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HomeMy WebLinkAboutPleasant Line Corporation; 2025-09-10; MSA26-3912FACMSA26-3912FAC City Attorney Approved Version 6/30/2025 Page 1 MAINTENANCE SERVICES AGREEMENT FOR BRONZE SCULPTURE ANNUAL MAINTENANCE SERVICES WITH PLEASANT LINE CORPORATION THIS AGREEMENT (“Agreement”) is made and entered into as of the ______________ day of _________________________, 2025, by and between the City of Carlsbad, California, a municipal corporation and California charter city ("City") and Pleasant Line Corporation, a California corporation ("Contractor"). RECITALS A. City requires the services of a contractor that is experienced in performing maintenance including cleaning, waxing and polishing of bronze artwork; specifically large bronze sculptures that are displayed in outdoor open spaces (“Services”). B. Contractor is duly qualified and has the necessary experience to provide the Services. C. The City issued a Request for Proposal and in response, the Contractor submitted a proposal to the City and affirmed its willingness and ability to perform the work. NOW, THEREFORE, in consideration of these recitals and the mutual covenants contained herein, City and Contractor agree as follows: 1. SCOPE OF WORK City retains Contractor to perform, and Contractor agrees to render, those Services (“Services”) described and delineated in Exhibit “A.” To the extent that any of the terms in the Exhibits(s), including any attachments, conflict with the terms in this Agreement, in whole or in part, the terms of this Agreement control. 2. TERM The term of this Agreement will be effective for a period of four (4) years from the date first above written. 3. COMPENSATION The total fee payable for the Services to be performed during the initial Agreement term shall not exceed twelve thousand four hundred sixty ($12,460), and not to exceed three thousand one hundred fifteen dollars ($3,115) per year. No other compensation for the Services will be allowed except for items covered by subsequent amendments to this Agreement. Payment terms are Net 30 unless otherwise provided in Exhibit “A” or agreed to in writing by the parties. The City reserves the right to withhold a ten percent (10%) retention until City has accepted the work and/or Services specified in Exhibit "A." Incremental payments, if applicable, should be made as outlined in attached Exhibit "A." Docusign Envelope ID: 30A1310F-EBA6-431A-8886-3EC61C6CC21D Sept. 10th MSA26-3912FAC City Attorney Approved Version 6/30/2025 Page 2 4. PUBLIC WORKS 4.1 Prevailing Wage Rates. Any construction, alteration, demolition, installation, repair, and maintenance work, including work performed during design and preconstruction such as inspection and land surveying work, cumulatively exceeding $1,000 and performed under this Agreement constitute “public works” under California Labor Code section 1720 et seq. and are subject to state prevailing wage laws. The general prevailing rate of wages, for each craft or type of worker needed to execute the contract, shall be those as determined by the Director of Industrial Relations pursuant to the Section 1770, 1773 and 1773.1 of the California Labor Code. Pursuant to Section 1773.2 of the California Labor code, a current copy of applicable wage rates is on file in the office of the City Engineer. Contractor shall not pay less than the said specified prevailing rates of wages to all such workers employed by Contractor in the execution of the Agreement. Contractor and any subcontractors shall comply with Section 1776 of the California Labor Code, which generally requires keeping accurate payroll records, verifying and certifying payroll records, and making them available for inspection. Contractor shall require any subcontractors to comply with Section 1776. 4.2 DIR Registration. California Labor Code section 1725.5 requires the Contractor and any subcontractor or subconsultant performing any public work under this Agreement to be currently registered with the California Department of Industrial Relations (DIR), as specified in Labor Code section 1725.5. Labor Code section 1771.1 provides that a contractor or subcontractor/subconsultant shall not be qualified to engage in the performance of any contract for public work, unless currently registered and qualified to perform public work pursuant to Labor Code section 1725.5. Prior to the performance of public work by any subcontractor or subconsultant under this Agreement, Contractor must furnish City with the subcontractor or subconsultant's current DIR registration number, including submitting the form provided in Exhibit “B.” 5. CONSTRUCTION MANAGEMENT SOFTWARE Procore Project Management and Collaboration System. This project may utilize the City’s Procore (www.procore.com) online project management and document control platform. The intent of utilizing Procore is to reduce cost and schedule risk, improve quality and safety, and maintain a healthy team dynamic by improving information flow, reducing non-productive activities, reducing rework and decreasing turnaround times. Contractor is required to create a free web-based Procore user account(s) and utilize web-based training / tutorials (as needed) to become familiar with the system. Unless the Engineer approves otherwise, the Contractor shall process all project documents through Procore because this platform will be used to submit, track, distribute and collaborate on project. If unfamiliar or not otherwise trained with Procore, Contractor and applicable team members shall complete a free training certification course located at http://learn.procore.com/procore-certification-subcontractor. Contractor is responsible for obtaining Contractor’s own Procore support, as needed, either through the online training or reaching out to the Procore support team. It will be the responsibility of Contractor to regularly check Procore and review updated documents as they are added. There will be no cost to Contractor for use of Procore. It is recommended that Contractor provide mobile access for Windows, iOS located at Docusign Envelope ID: 30A1310F-EBA6-431A-8886-3EC61C6CC21D MSA26-3912FAC City Attorney Approved Version 6/30/2025 Page 3 https://apps.apple.com/us/app/procore-construction-management/id374930542 or Android devices located at https://play.google.com/store/apps/details?id=com.procore.activities with the Procore App installed to at least one on-site individual to provide real-time access to current posted drawings, specifications, RFIs, submittals, schedules, change orders, project documents, as well as any deficient observations or punch list items. Providing mobile access will improve communication, efficiency, and productivity for all parties. The use of Procore for project management does not relieve the contractor of any other requirements as may be specified in this Agreement. 