Item 18 - Award of Contract to G.S.E. Const. Co., Inc. for the Lester J. Berglund Water Treatment Plant Clearwell Bypass Proj.; Bid 21-020July 20, 2021, Item #18DATE: TO: FROM: CONTACT: SUBJECT: Summary: AGENDA RE PO RT City of Poway July 20, 2021 Honorable Mayor and Members of the City Council Eric Heidemann, Director of Public Works 4~ Shadi Sarni, Principal Civil Engineer, Public Works 57 (858) 668-4717 or ssami@poway.org CITY COUNCIL Award of Contract to G.S.E. Construction Company, Inc. for the Lester J. Berglund Water Treatment Plant Clearwell Bypass Project; Bid No. 21-020 To improve the reliability, redundancy and resiliency of the City of Poway's potable water system, the City is embarking on a significant capital improvement program referred to as the Water Infrastructure Improvement Program (Program). The Program includes substantial improvements to the ten (10) million-gallon storage reservoir (the Clearwell) at the Lester J. Berglund Water Treatment Plant, a new San Diego County Water Authority (SDCWA) treated water connection and pipelines providing redundancy to the existing single transmission pipeline on Lake Poway Road. The Lester J. Berglund Water Treatment Plant Clearwell Bypass Project is the first project in a series of projects that make up the Program. The Clearwell Bypass Project enables the replacement of the Clearwell by bypassing it. The bypass system has been designed and advertised for bids. Bids were opened on June 28, 2021. Construction is anticipated to begin in late September/early October 2021, following the City Council award of the construction contract and approval of all contractor submittals and requirements. The Program has been discussed at City Council meetings on a number of occasions. The Program has been brought to the City Council as an informational item, to provide updates and to request approval of the various components on March 18, 2020, June 16, 2020, October 20, 2020, November 17, 2020, March 16, 2021, April 20, 2021, and June 1, 2021. A Town Hall Meeting was held on May 10, 2021 to provide Program information to Poway residents. This item will award a contract for the construction of the Lester J. Berglund Water Treatment Plant Clearwell Bypass Project to G.S.E. Construction Company, Inc. Recommended Action: It is recommended that the City Council award a contract for the Lester J. Berglund Water Treatment Plant Clearwell Bypass Project to G.S.E. Construction Company, Inc., the lowest responsible bidder, in the amount of $7,273,700.00. 1 of 16
July 20, 2021, Item #18Discussion: The Clearwell Bypass Project is an enabling project for the replacement of the clearwell. The clearwell is an existing ten (10) million-gallon potable water storage facility that stores the water treated at the Lester J. Berglund Water Treatment Plant, prior to discharge into the water distribution system. The clearwell was built in 1964 and has reached the end of its useful life. A bypass system has been designed to facilitate the replacement of the clearwell by bypassing it. This bypass system is hereby referred to as the "Lester J. Berglund Water Treatment Plant Clearwell Bypass Project." The Clearwell Bypass Project includes, but is not limited to the following elements: 1. Bypass Tanks: Two above-ground bolted steel water storage tanks; each with 1 .4 million gallon (MG) nominal volume and tank appurtenances. 2. Bypass Pump Station: Pump station utilizes vertical turbine pumps (three operational plus one standby); flow meter; and appurtenances including power supply, variable frequency drives and control system. 3. Pressure Control Facility: Above ground pressure control facility with two pressure reducing valves and appurtenances. 4. Permanent Bypass Pipeline: Approximately 1,165 linear feet of 36-inch diameter buried cement mortar lined and coated (CML&C) welded steel pipeline with valves, appurtenances, and connections. 5. Temporary Bypass Pipeline: Approximately 1,690 linear feet of 24-inch above ground high-density, polyethylene (HOPE) pipeline with valves, appurtenances, and connections. 6. Temporary Bypass Overflow Pipe: Approximately 330 linear feet of 24-inch HOPE above ground pipeline with overflow catch basin and discharge connection to storm drain swale. 7. Electrical power: Power supply for bypass tank site, bypass pump station and pressure control facility including electrical conduits, conductor, and appurtenances. 8. Instrumentation and controls: Instrumentation and control system for bypass tanks, bypass pump station and pressure control facility including signal conduits and conductors from the respective sites to the electrical room at the water treatment plant. 