ATTACHMENT C –
CONSTRUCTION
AGREEMENT
1 Construction Agreement/KNC Construction, Inc./Project MS26-109
CONSTRUCTION AGREEMENT
BY AND BETWEEN
VICTORVILLE WATER DISTRICT
AND
KNC CONSTRUCTION, INC.
FOR
BLOCK WALLS AND GATES FOR WELL SITE 128, 131, AND 201,
PROJECT MS26-109
THIS CONSTRUCTION AGREEMENT (the “Agreement”) dated this __________________ day of ______________, 20___, for reference purpose only , is made and entered into by and between the VICTORVILLE WATER DISTRICT, a County water district and subsidiary district of the City of Victorville, organized and existing in the County of San Bernardino under and by virtue of the laws of the State of California hereinafter referred to as the “District”, and KNC Construction, Inc., a California corporation hereinafter referred to as the “Contractor”. The District and the Contractor are sometimes hereinafter referred to as a “Party” and collectively referred to as the “Parties.”
RECITALS:
WHEREAS the District requires Block Walls and Gates for Well Site 128, 131, and 201 (the “Project”); and
WHEREAS, in light of the facts set forth above, the District desires to retain Contractor in connection with Block Walls and Gates for Well Site 128, 131, and 201; and
NOW, THEREFORE, IN CONSIDERATION OF THE COVENANTS, CONDITIONS, AND
PROMISES CONTAINED HEREIN AND FOR SUCH OTHER GOOD AND VALUABLE CONSIDERATION, THE PARTIES HERETO AGREE AS FOLLOWS:
Section 1. RECITALS
The Recitals set forth above are true and correct and are hereby incorporated into this Agreement by this reference, as though set forth herein.
Section 2. TERM OF AGREEMENT
This Agreement shall commence within fifteen (15) calendar days after issuance of Notice to Proceed (the “Commencement Date”) and shall terminate upon completion of the Project ninety (90) working days after Commencement Date (the “ Termination Date”), unless sooner terminated in accordance with the provisions of this Agreement (the “Term”). From and after the Termination Date, and upon subsequent agreement by the Parties, this Agreement may continue on a month-to-month basis until terminated pursuant to Section 3 below.
Section 3. TERMINATION OR SUSPENSION
a. This Agreement may be terminated or suspended without cause by either Party at any time, provided that the Party initiating the termination provides the other Party at least thirty (30) days advance written notice of such termination or suspension. In the event of such 2 Construction Agreement/KNC Construction, Inc./Project MS26-109
termination, the District shall only be liable for payment under the payment provisions of this Agreement for satisfactory work rendered or supplies actually furnished prior to the effective date of termination.
b. This Agreement may be terminated or suspended with cause by either Party at any time, provided that the Party initiating termination provides the other Party at least ten (10) days advance written notice of such termination or sus pension. In the event of such termination, the District shall only be liable for payment under the payment provisions of this Agreement for satisfactory work rendered or supplies actually furnished prior to the effective date of termination.
Section 4. CONTRACT DOCUMENTS; PRIORITY
a. Contract Documents. The Contract Documents consist of the following documents, all of which are either attached hereto as exhibits or are incorporated herein by this reference.
Said Contact Documents are intended to be correlative and constitute Contractor’s performance obligations:
1. This Agreement.
2. Exhibits A & B.
3. Notice Inviting Bids for the Project.
4. Specifications for the Project.
5. Special Provisions.
6. Accepted Proposal.
7. List of Subcontractors.
8. Faithful Performance & Payment Bonds.
9. Non-Collusion Declaration.
10. Guaranty.
b. Interpretation. In the event of any conflict between any of the Contract Documents, the document highest in the order of precedence (from highest to lowest), as set forth in Subsection 4.a above shall control.
Section 5. CONTRACTOR’S OBLIGATIONS
Contractor shall complete the Project as specif ically set forth in the Contract Documents.
Contractor shall furnish, at its own cost and expense, all labor, services, material, tools, equipment, supplies, transportation, and any other items and facilities necessary therefore, as provided in the Contract Documents.
Section 6. COMPENSATION
The Contractor agrees to receive and accept the following amount, not to exceed Seven Hundred Nine Thousand Eight and 00/100 Dollars ($709,008.00), as full compensation for furnishing; all materials, doing all the work contemplated and embraced in this contract, all loss or damage arising out of the nature of the work aforesaid, the action of the elements, any unforeseen difficulties or obstructions which may arise or be encountered in the execution of the work until its acceptance by the District, and for all risks of every description connected with the work, all expenses incurred by or in consequence of the suspension or discontinuance of work well and faithfully completing the whole work, thereof, according to the requirements of the Contract Documents and to the satisfaction of Fredy A. Bonilla, City Engineer, or his designee, to wit:
See Exhibit “A”, Scope of Work.
3 Construction Agreement/KNC Construction, Inc./Project MS26-109
Section 7. BID PROPOSAL FORMS
The District shall pay Contractor as provided in the Bid Proposal Forms, attached hereto as Exhibit “B”, and incorporated herein by this reference as though set forth in full, subject to approval of the District, when applicable.
Section 8. PREVAILING WAGES
a. Compliance with State Prevailing Wage Law. Pursuant to California Labor Code Section 1773, the DISTRICT has obtained from the Director of the Department of Industrial Relations (“DIR”) the general prevailing rate of per diem wages and the general prevailing wage rate for holiday and overtime work applicable for ea ch craft, classification, or type of worker in San Bernardino County, California, where the Project is to be performed. Copies of these prevailing rate of per diem wages are on file at the City of Victorville Finance Department/Purchasing Division and shall be made avai lable for review to any interested party on request. Copies of these prevailing rate of per diem wages are also available from the State of California via the internet at http://www.dir.ca.gov/DLSR/PWD. Contractor and its subcontractors shall pay not less than said specified prevailing rate of per diem wages to all workers employed by them in the performance of any work under this Agreement which constitutes “public works” or “public work”, including without limitation, Block Walls and Gates for Well Site 128, 131, and 201, and any other work or services described in or encompassed by California Labor Code (“Labor Code”) Sections 1720 through 1720.9, 1771, and 1772. Contractor shall be solely responsible for using the correct and current prevailing wage rates and performing accordingly.
