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18-100 Alvernaz Construction, Portal Park Patio Concrete Pad ProjectCITY OF m PUBLIC WORKS CONTRACT $45,000 OR LESS CUPERTINO 1. PARTIES This public works contract ("Contract") is m ade and entered into on April 19 , 2018 ("Effective Date") by and between the City of Cupertino , a municipal corporation ("City"), and Alvernaz Construction , a Sole Proprietorship/Individ ("Contractor") for Portal Park Patio Concrete Pad Project 2. SCOPE OF WORK Contractor will perform and provide all labor, materials , equipment, supplies, transportation and any other items or work necessary to perform and complete the work required for the Project ("Work"), as required in the Scope of Work, attached here and incorporated as Exhibit A , and in accordance with the terms and conditions of this Contract. 3. TIME FOR COMPLETION 3.1 Term. This Contract begins on the Effective Date and ends on June 30 , 2018 ("Contract Time") unless terminated earlier as provided herein. Contractor's Work shall begin on the date shown on a written Notice to Proceed ("NTP") and must be fully completed within the Contract Time or on the date specifically provided in the Notice to Proceed. The City Engineer will not issue a NTP until the Contract is fully executed by both parties and City has received satisfactory proof of insurance and any performance and payment bonds that may be required. 3.2 Time is of the essence for Contractor 's performance and completion of the Work . Contractor must have sufficient time, resources, and qualified staff to deliver the work on time. 3.3 Liquidated damages of$ 200.00 will be charged for each day of unexcused delay, or City may deduct the amount from Contractor's payments. Liquidated damages are based on reasonably foreseeable consequences of delay and may include intangible losses which the Parties agree may be difficult to ascertain, such as loss of public confidence in City and its contractors, interference or loss of use of public facilities, and extended disruption to the public. 4. COMPENSATION 4.1 Maximum Compensation. City will pay Contractor for satisfactory performance of the Work ~an amount that will based on actual costs but that will be capped so as not to exceed$ 23 ,850.00 ("Contract Price"), for all of Contractor's direct and indirect costs, including all labor, materials , supplies, equipment, taxes , insurance, bonds and all overhead costs. 4.2 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 Public Works Project Portal Park Patio Concrete Pad Public Works Contract $45,000 !Rev. Nov 3, 2017 Page l of l l any incidental costs incurred. Contractor will be paid 95% of the undisputed amounts billed within 30 days after City receives a properly submitted invoice. Any retained amounts will be included with Contractor's final payment within 60 days of City's acceptance of the Work as complete . 5. INDEPENDENT CONTRACTOR 5.1 Status. Contractor is an independent contractor and not an employee of City. Contractor is solely responsible for the means and methods of performing the Work and for the persons under this employment. Contractor is not entitled to worker's compensation or any other City benefits. 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. Contractor shall possess a California Contractor's License in good standing for the following classification(s): B , 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 Taxes. Contractor must pay income taxes on the money earned under this Contract. Upon City's request, Contractor will provide proof of payment and will indemnify City for violations pursuant to the indemnification provision of this Contract. 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-pFier-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 Public Works Project Portal Park Patio Concrete Pad Public Works Contract $45,000 /Rev . Nov 3, 2017 Page 2 of 11 8. PUBLICITY/ SIGNS Any publicity generated by Contractor for the Project during the Contract Time, and for one 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 50 % of the Work, provided that each subcontractor is required by contract to be bound by the provisions of this Contract. Contractor must provide City with written proof of compliance with this provision upon request. 