Contract - Great American - 1975-06-04 e� OkLL`e-wc7 3-7C-
PROJECT NAME Force Main in Mes.
Dr from Riverside Dr To
Elden Ave for Tustin Ave
Pumping Station
JOB ORDER NO 1112100-37
A G R E E M E N T
THIS AGREEMENT is made and entered into by and between the COSTA MESA SANITARY
DISTRICT hereinafter called "DISTRICT' and GREAT • '7C•N PIPF NE COMPANY
hereinafter called 'CONTRACTOR
RECITALS
DISTRICT has taken appropriate proceedings to authorize construction of the
public work and improvements herein provided and execution of this contract
A notice was duly published for bids for the contract for the improvement
hereinafter described
On _ Tyre Q, 1975 after notice duly given the Board of Directors
of said DISTRICT awarded the contract for the construction of improvements hereinafter
described to CONTRACTOR which CONTRACTOR said Board found to be the lowest responsible
bidder for construction of said improvement
DISTRICT and CONTRACTOR desire to enter into this Agreement for the construction
of said improvements
The parties hereto agree as follows
1 Scope of Work
CONTRACTOR shall perform the work described briefly as follows
EXC AVATTNC; THE TRENCHES FOR THE SEWER FORCE MAIN, PREPARING
THE STTT2rRAT)F, rnNST? CTTM . the LAVJN . MVP FOR F ATM, POTIRTNG
CONCRETE . :UST BLOCKS . CNN IN Ti EX ST N PUMPING STATION
AND FURNISHING MAT R A AND I,A:OR NF E SAY IN PERFORMING SAID
WORK ANTI com-tFTTNf SAME
The aforesaid improvements are further described in the 'Contract Documents
hereinafter referred to
2 Contract Documents
The complete contract consists of the following documents
This Agreement Notice Inviting Sealed Proposals, the Accepted Bid the complete
plans profiles detailed drawings and specifications, Faithful Performance Bond, and
Labor and Material Bond
All rights and obligations of DISTRICT and CONTRACTOR are fully set forth and
described in the Contract Documents
All of the above named documents are intended to cooperate so that any work
called for in one and not mentioned in the other, or vice versa, is to be executed
the same as if mentioned in all said documents The documents comprising the complete
contract will hereinafter be referred to as 'The Contract Documents
3 Schedule
All work shall be performed in accordance with the schedule provided by
District Engineer and under his discretion
4 Equipment - Performance of Work
CONTRACTOR shall furnish all tools equipment apparatus facilities
labor and material necessary to perform and complete in a good and workmanlike manner
the work of general construction as called for and in the manner designated in and in
strict conformity with the plans and specifications for said- work which said speci-
fications are entitled . , s . _ , ., , es
•
SEWER FORCE MAIN IN MESA DRI E F'.0 RU! RSTnF mw TO Fr.nEN AVE FOR
TUSTIN AVENUE P M• NC S AT •N
The equipment apparatus, facilities, labor and materials shall be furnished
and said work will be performed and completed, as required in said plans and specifi-
cations under the direction and supervision and subject to the approval of the Engineer
of the DISTRICT or his designated assistant
5 Contract Price
$70 55R 00 , with adjustments up or down in accordance with
bid unit prices finally calculated by CONTRACTOR and District Engineer
6 Time of Performance
The time fixed for the commencement of such work is within Ten (10)
days after the date of the contract and to complete said work within forty-five (45)
working days from the date of said contract
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7 If such work be not completed within such time the Board of Directors shall
have the right to increase the number of working days in the amount it may determine will
best serve the interests of the DISTRICT and if it desires to increase said number of
working days it shall have the further right to charge to CONTRACTOR and deduct from
the final payment for the work the actual cost of engineering inspection superintend-
ence and other overhead expenses which are directly chargeable to CONTRACTOR and which
accrue during the period of such extension except that the cost of the final service
and preparation of the final estimates shall not be included in such charges provided
however that no extension of time for the completion of such work shall ever be allowed
unless at least twenty days prior to the time herein fixed for the completion thereof
or the time fixed by the Board of Directors for such completion as extended CONTRACTOR
shall have filed application for extension thereof in writing with the District Manager
addressed to the Board of Directors In this connection it is understood that the
