Palm Springs City Council
October 17, 2022

CITY COUNCIL

AND AS SUCCESSOR AGENCY TO THE

COMMUNITY REDEVELOPMENT AGENCY OF THE CITY OF PALM SPRINGS

CITY OF PALM SPRINGS, CALIFORNIA
Council Chamber, City Hall
3200 E. Tahquitz Canyon Way, Palm Springs, CA 92262
www.palmspringsca.gov

REGULAR MEETING AGENDA
Pursuant to Assembly Bill 361, this meeting may be conducted by teleconference. There will be in-person public access to the meeting location.

Submit your public comment to the City Council electronically. Material may be emailed to [email protected]. Transmittal prior to the start of the meeting is required. Any correspondence received during or after the meeting will be distributed to the City Council and retained for the official record.

You may provide telephonic comments by calling the City Clerk's Office at (760) 323-8204. You may be added to the queue at any time prior to the end of the public comment period for the subject hearing. At the appropriate time, a staff member will call you so that you may provide your public testimony to the City Council.

View the City Council meeting live at the City’s website www.palmspringsca.gov/pstv, YouTube, or Channel 17 (Spectrum).

OCTOBER 17, 2022

3:30 PM CLOSED SESSION
5:30 PM REGULAR MEETING
Lisa Middleton, Mayor
Grace Elena Garner, Mayor Pro Tem
Christy Gilbert Holstege, Councilmember
Geoff Kors, Councilmember
Dennis Woods, Councilmember

City of Palm Springs Mission Statement: Palm Springs is an inclusive world-class city dedicated to providing excellent and responsive public services to enhance the quality of life for current and future generations.

AGENDA EN ESPAÑOL DISPONIBLE EL LUNES - HAGA CLIC AQUÍ

3:30 P.M. CLOSED SESSION

CALL TO ORDER:

PUBLIC COMMENT FOR CLOSED SESSION ITEMS ONLY: The City Council welcomes public input. Members of the public may address the City Council by completing a public comment card and giving it to the City Clerk prior to the meeting. Pursuant to State Law, the City Council may not discuss or take action on issues not on the meeting agenda (Government Code Section 54954.2). If you are compensated to communicate with City officials, you may be required to register and/or make certain disclosures as a lobbyist, please see the City Clerk for additional information.

RECESS TO CLOSED SESSION: See Closed Session Agenda.

5:30 P.M. REGULAR MEETING

CALL TO ORDER:

PLEDGE OF ALLEGIANCE:

ROLL CALL:

PRESENTATIONS:

ACCEPTANCE OF THE AGENDA: The City Council will discuss the order of the agenda, may amend the order, add urgency items, note abstentions or "no" votes on Consent Calendar items, and request Consent Calendar items be removed from the Consent Calendar for discussion. The City Council may also remove items from the Consent Calendar prior to that portion of the Agenda.

REPORT OF CLOSED SESSION:

PUBLIC TESTIMONY: (Non-Public Hearing Agenda Items ONLY) This time has been set aside for members of the public to address the City Council only on agenda items. Two (2) minutes will be assigned to each speaker. Testimony for Public Hearings will only be taken at the time of the hearing, and General Public Comments, non-agenda items, will be taken later in the meeting.

1. CONSENT CALENDAR:

The following routine matters may be acted upon by one motion. Individual items may be removed by the Council for separate discussion at this time or under Acceptance of the Agenda. The ordinance title is deemed to be read in its entirety and further reading waived on any ordinance listed on the Consent Calendar.

October 17, 2022 City Council Regular Meeting Agenda 2

A. FINDINGS TO CONDUCT CITY COUNCIL AND BOARD, COMMISSION, AND COMMITTEE MEETINGS VIRTUALLY UNDER ASSEMBLY BILL 361
RECOMMENDATION: Find that the City Council has considered the circumstances of the state of emergency during a proclaimed state of emergency, and state or local officials have imposed or recommended measures to promote social distancing, and as a result, the Palm Springs City Council and all of Palm Springs Board, Commission, and Committee meetings may be held by videoconference, in accordance with AB 361.

B. ACCEPTANCE OF 2022 SLURRY SEAL, CITY PROJECT 21-02
RECOMMENDATION:

Accept the public works improvement identified as 2022 Slurry Seal, City Project No. 21-02, as completed in accordance with the plans and specifications.

1. Authorize the City Engineer to execute and file a Notice of Completion with the Riverside County Recorder for 2022 Slurry Seal, City Project No. 21-02.

2. C. APPROVAL OF AMENDMENT NO. 9 TO THE PROFESSIONAL SERVICES AGREEMENT WITH CNS ENGINEERS, INC., A CALIFORNIA CORPORATION (A6190), IN THE AMOUNT OF $38,162.23 FOR THE RAMON ROAD WIDENING (FROM SAN LUIS REY DR. TO LANDAU BLVD.) INCLUDING THE
WHITEWATER RIVER BRIDGE WIDENING, CITY PROJECT NO. 08-25, FEDERAL-AID PROJECT NO. BHLS-5282 (040)
RECOMMENDATION:

Approve Amendment No. 9, in the amount of $38,162.23, to Professional Services Agreement No. 6190, for a new not to exceed amount of $3,440,754.46 with CNS Engineers for the Ramon Road Widening (San Luis Rey Dr. to Landau Blvd.) including the Whitewater River Bridge Widening, City Project No. 08-25, Federal-Aid Project No. BHLS-5282 (040), (the “Project”).

1. Authorize the City Manager to execute all necessary documents. 2.

D. INITIATION OF ANNEXATION NO. 26 TO COMMUNITY FACILITIES DISTRICT NO. 2005-1 (PUBLIC SAFETY SERVICES)
RECOMMENDATION: Adopt a Resolution entitled, “A RESOLUTION OF THE

CITY COUNCIL OF THE CITY OF PALM SPRINGS, CALIFORNIA, DECLARING

ITS INTENTION TO ANNEX TERRITORY INTO A COMMUNITY FACILITIES

DISTRICT AND TO AUTHORIZE THE LEVY OF SPECIAL TAXES FOR CITY OF PALM SPRINGS COMMUNITY FACILITIES DISTRICT NO. 2005-1, (PUBLIC SAFETY SERVICES), ANNEXATION NO. 26, TRACT MAP NO. 37935”.

E. AWARD A CONSTRUCTION MANAGER AT RISK AGREEMENT TO
October 17, 2022 City Council Regular Meeting Agenda 3 E. AWARD A CONSTRUCTION MANAGER AT RISK AGREEMENT TO
TILDEN-COIL CONSTRUCTORS, INC., FOR AN INITIAL GUARANTEED MAXIMUM PRICE OF $10,309,018 FOR THE CITY OF PALM SPRINGS NAVIGATION CENTER PROJECT, CITY PROJECT 22-05
RECOMMENDATION:

Award a Construction Manager at Risk Agreement with Tilden-Coil Constructors, Inc., a California Corporation, for the construction of the City of Palm Springs Navigation Center, City Project 22-05, for an initial guaranteed maximum price not to exceed $10,309,018, to be adjusted over time as trade packages are bid by the construction management team as outlined in the agreement.

1. Authorize the City Manager or designee to approve the final guaranteed maximum amount for the project at a later date as outlined in the agreement.

2. Approve a contingency for the project of approximately 15% or $1,500,000 for adjustments to the scope of work or unforeseen conditions to meet the program requirements and authorize the City Manager or designee to issue change orders up to this amount for the project to be completed in a timely manner.

3. F. APPROVE A THREE-YEAR AGREEMENT WITH VERDE FACILITIES SERVICES LLC (A9232) FOR JANITORIAL SERVICES FOR VARIOUS CITY

FACILITIES
RECOMMENDATION:

Approve Contract Service Agreement A9232 with Verde Facilities Services LLC to provide janitorial services for various City facilities for a three-year term in an amount not to exceed $2,236,428 beginning December 1, 2022, through November 30, 2025, with two one-year extension options at the City’s sole discretion.

1. Authorize additional/ optional janitorial services in accordance with the fixed pricing identified in Schedule II – Options Pricing Sheet for an amount not to exceed $25,000 annually during the term of the agreement.

2. Authorize the City Manager or designee to execute all necessary documents. 3.

G. PURCHASE OF LIBRARY DOWNLOADABLE MUSIC WITH LIBRARY IDEAS FOR A FIVE-YEAR, NOT-TO-EXCEED AMOUNT OF $40,000
RECOMMENDATION: Authorize the City Manager to execute all necessary documents.

H. A REQUEST BY THE JONES LIVING TRUST, OWNER, FOR APPROVAL OF A MILLS ACT HISTORIC PROPERTY PRESERVATION AGREEMENT FOR 1821

SANDCLIFF ROAD, A CONTRIBUTING STRUCTURE IN THE SANDCLIFF GARDEN APARTMENT HOMES HISTORIC DISTRICT (APN 510-040-035), (HSPB #93/HD-5)
RECOMMENDATION:

October 17, 2022 City Council Regular Meeting Agenda 4 Approve a Mills Act Historic Property Preservation Agreement between the City of Palm Springs, The Jones Living Trust, and the Sandcliff Homeowners Association.

1. Authorize the Interim City Manager to execute the Agreement. 2.

Direct the City Clerk to record the Agreement with the County of Riverside. 3.

I. APPROVE FUNDING IN THE AMOUNT OF $75,000 TO REFURBISH AND

RELOCATE PUBLIC ART SCULPTURES BUTCH, ITHIEL, AND SQUEEZE BY

ARTIST JOHN CLEMENT TO THE DEMUTH PARK ISLET
RECOMMENDATION:

Approve funding in the amount of $75,000 of Public Art Funds to refurbish and relocate three public art sculptures Butch, Ithiel, and Squeeze by artist John Clement.

1. Approve placement of the three public art sculptures Butch, Ithiel, and Squeeze by artist John Clement to the Demuth Park Islet.

2. Authorize the Interim City Manager to execute all necessary documents to facilitate refurbishing and relocating three public art sculptures Butch, Ithiel, and Squeeze by artist John Clement to the Demuth Park Islet.

3. J. SECOND READING AND ADOPTION OF AN ORDINANCE ADJUSTING CITY

COUNCIL AND MAYORAL SALARIES
RECOMMENDATION: Conduct a second reading (Adoption) of an ordinance entitled, “AN ORDINANCE OF THE CITY OF PALM SPRINGS, CALIFORNIA, AMENDING SECTIONS 2.04.020 AND 2.04.021, AND ADDING A NEW SECTION

2.04.022, OF THE PALM SPRINGS MUNICIPAL CODE, MODIFYING COMPENSATION FOR THE MAYOR AND MEMBERS OF THE CITY COUNCIL.”

EXCLUDED CONSENT CALENDAR: Items removed from the Consent Calendar for separate discussion are considered at this time.

2. PUBLIC HEARINGS:

A. REQUEST FOR AMENDMENTS TO PALM SPRINGS MUNICIPAL CODE SECTION 9.62.055 AND PALM SPRINGS ZONING CODE SECTION 93.23.21

RELATIVE TO THE DEVELOPMENT STANDARDS FOR URBAN LOT SPLITS AND TWO-UNIT RESIDENTIAL DEVELOPMENTS (CASE 5.1548 ZTA) RECOMMENDATION:

Waive the reading of the ordinance text in its entirety and read by title only.1.

Introduce on first reading an Ordinance entitled, “AN ORDINANCE OF THE

CITY COUNCIL OF THE CITY OF PALM SPRINGS, CALIFORNIA,
AMENDING CHAPTER 9.62 OF THE PALM SPRINGS MUNICIPAL CODE AND CHAPTER 93.00 OF THE PALM SPRINGS ZONING CODE RELATING

TO URBAN LOT SPLITS AND TWO-UNIT PROJECTS AND DETERMINING THE ORDINANCE TO BE EXEMPT FROM CEQA.”

2. October 17, 2022 City Council Regular Meeting Agenda 5

B. A REQUEST BY CASA VERONA LLC, OWNER, FOR A CHANGE OF ZONE OF AN UNDEVELOPED 6.44-ACRE PARCEL FROM SINGLE-FAMILY
RESIDENTIAL R-1-D (7,500-SQUARE FOOT LOT) TO R-1-E (5,000-SQUARE FOOT LOT); ADOPTION OF A MITIGATED NEGATIVE DECLARATION PER CEQA; AND A TENTATIVE TRACT MAP (TTM 38042) TO SUBDIVIDE THE PARCEL INTO THIRTY-ONE (31) SINGLE-FAMILY RESIDENTIAL LOTS LOCATED AT THE EAST TERMINUS OF VERONA ROAD, ZONE R-1-D; (CASE NOS. 5.1527-CZ & TTM 38042)
RECOMMENDATION:

Open the hearing and receive testimony. 1.

Close the public hearing and Introduce and Waive Further Reading of an Ordinance entitled, “AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF PALM SPRINGS, CALIFORNIA, APPROVING CASE 5.1527 CZ,

CHANGE OF ZONE, TO AMEND THE CURRENT ZONING DESIGNATION OF ‘SINGLE FAMILY RESIDENTIAL (R-1-D)’ (7,500-SQUARE FOOT LOT) TO ‘SINGLE-FAMILY RESIDENTIAL (R-1-E)’ (5,000-SQUARE FOOT LOT) FOR THE SUBDIVISION OF A 6.44-ACRE LOT INTO THIRTY-ONE (31)

SINGLE-FAMILY RESIDENTIAL PARCELS FOR FUTURE DEVELOPMENT AT THE EAST TERMINUS OF VERONA ROAD.”

2. Adopt a Resolution entitled, “A RESOLUTION OF THE CITY COUNCIL OF

THE CITY OF PALM SPRINGS, CALIFORNIA, APPROVING A TENTATIVE TRACT MAP – TTM 38042 – TO SUBDIIDE AN UNDEVELOPED 6.44 ACRE PARCEL INTO THIRTY-ONE (31) SINGLE-FAMILY RESIDENTIAL LOTS LOCATED AT THE EAST TERMINUS OF VERONA ROAD.”

3. 3. BUSINESS & LEGISLATIVE:

A. PALM SPRINGS NAVIGATION CENTER UPDATE
RECOMMENDATION: Receive and file update.

B. CONSIDER PROPOSAL FROM WE ARE ONE UNITED INC. REQUESTING FINANCIAL ASSISTANCE IN THE AMOUNT OF $400,860 FOR THE UNITED

FOR SAFE YOUTH INITIATIVE
RECOMMENDATION:

Consider Proposal from We Are One United Inc. to provide financial assistance in the amount of $400,860 for the United for Safe Youth Initiative.

1. If supportive of funding request, authorize the Interim City Manager or designee to negotiate an agreement with We Are One United Inc. and execute all documents as needed.

2. C. AN URGENCY ORDINANCE AND A NON-URGENCY ORDINANCE OF THE October 17, 2022 City Council Regular Meeting Agenda 6 C. AN URGENCY ORDINANCE AND A NON-URGENCY ORDINANCE OF THE

CITY COUNCIL OF THE CITY OF PALM SPRINGS, CALIFORNIA,

PROHIBITING ANNUAL RESIDENTIAL REAL PROPERTY RENTAL RATE INCREASES THAT EXCEED TEN PERCENT (10%), OR FIVE PERCENT (5%)

PLUS LOCAL CONSUMER PRICE INDEX, WHICHEVER IS LOWER
RECOMMENDATION:

Waive the reading of the ordinance text in its entirety and read by title only.1.

Adopt an Urgency Ordinance entitled, “AN URGENCY ORDINANCE OF THE

CITY COUNCIL OF THE CITY OF PALM SPRINGS, CALIFORNIA,

PROHIBITING ANNUAL RESIDENTIAL REAL PROPERTY RENTAL RATE INCREASES THAT EXCEED TEN PERCENT (10%), OR FIVE PERCENT (5%) PLUS LOCAL CONSUMER PRICE INDEX, WHICHEVER IS LOWER”; or

2. Adopt an Ordinance entitled, “AN ORDINANCE OF THE CITY COUNCIL OF

THE CITY OF PALM SPRINGS, CALIFORNIA, PROHIBITING ANNUAL

RESIDENTIAL REAL PROPERTY RENTAL RATE INCREASES THAT
EXCEED TEN PERCENT (10%), OR FIVE PERCENT (5%) PLUS LOCAL CONSUMER PRICE INDEX, WHICHEVER IS LOWER.”

3. D. CONSIDERATION FOR APPROVAL AN INTERIM URGENCY ORDINANCE

ESTABLISHING A TEMPORARY MORATORIUM ON THE ISSUANCE OF

VACATION RENTAL PERMITS WITHIN THE CITY OF PALM SPRINGS, AND

PROVIDE DIRECTION REGARDING POTENTIAL REVISIONS TO THE CITY OF PALM SPRINGS VACATION RENTAL ORDINANCE.
*The Staff Report for this item will be available by Wednesday, October 12, 2022.

PUBLIC COMMENT: (Non-Agenda Items) This time has been set aside for members of the public to address the City Council on items of general interest within the subject matter jurisdiction of the City. Although the City Council values your comments, pursuant to the Brown Act, it generally cannot take any action on items not listed on the posted agenda. Two (2) minutes will be assigned to each speaker.

CITY COUNCIL AND CITY MANAGER COMMENTS, REPORTS, & AGENDA DEVELOPMENT: This time is set aside for the City Council and City Manager to provide additional general comments and reports. Additionally, the City Council and City Manager may briefly discuss items of concern and prioritize agenda items for future meeting dates.

ADJOURNMENT:

October 17, 2022 City Council Regular Meeting Agenda 7

AFFIDAVIT OF POSTING
State of California )
County of Riverside ) ss.

City of Palm Springs )

I, Monique M. Lomeli, Chief Deputy City Clerk of the City of Palm Springs, California, hereby certify this Agenda was delivered to each member of the City Council, provided to all parties who have requested such notice, posted at City Hall before 7:00 p.m., on October 10, 2022, and posted on the City’s website as required by established policies and procedures.

____________________________
Monique M. Lomeli, CMC
Chief Deputy City Clerk

P U B L I C N O T I C E S

Pursuant to G.C. Section 54957.5(b)(2) the designated office for inspection of records in connection with the meeting is the Office of the City Clerk, City Hall, 3200 E. Tahquitz Canyon Way. Complete Agenda Packets are available for public inspection at: City Hall Office of the City Clerk. Agenda and staff reports are available on the City’s website www.palmspringsca.gov. If you would like additional information on any item appearing on this agenda, please contact the Office of the City Clerk at
(760) 323-8204.

It is the intention of the City of Palm Springs to comply with the Americans with Disabilities Act (ADA) in all respects. If, as an attendee or a participant at this meeting, or in meetings on a regular basis, you will need special assistance beyond what is normally provided, the City will attempt to accommodate you in every reasonable manner. Please contact the Office of the City Clerk, (760) 323-8204, at least 48 hours prior to the meeting to inform us of your particular needs and to determine if accommodation is feasible.

October 17, 2022 City Council Regular Meeting Agenda 8

CITY COUNCIL STAFF REPORT
10/17/2022
3:30 P.M. CLOSED SESSION
Justin Clifton, City Manager
Attachments
Closed Session Agenda

CITY COUNCIL

AND AS SUCCESSOR AGENCY TO THE

COMMUNITY REDEVELOPMENT AGENCY OF THE CITY OF THE PALM SPRINGS

CLOSED SESSION AGENDA
Monday, October 17, 2022 – 3:30 p.m.

Pursuant to Assembly Bill 361, this meeting may be conducted by teleconference and there will be no in-person public access to the meeting location.

PUBLIC COMMENT PERIOD FOR CLOSED SESSION ITEMS ONLY
(Time limit is two minutes per person) The City Council welcomes public input. Pursuant to State law, the City Council may not discuss or take action on issues not on the meeting agenda (Government Code Section 54954.2). Please contact the City Clerk at 760-323-8204 to be added to the queue.

CONFERENCE WITH LEGAL COUNSEL The City Council finds, based on advice from the City Attorney, that discussion in open session of the following described matter(s) will prejudice the position of the City in existing and anticipated litigation.

MATTERS CREATING SIGNIFICANT EXPOSURE TO LITIGATION G C. § 54956.9(d)(2)

Three (3) matters that, in the opinion of the City council on the advice of the City Attorney, based on existing facts and circumstance, there is significant exposure to litigation against the City.

Claim No. 22-0903, dated April 27, 2022, filed by Law Offices of Monrow Mabon and Barry J.

Bennett, on behalf of Pearl Devers, Survivors & Descendants of Section 14.

DISCUSSION TO CONSIDER INITIATION OF LITIGATION G. C.§ 54956.9(d)(4)

Under existing facts and circumstances, there are two (2)matters the City Council has decided or may decide to initiate litigation.

CONFERENCE WITH REAL PROPERTY NEGOTIATOR G.C. § 54956.8

Property Description: 2990 E. Tahquitz Canyon Way (APN: 502-143-004) Palm Springs, CA
Agency: City of Palm Springs
City Negotiator: Teresa Gallavan, Interim City Manager Negotiating Parties: Tahquitz Housing Associates, LP
Under Negotiation: Price and Terms of Payment for Real Property Covenants

CITY COUNCIL STAFF REPORT
10/17/2022

FINDINGS TO CONDUCT CITY COUNCIL AND BOARD, COMMISSION, AND COMMITTEE MEETINGS VIRTUALLY UNDER ASSEMBLY BILL 361
RECOMMENDATION: Find that the City Council has considered the circumstances of the state of emergency during a proclaimed state of emergency, and state or local officials have imposed or recommended measures to promote social distancing, and as a result, the Palm Springs City Council and all of Palm Springs Board, Commission, and Committee meetings may be held by videoconference, in accordance with AB 361.

Justin Clifton, City Manager
Attachments
Item 1A

CITY COUNCIL STAFF REPORT

DATE: OCTOBER 17, 2022 CONSENT CALENDAR

SUBJECT: FINDINGS TO CONDUCT CITY COUNCIL AND BOARD, COMMISS ION, AND COMMITTEE MEETINGS VIRTUALLY UNDER ASSEMBLY BILL 361

FROM: Teresa Gallavan, Interim City Manager

BY: Brenda Pree, City Clerk

RECOMMENDATION:

Find that the City Council has considered the circumstances of the state of emergency during a proclaimed state of emergency, and state or local officials have imposed or recommended measures to promote social distancing, and as a result, the Palm Springs City Council and all of Palm Springs Board, C ommission, and Committee meetings may be held by videoconference, in accordance with AB 361.

BACKGROUND:

Governor Newsom’s Executive Orders N-29-20 and N-35-20, which relaxed some of the Brown Act’s teleconferencing provisions during the COVID -19 pandemic, expired on September 30, 2021. On September 16, 2021, Governor Newsom signed AB 361, which amends sections of the Brown Act to allow legislative bodies to more easily hold teleconference meetings during a state of emergency.

In order to utilize these provisions of the Brown Act, the City Council must find that it has considered the circumstances of the state of emergency, and either:

(1) state or local officials have imposed or recommended measures to promote social distancing as a result of the proclaimed state of emergency, or
(2) the state of emergency continues to directly impact the ability of the members to meet safely in person.

The City Council must make these findings every 30 days for as long as the City is conducting virtual meetings under AB 361.

City Staff and the City Attorney’s Office believe that these findings can be made. Although the Governor’s Executive Orders dealing with virtual meetings have expired, the original state of emergency for COVID -19 is still in effect. In addition, the California Department of Public Health (CDPH) and the County of Riverside continue to recommend social distancing as a result of the COVID-19 state of emergency.

Item 1A - Page 1
City Council Staff Report
October 17, 2022 -- Page 2
Virtual Meetings Under AB 361

As such, City S taff and the City Attorney recommend that t he City Council make these findings, including at every Council meeting, in order to meet the “every 30 days ” requirement of AB 361. These findings would apply to all City Boards, Commissions and Committees, so they are able to hold virtual meetings under AB 361.

FISCAL IMPACT:

There is no fiscal impact associated with this action.

REVIEWED BY:

Department Director: Brenda Pree
City Attorney: Jeffrey S. Ballinger
Interim City Manager: Teresa Gallavan

Item 1A - Page 2

CITY COUNCIL STAFF REPORT
10/17/2022
ACCEPTANCE OF 2022 SLURRY SEAL, CITY PROJECT 21-02
RECOMMENDATION:

Accept the public works improvement identified as 2022 Slurry Seal, City Project No. 21-02, as completed in accordance with the plans and specifications.

1. Authorize the City Engineer to execute and file a Notice of Completion with the Riverside County Recorder for 2022 Slurry Seal, City Project No. 21-02.

2. Justin Clifton, City Manager
Attachments
Item 1B

CITY COUNCIL STAFF REPORT
DATE: OC
TOBER 17, 2022 CONSENT CALENDAR
SUBJECT: ACCEPTANCE OF 2022 SLURRY SEAL, CITY PROJECT 21-02 FROM: Teresa Gallavan, Interim City Manager
BY: Engineering Services Department
SUMMARY:

For
mal City Council acceptance of the subject project is required to document the completion of the public works improvements, and to allow the City’s filing of a Notice of Completion with the Riverside County Recorder in accordance with Section 9200 of the California Civil Code.

RECOMMENDATION:

1. Acc
ept the public works improvement identified as 2022 Slurry Seal, City Project No. 21-02, as completed in accordance with the plans and specifications.

2. Authorize the City Engineer to execute and file a Notice of Completion with the Riverside County Recorder for 2022 Slurry Seal, City Project No. 21-02.

BUSINESS PRINCIPAL DISCLOSURE:

Not A
pplicable.

BACKGROUND:

On Mar
ch 24, 2022, City Council awarded a construction contract in the amount of $893,600 to Pavement Coatings Co. (the “Contractor”), for the construction of 2022 Slurry Seal, City Project 21-02 (the “Project”).

STAFF ANALYSIS:

Const
ruction of the Project began on May 23, 2022 and continued through September 9, 2022. During that period, approximately 2.7 million square feet of slurry seal was placed on 60 street sections throughout the City. The Contractor completed the work within the allotted working time and the work was determined to have been performed in accordance with the project specifications. The proposed Notice of Completion has been prepared and is included as Attachment A.

Item 1B - Page 1
ENVI
RONMENTAL ASSESSMENT:

Section 21084 of the California Public Resources Code requires Guidelines for Implementation of the California Environmental Quality Act (“CEQA”). The Guidelines are required to include a list of classes of projects which have been determined not to have a significant effect on the environment and which are exempt from the provisions of CEQA. In response to that mandate, the Secretary for Resources identified classes of projects that do not have a significant effect on the environment and are declared to be categorically exempt from the requirement for the preparation of environmental documents. In accordance with Section 15301(c) “Existing Facilities,” Class 1 projects consist of operation, repair, and maintenance of existing highways and streets, sidewalks, gutters, bicycle and pedestrian trails, and similar facilities; therefore, 2022 Slurry Seal, City Project No. 21- 02, is considered categorically exempt from CEQA, and a Notice of Exemption has been filed and recorded with the Riverside County Clerk.

ALIGNMENT WITH STRATEGIC PLANNING:

This item aligns with City Council Priority “Community Infrastructure”, specifically Priority 3A, “Improve City Facilities”.

FISCAL IMPACT:

The original contract amount was $893,600. One change order was issued, reducing the contract by $35,753.19 for a final contract amount of $ 857,846.81. The change order is included as Attachment B.

The City is holding retention funds in the amount of $42,892.34 for the Contractor pending acceptance of improvements and filing the Notice of Completion with the County Recorder’s Office.

REVIEWED BY:

City Engineer: Joel Montalvo
Deputy City Manager: Flinn Fagg
Acting City Manager: Jeremy Hammond
ATTACHMENTS:

A. Notice of Completion
B. Change Order No.1
Item 1B - Page 2
Attachment A
Item 1B - Page 3

Name
Street
Address
City &
State

SPACE ABOVE THIS LINE FOR RECORDERS USE

NOTICE OF COMPLETION
(CA Civil Code §§ 8180-8190, 8100-8118, 9200-9208)
NOTICE IS HEREBY GIVEN THAT:

1. The undersigned is an owner of an interest of estate in the hereinafter described real property, the nature of which interest or estate is:
_________________________________________________________________________________ (e.g. fee, leasehold, joint tenancy , etc.)

2. The full name and address of the undersigned owner or reputed owner and of all co -owners or reputed co -owners are:

Name Street and No. City State
__________________________________________________________________________________________________________

3. The name and address of the direct contractor for the work of improvement as a whole is:
__________________________________________________________________________________________________________

4. This notice is given for (check one):
 Completion of the work of improvement as a whole.
 Completion of a contract for a particular portion of the work of improvement (per CA Civ. Code § 8186).

5. If this notice is given only of completion of a contract for a particular portion of the work of improvement (as provided in CA Civ. Code § 8186), the name and address of the direct contractor under that contract is:
___________________________________________________________________________________________________________

6. The name and address of the construction lender, if any, is:
___________________________________________________________________________________________________________

7. On the ____________ day of ___________, 20___, there was completed upon the herei n described property a work of improvement as a whole (or a particular portion of the work of improvement as provided in CA Civ. Code § 8186) a general description of the work provided:
___________________________________________________________________________________________________________

8. The real property herein referred to is situated in the City of __________________________, County of _______________________ _ State of California, and is described as follows:

___________________________________________________________________________________________________________

9. The street address of said property is:
___________________________________________________________________________________________________________

10. If this Notice of Completion is signed by the owner’s successor in interest, the name and address of the successor’s transferor is:

___________________________________________________________________________________________________________ I certify (or declare) under pe nalty of perjury under the laws of the State of California that the foregoing is true and correct.

Date: _______________________________________ By: ________________________________________________________ Signature of Owner or Owner’s Authorized Agent
City of Palm Springs

Recording Requested By:

When Recorded Mail To:

Item 1B - Page 4

VERIFICATION
I, _______________________________________________, state: I am the ________________________________ __ (“Owner∫, “President”, “Authorized
Agent”, “Partner”, etc.) o
f the Owner identified in the foregoing Notice of Completion. I have read said Notice of Completion and know the contents thereof; the same is true of my own knowledge.

I decl
are under penalty of perjury under the laws of the State of California that the foregoing is true and correct.

Executed on _______________________, _______ (date) , at _______________________________________________ ______ (City), ________ (State). ______________________________________________________
Signature of Owner or Owner’s Authorized Agen
Joel Montalvo/City Engineer
City of Palm Springs

PROOF OF SERVICE DECLARATION
a.
b.
c. 
_____________________________________________________________ (Signature of Person Making Service)

STATE OF CALIFORNIA
COUNTY OF ______________________________________
On _____________________________ ____________, ________ (date), before me, ________________________________ ____________, Notary Public (name and title of officer) 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 authorize d 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 PURJURY under the laws of the State of California that the foregoing paragraph is true and correct.

Witness my hand and official seal.
_____________________________________________
Signature
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.

Item 1B - Page 5

Attachment B
Item 1B - Page 6

CITY OF PALM SPRINGS
CONTRACT CHANGE ORDER
City Project No. 21‐02 Slurry Project
Contract Change Order Number 1

Date:             September 15, 2022
Contractor:           Pavement Coatings Co.

CONTRACT CHANGE ORDER SUMMARY
This Contract Change Order No. 1 provides for contract adjustments as indicated below.

CONTRACT CHANGE ORDER COST
Item No.  DESCRIPTION  UNIT  AMOUNT
1  Final Balancing Credit – Unused field allowance  LS ‐ $35,753.19

REASON FOR CHANGES:

The above balance represents the unused portion of the allotted field allowance.

CHANGES TO CONTRACT TIME:

No increase to contract time

Source of Funds:

All project credits shall be returned to CP 21‐02 funding account.

Summary of Costs:

Original Contract Amount:  $893,600.00  Start Date:  May 23, 2022 Previous Change Order Amount:  $0.00  Previous Days Added:  0 This Change Order Amount: ‐ $35,753.19  Days Added:  0
Revised Contract Amount:  $857,846.81  Revised Completion:  08/03/2022

I have received a copy of this Change Order and the above AGREED PRICES are acceptable to

Pavement Coatings Co.

James Wu – Reginal Operations Manager   Date
City of Palm Springs

Recommended By:

Joel Montalvo, City Engineer   Date
Attest By:

Brenda Pree, City Clerk   Date
Distribution:

Original Conformed Copy:  Conformed ‐ File Copy:

Contractor   (1)  Engineering Pay File   (1)
City Clerk   (1)  City Project File   (1)
Purchasing     (1)
Finance     (1)

Item 1B - Page 7

CITY COUNCIL STAFF REPORT
10/17/2022
APPROVAL OF AMENDMENT NO. 9 TO THE PROFESSIONAL SERVICES AGREEMENT WITH CNS ENGINEERS, INC., A CALIFORNIA CORPORATION (A6190), IN THE AMOUNT OF $38,162.23 FOR THE RAMON ROAD WIDENING (FROM SAN LUIS REY DR. TO LANDAU BLVD.) INCLUDING THE WHITEWATER RIVER BRIDGE WIDENING, CITY PROJECT NO. 08-25, FEDERAL-AID PROJECT NO. BHLS-5282 (040)
RECOMMENDATION:

Approve Amendment No. 9, in the amount of $38,162.23, to Professional Services Agreement No. 6190, for a new not to exceed amount of $3,440,754.46 with CNS Engineers for the Ramon Road Widening (San Luis Rey Dr. to Landau Blvd.) including the Whitewater River Bridge Widening, City Project No. 08-25, Federal-Aid Project No. BHLS-5282 (040), (the “Project”).

1. Authorize the City Manager to execute all necessary documents. 2.

Justin Clifton, City Manager
Attachments
Item 1C

CITY COUNCIL STAFF REPORT

DATE: OCTOBER 17, 2022 CONSENT CALENDAR

SUBJECT: APPROVAL OF AMENDMENT NO. 9 TO THE PROFESSIONAL SERVICES AGREEMENT WITH CNS ENGINEERS, INC., A CALIFORNIA CORPORATION ( A6190), IN THE AMOUNT OF $ 38,162.23 FOR THE RAMON ROAD WIDENING (FROM SAN LUIS REY DR. TO LANDAU
BLVD.) INCLUDING THE WHITEWATER RIVER BRIDGE WIDENING,
CITY PROJECT NO. 08 -25, FEDERAL -AID PROJECT NO. BHLS -5282 (040)

FROM: Teresa Gallavan, Interim City Manager

BY: Engineering Services Department

SUMMARY:

The request ed action will approve Amendment No. 9 to a Professional Services Agreement (PSA) with CNS Engineers, Inc., (Agreement No. 6190 ) in the amount of $38,162.23 to renew the Army Core and Water Quality permit, survey and utility extra work, and update hydraulic analysis within the Whitewater River impacted by recent flooding events to Ramo n Road Widening (San Luis Rey Dr. to Landau Blvd.) including the Whitewater River Bridge Widening, City Project No. 08- 25, Federal-Aid Project No.

BHLS-5282 (040), (the “Project”).

RECOMMENDATION:

1. Approve Amendment No. 9, in the amount of $38,162.23, to Professional Services Agreement No. 6 190, for a new not to exceed amount of $ 3,440,754.46 with CNS Engineers for the Ramon Road Widening (San Luis Rey Dr. to Landau Blvd.) including the Whitewater River Bridge Widening, City Project No. 08- 25, Federal-Aid Project No. BHLS-5282 (040), (the “Project”).

2. Authorize the City Manager to execute all necessary documents.

BUSINESS PRINCIPAL DISCLOSURE:

CNS Engineers is a California corporation. A copy of their Public Integrity Disclosure Form is included as Attachment A.

Item 1C - Page 1
BACKGROUND:

On January 30, 2008, the City of Palm Springs, the City of Cathedral City, and the Agua Caliente Band of Cahuilla Indians submitted a let ter to C oachella Valley Association of Governments (CVAG) requesting funding for a Project Study Report (PSR) to identify the project details and overall scope for the widening of Ramon Road to its full 6- lane width, extending from San Luis Rey Drive to Landau Boulevard, including widening of the existing bridge over the Whitewater River. This capital improvement project has been called the Ramon Road Widening (from San Luis Rey Dr. to Landau Blvd.) including the Whitewater River Bridge Widening, City Project No. 08- 25, (the “Project”). A location map with a 500’ radius is provided in Figure 1 for reference.

Figure 1 – Location Map with a 500’ Radius

On May 9, 2009 , following approval of funding from CVAG, City Council awarded a Professional Services Agreement (“PSA”) to CNS Engineers, Inc., (“CNS”), to prepare a Project Study Report (“PSR”) to identify the project details and overall scope for the Project. CNS subsequently completed the PSR resulting in a funding package requesting over $25 million in federal Highway Bridge Program (“HBP”) funds for widening the Ramon Road Bridge and adjacent bridge approaches. The existing Ramon Road Bridge is eligible for funding under the HBP, which is administered by the state of California \
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Item 1C - Page 2
Department of Transportation (“Caltrans”). The HBP federal funds cover 88.53% of eligible project costs, requiring an 11.47% local match.

On April 28, 2010, Caltrans representatives advised the City that the funding request was approved, and that the project would be programmed as part of the HBP in 2011. Total project costs and initial project schedule are identified in Table 1 below:

Table 1

Phase
HBP
Federal
Funding
CVAG
Regional
Measure A
Palm Springs
Local
Measure A
Cathedral
City
Fair Share
Totals
Preliminary
Engineering $2,453,000 $686,250 $114,375 $114,375 $3,368,000 Right of Way $1,030,000 $1,302,000 $188,356 $245,644 $2,766,000 Construction $21,753,000 $6,083,250 $880,044 $1,147,706 $29,864,000 Totals $25,236,000 $8,071,500 $1,182,775 $1,507,725 $35,998,000

Pursuant to a previous funding agreement with CVAG and Cathedral City, the local funding amounts were funded by CVAG with 75% Regional Measure A funds with the remaining 25% appropriately split between Palm Springs and Cathedral City. This reduces the City’s responsibility of the $36 million total project cost to approximately $1.2 million, to be funded with Local Measure A funds.

On November 28, 2018, the City Council approved Amendment No. 7 to authorize extra work to complete the design of utilities and right -of-way services in the amount of $170,360.48 for an increased total contract amount of $3,402,592.23.

On November 23, 2020, Staff processed no-cost Amendment No. 8, authorizing the readjustment of budgets for certain tasks with reduced scope and reallocating budget for a required biological assessment.

STAFF ANALYSIS:

The proposed amendment will allow CNS Engineers to renew the Clean Water Act Section 404 Nationwide Permit, 401 Water Quality Certification, perform additional work related to the feasibility of a sewer line extension, update the Whitewater River Channel topographic survey, perform channel design modifications, and reevaluate the channel hydraulics for the Project. CNS Engineers has prepared a proposal for the additional work and their proposal is included in, and will be made part of, the amended agreement.

Staff supports and has prepared Amendment No. 9 in the am ount of $38,162.23 to Agreement No. 6190 with CNS Engineers, included as Attachment B.

I I
Item 1C - Page 3
ENVIRONMENTAL ASSESSMENT:

Section 21084 of the California Public Resources Code requires Guidelines for Implementation of the California Environmental Quality Act (“CEQA”). In accordance with the CEQA Guidelines, the City acting as “Lead Agency” pursuant to CEQA, previously completed an environmental analysis of the potential impacts resulting from construction of the Project. On May 7, 2014, the City Council adopted Resolution No. 23544, adopting and ordering the filing of a Mitigated Negative Declaration for the Project. Subsequently, on May 14, 2014, S taff filed a Notice of Determination with the Riverside County Clerk and State Clearinghouse.

The Project is funded, in part, by federal funds, requiring local oversight by Caltrans. As a federally funded project, the Project is subject to environmental review pursuant to the National Environmental Policy Act (“NEPA”) . On June 9, 2014, Caltrans, acting as the lead agency pursuant to NEPA, made an environmental determination that the Project does not individually or cumulatively have a significant impact on the environment as defined by NEPA and is excluded from the requirements to prepare an Environmental Assessment (“EA”) or Environmental Impact Statement (“EIS”), and that it qualifies for a Categorical Exclusion in accordance wi th 23 USC 327 . Subsequently, on January 21, 2016, Caltrans completed a NEPA re- validation of the Project, confirming that the prior NEPA determination for the Project remains valid, and approved the City to proceed with the right-of-way acquisition phase.

ALIGNMENT WITH STRATEGIC PLANNING:

This item aligns with City Council Priority “Community Infrastructure”, specifically Priority 3B, 5-Year Capital Improvement Plan, in identifying high priority facilities.

FISCAL IMPACT:

The Project is funded through Federal and Local sources, with 88.53% from the federal Highway Bridge Program (HBP), and 11.47% from local match, which is expected to come from Coachella Valley Association of Governments (CVAG) Regional Measure "A". The CVAG funds will cover 75% of the local match requirements, with the City of Palm Springs and Cathedral City covering the remaining 25% using Local Measure “A” funds.

Sufficient funding is available to approve Amendment No. 9 to the PSA with CNS in the amount of $38,162.23 from the following accounts:

• Capital Project Fund (261); $33,785.02 (88.53% - State and Fed share) • Regional Measure A Fund (134); $3,282.91 (75% of 11.47% - CVAG share) • Local Measure A Fund (134); $547.15 (1/2 of 25% of 11.47% - City share) • Capital Project Fund (261); $547.15 (1/2 of 25% of 11.47% - Cathedral City share) Item 1C - Page 4
REVIEWED BY:

City Engineer: Joel Montalvo
Deputy City Manager: Flinn Fagg
Acting City Manager: Jeremy Hammond

ATTACHMENTS:

A. Public Integrity Disclosure Form
B. Amendment No. 9
Item 1C - Page 5

Attachment A
Item 1C - Page 6
CITYOFPALMSPRINGS–PUBLICINTEGRITYDISCLOSURE
APPLICANTDISCLOSUREFORM
Page1of2
(Revised0ϵϭϯ18) 

PUBLIC INTEGRITY DISCLOSURE

APPLICANT DISCLOSURE FORM

1. Name of Entit y

2. Address of Entit y (Principle Place of Business)

3. Local or California Address (if different than #2)

4. State where Entit y is Registered with Secretary of State If other than California, is the Entity also registered in California? F Yes F No

5. T ype of Entity
F Corporation F Limited Liability Company F Partnership F Trust F Other (please specify)

6. Officers, Directors, Members, Mana gers, Trustees, Other Fiduciaries (please s pecify) Note: If any response is not a natural person, please identify all officers, directors, members, managers and other fiduciaries for the member, manager, trust or other entity _________________________________________________ F Officer F Director F Member F Manager [name]
F General Partner F Limited Partner
F Other ____________________________________
_________________________________________________ F Officer F Director F Member F Manager [name]
F General Partner F Limited Partner
F Other ____________________________________
_________________________________________________ F Officer F Director F Member F Manager [name]
F General Partner F Limited Partner
F Other ____________________________________
CNS Engineers, Inc.
11870 Pierce Street, Suite 265, Riverside, CA 92505
California
X
Jong-Jiann (James) Lu XX
Hui-Min (Lily) Huang XX
r
Item 1C - Page 7
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Jong-Jiann (James) Lu 100%, CNS Engineers, Inc.

Jong-Jiann (James) Lu, President
1-9-2019
Item 1C - Page 8

Attachment B
Item 1C - Page 9
AMENDMENT NO. 9 TO CONTRACT SERVICES AGREEMENT NO. 6190 FOR THE RAMON ROAD WIDENING (FROM SAN LUIS REY DR. TO LANDAU BLVD.) INCLUDING THE WHITEWATER RIVER BRIDGE WIDENING, CITY PROJECT NO. 08-25, FEDERAL-AID PROJECT NO. BHLS-5282 (040) This Amendment No. 9 to the Contract Services Agreement (A6190), (“Amendment No. 9”) is made and entered into on the ____ day of __________, 2022, by and between the CITY OF PALM SPRINGS, a California charter City and municipal corporation, (herein “City”) and CNS Engineers, a California corporation, (herein “Consultant”). City and Contractor are individually referred to as “Party” and are collectively referred to as the “Parties”.

RECITALS
WHEREAS, on January 31, 2012, the City Council approved that certain Contract Services Agreement with CNS Engineers for professional engineering and consulting services related to the Ramon Road Widening (San Luis Rey Dr. to Landau Blvd.) including the Whitewater River Bridge Widening, City Project No. 08-25, Federal-Aid Project No. BHLS-5282 (040), (the “Project”); and
WHEREAS, the City has determined that there is a need for additional professional services related to the Project; and
WHEREAS, the Parties wish to enter into this Amendment No. 9 to provide the City with the requested additional professional services.

NOW, THEREFORE, in consideration of these promises and mutual obligations, covenants, and conditions, the Parties agree to as follows:

AGREEMENT
SECTION 1. The true and correct recitals above are incorporated by this reference herein as the basis for this Amendment No. 9.

SECTION 2. Section 1.1, Scope of Services of the Agreement is hereby amended as follows:

The additional services identified in the Consultant’s letter dated September 15, 2022, included herewith as Attachment 1, are hereby incorporated into Exhibit “A” of the Agreement.

SECTION 3. Section 3.1 Compensation of Consultant of the Agreement is hereby amended as follows:

The total amount of compensation is increased by $38,162.23 for a new total not to exceed amount of $3,440,754.46 and described in Exhibit “C”.

Item 1C - Page 10

SECTION 4. Full Force and Effect. All terms, conditions, and provisions of the Contract Services Agreement (A6190), unless specifically modified herein, shall continue in full force and effect. In the event of any conflict or inconsistency between the provisions of this Amendment No. 9 and any provision of the Contract Services Agreement (A6190), the provisions of this Amendment No. 9 shall in all respects govern and control.

SECTION 5. The persons executing this Amendment No. 9 on behalf of the Parties hereto warrant that (i) such party is duly organized and existing, (ii) they are duly authorized to execute and deliver this Amendment No. 9 on behalf of said Party, (iii) by so executing this Amendment No. 9, such Party is formally bound to the provisions of this Amendment No. 9, (iv) the entering into this Amendment No. 9 does not violate any provision of any other agreement to which said Party is bound.

[SIGNATURES ON NEXT PAGE]

Item 1C - Page 11

IN WITNESS WHEREOF, the Parties have executed and entered into this Amendment No. 9 as of the dates stated below.

“CITY”
City of Palm Springs

Date: _______________________ By: ________________________ Teresa Gallavan
Interim City Manager

APPROVED AS TO FORM: ATTEST:

By: _______________________ By: _______________________ Jeffrey S. Ballinger Brenda Pree
City Attorney City Clerk

“CONSULTANT”

By: CNS Engineers

Date: _______________________ By: ________________________ Signature

________________________
Printed Name/Title

Date: _______________________ By: ________________________ Signature

________________________
Printed Name/Title

Item 1C - Page 12

Civil and Structural Engineers

CNS Engineers, Inc. 11870 Pierce Street, Suite 265, Riverside, CA 92505 Phone: (951) 687-1005 / Fax: (951) 667-3387 / Web: www.cnseng.com 1 | Page

September 15, 2022

Mr. Joel Montalvo, MPA, PE
City Engineer, Development Services Department
City of Palm Springs
3200 E. Tahquitz Canyon Way
Palm Springs, CA 92262

Subject: Request for Contract Amendment No. 9
Ramon Road Widening from San Luis Rey Drive to Landau Boulevard including the Whitewater River Bridge Widening
City Project No. 08-25
Federal Aid Project No. BHLS 5282-(040)

Dear Mr. Montalvo:

CNS Team requests additional budget to reflect extra work as follows:

1. Renew USACE 404 NW Pe rmit, RWQCB 401 and EPA 401 Certifications The project received a Clean Water Act Sect ion 404 Nationwide Permit (NWP) from US Army Corps of Engineers (USACE) on Marc h 1, 2019. The project also obtained 401 Water Quality Certifications that have t he same expiration date as the 404 Permit. The 404 NWP and 404 Certifications are required for Caltrans Right of Way certification; however, it will expire on March 18, 2022. Due to the delay in right of way acquisition involving Eminent Domain process and Indi an Tribal Lands through Bureau of Indian Affairs (BIA), construction of the project may not start until FY 2023/2024. Therefore, additional effort is required to coordinate with regulatory agencies to renew the 404 and 401 Permits.

2. Engineering Survey of Sewer Extension on Crossley Road The extra work involves performing enginee ring survey to determine the feasibility of extending the sewer line to serve the Villa Bakery.

3. Update Whitewater River Channel Topographic Surveys, and Hydraulic HEC- RAS Analysis, and Channel Modifications Plans
The extra work involves updat ing the topography of the Whit ewater River from 1,400 feet upstream to 300 feet downstream of the bridge and provide an updated topographic exhibit in CAD and PDF. Revise the cha nnel hydraulic HEC-RAS model based on the new topography extending the study approximat ely 3,000 feet upstream and 1,000 feet downstream. The updated floodplain and bri dge hydraulics and scour study report will be submitted to the City and CVWD. C hannel Improvement Plans and Bridge Foundation Plans, quantities, and cost estimate s are revised to reflect the changes in topo in the vicinity of the bridge.

Item 1C - Page 13
Mr. Joel Montalvo, MPA, PE
AMD No. 9
September 15, 2022
2 | Page

We request adjusting budget among tasks as shown in the following table:

Task Current Contract
Amount
Proposed
Amendment
Amended
Contract Amount
Phase I Project Approval and Environmental Document (PA&ED) Task 3.20, USACE Section 404 Permit
and NEPA Clearance/USEPA & SWRCB
Section 401 Water Quality Certification
$33,141.31 $2,241.88 $35,383.19
Phase II Final Design Plans, Specifications and Estimate (PS&E) Task 3.9, 95% Civil Roadway PS&E $192,901.18 $2,463. 42 $195,364.60 Task 3.13 100% Design PS&E &
Contract Bid Documents $236,044.21 $32,956.93 $269,001.14 Other Direct Costs $50,593.50 $500.00 $51,093.50
Subtotal $38,162.23

Current Contract Amount (includes previous approved amendments):

Phase I – PA&ED: $1,132,420.64
Phase II – PS&E: $1,844,696.99
Phase III – R/W: $425,474.60
Total: $3,402,592.23

Proposed Amendment No.9 (this request):

Phase I – PA&ED: $2,241.88
Phase II – PS&E: $35,920.35
Phase III – R/W: $0.00
Total: $38,162.23

Amended Contract Amount:

Phase I – PA&ED: $1,134,662.52
Phase II – PS&E: $1,880,617.34
Phase III – R/W: $425,474.60
Total: $3,440,754.46

Item 1C - Page 14
Mr. Joel Montalvo, MPA, PE
AMD No. 9
September 15, 2022
3 | Page

We look forward to approval of this contract amendment request and continue to deliver the final design and right of way phases of the project. Should you have any questions about this proposal, please feel free to c ontact me at (951) 687-1005 ext.104 or by e- mail at [email protected].

Sincerely,

James Lu, P.E., S.E.

Project Manager / Principal
CNS Engineers, Inc.

Attachments:

1. Cost Proposal Work Sheets

2. Scope of Work with ex tra work shown in blue

Item 1C - Page 15
Current Contract This Amendment Amended Amount
Task 1 Project Management

1.1 Project Administration and Project Controls $114,825.08 $0.00 $114,825.08

1.2 Meeting and Coordination $94,801.88 $0.00 $94,801.88

1.3 Quality Assurance and Quality Control $34,754.94 $0.00 $34,754.94

1.4 Local Assistance Funding/Programming Supports $21,333.20 $0.00 $21,333.20 Task 2 Preliminary Engineering

2.1 Data Collection and Research $18,913.72 $0.00 $18,913.72

2.2 Field Review and Site Assessment $9,354.20 $0.00 $9,354.20

2.3 Surveying and Aerial Topographic Mapping $34,617.46 $0.00 $34,617.46

2.4 Right of Way Research and Base Mapping $25,513.06 $0.00 $25,513.06

2.5 Utility Research, Notification and Mapping $13,776.37 $0.00 $13,776.37

2.6 Traffic Study $44,080.75 $0.00 $44,080.75

2.7 Preliminary Roadway/ Bridge Foundation Report $29,612.51 $0.00 $29,612.51

2.8 Roadway Alternatives Study and Geometric Approval
Drawings $88,094.54 $0.00 $88,094.54

2.9 Preliminary Right of Way Study and Cost Estimates $30,585.21 $0.00 $30,585.21

2.10 Bridge Aesthetics and Approach Landscape Modification Stud
y $50,425.18 $0.00 $50,425.18

2.11 Preliminary Street Lighting Study $4,695.82 $0.00 $4,695.82

2.12 Roadway Drainage Study $7,548.71 $0.00 $7,548.71

2.13 Floodplain Study, Bridge Hydraulics and Sediment Transport Anal
yses $45,355.12 $0.00 $45,355.12

2.14 Preliminary Channel Improvement Plans $10,936.07 $0.00 $10,936.07

2.15 Conditional Letter of Map Revision (CLOMR) $10,592.08 $0.00 $10,592.08

2.16 Bridge Type Selection Study $88,959.68 $0.00 $88,959.68

2.17 Preliminary Cost Estimates $17,279.81 $0.00 $17,279.81

2.18 Project Report Equivalent $41,191.36 $0.00 $41,191.36

2.19 Value Analysis Study $0.00 $0.00 $0.00
Task 3 Environmental Document (CEQA/NEPA)

3.1 Public Scope, Commission & Council Meetings $4,639.62 $0.00 $4,639.62

3.2 Preliminary Environmental Study (PES) $6,721.70 $0.00 $6,721.70

3.3 Noise Study $32,437.36 $0.00 $32,437.36

3.4 Air Quality Study $17,121.22 $0.00 $17,121.22

3.5 Phase 1 Initial site Assessment and ADL Surveys $15,129.12 $0.00 $15,129.12

3.6 Water Quality Assessment Report and Preliminary SWPPP $18,693.84 $0.00 $18,693.84

3.7 Location Hydraulic Study & Summary Floodplain
Encroachment Re
port $8,029.35 $0.00 $8,029.35

3.8 Biological Resources study (NES and BA) $23,377.36 $0.00 $23,377.36

3.9 Wetland and Jurisdictional Delinea tion and Assessment $5,762.43 $0.00 $5,762.43

3.10 Visual Impact Assessment $25,772.25 $0.00 $25,772.25

3.11 Community Impact Assessment $6,563.22 $0.00 $6,563.22

3.12 Cultural Resources Study (ASR/HPSR/APE) $14,262.43 $0.00 $14,262.43

3.13 Draft NEPA Environmental Assessment $25,930.48 $0.00 $25,930.48

3.14 Draft CEQA Initial Study/Mitigated Negative Declaration $10,191.85 $0.00 $10,191.85

3.15 Bureau of Indian Affairs Consultation & NEPA/Section 106 Clearance $4,907.39 $0.00 $4,907.39

3.16 Circulate Draft Environmental Document & Respond
Comments $2,295.22 $0.00 $2,295.22

3.17 Final Environmental Document (MND/FONSI) $5,680.14 $0.00 $5,680.14 Task Labor Cost
Phase I - Project Approval and Environmental Document (PA&ED)

CITY OF PALM SPRINGS
COST PROPOSAL (AMENDMENT NO. 9)
Federal Project No. BHLS-5282(040)), City Project No. 08-25 Professional Engineering Design Services for Ramon Road Widening (San Luis Rey Drive to Landau Boulevard, including the Whitewater River Bridge Widening)
9/15/2022
Task DescriptionTask No.

