Vernon City Council
August 2, 2022

1. Title to Work covered by an Application for Payment will pass to City either by incorporation into the construction or upon receipt of payment by Contractor, whichever occurs first; and

2. Work covered by previous Applications for Payment are free and clear of liens, stop notices, claims, security interests or encumbrances imposed by the Contractor or any other person.

E. Corrections
No inaccuracy or error in any Application for Payment provided by Contractor shall operate to release Contractor from the error, or from losses arising from the Work, or from any obligation imposed by the Contract Documents. City retains the right to subsequently correct any error made in any previously approved Application for Payment, or progress payment issued, by adjustments to subsequent payments.

7.07 PAYMENTS BY CONTRACTOR
Contractor shall not include in its Applications for Payment sums on account of any Subcontractor's portion of the Work that it does not intend to pay to such Subcontractor. Upon receipt of payment from City, Contractor shall pay the Subcontractor performing Work on the Project, out of the amount paid to Contractor on account of such Subcontractor's portion of the Work, the amount to which said Subcontractor is entitled in accordance with the terms of its contract with Contractor and applicable laws, including, without limitation, California Public Contract Code Section 7107. Contractor shall remain responsible notwithstanding a withholding by City pursuant to the terms of these Contract Documents, to promptly satisfy from its own funds sums due to all Subcontractors who have performed Work that is included in Contractor's Application for Payment. Contractor shall, by appropriate agreement, require each Subcontractor to make payments to its subcontractors and material suppliers in similar manner. City shall have no obligation to pay or be responsible in any way for payment to a Subcontractor of any tier or material supplier.

7.08 PAYMENTS WITHHELD
A. Withholding by City
In addition to any other amounts which City may have the right to retain under the Contract Documents, City may withhold a sufficient amount of any payment otherwise due to Contractor as City, in its sole discretion, may deem necessary to cover actual or threatened loss due to any of the following:

1. Third Party Claims. Third-party claims or stop notices filed or reasonable evidence indicating probable filing of such claims or stop notices. City shall promptly inform Contractor of any third party claims related to this Contract; [NOTE: PUBLIC ENTITES ARE REQUIRED TO INCLUDE

PROVISIONS IN PUBLIC WORKS CONTRACTS FOR TIMELY NOTIFICATION TO THE

CONTRACTOR OF THE RECEIPT OF ANY THIRD PARTY CLAIM RELATED TO THE CONTRACT, PC C §9201(b).

2. Defective Work. Defective Work not remedied;

3. Nonpayment. Failure of Contractor to make proper payments to its Subcontractors for services, labor, materials or equipment;

4. Inability to Complete. Reasonable doubt that the Work can be completed for the then unpaid balance of the Contract Sum or within the Contract Time;

5. Violation of Applicable Laws. Failure of Contractor or its Subcontractors to comply with applicable laws or lawful orders of governmental authorities;

6. Penalty. Any claim or penalty asserted against City by virtue of Contractor’s failure to comply with applicable laws or lawful orders of governmental authorities (including, without limitation labor laws);

7. Failure to Meet Contract Time. Any damages which may accrue as a result of Contractor failing to meet the Construction Schedule or failing to perform within the Contract Time;

8. Setoff. Any reason specified elsewhere in the Contract Documents as grounds for a withholding offset or set off or that would legally entitle City to a set-off or recoupment;

9. Consultant Services. Additional professional, consultant or inspection services required due to Contractor’s failure to comply with the Contract Documents;

10. Liquidated Damages. Liquidated damages assessed against Contractor;

11. Materials. Materials ordered by City pursuant to the Contract Documents;

12. Damages. Loss caused by Contractor or Subcontractor to City, Separate Contractors or any other person or entity under contract to City;

13. Clean Up. Clean up performed by City and chargeable to Contractor pursuant to the Contract Documents;

14. Employee Benefits. Failure of Contractor to pay contributions due and owing to employee benefits funds pursuant to any applicable collective bargaining agreement or trust agreement;

15. Required Documents. Failure of Contractor to submit on a timely basis, proper and sufficient documentation required by the Contract Documents, including, without limitation, Construction Schedule updates, ‘look ahead’ schedules, Submittals, Schedules of Values, information on Subcontractors, Change Orders, certifications and other required reports or documentation; and

16. Other Breach. A breach of any obligation or provision of the Contract Documents.

B. Release of Withholding
If and when City determines, in its sole discretion, that the above grounds for withholding have been removed and that all losses incurred or threatened have been paid, credited or otherwise satisfied, then payment shall be made for amounts withheld because of them.

C. Application of Withholding
City may apply sums withheld pursuant to Paragraph 7.08-A above, in payment of any loss or threatened loss as City determines, in its sole discretion, to be appropriate. Such payments may be made without a prior judicial determination of City’s actual rights with respect to such loss. Contractor agrees and hereby designates City as its agent for such purposes, and agrees that such payments shall be considered as payments made under Construction Contract by City to Contractor. City shall not be liable to Contractor for such payments made in good faith. City shall submit to Contractor an accounting of such funds disbursed on behalf of Contractor. As an alternative to such payment, City

may, in its sole discretion, elect to exercise its right to adjust the Contract Sum as provided in the Contract Documents.

D. Continuous Performance
Provided City pays the undisputed portion, if any, of funds withheld in good faith, Contractor shall maintain continuous and uninterrupted performance of the Work during the pendency of any disputes or disagreements with City.

7.09 SUBSTITUTION OF SECURITIES
A. Public Contract Code
Pursuant to the requirements of California Public Contract Code Section 22300, upon Contractor’s request, City will make payment to Contractor of any funds withheld from payments to ensure performance under the Contract Documents if Contractor deposits with City, or in escrow with a California or federally chartered bank in California acceptable to City (“Escrow Agent”), securities eligible for the investment of State Funds under Government Code Section 16430, or bank or savings and loan certificates of deposit, interest-bearing demand deposit accounts, standby letters of credit, or any other security mutually agreed to by the Contractor and the City, upon the following conditions:

1. Contractor shall be the beneficial owner or any securities substituted for monies withheld for the purpose of receiving any interest thereon.

2. All expenses relating to the substitution of securities under Public Contract Code Section 22300 and under this Paragraph 7.04, including, but not limited to City’s overhead and administrative expenses, and expenses of Escrow Agent shall be the responsibility of Contractor.

3. Securities or certificates of deposit substituted for monies withheld shall be of a value of at least equivalent to the amounts of retention to be paid to Contractor pursuant to the Contract Documents.

4. If Contractor chooses to deposit securities in lieu of monies withheld with an Escrow Agent, Contractor, City and Escrow Agent shall, as a prerequisite to such deposit, enter into an escrow agreement, using the City’s form, “Escrow Agreement for Deposit of Securities in Lieu of Retention.”

5. Contactor shall obtain the written consent of Surety to such agreement.

6. Securities, if any, shall be returned to Contractor only upon satisfactory Final Completion of the Work.

B. Substitute Security
To minimize the expense caused by such substitution of securities, Contractor shall, prior to or at the time Contractor requests to substitute security, deposit sufficient security to cover the entire amount to be withheld. Should the current market value of such substituted security fall below the amount for which it was substituted, or any other amounts which the City withholds pursuant to the Contract Documents, Contractor shall immediately and at Contractor’s expense and at no cost to City deposit additional security qualifying under Public Contract Code Section 22300 until the current market value of the total security deposited is no less than the amount subject to withholding under the Contract

Documents. Securities shall be valued as often as conditions of the securities market warrant, but in no case less frequently than once per month.

C. Deposit of Retentions
Alternatively, subject to the conditions set forth in Paragraph 7.04-A above, upon request of Contractor, City shall make payment of retentions directly to Escrow Agent at the expense of Contractor, provided that Contractor, City and Escrow Agent shall, as a prerequisite such payment, enter into an escrow agreement in the same form as prescribed in Part 4 of Paragraph A, above. At the expense of Contractor and at no cost to City, Contractor may direct the investment of the payments into securities and interest bearing accounts, and Contractor shall receive the interest earned on the investments. Escrow Agent shall hold such direct payments by City under the same terms provided herein for securities deposited by Contractor. Upon satisfactory Final Completion of the Work, Contractor shall receive from Escrow Agent all securities, interest and payments received by Escrow Agent from City, less escrow fees and charges of the Escrow Account, according to the terms of Public Contract Code Section 22300 and the Contract Documents.

D. Time for Election of Substitution of Securities
Notwithstanding the provision of 7.04 A, B, and C above and California Public Contract Code Section 22300, the failure of Contractor to request the Substitution of eligible securities for monies to be withheld by City within ten (10) days of the award of Contract to Contractor shall be deemed to be a waiver of all such rights.

7.10 CLAIMS
A. Arising of Claim.

1. Scope Change. When Contractor has a claim for an increase in the Contract Sum or Contract Time due to a scope change which has not yet become final, a “claim” will be deemed to arise once the Director has issued a decision denying, in whole or in part, the Contractor’s Change Order Request.

2. Other Claims. In the case of a Claim by Contractor that does not involve an adjustment to the Contract Sum or Contract Time due to a scope change and which has not become final, the Claim may be asserted if, and only if, Contractor gives written notice to City of intent to file the Claim within three (3) days of the date of discovery relative to such circumstances (even if Contractor has not yet been damaged or delayed). Such written notice of intent to file a Claim shall be valid if, and only if, it identifies the event or condition giving rise to the Claim, states its probable effect, if any with respect to Contractor's entitlement to an adjustment of the Contract Sum or Contract Time and complies with the requirements of Paragraph 7.11-B, below. For purposes of this Paragraph 7.11, a Claim for which such written notice is required and has been given by Contractor shall be deemed to arise on the date that such written notice is received by City.

B. Content of Claim
A Claim by Contractor must include all of the following:

1. A statement that it is a Claim and a request for a decision on the Claim;

2. A detailed description of the act, error, omission, unforeseen condition, event or other circumstance giving rise to the Claim.

3. If the Claim involves an adjustment to the Contract Sum or Contract Time due to a change in scope, a statement demonstrating that all requisite notices were provided, including, without limitation, timely written notice and a Change Order Request as required by Article 6 of these General Conditions and timely notice of delay and request for extension of time in accordance with Article 3. If the Claim does not involve an adjustment to the Contract Sum or Contract Time due to a change in scope, a statement demonstrating that a notice of intent to file the Claim was timely submitted as required by Paragraph 7.10-A.2, above;

4. A detailed justification for any remedy or relief sought by the Claim including without limitation, a detailed cost breakdown in the form' required for submittal of Change Order Requests and actual job cost records demonstrating that the costs have been incurred;

5. If the Claim involves a request for adjustment of the Contract Time, written documentation demonstrating that Contractor has complied with the requirements of the Contract Documents and written substantiation (including, without limitation, a Time Impact Analysis) demonstrating that Contractor is entitled to an extension of time under the Contract Documents; and

6. A written certification signed by a managing officer of Contractor's organization, who has the authority to sign contracts and purchase orders on behalf of Contractor and who has personally investigated and confirmed the truth and accuracy of the matters set forth in such certification, in the 'following form:
"I hereby certify under penalty of perjury that I am a managing officer of (Contractor's name) and that I have reviewed the Claim presented herewith on Contractor's behalf and/or on behalf of (Subcontractor's name) and that, to the best of my knowledge after conducting a diligent inquiry into the facts of the Claim, the following statements are true and correct:

The facts alleged in or that form the basis for the Claim are, to the best of my knowledge following diligent inquiry, true and accurate; and,
(a) I do not know of any facts or circumstances, not alleged in the Claim, that by reason of their not being alleged render any fact or statement alleged in the Claim materially misleading; and,
(b) I have, with respect to any request for money or damages alleged in or that forms the basis for the Claim, reviewed the job cost records (including those maintained by Contractor and by any Subcontractor, of any tier, that is asserting all or any portion of the Claim) and confirmed with reasonable certainty that the losses or damages suffered by Contractor and/or such Subcontractor were in fact suffered in the amounts and for the reasons alleged in the Claim; and, (c) I have, with respect to any request for extension of time or claim of delay, disruption, hindrance or interference alleged in or that forms the basis for the Claim, reviewed the job schedules (including those maintained by Contractor and the Subcontractor, of any tier, that is asserting all or any portion of the Claim) and confirmed on an event-by-event basis that the delays or disruption suffered by Contractor and/or such Subcontractor were in fact experienced for the durations, in the manner, and with the consequent effects on the time and/or sequence of

performance of the Work, as alleged in the Claim; and,
(d) I have not received payment from City for, nor has Contractor previously released City from, any portion of the Claim.”
Signature: Date:

Name:

Title:

Company
C. Noncompliance
Failure to submit any of the information, documentation or certifications required by Paragraph 7.10- B, above, shall result in the Claim being returned to Contractor without any decision.

D. Submission of Claims

1. Director. Claims shall be first submitted to the City for decision by the Director.

2. Continuous Work. Notwithstanding the making of any Claim or the existence of any dispute regarding any Claim, unless otherwise directed by City, Contractor shall not delay, slow or stop performance of the Work, but shall diligently proceed with performance in accordance with the Contract Documents and City will continue, to make undisputed payments as by the Contract Documents.

3. Time for Filing. All Claims and supporting documentation and certifications must be filed within thirty (30) days after the Claim arises. No Claims shall be filed after Final Payment.

4. Conditions Precedent. No Claim may be asserted unless Contractor has strictly complied with the requirements of this Paragraph 7.10-D, which shall be considered conditions precedent to Contractor’s right to assert the Claim and to initiate the Dispute Resolution Process with respect to such Claim.

E. Response to Claims, Meet and Confer

1. Claims less than $50,000. Claims less than $50,000 shall be responded to by City in writing within forty-five (45) days of receipt of the Claim, unless City requests additional information or documentation of the Claim within thirty (30) days of receipt of the Claim, in which case City shall respond to the Claim within fifteen (15) days after receipt of the further information or documentation or within a period of time no greater than that taken by Contractor in producing the additional information or documentation, whichever is greater.

2. Claims $50,000 or more. Claims $50,000 or more shall be responded to by City in writing within (60) days of receipt of the Claim, unless City requests additional information or documentation of the Claim within thirty (30) days of receipt of the Claim, in which case City shall respond to the Claim within thirty (30) days after receipt of the further information or documentation or within a period of time no greater than that taken by Contractor in producing the additional information or documentation, whichever is greater.

3. Meet and Confer. If Contractor disputes City's response, or if City fails to respond within the prescribed time set forth in Paragraph 7.10-E.1 and 7.10-E.2, above, Contractor may so notify City, in writing, within fifteen (15) days of City's response, or within fifteen (15) days of City’s response due date in the event of a failure to respond, and demand an informal conference to meet and confer for settlement of the issues in dispute. Upon such demand, City shall schedule a meet and confer conference within thirty (30) days of such demand, for discussion of settlement of the dispute.

F. Finality of Decision
If Contractor disputes the Director’s decision under this Article, it shall commence the Dispute Resolution Process as set forth in Article 15 of these General Conditions by filing a Statement of Dispute within seven (7) days after receipt of the Director’s response.

G. Continuing Contract Performance/Duty to Proceed with Disputed Work Contractor shall not delay or postpone any Work pending resolution of any claims, disputes or disagreements. Pending final resolution of a claim, the Contactor shall proceed diligently with performance of the Contract and the City shall continue to make payments for undisputed Work in accordance with the Contract Documents. In the event of disputed Work, City shall have the right to unilaterally issue a Work Directive and Contractor shall continue performance pending resolution of the dispute and shall maintain the accounting and cost data to substantiate the cost of such disputed work. [END OF ARTICLE]

ARTICLE 8 - MATERIALS AND EQUIPMENT

8.01 GENERAL
A. The Contractor shall furnish all materials and equipment needed to complete the Work and installations required under the terms of this Contract, except those materials and equipment specified to be furnished by the City.

B. The Contractor shall submit satisfactory evidence that the materials and equipment to be furnished and used in the work are in compliance with the Specifications. Materials and equipment incorporated in the Work and not specifically covered in the Specifications shall be the best of their kind. Unless otherwise specified, all materials and equipment incorporated in the Work under the Contract shall be new.

8.02 QUALITY AND WORKMANSHIP
All material and equipment furnished by the Contractor shall be new, high grade, and free from defects and imperfections, unless otherwise hereinafter specified. Workmanship shall be in accordance with the best standard practices. All materials and equipment must be of the specified quality and equal to approved samples, if samples have been required. All Work shall be done and completed in a thorough, workmanlike manner, notwithstanding any omission from the Specifications or Drawings, and it shall be the duty of the Contractor to call attention to apparent errors or omissions and request instructions before proceeding with the Work. The Director may, by appropriate instructions, correct errors and supply omissions, which instructions shall be binding upon the Contractor as though contained in the original Specifications or Drawings. All Work performed under the Specifications will be inspected by the Director as provided in Paragraph 8.04. All materials and equipment furnished and all Work done must be satisfactory to the Director. Work, material, or equipment not in accordance with the Specifications, in the opinion of the Director shall be made to conform thereto. Unsatisfactory materials and equipment will be rejected, and if so ordered by the Director, shall, at the Contractor's expense, be immediately removed from the vicinity of the Work.

8.03 TRADE NAMES AND "OR APPROVED EQUAL" PROVISION
Whenever in the Specifications or Drawings the name or brand of a manufactured article is used it is intended to indicate a measure of quality and utility or a standard. Except in those instances where the product is designated to match others in use on a particular improvement either completed or in the course of completion, the Contractor may substitute any other brand or manufacture of equal appearance, quality, and utility on approval of the Director, provided the use of such brand or manufacture involves no additional cost to the City.

8.04 APPROVAL OF MATERIALS
A. The Contractor shall furnish without additional cost to the City such quantities of construction materials as may be required by the Director for test purposes. He/she shall place at the Director's disposal all available facilities for and cooperate with him in the sampling and testing of all materials and workmanship. The Contractor shall prepay all shipping charges on samples. No samples are to be submitted with the bids unless otherwise specified.

B. Each sample submitted shall be labeled. A letter, in duplicate, submitting each shipment of samples shall be mailed to the Director by the Contractor. Both the label on the sample and the letter of transmittal shall indicate the material represented, its place of origin, the names of the producer and the Contractor, the Specifications number and title, and a reference to the applicable Drawings and Specifications paragraphs.

C. Materials or equipment of which samples are required shall not be used on the Work until approval has been given by the Director in writing. Approval of any sample shall be only for the characteristics of the uses named in such approval and no other. No approval of a sample shall be taken in itself to change or modify any Contract requirement.

D. Failure of any material to pass the specified tests, including life cycle maintenance data may be sufficient cause for refusal to consider under this Contract, any further sample of the same brand or make of that material.

8.05 ORDERING MATERIALS AND EQUIPMENT
One copy of each of the Contractor's purchase orders for materials and equipment forming a portion of the Work must be furnished to the Director, if requested. Each such purchase order shall contain a statement that the materials and equipment included in the order are subject to inspection by the City. Materials and equipment purchased locally will, at the City’s discretion, be inspected at the point of manufacture or supply, and materials and equipment supplied from points outside the Los Angeles area will be inspected upon arrival at the job, except when other inspection requirements are provided for specific materials in other sections of the Contract Documents.

8.06 AUTHORITY OF THE DIRECTOR
A. On all questions concerning the acceptability of materials or machinery, the classification of materials, the execution of the Work, and conflicting interests of Contractors performing related work, the decision of the Director shall be final and binding.

B. The Director will make periodic observations of materials and completed work to observe their compliance with Drawings, Specifications, and design and planning concepts, but he/she is not responsible for the superintendence of construction processes, site conditions, operations, equipment, personnel, or the maintenance of a safe place to work or any safety in, on, or about the site of work.

8.07 INSPECTION
All materials furnished and work done under this Contract will be subject to rigid inspection. The Contractor shall furnish, without extra charge, the necessary test pieces and samples, including facilities and labor for obtaining them, as requested by the Director. The Director, or his/her authorized agent or agents, at all times shall have access to all parts of the shop and the works where such materials under his/her inspection is being manufactured or the work performed. Work or material that does not conform to the Specifications, although accepted through oversight, may be rejected at any stage of the Work. Whenever the Contractor is permitted or directed to do night work or to vary the period during which work is carried on each day, he/she shall give the Director due notice, so that inspection may be provided. Such work shall be done under regulations to be furnished in writing by the Director.

8.08 INFRINGEMENT OF PATENTS
The Contractor shall hold and save the City, its officers, agents, servants, and employees harmless from and against all and every demand or demands, of any nature or kind, for or on account of the use of any patented invention, process, equipment, article, or appliance employed in the execution of the Work or included in the materials or supplies agreed to be furnished under this Contract, and should the Contractor, his/her agents, servants, or employees, or any of them, be enjoined from furnishing or using any invention, process, equipment, article, materials, supplies or appliance supplied or required to be supplied or used under this Contract, the Contractor shall promptly substitute other inventions, processes, equipment, articles, materials, supplies, or

appliances in lieu thereof, of equal efficiency, quality, finish, suitability, and market value, and satisfactory in all respects to the Director. Or in the event that the Director elects, in lieu of such substitution, to have, supplied, and to retain and use, any such invention, process, equipment, article, materials, supplies, or appliances, as may by this Contract be required to be supplied and used, in that event the Contractor shall at his/her expense pay such royalties and secure such valid licenses as may be requisite and necessary to enable the City, its officers, agents, servants, and employees, or any of them, to use such invention, process, equipment, article, materials, supplies, or appliances without being disturbed or in way interfered with by any proceeding in law or equity on account thereof. Should the Contractor neglect or refuse promptly to make the substitution hereinbefore required, or to pay such royalties and secure such licenses as may be necessary and requisite for the purpose aforesaid, then in that event the Director shall have the right to make such substitution, or the City may pay such royalties and secure such licenses and charge the cost thereof against any money due the Contractor from the City, or recover the amount thereof from him/her and his/her surety, notwithstanding final payment under this Contract may have been made.
[END OF ARTICLE]

ARTICLE 9 – SUBMITTALS

9.01 GENERAL
A. The Contractor shall submit samples, drawings, and data for the Director's approval which demonstrate fully that the construction, and the materials and equipment to be furnished will comply with the provisions and intent of the Drawings and Specifications.

B. Specific items to be covered by the submittals shall include, as a minimum, the following:

1. For structures, submit all shop, setting, equipment, miscellaneous iron and reinforcement drawings and schedules necessary.

2. For conduits, submit a detailed layout of the conduit with details of bends and fabricated specials and furnish any other details necessary. Show location of shop and field welds.

3. For equipment which requires electrical service, submit detailed information to show power supply requirements, wiring diagrams, control and protection schematics, shop test data, operation and maintenance procedures, outline drawings, and manufacturer's recommendation of the interface/interlock among the equipment.

4. For mechanical equipment submit all data pertinent to the installation and maintenance of the equipment including shop drawings, manufacturer's recommended installation procedure, detailed installation drawings, test data and curves, maintenance manuals, and other details necessary.

5. Samples

6. Colors

7. Substitutions

8. Manuals

9. As-built drawings

10. Safety plans required by Article 10

9.02 PRODUCT HANDLING
A. Submittals shall be accompanied by a letter of transmittal and shall be in strict accordance with the provisions of this Article.

B. Submit priority of processing when appropriate.

9.03 SCHEDULE OF SUBMITTALS
A. The Contractor shall prepare and submit a schedule of submittals. The schedule of submittals shall be in the form of a submittal log. Refer to Paragraph 9.12.

9.04 SHOP DRAWINGS
A. All shop drawings shall be produced to a scale sufficiently large to show all pertinent features of the item and its method of connection to the Work.

B. All shop drawing prints shall be made in blue or black line on white background. Reproductions of City/Contract Drawings are not acceptable.

C. The overall dimensions of each drawing submitted to the Director shall be equal to one of the City's standard sheet sizes as listed below. The title block shall be located in the lower right hand corner of each drawing and shall be clear of all line Work, dimensions, details, and notes.

Sheet Sizes
Height X Width
11" X 8 1/2"
11" X 17"
24" X 36"
30” X 42”

9.05 COLORS
Unless the precise color and pattern are specified elsewhere, submit accurate color charts and pattern charts to the Director for his/her review and selection whenever a choice of color or pattern is available in a specified product. Label each chart naming the source, the proposed location of use on the project, and the project.

9.06 MANUFACTURERS' LITERATURE
Where contents of submitted literature from manufacturers includes data not pertinent to the submittal, clearly show which portions of the contents are being submitted for review.

9.07 SUBSTITUTIONS
A. The Contract is based on the materials, equipment, and methods described in the Contract Documents.

Any Contractor proposed substitutions are subject to the Director’s approval.

The Director will consider proposals for substitution of materials, equipment, and methods only when such proposals are accompanied by full and complete technical data, and all other information, including life cycle maintenance data, required by the Director to evaluate the proposed substitution.

B. Any requests for substitutions by the Contractor must be made within forty-five (45) calendar days from the Issuance Date on the Notice to Proceed. Otherwise, such requests will not be considered.

C. Trade names and "or approved equal" provision as set forth in Paragraph 8.03.

9.08 MANUALS
A. When manuals are required to be submitted covering items included in this Work, prepare and submit such manuals in approximately 8-1/2" X 11" format in durable plastic binders. In addition, manuals shall be submitted in electronic format. Manuals shall contain at least the following:

1. Identification on, or readable through, the front cover stating general nature of the manual.

2. Neatly typewritten index near the front of the manual, furnishing immediate information as to location in the manual of all emergency data regarding the installation.

3. Complete instructions regarding operation and maintenance of all equipment involved.

4. Complete nomenclature of all replaceable parts, their part numbers, current cost, and name and address of nearest vendor of parts.

5. Copy of all guarantees and warranties issued.

6. Copy of drawings with all data concerning changes made during construction.

B. Where contents of manuals include manufacturers' catalog pages, clearly indicate the precise items included in this installation and delete, or otherwise clearly indicate, all manufacturers' data with which this installation is not concerned.

9.09 AS-BUILT DRAWINGS
A. When required to be submitted covering items included in this Work, the Contractor shall deliver to the City one complete set of final As-Built hard copy drawings together with a set of AutoCAD drawing files in electronic format showing completed building, “as-built” for City records before the Contract will be accepted by the City.

B. The drawings shall be duplicates and at the same size and dimensional scale as the originals. They shall be on a polyester translucent base material with a minimum sheet thickness of .003 inch (.08mm).

C. The legibility and contrast of each drawing submitted to the City shall be such that every line, number, letter, and character is clearly readable in a full size blow back from a 35 mm microfilm negative of the drawing.

9.10 SUBMITTALS QUANTITIES
A. Submit seven (7) copies of all data and drawings unless specified otherwise.

B. Submit all samples, unless specified otherwise, in the quantity to be returned, plus two, which will be retained by the Director.

9.11 IDENTIFICATION OF SUBMITTALS
Completely identify each submittal and re-submittal by showing at least the following information:

A. Name and address of submitter, plus name and telephone number of the individual who may be contacted for further information.

B. Name of project as it appears in the Contract Documents and Specification No.

C. Drawing number and Specifications section number other than this section to which the submittal applies.

D. Whether this is an original submittal or re-submittal.

E. For samples, indicate the source of the sample.

9.12 SCHEDULE OF SUBMITTALS
A. Submit initial schedule of submittals within five (5) Working Days after the Issuance Date on Notice to Proceed.

B. Submit revised schedule of submittals within five (5) Working Days after date of request from the Director.

C. The Director will review schedule of submittals and will notify Contractor that schedule is acceptable or not acceptable within five (5) Working Days after receipt.

9.13 COORDINATION OF SUBMITTALS
A. Prior to submittal for the Director’s review, use all means necessary to fully coordinate all material, including the following procedures:

1. Determine and verify all field dimensions and conditions, materials, catalog numbers, and similar data.

2. Coordinate as required with all trades and with all public agencies involved.

3. Secure all necessary approvals from public agencies and others and signify by stamp, or other means, that they have been secured.

4. Clearly indicate all deviations from the Specifications.

B. Unless otherwise specifically permitted by the Director, make all submittals in groups containing all associated items; the Director may reject partial submittals as not complying with the provisions of the Specifications.

9.14 TIMING FOR SUBMITTALS
A. Make all submittals far enough in advance of scheduled dates of installation to provide all required time for reviews, for securing necessary approvals, for possible revision and re-submittal, and for placing orders and securing delivery.

B. In scheduling, allow at least 15 Working Days for the Director’s review, plus the transit time to and from the City office.

C. Manuals shall be submitted prior to performing functional tests.

9.15 APPROVAL BY CITY
A. Up to three (3) copies of each submittal, except manuals, schedule of costs for progress payments, and as-built drawings will be returned to the Contractor marked "No Exceptions Taken," “Make Corrections Noted - Do Not Resubmit,” or “Make Corrections Noted - Resubmit.” Manuals, schedule of costs, and as-built drawings will be returned for re-submittal if incomplete or unacceptable.

B. Submittals marked "Approved as Noted" need not be resubmitted, but the notes shall be followed.

C. If submittal is returned for correction, it will be marked to indicate what is unsatisfactory.

D. Resubmit revised drawings or data as indicated, in five (5) copies.

E. Approval of each submittal by the Director will be general only and shall not be construed as:

1. Permitting any departures from the Specifications requirements.

2. Relieving the Contractor of the responsibility for any errors and omissions in details, dimensions, or of other nature that may exist.

3. Approving departures from additional details or instructions previously furnished by the Director.

9.16 CHANGES TO APPROVED SUBMITTALS
A. A re-submittal is required for any proposed change to an approved submittal. Changes which require re-submittal include, but are not necessarily limited to, drawing revisions, changes in materials and equipment, installation procedures and test data. All re-submittals shall include an explanation of the necessity for the change.