6. INTENTIONALLY OMITTED 7. STATUS OF CONTRACTOR Contractor will perform the Services in Contractor's own way as an independent contractor and in pursuit of Contractor's independent calling, and not as an employee of City. Contractor will be under the control of City only as to the result to be accomplished, but will consult with City as necessary. The persons used by Contractor to provide services under this Agreement will not be considered employees of City for any purposes. The payment made to Contractor pursuant to the Agreement will be the full and complete compensation to which Contractor is entitled. City will not make any federal or state tax withholdings on behalf of Contractor or its agents, employees or subcontractors. City will not be required to pay any workers' compensation insurance or unemployment contributions on behalf of Contractor or its employees or subcontractors. Contractor agrees to indemnify City within thirty (30) days for any tax, retirement contribution, social security, overtime payment, unemployment payment or workers' compensation payment which City may be required to make on behalf of Contractor or any agent, employee, or subcontractor of Contractor for work done under this Agreement. At the City’s election, City may deduct the indemnification amount from any balance owing to Contractor. 8. SUBCONTRACTING Contractor will not subcontract any portion of the Services without prior written approval of City. If Contractor subcontracts any of the Services, Contractor will be fully responsible to City for the acts and omissions of Contractor's subcontractor and of the persons either directly or indirectly employed by the subcontractor, as Contractor is for the acts and omissions of persons directly employed by Contractor. Nothing contained in this Agreement will create any contractual relationship between any subcontractor of Contractor and City. Contractor will be responsible for payment of subcontractors. Contractor will bind every subcontractor and every subcontractor of a subcontractor by the terms of this Agreement applicable to Contractor's work unless specifically noted to the contrary in the subcontract and approved in writing by City. 9. OTHER CONTRACTORS The City reserves the right to employ other Contractors in connection with the Services. 10. INDEMNIFICATION Contractor agrees to defend (with counsel approved by the City), indemnify, and hold harmless the City and its officers, elected and appointed officials, employees and volunteers from and Docusign Envelope ID: 30A1310F-EBA6-431A-8886-3EC61C6CC21D MSA26-3912FAC City Attorney Approved Version 6/30/2025 Page 4 against all claims, damages, losses and expenses including attorneys fees arising out of the performance of the work described herein caused by any negligence, recklessness, or willful misconduct of the Contractor, any subcontractor, anyone directly or indirectly employed by any of them or anyone for whose acts any of them may be liable. If Contractor’s obligation to defend, indemnify, and/or hold harmless arises out of Contractor’s performance as a “design professional” (as that term is defined under California Civil Code section 2782.8), then, and only to the extent required by California Civil Code Section 2782.8, which is fully incorporated herein, Contractor’s indemnification obligation shall be limited to claims that arise out of, pertain to, or relate to the negligence, recklessness, or willful misconduct of the Contractor, and, upon Contractor obtaining a final adjudication by a court of competent jurisdiction. Contractor’s liability for such claim, including the cost to defend, shall not exceed the Contractor’s proportionate percentage of fault. The parties expressly agree that any payment, attorneys fee, costs or expense City incurs or makes to or on behalf of an injured employee under the City’s self-administered workers’ compensation program is included as a loss, expense or cost for the purposes of this section, and that this section will survive the expiration or early termination of this Agreement. 11. INSURANCE Contractor will obtain and maintain for the duration of the Agreement and any and all amendments, insurance against claims for injuries to persons or damage to property which may arise out of or in connection with performance of the services by Contractor or Contractor’s agents, representatives, employees or subcontractors. The insurance will be obtained from an insurance carrier admitted and authorized to do business in the State of California. The insurance carrier is required to have a current Best's Key Rating of not less than "A-:VII"; OR with a surplus line insurer on the State of California’s List of Approved Surplus Line Insurers (LASLI) with a rating in the latest Best’s Key Rating Guide of at least “A:X”; OR an alien non-admitted insurer listed by the National Association of Insurance Commissioners (NAIC) latest quarterly listings report. 