Summary of Task Costs
Item 1C - Page 16
Current Contract This Amendment Amended Amount
Task Labor Cost
9/15/2022
Task DescriptionTask No.

3.18 File Notice of Determination (CEQA) $655.78 $0.00 $655.78

3.19 Publish Notice in Federal Register $0.00 $0.00 $0.00

3.20 USACE Section 404 Permit and NEPA Clearance/USEPA & SWRCB Section 401 Water Quality Certification $33,141.31 $2,241.88 $35,383.19

3.21 CDFG 1602 Streambed Alteration Agreement $7,257.25 $0.00 $7,257.25 $26,604.57 $0.00 $26,604.57
$1,132,420.64 2,241.88$ $1,134,662.52
Task 1 Project Management

1.1 Project Administration and Project Controls $121,822.49 $0.00 $121,822.49

1.2 Meetings and Coordination $121,174.19 $0.00 $121,174.19

1.3 Quality Assurance and Quality Control $37,087.81 $0.00 $37,087.81

1.4 Local Assistance Supports $16,149.63 $0.00 $16,149.63 Task 2 Final Design Reports and Studies

2.1 Utility Potholing $29,470.26 $0.00 $29,470.26

2.2 Geotechnical Investigations and Design Reports $44,897.86 $0.00 $44,897.86

2.3 Update SWPPP $6,080.52 $0.00 $6,080.52

2.4 Utility Relocation Coordination $92,015.05 $0.00 $92,015.05

2.5 Update Drainage Report $6,564.10 $0.00 $6,564.10

2.6 Update Topographic Field Survey $66,192.23 $0.00 $66,192.23

2.7 Value Analysis Study $77,679.26 $0.00 $77,679.26
Task 3 Plans, Specifications and Estimates (PS&E)

3.1 65% Roadway Plans $101,905.67 $0.00 $101,905.67

3.2 65% Storm Drain Plans and Erosion Control Plans $39,475.47 $0.00 $39,475.47

3.3 65% Channel Improvements Plans $30,166.76 $0.00 $30,166.76

3.4 65% Landscaping Plans $21,777.72 $0.00 $21,777.72

3.5 65% Traffic Control Plans $25,388.06 $0.00 $25,388.06

3.6 65% Signing and Striping Plans $17,758.96 $0.00 $17,758.96

3.7 65% Traffic Signal Improvement Plans $16,211.41 $0.00 $16,211.41

3.8 65% Bridge Mounted Lighting Plans $6,583.34 $0.00 $6,583.34

3.9 95% Civil Roadway PS&E $192,901.18 $2,463.42 $195,364.60

3.10 65% Unchecked Structure Plans $280,459.64 $0.00 $280,459.64

3.11 Bridge Design Independent Check $89,345.23 $0.00 $89,345.23

3.12 95% Structure PS&E $94,295.16 $0.00 $94,295.16

3.13 Final 100% Design PS&E & Contract Bid Documents $236,044.21 $32,956.93 $269,001.14 Task 4 Environmental Permitting

4.1 Habitat Mitigation and Monitoring Plan $12,977.47 $0.00 $12,977.47

4.2 CEQA Exemption & NEPA Caltrans Revalidation $9,679.80 $0.00 $9,679.80 $50,593.50 $500.00 $51,093.50
$1,844,696.99 $35,920.35 $1,880,617.34
Task 1.0 Right-of-Way Services

1.1 Legal Descriptions and Plats $93,409.55 $0.00 $93,409.55

1.2 Right-of-Way Appraisal, Acquisition and Certification $332,065.05 $0.00 $332,065.05 $425,474.60 $0.00 $425,474.60
$3,402,592.23 $38,162.23 $3,440,754.46
Phase III Subtotal
Reimbursable Expenses
Phase I Subtotal
Reimbursable Expenses
Phase II Subtotal
Grand Total
Civil Roadway PS&E
Structure PS&E
Phase II Final Design Plans, Specifications and Estimate (PS&E) Phase III Right of Way
Item 1C - Page 17
Consultant: CNS Engineers, Inc.

Project Name:

Contract No. Date: 8/18/2022

DIRECT LABOR
Hours Actually Hourly Rate Total
6 98.44$ 590.64$
12 67.68$ 812.16$
12 43.44$ 521.28$
10 69.68$ 696.80$
25 43.48$ 1,087.00$
0 63.48$ -$

LABOR COSTS
a) Subtotal Direct Labor Costs 3,707.88$
b) Anticipated Salary Increases -$ 0% 3,707.88$
d) Fringe Benefit (Rate: -$

INDIRECT COSTS
f) Overhead (Rate: 154.04% 5,711.62$
h) General and Administrative (Rate: -$
5,711.62$
FIXED FEE (Profit)
l) (Rate: 10% ) 941.95$

OTHER DIRECT COSTS (ODC)
(ODC is actual cost to be reimbursed with supporting documentation.) m) Reproduction
n) Conference Calls
o) Travel/Mileage Expense (Mileage will be IRS standard rate.) p) Mailing/Overnight/Special Deliveries
q)
-$
CNS Cost (Prime Consultant) 10,361.45$

SUBCONSULTANT COSTS
MSA Consultants 6,463.42$
Epic Land Solutions -$
KOA Corporation -$
Aguilar Consulting, Inc. 19,370.56$
Converse Consulting -$
TKD Associates -$
Terra Nova Planning and Research 1,966.80$
CASC Consulting -$
VMS -$
27,800.78$
TOTAL COST [(c) + (e) + (j) + (k) + (r) + (s)] 38,162.23$ Roadway Project
Engineer/Deputy PM
c) TOTAL DIRECT LABOR COSTS [(a)+(b)]

FRINGE BENEFITS
Project Administrator
Senior Bridge Engineer
s) TOTAL SUBCONSULTANT COSTS
j) TOTAL INDIRECT COSTS [(g) + (i)]
) g) Overhead [(c) x (f)]
Ramon Road Widening (San Luis Rey Drive to Landau Boulevard, including the Whitewater River Bridge Widening)
City of Palm Springs
Cost Proposal
Bridge Design Engineer
r) TOTAL OTHER DIRECT COSTS [(m) + (n) + (o) + (p) + (q) ] Palm Springs City Project No. 08-25
Classification/Title
Principal Bridge Engineer/PM
CADD Design Engineer
Name
James J. Lu
Steve Hosford
k) TOTAL PROFIT [(c) + (e) + (j)] x (l)]
) e) TOTAL FRINGE BENEFITS [(c) x (d)] ) i) Gen & Admin [(c) x (h)]
Item 1C - Page 18

CITY COUNCIL STAFF REPORT
10/17/2022
INITIATION OF ANNEXATION NO. 26 TO COMMUNITY FACILITIES DISTRICT NO. 2005-1 (PUBLIC SAFETY SERVICES)
RECOMMENDATION: Adopt a Resolution entitled, “A RESOLUTION OF THE CITY

COUNCIL OF THE CITY OF PALM SPRINGS, CALIFORNIA, DECLARING ITS

INTENTION TO ANNEX TERRITORY INTO A COMMUNITY FACILITIES DISTRICT

AND TO AUTHORIZE THE LEVY OF SPECIAL TAXES FOR CITY OF PALM SPRINGS COMMUNITY FACILITIES DISTRICT NO. 2005-1, (PUBLIC SAFETY SERVICES), ANNEXATION NO. 26, TRACT MAP NO. 37935”.

Justin Clifton, City Manager
Attachments
Item 1D

CITY COUNCIL STAFF REPORT
DATE: OC
TOBER 17, 2022 CONSENT CALENDAR
SUBJECT: INITIATION OF ANNEXATION NO. 26 TO COMMUNITY FACILITIES DISTRICT NO. 2005-1 (PUBLIC SAFETY SERVICES)
FROM: Teresa Gallavan, Interim City Manager
BY: Engineering Services Department
SUMMARY:

The
City Council previously established Community Facilities District 2005-1 (Public Safety Services) (CFD 2005-1) in October 2005, to levy a special tax on properties identified as “fee status” (non- Indian Allottee Leased or non -Tribal Trust properties) located within the City, to provide a financing mechanism to sustain the delivery of public safety services to new residential developments located on those properties. This action declares the City Council’s intention to annex additional property identified as Annexation No. 26 (for Tract Map No. 37935) ; the action also schedules a Public Hearing for November 29, 2022, to officially annex the additional property into CFD 2005-1.

RECOMMENDATION:

Adopt R
esolution No. _____, “A RESOLUTION OF THE CITY COUNCIL OF THE CITY

OF PALM SPRINGS, CALIFORNIA, DECLARING ITS INTENTION TO ANNEX

TERRITORY INTO A COMMUNITY FACILITIES DISTRICT AND TO AUTHORIZE THE

LEVY OF SPECIAL TAXES FOR CITY OF PALM SPRINGS COMMUNITY FACILITIES DISTRICT NO. 2005-1, (PUBLIC SAFETY SERVICES), ANNEXATION NO. 26 , TRACT MAP NO. 37935”.

STAFF ANALYSIS:

The Ci
ty Council created C ommunity Facilities District 2005-1 (Public Safety Services) (CFD 2005-1) to allow the City to levy a special tax on certain properties identified as “fee status” (non-Indian Allottee Leased or Tribal Trust properties) located within the City to provide a financing mechanism to sustain the delivery of public safety services to new residential developments located on those properties . This type of financing program, which is authorized under the Mello- Roos Community Facilities Act of 1982, envisioned the participation of all future new residential development projects on “fee status” lands, either by formation of new districts or as an annexation into CFD 2005-1.

Item 1D - Page 1
As new residential developments on “fee status” lands have been approved by the City, they are conditionally approved with a requirement to annex into CFD 2005-1. CFD 2005- 1 was specifically established separately from the City’s other district, Community Facilities District 2007-1 (Public Safety Services) (CFD 2007-1), for developments located on Indian Allottee Leased or Tribal Trust lands that cannot be annexed into the existing CFD 2005-1 due to their unique ownership status.

At this time, one residential development approved on “fee status” land is recommended for annexation into CFD 2005-1:
• Annexation No. 26 – Tract Map No. 37935, a residential development consisting of 45 multi-family condominiums, located at the northeast corner of Belardo Road and Museum Way.

In order to commence the annexation process, the City Council is required to adopt a Resolution of Intention. The R esolution set s forth terms and conditions for annexing property into CFD 2005-1 and includes the rate and method of apportionment of the special tax to be levied. The Resolution also schedules a Public Hearing on the proposed annexation, which by statute must be held between 30-60 days following the adoption of the Resolution. In accordance with this requirement, staff recommends that the Public Hearing be scheduled for November 29, 2022. Pursuant to the Mello- Roos Community Facilities A ct of 1982, there are less than 12 registered voters o n the propert y to be annexed into CFD 2005-1; therefore, the special election will be a landowner vote within the annexation.

Prior to the public hearing, the owner of the property proposed to be annexed will return a petition with waivers to the City, waiving certain timing and noticing requirements related to Election Code, which will enable the City to expedite the annexation process by conducting the special election immediately after the November 29, 2022 Public Hearing.

Included with the Resolution of Intention, the City Council also establishes the boundaries of the territory to be annexed into CFD 2005-1.

The special tax currently being assessed on properties within CFD 2005-1 is based upon a Fiscal Impact Analysis that was prepared by MuniFinancial. Based on this analysis, the Fiscal Year 2022/23 special tax for a multi-family residence is $ 451.15 per year . The special tax is collected as part of the Riverside County annual property tax bill.

ENVIRONMENTAL ASSESSMENT:

The reques
ted City Council action is not a “Project” as defined by the California Environmental Quality Act (CEQA). Pursuant to Section 15378(a), a “Project” means the whole of an action, which has a potential for resulting in either a direct physical change in the environment, or a reasonably foreseeable indirect physical change in the environment. The requested action is to authorize annexation of certain properties into CFD 2005-1, and is exempt from CEQA pursuant to Section 15378(b), in that a “Project” Item 1D - Page 2
does not include: (5) Organizational or administrative activities of governments that will not result in direct or indirect physical changes in the environment.

FISCAL IMPACT:

Following annexation of the residential development into CFD 2005-1, after construction of the units (issuance of building permits), the special tax to be levied within the development will generate an additional $ 20,301.75 annually, based on the Fiscal Year 2022/23 rates, to be used specifically for public safety services.

REVIEWED BY:

City Engineer: Joel Montalvo
Deputy City Manager: Flinn Fagg
Acting City Manager: Jeremy Hammond

ATTACHMENTS:

A. Resolution
Item 1D - Page 3
RESOLUTION NO. _____

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF

PALM SPRINGS, CALIFORNIA, DECLARING ITS

INTENTION TO ANNEX TERRITORY INTO A COMMUNITY

FACILITIES DISTRICT AND TO AUTHORIZE THE LEVY OF

SPECIAL TAXES FOR CITY OF PALM SPRINGS
COMMUNITY FACILITIES DISTRICT NO. 2005-1, (PUBLIC
SAFETY SERVICES), ANNEXATION NO. 26, TRACT MAP
NO. 37935.

WHEREAS, under the Mello -Roos Community Facilities Act of 1982 (Sections 53311 and following, California Government Code; hereafter referred to as the “Act”), the City Council of the City of Palm Springs (the “City”) previously conducted proceedings to establish the City of Palm Springs Community Facilities District No. 2005-1 (Public Safety Services) (the “District”); and
WHEREAS, under the Act, this City Council is the legislative body for the proposed annexation of territory to the District and is empowered with the authority to annex territory to the District and levy special taxes within the annexation territory; and WHEREAS, this City Council now desires to commence proceedings to consider the annexation of territory to the District.

THE CITY COUNCIL OF THE CITY OF PALM SPRINGS, CALIFORNIA, HEREBY RESOLVES, DETERMINES AND APPROVES AS FOLLOWS:

SECTION 1. The City Council proposes to begin the proceedings necessary to annex territory to the District pursuant to the Act.

SECTION 2. The name of the existing District is City of Palm Springs, Community Facilities District No. 2005-1 (Public Safety Services).

SECTION 3. A general description of the territory included in the original District is shown on the amended boundary map recorded in the office of the County Recorder for the County of Riverside on November 1, 2005, in Book 64 at Pages 71-77 of Maps of Assessments and Community Facilities Districts, to which map reference is hereby made.

SECTION 4. The territory now proposed to be annexed to the District is shown on Annexation Map No. 26 of the District on file with the City Clerk, a copy of which is attached hereto as Exhibit A, which Exhibit is, by this reference, incorporated herein. The boundaries of which territory are hereby preliminarily approved and to which map reference is hereby made for further particulars . The City Clerk is hereby directed to record, or cause to be recorded, said Annexation Map No. 26 of the District in the office of the County Recorder of the County of Riverside within fifteen days of the date of Item 1D - Page 4
adoption of this Resolution . The Tract Map for the terr itory proposed to be annexed, is attached in Exhibit B.

SECTION 5. The types of services to be funded by the District and pursuant to the Act consist of those services (the “Services”) described in Resolution No. 21402 entitled “A Resolution of the City Council of the City of Palm Springs, California, Declaring its Intention to Establish Community Facilities District No. 2005-1 (Public Safety Services) and to Authorize the Levy of Special Tax Therein to Finance Certain Services” adopted by the City Council on September 7, 200 5, (the “Resolution of Intention”), which Resolution of Intention is, by this reference, incorporated herein . It is presently intended that the Services will relate to the existing territory in the District and the territory proposed to be annexed to the District.

SECTION 6. Except to the extent that funds are otherwise available to the District to pay for the Services, a special tax sufficient to pay the costs thereof, secured by recordation of a continuing lien against all non -exempt real property in the District (including the property being annexed t hereto), will be levied annually within the District and collected in the same manner as ordinary ad valorem property taxes, or in such other manner as this City Council shall determine, including direct billing of the affected property owners. The rate and method of apportionment of the special tax among the parcels of real property within the District, as now in existence and following the annexation proposed herein, in sufficient detail to allow each landowner within the territory proposed to be annexed to the District to estimate the maximum amount such owner will have to pay, is attached in Exhibit C.

SECTION 7. The special tax proposed to be levied for Services to be supplied within the proposed territory to be annexed will be equal to the special taxes levied to pay for the same Services in the District, except that a higher or lower special tax may be levied within the proposed territory to be annexed to the extent that the actual cost of providing the Services in that territory is higher or lower than the cost of providing those Services in the District. Notwithstanding the foregoing, the special tax may not be levied at a rate which is higher than the maximum special tax authorized to be levied pursuant to the rate and method of apportionment of the special tax.

SECTION 8. Notice is given that on Tuesday, November 29, 2022, at 6:00 p.m. or as soon thereafter as the matter may be heard, in the regular meeting place of this City Council in the Council Chambers, at 3200 East Tahquitz Canyon W ay, Palm Springs, California, 92262, and the same are hereby appointed and fixed as the time and place when and where this City Council, as legislative body for the District, will conduct a public hearing on the annexation of territory to the District and consider and finally determine whether the public interest, convenience, and necessity require said annexation of territory to the District and the levy of said special tax therein.

Item 1D - Page 5
SECTION 9. The City Clerk is hereby directed to cause notice of said publi c hearing to be given by publication one time in a newspaper published in the area of the District. The publication of said notice shall be completed at least seven days before the date herein set for said hearing. The notice shall be substantially in the form of Exhibit D hereto.

SECTION 10. This Resolution shall take effect upon its adoption.

ADOPTED THIS 13th DAY OF OCTOBER 2022.

TERESA GALLAVAN

INTERIM CITY MANAGER
ATTEST:
______

BRENDA PREE

CITY CLERK

Item 1D - Page 6

CERTIFICATION

STATE OF CALIFORNIA )
COUNTY OF RIVERSIDE ) ss.

CITY OF PALM SPRINGS )
I, BRENDA PREE , City Clerk of the City of Palm Springs, hereby ce rtify that Resolution No. _____________ is a full, true and correct copy as was duly adopted at a regular meeting of the City Council of the City of Palm Springs on October 13, 2022, by the following vote:

AYES:

NOES:

ABSENT:

ABSTAIN:

IN WITNESS WHEREOF, I have hereunto set my hand and affixed the official seal of the City of Palm Springs, California, this 13th day of October 2022.

____

BRENDA PREE

CITY CLERK

Item 1D - Page 7

EXHIBIT A

CITY OF PALM SPRINGS
COMMUNITY FACILITIES DISTRICT NO. 2005-1
(PUBLIC SAFETY SERVICES)
ANNEXATION NO. 26
TRACT MAP NO. 37935

PROPOSED BOUNDARIES OF THE ANNEXATION TERRITORY

Item 1D - Page 8
ANNEXATION MAP NO. 26 OF
COMMUNITY FACILITIES DISTRICT NO. 2005-1
(PUBLIC SAFETY SERVICES)
F I L E D I N T H E O F F I C E O F T H E C I T Y C L E R K O F T H E C I T Y O F P A L M S P R I N G S T H I S _ _ _ D A Y O F _ _ _ _ _ _ _ _ _ _ 2 0 _ _ . _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ C I T Y C L E R K
C I T Y O F P A L M S P R I N G S R I V E R S I D E C O U N T Y , C A L I F O R N I A I H E R E B Y C E R T I F Y T H A T T H E WI T H I N M A P S H O WI N G P R O P O S E D B O U N D A R I E S O F A N N E X A T I O N N O . 2 6 T O C O M M U N I T Y F A C I L I T I E S D I S T R I C T N O . 2 0 0 5 - 1 ( P U B L I C S A F E T Y S E R V I C E S ) , C I T Y O F P A L M S P R I N G S , C O U N T Y O F R I V E R S I D E , S T A T E O F C A L I F O R N I A , WA S A P P R O V E D B Y T H E C I T Y C O U N C I L O F T H E C I T Y O F P A L M S P R I N G S A T A R E G U L A R M E E T I N G T H E R E O F , H E L D O N T H E _ _ _ _ _ _ D A Y O F _ _ _ _ _ _ _ _ _ _ _ _ 2 0 _ _ , B Y I T S R E S O L U T I O N N O . _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ .
_ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ C I T Y C L E R K
C I T Y O F P A L M S P R I N G S R I V E R S I D E C O U N T Y , C A L I F O R N I A F I L E D T H I S _ _ _ _ D A Y O F _ _ _ _ _ _ _ _ _ _ _ _ _ 2 0 _ _ , A T T H E H O U R O F _ _ _ _ _ _ O  C L O C K _ _ . M . I N T H E B O O K _ _ _ _ _ _ O F M A P S O F A S S E S S M E N T A N D C O M M U N I T Y F A C I L I T I E S D I S T R I C T S A T P A G E ( S ) _ _ _ _ _ _ _ , I N T H E O F F I C E O F T H E C O U N T Y R E C O R D E R , C O U N T Y O F R I V E R S I D E , S T A T E O F C A L I F O R N I A . F E E : _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ I N S T R U M E N T N O : _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ B Y D E P U T Y
C O U N T Y R E C O R D E R
C O U N T Y O F R I V E R S I D E , C A L I F O R N I A F O R P A R T I C U L A R S O F T H E L I N E S A N D D I M E N S I O N S O F A S S E S O R P A R C E L S , R E F E R E N C E I S M A D E T O T H W M A P S O F T H E A S S E S S O R , C O U N T Y O F R I V E R S I D E , S T A T E O F C A L I F O R N I A . R E F E R E N C E I S M A D E T O T H A T A M E N D E D B O U N D A R Y M A P O F C O M M U N I T Y F A C I L I T I E S D I S T R I C T N O . 2 0 0 5 - 1 ( P U B L I C S A F E T Y S E R V I C E S ) O F T H E C I T Y O F P A L M S P R I N G S R E C O R D E D WI T H T H E R I V E R S I D E C O U N T Y R E C O R D E R S O F F I C E O N N O V E M B E R 2 , 2 0 0 5 , I N B O O K 6 4 O F M A P S O F A S S E S S M E N T A N D C O M M U N I T Y F A C I L I T I E S D I S T R I C T S , P A G E S 7 1 - 7 7 , A S I N S T R U M E N T N O . 2 0 0 5 - 0 9 0 4 1 3 4 .

CITY OF PALM SPRINGS

COUNTY OF RIVERSIDE

STATE OF CALIFORNIA

N PALM CANYON DR

E TAHQUITZ CANYON WAYW TAHQUITZ CANYON WAY

ANDREAS RD

BE L A RDO RD

BELARDO RDCAHUILLA RD

MUSEUM DR

N INDIAN CANYON DR
513-560-044
Sheet 1 of 1
Source: Riverside County GIS
Geographic Coordinate Reference: GCS North American 1983 Projection: NAD 1983 StatePlane California VI FIPS 0406 Feet

AMADO RD

CALLE ENCILIA

ANDREAS RD

ARENAS RD

N PALM CANYON DR

N INDIAN CANYON DR

E TAHQUITZ CANYON WAY

MUSEUM DR

W TAHQUITZ CANYON WAY

BELARDO RDCAHUILLA RD

TAHQUITZ DR

S PALM CANYON DRS INDIAN CANYON DR

N VILLAGGIO

S VILLAGGIO

PALISADES DR

ARENAS RD

BELARDO RD

V I C I N I T Y M A PV I C I N I T Y M A P

S I T ES I T E
Legend
A n n e xa t io n P a r c e l
P a r c e ls
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Item 1D - Page 9

EXHIBIT B

CITY OF PALM SPRINGS
COMMUNITY FACILITIES DISTRICT NO. 2005-1
(PUBLIC SAFETY SERVICES)
ANNEXATION NO. 26
TRACT MAP NO. 37935

TRACT MAP OF THE PROPOSED ANNEXATION TERRITORY

Item 1D - Page 10

OWNER'S STATEMENT

WE HEREBY STATE THAT WE ARE THE OWNERS OF THE LAND INCLUDED WITHIN THE SUBDIVISION SHOWN HEREON; THAT WE ARE THE ONLY PERSONS WHOSE CONSENT IS NECESSARY TO PASS A CLEAR TITLE TO SAID LAND; THAT WE

CONSENT TO THE MAKING AND RECORDING OF THIS SUBDIVISION MAP AS SHOWN WITHIN THE DISTINCTIVE BORDER LINE.

DTPS 8-3, LLC, A CALIFORNIA LIMITED LIABILITY COMPANY
BY: ---------
PRINT NAME:

BENEFICIARY

MIDF/RST BANK, A FEDERALLY CHARTERED SAVINGS ASSOC/A TION AS BENEFICIARY UNDER THAT CERTAIN DEED OF TRUST RECORDED JUNE 02, 2017 AS INSTRUMENT NO. 2017-0221699, OF OFFICIAL RECORDS
BY:

PRINTED NAME: ________ _
TITLE: ------------

NOTARY ACKNOWLEDGEMENT

A NOTARY PUBLIC OR OTHER OFFICER COMPLETING THIS CERT/FICA TE

VERIFIES ONLY THE IDENTITY OF THE INDIVIDUAL WHO SIGNED THE

DOCUMENT TO WHICH THIS CERT/FICA TE IS ATTACHED, AND NOT THE TRUTHFULNESS, ACCURACY, OR VALIDITY OF THAT DOCUMENT.

STA TE OF CALIFORNIA } SS
COUNTY OF RIVERSIDE }
ON _____ 2020, BEFORE ME,
_________ A NOTARY PUBLIC,
PERSONALLY APPEARED __________ AND
_________ WHO PROVED TO ME ON THE

BASIS OF SATISFACTORY EVIDENCE TO BE THE PERSON(S) WHOSE NAME(S) IS/ARE SUBSCRIBED TO THE WITHIN INSmUMENT ANO

ACKNOWLEDGED TO ME THAT HE/SHE/THEY EXECUTED THE SAME IN

HIS/HER/THEIR AUTHORIZED CAPACITY(IES), ANO THAT BY
HIS/HER/THEIR S/GNA TURE(S} ON THE INSmUMENT THE PERSON{S),

OR THE ENTITY UPON BEHALF OF WHICH THE PERSON(S) ACTED, EXECUTED THE INSmUMENT.

I CERTIFY UNDER PENAL TY OF PERJURY UNDER THE LAWS OF THE STA TE OF CALIFORNIA THAT THE FOREGOING PARAGRAPH IS mu£ AND CORRECT.

WITNESS MY HANO ANO OFFICIAL SEAL. MY PRINCIPAL PLACE OF BUSINESS IS IN:

S/GNA TUR£: ______ _ COMMISSION NO. __ _
NOTARY PUBLIC EXP/RATION DATE: ___ _

NOTARY ACKNOWLEDGEMENT

A NOTARY PUBLIC OR OTHER OFFICER COMPLETING THIS CERT/FICA TE

VERIFIES ONLY THE IDENTITY OF THE INDIVIDUAL WHO SIGNED THE

DOCUMENT TO WHICH THIS CERT/FICA TE IS ATTACHED, AND NOT THE TRUTHFULNESS, ACCURACY, OR VALIDITY OF THAT DOCUMENT.

STA TE OF CALIFORNIA } SS

COUNTY OF RIVERSIDE )
ON _____ 2020, BEFORE ME,
_________ A NOTARY PUBLIC,
PERSONALLY APPEARED __________ ANO
_________ WHO PROVED TO ME ON THE

BASIS OF SATISFACTORY EVIDENCE TO BE THE PERSON(S) WHOSE NAME(S) IS/ARE SUBSCRIBED TO THE WITHIN INSmUMENT ANO

ACKNOWLEDGED TO ME THAT HE/SHE/THEY EXECUTED THE SAME IN

HIS/HER/THEIR AUTHORIZED CAPACITY(/ES), ANO THAT BY
HIS/HER/THEIR S/GNA TURE(S) ON THE !NSmUMENT THE PERSON(S),

OR THE ENTITY UPON BEHALF OF WHICH THE PERSON(S) ACTED, EXECUTED THE INSmUMENT.

I CERTIFY UNDER PENAL TY OF PERJURY UNDER THE LAWS OF THE STA TE OF CALIFORNIA THAT THE FOREGOING PARAGRAPH IS mu£ ANO CORRECT.

WITNESS MY HANO ANO OFFICIAL SEAL. MY PRINCIPAL PLACE OF BUSINESS IS IN:

S/GNA TUR£: ______ _ COMMISSION NO. ____ _
NOTARY PUBLIC EXP/RATION DA TE: ___ _

IN THE CITY OF PALM SPRINGS, COUNTY OF RIVERSIDE, STATE OF CALIFORNIA TRACT MAP 37935
PARCEL "A" AND B" OF L.L.A. 19-04-2150
PER INSTRUMENT NO. 2019-0289290, REC. 6/28/19
SECTION 3, TOWNSHIP 4 SOUTH, RANGE 4 EAST, S.B.M
VAN SURVEYING, INC. AUGUST 2022

FOR CONDOMINIUM PURPOSES

TAX COLLECTOR'S CERT/FICA TE

I HEREBY CERTIFY THAT ACCORDING TO THE RECORDS OF THIS

OFFICE, AS OF THIS DA TE, THERE ARE NO LIENS AGAINST THE

PROPERTY SHOWN ON THE WITHIN MAP FOR UNPAID STA TE, COUNTY,

MUNICIPAL, OR LOCAL TAXES, OR SPECIAL ASSESSMENTS COLLECTED

AS TAXES, EXCEPT TAXES OR SPECIAL ASSESSMENTS COLLECTED AS

TAXES NOW A LIEN BY NOT YET PAYABLE, WHICH ARE EST/MA TED TO BE$ _____ ~
DA TE: -------- 2022

MATTHEW JENNINGS

COUNTY TAX COLLECTOR
BY _________ _, DEPUTY

TAX BOND CERT/FICA TE
I HEREBY CERTIFY THAT A BOND IN THE SUM OF $ ____ _

HAS BEEN EXECUTED AND FILED WITH THE BOARD OF SUPERVISORS OF

THE COUNTY OF RIVERSIDE, CALIFORNIA, CONDITIONED UPON THE

PAYMENT OF ALL TAXES, STA TE, COUNTY, MUNICIPAL, OR LOCAL,

AND ALL SPECIAL ASSESSMENTS COLLECTED AS TAXES, WHICH AT THE

TIME OF FILING OF THIS MAP WITH THE COUNTY RECORDER ARE A

LIEN AGAINST SAID PROPERTY BUT NOT YET PAYABLE AND SAID BOND HAS BEEN DULY APPROVED BY SAID BOARD OF SUPERVISORS.

DATE: _______ _, 2022

CASH BOND

MA TTHEW JENNINGS

COUNTY TAX COLLECTOR
BY: _______ ~ DEPUTY

S/GNA TURE OMMISS/ONS
PURSUANT TO SECTION 66436 (A), AND (C), OF THE SUBDIVISION MAP ACT. THE S/GNA TURES OF THE FOLLOWING OWNERS OF
EASEMENTS AND/OR OTHER INTEREST HA VE BEEN OMITTED.

4. AS EASEMENT FOR DITCHES AND INCIDENTAL PURPOSES, RECORDED APRIL 22, 1885 AS BOOK 50, PAGE 91 OF DEEDS, RECORDS OF SAN DIEGO COUNTY.

5. IN FAVOR OF: PALM CITY LAND COMPANY
AFFECTS: AS DESCRIBED THEREIN

BLANKET/NOT PLOTABLE

AN EASEMENT FOR FLUMES, DITCHES AND INCIDENTAL PURPOSES, RECORDED AUGUST 10, 1887 AS BOOK 68 OF DEEDS, PAGE 471
IN FAVOR OF: PALM VALLEY LAND AND WATER COMPANY
AFFECTS: AS DESCRIBED THEREIN

BLANKET/NOT PLOTABLE
~ AN EASEMENT FOR PUBLIC UTILITIES AND INCIDENTAL PURPOSES, RECORDED OCTOBER 16, 1968 AS INSTRUMENT NO. 99594 OF OFFICIAL RECORDS.

IN FAVOR OF: GENERAL TELEPHONE COMPANY OF CALIFORNIA. A CORPORATION AFFECTS: AS DESCRIBED THEREIN

M AN EASEMENT SHOWN OR OED/CA TED ON THE MAP AS REFERRED TO

IN THE LEGAL DESCRIPTION
FOR: SIDEWALK, DRAINAGE, PUBLIC UTILITY AND INCIDENTAL PURPOSES

SOILS REPORT
PURSUANT TO SECTION 66490 OF THE SUBDIVISION MAP ACT, A PRELIMINARY SOILS REPORT, PROJECT NO. 544-13040, WAS PREPARED BY SLADDEN ENGINEERING ON APRIL 17, 2013, AND IS ON FILE WITH THE CITY OF PALM SPRINGS, ENGINEERING DEPARTMENT.

SHEET 1 OF 2 SHEETS

RECORDER'S STATEMENT
FILED THIS _ DAY OF ------- 2022, AT
_M. IN BOOK ___ OF PARCEL MAPS AT
PAGES ___ AT THE REQUEST OF THE CITY CLERK OF THE
CITY OF PALM SPRINGS, CALIFORNIA.

NO. ____ _
FEE:

PETER ALDANA

COUNTY RECORDER-ASSESSOR-CLERK
BY: __________ DEPUTY
SUBDIVISION GUARANTEE BY.· NORTH AMERICAN TITLE CO.

SURVEYOR'S STATEMENT

THIS MAP WAS PREPARED BY ME OR UNDER MY DIRECTION AND IS BASED UPON A

FIELD SURVEY IN CONFORMANCE WITH THE REQUIREMENTS OF THE SUBDIVISION MAP

ACT AND LOCAL ORDINANCE AT THE REQUEST OF GLENWOOD MANAGEMENT GROUP, LLC, IN FEBRUARY OF 2020.

I HEREBY STA TE THAT ALL MONUMENTS ARE OF THE CHARACTER AND OCCUPY THE

POSITIONS IND/CA TED OR THAT THEY WILL BE SET WITHIN ONE YEAR OF THE FILING

OF THIS MAP WITH THE COUNTY RECORDER AND THAT THE MONUMENTS ARE, OR WILL

BE, SUFFICIENT TO ENABLE THE SURVEY TO BE RETRACED, AND THAT THIS FINAL

TRACT MAP SUBSTANTIALLY CONFORMS TO THE CONDITIONALLY APPROVED TENTATIVE TRACT MAP. THIS SURVEY IS TRUE AND COMPLETE AS SHOWN.

DATE: -------- 2022
STEVEN J. VAN P.L.S. 6500

CITY ENGINEER'S STATEMENT

I HEREBY STA TE THAT I HA VE EXAMINED THE WITHIN MAP OF TRACT MAP NO. 37935 CONSISTING OF 2 SHEETS; THAT THE SUBDIVISION SHOWN HEREON

IS SUBSTANTIALLY THE SAME AS IT APPEARED ON THE TENTATIVE MAP OR ANY APPROVED AL TERA TIONS THEREOF; THAT ALL PROVISIONS OF THE STA TE

SUBDIVISION MAP ACT AND ANY LOCAL ORDINANCES APPLICABLE AT THE TIME OF APPROVAL OF THE TENTATIVE MAP HA VE BEEN COMPLIED WITH; DATED: ----- 2022
B~------------­JOEL MONTALVO
R.C.E. NO. 62624

CITY SURVEYOR'S STATEMENT

I HEREBY STA TE THAT I HA VE EXAMINED THE MAP, AND THAT I AM SATISFIED THAT SAID MAP IS TECHNICALLY CORRECT.

DATED: ----- 2022
B~-------------ERIK T. HOWARD
P.L.S. 7648
ENGINEERING RESOURCES OF SOUTHERN CALIFORNIA, INC.

CITY CLERK'S STATEMENT

I, MONIQUE LOMELI, INTERIM CITY CLERK AND EX-OFFICIO ASSESSOR OF THE CITY

COUNCIL OF THE CITY OF PALM SPRINGS, STA TE OF CALIFORNIA, HEREBY STA TE THAT SAID CITY COUNCIL AT ITS REGULAR MEETING HELD ON THE __ DAY OF ____ 2022, DULY APPROVED THE FINAL MAP NO. 37935.

THE TENTATIVE MAP FOR SAID TRACT MAP WAS APPROVED BY THE CITY COUNCIL AT ITS REGULAR MEETING HELD ON THE 24TH DAY OF MARCH, 2022.

DATED:

BY.·

MONIQUE LOMELI, CMC

INTERIM CITY CLERK AND EX-OFFICIO ASSESSOR OF THE
CITY COUNCIL OF THE CITY OF PALM SPRINGS, CAL/FOR/NA w.o. 20-110 Item 1D - Page 11
i I
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IN THE CITY OF PALM SPRINGS,

COUNTY OF RIVERSIDE, STATE OF CALIFORNIA
TRACT MAP NO. 37935
BEING A SUBDIVISION OF PARCELS 1,2,3 & 4 OF PARCEL MAP NO. 20326, P.MB. 133/81-85, RIVERSIDE COUNTY RECORDS
NORTHWEST ONE-QUARTER OF SECTION 15, TOWNSHIP 4 SOUTH, RANGE 4 EAST, S.B.M VAN SURVEYING, INC. AUGUST 2022

FOR CONDOMINIUM PURPOSES

SURVEYOR'S NOTES
-----+--------------~-8-.5-8' ___________________ _/ __ ------------ SET NAIL & TAG PLS 6500 IN LIEU OF NAIL & TAG ~f ~tf6 //frfr,fiP.Ff'oJJ/fRs3tt1~sfMtJlJttl}-Jt;TED
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0.84 AC.

N00°08'00W _____ ....... .,.2'17.581
8' SIDEWALK, DRAINAGE &

PUBLIC UTILITY EASEMENT
(TYP.)A I
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THIS TRACT MAP CONTAINS 0.84 ACRES
WITHIN THE DISTINCTIVE BORDER .

BASIS OF BEARINGS·

CENTERLINE OF NORTH PALM CANYON DRIVE
BEING N 00°08'00" W PER PARCEL MAP NO. 20362,
PMB 133 AT PAGES 81 THRU 85, RECORDS OF RIVERSIDE
COUNTY. CALIFORNIA.
~

GRAPHIC SCALE
0 20 40
j ;o I
SCALE 1 "=20' 20-110
Item 1D - Page 12

EXHIBIT C

CITY OF PALM SPRINGS
COMMUNITY FACILITIES DISTRICT NO. 2005-1
(PUBLIC SAFETY SERVICES)

RATE AND METHOD OF APPORTIONMENT

Item 1D - Page 13
A Special Tax of Community Facilities District No. 2005 -1 (Public Safety Services) of the City of Palm Springs (the “District”) shall be levied on all Assessor’s Parcels in the District and collected each Fiscal Year commencing in Fiscal Year 2006 -07 in an amount determined by the City through the application of the rate and method of apportionment of the Special Tax se t forth below. All of the real property in the District, unless exempted by law or by the provisions hereof, shall be taxed for the purposes, to the extent and in the manner herein provided.

A. DEFINITIONS
The terms hereinafter set forth have the following meanings:
“Acre of Acreage” means the land area of an Assessor’s Parcel as shown on an Assessor’s Parcel Map, or if the land area is not shown on an Assessor’s Parcel Map, the land area shown on the applicable final subdivision map, other final map, othe r parcel map, other condominium plan, or functionally equivalent map or instrument recorded in the Office of the County Recorder.

The square footage of an Assessor’s Parcel is equal to the Acreage multiplied by 43,560. “Act” means the Mello -Roos Communit y Facilities Act of 1982, being Chapter 2.5, Part 1, Division 2 of Title 5 of the Government Code of the State of California, as amended, which authorizes the establishment of the District to finance: a) police protection services, and b) fire protection a nd suppression services, and life safety services including but not limited to ambulance and paramedic services.
“Administrative Expenses” means the actual or estimated costs incurred by the City as administrator of the District to determine, levy and col lect the Special Taxes, including the proportionate amount of the salaries and benefits of City employees whose duties are directly related to administration of the District and the fees of consultants, legal counsel, the costs of collecting installments o f the Special Taxes upon the general tax rolls, preparation of required reports; and any other costs required to administer the District as determined by the City. “Annual Escalation Factor” means the greater of the increase in the annual percentage change of the All Urban Consumers Consumer Price Index (CPI) or the percent increase of salaries and benefits for public safety employees as stated in the Memorandum of Understanding for the fiscal year of the Special Tax. The annual CPI used shall be for the area of Los Angeles-Riverside-Orange County, CA as reflected in the then-current April update. The annual CPI used shall be as determined by the United States Department of Labor, Bureau of Labor Statistics, and may be obtained through the California Divi sion of Labor Statistics and

CITY OF PALM SPRINGS
COMMUNITY FACILITIES DISTRICT NO. 2005-1
(PUBLIC SAFETY SERVICES)

RATE AND METHOD OF APPROTIONMENT
Item 1D - Page 14
Research (www.dir.ca.gov/dlsr). If the foregoing index is not available, the CFD Administrator shall select a reasonably comparable index.
“Assessor’s Parcel” means a lot or parcel shown in an Assessor’s Parcel Map with an assigned assessor’s parcel number.
“Assessor’s Parcel Map” means an official map of the Assessor of the County designating parcels by assessor’s parcel number.
“Base Year” means Fiscal Year ending June 30, 2007.
“City” means the City of Palm Springs.
“Council” means the City Council of the City of Palm Springs, acting as the legislative body of the District.
“County” means the County of Riverside, California.
“Developed Multi-Family Residence” means all Asses sor’s Parcels of Developed Property for which a building permit has been issued for purposes of constructing a residential structure consisting of two or more residential units that share common walls, including, but not limited to, duplexes, triplexes, town homes, condominiums, and apartment units. “Developed Property” means all Taxable Property, exclusive of Property Owner Association Property, Non-Residential Property, or Public Property, for which a building permit was issued after January 1, 2006 and prior to May 1st preceding the Fiscal Year in which the Special Tax is being levied.
“Developed Single-Family Residence” means all Assessor’s Parcels of Developed Property for which a building permit(s) has been issued for purposes of constructing one sin gle-family residential dwelling unit.
“District Administrator” means an official of the City, or designee thereof, responsible for determining the Special Tax Requirement and providing for the levy and collection of the Special Taxes.
“District” means Community Facilities District No. 2005 -1 (Public Safety Services) of the City of Palm Springs.
“Entitled Property” means an Assessor’s Parcel and/or Lot in the District, which has a Final Map recorded prior to January 1 st preceding the Fiscal Year in which the Special Tax is being levied, but for which no building permit has been issued prior to the May 1st preceding the Fiscal Year in which the Special Tax is being levied. The term “Entitled Property” shall apply only to Assessors’ Parcels and/or Lots, whi ch have been subdivided for the purpose of residential Item 1D - Page 15
development, excluding any Assessor’s Parcel that is designated as a remainder parcel determined by final documents and/or maps available to the District Administrator. “Final Map” means an Assessor’s Parcel Map, a final subdivision map, other parcel map, other final map, other condominium plan, or functionally equivalent map that has been recorded in the Office of the County Recorder.
“Fiscal Year” means the period starting July 1 and ending on the following June 30. “Land Use Class” means any of the classes listed in Table 1. “Lot” means property within a recorded Final Map identified by a lot number for which a building permit has been issued or may be issued.
“Maximum Special Tax” means the maximum Special Tax, determined in accordance with Section C below that can be levied in the District in any Fiscal Year on any Assessor’s Parcel. “Non-Residential Property” means all Assessors’ Parcels for which a building permit(s) has been issued for a non -residential used and does not contain any residential units as defined under Developed Single Family Residence or Developed Multi-Family Residence. “Property Owner Association Property” means any property within the boundaries of the District that is owned by, or irrevocably dedicated as indicated in an instrument recorded with the County Recorder to a property owner association, including any master or sub-association. “Proportionately” means in a manner such that the ration of the actual Special Tax levy to the Maximum Special Tax is equal for all Assessor’s Parcels within each Land Use Class. “Public Property” means any property within the boundaries of the District that is, at the time of the District formation or at the time of an ann exation, expected to be used for rights -of-way, parks, schools or any other public purpose and is owned by or irrevocably offered for dedication to the federal government, the State, the County, the City or any other public agency. “Public Safety Service Costs” means the estimated and reasonable costs of providing police services and fire protection and suppression services and life safety services, including but not limited to (i) the costs of contracting services, (ii) equipment, vehicles, ambulances, an d paramedics, fire apparatus, supplies, (iii) the salaries and benefits of City staff that directly provide police services and fire protection and suppression services and life safety services, respectively, and (iv) City overhead costs associated with pr oviding such services within the District. On each July 1 following the Base Year the increases attributed to salaries and benefits shall be calculated and limited to the increase based on the Annual Escalation Factor.

The Special Tax provides only partial funding for police, fire and life safety services.

Item 1D - Page 16
“Special Tax” means the Special Tax to be levied in each Fiscal Year on each Assessor’s Parcel of Taxable Property to fund the Special Tax Requirement, and shall include Special Taxes levied or to be levied under Sections C and D, below. “Special Tax Requirement” means that amount required in any Fiscal Year for the District to:
(i) pay for Public Safety Service Costs; (ii) pay reasonable Administrative Expenses; (iii) pay any amounts required to estab lish or replenish any reserve funds; and (iv) pay for reasonably anticipated delinquent Special Taxes based on the delinquency rate for Special Taxes levied in the previous Fiscal Year; less any surplus of funds available from the previous Fiscal Year’s Special Tax levy.
“State” means the State of California.
“Taxable Property” means all of the Assessor’s Parcels within the boundaries of the District and any future annexation to the District that are not exempt from the Special Tax pursuant to law or as defined herein.
“Tax-Exempt Property” means an Assessor’s Parcel not subject to the Special Tax. Tax - Exempt Property includes: (i) Public Property, (ii) Property Owner Association Property, (iii) Non-Residential Property, and (iv) property designated by the City or District Administrator as Tax-Exempt Property.
“Undeveloped Property” means, for each Fiscal year, all Assessor’s Parcels of Taxable Property no t classified as Developed Property or Entitle d Property, including an Assessor’s Parcel that is designated as a remainder parcel and is not identified as potential Public Property by any final documents and/or maps available to the District Administrator. “Unit” means any separate residential dwelling unit in which a person or persons may live, which compris es an independent facility capable of conveyance separate from adjacent residential dwelling units and is not considered to be for commercial or industrial use.

B. ASSIGNMENT TO LAND USE CATEGORIES
Each Fiscal Year using the definitions above, all Taxable Pro perty within the District shall be classified as Developed Property, Entitled Property, or Undeveloped Property. Developed Property shall be further classified as Developed Single -Family Residence or Developed Multi - Family Residence. Commencing with the Base Year and for each subsequent Fiscal Year, all Taxable Property shall be subject to Special Taxes pursuant to Sections C and D below.

C. MAXIMUM SPECIAL TAX RATE

1. Developed Property
TABLE 1
Maximum Special Tax for Developed Property
Community Facilities District No. 2005-1
(Public Safety Services)
Item 1D - Page 17
Land Use
Class Description
Maximum
Special Tax
Per Unit
1 Developed Single-Family
Residence $350 per Unit
2 Developed Multi-Family
Residence $295 per Unit
On each July 1 following the Base Year (i.e., July 1, 2007), the Maximum Special Tax Rates in Table 1 shall be increased in accordance with the Annual Escalation Factor. Once the Maximum Special Tax per Unit is equal to $500 per Unit, no further Annual Escalation Factor shall be applied and the Maximum S pecial Tax per Unit shall not exceed $500.

2. Entitled Property
Table 2
Maximum Special Tax for Entitled Property
Community Facilities District No. 2005-1
(Public Safety Services)
Land Use
Class Description
Maximum
Special Tax Per
Lot
3 Entitled Property $100 per Lot
No Annual Escalation Factor shall be applied to the Maximum Special Tax per Lot for Entitled Property.

3. Undeveloped Property
Undeveloped Property will be assigned a Maximum Special Tax Rate of $500 per acre or portion thereof, with a minimum rate of $100 for Undeveloped Property less than or equal to one-forth (1/4) of an Acre as described in table 3.

Table 3
Maximum Special Tax for Undeveloped Property
Community Facilities District No. 2005-1
(Public Safety Services)
Item 1D - Page 18
Land Use
Class Description
Maximum
Special Tax Per
Parcel/Acre
4 Undeveloped Property less
than or equal to ¼ Acre
$100 per
Assessor’s
Parcel
5 Undeveloped Property > ¼
Acre $500 per Acre
No Annual Escalation Factor shall be applied to the Maximum Special Tax per Parcel/Acre for Undeveloped Property.

4. Tax-Exempt Property
No Special Tax shall be levied on Tax-Exempt Property.

5. Multiple Land Use Classes
In some instances an Assessor ’s Parcel may contain more than one Land Use Class. The Maximum Special Tax levied on an Assessor’s Parcel shall be the sum of the Maximum Special Tax levies that can be imposed on all Land Use Classes located on that Assessor’s Parcel.

D. METHOD OF APPORTIONMENT OF THE SPECIAL TAX
Commencing with Fiscal Year 2006 -07, and for each subsequent Fiscal Year, the District Administrator shall calculate the Special Tax Requirement based on the definitions in Section A and levy the Special Tax as follows until the amount of the Special Tax levied equals the Special Tax Requirement. First, the Special Tax shall be levied each Fiscal Year on each Assessor’s Parcel of Developed Property Proportionately between Developed Single -Family Residence and Developed Multi - Family Residence up to 100% of the applicable Maximum Special Tax. Second, if the Special Tax Requirement has not been satisfied by the first step, then the Special Tax shall be levied each Fiscal Year on each Assessor’s Parcel of Entitled Property up to 100% of the applicable Maximum Special Tax for Entitled Property. Lastly, if the first two steps have not satisfied the Special Tax Requirement, then the Special Tax shall be levied each Fiscal Year on each Assessor’s Parcel of Undeveloped Property up to 100% of the applicable Maximum Special Tax for Undeveloped Property.

E. APPEALS
Item 1D - Page 19
Any tax payer that believes that the amount of the Special Tax assigned to an Assessor’s Parcel is in error may file a written notice with the District Administrator appealing the levy of the Special Tax. This notice is required to be filed with the Distr ict Administrator during the Fiscal Year the error is believed to have occurred. The District Administrator or designee will then promptly review the appeal and, if necessary, meet with the taxpayer. If the District Administrator verifies that the tax should be changed the Special Tax Levy shall be corrected and, if applicable in any case, a refund shall be granted.

F. EXEMPTIONS

1. Residential Property
Residential Properties which annually meet one or more of the following standards shall be exempt from payment of the Special Tax:
a. A Residential Property consisting of one or two person(s) earning $15,300 or less gross income per year, upon complying with procedures to establish such exemption, or
b. A Residential Property consisting of three persons earning $17,900 or less gross income per year, upon complying with procedures to establish such exemption, or
c. A Residential Property which qualifies for either the Low Income Rate Assistance (LIRA) exemption for electrical or gas services or the Lifeline exemption for telephone services.

The City is authorized and directed to promulgate administrative rules and procedures for verification of eligibility for the exemptions referred to in section F.

G. MANNER OF COLLECTION
Special Tax as lev ied pursuant to Section D above shall be collected in the same manner and at the same time as ordinary ad valorem property taxes; provided, however, that the District Administrator may directly bill the Special Tax, many collect Special Taxes at a differen t time or in a different manner if necessary to meet the financial obligations of the District or as otherwise determined appropriate by the District Administrator.

H. TERM OF SPECIAL TAX
Every Five years after the establishment of the District, the City Co uncil may reexamine, if deemed necessary by City Council, the necessity of the continuance of the Special Tax through the preparation of a Fiscal Impact Analysis, otherwise the Special Tax shall be levied in perpetuity.

Item 1D - Page 20

EXHIBIT D

CITY OF PALM SPRINGS
COMMUNITY FACILITIES DISTRICT NO. 2005-1
(PUBLIC SAFETY SERVICES)
ANNEXATION NO. 26
TRACT MAP NO. 37935

NOTICE OF PUBLIC HEARING
Notice is hereby given that the City Council of the City of Palm Springs will conduct a public hearing on Tuesday, November 29, 2022, at 6:00 p.m. or as soon thereafter as the matter may be heard, in the City Council Chambers located at 3200 East Tahquitz Canyon Way, Palm Springs, California, 92262, to consider the following:

CITY OF PALM SPRINGS
COMMUNITY FACILITIES DISTRICT NO. 2005-1
(PUBLIC SAFETY SERVICES)
ANNEXATION NO. 26
TRACT MAP NO. 37935
On October 13th, 2022, the City Council, as the legislative body for the District, adopted a resolution entitled “A Resolution of the City Council of the City of Palm Springs, California, Declaring its Intention to Annex Territory into a Community Facilities District and to Authorize the Levy of Special Taxes for City of Palm Springs Community Facilities District No. 2005 -1 (Public Safety Services)” (the “Resolution of Intention”) .