An error on the part of any awarding body does not relieve the Contractor from the responsibility for payment of the correct prevailing wage, or compliance with the maintenance and inspection of payroll records, posting of prevailing wage rates at the work/job site, employment of apprentices, and other requirements of Labor Code Section 1720 et seq.; Labor Code Section 1810 et seq.; California Code of Regulations, Title 8, Section 16000 et seq.; and all other applicable State labor laws.
b. Designation as Contractor Not Determinative. For purposes of this Agreement, Contractor and its subcontractors shall be subject to and shall comply with all provisions of the Labor Code applicable to contractors and subcontractors when they are engaged in the performance of any work under this Agreement which constitutes “public works” or “public work” as defined in subsection a above, despite being designated as a Contractor.
c. Conflict. It is further expressly agreed by and between the Parties hereto that should there be any conflict between the provisions of this Section and the terms of Exhibit “A” or Exhibit “B” of this Agreement, the provisions of this Section shall control and nothing herein shall be considered as an acceptance of the terms of Contractor’s Scope of Services, scope of work, bid proposal, cost proposal, and/or fee schedul e which conflict with the provisions of this Section.
d. Payroll Records. Contractor and its subcontractors must comply with the provisions of Labor Code sections 1776 and 1812 and all implementing regulations, including without limitation, those set forth in Title 8 of the California Code of Regulations, Section 16000 et seq. (hereinafter the “ Regulations”), which are fully incorporated by this reference, including requirements for electronic submission of payroll records to the DIR.
(1) Contractor and Subcontractor Obligations. Contractor and each subcontractor must keep accurate payroll records, 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. Each payroll record must contain or be verified 4 Construction Agreement/KNC Construction, Inc./Project MS26-109
by a written declaration that it is made under penalty of perjury, stating both of the following:
(a) The information contained in the payroll record is true and correct; and
(b) Contractor or subcontractor has complied with the requirements of Labor Code Sections 1771, 1811, and 1815 for any covered work performed by its employees on the Project.
(2) Certified Record. A certified copy of an employee’s payroll record must be made available for inspection or furnished to the employee or his or her authorized representative on request, to the DISTRICT, to the Division of Labor Standards Enforcement, to the Division of Apprenticeship Standards of the DIR, and as further required by the Labor Code.
(3) Enforcement. Upon notice of noncompliance with Labor Code Section 1776, Contractor or subcontractor has ten days in which to comply with the requirements of this section. If Contractor or subcontractor fails to do so within the ten-day period, Contractor or subcontractor will forfeit a penalty of $100.00 per day, or portion a day, for each worker for whom compliance is required, until strict compliance is achieved. Upon request by the Division of Apprenticeship St andards, or the Division of Labor Standards Enforcement, these penalties will be withheld from payments then due to Contractor.
(4) Payment of Invoices. Copies of the certified payrolls, proof of payroll submissions, and appropriate lien releases are required with each invoice to the DISTRICT. Payment of the invoice may be delayed when payroll-related documents and/or lien releases are not included with the invoice.
e. Apprentices. Contractor is responsible for compliance with the requirements governing employment and payment of apprentices, as set forth in Labor Code section 1777.5, which is fully incorporated by reference.
f. Notices. Pursuant to Labor Code section 1771.4, Contractor is required to post all Job Site notices, including prevailing wage rates and other notices, as required by regulation.
g. Other Labor Requirements. Contractor has the responsibility for and shall comply with all other applicable requirements of Labor Code Section 1720 et seq., Labor Code Section 1810 et seq., the Regulations, and all other applicable State labor laws. Contractor further acknowledges and agrees that it will be independently responsible for reviewing the applicable laws and regulations and effectuating compliance with those laws. Contractor shall require the same of all its subcontractors.
h. Statutory Penalties. The statutory penalties for failure to pay prevailing wage or to comply with State wage and hours laws will be enforced as follows:
(1) Pursuant to Labor Code section 1775, the Contractor and any subcontractor under it shall forfeit as a penalty to the DISTRICT not more than Two Hundred Dollars ($200.00), for each calendar day, or portion thereof, for each worker paid less than the prevailing wage rate as determined by the Director of the DIR for such work or craft in which such worker is employed for any public work done under this Agreement by it or by any subcontractor under it. The difference between such prevailing wage rate and the amount paid to each worker for each calendar day or portion thereof, for which each worker was paid less than the prevailing wage rate, shall be paid to each worker by the Contractor.
5 Construction Agreement/KNC Construction, Inc./Project MS26-109
(2) Pursuant to Labor Code Section 1813, Contractor or subcontractor shall, as a penalty to the DISTRICT, forfeit twenty-five dollars ($25) for each worker employed in the execution of this Agreement by the respective Contractor or subcontractor for each calendar day during which the worker is required or permitted to work more than 8 hours in any one calendar day and 40 hours in any one calendar week, except as specified in Labor Code Section 1815. In accordance with the provisions of Labor Code Section 1810 et seq., eight (8) hours is the legal working day.
i. DIR Monitoring. Pursuant to Labor Code Section 1771.4, the Agreement for this Project is subject to compliance monitoring and enforcement by the DIR.
j. DIR Registration. Pursuant to Labor Code Sections 1725.5 and 1771.1, the Contractor and its subcontractors must be registered with the DIR prior to the execution of a contract to perform public works. By entering into this Agreement, Contractor represents that it is aware of the registration requirement and is currently registered with the DIR. Contractor shall maintain a current registration for the duration of the Project. Contractor shall further include the requirements of Labor Code Sections 1725.5 and 1771.1 in any subcontract and ensure that all subcontractors are registered at the time this Agreement is entered into and maintain registration for the duration of the Project.
Section 9. WORKERS’ COMPENSATION INSURANCE
Contractor shall procure and maintain, at its own expense, during the Term of this Agreement, workers’ compensation insurance, providing coverage as required by the California State Workers’ Compensation Law. If any class of employees employed by Contractor is not protected by the California State Workers’ Compensation Law, Contractor shall provide adequate insurance for the protection of such employees to the satisfaction of the District.
In conformance with current statutory requirements of Section 1860 et seq., of the Labor Code of the State of California, the undersigned confirms the following as their certification:
I am aware of the provisions of Section 3700 of the Labor Code which requires every employer to be insured against liability for workers’ compensation or to undertake self-insurance in accordance with the provisions before commencing the performance of the work of this contract.