District Manager shall not transmit any such request to the Board of Directors if not
filed within the time herein prescribed
8 Option of District to Terminate Agreement in Event of Failure to Complete Work
If CONTRACTOR shall have refused or failed to prosecute the work or any
severable part thereof with such diligence as will insure its completion within the time
specified or any extensions thereof or shall have failed to complete said work within
such time or if CONTRACTOR should be adjudged a bankrupt or if CONTRACTOR should make
a general assignment for the benefit of CONTRACTOR'S creditors or if a receiver should
be appointed in the event of CONTRACTOR'S insolvency or if CONTRACTOR or any subcontractor,
should violate any of the provisions of this Agreement the District Engineer of the Board
of Directors may give written notice to CONTRACTOR and CONTRACTOR'S sureties of the inten-
tion to terminate this Agreement, and, unless within five days after the serving of such
notice, such violation shall cease and satisfactory arrangements for the correction
thereof be made this Agreement may, at the option of DISTRICT upon the expiration of
said time cease and terminate
9 Liquidated Damages
In the event CONTRACTOR for any reason shall have failed to perform the work
herein specified within the time herein required and to the satisfaction of District
Engineer DISTRICT may in lieu of any other of its rights authorized by paragraph 8 of
this Agreement deduct from payments or credits due CONTRACTOR after such breach a sum
equal to $100 00 as liquidated damages for each day beyond the date herein provided for
the completion of such work.
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10 Performance of Sureties
In the event of aiiy termination as hereinbefore provided DISTRICT shall
immediately give written notice thereof to CONTRACTOR and CONTRACTOR S sureties and the
sureties shall have the right to take over and perform this Agreement provided however
that if the sureties within five days after giving, them said notice of termination do
not give the DISTRICT written notice of their intention to take over the performance of
the Agreement and do not commence performance thereof within five days after notice to
the DISTRICT of such election DISTRICT may take over the work and prosecute the same to
completion by contract or by any other method it may deem advisable for the account
and at the expense of CONTRACTOR, and the sureties shall be liable to DISTRICT for any
excess cost of damages occasioned DISTRICT thereby and in such event DISTRICT may
without liability for so doing take possession of and utilize in completing the work,
such materials appliances plant and other property belonging to CONTRACTOR as may be on
the site of the work and necessary therefor
11 Disputes Pertaining to Payment for Work
Should any dispute arise respecting the true value of the work done of any
work omitted or any extra work which CONTRACTOR may be required to do, or respecting
the size of any payment to CONTRACTOR during the performance of this contract such
dispute shall be decided by the District Engineer and the decision of the latter shall
be final and conclusive
12 Permits, Compliance with Law
CONTRACTOR shall at CONTRACTOR'S expense obtain all necessary permits and
licenses for the construction of each improvement give all necessary notices and pay all
fees and taxes required by law
13 Superintendence by Contractor
CONTRACTOR shall give personal superintendence to the work on said improve-
ment or have a competent foreman or superintendent satisfactory to the District
Engineer on the work at all times during progress with authority to act for him
14 Inspection by District
CONTRACTOR shall at all times maintain proper facilities and provide safe
access for inspection by DISTRICT to all parts of the work and to the shops wherein the
work is in preparation
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15 Extra and/or Additional Work or Changes
Should DISTRICT at any time during the progress of said work request any
alterations deviations additions or omissions from said specifications or plans or other
contract documents it shall be at liberty to do so and the same shall in no way affect
or make void the contract but will be added to, or duducted from the amount of said
contract price as the case may be by a fair and reasonable valuation Request for such
change must be made in writing signed by the District Engineer shall be accompanied by
plans and specifications for such purpose and shall be accepted in writing by CONTRACTOR.