Pursuant to the Resolu tion of Intention, the City Council determined that the public convenience and necessity require that certain territory, as more particularly described in the Resolution of Intention, be annexed to the existing District, all as provided in the Mello-Roos Community Facilities Act of 1982 (Sections 53311 and following, California Government Code) (the “Act”). Reference is hereby made to the Resolution of Intention, on file with the City Clerk of the City for further particulars . The following is a summary of the provisions of the Resolution of Intention.

In the Resolution of Intention, the City Council declared its intention to annex territory into Community Facilities District No. 2005 -1 (Public Safety Services) (the “District”). The area proposed to be annexed to the District is as shown on Annexation Map No. 26, on file with the City Clerk, and identified in Exhibit A of the Resolution of Intention. The District shall fund police services, fire protection and suppression services, and life safety services . It is presently intended that the services will be provided, without preference or priority, to the existing territory in the District and the territory proposed to be annexed to the District . The Resolution of Intention provides that the special taxes heretofore caused to be levied in the District shall be levied in the territory proposed to be annexed, subject to public hearing and owner consent proceedings as specified in the Act.

At the public hearing the testimony of all interested persons for and again st the annexation of said territory to the District or the levying of special taxes within the Item 1D - Page 21
territory proposed to be annexed will be heard. Any person interested may file a protest in writing with the City Clerk.
/s/ Brenda Pree
City Clerk
City of Palm Springs
Item 1D - Page 22

CITY COUNCIL STAFF REPORT
10/17/2022

AWARD A CONSTRUCTION MANAGER AT RISK AGREEMENT TO TILDEN-COIL CONSTRUCTORS, INC., FOR AN INITIAL GUARANTEED MAXIMUM PRICE OF $10,309,018 FOR THE CITY OF PALM SPRINGS NAVIGATION CENTER PROJECT, CITY PROJECT 22-05
RECOMMENDATION:

Award a Construction Manager at Risk Agreement with Tilden-Coil Constructors, Inc., a California Corporation, for the construction of the City of Palm Springs Navigation Center, City Project 22-05, for an initial guaranteed maximum price not to exceed $10,309,018, to be adjusted over time as trade packages are bid by the construction management team as outlined in the agreement.

1. Authorize the City Manager or designee to approve the final guaranteed maximum amount for the project at a later date as outlined in the agreement.

2. Approve a contingency for the project of approximately 15% or $1,500,000 for adjustments to the scope of work or unforeseen conditions to meet the program requirements and authorize the City Manager or designee to issue change orders up to this amount for the project to be completed in a timely manner.

3. Justin Clifton, City Manager
Attachments
Item 1E

CITY COUNCIL STAFF REPORT

DATE: OCTOBER 17, 2022 CONSENT CALENDAR

SUBJECT: AWARD A CONSTRUCTION MANAGER AT RISK AGREEMENT TO TILDEN-COIL CONSTRUCTORS, INC., FOR AN INITIAL GUARANTEED MAXIMUM PRICE OF $10,309,018 FOR THE CITY OF PALM SPRINGS NAVIGATION CENTER PROJECT, CITY PROJECT 22-05
.

FROM: Teresa Gallavan, Interim City Manager

BY: Engineering Services Department

SUMMARY:

Award a Construction Manager at Risk (CMAR) agreement with Tilden-Coil Constructors, Inc. (“Contractor”) for the construction of the Navigation Center Project 22-05 and approve a project contingency.

RECOMMENDATION:

1. Award a Construction Manager at Risk Agreement with Tilden-Coil Constructors, Inc., a California Corporation, for the construction of the City of Palm Springs Navigation Center, City Project 22-05, for an initial guaranteed maximum price not to exceed $10,309,018, to be adjusted over time as trade packages are bid by the construction management team as outlined in the agreement.

2. Authorize the City Manager or designee to approve the final guaranteed maximum amount for the project at a later date as outlined in the agreement.

3. Approve a contingency for the project of approximately 15% or $1,500,000 for adjustments to the scope of work or unforeseen conditions to meet the program requirements and authorize the City Manager or designee to issue change orders up to this amount for the project to be completed in a timely manner.

BUSINESS PRINCIPAL DISCLOSURE:

The Public Integrity Disclosure Form for Tilden- Coil Constructors, Inc. is included as Attachment A

Item 1E - Page 1
BACKGROUND:

Palm Springs is a small city facing significant demands for services to address the needs of unhoused residents. Short-term day shelters with limited services result in short -term solutions to the larger issue. An effort to find a long- term solution, which is a stable, permanent home, demands a strategic response. Once the homeless are stabilized with a roof over their head and provided with the supportive services they need, the outcomes are dramatically positive.

The City considered several sites throughout the community and selected 3589 McCarthy Road to house the Navigation Center. The property is 3.64 acres in area and includes three standing buildings totaling 46,000 square feet. The City will not need to build required structures from the ground up, saving critical time and money. The land’s large existing pad also creates the opportunity to provide 80 units of modular housing with each unit having required beds, windows, bathrooms, and privacy. A large commercial kitchen will also feed the residents of the facility.

A substantial amount of funding has recently been made available by the Federal and State governments for homelessness assistance. The HomeKey program, offered by the State of California Housing and Community Development Department (“HCD”), has allocated $3.75 billion for projects to rapidly (construction completion within 12 months) create housing by purchasing hotels, motels, and other buildings.

In order to fast track the project, the City will now bring on a Contractor to work under the CMAR project delivery method. This method will allow the Contractor to be engaged early on to advise the City and City’s design team with their construction expertise.

STAFF ANALYSIS:

The Procurement and Contracting Department , in coo rdination with the Engineering Services Department, issued a Request for Proposals (RFP) for Construction Manager at Risk Services for the Navigation Center on August 15, 2022. The RFP was advertised in the local newspaper and on Planetbids , the City’s ele ctronic bid site, which automatically notified fifteen construction firms of the solicitation. A preproposal conference and job walk was held on site August 25, 2022, with one firm in attendance.

Only one proposal was received by the deadline of September 14, 2022; however, staff reached out to all listed contractors the morning the proposals were due to find out if the prospective contractors would be participating. The majority of the prospective contractors disclosed that they were too busy to participate, or it was beyond their capabilities due to the tight time frame to complete the work.

The evaluation team made up of City staff from Engineering Services, Development Services, and Community and Economic Development Departments along with staff from the County and a representative from the City’s housing consultant Lesar, evaluated the Item 1E - Page 2
proposal received against the evaluation criteria to make sure the firm was qualified to do the work. The evaluation criteria consisted of the firm’s experience; the teams experience; a demonstration of the understanding of the work; project contracts including schedule; budget quality and safety; and the initial cost of the project. In addition, references were checked to confirm successful completion of past projects.

After completing the proposal evaluation, an interview of the firm was conducted by the evaluation team and the team is confident that Tilden-Coil possess the right qualifications to be recommended for award of the agreement. Tilden- Coil is a local firm out of Palm Desert, California and has completed a number of similar projects in the Coachella Valley, including a number of mental health facilities for the County of Riverside.

The amount recommended for award of the contract represents an initial guaranteed amount which can change over time as the design progresses and the trade packages are bid to the subtrades to complete the work. A final guaranteed maximum price will be negotiated when the trade packages are complete and have been award ed to th e subtrades by the Construction Manager at Risk Contractor. A copy of the CMAR agreement is included as Attachment B.

ENVIRONMENTAL ASSESSMENT
:

In 2019, the California Legislature passed, and the Governor signed, Assembly Bill (AB) 101. AB 101 contained the Legislature’s determination that “low barrier navigation center developments are essential tools for alleviating the homelessness crisis in this state and are a matter of statewide concern and thus applicable to charter cities.” AB 101 (2019) makes low barrier navigation centers, such as what is proposed by the City and County at 3589 McCarthy Rd., a use by right. Pursuant to Government Code section 65660(b), added by AB 109, CEQA does not apply to any action taken by a public agency to lease, convey, or encumber land owned by a public agency, or to facilitate the lease, conveyance, or encumbrance of land owned by a public agency, or to provide financial assistance to, or otherwise approve, a low barrier navigation center. As such, the City has determined that the project is exempt from CEQA and will file a Notice of Determination.

ALIGNMENT WITH STRATEGIC PLANNING:

This action aligns with the Strategic Plan Item 1 – Quality of Life under 1A , Improve Homelessness, which calls for the building of a navigation center.

FISCAL IMPACT:

The estimated cost for the initial guaranteed price to complete the construction services is $10,309,018 with an estimated contingency amount of $1,500,000 and the possibility of an increase to the guaranteed maximum price upon completion of the trade package Item 1E - Page 3
bids that is yet to be defined. Funding is available in the current fiscal year in account 1002305-50126.

REVIEWED BY:

Procurement Manager Kim Baker
City Engineer Joel Montalvo
Deputy City Manager: Flinn Fagg
Acting City Manager: Jeremy Hammond

ATTACHMENTS:

A. Public Integrity Disclosure Form
B. Construction Manager at Risk Agreement
Item 1E - Page 4
36 Tilden-Coil Constructors, Inc. | Navigation Center Construction Manager At Risk Services

PUBLIC INTEGRITY DISCLOSURE

APPLICANT DISCLOSURE FORM

1. Name of Entity

2. Address of Entity (Principal Place of Business)

3. Local or California Address (if different than #2)

4. State where Entity is Registered with Secretary of State

If other than California, is the Entity also registered in California?  Yes  No

5. Type of Entity
 Corporation  Limited Liability Company  Partnership  Trust  Other (please specify)

6. Officers, Directors, Members, Managers, Trustees, Other Fiduciaries (please specify) Note: If any response is not a natural person, please identify all officers, directors, members, managers and other fiduciaries for the member, manager, trust, or other entity

________________________  Officer  Director  Member  Manager [name]  General Partner  Limited Partner
Other ___________________________

_______________________________  Officer  Director  Member  Manager [ name]  General Partner  Limited Partner
 Other __________________________

________________________________  Officer  Director  Member  Manager [name]  General Partner  Limited Partner
 Other __
________________________
Tilden-Coil Constructors, Inc.
3612 Mission Inn Ave, Riverside, CA 92501
36951 Cook Street, Suite #103, Palm Desert, CA 92211
California
X
Tilden-Coil Holdings Company
X Corporation
Tilden-Coil Constructors, Inc. is 100% owned by Tilden-Coil Holdings Company (owners attached) Dayne Brassard, President and CEO
Brian Jaramillo, Chief Operating Officer
Greg Lackey, Chief Financial Officer
X
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Item 1E - Page 5
37 Tilden-Coil Constructors, Inc. | Navigation Center Construction Manager at Risk Services

7. Owners/Investors with a 5% beneficial interest in the Applicant Entity or a related entity

EXAMPLE

JANE DOE

[name of owner/investor]

50%, ABC COMPANY, Inc.

[percentage of beneficial interest in entity and
name of entity]
A.

[name of owner/investor]

[percentage of beneficial interest in entity and
name of entity]
B.

[name of owner/investor]

[percentage of beneficial interest in entity and
name of entity]
C.

[name of owner/investor]

[percentage of beneficial interest in entity and
name of entity]
D.

[name of owner/investor]

[percentage of beneficial interest in entity and
name of entity]
E.

[name of owner/investor]

[percentage of beneficial interest in entity
and name of entity]

I DECLARE UNDER PENALTY OF PERJURY UNDER THE LAWS OF THE STATE OF CALIFORNIA THAT THE FOREGOING IS TRUE AND CORRECT.

Signature of Disclosing Party, Printed Name, Title

Date

Dayne Brassard 49%, Tilden-Coil Holdings Company
Brian Jaramillo 31%, Tilden-Coil Holdings Company
Greg Lackey 10%, Tilden-Coil Holdings Company
Jason Howarth 7%, Tilden-Coil Holdings Company
Dayne Brassard, President and CEO September 13, 2022
Item 1E - Page 6
CIT

Y OF PALM SPRINGS
CONSTRUCTION MANAGEMENT SERVICES AT RISK AGREEMENT A9234 This Construction Management Services At Risk Agreement (“Agreement”) is entered into this 24th day of October 2022 by and between the City of Palm Springs, a California charte r city and municipal corporation (“City” or “City”) and Tilden- Coil Constructors, Inc. a construction management at risk entity (“CMAR”). City and CMAR may be collectively referred to as the “Parties” and individually as a “Party.”

RECITALS
WHEREAS, City is a public agency of the State of California and is in need of construction management services for the City’s Navigation Center (“Project”), located at 3589 McCarthy Road, Palm Springs, California ("the Property").

WHEREAS, City has retained John Friedman Alice Kimm Architects (the “Architect”) to provide and perform certain services in connection with design of the Project.

WHEREAS, Architect will complete preparation of the Design Documents for the Project.

WHEREAS, in connection with reviews of the Design Documents prepared by the Architect for the Project, and bidding of Trade Contracts for construction of the Project, the City desires to retain and contract with the CMAR to provide construction management services at risk for the Project, as further described in this Agreement.

WHEREAS, on or about August 15, 2022 the City issued a Request for Proposals 22-05 (“the RFP”) pursuant to which the City sought proposals from construction management firms to provide the construction management services in connection with review of Project D esign Documents and the bidding and construction of the Project . A copy of the RFP is incorporated herein by this reference.

WHEREAS, the CMAR submitted a written proposal dated September 14, 2022 responding to the RFP.

WHEREAS, the City desires to retain the CMAR to provide certain services in connection with the Project in order to achieve their mutual objectives relating to the Project, including without limitation, review of the Project Design Documents, management of the bidding process for the Trade Contracts, management of Project construction , completion of Project construction, and to allocate risks for the time/costs to complete Project construction as set forth in this Agreement.

WHEREAS, the CMAR is a professi onal construction manager /general contractor, duly qualified and capable of providing the Services described herein in accordance with the terms hereof.

NOW THEREFORE, for good and valuable consideration, the receipt and adequacy of which is acknowledged by the Parties, the Parties agree as follows:

AGREEMENT

1. DEFINITIONS.

Unless otherwise set forth herein, all terms in this Agreement shall have the meanings indicated in the Special Provisions, attached hereto as Exhibit “ A”. For purposes of this Agreement and where Item 1E - Page 7
appli
cable within the Special Provisions, “Contractor” shall mean “CMAR” and “Subcontractor” shall mean “Trade Contractor.”
a. Trade Contract . A Contract for Construction awarded by the CMAR to a Trade Contractor for the construction of a portion of the Project. b. Trade Contractor. A Trade Contractor to the CMAR under a Trade Contract awarded by the CMAR for construction of the Project and acceptable to City for construction of the Project. Also may be referred to as a “Subcontractor”. c. Design Docu ments. The Drawings, Specifications, calculations and other work product and Instruments of Service prepared by or on behalf of the Architect for the Project. Design Documents include surveys, soils reports , design/trade packages and other documents prepared for the Project by a licensed Architect or registered Engineer, whether under contract to the Architect or City. d. Architect. References to the Architect include its consultants retained to prepare or provide any portion of the Design Documents.
e. Submittals. Shop Drawings, Product Data or Samples prepared or provided by a Trade Contractor or a Subcontractor to a Trade Contractor or suppliers illustrating some portion of the work of the Project.
f. Site. The physical area for construction and activities r elating to construction of the Project.
g. Phases. As described in greater detail herein, the S ervices provided by the CMAR for the Project shall consist of at the Pre -Construction Phase and Construction Phase.

CMAR shall not proceed with any work or any Phase, nor shall the CMAR be entitled to any compensation for any such work unless and until City issues a written Notice to Proceed for that Phase. In entering into this Agreement, the Parties have expressly agreed that City is under no obligation to issue a Notice to Proceed for any specific Phase, and may or may not issue a Notice to Proceed for a specific P hase in City’s sole discretion. If no Notice to Proceed is issued for a specific P hase, the CMAR shall not be entitled to any compensation for such Phase.
h. Initial Guaranteed Maximum Price (IGMP) . The IGMP is the estimate allocated by the City for bidding and construction of the Project by the Trade Contractors and the CMAR’s compensation hereunder, exclusive of (a) fees and costs of the Architect ; (b) fees and costs of other consultants of the City ; and (c) the costs of furniture, furnishing and/or equipment for the Project which are not included in the scope of the Trade Contracts. The IGMP established by the City may be modified by the City from time-to- time.
i. Construction Cost Estimates. Construction Cost Estimates are estimates of the then current costs of labor, materials, equipment and services plus a reasonable allowances as necessary to complete construction of the Project in accordance with t he Design Documents.
j. Construction Costs. The costs of labor, materials, equipment (inclusive of the Trade Contractors’ administrative costs/profit) necessary to complete construction of the Project.

Item 1E - Page 8
k. B
aseline Schedule. The Baseline Schedule is a written o r graphic description prepared by the CMAR showing the various activities necessary to complete Project construction, and the sequencing of such activities. The Baseline Schedule shall not exceed the duration set forth on Exhibit “B” in the scope of work ” attached hereto and incorporated herein.
l. Construction Contract Documents. The Contract Documents issued by or on behalf of the CMAR under a Trade Contract for construction of a portion of the Project.

Construction Contract Documents include all modificat ions issued by or on behalf of the CMAR. Unless otherwise expressly stated, references to the Construction Contract Documents are references to all of the Contract Documents issued for Project construction.
m. Substantial Completion. Substantial Completion i s when the Work has been completed and installed and the Work can be used or occupied for its intended purposes, subject only to minor corrections, repairs or modifications. n. Final Completion. Final Completion is when all of the Work has been completed and installed (including items noted for correction, repair or modification upon Substantial Completion) and all other obligations have been performed under the Construction Contract Documents.

2. SERVICES
a. Services. CMAR shall provide and perform the Preconstr uction and Construction Services (“Services”) more particularly described in this Agreement. The scope of the CMAR’s Services and obligations during each Phase of the Services shall be as set forth herein. All of the Services during the Construction Phase shall be performed or provided by or under the control of an individual employed by the CMAR and who is a licensed general contractor under California law. Services under this Agreement include, without limitation, the General Condition items to be provi ded by the CMAR during the Construction Phase, as further described in this Agreement and scope of work in Exhibit “B attached hereto and incorporated herein. Services shall be subject to the City’s Special Provisions attached hereto as Exhibit “A”. b. Ineligibility to Bid. CMAR, and any other business with common ownership shall be ineligible to bid on any Trade Contract for the Project, but shall remain eligible to bid on any other City projects. CMAR maintains and warrants that it has not employed nor retained any company or person, other than a bona fide employee working solely for the CMAR, to solicit or secure this Agreement. Further the CMAR warrants that it has not paid nor has it agreed to pay any company or person, other than a bona fide employee working solely for the CMAR, any fee, commission, percentage, brokerage fee, gift or other consideration contingent upon or resulting from the award or making of this Agreement.
c. Relationship of CMAR to Other Project Participants. The CMAR acknowledges that the City has entered into, or will be entering into, contracts with other parties including without limitation, contracts with the architect, the inspector, and test/inspection service providers and others . The CMAR acknowledges that accomplishing the Project objectives of the City requires that the CMAR and other parties under Project related contracts with the City each completely and timely perform in accordance with their respective contractual obligations and in a collaborative manner consistent w ith the Item 1E - Page 9
Pr
oject objectives of the City. The CMAR acknowledges and agrees that its performance of the obligations under this Agreement in a complete and timely manner and in a collaborative manner with other Project participants are material obligations of the CMAR under this Agreement.
d. CMAR Standard of Care. CMAR shall provide the Services using its best professional skill and judgment, acting with due care and in accordance with professional standards of care, the terms hereof and applicable law, code, r ule or regulation. CMAR’s Services hereunder shall be provided and completed promptly and in such a manner as to avoid hindrance, interruption or delay to the orderly progress and timely completion of the CMAR’s review of Project Design Documents, Trade C ontractors’ bidding and Project construction to permit occupancy of the Project in accordance with the Owners’ objectives.
e. CMAR Project Manager; Field Superintendent . The Project Manager and Field Superintendent shall be to the reasonable satisfaction of the City; if the City requests alternatives to the individual(s) proposed by the CMAR as the Project Manager or the Field Superintendent, the CMAR shall provide such alternatives until the City has approved of the Project Manager and the Field Superintendent. Once approved by the City, the CMAR shall not designate other individual(s) to serve in such capacities in connection with this Agreement without the prior consent and approval of the City. The Project Manager shall: (a) be authorized to act on behal f of the CMAR with respect to this Agreement; and (b) be authorized to render binding decisions on behalf of the CMAR.
i. City Right to Remove CMAR Project Manager and Field Superintendent .

Notwithstanding the foregoing provisions of Section 2.4, above, if an y CMAR Project Manager or Field Superintendent proves not to be satisfactory to the City , upon written notice from the City to the CMAR, such person shall be promptly replaced by a person who is acceptable to the City in accordance with the procedures set forth below. ii. Selection of Replacement CMAR Project Manager or Field Superintendent. Within five (5) business days after receipt of a notice from the City requesting the replacement of any CMAR Project Manager or Field Superintendent , or promptly followin g the discovery by the CMAR that any CMAR Project Manager or Field Superintendent is leaving the employ of the CMAR , as the case may be, the CMAR shall provide the City with the name of an acceptable replacement/substitution (together with such person’s resume and other information regarding such person’s experience and qualifications).

The replacement/substitution shall commence work on the Project no later than five (5) days following the City’s approval of such replacement, which approval shall not be unreasonably withheld. In the event that the City and CMAR cannot agree as to the substitution of replacement CMAR Project Manager or Field Superintendent , the City shall be entitled to terminate this Agreement for cause, pursuant to the applicable provisions of this Agreement.

3. OWNER RESPONSIBILITIES.
a. City Information. The City shall provide full information to the CMAR regarding the Project including objectives, schedule requirements, budget limitations and other constraints and requirements which may a ffect the IGMP, time for completion of Project construction or Project scope.

Item 1E - Page 10
b. Cit
y's Representatives. The City may designate a representative or representatives to act on its behalf with respect to the Project and who shall be authorized to render decisions on behalf of the City, as applicable, and to carry out the responsibilities of the City under this Agreement, all of which shall be discharged or performed in a manner so as to avoid unreasonable delay in the orderly and sequential progress of the CMAR’s performance of services and other obligations hereunder. c. Tests/Inspections. In accordance with applicable law, rule or regulation, the City may: (a) retain a Project Inspector (“Inspector”) to provide construction observations as required by applicable laws, rules or regulations; and (b) retain Test/Inspection Service Providers to conduct Construction Phase tests/inspections of materials/equipment forming a part of the Project, as required by applicable law, rule or regulation. The retention of the Inspector or the Test/Inspection Service Providers shall not affect the CMAR’s obligations or rights set forth in this Agreement. The foregoing notwithstanding, as set forth below, the Services of the CMAR include assistance to the City in identifying, selecting and retaining the Inspector and Test/Inspection Service Providers.
d. City Consultants. Except to the extent of design consultants retained by the Architect, other consultants required or desired by the City in connection with the Project shall be retained and paid for by the City.

4. PRE-CONSTRUCTION PHASE
a. Review of Design Documents/Bid/Trade Packages. CMAR , including the CMAR’s Project Manager and Field Superintendent, shall review the Design Documents including bid/trade packages completed by the Architect and have a complete understanding of the Project design and scope. CMAR will work cooperatively with the Architect to develop a progressive design, with the CMAR role to provide input on value engineering, schedule impacts, constructability, and materials of construction, construction methods, and costs to help refine the project to meet the needs of City as described in subsequent sections. It is the intent to provide design input early and appropriately to avoid schedule delays and re-design.
b. Project Baseline Schedule. CMAR shall prepare the Project Baseline Schedule during the Pre-Construction Phase as outlined in the scope of work and provide a copy to the City for review and input. Project Baseline Schedule shall be prepared with the most re cent edition of commercially available software designed specifically for the scheduling of construction projects and which utilizes the critical path method of scheduling, subject to the approval by City . The Baseline Schedule shall indicate the start/finish dates for the principal activities of each Bid Package necessary to complete Project construction. The CMAR shall sequence, schedule and coordinate the work of each Bid Package in the Baseline Schedule in a logical, reasonable and orderly manner so that Project construction can be completed for the GMP and within the time established by the City. If the City’s requirements for the Project include phasing elements of Project construction, the City’s phasing requirements shall be set forth in the Baseline Schedule. The CMAR acknowledges that the Baseline Schedule prepared by the CMAR will be included in the Contract Documents for each Bid Package and that Trade Contractors bidding on a Bid Package will rely upon the Bas eline Schedule in developing their respective Bids. Accordingly, the CMAR is solely responsible for the accuracy and completeness of the Baseline Schedule and the reasonable, logical and orderly scheduling, sequencing and coordination of the Trade Contrac tors’ Item 1E - Page 11
cons
truction and construction- related activities to complete Project construction within the time and IGMP established by City.
c. Value Engineering. C MAR’s review of Design D ocuments shall include value engineering. If, upon completing its review of the Design Documents, the CMAR believes that Work of the Project depicted in the Design Documents, construction processes/procedures, specified materials/equipment or other aspects of the Design Documents can be modified to reduce Construction Costs and/or the time for achieving Final Completion of the Project and/or to extend life- cycle and/or to reduce maintenance/operations costs, without diminution in the quality of materials/equipment/workmanship, scope or intended purposes of the Project, the CMAR shall identify the same in writing (the “ Value Engineering Recommendations”) for review and acceptance by the City . The CMAR shall submit initial Value Engineering Recommendations to the City promptly as the design progresses and prior to the issuance of a Bid Package. The City shall have the sole and exclusive discretion to accept some, all or none of the CMAR ’s Value-Engineering Recommendations. If the City accepts any of the CMAR’s Value Engineering Recommendations, the CMAR shall review the Design Documents as modified by the Architect for confirmation that the City accepted Value Engineering Recommendations are incorporated into the Design Documents to be issued on behalf of the City for bidding by Trade Contractors.

If the CMAR determines that the Architect has not incorporated into the Design Documents the Value Engineering Recommendations accepted by the City , the CMAR shall advise the City of measures to ensure that the Design Documents issued for bidding by Trade Contractors incorporate the City acce pted Value Engineering Recommendations.
d. Constructability Review . Concurrently with the CMAR’s review of the Design Documents as to the Value Engineering analysis, the CMAR shall review the Design Documents in an attempt to ascertain whether the Project as depicted in the Design Documents reflects the City’s Project objectives. The scope of the CMAR’s constructability reviews shall be conducted as outlined in the scope of work. The CMAR shall submit written Constructability Review comments to the City within seven (7)) days of the date of this Agreement and upon receipt of the Design Documents .

The City shall have the sole and exclusive discretion to accept some, all or none of the CMAR’s Constructability Review Comments. If the City accepts any of the CMAR’s Constructability Review Com ments, the CMAR shall review the Design Documents modified by the Architect for confirmation that the City accepted Constructability Review Comments are incorporated into the Design Documents issued on behalf of the City for bidding by Trade Contractors. If the CMAR determines that the Architect has not incorporated into the Design Documents the Constructability Review Comments accepted by the City, the CMAR shall advise the City of measures to ensure that the Design Documents issued for bidding by Trade Contractors incorporate the City accepted Constructability Review Comments.
e. City Review Of Value Engineering Recommendations And Constructability Review Comments; Incorporation Of Accepted Value Engineering Recommendations And Constructability Review Comm ents. Upon receipt of the CMAR’s Value Engineering Recommendations and the CMAR ’s Constructability Review Comments, the City shall promptly complete review of the same. The CMAR and the City shall promptly meet and confer to arrive at mutually agreed Val ue Engineering Recommendations and Constructability Review Comments to be incorporated into the Project Design Documents.

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f. Labor/
Materials Marketplace Survey. CMAR shall informally survey the existing labor and materials marketplace conditions in the locality of the Project to ascertain the availability of suitable labor and materials necessary to complete Project construction as outlined in the scope of work . Within fourteen (14) days of the date of this Agreement, the CMAR shall complete the labor/materials marketplace survey and provide the City with a written evaluation of the extent of available and suitable labor/materials and whether the CMAR anticipates that the extent of available and suitable labor/materials will impact the costs/time for complet ion of Project construction. If the CMAR concludes that the extent of available and suitable labor/materials may have an adverse impact on costs/time for completion of Project construction, the CMAR ’s written evaluation shall include recommendations for measures to mitigate such potential adverse impacts to costs/time. CMAR must continually review the Design Documents to identify long lead procurement items (manufactured/fabricated items, equipment, materials and supplies) for the Project.

Long lead items should be identified in the Trade Packages and Project Schedule. If authorized by the City, CMAR will arrange for procurement of long- lead items prior to bidding Trade Packages. CMAR shall track progress of the manufac turing or fabricating these long lead items and advise the City of any problems or possible delays in delivery. City reserves the right to procure any and all the materials and equipment required for the Project.
g. Project Bidding and Construction Strategy. CMAR shall, in conjunction with Ci ty’ and Architect , review the current status of completion and approvals for bidding the Project Design Documents to Trade Contractors. The objective of these reviews is the development of an overall strategy for bidding and constructing the Project taking into account factors affecting time for completing construction of the Project or the costs of constructing the Project. CMAR shall conduct such interviews and participate in such meetings and conferences with the Archi tect, , City’s staff and others as necessary to develop a bidding and construction strategy consistent with City’s Project objectives.

CMAR shall submit its written recommended bidding/construction strategy to the City within thirty (30) days of the Noti ce to Proceed for Preconstruction S ervices (the “Preliminary Bidding/Construction Strategy”). The CMAR may provide for and include a prequalification process for bidders in the bidding/construction strategy subject to the review and approval of City. Within fifteen (15) days of City’s receipt of the CMAR’s Preliminary Bidding/Construction Strategy, City will submit comments, modifications and other direction to the CMAR relating to the CMAR’s Preliminary Bidding/Construction Strategy. The CMAR shall modify the Preliminary Bidding/Construction Strategy as necessary to obtain approval by City. Modifications, if any, to the CMAR’s Preliminary Bidding/Construction Strategy shall be completed within five (5) days of the CMAR’s receipt of written communication from City regarding modifications necessary to obtain City’s acceptance of same; the modification process shall continue until City has accepted the entirety of the CMAR’s proposed bidding/construction strategy (the “Final Bidding/Construction Strategy”) . The CMAR shall implement the Final Bidding/Construction Strategy. h. Development Of Bid Packages. Based upon its review of Design Documents (including any City accepted Value Engineering Recommendations and Constructability Review Comments), the CMAR shall develop written Bid Package descriptions suitable for bidding by Trade Contractors. At least seven (7) days prior to the date the CMAR advertises for bid of any Trade Contract, the Bid Packages developed by the CMAR shall be submitted to the City for review and acceptance by the City. T he City will complete review of the Bid Packages and provide the CMAR Item 1E - Page 13
wi
th comments, requested modifications and similar matters relating to the proposed Bid Packages. Notwithstanding the foregoing provisions or any other provisions of this Agreement, the review of Bid Packages by the City and acceptance of Bid Packages by the City: (a) shall not relieve the CMAR of its responsibility under this Agreement for developing Bid Packages which shall attempt to incorporate all work, labor, materials, equipment and services necessary to construct the Project depicted in the Construction Contract Documents for bidding by Trade Contractors; or (b) be deemed the assumption of responsibility by the City for the completeness, accuracy or sufficiency of any Bid Package or the totality of the Bid Packages developed by the CMAR. The CMAR shall modify the Bid Packages as necessary to obtain the City ’s acceptance of the entirety of each Bid Package and the entirety to all Bid Packages. The CMAR shall attempt to incorporate into each Bid Package and identify all work, labor, materials and services required under each Bid Package so that the Project, as constructed by the Trade Contractors, is as depicted in the Construction Contract Documents issued for bidding, subject to City approved Changes during the Construction Phase. Costs for work, labor, materials or services indicated in the Design Documents issued for bidding by Trade Contractors which are not incorporated into a Bid Package shall be the sole responsibility of the CMAR but may be funded from the amount set aside for contingencies.
i. CMAR Estimate of Construction Costs . CMAR shall prepare a cost model for the Construction Cost Estimates and provide a copy of the cost model to the C ity as outlined in the scope of wor k. The cost model should serve as a basis for all estimates for the Project including the development of the proposed Guaranteed Maximum Price (“ GMP”). CMAR shall continue to refine the Construction Cost Estimates throughout the Pre-Construction Phase as outlined in the scope of work with input provided to the City on clarifications needed to reduce allowances or contingencies. CMAR’s Construction Costs Estimates shall: (a) be in such format and with such detailed breakdown as directed by the City including without limitation a detailed breakdown of estimated costs for construction of the Project; (b ) be organized by the standard specifications sections established by the Construction Specifications Institute (“CSI”); and (c) be based upon the then current market conditions for labor, materials and equipment necessary to complete Project Construction in accordance with the Design Documents. If the CMAR’s final Construction Costs Estimates for the Project, as applicable, exceeds the GMP by ten percent (10%) or greater, the CMAR shall make recommendations to the City for measures to reduce the Construction Costs Estimates to conform with the GMP for the Project, as applicable. j. Review and Assembly of Bid Documents . The CMAR shall prepare standard forms of bid and contract documents for each Trade Contract for the review and approval of City. The CMAR shall incorporate the A greement terms , including bond forms set and Federal Funding Requirements in this Agreement, and other public works contract documents for the Project. Within thirty (30) days of the date of this Agreement, the CMAR shall assemble bid and contract documents for each Bid Package for submission to City for review and accept ance. The CMAR shall not issue any bid or contract documents for bidding by Trade Contractors until all of the bid and contract documents for all Bid Packages are accepted by the City. The bid and contract documents shall require all Trade Contractor payment and performance bonds to name City and CMAR as co -obligees. In addition, bid documents shall require all Trade Contractors to name City and CMAR as additionally insured on all Trade Contractor required insurance policies evidenced by insurance certificate and endorsement.

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k. B
idding of Trade Contracts
i. Selection of Tr ade Contractors. As described above, it shall be the CMAR’s duty to divide the construction work into appropriate Bid P ackages for competitive bidding and award of Trade Contracts for all Pr oject work by the CMAR pursuant to this section. The CMAR shall not be permitted to self-perform construction trade work unless such work is part of its approved CMAR General Conditions Costs or as otherwise expressly approved in writing by City as an amendment to this Agreement . CMAR agrees that its competitive process will ensure the solicitation of multiple bids for each proposed Trade Contract in a manner consistent with City’s standard competitive bidding process unless otherwise approved by City. City reserves the right to oversee and participate in the bidding process as necessary to ensure such competitive procedures are followed. CMAR shall inform all bidders that City will not be a party to any Trade Contract executed by CMAR and the selected bidders. In the event CMAR does not comply with this provision, Cit y may terminate this Agreement for cause in accordance with the termination provisions of this Agreement.

Once City concurs with the selection of the Trade Contractors, such contractors may not be substituted or replaced except with City’s express written approval which may be granted consistent with the requirements of Public Contract Code section 4100 et seq. ii. Advertisements. CMAR shall coordinate the development of such legal advertisements of the availability of Bid Packages for bidding as required by applicable law.

CMAR shall place such advertisements in a newspaper of general circulation within the City ’s boundaries, as well as appropriate publications in the vicinity of the City. CM AR shall place such other notices and issue communications for such purposes as directed or approved by the City.
iii. Dissemination Of Bid Documents To Trade Contractors. The CMAR shall establish a system for dissemination of Bid Documents to Trade Contractor s and for maintaining records of the identities/addresses/telephone numbers/email addresses of the Trade Contractors who have obtained Bid Documents. Copies of the CMAR’s records relating to potential Trade Contractor bidders who have obtained the Bid Documents shall be available to the City upon request of the City to the CMAR.
iv. Trade Contractors Campaign. The CMAR shall, by reasonably appropriate means of communications, advise qualified and bondable Trade Contractors of the availability of Bid Packages for bidding by Trade Contractors. The CMAR shall endeavor to maximize the participation of qualified Trade Contractors . The CMAR shall maintain written or electronic records of contacts made and communications transmitted to/received from potential bidders for the Bid Packages. All such records shall be available for review and/or reproduction by the City upon request of the City.
v. Pre-Bid Conference(s) . The CMAR shall conduct pre -bid conferences, including the job walk(s), if one is required or scheduled in the Bid Documents for any Bid Package. The pre-bid conference shall include without limitation: (a) description of the Project and each Bid Package; (b) description of the process for bidding and award of Trade Contracts; and (c) material requirements of the Trade Contracts relating to bonds, insurance and similar administrative requirements of the Trade Contracts. The job walk shall provide Trade Contractors with an overview of the Site and an understanding of the physical limitations and constraints affecting the Work of the Project or portions thereof. As necessary or appropriate the CMAR shall conduct separate, detailed pre- bid conferences with potential bidders for specific Bid Packages. The CMAR shall develop a process for monitoring attendance by potential Trade Contractor bidders and their potential Subcontractors at job Item 1E - Page 15
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k(s) and pre -bid conferences. The process developed by the CMAR shall include without limitation information relating to: (a) each potential Trade Contractor bidder and each potential Subcontractor bidder to a potential Trade Contractor bidder in attendance; (b) the identify and contact information for the representative of each potential Trade Contractor and each subcontractor to a potential Trade Contractor bidder (including address, telephone number(s), fax number(s) and email address); and (c) whether the representative of each potential Trade Contractor bidder and potential s ubcontractors were in attendance for the entirety of the job walk or pre -bid conference, as applicable. The CMAR shall receive questions from bidders and shall be solely responsible for issuing Addenda to respond to bidders’ questions. vi. Opening/Reading Of Bid Proposals. CMAR shall, with assistance of the City, conduct the public opening and reading of Bid Proposals for Bid Packages. Upon completing the public opening and reading of Bids received, the CMAR shall develop and submit to the City a concurrence letter with bid tabulation of the results of bidding for each Bid Package. The concurrence letter shall include identities of the Bidders, the bid amounts and the identification of the apparent low bidder for each Bid Package consistent with the method for selection identified in the applicable Bid Packages. vii. Review Of Bids ; Recommendations For Award Of Trade Contracts.

CMAR shall review submitted Bids to determine: (a) whether the bidder submitting the Bid is a responsible bidder; (b) whether the Bid Proposal is responsive to material bidding requirements for the Bid Package; and (c) the price for the base scope of Work of each Bid Package. CMAR shall make recommendations to the City regarding: (a) rejection of a Bid based upon the “non- responsibility” of the bidder; (b) rejection of a Bid Proposal for “non- responsiveness” to material bidding requirements of a Bid Package; (c) rejection of a Bid Proposal for any other reason; (d) rejection of all Bid Proposals; and (e) award of Trade Contracts. The CMAR shall make written recommendations to the City for award of the Trade Contracts. The City will review and provide concurrence that the required bid process was followed.
viii. Execution of Trade Contracts by CMAR. Upon the City ’s review and approval of the successful bids recommended for award, CMAR shall execute Trade Contracts with the successful bidders. Upon request by the City the CMAR shall return copies of the executed Trade Contracts and other documents/instruments required to be submitted with the Trade Contracts (including without limitation, Certificates of Insurance, Bonds, etc.), to the Agency. The Trade Contracts shall include an explicit acknowledgement of CMAR’s role and the City’s role, provide the Agency with express rights to enforce the contractual obligations relating to warranty/guarantee obligations and latent defects as well as a description of the City’s retained rights, right to assignment of the Trade Contracts, and all other provisions required by law.
ix. City Retained Rights. Notwithstanding the execution of a Trade Contract pursuant to the foregoing, the City retains the right to have any Trade Contract assigned to the City upon occurrence of: (a) an event of CMAR default under this Agreement which is not cured within the time permitted for cure actions by the CMAR under this Agreement; (b) if the City reasonably determines that the CMAR is encountering adverse financial circumstances ; or (c) termination by the City pursuant to the provisions of this Agreement. A ssignment of a Trade Contract from the CMAR to the City shall be effectuated by the City ’s written notice to the CMAR of the City’s exercise of its rights of assignment and the effec tive date of such assignment in accordance with such procedures as are lineated in the assignment. Except for the written notice described above, no other action shall be required of the Cit y or the CMAR to effectuate an assignment of a Trade Contract to the City. Notwithstanding assignment of a Item 1E - Page 16
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ontract from the CMAR to the City pursuant to the foregoing, the CMAR’s obligations hereunder relating to any such assigned Trade Contract shall be in accordance with the provisions of this Agreement.

5. CONSTRUCTION PHASE
a. Administration and Coordination of Trade Contracts and Construction. CMAR shall provide administrative, management and related services nec essary to manage the Trade Contracts and to schedule, sequence and coordinate t he work of the Trade Contractors during the construction phase of the project so that the City ’s project objectives (including without limitation, budgetary and time objectives) are achi eved and that the work of each Trade Contract is completed in strict conformity with the requirements of each Trade C ontract. The CMAR’s responsibilities include without limit: (a) written notice to the City of the CMAR ’s intent to issue Notice(s) to Proceed directing commencement of work under the Trade Contracts; (b) scheduling, coordinating and conducting pre- construction and construction meetings; recording, maintaining and distributing minutes thereof; (c) in consultation with the City, develop and implement procedures for the submission and processing of Submittals required by each Trade Contract; (d) in consultation with the City and the Architect, develop and implement procedures for the handling and disposition of the Trade Contractors’ requests for information or clarifications; (e) establish and implement procedures for the transmittal and receipt of communications, drawings and other information between the City, , CMAR, Architect, Inspector, Test/Inspection services and the Trade Contractors relating to Project constructi on; ( (f) schedule, sequence and coordinate activities of the Tra de Contractors; (h) allocate Site staging and storage areas among the Trade Contractors; (h) develop and implement procedures for the Trade Contractors’ submittal of payment requests; and ( i) coordinate and prepare change orders for execution.
b. Monitoring of Construction Costs . CMAR will monitor on-going Construction Costs and advise the City of the financial condition of the Project by: (a) development of Project cash flow reports, forecasts and other financial reports to the City , including those reflecting variations between actual Construction Costs and the GMP and estimated costs of unperformed Project activities; (b) maintaining records reflecting the actual costs for activities completed or in progress, including records relating to work performed on a unit cost or lumpsum basis and additional work performed by the Trade Contractors on a time and materials basis; (c) monitor and advise the City of costs pertaining to potential, pending and completed changes to any Trade Contract; and (d) advising and making recommendations to the City for adjustments to the IGMP relative to actual or anticipated Construction Costs. The CMAR shall prepare and submit cost reports (which summarize and present in a logical format the information derived from (a)–(d) above, to the City on a monthly basis; provided that if the City reasonably determines that more frequent cost reports are required, the CMAR shall comply with the directive(s) of the City . The information compiled by the CMAR and reports generated by the CMAR r elating to Construction Costs shall be in such detail and format as required by the City. In addition the extent of detail and the nature of the format of such reports, the information compiled by the CMAR and reports generated by the CMAR shall specifica lly indicate the original Contract Price of each Trade Contract, the extent of adjustment to the original Contract Price for each Trade Contract by City approved Change Orders and the extent of potential further adjustment to the original Contract Price of each Trade Contract as of the date of the Item 1E - Page 17
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R’s report based upon the Change(s) or potential Change(s) known to the CMAR at the time of the CMAR’s preparation of a cost report for a Trade Contract. c. Substantial Completion; Punchlist . Before the City issu es a Certificate of Substantial Completion for the Project, the CMAR shall inspect the Work of each Trade Contractor to verify the achievement by all Trade Contractors of Substantial Completion. If upon such inspection, the CMAR determines that a Trade Contractor has not achieved Substantial Completion, the CMAR shall: (a) identify the portions of the Work of the Trade Contract to be completed in order for Substan tial Completion to be achieved; and ( b) set forth recommendations for measures to secure Subst antial Completion of the Trade Contract. T he CMAR shall enforce measures necessary to achieve Substantial Completion of a Trade Contract.
d. Project Progress.
i. Progressing the Baseline Schedule. . During the course of Project construction and based upon updated Baseline Schedules, CMAR shall monitor and update the Baseline Schedule on a monthly basis or more frequently as may be requested from time- to-time by the City so that the City is kept fully informed at all times of the status and progress of overall Project construction. Where the actual rate of Project construction progress is behind that indicated by the Baseline Schedule, CMAR shall advise and make recommendations to the City for remedial action. The CMAR shall implement and enforce remedial measures.
ii. Coordination of Construction Activities. CMAR shall coordinate the activities of the Trade Contractors with each other and those of the CMAR , the City, the City’s Architect, Inspector, Test/Inspection Service Providers, and others in conformity with the Master Baseline Schedule, including the coordination and sequencing of Trade Contractors’ construction activities so that Site space is appropriately allocated and the progress of construction per the Baseline Schedule is maintained. Material obligations of the CMAR under this Agreement are scheduling, coordination and sequencing the activities of the Trade Contractors in a manner so that Project construction is completed in accordance with the GMP and Guaranteed Completion Date (GCD), as more particularly described in this Agreement. iii. Progress Records. CMAR will maintain records of the progress of Project construction, including written progress reports and photographs reflecting the status of Project construction and percentage completion. CMAR will maintain daily records during Project construction showing weather conditions, Trade Contractors and their s ubcontractors at the Site, work accomplished under each Trade Contract, problems encountered and other matters materially affecting the Project, completion of the Project or Construction Costs. iv. Final Completion. Before the City issues a Certificate of Final Completion for the Project, the CMAR shall inspect the Work of each Trade Contractor and confirm that all Trade Contractors have fully complied with all requirements of the Trade Contract relating to the work and the Trade Contractor’s other obligations under the Trade Contract and that Final Completion under the Trade Contract has been achieved. If upon such inspection and confirmation, the CMAR determines that the obligations of a Trade Contractor under its Trade Contract have not been fully performed in accordance with the terms of the Trade Contract and that Final Completion has not been achieved, the CMAR shall: (a) identify the portions of the work of the Trade Contract or other obligations of the Trade Contractor to be completed in order for Final Completion to be achieved; and ( b) set forth recommendations for measures to Item 1E - Page 18
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ure Final Completion of the Trade Contract. The CMAR shall enforce measures necessary to achieve Final Completion of the Trade Contract.
e. Site Observations.
i. CMAR On-Site. During Project construction and at all times during wh ich there are construction activities under the Trade Contracts at the Site, CMAR shall have i ts Project Manager or Field Superintendent at the Site, to observe, coordinate and manage the activities of the Trade Contractors. CMAR shall maintain at the Site the Trade Contracts, Drawings, Specifications, approved Change Orders, Submittals, applicable codes, rules and regulations and other written or electronic materials relating to the Project. ii. Construction Quality . CMAR shall guard the City against defects and deficiencies in construction and workmanship on the basis of its Site observations, and a quality control program established and implemented hereunder to monitor the workmanship of the Trade Contractors for conformity with: (a) accepted industry stan dards; (b) applicable laws, codes, regulations, ordinances or rules; or (c) and the requirements of the Trade Contracts. The CMAR shall, without adjustment of the Contract Price hereunder or the GMP, as more particularly described in Article 7, below , be responsible for the correction of any portion of the Project installed or constructed by a Trade Contractor which is not in conformity with accepted industry standards and the requirements of the Trade Contract. iii. Site Safety.

1. General. CMAR shall develop and implement Site safety programs as necessary to comply with applicable law, code, rule or regulation and as appropriate for the Site.

2. City’s Safety Program or Requirements . Prior to any Trade Contractor’s performance of work at the Site, the CMAR Shall review the City’s safety program or safety requirements, if any, meet and confer with the Cit y to review the City’s safety program/requirements and to incorporate the same into the CMAR’s Site safety programs.

3. Review / Enforcement of Trade Contractor Safety Programs. CMAR shall provide oversight and monitoring of safety programs of the Trade Contractors on the jobsite. CMAR shall require Trade Contractors to provide job hazard analysis sheets for their trade. CMAR shall be require d to hold weekly saf ety meetings to ensure that safety procedures as identified in the job hazard analysis are upheld and documented.

4. Safety Violations; Safety Conditions. CMAR shall promptly notify the City in writing of all CMAR observed instances of Trade Contractors’ failure to comply with applicable safety requirements. The CMAR ’s written notice shall include identification measures taken by the CMAR to secure Trade Contractors’ compliance with safety programs/requirements. The CMAR shall monitor and enforce implementation of remedial measures to secure Trade Contractors’ compliance with safety programs/requirements. In the event of a safety violation or other unsafe conditions on or about the Project Site which have an immediate potential or actual adverse effect on l ife or property, the CMAR is authorized to take all actions deemed necessary and appropriate by the CMAR under the then existing circumstances to prevent such actual or potential adverse effect. If the CMAR undertakes action Item 1E - Page 19
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uant to the preceding, the CMAR shall immediately notify the City of the: (a) the safety violation or unsafe condition at the Site; (b) the measures undertaken by the CMAR to remedy or mitigate the safety violation/unsafe condition; and (c) other measures recommended by the CMAR to prevent further safety violations/unsafe conditions.
iv. Site General Conditions. At all times d uring construction activities at the Site, the CMAR shall provide or cause to be provided all General Conditions necessary to complete the Project . The Site G eneral Conditions are included in the General Conditions Costs as set forth in this Agreement.

f. Post Construction Work.
i. Review and Transmittal of Trade Contractor Close- Out Documents. The CMAR shall receive from the Trade Contractors the close- out document s and items to be submitted by each Trade Contractor under the terms of their respective Trade Contracts upon completion of obligations under a Trade Contract. The CMAR shall, in conjunction with the City, review each Trade Contractor’s close- out submit tals to determine conformity with requirements of each Trade Contract; if the CMAR determines that any Trade Contractor’s close-out submittals are not in conformity with requirements of the Trade Contract, the CMAR shall take necessary actions to secure compliance with the requirements of the Trade Contract. Within ten (10) days of receipt from a Trade Contractor, the CMAR shall deliver to the City all of the Trade Contractor’s close- out submittals, except for the Trade Contractor’s as-built drawings which the CMAR shall transmit to the CIty for the Architect’s preparation of the Record Drawings.
ii. CMAR Project Records. Within thirty (30) days of the date of issuance of a Certificate of Final Completion for a Trade Contract, the CMAR shall assemble and deliver to the City all of the Project records maintained during the Construction Phase by the C MAR relating to the Trade Contract. Notwithstanding any provision of this Agreement to the contrary or any provision of law to the contrary, all documents, work product, whether of a tangible or intangible nature, whether in draft or final form and whether recorded in writing or any other medium, including without limitation, electronic files relating to the Project or this Agreement are the sole and exclusive property of the City.
iii. Trade Contractors’ Post -Construction Obligations . If any Trade Contractor is obligated under the terms of its Trade Contract to provide work, labor materials or services after completion of Project construction, the CMAR shall manage Trade Contractors’ post -construction activities for conformity with requirements of the Trade Contract. The CMAR shall secure Trade Contractors’ compliance with their respective post - construction obligations.
iv. Project Reports. The CMAR shall monitor the fili ng of any required reports and other actions required by applicable law, rule or regulation to be undertaken by the City’s Architect or Trade Contractors upon completion of Project construction. If the City’s Architect or any Trade Contractor have not fil ed required reports or taken other actions required upon completion of the Project, the CMAR shall secure compliance by the Architect or Trade Contractor with regard to such requirements. The CMAR will assist the City in completion of actions to be undertaken by the City upon completion of the Project.