11.1 Coverages and Limits. Contractor will maintain the types of coverages and minimum limits indicated below, unless Risk Manager or City Manager approves a lower amount. These minimum amounts of coverage will not constitute any limitations or cap on Contractor's indemnification obligations under this Agreement. City, its officers, agents and employees make no representation that the limits of the insurance specified to be carried by Contractor pursuant to this Agreement are adequate to protect Contractor. If Contractor believes that any required insurance coverage is inadequate, Contractor will obtain such additional insurance coverage, as Contractor deems adequate, at Contractor's sole expense. The full limits available to the named insured shall also be available and applicable to the City as an additional insured. 11.1.1 Commercial General Liability (CGL) Insurance. Insurance written on an “occurrence” basis, including personal & advertising injury, with limits no less than $2,000,000 per occurrence. If a general aggregate limit applies, either the general aggregate limit shall apply separately to this project/location or the general aggregate limit shall be twice the required occurrence limit. Docusign Envelope ID: 30A1310F-EBA6-431A-8886-3EC61C6CC21D MSA26-3912FAC City Attorney Approved Version 6/30/2025 Page 5 11.1.2 Automobile Liability. (if the use of an automobile is involved for Contractor's work for City). $2,000,000 combined single-limit per accident for bodily injury and property damage. 11.1.3 Workers' Compensation and Employer's Liability. Workers' Compensation limits as required by the California Labor Code. Workers' Compensation will not be required if Contractor has no employees and provides, to City's satisfaction, a declaration stating this. 11.1.4 Professional Liability. Errors and omissions liability appropriate to Contractor’s profession with limits of not less than $1,000,000 per claim. Coverage must be maintained for a period of five years following the date of completion of the work. 11.2 Additional Provisions. Contractor will ensure that the policies of insurance required under this Agreement contain, or are endorsed to contain, the following provisions: 11.2.1 The City will be named as an additional insured on Commercial General Liability which shall provide primary coverage to the City. 11.2.2 Contractor will obtain occurrence coverage, excluding Professional Liability, which will be written as claims-made coverage. 11.2.3 If Contractor maintains higher limits than the minimums shown above, City requires and will be entitled to coverage for the higher limits maintained by Contractor. Any available insurance proceeds in excess of the specified minimum limits of insurance and coverage will be available to City. 11.2.4 This insurance will be in force during the life of the Agreement and any extensions of it and will not be canceled without thirty (30) days prior written notice to City sent by certified mail pursuant to the Notice provisions of this Agreement. 11.3 Providing Certificates of Insurance and Endorsements. Prior to City's execution of this Agreement, Contractor will furnish certificates of insurance and endorsements to City. 11.4 Failure to Maintain Coverage. If Contractor fails to maintain any of these insurance coverages, then City will have the option to declare Contractor in breach, or may purchase replacement insurance or pay the premiums that are due on existing policies in order to maintain the required coverages. Contractor is responsible for any payments made by City to obtain or maintain insurance and City may collect these payments from Contractor or deduct the amount paid from any sums due Contractor under this Agreement. 11.5 Submission of Insurance Policies. City reserves the right to require, at any time, complete and certified copies of any or all required insurance policies and endorsements. 12. BUSINESS LICENSE Contractor will obtain and maintain a City of Carlsbad Business License for the term of the Agreement, as may be amended from time-to-time. Docusign Envelope ID: 30A1310F-EBA6-431A-8886-3EC61C6CC21D MSA26-3912FAC City Attorney Approved Version 6/30/2025 Page 6 13. ACCOUNTING RECORDS Contractor will maintain complete and accurate records with respect to costs incurred under this Agreement. All records will be clearly identifiable. Contractor will allow a representative of City during normal business hours to examine, audit, and make transcripts or copies of records and any other documents created pursuant to this Agreement. Contractor will allow inspection of all work, data, documents, proceedings, and activities related to the Agreement for a period of four (4) years from the date of final payment under this Agreement. 14. NOTICES The name of the persons who are authorized to give written notice or to receive written notice on behalf of City and on behalf of Contractor under this Agreement are: For City: For Contractor: Name Kevin Shotas Name Michael Stutz Title Safety Training Center Supervisor Title Owner Dept Public Works/Safety Training Center Address 1850 Camino Rainbow Fallbrook, CA 92028 Address 1635 Faraday Avenue Phone 858-775-3607 Carlsbad, CA 92008 Email mdstutz@gmail.com Phone 442-33-5329 Each party will notify the other immediately of any changes of address that would require any notice or delivery to be directed to another address. 15. CONFLICT OF INTEREST Contractor shall file a Conflict of Interest Statement with the City Clerk in accordance with the requirements of the City of Carlsbad Conflict of Interest Code. The Contractor shall report investments or interests as required in the City of Carlsbad Conflict of Interest Code. Yes ☐ No ☒ 16. GENERAL COMPLIANCE WITH LAWS Contractor will keep fully informed of federal, state and local laws and ordinances and regulations which in any manner affect those employed by Contractor, or in any way affect the performance of the Services by Contractor. Contractor will at all times observe and comply with these laws, ordinances, and regulations and will be responsible for the compliance of Contractor's services with all applicable laws, ordinances and regulations. Contractor will be aware of the requirements of the Immigration Reform and Control Act of 1986 and will comply with those requirements, including, but not limited to, verifying the eligibility for employment of all agents, employees, subcontractors and consultants whose services are required by this Agreement. 