22-156 Makai Solutions for Facilities and Vehicle MaintenanceFacilities and Vehicle Maintenance
On-Call Public Works Contract/ July 2022
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ON-CALL PUBLIC WORKS CONTRACT
WITH MAKAI SOLUTIONS
1. PARTIES
This On-Call Public Works Contract (“Contract”) is made by and between the City of Cupertino, a
municipal corporation (“City”), and Makai Solutions (“Contractor”) a Corporation for Facilities and
Vehicle Maintenance, and is effective on the last date signed below (“Effective Date”).
2. SCOPE OF WORK
2.1 Scope of Work. Contractor will perform and provide all labor, materials, equipment,
supplies, transportation and any other items or work necessary to perform and complete the work
described in the Scope of Work (“Work”), attached and incorporated here as Exhibit A, on an as-
needed basis. The Work must comply with this Contract and with each Service Order issued by the
City’s Project Manager or his/her designee, in accordance with the following procedures, unless
otherwise specified in Exhibit A. Contractor further agrees to carry out its work in compliance with
any applicable local, State, or Federal order regarding COVID-19.
2.2 Service Orders. Before issuing a Service Order, the City Project Manager will request that
Work be done in writing and hold a meeting with Contractor to discuss the Service Order. Contractor
will submit a written proposal that includes a specific Scope of Work, Schedule of Performance,
and Compensation, which the Parties will discuss. Thereafter, City will execute a Service Order
Form for the Work, attached and incorporated here as Exhibit B. The Service Order will specify
the Scope of Work, Schedule of Performance, Compensation, and any other conditions applicable
to the Service Order. Issuance of a Purchase Order is discretionary. The City Project Manager is
authorized to streamline these procedures based on the City’s best interests. In particular, in
emergency situations, the City Project Manager may execute a Service Order for emergency work
based on oral conversations with the Contractor, without adhering to the full process outlined in this
section. Contractor will not be compensated for Work performed without a duly authorized and
executed Service Order.
3. TIME OF PERFORMANCE
3.1 Term. This Contract begins on the Effective Date and ends on December 31, 2025
(“Contract Time”), unless terminated earlier as provided herein. The City’s appropriate department
head or City Manager may extend the Contract Time through a written amendment to this Contract,
provided such extension does not include additional contract funds. Extensions requiring additional
contract funds are subject to the City’s purchasing policy.
3.2 Schedule of Performance. Contractor must complete the Work within the time specified in
each Service Order, and under no circumstances should the Work go beyond the Contract Time.
3.3 Time is of the essence for the performance of all the Work required in this Contract and in
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each Service Order. Contractor must have sufficient time, resources, and qualified staff to deliver
the Work on time. Contractor must respond promptly to each Service Order request.
4. COMPENSATION
4.1 Maximum Compensation. City will pay Contractor for satisfactory performance of the
Work based upon actual costs and capped so as not to exceed $150,000.00 (“Contract Price”), based
upon the Scope of Work in Exhibit A and the budget and rates included. The maximum
compensation includes all expenses and reimbursements and will remain in place even if
Contractor’s actual costs exceed the capped amount.
4.2 Per Service Order. Compensation for Work provided under a Service Order will be based
on the rates set forth in the Service Order, which shall not exceed the capped amount specified in
the Service Order.
4.3 Invoices and Payments. Contractor must submit an invoice on the first day of each month,
describing the Work performed during the preceding month, itemizing labor, materials, equipment,
and any incidental costs incurred. Contractor will be paid ninety-five percent (95%) of the
undisputed amounts billed within thirty (30) days after City receives a properly submitted invoice.
Any retained amounts will be included with Contractor’s final payment within sixty (60) days of
City’s acceptance of the Work pursuant to a specific Service Order as complete.
5. INDEPENDENT CONTRACTOR
5.1 Status. Contractor is an independent contractor and not an employee, partner, or joint
venture of City. Contractor is solely responsible for the means and methods of performing the Work
and for the persons hired to work under this Contract. Contractor is not entitled to health benefits,
worker’s compensation, or other benefits from the City.
5.2 Contractor’s Qualifications. Contractor warrants on behalf of itself and its subcontractors
that they have the qualifications and skills to perform the Work in a competent and professional
manner and according to the highest standards and best practices in the industry.
5.3 Permits and Licenses. Contractor warrants on behalf of itself and its subcontractors that
they are properly licensed, registered, and/or certified to perform the Work as required by law and
have procured a City Business License, if required by the Cupertino Municipal Code. Contractor
shall possess a California Contractor’s License in good standing for the following classification(s):
A, B, C10, C-61/D04, C-61/D21, C-61/D24, C-61/D40, which must remain valid for the entire
Contract Time.
5.4 Subcontractors. Only Contractor’s employees are authorized to work under this Contract.
Prior written approval from City is required for any subcontractor, and the terms and conditions of
this Contract will apply to any approved subcontractor.
5.5 Tools, Materials, and Equipment. Contractor will supply all tools, materials, and
equipment required to perform the Work under this Contract.
