HomeMy WebLinkAboutAGENDA REPORT 2012 1107 CCSA REG ITEM 10M ITEM 10-M.
MOORPARK CITY COUNCIL City Council hrmeting
AGENDA REPORT
ACTION:
TO: The Honorable City Council
FROM: Allen Walter, Landscape/Parks Maintenance Superintendent
DATE: October 15 , 2012 (CC Meeting October 17, 2012)
SUBJECT: Consider an Agreement with Metro Landscape for Landscape and
Construction Services at Various City Properties
DISSCUSSION
The City requires landscape and construction services at various City facilities and
parks performed by a licensed contractor. Metro Landscape has the qualifications,
experience, and facilities to properly and timely perform, and furnish to the City,
landscape and construction services. As the City's landscaped areas, parks, and
facilities age, the demand for landscape and construction services has increased,
resulting in an increase to the annual cost to maintain these facilities. City code does
not allow the City Manager authority to approve contracts that exceed $50,000.
Therefore, staff is requesting that Council approve a contract with Metro Landscape for
$50,000 annually and authorize the City Manager to execute the Agreement.
Staff is also requesting an Agreement term provision to amend the Agreement term for
two (2) additional years with annual compensation of $50,000, or a total Agreement
amount of$150,000 over three (3) years.
FISCAL IMPACT
There is no impact to FY 2011/12 budget as funding has been provided in the current
Parks, Facilities and Landscape Maintenance Districts operating budgets. Future
expenditures in FY 12/13 and FY 13/14 will also be included in the relevant expenditure
accounts. Staff will continue to follow City policy and obtain competitive bids as required
for landscape and construction services that exceed the City's limit of$5,000.
STAFF RECOMMENDATION
Award a contract to Metro Landscape for landscape and construction services at
various City properties and authorize the City Manager to execute an Agreement at a
cost of $50,000 annually, with a total contract cost of $150,000 over an optional three
(3) year term, subject to final language approval by City Manager and City Attorney.
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AGREEMENT BETWEEN THE CITY OF MOORPARK AND
METRO LANDSCAPE, FOR LANDSCAPE AND CONSTRUCTION
SERVICES AT VARIOUS MOORPARK LANDSCAPE MAINTENANCE
DISTRICTS, PARKS, FACILITIES, AND CITY PROPERTIES
THIS AGREEMENT, is made and effective as of this day of
, 2012, between the City of Moorpark, a municipal corporation
("City") and Metro Landscape, a sole proprietorship ("Contractor'). In consideration of
the mutual covenants and conditions set forth herein, the parties agree as follows:
WHEREAS, City has the need for landscape and construction related services to
at various Moorpark landscape maintenance districts, parks, facilities, and City
properties; and
WHEREAS, Contractor specializes in providing such services and has the proper
work experience, certifications, and background to carry out the duties involved.
NOW, THEREFORE, in consideration of the mutual covenants, benefits, and
premises herein stated, the parties hereto agree as follows:
1. TERM
The term of the Agreement shall be from the date of execution and will expire on
December 31, 2013, unless sooner terminated as provided hereinafter.
Upon the mutual consent of both parties, the term of this Agreement may be
extended for two (2) additional one (1) year periods.
2. SCOPE OF SERVICES
City does hereby retain Contractor in a contractual capacity to provide City does
hereby retain Contractor in a contractual capacity to provide landscape and construction
services at various Moorpark landscape maintenance districts, parks, facilities, and City
properties as set forth in Exhibit A. Where said Scope of Services is modified by this
Agreement, or in the event there is a conflict between the provisions of said Scope of
Services and this Agreement, the language contained in this Agreement shall take
precedence.
Contractor shall perform the tasks described and set forth in Exhibit A attached
hereto and incorporated herein by this reference as though set forth in full. Contractor
shall complete the tasks according to the schedule of performance which is also set
forth in Exhibit A.
Compensation for the services to be performed by Contractor shall be in
accordance with Exhibit A, attached hereto and incorporated herein by this reference as
though set forth in full. Compensation shall not exceed the rates or total value of or total
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value of fifty thousand dollars ($50,000) annually and one hundred fifty thousand
($150,000) for the total term the Agreement, without the written authorization of the City
Council. Payment by City to Contractor shall be as referred to in this Agreement.