17. CALIFORNIA AIR RESOURCES BOARD (CARB) ADVANCED CLEAN FLEETS REGULATIONS Contractor’s vehicles with a gross vehicle weight rating greater than 8,500 lbs. and light-duty package delivery vehicles operated in California may be subject to the California Air Resources Board (CARB) Advanced Clean Fleets regulations. Such vehicles may therefore be subject to requirements to reduce Docusign Envelope ID: 30A1310F-EBA6-431A-8886-3EC61C6CC21D MSA26-3912FAC City Attorney Approved Version 6/30/2025 Page 7 emissions of air pollutants. For more information, please visit the CARB Advanced Clean Fleets webpage at https://ww2.arb.ca.gov/our-work/programs/advanced-clean-fleets. 18. DISCRIMINATION, HARASSMENT, AND RETALIATION PROHIBITED Contractor will comply with all applicable local, state and federal laws and regulations prohibiting discrimination, harassment, and retaliation. 19. DISPUTE RESOLUTION If a dispute should arise regarding the performance of the Services the following procedure will be used to resolve any questions of fact or interpretation not otherwise settled by agreement between the parties. Representatives of Contractor or City will reduce such questions, and their respective views, to writing. A copy of such documented dispute will be forwarded to both parties involved along with recommended methods of resolution, which would be of benefit to both parties. The representative receiving the letter will reply to the letter along with a recommended method of resolution within ten (10) business days. If the resolution thus obtained is unsatisfactory to the aggrieved party, a letter outlining the disputes will be forwarded to the City Manager. The City Manager will consider the facts and solutions recommended by each party and may then opt to direct a solution to the problem. In such cases, the action of the City Manager will be binding upon the parties involved, although nothing in this procedure will prohibit the parties from seeking remedies available to them at law. 20. TERMINATION In the event of the Contractor's failure to prosecute, deliver, or perform the Services, City may terminate this Agreement for nonperformance by notifying Contractor by certified mail of the termination. If City decides to abandon or indefinitely postpone the work or services contemplated by this Agreement, City may terminate this Agreement upon written notice to Contractor. Upon notification of termination, Contractor has five (5) business days to deliver any documents owned by City and all work in progress to City address contained in this Agreement. City will make a determination of fact based upon the work product delivered to City and of the percentage of work that Contractor has performed which is usable and of worth to City in having the Agreement completed. Based upon that finding City will determine the final payment of the Agreement. City may terminate this Agreement by tendering thirty (30) days written notice to Contractor. Contractor may terminate this Agreement by tendering thirty (30) days written notice to City. In the event of termination of this Agreement by either party and upon request of City, Contractor will assemble the work product and put it in order for proper filing and closing and deliver it to City. Contractor will be paid for work performed to the termination date; however, the total will not exceed the lump sum fee payable under this Agreement. City will make the final determination as to the portions of tasks completed and the compensation to be made. 21. COVENANTS AGAINST CONTINGENT FEES Contractor warrants that Contractor has not employed or retained any company or person, other than a bona fide employee working for Contractor, to solicit or secure this Agreement, and that Contractor has not paid or agreed to pay any company or person, other than a bona fide employee, any fee, commission, percentage, brokerage fee, gift, or any other consideration contingent upon, or resulting from, the award or making of this Agreement. For breach or violation of this warranty, City will have the right to annul this Agreement without liability, or, in its discretion, to deduct from the Agreement price or consideration, or otherwise recover, the full amount of the fee, commission, percentage, brokerage fees, gift, or contingent fee. Docusign Envelope ID: 30A1310F-EBA6-431A-8886-3EC61C6CC21D MSA26-3912FAC City Attorney Approved Version 6/30/2025 Page 8 22. CLAIMS AND LAWSUITS By signing this Agreement, Contractor agrees that any Agreement claim submitted to City must be asserted as part of the Agreement process as set forth in this Agreement and not in anticipation of litigation or in conjunction with litigation. Contractor acknowledges that if a false claim is submitted to City, it may be considered fraud and Contractor may be subject to criminal prosecution. Contractor acknowledges that California Government Code sections 12650 et seq., the False Claims Act applies to this Agreement and, provides for civil penalties where a person knowingly submits a false claim to a public entity. These provisions include false claims made with deliberate ignorance of the false information or in reckless disregard of the truth or falsity of information. If City seeks to recover penalties pursuant to the False Claims Act, it is entitled to recover its litigation costs, including attorneys fees. Contractor acknowledges that the filing of a false claim may subject Contractor to an administrative debarment proceeding as the result of which Contractor may be prevented to act as a Contractor on any public work or improvement for a period of up to five (5) years. Contractor acknowledges debarment by another jurisdiction is grounds for City to terminate this Agreement. 