ADDENDA CONFIRMATION
Addendum #1
Confirmed Apr 13, 2025 2:38 PM by Joe Stein
Addendum #2
Confirmed Apr 13, 2025 2:39 PM by Joe Stein
QUESTIONNAIRE
1. Proposal (WITHOUT COST)*
Proposals shall be concise, well organized and demonstrate qualifications and applicable experience. Proposals shall be organized, and include page numbers for all pages in the proposal. The proposal shall be uploaded here, in the following order and shall include:
A. Cover Letter
1. This letter should briefly introduce the firm, summarize the firm’s general qualifications, include an executive summary of the specific approach which will be used to deliver the work scope; and identify the individual(s) name, address and phone number authorized to negotiate Agreement terms and compensation.
B. Experience and Technical Competence
1. Background: Provide history of the firm’s consulting experience which specifically addresses the individual or firm’s experience with similar Service as described in this RFP.
2. References: The proposal shall include a list of recently completed projects that are similar in scope and function to this RFP. Provide a description of the project, client name, and the name, title, and telephone number of the primary contact person.
C. Firm Staffing and Key Personnel
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Request For Proposal - Landscape Maintenance Area (LMA) No. 16
1. Staffing: Provide the number of staff to be assigned to perform the Services and the names/discipline/job title of each as well as your firm’s capacity to provide additional personnel as needed.
2. Key Personnel: Identify key persons that will be principally responsible for working with the City. Indicate the role and responsibility of each individual.
3. Team Organization: Describe proposed team organization, including identification and responsibilities of key personnel.
4. Subcontractors: The Proposer shall identify functions that are likely to be subcontracted and identify the subcontractor that is anticipated to perform each function.
D. Proposed Method to Accomplish the Work
1. Describe the technical and management approach to providing the Services to the City. Proposer should take into account the scope of the Services, and general functions required. Include a draft first year schedule of tasks, milestones, and deliverables that will provide for timely provision of the Services. In reviewing the scope of Services and goals described herein, the Proposer may identify additional necessary tasks and is invited to bring these to the City’s attention within the discussion of its proposed method to accomplish the work.
COPD_LMA16_2025-RFP-148_(Proposal_Packet).pdf
2. Non-Collusion Declaration*
The undersigned declares:
I am an authorized representative of my company, the party making the foregoing Bid, to certify the following.
The Bid is not made in the interest of, or on behalf of, any undisclosed person, partnership, company, association, organization, or corporation. The Bid is genuine and not collusive or sham. The Bidder has not directly or indirectly induced or solicited any other Bidder to put in a false or sham bid. The Bidder has not directly or indirectly colluded, conspired, connived, or agreed with any Bidder or anyone else to put in a sham bid, or to refrain from bidding. 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. All statements contained in the Bid are true. 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 339
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Request For Proposal - Landscape Maintenance Area (LMA) No. 16
data relative thereto, to any corporation, partnership, company, association, organization, bid depository, or to any member or agent thereof to effectuate a collusive or sham bid, and has not paid, and will not pay, any person or entity for such purpose.
Any person executing this declaration on behalf of a Bidder that is a corporation, partnership, joint venture, limited liability company, limited liability partnership, or any other entity, hereby represents that he or she has full power to execute, and does execute, this declaration on behalf of the Bidder.
I declare under penalty of perjury under the laws of the State of California that the foregoing is true and correct.
Confirmed
3. Enter your valid CA Contractors State License Board (CSLB) number* Please enter your License Number here. This will be verified against the state database 647984
Click to Verify Value will be copied to clipboard
4. Enter your California Department of Industrial Relations (DIR) Registration number* Please enter your Public Works Contractor DIR Number. This will be verified against the state database. 1000001926
Click to Verify Value will be copied to clipboard
5. Type of Business*
S Corporation (if corporation, two signatures are required)
6. Litigation*
Provide litigation history for any claims filed by your firm or against your firm related to the provision of Services in the last five (5) years (or type "N/A").
N/A
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[VINTAGE LANDSCAPE] RESPONSE DOCUMENT REPORT
Request For Proposal - Landscape Maintenance Area (LMA) No. 16
7. Changes to Agreement*
The City standard professional services agreement contract is included as an attachment herein. The Proposer shall identify any objections to and/or request changes to the standard contract language in this section of the proposal (or type "N/A"). If you are identifying changes here ALSO upload a copy of the redlined Language/Agreement with your Proposal. Changes requested may effect theCity's decision to enter into an Agreement.
N/A
8. No Deviations from the RFP*
In submitting a proposal in response to this RFP, Proposer is certifying that it takes no exceptions to this RFP including, but not limited to, the Agreement. If any exceptions are taken, such exceptions must be clearly noted here, and may be reason for rejection of the proposal. As such, Proposer is directed to carefully review the proposed Agreement and, in particular, the insurance and indemnification provisions therein (or type "N/A").
N/A
9. Project Team Resumes*
Submit resumes of all key personnel/support staff that will produce work product for the Services. Describe their qualifications, education, and professional licensing.
9._Project_Team_Resumes.pdf
10. List the Signatory(s) Authorized to Sign and Bind an Agreement.* (If two (2) signatures are required, include the following information for both signatories) A. Full Name
B. Title
C. Physical Business Address
D. Email Address
E. Phone Number
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Landscape Maintenance Area (LMA) No. 16
[VINTAGE LANDSCAPE] RESPONSE DOCUMENT REPORT
Request For Proposal - Landscape Maintenance Area (LMA) No. 16
A. Kyle Gritters
B. CEO
C. 78-755 Darby Road Bermuda Dunes, CA 92203
D. [email protected]
E. 805-720-7269
A. David Smith
B. President
C. 78-755 Darby Road Bermuda Dunes, CA 92203
D. [email protected]
E. 760-772-3673
11. Certification of Proposal: The undersigned hereby submits its proposal and, by doing so, agrees to furnish services in accordance with the Request for Proposal (RFP), and to be bound by the terms and conditions of the RFP.* Confirmed
PRICE TABLES
CONTRACTORS PROPOSAL PRICE BY LOCATION
Line Item Site Description Quantity Unit of
Measure
Monthly Unit
Price
Annual Total
1 Joe Mann Park 12 Months $1,575.00 $18,900.00
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Request For Proposal - Landscape Maintenance Area (LMA) No. 16
Line Item Site Description Quantity Unit of
Measure
Monthly Unit
Price
Annual Total
2 Freedom Park 12 Months $7,625.00 $91,500.00
3 Stonebridge Easements 12 Months $1,380.00 $16,560.00
4 Hovley Soccer Park 12 Months $7,335.00 $88,020.00
5 Bump and Grind Trailhead 12 Months $510.00 $6,120.00
6 University Dog Park 12 Months $890.00 $10,680.00
7 University Park East 12 Months $1,975.00 $23,700.00
8 Ironwood Park 12 Months $3,985.00 $47,820.00
9 Washington Charter School Park 12 Months $1,690.00 $20,280.00 10 Cahuilla Park 12 Months $1,680.00 $20,160.00
11 Community Gardens 12 Months $985.00 $11,820.00
12 Homme Adams Park 12 Months $1,470.00 $17,640.00
13 Palma Village Park 12 Months $1,230.00 $14,760.00
14 Smoketree Natural Area 12 Months $490.00 $5,880.00
15 Haystack Drainage 12 Months $3,950.00 $47,400.00
16 Park A 12 Months $1,500.00 $18,000.00
17 Park B 12 Months $1,380.00 $16,560.00
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Landscape Maintenance Area (LMA) No. 16
[VINTAGE LANDSCAPE] RESPONSE DOCUMENT REPORT
Request For Proposal - Landscape Maintenance Area (LMA) No. 16
Line Item Site Description Quantity Unit of
Measure
Monthly Unit
Price
Annual Total
18 Park D 12 Months $1,350.00 $16,200.00
19 Park E 12 Months $1,050.00 $12,600.00
TOTAL $504,600.00
ADDITIONAL WORK PRICING SCHEDULE
Line Item Description Unit of Measure Unit Cost
20 Additional Laborer Per Hour $37.00
21 Additional Irrigator Per Hour $47.00
22 Additional Foreman Per Hour $47.00
PLANT MATERIAL REPLACEMENT
Note: Anything over 24” box size will be paid at the contractual hourly rate for labor, and materials at cost plus a 15% mark-up. *Includes the following: digging of hole, setting of tree, backfilling, watering-in of tree, staking (if needed), securing with cinch ties, and adjusting repairing, or retrofitting irrigation
Line Item Description Unit of Measure Unit Cost
23 1-Gallon Shrub Installed Each $19.00
24 5-Gallon Shrub Installed Each $34.00
25 15-Gallon Tree Installed Each $125.00
26 24" Box Tree Installed Each $440.00
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[VINTAGE LANDSCAPE] RESPONSE DOCUMENT REPORT
Request For Proposal - Landscape Maintenance Area (LMA) No. 16
345
2025 LANDSCAPE PROPOSAL
COPD LMA 16 · 2025-RFP-148
346
Response to 2025-RFP-148 Landscape Maintenance Area (LMA) No. 16 April 14 , 2025 th Dear City Staff & Council,
Thank you for the opportunity to submit our proposal for the landscape maintenance of City of Palm Desert LMA16. Vintage offers the expertise and experience to maintain and enhance the beauty and value of your city landscape. As the only company in the Coachella Valley providing a full range of services — including general maintenance, tree care, design, enhancements, etc — we take pride in our comprehensive approach. Our team is made up of certified horticultural professionals with over 100 years of combined experience, dedicated solely to serving clients in the Coachella Valley. Vintage is incredibly appreciative to be part of this process. We can assure you of our unwavering commitment to be responsive, accept responsibility, and partner with you to find solutions just as we have for the past 5 years.
In addition to the (8) current staff members we have servicing LMA-16, we are proposing (1) additional full-time gardener and (2) seasonal mow crew members. These additions will supplement the increased scope of work (new locations, service-specific frequencies and seasonal needs).
Qualifications:
We have over 30 years of experience taking care of city parks, including City of Palm Desert, City of Coachella, City of Indian Wells and City of Rancho Mirage.
Highly qualified and experience account managers and on-site supervisors constantly inspect the property for issues and proactively correct and report these issues.
We emphasize the natural pruning of shrubs and professional tree care to enhance the beauty and ensure the landscape looks just like the architect designed it.
We utilize best management practices and the most efficient equipment available to provide high-quality results at the lowest cost.
Our history of maintaining long-term relationships with our customers (over 20 years) and our employees (over 30 years).
Kyle Gritters (CEO) and David Smith (President) are authorized to negotiate agreement terms and compensation. Both gentlemen can be reach at:
78755 Darby Road, Bermuda Dunes, CA 92203
760-772-3673
Sincerely,
Kyle Gritters │ CEO
COVER LETTER
City of palm desert LMA-16
Vintage Landscape · Vintage Nursery · Vintage Outdoors
78-755 Darby Road, Bermuda Dunes, CA 92203 · (760) 772-3673 · vintagelandscape.com 347
Technical Competence
City of palm desert LMA-16
Vintage Landscape · Vintage Nursery · Vintage Outdoors
78-755 Darby Road, Bermuda Dunes, CA 92203 · (760) 772-3673 · vintagelandscape.com
1. Background
Vintage Landscape has been in business for 33 years, proudly partnering with multiple municipalities across the greater Coachella Valley. Our long-standing relationships include the City of Palm Desert (20 years), City of Coachella (10 years), City of Indian Wells (20 years), and City of Rancho Mirage (3 years).
The scope of work provided to the aforementioned municipalities is akin to the requested 2025 LMA-16 RFP. This work includes the servicing of parks, sports complexes, and common area landscape. Vintage Landscape’s staff has over 100 years of combined experience in the landscape industry, education, and certifications. This includes, ISA Certified Arborist, QAL Certified, AA Turf Management and BS in Horticulture. One of our key members contributing to the success and training of our field team is Al Hollinger. Al has a degree in Ornamental Horticulture and is seen as the desert’s Horticulture expert. He also spent many years teaching courses at the College of the Desert specific to Horticulture.
There is no other landscape service provider in the desert with the expertise and knowledge that the staff at Vintage Landscape provides to their clients. 348
1. References
City of Rancho Mirage
Contact: Ryan Stendell (Director of Public Works)
Phone: 760-770-3224 Ext. 254
Email: [email protected]
Scope of Services: General landscaping, tree pruning, pressure washing, facilities, irrigation and cloud control management, etc. for parks, city hall, buildings, fire stations and center medians.
Staffing: Supervisor, foreman, irrigator, gardening crew, facilities, tree crew, spray tech.
City of Coachella (Bagdouma Park)
Contact: Maritza Martinez (Public Works Director)
Phone: 760-398-3502 Ext. 201
Email: [email protected]
Scope of Services: General landscaping, tree pruning, pressure washing, facilities, irrigation management, etc. for parks, city hall, buildings, fire stations and center medians.
Staffing: Supervisor, foreman, irrigator, gardening crew, facilities, tree crew, spray tech.
Experience & references
City of palm desert LMA-16
Vintage Landscape · Vintage Nursery · Vintage Outdoors
78-755 Darby Road, Bermuda Dunes, CA 92203 · (760) 772-3673 · vintagelandscape.com 349
1. References (Continued)
City of Indian Wells
Contact: Mihai Dan - Maintenance Supervisor
Phone: 760-346-2489
Email: [email protected]
Scope of Services: General landscaping, tree pruning, pressure washing, irrigation management, etc. for common areas and center medians (includes large amount of annual flower color maintenance).
Staffing: Supervisor, foreman, irrigator, gardening crew, facilities, tree crew, annual flower color crew, spray tech.
Experience & references
City of palm desert LMA-16
Vintage Landscape · Vintage Nursery · Vintage Outdoors
78-755 Darby Road, Bermuda Dunes, CA 92203 · (760) 772-3673 · vintagelandscape.com 350
1. Proposed Staffing
SUPERVISION
Qty Job Title Name Frequency
1 Account Manager Bruce Brown Weekly / As Needed
1 Onsite Supervisor Pedro Lopez Daily
2 TOTAL
STAFFING
City of palm desert LMA-16
Vintage Landscape · Vintage Nursery · Vintage Outdoors
78-755 Darby Road, Bermuda Dunes, CA 92203 · (760) 772-3673 · vintagelandscape.com
GENERAL LANDSCAPE
Qty Job Title Name Frequency
1 Foreman Julio Gomez Daily
1 Irrigator Eleno Rivera Daily
1 Pressure Washing / Facilities Gabriel Duran Daily
3 Gardener Maria Alvarez Daily
(1) New FT Gardener to supplement
additional scope and frequencies.
Victor Garcia Daily
New Member Daily
6 TOTAL
TURF MANAGEMENT
Qty Job Title Name Frequency
1 Mow Crew Member Ricardo Machuca Weekly / As Needed
1 Mow Crew Member Jose Alvarado Weekly / As Needed
2 Seasonal Scalp & Overseed New Member Month of October New Member Month of October
4 TOTAL
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1. Proposed Staffing (Continued)
At Vintage Landscape, we are a full-service landscape company with multiple specialized divisions, allowing us to meet a wide range of customer needs quickly and efficiently. Whether it’s expert tree pruning, landscape enhancements, irrigation audits, or routine maintenance, our dedicated teams work seamlessly to deliver highquality results and responsive service. This structure ensures that we have the capacity to provide additional personnel as needed no matter the size or scope of your project.
STAFFING
City of palm desert LMA-16
Vintage Landscape · Vintage Nursery · Vintage Outdoors
78-755 Darby Road, Bermuda Dunes, CA 92203 · (760) 772-3673 · vintagelandscape.com 352
2. Key Personnel
KEY PERSONNEL
City of palm desert LMA-16
Vintage Landscape · Vintage Nursery · Vintage Outdoors
78-755 Darby Road, Bermuda Dunes, CA 92203 · (760) 772-3673 · vintagelandscape.com Bruce Brown – Account Manager
32 Years Golf and Landscape Experience
Associate of Science Turfgrass Management
QAL
ISA Certified Arborist
Pedro Lopez – Supervisor
20 years Landscape Experience
Turf Grass Management Experience
Pesticide Laws & Regulations Experience
Arboriculture Experience
Eleno Rivera – Irrigator
18 years Landscape/Irrigation Experience
5 years experience in City of Palm Desert
353
2. Key Personnel (Continued)
KEY PERSONNEL
City of palm desert LMA-16
Vintage Landscape · Vintage Nursery · Vintage Outdoors
78-755 Darby Road, Bermuda Dunes, CA 92203 · (760) 772-3673 · vintagelandscape.com Al Hollinger, Chief Horticulturist for Vintage Landscape Al holds a BS in Ornamental Horticulture from Cal Poly Pomona, he is an ISA Certified Arborist and a member of the International Society of Arboriculture since 1990. Al holds a Qualified Applicators License. Al has over 35 years of experience of working on City Landscape Accounts and has extensive technical knowledge and qualifications. Al was a Horticulture instructor at COD for 10 years adjunct as well as a frequent speaker at Landscape Educational Seminars
Kyle Gritters - CEO
Kyle manages the Landscape maintenance branch with a strong team with over 100 years experience between them. Kyle has attended numerous horticultural classes at COD and holds a Qualified Applicators License and contractor's license and works in tandem with his business partner David Smith to create a strong company culture of trust and integrity. Kyle holds a BA in Applied Design from San Diego State University.
354
Kyle Gritters
CEO
Vintage Landscape
Israel Ruiz
Tree Rite Manager
SENIOR SUPERVISORS
SUPERVISORS
Dan Powers
QAL/CLIA
Rob
Downing Alex Meza Aurelio Medina
Alfonso
Munoz
Brian Valenzuela Israel Macias Fredie Salazar Ramon Lopez Juan
Castellon
Oscar Aceves
Maxicom
Site / QAC
Pedro Lopez
Bruce Brown
Golf Turf AA / ISA / QAL
Golf Account Manager
Leo Meza
ISA / QAL AA Turf
Account Manager
Rafael Esquivel
ISA / QAL
Account Manager
Kevin
Vasquez
Anthony
Mendoza
Sergio Aceves
Lead Mechanic
Jairo
Moreno
Mitch Ainsworth
Fleet/Hardware Manager
Jesus Orozco Ben Reyes
Elmer
Gamez
Gil Mejorado
CLIA
Water Manager
Al Hollinger
Vintage Chief
Horticulturalist
Leo
Flores
Reina
Gonzalez
Javier
Garcia
Samuel
Miranda
Antonio
Fernandez
Rigoberto
Orellana
Mario
Higaque
Petro
Garcia
Ignacio
Serrato
Manuel
Langarica
3. Team Organization
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4. Subcontractors
As stated previously, we are a full-service landscape company with multiple specialized divisions. Whether it’s expert tree pruning, landscape enhancements, irrigation audits, etc., our structure ensures that we have the capacity to provide additional personnel as needed, no matter the size or scope of your project.
Should the need arise for external resources to complete a task or project, we have established relationships with the following subcontractors to assist.
Pompa Tree Services
Contact: Jose Pompa
Phone: 760-674-6013
79405 Hwy 111, Ste. 9-335, La Quinta, CA 92253
Discount Tree Service
Contact: Jaime Elenes
Phone: 760-391-8328
PO Box 3587, Palm Desert, CA 92261
subcontractors
City of palm desert LMA-16
Vintage Landscape · Vintage Nursery · Vintage Outdoors
78-755 Darby Road, Bermuda Dunes, CA 92203 · (760) 772-3673 · vintagelandscape.com 356
1. Annual Schedule
July
Daily - Monthly Tasks (scheduled as RFP specified)
Nut Sedge & Broadleaf Weed Application (if
approved).
August
Daily - Monthly Tasks (scheduled as RFP specified)
September
Daily - Monthly Tasks (scheduled as RFP specified)
Aerate Sports Fields
Begin lowering sports fields turf height in
preparation for over seeding.
Clean out Community Gardens
October
Daily - Monthly Tasks (scheduled as RFP specified)
Overseed All Turf Areas
Fertilize All Turf Areas
November
Daily - Monthly Tasks (scheduled as RFP specified)
December
Daily - Monthly Tasks (scheduled as RFP specified)
Aerate Sports Fields
Fertilize Turf Areas
January
Daily - Monthly Tasks (scheduled as RFP specified)
February
Daily - Monthly Tasks (scheduled as RFP specified)
Fertilizer w/Barricade Pre-Emergent Application
March
Daily - Monthly Tasks (scheduled as RFP specified)
Aerate Sports Fields
Treat Oak Trees for Aphids/Scale
April
Daily - Monthly Tasks (scheduled as RFP specified)
Fertilize All Turf Areas
Treat Oak Trees for Aphids/Scale
May
Daily - Monthly Tasks (scheduled as RFP specified)
June
Daily - Monthly Tasks (scheduled as RFP specified)
Aerate Sports Fields
Fertilize Turf Areas
Annual Schedule
City of palm desert LMA-16
Vintage Landscape · Vintage Nursery · Vintage Outdoors
78-755 Darby Road, Bermuda Dunes, CA 92203 · (760) 772-3673 · vintagelandscape.com 357
2. Major Tasks & Milestones
tasks & Milestones
City of palm desert LMA-16
Vintage Landscape · Vintage Nursery · Vintage Outdoors
78-755 Darby Road, Bermuda Dunes, CA 92203 · (760) 772-3673 · vintagelandscape.com 358
3. Regular Tasks
Daily tasks will be completed as scheduled by splitting the crew members into 4 groups. Groups A,B,C & D.
There will be a total of (8) people including, the foreman, that make up these groups. The number of people in each group will vary depending on the day, time of year and tasks required. All 4 groups would have their own vehicle and equipment and be able to work independently of each other. When groups are not working on their primary tasks, they will help other groups with other tasks. Groups may work together at the same location or by themselves at different locations depending on the requirements of the day. Tasks may overlap and groups will work together on some tasks. Group A will be responsible for gardening tasks. Group B will be responsible for pressure washing tasks. Group C will be responsible for mowing tasks. Group D will be responsible for irrigation tasks.
All 4 groups would be responsible for daily trash pickup, emptying containers and raking and cleaning playground areas Monday thru Friday. They would also take care of plant litter dog droppings and blowing hardscapes. Trash on the weekend would be by a single individual with additional help on anticipated heavy weekends. (Frequency Schedule Legend A & B). Weekly mowing will be done by Group C and the large mower operator. (Frequency Schedule Legend D & T)
On Monday, Wednesday and Friday Group B will pressure wash dog parks and clean tennis and basketball courts (Frequency Schedule Legend E). Weekly they will pressure wash picnic areas and clean BBQ’s (Frequency Schedule Legend D). Every 2-weeks they will pressure wash sports field bleachers, drains, benches, drinking fountains, trash receptacles, signs, and misc. fixtures. They will also pressure wash the playground equipment and adjacent hardscape (Frequency Schedule Legend F). Depending on the location Group A will rake designated areas for the frequencies set forth in Frequency Schedule Legend B, F & G).
Infrequent Tasks: The following tasks will be completed by Groups A, B, & C. Supplemental labor will be provided as part of the contract if necessary.
Quarterly Fertilization & Aeration (Frequency Schedule Legend I) Treat Aphids on Oaks Trees (Frequency Schedule Legend J) Clean-out Community Garden Beds (Frequency Schedule Legend K) Fall Scalping & Overseeding (Frequency Schedule Legend K) To be performed by our proposed additional mow crew members during the month of October. regular tasks
City of palm desert LMA-16
Vintage Landscape · Vintage Nursery · Vintage Outdoors
78-755 Darby Road, Bermuda Dunes, CA 92203 · (760) 772-3673 · vintagelandscape.com 359
4. Weekly Schedule of Regular Tasks
This proposed schedule is subject to review and revisions based upon further discussion with City Staff.
weekly schedule
City of palm desert LMA-16
Vintage Landscape · Vintage Nursery · Vintage Outdoors
78-755 Darby Road, Bermuda Dunes, CA 92203 · (760) 772-3673 · vintagelandscape.com 360
5. Full-Time Equipment
Below is a list of full-time equipment that will be utilized and invested into this project.
(4) Pick-Up Trucks
(2) Trailers
Pressure Washer (Minimum 3000 PSI)
121" Toro Reelmaster 7000 (Fairway Mower)
9' Toro Groundmaster 4500 (Rough Mower)
60” Exmark Lazer Z (Zero-Turn Lawn Mower) NEW
Turbine Blower (post-mowing) NEW
21” Push Mower
String Trimmer
Edger
Backpack & Handheld Blowers
50-Gallon Sprayer
Backpack sprayer
Misc. Gardening Tools
Misc. Irrigation Tools
full-time Equipment
City of palm desert LMA-16
Vintage Landscape · Vintage Nursery · Vintage Outdoors
78-755 Darby Road, Bermuda Dunes, CA 92203 · (760) 772-3673 · vintagelandscape.com 361
6. Supplemental Equipment
Below is a list of equipment that will be used on this project on an as needed basis to facilitate the RFP scope.
supplemental equipment
City of palm desert LMA-16
362
7. Supplemental Equipment (Continued)
supplemental equipment
City of palm desert LMA-16
363
9. - Project Team Resumes
Bruce Brown
Account Manager
78755 Darby Road
Bermuda Dunes, CA 92203
760-772-3673
[email protected]
Summary Responsible for overall customer experience and interaction with Vintage Landscape. Quality assurance for the account and support for the supervisor.
Qualifications 1) 32 Years Golf and Landscape Experience 2) Associate of Science Turfgrass Management
3) Qualified Applicator Licensed
4) ISA Certified Arborist
Pedro Lopez
Senior Supervisor
78755 Darby Road
Bermuda Dunes, CA 92203
760-772-3673
[email protected]
Summary Supervisor (30-35 Hours per week) Responsible for scheduling, inspection and follow up to be sure work is completed as specified. Responsible for checking on crew daily and will manage daily communication with main contact with the city.
Qualifications 1) 20 Years Landscape Experience
2) Turf Grass Management Experience
3) Pesticide Laws & Regulations Experience
4) Arboriculture Experience
Eleno Rivera
Irrigation Foreman
Gardener 78755 Darby Road
Bermuda Dunes, CA 92203
760-772-3673
Summary Responsible for irrigation checks and reporting. Will also be the designated lead full time on location.
Qualifications 1) 18 Years Landscape Irrigation Experience 2) 5 Years experience in City of Palm Desert
364
Summary Greg has a degree in Chemical Engineering from the University of Southern California. Greg is a graduate from the internationally acclaimed Thunderbird School of Management with an MBA in international business.
Qualifications 1) 25 years of domestic and international experience in commercial development, operations, and project management
2) Certified Water Manager by the California Landscape Contractors Association
3) Leads the company’s initiatives in water management and conservation Kyle Gritters
CEO
78755 Darby Road
Bermuda Dunes, CA 92203
760-772-3673
[email protected]
Summary Manages the landscape maintenance branch with a strong team with over 100 years of experience between them. Kyle graduated from San Diego State University and has attended numerous horticultural classes at COD.
Qualifications 1) Qualified Applicators Licensed
2) BA in Applied Design
3) Contractors License
David Smith
President
78755 Darby Road
Bermuda Dunes, CA 92203
760-772-3673
[email protected]
Greg Gritters
CFO
78755 Darby Road
Bermuda Dunes, CA 92203
760-772-3673
[email protected]
Summary Manages our construction branch (Vintage Outdoors) and nursery (Vintage Nursery). He is also involved in CAI and oversees business development.
Qualifications 1) 28 years of landscape construction experience 2) Expert in palm tree horticulture
3) ISA Tree Risk Assessment Qualified
4) ISA Certified Arborist
5) BS in Business Administration
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Summary Al graduated from Cal Poly Pomona and was a Horticulture instructor at COD for 10 years adjunct. He has been a part of the International Society of Arboriculture since 1990. Al was a frequent speaker at Landscape Educational Seminars.
Qualifications
Al Hollinger
Chief Horticulturalist for Vintage Landscape
78755 Darby Road
Bermuda Dunes, CA 92203
760-772-3673
[email protected]
1) Over 35 years of experience working on City Landscape Accounts and has extensive technical knowledge and qualifications.
2) BS Ornamental Horticulture
3) Qualified Applicators Licensed
4) ISA Certified Arborist
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Hope
Dr
Clancy Ln
Gerald Ford Dr
Vista del Sol
Hovley Lane W
ry Club Dr
Bob Hope Dr
Monterey Ave
Portola Avenue
Frank Sinatra Drive
Monterey Avenue
Gerald Ford Drive
e Country
Club
unnylands
storic Estate
Monterey
Country Club
Desert Willow
ho Mirage
Palm Desert
Bursera Way
Haystack Road
74 111
Ironwood
Country Club
Shadow
Mountain
Resort
Canyons At
Bighorn
Ivey Ranch
Country Club
Varner Rd
Yucca Ln
Avenue 38
Warner Trail
Merle Drive
Fred Waring Dr
Hovley Lane E
Frank Sinatra Drive
Gerald Ford Drive
Cook Street
Washington Street
Classic Club
Golf Course
Indian Wells
Golf Course
Toscana
Country Club
Indian Ridge
Country Club
Palm Valley
Country Club
The Lakes
Country Club
Desert Falls
Country Club
Palm Desert
Country Club
Coachella
Valley National
Wildlife Refuge
Desert
Miles Ave
Fairway Dr
El Dorado
Country Club
Indian Wells
Country Club
La Quinta
Country Club
Vintage Club
Indian Wells
Sources: Esri, TomTom, Garmin, FAO, NOAA, USGS, © OpenStreetMap contributors, and the GIS User Community
Landscape Area 16
I
2025
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CITY OF PALM DESERT
STAFF REPORT
MEETING DATE: May 22, 2025
PREPARED BY: Vanessa Mager, Management Analyst
SUBJECT: RECEIVE AND FILE THE 2025 COMMERICAL BROKER’S REPORT RECOMMENDATION:
Receive and file the 2025 Commercial Broker’s Report.
BACKGROUND/ANALYSIS:
Now in its third edition, the City of Palm Desert’s Commercial Broker’s Report continues to serve as an essential resource for engaging the commercial real estate community. Building on the success of previous editions, the City has committed to publishing this report on a bi-annual basis.
Feedback from past reports has directly shaped several important updates, including:
A re-evaluation of the Downtown Edge Transition Overlay, enabling multi-use businesses in areas previously subject to more restrictive zoning. Updates to land use definitions, particularly to accommodate flexible auto retail and medical uses, addressing current market needs.
The introduction of The Business Bulletin, a quarterly communication tool launched in 2024 to strengthen the City’s dialogue with the business community.
Commercial brokers have responded positively to these changes. The expanded flexibility within the Downtown Edge Transition Overlay and updated land use definitions have been particularly well received, resulting in increased leasing activity across the city. Additionally, The Business Bulletin has enhanced communication and transparency, reinforcing the City’s commitment to responsive economic development.
This latest report reflects what we’ve learned from our 2024 broker discussions and includes broader economic insights gathered from a range of sources.
Participating firms included Baxley Properties, Coldwell Banker, Progressive, Desert Pacific Properties, Johnson Commercial, Lee and Associates, Smoketree Investments, The Firm, Chartwell Properties, and Wilson and Meade.
Key takeaways:
Severe Industrial inventory shortage
Demand for smaller, flexible spaces
Rising lease rates
El Paseo and Hwy 111 occupancy remain strong
369
City of Palm Desert
The 2025 Commercial Broker’s Report
City policy and initiative opportunities
Broker engagement and communication are working
Legal Review:
This report has been reviewed by the City Attorney’s Office.
FINANCIAL IMPACT:
There is no financial impact associated with this action.
ATTACHMENTS:
1. 2025 Brokers Report
370
Commercial Brokers
Report 2025
Analyzing Key Trends and
Insights From Local Brokers
Economic Development
371
Now in its third edition, the City of Palm Desert’s Commercial Brokers Report continues to serve as an essential resource for engaging the commercial real estate community. Building on the success of previous editions, the City has committed to publishing this report on a bi-annual basis.
Feedback from past reports has directly shaped several important updates, including:
A re-evaluation of the Downtown Edge Transition Overlay, enabling multi-use businesses in areas previously subject to more restrictive zoning.
