HomeMy WebLinkAboutR36-Economic Development Agency
CITY OF SAN BERNARDINO
ECONOMIC DEVELOPMENT AGENCY
FROM: Maggie Pacheco
Executive Director
SUBJECT:
Award of Demolition Contract to AON, Inc.,
for Agency Properties (North Arden Guthrie -
IVDA Redevelopment Project Area)
DATE:
November I, 2007
Svnopsis of Previous Commission/CounciVCommittee Action(s):
See Background.
Recommended Motion(s):
(Communitv Development Commission)
Resolution of the Community Development Commission of the City of San Bernardino approving and authorizing
the Executive Director of the Redevelopment Agency of the City of San Bernardino ("Agency") to execute a
Demolition Contract by and between the Agency and AON, Inc., for the demolition of Agency Properties in the
North Arden Guthrie Area of San Bernardino (IVDA Redevelopment Project Area)
Contact Person(s):
Maggie Pacheco
IVDA Redevelopment Project Area
Phone:
(909) 663-1044
7
Project Area(s):
Ward(s):
Supporting Data Attached:
o Staff Report 0 Resolution( s) 0 Agreement( s )/Contract( s) 0 Map( s) 0 Letter( s)
FUNDING REQUIREMENTS:
Amount: $ 472,355
Source:
Low and Moderate-Income Housing Fund
Budget Authority:
2007-2008 EDA Budget
,_'Jh ~
Maggie Pacheco, Executive Director
. . trative Services Director
Commission/Council Notes:
P:\Agendas\Comm Dev Commission\COC 2007\11-05-07 AON, Inc. - Arden Guthrie Delmlition Final SR.doc
COMMISSION MEETING AGENDA
Meeting Date: 11/0512007
Agenda Item Number: ~
ECONOMIC DEVELOPMENT AGENCY
STAFF REPORT
AWARD OF DEMOLITION CONTRACT TO AON, INC. FOR AGENCY PROPERTIES
(NORTH ARDEN GUTHRIE - IVDA REDEVELOPMENT PROJECT AREA)
BACKGROUND:
Arden Guthrie has long been a social problem for the City of San Bernardino ("City"). Built in the 60's,
the project was hailed as a leader in new urban development but unfortunately, over the decades, the
development has deteriorated into slum conditions with absentee landlords, poor maintenance and high
crime. Several attempts have been made by the City and the Agency to rectifY the problem from
rehabilitation programs to acquisition and demolition projects.
In January 2005, the Department of Housing and Urban Development ("HUD") advised the City that HUD
had approved a $7.5 million Section 108 Loan for the Arden Guthrie Project and on March 29, 2005,
former Mayor Valles executed the funding/approval agreement by and between the City and HUD.
On May 16, 2006, the City received the final HUD loan documents and on July 24,2006, the Mayor and
Common Council of the City of San Bernardino ("Council") approved the $7.5 million HUD Contract. On
September 15, 2006, the funds were deposited into the Agency's bank account pursuant to the Loan
Agreement between the City and the Agency. This $7.5 million has been used by the Agency primarily for
property acquisition and related costs.
On November 20, 2006, the Community Development Commission of the City of San Bernardino
("Commission") approved a Professional Services Agreement with California Property Specialists, Inc., for
the preparation of a relocation plan and to assist with the acquisition of the remaining privately owned 4-
plexes and relocation of the tenants after the 4-plexes are acquired by the Agency (See Attached Map).
On March 5, 2007, the Commission approved a further loan for the Arden Guthrie Project from the Low-
and Moderate-Income Housing Fund in the amount of $7.5 million to complete the property acquisition,
relocation of tenants and demolition of the properties to be acquired by the Agency.
CURRENT ISSUE:
Since June 2006, of the 23 remaining 4-plex structures, the Agency has acquired ownership of 17 4-plexes
("Agency Properties") and 6 privately owned 4-plex structures are presently under negotiation
("Properties"). The majority of the 17 Agency Properties are completely vacated and ready for demolition.
Accordingly, on September 21, 2007, the Agency mailed out a copy of the Notice of Inviting Bids
("Notice") to 7 demolition contractors to ensure that the contractors, which have previously been used by
the City and the Agency, were in receipt of the Notice as quickly as possible for the immediate demolition
of all the Agency Properties, as well as the Private Properties for when they are acquired by the Agency in
the near future.
On August 30, 2007, and again on September 10,2007, a notice was published in The Sun Newspaper.
The notice stated that this was an asbestos/Iead based paint abatement and demolition/clearance project.
Additionally, the notice stated that there would be a mandatory job walk and the date and place was
--------------- - - -
P:\Agendas\Comm DcvCommission\CDC 2007\11-05-07 AON, Inc. - Arden Guthrie Dennlition Final SR.doc COMMISSION MEETING AGENDA
Meeting Date: 11/05/2007
Agenda Item Number: ~
Economic Development Agency Staff Report
Arden Guthrie - IVDA
Page 2
provided. On October 18, 2007, Agency Staff conducted a mandatory job walk for the Properties and the
contractors in attendance were Total Environmental; Warren Duncan Contracting; Dakeno, Inc.; Woody's
Demolition; C.R. Gann Demolition; AON, Inc. and Brickley Environmental.
On October 31,2007, at 4:30 p.m., the bid proposals in response to the Notice were due and the results are
listed below: The gross amount reflects the entire price to demolish all 23 Properties ("Gross"), the net
amount reflects the amount to demolish only the Agency Properties at this time ("Net").
Bid Amount for the Properties
Gross
$472,355.00
$548,981.00
$551,193.00
Net
$337,055.00
$384,981.00
$393,993.00
Contractor
AON, Inc
Warren Duncan Contracting
C.R. Gann Demolition
AON, Inc. ("AON"), is the recommended contractor for the asbestos/1ead based paint abatement and
demolition/site clearance ("Scope of Work") contract because they were the lowest responsible bidder, has
many years of experience in this type of work and has completed a number of demolition projects for cities,
including the City of San Bernardino Code Enforcement. The commencement of the Scope of Work for
the initial 17 Agency Properties will be 10 days following a Notice to Proceed with an estimated
completion date of within 120 days.
ENVIRONMENTAL IMPACT:
The project was reviewed under the California Environmental Quality Act ("CEQA") and the project is
exempt from CEQA under Section 15268, Ministerial Projects.
FISCAL IMPACT:
The maximum fiscal impact is approximately $472,355.00 for the total Gross bid. However, the initial Net
bid of$337,055.00 will be awarded to AON following approval by the Commission. As the other 6 private
Properties are acquired, the Agency Executive Director will issue a change order to AON in the amount of
the AON bid for that particular property(ies) not to exceed the maximum. The amount will be paid from
the Low/Mod Tax Allocation Bond Issue Proceeds.
RECOMMENDATION:
That the Community Development Commission adopt the attached Resolution.
//.-
"
/
/
Maggie Pacheco,; Executive Director
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COMMISSION MEETING AGENDA
Meeting Date: 11/05/2007
Agenda Item Number: ~
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1
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RESOLUTION NO.