Section 10. NOTICE TO PROCEED
No work, service, material, or equipment shall be performed or furnished under this Contract unless and until a Notice to Proceed has been given to the Contractor by the District.
Contractor shall commence work pursuant to the Contract Documents as directed by the District in the Notice to Proceed, and to diligently execute the same to completion within the time limits set forth in the Contract Documents.
Section 11. COMPLIANCE WITH LAWS
Contractor shall comply with all local, state, and federal laws and regulations applicable to the performance of the work required by the Contract Documents, including any rule, regulation, or bylaw governing the conduct or performance of Contractor, its employees, officers, board members, agents, independent contractors, and subcontractors. Unless otherwise specified in the Contract Documents, all required permits and licenses shall be held or obtained by the Contractor at its sole expense.
6 Construction Agreement/KNC Construction, Inc./Project MS26-109
Section 12. COMMERCIAL GENERAL AND
AUTOMOBILE LIABILITY INSURANCE
Contractor shall procure and maintain at its own expense, during the term of this Agreement, commercial general liability insurance, of not less than Two Million Dollars ($2,000,000) per occurrence, and Four Million Dollars ($4,000,000) in the aggregate, for bodily injury, personal injury, death, loss, or damage resulting from the wrongful or negligent acts by the Contractor or its officers, employees, servants, volunteers, and agents and independent contractors.
Contractor shall further procure and maintain, at its own expense, during the Term of this Agreement, commercial vehicle liability insu rance covering personal injury and property damage, of not less than Two Million Dollars ($2,000,000) Combined Single Limit, covering any vehicle(s) utilized by Contractor or its office rs, employees, servants, volunteers, or agents and independent contractors in performing the services required by this Agreement.
Section 13. COURSE OF CONSTRUCTION/BUILDER’S RISK
Contractor, and or any of its subcontractors, suppliers, vendors, employees, or person whom it performing any work under this agreement shall purchase, and maintain insurance to the full contract and insurable value thereof commonly referred to as a Course of Construction, Builders’ Risk, or an Inland Marine policy that offers “Installation” coverage for all materials, supplies, equipment, and property obtained by, or for Contractor, which is to become part of the work while such equipment and property is stored at the jobsite, at temporary locations, or while in transit to the project from such temporary locations. Contractor, and or any of its subcontractors, suppliers, vendors, employees, or person whom is performing any work under this agreement shall also be responsible for insuring their owned, leased/rented or borrowed equipment. Insurance should also include a Loss Payee, and a Waiver of Subrogation Endorsement(s) in favor of the District and the City of Victorville.
Section 14. ADDITIONAL INSURED
Notwithstanding any inconsistent statement in any required insurance policies or any subsequent endorsements attached thereto, the protection offered by all policies, except for Workers' Compensation coverage, shall bear an endorsement whereby it is provided that, the District, the City of Victorville and their office rs, employees, servants, volunteers, and agents and independent contractors, including, without limitation, the District’s Attorney, are named as Additional Insureds.
Section 15. WAIVER OF SUBROGATION RIGHTS
Contractor shall require the carriers of all required insurance policies to waive all rights of subrogation against the District, the City of Victorville and their officers, volunteers, employees, contractors, and subcontractors. Each policy of insurance shall be endorsed to reflect such waiver.
Section 16. PROOF OF INSURANCE COVERAGE; REQUIRED PRIOR TO
COMMENCEMENT OF SERVICES
a. Contractor shall secure from a good and responsible company or companies authorized to do insurance business in the State of California the policies of insurance required by this Agreement and furnish to the District Secretary certificates of said insurance at least two (2) weeks prior to the commencement of any services to be performed under this Agreement.
7 Construction Agreement/KNC Construction, Inc./Project MS26-109
b. The certificates of insurance shall bear an endorsement whereby it is provided that, in the event of cancellation or amendment of any required insurance policy for any reason whatsoever, the District shall be notified by mail, postage prepaid, not less than thirty (30) days before the cancellation or amendment is effective. In the case of non-payment, ten (10) days’ advance written notice shall be given.
c. The certificates of insurance shall bear an endorsement whereby it is provided that the respective insurance policy shall not be terminated or expire without first providing thirty (30) days written notice to the District of such termination or expiration.
d. The certificates of insurance shall i ndicate that the respective insurance policy will be maintained throughout the Term of this Agreement.
e. The commercial general liability and vehi cle liability policies shall be endorsed to contain the following provision: “For any claims related to this contract, the Contractor’s insurance coverage shall be primary and non-contributory and at least as broad as ISO CG 20 01 04 13 as respects the District, its officers, officials, employees, and volunteers. Any insurance or self-insurance maintained by the Dis trict, its officers, officials, employees, or volunteers shall be excess of the Contractor’s insurance and shall not contribute with it. This requirement shall also apply to any Excess or Umbrella liability policies.”
Section 17. TIME OF THE ESSENCE
Time is of the essence in the performance of this Agreement.