9. Tank site security: Camera and radio transmission system to convey signals to existing water treatment plant security system. Staff has coordinated the timing of construction of this project with Community Services Staff and has limited the construction staging areas to minimize disruptions to Lake Poway Recreational Area. Construction operations are expected to begin in late September/early October 2021. Four (4) staging areas have been designated for storage of the contractor's equipment and/or material. Staging area #1 is the employee parking lot, west of the Public Works Operations Building. Staging area #2 is adjacent to the Lester J. Berglund Water Treatment Plant. Staging area #3 is at the Lake Poway Recreation Area softball field, adjacent to the proposed location for the temporary tanks. Staging area #4 is the parking lot adjacent to the volleyball court at Lake Poway Recreation Area. 2 of 16
July 20, 2021, Item #18Construction hours have been designated as 7:00 a.m. to 5:00 p.m. Monday through Saturday, except on City holidays. The construction duration is 228 working days. Saturdays are included as working days in this contract. Upon completion of construction, testing and approval of the bypass system; the Clearwell will be taken offline for geotechnical investigations of the subsurface soils. Once geotechnical investigations are completed, design of the Clearwell Replacement Project can continue. Upon completion of design, construction and testing of the new Clearwell system, the bypass tanks at the softball field will be removed and the field will be restored to its original condition. The temporary tanks at the softball field are anticipated to remain in place for approximately two and a half (2.5) years. Bids were opened on June 28, 2021. The engineer's estimate of $7,060,000 is within three (3) percent of the lowest responsible bid. The following six (6) bids were received: Company Bid Amount G.S.E. Construction Company, Inc. $7,273,700.00 Zusser Company, Inc. $7,596,255.00 Shimmick Construction Company, Inc. $7,839,000.00 Orion Construction Corporation $7,898,486.00 TC Construction Company, Inc. $7,899,900.00 Caliagua, Inc. $8,673,950.00 A copy of the construction contract is included as Attachment A. The contract will be executed after the City Council awards the contract as recommended in this report. Environmental Review: The award for contract is not subject to environmental review. The Clearwell Replacement Project is Categorically Exempt as a Class 2 Categorical Exemption from the California Environmental Quality Act (CEQA) pursuant to Section 15302(c) of the CEQA Guidelines in that the proposed project consists of the replacement of an existing water facility in the approximate location of the existing facility with negligible expansion of the capacity. The installation of the temporary bypass system that is part of the Clearwell Replacement Project is Categorically Exempt as a Class 11 Categorical Exemption from the California Environmental Quality Act (CEQA) pursuant to Section 15311 of the CEQA Guidelines, in that the project consists of the placement of temporary water utility facilities within an existing developed site to facilitate the permanent water utility replacement, and areas temporarily occupied by the temporary facility would be returned to their existing conditions upon the completion of the permanent water utility replacement. Fiscal Impact: Sufficient funds are budgeted in the Capital Improvement Fund Program Clearwell Bypass Project (Project WTR0029) for this request. However, this project is part of the Water Infrastructure Improvement Program Phase 1 funding matrix and staff has not yet presented a funding structure to Council for their consideration. Additionally, the rate setting process for rates effective beginning January 1, 2022, needs to occur prior to the calendar year end. Staff anticipates presenting a funding structure and proposed rates early this fall as both components are intertwined. Should a viable 3 of 16
July 20, 2021, Item #18funding structure or the rate setting process encounter challenges, staff would return to Council to discuss options deferring other water projects to pay for Phase 1 costs. Public Notification: None. Attachments: A. Construction Contract Reviewed/ Approved By: ij~ L--------Wendy~erman Assistant City Manager 4 of 16 Reviewed By: Alan Fenstermacher City Attorney Approved By: c~ City Manager