RESOLUTION OF THE COMMUNITY DEVELOPMENT COMMISSION
OF THE CITY OF SAN BERNARDINO APPROVING AND
AUTHORIZING THE EXECUTIVE DIRECTOR OF THE
REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO
("AGENCY") TO EXECUTE A DEMOLITION CONTRACT BY AND
BETWEEN THE AGENCY AND AON, INC., FOR THE DEMOLITION OF
AGENCY PROPERTIES IN THE NORTH ARDEN GUTHRIE AREA OF
SAN BERNARDINO (IVDA REDEVELOPMENT PROJECT AREA)
WHEREAS, the Redevelopment Agency of the City of San Bernardino (the "Agency") is a
9
community redevelopment agency duly created, established and authorized to transact business and
10
exercise its powers, all under and pursuant to the California Community Redevelopment Law (the
11
"CRL"), codified under Division 24, Part I of the California Health and Safety Code commencing at
12
Section 33000 and is authorized to acquire and demolish blighted properties for redevelopment
13
purposes located within approved redevelopment project areas in the City of San Bernardino (the
14
"City") in accordance with the CRL; and
15
WHEREAS, the Inland Valley Development Agency ("IVDA") was established pursuant to
16
a joint exercise of powers agreement in January 1990, as amended, for the purpose of conversion,
17
redevelopment and civilian reuse of the former Norton Air Force Base located within the City; and
18
WHEREAS, the Community Development Commission of the City of San Bernardino (the
19
"Commission"), as the governing board of the Agency, has authorized the Agency to assemble,
20
acquire real property and demolish blighted infrastructures for community redevelopment purposes
22
21
in the IVDA Redevelopment Project Area ("Project Area"); and
WHEREAS, the Project Area displays substantial and pervasive symptoms of blight that
23
cannot be remedied by private parties acting alone without community redevelopment assistance;
24
and
25
WHEREAS, since August 2006, the Agency has acquired seventeen (17) 4-plexes (the
26
"Agency Properties") from a total of twenty-three (23) blighted 4-plex structures in the Project
27
Area known as the North Arden Guthrie Area and successfully relocated the tenants to clean, safe
28
1
P:\Agendas\Resolutions\Resolutions\2007l1I-05-07 AON, Inc_ . Arden Guthrie Detmlition CDC Rcso_OOc
1 and sanitary housing and is in the process of negotiating the purchase of six (6) additional 4-plexes
2 in the North Arden Guthrie Area (the "Private Properties"); and
3 WHEREAS, on September 21, 2007, the Agency mailed copies of the Notice of Inviting
4 Bids ("Notice") to seven (7) qualified demolition contractors to ensure that the contractors, in
5 addition to the publication of said Notice, which demolition contractors have previously been used
6 by the City and the Agency, were in receipt of the Notice as quickly as possible; and
7 WHEREAS, in order to accomplish the demolition and clearance of the Agency Properties,
8 on August 30, 2007, and again on September 10, 2007, bids were solicited for the demolition and
9 clearance of the Agency Properties and the Private Properties in accordance with the Public
10 Contracts Code and the Agency received three (3) competitive sealed bids in response to the Notice
11 on October 31, 2007; and
12 WHEREAS, AON, Inc., (the "Contractor"), was determined to be the lowest responsible
13 bidder and the Agency desires to award a public works contract to the Contractor to perform said
14 demolition and clearance of the Agency Properties in accordance with the Contract as herein
15 defmed and thereafter with respect to the Private Properties, if, as and when such are acquired by
16 the Agency, in accordance with the terms and conditions of the Demolition Contract (the
17 "Contract") attached hereto and incorporated herein by said reference; and
18 WHEREAS, the project consisting of the demolition of the Agency Properties and the
19 Private Properties was reviewed under the California Environmental Quality Act ("CEQA"), and the
20 Agency determined that the project is exempt from CEQA under Section 15268, Ministerial
21 Projects.
22 NOW, THEREFORE, THE COMMUNITY DEVELOPMENT COMMISSION OF THE
23 CITY OF SAN BERNARDINO DOES HEREBY RESOLVE, DETERMINE AND ORDER, AS
24 FOLLOWS:
25
Section 1.
The information set forth in the above recitals of this Resolution is true and
26 correct.
The Commission hereby approves the award of the Contract between the
27
Section 2.
28 Agency and the Contractor attached hereto, incorporated herein by reference, and waives any
2
P:\Agendas\Resolutions\Rcsolutions\2007\11-0S..Q7 AON, Inc. - Arden Guthrie Demolition CDC Rcso.OOc
1 irregularities in the bid as submitted by the Contractor as permitted by the bid documents. Such
2 award of the Contract is for an award amount equal to $337,055 for the demolition of the seventeen
3 (17) 4-plexes comprising the Agency Properties, with the written commitment of the Contractor to
4 undertake the demolition of the additional six (6) 4-plexes if and when such 4-plexes are acquired
5 by the Agency and for the demolition costs per 4-plex and within the time frames as set forth in the
6 bid documents subject to change orders to the Contract as may be issued by the Executive Director
7 of the Agency as authorized herein. The Executive Director of the Agency is hereby authorized to
8 issue change orders to the Contract for the demolition of the additional six (6) 4-plexes comprising
9 the Private Properties for an amount not to exceed the total bid amount of the Contractor of
10 $472,355.
11
Section 3.
The Executive Director of the Agency is hereby authorized to execute the
12 Contract on behalf of the Agency in substantially the form attached hereto, together with such
13 changes therein as may be approved by the Executive Director of the Agency and Agency Counsel.
14 The Executive Director of the Agency or such other designated representative of the Agency is
15 further authorized to do any and all things and take any and all actions as may be deemed necessary
16 or advisable to effectuate the purposes of the Contract, including making non-substantive
17 modifications to the Contract.
18
Section 4.
The Commission finds that the demolition and clearance of the Agency
19 Properties and the Private Properties under the scope of the Contract is exempt from CEQA under
20 Section 15268, Ministerial Projects.
This Resolution shall take effect from and after its date of adoption by this
21 Section 5.
22 Commission.
23 /II
24 /II
25 /II
26 /II
27 /II
28 1/1
3
P:\Agendas\Rcsolutions\Resolutions\2007\ll-OS-07 AON, Inc. - Arden Guthrie Demolition CDC Reso.cbe
1
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RESOLUTION OF THE COMMUNITY DEVELOPMENT COMMISSION
OF THE CITY OF SAN BERNARDINO APPROVING AND
AUTHORIZING THE EXECUTIVE DIRECTOR OF THE
REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO
("AGENCY") TO EXECUTE A DEMOLITION CONTRACT BY AND
BETWEEN THE AGENCY AND AON, INC., FOR THE DEMOLITION OF
AGENCY PROPERTIES IN THE NORTH ARDEN GUTHRIE AREA OF
SAN BERNARDINO (IVDA REDEVELOPMENT PROJECT AREA)
I HEREBY CERTIFY that the foregoing Resolution was duly adopted by the Community
Development Commission of the City of San Bernardino at a
meeting
8
thereof, held on the day of
9
Commission Members: Aves
10 ESTRADA
11 BAXTER
12 BRINKER
13 DERRY
14 KELLEY
15 JOHNSON
16 MC CAMMACK
17
18
,2007, by the following vote to wit:
Abstain
Absent
Navs
Secretary
19
20 The foregoing Resolution is hereby approved this
day of
,2007.