3. PERFORMANCE
Contractor shall at all time faithfully, competently, and to the best of Contractor's
ability, experience, and talent, performs all tasks described herein. Contractor shall
employ, at a minimum, generally accepted standards and practices utilized by persons
engaged in providing similar services as are required of Contractor hereunder in
meeting its obligations under this Agreement.
4. MANAGEMENT
The individual directly responsible for Contractor's overall performance of the
Agreement provisions herein above set forth and to serve as principal liaison between
City and Contractor shall be Ronald Reichl, and no other individual may be substituted
without the prior written approval of the City Manager.
The City's contact person in charge of administration of this Agreement, and to
serve as principal liaison between Contractor and City, shall be the City Manager or the
City Manager's designee.
5. PAYMENT
The City agrees to pay Contractor monthly, in accordance with the terms and the
schedule of payment as set forth in Exhibit A, attached hereto and incorporated herein
by this reference as though set forth in full, based upon actual time spent on the above
tasks. This amount shall not exceed or total value of fifty thousand dollars ($50,000)
annually and one hundred fifty thousand ($150,000) for the total term of the Agreement,
unless additional payment is approved as provided in this Agreement.
Contractor shall not be compensated for any services rendered in connection
with its performance of this Agreement, which are in addition to those set forth herein,
unless such additional services are authorized in advance and in writing by the City
Manager. Contractor shall be compensated for any additional services in the amounts
and in the manner as agreed to by City Manager and Contractor at the time City's
written authorization is given to Contractor for the performance of said services. The
City Manager, if authorized by City Council, may approve additional work not to exceed
ten percent (10%) of the amount of the Agreement.
Contractor shall submit invoices monthly for actual services performed. Invoices
shall be submitted on or about the first business day of each month, or as soon
thereafter as practical, for services provided in the previous month. Payment shall be
made within thirty (30) days of receipt of each invoice as to all non-disputed fees. If the
City disputes any of Contractor's fees it shall give written notice to Contractor within
thirty (30) days of receipt of any disputed fees set forth on the invoice. Contractor shall
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provide appropriate documentation, as determined by the City, for all reimbursable
expenses.
6. TERMINATION OR SUSPENSION WITHOUT CAUSE
The City may at any time, for any reason, with or without cause, suspend, or
terminate this Agreement, or any portion hereof, by serving upon the Contractor at least
ten (10) days prior written notice. Upon receipt of said notice, the Contractor shall
immediately cease all work under this Agreement, unless the notice provides otherwise.
If the City suspends or terminates a portion of this Agreement such suspension or
termination shall not make void or invalidate the remainder of this Agreement.
The Contractor may terminate this Agreement only by providing City with written
notice no less than thirty (30) days in advance of such termination. In the event of such
termination, Contractor shall be compensated for such services up to the date of
termination. Such compensation for work in progress shall be prorated as to the
percentage of progress completed at the date of termination.
If the City Manager or the City Manager's designee determines that the
Contractor is in default in the performance of any of the terms or conditions of this
Agreement, the City may proceed in the manner set forth in Section 6-4 of the
Greenbook.
7. DEFAULT OF CONTRACTOR
The Contractor's failure to comply with the provisions of this Agreement shall
constitute a default. In the event that Contractor is in default for cause under the terms
of this Agreement, City shall have no obligation or duty to continue compensating
Contractor for any work performed after the date of default and can terminate this
Agreement immediately by written notice to the Contractor. If such failure by the
Contractor to make progress in the performance of work hereunder arises out of causes
beyond the Contractor's control, and without fault or negligence of the Contractor, it
shall not be considered a default.
If the City Manager or the City Manager's designee determines that the
Contractor is in default in the performance of any of the terms or conditions of this
Agreement, he/she shall cause to be served upon the Contractor a written notice of the
default. The Contractor shall have five (5) working days after service upon it of said
notice in which to cure the default by rendering a satisfactory performance. In the event
that the Contractor fails to cure its default within such period of time, the City shall have
the right, notwithstanding any other provision of this Agreement, to terminate this
Agreement without further notice and without prejudice to any other remedy to which it
may be entitled at law, in equity or under this Agreement.