Section 18. INDEMNIFICATION
Notwithstanding the limits of any insurance, Contractor shall indemnify the District, its officials, officers, agents, volunteers and employees against, and will hold and save them and 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") that may be asserted or claimed by any person, firm or entity arising or alleged to arise out of or in connection with the negligent performance of the work, operations or activities of Contractor, its agents, employees, subcontractors, or invitees, provided for herein, or arising or alleged to arise from the negligent acts or omissions of Contractor hereunder, or arising or alleged to arise from Contractor's negligent performance of or failure to perform any term, provision, covenant or condition of this Agreement, but excluding such claims or liabilities or portion of such claims or liabilities arising or alleged to arise from the negligence or willful misconduct of the District its officials, officers, agents, volunteers or employees, and in connection therewith:
a. Contractor will defend any action or actions filed in connection with any of said claims or liabilities and will pay all costs and ex penses, including legal costs and attorneys' fees incurred in connection therewith;
b. Contractor will promptly pay any judgment rendered against the District, its officials, officers, agents or employees for any such claims or liabilities arising or alleged to arise out of or in connection with Contractor's (or its agents', employees', subcontractors' or invitees') negligent performance of or failure to perform such work, operations or activities hereunder; and Contractor agrees to save and hold the District, its officials, volunteers, officers, agents, and employees harmless there from;
c. In the event the District, its officials, officers, agents, volunteers or employees is made a Party to any action or proceeding filed or prosecuted against Contractor for such damages or other claims arising or alleged to arise out of or in connection with the negligent 8 Construction Agreement/KNC Construction, Inc./Project MS26-109
performance of or failure to perform the work, operation or activities of Contractor hereunder, Contractor shall pay to the District, its official s, volunteers officers, agents or employees, any and all costs and expenses incurred by the District, its officers, agents or employees in such action or proceeding, including but not limited to , legal costs and attorneys' fees for counsel acceptable to District;
d. Contractor's duty to defend and indemnify as set out in this Section shall include any claims, liabilities, obligations, losses, demands, actions, penalties, suits, costs, expenses or damages or injury to persons or property arising or alleged to arise from, in connection with, as a consequence of or pursuant to any state or federal law or regulation regarding hazardous substances, including but not limited to the Federal Insecticide, Fungicide and Rodenticide Act ("FIFRA"), Comprehensive Environmental Response, Compensation and Liability Act of 1980 ("CERCLA"), Resource Conservation and Recovery Act of 1976 ("RCRA"), the Hazardous and Solid Waste Amendments of 1984, the Hazardous Material Transportation Act, the Toxic Substances control Act, the Clean Air Act, the Clean Water Act, the California Hazardous Substance Account Act, the California Hazardous Waste Control Law or the Porter-Cologne Water Quality Control Act, as any of those statutes may be amended from time to time;
The Contractor's indemnification obligations pursuant to this Section shall survive the termination of this Agreement. Contractor shall require the same indemnification from all subcontractors.
Section 19. REPORTS
Upon request by Fredy A. Bonilla, City Engineer, or his designee, Contractor shall prepare and submit reports concerning Contractor's performance of the work required by this Agreement.
Section 20. RECORDS
a. Contractor shall keep such books and records as shall be necessary to perform the services required by this Agreement and enable Fredy A. Bonilla, City Engineer, or his designee, to evaluate the cost and the performance of such services.
b. Books and records pertaining to costs shall be kept and prepared in accordance with generally accepted accounting principles.
c. Fredy A. Bonilla, City Engineer, or his designee, shall have full and free access to such books and records at all reasonable times, including the right to inspect, copy, audit, and make records and transcripts from such records.
d. Records and supporting documents pertaining to the use of funds paid to Contractor hereunder shall be retained by Contractor and made available to Fredy A. Bonilla, City Engineer, or his designee, for purposes of performing an audit for a period of five (5) years from the date of termination of this Agreement.
Section 21. MODIFICATIONS AND AMENDMENTS
This Agreement may be modified or amended only by a written instrument signed by both Parties.
9 Construction Agreement/KNC Construction, Inc./Project MS26-109
Section 22. ENTIRE AGREEMENT
a. This Agreement supersedes any and all prior or contemporaneous agreements, either oral or written, between the District and Contractor with respect to the subject matter of this Agreement.
b. The Contract Documents contain all of the covenants and agreements between the Parties with respect to the subject matter herein, and each Party acknowledges that no representations, inducements, promises, or agreements have been made by or on behalf of any Party, except those covenants and agreements in this Agreement and the Contract Documents.
c. No agreement, statement, or promise with respect to the subject matter of the Contract Documents, which is not contained in the Contract Documents, or in a valid modification or amendment to the Contract Documents, shall be valid or binding on either Party.
Section 23. AMBIGUITIES
This Agreement is in all respects intended by each Party hereto to be deemed and construed to have been jointly prepared by the Parties and the Parties hereby expressly agree that any uncertainty or ambiguity existing herein shall not be interpreted against either of them. Except as expressly limited by this paragraph, all of the applicable rules of interpretation of contract shall govern the interpretation of any uncertainty or ambiguity of this Agreement.
Notwithstanding the foregoing, the Parties agree that Exhibit “A” is attached hereto for reference purposes and to the extent there are any ambiguities, inconsistencies or conflicts between the terms of this Construction Agreement and Exhibit “A” , the terms of this Construction Agreement shall control and nothing set forth in Exhibit “A” shall be deemed to supersede any of the provisions of this Construction Agreement.
Section 24. NOTICES
a. Any notice to be provided pursuant to this Agreement shall be in writing, and all such notices shall be delivered by personal servic e or by deposit in the United States mail, certified or registered, return receipt requested, with postage prepaid, and addressed to the Parties as follows:
To the District: Fredy A. Bonilla, City Engineer
Engineering Department
14343 Civic Drive
Victorville, CA 92392
To Contractor: Malia Caminiti, President
KNC Construction, Inc.
12277 Apple Valley Rd. #144
Apple Valley, CA 92308
b. Notices, payments, and other documents shall be deemed delivered upon receipt by personal service or as of the second (2nd) day after deposit in the United States mail.
10 Construction Agreement/KNC Construction, Inc./Project MS26-109
Section 25. NON-LIABILITY OF DISTRICT OFFICERS AND EMPLOYEES
No officer or employee of the District sha ll be personally liable to Contractor, or any successor in interest, in the event of any default or breach by the District or for any amount, which may become due to Contractor or to its successor(s), or for any breach of any obligation of the terms of this Agreement.
Section 26. REVIEW BY ATTORNEYS
Each Party hereto has had its attorneys review this Agreement and all related documents. Each Party hereto has consulted with its attorneys and has negotiated the terms of this Agreement based on such consultation.
Section 27. CARE OF WORK
Contractor must adopt reasonable methods dur ing the life of the Agreement to furnish continuous protection to the work, and the equipment, materials, papers, documents, plans, studies and other components to prevent losses or damages, and will be responsible for all damages, to persons or property, until acceptance of the work by the District, except those losses or damages as may be caused by the District’s own negligence. The performance of the work by Contractor or the payment of money by the District shall not relieve Contractor from any obligation to correct any incomplete, inaccurate, or defective work at no further cost to the District, when such inaccuracies are due to the negligence of Contractor
Section 28. CAPTIONS AND HEADINGS
The captions and headings contained in this Agreement are provided for identification purposes only and shall not be interpreted to limit or define the content of the provisions described under the respective caption or heading.