21
22
23
Patrick J. Morris, Chairperson
Community Development Commission
of the City of San Bernardino
24 Approved as to Form:
25 .u1 L
26 BY:_C~~'
27
28
4
P,\Agendas\Rcsofutions\Resolutions\2007\l 1-05-07 AON, Inc. - Arden Gutlnic: Demolition CDC Reso_OOc
REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO
DEMOLITION CONTRACT
(ASBESTOSILEAD BASED PAINT ABATEMENT
AND DEMOLITION/SITE CLEARANCE PROJECT)
TillS PUBLIC WORKS PROJECT CONTRACT for the demolition of not to exceed
twenty-three (23) four-plex apartment buildings in the Arden Guthrie area of the City of San
Bernardino, California, collectively referred to herein as the AsbestoslLead Based Paint
Abatement and Demolition/Site Clearance Project (the "Contract"), is made and entered into this
Sth day of November 2007, by and between the Redevelopment Agency of the City of San
Bernardino, a public body, corporate and politic (referred to herein as the "Owner" or the
"Agency") and AON, Inc. (the "Contractor").
IN WITNESS HEREOF, THE UNDERSIGNED PARTIES HAVE MUTUALLY
COVENANTED AND AGREED TO THE FOLLOWING:
1. THE CONTRACT DOCUMENTS. The complete contract is comprised of and
includes the following if and to the extent such are a part of the bid documents and addendum as
issued by the Agency to obtain this Contract: 1) The Instructions to Bidders (including
asbestos/lead based paint survey); 2) Bidder's Proposal; 3) Equal Employment Opportunity
Certification; 4) Minority Business EnterprisesIWomen's Business Enterprises ("MBElWBE")
Information; S) Good Faith Efforts Statement of MBEIWBE Participation; 6) Certification
regarding no Suspension or Ineligibility for Public Works Contracts under the Public Contracts
Code and the California Prevailing Wage Law (California Labor Code Section 1720, et seq. and
regulations promulgated thereunder) (the "PWL"); 7) Clean Air and Water Pollution Control
Certification; 8) Designation of Subcontractors; 9) Non-Collusion Affidavit; 10) Contractor's
Certification Relating to Campaign Contributions to Mayor and/or Member of the Common
Council; 11) This Contract, including the Supplemental Annex; 12) Technical Specifications; 13)
Form of Performance Bond; 14) Form of Labor and Material Bond; IS) Certification of
Insurance coverage; 16) Copies of the State of California Contractor's Licenses; 17) Copy of the
City of San Bernardino ("City") Business License; 18) Copy of the Worker's Compensation
Insurance; 19) Copy of the Comprehensive General Liability Insurance per the Contract; 20)
Copy of the Automobile Insurance per the Contract; 21) General Conditions (including, without
limitation, Part 1, Sections 1-9 of Standard Specifications for Public Works Construction, 2000
Edition (the "Greenbook") as supplemented by the "2002 Cumulative Supplement to
Greenbook"; 22) Any Addenda issued under the Instructions to Bidders; 23) Any Regulations,
Ordinances, Codes, and Laws incorporated within the General Specifications; 24) Any Agency
approved Change Order(s) submitted during construction; and 2S) Copy of Public Contract Code
Section 20104 through 20104.6.
All of the above documents are intended to coordinate as one contract so that any work called for
in one (1) document and not mentioned in another, or vice versa, is to be executed the same as if
mentioned in all said documents. The documents comprising the complete contract are
hereinafter referred to collectively as the "Contract Documents."
4842-9647-4625.1 Page 1 of 16
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2. THE WORK. The Contractor agrees to furnish all tools, apparatuses, facilities,
equipment, labor and materials (except that specifically mentioned as being furnished by others)
necessary to perform and complete the work in a good and worker like manner as called for, and
in the manner designated in, and in strict conformity with the Contract Documents which are
identified by the signatures of the parties to this Contract and are, collectively, entitled:
REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO
ASBESTOSILEAD BASED PAINT ABATEMENT
AND DEMOLITION/SITE CLEARANCE PROJECT
3. CONTRACT PRICE. The Agency agrees to pay and the Contractor agrees to accept, in
full payment for the work above agreed to be done, the following compensation, to-wit:
Amounts as determined by applying the information contained in the Contractor's bid proposal
for the asbestosllead based paint abatement and demolition/site clearance of the twenty-three
four-plex apartment buildings (the "Project"). The amount of the Contract for the Project is for
$337,055 for the demolition of seventeen (17) Agency owned 4-plexes at the addresses as set
forth in the Agency bid documents. The Executive Director of the Agency shall have the
authority to issue one (1) or more change orders to this Contract within the time period
authorized by the Agency bid documents and for the price per unit as bid by the Contractor, or
thereafter as the parties may otherwise agree. The total amount of this Contract, in the event the
Executive Director of the Agency does in fact so issue one (1) or more such change orders shall
not exceed the total bid amount of the Contractor equal to $472,355 for the demolition of the
total of twenty-three (23) 4-plexes.
4. INCORPORATION BY REFERENCE OF PART 1. SECTIONS 1-9 OF THE
GREENBOOK. 2000 EDITION. AS SUPPLEMENTED. The Greenbook, as supplemented
by the publication entitled, "2002 Cumulative Supplement to Greenbook," is hereby incorporated
by this reference into this Contract.
The word "Project" means and refers to the "Project," as this term is defined in the Instructions
to Bidders.
To the extent that any provision of the printed text which appears in this Contract is in conflict
with the printed text of the provisions of the Greenbook as incorporated into this Contract by this
reference, then in such event, the printed text of this Contract shall take precedence over such
printed text in the Greenbook.
5. PAYMENT. After the completion of the asbestosllead based paint abatement and
demolition/clearance for each site, and after acceptance of the work for such site by the Agency,
the Contractor shall make a partial payment request to the Agency for the amount of the Contract
price relating to that site. Within thirty (30) calendar days of the Agency's receipt of an
undisputed and properly executed partial payment request from the Contractor, the Agency shall
make a partial payment in the amount of the Contractor's site payment request, less the ten
percent (10%) of the amount to be retained by the Agency until completion of the Project and
recordation of a Notice of Completion of all work covered by this Contract.
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The Agency shall pay the Contractor interest on the amount of any portion of a payment request,
excluding retention amounts, not made to the Contractor within thirty (30) calendar days of the
Agency's receipt of an undisputed and properly executed payment request from the Contractor at
the legal rate set forth in California Code of Civil Procedure Section 685.010. Upon receipt of a
payment request from the Contractor, the Agency shall review the payment request for the
purpose of detennining whether or not the payment request is a proper payment request for any
site of the Contractor's bid. If the payment request is determined by the Agency not to be a
proper payment request suitable for payment it shall be returned to the Contractor by the Agency
within ten (10) working days of the Agency's receipt of the payment request. A payment request
returned to the Contractor by the Agency under the provisions of this section shall be
accompanied by a written document setting forth the reason(s) why the payment request is not
proper. The number of days for the Agency to make a certain payment provided for in this
Contract, without incurring interest pursuant to this section, shall be reduced by the number of
days by which the Agency exceeds the ten (10) working days return period for such payment
request, if determined to be improper, as set forth in this section. For the purposes of this
section, a "request for payment" means all payments due to the Contractor under this Contract,
exclusive of that portion of the final payment designated as retention earnings. Also, for the
purposes of this section, a payment request shall be considered properly executed by the Agency
if funds are available to pay the payment request and payment is not delayed due to an audit
inquiry by the Agency's financial officer. The Agency will release the Contractor's retention
earnings within forty-five (45) calendar days after recordation of a Notice of Completion, as
defined in California Civil Code Section 3093. Recordation of a Notice of Completion for the
Project by the Agency shall constitute the Agency's acceptance of the completed Project.