16 Inspection and Testing of Materials
CONTRACTOR shall notify DISTRICT a sufficient time in advance of the manu-
facture or production of materials to be supplied by CONTRACTOR under this contract in
order that DISTRICT may arrange for mill or factory inspection and testing of same
Any materials shipped by CONTRACTOR from factory prior to having satisfac-
torily passed such testing and inspection by DISTRICT'S representative shall not be used
on said improvement unless CONTRACTOR is previously notified by DISTRICT that such testing
and inspection will not be required
CONTRACTOR shall also furnish DISTRICT, in triplicate, certified copies of
all required factory and mill test reports
17 Permits and Care of the Work
CONTRACTOR has examined the site of the work and is familiar with its topo-
graphy and condition locating of property lines easements building lines and other
physical factors and limitations affecting the performance of this agreement CONTRACTOR
at CONTRACTOR'S expense shall obtain any permission necessary for the operations conduc-
ted off the property owned or controlled by DISTRICT CONTRACTOR shall be responsible for
the proper care and protection of all materials delivered and the work performed until
completion and final inspection and acceptance
18 Other contracts
DISTRICT may award other contracts for additional work and CONTRACTOR shall
fully cooperate with such other contractors and carefully fit CONTRACTOR'S own work to
that provided under other contracts as may be directed by District Engineer CONTRACTOR
shall not commit or permit any act which will interfere with the performance of work by
any other contractor
19 Payments to Contractor
On or before the 10th day of each and every month during the progress of
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work commencing with the 10th day of May 1971 CONTRACTOR shall submit to District
Engineer a complete itemized statement of all labor and materials incorporated into the
improvement during the preceding month and the portion of the contract sum applicable
thereto On approval in writing of said statement by District Engineer it shall be sub-
mitted to the Board of Directors at its meeting next succeeding such approval and within
seven days after approval thereof by the Board of Directors DISTRICT shall pay CONTRACTOR
a sum based upon eighty-five per cent (85%) of the contract price, apportionment of the
labor and materials incorporated into the improvement under the contract during the month
covered by said statement The remaining fifteen per cent (15%) thereof shall be paid
CONTRACTOR thirty-five (35) days after final acceptance of the work by DISTRICT on duly
certified voucher therefor after CONTRACTOR shall have furnished DISTRICT with a release
of or bond against all claims against DISTRICT if required by DISTRICT arising under
and by virtue of this contract and work done and materials furnished hereunder In the
event that there are any claims specifically excepted by CONTRACTOR if permitted by
DISTRICT from the operation of the release there shall be retained by DISTRICT stated
amounts to be set forth therein and approved by District Engineer
20 Contract Security
Concurrently with the execution hereof CONTRACTOR shall furnish (1) a
surety bond in an amount equal to at least fifty per cent (50%) of the contract price as
security for the faithful performance of this contract and (2) a separate surety bond in
an amount equal to at least fifty per cent (50%) of the contract price as security for
the payment of all persons performing labor and furnishing materials in connection with
this contract Sureties on each of said bonds and the form thereof shall be satisfactory
to the DISTRICT
21 Indemnification
CONTRACTOR hereby agrees to protect defend, indemnify and hold DISTRICT its
elective boards officers agents and employees harmless from and against any and all
costs expenses or damages of any nature by reason of injury sustained by any person
including death at any time resulting therefrom or by reason of loss of loss of use of
injury to or destruction of property including consequential damages of any nature
resulting therefrom arising out of performance of this contract by or on behalf of
CONTRACTOR, including damages occasioned by or allegedly occasioned by joint or contrib-
utory negligence or omission or affirmative acts in connection with supervision or
direction of the work by DISTRICT, its elective or appointed boards officers , agents or
employees -5-
CONTRACTOR further agrees to protect, defend indemnify and hold DISTRICT
free and harmless from and against any and all obligations and liabilities under any statutes,
laws or regulations pertaining to provisions of a safe place for the employment of workers
(Safe Place Statutes) or any similar statutes, laws or any similar statutes laws or regula-
tions with respect to injury sustained including death at any time resulting therefrom by
any employee of CONTRACTOR CONTRACTOR'S subcontractors or others performing under this
contract on behalf of CONTRACTOR
DISTRICT does not and shall not waive any rights against CONTRACTOR which it