5.6 Payment of Benefits and Taxes. Contractor is solely responsible for the payment of
employment taxes incurred under this Contract and any similar federal or state taxes. Contractor
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and any of its employees, agents, and subcontractors shall not have any claim under this Contract
or otherwise against City for seniority, vacation time, vacation pay, sick leave, personal time off,
overtime, health insurance, medical care, hospital care, insurance benefits, social security, disability,
unemployment, workers compensation or employee benefits of any kind. Contractor shall be solely
liable for and obligated to pay directly all applicable taxes, fees, contributions, or charges applicable
to Contractor’s business including, but not limited to, federal and state income taxes. City shall have
no obligation whatsoever to pay or withhold any taxes or benefits on behalf of Contractor. Should
any court, arbitrator, or administrative authority, including but not limited to the California Public
Employees Retirement System (PERS), the Internal Revenue Service or the State Employment
Development Division, determine that Contractor, or any of its employees, agents, or
subcontractors, is an employee for any purpose, then Contractor agrees to a reduction in amounts
payable under this Contract, or to promptly remit to City any payments due by the City as a result
of such determination, so that the City’s total expenses under this Contract are not greater than they
would have been had the determination not been made.
6. CHANGE ORDERS
Amendments and change orders must be in writing and signed by City and Contractor. Contractor’s
request for a change order must specify the proposed changes in the Work, Contract Price, and
Contract Time. Each request must include all the supporting documentation, including but not
limited to plans/drawings, detailed cost estimates, and impacts on schedule and completion date.
7. ASSIGNMENTS; SUCCESSORS
Contractor shall not assign, hypothecate, or transfer this Contract or any interest therein, directly or
indirectly, by operation of law or otherwise, without prior written consent of City. Any attempt to
do so will be null and void. Any changes related to the financial control or business nature of
Contractor as a legal entity is considered an assignment of the Contract and subject to City approval,
which shall not be unreasonably withheld. Control means fifty percent (50%) or more of the voting
power of the business entity. This Contract is binding on Contractor, its heirs, successors, and
permitted assigns.
8. PUBLICITY / SIGNS
Any publicity generated by Contractor for the Project during the Contract Time, and for one (1) year
thereafter must credit City contributions to the Project. The words “City of Cupertino” must be
displayed in all pieces of publicity, flyers, press releases, posters, brochures, interviews, public
service announcements, and newspaper articles. No signs may be posted or displayed on or about
City property, except signage required by law or this Contract, without prior written approval from
the City.
9. SUBCONTRACTORS
9.1 Contractor must perform all the Work with its own forces, except that Contractor may hire
qualified subcontractors to perform up to 25% of the Work under any give Service Order, provided
that each subcontractor is required by contract to be bound by the provisions of this Contract and
any applicable Service Order. Contractor must provide City with written proof of compliance with
this provision upon request.
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9.2 City may reject any subcontractor of any tier and bar a subcontractor from performing Work
on the Project, if City in its sole discretion determines that subcontractor’s Work falls short of the
requirements of this Contract or constitutes grounds for rejection under the Public Contract Code.
If City rejects a subcontractor, Contractor at its own expense must perform the subcontractor’s Work
or hire a new subcontractor that is acceptable to City. A Notice of Completion must be recorded
within fifteen (15) days after City accepts the Work under a particular Service Order if the Work
involves work by subcontractors.
10. RECORDS AND DAILY REPORTS
10.1 Contractor must maintain daily reports of the Work and submit them to City upon request
and at completion of Work pursuant to a Service Order. The reports must describe the Work and
specific tasks performed, the number of workers, the hours, the equipment, the weather conditions,
and any circumstances affecting performance. City will have ownership of the reports, but
Contractor will be permitted to retain copies.
10.2 If applicable, Contractor must keep a separate set of as-built drawings showing changes and
updates to the Scope of Work or the original drawings as changes occur. Actual locations to scale
must be identified for all major components of the Work, including mechanical, electrical and
plumbing work; HVAC systems; utilities and utility connections; and any other components City
determines should be included in the final drawings of the Project. Deviations from the original
drawings must be shown in detail, and the location of all main runs, piping, conduit, ductwork, and
drain lines must be shown by dimension and elevation.
10.3 Contractor must maintain complete and accurate accounting records of its Work, in
accordance with generally accepted accounting principles, which must be available for City review
and audit, kept separate from other records, and maintained for four (4) years from the date of City’s
final payment.
11. INDEMNIFICATION
11.1 To the fullest extent allowed by law, and except for losses caused by the sole and active
negligence or willful misconduct of City personnel, Contractor shall indemnify, defend, and hold
harmless City, its City Council, boards and commissions, officers, officials, employees, agents,
servants, volunteers, and Contractors (“Indemnitees”), through legal counsel acceptable to City,
from and against any and all liability, damages, claims, actions, causes of action, demands, charges,
losses, costs, and expenses (including attorney fees, legal costs, and expenses related to litigation
and dispute resolution proceedings), of every nature, arising directly or indirectly from this Contract
or in any manner relating to any of the following:
(a) Breach of contract, obligations, representations or warranties;
(b) Performance or nonperformance of the Work or of any obligations under the Contract by
Contractor, its employees, agents, servants, or subcontractors;
(c) Payment or nonpayment by Contractor or its subcontractors or sub-subcontractors for Work
performed on or off the Project Site; and
(d) Personal injury, property damage, or economic loss resulting from the work or performance
of Contractor or its subcontractors or sub-subcontractors.