6. STOP NOTICE. The Contractor shall promptly pay all valid bills and charges for
material, labor, equipment or otherwise in connection with or arising out of the performance of
this Contract, and will hold the Agency free and harmless against all liens and/or claims of lien
for material, labor or equipment filed against the Agency, and from and against all expenses and
liability in connection therewith, including, but not limited to, court costs and attorney's fees
resulting or arising there from. In the event any liens and/or claims of lien are filed for recording
against the Agency or any property owned by the Agency, or the Agency receives notice of any
unpaid bill or charge in connection with the performance of this Contract, the Contractor shall
forthwith either pay and discharge the liens and/or claims of lien and cause same to be released
of record or the Contractor shall furnish the Agency with proper indemnity, either by satisfactory
corporate surety bond or satisfactory title policy. Said indemnity shall also be subject to
approval oflien holder.
7. TIME FOR COMPLETION. All work under this Contract shall be completed no later
than January 31,2008, unless otherwise extended by change order of the Executive Director of
the Agency at his or her sole discretion.
8. EXTENSION OF TIME~ If the Contractor is delayed by acts of negligence of the
Agency, or its employees or those under it by the Contract or otherwise, or by changes ordered in
the work, or by strikes, lockouts, fire, unavoidable casualties, or any causes beyond the
Contractor's control, or by delay authorized by the Agency, or by any justifiable cause which the
Agency shall authorize, then the Contractor shall make out a written claim addressed to the
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Agency setting forth the reason for the delay and the extension of the time requested and forward
a copy of the claim to the Agency for approval. The Agency will evaluate the claim and if the
claim is justifiable, will request the Agency's approval. No such extension will be allowed
unless written claim therefore has been made within three (3) days after the delay became
apparent.
9. LIOUIDATED DAMAGES FOR DELAY. The provisions of Section 6.9 of the
Greenbook are hereby modified to provide for liquidated damages in the amount of Two
Hundred Dollars ($200) per working day.
10. CHANGE ORDERS. No change in work, as described in the Contract Documents, shall
be made except upon the approval of the Agency or as otherwise authorized herein for the
undertaking of the demolition of the six (6) additional 4-plexes. The Contractor shall not be
entitled to any compensation for any additional work unless such Project Change Order is written
and entered into by the Contractor and the Agency. The Project Change Order shall describe the
nature of the additional work in detail, the location of the work, the estimated time for
completion thereof, and terms of compensation to be paid to the Contractor for its performance
in accordance with this Contract, as modified by the Project Change Order. Such procedures for
the issuance of Project Change Orders shall be applicable to the undertaking of the demolition of
the additional six (6) 4-plexes as set forth herein and in the bid documents of the Contractor.
11. REAL PROPERTY LIENS. The Contractor shall promptly pay all valid bills and
charges for material, labor or otherwise in connection with or arising out of the performance of
this Contract, and will hold the Agency free and harmless against all liens and/or claims of lien
for material and labor filed against the real property or any part thereof, and from and against all
expense and liability in connection therewith, including, but not limited to, court costs and
attorney's fees resulting or arising there from. In the event any liens and/or claims of lien are
filed for record against the real property, or the Agency receives notices of any unpaid bill or
charge in connection with the performance of this Contract, the Contractor shall forthwith either
pay and discharge the liens and/or claims of lien and cause same to be released of record, or the
Contractor shall furnish the Agency with proper indemnity, either by satisfactory corporate
surety bond or satisfactory title policy. Said indemnity shall also be subject to approval of the
lien holder.
12. lNDEMNIFlCATIONS AND HOLD HARMLESS. The Contractor shall defend,
indemnifY, protect and hold free and harmless the Agency, its officers, employees, and agents
from and against any and all actions, suits, proceedings, claims, demands, losses, costs, injuries
to or death of any person or persons and expenses, including attorney's fees, for injury or
damage of any type claimed which is brought by any individual or entity, whether public or
private, as a result of the acts, errors or omissions of the Contractor, its officers, employees,
agents, and its Subcontractors arising from or related to performance of the work required
hereunder to complete the Project.
13. INSURANCE. The provisions of Section 7-3 and Section 7-4 of the Greenbook are
hereby amended to read as follows for the purposes of this Contract:
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The Contractor shall procure and maintain insurance policies meeting the minimum requirements
set forth below. Insurance shall be provided by insurers satisfactory to the Agency. Certificates
evidencing insurance coverage shall be delivered to the Agency for each policy required herein
prior to commencement of any work. Ail insurance certificates shall name the Agency as an
additional insured and provide for thirty (30) days prior written notice of cancellation to the
Agency.
a. Comprehensive General Liabilitv Insurance. The Contractor shall maintain
comprehensive general liability insurance of not less than One Million Dollars
($1,000,000) combined single limit, per occurrence. The Contractor mnst provide
Comprehensive General Liability Insurance Policy with appropriate endorsement for
builder's course of construction and fire casualty loss.
b. Automobile Insurance. The Contractor shall maintain comprehensive automobile
liability insurance of not less than One Million Dollars ($1,000,000) combined single
limit per occurrence.
c. Worker's Compensation. The Contractor shall maintain worker's compensation
coverage in accordance with the Laws of the State of California for all workers under
its employ and Subcontractors performing the work required herein.
14. LABOR PROVISIONS.
a. Prevailing Wages.
The Project is a "public work" as this term is defined under applicable State Law (See
California Labor Code Section 1720, et seq. and California Administrative Code, Title 8, Section
16000, et seq.).
(I) All laborers and mechanics employed or working upon the site of the Project will
be paid unconditionally and not less often than once a week, and without subsequent deduction
or rebate on any account the full amount of wages and bona fide fringe benefits (or cash
equivalents thereof) due at time of payment computed at rates not less than those contained in the
wage determination of the Director of the Department of Industrial Relations (the "Director")
regardless of any contractual relationship which may be alleged to exist between the Contractor
and such laborers and mechanics. Such laborers and mechanics shall be paid the appropriate
wage rate and fringe benefits on the wage determination for the classification of work: actu31ly
performed, without regard to skill, except as provided in paragraph d. of this Section 14.
Laborers or mechanics performing work in more than one (1) classification may be compensated
at the rate specified for each classification for the time actually worked therein, provided that the
employer's payroll records accurately set forth the time spent in each classification in which
work: is performed. The wage determination shall be posted at all times by the Contractor and its
Subcontractors at the site of the Project in a prominent and accessible place where it can easily
be seen by the workers.
