Contract - Tunnelworks Services, Inc. - 2017-11-21 AGREEMENT FOR PUBLIC WORKS
#314 Grade 5 Repairs Phase 9
This Agreement ("AGREEMENT") is made and effective as of W.3 9k , 2017,
between the Costa Mesa Sanitary District, a sanitary district ("DISTRICT"), and
Tunnelworks Services, Inc. ("CONTRACTOR"). In consideration of the mutual
covenants and conditions set forth herein, the parties agree as follows:
1. TERM
This AGREEMENT shall commence ontyLi , 2017, and shall remain and
continue in effect until tasks described herein are completed, unless sooner terminated
pursuant to the provisions of this AGREEMENT. CONTRACTOR shall complete all
work within 25 working days from the date the DISTRICT issues a notice to proceed.
2. SERVICES
The SERVICES to be provided are more particularly described in the Scope of
Services attached hereto as Exhibit "A" and incorporated herein by reference.
3. PERFORMANCE
CONTRACTOR shall perform all SERVICES under this AGREEMENT in a skillful
and competent manner, consistent with the standards generally recognized as being
employed by contractors in the same discipline in the State of California and consistent
with all applicable laws. CONTRACTOR shall provide DISTRICT its work product in
"turnkey" form. DISTRICT reserves the right to perform reasonable testing of
CONTRACTOR's work product before accepting the same. CONTRACTOR shall
warrant that all services provided and equipment installed shall perform in a
workmanlike manner and be fit for its particular purpose.
4. COMPENSATION
Compensation for the SERVICES shall be lump sum for each item as shown on
Exhibit "A" and the total shall not exceed Thirty-four thousand four hundred forty and
00/100 ($34,440.00). The written change order requirement cannot be waived. Failure
to submit a written change order and receive written approval by the DISTRICT prior to
performing extra work shall constitute a waiver of a claim for additional time or
compensation.
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Invoices shall be submitted to DISTRICT monthly as performance of the
SERVICES progresses. DISTRICT shall review and pay the approved charges on such
invoices in a timely manner. SERVICES on the PROJECT shall begin immediately and
be completed within twelve months of the first date written above. unless extended by
DISTRICT in writing.
5. PREVAILING WAGES
CONTRACTOR understands that this job, if over One Thousand Dollars
($1,000.00) in value and not exempt, requires compliance with the prevailing wage law.
(Labor Code §§ 1720 et seq.) As such, DISTRICT will ascertain the prevailing wages to
be paid on this job from the Director of Industrial Relations. Said amounts are listed at
http://www.dir.ca.gov/dlsr/pwd/index.htm. CONTRACTOR agrees to pay prevailing
wages and maintain prevailing wage records regarding those payments.
CONTRACTOR is also required to comply with the apprentice requirements.
CONTRACTOR shall defend, indemnify, and hold the DISTRICT, its elected officials,
officers, employees, and agents free and harmless from any claim or liability arising out
of any failure or alleged failure to comply with the Prevailing Wage Laws.
CONTRACTOR recognizes that state law makes eight (8) hours a day's work, and any
worker working in excess of that time must be paid overtime. (Labor Code § 1813.)
CONTRACTOR acknowledges that if required, it must be registered with the
Department of Industrial Relations (DIR) to perform this work and affirms that it is
registered. CONTRACTOR agrees to submit electronic payroll information unless this
requirement is suspended by the DIR. District will file a PWC 100 form with the DIR to
register this project.
6. SUBCONTRACTING
This paragraph only applies if this AGREEMENT was awarded following a competitive
bid. If CONTRACTOR submitted a subcontractors list, CONTRACTOR may only
substitute a listed subcontractor by complying with the Subletting and Subcontracting
Fair Practices Act. (See Public Contact Code §§ 4100 et seq.) CONTRACTOR cannot
perform work using a subcontractor who is debarred. CONTRACTOR hereby assigns
unfair business practice claims (Clayton Act and Cartwright Act) to the DISTRICT.
CONTRACTOR declares by signing this AGREEMENT that CONTRACTOR did not
collude to obtain this job. (Public Contract Code § 7106.)
7. PROGRESS PAYMENTS
Progress payments may be authorized if this job will take in excess of thirty (30) days.
DISTRICT agrees to promptly make progress payments on undisputed and properly
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submitted payment request within thirty (30) calendar days and to comply with the
provisions of Public Contract Code Section 20104.50.
If this AGREEMENT is for at least Five Thousand Dollars ($5,000.00) and progress
payments are made, DISTRICT will retain five percent (5%) of the total contract amount
until sixty (60) days after the notice of completion is filed. (Public Contract Code §§
7107, 9203.) CONTRACTOR may substitute securities in lieu of retention pursuant to
Public Contracts Code Section 22300.