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 Public Contract Code Section 4107 . If City rejects a subcontractor, Contractor at it s own expense must perform the subcontractor 's Work or hire a new subcontractor that is acceptable to City. A Notice of Compl etion must b e r ecorded within 15 days after City accepts the Work if the Contract 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 Project. 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; HV AC 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 Gity review-and-audit,kept----- separate from other records, and maintained for four years from the date of City's final payment. Public Works Project Portal Park Patio Concrete Pad Public Works Contract $45,000 /Rev. Nov 3, 2017 Page 3 of 11 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 consultants ("lndemnitees"), through legal counsel acceptable to City, from and against any and all liability, damages , claims, stop notices, actions, causes of action, demands, charges, losses 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, subcontractors 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. 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 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. 12. INSURANCE Contractor shall comply with the Insurance Requirements, attached and incorporated here as Exhibit B. Contractor must provide satisfactory proof of insurance and maintain it for the Contract Time or longer as required by City. City will not execute the Contract until City has approved 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 -eity;-at its -sole discretion-and-withoutnotice;-purchasing--insurance at-eontracto~s-expense, deducting the costs from Contractor's compensation, or terminating the Contract. Public Works Project Portal Park Patio Concrete Pad Public Works Contract $45,000/Rev. Nov 3, 2017 Page4 of 11 13. COMPLIANCE WITH LAWS 13.1 General Laws. Contractor shall comply with all 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 status of employees performing the Work, as required by the Immigration Reform and Control Act 13.2 Labor Laws. (a) Contracts of $1,000 or more are subject to the requirements of the California Labor Code, including but not limited to: (i) Prevailing wage laws under Labor Code Section 1775, which require Contractor to pay prevailing wages applicable in Santa Clara County for each craft, classification, or type of worker needed to perform the Work, including health, pension and vacation. The prevailing wage rates are on file with the City Engineer's office and are available online at http://www.dir.ca.gov/DLSR ; (ii) Apprenticeship requirements under Labor Code Section 1777.5 for Contacts $30,000 or more; (iii) Maintain certified payroll records in accordance with Labor Code Sections 1776 and 1812, and electronically submit them to the Labor Commissioner as required by the regulations of California, Department of Industrial Relations ("DIR"); (iv) Comply with DIR Monitoring, Enforcement and Registration requirements of Labor Code Section 1725.5. (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 Labor Code Section 3 700 which requires 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 on this Contract." 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 elassifieati0n;-Gontractor shall ~comply-with all-anti-discriminati0n-laws,ineluding------ 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 sub-contractors will not be tolerated . Public Works Project Portal Park Patio Concrete Pad Public Works Contract $45,000 /Rev. Nov 3, 2017 Page 5 of 11 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 Go vernment Code section 1090 and Go v ernment Cod e section 81000 and their accomp anying regulations. No officer, official , employee, consultant, or other agent of the City ("City Representative") may hav e, maintain, or acquire a "financi al 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 City Representative or for one year thereafter. Contractor, its employees , subcontractors , servants and agents warrant they are not employees of City or 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 go v ernmental decisions or serves in a staff capacity, as defined in section 18700 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 Section 13 constitutes a material breach and may result in City suspending payments , requiring reimbursement, or terminating the Contract. City reserves all rights and remedies under the law and this Contract, including seeking indemnification. 