Updates to land use definitions, particularly to accommodate flexible auto retail and medical uses, addressing current market needs.
The introduction of The Business Bulletin, a quarterly communication tool launched in 2024 to strengthen the City’s dialogue with the business community.
Commercial brokers have responded positively to these changes. The expanded flexibility within the Downtown Edge Transition Overlay and updated land use definitions have been particularly well received, resulting in increased leasing activity across the city. Additionally, The Business Bulletin has enhanced communication and transparency, reinforcing the City’s commitment to responsive economic development.
This latest report reflects what we’ve learned from our 2024 broker discussions and includes broader economic insights gathered from a range of sources.
Background
372
Developed through direct conversations with leading brokers across the Coachella Valley, the 2025 report captures timely insights into leasing trends, market demands, and structural challenges affecting the city's commercial landscape.
Key takeaways reflect a tight industrial market, rising lease rates, shifting space demands, and regulatory barriers affecting development. Feedback gathered in late 2024 also reinforces the value of recent City-led initiatives and highlights further opportunities for strategic adjustments to support small businesses.
Recommendations from brokers have shaped several actionable strategies aimed at aligning City policy with current market realities.
Executive Summary
Key Takeaways:
Severe Industrial inventory shortage
Demand for smaller, flexible spaces
Rising lease rates
El Paseo and Highway 111 occupancy remain strong
City policy and initiative opportunities
Broker engagement and communication are working
373
Industrial in Palm Desert
The Coachella Valley is experiencing an industrial boom, particularly along the I-10 corridor, with the development of large warehouses and logistics centers.
Industrial buildings in the area are concentrated in and around the popular resort cities of Palm Springs and Palm Desert. Tenant demand softened from mid-2022 into 2024, but several large tenant move-ins boosted net absorption into positive territory and lowered availability at the end of 2024.
Industrial Sector Performance
Industrial inventory vacancy is less than 1%.
No new industrial spaces are under development in Palm Desert due to high construction costs.
Lease rates for industrial space are comparable to office rents, averaging $1.30 per square foot.
Storage space is highly sought after, but there is limited development capacity due to space constraints.
Broker Feedback
Statistical Information
The vacancy rate as of May 2025 is 2.7%, with a total
of 52, 800 vacant square feet.
374
Retail in Palm Desert
Retail turnover remains low, with El
Paseo continuing to have steady lease
opportunities and limited availability.
There is increasing demand for smaller
locations, 2,000 to 5,000 square feet.
The City’s restrictions on drive-thrus
along Highway 111 have made it more
challenging for brokers to pursue
certain fast-food and casual dining
opportunities.
Retail space availability in the Coachella Valley has inched up recently but remains near all-time lows, trending at 7.6% as of the third quarter of 2024. Leasing has been a bit subdued recently, but demand remains strong enough to keep vacancies in the market low.
Retail Sector Performance
Broker Feedback
Statistical Information
The vacancy rate as of May 2025 is 7.2%,
with only 450,000 vacant square feet.
The market asking rent per square foot is
currently at $28.87.
The vacancy rate on El Paseo is 6%, with a
market asking rent of $36.65 per square foot.
The vacancy rate on Highway 111 is 6.6%.
375
Businesses serving local consumers, such as healthcare providers and government agencies, account for most office users. Demand for medical space has helped suppress vacancies, although net absorption in the market was negative in 2023-24. Vacancy measures 5.9% as of the first quarter of 2025, near all-time lows.
Office Sector Performance
Broker Feedback
Statistical information
Office in Palm Desert
Office rents are at an all-time high, averaging around $1.25 - $1.50 per square foot.
Smaller office spaces of 950-1,250 square feet are in high demand.
Office requests near the freeway are on the rise.
Office vacancy as of May 2025 is 9.9% overall, a total of 212,000 per square foot.
Vacancy Rate by Class
Class A 16%
Class B 8.5%
Class C 10.90% 376
Leasing rates continue to rise steadily, making it increasingly difficult for small businesses to secure space in high-demand, prime locations.
Challenges and Risks
The local commercial real estate
market continues to face a mismatch
between supply and demand. While
demand for small commercial spaces
remains high, the inventory of these
spaces is limited. At the same time,
large-format or “big box” spaces are
Low turnover in property
ownership is contributing to a
lack of redevelopment activity,
as long-term owners are less
likely to initiate significant
improvements or changes.
The City’s Façade Enhancement Program remains underutilized, primarily because improvements to older buildings often trigger costly requirements, such as ADA compliance upgrades and prevailing wage obligations, which can discourage participation. readily available, but demand for them is low. With no new development occurring—largely due to high construction costs—this imbalance is expected to persist in the near term.
377
Strategic Location Remains a Key Strength:
Palm Desert’s central location continues to be a major draw for businesses; however, the limited availability of small commercial space presents an ongoing challenge.
Addressing Rising Lease Rates and Limited Space:
Increasing lease rates, coupled with constrained inventory, may be an opportunity for the City to create additional programs to help support small businesses.
Maintain Proactive Communication with Stakeholders:
Continued outreach to tenants and brokers is essential to keep them informed about City programs, zoning regulations, and available support resources.
Streamline Façade Update Processes:
Positive feedback on improvements to discretionary processes for building façade updates suggests this effort is working well and should be expanded.
Enhance the Approval Process:
A streamlined, transparent, and business-friendly approval process will remain critical in attracting and retaining businesses in Palm Desert.
Support Development of Smaller-Scale Commercial Projects:
With increased demand for smaller commercial and retail spaces, the City should consider encouraging projects that align with market needs—such as mixed-use developments and flexible leasing formats that accommodate small businesses.
Revitalize Underutilized Areas:
Encourage new retail development in underused areas and explore adaptive reuse strategies to repurpose vacant spaces, particularly for small square footage retail units in high-demand zones.
Key Takeaways
378
1.Support Small Business Access to Space
Launch a Small Commercial Space Incentive Program
Provide financial or permitting incentives to property owners who subdivide larger vacant spaces into smaller, leasable units suitable for small businesses.
Create a Small Business Rent Support Grant
Help offset rising lease rates for qualifying small businesses, particularly in prime locations, to keep them competitive and prevent displacement.
2.Streamline and Promote Development Processes
Expand Streamlined Façade Improvement Program
Continue refining discretionary processes and provide clear, simplified guidelines for façade improvements, with focused outreach to increase participation.
Develop a Business-Friendly Development Toolkit
Provide a centralized, easy-to-navigate online resource that outlines the entire approval process, available programs, and support services for prospective tenants and developers.
3.Revitalize and Repurpose Underutilized Areas
Implement Adaptive Reuse Incentives
Offer financial or zoning incentives for the conversion of vacant big-box or underutilized buildings into multi-tenant spaces or small business hubs.
Target Redevelopment Zones
Identify key corridors or districts for revitalization efforts and partner with developers to create smaller-scale, flexible retail and office projects.
4.Strengthen Communication and Stakeholder Engagement
Enhance Broker and Tenant Outreach
Continue regular outreach through The Business Bulletin, stakeholder roundtables, and targeted briefings to ensure businesses and brokers stay informed.
Establish a Commercial Real Estate Advisory Group
Form a working group of local brokers, property owners, and business owners to provide real-time feedback and collaborate on solutions.
Forward-Looking Strategies
379
Thank you to the following
Commercial Brokers Engaged:
Baxley Properties: Matthew Longstreth
Coldwell Banker: Steve Lyle & Curtis Barlow
Progressive: Heather Sharpe
Desert Pacific Properties: Susan & Emily Harvey
Johnson Commercial: Matt Johnson
Lee & Associates: Shawna Strange & Maggie Montes
Smoketree Investments: Josef Jonathan
The Firm: Adam Gilbert
Chartwell Properties: Amy Smith, Bob Baker, Cheryl Beckel and Ed Levey Wilson and Meade: Noel Ramos & Matt Rifkin
380
CITY OF PALM DESERT
STAFF REPORT
MEETING DATE: May 22, 2025
PREPARED BY: Thomas Soule, Public Affairs Manager
SUBJECT: AUTHORIZE AN AMENDMENT TO INCREASE THE CITY’S CONTRACT
WITH FG CREATIVE FOR EL PASEO PARKING & BUSINESS
IMPROVEMENT DISTRICT (EPPBID) MARKETING SERVICES BY
$50,000, FOR A TOTAL OF $325,000 FOR FISCAL YEAR 2024-25.
RECOMMENDATION:
1. Authorize Amendment No. 5 to El Paseo Parking and Business Improvement District (EPPBID) Contract No. C43370 with FG Creative to increase compensation by $50,000, for a total contract amount not to exceed $325,000 for Fiscal Year 2024-25.
2. Authorize the City Manager to execute the Amendment.
BACKGROUND/ANALYSIS:
FG Creative was retained through a competitive process to provide marketing services for the EPPBID under a three-year contract that began July 1, 2022 with two one-year options to extend.
Each year, the contract amount is amended to reflect updated budget authorizations. The original Fiscal Year (FY) 2024-25 contract total of $275,000 was approved by the City Council on June 27, 2024. On January 16, 2025, the EPPBID Board approved a mid-year budget increase of $50,000 based on actual revenues that surpassed budget assumptions. This adjustment was subsequently adopted by the City Council as part of the FY 2024-25 Mid-Year Budget Review.
This amendment will increase the total contract amount to $325,000 for the current fiscal year.
The table below lists each amendment for this contract:
Original Contract C43370 Original RFP for Marketing Services FY 2022-23
$250,000
Amendment No. 1 Mid-year Budget Adjustment
FY 2022-23 (+$40,000)
$290,000
Amendment No. 2 Reset base compensation for
FY 2023-24
$250,000
Amendment No. 3 Mid-year Budget Adjustment
FY 2023-24 (+$15,000)
$265,000
Amendment No. 4 Reset base compensation for
FY 2024-25
$275,000
Amendment No. 5 Mid-year Budget Adjustment
FY 2024-25 (+50,000)
$325,000
381
City of Palm Desert
Authorize Amendment to Contract No. C43370
Legal Review:
This report has been reviewed by the City Attorney’s Office.
Appointed Body Recommendation:
The EPPBID Board of Directors approved the mid-year budget increase at its meeting on January 16, 2025.
FINANCIAL IMPACT:
Funds are available in the EPPBID Fiscal Year 2024-25 budget. The EPPBID funds are generated by fees the members, held by the City and used for the EPPBID. This action has no financial impact on the General Fund, as it is fully funded by assessments paid directly by businesses within the EPPBID.
ATTACHMENTS:
1. Contract No. C43370
2. Amendment No. 1 to Contract No. C43370
3. Amendment No. 2 to Contract No. C43370
4. Amendment No. 3 to Contract No. C43370
5. Amendment No. 4 to Contract No. C43370
6. Draft Amendment No. 5 to Contract No. C43370
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383
384
385
386
387
388
389
390
391
392
393
394
395
396
397
398
399
400
401
402
403
404
405
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Contract No. C43370
CITY OF PALM DESERT
AMENDMENT NO. 1 TO PROFESSIONAL CONSULTANT SERVICES AGREEMENT TO MARKETING SERVICES CONTRACT No. C43370
This AMENDMENT (“Amendment”) to the FG Creative Professional Consultant Services Agreement for Marketing Services No. C43370 is made as of May 11, 2023 (“Effective Date”) by and between the CITY OF PALM DESERT, a municipal corporation organized under the laws of the State of California, having a principal place of business at 73-510 Fred Waring Drive, Palm Desert, California, (the "Authority") and FG Creative, Inc., a California Corporation with its principal place of business at 19725 Driscoll Road, Desert Hot Springs, CA 92241 ("Consultant"). City and Consultant are sometimes individually referred to herein as "Party" and collectively as "Parties.”
RECITALS
A. The City of Palm Desert is a municipal corporation organized under the laws of the State of California.
B. The Consultant is engaged in the business of providing professional marketing consulting services to public clients and has represented to the City that the Contractor is experienced and competent in said business.
C. The City and Consultant desire to enter into this Amendment to the Agreement.
D. The Parties entered into that certain Professional Consultant Services Agreement for Marketing Services Contract No. C43370, by and between the City of Palm Desert and FG Creative, Inc., dated June 23, 2022 (“Contract”), which was effective on July 1, 2022.
NOW, THEREFORE, the Parties agree to amend the Contract as follows:
Section 3.6.A Compensation shall be amended to read: “Consultant shall receive compensation, including authorized reimbursements, for all Services rendered under this Agreement at the rates set forth in Exhibit "C" attached hereto and incorporated herein by reference. The total compensation shall not exceed Two Hundred Ninety Thousand Dollars ($290,000.00) without written approval of the City Council or City Manager, as applicable.”
All other terms of the Contract to remain unchanged and in full force and effect.
DocuSign Envelope ID: 4837D720-67C4-41A7-9AA7-D8052DBD4A19 409
Contract No. C43370
IN WITNESS THEREOF, the Parties have executed this Amendment on the date first above written.
CITY OF PALM DESERT FG CREATIVE, INC.
By: ____________________________ By: __________________________ L. Todd Hileman Stephanie Greene
City Manager Principal
Attest:
Anthony J. Mejia
City Clerk
Approved as to Form:
______________________________
Best, Best, & Krieger LLP
City Attorney
QC: MN
INSURANCE:
INITIAL REVIEW
FINAL REVIEW
DocuSign Envelope ID: 4837D720-67C4-41A7-9AA7-D8052DBD4A19 410
Contract No. C43370
7. EXHIBIT “C”
7.1 COMPENSATION
The CITY's budget for advertising and publicizing the EPPBID's facilities, services and events is established as part of the CITY's fiscal year budget for the period of July 1, 2022 - June 30, 2023, at $290,000. The CITY reserves the right, at any time during the term or any extension thereof, to adjust the amount budgeted for advertising and promotion services. Prior to performing any services or furnishing any material contemplated by this Contract to be undertaken and furnished by FG CREATIVE, the CITY or its designee, after conferring with FG CREATIVE, shall authorize the services rendered and materials to be furnished, the agreed compensation to be paid for their services, the manner of payment (lump sum or periodic progress payments), the description and estimate of reimbursable expense, and such other matters as may be deemed proper. Subject to the limitations and provisions set forth in this section, the CITY shall compensate and reimburse FG CREATIVE as follows:
The CITY will pay FG CREATIVE a flat fee of $3,500 per month to cover advertising services in accordance with the proposal presented by FG CREATIVE as attached in the Addendum to the EPPBID and/or any marketing mutually agreed to by the parties hereto.
The fee covers not less than 40 hours per month; such services include, but are not limited to, meetings, account planning and service, production management, media planning and buying, and clerical.
FG CREATIVE will purchase media at the lowest rate available. All billings will be submitted at net costs for payment by the CITY. FG CREATIVE will not markup billings or receive commissions.
FG CREATIVE shall bill the CITY monthly for the previous month's activities. Each invoice shall contain, in reasonable detail, the projects and services worked on and rendered with supporting documentation of reimbursable costs and expenses. Payment and reimbursements provided for in this in Section 4 will be made in due course by the City of Palm Desert.
FG CREATIVE shall keep full and accurate books of account and records and other pertinent data in accordance with generally accepted accounting principles reflecting all transactions contemplated by this Contract.
7.2 RENEWAL
In the event that this Agreement is renewed pursuant to the Section titled "Term," the rates set forth above may be increased or reduced each year at the time of renewal, but any increase shall not exceed the Consumer Price Index, All Urban Consumers, Riverside-San Bernardino-Ontario, CA DocuSign Envelope ID: 4837D720-67C4-41A7-9AA7-D8052DBD4A19 411
412
Contract No. C43370
BBK 72500.00001\32445060.1
AMENDMENT NO. 2 TO THE PROFESSIONAL CONSULTANT SERVICES
AGREEMENT FOR MARKETING SERVICES
BETWEEN THE CITY OF PALM DESERT AND FG CREATIVE
1. Parties and Date.
This Amendment No 2 to the PROFESSIONAL CONSULTANT SERVICES AGREEMENT FOR MARKETING SERVICES is made and entered into as of this 24th day of August 2023, by and between the City of Palm Desert (“City”) and FG Creative, a Corporation, with its principal place of business at 19725 Driscoll Road, Desert Hot Springs, CA 92241 ("Vendor"). The City and Vendor are sometimes individually referred to herein as "Party" and collectively as "Parties."
2. Recitals.
2.1 Agreement. The City and FG Creative have entered into an agreement entitled “Professional Consultant Services Agreement for Marketing Services” dated June 23, 2022 (“Agreement” or “Contract”) for the purpose of retaining the services of FG Creative to provide Marketing Services.
2.2 Amendment. The City and FG Creative entered into that Amendment No. 1 to increase compensation during the period of July 1, 2022 through June 30, 2023.
2.3 Amendment. The City and FG Creative desire to amend the Agreement to establish compensation for the second year of the contract. The Parties have heretofore entered into that Amendment No. 1 dated May 11, 2023.
2.4 Amendment Authority. This Amendment No. 2 is authorized pursuant to Section
3.9 (N) Amendment; Modification of the Agreement.
3. Terms.
3.1 3.6.A Compensation is hereby amended in its entirety to read as follows:
Consultant shall receive compensation, including authorized reimbursements, for all Services rendered under this Agreement at the rates set forth in Exhibit "C" attached hereto and incorporated herein by reference. The total compensation shall not exceed Two Hundred Fifty Thousand Dollars ($250,000) without the written approval of the City Council or City Manager, as applicable.
3.2 “Exhibit C” is hereby deleted in its entirety and replaced with “Exhibit C” attached hereto and incorporated herein by reference.
3.3 Continuing Effect of Agreement. Except as amended by this Amendment No. 2, all other provisions of the Agreement remain in full force and effect and shall govern the actions of the parties under this Amendment No. 2. From and after the date of this Amendment No. 2, whenever the term “Agreement” or “Contract” appears in the Agreement, it shall mean the Agreement as amended by this Amendment No. 2.
3.4 Adequate Consideration. The Parties hereto irrevocably stipulate and agree that DocuSign Envelope ID: 4A3B2A92-D07C-410F-B5B8-C21A1996D9B0 413
Contract No. C43370
BBK 72500.00001\32445060.1
they have each received adequate and independent consideration for the performance of the obligations they have undertaken pursuant to this Amendment No. 2.
3.5 Severability. If any portion of this Amendment No. 2 is declared invalid, illegal, or otherwise unenforceable by a court of competent jurisdiction, the remaining provisions shall continue in full force and effect.
3.6 Counterparts. This Amendment No. 2 may be executed in duplicate originals, each of which is deemed to be an original, but when taken together, shall constitute but one and the same instrument.
[SIGNATURES ON FOLLOWING PAGE]
DocuSign Envelope ID: 4A3B2A92-D07C-410F-B5B8-C21A1996D9B0 414
Contract No. C43370
BBK 72500.00001\32445060.1
SIGNATURE PAGE FOR AMENDMENT NO. 2 TO THE PROFESSIONAL CONSULTANT
SERVICES AGREEMENT FOR MARKETING SERVICES BETWEEN THE CITY OF
PALM DESERT AND FG CREATIVE
IN WITNESS WHEREOF, the Parties have entered into this Amendment No. 2 to the Professional Consultant Services Agreement for Marketing Services as of the day and year first above written.
CITY OF PALM DESERT
By:
L. Todd Hileman
City Manager
Attest:
By:
Anthony J. Mejia
City Clerk
Approved as to form:
By:
Best Best & Krieger LLP
City Attorney
FG CREATIVE, A CORPORATION
By:
Its: CEO
Printed Name: Stephanie Greene
By:
Its: CFO
Printed Name: Stephanie Greene
QC: MN
Insurance:
_____
Initial Review
_____
Final Approval
DocuSign Envelope ID: 4A3B2A92-D07C-410F-B5B8-C21A1996D9B0 415
Contract No. C43370
BBK 72500.00001\32445060.1
7. EXHIBIT “C”
7.1 COMPENSATION
The CITY's budget for advertising and publicizing the EPPBID's facilities, services, and events is established as part of the CITY's fiscal year budget for the period of July 1, 2023 - June 30, 2024, at $250,000. The CITY reserves the right, at any time during the term or any extension thereof, to adjust the amount budgeted for advertising and promotion services. Prior to performing any services or furnishing any material contemplated by this Contract to be undertaken and furnished by FG CREATIVE, the CITY or its designee, after conferring with FG CREATIVE, shall authorize the services rendered and materials to be furnished, the agreed compensation to be paid for their services, the manner of payment (lump sum or periodic progress payments), the description and estimate of reimbursable expense, and such other matters as may be deemed proper. Subject to the limitations and provisions set forth in this section, the CITY shall compensate and reimburse FG CREATIVE as follows:
The CITY will pay FG CREATIVE a flat fee of $3,250 per month to cover advertising services in accordance with the proposal presented by FG CREATIVE as attached in the Addendum to the EPPBID and/or any marketing mutually agreed to by the parties hereto. The fee covers not less than 40 hours per month; such services include, but are not limited to, meetings, account planning and service, production management, media planning and buying, and clerical.
FG CREATIVE will purchase media at the lowest rate available. All billings will be submitted at net costs for payment by the CITY. FG CREATIVE will not markup billings or receive commissions.
FG CREATIVE shall bill the CITY monthly for the previous month's activities. Each invoice shall contain, in reasonable detail, the projects and services worked on and rendered with supporting documentation of reimbursable costs and expenses. Payment and reimbursements provided for in this in Section 4 will be made in due course by the City of Palm Desert.
FG CREATIVE shall keep full and accurate books of account and records and other pertinent data in accordance with generally accepted accounting principles reflecting all transactions contemplated by this Contract.
7.2 RENEWAL
In the event that this Agreement is renewed pursuant to the Section titled "Term," the rates set forth above may be increased or reduced each year at the time of renewal, but any increase shall not exceed the Consumer Price Index, All Urban Consumers, Riverside-San BernardinoOntario, CA.
DocuSign Envelope ID: 4A3B2A92-D07C-410F-B5B8-C21A1996D9B0 416
AMENDMENT NO. 3 TO THE PROFESSIONAL CONSULTANT SERVICES AGREEMENT, C43370 FOR MARKETING SERVICES BETWEEN THE CITY OF PALM
DESERT AND FG CREATIVE
1. Parties and Date.
This Amendment No. 3 to the made and entered into as of this 11th day of March 2024, by and between the City of Palm Desert (“City”) and FG CREATIVE, a Corporation, with its principal place of business at 19725 Driscoll Road, Desert Hot Springs, CA 92241 ("Vendor").
The City and Vendor are sometimes individually referred to herein as "Party" and collectively as "Parties."
2. Recitals.
2.1 Agreement. The City and FG Creative have entered into an agreement entitled “Professional Consultant Services Agreement for Marketing Services” dated June 23, 2022 (“Agreement” or “Contract”) for the purpose of retaining the services of FG Creative to provide Marketing Services.
2.2 Amendment. The City and FG Creative entered into that Amendment No. 1 to increase compensation during the period of July 1, 2022 through June 30, 2023. The Parties have heretofore entered into Amendment No. 1 dated May 11, 2023
2.3 Amendment. The City and FG Creative entered into Amendment 2. to establish compensation for the second year of the contract, July 1, 2023 through June 30, 2024. The Parties have heretofore entered into Amendment No. 2 dated August 24, 2023.
2.4 Amendment. The City and FG Creative desire to amend the Agreement to increase compensation for second year of contract, July 1, 2023 through June 30, 2024.
2.5 Amendment Authority. This Amendment No. 3 is authorized pursuant to Section
3.9(N) Amendment; Modification of the Agreement.
3. Terms.
3.1 Section 3.6.A Compensation. Section 3.6.A of the Agreement is hereby amended in its entirety to read as follows:
"NOW, THEREFORE, the Parties agree to amend the
Contract as follows:"
Section 3.6.A Compensation shall be amended to read: “Consultant shall receive compensation, including authorized reimbursements, for all Services rendered under this Agreement at the rates set forth in Exhibit "C" attached hereto and incorporated herein by reference. The total compensation shall not exceed Two Hundred Sixty-Five Thousand Dollars ($265,000.00) without written approval of the City Council or City Manager, as applicable.”
3.2 “Exhibit C” is hereby deleted in its entirety and replaced with “Exhibit C” attached hereto and incorporated herein by reference.
DocuSign Envelope ID: B7C8175C-659E-4E5D-A62D-E060796EBBF1 417
Contract No. C43370
Revised 08-2023
BBK 72500.00001\32445060.1
3.3 Continuing Effect of Agreement. Except as amended by this Amendment No. 3, all other provisions of the Agreement remain in full force and effect and shall govern the actions of the parties under this Amendment No. 3. From and after the date of this Amendment No. 3, whenever the term “Agreement” or “Contract” appears in the Agreement, it shall mean the Agreement as amended by this Amendment No. 3.
3.4 Adequate Consideration. The Parties hereto irrevocably stipulate and agree that they have each received adequate and independent consideration for the performance of the obligations they have undertaken pursuant to this Amendment No. 3.
3.5 Severability. If any portion of this Amendment No. 3 is declared invalid, illegal, or otherwise unenforceable by a court of competent jurisdiction, the remaining provisions shall continue in full force and effect.
3.6 Counterparts. This Amendment No. 3 may be executed in duplicate originals, each of which is deemed to be an original, but when taken together shall constitute but one and the same instrument.
[SIGNATURES ON FOLLOWING PAGE]
DocuSign Envelope ID: B7C8175C-659E-4E5D-A62D-E060796EBBF1 418
Contract No. C43370
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SIGNATURE PAGE FOR AMENDMENT NO. 3 TO THE PROFESSIONAL CONSULTANT
SERVICES AGREEMENT FOR MARKETING SERVICES BETWEEN THE CITY OF
PALM DESERT AND FG CREATIVE
IN WITNESS WHEREOF, the Parties have entered into this Amendment No. 3 to the Professional Consultant Services Agreement for Marketing Services as of the day and year first above written.
CITY OF PALM DESERT
By:
L. Todd Hileman
City Manager
Attest:
By:
Anthony J. Mejia
City Clerk
Approved as to form:
By:
Isra Shah
Best Best & Krieger LLP
City Attorney
FG CREATIVE, a Corporation
By:
Stephanie Greene
CEO
By:
Stephanie Greene
CFO
QC: MN
Insurance:
_____
Initial Review
_____
Final Approval
DocuSign Envelope ID: B7C8175C-659E-4E5D-A62D-E060796EBBF1 419
420
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AMENDMENT NO. 4 TO THE PROFESSIONAL CONSULTANT SERVICES AGREEMENT, C43370 FOR MARKETING SERVICES BETWEEN THE CITY OF PALM DESERT AND FG
CREATIVE
1. Parties and Date.
This Amendment No. 4 to the made and entered into as of this 11th day of July 2024, by and between the City of Palm Desert (“City”) and FG CREATIVE, a Corporation, with its principal place of business at 19725 Driscoll Road, Desert Hot Springs, CA 92241 ("Vendor"). The City and Vendor are sometimes individually referred to herein as "Party" and collectively as "Parties."
2. Recitals.
2.1 Agreement. The City and FG Creative have entered into an agreement entitled “Professional Consultant Services Agreement for Marketing Services” dated June 23, 2022 (“Agreement” or “Contract”) for the purpose of retaining the services of FG Creative to provide Marketing Services.
2.2 Amendment. The City and FG Creative entered into Amendment No. 1 to increase compensation during the period of July 1, 2022 through June 30, 2023. The Parties have heretofore entered into Amendment No. 1 dated May 11, 2023
2.3 Amendment. The City and FG Creative entered into Amendment No. 2 to establish compensation for the second year of the contract, July 1, 2023 through June 30, 2024. The Parties have heretofore entered into Amendment No. 2 dated August 24, 2023.
2.4 Amendment. The City and FG Creative entered into Amendment No. 3 to increase compensation for the period of, July 1, 2023 through June 30, 2024. The Parties have heretofore entered into Amendment No. 3 dated March 11, 2024.
2.5 Amendment. The City and FG Creative desire to amend the Agreement to establish compensation for the third year of the contract, July 1, 2024 through June 30, 2025.
2.6 Amendment Authority. This Amendment No. 4 is authorized pursuant to Section
3.9 (N) Amendment; Modification of the Agreement.
3. Terms.
3.1 3.6.A Compensation is hereby amended in its entirety to read as follows:
Consultant shall receive compensation, including authorized reimbursements, for all Services rendered under this Agreement at the rates set forth in Exhibit "C" attached hereto and incorporated herein by reference. The total compensation shall not exceed Two Hundred Seventy Five Thousand Dollars ($275,000) without the written approval of the City Council or City Manager, as applicable.
3.2 Exhibit C” is hereby deleted in its entirety and replaced with “Exhibit C” attached hereto and incorporated herein by reference.
3.3 Continuing Effect of Agreement. Except as amended by this Amendment No. 4, all other provisions of the Agreement remain in full force and effect and shall govern the actions of the parties under this Amendment No. 4. From and after the date of this Amendment No. 4, Docusign Envelope ID: 9DE70A65-094D-48C6-B43A-6AA9C99003D2 421
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whenever the term “Agreement” or “Contract” appears in the Agreement, it shall mean the Agreement as amended by this Amendment No. 4.
3.4 Adequate Consideration. The Parties hereto irrevocably stipulate and agree that they have each received adequate and independent consideration for the performance of the obligations they have undertaken pursuant to this Amendment No. 4.
3.5 Severability. If any portion of this Amendment No. 4 is declared invalid, illegal, or otherwise unenforceable by a court of competent jurisdiction, the remaining provisions shall continue in full force and effect.
3.6 Counterparts. This Amendment No. 4 may be executed in duplicate originals, each of which is deemed to be an original, but when taken together shall constitute but one and the same instrument.
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Contract No. C43370
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BBK 72500.00001\32445060.1
QC: MN
Insurance:
_____
Initial Review
_____
Final Approval
SIGNATURE PAGE FOR AMENDMENT NO. 4 TO THE PROFESSIONAL CONSULTANT
SERVICES AGREEMENT FOR MARKETING SERVICES BETWEEN THE CITY OF
PALM DESERT AND FG CREATIVE
IN WITNESS WHEREOF, the Parties have entered into this Amendment No. 4 to the Professional Consultant Services Agreement for Marketing Services as of the day and year first above written.
CITY OF PALM DESERT
By:
L. Todd Hileman
City Manager
Attest:
By:
Anthony J. Mejia
City Clerk
Approved as to form:
By:
Isra Shah
Best Best & Krieger LLP
City Attorney
FG CREATIVE, a Corporation
By:
Stephanie Greene
CEO and CFO
Docusign Envelope ID: 9DE70A65-094D-48C6-B43A-6AA9C99003D2 423
Contract No. C43370
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7. EXHIBIT “C”
7.1 COMPENSATION
The CITY's budget for advertising and publicizing the EPPBID's facilities, services, and events is established as part of the CITY's fiscal year budget for the period of July 1, 2024 - June 30, 2025, at $275,000. The CITY reserves the right, at any time during the term or any extension thereof, to adjust the amount budgeted for advertising and promotion services. Prior to performing any services or furnishing any material contemplated by this Contract to be undertaken and furnished by FG CREATIVE, the CITY or its designee, after conferring with FG CREATIVE, shall authorize the services rendered and materials to be furnished, the agreed compensation to be paid for their services, the manner of payment (lump sum or periodic progress payments), the description and estimate of reimbursable expense, and such other matters as may be deemed proper. Subject to the limitations and provisions set forth in this section, the CITY shall compensate and reimburse FG CREATIVE as follows:
The CITY will pay FG CREATIVE a flat fee of $3,350 per month to cover advertising services in accordance with the proposal presented by FG CREATIVE as attached in the Addendum to the EPPBID and/or any marketing mutually agreed to by the parties hereto. The fee covers not less than 40 hours per month; such services include, but are not limited to, meetings, account planning and service, production management, media planning and buying, and clerical.
FG CREATIVE will purchase media at the lowest rate available. All billings will be submitted at net costs for payment by the CITY. FG CREATIVE will not markup billings or receive commissions.