B. Minor corrections to an approved submittal may be accomplished by submitting a "Corrected Copy". [END OF ARTICLE]

ARTICLE 10 – SAFETY

10.01 PROTECTION OF PERSONS AND PROPERTY
A. Contractor's Responsibility: Notwithstanding any other provision of the Contract Documents, the Contractor shall be solely and completely responsible for conditions of the job site, including safety of all persons and property, during performance of the Work. This requirement will apply continuously and will not be limited to normal working hours. Safety and sanitary provisions shall conform to all applicable Federal, State, County, and local laws, regulations, ordinances, standards, and codes. Where any of these are in conflict, the more stringent requirement shall be followed.

B. Sanitary Facilities. The Contractor shall furnish and maintain sanitary facilities by the worksites for the entire construction period.

C. Protection of the Public. The Contractor shall take such steps and precautions as his/her operations warrant to protect the public from danger, loss of life, loss of property or interruption of public services.

Unforeseen conditions may arise which will require that immediate provisions be made to protect the public from danger or loss, or damage to life and property, due directly or indirectly to prosecution of work under this contract. Whenever, in the opinion of the Director, a condition exists which the Contractor has not taken sufficient precaution of public safety, protection of utilities and/or protection of adjacent structures or property, the Director will order the Contractor to provide a remedy for the condition. If the Contractor fails to act on the situation within a reasonable time period as determined by the Director, or in the event of an emergency situation, the Director may provide suitable protection by causing such work to be done and material to be furnished as, in the opinion of the Director, may seem reasonable and necessary. The cost and expense of all repairs (including labor and materials) as are deemed necessary, shall be borne by the Contractor. All expenses incurred by the City for emergency repairs will be deducted from the final payment due to the Contractor.

10.02 PROTECTION FROM HAZARDS
A. Trench Excavation
Excavation for any trench four (4) feet or more in depth shall not begin until the Contractor has received approval from the Director of the Contractor's detailed plan for worker protection from the hazards of caving ground during the excavation of such trench. Such plan shall show the details of the design of shoring, bracing, sloping or other provisions to be made for worker protection during such excavation.

No such plan shall allow the use of shoring, sloping or protective system less effective than that required by the Construction Safety Orders of the Division of Occupational Safety and Health, and if such plan varies from the shoring system standards established by the Construction Safety Orders, the plan shall be prepared and signed by an engineer who is registered as a Civil or Structural Director in the State of California.

B. Confined Spaces
Contractor shall comply with all of the provisions of General Industry Safety Orders of the California Code of Regulations. Entry of a confined space shall not be allowed until the Contractor has received approval from the Director of the Contractor’s program for confined space entry. Confined space means a space that (1) Is large enough and so configured that an employee can bodily enter and perform assigned Work; and (2) Has limited or restricted means for entry or exit (for example, tanks, vessels, silos, storage bins, hoppers, vaults, and pits are spaces that may have limited means of entry); and (3) Is not designed for continuous employee occupancy. Failure to submit a confined space entry program

may result in actions as provided in Article 5: “Suspension or Termination of Contract.” C. Material Safety Data Sheet
Contractor shall comply with all of the provisions of General Industry Safety Orders of the California Administrative Code. The Contractor shall submit to the Director a Material Safety Data Sheet (MSDS) for each hazardous substance proposed to be used, ten (10) days prior to the delivery of such materials to the job site or use of such materials at a manufacturing plant where the Director is to perform an inspection. For materials which are to be tested in City laboratories, the MSDS shall be submitted with the sample(s). Hazardous substance is defined as any substance included in the list (Director's List) of hazardous substances prepared by the Director, California Department of Industrial Relations, pursuant to Labor Code Section 6382. Failure to submit an MSDS for any hazardous substance may result in actions as provided in Article 5, "Suspension or Termination of Contract".

10.03 DIFFERING SITE CONDITIONS
A. Differing Site Conditions Defined. The Contractor shall promptly, and before such conditions are disturbed, notify the Director in writing of any Differing Site Conditions. Differing Site Conditions are those conditions, located at the project site or in existing improvements and not otherwise ascertainable by Contractor through the exercise of due diligence in the performance of its inspection obligations in the Contract Documents, encountered by Contractor in digging trenches or other excavations(s) that extend deeper than four feet below the surface of the ground that constitute:

1. Material that the Contractor believes may be material that is hazardous waste as defined in Section 25117 of the Health and Safety Code, which 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 materially from those indicated in these 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 these Contract Documents.

B. Notice by Contractor. If the Contractor encounters conditions it believes constitute Differing Site Conditions, then notice of such conditions shall, before such conditions are disturbed, be promptly reported to the Director followed within twenty-four (24) hours by a further written notice stating a detailed description of the conditions encountered.

C. The Director will promptly investigate the conditions and If he/she finds that such conditions do materially differ, or do involve hazardous waste, and do cause an increase or decrease in the Contractor's cost of, or time required for, performance of any part of the Work under this Contract, an equitable adjustment will be made, as determined by the Director.

D. Change Order Request. If Contractor intends to seek an adjustment to the Contract Sum or Contract Time based upon Differing Site Conditions, it must, within ten (10) Days after the Discovery Date relative to such conditions, submit a Change Order Request setting forth a detailed cost breakdown and Time Impact Analysis, in the form required by Article 6 of these General Conditions, of the additional Allowable Costs and Excusable Delay resulting from such Differing Site Conditions.

E. Failure to Comply. Failure by Contractor to strictly comply with the requirements of this Paragraph

10.03 concerning the timing and content of any notice of Differing Site Conditions or request for adjustment in Contract Sum or Contract Time based on Differing Site Conditions shall be deemed waiver of any right by the Contractor for an adjustment in the Contract Sum or Contract Time by reason of such conditions.

F. Final Completion. No claim by the Contractor for additional compensation for Differing Site Conditions shall be allowed if asserted after Final Payment.

G. In the event of disagreement between the Contractor and the Director whether the conditions do materially differ or whether a hazardous waste is involved or whether the conditions cause an increase or decrease in the Contractor's cost of, or time required for, performance of any part of the Work, the Contractor shall not be excused from any completion date required by the Contract, but shall proceed with all Work to be performed under the Contract Documents.

H. The Contractor shall retain all rights provided by, and shall be subject to all requirements of, this Contract which pertain to the resolution of disputes and protests.

I. Contractor Responsibility. Except as otherwise provided in this Paragraph 10.03 for Differing Site Conditions, Contractor agrees to solely bear the risk of additional cost and Delay due to concealed or unknown conditions, surface or subsurface, at the Site or in Existing Improvements, without adjustment to the Contract Sum or Contract Time.

10.04 TRAFFIC REGULATION
A. During the performance of the Work the Contractor shall erect and maintain necessary temporary fences, bridges, railings, lights, signals, barriers, or other safeguards as shall be appropriate under the circumstance in his/her judgment for the prevention of accidents; and he/she shall take other precautions as necessary for public safety including, but not limited to, traffic control. Traffic control shall be conducted in accordance with the latest edition of the Work Area Traffic Control (“WATCH”) handbook, published by BNi Books, and as directed and approved by the City Traffic and Transportation Administrator.

B. Contractor shall submit at least ten (10) Working Days prior to Work a detailed traffic control plan, that is approved by all agencies having jurisdiction and that conforms to all requirements of the Specifications.

C. No changes or deviations from the approved detailed traffic control plan shall be made, except temporary changes in emergency situations, without prior approval of the City Traffic and Transportation Administrator and all agencies having jurisdiction.

Contractor shall immediately notify the Director, the City Traffic and Transportation Administrator and the agencies having jurisdiction of occurrences that necessitate modification of the approved traffic control plan.

D. Contractor’s failure to comply with this provision may result in actions as provided in Article 5:
“Suspension or Termination of Contract” of these General Conditions.

10.05 TRAFFIC CONTROL DEVICES
A. Traffic signs, flashing lights, barricades and other traffic safety devices used to control traffic shall

conform to the requirements of the WATCH handbook or the manual of traffic control, whichever is more stringent, and as approved by the City Traffic and Transportation Administrator.

1. Portable signals shall not be used unless permission is given in writing by the agency having jurisdiction.

2. Warning signs used for nighttime conditions shall be reflectorized or illuminated. "Reflectorized signs" shall have a reflectorized background and shall conform to the current State of California Department of Transportation specification for reflective sheeting on highway signs.

B. If the Contractor fails to provide and install any of the signs or traffic control devices required herby or ordered by the City staff, staff may cause such signs or traffic control devices to be placed by others, charge the costs therefore against the Contractor, and deduct the same from the next progress payment.

10.06 EXECUTION
A. The Contractor shall provide written notification to the Police Department, Traffic Bureau (323) 587- 5171, at least two (2) weeks prior to the beginning of construction at any particular location. Notification will include the specific location, project dates, what lanes of the roadway will be closed and when. Also the construction project manager’s name and business phone number and the construction inspector’s name and business phone number.

B. The Contractor shall notify, by telephone, the Police Department, (323) 587-5171 at the completion of any posting of temporary no parking signs. Notification will include the times, dates and locations of the posting. When vehicles must be towed for violation of temporary no parking signs, the person who actually posted the signs, or on-view supervisor of that posting, will be present to answer pertinent questions that may be asked by the parking enforcement officer or police officer towing the vehicles.

C. The Contractor shall notify the Fire Department, on a daily basis during the entire period that construction is in progress whenever roadways are reduced in width or blocked. Notification shall be made to the Fire Dispatch (323) 881-6183 and the Contractor shall provide the information required to identify which roadways would have accessibility problems due to his/her operations. The Contractor shall submit to Fire Department schedule of Work for their use and files.

D. Roads subject to interference from the Work covered by this Contract shall be kept open, and the fences subject to interference shall be kept up by the Contractor until the Work is finished. Except where public roads have been approved for closure, traffic shall be permitted to pass through designated traffic lanes with as little inconvenience and delay as possible.

E. Where alternating one-way traffic has been authorized, the maximum time that traffic will be delayed shall be posted at each end of the one-way traffic section. The maximum delay time shall be approved by the agency having jurisdiction.

F. Contractor shall install temporary traffic markings where required to direct the flow of traffic and shall maintain the traffic markings for the duration of need. Contractor shall remove the markings by abrasive blasting when no longer required.

G. Convenient access to driveways and buildings in the vicinity of Work shall be maintained as much as

possible. Temporary approaches to, and crossing of, intersecting traffic lanes shall be provided and kept in good condition.

H. When leaving a Work area and entering a roadway carrying public traffic, the Contractor's equipment, whether empty or loaded, shall in all cases yield to public traffic.

10.07 FLAGGING
A. Contractor shall provide flaggers to control traffic where required by the approved traffic control plan.

1. Flaggers shall perform their duties and shall be provided with the necessary equipment in accordance with the current "Instructions to Flaggers" of the California Department of Transportation.

2. Flaggers shall be employed full time on traffic control and shall have no other duties.

10.08 PEDESTRIAN CANOPIES OR BARRICADE IMPROVEMENTS
Refer to City of Vernon for requirements for building or access road safety improvements that the Contractor shall construct during construction period. These devices or improvements, as the City deems necessary or prudent, shall be at the expense of the Contractor.
[END OF ARTICLE]

ARTICLE 11 - INDEMNITY

11.01 INDEMNITY
To the maximum extent permitted by law, the Contractor shall fully indemnify, hold harmless, protect, and defend the City, its officers, employees, agents, representatives and their successors and assigns (“Indemnitees”) from and against any and all demands, liability, loss, suit, claim, action, cause of action, damage, cost, judgment, settlement, decree, arbitration award, stop notice, penalty, loss of revenue, and expense (including any fees of accountants, attorneys, experts or other professionals, and costs of investigation, mediation, arbitration, litigation and appeal), in law or in equity, of every kind and nature whatsoever, arising out of or in connection with, resulting from or related to, or claimed to be arising out of the Work performed by Contractor, or any of its officers, agents, employees, Subcontractors, Sub-Subcontractors, design consultants or any person for whose acts any of them may be liable, regardless of whether such claim, suit or demand is caused, or alleged to be caused, in part, by an Indemnitee, including but not limited to:

A. Bodily injury, emotional injury, sickness or disease, or death to any persons; B. Infringement of any patent rights, licenses, copyrights or intellectual property which may be brought against the Contractor or City arising out of Contractor’s Work, for which the Contractor is responsible; C. Stop notices and claims for labor performed or materials used or furnished to be used in the Work, including all incidental or consequential damages resulting to City from such stop notices and claims; D. Failure of Contractor or its Subcontractors to comply with the provisions for insurance; E. Failure to comply with any Governmental Approval or similar authorization or order; F. Misrepresentation, misstatement, or omission with respect to any statement made in or any document furnished by the Contractor in connection therewith;
G. Breach of any duty, obligation, or requirement under the Contract Documents; H. Failure to provide notice to any Party as required under the Contract Documents; I. Failure to protect the property of any utility provider or adjacent property owner; or J. Failure to make payment of all employee benefits.

This indemnity provision is effective regardless of any prior, concurrent, or subsequent active or passive negligence by Indemnitees, except that, to the limited extent mandated by California Civil Code Section 2782, the Contractor shall not be responsible for liabilities which arise from the sole negligence or willful misconduct of Indemnitees or arise from the active negligence of City.

11.02 ENFORCEMENT
Contractor’s obligations under this Article extend to claims occurring after termination of the Contractor’s performance of the Contract or Final Payment to Contractor. The obligations apply regardless of any actual or alleged negligent act or omission of Indemnitees. Contractor, however, shall not be obligated under this Agreement to indemnify an Indemnitee for claims arising from the sole active negligence or willful misconduct of the Indemnitee or independent contractors who are directly responsible to Indemnitees. Contractor’s obligations under this Article are in addition to any other rights or remedies which the Indemnitees may have under the law

or under the Contract Documents. In the event of any claim, suit or demand made against any Indemnitees, the City may in its sole discretion reserve, retain or apply any monies due to the Contractor under the Contract for the purpose of resolving such claims; provided, however, that the City may release such funds if the Contractor provides the City with reasonable assurance of protection of the City’s interests. The City shall in its sole discretion determine whether such assurances are reasonable.

11.03 NO LIMITATIONS
Contractor’s indemnification and defense obligations set forth in this Article are separate and independent from the insurance provisions set forth in Article 12 herein; and do not limit, in any way, the applicability, scope, or obligations set forth in those insurance provisions. In claims, suits, or demands against any Indemnitee by an employee of the Contractor, a Subcontractor, anyone directly or indirectly employed by them, or anyone for whose acts they may be liable, the Contractor’s indemnification and defense obligations shall not be limited by a limitation on amount or type of damages, compensation, or benefits payable by or for the Contractor or a Subcontractor under workers’ compensation acts, disability benefits acts, or other employee benefits acts. [END OF ARTICLE]

ARTICLE 12 – INSURANCE

12.01 CONDITION TO COMMENCEMENT
Contractor shall not commence Work under this Contract until Contractor has obtained all insurance required hereunder from a company or companies acceptable to City, nor shall the Contractor allow any Subcontractor to commence Work on a subcontract until all insurance required of said Subcontractor has been obtained. Proof of insurance including insurance certificates and endorsements as set forth in Exhibit A4 must be submitted by the Contractor prior to the City’s execution of the Contract.

12.02 MINIMUM COVERAGE AND LIMITS
Contractor shall maintain the insurance coverage as set forth in Exhibit A4 throughout the term of the Contract.

12.03 CONDITIONS REGARDING INSURANCE COVERAGE AND LIMITS City and Contractor agree as follows:

A. All insurance coverage and limits provided pursuant to the Contract Documents shall apply to the full extent of the policies involved, available or applicable. Nothing contained in the Contract Documents or any other agreement relating to City or its operations limits the application of such insurance coverage.

B. None of the policies required by this Contract shall be in compliance with these requirements if they include any limiting endorsement that has not been first submitted to City and approved in writing by the City’s Risk Manager.

12.04 INSURANCE OBLIGATION IS SEPARATE FROM INDEMNITY OBLIGATION This Agreement’s insurance provisions:

A. Are separate and independent from the indemnification and defense provisions in Article 12 of the Agreement; and
B. Do not limit, in any way, the applicability, scope, or obligations of the indemnification and defense provisions in Article 12 of the Agreement.
[END OF ARTICLE]

ARTICLE 13 – BONDS

13.01 REQUIRED BONDS
A. Contractor shall furnish the following bonds:

1. A Performance Bond in an amount equal to one hundred percent (100%) of the total Contract price in the form shown in Exhibit "A1" attached hereto.

2. A Payment Bond (Labor and Material) in an amount equal to one hundred percent (100%) of the total Contract price in the form shown in Exhibit "A2" attached hereto.

3. A Maintenance Bond in an amount equal to ten percent (10%) of the total Contract price in the form shown in Exhibit "A3" attached hereto.

13.02 POWER OF ATTORNEY
All bonds shall be accompanied by a power of attorney from the surety company authorizing the person executing the bond to sign on behalf of the company. If the bonds are executed outside the State of California, all copies of the bonds must be countersigned by a California representative of the surety. The signature of the person executing the bond on behalf of Surety shall be acknowledged by a Notary Public as the signature of the person designated in the power of attorney.

13.03 APPROVED SURETY
All bonds must be issued by a California admitted surety insurer with the minimum A.M Best Company Financial strength rating of “A: VII”, or better. Bonds issued by a California admitted surety not listed on Treasury Circular 570 will be deemed accepted unless specifically rejected by the City. Bonds issued from admitted surety insurers not listed in Treasury Circular 570 must be accompanied by all documents enumerated in California Code of Civil Procedure Section 995.660. All such bonds must be accompanied by a power of attorney from the surety company authorizing the person executing the bond to sign on behalf of the company. If the bonds are executed outside the State of California, all copies of the bonds must be countersigned by a California representative of the surety. The signature of the person executing the bond on behalf of Surety must be acknowledged by a Notary Public as the signature of the person designated in the power of attorney.

13.04 REQUIRED PROVISIONS
Every bond must display the surety’s bond number and incorporate the Contract for construction of the Work by reference. The terms of the bonds shall provide that the surety agrees that no change, extension of time, alteration, or modification of the Contract Documents or the Work to be performed thereunder shall in any way affect its obligations and shall waive notice of any such change, extension of time, alteration, or modification of the Contract Documents.

13.05 NEW OR ADDITIONAL SURETIES
If, during the continuance of the Contract, any of the sureties, in the opinion of the City, are or become nonresponsible or otherwise unacceptable to City, City may require other new or additional sureties, which the Contractor shall furnish to the satisfaction of City within ten (10) days after notice, and in default thereof the Contract may be suspended and the materials may be purchased or the Work completed as provided in Article 5 herein.

13.06 WAIVER OF MODIFICATIONS AND ALTERATIONS
No modifications or alterations made in the Work to be performed under the Contract or the time of performance shall operate to release any surety from liability on any bond or bonds required to be given herein. Notice of such events shall be waived by the surety.

13.07 APPROVAL OF BONDS
The Contract will not be executed by City nor the Notice to Proceed issued until the required bonds have been received and approved by City. City's decision as to the acceptability of all sureties and bonds is final. No substitution of the form of the documents will be permitted without the prior written consent of City. [END OF ARTICLE]

ARTICLE 14 - LABOR PROVISIONS

14.01 WORKING HOURS
A. Work or activity of any kind shall be limited to the hours from 7:00 a.m. to 7:00 p.m. No construction noise shall be permitted between the hours of 7:00 p.m. and 7:00 a.m. of the next day.

B. Work in excess of eight (8) hours per day, on Saturdays, Sundays, or on City holidays requires prior consent of the Director and is subject to Cost of Overtime Construction Inspection.

C. Night, Sunday and Holiday Work. No Work shall be performed at night, Sunday, or the ten (10) legal holidays to wit: New Year’s Day, Martin Luther King, Jr. Day, President’s Day, Cesar Chavez Day, Memorial Day, Independence Day, Labor Day, Indigenous People’s Day, Veteran’s Day, Thanksgiving Day, Christmas Eve, Christmas Day and New Year’s Eve, except Work pertaining to the public safety or with the permission of the Director, and accordance with such regulations as he/she shall furnish in writing. Before performing any Work at said times, except Work pertaining to the public safety, the Contractor shall give written notice to the Director so that proper inspection may be provided. “Night” as used in this paragraph shall be deemed to include the hours from 7:00 P.M. to 7:00 A.M. of the next succeeding day.

14.02 COST OF OVERTIME CONSTRUCTION SERVICES AND INSPECTIONS A. Overtime construction Work performed at the option of, or for the convenience of, the Contractor will be inspected by the City at the expense of the Contractor. For any such overtime beyond the regular 8-hour day and for any time worked on Saturday, Sunday, or holidays the charges will be determined by the City, and submitted to the Contractor for payment.

B. Equipment, materials, or services provided by the City, in connection with Contractor-initiated overtime construction Work described in Paragraph 14.02(A), will also be at the expense of the Contractor. The charges will be determined by the City, and submitted to the Contractor for payment.

C. There will be no charges to the Contractor for the inspection of overtime Work ordered by the Director or required by the Contract Documents.

14.03 COMPLIANCE WITH STATE LABOR CODE
A. Contractor shall comply with the provisions of the Labor Code of the State of California and any amendments thereof.

1. The time of service of any worker employed upon the Work shall be limited and restricted to eight (8) hours during any one-calendar day, and 40 hours during any one-calendar week.

2. Work performed by employees of the Contractor in excess of eight (8) hours per day, and 40 hours during any one calendar week, shall be permitted upon compensation for all hours worked in excess of eight (8) hours per day at not less than one and one-half times the basic rate of pay.

3. The Contractor and every Subcontractor shall keep an accurate record showing the name of and the actual hours worked each calendar day and each calendar week by each worker employed by him/her in connection with the Work; the record shall be kept open at all reasonable hours to the inspection of the City and to the Division of Labor Standards Enforcement of the State of California.

4. In the event City deems Contractor is in violation of this Paragraph 14.03, the Contractor shall, as a penalty, forfeit Fifty Dollars ($50.00) for each worker employed in the execution of the Contract by the Contractor or by any Subcontractor for each calendar day for which the employee was underpaid in addition to an amount sufficient to recover underpaid wages. For each subsequent violation, a (one hundred dollar) $100 penalty shall apply for each underpaid employee for each pay period for which the employee was underpaid in addition to an amount sufficient to cover underpaid wages. This subparagraph is effective to the extent it does not directly conflict with the overtime penalty provision of California Labor Code Section 558. In the event of such conflict, the California Labor Code governs over this Paragraph 14.03(A)(4).

14.04 WAGE RATES
A. Prevailing Wages

1. Contractor shall comply with the general prevailing rates of per diem wages and the general prevailing rates for holiday and overtime Work in the locality in which the Work is to be performed, for each craft, classification, or type of worker needed to execute the Contract. The Director of the Department of Industrial Relations of the State of California (pursuant to California Labor Code) and the United States Secretary of Labor (pursuant to the Davis-Bacon Act) have determined the general prevailing rates of wages in the locality in which the Work is to be performed. The rates are available online at www.dir.ca.gov/DLSR/PWD/. To the extent that there are any differences in the federal and state prevailing wage rates for similar classifications of labor, the Contractor and its Subcontractors shall pay the highest wage rate.

2. The Contractor shall post a copy of the general prevailing rate of per diem wages at the job site.

3. The Contractor and any Subcontractor under him/her shall pay not less than the specified prevailing rate of wages to all workers employed in the execution of the Contract.

4. The holidays upon which such rates shall be paid shall be all holidays recognized in the collective bargaining Contract applicable to the particular craft, classification, or type of worker employed on the project.

5. The Contractor shall, as a penalty to the State or the City, forfeit not more than Fifty Dollars ($50) for each calendar day, or portion thereof, for each worker paid less than the prevailing rates for the Work or craft in which the worker is employed under the Contract by the Contractor or by any Subcontractor under him. The difference between the prevailing wage rates and the amount paid to each worker for each calendar day or portion thereof for which such worker was paid less than the stipulated prevailing wage rate shall be paid to such worker by the Contractor.

6. The specified wage rates are minimum rates only and the City will not consider and shall not be liable for any claims for additional compensation made by the Contractor because of payment by him/her of any wage rate in excess of the general prevailing rates. All disputes in regard to the payment of wages in excess of those specified herein shall be adjusted by the Contractor at his/her own expense.

B. Payroll Records

1. Pursuant to California Labor Code Section 1776, the Contractor and each Subcontractor 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 in connection with the Work. The payroll records shall be certified and shall be available for inspection.

2. The Contractor shall inform the City of the location of the payroll records, including the street address, city and county, and shall, within five (5) Working Days, provide a notice of change in location and address.

3. Upon request by the Director, the Contractor shall provide a copy of the certified payroll records along with a statement of compliance.

14.05 APPRENTICESHIP STANDARDS
A. Compliance with California Labor Code Section 1777.5 requires all public works contractors and subcontractors to:

1. Prior to commencing work on a public works contract, submit Contract Award information to the applicable joint apprenticeship committee, including an estimate of the journeyman hours to be performed under the Contract, the number of apprentices to be employed, and the approximate dates the apprentices will be employed. Use Form DAS-140 from the State Department of Industrial Relations. The City reserves the right to require Contractor and Subcontractors to submit a copy of said forms to the City.

2. Employ apprentices for the public work at a ratio of no less than one (1) hour or apprentice work for every five (5) hours or labor performed by a journeyman. To request dispatch of apprentices, use Form DAS-142 from the State Department of Industrial Relations. The City reserves the right to require Contractor and Subcontractors to submit a copy of said forms to the City.

3. Pay the apprentice rate on public works projects only to those apprentices who are registered, as defined in Labor Code Section 3077.

4. Contribute to the training fund in the amount identified in the Prevailing Wage Rate publication for journeyman and apprentices. Contractors who choose not to contribute to the local training trust fund must make their contributions to the California Apprenticeship Council, P.O. Box 420603, San Francisco, CA 94142.

B. Failure to comply with the provisions of California Labor Code Section 1777.5 may result in the loss of the right to bid or perform work on all public works projects for a period of one to three years and the imposition of a civil penalty of One Hundred Dollars ($100.00) for each calendar day of noncompliance for the first violation and up to Three Hundred Dollars ($300.00) for each calendar day of noncompliance for a second or subsequent violation. Contractor should make a separate copy of this material for each of his/her Subcontractors.

C. Payroll Records. The Contractor and each Subcontractor 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 in connection with the work. The payroll records shall be certified and shall be submitted to the Project Manager every two weeks.

D. Statement of Employer Fringe Benefit Payments. Within five (5) calendar days of signing the Contract or Subcontract, as applicable, the Statement of Employer Payments (DLSE Form PW 26 from the State Department of Industrial Relations) shall be completed for each Contractor and Subcontractor of any tier who pays benefits to a third party trust, plan or fund for health and welfare benefits, vacation funds or makes pension contributions. The form must contain, for each worker classification, the fund, plan or trust name, address, administrator, the amount per hour contributed and the frequency of contributions. Training fund contributions shall also be reported in this form.

City reserves the right to require Contractors and Subcontractors to submit a copy of said forms to the City.

14.06 EMPLOYMENT OF APPRENTICES
A. In the performance of this Contract, the Contractor and any Subcontractor shall comply with the provisions concerning the employment of apprentices in the Labor Code of the State of California and any amendments thereof.

B. In the event the Contractor or any Subcontractor willfully fails to comply with the aforesaid provisions of the Labor Code, such Contractor or Subcontractor shall be subject to the penalties for noncompliance in the Labor Code of the State of California and any amendments thereof.

14.07 REGISTRATION WITH THE STATE DEPARTMENT OF INDUSTRIAL RELATIONS In the performance of this Contract, Contractor and/or any Subcontractor must be currently registered and qualified (including payment of any required fee) with the State Department of Industrial Relations pursuant to Labor Code section 1725.5. This project is subject to compliance monitoring and enforcement by the State Department of Industrial Relations.

14.08 CHARACTER OF WORKERS
The Contractor shall not allow his/her agents or employees, Subcontractors, or any agent or employee thereof, to trespass on premises or lands in the vicinity of the Work. Only skilled foremen and workers shall be employed on Work requiring special qualifications, and when required by the Director, the Contractor shall discharge any person who commits trespass, or in the opinion of the Director, acts in a disorderly, dangerous, insubordinate, incompetent, or otherwise objectionable manner. Any employee being intoxicated or bringing or having intoxicating liquors or controlled substances on the Work shall be discharged. Such discharge shall not be the basis of any claim for compensation of damages against the City or any of its officers, agents, and employees.

14.09 NO SMOKING – STATE LABOR CODE SECTION 6404.5
The Contractor and its agents, employees, Subcontractors, representatives, and any person under Contractor’s control, are prohibited from smoking in— or within a 20-foot distance from— the Site, which is a "place of employment" under California Labor Code § 6404.5. [END OF ARTICLE]

ARTICLE 15 - DISPUTE RESOLUTION

15.01 SUBMISSION OF CLAIMS
A. By Contractor
Contractor’s right to commence the Claims Dispute Resolution Process shall arise upon the Director’s written response denying all or part of a Claim. Contractor shall submit a written Statement of Dispute to the Director within seven (7) Days after the Director rejects all or a portion of Contractor’s Claim.