(2) Whenever the minimum wage rate prescribed in the Contract for a class of
laborers or mechanics includes a fringe benefit which is not expressed as an hourly rate, the
Contractor shall either pay the benefit as stated in the wage determination or shall pay another
bona fide fringe benefit or an hourly cash equivalent thereof.
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(3) If the Contractor does not make payments to a trustee or other third person, the
Contractor may consider as part of the wages of any laborer or mechanic, the amount of any
costs reasonably anticipated in providing bona fide fringe benefits under a plan or program,
provided that the Director has found, upon the written request of the Contractor, that the
applicable standards ofthe Prevailing Wage Law have been met. The Director may require the
Contractor to set aside, in a separate account, assets for the meeting of obligations under the plan
or program.
b. Withholding. The Agency shall, upon its own action or upon written request of
an authorized representative of the Department of Industrial Relations, withhold or cause to be
withheld from the Contractor under this Contract or any other contract with the same Contractor,
or any other contract subject to prevailing wage requirements, which is held by the same
Contractor, so much of the accrued payments or advances as may be considered necessary to pay
laborers and mechanics, including apprentices, trainees, and helpers, employed by the Contractor
or any subcontractor the full amount of wages required by the contract. In the event of failure to
pay any laborer or mechanic, including any apprentice, trainee, or helper, employed or working
on the site of the Project, all or part of the wages required by the Contract, the Agency may after
written notice to the Contractor, take such action as may be necessary to cause the suspension of
any further payment, advance, or guarantee of funds until such violations have ceased.
c. Payrolls and Basic Records.
(I) Payrolls and basic records relating thereto shall be maintained by the Contractor
during the course of the work and preserved for a period of three (3) years thereafter for all
laborers and mechanics working at the site of the Project. Such records shall contain the name,
address, and social security number of each such worker, his or her correct classification, hourly
rates of wages paid, daily and weekly number of hours worked, deductions made and actual
wages paid. Whenever the Director has found under paragraph (3) of this clause that the wages
of any laborer or mechanic include the amount of any costs reasonably anticipated in providing
benefits under such plan or program, the Contractor shall maintain records which show that the
commitment to provide such benefits is enforceable, that the plan or program is financially
responsible, and that the plan or program has been communicated in writing to the laborers or
mechanics affected, and records which show the costs anticipated or the actual costs incurred in
providing such benefits. If the Contractor employs apprentices or trainees under approved
programs, the Contractor shall maintain written evidence of the registration of apprenticeship
programs and certification of trainee programs, the registration of the apprentices and trainees,
and the ratios and wage rates prescribed in the applicable programs.
(2) (i) The Contractor shall prepare weekly payrolls for each week in which any
Contract work is performed. The payrolls shall set out accurately and completely all of the
information required to be maintained under paragraph c.(l) above. This information may be
prepared in any form desired. The Contractor is responsible for obtaining copies of the payrolls
by all Subcontractors.
(ii) Each payroll prepared shall be accompanied by a "Statement of Compliance,"
signed by the Contractor or Subcontractor or his or her agent who pays or supervises the
payment of the persons employed under the Contract and shall certify the following:
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(A) That the payroll for the payroll period contains the information
required to be maintained under paragraph c.(l) above and that such information is correct and
complete;
(B) That each laborer and mechanic (including each helper, apprentice
and trainee) employed on the contract during the payroll period has been paid the full weekly
wages earned, without rebate, either directly or indirectly, and that no deductions have been
made either directly or indirectly from the full wages earned, other than permissible deductions;
(C) That each laborer or mechanic has been paid not less than the
applicable wage rates and fringe benefits or cash equivalents for the classification of work
performed, as specified in the applicable wage determination incorporated into the Contract.
(iii) Whenever a Contractor or Subcontractor is found by the Labor
Commissioner to be in violation of the Prevailing Wage Law with intent to defraud, the
Contractor or Subcontractor shall be ineligible for a period of not less than one (1) year or more
than three (3) years to bid or perform work on a public works contract.
(3) The Contractor or Subcontractor shall make the records required under paragraph
c.(l) of this section available for inspection, copying or transcription by authorized
representatives of the Agency, any office of the Division of Labor Standards Enforcement or the
Division of Apprenticeship Standards, and shall permit such representatives to interview
employees during working hours on the job. If the Contractor or Subcontractor fails to submit
the required records or to make them available, the Labor Commissioner may, after written
notice to the Contractor or the Agency, take such action as may be necessary to cause the
withholding of any further payment, advance, or guarantee of funds by the Agency, and
determination of a penalty as set forth in Labor Code Section 1775, et seq.
d. Apprentices and Trainees.
(1) ApPrentices. Apprentices, as defined in Labor Code Section 3077, will be
permitted to work at less than the predetermined rate for the work they perform when they are in
training under apprenticeship standards \ that have been approved by the Chief of the
Apprenticeship Standards and who are parties to written apprentice agreements under Chapter 4
(commencing with Section 3070) of Division 3 of the Labor Code. The allowable ratio of
apprentices to journeymen on the Project site in any craft classification shall not be greater than
the ratio permitted to the Contractor as to the entire work force under the rules and regulations of
the California Apprenticeship Council. Any worker listed on a payroll at an apprentice wage rate,
who is not employed as stated above, shall be paid not less than the applicable wage rate on the
wage determination for the classification of work actually performed. In addition, any
apprentice performing work on the job site in excess of the ratio permitted under the
apprenticeship standards and agreements shall be paid not less than the applicable wage rate on
the wage determination of the work actually performed. Every apprentice must be paid at not
less than the rate specified in the apprenticeship agreement for the apprentice's level of progress,
expressed as a percentage of the journeymen hourly rate specified in the applicable wage
determination. Apprentices shall be paid fringe benefits in accordance with the provisions of the
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apprenticeship program. If the apprenticeship program does not specify fringe benefits,
apprentices must be paid the full amount of fringe benefits listed on the wage determination for
the applicable classification. If the Administrator of Apprentices determines that a different
practice prevails for the applicable apprentice classification, fringes shall be paid in accordance
with that determination
(2) Trainees. Trainees will not be permitted to work at less than the predetermined
rate for the work performed unless they are employed pursuant to and individually registered an
"on-the-job training" program established pursuant to Labor Code Section 3093. The ratio of
trainees to journeymen on the Project site shall not be greater than permitted under the program
pursuant to Section 3093 by the California Apprenticeship Council in cooperation with the
Department of Education, the Employment Development Department, and the Board of
Govemors of the California Community Colleges. Every trainee must be paid at not less than
the rate specified in the approved program for the trainee's level of progress. Trainees shall be
paid fringe benefits in accordance with the provisions of the trainee program. If the trainee
program does not mention fringe benefits, trainees shall be paid the full amount of fringe benefits
listed on the wage determination unless the Administrator of Apprentices so determines. Any
employee listed on the payroll at a trainee rate who is not registered and participating in an "on-
the-job training" program established pursuant to Section 3093 shall be paid not less than the
applicable wage rate on the wage determination for the classification of work actually performed.