July 20, 2021, Item #18SECTION 8 CONSTRUCTION CONTRACT CITY OF POWAY Lester J. Berglund Water Treatment Plant Clearwell Bypass Project This contract made and entered into this 21st day of July 2021, by and between City of Poway, a municipal corporation of the State of California, hereinafter referred to as "City" and G.S.E. Construction Company, Inc., hereinafter referred to as "Contractor." The City and the Contractor, for the consideration hereinafter named, mutually agree as follows: 1. The complete contract includes all of the contract documents, which are incorporated herein by this reference, and include: a. This Contract b. Contract Addenda c. Contract Change Orders d. Instructions to Bidders, Proposal Requirements and Conditions e. Contract Specifications f. Contract Plans g. General Condition h. Special Conditions i. Standard Specification for Public Works, most current edition 2. The contract documents are complementary, and that which is required by one shall be as binding as if required by all. 3. Contractor shall provide and furnish all labor, materials, necessary tools, expendable equipment, and all utility and transportation services required for the following work of improvement: The work on this project generally includes but is not limited to furnishing all products, labor, equipment, material, transportation, and incidental services to construct and make a fully operational potable water clearwell bypass system at the City of Poway, Lester J. Berglund Water Treatment Plant comprised of the following major elements: 5 of 16 ATTACHMENT A
July 20, 2021, Item #18a. Bypass Tanks: Two above-ground bolted steel water storage tanks; each with 1.4 MG (million gallons) nominal volume and tank appurtenances. b. Bypass Pump Station: Pump station utilizes vertical turbine pumps (three operational plus one standby), flow meter, and appurtenances including power supply, variable frequency drives and control system. There are contractor-related options associated with the pump station such as: i. Use of contractor designed and fabricated (City approved) steel trusses between pump cans and suction supply piping to aid in the installation of the pump station. ii. Use of a pre-engineered pump station fabricator to provide a packaged pump skid with pump cans, suction piping, electrical cabinets, pre-routed conduit and wire, motor control center, variable frequency drives, and control system to reduce costs and construction duration. For this option, contractor shall utilize Engineered Fluid Inc. (EFI), Centralia, IL (via manufacturer's local representative; Dale Huntington, 858-519-7467), or approved equal and shall submit request per Section 01620 -Product Options and Substitutions. c. Pressure Control Facility: Above ground pressure control facility with two pressure reducing valves and appurtenances. d. Permanent Bypass Pipeline: Approximately 1,165 linear feet of 36" diameter buried cement mortar lined and coated (CML&C) welded steel pipeline with valves, appurtenances and connections. e. Temporary Bypass Pipeline: Approximately 1,690 linear feet of 24" above ground HOPE pipeline with valves, appurtenances and connections. f. Temporary Bypass Overflow Pipe: Approximately 330 linear feet of 24" HOPE above ground pipeline with overflow catch basin and discharge connection to storm drain swale. g. Electrical power: Power supply for bypass tank site, bypass pump station and pressure control facility including electrical conduits, conductor, and appurtenances. h. Instrumentation and controls: Instrumentation and control system for bypass tanks, bypass pump station and pressure control facility including signal conduits and conductors from the respective sites to the electrical room at the plant. i. Tank site security: Cameras and radio transmission system to convey signals to existing plant security system. 4. Contractor agrees to perform all the said work and furnish all the said materials at her or his own cost and expense that are necessary to construct and complete in strict 6 of 16
July 20, 2021, Item #18conformance with contract documents and to the satisfaction of the Principal Engineer, the work hereinafter set forth in accordance with the contract adopted by the City Council. 5. City agrees to pay, and Contractor agrees to accept in full payment for performance of this work of improvement as described, the stipulated sum of Seven Million Two Hundred Seventy-Three Thousand Seven Hundred Dollars and Zero Cents ($7,273,700.00) the "Contract Price." City agrees to make progress payments and final payment in accordance with the method set forth in the Special Provisions. 6. Contractor agrees to commence construction of the work provided for herein within fifteen (15) calendar days after the date specified in the notice to proceed, and to continue diligently in strict conformance with contract documents and without interruption, and to complete the construction thereof within Two Hundred Twenty-Eight (228) Working Days after the date specified in the notice to proceed. 