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11.2 Contractor must pay the costs City incurs in enforcing this provision. Contractor must accept
a tender of defense upon receiving notice from City of a third-party claim, in accordance with
California Public Contract Code Section 9201. At City’s request, Contractor will assist City in the
defense of a claim, dispute, or lawsuit arising out of this Contract.
11.3 Contractor’s duties under this entire Section 11 are not limited to Contract Price, Workers’
Compensation, or other employee benefits, or the insurance and bond coverage required in this
Contract. Nothing in the Contract shall be construed to give rise to any implied right of indemnity
in favor of Contractor against City or any other Indemnitee.
11.4 Contractor’s payments may be deducted or offset to cover any money the City lost due to a
claim or counterclaim arising out of this Contract, a purchase order or other transaction.
11.5 Contractor agrees to obtain executed indemnity agreements with provisions identical to
those set forth here in this Section 11 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 Contract. 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.
11.6 This Section 11 shall survive termination of the Contract.
12. INSURANCE
Contractor shall comply with the Insurance Requirements, attached and incorporated here as
Exhibit C, and must maintain the insurance for the Contract Time, or longer as required by City.
City will not execute the Contract until City approves receipt of satisfactory certificates of insurance
and endorsements evidencing the type, amount, class of operations covered, and the effective and
expiration dates of coverage. Failure to comply with this provision may result in City, at it s sole
discretion and without notice, purchasing insurance for Contractor and deducting the costs from
Contractor’s compensation or terminating the Contract.
13. COMPLIANCE WITH LAWS
13.1 General Laws. Contractor shall comply with all local, state, and federal laws and
regulations applicable to this Contract. Contractor will promptly notify City of changes in the law
or other conditions that may affect the Project or Contractor’s ability to perform. Contractor is
responsible for verifying the employment authorization of employees performing the Work, as
required by the Immigration Reform and Control Act.
13.2 Labor Laws.
a. The following provisions apply to any Service Order of $1,000 or more:
i. In General. For purposes of California labor law, this is a public works contract
subject to the provisions of Part 7 of Division 2 of the California Labor Code (Sections
1720 et seq.). In accordance with Labor Code Section 1771, Contractor and all
subcontractors shall pay not less than current prevailing wage rates as determined by the
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California Department of Industrial Relations (“DIR”) to all workers employed on this
project. In accordance with Labor Code Section 1815, Contractor and all subcontractors
shall pay all workers employed on this project 1 ½ the basic rate of pay for work
performed in excess specified hour limitations. The work performed pursuant to this
Contract is subject to compliance monitoring and enforcement by the Department of
Industrial Relations.
ii. Registration. Contractor and all subcontractors shall not engage in the
performance of any work under this Contract unless currently registered and qualified to
perform public work pursuant to section 1725.5 of the California Labor Code. Contractor
represents and warrants that it is registered and qualified to perform public work pursuant
to section 1725.5 of the Labor Code and will provide its DIR registration number, along
with the registration numbers of any subcontractors as required, to the City.
iii. Posting. Contractor shall post at the job site the determination of the DIR
director of the prevailing rate of per diem wages together with all job notices that are
required by regulations of the DIR.
iv. Reporting. Contractor and any subcontractors shall keep accurate payroll
records in accordance with Section 1776 of the Labor Code and shall furnish the payroll
records directly to the Labor Commissioner in accordance with the law.
v. Report on Prevailing Rate of Wages. The City has obtained the general
prevailing rate of per diem wages in the vicinity of the project for each type of worker
needed, a copy of which is on file at the City of Cupertino City Hall, and shall be made
available to any interested party upon request.
vi. Employment of Apprentices. Contractor’s attention is directed to the
provisions in Sections 1777.5 and 1777.6 of the Labor Code concerning the employment
of apprentices by the Contractor or any subcontractor. It shall be the responsibility of the
Contractor to effectuate compliance on the part of itself and any subcontractors with the
requirements of said sections in the employment of apprentices. Information relative to
apprenticeship standards, wage schedules, and other requirements may be obtained from
the Director of Industrial Relations, ex-officio the Administrator of Apprenticeship, San
Francisco, California, or from the Division of Apprenticeship Standards and its branch
offices.
vii. Penalties. Contractor’s attention is directed to provisions in Labor Code
Sections 1775 and 1813. In accordance with Labor Code Section 1775, Contractor and
subcontractors may be subject to penalties for Contractor’s and subcontractors’ failure
to pay prevailing wage rates. In accordance with Labor Code Section 1813, Contractor
or subcontractors may be subject to penalties for Contractor’s or subcontractors’ failure
to pay overtime pay rates for hours worked by workers employed on this project in excess
specified hour limitations.
b. Contractor must compensate workers who are paid less than prevailing wages or
required to work more than a legal day’s work. Contractor will also be required to pay City a
penalty of $200.00 per worker for each day of violation.
c. As required by Labor Code Section 1861, by signing this Contract Contractor certifies
as follows: “I am aware of the provisions of Section 3700 of the Labor Code which require
every employer to be insured against liability for workers’ compensation or to undertake self -
insurance in accordance with the provisions of that code, and I will comply with such provisions
before commencing the work of this contract.”
