Santa Maria City Council
September 15, 2026

RESOLUTION NO.

A RESOLUTION OF THE CITY COUNCIL

OF THE CITY OF SANTA MARIA, CALIFORNIA

AUTHORIZING THE DISPOSITION OF OLDER

TRANSIT VEHICLES AND EQUIPMENT

WHEREAS, the City of Santa Maria Regional Transit utilizes transit vehicles and equipment purchased primarily with Federal Transit Administration funding; and

WHEREAS, federal regulations require the City to dispose of transit assets in accordance with applicable Federal Transit Administration requirements once those assets reach the end of their useful life; and

WHEREAS, the Transit Division has identified certain vehicles and equipment that have met or exceeded their federally defined useful life and are no longer cost -effective to maintain; and

WHEREAS, disposal of these assets through public auction is an appropriate method to obtain fair market value while complying with federal requirements.

NOW, THEREFORE, IT IS HEREBY RESOLVED by the City Council of the City of Santa Maria, California, as follows:

SECTION 1. Authorize the disposition of older transit vehicles and equipment. The disposition of these transit vehicles shall be conducted in accordance with federal regulations, including but not limited to CFR 200, and the City's Transit Asset Management (TAM) Plan

SECTION 2. Authorize the City Manager or designee to sign sales agreements with a reputable auction company for the surplus of the transit vehicles listed in the Council Agenda Report.

SECTION 3. Approve t he proceeds from the sale of these transit vehicles be recorded in the Transit budget accounting system and used for future capital projects approved by the Federal Transit Administration (FTA). In the event that the sale of any of these vehicles exceeds the $5,000 threshold, the City shall reimburse FTA a proportionate amount based on FTA's participation in the original award.

SECTION 4. Authorize the Chief Deputy City Clerk to make minor changes herein to address clerical errors, so long as substantial con formance of the intent of this document is maintained. In doing so, the Chief Deputy City Clerk shall consult with the City Manager and City Attorney concerning any changes deemed necessary.

Attachment A

PASSED AND ADOPTED at a regular meeting of the City Council o f the City of Santa Maria, California, held this 15th day of September 2026.

ATTEST:

Chief Deputy City Clerk

Mayor

APPROVED AS TO FORM:
_______________________________
City Attorney
APPROVED AS TO CONTENT:
_______________________________
Department Director
_______________________________
City Manager

COUNCIL AGENDA REPORT

TO: Mayor and City Council

FROM: Brett Fulgoni, Director of Public Works

DATE: September 15, 2026

SUBJECT: Adoption of a Resolution approving a Sourcewell Job Order Contract Agreement with Newton Construction & Management for the City of Santa Maria Police Department IT Room HVAC Project

Description:

The City Council will consider adopting a Resolution approving a Job Order Contract Agreement with Newton Construction & Management for the City of Santa Maria Police Department IT Room HVAC Project.

Environmental Notice: The project qualifies for a Class 1 Categorical Exemption pursuant to Section 15301 – Existing facilities (operation, repair, maintenance, leasing, etc.) of the California Environmental Quality Act State Guidelines because the scope of work to be conducted is an existing public facility with negligible expansion of the existing uses.

RECOMMENDATION:

1. Adopt a Resolution approving a Sourcewell J ob Order Contract Work Order Agreement with Newton Construction & Management for the City of Santa Maria Police Department IT Room HVAC Project in the amount of $902,594;

2. Authorize the City Manager or designee to execute the agreement and any future amendments or change orders necessary, provided such amendments are within the scope of the project and consistent with the adopted project budget; and

3. Authorize the City Manager or designee to execute necessary project amendments to the agreement not to exceed the contingency amount.

BACKGROUND:

The Santa Maria Police Department (PD) I nformation Technology (IT) room, located at 1111 W. Betteravia Road, is served by aging heating, ventilating and air -conditioning (HVAC) units that are not specifically designed for IT environments and do not provide sufficient airflow, cooling, or expansion capacity to adequately support the room's operational needs. The City requested Newton Construction & Management to provide a proposal to replace the existing units with two new COMPU-AIRE MKA-2034-RTU rooftop HVAC units.

The proposed units are designed for computer and technology environments and will provide increased airflow and cooling performance, reliable temperature control for critical 2 technology equipment, and additional capacity for future expansion. Associated ductwork and electrical systems will also be upgraded to accommodate the new equipment.

DISCUSSION:

The City’s Public Works Engineering Division utilizes four methods to construct City projects in the most cost-effective and efficient manner possible: Formal Bidding, Informal Bidding, Job-Order Construction Contracting (JOC), and construction performed by in - house City crews. Utilizing a JOC has proven to be an effecti ve method and useful tool to construct and implement City projects rapidly.

Due to the multifaceted nature of the City of Santa Maria PD IT Room HVAC Project (thermal and moisture protection, fire suppression, HVAC and electrical work), the Public Works Department determined that using a pre -solicited JOC with Newton Construction & Management through Sourcewell consortium contract would be the most beneficial.

This approach streamlines the procurement process, accelerates project delivery, and ensures competitive pricing. Sourcewell's contracts are competitively solicited and meet local, state, and federal procurement requirements, helping the municipality stay compliant with regulations.

Alternative(s)

1. Issue formal bid: City Council may choose to deny entering into a Sourcewell Job Order Contract Agreement and request the Department of Public Works to issue a Formal Bid in-house. This alternative is not recommended because drawing out the bid process will delay critical HVAC improvements. Delaying these improvements could negatively impact City-wide Wi-Fi capabilities and Emergency Dispatch Call Services. The existing HVAC equipment must be replaced to meet updated specifications and accommodate the City's expanding operational and technology needs. The proposed replacement units will provide the capacity and reliability necessary to support the City's growing IT infrastructure and ensure continued functionality of critical services.

2. In-house crews: In-house deployment is not recommended due to the specialized nature of the project, including computer -room HVAC equipment, associated ductwork and electrical modifications, fire alarm and fire suppression integration, controls programming, testing, commissioning, and temporary cooling requirements.

3 Fiscal Considerations
This project is being fully funded by the General Fund with CIP funds appropriated for Fiscal Years 2025/26 and 2026/27. Total guaranteed project expenditures under this fixed-price work order equal $902,594.38 with a contingency amount of $ 18,000 totaling $920,594.38. The project is funded through FY 2026 -27 adopted budget in the Capital Projects - General Fund; Public Works account stream FD310 | CC1120 | SC7320.

Project Account Element Cost (USD)
General Requirements $38,812.02
Thermal & Moisture Protection $3,993.65
Fire Suppression $695.01
Heating, Ventilating, And Air-Conditioning (HVAC) $815,886.65 Electrical $43,207.05
Contingency $18,000.00

Total Project Expenditure $920,594.38

Impact on the Community
The project will provide reliable temperature control for the Santa Maria PD IT room and help protect critical technology equipment supporting City operations and public safety.

Replacing the aging HVAC equipment with units specifically designed for computer a nd technology environments will improve airflow and cooling performance while providing capacity for future expansion. The project will also upgrade associated ductwork, electrical systems, fire protection integration, and building controls, improving the reliability and functionality of the existing PD IT room HVAC system.

ATTACHMENT(S)

A. Resolution
B. Agreement
C. EZIQC Contract No. CA-R7-GB-101723-NCM
D. Work Order No. 152502.00

Attachment A

RESOLUTION NO.

A RESOLUTION OF THE CITY COUNCIL

OF THE CITY OF SANTA MARIA, CALIFORNIA

APPROVING A SOURCEWELL JOB ORDER CONTRACT WORK ORDER

AGREEMENT WITH NEWTON CONSTRUCTION & MANAGEMENT

FOR THE CITY OF SANTA MARIA POLICE DEPARTMENT
IT ROOM HVAC PROJECT IN THE AMOUNT OF $902,594

WHEREAS, the City of Santa Maria utilizes Job Order Contracting (JOC) through cooperative purchasing programs to construct public facility improvements in an efficient and cost-effective manner; and

WHEREAS, Sourcewell is a public agency cooperative that competitively solicits construction contracts meeting local, state, and federal procurement requirements; and

WHEREAS, the City of Santa Maria has aging HVA C Units serving the Santa Maria Police Departme nt Information Technology ( IT) room that are not specifically designed for IT environments and do not provide sufficient airflow, cooling capacity , or expansion capacity to adequately support the IT room’s operational needs; and

WHEREAS, Newton Construction & Management holds a competitively solicited Sourcewell EZIQC Contract No. CA-R7-GB-101723-NCM; and

WHEREAS, the proposed project consists of replacing two existing rooftop HVAC units with two new 18 -ton COMPU-AIRE MKA-2034-RTU units designed for computer and technology environments, including associated ductwork and electrical up grades; and

WHEREAS, the Public Works Department has reviewed and verified the Work Order Price Proposal in the firm fixed amount of $ 902,594.38 for these IT Room HVAC improvements; and

WHEREAS, the not-to-exceed contingency amount for this project this 18,000.00; and

WHEREAS, this project qualifies for a Class 1 Categorical Exemption pursuant to Section 15301 of the California Environmental Quality Act State Guidelines.

NOW, THEREFORE, IT IS HEREBY RESOLVED by the City Council of the City of Santa Maria, California, as follows:

SECTION 1. Approve Sourcewell Job Order Contract Work Order Agreement with Newton Construction & Management for EZIQC Contract No. CA-R7-GB-101723-NCM in the amount of $902,594.

SECTION 2. Authorize the City Manager or designee to execute the Agreement and future necessary project Amendments or Change Orders necessary provided such Amendments are within the scope of the project and consistent with the adopted project budget and not to exceed the contingency amount.

SECTION 3. Authorize the Chief Deputy City Clerk to make minor changes herein to address clerical errors , so long as substantial conformance of the intent of this document is maintained. In doing so the Chief Deputy City Clerk shall consult with the City Manager and City Attorney concerning any changes deemed necessary.

PASSED AND ADOPTED at a regular meeting of the City Council of the City of Santa Maria, California, held this 15th day of September 2026.

ATTEST:

Chief Deputy City Clerk

Mayor

APPROVED AS TO FORM:
_______________________________
City Attorney
APPROVED AS TO CONTENT:
_______________________________
Department Director
_______________________________
City Manager

Attachment B

CITY OF SANTA MARIA IT ROOM HVAC PROJECT

THIS AGREEMENT, made and entered into this 15th day of September 2026, by and between Newton Construction & Management hereinafter referred to as "Contractor," and the City of Santa Maria in the County of Santa Barbara, California, hereinafter referred to as "Owner."

WITNESSETH:

That for and in consideration of the promises and agreements hereinafter made and exchanged, Owner and Contractor agree as follows:

1. Contractor has entered into an agreement with Sourcewell, Job-Order Construction Contracting (JOC) number CA-R7-GB-101723-NCM, incorporated herein and referred to as the JOC Contract Documents.

2. This Agreement and its terms shall constitute the Purchase Order required by the JOC Contract Documents.

3. Pursuant to the JOC Contract Documents and the City of Santa Maria Contract Documents of this Purchase Order (as defined in the General Conditions, attached as Exhibit A), Contractor shall complete the work generally described as follows: CITY OF SANTA MARIA IT ROOM HVAC PROJECT, in accordance with the Contract Documents therefore, adopted by the City Council, of Owner, as prepared by the City of Santa Maria Public Works Engineering Division.

4. That Owner will pay Contractor progress payments and the final payment, in accordance with the provisions of the Contract Documents, with warrants drawn on the appropriate fund or funds as required, at the prices bid through the JOC Contract Documents and process.

Total Bid of: NINE HUNDRED TWO THOUSAND FIVE HUNDRED NINETY-FOUR

AND THIRTY-EIGHT CENTS

Contract Price in Figures: $902,594.38

5. Contractor agrees to complete said work within the contract time of NINETY WORKING DAYS (90), from the day following the issuance of the Notice to Proceed, and approved extensions thereof, to the satisfaction of Owner before final payment is made.

6. Time is of the essence on this contract.

7. It is mutually understood and agreed that time is of the essence of this agreemen t and that it is difficult to ascertain the amount of damages required to properly compensate Owner for failure by Contractor to comply with all the contract requirements within the time fixed in the agreement.

8. In accordance with California Government Code, Section 53069.85, the amount of liquidated damages to be paid to Owner for each day completion is delayed beyond the time for completion, shall be five hundred ($500) dollars. Contractor hereby acknowledges that it has reviewed said provisions relating to liquidated damages and the amount thereof, and accepts the same as being reasonable under the circumstances and as a material part of the consideration for this contract.

Contractor also acknowledges that progress payments made after the scheduled completion date do not constitute a waiver of liquidated damages.

9. That, in accordance with Section 1774 of the California Labor Code, Contractor will pay, and will require subcontractors to pay, employees on the work a salary or wage at least equal to the prevailing salary or wage established for such work as set forth in the wage determinations and wage standards applicable to this work, contained in or referenced in this Purchase Order or the Contract Documents.

10. That, in accordance with Section 1775 of the California Labor Code, Contractor shall forfeit to Owner, as a penalty, not more than two hundred dollars ($200) for each day, or portion thereof, for each worker paid, either by Contractor or any subcontractor, less than the prevailing rates as determined by the Director of the California Department of Industrial Relations for the work.

11. That, in accordance with Section 1777.5 of the Labor Code, this agreement fixes the responsibility of compliance with said Section 1777.5 for all apprenticeable occupations with the prime Contractor.

12. That, except as provided in Section 1815 of the California Labor Code, in the performance of the work not more than eight (8) hours shall constitute a day's work, and not more than forty (40) hours shall constitute a week's work; that Contractor shall not require more than eight (8) hours of labor in a day nor more than forty (40) hours of labor in a week from any person employed by Contractor or any subcontractor; that Contractor shall conform to Division 2, Part 7, Chapter 1, Article 3 (Section 1810, et seq.) of the California Labor Code; and that Contractor shall forfeit to Owner, as a penalty, the sum of twenty-five dollars ($25) for each worker employed in the execution of the work by Contractor or any subcontractor for each day during which any worker is required or permitted to labor more than eight (8) hours in violation of said Article 3.

13. That Contractor shall carry workers' compensation insurance and require subcontractors to carry workers' compensation insurance as required by the California Labor Code.

14. That Contractor shall have furnished, prior to execution of the contract, three bonds on a form approved by Owner: (1) the faithful performance bond in the amount of one- hundred percent (100%) of the contract price, to guarantee the faithful performance of the work; (2) the labor and material bond in the amount of one-hundred percent (100%) Attachment B
of the contract price, to guarantee payment of all claims for labor and materials furnished; and (3) the guarantee and defectiv e material bond in the amount of ten percent (10%) of the contract price, to guarantee the one year maintenance of public improvements. This contract shall not become effective until such bonds are supplied to and approved by Owner.

15. That Contractor, prior to execution of the contract, shall comply with the following Department of Industrial Relations requirements:

 No contractor or subcontractor may be listed on a bid proposal for a public works project (submitted on or after March 1, 2015) unless registe red with the Department of Industrial Relations pursuant to Labor Code section 1725.5 [with limited exceptions from this requirement for bid purposes only under Labor Code section 1771.1(a)].
 No contractor or subcontractor may be awarded a contract for public work on a public works project (awarded on or after April 1, 2015) unless registered with the Department of Industrial Relations pursuant to Labor Code section 1725.5.  This project is subject to compliance monitoring and enforcement by the Department of Industrial Relations.

16. That Contractor agrees to devote the hours necessary to perform the services set forth in this agreement in an efficient and effective manner. Contractor may represent, perform services for and be employed by additional individuals or entities, in Contractor's sole discretion, as long as the performance of these extra -contractual services does not interfere with or present a conflict with City's business.

17. The agreement shall be binding on and shall insure to the benefit of the heir s, executors, administrators, successors and assigns of the parties hereto, but nothing in this section shall be construed as consent by City to any assignment of this agreement or any interest in this agreement.

(REMAINDER OF PAGE LEFT INTENTIONALLY BLANK.)
IN WITNESS WHEREOF, said Contractor and the Director of Public Works, thereunto duly authorized, have caused the names of said parties to be affixed hereto, each in duplicate, the day and year first above written.

CONTRACTOR

___________________________

DARIN TERRAZAS
Project Manager

CITY OF SANTA MARIA , a Municipal
Corporation

BRETT FULGONI
Director of Public Works

ATTEST:

Donna G. Schwartz
Chief Deputy City Clerk
APPROVED AS TO FORM:

_______________________________
Risk Manager
_______________________________
City Attorney

Attachment B
EXHIBIT “A”

GENERAL CONDITIONS

DOCUMENT 00700

DOCUMENT 00700

GENERAL CONDITIONS

PART 1 DEFINITIONS

1.01 DEFINED TERMS

A. Wherever in these General Conditions and in other Contract Documents the following terms are used, their intent and meaning shall be interpreted as stipulated herein.

1. ADDENDUM: A supplement to any of the contract documents issued in writing prior to the opening of bids.

2. AGREEMENT: The written instrument executed by Contractor and Owner by which Contractor is bound to perform the work within the contract time and Owner is obligated to compensate Contractor therefore at the contract price set forth therein.

3. CHANGE ORDER: A document signed by Owner, Engineer, and Contractor authorizing an addition, deletion, or revision in the work; or an adjustment in the contract price, or the contract time, or both; issued after the date of execution of Document 00500, Agreement.

4. CONTRACT: Agreement.

5. CONTRACT DOCUMENTS: The Notice Inviting Bids; Instructions to Bidders; Bid Forms; Certificates and Affidavits; Agreement and Supplements thereto, including Change Orders; Payment Bond; Performance B ond; General Conditions; Supplementary General Conditions; Special Provisions; and other Specifications; Drawings; and Addenda, if any.

6. CONTRACT PRICE: The moneys payable by Owner to Contractor under the contract documents as stated in the Agreement.

7. CONTRACTOR: The person, firm, or corporation who has entered into the contract with Owner for the performance of the work.

8. DAYS: Unless otherwise designated, days shall be understood to mean calendar days.

9. DEFECTIVE: An adjective when modifying the word "work" refers to work that is unsatisfactory; faulty; deficient; otherwise does not Attachment B
conform to the contract documents; does not meet the requirements of any inspection, reference standard, test, or approval referred to in the contract documents; or has been damaged prior to Engineer's recommendation of final payment.

a. Conditions for damage to work covered under partial
acceptance are specified in the Special Provisions.

10. DESIGN ENGINEER: The person, firm, or corporation incl uding its principals, agents, and employees, designated by Owner to prepare drawings and specifications for the work.

11. DRAWINGS: The drawings which show the character and scope of the work to be performed and which have been prepared by Design Engineer, referred to in and part of the contract documents.

12. ENGINEER: The City Engineer of the City of Santa Maria or the City Engineer's designated agent.

13. NOTICE INVITING BIDS: The public announcement inviting bids for the performance of the work.

14. LAWS AND REGULATIONS: LAWS OR REGULATIONS: Laws,
rules, regulations, ordinances, codes, orders.

15. NOTICE-TO-PROCEED: A written directive issued by Owner, authorizing Contractor to start performance of the work.

16. OWNER: City of Santa Maria.

17. PLANS: Drawings.

18. PROJECT: The total construction contemplated by Owner of which the work may be the whole or a part, as described in the con tract documents.

19. SPECIFICATIONS: Those portions of the contract documents consisting of written technical descriptions of materials, equipment, construction systems, standards, and workmanship as applied to the work, and certain administrative details applicable thereto.

20. SUBCONTRACTOR: The person, firm, or corporation having a direct contract with Contractor or with any other subcontractor for the performance of the part of the work at the site.

21. SUPPLEMENTAL AGREEMENT: Written amend ment to the
contract documents signed by Owner and Contractor.

22. WORK: The entire completed construction or the various separately identifiable parts thereof required to be furnished under the contract documents.

a. Work is the result of performing services, furnishing labor and furnishing and incorporating materials and equipment into the construction, all as required by the contract documents.

PART 2 PRELIMINARY MATTERS

2.01 BONDS

A. Bonds, surety requirements, and delivery are stipulated in Document 00100, Instructions to Bidders.

2.02 CONTRACTOR'S INSURANCE AND INDEMNIFICATION

A. General

1. Contractor shall carry all insurance required by Federal, State, County, and local Laws and Regulations.

2. Neither Contractor nor any subcontractor shall enter the site of the work or commence work under this contract before Owner, relying on Contractor's evidence of insurance, has issued the Notice -to- Proceed.

1. To the fullest extent permitted by law, Contractor shall indemnify, defend (with independent counsel approved by the City) and hold harmless the City, and its directors, officers, and employees from and against all liabilities (including without limitation all claims, losses, damages, penalties, fines, and judgments, associated investigation and administrative expenses, and defense costs, including but not limited to reasonable attorneys’ fees, court costs and costs of alternative dispute resolution) regard less of nature or type that arise out of, pertain to, or relate to the negligence, reckless, or willful misconduct of the Contractor or the facts or omissions of an employee, agent or subcontractor of the Contractor. The provisions of this paragraph survi ve completion of the services of the termination of this Contract. The provisions of this paragraph are not limited by the provisions herein relating to insurance.

4. Contractor shall secure and maintain, during the contract time and warranty period, ce rtain insurance that shall protect Contractor, Subcontractor, Owner, and Design Engineer in such manner and amounts as set forth hereinafter.

Attachment B

a. The insurance requirements stipulated herein shall not be construed as limiting Contractor's liability.

5. All loss or damage arising from obstructions or difficulties which may be encountered in the prosecution of the work, from the action of the elements, or from any act or omission on the part of Contractor or any subcontractor, supplier, person, or agent employed by Contractor shall be borne by Contractor.

6. Deductibles and Self-insured Retentions

a. Deductibles and self -insured retentions shall be declared to and approved by Owner.

b. At the option of Owner, either: the insurer shall reduce or eliminate such deductibles or self -insured retentions as respects the Owner and Design Engineer, its officers, officials, employees and volunteers or Contractor shall provide a
financial guarantee satisfactory to the Owner guaranteeing payment of losses and r elated investigations, claims
administration, and defense expenses.

7. Contractor shall include subcontractors as insureds under its policies or shall furnish separate certificates and endorsements for each subcontractor.

a. Coverage's for subcontrac tors shall be subject to the requirements stipulated herein.

B. Verification of Coverage

1. Contractor shall furnish Owner with original certificate and amendatory endorsements of the applicable policy language effecting coverage required by this clause

2. Endorsements shall be signed by a person authorized by that insurer to bind coverage on its behalf.

3. The endorsements shall be on forms provided by Owner, or on other than Owner's forms, or a separate owner's policy, provided those forms or policies are approved by the Owner and amended to conform to the Owner's requirements.

4. Endorsements shall be r eceived and approved by Owner before work commences. All certificates and endorsements are to be received and approved by Owner before work commences.

However, failure to obtain the required documents prior to the work beginning shall not waive the Contractor’s obligation to provide them.

Owner reserves the right to require complete, certified copies of all required insurance policies, including endorsements effecting the coverage required by these specifications at any time

5. Owner has the right to secure from the Contractor certified copies of all required insurance, including endorsements affecting the coverage required by these specifications.

C. Insurance is to be placed with insurers with a current A.M. Best’s rating of no less than A:VII, unless otherwise acceptable to the City.

D. Workers Compensation Insurance

1. Contractor shall take out and maintain Workers Compensation Insurance as required by the State of California for all of its employees at the site of the work and Employer's Liability Insurance in the amount of $1,000,000 per accident for bodily injury or disease during the life of this contract.

a. The Contractor's Workers Compensation and Employer's Liability policy shall be endorsed to provide a waiver of subrogation by the carrier to Owner and Design Engineer.

2. Contractor shall require each subcontractor to provide workers Compensation Insurance for its employees unless the Contractor covers such employees.

3. In the event any class of employees engaged in hazardous wor k under this contract is not protected by the Workers Compensation Statute, Contractor shall provide, and shall cause its subcontractors to provide, special insurance for the protection of such employees not otherwise protected.

E. Commercial General liability Insurance

1. Contractor shall procure, and maintain during the life of the contract, coverage in the amount of $2,000,000 per occurrence for bodily injury, personal injury and property damage at least as broad as ISO Commercial General Liability Insurance (Form CG 0001 ) necessary to protect itself, Owner, Design Engineer, and Subcontractors performing work under this contract, from all claims and legal costs for bodily injury or personal injury, including accidental death and property damage claims arising from operations under this contract, Attachment B
whether such operations are the Contractor's or the subcontractor's.

2. The policy shall be endorsed to include the following provisions:

a. The Owner and Design Engineer, its officers, officials, employees and volunteers are to be covered as insureds with respect to liability arising out of work or operations performed by or on behalf of the Contractor including materials, parts or equipment furnished in connection with such work or
operations. This can be provided in the for m of an
endorsement to the Contractor's insurance or as a separate owner's policy.

b. For any claims related to this project, the Contractor's insurance coverage shall be primary insurance as respects the Owner and Design Engineer, its officers, officia ls, employees and volunteers. Any insurance or self -insurance maintained by the Owner and/or Design Engineer, its officers, officials, employees or volunteers shall be excess of the Contractor's insurance and shall not contribute with it.

c. This coverage shall not be canceled by either party, except after 30 days prior written notice by certified mail, return receipt requested has been given to the owner and Design Engineer.

