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AVI Systems Inc; 2018-08-16;
CITY OF CARLSBAD MINOR PUBLIC WORKS CONTRACT GOWLAND MEETING ROOM AUDIO VISUAL UPGRADE This agreement is made on the /&t\,.., day of A~\A~ '¾" , 20J!, by the City of Carlsbad, California, a municipal corporation, (hereinaft called "City"), and AVI Systems, Inc., whose principal place of business is 7270 Trade Street, Suite 102, San Diego, CA 92121-2384 (hereinafter called "Contractor"). City and Contractor agree as follows: DESCRIPTION OF WORK. Contractor shall perform all work specified in the Contract documents for the project described by these Contract Documents (hereinafter called "Project"). PROVISIONS OF LABOR AND MATERIALS. Contractor shall provide all labor, materials, tools, equipment, and personnel to perform the work specified by the Contract Documents unless excepted elsewhere in this Contract. CONTRACT DOCUMENTS. The Contract Documents consist of this Contract, exhibits to this Contract, Contractor's Proposal, the Plans and Specifications, the General Provisions, addendum(s) to said Plans and Specifications, and all proper amendments and changes made thereto in accordance with this Contract or the Plans and Specifications, all of which are incorporated herein by this reference. When in conflict, this Contract will supersede terms and conditions in the Contractor's proposal. LABOR. Contractor will employ only skilled workers and abide by all State laws and City of Carlsbad Ordinances governing labor. GUARANTEE. Contractor guarantees all labor and materials furnished and agrees to complete the Project in accordance with directions and subject to inspection approval and acceptance by: Jessica Padilla Bowen (City Project Manager) WAGE RATES. 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 Sections 1770, 1773 and 1773.1 of the Labor Code. Pursuant to Section 1773.2 of the Labor Code, a current copy of the 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 workers employed by him or her in execution of the Contract. Contractor shall be responsible for insuring compliance with provisions of section 1777.5 of the Labor Code and section 4100 et seq. of the Public Contracts Code, "Subletting and Subcontracting Fair Practices Act." The City Engineer is the City's "duly authorized officer" for the purposes of section 4107 and 4107.5. The provisions of Part 7, Chapter 1, of the Labor Code commencing with section 1720 shall apply to the Contract for work. A contractor or subcontractor shall not be qualified to bid on, be listed in a bid proposal, subject to the requirements of Section 4104 of the Public Contract Code, or engage in the performance of any contract for public work, unless currently registered and qualified to perform public work pursuant to Section 1725.5. This project is subject to compliance monitoring and enforcement by the Department of Industrial Relations. 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. GOWLAND MEETING ROOM AV UPGRADE Page 1 of 12 City Attorney Approved 9/27/2016 Contractor acknowledges that California Government Code sections 12650 et seq., the False Claims Act, 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 the information. The provisions of Carlsbad Municipal Code sections 3.32.025, 3.32.026, 3.32.027 and 3.32.028 pertaining to false claims are incorporated herein by reference. Contractor hereby acknowledges that the filing of a false claim may subject the Contractor to an administrative debarment proceeding wherein the contractor may be prevented from further bidding on public contracts for a period of up to five years and that debarment by another jurisdiction is grounds for the City of Carlsbad to disqualify the Contractor or subcontractor from participating in contract bidding. Signature: ~ :::2:,~< Print Name: ~ .. ,o ~,,,+; "), A-.'I' f REQUIRED INSURANCE. The successful contractor shall provide to the City of Carlsbad, a Certification of Commercial General Liability and Property Damage Insurance and a Certificate of Workers' Compensation Insurance indicating coverage in a form approved by the California Insurance Commission. The certificates shall Indicate coverage during the period of the contract and must be furnished to the .City prior to the start of work. ~he minimum limits of liability insurance are to be placed with California admitted insurers that have a current Be_st'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. Commercial General Liability Insurance of Injuries including accidental death, to any one person in an amount not less than ........ $1,000,000 Subject to the same limit for each person on account of one accident in an amount not less than ....... $1,000,000 · Property damage insurance in an amount of not less than ........ $1,000,000 Automobile Liability Insurance in·the amount of $1,000,000 combined single limit per accident for bodily injury and property damage. In addition, the auto policy must cover any vehicle· used in the performance of the contract, used onsite or offsite, whether owned, non-owned or hired; and whether scheduled or non- scheduled. The automobile insurance certificate must state the coverage is for "any auto" and cannot be limited in any manner .. The above policies shall have non-cancellation clauses providing that thirty (30) days written notice shall be given to the City prior to such cancellation. The policies shall name the City of Carlsbad as an additional insured. The full limits available to the named insured shall also be available and applicable to the City as an additional insured. 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. BUSINESS LICENSE. The Contractor and all subcontractors are required to have and maintain a valid City of Carlsbad Business License for the duration of the contract. INDEMNITY. The Contractor shall assume the defense of, pay all expenses of defense, and indemnify and hold harmless the City, and its officers and employees, from all claims, loss, damage, injury and liability of every kind, nature and description, directly or indirectly arising from or in connection with the performance of the Contract or work; or from any failure or alleged failure of Contractor to comply with any applicable Page 2 of 10 City Attorney Approved 9/27/16 of the Contract or work; or from any failure or alleged failure of Contractor to comply with any applicable law, rules or regulations including those related to safety and health; and from any and all claims, loss, damages, injury and liability, howsoever the same may be caused, resulting directly or indirectly from the nature of the work covered by the Contract, except for loss or damage caused by the sole or active negligence or willful misconduct of the City. The expenses of defense include all costs and expenses including attorneys' fees for litigation, arbitration, or other dispute resolution method. JURISDICTION. The Contractor agrees and hereby stipulates that the proper venue and jurisdiction for resolution of any disputes between the parties arising out of this agreement is San Diego County, California. Start Work: Contractor agrees to start within ninety working days after receipt of Notice to Proceed. Completion: Contractor agrees to complete work within one hundred and eighty working days after receipt of Notice to Proceed. GOWLAND MEETING ROOM AV UPGRADE Page 3 of 12 City Attorney Approved 9/27/2016 CONTRACTOR'S INFORMATION. AVI Systems, Inc. (name of Contractor) 792548 (Contractor's license number) C!_ 2-/....ow lo 111r~c:.. (license class and exp. date) DIR#: 1000036874 DIR registration number 6/30/2019 (DIR registration exp. date) 7270 Trade Street, Suite 102 (street address) San Diego, CA 92121-2384 (city/state/zip) 858-653-4339 (telephone no.) 858-695-7844 (fax no.) Ryan.walsh@avisystemsinc.gov (e-mail address) 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. CONTRACTOR By: ''i(n -rd; , 'B o-1\ tb, (sign here) (print name/title) By: :D. ·-< ~. jL~ (sign here)'- ~" ,b ~~nB,~e/Btle) ~'1 f' CITY OF CARLSBAD, a municipal corporation of the State of California 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 Chairman, President, or Vice-President Group B Secretary, Assistant Secretary, 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: :~uA /WRtity Attorney Assistant City Attorney GOWLAND MEETING ROOM AV UPGRADE Page 4 of 12 City Attorney Approved 9/27/2016 EXHIBIT A LISTING OF SUBCONTRACTORS BY GENERAL CONTRACTOR Set forth below is the full name and location of the place of business of each sub-contractor whom the Contractor proposes to subcontract portions of the Project in excess of one-half of one percent of the total bid, and the portion of the Project which will be done by each sub-contractor for each subcontract. NOTE: The Contractor understands that if it fails to specify a sub-contractor for any portion of the Project to be performed under the contract in excess of one-half of one percent of the bid, the contractor shall be deemed to have agreed to perform such portion, and that the Contractor shall not be permitted to sublet or subcontract that portion of the work, except in cases of public emergency or necessity, and then only after a finding, reduced in writing as a public record of the Awarding Authority, setting forth the facts constituting the emergency or necessity in accordance with the provisions of the Subletting and Subcontracting Fair Practices Act (Section 4100 et seq. of the California Public Contract Code). If no subcontractors are to be employed on the project, enter the word "NONE." SUBCONTRACTORS Portion of Project to Business Name and Address DIR Registration License No., %of be Subcontracted No. Classification & Total Exoiration Date Contract NONE Total% Subcontracted: ___ {i"""---- 1 The Contractor must perform no less than fifty percent (50%) of the work with its own forces. GOWLAND MEETING ROOM AV UPGRADE Page 5 of 12 City Attorney Approved 9/27/2016 SERVICES TO BE PROVIDED INTEGRATION SERVICES INTEGRATION SCOPE OF WORK EXHIBIT B JOB QUOTATION Dated June 22, 2018 