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13.3 Discrimination Laws. Contractor shall not discriminate on the basis of race, religious creed,
color, ancestry, national origin, ethnicity, handicap, disability, marital status, pregnancy, age, sex,
gender, sexual orientation, gender identity, Acquired-Immune Deficiency Syndrome (AIDS), or any
other protected classification. Contractor shall comply with all anti -discrimination laws, including
Government Code Sections 12900 and 11135, and Labor Code Sections 1735, 1777, and 3077.5.
Consistent with City policy prohibiting harassment and discrimination, Contractor understands that
harassment and discrimination directed toward a job applicant, an employee, a City employee, or
any other person, by Contractor or Contractor’s employees or subcontractors will not be tolerated.
Contractor agrees to provide records and documentation to the City on request necessary to monitor
compliance with this provision.
13.4 Conflicts of Interest. Contractor, its employees, subcontractors, servants, and agents, may
not have, maintain, or acquire a conflict of interest in relation to this Contract in violation of law,
including Government Code section 1090 and Government Code section 81000 and their
accompanying regulations. No officer, official, employee, consultant, or other agent of the City
(“City Representative”) may have, maintain, or acquire a “financial interest” in the Contract, as that
term is defined by state law, or in violation of a City ordinance or policy while serving as a C ity
Representative or for one year thereafter. Contractor, its employees, subcontractors, servants, and
agents warrant they are not employees of City nor do they have any relationship with City officials,
officers, or employees that creates a conflict of interest. Contractor may be required to file a conflict
of interest form if it makes certain governmental decisions or serves in a staff capacity, as defined
in Section 18700 of Title 2 of the California Code of Regulations. Contractor agrees to abide by
City rules governing gifts to public officials and employees.
13.5 Remedies. Any violation of this Section 13 constitutes a material breach and may result in
City suspending payments, requiring reimbursements, or terminating this Contract. City reserves all
other rights and remedies available under the law and this Contract, including the right to seek
indemnification under Section 11 of this Contract.
14. BONDS
For any Service Order of $25,000 or more, Contractor must obtain a payment bond and a
performance bond, each in the penal sum of 100% of the compensation pursuant to the Service
Order, using the Bond Forms attached and incorporated here as Exhibit D. Each bond must be
issued by a surety admitted in California, with a financial rating from A.M. Best Company of Class
A- or higher, or as otherwise acceptable to City. If an issuing surety cancels a bond or becomes
insolvent, Contractor must provide a substitute bond from a surety acceptable to City within seven
(7) calendar days after written notice from City. If Contractor fails to do so, City may in its sole
discretion and without prior notice, purchase bonds at Contractor’s expense, deduct the cost from
payments due Contractor, or terminate the Service Order or Contract. City will not authorize work
under a Service Order until the required bonds are submitted.
15. UTILITIES, TRENCHING, AND EXCAVATION
15.1 Contractor must call the Underground Service Alert (“USA”) 811 hotline and request
marking of utility locations before digging or commencing Work. For underground service alerts
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for street lighting and traffic signal conduits, City’s Service Center must be called at (408) 777-
3269. Government Code Section 4215 requires Contractor to notify City and Utility in writing if it
discovers utilities or utility facilities not identified in the Contract.
15.2 Pursuant to Government Code Section 7104, Contractor must stop work, notify City in
writing, and wait for instructions if one of the conditions below is found at the worksite. City will
work with Contractor to amend the Contract or issue a change order if the discovered conditions
materially change the Work/Performance, Contract Time or Contract Price.
(a) Material believed to be hazardous waste under Health and Safety Code Section 25117, and
which requires removal to a Class I, Class II, or Class III disposal site pursuant to law;
(b) Subsurface or latent physical conditions at the Project worksite differing from those
indicated by information about the worksite made available to Contractor; and
(c) Unknown physical conditions at the Project worksite of any unusual nature, materially
different from those ordinarily encountered and from those generally recognized as inherent
in the character of the Work.
15.3 For Service Orders where compensation is $25,000 or higher that require excavation or
involve trenches five feet or more in depth, Contractor must submit a detailed plan for City approval,
per Labor Code Section 6705, prior to commencing work. The plan must show the design of shoring,
bracing, sloping, and other provisions for worker protection from caving ground and other hazards.
The protective system must comply with all Construction Safety Orders. If the plan varies from
shoring system standards, it must be prepared by a registered civil or structural engineer.
16. URBAN RUNOFF MANAGEMENT
16.1 All Work must fully comply with federal, state, and local laws and regulations concerning
storm water management. Contractor must avoid creating excess dust when breaking asphalt or
concrete and during excavation and grading. If water is used for dust control, Contractor will use
only the amount of water necessary to dampen the dust. Contractor will take all steps necessary to
keep wash water out of the streets, gutters, and storm drains. Prior to the start of the Work,
Contractor will implement erosion and sediment controls to prevent pollution of storm drains, and
must upgrade and maintain these controls based on weather conditions or as otherwise required by
City. These controls must be in place during the entire Contract Time and must be removed at the
end of construction and completion of the Work. Such controls must include, but will not be limited
to, the following requirements:
(a) Install storm drain inlet protection devices such as sand bag barriers, filter fabric fences, and
block and gravel filters at all drain inlets impacted by construction. During the annual rainy
season, October 15 through June 15, storm drain inlets impacted by construction work must be
filter-protected from onsite de-watering activities and saw-cutting activities. Shovel or vacuum
saw-cut slurry and remove from the Work site;
(b) Cover exposed piles of soil or construction material with plastic sheeting. Store all construction
materials in containers;
(c) Sweep and remove all materials from paved surfaces that drain to streets, gutters and storm
drains prior to rain and at the end of each work day. When the Work is completed, wash the
streets, collect and dispose of the wash water offsite in lawful manner;
(d) After breaking old pavement, remove debris to avoid contact with rainfall/runoff;
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(e) Maintain a clean work area by removing trash, litter, and debris at the end of each work day
and when Work is completed. Clean up any leaks, drips, and other spills as they occur.