7. Time is of the essence of this contract, and it is agreed that it would be impracticable or extremely difficult to ascertain the extent of actual loss or damage which the City will sustain by reason of any delay in the performance of this contract. It is, therefore, agreed that Contractor will pay as liquidated damages to the City the following sum: Five Hundred Dollars ($500.00) per calendar day, for each and every calendar days' delay in finishing the work in excess of the number of working days prescribed above. If liquidated damages are not paid, as assessed by the City, the City may deduct the amount thereof from any money due or that may become due the Contractor under this contract in addition to any other remedy available to City. By executing this contract, Contractor agrees that the amount of liquidated damages is reasonable and shall not constitute a penalty. 8. In accordance with State of California Senate Bill No. 854, contractor will maintain and will require all subcontractors to maintain valid and current Department of Industrial Relations (DIR) Public Works Contractor registration during the term of this project. Contractor shall notify the City in writing immediately, and in no case more than twenty-four (24) hours, after receiving any information that Contractor's or any of its subcontractor's DIR registration status has been suspended, revoked, expired, or otherwise changed. 9. Contractor will pay, and will require all subcontractors to pay, all employees on said contract a salary or wage at least equal to the prevailing salary or wage established for such work as set forth in the wage determinations and wage standards applicable to this work, a copy of which is on file in the office of the City Clerk of the City of Poway. Federal prevailing wage rates apply for federally funded projects. Travel and subsistence pay shall be paid in accordance with Labor Code § 1773.1. 10. Contractor shall be subject to the penalties in accordance with Labor Code of§ 1775 for each worker paid (either by her or him, or by any subcontractors under her or him) less than the prevailing rate described above on the work provided for in this Contract. 7 of 16
July 20, 2021, Item #1811. Contractor and subcontractors shall comply with Labor Code § 1810 and § 1811 which stipulates that eight hours labor constitutes a legal day's work, and § 1812 which stipulates that the Contractor and subcontractors shall keep an accurate record showing the name of and actual hours worked each calendar day and each calendar week by each worker employed by her or him in connection with the work performed under the terms of the contract. Failure to comply with these sections of the Labor Code will subject the Contractor to penalty and forfeiture provisions of the Labor Code § 1813. 12. Contractor will comply with the provisions of Labor Code § 1777 .5 pertaining to the employment of apprentices to the extent applicable to this contract. 13. Contractor, by executing this contract, hereby certifies: "I am aware of and will comply with the Labor Code § 3700 by securing payment for and maintaining in full force and effect for the duration of the contract, complete Workers' Compensation Insurance, and shall furnish a Certificate of Insurance to the City before execution of the contract. The City, its officers, or employees, will not be responsible for any claims in law or equity occasioned by failure of the Contractor to comply with this paragraph." Contractor further agrees to require all subcontractors to carry Workers' Compensation Insurance as required by the Labor Code of the State of California. 14. Contractor shall, concurrent with the execution of this contract, furnish two bonds approved by the City, one in the amount of One Hundred Percent (100%) of the contract price, to guarantee the faithful performance of the work ("Performance Bond"), and one in the amount of One Hundred Percent (100%) of the contract price to guarantee payment of all claims for labor and materials furnished ("Payment Bond"). This contract shall not become effective until such bonds are supplied to and approved by the City. 15. a. Contractor shall procure and maintain at its own expense, until completion 8 of 16 of performance, commercial general liability insurance of not less than Ten Million Dollars ($10,000,000) per occurrence, and Eleven Million Dollars ($11,000,000) in the aggregate, for bodily injury, personal injury, death, loss or damage resulting from the wrongful or negligent acts by the Contractor or its officers, employees, servants, volunteers and agents and independent contractors. Contractor shall provide commercial general liability insurance on an occurrence, not claims-made basis. Contractor acknowledges and agrees that, for purposes of clarification with the intention of avoiding gaps in coverage with any umbrella or excess insurance, personal and advertising injury coverage shall be triggered by an "offense" while bodily injury and property damage coverage shall be triggered by an "occurrence" during the policy period.