3. The minimum limits of the insurance shall be as follows:

a. $2,000,000 p er occurrence for bodily injury, personal injury and property damage. If Commercial General Liability
Insurance or other form with a general aggregate limit is used, either the general aggregate limit of $2,000,000 shall apply separately to this project/location (ISO CG 25 03 or 25 04) or the general aggregate limit shall be twice the required occurrence limit. A separate general aggregate limit of $2,000,000 will also apply for Products and Completed
Operations.
b. Errors and omissions liability insurance appropriate to the Design Engineer’s or other Consultant’s profession.

Architects and engineers’ coverage is to be endorsed to include contractual liability, $1,000,000 per occurrence or claim, $2,000,000 aggregate, if applicable.

F. Automobile Liability

1. Insurance Services Office Business Auto Coverage Form Number CA 00 01 covering any auto (Code 1), or if Contractor has no owned autos, covering hired (Code 8) and non-owned autos (Code 9).

2. The policy shall be endorsed to include the following provisions:

a. This coverage shall not be canceled by either party, except after 30 days prior written notice by certified mail, return receipt requested has been given to the owner and Design Engineer.

G. Other Insurance Provisions
The liability policies are to contain, or be endorsed to contain, the following provisions:

1. The City, its officers, officials, employees and volunteers are to be covered as additional insureds on the CGL policy with respect to liability arising out of work or operations performed by or on behalf of the Consultant including materials, parts or equipment furnished in connection with such work or operations. General liability coverage can be provided in the form or an endorsement to the Consultant’s insurance (at least as broad as ISO Form CG 20 10 11 85 or both CG 20 10, CG 20 26, CG 20 33, or CG 20 38 and CG 20 37 forms if later revisions are used).

2. For any claims related to this project, the Consultant's insurance coverage shall be primary insurance coverage at least as broad as ISO CG 20 01 04 13 as respects the City, its officers, officials, employees and volunteers. Any insurance or self-insurance maintained by the City, its officers, officials, employees or volunteers shall be excess of the Consultant's insurance and shall not contribute with it.

3. Each insurance policy required by this clause shall be endorsed to state that coverage shall not be canceled or reduced, except with notice stating the title of this contract to the City. All notices provided pursuant to this Agreement shall be given to the City
representative listed for notice in this agreement and shall specify the title of this Agreement. Notice may be given by overnight mail, facsimile with confirmation of receipt, or certified mail with return-receipt requested.

4. Consultant hereby grants to City a waiver of any right to subrogation which any insurer of said Consultant may acquire against the City by virtue of the payment of any loss under such insurance. Consultant agrees to obtain any endorsement that may be necessary to affect this waiver of subrogation, but this provision applies regardless of whether or not the City has received a waiver of subrogation Attachment B
endorsement from the insurer.

5. If any of the required policies provide claims-made coverage:

a. The Retroactive Date must be shown, and must be before the date of the contract or the beginning of contract work.

b. Insurance must be maintained and evidence of insurance must be provided for at least five (5) years after completion of the contract of work.

c. If coverage is canceled or non-renewed, and not replaced with another claims-made policy form with a Retroactive Date prior to the contract effective date, the Consultant must purchase “extended reporting” coverage for a minimum of five (5) years after completion of work.

H. Special Risks or Circumstances

The City reserves the right to modify these requirements, including limits, based on the nature of the risk, prior experience, insurer, coverage, or other l circumstances.

2.03 CONTRACT DOCUMENTS

A. Copies of Documents

1. The number and time of delivery of copies of contract documents are stipulated in Document 00100, Instructions to Bidders.

B. Intent of Contract Documents

1. The contract documents comprise the entire agreement between Owner and Contractor concerning the work.

2. The contract documents are complementary; what is called for by one is as binding as if called for by all.

3. The contract documents shall be co nstrued in accordance with the laws of the State of California.

4. The intent of the contract documents is to describe a functionally complete work, which Contractor shall construct in accordance with the contract documents.

a. Work, materials, and e quipment that may be inferred reasonably from the contract documents or from prevailing custom or trade usage as being required to produce the
intended result shall be furnished and performed by
Contractor whether or not specifically called for.

b. References to standard specifications, manuals, or codes of technical societies, organizations or associations, or to Laws and Regulations of a governmental authority, whether such references be specific or implied, shall mean the latest standard specification , manual, code, or Laws and
Regulations in effect at the time the Notice Inviting Bids was issued, except as may be otherwise specifically stated.

1) However, no provision of referenced standard
specifications, manuals, or codes, whether or not such
references be specifically incorporated in the contract documents, shall be effective to:

a) Change the duties and responsibilities of
Owner, Contractor, or Engineer, or any of their
consultants, from those set in the contract
documents.

b) To assign Engineer or any of Engineer's
consultants:

(a) Any duty or authority to supervise or
direct the furnishing or performance of
the work; or

(b) Any duty or authority to undertake
responsibility contrary to the provisions of
the contract documents.

C. Omissions, Conflicts, Errors, or Discrepancies

1. Where, during the performance of the work, Contractor finds omissions, conflicts, errors, or discrepancies in the contract documents, Contractor shall so report to Engineer, in writing, at once; and before proceeding with the work affected thereby shall obtain a written clarification or interpretation from Engineer pursuant to Article

4.02, Clarifications and Interpretations.

2. When Contractor feels that omissions, conflicts, errors, or discrepancies in the contract documents will cause or have caused Attachment B
Contractor additional costs or delays in the performance of the work, Contractor may make a claim therefore in accordance with Article

5.50, Claims.

a. Accordingly, Contractor shall give Engineer:

1) Written notice of such claim within forty -eight hours after the occurrence of the cost and delay related to
such omissions, conflicts, errors or discrepancies.

2) Statement and supporting data within 7 days after the occurrence of the cost and delay related to such
omissions, conflicts, errors or discrepancies.

b. Except for such claims as are made of record in the manner and within the time stated in this Paragr aph C., Contractor shall be deemed to have waived and does hereby waive all claims for damages and for adjustments to the contact time, the contact price, or both, resulting from omissions, conflicts, errors, or discrepancies in the contract documents.

c. The claim will be processed as stipulated in Article 5.05, Claims.

3. The contact documents shall be interpreted applying the following precedence rules:

a) Discrepancies between drawings and the figures written thereon shall be resolved by taking the figures as correct.

1) Figured dimensions shall govern over scaled
dimensions.

2) Full-scale drawings shall govern over reduced size
drawings.

3) Where a dimension necessary for the prosecution of
the work can only be obtained by means of a s caled
dimension, Contractor shall request a determination
from Engineer as provided in the preceding Sub -
paragraph 1, this Paragraph C.

b. The contract document higher in precedence shall control and supersede the contract documents lower in precedence in accordance with the following listing arranged from the highest to the lowest in precedence:

1) First: Addenda, if any; Supplemental
Agreements; and Change Orders; the
one dated later having precedence over
another dated earlier.

2) Second: Agreements.

3) Third: Special Provisions.

4) Fourth: Drawings.

5) Fifth: Supplementary General Conditions.

6) Sixth: General Conditions.

7) Seventh Standard Specifications

8) Eighth: Instructions to Bidders.

9) Ninth: Bid Forms.

10) Tenth: Notice Inviting Bids.

D. Amendment to Contract Documents

1. The contract documents may be amended in accordance with PART 5, AMENDMENTS AND CHANGES.

2. In giving clarifications and interpretations pursuant to Article 4.02 Clarifications and Interpretation, Engineer shall have authority to make minor changes in the work, not involving changes to the contract price or to the contract time.

E. Reuse of Documents

1 Neither Contractor nor any subcontractor or supplier or other person or organization performing or furnishing any of the work under a direct or indirect contract with Owner shall have or acquire any title to or ownership rights in any of the drawings, specifications, or other documents, or copies of any thereof, prepared by or bearing the seal of Design Engineer or Engineer, without the written consent of Owner and Design Engineer or Engineer.

2. Neither Contractor nor any subcontractor or supplier or other person or organization performing or furnishing any of the work under a Attachment B
direct or indirect contract with Owner shall reuse any of the drawings, specifications, or other documents, or copies of any thereof on extensions of the project or any other project, without the written consent of Owner and Design Engineer or Engineer, and specific adaptation by Design Engineer or Engineer.

2.04 COMMENCEMENT OF CONTRACT TIME

A. Owner will issue the Notice -to-proceed not later than 60 days after the contract has been awarded, unless otherwise agreed in writing between Owner and Contractor.

B. Contractor shall commence performance of the work on or before the 10 th day after receiving the Notice -to-proceed, and shall complete the work within the contract time stipulated in Document 00500, Agreement.

C. Before starting construction Contractor shall submit a written work schedule of the work at least 5 days prior to commencement of construction. No work may proceed prior to the date of commencement. The City Engineer will establish this date, and the City Engineer will notify the Contractor in writing.

2.05 SITE OF THE WORK

A. Availability of Lands

1. Owner will furnish, as indicated in the contract documents, the lands upon which the work is to be performed, rights -of-way and easements for access thereto, and such other lands which are designated for use of Contractor.

2. Easements for permanent str uctures or for permanent changes in existing facilities will be obtained and paid for by Owner, unless otherwise provided in the contract documents.

3. Contractor shall provide for additional lands and access thereto that may be required for temporary c onstruction facilities or storage of materials and equipment.

4. When Contractor believes that delays in Owner's furnishing lands, rights-of-way, or easements entitles Contractor to an extension of contract time, Contractor may make a claim therefore in accordance with Article 5.50, Claims.

B. Underground Facilities

1. The Owner has endeavored to determine the existence of underground facilities at the site of the work from the records of owners and operators of known underground facilities in the vi cinity of the work.

a. The positions of these underground facilities as derived from such records may be indicated in the contract documents.

Contractor shall contact owners and operators of known
underground facilities to coordinate the work.
b. Service connections to utilities are not indicated in the contract documents.
c. Contractor shall expose and verify the locations and elevations of all existing utilities prior to beginning of all work.

Should unforeseen or unknown interference be encount ered which create construction delays, the City shall not be held liable, nor will the Contractor press any claim for such unpredictable interference and delays. Prior to the start of construction, the Contractor shall contact Underground Services Alert ( 1-800-422-4133), forty -eight (48) hours minimum notice.

2. In addition to requirements of applicable Laws and Regulations, including California Government Code Section 4216, referenced in Article 3.07, Laws and Regulations, Contractor shall make its own investigations, including records searches and exploratory excavations, to determine the locations and type of existing underground facilities, service laterals or appurtenances when their presence can be inferred from the presence of other visible facilities, such as buildings, meters, and junction boxes on or adjacent to the site of the work.

a. Contractor shall expose shown or inferred service laterals, appurtenances, and other inferred underground facilities, which might interfere with construction of the work, in order to permit survey location of such underground facilities prior to construction.

b. Where Contractor discovers underground facilities not marked by U.S.A., not identified in the contract documents, or in a position different from that indicated by U.S.A. or on the contract documents, Contractor shall immediately notify, in writing, Engineer and the owner or operator of the
underground facility.

3. When necessary to remove, relocate, protect, or temporarily maintain an underground facility because of interference with the work, the work on such underground facility shall be per formed and Attachment B
paid for as follows:

a. When it is necessary to remove, relocate, protect, or temporarily maintain an existing main or trunk line under - ground facility not marked by U.S.A. nor indicated in the contract documents with reasonable accuracy.

1) Owner will compensate Contractor:

a) for the costs of locating;

b) for the costs of repairing damage not due to the
failure of Contractor to exercise reasonable
care;

c) for the costs of removing, relocating, protecting,
or temporarily maintaining such underground
facilities; and

d) for the costs for equipment on the site
necessarily idled during such work.

2) These costs and the work to be done by Contractor in locating, removing, relocating, protecting, or
temporarily maintaining such underground facilities
shall be covered by a change order, in accordance with
Article 5.01, Amendments and Changes to Contract
Documents.

3) Owner may make changes in the alignment and grade
of the work to obviate the necessity to remove,
relocate, protect, or temporarily maintain such
underground facilities or to reduce the costs of the work involved in removing, relocating, p rotecting, or
temporarily maintaining such underground facilities.

a) Changes in alignment and grade will be covered
by a change order in accordance with Article

5.01, Amendments and Changes to Contract
Documents.

b) When it is necessary to remove, r elocated,
protect, or temporarily maintain the
underground facility, the cost of which is not
required to be borne by the owner or operator
thereof, Contractor shall bear all expenses
incidental to the work on the underground facility
or damage thereto.

4) The work on the underground facility work shall be
done in a manner satisfactory to the owner or operator
thereof; it being understood that the owner or operator of the underground facility has the option of doing such work with its own forces, or perm itting the work to be done by Contractor.

a) No representations are made that the obligation
to remove, relocate, protect, or temporarily
maintain any underground facility and to pay the
cost thereof is or is not required to be borne by
the owner or ope rator of such under -ground
facility and it shall be the responsibility of
Contractor to investigate and find out whether or
not said cost is required to be borne by the
owner or operator of the underground facility.

5) The stipulations of this Subparagr aph b. do not apply to:

a) Existing main or trunk line underground facilities
not indicated in the contract documents with
reasonable accuracy.

b) Existing service laterals or appurtenances when
their presence cannot be inferred from the
presence of ot her visible facilities, such as
buildings, meters, and junction boxes on or
adjacent to the site of the work.

4. The right is reserved to governmental agencies and to owners and operators of underground facilities to enter, at any time, upon any street, alley, right -of-way, or easement for the purpose of making changes in their property made necessary by the work and for the purposes of maintaining and making repairs to their property.

5. In addition to procedures required by applicable Laws and Regulations, including California Government Code Section 4216 referenced in Article 3.07, Laws and Regulations, Contractor shall notify all owners of underground facilities when the work is in progress and shall make such arrangements as are necessary to make any emergency repair.

Attachment B

6. Contractor shall not be assessed liquidated damages for delay in the contract time when such delay was caused by the failure of Owner or the owner or operator of the underground facility to provide for removal or relocation of such underground facility.

7. If, as a result of underground facilities interference and relocation, Contractor believes that adjustments to the contract price, the contract times, or both, are not satisfactory, Contractor may make a claim therefore in accordance with Article 5.05, Claims.

C. Lines and Grades

1. Profiles and elevations are indicated on the drawings.

2. Elevations are referred to a datum indicated on the drawings.

3. The Contractor shall pay all costs for the establishment and maintenance of lines and grades for the work.

D. Survey land monuments and property markers shall not be moved or otherwise disturbed by Contractor until an authorized agent of the agency, having jurisdiction over the land monuments or property markers setting, has witnessed or otherwis e referenced their location, and only then in accordance with the requirements of the agency having jurisdiction.

PART 3 CONTRACTOR'S RESPONSIBILITIES

3.01 SUPERVISION AND SUPERINTENDENCE

A. Contractor shall supervise and direct the performance of the work competently and efficiently, devoting such attention thereto and applying such skills and expertise as may be necessary to perform the work in accordance with the contract documents.

1. Contractor shall be solely responsible for the means, methods, techniques, sequences, and procedures of construction, but Contractor shall not be responsible for the negligence of others in the design or selection of a specific means, method, technique, sequence, or procedure of construction which is indicated in and required by the contract documents.

a. When Contractor believes that a work demand is outside the requirements of the contract documents, or when Contractor believes that an action of Enginee r is incorrect or unfair, Contractor may make a claim therefore in accordance with Article 5.05, Claims.

1) For such claim, Contractor shall give Engineer:

a) Written notice of such claim within forty -eight
(48) hours after the occurrence of the cost a nd
delay related to such work demand or
Engineer's action.

b) Statement and supporting data within 7 days
after the occurrence of the cost and delay
related to such work demand or Engineer's
action.

2) Except for such claims as are made of record in the
manner and within the time stated in this Subparagraph
a., Contractor shall be deemed to have waived and
does hereby waive all claims for damages and for
adjustments to the contract time, the contract price, or both, resulting from work demands and fro m
Engineer's clarifications, interpretations, and findings.

3) The claim will be processed in accordance with Article

5.05, Claims.

2. When required by the contract documents, Contractor shall follow the sequence of operations set forth therein.

3. Contractor shall be responsible to see that the finished work complies accurately with the contract documents.

B. Contractor's Representative

1. Contractor shall, at all times during working hours, be represented in all matters pertaining to the work b y one, and only one, competent and experienced general superintendent.

a. Before work is started at the site, Contractor shall give written notice to Engineer stating who Contractor's superintendent will be, giving this person's home address and telepho ne number.

1) A statement naming more than one general
superintendent to be in charge simultaneously, making
one or the other responsible depending upon who is
present at the time will not be acceptable.

b. Contractor shall inform Engineer in writing prior to any change of general superintendent.

Attachment B

2. Communications issued by Engineer to Contractor's superintendent on the work shall be considered as having been given to Contractor.

C. Responsibility for Deviation from Plans

Notwithstanding any other provisions in the contract, to the contrary, it is understood and agreed that the failure of the engineer or any inspector on the project to observe or to notify the Contractor of deviations from the approved Plans and Specificati ons, whether or not such deviations could have been corrected if such notifications had been given, shall in no way relieve the Contractor of any responsibility or liability for the Contractor's failure to complete, and the Contractor shall be required to repair and complete the work covered by this contract in exact accordance with the approved Plans and Specifications and all applicable laws and regulations; and the Owner shall not be construed or be deemed to have waived its right to insist on exact compliance by the Contractor pursuant to the terms of this contract or the issuance of any inspection reports or any certificates of partial or final completion.

3.02 LABOR, MATERIALS, AND EQUIPMENT

A. Contractor shall provide competent, suitably qualifie d personnel to survey and lay out the work and to perform construction of the work as required by the contract documents.

1. Contractor shall maintain good discipline and order at the site.

B. Unless otherwise specified in the Special Provisions, Con tractor shall furnish, install, and assume responsibility for materials, equipment, labor, transportation, construction equipment and machinery, tools, appliances, fuel, power, heat, light, telephone, water, sanitary facilities and other temporary facilities, and all other facilities and incidentals necessary for the furnishing, installation, performance, testing, start-up and completion of the work.

1. Incidentals include, but are not limited to, dust, site drainage, noise, and traffic control measures.

C. Materials and Equipment for the Work

1. Materials and equipment incorporated in the work shall be of good quality and new and subject to review and acceptance by Engineer unless otherwise specified in the Special Provisions.

2. Where materials a nd equipment are referred in the specifications followed by the expression "or equal," Engineer will decide the question of equality as stipulated under Article 3.04, Substitute or "Or Equal" Items.

3. Materials and equipment of a general description shall be good, free from defects, and adapted to the use for which provided.

4. The physical characteristics of materials and equipment not particularly specified shall conform, where applicable, to curre nt standards published by the American Society for Testing and Materials (ASTM).

5. Materials and equipment shall be equal to the accepted samples, when samples have been submitted.

6. If the Engineer deems any of Contractor's equipment to be unsuitable, it shall be removed from the site and shall not be returned during this contract.

D. Storage of Materials and Equipment

1. Contractor shall provide proper storage facilities and exercise such measures as shall ensure the preservation of the specif ied quality and fitness of materials and equipment to be used in the work.

2. Stored materials and equipment shall be located so as to provide reasonable access for observation.

3. In case of suspension of work, Contractor shall store and protect materials and equipment as necessary to maintain the quality, integrity, and availability when performance of the work is resumed.

E. Payment for Labor and Materials

1. Contractor shall pay, when due, all valid charges for labor and material incurred by c ontractor and used in the construction of the work and shall also be responsible for keeping the job free of liens or "stop payment" notices recorded by or under Contractor or its subcontractors.

2. Nothing contained herein shall be deemed to waive any immunity or other provisions of law preventing imposition of mechanics' liens on public property.

3. When Contractor fails to make payments required under this Paragraph E., or when Contractor fails to keep the work free of Attachment B
mechanics' liens or stop paym ent notices incurred by or under Contractor or its subcontractors, Owner may settle such claims and Contractor shall, on demand, reimburse Owner for amounts so paid, or Owner may withhold such amounts from payments due or to become due to Contractor.

3.03 ADJUSTING PROGRESS SCHEDULE

A. Contractor shall prepare and submit adjustments in the progress schedule to reflect the effect thereon of new developments; these shall conform generally to the progress schedule then in effect and additionally shall comply with provisions of the special provisions.

3.04 SUBSTITUTE OR "OR EQUAL" ITEMS

A. Article 1.05 Product Substitution of Document 00100 Instructions to Bidders, includes complementary provisions on materials and equipment listed by brand or trade name in the specifications and drawings.

B. Substitution Requests:

1. Requests for approval of substitute materials or equipment designated in the contract documents by a brand or trade name shall be submitted after award of the contract and not later th an the time period stipulated in Article 1.05 referenced in the preceding Paragraph A.

2. Requests shall be made in writing and shall be accompanied by data, satisfactory to Engineer, that support the merits of the proposed substitute material or equipment.

3. The request shall state how the proposed substitute material or equipment compares with or differs from the specified material or equipment in composition, size, strength, arrangement,
performance, serviceability, maintenance, recommended invent ory of spare parts, and other relevant characteristics and information; in addition, the request shall be accompanied by documented evidence of equality in price and delivery or evidence of difference in price and delivery.

a. Data on price shall be in the form of certified quotations from suppliers of both the specified and the proposed material or equipment.

C. Materials or equipment accepted for substitution shall meet applicable provisions of the contract documents.

1. Compliance with specific requirements of the contract documents shall be demonstrated and necessary modifications shall be made in order to meet such specific requirements and actual conditions under which the material or equipment will be required to perform.

D. When a substitution is allowed under the provisions of this Article 3.04 and the substitute material or equipment subsequently proves to be defective, Contractor shall, without cost to Owner, and without obligation on the part of Engineer, replace the substitute material or equipment with the material or equipment originally specified.

3.05 CONCERNING SUBCONTRACTORS AND OTHERS

A. Bidders shall list, in Document 00300, Bid Forms, any person making a bid or offer to perform the work, shall, in his or her bid or offer, set forth the name, the location of the place of business, and the California contractor license number of each subcontractor who will perform work or labor or render service to the prime contractor in or about the construction of the work or improvement, or a subcontractor licensed by the State of California who, under subcontract to the prime contractor, specially fabricates and installs a portion of the work or improvement according to detailed drawings contained in the plans and specifications, in an amount in excess of one-half of 1 percent of the prime contractor’s total bid or, in the case of bids or offers for the construction of streets or highways, including bridges, in excess of one-half of 1 percent of the prime contractor’s total bid or ten thousand dollars ($10,000), whichever is greater.

B. Contractor shall be responsible for the acts and omissions of subcontractors, suppliers, and other persons and organizations performing or furnishing any of the work under a direct or indirect contract with Contractor, just as Contractor shall be responsible for Contractor's own acts and omissions.

C. Nothing in the contract documents shall create any contractual relationship between Owner or Engineer and any such subcontractor, supplier, or third person on or near the project.

D. The divisions and sections of the specifications and the identifications of drawings shall not control Contractor in dividing the work among sub - contractors or others or delineating the work performed by any specific trade.

Attachment B

3.06 PATENT FEES AND ROYALTIES

A. Contractor shall pay all license fees and royalties and assume all costs incident to the use in the performance of the work or the incorporation in the work of any invention, design, process, product, or device which is the subject of patent rights or copyright held by others.

B. Contractor shall indemnify and save harmless Owner and Engineer from all liabilities, judgments, costs, damages, and expenses which may result from the infringement of any patents, trademarks, and copyrights by reason of the use of any proprietary materials, devices, equipment, or processes incorporated or used in the performance of the work.

3.07 LAWS AND REGULATIONS

A. Contractor shall procure all permits and licenses, give all notices and comply with all Laws and Regulatio ns applicable to furnishing and performance of the work. All permits required by the City of Santa Maria will be obtained through the Building Department of the City of Santa Maria (building permits), or the Public Works Department of the City of Santa Maria (encroachment permits). Contractors are advised all fees normally assessed by the City for permits and inspections, will be waived.

B. Except where otherwise expressly required by applicable Laws and Regulations, neither Owner nor Engineer shall be r esponsible for monitoring Contractor's compliance with any Laws or Regulations.

C. Contractor shall defend, indemnify and save harmless Owner and Engineer against claims arising from the violation of any Laws or Regulations, whether by Contractor, any subcontractors, or any suppliers.

D. Some laws and Regulations applicable to the performance of the work are referenced in the following subparagraphs which also contain a brief excerpt; however, no representation is made that all applicable Laws and Regulations are referenced, that the references are current and correct, or that the excerpts are correct and include all the relevant information.

1. Subsurface Installations: California Government Code, Sections 4216 et seq., cover requirements and proced ures relating to excavation in areas which are known, or reasonably should be known, to contain subsurface installations; notifications to subsurface installations owners and operators; time required for notices before excavation; and related matters.