A. SUMMARY: The City of Carlsbad has asked AVI Systems to provide upgrades to their Gowland Meeting Room located at the Dove Library in Carlsbad. The upgrades will consist of an entirely new system for the room. B. SYSTEM DESCRIPTION: • Functionality Description: Existing 42ft x 24ft multipurpose room with 10ft ceilings. Existing equipment will be de- installed from the podium and provided to the city of Carlsbad. Customer has requested all equipment to be placed in room cabinets or wall mounted to eliminate the cable tether from the podium. AVI is no responsible to patch or fill any locations in the podium where equipment has been removed. • Displays: o Install (1) Epson Pro Lll00 6000 Lumen Laser Projector and (1) 123" Diagonal ceiling recessed projection screen. • Source Devices: o (1) HDMI/VGA Crestron DM-TX-200-C-2G Wall plate transmitter. o (1) Barco CSE-200 wireless presentation device which will be rack mounted. o (1) Samsung Blu-ray DVD player which will be rack mounted. o (1) Auditorium HDMI input so the room can be used for overflow purposes. This input will be provided over a Fiber/RF feed from the auditorium. Any additional equipment required to make this work will be reflected on a Change order. • Audio: o New Crestron AMP-2100-70 Amplifier and (1) Tannoy CVS 6 ceiling Speakers will be installed. New Speaker cabling will be installed as needed. o (2) Shure wireless combo microphones will be added to the system. Each combo has a dedicated Lava lier and dedicated Handheld Microphone. This will allow all 4 microphones to be used at the same time as each microphone will have a dedicated output channel. o (1) Shure SCM268 manual microphone mixer will provide the ability to mix all microphones into a single output. The output will then be connected to the Crestron DMPS3-4K-150 Room controller and will have a single point of volume control for the microphone input. Input volume knobs will be labelled with suggested default setting for each microphone input. • Switching and Control: o (1) Crestron DMPS3-4K-150 digital media switcher with integrated controller will be rack mounted and the center of the entire AV system. o (1) Crestron MP-BPl0-W wall mounted white button panel will be installed to control the system. There are 10 buttons and a volume knob on the button panel. These buttons will have Source Selection (Laptop, Blu- ray DVD, Wireless, Overflow), System Off, Mute, Microphone Volume (Up and Down), and Screen Controls (Up and Down). Source selection will automatically turn the projector on and drop the projection screen. System off will turn the projector off, reset audio volume levels to a default level, and bring the projection screen up. o Blu-ray DVD controls will be done using the front panel buttons of the DVD player or via the IR remote from the manufacturer. • Equipment Location: o Projector will be installed in the same location as best possible to prevent additional facilities work from being needed. o Projection screen will be installed in the same location as the existing screen but will require an electrician to connect the high voltage portion of the screen. o Equipment Rack location TBD. GOWLAND MEETING ROOM AV UPGRADE Page 6 of 12 City Attorney Approved 9/27/2016 C. EXCLUSIONS: The following work is not included in our Scope of Work: • All conduits, high voltage, wiring panels, breakers, relays, boxes, receptacles, etc. • Concrete saw cutting and/or core drilling • Fire wall, ceiling, roof and floor penetration • Necessary gypsum board replacement and/or repair • Necessary ceiling tile or T-bar modifications, replacements and/or repair • Structural support of equipment *AVI Systems not responsible for building related vibrations • All millwork (moldings, trim, cut outs, etc.) • Patching and Painting • Permits (unless specifically provided for and identified within the contract) • Unless otherwise stated the pricing in this agreement does not include prevailing wage or union labor • Unless specifically noted lifts and scaffolding are not included D. CONSTRUCTION CONSIDERATIONS: In order to accomplish the outlined goals of this project, the Customer will be responsible for contracting with an outside entity to make the necessary modifications to the space as directed by AVI Systems. The costs associated with these modifications are not included in this proposal. E. NOTICE: THIS SCOPE OF WORK IS DELIVERED ON THE BASIS OF THE FOLLOWING ASSUMPTIONS: • The room(s) match(es) the drawings provided • Site preparation by the Customer and their contractors includes electrical and data placement per AVI Systems specification. • Site preparation will be verified by AVI Systems project manager or representative before scheduling of the installation. All work areas should be clean and dust free prior to the beginning of on-site integration of electronic equipment. • Customer communication of readiness will be considered accurate and executable by AVI Systems project manager. • In the event of any arrival to site that AVI Systems is not able to execute work and definable progress, the Customer will be charged a $250.00 Mobilization Fee to offset the lost time due to the lack of readiness. The Mobilization Fee will be presented as a Contract Change Order and will/may halt work until acceptance by the Customer and rescheduling of the integration effort is agreed upon. • Rescheduling and redeployment of AVI Systems technicians due to unacceptable site preparation may cause scheduling delays of up to 10 business days. • There is ready access to the building/ facility and the room(s) for equipment and materials. • There is secure storage for equipment during a multi-day integration. • If Customer furnished equipment and existing cabling is to be used, AVI Systems assumes that these items are in good working condition at this time and will integrate into the designed solution. Any repair, replacement and/or configuration of these items that may be necessary will be made at an additional cost. • All Network configurations including IP addresses are to be provided, operational and functional before AVI Systems integration begins. AVI Systems will not be responsible for testing the LAN connections. • Cable or Satellite drops must be in place with converter boxes operational before the completion of integration. Any delay resulting in extra work caused by late arrival of these items will result in a change order for time and materials. • Document review/ feedback on drawings/ correspondence will be completed by the Customer within two business days (unless otherwise noted). • The documented Change Control process will be used to the maximum extent possible -the Customer will have an assigned person with the authority to communicate/approve project Field Directed Change Orders and Contract Change Orders (see Appendix). • In developing a comprehensive proposal for equipment and integration services AVI Systems' Sales Representatives and Engineering teams must make some assumptions regarding the physical construction of your facility, the availability of technical infrastructure and site conditions for installation. If any of the conditions we have indicated in the site survey form are incorrect or have changed for your particular project or project site, please let your Sales representative know as soon as possible. Conditions of the site found during integration effort which are different from those documented may have an effect on the price of the system solution, integration or services. To ensure that you have an accurate proposal based on your facility and specific to the conditions of your project, please review all project documentation carefully. GOWLAND MEETING ROOM AV UPGRADE Page 7 of 12 City Attorney Approved 9/27/2016 F. INTEGRATION PROJECT MANAGEMENT PROCESSES AVI Systems will follow a foundational project management process which may include the following actions/deliverables (based on the size/complexity/duration of the integration project): • Site Survey -performed prior to Retail Sales Agreement and attached • Project Welcome Notice -emailed upon receipt of Purchase Order • Project Kick-Off meeting with Customer Representative(s) -either by phone or in-person • Project Status reviews -informal or formal -either by phone or in-person (based on the size/complexity/duration of the project) • Project Change Control -comprised of Field Directed Change Order and/or Contract Change Order submittals (see Appendix) • Notice of Substantial Completion (see Appendix) -at Customer walk-through -prior to Service transition G. KNOWLEDGE TRANSFER (TRAINING) This is geared specifically towards the end-user/ operator. The purpose of this knowledge transfer is to provide operators with the necessary knowledge to confidently and comfortably operate all aspects of the integrated system. Areas covered include the following: • Equipment and system overview • Equipment operation and function • Equipment start up, stop, and shut down • Equipment automatic and manual operation • Discussion and documentation relating to control system operation • Discussion and documentation relating to system processor and its control applications • Powering up, powering down AV system via control system • Manual operation of display systems, audio system and all other related components • Use/operation of patch panels, when and where to be used • Who to call when help is required H. AVI SYSTEMS INTEGRATION SERVICES RESPONSIBILITIES AVI Systems will provide services/work for the project as described above in the Scope of Work or per the attached separate Scope of Work document detailing the scope of work to be performed. • Provide equipment, materials and service items per the contract products and services detail. • Provide systems equipment integration and supervisory responsibility of the equipment integration. • Provide systems configuration, checkout and testing. • Provide project timeline schedules. • Provide necessary information, as requested, to the owner or other parties involved with this project to ensure