These requirements must be used in conjunction with the California Stormwater Quality Association
and California Best Management Practices Municipal and Construction Handbooks, local program
guidance materials from municipalities, and any other applicable documents on stormwater quality
controls for construction. Contractor’s failure to comply with this Section will result in the issuance
of noncompliance notices, citations, Work stop orders and regulatory fines.
17. PROJECT COORDINATION
City Project Manager. The City assigns Nathan Vasquez as the City’s representative for all
purposes under this Contract, with authority to oversee the progress and performance of the Sc ope
of Work. City reserves the right to substitute another Project manager at any time, and without prior
notice to Contractor.
Contractor Project Manager. Subject to City approval, Contractor assigns Tina Romo as its single
Representative for all purposes under this Contract, with authority to oversee the progress and
performance of the Work. Contractor’s Project manager is responsible for coordinating and
scheduling the Work in accordance with City instructions, service orders, and the Schedule of
Performance. Contractor must regularly update the City’s project manager about the status, progress
and any delays with the work. City’s written approval is required prior to Contractor substituting a
new Representative which shall result in no additional costs to City.
18. ABANDONMENT AND TERMINATION
18.1 City may abandon or postpone the Work or parts thereof at any time. Contractor will be
compensated for satisfactory Work performed through the date of abandonment and will be given
reasonable time to close out Work under a Service Order. With City’s pre-approval in writing, the
time spent in closing out Work under a Service Order will be compensated up to ten percent (10%)
of the total time expended in performing the Work.
18.2 City may terminate the Contract for cause o r without cause at any time. Contractor will be
paid for satisfactory Work rendered through the termination date and will be given reasonable time
to close out the Work.
18.3 Final payment will not be made until Contractor delivers the Work and provides records
documenting the Work, products, and deliverables completed.
19. GOVERNING LAW, VENUE, AND DISPUTE RESOLUTION
This Contract is governed by the laws of State of California. Venue for any legal action shall be the
Superior Court of the County of Santa Clara, California. The dispute resolution procedures of Public
Contract Code Section 20104, et seq., incorporated here by reference, apply to this Contract and
Contractor is required to continue the Work pending resolution of any dispute. Prior to filing a
lawsuit, Contractor must comply with the claim filing requirements of the California Government
Code. If the Parties elect arbitration, the arbitrator’s award must be supported by law and substantial
evidence and include detailed written findings of law and fact.
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20. ATTORNEY FEES
If City initiates legal action, files a complaint or cross-complaint, or pursues arbitration, appeal, or
other proceedings to enforce its rights or a judgment in connection with this Contract, the prevailing
party will be entitled to reasonable attorney fees and costs.
21. SIGNS/ADVERTISEMENTS
No signs may be displayed on or about City’s property, except signage which is required by law or
by the Contract, without City’s prior written approval as to size, design and location.
22. THIRD PARTY BENEFICIARIES
There are no intended third party beneficiaries of this Contract.
23. WAIVER
Neither acceptance of the Work nor payment thereof shall constitute a waiver of any contract
provision. City’s waiver of a breach shall not constitute waiver of anoth er provision or breach.
24. WARRANTY
Contractor warrants that materials and equipment used will be new, of good quality, and free from
defective workmanship and materials, and that the Work will be free from material defects not
intrinsic in the design or materials. All Work, materials, and equipment should pass to City free of
claims, liens, or encumbrances. Contractor warrants the Work and materials for one year from the
date of City’s acceptance of the Work as complete (“Warranty Period”), except when a lo nger
guarantee is provided by a supplier, manufacturer or is required by this Contract. During the
Warranty Period, Contractor will repair or replace any Work defects or materials, including damage
that arises from Contractor’s Warranty Work, except any we ar and tear or damage resulting from
improper use or maintenance.
25. ENTIRE AGREEMENT
This Contract and the attachments, documents, and statutes attached, referenced, or expressly
incorporated herein, including authorized amendments or change orders constitute the final and
complete contract between City and Contractor with respect to the Work and the Project. No oral
contract or implied covenant will be enforceable against City. If there is any inconsistency between
any term, clause, or provision of the main Contract and any term, clause, or provision of the
attachments or exhibits thereto, the terms of the main Contract shall prevail and be controlling.
26. SEVERABILITY/PARTIAL INVALIDITY
If a court finds any term or provision of this Contract to be illegal, invalid, or unenforceable, the
legal portion of said provision and all other contract provisions will remain in full force and effect.
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27. SURVIVAL
The contract provisions which by their nature should survive the Contract or Completion of Project,
including without limitation all provisions regarding warranties, indemnities, payment obligations,
insurance, and bonds, shall remain in full force and effect after the Work is completed or Contract
ends.