6. CMAR COMPENSATION
Item 1E - Page 20
a. Cont
ract Price Services. T he contract p rice (“Contract Price”) for the CMAR ’s performance of the Services under this Agreement shall consist of the following components as outlined on Exhibit “C” Cost Proposal Form: (a) a lump sum fixed fee of $270,517.00 which includes bond costs for completion of the Pre -Construction Phase of the Services; and if the Construction Phase is awarded to the CMAR by the City, (b) a IGMP not to exceed amount of $10,038,501.00 that includes: $588,501.00 for General Conditions at the Site during the Con struction Phase of the Project (the “General Conditions Costs”); an initial fixed fee of $450,000.00 for CMAR to manage Trade Contractors and complete the Construction Phase of the Project (“CMAR Fee”); and fixed bond costs of 0.7% of the Construction Costs. Once all the Trade Contracts have been awarded, or sooner if the CMAR chooses , a GMP and revised fixed CMAR Fee will be established, and the Contract Price will be amended accordingly. b. CMAR Guaranteed Maximum Price and Guaranteed Completion Date. CMAR acknowledges and agrees that the Contract Price set forth in Article 6.1 above is based in part upon the CMAR’s guarantee to the City of the maximum Construction Costs for the Project ( the “Guaranteed Maximum Price” or GMP) and the CMAR’s guarantee of the date of Final Completion of the Project ( the “Guaranteed Completion Date” or “GCD”), both established as set forth below.
i. GMP; GCD. Within ten (10) days after the CMAR’s completing the trade bids for all Bid Packages and the CMAR’s recommendation regarding the identity of the responsible bidder submitting the lowest priced Bid for each Bid Package, the CMAR shall prepare and deliver to the City a written statement setting forth the GM P for the Project and the GCD for the Project for review and acceptance by the City . Within five (5) business days of the City’s’ receipt of the CMAR’s proposed GMP and GCD, the City shall advise the CMAR of acceptance of the same or modifications thereto necessary for the City ’s acceptance. The CMAR shall include certification in writing that the GMP includes all Construction Costs and costs associated with the Contract Price necessary to complete and deliver the Project. If the City advises the CMAR of any modifications to the CMAR’s proposed GMP or its proposed GCD, the CMAR and City’ shall meet and confer in good faith to address and fully resolve any objections or the CMAR to the City’s modifications to the CMAR ’s proposed GMP or its proposed Final GCD. Upon mutual agreement between the City and the CMAR concerning the GMP and the GCD, the City and the CMAR shall execute an amendment to this Agreement setting forth the GMCC and the GCD (the “GMP Amendment”). If the negotiations of the GMP are unsuccessful, the City may terminate this Agreement for convenience, pay CMAR any remaining undisputed Contract Price, and proceed without the CMAR in the City’s best interest.
ii. Adjustments to GMP During Construction Phase. The GM P reflected in the GMP Amendment prepared pursuant to this Agreement shall not be modified during the Construction Phase except in the event of the following circumstances: (a) the City directs and authorizes a change which is related solely to City discretionary changes (the foregoing excludes changes authorized by the City resulting from errors, omissions or other deficiencies in the Project Design Documents or changes resulting from the acts, omissions or other conduct of the CMAR); (b) unanticipated field conditions which could not be reasonably foreseeable by the CMAR are encountered which requires cha nges; (c) changes are directed by a governmental agency with jurisdiction over the Project or portions thereof, which could not be reasonably foreseen or anticipated by the CMAR at the conclusion of the Pre- Construction Phase of Services under this Agreement; (d) changes are necessitated by amendment(s) or enactment(s) of laws, rules, ordinances or regulations applicable to the Project or portions thereof which could not be reasonably anticipated or foreseen by the Item 1E - Page 21
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R at the conclusion of the Pre- Construction Phase of Services; or (e) changes resulting from emergencies not caused, in whole or in part, by the acts, omissions or other conduct of the CMAR or its employees, agents or representatives. Adjustments to the GM P shall be reflected in a written amendment to the GM P Amendment duly executed by the City and the CMAR (“GMP Adjustment Amendments”). Notwithstanding any adjustments to the GM P pursuant to the foregoing, the Contract Price for Services under this Agreement shall not be modified.
iii. Adjustment to GCD During Construction Phase. The GCD shall be subject to amendment during the Construction Phase only if: (a) the GM P is modified in accordance with this Agreement and the modified GMP directly affects the time for completion of Project construction; (b) the City directs or authorizes the suspension of constructi on of the Project as a whole or in part and such directive or authorization actually delays Final Completion of the Project; (c) the City directs or authorizes delays to construction of the Project as a whole or in part and such directive or authorization actually delays Final Completion of the Project; or (d) completion of construction of the Project is delayed by the acts or omissions of the City or its employees, agents or representatives. Adjustments to the GCD on account of a circumstance described above shall be reflected in GM P Adjustment Amendments duly executed by the City and the CMAR.
iv. CMAR Notice of Adjustments to GM P or GCD . An express condition precedent to any obligation of the Cit y to consider or to adjust the GM P or the GCD is the CMAR’s delivery of written notice to the City no more than twenty (20) days following the initial occurrence of a circumstance which the CMAR believes is justification for adjustment of the GMP or GCD. The failure of the CMAR to deliver written notice to the City of the occurrence of circumstances the CMAR believes is justification for modification of the GM P or the GCD shall be deemed the CMAR’s waiver of any right to modification of the GM P or the GCD for such circumstances. If the CMAR provides such written not ice, the City shall thereafter promptly consider the request and equitably adjust the GM P or the GCD, as applicable. If the source or nature of a basis for adjustment of the GM P or the GCD is o n-going, the CMAR’s delivery of written notice within the time set forth above after the Initial occurrence of such event shall be deemed sufficient notice.

1. GMP Adjustments. If the CMAR has provided written notice in strict conformity with the foregoing, the extent of adjustment of the GMP shall be equal to the amount of the adjustment of the Contract Price of the Trade Contract(s) affected by the circumstances set forth in this Agreement.

2. GCD Adjustments. The GCD shall be adjusted only to the extent that Final Completion of Project construction is or will be delayed by circumstances justifying adjustment of the GCD, as forth in this Agreement. The CMAR acknowledges and agrees that the adjustment of Contract Time which does not have an effect on the Final Completion of the Project shall not be a basis for adjustmen t of the GCD.
v. Contractor Contingency. In addition to the amount of the GM P, the Contractor will be allowed to carry a contingency made up of any savings from the bid/trade packages in the GMP (“Contingency”). The Contingency shall be used and expended for changes evaluated on a case- by-case basis as determined by the City if such changes have been unreasonable to foresee and included in the CMAR 's Constructability Review ("Site Conditions and Changes). The Contingency shall be used to pay for additional construction costs necessarily incurred to address and resolve such unforeseen changes. All such costs Item 1E - Page 22
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lected as subcontractor Change Orders shall be deducted from the Contingency until th e Contingency is exhausted. N o portion of the Contingency may be applied to costs arising out of unforeseen changes unless approved by the City. Any portion of the Contingency applied to costs arising out of unforeseen changes shall be reflected in a written instrument duly executed on behalf of the City . It is ag reed that the Contingency can be utilized for minor errors and omissions in the contract documents, scope gaps, minor rework and trade damage. vi. CMAR Responsibility for Construction Costs Exceeding GM P. If the Project Construction Costs exceed the GMP plus the Contingency, including all adjustments to the GM P in accordance with this Agreement, the CMAR shall be solely responsible for all Construction Costs exceeding such amount.
vii. CMAR Responsibility for CMAR Caused Delays. If Substantial Completion of the Project occurs after the GCD (including adjustments to the GCD in conformity with this Agreement) and such delay is caused by the CMAR , the CMAR acknowledges and agrees that the City will sustain losses, damages and costs which are extremely difficult to fix and ascertain. Accordingly, if Substantial Completion of the Project is not achieved within the GCD (including adjustments thereto) due to acts, omissions or other conduct of the CMAR, the CMAR agrees to pay to the City as damages and not a penalty, the amount outlined in the Special Provisions per calendar day beyond the adjusted GCD date until Substantial Completion of the Project is achieved (“ CMAR Liquidated Damages”). If acts or omissions of the CMAR cause Substantial Completion of the Project not to be achieved as of the applicable GCD and there is any remaining balance of the Contract Price for Services held by the City at such time, the City may thereafter withhold disbursement(s) of the Contract Price otherwise due the CMAR under this Agreement . CMAR Liquidated Damages shall constitute the sole and exclusive remedy available to City for CMAR-caused delays beyond the GCD. c. City Payments of the Contract Price.
i. CMAR Monthly Payment Requests. Pursuant to the Special Provisions, CMAR shall submit to City on forms approved by City a written request for payment of the Contract Price, together with such supporting data as City may request, covering the amount of the Project work then completed . Unless specified otherwise, such request and supporting data shall be submitted by CMAR so that it is received by City no later than the last day of the month preceding the month in which payment will be made. Upon City ’s approval, City will make a progress payment of the Contract Price to the CMAR in the amount of 95% of the estimated value of the Project work performed through the date of the payment request. ii. Trade Contractors’ Applications for Progress Payments. Pursuant to the Special Provisions, C MAR shall develop and implement procedures for Trade Contractors’ submittal of applications for progress payments and the review, processing and disbursement of progress payments to Trade Contractors, along with associated forms and reporting systems. CMA R shall review and certify to the City the amount due on Trade Contractors’ application for progress payment, CMAR’s progress payment certifications shall constitute CMAR’s representation to the City that, based on CMAR’s observations and professional evaluation at the Site, the data in each application for progress payment, and to the best of CMAR’s knowledge, information and belief, the work covered by the Trade Contract has progressed to the point indicated in the application for progress payment and the quality of the work covered by the Trade Contract is in accordance with the Contract Documents for the Trade Contract subject only to results of subsequent tests, inspections and other procedures, minor deviations from requirements of the Trade Contracts correctable prior to completion and any specific qualification s expressed by CMAR in its certification. CMAR’s issuance of a Item 1E - Page 23
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tificate pursuant to the preceding shall be a representation that the Trade Contractor(s) is/are entitled to payment i n the amo unt so certified. CMAR’s review of applications for progress payment shall be undertaken and completed in a timely manner so that its progress payments due each Trade Contractor are disbursed within the time permitted by applicable law without incurring interest liability or other penalties/liabilities. iii. City Disbursement of Progress Payments. The City shall disburse proceeds to CMAR due for progress payments due Trade Contractors under a Trade Contract upon CMAR’s presentation of: (a) the Trade Contracto r’s request for payment; (b) documentation supporting the Trade Contractor’s payment request; and (c) the verification/certification from CMAR, Architect, and City Inspector of the amount due the Trade Contractor on such payment request, based on the applicable provisions of the Trade Contract. Pursuant to the Special Provisions and within thirty (30) days of the date of CMAR’s submission of all of the foregoing to the City , the City shall make payment to CMAR of the amount verified by CMAR, City Engineer, and City Inspector as being due the Trade Contract, except to the extent that the City’s payment of such amount or any portion thereof is subject to withholdings for stop notice, prevailing wage rate violations or other withholdings of payment(s) due the Trade Contract under the terms of the Trade Contract, Special Provisions, or by operation of law. In accordance with the Special Provisions, CMAR shall disburse the same to the Trade Contractor. CMAR shall ensure that all such progress payments are timel y made under applicable law and the Special Provisions. CMAR shall indemnify the City against any and all claims arising from or related to the failure of CMAR to comply with the prompt payment requirements under the Public Contract Code unless the City m akes payment to CMAR after thirty (30) days and the City’s late payment results in CMAR receiving payment designated for a Trade Contractor from the City, thirty (30) days after CMAR’s application for progress payment.

iv. City Payments of Contract Price. City shall make payment to CMAR within thirty (30) days of receipt of an undisputed payment request or the resolution of any billing dispute. City may withhold a portion of an application for payment because of defective work not remedied or unsatisfactory prosecution of the work by the CMAR. City will release any withheld funds upon CMAR satisfactorily remedying the issue that resulted in the withholding.

City will not pay late fees to the CMAR on the compensation due CMAR under the terms of this Agreement. Payment shall not constitute acceptance of any work completed by CMAR.

The making of final payment shall not constitute a waiver of any claims by City for any reason whatsoever. The foregoing shall be in accordance with the Special Provisions.

7. INSURANCE AND INDEMNITY
a. CMAR Insurance. CMAR shall procure and maintain, at CMAR’s expense all insurance specified in Special Provisions. CMAR shall procure and maintain, at CMAR’s expense Professional Liability/Errors and Omissions Liability Insurance in an amount not less than $5 million per occurrence or claim and in the aggregate and meeting the general policy requirements set forth the Special Provisions . With respect to Professional Liability, coverage must be maintained, and evidence provided, for three (3) years following the termination of this Agreement. b. Indemnity. CMAR shall indemnify the City as specified in Special Provisions.

Item 1E - Page 24

8. TE
RMINATION; SUSPENSION
a. Termination. City may terminate this Agreement as set forth in the Special Provisions. b. Suspension. City may suspend this Agreement as set forth in the Special Provisions.

9. WORK PRODUCT
a. Work Product. All original papers, maps, models, designs, studies, surveys, reports, data, notes, computer files, documents, drawings and other work product (collectively “Work Product”) of CMAR produced by CMAR pursuant to this Agreement, except documents which are required to be filed with public agencies, shall be deemed solely the property of City. CMAR will take such steps as are necessary to perfect or protect the ownership interest of City in such Work Product. Upon completion, expiration or termination of this Agreement, CMAR shall turn over to City all such original Work Product in CMAR’s possession or control.

10. GENERAL PROVISIONS
a. Notices. Any notice to be given by any Party hereunder must be given in writing and delivered in person, or by reputable nationwide overnight courier (e.g., Federal Express), or forwarded by certified or registered mail, postage prepaid, return receipt requested, at the address indicated below, unless the Party giving such notice has been notified, in writing, of a change of address:

CITY: CMAR:

City of Palm Springs
3200 E. Tahquitz Way
Palm Springs, CA 92262
Attention: Director of Engineering

Tilden-Coil Constructors, Inc.
36951 Cook Street, Suite 103
Palm Desert, CA 92211
Attention: Dayne Brassard, President
and CEO

Any such notice is effective on the date on which such notice is delivered, if notice is given by personal delivery or overnight courier, or if notice is sent through the United States mail, on the date of actual delivery as shown by the addressee’s receipt or upon the expiration of three (3) days following the date of mailing, whichever first occurs. b. Conflicts. This Agreement and its exhibits are intended to be complementary in nature; however, in the event of a conflict, the terms of this Agreement shall control. c. Separate Contracts. CMAR understands that this is not an exclusive Agreement and that City shall have the right to negotiate with and enter into separate contracts with others providing the same or similar services as those provided by CMAR as City desires.
d. Notification. In the event of a problem or potential problem that could impact the quality or quantity of work, services or the level of performance under this Agreement, Item 1E - Page 25
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MAR shall, within one (1) business day of actual knowledge of the problem or potential problem, notify City in writing and by telephone. e. Compliance. All work, labor and materials shall be done and provided in strict conformity with each of the following: (i) all laws, ordinances, codes, rules, regulations and standard specifications of governmental authorities having jurisdiction over CMAR’s work; and (ii) this Agreement. CMAR shall also comply, at CMAR’s expense, with all requirements of inspectors of any governmental authority having jurisdiction over CMAR’s work. CMAR will be responsible for securing any and all required governmental inspections and approvals for the work completed under this Agreement. f. Disputes. If any disputes should arise between the Parties concerning the work to be done under this Agreement, the dispute shall be resolved in accordance with the dispute resolution procedures in the Special Provisions. g. No Waiver. The fact that City has made payment under this Agreement shall not be interpreted so as to imply City has inspected, approved or accepted the work which has been performed by CMAR. No delay or omission in the exercise of any right or remedy by the nondefaulting Party on any default shall impair such right or remedy or be construed as a waiver. A Party’s consent to or approval of any act by the other Party requiring the Party’s consent or approval shall not be deemed to waive or render unnecessary the other Party’s consent to or approval of any subsequent act. Any waiver by either Party of any default must be in writing and shall not be a waiver of any other default concerning the same or any other provision of the Agreement. h. Assignment and Subcontractors. CMAR shall not assign or subcontract any portion of the work to be performed under this Agreement or any of the rights or obligations under this Agreement, without the prior written consent of City, which consent may be withheld in City’s sole and absolute discretion. Any attempted assignment in violation of the provisions of this paragraph shall be void ab initio. Subject to the foregoing, this Agreement shall be binding upon the heirs, administrators, successors and assigns of City and CMAR.
i. Independent Contractor. CMAR shall act as an independent contractor in the performance of the services provided for in this Agreement and shall furnish such services in CMAR’s own manner and method and in no respect shall CMAR be considered an agent or employee of City, maintaining complete control over all men and operations. No provisions of this Agreement shall be intended to create a partnership or joint venture between CMAR and City and neither Party shall have the power to bind or obligate the other Party, except as expressly set forth in this Agreement.
j. Non-Liability of City Officials and Employees. No official or employee of City shall be personally liable to the CMAR in the event of any default or breach by City or for any amount which may become due to the CMAR or for any breach of the terms of this Agreement.
k. Conflict of Inter est. No director, officer or employee of City shall have any financial interest, direct or indirect, in this Agreement nor shall any such director, officer or employee participate in any decision relating to this Agreement which affects his/her financial interest or the financial interest of any corporation, partnership, entity or association in which he/she is directly or indirectly interested, in violation of any state or Item 1E - Page 26
feder
al statute or regulation. The CMAR warrants that it has not paid or given and will not pay or give any third party any money or other consideration for obtaining this Agreement.
l. Best Efforts. CMAR recognizes the relations of trust and confidence that are established by this Agreement, and covenants with City to furnish his/her best skill and judgment, and to actively cooperate and assist in furthering the best interests of City in all matters pertaining to the work. The CMAR agrees to furnish efficient business administration and capable supervision, and to use every effort to keep upon the work an adequate supply of workmen and materials in order to secure its execution in the most expeditious and economical manner consistent with City’s best interests. The CMAR’s employees assigned to the work shall at all times be reasonably sat isfactory to City.
m. Confidential Information. All information gained or Work Product produced by CMAR in the performance of this Agreement will be considered confidential, unless such information is in the public domain. CMAR shall not release or disclose any such information or Work Product to persons or entities other than City without the prior written consent of the City, except as otherwise required by law. CMAR shall promptly notify City should CMAR, or its Representatives, be served summons, complai nt, subpoena, notice of deposition, request for documents, interrogatories, requests for admissions or other discovery request or court order from any third party regarding this Agreement and the services performed under this Agreement. n. Amendment. This Agreement may not be amended except by a subsequent writing which is signed by the Parties.
o. Cooperation. CMAR shall cooperate in the performance of work with City and all other agents.
p. Incorporation of Recitals; Exhibi ts. The Recitals and Exhibits are incorporated herein and are an operative part of this Agreement.
q. Governing Law, Venue. This Agreement shall be governed by and construed in accordance with the laws of the State of California. The Parties agree that any action or proceeding to enforce or relating to this Agreement shall be brought exclusively in the federal or state courts located in Riverside County, California, and the Parties hereto consent to the exercise of personal jurisdiction over them by any such courts for purposes of any such action or proceeding
r. Severability. If any provision of this Agreement is found by a court of competent jurisdiction to be void, invalid or unenforceable, then the Parties agree that such invalidity or unenforceability shall have no effect whatsoever on the balance of this Agreement.
s. Counterparts. This Agreement may be signed and delivered in any number of counterparts, each of which, when signed and delivered, shall be an original, but all of which shall together constitute one and the same Agreement. t. Entire Ag reement. This Agreement contains the entire agreement between the Parties with respect to the subject matter of this Agreement and any agreement or representation with respect to the same or the obligations of either Party with respect Item 1E - Page 27
to
the same which is not expressly provided in this Agreement or in a written document which is signed by the Party to be charged, shall be null and void. u. Time is of the Essence. Time shall be of the essence as to all dates and times of performance contained in this Agreement.
v. Authority to Execute. Each Party represents and warrants to the other Party that all necessary action has been taken by such Party to authorize the undersigned to execute this Agreement and to bind it to the performance of its obligations hereunder. w. Binding on Successors. All representations, covenants and warranties set forth in this Agreement, by or on behalf of, or for the benefit of any or all of the Parties hereto, shall be binding upon and inure to the benefit of such Party, its successors and assigns.
x. Survival. All rights and obligations hereunder that by their nature are to continue after any expiration or termination of this Agreement, including, but not limited to, the indemnification obligations, shall survive any such expiration or termination. y. Third Party Rights. Nothing in this Agreement shall be construed to give any rights or benefits to anyone other than City and the CMAR.
z. Covenant Against Discrimination. In connection with its performance under this Agreement, CMAR shall not discriminate against any employee or applicant for employment because of actual or perceived race, religion, color, sex, age, marital status, ancestry, national origin ( i.e., place of origin, immigration status, cultural or linguistic characteristics, or ethnicity), sexual orientation, gender identity, gender expression, physical or mental disability, or medical condition (each a “prohibited basis”). CMAR shall ensure that applicants are employed, and that employees are treated during their employment, without regard to any prohibited basis. As a condition precedent to City’s lawful capacity to enter this Agreement, and in executing this Agreement, CMAR certifies that its actions and omissions hereunder shall not incorporate any discrimination arising from or related to any prohibited basis in any CMAR activity, including but not limited to the following: employment, upgrading, demotion or transfer; recruitment or recruitment advertising; layoff or termination; rates of pay or other forms of compensation; and selec tion for training, including apprenticeship; and further, that CMAR is in full compliance with the provisions of Palm Springs Municipal Code Section 7.09.040, including without limitation the provision of benefits, relating to non-discrimination in city contracting. aa. Project Labor Agreement.
i. The Agreement is subject to the City’s Community Workforce Agreement dated August 31, 2021 (“CWA” or “Project Labor Agreement” or “PLA”), a copy of which is on file with the City, available upon request, and incorporated herein by reference as if fully set forth herein. CMAR and all subcontractors of any tier shall at all times comply with the requirements of the PLA in the prosecution of the Work. ii. CMAR has executed or agrees to execute and be bound by the terms of the PLA and CMAR shall furnish evidence of compliance with the same to City prior to the commencement of any work. CMAR further agrees to require, or has already required, each of the Trade Contractors and their subcontractors, of whatever tier, to agree to be bound by Item 1E - Page 28
each
and every provision of the PLA prior to the commencement of work or at the time of such subcontract, whichever occurs first.
iii. CMAR shall include, and shall require all of CMAR’s Trade Contractors and subcontractors of any tier to include, contractual provisions in all contracts they enter into for the performance of the work, requiring each subcontractor, of every tier, who furnishes any labor for the performance of work, to comply with the provisions of the PLA at no additional cost.
iv. Compliance by CMAR and all of CMAR’s Subcontractors of any tier with the requirements of the PLA shall be a condition of CMAR’s right to payment under this Agreement.
v. Any requirement currently set forth in, or hereafter developed, adopted or implemented pursuant to the terms of the PLA, that is applicable to the Project, that is not set forth herein or that is by mistake incorrectly stated, shall be deemed to be inserted in this Agreement and shall be read and enforced as though it were included herein; and, if through mistake or otherwise any such requirement is not inserted or if inserted and requires correction, then upon request of either party this Agreement shall forthwith be amended to make such insertion or correction.
vi. In the event of a conflict between the PLA and any other provisions of this Agreement, the PLA shall control.
vii. CMAR represents and warrants that it has included in its bid all costs of compliance with the requirements of this Section.
viii. The requirements of this Section are in addition to, and not a limitation upon, the other applicable provisions of the Contract Documents. bb. Federal Funding Requirements.
i. Funds from the Coronavirus State Fiscal Recovery Fund and/or the Coronavirus Local Fiscal Recovery Fund, together known as the Coronavir us State and Local Fiscal Recovery Funds (“SLFRF”) program, will be used to fund all or a portion of this Agreement. CMAR shall comply with all applicable federal requirements including, but not limited to, the following, all of which are expressly incorporated herein by reference:
• Sections 602 and 603 of the Social Security Act as added by Section 9901 of the American Rescue Plan Act of 2021 (“ARPA”);
• Coronavirus State and Local Fiscal Recovery Funds Final Rule, codified at 31 CFR Part 35; • Coronavirus State and Local Fiscal Recovery Funds Guidance on Recipient Compliance and Reporting Requirement, the most current version;
• 2 C.F.R. Part 200 – Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards, other than such provisions as the Treasury may determine are inapplicable to the SLFRF program and subject to such exceptions as may be otherwise provided by the U.S. Department of the Treasury;
Item 1E - Page 29
• U.

S. Department of the Treasury Coronavirus State and Local Fiscal Recovery Fund Award Terms and Conditions;
• Federal Funding Requirements attached hereto as Exhibit “ E” and incorporated herein by reference; and
• Homekey Agreement between the City and the Department of Housing and Community Development for the Navigation Center.

Notwithstanding any other provisions in this Agreement, including, but not limited to, the Special Provisions, profit must be separately negotiated as an element of price for all changes to the Contract Price . To establish a fair and reasonable profit, consideration must be given to the complexity of the extra work, the risk borne by the CMAR or Trade C ontractor, the CMAR’s or Trade Contractor's investment, the amount of subcontracting, the quality of its record of pas t performance, and industry profit rates in the surrounding geographical area for similar work. All costs must be (i) necessary and reasonable; (ii) allocable to the project; and (iii) adequately documented. Additionally, the CMAR shall only direct the Trade Contractor to perform time and materials work after a determination by the CMAR that no other type of change order is suitable for the extra work (for example, a lump sum amount) and the change order for the time and materials work shall include a ceiling price that the Trade Contractor exceeds at its own risk.

Each Trade Contract shall contain a provision making them subject to all of the provisions stipulated in this Agreement. With respect to any conflict between such federal requirements and the terms of this Agreement and/or the provisions of state law and except as otherwise required under federal law or regulation, the more stringent requirement shall control.

Item 1E - Page 30

SIGNATURE PAGE TO AGREEMENT BY AND BETWEEN THE CITY OF PALM SPRINGS AND TILDEN-COIL CONSTRUCTORS, INC.

IN WITNESS WHEREOF, t he Parties have executed this Agreement as of the dates stated below.

CONTRACTOR:

By: _______________________________________ By: _________________________________________ Signature Signature
(2nd signature required for Corporations)

Date: Date:

CITY OF PALM SPRINGS:

APPROVED BY CITY COUNCIL:

Date: _______ Item No.

APPROVED AS TO FORM: ATTEST:

By: ___________________________ By: _____________________________ City Attorney City Clerk

APPROVED:

By: _______________________________ Date:

City Manager – over $50,000
Deputy/Assistant City Manager – up to $50,000
Director – up to $25,000
Manager – up to $5,000
Item 1E - Page 31

EXHIBIT “A”

CITY OF PALM SPRINGS SPECIAL PROVISIONS FOR CONSTRUCTION

CITY OF PALM SPRINGS

ENGINEERING SERVICES DEPARTMENT

SPECIAL PROVISIONS

NAVIGATION CENTER
CITY PROJECT NO. 22-05

Section 1 - General, Terms, Definitions, Abbreviations, Units of Measure, and Symbols Section 2 - Scope of the Work
Section 3 - Control of the Work
Section 4 - Control of Materials
Section 5 - Legal Relations and Responsibilities
Section 6 - Prosecution and Progress of the Work
Section 7 - Measurement and Payment
Section 8 - Facilities for Agency Personnel

* * * *

Item 1E - Page 32

CITY OF PALM SPRINGS

ENGINEERING SERVICES DEPARTMENT

SPECIAL PROVISIONS

NAVIGATION CENTER
CITY PROJECT NO. 22-05

SECTION 1 – GENERAL TERMS, DEFINITIONS, ABBREVIATIONS, AND SYMBOLS

INTRODUCTION

Standard Specifications. - The Work hereunder shall be done in accordance with the Standard Specifications for Public Works Construction ( “Greenbook”), 20 21 Edition, including all current supplements, addenda, and revisions thereof, these Special Provisions, and the technical specifications and plans provided by the Architect, insofar as the same may apply to, and be in accordance with, the following Special Provisions.

In case of conflict between the Standard Specifications for Public Works Construction (“Greenbook”) and thes e Special Provisions, the Special Provisions shall take precedence over, and be used in lieu of, such conflicting portions.

Supplementary Reference Specifications. - Insofar as references may be made in these Special Provisions to the Caltrans Standard Specifications 2021 Edition, such work shall conform to the referenced portions of the technical provisions only of said reference specifications, provided, that wherever the term “Standard Specifications” is used without the prefix “Caltrans,” it shall mean the Standard Specifications for Public Works Construction (“Greenbook”), 2021 Edition, as previously specified in the above paragraph.

Amended Standard Specifications. - The amendments identified herein this – Special Provisions are revisions to certain provisions of the Standard Specificatio ns, and shall apply to the Contractor’s work on this contract.

1-1 GENERAL. DELETE in its entirety and SUBSTITUTE with the following:

Whenever the terms “ directed,” “ required,” “ permitted,” “ ordered,” “ designated,” “ prescribed,” or terms of like import are used, it shall be understood that the direction, requirements, permission, order, designation, or prescription of the Engineer is intended. Similarly, the terms “approved,” “acceptable,” “satisfactory,” “or equal,” or terms of like import shall mean approved or acceptable to or satisfactory to the Engineer, unless otherwise expressly stated.

The word “provide” or “construct” shall be understood to mean furnish and install, unless otherwise expressly stated.

1-2 TERMS AND DEFINITIONS.

Contract Price – DELETE in its entirety and SUBSTITUTE with the following:

Item 1E - Page 33

The total amount for which the Contract is awarded plus approved Change Order(s).

Engineer – ADD the following:

Authorized agents of the Engineer may be referred to as Resident Engineer, Principal Engineer, or Deputy Director, who are charged with conducting detailed administration and inspection of the Contract.

ADD the following definitions:

Acceptance - Formal action of the City in determining that the C ontractor’s Work has been completed in accordance with the Contract Documents, filing a Notice of Completion (NOC) with the County Recorder, and notifying the Contractor in writing of the acceptability of the Work.

Act(s) of God - A cataclysmic phenomenon of nature, such as an earthquake, flood, or cyclone (tornado). Events which shall not be construed as Acts of God include wind, wind shear, micro - bursts, rain, high water, storm water runoff, or other natural phenomena which might reasonably have been anticipated from historical records of the general locality of the Work.

Agent - Any individual, firm, association, partnership, corporation, trust, joint venture or other legal entity, e.g., the Project Manager and Consultants, employed by the City for services on this Project.

Allowance – Payment under “AL” Allowance Bid items will be based on the actual expenditures for pre-authorized items of Work in accordance with Contract Documents. The unused portions of the Allowances shall revert to the City upon Acceptance of the Project.

Apparent Low Bidder - The Bidder whose Bid, having been publicly opened and read aloud, meets the material requirements of the Bid Documents, and whose Bid price is the lowest received.

Applicable Laws - Laws, statutes, ordinances, rules, orders, and regulations of governmental authorities and courts having jurisdiction over the Project.

Application for Payment - The document prepared by the Contractor which is submitted to the City showing the Contractor’s entitlement to progress payments.

As-builts - The CADD draw ings prepared from the approved Red- lines for record keeping purposes.

Award of Contract (Award) - Date on which the City Manager or designee executes the Contract Documents and conditions precedent to award have been satisfied.

Board – The City Council of the City of Palm Springs.

Business Day - See Working Day.

CEQA - The California Environmental Quality Act.

City - The City of Palm Springs. See Agency.

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City Forces - Employees of City who perform construction field work on public works projects as outlined in the Contract Documents.

Change Proposal - Proposal for a Change Order submitted by the Contractor to the City, either at the request of the City, or at the Contractor’s own initiative.

Claim - A written demand by the Contractor that seeks an adjustment in the Contract Price or the Contract Time, or other relief associated with a dispute arising under or relating to the Contract, including a breach of any provision thereof. A written demand by the Contracto r is not a Claim unless: 1) the written demand conforms to the requirements of Section 2-12, “Dispute Resolution Process”; and 2) the City has previously denied a request by the Contractor for a Change Order seeking the demanded relief. Further, a voucher, invoice, or other routine request for payment that is not in dispute when submitted is not a Claim. A Claim made in accordance with this contract shall not qualify as a claim against City for the purposes of the California Government Code.

Consultant - The individual, partnership, corporation, joint-venture, or other legal entity named as such in the Contract Documents or succeeding entity (e.g., architects and engineers) employed by the City for Project design or other specialized services and who function under the direction of the Engineer.

Construction Documents – Construction Documents shall be the Contractor’s plans and details, including plans showing installation of major systems, equipment, fixed furnishings and graphics, the technical specifica tions and all other technical drawings, schedules, diagrams and specifications, accepted Shop Drawings, Working Drawings, and submittals that are necessary to set forth in detail the requirements for the Project that are necessary to set forth in detail th e requirements for the Project.

Construction Manager - The person designated, in writing, by the City to act as its representative at the Site and to perform construction inspection services and administrative functions relating to this contract e.g., to make initial decisions regarding questions which may arise as to the quality or acceptability of materials furnished and Work performed, as to the manner of performance, and rate of progress of the Work under the Contract. Initial contact by the Contractor with the City shall be through the Con struction Manager. The Construction Manager oversees and enforces the Contract Documents and makes initial decisions with respect to the Contractor’s fulfillment of the Contract obligations and the Contractor’s entitlement to compensation.

The Construction Manager may be an employee of the City or an independent Consultant contracted to represent the City.

If a Construction Manager is not provided by the City, references to Construction Manager shall be the same as Resident Engineer.

Contract Time - The number of successive Days or Working Days stated in the Contract Documents for the completion of the Work.

Defective Work - Work that is unsatisfactory, faulty, deficient, does not conform to the Contract Documents, does not meet the requirements of any i nspection, reference standard, test, or approval referred to in the Contract Documents; unauthorized material substitutions; or Work that has been damaged by anyone other than City prior to Final Acceptance.

Item 1E - Page 35
Demobilization - The complete dismantling and r emoval by the Contractor of all of the Contractor’s temporary facilities, equipment, materials, and personnel at the Site.

Drawings – See Plans.

Execution of Contract - Date of – See Award of Contract.

Field Order - A Field Order is a written order by t he Engineer to compensate the Contractor for items of work, as further defined in 7-3.9, “Field Orders.” A field order shall not increase Contract Price, Contract Time, or both.

Final Acceptance – See Acceptance.

Final Completion - Satisfactory completion of Work required by this contract as evidenced by the recorded NOC with Riverside County.

Final Payment - The last payment for this contract made by City to the Contractor when all applicable requirements have been met.

Hazardous Materials or Waste - Items identified in Section 104 of the Solid Waste Disposal Act (42 USC Section 6901, et seq.) as amended from time to time or, as defined in Section 25117 of the Health and Safety Code, that is required to be removed to a Class I, Class II, or Class III disposal site in accordance with provisions of existing law, whichever is more restrictive.

Holiday - The City-observed holidays are listed below. If any holiday listed falls on a Friday or Saturday, then the preceding Thursday is considered a legal holiday. If the holiday falls on a Sunday, then the following Monday will is considered a legal holiday. See the following page for the Holiday schedule:

New Year’s Day January 1
Martin Luther King Day Third Monday in January
President’s Day Third Monday in February
Memorial Day Last Monday in May
Independence Day July 4
Labor Day First Monday in September
Veteran’s Day November 11
Thanksgiving Day Fourth Thursday in November
Day after Thanksgiving Day Fourth Friday in November
Christmas Eve December 24
Christmas Day December 25

Legal Address - The official address of the City shall be City of Palm Springs, 3200 East Tahquitz Canyon Way, Palm Springs, CA 92262, or such other address as the City may subs equently designate in written notice to the Contractor. The official address of the Engineer shall be the City Engineer, City of Palm Springs, 3200 East Tahquitz Canyon Way, Palm Springs, CA 92262, or such other address as the Engineer may subsequently designate in writing to the Contractor.

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Limited Notice To Proceed – A written notice given from the City authorizing initiation of a limited amount of work that is not Construction Work, e.g., finalizing subcontract agreements, ordering materials, mobilization, furnishing a field office, Design Work, and any other preliminary work done prior to performing Construction Work.

Milestone(s) - Principal event(s) specified in the Contract Documents relating to an intermediate completion date of a portion of the Work, or a period of time within which the portion of the Work shall be performed prior to Completion of the Work. Liquidated damages are frequently associated with Milestones.

Markout - The temporary marking/painting of the ground, pavement, or sidewalk by the facility or utility owner or its representative. Markouts identify the approximate location of the existing buried utilities in the vicinity of planned construction for the convenience of the Contractor.

Mayor or designee - The City of Palm Springs Mayor or a designated representative.

Normal Working Hours - Unless specified otherwise, 7:00 AM to 4:00 PM, Monday through Friday, inclusive. Saturdays, Sundays, and City holidays are excluded.

Notice of Completion (NOC) - If, in the City’s judgment, the Work has been completed, the City will file with the County Recorder a NOC which stipulates the date that the Work was accepted.

The conditions of warranty in accordance with Section 3-13 COMPLETION, ACCEPTANCE, AND WARRANTY” shall commence on the date of NOC unless stated otherwise in the Contract Documents.

Owner – See City.

Party or Parties - The City, the Contractor, or both, their respective permitted successors or assigns, and any other future signatories to this contract.

Prime Contractor – See Contractor.

Product Data - Illustrations, standard schedules, performance charts, instructions, brochures, diagrams, and other information furnished by the Contractor to illustrate materials or equipment for any portion of the Work.

Project - The Project is the object of this contract to be constructed by the Contractor as described and shown in the Contract Documents.

Project Manager - The individual charged with overall responsibility for the Project.

Project Site - All areas where Work is to be performed pursuant to this contract. Project Site may also be referred to as Site and Work Site.

Red-lines - Plans with annotations of changes made during construction, in red, to reflect the actual product built during construction.

Request for Information (RFI) - The written request for information made by the Contractor to City to clarify any parts of the Contract Documents.

Item 1E - Page 37
Retention - The amount withheld by the City from the money due to the Contractor in accordance with 9-3.2, “Partial and Final Payment”.

Punchlist - List of items or corrections required to comply with Contract Documents.

Samples - Physical examples of materials, equipment, or workmanship that are representative of some portion of the Project and that establish the standards by which such portion of the Project will be judged.

Schedule – Contractor prepared and City accepted Critical Path Method (CPM) schedule in accordance with 6-1, “CONSTRUCTION SCHEDULE AND COMMENCEMENT OF THE WORK” of these Special Provisions.

Separate Contractors - Those individuals or entities who have entered into arrangements with the City for the provision of labor, materials, or other services in connection with the Project who are not under contract with the Contractor.

Services - Professional services, including design, engineering, and construction management of the Project that are required in accordance with the Contract Documents.

Shop Drawings – Drawings submitted by the Contractor showing details of manufactured or assembled products proposed to be incorporated into Work.

Subconsultant – See Subcontractor.

Subcontract - Agreement between the Contractor and another person or entity engaged to perform a portion of the Work.

Submittals - The information, materials, or Sample(s) specified for submiss ion to the City in accordance with this contract.

Supplier - Manufacturer, fabricator, distributor, or vendor.

Walk-through - The procedure used by the City to evaluate status of the Project and generate a Punchlist.

Work – The term “the Work” or “Work” generally defines all of the activities of the Contractor in completing the Project in accordance with the Contract Documents.

Working Drawings – Drawings submitted by the Contractor showing details of work not shown on the Plans.

1-6.2 SUBCONTRACTOR LISTING. ADD the following:

The use of Subcontractors in no way relieves you of any obligations or responsibilities under the Contract.

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ADD 1-6.4.1 Nondiscrimination Statement.

The contractor, subrecipient or subcontractor will never exclude any person from participation in, deny any person the benefits of, or otherwise discriminate against anyone in connection with the award and performance of any contract covered by 49 CFR 26 on the basis of race, color, sex, or national origin. In administering the City components of the DBE Program Plan, the contractor, subrecipient or subcontractor will not, directly, or through contractual or other arrangements, use criteria or methods of administration that have the effect of defeating or substantially impairing accomplishment of the objectives of the DBE Program Plan with respect to individuals of a particular race, color, sex, or national origin.

ADD 1-6.4.2 Contract Assurance.

Under 49 CFR 26.13(b):

The contractor, subrecipient or subcontractor shall not di scriminate on the basis of race, color, national origin, or sex in the performance of this contract. The contractor shall carry out applicable requirements of 49 CFR 26 in the award and administration of federal-aid contracts. Failure by the contractor to carry out these requirements is a material breach of this contract, which may result in the termination of this contract or such other remedy as the recipient deems appropriate, which may include, but is not limited to:

Withholding monthly progress payments;
Assessing sanctions;
Liquidated damages; and/or
Disqualifying the contractor from future bidding as non-responsible.

ADD 1-6.4.3 Prompt Progress Payment.

The prime contractor or subcontractor shall pay to any subcontractor, not later than seven days after receipt of each progress payment, unless otherwise agreed to in writing, the respective amounts allowed the contractor on account of the work performed by the subcontractors, to the extent of each subcontractor’s interest therein. In the event that there is a good faith dispute over all or any portion of the amount due on a progress payment from the prime contractor or subcontractor to a subcontractor, the prime contractor or subcontractor may withhold no more than 150 percent of the disputed amount. Any violation of this requirement shall constitute a cause for disciplinary action and shall subject the licensee to a penalty, payable to the subcontractor, of 2 percent of the amount due per month for every month that payment is not made.

In any action for the collection of funds wrongfully withheld, the prevailing party shall be entitled to his or her attorney’s fees and costs. The sanctions authorized under this requirement shall be separate from, and in addition to, all other remedies, either civil, administrative, or criminal. This clause applies to both DBE and non-DBE subcontractors.

ADD 1-6.4.4. Prompt Payment of Withheld Funds to Subcontractors.

The City shall hold retainage from the prime contractor and shall make prompt and regular incremental acceptances of portions, as determined by the Agency of the contract work and pay retainage to the prime contractor based on these acceptances. The prime contractor or subcontractor shall return all monies withheld in retention from all subcontractors within seven (7) Item 1E - Page 39
days after receiving payment for work satisfactorily completed and accepted including incremental acceptances of portions of the contract work by the Agency. Any delay or postponement of payment may take place only for good cause and with the Agency’s prior written approval. Any violation of these provisions shall subject the violating prime contractor or subcontractor to the penalties, sanctions, and other remedies specified in Section 7108.5 of the California Business and Professions Code and Section 10262 of the California Pu blic Contract Code. This requirement shall not be construed to limit or impair any contractual, administrative or judicial remedies otherwise available to the contractor or subcontractor in the event of a dispute involving late payment or nonpayment by the contractor; deficient subcontractor performance and/or noncompliance by a subcontractor. This clause applies to both DBE and non-DBE subcontractors.

Any violation of these provisions shall subject the violating prime contractor or subcontractor to the penalties, sanctions and other remedies specified therein. These requirements shall not be construed to limit or impair any contractual, administrative, or judicial remedies otherwise available to the prime contractor or subcontractor in the event of a dispu te involving late payment or nonpayment by the prime contractor, deficient subcontract performance, or noncompliance by a subcontractor.

ADD: 1-6.5 BID RIGGING.

The U.S. Department of Transportation (DOT) provides a toll-free hotline to report bid riggin g activities. Use the hotline to report bid rigging, bidder collusion, and other fraudulent activities. The hotline number is (800) 424 -9071. The service is available 24 hours 7 days a week an d is confidential and anonymous. The hotline is part of the DOT' s effort to identify and investigate highway construction contract fraud and abuse and is operated under the direction of the DOT Inspector General.

1-7.1 GENERAL. ADD the following:

The contract shall be executed by the successful bidder and shall be returned, together with the contract bonds, to the City so that it is received within the time prescribed in the Instructions to Bidders. Failure to do so shall be just cause for forfeiture of the proposal guaranty. The executed contract documents shall be delivered to the following address:

City of Palm Springs
Engineering Services Department
3200 E. Tahquitz Canyon Way
Palm Springs, CA 92262

ADD 1-7.1.1 STANDARD CONTRACT PROVISIONS.

1-7.1.1a Successor’s Obligations.

All grants, covenants, provisions and claims, rights, powers, privileges and abilities contained in the Contract Documents shall be read and held as made by and with, and granted to and imposed upon, you, the City, and your and t he City’s respective heirs, executors, administrators, successors, and assigns.

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1-7.1.1b Waiver of Legal Rights.

ARTICLE 1: The City’s failure to insist, in any one or more instances, upon the performance of any provision of the Contract, or to exercise any right therein, shall not be construed as a waiver or relinquishment of such provisions or rights.

ARTICLE 2: Any waiver of any breach of the Contract shall not be held to be a waiver of any other or subsequent breach.

ARTICLE 3: Any waiver the City issues to any provision of the Contract shall only be effective if it is agreed upon in writing by the City and if it is specific to the particular matter concerned.

1-7.1.1c Requests for Information (RFI).

Questions regarding how to construct the Work shall be submitted in writing to the City as a Request for Information (RFI).

1-7.1.1d Assignment to Awarding Body.

In accordance with §7103.5(b) of the California Public Contract Code, Contractor and its Subcontractors shall conform to the following requirements:

ARTICLE 1 In entering into a public works contract or a Subcontract to supply goods, services, or materials pursuant to a public works contract, Contractor or its Subcontractor offer and agree to assign to the City all rights, title, and interest in and to all causes of action it may hav e under §4 of the Clayton Act (15 U.S.C . Sec. 15) or under the Cartwright Act (Chapter 2 (commencing with §16700) of Part 2 of Division 7 of the Business and Professions Code) arising from purchases of goods, services, or materials pursuant to the public works contract or the Subcontract.

ARTICLE 2 This assignment shall be made and become effective at the time the City tenders to Contractor, without further acknowledgment by the Parties.

1-7.2 CONTRACT BONDS. Fourth paragraph, DELETE last sentence and SUBSTITUTE t he following:

As a condition of the City’s acceptance of the Work, the Performance Bond shall be replaced with a “Warranty Bond” in the amount of 25 percent of the final Contract Price to guarant y faithful performance in the repair or replacement of defective materials or defective workmanship in the Work, for a period of one (1) year from date of acceptance of Work by the City.

Sixth paragraph, DELETE and SUBSTITUTE the following:

If the Surety on any bond furnished by the Contractor is declared bankrupt, becomes insolvent, or its right to do business is terminated in any state where any part of the Project is located, the Contractor shall immediately notify the Engineer and immediately substitute another bond and surety acceptable to the City.

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- END OF SECTION -
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SECTION 2 -- SCOPE OF THE WORK

2-1 WORK TO BE DONE. ADD the following:

The City assumes no responsibility for any conclusions or interpretations made by the Contractor based on any information made available by the City. Nor does the City assume responsibility for any understanding reached or representation made by any of the City’s officers or agents before Award of this contract concerning conditions which could affect the Work, unless that understanding or representation is expressly stated in the Contract Documents.

Where approval or acceptance by the City is required, it is understood to be general approval only and does not relieve the Contractor of responsibility for complying with all applicable laws, codes, and best practices.

ADD: 2-1.1 SITE EXAMINATION. The Contractor shall have the sole responsibility of satisfying itself concerning the nature and location of the Work, and the general and local conditions, such as, but not limited to, all other matters which could in any way affect the Work or the costs thereof.

The failure of the Contractor to acquaint itself with all available information regarding any applicable existing or future conditions shall not relieve it from the responsibility for properly estimating the difficulties, responsibilities, or costs of successfully performing the Work according to the Contract Documents.

2-2 PERMITS. DELETE in its entirety and SUBSTITUTE with the following:

2-2 PERMITS, FEES, AND NOTICES.

Contractor shall obtain and pay for all business taxes, permits, and fees required for constructing the Project and licenses and inspections necessary for the proper execution and completion of the Work, unless specified otherwise in the Contract Documents.

To the extent that there is a change in the type or cost of any of such permits, fees, licenses, or inspection occurring after Award of Contract, there shall be an equitable adjustment in the Contract Price on account of such change under the Extra Work provisions.

Contractor shall comply with and give notices required by applicable laws. Contractor is not entitled to damages or additional payment for delays attributable to the acquisition of permits.

Contractor shall pay the City for regulatory fees, fines, or penalties imposed on the City arising from your failure to complete the Work in accordance with the Contract Documents.

ADD: 2-2.1 Building Permits.

The Contractor shall obtain the required building permits from the City’s Building Official (BO). Any prior approval obtained for the Plans will not in any way waive this requirement.

The Contractor shall be required to request inspections in accordance with the building codes in effect on the permitted plans and by the BO. These inspections will be coordinated at all times through the Enginee r. Any work performed without the benef it of the required permit and subsequent inspection shall be removed and replaced at the discretion of the Inspector at no additional cost to the City.

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The payment for applying for and obtaining the required building permit shall be included in the various Bid items unless a Bid item has been provided.

ADD: 2-2.2 Business License. The Contractor and all of its subcontractors shall possess a current City business license issued by the City prior to commencement of the Work, in accordance with Title 3, Division II “Business Tax” of the City’s Municipal Code. The Contractor shall obtain a Business License from the City of Palm Springs prior to commencement of work. The Business License can be obtained from the City of Palm Springs, Business License Division, (760) 323- 8289.

ADD: 2-2.4 Traffic Control Permit. The Work shall not begin in the public roadway without the approved traffic control encroachment permit. The traffic control plans, including any as part of the Plans or developed by the Contractor, a re not valid until Work dates are approved and a traffic control encroachment permit is issued by the City.

The Contractor shall coordinate the traffic control permit application submittal with the Work so that no items of Work will be delayed. To obtai n a traffic control permit, the Contractor shall call the Engineer for an appointment a minimum of 2 Working Days prior to starting Work (5 Working Days when the Work will affect a traffic signal). The Contractor shall provide 2 copies of the traffic control drawings as provided in the Contract Documents or prepared by the Contractor at the time of the appointment. Upon approval of the Contractor’s plans, the Engineer will issue the permit.

ADD: 2-2.5 Riverside County Flood Control (RCFC) Permit. When applicable and available, a copy of the draft RCFC permit is included in the Appendix. The City has applied for the permit and the Contractor shall be responsible for pulling the permit prior to construction and supplying any construction method information to do so to RCFC. The Contractor shall be responsible for paying permit fees prior to construction, complying with all terms of the permit, and arranging and paying for inspection as required by RCFC.

The Allowance Bid item for RCFC Encroachment Permit includes all RCFC permit fees, RCFC hourly inspection costs, and all costs to obtain the subject permit. If Bid Item is not provided payment shall be included in the various items of Work.

ADD: 2 -2.6 Construction Activity Permit, California Division of Occupational Safety and Health (DOSH) – For projects that require excavations greater than 5 feet in depth, the Contractor shall be required to obtain a Construction Activity Permit from the California Department of Industrial Relations, Division of Occupational Safety and Health, for excavation of trenches required for the project. A copy of the Permit shall be provided to the Engineer at the Pre - Construction Conference.

2-3 RIGHT-OF-WAY. After first sentence, ADD the following:

The Contractor shall be responsible for coordinating with property owners as to timing, when access is provided through rights of entry, and shall protect private improvements in accordance with 2-3.1, “PROTECTION “

ADD: 2-3.1 PROTECTION

1. The City reserves the right to repair damages to the City’s facilities caused by your operations at your expense.

Item 1E - Page 44

2. Contractor is responsible for coordinating with property owners for access to be provided to work on the private property.

3. Loop detectors must be replaced within 3 Working Days of completion of work that originally affected the original loop detectors.

4. In any emergency affecting the safety of persons or property, Contractor must act, at its discretion, to prevent threatened dam age, injury or loss. Any change in Contr act Price or Contract Time resulting from emergency work will be determined as provided in SECTION 7 “MEASUREMENT AND PAYMENT”

ADD: 2-3.2 Video Recording Of Pre-existing Conditions. The Contractor shall make its o wn arrangements for video recording all pre-existing conditions of the Site prior to any construction.

Video recording of important aspects of a construction Site shall include, but is not limited to the following:

a) Property lines
b) Right-of-way and easement conditions
c) Utility markings
d) Survey conditions.
e) Pavement conditions.
f) Adjacent property conditions.
g) Sidewalk, median, curb, and gutter conditions.
h) Safety conditions.
i) Unusual conditions or equipment.
j) Existing canyon conditions (including vegetation) along the pipe corridor; k) Striping

The Contractor shall turn over video discs to the City immediately after recording is done in the presence of the Engineer. Disc(s) shall be submitted no later than 30 days from NTP. The Contractor shall not be entitled to any additional Working Days due to delay securing videotaping services.

Unless proven otherwise via the pre-existing video records, the Contractor shall be responsible for the repair of any damage for which a Claim has been submitted.

2-3.2.1 Payment. Payment for video recording services shall be included in the various Bid items.

ADD: 2-3.3 Placements and Removal of Markouts. Markouts shall not be placed in the public right-of-way more than 30 days prior to the c ommencement of excavation work perform i n connection with an installation.

Markouts shall be removed from all surfaces in the public right -of-way, including decorative surfaces, within 30 days of the completion of the excavation work, if the work is completed.

ADD: 2-3.4 Existing Pavement Markers and Striping. The Contractor shall record the location and conditions of the existing pavement markers and striping prior to construction and submit to the Engineer in accordance with 3.8, “Submittals.” Perm anent pavement markers and striping removed or damaged during construction shall be replaced in kind or as noted on the Drawings at the Contractor’s expense.

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ADD: 2-5.5 FLOW AND ACCEPTANCE OF WATER. Storm, surface, nuisance, or other waters may be encountered at various times during construction of the Work. Therefore, the Contractor, by submitting a Bid, hereby acknowledges that it has investigated the risk arising from such waters, and, has prepared its Bid accordingly; and the Contractor, by submitting such a Bid, assumes all said risk.

2-6 CHANGES REQUESTED BY THE CONTRACTOR. ADD the following:

Any plan or method of Work suggested to Contractor by the City, but not specified or required by the Contract or Change Order, which is adopted or followed by Contractor in whole or in part shall be done at Contractor’s sole risk and responsibility.

The Contract Price is not subject to adjustment for any type of tax increases after the Award.

2-7 CHANGES INITIATED BY THE AGENCY.

2-7.1 General: DELETE the first paragraph in its entirety and SUBSTITUTE with the following:

Without invalidating the Contract and without notice to any surety, the City may at any time order additions, deletions, or revisions in the Project in the following manner:

a) When the City desires a change; the City will issue a request for proposal to the Contractor.

b) The Contractor shall submit a response within 7 Working Days.

c) After the City reviews the Contractor’s response, the City changes will be authorized by a written Change Order prepared and issued by the City.

d) Upon receipt of any such Change Order, the Contractor shall promptly sign and return the Change Order to the City and only thereafter proceed under the applicable conditions of the Contract Documents when the City has approved the Change Order.

Should any single bid item of Work be deleted, the reduction in Total Contract Price shall reflect a credit for the full value of the deleted Work, including anticipated profit and overhead. If the credit for the deleted bid item of Work exceeds 25% of the Total Contract Price, the Contractor may reduce the credited amount for the deleted bid item of Work by a maximum of 5% of the amount in excess of the 25% of the Total Contract Price to cover overhead expenses.

If the City requests the Contractor to submit a Change Proposal, and the preparation of such Change Proposal impacts the Contract Time (e.g., other Work is suspended pending a decision on such Change Proposal or the Design Work is delayed due to the preparation of the Change Proposal) an equitable adjustment in the Contract Time shall be made.

2-8 EXTRA WORK.

ADD: 2-8.1 General. ADD the following:

The City reserves the right to direct the Contractor to solicit competitive Bids for Extra Work. If required by the City, the Contractor shall obtain competitive Bids from Subcontractors acceptable Item 1E - Page 46
to Contractor and shall deliver such Bids to the City who will then determine which Bids will be accepted.

Any request by the Contractor to change the Contract Price to include the price of Extra Work shall be by written notice to the City and shall include itemized estimates. The Contractor’s itemized estimates shall detail all applicable elements of price e.g., labor and payroll costs, quantities, crew composition, production rates, material costs, Subcontractor and Supplier costs, equipment costs, and supplemental costs. If the Contractor’s request to change the Contract Price arises from changes in the Schedule affecting all or part of the Project, or if the Contractor seeks a change in the Cont ract Time, the Contractor’s request shall include the analysis required by 6- 1, “CONSTRUCTION SCHEDULE AND COMMENCEMENT OF THE WORK.”

2-9 Changed Conditions. ADD the following:

ADD: 2-9.1 Differing Site Conditions.

