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Blair Rasmussen Construction; 2006-12-05; PWI07-06FAC
RECORDED REQUESTED BY CITY OF CARLSBAD AND WHEN RECORDED PLEASE MAIL TO: City Clerk City of Carlsbad 1200 Carlsbad Village Drive Carlsbad, California 92008 DOC# 2007-0244716 Sililiiilliiilil APR 11. 2007 4:33 PM OFFICIAL RECORDS SAN DIERO COUNTY RECORDER'S OFFICE |-REilriR(M SMITH COUNTY RECORDER FEE': 0 00 PAGES 1 Space above this line for Recorder's use. PARCEL NO: 2150507000 NOTICE OF COMPLETION Notice is hereby given that 1 The undersigned is owner of the interest or estate stated below in the property hereinafter described. 2. The full name of the undersigned is City of Carlsbad, a municipal corporation. 3 The full address of the undersigned is 1200 Carlsbad Village Drive, Carlsbad, California 92008. 4. The nature of the title of the undersigned is- In fee. 5 A work or improvement on the property hereinafter described was completed on March 20, 2007 6 The name of the contractor for such work or improvement is Blair Rasmussen Construction 7 The property on which said work or improvement was completed is in the City of Carlsbad, County of San Diego, State of California, and is described as follows: FAC 06-06 Dove Library RFID Tenant Improvements. 8 The street address of said property is 1775 Dove Lane. CITY OFXAR Greg Clavier Public Works Manager VERIFICATION OF CITY CLERK I, the undersigned, say I amJhe City Clerk of the City of Carlsbad, 1200 Carlsbad Village Drive, Carlsbad, California, 92008; the City Manager of said City on ft> ov1 \ ^ , 2061 , accepted the above described work as completed and ordered that a Notice of Completion be filed. I declare under penalty of perjury that the foregoing is true and correct Executed on J^M?T;\ U _, 2061 , at Carlsbad, California CITY^OF CARLSBAD rT*^ CITY OF CARLSBAD ACCEPTANCE OF PUBLIC IMPROVEMENTS COMPLETION OF PUBLIC IMPROVEMENTS The contractor has constructed the improvements required for the Dove Library RFID Tenant Improvements, FAC 06-06 and has requested that the City of Carlsbad accept the public improvements. City forces have inspected the public improvements and found them to be satisfactory. The public improvements consist of: IMPROVEMENTS VALUE Dove Library RFID Tenant Improvements $63,439.36 PUBLIC WORKS DIRECTOR CERTIFICATION OF COMPLETION OF IMPROVEMENTS 2-8 GLENN PRUIM, Public Works Director Date CITY MANAGER'S ACCEPTANCE OF PUBLIC IMPROVEMENTS The construction of the above-described public improvements is deemed complete and hereby accepted. The City Clerk is hereby authorized to record the Notice of Completion and release the bonds in accordance with State Law and City Ordinances. The City pf/Carl^tf^d^ie) hereby directed to commence maintaining the above-described improveme ^_^ Date APPROVED AS TO FORM: Ronald R. Ball, City Attorne CITY OF CARLSBAD San Diego County California CONTRACT DOCUMENTS AND SUPPLEMENTAL PROVISIONS FOR DOVE LIBRARY RFID TENANT IMPROVMENTS CONTRACT NO. FAC 06-06 BID NO. PWI07-06FAC Revised 10/08/03 Contract No. FAC 06-06 Page 1 of 65 Pages TABLE OF CONTENTS Item Page Notice Inviting Bids 5 Contractor's Proposal 9 Bid Security Form 13 Bidder's Bond To Accompany Proposal 14 Guide For Completing The "Designation Of Subcontractors" Form 16 Designation Of Subcontractor and Amount Of Subcontractor's Bid Items 18 Bidder's Statement Of Financial Responsibility 19 Bidder's Statement Of Technical Ability And Experience 20 Bidder's Certificate Of Insurance For General Liability, Employers' Liability, Automotive Liability And Workers' Compensation 21 Bidder's Statement Of Re Debarment 22 Bidder's Disclosure Of Discipline Record 24 Non-Collusion Affidavit To Be Executed By Bidder And Submitted With Bid 25 Contract Public Works 26 Labor And Materials Bond 32 Faithful Performance/Warranty Bond 34 Optional Escrow Agreement For Surety Deposits In Lieu Of Retention 36 Revised 10/08/03 Contract No. FAC 06-06 Page 2 of 65 Pages SUPPLEMENTAL PROVISIONS Parti General Provisions Section 1 Terms, Definitions Abbreviations And Symbols 1-1 Terms 39 1-2 Definitions 39 1-3 Abbreviations 40 Section 2 Scope And Control Of The Work 2-3 Subcontracts 41 2-4 Contract Bonds 41 2-5 Plans And Specifications 42 2-10 Authority Of Board And Engineer 43 Section 3 Changes In Work 3-2 Changes Initiated by the Agency 44 3-3 Extra Work 44 3-4 Changed Conditions 44 3-5 Disputed Work 45 Section 4 Control Of Materials 4-1 Materials And Workmanship 48 4-2 Materials Transportation, Handling and Storage 49 Section 5 Utilities 5-1 Location 49 5-4 Relocation 49 5-6 Cooperation 49 Section 6 Prosecution, Progress And Acceptance Of The