2. Requirement of Payment: Pursuant to Section 1771 of the California Labor Code, Contractor and subcontractors shall pay to workmen employed in the performance of the work not less than the general prevailing rate of per diem wages for work of a similar c haracter in the locality of the work, and no less than the general prevailing rate of per diem wages for holiday and overtime work fixed as provided in said Labor Code.

3. Specification of Prevailing Wage Rates in Call for Bids: Pursuant to provisions in Section 1773.2 of the California Labor Code, copies of the prevailing rate of per diem wages are on file at Owner's principal office and are available for examination by any interested party on request, during normal business hours.

4. Pursuant to p rovisions in Section 1773.1 of the California Labor code, Contractor shall make payment for travel and subsistence as required in said Section 1773.1.

5. Forfeiture for Paying Less than Prevailing Rate: Pursuant to Section 1775 of the California Labor Code, Contractor shall comply with the provisions of said Section 1775 and forfeit as a penalty not more than two hundred dollars ($200) for each calendar day, or portion thereof, for each worker paid less than the prevailing rates for the work or craft corresponding to such worker, whether employed by Contractor or any subcontractor.

6. Payroll Record of Wages Paid: Pursuant to Section 1776 of the California Labor Code, Contractor shall keep an accurate payroll record showing the name, address, social security number, work classification, straight time and overtime hours worked each day and week, and the actual per diem wages paid to each journeyman, apprentice, worker, or other employee employed by Contractor for the performance of the work.

a. A certified copy of payroll records shall be submitted to Owner, and shall be made availabl e for inspection or
furnished upon request to a representative of the California Division of Labor Standards Enforcement and Division of Apprenticeship Standards.

b. In case of noncompliance with said Section 1776 and after a 10-day period following rec eipt of written notice, Contractor shall forfeit one hundred dollars ($100) for each calendar day, or portion thereof, for each worker in noncompliance, until compliance is effectuated.

c. Contractor shall be responsible for compliance with said Section 1776.

Attachment B

7. Employment of Apprentices on Public Works: Provisions in Section 1777.5 of the California Labor Code fix responsibility of compliance with that section for all apprenticeable occupations with Contractor. a. Said Section 1777.5 provides that Contractor and every subcontractor shall submit contract award information to the applicable joint apprenticeship committee.
b. Section 1777.7 of said Labor Code provides that Contractor shall forfeit as a civil penalty the sum of one hundred dollars ($100) for each calendar day of noncompliance with
provisions of said Section 1777.5.

8. Hours Constituting Day's Work: In accordance with California Labor Code, Section 1810, eight (8) hours labor constitutes a legal day's work.

a. In accordance with Section 1811 of said Labor Code, the time of service of any workman employed upon the work is limited and restricted to eight (8) hours during any one calendar day and forty (40) hours during any one calendar week except as provided in Section 1815 of said Labor Code.

9. Penalty when Worker is Required to Work Excess Hours: In accordance with Section 1813 of the California Labor Code, Contractor shall, as a penalty, forfeit twenty -five dollars ($25) for each worker employed in the execution of the wo rk by Contractor and any subcontractor for each calendar day during which such worker is required or permitted to work more than eight (8) hours in any one calendar day and forty (40) hours in any one calendar week in violation of the provisions of said Section 1813.

a. In accordance with Section 1815 of said Labor Code,
notwithstanding the preceding provisions, work performed by employees of Contractor in excess of eight (8) hours per day and forty (40) hours during any one week are permitted upon compensation for all hours worked in excess of eight (8) hours per day at not less than 1-1/2 times the basic rate of pay.

10. Digging Trenches or Other Excavations: California Public Contract Code, Section 7104 (first of two), includes procedures when the work involves digging trenches or other excavations that extend deeper than four (4) feet below the surface.

a. Contractor shall promptly, and before the following conditions are disturbed, notify Owner and Engineer, in writing, of any:

1) Material that Contractor believes may be material that is hazardous waste, as defined in Section 25117 of the
California Health and Saf ety 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.

2) Subsurface or latent physical conditions at the site differing from those indicated in the contract
documents.
3) Unknown physical conditions at the site of any unusual nature, different materially from those ordinarily
encountered and generally recognized as inherent in
work of the character provided for in the contract
documents.

b. Owner will promptly inves tigate the conditions and where Owner finds that the conditions do materially so differ, or do involve hazardous waste, and cause a decrease or increase in the contract price, or in the contract time, or both, a change order will be issued in accordance wi th Article 5.01,
Amendments and Changes to Contract Documents.

c. In the event a dispute arises between Owner and Contractor as to whether the conditions materially differ, or involve hazardous waste, or cause a decrease or increase in the contract price, or in the contract time, or both, Contractor shall not be excused from any scheduled completion date provided in the contract documents, but shall proceed with the work.

1) Contractor shall retain any and all rights provided in the contract documents or by law, which pertain to the
resolution of disputes and protests between Contractor
and Owner.

11. Claims of $375,000 or Less: In accordance with Section 20104 through 20104.8 of the California Public Contract Code, Contractor may file claims for t ime extensions or for payments, in writing and including documentation substantiating the claim, on or before the date of final payment. Procedures, limitations, and provisions for several levels of review are included in said Sections 20104 through 20104.8 and shall supersede conflicting and contrary provisions in the contract documents.

a. Claims shall be as defined in said Section 20104, Subsection (b) (2).

Attachment B

3.08 TAXES, FEES, AND CHARGES

A. Contractor shall pay all sales, consumer, use, and other similar taxes and pay all charges and fees required to be paid by Contractor in accordance with the Laws and Regulations of the place of the project which are applicable during the performance of the work.

B. Contractor shall comply with the provisions of this section to the extent possible under applicable laws and regulations, so that the local 1% share of California’s sales and use tax related to this project shall be allocated to the City of Sana Maria.

Contractor shall provide to the City a list of items (materials, fixtures and machinery and equipment) to be used on the project and the cost of the each item. Contractor shall also designate a contact person and provide to the City the contact person’s name, title, street address, email address and telephone number.

Contractor shall include in its contracts with all subcontractors a provision stating that it is the City’s objective that the local 1% share of California’s sales and use tax be a llocated to the City of Santa Maria and that subcontractors shall whenever possible cooperate with the City to achieve this objective by how they report the payment of sales and use tax. The contractor shall provide the City with a list of all subcontract ors, the nature of the subcontract, the value of the subcontract and contact information (name, title, subcontractor, street address, email address and telephone number) of the person responsible for such efforts with each subcontractor.

The City or its n amed representative shall contact the contractor and subcontractors when it is determined that certain actions by the contractor and subcontractors may cause the local 1% share of California’s sales and use to be allocated to the City. The results of such determinations and actions taken by the contractor and subcontractors shall be evaluated by the City as a performance measurement of the contractor in fulfilling the requirement of the contract with the City.

3.09 USE OF PREMISES

A. Contractor shall con fine construction equipment, the storage of materials and equipment, vehicle parking, and the operations of workers to the project site and land and areas identified in and permitted by the contract documents and other land and areas permitted by Laws and Regulations, permits and easements, rights -of-way, and shall not unreasonably encumber the premises with construction equipment or other materials or equipment.

B. Contractor shall assume responsibility for damage to any such land or area, or to the own er or occupant thereof or of any land or areas contiguous thereto, resulting from the performance of the work.

1. Should any claim be made against Owner or Engineer by any such owner or occupant because of the performance of the work, Contractor shall p romptly attempt to settle with such other party by agreement or otherwise resolve the claim by arbitration or at law.

C. Contractor shall not load nor permit any part of any structure to be loaded in any manner that will endanger the structure, nor shall Contractor subject any part of the work or adjacent property to stresses or pressures that will endanger it.

D. Cleaning the Work Site:

1. The Contractor shall remove all old structures and abandoned facilities in the line of work. These shall be removed from the site along with trash, stones, debris, and other obstructions encountered, at no additional cost to the Owner.

2. During the progress of the work, Contractor shall keep the premises free from accumulations of waste materials, rubbish and other debris resulting from the work.

3. At the completion of the work, Contractor shall remove all waste materials, rubbish and debris from and about the premises as well as all tools, appliances, construction equipment and machinery, and surplus materials, and shall leave the site clean and ready for occupancy by owner.

E. Contractor shall restore to original condition property not design ated for alteration by the contract documents.

F. In case of suspension of work, Contractor shall provide suitable drainage and erect temporary structures as necessary.

3.10 RECORD DOCUMENTS

A. Contractor shall maintain, in a safe place at the site, one record copy of all drawings, specifications, addenda, supplemental agreements, change orders, and engineer’s written interpretations and clarifications in good order and annotated to show all changes made during construction.

1. These record documents, together with all approved samples and a counterpart of all approved shop drawings, shall be available to Engineer for reference.

Attachment B

B. Upon completion of the work, the record documents, samples and shop drawings shall be delivered to Owner.

C. Prior to Notice of Completion, Contractor shall retain the services of a City approved draftsman who shall revise the original project plans to reflect all record changes.

3.11 SAFETY AND PROTECTION

A. Precautions and Program

1. Contractor shall be responsible for initiating, maintaining, and supervising all safety precautions and programs in connection with the work or the activities of subcontractors, suppliers, and others at the work site.

2. Contractor shall take all necessary precautions for the safety of, and shall provide the necessary supervision, control, and direction to prevent damage, injury, or loss to:

a. All employees on the work or work site and other persons and organizations who may be affected thereby.
b. All the work and materials and equipment to be incorporated therein, whether in storage or on or off the work site. c. All other property at the site.

B. Protection of Work

1. Contractor shall be responsible for the protection of the work until its completion and final acceptance.
a. Contractor shall, at its own expense, replace damaged or lost material or equipment, or repair damaged parts of the work, and Contractor and its sureties shall be liable therefore.

C. Inconvenience to the Public

1. The Contractor shall schedule work between the hours of 7:00 a.m. and 4:00 p.m., Monday through Friday. All construction activities shall comply with the City of Santa Maria Municipal Code, Chapter 5-5. The Engineer shall approve scheduled nighttime work hours.

2. Contractor shall comply with Laws and Regulations directed to minimize interference to traffic and inconvenience, discomfort and damage to the public including provision for adequate dust control.

3. The Contractor's operation shall cause no unnecessary inconvenience, and the travel rights of the public shall be maintained at all times. This means that no more than one -half of the roadway may be closed at any one time and the other half shall be maintained to permit passage in both directions.

4. Convenient access to driveways, houses, and buildings along the line of the work shall be maintained and temporary approaches to crossings and street intersections shall be provided and kept in good condition. When the abutting property owner's access across the right-of-way line is to be eliminated, or to be replaced under the contract by other access facilities, the existing access shall not be closed until the replacement access facilities are usable.

5. In order to expedite the passage of public traffic through or around the work, and where ordered by the Engineer, the Contractor shall install signs, lights, flares, barricades, and other facilities, and the cost of providing and stationing such flagmen, all for the convenience and direction of public traffic, will be paid for under the various contract unit prices and no additional compensation will be made.

Dust, which may create a hazard, or a nuisance, shall be abated at all times during the entire progress of the work.

D. Public and Private Property

1. Contractor shall protect against injury pipes, sewer conduits, electrical conduits, lawns, gardens, shrubbery, trees, fences, and other structures or property, public and private, encountered in the performance of the work except as stipulated elsewhere herein.

a. Contractor shall be responsible and liable for injury to such pipes, structures, and property.

2. Contractor shall not trespass upon private property an d shall be responsible for all injury or damage to persons or property, directly or indirectly, resulting from Contractor's operations in the performance of the work.

E. Protection of Materials and Equipment

1. Contractor shall be responsible for the protection of materials and equipment stored on and off the site of the work.

2. Owner reserves the right to direct Contractor to provide proper means of protection for materials or equipment when such is deemed advisable by Engineer; however, the exercise of or failure to exercise this right shall not be deemed to relieve Contractor of its responsibility for protecting the material and equipment.

Attachment B

3. Contractor shall provide suitable warehouses or other adequate means of protection for materials and equipment that require special protection during storage.
a. Contractor shall store and care for the materials and equipment in the most suitable manner to protect them from distortion, rain, dust, or other damage.

b. The cost of replacing any material or equipment damaged in storage shall be borne by Contractor, and the fact that material or equipment has been damaged after partial
payment has been made shall not relieve Contractor of its responsibility regarding t he protection of materials and equipment.

1) No motor shall be left uncovered or unprotected.

F. Applicable Laws and Regulations

1. Contractor shall comply with all applicable Laws and Regulations of any public body having jurisdiction for the safet y of persons or property or to protect them from damage, injury or loss; and shall erect and maintain all necessary safeguards for such safety and protection.

2. Contractor shall notify owners of adjacent property and of underground facilities and utili ty owners when prosecution of the work may affect them, and shall cooperate with them in the protection, removal, relocation and replacement of their property.

3. Damage, injury or loss to any property referred to in this Article 3.11, directly or indirectly, in whole or in part, by Contractor, any subcontractor, supplier or any other person or organization directly or indirectly employed by any of them to perform or furnish any of the work or anyone for whose acts any of them may be liable, shall be remedied by Contractor, except damage or loss attributable to the fault of drawings or specifications or to the acts or omissions of Owner or Engineer or anyone employed by either of them or anyone for whose acts either of them may be liable, and not attributable, directly or indirectly, in whole or in part, to the fault or negligence of Contractor.

G. Contractor's duties and responsibilities for the safety and protect ion of the work shall continue until the work is completed and accepted by Owner.

3.12 EMERGENCIES

A. In emergencies affecting the safety or protection of persons or the work or property at the site or adjacent thereto, Contractor, without special instruction or authorization from Engineer or Owner, shall act to prevent threatened damage, injury or loss.

B. Contractor shall give Engineer prompt written notice when Contractor believes that significant changes in the work or variations from the contract documents have been caused thereby.

C. Where Engineer determines that a change in the contract documents is required because of the action taken in response to an emergency, a change order will be processed as stipulated in PART 5, AMENDMENTS AND CHANGES.

3.13 SHOP DRAWINGS AND SAMPLES

A. Provisions on shop drawings and samples are specified in the special provisions.

3.14 CONTINUING THE WORK

A. In the event of a dispute between the parties as to performance of the work, the interpretation of this contact, or payment, or nonpayment of work performed, parties shall attempt to resolve the dispute.

B. Where the dispute is not resolved, Contractor agrees to continue the work diligently to completion and will neither rescind this contact nor stop the progress of the work, but will submit such controversy to determination in accordance with the terms of the contract documents.

1. However, the preceding does not preclude Contractor from stopping or terminating the work in accordance with Articl e 8.03, Contractor May Stop work or Terminate.

C. In the event any litigation is commenced with respect to this contract; such litigation shall not serve to suspend Contractor's obligation to continue performance of the work hereunder.

PART 4 ENGINEER'S STATUS DURING CONSTRUCTION

4.01 AUTHORITY OF ENGINEER

A. Engineer will be the initial interpreter of the requirements of the contract documents and will decide questions, which may arise as to the quality and acceptability of the completed work.

Attachment B
B. In observing Contractor's work, Engineer's efforts will be directed towards providing Owner a greater degree of confidence that the completed work will conform to the intent of the contract documents.

C. Neither the authority of Engineer to act under this Article 4.01 or elsewhere in the contract documents, nor any decision made in good faith shall give rise to any duty by Engineer to Contractor or to any other person or organization, including but not limited to, subcontractors, suppliers, insurers, employees, or agents, whether performing work on the site or not.

D. Engineer shall not be responsible for Contractor's means, methods, techniques, sequences, or procedures for construction for the safety precautions and programs incident thereto, or for the safety of persons or property on or about the site of the work.

4.02 CLARIFICATIONS AND INTERPRETATIONS

A. Engineer will issue with reasonable promptness such written clarifications or interpretations of the requirements of the contact document, in th e form of drawings or otherwise, as Engineer may determine necessary, which shall be consistent with or reasonably inferable from the overall intent of the contract documents.

B. When Contractor believes that a written clarification or interpretation issued by Engineer justifies a change in the contract price or an extension of the contract time, or both, Contractor may make a claim therefore in accordance with Article 5.05, Claims.

1. For such claim, Contractor shall give Engineer:

a. Written notice of such claim within forty-eight (48) hours after the receipt of such written clarification or interpretation from Engineer.
b. Statement and supporting data within 7 days after the receipt of such written clarification or interpretation from Engineer.

2. Except for such claims of record as are made in the manner and within the time stated in this Paragraph B., Contractor shall be deemed to have waived and does hereby waive all claims for damages and for adjustments to the contract time, the contract price, or both, resulting from written clarifications or interpretations issued by Engineer.

3. The claim will be processed as stipulated in Article 5.05, Claims.

4.03 ROLE IN CLAIMS AND DISPUTES

A. Claims, disputes, and other matters relating to the acceptability of the work or the interpretation of the requirements of the contract documents pertaining to the performance and furnishing and installation of the work and claims for changes in the contract price or contract time shall be submitted initially to Engineer, in writing, with a request for a formal decision, in accordance with Article 5.05, Claims.

B. Engineer will render a decision in writing within a reasonable time.

C. The rendering of a decision by Engineer with respe ct to any such claim, dispute, or other matter shall be a condition precedent to any exercise by Contractor of such rights or remedies as it may otherwise have under the contract documents or by Laws and Regulations in respect of any such claim, dispute, or other matter.

D. Engineer, upon receipt of Contractor's claim for a work demand outside the requirements of the contract documents, or for an incorrect or unfair clarification, interpretation, or finding by Engineer, will review the work demand, clarification, interpretati on or finding object of Contractor's claim and will promptly advise Contractor in writing of Engineer's final decision which shall be binding unless, within 10 days thereafter Contractor shall file with Owner a formal protest against said final decision of Engineer.

E. Within 30 days of receipt of such protest owner will render a decision.

F. When Engineer's and Owner's decisions give rise to a claim as defined in Section 20104 (b) (2) of the California Public Contract Code and does not exceed $375,00 0, the requirements and procedures set forth in Section 20104.02 of the California Public Contract code shall apply.

4.04 AUTHORIZED VARIATIONS IN WORK

A. Engineer may authorize minor variations in the work from the requirements of the contract documen ts, which do not involve an adjustment in the contract price or the contract time and are consistent with the overall intent of the contract documents.

B. When Contractor believes that such authorized minor variations justify a change in the contract pr ice or an extension of the contract time and the parties are unable to agree as to the amount or extent thereof, Contractor may make a claim therefore in accordance with Article 5.05, Claims.

Attachment B

4.05 REJECTING DEFECTIVE WORK

A. Engineer will have author ity to disapprove or reject work which Engineer believes to be defective, and will also have authority to require special inspection or testing of the work, whether or not the work is fabricated, installed, or completed.

B. Materials and Equipment

1. Materials and equipment found to be defective, whether in place or not, may be rejected.

2. Rejected materials and equipment shall be removed immediately from the site of the work unless otherwise permitted by Engineer. a. Where Contractor fails to remove and replace rejected material or equipment, Owner has authority to do so and to deduct the cost of removal and replacement from any moneys due or to become due Contractor.

3. Rejected material or equipment subsequently corrected and rendered non -defective may be used in the work only upon acceptance by Engineer.

PART 5 AMENDMENTS AND CHANGES

5.01 AMENDMENTS AND CHANGES TO CONTRACT DOCUMENTS

A. Without invalidating the Agreement and without notification of sureties, the contract documents may be amended and changed to provide for additions, deletions, and revisions or to modify terms and conditions, including changes to the work, contract price, and contract time.

B. Amendments and changes to the contract documents will be authorized by a Supplemental Agreement or a Change Order, except that Engineer may authorize changes in the work as stipulated in:

1. Paragraph 2.03 D., Amendment to Contract Documents.

2. Article 4.04, Authorized Variations in Work.

C. Adjustments to Contract Time and Contract Price

1. The contract time and contract price may only be changed by a Change Order or by a Supplemental Agreement.

2. Upon demand of either Contractor or Owner, an equitable adjustment satisfactory to both part ies will be made in the contract price, the contract time, or both.

3. Contractor shall not be entitled to an increase in the contract price or an extension of the contract time with respect to any work performed that is not required by the contract documents as amended, modified, and supplemented; except as follows:

a. In the case of an emergency, in accordance with Article 3.12, Emergencies.

b. In the case of uncovering work, in accordance with Article

6.04, Covering and Uncovering Work.

D. Execution

1. Supplemental Agreements: Owner and Contractor shall execute Supplemental Agreements, and Owner shall promptly furnish Engineer a copy of such Supplemental Agreements.

2. Change Orders: Owner, Contractor, and Engineer shall execute change orders.

3. Upon receipt of any such document, Contractor shall promptly proceed with the work involved, which shall be performed under the applicable conditions of the contract documen ts or as otherwise specifically provided in such document.

5.02 CHANGE OF CONTRACT PRICE

A. Total Compensation

1. The contract price constitutes the total compensation, subject to authorized adjustments as provided herein, payable to Contractor for performing the work.

2. All duties, responsibilities, and obligations assigned to or undertaken by Contractor shall be at its expense without change in the contract price.

B. The adjustment in contract price will be determined and paid in one of the following ways:

1. By unit prices acceptable to Owner and Contractor.

2. By lump sum prepared by Contractor and found acceptable by Owner.

Attachment B

3. By force account in accordance with Article 5.04, Force Account.

4. Otherwise, as agreed by Owner and Contractor.

C. Upon request by Engineer, Contractor shall submit promptly an itemized cost breakdown together with supporting data, satisfactory to Engineer, substantiating adjustments in contract price.

1. Contractor's expenses for the preparation of supporting data and cost estimates shall not be considered a direct cost payable in the contract price adjustment for an amendment or change.

D. When prices cannot be agreed upon, Owner may take one of the following actions:

1. Partial termination of contract for the items in question:
a. Such partial termination shall not be interpreted as a breach of contract and shall not give rise to Contractor's claim for an adjustment in contract price, contract time, or both.

b. Owner may proceed to have the items in question performed by its own forces or by others.

2. Direct Contractor to proceed with the items in question on a force account basis in accordance with Article 5.04, Force Account.

a. Upon receipt of Owners direction to proceed on a force account basis, Contractor shall promptly undertake the
performance of the items in question under the applicable requirements of the contract documents or as otherwise
specifically provided.

5.03 CHANGE OF CONTRACT TIME

A. Time limits stated in the contract documents are of the essence of the Agreement.

1. The provisions under this article shall not exclude recovery for damages including, but not limited to, fees and charges of engineers, architects, attorneys, and other professionals and court and arbitration costs for delay.

B. Weather Related Extension of Time

1. Contractor may be entitled to an extension of contract when the work has been suspended in whole or in part due to weather conditions which delayed progress; provided that:

a. Such delayed progress is clearly beyond the control of Contractor.

b. Contractor is not at fault.

c. Contractor is not negligent under the terms of the contract documents.

2. Contractor shall submit a claim for a weather-related extension of the contract time so that Engineer receives such claim not later than 10 days following the end of the delay-causing condition.

a. Such claim shall be in writing and shall state the reason for and the extent of the requested time extension.

3. Owner will ascertain the facts and the extent of the delay and make a finding of the facts thereon.

a. No extension in contract time will be allowed for the first 20 working days lost due to weather conditions.

4. Owner may grant an extension of time after the expiration of the original contract time as previously extended, and the extension so granted shall be deemed to commence and be effective from the date of such expiration.

a. No other compensation or payme nt will be allowed for time lost due to weather.

C. Other Delays Beyond Contractor's Control

1. Contractor shall not be assessed liquidated damages for delays in the completion of the work caused by acts of God, acts of criminals, acts of Owner, acts of public utilities, delays covered in Subparagraph 2.05 B.7., fire, floods, epidemics, quarantine restrictions, labor strikes that delay the critical sequence of the work, or delays of subcontractors due to such causes, provided that Contractor shall notify Owner in writing the causes of such delay in accordance with Article 5.05, Claims.

Contractor shall have no claim for any other compensation for any such delay.

D. Limit to Contract Time Extension
Attachment B

1. The contract time will be extended only when and to the extent that the justified causes of delay affect the prosecution of work having a direct effect on the critical sequence of performance (critical path) required to complete the contract within the contract time.

2. Other limitations are stipulated in Paragraph D of Article 6.09, Owner May Correct Defective Work.

5.04 FORCE ACCOUNT

A. When directed by Owner, Contractor should promptly perform changes in the work pursuant to force account procedures.

Under such procedures, Contractor will be compensated for the costs of labor, materials, equipment, overhead, and other concepts as stipulated hereinafter.

2. Change order authorizing force account work.

a. Owner will issue a change order authorizin g force account work, and this change order will include a description of the work to be performed and a preliminary cost estimate
prepared by Engineer.
1) The change orders authorizing force account work
shall be signed by Contractor to acknowledge rece ipt
of Owner's direction but not as an approval of the
preliminary cost estimate.

b. Contractor shall proceed to perform the force account work but shall not exceed the cost set in the change order
authorizing force account work unless by subsequent change order Owner authorizes an additional cost allowance.

c. Upon completion of the force account work, Owner will issue a change order closing the force account work and adjusting the cost figures and contract price as well as adjusting the contract time, when applicable.
1) This change order closing the force account work shall be signed by Contractor to signify Contractor's
acceptance of the adjustments to the contract price
and contract time.