Contractor’s Statement of Dispute shall be signed under penalty of perjury and shall state with specificity the events or circumstances giving rise to the Claim, the dates of their occurrence and the effect, if any, on the compensation due or performance obligations of Contractor under the Construction Contract. Such Statement of Dispute shall include adequate supporting data to substantiate the disputed Claim. Adequate supporting data for a Claim relating to the adjustment of the Contractor’s obligations relative to time of performance shall include a detailed, event-by-event description of the impact of each delay on Contractor’s time for performance. Adequate supporting data to a Statement of Dispute submitted by Contractor involving Contractor’s compensation shall include a detailed cost breakdown and supporting cost data in such form and including such detailed information and other supporting data as required to demonstrate the grounds for, and precise amount of, the Claim.

B. By City
City’s right to commence the Claims Dispute Resolution Process shall arise at any time following the City’s actual discovery of the circumstances giving rise to the Claim. Nothing contained herein shall preclude City from asserting Claims in response to a Claim asserted by Contractor. A Statement of Dispute submitted by City shall state the events or circumstances giving rise to the Claim, the dates of their occurrence and the damages or other relief claimed by City as a result of such events.

C. Claims Defined
The term “claims” as used herein shall be as defined in California Public Contract Code § 20104(b)(2).

15.02 CLAIMS DISPUTE RESOLUTION PROCESS
The parties shall utilize each of the following steps in the Claims Dispute Resolution Process in the sequence they appear below. Each party shall participate fully and in good faith in each step in the Claims Dispute Resolution Process, which good faith effort shall be a condition precedent to the right of each party to proceed to the next step in the Claims Dispute Resolution Process.

A. Direct Negotiations
Designated representatives of City and Contractor shall meet as soon as possible (but not later than ten (10) Days after receipt of the Statement of Dispute) in a good faith effort to negotiate a resolution to the Claim. Each party shall be represented in such negotiations by an authorized representative with full knowledge of the details of the Claim or defenses being asserted by such party, and with full authority to resolve such Claim then and there, subject only to City’s right and obligation to obtain City Council [or other City official] approval of any agreed settlement or resolution. In the Claim involves the assertion of a right or claim by a Subcontractor against Contractor that is in turn being asserted by Contractor against City, then such Subcontractor shall also have a representative attend such negotiations, with the same authority and knowledge as just described. Upon completion of the meeting, if the Claim is not resolved, the parties may either continue the negotiations or either party

may declare negotiations ended. All discussions that occur during such negotiations and all documents prepared solely for the purpose of such negotiations shall be confidential and privileged pursuant to California Evidence Code Sections 1119 and 1152.

B. Deferral of Claims
Following the completion of the negotiations required by Paragraph 15.02-A., all unresolved Claims, except those that do not involve parties other than the Contractor and City, shall be deferred pending Final Completion of the Work, subject to City’s right, in its sole and absolute discretion, to require that the claims Dispute Resolution Process proceed prior to Final Completion. In the event that City does not elect to proceed with the Claims Dispute Resolution Process prior to Final Completion of the Work, all Claims that have been deferred until such Final Completion shall be consolidated within a reasonable time after such Final Completion and thereafter pursued to resolution pursuant to the Claims Dispute Resolution Process. Nothing contained in this Article 15 shall be interpreted as limiting the parties’ rights to continue informal negotiations of Claims that have been deferred until such Final Completion; provided, however, that such informal negotiations shall not be interpreted as altering the provisions of this Article 15 deferring final determination and resolution of unresolved Claims until after Final Completion of the Work.

C. Legal Proceedings
If the Claim is not resolved by direct negotiations then the party wishing to further pursue resolution or determination of the Claim shall submit the Claim for determination by commencing legal proceedings in a court of competent jurisdiction.

15.03 NO WAIVER
Participation in the Claims Dispute Resolution Process shall not constitute a waiver, release or compromise of any defense of either party, including, without limitation, any defense based on the assertion that the rights of Contractor that are the basis of a Claim were previously waived by Contractor due to failure to comply with the Contract Documents, including, without limitation, Contractor’s failure to comply with any time periods for providing notices or for submission or supporting documentation of Claims. [END OF ARTICLE]

ARTICLE 16 - ACCOUNTING RECORDS

16.01 MAINTENANCE OF RECORDS
Contractor shall keep, and shall include in its contracts with its Subcontractors, provisions requiring its Subcontractors to keep full and detailed books and records in accordance with the requirements of the Contract Documents, including the following: all information, materials and data of every kind and character (hard copy, as well as computer readable data if it exists), that have any bearing on or pertain to any matters, rights, duties or obligations relating to the Project or the performance of the Work, including, without limitation, agreements, purchase orders, leases, contracts, commitments, arrangements, notes, change orders, change order requests, estimates, field orders, schedules, diaries, logs, reports, shop drawings, samples, exemplars, Drawings, Specifications, invoices, delivery tickets, receipts, vouchers, cancelled checks, memoranda; accounting records; job cost reports; job cost files (including complete documentation covering negotiated settlements); backcharge; general ledgers; documentation of cash and trade discounts earned; insurance rebates and dividends, and other documents relating in way to Claims or Change Orders, Construction Change Directives, Work Directives, or other claims for payment related to the Project asserted by Contractor or any Subcontractor (“Accounting Records”). Contractor shall exercise such controls as may be necessary for proper financial management of the Work. Such accounting and control systems shall comply with prevailing custom and practice for similar projects, be satisfactory to City and shall include preservation of such records for a period of five (5) years after approval of the Notice of Completion and Acceptance by City, or for such longer period as may be required by applicable laws.

16.02 ACCESS TO RECORDS
Contractor shall allow, and shall include in its contracts with its Subcontractors provisions requiring its Subcontractors to allow, City and its authorized representative(s), auditors, attorneys and accountants, upon twenty-four (24) hours notice to Contractor, full access to inspect and copy all books and records relating to the Project that Contractor is required to maintain pursuant to Paragraph 16.01, above.

16.03 CONTRACTOR NONCOMPLIANCE, WITHHOLDING
Contractor's compliance with Paragraphs 16.01 and 16.02, above, shall be a condition precedent to maintenance of any legal action or arbitration by Contractor against City. In addition to and without limitation upon City's other rights and remedies for breach, including any other provisions for withholding set forth in the Contract Documents, City shall have the right, exercised in its sole discretion, to withhold from any payment to Contractor due under a current Application for Payment an additional sum of up to ten percent (10%) of the total amount set forth in such Application for Payment, until Contractor and its Subcontractors have complied with any outstanding and unsatisfied request by City under this Article 16. Upon such compliance with this Article 16, any additional monies withheld pursuant to this Paragraph 16.03 shall be released to Contractor.

16.04 SPECIFIC ENFORCEMENT BY CITY
Contractor agrees that any failure by Contractor or any Subcontractor to provide access to its books and records as required by this Article 16 shall be specifically enforceable, by issuance of a preliminary and/or permanent mandatory injunction by a court of competent jurisdiction based on affidavits submitted to such court and without the necessity of oral testimony, to compel Contractor to permit access, inspection, audits and/or reproduction of such books and records or to require delivery of such books and records to City for inspection, audit and/or reproduction.
[END OF ARTICLE]

ARTICLE 17-MISCELLANEOUS PROVISIONS

17.01 COMPLIANCE WITH APPLICABLE LAWS
A. Notices, Compliance
Contractor shall give all notices required by governmental authorities and comply with all applicable laws and lawful orders of governmental authorities, including but not limited to the provisions of the California Code of Regulations applicable to contractors performing construction and all laws, ordinances, rules, regulations and lawful orders relating to safety, prevailing wage and equal employment opportunities.

B. Taxes, Employee Benefits
Contractor shall pay at its own expense, at no cost to the City and without adjustment to the Contract Sum, all local, state and federal taxes, including, without limitation all sales, consumer, business license, use and similar taxes on materials, labor or other items furnished for the Work or portions thereof provided by Contractor or Subcontractors, all taxes arising out of its operations under the Contract Documents and all benefits, insurance, taxes and contributions for social security and unemployment insurance which are measured by wages, salaries or other remuneration paid to Contractor's employees. If under federal excise tax law any transaction hereunder constitutes a sale on which a federal excise tax is imposed and the sale is exempt from such excise tax because it is a sale to meat for its exclusive use, then City, upon request, will execute documents necessary to show that is a political subdivision of the State for the purposes of such exemption and that the sale is for the exclusive use of the City, in which case no excise tax for such materials shall be included in the Bid or Contract Sum.

C. Notice of Violations
Contractor shall immediately notify the City and Director in writing of any instruction received from the City, Director, Architect or other person or entity that, if implemented, would cause a violation of any applicable law or lawful order of a governmental authority. If Contractor fails to provide such notice, then Director shall be entitled to assume that such instruction is in compliance with applicable laws and lawful orders of governmental authorities. If Contractor observes that any portion of the Drawings and Specifications or Work are at variance with applicable laws or lawful orders of governmental authorities, or should Contractor become aware of conditions not covered by the Contract Documents which will result in Work being at variance therewith, Contractor shall promptly notify Director in writing. If, without such notice to Director, Contractor or any Subcontractor performs any Work which it knew, or through the exercise of reasonable care should have known, was contrary to lawful orders of governmental authorities or applicable laws, then Contractor shall bear all resulting losses at its own expense, at no cost to City and without adjustment to the Contract Sum.

17.02 OWNERSHIP OF DESIGN DOCUMENTS
A. Property of City
All Design Documents, Contract Documents and Submittals (including, without limitation, all copies thereof) and all designs and building designs depicted therein are and shall remain the sole and exclusive property of the City and the City shall solely and exclusively hold all copyrights thereto.

Without derogation the City’s rights under this Paragraph, the Contractor and Subcontractors are

granted a limited, non-exclusive license, revocable at will of City, to use and reproduce applicable portions of the Contract Documents and Submittals as appropriate to and for use in the execution of the Work and for no other purpose.

B. Documents on Site
Contractor shall keep on the Project site, at all times and for use by City, Director, Inspectors of Record and City’s Consultants, a complete set of the Contract Documents that have been approved by applicable Governmental Authorities.

C. Delivery to City
All Design Documents, Contract Documents and Submittals in the possession of Contractor or Subcontractors shall be returned to the City upon the earlier of Final Completion or termination of the Construction Contract; provided, however, that Contractor and each Subcontractor shall have the right to retain one (1) copy of the Contract Documents and Submittals for its permanent records D. Subcontractors
Contractor shall take all necessary steps to assure that a provision is included in all subcontracts with Subcontractors, of every tier, who perform Work on the Project establishing, protecting and preserving the, City’s rights set forth in this Paragraph.

17.03 AMENDMENTS
The Contract Documents may be amended only by a written instrument duly executed by the parties or their respective successors or assigns.

17.04 WAIVER
Either party's waiver of any breach or failure to enforce any of the terms, covenants, conditions or other provisions of the Contract Documents at any time shall not in any way limit or waive that party's right thereafter to enforce or compel strict compliance with every term, covenant, condition or other provision, any course of dealing or custom of the trade notwithstanding. Furthermore, if the parties make and implement any interpretation of the Contract Documents without documenting such interpretation by an instrument in writing signed by both parties, such interpretation and implementation thereof will not be binding in the event of any future disputes.

17.05 INDEPENDENT CONTRACTOR
Contractor is an independent contractor, and nothing contained in the Contract Documents shall be construed as constituting any relationship with City other than that of Project owner and independent contractor. In no event shall the relationship between City and Contractor be construed as creating any relationship whatsoever between City and Contractor's employees. Neither Contractor nor any of its employees is or shall be deemed to be an employee of City. Except as otherwise specified in the Contract Documents, Contractor has sole authority and responsibility to employ, discharge and otherwise control its employees and has complete and sole responsibility as a principal for its agents, for all Subcontractors and for all other Persons that Contractor or any Subcontractor hires to perform or assist in performing the Work.

17.06 SUCCESSORS AND ASSIGNS
The Contract Documents shall be binding upon and inure to the benefit of City and Contractor and their permitted successors, assigns and legal representatives.

A. City may assign all or part of its right, title and interest in and to any Contract Documents, including rights with respect to the Payment and Performance Bonds, to (a) any other governmental person as permitted by governmental rules, provided that the successor or assignee has assumed all of City's obligations, duties and liabilities under the Contract Document then in effect; and (b) any other Person with the prior written approval of Contractor.

B. Contractor may collaterally assign its rights to receive payment under the Contract Documents.

Contractor may not delegate any of its duties hereunder, except to Subcontractors as expressly otherwise permitted in the Contract Documents. Contractor's assignment or delegation of any of its Work under the Contract Documents shall be ineffective to relieve Contractor of its responsibility for the Work assigned or delegated, unless City, in its sole discretion, has approved such relief from responsibility.

Any assignment of money shall be subject to all proper set-offs and withholdings in favor of City and to all deductions provided for in the Contract. All money withheld, whether assigned or not, shall be subject to being used by City for completion of the Work, should Contractor be in default.

C. Except for the limited circumstances set forth in Paragraph 17.06-B, above, Contractor may not, without the prior written consent of City in its sole discretion, voluntarily or involuntarily assign, convey, transfer, pledge, mortgage or otherwise encumber its rights or interests under the Contract Documents. No partner, joint venturer, member or shareholder of Contractor may assign, convey, transfer, pledge, mortgage or otherwise encumber its ownership interest in Contractor without the prior written consent of City, in City’s sole discretion.

17.07 SURVIVAL
Contractor’s representations and warranties, the dispute resolution provisions contained in Article 15, and all other provisions which by their inherent character should survive termination of the Contract and/or Final Acceptance, shall survive the termination of the Contract and the Final Acceptance Date.

17.08 LIMITATION ON THIRD PARTY BENEFICIARIES
It is not intended by any of the provisions of the Contract Documents to create any third party beneficiary hereunder or to authorize anyone not a party hereto to maintain a suit for personal injury or property damage pursuant to the terms or provisions hereof, except to the extent that specific provisions (such as the warranty and indemnity provisions) identify third parties and state that they are entitled to benefits hereunder. The duties, obligations and responsibilities of the parties to the Contract Documents with respect to such third parties shall remain as imposed by law. The Contract Documents shall not be construed to create a contractual relationship of any kind between City and a Subcontractor or any other Person except Contractor.

17.09 PERSONAL LIABILITY OF CITY EMPLOYEES
City’s authorized representatives are acting solely as agents and representatives of City when carrying out the provisions of or exercising the power or authority granted to them under the Contract. They shall not be liable either personally or as employees of City for actions in their ordinary course of employment.

No agent, consultant, Council member, officer or authorized employee of City, shall be personally responsible for any liability arising under the Contract.

17.10 NO ESTOPPEL
City shall not, nor shall any officer thereof, be precluded or estopped by any measurement, estimate or certificate made or given by the City representative or other officer, agent, or employee of City under any provisions of the Contract from at any time (either before or after the final completion and acceptance of the Work and payment therefor) pursuant to any such measurement, estimate or certificate showing the true and correct amount and character of the work done, and materials furnished by Contractor or any person under the Contract or from showing at any time that any such measurement, estimate or certificate is untrue and incorrect, or improperly made in any particular, or that the work and materials, or any part thereof, do not in fact conform to the Contract Documents. Notwithstanding any such measurement, estimate or certificate, or payment made in accordance therewith, City shall not be precluded or estopped from recovering from Contractor and its Sureties such damages as City may sustain by reason of Contractor’s failure to comply or to have complied with the Contract Documents.

17.11 GOVERNING LAW
The laws of the State of California govern the construction and interpretation of the Contract Documents, without regard to conflict of law principles. Unless the Contract Documents provide otherwise, any reference to laws, ordinances, rules, or regulations include their later amendment, modifications, and successor legislation. If Contractor or City brings a lawsuit to enforce or interpret one or more provisions of the Contract Documents, jurisdiction is in the Superior Court of the County of Los Angeles, California, or where otherwise appropriate, in the United States District Court, Central District of California. Contractor and City acknowledge that the Contract Documents were negotiated, entered into, and executed—and the Work was performed—in the City of Vernon, California.

17.12 FURTHER ASSURANCES
Contractor shall promptly execute and deliver to City all such instruments and other documents and assurances as are reasonably requested by City to further evidence the obligations of Contractor hereunder, including assurances regarding assignments of Subcontractors contained herein.

17.13 SEVERABILITY
If any clause, provision, section, paragraph or part of the Contract is ruled invalid by a court having proper jurisdiction, then the parties shall: (a) promptly meet and negotiate a substitute for such clause, provision, section, paragraph or part, which shall, to the greatest extent legally permissible, effect the original intent of the parties, including an equitable adjustment to the Contract Price to account for any change in the Work resulting from such invalidated portion; and (b) if necessary or desirable, apply to the court or other decision maker (as applicable) which declared such invalidity for an interpretation of the invalidated portion to guide the negotiations. The invalidity or unenforceability of any such clause, provision, section, paragraph or part shall not affect the validity or enforceability of the balance of the Contract, which shall be construed and enforced as if the Contract did not contain such invalid or unenforceable clause, provision, section, paragraph or part.

17.14 HEADINGS
The captions of the sections of the Contract are for convenience only and shall not be deemed part of the Contract or considered in construing the Contract.

17.15 ENTIRE AGREEMENT
The Contract Documents contain the entire understanding of the parties with respect to the subject matter hereof and supersede all prior agreements, understandings, statements, representations and negotiations between the parties with respect to its subject matter.

17.16 COUNTERPARTS
This instrument may be executed in two or more counterparts, each of which shall be deemed an original, but all of which together shall constitute one and the same instrument. [END OF ARTICLE]

EXHIBIT A1
Bond No.:

Premium Amount: $
Bond’s Effective Date:

PERFORMANCE BOND
RECITALS:

1. The City of Vernon, California (“City”), has awarded to

(Name, address, and telephone of Contractor)
________________________________________________________________________________ (“Principal”), a Contact (the “Contract) for the Work described as
follows:

Specification No. : in Vernon, CA.

2. Principal is required under the terms of the Contract and all contract documents referenced in it (“Contract Documents”) to furnish a bond guaranteeing Principal’s faithful performance of the Work.

3. The Contract and Contract Documents, including all their amendments and supplements, are incorporated into this Bond and made a part of it by this reference.

OBLIGATION:

THEREFORE, for value received, We, Principal and
______________________________________________________________________________________________ (Name, address, and telephone of Surety)
______________________________________________________________________________________ (“Surety”), a duly admitted surety insurer under California’s laws, agree as follows:

By this Bond, We jointly and severally obligate and bind ourselves, and our respective heirs, executors, administrators, successors, and assigns to pay City the penal sum of
Dollars ($ ) (“the Bonded Sum”), this amount
comprising not less than the total Contract Sum, in lawful money of the United States of America.

The Licensed Agent for Surety is:
(Name, address, and telephone)
Registered Agent’s California Department of Insurance License No. .

THE CONDITION OF THIS BOND’S OBLIGATION IS THAT, if Principal promptly and faithfully performs the undertakings, terms, covenants, conditions, and agreements in the Contract and Contract Documents (including all their amendments and supplements), all within the time and in the manner that those documents specify, then this obligation becomes null and void. Otherwise, this Bond remains in full force and effect, and the following terms and conditions apply to this Bond:

1. This Bond specifically guarantees Principal’s performance of each obligation and all obligations under the Contract and Contract Documents, as they may be amended and supplemented including, but not limited to, Principal’s liability for liquidated damages, Warranties, Guarantees, Correction, and Maintenance obligations as specified in the Contract and Contract

Documents except that Surety’s total obligation, as described here, will not exceed the Bonded Sum.

2. For those obligations of Principal that survive Final Completion of the Work described in the Contract and Contract Documents, the guarantees in this Bond also survive Final Completion of the Work.

3. When City declares that Principal is in default under the Contract, or Contract Documents, or both, Surety shall promptly: (a) remedy the default; (b) complete the Project according to the Contract Documents’ terms and conditions then in effect; or (c) using a procurement methodology approved by City, select a contractor or contractors acceptable to City to complete all of the Work, and arrange for a contract between the contractor(s) and City. Surety shall make available, as the Work progresses, sufficient funds to pay the cost of completion less the balance of the Contract Sum, and to pay and perform all obligations of Principal under the Contract and Contract Documents including other costs and damages for which Surety is liable under this Bond except that Surety’s total obligation, as described here, will not exceed the Bonded Sum.

4. An alteration, modification, change, addition, deletion, omission, agreement, or supplement to the Contract, Contract Documents, or the nature of the Work performed under the Contract or Contract Documents including, without limitation, an extension of time for performance does not, in any way, affect Surety’s obligations under this Bond. Surety waives any notice of alteration, modification, change, addition, deletion, omission, agreement, supplement, or extension of time.

5. Surety’s obligations under this Bond are separate, independent from, and not contingent upon any other surety’s guaranteeing Principal’s faithful performance of the Work.

6. No right of action accrues on this Bond to any entity other than City or its successors and assigns.

7. If an action at law or in equity is necessary to enforce or interpret this Bond’s terms, Surety must pay in addition to the Bonded Sum City’s reasonable attorneys’ fees and litigation costs, in an amount the court fixes.

8. Surety shall mail City written notice at least 30 days before: (a) the effective date on which the Surety will cancel, terminate, or withdraw from this Bond; or (b) this Bond becomes void or unenforceable for any reason. [Signatures to this Exhibit A1, Performance Bond, Begin on Next Page].

On the date set forth below, Principal and Surety duly executed this Performance Bond, with the name of each party appearing below and signed by its representative(s) under the authority of its governing body.

Date:

PRINCIPAL: SURETY:

(Company Name) (Company Name)

(Signature) (Signature)
By: By:
(Name and Title) (Name and Title)
Address for Serving Notices or Other Documents: Address for Serving Notices or Other Documents:

▪ THIS BOND MUST BE EXECUTED IN DUPLICATE.
▪ EVIDENCE MUST BE ATTACHED OF THE AUTHORITY OF ANY PERSON SIGNING AS ATTORNEY-IN-FACT. ▪ THE ATTORNEY-IN-FACT’S SIGNATURE MUST BE NOTARIZED.
▪ A CORPORATE SEAL MUST BE IMPRESSED ON THIS FORM WHEN THE PRINCIPAL, OR THE SURETY, OR BOTH, ARE A CORPORATION.

APPROVED AS TO SURETY AND APPROVED AS TO FORM:

AMOUNT OF BONDED SUM:

By: By:

Todd Dusenberry, Acting General Manager of Public Utilities Zaynah N. Moussa, City Attorney

CORPORATE SEAL CORPORATE SEAL CORPORATE SEAL

BOND ACKNOWLEDGMENT
FOR
SURETY’S ATTORNEY-IN-FACT

STATE OF CALIFORNIA )
) ss

COUNTY OF )
On this day of , 20 ,
before me, (name), a Notary Public for said County, personally appeared (name), who proved to me on the basis of
satisfactory evidence to be the person whose name is subscribed to this instrument as the attorney in fact of , and acknowledged to me that he/she subscribed the
name of thereto as principal, and his/he own name as
attorney in fact.

I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct.

Notary Public
SEAL

EXHIBIT A2
Bond No.:

Premium Amount: $
Bond’s Effective Date:

PAYMENT BOND
(LABOR AND MATERIALS)
RECITALS:

1. The City of Vernon, California (“City”), has awarded to __________________________________________________________________________________________ (Name, address, and telephone of Design-Builder)
________________________________________________________________________________ (“Principal”), a Contract (the “Contract”) for the Work described as
follows:

Specification No. : in Vernon, CA.

2. Principal is required under California Civil Code Sections 9550-9566 and the terms of the Contract and all contract documents referenced in it (“Contract Documents”) to furnish a bond guaranteeing Principal’s paying claims, demands, liens, or suits for any work, labor, services, materials, or equipment furnished or used in the Work.

3. The Contract and Contract Documents, including all their amendments and supplements, are incorporated into this Bond and made a part of it by this reference.

OBLIGATION:

THEREFORE, for value received, We, Principal and
______________________________________________________________________________________________ (Name, address, and telephone of Surety)
______________________________________________________________________________________ (“Surety”), a duly admitted surety insurer under California’s laws, agree as follows:

By this Bond, We jointly and severally obligate and bind ourselves, and our respective heirs, executors, administrators, successors, and assigns to pay City the penal sum of
Dollars ($ ) (“the Bonded Sum”), this amount
comprising not less than the total Contract Sum, in lawful money of the United States of America.

The Licensed Agent for Surety is:
(Name, address, and telephone)
Registered Agent’s California Department of Insurance License No. .

THE CONDITION OF THIS BOND’S OBLIGATION IS THAT, if Principal or a subcontractor fails to pay (a) any person named in California Civil Code Section 9100, or any successor legislation; (b) any amount due under California’s Unemployment Insurance Code, or any successor legislation, for work or labor performed under the Contract or Contract Documents; or (c) any amount under Unemployment Insurance Code Section 13020, or any successor legislation, that Principal or a subcontractor must deduct, withhold, and pay over to the Employment Development Department from the wages of its employees, for work or labor performed under the Contract or Contract Documents, then Surety shall pay for the same in an amount not-to-exceed the Bonded Sum.

Otherwise, this obligation becomes null and void. While this Bond remains in full force and effect, the following terms and conditions apply to this Bond:

1. This Bond inures to the benefit of any of the persons named in California Civil Code Section 3181, or any successor legislation, giving those persons or their assigns a right of action in any suit brought upon this Bond, unless California Civil Code Section 3267, or any successor legislation, applies.

2. An alteration, modification, change, addition, deletion, omission, agreement, or supplement to the Contract, Contract Documents, or the nature of the Work performed under the Contract or Contract Documents including, without limitation, an extension of time for performance does not, in any way, affect Surety’s obligations under this Bond. Surety waives any notice of alteration, modification, change, addition, deletion, omission, agreement, supplement, or extension of time.

3. Surety’s obligations under this Bond are separate, independent from, and not contingent upon any other surety’s paying claims, demands, liens, or suits for any work, labor, services, materials, or equipment furnished or used in the Work.

4. If an action at law or in equity is necessary to enforce or interpret this Bond’s terms, Surety must pay in addition to the Bonded Sum City’s reasonable attorneys’ fees and litigation costs, in an amount the court fixes.

5. Surety shall mail City written notice at least 30 days before: (a) the effective date on which the Surety will cancel, terminate, or withdraw from this Bond; or (b) this Bond becomes void or unenforceable for any reason. [Signatures to this Exhibit A2, Payment Bond, Begin on Next Page].

On the date set forth below, Principal and Surety duly executed this Payment Bond, with the name of each party appearing below and signed by its representative(s) under the authority of its governing body.

Date:

PRINCIPAL: SURETY:

(Company Name) (Company Name)

(Signature) (Signature)
By: By:
(Name and Title) (Name and Title)
Address for Serving Notices or Other Documents: Address for Serving Notices or Other Documents:

▪ THIS BOND MUST BE EXECUTED IN DUPLICATE.
▪ EVIDENCE MUST BE ATTACHED OF THE AUTHORITY OF ANY PERSON SIGNING AS ATTORNEY-IN-FACT. ▪ THE ATTORNEY-IN-FACT’S SIGNATURE MUST BE NOTARIZED.
▪ A CORPORATE SEAL MUST BE IMPRESSED ON THIS FORM WHEN THE PRINCIPAL, OR THE SURETY, OR BOTH, ARE A CORPORATION.

APPROVED AS TO SURETY AND APPROVED AS TO FORM:

AMOUNT OF BONDED SUM:

By: By:

Todd Dusenberry, Acting General Manager of Public Utilities Zaynah N. Moussa, City Attorney

CORPORATE SEAL CORPORATE SEAL CORPORATE SEAL CORPORATE SEAL

BOND ACKNOWLEDGMENT
FOR
SURETY’S ATTORNEY-IN-FACT

STATE OF CALIFORNIA )
) ss

COUNTY OF )
On this day of , 20 ,
before me, (name), a Notary Public for said County, personally appeared (name), who proved to me on the basis of
satisfactory evidence to be the person whose name is subscribed to this instrument as the attorney in fact of, and acknowledged to me that he/she subscribed the name of thereto as principal, and his/he own name as attorney in fact.

I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct.

Notary Public
SEAL

EXHIBIT A3
Bond No.:

Premium Amount: $
Bond’s Effective Date:

MAINTENANCE BOND
RECITALS:

1. The City of Vernon, California (“City”), has awarded to

(Name, address, and telephone of Contractor)
_______________________________________________________________________________________ (“Principal”),
a Contract (the “Contract”) for the Work described as follows:

Specification No. : in Vernon, CA.

2. Principal is required under the terms of the Contract— and all contract documents referenced in it (“Contract Documents”)— after completion of the Work and before the filing and recordation of a Notice of Completion for the Work, to furnish a bond to secure claims for Maintenance equal to ten percent (10%) of the total amount of the Contract Which shall hold good for a period of one (1) year from the date the City’s Notice of Completion and Acceptance of the Work is filed with the County Recorder, to protect the City against the result of faulty material or workmanship during that time.

3. The Contract and Contract Documents, including all their amendments and supplements, are incorporated into this Bond and made a part of it by this reference.

OBLIGATION:

THEREFORE, for value received, We, Principal and
(Name, address, and telephone of Surety)
______________________________________________________________________________________ (“Surety”), a duly admitted surety insurer under California’s laws, agree as follows:

By this Bond, We jointly and severally obligate and bind ourselves, and our respective heirs, executors, administrators, successors, and assigns to pay City the penal sum of
Dollars ($ ) (“the Bonded Sum”), this amount
comprising not less than ten percent (10%) of the total Contract Sum, in lawful money of the United States of America.

The Licensed Agent for Surety is:
(Name, address, and telephone)
Registered Agent’s California Department of Insurance License No. .