that proper AC electrical power and cableways and/or conduits are provided to properly integrate the equipment within the facilities. • Provide manufacturer supplied equipment documentation. • Provide final documentation and "as built" system drawings (CAD) -if purchased. • Provide system training following integration to the designated project leader or team. I. CUSTOMER INTEGRATION SERVICES RESPONSIBILITIES • Provide for the construction or modification of the facilities for soundproofing, lighting, electrical, HVAC, structural support of equipment, and decorating as appropriate. Includes installation of ceiling mounted projection screen. • Provide for the ordering, provisioning, installation, wiring and verification of any Data Network (LAN, WAN, Tl, ISDN, etc.) and Telephone Line (Analog or Digital) equipment and services prior to on-site integration. • Provide all necessary cableways and/or conduits required to facilitate AV systems wiring. • Provide all necessary conduit, wiring and devices for technical power to the AV systems equipment. • Provide reasonable accesses of AVI Systems personnel to the facilities during periods of integration, testing and training, including off hours and weekends. • Provide a secure area to house all integration materials and equipment. • Provide a project leader who will be available for consultation and meetings. • Provide timely review and approval of all documentation (Technical Reports, Drawings, Contracts, etc.). GOWLAND MEETING ROOM AV UPGRADE Page 8 of 12 City Attorney Approved 9/27/2016 PRODUCTS AND SERVICES DETAIL PRODUCTS: Model# Mfg Description ~ Price Extended Equipment V11 H735020 EPSON Pro L 11 00U Laser Projector $6,093.90 $6,093.90 20848LS DA-LITE ADVANTAGE TNSD 123D DM $2,641.46 $2,641.46 KITES003 CHIEF KITES003, RPMAU, CMS03, CMS440 $277.32 $277.32 DM-RMC-4K-100-C CRESTRON 4K DigitalMedia 8G+® Receiver & Room $548.78 $548.78 Controller 100 BD-J6300/ZA SAMSUNG 3D BLURAY PLAYER UPSCALE SMART $148.27 $148.27 HUB WL DOLBY DTS-HD WISE 1 HDMI R9861520NA BARCO ClickShare-200 Set NA, Incl Ba $1,395.95 $1,395.95 DM-TX-200-C-2G-W-T CRESTRON Wall Plate DigitalMedia BG+® Transmitter $853.66 $853.66 200, White Textured DMPS3-4K-150-C CRESTRON 3-Series® 4K DigitalMedia ™ Presentation $3,048.78 $3,048.78 System 150 MP-810-W CRESTRON Media Presentation Button Panel 810, White $274.39 $274.39 BLX1288/CVL SHURE BLX1288 COMBOW/CVL AND PG58 2 $492.38 $984.76 SCM268 SHURE MICROPHONE MIXER $243.29 $243.29 AMP-2100-70 CRESTRON Dual-Channel Modular Power Amplifier, $640.24 $640.24 100W/Ch., 70V CVS6 TANNOY 6" Coaxial Ceiling Spkr 10 $103.76 $1,037.60 PD-915R MIDDLE ATLANTI 9OUT,15A,RCKMNT POWER CEN $87.46 $87.46 PTRK-1426 MIDDLE ATLANTI PORTABLE RACK, 14SP,26"D $552.05 $552.05 U2V MIDDLE ATLANTI 2SP VENTED UTILITY SHELF 2 $45.76 $91.52 U1V MIDDLE ATLANTI 1SP VENTED UTILITY SHELF 2 $34.76 $69.52 D2 MIDDLE ATLANTI 2SP ANODIZED DRAWER 1 $122.22 $122.22 CBL-HD-1.5 CRESTRON Crestron® Certified HDMI® Interface Cable, 2 $19.51 $39.02 18 Gbps, 1 5 ft (0.45 m) CBL-HD-3 CRESTRON Crestron® Certified HDMI® Interface Cable, $24.39 $24.39 18 Gbps, 3 ft (0.91 m) CBL-HD-12 CRESTRON Crestron® Certified HDMI® Interface Cable, $42.68 $42.68 18 Gbps, 12 ft (3.6 m) CBL-VGA-AUD-12 CRESTRON Crestron® Certified Computer VGA Interface $36.59 $36.59 Cable w/Audio, 12 ft Sub-Total: Equipment $19,253.85 Integration Engineering & Drawings $1,500.00 Project Management $2,250.00 Programming $676.48 Cable Placement $468.00 In Shop Fabrication $563.00 On Site Integration $5,473.64 Integrations Cables & Connectors $441.00 Testing & Acceptance $676.48 Training $169.12 Sub-Total: Integration $12,217.72 Total: 131,471.57 PRODUCTS AND SERVICES SUMMARY GOWLAND MEETING ROOM AV UPGRADE Page 9 of 12 City Attorney Approved 9/27/2016 COMMENTS Equipment Integration Shipping & Handling Tax Grand Total GOWLAND MEETING ROOM AV UPGRADE Page 10 of 12 $19,253.85 $12,217.72 $579.98 $1,526.35 $33,577.90 City Attorney Approved 9/27/2016 EXHIBITC CA2245145 LABOR AND MATERIALS BOND WHEREAS, the City Council of the City of Carlsbad, State of California, has awarded to AVI Systems, Inc. (hereinafter designated as the "Principal"), a Contract for: GOWLAND MEETING ROOM AUDIO VISUAL UPGRADE in the City of Carlsbad, in strict conformity with the drawings and specifications, and other Contract Documents now on file in the Office of the City Clerk of the City of Carlsbad and all of which are incorporated herein by this reference. WHEREAS, Principal has executed or is about to execute said Contract and the terms thereof require the furnishing of a bond, providing that if Principal or any of its subcontractors shall fail to pay for any materials, provisions, provender or other supplies or teams used in, upon or about the performance of the work agreed to be done, or for any work or labor done thereon of any kind, the Surety on this bond will pay the same to the extent hereinafter set forth. NOW, THEREFORE, WE, AVI Systems, Inc., as Principal, (hereinafter designated as the "Contractor"), and Great American insurance Company as surety, are held firmly bound unto the City of Carlsbad in the sum of Thirty Three Thousand Five Hundred and Seventy Seven Dollars and Ninety Five Cents ($33,577.90), said sum being an amount equal to: One hundred percent (100%) of the total amount payable under the terms of the Contract by the City of Carlsbad, and for which payment well and truly to be made we bind ourselves, our heirs, executors and administrators, successors, or assigns, jointly and severally, firmly by these presents. THE CONDITION OF THIS OBLIGATION IS SUCH that if the Contractor or his/her subcontractors fail to pay for any materials, provisions, provender, supplies, or teams used in, upon, for, or about the performance of the work contracted to be done, or for any other work or labor thereon of any kind, consistent with California Civil Code section 9100, or for amounts due under the Unemployment Insurance Code with respect to the work or labor performed under this Contract, or for any amounts required to be deducted, withheld, and paid over to the Employment Development Department from the wages of employees of the contractor and subcontractors pursuant to section 13020 of the Unemployment Insurance Code with respect to the work and labor, that the Surety will pay for the same, and, also, in case suit is brought upon the bond, reasonable attorney's fees, to be fixed by the court consistent with California Civil Code section 9554. This bond shall inure to the benefit of any of the persons named in California Civil Code section 9100, so as to give a right of action to those persons or their assigns in any suit brought upon the bond. Surety stipulates and agrees that no change, extension of time, alteration or addition to the terms of the Contract, or to the work to be performed hereunder or the specifications accompanying the same shall affect its obligations on this bond, and it does hereby waive notice of any change, extension of time, alterations or addition to the terms of the contract or to the work or to the specifications. GOWLANO MEETING ROOM AV UPGRADE Page 11 of 12 City Attorney Approved 9/27/2016 I '° t .. • In the event that Contractor is an individual, it is agreed that the death of any such Contractor shall not exonerate the Surety from its obligations under this bond. Executed by CONTRACTOR this----"'--+-~--- day ot CL." a" ,Q L CONTRACTOR: , 20.J..R_. Av'I SYSTEr:::78 , JNG (name of Contractor) By: ~0-civ 13 01 U,, (sign here) RAND 1 8orZ.T H (print name here) C.Fo , Ayr sysTE~ i 1"3c.,, (title and organization of signatory) By·:J'::>e .-<l ~4~· ( sign here) D ~;t;~ h1re) Executed by SURETY this __ 1_s_t ___ day of August , 20-1§._. SURETY: Great American Insurance Company (name of Surety) 301 E. Fourth Street, Cincinnati, OH 45202 (address of Surety) 701.526.2809 (telephone number of Surety} By: ~ (printed name of Attorney-in~Fact) (attach corporate resolution showing current power of attorney) ~°" Vic:..~ ~res~Je..1, ~"-r.... sais+e~~ , X--<. (title and organization of signal ry) (Proper notarial acknowledgment of execution by CONTRACTOR and SURETY must be attached.) (President or vice-president and secretary or assistant secretary must sign for corporations. If only one officer signs, the corporation must attach a resolution certified by the secretary or assistant secretary under corporate seal empowering that officer to bind the corporation.) APPROVED AS TO FORM: CELIA A. BREWER City Atto""f~! _ By:= ~~City Attorney GOWLAND MEETING ROOM AV UPGRADE Page 12 of 12 City Attorney Approved 9/27/2016 Acknowledgment by Corporation STATE OF Kc ... Y"'-OCV) COUNTY OF ~rrv;,(;'r'..; On this <d'ctay of~: f , ::l\D ! :;,, before me personally appea~} ,,..,,.L:Acrsi:b., to me know~ who beingbme duly sworn, did acknowledge and say that (s) e is the Q~ ~ "ntl ~efJt ~.,,of AVI Systems Inc. the corporation that executed the foregoing i~ment, and acknowledged to me that such corporation executed the same. In witness whereof, I have hereunto set my hand and affixed my official seal, at my office in the above County, the day and year written above. ~'-'.~(" , Notary Public Stateof ~v-..\ County of ~01.,,o\ ~" My Commission Expires: (Yi ~LL,-z.o-zo SARAH DUPIN No~ayryApPubllc, State ot Kansas Polntment Expires O'<:dc-20'2Q _ Acknowledgment by Surety STATE OF _____ _ COUNTY OF _____ _ On this __ day of ____ _, ___ _, before me personally appeared ______ _, to me known, who being by me duly sworn, did acknowledge and say that she is the Attorney-in-Fact of ________________ _, the corporation that executed the foregoing instrument, and acknowledged to me that such corporation executed the same. In witness whereof, I have hereunto set my hand and affixed my official seal, at my office in the above County, the day and year written above. _______ , Notary Public State of ------County of ____ _ My Commission Expires: _____ _ CALIFORNIA ALL-PURPOSE ACKNOWLEDGEMENT Civil Code § 1189 A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfullness, accuracy or validity of that document. ••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••• State of North Dakota County of--=C=a ___ ss-'----------} On ------'A...;.u::..g~u::,.::s'-'-t ...;.1.._, 2~0;;..1.;_;8:;.._ _____ before me, ------...,..,.,.,T:-='a':':n~v,.,,a,:-P-:,a;,;;hlc:-:,=N_o_ta_ry-'--P_u_b_li_c _____ _ Date Name and Trtle of Notary personally appeared _..;;;G;;.;;a;.;.;il-'T;..;. . ....;..H.;..;;ac..y....;;;e~s _____________________________ _ Name and or Names of Signer(s) Who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. TANYA PAHL Notary Public I certify under PENAL TY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. • state of North Dakota Witness my hand and official seal. • My Commission Expires Feb. 27, 2022 Signature ____ li..........,(l .... D ...... ]J'+/"""(l,""-:, .,...