B. For the cost of labor and foremen in direct charge of the specific operations related to the force account work, Contractor will be paid:

1. The cost of wages paid by Contractor at rates not to exceed those for comparable labor currently employed on the work.

2. The cost of industrial accident or Worker's Compensation Insurance.

3. The cost of social security taxes and unemployment compensation insurance.

4. The amounts paid by Contractor by reason of an employment contract generally applicable to its employees.

5. An amount equal to 25% of the cost of wages and other costs listed before to cover Contractor's overhead and profit.

a. Owner will make no additional payment for subcontractors or others employed by Contractor in the performance of force account work.

b. Contractor shall negotiate with subcontractors and others the appropriate compensation for overhead and profit.

C. Cost of Tools and Equipment

1. For the use of power tools and special or heavy equipment, except small tools and minor items of equipment stipulated below, Contractor will be paid in accordance with the current edition of "Labor Surcharge and Equipment Rental Rates" published by the State of California, Department of Transportation, Caltrans.

a. In the event that any of the equipment to be used is not listed in said schedule; the rental rate for such equipment shall be as agreed upon in writing before the force account work is started.

b. No separate payment will be made for the use of small to ols and minor items of equipment which cost shall be considered included in the overhead allowance.
1) As used herein, small tools and minor items of
equipment shall be individual tools or items of
equipment having each a replacement value of $200 or
less.

2. To cover Contractor's overhead and profit, 15% shall be added to such rental rates.

D. Cost of Materials and Equipment

1. For the cost of materials and equipment accepted by Engineer and Attachment B
used or installed in the force account work, Contractor will be paid the actual cost of such material and equipment, including transportation charges, to which cost shall be added a sum equal to 15% thereof to cover Contractor's overhead and profit.

E. Supervision and Overhead

1. No separate payment will be made for general superintendence.

2. The cost of supervision and overhead shall be understood to be included in the 25% added for labor and the 15% added for the other concepts in accordance with the preceding stipulations.

F. Defective Work

1. Contractor shall repair, reconstruct, replace, or otherwise make acceptable work found by Engineer to be defective, and costs incurred by Contractor to make such defective work acceptable shall be considered as included in the 25 and in the 15% overhead a nd profit allowances stipulated previously.

G. Records

1. At the end of each day, Contractor and Engineer shall compare the records of force account work performed and resolve disagreements.

2. Copies of these records shall be made on suitable forms provided for this purpose and signed by Engineer and Contractor.

3. Invoices for force account work shall be certified by Contractor, and shall be submitted to Engineer not later than the 5th day of the month following that in which the force account work was performed.

5.05 CLAIMS

A. . Claims for a change in the contract price or in the contract time shall be based on written notice sent to the Engineer by registered mail or certified mail, r eturn receipt requested, stating clearly and in detail claimant’s objections and reasons for the claim.

1. The notice shall be delivered within the number of days stipulated in each case, and where the number of days is not stipulated, promptly, but in no event later than 10 days after the occurrence of the event giving rise to the claim.

B. The notice shall be followed with a statement delivered to Engineer, detailing the adjustment to the contract price or contract time, or both, sought by the claimant together with supporting data and a declaration, as set forth in the following:

1. The statement and supporting data shall be delivered within the number of days stipulated in each case, and where the number of days is not stipulated, not later than 20 days after the occurrence of the event giving rise to the claim, unless Engineer allows an additional period of time to ascertain more accurate data in support of the claim.

2. The statement and supporting data shall be accompanied by claimant's written declaration that the amount and time claimed cover all known amounts (direct, indirect, and consequential) and time to which the claimant is entitled as a result of the occurrence of said event.

C. Review of Claims

1. As required by Public Contracts Code Section 9204, a copy of which is attached and incorporated herein, Engineer will review claims within a reasonable time, not to exceed 45 days, and will provide a written statement identifying what portion of the claim is disputed and what portion is undisputed to claimant and to the other party. Upon receipt of a claim, a public entity and a contractor may, by mutual agreement, extend the time period provided in this subdivision. a. If the Engineer needs approval from the City Council to provid e the claimant a written statement identifying the disputed portion and the undisputed portion of the claim, and the City Council does not meet within the 45 days or within the mutually agreed to extension of time following receipt of a claim sent by registered mail or certified mail, return receipt requested, the public entity shall have up to three days following the next duly publicly noticed meeting of the governing body after the 45 -day period, or extension, expires to provide the claimant a written statement identifying the disputed portion and the undisputed portion. b. Any payment due on an undisputed portion of the claim shall be processed and made within 60 days after the Engineer issues his or her written statement. If the Engineer fails to issue a written statement, Failure by the Engineer to respond to a claim from a contractor within the time periods described above or to otherwise meet the time requirements set forth herein shall result in the claim being deemed rejected in its entirety. A claim that is denied by reason of the Engineer’s failure to have responded to a claim, or its failure to otherwise meet the time requirements set forth herein, shall not constitute an adverse finding with regard Attachment B
to the merits of the claim or the responsibility or qualifications of the claimant.

2. If the claimant disputes the Engineer’s written response, or if the Engineer fails to respond to a claim within the time prescribed, the claimant may demand in writing an informal conference to meet and confer for settlemen t of the issues in dispute. Upon receipt of a demand in writing sent by registered mail or certified mail, return receipt requested, the public entity shall schedule a meet and confer conference within 30 days for settlement of the dispute.

3. Within 10 busin ess days following the conclusion of the meet and confer conference, if the claim or any portion of the claim remains in dispute, the Engineer shall provide the claimant a written statement identifying the portion of the claim that remains in dispute and t he portion that is undisputed. Any payment due on an undisputed portion of the claim shall be processed and made within 60 days after the public entity issues its written statement. Any disputed portion of the claim, as identified by the contractor in writing, shall be submitted to non-binding mediation, with the Engineer and the claimant sharing the associated costs equally. The Engineer and claimant shall mutually agree to a mediator within 10 business days after the disputed portion of the claim has been identified in writing. If the parties cannot agree upon a mediator, each party shall select a mediator, and those mediators shall select a qualified neutral third party to mediate regarding the disputed portion of the claim. Each party shall bear the fees and costs charged by its respective mediator in connection with the selection of the neutral mediator. If mediation is unsuccessful, the parts of the claim remaining in dispute shall be subject to applicable procedures outside this section.
a. For purposes o f this section, mediation includes any non - binding process, including, but not limited to, neutral evaluation or a dispute review board, in which an independent third party or board assists the parties in dispute resolution through negotiation or by issu ance of an evaluation. Any mediation utilized shall conform to the timeframes in this section. b. Unless otherwise agreed to by the Engineer and the contractor in writing, the mediation conducted pursuant to this section shall excuse any further obligation un der Public Contracts Code Section 20104.4 to mediate after litigation has been commenced. c. This section does not preclude the Engineer from requiring arbitration of disputes under private arbitration or the Public Works Contract Arbitration Program if media tion under this section does not resolve the parties' dispute.

4. Amounts not paid in a timely manner as required herein shall bear interest at 7 percent per annum.

5. If a subcontractor or a lower tier subcontractor lacks legal standing to assert a claim against the City because privity of contract does not exist, the contractor may present to the Engineer a claim on behalf of a subcontractor or lower tier subcontractor. A subcontractor may request in writing, either on his or her own behalf or on behalf of a lower tier subcontractor, that the contractor present a claim for work which was performed by the subcontractor or by a lower tier subcontractor on behalf of the subcontractor. The subcontractor requesting that the claim be presented to the Engineer shall f urnish reasonable documentation to support the claim. Within 45 days of receipt of this written request, the contractor shall notify the subcontractor in writing as to whether the contractor presented the claim to the public entity and, if the original contractor did not present the claim, provide the subcontractor with a statement of the reasons for not having done so.

6. A waiver of the rights granted by this section is void and contrary to public policy, provided, however, that (1) upon receipt of a claim, the parties may mutually agree to waive, in writing, mediation and proceed directly to the commencement of a civil action or binding arbitration, as applicable; and (2) the Engineer may prescribe reasonable change order, claim, and dispute resolution pr ocedures and requirements in addition to the provisions of this section, so long as the contractual provisions do not conflict with or otherwise impair the timeframes and procedures set forth in this section.

D. Claims for an adjustment in contract price or contract time, or both, will be invalid when not submitted in accordance with this article.

E. Provisions relating to claims are stipulated elsewhere in these General conditions and include:

1. Subparagraph 2.03 C.2.: Claim for omissions, confli cts, errors, or discrepancies in the contract documents.

2. Subparagraph 2.05 A.4.: Claim for Owner's delay in furnishing lands, rights-of-way, or easements.

3. Subparagraph 2.05 B.8.: Claim for interference or relocation of underground facilities.

4. Subparagraph 3.01 A.1.a.: Claims for demands outside the requirements of the contract documents, or for incorrect or unfair actions of Engineer.

5. Paragraph 4.02 B.: Claims for increase in contract price or extension of contract time as a consequence of a clarification or interpretation by Engineer.

6. Article 4.03: Engineer's role in claims and disputes.

7. Paragraph 4.04 B.: Claim for increase of contract price or extension Attachment B
of contact time as a consequence of a minor variation.

8. Paragraph 6.04 B.: Claims for increase in contract price or extension of contract time or both for uncovering work.

9. Article 6.08: Claims related to acceptance of work that is defective.

10. Paragraph 6.09 C.: Claims related to Owner's correction of defective work.

11. Paragraph 8.01 B.: Contractor's claim for an increase in contract price, an extension of contract time, or both in case of suspension of work by Owner.

PART 6 QUALITY ASSURANCE AND QUALITY CONTROL

6.01 CONTRACTOR'S WARRANTY

A. Contractor warrants and guarantees to Owner and Engineer that the work will be in accordance with the contract documents and will not be defective.

1. Prompt notice of defects observed by Engineer or Owner will be given to Contractor.

a. However, Owner and Engineer are under no obligation to do so and neither Owner nor Engineer shall be held liable
because Owner or Engineer does not discover defective work during the progress of construction.

2. Defective work, whether or not in place, may be rejected, corrected, or accepted as provided in this PART 6, QUALITY ASSURANCE

AND QUALITY CONTROL

B. The warranty provided herein should not be in lieu of, but shall be in addition to any warranties or other obligations otherwise imposed by the contract document or by law.

1. The remedies provided herein should not be exclusive and Owner shall be entitled to any and all remedies provided by law.

6.02 ACCESS TO WORK

A. Engineer and Engineer's representatives, other representatives of Owner, testing agencies, and governmental agencies with jurisdictional interests shall have access to the work at reasonable times for their observation, inspecting, and testing.

B. Contractor shall provide proper and safe conditions for such access.

6.03 TESTS AND INSPECTIONS

A. Contractor shall give Engineer timely notice of readiness of the work for required inspections, tests, or approvals.

B. The City shall be responsible for arranging and obtaining inspection and tests. City shall pay for all costs associated with the initial test at any location. If the tested material fails the test, the Contractor shall repair, rework, reconstruct, and pe rform all work necessary to achieve the final condition specified by the contract documents, and shall pay all costs associated with any and all subsequent tests until the material meets or exceeds the test criteria. Contractor shall be responsible for ob taining approvals, and shall submit Contractor's work for inspection, testing, or approval required:

1. Specifically by Laws and Regulations of any public body having jurisdiction over the work or a part thereof.

2. In connection with Owner or Engi neer's acceptance of a supplier of materials or equipment proposed to be incorporated in the work.

3. Of materials or equipment submitted for approval prior to Contractor's purchase thereof for incorporation in the work.

C. The cost of inspections, tests, and approvals in addition to those stipulated in the preceding Paragraph B, which are required by the contract documents, shall be paid by Owner unless otherwise specified in the specifications.

D. Inspections, tests, or approvals other than thos e required by Laws or Regulations of any public body having jurisdiction shall be performed by organizations acceptable to Owner.

E. Neither observations by Engineer nor inspections, tests or approvals by others shall relieve Contractor from Contractor's obligations to perform the work in accordance with the contract documents.

6.04 COVERING AND UNCOVERING WORK

A. When work, including work of others, that is to be inspected, tested, or approved is covered without written concurrence of Engineer, it shall, when requested by Engineer, be uncovered for observation.

Attachment B

1. Such uncovering shall be at Contractor's expense unless Contractor has given Engineer timely notice of Contractor's intention to cover the same and Engineer has not acted with reasonable promptness in response to such notice.

B. When work is covered contrary to the written request of Engineer, it sh all, when requested by Engineer, be uncovered for Engineer's observation and replaced at Contractor's expense.

C. When Engineer considers it necessary or advisable that covered work be observed by Engineer or inspected or tested by others, Contractor, a t Engineer's request, shall uncover, expose or otherwise make available for observation, inspection or testing, as Engineer may require, that portion of the work in questions, furnishing all necessary labor, material and equipment.

1. When it is found that such work is defective, Contractor shall bear all direct, indirect and consequential costs of such uncovering, exposure, observation, inspection and testing and of satisfactory reconstruction, (including, but not limited to, fees and charges of engineers, architects, attorneys and other professionals), and Owner shall be entitled to an appropriate decrease in the contract price, and, when the parties are unable to agree as to the amount thereof, may make a claim therefore in accordance with Article 5.05, Claims.

2. When, however, such work is not found to be defective, Contractor shall be allowed an increase in the contract price or an extension of the contract time, or both, directly attributable to such uncovering, exposure, observation, inspectio n, testing and reconstruction; and, when the parties are unable to agree as to the amount or extent thereof, Contractor may make a claim therefore in accordance with Article 5.50, Claims.

6.05 OWNER MAY STOP THE WORK AND TERMINATE THE CONTRACT

A. Stopping the Work by Owner

1. When the work is defective or Contractor fails to supply sufficient skilled workers or suitable materials or equipment, or fails to furnish or perform the work in such a way that the completed work will conform to the contract documents, Owner may order Contractor to stop the work, or any portion thereof, until the cause for such order has been eliminated.

2. However, this right of Owner to stop the work shall not give rise to any duty on the part of Owner to exercise this right for the benefit of Contractor or any other party.

B. Terminating the Work by Owner

1. Owner may serve written notice upon Contract or and its surety of Owner's intention to terminate the contract, said notice containing the reasons for such intention to terminate the contract, and unless within 10 days after the service of such notice such violations shall cease and satisfactory arran gements for the corrections thereof be made, the contract shall, upon the expiration of said 10 days, cease and terminate.

2. In the event of any such termination, Owner will immediately serve written notice thereof upon the surety. Contractor and the surety shall have the right to take over and perform the contract; provided, however, that when the surety, within 15 days after the serving upon it of a notice of termination, does not give Owner written notice of surety's intention to take over and perfo rm the contract or does not commence performance thereof within 30 days from the date of serving said notice, Owner may take over the work and prosecute the same to completion by contract or by any other method Owner may deem advisable for the account and at the expense of Contractor and its surety, shall be liable to Owner for any excess cost or other damage caused to Owner thereby, and in such event Owner may, without liability for so doing, take possession of and utilize in completing the work such mater ials, equipment, appliances, plants and other property belonging to Contractor that may be on the site of the work and be necessary therefore.

3. For any portion of such work that Owner elects to complete by furnishing employees, materials, tools and equipment, Owner will be compensated for such in accordance with the schedule of compensation for force account work under the article on payment for changes in the work.

C. The provisions in this Article 6.05 are in addition to and not in limitation of any other rights or remedies available to Owner.

6.06 CORRECTION OR REPLACEMENT OF DEFECTIVE WORK

A. When required by Engineer, Contractor shall promptly, as directed, either correct defective work, whether or not fabricated, installed or completed, or, where the work has been rejected by Engineer, remove it from the site and replace it with non-defective work.

B. Contractor shall bear all direct, indirect and consequential costs of such correction or replacement and removal (including but not limited to fees and charges of engineers, architects, attorneys and other professionals) made Attachment B
necessary thereby.

6.07 ONE YEAR CORRECTION PERIOD

A. When within one year after the date of Owner's acceptance of the work or such longer period of time as may be prescribed by Laws or Regulations or by the terms of any applicable special guarantee required by the contract documents or by any specific provis ions of the contract documents, any work is found to be defective, Contractor shall promptly, without cost to Owner and in accordance with Owner's written instructions, either correct such defective work, or, when it has been rejected by Owner, remove it from the site and replace it with non-defective work.

B. Where Contractor does not promptly comply with the terms of such instructions, or in an emergency where delay would cause serious risk of loss or damage, Owner may have the defective work corrected or the rejected work removed and replaced, and all direct, indirect and consequential costs of such removal and replacement (including but not limited to fees and charges of engineers, architects, attorneys and other professionals) shall be paid by Contractor.

1. In special circumstances where a particular item of equipment is placed in continuous service before final acceptance of the work by Owner, the correction period for that item may start to run from an earlier date when so provided in the speci fications or by Supplemental Agreement.

C. In the event it is necessary for Owner to file suit to enforce any liability of Contractor pursuant to this Article 6.07, Owner shall be entitled to recover from Contractor, in addition to all other amounts found due and owing, costs of suit and expenses including, but not limited to, fees of engineers, architects, attorneys and other professionals and court and arbitration costs arising directly, indirectly or consequential out of any action, legal or equitable, caused by the successful enforcement of Contractor's obligations, all to be taxed as costs and included in any judgement rendered.

D. Contractor shall execute and deliver, to Engineer, a copy of Document 00680, Warranty Form, before Owner's final acceptance of the work.

6.08 ACCEPTANCE OF DEFECTIVE WORK

A. When instead of requiring correction or removal and replacement of defective work, Owner (and, prior to Engineer's recommendation of final payment, also Engineer) prefers to accept it, owner may do so.

B. Contractor shall bear all direct, indirect and consequential costs attributable to Owner's evaluation of and determination to accept such defective work (such costs to be approved by Engineer as to reasonableness and to include but not be limi ted to fees and charges of engineers, architects, attorneys and other professionals).

C. When any such acceptance occurs prior to Engineer's recommendation of final payment, a Change Order will be issued incorporating the necessary revisions in the cont ract documents with respect to the work; and Owner shall be entitled to an appropriate decrease in the contract price, and, when the parties are unable to agree as to the amount thereof, Owner may make a claim therefore in accordance with Article 5.05, Claims.

D. When the acceptance occurs after such recommendation, an appropriate amount shall be paid by Contractor to Owner.

6.09 OWNER MAY CORRECT DEFECTIVE WORK

A. When Contractor fails within a reasonable time after written notice of Engineer to proceed to correct and to correct defective work or to remove and replace rejected work as required by Engineer in accordance with provisions stipulated elsewhere in these General Conditions, or when Contractor fails to perform the work in accordance with the contract documents, or when Contractor fails to comply with any other provision of the contract documents, Owner may, after 7 days written notice to Contractor, correct and remedy any such deficiency.

B. In exercising the rights and remedies under this Article 6.09, Owner will proceed expeditiously.

1. To the extent necessary to complete corrective and remedial action, Owner may exclude Contractor from all or part of the site, take possession of all or part of the work, and suspend Contractor's services related thereto, take possession of Contractor's tools, appliances, construction equipment and machinery at the site and incorporate in the work all materials and equipment stored at the site or for whic h Owner has paid Contractor but which are stored elsewhere.

2. Contractor shall allow owner such access to the site as may be necessary to enable Owner to exercise the rights and remedies under this Article 6.09.

C. All direct, indirect and conseque ntial costs of Owner in exercising such rights and remedies will be charged against Contractor in an amount approved as to reasonableness by Engineer, and a Change Order will be Attachment B
issued incorporating the necessary revisions in the contract documents with respect to the work; and owner shall be entitled to an appropriate decrease in the contract price, and, when the parties are unable to agree as to the amount thereof, Owner may make a claim therefore in accordance with Article 5.05, Claims.

1. Such direct, indirect and consequential costs will include but not be limited to fees and charges of engineers, architects, attorneys and other professionals, all court and arbitration costs and all costs of repair and replacement of work of others destroyed or damag ed by correction, removal or replacement of Contractor's defective work.

D. Contractor shall not be allowed an extension of the contract time because of any delay in performance of the work attributable to the exercise by Owner of Owner's rights and remedies under this Article 6.09.

6.10 STORM WATER POLLUTION PREVENTION

A. Summary

1. Requirements for preparation and implementation of the Storm Water Pollution Prevention Plan for the Contractor’s construction activities.

B. References

1. United States Code of Federal Regulations (CFR):

a. 40 CFR Part 117.
b. 40 CFR Part 302.

2. State of California, State Water Resources Control Board, Regional Water Quality Control Board (SWRCB).

C. Submittals

1. Storm Water Pollution Prevention Plan:

a. Prepare and submit a Storm Water Pollution Prevention Plan (Plan) in accordance with Section A of the General
Construction Activity Storm Water Permit to the Owner for reference.

b. Prepare and submit a monitoring program and reporting plan in accordance with Section B of the General Construct ion Activity Storm Water Permit to the Owner for reference.

c. Submit to the Owner for reference a Storm Water Pollution Prevention Plan detailing the placement of physical Best Management Practices (BMPs) required for installation and the methods used to co mply with those BMPs directed at operational procedures, Monitoring Program and Reporting Plan.

d. The plan shall specifically address and detail changes from the alternatives called out in this section. The Contractor’s preferred techniques shall show how it will comply with the stated objectives of the program.

e. The plan shall address various project phases and operations, including BMPs specific to earthwork sequencing (demolition, stockpiling, material segregation, etc.).

f. A copy of the Notice of Intent (NOI) must be submitted to the City of Santa Maria as required by the NPDES Phase II
regulation.

g. All submittals are required prior to issuance of the Notice to Proceed.

Attachment B

D. Contractor’s Responsibilities

1. Keep and maintain the Plan at the construction site for the duration of the project.

E. BMP Products

1. General: Those products required to implement the BMPs.

F. Execution – Contractor’s Actions

1. Take the proper actions to prevent contaminants and sediments from entering the storm drainage system should any unf oreseen circumstance occur.

2. Take immediate action if directed by the City Engineer, or if the Contractor observes contaminants and/or sediments entering the storm drainage system, to prevent further storm water from entering the system.

3. Pay all fines and respond to Notice of Violations.

PART 7 PAYMENTS TO CONTRACTOR AND COMPLETION

7.01 SCHEDULE OF VALUES

A. Basis for Progress Payments

1. The schedule of values established as specified in the special provisions shall serve as the basis for progress payments and will be incorporated into a form of Application for Payment acceptable to Engineer.

2. Progress payments on account of unit price work will be based on the number of units completed.

7.02 APPLICATION OF PROGRESS PAYMENT

A. Once each month Owner will process a progress payment on the basis of an Application for Payment approved by Engineer for work completed during the preceding month.

1. The Application for Payment shall be prepared and signed by Contractor who shall submit it to Engineer.

B. The Application for Payment shall cover work performed by Contractor during the preceding month plus the paid invoice cost of materials and equipment suitably stored at the site of the work.

1. Payment for material and equipme nt stored shall be based on vendors' paid invoices, which shall be listed by Contractor.

a. The first Application for Payment in which payment is requested for material and equipment suitably stored shall include a copy of the paid invoice covering the material and equipment; a warranty that the materials and equipment are free and clear of liens, charges, security interests, and encumbrances; and evidence that the materials and
equipment are covered by appropriate property insurance and other arrangements to protect Owner's interest therein; all of which will be satisfactory to Owner.

1) Contractor shall prepare and update for each
Application for Payment a list of invoices showing:

a) The total amount of each invoice.

b) The invoice amount that has been incorporated
in the work.

c) The remaining invoice amount that is stored for
which payment is requested that month.

b. Only material and equipment that will become an integral part of the work may be included in the Application for Payment.

c. Payments for job site delivered material or equipment shall not reduce Contractor's responsibility for such material or equipment until final acceptance of the work by Owner.

C. Owner will withhold part of the progress payment amount, as follows:

1. Not more than 5% of the progress payment amount until the work is complete.

2. As stipulated in Document 00022, Notice Invitin g Bids, Contractor may substitute securities for any monies withheld by Owner. a. Procedures shall be as provided in Section 22300 of the California Public Contract Code.

Attachment B

7.03 CONTRACTOR'S WARRANTY OF TITLE

A. Contractor warrants and guarantees that title to work, materials and equipment covered by an Application for Payment, whether incorporated in the work or not, shall pass to Owner no later than the time of payment free and clear of liens, charges, security interests, and encumbrances.

B. Nothing in the contract shall be construed as vesting in Contractor any right of property in material and equipment used after they have been attached or affixed to the work or the soil and accepted.