THE CONDITION OF THIS BOND’S OBLIGATION IS THAT if the said Principal or any of his or her or its subcontractors, or the heirs, executors, administrators, successors, or assigns or assigns of any, all, or either of them, shall fail to execute within a reasonable amount of time, or fail to respond within seven (7) days with a written schedule acceptable to the City for same, repair or replacement of any and all Work, together with any other adjacent Work which may be displaced by so doing, that proves to be defective in its workmanship or material for the period of one (1) year (except when otherwise required in the Contract to be for a longer period) from the date the City’s Notice of Completion and Acceptance, or equivalent, is filed with the County Recorder, ordinary wear and tear and unusual abuse or neglect excepted with respect to such Work and labor, the Surety herein shall pay for the same, in an amount not exceeding the sum specified in this Bond.

1. When City declares that Principal is in default under the Contract, or Contract Documents, or both, Surety shall promptly remedy the default using a procurement methodology approved by City, select a contractor or contractors acceptable to City to complete all of the Work, and arrange for a contract between the contractor(s) and City. Surety shall make available sufficient funds to pay the cost of repair or replacement of any and all Work and to pay and perform all obligations of Principal under the Contract and Contract Documents including other costs and damages for which Surety is liable under this Bond except that Surety’s total obligation, as described here, will not exceed the Bonded Sum.

2. Should the condition of this bond be fully performed, then this obligation shall become null and void, otherwise it shall be and remain in full force and effect.

3. Surety, for value received, hereby stipulates and agrees that no change, extension of time, alteration, or addition to the terms of said Contract or to the Work to be performed thereunder or the specifications accompanying the same shall in any manner affect its obligations on this bond, and it does hereby waive notice of any such change, extension, alteration, or addition.

4. Surety’s obligations under this Bond are separate, independent from, and not contingent upon any other surety’s guaranteeing Principal’s faithful performance of the Work.

5. No right of action accrues on this Bond to any entity other than City or its successors and assigns.

6. If an action at law or in equity is necessary to enforce or interpret this Bond’s terms, Surety must pay, in addition to the Bonded Sum, City’s reasonable attorneys’ fees and litigation costs, in an amount the court fixes.

7. Surety shall mail City written notice at least 30 days before: (a) the effective date on which the Surety will cancel, terminate, or withdraw from this Bond; or (b) this Bond becomes void or unenforceable for any reason.

8. Death of the Principal shall not relieve Surety of its obligations hereunder. [Signatures to this Exhibit A3, Maintenance Bond, Begin on Next Page].

On the date set forth below, Principal and Surety duly executed this Maintenance Bond, with the name of each party appearing below and signed by its representative(s) under the authority of its governing body.

Date:

PRINCIPAL: SURETY:

(Company Name) (Company Name)

(Signature) (Signature)
By: By:
(Name and Title) (Name and Title)
Address for Serving Notices or Other Documents: Address for Serving Notices or Other Documents:

▪ THIS BOND MUST BE EXECUTED IN DUPLICATE.
▪ EVIDENCE MUST BE ATTACHED OF THE AUTHORITY OF ANY PERSON SIGNING AS ATTORNEY-IN-FACT. ▪ THE ATTORNEY-IN-FACT’S SIGNATURE MUST BE NOTARIZED.
▪ A CORPORATE SEAL MUST BE IMPRESSED ON THIS FORM WHEN THE PRINCIPAL, OR THE SURETY, OR BOTH, ARE A CORPORATION.

APPROVED AS TO SURETY AND APPROVED AS TO FORM:

AMOUNT OF BONDED SUM:

By: By:

Todd Dusenberry, Acting General Manager of Public Utilities Zaynah N. Moussa, City Attorney

CORPORATE SEAL CORPORATE SEAL CORPORATE SEAL CORPORATE SEAL

BOND ACKNOWLEDGMENT
FOR
SURETY’S ATTORNEY-IN-FACT

STATE OF CALIFORNIA )
) ss

COUNTY OF )
On this day of , 20 ,
before me, (name), a Notary Public for said County, personally appeared (name), who proved to me on the basis of
satisfactory evidence to be the person whose name is subscribed to this instrument as the attorney in fact of , and acknowledged to me that he/she subscribed the
name of thereto as principal, and his/he own name as
attorney in fact.

I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct.

Notary Public
SEAL

EXHIBIT A4

INSURANCE REQUIREMENTS

1.0 REQUIRED INSURANCE POLICIES
At its own expense, Contractor shall obtain, pay for, and maintain – and shall require each of its Subcontractors to obtain and maintain – for the duration of the Agreement, policies of insurance meeting the following requirements:

A. Workers’ Compensation/Employer’s Liability Insurance shall provide workers’ compensation statutory benefits as required by law.

1. Employer’s Liability insurance shall be in an amount not less than:
(a) ONE MILLION DOLLARS ($1,000,000) per accident for bodily injury or disease; (b) ONE MILLION DOLLARS ($1,000,000) per employee for bodily injury or disease; and
(c) ONE MILLION DOLLARS ($1,000,000) policy limit.

B. Commercial General Liability (“CGL”) (primary). City and its employees and agents shall be added as additional insureds, not limiting coverage for the additional insured to “ongoing operations” or in any way excluding coverage for completed operations. Coverage shall apply on a primary, non-contributing basis in relation to any other insurance or self-insurance, primary or excess, available to City or any employee, representative or agent of City.

Coverage shall not be limited to the vicarious liability or supervisory role of any additional insured. Coverage shall contain no contractors’ limitation or other endorsement limiting the scope of coverage for liability arising from explosion, collapse, or underground property damage.

1. CGL insurance must not be written for less than the limits of liability specified as follows:
(a) ONE MILLION DOLLARS ($1,000,000) per occurrence for bodily injury (including accidental death) to any one person;
(b) ONE MILLION DOLLARS ($1,000,000) per occurrence for personal and advertising injury to any one person;
(c) ONE MILLION DOLLARS ($1,000,000) per occurrence for property damage; and (d) TWO MILLION DOLLARS ($2,000,000) general aggregate limit.

2. CGL insurance must include all major divisions of coverage and must cover:
(a) Premises Operations (including Explosion, Collapse, and Underground [“X,C,U”] coverages as applicable);
(b) Independent Contractor’s Protective;

(c) Independent Contractors;
(d) Products and Completed Operations (maintain same limits as above until five (5) years after recordation of Notice of Completion);
(e) Personal and Advertising Injury (with Employer’s Liability Exclusion deleted); (f) Contractual Liability (including specified provision for Contractor’s obligation under Article 11 of the General Conditions); and
(g) Broad Form Property Damage.

3. Umbrella or Excess Liability Insurance (over primary), if provided, shall be at least as broad as any underlying coverage. Coverage shall be provided on a “pay on behalf” basis, with defense costs payable in addition to policy limits. There shall be no cross liability exclusion and no contractor’s limitation endorsement. The policy shall have starting and ending dates concurrent with the underlying coverages. The Named Insured may determine the layering of primary and excess liability insurance provided that if such layering differs from that described here, the actual coverage program meets the minimum total required limits and complies with all other requirements listed here.

C. Business Automobile Liability Insurance

1. Business Automobile Liability Insurance must cover all vehicles, whether rented, leased, hired, scheduled, owned or non-owned. If Contractor does not own any vehicles, this requirement may be satisfied by a non-owned vehicle endorsement to the general and umbrella liability policies. Business Automobile Liability Insurance coverage amounts shall not be less than the following:
(a) ONE MILLION DOLLARS ($1,000,000) per occurrence for bodily injury (including accidental death) to any one person; and
(b) ONE MILLION DOLLARS ($1,000,000) per occurrence for property damage; or (c) ONE MILLION DOLLARS ($1,000,000) combined single limit.

D. Contractors Pollution Liability Insurance (CPL)

1. Contractor or Subcontractor shall obtain, pay for, and maintain for the duration of the Contract Contractors Pollution Liability insurance that provides coverage for liability caused by pollution conditions arising out of the operations of the Contractor. Coverage shall be included on behalf of the insured for covered claims arising out of the actions of independent contractors. If the insured is using Subcontractors, the policy must include work performed “by or on behalf” of the insured.

2. The policy limit shall provide coverage of no less than one million dollars ($1,000,000) per claim and in the aggregate. Coverage shall apply to bodily injury; property damage, including loss of use of damaged property or of property that has not been physically inured; cleanup costs; and costs of defense, including costs and expenses incurred in the

investigation, defense, or settlement of claims.

3. All activities contemplated in the Contract shall be specifically scheduled on the CPL policy as “covered operations.” In addition, the policy shall provide coverage for the hauling of waste from the Project site to the final disposal location, including non-owned disposal sites.

4. The policy shall specifically provide for a duty to defend on the part of the insurer. City, its officers, employees and agents shall be added to the policy as additional insureds by endorsement.

E. Builder’s Risk Insurance

1. Builder’s Risk Insurance covering all real and personal property for “all risks” of loss or “comprehensive perils” coverage including but not limited to the perils of earth movement including earthquake and flood for all buildings, structures, fixtures, materials, supplies, machinery and equipment to be used in or incidental to the construction at the site, off site, or in transit, for the full replacement value of such properties. Coverage shall be included for property of others in the care, custody or control of the insured for which any insured may be liable. The City will purchase a builder’s risk policy for the Project instead of a contractor purchased policy. Bidder should not include cost for this coverage in his/her bid.

2.0 GENERAL REQUIREMENTS—ALL POLICIES
A. Qualifications of Insurer. At all times during the term of this Contract, Contractor’s insurance company must meet all of the following requirements:

1. “Admitted” insurer by the State of California Department of Insurance or be listed on the California Department of Insurance’s “List of Surplus Line Insurers” (“LESLI”);

2. Domiciled within, and organized under the laws of, a State of the United States; and

3. Carry an A.M. Best & Company minimum rating of “A:VII”.

B. Continuation Coverage. For insurance coverages that are required to remain in force after the Final Payment, and if reasonably available, Contractor shall submit to City, with the final Application for Payment, all certificates and additional insured endorsements evidencing the continuation of such coverage.

C. Deductibles or Self-Insured Retentions. All deductibles or self-insured retentions are subject to City’s review and approval, in its sole discretion.

D. Commercial General Liability and Business Automobile insurance policies must be written on an “occurrence” basis and must add the City of Vernon and its officers, agents, employees and representatives as additional insureds.

E. Contractor’s Insurance Primary. Other insurance (whether primary, excess, contingent or selfinsurance, or any other basis) available to City, or its representatives, or both, is excess over Contractor’s insurance.

City’s insurance, or self-insurance, or both, will not contribute with Contractor’s insurance policy.

F. Waiver of Subrogation. Contractor and Contractor’s insurance company waive— and shall not exercise— any right of recovery or subrogation that Contractor or the insurer may have against City, or its representatives, or both.

G. Separation of Insureds. Contractor’s insurance policy applies separately to each insured or additional insured who is seeking coverage, or against whom a claim is made or suit is brought, except that the naming of multiple insureds will not increase an insurance company’s limits of liability.

H. Claims by Other Insureds. Contractor’s insurance policy applies to a claim or suit brought by an additional insured against a Named Insured or other insured, arising out of bodily injury, personal injury, advertising injury, or property damage.

I. Premiums. City is not liable for a premium payment or another expense under Contractor’s policy J. At any time during the duration of this Contract, City may do any one or more of the following:

1. Review this Agreement’s insurance coverage requirements;

2. Require that Contractor obtain, pay for, and maintain more insurance depending on City’s assessment of any one or more of the following factors:
(a) City’s risk of liability or exposure arising out of, or in any way connected with, the services of Contractor under this Agreement;
(b) The nature or number of accidents, claims, or lawsuits arising out of, or in any way connected with, the services of Contractor under this Agreement; or (c) The availability, or affordability, or both, of increased liability insurance coverage.

3. Obtain, pay for, or maintain a bond (as a replacement for an insurance coverage) from a California corporate surety, guaranteeing payment to City for liability, or costs, or both, that City incurs during City’s investigation, administration, or defense of a claim or a suit arising out of this Agreement; or
K. Contractor shall maintain the insurance policy without interruption, from the Project’s commencement date to the Final Payment date, or until a date that City specifies for any coverage that Contractor must maintain after the Final Payment.

L. Contractor shall not allow any insurance to expire, cancel, terminate, lapse, or non-renew.

Contractor’s insurance company shall mail City written notice at least thirty (30) days in advance of the policy’s cancellation, termination, non-renewal, or reduction in coverage and ten (10) days before its insurance policy’s expiration, cancellation, termination, or non-renewal, Contractor shall deliver to City evidence of the required coverage as proof that Contractor’s insurance policy has been renewed or replaced with another insurance policy which, during the duration of this Agreement, meets all of this Agreement’s insurance requirements.

M. At any time, upon City’s request, Contractor shall furnish satisfactory proof of each type of insurance coverage required— including a certified copy of the insurance policy or policies; certificates, endorsements, renewals, or replacements; and documents comprising Contractor’s self-insurance program— all in a form and content acceptable to the City Attorney or City’s Risk Manager.

N. If Contractor hires, employs, or uses one or more Subcontractor(s) to perform work, services, operations, or activities on Contractor’s behalf, Contractor shall ensure that the Subcontractor complies with the following.

1. Meets, and fully complies with, this Agreement’s insurance requirements; and

2. Furnishes City at any time upon its request, with a complete copy of the Subcontractor’s insurance policy or policies for City’s review, or approval, or both. Failure of City to request copies of such documents shall not impose any liability on City, or its employees.

O. Contractor’s failure to comply with an insurance provision in this Agreement constitutes a material breach upon which City may immediately terminate or suspend Contractor’s performance of this Agreement, or invoke another remedy that this Agreement or the law allows. At its discretion and without waiving any other rights it may have pursuant to law, City has the right but not a duty to obtain or renew the insurance and pay all or part of the premiums. Upon demand, Contractor shall repay City for all sums or monies that City paid to obtain, renew, or reinstate the insurance, or City may offset the cost of the premium against any sums or monies that City may owe Contractor.

3.0 CONTRACTOR’S SUBMITTAL OF CERTIFICATES AND ENDORSEMENTS A. Contractor shall have its insurance carrier(s) or self-insurance administrator(s) complete and execute the following insurance documents and shall deliver said documents at the same time Contractor delivers this Agreement to City. City will neither sign this Agreement nor issue a “Notice to Proceed” until the City Attorney or City’s Risk Manager has reviewed and approved all insurance documents. City's decision as to the acceptability of all insurance documents is final. Sample insurance documents in the City’s approved format are set forth in this 4.

B. Required Submittals for Commercial General Liability and Business Automobile Insurance and Contractor’s Pollution Liability Insurance. The following submittals must be on forms satisfactory to the City Attorney or City’s Risk Manager, and signed by the insurance carrier or its authorized representative – which fully meet the requirements of, and contain provisions entirely consistent with, all of the insurance requirements set forth herein.

1. “Certificate of Insurance”

2. “Additional Insured Endorsement”

3. Subrogation Endorsement: “Waiver of Transfer to Rights of Recover Against Others” Both Certificates of Insurance and Additional Insured Endorsements must read as follows: “The City of Vernon, and its officers, agents, employees and representatives are included as additional insureds under the policy(s). This insurance is primary to all other insurance of the City. The City’s insurance and self-insurance will apply in excess of, and will not contribute with this insurance. This insurance applies separately to each insured or additional insured who is seeking coverage, or against whom a claim is made or a suit is brought. The issuing company shall mail thirty (30) days advance notice to the City for any policy cancellation, termination, non-renewal, or reduction in coverage.” C. Required Submittals for Workers’ Compensation Insurance. Contractor shall provide City with a certificate of insurance and a subrogation endorsement on forms satisfactory to the City Attorney or City’s Risk Manager, and signed by the insurance carrier or its authorized representative – which fully meet the requirements of, and contain provisions entirely consistent with, this Contract’s workers compensation insurance requirements. If Contractor is self-insured for workers’ compensation, a copy of the “Certificate of Consent to Self-insure” from the State of California is required; or if Contractor is lawfully exempt from workers’ compensation laws, an “Affirmation of Exemption from Labor Code §3700” form is required.

D. Required Evidence of Builder’s Risk Coverage. City will provide a certificate of insurance and a declarations page on a form satisfactory to the City Attorney or City’s Risk Manager, and signed by the insurance carrier or its authorized representative. The policy terms must fully meet the requirements of, and contain provisions entirely consistent with, all of the insurance requirements set forth herein. The City shall be named as a loss payee on the insurance policy for the full replacement value of all buildings, structures, fixtures and materials to be constructed, maintained, repaired or supplied pursuant to this Contract.

E. Contractor agrees to monitor and review all such coverage and assumes all responsibility for

ensuring that all required coverage is provided. Contractor agrees to obtain certificates evidencing such coverage.

F. Contractor agrees to provide immediate notice to City of any claim or loss against Contractor that includes City or any other indemnitee as a defendant. City assumes no obligation or liability by such notice, but has the right (but not the duty) to monitor the handling of any such claim or claims if they are likely to involve City.

G. No liability policy shall contain any provision or definition that would serve to eliminate so-called “third party action over” claims, including any exclusion for bodily injury to an employee of the insured or of any contractor or subcontractor.

H. Any “self-insured retention” must be declared and approved by City. City reserves the right to require the self-insured retention to be eliminated or replaced by a deductible. Self-funding, policy fronting or other mechanisms to avoid risk transfer are not acceptable. If Contractor has such a program, Contractor must fully disclose such program to City.

EXHIBIT A5
Statement of Intent to Comply with Minimum Requirements of the Stormwater Permit

CITY OF VERNON
Public Works Department
Construction Stormwater Program
Permit Number: Date:

Applicant: Phone:

Project Address:

Property Owner:

Contractor:

Contractor’s Address:

The National Pollutant Discharge Elimination System (NPDES) is a portion of the Clean Water Act that applies to the protection of receiving waters. Under permits from the Los Angeles Regional Water Quality Control Board (RWQCB), certain activities are subject to RWQCB enforcement. To meet the standards of the Waste Discharge Requirements for Municipal Separate Storm Sewer System (MS4) Discharges within the Coastal Watershed of Los Angeles County, Except those Discharges Originating from the City of Long Beach MS4 (CAS004001), the City of Vernon has adopted minimum standards for stormwater runoff from development construction activities.

These minimum standards require the implementation of an effective combination of erosion and sediment control Best Management Practices (BMPs) to prevent erosion and sediment loss, and the discharge of construction waste at each site. At a minimum, the construction activity associated with the construction project identified above shall be conducted in such a manner that:
➢ Prevents illicit construction-related discharges of pollutants into the MS4 and receiving waters. ➢ Implements and maintains structural and non-structural BMPs to reduce pollutants in stormwater runoff from construction sites.
➢ Reduces construction site discharges of pollutants to the MS4 to the maximum extent practicable. ➢ Prevents construction site discharges to the MS4 from causing or contributing to a violation of water quality standards.

Note: The Stormwater BMP Construction Handbook sheets developed by the California Stormwater Quality Association shall be used as guidance in determining and implementing required BMPs. The BMP sheets may be reviewed at the Public Works Department counter during regular business hours. A General Construction Permit shall be obtained and maintained for all construction sites one (1) acre or greater. Additional conditions may be required for these sites.

I have read and understand the requirements listed above and certify that I will comply with the minimum requirements above.

Signature:

Print Name:

Title:

Property Owner:

EXHIBIT A6
Statement of Intent to Comply with Minimum Requirements of the California Covid-19 Industry Guidance: Construction

CITY OF VERNON
Vernon Public Utilities
Project Address:

Property Owner:

Contractor:

Contractor’s Address:

The latest COVID-19 industry guidelines can be accessed at the following web address:
https://www.dir.ca.gov/dosh/coronavirus/Guidance-by-Industry.html This document provides guidance for the construction industry to support a safe, clean environment for workers. The guidance is not intended to revoke or repeal any worker rights, either statutory, regulatory or collectively bargained, and is not exhaustive, as it does not include county health orders, nor is it a substitute for any existing safety and health-related regulatory requirements such as those of Cal/OSHA.1 Stay current on changes to public health guidance and state/local orders, as the COVID-19 situation continues. Cal/OSHA has more safety and health guidance on their Cal/OSHA COVID-19 Infection Prevention for Construction 2 Employers and Workers webpage.

CDC has additional guidance for businesses and employers.

I have read and understand the requirements listed above and certify that I will comply with the minimum requirements above.

Signature: Date: ___________________
Print Name:

Title:

EXHIBIT B

SPECIAL PROVISIONS

SPECIFIC FOR THIS PROJECT

EXHIBIT B
SPECIAL PROVISIONS – SPECIFIC FOR THIS PROJECT
Structure Demolition and Site Improvements
B-1.0 General
Part 2 will involve demolition of the two 500,000 gallon steel reservoirs and foundations, pump house building and foundation, and miscellaneous above ground piping located at 4755 District Blvd.

Underground piping shall be appropriately capped and abandoned in place unless otherwise noted. The reservoirs and pump house were constructed in the 1950’s and have not been in operation for decades.

Additionally, Work will include restoration of the subbase underneath the removed structures, removal of the existing chain-link fence around the perimeter of the site, and installation of a new perimeter fence system and gate.

B-1.1 Site Security, Facility Protection, and Access
During all construction activities, the Contractor shall be responsible for maintaining site security. The project site is an active well facility and must remain in operation for the duration of the project. The well head, chlorine building, motor control enclosure, and transformer pad must be always protected. Sodium hypochlorite is stored and delivered to the site in regular intervals. Additionally, City staff must retain access to complete routine tasks associated with the operation of the well.

B-2.0 Lead and Asbestos
The City has performed a Lead and Asbestos Survey, attached here as Attachment 1. It shall be responsibility of the Contractor to appropriately remove and dispose of any materials containing either asbestos or lead he/she encounters during the demolition.

B-2.1 Demolition and Site Improvement Plans
Demolition and Site Improvement Plans are attached here as Attachment 2 B-2.3 Grading and Site Improvement Plan
Grading and Improvement Plans are attached here as Attachment 3.

B-3.0 Ownership of Materials
Waste materials removed or otherwise demolished from the site become property of the Contractor. It is the Contractor’s responsibility to dispose of materials safely and appropriately.

B-4.0 Structure Demolition Plan by Contractor
Before any demolition work begins, the Contractor must submit a demolition plan describing the actions and processes he/she will take to safely complete the Work. The City shall provide comments within two weeks of submittal. If approved, the Contractor may proceed with the plan. Otherwise, the Contractor shall review City comments and resubmit their plan. NO EXPLOSIVES shall be allowed for this project.

Attachment 1
Lead and Asbestos Survey

Attachment 2
Demolition and Site Improvement Plan

Attachment 3
Grading Plans
INST# 81-653103 D I S T R I C T B O U L E V A R D GRADING PLAN FOR WELL 20 NAME Know what'sbelow. Call before you dig. R NOTICE TO CONTRACTOR: THE EXISTENCE, LOCATION AND CHARACTERISTICS OF ANY UNDERGROUND UTILITY INFORMATION SHOWN HEREON HAS BEEN OBTAINED FROM A REVIEW OF AVAILABLE RECORD DATA. IT SHALL BE THE RESPONSIBILITY AND LIABILITY OF THE CONTRACTOR TO DETERMINE THE EXISTENCE OR NONEXISTENCE OF SUCH UTILITIES AND TO PROTECT THEM IN PLACE. NO WORK SHALL BE DONE ON THIS SITE UNTIL USA AGENCY IS NOTIFIED OF INTENTION TO GRADE OR EXCAVATE, TWO WORKING DAYS BEFORE YOU DIG. SHEET 1 OF 2 DATE REVISION BY QC DRAWING NO. PROJECT: FARIBORZ BIGDELI DATE FARI BORZ BIGDEL I QUANTUM QUALITY CONSULTING, INC. 25835 NARBONNE AVE. SUITE 150 LOMITA, CA 90717 PHONE: (310) 891 - 3994 FAX: (310) 891 - 3995 CITY OF VERNON SUBMITTED BY: SCALE: AS NOTED TITLE APPROVED BY: DATE GRADING NOTES: VICINITY MAP NOTES: “ ” TYPICAL PAVEMENT SECTION INST# 81-653103 GRADING PLAN FOR WELL 20 NAME Know what'sbelow. Call before you dig. R NOTICE TO CONTRACTOR: THE EXISTENCE, LOCATION AND CHARACTERISTICS OF ANY UNDERGROUND UTILITY INFORMATION SHOWN HEREON HAS BEEN OBTAINED FROM A REVIEW OF AVAILABLE RECORD DATA. IT SHALL BE THE RESPONSIBILITY AND LIABILITY OF THE CONTRACTOR TO DETERMINE THE EXISTENCE OR NONEXISTENCE OF SUCH UTILITIES AND TO PROTECT THEM IN PLACE. NO WORK SHALL BE DONE ON THIS SITE UNTIL USA AGENCY IS NOTIFIED OF INTENTION TO GRADE OR EXCAVATE, TWO WORKING DAYS BEFORE YOU DIG. SHEET 2 OF 2 DATE REVISION BY QC DRAWING NO. PROJECT: FARIBORZ BIGDELI DATE FARI BORZ BIGDEL I QUANTUM QUALITY CONSULTING, INC. 25835 NARBONNE AVE. SUITE 150 LOMITA, CA 90717 PHONE: (310) 891 - 3994 FAX: (310) 891 - 3995 CITY OF VERNON SUBMITTED BY: SCALE: AS NOTED TITLE APPROVED BY: DATE EROSION CONTROL NOTES: GRAVEL/SAND BAGS (1 WIDE X 2 HIGH) BMPS:

EXHIBIT C

EQUAL EMPLOYMENT OPPORTUNITY

PRACTICES PROVISIONS
A. Contractor certifies and represents that, during the performance of this Agreement, the contractor and each subcontractor shall adhere to equal opportunity employment practices to assure that applicants and employees are treated equally and are not discriminated against because of their race, religious creed, color, national origin, ancestry, handicap, sex, or age. Contractor further certifies that it will not maintain any segregated facilities.

B. Contractor agrees that it shall, in all solicitations or advertisements for applicants for employment placed by or on behalf of Contractor, state that it is an "Equal Opportunity Employer" or that all qualified applicants will receive consideration for employment without regard to their race, religious creed, color, national origin, ancestry, handicap, sex or age.

C. Contractor agrees that it shall, if requested to do so by the City, certify that it has not, in the performance of this Agreement, discriminated against applicants or employees because of their membership in a protected class.

D. Contractor agrees to provide the City with access to, and, if requested to do so by City, through its awarding authority, provide copies of all of its records pertaining or relating to its employment practices, except to the extent such records or portions of such records are confidential or privileged under state or federal law.

E. Nothing contained in this Agreement shall be construed in any manner as to require or permit any act which is prohibited by law.

NOTICE INVITING BIDS

NOTICE INVITING BIDS
for
Pumping Plant Demolition and Site Improvements
in the
City of Vernon, California
Bids are to be signed and submitted in TRIPLICATE. ONE ORIGINAL AND TWO COPIES of sealed bids must be received prior to 2:00 p.m., Tuesday, June 28, 2022, by the City Clerk, City of Vernon, 4305 Santa Fe Avenue, Vernon, CA 90058, (“Bid Deadline”).

All bids shall be enclosed in sealed envelopes, distinctly marked “Bid” with the title of the bid and the bidder’s name and address appearing on the outside.

Bids should be mailed or delivered in person before 2:00 p.m. on the Bid Deadline. LATE SUBMITTALS WILL NOT BE ACCEPTED. Bids must be received in the City Clerk’s Office before that time. Bids will be opened in the City Clerk’s Office at the Bid Deadline/Time. At the bid opening, the City Clerk shall open bid packages and acknowledge the receipt of Bids. Once all bid packages are opened and announced, the Bid Forms will be made available for public review.

Bids shall be clearly titled. Copies of Bid Documents, Plans, and Specifications are available at no charge at: www.cityofvernon.org/planetbids.

It is the responsibility of all prospective bidders to register on the City’s PlanetBids website to ensure receipt of any addendum(a) issued for any bid specifications. Addenda for any project will be available on the City’s PlanetBids website at: www.cityofvernon.org/planetbids.

The City reserves the right to reject as nonresponsive any bid that fails to include the information require by any addendum(a) posted on the City’s PlanetBids website.

Pre-Bid Meeting:

A pre-bid meeting to answer any questions regarding the project plans and specifications is scheduled for June 15, 2022 at 10:00 a.m. at 4755 District Boulevard, Vernon, California. This meeting is to answer any questions regarding the project plans and specifications.

Attendees must adhere to the State and local guidelines regarding COVID-19, including applicable industry guidelines for construction sites. Attendance is mandatory.

City of Vernon Contact Person: Vernon Public Utilities
Attention: Mark Aumentado, P.E.

Phone: (323) 583-8811 Ext. 309
Email: [email protected]

Mandatory Qualifications for Bidder and Designated Subcontractors:

A Bid may be rejected as non-responsive if the Bidder fails to meet the essential requirements for qualification.

General Scope of Work:

Contractor shall furnish labor, materials, equipment, services, and specialized skills to perform work involved in the Project. The Work in the Bid is defined in the Project Drawings and Specifications and will generally include the following:

Demolition and proper disposal of two 500,000 gallon above ground steel reservoirs, 600 square foot building, and miscellaneous pipe material. Improvements to the site include new site security fence, entrance gates, and new asphalt. See Exhibit B for additional details.

Mandatory Qualifications for Bidder and Designated Subcontractors:

A Bid may be rejected as non-responsive if the Bid fails to document that Bidder meets the essential requirements for qualification. As part of the Bidder’s Statement of Qualifications, each Bid must establish that:

Bidder satisfactorily completed at least one (1) prevailing wage public contracts in California; each comparable in scope and scale to this Project, within five (5) years prior to the Bid Deadline and with a dollar value in excess of the Bid submitted for this Project.