14. BONDS For contracts of $25 ,000 or more, Contractor must obtain a payment bond and a performance bond, each in the penal sum of 100 % of the Contract Price , using the Bond Forms attached and incorporated here as Exhibit C. Each bond must be issued by a surety admitted in California, with a financial rating from A.M . Best Comp any of Class A -or high er, or as otherw i se a cceptabl e 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 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 pay ments due Contractor, or terminate the Contract. City will not execute the Contract nor issue the NTP 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 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 tho se indicated by information about the worksite made available to Contractor; and Public Works Project Portal Park Patio Concrete Pad Public Works Contract $45,000 !Rev. Nov 3, 2017 Page 6 of 11 ( 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 contracts $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 off site in lawful manner; ( d) After breaking old pavement, remove debris to avoid contact with rainfall/runoff; (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. 16.2 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. Public Works Project Portal Park Patio Concrete Pad Public Works Contract $45,000 /Rev . Nov 3, 2017 Page 7 of 11 17. PROJECT COORDINATION City Project Manager . City assigns Brian Gathers, Public Works Supervisor as the City representative for all purposes under this Contract, with authority to require compliance with the Scope of Work. City may substitute Project Managers at any time and without prior notice to Contractor. Contractor Project Manager. Subject to City approval, Contractor assigns Michael Alvernaz, Owne ___________________ as its single representative for all purposes under this Contract, with the responsibility to ensure progress with the Work. Contractor's Project Manager is responsible for coordinating and scheduling the Work and must regularly update the City Project Manager about the status and any delays with the Work, consistent with the Scope of Work. Any substitutions must be approved in writing by City. 18. ABANDONMENT AND TERMINATION 18.1 City may abandon or postpone the Project or parts therefor 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 the Work. With City's pre-approval in writing, the time spent in closing out the Work will be compensated up to 10% of the total time expended in performing the Work . 18.2 City may terminate the Contract for cause or 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. Nothing in the Section below is intended to delay , abridge or bar City's right under this Section. 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, 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. 20. ATTORNEY FEES ----If eity--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. Public Works Project Portal Park Patio Concrete Pad Public Works Contract $45,000 !Rev. Nov 3, 2017 Page 8 of 11 21. SIGNS/ADVERTISEMENT 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 waiver of any breach shall not constitute waiver of another provision or breach. 26. 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 longer 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 wear and tear or damage resulting from improper use or maintenance. 27. ENTIRE CONTRACT 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 any attachment or incorporated provisions conflict or are inconsistent with the terms of this Contract, the Contract terms will control. 