1. Such materials and equipment shall become the pro perty of Owner upon being so attached or affixed and accepted.

7.04 PARTIAL ACCEPTANCE

A. Unless otherwise specified in the special provisions, no partial acceptance of the work will be made, and no acceptance other than the final acceptance of the completed work will be made.

B. Acceptance of parts of the work shall not be construed as final acceptance until owner makes final acceptance of the completed work.

7.05 NOTICE OF READINESS AND FINAL OBSERVATION

A. After Contractor has completed the wo rk to the best of its knowledge, including Contractor's inspection, testing and cleanup, Contractor shall notify Engineer by written memorandum that the work has been completed and is ready for final observation by Engineer.

B. In accordance with Paragraph 4.01B, Engineer will perform observation of the work promptly after receipt of Contractor's notification.

1. Items observed by Engineer to be defective will be noted to Contractor.

2. After Contractor has corrected defective items, the procedur e shall be the same as stipulated under this Article 7.05 for Contractor's Notice of Readiness and Final Observation.

C. When, upon observing the work, Engineer finds no defective work, materials, or equipment, and Engineer finds the work to be in compl iance with the contract documents, Engineer will notify Owner promptly that the work has been completed.

7.06 FINAL PAYMENT AND FINAL ACCEPTANCE

A. For and in consideration of the performance of the work, Owner will pay Contractor the amount earned as computed from the actual quantities of work performed under the contract and will make such payment in the manner and at the times stipulated. Not with standing any other language in this agreement, withholding and payment shall comply with Public Contract Code, Section 7107.

B. Within 30 days after final acceptance of the work, Engineer will render to Owner and to Contractor a final estimate which will show the amounts due Contractor.

C. Within 40 days after the final acceptance of the work, Owner will pay to Contractor the amounts due under the contract, except that before the final payment will be made, Contractor shall:

1. Satisfy Owner by affi davit that all bills for labor and materials incorporated in the work have been paid.

2. Complete and submit, to Engineer, a Certification relinquishing any and all claims or right of lien under, in connection with, or as a result of the work.

D. The date upon which the work will be considered as complete shall be the date upon which Owner accepts the work.

E. This section shall not prohibit a public entity from placing in a public works contract and enforcing a contract provision which provides that payment of undisputed contact amounts is contingent upon the Contractor furnishing the public entity with a release of all claims against the public entity arising by virtue of the public works contract related to those amounts. Disputed contract clai ms in stated amounts may be specifically excluded by the Contractor from the operation of the release.

7.07 CONTRACTOR'S CONTINUING OBLIGATION

A. Contractor's obligation to perform and complete the work in accordance with the contract documents shall be absolute.

B. Neither recommendation of any progress or final payment by engineer, nor the issuance of a certificate of final completion, nor any payment by Owner to Contractor under the contract documents, nor any use or occupancy of the work or any part thereof by Owner, nor any act of acceptance by Owner nor any failure to do so, nor any review and approval of a shop drawing or sample submission, nor the issuance of a notice of acceptability by Engineer, nor any correction of defective work by Owner shall constitute an acceptance of work not in accordance with the contract documents or a Attachment B
release of Contractor's obligation to perform the work in accordance with the contract documents.

PART 8 SUSPENSION OF WORK AND TERMINATION

8.01 OWNER MAY SUSPEND WORK

A. Owner may, at any time and without cause, suspend the work or any portion thereof for a period of not more than 90 days by notice in writing to Contractor and Engineer.

1. In the notice, Owner will fix the date on which work will be resumed.

2. Contractor shall resume the work on the date so fixed.

B. Contractor will be allowed an increase in the contract price or an extension of the contract time, or both, directly attributable to any suspension when Contractor makes an approved claim the refore in accordance with Article

5.05, Claims.

8.02 OWNER MAY TERMINATE

A. Upon 7 days written notice to Contractor and Engineer, Owner may, without cause and without prejudice to any other right or remedy, elect to abandon the work and terminate the agreement.

1. In such case, Contractor shall be paid for all work executed and any expense sustained plus reasonable termination expenses, which will include, but not be limited to, direct, indirect and consequential costs (including, but not limited t o, fees and charges of engineers, architects, attorneys and other professionals and court and arbitration costs).

8.03 CONTRACTOR MAY STOP WORK OR TERMINATE

A. When, through no act or fault of Contractor, the work is suspended for a period of more than 90 days by Owner or under an order of court or other public authority, or Engineer fails to act on any application for payment within 30 days after it is submitted , or Owner fails for 60 days to pay Contractor any sum finally determined to be due, then Contractor may, upon 7 days written notice to Owner and Engineer, and provided Owner or Engineer do not remedy such suspension or failure within that time, terminate the agreement and recover from owner payment on the same terms as provided in Article 8.02, Owner May Terminate.

1. In lieu of terminating the agreement and without prejudice to any other right or remedy when Engineer has failed to act on an application for payment within 30 days after it is submitted, or Owner has failed for 60 days to pay Contractor any sum finally determined to be due, Contractor may, upon 7 days written notice to Owner and Engineer, stop the work until payment of all such amounts due Contractor including interest.

B. The provisions of this Article 8.03 are not intended to preclude Contractor from making claim under Article 5.02, Change of Contract Price and Article

5.03, Change of Contract Time.

Attachment B
PART 9 PUBLIC CONTRACT CODE SECTION 9204

Attachment B

PART 10 MISCELLANEOUS

10.01 ASSIGNMENT OF PAYMENTS

A. No assignment by Contractor of the whole or any part of the contract, or of funds to be received there under by Contractor, will be recognized by Owner unless such assignment has had prior consent of Owner, and Contractor's surety has been given due notice of such assignment in writing and has consented thereto in writing.

10.02 ASSIGNMENT TO AWARDING BODY

A. In entering into a public works contract or a subcontract to supply goods, services, or materials pursuant to a public works contract, Contractor or subcontractor offers and agrees to assign to Owner all rights, title, and interest in and to all causes of action it may have under Section 4 of the Clayton Act (15 U.S.C. Section 15) or under the Cartwright Act (Chapter 2 [commencing with Section 16700 ] of Part 2 of Division 7 of the Business and Professions Code), arising from purchases of goods, services, or materials pursuant to this contract or the subcontract.

B. This assignment shall be made and become effective at the time Owner tenders final payment to Contractor, without further acknowledgement by

Attachment B
the parties.

10.03 RESPONSIBILITY FOR INDEBTEDNESS

A. Indebtedness incurred for any cause in connection with the work shall be paid by Contractor, and Owner is hereby relieved at all times from any indebtedness or claim other than payments under terms of the contract or under applicable Laws and Regulations.

10.04 PROVISIONS REQUIRED BY LAW

A. Each and every provision of law and clause required by Laws and Regulations to be inserted in the co ntract shall be deemed to be inserted herein, and the contract shall be read and enforced as though each such provision of law and clause were included herein.

B. When through mistake or otherwise any such provision of law and clause is not inserted or is not correctly inserted, then upon the application of either party, the contract shall forthwith be physically amended to make such insertion.

10.05 NOTICE AND SERVICE THEREOF

A. Any notice to Contractor from Owner relative to any part of the contract shall be in writing and considered delivered and the service thereof completed when said notice is posted, by registered mail, to Contractor at its last given address, or delivered in person to Contractor or its representative on the work.

10.06 RIGHT-OF-WAY DELAYS

A. Contractor shall contact all utility companies, and others, who have facilities and predicate his schedule for the work upon the anticipated time of clearance. The City shall not be held either responsible or liable for any delay in the proceeding of the work, and any reference to "Right -of-Way Delays" in the standard specifications shall not apply to any portion of this work. Such delays, if substantiated to the satisfaction of the Engineer, may be the basis for an extension of time for completing the project.

PART 11 INTEGRATION

11.01 ORAL MODIFICATIONS INEFFECTIVE

A. No oral order, objection, claim or notice by any party to the other shall effect or modify any of the terms or obligations contained in any of the contract documents and one of the provisions of the contract documents shall b held to be waived or modified by reason of any act whatsoever, other than by a definitely agreed waiver or modification thereof in writing, and no evidence shall be introduced in any proceeding of any other waiver of modification.

B. The waiver by Owner of any breach of any term or obligation in the contact documents shall not be deemed a waiver of such term or obligation, or any subsequent breach of the same or any other term or obligation contained in the contract documents.

11.02 CONTRACT DOCUMENTS REPRESENT ENTIRE AGREEMENT
A. The contract documents represent the entire understanding of the Owner and Contractor as to those matters contained herein, and no prior oral or written understanding shall be of any for ce or effect with respect to those matters covered by the contract documents.

11.03 EXISTING LAWS
Where these contract documents conflict with existing California or local laws, the existing laws shall have precedence.

*** END OF DOCUMENT 00700 ***

ATTY Rev 2013

Attachment B

EXHIBIT “B”

SCOPE OF SERVICES

EQUIPMENT REPLACEMENT:
 Remove and recycle two existing roof top HVAC units.
 Install two new 18 -ton roof top HVAC units (COMPU -AIRE MKA -2034-RTU) designed for computer and technology environments.
 Provide and install a new adaptor curb for each unit to allow for use of existing curbs.
 Remove portions of ductwork that are undersized for the airflow from the new units.  Provide and install a new adaptor curb for each unit to allow for use of existing DUCT AND ELECTRICAL UPGRADES:
 Upgrade portions of the ductwork to support the increased airflow.  Modify electrical systems to meet the power requirements of the new equipment.  Create a new transfer-air opening between the corridor and attic.

SAFETY AND SYSTEM INTERGRATION:
 Integrate isolation dampers into fire alarm.
 Provide and install isolation dampers that will close upon activation of the clean agent fire suppression system.
 Integrate new units into existing Automated Logic Controls.

TESTING, COMMISSIONING, AND TRAINING:
 Start up and test all new equipment.

FLASHING:
 Work to be completed during regular hours on public works wages.  Remove metal flashing at 2 exterior vents and replace with metal flashing custom fit to each vent.
 All seams shall be sealed with exterior grade, UV-resistant sealant and color to match building exterior.

Subject to the terms and conditions of ezIQC Contract CA-R7-GB-101723-NCM.

Work Order Signature Document
Work Order Signature Document Page 1 of 1
8/20/2026

EZIQC Contract No.: CA-R7-GB-101723-NCM

X New Work Order Modify an Existing Work Order
Work Order Number.: 152502.00 Work Order Date: 08/20/2026 Work Order Title: City of Santa Maria IT Room HVAC Project Owner Name: City of Santa Maria Contractor Name: Newton Construction & Management Contact: Sam Angulo Contact: Darin Terrazas
Phone: 805-925-0951 Phone: 805-544-5583
Work to be Performed
Work to be performed as per the Final Detailed Scope of Work Attached and as per the terms and conditions of Sourcewell EZIQC Contract No CA-R7-GB-101723-NCM.

Brief Work Order Description:

Time of Performance Estimated Start Date:

Estimated Completion Date:

Liquidated Damages Will apply: Will not apply: X
Work Order Firm Fixed Price: $902,594.38

Owner Purchase Order Number:

Approvals

City of Santa Maria Date Newton Construction & Management Date

Attachment B

Attachment B

EXHIBIT “C”

PAYMENT

I. Progress Authorization

Written authorization to proceed from the City authorizes the Contractor to generate the not-to­ exceed cost of NINE HUNDRED TWO THOUSAND FIVE HUNDRED NINETY-FOUR AND THIRTY-EIGHT CENTS in fees for all work.

Task 1: Bond $ 19,429.63
Task 2: Controls $ 21,180.00
Task 3: CRAC Units $ 695,875.00
Task 4: Crane $ 4,462.45
Task 5: Ducting $ 81,434.32
Task 6: Dumpster $ 735.13 Task 7: Electrical $ 38,608.05
Task 8: Fire Alarm $ 12,693.46
Task 9: Framing $ 1,294.49
Task 10: HVAC $ 15,063.01
Task 11: Roof Curb $ 3,933.65
Task 12: Roofing $ 1,317.44
Task 13: Temp Cooling $ 6,507.75
Total Not-To-Exceed Cost: $ 902,594.38

II. Invoice procedure.

A. Payment shall be at the conclusion of the Project based on the billable charges.

B. The Contractor shall present the bill for charges by the second day of the month.

C. The Contractor's bill shall be substantiated by appropriate documentation, and include an itemized listing of personnel, subcontractors, and other direct costs incurred.

III. Maximum billable amounts

Under no circumstance shall the total of all payments to the Contractor exceed ninety percent (90%) of the maximum not-to-exceed cost, prior to acceptance by the City of all items to be completed as noted within Exhibit "B".

Attachment B

Attachment B

Attachment B

Attachment B
EXHIBIT “D”

INSURANCE REQUIREMENTS

Provider shall procure and maintain for the duration of the contract insurance against claims for injuries to persons or damages to property which may arise from or in connection with the performance of the work hereunder by the Provider, his/her agents, representatives, or employees. If the Provider maintains broader coverage and/or higher limits than the minimums shown above, the City requires and shall be entitled to the broader coverage and/or higher limits maintained by the Provider.

A. Minimum Scope of Insurance

Coverage shall be at least as broad as:

1. Insurance Services Office Commercial General Liability coverage (occurrence form CG 0001), including products and completed operations, property damage, bodily injury and personal & advertising injury.

2. Insurance Services Office Business Auto Coverage Form Number CA 00 01 covering any auto (Code 1), or if Provider has no owned autos, covering hired (Code 8) and non-owned autos (Code 9).

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

4. Errors and Omissions liability insurance appropriate to the Provider's profession. Architects' and engineers' coverage is to be endorsed to include contractual liability.

B. Minimum Limits of Insurance

Provider shall maintain limits no less than:

1. General Liability - $2,000,000 per occurrence for bodily injury, personal injury and property damage. If Commercial General Liability Insurance or other form with a general aggregate limit is used, either the general aggregate limit shall apply separately to this project/location (ISO CG 25 03 or 25 04) or the general aggregate limit shall be twice the required occurrence limit.

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

3. Workers’ Compensation: Statutory limits.

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

5. Errors and Omissions Liability - $1,000,000 per occurrence or claim, $2,000,000 aggregate.

C. Self-insured Retentions

Self-insured retentions must be declared to and approved by the City.

The City may require the Provider to purchase coverage with a lower retention or provide proof of ability to pay losses and related investigations, claim administration and defense expenses within the retention.

D. Other Insurance Requirements

The policies are to contain, or be endorsed to contain, the following provisions:

1. The City, its officers, officials, employees and volunteers are to be covered as additional insureds on the CGL policy with respect to liability arising out of work or operations performed by or on behalf of the Provider including materials, parts or equipment furnished in connection with such work or
operations. General liability coverage can be provided in the form or an endorsement to the Provider’s insurance (at least as broad as ISO Form CG 20 10 11 85 or both CG 20 10, CG 20 26, CG 20 33, or CG 20 38 and CG 20 37 forms if later revisions are used).

2. For any claims related to this project, the Provider's insurance coverage shall be primary insurance coverage at least as broad as ISO CG 20 01 04 13 as respects the City, its officers, officials, employees and volunteers. Any insurance or self -insurance maintained by the City, its officers, officials, employees or volunteers shall be excess of the Provider's insurance and shall not contribute with it.

3. Each insurance policy required by this clause shall be endorsed to state that coverage shall not be canceled or reduced, except with notice stating the title of this contract to the City. All notices provided pursuant to this Agreement shall be given to the City representative listed for notice in this agreement Attachment B
and shall specify the title of this Agreement. Notice may be given by overnight mail, facsimile with confirmation of receipt, or certified mail with return-receipt requested.

4. Provider hereby grants to City a waiver of any rig ht to subrogation which any insurer of said Provider may acquire against the City by virtue of the payment of any loss under such insurance. Provider agrees to obtain any endorsement that may be necessary to affect this waiver of subrogation, but this provision applies regardless of whether or not the City has received a waiver of subrogation endorsement from the insurer.

5. If any of the required policies provide claims-made coverage:
a. The Retroactive Date must be shown, and must be
before the date of the contract or the beginning of contract work. b. Insurance must be maintained and evidence of
insurance must be provided for at least five (5) years after completion of the contract of work.
c. If coverage is canceled or non -renewed, and not
replaced with another claims -made policy form with a
Retroactive Date prior to the contract effective date, the Provider must purchase “extended reporting” coverage for a minimum of five (5) years after completion of work.

E. Acceptability of Insurers

Insurance is to be placed with insurers with a current A.M. Best's rating of no less than A:VII, unless otherwise acceptable to the City.

F. Verification of Coverage

Provider shall furnish the City with original certificates and amendatory endorsements of the applicable policy language effecting coverage required by this clause. All certificates and endorsements are to be received and approved by the City before work commences. However, failure to obtain the required documents prior to the work beginning shall not waive the Provider’s obligation to provide them. The City reserves the right to require complete, certified copies of all required insurance policies, including endorsements effecting the coverage required by these specifications at any time.

G. Special Risks or Circumstances

The City reserves the right to modify these requirements, including limits, based on the nature of the risk, prior experience, insurer, coverage, or other special circumstances.

Rev. 4/2021 Sourcewell IFB #CA-101723
Indefinite Delivery-Indefinite Quantity Construction Contracts in the State of California

Indefinite Delivery-Indefinite Quantity Construction Contract Contract Number: CA-R7-GB-101723-NCM
Service Type: General Building

This Indefinite Delivery-Indefinite Quantity Construction Contract (Contract) is between Sourcewell, 202 12th Street Northeast, P.O. Box 219, Staples, MN 56479 and Newton Construction and Management, Inc., 2436 Broad Street, San Luis Obispo, CA 93401 (Contractor).

Sourcewell is a State of Minnesota local government agency and service cooperative created under the laws of the State of Minnesota (Minnesota Statutes Section 123A.21) that offers cooperative procurement solutions to government entities. Participation is open to federal, state and municipal governmental entities, K-12 and higher education entities, nonprofit entities, tribal governments, and other public entities located within the United States.

The Contractor desires to contract with Sourcewell to provide construction services to entities that access Sourcewell’s indefinite delivery-indefinite quantity (IDIQ) construction contracts within the Service Region.

I. TERM OF CONTRACT

A. EFFECTIVE DATE. This Contract, including the General Terms and Conditions incorporated by reference, is effective upon the later of December 6, 2023 or the date of the final signature below.

B. EXPIRATION DATE AND EXTENSION. This Contract expires December 5, 2024, unless it is terminated sooner pursuant to Article XX of the General Terms and Conditions, which are incorporated into this Contract by reference. This Contract allows up to five additional one-year extensions upon the request of Sourcewell and written agreement with Contractor. Sourcewell retains the right to consider additional extensions beyond six years as required under exceptional circumstances.

II. REGION AND SERVICES

The Contractor’s Region is: Region 7. The Contractor’s IDIQ construction service type is: General Building. The Contractor has agreed to perform work outside the Region.

III. ADJUSTMENT FACTORS

The Contractor will perform any or all Tasks in the Construction Task Catalog for the Unit Price appearing therein multiplied by the following Adjustment Factors. See the General Terms and Conditions for additional information.

A. Normal Working Hours – Prevailing Wage Rate Projects: Work performed from 7:00 a.m. until 4:00 p.m. Monday to Friday, except Holidays. The Contractor will perform Tasks during Normal Working Hours for the Unit Price set forth in the CTC multiplied by the Adjustment Factor of: 1.2200.











 


Attachment C

Rev. 4/2021 Sourcewell IFB #CA-101723
Indefinite Delivery-Indefinite Quantity Construction Contracts in the State of California

B. Other Than Normal Working Hours – Prevailing Wage Rate Projects: Work performed from 4:00 p.m. to 7:00 a.m. Monday to Friday, and any time Saturday, Sunday and Holidays. The Contractor will perform Tasks during Other Than Normal Working Hours for the Unit Price set forth in the CTC multiplied by the Adjustment Factor of: 1.2500.

C. Secured Facilities/OSHPD Prevailing - Wage Rate Projects: Work performed from 7:00 a.m. until 4:00 p.m. Monday to Friday, except Holidays. The Contractor will perform Tasks during Normal Working Hours for the Unit Price set forth in the CTC multiplied by the Adjustment Factor of: 1.2500.

D. All Union Wage Projects: Work performed from 7:00 a.m. until 4:00 p.m. Monday to Friday, except Holidays. The Contractor will perform Tasks during Normal Working Hours for the Unit Price set forth in the CTC multiplied by the Adjustment Factor of: 1.2200.

E. Non pre-priced Adjustment Factor: To be applied to Work determined not to be included in the CTC but within the general scope of the work: 1.2500.

VI. AUTHORIZED REPRESENTATIVE

A. Sourcewell's Authorized Representative is its Chief Procurement Officer.

B. The Contractor’s Authorized Representative is Eric Newton. If the Contractor’s Authorized Representative changes at any time during this Contract, Contractor must promptly notify Sourcewell in writing.

Sourcewell

Newton Construction and Management, Inc.

By: __________________________ By: __________________________ Jeremy Schwartz Eric Newton
Title: Chief Procurement Officer Title: President

Date:

Date:











 




 




 


Attachment C

AGREEMENT TO

MODIFY AND EXTEND
SOURCEWELL CONTRACT #CA-R7-GB-101723-NCM

THIS AGREEMENT TO MODIFY AND EXTEND, Sourcewell Contract #CA-R7-GB-101723-NCM, is effective upon the date of the last signature below.

Sourcewell and Newton Construction and Management, Inc. (“Contractor”) have entered into an Indefinite Delivery-Indefinite Quantity Construction Contract, Contract Number CA-R7-GB-101723-NCM, with an initial term ending December 5, 2024, and five bilateral options to extend for an additional one- year term (“Contract”). The parties agree to modify and extend the Contract as stated below.

CONTRACT MODIFICATION

The following is adopted as the new CTC for the Contract effective December 6, 2024:

Sourcewell California - Region 7

Pursuant to the Contract, Contractor’s Adjustment Factors remain fixed for the duration of the contract term and are unaffected by this modification.

EXERCISE OF OPTION: EXTENSION

Contractor and Sourcewell hereby desire and agree to extend the Contract, with the above modification, for the period of December 6, 2024 through December 5, 2025.

Sourcewell Newton Construction and Management, Inc.

By: __________________________ By: __________________________ Jeremy Schwartz Eric Newton
Title: Chief Procurement Officer Title: President

Date:

Date:

Docusign Envelope ID: DEA384EA-16CA-417C-9622-9EB0D124B6D6 11/14/2024 | 10:38 AM CST11/14/2024 | 11:23 AM CST
Attachment C

AGREEMENT TO

MODIFY AND EXTEND
SOURCEWELL CONTRACT #CA-R7-GB-101723-NCM

THIS AGREEMENT TO MODIFY AND EXTEND, Sourcewell Contract #CA-R7-GB-101723-NCM is effective upon the date of the last signature below.

Sourcewell and Newton Construction and Management, Inc. (“Contractor”) have entered into an Indefinite Quantity Construction Contract, Contract Number CA-R7-GB-101723-NCM with an initial term ending December 5, 2024, and five bilateral options to extend for an additional one-year term (“Contract”). This contract has previously been extended by the parties for the term ending December 5, 2025. The parties agree to modify and extend the Contract as stated below.

CONTRACT MODIFICATION

The updated CTC will appear in the eGordian software upon receipt of the executed extension document.

Pursuant to the Contract, Contractor’s Adjustment Factors remain fixed for the duration of the contract term and are unaffected by this modification.

EXERCISE OF OPTION: EXTENSION

Contractor and Sourcewell hereby desire and agree to extend the Contract, with the above modification, for the period of December 6, 2025 through December 5, 2026.

Sourcewell Newton Construction and Management, Inc.

By: __________________________ By: __________________________ Jeremy Schwartz Eric Newton
Title: Chief Procurement Officer Title: President

Date:

Date:

Docusign Envelope ID: 0460AC93-E72C-4367-8C85-4782DEB65D6E 10/29/2025 | 3:56 PM CDT
10/29/2025 | 3:17 PM CDT
Attachment C
Work Order Signature Document
EZIQC Contract No.: CA-R7-GB-101723-NCM
City of Santa Maria IT
Room HVAC Project
New Work Order
152502.00
Modify an Existing Work Order
Work Order Title:

Work Order Number.: Work Order Date:

X
08/20/2026
Contractor Name:

Contact:

Phone:

Contact:

Phone:

Darin Terrazas
805-544-5583
Owner Name: City of Santa Maria
Sam Angulo
805-925-0951
Newton Construction & Management
Work to be Performed
Work to be performed as per the Final Detailed Scope of Work Attached and as per the terms and conditions of Sourcewell EZIQC Contract No CA-R7-GB-101723-NCM.