Section 29. SUCCESSORS, HEIRS, AND ASSIGNS
Except as otherwise expressly provided her ein, this Agreement shall be binding upon the successors, endorsees, assigns, heirs, and personal representatives of each of the Parties to this Agreement and, likewise, shall inure to the benefit of the successors, endorsees, assigns, heirs, and personal representatives of each of the Parties. This Contract may not be assigned or transferred by Contractor without the concu rrence of the surety and express written consent of the District, which may be withheld in the District’s sole discretion since the experience and qualifications of Contractor were material considerations for this Contract.
Section 30. GENDER; PLURAL
In this Agreement, unless the context clearly requires otherwise, the masculine, feminine and neuter genders and the singular and the plural shall include one another.
Section 31. SEVERABILITY
If any one or more of the sentences, clauses, paragraphs, or sections contained herein is declared invalid, void, or unenforceable by a court of competent jurisdiction, the same shall be deemed severable from the remainder of this Agreement and shall not affect, impair, or invalidate any of the remaining sentences, clauses, paragraphs, or sections contained herein.
11 Construction Agreement/KNC Construction, Inc./Project MS26-109
Section 32. GOVERNING LAW
The validity of this Agreement and any of it s terms or provisions, as well as the rights and duties of the Parties under this Agreement, shall be construed pursuant to and in accordance with California law.
Section 33. CUMULATIVE REMEDIES
Except with respect to rights and remedies expressly declared to be exclusive in this Agreement, the rights and remedies of the Parties are cumulative and the exercise by either Party of one or more of such rights or remedies shall not preclude the exercise by it, at the same or different times, of any other rights or remedies for the same default of any other default by the other Party.
Section 34. VENUE
All proceedings involving disputes over the terms, provisions, covenants, or conditions contained in this Agreement and all proceedings involving any enforcement action related to this Agreement shall be initiated and conducted in the applicable court or forum in San Bernardino County, California.
Section 35. ATTORNEY'S FEES
Should any litigation, specifically including but not limited to, arbitration and other non- judicial resolution of disputes be commenced between the Parties to this agreement concerning this agreement or the rights and duties of either in relation thereto, the Parties prevailing in such litigation or other proceeding shall be entitled, in addition to such other relief as may be granted, to a reasonable sum as and for attorney fees in such litigation where the proceeding which, if not agreed upon by the Parties, shall be determined by the court or other entity in which such litigation or other proceeding is brought.
Section 36. EFFECTIVENESS OF AGREEMENT
This Agreement shall not be binding upon the District, until signed by the authorized representative(s) of Consultant, approved by the District’s Risk Manager, and executed by the authorized District personnel or Mayor.
Section 37. REPRESENTATIONS OF PARTIES AND PERSONS
EXECUTING AGREEMENT
a. Each of the Parties to this Agreement hereby represents that all necessary and appropriate actions of their governing bodies have been taken to make this Agreement a binding obligation of each of the Parties hereto.
b. The persons executing this Agreement warrant that they are duly authorized to execute this Agreement on behalf of and bind the Parties each purports to represent.
Section 38. COUNTERPARTS
This Agreement may be executed by the Parties in counterparts, and when executed by each of the Parties, each counterpart shall be deemed to be a part of this Agreement.
12 Construction Agreement/KNC Construction, Inc./Project MS26-109
Section 39. CARB COMPLIANCE OBLIGATIONS
a. CARB Regulations. Contractor is aware of the California Air Resources Board (“CARB”) regulations mandating various emission reduction requirements. Contractor agrees to comply with all applicable CARB regulations (Tit le 13, Division 3 of the California Code of Regulations (“CCR”)) prior to commencing any work hereunder and maintain compliance throughout the duration of this Contract.
(1) Vehicles with a Gross Vehicle Weight Rating (GVWR) greater than 8,500 lbs. and light-duty package delivery vehicles operated in California may be subject to CARB’s Advanced Clean Fleets regulations. Such vehicles may therefore be subject to requirements to reduce emissions of air pollutants. For more information, please visit the CARB Advanced Clean Fleets (ACF) webpage at https://ww2.arb.ca.gov/our- work/programs/advanced-clean-fleets.
(2) Effective January 1, 2024, CARB implemented amendments to the In-Use Off- Road Diesel-Fueled Fleets Regulation (13 CCR Section 2449 et seq ., the “Off-Road Regulation”) which apply broadly to all self -propelled off road diesel vehicles 25 horsepower or greater and other forms of equi pment used in California (including any vehicles or equipment that is rented or leas ed). The Off-Road Regulation is available at:
https://ww2.arb.ca.gov/sites/default/files/barcu/regact/2022/off-roaddiesel/appa-1.pdf.
b. Contractor must comply with all CARB regulations and requirements, including without limitation, all applicable sections of the Off-Road Regulation (as codified in 13 CCR Section 2449 et seq.) throughout the term of the Project and this Contract. Contractor shall be solely liable for all costs associated with complying with the regulations, as well as for any and all penalties, fines, damages, or costs associated with violations or failures to comply with the regulations. Contractor shall defend, indemnify, and hold harmless the District and the City of Victorville, its elected and appointed officials, officers, agents, and employees from and against any and all claims, liabilities, costs, penalties, interest or other damages arising out of Contractor’s failure or alleged failure to comply with CARB regulations.
(END OF THIS PAGE)
13 Construction Agreement/KNC Construction, Inc./Project MS26-109
IN WITNESS WHEREOF, the Parties hereto have caused this Agreement to be executed as of the dates written below.
VICTORVILLE WATER DISTRICT KNC CONSTRUCTION, INC.
By: __________________________________ By:_____________________________ Elizabeth Becerra, Malia Caminiti,
District Chairman President
Dated: Dated:___________________________
ATTEST:
By: __________________________________
Jennifer Thompson,
Board Secretary
Dated:_____________ ____
APPROVED AS TO STANDARD FORM:
By: __________________________________
Andre de Bortnowsky,
District Legal Counsel
Dated:_________________
By: __________________________________
Sandra Bostick,
District Risk Manager
Dated:________________________________
14 Construction Agreement/KNC Construction, Inc./Project MS26-109
EXHIBIT A
SCOPE OF WORK
The District agrees to engage Contractor and Contractor agrees to furnish all necessary labor, tools, materials, and equipment for and do the Work for the Project. The Work shall be performed in accordance with: (i) the Plans and Specifications and applicable Addenda (as generally described in the Request for Bid, Project Number MS26-109, for the Project, portions of which are attached hereto for ease of reference as Exhibit "A", and (ii) the prices set forth in Contractor’s Bid Proposal (attached as Exhibit "B”).
