All Cities Engineering, Inc.-2018-41 2018-41
CONTRACT AGREEMENT
THIS CONTRACTORS AGREEMENT ("Agreement") is made and entered into this 12th day of
October, 2018, ("Effective Date") by and between the CITY OF GRAND TERRACE ("City"),
a public entity, and All Cities Engineering, Inc. ("Contractor"), a California Corporation.
1. Scope of Services. Contractor shall perform all the services as described as follows:-
a) For and in consideration of the payments and agreements hereinafter mentioned to be
made and performed by said City, said Contractor agrees with said City to perform and
complete in.a workmanlike manner all work required under the Bidding Schedule of the
City's Specification, in accordance with the Specifications and Drawings therefor, to
furnish at his own expense all labor, materials, equipment, tools and services necessary
therefor, except those materials, equipment, tools and services as may be stipulated in
said specification to be furnished by said City and to do everything required by this
Agreement and the said Specifications and Drawings.
b) The Notice Inviting Bids, Instructions to Bidders, Proposal, Information required of
Bidder, Specification, Drawings, Exhibits and all addenda issued by the City with respect
to the foregoing prior to the opening of bids, are hereby incorporated in and made a part
of this Agreement.
c) In entering into a Public Works Contract for a subcontract to supply goods, services or
materials pursuant to a Public Works Contract, the Contractor or subcontractor offers and
agrees to assign to the City 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 commencing 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
the Public Works Contract or the subcontract. This assignment shall be made and
become effective at the time ,the City tenders final payment to the Contractor without
further,acknowledgment by the parties.
2. Term. This Agreement shall be effective on the date first written above and the Agreement
shall remain in effect for 30 days or until terminated as provided herein.
3. Compensation/Payment. Contractor shall perform the Services under this Agreement for
the total sum not to exceed $6,750.00. Payment shall be made in accordance with City is
usual accounting procedures upon receipt and approval of an itemized invoice setting forth
the services performed. The invoices shall be delivered to City at the address set forth in
Section 4, hereof.
4. Notices. Any notices required to be given hereunder shall be in writing and shall be
personally served or given by mail. Any notice given by mail shall be deemed given when
deposited in the United States Mail, certified and postage prepaid, addressed to the party to be
served as follows:
5.
To City To
D-1
City of Grand Terrace All Cities Engineering
22795 Barton Road 5881 Snowgrass Trail
Grand Terrace, CA 923.13 Jurupa Valley, CA 92509
6. Prevailing Wage. If applicable, Contractor and all subcontractors are required to pay the
general prevailing wage rates of per diem wages and overtime and holiday wages determined by
the Director of the Department of Industrial Relations under Section. 1720 et seq. of the
California Labor Code and implemented the City Council of the City of Grand Terrace. The
Director's determination is on file and open to inspection in the office of the City Clerk and is
referred to and made a part hereof; the wage rates therein ascertained, determined, and specified
are referred to and made a part hereof as though fully set forth herein.
7. Contract Administration. A designee of the City will be appointed to administer this
Agreement on behalf of City and shall be referred to herein as Contract Administrator.
8. Standard of Performance. While performing the Services, Contractor shall exercise the
reasonable care and skill customarily exercised by reputable members of Contractors in the
Metropolitan Southern California Area, and shall use reasonable diligence and best judgment
while exercising its skill and expertise.
9. Personnel. Contractor shall furnish all personnel necessary to perform the Services and shall
be responsible for their performance . and compensation. Contractor recognizes that the
qualifications and experience of the personnel to be used are vital to Contractor and timely
completion of the Services.
10. Assignment and Subcontracting. Neither party shall transfer any right, interest, or
obligation in or under this Agreement to any other entity without prior written consent of the
other party. In any event, no assignment shall be made unless the assignee expressly assumes the
obligations of assignor under this Agreement, in writing satisfactory to the parties. Contractor
shall not subcontract any portion of the work required by this Agreement without prior written
approval by the responsible City's Contract Administrator. Subcontracts, if any, shall contain a
provision making them subject to all provisions stipulated in this Agreement, including without
limitation, the insurance obligations.set forth in Section 13. Contractor acknowledges that any
transfer of rights may require City Manager and/or City Council approval.
11. Independent Contractor. In the performance of this Agreement, Contractor and his
employees, subcontractors and agents, shall act in an independent capacity as independent
contractors, and not as officers or employees of the City or the City of Grand Terrace.