In addition, any trainee performing work on the Project site in excess of the ratio permitted under
the "on-the-job training" program as established shall be paid not less than the applicable wage
rate on the wage determination for the work actually performed. In the event the Administrator
of Apprentices withdraws approval of an "on-the-job training" program, the Contractor will no
longer be permitted to utilize trainees at less than the applicable predetermined rate for the work
performed until an acceptable program is approved.
(3) Equal Emplovment Opportunitv. The utilization of apprentices, trainees and
journeymen under this part shall be in conformity with the prohibitory discrimination provisions
of California law as set forth in the California Constitution, Article I, Section 8, Government
Code Section 12900, et seq. and Labor Code Sections 1735, 1777.6 and 3093.
e. Subcontracts. The Contractor and each Subcontractor shall insert in any
subcontracts the clanses contained in paragraphs a. through i. of Section 12. of this Contract and
such other clauses as maybe reqnired, and also a clause reqniring the Subcontractors to include
these clauses in any lower tier subcontracts. The Contractor shall be responsible for the
compliance by any Subcontractor or lower tier Subcontractor with all the Contract clauses and all
requirements of the Prevailing Wage Law.
f. Contract Termination. A breach of the Contract clauses in paragraphs a through
i. of this Section 14 and a. through e. of Section IS below are grounds for termination of this
Contract, and for the withholding of payment by the Agency and notification to the Division of
Labor Standards Enforcement or the Division of Apprenticeship Standards, as applicable.
g. Compliance With Prevailing Wage Law and Related Regulatory Reauirements.
All rulings and interpretations of the Prevailing Wage Law, and the related regulations
promulgated thereunder contained in 8 CCR Section 16000, et seq., are herein incorporated by
reference in this Contract.
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h. Disputes Concerning Labor Standards. Disputes arising out of the labor standards
provisions of this Contract shall not be subject to the general disputes provision of this Contract.
Such disputes shall be resolved in accordance with the procedures of the Department of
Industrial Relations as set forth in 8 CCR section 16000, et seq. Disputes within the meaning of
this clause include disputes between the Contractor (or any of its Subcontractors) and the
Agency, the Department of Industrial Relations, or the employees or their representatives.
1. Certification of Eligibilitv.
(1) By entering into this Contract, the Contractor certifies that neither it (nor he or
she) nor any person or firm who has an interest in the Contractor's firm is a person or firm
ineligible to be awarded a public works contract by virtue of Labor Code Section 1775,et seq.
(2) No part of this contract shall be subcontracted to any person or firm ineligible for
award of a public works contract by virtue of Labor Code Section 1775, et seq.
15. CONTRACT WORK HOURS AND SAFETY STANDARDS REOUIREMENTS.
As used in the following provision, the term "laborers" and "mechanics" include watchers and
guards.
a. Overtime Reauirements. Neither the Contractor nor any Subcontractor
contracting for any part of the Project which may require or involve the employment of laborers
or mechanics shall require or permit any such laborer or mechanic in any workday in which he or
she is employed on such work to work in excess of eight (8) hours per day, or in any workweek
in which he or she is employed on such work to work in excess of forty (40) hours in such
workweek, unless such laborer or mechanic receives compensation at a rate not less than one and
one-half (1 Yz) times the basic rate of pay for all hours worked in excess of eight (8) hours in
such workday or forty (40) hours in such workweek.
b. Violation; Liabilitv for Unpaid Wages: LiQuidated Damages. In the event of any
violation of the clause set forth in paragraph a. above, the Contractor and any Subcontractor
responsible therefore, shall be liable for the unpaid wages. In addition, the Contractor and
Subcontractor shall be liable to the Agency for liquidated damages. Such liquidated damages
shall be computed with respect to.each individual laborer or mechanic, including watchers and
guards, employed in violation of the clause set forth in paragraph a above, in the sum of Ten
Dollars ($10) for each calendar day on which such individual was required or permitted to work
in excess of the standard workday of eight (8) hours or workweek of forty (40) hours without
payment of the overtime wages required by the clause set forth in paragraph a. above.
c. Withholding for Unpaid Wages and LiQuidated Damages. The Agency shall,
upon its own action or upon written request of an authorized representative of the Department of
Industrial Relations, withhold or cause to be withheld, from any mouies payable on account of
work performed by the Contractor or Subcontractor under any such contract or any other contract
with the same Contractor, or any other contract subject to the Califoruia work hours and safety
standards requirements which is held by the same Contractor, such sums as may be determined
to be necessary to satisfy any liabilities of such Contractor or Subcontractor for unpaid wages
and liquidated damages as provided in the clause set forth in paragraph b. above.
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d. Working conditions. Neither the Contractor nor any Subcontractor may require
any laborer or mechanic employed in the performance of any contract to work in surroundings or
under working conditions that are unsanitary, hazardous or dangerous to his or her health or
safety as determined under construction safety and health standards issued by the Department of
Indnstrial Relations.
e. Subcontracts. The Contractor and any Subcontractor shall insert in any
subcontracts the clauses set forth in paragraphs a. through d. and also a clause requiring the
Subcontractor to include these clauses in any lower tier subcontracts. The Contractor shall be
responsible for compliance by any Subcontractor or lower tier Subcontractor with the clauses set
forth in paragraphs a. through d.
16. NONDISCRIMINATION. The Contractor, with regard to the work performed by it during
the Contract, shall not discriminate on the grounds of race, color, or national origin in the
selection and retention of Subcontractors, including procurements of materials and leases of
equipment. The Contractor shall not participate either directly or indirectly in the discrimination
prohibited by the California Constitution and statutory provisions, including the Prevailing Wage
Law.
17. CITY OF SAN BERNARDINO MINORITY BUSINESS ENTERPRISES (MBE)
AND WOMEN'S BUSINESS ENTERPRISES (WBE) PROGRAM PROVISIONS. A
policy for establishing goals for participation of the MBElWBE was adopted on November 20,
1995, by Resolution No. 95-409 of the Mayor and Common Council of the City of San
Bernardino. This outreach program superseded Resolution No. 93-411 and the Standard
Operation Procedures dated January 1995. Bidder's outreach efforts (good faith efforts) must
reach out to MBElWBE and all other business enterprises. Prime bidder's could reasonably be
expected to produce a level of participation by interested subcontractors of fifteen percent (15%)
MBE and five percent (5%) WBE on this project. Bidder's shall make every reasonable effort to
solicit bids from MBElWBE. A certified justification shall be provided to support the rejection
of any bid from a minority business enterprise or women's business enterprise.
It is the policy of the City to provide MBElWBE and all other enterprises an equal opportunity to
participate in the performance of all City contracts. Bidders shall assist the City in implementing
this policy by taking all reasonable steps to ensure that all available business enterprises,
including the local MBElWBE, have an equal opportunity to compete for and participate in City
contracts. If the City has established expected levels of participation for the MBElWBE
Subcontractors, failure to meet those levels shall not be a basis for disqualification of the bidder.
A determination of the adequacy of a bidder's good faith effort must be based on information
provided on the Good Faith Effort Statement ofMBElWBE Participation form.