FG CREATIVE shall bill the CITY monthly for the previous month's activities. Each invoice shall contain, in reasonable detail, the projects and services worked on and rendered with supporting documentation of reimbursable costs and expenses. Payment and reimbursements provided for in this in Section 4 will be made in due course by the City of Palm Desert.
FG CREATIVE shall keep full and accurate books of account and records and other pertinent data in accordance with generally accepted accounting principles reflecting all transactions contemplated by this Contract.
Fees $ 44,250
Branding $ 43,500
Advertising $ 104,400
Merchant Support $ 40,050
Community
Partnerships $ 3,800
Activations/Events $ 39,000
$ 275,000
7.2 RENEWAL
In the event that this Agreement is renewed pursuant to the Section titled "Term," the rates set forth above may be increased or reduced each year at the time of renewal, but any increase shall not exceed the Consumer Price Index, All Urban Consumers, Riverside-San Bernardino Ontario, CA.
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AMENDMENT NO. 5 TO THE PROFESSIONAL CONSULTANT SERVICES AGREEMENT, C43370 FOR MARKETING SERVICES BETWEEN THE CITY OF PALM DESERT AND FG
CREATIVE
1. Parties and Date.
This Amendment No. 5 to the made and entered into as of this 11th day of March 2025, by and between the City of Palm Desert (“City”) and FG CREATIVE, a Corporation, with its principal place of business at 19725 Driscoll Road, Desert Hot Springs, CA 92241 ("Vendor").
The City and Vendor are sometimes individually referred to herein as "Party" and collectively as "Parties."
2. Recitals.
2.1 Agreement. The City and FG Creative have entered into an agreement entitled “Professional Consultant Services Agreement for Marketing Services” dated June 23, 2022 (“Agreement” or “Contract”) for the purpose of retaining the services of FG Creative to provide Marketing Services.
2.2 Amendment. The City and FG Creative entered into Amendment No. 1 to increase compensation during the period of July 1, 2022 through June 30, 2023. The Parties have heretofore entered into Amendment No. 1 dated May 11, 2023.
2.3 Amendment. The City and FG Creative entered into Amendment No. 2 to establish compensation for the second year of the contract, July 1, 2023 through June 30, 2024. The Parties have heretofore entered into Amendment No. 2 dated August 24, 2023.
2.4 Amendment. The City and FG Creative entered into Amendment No. 3 to increase compensation for the period of, July 1, 2023 through June 30, 2024. The Parties have heretofore entered into Amendment No. 3 dated March 11, 2024.
2.5 Amendment. The City and FG Creative entered into Amendment No. 4 to establish compensation for the third year of the contract, July 1, 2024 through June 30, 2025.
2.6 Amendment. The City and FG Creative wish to amend the Agreement to increase the total compensation in recognition of expanded services to be provided during the remainder of the Agreement’s third term, covering the period from July 1, 2024, through June 30, 2025.
2.7 Amendment Authority. This Amendment No. 5 is authorized pursuant to Section
3.9 (N) Amendment; Modification of the Agreement.
3. Terms.
3.1 3.6.A Compensation is hereby amended in its entirety to read as follows:
Consultant shall receive compensation, including authorized reimbursements, for all Services rendered under this Agreement at the rates set forth in Exhibit "C" attached hereto and incorporated herein by reference. The total compensation shall not exceed Three Hundred Twenty-Five Thousand Dollars and no cents ($325,000) for fiscal year 2024-25 without the written approval of the City Council or City Manager, as applicable.
3.2 Exhibit C” is hereby deleted in its entirety and replaced with “Exhibit C” attached hereto and incorporated herein by reference.
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3.3 Continuing Effect of Agreement. Except as amended by this Amendment No. 5, all other provisions of the Agreement remain in full force and effect and shall govern the actions of the parties under this Amendment No. 5. From and after the date of this Amendment No. 5, whenever the term “Agreement” or “Contract” appears in the Agreement, it shall mean the Agreement as amended by this Amendment No. 5.
3.4 Adequate Consideration. The Parties hereto irrevocably stipulate and agree that they have each received adequate and independent consideration for the performance of the obligations they have undertaken pursuant to this Amendment No. 5.
3.5 Severability. If any portion of this Amendment No. 5 is declared invalid, illegal, or otherwise unenforceable by a court of competent jurisdiction, the remaining provisions shall continue in full force and effect.
3.6 Counterparts. This Amendment No. 5 may be executed in duplicate originals, each of which is deemed to be an original, but when taken together shall constitute but one and the same instrument.
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SIGNATURE PAGE FOR AMENDMENT NO. 5 TO HE PROFESSIONAL CONSULTANT
SERVICES AGREEMENT FOR MARKETING SERVICES BETWEEN THE CITY OF
PALM DESERT AND FG CREATIVE
IN WITNESS WHEREOF, the Parties have entered into this Amendment No. 5 to the Professional Consultant Services Agreement for Marketing Services as of the day and year first above written.
CITY OF PALM DESERT
By:
Chris Escobedo
Interim City Manager
Attest:
By:
Anthony J. Mejia
City Clerk
Approved as to form:
By:
Isra Shah
Best Best & Krieger LLP
City Attorney
FG CREATIVE, A LIMITED LIABILITY
COMPANY
By:
Stephanie Greene
CEO and CFO
City Clerk QC: _____
Contract QC: _____
Insurance:
_____
Initial Review
_____
Final Approval
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7. EXHIBIT “C”
7.1 COMPENSATION
The CITY's budget for advertising and publicizing the EPPBID's facilities, services, and events is established as part of the CITY's fiscal year budget for the period of July 1, 2024 - June 30, 2025, at $325,000. The CITY reserves the right, at any time during the term or any extension thereof, to adjust the amount budgeted for advertising and promotion services. Prior to performing any services or furnishing any material contemplated by this Contract to be undertaken and furnished by FG CREATIVE, the CITY or its designee, after conferring with FG CREATIVE, shall authorize the services rendered and materials to be furnished, the agreed compensation to be paid for their services, the manner of payment (lump sum or periodic progress payments), the description and estimate of reimbursable expense, and such other matters as may be deemed proper. Subject to the limitations and provisions set forth in this section, the CITY shall compensate and reimburse FG CREATIVE as follows:
The CITY will pay FG CREATIVE a flat fee of $3,350 per month to cover advertising services in accordance with the proposal presented by FG CREATIVE as attached in the Addendum to the EPPBID and/or any marketing mutually agreed to by the parties hereto. The fee covers not less than 40 hours per month; such services include, but are not limited to, meetings, account planning and service, production management, media planning and buying, and clerical.
FG CREATIVE will purchase media at the lowest rate available. All billings will be submitted at net costs for payment by the CITY. FG CREATIVE will not markup billings or receive commissions.
FG CREATIVE shall bill the CITY monthly for the previous month's activities. Each invoice shall contain, in reasonable detail, the projects and services worked on and rendered with supporting documentation of reimbursable costs and expenses. Payment and reimbursements provided for in this in Section 4 will be made in due course by the City of Palm Desert.
FG CREATIVE shall keep full and accurate books of account and records and other pertinent data in accordance with generally accepted accounting principles reflecting all transactions contemplated by this Contract.
Item Amount
Palm Springs Life Print Ads $ 8,790
Advertising Support for Art Walk $ 10,300
Desert Plein Air Festival Sponsorship $ 5,000
Thermal Indy Car Event Program Ad $ 3,000
Desert X Program Ad $ 3,500
Bandwango Program Activation $ 15,000
Contingency Budget $ 4,410
Total $ 50,000
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7.2 RENEWAL
In the event that this Agreement is renewed pursuant to the Section titled "Term," the rates set forth above may be increased or reduced each year at the time of renewal, but any increase shall not exceed the Consumer Price Index, All Urban Consumers, Riverside-San Bernardino Ontario, CA.
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CITY OF PALM DESERT
STAFF REPORT
MEETING DATE: May 22, 2025
PREPARED BY: Martin Alvarez, Director of Economic Development SUBJECT: AWARD CONTRACT NO. C44200D TO AMERICAN LANDSCAPE, INC.,
OF CANOGA PARK, CALIFORNIA, FOR THE MOUNTAIN VIEW GOLF
COURSE TURF REDUCTION PROJECT (PROJECT NO. MLS00005)
RECOMMENDATION:
1. Award Contract No. C44200D to American Landscape, Inc., of Canoga Park, California, for the Mountain View Golf Course Turf Reduction Project at Desert Willow Golf Resort (DWGR) in the amount of $1,766,084.80.
2. Authorize the Finance Department to set aside 10% contingency in the amount of $176,600 for unforeseen circumstances.
3. Appropriate $1,942,685 from the unobligated Golf Course Capital Fund Balance to Account No. 4414195-4809200, DWGR Capital.
4. Authorize the City Attorney to make any necessary non-monetary changes to the agreement.
5. Authorize the City Manager to execute the agreement, approve written contract change order requests up to the contingency amount, and any documents necessary to effectuate the actions taken herewith.
6. Authorize the City Manager to execute the Notice of Completion (NOC) and authorize the City Clerk to file the NOC upon satisfactory completion of the project.
BACKGROUND:
The City-owned Desert Willow Golf Resort consists of two 18-hole golf courses. The Firecliff and Mountain View courses were opened in 1996 and 1998, respectively. The golf resort was developed with a vision to provide amenities to both Palm Desert residents and visitors and as an economic development tool to attract new timeshare units, retail, and hotel development.
The design intent of the Firecliff Course was to provide a championship-style course that would challenge the highly skilled and potentially be used as part of a professional golf tournament.
The design intent of the Mountain View Course was to provide a challenge to avid golfers while providing playability for the average player.
Over the years of heavy golf utilization on both courses averaging 80,000 rounds per year, the golf courses have experienced wear and tear. In 2009, the City entered a professional services contract with Hurdzan Golf (original golf course architect) to develop a long-term capital improvement master plan. Hurdzan evaluated the condition of both courses including their playability in relation to the original design intent. During their site visits and golf course 431
City of Palm Desert
Award Contract for Desert Willow Mountainview Golf Course Turf Removal Project
evaluations, the architect determined that over the years, both golf course greens have become smaller in size; the aggressive growth of the Bermuda grass has encroached onto the greens, the tee boxes have endured significant wear and tear, and bunkers required work to bring playability back to the original design. Based on the architect’s prioritization of work, the Mountain View Golf Course greens and bunkers were renovated in 2010.
The renovation of the Firecliff Course bunkers was completed in 2016, which included removal/consolidation of bunkers, grading/drainage improvements, and new bunker sand installation. The bunker renovation project ultimately removed approximately two acres of bunkers to improve playability and pace of play. The bunker renovation project is the only major renovation completed at the Firecliff Course since the course opened in 1997. The renovation to the Firecliff greens and tee boxes were placed on hold due to budget constraints.
In addition to renovations necessary to improve the playability of the course, in 2019 the City approved the DSRT Surf Specific Plan, located on Lot Pad B and adjacent to the golf courses.
The Specific Plan includes a 6-acre surf lagoon, surf center building, hotel, villas, clubhouse, and recreational and maintenance facilities. To reduce water demand associated with the Specific Plan, the developer is required to implement a Turf Reduction Program, which includes the removal of over one million square feet of turf (22+ acres) within the Desert Willow Golf Courses and replacing it with drought-tolerant plant materials and water efficient irrigation systems.
Based on original recommendations of the golf course architect and the master improvement plan, the Firecliff Course was prioritized to be renovated. In the summer of 2022, staff conducted a competitive consultant selection process, and the City Council awarded contracts to Hurdzan Golf, the original golf course architect and Hermann Design Group for golf course renovation design and construction support services. Given the complexity of the golf course renovations and the specialty type of construction work, staff initiated a contractor pre-qualification process in 2023. At the conclusion of the pre-qualification process, staff, the design consultants, and the construction management team reviewed and approved two contractors to be eligible to bid on the Firecliff Renovation Project:
American Landscape – Canoga Park, CA
Wadsworth Golf Construction – Plainfield, IL
At the conclusion of the formal bid process, staff only received one bid from American Landscape. Wadsworth indicated that they had several other projects scheduled and were not able to provide a bid. In December of 2023, the City Council awarded a contract to American Landscape. At the conclusion of the Firecliff Renovation Project, the total project cost was $5,301,756.75 and DSRT Surf reimbursed the City $319,121.50 for their portion of the turf reduction work.
The Firecliff Renovation Project was completed by American Landscape in the summer of 2024.
The project included a renovation of all the greens, the practice green, re-leveling all tee boxes, relocating Hole 10, and 11-acres of turf reduction.
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Mountain View Golf Course Turf Reduction Project:
According to the approved DSRT Surf conditions of approval and mitigation measures, the developer must reimburse the City for a portion of the turf removal costs on both golf courses before the Certificate of Occupancy can be issued for the DSRT Surf lagoon and surf center building. The lagoon and surf center are expected to be completed by mid-spring 2026.
To align with DSRT Surf’s targeted opening in spring 2026 and to minimize disruption to the golf course during peak season, completing the project in summer 2025 is ideal. If the project is not completed in summer 2025, the City will need to work with DSRT Surf to amend the development agreement to ensure they can still open as scheduled without completion of the turf reduction project.
On March 17, 2025, staff issued a request for bids to the two pre-qualified golf course contractors. A pre-bid meeting was held on April 3, 2025, and bids were due by April 21, 2025.
Only one bid was received, from American Landscape. Staff followed up with Wadsworth Golf Construction to understand why they did not submit a bid; Wadsworth explained that their summer schedule is fully booked and they would not be able to meet the required project timeline.
Below is the bid summary that was submitted by American Landscape:
Base Bid Mountain View Turf Reduction 18-Holes
(With Decomposed Granite Ground Cover) $1,478,553.40
Bid Alternate 1
Planting
Enhancements
Installation of plants, cobble, and decomposed granite in key areas $438,427.50
Base Bid Total $1,916,980.90
Base Bid (Revised) Modification to dust control, and decomposed granite unit pricing $1,345,597.40
Bid Alternate 1
Planting
Enhancements
(Revised)
Modification irrigation, and reduction in plant maintenance period $420,487.40
Revised Base Bid Total $1,766,084.80
Note: Revised Bid results in a cost savings of $150,896.10 Analysis:
After receiving only one bid, staff, along with consultants Hurdzan Golf and Hermann Design Group, conducted a thorough evaluation of the proposal. The team met with American Landscape to review all construction line items and the schedule of values to ensure the bid reflected current industry standards. Through this detailed review, staff identified cost-saving opportunities and successfully reduced the original Base Bid and Alternate 1 from $1,916,980.90 to $1,766,084.80. The final bid was confirmed to be in line with industry norms. Additionally, the 433
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DSRT Surf developer will reimburse the City $675,321.40 for the turf reduction portion of the project.
Analysis & Capital Projects Context:
This project is a critical component of the City’s Capital Improvement Program (CIP). It supports multiple strategic objectives:
Infrastructure Reinvestment: The project maintains and enhances a major City-owned asset through turf reduction and modernization of irrigation systems. Sustainability: Aligns with water conservation mandates and regional drought response goals.
Economic Development Support: Helps fulfill mitigation requirements tied to the DSRT Surf resort project, ensuring public infrastructure is ready to support adjacent private investment.
Fiscal Responsibility: Leverages outside funding from the DSRT Surf developer to reduce net City costs and future maintenance expenses.
The project was identified in the Desert Willow Master Plan and is consistent with the City's CIP priorities for reinvesting in aging infrastructure, improving operational efficiency, and ensuring long-term viability of public amenities.
Strategic Plan:
This project will advance the following goals of the Strategic Plan:
Priority 1 - Energy & Sustainability: Reduce per capita consumption of energy and water. Priority 4 - Energy & Sustainability: Encourage owners of all existing properties to voluntarily retrofit them to obtain reductions in energy and water usage. Priority 1 - Land Use, Housing & Open Space: Enhance Palm Desert as a first-class destination for premier shopping and national retail businesses. Priority 3 - Parks & Recreation: Make recreational and exercise opportunities pervasive in all public spaces.
Legal Review:
This report has been reviewed by the City Attorney’s office.
FINANCIAL IMPACT:
Funding for the Desert Willow Golf Course Renovation Projects have not been budgeted in the Golf Course Capital Fund (Account No. 4414195-4809200). Sufficient funds are available in Fund Balance to appropriate the requested amount of $1,942,685. Future golf course related capital projects will need to be closely monitored to ensure revenue to support them coincides with their timing. There is no impact to the General Fund with this action. 434
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Award Contract for Desert Willow Mountainview Golf Course Turf Removal Project
The following table provides the current project budget and costs. 435
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Award Contract for Desert Willow Mountainview Golf Course Turf Removal Project
Authorized Item Contract
No. Budget Cost/Contract
1/1/2020 Carryover Funds -
$
404,790.00
2/1/2022 Hurdzan Professional - Consulting
Services A42830 $ 50,000.00
9/29/2022 Herman Design Group - Design
Services C44200 $ 305,100.00
3/9/2023 HR Green - Construction Management A44920 $
49,690.00
9/6/2023 Hermann Design Group - Amend 1 C44200 $
10,000.00
12/14/2023 Appropriation - CC MTG 12/14 ITEM
14c -
$
4,473,396.75
12/14/2023 American Landscape - Construction C44200B $
4,083,396.75
7/26/2024 Hermann Design Group - Amend 2 C44200 $
9,085.00
8/19/2024 American Landscape - CO 1 C44200B $
93,599.00
8/26/2024 Hermann Design Group - Amend 3 C44200 $
12,000.00
9/10/2024 American Landscape - CO 2 C44200B $
292,985.00
9/12/2024 Appropriation - CC Mtg. 09.12.24 - 13.f -
DW -
$
443,570.00
$
-
9/12/2024 American Landscape - CO 3 C44200B $
395,901.00
9/12/2024 American Landscape - Unused
Contingency C44200B $ -
5/8/2025 Hermann Design Group - Amend 4 C44200 $
57,500.00
5/8/2025 Desert Willow Repurposed Funds $
40,000.00
5/22/2025 American Landscape – Construction C44200D $
1,766,084.80
5/22/2025 Contingency $
176,600.00
5/22/2025 Appropriation Needed $
1,942,685.00
Project Budget $
7,304,441.75
Contract Total $
7,301,941.55
Firecliff Developer Reimb $
(319,121.50)
Mountain View Developer Reimb $
(675,321.40)
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Award Contract for Desert Willow Mountainview Golf Course Turf Removal Project
Net Cost to City $
6,307,498.65
ATTACHMENTS:
1. Contract
2. Performance Bonds
3. Contractor Bid Form
4. Revised Contractor Bid Form
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BBK 72500.00001\32374943.1
CITY OF PALM DESERT
CONTRACT FOR CONSTRUCTION
This Agreement is made and entered into this 1st day of June, 2025, by and between the City of Palm Desert, a municipal corporation organized under the laws of the State of California with its principal place of business at 73-510 Fred Waring Drive, Palm Desert, California 92260-2578, (“City”) and American Landscape, Inc., a Corporation, with its principal place of business at 7013 Owensmouth Avenue, Canoga Park, CA 91303 ("Contractor").
WITNESSETH: That the parties hereto have mutually covenanted and agreed, and by these presents do covenant and agree with each other as follows:
ARTICLE 1. SCOPE OF WORK.
The Contractor shall perform all Work within the time stipulated in the Contract, and shall provide all labor, materials, equipment, tools, utility services, and transportation to complete all of the Work required in strict compliance with the Contract Documents as specified in Article 5, below, for the following Project:
Approximately 11-acres of Turf Reduction and Landscaping Improvements on the Mountain View Course at Desert Willow Golf Resort
Project No. MLS00005
(hereinafter referred to as “the Project”).
Contractor is an independent contractor and not an agent of the City. The Contractor and its surety shall be liable to the City for any damages arising as a result of the Contractor’s failure to comply with this obligation.
ARTICLE 2. TIME FOR COMPLETION.
Time is of the essence in the performance of the Work. The Work shall be commenced on the date stated in the City’s Notice to Proceed. The Contractor shall complete all Work required by the Contract Documents within 90 Days from the commencement date stated in the Notice to Proceed. By its signature hereunder, Contractor agrees the time for completion set forth above is adequate and reasonable to complete the Work.
ARTICLE 3. CONTRACT PRICE.
The City shall pay to the Contractor as full compensation for the performance of the Contract, subject to any additions or deductions as provided in the Contract Documents, and including all applicable taxes and costs, the sum of One Million, Seven Hundred and Sixty-Six Thousand, Eighty-Four Dollars and Eighty Cents ($1,766,084.80).
Payment shall be made as set forth in the General Conditions. The City will pay to Contractor compensation based upon the prices set forth in the Bid Schedule.
ARTICLE 4. LIQUIDATED DAMAGES.
Contractor acknowledges that the City will sustain actual damages for each and every Day completion of the Project is delayed beyond the Contract Time. Because of the nature of the Project, it would be impracticable or extremely difficult to determine the City’s actual damages. Accordingly, Pursuant to Government Code Section 53069.85, Contractor shall pay to the City as fixed and liquidated damages the sum of $ 1,000 per day for each and every calendar day of delay beyond the Contract Time or beyond any completion schedule, construction schedule, or Project milestones established pursuant to the Contract.
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ARTICLE 5. COMPONENT PARTS OF THE CONTRACT.
The “Contract Documents” include the following:
Notice Inviting Bids
Instructions to Bidders
Bid Forms
Bid Acknowledgement
Bid Schedule
Bid Guarantee
Designation of Subcontractors
Information Required of Bidders
Non-Collusion Declaration Form
Iran Contracting Act Certification
Public Works Contractor DIR Registration Certification
Performance Bond
Payment (Labor and Materials) Bond
Contract for Construction
General Conditions
Special Conditions
Specifications
Addenda
Construction Plans and Drawings
Standard Specifications for Public Works Construction “Greenbook”, latest edition, Except Sections 1-9
Standard Plans of the City of Palm Desert, latest edition Standard Plans for Public Works Construction, latest edition Caltrans Standard Specifications, latest edition, Except Division 1 Caltrans Standard Plans, latest edition
California Manual on Traffic Control Devices for Streets and Highways (CAMUTCD), latest edition
Work Area Traffic Control Handbook, latest edition
Reference Specifications
Approved and fully executed Change Orders
Permits
Any other documents contained in or incorporated into the Contract The Contractor shall complete the Work in strict accordance with all of the Contract Documents.
All of the Contract Documents are intended to be complementary. Work required by one of the Contract Documents and not by others shall be done as if required by all. In the event of conflict, the various Contract Documents will be given effect in the order set forth in the General Conditions. This Contract shall supersede any prior agreement of the parties.
ARTICLE 6. PROVISIONS REQUIRED BY LAW AND CONTRACTOR COMPLIANCE.
Each and every provision of law required to be included in these Contract Documents shall be deemed to be included in these Contract Documents. The Contractor shall comply with all requirements of applicable federal, state, and local laws, rules, and regulations, including, but not limited to, the provisions of the California Labor Code and California Public Contract Code which are applicable to this Work. 440
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ARTICLE 7. INDEMNIFICATION AND INSURANCE.
A. Indemnification
1. To the fullest extent permitted by law, Contractor shall immediately defend (with counsel of the City’s choosing), indemnify, and hold harmless the City, its officials, officers, agents, employees, and representatives, and each of them from and against:
(a) Any and all claims, demands, causes of action, costs, expenses, injuries, losses or liabilities, in law or in equity, of every kind or nature whatsoever, but not limited to, injury to or death, including wrongful death, of any person, and damages to or destruction of property of any person, arising out of, related to, or in any manner directly or indirectly connected with the Work or this Contract, including claims made by subcontractors for nonpayment, including without limitation the payment of all consequential damages and attorney’s fees and other related costs and expenses, however caused, regardless of whether the allegations are false, fraudulent, or groundless, and regardless of any negligence of the City or its officers, employees, or authorized volunteers (including passive negligence), except the sole negligence or willful misconduct or active negligence of the City or its officials, officers, employees, or authorized volunteers;
(b) Contractor’s defense and indemnity obligation herein includes, but is not limited to damages, fines, penalties, attorney’s fees and costs arising from claims under the Americans with Disabilities Act (ADA) or other federal or state disability access or discrimination laws arising from Contractor’s Work during the course of construction of the improvements or after the Work is complete, as the result of defects or negligence in Contractor’s construction of the improvements;
(c) Any and all actions, proceedings, damages, costs, expenses, fines, penalties or liabilities, in law or equity, of every kind or nature whatsoever, arising out of, resulting from, or on account of the violation of any governmental law or regulation, compliance with which is the responsibility of Contractor; (d) Any and all losses, expenses, damages (including damages to the Work itself), attorney’s fees, and other costs, including all costs of defense which any of them may incur with respect to the failure, neglect, or refusal of Contractor to faithfully perform the Work and all of Contractor’s obligations under Contract.
Such costs, expenses, and damages shall include all costs, including attorney’s fees, incurred by the indemnified parties in any lawsuit to which they are a party.
2. Contractor shall immediately defend, at Contractor’s own cost, expense and risk, with the counsel of the City choosing, any and all such aforesaid suits, actions or other legal proceedings of every kind that may be brought or instituted against the City, its officials, officers, agents, employees and representatives. Contractor shall pay and satisfy any judgment, award or decree that may be rendered against the City, its officials, officers, employees, agents, employees, and representatives, in any such suit, action or other legal proceeding. Contractor shall reimburse the City, its officials, officers, agents, employees, and representatives for any and all legal expenses and costs incurred by each of them in connection therewith or in 441
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enforcing the indemnity herein provided. The only limitations on this provision shall be those imposed by Civil Code section 2782.
3. The provisions of this Article shall survive the termination of this Contract howsoever caused, and no payment, partial payment, or acceptance of occupancy in whole or part of the Work shall waive or release any of the provisions of this Article.
B. Insurance
1. Without limiting Contractor’s indemnification of City, and prior to commencement of Work, Contractor shall obtain, provide, and maintain at its own expense during the term of this Contract, policies of insurance of the type and amounts described below and in a form that is satisfactory to City.
2. General Liability Insurance. Contractor shall maintain commercial general liability insurance with coverage at least as broad as Insurance Services Office form CG 00 01, in an amount not less than $2,000,000 per occurrence, $4,000,000 general aggregate, for bodily injury, personal injury, and property damage, and a $4,000,000 completed operations aggregate. The policy must include contractual liability that has not been amended. Any endorsement restricting standard ISO “insured contract” language will not be accepted.
3. Automobile Liability Insurance. Contractor shall maintain automobile insurance at least as broad as Insurance Services Office form CA 00 01 covering bodily injury and property damage for all activities of the Contractor arising out of or in connection with Work to be performed under this Contract, including coverage for any owned, hired, non-owned or rented vehicles, in an amount not less than $1,000,000 combined single limit for each accident.
4. Umbrella or Excess Liability Insurance. Contractor may opt to utilize umbrella or excess liability insurance in meeting insurance requirements. In such circumstances, Contractor may obtain and maintain an umbrella or excess liability insurance policy with limits that will provide bodily injury, personal injury, and property damage liability coverage at least as broad as the primary coverages set forth above, including commercial general liability, automotive liability and employer’s liability. Such policy or policies shall include the following terms and conditions:
A drop-down feature requiring the policy to respond in the event that any primary insurance that would otherwise have applied proves to be uncollectible in whole or in part for any reason;
(a) Pay on behalf of wording as opposed to reimbursement; and (b) Concurrency of effective dates with primary policies; and (c) Policies shall “follow form” to the underlying primary policies; and (d) Insureds under primary policies shall also be insureds under the umbrella or excess policies.
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5. Workers’ Compensation Insurance. Contractor shall maintain Workers’ Compensation Insurance (Statutory Limits) and Employer’s Liability Insurance (with limits of at least $1,000,000) for Contractor’s employees in accordance with the laws of the State of California, Section 3700 of the Labor Code. In addition, Contractor shall require each subcontractor to similarly maintain Workers’ Compensation Insurance and Employer’s Liability Insurance in accordance with the laws of the State of California, Section 3700 for all of the subcontractor’s employees. Contractor shall submit to City, along with the certificate of insurance, a Waiver of Subrogation endorsement in favor of the City, its officers, agents, employees, and volunteers.
6. Fidelity Coverage. Reserved.
7. Pollution Liability Insurance. Environmental Impairment Liability Insurance shall be written on a Contractor’s Pollution Liability form or other form acceptable to the City providing coverage for liability arising out of sudden, accidental, and gradual pollution and remediation. The policy limit shall be no less than $1,000,000 dollars per claim and in the aggregate. All activities contemplated in this Agreement shall be specifically scheduled on the policy as “covered operations”. The policy shall provide coverage for the hauling of waste from the Project site to the final disposal location, including non-owned disposal sites.
C.Other Provisions or Requirements
1. Proof of Insurance. Contractor shall provide certificates of insurance to City as evidence of the insurance coverage required herein, along with a waiver of subrogation endorsement for workers’ compensation. Insurance certificates and endorsements must be approved by City’s Risk Manager prior to commencement of performance. Current certification of insurance shall be kept on file with City at all times during the term of this contract. City reserves the right to require complete, certified copies of all required insurance policies, at any time.
2. Duration of Coverage. Contractor shall procure and maintain for the duration of the 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 by Contractor, its agents, representatives, employees, or subcontractors.
Contractor must maintain general liability and umbrella or excess liability insurance for as long as there is a statutory exposure to completed operations claims. The City and its officers, officials, employees, and agents shall continue as additional insureds under such policies.
3. Primary/Non-Contributing. Coverage provided by Contractor shall be primary and any insurance or self-insurance procured or maintained by City shall not be required to contribute with it. The limits of insurance required herein may be satisfied by a combination of primary and umbrella or excess insurance. Any umbrella or excess insurance shall contain or be endorsed to contain a provision that such coverage shall also apply on a primary and non-contributory basis for the benefit of City before the City’s own insurance or self-insurance shall be called upon to protect it as a named insured.
4. Products/Completed Operations Coverage. Products/completed operations coverage shall extend a minimum of three (3) years after project completion.
Coverage shall be included on behalf of the insured for covered claims arising out of the actions of independent contractors. If the insured is using subcontractors, the Policy must include work performed “by or on behalf” of the insured. Policy 443
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shall contain no language that would invalidate or remove the insurer’s duty to defend or indemnify for claims or suits expressly excluded from coverage. Policy shall specifically provide for a duty to defend on the part of the insurer. The City, its officials, officers, agents, and employees, shall be included as additional insureds under the Products and Completed Operations coverage.
5. City’s Rights of Enforcement. In the event any policy of insurance required under this Contract does not comply with these requirements, or is canceled and not replaced, City has the right, but not the duty, to obtain the insurance it deems necessary, and any premium paid by City will be promptly reimbursed by Contractor, or City will withhold amounts sufficient to pay premium from Contractor payments. In the alternative, City may cancel this Contract.
6. Acceptable Insurers. All insurance policies shall be issued by an insurance company currently authorized by the Insurance Commissioner to transact business of insurance or is on the List of Approved Surplus Line Insurers in the State of California, with an assigned policyholders’ Rating of A- (or higher) and Financial Size Category Class VII (or larger) in accordance with the latest edition of Best’s Key Rating Guide, unless otherwise approved by the City’s Risk Manager.
7. Waiver of Subrogation. All insurance coverage maintained or procured pursuant to this agreement shall be endorsed to waive subrogation against the City, its elected or appointed officers, agents, officials, employees, and volunteers, or shall specifically allow Contractor or others providing insurance evidence in compliance with these specifications to waive their right of recovery prior to a loss. Contractor hereby waives its own right of recovery against the City, its elected or appointed officers, agents, officials, employees, and volunteers and shall require similar written express waivers and insurance clauses from each of its subcontractors.
8. Enforcement of Contract Provisions (non estoppel). Contractor acknowledges and agrees that any actual or alleged failure on the part of the City to inform Contractor of non-compliance with any requirement imposes no additional obligations on the City nor does it waive any rights hereunder.