Contractor acknowledges and agrees that the City has no obligation to pay or withhold state or
federal taxes or to provide workers' compensation or unemployment insurance to Contractor to
Contractors employees, subcontractors and agents. Contractor as an independent contractor shall
be responsible for any and all taxes that apply to Contractor as an employer.
12. PERS Eligibility Indemnity. In the event that Contractor or any employee, agent, or
subcontractor of Contractor providing services under this Agreement claims or is determined by a
court of competent jurisdiction or the California Public Employees Retirement System
("PERS") to be eligible for enrollment in PERS as an employee of the City, Contractor shall
indemnify, defend, and hold harmless City for the payment of any employee and/or employer
D-2
contributions for PERS benefits on behalf of Contractor or its employees, agents, or
subcontractors, as well as for the payment of any penalties and interest on such contributions,
which would otherwise be the responsibility of City.
Notwithstanding any other agency, state or federal policy, rule, regulation, law or
ordinance to the contrary, Contractor and any of its employees, agents, and subcontractors
providing service under this Agreement shall not qualify for or become entitled to, and hereby
agree to waive any claims to, any compensation, benefit, or any incident of employment by City,
including but not limited to eligibility to enroll in PERS as an employee of City and entitlement
to any contribution to be paid by City for employer contribution and/or employee contributions
for PERS benefits.
12 Indemnifications.
12.1 Indemnity. Except as to the sole negligence or willful misconduct of the City,
Contractor shall defend, indemnify and hold the City, and its officers, employees and
agents, harmless from any and all loss, damage, claim for damage, liability, expense or
cost, including attorneys' fees, which arises out of or is in any way connected with the
performance of work under this Agreement by Contractor or any of the Contractor's
employees, agents or subcontractors and from all claims by Contractor's employees,
subcontractors and agents for compensation for services rendered to in the performance
of this Agreement, notwithstanding that the City may have benefitted from their services.
This indemnification provision shall apply to any.acts or omissions, willful misconduct or
negligent conduct, whether active or passive, on the part of Contractor or of Contractor's
employees, subcontractors or agents.
12.2 Attorney's Fees. The parties expressly agree that any payment, attorneys' fees;
costs or expense that the City incurs or makes to or on behalf of an injured employee
under the City's self-administered workers' compensation is included as a loss, expense
or cost for the purposes of this Section, and that this Section shall survive the expiration
or early termination of the Agreement.
.13. Insurance.
13.1 General Provisions. Prior to the City's execution of this Agreement, Contractor
shall provide satisfactory evidence of, and shall thereafter maintain during the term of
this Agreement, such insurance policies and coverage's in the types, limits, forms and
ratings required herein. The rating and required insurance policies and coverage's may be
modified in writing by the City's Risk Manager or City Attorney, or a designee, unless
such modification is prohibited by law.
13.1.1 Limitations. These minimum amounts of coverage shall not constitute any
limitation or cap on Contractor's indemnification obligations under Section 12 hereof.
13.1.2 Ratings. Any insurance policy or coverage provided by Contractor as
required by this Agreement shall be deemed inadequate and a material breach of this
Agreement, unless such policy or coverage is. issued by insurance companies
authorized to transact insurance business in the State of California with a policy
holder's rating of A- or higher and a Financial Class of VII or higher.
13.1.3 Cancellation. The policies shall not be canceled unless thirty (30) days prior
written notification of intended cancellation has been given to City by certified or
registered mail, postage prepaid.
13.1.4 Adequacy. The City, its officers, employees and agents make no
representation that the types or limits of insurance specified to be carried by
D-3
Contractor pursuant to this Agreement are adequate to protect. If Contractor believes
that any required insurance coverage is inadequate, Contractor will obtain such
additional insurance coverage as deems adequate, at Contractor's sole expense.
13.2 Workers' Compensation Insurance: By executing this Agreement, certifies that
Contractor is aware of and will comply with Section 3700 of the Labor Code of the State
of California requiring every employer to be insured against liability for workers'
compensation, or to undertake self-insurance before commencing any of the work.
Contractor shall carry the insurance or provide for self-insurance required by California
law to protect said Contractor from claims under the Workers' Compensation Act. Prior
to City's execution of this Agreement, Contractor shall file with City either (1) a
certificate of insurance showing that such insurance is in effect, or that Contractor is self-
insured for such coverage, or (2) a certified statement that Contractor has no employees,
and acknowledging that if Contractor does employ any person, the necessary certificate
of insurance will immediately be filed with City. Any certificate filed with City shall
provide that City will be given ten (10) days prior written notice before modification or
cancellation thereof.