During the progress of the work, if subsurface or latent physical conditions are encountered at the site differing materially from those indicated in the contract or if unknown physical conditions of an unusual nature, differing materially from those ordinarily encountered and generally recognized as inherent in the work provided for in the contract, are encountered at the site, the party discovering such conditions shall promptly notify the other party in writing of the specific differing conditions before the site is disturbed and before the affected work is performed.

Upon written notification, the engineer will investigate the conditions, and if it is determined that the conditions materially differ and cause an increase or decrease in the cost or time required for the performance of any work under the contract, an adjustment, excluding anticipated profits, will be made and the contract modified in writing accordingly. The engineer will notify the contractor of the determination whether or not an adjustment of the contract is warranted.

No contract adjustment which results in a benefit to the contractor will be allowed unless the contractor has provided the required written notice.

No contract adjustment will be allowed under this clause for any effects caused on unchanged work.

ADD: 2-9.2 Suspension of Work by the Engineer.

If the performance of all or any portion of the work is suspended or delayed by the engineer in writing for an unreasonable period of time (not originally anticipated, customary, or inherent to the construction industry) and the contractor believes that additional compensation and/or contract time is due as a result of such suspension or delay, the contractor shall submit to the engineer in writing a request for adjustment within 7 calendar days of receipt of the notice to resume work. The request shall set forth the reasons and support for such adjustment.

Upon receipt, the engineer will evaluate the contractor's request. If the engineer agrees that the cost and/or time required for the performance of the contract has increased as a result of such suspension and the suspension was caused by conditions beyond the control of and not the fault of the contractor, its suppliers, or subcontractors at any approved tier, and not caused by weather, the engineer will make an adjustment (excluding profit) and modify the contract in writing accordingly.

The contractor will be notified of the engineer's determination whether or not an adjustment of the contract is warranted.

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No contract adju stment will be allowed unless the contractor has submitted the request for adjustment within the time prescribed.

No contract adjustment will be allowed under this clause to the extent that performance would have been suspended or delayed by any other cause, or for which an adjustment is provid ed or excluded under any other term or condition of this contract.

ADD: 2-9.3 Significant Changes in the Character of Work.

Subject to the provisions in Section 2 -7 CHANGES INITIATED BY THE AGENCY, the engineer reserves the right to make, in writing, at any time during the work, such changes in quantities and such alterations in the work as are necessary to satisfactorily complete the project. Such changes in quantities and alterations shall not invalidate the contract nor release the surety, and the contractor agrees to perform the work as altered.

If the alterations or changes in quantities significantly change the character of the work under the contract, whether such alterations or changes are in themselves sign ificant changes to the character of the work or by affecting other work cause such other work to become significantly different in character, an adjustment, excluding anticipated profit, will be made to the contract. The basis for the adjustment shall be agreed upon prior to the performance of the work. If a basis cannot be agreed upon, then an adjustment will be made either for or against the contractor in such amount as the engineer may determine to be fair and equitable.

If the alterations or changes in quantities do not significantly change the character of the work to be performed under the contract, the altered work will be paid for as provided in the Special Provisions.

The term “significant change” shall be construed to apply only to the following circumstances:

When the character of the work as altered differs materially in kind or nature from that involved or included in the original proposed construction; or When a major item of work, as defined elsewhere in the contract, is increased in excess of 125 percent or decreased below 75 perc ent of the original contract quantity. Any allowance for an increase in quantity shall apply only to that portion in excess of 125 percent of original contract item quantity, or in case of a decrease below 75 percent, to the actual amount of work performed.

ADD: 2-10.1 Deficiency in Work of Separate Contractors. If part of the Contractor ’s Work depends on proper execution or results upon construction or operations by the City or a Separate Contractor, the Contractor shall, prior to proceeding with that portion of the Work, promptly report to the Separate Contractor and the City apparent discrepancies or defects in such other construction that would render it unsuitable for proper execution and results by the Contractor. The Contractor and the Separate Cont ractor shall use good faith efforts to resolve any such discrepancies or defects or any disagreements relating thereto. Failure of the Contractor to report shall constitute acceptance by the Contractor of the work of Separate Contractors as fit, proper, and coordinated with the Contractor’s Work.

ADD: 2-11 CLAIMS. A Claim is a written demand by the Contractor that seeks an adjustment in the Contract Price, Contract Time, or other relief associated with a dispute arising under or relating Item 1E - Page 48
to the Contract, including a breach of any provision thereof. A voucher, invoice, or other routine request for payment is not a Claim.

A Claim shall conform to these specifications and may be considered after the City has previously denied a request by Contractor for a Change Order seeking the demanded relief.

Contractor shall submit a Claim to the Engineer if a dispute occurs that arises from or relates to the Contract. The Claim shall seek all relief to which Contractor asserts it is entitled as a result of the event(s) giving rise to the dispute. Contractor’s failure to process a Claim in accordance with these specifications shall constitute a waiver of all relief associated with the dispute. Claims are subject to 6-10, “RIGHT TO AUDIT”.

Contractor shall continue to perform the Services and Work and shall maintain the Schedule during any dispute proceedings. The Engineer will continue to make payments for undisputed Services and Work.

The City’s Claims process specified herein shall not relieve Contractor of its statutory obligations to present claims prior to any action under the California Government Code.

2-11.1 Initiation of Claim. The Contractor shall promptly, but in no event later than 30 days after the event(s) giving rise to the Claim, deliver the Claim to the City. The Contractor shall not process a Claim unless the City has previously denied a request by the Contractor for a Change Order that sought the relief to be pursued in the Claim.

2-11.2 Claim Certification Submittal. If the Claim seeks an increase in the Contract Price, the Contract Time, or both, the Contractor shall submit with the Claim an affidavit certifying that:

a) The Claim is made in good faith and covers all costs and delays to which the Contract or is entitled as a result of the event(s) giving rise to the Claim; b) The amount claimed accurately reflects the adjustments in the Contract Price, the Contract Time, or both to which the Contractor believes it is entitled; and c) All supporting costs and pricing data are current, accurate, complete, and represent the best of the Contractor’s knowledge and belief.

The Contractor shall ensure that the affidavit is executed by an official who has the authority to legally bind Contractor.

2-11.3 Initial Determination. Initial Determination is the City’s written approval or non-approval of a Claim from the Contractor. Within 30 days of receipt of a Claim, the City will deliver an Initial Determination to the Contractor. The City will not consider and will return to the Contractor any written demand that does not conform to the requirements of this Section 2-11.

2-11.4 Settlement Meeting. If the Contractor disagrees with the Initial Determination, the Contractor shall request a Settlement Meeting. The Contractor’s request shall be in writing and shall be delivered to the City within 30 days of the date of the Initial Determination. Within 15 Working Days of receipt of the Contractor’s request for a “Settlement Meeting”, the Construction Manager will schedule a “Settlement Meeting” between the Contractor’s representative, the City’s representative, and the Construction Manager. This meeting will be an opportunity for the Contractor to explain its claim to senior management of the City. If a settlement agreement cannot be reached, the Construct ion Manager and the City will proceed to make a joint written determination.

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2-11.5 City’s Final Determination. The City will make a written determination within 10 Working Days after the settlement meeting. The written determination shall be final and binding on the Contractor unless the Contractor notifies the City and the Construction Manager in writing of its objection within 15 Working Days after receipt of the written determination, and files a “Request for Dispute Resolution” in accordance with 2-12, “Dispute Resolution Process.” Failure to give notice of objection within said 15 Working Days period shall be deemed to be a waiver of its right to pursue the claim.

2-11.6 Mandatory Assistance. If a third party dispute or litigation, or both, arises out of, or relates in any way to the Services provided under this contract, upon the City’s request, the Contractor shall assist in resolving the dispute or litigation. The Contractor’s required assistance includes, but is not limited to, providing pr ofessional consultations, attending mediations, arbitrations, depositions, trials or any event related to the dispute resolution, litigation, or both.

2-11.7 Attorney Fees Related To Mandatory Assistance. In providing the City with dispute or litigation assistance, the Contractor and or Subcontractors or their agents, officers, and employees shall pay all incurred expenses and costs. The Contractor and or any of its Subcontractors shall agree that any attorney fees incurred are not reimbursable.

2-11.8 Costs Relating To Weather Damage. The Contractor shall have no claims against the City for damages for any injury to Work, resulting from the action of the elements or weather. If, however, in the opinion of the Construction Manager, the Contractor has made all reasonable efforts to protect the Work, the Contractor may be granted a reasonable extension of Contract Time to make proper repairs, renewals, and replacements of Work in accordance with Section 6, “PROSECUTION AND PROGRESS OF THE WORK.”

ADD: 2-12 DISPUTE RESOLUTION PROCESS.

2-12.1 Mandatory Non-binding Mediation.

If a dispute arises out of or relates to the Contract, or the breach thereof, and if said dispute cannot be settled through contract provisions provided for claim settlement or negotiations, the parties agree to first endeavor to settle the dispute in an amicable manner, using mandatory mediation under the Construction Industry Mediation Rules of the American Arbitration Association before having recourse in a court of law.

To initiate mediation, the initiating party shall serve a Request for Mediation at the American Arbitration Association (AAA).

2-12.2 Mandatory Mediation Costs.

The expenses of witnesses for either side shall be paid by the party producing such witnesses. All other expenses of the mediation, including required traveling and other expenses of the mediator and the cost of any proofs or expert advice produced at the direct request of the mediator, shall be borne equally by the parties, unless they agree otherwise.

2-12.3 Selection of Mediator.

A single mediator, knowledgeable in construction aspects and acceptable to both parties, shall be used to mediate the dispute.

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If AAA is used, the initiating party shall concurrently file with AAA a “Request for Mediation” along with the appropriate fees , a copy of requested mediators marked in preference order, and a preference for available dates.

If AAA is selected to coordinate the mediation (Administrator), within 10 Working Days from the receipt of the initiating party’s Request for Mediation, the opposing party shall file the following:

ARTICLE 1 -
A copy of the list of the preferred mediators listed in preference order after striking any mediators to which they have any objection.

ARTICLE 2 - A preference for available dates.

ARTICLE 3 - Appropriate fees.

If the parties cannot agree on a mediator , then each party shall select a mediator and those mediators shall select the neutral third party to mediate the matter.

2-12.4 Conduct of Mediation Sessions.

Mediation hearings shall be conducted in an informal manner and discovery shall not be allowed.

Discussions, statements, and/or admissions shall be confidential to the proceedings and shall not be used for any other purpose as it relates to the party’s legal position. The parties may agree to exchange any information they deem necessary.

Both parties shall have an authorized representative attend the mediation. Each representative shall have the authority to recommend entering into a settlement. Either party may have attorney(s), witnesses, or expert(s) present. Either party may request a list of witnesses and notifications of whether attorney(s) shall be present.

Any resulting agreements from mediation shall be documented in writing. Mediation results and documentation, by themselves, shall be “non- binding” and inadmissible for any purpose in any legal proceeding, unless such admission is otherwise agreed upon in writing by both parties.

Mediators shall not be subject to any subpoena or liability and their actions shall not be subject to discovery.

ADD: 2-13 FORUM FOR LITIGATION.

It is the express intention that all legal actions and proceedings related to the Contract or Agreement with the City or to any rights or any relationship between the parties arising therefrom shall be solely and exclusively init iated and maintained in courts of the State of California for Riverside County.

ADD: 2-14 PRE-JUDGMENT INTEREST.

The parties stipulate that if a judgment is entered against a party for breaching this Contract, the pre-judgment interest shall be two percent (2%) per annum.

ADD: 2-15 WAIVER OF CLAIMS. The acceptance by the Contractor of the Final Payment of undisputed Contract amounts shall release the City, the Engineer, and the Design Consultant as agent of the City, from all claims and all liability to the Contractor for all things done or furnished in connection with the Work, and every act of the City and others relating to or arising out of the Work Item 1E - Page 51
and related to those undisputed amounts. No payment, however, final or otherwise, shall operate to release the Contractor and the Surety from obligations under this contract and the Performance Bond, Payment Bond, and other bonds and warranties as herein provided.

- END OF SECTION -
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SECTION 3 – CONTROL OF THE WORK

3-3 SUBCONTRACTORS. ADD the following:

The Contractor shall incorporate these Specifications in its subcontracts for the Work being performed by its Subcontractor(s).

The Contractor shall obtain or require that each Subcontractor obtains insurance policies in accordance with 5-4, “INSURANCE” which shall be kept in full force and effect for the duration of the Contract and in any attached supplemental agreements.

In any dispute between the Contractor and the Subcontractor, the City shall not be made a party to any judicial or administrative proceeding to resolve the dispute. The Contractor agrees to defend and indemnify the City in accordance with 5-8 , “INDEMNIFICATION AND HOLD HARMLESS AGREEMENT” in any dispute between the Contractor and the Subcontractor should the City be made a party to any judicial or administrative proceeding to resolve the dispute in violation of this provision.

For federally funded projects, the Contractor shall physically include in each subcontract, lower tier subcontract and all purchase orders, the required cont ract provisions contained in Federal Form 1273. The Federal Form 1273 provisions must not be modified in any way. The provisions may not be incorporated by reference. The Federal Form 1273 is included as Exhibit “E” to the Contractor’s contract with the City. Failure of the Contractor to comply with this requirement is grounds for the City’s termination of the contract with the Contractor and debarment of the Contractor by the Federal Highway Administration (FHWA).

The prime contractor is responsible for compliance with the Federal Form 1273 requirements by all subcontractors and lower tier subcontractors. Failure of the prime contractor to comply with this requirement is grounds for the City’s termination of the contract with the contractor and debarment of the contractor by the FHWA.

For federally funded projects, the Contractor, sub-recipient or subcontractor shall not discriminate on the basis of race, color, national origin, or sex in the performance of this contract. The Contractor shall carry out applicable requirements of Title 49 CFR (Code of Federal Regulations), Part 26 in the award and administration of US DOT-assisted contracts. Failure by the Contractor to carry out these requirements is a material breach of this contract, which may result in the termination of this contract or such other remedy, as the City deems appropriate. Each subcontract signed by the bidder must include this assurance.

Contractor shall ensure that its Subcontractors are appropriately licensed for the duration of the Work that is performed under the subcontracts in accordance with 2-1, “WORK TO BE DONE”. In the event the Subcontractor is not properly licensed, Contractor shall cease payment to the Subcontractor for all Work perf ormed when the Subcontractor was not properly licensed.

Contractor shall return to the City any payment it made to a Subcontractor for Work performed when the Subcontractor was not licensed.

Where the Contract Documents require that a particular product be installed or applied by an applicator approved by the manufacturer, ensure the Subcontractor or Supplier employed for such Work is approved by the manufacturer.

Item 1E - Page 53
ADD: 3-3.1 Prompt Payment of Funds Withheld to Subcontractors.

The City may hold retainage from the prime contractor and shall make prompt and regular incremental acceptances of portions, as determined by the City, of the contract work, and pay retainage to the prime contractor based on these acceptances. The prime contractor, or subcontractor, shall return all monies withheld in retention from a subcontractor within seven (7) days after receiving payment for work satisfactorily completed and accepted including incremental acceptances of portions of the contract work by the City, unless as agreed to in writing by the prime contractor and subcontractor, pursuant to Section 7108.5 of the Business and Professions Code.

Any violation of this provision shall subject the violating prime contractor or subcontractor to the penalties, sanctions and other remedies specified in Section this code. These requirements shall not be construed to limit or impair any contractual, administrative, or judicial remedies otherwise available to the prime contractor or subcontractor in the event of a dispute involving late payment or nonpayment by the prime contractor, deficient subcontract performance, or noncompliance by a subcontractor.

ADD: 3-3.2 Federal Lobbying Restrictions

Section 1352, Title 31, United States Code prohibits Federal funds from being expended by the City (as the recipient of Federal funds) or any lower-tier sub-recipient of a Federal-aid contract to pay for any person for influencing or attempting to influence a Federal agency or Congress in connection with the awarding of any Federal-aid contract, the making of any Federal grant or loan, or the entering into of any cooperative agreement.

If any funds other than Federal funds have been paid for the same purposes in connection with this Federal-aid contract, the recipient shall submit an executed certification and, if required, submit a completed disclosure form as part of the bid documents.

A certification for Federal-aid contracts regarding payment of funds to lobby Congress or a Federal agency is included in the Bid Forms. Standard Form - LLL, “Disclosure of Lobbying Activities,” with instructions for completion of the Standard Form is also included in the Bid Forms. Signing the Bid Proposal shall constitute signature of the Certification.

The above referenced certification and disclosure of lobbying activities shall be included in each subcontract and any lower -tier contracts exceeding $100,000. All disclosure forms, but not certifications, shall be forwarded from tier to tier until received by the Engineer.

The Contractor, subcontractors and any lower-tier contractors shall file a disclosure form at the end of each calendar quarter in which there occurs any event that requires disclosure or that materially affects the accuracy of the information contained in any disclosure form previously filed by the Contractor, subcontractors and a ny lower-tier contractors. An event that materially affects the accuracy of the information reported includes:

(1) A cumulative increase if $25,000 or more in the amount paid or expected to be paid for influencing or attempting to influence a covered federal action; or

(2) A change in the person(s) or individual(s) influencing or attempting to influence a covered federal action; or

Item 1E - Page 54
(3) A change in the officer(s), employees(s), or member(s) contacted to influence or attempt to influence a covered Federal Action.

3-5 INSPECTION. ADD the following:

If required by the Engineer, the Contractor shall provide information related to the inspection of the Work. The Contractor shall provide access in accordance with Cal -OSHA Standards where necessary.

The Contractor shall request inspections in accordance with the prevailing Codes and by the Engineering Services Department. The Contractor shall coordinate these inspections at all times through the Engineer. The C ontractor shall remove and replace any i tems of Work performed without the benefit of inspection as may be required by any associated building permits. Special Note: The Contractor is advised that any structural construction is subject to a separate building permit, and inspection by the City’s Building Official. The Contractor is responsible for obtaining a separate building permit and scheduling required inspections by the City’s Building Official for construction of structural elements of the Work.

For required subsequent inspection, the Contractor shall remove and replace Work at the discretion of the Engineer at no additional cost to the City. Inspection of the Work shall not relieve the Contractor of the obligation to fulfill all conditions of the Contract.

The Contractor shall give at least 5 days’ notice for off-site inspection. Notices shall not be deemed effective until the City has responded and agreed to the Contractor’s date and time.

Special Note: The City may either perform inspection services with its own forces or contract with third parties. The Contractor shall call for, coordinate, and schedule all inspections. Inspections shall be provided to the Contractor, upon advance notice, during normal working hours (7:00 AM to 4:00 PM), on contract working days. In the event the Contractor requests inspections outside of normal working hours, or requests additional inspections on non- working days, such inspection requests may be granted upon advance notice with the Engineer’s approval, subject to the Contractor paying for costs incurred for performing such inspections, which shall be at the agreed price of $ 225 per hour, which shall be credited to City on subsequent progress payments processed for payment to the Contractor.

The City will make any inspections and tests as the City deems necessary to ensure the Work is accomplished in accordance with the requirements of the Contract Documents, other than inspections for Work performed in accordance with a permit. The Contractor shall be responsible for coordinating required inspection of all Work performed in accordance with a permit. Unless otherwise specified, the City will provide all required inspections and tests. In the event inspections or tests reveal non -compliance with the requireme nts of the Construction Documents, the Contractor shall bear the cost of any and all corrective measures deemed necessary by the City, as well as the cost of the City’s subsequent re-inspection and re-testing.

The City has the right, for a reasonable time, to stop or suspend Work which will cover, and thereby prevent or impede the City’s or another agency’s ability to inspect, test, or approve a portion of the Work. The Contractor shall have no right to additional costs or time that it may incur as a result of the Work stoppage or suspension.

Item 1E - Page 55
The Work shall not be covered prior to inspection, testing, or approval required by the Contract Documents, the City’s prior written request, or by other agencies. If any item of Work is covered prior to obtaining the required approvals, the Contractor shall, when requested by the City, uncover the Work for inspection, testing, approval, or all. Upon successful completion of the inspection, testing, or approval, the Contractor shall cover the Work where required agai n. The Contractor shall bear all direct and indirect costs and damages of such uncovering and re-covering and shall not be entitled to an increase in the Contract Price or the Contract Time, unless the Contractor has given the City and any other affected agencies written notice of the Contractor’s intention to cover the Work and the City has not acted with in response to such notice.

Tests, inspections, and approvals of items of the Work required by the Contract Documents, Applicable Laws or normal construction practices shall be made at an appropriate time, and in accordance with the Contract Documents. Unless otherwise specified, the City will make arrangements for such tests, inspections and approvals. The Contractor shall give the City notice of when and where tests and inspections are to be made so that the City may observe such procedures.

Required certificates of testing, inspection or approval shall, unless otherwise required by the Contract Documents, be secured by the Contractor and delivered to the City.

3-6 THE CONTRACTOR’S REPRESENTATIVE. ADD the following:

The designated Contractor’s representative shall not be replaced without written notice to the City.

During periods when the Work is suspended, the Contractor shall make appropriate arrangements for any emergency work which may be required to be performed under the supervision of the Contractor’s representative.

The Contractor shall provide the Engineer with a local phone number at which they or their representative may be contacted 24 hours a day.

ADD: 3-6.1 Project Meetings. The Contractor’s field supervisor e.g., superintendent and Project Manager, shall attend all scheduled construction progress meetings and other Project meetings as required by the Engineer. The City’s design staff will attend Project meetings on an as -needed basis to address design issues. Construction progress meetings may be weekly, bi -weekly, or monthly as required by the Engineer. Other Project meetings will be scheduled at the sole discretion of the Engineer.

The Engineer will determine the date(s), time(s), and location(s) for all meetings. The Engineer will be responsible for the meeting agendas and meeting minutes. If any of the Contractor’s staff cannot attend, the Contractor shall notify the Engineer a minimum of 24 hours in advance, prior to the start of the scheduled meeting. If the Contractor does not provide the required notification the Contractor shall be financially responsible for the costs of the City staff, consultants, or both that attend. The Contractor will be charged a minimum of two hours of the Engineer’s time plus the time of other the City employees or representatives that attend the meeting. Lack of participation from the Contractor will be documented and reported in the Contractor’s performance evaluation.

The objective of the meetings is to discuss: (1) the status of submittals, (2) requests for information, (3) progress of schedule, (4) disputed items, (5) non-conformance notices, and (6) new business of importance from any member of the meeting.

Item 1E - Page 56
3-6.1.1 Payment. The payment for the Contractor’s attendance of Project meetings shall be included in the various Bid items. All costs assessed to the Contractor for not attending the meetings will be deducted from the monthly invoice.

3-7.1 General. DELETE the fourth paragraph and SUBSTITUTE with the following:

If during the performance of the Work, the Contractor finds a conflict, error, omission, or discrepancy in the Contract Documents or in the City’s field work, which is necessary for a clear understanding of the Work, or if any errors appear in either the various instruments or in the work done by other contractors affecting the Work included in the Specifications, the Contractor shall report it to the Engineer in writing at once and before proceeding with the Work affected thereby. If the Contractor fails to give such notice, the Contractor shall make good any damage or defect in the Work caused thereby.

If the Engineer finds an error or omission has been made, the Engine er will determine the corrective actions and advise the Contractor accordingly. If the corrective work associated with an error or omission increases or decreases the amount of Work called for in the Contract, the City will issue an appropriate Change Order or Field Order (as applicable).

After discovery of a claimed error or omission by the Contractor if the Contractor continues with the Work without written direction from the Engineer, the related work performed by the Contractor shall be at the Contractor’s risk.

The execution of Work specially detailed or explained, without a previous written Claim for an Extra Work charge, shall constitute an acceptance by the Contractor.

It is the intent of the Specifications and Plans to describe a complete Project (or part thereof) to be constructed in accordance with the Contract Documents. Any Work that may reasonably be inferred from the Specifications or Plans as being required to produce the intended result shall be supplied whether or not it is specifically called for, at no additional cost to the City.

When words in the Specifications or on the Plans, which have a well -known technical or trade meaning, are used to describe Work, material, or equipment such words shall be interpreted per such meaning.

Reference to specified software, guides, stand ard specifications, manuals or codes of any technical society, organization or association, or to the code of any governmental authority, whether such reference be specific or by implication, shall mean the latest edition or version in effect at the time of opening of Bids (or, on the effective date of the Contract if there were no Bids), except as may be otherwise specifically stated. No provision of any referenced standard specifications, manual or code (whether or not specifically incorporated by reference in the Contract Documents) shall change the duties and responsibilities of the Engineer or the Contractor or any of their agents or employees from those set forth in the Contract Documents. Clarifications and interpretations of the Contract Documents will be issued by the Engineer within 5 working days of receipt.

Specifications and Plans are divided into groups e.g., engineering disciplines for the convenience of the City. These divisions are not for the purpose of apportioning Work or responsibility for Work among Subcontractors and Suppliers.

Item 1E - Page 57
3-7.2 Precedence of Contract Documents. DELETE in its entirety and SUBSTITUTE the following:

If there is a conflict between Contract Documents, the document highest in precedence shall control. The precedence shall be as follows with item (1) being the highest:

1) Permits; from other agencies as may be required by law 2) Change Orders and Supplemental Agreements; whichever occurs last 3) Contract Agreement
4) Addenda
5) Bid/Proposal
6) Supplemental Special Provisions (SSP)
7) Project Plans
8) Standard Drawings
9) Special Provisions
10) Standard Specifications
11) Reference Specifications

The figured dimensions shown on the drawings and in the specifications may not, in every case, agree with scale dimensions. Figured dimensions shall take precedence over scaled dimensions, and large-scaled drawings shall take precedence over small-scale drawings.

With reference to the drawings the order of precedence shall be as follows:
1) Figures govern over scaled dimensions
2) Detail drawings govern over general drawings
3) Addenda and Change Order drawings govern over Plans
4) Plans govern over Standard Drawings

When a conflict exists between the ADA Standards for Accessible Design, Title 24, and the City Supplements, the most restrictive requirement shall be followed.

ADD: 3-7.3 Red-lines and Record Documents.

3-7.3.1 General.

Keep to the satisfaction of the Engineer accurate, legible, and current records on a set of full size Plans of additions and deletions to the Work and of changes in location, elevation, and character of the Work not otherwise shown or noted in the Contract Documents.

Coordinate Red-lines drawings with field measurements, approved Shop Drawings, Working Drawings, samples, product data, and available records. You shall immediately give written notice of any conflicts between these documents to the Engineer.

Keep the Red- lines current with entries checked by the Engineer before the Work is buried or covered. Your failure to update and deliver Red -lines information monthly to the Engineer for review and approval may result in the withholding of monthly progress payments.

Note the source identification, such as RFI numbers and Change Order numbers, as required identifying the source of the change to the Contract Documents.

Item 1E - Page 58
Deliver the Red-lines to the Engineer upon completion of the construction Work.

3-7.3.2 Asset Specific Red-lines.

Irrigation System Red-lines: Red-lines shall clearly record by dimension f rom 2 known fixed points and by depth of underground facilities all deviations, modifications, and changes in the Work. Records, deviations, modifications, and changes on the day the Work is performed shall reflect the actual Work location and shall be marked in red at the scale of the Plan sheet on which they are recorded. Red-lines shall show the equipment locations and associated information for the following:

1. Water Meter - Size, type of water (potable or reclaimed), and water meter address.

2. Electrical Meter, including meter address.

3. Backflow Device - Size, available static pressure in psi, the psi and flow in gallons per minutes for which the irrigation system is designed, and device serial number.

4. Irrigation Controller - Location, number of stations, identifying call-out.

5. Master Control Valve.

6. Flow Sensor.

7. Pressure Regulator Valve.

8. Isolation Valves.

9. Remote Control Valves - Size, irrigation controller, valve station number, and flow demand in gallons per minute.

10. Quick Coupling Valves and Size.

11. Irrigation Mainline and Size.

12. Potable Water Mainline and Size.

13. Irrigation Lateral Line and Size.

14. Irrigation Sleeves and Size.

15. Remote Control Valve Wiring.

16. Communication Cables.

17. Pull Boxes.

18. Rain Shut Off Switch.

19. Electrical lines from electrical meter to irrigation con troller, including the power disconnect switch.

20. Irrigation sprinkler heads which have been added or deleted from the approved plans. Changes in manufacturer nozzle size shall be noted on the red- lined drawings including operating pressure, gallons per minute, and radius of throw.

Re-vegetation Red-lines: Within 4 weeks of the end of the Plant Establishment Period, as determined and accepted by the Project Biologist, furnish and submit to the Engineer 1 full scale Red-lines set showing field changes to grade, erosion control, and seeding for the re-vegetated areas.

Utility Red-lines: Utility Red-lines shall show the location of the following:

ARTICLE 1 Blow off valves by stationing and offsets.

ARTICLE 2 Air vacuum valves by stationing and offsets.

ARTICLE 3 Water meter boxes replaced.

ARTICLE 4 Locations of all sewer laterals and cleanouts.

ARTICLE 5 Items abandoned in place following dewatering operation.

Item 1E - Page 59

Building Red-lines: Building Red-lines shall show the following:

A. Location by dimension and the depth by elevation of underground lines, valves, p lugged tees, and capped ends.

B. By dimension or scale plans, wiring, conduits, and pull boxes as installed.

C. Information necessary to maintain and service concealed items of Work.

D. Dimensional changes to the drawings.

E. Revisions to details shown on the drawings.

F. Depths of foundations below the first floor.

G. Locations and depths of underground utilities.

H. Revisions to the routing of piping and conduits.

I. Revisions to electrical circuitry.

J. Actual equipment locations.

K. Duct size and routing.

L. Locations of concealed internal utilities.

M. Changes made by Change Orders.

N. Details not shown on original Plans.

Traffic Signals and Street Lighting: Provide the Engineer with a cable route diagram indicating the actual cable route and meter marks for all intersections, directional change points in the cable routing, and all ter mination points. Record these points during cable installation. Provide cable system Red-lines showing the accurate cable route to the Engineer. Record information such as the location of slack cable and its quantity in the cable route diagram.

Provide 3 copies of D-Sheet sized Red-lines.

SWPPP: Upon completion of construction, submit the SWPPP and all of its appendices, records, reports, and maps to the Engineer with the Redlines.

Slurry Seal and Asphalt Concrete Reconstruction or Overlay: Clearly record on the forms the City provides in MS Excel format the actual dates and quantity of each Bid item applied to each street segment and comments regarding each segment. Record reasons if no Work is performed.

Fiber Optic and WIFI Device Red -lines: Fiber Optic and WIFI Device Red -lines shall clearly record by dimension from 2 known fixed points and by depth of underground facilities all deviations, modifications, and changes in the Work. Records, deviations, modi fications, and changes on the day the Work is performed shall reflect the actual Work location and shall be marked in red at the scale of the Plan sheet on which they are recorded. Red-lines shall show the equipment locations and associated information for the following:
• Locations and depths of underground utilities.
• Revisions to the routing of piping and conduits.
• Actual equipment locations.
• Pull Boxes.
• Electrical Meter, including meter address.
• Items abandoned in place.

3-7.3.3 Payment.

Item 1E - Page 60
The payment for Red-lines Drawings shall be included in the Contract Price.

ADD: 3-7.4 Measurements and Dimensions.

Scaled dimensions are approximate. Before ordering materials or commencing the Work, measure the Site for proper size and fit. Verify dimensions and quantities by taking measurements in the field. The Contractor shall be responsible for their accuracy.

3-8.4 Supporting Information. ADD the following:

Submit samples of the materials with cut sheets of the products. Organize cut sheets in a binder for review and approval by the Engineer prior to use on the Project. Identify deviation from any of the specified material clearly, including cut sheets and samples of both the specified material and basis for the substitution. Include the City’s Project Name, Project Number, and the Engineer’s name, Contractor Name, and Submittal Number and clearly indicate the specific product to be used.

When photos of material are required, they shall be clear in resolution, identify the specific item for review, and shall indicate the name of the item, source, and date taken. The material shown in the photo shall be currently available for use on the Project.

For landscaping and irrigation materials, submit samples and test results to the Engineer within 15 Working Days of the NTP.

3-9 SUBSURFACE DATA. ADD the following:

The Plans for the Work show conditions as are believed by the Engineer to exist, but it is not to be inferred that all of the conditions as shown thereon actually exist, nor shall the City or any of its officers be liable for any loss sustained by the Contractor as a result of any variance between conditions as shown on the Plans and the actual conditions revealed during the progress of the Work or otherwise.

If reports of explorations and tests of subsurface conditions at the Site are included in the Contract Documents e.g., Supplementary Special Provisions (SSP), the Contractor is encouraged to inspect the Site, acquire, and review these reports and to take other necessary steps to thoroughly familiarize itself with the Site conditions. If a review of the documents and Site inspection indicate a conflict, the Contractor shall immediately notify the City. For access and cost information to obtain those reports contact the City Project Manager, during regular business hours.

The City does not represent that the listed documents, or the logs, and test results, show the conditions that will be encountered in performing the Work. The City represents only that the logs, and test results show the conditions encountered at the particular locations and at the p articular times they were obtained. The Bidders and other users of the subsurface data are cautioned that interpretations and conclusions contained in the documents were formulated for design purposes only and were based on work performed in such a way as to expressly provide information required for design.

3-10 SURVEYING. DELETE in its entirety and SUBSTITUTE with the following:

The Contractor shall provide all construction surveying by a California registered Land Surveyor or Registered Civil Engineer appropriately licensed to practice land surveying. The Contractor’s Item 1E - Page 61
surveyor shall provide monument tie-out and corner record filing, as required by the Engineer or his representative.

The Contractor’s surveyor shall set all stakes and hubs, furnish all lines, grades and measurements necessary for the proper prosecution and control of the work contracted for under these specifications. No direct payment will be made for this labor, materials, or other expenses therewith.

The Contractor must give weekly copies of all survey notes to the Engineer so that the Engineer may check them as to accuracy and method of staking. All areas that are staked by the Contractor must be checked and approved by the Engineer prio r to beginning any work in the area. The Engineer will make periodic checks of the grades and alignment set by the Contractor. In case of error on the part of the Contractor, his/her employees, or surveyor, resulting in establishing grades and/or alignment that are not in accordance with the plans or as established by the Engineer, all construction or staking not in accordance with the established grades and/or alignment shall be replaced without additional cost to the City.

Payment for any and all construction surveying required by this Project, by the Contractor’s Surveyor, shall be considered as included in the various bid items of work, and no additional compensation shall be allowed therefore.

3-11 CONTRACT INFORMATION SIGNS: DELETE in its entirety and SUBSTITUTE the following:

3-11 PROJECT INFORMATION SIGNS.

3-11.1 General. Work specified in this section includes providing all materials and performing all operations to fabricate, install, modify and/or relocate Project Information Signs, and as specified in these Special Provisions. Submit a shop drawing for all sign panels, and the Manufacturer’s data for the Sign Panels.

3-11.2 Materials

a. Project Information Signs shall be constructed per Caltrans specifications for aluminum single sheet and laminated panel signs. These specifications may be obtained from Caltrans Office of Business Management, Material Operations Branch, 1900 Royal Oaks Drive, Sacramento, CA 95815.

b. Color of signs, panels and lettering shall be as indicated on the drawing in the Appendix of these specifications.

c. Sign Posts shall be constructed of wood and shall conform to the provisions of section 56-

2.02B, Caltrans, or latest equivalent specification.

d. Mounting Hardware shall be furnished by the Contractor and shall conform to the provisions of section 56-2.02D, Caltrans, or latest equivalent specification.

e. To properly provide for changing traffic conditions, the Contractor shall be prepared to furnish or short notice (within 48 hours) additional sign panels, posts and mounting hardware. The Contractor shall make arrangements with a supplier who is able, on a daily basis, to furnish such items on short notice.

Item 1E - Page 62

3-11.3 Installation

A. For this contract, Two (2) Project Information Signs shall be installed, relocated or modified as directed by the City Engineer and shall conform to the provisions of sections 56-2.03, and 56-2.04, Caltrans, or latest equivalent specification.

B. All signs shall have breakaway features as detailed in Standard Plan RS2, “Roadside Sign Details,” Caltrans.

C. Signs to be removed and/or relocated as directed by the City Engineer shall be installed at the new location on the same day said sign is removed from its previous location.

D. The location of each sign shall be as directed by the City Engineer or his designee.

Project information sign should be installed in a way to have bottom of sign at least 7ft above the ground.

The project information signs shall be erected five (5) working days prior to the start of work.

The Contractor shall revise all misspellings and any other corrections on the sign at no extra cost to the City.

Upon completion of the project, the Contractor shall remove and dispose of the Project Information Signs.

3-11.4 Payment. Payment for Project Identification Signs shall be considered as included in the various bid items, or considered in the lump sum price paid for “Mobilization,” and shall include full compensation for furnishing all labor, materials, tools, equipment, and incidentals for doing all work involved in construction of this items and no additional c ompensation will be allowed therefore.

3-12.1 General. Add the following three paragraphs:

The Contractor shall provide and maintain enclosed toilets for the use of the Contractor and City’s officers, employees or agents. The Contractor shall keep these accommodations in a neat and sanitary condition, and shall ensure they comply with all applicable laws, ordinances, and regulations pertaining to public health and sanitation of dwellings and camps.

The Cont ractor shall, prior to on -site testing and ins pection activities and prior to on -site mobilization for demolition and construction, prepare a Mobilization Plan for the City’s review and approval based upon information provided to the Contractor by the City from time to time concerning the anticipated availability of the Site or portions thereof for tests and inspections to be performed in connection with the preparation of the Order of Magnitude Documents, for remedial work relating to Hazardous Materials and Waste as set forth in the Contract Documents, and for demolition, excavation and construction activities.

The foregoing Mobilization Plan shall be revised from time to time as necessary to incorporate additional information on Site availability provided by the City. The Contractor shall confine operations at the Site to areas permitted by law, ordinances, permits and the Contract Documents Item 1E - Page 63
and shall not unreasonably encumber the Site with materials or equipment. The Contractor shall at all times confine its access and use of the Site to the areas designated by the City from time to time as being delivered and available to the Contractor.

3-12.2 Air Pollution Control. DELETE in its entirety and SUBSTITUTE the following:

3-12.2 Air Pollution Control.

3-12.2.1 General. The Contractor shall be responsible for stabilizing the disturbed soil during construction. The method which it will use must be approved by the Engineer. If a water meter is required by the Engineer during construction, the Contractor shall contact the Desert Water Agency at (760) 323-4971 to obtain said meter. Unless otherwise provided for as separate payment pursuant to a bid item therefore, the cost of this work shall be included in the price of various items in the Bid Schedule, and no additional payment will be made therefore.

The Contractor shall be responsible for maintaining the project site and providing adequate dust control 24 hours a day, everyday, through the duration of the project, in conformance with City requirements, the Standard Specifications, and to the satisfaction of the City Engineer.

The Contractor shall complete and submit a City of Palm Springs Fugitive Dust (PM -10) Control Plan, for review and approval by the Engineer, at the Pre-Construction Conference.

Attention is directed to the fact that the project is in an area subject to the provisions of South Coast Air Quality Management District (SCAQMD) Rule 403.1, Supplemental Fugitive Dust Control Requirements for Coachella Valley Sources . Details of SCAQMD Ru le 403.1 can be found at:

http://www.aqmd.gov/docs/default-source/rule-book/rule-iv/rule-403-1.pdf?sfvrsn=4

The Contractor, and all subcontractors, shall ensure their operations comply with Rule 403.1, and the provisions of the PM-10 Dust Control Plan approved by the Engineer.

3-12.2.2 Dust Control Sign Requirements – The Contractor shall construct, erect, and maintain a rectangular, painted sign, outside of any proposed work area. The sign shall be installed within 5 days of the execution of the Contract, and the Contractor shall maintain the sign in good condition until the execution of the Notice of Completion, at which time the Contractor shall remove the sign and deliver it to the City yard. The s ign board shall be minimum 8- feet wide by 5 -feet high, constructed as follows:

a. 1” High Density Overlay exterior type plywood, Grade designation APA HDO EXT. b. Two (2) 4” x 4” post securely buried not less than 24 inches into the ground. No concrete shall be used to secure the sign posts. The posts shall be treated with linseed replacement oil tinted with redwood stain.
c. Posts shall be attached to the edges of the plywood with a minimum of two (2) carriage bolts on each post.
d. The front surface of the sign should be painted in the contrasting colors of a white background with black lettering. All paint shall be weather-proof non fading enamel. e. Commercially prepared metal signs mounted on steel posts are also acceptable.

No handwritten signs will be accepted. Stenciled or professionally prepared signs are required.

Item 1E - Page 64
3-12.2.3 Sign Installation – The sign shall be installed such that members of the public can easily view, access, and read the sign at all times and shall be located along the street frontage such that it will not be subject to damage from equipment or vehicles working at the project site. Additionally:

a. The lower edge of the sign shall be mounted a minimum of 6 feet and a maximum of 7 fee t above existing ground level for easy viewing.
b. On the construction site the sign should be positioned so as to be visible from all major streets. c. For construction projects that are developed in phases, the sign should be relocated to the areas which are under active construction.

3-12.2.4 Sign Lettering. - The sign shall contain the following words in minimum 1.5, 2, and 3 inch high (as indicated in parentheses) bold face type letters:

PROJECT NAME (1.5”): PROJECT NAME (2”)
CONTRACTOR (1.5”): ____________XXXXX____________________ (2”) CITY PROJECT NO (1.5”): _________XX-XX____________________ (2”)

IF YOU SEE DUST COMING (2”)
FROM THIS PROJECT CALL (2”)

Underneath the sign shall contain the following words in the largest, minimum 3”, bold face type letters:
(PROJECT MANAGER’S NAME) (XXX) XXX-XXXX

The Contractor shall supply its Superintendent’s or Project Manager’s name and 24 hour telephone number.

Underneath in smaller, minimum 1.5” bold face type letters shall be the following words:

IF YOU DO NOT GET A RESPONSE, PLEASE CALL:

CITY OF PALM SPRINGS: (760) 323-8253
AFTER HOURS OR WEEKENDS PLEASE CALL:

CITY OF PALM SPRINGS POLICE DEPARTMENT (760) 323-8115
OR CALL A.Q.M.D.: 1- 800-288-7664

The Contractor shall provide a sample of the sign planning, appearance, and layout for review and approval by the Engineer, prior to installation.

3-12.2.5 Sign Maintenance – Dust Control Sign shall be maintained in good condition by the Contractor at all times during the entire contract. In case of damage to the sign from any cause, including graffiti, vandalism, environmental conditions and fading, the Contractor shall repair, re- install, and/or repaint the sign, as required. All such repair or maintenance shall be completed promptly within 2 days of any such damage to the full satisfaction of the Engineer.

3-12.2.6 Payment – Full compensation for establishing and implementing a PM-10 Dust Control Plan; furnishing, installing and maintaining required signs; and monitoring and maintaining the project site for compliance throughout the duration of this project shall be considered as included in the various bid items of work, or in the lump sum bid item price for “Mobilization,” which price shall include full compensation for furnishing all labor, materials, tools, equipment, and incidentals Item 1E - Page 65
for d oing all work involved to establish, implement, monitor and maintain dust control, and no additional compensation shall be allowed therefore.

3-12.4.1 General. ADD the following:

If the Plans designate a staging location within the Project or in close proximity, the Contractor shall utilize such area for their use. Otherwise, storage and staging areas shall be the responsibility of the Contractor. The storage and staging areas shall be as close as possible to the Site. The Contractor shall be responsible for obtaining any permits, leases, or any other items necessary to obtain staging areas. Trash, oil dumping, storage of hazardous wastes, or construction equipment material and parking, fueling of equipment shall not be allowed in any biologically sensitive areas.

The Contractor shall ensure the fueling of vehicles occurs only within designated staging areas using appropriate catch basins and devices.

The Contractor shall meet with the Engineer at the proposed staging area prior to any use of the area to ascertain the existing condition. The Contractor shall be responsible to return the storage and staging area and the adjacent area to an equal or better condition as deemed necessary by the Engineer, at no additional cost to the City.

The Contractor shall maintain all Site improvements, including any temporary facilities, equipment or other materials in a graffiti free condition throughout the construction period, until acceptance of the Project by the City. Graffiti encountered on the Site shall be removed by the Contractor within 24 hours.

3-12.4.2 Storage in Public Streets. DELETE in its entirety and SUBSTITUTE the following:

Construction materials and equipment shall not be stored in streets, roads, or highways unless specifically authorized by the Engineer. All materials or equipment not installed or used in construction after unloading shall be stored at a location approved by the Engineer.

Excavated material, except that which is to be used as ba ckfill in the adjacent trench, shall be stored at a location approved by the Engineer. Immediately after placing backfill, all excess excavated material shall be removed.

3-12.5.1 General. ADD the following:

The Contractor shall observe and comply with the City’s policy of zero spills. The Contrac tor shall be liable for all damages sustained by the City that result from sewage spills caused by its actions.

The Contractor shall designate a person responsible for the development and enforcement of the Spill Prevention and Emergency Response Plan, and for ensuring sewer spills are minimized to the maximum extent possible. The Contractor shall provide a status of all bypass related Work at biweekly progress meetings as requested by the City.

3-12.6.1 General. ADD the following:

This project is subject to the requirements of General Permit No. CAS000002 issued by the State Water Resources Control Board through Order No. 2009-0009-DWQ as further amended by Order No. 2010 -0014-DWQ and Order No. 2012 -0006-DWQ, or as further amended, extended or Item 1E - Page 66
replaced by applicable Order adopted by the State Water Resources Control Board. This General Permit regulates discharges of pollutants in storm water associated with construction activity (storm water discharges) to waters of the United States from construction sites that disturb one or more acres of land surface, or that are part of a common plan of development or sale that disturbs more than one acre of land surface. Contractor is responsible for filing a Notice of Intent (NOI) for Permit coverage and a Notice of Termination (NOT) at project end. The Contractor shall refer to and comply with all of the terms of the currently adopted General Construction Permit for Storm Water Dischargers and associated resources available for review online at:
http://www.waterboards.ca.gov/coloradoriver/water_issues/programs/stormwater/#constc_permit_d ocs

3-12.6.3 Storm Water Pollution Prevention Plan (SWPPP). D ELETE in its entirety and SUBSTITUTE the following:

The Contractor shall be required to prepare a Storm Water Pollution Prevention Plan (SWPPP) for this project, which shall be submitted to the Engineer for review and approval at the Pre- Construction Conference. The Contractor’s attention is directed to the California Department of Transportation (Caltrans) website at:
www.dot.ca.gov/hq/construc/stormwater/manuals.htm

The Caltrans website contains SWPPP templates and other important information that may be useful in the preparation of a SWPPP for public works projects. The Contractor shall ensure that the SWPPP prepared for this project complies with the requirements of General Perm it No.

CAS000002 and Regional Board Order No. R7-2013-0011, NPDES No. CAS 617002.

Additionally the Contractor shall guarantee that the SWPPP complies with the following measures from the Regulatory Permits and Environmental Commitment Measures:

A. Projects shall not discharge substances in concentrations toxic to human, plant, animal, or aquatic life or that produce detrimental physiological responses.

B. Projects shall not discharge waste classified as a “hazardous substance” as defined in Title 22 CCR section 66261.1 et seq. and the California Water Code Section 13050; C. No oil, petroleum products, or rubbish shall be allowed to enter into or be placed where it may be washed by rainfall or runoff into waters of the United States.

D. No equipment maintenance will be done within or near any stream channel where petroleum products or other pollutants from the equipment may enter waters of the United States.

E. Equipment refueling shall not occur within waters of the United States.

F. Any oil or grease leaks shall be immediately cleaned up.

Upon approval of the SWPPP by the Engineer, the Contractor shall file a Notice of Intent for coverage under the State Water Resources Control Board’ s General National Discharge Elimination System (NPDES) Permit for Discharges of Storm Water Runoff Associated with Construction Activity (Statewide General Permit), General Permit No. CAS000002, in accordance with the City’s NPDES Permit issued as Board Order No. R7- 2013-0011, NPDES No. CAS 617002. The Contractor shall refer to and comply with all requirements of the NPDES Permit, available for review online at:

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https://www.waterboards.ca.gov/coloradoriver/board_decisions/adopted_orders/orders/2019/00 11whitewater_river_ms4.pdf The Contractor shall ensure that the SWPPP is developed and amended or revised by a Qualified SWPPP Developer (QSD). The Contractor shall ensure that Best Management Practices (BMPs) within the SWPPP are implemented by a Qualified SWPPP Practitioner (QSP). To demonstrate compliance with requirements of this General Permit, the QSD shall include information in the SWPPP that supports the conclusions, selections, use, and maintenance of BMPs.

The Contractor shall designate the QSD and QSP, as the case may be, as the individuals directly responsible for and implementing the SWPPP requirements, and maintenance of the documentation contained therein, during the course of construction until the project has been accepted as complete by the City. The Contractor shall keep the SWPPP at the project site and make it available for review upon request of a representative of the RWQCB or the Engineer.

The Construction Superintendent shall prepare a Construction Schedule and BMP Sequencing Schedule for the project and include it into the SWPPP at the designated location.

Special Note: The Contractor shall ensure it has prepared, in advance, the required SWPPP for submittal at the Pre-Construction Conference. Failure to have prepared an adequate SWPPP for submittal at the Pre-Construction Conference will delay Contractor’s start of work, however, the Notice to Proceed shall be issued and working days shall commence, regardless of construction work occurring due to the Contractor’s delay in preparing and submitting an adequate SWPPP for the Engineer’s approval.

The Construction Superintendent shall prepare a Notice of Termination (NOT), included in the SWPPP, and submit it to the RWQCB following acceptance of the work by the City, but prior to final payment.

Throughout the duration of the work, the Construction Superintendent shall ensure the following construction storm water monitoring actions are performed:

A. Conduct site inspections before and after storm events.

B. Conduct inspections of construction sites prior to anticipated storm events and after actual storm events to identify areas contributing to a discharge of storm water associated with construction activity, and evaluate whether control practices to reduce pollutant loadings identified in the SWPPP are adequate and properly implemented or whether additional control practices are needed. A record of the inspections must include the date of the inspection, the individual(s) who performed the inspection, and the observations.

C. Any noncompliance or anticipated noncompliance shall be reported to the Engineer immediately, for reporting to the Regional Water Quality Control Board (RWQCB). The notifications shall identify the type(s) of noncompliance, describe the actions necessary to achieve compliance, and include a time schedule, subject to the modifications by the RWQCB, indicating when compliance will be achieved.

The Contractor shall maintain a copy of the General Stormwater Permit and the SWPPP at the construction site and shall make the General Stormwater Permit available to operating personnel and local, State, and Federal agencies’ representatives during construction activities. Should the Contractor elect not to have a construction field office, the Engineer will, on request, reserve filing space within the facilities for City Inspection Personnel to assist in complying with this requirement.

The Contractor shall allow authorized agents of the California Regional Water Quality Control Board (Regional Board), State Water Resources Control Board, U.S. Environmental Protection Item 1E - Page 68
Agency, and local storm water management agencies, upon the presentation of credentials and other documents as may be required by law, to:

1. Enter, at reasonable times, upon the construction site and the Contractor’s facilities pertinent to the work.

2. Have access to and copy, at reasonable times, any records that must be kept as specified in the General Stormwater Permit.

3. Inspect, at reasonable times, the construction site and related erosion and sediment control measures.

4. Sample or monitor, at reasonable times, for the purpose of ensuring compliance with the General Stormwater Permit.

5. The Contractor shall grant Regional Water Board staff, or an authorized representative, upon presentation of credentials and. other documents as may be required by law, to enter the project site at reasonable times, to ensure compliance with the terms and conditions of the WQC and/or to determine the impacts the project may have on waters of the United States.

Prior to commencing work, the Contractor shall make such amendments to the SWPPP as are required to make it coincide with the Contractor’s planned operations and submit the amendments to the Engineer for approval and file. The amendments shall include an Erosion Control Plan (ECP), described in Section “Construction Project Diversion and Control of Water”, along with any plan for water pollution control measures. The amended and approved SWPPP shall be kept at the project field office.

The Contractor is notified that the SWPPP must be amended from time to time during construction to reflect actual construction practices and such amendments shall be submitted to the Engineer within five (5) working days of the Engineer’s written request. If the Contractor plans to amend the SWPPP, due to field conditions or any other reason, he shall propose the necessary amendments to the Engineer for approval at least five (5) working days prior to implementation.

The SWPPP and amendments shall not be construed to be a waiver of the Contractor’s obligation to review and understand the General Stormwater Permit before submitting a Bid. By submitting a Bid, the Contractor acknowledges satisfaction as to the requirements of the General Stormwater Permit.
3-12.6.5 Payment. DELETE in its entirety and SUBSTITUTE the following:

Full compensation for compliance with the provisions of Section 3-12.6 “Water Pollution Control,” of the Standard Specifications will be paid for at the bid item price for “Water Pollution Control ,” which price shall include full compensation preparing a SWPPP, filing the NOI and NOT, permit fees, and for furnishing all labor, materials, tools, equipment, and incidentals for doing all work involved to establish, implement, monitor and maintain the BMP’s required by the SWPPP, and no additional compensation shall be allowed therefore. In the event there is no separate bid item for “Water Pollution Control,” payment for compliance with the provisions of Section 3- 12.6 “Water Pollution Control,” of the Standard Specifications, and as amended by these Special Provisions, will be considered as included in the various bid items, and no additional payment will be allowed therefore.

SPECIAL NOTE: Prior to final payment, the Contractor shall provide a final report on implementation of the SWPPP and compliance with the NPDES Permit for the City’s use in its annual report to the RWQCB.

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The Contractor shall be responsible for payment of any administrative fines that may be imposed on the City due to the Contractor’s failure to comply with the terms of the applicable permits regulating Water Pollution Control. Administrative fines, i f imposed, will be withheld from the Contractor’s payments.

3-13.1 Completion. ADD the following:

The Contractor’s obligation to perform and complete the Work in accordance with the Contract shall be absolute. Neither any payment by the City to the Contractor, nor any use or occupancy of the Work or any part thereof by the City, nor any review of a Shop Drawings and Working Drawing or sample submittal, will constitute an acceptance of Work or any portion of it.