July 20, 2021, Item #189 of 16 b. Contractor shall further procure and maintain at its own expense, until completion of performance, commercial automobile liability insurance covering personal injury and property damage, of not less than Five Million Dollars ($5,000,000) combined single limit, covering any automobile utilized by Contractor or its officers, employees, servants, volunteers and agents and independent contractors in performing the services required by this Agreement. c. Contractor shall further procure and maintain at its own expense, until completion of performance, workers' compensation insurance providing coverage as required by the California State Workers' Compensation Law, and employer's liability insurance in the minimum amount of $1,000,000 per accident or disease. If any class of employees employed by the Contractor pursuant to this Agreement is not protected by the California State Workers' Compensation Law, Contractor shall provide adequate insurance for the protection of such employees to the satisfaction of the City. This provision shall not apply if Contractor has no employees performing work under this Agreement. Contractor agrees to waive its statutory immunity under any worker's compensation or similar statute, as respecting the City, and to require any and all subcontractors and any other person or entity involved with the Project to do the same. d. Contractor shall further procure and maintain at its own expense, until completion of performance, pollution liability insurance written on a Contractor's Pollution Liability form or other form acceptable to the City providing coverage for liability arising out of sudden, accidental and gradual pollution and remediation. The policy limit shall be no less than $5,000,000 per claim and in the aggregate. All activities contemplated in this Agreement shall be specifically scheduled on the policy as "covered operations." The policy shall also provide coverage for the hauling of waste from the project site to the final disposal location, including non-owned disposal sites. e. Contractor may elect to obtain an umbrella or excess liability insurance policy to meet the insurance requirements of this Agreement. Such policy shall provide coverage for bodily injury, personal injury and property damage at least as broad as the primary coverages set forth above, including commercial general liability, commercial automobile liability, and employer's liability. The policy shall include the following terms and conditions: 1. A drop-down feature requiring the policy to respond in the event that any primary insurance that would otherwise have applied proves to be uncollectable in whole or in part for any reason. ii. Pay on behalf of wording as opposed to reimbursement. iii. Concurrency of effective dates with primary policies. iv. Policy shall "follow form" of the underlying primary policies. v. Insureds under the primary policies shall also be insureds under any umbrella or excess policy.
July 20, 2021, Item #18f. All policies required by this section shall be secured from insurers authorized to do business in the State of California with an "A-" policyholder's rating or better and a financial rating of at least Class VII, in accordance with the current AM Best Ratings. g. Contractor agrees to require that all parties, including but not limited to subcontractors, architects, engineers or others with whom Contractor enters into contracts or whom Contractor hires or retains pursuant to or in any way related to the performance of this Agreement, provide types and limits of insurance appropriate for the risk associated with the work being performed, and, except for workers' compensation coverage, name as additional insureds the parties to this Agreement. Contractor agrees to monitor and review all such coverage and assumes all responsibility for ensuring that such coverage is provided in conformity with the requirements of this Section. h. In the event this Agreement is terminated for any reason prior to the completion of all obligations and requirements of this Agreement, Contractor agrees to maintain all coverages required herein until the City provides written authorization to terminate the coverages following the City's review and determination that all liability posed under this Agreement as to the party providing insurance has been eliminated. i. Contractor agrees and acknowledges that if it fails to obtain all of the insurance required in this Agreement in accordance with the requirements herein, or to obtain and ensure that appropriate coverage is maintained by any subcontractors or others involved in any way with the Project, Contractor shall be responsible for any losses, claims, suits, damages, defense obligations, or liability of any kind or nature attributable to the City, and/or its officers, officials, employees, volunteers, agents and independent contractors, that result from such failure by Contractor. 16. a. Contractor shall provide certificates of insurance with original endorsements to the City as evidence of the insurance coverage required herein. Certificates of such insurance shall be filed with the City on or before commencement of performance of this Agreement. Current certification of insurance shall be kept on file with the City at all times until completion of performance and acceptance by the City. b. Notwithstanding any inconsistent statement in any required insurance policies or any subs~quent endorsements attached thereto, the commercial general liability and commercial automobile liability policies shall bear endorsements whereby it is provided that the City, and its officers, officials, employees, volunteers, and agents and independent contractors are named as additional insureds for ongoing and completed operations. Additional insureds shall be entitled to the full benefit of all insurance policies in the same manner and to the same extent as any other insureds and there shall be no limitation to the benefits conferred upon them other than policy limits to coverages. 10 of 16