9. Requirements Not Limiting. Requirements of specific coverage features or limits contained in this Section are not intended as a limitation on coverage, limits or other requirements, or a waiver of any coverage normally provided by any insurance. Specific reference to a given coverage feature is for purposes of clarification only as it pertains to a given issue and is not intended by any party or insured to be all inclusive, or to the exclusion of other coverage, or a waiver of any type. If the Contractor maintains higher limits than the minimums shown above, the City requires and shall be entitled to coverage for the higher limits maintained by the Contractor. Any available insurance proceeds in excess of the specified minimum limits of insurance and coverage shall be available to the City.
10. Notice of Cancellation. Contractor agrees to oblige its insurance agent or broker and insurers to provide to City with a thirty (30) Day notice of cancellation (except for nonpayment for which a ten (10) Day notice is required) or nonrenewal of coverage for each required coverage.
11. Additional Insured Status. General liability, automobile liability, and if applicable, pollution liability policies shall provide or be endorsed to provide that the City and its officers, officials, employees, agents, and volunteers shall be additional insureds under such policies. This provision shall also apply to any excess/umbrella liability policies. Coverage shall be at least as broad as coverage 444
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provided by ISO’s Owners, Lessees, or Contractors Additional Insured Endorsement for the ongoing (i.e. ISO Form CG 20 10 07 04) and completed operations (i.e. ISO Form CG 20 37 07 04) of Contractor.
12. Prohibition of Undisclosed Coverage Limitations. None of the coverages required herein will be in compliance with these requirements if they include any limiting endorsement of any kind that has not been first submitted to City and approved of in writing.
13. Separation of Insureds. A severability of interests provision must apply for all additional insureds ensuring that Contractor’s insurance shall apply separately to each insured against whom claim is made or suit is brought, except with respect to the insurer’s limits of liability. The policy(ies) shall not contain any cross-liability exclusions.
14. Pass Through Clause. Contractor agrees to ensure that its sub-consultants, subcontractors, and any other party involved with the Project who is brought onto or involved in the project by Contractor, provide the same minimum insurance coverage and endorsements required of Contractor. Contractor agrees to monitor and review all such coverage and assumes all responsibility for ensuring that such coverage is provided in conformity with the requirements of this section. Contractor agrees that upon request, all agreements with consultants, subcontractors, and others engaged in the Project will be submitted to City for review.
15. City’s Right to Revise Requirements. The City or its Risk Manager reserves the right at any time during the term of the contract to change the amounts and types of insurance required by giving the Contractor ninety (90) Days advance written notice of such change. If such change results in substantial additional cost to the Contractor, the City and Contractor may renegotiate Contractor’s compensation. If the City reduces the insurance requirements, the change shall go into effect immediately and require no advanced written notice.
16. Self-Insured Retentions. Any self-insured retentions must be declared to and approved by City. City reserves the right to require that self-insured retentions be eliminated, lowered, or replaced by a deductible. Self-insurance will not be considered to comply with these specifications unless approved by City.
17. Timely Notice of Claims. Contractor shall give City prompt and timely notice of claims made or suits instituted that arise out of or result from Contractor’s performance under this Contract, and that involve or may involve coverage under any of the required liability policies.
18. Additional Insurance. Contractor shall also procure and maintain, at its own cost and expense, any additional kinds of insurance, which in its own judgment may be necessary for its proper protection and prosecution of the Work.
19. Safety. Contractor shall execute and maintain its work so as to avoid injury or damage to any person or property. In carrying out its Services, the Contractor shall at all times be in compliance with all applicable local, state and federal laws, rules and regulations, and shall exercise all necessary precautions for the safety of employees appropriate to the nature of the work and the conditions under which the work is to be performed. Safety precautions, where applicable, shall include, but shall not be limited to: (A) adequate life protection and lifesaving equipment and procedures; (B) instructions in accident prevention for all employees and subcontractors, such as safe walkways, scaffolds, fall protection ladders, bridges, gang planks, confined space procedures, trenching and shoring, equipment and other safety devices, equipment and wearing apparel as are necessary or lawfully 445
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required to prevent accidents or injuries; and (C) adequate facilities for the proper inspection and maintenance of all safety measures.
ARTICLE 8. PREVAILING WAGES.
Contractor shall be required to pay the prevailing rate of wages in accordance with the Labor Code which such rates shall be made available at the City’s Office or may be obtained online at http://www.dir.ca.gov and which must be posted at the job site.
ARTICLE 9. FALSE CLAIMS.
Contractor acknowledges that if a false claim is submitted to the City, it may be considered fraud and Contractor may be subject to criminal prosecution. Contractor acknowledges that the False Claims Act, California Government Code sections 12650, et seq., provides for civil penalties where a person knowingly submits a false claim to a public entity.
These provisions include within their scope false claims made with deliberate ignorance of the false information or in reckless disregard of the truth or falsity of the information. In the event the City seeks to recover penalties pursuant to the False Claims Act, it is entitled to recover its litigation costs, including attorneys’ fees.
Contractor hereby acknowledges that the filing of a false claim may the Contractor to an administrative debarment proceeding wherein Contractor may be prevented from further bidding on public contracts for a period of up to five (5) years. [SIGNATURES ON FOLLOWING PAGE]
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SIGNATURE PAGE TO LONG FORM CONSTRUCTION AGREEMENT
BY AND BETWEEN THE CITY OF PALM DESERT
AND AMERICAN LANDSCAPE, INC.
IN WITNESS WHEREOF, each of the Parties has caused this Agreement to be executed on the day and year first above written.
CITY OF PALM DESERT
By:
Chris Escobedo
Interim City Manager
Attest:
By:
Anthony J. Mejia
City Clerk
Approved as to form:
By:
Isra Shah
Best Best & Krieger LLP
City Attorney
AMERICAN LANDSCAPE, INC, A
CORPORATION
By:
David Price
Chief Executive Officer
By:
Jamie Tsui
Secretary
288229 A, B, C-27, C-8
Contractor’s License Number and
Classification
1000005457
DIR Registration Number (if applicable)
City Clerk QC: _____
Contracts QC: _____
Insurance:
_____
Initial Review
_____
Final Approval
_____
Bonds
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Exhibit “C”
Revised 11-2-20
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PERFORMANCE BOND
KNOW ALL PERSONS BY THESE PRESENTS:
THAT WHEREAS, the City of Palm Desert (hereinafter referred to as “City”) has awarded to American Landscape, Inc., (hereinafter referred to as the “Contractor”) an agreement for Mountain View Golf Course Turf Reduction and Landscaping Project at Desert Willow Golf Resort (hereinafter referred to as the “Project”).
WHEREAS, the work to be performed by the Contractor is more particularly set forth in the Contract Documents for the Project dated June 15, 2025, (hereinafter referred to as “Contract Documents”), the terms and conditions of which are expressly incorporated herein by reference; and
WHEREAS, the Contractor is required by said Contract Documents to perform the terms thereof and to furnish a bond for the faithful performance of said Contract Documents.
NOW, THEREFORE, we, American Landscape, Inc. , the undersigned Contractor and U.S. Specialty Insurance Company_ as Surety, a corporation organized and duly authorized to transact business under the laws of the State of California, are held and firmly bound unto the City in the sum of One Million, Seven Hundred Sixty Six Thousand, Eighty-Four Dollars and Eighty Cents ($1,766,084.80), said sum being not less than one hundred percent (100%) of the total amount of the Contract, for which amount well and truly to be made, we bind ourselves, our heirs, executors and administrators, successors and assigns, jointly and severally, firmly by these presents.
THE CONDITION OF THIS OBLIGATION IS SUCH, that, if the Contractor, his or its heirs, executors, administrators, successors or assigns, shall in all things stand to and abide by, and well and truly keep and perform the covenants, conditions and agreements in the Contract Documents and any alteration thereof made as therein provided, on its part, to be kept and performed at the time and in the manner therein specified, and in all respects according to their intent and meaning; and shall faithfully fulfill all obligations including the one-year guarantee of all materials and workmanship; and shall indemnify and save harmless the City, its elected or appointed officers, and their respective agents, officials, employees, volunteers and representatives, as stipulated in said Contract Documents, then this obligation shall become null and void; otherwise it shall be and remain in full force and effect.
As a condition precedent to the satisfactory completion of the Contract Documents, unless otherwise provided for in the Contract Documents, the above obligation shall hold good for a period of one (1) year after the acceptance of the work by City, during which time if Contractor shall fail to make full, complete, and satisfactory repair and replacements and totally protect the City from loss or damage resulting from or caused by defective materials or faulty workmanship, Surety shall undertake and faithfully fulfill all such obligations. The obligations of Surety hereunder shall continue so long as any obligation of Contractor remains. Nothing herein shall limit the City’s rights or the Contractor or Surety’s obligations under the Contract, law, or equity, including, but not limited to, California Code of Civil Procedure section 337.15.
Whenever Contractor shall be, and is declared by the City to be, in default under the Contract Documents, the Surety shall remedy the default pursuant to the Contract Documents, or shall promptly, at the City’s option:
(1) Take over and complete the Project in accordance with all terms and conditions in the Contract Documents; or
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(2) Obtain a bid or bids for completing the Project in accordance with all terms and conditions in the Contract Documents and upon determination by Surety of the lowest responsive and responsible bidder, arrange for a Contract between such bidder, the Surety and the City, and make available as work progresses sufficient funds to pay the cost of completion of the Project, less the balance of the contract price, including other costs and damages for which Surety may be liable. The term “balance of the contract price” as used in this paragraph shall mean the total amount payable to Contractor by the City under the Contract and any modification thereto, less any amount previously paid by the City to the Contractor and any other set offs pursuant to the Contract Documents.
(3) Permit the City to complete the Project in any manner consistent with local, California and federal law and make available as work progresses sufficient funds to pay the cost of completion of the Project, less the balance of the contract price, including other costs and damages for which Surety may be liable. The term “balance of the contract price” as used in this paragraph shall mean the total amount payable to Contractor by the City under the Contract and any modification thereto, less any amount previously paid by the City to the Contractor and any other set offs pursuant to the Contract Documents.
Surety expressly agrees that the City may reject any contractor or subcontractor which may be proposed by Surety in fulfillment of its obligations in the event of default by the Contractor.
Surety shall not utilize Contractor in completing the Project nor shall Surety accept a bid from Contractor for completion of the Project if the City, when declaring the Contractor in default, notifies Surety of the City’s objection to Contractor’s further participation in the completion of the Project.
The Surety, for value received, hereby stipulates and agrees that no change, extension of time, alteration or addition to the terms of the Contract Documents or to the Project to be performed thereunder shall in any way affect its obligations on this bond, and it does hereby waive notice of any such change, extension of time, alteration or addition to the terms of the Contract Documents or to the Project, including but not limited to the provisions of sections 2819 and 2845 of the California Civil Code.
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IN WITNESS WHEREOF, we have hereunto set our hands and seals this _______ day of ______________, 20____.
(Corporate Seal)
(Corporate Seal) Surety
Attorney-in-Fact
(Attach Attorney-in-Fact Certificate) Title
Signatures of those signing for the Contractor and Surety must be notarized and evidence of corporate authority attached.
The rate of premium on this bond is ____________ per thousand. The total amount of premium charges, $_______________________________.
(The above must be filled in by corporate attorney.)
THIS IS A REQUIRED FORM
Any claims under this bond may be addressed to:
(Name and Address of Surety)
(Name and Address of Agent or
Representative for service of
process in California, if different
from above)
(Telephone number of Surety and
Agent or Representative for
service of process in California)
NOTE: A copy of the Power-of-Attorney authorizing the person signing on behalf of the Surety to do so must be attached hereto.
Contractor/ Principal American Landscape, Inc.
By
Printed Name:
Title:
By
Printed Name:
Title:
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NOTE: This acknowledgment is to be completed for Contractor/Principal.
Notary Acknowledgment
A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document.
STATE OF CALIFORNIA
COUNTY OF ______________
On , 20___, before me, _______________________________, Notary Public, personally appeared , who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument.
I certify under PENALTY OF PERJURY under the laws of
the State of California that the foregoing paragraph is true and correct.
WITNESS my hand and official seal.
Signature of Notary Public
OPTIONAL
Though the information below is not required by law, it may prove valuable to persons relying on the document and could prevent fraudulent removal and reattachment of this form to another document.
CAPACITY CLAIMED BY SIGNER DESCRIPTION OF ATTACHED DOCUMENT Individual
Corporate Officer
Title(s) Title or Type of Document
Partner(s) Limited
General Number of Pages
Attorney-In-Fact
Trustee(s)
Guardian/Conservator Date of Document
Other:
Signer is representing:
Name Of Person(s) Or Entity(ies)
Signer(s) Other Than Named Above
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NOTE: This acknowledgment is to be completed for the Attorney-in-Fact. The Power-of-Attorney Notary Acknowledgment
A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document.
STATE OF CALIFORNIA
COUNTY OF ______________
On , 20___, before me, _______________________________, Notary Public, personally appeared , who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument.
I certify under PENALTY OF PERJURY under the laws of
the State of California that the foregoing paragraph is true and correct.
WITNESS my hand and official seal.
Signature of Notary Public
OPTIONAL
Though the information below is not required by law, it may prove valuable to persons relying on the document and could prevent fraudulent removal and reattachment of this form to another document.
CAPACITY CLAIMED BY SIGNER DESCRIPTION OF ATTACHED DOCUMENT Individual
Corporate Officer
Title(s) Title or Type of Document
Partner(s) Limited
General Number of Pages
Attorney-In-Fact
Trustee(s)
Guardian/Conservator Date of Document
Other:
Signer is representing:
Name Of Person(s) Or Entity(ies)
Signer(s) Other Than Named Above
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to local representatives of the bonding company must also be attached. 454
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PAYMENT BOND
KNOW ALL MEN BY THESE PRESENTS That
WHEREAS, the City of Palm Desert (hereinafter designated as the “City”), by action taken or a resolution passed May 22, 2025, has awarded to American Landscape, Inc., hereinafter designated as the “Principal,” a contract for the work described as follows:
Turf Reduction and Landscaping at Desert Willow Golf Resort – Mountain View Course Project (the “Project”).; and
WHEREAS, the work to be performed by the Principal is more particularly set forth in the Contract Documents for the Project dated June 15, 2025, (“Contract Documents”), the terms and conditions of which are expressly incorporated by reference; and WHEREAS, said Principal is required to furnish a bond in connection with said contract; providing that if said Principal or any of its Subcontractors shall fail to pay for any materials, provisions, provender, equipment, or other supplies used in, upon, for or about the performance of the work contracted to be done, or for any work or labor done thereon of any kind, or for amounts due under the Unemployment Insurance Code or for any amounts required to be deducted, withheld, and paid over to the Employment Development Department from the wages of employees of said Principal and its Subcontractors with respect to such work or labor the Surety on this bond will pay for the same to the extent hereinafter set forth.
NOW THEREFORE, we, the Principal and __________________________ as Surety, are held and firmly bound unto the City in the penal sum of One Million, Seven Hundred Sixty Six Thousand, Eighty-Four Dollars and Eighty Cents ($1,766,084.80) lawful money of the United States of America, for the payment of which sum well and truly to be made, we bind ourselves, our heirs, executors, administrators, successors and assigns, jointly and severally, firmly by these presents.
THE CONDITION OF THIS OBLIGATION IS SUCH that if said Principal, his or its subcontractors, heirs, executors, administrators, successors or assigns, shall fail to pay any of the persons named in Section 9100 of the Civil Code, fail to pay for any materials, provisions or other supplies, used in, upon, for or about the performance of the work contracted to be done, or for any work or labor thereon of any kind, or amounts due under the Unemployment Insurance Code with respect to work or labor performed under the contract, or for any amounts required to be deducted, withheld, and paid over to the Employment Development Department or Franchise Tax Board from the wages of employees of the contractor and his subcontractors pursuant to Section 18663 of the Revenue and Taxation Code, with respect to such work and labor the Surety or Sureties will pay for the same, in an amount not exceeding the sum herein above specified, and also, in case suit is brought upon this bond, all litigation expenses incurred by City in such suit, including reasonable attorneys’ fees, court costs, expert witness fees and investigation expenses.
This bond shall inure to the benefit of any of the persons named in Section 9100 of the Civil Code so as to give a right of action to such persons or their assigns in any suit brought upon this bond.
It is further stipulated and agreed that the Surety on this bond shall not be exonerated or released from the obligation of this bond by any change, extension of time for performance, addition, alteration or modification in, to, or of any contract, plans, specifications, or agreement pertaining or relating to any scheme or work of improvement herein above described, or pertaining or relating to the furnishing of labor, materials, or equipment therefore, nor by any change or 455
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modification of any terms of payment or extension of the time for any payment pertaining or relating to any scheme or work of improvement herein above described, nor by any rescission or attempted rescission of the contract, agreement or bond, nor by any conditions precedent or subsequent in the bond attempting to limit the right of recovery of claimants otherwise entitled to recover under any such contract or agreement or under the bond, nor by any fraud practiced by any person other than the claimant seeking to recover on the bond and that this bond be construed most strongly against the Surety and in favor of all persons for whose benefit such bond is given, and under no circumstances shall Surety be released from liability to those for whose benefit such bond has been given, by reason of any breach of contract between the owner or City and original contractor or on the part of any obligee named in such bond, but the sole conditions of recovery shall be that claimant is a person described in Section 9100 of the Civil Code, and has not been paid the full amount of his claim and that Surety does hereby waive notice of any such change, extension of time, addition, alteration or modification herein mentioned and the provisions of sections 2819 and 2845 of the California Civil Code.
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456
Contract No. ___________
IN WITNESS WHEREOF, we have hereunto set our hands and seals this _______ day of ______________, 20__.
(Corporate Seal)
(Corporate Seal) Surety
Attorney-in-Fact
(Attach Attorney-in-Fact Certificate) Title
Signatures of those signing for the Contractor and Surety must be notarized and evidence of corporate authority attached. A Power-of-Attorney authorizing the person signing on behalf of the Surety to do so much be attached hereto.
NOTE: A copy of the Power-of-Attorney authorizing the person signing on behalf of the Surety to do so must be attached hereto.
Contractor/ Principal American Landscape, Inc.
By
Printed Name:
Title:
By
Printed Name:
Title:
457
Contract No. ___________
NOTE: This acknowledgment is to be completed for Contractor/Principal.
Notary Acknowledgment
A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document.
STATE OF CALIFORNIA
COUNTY OF ______________
On , 20___, before me, _______________________________, Notary Public, personally appeared , who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument.
I certify under PENALTY OF PERJURY under the laws of
the State of California that the foregoing paragraph is true and correct.
WITNESS my hand and official seal.
Signature of Notary Public
OPTIONAL
Though the information below is not required by law, it may prove valuable to persons relying on the document and could prevent fraudulent removal and reattachment of this form to another document.
CAPACITY CLAIMED BY SIGNER DESCRIPTION OF ATTACHED DOCUMENT Individual
Corporate Officer
Title(s) Title or Type of Document
Partner(s) Limited
General Number of Pages
Attorney-In-Fact
Trustee(s)
Guardian/Conservator Date of Document
Other:
Signer is representing:
Name Of Person(s) Or Entity(ies)
Signer(s) Other Than Named Above
458
Contract No. ___________
Notary Acknowledgment
A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document.
STATE OF CALIFORNIA
COUNTY OF ______________
On , 20___, before me, _______________________________, Notary Public, personally appeared , who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument.
I certify under PENALTY OF PERJURY under the laws of
the State of California that the foregoing paragraph is true and correct.
WITNESS my hand and official seal.
Signature of Notary Public
OPTIONAL
Though the information below is not required by law, it may prove valuable to persons relying on the document and could prevent fraudulent removal and reattachment of this form to another document.
CAPACITY CLAIMED BY SIGNER DESCRIPTION OF ATTACHED DOCUMENT Individual
Corporate Officer
Title(s) Title or Type of Document
Partner(s) Limited
General Number of Pages
Attorney-In-Fact
Trustee(s)
Guardian/Conservator Date of Document
Other:
Signer is representing:
Name Of Person(s) Or Entity(ies)
Signer(s) Other Than Named Above
459
Contract No. ___________
NOTE: This acknowledgment is to be completed for the Attorney-in-Fact. The Power-of-Attorney to local representatives of the bonding company must also be attached. 460
461
462
463
464
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Procedure modified. 469
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ALI's scope, <$15,000.00> may be reduced
from ALT #1 - 60 Day Maintenance. $1,345,597.40 $420,487.40 470
1. CITY OF PALM DESERT
STAFF REPORT
MEETING DATE: May 22, 2025
PREPARED BY: Ryan Gayler, Capital Projects Manager
SUBJECT: AWARD CONSTRUCTION CONTRACT TO AMERICAN ASPHALT SOUTH, INC., FOR THE 2025 SLURRY SEAL PROJECT, PROJECT NO.
CSL00001
RECOMMENDATION:
1. Award a construction contract to American Asphalt South, Inc., of Riverside, CA, in the amount of $2,710,175 for the 2025 Slurry Seal Project (Project No. CSL00001 / Project ID 2025-IFB-181).
2. Appropriate $1,210,175 from Unobligated Measure A Funds to the project Account No. 2134134-4400200.
3. Authorize the City Attorney to make any non-monetary changes to the agreement.
4. Authorize the City Manager to execute the agreement and any other documents necessary to effectuate this action, in accordance with Palm Desert Municipal Code Section
3.30.170(B).
5. Authorize the City Manager to execute the Notice of Completion (NOC) and the City Clerk to file the NOC upon satisfactory completion of the Project.
BACKGROUND/ANALYSIS:
The 2025 Slurry Seal Project involves the application of a rubberized slurry seal to various streets throughout the City of Palm Desert. The project will also include minor asphalt repairs and crack sealing, which help prevent the intrusion of sand and water, thereby extending the service life of the pavement. The rubberized slurry material offers enhanced elasticity, providing greater durability compared to conventional slurry seal.
The project scope includes residential neighborhoods off Shepherd Lane and Hovley Lane West, as well as major arterial roadways such as Frank Sinatra Drive, Country Club Drive, Monterey Avenue, and Hovley Lane East. To minimize traffic disruptions, slurry work on arterial streets is scheduled to occur at night.
The project was advertised via the City’s bid portal (OpenGov), and four bids were received electronically on April 29, 2025:
Contractor Location Base Bid Bid Alt #1 Bid total
American Asphalt South, Inc. Riverside, CA $2,710,175 $146,300 $2,856,475 Pavement Coatings Company Jurupa Valley, CA $2,861,280 $136,800 $2,998,080 Union Pavement Services Jurupa Valley, CA $3,088,061 $139,650 $3,227,711 Roy Allan Slurry Seal, Inc. Santa Fe Springs, CA $179,669,805 $146,300 $179,816,105 471
City of Palm Desert
Award Contract to American Asphalt South, Inc., for the 2025 Slurry Seal Project (CLS00001)
This project was bid with a bid alternate. The low bidder was established by calculating the sum of the base bid amount, plus Bid Alternate No. 1. The bid alternate is for the installation of a plastic curb and delineator system (Shur-Curb) to demarcate bike lanes from vehicular traffic lanes. During several community meetings, many attendees expressed concerns with the proposed system. Few residents expressed support for the delineators. Based on the input received, staff recommends awarding the contract for the base bid only and excluding Bid Alternate No. 1.
Staff has reviewed the low bid submitted by American Asphalt South, Inc. and determined it complies with all contract requirements. The company has previously completed multiple projects for the City with satisfactory results, and staff maintains a strong working relationship with the contractor.
Roy Allan Slurry Seal, Inc. submitted a bid that contained a significant error, pricing the slurry seal material at $22.00 per square foot instead of the intended $0.22 per square foot. Even if corrected, their total bid would not have been the lowest at $3,398,105.
Legal Review:
This report has been reviewed by the City Attorney’s Office.
FINANCIAL IMPACT:
Funding for this project is included in the approved Capital Improvement Project (CIP) list for FY 2024-25 in Measure A Account No. 2134134-4400200 for street improvements. However, an additional $1,210,175 will need to be appropriated to fully fund the project. This appropriation will reduce the total amount of Measure A funds requested in the FY 2025-26 CIP Plan. This action will have no impact on the General Fund.
Project – CSL00001
2025 Slurry Seal Project
FY 24/25
Budget
Appropriation
Request
Total
Amount
Measure A – Account No. 2134134-4400200 $ 1,500,000 $1,210,175 $2,710,175 Construction: American Asphalt South, Inc. ( 2,710,175) Balance Available $1,500,000 $1,210,175 $0
ATTACHMENTS:
1. Construction Contract
2. Contractor Bid
3. Payment and Performance Bonds
4. Vicinity Map
472
Contract No. ___________
1 Revised 01-2024
BBK 72500.00001\32374943.1
CITY OF PALM DESERT
CONTRACT FOR CONSTRUCTION
This Agreement is made and entered into this 22nd day of May, 2025, by and between the City of Palm Desert, a municipal corporation organized under the laws of the State of California with its principal place of business at 73-510 Fred Waring Drive, Palm Desert, California 92260-2578, (“City”) and American Asphalt South, Inc., an S Corporation, with its principal place of business at 2990 Myers Street, Riverside, CA 92503. ("Contractor").
WITNESSETH: That the parties hereto have mutually covenanted and agreed, and by these presents do covenant and agree with each other as follows:
ARTICLE 1. SCOPE OF WORK.
The Contractor shall perform all Work within the time stipulated in the Contract, and shall provide all labor, materials, equipment, tools, utility services, and transportation to complete all of the Work required in strict compliance with the Contract Documents as specified in Article 5, below, for the following Project:
2025 Slurry Seal Project
Project No. CSL00001
(hereinafter referred to as “the Project”).
This project will slurry seal and restripe various streets throughout the City of Palm Desert. The project will consist of mobilization, traffic control, striping removals, cold milling, crack fill, crack seal, construct rubberized slurry seal, paint road striping and markings, install preformed thermoplastic markings, install reflective pavement markers, and installation of traffic signal loop detectors.
Contractor is an independent contractor and not an agent of the City. The Contractor and its surety shall be liable to the City for any damages arising as a result of the Contractor’s failure to comply with this obligation.
ARTICLE 2. TIME FOR COMPLETION.
Time is of the essence in the performance of the Work. The Work shall be commenced on the date stated in the City’s Notice to Proceed. The Contractor shall complete all Work required by the Contract Documents within 90 Days from the commencement date stated in the Notice to Proceed. By its signature hereunder, Contractor agrees the time for completion set forth above is adequate and reasonable to complete the Work.
ARTICLE 3. CONTRACT PRICE.
The City shall pay to the Contractor as full compensation for the performance of the Contract, subject to any additions or deductions as provided in the Contract Documents, and including all applicable taxes and costs, the sum of Two million seven hundred ten thousand one hundred seventy-five Dollars ($2,710,175). Payment shall be made as set forth in the General Conditions. The City will pay to Contractor compensation based upon the prices set forth in the Bid Schedule.
ARTICLE 4. LIQUIDATED DAMAGES.
Contractor acknowledges that the City will sustain actual damages for each and every Day completion of the Project is delayed beyond the Contract Time. Because of the nature 473
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of the Project, it would be impracticable or extremely difficult to determine the City’s actual damages. Accordingly, Pursuant to Government Code Section 53069.85, Contractor shall pay to the City as fixed and liquidated damages the sum of One Thousand Dollars ($1,000) per day for each and every calendar day of delay beyond the Contract Time or beyond any completion schedule, construction schedule, or Project milestones established pursuant to the Contract. In the event this is not paid, the Contractor agrees the City may deduct that amount from any money due or that may become due the Contractor under the Contract. This Section does not exclude recovery of other damages specified in the Contract Documents. Liquidated damages may be deducted from progress payments due Contractor, or retention may be collected directly from Contractor, or from Contractor's surety. These provisions for liquidated damages shall not prevent the City, in case of Contractor's default, from terminating the Contractor.
ARTICLE 5. COMPONENT PARTS OF THE CONTRACT.
The “Contract Documents” include the following:
Notice Inviting Bids
Instructions to Bidders
Bid Forms
Bid Acknowledgement
Bid Schedule
Bid Guarantee
Designation of Subcontractors
Information Required of Bidders
Non-Collusion Declaration Form
Iran Contracting Act Certification
Public Works Contractor DIR Registration Certification
Performance Bond
Payment (Labor and Materials) Bond
Contract for Construction
General Conditions
Special Conditions
Specifications
Addenda
Construction Plans and Drawings
Standard Specifications for Public Works Construction “Greenbook”, latest edition, Except Sections 1-9
Standard Plans of the City of Palm Desert, latest edition Standard Plans for Public Works Construction, latest edition Caltrans Standard Specifications, latest edition, Except Division 1 Caltrans Standard Plans, latest edition
California Manual on Traffic Control Devices for Streets and Highways (CAMUTCD), latest edition
Work Area Traffic Control Handbook, latest edition
Reference Specifications
Approved and fully executed Change Orders
Permits
Any other documents contained in or incorporated into the Contract The Contractor shall complete the Work in strict accordance with all of the Contract Documents. 474
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All of the Contract Documents are intended to be complementary. Work required by one of the Contract Documents and not by others shall be done as if required by all. In the event of conflict, the various Contract Documents will be given effect in the order set forth in the General Conditions. This Contract shall supersede any prior agreement of the parties.
ARTICLE 6. PROVISIONS REQUIRED BY LAW AND CONTRACTOR COMPLIANCE.
Each and every provision of law required to be included in these Contract Documents shall be deemed to be included in these Contract Documents. The Contractor shall comply with all requirements of applicable federal, state, and local laws, rules, and regulations, including, but not limited to, the provisions of the California Labor Code and California Public Contract Code which are applicable to this Work.
ARTICLE 7. INDEMNIFICATION AND INSURANCE.
A. Indemnification
1. To the fullest extent permitted by law, Contractor shall immediately defend (with counsel of the City’s choosing), indemnify, and hold harmless the City, its officials, officers, agents, employees, and representatives, and each of them from and against:
(a) Any and all claims, demands, causes of action, costs, expenses, injuries, losses or liabilities, in law or in equity, of every kind or nature whatsoever, but not limited to, injury to or death, including wrongful death, of any person, and damages to or destruction of property of any person, arising out of, related to, or in any manner directly or indirectly connected with the Work or this Contract, including claims made by subcontractors for nonpayment, including without limitation the payment of all consequential damages and attorney’s fees and other related costs and expenses, however caused, regardless of whether the allegations are false, fraudulent, or groundless, and regardless of any negligence of the City or its officers, employees, or authorized volunteers (including passive negligence), except the sole negligence or willful misconduct or active negligence of the City or its officials, officers, employees, or authorized volunteers;
(b) Contractor’s defense and indemnity obligation herein includes, but is not limited to damages, fines, penalties, attorney’s fees and costs arising from claims under the Americans with Disabilities Act (ADA) or other federal or state disability access or discrimination laws arising from Contractor’s Work during the course of construction of the improvements or after the Work is complete, as the result of defects or negligence in Contractor’s construction of the improvements;
(c) Any and all actions, proceedings, damages, costs, expenses, fines, penalties or liabilities, in law or equity, of every kind or nature whatsoever, arising out of, resulting from, or on account of the violation of any governmental law or regulation, compliance with which is the responsibility of Contractor; (d) Any and all losses, expenses, damages (including damages to the Work itself), attorney’s fees, and other costs, including all costs of defense which any of them may incur with respect to the failure, neglect, or refusal of Contractor to 475
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faithfully perform the Work and all of Contractor’s obligations under Contract.
Such costs, expenses, and damages shall include all costs, including attorney’s fees, incurred by the indemnified parties in any lawsuit to which they are a party.
2. Contractor shall immediately defend, at Contractor’s own cost, expense and risk, with the counsel of the City choosing, any and all such aforesaid suits, actions or other legal proceedings of every kind that may be brought or instituted against the City, its officials, officers, agents, employees and representatives. Contractor shall pay and satisfy any judgment, award or decree that may be rendered against the City, its officials, officers, employees, agents, employees, and representatives, in any such suit, action or other legal proceeding. Contractor shall reimburse the City, its officials, officers, agents, employees, and representatives for any and all legal expenses and costs incurred by each of them in connection therewith or in enforcing the indemnity herein provided. The only limitations on this provision shall be those imposed by Civil Code section 2782.
3. The provisions of this Article shall survive the termination of this Contract howsoever caused, and no payment, partial payment, or acceptance of occupancy in whole or part of the Work shall waive or release any of the provisions of this Article.