23. JURISDICTIONS AND VENUE This Agreement shall be interpreted in accordance with the laws of the State of California without regard to, or application of choice of law principles. Contractor agrees and stipulates that the proper venue and jurisdiction for resolution of any disputes between the parties arising out of this Agreement is the State Superior Court, San Diego County, California. 24. NO ATTORNEYS FEES AND COSTS. Except as otherwise specifically provided in this Agreement, if there is any litigation, mediation, arbitration or other dispute resolution proceedings arising out of this Agreement, each Party shall for its own attorney and other professional fees, costs and expenses. 25. INTENTIONALLY OMITTED 26. SUCCESSORS AND ASSIGNS It is mutually understood and agreed that this Agreement will be binding upon City and Contractor and their respective successors. Neither this Agreement nor any part of it nor any monies due or to become due under it may be assigned by Contractor without the prior consent of City, which shall not be unreasonably withheld. 27. THIRD PARTY RIGHTS Nothing in this Agreement should be construed to give any rights or benefits to any party other than the City and Contractor. 28. AUTHORITY The individuals executing this Agreement and the instruments referenced in it on behalf of Contractor each represent and warrant that they have the legal power, right and actual authority to bind Contractor to the terms and conditions of this Agreement. IN WITNESS WHEREOF, the Parties have executed this Agreement on the date first written above. Docusign Envelope ID: 30A1310F-EBA6-431A-8886-3EC61C6CC21D MSA26-3912FAC City Attorney Approved Version 6/30/2025 Page 9 CONTRACTOR CITY OF CARLSBAD, a municipal corporation of the State of California PLEASANT LINE CORPORATION, a California corporation By: By: (sign here) Paz Gomez, Deputy City Manager Public Works, as authorized by the City Manager Michael David Stutz, President & Chief Financial Officer ATTEST: By: SHERRY FREISINGER, City Clerk (sign here) By: Assistant City Clerk If required by City, proper notarial acknowledgment of execution by contractor must be attached. If a corporation, Agreement must be signed by one corporate officer from each of the following two groups. Group A Group B Chairman, Secretary, President, or Assistant Secretary, Vice-President CFO or Assistant Treasurer Otherwise, the corporation must attach a resolution certified by the secretary or assistant secretary under corporate seal empowering the officer(s) signing to bind the corporation. APPROVED AS TO FORM: CINDIE K. McMAHON, City Attorney By: _____________________________ Assistant City Attorney Docusign Envelope ID: 30A1310F-EBA6-431A-8886-3EC61C6CC21D MICHAEL STUTZ MSA26-3912FAC City Attorney Approved Version 6/30/2025 Page 10 EXHIBIT A SCOPE OF SERVICES AND FEE Michael Stutz of Pleasant Line Corporation designed, manufactured and installed two bronze sculptures located at the Carlsbad Safety Training Center, 5750 Orion Street, Carlsbad, California 92010. The bronze sculptures are displayed outdoors and require annual preventative maintenance to mitigate corrosion from a condition called red bronze disease. The following tasks describe the annual preventative maintenance services that will be performed onsite: • The area around the sculptures will be taped off and closed to pedestrian traffic. Preventative maintenance services will be scheduled with the city project manager to ensure no training or facilities are impacted. • The City will coordinate pressure washing services. Both sculptures will be cleaned using heated fresh water and a bio-degradable citrus cleaner. This cleaning will occur while Michael Stutz is onsite to ensure all areas inside and outside the sculptures are cleaned. The pressure washing crew will ensure minimum run-off of water occurs and will use site specific best management practices to ensure water does not enter the storm water confluence. The City will provide access to water and electricity. • Sculptures will be allowed to dry after cleaning. Areas around the sculptures will be masked off using ground cloths to prevent any debris, wax or polishing compounds from making contact with the memorial bricks surrounding the sculptures. • Red bronze disease spots will be removed using a mild scotch pad where possible. • Stainless sections of the sculptures will be cleaned and polished in areas where bronze leeching has occurred. • The woven bronze materials will be sealed internally and externally with a sculpture wax protectant specifically formulated for use on bronze artwork. The wax pigment will have the same color pigment to reemphasize the original patina colors of the bronze. The wax requires five (5) hours to dry at which time the enhanced sheen and protective coating of the bronze will reappear. • Contractor will provide supplies including citrus based metal cleaner, metal wax, polishing cloths, stainless steel polishing pads, wax brushes, sponges and drop cloths. ITEM NO. QTY. DESCRIPTION UNIT PRICE Year 1 1 2025 Annual Preventative Maintenance LS $3,115 Year 2 1 2026 Annual Preventative Maintenance LS $3,115 Year 3 1 2027 Annual Preventative Maintenance LS $3,115 Year 4 1 2028 Annual Preventative Maintenance LS $3,115 TOTAL $12,460 Docusign Envelope ID: 30A1310F-EBA6-431A-8886-3EC61C6CC21D Docusign Envelope ID: 30A1310F-EBA6-431A-8886-3EC61C6CC21D THE~ HARTFORD THE HARTFORD BUSINESS SERVICE CENTER 3600 WISEMAN BLVD SAN ANTONIO TX 78251 City of Carlsbad/CMWD c/o EXIGIS Insurance Compliance Service P.O. Box 4668 -ECM #35050 New York NY 10163 Account Information: I Policy Holder Details: I PLEASANT LINE CORPORATION August24,2025 D Contact Us Need Help? Chat online or call us at (866) 467-8730. We're here Monday -Friday. Enclosed please find a Certificate Of Insurance for the above referenced Policyholder. Please contact us if you have any questions or concerns. Sincerely, Your Hartford