See Attachment
SCOPE OF WORK
Block Walls and Gates for Well Site 128, 131 and 201
The Work consists of furnishing all labor, material s, equipment, and incidentals necessary to construct security improvements at Well Sites 128, 131, and 201 for the Victorville Water District. The project includes construction of 6-foot-high CMU block walls with 4-foot-high anti-climb spike extenders, with minor design variations incorporated at residential locations.
The Work also includes the procurement and instal lation of automated slide gates and man gates, removal of existing chain-link fencing, construction of concrete footings for new walls and gates, and installation of automated slide gate operator syst ems, including all required electrical wiring and connections.
Additional work includes construction of an 8-inch-thick concrete driveway, decorative landscaping improvements at residential sites, overexcavation as necessary to achieve proper compaction of the wall subgrade, and removal or trimming of trees, shrubs, and vegetation as necessary to facilitate construction
EXHIBIT A
SCOPE OF WORK, PROJECT MS26-109
15/ Construction Agreement/KNC Construction, Inc./Project MS26-109 1 Construction Agreement/KNC Construction, Inc./Project MS26-109
EXHIBIT B
BID PROPOSAL FORMS
See Attachment
City of Victorville
Finance
John Mendiola, Purchasing Manager
14343 Civic Drive, Victorville, CA 92392
EEVALUATION TABULATION
NIB No. MS26-109
Block Walls and Gates for Well Site 128, 131 and 201
RESPONSE DEADLINE: April 28, 2026 at 2:00 pm
Report Generated: Wednesday, May 13, 2026
SELECTED VENDOR TOTALS
Vendor Total
KNC CONSTRUCTION, INC. $709,008.00
BLOCK WALLS AND GATES FOR WELL SITE 128, 131 AND 201
WELL SITE 128 13199 PACOIMA ROAD, VICTORVILLE, CA 92392 BLOCK WALLS AND GATES FOR WELL SITE 128, 131 AND 201 KNC CONSTRUCTION, INC.
Selected Line
Item
Description Quantity Unit of Measure Unit Cost Total
X 1 MOBILIZATION 1 LS $7,100.00 $7,100.00
X 2 TRAFFIC CONTROL 1 LS $2,000.00 $2,000.00
X 3 WATER POLLUTION
CONTROL
1 LS $2,000.00 $2,000.00
X 4 TEMPORARY
CONSTRUCTION
FENCING
1 LS $1,000.00 $1,000.00
X 5 REMOVE EXISTING
CHAIN LINK FENCE,
GATES AND GATE
POSTS
1 LS $2,000.00 $2,000.00
X 6 CONSTRUCT CMU
COMBINATION PONY
WALL & FOOTING
WITH WROUGHT
IRON FENCE PER THE
PLANS - REFER TO
CONSTRUCTION
NOTE #5 OF THE
PLANS
25 LF $183.50 $4,587.50
EXHIBIT B
BID PROPOSAL FORMS, PROJECT MS26-109
17/ Construction Agreement/KNC Construction, Inc./Project MS26-109
EVALUATION TABULATION
NIB No. MS26-109
Block Walls and Gates for Well Site 128, 131 and 201
EVALUATION TABULATION
Request for Bid - Block Walls and Gates for Well Site 128, 131 and 201
BBLOCK WALLS AND GATES FOR WELL SITE 128, 131 AND 201 KKNC CONSTRUCTION, INC.
SSelected LLine
IItem
DDescription QQuantity UUnit of Measure UUnit Cost TTotal X 7 CONSTRUCT CMU
RESIDENTIAL WALL &
FOOTING WITH
CLIMB PROOF SPIKE
EXTENDERS PER THE
PLANS - REFER TO
CONSTRUCTION
NOTE # 4 OF THE
PLANS
120 LF $431.95 $51,834.00
X 8 OVEREXCAVATION
AND RECOMPACTION
BENEATH WALL
FOOTINGS
145 LF $20.69 $3,000.05
X 9 FURNISH AND
INSTALL FIRE
DEPARTMENT KNOX
BOX
1 EA $1,000.00 $1,000.00
X 10 FURNISH AND
INSTALL 20' WIDE
AUTOMATED STEEL
SLIDE GATE PER THE
PLANS (INCLUDE THE
COST OF
AUTOMATED SLIDE
GATE OPERATOR
SYSTEM) *Include
cost of all associated
hardware, concrete
pad, footings and
more
1 EA $24,355.00 $24,355.00
X 11 FURNISH AND
INSTALL 20' WIDE
MANUAL STEEL SLIDE
GATE WITH HEAVY-
DUTY SLIDING BOLT
GATE LATCH WITH
PADLOCK PER THE
PLANS. *Include cost
of all associated
hardware, concrete
pad, footings and
more
1 EA $18,680.00 $18,680.00
EXHIBIT B
BID PROPOSAL FORMS, PROJECT MS26-109
18/ Construction Agreement/KNC Construction, Inc./Project MS26-109
EVALUATION TABULATION
NIB No. MS26-109
Block Walls and Gates for Well Site 128, 131 and 201
EVALUATION TABULATION
Request for Bid - Block Walls and Gates for Well Site 128, 131 and 201
BBLOCK WALLS AND GATES FOR WELL SITE 128, 131 AND 201 KKNC CONSTRUCTION, INC.
SSelected LLine
IItem
DDescription QQuantity UUnit of Measure UUnit Cost TTotal X 12 FURNISH AND
INSTALL 40"
RESIDENTIAL MAN-
GATE PER THE
PLANS. *Include cost
of all associated
hardware, concrete
pad, footings and
more
1 EA $3,865.00 $3,865.00
X 13 FURNISH AND
INSTALL ELECTRICAL
WIRING FROM
ELECTRICAL SERVICE
PANEL TO
AUTOMATED
SLIDING GATE
OPERATOR BOX
(INCLUDE THE COST
OF CORE DRILLING
AND 1" RIGID
CONDUITS) REFER TO
CONSTRUCTION
NOTE #16 OF THE
PLANS
1 EA $2,500.00 $2,500.00
X 14 SAWCUT, REMOVE
AND REPLACE
EXISTING CONCRETE
SLAB AS NEEDED TO
INSTALL 1: RIGID
CONDUITS DURING
THE ELECTRICAL
SERVICE PULL FROM
THE ELECTRICAL
SERVICE PANEL. -
REFER TO
CONSTRUCTION
NOTE #15 OF THE
PLANS
1 LS $1,000.00 $1,000.00
EXHIBIT B
BID PROPOSAL FORMS, PROJECT MS26-109
19/ Construction Agreement/KNC Construction, Inc./Project MS26-109
EVALUATION TABULATION
NIB No. MS26-109
Block Walls and Gates for Well Site 128, 131 and 201
EVALUATION TABULATION
Request for Bid - Block Walls and Gates for Well Site 128, 131 and 201
BBLOCK WALLS AND GATES FOR WELL SITE 128, 131 AND 201 KKNC CONSTRUCTION, INC.