July 20, 2021, Item #18c. Contractor shall require the carriers of all required insurance policies to waive all rights of subrogation against the City, and its officers, officials, employees, volunteers, and agents. d. Each policy required herein must be endorsed to provide that the policy shall not be cancelled or reduced in coverage or limits (except by paid claims) unless the insurer has provided the City with 30 days prior written notice of cancellation. Contractor agrees to provide the City with 30 days written notice prior to any non-renewal or reduction in coverage or limits. e. All insurance policies required to be provided by Contractor or any other party must be endorsed to provide that the policies shall apply on a primary and noncontributing basis in relation to any insurance or self-insurance, primary or excess, maintained or available to the City, and its officers, officials, employees, servants, volunteers, agents. f. General liability products/completed operations coverage shall extend a minimum of three (3) years after project completion. Coverage shall be included on behalf of the insured for covered claims arising out of the actions of independent contractors. If the insured is using subcontractors, the policy must include work performed "by or on behalf' of the insured. The policy shall contain no language that would invalidate or remove the insurer's duty to defend or indemnify for claims or suits expressly excluded the part of the insurer. The City, its officers, officials, employees, volunteers, and agents, shall be included as additional insured under the products and completed operations coverage. g. Contractor acknowledges and agrees that any actual or alleged failure on the part of the City to inform Contractor of non-compliance with any requirement imposes no additional obligations on the City nor does it waive any rights hereunder. h. Requirements of specific coverage features, or limits contained in this Section are not intended as a limitation on coverage, limits or other requirements, or a waiver of any coverage normally provided by any insurance. Specific reference to a given coverage feature is for purposes of clarification only as it pertains to a given issue and is not intended by any party or insured to be all inclusive, or to the exclusion of other coverage, or a waiver of any type. If the Contractor maintains higher limits than the minimums required by this Agreement, the City requires and shall be entitled to coverage for the higher limits maintained by the Contractor. Any available insurance proceeds in excess of the specified minimum limits of insurance and coverage shall be available to the City. i. None of the coverages required herein will be in compliance with these requirements if they include any limiting endorsement of any kind that has not been first submitted to City and approved of in writing. 11 of 16
July 20, 2021, Item #18j. A severability of interest provIsIon must apply for all additional insureds ensuring that Contractor's insurance shall apply separately to each insured against whom claim is made or suit is brought, except with respect to the insurer's limits of liability. The policy(s) shall not contain any cross-liability exclusions. k. The City reserves the right at any time during the term of the contract to change the amounts and types of insurance required by giving the Contractor a ninety (90)-day advance written notice of such change. If such change results in substantial additional cost to the Contractor, the City and Contractor may renegotiate Contractor's compensation. I. Any self-insured retentions must be declared to and approved by City. City reserves the right to require that self-insured retentions be eliminated, lowered, or replaced by a deductible. Self-insurance will not be considered to comply with these specifications unless approved by City. m. Contractor shall give City prompt and timely notice of claims made or suits instituted that arise out of or result from Contractor's performance under this Agreement, and that involve or may involve coverage under any of the required liability policies. n. Contractor shall also procure and maintain, at its own cost and expense, any additional kinds of insurance, which in its own judgment may be necessary for its proper protection and prosecution of the work. 17. a. Contractor shall defend, indemnify and hold harmless the City, its officers, officials, agents, employees and volunteers from and against any and all claims, demands, actions, losses, damage, injuries, and liability, direct or indirect (including any and all costs and expenses in connection therewith) to the extent actually caused by the negligence of Contractor, Contractor's employees, subcontractors or independent contractors except for any such claim arising out of the negligence or willful misconduct of the City, or its officers, officials, agents, employees and volunteers. b. The City does not, and shall not, waive any rights that it may have against Contractor under this Section because of the acceptance by the City, or the deposit with the City, of any insurance policy or certificate required pursuant to this Agreement. The hold harmless, indemnification and duty to defend provisions of this Section shall apply regardless of whether or not said insurance policies are determined to be applicable to the claim, demand, action, damage, liability, loss, cost or expense described herein. 18.Any amendments to any of the contract documents, including but not limited to contract change orders, must be in writing executed by the Contractor and the City. 12 of 16