The Contractor, sub-recipient or Subcontractor shall not discriminate on the basis of race, color,
national origin, or sex in the performance of this Contract. Failure by the Contractor to carry out
these requirements is a material breach of this Contract, which may result in the termination of
this Contract or such other remedy as recipient deems appropriate. The Contractor agrees to pay
each Subcontractor under this Contract for satisfactory performance of its Contract no later than
ten (10) calendar days from the receipt of each payment the Contractor receives from the
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Agency. The Contractor agrees further to return retained payments to each Subcontractor within
seven (7) calendar days after the Subcontractor's work is satisfactorily completed. Any delay or
postponement of payment from the above-referenced time frame may occur only for good cause
following written approval of the Agency. This clause applies to both the MBEfWBE.
18. CIVIL RIGHTS. The Contractor assures that it will comply with the California
Constitution, Article I, Section 8, pertinent statutes, and such rules as are promulgated to assure
that no person shall, on the grounds of race, creed, color, national origin, sex, age or handicap, be
excluded from participating in any activity conducted with or benefiting from the Project. This
Provision binds the Contractor from the bid solicitation period through the completion of the
Contract. This provision shall be inserted in all subcontracts, sul:1leases and other agreements at
all tiers.
19. SOLICITATIONS FOR SUBCONTRACTS. INCLUDING PROCUREMENTS OF
MATERIALS AND EOUIPMENT. In all solicitations either by competitive bidding or
negotiation made by the Contractor for work to be performed under a subcontract, including
procurements of materials or leases of equipment, each potential Subcontractor or supplier shall
be notified by the Contractor of the Contractor's obligations under this Contract and the
Regulations relative to nondiscrimination on the grounds of race, color or national origin.
20. INFORMATION AND REPORTS. The Contractor shall provide all information and
reports required by the Regulations or directives issued pursuant thereto and shall permit access
to its books, records, accounts, other sources of information and its facilities as may be
determined by the Agency to be pertinent to ascertain compliance with such Regulations, orders,
and instructions. Where any information required of a Contractor is in the exclusive possession
of another who fails or refuses to furnish this information, the Contractor shall so certify to the
Agency, as appropriate, and shall set forth what efforts it has made to obtain the information.
21. SANCTIONS FOR NONCOMPLIANCE. In the event of the Contractor's noncompliance
with the nondiscrimination provisions of this Contract, the Agency shall impose such contract
sanctions as determined to be appropriate, including, but not limited to:
a. Withholding of payments to the Contractor under the Contract until the
Contractor complies and/or;
b. Cancellation, termination or suspension of the Contract, in whole or in part.
22. INSPECTION OF RECORDS. The Contractor shall maintain an acceptable cost
accounting system. The Agency, the Division of Labor Standards Enforcement or the Division
of Apprenticeship Standards shall have access to any books, documents, paper, and records of
the Contractor which are directly pertinent to this Contract or the Project for the purposes of
making an audit, examination, excerpts, and transcriptions. The Contractor shall maintain all
required records for three (3) years after the Agency makes final payment and all.other pending
matters are closed.
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23. RIGHTS IN INVENTIONS. All rights to inventions and materials generated under this
Contract are subject to regulations issued by the Agency. Information regarding these rights is
available from the Agency.
24. BREACH OF CONTRACT TERMS. Any violation or breach of terms of this Contract on
the part of the Contractor or its Subcontractors may result in the suspension or termination of this
Contract or such other action that may be necessary to enforce the rights of the Agency under
this Contract. The duties and obligations imposed by the Contract Documents and the rights and
remedies available thereunder shall be in addition to and not a limitation of any duties,
obligations, rights.and remedies otherwise imposed or available by law. This Contract shall be
interpreted under the laws of the State of California. The venue for any legal proceeding to
enforce or interpret any provisions of this Contract shall be in the Superior Court of the County
of San Bernardino. In the event that legal proceedings may be initiated by one (1) party to
enforce its rights under this Contract, then the prevailing party in such legal proceedings shall be
entitled to recover from the other party, its reasonable attorneys' fees either in such legal
proceedings or in a separate action to recover such reasonable attorneys' fees. In the case of the
Agency, the words ''reasonable attorneys' fees" include the cost and expenses calculated on an
hourly basis, of all lawyers retained by the Agency in connection with the legal representation of
the Agency in any matter arising from the Contract, including, without limitation, attorneys in
the Office of the City Attorney and the Agency General Counsel.
25. TERMINATION OF CONTRACT BY AGENCY.
a. The Agency may, by written notice, terminate this Contract in whole or in part at
any time, either for the Agency's convenience or because of the Contractor's failure to fulfill its
Contract obligations. Upon receipt of such notice, services shall be immediately discontinued
(unless the notice directs otherwise) and all materials as may have been accumulated in
performing this Contract, whether completed or in process, delivered to the Agency.
b. If the termination is for the convenience of the Agency, an equitable adjustment in
the Contract price shall be made, but no amount shall be allowed for anticipated profit on
unperformed services.
c. If the termination is due to failure to fulfill the Contractor's obligations, the
Agency may take over the work and prosecute the same to completion by the Contract or
otherwise. In such case, the Contractor shall be liable to the Agency for any additional cost
occasioned to the Agency thereby.
d. If, after notice of termination for failure to fulfill the Contract obligations, it is
determined that the Contractor had not so failed, the termination shall be deemed to have been
effected for the convenience of the Agency. In such event, adjustment in the Contract price shall
be made as provided in paragraph b. of this clause.
e. The rights and remedies of the Agency provided in this Section 25 are in addition
to any other rights and remedies provided by law or under this Contract.
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26. INCORPORATION OF PROVISIONS. The Contractor shall include the provisions of
this Contract in every subcontract, including procurements of materials and leases of equipment,
unless exempt by the Regulations or directives issued pursuant thereto. The Contractor shall
take such action with respect to any subcontract or procurement as the Agency may direct as a
means of enforcing such provisions, including sanctions for noncompliance. Provided, however,
that in the event the Contractor becomes involved in, or is threatened with, litigation with a
Subcontractor or supplier as a result of such direction, the Contractor may request the Agency to
enter into such litigation to protect the interests of the Agency and, in addition, the Contractor
may request the Department of Industrial Relations to enter into such litigation to protect the
interests of the State of California.
27. CONTRACTOR CLAIMS OF 5375.000 OR LESS. Claims by the Contractor relating to
the Project for (a) a time extension; (b) money or damages arising from work done by, or on
behalf of, the Contractor on the Project for which payment is not expressly provided for or to
which the Contractor is not otherwise entitled, or (c) an amount that is disputed by the Agency,
with a value of Three Hundred Seventy-Five Thousand Dollars ($375,000) or less, are subject to
the claims procedures set forth in California Public Contract Code Sections 20104, et seq.,
except as otherwise provided in this Contract and the incorporated documents, conditions and
specifications. A copy of California Public Contract Code Sections 20104 through 20104.6 has
been provided to the Contractor and is on file with the Agency and made a part of this Contract.
28. LOBBYING AND INFLUENCING EMPLOYEES.
(1) No public works funding shall be paid by, or on behalf of the Contractor or its
Subcontractors, to any person for influencing or attempting to influence an officer or employee
of the Agency, in connection with the Project.