may have by reason of the aforesaid hold harmless agreements, because of the acceptance by
DISTRICT or the deposit with DISTRICT by CONTRACTOR of any of the insurance policies herein-
after described in Paragraph 22 hereof
The aforesaid hold harmless agreements by CONTRACTOR shall apply to all damages
and claims for damages of every kind suffered, or alleged to have been suffered by reason of
the aforesaid operations of CONTRACTOR or any subcontractor of others performing on behalf of
CONTRACTOR regardless of whether or not such insurance policies shall have been determined
to be applicable to any of such damages or claims for damages
22 Insurance
CONTRACTOR shall not commence work under this contract until he shall have
obtained all insurance required under this section and such insurance shall have been
approved by DISTRICT as to form amount and carrier nor shall CONTRACTOR allow any subcon-
tractor to commence work on his subcontract until all similar insurance required of the
subcontractor shall 'have been so obtained and approved
Failure of CONTRACTOR to supply and failure of DISTRICT to secure and/or approve
specified insurances shall not alter or invalidate the provisions of Section 21 of this contract
a Workmen's Compensation Insurance
CONTRACTOR shall take out and maintain during the life of this contract
workmen's compensation insurance for all his employees and if any work is sublet CONTRACTOR
shall require subcontractor similarly to provide workmen's compensation insurance for all of
the latter's employees CONTRACTOR indemnifies DISTRICT for any damage resulting to it from
failure of either CONTRACTOR or any subcontractor to take out or maintain such insurance
Said workmen s compensation insurance shall name the COSTA MESA SANITARY
DISTRICT as an additional insured with respect to operations conducted by CONTRACTOR on
behalf of DISTRICT Said workmen's compensation insurance shall provide that the insurance
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may not be cancelled without ten (10) days' advance notice of such cancellation to the
COSTA MESA SANITARY DISTRICT
b Public Liability and Property Damage Insurance
CONTRACTOR shall take out and maintain during the life of this contract
such public liability and property damage insurance as shall protect DISTRICT its elective
and appointive boards officers agents and employees CONTRACTOR and any subcontractors
performing work covered by this contract from claims for damages for personal injury
including death as well as from claims for property damage which may arise from CONTRACTOR S
or any subcontractor' s operations under this contract, whether such operations be by
CONTRACTOR or by any subcontractor or by anyone directly or indirectly employed by either
CONTRACTOR or any subcontractor and the amounts of such insurance shall be as follows
(1) Public Liability Insurance
In an amount not less than $100 000 00 for injuries including but
not limited to death to any one person and subject to the same limit for each person in
an amount not less than $300 000 00 on account of any one occurrence
(2) Property Damage Insurance
In an amount of not less than $50 000 00 for damage to the property of
each on account of any one occurrence
(3) Additional Insured and Notice of Cancellation
Said public liability and property damage insurance (including automo-
biles) shall be endorsed to name the COSTA MESA SANITARY DISTRICT its elective boards
officers agents and employees as additional insureds with respect to all operations per-
formed by or on behalf of CONTRACTOR Said policy shall be endorsed to provide that
coverage shall not be reduced or cancelled unless and until ten (10) days' advance notice
of such reduction and/or cancellation has been mailed to the DISTRICT
(4) Said Public Liability and Property Damage Insurance (including automo-
biles) shall include contractual liability insurance applying to liability assumed under
this contract
(5) Said Public Liability and Property Damage Insurance shall be endorsed
to stipulate that such insurances as is afforded to the COSTA MESA SANITARY DISTRICT its
elective boards officers agents and employees shall be primary insurance and not con-
tributing with any other insurance maintained by the COSTA MESA SANITARY DISTRICT
23 Proof of Insurance
CONTRACTOR shall furnish DISTRICT through the District Engineer concurrently
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with the execution hereof with satisfactory proof of carriage of the insurance required
and adequate legal assurance that each carrier will give DISTRICT at least ten (10) days
prior notice of the cancellation of any policy during the effective period of this contract
24 Legal Work Day - Penalties for Violation
Eight hours of labor shall constitute a legal day's work CONTRACTOR shall not
require more than eight hours' labor in a day from any person employed by CONTRACTOR in the
performance of such work CONTRACTOR shall forfeit as a penalty to DISTRICT the sum of
$25 00 for each laborer workman or mechanic employed in the execution of this contract by