28. INSERTED PROVISIONS
Each provision and clause required by law for this Contract is deemed to be included and will be
inferred herein. Either party may request an amendment to cure mistaken insertions or omissions of
required provisions. The Parties will collaborate to implement this Section, as appropriate.
29. HEADINGS
The headings in this Contract are for convenience only, are not a part of the Contract and in no
way affect, limit, or amplify the terms or provisions of this Contract.
30. COUNTERPARTS
This Contract may be executed in counterparts, each of which is an original and all of which taken
together shall form one single document.
31. NOTICES
All notices, requests and approvals must be sent in writing to the persons below, which will be
considered effective on the date of personal delivery or the date confirmed by a reputable overnight
delivery service, on the fifth (5th) calendar day after deposit in the United States Mail, postage
prepaid, registered or certified, or the next business day following electronic submission:
To City of Cupertino
Office of the City Manager
10300 Torre Ave.
Cupertino, CA 95014
Attention: Nathan Vasquez
Email: NathanV@cupertino.org
To Contractor:
Makai Solutions
1774 Sabre St.
Hayward CA 94545
Attention: Tina Romo
Email: tina@makaisolutions.com
32. EXECUTION
The persons signing below warrant they have the authority to enter into this Contract and to legally
bind their respective Parties. If Contractor is a corporation, signatures from two officers of the
corporation are required pursuant to California Corporations Code Section 313. This Contract may
be executed in counterparts, each one of which is deemed an original and all of which, taken
together, constitute a single binding instrument.
SIGNATURES CONTINUE ON THE FOLLOWING PAGE
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IN WITNESS WHEREOF, the parties have caused the Contract to be executed.
CITY OF CUPERTINO
A Municipal Corporation
By
Name
Title
Date
MAKAI SOLUTIONS
By
Name
Title
Date
APPROVED AS TO FORM:
CHRISTOPHER D. JENSEN
Cupertino City Attorney
ATTEST:
KIRSTEN SQUARCIA
City Clerk
Date
Daniel Peterson
Daniel Peterson
Vice President
Nov 7, 2022
Christopher D. Jensen
Matt Morley
Director of Public Works
Nov 8, 2022
Nov 8, 2022
Exhibit A
CITY OF CUPERTINO
MASTER AGREEMENT CONSULTANT SERVICES
SERVICE ORDER NO.
MA Date:Master Agreement Contract #:
Maximum Compensation:
Consultant:Firm Name:
Address:
Contact: Ph:
Project Name:
Description: (simple project description if appropriate)
Attachment A: Includes Description of Project, Scope of Service, Schedule of Performance
and Compensation
City Project Management
Managing Department: Public Works Project Manager:
Fiscal/Budget :
SO Acc't #:PO #:
Project #:Date:
Approvals Signatures:
Date:
Date:
Appropriation Certification: I hereby certify that an unexpended appropriation is available in the above
fund for the above contract as estimated and that fund are available as of this date of signature
City Finance:Date:
Encumbrance this Service Order:
MA End Date:
Consultant/
Contractor
Manager/
Supervisor:
Management Analyst
Master Agreement Maximum Compensation:
Master Agreement Unencumbered Balance:
Total Previously Encumbered to Date:
City of Cupertino Master Agreement Service Order 191002
Exhibit B
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Insurance Requirements for On-Call Public Works Construction Contracts Version: Jan. 2021 1
Contractor shall procure and maintain for the duration of the contract, and for five years following the completion of
the Project, insurance against claims for injuries to persons or damages to property which may arise from or in
connection with the performance of the work hereunder by Contractor, its agents, representatives, employees or
subcontractors.
MINIMUM SCOPE AND LIMIT OF INSURANCE
Coverage shall be at least as broad as:
1. Commercial General Liability (“CGL”): Insurance Services Office (ISO) Form CG 00 01 covering CGL on an
“occurrence” basis, written on a comprehensive general liability form, and must include coverage for liability
arising from Contractor’s or Subcontractor’s acts or omissions, including Contractor’s protected coverage,
blanket contractual, products and completed operations, vehicle coverage and employer’s non-ownership liability
coverage, with limits of at least $2,000,000 per occurrence. The CGL policy must protect against any and all
liability for personal injury, death, property damage or destruction, and personal and advertising injury. If a general
aggregate limit applies, either the general aggregate limit shall apply separately to this project/location (ISO CG
25 03 or 25 04) or the general aggregate limit shall be twice the required occurrence limit.
a. It shall be a requirement under this agreement that any available insurance proceeds broader than or in excess
of the specified minimum insurance coverage requirements and/or limits shall be made available to the
Additional Insured and shall be (1) the minimum coverage/limits specified in this agreement; or (2) the broader
coverage and maximum limits of coverage of any insurance policy, whichever is greater.
b. Additional Insured coverage under Contractor's policy shall be "primary and non-contributory," will not seek
contribution from City’s insurance/self-insurance, and shall be at least as broad as ISO CG 20 10 04 13
c. The limits of insurance required may be satisfied by a combination of primary and umbrella or excess
insurance, provided each policy complies with the requirements set forth in this Contract. Any umbrella or
excess insurance shall contain or be endorsed to contain a provision that such coverage shall also apply on a
primary basis for the benefit of City before the City’s own insurance or self-insurance shall be called upon to
protect City as a named insured.