If the Engineer finds materials, equipment, or workmanship which does not meet the terms of the Contract, the Engineer will prepare a Punchlist and submit it to the Contractor. If, in the Engineer’s judgment, the Work has been completed, the Engineer will schedule acceptance of the Work by the City Council.

ADD: 3-13.1.1 Requirements Before Requesting a Walk-through.

Walk-through is the procedure used by the City to generate a Punchlist prior to Acceptance.

The following items shall be required prior to requesting a walk-through:

a) Remove temporary facilities from the Site.

b) Thoroughly clean the Site.

c) Provide completed and signed Red -lines in accordance with 3- 7.3, “Red-lines and Record Documents.”

d) Provide all material and equipment maintenance and operation instructions and/or manuals.

e) Provide all warranties and guarantees required by the Contract Documents.

f) Provide all tools which are a permanent part of equipment installed in the Project.

g) Provide and properly identify all keys, construction and permanent.

h) Provide all final Special Inspection reports required by the Uniform Building Code.

i) Provide all certificates for materials, back -flows, glulam beams, underground storage tanks, etc.

j) Provide all items that this contract requires to be supplied as extra stock. All items shall be wrapped, sealed, or placed in a container as necessary to allow for storage by the City for future use. The amount specified in this contract shall be verified by the City and the Contractor.

k) Ensure all EOCP documents and certified wage rate documents (if applicable) have been submitted from the beginning of the job to complete close-out.

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ADD: 3-13.1.2 Walk-through and Punchlist Procedure. The following procedure outlines the steps to be taken upon the Contractor’s assertion that the Project is complete:

a) When the Contractor considers that the Work and Services are complete, the Contractor shall in writing notify the City that the Project is complete and request that the City perform a walk- through for generation of a Punchlist. The Contractor shall notify the City at least 7 days in advance of the time the walk-through is to be performed.

b) The City will determine if the Contractor is ready for a wal k-through by verifying whether the Contractor has provided or completed all items as required by 3-13.1.1, “Requirements Before Requesting a Walk-through.”

c) If the Work includes underground sewer or storm drain installations, the inspection will include televising in accordance with 306-18, “VIDEO INSPECTION.”

d) The Engineer will facilitate a walk-through.

e) The Contractor shall make available at the Site for walk -through attendees the plans and specifications and the technical data such as submittals and equipment manuals.

f) The City will generate the Punchlist within 15 Working Days from the date of the walk-through and submit it to the Contractor. The City will not provide a preliminary Punchlist.

g) If the City begins to generate a Punchlist and finds the Project is not substantially complete as defined herein, the City will terminate the walk-through and notify the Contractor in writing.

h) If, at any time during the City’s evaluation of the corrective Work required by the Punchlist, the City discovers that additional corrective Work is required, the City may include that corrective Work in the Punchlist. The Contractor shall be solely responsible for the Site until the Project is completely operational, all Punchlist items have been corrected, and all operation and maintenance manuals have been accepted by the City.

i) The City will meet with the Contractor until all Punchlist items are corrected. If the Contractor takes longer than 30 Working Days to complete the corrective Work, the Project shall be subject to re-evaluation.

j) Submit your request for retention billing to the Resident Engineer 35 Calendar Days after the NOC. After the City receives the retention billing, the Resident Engineer will mail to you a “Release of Claims” form which shall be completed and returned before the retention shall be released.

k) Upon Acceptance, the Contractor shall assemble and deliver to the City all records, documents, warranties, bonds, guarantees, maintenance and service agreements, a nd maintenance and operating manuals. Written warranties, except manufacturer’s standard printed warranties, shall be on the Contractor’s and the Contractor’s agents, material suppliers, installers, or manufacturer’s letterhead, addressed to the Contractor. Warranties shall be submitted in the format described in this section, modified as approved by the City to suit the conditions pertaining to the warranty.

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3-13.3 Warranty. ADD the following:

As a precedent to Acceptance, required by the Contract Documents, the Contractor shall deliver to the City all the manufacturers’ warranties required by the Contract Documents, with the City named as beneficiary. For all equipment and machinery bearing a manufacturer’s warranty that extends for a longer period of time than the Contractor’s warranty, the Contractor shall secure and deliver the warranties to the City in the same manner.

The Contractor’s warranty shall be in addition to the manufacturers’ and suppliers’ standard warranties, special warranties, or special warranties of longer durations as may be required.

If the Contractor completes the Project or portions thereof prior to the time the NOC is issued, the Contractor shall preserve equipment by developing and implementing a preventive maintenance program in compliance with manufacturer’s recommendations.

ADD: 3-13.3.1 Defective Work.

If the Work, or any part thereof, is found to be defective, whether or not manufactured, fabricated, installed, completed or overlooked and accepted by the City, the Contractor shall, promptly and in accordance with the written instructions of the City e.g., a “punchlist” and within the reasonable time limits stated therein, either correct such defective Work, or, if it has been rejected by the City, remove it from the Site and replace it with non-defective and conforming Work.

If, upon notice, the Contractor fails to immediately correct the Defective Work, or the Contractor fails to correct the Defective Work in a manner conforming to the Contract Documents, the City may order the Contractor to stop all or part of the Project; however, the City’s right to stop the Project shall not give rise to any duty on the part of the City to stop Work for the benefit of the Contractor or any other party. The Contractor shall bear all direct and indirect costs and damages that result from the City’s stop work notice.

The Engineer may determine in its sole discretion to accept Defective Work instead of having the Contractor correct the Defective Work. However, the Contractor will still be financially responsible for the Defective Work. The Engineer shall issue a deductive Change Order and will incorporate the necessary revisions in the Contract Documents for the Defective Work, the diminished value to the Project, or for the cost to repair the Defective Work.

If the Contractor fails to correct, remove, or replace Defective Work within 5 Working Days from the date of written notice from the City, the City may proceed expeditiously with any correction of Defective Work undertaken in accordance with this section. The City may remedy at a sooner time in the event of an emergency. The City may remedy after 5 Working Days from the date of written notice when the Contractor fails to correct the Defective Work in accordance with the Contract Documents, or when the Contractor fails to comply with any other provision of the Contract Documents.

When undertaking remedial action under this section, the City may: exclude the Contractor from all or part of the Site; take possession of all or part of the Work, and suspend the Contractor’s Work and or Services related thereto; and incorporate into the Project all materials and equipment stored at the Site or for which the City has paid but the Contractor has stored elsewhere.

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The Contractor shall pay for any claims, costs, losses, and damages i ncurred by the City in remedying any deficiency e.g., all costs of repair or replacement of Defective Work and all costs of repair of any other Work on the Project destroyed or damaged by correction, removal, or replacement of the Contractor’s Defective Work.

The Contractor shall not be allowed an extension of the Contract Time or Milestones because of any delay in the performance of the Project attributable to the City’s undertaking remedial action to correct Defective Work.

For Building Projects which require a certificate of occupancy, not including sewer and water facilities, if the Contractor fails to correct the defective work listed on the City’s “punchlist” within 30 days after the Contract duration, the Contractor shall be responsible for reimbursing the City for all costs to provide inspection services required to monitor Work beyond the 30 days. The Contractor shall be billed for this at the Contract Liquidated Damages rate.

ADD: 3-13.3.2 Warranty Format Requirements.

a) Written warrant ies, except manufacturer ’s standard printed warranties, shall be on the Contractor’s and its agents’, material suppliers’, installers’, or manufacturers’ own letterhead, addressed to and for the benefit of the City. Warranties shall be submitted in the for mat described in this section, modified as approved by City to suit the conditions pertaining to the warranty.

b) The Contractor shall obtain warranties, executed in triplicate by responsible Subcontractors, suppliers, and manufacturers, within 10 days after completion of the applicable item of Work.

Except for items put into use with City’s permission with date mutually agreed upon in writing, The Contractor shall ensure the beginning time of warranty is the Project Completion date.

c) The Contractor shall verify that documents are in proper form, contain full information, and are notarized.

d) The Contractor shall verify that warranties are signed by both The Contractor and the appropriate agent.

e) The Contractor shall retain warranties until the time specified for submittal to City.

f) The warranties shall be provided to City with a neatly typed Table of Contents, identifying each warranty with the number and title of the applicable specification section requiring the warranty and the name of the product or Work item.

g) Each warranty shall be separated with index tab sheets keyed to the Table of Contents listing.

Complete information shall be provided, using separate typed sheets as necessary. The information shall include a list of Subcontractors, supplier, and manufacturer, with name, address and telephone number of responsible principal.

ADD: 3-14 PARTNERING.

3-14.1 General.

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The Contractor may request the formation of a Partnering relationship by submitting a request in writing to the Engineer after approval of the Contract. If the Contractor’s request for Partnering is approved by the Engineer, scheduling of a Partnering workshop, selecting the Partnering facilitator and workshop, s electing the Partnering facilitator and workshop site, and other administrative details shall be as agreed to by both Parties.

The establishment of a Partnering relationship will not change or modify the terms and conditions of the Contract and will not relieve either party of the legal requirements of the contract.

The goals of partnering shall include:

a) The Construction Manager, the City’s representatives, and the Contractor’s representatives including Subcontractors actively working together as partners; b) Avoidance of destructive confrontation and litigation among the parties; c) Mutual understanding on how the Work is to be conducted; d) Establishment of mutual key results to facilitate Project success; and, e) Establishment of an atmosphere of team work, trust, and open communication.

3-14.2 Payment. The payments involved in providing a facilitator and a workshop site will be borne equally by the City and the Contractor. The Contractor shall pay all compensation for the wages and expenses of the facilitator and of the expenses for obtaining the workshop site. The City’s share of such costs will be reimbursed to the Contractor in a Change Order written by the Engineer unless a Bid item has been established for Partnering. Markups will not be added. Other costs associated with the Partnering relationship shall be borne separately by the party incurring the costs.

ADD: 3-15 SITE ACTIVITIES BY THE CITY OR SEPARATE CONTRACTORS.

3-15.1 City’s Right to Award Separate Contracts. The City reserves the right to perform work or operations outside the scope of Work of this contract related to the Project with City Forces, Separate Contractors, or both. If Work to be performed by another party was not noted in this contract, the City will give written notice to the Contractor 10 Working Days prior to the start of any work. If the Contractor determines that the work being performed by the City or others may interfere with, or cause damages to Work being performed by the Contractor, the Contractor shall notify the City in writing within 3 days of the City’s notice.

3-15.2 Integration of the Work with Separate Contractors. When specified in the Contract Documents, prepare a plan in order to integrate the work performed by Separate Contractors, City Forces, or both with the performance of the Work and submit the plan to the Engineer for approval.

The plan shall be fair and reasonable for you and the Separate Contractors. Work with Separate Contractors to reach an agreement for the prepared plan. Arrange the performance of the Work so that the Work and the work of the Separate Contractors are, to the extent applicable, properly integrated and jointed in a manner that avoids any damage to the Work or to the work of the Separate Contractors.

3-15.3 Coordination. Coordinate your activities and the Schedule with the activities and schedules of the Separate Contractors and make any revisions to the Schedule deemed necessary to avoid any disruption to the Work or to the work of the Separate Contractors.

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3-15.4 Use of Site. Provide the City and the Separate Contractors reasonable opportunities for the storage of materials and equipment and performance of their work. Connect and coordinate Work and operations with the work and operations of the City and th e Separate Contractors as required by the Contract Documents.

Coordinate traffic control with the Separate Contractors for other projects and minimize the impact to the community. Prior to the start of construction, submit your plan for coordination.

3-15.5 Deficiency in Work of Separate Contractors.

If part of your Work depends on proper execution or results upon construction or operations by the City or a Separate Contractor, prior to proceeding with that portion of the Work, promptly report to the Separate Contractor and the Engineer any apparent discrepancies or defects in construction that would render it unsuitable for proper execution and results. Use good faith efforts to resolve any such discrepancies or defects or any related disagreements. Your failure to report constitutes your acceptance of the Work of Separate Contractors as fit, proper, and coordinated with the Work.

3-15.6 Payment.

Payment for reporting deficiencies, coordinating, and resolving discrepancies shall be included in the Contract Price.

- END OF SECTION -
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SECTION 4 – CONTROL OF MATERIALS

4-2 PROTECTION. ADD the following:

Repair or replace any equipment and materials in the event of vandalism, damage, or theft at no additional cost to the City.

4-3.1 General. ADD the following:

Materials typically accepted by Certificate of Compliance shall not require inspection at the source unless specified in the Special Provisions. For a list of these items or materials, you may refer to the Contract Documents.

Location changes to t he source of materials requiring inspection wi thout the required 24 hour notification may result in non-compliant material subject to rejection. You shall be responsible for staff charges resulting from last minute changes or cancellations once staff has been deployed.

The Engineer shall issue a deduc tive Field Order for a minimum of 2 hours of staff time to reimburse the City for misdirected staff charges. For private contracts, the permittee shall be notified in writing of the additional staff charges incurred.

Steel pipe in sizes larger than 18 inches shall require inspection at the source of production.

City’s qualified inspection agency approved by the Engineer shall witness all welding, lining, coating, and testing. You shall incur additional inspection costs outlined in 4- 3.3, “Inspection of Items Not Locally Produced”.

All parts of production (including but not limited to product fabrication, welding, testing, lining, and coating of straight pieces and specials) shall be performed or produced in the United States.

Welding and all testing shall be performed by certified welders and testing staff with credentials traceable in the United States.

ADD: 4-3.4 Special Inspection.

Certain elements of the Work may be subject to special inspection required by applicable building codes, and a building permit issued to the Engineer prior to construction (or to be issued to the Contractor) by the City’s Building Official (hereinafter “BO”). It is the Contractor’s responsibility to determine if applicable bui lding permits have been previously issued by t he Building Official for construction of any structural elements to be incorporated into the Work.

Unless otherwise indicated, the Contractor shall contact the City’s Building Official prior to starting the Work to identify any requirements in obtaining building permits that may be required for the Work.

Special inspection and testing shall be provided by the City.

Special Inspectors provided by the City will be certified by the BO to perform the functions o f a Special Inspector, and the Contractor shall comply with all direction given by a Special Inspector as if given by the BO. The Contractor shall accommodate the Special Inspectors acting on behalf of the BO as follows:

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i. Observe Work: The Special Inspector shall observe the Work for conformance with the BO’s approved design Drawings and Specifications. Shop Drawings, Working Drawings, or both may be used only as an aid to inspection. Special Inspections are to be performed on a continuous basis, meaning that the Special Inspector is on site at all times observing the Work requiring Special Inspection.

ii. Periodic inspections, if any, shall have prior approval by the BO based on a separate written plan prepared by the Contractor and reviewed and approved by the BO and the Engineer.

iii. The Special Inspector shall bring nonconforming items to the immediate attention of the Contractor and note all such items in the daily report. If any item is not resolved in a timely manner or is about to be incorporated in the Work the Special Inspector will immediately notify the BO, notify the Engineer, and post a discrepancy notice.

iv. Furnish Daily Reports: Special Inspectors will complete and sign both the Special Inspection record and the daily report for m for each daily inspection to remain at the S ite with the Contractor for review by the Engineer and BO.
v. The Special Inspector or inspection agency shall furnish weekly reports of tests and inspections directly to the Engineer, BO and others as designated on the plans, permits or herein. These reports shall include the following:

1. Description of daily inspections and tests made with applicable locations;

2. Listing of all nonconforming items;

3. Report on how nonconforming items were resolved or unresolved as applicable;

4. Itemized changes authorized by the Engineer and BO if not included in nonconformance items.

vi. The Special Inspector will submit a final signed report to the Engineer and BO stating that Work requiring Special Inspection and testing were inspected, tested and reported, and to the best of Special Inspector’s knowledge, is in conformance with the approved drawings and Contract Documents, approved revisions and the applicable workmanship provisions of the building codes whichever is in effect on the permitted Plans. Items not in conformance, unresolved items or any discrepancies in inspection coverage (i.e., missed inspections, periodic inspections when continuous was required, etc.) will be specifically itemized in this report. Final inspection of the structure will not be scheduled until the final report for all Work items requiring Special Inspection have been reviewed and approved by the Engineer and BO.

The Contractor shall be responsible for the following coordination of Special Inspections provided by the City’s Special Inspectors:

i. The Contractor shall notify the Special Inspector prior to performing any item of Work that requires Special Inspection and shall review the Contract Documents and perform any necessary preparatory Work at the Site.

ii. The Contractor is responsible for providing the Special Inspector access to approved Drawings and Specifications at the Project’s Site.

iii. The Contractor shall be responsible for retaining at the Site all Special Inspect ion records submitted by the Special Inspector and providing these records for review by the Engineer upon request.

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iv. The Contractor shall not perform any items of Work that requires Special Inspection without the presence of the Special Inspector during the performance of that Work. Work requiring continuous inspection performed without Special Inspection shall be subject to removal.

v. Upon completion of task requiring Special Inspection, the Contractor shall submit to the Engineer all Special Inspection reports that certify that the Work requiri ng Special Inspection has been completed in accordance with the Contract Documents and the applicable building codes and approved by the BO.

ADD: 4-3.5 Quality Assurance.

The City uses a Quality Assurance Program (QAP) to ensure a material is produced to comply with the Contract. The City may examine the records and reports of tests the prime contractor performs if they are available at the job site.

The Contractor shall schedule work to allow time for QAP.

4-6 TRADE NAMES. DELETE in its entirety and SUBSTITUTE the following:

In accordance with California Public Contract Code § 3400(b), and as specified herein this Section 4-6, the Contractor shall submit its list of proposed substitutions for “an equal” ( “or equal”) item within 20 days after award of the contract.

If an offered substitution by the Contractor for the trade names specified in the Contract necessitates changes to, or coordination with, other items of the Work, the information submitted shall include details showing such changes. The Contractor shall perform these changes as part of the substitution of material or equipment and at no additional cost to the City. The lack of action on the Engineer’s side by taking no exceptions to the proposed substitution shall not relieve the Contractor from responsibility for the efficiency, sufficiency, quality, and performance of the substitute material or equipment, in the same manner and degree as the material and equipment specified by name.

Whenever materials or equipment are indicated in the Contract Documents by using the name of a proprietary item or the name of a particular Supplier, the naming of the item is intended to establish the type, function, and quality required. Unless stated otherwise, materials or equipment of other Suppliers may be accepted if sufficient information is submitted to the Engineer for review to determine whether the material or equipment proposed is equivalent or equal to that named.

Request for approvals of “or equal” items prior to Bid Opening will not be considered. Bidders are responsible to ensure their Bid includes the price required for the item as specified, and assumes all risk in including a price for an “or equal” item that is not approved by the Engineer, and any additional cost associated with furnishing and installing the item as specified in the specifications or plans.

The Contractor may bring forward a substitution proposal for an “or equal” item provided the request and supporting documentation is subm itted within 20 days of contract award. The following information shall be included with any substitution request:

a. Whether or not acceptance of the substitute for use in the Work will require a change in any of the Contract Documents to adopt the design to the proposed substitute.

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b. Whether or not incorporation or use of the substitute in connection with the Work is subject to payment of any license fee or royalty.

c. All variations of the proposed substitute from the items originally specified will be identified.

d. Available maintenance, repair, and replacement service requirements. The manufacturer must have a local service agency within 50 miles of the site which maintains properly trained personnel and adequate spare parts and is able to respond and complete repairs within 24 hours.

e. Certification that the proposed substitute will perform adequately the functions and achieve the results called for by the general design, and be similar and of equal substance to that indicated, and be suited to the same use as that specified.

There is no guaranteed time frame for the Engineer’s review of the substitution requests.

The Contractor is responsible to demonstrate that the type, function, and quality of any such substitute product, material or equipment is equivalent to the specified item. The Engineer shall require at the Contractor’s expense additional data about the proposed substitution he deems necessary.

If the Engineer takes no exceptions to the proposed substitution, it will not relieve the Contractor from responsibility for the efficiency, sufficiency, quality, and performance of the substitute material or equipment, in the same manner and degree as the material and equipment specified by name.

The lack of any action by the Engineer does not constitute acceptance of the substitution; all approved “or equal” substitutions must be approved in writing by the Engineer.

Acceptance by the Engineer of a substitute item does not relieve you of the responsibility for full compliance with the Contract Documents.

The Bid submittal must be based on the material and equipment specified by name in the Contract.

If the proposal is rejected by the Engineer, you will not be entitled to either an extension in Contract Time, and/or an increase in the Contract Price.

As applicable, no Shop Drawing or Working Drawing submittals will be made for a substitute item nor will any substitute item be ordered, installed, or utilized without the Engineer ’s prior written approval.

You must reimburse the City for the charges of th e Engineer for evaluating each proposed substitution.

ADD: 4-9 PLACING ORDERS.

The Contractor shall place the orders for all long lead -time supplies, materials and equipment within 3 working days after receipt of the fully executed contract from the Ci ty of Palm Springs. If an item requires pre-approval by the Engineer pursuant to a Submittal, the Contractor shall place the order within 3 working days of the Engineer’s approval. The Contractor shall furnish the Engineer with a statement from the vendor s that the orders for said supplies, materials, and equipment has been received and accepted by said vendors within 15 working days from the date of execution of Contract.

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- END OF SECTION -
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SECTION 5– LEGAL RELATIONS AND RESPONSIBILITIES

5-1 LAWS AND REGULATIONS. ADD the following:

The Contractor shall give the notices required by law and comply with all laws, ordinances, rules and regulations pertaining to the conduct of the Work. The Contractor shall be liable for violations of the law in connection with Work provided by the Contractor.

If th e Contractor observes that the Plans, Specifications, or other portions of the Contract Documents are at variance with any laws, ordinances, rules or regulations, he shall promptly notify the Engineer in writing of such variance. The City will promptly review the matter and, if necessary, shall issue a Change Order or take any other action necessary to bring about compliance with the law, ordinance, rule or regulation in questions. The Contractor agrees not to perform work known to be contrary to any laws, ordinances, rules or regulations.

ADD: 5-1.1 Environmental & Safety Laws. Following is not an exhaustive list of the laws to be complied with by the Contractor. It is a partial list of some specific laws that the Contractor shall be aware of and comply with. They are added here for convenience as follows:

a) Environmental Protection Agency regulations (40 CFR, Part 15).

b) Clean Air Act of 1970, e.g., §306 (42 U.S.C. 7606), Executive Order 11738, prohibiting contracting with Clean Air Act violato rs; and §§608 and 609 (42 U.S.C. 7671g, 7671h) as amended November 15, 1990, prohibiting the intentional release of chlorofluorocarbons into the environment when performing Work.

c) Clean Water Grant Program Bulletin 76A which augments the National Historic Preservation Act of 1966 (16 U.S.C. 470) as specified under §[01560], “Temporary Environmental Controls” of the General Requirements.

d) CAL OSHA 5189 “Process Safety Management,” CAL OSHA 3220 “Emergency Action Plan,” Federal OSHA 29, CFR 1910, facilities Process Safety Management (PSM) manual, and the City’s Risk Management Plan.

e) California Title 8, §5208 and §1529, and Title 40 CFR Part 61.

f) Flood Disaster Protection Act of 1973 (42 USC 4001 et seq, as amended).

g) Senate Bill 198 and specifically shall have a written Injury Prevention Program on file with the City in accordance with all applicable standards, orders, or requirements of California Labor Code, §6401.7. This Program shall be submitted to the Engineer at the preconstructi on meeting.

h) State Energy Conservation Plan issued in compliance with the Energy Policy and Conservation Act (P.L. 94-163) as set forth in Division 15 of the Public Resources Code of the State.

i) Clean Water Act (CWA) - The Federal Water Pollution Control Act Quality Act enacted in 1972 by Public Law 92-500 and amended by the Water Quality Act of 1987. The Clean Water Act prohibits the discharge of pollutants to Waters of the United States unless said discharge is in accordance with an NPDES permit. The 1987 amendments include guidelines for regulating municipal, industrial, and construction storm water discharges under the NPDES program.

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j) Endangered Species Act of 1973 (ESA; 7 U.S.C. §136, 16 U.S.C. §1531 et seq).

ADD: 5-1.2 CALIFORNIA CODE OF REGULATIONS TITLE 24 AND AMERICANS WITH

DISABILITIES ACT

The Contractor shall comply with all portions of the ADA and Title 24. For specific services and public accommodations, you may contact:

The U.S. Department of Justice
950 Pennsylvania Avenue,
NW Civil Rights Division, Disability Rights Section
NYA Washington, D.C. 20530
800-514-0301 (Voice), 800-514-0383 (Teletypewriter).

The Contractor shall acknowledge and agree that it is aware of and shall comply with the federally- mandated ADA.

The Contractor and its Subcontractors are responsible for administering their own ADA and Title 24 program in your Work area. The Contractor shall ensure that these ADA requirements are included in the subcontracts.

The Contractor shall pay all claims, costs, losses, and damages incurred by the City in undertaking remedial action to correct your violations of ADA or Title 24. The City shall be entitled to an appropriate decrease in the Contract Price, and, if the Parties are unable to agree as to the amount thereof, the City may unilaterally issue the Change Order.

The Contractor shall certify to the City that you shall comply with the ADA by adhering to all of the provisions of the ADA listed.

The Contractor shall not discriminate against qualified persons with disabilities in any aspects of employment including recruitment, hiring, promotions, conditions and privileges of employment, training, compensation, benefits, discipline, layoffs, and termination of employment.

No qualified individual with a disability may be excluded on the basis of disability, from participation in, or be denied the benefits of services, programs, or activities by you or your Subcontractors providing services for the City.

The Contractor shall post a statement addressing the requirements of the ADA in a prominent place at the Work Site.

The Contractor shall require in each subcontract that your Subcontractor shall abide by these provisions.

Questions about the City’s ADA Policy should be referred to the City’s ADA Coordinator.

ADD: 5-1.3 Drug-Free Workplace.

The Contract is subject to a Drug-Free Workplace Policy and applies equally to the Contractor and its Subcontractors. The elements of the policy are outlined below.

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Definitions:

A. “Drug-free Workplace” means a site for the performance of Work done in connection with a contract with the City for the construction, maintenance, or repair of any facility or public work by an entity at which employees of the entity are prohibited from engaging in the unlawful manufacture, distribution, dispensation, possession, or use of a controlled substance in accordance with the requirements of this section.

B. “Employee” means your employee.

C. “Controlled substance” means a controlled substance in schedules I through V of Section 202 of the Controlled Substances Act (21 U.S.C. Sec. 812).

D. “Contractor” means You.

Prior to Award, you shall certify to the City that you shall provide a Drug-free Workplace by doing all of the following:

1. Publishing a statement notifying employees that the unlawful manufacture, distribution, dispensation, possession, or use of a controlled substance is prohibited in the person's organization's workplace and specifying the actions that shall be taken against employees for violations of the prohibition.

2. Establishing a drug- free awareness program to inform employees about all of the following:
i. The dangers of drug abuse in the workplace.
ii. The person's or organization's policy of maintaining a Drugfree Workplace. iii. Any available drug counseling, rehabilitation, and employee assistance programs. iv. The penalties that may be imposed upon employees for drug abuse violations.

3. Posting the statement required by subsection “a” in a prominent place at your main office. For projects large enough to necessitate a construction trailer at the Site, the required signage would also be posted at the Site.

A.

4. The Contractor shall require in each Subcontract that its Subcontractor shall abide by these provisions. The Contractor and its Subcontractors are individually responsible for its own Drug-free Workplace programs.

5. The requirements of a drug- free awareness program can be satisfied by periodic tailgate sessions covering the various aspects of drug abuse education. Although an in-house employee assistance program is not required, you should be able to provide a listing of drug rehabilitation and counseling programs available in the community at large.

ADD: 5-1.4 Non-Discrimination. The Contractor shall comply with all applicable federal, state and local laws; ordinances, rules, statutes, orders, regulations, or other legal requirements of California; the California Fair Employment and Housing Act; those Laws prohibiting discrimination, on account of race, religion, color, sex, age, marital status, ancestry, national origin, sexual orientati on, Item 1E - Page 83
gender identity, physical or mental disability, or medical condition, e.g.,: zoning, environmental, building, fire and safety codes and coverage, density and density ratios and lien laws existing as of the date of the execution of this contract. The Contractor shall certify to compliance with non - discrimination regulations and submit with its Bid the required certification form, stating the following:

In connection with its performance under this Agreement, Contractor shall not discriminate against any employee or applicant for employment because of actual or perceived race, religion, color, sex, age, marital status, ancestry, national origin ( i.e., place of origin, immigration status, cultural or linguistic characteristics, or ethnicity), sexual orientation, gender identity, gender expression, physical or mental disability, or medical condition (each a “prohibited basis”).

Contractor shall ensure that applicants are employed, and that employees are treated during their employment, without regard to any prohibited basis. As a condition precedent to City’s lawful capacity to enter an agreement with Contractor, and in executing this Agreement, Contractor certifies that its actions and omissions hereunder shall not incorporate any discrimination arising from or related to any prohibited basis in any Contractor activity, including but not limited to the following: employment, upgrading, demotion or transfer; recruitment or recruitment advertising; layoff or termination; rates of pay or other forms of compensation; and selection for training, including apprenticeship; and further, that Contractor is in full compliance with the provisions of Palm Springs Municipal Code Section 7.09.040, including without limitation the provision of benefits, relating to non-discrimination in city contracting.

The Contractor shall:

1. Establish or observe employment policies, which affirmatively promote opportunities for minority persons at all job levels.

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

3. Take affirmative steps to hire minority employees within the company.

5-3.3 Payroll Records. DELETE in its entirety and SUBSTITUTE with the following:

The Contractor is required to submit all certified payroll records (“CPRs”) directly to the California Department of Industrial Relations (“DIR”) in accordance with DIR regulations. CPRs shall be in electronic format meeting DIR approval, and submitted directly on-line at:

https://www.dir.ca.gov/Public-Works/Certified-Payroll-Reporting.html?

Additionally, on a weekly basis the Contractor shall submit a printed copy of the CPRs directly to Engineer reflecting the wages of all the Contractor and Subcontractor employees engaged in the Work. Printed CPRs shall be legible and in a format required by the Engineer.

5-4 INSURANCE. DELETE in its entirety and SUBSTITUTE with the following:

The insurance provisions herein shall not be construed to limit the Contractor's indemnity obligations contained in this contract.

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5-4.1 Policies and Procedures. The Contractor shall procure the insurance described below, at its sole cost and expense, to provide coverage against claims for loss including injuries to persons or damage to property, which may arise out of or in connection with the performance of the Work by the Contractor, the Contractor's agents, representatives, officers, employees or subcontractors.

At a minimum, on all contracts, Commercial General Liability, Commercial Automobile Liability, and Worker’s Compensation insurance shall be provided. Depending upon the type of construction , nature and location of the Work, the Engineer reserves the right to require the additional policies of insurance related to:

Contractors Pollution Liability Insurance
Contractors Hazardous Transporters Pollution Liability Insurance Builders Risk
Architects and Engineers Professional Insurance (Errors and Omissions Insurance)

If the Contractor determines these insurance policies are not applicable to the Work, the Contractor shall request the Engineer’s waiver of a requirement to submit these insurance policies within 5 working days receipt of City’s Notice of Award. All required insurance policies must be returned with the Contractor’s executed Agreement.

The Contractor shall maintain this insurance for the duration of this contract and at all times thereafter when the Contractor is correcting, removing, or replacing Work in accordance with this contract. The Contractor’s liabilities under this contract, e.g., the Contractor’s indemnity obligations, shall not be deemed limited to the insurance coverage required by this contract.

Payment for insurance shall be included in the various items of Work as bid by the Contractor, and except as specifically agreed to by the City in writing, the Contractor shall not be entitled to any additional payment. The Contractor shall not begin any work under this contract until it has provided and the City has approved all required insurance. Policies of insurance shall provide that the City is entitled to 30 days (ten days for cancellation due to non -payment of premium) prior written notice of cancellation or non -renewal of the policy. Maintenance of specified insurance coverage is a material element of this contract and the Contractor’s failure to maintain or renew coverage or to provide evidence of renewal during the term of this contract may be treated by the City as a material breach of contract.

5-4.2 Types of Insurance.

5-4.2.1 Commercial General Liability Insurance. Commercial General Liability Insurance written on the current version of the ISO Occurrence form CG 0001 or an equivalent form providing coverage at least as broad. The policy shall cover liability arising from premises and operations, XCU (explosions, underground, and collapse), independent contractors, products/completed operations, personal inju ry and advertising injury, bodily injury, property damage, and liability assumed under an insured’s contract (including the tort liability of another assumed in a business contract).There shall be no endorsement or modification limiting the scope of coverage for either “insured vs. insured” claims or contractual liability. All costs of defense shall be outside the policy limits. Policy coverage shall be in liability limits of not less than the following:

(a) $1,000,000 for each occurrence (combined single limit for bodily injury and property damage) (b) $2,000,000 aggregate for products-completed operations. (c) $1,000,000 umbrella or excess liability.

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(d) Umbrella or excess policy shall follow form over the Contractor’s General Liability coverage and shall provide a separate aggregate limit for products and completed operations coverage. The umbrella or excess policy shall contain a clause stating that it takes effect (drops down) in the event the primary limits are impaired or exhausted.

5-4.2.2 Commercial Automobile Liability Insurance. The Contractor shall provide a policy or policies of Commercial Automobile Liability Insurance written on the current version of the ISO form CA 00 01 12 90 or later version or equivalent form providing coverage providing coverage at least as broad in the amount of $1,000,000 combined single limit per accident, covering bodily injury and property damage for owned, non-owned and hired automobiles (“Any Auto”). All costs of defense shall be outside the limits of the policy.

5-4.2.3 Commercial Pollution Liability Insurance. The Contractor shall procure and maintain at its expense require its subcontractor, as described below to procure and maintain, the Contractors Pollution Liability Insurance including contractual liability coverage to cover liability arising out of cleanup, removal, storage, or handling of hazardous or toxic chemicals, materials, substances, or any other pollutants by the Contractor or any Subcontractor in an amount not less than $2,000,000 limit for bodily injury and property damage. All costs of defense shall be outside the limits of the policy. Any such insurance provided by a subcontractor instead of the Contractor shall be approved separately in writing by the City. Approval of a substitution of a s ubcontractor’s insurance shall require a certification by the Contractor that all activities for which the Contractors Pollution Liability Insurance will provide coverage will be performed exclusively by the Subcontractor providing the insurance. The deductible shall not exceed $25,000 per claim.

Contractual liability shall include coverage of tort liability of another party to pay for bodily injury or property damage to a third person or organization. There shall be no endorsement or modification of the coverage limiting the scope of coverage for either “insured vs. insured” claims or contractual liability. Occurrence based policies shall be procured before the Work commences and shall be maintained for the duration of this contract. Claims Made policies shall be procured before the Work commences, shall be maintained for the duration of this contract, and shall include a 12 month extended Claims Discovery Period applicable to this contract or the existing poli cy or policies shall continue to be maintained for 12 months after the completion of the Work under the Contract without advancing the retroactive date. Except as provided for under California law, the policy or policies shall provide that the City is entitled to 30 days prior written notice (10 days for cancellation due to non- payment of premium) of cancellation or non -renewal of the policy or policies.

5-4.2.4 Contractors Hazardous Transporters Pollution Liability Insurance. The Contractor shall provide at its expense or require its subcontractor to provide, as described below Contractors Hazardous Transporters Pollution Liability Insurance including contractual liability coverage to cover liability arising out of transportation of hazardous or toxic, materials, substances, or any other pollutants by the Contractor or any subcontractor in an amount not less than $2,000,000 limit per occurrence/aggregate for bodily injury and property damage. All costs of defense shall be outside the limits of the policy. The deductible shall not exceed $25,000 per c laim. Any such insurance provided by a subcontractor instead of the Contractor shall be approved separately in writing by the City. Approval of the substitution of a subcontractor’s insurance shall require a certification by the Contractor that all activit ies for which Contractors Hazardous Transporters Pollution Liability Insurance will provide coverage will be performed exclusively by the Subcontractor providing the insurance.

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Contractual liability shall include coverage of tort liability of another party to pay for bodily injury or property damage to a third person or organization. There shall be no endorsement or modification of the coverage limiting the scope of coverage for either “insured vs. insured” claims or contractual liability. Occurrence based policies shall be procured before the Work commences and shall be maintained for the duration of this contract. Claims Made policies shall be procured before the Work commences, shall be maintained for the duration of this contract, and shall include a 12 month extended Claims Discovery Period applicable to this contract or the existing policy or policies shall continue to be maintained for 12 months after the completion of the Work under this contract without advancing the retroactive date. Except as provided for under California law, the policy or policies shall provide that the City is entitled to 30 days prior written notice (10 days for cancellation due to non- payment of premium) of cancellation or non -renewal of the policy or policies.

5-4.2.5 Contractors Builders Risk Property Insurance. The Contractor shall provide at its expense, and maintain until Final Completion and Acceptance of the Work, a Special Form Builders Risk Policy or Policies. This ins urance shall be in an amount equal to the repl acement cost of the completed Work (without deduction for depreciation) including the cost of excavations, grading, and filling. The policy or policies limits shall be 100% of this contract value of the Work plus 15% to cover administrative costs, design costs, and the costs of inspections and construction management.

Insured property shall include material or portions of the Work located away from the Site but intended for use at the Site, and shall cover material or portions of the Work in transit.

The policy or policies shall include as insured property scaffolding, falsework, and temporary buildings located at the Site. The policy or policies shall cover the cost of removing debris, including demolition.

The policy or policies shall provide that all proceeds thereunder shall be payable to the City as Trustee for the insureds, and shall name the City, the Contractor, Subcontractors, and suppliers of all tiers as named insureds. The City as Trustee shall collect, adjust, and receive all monies which may become due and payable under the policy or policies, may compromise any and all claims thereunder, and shall apply the proceeds of such insurance to the repair, reconstruction, or replacement of the Work.

Any deductible applicable to the insurance shall be identified in the policy or policies documents and responsibility for paying the part of any loss not covered because of the application of such deductibles shall be apportioned among the parties except for the City as follows: if there is more than one claimant for a single occurrence, then each claimant shall pay a pro-rata share of the per occurrence deductible based upon the percentage of their paid claim to the total paid for all insureds. The City shall be entitled to 100% of its loss. Any porti on of that loss not covered because of a deductible shall be paid to the City by the Contractor at the same time the proceeds of the insurance are paid to the City as trustee.

Any insured, other than the City, making claim to which a deductible applies shall be responsible for 100% of the loss not insured because of the deductible. Except as provided for under California law, the policy or policies shall provide that the City is entitled to 30 days prior writt en notice (10 days for cancellation due to non-payment of premium) of cancellation or non-renewal of the policy or policies.

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5-4.2.6 Railroad Protective Liability Insurance. Railroad protective liability insurance shall be required for any work located on or within 200 feet of an existing railroad right-of-way, unless otherwise specifically waived by the Engineer. Exclusions relating to performance of operations within the vicinity of any railroad, bridge, trestle, roadbed, tunnel, underpass, or cross s hall be deleted from all policies to which they may apply. Alternatively, the Contractor may provide separate Railroad Protective Liability insurance providing coverage, including endorsements, equivalent to that required for the CGL described herein.

5-4.3 Rating Requirements. Except for the State Compensation Insurance Fund, all insurance required by this contract as described herein shall be carried only by responsible insurance companies with a rating of, or equivalent to, at least “B++, VII” by A.M. Best Company, that are authorized by the California Insurance Commissioner to do business in the State, and that have been approved by the City.

5-4.3.1 Non-Admitted Carriers. The City will accept insurance provided by non-admitted, “surplus lines” carriers only if the carrier is authorized to do business in the State and is included on the List of Eligible Surplus Lines Insurers (LESLI list).

All policies of insurance carried by non-admitted carriers shall be subject to all of the requirements for policies of insurance provided by admitted carriers described herein.

5-4.4 Verification of Coverage. Contractor shall furnish City with both certificates of insurance and endorsements, including additional insured endorsements, affecting all of the coverages required by the contract. The certificates and endorsements are to be signed by a person authorized by that insurer to bind coverage on its behalf. All proof of insurance is to be received and approved by the City before work commences. City reserves the right to require Contractor’s insurers t o provide complete, certified copies of all required insurance policies at any time.

Additional insured endorsements are not required for Errors and Omissions and Workers’ Compensation policies.

Verification of Insurance coverage may be provided by: (1) an approved General and/or Auto Liability Endorsement Form for the City of Palm Springs or (2) an acceptable Certificate of Liability Insurance Coverage with an approved Additional Insured Endorsement with the following endorsements stated on the certificate:

1. “ The City of Palm Springs, its officials, employees, and agents are named as an additional insured…” (“as respects City of Palm Springs City Project No.___” or “for any and all work performed with the City” may be included in this statement).

2. “This insurance is primary and non-contributory over any insurance or self-insurance the City may have...” (“as respects City of Palm Springs City Project No.___” or “for any and all work performed with the City” may be included in this statement).

3. “Should any of the above described policies be canceled before the expiration date thereof, the issuing company will mail 30 days written notice to the Certificate Holder named.” Language such as, “endeavor to” mail and “but failure to mail such notice shall impose no obligation or liability of any kind upon the company, its agents or representative” is not acceptable and must be crossed out.

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4. Both the Workers’ Compensation and Employers' Liability policies shall contain the insurer's waiver of subrogation in favor of City, its elected officials, officers, employees, agents, and volunteers.

In addition to the endorsements listed above, the City of Palm Springs shall be named the certificate holder on the policies. All certificates of insurance and endorsements are to be received and approved by the City before work commences. All certificates of insurance must be authorized by a person with authority to bind coverage, whether that is the authorized agent/broke r or insurance underwriter. Failure to obtain the required documents prior to the commencement of work shall not waive the Contractor’s obligation to provide them.

5-4.5 Other Insurance Requirements. The following provisions shall apply to the insurance policies required of Contractor under the contract:

a) For any claims related to the contract, Contractor’s coverage shall be primary insurance with respect to the City and its officers, council members, officials, employees, agents, and volunteers. Any insurance or self -insurance maintained by the City and its officers, council members, officials, employees, agents, and volunteers shall be in excess of Contractor’s insurance and shall not contribute to it.

b) Any failure to comply with reporting or other provisions of the policies, including breaches of warranties, shall not affect coverage provided to City and its officers, council members, officials, employees, agents, and volunteers.

c) All insurance coverage and limits provided by Contractor and available or applicable to the contract are intended to apply to each insured, including additional insureds, against whom a claim is made or suit is brought to the full extent of the policies. Nothing contained in the contract or any other agreement relating to the City or its operations shall limit the application of such insurance coverage.

d) No required insurance coverages may include any limiting endorsement which substantially impairs the coverages set forth in the contract (e.g., elimination of contractual liability or reduction of discovery period), unless the endorsement has first been submitted to the Engineer and approved in writing.

e) Contractor agrees to require its insurer to modify insurance endorsements to delete any exculpatory wording stating that failure of the insurer to mail written notice of cancellation imposes no obligation, or that any party will "endeavor" (as opposed to being required) to comply with the requirements of the endorsements. Certificates of insurance will not be accepted in lieu of required endorsements, and submittal of certificates without required endorsements may delay commencement of the Work. It is Contractor’s obligation to ensure timely compliance with all insurance submittal requirements as provided in the contract.

f) Contractor agrees to ensu re that subcontractors, and any other parties involved with the Project who are brought onto or involved in the Project by Contractor, provide the same minimum insurance coverage 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 subcontractors and others engaged in the Project will be submitted to the City for review.

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g) Contractor acknowledges and agrees that any actual or alleged failure on the part of the City to inform Contractor of non-compliance with any insurance requirement in no way imposes any additional obligations on the City nor does it waive any rights in this or any other regard.

h) Contractor shall provide proof that policies of insurance required in the contract, expiring during the term of the contract, have been renewed or replaced with other policies providing at least the same coverage. Proof that such coverage has been ordered shall be submitted prior to expiration. Endorsements as required in the contract applicable to the renewing or new coverage shall be provided to City no later than ten (10) days prior to expiration of the lapsing coverage.

i) Requirements of specific insurance coverage features or limits contained in this section are not intended as limitations on coverage, limits, or other requirements, or as a wai ver of any coverage normally provided by any given policy. 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 limiting or all-inclusive.

j) The requirements in this section supersede all other sections and provisions of the contract to the extent that any other section or provision conflicts with or impair the provisions of this section.

k) Contractor agrees to provide immediate notice to City of any claim or loss against Contractor arising out of the Work performed under the contract and for any other claim or loss which may reduce the insurance available to pay claims arising out of the contract. City assumes no obligation or liability by such notice, but has the right (but not the duty) to monitor the handling of any such claim or claims if they are likely to involve City, or to reduce or dilute insurance available for payment of potential claims.

l) Contractor agrees that the provisions of this section shall not be construed as limiting in any way the extent to which the Contractor may be held responsible for the payment of damages resulting from the Contractor’s activities or the activities of any person or person for which the Contractor is otherwise responsible.

5-4.6 Policy Endorsements.

5-4.6.1 Commercial General Liability Insurance

Additional Insured. To the fullest extent allowed by law e.g., California Insurance Code § 11580.04, the policy shall be endorsed to include the City and its respective elected officials, officers, employees, agents, and representatives as additional insureds. The additional insured coverage for Projects for which the Engineer’s Estimate is $1,000,000 or more shall include liability arising out of: (a) Ongoing operations performed by the Contractor or on the Contractor’s behalf, (b) Your products, (c) Your work, e.g., the Contractor’s completed operations performed by the Contractor or on the Contractor’s behalf, or (d) premises owned, leased, controlled, or used by the Contractor; the coverage for Projects for which the Engineer’s Estimate is less than $1,000,000 shall include liability arising out of: (a) Ongoing operations performed by the Contractor or on the Contractor’s behalf, (b) Your products, or (c) premises owned, leased, controlled, or used by the Contractor.

Primary and Non -Contributory Coverage. The policy shall be endorsed to provide that the coverage with respect to operations, including the completed operations, if appropriate, of the Item 1E - Page 90
Named Insured is primary to any insurance or self-insurance of the City and its elected officials, officers, employees, agents and representatives. Further, it shall provide that any insurance maintained by the City and its elected officials, officers, employees, agents and representatives shall be in excess of the Contractor's insurance and shall not contribute to it.

Project General Aggregate Limit. The policy or policies shall be endorsed to provide a Designated Construction Project General Aggregate Limit that will apply only to the Work. Onl y claims payments which arise from the Work shall reduce the Designated Construction Project General Aggregate Limit. The Designated Construction Project General Aggregate Limit shall be in addition to the aggregate limit provided for the products-completed operations hazard.

5-4.6.2 Commercial Automobile Liability Insurance.

Additional Insured. Unless the policy or policies of Commercial Auto Liability Insurance are written on an ISO form CA 00 01 12 90 or a later version of this form or equivalent form providing coverage at least as broad, the policy shall be endorsed to include the City and its respective elected officials, officers, employees, agents, and representatives as additional insureds, with respect to liability arising out of automobiles owned, leased, hired or borrowed by or on behalf of the Contractor. This endorsement is limited to the obligations permitted by California Insurance Code § 11580.04.

5-4.6.3 Contractors Pollution Liability Insurance Endorsements.

Additional Insured. The policy or policies shall be endorsed to include as an Insured the City and its respective elected officials, officers, employees, agents, and representatives, with respect to liability arising out of: (a) Ongoing operations performed by the Contractor or on the Contractor’s behalf, (b) the Contractor’s products, (c) the Contractor’s work, e.g., the Contractor’s completed operations performed by the Contractor or on the Contractor’s behalf, or (d) premises owned, leased, controlled, or used by the Contractor; Except that in connection with, collateral to, or affecting any construction contract to which the provisions of subdivision (b) of Section 2782 of the California Civil Code apply, this endorsement shall not provide any duty of indemnity coverage for the active negligence of the City and its respective elected officials, officers, employees, agents, and representatives in any case where an agreement to indemnify the City and its respective elected officials, officers, employees, agents, and representatives would be invalid under subdivision (b) of § 2782 of the California Civil Code.

In any case where a claim or loss encompasses the negligence of the Insured and the active negligence of the City and its respective elected officials, officers, employees, agents, and representatives that is not covered because of California Insurance Code §11580.04, the insurer's obligation to the City and its respective elected officials, officers, employees, agents, and representatives shall be limited to obligations permitted by California Insurance Code §11580.04.

Primary and Non-Contributory Coverage. The policy or policies shall be endorsed to provide that the insurance afforded by the Contractors Pollution Liability Insurance policy or policies is primary to any insurance or self-insurance of the City and its elected officials, officers, employees, agents and representatives with respect to operations including the completed operations of the Named Insured. Any insurance maintained by the City and its elected officials, officers, employees, agents and representatives shall be in excess of the Contractor's insurance and shall not contribute to it.

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Severability of Interest. For Contractors Pollution Liability Insurance, the policy or policies shall provide that the Contractor's insurance shall apply separately to each insured against whom claim is made or suit is brought, except with respect to the limits of the insurer's liability and shall provide cross-liability coverage.

5-4.6.4 Contractors Hazardous Transporters Pollution Liability Insurance Endorsements.

Additional Insured. The policy or policies shall be endorsed to include as an Insured the City and its respective elected officials, officers, employees, agents, and representatives, with respect to liability arising out of: (a) Ongoing operations performed by the Contractor or on the Contractor’s behalf, (b) the Contractor’s products, (c) the Contractor’s work, e.g., the Contractor’s completed operations performed by the Contractor or on the Contractor’s beh alf, or (d) premises owned, leased, controlled, or used by the Contractor; Except that in connection with, collateral to, or affecting any construction contract to which the provisions of subdivision (b) of §2782 of the California Civil Code apply, this endorsement shall not provide any duty of indemnity coverage for the active negligence of the City and its respective elected officials, officers, employees, agents, and representatives in any case where an agreement to indemnify the City and its respective elected officials, officers, employees, agents, and representatives would be invalid under subdivision (b) of §2782 of the California Civil Code.

In any case where a claim or loss encompasses the negligence o f the Insured and the active negligence of the City and its respective elected officials, officers, employees, agents, and representatives that is not covered because of California Insurance Code §11580.04, the insurer's obligation to the City and its respective elected officials, officers, employees, agents, and representatives shall be limited to obligations permitted by California Insurance Code §11580.04.

Primary and Non-Contributory Coverage. The policy or policies shall be endorsed to provide that the insurance afforded by the Contractors Poll ution Liability Insurance policy or policies is primary to any insurance or self-insurance of the City and its elected officials, officers, employees, agents and representatives with respect to operations including the completed operations of the Named Insured. Any insurance maintained by the City and its elected officials, officers, employees, agents and representatives shall be in excess of the Contractor's insurance and shall not contribute to it.

Severability of Interest. For Contractors Hazardous Transporters Pollution Liability Insurance, the policy or policies shall provide that the Contractor's insurance shall apply separately to each insured against whom claim is made or suit is brought, except with r espect to the limits of the insurer's liability and shall provide cross-liability coverage.

5-4.6.5 Builders Risk Endorsements.

Waiver of Subrogation. The policy or policies shall be endorsed to provide that the insurer will waive all rights of subrogation against the City, and its respective ele cted officials, officers, employees, agents, and representatives for losses paid under the terms of the policy or policies and which arise from work performed by the Named Insured for the City.

Builders Risk – Partial Utilization. If the City desires to occupy or use a portion or portions of the Work prior to Final Completion in accordance with this contract, the City shall notify the Contractor and the Contractor shall immediately notify its Builder's Risk i nsurer and obtain an endorsement that the policy or policies shall not be cancelled or lapse on account of any such partial use or occupancy. The Contractor shall obtain the endorsement prior to the City's occupation and use.

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5-4.6 Deductibles/Self-Insured Retentions. The Contractor shall be responsible for the payment of all deductibles and self- insured retentions. Deductibles and self -insured retentions shall be disclosed to the City at the time the evidence of insurance is provided.

5-4.7 Reservation of Rights. The City reserves the right, from time to time, to review Contractor's insurance coverage, limits, deductibles and self -insured retentions to determine if they are acceptable to the City. The City will reimburse Contractor, without overhead, profit, or any other markup, for the cost of additional premium for any coverage requested by the City but not required by this contract.

5-4.8 Notice of Changes to Insurance. The Contractor shall notify the City 30 days prior to any material change to the policies of insurance provided under this contract.

5-4.9 Excess Insurance. Policies providing excess coverage shall follow the form of the primary policy or policies e.g., all endorsements.

5-4.10 Architects and Engineers Professional Insurance (Errors and Omissions Insurance) – For contracts with required engineering services (e.g., preparation of engineered Traffic Control Plans (TCP) by the Contractor) for all of the Contractor’s employees or Subcontractors who provide professional engineering services under this contract, the Contractor shall keep or shall require its Subcontractor in full force and effect, Professional Liability coverage with a limit of $1,000,000 per claim and $2,000,000 annual aggregate.

The Contractor shall ensure both that: (a) the policy retroactive date is on or before the date of commencement of the Project; and (b) the policy will be maintained in force for a period of three years after completion of the Project or termination of this contract whichever occurs last. T he Contractor agrees that for the time period defined above, there will be no changes or endorsements to the policy that affect the coverage provided herein

If professional engineering services are to be provided solely by a subcontractor, the Contractor shall (a) certify this to the City in writing and (b) agree in writing to require the Subcontractor to procure Professional Liability coverage in accordance with the requirements set forth above.

5-4.11 Workers’ Compensation Insurance and Employers Liability Insurance. In accordance with the provisions of §1860 and §3700 of the California Labor Code, the Contractor shall provide at its expense Workers’ Compensation Insurance and Employers Liability Insurance to protect the Contractor against all claims under applicable state workers compensation laws. The City, its elected officials, and employees will not be responsible for any claims in law or equity occasioned by the failure of the Contractor to comply with the requirements of this section. Limits for this insurance shall be not less than the following:

Workers’ Compensation Statutory Employers Liability
Bodily Injury by Accident $1,000,000 each accident
Bodily Injury by Disease $1,000,000 each employee
Bodily Injury by Disease $1,000,000 policy limit

By signing and returning the contract the Contractor certifies that the Contractor is aware of the provisions of §3700 of the Labor Code which require every employer to be insured against liability for worker’s compensation or to undertake self-insurance in accordance with the provisions of that Item 1E - Page 93
code and the Contractor will comply with such provisions before commencing the performance of the work of this contract as required by Section 1861 of the California Labor Code.