B. Insurance
1. Without limiting Contractor’s indemnification of City, and prior to commencement of Work, Contractor shall obtain, provide, and maintain at its own expense during the term of this Contract, policies of insurance of the type and amounts described below and in a form that is satisfactory to City.
2. General Liability Insurance. Contractor shall maintain commercial general liability insurance with coverage at least as broad as Insurance Services Office form CG 00 01, in an amount not less than $2,000,000 per occurrence, $4,000,000 general aggregate, for bodily injury, personal injury, and property damage, and a $4,000,000 completed operations aggregate. The policy must include contractual liability that has not been amended. Any endorsement restricting standard ISO “insured contract” language will not be accepted.
3. Automobile Liability Insurance. Contractor shall maintain automobile insurance at least as broad as Insurance Services Office form CA 00 01 covering bodily injury and property damage for all activities of the Contractor arising out of or in connection with Work to be performed under this Contract, including coverage for any owned, hired, non-owned or rented vehicles, in an amount not less than $1,000,000 combined single limit for each accident.
4. Umbrella or Excess Liability Insurance. Contractor may opt to utilize umbrella or excess liability insurance in meeting insurance requirements. In such circumstances, Contractor may obtain and maintain an umbrella or excess liability insurance policy with limits that will provide bodily injury, personal injury, and property damage liability coverage at least as broad as the primary coverages set forth above, including commercial general liability, automotive liability and employer’s liability. Such policy or policies shall include the following terms and conditions:
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A drop-down feature requiring the policy to respond in the event that any primary insurance that would otherwise have applied proves to be uncollectible in whole or in part for any reason;
(a) Pay on behalf of wording as opposed to reimbursement; and (b) Concurrency of effective dates with primary policies; and (c) Policies shall “follow form” to the underlying primary policies; and (d) Insureds under primary policies shall also be insureds under the umbrella or excess policies.
5. Workers’ Compensation Insurance. Contractor shall maintain Workers’ Compensation Insurance (Statutory Limits) and Employer’s Liability Insurance (with limits of at least $1,000,000) for Contractor’s employees in accordance with the laws of the State of California, Section 3700 of the Labor Code. In addition, Contractor shall require each subcontractor to similarly maintain Workers’ Compensation Insurance and Employer’s Liability Insurance in accordance with the laws of the State of California, Section 3700 for all of the subcontractor’s employees. Contractor shall submit to City, along with the certificate of insurance, a Waiver of Subrogation endorsement in favor of the City, its officers, agents, employees, and volunteers.
6. Fidelity Coverage. Reserved.
7. Pollution Liability Insurance. Environmental Impairment Liability Insurance shall be written on a Contractor’s Pollution Liability form or other form acceptable to the City providing coverage for liability arising out of sudden, accidental, and gradual pollution and remediation. The policy limit shall be no less than $1,000,000 dollars per claim and in the aggregate. All activities contemplated in this Agreement shall be specifically scheduled on the policy as “covered operations”. The policy shall provide coverage for the hauling of waste from the Project site to the final disposal location, including non-owned disposal sites.
C.Other Provisions or Requirements
1. Proof of Insurance. Contractor shall provide certificates of insurance to City as evidence of the insurance coverage required herein, along with a waiver of subrogation endorsement for workers’ compensation. Insurance certificates and endorsements must be approved by City’s Risk Manager prior to commencement of performance. Current certification of insurance shall be kept on file with City at all times during the term of this contract. City reserves the right to require complete, certified copies of all required insurance policies, at any time.
2. Duration of Coverage. Contractor shall procure and maintain for the duration of the 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 by Contractor, its agents, representatives, employees, or subcontractors.
Contractor must maintain general liability and umbrella or excess liability insurance for as long as there is a statutory exposure to completed operations claims. The City and its officers, officials, employees, and agents shall continue as additional insureds under such policies.
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3. Primary/Non-Contributing. Coverage provided by Contractor shall be primary and any insurance or self-insurance procured or maintained by City shall not be required to contribute with it. The limits of insurance required herein may be satisfied by a combination of primary and umbrella or excess insurance. Any umbrella or excess insurance shall contain or be endorsed to contain a provision that such coverage shall also apply on a primary and non-contributory basis for the benefit of City before the City’s own insurance or self-insurance shall be called upon to protect it as a named insured.
4. Products/Completed Operations Coverage. Products/completed operations coverage shall extend a minimum of three (3) years after project completion.
Coverage shall be included on behalf of the insured for covered claims arising out of the actions of independent contractors. If the insured is using subcontractors, the Policy must include work performed “by or on behalf” of the insured. Policy shall contain no language that would invalidate or remove the insurer’s duty to defend or indemnify for claims or suits expressly excluded from coverage. Policy shall specifically provide for a duty to defend on the part of the insurer. The City, its officials, officers, agents, and employees, shall be included as additional insureds under the Products and Completed Operations coverage.
5. City’s Rights of Enforcement. In the event any policy of insurance required under this Contract does not comply with these requirements, or is canceled and not replaced, City has the right, but not the duty, to obtain the insurance it deems necessary, and any premium paid by City will be promptly reimbursed by Contractor, or City will withhold amounts sufficient to pay premium from Contractor payments. In the alternative, City may cancel this Contract.
6. Acceptable Insurers. All insurance policies shall be issued by an insurance company currently authorized by the Insurance Commissioner to transact business of insurance or is on the List of Approved Surplus Line Insurers in the State of California, with an assigned policyholders’ Rating of A- (or higher) and Financial Size Category Class VII (or larger) in accordance with the latest edition of Best’s Key Rating Guide, unless otherwise approved by the City’s Risk Manager.
7. Waiver of Subrogation. All insurance coverage maintained or procured pursuant to this agreement shall be endorsed to waive subrogation against the City, its elected or appointed officers, agents, officials, employees, and volunteers, or shall specifically allow Contractor or others providing insurance evidence in compliance with these specifications to waive their right of recovery prior to a loss. Contractor hereby waives its own right of recovery against the City, its elected or appointed officers, agents, officials, employees, and volunteers and shall require similar written express waivers and insurance clauses from each of its subcontractors.
8. Enforcement of Contract Provisions (non estoppel). Contractor acknowledges and agrees that any actual or alleged failure on the part of the City to inform Contractor of non-compliance with any requirement imposes no additional obligations on the City nor does it waive any rights hereunder.
9. Requirements Not Limiting. Requirements of specific coverage features or limits contained in this Section are not intended as a limitation on coverage, limits or other requirements, or a waiver of any coverage normally provided by any insurance. Specific reference to a given coverage feature is for purposes of clarification only as it pertains to a given issue and is not intended by any party or insured to be all inclusive, or to the exclusion of other coverage, or a waiver of any 478
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type. If the Contractor maintains higher limits than the minimums shown above, the City requires and shall be entitled to coverage for the higher limits maintained by the Contractor. Any available insurance proceeds in excess of the specified minimum limits of insurance and coverage shall be available to the City.
10. Notice of Cancellation. Contractor agrees to oblige its insurance agent or broker and insurers to provide to City with a thirty (30) Day notice of cancellation (except for nonpayment for which a ten (10) Day notice is required) or nonrenewal of coverage for each required coverage.
11. Additional Insured Status. General liability, automobile liability, and if applicable, pollution liability policies shall provide or be endorsed to provide that the City and its officers, officials, employees, agents, and volunteers shall be additional insureds under such policies. This provision shall also apply to any excess/umbrella liability policies. Coverage shall be at least as broad as coverage provided by ISO’s Owners, Lessees, or Contractors Additional Insured Endorsement for the ongoing (i.e. ISO Form CG 20 10 07 04) and completed operations (i.e. ISO Form CG 20 37 07 04) of Contractor.
12. Prohibition of Undisclosed Coverage Limitations. None of the coverages required herein will be in compliance with these requirements if they include any limiting endorsement of any kind that has not been first submitted to City and approved of in writing.
13. Separation of Insureds. A severability of interests provision must apply for all additional insureds ensuring that Contractor’s insurance shall apply separately to each insured against whom claim is made or suit is brought, except with respect to the insurer’s limits of liability. The policy(ies) shall not contain any cross-liability exclusions.
14. Pass Through Clause. Contractor agrees to ensure that its sub-consultants, subcontractors, and any other party involved with the Project who is brought onto or involved in the project by Contractor, provide the same minimum insurance coverage and endorsements required of Contractor. Contractor agrees to monitor and review all such coverage and assumes all responsibility for ensuring that such coverage is provided in conformity with the requirements of this section. Contractor agrees that upon request, all agreements with consultants, subcontractors, and others engaged in the Project will be submitted to City for review.
15. City’s Right to Revise Requirements. The City or its Risk Manager reserves the right at any time during the term of the contract to change the amounts and types of insurance required by giving the Contractor ninety (90) Days advance written notice of such change. If such change results in substantial additional cost to the Contractor, the City and Contractor may renegotiate Contractor’s compensation. If the City reduces the insurance requirements, the change shall go into effect immediately and require no advanced written notice.
16. Self-Insured Retentions. Any self-insured retentions must be declared to and approved by City. City reserves the right to require that self-insured retentions be eliminated, lowered, or replaced by a deductible. Self-insurance will not be considered to comply with these specifications unless approved by City.
17. Timely Notice of Claims. Contractor shall give City prompt and timely notice of claims made or suits instituted that arise out of or result from Contractor’s performance under this Contract, and that involve or may involve coverage under any of the required liability policies.
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18. Additional Insurance. Contractor shall also procure and maintain, at its own cost and expense, any additional kinds of insurance, which in its own judgment may be necessary for its proper protection and prosecution of the Work.
19. Safety. Contractor shall execute and maintain its work so as to avoid injury or damage to any person or property. In carrying out its Services, the Contractor shall at all times be in compliance with all applicable local, state and federal laws, rules and regulations, and shall exercise all necessary precautions for the safety of employees appropriate to the nature of the work and the conditions under which the work is to be performed. Safety precautions, where applicable, shall include, but shall not be limited to: (A) adequate life protection and lifesaving equipment and procedures; (B) instructions in accident prevention for all employees and subcontractors, such as safe walkways, scaffolds, fall protection ladders, bridges, gang planks, confined space procedures, trenching and shoring, equipment and other safety devices, equipment and wearing apparel as are necessary or lawfully required to prevent accidents or injuries; and (C) adequate facilities for the proper inspection and maintenance of all safety measures.
ARTICLE 8. PREVAILING WAGES.
Contractor shall be required to pay the prevailing rate of wages in accordance with the Labor Code which such rates shall be made available at the City’s Office or may be obtained online at http://www.dir.ca.gov and which must be posted at the job site.
ARTICLE 9. FALSE CLAIMS.
Contractor acknowledges that if a false claim is submitted to the City, it may be considered fraud and Contractor may be subject to criminal prosecution. Contractor acknowledges that the False Claims Act, California Government Code sections 12650, et seq., provides for civil penalties where a person knowingly submits a false claim to a public entity.
These provisions include within their scope false claims made with deliberate ignorance of the false information or in reckless disregard of the truth or falsity of the information. In the event the City seeks to recover penalties pursuant to the False Claims Act, it is entitled to recover its litigation costs, including attorneys’ fees.
Contractor hereby acknowledges that the filing of a false claim may the Contractor to an administrative debarment proceeding wherein Contractor may be prevented from further bidding on public contracts for a period of up to five (5) years. [SIGNATURES ON FOLLOWING PAGE]
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SIGNATURE PAGE TO LONG FORM CONSTRUCTION AGREEMENT
BY AND BETWEEN THE CITY OF PALM DESERT
AND AMERICAN ASPHALT SOUTH, INC.
IN WITNESS WHEREOF, each of the Parties has caused this Agreement to be executed on the day and year first above written.
CITY OF PALM DESERT
By:
Chris Escobedo
Interim City Manager
Attest:
By:
Anthony J. Mejia
City Clerk
Approved as to form:
By:
Isra Shah
Best Best & Krieger LLP
City Attorney
AMERICAN ASPHALT SOUTH, INC., AN S
CORPORATION
By:
Jeff Petty
President
By:
Tyler Skender
Secretary
Contractor’s License Number and
Classification
DIR Registration Number (if applicable)
City Clerk QC: _____
Contracts QC: _____
Insurance:
_____
Initial Review
_____
Final Approval
_____
Bonds
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Exhibit “C”
Revised 11-2-20
BBK 72500.00001\32374915.1
PERFORMANCE BOND
KNOW ALL PERSONS BY THESE PRESENTS:
THAT WHEREAS, the City of Palm Desert (hereinafter referred to as “City”) has awarded to American Asphalt South, Inc., (hereinafter referred to as the “Contractor”) an agreement for the 2025 Slurry Seal Project (hereinafter referred to as the “Project”).
WHEREAS, the work to be performed by the Contractor is more particularly set forth in the Contract Documents for the Project dated April 14, 2025, (hereinafter referred to as “Contract Documents”), the terms and conditions of which are expressly incorporated herein by reference; and
WHEREAS, the Contractor is required by said Contract Documents to perform the terms thereof and to furnish a bond for the faithful performance of said Contract Documents.
NOW, THEREFORE, we, American Asphalt South, Inc., the undersigned Contractor and _____________________________________________ as Surety, a corporation organized and duly authorized to transact business under the laws of the State of California, are held and firmly bound unto the City in the sum of Two million seven hundred ten thousand one hundred seventyfive Dollars, ($2,710,175), said sum being not less than one hundred percent (100%) of the total amount of the Contract, for which amount well and truly to be made, we bind ourselves, our heirs, executors and administrators, successors and assigns, jointly and severally, firmly by these presents.
THE CONDITION OF THIS OBLIGATION IS SUCH, that, if the Contractor, his or its heirs, executors, administrators, successors or assigns, shall in all things stand to and abide by, and well and truly keep and perform the covenants, conditions and agreements in the Contract Documents and any alteration thereof made as therein provided, on its part, to be kept and performed at the time and in the manner therein specified, and in all respects according to their intent and meaning; and shall faithfully fulfill all obligations including the one-year guarantee of all materials and workmanship; and shall indemnify and save harmless the City, its elected or appointed officers, and their respective agents, officials, employees, volunteers and representatives, as stipulated in said Contract Documents, then this obligation shall become null and void; otherwise it shall be and remain in full force and effect.
As a condition precedent to the satisfactory completion of the Contract Documents, unless otherwise provided for in the Contract Documents, the above obligation shall hold good for a period of one (1) year after the acceptance of the work by City, during which time if Contractor shall fail to make full, complete, and satisfactory repair and replacements and totally protect the City from loss or damage resulting from or caused by defective materials or faulty workmanship, Surety shall undertake and faithfully fulfill all such obligations. The obligations of Surety hereunder shall continue so long as any obligation of Contractor remains. Nothing herein shall limit the City’s rights or the Contractor or Surety’s obligations under the Contract, law, or equity, including, but not limited to, California Code of Civil Procedure section 337.15.
Whenever Contractor shall be, and is declared by the City to be, in default under the Contract Documents, the Surety shall remedy the default pursuant to the Contract Documents, or shall promptly, at the City’s option:
(1) Take over and complete the Project in accordance with all terms and conditions in the Contract Documents; or
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(2) Obtain a bid or bids for completing the Project in accordance with all terms and conditions in the Contract Documents and upon determination by Surety of the lowest responsive and responsible bidder, arrange for a Contract between such bidder, the Surety and the City, and make available as work progresses sufficient funds to pay the cost of completion of the Project, less the balance of the contract price, including other costs and damages for which Surety may be liable. The term “balance of the contract price” as used in this paragraph shall mean the total amount payable to Contractor by the City under the Contract and any modification thereto, less any amount previously paid by the City to the Contractor and any other set offs pursuant to the Contract Documents.
(3) Permit the City to complete the Project in any manner consistent with local, California and federal law and make available as work progresses sufficient funds to pay the cost of completion of the Project, less the balance of the contract price, including other costs and damages for which Surety may be liable. The term “balance of the contract price” as used in this paragraph shall mean the total amount payable to Contractor by the City under the Contract and any modification thereto, less any amount previously paid by the City to the Contractor and any other set offs pursuant to the Contract Documents.
Surety expressly agrees that the City may reject any contractor or subcontractor which may be proposed by Surety in fulfillment of its obligations in the event of default by the Contractor.
Surety shall not utilize Contractor in completing the Project nor shall Surety accept a bid from Contractor for completion of the Project if the City, when declaring the Contractor in default, notifies Surety of the City’s objection to Contractor’s further participation in the completion of the Project.
The Surety, for value received, hereby stipulates and agrees that no change, extension of time, alteration or addition to the terms of the Contract Documents or to the Project to be performed thereunder shall in any way affect its obligations on this bond, and it does hereby waive notice of any such change, extension of time, alteration or addition to the terms of the Contract Documents or to the Project, including but not limited to the provisions of sections 2819 and 2845 of the California Civil Code.
[SIGNATURES ON NEXT PAGE]
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IN WITNESS WHEREOF, we have hereunto set our hands and seals this _______ day of ______________, 20____.
(Corporate Seal)
Contractor/ Principal
By ____________________ ____
Printed name: _______________________
Title: ______________________________
(Corporate Seal) Surety
By: ________________________________
Printed Name: _______________________
Attorney-in-Fact
(Attach Attorney-in-Fact Certificate)
Signatures of those signing for the Contractor and Surety must be notarized and evidence of corporate authority attached.
The rate of premium on this bond is ____________ per thousand. The total amount of premium charges, $_______________________________.
(The above must be filled in by corporate attorney.)
THIS IS A REQUIRED FORM
Any claims under this bond may be addressed to:
(Name and Address of Surety)
(Name and Address of Agent or
Representative for service of
process in California, if different
from above)
(Telephone number of Surety and
Agent or Representative for
service of process in California)
NOTE: A copy of the Power-of-Attorney authorizing the person signing on behalf of the Surety to do so must be attached hereto.
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NOTE: This acknowledgment is to be completed for Contractor/Principal.
Notary Acknowledgment
A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document.
STATE OF CALIFORNIA
COUNTY OF ______________
On , 20___, before me, _______________________________, Notary Public, personally appeared ___________________________ , who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument.
I certify under PENALTY OF PERJURY under the laws of
the State of California that the foregoing paragraph is true and correct.
WITNESS my hand and official seal.
Signature of Notary Public
OPTIONAL
Though the information below is not required by law, it may prove valuable to persons relying on the document and could prevent fraudulent removal and reattachment of this form to another document.
CAPACITY CLAIMED BY SIGNER DESCRIPTION OF ATTACHED DOCUMENT Individual
Corporate Officer
Title(s) Title or Type of Document
Partner(s) Limited
General Number of Pages
Attorney-In-Fact
Trustee(s)
Guardian/Conservator Date of Document
Other:
Signer is representing:
Name Of Person(s) Or Entity(ies)
Signer(s) Other Than Named Above
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NOTE: This acknowledgment is to be completed for the Attorney-in-Fact. The Power-of-Attorney to local representatives of the bonding company must also be attached.
Notary Acknowledgment
A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document.
STATE OF CALIFORNIA
COUNTY OF ______________
On , 20___, before me, _______________________________, Notary Public, personally appeared _____________________________ , who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument.
I certify under PENALTY OF PERJURY under the laws of
the State of California that the foregoing paragraph is true and correct.
WITNESS my hand and official seal.
Signature of Notary Public
OPTIONAL
Though the information below is not required by law, it may prove valuable to persons relying on the document and could prevent fraudulent removal and reattachment of this form to another document.
CAPACITY CLAIMED BY SIGNER DESCRIPTION OF ATTACHED DOCUMENT Individual
Corporate Officer
Title(s) Title or Type of Document
Partner(s) Limited
General Number of Pages
Attorney-In-Fact
Trustee(s)
Guardian/Conservator Date of Document
Other:
Signer is representing:
Name Of Person(s) Or Entity(ies)
Signer(s) Other Than Named Above
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PAYMENT BOND
KNOW ALL PERSONS BY THESE PRESENTS That
WHEREAS, the City of Palm Desert (hereinafter designated as the “City”), by action taken or a resolution passed May 22, 2025, has awarded to American Asphalt South, Inc., hereinafter designated as the “Principal,” a contract for the work described as follows:
2025 Slurry Seal Project (the “Project”).; and
WHEREAS, the work to be performed by the Principal is more particularly set forth in the Contract Documents for the Project dated April 14, 2025, (“Contract Documents”), the terms and conditions of which are expressly incorporated by reference; and WHEREAS, said Principal is required to furnish a bond in connection with said contract; providing that if said Principal or any of its Subcontractors shall fail to pay for any materials, provisions, provender, equipment, or other supplies used in, upon, for or about the performance of the work contracted to be done, or for any work or labor done thereon of any kind, or for amounts due under the Unemployment Insurance Code or for any amounts required to be deducted, withheld, and paid over to the Employment Development Department from the wages of employees of said Principal and its Subcontractors with respect to such work or labor the Surety on this bond will pay for the same to the extent hereinafter set forth.
NOW THEREFORE, we, the Principal and __________________________ as Surety, are held and firmly bound unto the City in the penal sum of Two million seven hundred ten thousand one hundred seventy-five Dollars, ($2,710,175) lawful money of the United States of America, for the payment of which sum well and truly to be made, we bind ourselves, our heirs, executors, administrators, successors and assigns, jointly and severally, firmly by these presents.
THE CONDITION OF THIS OBLIGATION IS SUCH that if said Principal, his or its subcontractors, heirs, executors, administrators, successors or assigns, shall fail to pay any of the persons named in Section 9100 of the Civil Code, fail to pay for any materials, provisions or other supplies, used in, upon, for or about the performance of the work contracted to be done, or for any work or labor thereon of any kind, or amounts due under the Unemployment Insurance Code with respect to work or labor performed under the contract, or for any amounts required to be deducted, withheld, and paid over to the Employment Development Department or Franchise Tax Board from the wages of employees of the contractor and his subcontractors pursuant to Section 18663 of the Revenue and Taxation Code, with respect to such work and labor the Surety or Sureties will pay for the same, in an amount not exceeding the sum herein above specified, and also, in case suit is brought upon this bond, all litigation expenses incurred by City in such suit, including reasonable attorneys’ fees, court costs, expert witness fees and investigation expenses.
This bond shall inure to the benefit of any of the persons named in Section 9100 of the Civil Code so as to give a right of action to such persons or their assigns in any suit brought upon this bond.
It is further stipulated and agreed that the Surety on this bond shall not be exonerated or released from the obligation of this bond by any change, extension of time for performance, addition, alteration or modification in, to, or of any contract, plans, specifications, or agreement pertaining or relating to any scheme or work of improvement herein above described, or pertaining or relating to the furnishing of labor, materials, or equipment therefore, nor by any change or 488
Contract No. ___________
modification of any terms of payment or extension of the time for any payment pertaining or relating to any scheme or work of improvement herein above described, nor by any rescission or attempted rescission of the contract, agreement or bond, nor by any conditions precedent or subsequent in the bond attempting to limit the right of recovery of claimants otherwise entitled to recover under any such contract or agreement or under the bond, nor by any fraud practiced by any person other than the claimant seeking to recover on the bond and that this bond be construed most strongly against the Surety and in favor of all persons for whose benefit such bond is given, and under no circumstances shall Surety be released from liability to those for whose benefit such bond has been given, by reason of any breach of contract between the owner or City and original contractor or on the part of any obligee named in such bond, but the sole conditions of recovery shall be that claimant is a person described in Section 9100 of the Civil Code, and has not been paid the full amount of his claim and that Surety does hereby waive notice of any such change, extension of time, addition, alteration or modification herein mentioned and the provisions of sections 2819 and 2845 of the California Civil Code.
[SIGNATURES ON NEXT PAGE]
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Contract No. ___________
IN WITNESS WHEREOF, we have hereunto set our hands and seals this _______ day of ______________, 20__.
(Corporate Seal)
Contractor/ Principal
By ____________________ ____
Printed name: _______________________
Title: ______________________________
(Corporate Seal) Surety
By: ________________________________
Printed Name: _______________________
Attorney-in-Fact
(Attach Attorney-in-Fact Certificate)
Signatures of those signing for the Contractor and Surety must be notarized and evidence of corporate authority attached. A Power-of-Attorney authorizing the person signing on behalf of the Surety to do so much be attached hereto.
NOTE: A copy of the Power-of-Attorney authorizing the person signing on behalf of the Surety to do so must be attached hereto.
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Contract No. ___________
NOTE: This acknowledgment is to be completed for Contractor/Principal.
Notary Acknowledgment
A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document.
STATE OF CALIFORNIA
COUNTY OF ______________
On _________________, 20___, before me, _______________________________, Notary Public, personally appeared _______________________________ , who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument.
I certify under PENALTY OF PERJURY under the laws of
the State of California that the foregoing paragraph is true and correct.
WITNESS my hand and official seal.
Signature of Notary Public
OPTIONAL
Though the information below is not required by law, it may prove valuable to persons relying on the document and could prevent fraudulent removal and reattachment of this form to another document.
CAPACITY CLAIMED BY SIGNER DESCRIPTION OF ATTACHED DOCUMENT Individual
Corporate Officer
Title(s) Title or Type of Document
Partner(s) Limited
General Number of Pages
Attorney-In-Fact
Trustee(s)
Guardian/Conservator Date of Document
Other:
Signer is representing:
Name Of Person(s) Or Entity(ies)
Signer(s) Other Than Named Above
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NOTE: This acknowledgment is to be completed for the Attorney-in-Fact. The Power-of-Attorney to local representatives of the bonding company must also be attached.
Notary Acknowledgment
A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document.
STATE OF CALIFORNIA
COUNTY OF ______________
On _________________, 20___, before me, _______________________________, Notary Public, personally appeared _______________________________ , who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument.
I certify under PENALTY OF PERJURY under the laws of
the State of California that the foregoing paragraph is true and correct.
WITNESS my hand and official seal.
Signature of Notary Public
OPTIONAL
Though the information below is not required by law, it may prove valuable to persons relying on the document and could prevent fraudulent removal and reattachment of this form to another document.
CAPACITY CLAIMED BY SIGNER DESCRIPTION OF ATTACHED DOCUMENT Individual
Corporate Officer
Title(s) Title or Type of Document
Partner(s) Limited
General Number of Pages
Attorney-In-Fact
Trustee(s)
Guardian/Conservator Date of Document
Other:
Signer is representing:
Name Of Person(s) Or Entity(ies)
Signer(s) Other Than Named Above
492
Item No.Description Quantity Units Unit Cost Total
1 Mobilization 1 LS $25,000.00 $25,000.00
2 Traffic Control 1 LS $138,500.00 $138,500.00
3 Micro Mill Asphalt Concrete 8,000 LF $3.85 $30,800.00 4 Remove Striping, Pavement Markings, and Pavement 1 LS $181,500.00 $181,500.00 5 Rubberized Crack Seal / HMA Crack fill 1 LS $376,333.00 $376,333.00 6 Type II Rubberized Slurry Seal 8,100,000 SF $.17 $1,377,000.00 7 Signing and Striping - Slurry Seal 1 LS $572,000.00 $572,000.00 8 Install Traffic Signal Loop Detectors 12 EA $753.50 $9,042.00 Sub-Total $2,710,175.00
Item No.Description Quantity Units Unit Cost Total
A-1 Furnish and Install Shur-Curb 380 EA $385.00 $146,300.00 Grand Total Bid 2,856,475.00
2025 Slurry Seal Project
American Asphalt South, Inc.
Slurry Seal - Base Bid
Slurry Seal - Bid Alternate #1
493
494
HOVLEY LN E
PORTOLA AVE
COUNTRY CLUB DR
COOK ST
COUNTRY CLUB DR
HOVLEY LN E
COOK ST
MAGNESIA FALLS DRSAN PABLO AVE
ELDORADO DR
HOVLEY LN E
OASIS CLUB DR
COUNTRY CLUB DR
WASHINGTON ST
FRANK SINATRA DR
ELDORADO DR
TAMARISK ROW DR
INTERSTATE 10
COOK ST
FRANK SINATRA DR
PORTOLA AVE
MONTEREY AVE
MONTEREY AVE
PORTOLA AVE
GERALD FORD DR
COOK ST
GERALD FORD DR
DINAH SHORE DR
INTERSTATE 10
HOVLEY LN W
PORTOLA AVE
HWY 111
TOWN CENTER WAY
MONTEREY AVE
FRED WARING DR WARNER TRL
FRED WARING DR
HWY 111
EL PASEO
DEEP CANYON RD
COOK ST
FAIRWAY DR
MOUNTAIN DR
SHADOW
MONTEREY AVE
EL PASEO
FRED WARING DR
ELDORADO DR
VARNER RD
VARNER RD
MILES AVE
DINAH SHORE DR
Copyright nearmap 2015
2025 Slurry Seal Project
7,862,397 SQ FT
I
VICINITY MAP 495
496
CITY OF PALM DESERT
STAFF REPORT
MEETING DATE: May 22, 2025
PREPARED BY: Ryan Gayler, Capital Projects Manager
SUBJECT: AWARD CONSTRUCTION CONTRACT TO VANCE CORPORATION FOR THE EL PASEO STREET REHABILITATION PROJECT, PROJECT NO.
CST00024 – CALIFORNIA ENVIRONMENTAL QUALITY ACT (CEQA)
DETERMINATION
RECOMMENDATION:
1. Make a finding that the project is categorically exempt from further review under the California Environmental Quality Act (CEQA) Guidelines, pursuant to Class 1, Section 15301 (Existing Facilities), and authorize the City Engineer to submit a Notice of Exemption.
2. Award a construction contract, including Bid Alternates 1 and 2, to Vance Corporation of Beaumont, CA, in the amount of $4,803,488.92 for the El Paseo Street Rehabilitation Project (Project No. CST00024 / Project ID 2025-IFB-182).
3. Authorize an appropriation in the amount of $1,493,489 from Unobligated Gas Tax Funds to Account No. 2114314-4400200, and in the amount of $250,000 from Unobligated Capital Bond Funds to Account No. 4514679-5000102.
4. Authorize the Director of Finance to set aside 10% contingency in the amount of $480,000.
5. Authorize the City Attorney to make any non-monetary changes to the agreement.
6. Authorize the City Manager to execute the agreement and any written requests for change orders up to the contingency amount, amendments, and any other documents necessary to effectuate this action, in accordance with Palm Desert Municipal Code Section 3.30.170(B).
7. Authorize the City Manager to execute the Notice of Completion (NOC) and the City Clerk to file the NOC upon satisfactory completion of the project.
BACKGROUND/ANALYSIS:
The asphalt on El Paseo, from Highway 74, east to Highway 111, has significantly deteriorated.
To assess the appropriate rehabilitation method, the City engaged Applied Research Associates, Inc. (ARA) to perform pavement testing and analysis. ARA’s testing—consisting of core samples, ground-penetrating radar, and falling weight deflectometer—concluded that a fulldepth reclamation (FDR) approach was most appropriate.
Under this method, the existing asphalt and base will be pulverized and blended to create a more durable 5-inch aggregate base, followed by a 5-inch layer of warm-mix asphalt concrete.
This treatment will restore structural integrity and extend pavement life. In addition to street rehabilitation, the project will include the reconstruction of the two existing raised mid-block crossings on El Paseo, and the construction of three new mid-block crossings. The crossings will be upgraded from an asphalt concrete walking surface to pavers. 497
City of Palm Desert
Award Contract for the El Paseo Street Rehabilitation Project (CST00024)
The rehabilitation of El Paseo from Highway 74, easterly to Highway 111 was initially scheduled for last summer. The project would have required the removal of the dining decks on El Paseo.
There was concern that the operators of the dining decks did not have enough time to prepare for the removal and possible reconstruction of the decks, so the street rehabilitation was rescheduled for this summer. Staff have been providing information to the dining deck operators as well as the El Paseo Business Improvement District about the upcoming project. The dining deck operators have been notified of the need to remove the dining deck prior to the start of the street construction. Bid Alternate #1 was included so that the contractor can be directed to remove any dining decks in the event they were not removed by the owner.