Brief W
ork Order Description:

Will not apply:Liquidated Damages Will apply:

Estimated Completion Date:

Estimated Start Date: Time of Performance
X
Work Order Firm Fixed Price: $902,594.38
Owner Purchase Order Number:

Approvals
Date DateNewton Construction & ManagementCity of Santa Maria

2.00

8/20/2026
Work Order Signature Document
Attachment D

3.00 Detailed Scope of Work
Sam AnguloDarin TerrazasT o: From:

Newton Construction & Management
2436 Broad St
San Luis Obispo, CA 93401
805-544-5583
City of Santa Maria
110 E. Cook Street
Santa Maria, CA 93454
805-925-0951
Work Order Number:

August 20, 2026Date Printed:
152502.00
City of Santa Maria IT Room HVAC ProjectWork Order Title:

Brief Scope:

Revised FinalPreliminary X
The following items detail the scope of work as discussed at the site. All requirements necessary to accomplish the items set forth below shall be considered part of this scope of work.

See attached
Subject to the terms and conditions of ezIQC Contract CA-R7-GB-101723-NCM.

Newton Construction & Management Date
DateCity of Santa Maria

8/20/2026
Scope of Work
Attachment D

4.00 Contractor's Price Proposal - Summary
Owner PO #:

City of Santa Maria IT
Room HVAC Project
152502.00
CA-R7-GB-101723-NCMIQC Master Contract #:

Work Order #:

Title:

Re:

August 20, 2026Date:

Proposal Value:

Contractor: Newton Construction & Management
$902,594.38
$19,429.63Bond
$21,180.00Controls
$695,875.00CRAC Units
$4,462.45Crane
$81,434.32Ducting
$735.13Dumpster
$38,608.05Electrical
$12,693.46fire alarm
$1,294.49Framing
$15,063.01HVAC
$3,993.65Roof Curb
$1,317.44Roofing
$6,507.75Temp Cooling
Proposal Total
Thisl total represents the correct total for the proposal. Any discrepancy between line totals, sub-totals and the proposal total is due to rounding.
$902,594.38
The Percentage of NPP on this Proposal: 77.10%

8/20/2026
Contractor's Price Proposal - Summary
Attachment D

5.00 Contractor's Price Proposal - Detail
City of Santa Maria I
T Room HVAC Project
152502.00
CA-R7-GB-101723-NCMIQC Master Contract #:

Work Order #:

Owner PO #:

Title:

Re:

August 20, 2026Date:

Proposal Value:

Contractor: Newton Construction & Management
$902,594.38
(Excludes)Equip. MaterialLabor
Line TotalDescriptionUOMMod.ItemSect.

Bond
01 22 16 00 0002 Reimbursable FeesReimbursable Fees will be paid to the contractor for eligible costs as directed by Owner. Insert the appropriate quantity to adjust the base cost to the actual Reimbursable Fee. If there are multiple Reimbursable Fees, list each one separately and add a comment in the "note" block to identify the Reimbursable Fee (e.g. sidewalk closure, road cut, various permits, extended warranty, expedited shipping costs, etc.). A
copy of each receipt, invoice, or
proof of payment shall be submitted with the Price Proposal. 1 $19,429.63EA
Installation =x x 19,429.63
FactorUnit PriceQuantity T
otal

1.00 1.1000 17,663.30
Bond fee 2%
$19,429.63Subtotal for Bond
Controls
23 09 23 53 0006 EMCS System Software Programming
And Graphics Programming2 $8,519.50HR
Installation =x x 8,519.50
FactorUnit PriceQuantity T
otal
170.39 1.2500 40.00
Controls Programming
23 09 23 53 0129 Fully Programmable, Native BACnet Advanced Application Controller That Communicates On A RS-485 LAN Using The BACnet MS/TP Protocol, 11 Universal Inputs, 8 Analog Or Binary Outputs (Delta Controls DAC-1180) 3 $10,877.10
EA
Installation =x x 10,877.10
FactorUnit PriceQuantity T
otal
4,350.84 1.2500 2.00
Air handler controllers.
26 33 53 00 0077 Uninterrupted Power Supply Remote Contact Board4 $1,783.40EA Installation =x x 1,783.40
FactorUnit PriceQuantity T
otal
1,426.72 1.2500 1.00
$21,180.00Subtotal for Controls
CRAC Units
23 00 00 00 0002 Computer Room H VAC (18 Ton Units)5 $695,875.00 Installation =x x 695,875.00
FactorUnit PriceQuantity T
otal
NPP
556,700.00 1.2500 1.00
New HVAC units including installation
$695,875.00Subtotal for CRAC Units
Crane
01 22 23 00
1152 14 To 15 Ton Lift, Truck Mounted Hydraulic Crane With Full-Time Operator6 $4,462.45DAY Installation =x x 4,462.45
FactorUnit PriceQuantity T
otal
1,784.98 1.2500 2.00
2 days Demo, and 2 days install.
$4,462.45Subtotal for Crane
Ducting

8/20/2026
Contractor's Price Proposal - Detail
Attachment D
Contractor's Price Proposal - Detail Continues..

W
ork Order Title:

Work Order Number: 152502.00
City of Santa Maria IT Room HVAC Project
Ducting
23 05 29 00 0632 5" x 6" x 41.4" Rooftop Support Base With 14 Gauge Galvanized Channel (Cooper B-Line Dura-Blok DB40)
7 $2,504.20EA
Installation =x x 2,293.10
FactorUnit PriceQuantity T
otal
229.31 1.2500 8.00
Demolition x x = 2 11.10 21.11 1.2500 8.00
Roof protectors for duct supports.
23 09 23 12 0057 32" x 32" Volume Control Damper (Ruskin CD36)8 $1,843.95EA Installation =x x 1,843.95
FactorUnit PriceQuantity T
otal
491.72 1.2500 3.00
23 09 23 12 0066 36" x 36" Volume Control Damper (Ruskin CD36)9 $2,125.95EA Installation =x x 2,125.95
FactorUnit PriceQuantity T
otal
566.92 1.2500 3.00
23 31 13 13 0970 26" x 38", 18 Gauge, Seal Class C, Galvanized Steel Sheet Metal Ductwork10 $14,041.78LF Installation =x x 9,357.43
FactorUnit PriceQuantity T
otal
340.27 1.2500 22.00
Demolition x x = 4,684.35 170.34 1.2500 22.00
New ducting.
23 31 13 13 0970 0527 For Seal Class
A, Add11 $2,498.38
Installation =x x 2,498.38
FactorUnit PriceQuantity Total

90.85 1.2500 22.00
23 31 13 13 1006 34" x 34", 18 Gauge, Seal Class C, Galvanized Steel Sheet Metal Ductwork12 $25,768.75LF Installation =x x 17,171.73
FactorUnit PriceQuantity T
otal
361.51 1.2500 38.00
Demolition x x = 8,597.03 180.99 1.2500 38.00
New ducting.
23 31 13 13 1006 0527 For Seal Class
A, Add13 $4,584.70
Installation =x x 4,584.70
FactorUnit PriceQuantity Total

96.52 1.2500 38.00
23 31 13 16 0149 24" x 22", 26 Gauge, Seal Class C, Slip Joint, Galvanized, Spiral Duct Reducer14 $3,818.63EA Installation =x x 3, 116.69
FactorUnit PriceQuantity Total
498.67 1.2500 5.00
Demolition x x = 701.94 112.31 1.2500 5.00
Duct adapter/reducers.
23 31 13 16 0149 0494 For Seal Class A, Add15 $1,116.63MOD Installation =x x 1, 116.63
FactorUnit PriceQuantity Total
178.66 1.2500 5.00
23 33 53 00 0011 2" Shop Installed, 3 Lb./CF, Fiberglass Duct Liner Board16 $20,315.75SF Installation =x x 16,059.75
FactorUnit PriceQuantity T
otal

19.32 1.2500 665.00
Demolition x x = 4,256.00 5.12 1.2500 665.00
Ducting insulation.
26 05 39 00 0041 1 Standard Duct Support
And Coupling With Legs With Leveling Legs And
Anchor Feet
17 $2,815.60EA
Installation =x x 1,922.80
FactorUnit PriceQuantity T
otal

96.14 1.2500 16.00
Demolition x x = 892.80 44.64 1.2500 16.00
Duct supports.
$81,434.32Subtotal for Ducting
Dumpster

8/20/2026
Contractor's Price Proposal - Detail
Attachment D
Contractor's Price Proposal - Detail Continues..

W
ork Order Title:

Work Order Number: 152502.00
City of Santa Maria IT Room HVAC Project
Dumpster
01 74 19 00 0014 20 C
Y Dumpster (3 Ton) "Construction Debris"Includes delivery of dumpster, rental cost, pick-up cost, hauling, and disposal fee. Non-hazardous material. 18 $735.13EA
Installation =x x 735.13
FactorUnit PriceQuantity T
otal
588.10 1.2500 1.00
$735.13Subtotal for Dumpster
Electrical
26 05 13 16 0181 #6 T
o 4/0 AWG Cable Termination Without Stress Cone, Medium Voltage To 5 KV
19 $15,134.40EA
Installation =x x 15,134.40
FactorUnit PriceQuantity T
otal
756.72 1.2500 16.00
12 #1 AWG cable terminations, and 4 #6 cable terminations. 26 05 19 16 0027 #6 AWG, Cross-linked High Heat-Resistant Water-Resistant (XHHW-2), 600 Volt Copper, Single Stranded, Power Cable, Installed In Conduit 20 $512.38MLF
Installation =x x 512.38
FactorUnit PriceQuantity T
otal
2,277.25 1.2500 0.18
New ground conductor.
26 05 19 16 0031 #1 AWG, Cross-linked High Heat-Resistant Water-Resistant (XHHW-2), 600 Volt Copper, Single Stranded, Power Cable, Installed In Conduit 21 $7,692.26
MLF
Installation =x x 7,692.26
FactorUnit PriceQuantity T
otal
5,697.97 1.2500 1.08
New conductors.
26 05 29 00 0119 1-1/2" Diameter, Steel, Standard Pipe And Rigid Conduit Clamp For Unistrut Channel
22 $142.80
EA
Installation =x x 142.80
FactorUnit PriceQuantity T
otal

7.14 1.2500 16.00
26 05 33 13 0751 1-1/2" Intermediate Metal Conduit (IMC) Conduit23 $3,264.00LF Installation =x x 3,264.00
FactorUnit PriceQuantity T
otal

16.32 1.2500 160.00
26 05 33 13 0762 1-1/2" Intermediate Metal Conduit (IMC) 90 Degree Elbow24 $607.50EA Installation =x x 607.50
FactorUnit PriceQuantity T
otal

81.00 1.2500 6.00
26 05 33 13 0806 1-1/2" Intermediate Metal Conduit (IMC) Rain Tight Threaded Hub25 $125.13EA Installation =x x 125.13
FactorUnit PriceQuantity T
otal

50.05 1.2500 2.00
26 24 13 00 0270 125 To 400 Amperes, 3 Pole, Conventional Molded Case Circuit Breaker26 $11,129.58EA Installation =x x 10,013.50
FactorUnit PriceQuantity T
otal
4,005.40 1.2500 2.00
Demolition x x = 1, 116.08 892.86 1.2500 1.00
New circuit breakers.
$38,608.05Subtotal for Electrical
fire alarm
01 22 20 00 0076 System
Testing Engineer27 $1,800.00HR
Installation =x x 1,800.00
FactorUnit PriceQuantity T
otal

90.00 1.2500 16.00
Reprogram alarm system, put it in safe mode during construction install damper system to close system if system discharges during construction
21 22 16 00 0323 US Power Supply Circuit Board Only, VSP-100, Vesda® Aspirating Smoke Detection System (Ansul 430481)
28 $695.01
EA
Installation =x x 695.01
FactorUnit PriceQuantity T
otal
556.01 1.2500 1.00

8/20/2026
Contractor's Price Proposal - Detail
Attachment D
Contractor's Price Proposal - Detail Continues..

W
ork Order Title:

Work Order Number: 152502.00
City of Santa Maria IT Room HVAC Project
fire alarm
23 09 23 53 0132 V
AV Controllers Are Native BACnet Application Controllers That Are Fully Programmable, Communicate On A RS-485 LAN Using The MS/TP BACnet Protocol, 3 Universal Inputs, 4 Binary Outputs, Actuator Position Feedback, Supports 4 BACstat Network Sensors On LINKnet For Room Sensing And Control Or 2 Delta Field Modules On LINKnet For I/O Expansion (Delta Controls DVC-304AF)
29 $7,469.95
EA
Installation =x x 7,469.95
FactorUnit PriceQuantity T
otal
1,493.99 1.2500 4.00
Used for fire isolation controls integration.
23 09 23 53 0310 Non-Communicating Duct Mounted Smoke Detector With Sampling Tube30 $2,728.50EA Installation =x x 2,728.50
FactorUnit PriceQuantity T
otal
545.70 1.2500 4.00
2 $12,693.46Subtotal for fire alarm
Framing
01 31 33 00 0002 Minimum Charge For CarpenterThis task should not be used in conjunction with any other tasks utilizing this labor trade, unless approved by owner. T ask
quantity is 1, unless approved by owner.
31 $1,294.49EA
Installation =x x 1,294.49
FactorUnit PriceQuantity T
otal
1,035.59 1.2500 1.00
Reframe opening for air transfer.
$1,294.49Subtotal for Framing
HVAC
01 22 23 00 1603 6-1/2 T
on Capacity, 16' To 22' Bed, 4 x 2 Flat Bed Truck With Full-Time Truck Driver
32 $3,265.13DAY
Installation =x x 3,265.13
FactorUnit PriceQuantity T
otal
1,306.05 1.2500 2.00
delivery of new equipment on crane day and removal of existing units to landfill 23 01 60 71 0002 Recovery Of Refrigerant33 $765.60LB Installation =x x 765.60
FactorUnit PriceQuantity T
otal

12.76 1.2500 48.00
23 05 93 00 0010 Balancing Constant Volume Air Handling Unit34 $2,222.45EA Installation =x x 2,222.45
FactorUnit PriceQuantity T
otal
888.98 1.2500 2.00
Temp units
23 23 23 00 0006 R-408A Refrigerant35 $3,095.10LB
Installation =x x 3,095.10
FactorUnit PriceQuantity T
otal

34.39 1.2500 72.00
Fill new units.
23 74 16 13 0006 6 Ton Electric Cooling, Electric Heat, Self Contained Package Rooftop Unit36 $5,714.73EA Installation =x x 0.00
FactorUnit PriceQuantity T
otal
10,547.82 1.2500 0.00
Demolition x x = 5,714.73 2,285.89 1.2500 2.00
$15,063.01Subtotal for H
VAC
Roof Curb

8/20/2026
Contractor's Price Proposal - Detail
Attachment D
Contractor's Price Proposal - Detail Continues..

W
ork Order Title:

Work Order Number: 152502.00
City of Santa Maria IT Room HVAC Project
Roof Curb
07 72 13 00 0018 50" x 62" Outside Frame Dimensions, 9" Height, 18 Gauge, Insulated Galvanized Steel, Prefabricated Roof Curb
37 $3,993.65EA
Installation =x x 3,241.55
FactorUnit PriceQuantity T
otal
1,296.62 1.2500 2.00
Demolition x x = 752.10 300.84 1.2500 2.00
Roof curb.
$3,993.65Subtotal for Roof Curb
Roofing
01 31 33 00 0017 Minimum Charge For Roofer, Composite Built-UpThis task should not be used in conjunction with any other tasks utilizing this labor trade, unless approved by owner. T
ask quantity is 1, unless approved by owner.
38 $1,317.44EA
Installation =x x 1,317.44
FactorUnit PriceQuantity T
otal
1,053.95 1.2500 1.00
Seal new curb.
$1,317.44Subtotal for Roofing
Temp Cooling
01 22 23 00 1574 10
To 12 Ton Portable Spot Cooling Unit39 $3,724.25WK
Installation =x x 3,724.25
FactorUnit PriceQuantity T
otal
1,489.70 1.2500 2.00
Temporary cooling units for IT room during construction 01 22 23 00 1591 Set-up Charge For Rental Air Handling UnitIncludes delivery, setup, installation, startup, commissioning, decommissioning, and pickup. Excludes piping and electrical hookup. Excludes crane.
40 $2,783.50
EA
Installation =x x 2,783.50
FactorUnit PriceQuantity T
otal
1,113.40 1.2500 2.00
A/C rental
$6,507.75Subtotal for Temp Cooling
Proposal Total
This total represents the correct total for the proposal. Any discrepancy between line totals, sub-totals and the proposal total is due to rounding.
$902,594.38
The Percentage of NPP on this Proposal: 77.10%

8/20/2026
Contractor's Price Proposal - Detail
Attachment D
Subcontractor Listing
152502.00
City of Santa Maria I
T Room HVAC Project
CA-R7-GB-101723-NCMIQC Master Contract #:

Work Order #:

Owner PO #:

Title:

Re:

August 20, 2026Date:

Proposal Value:

Contractor: Newton Construction & Management
$902,594.38
%DutiesName of Contractor Amount
No Subcontractors have been
selected for this Work Order

0.00$0.00

6.00

8/20/2026
Subcontractor Listing
Attachment D

S C O P E OF W O R K

C I T Y O F S A N T A M A R I A

C I T Y O F S A N T A M A R I A I T R O O M H V A C OWNER: City of Santa Maria
PROJECT: City of Santa Maria IT Room HVAC
LOCATION: 11111 W Betteravia Rd, Santa Maria, CA 93455
CONTRACTOR: Newton Construction & Management, Inc.

1. PROJECT DESCRIPTION
The City of Santa Maria has aging HVAC units serving the Santa Maria Police Department IT room and has asked NCM to provide a proposal to replace them with two new COMPU-AIRE MKA-2034-RTU HVAC units. The current units are not designed specifically for IT environments and do not have expansion capacity for future growth to provide sufficient airflow and cooling to adequately support the IT room's operational needs. The proposed units will deliver increased airflow and cooling performance, ensuring reliable temperature control for critical technology equipment while providing capacity for future expansion. To accommodate new units, associated ductwork and electrical systems will also be upgraded.

2. SCOPE OF WORK
- Equipment Replacement
o Remove and recycle two existing roof top HVAC units.
o Install two new 18-ton roof top HVAC units (COMPU-AIRE MKA-2034-RTU) designed for computer and technology environments.
o Provide and install a new adaptor curb for each unit to allow for use of existing curbs.
o Remove portions of ductwork that are undersized for the airflow from the new units. o Provide and install a new adaptor curb for each unit to allow for use of existing - Duct and Electrical Upgrades
o Upgrade portions of the ductwork to support the increased airflow. o Modify electrical systems to meet the power requirements of the new equipment. o Create a new transfer-air opening between the corridor and attic. - Safety and System Integration
o Integrate isolation dampers into fire alarm.

Attachment D

o Provide and install isolation dampers that will close upon activation of the clean agent fire suppression system.
o Integrate new units into existing Automated Logic Controls. - Testing, Commissioning, and Training
o Start up and test all new equipment
o Air balance of system once complete.
o Provide owner training for the city’s facilities technicians. - Additional Notes
o Provide 15 tons of temporary cooling during construction o Includes permits as required.

3. EXCLUSIONS
- Structural requirements to support new equipment
should not be necessary but this proposal does not
include any.
- Any Haz-Mat or Abatement work
Attachment D
152502.00
City of Santa Maria IT Room HVAC ProjectTitle
Job Order Re:

Date: 8/20/2026
Contractor's Non-Prepriced W
orksheet
$556,700.00 1.00 556,700.00 X Install Quantity: = Install T otal:Install Price:

Computer Room HVAC (18 Ton Units)23 00 00 00 0002

ITEMSECTION UOM DESCRIPTION
Factor:X
Line Item Total:=

1.2500
$695,875.00
For Work Performed with the Contractor's Own Forces:

A.

B.

C.

Direct Labor Costs through Foreman Level
(Current Prevailing W age Rate + Published Fringe Benefits) Direct Material Costs (Supported by 3 Quotes)*
Direct Equipment Costs (For Equipment NOT in the CTC)
Total Cost for Self-perform NPP Work Task =
(A+B+C) x Non-Prepriced Work Task Adjustment Factor
*Material Cost Quotes
(Attach quotes from listed suppliers/subcontractors. A Justification Letter must be attached if 3 quotes are not furnished.)

1. 2.
$
$

3. $
H.

For Work Performed By Subcontractors:

G. Subcontractor Costs**
(Supported by Quotes) (This Should be the Price Entered into PROGEN) I. Total Price for NPP Items being Performed by Subcontractors = G x H Contractor's Non Pre-Priced Adjustment Factor 1.2500
**Subcontractor Cost Quotes
Convert to Unit Price
(Attach quotes from listed suppliers/subcontractors. A Justification Letter must be attached if 3 quotes are not furnished.)

1. $3.
$
$

2. Non-Prepriced Worksheet Page 1 of 120
$556,700.00
$695,875.00
**Sole source per owner direction.

Attachment D
Santa Maria Police Department
CRAC Unit Replacement
Mr. Terrazas,
The price to provide and install the two new Compuaire rooftop computer room units MODEL MKA-2034 RTU Units to be as follows:
• MODEL MKA-2034 RTU
• Maxi-Kool- Roof Mount Air Cooled Packaged System Rated @ 90°F Outdoor Ambient/ Sea level • 460V/3Ph/60Hz
• Weatherized Cabinet With Rain Hoods
• Bottom Return; Bottom Supply Air Flow Configuration
• Double Wall Cabinet Construction-Evap. Side
• Air Side Economizer With Modulating Dampers With Actuators & Power Exhaust • “Slab” Coil (Al Fin; CU Tube) Configuration-Evaporador & Condenser Sections • Stainless Steel Drain Pan with Overflow Sensor-Evaporator Section • Note: Drain Shall Be Externally Trapped in The Field By Others • Designed for R-454B Refrigerant (Factory Charged)
• 2-Stage Ultra Scroll Compressor (1st Circuit)
• Fixed Speed Scroll Compressor (2nd Circuit)
• Crankcase Heaters
• Vibration Absorbers (Suction& Discharge Lines)
• Hot Gas Bypass (2nd Circuit)
• High/Low Pressure Switches
• Refrigerant Leak Detector
• Hot Water Heat With 2-Way Modulating Valve
• Delete Humidifier
• Disconnect Switch (Unit Mount)
• pCO Controller with Display
• Audible And Visual Alarms
• Auxiliary Remote Dry Contact
• p-Lan Network (Unit Lead-Lag; Auto Rotation)
• Note: Field Set Up Required. Cable And Wires Not Included • BacNet Over MS/TP Communication
• Discharge Air Sensor
• Outside Air Temperature & Humidity Sensor
• Remote On/Off Relay-
• Note: 24-VAC Control Signal By Others. Cable And Wires Not Included • Supply Damper Dry Contact
• Backward Inclined Plug Fan with Direct Drive EC Motor -Evaporator Section (9,260 CFM @ 1.0”Esp) • Axial Fan -With Direct Drive EC Motor Assembly (Condenser Section)(17,200 CFM) • Variable Fan Speed Control to -20°F Ambient
• Return Air Filter Rack 2” (MERV-13) With Filter Alarm • System 2500 Microprocessor With 7” Graphical Color Touch Screen Display • Audible & Visual Alarms
July 30, 2026
August 19, 2026
Attachment D
• Display Language in English
• Return Air Temperature And Humidity Sensor
Pricing:

QUOTE: ........................................................................................................................................

Pricing Terms and Conditions:

Smith MEP’s pricing is valid for 30 days from the date of this letter. A one (1) year labor and material warranty is included commencing at substantial completion or owners beneficial use of these systems.

TARIFF & COMMODOTY PRICE FLUCTUATION CLARIFICATIONS:
• As the current US government administration continues its international trade negotiations and announce international trade tariffs, we are realizing rapid price fluctuations in raw materials, commodities and assembled components & equipment. As a result, our pricing can only be valid for only 10 days. If we see significant pricing fluctuations in the coming weeks we will alert the project team and reserve the right to request remuneration. If monies can be made available to us immediately for pre-purchase or to "lock-in" current prices, we will work with our supplier community to support this effort and minimize price fluctuations. • The pricing contained in this quote is time sensitive. Current market uncertainty and rapid inflation in most commodities and product prices have affected SmithMEP’s ability to predict future costs with certainty. Accordingly, this quotation/bid is valid until . Receipt of a signed quotation/bid/purchase order after the expiration of the above date may require a price adjustment.
• Our pricing can be protected with a quick approval of our proposal, execution of a mutually agreeable contract and payment schedule. This may require early purchasing, storage and payment of equipment and materials to maintain these costs. If early acquisition is not an option, then we will need to protect our rights to receive an equitable adjustment for escalation of materials should this occur. Availability of these items may lead to a schedule issue at any time. We will keep you abreast of any changes and we look forward to working with you on this new project.

If you have any questions, please do not hesitate to give us a call.

Sincerely,
Smith Mechanical-Electrical-Plumbing
James O’Reilly
Vice President
[email protected]
Phone: ( 805 ) 621-5080
12/31/2026
$556,700.00
Attachment D

COUNCIL AGENDA REPORT

TO: Mayor and City Council

FROM: Shad S. Springer, Director of Utilities

DATE: September 15, 2026

SUBJECT: Adoption of a Resolution Approving an Agreement with Smaart Power, LLC for Arc Flash Study and Risk Assessment Services

Description:

The City Council will consider adopting a Resolution authorizing an agreement with Smaart Power, LLC for Arc Flash Study and Risk Assessment Services.