8. LIQUIDATED DAMAGES
If the Contractor fails to complete the work, or any portion thereof, within the time
period required by this Agreement or as duly extended in writing by the City Manager,
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Contractor shall forfeit and pay to the City, as liquidated damages, the sum of one
hundred fifty dollars ($150.00) per day for each calendar day the work, or portion
thereof, remains uncompleted after the above specified completion date. Liquidated
damages shall be deducted from any payments due or to become due to the Contractor
under the terms of this Agreement [Government Code Sec. 53069.851. Progress
payments made by the City after the above specified completion date shall not
constitute a waiver of liquidated damages by the City.
9. OWNERSHIP OF DOCUMENTS
Contractor shall maintain complete and accurate records with respect to sales,
costs, expenses, receipts, and other such information required by City that relate to the
performance of services under this Agreement. Contractor shall maintain adequate
records of services provided in sufficient detail to permit an evaluation of services. All
such records shall be maintained in accordance with generally accepted accounting
principles and shall be clearly identified and readily accessible. Contractor shall provide
free access to the representatives of City or its designees at reasonable times to such
books and records; shall give the City the right to examine and audit said books and
records; shall permit City to make transcripts therefrom as necessary; and shall allow
inspection of all work, data, documents, proceedings, and activities related to this
Agreement. Notification of audit shall be provided at least thirty (30) days before any
such audit is conducted. Such records, together with supporting documents, shall be
maintained for a period of ten (10) years after receipt of final payment.
Upon completion of, or in the event of termination or suspension of this
Agreement, all original documents, designs, drawings, maps, models, computer files,
surveys, notes, and other documents prepared in the course of providing the services to
be performed pursuant to this Agreement shall become the sole property of the City and
may be used, reused, or otherwise disposed of by the City without the permission of the
Contractor. With respect to computer files, Contractor shall make available to the City,
at the Contractor's office and upon reasonable written request by the City, the
necessary computer software and hardware for purposes of accessing, compiling,
transferring, and printing computer files.
10. INDEMNIFICATION AND HOLD HARMLESS
Contractor hereby assumes liability for and agrees to defend (at Indemnitees'
option), indemnify, protect, and hold harmless City and its Project Contractors, and
engineers, officers, agents, and employees ("Indemnitees") from and against any and all
claims, charges, damages, demands, actions, proceedings, losses, stop notices, costs,
expenses (including attorneys' fees), judgments, civil fines and penalties, liabilities of
any kind or nature whatsoever, which may be sustained or suffered by or secured
against the Indemnitees arising out of or encountered in connection with this Agreement
or the performance of the work including, but not limited to, death of or bodily injury to
persons or damage to property, including property owned by or under the care and
custody of City, and for civil fines and penalties, that may arise from or be caused, in
whole or in part, by any negligent or other act or omission of Contractor, its officers,
agents, employees, or subcontractors including but not limited to, liability arising from:
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a) Any dangerous, hazardous, unsafe, or defective condition of, in or on the
premises, of any nature whatsoever, which may exist by reason of any act,
omission, neglect, or any use or occupation of the premises by Contractor, its
officers, agents, employees, or subcontractors;
b) Any operation conducted upon or any use or occupation of the premises
by Contractor, its officers, agents, employees, or subcontractors under or pursuant
to the provisions of this Agreement or otherwise;
c) Any act, omission, or negligence of Contractor, its officers, agents,
employees, or subcontractors;
d) Any failure of Contractor, its officers, agents, or employees to comply with
any of the terms or conditions of this Agreement or any applicable federal, state,
regional, or municipal law, ordinance, rule or regulation; and
e) The conditions, operations, uses, occupations, acts, omissions, or
negligence referred to in Subsections a, b, c, and d, existing or conducted upon or
arising from the use or occupation by Contractor on any other premises in the care,
custody and control of City.
The Contractor also agrees to indemnify City and pay for all damage or loss suffered
by City including but not limited to damage to or loss of City property, to the extent not
insured by City and loss of City revenue from any source, caused by or arising out of
the conditions, operations, uses, occupations, acts, omissions or negligence referred to
in Subsections a, b, c, d, and e.
Contractor's obligations under this Section apply regardless of whether or not
such claim, charge, damage, demand, action, proceeding, loss, stop notice, cost,
expense, judgment, civil fine or penalty, or liability was caused in part or contributed to
by an Indemnitee. However, without affecting the rights of City under any provision of
this Agreement, Contractor shall not be required to indemnify and hold harmless City for
liability attributable to the active negligence of City, provided such active negligence is
determined by agreement between the parties or by the findings of a court of competent
jurisdiction. In instances where City is shown to have been actively negligent and where
City's active negligence accounts for only a percentage of the liability involved, the
obligation of Contractor will be for that entire portion or percentage of liability not
attributable to the active negligence of City.