Other Bidding Information:

1. Contract Time: This Work must be completed within 100 calendar days from the date of commencement as established by the City’s written Notice to Proceed.

2. Amount of Liquidated Damages: $500.00 per calendar day.

3. Not In Use.

4. Not In Use.

5. Bidding Documents. Bids must be made on the Proposal Form contained herein.

6. Engineer’s Estimate. An Engineer’s Estimate of the cost of construction of this Work has been prepared. Said estimate is in the range of $200,000.00 to $250,000.00.

7. Acceptance or Rejection of Bids. The City reserves the right to reject any and all bids, to award all or any individual part/item of the bid, and to waive any informalities, irregularities or technical defects in such bids and determine the lowest responsible bidder, whichever may be in the best interests of the City. No late bids will be accepted, nor will any oral, facsimile or electronic bids be accepted by the City.

8. Contractor’s License. At the time of the Bid Deadline and at all times during performance of the Work, including full completion of all corrective work during the Correction Period, Contractor must possess a California contractor’s license or licenses, current and active, of the classification required for the Work, in accordance with the provisions of Chapter 9, Division 3, Section 7000 et seq. of the Business and Professions Code. In compliance with Public Contract Code Section 3300, the City has determined that the Bidder must possess the

following license(s): “General Engineering Contractor” Class A. The Bidder will not receive a Contract award if at the time of submitting the bid, the Bidder is unlicensed, does not have all of the required licenses, or one or more of the licenses are not current and active. If the City discovers at the time of the Bid Deadline that Contractor is unlicensed, does not have all of the required licenses, or one or more of the licenses are not current and active, the City may reject the Bid, cancel the award, declare the Bid Bond as forfeited, keep the Bid Bond’s proceeds, and exercise any one or more of the remedies in the Contract Documents in addition to those provided by law.

9. Subcontractors’ Licenses and Listing. Bidders must list each Subcontractor whom the Bidder must disclose under Public Contract Code Section 4104 (Subcontractor Listing Law), and the Bidder must provide all of the Subcontractor information that Section 4104 requires (name, address, license number, and portion of the Work). An inadvertent error in the license number will not be considered nonresponsive if it is corrected within 24 hours after the bid opening. In addition, the City requires the Bidder to list the dollar value of each Subcontractor’s labor or services. The City reserves the right to review and disqualify any proposed Subcontractor. The City’s disqualification of a Subcontractor does not disqualify a Bidder. In such case, prior to and as a condition to award of the Contract, the successful Bidder shall substitute a properly licensed and qualified Subcontractor— without an adjustment of the Bid Amount. At the time of the Bid Deadline and at all times during performance of the Work, each listed Subcontractor’s license must be current and active for the portion of the Work listed and shall hold all specialty certifications required for such Work.

10. Permits, Inspections, Plan Checks, Governmental Approvals, Utility Fees and Similar Authorizations. Unless specified otherwise, all Governmental Approvals and Utility Fees shall be obtained and paid for by Contractor and will be reimbursed based on Contractor’s actual direct cost without markup.

11. Bid Forms and Security: Each Bid must be made on the Bid Forms obtainable at the Public Utilities Department. Each Bid shall be accompanied by a cashier’s check or certified check drawn on a solvent bank, payable to “City of Vernon,” for an amount equal to ten percent (10%) of the total maximum amount of the Bid. Alternatively, a satisfactory corporate surety Bid Bond for an amount equal to ten percent (10%) of the total maximum amount of the Bid may accompany the Bid. Said security shall serve as a guarantee that the successful Bidder will, within fifteen (15) calendar days after the date of the award of the contract, enter into a valid contract with the City for said Work in accordance with the Contract Documents.

12. Bid Irrevocability. Bids shall remain open and valid for ninety (90) calendar days after the Bid Deadline.

13. Substitution of Securities. Pursuant to California Public Contract Code Section 22300, substitution of securities for withheld funds is permitted in accordance therewith.

14. Prevailing Wages. This Project is a “public work” as defined in California Labor Code Section 1720. Contractor awarded this Contract and all Subcontractors of any tier shall not pay less than the minimum prevailing rate of per diem wages for each craft, classification, or type of worker needed to perform the Work. The Director of Industrial Relations of the State of California, pursuant to the California Labor Code, and the rates determined by the California Director of Industrial Relations are available online at www.dir.ca.gov/DLSR/PWD/.

15. Payroll Records. Pursuant to SB 854, Contractor and any Subcontractors shall furnish electronic certified payroll records directly to the Labor Commissioner (aka Division of Labor Standards Enforcement).

16. Registration with the Department of Industrial Relations (DIR). No contractor or subcontractor may be listed on a bid proposal for a public works project unless currently registered and qualified (including payment of any required fee) with the DIR 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 unless currently registered and qualified (including payment of any required fee) with the DIR pursuant to Labor Code section 1725.5. This project is subject to compliance monitoring and enforcement by the DIR.

Carlos Fandino
City Administrator
Dated: ___________ (Approved as to form by the City Attorney’s Office) Published: _______

INSTRUCTION TO BIDDERS

City of Vernon
Instructions for Bidders
Project: Pumping Plant Demolition and Site Improvements for the Public Utilities Department
City personnel with whom prospective bidders will deal with are:

Mark Aumentado, P.E., Vernon Public Utilities, 4305 Santa Fe Avenue, Vernon, CA 90058 (323) 583-8811 Ext. 309.

Bid opening date and time: Tuesday, June 28, 2022 @ 2:00 p.m. (“Bid Deadline”) Bids will be received and opened at the Office of the City Clerk, 4305 Santa Fe Avenue, Vernon, CA 90058
The bid must be received by the City Clerk prior to the time set for bid opening. A bid received by the City Clerk after the time set for the bid opening is a non-responsive bid and shall not be considered.

GENERAL BID REQUIREMENTS
To be considered, a bidder must strictly follow the format for bids in the specifications. Bids must be binding and firm. Any bids may be withdrawn before bid opening, but bids shall remain open and valid for ninety (90) calendar days after the Bid Deadline.

1. CONTRACTORS LICENSE
The Bidder must possess a valid State of California Contractors License and must list type in the classification(s) specified in the Notice Inviting Bids at the time of the Bid Deadline and at all times during the performance of the Work, except as otherwise provided in California Business and Professions Code Section 7028.15.

2. INTERPRETATION OF BIDDING DOCUMENTS, SPECIFICATIONS AND

ADDENDA
A. If any Bidder contemplating submitting a Bid is in doubt as to the true meaning of any part of the Bidding Documents, or who finds discrepancies, errors or omissions therein or who finds variances in any of the Bidding Documents with applicable law, such Bidder shall at once submit a written request for an interpretation or correction thereof to the City’s representative identified in the Notice Inviting Bids, or other designated individual. All Bidders shall submit such written requests to City not less than ten (10) calendar days prior to the Bid Deadline. The person or entity submitting the request shall be responsible for its prompt delivery to City’s Contact Person identified in the Notice Inviting Bids.

Any interpretation or correction will be made only by Addendum issued by the City and a copy of such Addendum will be delivered to all Interested Bidders of record.

Any Addenda so issued must be acknowledged in the Bid and the cost of performing Work described in the Addenda shall be included in the Bid. Bidder’s failure to acknowledge receipt of all Addenda may result in rejection of the Bid as nonresponsive. No person is authorized to render an oral interpretation or correction of any Bidding Documents and no Bidder may rely on any such oral interpretation or correction issued by the City. The City shall not be responsible for any other explanation or interpretation of the Drawings or Specifications, or for any oral instructions. City reserves the right to extend the Bid Deadline by issuing an Addendum to Interested Bidders no later than 72 hours prior to the Bid Deadline.

Bidders shall use complete sets of Bidding Documents in preparing Bids; City shall not assume responsibility for errors or misinterpretations resulting from the use of incomplete sets of Bidding Documents.

B. Copies of Addenda will be made available for inspection wherever Bidding Documents are on file for that purpose. Each Bidder shall ascertain prior to submitting a Bid that the Bidder has received all Addenda issued and the Bidder shall acknowledge their receipt in the Bid.

3. OBTAINING DRAWINGS AND DOCUMENTS
Bidder may secure Bidding Documents only from the location specified in the Notice Inviting Bids. City will maintain a list of persons who obtained a copy of these Specifications (“Interested Bidders”). Only Interested Bidders will receive Addenda, if so issued.

4. BID FORMS – SUBMITTAL
A. The Bids shall be made on the forms provided herein with all blank spaces properly filled in.

B. The phraseology shall not be changed, and no additions shall be made to the items mentioned herein. Unauthorized conditions, exemptions, limitations, or provisions attached to a Bid will render it informal and may cause its rejection. All forms requiring specific information shall be completed with all applicable information for a Bid to be considered responsive.

C. Include all Bid Forms, properly executed, and intact on forms provided. Enclose the Bid Forms in a sealed envelope; type or print on the envelope "BIDS for" followed by the title and Specification Number and the date and time of the Bid Deadline, and the Bidder's name and address. The envelope may be mailed, hand delivered, or delivered by courier or package delivery service.

D. One Original Bid and two copies shall be hand delivered, delivered by courier or package delivery service to the City Clerk, City of Vernon, 4305 Santa Fe Avenue, Vernon, CA 90058.

E. Bids received after the Bid Deadline or at any place other than the Office of the

City Clerk will not be considered.

5. BID FORMS – AUTHORIZED SIGNATURES
A. The full name, business address, zip code, and business telephone number, with area code of the individual, partnership, joint venture, or corporation submitting the Bid shall be typewritten or legibly printed on the Bid Forms. The Bidder shall sign the form with his/her usual wet ink signature.

B. Sole Proprietorship: An individual shall sign.

C. Partnership (General or Limited): A partner shall sign for a partnership; the partner shall give the names and addresses of all partners.

D. Corporation: An officer shall sign for a corporation. The corporate name must be attested by the corporate seal. The names and titles of the president and all officers of the corporation who are authorized to sign the Bid Forms must be listed in an authenticated Incumbency Certificate signed by the corporate secretary. A signature other than a corporate officer’s will be accepted only if an authenticated Incumbency Certificate is attached.

E. Joint Venture: Bidders shall use the appropriate section(s) listed above in B-D, based on their applicable situation.

6. BID FORMS – SCHEDULE OF BID PRICES
A. The Bidder shall include in his/her Bid price(s) any and all expense or costs that may be necessary to complete the project in accordance with the requirements of the Contract. The cost of all mobilization, preparatory work and operations for the multiple movements of personnel, equipment, supplies, and incidentals to the various project sites must be included in the various bid items, and no extra compensation will be paid to Contractor.

B. The Bidder shall state for each item on the Schedule of Bid Prices form, in clearly legible figures, the Base Bid, the alternates, and the unit price and item total or lump sum, as the case may be, for which he/she proposes to supply labor, materials, and equipment and to perform the Work. Bids must not contain any erasures, interlineations, strike-throughs or other corrections unless the same are suitably authenticated by affixing in the margin immediately opposite such erasure or correction the initials of the person(s) signing the Bid. If any Bid, or portion thereof, is determined by the City to be illegible, ambiguous or inconsistent, City may reject such a Bid as being non-responsive.

C. In the case of a unit price item, the amount set forth, as the item total shall be the product of the estimated quantity times the unit price Bid. In the event of a discrepancy between the unit price Bid and the item total, the unit price shall prevail; however, if the unit price is ambiguous, unintelligible, or uncertain for

any cause, or is omitted, or is the same amount as the entry for the item total, then the item total shall prevail and shall be divided by the estimated quantity for the item and the price thus obtained shall be the unit price. Where so indicated by the makeup of the Bid Form, sums shall be expressed in both words and figures, and in case of discrepancy between the two, the amount written in words shall govern.

D. All requested Alternates, if any, shall be Bid. See the Schedule of Bid Prices for more information and the list of Bid Alternates, if any. If no change in the Base Bid is required, enter “No Change.”

7. BID SECURITY
A. Each Bid shall be accompanied by cash or a cashier’s check or a certified check, drawn on a responsible bank doing business in the United States payable to the City, or a satisfactory Bid Bond in favor of the City executed by the Bidder as a principal and a California admitted surety company (as defined by California Code of Civil Procedure §§995.120 and 995.311) as surety (“Bid Security”).

B. All bonds must be issued by a California admitted surety insurer with the minimum A.M Best Company Financial strength rating of “A:VII” or better. Bonds issued by a California admitted surety not listed on Treasury Circular 570 will be deemed accepted unless specifically rejected by the City. Bonds issued from admitted surety insurers not listed in Treasury Circular 570 must be accompanied by all documents enumerated in California Code of Civil Procedure Section 995.660. All such bonds must be accompanied by a power of attorney from the surety company authorizing the person executing the bond to sign on behalf of the company. If the bonds are executed outside the State of California, all copies of the bonds must be countersigned by a California representative of the surety. The signature of the person executing the bond on behalf of Surety must be acknowledged by a Notary Public as the signature of the person designated in the power of attorney.

C. Bid Security shall be in an amount not less than 10% of the Base Bid. Any Bid submitted without Bid Security will be rejected as non-responsive. The Bid Security shall be given as a guarantee that the successful Bidder will execute the Contract and will provide the insurance, bonds and other required forms within fourteen (14) calendar days after award of the Contract. Bidders will be entitled to return of Bid Security except when a successful Bidder forfeits its Bid Security. A forfeit may occur, for example, if the successful Bidder withdraws its Bid prior to the expiration of ninety (90) calendar days after award of the Contract; attempts to withdraw its Bid when the requirements of Public Contract Code § 5101 et seq. are not met; or refuses or fails to execute the Contract and provide the required bonds, insurance or certificates within fourteen (14) calendar days after award of the Contract. In any one or more of these events, if City awards the Contract for the Work to the next lowest responsible Bidder, the amount of the original lowest Bidder’s security shall be applied to the Contract Price differential between the lowest Bid and the second lowest Bid. Any surplus will be returned to the original

lowest Bidder. If the City rejects all other Bids presented and re-advertises, the lowest Bidder’s Bid Security may be used to offset the City’s cost of re-advertising and receiving new Bids. In that case, the surplus if any, will be returned to the original lowest Bidder.

D. The Bid Security shall be held for ninety (90) calendar days after the award of the Contract or until posting by the successful Bidder of the payment and performance bonds, proof of insurance, return of executed copies of the Contract and necessary certification(s), whichever first occurs, after which time the Bid Security will be returned to all Bidders.

E. If a Bid Bond is to be submitted, Bidder shall use the form entitled "Bid Bond" contained in the Bidding Documents, which Bid Bond shall be properly executed and acknowledged by the Bidder and by a corporate surety authorized to transact such business in the State of California.

F. Any alteration of said form of Bid Bond, or imperfection in the execution thereof, as herein required, will render it informal and may, at the option of the City, result in the rejection of the Bid under which the Bid Bond is submitted.

8. BIDDER'S AND SPECIALTY CONTRACTORS’ STATEMENTS OF

QUALIFICATIONS
A. Each Bidder shall be required to complete, execute and submit with its Bid, the form entitled "Bidder's Statement of Qualifications." Bidder shall satisfy the mandatory qualifications described in the Specialty Contractors’ Statements of Qualifications applicable to such Work and submit the completed forms with the Bid. Notwithstanding the provisions of Paragraph 22 herein, the Bidder’s Statement of Qualifications shall not be public records. All information required by a Bidder’s or Specialty Contractor Statement of Qualifications shall be completely and fully provided. If no information is to be filled in a blank space, then write "none." Any Bid not accompanied by a Bidder’s Statement of Qualifications form completed with all information required may render the Bid non-responsive. If the City determines that any information provided by a Bidder in the Bidder’s Statement of Qualifications is false or misleading, or is incomplete so as to be false or misleading, the City may reject the Bid submitted by such Bidder as being non-responsive.

B. A responsible Bidder is a Bidder who has demonstrated the attribute of trustworthiness, as well as quality, fitness, capacity and experience to satisfactorily perform fully the requirements of the contract documents. In selecting the lowest responsible Bidder, consideration will be given not only to the Bidder’s financial standing but also to the general competency of the Bidder for the performance of the work covered by the Bid including, but not limited to, the experience of the Bidder in construction of public buildings for public agencies. By submitting a Bid, each Bidder agrees that the City, in determining the successful Bidder and its

eligibility for the award, may consider the Bidder’s experience with similar types of construction projects and facilities, conduct and performance under other contracts, financial condition, reputation in the industry, and other factors which could affect the Bidder’s performance of the work.

9. DESIGNATION OF SUBCONTRACTORS
A. Subcontractor Listing. On the Designation of Subcontractors form, the Bidder shall list each Subcontractor whom the Bidder must disclose under the Subletting and Subcontracting Fair Practice Act, Public Contract Code Section 4104. The Bidder shall provide: each Subcontractor’s name, the trade and type of work that the Subcontractor will perform, the location (address) of the Subcontractor’s place of business, each Subcontractor’s license number, and the dollar value of each Subcontractor’s labor or services. If additive Alternate Bid Items are included in the Bidding Documents, the Bidder shall identify each Subcontractor performing additive Alternate Bid Items, when such Work or the combination of base Contract Work and Alternate Work exceeds one-half of one percent of the total Bid Amount.

B. Subcontractors’ Licenses. At the time of the Bid Deadline and at all times during performance of the Work, each listed Subcontractor shall possess a current and active California Contractor’s license appropriate for the portion of the Work listed for such Subcontractor, and hold all specialty certifications required for such Work.

C. Disqualification of a Subcontractor. The City has the right to review the suitability and qualifications of any Subcontractor proposed by the Bidder. As part of this review, the City may request a Bidder to submit additional information about one or more of the listed Subcontractors including, but not limited to a statement detailing the Subcontractor’s experience with pertinent information as to similar projects and other evidence of the Subcontractor’s qualifications. If requested, the Bidder shall provide the information to the City within the time specified in the City’s written request. After due investigation, if the City has a reasonable objection to any proposed Subcontractor, the City may, before giving the notice of award, require the apparent successful Bidder to submit an acceptable substitute.

The City’s disqualification of a Subcontractor does not disqualify a Bidder.

However, prior to and as a condition to award of the Contract, the successful Bidder shall substitute a properly licensed and qualified Subcontractor without an adjustment of the Bid Price.

D. Work of Subcontractors. The organization or arrangement of the Specifications and Drawings do not limit the extent of the Work for the Contract Documents.

Accordingly, all Bidders are encouraged to disseminate all of the Specifications, Drawings and other Contract Documents to all persons or entities submitting subbids to the Bidder. The omission of any portion or item of Work from the Bid or from sub-bids, which is reasonably inferable from the Contract Documents, will not be a basis for adjustment of the Contract Price or the Contract Time.

E. Ineligible Subcontractors. The successful Bidder is prohibited from performing Work on the Project with any Subcontractor who is ineligible to perform work on a public works project pursuant to California Labor Code Sections 1777.1 or 1777.7. In submitting its Bid, the Bidder certifies that it has investigated the eligibility of each and every listed Subcontractor and has determined that none is ineligible to perform work pursuant to the above code provisions.

10. CONTRACTOR’S AFFIDAVIT OF NON-COLLUSION
An Affidavit of Non-Collusion in the form provided by the City shall be signed under penalty of perjury, certifying that the Bid is not the result of and has not been influenced by collusion. Bidder shall submit this form with its Bid. Any Bid made without such affidavit, or believed to be made in violation of the requirements set forth in the affidavit form, may be rejected.

11. INSURANCE REQUIREMENTS
The Bidder shall submit to its insurance company or insurance agent the Insurance Requirements in this Specification and the Contract Documents. The insurance company’s underwriter or agent must complete the Insurance Requirements documentation which states that the insurer’s underwriter or agent will furnish the City with the required insurance documents within fourteen (14) days after the Bidder’s having been notified of the Contract’s award. The Bidder shall submit this form with its Bid. Any Bid made without this statement, or made with an incomplete statement, may be rejected.

12. EXAMINATION OF DRAWINGS, SPECIFICATIONS, AND SITE OF WORK A. The Bidder shall examine carefully the site of the Work contemplated and the Drawings and Specifications. The submission of a Bid will be conclusive evidence that the Bidder has investigated and is satisfied as to the conditions to be encountered, as to the character, quality, and quantities of Work to be performed and materials to be furnished, the difficulties to be encountered, and to the requirements of the Drawings, Specifications, and other Contract Documents. The Bidder shall ascertain the locations of the existing utility services, and other underground facilities, and provide for carrying out its operations so as to cause the minimum possible inconvenience to the occupants of properties along any streets affected. All Work and costs involved in the safeguarding of the properties of others shall be at the expense of the Bidder to whom the Contract may be awarded.

B. The Bidder hereby certifies that it has examined the local conditions, has read each and every clause of the Contract Documents, and that it has included all costs necessary to complete the specified Work in its Bid prices, and the Bidder agrees that if it is awarded the Contract, it will make no claim against the City based upon ignorance of local conditions or misunderstanding of any of the provisions of the Contract. Should the conditions turn out otherwise than the Bidder anticipated, the Bidder agrees to assume all risks incident thereto.

13. PRICES AND PAYMENTS
Approximate quantities listed in the Schedule of Bid Prices are estimates given for comparing Bids, and no claim shall be made against the City for excess or deficiency therein, actual or relative. Payment at the prices agreed upon will be in full for the completed Work and will cover materials, supplies, labor, tools, equipment, and all other expenditures incident to a satisfactory compliance with the Contract, subject to all applicable provisions in the Contract and General Conditions.

14. PERMIT FEES
(Optional) If provided in the General Conditions, Contractor shall be reimbursed for the actual direct cost of all Permit Fees, as defined in Paragraph 1.01 and addressed in 1.03 of the General Conditions. Bidder shall exclude the cost of Permit Fees from Bidder’s Base Bid sum; Base Bid sum shall include the cost of administration and coordination for all Governmental Approvals and Utility Fees.

15. SUBSTITUTIONS
No requests for substitution of any material, device, product, equipment, fixture, form, or type of construction shall be considered by City prior to award of the Contract. Bidders shall submit all requests for substitution and substantiating data, within fourteen (14) calendar days from the date of the Notice to Proceed. Bidder shall refer to the appropriate provisions of the General Conditions for additional information regarding substitutions.

Authorization of a substitution is solely within the discretion of the City.

16. RETURN OF IMPROPER BIDS
Bids submitted after the Bid Deadline are non-responsive and shall be returned to the Bidder unopened. Oral, telephonic, telegraphic, facsimile or electronically transmitted Bids shall not be considered unless the Notice Inviting Bids expressly permits such means of transmittal.

17. WITHDRAWAL OF BIDS
Bidder may withdraw its Bid either personally or by written request any time prior to the scheduled Bid Deadline by notice to the City’s Contact Person designated in the Notice Inviting Bids. If such notice is written, it shall be signed by the Bidder and shall be datestamped and time-stamped by the City upon receipt. Withdrawn Bids may be resubmitted before the Bid Deadline provided that they are in full conformance with these Instructions to Bidders. Once submitted, all Bids are irrevocable, except as otherwise provided by law.

Requests for withdrawal of Bids after the Bid Deadline shall be made only in accordance with California Public Contract Code § 5100, et seq. Bidder agrees by submitting a Bid that such Bid shall remain open, is irrevocable, and may not be modified, withdrawn, or cancelled for a period of ninety (90) days after award of the Contract.

18. OPENING AND EVALUATION OF BIDS
A. Bid Opening and Tabulation. The Bids shall be opened and read in public after the Bid Deadline has expired at the time and location listed in the Notice Inviting Bids. A tabulation of all Bids received will be available for public inspection at the Office of the Public Utilities Department, 4305 Santa Fe Avenue, Vernon, CA 90058 during regular business hours for a period of not less than thirty (30) calendar days following the Bid Deadline. The City reserves the right to accept or reject any or all Bids and be the sole judge regarding the suitability of the products, services or supplies offered; and/or to waive any irregularities or informalities in any Bids or in the bidding process. The City further reserves the right to purchase all or fewer than all items or quantities of each item listed in the Bidding Documents.

The award of the Contract, if made by the City, shall be to the lowest responsive and responsible Bidder. If Bid Alternate Items are called for, the lowest Bid shall be determined according to Paragraph 20 below.

B. Evaluation of Bids.

1. Mandatory Qualifications. A Bid shall be rejected as non-responsive if the Bidder fails to document in the Bid that Bidder meets the essential requirements for qualification described in the Notice Inviting Bids. As part of the Bidder’s Statement of Qualifications each Bidder must establish that it, as the current entity: (1) has successfully completed at least one (1) similar projects involving similar work within the last five (5) years with a cost equal to or in excess of the Bidder’s Bid; and (2) has successfully completed at least three (3) public works projects.

2. Responsive Bid. A responsive Bid is a Bid which conforms, in all material respects, to the Bidding Requirements and Contract Documents.

3. Responsible Bidder. A responsible Bidder is a Bidder who has demonstrated the attribute of trustworthiness, as well as quality, fitness, capacity and experience to satisfactorily perform fully the requirements of the Contract Documents.

4. Competency of Bidders. In selecting the lowest responsible Bidder, consideration will be given not only to the financial standing but also to the general competency of the Bidder for the performance of the Work covered by the Bid including, but not limited to, the experience of the Bidder in construction of public works for public agencies. By submitting a Bid, each Bidder agrees that the City, in determining the successful Bidder and its eligibility for the award, may consider the Bidder’s experience with similar types of construction projects and facilities, conduct and performance under other contracts, financial condition, reputation in the industry, safety record and protocols and other factors which could affect the Bidder’s performance of the Work.

19. AWARD OF CONTRACT
The City reserves the right to reject any or all Bids and to waive any or all information or technical defects, as the interest of the City may require. Award of Contract or rejection of Bids will be made by the City within ninety (90) calendar days following the Bid Opening.

20. BASIS OF AWARD
A. A Contract will be awarded to the lowest responsive and responsible Bidder meeting all requirements set forth in these Bidding Documents.

The City will award the Contract based on the lowest Base Bid including all alternates.

B. City reserves the right in its sole discretion to select any, all, or none of the Bid Alternates at the time of award of the Contract, regardless of whether such Bid Alternates were used in the analysis to determine the lowest Bid.

21. EXECUTION OF CONTRACT
Within fourteen (14) calendar days after being notified by City that it has been awarded the Contract, Contractor shall deliver to the City the following documents:

A. Two (2) copies of the Contract in the form included herein, properly executed by Contractor and, if Contractor is a corporation, evidence of its corporate existence and that the persons signing the Contract are authorized to do so. All signatures must be notarized.

B. Properly executed copies of the (a) Performance Bond, (b) Labor and Material (Payment) Bond and (c) Maintenance Bond in accordance with the requirements set forth in Article 13 of the General Conditions and in the form shown on Exhibits A1, A2 and A3 attached thereto. All signatures must be notarized.

C. Properly executed policies of all of the following: (a) the Commercial General Liability Insurance, (b) the Automotive Liability Insurance, and (c) Professional Liability, if required, and (e) the corresponding endorsements for each policy in accordance with the requirements set forth in Article 12 of the General Conditions.

In the event that the fourteenth calendar day falls on Saturday, Sunday, a legal holiday for the State of California, or on days when City Hall is closed, the aforesaid documents shall be delivered by the following working day.

After receipt of said documents within said time period or any extension thereof granted by the City, the City shall execute the Contract and return one (1) of said two (2) copies to

Contractor for its files.

22. PUBLIC RECORDS
City seeks to conduct its business openly. Except as set forth in paragraph 8.A., upon opening, all Bids shall become a matter of public record and shall be regarded as public, with the exception of those elements of each Bid that are identified by the Bidder and plainly marked as “trade secret,” “confidential,” or “proprietary,” including any Statement of Qualifications and financial statements to be submitted by Bidders. Each element of a Bid which a Bidder desires not to be considered a public record must be clearly marked as set forth above, and any blanket statement (i.e. regarding entire pages, documents, or other, non-specific designations) shall not be sufficient and shall not bind the City in any way whatsoever. If City receives a request from a third party to make a Bid available for inspection and copying, the City will notify the Bidder of the request. If a Bidder instructs the City that the information is not to be released, City will withhold the information, provided, the Bidder expeditiously seeks a protective order from a court of competent jurisdiction to prevent such release. If disclosure is required under the California Public Records Act or otherwise by law (despite the Bidder’s request for confidentiality), the City shall not in any way be liable or responsible for the disclosure of any such records or part thereof.

Bidder shall indemnify, defend (including Bidder’s providing and paying for legal counsel for City), and hold harmless City, its officers, agents, employees, and representatives from and against all liability, claims, suits, demands, damages, fines, penalties, costs, or expenses arising out of or alleging City’s refusal to publicly disclose one or more records that Bidder identifies as protectable, or asserts is protectable.

23. PREVAILING WAGE RATES AND EMPLOYMENT OF APPRENTICES A. Prevailing Wage Rates. The Bidder and all Subcontractors shall utilize the relevant prevailing wage rate determinations in effect on the first advertisement date of the Notice Calling for Bids in preparing the Bid Proposal and all component price quotations, provided, however, that when Davis Bacon wage rates apply, such rates are subject to increase by written notice, issued by Addendum not less than 10 calendar days before the Bid Deadline. Pursuant to California Labor Code Section 1770 et seq., the Director of the Department of Industrial Relations of the State of California and the United States Secretary of Labor have determined the general prevailing wage rates in the locality in which the Work is to be performed. Said rate schedules are available on the Internet at www.dir.ca.gov/DLSR/PWD/. The wage rate for any classification not listed, but which may be required to execute the Work, shall be commensurate and in accord with specified rates for similar or comparable classifications for those performing similar or comparable duties. To comply with California Labor Code Section 1773.2, Contractor shall post, at appropriate and conspicuous locations on the job site, a schedule showing all applicable prevailing wage rates and shall also comply with the requirements of California Labor Code Sections 1773 et seq.