Service Team WLTR00S Docusign Envelope ID: 30A1310F-EBA6-431A-8886-3EC61C6CC21D ~ 'ii! CERTIFICATE OF LIABILITY INSURANCE DATE (MM/DD/YYYY) A C>R. 08/24/2025 ,i.. - 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 be endorsed. If SUBROGATIONIS 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). PRODUCER CONTACT KRAFT LAKE INS AGENCY INC/PHS NAME: PHONE (866) 467-8730 I FAX 81152026 (A/C, No, Ext): (A/C, No): The Hartford Business Service Center 3600 Wiseman Blvd E-MAIL San Antonio, TX 78251 ADDRESS: INSURER(S) AFFORDING COVERAGE NAIC# INSURED INSURERA: Hartford Underwriters Insurance Company 30104 PLEASANT LINE CORPORATION INSURERB: 1850 CAMINO RAINBOW FALLBROOK CA 92028-9648 INSURERC: INSURERD: INSURERE: INSURER F: COVERAGES CERTIFICATE NUMBER: REVISION NUMBER: THIS IS TO CERTIFY THAT THE POLICIES OF INSURANCE LISTED BELOW HAVE BEEN ISSUED TO THE INSURED NAMED ABOVE FOR THE POLICY PERIOD INDICATED.NOTWITHSTANDING ANY REQUIREMENT, TERM OR CONDITION OF ANY CONTRACT OR OTHER DOCUMENT WITH RESPECT TO WHICH THIS CERTIFICATE MAY BE ISSUED OR MAY PERTAIN, THE INSURANCE AFFORDED BY THE POLICIES DESCRIBED HEREIN IS SUBJECT TO ALL THE TERMS, EXCLUSIONS AND CONDITIONS OF SUCH POLICIES. LIMITS SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS. INSR TYPE OF INSURANCE ADDL SUBR POLICY NUMBER POLICYEFF POLICY EXP LIMITS LTR INSR WVD (MM/DD/YYYYl (MM/DDN YYY\ COMMERCIAL GENERAL LIABILITY EACH OCCURRENCE $2,000,000 -□CLAIMS-MADE 0 OCCUR DAMAGE TO RENTED $1,000,000 -PREMISES fEa occurrence\ X General Liability MED EXP (Any one person) $10,000 A X 81 SBA BN1 PVJ 07/26/2025 07/26/2026 PERSONAL & ADV INJURY $2,000,000 GEN'L AGGREGATE LIMIT APPLIES PER: GENERAL AGGREGATE $4,000,000 Fl POLICY □ PRO-□LOC PRODUCTS -COMP/OP AGG $4,000,000 JECT OTHER: AUTOMOBILE LIABILITY COMBINED SINGLE LIMIT $2,000,000 -fEa accident\ ANY AUTO BODILY INJURY (Per person) --ALL OWNED SCHEDULED A AUTOS AUTOS 81 SBA BN1 PVJ 07/26/2025 07/26/2026 BODILY INJURY (Per accident) -HIRED -NON-OWNED PROPERTY DAMAGE X AUTOS X AUTOS (Per accident) -- UMBRELLA LIAB H OCCUR EACH OCCURRENCE -CLAIMS-EXCESS LIAB AGGREGATE MADE DEDI I RETENTION $ WORKERS COMPENSATION IPER I IOTH- AND EMPLOYERS' LIABILITY STATUTE ER ANY Y/N E.L. EACH ACCIDENT PROPRIETOR/PARTNER/EXECUTIVE L N/A OFFICER/MEMBER EXCLUDED? E.L. DISEASE -EA EMPLOYEE (Mandatory in NH) If yes, describe under E.L. DISEASE -POLICY LIMIT DESCRIPTION OF OPERATIONS below DESCRIPTION OF OPERATIONS I LOCATIONS I VEHICLES (ACORD 101, Additional Remarks Schedule, may be attached if more space is required) Those usual to the lnsured's Operations. The Business Liability Coverage Part includes a Blanket Additional Insured By Contract Endorsement, Form SL 30 32. Notice of Cancellation will be provided in accordance with Form SL9013 attached to this policy. CERTIFICATE HOLDER CANCELLATION City of Carlsbad/CMWD SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED c/o EXIGIS Insurance Compliance Service BEFORE THE EXPIRATION DATE THEREOF, NOTICE WILL BE DELIVERED P.O. Box 4668 -ECM #35050 IN ACCORDANCE WITH THE POLICY PROVISIONS. New York NY 10163 AUTHORIZED REPRESENTATIVE a Ue}ZU) or. ct:?LI~ © 1988-2015 ACORD CORPORATION. All rights reserved. ACORD 25 (2016/03) The ACORD name and logo are registered marks of ACORD Docusign Envelope ID: 30A1310F-EBA6-431A-8886-3EC61C6CC21D Declarations: Business Owner's Policy Policy Number: 81 SBA BN1PVJ Policy Period: 07/26/2025 to 07/26/2026, 12:01 a.m., Standard time at your mailing address shown here. Exception: 12 noon in New Hampshire. Insurer: Hartford Underwriters Insurance Company, a property and casualty company of The Hartford. One Hartford Plaza, Hartford, CT 06155 Named Insured and Mailing Address: PLEASANT LINE CORPORATION 1850 CAMINO RAINBOW FALLBROOK, CA 92028 Type of Business: Art Studio Including Art Lessons Name of Agency/Broker: KRAFT LAKE INS AGENCY INC/PHS 5665 N KRAFT LAKE DRIVE 3115 CALEDONIA, Ml 49316 Code:81152026 Previous Policy Number: 81 SBA AC6333 Organization Type: Corporation Audit Period: Non-Auditable Insurance Provided: In return for the payment of the premium and subject to all of the terms of this policy, we agree with you to provide insurance as stated in this policy. TOTAL PREMIUM: $3,368* "Total Premium includes the premium for all Coverage Parts issued to you in this policy, as well as any companion policies delivered with this policy. Total Premium includes any applicable fees and surcharges. Total Premium may change based on coverage changes made through endorsement or if your policy is subject to Premium Audit. Countersigned by: 6 ~ £ Cao~ 05/08/2025 Authorized Representative Date A Business Owner's Policy typically covers property and business liability risks. Generally, Property insurance pays you if a covered cause of loss damages property that you own, rent or lease. Business liability insurance pays in certain cases where something you do or something you own causes injury or damage to someone else, or someone else's property. Please see the coverages and limits described in your Declarations for details regarding the insurance you purchased. This Spectrum® Business Owner's Policy consists of the Declarations, Coverage Forms, Coverage Parts, Common Policy Conditions and any other Forms and endorsements issued to be a part of the Policy. The Hartford® is Hartford Fire Insurance Company and its affiliated property and casualty insurance companies. Form: SC 00 01 10 18 Docusign Envelope ID: 30A1310F-EBA6-431A-8886-3EC61C6CC21D THEl HARTFORD Declarations: Business Owner's Policy Glossary of Terms* TERM I DEFINITION Audit Period Your Policy period, which may be auditable or non-auditable. If your Policy is auditable, we will examine your business records to determine actual exposures for final premium calculation. Base Coverage Form Each Coverage Part has a form that explains, generally, what is and is not covered. This is the first building block of the Coverage Part. All other forms directly or indirectly modify the Base Coverage