Work 6-1 Construction Schedule And Commencement Of Work 50 6-2 Prosecution Of Work 52 6-6 Delays And Extensions Of Time 53 6-7 Time of Completion 53 6-8 Completion And Acceptance 53 6-9 Liquidated Damages 53 Section 7 Responsibilities Of The Contractor 7-3 Liability Insurance 54 7-4 Workers'Compensation Insurance 54 7-5 Permits 54 7-7 Cooperation and Collateral Work 54 7-8 Project Site Maintenance 54 7-10 Public Convenience And Safety 55 Section 8 Facilities For Agency Personnel 8-2 Field Office Facilities 55 Section 9 Measurement and Payment 9-1 Measurement Of Quantities For Unit Price Work 55 9-3 Payment 55 Part 2 Technical Specifications and Special Construction Provisions 60 Revised 10/08/03 Contract No. FAC 06-06 Page 3 of 65 Pages CITY OF CARLSBAD, CALIFORNIA NOTICE INVITING BIDS Until 2:00 PM on November 2, 2006, the City shall accept sealed bids, clearly marked as such, at the Faraday Center, 1635 Faraday Avenue, Carlsbad, CA 92008-7314, Attn: Purchasing Officer, by mail, delivery service or by deposit in the Bid Box located in the first floor lobby, at which time they will be opened and read, for performing the work as follows: Dove Library RFID Tenant Improvements consisting of interior wall and ceiling modifications, interior casework modifications, electrical modifications and relocation of equipment. CONTRACT NO. FAC 06-06 DOVE LIBRARY RFID TENANT IMPROVEMENTS BID NO. PWI07-06FAC This bid and the terms of the Contract Documents and Supplemental Provisions constitute an irrevocable offer that shall remain valid and in full force for a period of 90 days and such additional time as may be mutually agreed upon by the City of Carlsbad and the Bidder. The work shall be performed in strict conformity with the plans and specifications as approved by the City Council of the City of Carlsbad on file with the General Services Department. The specifications for the work include the Standard Specifications for Public Works Construction. 2006 Edition, all hereinafter designated "SSPWC" as issued by the Southern California Chapter of the American Public Works Association and as amended by the supplemental provisions sections of this contract. Reference is hereby made to the plans and specifications for full particulars and description of the work. The City of Carlsbad encourages the participation of minority and women-owned businesses. The City of Carlsbad encourages all bidders, suppliers, manufacturers, fabricators and contractors to utilize recycled and recyclable materials when available, appropriate and approved by the Engineer. The City of Carlsbad may disqualify a contractor or subcontractor from participating in bidding when a contractor or subcontractor has been debarred by the City of Carlsbad or another jurisdiction in the State of California as an irresponsible bidder. No bid will be received unless it is made on a proposal form furnished by the Purchasing Department. Each bid must be accompanied by security in a form and amount required by law. The bidder's security of the second and third next lowest responsive bidders may be withheld until the Contract has been fully executed. The security submitted by all other unsuccessful bidders shall be returned to them, or deemed void, within ten (10) days after the Contract is awarded. Pursuant to the provisions of law (Public Contract Code section 10263), appropriate securities may be substituted for any obligation required by this notice or for any monies withheld by the City to ensure performance under this Contract, section 10263 of the Public Contract Code requires monies or securities to be deposited with the City or a state or federally chartered bank in California as the escrow agent. The escrow agent shall maintain insurance to cover negligent acts and omissions of the agent in connection with the handling of retentions under this section in an amount not less than $100,000 per contract. Revised 10/08/03 Contract No. FAC 06-06 Page 4 of 65 Pages The documents which comprise the Bidder's proposal and that must be completed and properly executed including notarization where indicated are: 1. Contractor's Proposal 7. Acknowledgement of Addendum(a) 2. Bidder's Bond 8. Certificate of Insurance. The riders covering the 3. Non-Collusion Affidavit City, its officials, employees and volunteers may 4. Designation of Subcontractors be omitted at the time of bid submittal but shall and Amount of Subcontractor Bid be provided by the Bidder prior to award of this 5. Bidder's Statement of Financial Responsibility contract. 