Contractor agrees to obtain executed indemnity agreements with provisions
identical to those set forth here in this Section from each and every subcontractor or any
other person or entity involved by, for, with, or on behalf of Contractor in the
performance of this Agreement. In the event Contractor fails to obtain such indemnity
obligations from others as required here, Contractor agrees to be fully responsible
according to the terms of this Section.
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Failure of City to monitor compliance with these requirements imposes no
additional obligations on City and will in no way act as a waiver of any rights hereunder.
This obligation to indemnify and defend City as set forth here is binding on the
successors, assigns, or heirs of Contractor and shall survive the termination of this
Agreement or Section.
This Indemnity shall survive termination of the Agreement or Final Payment
hereunder. This Indemnity is in addition to any other rights or remedies that the
Indemnitees may have under the law or under any other Contract Documents or
Agreements. In the event of any claim or demand made against any party which is
entitled to be indemnified hereunder, City may, in its sole discretion, reserve, retain, or
apply any monies to the Contractor under this Agreement for the purpose of resolving
such claims; provided, however, City may release such funds if the Contractor provides
City with reasonable assurance of protection of the Indemnitees' interests. City shall, in
its sole discretion, determine whether such assurances are reasonable.
11. INSURANCE
Contractor shall maintain prior to the beginning of and for the duration of this
Agreement insurance coverage as specified in Exhibit B attached hereto and
incorporated herein by this reference as though set forth in full.
12. INDEPENDENT CONTRACTOR
Contractor is and shall at all times remain as to the City a wholly independent
Contractor. The personnel performing the services under this Agreement on behalf of
Contractor shall at all times be under Contractor's exclusive direction and control.
Neither City nor any of its officers, employees, or agents shall have control over the
conduct of Contractor or any of Contractor's officers, employees, or agents, except as
set forth in this Agreement. Contractor shall not at any time or in any manner represent
that it or any of its officers, employees, or agents are in any manner officers,
employees, or agents of the City. Contractor shall not incur or have the power to incur
any debt, obligation, or liability against City, or bind City in any manner.
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
the Agreement, City shall not pay salaries, wages, or other compensation to Contractor
for performing services hereunder for City. City shall not be liable for compensation or
indemnification to Contractor for injury or sickness arising out of performing services
hereunder.
13. LEGAL RESPONSIBILITIES
The Contractor shall keep itself informed of local, state and federal laws and
regulations which in any manner affect those employed by it or in any way affect the
performance of its service pursuant to this Agreement. The Contractor shall at all times
observe and comply with all such laws and regulations. The City, and its officers and
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employees, shall not be liable at law or in equity occasioned by failure of the Contractor
to comply with this Section.
14. ANTI DISCRIMINATION
Neither the Contractor, nor any subcontractor under the Contractor, shall
discriminate in employment of persons upon the work because of race, religious creed,
color, national origin, ancestry, physical handicap, medical condition, marital status, or
gender of such person, except as provided in Section 12940 of the Government Code.
The Contractor shall have responsibility for compliance with this Section [Labor Code
Section 1735].
15. UNDUE INFLUENCE
Contractor declares and warrants that no undue influence or pressure is used
against or in concert with any officer or employee of the City in connection with the
award, terms, or implementation of this Agreement, including any method of coercion,
confidential financial arrangement, or financial inducement. No officer or employee of
the City will receive compensation, directly or indirectly from Contractor, or any officer,
employee, or agent of Contractor, in connection with the award of this Agreement or any
work to be conducted as a result of this Agreement. Violation of this Section shall be a
material breach of this Agreement entitling the City to any and all remedies at law or in
equity.
16. NO BENEFIT TO ARISE TO LOCAL EMPLOYEES
No member, officer, or employee of the City, or their designees or agents, and no
public official who exercises authority over or responsibilities with respect to the Project
during his/her tenure or for one (1) year thereafter, shall have any interest, direct or
indirect, in any agreement or sub-agreement, or the proceeds thereof, for work to be
performed in connection with the Project performed under this Agreement.
17. CONFLICT OF INTEREST
Contractor covenants that neither they nor any officer or principal of their firm
have any interests, nor shall they acquire any interest, directly or indirectly, which will
conflict in any manner or degree with the performance of their services hereunder.