The project was advertised via the City’s bid portal (OpenGov), and five bids were received electronically on May 8, 2025:
Contractor Location Base Bid Bid Alt #1 Bid Alt #2 Bid total Vance Corporation Beaumont, CA $4,563,402.98 $32,251.24 $207,834.70 $4,803,488.92 Granite Construction Company Indio, CA $4,566,020.00 $35,000.00 $236,500.00 $4,837,520.00 Calmex Engineering Bloomington, CA $4,708,580.00 $35,000.00 $247,400.00 $4,990,980.00 R.J. Noble Company San Diego, CA $4,877,998.00 $24,500.00 $236,500.00 $5,138,998.00 Matich Corporation San Bernardino, CA $4,837,250.00 $44,700.00 $261,000.00 $5,142,950.00 The low bidder is determined by the base bid amount, plus Alternates #1 and #2. Bid Alternate #1 is to remove the dining decks from the street. Bid Alternate #2 is to adjust CVWD valves and manholes. The low bidder, Vance Corporation, has completed projects of similar size and scope recently, and they are qualified to perform the work.
Construction of the project is anticipated to begin in mid-June. Due to the nature of the work and existing conditions, several challenges are anticipated. El Paseo experiences high traffic volumes, and street rehabilitation will require substantial temporary traffic control measures. The project involves removing the existing pavement to a depth of ten inches, and the street is too narrow to safely maintain traffic alongside construction equipment. As a result, vehicular traffic will be reduced to one lane in each direction and shifted to the opposite side of the roadway.
Construction will be completed in phases, divided into segments from Highway 74 to San Pablo Avenue, San Pablo Avenue to Portola Avenue, and Portola Avenue to Highway 111. The contractor will provide nearby businesses with timely updates regarding traffic control measures and work schedules, including the finalized phasing plan. Changeable message signs will also be deployed to give drivers advance notice of upcoming work. Additionally, the contractor will be utilizing the city-owned lot on the northeast corner of Ocotillo and Tumbleweed as a staging area.
498
City of Palm Desert
Award Contract for the El Paseo Street Rehabilitation Project (CST00024)
Pursuant to Contract No. C31910 between the City and the Coachella Valley Water District (CVWD), all paving projects include an additive alternate bid item to raise the valves and manholes to the new finished surface on behalf of CVWD. CVWD has the option of accepting the price from the City’s contractor and reimbursing the City for the work or using their own forces to perform the work. CVWD has accepted the price of Bid Alternate #2 provided by the contractor for the subject alternate bid item, which is $207,834.70. Therefore, the City will be reimbursed by CVWD for work done on their behalf upon completion of the project.
Public Notice
The contractor will provide advance notice to businesses regarding construction schedules and traffic control via flyers and changeable message signs. In addition, the City will perform periodic visits to the businesses and maintain a webpage on Engage Palm Desert to provide real-time updates on the project.
Legal Review:
This report has been reviewed by the City Attorney’s Office.
Environmental Review:
Staff recommends that the City Council find that the project is categorically exempt from CEQA, pursuant to Class 1, Section 15301 (Existing Facilities) under the CEQA Guidelines, as the project involves the repair and maintenance of existing streets, sidewalks, gutters, and similar facilities.
FINANCIAL IMPACT:
Funding for this project is included in the approved FY 2024-25 Capital Improvement Project (CIP) list, with $3,540,000 allocated from various funds for street improvements (Measure A, Gas Tax, and Capital Bond). However, an appropriation of $1,743,489 will be needed to fully fund the project. Staff will reduce the Budget Request in the FY 2025-26 CIP for Gas Tax and Capital Bond Funds prior to formal adoption in June. This action will have no impact on the General Fund.
Project – CST00024
El Paseo Street Rehabilitation Project
Approved
Budget
Appropriation
Request
Total
Amount
Gas Tax (2114134-4400200) 2,790,000 $1,493,489 $4,283,489 Measure A (2134134-4400200) 500,000 500,000
Capital Bond Funds (4514679-5000102) 250,000 250,000 500,000 Construction: Vance Corporation (rounded) (4,803,489)
Construction: Contingency ( 480,000)
Balance Available $ 3,540,000 $ 1,743,489 $0
499
City of Palm Desert
Award Contract for the El Paseo Street Rehabilitation Project (CST00024)
ATTACHMENTS:
1. Contract Agreement
2. Performance and Payment Bonds
3. Contractor’s Bid
4. Notice of Exemption - CEQA
5. Vicinity Map
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CITY OF PALM DESERT
CONTRACT FOR CONSTRUCTION
This Agreement is made and entered into this 22nd day of May, 2025, by and between the City of Palm Desert, a municipal corporation organized under the laws of the State of California with its principal place of business at 73-510 Fred Waring Drive, Palm Desert, California 92260-2578, (“City”) and Vance Corporation, an S Corporation, with its principal place of business at 459 Egan Avenue, Beaumont, CA 92223 ("Contractor").
WITNESSETH: That the parties hereto have mutually covenanted and agreed, and by these presents do covenant and agree with each other as follows:
ARTICLE 1. SCOPE OF WORK.
The Contractor shall perform all Work within the time stipulated in the Contract, and shall provide all labor, materials, equipment, tools, utility services, and transportation to complete all of the Work required in strict compliance with the Contract Documents as specified in Article 5, below, for the following Project:
El Paseo Street Rehabilitation Project
Project No. CST00024
(hereinafter referred to as “the Project”).
The project will rehabilitate the asphalt concrete street section from Highway 74, east to Highway 111. The items of work consist of mobilization, traffic control, lowering valves and manholes, concrete removal, cold milling, full depth reclamation, pulverizing the existing street section into base material, constructing asphalt concrete paving, installing raised mid-block crossings with pavers and warning lighting, portland cement concrete improvements, installing traffic signal loops and pull boxes, striping with paint, construction of storm drain infrastructure, and raising valve and manhole covers to grade.
Contractor is an independent contractor and not an agent of the City. The Contractor and its surety shall be liable to the City for any damages arising as a result of the Contractor’s failure to comply with this obligation.
ARTICLE 2. TIME FOR COMPLETION.
Time is of the essence in the performance of the Work. The Work shall be commenced on the date stated in the City’s Notice to Proceed. The Contractor shall complete all Work required by the Contract Documents within 100 Calendar Days from the commencement date stated in the Notice to Proceed. By its signature hereunder, Contractor agrees the time for completion set forth above is adequate and reasonable to complete the Work.
ARTICLE 3. CONTRACT PRICE.
The City shall pay to the Contractor as full compensation for the performance of the Contract, subject to any additions or deductions as provided in the Contract Documents, and including all applicable taxes and costs, the sum of Four million eight hundred three thousand four hundred eighty-eight and 92/100 Dollars ($4,803,488.92). Payment shall be made as set forth in the General Conditions. The City will pay to Contractor compensation based upon the prices set forth in the Bid Schedule. 501
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ARTICLE 4. LIQUIDATED DAMAGES.
Contractor acknowledges that the City will sustain actual damages for each and every Day completion of the Project is delayed beyond the Contract Time. Because of the nature of the Project, it would be impracticable or extremely difficult to determine the City’s actual damages. Accordingly, in accordance with Government Code section 53069.85, it is agreed that the Contractor will pay the City the sum of $1,000.00 for each and every Day of delay beyond the time prescribed in the Contract Documents for finishing the Work, as Liquidated Damages and not as a penalty or forfeiture.
Notwithstanding the foregoing, City and Contractor acknowledge and agree that a milestone date of September 30, 2025 has been established whereby all work must be completed on El Paseo from Highway 74 to Portola Avenue due to certain Special Events scheduled within the project limits that are to take place in October 2025. Consequently, the City and Contractor further acknowledge and agree that liquidated damages shall increase to $5,000.00 for each and every Day beyond the September 30, 2025 milestone date. In the event this is not paid, the Contractor agrees the City may deduct that amount from any money due or that may become due the Contractor under the Contract. This Section does not exclude recovery of other damages specified in the Contract Documents. Liquidated damages may be deducted from progress payments due Contractor, Project retention or may be collected directly from Contractor, or from Contractor's surety. These provisions for liquidated damages shall not prevent the City, in case of Contractor's default, from terminating the Contractor.
ARTICLE 5. COMPONENT PARTS OF THE CONTRACT.
The “Contract Documents” include the following:
Notice Inviting Bids
Instructions to Bidders
Bid Forms
Bid Acknowledgement
Bid Schedule
Bid Guarantee
Designation of Subcontractors
Information Required of Bidders
Non-Collusion Declaration Form
Iran Contracting Act Certification
Public Works Contractor DIR Registration Certification
Performance Bond
Payment (Labor and Materials) Bond
Contract for Construction
General Conditions
Special Conditions
Specifications
Addenda
Construction Plans and Drawings
Standard Specifications for Public Works Construction “Greenbook”, latest edition, Except Sections 1-9
Standard Plans of the City of Palm Desert, latest edition Standard Plans for Public Works Construction, latest edition Caltrans Standard Specifications, latest edition, Except Division 1 502
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Caltrans Standard Plans, latest edition
California Manual on Traffic Control Devices for Streets and Highways (CAMUTCD), latest edition
Work Area Traffic Control Handbook, latest edition
Reference Specifications
Approved and fully executed Change Orders
Permits
Any other documents contained in or incorporated into the Contract The Contractor shall complete the Work in strict accordance with all of the Contract Documents.
All of the Contract Documents are intended to be complementary. Work required by one of the Contract Documents and not by others shall be done as if required by all. In the event of conflict, the various Contract Documents will be given effect in the order set forth in the General Conditions. This Contract shall supersede any prior agreement of the parties.
ARTICLE 6. PROVISIONS REQUIRED BY LAW AND CONTRACTOR COMPLIANCE.
Each and every provision of law required to be included in these Contract Documents shall be deemed to be included in these Contract Documents. The Contractor shall comply with all requirements of applicable federal, state, and local laws, rules, and regulations, including, but not limited to, the provisions of the California Labor Code and California Public Contract Code which are applicable to this Work.
ARTICLE 7. INDEMNIFICATION AND INSURANCE
A. Indemnification
1. To the fullest extent permitted by law, Contractor shall immediately defend (with counsel of the City’s choosing), indemnify, and hold harmless the City, its officials, officers, agents, employees, and representatives, and each of them from and against:
(a) Any and all claims, demands, causes of action, costs, expenses, injuries, losses or liabilities, in law or in equity, of every kind or nature whatsoever, but not limited to, injury to or death, including wrongful death, of any person, and damages to or destruction of property of any person, arising out of, related to, or in any manner directly or indirectly connected with the Work or this Contract, including claims made by subcontractors for nonpayment, including without limitation the payment of all consequential damages and attorney’s fees and other related costs and expenses, however caused, regardless of whether the allegations are false, fraudulent, or groundless, and regardless of any negligence of the City or its officers, employees, or authorized volunteers (including passive negligence), except the sole negligence or willful misconduct or active negligence of the City or its officials, officers, employees, or authorized volunteers;
(b) Contractor’s defense and indemnity obligation herein includes, but is not limited to damages, fines, penalties, attorney’s fees and costs arising from claims under the Americans with Disabilities Act (ADA) or other federal or state disability access or discrimination laws arising from Contractor’s Work during the course of construction of the improvements or after the Work is complete, 503
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as the result of defects or negligence in Contractor’s construction of the improvements;
(c) Any and all actions, proceedings, damages, costs, expenses, fines, penalties or liabilities, in law or equity, of every kind or nature whatsoever, arising out of, resulting from, or on account of the violation of any governmental law or regulation, compliance with which is the responsibility of Contractor; (d) Any and all losses, expenses, damages (including damages to the Work itself), attorney’s fees, and other costs, including all costs of defense which any of them may incur with respect to the failure, neglect, or refusal of Contractor to faithfully perform the Work and all of Contractor’s obligations under Contract.
Such costs, expenses, and damages shall include all costs, including attorney’s fees, incurred by the indemnified parties in any lawsuit to which they are a party.
2. Contractor shall immediately defend, at Contractor’s own cost, expense and risk, with the counsel of the City choosing, any and all such aforesaid suits, actions or other legal proceedings of every kind that may be brought or instituted against the City, its officials, officers, agents, employees and representatives. Contractor shall pay and satisfy any judgment, award or decree that may be rendered against the City, its officials, officers, employees, agents, employees, and representatives, in any such suit, action or other legal proceeding. Contractor shall reimburse the City, its officials, officers, agents, employees, and representatives for any and all legal expenses and costs incurred by each of them in connection therewith or in enforcing the indemnity herein provided. The only limitations on this provision shall be those imposed by Civil Code section 2782.
3. The provisions of this Article shall survive the termination of this Contract howsoever caused, and no payment, partial payment, or acceptance of occupancy in whole or part of the Work shall waive or release any of the provisions of this Article.
B. Insurance
1. Without limiting Contractor’s indemnification of City, and prior to commencement of Work, Contractor shall obtain, provide, and maintain at its own expense during the term of this Contract, policies of insurance of the type and amounts described below and in a form that is satisfactory to City.
2. General Liability Insurance. Contractor shall maintain commercial general liability insurance with coverage at least as broad as Insurance Services Office form CG 00 01, in an amount not less than $2,000,000 per occurrence, $4,000,000 general aggregate, for bodily injury, personal injury, and property damage, and a $4,000,000 completed operations aggregate. The policy must include contractual liability that has not been amended. Any endorsement restricting standard ISO “insured contract” language will not be accepted.
3. Automobile Liability Insurance. Contractor shall maintain automobile insurance at least as broad as Insurance Services Office form CA 00 01 covering bodily injury and property damage for all activities of the Contractor arising out of or in connection with Work to be performed under this Contract, including coverage for 504
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any owned, hired, non-owned or rented vehicles, in an amount not less than $1,000,000 combined single limit for each accident.
4. Umbrella or Excess Liability Insurance. Contractor may opt to utilize umbrella or excess liability insurance in meeting insurance requirements. In such circumstances, Contractor may obtain and maintain an umbrella or excess liability insurance policy with limits that will provide bodily injury, personal injury, and property damage liability coverage at least as broad as the primary coverages set forth above, including commercial general liability, automotive liability and employer’s liability. Such policy or policies shall include the following terms and conditions:
A drop-down feature requiring the policy to respond in the event that any primary insurance that would otherwise have applied proves to be uncollectible in whole or in part for any reason;
(a) Pay on behalf of wording as opposed to reimbursement; and (b) Concurrency of effective dates with primary policies; and (c) Policies shall “follow form” to the underlying primary policies; and (d) Insureds under primary policies shall also be insureds under the umbrella or excess policies.
5. Workers’ Compensation Insurance. Contractor shall maintain Workers’ Compensation Insurance (Statutory Limits) and Employer’s Liability Insurance (with limits of at least $1,000,000) for Contractor’s employees in accordance with the laws of the State of California, Section 3700 of the Labor Code. In addition, Contractor shall require each subcontractor to similarly maintain Workers’ Compensation Insurance and Employer’s Liability Insurance in accordance with the laws of the State of California, Section 3700 for all of the subcontractor’s employees. Contractor shall submit to City, along with the certificate of insurance, a Waiver of Subrogation endorsement in favor of the City, its officers, agents, employees, and volunteers.
6. Fidelity Coverage. Reserved.
7. Pollution Liability Insurance. Reserved.
C.Other Provisions or Requirements
1. Proof of Insurance. Contractor shall provide certificates of insurance to City as evidence of the insurance coverage required herein, along with a waiver of subrogation endorsement for workers’ compensation. Insurance certificates and endorsements must be approved by City’s Risk Manager prior to commencement of performance. Current certification of insurance shall be kept on file with City at all times during the term of this contract. City reserves the right to require complete, certified copies of all required insurance policies, at any time.
2. Duration of Coverage. Contractor shall procure and maintain for the duration of the 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 505
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by Contractor, its agents, representatives, employees, or subcontractors.
Contractor must maintain general liability and umbrella or excess liability insurance for as long as there is a statutory exposure to completed operations claims. The City and its officers, officials, employees, and agents shall continue as additional insureds under such policies.
3. Primary/Non-Contributing. Coverage provided by Contractor shall be primary and any insurance or self-insurance procured or maintained by City shall not be required to contribute with it. The limits of insurance required herein may be satisfied by a combination of primary and umbrella or excess insurance. Any umbrella or excess insurance shall contain or be endorsed to contain a provision that such coverage shall also apply on a primary and non-contributory basis for the benefit of City before the City’s own insurance or self-insurance shall be called upon to protect it as a named insured.
4. Products/Completed Operations Coverage. Products/completed operations coverage shall extend a minimum of three (3) years after project completion.
Coverage shall be included on behalf of the insured for covered claims arising out of the actions of independent contractors. If the insured is using subcontractors, the Policy must include work performed “by or on behalf” of the insured. Policy shall contain no language that would invalidate or remove the insurer’s duty to defend or indemnify for claims or suits expressly excluded from coverage. Policy shall specifically provide for a duty to defend on the part of the insurer. The City, its officials, officers, agents, and employees, shall be included as additional insureds under the Products and Completed Operations coverage.
5. City’s Rights of Enforcement. In the event any policy of insurance required under this Contract does not comply with these requirements, or is canceled and not replaced, City has the right, but not the duty, to obtain the insurance it deems necessary, and any premium paid by City will be promptly reimbursed by Contractor, or City will withhold amounts sufficient to pay premium from Contractor payments. In the alternative, City may cancel this Contract.
6. Acceptable Insurers. All insurance policies shall be issued by an insurance company currently authorized by the Insurance Commissioner to transact business of insurance or is on the List of Approved Surplus Line Insurers in the State of California, with an assigned policyholders’ Rating of A- (or higher) and Financial Size Category Class VII (or larger) in accordance with the latest edition of Best’s Key Rating Guide, unless otherwise approved by the City’s Risk Manager.
7. Waiver of Subrogation. All insurance coverage maintained or procured pursuant to this agreement shall be endorsed to waive subrogation against the City, its elected or appointed officers, agents, officials, employees, and volunteers, or shall specifically allow Contractor or others providing insurance evidence in compliance with these specifications to waive their right of recovery prior to a loss. Contractor hereby waives its own right of recovery against the City, its elected or appointed officers, agents, officials, employees, and volunteers and shall require similar written express waivers and insurance clauses from each of its subcontractors.
8. Enforcement of Contract Provisions (non estoppel). Contractor acknowledges and agrees that any actual or alleged failure on the part of the City to inform Contractor of non-compliance with any requirement imposes no additional obligations on the City nor does it waive any rights hereunder.
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7 Revised 01-2024
BBK 72500.00001\32374943.1
9. Requirements Not Limiting. Requirements of specific coverage features or limits contained in this Section are not intended as a limitation on coverage, limits or other requirements, or a waiver of any coverage normally provided by any insurance. Specific reference to a given coverage feature is for purposes of clarification only as it pertains to a given issue and is not intended by any party or insured to be all inclusive, or to the exclusion of other coverage, or a waiver of any type. If the Contractor maintains higher limits than the minimums shown above, the City requires and shall be entitled to coverage for the higher limits maintained by the Contractor. Any available insurance proceeds in excess of the specified minimum limits of insurance and coverage shall be available to the City.
10. Notice of Cancellation. Contractor agrees to oblige its insurance agent or broker and insurers to provide to City with a thirty (30) Day notice of cancellation (except for nonpayment for which a ten (10) Day notice is required) or nonrenewal of coverage for each required coverage.
11. Additional Insured Status. General liability, automobile liability, and if applicable, pollution liability policies shall provide or be endorsed to provide that the City and its officers, officials, employees, agents, and volunteers shall be additional insureds under such policies. This provision shall also apply to any excess/umbrella liability policies. Coverage shall be at least as broad as coverage provided by ISO’s Owners, Lessees, or Contractors Additional Insured Endorsement for the ongoing (i.e. ISO Form CG 20 10 07 04) and completed operations (i.e. ISO Form CG 20 37 07 04) of Contractor.
12. Prohibition of Undisclosed Coverage Limitations. None of the coverages required herein will be in compliance with these requirements if they include any limiting endorsement of any kind that has not been first submitted to City and approved of in writing.
13. Separation of Insureds. A severability of interests provision must apply for all additional insureds ensuring that Contractor’s insurance shall apply separately to each insured against whom claim is made or suit is brought, except with respect to the insurer’s limits of liability. The policy(ies) shall not contain any cross-liability exclusions.
14. Pass Through Clause. Contractor agrees to ensure that its sub-consultants, subcontractors, and any other party involved with the Project who is brought onto or involved in the project by Contractor, provide the same minimum insurance coverage and endorsements required of Contractor. Contractor agrees to monitor and review all such coverage and assumes all responsibility for ensuring that such coverage is provided in conformity with the requirements of this section. Contractor agrees that upon request, all agreements with consultants, subcontractors, and others engaged in the Project will be submitted to City for review.
15. City’s Right to Revise Requirements. The City or its Risk Manager reserves the right at any time during the term of the contract to change the amounts and types of insurance required by giving the Contractor ninety (90) Days advance written notice of such change. If such change results in substantial additional cost to the Contractor, the City and Contractor may renegotiate Contractor’s compensation. If the City reduces the insurance requirements, the change shall go into effect immediately and require no advanced written notice.
16. Self-Insured Retentions. Any self-insured retentions must be declared to and approved by City. City reserves the right to require that self-insured retentions be 507
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BBK 72500.00001\32374943.1
eliminated, lowered, or replaced by a deductible. Self-insurance will not be considered to comply with these specifications unless approved by City.
17. Timely Notice of Claims. Contractor shall give City prompt and timely notice of claims made or suits instituted that arise out of or result from Contractor’s performance under this Contract, and that involve or may involve coverage under any of the required liability policies.
18. Additional Insurance. Contractor shall also procure and maintain, at its own cost and expense, any additional kinds of insurance, which in its own judgment may be necessary for its proper protection and prosecution of the Work.
19. Safety. Contractor shall execute and maintain its work so as to avoid injury or damage to any person or property. In carrying out its Services, the Contractor shall at all times be in compliance with all applicable local, state and federal laws, rules and regulations, and shall exercise all necessary precautions for the safety of employees appropriate to the nature of the work and the conditions under which the work is to be performed. Safety precautions, where applicable, shall include, but shall not be limited to: (A) adequate life protection and lifesaving equipment and procedures; (B) instructions in accident prevention for all employees and subcontractors, such as safe walkways, scaffolds, fall protection ladders, bridges, gang planks, confined space procedures, trenching and shoring, equipment and other safety devices, equipment and wearing apparel as are necessary or lawfully required to prevent accidents or injuries; and (C) adequate facilities for the proper inspection and maintenance of all safety measures.
ARTICLE 8. PREVAILING WAGES.
Contractor shall be required to pay the prevailing rate of wages in accordance with the Labor Code which such rates shall be made available at the City’s Office or may be obtained online at http://www.dir.ca.gov and which must be posted at the job site.
ARTICLE 9. FALSE CLAIMS.
Contractor acknowledges that if a false claim is submitted to the City, it may be considered fraud and Contractor may be subject to criminal prosecution. Contractor acknowledges that the False Claims Act, California Government Code sections 12650, et seq., provides for civil penalties where a person knowingly submits a false claim to a public entity.
These provisions include within their scope false claims made with deliberate ignorance of the false information or in reckless disregard of the truth or falsity of the information. In the event the City seeks to recover penalties pursuant to the False Claims Act, it is entitled to recover its litigation costs, including attorneys’ fees.
Contractor hereby acknowledges that the filing of a false claim may the Contractor to an administrative debarment proceeding wherein Contractor may be prevented from further bidding on public contracts for a period of up to five (5) years. [SIGNATURES ON FOLLOWING PAGE]
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Contract No. ___________
9 Revised 01-2024
BBK 72500.00001\32374943.1
SIGNATURE PAGE TO LONG FORM CONSTRUCTION AGREEMENT
BY AND BETWEEN THE CITY OF PALM DESERT
AND VANCE CORPORATION
IN WITNESS WHEREOF, each of the Parties has caused this Agreement to be executed on the day and year first above written.
CITY OF PALM DESERT
By:
Chris Escobedo
Interim City Manager
Attest:
By:
Anthony J. Mejia
City Clerk
Approved as to form:
By:
Isra Shah
Best Best & Krieger LLP
City Attorney
VANCE CORPORATION, AN S
CORPORATION
By:
Derek Ritarita
President
By:
Robert Erautt
Vice President
Contractor’s License Number and
Classification
DIR Registration Number (if applicable)
City Clerk QC: _____
Contracts QC: _____
Insurance:
_____
Initial Review
_____
Final Approval
_____
Bonds
509
510
Contract No. ___________
Exhibit “C”
Revised 11-2-20
BBK 72500.00001\32374915.1
PERFORMANCE BOND
KNOW ALL PERSONS BY THESE PRESENTS:
THAT WHEREAS, the City of Palm Desert (hereinafter referred to as “City”) has awarded to Vance Corporation, (hereinafter referred to as the “Contractor”) an agreement for the El Paseo Street Rehabilitation Project (hereinafter referred to as the “Project”).
WHEREAS, the work to be performed by the Contractor is more particularly set forth in the Contract Documents for the Project dated April 24, 2025, (hereinafter referred to as “Contract Documents”), the terms and conditions of which are expressly incorporated herein by reference; and
WHEREAS, the Contractor is required by said Contract Documents to perform the terms thereof and to furnish a bond for the faithful performance of said Contract Documents.
NOW, THEREFORE, we, Vance Corporation, the undersigned Contractor and _____________________________________________ as Surety, a corporation organized and duly authorized to transact business under the laws of the State of California, are held and firmly bound unto the City in the sum of Four million eight hundred three thousand four hundred eightyeight and 92/100 Dollars, ($4,803,488.92), said sum being not less than one hundred percent (100%) of the total amount of the Contract, for which amount well and truly to be made, we bind ourselves, our heirs, executors and administrators, successors and assigns, jointly and severally, firmly by these presents.
THE CONDITION OF THIS OBLIGATION IS SUCH, that, if the Contractor, his or its heirs, executors, administrators, successors or assigns, shall in all things stand to and abide by, and well and truly keep and perform the covenants, conditions and agreements in the Contract Documents and any alteration thereof made as therein provided, on its part, to be kept and performed at the time and in the manner therein specified, and in all respects according to their intent and meaning; and shall faithfully fulfill all obligations including the one-year guarantee of all materials and workmanship; and shall indemnify and save harmless the City, its elected or appointed officers, and their respective agents, officials, employees, volunteers and representatives, as stipulated in said Contract Documents, then this obligation shall become null and void; otherwise it shall be and remain in full force and effect.
As a condition precedent to the satisfactory completion of the Contract Documents, unless otherwise provided for in the Contract Documents, the above obligation shall hold good for a period of one (1) year after the acceptance of the work by City, during which time if Contractor shall fail to make full, complete, and satisfactory repair and replacements and totally protect the City from loss or damage resulting from or caused by defective materials or faulty workmanship, Surety shall undertake and faithfully fulfill all such obligations. The obligations of Surety hereunder shall continue so long as any obligation of Contractor remains. Nothing herein shall limit the City’s rights or the Contractor or Surety’s obligations under the Contract, law, or equity, including, but not limited to, California Code of Civil Procedure section 337.15.
Whenever Contractor shall be, and is declared by the City to be, in default under the Contract Documents, the Surety shall remedy the default pursuant to the Contract Documents, or shall promptly, at the City’s option:
(1) Take over and complete the Project in accordance with all terms and conditions in the Contract Documents; or
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Contract No. ___________
(2) Obtain a bid or bids for completing the Project in accordance with all terms and conditions in the Contract Documents and upon determination by Surety of the lowest responsive and responsible bidder, arrange for a Contract between such bidder, the Surety and the City, and make available as work progresses sufficient funds to pay the cost of completion of the Project, less the balance of the contract price, including other costs and damages for which Surety may be liable. The term “balance of the contract price” as used in this paragraph shall mean the total amount payable to Contractor by the City under the Contract and any modification thereto, less any amount previously paid by the City to the Contractor and any other set offs pursuant to the Contract Documents.
(3) Permit the City to complete the Project in any manner consistent with local, California and federal law and make available as work progresses sufficient funds to pay the cost of completion of the Project, less the balance of the contract price, including other costs and damages for which Surety may be liable. The term “balance of the contract price” as used in this paragraph shall mean the total amount payable to Contractor by the City under the Contract and any modification thereto, less any amount previously paid by the City to the Contractor and any other set offs pursuant to the Contract Documents.
Surety expressly agrees that the City may reject any contractor or subcontractor which may be proposed by Surety in fulfillment of its obligations in the event of default by the Contractor.
Surety shall not utilize Contractor in completing the Project nor shall Surety accept a bid from Contractor for completion of the Project if the City, when declaring the Contractor in default, notifies Surety of the City’s objection to Contractor’s further participation in the completion of the Project.
The Surety, for value received, hereby stipulates and agrees that no change, extension of time, alteration or addition to the terms of the Contract Documents or to the Project to be performed thereunder shall in any way affect its obligations on this bond, and it does hereby waive notice of any such change, extension of time, alteration or addition to the terms of the Contract Documents or to the Project, including but not limited to the provisions of sections 2819 and 2845 of the California Civil Code.
[SIGNATURES ON NEXT PAGE]
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Contract No. ___________
IN WITNESS WHEREOF, we have hereunto set our hands and seals this _______ day of ______________, 20____.
(Corporate Seal)
Contractor/ Principal
By ____________________ ____
Printed name: _______________________
Title: ______________________________
(Corporate Seal) Surety
By: ________________________________
Printed Name: _______________________
Attorney-in-Fact
(Attach Attorney-in-Fact Certificate)
Signatures of those signing for the Contractor and Surety must be notarized and evidence of corporate authority attached.
The rate of premium on this bond is ____________ per thousand. The total amount of premium charges, $_______________________________.
(The above must be filled in by corporate attorney.)
THIS IS A REQUIRED FORM
Any claims under this bond may be addressed to:
(Name and Address of Surety)
(Name and Address of Agent or
Representative for service of
process in California, if different
from above)
(Telephone number of Surety and
Agent or Representative for
service of process in California)
NOTE: A copy of the Power-of-Attorney authorizing the person signing on behalf of the Surety to do so must be attached hereto.
513
Contract No. ___________
NOTE: This acknowledgment is to be completed for Contractor/Principal.
Notary Acknowledgment
A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document.
STATE OF CALIFORNIA
COUNTY OF ______________
On , 20___, before me, _______________________________, Notary Public, personally appeared ___________________________ , who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument.
I certify under PENALTY OF PERJURY under the laws of
the State of California that the foregoing paragraph is true and correct.
WITNESS my hand and official seal.
Signature of Notary Public
OPTIONAL
Though the information below is not required by law, it may prove valuable to persons relying on the document and could prevent fraudulent removal and reattachment of this form to another document.
CAPACITY CLAIMED BY SIGNER DESCRIPTION OF ATTACHED DOCUMENT Individual
Corporate Officer
Title(s) Title or Type of Document
Partner(s) Limited
General Number of Pages
Attorney-In-Fact
Trustee(s)
Guardian/Conservator Date of Document
Other:
Signer is representing:
Name Of Person(s) Or Entity(ies)
Signer(s) Other Than Named Above
514
Contract No. ___________
NOTE: This acknowledgment is to be completed for the Attorney-in-Fact. The Power-of-Attorney to local representatives of the bonding company must also be attached.
Notary Acknowledgment
A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document.
STATE OF CALIFORNIA
COUNTY OF ______________
On , 20___, before me, _______________________________, Notary Public, personally appeared _____________________________ , who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument.
I certify under PENALTY OF PERJURY under the laws of
the State of California that the foregoing paragraph is true and correct.
WITNESS my hand and official seal.
Signature of Notary Public
OPTIONAL
Though the information below is not required by law, it may prove valuable to persons relying on the document and could prevent fraudulent removal and reattachment of this form to another document.