28. 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. 28. SURVIVAL ----The-contract provisions-which-by-1:heirnature-should survive the -eontract-or Completion-of-Projec1'-,------ including without limitation all warranties, indemnities, payment obligations , insurance and bonds, shall remain in full force and effect after the Work is completed or Contract ends. Public Works Project Portal Park Patio Concrete Pad Public Works Contract $45,000/Rev . Nov 3, 2017 Page 9 of 11 29. INSERTED PROVISIONS Each provision and clause required by law to be inse1ied in this Contract will be deemed to be included and will be inferred herein. Either party may request an amendment to cure mistaken insertions or omissions of required provisions. 30. CAPTIONS The captions, titles, and headings in this Contract are for convenience only and may not be used in the construction or interpretation of the Contract or for any other purpose. 31. 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. 20. NOTICES All notices, requests, and approvals must be sent in writing to the persons below and will be considered effective on the date of personal delivery, the date confirmed by a reputable overnight delivery service, on the fifth 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: 10300 Torre Avenue, Cupertino CA 95014 Attention: Bri an G ath ers , Public works Supervisor Copy to: Carl Valdez, Superintendent Email: briang@ cupertino.org 30. VALIDITY OF CONTRACT To Contractor: Alv e rn az Construction , PO Box 366 San M artin , C A . 95046 Attention: M ic hae l Al ve rn az Copy to: ____________ _ Email: michaelalvernaz@alvernazconstruction.c This Contract is valid and enforceable only if (a) it complies with the purchasing and contract provisions of Cupertino Municipal Code Chapters 3.22 and 3 .23, (b) is signed by the City Manager or an authorized designee, and (c) is approved for form by the City Attorney's Office . 32. EXECUTION he persons signing oelow warrannney nave the authonty to enter m tothis Contract anatolegal y 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 . Public Works Project Portal Park Patio Concrete Pad Public Works Contract $45,000 /Rev . Nov 3, 2017 Page 10 of 11 IN WITNESS WHEREOF , the parties have caused this Contract to be executed as of the Execution Date first above written. CONTRACTOR Alvernaz Construction Michael Alvernaz Sole Proo~~ By:~3, Title: Owner Signature Date: ~ -'J..e?-():c}/j' ATTEST: CITY OF CUPERTINO, a Municipal Corporation By:~ Timm Borden Title: Director of Public Works Signature Date: -f_,____./__t2-._C-+- 1 lj~('_rt _____ _ By: ~4P-t ~-J /.(t GRACE sCHM T, City Clerk Public Works Project Portal Park Patio Concrete Pad Public Works Contract $45,000/Rev. Nov 3, 2017 Pag e 11 of 11 4/19/2018 NEW WORK ORDER IQ. Brian Gathers City of Cupertino 10300 Torre Avenue 2/25/201 7 -Goog le Do cs Alvernaz Construction Po Box 366 San Martin CA 95046 Lie# 711435 408-595-2817 1 -Install new concrete slab approximately 24'x 30' 2-Install forms with 3/8 reinforce steel every 18 inches each way EXH I BIT "A 11 April 18 ,2018 JOB LOCATION PORTAL PARK 3-New concrete to be six sack mix 4 to 5 i nches thick with a broom finish. 4 -All dump fees included. Total cost materials and labor-------------$23 ,850.00 Thank you, Michael Al '1 rnaz ;f,~ 2-- j t '. ' " ·'\. .......... J PUBLIC WORKS CONSTRUCTION CONTRACTS Small Projects -$45,000 Insurance Requirements: Exhibit B Contractor shall procure and maintain for the duration of the contract, and for jive 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 (I) 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 01 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 and non-contributory 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. __ D 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. ~ NIA 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. OQ NI A if box checked (Project does not involve construction or improvements/installations to property). Insurance Requirements/or Construction Contracts -$45,000 Version: Nov 2017 -0------ 