2. Automobile Liability: ISO Form CA 00 01 covering any auto (Code 1), or if Contractor has no owned autos, then
hired autos (Code 8) and non-owned autos (Code 9), with limit no less than $1,000,000 per accident for bodily
injury and property damage.
3. Workers’ Compensation: As required by the State of California, with Statutory Limits, and Employer’s
Liability Insurance of no less than $1,000,000 per accident for bodily injury or disease, or as otherwise required by
statute. If Contractor is self-insured, Contractor must provide a Certificate of Permission to Self-Insure, duly
authorized by the DIR.
☐ N/A if box checked (Contractor provides written verification it has no employees).
4. Professional Liability with limits no less than $1,000,000 per occurrence or claim, and $2,000,000
aggregate.
☒ N/A if box checked (Contract is not design/build)..
5. Builder’s Risk. Course of Construction insurance utilizing an “All Risk” (Special Perils) coverage form, with
limits equal to the completed value of the project and no coinsurance penalty provisions.
ON-CALL PUBLIC WORKS CONSTRUCTION CONTRACTS
Insurance Requirements: Exhibit C
Insurance Requirements for On-Call Public Works Construction Contracts Version: Jan. 2021 2
☒ N/A if box checked (Project does not involve construction or improvements/installations to property).
6. Contractors’ Pollution Legal Liability and/or Asbestos Legal Liability and/or Errors and Omissions with limits
no less than $1,000,000 per occurrence or claim, and $2,000,000 policy aggregate.
☒ N/A if box checked (Project does not involve environmental hazards)
If Contractor maintains broader coverage and/or higher limits than the minimums shown above, City requires and
shall be entitled to the broader coverage and/or 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.
Self-Insured Retentions. Self-insured retentions must be declared to and approved by City. At City’s option, either:
(1) Contractor shall cause the insurer to reduce or eliminate self-insured retentions as respects City, its officers,
officials, employees, and volunteers; or (2) Contractor shall provide a financial guarantee satisfactory to City
guaranteeing payment of losses and related investigations, claim administration, and defense expenses. The policy
language shall provide, or be endorsed to provide, that the self-insured retention may be satisfied by either the named
insured or the City.
OTHER INSURANCE PROVISIONS
The insurance policies are to contain, or be endorsed to contain, the following provisions:
Additional Insured Status
The City of Cupertino, its City Council, officers, officials, employees, agents, servants and volunteers are to be covered
as additional insureds on the CGL and automobile liability policies with respect to liability arising out of the Services
performed by or on behalf of Contractor including materials, parts, or equipment furnished. Endorsement of CGL
coverage shall be at least as broad as ISO Form CG 20 10 11 85 or if not available, through the addition of both CG
20 10, CG 20 26, CG 20 33, or CG 20 38; and CG 20 37 if a later edition is used.
Primary Coverage
For any claims related to this Project, Contractor’s insurance coverage shall be “primary and non-contributory” and
at least as broad as ISO CG 20 01 04 13 with respect to City, its officers, officials, employees and volunteers, and shall
not seek contribution from City’s insurance. If the limits of insurance are satisfied in part by Umbrella/Excess
Insurance, the Umbrella/Excess Insurance shall contain or be endorsed to contain a provision that such coverage shall
also apply on a “primary and non-contributory” basis for the benefit of City.
Notice of Cancellation
Each insurance policy required shall provide that coverage shall not be canceled, except with notice to the City. Each
certificate of insurance must state that the coverage afforded by the policy is in force and will not be reduced, cancelled
or allowed to expire without at least 30 days advance written notice to City, unless due to non-payment of premiums,
in which case ten days advance written notice must be provided to City. Such notice must be sent to City via certified
mail and addressed to the attention of the City Manager.
Builder’s Risk
Contractor may submit Builder’s Risk insurance in the form of Course of Construction coverage, which shall name
the City as a loss payee, as its interest may appear. The Builder’s Risk policy must be issued on an occurrence basis,
for all-risk coverage on a 100% completed value basis on the insurable portion of the Project, with no coinsurance
penalties, and for the benefit of City. If the Project does not involve new or major reconstruction, City may elect, acting
in its sole discretion, to accept an Installation Floater policy instead of Builder’s Risk. For such projects, the Property
Installation Floater shall include improvement, remodel, modification, alteration, conversion or adjustment to existing
buildings, structures, processes, machinery and equipment, and shall provide property damage coverage for any
Insurance Requirements for On-Call Public Works Construction Contracts Version: Jan. 2021 3
building, structure, machinery or equipment damaged, impaired, broken, or destroyed during the performance of the
Work, including during transit, installation, and testing at the City’s site.
Waiver of Subrogation
Each required policy must include an endorsement providing that the carrier agrees to waive any right of subrogation
it may have against City. Contractor agrees to waive rights of subrogation which any insurer of Contractor may acquire
from Contractor by virtue of the payment of any loss. Contractor agrees to obtain any endorsement that may be
necessary to affect this waiver of subrogation. The Workers’ Compensation policy shall be endorsed with a waiver of
subrogation in favor of the City for all work performed by the Contractor, its employees, agents and subcontractors.