CONTRACTOR, or by any subcontractor for each calendar day during which such laborer work-
man or mechanic is required or permitted to labor more than eight hours in violation of
the provisions of Section 1815 of the Labor Code of the State of California
25 Prevailing Wage Scale
The minimum compensation to be paid for labor upon all work performed under this
contract shall be the general prevailing wage scale established by DISTRICT and no alien
shall be employed in the performance of said work
26 Emergency - Additional Time for Performance - Procurement of Materials
If because of war or other declared national emergency the Federal or State
government restricts regulates or controls the procurement and allocation of labor or
materials or both and if solely because of said restrictions regulations or controls
CONTRACTOR is through no fault of CONTRACTOR, unable to perform this agreement or the
work is thereby suspended or delayed any of the following steps may be taken
a DISTRICT may pursuant to resolution of the Board of Directors grant
CONTRACTOR additional time for the performance of this agreement sufficient to compen-
sate in time for said delay or suspension
To qualify for such extension of time CONTRACTOR within three (3) days of
CONTRACTOR'S discovering such inability to perform shall notify District Engineer in
writing thereof and give specific reasons thereof District Engineer shall thereupon have
sixty (60) days within which to procure such needed materials or labor as is specified
in this agreement or permit substitution, or provide for changes in the work in accordance
with other provisions of this agreement Substituted materials or changes in work, or
both shall be ordered in writing by District Engineer and the concurrence of the Board
of Directors shall not be necessary All reasonable expenses of such procurement incurred
by the District Engineer shall be defrayed by CONTRACTOR, or
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b If such necessary materials or labor cannot be procured through legitimate
channels within sixty (60) days after the filing of the aforesaid notice either party may
upon thirty days' written notice to the other, terminate this agreement In such event
CONTRACTOR shall be compensated for all work executed upon a unit basis in proportion to
the amount of the work completed or upon a cost plus ten percent basis whichever is
the lesser Materials on the ground in process of fabrication or enroute upon the date
of notice of termination specially ordered for the project and which cannot be utilized
by CONTRACTOR shall be compensated for by DISTRICT at a cost, including freight pro-
vided that CONTRACTOR shall take all steps possible to minimize this obligation or
c DISTRICT by resolution may suspend this agreement until the cause of
inability to perform is removed but for a period of not to exceed ninety (90) days If
this agreement is not cancelled and the inability to perform continues without fault
on CONTRACTOR'S part beyond the time during which the agreement may have been suspended
as hereinabove provided Board of Directors may further suspend this agreement or either
party hereto may without incurring any liability elect to declare this agreement termi-
nated upon the ground of impossibility of performance In the event DISTRICT declares
this agreement terminated such declaration shall be authorized by the Board of Directors
by resolution and CONTRACTOR shall be notified in writing thereof within five days after
the adoption of such resolution Upon such termination CONTRACTOR shall be entitled to
proportionate compensation at the agreement rate for such portion of the agreement as
may have been performed or
d DISTRICT may terminate this agreement in which case CONTRACTOR shall be
entitled to proportionate compensation at the agreement rate for such portion of the
agreement as mayhave been performed Such termination shall be authorized by resolution
of the Board of Directors Notice thereof shall be forthwith given in writing to
CONTRACTOR and this agreement shall be terminated upon receipt by CONTRACTOR of such
notice
27 Provisions Cumulative
The provisions of this agreement are cumulative and in addition to and not in
limitation of any other rights or remedies available to DISTRICT
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28 Notices
All notices shall be in writing and delivered in person or transmitted by
certified mail postage prepaid
Notices required to be given to DISTRICT shall be addressed as follows
Costa Mesa Sanitary District
77 Fair Drive
Costa Mesa California 92626
Notices required to be given to CONTRACTOR shall be addressed as follows
Great American Pipeline Company
1547 San Carlos Place
Orange, California 92665
Notices required to be given to sureties of CONTRACTOR shall be addressed as
follows
The Ohio Casualty Insurance Company
Fidelity & Surety Department
2600 Fact Ahttt, nnn
Fullerton, California 92631
DATED this 5 day of (j�.< , 197r
J <�
COSTA MESA SANITARY DISTRICT
ATTEST
By �
/l (�!
b
Sedretary President
APPROVED AS TO FORM
1
ttor/ney
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