13.3 Commercial General Liability and Automobile Insurance. Prior to City's
execution of this Agreement, Contractor shall obtain,and shall thereafter maintain during
the term of this Agreement, commercial general liability insurance and .automobile
liability insurance as required to insure against damages for personal injury, including
accidental death, as well as from claims for property damage, which may arise from or
which may concern operations by anyone directly or indirectly employed by, connected
with, or acting for or on behalf of Contractor. The City and the City, and its officers,
employees and agents, shall be named as additional insured's under the Contractor's
insurance policies.
13.3.1 Contractor's commercial general liability insurance policy shall cover both
bodily injury (including death) and property damage (including, but not limited to,
premises operations liability, products-completed operations liability, independent 's
liability, personal injury liability, and contractual liability) in an amount not less than
$1,000,000 per occurrence and a general aggregate limit in the amount of not less
than $2,000,000.
13.3.2 Contractors automobile liability policy shall cover both bodily injury. and
—property damage in an amount not less than $500,000 per occurrence and an
aggregate limit of not less than $1,000,000. All of Contractor's automobile and/or
commercial general liability insurance policies shall cover all vehicles used in
connection with Contractor's performance of this Agreement, which vehicles shall
include, but are not limited to, owned vehicles, leased vehicles, Contractor's
employee vehicles, non-owned vehicles and hired vehicles.
13.3.3 Prior to City's execution of this Agreement, copies of insurance policies or
original certificates and additional insured endorsements evidencing the coverage
required by this Agreement, for both commercial general and automobile liability
insurance, shall be filed with City and shall include the City and its officers,
employees and agents, as additional insured's. Said policies shall be in the usual
.form of commercial general and automobile liability insurance policies, but shall
include the following provisions:
It is agreed that the City of Grand.Terrace and its officers, employees and agents,
are added as additional insures under this policy, solely for work done by and on
D-4
behalf of the named insured for the City of Grand Terrace.
13.4 Subcontractors' Insurance. Contractor shall require all of its subcontractors to
carry insurance, in an amount sufficient to cover the risk of injury, damage or loss that
may be caused by the subcontractors' scope of work and activities provided in
furtherance of this Agreement, including, but without limitation, the following
coverage's: Workers Compensation, Commercial General Liability, Errors and
Omissions, and Automobile liability. Upon City's request, Contractor shall provide City
with satisfactory evidence that Subcontractors have obtained insurance policies and
coverage's required by this section.
14. Business Tax. Contractor understands that the Services performed under this Agreement
constitutes doing business in the City of Grand Terrace, and Contractor agrees that Contractor
will register for and pay a business tax pursuant to Chapter 5.04 of the Grand Terrace Municipal
Code and keep such tax certificate current during the term of this Agreement.
15. Time of Essence. Time is of the essence for each and every provision of this Agreement.
16. City's Right to Employ Other. City reserves the right to employ other in connection with
the Services.
17. Solicitation. Contractor warrants that they have not employed or retained any person or
City to solicit or secure this Agreement, nor has it entered into any agreement or understanding
for a commission, percentage, brokerage, or contingent fee to be paid to secure this Agreement.
For breach of this warranty, City shall have the right to terminate this Agreement without
liability and pay only for the value of work has actually performed, or, in its sole discretion, to
deduct'from the Agreement price or otherwise recover from Contractor the full amount of such
commission, percentage, brokerage or commission fee. The remedies specified in this section
shall be in addition to and not in lieu of those remedies otherwise specified in this Agreement.
18. General Compliance with Laws. Contractor shall keep fully informed of federal, state and
local laws and ordinances and regulations which in any manner affect those employed by
Professional, or in any way affect the performance of services by Contractor pursuant to this
Agreement. Contractor shall at all times observe and comply with all such laws, ordinances and
regulations, and shall be solely responsible for any failure to comply with all applicable laws,
ordinances and regulations.
19. Amendments. This Agreement may be modified or amended only by a written Agreement
and/or change order executed by the Contractor and the City.
20. Termination. City, by notifying Contractor in writing, shall have the right to terminate any
or all of professional's services and work covered by this Agreement at any time, with or without
cause. In the event of such termination, Contractor may submit s final written statement of the
amount of Contractor's services as of the date of such termination based upon the ratio that the
work completed bears.to the total work required to make the report complete, subject to the
City's rights under Sections 16 and 21 hereof. In ascertaining the work actually rendered
through the termination date, City shall consider completed work, work in progress and complete
and incomplete reports and other documents only after delivered to City.
D-5
20.1 Other than as stated below, City shall give Contractor thirty (30) days prior written
notice prior to termination.