8. INSURANCE
CONTRACTOR shall, at its expense, procure and maintain for the duration of this
AGREEMENT insurance against claims for injuries to persons or damages to property
which may arise from or in connection with the performance of this AGREEMENT by the
CONTRACTOR, its agents, representatives, employees, or subcontractors.
CONTRACTOR shall also require all of its subcontractors to procure and maintain the
same insurance for the duration of this AGREEMENT. If CONTRACTOR is an
employer or otherwise hires one (1) or more employees during the term of this
PROJECT, CONTRACTOR shall procure and maintain workers' compensation
coverage for such employees which meets all requirements of state law (Labor Code §
1861. CONTRACTOR shall also provide errors and omissions professional liability
insurance appropriate to its profession in an amount, with conditions, and for a term
acceptable to the DISTRICT.
At a minimum, CONTRACTOR is required to submit proof of insurance in
accordance with the following standards:
Minimum Scope of Insurance: Coverage shall be at least as broad as the
latest version of the following: (1) General Liability: Insurance Services Office
Commercial General Liability coverage (occurrence form CG 0001): (2) Automobile
Liability: Insurance Services Office Business Auto Coverage form number CA 0001,
code 1 (any auto); and (3) Workers' Compensation and Employer's Liability: Workers'
Compensation insurance as required by the State of California and Employer's Liability
Insurance.
Minimum Limits of Insurance: CONTRACTOR shall maintain limits of no less
than:
(A) General Liability. One Million Dollars ($1,000,000.00) per occurrence for
bodily injury, personal injury and property damage. If Commercial General Liability
Insurance or other form with general aggregate limit is used, either the general
aggregate limit shall apply separately to this AGREEMENT/location or the general
aggregate limit shall be twice the required occurrence limit.
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(B) Automobile Liability. One Million Dollars ($1,000,000.00) per accident
for bodily injury and property damage.
(C) Workers' Compensation and Employer's Liability.
Workers' Compensation limits as required by the Labor Code of the State of
California. Employer's Liability limits of One Million Dollars ($1,000,000.00) per accident
for bodily injury or disease.
Insurance Endorsements: The insurance policies shall contain the following
provisions, and a separate endorsement stating to add the following provisions to the
insurance policies shall be submitted and approved by DISTRICT:
(A) General Liability. The general liability policy shall be endorsed to state
that: (1) DISTRICT, its directors, officials, officers, employees, agents, and volunteers
shall be covered as additional insureds with respect to the work or operations performed
by or on behalf of the CONTRACTOR, including materials, parts, or equipment
furnished in connection with such work; and (2) the insurance coverage shall be primary
insurance as respects DISTRICT, its directors, officials, officers, employees, agents,
and volunteers, or if excess, shall stand in an unbroken chain of coverage excess of the
CONTRACTOR's scheduled underlying coverage. Any insurance or self-insurance
maintained by DISTRICT, its directors, officials, officers, employees, agents, and
volunteers shall be excess of the CONTRACTOR's insurance and shall not be called
upon to contribute with it in any way.
(B) Workers' Compensation and Employer's Liability Coverage. The
insurer shall agree to waive all rights of subrogation against DISTRICT, its directors,
officials, officers, employees, agents, and volunteers for losses paid under the terms of
the insurance policy which arise from work performed by the CONTRACTOR.
(C) All Coverage. Each insurance policy required by this AGREEMENT shall
be endorsed to state that: (A) coverage shall not be suspended, voided, reduced, or
canceled except after thirty (30) days prior written notice by certified mail, return receipt
requested, has been given to DISTRICT, and (B) any failure to comply with reporting or
other provisions of the policies, including breaches or warranties, shall not affect
coverage provided to DISTRICT, its directors, official, officers, employees, agents, and
volunteers.
Acceptability of Insurers: Insurance is to be placed with insurers with a current
A.M. Best's rating of no less than A-:VIII, licensed to do business in California, and
satisfactory to DISTRICT.
All insurance documents must be submitted and approved by the District's Risk
Manager prior to execution of any AGREEMENT with DISTRICT.
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9. INDEMNIFICATION
(a) Indemnification for Professional Liability. When the law establishes a
professional standard of care for CONTRACTOR's services, to the fullest extent
permitted by law, CONTRACTOR shall indemnify, protect, defend, and hold harmless
DISTRICT and any and all of its officials, employees, and agents from and against any
and all losses, liabilities, damages, costs, and expenses, including attorney's fees and
costs to the extent the same arise out of, pertain to, or relate to the negligence,
recklessness, or willful misconduct of CONTRACTOR, its officers, agents, employees,
or subCONTRACTORs (or any entity or individual that CONTRACTOR shall bear the
legal liability thereof) in the performance of professional services under this
AGREEMENT.