Environmental Notice: The activity is not a “Project” as defined under Section 15378 of the California Environmental Quality Act State Guidelines; therefore, pursuant to State Guidelines Section 15060(c)(3) no environmental review is required.

RECOMMENDATION:

1. Adopt a Resolution approving an Agreement for Services with Smaart Power, LLC for Arc Flash Study and Risk Assessment Services up to a total not -to-exceed of $185,076 (includes 20 percent contingency funding); and

2. Authorize the City Manager or designee to execut e the agreement and enter into extensions and modifications consistent with the terms of the agreement.

BACKGROUND:

Cal/OSHA regulations require the City to identify and assess electrical arc hazards and implement appropriate measures to protect employees who may be exposed to these hazards. The Utilities Department operates and maintains electrical equipment on behalf of the City at numerous water, wastewa ter, and stormwater facilities . Employees who operate, maintain, and work near this equipment may be exposed to electrical hazards, including arc flash events.

A comprehensive Arc Flash Study and Risk Assessment is needed to evaluate existing electrical equipment and identify appropriate safety measures for Utilities personnel. The study will evaluate electrical equipment rated at 120 volts or higher at the following Utilities sites:

 Seven (7) groundwater well sites;
 Blending and Disinfection Facility;
 Prell Road Reservoir;
 Wastewater Treatment Plant;
 One (1) wastewater lift station; and
 One (1) stormwater lift station.

2 The asses sment will identify and quantify potential arc flash hazards, establish appropriate safety boundaries, and provide recommendations for equipment labeling, safe work practices, and personal protective equipment (PPE). The results will also help identify potential improvements to enhance employee safety and support compliance with applicable electrical safety requirements.

As an optional task, the consultant may also be directed to develop an Electrical Safety Program and Training for the City's water, wastewater, and stormwater facilities , addressing safe work practices, facility -specific electrical hazards, equipment labeling, and PPE requirements.

DISCUSSION:

On April 6, 2026, the Utilities Department issued a Request for Prop osals (RFP) for Engineering Services for Arc Flash Risk Assessment. The RFP was advertised through PlanetBids and generated interest from 33 prospective proposers. 13 proposals were received and evaluated by a selection committee in accordance with the cri teria established in the RFP, including qualifications and experience, technical approach, understanding of the project, and overall ability to perform the requested services.

Smaart Power, LLC received the highest overall evaluation, with extensive exper ience conducting arc flash risk assessments for public and private -sector clients and having completed numerous similar studies in California. Based on the evaluation, the selection committee determined that Smaart Power, LLC submitted the most responsive proposal and possesses the qualifications and experience necessary to perform the requested services. Staff negotiated a proposed contract (Attachment B) for a total of $154,230, inclusive of required services ($139,770) and optional services ($14,460). St aff also recommends a 20 percent contingency ($30,846) be authorized to address unforeseen services that may be necessary for a complete project.

The completed assessment will provide the City with facility-specific information regarding electrical hazard s and measures necessary to safely operate and maintain the City's electrical equipment. The results will also provide staff with recommendations that can be used to prioritize future safety improvements.

Alternative
The City Council may decline to award the agreement to Smaart Power, LLC and direct staff to reject the current proposals and solicit new proposals. This is not recommended as this alternative would delay completion of the study and the City's ability to e stablish facility-specific electrical safety requirements. Staff recommends proceeding with Smaart Power, LLC based on the competitive selection process, the firm's highest overall evaluation, and its demonstrated experience with similar projects.

Fiscal Considerations
Funding for this project is available within the approved budget for t he Water and Wastewater Enterprise Funds. No additional appropriation is required.

Impact on the Community
3 Approval of the proposed agreement will allow the Utilities Department to complete an assessment of electrical arc hazards and establish facility -specific electrical safety requirements that support employee safety and the reliable operation of essential water, wastewater, and stormwater facilities.

ATTACHMENT(S)
A. Resolution
B. Agreement
Attachment A

RESOLUTION NO.

A RESOLUTION OF THE CITY

OF THE CITY OF SANTA MARIA, CALIFORNIA,

APPROVING AN AGREEMENT WITH SMAART POWER, LLC

FOR ARC FLASH STUDY AND RISK ASSESSMENT SERVICES
up to a total not-to-exceed of $185,076 (includes 20 percent contingency funding)

WHEREAS, the City of Santa Maria Utilities Department operates and maintains electrical equipment at various water, wastewater, and stormwater facilities, and a comprehensive Arc Flash Study and Risk Assessment is necessary to identify electrical hazards and establish appropriate safety requirements for Utilities personnel; and

WHEREAS, on April 6, 2026, the Utilities Department issued a Request for Proposals for Engineering Services for Arc Flash Risk Assessment through Planet Bids, resulting in 13 proposals being received and evaluated in accordance with the criteria established in the Request for Proposals; and

WHEREAS, Smaart Power, LLC received the highest overall evaluation, was determined to have submitted a responsive proposal, and demonstrated the qualifications and experience necessary to perform the requested services; and

WHEREAS, the City subsequently negotiate d the terms of an agreement to perform an Arc Flash Study and Risk Assessment Services with Smaart Power, LLC.

NOW, THEREFORE, IT IS HEREBY RESOLVED by the City Council of the City of Santa Maria, California, as follows:

SECTION 1. Approve an Agreement for Services with Smaart Power, LLC for Arc Flash Study and Risk Assessment Services up to a total not-to-exceed of $185,076 (includes 20 percent contingency funding).

SECTION 2. Authorize the City Manager or designee to execute the agreement and enter into extensions and modifications consistent with the terms of the agreement.

SECTION 3. Authorize the Chief Deputy City Clerk to make minor changes herein to address clerical errors, so long as substantial conformance of the intent of this document is maintained. In doing so, the Chief Deputy City Clerk shall consult with the City Manager and City Attorney concerning any changes deemed necessary. ///
///
Attachment A

PASSED AND ADOPTED at a regular meeting of the City Council of the City of Santa Maria held on the 15th day of September 2026.

ATTEST:

Chief Deputy City Clerk

Mayor

APPROVED AS TO FORM:

_______________________________
City Attorney

APPROVED AS TO CONTENT:

_______________________________
Department Director

_______________________________
City Manager

Atty. Rev. 2025 Page 1 of 19

AGREEMENT FOR SERVICES

ARC FLASH STUDY AND RISK ASSESSMENT SERVICES

This Agreement is made on September 16, 2026 by and between Smaart Power, LLC, a California Limited Liability Company (“Contractor”) and the City of Santa Maria, a California Municipal Corporation and charter city (“City”), in Santa Maria, California, based on the following recitals:

WHEREAS, the City has determined that the Arc Flash Study Risk Assessment Services involve the performance of services of a temporary nature (the “Project”); and

WHEREAS, the City does not have available employees to perform the services required for the Project; and

WHEREAS, the City released a Request for Proposals on April 6, 2026 to solicit proposals from qualified firms to provide Engineering Services for Arc Flash Risk Assessment for selected Water and Wastewater facilities; and

WHEREAS, the City selected Contractor based on their submitted proposal dated May 8, 2026; and

WHEREAS, the Santa Maria City Council awarded the Arc Flash Study and Risk Assessment Services (the “Agreement”) to the Contractor by Resolution at its regular meeting of September 15, 2026.

NOW, THEREFORE, IT IS AGREED:

1. Recitals true. The above recitals are true.

2. General.

2.01. Term and Termination. The term of this Agreement begins on the first date written above and ends at 11:59 p.m . on June 30 , 2027, or Project completion , whichever occurs first. This Agreement may be extended by mutual consent of the parties. This Agreement may be terminated for breach of its terms or conditions, or because of discovery of any act which violates local, state or federal law. Termination is effective 14 days after deposit of notice as specified in this Agreement.

2.02. Services to be Performed. Contractor shall determine the method, details , and means of providing services required by the City . More specifically, Contractor agrees to perform the specific services listed in Exhibit A.

2.03. City’s Duties. City’s duties under this Agreement are to cooperate with Contractor in the performance of the Agreement and timely pay invoices.

2.04. Payment. Payment terms under this Agreement are listed in Exhibit B.

2.05. Insurance. Contractor shall provide insurance as listed in Exhibit C.

2.06. Prevailing Wage. Where applicable, Contractor shall follow the prevailing wage requirements listed in Exhibit D and applicable law.

2.07. Exhibits. Exhibits A, B, C, and D are attached and incorporated.

Attachment B
Atty. Rev. 2025 Page 2 of 19

3. Contractor’s Obligations.

3.01. Minimum Amount of Service. Contractor shall devote sufficient time to perform services under this agreement efficiently and effectively. Contractor may represent, perform services for and be employed by additional individuals or entities, in Contractor’s sole discretion, as long as the performance of these extra-contractual services does not interfere with or present a conflict with City's business.

3.02. Tools and Equipment. Except as otherwise stated in this Agreement, Contractor will supply all tools and equipment necessary to perform this Agreement.

3.03. Status. Contractor (including its employees) is an independent contractor. No employer/employee relationship exists between Contractor and the City. Contractor's assigned personnel shall not be entitled to any benefits payable to employees of the City. The City is not required to make any deductions or withholdings from the compensation payable to Contractor under this agreement. Contractor (as a business entity, including its employees) is a “design professional” as defined by California Civil Code section 2782.8(c)(3).

3.04. Indemnification. To the fullest extent permitted by law, the Contractor shall indemnify, defend (with independent counsel approved by the City) and hold harmless the City, and its directors, officers, and employees from and against all liabilities (including without limitation all claims, losses, damages, penalties, fines, and judgments, associated investigation and administrative expenses, and defense costs, including but not limited to reasonable attorneys’ fees, court costs and costs of alternative dispute resolution) regardless of nature or type that arise out of, pertain to, or relate to the negligence, reckless, or willful misconduct of the Contractor including its employees. The provisions of this Paragraph survive completion of the services or the termination of this Agreement. The provisions of this Section are not limited by the provisions of the Section relating to insurance.

4. Miscellaneous

4.01. Notices. All communication relating to the day -to-day activities of this Agreement shall be exchanged between a designated representative of the City and a representative of Contractor, listed below . All notices shall be addressed as follows unless a written change is filed with the City:

To City: To Contractor:

City of Santa Maria Smaart Power, LLC
Utilities Department Attn: Ali Halimi
Attn: Contracts Manager 300 Spectrum Center Dr., Suite 400 2065 East Main Street Irvine, CA 92618
Santa Maria, CA 93454

If the designated Representative or address of either party changes during the term of this agreement, a written notice shall be given to the other party prior to the effective date of change. Any written notices required under this Agreement shall be effective five (5) days after deposit into United States mail, postage prepaid, addressed to the designated Representative, or upon confirmation of receipt of delivery if another notification process is used.

4.02. Compliance With Laws, etc. Contractor shall comply with all laws, including but not limited to the rules and policies of the City, in performing this Agreement.

Atty. Rev. 2025 Page 3 of 19

4.03. Integration. This Agreement constitutes the entire agreement of the parties with respect to the subject matter. All modifications, amendments, or waivers of the terms of this Agreement must be in writing and signed by the appropriate representatives of the parties.

4.04. Interpretation. This Agreement shall be interpreted in accordance with the laws of the State of California.

4.05. Jurisdiction. Jurisdiction and venue of all disputes over the terms of this Agreement shall be in the County of Northern Santa Barbara, State of California.

4.06. Warranty of authority. Each person signing this Agreement on behalf of a party warrants that he or she has authority to do so.

4.07. No Waiver. Failure to enforce with respect to a default shall not be construed as a waiver.

4.08. Severability. The provisions of this Agreement are severable. If any part of this agreement is held invalid by a court of competent jurisdiction, the remainder of the Agreement shall remain in full force and effect unless amended or modified by mutual written consent of the parties.

4.09. Submittals. In addition to any other submittals required by this Agreement, Contractor shall submit copies of its current business license and current certificate of workers compensation coverage to the City before beginning work on this project.

4.10 Prevailing Wage. Prevailing Wage. If applicable, Contractor and all subcontractors are required to pay the general prevailing wage rates of per diem wages and overtime and holiday wages determined by the Director of the Department of Industrial Relations under Section 1720 et seq. of the California Labor Code. The Director's determination is on file and open to inspection at www.dir.ca.gov and is referred to and made a part hereof; the wage rates therein ascertained, determined and specified are referred to and made a part hereof as though fully set forth herein. Further requirements are attached as Exhibit D.

///

///

///

Atty. Rev. 2025 Page 4 of 19

IN WITNESS WHEREOF, this Agreement is executed by the parties on the date first written above.

“Contractor” “City”

SMAART POWER, LLC CITY OF SANTA MARIA

By: By:

ALI HALIMI SHAD S. SPRINGER, P.E., MPA
Authorized Representative Director of Utilities

ATTEST

By:

DONNA G. SCHWARTZ
Chief Deputy City Clerk

APPROVED AS TO FORM

Risk Manager

City Attorney

Atty. Rev. 2025 Page 5 of 19

EXHIBIT A

SERVICES TO BE PERFORMED

Task 1 – Data Collection
Contractor shall perform the following:

1. Conduct a kickoff meeting with City staff to confirm project objectives, facility access requirements, safety requirements, available documentation, site contacts, schedule constraints, and communication procedures.

2. Submit a data request list and coordinate with the City to obtain available existing documentation including single -line diagrams, electrical drawings, panel schedules, equipment schedules, previous studies, utility information, generator data, protective device information, and equipment submittals.

3. Review all existing documentation to identify missing information, develop the field investigation plan, and prepare data collection forms.

4. Perform field data collection for all applicable electrical equipment, including:
o Utility service information, available fault current data, service transformer data, and utility protective device information.
o Standby generators, cogeneration sources, UPS systems, motors, and other fault- contributing sources.
o All applicable distribution equipment including switchgear, switchboards, panelboards, MCCs, distribution panels, control panels, transfer switches, disconnects, and transformers.
o Protective device data including manufacturer, model, frame size, trip rating, fuse type, relay type, breaker type, adjustable settings, and all applicable trip functions. o Transformer nameplate data including kVA, voltage, impedance, connection type, and grounding configuration.
o Conductor information including size, type, material, quantity per phase, raceway type, and approximate lengths where available.
o Equipment ratings including voltage, current, SCCR, interrupting rating, withstand rating, and condition observations.
o Equipment enclosure dimensions required for IEEE 1584 calculations. o Existing equipment labels, equipment identification, and documentation discrepancies.

Atty. Rev. 2025 Page 6 of 19

5. When necessary and permitted, open or remove equipment covers to obtain required data. Coordinate all energized work with City staff and perform in compliance with NFPA 70E, applicable safety procedures, PPE requirements, and City access rules.

6. Coordinate with City personnel familiar with facility systems to verify equipment identification and operating conditions.

7. Review collected field data before and after site visits and identify any remaining information required to complete modeling and analysis.

Task 2 – Updated Single-Line Diagrams & Electrical Model Development Contractor shall:

1. Develop or update single-line diagrams for each facility, incorporating available drawings, field-verified data, and documented assumptions.

2. Identify service sources, distribution equipment, transformers, conductors, protective devices, motors, and standby power sources in updated diagrams.

3. Develop detailed electrical power system models using industry -standard software (ETAP, SKM, EasyPower or equivalent).

4. Model normal and applicable alternate operating configurations, including utility sources, standby generators, transfer switches, bus ties, and motor contribution.

5. Document assumptions required due to missing or unavailable data and coordinate them with City staff for approval.

Task 3 – Electrical Power System Analysis

3.1 Short Circuit Study & Fault Analysis
Contractor shall:

1. Perform short circuit calculations for balanced three -phase and applicable unbalanced fault conditions at relevant system locations.

2. Analyze fault conditions under normal and alternate operating scenarios, including generator operation and motor contribution.

3. Evaluate equipment interrupting and short-circuit withstand ratings.

4. Provide tabulated equipment evaluation results identifying acceptable, marginal, deficient, or items requiring further review.

5. Provide recommendations for corrective actions where equipment deficiencies exist.

3.2 Protective Device Coordination Study
Contractor shall:

Atty. Rev. 2025 Page 7 of 19

1. Perform a protective device coordination study for applicable adjustable and fixed devices, including circuit breakers, fuses, relays, and trip units.

2. Develop time-current characteristic (TCC) curves organized by equipment zone or system area.

3. Identify coordination issues, miscoordination, excessive clearing times, and opportunities to reduce incident energy.

4. Provide recommended settings for adjustable devices when feasible.

5. Present existing and recommended settings in tabular format.

3.3 Emergency and Standby Power Systems
Contractor shall:

1. Evaluate emergency and standby power systems included in the study scope.

2. Assess coordination between standby sources and distribution equipment.

3. Incorporate generator contribution, transfer switch configuration, reduced fault current, and associated impacts into the short circuit, coordination, and arc flash analyses.

Task 4 – Incident Energy and Arc Flash Calculations
Contractor shall:

1. Perform arc flash calculations in accordance with IEEE 1584 and NFPA 70E using field-verified data, protective device settings, calculated fault current, enclosure dimensions, electrode configurations, and working distances.

2. Calculate incident energy, arc flash boundary, arcing fault current, protective device clearing time, and PPE requirements for each applicable equipment location.

3. Analyze normal and alternate operating scenarios to determine worst-case conditions.

4. Consider generator contribution and decrement characteristics where applicable.

5. Provide results in tabular format including all data required for label development.

6. Identify high incident energy locations and provide practical mitigation recommendations including setting changes, equipment upgrades, maintenance switches, remote operation, or other methods.

Task 5 – Documentation and Reporting
Contractor shall prepare draft and final reports including:

1. Project scope, methodology, assumptions, limitations, and applicable standards.

Atty. Rev. 2025 Page 8 of 19

2. Software used for analysis.

3. Summary of existing documentation reviewed.

4. Field data collection summary.

5. Utility data and available fault current information.

6. Updated single-line diagrams.

7. Short circuit study results and equipment evaluation tables.

8. Protective device coordination study results and TCCs.

9. Existing and recommended device settings where applicable.

10. Emergency/standby system evaluation where applicable.

11. Incident energy and arc flash analysis results.

12. PPE recommendations.

13. Arc flash label data.

14. Findings and recommendations summarized in tables identifying equipment, issue, severity, and corrective action.

15. Appendices including detailed input/output reports, photos, equipment data, and supporting documentation.

16. A Professional Engineer licensed in California shall sign and seal the final report.

Task 6 – Arc Flash Hazard Categorization and Labeling
Contractor shall:

1. Prepare arc flash labels based on approved final study results.

2. Ensure labels comply with NFPA 70E, NEC, OSHA, ANSI Z535.4, and UL 969.

3. Include required label information:
o Equipment name
o Contractor contact information
o Date of study
o Voltage rating
o Arc flash boundary
o Incident energy
o Working distance
o Recommended PPE and glove
rating
o Limited and restricted approach
boundaries
o Bus and protective device
identification
Atty. Rev. 2025 Page 9 of 19

o Bolted fault current

4. Coordinate label format with the City.

5. Provide durable vinyl labels and a label schedule.

6. Install labels at correct equipment locations in coordination with City staff.

Task 7 – Arc Flash PPE Recommendations
Contractor shall:

1. Provide PPE recommendations based on calculated incident energy and arc flash boundaries.

2. Identify required arc -rated clothing, face protection, gloves, and applicable protective equipment.

3. Include PPE recommendations in the final report and on arc flash labels.

4. Provide optional guidance on manufacturers or product categories meeting applicable standards.

Task 8 – Optional Electrical Safety Program and Training (If authorized by the City) Contractor shall:

1. Develop a comprehensive Electrical Safety Program tailored to the operational needs of the City's water, wastewater, and stormwater facilities. The program will be coordinated with the findings and recommendations of the Arc Flash Risk Assessment and applicable electrical-safety requirements.
o Establish safe -work procedures for qualified personnel working on or near energized electrical systems.
o Define required protective equipment, protective controls, and safe-work practices.

Address equipment labeling, hazard identification, and compliance with applicable regulations and standards.
o Provide a practical foundation for ongoing implementation and future electrical safety training.
o Submit a draft program for City review, incorporate one conso lidated set of City comments, and issue the final program.
o Deliverables:

1. Draft Electrical Safety Program in editable electronic format and PDF.

2. Final Electrical Safety Program incorporating one consolidated City review cycle.

Atty. Rev. 2025 Page 10 of 19

2. Following City review and approval of the Electrical Safety Program, SMAART POWER will provide three total days of instructor -led Electrical Safety and Arc -Flash Training to designated City personnel. The training will comply with OSHA 29 CFR 1910.332 and NFPA 70E and will combine theoretical instruction with facility-specific practices.

o Deliverables:

1. Facility-specific training presentation and participant handouts.

2. Total of three days onsite training.

3. Training attendance record and electronic certificates of completion.

Task 9 – Quality Assurance / Quality Control
Contractor shall perform internal QA/QC reviews covering:

1. Consistency between field data, diagrams, model inputs, assumptions, and study results.

2. Verification of utility and source data.

3. Review of transformer, conductor, protective device, and equipment data.

4. Accuracy of equipment ratings and short circuit evaluations.

5. Review of protective device settings and TCCs.

6. Review of arc flash assumptions including working distances, enclosure dimensions, and electrode configurations.

Atty. Rev. 2025 Page 11 of 19

7. Verification of labels against final arc flash tables.

8. Review of recommendations for clarity and practicality.

9. Final review by a California-licensed Professional Engineer.

Task 10 – Project Coordination and Communication
Contractor shall:

1. Assign a primary project contact.

2. Provide kickoff meeting coordination and documentation.

3. Coordinate site visits, access, and utility data requests.

4. Communicate regularly via weekly or periodic status updates as requested.

5. Identify information gaps and coordinate resolution with the City.

6. Coordinate draft and final report review and label installation.

7. Coordinate optional training upon authorization.

Task 11 – Schedule and Milestones
Contractor shall
perform all work
within six months of
the kickoff in
accordance with a
mutually agreed
project schedule.

The following
baseline durations
represent typical
task sequences and
shall be refined after
the kickoff meeting:

Task 12 – Final Deliverables
Contractor shall provide:

Atty. Rev. 2025 Page 12 of 19

1. Updated single-line diagrams for each facility.

2. Electrical model files and documentation.

3. Field data collection summary.

4. Short circuit study results and evaluation tables.

5. Protective device coordination study results and TCCs.

6. Existing and recommended settings tables (as applicable).

7. Emergency/standby system evaluation (as applicable).

8. Incident energy and arc flash results tables.

9. Arc flash boundary and working distance tables.

10. PPE recommendations.

11. Arc flash label schedule.

12. Durable arc flash hazard labels.

13. Deficiency and recommendation tables.

14. Assumptions and utility data.

15. Draft and final PE-stamped reports.

16. Optional Electrical Safety Program and training materials described above.

Atty. Rev. 2025 Page 13 of 19

EXHIBIT B

PAYMENT

I. PROGRESS AUTHORIZATION

Written authorization to proceed from the City authorizes the Contractor to generate the NOT-TO-EXCEED COST OF ONE HUNDRED FIFTY-FOUR

THOUSAND, TWO HUNDRED THIRTY DOLLARS AND ZERO CENTS IN FEES for all work.

Item Cost
Tasks 1-7, 9-12 $ 139,770.00
Task 8 - Optional Services 14,460.00
Grand Total $ 154,230.00

II. INVOICE PROCEDURE

A. Payment shall be monthly based on the billable charges.

B. Contractor shall present the bill for charges from the previous month.

C. Contractor's bill shall be substantiated by appropriate documentation, and include an itemized listing of personnel, subcontractors, and other direct costs incurred.

D. City may withhold payment for disputed work. Payment of fees shall not constitute an acceptance of work.

E. Work Authorized by Change Order/Amendment shall be billed on a time and materials basis.

Atty. Rev. 2025 Page 14 of 19

EXHIBIT C

INSURANCE REQUIREMENTS

Contractor shall procure and maintain for the duration of the Agreement insurance against claims for injuries to persons or damages to property which may arise from or in connection with the performance of the work hereunder by the Contractor, his/her agents, representatives, or employees. If the Contractor maintains broader coverage and/or higher limits than the minimums shown above, the City requires and shall be entitled to the broader coverage and/or higher limits maintained by the Contractor.

A. Minimum Scope of Insurance
Coverage shall be at least as broad as:

1. Insurance Services Office Commercial General Liability coverage (occurrence form CG 0001), including products and completed operations, property damage, bodily injury and personal & advertising injury.

2. Insurance Services Office Business Auto Coverage Form Number CA 00 01 covering any auto (Code 1), or if Contractor has no owned autos, covering hired (Code 8) and non-owned autos (Code 9).

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

4. Errors and Omissions liability insurance appropriate to the Contractor’s profession. Architects' and engineers' coverage is to be endorsed to include contractual liability.