Contractor further covenants that in the performance of this Agreement, they shall
employ no person having such interest as an officer, employee, agent, or subcontractor.
Contractor further covenants that Contractor has not contracted with nor is performing
any services directly or indirectly, with the developer(s) and/or property owner(s) and/or
firm(s) and/or partnership(s) and/or public agency(ies) owning property and/or
processing an entitlement application for property in the City or its Area of Interest, now
or within the past one (1) year, and further covenants and agrees that Contractor and/or
its subcontractors shall provide no service or enter into any contract with any
developer(s) and/or property owner(s) and/or firm(s) and/or partnership(s) and/or public
agency(ies) owning property and/or processing an entitlement application for property in
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the City or its Area of Interest, while under contract with the City and for a one (1) year
time period following termination of this Agreement.
18. NOTICE
Any notice to be given pursuant to this Agreement shall be in writing, and all such
notices and any other document to be delivered shall be delivered by personal service
or by deposit in the United States mail, certified or registered, return receipt requested,
with postage prepaid, and addressed to the party for whom intended as follows:
To: City Manager
City of Moorpark
799 Moorpark Avenue
Moorpark, California 93021
To: Ronald Reichl
Metro Landscape
4212 East Los Angeles Avenue No. 4545
Simi Valley, California 93063
Either party may, from time to time, by written notice to the other, designate a
different address or contact person, which shall be substituted for the one above
specified. Notices, payments and other documents shall be deemed delivered upon
receipt by personal service or as of the third (3rd) day after deposit in the United States
mail.
19. CHANGE IN NAME
Should a change be contemplated in the name or nature of the Contractor's legal
entity, the Contractor shall first notify the City in order that proper steps may be taken to
have the change reflected in the Agreement documents.
20. ASSIGNMENT
Contractor shall not assign this Agreement or any of the rights, duties, or
obligations hereunder. It is understood and acknowledged by the parties that Contractor
is uniquely qualified to perform the services provided for in this Agreement.
21. LICENSES
At all times during the term of this Agreement, Contractor shall have in full force
and effect, all licenses required of it by law for the performance of the services in this
Agreement.
22. VENUE AND GOVERNING LAW
This Agreement is made, entered into, and executed in Ventura County,
California, and any action filed in any court or for arbitration for the interpretation,
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enforcement or other action of the terms, conditions, or covenants referred to herein
shall be filed in the applicable court in Ventura County, California. The City and
Contractor understand and agree that the laws of the state of California shall govern the
rights, obligations, duties, and liabilities of the parties to this Agreement and also govern
the interpretation of this Agreement.
23. ENTIRE AGREEMENT
This Agreement contains the entire understanding between the parties relating to
the obligations of the parties described in this Agreement. All prior or contemporaneous
agreements, understandings, representations, and statements, oral or written, are
merged into this Agreement and shall be of no further force or effect. Each party is
entering into this Agreement based solely upon the representations set forth herein and
upon each party's own independent investigation of any and all facts such party deems
material.
24. CAPTIONS OR HEADINGS
The captions and headings of the various Articles, Paragraphs, Sections, and
Exhibits of this Agreement are for convenience and identification only and shall not be
deemed to limit or define the content of the respective Articles, Paragraphs, Sections,
and Exhibits hereof.
25. AMENDMENTS
Any amendment, modification, or variation from the terms of this Agreement shall
be in writing and shall be effective only upon approval by both parties to this Agreement.
26. TIME OF COMPLETION
City and Contractor agree that time is of the essence in this Agreement. City and
Contractor further agree that Contractor's failure to perform on or at the times set forth
in this Agreement will damage and injure City, but the extent of such damage and injury
is difficult or speculative to ascertain. Consequently, City and Contractor agree that any
failure to perform by Contractor at or within the times set forth herein shall result in
liquidated damages as defined in this Agreement for each and every day such
performance is late. City and Contractor agree that such sum is reasonable and fair.
Furthermore, City and Contractor agree that this Agreement is subject to Government
Code Section 53069.85 and that each party hereto is familiar with and understands the
obligations of said Section of the Government Code.
27. PRECEDENCE
Contractor is bound by the contents of Exhibit A attached hereto and
incorporated herein by this reference as though set forth in full. In the event of conflict,
the requirements of this Agreement shall take precedence over those contained in
Exhibit A.