Acceptability of Insurers
Insurance must be issued by insurers acceptable to City and licensed to do business in the State of California, and each
insurer must have an A.M. Best’s financial strength rating of “A” or better and a financial size rating of “VII” or better.
Verification of Coverage
Contractor shall furnish the City with original certificates and amendatory endorsements, or copies of the applicable
insurance language, effecting coverage required by this contract. All certificates and endorsements are to be received
and approved by the City before work commences. The City reserves the right to require complete, certified copies of
all required insurance policies, including endorsements, required by these specifications, at any time.
Subcontractors
Contractor shall require and verify that all subcontractors maintain insurance meeting all the requirements stated
herein, and Contractor shall ensure that City is an additional insured on insurance required from subcontractors. For
CGL coverage subcontractors shall provide coverage with a form at least as broad as CG 20 38 04 13.
Surety Bonds
As required by Contract and described in the Contract Documents. The Payment and Performance Bonds shall be in a
sum equal to the applicable Service Order Price. If the Performance Bond provides for a one-year warranty a separate
Maintenance Bond is not necessary. If the warranty period specified in the Contract is for longer than one year a
Maintenance Bond equal to 10% of the Contract Price is required. Bonds shall be duly executed by a responsible
corporate surety, authorized to issue such bonds in the State of California and secured through an authorized agent
with an office in California.
Special Risks or Circumstances
City reserves the right to modify these requirements, based on the nature of the risk, prior experience, insurer, coverage,
or other circumstances.
1325217.1
Makai Solutions for Facilities and Vehicle
Maintenance
Final Audit Report 2022-11-08
Created:2022-11-04
By:City of Cupertino (webmaster@cupertino.org)
Status:Signed
Transaction ID:CBJCHBCAABAASOSoTFgK56P4RP6DFu_EWqBBWWS4YNLO
"Makai Solutions for Facilities and Vehicle Maintenance" History
Document created by City of Cupertino (webmaster@cupertino.org)
2022-11-04 - 10:31:57 PM GMT- IP address: 35.229.54.2
Document emailed to Julia Kinst (juliak@cupertino.org) for approval
2022-11-04 - 10:35:06 PM GMT
Document approved by Julia Kinst (juliak@cupertino.org)
Approval Date: 2022-11-04 - 10:35:41 PM GMT - Time Source: server- IP address: 216.198.111.214
Document emailed to Araceli Alejandre (aracelia@cupertino.org) for approval
2022-11-04 - 10:35:44 PM GMT
Document approved by Araceli Alejandre (aracelia@cupertino.org)
Approval Date: 2022-11-04 - 10:59:52 PM GMT - Time Source: server- IP address: 73.170.27.253
Document emailed to tom@makaisolutions.com for signature
2022-11-04 - 10:59:55 PM GMT
Email viewed by tom@makaisolutions.com
2022-11-06 - 2:01:14 AM GMT- IP address: 107.197.73.41
City of Cupertino (webmaster@cupertino.org) added alternate signer Daniel Peterson
(danny@makaisolutions.com). The original signer tom@makaisolutions.com can still sign.
2022-11-07 - 5:18:54 PM GMT- IP address: 216.198.111.214
Document emailed to Daniel Peterson (danny@makaisolutions.com) for signature
2022-11-07 - 5:18:54 PM GMT
Email viewed by Daniel Peterson (danny@makaisolutions.com)
2022-11-07 - 5:26:28 PM GMT- IP address: 104.28.85.117
Document e-signed by Daniel Peterson (danny@makaisolutions.com)
Signature Date: 2022-11-07 - 10:16:03 PM GMT - Time Source: server- IP address: 74.62.188.20
Document emailed to christopherj@cupertino.org for signature
2022-11-07 - 10:16:05 PM GMT
Email viewed by christopherj@cupertino.org
2022-11-07 - 10:17:37 PM GMT- IP address: 104.47.73.254
Signer christopherj@cupertino.org entered name at signing as Christopher D. Jensen
2022-11-07 - 10:17:52 PM GMT- IP address: 136.24.22.194
Document e-signed by Christopher D. Jensen (christopherj@cupertino.org)
Signature Date: 2022-11-07 - 10:17:54 PM GMT - Time Source: server- IP address: 136.24.22.194
Document emailed to Matt Morley (mattm@cupertino.org) for signature
2022-11-07 - 10:17:57 PM GMT
Email viewed by Matt Morley (mattm@cupertino.org)
2022-11-08 - 4:17:07 PM GMT- IP address: 64.165.34.3
Document e-signed by Matt Morley (mattm@cupertino.org)
Signature Date: 2022-11-08 - 4:19:03 PM GMT - Time Source: server- IP address: 64.165.34.3
Document emailed to Kirsten Squarcia (kirstens@cupertino.org) for signature
2022-11-08 - 4:19:07 PM GMT
Email viewed by Kirsten Squarcia (kirstens@cupertino.org)
2022-11-08 - 4:20:31 PM GMT- IP address: 104.47.73.126
Document e-signed by Kirsten Squarcia (kirstens@cupertino.org)
Signature Date: 2022-11-08 - 4:20:39 PM GMT - Time Source: server- IP address: 69.110.137.176
Agreement completed.
2022-11-08 - 4:20:39 PM GMT