upon receipt of notice, Contractor shall immediately cease work, unless the notice provides 1049
9 otherwise. Should City terminate this Contract, City shall pay Contractor for services satisfactorily provided and all allowable reimbursements incurred to the date of termination in compliance with this Contract, unless such termination shall be for cause, in which event City may withhold any disputed compensation. City shall not be liable for any claim of lost profits.

ARTICLE 15
Compliance with Laws
a. Contractor shall be knowledgeable of and comply with all local, state and federal laws pertaining to the subject matter hereof or in any way regulating the activities undertaken by Contractor or any subcontractor hereunder.
b. Contractor represents and warrants that it:
(1) Has complied and shall at all times during the term of this Contract comply, in all respects, with all immigration laws, regulations, statutes, rules, codes, and orders, including, without limitation, the Immigration Reform and Control Act of 1986 (IRCA); and (2) Has not and will not knowingly employ any individual to perform services under this Contract who is ineligible to work in the United States or under the terms of this Contract; and
(3) Has properly maintained, and shall at all times during the term of this Contract properly maintain, all related employment documentation records including, without limitation, the completion and maintenance of the Form I-9 for each of Contractor’s employees; and
(4) Has responded, and shall at all times during the term of this Contract respond, in a timely fashion to any government inspection requests relating to immigration law compliance and/or Form I-9 compliance and/or worksite enforcement by the Department of Homeland Security, the Department of Labor, or the Social Security Administration. 1050
10 c. Contractor shall require all subcontractors and/or subconsultants to make the same representations and warranties required by this Article 15 when hired to perform services under this Contract.
d. Contractor shall, upon request of City, provide a list of all employees working under this Contract and shall provide, to the reasonable satisfaction of City, verification that all such employees are eligible to work in the United States. All costs associated with such verification shall be borne by Contractor. Once such request has been made, Contractor may not change employees working under this Contract without written notice to City, accompanied by the verification required herein for such employees. Contractor shall require all subcontractors and/or sub-consultants to make the same verification when hired to perform services under this Contract. e. If Contractor, or a subcontractor or subconsultant, knowingly employs an employee providing Work under this Contract who is not authorized to work in the United States, and/or fails to follow federal laws to determine the status of such employee, such shall constitute a material breach of this Contract and may be cause for immediate termination of this Contract by City.
f. Contractor shall indemnify and hold City, its officials and employees harmless for, of and from any loss, including but not limited to fines, penalties and corrective measures, City may sustain by reason of Contractor’s failure to comply with said laws, rules and regulations in connection with the performance of this Contract.

ARTICLE 18
Notice
Except as otherwise provided herein, all notices required under this Contract shall be in writing and delivered personally, by e-mail, or by first class mail, postage prepaid, to each party at the address listed below. Either party may change the notice address by notifying the other party 1051
11 in writing. Notices shall be deemed received upon receipt of same or within three (3) days of deposit in the U.S. Mail, whichever is earlier. Notices sent by e-mail shall be deemed received on the date of the e-mail transmission.
“CONTRACTOR” “CITY”
Delta Electric, LLC City of Orange
17007 Strawberry Pine Ct 300 E. Chapman Avenue
Santa Clarita, CA 91387 Orange, CA 92866-1591
Attn: Rolando Estevez Attn: Nathan Bluhm
Telephone: 661-714-7762 Telephone: 714-532-6491
E-Mail: [email protected] E-Mail: [email protected] ARTICLE 19
Claim Resolution
City and Contractor agree that the claim resolution process applicable to any claim by Contractor in connection with the Work provided herein shall be subject to the procedures set forth in California Public Contract Code Section 9204, attached hereto as Attachment No. 2, and incorporated herein by this reference.

CONTRACT, BONDS AND INSURANCE
APPROVED BY:

Nathalie Adourian
Senior Assistant City Attorney
CITY OF ORANGE, a municipal corporation
By:

Daniel R. Slater,
Mayor of the City of Orange
ATTEST:

Pamela Coleman, City Clerk
“CONTRACTOR”
DELTA ELECTRIC, LLC, a California limited
liability company
[Note: Signature of Managing Member By:
or Person(s) Authorized to bind LLC is Printed Name:
(are) required] Title:

By:

Printed Name:

Title:
√
1053
Attachment No. 1

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Orange City CouncilNovember 14, 2023

Orange City Council
November 14, 2023