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28. INTERPRETATION OF AGREEMENT
Should interpretation of this Agreement, or any portion thereof, be necessary, it is
deemed that this Agreement was prepared by the parties jointly and equally, and shall
not be interpreted against either party on the ground that the party prepared the
Agreement or caused it to be prepared.
29. WAIVER
No waiver of any provision of this Agreement shall be deemed, or shall
constitute, a waiver of any other provision, whether or not similar, nor shall any such
waiver constitute a continuing or subsequent waiver of the same provision. No waiver
shall be binding unless executed in writing by the party making the waiver.
30. AUTHORITY TO EXECUTE
The person or persons executing this Agreement on behalf of the Contractor
warrants and represents that he/she has the authority to execute this Agreement on
behalf of the Contractor and has the authority to bind Contractor to the performance of
obligations hereunder.
IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be
executed the day and year first above written.
CITY OF MOORPARK METRO LANDSCAPE
By: By:
Steven Kueny, City Manager Ronald Reichl, Owner
Attest:
Maureen Benson, City Clerk
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EXHIBIT A
METRO LANDSCAPE SERVICES AND
COST RATES FOR THE CITY OF MOORPARK
Ronald Reichl, Owner.
California License Number: C-27#441073 & C-29
4212 E. Los Angeles Ave. Suite #4545,
Simi Valley, CA 93063
Telephone (805) 857-0616 FAX (805) 527-2322
LANDSCAPE AND HARDSCAPE SERVICES
Provide landscape maintenance services including; mowing, edging, pruning, pesticide
application, irrigation troubleshoot, debris removal, tree pruning.
Planting of 1 gallon to 60" box trees including staking and root barrier installation,
planting sod.
Hardscape installation including slump and block walls and repair, mow strips, concrete
pads, footings, flagstone, and cultured stone installation.
Drainage lines and renovation of systems.
Low voltage lighting installation and troubleshooting.
Soil conditioning, removal and addition, grading.
Slope installation and/or renovation including installation of jute netting.
PLANTING SERVICES
Unit pricing per container size per city specification plate not including 3:1 slope areas
or steeper, area free and clear of tree stumps, other natural obstacles and/or buried
concrete; high accessibility to site, free of buried utilities, includes common plants only.
1 gallon shrubs
$7.75 up to quantity of 25
$7.00 over quantity of 25
5 gallon shrubs
$29.75 up to quantity of 25
$28.00 over quantity of 25
15 gallon shrubs
$95.00 up to quantity of 5
$90.00 over quantity of 5
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15 gallon trees
$110.00 up to quantity of 5
$100.00 over quantity of 5
24" box trees
$315.00 up to quantity of 5
$295.00 over quantity of 5
IRRIGATION SERVICES
Irrigation installation, repair and retrofit of lateral and mainlines, valve, controllers and
controller security box replacement, pump motor replacement, and troubleshooting
services.
LABOR AND EQUIPMENT COST
Labor- $37.50 per supervised man per hour.
Small equipment; chain saws, concrete mixer, generators, etc. up to $55.00 per day.
Medium equipment; walk behind trenchers, compactors, Jackhammers, etc. up to
$100.00 per day.
Large equipment; Bobcat, back hoe up to $250.00 per day plus $70.00 per operator
man hour.
Traffic Control; traffic light arrow board up to $100.00 per pay full lane closure $350.00
per day.
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EXHIBIT B
INSURANCE REQUIREMENTS
Prior to the beginning of and throughout the duration of the Work, Contractor will
maintain insurance in conformance with the requirements set forth below. Contractor
will use existing coverage to comply with these requirements. If that existing coverage
does not meet the requirements set forth here, it will be amended to do so. Contractor
acknowledges that the insurance coverage and policy limits set forth in this section
constitute the minimum amount of coverage required. Any insurance proceeds available
to City in excess of the limits and coverage required in this Agreement and which is
applicable to a given loss, will be available to the City.
Contractor shall provide the following types and amounts of insurance:
1. Commercial General Liability
Commercial General Liability Insurance shall be provided by an Insurance
Services Office "Commercial General Liability" policy form CG 00 01 or the exact
equivalent. Defense costs must be paid in addition to limits. There shall be no cross
liability exclusion for claims or suits by one insured against another. Limits shall be no
less than one million dollars ($1,000,000) per occurrence for all covered losses and no
less than two million dollars ($2,000,000) general aggregate.