~,...,"fili""='""'i,:><J=---.,....------1 Notary Public Signature Tanya Pahl Place Notary Public Seal Above OPTIONAL -------------------------------------- Though the information below is not required by law, it may prove valuable to the persons relying on the document and could prevent fraudulent removal and reattachment of this form to another document. Description of Attached Document Title or Type of Document _________________________________ _ Document Date ____________________ Number of Pages: __________ _ Signer's Name: _______________ _ D Individual D Corporate Officer -Title(s): _______ _ D Partner -D Limited D General D Guardian or Conservator D Attorney-in-Fact D Trustee D Other: -----------Signer is representing ____ _ AVI Systems Inc . RIGHT THUMBPRINT OF SIGNER Topolthumb D Individual D Corporate Officer -Title{s): _______ _ D Partner -D Limited D General D Guardian or Conservator D Attorney-in-Fact D Trustee D Other: -----------Signer is representing ____ _ RIGHTTHUMBPRINT OF SIGNER Topol lhumb ••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••• GREAT AMERICAN INSURANCE COMPANv® Administrative Office: 301 E 4TH STREET • CINCINNATI, OHIO 45202 • 513-369-5000 • FAX 513-723-2740 The number of persons authorized by this power of attorney is not more than 1 POWER OF ATTORNEY Bond No. CA2245145 KNOW ALL MEN BY THESE PRESENTS: That the GREAT AMERICANINSURANCB COMPANY, a corporation organized and existing under and by virtue of the laws of the State of Ohio, does hereby nominate, constitute and appoint the person or persons named below its true and lawful attorney-in- fact, for it and in its name, place and stead to execute on behalfofthe said Company, as surety, the specific bond, undertaking or contract ofsuretyship referenced herein; provided that the liability of the said Company on any such bond, undertaking or contract of suretyship executed under this authority shall not exceed the limit stated below. The bond number on this Power of Attorney must match the bond number on the bond to which it is attached or it is invalid. Name Gail T. Hayes Principal: AVI Systems Inc. Obllgee: City of Carlsbad Address 2575 41st St., S, Suite 2 Fargo, ND 58104 Limit of Power $100,000,000.00 IN WITNESS WHEREOF the GREAT AMERICAN INSURANCE COMPANY has caused these presents to be signed and attested by its appropriate officers and its corporate seal hereunto affixed this 1st day of August, 2018. Attest GREAT AMERICAN INSURANCE COMPANY STATE OF OHIO, COUNTY OF HAMILTON -ss: DAVID C. KITCHIN (Sn-377-2405) On this 1st day of August , 2018 , before me personally appeared DAVID C. KITCHIN, to me known, being duly sworn, deposes and says that he resides in Cincinnati, Ohio, that he is a Divisional Senior Vice President of the Bond Division of Great American Insurance Company, the Company described in and which executed the above instrument; that he knows the seal of the said Company; that the seal affixed to the said instrument is such corporate seal; that it was so affixed by authority of his office under the By-Laws of said Company, and that he signed his name thereto by like authority. This Power of Attorney is granted by authority of the following resolutions adopted by the Board ofDirectors of Great American Insurance Company by unanimous written consent dated June 9, 2008. RESOLVED: That the Divisional President, the several Divisional Senior Vice Presidents, Divisional Vice Presidents and Divisonal Assistant Vice Presidents, or any one of them, be and hereby is authorized, from time to time, to appoint one or more Attorneys-in-Fact to execute on behalf of the Company, as surety. any and all bonds, undertakings and contracts of suretyshlp, or other written obligations in the nature thereof: to prescribe their respective duties and the respective limits of their authority; and to revoke any such appointment at any time. RESOLVED FURTHER: That the Company seal and the signature of any of the aforesaid officers and any Secretary or Assistant Secretary of the Company may be affixed by facsimile to any power of attorney or certificate of either given/or the execution of any bond, undertaking, contract of suretyshlp, or other written obligation in the nature thereof. such signature and seal when so used being hereby adopted by the Company as the original signature of such officer and the original seal of the Company, to be valid and binding upon the Company with the same force and effect as though manually affixed. CERTIFICATION I, STEPHEN C. BERAHA, Assistant Secretary of Great American Insurance Company, do hereby certify that the foregoing Power of Attorney and the Resolutions of the Board of Directors of June 9, 2008 have not been revoked and are now in full force and effect. Signed and sealed this 1st day of August, 2018. 4-ce.~---_ S1194C (6115} Policy Number: 7110081910012 THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY. @VANTAGE FOR AUTOMOBILE This endorsement modifies Insurance provided under the following: BUSINESS AUTO COVERAGE FORM The following schedule lists the coverage extensions provided by this endorsement. Refer to the Individual provi- sions to determine the extent of your coverage. SCHEDULE OF COVERAGE EXTENSIONS 1. Additional Insured By Contract 12. Employee Hired Autos 2. Airbag Discharge 13. Fellow Employee Exclusion 3. Auto Theft Reward 14. Glass Repair -Waiver of Deductible 4. Blanket Waiver of Subrogation 16. Hired Auto Physical Damage Coverage &. Bodily Injury Redefined -Mental Anguish 16. Lease Gap Coverage 6. Broed Fonn Named Insured 17. Liability Coverage -Supplementary Payments 7. Communications Equipment 18. Newly Formed or Acquired Organizations 8. Diminution In Value 19. Physical Damage -Transportation Expenses 9. Drive Other Car -Executive Officers 20. Rental Reimbursement -Private Passenger 10. Duties In The Event of Accident, Claim, Suit or Loss Vehicles 11. EmDlovees As Insureds 21. Towina -Anv Covered Auto 1. ADDmONAL INSURED BY CONTRACT The Who Is An Insured provision under SECTION II -LIABILITY COVERAGE Is amended to Include as an additional "insured" any person or organization with whom you agreed In a written contract, written agreement or permit, to provide Insurance such as Is afforded under this Coverage Fonn. Such person or organization is an "Insured" only with respect to liability for "bodily injury" or "property damage• caused, In whole or In part by your mal_ntenance, operation or use of your covered "autos". With respect to the Insurance afforded to these additional "Insureds", this insurance does not apply: a. Unless the written contract or agreement has been executed or the permit has been Issued prior to the "bodily Injury" or "property damage"; b. To any person or organization included as an "insured" by endorsement or In the Declarations; or c. To any lessor of "autos" when their contract or agreement with you for such leased "auto" ends. 2. AIRBAG DISCHARGE If you purchased physical damage coverage for a covered "auto" under this policy, we will pay to reset or re- place an airbag that accidentally discharges without the vehicle being involved In an accident. No deductible applies to this additional coverage. However, this coverage only applies If the airbag Is not covered under a manufacturer's warranty and you did not Intentionally cause the airbag to discharge. 3. AUTO THEFT REWARD We will pay up to a $2,000 reward In the event of a covered loss, for information leading to the arrest and conviction of anyone stealing a covered "auto". A reward will not be paid to you, a family member, employee or any public officlal while performing their duty. 4. BLANKET WAIVER OF SUBROGATION The Transfer Of Rights of Recovery Against Others To Us condition under SECTION IV -BUSINESS AUTO CONDmONS, paragraph A. LOSS CONDmONS Is replaced by the following: We will waive any right of recovery we may have against any person or organization because of payments we make for Injury or damage arising out of the operation of a covered "auto" when you have assumed liability for such "bodily Injury" or "property damage" under an "insured contract", provided the contract is in writing and executed prior to the "bodlly injury" or "property damage". &. BODILY INJURY REDEFINED -MENTAL ANGUISH The definition of "bodily injury" under SECTION V -DEFINmONS Is replaced by the following: "Bodily Injury" means bodily injury, sickness, or disease sustained by a person, including mental anguish or death resulting from any of these at any time. VCA2010109 Includes copyrighted material of Insurance Services Office, Inc. Copyright 2004, OneBeacon Insurance Group LLC E-INSURED Page 1 of5 6. BROAD FORM NAMED INSURED a. The Who Is An Insured provision under SECTION II -LIABILITY COVERAGE is amended to include the following: Any organization which is a legally Incorporated entity in which you own a financial interest of more than 50% of the voting stock on the effective date of this Coverage Form will be a Named Insured until the 180111 day or the end of the policy period whichever comes first, provided there is no other similar insurance avail- able to that organization. b. Paragraph a. of this provision 6. dOes not apply to "bodily injury" or "property damage" for which an "in- sured" Is also an "insured" under any other automobUe policy or would be an "insured" under such a poli- cy, but for its termination or the exhaustion of its Limit of Insurance. 