SSelected LLine
IItem
DDescription QQuantity UUnit of Measure UUnit Cost TTotal X 15 CONSTRUCT 8" THICK
CONCRETE
DRIVEWAY OVER 6"
OF BASE
COMPACETED TO
95% RELATIVE
COMPACTION WITH
ADA BYPASS PER COV
STANDARD DRAWING
S-03
2 EA $6,250.00 $12,500.00
X 16 FURNISH AND
INSTALL DECORATIVE
ROCK - REFER TO
CONSTRUCTION
NOTE # 18 OF THE
PLANS
1130 SF $3.72 $4,203.60
X 17 TRIM OR REMOVE
EXISTING TREES,
BUSHES, AND
VEGATATION AS
REQUIRED TO
PROVIDE
CONSTRUCTION
ACCESS
1 LS $1,500.85 $1,500.85
TTotal $$143,126.00
AUTHORIZED WORK
WELL 128
AUTHORIZED WORK KNC CONSTRUCTION, INC.
Selected Line Item Description Unit of Measure Unit Cost X 18 AUTHORIZED WORK 1 $20,000.00
Total $20,000.00
EXHIBIT B
BID PROPOSAL FORMS, PROJECT MS26-109
20/ Construction Agreement/KNC Construction, Inc./Project MS26-109
EVALUATION TABULATION
NIB No. MS26-109
Block Walls and Gates for Well Site 128, 131 and 201
EVALUATION TABULATION
Request for Bid - Block Walls and Gates for Well Site 128, 131 and 201
WWELL SITE 131
13637 EL RIO ROAD, VICTORVILLE, CA 92392
WELL SITE 131 KNC CONSTRUCTION, INC.
Selected Line
Item
Description Quantity Unit of Measure Unit Cost Total
X 1 MOBILIZATION 1 LS $7,100.00 $7,100.00
X 2 TRAFFIC CONTROL 1 LS $2,000.00 $2,000.00
X 3 WATER POLLUTION
CONTROL
1 LS $2,000.00 $2,000.00
X 4 TEMPORARY
CONSTRUCTION
FENCING
1 LS $1,800.00 $1,800.00
X 5 REMOVE EXISTING
CHAIN LINK FENCE,
GATES AND GATE
POSTS
1 LS $2,000.00 $2,000.00
X 6 CONSTRUCT CMU
RETAINING WALL &
FOOTING WIHT CLIMB
PROOF SPIKE
EXTENDERS PER THE
PLANS. - REFER TO
CONSTRUCTION NOTE
#3 OF THE PLANS
105 LF $464.18 $48,738.90
X 7 CONSTRUCT CMU
WALL & FOOTING
WITH CLIMB PROOF
SPIKE EXTENDERS PER
THE PLANS. - REFER
TO CONSTRUCTION
NOTE #2 OF THE
PLANS
493 LF $353.75 $174,398.75
X 8 OVEREXCAVATION
AND RECOMPACTION
BENEATH WALL
FOOTINS
598 LF $10.03 $5,997.94
X 9 FURNISH AND INSTALL
FIRE DEPARTMENT
KNOX BOX
1 EA $1,000.00 $1,000.00
EXHIBIT B
BID PROPOSAL FORMS, PROJECT MS26-109
21/ Construction Agreement/KNC Construction, Inc./Project MS26-109
EVALUATION TABULATION
NIB No. MS26-109
Block Walls and Gates for Well Site 128, 131 and 201
EVALUATION TABULATION
Request for Bid - Block Walls and Gates for Well Site 128, 131 and 201
WWELL SITE 131 KKNC CONSTRUCTION, INC.
SSelected LLine
IItem
DDescription QQuantity UUnit of Measure UUnit Cost TTotal X 10 FURNISH AND INSTALL
20' WIDE
AUTOMATED STEEL
SLIDE GATE PER THE
PLANS (INCLUDE THE
COST OF AUTOMATED
SLIDE GATE
OPERATOR SYSTEM).
*Include cost of all
associated hardware,
concrete pad, footings
and more
1 EA $24,355.00 $24,355.00
X 11 FURNISH AND INSTALL
40" MAN-GATE PER
THE PLANS. *Include
cost of all associated
hardware, concrete
pad, footings and
more
2 EA $3,865.00 $7,730.00
X 12 FURNISH AND INSTALL
ELECTRICAL WIRING
FROM ELECTRICAL
SERVICE PANEL TO
AUTOMATED SLIDING
GATE OPERATOR BOX
(INCLUDE THE COST
OF CORE DRILLING
AND 1" RIGID
CONDUITS) - REFER TO
CONSTRUCTION NOTE
#16 OF THE PLANS
1 EA $2,500.00 $2,500.00
X 13 SAWCUT, REMOVE
AND REPLACE
EXISTING CONCRETE
SLAB AS NEEDED TO
INSTALL 1" RIGID
CONDUITS DURING
THE ELECTRICAL
SERVICE PULL FROM
THE ELECTRICAL
SERVICE PANEL. -
REFER TO
CONSTRUCTION NOTE
#15 OF THE PLANS
1 LS $1,000.00 $1,000.00
EXHIBIT B
BID PROPOSAL FORMS, PROJECT MS26-109
22/ Construction Agreement/KNC Construction, Inc./Project MS26-109
EVALUATION TABULATION
NIB No. MS26-109
Block Walls and Gates for Well Site 128, 131 and 201
EVALUATION TABULATION
Request for Bid - Block Walls and Gates for Well Site 128, 131 and 201
WWELL SITE 131 KKNC CONSTRUCTION, INC.