July 20, 2021, Item #18Any time an approval, time extension, or consent of the City is required under the contract documents, such approval, extension, or consent must be in writing in order to be effective. 19. The contract documents contain all of the agreements and understandings of the parties and all previous understandings, negotiations, and contracts are integrated into and superseded by this contract. 20. In the event that any one or more of the phrases, sentences, clauses, paragraphs, or sections contained in this contract shall be declared invalid or unenforceable by a valid judgment or decree of a court of competent jurisdiction, such invalidity or unenforceability shall not affect any of the remaining phrases, sentences, clauses, paragraphs, or sections of this contract which are hereby declared as severable and shall be interpreted to carry out the intent of the parties hereunder. 21. The persons executing this contract on behalf of the parties hereto warrant that they are duly authorized to execute this contract on behalf of said parties and that, by so executing this contract, the parties hereto are formally bound to the provisions of this contract. 22. This contract shall be binding upon and shall inure to the benefit of the parties hereto and their respective heirs, personal representatives, successors, and assigns. 23. In performing its obligations and duties under this contract, each party shall comply with all applicable local, state, and federal laws, regulations, rules, standards and ordinances. 24. This contract may be executed by the parties in counterparts, which counterparts shall be construed together and have the same effect as if all of the parties had executed the same instrument. 25. After completion of the work contemplated by this contract, Contractor shall file with the City Manager an affidavit stating that all workers and persons employed, all firms supplying materials, and all subcontractors upon the project have been paid in full, and that there are no claims outstanding against the project for either labor or materials, except certain items, if any, to be set forth in an affidavit covering disputed claims or items in connection with a Stop Notice that has been filed under the provision of the laws of the State of California. 26. All work shall be subject to inspection and testing by City and its authorized representatives during manufacture and construction and all other times and places, including, without limitation, the plans of Contractor and any of its suppliers. Contractor shall provide all reasonable facilities and assistance for the safety and convenience of inspectors. All inspections and tests shall be performed in such manner as to not unduly delay the work. The Work shall be subject to final inspection and acceptance notwithstanding any payments or other prior inspections. Such final inspection shall be made within a reasonable time after completion of the work. 13 of 16
July 20, 2021, Item #1827. Whenever Contractor has knowledge that any actual or potential labor dispute is delaying or threatens to delay the timely performance of the contract, Contractor shall immediately give notice thereof, including all relevant information with respect thereto, to City. 28. Contractor agrees to contact the appropriate regional notification center in accordance with Government Code Section 4216.2. 29. Contractor shall submit its detailed plan for worker protection during the excavation of trenches required by the scope of the work in accordance with Labor Code Section 6705. 30. a. Contractor shall, without disturbing the condition, notify City, in writing, as soon as Contractor, or any of Contractor's subcontractors, agents, or employees have knowledge and reporting is possible, of the discovery of any of the following conditions: i. The presence of any material that Contractor believes is hazardous waste, as defined in Section 25117 of the Health and Safety Code; ii. Subsurface or latent physical conditions at the site differing from those indicated in the specifications; or iii. Unknown physical conditions at the site of any unusual nature, different materially for those ordinarily encountered and generally recognized as inherent in work of the character provided for in this contract. a. Pending a determination by City of appropriate action to be taken, Contractor shall provide security measures (e.g., fences) adequate to prevent the hazardous waste or physical conditions from causing bodily injury to any person. b. City shall promptly investigate the reported conditions. If City, through and in the exercise of its sole discretion, determines that the conditions do materially differ or do involve hazardous waste, and will cause a decrease or increase in Contractor's cost of, or time required for, performance of any part of the work, then City shall issue a change order. c. In the event of a dispute between City and Contractor as to whether the conditions materially differ, or involve hazardous waste, or cause a decrease or increase in Contractor's cost of, or time required for, performance of any part of the work, Contractor shall not be excused from any scheduled completion date, and shall proceed with all work to be performed under the contract. Contractor shall retain any and all rights that pertain to the resolution of disputes and protests between the parties. 14 of 16
July 20, 2021, Item #1831. This contract is to be governed by the laws of the State of California. 32. All work shall be guaranteed for a period of one (1) year from the date of acceptance by the City. Contractor shall promptly make all needed repairs arising out of defective materials, workmanship, and equipment. City is hereby authorized to make such repairs if within ten (10) days after giving written notice to Contractor, or its agent, Contractor should fail to make or undertake with due diligence the aforesaid repairs; provided, however, that in case of an emergency, where, in the opinion of City, delay would cause serious loss or damage, repairs may be made without notice being sent to Contractor, and Contractor shall pay the costs thereof. (Remainder of page intentionally left blank) 15 of 16
July 20, 2021, Item #18IN WITNESS WHEREOF, the said Contractor and the City Manager, City Clerk and City Attorney have caused the names of said parties to be affixed hereto, the day and year first above written. G.S.E. CONSTRUCTION COMPANY, INC. By: __________ _ Dennis Gutierrez, President Contractor information: Address for Notices and Payments Telephone Number: ______ _ Email: ATTEST: Deborah Harrington, Interim City Clerk APPROVED AS TO FORM: RUTAN & TUCKER, LLP Alan Fenstermacher, City Attorney 16 of 16 CITY OF POWAY a Municipal Corporation Chris Hazeltine, City Manager