B. Apprenticeship Committee Contract Award Information. Pursuant to California Labor Code § 1777.5 and Title 8 of the California Code of Regulations § 230, Contractor and Subcontractors of any tier who are not already approved to train by an apprenticeship program sponsor shall, within ten (10) calendar days of signing the Contract or subcontract, as applicable, but in any event prior to the first day in which Contractor or Subcontractor has workers employed on the Project, submit the Public Works Contract Award Information form (DAS Form 140) to the appropriate local apprenticeship committees whose geographic area of operation include the area of the Project and who can supply apprentices to the Project. City reserves the right to require Contractors and Subcontractors to submit a copy of said forms to the City.

C. Statement of Employer Fringe Benefit Payments. Within five (5) calendar days of signing the Contract or subcontract, as applicable, the Statement of Employer Payments (DLSE Form PW 26) shall be completed for each Contractor and Subcontractor of any tier who pays benefits to a third party trust, plan or fund for health and welfare benefits, vacation funds or makes pension contributions. The form must contain, for each worker classification, the fund, plan or trust name, address, administrator, the amount per hour contributed and the frequency of contributions. Training fund contributions shall also be reported in this form. City reserves the right to require Contractors and Subcontractors to submit a copy of said forms to the City.

D. Notice to Subcontractors. Bidders shall notify all potential Subcontractors submitting price quotations for portions of the Work of the requirements concerning payment of prevailing wage rates, payroll records, hours of Work, and employment of apprentices.

24. REGISTRATION WITH THE DEPARTMENT OF INDUSTRIAL RELATIONS (DIR)
No contractor or subcontractor may be listed on a bid proposal for a public works project unless currently registered and qualified (including payment of any required fee) with the DIR 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 unless currently registered and qualified (including payment of any required fee) with the DIR pursuant to Labor Code section 1725.5. This project is subject to compliance monitoring and enforcement by the DIR.

25. SPECIAL CITY REQUIREMENTS
Special City forms and their instructions are an integral part of these specifications and failure to submit same may be grounds, in the sole discretion of the City, for rejection of

any Bidder.

A. Prevailing Wage Where Applicable. Upon request, certified payroll documents shall be provided to the City.

B. Equal Employment Opportunity in Contracting. The City of Vernon is committed to a policy of equal opportunity in contracting. Qualified firms including small businesses and businesses owned by women, minorities, and disabled persons are encouraged to submit bids or proposals. Contractors expressly agree to comply with the City's ordinances and regulations regarding Equal Opportunity Employment as well as regulations that may be mandated by the source of the funds supporting the Contract. Contractor certifies and represents that during the performance of this Contract, it and any other parties with whom it may subcontract shall adhere to equal employment opportunity practices to assure that applicants, employees and recipients of service are treated equally and are not discriminated against because of their age not discriminated against because of their race, religion, religious belief, color, national origin, citizenship, ancestry, disability, sex, age, medical condition, pregnancy, sexual orientation or marital status. Contractor certifies that it will not maintain any segregated facilities.

Contractor shall comply with all applicable Federal and California laws including, but not limited to, the California Fair Employment and Housing Act (California Government Code Section 12900, et seq.), California Labor Code Section 1735, and The Americans with Disabilities Act of 1990 (42 U.S.C. 12101 et seq.).

Contractor shall require like compliance by all Subcontractors employed on the Work.

26. BID PROTEST PROCEDURES
A. Any Bidder submitting a Bid directly to the City and eligible for award of the Contract may file a protest if the Bidder complies with all of the following requirements and conditions:

1. The Bid protest is in writing;

2. A protest based upon alleged defects or improprieties in the Contract Documents is filed with the City prior to the Bid Deadline;

3. All other protests are to be filed and received by the City no more than five (5) calendar days following the City’s notice of intent to award the Contract; and

4. The written Bid protest sets forth, in detail, all grounds for the Bid protest, including without limitation: all facts, supporting documentation, legal authorities, and argument in support of the grounds for the Bid protest. All factual contentions must be supported by competent, admissible, and credible evidence.

B. Any matters not set forth in the written Bid protest will be deemed waived. Any Bid protest not conforming to the foregoing requirements and conditions will be rejected by the City as invalid.

C. Bid Dispute Indemnification. In the event of a Bid dispute based upon the Bidder’s submission of this Bid and the City acceptance of same, the Bidder shall indemnify, defend (with counsel acceptable to City), and hold harmless the City, its City Council members, employees, and agents from liability, claims, demands, damages, and costs arising therefrom if such dispute or action arises solely upon the award of a Contract in compliance with federal, state, and local laws. [END OF DOCUMENT]

BID FORMS

BIDDER'S PROPOSAL
The undersigned submits this Bid in response to the Notice Inviting Bids issued by the City to construct the Work of the following Project in accordance with the Contract Documents:

PROJECT: Pumpinq Plant Demolition and Sile lmprovements. Soeciflcation No. (LP-0737) A. Enclosed herewith and by this reference incorporated herein and made a part of this Bidde/s Bid are the following completed forms:

1. Bidder's Proposal

2. Schedule of Bid Prices

3. lncumbency Certificate

4. Bid Security in the following form lcheck onel:

E Cashier's Check E Certified Check E Bid Bond E Casn

5. Bidde/s Statement of Qualifications

6. Experience Form

7. Statement of Violations of Federal, State or Local Law, if applicable

8. Conkactor Safety Questionnaire

9. Designation of Subcontractors

10. Contractods Affidavit of Non-Collusion
11, lnsuranceRequirementsAffidavit

12. Statement of Disqualification or Debarment
'13. Pre-Bid Site lnspection Certifcation
B. Acknowledgment ofAddenda. The Bidder shall acknowledge the receipt of allAddenda by attaching a signed copy of all Addenda, and by listing all Addenda received and attached in the space below.

I
lf an Addendum orAddenda have been issued bythe City and not attached and noted above as being received by the Bidder, the Bid may be rejected.

VERNON PUBLIC UTILITIES
4305 S. Santa Fe Avenue, Vernon, Califomia 90058
Telephone (323) 583-881'l
June 15,2022
NOTICE TO BIODERS - ADDENDUM NO. 1
PU[,4PING PLANT DEI/OLITION AND SITE IMPROVEMETNTS
This notice shall be considered as Addendum No. 1 to the Request for Bids for Pumping Plant Demolition and Site lmprovements. This addendum modifies the original Request for Bids as noted below. All other portions of the Request for Bids not specifically mentioned in the Addendum, remain in force.

A-zv'zzJ n Scheck - President Date
Bidder's Prooosal:
ln the BIDDER'S PROPOSAL, ltem 3 was modified. Replace page 31 of the SCHEDULE OF BID PRICES in its entirety with the following page(s):

C lnspection of the Work and Contract Documents. Bidder certifies that it has carefully examined and is fully familiar with all of the provisions of the Bidding Documents and said Bidding Documents contain sufficient detail regarding the Work to be performed; that it has notified City of any errors or omissions in the Bidding Documents and/or any unusual sile conditions; and that it has carefully checked all words, prices, and statements in this Bidding Document. Bidder hereby certifies that heishe and his/her Subcontractors have inspected the site and related Drawings and Specifications of Work and fully acquainted themselves with all conditions and matters which may in any way affect the Work, time of completion or the costs thereof.

Bidder also certifies he/she has observed the designated Contractor Work areas and access routes, if disclosed or shown, as part of the Work in this Conkact.

PRE-BID SITE INSPECTION _ CERTIFICATION:

Person(s) who inspected site of the proposed Work for your firm Name Date of Inspection 06115/2022
Title: Estimator
Name:

Title:

D. Bidder agrees that all costs of Work shown in the Bidding Documents, including work reasonably inferable therefrom and necessary thereto, are included in his/her Bid. All Work shown in the Contract Documents for which a specific line item is not provided in the Bidding Form is included in the Bidder's Total Base Bid Price.

Conhactor shall be reimbursed for the actual direct cost of all Permit Fees, if any, as defined in Paragraph 1.01 and addressed in Paragraph 1 .03 of the General Conditions, Bidder shall exclude the cost of Permit Fees from Bidder's Base Bid sum; Base Bid sum shall include the cost of administration and coordination of Governmental Approvals and Utility Fees. Bidder agrees that City will not be responsible for any errors or omissions on the part of the undersigned in making this Bid.

E. Forfeiture of Bid Security. Bidder further agrees that, in case of his/her default in executing the required Contract and the required bonds, or furnishing the required insurance, the money payable under the Bid Security accompanying this Bid shall be applied by the City towards payment of the damage to the City on account of such default, as provided in the Bidding Documents.

F. Period of lrrevocability. Bidder agrees that this Bid shall remain open and shall not be withdrawn for a period of not less than ninety (90) calendar days from the date of award of Contract, or until rejected by the City, whichever period is sho(er.

G. Bid Dispute lndemniflcation. ln the eventofa Bid dispute based upon the Biddels submission of this Bid and the City acceptance of same, the Bidder shall indemnify, defend (with counsel acceptable to City), and hold harmless the City, its City Council members, employees, and agents from liability, claims, demands, damages, and costs arising therefrom if such dispute or action arises solely upon the award of a Contract in compliance with federal, state, and local laws.

The Bidder declares that neither he/she nor anv member his/her firm or corDoration is an officer or emDlovee of the Citv of Vernon
I hereby certify under penalty of perjury under the laws of the State of California that the representations made herein are true and correct.

Executed thisJ$ ay ot June ,zozlat Ventura ,
City
CA
State

Nort Colborn
Date of lnspection
-
Bidder's Proposal
Respectfully Submitted
COI\,4PANY
NAME:

NAME OF BIDDER
J.D.M.L., lnc. dba Standard lndustries
ADDRESS: 1905 Lirio Avenue
Ventura cA 93004
CONTACTpERSON. NodColborn
TELEPHONENUMBER: 805-643-6669
E-MAIL: [email protected]
EXPIRATION DATE 02t2812023
SURETy CoMpANy. Merchants Bonding Company
All Bid forms must be signed where so indicated by the person or persons duly authorized to sign on behalf of the Bidder. By signing the Bid, the person signing is deemed to represent that he or she has authority to bind the Bidder.

Failure to sign the Bidde/s Proposal may invalidate the Bid.

CALIFORNIA STATE CONTRACTOR'S LICENSE NUMBER. 702530
TAX |DENTIFtCATtON NO. 93-0989523

BIDDER'S PROPOSAL _ SIGNATURE(S):

Form of Entity of Bidder:

Please check the appropriate signature block below and flll in a[ related information Sole Proprietorship
Na me
Title
Signature
List all d/b/a's
Partnership:

Name:

E General Pa(ner E Limited Partner
Tte
Signature
x
Corporation
Name:

Joint Venture
Name
Scheck
flCorporation
E tndividuat
State of lncorporation: Ventura County, California
Address: 1905 Lirio Ave. Ventura CA 93004
Corporate Officer Title: President
Corporate Seal
Tte
Signature
Name of all Joint Venturers
lf the Bidder is a corporation or a limited liability company, enter state or county of incorporation in addition to the business address and include an incumbency certificate executed by a Secretary thereof in the form set forth herein listing each offlcer with signing authority and his/her corresponding office. lf the Bidder is a partnership or joint venturer stating that the respective partner or joint venturer agrees to be held lointly and severally liable for any and all of the duties and obligations of the Bidder under the Bid and under any contract arising therefrom. Attach evidence to the Bid Proposal Form that the individual signing has authority to do so.l

Signature
EPartnership
E otherI
I
I

SCHEDULE OF BID PRICES
PROJECT: Pum0in0 Plant Demolition and Site lm ments. SDecilication No. (LP-0737) BtDDER,S 1'1qyg J.D.M.t., lnc. dbq Stondord lndustries

BASE BID
Pursuant to and in compliance with your Notice lnviting Bids and Contract Documents relating to the Project including all Addenda (attach signed copies), Bidder, having become thoroughly familiar with the terms and conditions of the Contract Documents and with local conditions affecting the performance and the costs of the Work at the place where the Work is to be done, hereby proposes and agrees to fully perform the Work within the time stated in strict accordance with the Contract Documents (including the furnishing ofany and all labor, materials, tools, expendable equipment, and utility and hansportation services necessary to fully perform the Work and mmplete it in a workmanlike manner) for the total Base Bid sum of:
three hundred ninety-seven thousand six hundred thirteenDollars ($ 397,613 All other work items, labor, materials, tools and incidentals which are not specifically listed in the above bid items, but are necessary to complete the prqect per specifications, and all other applicable standards and codes are considered to be included in the above bid items.
lf there is a discrepancy between (1) the'Grand Total'shown immediately above, (2) any of the lotal costs" shown in the far nght column above, or (3) the individual Unit Price, then the Unit price shall control over the total cost, and the total cost shall control over the total. lf, however, the unit price is ambiguous, unintelligible, or uncertain for any cause, Item
No.

Description Units Quantity Unit Cost Amount
t LS I
$8,000
2 Demolish two 500,000 gallon steel reservoirs,
pump house building, structure foundations, and
associated pipe materials and appurtenances
LS t
$70,670
3 Remove all existing AC pavement and CMB.
lnstall new CMB and new AC pavement as shown
on the grading plans.

LS 1 85,000 $85,000
4 Remove existing perimeter chain link fence and
L5 1 950
5 lnstall new perimeter security fence system and
gate
LS I
$232,993
s397,613
Written
Amount 5 three hundred ninety-seven thousand six hundred thirteen dollars Mobilization and Demobilization
$9s0
Bid
Total
or is omitted, or is the same amount as the entry for the iten total, then the item total shall prevail and shall be divided by the estimated quantity for the item and the price thus obtained shall be the unit price.

Bidder shall exclude the cost of Permit Fees from Bidder's Base Bid sum; Base Bid sum shall include the cost of administration and coordination of Governmental Approvals and Utility Fees.

Bidder acknowledges that determination of the lowest Bid will be based on the combined total of the amounts entered below for the Base Bid plus all of the listed Bid Altemate items, and that once the low bid is determined on this basis, the City will be free to select Bid Altemates for inclusion in the Work in any order or combination, or to relect any or all Bid Alternates.
bmitted:

John Scheck 1905 Lirio Avenue Ventura CA 93004
re Address
9resident b-z-v' 7-1-
Title
702530
Date
o2t28t2023
License Number
{SEAL- if Bid is by a corporation)
Date of Explration
)eq.,ovrw1 vlz''tla
llt.st 6P* Sc$rcr
Amou:l cf Certifled or Cashieis Check or Bid Bond Not to exceed 10 Percent ol the Total amounl Bid Merchants Bondinq Compa ny
Name of Bonding Company

V

INCUIVBENCY CERTIFICATE
Print legibly the names and title of the president and all officers of the Company who are authorized to sign the Bid Forms:

TITLE
President
Joseoh Scheck Secretary
Lennie Scheck Treasurer
The undersigned hereby certifies to the City of Vernon that he/she is the duly elected and acting Secretary of J.D.M.L., lnc. dba Standard lndustries (the "Company"), and that, as such, he/she is authorized to execute this lncumbency Certiflcate on behalf of the Company, and further certifies that the persons named above are the duly elected, qualified and acting offlcers of the Company, holding on the date hereof, the titles and positions set forth opposite their names and are authorized to sign the Bid Forms. lN WITNESS WHEREOF, the undersigned has executed this Incumbency Certilicate tnu & Ll\.v of
June ,204
Joseph Scheck
Se ry's Name-Pri
cretary's Signature
Pagc 33 of 175
PRESIDENT'S & OFFICERS' NAME:

John Scheck
Bond's Effect ve Dale: 6/23/2022
Bond No.: MBCOI 138
Premium Amount: $ N/A

BID BOND
RECITALS:

Bid Bond Number: MBC0113E
The city of venbn, califomia ('c y"), has issued a Notice lnviting Bids ror the work described as follows:

Specification No. LPos737 : Pumpns Plant Demolilion ancl site lmprove'nonE in Vemon, CA ("Proiecf)

2. ln response to the Notice lnviting Bids, JoML, lnc, dba Standaftl lfldtistrios (Name, address, and telephone of Contraclor)
1905 Lirio Avenue. Ventura. Calibmia 93004 {80t 64}4669 ('Principal') has submitted the accompanying Bid hr he Pmiect.

3. principal is required under the terms of he Specification-and all Bidding Doflments relerenced in it--{o fumish a bond witl the Bid,

4. The Specification, including all its amendments and supplements, and Principal's Bid are incoryorated into his Bond and made a part of it by tis refercnce.

QEIIGA]I9N:

IHEREFORE, for value received, We, Principal and
MercltanB Bondinq Company (Mutral)
(Name, address, and telephone of Surety)
0700 $bsiown ParkwEy, Vlbsl Des Moine. 50266 (600)67&8171 ('SuIety"), a duty admitted surety insurer under califomia's laws, agree as lollows:

By his Bond, Weioin y and severally obligate and bind ourselves, and our respeciive heirs, executors, administrators, suc@ssors, andassignstopaycity'n.*n.,.,,o,edSum,),thisamoUnt
i" A,d, il |,"fuI -'""ey of th" Ui ted States ofAmerica' The Licensed Agent for Surety is
Ed06i/ood Parlners lnsurarEe Centor 1 08r/ White Rock Rd . Sb 3OO, Rsncho Cordova, CA 95670 (916) 97it_4814 (Name, address, and telePhone)
Registered Agent's Calilomia Department of lnsurance License No.9E99LTHE CONDIT|ON OF IHiS BONO',S OBL|GATIoN tS THAT, if: (1) Principal does not (a) withdraw ils Bid ror the poriod spocifi€d in tre Bidding Documents, or it no period is specified lor ninety (00) calendar days after City awards the Crntracl for the Project, or (b) attemit to witdraw its Bid when the requirements of Califomia Public Contracl Code $5101 elssg., or any su@essor Iegislaion, dre not met; or (2) City awards Priniipal tE Confacl in response to_ Principal's Bid, and withinlhe,tjme and manner s&meO 6y tne Speciicati'on or Conhact Documents or if no period is specified witrin fourteen (14) calendar days.after the dontracis iwarO, irincipal (a) signs and delivers to City the Coitracl, in ac@rdance with he Bid as accelted, (b) fumishes.the reqrireO UonOitd|" not o'nty Frincipal's faitfrtul performarice and proper fulfillment ol the Contract, but also Principal's payment for labor and materials used'in the Prqecl, and (c) fumishes tre required insurance, then flis obligation becomes null and void.

Ofierxise. this Bond remains in fu bi6 and efi;d, and he lollowing tenns and conditions @pry b fiis Bond:

1. Surety',s obligations under $is Bond are separate, independent from, and not contingent upon any-oher surety's guaranteeing that u'pon Ci['s awarding the Contract to Principal, the Principal will enter into the Contract witt Clty.

2. No right of action acc{ues on this Bofld to any entity other than Clty or its successors and assigns

3. lf an action at law or in equity is necessary to enforce or interpret this Bond's terms, Surety must pay in addition to the Bonded Sum City's reasonable attorireys' Iees and litigation cosb, in an amount tfie court fixes

4. Surety shall mail City written noUce at teast 30 days before: (a) he_ effeclive date on which he Surety will cancel, terminate' or withdraw frorn his Bond; or (b) this Bond becolnes void or unenlorceable for any reason'

On the date set forth b€low, Principal and Surety duly executed this Bond, wih ttle nam€ of each party appearing belo,r, and signed by its representative(s) under the aufDrity of its goveming body Date. June 23, 2022
PRINCIPAL:

JDML. lnc., dba Standard lndustries
SU
Bonding
Name)
(Signature)
(Nam6) (Namo)
ItS. Attorney-in-Fact
By
Its
By
{Tlte) [rite)
Address for Serving NotiFs or Otpr oocwenb: Address hr SentB Notixs or ofier DcrEnb:

JDvtu F(. V nd6{d \
Merchanls Bonding Company (Mutual)
\Qt..V !t h/^\^r PO Box 14498
Des Moines, lA 50306-3498
cA 61)&

CORPORATE SEAL CORPORATE SEAL
. EVIDENCE MUSI BE ATTACHED OF THE AUIHORIry OF ANY PERSON Si GNING AS ATTORNEYIN.FACT' . THE AITORNEYINfACrS S/GNAruRE MUST BE N?TAPJZED.
. A CORPORATE SEAI MUSI BE /MPRESSED ON Itl/S FoRM WHEN IHE PRINCJPAL, OR IHE SUREry OR BOIH, ARE,4 CORPORA IION,

I

BOND ACKNOWLEDGMENT
FOR
SURETY'S ATTORNEY.I N.FACT
Please see attadled califomis AllPurpose Notary
Acknowledgment for Sandra R. Black

STATE OF CALIFORNIA

COUNTY OF
On this
-
day of
-,m-,
before me,
-(
Publicior said County, personally appeared
(name), who proved to me on the basis of to be the person whose name is subscnbed to this instrument as the attorney in fact of and acknowledged to me that he/she subscnbed the name ol
as attorney in fact,
thereto as pnncipal, and his/he own name
I certify under PENALTY OF PERJ under the laws of the State of Califomia that tho foregoing paragraph is true and correct,
Public
SS
SEAL

)
)
)

ACKNOWLEDGMENT
A notary public or other officer completing this
certificate verifies only the identity of the individual who signed the document to which this certificate is
attached, and not the truthfulness, accuracy, or
validity of that document.

State of California
County of Ventura )
on 612412022 before me, Leona Maria Russian, Notary Public (insert name and title of the officer)
personally appeared John Scheck
who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument.

I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct.

WITNESS my hand and official seal.
@;*;,#:{I;*:,.
t
I
Signature i (Seal)

docu
n otary
men
p U b c or oth r offi f compl eti ng th S ce rtificate VErifies on ly the identity of the I nd id U a who SI s ned th t to wh ch th s rtificate ched d e
S an acc U
.acy of valid ty of that docu ment

STATE OF CALIFORNIA
County of Sacramento
On6 29 before me, E. Johnson
, Notary Pubtic,
lnserl Name of Notary exactty as it appears on the officjal seal personally appeared Sandra R. Black
CALIFORNIA ALL.PURPOSE ACKNOWLEDGMENT
)
Neme(s) or signe(s)
iJO HNSON
ra ratY PUaLrc . c^lrdut
coMM r 231061

SAC RAMENTO COUNTY
c')lTrm.
who. proved to me on the basis of satisfactory evidence to oe.the person(s) whose name(s) is/are subs'cribed to the wrthrn tnstrument and acknowledged to me that he/she/thev execr.rted the same in h is/her/their autrorizeoiaoiiitiiieJi and that by hiyher/their signature(s) on tne instiumiiilnlj p9li9n!il: or. the ,entity.upon behajf of which the person(sj acted, executed the instrument
l. certfy under PENALTY OF PERJURY under the laws of the, State of Catifornta that the foregoing paEgraph ;; trre and correct. &
a.

Witness my hand
Signature
1n
b
Signature ot Notary
do
Place Nobry SeatAbove
rh*sh'T;?1:ilff
3i"?31,{f ,:,9?,i;fr?i;:frlfL,3{al,#1"fl!,1,
Description of Aftached Document
''"fr { o.ifr!' "t :i,1 7;:l&i,e/v i n s o n th e d oc u m e n t Title or Type of Document:

Document Date: Number of Pages
Signe(s) Other Than Named Above
Capacity(ies) Ctaimed by Signer(s)
Signer's Name
E lndividual
E Corporate Officer
E Partner -Tifle(s) ! Limiteo ! Generat
I Attorney in Faci
E Trustee
E Guardian or Conservator
E Other:

Signer's Name
fl lndividual
E Corporate Offic€r
-
l'j e(s)
E Partner E Limited D General
E Attorney in Fact
E Trustee
E Guardian or Conservator
E Other:

Signer is Representing
Top of thumb here

RIGHT THUMBPRINT

OF SIGNER
Top of thumb here
RIGHT THUI\,1BPRINT

OF SIGNER
not the truthfulness,
?azz
I
Signer is Representing:

I

MEncHeNrFl
BONDING COMPANYPOWER OF ATTORNEY
KnowAllPersons By Tlrese Presents, thal MERCHANTS BONDING COMPANY (MUTUAL) and MERCHANTS NATIONAL BONDING, lNC., bolh being corporalions of the State of lowa (herein collecUvely called the "Companies") do hereby make, constitule and appoint, individually, Chelsea Nieison; Erin Johnson, Jonathan Russell; Robin L Amstutz; Sandra R Black; Stella Wnterboume their true and laMul Attomey(s)-in-Fact, to sign its name as surety(ies) and to execute, seal and acknowledge any and all bonds, undertakings, conkacts and other written instrumenls in the nalure thereof, on behalf of lhe Companies in their business of gua.anteeing the fdelity of persons, guaranteeing the performance of contracts and executing or guaranleeing bonds and underlakings required or permitted in any actions or proc€edings allowed by law.

This Power-of-Altorney is granted and is signed and sealed by facsimile under and by authority of the following By-Laws adopted by the Board of Directors of Merchants Bonding Company (l\4utual) on April 23, 2011 and amended August '14, 20'15 and adopted by the Eoard of Directors of lverchantsNational Bonding, lnc., on October 16, 20'15. "The President, Secretary, Treasurer. or any Assistant Treasurer or any Assistant Secrelary or any Vice Presidenl shall have power and authority lo appoint Attorneysin-Fact, and to authorize them lo execute on behalf of the Company, and attach the seal of the Company thereto, bonds and undertakings, recognizances, contracts of indemnity and olher wrtings obligatory in the nature lhereof" .Ihe signature of any authorized officer and the seal of the Company may be affixed by facsimile or electronic lransmission to any Power ot Attomey or Certification thereof authorizing the execution and delivery of any bond, undertaking, recognizance, or other suretyship obligations of the Company, and such signalure and sealwhen so used shall have lhe same force and effect as though manually fxed." ln connection with obligations in favor of the Florida Depanmenl of Transportation only, it is agreed that the power and aut hority hereby given to the Attorney-in-Facl includes any and all consents for the release of retained percentages and/or final estimales on engineering and construction contracts required by the State oI Florida Departrnent of Transportation. lt is tully understood that consenting lo the State ot Florida Departrnenl of Transportation making payment of the final estamate to the Contractor and/or its assignee, shall nol relieve this surety company of any of its obligations under its bond.
ln conneclion with obligations in favor ot the Kentucky Department of Highways only, it is agreed that the power and authority hereby given lo lhe Attomey-in-Fact cannot be modified or revoked unless pnor writlen personal notice of such intent has been given to the CommissionerDepartment of Highways of the Commonweallh of Kentucky at least thirty (30) days prior to the modification or revocation. ln Wtness \Mereof. the Companies have caused this instrument to be signed and sealed this 30th day of Ma.ch , 2022

MERCHANTS BONDING COMPANY (MUTUAL)
MERCHANT NATIONAL BONDING, INC.

On this 30th day of March 2022 . betorc me appeared Larry Taylor, to me personalv known, who being by me duly swom did say that he is President of MERCHANTS BONDING COMPANY (MUTUAL) and MERCHANTS NATIONAL BONDING, lNC.; and lhat the seals affxed to the foregoing instrument are the Corporate Seals of the Companiesi and lhat the said instrumenl was signed and sealed in behalf of the Companies by authority of their respective Boards of Directors.

By 7r4- .g=l$ti.' i$t'
:n',,',?ri"#i*, "
t** ,llrS fao'
u. tT
(Expiration of notary's commission does not invalidate this instrumenl) L Wlliam Warner, Jr., Secretary of MERCHANTS BONDING COMPANY (MUTUAL) and MERCHANTS NATIONAL BONDING, lNC., do hereby certify that the above and foregoing is a true and correct copy of the POWER-OF-ATTORNEY executed by said Companies, wNch is still in full force and effecl ard has not been amended or revoked.
ln Vlfitness Vvhereof, lhave hereunto set my hand and affixed thesealoftheCompaniesonthis 23 day of June .2022 fffi}

POLLY MASON
Commission Number 750576
My Commission Expires
January 07, 2023 4al"Y\\^s,'^-
C)Notary Public
POA 0018 (1/20)
$:t'llr,;;,
;3.-+ -o- Ei9i
'..n:. 2003 .....o_! .-e:.. .j.\ i
?:::*::..:i
..,.,$ooii,t;,
?il,1i'+ Secrelary

BIDDER'S STATEMENT OF QUALIFICATIONS

1. ORGANIZATION

1.1 How many years has your organization been in business as a Contractor? 34

1.2 How many years has your organization been in business under its present name? 4

1.2.1 Under what other names has your organization operated? NONE.

1.3 lf your organization is a corporation, answer the following

1.3.1 Date of incorporation/organ i7s1isn. 121511988

1.3.2 Stateofincorporation/organization: California
'1,3,3 Corporate lD number c1631763

1.3.4 Name of President: John Scheck

1.3.5 Agent for Service of Process John D. Scheck

1.4 lf your organization is a partnership, answer the following

1.4.1 Dateoforganization/formation N/A

1.4.2 Type of partnership (ifapplicable) N/A

1.4.3 Name(s) of general partne(s) N/A
1,4,4 List all states in which you are registered and state lD numbers for each N/A
'1.5 lf your organization is individually owned, answer the following '1.5.1 Date of organization: N/A

1.5.2 Name of owner: N/A

1.6 lf the form of your organization is other than those listed above, descnbe it and name the principals: N/A

2 LICENSING

2.1 List jurisdictions in which your organization is legally qualified to do business, indicate registration or license numbers. and category of license, if applicable.