Form and are attached to it. Coverage Part A section of the Policy for a particular coverage. Unless otherwise stated in a specific Coverage Part, a Coverage Part consists of a Declarations page, a Base Coverage Form, all forms that modify the Base Coverage Form, and other forms applicable to the Coverage Part or the entire Policy. Declarations The part of the insurance contract that specifies the named insured, address, policy period, covered locations, limits of insurance and other key information such as forms applicable to the Coverage Part. Policy A contract between you and us to provide you with certain insurance coverages. Your Spectrum Business Owner's Policy consists of all Coverage Parts and forms common to some or all Coverage Parts. STRETCH® PLUS A unique feature of The Hartford's policy is an optional enhancement to the policy which increases the limit of insurance for several coverages and adds new coverages to the policy. STRETCH® PLUS Blanket Limit Provides a single limit of insurance that applies to more than one Coverage. Coverages subject to the STRETCH® Blanket Limit may also have additional limits of insurance which would apply in addition to the STRETCH® Blanket Limit. *The terms and definitions contained in the Glossary of Terms are provided to help you better understand your Business Owners Policy and how it is constructed. These terms and definitions are not definitions that apply to any Coverage Part or Policy you have purchased and should not be construed as such. Please refer to the applicable provisions in your coverage parts or policies for complete details of the defined terms, including but not limited to the applicable Definitions section of such Coverage Part or Policy. Form: SC 00 01 10 18 2 Docusign Envelope ID: 30A1310F-EBA6-431A-8886-3EC61C6CC21D Declarations: Locations and Location-Based Coverages Here's how your Business Owner's insurance coverage and limits apply to your business locations (LOC). If you have more than one location or building (BLDG), we break out your coverage and limits separately for each LOC. LOC 1, BLDG 1 Class: Art Studio Including Art Lessons Location: 1850 CAMINO RAINBOW FALLBROOK,CA 92028-9648 Construction Type: Frame Year Built: 1994 Property Deductible: $1,000 Covered Property (Form Number SP 00 00 10 18) Business Personal Property, includes: • Tenant's Improvements and Betterments • Personal Property of Others Business Personal Property (BPP) -Business Personal Property Limit -Additional Seasonal Increase % Building LOC 2, BLDG 1 Class: Art Studio Including Art Lessons Location: 300 E ALVARADO ST FALLBROOK,CA 92028-2911 Construction Type: Fire Resistive Year Built: 2000 Property Deductible: $1,000 Covered Property (Form Number SP 00 00 10 18) Business Personal Property, includes: • Tenant's Improvements and Betterments • Personal Property of Others Business Personal Property (BPP) -Business Personal Property Limit -Additional Seasonal Increase % Building Form: SC 00 01 10 18 Valuation Business Personal Property (BPP): Replacement Cost $70,950 25% -Included $0 Valuation Business Personal Property (BPP): Replacement Cost $83,490 25% -Included $0 3 Docusign Envelope ID: 30A1310F-EBA6-431A-8886-3EC61C6CC21D Ull .LIU• Declarations: Property Coverage Part The coverages listed below apply to the location(s) for which you purchased property coverage. The limits in the right-hand column show the maximum amount we'll pay. Read the entire Coverage Part to determine your rights, duties and what is and is not covered under the coverages listed below. STRETCH® PLUS Blanket Limit: $150,000 FORM NUMBER FORM NAME LIMIT OF INSURANCE SP30231018 ACCOUNTS RECEIVABLE Included in STRETCH® PLUS Blanket Limit SP 30 18 10 18 ARSON AND THEFT REWARD $10,000 SP30571018 BACK-UP OF SEWERS AND DRAINS COVERAGE lncluded2 SP30311018 BRANDS AND LABELS lncluded2 SP30591018 BUILDING PROPERTY OF OTHERS $25,000 SP 31 02 10 18 BUSINESS INCOME AND EXTRA EXPENSE FOR SCHOOLS Extended Business Income 90 days Limit Actual Loss Sustained Period of Restoration 12 months Waiting Period None SP 30 19 10 18 BUSINESS INCOME FOR CIVIL AUTHORITY ORDERS Duration of Coverage 30 days Waiting Period None SP30401018 BUSINESS INCOME FOR OFF-PREMISES UTILITY SERVICES Limit $50,000 Waiting Period 12 hours SP 30 14 10 18 BUSINESS INCOME FROM DEPENDENT PROPERTIES Limit $50,000 Period of Restoration 12 months Waiting Period None SP 30451018 BUSINESS INCOME FROM OFF-PREMISES OPERATIONS Extended Business Income 90 days Limit $50,000 Waiting Period None SP30471018 BUSINESS INCOME FROM WEBSITES Limit $25,000 Max Period of Restoration 7 days Waiting Period 12 hours SP30321018 CLAIM EXPENSE $25,000 SP30001018 COLLAPSE lncluded2 SP30601018 COMPUTERS WORLDWIDE Included in STRETCH® PLUS Blanket Limit Form: SC 00 01 10 18 4 Docusign Envelope ID: 30A1310F-EBA6-431A-8886-3EC61C6CC21D Ull .LIU• CONTINUED FORM NUMBER SP30371018 SP30011018 SP30291018 SP30421018 SP30021018 SP30381018 SP30551018 SP30031018 SP30041018 SP 30 16 12 19 SP30461018 SP30051018 SP30061018 SP30221018 SP30781018 SP30301018 Form: SC 00 01 10 18 Declarations: Property Coverage Part FORM NAME LIMIT OF INSURANCE CONTRACT PENAL TIES $5,000 DEBRIS REMOVAL Included in STRETCH® PLUS Blanket Limit Limit 25% of amount paid for covered loss ELECTRONIC DATA Policy Year Limit $75,000 EMPLOYEE DISHONESTY COVERAGE -EXCLUDES $25,000 ERISA COMPLIANCE EQUIPMENT BREAKDOWN lncluded2 Deductible Property Deductible Defense Included Expediting Expenses $50,000 Hazardous Substances $50,000 Supplementary Payments Included EXPEDITING EXPENSES $25,000 FINE ARTS COVERAGE $25,000 FIRE DEPARTMENT SERVICE CHARGE Included in STRETCH® PLUS Blanket Limit FIRE EXTINGUISHER RECHARGE lncluded2 FORGERY COVERAGE (INCLUDING CREDIT CARDS, $50,000 CURRENCY AND MONEY ORDERS) FRAUDULENT TRANSFER COVERAGE $25,000 GARAGES, STORAGE BUILDINGS, AND OTHER $50,000 APPURTENANT STRUCTURES GLASS EXPENSE lncluded2 IDENTITY RECOVERY FOR BUSNESSOWNERS AND EMPLOYEES Deductible $250 Limit $15,000 Lost