7. COMMUNICATIONS EQUIPMENT a. The exclusion for electronic equipment under Exclusions of SECTION Ill -PHYSICAL DAMAGE COVERAGE does not apply to loss of any permanently installed, non-removable communications equip- ment designed for use as a: 1. Citizen's band radio; 2. Two-way mobile radio or telephone; 3. Scanning monitor receiver; or 4. GPS Navigation System, including its antenna and other accessories. b. No Deductible applies to this additional coverage. c. The most we will pay for this coverage is $5,000 per occurrence. 8. DIMINUTION IN VALUE The "diminution in value" exclusion under SECTION Ill -PHYSICAL DAMAGE COVERAGE, B. Exclusions does not apply if the covered "auto" Is a private passenger "auto" and is leased, rented, hired or borrowed without a driver for a period of 30 days or less and is used in the conduct of the insured's business. The most we will pay for "loss" arising out of an "accident" Is the lesser of $7,500 or 20% of the actual cash value of the "auto" as determined by Kelley Blue Book or other independent valuation sources. 9. DRIVE OTHER CAR -EXECUTIVE OFFICERS a. The Who Is An Insured provision under SECTION II -LIABILITY COVERAGE is amended to include: If you are designated In the Declarations as: 1. An individual; you and your spouse. 2. A partnership; your partners and their spouses. 3. An organization other than an individual or a partnership; your "executive officers" and their spouses. b. SECTION II -LIABILITY COVERAGE and SECTION Ill -PHYSICAL DAMAGE COVERAGE are ex- tended to Include "autos" you don't own, hire, lease or borrow while in the care, custody or control of an "insured" listed in 9.a. This does not Include any "auto": 1. Owned by any "insured" listed in 9.a., or any member of their household, including any such "auto" that is owned but not Insured; 2. Used by an "insured" listed In 9.a. while working in the business of selling, servicing, repairing or parking autos; or 3. Insured under another policy of insurance. If Medical Payments, Uninsured/Underlnsured Motorist, Personal Injury Protection or other compulsory coverages required by the governing jurisdiction are covered on this policy, then insureds listed in 9.a. above and family members residing In the same households are "Insureds" while: 1. Occupying as a passenger; or 2. A pedestrian when struck by, any "auto" you do not own, hire, lease or borrow, except any "auto" owned by that ""insured" listed in 9.a, their family members or an "auto" insured under any other policy. c. The limits and deductibles applicable to this provision will be the largest applicable to any owned "auto" for the specific insurance. Page2 of 5 Includes copyrighted material of Insurance Services Office, Inc. VCA2010109 Copyright 2004, OneBeacon Insurance Group LLC d. The following definition is added to the DERNITIONS section of the policy: "Executive officer'' means a person holding any of tt,e officer positions created by your charter, consti- tution, by-laws or any similar governing document. e. The Other Insurance Condition, under Section IV-BUSINESS AUTO CONDITIONS, does not apply to the provisions of this Drive Other Car endorsement. There Is no "other insurance" applicable to this en- dorsement. 10. DUTIES IN THE EVENT OF ACCIDENT, CLAIM, SUIT OR LOSS Under SECTION IV -BUSINESS AUTO CONDmONS -the Duties In The Event Of Accident, Claim, Sult Or Loss Condition is amended as follows: The requirements that you must a. Notify us of an "accidenr, claim, "suit" or "loss"; and b. Send us documents concerning a claim or "suit", apply only when such "accident", dalm, "suit" or "loss" is known to: a. You, If you are an Individual; b. A partner, If you are a partnership; c. An executive officer of the corporation or insurance manager, if you are a corporation; or d. A manager, if you are a limited liability company. 11. EMPLOYEES AS INSUREDS The Who Is An Insured provision under SECTION II -LIABILITY COVERAGE is changed by adding the fol- lowing: Any "employee" of yours while using a covered "auto" you don't own, hire or borrow In your business or your personal affairs. This coverage is excess over any other collectible Insurance. 12. EMPLOYEE HIRED AUTOS The following is added to the Who Is An Insured Provision: An "employee" of yours is an "insured" while operating an "auto" hired or rented under a contact or agreement in that "employee's" name, with your permission, while performing duties related to the cond ud of your busi- ness. For purposes of this coverage grant, paragraph 6.b. of the Other Insurance Condition In the Business Auto Coverage Form is replaced by the following: b. For Hired Auto Physical Damage Coverage, the following are deemed to be covered "autos" you own: 1. Any covered "auto" you lease, hire, rent or borrow; and 2. Any covered "auto" hired or rented by your "employee" under a contrad in that Individual "employ- ee's" name, with your permission, while performing duties related to the condud of your business. However, any "auto" that is leased, hired, rented or borrowed with a driver Is not a covered "auto". This coverage is excess over any other collectible insurance. 13. FELLOW EMPLOYEE EXCLUSION The Fellow Employee exclusion under SECTION II -LIABILITY COVERAGE does not apply if the "bodily in- jury" results from the use of a covered "auto" you own or hire. This coverage Is excess over any other insur- ance. 14. GLASS REPAIR -WAIVER OF DEDUCTIBLE Under paragraph D. -Deductible -of SECTION DI -PHYSICAL DAMAGE COVERAGE, the following Is added: No deductible applies to glass damage if the glass Is repaired rather than replaced. 16. HIRED AUTO-PHYSICAL DAMAGE COVERAGE If hired "autos" are covered "autos" under SECTION II -LIABILITY COVERAGE and if Comprehensive, Speci- fied Causes of Loss, or Colllslon coverages are provided under this policy for any "auto" you own, then SECTION ID -PHYSICAL DAMAGE COVERAGE is extended to "autos" you hire, subjed to the following limit The most we will pay for "loss" to any hired "auto" is the lesser of: a. $75,000 for "autos" of the private passenger type and $50,000 for all other "autos"; VCA2010109 Includes copyrighted material of Insurance Services Office, Inc. Copyright 2004, OneBeacon Insurance Group LLC Page3 of5 b. The actual cash value; or c. The cost of repairing or replacing it with other property of like kind or quality. The deductible will be equal to the largest deductible applicable to any owned "auto" for that coverage. No deductible applies to "loss" caused by fire or lightning. Subject to the above limit, deductible and excess provisions, we will provide coverage equal to the broadest coverage applicable to any covered "auto" you own. We will also cover loss of use of the hired "auto" If the following conditions are met: a. It results from an accident; b. You are legally liable; and c. The lessor incurs an actual financial loss. The most we will pay for this loss of use coverage Is $1,000 per "accident". 16. LEASE GAP COVERAGE Under paragraph C. Limit of Insurance -of SECTION Ill -PHYSICAL DAMAGE COVERAGE, the following is added: If a covered "auto• Is leased, we will also pay the difference between the actual cash value of a covered "au- to" at the time of "loss" and the remaining balance on your lease if the following conditions are met: a. The "auto" has a long term lease and is covered on this policy. b. The lessor is added as an Additional Insured in a written lease agreement c. You are legally obligated for the remaining balance. We will not pay for any amounts representing excess wear and tear charges; additional mileage charges; taxes; overdue payments; penalties, interest or charges resulting from overdue payments; or lease termination fees. 17. LIABILITY COVERAGE EXTENSIONS -SUPPLEMENTARY PAYMENTS Under SECTION II -LIABILITY COVERAGE, the Coverage Extension for Supplementary Payments Is re- vised as follows: a. The limit for the cost of bail bonds Is amended to $3,500. b. The limit for reasonable expenses incurred by the "insured" is amended to $500 a day. 18. NEWLY FORMED OR ACQUIRED ORGANIZATIONS a. The Who Is An Insured provision under SECTION II -LIABILITY COVERAGE is amended to Include as an "insured" any organization that is formed or acquired by you and over which you maintain majority ownership. b. Paragraph a. of this provision 18. does not apply to any organization: 1. That is a joint venture or partnership; 2. That is an "insured" under any other policy; 3. That has exhausted its Limit of Insurance under any other policy; or 4. 180 days or more after its acquisition or formation by you, unless you have given us notice of the ac- quisition or formation. c. Paragraph a. of this provision 18. does not apply to "bodily injury'' or "property damage" that results from an "accident" that occurred before you formed or acquired the organization. 19. PHYSICAL DAMAGE-TRANSPORTATION EXPENSES COVERAGE Under SECTION Ill -PHYSICAL DAMAGE Coverage Extensions, the limit for Transportation Expenses is amended to $75 per day and the maximum is amended to $2,250. 20. RENTAL REIMBURSEMENT We will pay for rental reimbursement expenses incurred by you for the rental of an "auto" of the private passenger type because of "loss" to a "covered auto" of the private passenger type. Payment applies in addition to the other- wise applicable amount of each coverage you have on a "covered auto". No deductibles apply to this coverage. We will pay those expenses Incurred during the policy period beginning 24 hours after the "loss" and ending, regardless of the policy's expiration, six (6) days after the "loss". Page4 of5 lndudes copyrighted material of Insurance Services Office, Inc. Copyright 2004, OneBeacon Insurance Group LLC VCA2010109 Payment is limited to the lesser of the following amounts: 1. Necessary and adual expenses incurred. 