Contractor's policy shall contain no endorsements limiting coverage beyond the
basic policy coverage grant for any of the following:
a. Explosion, collapse or underground hazard (XCU)
b. Products and completed operations
c. Pollution liability
d. Contractual liability
Coverage shall be applicable to City for injury to employees of contractors,
subcontractors, or others involved in the project. Policy shall be endorsed to provide a
separate limit applicable to this project.
2. Workers' Compensation
Workers' Compensation insurance shall be provided on a state-approved policy
form providing statutory benefits as required by law with employers' liability limits no
less than one million dollars ($1,000,000) per accident for all covered losses.
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3. Business Auto Coverage r
Business Auto Coverage on ISO Business Auto Coverage form CA 00 01 06 92
including symbol 1 (Any Auto) or the exact equivalent shall be provided. Limits shall be
no less than one million dollars ($1,000,000) per accident, combined single limit. If
Contractor owns no vehicles, this requirement may be satisfied by a non-owned auto
endorsement to the general liability policy described above. If Contractor or Contractor's
employees will use personal autos in any way on this project, Contract shall provide
evidence of personal auto liability coverage for each such person.
4. Excess or Umbrella Liability
Excess or Umbrella Liability insurance (Over Primary) if used to meet limit
requirements, shall provide coverage at least as broad as specified for the underlying
coverages. Coverage shall be provided on a "pay on behalf' basis, with defense costs
payable in addition to policy limits. There shall be no cross liability exclusion precluding
coverage for claims or suits by one insured against another. Coverage shall be
applicable to City for injury to employees of contractor, subcontractors, or others
involved in the Work. The scope of coverage provided is subject to the approval of city
following receipt of proof of insurance as required herein. Limits are subject to review.
Insurance procured pursuant to these requirements shall be written by insurers
that are admitted carriers in the state of California and with A.M. Best rating of A- or
better and a minimum financial size of VII.
Contractor and City agrees as follows:
1. Contractor agrees to endorse the third party general liability coverage required
herein to include as additional insureds City, its officials, employees, agents,
using standard ISO endorsement No. CG 2010 with an edition date of 1985.
Contractor also agrees to require all contractors, subcontractors, and any one
else involved in any way with the project contemplated by this Agreement to do
likewise.
2. Any waiver of subrogation express or implied on the part of the City to any party
involved in this Agreement or related documents applies only to the extent of
insurance proceeds actually paid. City, having required that it be named as an
additional insured to all insurance coverage required herein, expressly retains the
right to subrogate against any party for sums not paid by insurance. For its part,
Contractor agrees to waive subrogation rights against City regardless of the
applicability of any insurance proceeds, and to require all contractors,
subcontractors, or others involved in any way with the project contemplated by
this Agreement to do likewise.
3. All insurance coverage maintained or procured by Contractor or required of
others by Contractor pursuant to this Agreement shall be endorsed to delete the
subrogation condition as to the city, or to specifically allow Contractor or others
providing insurance herein to waive subrogation prior to a loss. This
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endorsement shall be obtained regardless of existing policy wording that may -
appear to allow such waivers.
4. It is agreed by Contractor and City that insurance provided pursuant to these
requirements is not intended by any party to be limited to providing coverage for
the vicarious liability of City, or to the supervisory role, if any, of City. All
insurance coverage provided pursuant to this or any other Agreement (express
or implied) in any way relating to City is intended to apply to the full extent of the
policies involved. Nothing referred to here or contained in any agreement
involving City in relation to the project contemplated by this Agreement is
intended to be construed to limit the application of insurance coverage in any
way.
5. 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.
6. All coverage types and limits required are subject to approval, modification, and
additional requirements by the City, as the need arises. Contractor shall not
make any reductions in scope of coverage (e.g. elimination of contractual liability
or reduction of discover period) that may affect City's protection without City's
prior written consent.
7. Proof of compliance with these insurance requirements, consisting of binders of
coverage, or endorsements, or certificates of insurance, shall be delivered to City
at or prior to the execution of this Agreement. In the event such proof of
insurance is not delivered as required, or in the event such insurance is canceled
or reduced at any time and no replacement coverage is provided, City has the
right, but not the duty, to obtain any insurance it deems necessary to protect its
interests under this or any other Agreement and to pay the premium. Any
premium so paid by City shall be charged to and promptly paid by Contractor or
deducted from sums due Contractor, at City option.