5. Cyber Liability Insurance . Coverage shall be sufficiently broad to respond to the duties and obligations as is undertaken by Contractor in this Agreement and shall include, but not be limited to, claims involving infringement of intellectual property, including but not limited to infringement of copyright, trademark, trade dress, invasion of privacy violations, information theft, damage to or destruction of electronic information, release of private information, alteration of electronic information, extortion and network security. The policy shall provide coverage for breach response costs as well as regulatory fines and penalties as well as credit monitoring expenses with limits sufficient to respond to these obligations.

B. Minimum Limits of Insurance
Contractor shall maintain limits no less than:

1. General Liability - $2,000,000 per occurrence for bodily injury, personal injury and property damage. If Commercial General Liability Insurance or other form with a general aggregate limit is used, either the general aggregate limit shall apply separately to this Atty. Rev. 2025 Page 15 of 19

project/location (ISO CG 25 03 or 25 04) or the general aggregate limit shall be twice the required occurrence limit.

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

3. Workers’ Compensation: Statutory limits.

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

5. Errors and Omissions Liability - $1,000,000 per occurrence or claim, $2,000,000 aggregate.

6. Cyber Liability - $2,000,000 per occurrence or claim, $2,000,000 aggregate.

C. Self-insured Retentions
Self-insured retentions must be declared to and approved by the City. The City may require the Contractor to purchase coverage with a lower retention or provide proof of ability to pay losses and related investigations, claim administration, and defense expenses within the retention.

D. Other Insurance Provisions
The liability policies are to contain, or be endorsed to contain, the following provisions:

1. The City, its officers, officials, employees and volunteers are to be covered as additional insureds on the CGL policy with respect to liability arising out of work or operations performed by or on behalf of the Contractor including materials, parts or equ ipment furnished in connection with such work or operations. General liability coverage can be provided in the form or an endorsement to the Contractor’s insurance (at least as broad as ISO Form CG 20 10 11 85 or both CG 20 10, CG 20 26, CG 20 33, or CG 20 38 and CG 20 37 forms if later revisions are used).

2. For any claims related to this project, the Contractor’s insurance coverage shall be primary insurance coverage at least as broad as ISO CG 20 01 04 13 as respects the City, its officers, officials, employees and volunteers. Any insurance or self -insurance maintained by the City, its officers, officials, employees or volunteers shall be excess of the Contractor’s insurance and shall not contribute with it.

3. Each insurance policy required by this clause shall be endorsed to state that coverage shall not be canceled or reduced, except with notice stating the title of this Agreement to the City. All notices Atty. Rev. 2025 Page 16 of 19

provided pursuant to this Agreement shall be given to the City representative listed for notice in this agreement and shall specify the title of this Agreement. Notice may be given by overnight mail, facsimile with confirmation of receipt, or certified mail with return-receipt requested.

4. Contractor hereby grants to City a waiver of any right to subrogation which any insurer of said Contractor may acquire against the City by virtue of the payment of any loss under such insurance. Contractor agrees to obtain any endorsement that may be necessary to affect this waiver of subrogation, but this provision applies regardless of whether or not the City has received a waiver of subrogation endorsement from the insurer.

5. If any of the required policies provide claims-made coverage:
a. The Retroactive Date must be shown and must be before the date of the Agreement or the beginning of Agreement work. b. Insurance must be maintained and evidence of insurance must be provided for at least five (5) years after completion of the contract of work.
c. If coverage is canceled or non -renewed, and not replaced with another claims -made policy form with a Retroactive Date prior to the Agreement effective date, the Contractor must purchase “extended reporting” coverage for a minimum of five (5) years after completion of work.

E. Acceptability of Insurers
Insurance is to be placed with insurers with a current A.M. Best's rating of no less than A:VII, unless otherwise acceptable to the City.

F. Verification of Coverage
Contractor shall furnish the City with original certificates and amendatory endorsements of the applicable policy language effecting coverage required by this clause. All certificates and endorsements are to be received and approved by the City before work commences. However, failure to obtain the required documents prior to the work beginning shall not waive the Contractor’s obligat ion to provide them. The City reserves the right to require complete, certified copies of all required insurance policies, including endorsements effecting the coverage required by these specifications at any time.

G. Special Risks or Circumstances
The City reserves the right to modify these requirements, including limits, based on the nature of the risk, prior experience, insurer, coverage, or other special circumstances.

Atty. Rev. 2025 Page 17 of 19

EXHIBIT D

PREVAILING WAGE REQUIREMENTS FOR MAINTENANCE WORK, DESIGN AND

PRECONSTRUCTION PHASES OF CONSTRUCTION, AND INSTALLATIONS

The terms of this Exhibit apply to all Public Works projects for over $1,000.

For purposes of this Exhibit, “Public Works” includes any project of a type defined in California Labor Code section 1720 when paid for in whole or in part by public funds. These projects include construction, alteration, demolition, installation, or repair work done under contract. For purposes of this definition, "construction" includes work performed during the design, site assessment, feasibility study, and other preconstruction phases of construction, including, but not limited to, inspection and land surveying work, regardless of whether any further construction work is conducted, and work performed during the postconstruction phases of construction, including, but not limited to, all cleanup work at the jobsite. For purposes of this definition, "insta llation" includes, but is not limited to, the assembly and disassembly of freestanding and affixed modular office systems.

Pursuant to California Labor Code sections 1720 and 1771, construction, alteration, demolition, installation, repair and maintenance work performed under this Agreement is subject to State prevailing wage laws. State prevailing wage laws require certain pr ovisions be included in all contracts for public works. The Contractor and any subcontractors shall comply with all applicable State prevailing wage laws, whether included in this agreement or inadvertently omitted, including but not limited to the requirements listed below:

1. Compliance with Prevailing Wage Requirements . Pursuant to California Labor Code sections 1720 through 1861, the Contractor and all subcontractors shall ensure that all workers who perform work under this Agreement are paid not less than the prevailing rate of per diem wages as determined by the Director of the California Department of Industrial Relations (DIR). This includes work performed during the design, site assessment, feasibility study, and other preconstruction phases of construction, including but not limited to inspection and land surveying work, regardless of whether any further construction work is conducted, and work performed during the post -construction phases of construction, including but not limited to all cleanup work at the jobsite.

1.1. Copies of such prevailing rate of per diem wages are on file at the City Public Works Department and are available for inspection to any interested party on request. Copies of the prevailing rate of per diem wages also may be found at http://www.dir.ca.gov/OPRL/DPreWageDetermination.htm. The Contractor and all subcontractors shall post a copy of the prevailing rate of per diem wages determination at each job site and shall make them available to any interested party upon request.

1.2. The wage rates determined by the DIR refer to expiration dates. If the published wage rate does not refer to a predetermined wage rate to be paid after the expiration date, then the published rate of wage shall be in effect for the life of this Agreement. If the published wage rate refers to a predetermined wage rate to become effective upon expiration of the Atty. Rev. 2025 Page 18 of 19

published wage rate and the predetermined wage rate is on file with the DIR, such predetermined wage rate shall become effective on the date following the expiration date and shall apply to this Agreement in the same manner as if it had been published in said publication. If the predetermined wage rate refers to one or more additional expiration dates with additional predetermined wage rates, which expiration dates occur during the life of this Agreement, each successive predetermined wage rate shall apply to this Agreement on the date following the expiration date of the previous wage rate. If the last of such predetermined wage rates expires during the life of this Agreement, such wage rate shall apply to the balance of the Agreement.

2. Penalties for Violations . The Contractor and all subcontractors shall comply with California Labor Code section 1775 in the event a worker is paid less than the prevailing wage rate for the work or craft in which the worker is employed. This shall be in addition to any other applicable penalties allowed under California Labor Code sections 1720 through 1861.

3. Payroll Records. The Contractor and all subcontractors shall comply with California Labor Code section 1776, which generally requires keeping accurate payroll records, verifying and certifying payroll records, and making them available for inspection. The Contractor shall require all subcontractors to also comply with section 1776. The Contractor and all subcontractors shall furnish records specified in section 1776 on a monthly basis, both to the City and directly to the Labor Commissioner in the manner required by California Labor Code section 1771.4. The Contractor shall ensure its subcontractors prepare and submit payroll records to the City and the DIR as required by this section. The City may require the Contractor and its subcontractors to prepare and submit records specified in section 1776 to the City and the Labor Commissioner on a weekly basis, at no additional cost to the City.

4. Apprentices. The Contractor and all subcontractors shall comply with California Labor Code sections 1777.5, 1777.6 and 1777.7 concerning the employment and wages of apprentices. The Contractor is responsible for compliance with this section for all apprenticeable occupations pursuant to California Labor Code section 1777.5(n).

5. Working Hours. The Contractor and all subcontractors shall comply with California Labor Code sections 1810 through 1815, including but not limited to: (i) restrict working hours on public works contracts to eight hours a day and forty hours a week, unless all hours worked in excess of 8 hours per day are compensated at not less than 1½ times the basic rate of pay; and (ii) specify penalties to be imposed o n Contractors and subcontractors of $25 per worker per day for each day the worker works more than 8 hours per day and 40 hours per week in violation of California Labor Code sections 1810 through 1815.

6. Required Provisions for Subcontracts. The Contractor shall include, at a minimum, a copy of the following provisions in any contract they enter into with a subcontractor:

California Labor Code sections 1771, 1771.1, 1775, 1776, 1777.5, 1810, 1813, 1815, Atty. Rev. 2025 Page 19 of 19

1860 and 1861.

7. Labor Code Section 1861 Certification. In accordance with California Labor Code section 3700, the Contractor is required to secure the payment of compensation of its employees. By signing the Agreement, to which this is an exhibit, the Contractor certifies that: “I am aware of the provisions of Section 3700 of the California Labor Code which require every employer to be insured against liability for workers’ compensation or to undertake self-insurance in accordance with the provisions of that code, and I will comply with such provisions before commencing the performance of the work of this Agreement.”

8. Compliance Monitoring and Enforcement . This project is subject to compliance monitoring and enforcement by the DIR. The City must withhold contract payments from the Contractor as directed by the DIR, pursuant to California Labor Code section 1727.

9. Contractor and Subcontractor Registration Requirements. The Contractor and all subcontractors shall not engage in the performance of any contract for public work, unless currently registered and qualified to perform public work pursuant to California Labor Code section 1725.5 Contractor certifies that the Contractor has verified that all Contractor and all subcontractors (if any approved by City) used on this project are registered with the DIR in compliance with California Labor Code sections 1771.1 and 1725.5. The Contractor shall provide proof of registration for themselves and all listed subcontractors to the City at the time of signature of contract and immediately upon any changes or City’s request.

10. Stop Order. Where a Contractor or subcontractor engages in the performance of any public work contract without having been registered in violation of California Labor Code sections 1725.5 or 1771.1, the Labor Commissioner must issue and serve a stop order prohibiting the use of the unregistered Contractor or subcontractor on ALL public works until the unregistered Contractor or subcontractor is registered. Failure to observe a stop order is a misdemeanor.

COUNCIL AGENDA REPORT

TO: Mayor and City Council

FROM: Chenin Dow, Community Development Director

DATE: September 15, 2026

SUBJECT: Adoption of a Resolution Approving the Fiscal Year 2027-2028 Proposed Community Development Block Grant Funding Priorities

Description:

The City Council will c onduct a public hearing to receive comments on the Community Development Block Grant (CDBG) priorities for Fiscal Year 2027-2028 funding and consider adoption of a Resolution approving proposed priorities.

Environmental Notice: This activity is not a “Project” as defined under Section 15378 of the California Environmental Quality Act State Guidelines; therefore, pursuant to State Guidelines Section 15060(c)(3) no environmental review is required.

RECOMMENDATION:

1. Adopt a Resolution approving the Community Development Block Grant (CDBG) priorities for Fiscal Year 2027-2028; and

2. Approve the use of Fiscal Year 2027 -28, CDBG Capita l funding for City -related projects.

BACKGROUND:

On an annual basis, the Block Grants Advisory Committee (BGAC) reviews the priorities outlined in the City’s Five -Year Consolidated Plan and decides whether they should be modified based on community needs. The priorities are one of the tools used by the BGAC and the City Council in determining what activities and projects should receive funding to maximize the impact the City’s Community Development Block Grant (CDBG) funds will have on City residents . This is a required process under the U.S. Housing and Urban Development’s (HUD’s) adopted Citizen Participation Plan.

DISCUSSION:

As part of the required CDBG funding process, staff conducted a Community Needs Workshop on Monday, July 13, 2026. The workshop was designed to obtain information from residents and non-profit agencies concerning the unmet needs in the community. In addition, for those who were unable to attend the workshop, a survey was sent out to the Community Program Division’s contacts to obtain additional thoughts related to the city’s unmet needs. Collectively, the unmet needs expressed include:

2  Accessibility for people with disabilities
 Addressing food insecurity
 Financial assistance for utilities
 LGBTQIA+ services
 Mental health support
 Multilingual community outreach
 Open space/recreational amenities
 Resources to prevent housing instability
 Senior services
 Youth services

The needs expressed are reflected in the existing CDBG funding priorities; therefore, the BGAC recommends no changes be made to the current priorities. It should be noted that while all the needs expressed may be valid, some may not be eligible activities under the City’s CDBG program based on HUD’s current regulations. This was taken into consideration when approving the current priorities presented.

These funding priorities are one of several tools used by the BGAC and the City Council to determine how the funding is distributed. The City also has discretion as to how the funding should be allocated based on ot her program/project factors, such as immediate need, timeliness, the applicant’s administrative capacity, financial sustainability after the grant funding is expended, and long-term goals identified by the City in its five-year CDBG Consolidated Plan.

The adoption of these funding priorities by the City Council will initiate the funding process for Fiscal Year 2027 -28. The Notice of Funding Availability (NOFA) is scheduled to be released on Thursday, September 17, 2026, notifying potential applicants that the application process has begun. For this application process, staff recommends that non- profits be eligible to apply for public service activities only. Due to pressing needs involving the City’s public facilities, staff recommends setting aside CDBG Capital funding for City -related projects that benefit low - to moderate -income persons and/or areas, consistent with CDBG regulations. Proposed uses include ADA-related improvements to City streets and public facilities, as well as eligible administrative co sts associated with the management of the City’s Tenant-Based Rental Assistance (TBRA) Program.

Alternative(s)
The City Council can amend the priorities with the understanding that it differs from the BGAC’s recommendation, the City’s adopted five-year CDBG Consolidated Plan, and that the changes may not accurately reflect the overall needs expressed by the community.

Delaying the adoption of the funding priorities will also delay the CDBG funding process for FY 2027-28. The City Council can also opt to fund alternative Capital projects.

Fiscal Considerations
HUD has not yet released official figures for FY 2027 -28, but staff anticipates approximately $210,000 towards Public Services activities and over $900,000 for Capital projects.
3 Impact on the Community
The proposed action will have a positive impact on the community by providing the BGAC and potential subrecipients with a decisive outline of the priorities for the upcoming funding cycle.

ATTACHMENT(S)
A. Resolution FY 2027-28 Priorities
B. Proposed FY 2027-28 Priorities

Attachment A

RESOLUTION NO.

A RESOLUTION OF THE CITY COUNCIL

OF THE CITY OF SANTA MARIA, CALIFORNIA

APPROVING THE COMMUNITY DEVELOPMENT BLOCK GRANT
(CDBG) PRIORITIES FOR FISCAL YEAR 2027-28

WHEREAS, the City of Santa Maria has been eligible for Federal funding on an annual basis since 1975 under the Community Development Block Grant (CDBG) Program; and

WHEREAS, the funds may be used at the discretion of the City if the City’s activities comply with Federal regulations and meet one of three national objectives; and

WHEREAS, the national objectives are: 1) primary benefit to low and moderate - income persons; 2) prevention or elimination of slums or blight; or 3) meet an urgent community-wide need, such as one caused by a major catastrophic event (i.e., flooding, earthquake, etc.); and

WHEREAS, the Block Grants Advisory Committee (BGAC) annually reviews the priorities from the previous fiscal year , which were adopted and approved by the City Council; and

WHEREAS, based on community partici pation and the U.S. Department of Housing and Urban Development (HUD) recommendations, the BGAC recommends that the priorities stay the same for the 2027-2028 Fiscal Year, as they have been for the past year.

NOW, THEREFORE, IT IS HEREBY RESOLVED by the City Council of the City of Santa Maria, California, as follows:

SECTION 1. Approve CDBG Priorities for Fiscal Year 2027-28 and authorize and direct the BGAC to adopt the funding priorities for the upcoming 2027-2028 Fiscal Year; and
SECTION 2. Authorize the City Manager or designee to make minor changes to these adopted priorities, so long as substantial conformance with the intent of the document is maintained; and
SECTION 3. Authorize the Chief Deputy City Clerk to make minor changes herein to address clerical errors, so long as substantial conformance with the intent of this document is maintained. In doing so, the Chief Deputy City Clerk shall consult with the City Manager and City Attorney concerning any changes deemed necessary.

///

///

PASSED AND ADOPTED at a regular meeting of the City Council of the City of Santa Maria, California, held this 15th day of September 2026.

ATTEST:

Chief Deputy City Clerk

Mayor

APPROVED AS TO FORM:
_______________________________
City Attorney
APPROVED AS TO CONTENT:
_______________________________
Department Director
_______________________________
City Manager

Attachment B

CITY OF SANTA MARIA

COMMUNITY DEVELOPMENT BLOCK GRANT PROGRAM

PROPOSED FUNDING PRIORITIES
FOR FISCAL YEAR 2027-2028
Approved by the Block Grants Advisory Committee (BGAC) on Monday, July 13, 2026

A. Prevent homelessness, address critical needs, and assist at-risk youth, the elderly, and underserved populations
i. Assist low- to moderate -income people in need of food, shelter, clothing, health care , and/or safety.
ii. Prevent juvenile delinquency and divert at -risk youth from gang involvement, crime, substance abuse, family violence, school problems, and out-of-control behavior. iii. Address the housing, health care , accessibility , and service needs of underserved populations, such as, but not limited to, the elderly and persons with mental, physical, emotional, and developmental disabilities and/or diseases.

B. Expand educational and development opportunities
i. Support and develop social services and facilities , and provide opportunities for youth development that will provide positive experiences needed by youth to achieve success. ii. Encourage programs to improve academic performance and educational outcomes for those in preschool through grade 12.
iii. Support and encourage programs to provide adult literacy training and encourage lifelong learning.

C. Provide affordable housing
i. Develop and support programs and projects to increase the supply of affordable housing for low to moderate-income persons.
ii. Maintain and upgrade existing low to moderate -income neighborhoods and preserve affordable housing stock.
iii. Provide services that will assist low to moderate -income homeowners and renters to continue living in their homes safely.

D. Revitalize existing neighborhoods
i. Revitalize existing neighborhoods in low to moderate-income areas by increasing services such as supportive social services and upgrading public infrastructure s, such as street lighting, improved sidewalks, parks, and recreational public facilities.

Note: The priorities are not listed in order of importance but itemized for reference purposes only. Priorities A and B will only be considered for CDBG public services funding.

COUNCIL AGENDA REPORT

TO: Mayor and City Council

FROM: Chenin Dow, Community Development Director

DATE: September 15, 2026

SUBJECT: Adoption of a Resolution Approving a Substantial Amendment of the Community Development Block Grant (CDBG) F iscal Year 2026-27 Annual Action Plan

Description:

The City Council will c onduct a public hearing and consider adopting a Resolution approving the substantial amendment of the Community Development Block Grant (CDBG) Fiscal Year 2026-27 Annual Action Plan.

Environmental Notice: This activity is not a “Project” as defined under Section 15378 of the California Environmental Quality Act State Guidelines; therefore, pursuant to State Guidelines Section 15060(c)(3) no environmental review is required.

RECOMMENDATION:

Adopt a Resolution approving a substantial amendment to the Fiscal Year (FY) 2026 -27 Community Development Block Grant (CDBG) Action Plan to add a Minor Home Repair Activity.

BACKGROUND:

A substantial amendment to the FY 2026-27 CDBG Action Plan is required because the City is proposing to add a new minor home repair activity that was not included in the originally adopted Action Plan. The proposed amendment would allow the City to use available CDBG Revolving Loan funds to provide eligible minor home repair assistance.

Consistent with the City’s CDBG Citizen Participation Plan, the substantial amendment process includes an opportunity for public review and comment and City Council consideration prior to implementation of the new activity.

DISCUSSION:

The City is proposing to allocate its available CDBG Revolving Loan funds to a minor home repair activity. These funds are restricted to activities similar to their original use, which in this case was home repair, and therefore cannot be repurposed for other City projects.

The proposed activity would allow the City to use available funding to address an immediate need for minor home repairs for low - to moderate-income households. Other 2 funding currently available for this purpose is limited. The proposed allocation would help provide limited assistance to eligible residents until additional funding becomes available.

Approval of the substantial amendment will incorporate the minor home repair activity into the FY 2026 -27 CDBG Action Plan . In accordance with the City’s CDBG Citizen Participation Plan and applicable HUD requirements, the amendment is subject to a 30 - day public review and comment period and City Council approval.

Alternative(s)
The City Council may choose not to approve the substantial amendment and not allocate the available CDBG Revolving Loan funds to the proposed minor home repair activity.

However, due to the restrictions associated with these funds, the City does not currently have another eligible activity for which the funds can be used.

Fiscal Considerations
Approval of the proposed amendment will have no fiscal impact on current CDBG-funded activities or projects. Approximately $18,000 in available CDBG Revolving Loan funds will be allocated to the proposed minor home repair activity. Additional Revolving Loan funds may become available for this activity as payments are received from existing home repair loans.

Impact on the Community
The proposed action will positively impact the community by providing additional resources for minor home repairs for eligible low - to moderate-income households. The funding will help address an immediate community need while other housing assistance funding remains limited.

ATTACHMENT(S)
A. Resolution for FY 2026-27 Amended Action Plan

Attachment A

RESOLUTION NO.

A RESOLUTION OF THE CITY COUNCIL

OF THE CITY OF SANTA MARIA, CALIFORNIA

APPROVING A SUBSTANTIAL AMENDMENT TO THE
FISCAL YEAR 2026-27 COMMUNITY DEVELOPMENT BLOCK GRANT
(CDBG) ACTION PLAN TO ADD A MINOR HOME REPAIR ACTIVITY

WHEREAS, the City of Santa Maria (“City”) receives an annual allocation of Community Development Block Grant (CDBG) funds from the U.S. Department of Housing and Urban Development (HUD); and
WHEREAS, the City Council adopted the Fiscal Year (FY) 2026-27 CDBG Action Plan on May 5, 2026 , which set forth the activities to be funded with the City’s annual CDBG allocation; and
WHEREAS, the City is proposing to add a new minor home repair activity that was not included in the originally adopted FY 2026 -27 CDBG Action Plan, to be funded with available CDBG Revolving Loan funds; and
WHEREAS, CDBG Revolving Loan funds are restricted to activities similar to their original use, which in this case was home repair, and therefore cannot be repurposed for other City projects; and
WHEREAS, the proposed minor home repair activity would allow the City to use available CDBG Revolving Loan funds to address an immediate need for minor home repairs for low- to moderate-income households, at a time when other funding available for this purpose is limited; and
WHEREAS, the addition of this new activity constitutes a substantial amendment to the FY 2026 -27 CDBG Action Plan and, consistent with the City’s CDBG Citizen Participation Plan and applicable HUD requirements, requires a 30-day public review and comment period and City Council consideration prior to implementation; and WHEREAS, a public hearing notice was duly published, and a 30-day public review and comment period was provided, in accordance with the City’s CDBG Citizen Participation Plan; and
WHEREAS, the City Council conducted a duly noticed public hearing on this matter and considered all oral and written testimony and evidence presented; and WHEREAS, approval of the substantial amendment will incorporate the minor home repair activity into the FY 2026-27 CDBG Action Plan and will have no fiscal impact on current CDBG-funded activities or projects;

Attachment A

NOW, THEREFORE, IT IS HEREBY RESOLVED by the City Council of the City of Santa Maria, California, as follows:

SECTION 1. The above recitals are true and correct and are incorporated herein by this reference; and
SECTION 2. The substantial amendment to the FY 2026 -27 CDBG Action Plan, adding a minor home repair activity to be funded with available CDBG Revolving Loan funds, is hereby approved; and
SECTION 3. The City Manager or designee is hereby authorized to make minor changes to the action plan , so long as substantial conformance with the intent of this Resolution is maintained; and
SECTION 4. The Chief Deputy City Clerk is hereby authorized and directed to make minor changes herein to address clerical errors, so long as substantial conformance with the intent of this document is maintained. In doing so, the Chief Deputy City Clerk shall consult with the City Manager and City Attorn ey concerning any changes deemed necessary.

PASSED AND ADOPTED at a regular meeting of the City Council of the City of Santa Maria, California, held this 15th day of September 2026.

ATTEST:

Chief Deputy City Clerk

Mayor

APPROVED AS TO FORM:
_______________________________
City Attorney
APPROVED AS TO CONTENT:
_______________________________
Department Director
_______________________________
City Manager