2. The maximum daily payment of $25 for any one day. This coverage does not apply while there are spare or reserve "autos" available to you. If "loss" results from the total theft of the private passenger "auto", we will pay under this coverage only that amount of your rental reimbursement expenses which Is not already provided for under the PHYSICAL DAMAGE COVERAGE Extension. 21. TOWING -COVERED AUTOS Under SECTION 111-PHYSICAL DAMAGE COVERAGE, Coverage for Towing is amended as follows: a. This coverage applies to any covered "auto· for which a premium charge for towing and labor is shown in the Schedule or in the Declarations. b. The limit Is $100. VCA2010109 Includes copyrighted material of Insurance Services Office, Inc. Page 5 of5 Copyright 2004, OneBeacon Insurance Group LLC Client#· 1101881 AVISYS ACORD™ CERTIFICATE OF LIABILITY INSURANCE I DATE (MM/DD/YYYY) 3/27/2018 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 pollcy(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 any rights to the certificate holder In lieu of such endorsement(s). PRODUCER ~flUf1., USI Insurance Services, LLC rA'JBN:o Ext!: 701 989-7675 I five Nol: 877 411-5097 4207 Boulder Ridge Road Suite 225 ifD~~ss: lesley.bentz@usi.com Bismarck, ND 58503 INSURER(S) AFFORDING COVERAGE NAIC# INSURER A : Atlantic Specialty lnsu,anco Compony 27154 INSURED INSURERB: AVI Systems, Inc. INSURERC: 8019 Bond Street Lenexa, KS 66214 INSURERD: INSURERE: INSURERF: 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 SUB~ POLICY NUMBER ·,&al-J&~, ,&a,~~ LIMITS LTR "'"'R WVD A X COMMERCIAL GENERAL LIABILITY 7110081910012 04/01/2018 04/01/201S EACH OCCURRENCE s1 000,000 -D CLAIMS-MADE [!] OCCUR ~~r:~~J?ta~~ncel I s1 000,000 >--- MED EXP (Any one person) s10 000 -PERSONAL & ADV INJURY s1 000,000 -GEN'L AGGREGATE LIMIT APPLIES PER: GENERAL AGGREGATE s2 000,000 Fl [!jPRO· [xl LOC PRODUCTS • COMP/OP AGG s2,000 000 POLICY JECT OTHER: $ A AUTOMOBILE LIABILITY 7110081910012 -I 04/01/2018 04/01/201S ~~~::i~~t~INGLE LIMIT s1,000,000 X ANYAUTO BODILY INJURY (Per person) $ -OWNED -SCHEDULED AUTOS ONLY AUTOS BODILY INJURY (Per accident) $ x HIRED X NON-OWNED rp~?~~d'Zifi>AMAGE $ AUTOS ONLY AUTOS ONLY $ A _)! UMBRELLA LIAB ~ OCCUR 7110081910012 04/01/2018 04/01/201S EACH OCCURRENCE s10 000 000 EXCESS LIAB ) s10.000 000 CLAIMS-MADE AGGREGATE OED I XI RETENTION s0 $ A WORKERS COMPENSATION 4060169150011 04/01/2018 04/01/2015 X l~~~TIIT~ I l~JH· AND EMPLOYERS' LIABILITY y / N s1.000 000 ANY PROPRIETOR/PARTNER/EXECUTIVEllil E.L. EACH ACCIDENT OFFICER/MEMBER EXCLUDED? N NIA (Mandatory In NH) E.L. DISEASE· EA EMPLOYEE s1.000 000 ~i;~~tif~ 'c1~PERATIONS below E.L. DISEASE· POLICY LIMIT s1,000,000 A Technology E&O 7110081910012 ~4/01/2018 04/01/201S Occurrence $3,000,000 Aggregate $3,000,000 DESCRIPTION OF OPERATIONS/ LOCATIONS/ VEHICLES (ACORD 101, Additional Remarks Schedule, may be attached If more space Is required) Certificate Holder Is Included as an Additional Insured re General Liability. CERTIFICATE HOLDER CANCELLATION City of Carlsbad SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE THE EXPIRATION DA TE THEREOF, NOTICE WILL BE DELIVERED IN 1635 Faraday Avenue ACCORDANCE WITH THE POLICY PROVISIONS. Carlsbad, CA 92008-7314 AUTHORIZED REPRESENTATIVE I ~ © 1988-2015 ACORD CORPORATION. All rights reserved. ACORD 25 (2016103) 1 of 1 The ACORD name and logo are registered marks of ACORD #S22782211/M22768636 LKMZP Policy Number: 7110081910012 THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY. KANSAS @VANTAGE FOR GENERAL LIABILITY TECHNOLOGY COMPANIES This endorsement moclfies insurance provided under the following: COMMERCIAL GENERAL LIABILITY COVERAGE FORM The following schedule Usts the coverage extensions provided by this endorsement. Refer to the indMdual provisions to determine the extent of your coverage. SCHEDULE OF COVERAGE EXTENSIONS 1. Additional Insured -Broad Form Vendors 8. Coverage Territory-Worldwide 2. Additional Insured -by Contract, Agreement or Permit relating to: 9. Duties in Event of Occurrence, Claim or Suit 10. Expected or Intended Injury (PD) o Work performed by you 11. Incidental Medical Malpractice o Premises you own, rent, lease or occupy 12. Medical Payments o Equipment you lease 13. Mobile Equipment Redefined 3. Aggregate Limit Per Location 4. Blanket Waiver of Subrogation 14. Newly Acquired or Formed Organizations 16. Non-Owned Aircraft 6. Bodily Injury Redefined-Mental Anguish 16. Non-Owned Watercraft 6. Broadened Named Insured 17. Personal and Advertising Injury 7. Broadened Property Damage 18. Product Recall Expense o Borrowed Equipment 19. Supplementary Payments Increased Limits o Customers' Goods o Use of Bevators 1. ADDITIONAL INSURED -BROAD FORM VENDORS Section II -Who Is An Insured is amended to lndude as an additional insured any person(s) or organization(s) (referred to below as vendor) with whom you agreed In a written contract or agreement to provide Insurance, but only with respect to •bodily Injury" or ·property damage• arising out of "your proctucts· which are distributed or sold In the regular col.f'S8 of the vendo(s business, subject to the foDowing additional exdusions: a. This provision 1 • does not apply to: (1) ·Bodily Injury" or ·property damage• for which the vendor is obligated to pay damages by reason of the assLmption of liabi&ty in a contract or agreement. This exclusion does not apply to ffabi&ty for damages that the vendor would have in the absence of the contract or agreement; (2) Any express or inplled agreement not authorized by you; (3) Any physical or chemical change in the product made Intentionally by the vendor; (4) Repackaging, except when unpacked solely for the purpose of inspeclion, demonstration, testing or the substitution of parts wider instructions from the manufacturer, and then repackaged In the origNI container; (6) Any failure to make such inspections, adjustments, tests or servicing as the vendor has agreed to make or normally undertakes to make In the usual course rA business, in connection with the distribution or sale of the products; (6) Demonstration, installation, servicing or repair operations, except such operations performed at the vendor's premises In connection with the sale of the product; (7) Products which, after distribution or sale by you, have been labeled or relabeled or used as a container, part or ingredient of any other thing or substance by or for the vendor; or (8) •Bodily injury" or •property damage• arising out of the sole ~gence of the vendor for its own acts or omissions or those of its employees or anyone else acting on Its behalf. However, this exduslon does not apply to: VCG 745 KS 1113 Includes copyrighted material of Insurance Services Office, Inc. Copyright, OneBeacon Insurance Group LLC E-INSURED Page 1 of8 (a) The exceptions contained in SUbparagraphs 4. or&.; or (b) SUch inspections, adjustments, tests or servicing as the vendor has agreed to make or normally undertakes to make in the usual course of business, in connection with the distribution or sale of the products. (9) Any vendor, person or organization if the •products-completed operations hazard" is excluded either by the provisions of the Coverage Form or by endorsement b. This insurance does not apply to any insured person or organization, from whom you have acquired such products, or any ingredient, part or container, entering Into, accompanying or containing such products. 2. ADDITIONAL INSURED -CONTRACT, AGREEMENT OR PERMIT L Section II -Who Is An Insured is amended to include as an ackfdional insured any person(s) or organization(s) with whom you agreed in a written contrad, written agreement or permit to provide insurance such as is afforded under this Coverage Part 1. with respect to liabirity for •bodily injury", •property damage• or •personal and advertising injury" ceused, in whole or in part, by your acts or omissions or the acts or omissions of those acting on yocx behalf: (a) In the performance of •your 'M>l1<9 for the adcfdional insured(s) at the location designated in the contract. agreement or permit; or (b) In the maintenance, operation or use of equipment leased to you by such person(s) or organization(s), or (c) In connection with premises you own, rent. lease or occupy. 2. with respect to liability for ·bodny injury" or •property damage• caused, in whole or in part, by your acts or omissions or the acts or omissions of those acting on your behalf and occurring after: (a) All work on the project (other than service, maintenance or repairs) to be performed by or on behalf of the additional Insured at the site of the covered operations has been completed; or (b) That portion of "your work" out of which the injury or damage arises has been put to its intended use by any person or organization other than another contractor or subcontractor engaged in performing operations for a principal as part of the same project This insurance applies on a primary or primary and non-contributory basis If that is required in writing by the contract, agreement or permit b. The insurance provided to the additional insured herein is limited. This insll'8rlce does not apply: 1. Unless (a) the written contract, agreement or permit ls currently in effect or becomes effective ck.ling the term of this poflcy; and (b) the contract or agreement was executed or permit issued prior to the ·bodny injury", ·property damage•, or ·personal and advertising injury"; 2. To any person or organization included as an Insured under the Additional Insured -Broad Form Vendors provision of this endorsement; 3. To any person or organization included as an insured by an endorsement issued by us and made part of this Coverage Part; 4. To any person or organization if the "bodily Injury", •property damage•, or "personal and advertising injury" arises out of the rendering of or failure to render any professional architectural, engineering or surveying services by or for you induding: (a) The preparing, approving, or faUing to prepare or approve, maps, shop drawings, opinions, reports, surveys, field orders, change orders or drawings and specifications; or (b) Supervisory, inspedlon, architedural or engineering activities. 