Wages and Child and Elder Care Expense $250 per day, $5,000 per policy year Mental Health Sublimit $1,500 INSTALLATION COVERAGE Deductible $1,000 Limit (Per Occurrence) $1,000,000 Limit (Per Site) $100,000 Soft Cost Limit $5,000 Soft Cost Waiting Period 5 days INTERRUPTION OF COMPUTER OPERATIONS 5 Docusign Envelope ID: 30A1310F-EBA6-431A-8886-3EC61C6CC21D Ull .LIU• CONTINUED FORM NUMBER SP30071018 SP30541018 SP 30 17 10 18 SP30081018 SP 30 36 03 20 SP30281018 SP 30 24 12 21 SP30391018 SP30501018 SP30111219 SP 30 25 12 21 SP 31 35 10 18 SP30331018 SP30531018 SP30091018 SP30201018 SP 30 10 10 18 SP30261018 SP30341018 SP30511018 Form: SC 00 01 10 18 Declarations: Property Coverage Part FORM NAME LIMIT OF INSURANCE Period of Restoration 12 months Policy Year Limit $50,000 Waiting Period 12 hours LEASE ASSESSMENT $2,500 LEASEHOLD IMPROVEMENTS $25,000 LIMITED FUNGI, BACTERIA OR VIRUS COVERAGE Limit $50,000 Period of Restoration 30 days LOCK AND KEY REPLACEMENT $1,000 LOST KEYS $2,500 MONEY AND SECURITIES COVERAGE Inside the Premises Limit $10,000 Outside the Premises Limit $5,000 NEWLY ACQUIRED OR CONSTRUCTED PROPERTY Newly Acquired or Constructed Bl/EE Limit $500,000 Newly Acquired or Constructed BPP Limit $750,000 NON-OWNED DETACHED TRAILERS Included in STRETCH® PLUS Blanket Limit OFF-PREMISES UTILITY SERVICES -DIRECT DAMAGE $25,000 ORDINANCE OR LAW COVERAGE Increased Cost of Construction & Demolition $25,000 Costs Limit Undamaged Part Limit $25,000 OUTDOOR PROPERTY $50,000 OUTDOOR SIGNS ON PREMISES $25,000 PAIRS OR SETS lncluded2 PAVED SURFACES $25,000 PERSONAL EFFECTS Included in STRETCH® PLUS Blanket Limit POLLUTANTS AND CONTAMINANTS CLEAN UP AND $15,000 REMOVAL PRESERVATION OF PROPERTY 45 days PROPERTY OFF-PREMISES $50,000 SALESPERSONS SAMPLES $5,000 SPOILAGE Included in STRETCH® PLUS Blanket Limit Business Income Limit $25,000 Waiting Period 12 hours 6 Docusign Envelope ID: 30A1310F-EBA6-431A-8886-3EC61C6CC21D Ull .LIU• CONTINUED FORM NUMBER SP30491018 SP30441018 SP30611018 SP30481018 SP30521018 SP 30 12 10 18 SP30351018 SP30271018 SP30431018 Declarations: Property Coverage Part FORM NAME LIMIT OF INSURANCE SUMP OVERFLOW OR SUMP PUMP FAILURE $25,000 THEFT DAMAGE TO BUILDING lncluded2 TRANSIT BUSINESS INCOME Limit $25,000 Period of Restoration 12 months Wailing Period None TRANSIT COVERAGE $25,000 UNAUTHORIZED BUSINESS CARD USE $5,000 VALUABLE PAPERS AND RECORDS Included in STRETCH® PLUS Blanket Limit VALUATION CHANGES: COMMODITY, FINISHED AND Included within Covered Property Limit MERCANTILE STOCK (Building and/or BPP) WATER DAMAGE, OTHER LIQUID, POWDER OR lncluded2 MOL TEN MATERIAL DAMAGE WELFARE AND PENSION PLAN ERISA COMPLIANCE COVERAGE Annual Sales $350,000 Deductible No Deductible Applies Limit $25,000 Number of Employees (including owner) 2 Plan Name 21ncluded within Covered Property Limit(s) (Building and/or Business Personal Property) Form Number SP 01 04 10 18 SP 90 16 06 24 SP 20 08 10 18 SP 00 00 10 18 Form Name CALIFORNIA CHANGES -SPECIAL PROPERTY COVERAGE FORM IMPORTANT NOTICE TO POLICYHOLDERS WITH A CALIFORNIA LOCATION -WILDFIRE MITIGATION PREMIUM CREDIT PERILS SPECIFICALLY EXCEPTED SPECIAL PROPERTY COVERAGE FORM PROPERTY COVERAGE PREMIUM: $2,643* * Price is subject to fees and surcharges. For more details, refer to Page 11 Form: SC 00 01 10 18 7 Docusign Envelope ID: 30A1310F-EBA6-431A-8886-3EC61C6CC21D Declarations: Business Liability Coverage Part Your policy includes the liability coverages listed below. The limits in the right-hand column show the maximum amount we'll pay. FORM NUMBER FORM NAME LIMIT OF INSURANCE SL 00 00 10 18 BUSINESS LIABILITY COVERAGE FORM Damage To Premises Rented To You Limit $1,000,000 General Aggregate Limit $4,000,000 Liability and Medical Expenses Limit $2,000,000 Medical Expenses Limit $10,000 Personal and Advertising Injury Limit $2,000,000 Products-Completed Operations Aggregate Limit $4,000,000 Property Damage Liability Deductible No Deductible ADDITIONAL BUSINESS LIABILITY COVERAGES SL 30 42 10 18 ADDITIONAL INSURED -DESIGNATED PERSON OR ORGANIZATION SL 30 45 10 18 ADDITIONAL INSURED -LESSOR OF LEASED EQUIPMENT SL 30 36 10 18 ADDITIONAL INSURED -OWNERS, LESSEES OR CONTRACTORS -COMPLETED OPERATIONS SL 30 24 10 18 ADDITIONAL INSURED -OWNERS, LESSEES OR CONTRACTORS -ONGOING OPERATION - SCHEDULED PERSON OR ORGANIZATION SL 30 32 06 21 BLANKET ADDITIONAL INSURED BY CONTRACT lncluded1 SL 30 26 10 18 HIRED AUTO AND NON-OWNED AUTO LIABILITY lncluded1 'Included in Business Liability Limit(s) Additional Insured Name Form Number Form Name and Address Location SL30451018 ADDITIONAL INSURED -LESSOR PENSKE TRUCK LEASING CO, LP N/A OF LEASED EQUIPMENT ROUTE 10 GREEN HILLS PO BOX 563, READING, PA 19603 SL30361018 ADDITIONAL INSURED -OWNERS, CITY OF CARLSBAD/CMWD LOC 001 BLDG 001 LESSEES OR CONTRACTORS -PO BOX 947, MURRIETA, CA 92564 COMPLETED OPERATIONS SL30421018 ADDITIONAL INSURED -CITY OF CARLSBAD N/A DESIGNATED PERSON OR 1200 CARLSBAD VILLAGE DR, ORGANIZATION MURRIETA, CA 92564 CITY OF CARLSBAD/CMWD C/O N/A EXIGIS INSURANCE COMPLIANCE SERVICE PO BOX 947, MURRIETA, CA 92564 Form: SC 00 01 10 18 8 Docusign Envelope ID: 30A1310F-EBA6-431A-8886-3EC61C6CC21D CONTINUED Form Number SL 30 24 10 18 Form Number SL 20 06 10 18 SL20781018 SL 21 00 10 18 SL 90 13 10 18 Declarations: Business Liability Coverage Part Form Name Additional Insured Name and Address THE CITY OF SACRAMENTO, ITS OFFICIALS, AND EMPLOYEES 1030 15TH ST STE 240, SACRAMENTO, CA 95814 Location N/A ADDITIONAL INSURED -OWNERS, LESSEES OR CONTRACTORS - ONGOING OPERATION - SCHEDULED PERSON OR ORGANIZATION CITY OF CARLSBAD/CMWD LOC 001 BLDG 001 PO BOX 947, MURRIETA, CA 92564 Form Name EXCLUSION -NUCLEAR ENERGY LIABILITY EXCLUSION -SILICA-BUSINESS LIABILITY COVERAGE FORM PERSONAL AND ADVERTISING INJURY EXCLUSION -COPYRIGHT MATERIAL NOTICE OF CANCELLATION TO CERTIFICATE HOLDER(S) BUSINESS LIABILITY COVERAGE PREMIUM: $41 Q* * Price is subject to fees and surcharges. For more details, refer to Page 11 Form: SC 00 01 10 18 9