(b) Indemnification for Other than Professional Liability. Other than in the
performance of professional services and to the fullest extent permitted by law,
CONTRACTOR shall indemnify, defend, and hold harmless DISTRICT and any and all
of its employees, officials, and agents from and against any liability (including liability for
claims, suits, actions, arbitration proceedings, administrative proceedings, regulatory
proceedings, losses, expenses, or costs of any kind, whether actual, alleged, or
threatened, including attorney's fees and costs, court costs, interest, defense costs, and
expert witness fees) where the same arise out of, pertain to, relate to, are a
consequence of, or are in any way attributable to, in whole or in part, the performance of
this AGREEMENT by CONTRACTOR or by any individual or entity for which
CONTRACTOR is legally liable, including, but not limited to, officers, agents,
employees, or subCONTRACTORs of CONTRACTOR.
10. SAFETY AND SITE CONDITION CONTRACTOR shall perform all operations with
due regard for safety and in strict compliance with all applicable laws relating thereto. It
shall be CONTRACTOR'S responsibility to keep the site in a clean, neat and orderly
condition. It shall also be CONTRACTOR'S duty to dust-palliate all working areas and
access routes, if applicable. All operations shall be conducted by CONTRACTOR so
that no fire hazards are created.
11. TERMINATION
DISTRICT may terminate this AGREEMENT at any time with or without cause. If
DISTRICT terminates this AGREEMENT without cause before PROJECT completion,
CONTRACTOR shall be entitled to be paid for SERVICES adequately completed prior
to the notification of termination. CONTRACTOR may terminate this AGREEMENT for
cause only.
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12. WARRANTY
CONTRACTOR shall perform, at its own cost and expense and without reimbursement
from DISTRICT, any services necessary to correct errors or omissions which are
caused by CONTRACTOR's failure to comply with the standard of care provided for
herein. CONTRACTOR shall guarantee work done on the PROJECT for a one-year (1)
period commencing on the date of substantial completion. CONTRACTOR shall warrant
that all services provided and equipment installed shall perform in a workmanlike
manner and be fit for its particular purpose.
13. MISCELLANEOUS
This AGREEMENT shall be interpreted according to the laws of the State of
California and any action arising from this AGREEMENT shall be brought in the superior
or federal district court with jurisdiction over DISTRICT.
This AGREEMENT and the attachments hereto shall contain the entire
agreement between the parties. This AGREEMENT cannot be modified except in a
writing signed by both parties. In the event of inconsistency between this AGREEMENT
and any attachment hereto, this AGREEMENT shall control in all respects.
DISTRICT shall own all work product prepared in the course of providing the
SERVICES under this AGREEMENT. In the event of termination of this AGREEMENT,
CONTRACTOR shall immediately turn all work product over to DISTRICT. If
specialized software or computer hardware is required to view or transmit said work
product, CONTRACTOR shall make that software and hardware available to the
DISTRICT at no cost during normal business hours.
If the Services and Equipment required by this Agreement exceed $25,000 the
CONTRACTOR shall obtain a labor and material bond and a faithful performance bond
on District forms both in the amount of 100% of the contract value. (Civil Code Sec
9550).
This AGREEMENT cannot be assigned without the prior written consent of the
DISTRICT.
DISTRICT acknowledges that if it provides CONTRACTOR with locations of
underground pipelines and DISTRICT is incorrect and those utilities must be relocated,
DISTRICT will pay for those relocation costs in accordance with statutory requirements.
(Government Code § 4215.)
If excavation is required, CONTRACTOR agrees to comply with Gov. Code §
2016 and delineate any area to be excavated before contacting The Regional
Notification Center and obtaining authorization to excavate.
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CONTRACTOR agrees to provide DISTRICT with notice of any hazardous
materials or subsurface or latent physical site conditions it encounters if this work
involves excavations deeper than four feet (4'). If this exceeds Twenty-Five Thousand
Dollars ($25,000.00) and the excavations exceed five feet (5'), CONTRACTOR must
provide a detailed trenching plan. (Public Contracts Code § 7104; Labor Code §6705.)
DISTRICT shall give CONTRACTOR timely notice of third-party claims.
For claims that are less than Three Hundred Seventy-Five Thousand Dollars
($375,000.00), the provisions of Public Contracts Code Sections 20104 et seq. (Article
1.5— Resolution of Construction Claims) shall be followed.