California State Contractor's Board - 702530 - A c-21,HM 22 List jurisdictions in which your organization's partnership or trade name is filed Ventura County
List any licensing suspensions and/or violations assessed against your organization within the past five years.

NONE.

3. EXPERIENCE

3.1 List the categories of Work that your organization normally performs with its own personnel. Demolition and Gradino

3.2 0n the Experience Form, list the project information that establishes that Bidder meets the essential requirements for qualilication set forth in the lvlandatory Qualifications paragraph of the Notice Inviting Bids for this Project.

On a separate sheet, list projects to which your firm or business has been awarded a government contract since your flrm or business has been in existence (giving the name and address of the project, the government agency, contact name and phone number, the contract amount, and contract's starting date and ending date).

3.4 On a separate sheet, Iist the expenence and present commitments of the key individuals of your organization.

4. CLAI[4S; LAWSUITS; CRIMINAL ACTS
For the following questions, the term 'ownef does not include owners of stock in your flrm if your lirm is a publicly-traded corporation.

4.1 ln the past live (5) years, have, you, your firm or any of its owners, partners, officers, or employees been a defendant in court, or participated in an arbitration or mediation, on a matler related to:

2.3

4.1.1 The performance, non-performance, default, violation, or breach of a contract or agreement?
Eves ENo

4.1.3 Damage to real property arising out of your services or operations? Eves trNo

4.1.4 Employmenlrelated litigation brought by an employee of your firm? Evrs ENo

4.1.5 Payment to a subcontractor or supplier?
Eves trNo

4.1.6 Defective, deficient, or substandard work?
Eves 8No
lf the answer to any questions in 4.1 .1 to 4.1.6 is YES, identify the name of the person or entity that sued (i.e., "the plaintiff') or was involved in the mediation or arbitration; list the date, court, court address, and case number; describe the facts and crrcumstances giving rise to the lawsuit, mediation, or arbitration; and set forth the outcome or disposition. Attach additional sheets as necessary.

4.2 Have you or your lirm ever filed a claim for damages or a lawsuit, or requested arbitration or mediation, against a government entity or a Client?
nvrs truo
lf YES, identi{y the government entity or client; list the date, court and case number; describe the facts and circumstances about the claim for damages, or the lawsuit, or both; and set forth the outcome or disposition. Attach additional sheets as necessary.

4.3 Are there any pending or outstanding judgments or liens against you, your firm, or any of its owners, partners, officers, or employees?
trvrs E ruo
lf YES, identify the name of the person or entity entitled to payment; list the date court and case number; describe the facts and circumstances giving rise to the judgment or lien; and set forth the amount of the judgment or lien. Attach additional sheets tf necessary.

4.4 In the past five (5) years, has any government entity ever: (a) investigated, cited, disciplined,

4.1.2 A vehicle collision or accident involving your firm's employees? trves trNo

4.5 4.O

4.7 48
or assessed any penalties against you, your flrm, or any of its owners, partners, offlcers, or employees, or (b) determined or concluded that your firm or any of its owners, partners, officers, or employees violated any laws, rules, or regulations? Eves Eno
lf YES, identify the government entity; list the date, and describe the facts and circumstances about each instance. Attach additional sheets as necessary. ln the past five (5) years, have you, your firm or any of its owners, partners, officers or employees been convicted of a cnme related to the bidding of a government contract, the awarding of a government contract, or the performance of a government contract? ('Convicted' includes a verdict of guilty by a ludge orjury, a plea of guilty, a plea of nolo contendere, or a forfeiture of bail.)
trvrs Eno
lf YES, identify the government entityt list the date, court and case number; describe the facts and circumstances about each instance; and set forlh the penalty or punishment imposed. Attach additional sheets as necessary.
ln the past five (5) years, have you, your firm, or any of its owners, partners, officers or employees been convicted of a crime involving embezzlement, thefr, fraud, forgery, bribery, deceptive or unlaMul business practices, pequry, falsifying or destroying records or evidence, or receiving stolen property, or making or submitting a false claim? nves Eruo
lf YES, identify the crime or offense; list the date, court and case number; descnbe the facts and circumstances about each instancei and set forth the penalty or punishment imposed. Attach additional sheets as necessary.

Have you or, if Bidder is a corporation, any principal of the corporalion ever been convicted of a felony?
Eves tsNo
lf YES, please explain the details of that conviction and, if so, whether you or said officer have served his or her sentence.
ln the past live (5) years, has a government entity determined or concluded that you, your firm, or any of its owners, partners, officers or employees made or submitted a false claim (including a false claim for payment), or made a material misrepresentation? trvrs Eruo
lf YES, identify the government entity, and descnbe the facts and circumstances about each instance. Attach additional sheets as necessary.

4.9 Have you or your company ever been charged by any governmental agency for failure to follow safety procedures? lf YES, please explain.

E vrs tr r,to

4.10 Has any governmental agency ever submitted a complaint against you or your firm to the California State Labor Commission for failure to submit certified payrolls? lf your answer is 'Yes', please provide the details of such complaint.

EYES Eno

5. FIRM'S OPERATIONAL STATUS
5,1 . ln the past seven (7) years, has your firm, or anyone else acting on behalf of your firm, filed for bankruptcy, insolvency, receivership, or reorganization? nvEs Eruo
lf YES, list the liling date, identify the court and case number; describe the facts and circumstances giving rise to each instance; and set forth the disposition or current status Attach additional sheets as necessary.

5.2 lf YES, list the filing date, and describe the facts and circumstances about each instance Attach additional sheets as necessary.
ls your firm in the process of, or in negotiations toward: (a) consolidating, merging, selling, or closing its business, or (b) laying off employees or reducing staff? nves Euo
lf YES, describe the transaction; list the anticipated date for completing the transaction, laying off employees, or reducing staffi and describe the facts, circumstances, and reason for taking the action. Attach additional sheets as necessary.

6. BIDDING; DEBARMENTT C0NTRACT PERFORIVANCE
6,'1. Has a govemment entity ever debaned, disqualified, removed, suspended, or otherwise prevented you or your firm from bidding on, contracting, or completing a construction prolect?
nves Ero
ln the past five (5) years, has your firm had an consolidations, mergers, acquisitions, closings, layoffs or staff reductions?
Eves trNo

o_t
b,J

6.4 6.5

6.6 lf YES, identity the name of the government entity, list the date, and describe the facts and circumstances about each instance, and state the reason for the government entity's action against your firm. Attach additional sheets as necessary.

Has a government entity ever rejected your firm's Bid or Proposal on the ground that you or your firm is a "non-responsible" bidder or proposer? Eves Eruo
lf YES, identify the name of the govemment entity, list the date, describe the facts and circumstances about each instance, and state the reason or basis for the government entity's determining that your Ilrm was a "non-responsible' bidder. Attach additional sheets as necessary.

Have you or your firm ever failed to fulfrll or perform - either partially or completely - a conkact or an agreement with a govemment entity or a cli€nt? trYES ENo
lf YES, identify the name of the government entity or client, list the date, and describe the facts and circumstances about each instance. Attach additional sheets as necessary. lf YES, list the date, and describe the facts and circumstances about each instance, Attach additional sheets as necessary.

Has your firm ever advised a government entity or a client, while your firm was under contract with the government entity or client, that your firm could not (or would not) fullill or perform - either partially or completely - the contract or the agreement based on the prices that your firm had originally submitted in a Bid or a Proposal? nvrs Eno
lf YES, list the date, identify the name of the government entity or client, and describe the facts and circumstances about each instance. Attach additional sheets as necessary.

Has your firm ever requested a government entity or a client, while your firm was under contract with the government entity or client, to renegotiate one or more terms ofthe existing mntract or agreement?
n YES tr tto
lf YES, identify the name of the government entity or client, list the date, and describe the facts and circumstances about each instance. Attach additional sheets as necessary.

ln the past five (5) years, have you or any officer or principal of your firm been an officer of another firm which failed to perform a conkact or agreement? nvrs trno

6.7 btt

6.9 6.10

INSURANCE AND BONDS
7 .1. ln the past ten years, has an insurance company or a surety company

7.1.1. Refused to insure your lirm for liability coverage? nves Eruo
7 .1.2. Canceled or non+enewed your firm's insurance coverage? nves ENo
7 .1.3. Refused to issue your firm a bond?
Ives Eno
Has your firm ever requested a government entity or a client, while your firm was under contract with lhe government entity or client, to: (a) cancel the contract or agreemenl, or (b) release or discharge your firm form the contract or agreement? Evrs trro
lf YES, identify the name of the government entity or client, list the date, and describe the facts and circumstances about each instance. Attach additional sheets as necessary.

Has a government entity or a client ever terminated, suspended, or non+enewed your firm's contract or agreement before its completion?
trvrs truo
lf YES, identity the name of the government entity, list the date, and describe the facts and circumstances about each instance. Attach additional sheets as necessary.

Has a govemment entity or a client ever notified or advised your firm that your firm's performance under a contract or agreement was poor, sub-standard, deficient, or noncompliant? !ves trru0
lf YES, identify the name of the government entity or client, list the date, and describe the facts and circumstances about each instance. Attach additional sheets as necessary. ln the past five (5) years, has your firm paid, or has your lirm been assessed, liquidated damages on a contract or agreement?
E ves El tto
lf YES, identify all such contracts/projects by owner, owner's address, the date of completion of the prolect, amount of liquidated damages assessed, and all other information necessary to fully explain the assessment or payment of liquidated damages. Attach additional sheets as necessary.
7

8 7.2
SURETY
7 .1.4 Canceled or revoked a bond obtained by your flrm? EYES trruo
lf the answer to any questions in 7.1.1 lo 7.1.4 is YES, identify the name of the insurance company or surety company, list the date, and describe the facts and circumstances about each instance. Attach addition sheets as necessary.
ln the past ten (10) years, has an insurance company or surety company made any payments on your firm's behalf as a result of a default, to satisry any claims against a performance bond, payment bond, or maintenance bond issued on your firm's behalf? EYES trno
lf YES, identify each contract completed or amount of each claim, the name and telephone number of the claimant, the date, grounds and current status of the claim, and if resolved, the method, nature, and amount ofthe resolution. Attach addition sheets as necessary. lf a performance and/or payment bond is required by this bid, identify the bonding company if arrangements for the bond have been made; if not, identify the bonding company for the Contractor's most recent oroiect:

Merchants Bonding'C<impany

8.'1

8.2 Name and address of agent:

Edqewood Partners lnsurance Cente r - Sandv Black (91097+4514 10877 White Rock Rd., Suite 300, Rancho Cordova. CA 95570 All ofthe above statements as to experience, financial quaiilications, and available plant and equipment are submitted in conjunction with the proposal, as a part thereof, and the truthfulness and accuracy of the information is guaranteed by the Bidder.

I hereby certif,/ under penalty of perjury under the laws of the state of California that the representation made herein are true and correct,
Signature of Bidder (/ lu>snc. n a n ustries
-J Scheck/President

BIDDER'S EXPERIENCE FORIV
PROJECT NAME: Pumping Plant Demolition and Site lmprovements SPECIFICATION NO. Contract No. LP-0737 COMPANY NAME: J.D.M.L, lnc. dba Standard lndustries
***Please use additional sheels if necessary
lnviting Bids for this Prolect.

CONTRACT CONTRACT CONTRACT PROJECT NAME AND CONTACT PHONE START DATE END DATE $ AMOUNT AGENCY ADDRESS CONIACT NAME NUI\4BER 04t2a12021 05t20t2021 $51,850
Hauck Mesa
Storage Reservoir
Lavendar Poinl & N Berry Road,
Escondido. CA 92026
Jonathan Hilbun [email protected]
(951) 830-6280
Paciic Hydrotech
Corporation
314 E. 3rd St.

Perris CA 92570
03to2t2022 04t0712022 $70,265
Skyline Water Tank
Replacement
395 Skyline Blvd.

Mlillbrea, CA 94030
Carlos Aguilar [email protected]
(951) 906-9458
Pacific Hydrotech
Corporation
314 E. 3rd St.

Perris CA 92570
o21o712022 03t04t2022 $98,721
Demolition of Reservoir
Tower Tank No. 6858
5150'l Tyler Street
Coachella, CA 92236
Amer M. Hassouneh AHassouneh@cwvd-org
(760) 398-2651
Coachella Valley Water
District
75-515 Honey Lane E
Palm Deset CA 922'l 'l
correct
2 3
Signature of Bidder lo,4laozzPrint name: John eck - President State of California Contractor's License No. 702530
Contractor's License exprration date 02t28t2023

1 All of the above statements as to experience are submitted in conjunction with the proposal, as a part thereof, and the truthfulness and accuracy of the information is guaranteed by the Bidder. I hereby certify under penalty of perjury under the laws of the state of California that the representation made herein are true and

3.3 LIST OF GOVERNMENT PROJECTS
PROJECT NAME:

COMPANY NAME:

Pumping Plant Demolition and Site lmprovements
J.D.M.L, lnc. dba Standard lndustries
SPECIFICATION NO. Contract No. LP-0737

CONTACT NAME

CONTRACT

START DATE

CONTRACT

END DATE

PROJECT NAI/E AND
AGENCY

CONTRACT
$ AMOUNT

CONTACT PHONE
NUMBER
3 08t10t2020 10t07t2020 $290,532
Chandler Well '12 & Croddy
Well 14 Site Demolition
3120 S Croddy Way
40l l WChandlerAve
Karyn lgar
[email protected]
207-5452
Santa Ana CA 92704
Mesa Water District 1 1965 Placentia Ave.

Costa Mesa CA 92627
0212612018 04t06t2018 $498,721
ian Clemente High School
Jpper Campus Demolition
700 Avenida Pico
San Clemenlc CA q2673
dman@capousd org
Josh Readman 949 2
lapistrano Unified
;chool District
33122 Valle Road
San Juan Capistrano CA 92675
09t07t2021 $274,500
Well Site 3 Tank Removal t11 W 'l2th st
\4erced, CA 95341
Nicole Tabares 385-6860
City of i/erced 678 West 18th Skeet
Merced CA 95340

ADDRESS
1 2
0711212021
STANDAfrPD
Departments and Job Descriptions
D em o I iti o n C o ntra cto rs:
1905 Lirio Ave
Ventura. CA 93004
www.standard 1 .com
TITLE NAME YT]ARS
EXPERIEi\-CE RESPONSIBILITES
President John
Scheck 50*years
Responsible for all yard and facility operations and
the demolition division. Oversees all trading and
purchasing functions.

Joe
Scheck 30+years
Responsible for all day to day operations of the
business; including receiving and shipping, quality
control; maintenance ofall equipment and rolling
stock.

Senior
Project
Manager
Randy
Mayes 3 0*years
Responsible for all functions of the demolition
division; including estimating and evaluating
asbestos, lead and hazardous materials, bid analysis,
safety consulting, project coordination. Reports to
the president.

Project
Manager
John
Colborn 25*years
Responsible for all functions of the demolition
division; including estimating and evaluating
asbestos, lead and hazardous materials, bid analysis,
safety consulting, project coordination. Reports to
the president.

Treasurer
Lennie
Scheck
30*years
Responsible for safe and efficient demolition
operations at multiple job sites. Direct work crews as
required.

Office
Manager
Leona
Russian 20+years
Responsible for maintaining company financial
records, personnel files, banking, insurance, bonds,
liens, compliance, etc. Reports to the president.

O State ContractoB' lic #702530
Secretarv

CONTRACTOR SAFETY QU ESTIONNAIRE
Company Name Standard lndustries
Primary Type of Work Demolition and Scrap Recvclinq
Person Completing p6r6. Jeff Corse
Title: EHS Manager Phone Nu rn6sy. 805-414-2269
s21s 611612022

SAFETY PERFORMANCE
List your company's lnterstate Experience Rating [Iodifier (ERM)1 for the three most recent years 20 21
20 20
20 19
79 81
77 2
3 Upon request from the City, the contracto(s) shall provide copies of the following items (a-g); and ltems (dg) for each listed Subcontractor a). OSHA 300 logs for the most recent three years
and current year-to-date
b). Verification of ER[/ from your insurance carrier
c). lnjury/lllness Report
d). Complete written Safety Program
e). Training Plans
f). Training Certiflcates for Employees
g). Emergency Response Training

4. Company Safety Contact:
a. Name Jeff Corse
1 ERM = applies to workers' compensation policies. lt compares the experience of this contractor to others of similar size, type and ratio. Used against annual premium. lt has a direct conelation to how much the mntractor pays in workers'comp premium

1 List your company's number of injuries/illnesses from your OSHA 300 logs for the three most recent years. 2oJ9 20 20 20 21
a. Fatalities 0 0 0
b. OSHA recordable incidents 0 0 0
c. Lost work day incidents 0 0 0
d. Total lost work days 0 0 0
e. Total hours worked 94.826 93J26 67.200
b. Phone 805-414-2269
CONTRACTOR SAFEry QUESTI0NNAIRE (continued)
SAFETY PROGRAI\4
1 SAFETY PROGRAIV DOCUMENTATION
a, Do you have a written safety program manual?
1) Last revision date 0411912021
b. Do you have a written safety field manual?
c. Are all workers given a booklet that contains work rules, responsibilities, and other appropriate information?
POLICY AND IVIANAGEI\,4ENT SUPPORT
a. Do you have a safety policy statement from an officer of the company?
b. Do you have a disciplinary process for enforcement
of your safety program?
c. Does management set corporate safety goals?
d. Does executive management review:

Accident reports?
Safety statistics?
! Inspection reports?
e. Do you safety pre-qualify subcontractors?
I Do you have a written policy on accident reporting
and investigation?
g. Do you have a lighlduty, return-to-work policy?
h. ls safety part of your supervisor's performance evaluation? i. Do you have a personal protective equipment (PPE) policy? k. Does each level of management have assigned safety
duties and responsibilities?
Do you have a written substance abuse program?
lf yes, does it include (check all applicable boxes):

E Pre-employment testing n Return-to-duty testing
! Random testing ! Disciplinary process
! Reasonable cause testing E Alcohol testing
No
No
No
No
No
@*.
&
@
No
No
No
No
No
No
No
E Post accident testing E National lnstitute on Drug Abuse ! Panel Screen
@*o

Circle One
@no

2. 3 TRAINING AND ORIENTATION
a. Do you conduct safety orientation training for each
employee?
b. Do you conduct site safety orientation for every
person new to the job site?
c. Does your safety program require safety training meetings? for each supervisor (foreman and above)?
How often?
I Weekly E Monthly E Quarterly ! Annually !
d. Do you hold tool box/tailgate safety meetings
focused on your specific work operations/exposures?
How often?
I weet<ty ! oaity E otner
e. Do you require equipment operation/certilication training?

ADMINISTRATION AND PROCEDURES
a. Does yourwntten safety program address
administratrve procedures?
lfyes, check which apply:

X_ Pre projecUtask planning
L Record keeping
L Safety committees

LHAZCOM
Subslance abuse orevention -X
Return-to-work
No
No
X Emergency procedures
X Audits/inspections
X Accident investigations/reporting
L Training documentation
.L Hazardous work permits
_ Subcontractor prequalifi cation
No
No
No
No
Other
@*o
4 b. Do you have project safety committees?
c. Do you conductjob site safety inspections?
How often?
E Daily E Weekly E [ilonthly E other
Do these inspections includes a routine safety
inspection of equipment (e.9., scaffold, ladders, fire
extinguishers, etc.)?
d. Do you investigate accidents?
How are they reported?
I Total company
@*o
By project
By foreman
By superintendent
By prolect manager
ln accordance with OSHA
e. Do you discuss safety at all preconstruction and progress meetings? No

f. Do you perform rigging and lifting checks prior to lifting? ($ No ! For personnel I For equipment ! Heavy liftsJ]more than 10,000 lbs.) 5,
6 WORK RULES
Do you periodically update
When was the last update?
a work rules?
4t1912021
No
b What work practices are addressed by your work rules? I CPR#irst aid E Access-entrances/stairs
E Barricades, signs X Respiratory protection
and signals
Blasting
Communications
Compressed air and gases
Concrete work
Confined-space entry
Cranes/rigging and hoisting
Electrical grounding
Environmental controls and
Occupational health
Emergency procedures
Fire protection and prevention
Floor and wall openings
Fall protection
Housekeeping
E Ladders and scaffolds
Mechanical equipmenV
maintenance/pre-op checks/
operation
K Welding and cutting (hot work) E other
[ [Iaterial handling/storage
! Temporary heat
E Vehicle safety
E Traffic control
E Site visitor escorting
E Public protection
I Equipment guards and grounding
E lvlonitoring equipment
@*o
E Flammable material handling/storage
Site sanitation
I Trenching and excavating
E Lockout/Tagout
I Energized/pressurized equipment
X Personal protective equipment
E Tools, power and hand
X Electrical power lines
tr
K
tr
K
K
E
E
E
K

OSHA INSPECTIONS
a. Have you been inspected by OSHA in the last three years? b. Were these inspections in response to complaints? ves@ c. Have you been cited as a result of these inspections? lf yes, describe the citations (add additional sheets if necessary) 5 total violations were written. Various from recordkeeping and reporting and training, All violations were corrected and submitted to Ca|-OSHA and accepted. 0

NAME OF BIDDER

DESIGNATION OF SUBCONTRACTORS
J.D.M.L, lnc. dba Standard lndustries
Each Bidder must list, on the form provided on the next page, each Subcontractor who will perform work or labor or render service to the Contractor in or about the construction of the Work or improvement, or a Subcontractor licensed in the State of California who, under subcontract to the Contractor, specially fabricates and installs a portion of the Work or improvement according to detailed drawings contained in the Drawings and Speciflcations, in an amount in excess of one-half of one percent of the Contractor's Base Bid Amount. Each Subcontractor must have an active and cunent license, and all requisite specialty certifications, when listed.

Bidder must provide the following information for EACH Subcontractor. '1 . The name of the Subcontractor;

2. The trade and type ofwork that the Subcontractor will perform;

4. Subcontractor's license number; and any specialty licenses; and Subletting or subcontracting of any porlion of the Work in excess of one-half of one percent of the Contractot's Base Bid to which no Subcontractor was designated in the original Bid shall only be permitted in cases of public emergency or necessity, and then only after a finding reduced to wnting as a public record of the City setting forth the facts constituting the emergency or necessity.
lf the Contractor violates any of the above provisions the Contractor may be in breach of thjs Contract and the City may exercise the option, in its own discretion, to (1) cancel this Contract, or (2) assess the Contractor a penalty in an amount not more than ten percent (1070) of the amount of the subcontract involved, and this penalty shall be deposited in the fund out of which the prime Contract is awarded. lf the Contractor fails to specify a Subcontractor, or if the Contractor specifies more than one Subcontractor for the same trade or type of Work to be performed under the Contract in excess of one-half of one percent ofthe Contractor's Base Bid Amount, then the Contractor agrees that he/she is fully qualified to perform that Work himself/herself, and that he/she shall perform that Work himself/herself. lf after award of Contract, the Contractor subconhacts any such Work, the Contractor will be subject to the statutory penalties.

DESIGNATION OF SUBCONTRACTORS FORM

IS ON THE FOLLOWING PAGE

3. Location (address) of Subcontractor's place of businessi

5. Dollar value of the Work that the Subcontractor wrll perform.

CONTRACTOR'S AFFIDAVIT OF NON-COLLUSION

STATE OF CALIFORNIA )

COUNTY OF VENTUTA
)ss
)
John Scheck being first duly sworn, deposes and says

1. That he/she is the President (Title of office if a corporation, "sole owner," "Partner," or other propertitle) of J.D.M,L, lnc. dba Standard Industries (hereinafter called'Conkactor") who has submitted to the City of Vernon a Bid for the construction of the Pumping Plant Demolition and Site lmprovements;

2. That said Bid is genuine; that the same is not sham; that all statements of fact therein are true;

3. That said Bid is not made in the interest or behalf of any person, partnership, company, association, organization, or corporation not named or disclosed;

4. That Contractor did not, dhectly or indkectly induce, solicit, agree, collude, conspire or contrive with anyone else to submit a false or sham bid, to refrain from bidding, or withdraw his/her bid, to raise or fix the Bid price of Contractor or of anyone else, or to raise or fix any overhead profit, or cost element of Contracto/s price or the price of anyone else; and did not attempt to induce action prejudicial to the interests ofthe City ofVernon, or ofany other Bidder, or anyone else interested in the proposed Contract;

5. That the Conkactor has not in any manner sought by collusion to secure for himself an advantage over any other Bidders or induce action prejudicial to the interests of the City of Vernon or ofany other Bidder, or anyone else interested in the proposed Contract;

6. That the Contractor has not accepted any bid from any Subcontractor or material supplier through any bid depository, the bylaws, rules or regulations of which prohibit or prevent the Contractor from considering any bid from any Subcontractor or material supplier, which is not processed through said bid depository, or which prevent any Subcontractor or material supplier from bidding to any Contractor who does not use the facilities of or accept bids from or through such bid depository;

7. That the Contractor did not, directly or indirectly, submit the Contracto/s Bid price or any breakdown thereof, or the contents thereof, or divulge information or data relative thereto, to any mrporation, partnership, company, association, organization, bid depository, or to any member or agent thereof, or to any individual or group of individuals, except to the City of Vernon, or to any person or persons who have partnership or other financial interest with said Contractor in his/her business.

I declare under penalty of pedury under the laws of the State of California that the foregoing is kue and correct.

Dated this e,lY\day ot June2022 at Ventura
[Ionthffear
J.D.M.L, lnc. dba Standard lndustries
City State
Contractor Please Print
- John Scheck
ature
resident
Tifle

CONTRACTOR'S SIGNATURE IVUST BE NOTARIZED
CA

A notary public or other officer completing this
certificate verifies only the identity of the individual who signed the document to which this certiflcate is
attached, and not the truthfulness, accuracy, or
validity of that document.

State of California
County of Ventura
on 612412022 before me, Leona Maria Russian, Notary Public (insert name and title of the officer)
personally appeared John Scheck
who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument.

I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct.

WITNESS my hand and official seal
@,.,
LEolu LaRll tussllN
Not ry Publi( ' Caltforni.
lblltun County
Coomltrion r 2l3lll0
Cor.m. Exrir.s 0<t 23 202a
I
1 Signature (Seal)

ACKNOWLEDGMENT
l
14 I
\lr!
THE BIDDER,S INSURANCE COMPANY(S) OR INSURANCE AGENT MUST COI\,4PLETE THIS FORM AND
THE BIDDER MUST SUBMIT THIS CERTIFICATION WITH THE BID FORMS. l, the undersigned (Please check one box) underwritey'agent, certify that I and the Contractor listed below have jointly reviewed the "lnsurance Requirements" in these Bidding Documents and the Contract Documents. lf the Cityof Vernon ("City") awards the Contractor the Contract for this project, I will be abl+-within fourteen (14) calendar days after the Contractor is notified of the Contract's award-to furnish the City with valid insurance forms (including one or more insurance certificates and additional insured endorsements) that fully meet all of the lnsurance Requirements.

CB Specialty Insurance Services 611712022
Name of Insurance Company
Amy Cowan
Date
Amy Cowan
Insurance Agent's Name (Printed)
(signature) ,1na-&^ra*
v
1800 19th Street
lnsurance Agent's Name
Bakersfield cA 93301
Address
66'1-283-8100
City State Zip Code
[email protected]
Telephone Number
J.D.M.L.. Inc. dba Standard Industries LP-0737
Contracto/s Name City Specifi cation Number
Below State the Nane of lnsurance Company Providing Coverage:

DO NOT write "Will Provide,'"To Be Determined," "When Required," or similar phrases.

National Union Fire lns Co of Pittsburgh, PA NatonalUnDn Frc lns Co ol Pittsburgh, PA Commercial General Liability
National Union Fire lns Co of Pittsburgh, PA
Automobile Liability
Workers' Compensation Liability
Citv Will Purchase Poli CV, if reouired
Builders Risk Pollution Liability
[NOTE TO CONTRACTOR: See 'lnsurance Requirements' EXHIBII A4 of the Contract for the requirement of obtaining Pollution Liability lnsurance.l
NOTE TO THE UNDERWRITER / AGENT: lf the insurance forms that the Contractor submits to the City do not fully comply with the lnsurance Requirements, and/or if the Conhactor fails to submit the forms within the 14-day time limit, the City may: (1)declare the Contractor's Bid non-responsive, and (2)award the Contract to the next lowest responsible Bidder.

EmailAddress

CERTIFICATE OF EQUAL OPPORTUNITY PRACTICES
City of Vernon
4305 Santa Fe Avenue
Vernon, CA 90058
(323) s83-8811
Website: www.ci ofuernon.o
Article I. Affidavit of Equal opportunity Employment &
Non-segregation (Form PA-1)
Article II. Vendor List Questionnaire (Forms AA-2 & 3)
In order to be placed to the City's vendor list and be eligible to receive City business, you must provide the following information except where indicated as "optional." By submitting this form you are declaring under penalty of perjury under the laws of the State of California and the laws of the United States that the information is true and correct. Furthermore, you are certifying that your firm will adhere to equal opportunity employment practices to assure that applicants and employees are not discriminated against because of their race, religion, color, national origin, ancestry, disability, sex or age. And, your firm does not and will not maintain or provide for its employees any segregated facilities at any of its establishments, and that it does not and will not permit its employees to perform their services at any location, under its control, where segregated facilities are maintained.