CAPACITY CLAIMED BY SIGNER DESCRIPTION OF ATTACHED DOCUMENT Individual
Corporate Officer
Title(s) Title or Type of Document
Partner(s) Limited
General Number of Pages
Attorney-In-Fact
Trustee(s)
Guardian/Conservator Date of Document
Other:
Signer is representing:
Name Of Person(s) Or Entity(ies)
Signer(s) Other Than Named Above
515
Contract No. ___________
PAYMENT BOND
KNOW ALL PERSONS BY THESE PRESENTS That
WHEREAS, the City of Palm Desert (hereinafter designated as the “City”), by action taken or a resolution passed May 22, 2025, has awarded to Vance Corporation, hereinafter designated as the “Principal,” a contract for the work described as follows:
El Paseo Street Rehabilitation Project (the “Project”).; and WHEREAS, the work to be performed by the Principal is more particularly set forth in the Contract Documents for the Project dated April 24, 2025, (“Contract Documents”), the terms and conditions of which are expressly incorporated by reference; and WHEREAS, said Principal is required to furnish a bond in connection with said contract; providing that if said Principal or any of its Subcontractors shall fail to pay for any materials, provisions, provender, equipment, or other supplies used in, upon, for or about the performance of the work contracted to be done, or for any work or labor done thereon of any kind, or for amounts due under the Unemployment Insurance Code or for any amounts required to be deducted, withheld, and paid over to the Employment Development Department from the wages of employees of said Principal and its Subcontractors with respect to such work or labor the Surety on this bond will pay for the same to the extent hereinafter set forth.
NOW THEREFORE, we, the Principal and __________________________ as Surety, are held and firmly bound unto the City in the penal sum of Four million eight hundred three thousand four hundred eighty-eight and 92/100 Dollars, ($4,803,488.92) lawful money of the United States of America, for the payment of which sum well and truly to be made, we bind ourselves, our heirs, executors, administrators, successors and assigns, jointly and severally, firmly by these presents.
THE CONDITION OF THIS OBLIGATION IS SUCH that if said Principal, his or its subcontractors, heirs, executors, administrators, successors or assigns, shall fail to pay any of the persons named in Section 9100 of the Civil Code, fail to pay for any materials, provisions or other supplies, used in, upon, for or about the performance of the work contracted to be done, or for any work or labor thereon of any kind, or amounts due under the Unemployment Insurance Code with respect to work or labor performed under the contract, or for any amounts required to be deducted, withheld, and paid over to the Employment Development Department or Franchise Tax Board from the wages of employees of the contractor and his subcontractors pursuant to Section 18663 of the Revenue and Taxation Code, with respect to such work and labor the Surety or Sureties will pay for the same, in an amount not exceeding the sum herein above specified, and also, in case suit is brought upon this bond, all litigation expenses incurred by City in such suit, including reasonable attorneys’ fees, court costs, expert witness fees and investigation expenses.
This bond shall inure to the benefit of any of the persons named in Section 9100 of the Civil Code so as to give a right of action to such persons or their assigns in any suit brought upon this bond.
It is further stipulated and agreed that the Surety on this bond shall not be exonerated or released from the obligation of this bond by any change, extension of time for performance, addition, alteration or modification in, to, or of any contract, plans, specifications, or agreement pertaining or relating to any scheme or work of improvement herein above described, or pertaining or relating to the furnishing of labor, materials, or equipment therefore, nor by any change or modification of any terms of payment or extension of the time for any payment pertaining or 516
Contract No. ___________
relating to any scheme or work of improvement herein above described, nor by any rescission or attempted rescission of the contract, agreement or bond, nor by any conditions precedent or subsequent in the bond attempting to limit the right of recovery of claimants otherwise entitled to recover under any such contract or agreement or under the bond, nor by any fraud practiced by any person other than the claimant seeking to recover on the bond and that this bond be construed most strongly against the Surety and in favor of all persons for whose benefit such bond is given, and under no circumstances shall Surety be released from liability to those for whose benefit such bond has been given, by reason of any breach of contract between the owner or City and original contractor or on the part of any obligee named in such bond, but the sole conditions of recovery shall be that claimant is a person described in Section 9100 of the Civil Code, and has not been paid the full amount of his claim and that Surety does hereby waive notice of any such change, extension of time, addition, alteration or modification herein mentioned and the provisions of sections 2819 and 2845 of the California Civil Code.
[SIGNATURES ON NEXT PAGE]
517
Contract No. ___________
IN WITNESS WHEREOF, we have hereunto set our hands and seals this _______ day of ______________, 20__.
(Corporate Seal)
Contractor/ Principal
By ____________________ ____
Printed name: _______________________
Title: ______________________________
(Corporate Seal) Surety
By: ________________________________
Printed Name: _______________________
Attorney-in-Fact
(Attach Attorney-in-Fact Certificate)
Signatures of those signing for the Contractor and Surety must be notarized and evidence of corporate authority attached. A Power-of-Attorney authorizing the person signing on behalf of the Surety to do so much be attached hereto.
NOTE: A copy of the Power-of-Attorney authorizing the person signing on behalf of the Surety to do so must be attached hereto.
518
Contract No. ___________
NOTE: This acknowledgment is to be completed for Contractor/Principal.
Notary Acknowledgment
A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document.
STATE OF CALIFORNIA
COUNTY OF ______________
On _________________, 20___, before me, _______________________________, Notary Public, personally appeared _______________________________ , who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument.
I certify under PENALTY OF PERJURY under the laws of
the State of California that the foregoing paragraph is true and correct.
WITNESS my hand and official seal.
Signature of Notary Public
OPTIONAL
Though the information below is not required by law, it may prove valuable to persons relying on the document and could prevent fraudulent removal and reattachment of this form to another document.
CAPACITY CLAIMED BY SIGNER DESCRIPTION OF ATTACHED DOCUMENT Individual
Corporate Officer
Title(s) Title or Type of Document
Partner(s) Limited
General Number of Pages
Attorney-In-Fact
Trustee(s)
Guardian/Conservator Date of Document
Other:
Signer is representing:
Name Of Person(s) Or Entity(ies)
Signer(s) Other Than Named Above
519
Contract No. ___________
NOTE: This acknowledgment is to be completed for the Attorney-in-Fact. The Power-of-Attorney to local representatives of the bonding company must also be attached.
Notary Acknowledgment
A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document.
STATE OF CALIFORNIA
COUNTY OF ______________
On _________________, 20___, before me, _______________________________, Notary Public, personally appeared _______________________________ , who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument.
I certify under PENALTY OF PERJURY under the laws of
the State of California that the foregoing paragraph is true and correct.
WITNESS my hand and official seal.
Signature of Notary Public
OPTIONAL
Though the information below is not required by law, it may prove valuable to persons relying on the document and could prevent fraudulent removal and reattachment of this form to another document.
CAPACITY CLAIMED BY SIGNER DESCRIPTION OF ATTACHED DOCUMENT Individual
Corporate Officer
Title(s) Title or Type of Document
Partner(s) Limited
General Number of Pages
Attorney-In-Fact
Trustee(s)
Guardian/Conservator Date of Document
Other:
Signer is representing:
Name Of Person(s) Or Entity(ies)
Signer(s) Other Than Named Above
520
Item No. Description Quantity Units Unit Cost Total
1 Mobilization 1 LS $130,811.46 $130,811.46
2 Traffic Control 1 LS $212,830.72 $212,830.72
3 Dust Control 1 LS $191,582.35 $191,582.35
4 Earthwork 1 LS $6,471.32 $6,471.32
5 Remove Concrete and Other Improvements 1 LS $82,792.28 $82,792.28 6 Cold Mill AC Pavement - 1.5" minimum 700 SF $4.43 $3,101.00 7 Pulverize Road Section 10" - 3-step process 450000 SF $.92 $414,000.00 8 Remove Cross Gutter and Regrade Street
Per Plan 13000 SF $1.99 $25,870.00
9 Warm-mix Asphalt Concrete - 3.5" Base
Course 450000 SF $2.28 $1,026,000.00
10 Warm-mix Asphalt Concrete - 1.5" Wearing
Course 450000 SF $1.16 $522,000.00
11 Curb and Gutter per PD Standard 403 1000 LF $68.66 $68,660.00 12 Cross Gutter / Spandrel per PD Standard 700 SF $28.60 $20,020.00 13 Sidewalk per PD Standard 300 100 SF $10.30 $1,030.00 14 Curb Ramp per County of Riverside
Standard 403, Case A, B, or C. 900 SF $18.88 $16,992.00 15 Drive Approach per plan 400 SF $22.88 $9,152.00
16 Curb Core Drywell 2 EA $572.08 $1,144.16
17 Construct New Raised Crosswalk Facility 3 EA $289,708.32 $869,124.96 18 Remove and Reconstruct Raised Crosswalk
Facility 2 EA $289,708.32 $579,416.64
19 Traffic Signal Pullbox 6 EA $1,336.95 $8,021.70
20 Modify and Restore Existing Landscape 1 LS $25,885.26 $25,885.26 21 PVC sleeve - 4" - White 900 LF $59.04 $53,136.00
22 PVC sleeve - 4" - Gray 1200 LF $59.04 $70,848.00
23 Traffic Signal Loop Detector 100 EA $646.19 $64,619.00 24 Lower and Raise Storm Drain Manhole 8 EA $839.88 $6,719.04 25 8" PVC Storm Drain Line 30 LF $1,071.42 $32,142.60
26 Catch Basin per RCFC Standard CB100 -
includes CPS unit 2 EA $19,575.01 $39,150.02
27 Signing and Striping 1 LS $81,882.47 $81,882.47
Total Base Bid $4,563,402.98
Item No. Description Quantity Units Unit Cost Total
A1-1 Remove Dining Deck at 73-061 El Paseo 1 LS $4,607.32 $4,607.32 A1-2 Remove Dining Deck at 73-130 El Paseo 1 LS $4,607.32 $4,607.32 A1-3 Remove Dining Deck at 73-260 El Paseo 1 LS $4,607.32 $4,607.32 A1-4 Remove Dining Deck at 73-580 El Paseo 1 LS $4,607.32 $4,607.32 A1-5 Remove Dining Deck at 73-655 El Paseo 1 LS $4,607.32 $4,607.32 A1-6 Remove Dining Deck at 73-705 El Paseo 1 LS $4,607.32 $4,607.32 A1-7 Remove Dining Deck at 73-722 El Paseo 1 LS $4,607.32 $4,607.32 Total Bid Alternate #1 $32,251.24
Item No. Description Quantity Units Unit Cost Total
A2-1 Lower and raise CVWD valve 80 EA $2,067.08 $165,366.40 A2-2 Lower and raise CVWD manhole 30 EA $1,415.61 $42,468.30 Total Bid Alternate #1 $207,834.70
Total Bid 4,803,488.92
El Paseo
Street Rehabilitation Project
Base Bid
Bid Alternate #1
Vance Corporation
Bid Alternate #2
521
522
Notice of Exemption FORM “B”
NOTICE OF EXEMPTION
TO:
Office of Planning and Research
P. O. Box 3044, Room 113
Sacramento, CA 95812-3044
FROM: City of Palm Desert
73-510 Fred Waring Drive
Palm Desert, CA 92260
Clerk of the Board of Supervisors
or
County Clerk
County of: Riverside
2724 Gateway Dr, Riverside,
CA 92507
1. Project Title: City of Palm Desert – El Paseo Street Rehabilitation Project
2. Project Applicant: City of Palm Desert
3. Project Location – Identify street address and
cross streets or attach a map showing project
site (preferably a USGS 15’ or 7 1/2’
topographical map identified by quadrangle
name):
In the public right-of-way of El Paseo from Highway
74, easterly to Highway 111, Palm Desert, CA 92260.
4. (a) Project Location – City: Palm Desert (b) Project Location – County: Riverside
5. Description of nature, purpose, and
beneficiaries of Project:
Rehabilitate the street section and remove and
replace damaged pedestrian and drainage facilities.
6. Name of Public Agency approving project: City of Palm Desert
7. Name of Person or Agency undertaking the
project, including any person undertaking an
activity that receives financial assistance
from the Public Agency as part of the activity
or the person receiving a lease, permit,
license, certificate, or other entitlement of use
from the Public Agency as part of the activity:
City of Palm Desert.
8. Exempt status: (check one)
(a) Ministerial project. (Pub. Res. Code § 21080(b)(1); State CEQA Guidelines § 15268)
(b) Not a project.
(c) Emergency Project. (Pub. Res. Code § 21080(b)(4); State CEQA Guidelines § 15269(b),(c))
(d) Categorical Exemption.
State type and section
number:
Class 1 (c) – State CEQA Guidelines § Section 15301
(e) Declared Emergency. (Pub. Res. Code § 21080(b)(3); State CEQA Guidelines § 15269(a))
(f) Statutory Exemption.
State Code section number:
(Public Resources Code (CEQA Statute) § 21080.35)
(g) Other. Explanation: General Rule – Section 15061(b)(3)
9. Reason why project was exempt: This proposal is for the repair and maintenance of existing public streets, sidewalks, gutters and similar 523
Notice of Exemption FORM “B”
facilities.
10. Lead Agency Contact Person: Ryan Gayler, Project Manager Telephone: (760) 776-6393
11. If filed by applicant: Attach Preliminary Exemption Assessment (Form “A”) before filing.
12. Has a Notice of Exemption been filed by the public agency approving the project? Yes No
13. Was a public hearing held by the lead agency to consider the exemption? Yes No If yes, the date of the public hearing was: July 13, 2023 Signature:__________________________________ Date:_______________ Title: City Engineer
Signed by Lead Agency Signed by Applicant
Date Received for Filing:
(Clerk Stamp Here)
Authority cited: Sections 21083 and 21100, Public Resources Code.
Reference: Sections 21108, 21152, and 21152.1, Public Resources Code. 524
MONTEREY AVE
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PALM DESERT DR N
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SAN RAFAEL AVE
SAN JOSE AVE
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PALM DESERT DR S SAGE LN
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74 CATALINA WAY
GUADALUPE AVE
SIERRA VISTA
EL CORTEZ WAY
CATALINA WAY
GUADALUPE AVE
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CANDLEWOOD ST
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PORTOLA AVE
VERBA SANTA DR
OCOTILLO DR
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PEAR LN
LARREA ST
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CATALINA WAY
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LARKSPUR LN LARKSPUR LN
SHADOW MOUNTAIN DR
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SHADOW LAKE DR
N LUIS REY
AVE
HWY 111
HWY 74
CHICORY ST
JUNIPER ST
PINYON ST JOSHUA TREE ST
HWY 111
CHICORY ST
PALM DESERT DR S
PAROSELLA ST
CATALINA WAY
EL CORTEZ WAY
PEPPERGRASS ST
QUAILBRUSH AVE
MOUNTAIN VIEW AVE
LANTANA AVE
EL PASEO
ALLEY
LARREA ST
LANTANA AVE
SHADOW MOUNTAIN DR
EL PASEO
GARDEN SQ
ALESSANDRO DR
SAN MARINO WAY
DE ANZA WAY
EL PASEO
SAN MARINO CIR
HAHN RD
Copyright nearmap 2015
El Paseo Street Rehabilitation Project
I
VICINITY MAP 525
526
CITY OF PALM DESERT
STAFF REPORT
MEETING DATE: May 22, 2025
PREPARED BY: Neal Ennis, Project Manager
Ryan Lamb, Senior Project Manager
SUBJECT: AWARD CONSTRUCTION CONTRACT TO MATICH CORPORATION
FOR THE ELDORADO DRIVE REHABILITATION PROJECT, PROJECT
NO. CST00023
RECOMMENDATION:
1. Make a finding that the project is categorically exempt from further review under the California Environmental Quality Act (CEQA) Guidelines, pursuant to Class 1, Section 15301 (Existing Facilities), and authorize the City Engineer to submit a Notice of Exemption.
2. Award a construction contract to Matich Corporation, of San Bernardino, CA, in the amount of $2,777,695.60 for the Eldorado Drive Rehabilitation Project, which includes the Base Bid of $2,735,535.60 and Bid Alternate #1 in the amount of $42,160.
3. Authorize the Director of Finance to set aside a 10% contingency in the amount of $278,000.
4. Authorize the City Attorney to make necessary non-monetary changes to the agreement.
5. Authorize the City Manager to execute the agreement and any written requests for change orders up to the contingency amount, amendments, and any other documents necessary to effectuate this action, in accordance with Palm Desert Municipal Code Section 3.30.170(B).
6. Authorize the City Manager to execute the Notice of Completion (NOC) and the City Clerk to file the NOC upon satisfactory completion of the Project.
BACKGROUND/ANALYSIS:
The asphalt on Eldorado Drive, between Hovley Lane East and Country Club Drive, has significantly deteriorated. To assess the appropriate rehabilitation method, the City engaged Applied Research Associates, Inc. (ARA) to perform pavement testing and analysis. ARA’s testing—consisting of core samples, ground-penetrating radar, and falling weight deflectometer—concluded that a full-depth reclamation (FDR) approach was most appropriate.
Under this method, the existing asphalt and base will be pulverized and blended to create a more durable 8-inch aggregate base, followed by a 5-inch layer of warm-mix asphalt concrete.
This treatment will restore structural integrity and extend pavement life. Staff recommends that the City Council find that the project is categorically exempt from CEQA, pursuant to Class 1, Section 15301 (Existing Facilities) under the CEQA Guidelines, as the project involves the repair and maintenance of existing streets, sidewalks, gutters, and similar facilities. 527
City of Palm Desert
Award Contract to Matich Corporation for Eldorado Drive Rehabilitation Project (CST00023)
On June 13, 2024, the City contracted with NAI Consulting for engineering design services.
Community outreach began with a public meeting on March 26, 2025, where over 2,500 households in adjacent neighborhoods were invited. Due to low turnout, staff conducted followup meetings with the affected HOAs:
April 16, 2025 – Sunterrace (Sarazen Way and Eldorado Dr.) April 17, 2025 – The Lakes (Red River Rd. and Eldorado Dr.) April 23, 2025 – Indian Ridge (Red River Rd. and Eldorado Dr.) May 14, 2025 – Tierra Vista (Appian Way and Eldorado Dr.) In addition to rehabilitating the roadway, the project includes restriping bike lanes to align with the City’s General Plan, which designates Eldorado Drive as a Balanced Arterial. While the overall project received broad community support, many residents expressed concerns about the proposed Shur-Curb delineators, with only a few in favor of their use. Shur-Curb delineators are traffic control devices used to physically separate bike lanes from vehicle lanes. They typically consist of 2-foot-high tubular plastic posts mounted on a low -profile base that are bolted directly to the pavement. Since the delineators are optional, lack strong public support, and are not consistent with a balanced arterial design, staff recommend excluding them from the contractor’s scope of work, thereby removing Bid Alternate #2 from consideration.
Requests for Bids
The project was advertised via the City’s bid portal (OpenGov), and five bids were received electronically on April 29, 2025:
Contractor Location Base Bid Bid Alt #1 Subtotal Bid Alt #2 (excluded)
Matich Corporation San Bernardino, CA $2,735,535.60 $42,160.00 $2,777,695.60 $110,050.00 Vance Corporation Beaumont, CA $2,748,376.21 $74,103.07 $2,822,479.28 $121,919.90 Granite Construction Company Indio, CA $2,822,855.00 $63,045.00 $2,885,900.00 $108,500.00 All American Asphalt Corona, CA $2,976,863.00 $79,900.00 $3,056,763.00 $78,120.00 R.J. Noble Company Orange, CA $3,101,570.90 $63,050.00 $3,164,620.90 $77,500.00 The all-inclusive engineer’s estimate was $3,250,000. The project was bid with Additive Bid Items, #1 Raise CVWD valves and manholes, and #2 Furnish and install Shur-Curb delineators, but the low bidder is determined by the Base Bid only.
Pursuant to Contract No. C31910 between the City and the Coachella Valley Water District (CVWD), the bid included Bid Alternate #1 to raise valves and manholes to the final surface elevation. CVWD has agreed to reimburse the City for this work at the contractor’s quoted price of $42,160, bringing the total contract amount to $2,777,696 (rounded). 528
City of Palm Desert
Award Contract to Matich Corporation for Eldorado Drive Rehabilitation Project (CST00023)
As the low bidder, Matich Corporation has successfully completed many paving projects for the City of Palm Desert and staff are confident in their ability to complete this project. If approved, the project is expected to begin early July 2025 and be completed by the end of September 2025.
Public Notice
The contractor will be conveying information regarding traffic control and work schedules to the nearby residents. Changeable message signs will be utilized as needed to provide advanced notice for drivers. In addition to any public outreach by the contractor, the City has scheduled public meetings with the residents that will be affected by the project. The City will mail out informational notices and is maintaining a page on Engage Palm Desert so interested parties can obtain up-to-date information on the project.
Legal Review:
This report has been reviewed by the City Attorney’s Office.
FINANCIAL IMPACT:
Funding for this project is included in the approved Capital Improvement Project (CIP) list for Fiscal Year FY 2024-25 and will be funded through a combination of special revenue funds allocated for street improvements. These funding sources include Measure A, SB1 Gas Tax, and Assessment District R/M Funds. There is no impact to the General Fund.
Project-CST00023
Eldorado Drive Rehabilitation Budget Expenditures
Available
Budget
SB1 Gas Tax (211-4311-4391505-Street Resurfacing) 1,300,000 Measure A (213-4311-4332000-Street Resurfacing) 800,000 AD Annual R/M Funds (304/306/308/351-4311-4332000) 1,585,336 Engineering Design (NAI Consulting) 60,200
Topographical Survey (TKE Engineering) 3,380
Community Engagement Mtg (Xpress Graphics) 2,020
Construction: Matich Corporation 2,777,696
10% Contingency 278,000
Totals $3,685,336 $3,121,296 $564,040
Assessment District R/M Funds identified above are from eligible 1915 Imp Bond AD’s 87-1, 92-1, 94-2 Sunterrace, 91-1 Indian Ridge ATTACHMENTS:
1. Construction Contract
2. Contractor Bid
3. Payment and Performance Bonds
4. CEQA Notice of Exemption
529
530
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CITY OF PALM DESERT
CONTRACT FOR CONSTRUCTION
This Agreement is made and entered into this 22nd day of May, 2025, by and between the City of Palm Desert, a municipal corporation organized under the laws of the State of California with its principal place of business at 73-510 Fred Waring Drive, Palm Desert, California 92260-2578, (“City”) and Matich Corporation, a Corporation, with its principal place of business at 1596 Harry Sheppard Blvd., San Bernardino, CA 92408 ("Contractor").
WITNESSETH: That the parties hereto have mutually covenanted and agreed, and by these presents do covenant and agree with each other as follows:
ARTICLE 1. SCOPE OF WORK.
The Contractor shall perform all Work within the time stipulated in the Contract, and shall provide all labor, materials, equipment, tools, utility services, and transportation to complete all of the Work required in strict compliance with the Contract Documents as specified in Article 5, below, for the following Project:
Eldorado Drive Rehabilitation Project
Project No. CST00023
(hereinafter referred to as “the Project”).
The scope of work consists of Cold Milling asphalt, Pulverizing Road Sections, warm-mix asphalt overlay, striping and signage, various concrete demolition and construction efforts on cross gutters and ADA compliant curb ramps, various other items as shown on plans.
Contractor is an independent contractor and not an agent of the City. The Contractor and its surety shall be liable to the City for any damages arising as a result of the Contractor’s failure to comply with this obligation.
ARTICLE 2. TIME FOR COMPLETION.
Time is of the essence in the performance of the Work. The Work shall be commenced on the date stated in the City’s Notice to Proceed. The Contractor shall complete all Work required by the Contract Documents within 90 Calendar Days from the commencement date stated in the Notice to Proceed. By its signature hereunder, Contractor agrees the time for completion set forth above is adequate and reasonable to complete the Work.
ARTICLE 3. CONTRACT PRICE.
The City shall pay to the Contractor as full compensation for the performance of the Contract, subject to any additions or deductions as provided in the Contract Documents, and including all applicable taxes and costs, the sum of Two Million Seven Hundred Seventy-Seven Thousand Six Hundred Ninety-Five Dollars and Sixty Cents, ($2,777,695.60). Payment shall be made as set forth in the General Conditions. The City will pay to Contractor compensation based upon the prices set forth in the Bid Schedule.
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ARTICLE 4. LIQUIDATED DAMAGES.
Contractor acknowledges that the City will sustain actual damages for each and every Day completion of the Project is delayed beyond the Contract Time. Because of the nature of the Project, it would be impracticable or extremely difficult to determine the City’s actual damages. Accordingly, in accordance with Government Code section 53069.85, it is agreed that the Contractor will pay the City the sum of $1,000.00 for each and every Calendar Day of delay beyond the time prescribed in the Contract Documents for finishing the Work, as Liquidated Damages and not as a penalty or forfeiture. In the event this is not paid, the Contractor agrees the City may deduct that amount from any money due or that may become due the Contractor under the Contract. This Section does not exclude recovery of other damages specified in the Contract Documents.
Liquidated damages may be deducted from progress payments due Contractor, Project
or may be collected directly from Contractor, or from Contractor's surety. These provisions for liquidated damages shall not prevent the City, in case of Contractor's default, from terminating the Contractor.
ARTICLE 5. COMPONENT PARTS OF THE CONTRACT.
The “Contract Documents” include the following:
Notice Inviting Bids
Instructions to Bidders
Bid Forms
Bid Acknowledgement
Bid Schedule
Bid Guarantee
Designation of Subcontractors
Information Required of Bidders
Non-Collusion Declaration Form
Iran Contracting Act Certification
Public Works Contractor DIR Registration Certification
Performance Bond
Payment (Labor and Materials) Bond
Contract for Construction
General Conditions
Special Conditions
Specifications
Addenda
Construction Plans and Drawings
Standard Specifications for Public Works Construction “Greenbook”, latest edition, Except Sections 1-9
Standard Plans of the City of Palm Desert, latest edition Standard Plans for Public Works Construction, latest edition Caltrans Standard Specifications, latest edition, Except Division 1 Caltrans Standard Plans, latest edition
California Manual on Traffic Control Devices for Streets and Highways (CAMUTCD), latest edition
Work Area Traffic Control Handbook, latest edition
Reference Specifications
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Approved and fully executed Change Orders
Permits
Any other documents contained in or incorporated into the Contract The Contractor shall complete the Work in strict accordance with all of the Contract Documents.
All of the Contract Documents are intended to be complementary. Work required by one of the Contract Documents and not by others shall be done as if required by all. In the event of conflict, the various Contract Documents will be given effect in the order set forth in the General Conditions. This Contract shall supersede any prior agreement of the parties.
ARTICLE 6. PROVISIONS REQUIRED BY LAW AND CONTRACTOR COMPLIANCE.
Each and every provision of law required to be included in these Contract Documents shall be deemed to be included in these Contract Documents. The Contractor shall comply with all requirements of applicable federal, state, and local laws, rules, and regulations, including, but not limited to, the provisions of the California Labor Code and California Public Contract Code which are applicable to this Work.
ARTICLE 7. INDEMNIFICATION AND INSURANCE
A. Indemnification
1. To the fullest extent permitted by law, Contractor shall immediately defend (with counsel of the City’s choosing), indemnify, and hold harmless the City, its officials, officers, agents, employees, and representatives, and each of them from and against:
(a) Any and all claims, demands, causes of action, costs, expenses, injuries, losses or liabilities, in law or in equity, of every kind or nature whatsoever, but not limited to, injury to or death, including wrongful death, of any person, and damages to or destruction of property of any person, arising out of, related to, or in any manner directly or indirectly connected with the Work or this Contract, including claims made by subcontractors for nonpayment, including without limitation the payment of all consequential damages and attorney’s fees and other related costs and expenses, however caused, regardless of whether the allegations are false, fraudulent, or groundless, and regardless of any negligence of the City or its officers, employees, or authorized volunteers (including passive negligence), except the sole negligence or willful misconduct or active negligence of the City or its officials, officers, employees, or authorized volunteers;
(b) Contractor’s defense and indemnity obligation herein includes, but is not limited to damages, fines, penalties, attorney’s fees and costs arising from claims under the Americans with Disabilities Act (ADA) or other federal or state disability access or discrimination laws arising from Contractor’s Work during the course of construction of the improvements or after the Work is complete, as the result of defects or negligence in Contractor’s construction of the improvements;
(c) Any and all actions, proceedings, damages, costs, expenses, fines, penalties or liabilities, in law or equity, of every kind or nature whatsoever, arising out of, 533
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resulting from, or on account of the violation of any governmental law or regulation, compliance with which is the responsibility of Contractor; (d) Any and all losses, expenses, damages (including damages to the Work itself), attorney’s fees, and other costs, including all costs of defense which any of them may incur with respect to the failure, neglect, or refusal of Contractor to faithfully perform the Work and all of Contractor’s obligations under Contract.
Such costs, expenses, and damages shall include all costs, including attorney’s fees, incurred by the indemnified parties in any lawsuit to which they are a party.
2. Contractor shall immediately defend, at Contractor’s own cost, expense and risk, with the counsel of the City choosing, any and all such aforesaid suits, actions or other legal proceedings of every kind that may be brought or instituted against the City, its officials, officers, agents, employees and representatives. Contractor shall pay and satisfy any judgment, award or decree that may be rendered against the City, its officials, officers, employees, agents, employees, and representatives, in any such suit, action or other legal proceeding. Contractor shall reimburse the City, its officials, officers, agents, employees, and representatives for any and all legal expenses and costs incurred by each of them in connection therewith or in enforcing the indemnity herein provided. The only limitations on this provision shall be those imposed by Civil Code section 2782.
3. The provisions of this Article shall survive the termination of this Contract howsoever caused, and no payment, partial payment, or acceptance of occupancy in whole or part of the Work shall waive or release any of the provisions of this Article.
B. Insurance
1. Without limiting Contractor’s indemnification of City, and prior to commencement of Work, Contractor shall obtain, provide, and maintain at its own expense during the term of this Contract, policies of insurance of the type and amounts described below and in a form that is satisfactory to City.
2. General Liability Insurance. Contractor shall maintain commercial general liability insurance with coverage at least as broad as Insurance Services Office form CG 00 01, in an amount not less than $2,000,000 per occurrence, $4,000,000 general aggregate, for bodily injury, personal injury, and property damage, and a $4,000,000 completed operations aggregate. The policy must include contractual liability that has not been amended. Any endorsement restricting standard ISO “insured contract” language will not be accepted.
3. Automobile Liability Insurance. Contractor shall maintain automobile insurance at least as broad as Insurance Services Office form CA 00 01 covering bodily injury and property damage for all activities of the Contractor arising out of or in connection with Work to be performed under this Contract, including coverage for any owned, hired, non-owned or rented vehicles, in an amount not less than $1,000,000 combined single limit for each accident.
4. Umbrella or Excess Liability Insurance. Contractor may opt to utilize umbrella or excess liability insurance in meeting insurance requirements. In such 534
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circumstances, Contractor may obtain and maintain an umbrella or excess liability insurance policy with limits that will provide bodily injury, personal injury, and property damage liability coverage at least as broad as the primary coverages set forth above, including commercial general liability, automotive liability and employer’s liability. Such policy or policies shall include the following terms and conditions:
A drop-down feature requiring the policy to respond in the event that any primary insurance that would otherwise have applied proves to be uncollectible in whole or in part for any reason;
(a) Pay on behalf of wording as opposed to reimbursement; and (b) Concurrency of effective dates with primary policies; and (c) Policies shall “follow form” to the underlying primary policies; and (d) Insureds under primary policies shall also be insureds under the umbrella or excess policies.
5. Workers’ Compensation Insurance. Contractor shall maintain Workers’ Compensation Insurance (Statutory Limits) and Employer’s Liability Insurance (with limits of at least $1,000,000) for Contractor’s employees in accordance with the laws of the State of California, Section 3700 of the Labor Code. In addition, Contractor shall require each subcontractor to similarly maintain Workers’ Compensation Insurance and Employer’s Liability Insurance in accordance with the laws of the State of California, Section 3700 for all of the subcontractor’s employees. Contractor shall submit to City, along with the certificate of insurance, a Waiver of Subrogation endorsement in favor of the City, its officers, agents, employees, and volunteers.
