Section 00500
Contract
THIS CONSTRUCTION CONTRACT FY 2024 AS-NEEDED ASPHALT PAVEMENT REPAIRS, PROJECT NO. 24306 (“Contract”) is made this _____ day of _________, 2024, in the County of Orange, State of California, by and between the City of San Clemente hereinafter called City, and L.C. Paving & Sealing, Inc., a California corporation, hereinafter called Contractor. City and the Contractor for the considerations stated herein agree as follows:
SCOPE OF WORK. The Contractor shall perform all Work within the time stipulated the contract and shall provide all labor, materials, equipment, tools, utility services, and transportation to complete all of the Work required in strict compliance with the Contract Documents as specified in Article 5 below for the following Project:
FY 2024 AS-NEEDED ASPHALT PAVEMENT REPAIRS, Project No. 24306 The Contractor and its surety shall be liable to City for any damages arising as a result of the Contractor’s failure to comply with this obligation.
TIME FOR COMPLETION. The Work shall be commenced on the date stated in City’s Notice to Proceed. The Contractor is required to commence each project within ten (10) working days of receiving a work request for specific pavement repairs from the City. The Contractor shall complete all Work required by the Contract Documents within the number of working days from the date specified in the written Notice to Proceed for each project. By its signature hereunder, Contractor agrees the time for completion set forth above is adequate and reasonable to complete the Work.
CONTRACT PRICE. City shall pay to the Contractor as full compensation for the performance of the Contract, subject to any additions or deductions as provided in the Contract Documents, and including all applicable taxes and costs, the sum listed on each Notice to Proceed, which shall be based on the unit prices contained in the Contractor’s proposal. Total compensation under this Contract shall not to exceed Five hundred fifty thousand Dollars ($550,000) per fiscal year (July 1st to June 30th) for the initial one year contract term, with an option to renew for up to three (3) additional one-year terms exercisable at the discretion of the City Manager or his designee. The City retains the right to exercise the optional renewal(s) at its sole and absolute discretion. Option year pricing may be negotiated by the Contractor upon written request at least ninety (90) days before the end of the then current term. Any unit price rate increase shall not exceed the percentage of change in the United States Bureau of Labor Statistics (BLS) Consumer Price Index “All Urban Consumers for Los Angeles-Riverside-Orange County, California (CPI-U)” not seasonally adjusted, for the most recent twelve months for which statistics are available. Renewal term(s) shall only be effective upon the City exercising its option in writing. Any price adjustments shall not be effective until execution of an amendment to the Contract by both parties. Payment shall be made as set forth in the General Conditions.
At any time during the term of the Contract, City may, pursuant to the terms and provisions of the Contract Documents, request that the Contractor perform additional work. Contractor shall not perform, nor be compensated for, additional work without prior written authorization from the City pursuant to the terms and provisions of the Contract Documents. Additional work that would cause total compensation to exceed Five hundred fifty thousand Dollars ($550,000) per fiscal year requires prior approval of City Council and shall not be authorized without such prior approval.
LIQUIDATED DAMAGES/EARLY COMPLETION INCENTIVE. In accordance with Government Code section 53069.85, it is agreed that the Contractor will pay City the sum of $500 for each and every calendar day of delay beyond the time prescribed in the Contract Documents for finishing the Work, as Liquidated Damages and not as a penalty or forfeiture. In the event that Liquidated Damages are not paid, the Contractor agrees City may deduct that amount from any money due or that may become due the Contractor under the Contract. This Article does not exclude recovery of other damages specified in the Contract Documents.
COMPONENT PARTS OF THE CONTRACT. The “Contract Documents” include the following:
Notice Inviting Bids
Instructions to Bidders
Bid Form
Contractor’s Certificate Regarding Workers’ Compensation Bid Bond
Designation of Subcontractors
Information Required of Bidders
Non-Collusion Declaration form
Iran Contracting Act Certification
Public Works Contractor Registration Certification
Contract
Performance Bond
Payment Bond
General Conditions
Special Conditions
Technical Specifications
Addenda
Plans and Drawings
Approved and fully executed change orders
Any other documents contained in or incorporated into the Contract The Contactor shall complete the Work in strict accordance with all of the Contract Documents.
All of the Contract Documents are intended to be complementary. Work required by one of the Contract Documents and not by others shall be done as if required by all. This Contract shall supersede any prior agreement of the parties.
PROVISIONS REQUIRED BY LAW. Each and every provision of law required to be included in these Contract Documents shall be deemed to be included in these Contract Documents. The Contractor shall comply with all requirements of applicable federal, state and local laws, rules and regulations, including, but not limited to, the provisions of the California Labor Code and California Public Contract Code which are applicable to this Project.
INDEMNIFICATION. Contractor shall provide indemnification as set forth in the General Conditions.
PREVAILING WAGES. Contractor shall be required to pay the prevailing rate of wages in accordance with the Labor Code which such rates shall be made available at City Clerk, City of San Clemente or may be obtained online at http//www.dir.ca.gov/dlsr. and which must be posted at the job site.
IN WITNESS WHEREOF, this Contract has been duly executed by the above-named parties, on
CITY OF SAN CLEMENTE
By:________________________________
Andy Hall, City Manager
ATTEST:
______________________________ Dated: ____________________, 2024 CITY CLERK of the City of
San Clemente, California
APPROVED AS TO FORM:
BURKE, WILLIAMS & SORENSEN, LLP
____________________________
Elizabeth A Mitchell, City Attorney
APPROVED AS TO AVAILABILITY
OF FUNDING:
________________________________
Finance Authorization
L.C. Paving & Sealing, Inc., a California corporation (“CONTRACTOR”) By:_____________________________
Jose Salinas, CEO, Secretary and CFO
Dated: __________________, 2024
END OF CONTRACT
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Attachment 3