HomeMy WebLinkAboutAGENDA REPORT 2010 1020 CC REG ITEM 10JITEM 10.J.
Clty Council Meetinc
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ACTION:
MOORPARK CITY COUNCIL
AGENDA REPORT
TO: Honorable City Council
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FROM: Teri Davis, Senior Management Analyst.
DATE: October 15, 2010 (CC Meeting of 10/20/10)
SUBJECT: Consider Redirecting City Clerk to Release Surety Bond for Malibu
Pacific Tennis Courts, Inc. for Veterans Memorial Project Upon Receipt
of Replacement Defective Materials and Workmanship Bond for
Reconstruction Work of Victory Column
BACKGROUND AND DISCUSSION
The Veterans Memorial (Memorial) is located at 608 Spring Road. In May 2009, City
Council authorized the City Clerk to file the Notice of Completion for the Memorial project.
At the same time City Council authorized the City Clerk to release the performance bond
one (1) year after the Recordation of the Notice of Completion in accordance with the
contract, and completion of contractual obligations on the part of the Contractor. The
Notice of Completion was recorded on June 3, 2009. The City Clerk was notified, prior to
releasing the bond, that Malibu has ongoing contractual obligations; therefore, the bond is
not yet released.
The surety bond was used as a mechanism to guarantee for one year after the
Recordation of the Notice of Completion the construction of the Memorial project. The
project has been completed and is acceptable to the City with one exception. The granite
sidings of the Victory Column at the Memorial failed and collapsed in April 2010 which is
within the warranty period. The collapse is attributed to faulty workmanship and Malibu
Pacific Tennis Courts, Inc. (Malibu), the project contractor, accepts responsibility and is
cooperating with the City to remedy the collapse. Reconstruction of the Victory Column is
estimated to cost less than $10,000.
The City is entitled to a one year warranty for the reconstruction work; however, holding the
original bond for an additional year as a warranty for a portion of reconstruction is not
standard practice. A replacement bond for defective materials and workmanship in the
amount of $10,000 will be issued as a mechanism to guarantee the reattachment of the
granite sidings to the Victory Column. The following are the applicable bonds:
79
Honorable City Council
October 20, 2010 Regular Meeting
Page 2
FISCAL IMPACT
None.
STAFF RECOMMENDATION
Authorize the City Clerk to fully release the Faithful Performance and Material Suppliers
and Laborers Bond No. 4371655 upon receipt of the replacement bond for $10,000 for
defective materials and workmanship.
L-OR
ORIGINAL
AUTHORIZED
BOND
SURETY
BOND
PRIOR AUTHORIZED
ACTION OF
ACTION ON 5/20/09
10/20/10
TYPE
NUMBER
AMOUNT
Release one year after
Release upon
Faithful
Recordation of Notice of
receipt of
Performance
Completion in accordance
replacement
and Material
4371655
$398,424
with the contract, and
defective
Labor &
completion of contractual
materials and
Supply
obligations on the part of
workmanship
the Contractor
bond for $10,000
FISCAL IMPACT
None.
STAFF RECOMMENDATION
Authorize the City Clerk to fully release the Faithful Performance and Material Suppliers
and Laborers Bond No. 4371655 upon receipt of the replacement bond for $10,000 for
defective materials and workmanship.
L-OR