SSelected LLine
IItem
DDescription QQuantity UUnit of Measure UUnit Cost TTotal X 14 REMOVE AND
RELOCATE EXISTING
ELECTRICAL GROUND
ROD IN KIND,
INCLUDING
FURNISHING AND
INSTALLING NEW
GROUND ROD AND
ASSOCIATED
COMPONETS
2 EA $750.00 $1,500.00
X 15 TRIM OR REMOVE
EXISTING TREES,
BUSHES, AND
VEGETATION AS
REGUIRED TO
PROVIDE
CONSTRUCTION
ACCESS
1 LS $1,500.41 $1,500.41
TTotal $$283,621.00
AUTHORIZED WORK
WELL SITE 131
AUTHORIZED WORK KNC CONSTRUCTION, INC.
Selected Line Item Description Unit of Measure Unit Cost X 16 AUTHORIZED WORK 1 $35,000.00
Total $35,000.00
WELL SITE 201
13875 BEAR VALLEY RD. VICTORVILLE, CA 92392
WELL SITE 201 KNC CONSTRUCTION, INC.
Selected Line
Item
Description Quantity Unit of
Measure
Unit Cost Total
X 1 MOBILIZATION 1 LS $7,100.00 $7,100.00
X 2 TRAFFIC CONTROL 1 LS $2,000.00 $2,000.00
EXHIBIT B
BID PROPOSAL FORMS, PROJECT MS26-109
23/ Construction Agreement/KNC Construction, Inc./Project MS26-109
EVALUATION TABULATION
NIB No. MS26-109
Block Walls and Gates for Well Site 128, 131 and 201
EVALUATION TABULATION
Request for Bid - Block Walls and Gates for Well Site 128, 131 and 201
WWELL SITE 201 KKNC CONSTRUCTION, INC.
SSelected LLine
IItem
DDescription QQuantity UUnit of
MMeasure
UUnit Cost TTotal
X 3 WATER POLLUTION
CONTROL
1 LS $2,000.00 $2,000.00
X 4 TEMPORARY
CONSTRUCTION
FENCING
1 LS $2,000.00 $2,000.00
X 5 REMOVE EXISTING
CHAIN LINK FENCE,
GATES AND GATE
POSTS
1 LS $2,000.00 $2,000.00
X 6 CONSTRUCT CMU
WALL & FOOTING
WITH CLIMB PROOF
SPIKE EXTENDERS
PER THE PLANS. -
REFER TO
CONSTRUCTION
NOTE #2 OF THE
PLANS
360 LF $367.39 $132,260.40
X 7 OVEREXCAVATION
AND
RECOMPACTION
BENEATH WALL
FOOTINGS
360 LF $12.50 $4,500.00
X 8 FURNISH AND
INSTALL FIRE
DEPARTMENT KNOX
BOX
1 EA $1,000.00 $1,000.00
X 9 FURNISH AND
INSTALL 20' WIDE
AUTOMATED STEEL
SLIDE GATE PER
PLANS (INCLUDE
THE COST OF
AUTOMATED SLIDE
GATE OPERATOR
SYSTEM). *Include
cost of all
associated
hardware, concrete
pad, footings and
more
1 EA $24,355.00 $24,355.00
EXHIBIT B
BID PROPOSAL FORMS, PROJECT MS26-109
24/ Construction Agreement/KNC Construction, Inc./Project MS26-109
EVALUATION TABULATION
NIB No. MS26-109
Block Walls and Gates for Well Site 128, 131 and 201
EVALUATION TABULATION
Request for Bid - Block Walls and Gates for Well Site 128, 131 and 201
WWELL SITE 201 KKNC CONSTRUCTION, INC.
SSelected LLine
IItem
DDescription QQuantity UUnit of
MMeasure
UUnit Cost TTotal
X 10 FURNISH AND
INSTALL 20' WIDE
MANUAL STEEL
SLIDE GATE WITH
HEAVY- DUTY
SLIDING BOLT GATE
LATCH WITH
PADLOCK PER THE
PLANS. *Include
cost of all
associated
hardware, concrete
pad, footings and
more
1 EA $13,680.00 $13,680.00
X 11 FURNISH AND
INSTALL 40" MAN-
GATE PER THE
PLANS. *Include
cost of all
associated
hardware, concrete
pad, footings and
more
1 EA $3,865.00 $3,865.00
X 12 FURNISH AND
INSTALL ELECTRICAL
WIRING FROM
ELECTRICAL SERVICE
PANEL TO
AUTOMATED
SLIDING GATE
OPERATOR BOX
(INCLUDE THE COSE
OF CORE DRILLING
AND 1" RIGID
CONDUITS) REFER
TO CONSTRUCTION
NOTE #16 OF THE
PLANS
1 EA $1,000.00 $1,000.00
EXHIBIT B
BID PROPOSAL FORMS, PROJECT MS26-109
25/ Construction Agreement/KNC Construction, Inc./Project MS26-109
EVALUATION TABULATION
NIB No. MS26-109
Block Walls and Gates for Well Site 128, 131 and 201
EVALUATION TABULATION
Request for Bid - Block Walls and Gates for Well Site 128, 131 and 201
WWELL SITE 201 KKNC CONSTRUCTION, INC.
SSelected LLine
IItem
DDescription QQuantity UUnit of
MMeasure
UUnit Cost TTotal
X 13 SAWCUT, REMOVE,
AND REPLACE
EXISTING CONCRETE
SLAB AS NEEDED TO
INSTALL 1" RIGID
CONDUITS DURING
THE ELECTRICAL
SERVICE PULL FROM
THE ELECTRICAL
SERVICE PANEL. -
REFER TO
CONSTRUCTION
NOTE #15 OF THE
PLANS.
1 LS $1,500.60 $1,500.60
TTotal $$197,261.00
AUTHORIZED WORK
WELL SITE 201
AUTHORIZED WORK KNC CONSTRUCTION, INC.
Selected Line Item Description Unit of Measure Unit Cost X 14 AUTHORIZED WORK 1 $30,000.00
Total $30,000.00
EXHIBIT B
BID PROPOSAL FORMS, PROJECT MS26-109
26/ Construction Agreement/KNC Construction, Inc./Project MS26-109