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. ~ NIA 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 policy 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 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. Insurance Requirements for Construction Contracts -$45,000 Version : Nov 201 7 2 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 COL 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 Contract 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 I 0% 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. Insurance Requirements for Construction Contracts -$45,000 Version: Nov 201 7 3 ACORD® CERTIFICATE OF LIABILITY INSURANCE I DATE (MM/OD 1YYYY) ~ 04/16/1 B THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE HOLDER. THIS CERTIFICATE DOES NOT AFFIRMATIVELY OR NEGATIVELY AMEND , EXTEND OR ALTER THE COVERAGE AFFORDED BY THE POLICIES BELOW. THIS CERTIFICATE OF INSURANCE DOES NOT CONSTITUTE A CONTRACT BETWEEN THE ISSUING INSURER(S), AUTHORIZED REPRESENTATIVE OR PRODUCER, AND THE CERTIFICATE HOLDER. IMPORTANT: If the certificate holder is an ADDITIONAL INSURED, the policy(ies) must have ADDITIONAL INSURED provisions or be endorsed . If SUBROGATION IS WAIVED, subject to the terms and conditions of the policy, certain policies may require an endorsement. A statement on this certificate does not confer rights to the certificate holder in lieu of such endorsement(s). l PRODUCER CONTACT NAME : -; FAX (408) 2~6-72~;-, BELL PLAZA INSURANCE r~g.Nlfu.J:xll· (408)_?.88-8400 c.Aff~ No): 991 W Hedding St Ste 108 E·M AIL insurance@bellplaza .com _AQORESS : ·-· San Jose, CA 95126 INSURER(S) AFFORDING COVERAGE NAIC # 0891409 INSURER A : Preferred Contractors Insurance Company i 12497 INSURED PCIA i INSURER B : I Alvernaz Construction PCIA INSURER C: - Michael Alvernaz State Fund ' INSURER D : ' 12120 Central Ave INSURER E : ' I San Martin, CA 95046 INSURER F : I COVERAGES CERTIFICATE NUMBER: REVISION NUMBER: THIS IS TO CERTJFY THAT THE POLICIES OF INSURANCE LISTED BELOW HAVE BEEN ISSUED TO THE INSURED NAMED ABOVE FOR THE POLIC Y PERIOD INDICATED. NOTWITHSTANDING ANY REQUIREMENT, TERM OR CONDITION OF ANY CONTRACT OR OTHER DOCUMENT WITH RESPECT T O WHICH THIS CERTIFICATE MAY BE ISSUED OR MAY PERTAIN, THE INSURANCE AFFORDED BY THE POLICIES DESCRIBED HEREIN IS SUBJECT TO ALL THE TER MS, EXCLUSIONS AND CONDITIONS OF SUCH POLICIES . LIMITS SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS . POLICY EFF POLICY EXP I~~: I TYPE OF IIISURANCE j ADD L1 SUBR 1 rur:n ! 1.11.n,n ! POLICY NUMBER , IMM /OD/YYYYl IMM /00/YYYYl · LIMITS i X I COMMERCIAL GENERAL LIABILITY ~--· --1 ; I X i 1_· -~ CLAl~IS-~IADE __ , OCCUR ~ Bl Ded $1,000 A E PO Ded $1,000 I GEN'L AGGRE GATE LIMIT APPLIES PER: 1 -, f-i PRO-Ii ,----) POLIC Y L_J JECT L_j LOC ! ! OTHER : I AUTOMOBILE LIABILITY rxl ANY AUTO r-1 OWNED B L-AUTOS ONL Y 'X · HIRED H AUTOS ONL Y j X j compfcoll i i SCHEDULED ' I AUTOS ' X ' NON-OWNED _. _; AUTOS ONLY I I Xi UMBRELLA LIAB i X I OCCUR : c I EXCESS LIAB n CLAl~IS -~IADE 1 I OED I X j RETENTION s 10,000 i ! WORKERS COMPENSATION y y I ! AND EMPLOYERS• LIABILITY ANY PROPRIETOR/PAR TN ER /EXECUTI VE D OFFICER/MEMBER EXC LUDED ? (Mandatory in NH) Y/N : r=-1 ' . L!.J !N/A I I I If yes, describe under DESCRIPTION OF OPERATIONS below I I ! ' y I PCA5026-PC259524 ! 01/25/18 i ' ! I I y PCA5026-PC259524 01/25/18 I , PCA5026-PC259524 01/25/18 ' i 1721281 12/01/17 I ; l EACH OCCURRENCE ,s DAMAGE TO RENTED PREMISES (Ea occurrence l 'S ; ME D EXP (Any one perscn) : s 01/25/19 !PERSONAL & AD V INJUR Y I s I GENERAL AGGREGATE I s l PRODUC TS -cor,IP IOP AGG : s I Hired Aura PD ACV i .$ I I COM BI NED SINGLE LIMIT ; s (Ea accident) I I BODILY INJURY (Per perso n) j s I ! 