5. Toany: (a) Lessor of equipment after the equipment lease terminates or expires; or VCG 746 KS 1113 Includes copyrighted material of Insurance Services Office, Inc. Page 2 of8 Copyright, OneBeacon Insurance Group LLC (b) Owners or other interests from whom land has been leased; or (c) Managers or lessors of premises If: (1) The "occurrence" takes place after you cease to be a tenant In that premises; or (2) The "bodily Injury", "property damage", "personal and advertising injury" arises out of structural alterations, new construction or demolition operations performed by or on behalf of the manager or lessor. c. Umlts of Insurance applicable to the additional Insured are those specified In the contract, agreement or permit or In the Declarations of this policy, whichever is less, and fix the most we will pay regardless of the number of: 1. Insureds; 2. Claims made or •suits" brought; or 3. Persons or organizations making dalms or bringing "slits". These Limits of Insurance ara lnduslve of and not in addition to the Limits of Insurance shown In the Declarations. 3. AGGREGATE LIMIT PER LOCATION a. Under Section 111-Umlts of Insurance, the General Aggregate Limit applies separately to each of your "locations· owned by or rented or leased to you. b. Under Section V -Definitions, the following definition is added: "Location· means premises Involving the same or connecting lots, or premises whose connection Is Interrupted only by a street, roadway, waterway or right-of-way of a railroad. 4. BLANKET WAIVER OF SUBROGATION Section IV -Transfer of Rights of Recovery Against Others to Us Condition Is amended to add the following: We wDI waive any right of recovery we may have against any person or organization because d paymenls we make for Injury or damage artsilg out d your ongoing operations done under a written contract or agreement with that person or organization and included In •your work" or the "products-completed operations hazard". This waiver applies only to persons or organizations with whom you have a written contract, executed prior to the "bodily injury" or "property damage", that requires you to waive your rights of recovery. 5. BODILY INJURY REDEFINED-MENTAL ANGUISH Under Section V, the definition of "bodily injury" Is replaced by the following: "Bodily Injury" means bodily Injury, sickness, or disease sustained by a person, lndudlng mental anguish or death resulting from any of these at any time. 6. BROADENED NAMED INSURED Section II -Who Is An Insured is amended to include as an Insured the following: Any organization which Is a legally Incorporated entity In which you own a ffnanclal interest of more than 50 percent of the voting stock on the effective date of this endorsement will be a Named Insured until the 180111 day or the end of the policy period, whichever comes first, provided there Is no other similar Insurance available to that organization. The Insurance afforded herein does not apply to any entity which Is also an Insured under another policy or would be an Insured under such poUcy but for Its termination or the exhaustion of Its limits of Insurance. VCG 746 KS 1113 Includes copyrighted material of Insurance Services Office, Inc. Page 3 of8 Copyright, OneBeacon Insurance Group LLC 7. BROADENED PROPERTY DAMAGE -BORROWED EQUIPMENT, CUSTOMERS' GOODS AND USE OF ELEVATORS The insurance for "property damage• liability is subject to the following: a. The Damage To Property exclusion under Section I Coverage A is amended as follows: 1. The exclusion for personal property In the care, custody or control of the Insured does not apply to "property damage• to equipment you borrow while at a job site and provided it is not being used by anyone to perform operations at the time of loss. 2. The exclusions for (a) Property loaned to you; (b) Personal property in the care, custody or control of the Insured; and (c) That particular part of any property that must be restored, repaired or replaced because "your work" was incorrectly perfonned on it do not apply to "property damage• to ·customers' goods" while on your premises nor do they apply to "property damage• arising from the use of elevators at premises you own, rent, lease or occupy. SUbject to the Each Occurrence Limit, the most we wiU pay for "property damage· to "Customers' Goods" Is $35,000 per "occurrence·. b. Under Section V -Definitions, the foDowlng definition is added: ·customers' Goods" means goods of your customer on your premises for the purpose of being: 1. Repaired; or 2. Used In your manufacturing process. c. The insurance afforded by this provision is excess over any other valid and collectible property Insurance (including any deductible) available to the Insured whether such insurance is primary, excess, contingent or on any other basis. Any payments by us will follow the Other Insurance -Excess provisions In the COMMERCIAL GENERAL LIABILITY CONDITIONS. 8. COVERAGE TERRITORY -WORLDWIDE The definition of "coverage territory" Is replaced by the following: "Coverage territory" means anywhere provided the insured's responsibility to pay damages must be detennined in a settlement we agree to or in a "suit" on the merits brought within the United States of America (Including Its territories and possessions), Puerto Rico or Canada. 9. DUTIES IN THE EVENT OF OCCURRENCE, OFFENSE, CLAIM OR SUIT Section IV -Duties In The Event Of Occurrence, Clalm or Sult is amended by adding the following paragraphs: a. The requirements that you must 1. notify us of an "occurrence· offense, claim or "suit" and 2. send us documents concemlng a dalm or "suit" apply only when such "accident" claim, "suit" or "loss" is known to: 1. You, if you are an individual; 2. A partner, if you are a partnership; 3. An executive officer of the corporation or insurance manager, if you are a corporation; or 4. A manager, if you are a limited liability company. b. The requirement that you must notify us as soon as practicable of an "occurrence· or an offense that may result in a claim does not apply If you report an "occurrence• to your workers compensation insurer which later develops Into a liability claim for which coverage is provided by this policy. However, as soon as you have definite knowledge that the particular "occurrence· Is a liability claim rather than a workers compensation claim, you must comply with the Duties In The Event Of Occurrence, Offense, Claim Or Sult Condition. VCG 745 KS 1113 Includes copyrighted material of Insurance Services Office, Inc. Page4 of8 Copyright, OneBeacon Insurance Group LLC 10. EXPECTED OR INTENDED INJURY (PROPERTY DAMAGE) The Expected Or Intended Injury exclusion under Coverage A Bodlly Injury and Property Damage is replaced by: "Bodily injury" or "property damage• expected or intended from the standpoint of the Insured. This exclusion does not apply to "bodily Injury" or "property damage• resulting from the use of reasonable force to protect persons or property. 11. INCIDENTAL MALPRACTICE -EMPLOYED PHYSICIANS, NURSES, EMT'S AND PARAMEDICS a. Under Section II -Who Is An Insured, the paragraph that excludes an employee or volunteer worker as insured for "bodily injury" or •personal and advertising Injury" arising out of his or her providing or failing to provide professional health care services does not apply to a physician, dentist, nurse, emergency medical technician or paramedic employed by you if you are not engaged In the business or occupation of providing medical, paramedical, surgical, dental, x-ray or nursing services. b. The Insurance afforded by this provision Is excess over any other valid and collectible Insurance whether such insurance Is primary, excess, contingent or on any other basis. Any payments by us will foUow the Other Insurance -Excess Insurance provisions In the COMMERCIAL GENERAL LIABILITY CONDITIONS. 12. MEDICAL PAYMENTS -INCREASED LIMITS AND TIME PERIOD In the Insuring Agreement lllder Coverage C Medlcal Payments, the requirement that expenses are Incurred and reported to us within one year of the date of the accident Is changed to three years. a. The Medical Expense Linlt Is $15,000 per person or the amount shown In the Declarations as the Medical Expense Limit, whichever Is greater. b. This provision 12. does not apply If Coverage C -Medlcal Payments Is otherwise excluded either by the pro~ionsofthe~verageF~orbyendorsemn 13. MOBILE EQUIPMENT • SELF.PROPELLED SNOW REMOVAL, ROAD MAINTENANCE AND STREET CLEANING EQUIPMENT The foUO'Nlng Is added to the "mobile equipment" definition: Vehicles maintained primarily for purposes other than the transportation of persons or cargo that are self. propelled vehicles of less than 1,000 pounds gross vehicle weight with the following types of permanently attached equipment wiU be considered "mobile equipment": a. Snow removal; b. Road maintenance, but not construction or resurfacing; or c. Street cleaning. 14. NEWLY FORMED OR ACQUIRED ORGANIZATIONS Under Section II -Who Is An Insured, the time period limitation for newly acquired or formed organizations Is replaced by: Coverage under this provision Is afforded only until the end of the current policy period. 16. NON-OWNED AIRCRAFT The Aircraft, Auto Or Watercraft exclusion under ~verage A Bodlly Injury And Property Damage Llablllty does not apply to an aircraft that is: 1 Hred, chartered or loaned with a paid crew; and 2 Not owned by any Insured. VCG 741 KS 1113 Includes copyrighted material of lnsuranoe Services Office, Inc. Copyright, OneBeacon Insurance Group LLC Page 5of8 a. The iruuance afforded by this provision 16. is excess over any other valid and collectible insurance (including any deductible or Self Inst.red Retention) available to the insured, whether such instnnce is primary, excess, contingent or on any other basis. Any payments by us will follow the Other Insurance - Excess Insurance provisions in the COMMERCIAL GENERAL LIABILITY CONDITIONS. 