In addition to the Workers’ Compensation Insurance required under the General Conditions of this contract, the Contractor shall provide additional insurance coverage for claims brought under the Longshore and Harbor Workers’ Compensation Act, the Jones Act, general maritime law, and any other federal or state laws, resul ting from the Contractor’s work in, over, or alongside navigable waters.

The policy or policies shall be endorsed to provide that the insurer will waive all rights of subrogation against the City, and its respective elected officials, officers, employees, agents, and representatives for losses paid under the terms of the policy or policies and which arise from work performed by the Named Insured for the City.

5-6 PATENTS FEES AND ROYALTIES . DELETE in its en tirety and SUBSTITUTE with the following:

The Contractor shall pay, at no additional cost to the City, all applicable royalties and license fees on any and all matters arising in connection with the Work. The Contractor shall defend all suits or claims fo r infringement of patent, trademark, and copyr ights against the City and any other Indemnified Parties, and shall save the City and any other Indemnified Parties harmless from loss on account thereof for any and all matters arising in connection with the Work on the Project, such costs to be paid at n o additional cost to the City, except with respect to any particular design process or the product of a particular manufacturer or manufacturers specified and required by the City, other than pursuant to the recommendation or suggestion of the Contractor; provided however, if the Contractor has reason to believe that the design, process or product so specified is an infringement of a patent, the Contractor shall be responsible for any loss resulting unless the Contractor has provided the City with prompt written notice of the Contractor’s belief, and the City has nevertheless elected to go forward with such design, process or product so specified.

5-7.1.1 General. ADD the following:

When trenching, place your name and emergency telephone number adjacent t o the Work at intervals and locations approved by the Engineer. The method of marking shall be approved by the Engineer.

Respond and initiate corrective action in accordance with OSHA and within 24 hours of the notice of the nonconforming Work that poses an imminent threat to person or property.

ADD: 5-7.1.3 Health and Safety Plan (HSP).

The Contractor bears the ultimate responsibility for the health and safety of its employees. These specifications shall not be construed to limit the Contractor’s liability nor to assume that the City, its employees or designate, will assume any of the Contractor ’s liability associated with Site safety considerations.

The Contractor shall have a H ealth and Safety Plan (HSP) in effect prior to commencement of Work. The HSP shall meet all OSHA and other applicable requirements.

The HSP shall specifically address procedures and protocols that will be followed to monitor for the presence of hazardous atmosphere, possibilit y for engulfment, gasses due to organic soils or Item 1E - Page 94
proximity to landfills, exposure to hazardous products such as may be released when grinding, cutting, or torching galvanized or painted surfaces, contaminated soil, and groundwater, and identify response actions that will be taken when these conditions are encountered.

The HSP shall be provided to the Engineer at least one week before any construction activities begin.

The City will not assume any role in determining the adequacy of the HSP on behalf o f the Contractor.

ADD: 5-7.1.4 Reasonable Precautions. The Contractor shall take reasonable precautions for the Safety of, and shall provide reasonable protection to prevent damage, injury, or loss to:

a) Workers and other persons who may be affected thereby;

b) The Work and materials and equipment to be incorporated therein, whether in storage on or off the Site under care, custody or control of the Contractor; and

c) other property at the Site or adjacent thereto, e.g., trees, shrubs, lawns, w alks, pavements, roadways, structures and utilities not designated for removal, relocation or replacement in the course of the Construction Work.

ADD: 5 -7.1.5 Safeguards. The Contractor shall erect and maintain, as required by existing conditions and performance of the Work, reasonable safeguards for Safety and protection, including posting danger signs and other warnings against hazards, promulgating Safety regulations and notifying owners and users of adjacent sites and utilities, and shall comply fully with the requirements of State and/or Federal OSHA.

ADD: 5-7.1.6 Security. The Contractor shall furnish and install all necessary facilities to provide safe means of access to all points where Work is being performed. The Contractor shall take all precautions and measures as may be reasonably necessary to secure the Site, the Project, and the Work at all hours, including evenings, Holidays and non -work hours. Such precautions may include provision of security guards. The payment for security shall be included in the various Bid items.

ADD: 5-7.1.7 Emergencies. If an emergency arises or appears imminent which may affect the Safety of persons or property, the Contractor shall act immediately to prevent and mitigate actual or threatened damage, injury or loss. Additional costs or extensions of time claimed by the Contractor on account of an emergency not caused by the fault or neglect of the Contractor shall be determined as Extra Work.

ADD: 5-7.1.8 OSHA/Cal OSHA Citations. The Contractor shall indemnify the City against fines, reasonable attorneys’ fees, and defense costs resulting from citations issued to the City by either the federal, state, or local safety enforcement agencies due to the Contractor’s failure to abide by applicable Safety and health standards.

5-7.2.1 General. Add the following paragraph:

The Contractor shall comply fully with the requirements of §1717 of the Construction Safety Orders, State Department of Industrial Relations, regarding the design of concrete forms, falsework and shoring, and the inspection of same before the placement of concrete. Where the said §1717 Item 1E - Page 95
requires the services of a civil engineer registered in the State to approve design calculations and working drawings of the falsework or shoring system, or to inspect such system prior to placement of concrete, the Contractor shall employ a registered civil engineer for these purposes, and all costs therefore shall be included in the price named in the Contract for completion of the Work as set forth in the Contract Documents.

ADD: 5-7.7.3 Playground Safety. The Contractor shall provide a secured fence around the playground to prevent use or access. The fence shall not be removed until the independent Playground Safety Audit has been done by the Contractor and the City and the City has accepted the playground design and installation and the punchlist items have been completed.

The Contractor shall provide a certification by a National Playground Safety Institute (NPSI) certified playground inspector that the installed equipment is compliant with all applicable codes.

The payment for fencing around the playground and the playground safety audit shall be included in the other Bid items unless a Bid item has been provided.

ADD: 5-7.7.4 Payment.

The payment for security fencing Work for open excavations shall be included in the Contract Price. The payment for the fencing around the playground and the playground safety audit is included in the Contract Price.

5-7.8.1 General. ADD the following:

Protect transverse or longitudinal cuts, voids, trenches, holes, and excavations in the right-of-way that cannot be properly completed within 1 Working Day by adequately designed barricades and structural steel plates (plates) that shall support legal vehicle loads in such a way as to preserve unobstructed traffic flow.

Secure approval in advance from authorities concerning the use of any bridging proposed on the Work.

Shore the trench adequately to support the bridging and traffic loads.

Design plates for HS 20-44 truck loading in accordance with Caltrans Bridge Design Specifications Manual. Evaluate soil conditions and ensure that the plate extends enough beyond the trench walls to support traffic loads.

Make the surface of the plates skid-resistant with a nominal Coefficient of Friction (COF) of 0.35 as determined by California Test Method 342.

Plates shall provide complete coverage to prevent any person, bicycle, motorcycle , or motor vehicle from being endangered due to plate movement causing separations or gaps.

Alternative installation methods may be submitted in accordance with 3-8, “SUBMITTALS” for the Engineer’s approval.

The Contractor shall install signage and postings with a 2 inch (50.8 mm) minimum letter height indicating the steel plate cover load limit, the Company’s name, and a 24 hour emergency contact phone number. See 601-1, “GENERAL”.

Item 1E - Page 96

The Contractor shall be responsible for the maintenance of the plates, shoring, and asphalt concrete ramps or any other approved device used to secure the plates. The Contractor shall immediately mobilize necessary personnel and equipment after being notified by the Engineer, the City’s “Station 38”, or a member of the public of a repair needed for such items as plate movements, noise, anchors, and asphalt ramps. Failure to respond to the emergency request within 2 hours shall be grounds for the City to perform necessary repairs that shall be invoiced at the actual cost including overhead or $500 per incident, whichever is greater.

When plates are removed, repair any damage to the pavement with fine graded asphalt concrete mix or slurry seal satisfactory to the Engineer.

ADD: 5-8 INDEMNIFICATION AND HOLD HARMLESS AGREEMENT.

5-8.1 General. The Contractor shall defend, indemnify, and save harmless the City, including its officers, employees, and agents from any and all claims, demands, causes of action, damages, costs, expenses, actual attorneys’ fees, losses or liabilities, in law or in equity arising out of or in connection with your performance of this Contract for:

1. Bodily injury including, but not limited to, bodily injury, sickness or disease, emotional injury or death to persons, including, but not limited to, the public, any employees or agents of you, the City, or any other contractor; and

2. Damage to property of anyone including loss of use thereof; caused or alleged to be caused in whole or in part by any negligent or otherwise legally actionable act or omission of you or anyone directly or indirectly employed by you or anyone for whose acts you may be liable.

Except as otherwise provided by law, t hese requirements apply regardless of the existence or degree of fault of the City. The Contractor is not obligated to indemnify the City for claims arising from conduct delineated in Section 2782 of the Calif ornia Civil Code. The Contractor’s defense and indemnity obligation shall extend to claims arising after the work is completed and accepted if the claims are directly related to alleged acts or omissions by the Contractor that occurred during the course of the Work. Any inspection of the Work by the City is not a waiver of full compliance with these requirements.

The Contractor’s obligation to defend and indemnify is not excused because of the Contractor’s inability to evaluate liability or because the C ontractor evaluates liability and determines that the Contractor is not liable. The Contractor must respond within 30 days to the tender of any claim for defense and indemnity by the City, unless this time has been extended in writing by the City.

Failure to accept or reject a tender of defense and indemnity within 30 days, in addition to any other remedy authorized by law, the City may withhold such funds the City reasonably considers necessary for its defense and indemnity until disposition has been made of the claim or until the Contractor accepts or rejects the tender of defense, whichever occurs first.

With respect to third-party claims against the Contractor, the Contractor shall agree to waive all rights of any type to express or implied indemnity against the City, its officers, employees, or agents.

Nothing in the contract is intended to establish a standard of care owed to any member of the public or to extend to the public the status of a third- party beneficiary for any of these indemnification specifications.

Item 1E - Page 97

5-8.2 Responsibility to Other Entities. The Contractor shall be responsible for any liability imposed by law and for injuries to or death of any person, including workers and the public, or damage to property. The Contractor shall indemnify and save harmless any county, other city, governmental agency, or special district, and its officers and employees, connected with the Work, all in the same manner and to the same extent specified for the protection of the City.

5-8.3 Indemnification Agreement. The provisions of this Section 5-8 shall be incorporated as part of the contract, and Contractor shall be bound as follows:

To the fullest extent permitted by law, Contractor shall defend (at Contractor’s sole cost and expense), indemnify, protect, and hold harmless City, its elected offi cials, officers, employees, agents, and volunteers (collectively the “Indemnified Parties”), from and against any and all liabilities, actions, suits, claims, demands, losses, costs, judgments, arbitration awar ds, settlements, damages, demands, orders, penalties, and expenses including legal costs and attorney fees (collectively “Claims”), including but not limited to Claims arising from injuries to or death of persons (Contractor’s employees included), for damage to property, including property owned by City, from any violation of any federal, state, or local law or ordinance, and from errors and omissions committed by Contractor, its officers, employees, representatives, and agents, that arise out of or relate to Contractor’s performance under the contract. This indemnification clause excludes Claims arising from the sole negligence or willful misconduct of the City, its elected officials, officers, employees, agents, and volunteers. Under no circumstances shall the insurance requirements and limits set f orth in the Special Provisions be construed to limit Contractor’s indemnification obligation or other liability under the contract. Contractor’s indemnification obligation shall survive the completion of the Work or earlier termination of the contract unt il all actions against the Indemnified Parties for such matters indemnified are fully and finally barred by the applicable statute of limitations or, if an action is timely filed, until such action is final. This provision is intended for the benefit of third party Indemnified Parties not otherwise a party to the contract.

ADD: 5 -9 CONFLICT OF INTEREST. The Contractor shall establish and make known to its employees appropriate safeguards to prohibit employees from using their positions for a purpose that is, or gives the appearance of being, motivated by desire for private gain for themselves or others, particularly those with whom they have family, business, or other relationships. Project personnel shall not accept gratuities or any other favors from Subcontractors or potential Subcontractors.

The Contractor shall be subject to all federal, state and local conflict of interest laws, regulations, and policies applicable to public contracts and procurement practices, e.g., California Government Code §§1090, et. seq., and 81000, et. seq. If, in performing the Services and/or Work set forth in this contract, the Contractor makes, or participates in, a “governmental decision” in accordance with title 2, §18701(a)(2) of the California Code of Regulations, the Contractor shall be subject to a conflict of interest code requiring the completion of one or more statements of economic interests disclosing the Contractor’s relevant financial interests.

Statements of economic interests shall be made on Fair Political Practices Commission Form 700 and filed with the City Clerk. The Contractor shall file a Form 700 (Assuming Office Statement) within 30 days of the City’s written determination that the Contractor shall be subject to a conflict of interest code. The Contractor shall file a Form 700 (Annual Statement) on or before April 1, disclosing any financial interests held during the previous calendar year for which the Contractor was subject to a conflict of interest code.

Item 1E - Page 98

The Contractor’s personnel employed on the Project shall not accept gratuities or any other favors from any Subcontractors or potential Subcontractors. The Contractor shall not recommend or specify any product, supplier, or contractor with whom the Contractor has a direct or indirect financial or organizational interest or relationship that would violate conflict of interest laws, regulations, or policies.

The Contractor acknowledges that no officer or employee of the City has or shall have any direct or indirect financial interest in this Agreement nor shall Contractor enter into any agreement of any kind with any such officer or employee during the term of this Agreement and for one year thereafter. The Contractor warrants that it has not paid or given, and will not pay or give, any third party any money or other consideration in exchange for obtaining this Agreement.

If the Contractor violates any conflict of interest laws or any of these conflict of interest provisions, the violation shall be g rounds for immediate termination of this Contact. Further, the violation subjects the Contractor to liability to the City for all damages sustained as a result of the violation.

ADD: 5-10 COMMUNITY OUTREACH.

5-10.1 General.

To ensure consistency with the City’s community outreach plan for the project, the City shall work with you to inform the public (which includes, but shall not be limited to, property owners, renters, homeowners, business owners, recreational users, and other community members and stakeholders) of construction impacts. The Contractor’s efforts to mitigate construction impacts by communicating with the public require close coordination and cooperation with the City.

The Contractor shall perform the community outreach activities required throughout the Contract Time. The Contractor shall assign a staff member who shall perform the required community outreach services.

The Contractor shall closely coordinate the Work with the businesses, institutions, residents, and property owners impacted by the Project.

Contractor’s duties shall include: notifying businesses, institutions, and residents of the commencement of construction activities not less than 5 Working Days in advance, coordinating access for vehicular and pedestrian traffic to businesses, institutions, and residences impacted by the Project, reporting activities at all Project progress meetings scheduled by the Engineer, attending the Project pre-construction meeting, attending 2 community meetings, responding to community questions and complaints related to your activities, and documenting, in writing, as well as logging in all inquiries and complaints received into a City -approved internal public contact tracking system maintained by the Contractor.

Special Note: The Contractor shall be required to submit revised notices to all affected property owners of any re-scheduled Work, in sufficient advance of the revised dates. Additionally, upon delay of scheduled Work, the Contractor shall notify all affected property owners of t he delayed Work on the date it was previously scheduled.

The Contractor shall utilize electronic communication to coordinate all community outreach. All inquiries and complaints shall be logged in to the Contractor’s approved public contract tracking Item 1E - Page 99
system within 24 hours of receipt of inquiries and complaints. The Engineer and other City representatives shall have access to and shall review the tracking system on a weekly basis, or more frequently as required. Any updates or a resolution of inquiries and complaints shall be documented in the Contractor’s public contact tracking system within 24 hours. All graphics, photos, and other electronic files associated with inquiries and/or complaints shall be saved into the individual records.

All public notice s, brochures, and other outreach materials shall be provided in dual language translation for English and Spanish speakers.

5-10.2 Quality Assurance.

During the course of community outreach, the Contractor shall ensure that the character of all persons t hat conduct community outreach (distributing door hangers, attending community meetings, interacting with the public, and etc.) on its behalf shall:
1 Have the ability to speak and comprehend English
and/or Spanish, as appropriate for the community or public they are informing. 2 Possess and display easily verifiable and readable
personal identification that identifies the person as the Contractor’s employee. 3 Have the interpersonal skills to effectively,
professionally, and tactfully represent the Contractor, the project, and the City to the public.

5-10.3 Submittals.

The Contractor shall submit to the Resident Engineer, for review and approval, all drafts of letters, notices, postcards, door hangers, signs, mailing lists, proposed addresses for hand-delivery, and any other notices and letters that are to be mailed and or distributed to the public.

Prior to distributing or mailing, the Contractor shall submit final drafts of letters, notices, postcards, door hangers, signs, and any other notices and letters to the Resident Engineer for final review and approval. Submit a PDF copy of the approved door hangers to the Engineer.

After distributing or mailing, the Contractor shall submit verification of delivery and any copies of returned notices to the Resident Engineer. Submit a PDF copy of the approved letters and notices to the Engineer.

The Contractor shall use its internal public contact tracking system to identify and summarize communications (via phone, in person, and email) with the public within 24 hours of receipt, even if the response to the individual is still incomplete. The Contractor shall upload to its internal public contact tracking system copies of all written , electronic, and verbal communications and conversations with the public.

5-10.4 Community Outreach Services.

5-10.4.1 Public Notice by Contractor.

Post Project Identification Signs in accordance with 3-11, “PROJECT INFORMATION SIGNS”.

Item 1E - Page 100
Notify businesses, institutions, property owners, residents or any other impacted stakeholders, within a minimum 300 feet (90 m) radius of the Project, of construction activities and utility service interruptions not less than 5 Working Days in advance.

Furnish and distribute public notices in the form of door hangers using the City’s format to all occupants and/or property owners along streets:

ARTICLE 1Where Work is to be performed at least Working 5 Working Days before starting construction or survey activities or impacting the community as approved by the Resident Engineer.

ARTICLE 2Within 5 Working Days of the completion of your construction activities where Work was performed, you shall distribute public notices in the form of door hangers, which outlines the anticipated dates of Asphalt Resurfacing or Slurry Seal.

ARTICLE 3No less than 48 hours in advance and no more than 72 hours in advance of the scheduled resurfacing.

ARTICLE 4Leave the door hanger notices on or at the front door of each dwelling and apartment unit and at each tenant of commercial buildings abutting each of the street block segments. Where the front doors of apartment units are inaccessible, distribute the door hanger notices to the apartment manager or security officer.

Door Hanger Material: You shall use Blanks/USA brand, Item Number DHJ5B6WH, 1¼ inch (31.8 mm) Holes (removed), 2-up Jumbo Door Hanger in Bristol White, or approved equal.

Mailed Notice Material: You shall use Cougar by Domtar, Item Number 2834, or approved equal.

For all Work on private property, contact each owner and occupant individually a minimum of 15 Working Days prior to the Work. If the Work has been delayed, re-notify owners and occupants of the new Work schedule, as directed by the Resident Engineer.

5-10.4.2 Communications with the Public.

Coordinate access for vehicular and pedestrian traffic to businesses, institutions, and residences impacted by the Project.

You shall provide updates on construction impacts to the Resident Engineer.

You shall notify the Resident Engineer in advance about time-sensitive construction impacts and may be required to distribute construction impact notices to the public on short notice.

You shall incorporate community outreach activities related to construction impacts in the baseline schedule and update the Resident Engineer with each week's submittal of the Three-Week Look Ahead Schedule.

At the request of the Resident Engineer, you shall attend and participate in project briefings at community meetings.

You shall coordinate with the Resident Engineer on all responses and actions taken to address public inquiries and complaints within the 24 hours that they are received.

5-10.4.3 Communications with Media.

Item 1E - Page 101

The City may allow members of the media access to its construction site(s) on a case-by-case basis only.

Occasionally, uninvited members of the media may show up at construction Sites. Members of the media (including, but not limited to newspape rs, magazines, radios, television, bloggers, and videographers) do not have the legal right to be in the construction Site without the City’s permission.

In the event that media representatives arrive near or on the construction Site(s), you shall keep them off the Site(s) in a courteous and professional manner until a Public Information Officer is available to meet them at an approved location.

You shall report all visits from members of the media to the Resident Engineer as quickly as possible so that the City’s Public Information Officer can meet with the members of the media at the construction Site(s).

If the City allows members of the media to access a construction Site, you shall allow the City to escort the media representatives while they are on the construction Site and shall ensure their safety.

You shall require media representatives to sign in and out of the Site Visitor Log and to use personal protective equipment.

You have a right to speak to members of the media about your company and its role on the project.

All other questions shall be referred to the City.

5-10.5 Exclusive Community Liaison Services.

When required in the Special Provisions, you shall retain an Exclusive Community Liaison for the Project whose sole responsibilities shall be to implement 5-10.4, “Community Outreach Services” and the following:

ARTICLE 1 Develop a contact list of community, tenants, property owners, and agencies with a stake in the project.

ARTICLE 2 Prepare and present of materials in coordination with the Resident Engineer.

ARTICLE 3 Respond to community questions and complaints related to your activities.

ARTICLE 4 Write, edit, update, or produce brochures, pamphlets, and news releases.

ARTICLE 5 Provide standard telephone inquiries and e-mail responses. • Respond to telephone calls and e-mails from the public. • Record calls and e-mails on to the Contractor’s internal public contact tracking system.

ARTICLE 6 Provide a monthly summary report of all inquiries and complaints, including the name of the person, source of inquiry (via information line or email), phone number, address, date, and time of inquiry, who responded, and a summary of resolutions or pending resolutions to the Resident Engineer.

ARTICLE 7 Report Exclusive Community Liaison activities at all progress meetings scheduled by the Resident Engineer.

ARTICLE 8 Attendance at Pre-Construction, community and stakeholders meetings.

Item 1E - Page 102

5-10.5.1 Exclusive Community Liaison Work Plan.

The Work plan for the Exclusive Community Liaison shall address the items of Work specified in these specifications. When required, present your Exclusive Community Liaison and submit your exclusive community outreach plan in writing within 15 Working Days of the award of the Contract.

5-10.5.2 Payment.

The payment for the community outreach services shall be included in the Contract Price.

When required, the payment for the exclusive community liaison services shall be included in the Bid item for “Exclusive Community Liaison Services”.

ADD: 5-11 NEWSLETTER.

If required in the Special Provisions, you shall provide the required information to creat e and distribute newsletters for a project including: a written update on the progress of Work, a 1 month look-ahead schedule, contact names and phone numbers, and any other information which may be of interest to the public for this purpose.

5-11.1 Payment.

The payment for providing information for the newsletter and all associated Work shall be included in the Contract Price.

- END OF SECTION -

Item 1E - Page 103
SECTION 6 – PROSECUTION AND PROGRESS OF THE WORK

6-1.1 Construction Schedule. ADD the following:

a) U pon the request of the Contractor, the City may delay the issuance of the Notice to Proceed (NTP) up to 10 Working Days from the date of the preconstruction conference. No time extension of this delay will be allowed.

b) The Contractor shall be responsible for developing, coordinating, revising, updating, and maintaining the cost loaded construction schedule (Schedule) utilizing the Critical Path Method (CPM).

c) All versions of the Schedule shall be based solely on the Work as awarded, and shall exclude any substitute proposals even if the Contractor pursues a substitution in accordance with provisions of the Contract.

d) The approved proposals and approved Change Orders shall be included in the Schedule updates.

e) Total float is the number of days by which a part of the Work in the Schedule may be delayed from its early dates without necessarily extending the Contract Time. The Contract float is the number of days between the Contractor’s anticipated date for early completion of the Work, or specified part, and the corresponding Contract Time. Total float and Contract Time float belong to the Project and are not for the exclusive benefit of any Party. They shall be available to the City or the Contractor to accommodate changes in the Work or to mitigate the effect of events which may delay performance or completion.

f) Monthly progress payments are contingent upon the submittal of an updated Schedule to the Engineer. The City may refuse to recommend the whole or part of any monthly payment if, in the Engineer ‘s opinion, the Contractor’s failure, or refusal to provide the required Schedule information precludes a proper evaluation of the Contractor’s ability to complete Project within the Contract Time.

g) The Schedule shall show a breakdown of Work into activities and relationships to the extent required to effectively manage the Work. The Schedule shall show the division of the Work into activities and specify the progres sion from the Notice to Proceed (NTP) to the end of the Contract Time.

h) The Schedule shall include appropriate time allowances and constraints for submittals, items of interface with Work performed by others, and specified construction, start-up and performance tests.

i) The Contractor shall include in the Sch edule inclusive in the Contract Time allotted, three 3 Working Days for the City to conduct a thorough walk-through.

j) The Contractor shall include in the Schedule inclusive in the Contract Time allotted 10 Working Days for generation of the punchlist. The Contractor shall Work diligently to complete all punchlist items within 20 Working Days after officially being provided the punchlist by the Engineer.

Item 1E - Page 104
k) If the Contractor modifies or changes the Schedule, for Change Order Work or otherwise, the Engineer shall be notified in writing with an explanation.

l) Comments made by the Engineer on the Schedule during review will not relieve the Contractor from compliance with requirements of the Contract. The Engineer may request that the Contractor and major Subcontractors (defined herein as being any Subcontractor or Supplier with 5% or more of the value of the Contract) participate in review of any Schedule submission.

The Schedule revisions shall be submitted within 10 Working Days after the Engineer’s review.

m) The Schedule shall show work to be done by the City personnel, such as but not limited to, submittal reviews (separate tasks for each), sewer televising, water main connections, water testing, and operational performance tests as separate tasks. The Schedule shall show appropriate time allowances for Work performed by other agencies.

n) If completion of any part of the Work, delivery of equipment or materials, or provision o f the Contractor submittals is behind schedule and will impact the completion date of the Work, the Contractor shall submit a written recovery plan acceptable to the Engineer for completing the Work by the current Contract completion date.

o) The Contractor shall not be entitled to any extension in Contract Time, o r recovery for any delay incurred because of extensions in an early completion date, until all Contract float is used, performance of the Work extends beyond the corresponding Contract Time, an d a recovery plan is submitted demonstrating that the delay cannot be mitigated or offset through actions such as rescheduling Work.

p) Misrepresentation of actual Work durations in order to suppress available float time shall be cause for rejection of the Schedule and any revisions or updates.

q) The Schedule s hall include procurement related activities which lead to the delivery of permanent materials to the Site in a timely manner. Procurement activities include activities such as preparation of Shop Drawings and Working Drawings, review and acceptance of Shop Drawings and Working Drawings, materials fabrication, materials delivery, etc., as appropriate.

r) The Schedule shall be reasonably balanced over the construction duration. Upon receipt, the Engineer will review the Schedule and provide comments, as appropriate, for revision by the Contractor.

s) Each Schedule activity shall be assigned a budget. Separate Bid items shall be separate activities. The Schedule shall specify costs for each phase of the Contract. The cost value of all Schedule activities shall equal the Contract values shown in the Bid both individually and in total and include Change Orders.

t) If the Engineer questions the logic of the Schedule, the Engineer may at any time request a Schedule narrative that describes the approach to the Work and the rationale used to develop the Schedule relationships and logic.

u) When specified in the Contract Documents, the 90-day Plant Establishment Period is included in the stipulated Contract Time and will begin with the acceptance of the planting in accordance with the Special Provisions.

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v) For phased funded contracts, the Schedule shall include the Work to be completed as part of the first phase of the Phased Funding Schedule and all remaining phases.

w) With every pay request, submit the following:

ARTICLE 1An updated cash flow forecast showing periodic and cumulative construction billing amounts for the duration of the Contract Time. If there has been any Extra Work since the last update, include only the approved amounts.

ARTICLE 2A curve value percentage comparison between the Contract Price and the updated cash flow forecast for each Project ID included in the Contract Documents.

ARTICLE 3Curve values shall be set on a scale from 0% to 100% in intervals of 5% of the Contract Time for contracts greater than $500,000 in value and 10% of the contract time for contracts less than or equal to $500,000 in value. Provide a Sample Invoice demonstrating the curve value for Engineer’s approval. Your invoice amounts shall be supported by this curve value percentage. For previous periods, use the actual values and percentages and update the curve value percentages accordingly.

ADD: 6 -1.1.2 Contracts Less Than $500 ,000 In Value. The Contractor shall provide th e Schedule to the Engineer at the preconstruction meeting. At a minimum, the Schedule shall conform to the following:

a) Provide a fully developed horizontal bar-chart type schedule.

b) Provide a separate time bar for each significant construction activity.

c) Provide a continuous vertical line to identify the first Working Day of each week.

d) Within each time bar, indicate estimated completion percentage in 10% increments. As Work progresses, place a contrasting mark in each bar to indicate actual completion.

e) Indicate graphically sequences necessary for completion of related portions of the Work.

f) Be of sufficient size to show data for the entire Contract Time.

ADD: 6-1.1.3 Contracts With More Than $ 500,000 In Value. The Contractor shall provide the Schedule to the Engineer no later than the date of the pre-construction meeting. The Contractor may provide a look -ahead schedule for the first 90 days of the Contract Time to the Engineer, prepared in accordance with 6- 1, “CONSTRUCTION SCHEDULE AND COMMENCEMENT OF THE WORK.” If the Contractor selects to provide a 90 days look -ahead schedule, the Schedule covering the full Contract Time shall be submitted and approved within 4 weeks after NTP.

The Contractor shall use any scheduling product capable of producing the required information in accordance with 6-1, “CONSTRUCTION SCHEDULE AND COMMENCEMENT OF THE WORK”, for the computerized CPM scheduling and monthly update reports. Electronic file submittals shall be compatible with formats used by the City.

In addition to the electronic submittal of the Schedule, the Contractor shall provide hard copy tabular reports in accordance with 3-8, “Submittals.” The Schedule shall contain as a minimum the following information:

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a) The Schedule s hall include the Project Name, City’s Project identification numbers, the Contractor’s name, address and phone number, dates of original schedule and latest revision, revision number, and Contract Time.

b) The Schedule shall be of sufficient detail to assure adequate planning has been done for proper execution of the Work such that, in the sole judgment of the Engineer, it provides an appropriate basis for monitoring progress.

c) The Schedule shall show the sequence, duration, both early and actual start and end dates of each activity, interdependence, critical path and percentage of completion status of all activities required for the complete performance of Work. It shall begin with the date of issuance of the NTP and include construction activities including submittal review, operation checks, final walk- through, and punchlist generation.

d) The Schedule shall include the cost associated with each activity and the total cost for each phase of the Contract. The cost information shown in the Schedule will be used for schedule evaluation and budgetary forecasting purposes only, and shall not be construed as entitlement for payment.

e) The graphical reports when specified or required by the Engineer shall be in a precedence diagram format, shall be plotted on a time -scaled calendar, and shall expressly identi fy the Contract Time, the critical path(s) and activities.

f) Activities shall be shown on their early dates, with their total float noted beside them.

Connections between activities whether on the same sheet or on different sheets, shall identify both predecessor and successor Work. Activity data shall include description of Work, activity costs (budget), activity duration and special codes.

g) Activity data shall include description of the Work, activity duration, percent completed, and any special codes required with the following information:

i. Current status of the activity.
ii. Remaining duration of the activity.
iii. Actual start and finish dates for the activity in progress or completed.

h) The Schedule updates shall include both forecast and actual cost and schedule data.

i) The sub -tasks for lump sum Bid items shown on the Schedule shall be submitted in accordance with 7-2, “LUMP SUM WORK.”

j) The Schedule shall indicate the estimated person days and material quantities for each construction activity.

k) For those activities started but not yet completed at the time of submittal, the updated Schedule shall reflect the percentage of costs remaining, as agreed between the Contractor and the Engineer, for an estimate of the remaining budget.

The payment for the Schedule shall be included in the Contract Price.

6-1.2 Commencement of Work. DELETE in its entirety and SUBSTITUTE with the following:

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Unless specified otherwise, the Contractor shall start construction within 5 Working Days after NTP and shall diligently prosecute the Work to completion within the Contract Time. Do not start any construction activities at the Site until the Pre-Construction meeting is held and until the NTP has been issued by the Engineer.

Upon the Contractor’s written request, the Engineer may delay the issuance of the NTP as described in the following:

ARTICLE 1Up to 5 Working Days from the Pre-construction meeting.

ARTICLE 2Up to 40 Working Days from the LNTP for the preparation, submittal, obtaining approval for and filing of the Permit Registration Documents (PRDs) as may be required pursuant to Section 3-12.6 “Water Pollution Control.”
ARTICLE 3Up to 60 Working Days from the LNTP for the preparation, sub mittal, and approval of the engineered Traffic Control Plan (TCP) when required by the Engineer.

For areas that do not require engineered TCP on D-sheets, the Contractor may at any time after the Pre-construction meeting obtain a TCP Permit via Working Drawings or the City’s over the counter process and start the Work. If the Contractor decides to commence the construction Work before the completion of the D-sheet TCPs, you shall forfeit the 60 Working Days specified here.

The D-sheet TCP shall be done concurrently and no additional time shall be granted.

For paving Work, coordinate the Work to facilitate the installation and protection of the new curb ramps and associated concrete Work prior to commencing the asphalt overlay operations. Do not start the Work at a specific location until all layouts and measurements are agreed upon by the Contractor and the Engineer.

ADD: 6-1.2.1 Construction Phasing.

When project phasing is provided in the Special Provisions do not proceed to the next phase unless the Engineer has accepted the preceding phase.

For mainline projects, use of multiple mainline crews shall require prior approval from the Engineer.

ADD: 6-1.3 Work Outside Normal Hours. Except in connection with the safety or protection of persons or the Work or property at the Site or adjacent thereto, and except as otherwise indicated in the Contract Documents, Work at the Site shall be performed during normal working hours.

Normal working hours refers to the working hours identified in the Contract Documents. The Contractor shall not work during non-normal working hours or on Saturday, Sunday, or any of the City observed holiday without the Engineer ’s written consent. If approved, night work shall be completed at night between the hours of 7:00 P.M. - 5:00 A.M. unless otherwise specified on the Plans, in the Special Provisions, or on the traffic control permits.

The Engineer will coordinate inspection staff, to the extent possible, to accommodate Project inspection requirements. If the Contractor’s request is approved, the Contractor will be responsible for reimbursing the City for all costs to provide inspection services required to monitor the Work outside of normal working hours in accordance with Section 3-5. The Contractor shall be billed at the stipulated hourly rate to cover the City’s expenses for the inspection services and a deductive Change Order will be issued.

The Contractor shall be required to obtain a noise abatement permit when such a permit is required to perform Work outside the normal working hours.

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Special Note: The Contractor will be required to comply with applicable mitigation measures related to noise that may be included in the City’s CEQA and/or NEPA environmental document.

Any work occurring outside normal hours that may generate noise will be required to mitigate the noise to the greatest degree possible at the Contractor’s expense, as required by the Engineer.

The Engineer retains the sole authority to deny any work occurring outside normal hours if in his determination such work would generate noise too disruptive to the public.

6-1.4.2 Pre-Award Schedule. The Pre-Award Schedule is a cost-loaded CPM schedule prepared in accordance with 6- 1, “CONSTRUCTION SCHEDULE AND COMMENCEMENT OF THE WORK” showing all activities with c osts, durations, and dependencies, for the first phase of the contract. The Pre-Award Schedule shall be used as a basis for the first Phased Funding Schedule Agreement which will be developed by the City.

The Contractor shall coordinate the estimated construction start date with the City’s Project Manager. Upon receipt, the Project Manager will review the Pre -Award Schedule and provide comments, as appropriate, for revision by the Contractor. The Project Manager may require backup documentation and calculations to justify schedules.

ADD: 6-1.5 Excusable Delays.

If a delay in the Work occurs and affects Work activities, delays may either be Excusable Compensable Delays or Excusable Non-Compensable Delays.

ADD: 6-1.5.1 Excusable Compensable Delays.

If an Excusable Delay meets the requirements of 6 -4.2, “Extensions of Time”, the following circumstances shall be compensable:

A. The City’s failure or inability to make available any portion of the entire Site in accordance with the requirements of the Schedule.

B. The City’s failure or inability to obtain necessary zoning changes, variances, code changes, permits or approvals from any governmental authority, except to the extent due to your fault or neglect as determined by the Engineer.

C. Delays resulting from the acts or omissions of Separate Contractors, except to the extent Separate Contractors perform their work properly and in accordance with the Schedule.

D. Differing or concealed site conditions that could not have been reasonably anticipated at the time of Bid.

E. Delays resulting from the existence or discovery of hazardous materials or waste on the Site not brought in by you and not included in the Contract.

F. Delays resulting from any changes made to any City of Palm Springs Municipal Code after the date of execution of the Contract.

G. Delays due to the City’s acts or omissions and those within the City’s control.

H. Delays requested by the City.

ADD: 6-1.5.2 Excusable Non-Compensable Delays.

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The City shall only issue an extension of time for Excusable Delays that meet the requirements of 6-4.2, “Extensions of Time” for the following circumstances:

A. Delays resulting from Force Majeure.

B. Delays caused by weather.

C. Delays caused by changes to County, State, or Federal law.

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ADD: 6-1.6 Pre-construction Meeting.

Within 20 Working Days from the LNTP the Engineer shall schedule a mandatory Pre-construction meeting with you. The agenda shall include items such as NTP, design services and submittal and review process, critical elements of the Work schedule, submittal schedule, cost breakdown of major lump sum items, payment requests and pr ocessing, environmental and community concerns, coordination with the involved utility firms, the level of record project documents required, and emergency telephone numbers for all representatives involved in the course of construction.

ADD: 6-2.1 Moratoriums.

When moratorium periods are specified in the Special Provisions, the Contractor shall stop work and completely demobilize all construction related activity, equipment, and materials wit hin the stated limits prior to the beginning of the moratorium periods at no additional cost to the City.

Complete any Work that has been started prior to the start of the moratorium.

The Contractor shall restore and clean the site prior to each moratorium. Do not leave equipment, materials, or traffic control on the Site during the moratorium periods. Cover trenches during moratorium periods. Do not use temporary resurfacing.

6-2.1.1 Payment.

The payment for complying with moratorium requirements shall be included in the Contract Price.

The Contractor shall not be entitled to any additional costs for repeated mobilization and demobilization to continue the Work after the moratorium periods.

6-3 TIME OF COMPLETION.

6-3.1 General. DELETE in its entirety and SUBSTITUTE the following:

Particular attention is direc ted to the provisions of Section 6- 1, “Construction Schedule and Commencement of Work, ” Section 6 -3, “Time of Completion, ” and Section 6- 9, “Liquidated Damages” of the Standard Specifications.

After the Contract has been approved by the City, and a written Notice to Proceed has been issued to the Contractor, the Contractor shall start the Work within 5 working days after the date specified in said Notice to Proceed.

Said Work shall be diligently prosecuted to completion before the expiration of:

270 CALENDAR DAYS

from the date specified in the Notice to Proceed issued by the City.

Said time of completion does not include time associated with ordering long lead- time items.

Contractor shall refer to Section 4-9 of these Special Provisions for requirements associated with ordering long lead-time items.

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In accordance with Section 6 -9, “Liquidated Damages,” and as set forth in the Agreement, the Contractor shall pay to the City as liquidated damages the sum set forth in the Agreement per day for each and every calendar day’s delay in finishing the Work in excess of the number of working days prescribed above.

The following shall be included in the stipulated Contract Time: Any number of Working Days required for walk through and preparation and completion of Punchlist items specified in 6 -1, “Construction Schedule and Commencement of the Work.”

If the Contract Documents require the Contractor to prepare engineered Traffic Control Plans (TCP) prior to the issuance of the NTP, the Contractor is entitled to an additional 20 Working Days to prepare and obtain approval of the TCP. These 20 Working Days include time for preparation of the TCP and the City’s review. If the Contractor chooses to exercise this right, the Contractor shall inform the Engineer at the Pre-Construction meeting. In no event shall the NTP be issued more than 20 Working Days from the Pre-Construction meeting.

The Contractor may choose at any time after the Pre -Construction meeting to request the Engineer’s approval to start Work in other areas that do not require engineered TCP. In this case, the Contractor shall forfeit the 20 Working Days to prepare the engineered TCP, and the NTP will be issued. The engineered TCP shall be done concurrently and no additional time will be granted.

6-3.2 Contract Time Accounting. After the second sentence ADD the following:

The Engineer’s periodic report for Contract Time accounting will be issued at least once a month.

ADD: 6-3.3 Working Days.

A working day is any day within the period between the date of the start of the Contract time as specified in Section 6-1 and the date of field acceptance of the Work by the Engineer, other than:

1. Saturday,

2. Sunday,

3. Any day designated as a holiday by the City,

4. Any other day designated as a holida y in a Master Labor Agreement entered into by the Contractor or on behalf of the Contractor as an eligible member of a contractor association,

5. Any day the Contractor is prevented from working at the beginning of the workday for cause as specified in Section 6-4, or

6. Any day the Contractor is prevented from working during the first 5 hours with at least 60 percent of the normal work force for cause as specified in Section 6-4.

6-4 DELAYS AND EXTENSIONS OF TIME.

6-4.1 General. ADD the following:

Whenever the Contractor foresees any delay in the prosecution of the Work, and in any event immediately upon the occurrence of any delay which the Contractor regards as unavoidable, the Contractor shall notify the Engineer, in writing, of the probability of t he occurrence of such delay and its cause.

It will be assumed that any and all delays which have occurred in the prosecution and completion of the work have been avoidable delays, except such delays as shall have been called to the Item 1E - Page 112
attention of the Engineer at the time of their occurrence and found by him to have been unavoidable.

The Contractor shall make no claims that any delay not called to the attention of the Engineer at the time of its occurrence has been an unavoidable delay.

The Engineer shall only grant an extension of time if the Extra Work or unforeseen condition impacts the Project’s critical path. All requests for an extension in Contract Time for any Extra Work or unforeseen event shall be demonstrated by using the Critical Path Method (CPM). No other scheduling method shall be used to calculate the Project’s schedule.

6-4.2. Extensions of Time. DELETE in its entirety and SUBSTITUTE with the following:

The Contract Time shall not be modified except by Change Order.

The Contractor shall immediately submit to the City a written request for a Change Order to modify the Contract Time, but in no event later than 1 Working Day after the occurrence and discovery of the event(s) giving rise to the request. The Contractor shall include in its request a general description of the basis for and the estimated length of any extension and submit supporting data.

Any City approval of a request shall be contingent upon the Contractor’s submission of a written statement that the Contract Time extension reflects the entire extension to which the Contractor is entitled as a result of the occurrence of the event(s).

The Engineer shall not grant an extension in Contract Time unless the Contracto r demonstrates through an analysis of the critical path, the following:

ARTICLE 1The event causing the delay impacted the activities along the Project’s critical path.

ARTICLE 2The increases in the time to perform all or part of the Project beyond the Contract Time arose f rom unforeseeable causes beyond the Contractor’s control and without Contractor’s fault or negligence and that all project float has been used.

The Engineer shall issue a weekly document that shall stipulate the Contract Time. If the Contractor does not agree with this document, submit to the Engineer for review a written protest supporting the objections to the document within 15 Working Days after receipt of the statement.

The Contractor’s failure to file a timely protest shall constitute its acceptance of the Engineer’s weekly document.

The Contractor’s protest will be considered a claim for time extension and shall be subject to 2-

10.1, “Claims”.

6-4.4 Written Notice and Report. DELETE in its entirety and SUBSTITUTE with the following:

The Contractor’s failure to file with the Engineer a written request and report of cause within 24 hours will be considered grounds for refusal by the City to consider such request.

6-6.1 General. ADD the following:

The City reserves the right to shut down any trenching operation if the Contractor is not proceeding within a reasonable period of time to restore the pavement and Site cleanup. A reasonable period of time is considered to be 5 to 10 Working Days after backfilling any one block, approximately 600 Item 1E - Page 113
feet of pipeline. The Engineer shall determine the period of time allowed which shall not be subject to dispute.

During periods when the Work is suspended, the Contractor shall be prepared for any emergency Work that shall be supervised by your representative.

6-7.1 General. ADD the following:

g) The Contractor fails to n otify the Engineer upon discovery of items of Native American, Archaeological, or Paleontological interests.

Notices, and other written communications regarding default between the Contractor, the City, and the Surety shall be transmitted in accordance with 5-2, “SPECIAL NOTICES”.

6-7.3: Notice of Termination for Default: ADD the following:

The Contractor shall be entitled to no further payment until the remaining portion of the Work has been completed. The Contractor will be paid the actual amount due based on Contract Unit Prices or lump sum Bid and the quantity of the Work completed at the time of default, less damages caused to the City by acts of the Contractor.

Costs incurred by the Cit y in performing the Contractor’s work, plus a markup of 15% on those costs for overhead, shall be deducted from any money due or to become due to the Contractor.

The Contractor shall pay to the City any amount by which those costs and markup exceed the unpaid balance of the Contract Price.

6-8 TERMINATION OF THE CONTRACT FOR CONVENIENCE. DELETE in its entirety and SUBSTITUTE with the following:

At any time, the City may at its sole discretion terminate this Contract in whole or in part. If the City decides to terminate this Contract for convenience, the City shal l issue a written notice of termination for convenience in accordance with 5-2, “SPECIAL NOTICES”. Upon receipt of this notice, you shall immediately proceed as follows:

a) Stop Work immediately or in accordance with the Notice of Termination.

b) Immediately place no further subcontracts for materials, services, or facilities, except as necessary to complete any authorized continued portion of the Contract.

c) Immediately terminate all subcontracts to the extent that they relate to the Work terminated;

d) With approval by the Engineer, settle all outstanding obligations arising from the termination of subcontracts; the approval of which will be final for purposes of this section.

e) As directed by the Engineer, transfer the title and deliver to the City, completed or partially completed drawings, plans, calculations, specifications and any other documents and records that, if the Contract had been completed, would be required to be furnished to the City.

f) Complete performance of the Work not terminated.

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g) Take all necessary steps and actions to minimize all costs to the City as a result of the termination.

h) Take any action that may be necessary, or that the Engineer may direct, for the protection and preservation of the property related to this contract that is in the possession of the Contractor and in which the City has or may acquire an interest.

6-8.1 Termination Cost.

The City shall determine and pay you the fair and reasonable amounts for the Contractor’s termination cost as follows:

• The Contract Price for completed services accepted by the Engineer not previously paid or adjusted for any saving of freight and other charges. • The fair and reasonable cost of settlin g and paying termination settlements for terminated subcontracts that are chargeable to the terminated portion of the Contract. • The City shall pay the Contractor a prorated amount of profit on the Contract for the amount of Work that was performed. The City shall not pay for lost profit on Work that was not performed.

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6-8.2 Termination Settlement.

After termination, the Contractor shall submit a final termination settlement proposal to the Engineer no later than 3 months from the effective date of termination, unless extended in writing by the Engineer.

If the Contractor fails to submit the proposal within the time allowed, the City may determine and pay the fair and reasonable amount that may be due as a result of the termination. If the Contractor does not agree that the amount determined by the Engineer is fair and reasonable, notify the Engineer within 30 Calendar Days of receipt of payment.

6-8.3 Determination of Amount Due the Contractor.

In determining the amount due to the Contractor, the City shall deduct the following:
• The fair value of property destroy ed, lost, stolen, or damaged that has become undeliverable to the City.
• Any claim which the City has against the Contractor under the Contract.

6-8.4 Records and Documents Relating to Termination.

Unless otherwise specified or by statute, the Contractor shall maintain all records and documents relating to the terminated portion of the Contract for 3 years after final settlement. This includes all books and other evidence bearing on its costs, expenses, and settlement under the Contract. The Contractor shall make these records and documents available to the City, at its office, at all reasonable times, without any direct charge. If approved by the Engineer, the Contractor may maintain photographs, microphotographs, and other authentic reproductions instead of original records and documents.

6-8.5 The City’s Right to Terminate or Suspend for Loss of Project Funds.

The City may terminate or suspend the Contract at its sole discretion if funds being used to fund this Project become unavailable. If the City chooses to suspend the Contract, that suspension shall last until funds are identified and approved by the City Council to be used to complete this project.

If the City elects under this provision to terminate the Contract, then neither Party is entitled to compensation from the other Party for any costs arising from such termination. The City may also elect to terminate after invoking a suspension under this provision.

6-9 LIQUIDATED DAMAGES. DELETE in its entirety and SUBSTITUTE with the following:

6-9.1 General

The Contractor’s failure to complete the Work within the time allowed shall result in damages being sustained by the City. Such damages are, and shall continue to be, impracticable and extremely difficult to determine. For each consecutive Working Day (or Calendar Day if so specified) in excess of the time specified for the completion of the Work, as adjusted in accordance with 6-4, “DELAYS AND EXTENSIONS OF TIME”, the Contractor shall pay to the City, or have withheld from monies due it, the sum described in the table below, unless otherwise specified in the Special Provisions.

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The execution of the Contract shall constitute agreement between the Contractor and the City that the liquidated damage amount described in the table below is the value of the damage caused by the Contractor’s failure to complete the Work within the allotted time. Such sum shall not be construed as a penalty and may be deducted from the Contractor’s payments if such delay occurs.

Liquidated damages, if any, accrue starting on the 1st day after the expiration of the Working Days (or Calendar Days if so specified) through the day of Contract acceptance except as specified in Sections 6-9.2 and 6-9.3.

The City s hall withhold liquidated damages before the accrual date if the anticipated liquidated damages may exceed the value of the remaining work. Liquidated damages for all work except plant establishment are as shown in the following table:

Liquidated Damages
Total bid Liquidated
damages per day
From over To
$0 $50,000 $1,200
$50,000 $120,000 $1,500
$120,000 $1,000,000 $1,900
$1,000,000 $5,000,000 $3,000
$5,000,000 $10,000,000 $5,400

If all work except plant establishment is complete and the total number of working days have expired, liquidated damages are $950 per day.

6-9.2 Failure to Complete Work Parts within Specified Times. The Engineer may deduct specified damages from payments for each day in completing a work part beyond the time specified for completing the work part.

Damages for untimely completion of work parts may not be equal to the daily amount specified as liquidated damages for the project as a whole, but the Engineer does not simultaneously assess damages for untimely completion of work parts and for the whole work.

Damages accrue starting the 1st day after a work part exceeds the specified time through the day the specified work part is complete.

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6-9.3 Failure to Complete Work Parts by Specified Dates

The Engineer may deduct specified damages from payments for each day in completing a work part beyond the specified completion date for the work part.

Damages for untimely work part completion may not be equal to the daily amount specified as liquidated damages for the project as a whole, but the Engineer does not simultaneously assess damages for untimely work part completion and the whole work.

Damages accrue starting the 1st day after an unmet completion date through the day the work part is complete.

ADD: 6-10 RIGHT TO AUDIT.

6-10.1 General.

The City retains the right to review , audit, reasonably access the Contractor and all its Subcontractor’s premises to review and audit compliance with the provisions of the Contract. This includes the right to inspect, photocopy, and retain copies, outside of its premises, of any and all records with appropriate safeguards if such retention is deemed necessary by the City in its sole discretion. The City will keep this information in strictest confidence.

The Contractor shall include the right to audit in the subcontracts and ensure that these specifications are binding upon all Subcontractors.

6-10.2 Audit.

The right to audit includes the right to examine any and all books, records, documents, and any other evidence of procedures and practices that the City determines is necessary to discover and verify that the Contractor is in compliance with all requirements under the Contract.

If there is a claim for additional compensation or for changes in Work, the right to audit also includes the right to verify all direct and indirect costs which are claimed to have been incurred, anticipated to be incurred, or for which a claim for additional compensation or for changes in the Work have been submitted.

The Contractor shall maintain complete and accurate records in accordance with generally accepted accounting practices in the construction industry. Make available to the Engineer for review and audit all Project related accounting records and documents and any other fi nancial data. Upon the Engineer’s request, you shall submit exact duplicates of originals of all requested records to the Engineer.

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6-10.3 Compliance Required Before Mediation and Litigation.

As a condition precedent to proceeding with mandatory mediation and further litigation under 2 -

10.2, “Dispute Resolution Process” the Contractor shall comply with the audit specifications within 60 Days of the Engineer’s notice to review and audit compliance. See 5-2, “SPECIAL NOTICES”.

6-10.4 Access to Records on Federally Funded Projects.

The Contractor shall retain all records, books, papers, and documents directly pertinent to the Contract for a minimum of 5 years after the City makes final payments and all other pending matters are closed and shall allow access to those records to the City, the Federal grantor agency, the Comptroller General of the United States, or any duly authorized representatives.

- END OF SECTION -
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SECTION 7 – MEASUREMENT AND PAYMENT

ADD: 7 -2.1 Schedule of Values (SOV). Within 10 days of execution of this contract, the Contractor shall submit for the City’s review and approval an SOV for the lump sum Bid items of the Work. The Schedule of Values will:

a) Subdivide the Work into its respective parts,

b) Include values for all items comprising the Work, and

c) Serve as the basis for monthly progress payments made to the Contractor throughout the Work.

The Engineer is the sole judge of acceptable numbers, details, and description of values established. If, in the opinion of the Engineer, a greater number of SOV items than proposed by you is n ecessary, add the additional items identified by the Engineer. When requested by the Engineer, provide substantiating data in support of the SOV.

Incorporate the SOV into the cost loading funct ion of the Schedule in accordance with 6- 1, “CONSTRUCTION SCHEDULE AND COMMENCEMENT OF THE WORK”. Monthly progress payment amounts for Lump Sum items shall be determined from the monthly updates of the Schedule activities.

Develop the SOV independently bu t simultaneously with the development of the Schedule activities and logic. Incorporate phase funding impacts, if applicable, into the Schedule.