Name of Company: J.D.M.L, lnc. dba ndard lndustries
Business Telephone: 805-543-6669
Address: '1905 Lirio Avenue
City: Ventura State: CA Zip 93004
Contact Person Leona Russ n E-mail Address LEONA@STANDARD'I. coM (optional)
Tax ID Number (or Social Security Number) 93-09898523
Remit Address (if different)
1905 Lirio Avenue Ventura CA 93004
Please state clearly and concisely the type(s) of goods and services your company provides:

Demolition, Gradino and Recvclino
The following section is oPTIONAL and is for statistical reporting purposes only. ownership (please check all that apply):

African-American- Asian- Armenian- Hispanic- NativeAmericanDisabled- FemalePage 57 of 175 Proiect Workforce Utilization (Form AA-2)
This form is to be included in all bid documents for projects involving labor or services valued at $25,000 or more.

Instructions: Please indicate the job titles/classifications to be used in the performance of this contract should it be awarded to your firm. Please indicate the number of employees in each job classiflcation as well as the number of new hires, if any, as a result of this contract.

Name of Company . J.D.M.L, lnc. dba Standard lndustries Project: Pumpinq Plant Demolition and Site lmprovements. Specilication No. (LP-0737) Job Titles/Classiflcation Estimated number of existing staff to be employed in this classification if awarded the contract
Estimated number of new hires to be employed in
this classification if awarded the contract

DEMOLITION LABOR J
DEMOLITION OPERATOR 1
FENCING LABOR 4
PAVING LABOR 4
PAVING OPERATOR 1
Are any current employees or potential
new hires Vernon residents? If so, how
many? NO.

DESIGNATION OF SUBCONTRACTORS
Please type or legibly print (attach additional sheets as necessary) Name of Subcontractor Email Contact
lnformation
Trade and Type
of Work to be
Performed
Business Location
Ben's Asphalt,Inc. Daniel.Appleganh\41
bensasphalt.com
Paving 2200 S. Yale St
Santa Ana CA 92704
Magnum Fence and Security, Inc. ralph(.!maSnumfcncc.com Fcncing 1070 N. Ventura AYc Ventura. CA 93001
venTf, RRA Environmental, Inc. [email protected] Abatcment 301 Candelaria Rd Oxnard. CA 93030
License
Number
Public Works
Contractor
Registration
Number
Dollar ($)Value
668417 1000001749 s66.,1I l.6f
719567 1000010033 $206,622
989629 100002t 207 $6,000

The Contractor shall not:

A. Substitute any person as Subcontractor in place ofthe Subcontractor listed in the original Bid, exceptthat the City may consent to the substitution of another person as Subconhactor in any of the following situations:

When the Subcontractor listed in the Bid, after having had a reasonable opportunity to do so, fails or refuses to execute a written contract for the scope of Work specified in the Subcontractor's bid and at the price specilied in the Subcontractor's bid, when that wntten contract, based upon the general terms, conditions, Drawings and Specifications for the Pro1ect or the terms of Contracto/s written Bid, is presented to the Subcontractor by the Contractor;

2. When the listed Subcontractor becomes insolvent or the subject of an order for relief in bankruptcy;

4. When the listed Subcontractor fails.or refuses to meet the bond requirements of the Contractor as set forth in Public Contract Code Section 4108;

5. When the Contractor demonstrates to the City that the name of the Subconhactor was listed as the result of an inadvertent clerical error:

6. When the listed Subcontractor is not licensed pursuant to the Contractors License Law;

7. When the City determines that the Work performed by the listed Subcontractor is substantially unsatisfactory and not in substantial accordance with the Drawings and Specifications, or that the Subcontractor is substantially delaying or disrupting the progress of the Work;

8. When the listed Subcontractor is ineligible to work on a public works prqect pursuant to Section 1777 .1 ot 1777 .7 ol lhe Labor Code; or

9. When the City determines that the listed Subcontractor is not a responsible contractor.

B. Permit any subcontract to be voluntarily assigned or transfened or allow it to be performed by anyone other than the onginal Subcontractor listed in the original Bid, without the consent of the City.

C. Other than in the performance of'change orders" causing changes or deviations from the original Contract, sublet or subcontract any portion of the Work in excess of one-half of one percent of the Contracto/s Base Bid Amount as to which his/her original Bid did not designate a Subcontractor.

Prior to approval of the Contracto/s request for a Subcontractor substitution, the City shall give notice in writing to the listed Subcontractor of the Contractods request to substitute and of the reason for the request. The notice will be served by certified or registered mail to the last known address of the Subcontractor. The listed Subcontractor who has been so notified shall have five (5) Working Days within which to transmit to the City wriften objections to the substitution. Failure to Iile these written objections shallconstitute the listed Subcontracto/s consent to the substitution. lf written objections are liled, the City shall give notice in writing of at least five (5) Working Days to the listed Subcontractor of a hearing by the City on the Contractor's request for substitution.

The Contractor, as a condition to asserting a claim of inadvertent clerical error in the listing of a Subcontractor, shall within two (2) Working Days after the time of the Bid Deadline, give written notice to the City and copies of such notice to both the Subcontractor he/she claims to have listed in error and the intended Subcontractor who had bid to the Contractor prior to the Bid Deadline.

3. When the listed Subcontractor fails or refuses to perform his/her subcontract;

E TI NNAIRE RE DIN B NTRA T R
No
Bidder shall answer the following questions and submit with his/her Contract proposal '1. Were bid depository or registry services used in obtaining subcontractors bid ures in order to compute your bid? Yes E No
lf the answer to No. 'l is "Yes', please forward a copy of the rules of each bid depository you used with this questionnaire.

3. Did you have any source of subcontractors' bids other than bid depositories? Has any person or group threatened you with subcontractor boycotts, union boycotts, or other sanctions to attempt to convince you to use the services or abide by the rules of one or more bid depositories? 2 4.
8 YeS
lf the answer to No. 4 is Yes", please explain the following details:

Date:

Name of person or group:

Job involved (if applicable):

Nature of the threats:

Additional comments:
(Use additional paper if necessary)

6. Was a conscious effort made to recruit or provide equal opportuni for bids by minority or prqect area subcontractors? Yes t'lo E

7. Was a conscious effort made to recruit and hire project area lower-income residents? YesE NoE Please submit statement.

We declare under pena ty of pequry that the foregoing is true and correct. oateo mis lLJso ay of June ,2a22
All ofthe above statements as to experience, financial qualifications, and available plant and equipment are submitted in conjunction with the proposal, as a part thereof, and the truthfulness and accuracy of the information is guaranteed by the bidder.

Na Com nyJ
President
.D.M.L, lnc. dba Standard lndustries
John Scheck
x

5 (a)
(b)
(c)
(d)
(e)

BIDDING ADDENDA NOS. 1

VERNON PUBLIC UTILITIES
4305 S. Santa Fe Avenue, Vernon, California 90058
Telephone (323) 583-8811
June 15, 2022
NOTICE TO BIDDERS – ADDENDUM NO. 1

PUMPING PLANT DEMOLITION AND SITE IMPROVEMETNTS
This notice shall be considered as Addendum No. 1 to the Request for Bids for Pumping Plant Demolition and Site Improvements. This addendum modifies the original Request for Bids as noted below. All other portions of the Request for Bids not specifically mentioned in the Addendum, remain in force.

Bidder’s Proposal:

In the BIDDER’S PROPOSAL, Item 3 was modified. Replace page 31 of the SCHEDULE OF BID PRICES in its entirety with the following page(s):

SCHEDULE OF BID PRICES
PROJECT: Pumping Plant Demolition and Site Improvements, Specification No. (LP-0737) BIDDER’S NAME: _________________________________________________

BASE BID
Pursuant to and in compliance with your Notice Inviting Bids and Contract Documents relating to the Project including all Addenda (attach signed copies), Bidder, having become thoroughly familiar with the terms and conditions of the Contract Documents and with local conditions affecting the performance and the costs of the Work at the place where the Work is to be done, hereby proposes and agrees to fully perform the Work within the time stated in strict accordance with the Contract Documents (including the furnishing of any and all labor, materials, tools, expendable equipment, and utility and transportation services necessary to fully perform the Work and complete it in a workmanlike manner) for the total Base Bid sum of:
________________________________________________ Dollars ($_____________________) All other work items, labor, materials, tools and incidentals which are not specifically listed in the above bid items, but are necessary to complete the project per specifications, and all other applicable standards and codes are considered to be included in the above bid items.

If there is a discrepancy between (1) the “Grand Total” shown immediately above, (2) any of the “total costs” shown in the far right column above, or (3) the individual Unit Price, then the Unit price shall control over the total cost, and the total cost shall control over the total. If, however, the unit price is ambiguous, unintelligible, or uncertain for any cause, Item
No.   Description  Units  Quantity Unit Cost  Amount
1  Mobilization and Demobilization  LS  1
2 Demolish two 500,000 gallon steel reservoirs,
pump house building, structure foundations, and
associated pipe materials and appurtenances
LS  1
3 Remove all existing AC pavement and CMB.

Install new CMB and new AC pavement as shown
on the grading plans.

LS  1
4 Remove existing perimeter chain link fence and
gates
LS  1
5 Install new perimeter security fence system and
gate
LS  1
Bid
Total     $
Written
Amount     $

END OF SECTION (PAGE LEFT INTENTIONALLY BLANK)
This portion of the addendum is to provide clarification to questions that have arisen during advertisement. The questions and responses are as follows:

How should abandoned underground pipe be abandoned?
All abandoned pipes larger than 4” in diameter should be plugged with concrete. Cost for this should be included in the most appropriate bid item.

Who is responsible for dewatering the Reservoirs?
Approximately three feet of water and other miscellaneous debris were encountered within each reservoir. Contractor will be responsible for dewatering. Water may be discharged to the on-site storm drain system. Trash and other debris must be filtered and appropriately disposed of. Cost for this should be include in the most appropriate bid item.

Will the Contractor need to get a permit with the adjacent railroad company to perform work? LAJ will need to be notified of the work. Permits shall be required by LAJ.

Low voltage and communication are connected to the pump house building. Will these be removed prior to demolition?
Prior to construction, the City will vacate the pump house building. Power and communications will be disconnected to the building to be demolished.

Will the catch basins need to be adjusted to grade?
Yes. All catch basins will need to be adjusted to new finished grade. A new catch basin may need to be provided to replace the existing above ground catch basin. Cost for this should be include in the most appropriate bid item.

What is the Engineer’s Estimate for this project?
Engineer’s estimate for this project is $200,000.00-$250,000.00.

Can you confirm if the existing tank foundation is a concrete ring or complete concrete foundation and also provide the thickness.

Record drawings of this facility do not show any detail of the foundation. Larger City owned reservoirs built around the same time were built with foundations composed of an outer concrete ring foundation and compacted soil in the center.

According to the bid sheet and grading plan please confirm that the district is requesting the complete removal of the existing AC paving which is assumed to be 4in also the complete removal of existing CMB which is assumed to be 4in. Then grade the site and compact the subgrade followed by placing 4in of new CMB and 4in of new AC.

See the revised bid schedule. Contractor will be responsible for complete removal of existing AC and CMB. Contractor will then install new CMB and AC as shown on the grading plans.

City Council Agenda Item Report
Submitted by: Adriana Ramos
Submitting Department: Public Utilities
Meeting Date: August 2, 2022

SUBJECT
Professional Services Agreement with Bell Burnett & Associates (BB&A) for Specialized Natural Gas Advisory Services
Recommendation:

A. Find that the proposed Services Agreement with BB&A is exempt from competitive selection pursuant to Vernon Municipal Code (VMC) Section 3.32.110 as the best interests of the City are served by a direct award of the contract without a competitive selection process; and
B. Approve and authorize the City Administrator to execute a Professional Services Agreement with BB&A, in substantially the same form as submitted, to provide specialized natural gas advisory services in connection with the planning and implementation of a Natural Gas Procurement Strategy and Energy Risk Management Policy, in an amount not to exceed $100,000.

Background:

Vernon Public Utilities (VPU) serves as an essential resource to the city's business community, providing a full range of dependable, high-quality utility services including water, electricity, natural gas and fiber optic services. As a natural gas and electricity provider, VPU has significant natural gas procurement requirements for its retail customer gas load as well as for its operation of the newly acquired natural gas powered Malburg Generating Station (MGS). In an effort to ensure current best utility practices are being applied, VPU is reviewing its Natural Gas Procurement Strategy (NGPS) and aims to update the Energy and Credit Risk Management Policy adopted by City Council on April 3, 2012 via Resolution No. 2012-45.

On June 7, 2022, City Council approved VPU's annual operating budget and the capital improvement plan for Fiscal Year (FY) 2022-23 via Resolution No. 2022-15. Included in that adoption was an assumption the yearly average forecast natural gas price would be approximately $6 per MMBtu (the standard measurement of a unit of gas). This cost equates to a total budgeted amount of nearly $41,000,000 to generate electricity at MGS and to supply gas service to VPU’s retail customers. This conservative assumption at the time the budget was developed is now presenting a significant challenge for VPU given that unprecedented instability in natural gas supplies is disrupting normal market prices. Impacts caused by supply chain issues from the COVID-19 Pandemic are now compounded by natural gas sanctions imposed in response to Russia’s invasion of Ukraine. Russia is the second largest producer of natural gas globally. This puts tremendous demand on the rest of the global gas supply, driving prices upward. With volatile natural gas prices this calendar year reaching as high as $12 per MMBtu, VPU does not anticipate any immediate relief through the balance of the summer months. Given the global market forces and current market volatility, VPU’s NGPS needs to be more nuanced and sophisticated to mitigate risk and ensure the economic generation of electricity at MGS.

Considering the uncertainty surrounding natural gas prices and keeping in mind the long-term procurement contracts of the past, VPU requires specialized advisory services to develop a NGPS and to update the Energy and Credit Risk Management Policy. These measures will mitigate risk and reduce the financial exposure in procuring natural gas moving forward. The objective of the NGPS is to clearly define potential strategies and steps for consideration as VPU evaluates and manages its natural gas requirements and risk parameters for FY 2023-24 and beyond. The focus of the NGPS is to provide a series of recommendations that can be implemented over time to provide clear direction to staff moving forward on the optimal approach to natural gas procurement under more diverse market conditions.

BB&A is a financial management and strategic consulting firm serving the utility industry with the financial expertise necessary to construct a procurement strategy in this volatile market.

They offer independent development, assessment, and execution of strategic plans and initiatives in the private and public sectors. BB&A’s team comprises long-term industry veterans with over seventy years of experience working at the highest levels in the utility, banking, and consulting industries. BB&A’s principals have significant experience in developing and delivering large-scale, complex capital projects utilizing various financial strategies, including strategy analysis, cashflow modeling and management, and project financing and delivery. The City has used the services of BB&A in the past to assist with the re-purchase of MGS.

Scope of Services & Fee Structure
BB&A has proposed to assist VPU with developing and executing an NGPS, including identifying meaningful considerations and risks. BB&A’s services would fall into the following three primary areas:

1. Review and quantification of the current environment;

2. Evaluation and development of strategies for VPU in managing gas supply risk moving forward; and

3. Implementation of any recommendations with which VPU elects to proceed.

Based on the fee structure of the proposed agreement, VPU would pay BB&A a fixed cost of $100,000. The Fixed Fee shall be payable 50% upon adoption of the Energy Risk Management Policy by City Council and 50% on December 31, 2022. As noted in the Agreement, BB&A's fee is comparable to rates offered to other entities for comparable specialized services.

The proposed agreement is exempt from competitive bidding pursuant to Vernon Municipal Code (VMC) Sec. 3.32.110 (A)(10) (contracts for professional services). Staff requests that the proposed agreement be exempt from competitive selection pursuant to VMC Sec. 3.32.110 (B)(2), given the specialized nature of the services rendered in addition to market volatility dictating swift, diligent action to mitigate significant financial risk. BB&A's familiarity with natural gas procurement strategies as well as their experience with financial trading firms will help to ensure that VPU mitigates the volatile gas market. It is in the best interests of the City to award this contract without a competitive selection process. City Council approval of the proposed Agreement with BB&A is required pursuant to VMC Sec.3.32.030 (B) as the total amount of contracts awarded to this vendor in the past twelve months exceeds $100,000.

The term of the Services Agreement will be for a period of six months, and any extension or amendment of the agreement would be subject to written amendment and requisite City approvals. The proposed Services Agreement has been reviewed and approved as to form by the City Attorney’s office.

Fiscal Impact:

Sufficient funds are available in the Vernon Public Utilities, Electric Fund Administration Account No. 055.9000.596200.

Attachments:

1. Services Agreement with Bell Burnett & Associates

SERVICES AGREEMENT BETWEEN THE CITY OF VERNON AND BELL BURNETT &

ASSOCIATES FOR NATURAL GAS ADVISORY SERVICES

COVER PAGE
Contractor: Bell Burnett & Associates
Responsible Principal of Contractor: R. Alexander Burnett, Principal Notice Information - Contractor: Bell Burnett & Associates 26 Broderick St
San Francisco, CA 94117
Attention: R. Alexander Burnett, Principal
Email: [email protected]
Notice Information - City: City of Vernon
4305 Santa Fe Avenue
Vernon, CA 90058
Attention: Carlos Fandino,
City Administrator
Telephone: (323) 583-8811 ext. 228
Commencement Date: June 20, 2022
Termination Date: December 31, 2022, subject to Section 4.0 herein
Consideration: Total not to exceed $100,000.00 (includes all applicable sales tax); and more
particularly described in Exhibit A
Records Retention Period Three (3) years, pursuant to Section 11.20

SERVICES AGREEMENT BETWEEN THE CITY OF VERNON AND BELL BURNETT &

ASSOCIATES FOR NATURAL GAS ADVISORY SERVICES
This Agreement is made between the City of Vernon, a California charter City and California municipal corporation (City), and Bell Burnett & Associates, a California corporation (Contractor).

The City and Contractor agree as follows:

1.0 EMPLOYMENT OF CONTRACTOR. City agrees to engage Contractor to perform the services as hereinafter set forth as authorized by the City Council on August 2, 2022.

2.0 SCOPE OF SERVICES.

2.1 Contractor shall perform all work necessary to complete the services set forth in Contractor's Engagement Letter (Engagement Letter) dated June 20, 2022, Exhibit A, a copy which is attached to and incorporated into this Agreement by reference.

2.2 All services shall be performed to the satisfaction of City.

2.3 All services shall be performed in a competent, professional, and satisfactory manner in accordance with the prevailing industry standards for such services.

3.0 PERSONNEL.

3.1 Contractor represents that it employs, or will employ, at its own expense, all personnel required to perform the services under this Agreement.

3.2 Contractor shall not subcontract any services to be performed by it under this Agreement without prior written approval of City.

3.3 All of the services required hereunder will be performed by Contractor or by City approved subcontractors. Contractor, and all personnel engaged in the work, shall be fully qualified and authorized or permitted under State and local law to perform such services and shall be subject to approval by the City.

4.0 TERM. The term of this Agreement shall commence on June 20, 2022, and it shall continue until December 31, 2022, unless terminated at an earlier date pursuant to the provisions herein (Term). The Term of the Agreement shall be subject to extension as mutually agreed upon by both parties in writing.

5.0 COMPENSATION AND FEES.

5.1 Contractor has established rates for the City of Vernon which are comparable to rates offered to other entities for comparable services. For satisfactory and timely performance of the services, the City will pay Contractor in accordance with the payment

requirements set forth in Exhibit A attached hereto and incorporated herein by reference (Fees and Expenses).

5.2 Contractor's grand total compensation for the entire term of this Agreement, shall not exceed $100,000.00 without the prior authorization of the City, as appropriate, and written amendment of this Agreement.

5.3 Contractor shall, at its sole cost and expense, furnish all necessary and incidental labor, material, supplies, facilities, equipment, and transportation which may be required for furnishing services pursuant to this Agreement. Materials shall be of the highest quality. The above Agreement fee shall include all staff time and all clerical, administrative, overhead, insurance, reproduction, telephone, air travel, auto rental, subsistence, and all related costs and expenses.

5.4 City shall reimburse Contractor only for those costs or expenses specifically approved in this Agreement, or specifically approved in writing in advance by City.

Unless otherwise approved, such costs shall be limited and include nothing more than the following costs incurred by Contractor:

5.4.1 The actual costs of subcontractors for performance of any of the services that Contractor agrees to render pursuant to this Agreement, which have been approved in advance by City and awarded in accordance with this Agreement.

5.4.2 Approved reproduction charges.

5.4.3 Actual costs and/or other costs and/or payments specifically authorized in advance in writing and incurred by Contractor in the performance of this Agreement.

5.5 Contractor shall not receive any compensation for extra work performed without the prior written authorization of City. As used herein, “extra work” means any work that is determined by City to be necessary for the proper completion of the Project, but which is not included within the Scope of Services and which the parties did not reasonably anticipate would be necessary at the time of execution of this Agreement. Compensation for any authorized extra work shall be paid in accordance with the payment schedule as set forth in Exhibit “A,” or as mutually agreed by both parties in writing if, and only if, the extra work has been approved by the City.

5.6 Licenses, Permits, Fees, and Assessments. Contractor shall obtain, at Contractor’s sole cost and expense, such licenses, permits, and approvals as may be required by law for the performance of the services required by this Agreement. Contractor shall have the sole obligation to pay for any fees, assessments, and taxes, plus applicable penalties and

interest, which may be imposed by law and which arise from or are necessary for the performance of the Services by this Agreement.

6.0 PAYMENT.

6.1 As scheduled services are completed, Contractor shall submit to the City an invoice for the services completed, authorized expenses, and authorized extra work actually performed or incurred according to said schedule in accordance with the terms in Exhibit A and incorporated by reference herein.

6.2 Contractor shall submit an invoice for the Monthly Retainer, if any, as described in Exhibit A, and incorporated by reference herein, on a monthly basis. Each such invoice shall provide a detailed description of reimbursable expenses incurred and any extra work performed.

6.3 Contractor understands and agrees that invoices which lack sufficient detail to measure performance will be returned and not processed for payment.

6.4 City will pay Contractor the amount invoiced for the Monthly Retainer within thirty (30) days after the City approves the invoice.

6.5 Contractor shall submit an invoice for Milestone Payments, if any, as described in Exhibit A, and incorporated by reference herein, only upon a successful achievement of any such milestone as described in Exhibit A and incorporated by reference herein (Milestone Payments).

6.6 Upon the City’s determination of successful achievement, City will pay Contractor the Milestone Payments, if any, via wire transfer.

6.7 Payment of such invoices shall be payment in full for all services, authorized costs, and authorized extra work covered by that invoice.

7.0 CITY'S RESPONSIBILITY, COOPERATION AND REPRESENTATIONS. City shall cooperate with Contractor as described in Exhibit A and as may be reasonably necessary for Contractor to perform its services; and will give any required decisions as promptly as practicable so as to avoid unreasonable delay in the progress of Contractor's services. City has reviewed the obligations, covenants, conditions precedent, requirements and representations made by the City to the Contractor in Exhibit A in its entirety (the “Representations”) and incorporated by reference into the Agreement herein. In accordance with this Section 7, the City affirmatively provides the Representations to the Contractor, and the Contractor may rely upon such the Representations in the fulfillment and execution of the Agreement.

8.0 COORDINATION OF SERVICES. Contractor agrees to coordinate with Contractor as described in Exhibit A and to work closely with City staff in the performance of

Services and shall be available to City’s staff, consultants, and other staff at all reasonable times.

9.0 INDEMNITY. Contractor agrees to indemnify City, its officers, elected officials, employees and agents against, and will hold and save each of them harmless from, any and all actions, suits, claims, damages to persons or property, losses, costs, penalties, obligations, errors, omissions or liabilities (herein “claims or liabilities”), including but not limited to active negligence or willful misconduct, that may be asserted or claimed by any person, firm or entity arising out of or in connection with the work, operations or activities of Contractor, its agents, employees, subcontractors, or invitees, provided for herein, or arising from the acts or omissions of Contractor hereunder, or arising from Contractor’s performance of or failure to perform any term, provision, covenant or condition of this Agreement, except to the extent such claims or liabilities arise from the gross negligence or willful misconduct of City, its officers, elected officials, agents or employees.

9.1 City agrees to indemnify Contractor, its officers, employees and agents against, and will hold and save each of them harmless from, any and all actions, suits, claims, damages to persons or property, losses, costs, penalties, obligations, errors, omissions or liabilities (herein “claims or liabilities”) arising from the City’s active negligence or willful misconduct.

10.0 INSURANCE. Contractor shall at its sole cost and expense procure, provide and maintain, and shall require each subcontractor (regardless of tier) to procure, provide and maintain, in effect during the performance of the Scope of Services under this Agreement insurance coverage with carriers reasonably satisfactory to the City, as follows:
(a) Workers’ Compensation insurance, as required by the laws of the State of California and in accordance with statutory limits, as required by the state in which the Scope of Services are to be performed, including a waiver of subrogation favoring the City, and Employer’s Liability insurance with limits of not less than one million dollars ($1,000,000) each employee for accident, $1,000,000 each employee for disease, and $1,000,000 policy limit for disease.
(b) Commercial General Liability insurance providing coverage for bodily injury, property damage, personal injury, advertising liability, blanket contractual liability, Contractor’s obligations under this Agreement, products and completed operations, and coverage for independent contractors with limits of not less than one million dollars ($1,000,000) for each occurrence, an annual aggregate of two million dollars ($2,000,000), and a products/completed operations aggregate of two million dollars ($2,000,000). Such policy shall cover the City as an

additional insured, include a severability of interest provision, and be primary and not contributory with respect to any insurance carried by the City. (c) Commercial Automobile Liability insurance providing coverage for all owned, non-owned, and hired automobiles used by Contractor in the performance of the Scope of Services with a combined single limit of not less than one million dollars ($1,000,000) for each occurrence of bodily injury and property damage.

The insurance to be provided by Contractor under this Agreement shall not include any of the following: any claims-made insurance policies; any self-insured retention or deductible amount greater than two hundred fifty thousand dollars ($250,000) unless approved in writing by the City; any endorsement limiting coverage available to the City that is otherwise required by this Section 10; and any policy or endorsement language that (i) negates coverage to the City for the City’s own negligence; (ii) limits the duty to defend the City under the policy; (iii) provides coverage to the City only if Consultant is negligent, or (iv) permits the recovery of defense costs from any additional insured.

Contractor shall furnish the City a certificate of insurance evidencing the required coverages prior to commencement of the Scope of Services under this Agreement. Contractor shall provide the City a new or renewed certificate of insurance upon any changes or modifications to coverage including any extension or renewal of required insurance coverage; provided that any changes or modifications to coverage shall be consistent with the requirements of this Agreement.

11.0 GENERAL TERMS AND CONDITIONS.

11.1 INDEPENDENT CONTRACTOR.

11.1.1 It is understood that in the performance of the services herein provided for, Contractor shall be, and is, an independent contractor, and is not an agent, officer or employee of City and shall furnish such services in its own manner and method except as required by this Agreement, or any applicable statute, rule, or regulation. Further, Contractor has and shall retain the right to exercise full control over the employment, direction, compensation and discharge of all persons employed by Contractor in the performance of the services hereunder. City assumes no liability for Contractor’s actions and performance, nor assumes responsibility for taxes, bonds, payments, or other commitments, implied or explicit, by or for Contractor. Contractor shall be solely responsible for, and shall indemnify, defend and save City harmless from all matters relating to the payment of its employees, subcontractors and independent contractors, including compliance with social security, withholding and all other wages, salaries, benefits, taxes, exactions, and regulations of any nature whatsoever.

11.1.2 Contractor acknowledges that Contractor and any subcontractors, agents or employees employed by Contractor shall not, under any circumstances, be considered employees of the City, and that they shall not be entitled to any of the benefits or rights afforded employees of City, including, but not limited to, sick leave, vacation leave, holiday pay, Public Employees Retirement System benefits, or health, life, dental, long-term disability or workers' compensation insurance benefits.

11.2 CONTRACTOR NOT AGENT. Except as the City may authorize in writing, Contractor and its subcontractors shall have no authority, express or implied, to act on behalf of or bind the City in any capacity whatsoever as agents or otherwise.

11.3 OWNERSHIP OF WORK. All documents and materials furnished by the City to Contractor shall remain the property of the City and shall be returned to the City upon termination of this Agreement. All reports, drawings, plans, specifications, computer tapes, floppy disks and printouts, studies, memoranda, computation sheets, and other documents prepared by Contractor in furtherance of the work shall be the sole property of City and shall be delivered to City whenever requested at no additional cost to the City. Contractor shall keep such documents and materials on file and available for audit by the City for at least three (3) years after completion or earlier termination of this Agreement. Contractor may make duplicate copies of such materials and documents for its own files or for such other purposes as may be authorized in writing by the City.

11.4 CORRECTION OF WORK. Contractor shall promptly correct any defective, inaccurate or incomplete tasks, deliverables, goods, services and other work, without additional cost to the City. The performance or acceptance of services furnished by Contractor shall not relieve the Contractor from the obligation to correct subsequently discovered defects, inaccuracy, or incompleteness.

11.5 RESPONSIBILITY FOR ERRORS. Contractor shall be responsible for its work and results under this Agreement. Contractor, when requested, shall furnish clarification and/or explanation as may be required by the City, regarding any services rendered under this Agreement at no additional cost to City. In the event that an error or omission attributable to Contractor occurs, then Contractor shall, at no cost to City, provide all necessary design drawings, estimates and other Contractor professional services necessary to rectify and correct the matter to the sole satisfaction of City and to participate in any meeting required with regard to the correction.

11.6 WAIVER. The City's waiver of any term, condition, breach, or default of this Agreement shall not be considered to be a waiver of any other term, condition, default or