01/25/19 ; BODILY INJ URY (Per accidenl) I S , PROPERTY DAMAG E ·s ! . (Per acciden t) ' - i i Hired Auto PD l - I ! ::i I j EACH OCCURRENCE I s 01/25/19 I AGGREGATE I s I I I I s I : X i ~f :Tu TE : i ~kH· I I I E.L. EACH ACCIDENT I I I s I I 12/01/18 I E.L. DISEASE . EA EMPLO YEd s I E.L. DISEASE. POLICY LIMIT I s ' ! ' ' ' ' : DESCRIPTION OF OPERATIONS I LOCATIONS /VEHICLES (ACORD 101 , Additional Remarks Schedule, may be attached if more space is requir ed) City of Cuperti no, boards and commissions, officers, officials, agents, employees, consultants and volunteers. Commercial Umbrella Policy extends coverage on CSL Automobile Liability underlying Policy. CERTIFICATE HOLDER CANCELLATION 2,000,000 V 50,000 5,000 1,000,000 V 4,000,000 2,000 ,000 1,000 ,000 V 5,000 ,000 5,000,000 1,000,000 ,V 1,000 ,000 1,000,000 City of Cuperti no • Public Works 10300 Torre Avenue Cupertino, CA 95014 SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE THE EXPIRATION DATE THEREOF, NOTICE WILL BE DELIVERED IN ACCORDANCE WITH THE POLICY PROVISIONS. Attn: Brian Gathers ACORD 25 (2016/03) The ACORD name and logo are registered marks of ACORD ENDORSEMENT TO POLICY THIS ENDORSEMENT CHANGES THE POLICY. PLEAS E READ IT CAREFULLY. PREFERRED CONTRACTORS INSURANCE COMPANY RISK RETENTION GROUP. LLC COMMERCIAL GENERAL LIABILITY POLICY ADDITIONAL INSURED-OWNERS. LES SEES OR CONTRACTORS -SCHEDULED PERSON OR ORGA NIZATION INCLUDING WAIVER OF SUBROGATION Thi s e ndorse men t mod ifi es in suran ce prov id ed und er th e fo ll ow in g: COMMERCIAL GENE RAL LI ABILITY COVERAGE PART. IT JS AGRE ED THAT WE WAIVE ANY RIGHT OF RECOVERY WE MAY HAVE AGAINST THE PERSON OR ORG AN IZATION SHOWN IN THE SCHEDULE, BEC AUSE OF THE PAYMENT WE MA KE FOR INJURY OR DAMAGE ARISING OUR OF "YOUR WORK" DO NE UN DER A CONTRACT WITH THAT PERSON OR ORGANIZATION. SCHEDULE Na me of Person(s) or Organization(s); Location(s) of covered operations; Ad ditional Insured(s) Certificate Ho ld er -As Required by Wri tten Contract All Projects a nd Locations (If no e ntr y appears a bove , th e in fo rm at ion required to complete thi s endorse ment will be sho wn in the Declaration s as app li cab le to thi s endorse me nt.) Exce pt as se t fort h a bove, all of th e te rm s. cond iti on s and exc lu s ion s of thi s polic y a ppl y and remain in effec t. Policy No.: PCA5026-PC259524 Date: 05/21/2018 Time : 12:01 a.m. V 09 12 Preferred Contractors In sura nce Co mp any Ri sk Reten ti on Group, LLC 27 Nort h 27 th Street , Su it e 1900 Billin gs, Mont ana 59101 By: 12.Jurl~~~ A uthori ze Repre se nt all ve END PCIC 24 967 10 07 -1 of 1 ·.S..TAT.~~ ,'.·•C,OMP!lN.SATION · ·. INSURANCE . FUND · ISSUE DATE: 12-01-2017 P.O. BOX 8192, PLEASANTON, CA 94588 CERTIFICATE OF WORKERS' COMPENSATION INSURANCE GROUP: POLICY NUMBER: 172 128f-2017 CERTIFICATE ID: 3 CERTIFICATE EXPIRES: 12-01-2018 12-01-2017/12-01-2018 CONTRACTORS STATE LICENSE BOARD WORKERS COMPENSATION UNIT NA LIC PERMIT#: 711435 INCEPTION DATE:12-01-2017 DO:NA PO BOX 26000 SACRAMENTO CA 95826-0026 This is to 'cerfity" that we have· issued a valid Workers' Compensation insurance policy in a form approved by the California Insurance Commissioner to the employer named below for the policy period indicated. This policy is not subject to cancellation by the Fund except upon 10 days advance written notice to the emp loyer. We will also give you 10 days advance notice should this policy be cancelled prior to its normal expiration. This certificate of insurance is not an insurance policy and does not amend, extend or alter the coverage afforded by the policy listed herein. Notwithstanding any requirement, term or condition of any contract or other document with respect to which this certificate of insurance may be issued or to which it may pertain, the insurance afforded by the poricy described herein is subject to all the terms. exclusions, and conditions, of such pol icy. ~tlq Authorized Representative President and CEO UNLESS INDICATED OTHERWISE BY ENDORSEMENT, COVERAGE UNDER THIS POLICY EXCLUDES THE FOLLOWING: THOSE NAMED IN THE POLICY DECLARATIONS AS AN INDIVIDUAL EMPLOYER OR A HUSBAND AND WIFE EMPLOYER; EMPLOYEES COVERED ON A COMPREHENSIVE PERSONAL LIABILITY INSURANCE POLICY ALSO AFFORDING CALIFORNIA .WORKERS' COMPENSATION BENEFITS; EMPLOYEES EXCLUDED UNDER CALIFORNIA WORKERS' COMPENSATION LAW. EMPLOYER'S LIABILITY LIMIT INCLUDING DEFENSE COSTS: $1,000,000 PER OCCURRENCE. EMPLOYER ALVERNAZ, MICHAEL A OBA: ALVERNAZ CONSTRUCTION PO BOX 386 SAN MARTIN CA 95046 lE\/.7·2014) PRINTED 11-17-2017 M0409