20.2 City may terminate this Agreement upon fifteen (15) days written notice to
Contractor, in the event:
20.2.1 Contractor substantially fails to perform or materially breaches the Agreement;
or
20.2.2 City decides to abandon or postpone the Services.
21. Offsets. Contractor acknowledges and agrees that with respect to any business tax or
penalties thereon, utility charges, invoiced fee or other debt which Contractor owes or may owe
to the City, City reserves the right to withhold and offset said amounts from payments or refunds
or reimbursements owed by City to Contractor. Notice of such withholding and offset shall
promptly be given to by City in writing. In the event of a dispute as to the amount owed or
whether such amount is owed to the City, City will hold such disputed amount until either the
appropriate appeal process has been completed or until the dispute has been resolved.
22. Successors and Assigns. This Agreement shall be binding upon City and its successors
and assigns, and upon Contractor and its permitted'successors and assigns, and shall not be
assigned by, Contractor either in whole or in part, except as otherwise provided in paragraph 9 of
this Agreement.
23. Governing Law, Venue, Dispute Resolution and Attorneys' Fees. This Agreement shall
be governed by and construed in accordance with laws of the State of California.
Specifically, Government Code Section 9204 (A summary of which is attached hereto as
Attachment "A"). If any disputed portion of the claim is not resolved with the procedure set
forth in Attachment "A", prior to commencing suit in a court of competent jurisdiction,_ any
unresolved portion of any controversy, dispute or claim arising out of the Agreement shall
first be submitted to an alternative dispute resolution process as set forth in Section 24 herein.
Any action at law or in equity brought by either of the parties hereto for the purpose of
enforcing a right or rights provided for by this Agreement"shall be tried in a court of
competent jurisdiction in the County of San Bernardino, State of California, and the parties
hereby waive all provisions of law providing for a change of venue in such proceedings to any
other county. In the event either party hereto shall bring .suit to enforce any term of this
Agreement or to recover any damages for and on account of the breach of any term or condition
of this Agreement, it is mutually agreed that the prevailing party in such action shall recover all
costs thereof, including reasonable attorneys' fees, to be set by the court in such action.
24. Alternative Dispute Resolution. In the event that there is_any controversy, dispute or claim
arising out of or relating to this Agreement, which have not been resolved pursuant to the
process outlined in Attachment"A", the parties hereto shall consult and negotiate with each other
and, recognizing their mutual interest, attempt to reach a solution satisfactory to both parties. If
they do not reach settlement within a period of 60 days, the matter shall be submitted to
nonbinding arbitration("Process")by written notice from either party to the other. The parties
shall meet and confer in good faith and select an arbitrator that is agreeable to both sides. The
Process shall be completed no later than 120 days ("Process Period") after tender of the
aforementioned written notice, unless the Parties mutually agree to an extension of the Process
Period. If the matter is not successfully resolved by the Process, within the Process Period, the
parties are free to commence litigation in a court of competent jurisdiction as defined in Section
D-6
23 herein. Any litigation cominenced without both parties' consent prior to the end of the
Process Period, shall be subject to a stay until the end of the Process Period. The Parties further
agree to equally bear the cost of the Process.
25. Nondiscrimination. During Contractor's performance of this Agreement, Contractor shall
not discriminate on the grounds of race, religious creed, color, national origin, ancestry, age,
physical disability, mental disability, medical condition, including the medical condition of.
Acquired Immune Deficiency Syndrome (AIDS) or any condition related thereto, marital status,
sex; or sexual orientation, in the selection and retention of employees and 'subcontractors.and the
procurement of materials and equipment, except as provided in Section 12940 of the California
Government Code. Further, Contractor agrees to conform to the requirements of the Americans
with Disabilities Act in the performance of this Agreement.
26. Severability. Each provision, term, condition, covenant and/or restriction, in whole and in.
part, of this Agreement shall be considered severable. In the event any provision, term,
condition, covenant and/or restriction, in whole and/or in part, of this Agreement is declared
invalid, unconstitutional, or void for any reason, such provision or part tlieteof shall be severed
from this Agreement and shall not affect any other provision, term, condition, covenant and/or
restriction of this Agreement, and the remainder of the Agreement shall continue in full force and
effect. -
27. Authority: The individuals executing this Agreement and the instruments referenced herein .
on behalf of Contractor each represent and warrant that they have the legal power, right and
actual authority to bind Contractor to the terms and conditions Hereof and thereof.