16. NON-OWNED WATERCRAFT a. Section II -Who Is An Insured is amended to include as an Insured for any watercraft that is covered by this policy, any person who, with your expressed or implied consent, either uses or is responsible for the use of a watercraft. However, no person or organization Is an Insured with respect to: 1. ·Bodily injury" to a co-•employee• of the person operating the watercraft; or 2. •property damage• to property owned by, rented to, in the charge of or occupied by you or the emplo~ of any person who is an insured under this provision. b. In the exception to the Aircraft, Auto Or Watercraft exclusion under Coverage A Bodily Injury And Property Damage Liability, the limitation on the length of a wateraaft is inaeased to 55 feel c. The insurance afforded by this provision 16. Is excess over any other valid and collectible insurance (including any deductible or Self Insured Retention) available to the insured, whether such insllance is primary, excess, contingent or on any other basis. Any payments by us will follow the Other Insurance - Excess Insurance provisions in the COMMERCIAL GENERAL LIABILITY CONDITIONS. 17. PERSONAL AND ADVERTISING INJURY The following exclusions under the definition of •personal and advertising injury" are amended as follows: a. Insureds In Media Type Businesses •personal and advertising injury" committed by an insured whose business is: (1) Advertising, broadcasting, publishing or telecasting; or (2) Designing or developing content of websites for others. However, this exclusion does not apply to paragraphs 14 a., b. and c. of •personal and advertising injury" under the Definitions Section. For the purposes of this exclusion, the placing of frames, borders or links, or advertising, for you is not by itself, considered the business of advertising, broadcasting, publishing or telecasting. b. Electronic Chatrooms Or Bulletin Boards ·Personal and advertising Injury" arising out of an electronic chatroom or bulletin board the insured hosts, owns, or maintains for others. 18. PRODUCT RECALL EXPENSE With respect to this Provision 18., the Recall Of Products, Work Or Impaired Property exclusion under Coverage A Bodily Injury And Property Damage LlabHJty is deleted. a. The following is added to Section Ill -Limits Of Insurance section: 1. The Limits of Insurance shown in the Product Recall Schedule and rules below fix the most we will pay regardless of the number of (a) Insureds; (b) ·covered recalls· initiated; or (c) Number of •your products· recalled. 2. The Product Recall Aggregate Limit is the most we will reimburse you for the sum of all •product recall expenses• incurred for all "covered recalls• initiated during the policy period. 3. Subject to 2. above, the Each Product Recall Limit ls the most we will reimburse you for the sum of all •product recall expenses· arising out of any one ·covered recall· for the same defect or deficiency. VCG 746 KS 1113 Includes copyrighted material of Insurance Services Office, Inc. Page6 of8 Copyright, OneBeacon Insurance Group LLC 4. Subject to 3. above, we will pay only the amount of •proctud recall expenses• in excess of the deductible amount shown in the Product Recall Schedule. Products Recall Schedule Produd Recall Aggregate Umit Each Product Recall Limit Each Produd Recall Deductible $ 1,000 Limits of Insurance $50,000 $25,000 If any limits and deductible other than those above are shown in the Declarations as the Produds Recall Expense Limits, the amounts shown in the Declarations wiD replace the Limits of Insurance and deductible provided for this coverage. The Limits of Insurance for this coverage apply separately to each consecutive annual period and to any remaining period of less than 12 months, starting with the beglming of the policy period shown in the Declarations, unless the policy period is extended after issuance for an additional period of less than 12 months. In that case, the additional period will be deemed part of the last preceding period for the purposes of determining the Limits of Insurance. b. The following is added to the Duties In The Event Of Occurrence, Offense, Claim Or Sult provision under Section IV -Conditions: You must see to it that the following are done in the event of an actual or anticipated Ncovered recar that may result in Nprodud recall expenseN: 1. Give us prompt notice of any discovery or notification that "your product" must be withdrawn or recalled. Include a description of "your product" and the reason for the withdrawal or recall; 2. Cease any further release, shipment, consignment or any other method of distribution of like or similar produds until It has been determined that all such products are free from defects that could be a cause of loss under this insurance; 3. As often as may be reasonably required, permit us to inspect "your product" that demonstrates the need for the "covered recall" and permit us to examine your books and records. Also permit us to take damaged and undamaged samples of "your products• for inspection, testing and analysis; and permit us to make copies from your books and records; 4. Send us a signed, sworn, proof of loss containing the information we requested to settle the claim. You must do this within 60 days after our request. We will supply you with the necessary forms; and 5. Permit us to examine any insured under oath, while not in the presence of any other insured and at such times as may reasonably be required, about any matter relating to this insurance or )'Ollr dalm, including an insured's books and records. In the event of an examination, an insured's answers must be signed. c. The following definitions are added to the Definitions Section: 1. "Covered recall" means a recall made necessary because the insured or a government body has determined that a known or suspected defect, deficiency, inadequacy or dangerous condition in "your product" has resulted in or will result in "bodily injury" or "property damage". 2. "Produd Recall Expense" means: (a) The following necessary and reasonable expenses you incur exclusively for the purpose of recalling "your product'': (1) For canmunlcations, including radio or television amouncements or printed advertisements including stationery, envelopes and postage; (2) For shipping the recalled products from any purchaser, distributor or user to the place or places designated by )'OU; VCG 746 KS 1113 Includes copyrighted material of Insurance Services Office, Inc. Page 7 of8 Copyright, OneBeacon Insurance Group LLC (3) For remuneration paid to your regular "employees" for necessary overtime; (4) For hiring additional persons, other than your regular "employees"; (5) Incurred by "employees", including transportation and accommodations; (6) To rent additional warehouse or storage space; or (7) For disposal of "your products", but only to the extent that specific methods of destruction other than those employed for trash discarding or disposal are required to avoid "bodily injury" or "property damage" as a result of such disposal, but ·proc:tuct recan expenses· does not include costs of regaining your market share, goodwill, revenue or profit. (b) "Product Recall Expense" does not Include any expenses resulting from: (1) Failure of any product to accomplish its Intended purpose; (2) Breach of warranties of fitness, quality, durability or performance; (3) Loss of customer approval, or any cost incurred to regain customer approval; (4) Redistribution or replacement of ")'Ollr producf' which has been recaled by like products or substitutes; (5) Caprice or whim of the insured; (6) A condition likely to cause loss of which any Insured knew or had reason to know at the Inception of this lnst.nnee; and (7) Recall of "your products• that have no known or suspected defect solely because a known or suspected defect in another of •)'Ollr products" has been found 19. SUPPLEMENT ARY PAYMENTS -INCREASED LIMITS Under Section 1-Coverages, Supplementary Payments -Coverages A and B, paragraphs 1.b. and 1.d. are replaced by the following: b. Up to $2,500 for cost of bail bonds required because of accidents or traffic law violations arising out of the use of any vehicle to which the Bodily Injury Liability Coverage applies. We do not have to furnish these bonds. d. All reasonable expenses incurred by the insured at our request to assist us in the investigation or defense of the claim or "suit", inclucf111g actual loss of earnings up to $500 a day because of time off from work. VCG 745 KS 1113 Includes copyrighted material of Insurance Services Office, Inc. Page 8 of8 Copyright, OneBeacon Insurance Group LLC I WORKERS COMPENSATION AND EMPLOYERS LIABILITY INSURANCE POLICY WAIVER OF OUR RIGHT TO RECOVER FROM OTHERS ENDORSEMENT -CALIFORNIA This endorsement changes the policy to which it is attached effective on the inception date of the policy unless a different date is indicated below. (The following "attached clause" need be completed only when this endorsement is issued subsequent to preparation of the policy.) This endorsement, effective on April O 1, 2018 at 12:01 AM. standard time, forms a part of (DATE) Policy No. 406-01-69-15-0011 Endorsement No. ofthe Atlantic Specialty Insurance Company (NAME OF INSURANCE COMPANY) issuedto AVI SYSTEMS, INC. Premium (if any) $ Authorized Representative We have the right to recover our payments from anyone liable for an injury covered by this policy. We will not enforce our right against the person or organization named in the Schedule. (This agreement applies only to the extent that you perform work under a written contract that requires you to obtain this agreement from us.) You must maintain payroll records accurately segregating the remuneration of your employees while engaged in the work described in the Schedule. The additional premium for this endorsement shall be 2. oo % of the California workers' compensation premium otherwise due on such remuneration. Schedule Person or Organization Job Description ALL PERSONS OR ORGANIZATIONS ON FILE WITH THE INSURED WC 252 (04 84) Copyright 1984, OneBeacon Insurance Group LLC E-INSURED