Break down the Work not specifically included in the Bid as necessary for establishment of cost and Schedule activity.

Following acceptance of the SOV, incorporate the changes (if any) into the cost loading portion of the Schedule. Where coordination of the Schedule and the SOV requires changes made to one or both documents, propose changes to the SOV and to the Schedule activities to satisfy the Schedule cost loading requirements.

Update and submit these listings in conjunction with the Schedule monthly submittals.

Incorporate issued Change Orders or Field Orders in the Schedule into the SOV as single units identified by the Change Order or Field Order number.

Changes to the Schedule which add activities not included in the original Schedule but included in the original Work (schedule omissions) shall have values assigned as accepted by the Engineer.

Other activity values shall be reduced to provide equal value adjustment increases for added activities as accepted by the Engineer.

In the event that you and the Engineer agree to make adjustments to the original SOV because of inequities discovered in the original accepted SOV, increases and equal decreases to values for activities may be made.

ADD: 7-2.2 Payment.

The payment for the preparation of the SOV shall be included in the Contract Price.

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7-3.1 General. To paragraph (8), DELETE in its entirety and SUBSTITUTE with the following:

If, within the time fixed by law, a properly executed notice to stop payment is filed with the City, due to the Contractor’s failure to pay for labor or materials used in the Work, all money due for such labor or materials will b e withheld from payment in accordance with applicable laws. At the expiration of 35 Calendar Days from the date of filing the NOC and upon receipt by the Engineer of a fully executed Release of Claims, the amount deducted from the final estimate and retained by the City shall be paid to you except such amounts as are required by law to be withheld by properly executed and filed notices to stop payment.

ADD the following:

Unless specified otherwise, the Contract Price includes use, consumer, and other taxes mandated by applicable legal requirements.

As provided in § 7105 of the California Public Contract Code, if the Contract is not financed by revenue bonds, you are not responsible for the cost of repairing or restoring damage to the Project when damage was proximately caused by an act of God, in excess of 5% of the Contract Price, if the following occur:
a) The Project damaged was built in accordance with the Contract requirements. b) There are no insurance requirements in the Contract for the damages.

7-3.2 Partial and Final Payment. To paragraph (5), DELETE in its entirety and SUBSTITUTE with the following:

Pursuant to California Public Contract Code §22300, the Contractor has the option, at its expense, to substitute for any money withheld by the City, securities equivalent to the amount being withheld.

Securities eligible for such substitution are bank or savings and loans certificates of deposit or such securities which are eligible for investment pursuant to Government Code §16430. As to any such security or securities so substituted for monies withheld, the Co ntractor shall be the beneficial owner of same and shall receive any accrued interest. Such security shall, at its request and expense, be deposited with the City or with a State or Federally Chartered bank as the escrow agent who shall pay such monies to the Contractor upon notification by the Engineer that payment can be made. Such notification shall be given at the expiration of 35 Calendar Days from the date of Acceptance, or as prescribed by law, provided however, that there shall be a continued retention of the necessary securities to cover such amounts as are required by law to be withheld by properly executed and filed notices to stop payment, or as may be authorized by the Contract to be further retained.

ADD the following:

Final Payment and release of Retention shall be paid after you submit the following:
• An affidavit that payrolls and bills for materials, equipment, and other indebtedness connected with the Work for which the City or the City’s property might be responsible for or encumbered by. Fewer amounts withheld by the City shall have been paid for or otherwise satisfied.
• A certificate evidencing that insurances required by the Contract Documents shall remain in force after Final Payment is currently in effect and shall not be canceled or Item 1E - Page 121
allowed to expire until at least a 30 Calendar Days prior written notice has been given to the Engineer.
• Consent of Surety to Final Payment.
• If required by the Engineer, other data establishing p ayment or satisfaction of obligations such as receipts, releases and waivers of liens, claims, and security interests or encumbrances arising out of the Contract Documents. If a Subcontractor refuses to furnish a release or waiver required by the City, you may furnish a bond satisfactory to the Engineer to indemnify the City against such lien. • If required in the Contract Documents, the successful completion and submittal of the required reports such as construction demolition, waste recycling, and hydrostat ic discharge reports.
• Required EOCP documentation, record draw ings, operations manuals, test reports, warranty documentation, and UL labels shall be submitted before requesting the release of retention.

ADD: 7-3.2.1 Application for Progress Payment.

By the tenth day of each month, the Contractor shall submit to t he Engineer a partial payment estimate, filled out and signed by the Contractor, that identifies acceptable Work performed during the previous month, or since the last partial payment estimate was submitted. If requested by the Engineer, the Contractor shall provide such additional data as may be required to support the payment estimate. Such data may include satisfactory evidence of payment for equipment, materials, and labor, including payments to Subcontractors and suppliers.

For application for progress payment, the Contractor shall use the format required by the City. An electronic copy of the invoice form is available from the Engineer upon request. Progress payments shall be signed and the date of the invoice shall be the date that the invoice is submitted.

Progress or partial payments shall not be made until the Contractor submits to the City an updated Schedule that meets the City ’s requirements. It is solely the responsibility of the Contractor to prepare and submit the Schedule updates.

The City shall pay you within 30 Calendar Days after the presentation of undisputed and properly submitted applications for payment.

Disputed or incorrect applications shall be returned to you wi thin 7 Calendar Days with documentation describing the reason for the rejection of the payment request.

ADD: 7-3.2.2 Amount of Progress Payments. Provided an undisputed and properly submitted Application for Payment is received by the City, payment shall be made by the City not later than thirtieth day after the City receives the application for Payment. The City will pay the Contractor for Work performed through the period covered by the application for Payment, less Retention as set forth in the Contract Documents, provided that the payment amount before Retention will not exceed the percentage of completion of the Work, all as set forth in the SOV.

ADD: 7 -3.2.3 Waiver of Claims at Final Payment. Acceptance of Final Payment by the Contractor shall constitute a waiver of affirmative Claims by the Contractor, except those previously made in writing and identified as unsettled at the time of Final Payment, which are expressly Item 1E - Page 122
reserved by the Contractor from operation of its Release of Claims pursuant t o Public Contract Code 7100 or other Applicable Laws.

ADD: 7-3.2.4 Withholding of Payment and Backcharge.

The Engineer may withhold payment for any of the following reasons:

Defective or incomplete Work.

Stop notices, wage orders, or other withholdings required by Applicable Law.

Your failure to comply with 5- 3.3, “Payroll Records” and the Contractor Registration and Electronic Reporting System requirements of the Contract Documents.

The Engineer may back charge the contract for any of the following reasons:

Defective or incorrect Work not remedied.

Damage to Ci ty property or a third party’s property that was caused by you.

Liquidated damages.

In addition to withholding 125% of the total of any stop payment notice received, the City shall also apply an administrative fee of $500 for each valid stop payment notice filed against the Contractor for failure to pay subcontractors, material suppliers or other legally vested parties. Such administrative fee shall be applied as a back-charge to the City for each and every valid stop notice filed, and shall be noted on a Change Order adjusting the final contract payment otherwise due to the Contractor.

When all the above reasons for withholding payment are removed, payment shall be made for amounts previously withheld. Prior to any withholding pursuant to this section, the City will meet with the Contractor to discuss potential withholding, and attempt in good faith to resolve such issue without the need for withholding.

ADD: 7-3.2.5 Early Release of Subcontractor Retention. If a Subcontractor has completed its portion of the Work, including all Punch List items, pursuant to any given Subcontract, the Contractor may request the City to disburse the Retention allocable to such Subcontractor, after delivering to the City acceptable releases from the Subcontractor and consen t to such disbursement from such Contractor’s Surety, in a form reasonably satisfactory to the City. The City, at its sole discretion, may determine that the Subcontractor ’s Work has been completed in accordance with the Contract Documents, and may disbur se the Subcontractor ’s share of Retention to the Contractor for distribution to the Subcontractor. Regardless of whether the City has disbursed Retention for the benefit of any Subcontractor, the 1 year warranty period with respect to such Work shall commence at upon the filing of the NOC.

ADD: 7-3.2.6 Final Pay Items. For bid items noted as a final pay item, “(F)”, on the Bid Schedule, the Contractor shall accept payment based on the Bid Item as a final unadjusted quantity, regardless of the actual final quantity used or otherwise required for that item, unless the dimensions of the work are changed by the Engineer. The Contractor is required to confirm the measurement of any final pay item at the time of bidding, and to incorporate in its bid item price the total cost of the work associated with the final pay item, reflective of the Contractor’s independent measurement and the quantity noted in the Bid Schedule. No additional payment will be allowed for final pay items in the event the quantity identified in the Bid Schedule is less than the quantity actually required to complete the work as identified in the project drawings.

7-3.3 Delivered Materials. DELETE and SUBSTITUTE with the following:

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The City will not pay the Contractor for the cost of materials and equipment delivered but not incorporated into the Work.

7-3.4 Mobilization: ADD the following:

Mobilization shall consist of labor and operations, including, but not limited to, those necessary for the movement of personnel, equipment, supplies, and incidentals to and from the Site; for establishment of all offices, buildings, storage yards, and other facilities necessary for Work, and for all other work and operations which shall be performed prior to beginning Work, and shall consist of all demobilization efforts required after completion of Work on the various Contract items on the Site.

The Contractor shall properly design the Project parameters to incorporate construction mobility for moving on and off the Site in a manner that limits d isturbance to the surrounding residences, businesses, and any other citizens. Specifically, this includes, but is not limited to, the designated staging areas, loading areas, and assemblage areas. The Contractor shall consider and address access rights of the public at all times. The Contractor shall be required to prepare a “Mobilization Plan” that will describe and govern the Contractor’s mobilization activities.

The complete dismantling and removal by the Contractor of all of the Contractor’s temporary facilities, equipment, materials, construction wastes, and personnel at the Site referred to as demobilization shall be included in mobilization.

ADD 7-3.4.1 Payment.

When a Bid item has be en provided for “Mobilization”, payment for mobilization Work shall be distributed equally over the first 2 progress payments up to the bid amount of the “Mobilization” Bid item but shall not exceed 3% of the Contract Price. If the Bid item for “Mobilization” exceeds 3% of the Contract Price, then anything above 3% of the Contract Price shall be paid as a part of the Final Payment.

The complete dismantling and removal of all of your properties, temporary facilities, equipment, materials, construction wastes, and personnel at the Site referred to as demobilization is included in the payment for mobilization.

If a separate Bid item has not been provided for mobilization, the payment for mobilization is included in the Contract Price.

7-3.5.2 Increases of More Than 25 Percent: DELETE in its entirety and SUBSTITUTE with the following:

Should the actual quantity of an item of work covered by a Contract Unit Price and constructed in conformance with the Plans and Specifications exceed the Bid quantity by more than 25 percent, payment for the quantity in excess of 125 percent of the Bid quantity shall be made on the basis of an adjustment in the Contract Unit Price as follows:

Quantity of Work Performed Contract Unit Price Adjustment Up to and including 125% No Adjustment
125.01% through 150% - 5% Reduction
150.01% through 200% - 10% Reduction
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Over 200% - 10% Reduction or by Mutual Agreement

Payment for the quantity in excess of 200 percent of the Bid quantity shall be made on the basis of at least a 10% reduction in the Contract Unit Price, or at the option of the Engineer on the basis of Extra Work. The Extra Work basis of payment shall not include fixed costs. Fixed costs shall be deemed to have been recovered by the Contractor through payment for 125 pe rcent of the Bid Quantity at the Contract Unit Price.

7-3.5.3 Decreases of More Than 25 Percent: DELETE in its entirety and SUBSTITUTE with the following:

Should the actual quantity of an item of work covered by a Contract Unit Price and constructed in conformance with the Plans and Specifications be less than 75 percent of the Bid quantity, an adjustment in payment will not be made unless so requested in writing by the Contractor. If the Contractor so requests, payment for the quantity less than 75 perc ent of the Bid quantity will be made on the basis of an adjustment in the Contract Unit Price as follows:

Quantity of Work Performed Contract Unit Price Adjustment Up to and including 75% No Adjustment
50% through 74.99% + 5% Increase
25% through 49.99% + 10% Increase
Less Than 25% + 10% Increase or by Mutual Agreement

Payment for the quantity less than 25 percent of the Bid quantity will be made on the basis of a maximum of a 10% increase in the Contract Unit Price, or at the option of the Engineer on the basis of Extra Work; however, in no case will payment be less than would be made for the actual quantity at the Contract Unit Price, nor more than would be made for 75 percent of the Bid quantity at the Contract Unit Price.

7-3.6 Stipulated Unit Prices: DELETE in its entirety and SUBSTITUTE with the following:

At the option of the Engineer, and with agreement by the Contractor, payment for additional work not covered by a Contract Unit Price and not identified in the Plans and Specifications, may be made by Stipulated Unit Prices in lieu of Section 2-8 “Extra Work.” Stipulated Unit Prices for additional work shall have a direct comparison to similar work covered by a Contract Unit Price and constructed in conformance with the Plans and Specifications.

ADD: 7 -3.9 Field Orders. The Bid Schedule(s) may include an allowance for Field Orders identified with a bid item described as “Field Orders.” A Field Order is a written order by the Engineer to compensate the Contractor for items of work in accordance with 2-8, “EXTRA WORK,” or 2-9, “CHANGED CONDITIONS.” A Field Order does not involve change in the Contract Price or Contract Time or the intent of the Contract.

Field Order items of work may be paid for in accordance with this section provided that the cumulative total of Field Orders does not exceed the allowance identified in the “Field Order” Bid Item.

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Construction Contract Price Max. Amount for Each Field Order Less than $100,001 $2,500
$750,001 to $500,000 $5,000
$500,001 to $1,000,000 $10,000
Greater than $1,000 $25,000

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ADD: 7-3.10 Phased Funding Compensation.

For phased funded contracts in accordance with 6-1.4, “Phased Funding”:

Total compensation to be paid to the Contractor for the Work performed under each phase of the Contract may not exceed the amount specified for each phase in the final Phased Funding Schedule Agreement unless specified otherwise by a Change Order.

Identify the Work to be performed as part of the first phase in the Pre-Award Schedule. The Work elemen ts to be completed as part of each phase shall be functional a nd complete for the intended purpose in the event the subsequent phases are not authorized by the City.

The subsequent phases to the first phase are subject to funding availability by the City. Do not start subsequent phases without prior written authorization from the Engineer.

Fund availability for the performance of Work is described in the first, subsequent, and final Phased Funding Schedule
Agreements. The amount of funds available at award shall be sufficient for the performance of the first phase only. When additional funds are available for the full requirements of the next funding phase, the Engineer shall notify the Contractor.

The City may modify the amount of funds as available for Contract performance in subsequent and final Phase Funding Schedule Agreements via Change Order.

The City is not obligated to provide the Contractor any amount over what has been specified in the first, subsequent, or final Phased Funding Schedule Agreements for Contract
performance and as authorized by the City Council.

The Contractor is not obligated to incur costs for the performance of the Work for any funding phase after the first funding phase until written notification is received from the Engineer of an increase in the availability of funds. If notified, the Contractor’s obligation shall increase only to the extent the Contract performance is required for the additional funding phase for which funds are made available.

If the Contract is terminated in accordance with 6 -8,
“TERMINATION OF THE CONTRACT FOR CONVENIEN CE”
the settlement proposal shall be determined pursuant to the procedures established in that section for Work under specific funding phases for which funds have been made available. If the Contract is terminated for default, the City’s rights under the Contract shall apply to the entire multi-phase requirements.

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A notification to the Contractor of an increase or decrease in the funds available for the performance of the Contract under another clause (an “option” or “changes” clause) shall not constitute the notification contemplated in subsection “a” above.

7-4.1 General. ADD the following:

With every request for payment, submit to the Engineer a breakdown showing monthly and cumulative amounts of the Work performed under the Change Order by the Contract or and its Subcontractors. The reporting format shall be approved by the Engineer.

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7-4.2.1 Labor. ADD the following:

The City reserves the right to request the following:

a) Financial records of salaries for an employee.
b) Wage rates.
c) Bonuses and deductions.

Use a reporting form approved by the Engineer to list the labor rates of the Contractor’s personnel and Subcontractors who Work on this Project. Make the initial submittal prior to NTP. The payment for payroll records is included in the Contract Price.

If the Contractor’s proposal for Extra Work is based upon services and Work to be performed outside Normal Working Hours, the labor charges associated with the Extra Work shall consist of straight time wages and burdens plus the appropriate overtime or shift premium with no additional burdens, such as fringe benefits, on the premium portion.

7-4.2.3 Tool and Equipment Rental. DELETE in its entirety and SUBSTITUTE with the following:

No payment shall be made for the use of tools which have a replacement value of $200 or less.

Regardless of ownership, the rates to be used in determining equipment rental costs shall not exceed those listed in the latest edition of the Caltrans publication entitled "Labor Surcharge and Equipment Rental Rates" preceding the date the Work is accomplished. The latest edition of the Caltrans publication is available at www.dot.ca.gov.

The Contractor shall be entitled to a rental rate adjustment when it can be substantiated that the rental rates prevailing locally exceed the published rates by more than 15 %. For equipment not listed in the Caltrans publication, rental rates shall not exceed listed rates prevailing locally at equipment rental agencies or distributors at the time the Work is performed.

Whenever possible, Extra Work shall be accomplished using equipment available on Site or owned by the Contractor. If a specific piece of equipment shall be rented to be used exclusively for the Extra Work, the rental rate shall be the invoiced rate.

If rental equipment is not being used and could be returned to its rental source rather than holding it at the Work site, return the equipment at no expense to the City unless it is kept at the Work Site at the Contractor’s expense.

The reported rental time for equipment already at the Work site shall be the duration of its use on the Extra Work. This time shall begin when equipment is first used on Extra Work, plus the time required to move it from its previous site and back or from its previous site to a closer site.

All equipment shall be acceptable to the Engineer, in good working condition, and suitable for the purpose for which it is to be used.

7-4.3 Markup. DELETE in its entirety and SUBSTITUTE with the following:

Work paid under Allowance Bid items for permits, governmental fees, or direct payments specified in the Contract Documents shall not be subject to any markups.

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The allowance for overhead and profit shall not exceed the values listed in the table below:

Component Overhead Profit
Labor 10% 10%
Material 10% 5%
Equipment 10% 5%

Markups for materials shall be applied to the actual cost of the material before applying the sales tax.

When a Subcontractor is performing Extra Work, the allowance for overhead and profit shall be applied to the labor, materials, and equipment costs of the Subcontractor as follows:

Regardless of the number of Subcontractor tasks for Extra Work, the Contractor may only apply 10% for the first $50,000 of the Subc ontractor’s portion of accumulated total cost.

If the accumulated costs of single or subsequent tasks exceed the $50,000 threshold, the Contractor shall instead only apply 5% to any amounts in excess of the $50,000.

The Contractor shall not apply 10% to an y costs after the first $50,000 of accumulated total costs from performing Extra Work.

Regardless of the number of hierarchical tiers of Subcontractors, the Contractor may only markup a Subcontractor’s Work once.

ADD: 7.4.3. 1 Disallowance of Entitlement. The Contractor shall not be entitled to any adjustment in the Contract Price or Times if:

The Contractor knew of the existence of such conditions at the time the Contractor made a final commitment to the City in respect to Contract Price and Contract Times by the submission of a Bid or becoming bound under a negotiated contract; or

The existence of such condition could reasonably have been discovered or revealed as a result of any record search, examination, investigation, exploration, test or study of the Site and contiguous areas suggested or required by the Bidding Documents.

- END OF SECTION -
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SECTION 8 - FACILITIES FOR AGENCY PERSONNEL

For this contract, the provision of Section 8 of the Standard Specifications shall not apply.

- END OF SECTION –
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EXHIBIT “B”

SCOPE OF WORK

1.1 Background:

A. P alm Springs is a small city facing a significant homeless population. Short -term, shelters, are a short -term response that result in short term solutions. An effort to find a long- term solution, which is a stable, permanent home, demands a strategic response. Once the homeless are stabilized with a roof over their head and the supportive services they need, the outcomes are dramatically positive.

B. The City considered several sites throughout the City and selected 3589 McCarthy Road to house the Navigation Center. It is 3.64 acres and includes three standing buildings, totaling 46,000 square feet. The City will not need to build required structures from the ground up, saving critical time and money. The land’s large existing pad also creates the opportunity to build 80 units of modular housing with each unit having required beds, windows, bathrooms and privacy. A large commercial kitchen will also feed only the residents.

C. A substantial amount of funding has recently been made available by the Federal and State governments for homelessness assistance. The HomeKey program, offered by the State of California Housing and Community Development Department (“HCD”), has allocated $3.75 billion for projects to rapidly (construction completion within 12 months) create housing by purchasing hotels, motels, and other buildings.

D. In order to fast track the project, the City will now bring on a contractor (“Contractor”) to work under the Construction Manager At Risk projec t delivery method. This method will allow the Contractor to be engaged early on to advise the City and City’s design team with their construction expertise.

1.2 Scope:

A. T he Contractor shall develop the site to create the Navigation Center, which includes remodeling two existing buildings and adding 80 modular housing units on a slab on grade at the site. The project will include, but is not limited to, the following infrastructure work, grading, drainage, sewer, water, paving, hardscape, landscape, internal and external building demolition, irrigation, building remodeling, electrical, mechanical, and plumbing.

B. The Navigation Center is located at 3589 McCarthy Road in Palm Springs, California. The site contains three current structures, including a 22,200 sq. ft. warehouse (Building C), one 7,240 sq. ft support building (Building B), and an additional 10,162 sq. ft. support building (Building A).

C. The preliminary site plan and conceptual building modifications are included as Attachment A.

D. Modifications to Building A and Building B will include full renovations to the existi ng warehouses, new interior partitions, new finishes throughout, new insulation, new waterproofing, and new electrical, mechanical, plumbing, low voltage, and fire sprinkler upgrades. Building C is not included in the scope of work. The Navigation Center includes, but is not limited to, the following, which are subject to change:

1. Building A (10,162 sq. ft.)
a. Kitchen management office
b. Dining space for residents
c. Computer room
d. Laundry facility
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e. Medical/dental clinic

2. Building B (7,240 sq. ft.)
a. Social services offices
b. Workforce development/training rooms

3. Site Work and new housing units
a. Site demolition work
b. New site grading scope to include drainage, ADA accessibility, and site retaining walls
c. New site wet utilities to include domestic water, fire water, sanitary sewer, storm drain
d. Upgrade existing electrical service from 2000A 208/120V 3Ph system to 4000Amp 208/120V 3Ph system. This will be a long lead critical path item and must be coordinated with Southern California Edison
e. New gas service
f. Stormwater mitigation scope includes a Water Quality Management Plan (WQMP) to include Stormwater Best Management Practices (BMP) and Stormwater Pollution Prevention Plan (SWPPP)
g. New paving and hardscape
h. New landscape and irrigation systems
i. Development of 80 interim housing units utilizing modular structures to include kitchenettes, restroom facilities, new electrical, mechanical, plumbing, low voltage, and fire sprinkler services.
j. The above units will include at least 5 family units and 10 dedicated transitional age youth (TAY) units.
k. Dog run/kennel
l. Playground
m. General parking with 50% shade
E. The Contractor will perform the work in two phases as follows:

1. The first phase is the preconstruction phase. During this phase, the Contractor will work as part of the team to review the Navigation Center design, provide constructability reviews, construction estimates and advise on long lead items.

Additionally, the architect will develop trade bid packages that the Contractor will bid out to fast track the construction. The Contractor will help guide the architect in the development of the packages to ensure the work continues moving forward to meet the aggressive timelines. The Contractor will be responsible for ensuring the packages are complete to bid. The Contractor will receive sealed bids and the Contractor may include minimum qualification in the bid package to ensure the trade contractors have the proper experience to construct the project. A concurrence letter will be provided by the Contractor to the City listing the bids rece ived and the recommended subcontractors for the work. Award will be based on the lowest responsive responsible bidder unless circumstances justify allowing the Contractor to award the contracts differently. Upon receipt of the concurrence letter, the City will review the letter and, if in agreement, will allow the Contractor to award the contract.

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2. The second phase is the construction phase. Once the first trade package is awarded, the construction phase will begin, however, there may be overlap between the preconstruction phase and construction phase. In this phase, the Contractor will oversee the sub trade work and complete the work correctly, safely, with a high level of quality, and within the schedule and cost of the GMP. Contractor may not self -perform any subtrade work unless preapproved by the City and as outlined in the scope of work.

F. Pre-Construction Services: The Contractor’s shall provide perform the following preconstruction phase services:

1. Preliminary Project Evaluation:
a. The Contractor should provide a preliminary evaluation of the project and construction budget requirements, including a review of all background data made available by the City as to requirements, criteria, priorities, feasibility, and physical and financial limitations for the project.
b. The Contractor should become thoroughly familiar with the site and conditions surrounding the site and document the conditions observed on the site with photos or videos as may be required by the City. The Contractor shall review site data with the City and the City’s design team. Site data may include items such as access, location of services, security, surveys, soils information, and other relevant information.
c. The Contractor should properly identify by potholing and locate all utilities, services and other underground facilities that may impact the project. d. The Contractor should participate in a kick -off meeting with the project team to establish rapport and develop a common understanding of the goals of the project.

2. Project Estimates:
a. The Contractor should provide cost modeling, initial project estimates, project estimate updates and construction document estimates. These items are further described below:
i. Cost Model: The Contractor shall prepare a cost model which explains the methodology being used for estimating program costs and provides a copy of the cost model to the City within 30 days from the notice to proceed. The cost model should serve as a basis for all estimates for the program including the development of proposed Guaranteed Maximum Price (GMP) as defined in Section 12.
ii. Initial Project Estimate: The Contractor should prepare an estimate for the project within 30 days after notice to proceed. The initial estimate will serve as the baseline for evaluating project changes and comparing options to the original scope of work.
iii. Project Estimate Updates: The Contractor should prepare several levels of budgeting, estimating and pricing appropriate to established levels of design, and should continue to refine cost estimates as the throughout the pre- construction phase with input provided to the City on clarifications needed to reduce allowances or contingencies. The Contractor should continue to Item 1E - Page 134
review and refi ne the project estimate as construction documents are prepared for the project and advise the City if the project estimate ever exceeds the planned budget or project completion exceeds the planned schedule.
iv. Construction Document Estimates: When the project plans and specifications are complete, the Contractor should prepa re and submit, at the time of GMP negotiation, a cost estimate on the basis of a quantitative material take-off with current local costs for each City -established bid group and by subcontract package. With these updated estimates, the Contractor will submit a report of line item variances from the previous estimate with information describing the basis for each variance. Also, formal constructability reviews with the City should be scheduled at indicated completion milestones prior to bidding trade subcontract packages.

3. Project Schedules:
a. The Contractor must provide baseline and monthly progress schedules monthly to track the work progress and provide early reporting to the City of any issues that need to be addressed that could affect the project completi on date. More specifically the schedules shall be prepared as follows:
i. Baseline Schedule: The Contractor shall prepare a baseline schedule of the project and provide the schedule to the City within 30 days from the notice to proceed. The initial baseline schedule will provide a preliminary schedule to complete the project and must be developed in the critical path format. ii. Progress Schedules: With each monthly billing, the Contractor shall prepare and provide an updated progress to the baseline schedule showing any changes to the schedule since the preceding month and plans to mitigate any delays to the schedule.
iii. Final As Built Schedule: The Contractor shall submit at project closeout a final as built schedule depicting how the Contractor constructed the j ob including all changes to the baseline schedule throughout the duration of the project.

4. Constructability Reviews:
a. The Contractor will provide constructability reviews of the design through the completion of the final plans and specifications, by reviewing and advising on the in-progress design development documents, including the evolving architectural, civil, mechanical, plumbing, electrical, and structural plans and specifications. The Contractor should analyze the design for constructability, including construction feasibility and practicability, along with alternative materials and methods to, among other things, accelerate the project schedule. The primary purpose of the constructability reviews is to validate the appropriateness of the project approach and optimize project cost and schedule for the project.

b. The Contractor shall assist and advise the City in exploring alternative approaches, materials, and systems, including value engineering, to minimize total construction and operating costs, including comparisons of initial cost vs. life cycle costs.

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c. The Contractor shall assist the City in preparing comparative life -cycle studies of ownership, operating, and maintenance costs for each schematic design alternative considering costs relating to efficiency, usable life, maintenance, energy and operation of the Navigation Center, as appropriate.

d. The Contractor should continuously monitor impacts of the proposed design on the project schedule and recommend adjustments in the design documents or construction bid packages to ensure completion of the project in the most expeditious timeline.

e. The Contractor shall advise and assist the City in dealing appropriately with all applicable laws and regulations, local utilities, and other related infrastruct ure issues, as necessary.

f. The Contractor will review the design and phasing plans for the project with the City’s design team and make recommendations to the team with respect to phasing the work to allow initiation of construction work while the design for the project is completed. With City authorization, the Contractor shall award trade subcontracts prior to the City’s design team completed the plans and specifications for the project.
g. When evaluating such phasing plans for early completion of the pro ject, the Contractor must take into consideration factors such as natural and practical lines of severability, sequencing effectiveness, access and availability constraints, total time fo r completion, construction market conditions, availability of labor and materials, community relations and other factors pertinent to reducing construction time and cost by overlapping design and construction.

5. Review of Reports, Studies and Data:

Within a specified time after receiving the Construction Package Documents for the project, the Contractor should perform a specific review focused on construction feasibility and practicability and apparent defects as outlined in paragraph 4 above.

Promptly afte r completion of the review, the Contractor should submit to the City a written report addressing previously submitted suggestions or recommendations and making additional suggestions or recommendations, focusing on the separation of work into separate and discrete segments, use of alternative materials, and consideration of optional phasing or scheduling of the work.

6. Procurement Planning:

The Contractor must perform a review of the design focused on the availability of construction materials necessary to complete the project. This includes identifying alternative material sources and whether they will affect delivery schedules and project costs.

7. Long Lead Procurement:
a. The Contractor must continually review the design to identify long lead procurement items (manufactured/fabricated items, equipment, materials and supplies) for the Item 1E - Page 136
project. The Contractor shall notify the City of such items and the anticipated procurement schedule. Long lead items should be identified in the bid documents and be made a part of all affected subcontracts, as well as the project schedule. b. The Contractor will arrange for procurement of long- lead items, as authorized by the City.
c. The Contractor shall track progress of the respective subcontractors or suppliers that are manufact uring or fabricating these long lead items and advise the City of any problems or possible delays in delivery. If the City partially or fully pays for these items prior to arriving on the project site, the Contractor shall require the supplier or manufacturer to provide evidence of completion and warehousing acceptable to the City.
d. City reserves the right to procure any and all the materials and equipment required for the project.

8. Subcontractor Outreach:
a. The Contractor will continually monitor the constr uction market to identify factors that may affect project costs and schedule for completion. b. As various bid scopes are prepared for bidding, the Contractor shall submit to the City a list of potential bidders.
c. The Contractor shall stimulate bidder interest in the local, regional and national marketplace in order to identify and encourage bidding competition. d. The Contractor will subcontract all portions of the project, with the exception of the preconstruction services and the general conditions, to manage the work as required by the City.
e. The Contractor should prepare all non- technical bid documents for procurement of long lead items, materials and services, and subcontractors. f. The Contractor, unless waived by the City, conducts conferences with all prospective subcontractors, for the purpose of reviewing and approving awards.

For questions requiring an interpretation of the documents or otherwise indicating a need for clarification or correction, the Contractor should submit them to the City, and upon r eceiving clarification or correction, should prepare and issue an addendum to the document to all of the prospective subcontractors. g. Once a subcontractor is selected the Contractor shall submit a concurrence letter with a bid tabulation attached demonstrating market competition. If for any reason the lowest responsive res ponsible bidder is not being recommended for selection complete, justification must be provided to the City for consideration.

9. Coordination and Interaction with Subcontractors:
a. The Contractor should review the design documents for clarity, consistency and coordination of documentation, and identify any apparent ambiguities or defects in the design, plans and specifications or other documents, use of inappropriate or restrictive requirements, overlap with any separate construction trade contracts, or omissions in the bid documents.

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b. The Contractor should ensure that all relevant construction requirements are included in the separate contracts for procurement of long lead items and in all construction subcontracts.
c. The Contractor should ensure that the scopes for all construction subcontracts do not overlap or duplicate work and are sequenced to maintain completion of all work on schedule. The Contractor should verify that the bid scope for each subcontract clearly identifies the work included in that subcontract, as well as its schedule for start and completion and its relationship to other subcontractors. d. If the Contractor identifies during the bid process any scope that was left out that would not allow for a fully completion of that trade package, the Contractor shall notify the City and request that an allowance be allowed for the missing items to be included in the subcontract to complete the missing scope. A cost estimate supporting the allowance amount shall be provided by the Contactor for review.

10. Minimum Qualifications of Subcontractors:
a. The Contractor, may establish objective minimum qualifications in each bid package to make sure the subcontractors are qualified to complete the work. Such minimum requirements can include but are not limited to: Financial stability, past performance, bonding capacity, safety record, and qualified management and key project personnel.

b. At the discretion of the Contractor, each potential subcontrac tor may be required to submit a completed experience questionnaire and audited financial information or show proof of qualifications with the bid document.

c. The Contractor shall advertise all anticipated subcontract work for the purpose of publicizing available work using public means (e.g. newspaper) and public websites or in trade publications.

11. Subcontractor Selection:
a. The Contractor shall hold the subcontracts for all work it solicits. The subcontracts should specifically state that no contractual relationship will be created with the City.
b. The Contractor is not an agent of the City with respect to any subcontractor. The Contractor shall provide a copy of all proposed subcontracts, including general supplementary conditions to the City.
c. The City requires a transparent public bidding and award process. d. The Contractor shall award subcontracts to the lowest responsive and responsible bidders after the bids are reviewed by the Contractor unless otherwise approved by the City.

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e. The City will provide the procurement process to the Contractor for selecting bidders. The Contractor shall schedule pre -bid conferences for subcontractors, material suppliers, equipment suppliers and others interested in the project. f. The Contractor shall analyze and evaluate the results of the various bids and their relationships to budgeted and estimated amounts, and prepare a bid tabulation analysis and other supporting data as necessary to document the comparison of the various bids, their responsiveness to the desired scope of work, and the basis for the Contractor’s selection.
g. The Contractor and the City should review together the bid results and concur before announcing a subcontract award.

12. Guaranteed Maximum Price (GMP)
a. The Pre-Construction Phase Fee including the Overhead and Profit makes up the initial cost of the P roject along with the initial GMP (IGMP) which will be based on the City’s estimate for construction and will evolve as the project design progresses and subtrades are awarded subcontracts to begin the work. b. The Contractor shall develop the GMP during the Pre -Construction phase and present it to the City for review and negotiation. It should be based on information collected and analyzed during the Pre- Construction phase and justified in part by market conditions, material costs, subcontractor interest, and scope of work estimates.
c. The items to be included in the GMP are the Pre- Construction Phase Fee, Construction Phase Fee, Adjustments, Overhead and Profit, Direct Cost Items, Allowances, and Contingencies.
d. T he Contractor shall transfer the existing previously priced cost items including the Pre-Construction Phase Fee, the General Conditions and Overhead and profit amounts into the GMP. The GMP should identify the remaining balances of these line items.

13. Compensation:
a. Pre-Construction Phase Fee The Pre-Construction Phase Fee includes profit and overhead related to Pre -Construction Services which will become a fixed fee for Pre-Construction Services work. Also included as part of the preconstruction phase fee but line itemed out separately will be the cost of the premiums for all insurance and for all bonds specifically required for the project. Casualty Insurance (including general liability) should include a fixed amount. The bond premium for the Contractor should include a amount. Pre -Construction Services for a Pr oject should include all services relating to constructability review through 100% Construction Documents for the project and other services the City may specify (e.g. estimates, schedules, bidder interest, etc.). The City could pay the Pre- Construction Phase Fee in installments at the completion of specified Preconstruction Phase Services or deliverables. Alternatively, the City may pay the Pre-Construction Phase Fee by lump sum in two or more equal payments, where the first payment is at the delivery of the cost model, other payments occur at the delivery of intermediate milestones, and the last payment takes place at the time of GMP acceptance.

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b. Construction Phase Fee The Construction Phase Fee which is the primary part of the GMP includes a number of cost items. The first is the General Conditions to set up and run the jobsite. All of the trade costs that will come from bidding out packages of work, any allowances built in to complete the work that are used in the course of the work, overhead and profit on the work and any contingencies held for the work. The components of these fees are better defined as follows:
i. General Conditions The Contractor's compensation for General Conditions work or services performed during the Construction Services Phase should be a fixed lump sum amount negotiated as part of the project GMP, based on a detailed schedule of General Conditions costs and services provided by the Contractor. The items include salaries or other compensation Contractor’s employees at its principal office and branch offices (for staff assigned to the project), and management employees at the project job site. Job office costs including job site trailers, utilities, supplies, such as paper, pencils, paper clips, file folders, staples, etc., computers and phones, and janitorial supplies used in connection with the project and any other costs related to running the jobsite should. Along with other direct cost items such as:
 Wages paid for labor not included in the Construction Management Fee, but that is in the direct employ of the Contractor in the performance of the construction work for the project, times a fixed multiplier for salaried and hourly staff to cover benefits, payroll taxes, and payroll insurance.  Cost of materials, supplies, equipment, and temporary facilities used but not consumed in the performance of the work and which will be provided to the City at the end of the project.
 Cost less salvage value on materials, supplies, equipment, and temporary facilities used but not consumed and which remains the property of the Contractor.
 Rental charges consistent with those prevailing in the area on all necessary machinery and equipment, exclusive of hand tools used on the project, regardless of source. Rental charges include installation, repairs and replacements, dismantling, removal, costs of lubrication, transportation and delivery costs, which are used to support performance of the work.  Laydown area and field office: The Contractor shall be responsible for securing its own laydown area and field office within the site.  Sales, use, gross receipts or similar taxes paid by the Contractor or its subcontractors related t o allowable direct costs for the project imposed by any governmental authority.
 The cost of corrective work directed and authorized by the City with the exception of the cost of any corrective work made necessary because of defective workmanship or other causes created by the Contractor or its subcontractors or suppliers should not be paid by the City. Nor should the City pay the Contractor for any costs to correct defective workmanship or to correct any work not in conformance with the Plans and Specifications or to Item 1E - Page 140
meet applicable construction- related codes or to correct any deficiency or damage caused by negligent acts by the Contractor.
 Costs for trash and debris control and removal from the project site.  Costs incurred due to an emergency affecting the safety of persons and property.
 Legal costs reasonably and properly resulting from prosecution of the project for the City, including handling claims for changes by subcontractors and vendors, subject to the following limitations: the City approved incurring such costs in advance, which approval should not be unreasonably denied; and the legal costs and claims were not incurred as result of the Contractor's own negligence or misconduct.
 Costs for security services and temporary fencing for the project.  Costs for efficient logistical control of the project site, including horizontal and vertical transportation of materials and staff, adequate storage, temporary roads and parking for the project.
 Costs for any project items not otherwise included in this list but should be provided by the Contractor as required to complete the work.  Cost of providing one set of as -constructed documents to the City.

Information required on these as -constructed documents should be described in the GMP Contract.
 The costs of data processing (information technology support) for the project.

The City retains the right to review the need and effectiveness of any employee assigned by the Contractor at- Risk Contractor or any costs and services included in the Construction Phase Fee, and renegotiate the fee if the City determines that the employee, costs, or services are not necessary for the successful completion of the work.
ii. Subcontracted Trade Work Payments due to subcontractors from the Contractor or made by the Contractor to subcontractors for work performed in accordance with subcontracts issued by the Contractor. Cost, including transportation and maintenance, of all materials, supplies, equipment, temporary facilities, and hand tools not owned by the workmen, which are employed or consumed in the performance of the work.
iii. Allowances and Contractor Contingency The Contractor will be allowed to build in allowances into trade packages for work that may be identified that is necessary to complete the scope of work. These allowances are not guarantees but will be used in the event the scope of work cannot be completed based on the trade package that was provided to the Contractor.

Any unused allowance funds remaining in a trade package that are not needed will be moved on the Contractor’s contingency. The Contractors contingency is to cover any Contractor related unforeseen conditions when performing the work on a package. The Contingencies are not guaranteed to the Contractor, and unused contingency will be returned to the City at the end of the project.

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Any allowance or contingency money that is allowed to be used will change ordered into the prime or subcontracts as approved by the City. iv. Overhead and Profit for Construction Phase overhead, and profit will be allowed as a percentage of the initial GMP and the City should pay these indirect fees in an amount proportional to approved expenditures for General Conditions and Subtrade costs known as Direct Cost Items. Once the GMP is set the overhead and profit will be set as a fixed fee. Any balance of the fixed fee for the Project should be paid upon substantial completion of the project.

14. Monthly Invoices:
a. The Contractor should submit to the City monthly invoices along with the cost reports required in the GMP Contract showing in detail all monies paid out, all releases of liens and waivers for subcontractors and suppliers who have been paid, and the amount of the Contractor's fees due for each monthly invoice for the project.
b. The Estimate and Request for Payment form should list individually, each instrument of change to the work in the GM P or Contingency, its approved value, the amount previously requested, the amount sought in the current request, the total value of completed work and, if requested by the City, the Estimate and Request for Payment form should, for each instrument of change to the work in the GMP or Contingency, be further detailed to provide a breakdown, by trade, of the values and requested amounts for each trade, for each change instrument. c. The Construction Phase Fee will be invoiced and paid monthly as agreed in the project GMP. The first monthly payment will become due 30 days following the acceptance of the GMP by the City and the final monthly payment should be paid only when construction of the project is completed and accepted by the City. If construction is authorized for only a part of the project, the Construction Phase Fee paid should be proportionate to the amount of work authorized by the City. The Contractor may invoice and the City may pay the Construction Phase Fee in monthly payments as agreed between the Contractor and the City as set forth in the project GMP. The first monthly payment should become due thirty days following the acceptance of the GMP and the final monthly payment should be paid upon final acceptance of the project.
d. The
City should withhold retainage on all payments at a rate specified in the GMP Contract and as established in the contract. Additional retainage should not be withheld on services or fees. The Contractor ’s Pre -Construction Services Fee, Construction Phase Fee (which includes General Conditions and Trade Costs which shall be itemized) and Overhead & Profit for the Project should be shown as separate line items on the Schedule of Contract Values for the project. e. Payment of the
Contractor at-Risk Contractor’s Overhead and Profit should be calculated based on approved invoiced amounts for General Conditions and Subtrade completed work and justification should be attached to the monthly invoice. The City should pay the Contractor after receipt of evidence of satisfactory performance that is in conformance with applicable GMP Contract provisions governing testing, inspection and acceptance.

Item 1E - Page 142
f. Final Payment Final payment consisting of the unpaid balance of the GMP for the project, retainage and the Contractor's fee should be due and payable upon substantial completion of the project. Final Payment should not relieve Contractor of any obligation under Contract warranty, guaranty and indemnification provisions and any other provisions that remain in effect after termination of the Contract.

Retainage will be paid and will be issued in the final payment after acceptance by the
City of the work on each Phase.
g. Payments for Materials and Equipment may be invoiced by the Contractor, and the City will pay for materials and equipment received on the project site or another location before being used during construction or incorporated into the work, if the equipment and materials are in conformance with the Contract requirements, are received, inventoried and stored properly, the City approves, accepts, and acquires title upon payment for them. The Contractor retains responsibility for the care, custody and control of these materials and equipment.

15. Buyout Process:
a. As bids are obtained a buyout report shall be created by the Contractor to track costs against the I GMP. If subcontract bids for project work come in below the applicable line item amounts in the project IGMP, the surpluses will be added to the Contractor’s Contingency for the project. If subcontractor bids for project work comes in above the applicable line item amounts in a project IGMP, the deficiencies should be subtracted from the Contractor’s Contingency for the project.

These cost accounting actions may increase the overall IGMP. b. Any increased costs to construct the project and incurred by the Contractor resulting from the City’s express written changes in plans, specifications or work should submitted to the City as a change request. The decision to make any changes, and to incur the costs from these changes, is within the authority of the City.
c. Any increased project costs incurred by the Contractor resulting from other actions of the City should be charged to the City’s Contingency, if these costs are deemed to be a responsibility of the City. If the City disagrees with the cost allocation, and the Contractor cannot secure written agreement that these costs are the City’s responsibility, the Contractor may submit documentation establishing responsibility for these costs in its claim for appeal of the City’s initial decision. Such costs should be deemed the responsibility of the City if the City subsequently agrees in writing to grant the claim and accept responsibility for the increased costs, or if the claim is granted and responsibility assigned to the City pursuant to the claim process. d. If the Contractor anticipates that such costs may be incurred, it should, if feasible, provide the City with sufficient advance notice (no less than 14 days), to allow the City a reasonable opportunity to avoid such costs. The City may increase the GMP in lieu of charging the cost to the City Contingency.

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16. Negotiation and Award of GMP
f. The Contractor shall refine the I GMP into a final GMP that will be set for the duration of the job once all bid packages have been bid out or when the Contractor is confident that the estimate remaining on the project will allow for the job to be completed successfully. The City will allow for adjus tments in the initial GMP for increases in the actual costs of the bid packages by the subtrades that could not have been anticipated the overhead and profit will be remain at the percentage priced with the initial GMP. The timing of negotiations for the GMP is flexible and may occur before 100% complete design. A decision on the timing will be made by the project team which includes the Contractor.

g. The Contractor shall propose a GMP amount to complete the project. The City has the option of accepting or rejecting the project GMP as presented by the Contractor and negotiated between the Contractor and the City. If the City accepts the GMP, the City will issue an acceptance notice to the Contractor.

h. If the negotiations of the GMP are unsuccessful, the Cit y will pay the Contractor any remaining undisputed Contractor Fee, and may proceed as follows:

i. Reject the GMP and direct the Contractor to investigate or develop for the City‘s approval, other value engineering options, and other areas of potential cost savings, and re-submit a new, reduced amount GMP proposal. This may, at the City’s option, include reduction in scope;
Or,
ii. Reject the GMP and take possession of all Contractor work product, then select a new Contractor for the project using Contractor at -Risk delivery, or advertise the project using design-bid-build delivery, or otherwise complete the project with other forces or take such action that the City may determine is in the public’s best interest.

17. The Contractor’s Construction Team and Lines of Authority:
a. The Contractor shall establish and maintain lines of authority for their personnel and should provide this definition to the City. This will ensure that information flow and issue identification and resolution involves the appropriate City staff other stakeholder personnel.
b. The Contractor should provide a Superintendent who has authority to represent the Contractor. Upon the City’s written request, the Contractor should give the City a written document describing the delegation of complete project authority to its Superintendent to act on behalf of and to bind the Contractor in all matters pertaining to the work.
c. The Contractor should establish and maintain lines of authority for its company and project personnel, and provide this definition to its Superintendent and to the City, its subcontractors, and any other stakeholders associated with the project.

Item 1E - Page 144
d. The Superintendent shall provide general direction for the work and manage the resources necessary to provide satisfactory progress of the various phases of the work, including satisfactory progress provided by subcontractors. The Superintendent will coordinate project activities and communicate with the City as appropriate for the successful completion of the work.

18. Quality Control The Contractor is responsible and accountable for the quality control of the work including quality control testing and inspection. The Contractor shall supervise the work of all subcontractors, reviewing construction means, methods, techniques, sequences and procedures to ensure that the work is performed in accordance with the Contract requirements.

19. Final Inspection The City should make a final inspection on all completed phases of the project with the Contractor.

20. Final Payment The Final Application for Payment should be accompanied by final releases of all waivers or liens from the Contractor and all subcontractors for work performed and services provided to the project.

21. Approval of Final Payment If the City, on the basis of observations and review of the work during construction, the final inspection and review of the final estimate and requisition for payment, as required by the GMP Contract, finds that the work has been completed in accordance with the GMP Contract, and that the Contractor has fulfilled all obligations under the GMP Contract, the City should approve the final payment to the Contractor.

22. Final Accounting Costs Final accounting of costs of the work should be provided by the Contractor in the form of a detailed cost report showing vendor, invoice number and date of invoice for all costs, all sorted by trade division cost code as is maintained in the Contractor accounting system. The City should require access to all accounting records at the Contractor’s place of business for review and reporting purposes by the City accountant.

23. Close-Out and Audit The City should require a final external audit of the project within a specified period of time. The Contractor should retain all project cost records for six years from the close out date of the project.

2.3 Prevailing Wages:

A. Certain labor categories under this project may be subject to prevailing wages as identified in the State of California Labor Code commencing at sections 1720 et seq. and 1770 et seq. If applicable, employees working in these categories at the site must be paid not less than the basic hourly rates of pay and fringe benefits established by the Califor nia Department of Industrial Relations (“DIR”). Copies of the State of California wage schedules are available for review at www.dir.ca.gov/dlsr/. In addition, a copy of the prevailing rate of per diem wages will be made available at City Hall upon request. The Contractor shall post a copy of the prevailing wage rates at each job site. It shall be mandatory upon the selected Contractor, and upon any subcontractors, to comply with all Labor Code provisions, which include but are not limited to the payment of not less than the said specified prevailing wage rates to all workers employed by them in the execution of the Agreement, employment of apprentices, hours of labor and debarment of contractors and subcontractors.

Item 1E - Page 145
B. Pursuant to Labor Code sections 1725.5 and 1771.1, all contractors and subcontractors that wish to enter into a contract to perform public work must be registered with the DI R at the time of contract award. If awarded a contract, the Consultant and its subcontractors, of any tier, shall maintain active registration with the DIR for the duration of the project.

Notwithstanding the foregoing, the contractor registration requirements mandated by Labor Code Sections 1725.5 and 1771.1 shall not apply to work performed on a public works project that is exempt pursuant to the small project exemption specified in Labor Code Sections 1725.5 and 1771.1. The contract awarded pursuant to this RFP may also be subject to compliance monitoring and enforcement by the DIR.

1.4 Project Labor Agreement:

A. The Work is subject to the City’s Community Workforce Agreement dated August 31, 2021 (“CWA” or “Project Labor Agreement” or “PLA”), a copy of which is on file with the City, available upon request, and incorporated herein by reference as if fully set forth herein. The Contractor will be required to agree to the provisions set forth in the Agreement.

1.5 Federal Provisions:

A. The Project will be funded in whole or in part by the following funding source in addition to City funds: Coronavirus State and Local Fiscal Recovery Funds, a part of the American Rescue Plan Act (“APRA”). The Contractor shall comply with all state and federal requirements including, but not limited to, 2 C.F.R. Part 200 – Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards, which is expressly incorporated herein by reference, and the grant and federal provisions in the Agreement.

B. Additionally, shall be subject to 2 CFR § 200.321 and will take affirmative steps to assure that minority firms, women’s business enterprises, and labor surplus area firms are used when possible and will not be discriminated against on the grounds of race, color, religious creed, sex, or national origin in consideration for an award. Affirmative steps shall include:

1. Placing qualified small and minority businesses and women's business enterprises on solicitation lists;

2. Assuring that small and minority businesses, and women's business enterprises are solicited whenever they are potential sources;

3. Dividing total requirements, when economically feasible, into smaller tasks or quantities to permit maximum participation by small and minority business, and women's business enterprises;

4. Establishing delivery schedules, where the requirement permits, which encourage participation by small and minority business, and women's business enterprises; and

5. Using the services/assistance of the Small Business Administration (SBA), and the Minority Business Development Agency (MBDA) of the Department of Commerce.

1.6 Schedule/Period of Performance:

The Contractor shall complete work in nine months from issuance of a notice to pr oceed. The projected opening of the Navigation Center is planned for July 2023. The Contractor shall complete a baseline project schedule within the first 10 days of the project for approval. The Contractor shall keep the schedule updated each month and submit updates with the requests for payment.

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1.7 Compensation:

The Guaranteed Maximum Price will be broken down into a schedule of values and work will be compensated based on a percentage of the work completed. The GMP for the construction phase may be adjusted if there are unusual circumstances that are beyond the Contractors control or if the City chooses to expedite materials or subcontract work. Initial construct ion contract pricing will be based on an estimate provided by the City for the work and will be refined as the bid packages are awarded to the subtrades at such time s uch pricing will include all labor, expenses, and incidentals to complete the work outlined in the contract scope. The Contractor may request monthly payments based on the percentage of work completed for the previous month as long as a detailed schedule of values and progress report is provided to support the amount requested which includes breakdowns for the subtrades also. No additional compensation will be due by the City unless the contract is modified for additional work requested by the City.

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EXHIBIT “C”

PRICING

F. Cost Proposal
ATTACHMENT "F"

COST PROPOSAL
REQUEST FOR PROPOSAL (RFP 02-23)
Updated: 9/27/22

NAVIGATION CENTER CONSTRUCTION MANAGER AT RISK SERVICES

THIS FORM MUST BE COMPLETED AND SUBMITTED WITH THE TECHNICAL PROPOSAL ITEM DESCRIPTION Quantity Unrt of Unit Cost or SUBTOTAL Measure Percentage
Preconstruction Services Fee
1 Bonds $9,000,000 Percentage 0.7% 63 000
2 Preconstruction Services Lumpsum 197 635'
3 O verhead and Profit as a Percentage 5% 9,882 percentage of Preconstruction Services
Subtotal Preconstruction Services 270,517
Construction Services Fee
4 Initial City Estimate IGMP 9,000 ,000
5 General Conditions (Prime) 9 Months 65,389' 588,501
Subtotal IGMP and GCs
6 CMAR Fee (Overhead and Percentage 5% 450,000 Profit as a percentage of Construction Services
(applied to subtotal above))
Subtotal Construction Services 10 038 501
Total (Preconstruction Services+ Construction Services) 10 309 018 'Inclusions listed on the following page
Certified by: Dayne Brassard, Presid ent and CEO
Firm Name: Tilden -Cod Constructors Inc.

DIR No: 1000000518
Signature of Authorized Person: --Ca'--~"'------'9-:'-'-~-'----'-----''---------- Printed Name: Dayne Brassard
Title: President and CEO
Date: Se t embe r 27, 2022
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