28. Entire Agreement: This Agreement constitutes the final; complete, and exclusive statement
of the terms of.the agreement between the parties pertaining to the subject matter of this
Agreement, and supersedes all prior and contemporaneous understandings or agreements of the
parties. Neither party has been induced to enter into this Agreement by, nor is, neither party
relying on, any representation or warranty outside those expressly set forth in this Agreement.
29. Interpretation. City and Contractor acknowledge and agree that this Agreement is the
product of mutual anus-length negotiations and accordingly, the rule of construction, which
provides that the ambiguities in a document shall be construed against the drafter of that
document, shall have no application to the interpretation and enforcement of this Agreement.
29.1 Titles and captions are for convenience of reference only and do not define,
describe or limit the scope or the intent of the Agreement or any of its terms. References
to section numbers are to sections in the Agreement unless expressly stated otherwise.
29.2 This Agreement shall be governed by and construed in accordance with the laws
of the State of California in effect at the time of the execution of this Agreement.
D-7
i
IN WITNESS WHEREOF City and Contractor have caused this Agreement to be duly
executed the day and year first above written.
THE CITY OF GRAND TERRACE,
A public body
By:
G. d Du
City al ger
Attest: _
Debra L. Thomas
City Clerk
APPROVED AS O FO
aL::
�.��• Cr✓r rG
City Attorney
CONTRACTOR
By:
[Printed Name and Title]
D-9
ATTACHMENT"A"
SUMMARY OF PUBLIC CONTRACT CODE § 9204
A"claim"is a separate demand on the City by a contractor on a public works project and
sent by registered mail or certified mail with return receipt requested, for one or more of the
following:
•A time extension, including relief from penalties for delay;
• Payment by the City of money damages under the terms of the contract;
• Payment of an amount that is disputed by the City.
Initial Review
The claim must be supported by appropriate documentation. The City has 45 days within
which to review the claim and provide the contractor with a written statement identifying the
disputed and undisputed portions of the claim. If the City does not issue a written statement,the
claim is deemed rejected in its entirety. The City will pay any undisputed portion of the claim
within 60 days of issuing the statement.
Meet& Confer
If the contractor disputes the City's written response, or if the City does not issue one,the
contractor may request in writing an informal conference to meet and confer for possible settlement
of the claim. The City will schedule the meet and confer conference within 30 days of this request
and provide a written statement identifying the remaining disputed and undisputed portions of the
claim within 10 business days of the meet and confer. The City will pay the undisputed portion
within 60 days of issuing this statement.
Mediation
With respect to any disputed portion remaining after the meet and confer,the City and
contractor must submit the matter to nonbinding mediation, agree to a mediator within 10 business
days after issuing the written statement, and share mediation costs equally. If mediation is
unsuccessful,then the terms of the public works agreement and applicable law will govern
resolution of the dispute.
Miscellaneous Provisions
Amounts not paid by the City in a timely manner bear interest at 7%per annum.
Subcontractors may submit claims via this procedure through the general contractor. The City and
contractor may waive the requirement to mediate, but cannot otherwise waive these claim
procedures
D-10
ji. r.l1i _ -y
A L L C I TIE S E N G I N E E R I N G I N C _
5881 Snowgrass Trail
Jurupa Valley,Ca. 92509
(909)643- 3398
10/12/2018
PROPOSAL
I PROPOSE TO FURNISH ALL MATERIAL AND PERFORM ALL LABOR NECESSARY TO COMPLETE THE FOLLOWING:
N0. NIT ESTIMED QUANTITY ''.ITE,M'PRICE. TOTAL
ITEM �.• DESCRIPTION :U AT... . ,:••
1 MOBILIZATION
LS 1 $1,000:00 $1,000.00
2 ADA RAMP PER CITY STD EA 1 $4,250.00 $4,250.00
3 REMOVE AND HAUL AWAY EXISTING EA 2 $250. 00 $500.00
CONCRETE PLANTER BORDERS AND
ASPHALT
4 REPLACE CONCRETE PLANTER EA 2 $500.00 $1000.00
BORDERS AND PATCH DAMAGED
ASPHALT
5
6
OTAL 6 750.0
8
9
10
11
12
13
14
15
Quotation prepared by: JAVIER CASTRO
This is a quotation on the goods named,subject to the conditions noted below:
INCLUDES PREVAILING WAGES
PRICE DOES NOT INCLUDE PERMITS
[Quantities will be measured at end of project and billed Accordingly.]
THIS PRICE IS GOOD FOR 30 DAYS
To accept this quotation, sign here and return:
Thank you for your business!