6. Fidelity Coverage. RESERVED
7. Pollution Liability Insurance. Environmental Impairment Liability Insurance shall be written on a Contractor’s Pollution Liability form or other form acceptable to the City providing coverage for liability arising out of sudden, accidental, and gradual pollution and remediation. The policy limit shall be no less than $1,000,000 dollars per claim and in the aggregate. All activities contemplated in this Agreement shall be specifically scheduled on the policy as “covered operations”. The policy shall provide coverage for the hauling of waste from the Project site to the final disposal location, including non-owned disposal sites.
C.Other Provisions or Requirements
1. Proof of Insurance. Contractor shall provide certificates of insurance to City as evidence of the insurance coverage required herein, along with a waiver of subrogation endorsement for workers’ compensation. Insurance certificates and endorsements must be approved by City’s Risk Manager prior to commencement of performance. Current certification of insurance shall be kept on file with City at all times during the term of this contract. City reserves the right to require complete, certified copies of all required insurance policies, at any time. 535
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2. Duration of Coverage. Contractor shall procure and maintain for the duration of the 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 by Contractor, its agents, representatives, employees, or subcontractors.
Contractor must maintain general liability and umbrella or excess liability insurance for as long as there is a statutory exposure to completed operations claims. The City and its officers, officials, employees, and agents shall continue as additional insureds under such policies.
3. Primary/Non-Contributing. Coverage provided by Contractor shall be primary and any insurance or self-insurance procured or maintained by City shall not be required to contribute with it. The limits of insurance required herein may be satisfied by a combination of primary and umbrella or excess insurance. Any umbrella or excess insurance shall contain or be endorsed to contain a provision that such coverage shall also apply on a primary and non-contributory basis for the benefit of City before the City’s own insurance or self-insurance shall be called upon to protect it as a named insured.
4. Products/Completed Operations Coverage. Products/completed operations coverage shall extend a minimum of three (3) years after project completion.
Coverage shall be included on behalf of the insured for covered claims arising out of the actions of independent contractors. If the insured is using subcontractors, the Policy must include work performed “by or on behalf” of the insured. Policy shall contain no language that would invalidate or remove the insurer’s duty to defend or indemnify for claims or suits expressly excluded from coverage. Policy shall specifically provide for a duty to defend on the part of the insurer. The City, its officials, officers, agents, and employees, shall be included as additional insureds under the Products and Completed Operations coverage.
5. City’s Rights of Enforcement. In the event any policy of insurance required under this Contract does not comply with these requirements, or is canceled and not replaced, City has the right, but not the duty, to obtain the insurance it deems necessary, and any premium paid by City will be promptly reimbursed by Contractor, or City will withhold amounts sufficient to pay premium from Contractor payments. In the alternative, City may cancel this Contract.
6. Acceptable Insurers. All insurance policies shall be issued by an insurance company currently authorized by the Insurance Commissioner to transact business of insurance or is on the List of Approved Surplus Line Insurers in the State of California, with an assigned policyholders’ Rating of A- (or higher) and Financial Size Category Class VII (or larger) in accordance with the latest edition of Best’s Key Rating Guide, unless otherwise approved by the City’s Risk Manager.
7. Waiver of Subrogation. All insurance coverage maintained or procured pursuant to this agreement shall be endorsed to waive subrogation against the City, its elected or appointed officers, agents, officials, employees, and volunteers, or shall specifically allow Contractor or others providing insurance evidence in compliance with these specifications to waive their right of recovery prior to a loss. Contractor hereby waives its own right of recovery against the City, its elected or appointed officers, agents, officials, employees, and volunteers and shall require similar written express waivers and insurance clauses from each of its subcontractors.
8. Enforcement of Contract Provisions (non estoppel). Contractor acknowledges and agrees that any actual or alleged failure on the part of the City to inform Contractor 536
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of non-compliance with any requirement imposes no additional obligations on the City nor does it waive any rights hereunder.
9. Requirements Not Limiting. Requirements of specific coverage features or limits contained in this Section are not intended as a limitation on coverage, limits or other requirements, or a waiver of any coverage normally provided by any insurance. Specific reference to a given coverage feature is for purposes of clarification only as it pertains to a given issue and is not intended by any party or insured to be all inclusive, or to the exclusion of other coverage, or a waiver of any type. If the Contractor maintains higher limits than the minimums shown above, the City requires and shall be entitled to coverage for the higher limits maintained by the Contractor. Any available insurance proceeds in excess of the specified minimum limits of insurance and coverage shall be available to the City.
10. Notice of Cancellation. Contractor agrees to oblige its insurance agent or broker and insurers to provide to City with a thirty (30) Day notice of cancellation (except for nonpayment for which a ten (10) Day notice is required) or nonrenewal of coverage for each required coverage.
11. Additional Insured Status. General liability, automobile liability, and if applicable, pollution liability policies shall provide or be endorsed to provide that the City and its officers, officials, employees, agents, and volunteers shall be additional insureds under such policies. This provision shall also apply to any excess/umbrella liability policies. Coverage shall be at least as broad as coverage provided by ISO’s Owners, Lessees, or Contractors Additional Insured Endorsement for the ongoing (i.e. ISO Form CG 20 10 07 04) and completed operations (i.e. ISO Form CG 20 37 07 04) of Contractor.
12. Prohibition of Undisclosed Coverage Limitations. None of the coverages required herein will be in compliance with these requirements if they include any limiting endorsement of any kind that has not been first submitted to City and approved of in writing.
13. Separation of Insureds. A severability of interests provision must apply for all additional insureds ensuring that Contractor’s insurance shall apply separately to each insured against whom claim is made or suit is brought, except with respect to the insurer’s limits of liability. The policy(ies) shall not contain any cross-liability exclusions.
14. Pass Through Clause. Contractor agrees to ensure that its sub-consultants, subcontractors, and any other party involved with the Project who is brought onto or involved in the project by Contractor, provide the same minimum insurance coverage and endorsements required of Contractor. Contractor agrees to monitor and review all such coverage and assumes all responsibility for ensuring that such coverage is provided in conformity with the requirements of this section. Contractor agrees that upon request, all agreements with consultants, subcontractors, and others engaged in the Project will be submitted to City for review.
15. City’s Right to Revise Requirements. The City or its Risk Manager reserves the right at any time during the term of the contract to change the amounts and types of insurance required by giving the Contractor ninety (90) Days advance written notice of such change. If such change results in substantial additional cost to the Contractor, the City and Contractor may renegotiate Contractor’s compensation. If the City reduces the insurance requirements, the change shall go into effect immediately and require no advanced written notice.
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16. Self-Insured Retentions. Any self-insured retentions must be declared to and approved by City. City reserves the right to require that self-insured retentions be eliminated, lowered, or replaced by a deductible. Self-insurance will not be considered to comply with these specifications unless approved by City.
17. Timely Notice of Claims. Contractor shall give City prompt and timely notice of claims made or suits instituted that arise out of or result from Contractor’s performance under this Contract, and that involve or may involve coverage under any of the required liability policies.
18. Additional Insurance. Contractor shall also procure and maintain, at its own cost and expense, any additional kinds of insurance, which in its own judgment may be necessary for its proper protection and prosecution of the Work.
19. Safety. Contractor shall execute and maintain its work so as to avoid injury or damage to any person or property. In carrying out its Services, the Contractor shall at all times be in compliance with all applicable local, state and federal laws, rules and regulations, and shall exercise all necessary precautions for the safety of employees appropriate to the nature of the work and the conditions under which the work is to be performed. Safety precautions, where applicable, shall include, but shall not be limited to: (A) adequate life protection and lifesaving equipment and procedures; (B) instructions in accident prevention for all employees and subcontractors, such as safe walkways, scaffolds, fall protection ladders, bridges, gang planks, confined space procedures, trenching and shoring, equipment and other safety devices, equipment and wearing apparel as are necessary or lawfully required to prevent accidents or injuries; and (C) adequate facilities for the proper inspection and maintenance of all safety measures.
ARTICLE 8. PREVAILING WAGES.
Contractor shall be required to pay the prevailing rate of wages in accordance with the Labor Code which such rates shall be made available at the City’s Office or may be obtained online at http://www.dir.ca.gov and which must be posted at the job site.
ARTICLE 9. FALSE CLAIMS.
Contractor acknowledges that if a false claim is submitted to the City, it may be considered fraud and Contractor may be subject to criminal prosecution. Contractor acknowledges that the False Claims Act, California Government Code sections 12650, et seq., provides for civil penalties where a person knowingly submits a false claim to a public entity.
These provisions include within their scope false claims made with deliberate ignorance of the false information or in reckless disregard of the truth or falsity of the information. In the event the City seeks to recover penalties pursuant to the False Claims Act, it is entitled to recover its litigation costs, including attorneys’ fees.
Contractor hereby acknowledges that the filing of a false claim may the Contractor to an administrative debarment proceeding wherein Contractor may be prevented from further bidding on public contracts for a period of up to five (5) years. [SIGNATURES ON FOLLOWING PAGE]
538
Contract No. ______________
9 Revised 01-2024
BBK 72500.00001\32374943.1
SIGNATURE PAGE TO LONG FORM CONSTRUCTION AGREEMENT
BY AND BETWEEN THE CITY OF PALM DESERT
AND MATICH CORPORATION
IN WITNESS WHEREOF, each of the Parties has caused this Agreement to be executed on the day and year first above written.
CITY OF PALM DESERT
By:
Chris Escobedo
Interim City Manager
Attest:
By:
Anthony J. Mejia
City Clerk
Approved as to form:
By:
Isra Shah
Best Best & Krieger LLP
City Attorney
MATICH CORPORATION, A
CORPORATION
By:
Robert M. Matich
President
By:
Randall S. Valadez
Secretary
149783
Contractor’s License Number and
Classification
1000004260
DIR Registration Number
City Clerk QC: _____
Contracts QC: _____
Insurance:
_____
Initial Review
_____
Final Approval
_____
Bonds
539
540
PRICE TABLES
Line Item Description Quantity Unit of Measure Unit Cost Total 1 MOBILIZATION 1 LS $273,000.00 $273,000.00
2 TRAFFIC CONTROL 1 LS $151,500.00 $151,500.00
3 DUST CONTROL 1 LS $7,000.00 $7,000.00
4 REMOVE AND DISPOSE
OF EXISTING TREE
3 EA $2,500.00 $7,500.00
5 EARTHWORK 1 LS $28,500.00 $28,500.00
6 SAWCUT. REMOVE, AND
DISPOSE OF EXISTING,
CONCRETE AND
REMOVALS PER PLAN
1 LS $84,000.00 $84,000.00
7 CONSTRUCT CURB AND
GUTTER PER CITY
STANDARD NO. 403,
INCLUDE 3" DOWELS
INTO ADJACENT EXISTING
CONCRETE CURB AND
GUTTER
690 LF $65.00 $44,850.00
8 CONSTRUCT CURB PER
CITY STANDARD NO. 400,
INCLUDE 3" DOWELS
INTO ADJACENT EXISTING
CONCRETE CURB AND
GUTTER
35 LF $52.00 $1,820.00
9 CONSTRUCT
MONOLITHIC RETAINING
CURB PER PLAN
160 LF $52.00 $8,320.00
10 CONSTRUCT SIDEWALK
PER CITY OF PALM
DESERT STD NO. 300
1600 SF $9.00 $14,400.00
11 CONSTRUCT CROSS
GUTTER PER CITY OF
PALM DESERT STD NO.
404 MOD.
8475 SF $21.00 $177,975.00
12 CONSTRUCT CURB RAMP
PER RIVERSIDE COUNTY
STD PLAN NO. 403 MOD.,
CASE PER
PLAN
14 EA $5,900.00 $82,600.00
13 2" GRIND AND ASPHALT
CONCRETE OVERLAY
4710 SF $2.80 $13,188.00
14 PULVERIZE ROAD
SECTION FROM EXISTING
(DEPTH PER PLANS -
THREE STEP
PROCESS)
380000 SF $1.20 $456,000.00
5/7/25, 11:23 AM Matich Corporation Response
https://procurement.opengov.com/governments/76010/projects/159477/sourcing/proposals/305374 1/3 541
Additive Bid Alternate No.1
15 CONSTRUCT ASPHALT
CONCRETE OVER
PULVERIZED BASE (DEPTH
PER PLAN)
380000 SF $3.14 $1,193,200.00
16 FULL DEPTH GRIND
ASPHALT CONCRETE AND
COMPACT EXISTING BASE
2035 SF $2.36 $4,802.60
17 CONSTRUCT FULL DEPTH
ASPHALT CONCRETE
2800 SF $7.40 $20,720.00
18 FURNISH AND INSTALL 4"
PVC CONDUIT SLEEVE
(COLOR PER PLAN)
630 LF $26.00 $16,380.00
19 MODIFY AND RESTORE
EXISTING LANDSCAPING,
IRRIGATION, AND
HARDSCAPE AS
NEEDED TO
SATISFACTION OF CITY
1 LS $15,000.00 $15,000.00
20 REPLACE TRAFFIC SIGNAL
LOOPS PER PALM DESERT
STD NO. 900 - Type E
Modified,
22 EA $640.00 $14,080.00
21 SUPPLY 2 CHANNEL
DETECTOR CARDS MODEL
C-1200-8-TS2
4 EA $800.00 $3,200.00
22 INSTALL NEW DLC IN
CONDUIT RUNS 6&7 FOR
PHASE 4B DETECTION
1 LS $3,800.00 $3,800.00
23 INSTALL NEW DLC IN
CONDUIT RUNS 2, 3, 4, 5,
& 6 FOR PHASE 8B
DETECTION
1 LS $4,100.00 $4,100.00
24 REMOVE EXISTING PULL
BOX AND FURNISH AND
INSTALL NEW NO. 6(T)
TRAFFIC SIGNAL
PULL BOX PER CALTRANS
STD PLAN ES-8B
6 EA $3,100.00 $18,600.00
25 SIGNING AND STRIPING
PER PLANS AND
CALTRANS DETAILS
(EXCLUDES SHUR-CURB)
1 LS $91,000.00 $91,000.00
Total $2,735,535.60
Line Item Description Quantity Unit of Measure Unit Cost Total 26 LOWER/RAISE WATER
VALVE FRAME AND
COVER PER CVWD
STANDARDS
33 EA $1,240.00 $40,920.00
5/7/25, 11:23 AM Matich Corporation Response
https://procurement.opengov.com/governments/76010/projects/159477/sourcing/proposals/305374 2/3 542
Additive Bid Alternate No.2
27 LOWER/RAISE SEWER
MANHOLE FRAME AND
COVER PER CVWD
STANDARDS
1 EA $1,240.00 $1,240.00
Total $42,160.00
Line Item Description Quantity Unit of Measure Unit Cost Total 28 FURNISH AND INSTALL
SHUR-CURB (or Approved
Equal) BIKE LANE
DETECTORS
310 EA $355.00 $110,050.00
Total $110,050.00
5/7/25, 11:23 AM Matich Corporation Response
https://procurement.opengov.com/governments/76010/projects/159477/sourcing/proposals/305374 3/3 543
544
Contract No. ___________
Exhibit “C”
Revised 11-2-20
BBK 72500.00001\32374915.1
PERFORMANCE BOND
KNOW ALL PERSONS BY THESE PRESENTS:
THAT WHEREAS, the City of Palm Desert (hereinafter referred to as “City”) has awarded to Matich Corporation, (hereinafter referred to as the “Contractor”) an agreement for Eldorado Drive Pavement Rehabilitation Project (hereinafter referred to as the “Project”).
WHEREAS, the work to be performed by the Contractor is more particularly set forth in the Contract Documents for the Project dated April 11, 2025, (hereinafter referred to as “Contract Documents”), the terms and conditions of which are expressly incorporated herein by reference; and
WHEREAS, the Contractor is required by said Contract Documents to perform the terms thereof and to furnish a bond for the faithful performance of said Contract Documents.
NOW, THEREFORE, we, Matich Corporation, the undersigned Contractor and _____________________________________________ as Surety, a corporation organized and duly authorized to transact business under the laws of the State of California, are held and firmly bound unto the City in the sum of Two Million Seven Hundred Seventy Seven Thousand Six Hundred Ninety Five Dollars and Sixty Cents, ($2,777,695.60), said sum being not less than one hundred percent (100%) of the total amount of the Contract, for which amount well and truly to be made, we bind ourselves, our heirs, executors and administrators, successors and assigns, jointly and severally, firmly by these presents.
THE CONDITION OF THIS OBLIGATION IS SUCH, that, if the Contractor, his or its heirs, executors, administrators, successors or assigns, shall in all things stand to and abide by, and well and truly keep and perform the covenants, conditions and agreements in the Contract Documents and any alteration thereof made as therein provided, on its part, to be kept and performed at the time and in the manner therein specified, and in all respects according to their intent and meaning; and shall faithfully fulfill all obligations including the one-year guarantee of all materials and workmanship; and shall indemnify and save harmless the City, its elected or appointed officers, and their respective agents, officials, employees, volunteers and representatives, as stipulated in said Contract Documents, then this obligation shall become null and void; otherwise it shall be and remain in full force and effect.
As a condition precedent to the satisfactory completion of the Contract Documents, unless otherwise provided for in the Contract Documents, the above obligation shall hold good for a period of one (1) year after the acceptance of the work by City, during which time if Contractor shall fail to make full, complete, and satisfactory repair and replacements and totally protect the City from loss or damage resulting from or caused by defective materials or faulty workmanship, Surety shall undertake and faithfully fulfill all such obligations. The obligations of Surety hereunder shall continue so long as any obligation of Contractor remains. Nothing herein shall limit the City’s rights or the Contractor or Surety’s obligations under the Contract, law, or equity, including, but not limited to, California Code of Civil Procedure section 337.15.
Whenever Contractor shall be, and is declared by the City to be, in default under the Contract Documents, the Surety shall remedy the default pursuant to the Contract Documents, or shall promptly, at the City’s option:
(1) Take over and complete the Project in accordance with all terms and conditions in the Contract Documents; or
545
Contract No. ___________
(2) Obtain a bid or bids for completing the Project in accordance with all terms and conditions in the Contract Documents and upon determination by Surety of the lowest responsive and responsible bidder, arrange for a Contract between such bidder, the Surety and the City, and make available as work progresses sufficient funds to pay the cost of completion of the Project, less the balance of the contract price, including other costs and damages for which Surety may be liable. The term “balance of the contract price” as used in this paragraph shall mean the total amount payable to Contractor by the City under the Contract and any modification thereto, less any amount previously paid by the City to the Contractor and any other set offs pursuant to the Contract Documents.
(3) Permit the City to complete the Project in any manner consistent with local, California and federal law and make available as work progresses sufficient funds to pay the cost of completion of the Project, less the balance of the contract price, including other costs and damages for which Surety may be liable. The term “balance of the contract price” as used in this paragraph shall mean the total amount payable to Contractor by the City under the Contract and any modification thereto, less any amount previously paid by the City to the Contractor and any other set offs pursuant to the Contract Documents.
Surety expressly agrees that the City may reject any contractor or subcontractor which may be proposed by Surety in fulfillment of its obligations in the event of default by the Contractor.
Surety shall not utilize Contractor in completing the Project nor shall Surety accept a bid from Contractor for completion of the Project if the City, when declaring the Contractor in default, notifies Surety of the City’s objection to Contractor’s further participation in the completion of the Project.
The Surety, for value received, hereby stipulates and agrees that no change, extension of time, alteration or addition to the terms of the Contract Documents or to the Project to be performed thereunder shall in any way affect its obligations on this bond, and it does hereby waive notice of any such change, extension of time, alteration or addition to the terms of the Contract Documents or to the Project, including but not limited to the provisions of sections 2819 and 2845 of the California Civil Code.
[SIGNATURES ON NEXT PAGE]
546
Contract No. ___________
IN WITNESS WHEREOF, we have hereunto set our hands and seals this _______ day of ______________, 20____.
(Corporate Seal)
Contractor/ Principal
By ____________________ ____
Printed name: _______________________
Title: ______________________________
(Corporate Seal) Surety
By: ________________________________
Printed Name: _______________________
Attorney-in-Fact
(Attach Attorney-in-Fact Certificate)
Signatures of those signing for the Contractor and Surety must be notarized and evidence of corporate authority attached.
The rate of premium on this bond is ____________ per thousand. The total amount of premium charges, $_______________________________.
(The above must be filled in by corporate attorney.)
THIS IS A REQUIRED FORM
Any claims under this bond may be addressed to:
(Name and Address of Surety)
(Name and Address of Agent or
Representative for service of
process in California, if different
from above)
(Telephone number of Surety and
Agent or Representative for
service of process in California)
NOTE: A copy of the Power-of-Attorney authorizing the person signing on behalf of the Surety to do so must be attached hereto.
547
Contract No. ___________
NOTE: This acknowledgment is to be completed for Contractor/Principal.
Notary Acknowledgment
A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document.
STATE OF CALIFORNIA
COUNTY OF ______________
On , 20___, before me, _______________________________, Notary Public, personally appeared ___________________________ , who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument.
I certify under PENALTY OF PERJURY under the laws of
the State of California that the foregoing paragraph is true and correct.
WITNESS my hand and official seal.
Signature of Notary Public
OPTIONAL
Though the information below is not required by law, it may prove valuable to persons relying on the document and could prevent fraudulent removal and reattachment of this form to another document.
CAPACITY CLAIMED BY SIGNER DESCRIPTION OF ATTACHED DOCUMENT Individual
Corporate Officer
Title(s) Title or Type of Document
Partner(s) Limited
General Number of Pages
Attorney-In-Fact
Trustee(s)
Guardian/Conservator Date of Document
Other:
Signer is representing:
Name Of Person(s) Or Entity(ies)
Signer(s) Other Than Named Above
548
Contract No. ___________
NOTE: This acknowledgment is to be completed for the Attorney-in-Fact. The Power-of-Attorney to local representatives of the bonding company must also be attached.
Notary Acknowledgment
A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document.
STATE OF CALIFORNIA
COUNTY OF ______________
On , 20___, before me, _______________________________, Notary Public, personally appeared _____________________________ , who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument.
I certify under PENALTY OF PERJURY under the laws of
the State of California that the foregoing paragraph is true and correct.
WITNESS my hand and official seal.
Signature of Notary Public
OPTIONAL
Though the information below is not required by law, it may prove valuable to persons relying on the document and could prevent fraudulent removal and reattachment of this form to another document.
CAPACITY CLAIMED BY SIGNER DESCRIPTION OF ATTACHED DOCUMENT Individual
Corporate Officer
Title(s) Title or Type of Document
Partner(s) Limited
General Number of Pages
Attorney-In-Fact
Trustee(s)
Guardian/Conservator Date of Document
Other:
Signer is representing:
Name Of Person(s) Or Entity(ies)
Signer(s) Other Than Named Above
549
Contract No. ___________
PAYMENT BOND
KNOW ALL PERSONS BY THESE PRESENTS That
WHEREAS, the City of Palm Desert (hereinafter designated as the “City”), by action taken or a resolution passed May 22, 2025, has awarded to Matich Corporation, hereinafter designated as the “Principal,” a contract for the work described as follows:
Eldorado Drive Pavement Rehabilitation Project (the “Project”).; and WHEREAS, the work to be performed by the Principal is more particularly set forth in the Contract Documents for the Project dated April 11, 2025, (“Contract Documents”), the terms and conditions of which are expressly incorporated by reference; and WHEREAS, said Principal is required to furnish a bond in connection with said contract; providing that if said Principal or any of its Subcontractors shall fail to pay for any materials, provisions, provender, equipment, or other supplies used in, upon, for or about the performance of the work contracted to be done, or for any work or labor done thereon of any kind, or for amounts due under the Unemployment Insurance Code or for any amounts required to be deducted, withheld, and paid over to the Employment Development Department from the wages of employees of said Principal and its Subcontractors with respect to such work or labor the Surety on this bond will pay for the same to the extent hereinafter set forth.
NOW THEREFORE, we, the Principal and __________________________ as Surety, are held and firmly bound unto the City in the penal sum of Two Million Seven Hundred Seventy Seven Thousand Six Hundred Ninety Five Dollars and Sixty Cents, ($2,777,695.60) lawful money of the United States of America, for the payment of which sum well and truly to be made, we bind ourselves, our heirs, executors, administrators, successors and assigns, jointly and severally, firmly by these presents.
THE CONDITION OF THIS OBLIGATION IS SUCH that if said Principal, his or its subcontractors, heirs, executors, administrators, successors or assigns, shall fail to pay any of the persons named in Section 9100 of the Civil Code, fail to pay for any materials, provisions or other supplies, used in, upon, for or about the performance of the work contracted to be done, or for any work or labor thereon of any kind, or amounts due under the Unemployment Insurance Code with respect to work or labor performed under the contract, or for any amounts required to be deducted, withheld, and paid over to the Employment Development Department or Franchise Tax Board from the wages of employees of the contractor and his subcontractors pursuant to Section 18663 of the Revenue and Taxation Code, with respect to such work and labor the Surety or Sureties will pay for the same, in an amount not exceeding the sum herein above specified, and also, in case suit is brought upon this bond, all litigation expenses incurred by City in such suit, including reasonable attorneys’ fees, court costs, expert witness fees and investigation expenses.
This bond shall inure to the benefit of any of the persons named in Section 9100 of the Civil Code so as to give a right of action to such persons or their assigns in any suit brought upon this bond.
It is further stipulated and agreed that the Surety on this bond shall not be exonerated or released from the obligation of this bond by any change, extension of time for performance, addition, alteration or modification in, to, or of any contract, plans, specifications, or agreement pertaining or relating to any scheme or work of improvement herein above described, or pertaining or relating to the furnishing of labor, materials, or equipment therefore, nor by any change or modification of any terms of payment or extension of the time for any payment pertaining or 550
Contract No. ___________
relating to any scheme or work of improvement herein above described, nor by any rescission or attempted rescission of the contract, agreement or bond, nor by any conditions precedent or subsequent in the bond attempting to limit the right of recovery of claimants otherwise entitled to recover under any such contract or agreement or under the bond, nor by any fraud practiced by any person other than the claimant seeking to recover on the bond and that this bond be construed most strongly against the Surety and in favor of all persons for whose benefit such bond is given, and under no circumstances shall Surety be released from liability to those for whose benefit such bond has been given, by reason of any breach of contract between the owner or City and original contractor or on the part of any obligee named in such bond, but the sole conditions of recovery shall be that claimant is a person described in Section 9100 of the Civil Code, and has not been paid the full amount of his claim and that Surety does hereby waive notice of any such change, extension of time, addition, alteration or modification herein mentioned and the provisions of sections 2819 and 2845 of the California Civil Code.
[SIGNATURES ON NEXT PAGE]
551
Contract No. ___________
IN WITNESS WHEREOF, we have hereunto set our hands and seals this _______ day of ______________, 20__.
(Corporate Seal)
Contractor/ Principal
By ____________________ ____
Printed name: _______________________
Title: ______________________________
(Corporate Seal) Surety
By: ________________________________
Printed Name: _______________________
Attorney-in-Fact
(Attach Attorney-in-Fact Certificate)
Signatures of those signing for the Contractor and Surety must be notarized and evidence of corporate authority attached. A Power-of-Attorney authorizing the person signing on behalf of the Surety to do so much be attached hereto.
NOTE: A copy of the Power-of-Attorney authorizing the person signing on behalf of the Surety to do so must be attached hereto.
552
Contract No. ___________
NOTE: This acknowledgment is to be completed for Contractor/Principal.
Notary Acknowledgment
A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document.
STATE OF CALIFORNIA
COUNTY OF ______________
On _________________, 20___, before me, _______________________________, Notary Public, personally appeared _______________________________ , who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument.
I certify under PENALTY OF PERJURY under the laws of
the State of California that the foregoing paragraph is true and correct.
WITNESS my hand and official seal.
Signature of Notary Public
OPTIONAL
Though the information below is not required by law, it may prove valuable to persons relying on the document and could prevent fraudulent removal and reattachment of this form to another document.
CAPACITY CLAIMED BY SIGNER DESCRIPTION OF ATTACHED DOCUMENT Individual
Corporate Officer
Title(s) Title or Type of Document
Partner(s) Limited
General Number of Pages
Attorney-In-Fact
Trustee(s)
Guardian/Conservator Date of Document
Other:
Signer is representing:
Name Of Person(s) Or Entity(ies)
Signer(s) Other Than Named Above
553
Contract No. ___________
NOTE: This acknowledgment is to be completed for the Attorney-in-Fact. The Power-of-Attorney to local representatives of the bonding company must also be attached.
Notary Acknowledgment
A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document.
STATE OF CALIFORNIA
COUNTY OF ______________
On _________________, 20___, before me, _______________________________, Notary Public, personally appeared _______________________________ , who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument.
I certify under PENALTY OF PERJURY under the laws of
the State of California that the foregoing paragraph is true and correct.
WITNESS my hand and official seal.
Signature of Notary Public
OPTIONAL
Though the information below is not required by law, it may prove valuable to persons relying on the document and could prevent fraudulent removal and reattachment of this form to another document.
CAPACITY CLAIMED BY SIGNER DESCRIPTION OF ATTACHED DOCUMENT Individual
Corporate Officer
Title(s) Title or Type of Document
Partner(s) Limited
General Number of Pages
Attorney-In-Fact
Trustee(s)
Guardian/Conservator Date of Document
Other:
Signer is representing:
Name Of Person(s) Or Entity(ies)
Signer(s) Other Than Named Above
554
Notice of Exemption FORM “B”
NOTICE OF EXEMPTION
TO:
Office of Planning and Research
P. O. Box 3044, Room 113
Sacramento, CA 95812-3044
FROM: City of Palm Desert
73-510 Fred Waring Drive
Palm Desert, CA 92260
Clerk of the Board of Supervisors
or
County Clerk
County of: Riverside
2724 Gateway Dr, Riverside,
CA 92507
1. Project Title: City of Palm Desert – Eldorado Drive Street Rehabilitation Project
2. Project Applicant: City of Palm Desert
3. Project Location – Identify street address and
cross streets or attach a map showing project
site (preferably a USGS 15’ or 7 1/2’
topographical map identified by quadrangle
name):
In the public right-of-way of Eldorado Drive from
Hovley Ln. East to Country Club Drive, Palm Desert,
CA 92260.
4. (a) Project Location – City: Palm Desert (b) Project Location – County: Riverside
5. Description of nature, purpose, and
beneficiaries of Project:
Rehabilitate the street section and remove and
replace damaged pedestrian and drainage facilities.
6. Name of Public Agency approving project: City of Palm Desert
7. Name of Person or Agency undertaking the
project, including any person undertaking an
activity that receives financial assistance
from the Public Agency as part of the activity
or the person receiving a lease, permit,
license, certificate, or other entitlement of use
from the Public Agency as part of the activity:
City of Palm Desert.
8. Exempt status: (check one)
(a) Ministerial project. (Pub. Res. Code § 21080(b)(1); State CEQA Guidelines § 15268)
(b) Not a project.
(c) Emergency Project. (Pub. Res. Code § 21080(b)(4); State CEQA Guidelines § 15269(b),(c))
(d) Categorical Exemption.
State type and section
number:
Class 1 (c) – State CEQA Guidelines § Section 15301
(e) Declared Emergency. (Pub. Res. Code § 21080(b)(3); State CEQA Guidelines § 15269(a))
(f) Statutory Exemption.
State Code section number:
(Public Resources Code (CEQA Statute) § 21080.35)
(g) Other. Explanation: General Rule – Section 15061(b)(3)
9. Reason why project was exempt: This proposal is for the repair and maintenance of existing public streets, sidewalks, gutters and similar 555
Notice of Exemption FORM “B”
facilities.
10. Lead Agency Contact Person: Ryan Lamb, Senior Project Manager Telephone: (760) 776-6416
11. If filed by applicant: Attach Preliminary Exemption Assessment (Form “A”) before filing.
12. Has a Notice of Exemption been filed by the public agency approving the project? Yes No
13. Was a public hearing held by the lead agency to consider the exemption? Yes No If yes, the date of the public hearing was:
Signature:__________________________________ Date:_______________ Title: City Engineer
Signed by Lead Agency Signed by Applicant
Date Received for Filing:
(Clerk Stamp Here)
Authority cited: Sections 21083 and 21100, Public Resources Code.
Reference: Sections 21108, 21152, and 21152.1, Public Resources Code. 556