8. Contractor agrees to endorse, and to required others to endorse, the insurance
provided pursuant to these requirements, to require 30 days notice to City and
the appropriate tender prior to cancellation or reduction of such liability coverage
and notice of any material alteration or non-renewal of any such coverage, and to
require contractors, subcontractors, and any other party in any way involved with
the project contemplated by this Agreement to do likewise.
9. It is acknowledged by the parties of this Agreement that all insurance coverage
required to be provided by Contractor or any subcontractor, and any other party
involved with the project who is brought onto or involved in the project by
Contractor, is intended to apply first and on a primary non-contributing basis in
relation to any other insurance or self insurance available to the City.
10. Contractor agrees to ensure that subcontractors, and any other party involved
with the project who is brought onto or involved in the project by Contractor,
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provide the same minimum insurance coverage required of Contractor.
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 Agreement. Contractor agrees that upon request, all
agreements with subcontractors and others engaged in this project will be
submitted to City for review.
11. Contractor agrees that all layers of third party liability coverage required herein,
primary, umbrella and excess, will have the same starting and expiration date.
Contractor agrees further that all other third party coverages required herein will
likewise have concurrent starting and ending dates.
12. Contractor agrees not to self-insure or to use any self-insured retentions or
deductibles on any portion of the insurance required herein and further agrees
that it will not allow any contractor, subcontractor, architect, engineer, or other
entity or person in any way involved in the performance of Work on the project
contemplated by this Agreement to self-insure its obligations to City. If
Contractor's existing coverage includes a deductible or self-insured retention, the
deductible or self-insured retention must be declared to the City. At that time the
City shall review options with the Contractor, which may include reduction or
elimination of the deductible or self-insured retention, substitution of other
coverage, or other solutions.
13. The City reserves the right at any time during the term of this Agreement to
change the amounts and types of insurance required by giving the Contractor 90
days advance written notice of such change. If such change results in substantial
additional cost to the Contractor, the City will negotiate additional compensation
proportional to the increased benefit to City.
14. For purposes of applying insurance coverage only, all contracts pertaining to the
project will be deemed to be executed when finalized and any activity
commences in furtherance of performance under this Agreement.
15. Contractor acknowledges and agrees that any actual or alleged failure on the
part of City to inform Contractor of non-compliance with any insurance
requirement in no way imposes any additional obligations on City nor does it
waive any rights hereunder in this or any other regard.
16. Contractor will renew the required coverage annually as long as City, or its
employees or agents face an exposure from operations of any type pursuance to
this Agreement. This obligation applies whether or not the Agreement is canceled
or terminated for any reason. The insurance shall include but not be limited to
products and completed operations and discontinued operations, where
applicable. Termination of this obligation is not effective until City executes a
written statement to that effect.
17. Contractor agrees to waive its statutory immunity under any workers'
compensation statute or similar statute, in relation to the City, and to require all
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subcontractors and any other person or entity involved in the project
contemplated by this Agreement to do likewise.
18. Requirements of specific coverage features are not intended as limitations on
other requirements or as a waiver of any coverage normally provided by any
given policy. 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.
19. Any provision in any of the construction documents dealing with the insurance
coverage provided pursuant to these requirements, is subordinate to and
superseded by the requirements contained herein. These insurance
requirements are intended to be separate and distinct from any other provision in
this Agreement and are intended by the parties to be interpreted as such.
20. All liability coverage provided according to these requirements must be endorsed
to provide a separate aggregate limit for the project that is the subject of this
Agreement and evidencing products and completed operations coverage for not
less than two years after issuance of a final certificate of occupancy by all
appropriate government agencies or acceptance of the completed work by City.
21. Contractor agrees to be responsible for ensuring that no contract used by any
party involved in any way with the project reserves the right to change City or
Contractor for the cost of additional insurance coverage required by this
Agreement. Any such provisions are to be deleted with reference to City. It is not
the intent of City to reimburse any third party for the cost of complying with these
requirements. There shall be no recourse against City for payment of premiums
or other amounts with respect thereto.
22. Contractor agrees to obtain and provide to City a copy of Professional Liability
coverage for Architects or Engineers on this project through Contractor. City shall
determine the liability limit.
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