CONTRACTOR is and shall at all times remain as to DISTRICT an independent
contractor. No employee benefits shall be available to CONTRACTOR in connection
with the performance of this AGREEMENT. Except for the fees paid to CONTRACTOR
as provided in this AGREEMENT, DISTRICT shall not pay salaries, wages, or other
compensation to CONTRACTOR for performing any services hereunder for DISTRICT.
DISTRICT shall not be liable for compensation or indemnification to CONTRACTOR for
injury or sickness arising out of performing any services hereunder.
All information gained by CONTRACTOR in the performance of this
AGREEMENT shall be considered confidential and shall not be released by
CONTRACTOR without DISTRICT's prior written authorization. CONTRACTOR shall
not, without written authorization from the General Manager or unless requested by the
District Counsel, voluntarily provide declarations, letters of support, testimony at
depositions, response to interrogatories, or other information concerning the work
performed under this AGREEMENT. Response to a subpoena or court order shall not
be considered "voluntary" provided CONTRACTOR gives DISTRICT notice of such
court order or subpoena.
CONTRACTOR warrants that the individual who has signed this AGREEMENT
has the legal power, right, and authority to make this AGREEMENT and bind the
CONTRACTOR hereto. If you agree with the terms of this AGREEMENT, indicate by
signing and dating two original agreements where indicated below and return both to the
undersigned. Once the documents are fully executed, one original will be returned to
you for your records.
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DISTRICT CONTRACTOR
Tunnelworks Services, Inc.
Approved by: Reviewed and Acce• = • :
Willie Duarte
-421/1117,111
General Manager Signature
Zia/.71;#1. 7•/
Approved as to Form: Name
Willie Dua ��
Harper& Burns LLP Title
District Counsel
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Date
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Exhibit A
Scope of Service (Attached)
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Costa Mesa Sanitary District
Phase 9 Slip Liners/Top Hats/Trims
Open Bid Date 08/03/17
Closing Bid Date 09/06/17
Contractor Tunneiworks Services Inc
V— Address 13502-H Whittier Blvd Ste 165
Whittier CA 90605
Contact Willie Duarte
LI Phone 562-201-4036
Email tunnelworksservices@gmail.com
Cost of Liners/Top Hats $32,440.00
Cost of Trims $2000.00
Total Cost $34,440.00
Costa Mesa Sanitary District
Phase 9-Liners
Pipe Address Footage of Issue Repair Description Cost of Repair
Contractor:
1 135514 968 Azalea 309 liner broken $1,000.0
2 135680 1843 Gisler 162 liner broken 161-164 $1,000.0
3 135832 Hyland 22 liner large void $1,025.0
4 136289 Paularino/Bristol 335 liner Crack 335-338 $1,200.0
5 136953 3044 Madera 336 liner broken joint $1,000.0
6 137202 1847 Tahiti 334 liner broken joint $1,000.0
7 137214 2943 Baker 260 liner broken 257-260 $1,025.0
8 137223 2935 Ellesmere 149 liner broken joint $1,000.0
9 137272 1855 Boa Vista 4 liner cracks 2-6 $1,000.0
10 137314 2839 Tabago 133 liner broken joint $1,200.0
11 137358 1699 Baker 286 liner broken joint $980.0
12 138904 862 Wilson 50 2 liners 50-58 and very bad line thruout $2,100.0
13 140602 232 Cecil 123 liner break $1,025.0
14 141078 339 E 20th 111 liner/tophat void $2,580.0
15 141137 2011 Irvine 169 liner 166-169 $1,200.0
16 141196 335 Baker 416 liner break/offset $1,000.0
17A 141197 335 Baker 104 5 liners bad breaks 104-123 $4,200.0
17B 175 Ilner/tophat offset $2,580.0
17C 315 liner crack joint $900.0
18 141562 200 Kalmus 202 liner holes/bored $1,025.0
19 149579 660 Park Center 165-176 3 liners 165-176 $2,400.0
20 140294 222 E Wilson 2 liner void $1,000.0
21 140300 280 E Wilson 4 liner crack/small void $1,000.0
Total $32,440
Costa Mesa Sanitary District
Phase 9-Trims
Pipe Address Footage of Issue Cost
Contractor:
1 140671 272 Rose 228 $250.00
2 140611 2254 Orange 122 $250.00
3 140651 271 Camelia • 15 $250.00
4 140607 266 Virginia 18 $250.00
5 140254 240 Hill 234 $250.00
6 105196 2701 Fairview 67 $250.00
7 140272 255 Brentwood 198 $250.00
8 140673 238 E 22nd 269' not 169' $250.00
Total Cost $2,000.00