(2) The terms of the Conflict of Interest Code and any amendments thereto which have
been incorporated by reference into the Prevailing Wage Law and constitute the Conflict of
Interest Code of the Department of Industrial Relations are hereby made a part of this Contract.
29. ASSIGNMENT OF CERTAIN RIGHTS TO THE AGENCY. In entering into this
Contract or a subcontract to supply goods, services, or materials pursuant to this Contract, the
Contractor and/or Subcontractor offers and agrees to assign to the Agency, all rights, title, and
interest in and to all causes of action it may have under Section 4 of the Clayton Act (15 U.S.C.
Sec. 15) or under the Cartwright Act (Chapter 2 (commenciI}.g with Section 16700) of Part 2 of
Division 7 of the Business and Professions Code), arising from purchases of goods, services, or
materials pursuant to this Contract or the subcontract. This assignment shall be made and
become effective at the time the Agency tenders final payment to the Contractor, without further
acknowledgment by the parties.
30. ENERGY CONSERVATION REQUIREMENTS. The Contractor agrees to comply with
mandatory standards and policies relating to energy efficiency that are contained in the state
energy conservation plan issued in compliance with the Energy Policy and Conservation Act
(Public Law 94-163).
31. PROTECTION. The Contractor shall, at all times, provide protection against weather, rain,
wind, storm and heat so as to maintain all work, materials, apparatuses and fixtures free from
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injury and damage. At the end of a day's work, all new work and the premises likely to be
damaged by failure to provide protection as required above shall be protected. In the event that
weather, rain, wind, storm and heat damage or injure the work, materials, apparatuses and
fixtures due to Contractor's failure to provide protection as required, such work, materials,
apparatuses and fixtures shall be replaced or repaired at the Contractor's expense.
32. CONTRACTOR'S BEST SKILL. The Contractor shall supervise and direct the work
using its best efforts, skill and attention to ensure the workership and materials are of good
quality and that the work is completed in accordance with the Contract. The Contractor shall be
solely responsible for all construction means, methods, teclmiques, sequences and procedures;
safety on the work site; and coordination of all portions of the Project to be performed by the
Contractor's Laborers, Employees, Vendors and Subcontractors, if any.
33. LEAD-BASED PAINT. The Contractor agrees to subrnit to the Agency an Abatement Plan
pursuant to the State of California Department of Health Services Regulations, and pursuant to
the South Coast Air Quality Management District, prior to the commencement of work on the
Project, if applicable.
The Agency assumes no liability for damages for personal injury, illness, disability, or death to
the Contractors, or employees, agents, or invitees of the Contractor, or to any other person,
including members of the general public, arising from or incident to any activity causing or
leading to contact of any kind whatsoever with lead-based paint on the demolition sites, whether
the Agency has properly warned, or failed to properly warn, any persons injured.
The Contractor agrees to cause all removal, transportation and disposal of the lead-based paint
removed pursuant to this Contract and the Contract Documents without any cost or liability to
the Agency whatsoever. The Contractor shall execute all required documents and pay such fees,
taxes and other charges and assessments as may be charged, levied or assessed as to the removal,
transportation and disposal of the lead-based paint pursuant to this Contract. The Contractor
represents and warrants that all such additional fees, taxes and other charges and assessments are
included within the Contract price set forth in Section 3 hereof.
34. ASBESTOS CONTAINING MATERIALS. The Contractor shall subrnit to the Agency
an Abatement Plan pursuant to the State of California Department of Health.. Services
Regulations, and pursuant to the South Coast Air Quality Management District, prior to the
commencement of work on the Project, if applicable.
The Agency assumes no liability for damages for personal injury, illness, disability, or death to
the Contractors, or employees, agents, or invitees of the Contractor, or to any other person,
including members of the general public, arising from or incident to any other activity causing or
leading to contact of any kind whatsoever with Asbestos on the demolition sites, whether the
Agency has properly warned, or failed to properly warn, any persons injured.
The Contractor agrees to cause all removal, transportation and disposal of the asbestos so
removed pursuant to this Contract and the Contract Documents without any cost or liability to
the Agency whatsoever. The Contractor shall execute all required documents and pay such fees,
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taxes and other charges and assessments as may be charged, levied or assessed as to the removal,
transportation and disposal of the asbestos pursuant to this Contract. The Contractor represents
and warrants that all such additional fees, taxes and other charges and assessments are included
within the Contract price set forth in Section 3 hereof.
35. HAZARDOUS WASTE NOTIFICATION. The Contractor shall promptly, and before the
following conditions are disturbed, notify the Agency, in writing, of any of the following:
(I) Material that the Contractor believes may be hazardous waste, as defined in Section
25117 of the California Health and Safety Code, that is required to be removed to a Class I, Class
II, or Class III disposal site in accordance with provisions of existing law.
(2) Subsurface or latent physical conditions at the site differing from those indicated by
information about the site made available to bidders prior to the deadline for subrnitting bids.
(3) Unknown physical conditions at the site of any unusual nature, different materially
from those ordinarily encountered and generally recognized as inherent in work of the character
provided for in the Contract.
After promptly investigating the conditions of such material, if the Agency finds that the
conditions do materially differ from that indicated in the information about the site in the bid
packet made available to bidders prior to the deadline for accepting bids, or if the Agency finds
that the conditions do involve hazardous waste, the Agency shall cause a decrease or increase in
the Contractor's costs of the Project, or time required for performance of any part of the work for
the Project, and shall issue a written Project Change Order under the procedures described in
Section 10. of this Contract. In the event that a dispute arises between the Contractor and the
Agency regarding whether the conditions materially differ, or whether the conditions involve
hazardous waste, or whether such conditions cause a decrease or increase in the Contractor's cost
of, or time required for, performance of any part of the work for the Project, the Contractor shall
not be excused from any scheduled completion date provided for by the Contract, but shall
proceed with all work to be performed under the Contract, retaining any and all rights provided
by this Contract or law which pertain to the resolution of disputes under this Contract.
36. BUSINESS REGISTRATION CERTIFICATION. The Contractor warrants that it
possesses, or shall obtain immediately after the execution and delivery of this Contract, and
maintain during the period of time that this Contract is in effect, a business registration
certification pursuant to Title 5 of the City Municipal Code, together with any and all other
licenses, contractor license, permits, qualification, insurance and approvals of whatever nature
that are legally required to be maintained by the Contractor to conduct its business activities
within the City.
37. STATE OF CALIFORNIA PREVAILING WAGE DETERMINATIONS. The
appropriate prevailing wage determinations may be obtained from the California Department of
Industrial Relations Internet Web Site at www.dir.ca.gov/dirdatabases.
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IN WITNESS WHEREOF, two (2) identical counterparts of this Contract, each of which
shall for all purposes be deemed an original thereof, have been duly executed by the parties
hereinabove named, on the day and year first herein written.
AGENCY:
Redevelopment Agency of the City of San Bernardino
a public body, corporate and politic
By:
Maggie Pacheco, Executive Director
Approved as to Form and Legal Content:
v~~
Agency Couns
By:
CONTRACTOR:
AON, Inc.
By:
Type or Print Contractor'slBidder's Business Address (City, State and Zip Code)
Contractor's License
Contractor License Classification
Contractor's License Expiration Date
Bond Number
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