6. Bidder's Statement of Technical Ability and 9. Bidder' s Statement Re Debarment Experience 10.Bidder's Disclosure Of Discipline Record 11. Escrow Agreement for Security Deposits - (optional, must be completed if the Bidder wishes to use the Escrow Agreement for Security) All bids will be compared on the basis of the Engineer's Estimate. The estimated quantities are approximate and serve solely as a basis for the comparison of bids. The Engineer's Estimate is $48.000.00. Except as provided herein a bid submitted to the City by a Contractor who is not licensed as a contractor pursuant to the Business and Professions Code shall be considered nonresponsive and shall be rejected by the City. In all contracts where federal funds are involved, no bid submitted shall be invalidated by the failure of the bidder to be licensed in accordance with California law. Where federal funds are involved the contractor shall be properly licensed at the time the contract is awarded. In all other cases the contractor shall state their license number, expiration date and classification in the proposal, under penalty of perjury. This invitation to bid does not involve federal funds. The following classifications are acceptable for this contract: B-General Building. If the Contractor intends to utilize the escrow agreement included in the contract documents in lieu of the usual 10% retention from each payment, these documents must be completed and submitted with the signed contract. The escrow agreement may not be substituted at a later date. Sets of plans, supplemental provisions, and Contract documents may be obtained at the Cashier's Counter of the Faraday Center located at 1635 Faraday Avenue, Carlsbad, California 92008-7314, for a non-refundable fee of $ 25 per set. If plans and specifications are to be mailed, the cost for postage should be added. Any prospective bidder who is in doubt as to the intended meaning of any part of the drawings, specifications or other contract documents, or finds discrepancies in or omissions from the drawings and specifications may submit to the Engineer a written request for clarification or correction. Any response will be made only by a written addendum duly issued by the Engineer a copy of which will be mailed or delivered to each person receiving a set of the contract documents. No oral response will be made to such inquiry. Prior to the award of the contract, no addition to, modification of or interpretation of any provision in the contract documents will be given by any agent, employee or contractor of the City of Carlsbad except as hereinbefore specified. No bidder may rely on directions given by any agent, employee or contractor of the City of Carlsbad except as hereinbefore specified. The City of Carlsbad reserves the right to reject any or all bids and to waive any minor irregularity or informality in such bids. 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 sections 1770, 1773, and 1773.1 of the Labor Code. Pursuant to section 1773.2 of the Labor Code, a current copy Revised 10/08/03 Contract No. FAC 06-06 Page 5 of 65 Pages of applicable wage rates is on file in the Office of the City Engineer. The Contractor to whom the Contract is awarded shall not pay less than the said specified prevailing rates of wages to all workers employed by him or her in the execution of the Contract. The Prime 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 pre-bid meeting and tour of the project site will be held at 8:00 am at the Dove Library, located at 1775 Dove Lane, Carlsbad, CA 92008. This meeting is not mandatory however it is the only time prospective informal bidders will be allowed access to the non-public areas of the library. Any bidder that fails to attend the pre-bid meeting agrees that the project plans and specifications are correct and acceptable. All bids are to be computed on the basis of the given estimated quantities of work, as indicated in this proposal, times the unit price as submitted by the bidder. In case of a discrepancy between words and figures, the words shall prevail. In case of an error in the extension of a unit price, the corrected extension shall be calculated and the bids will be computed as indicated above and compared on the basis of the corrected totals. All prices must be in ink or typewritten. Changes or corrections may be crossed out and typed or written in with ink and must be initialed in ink by a person authorized to sign for the Contractor. Bidders are advised to verify the issuance of all addenda and receipt thereof one day prior to bidding. Submission of bids without acknowledgment of addenda may be cause of rejection of bid. The Contractor shall provide bonds to secure faithful performance and warranty of the work in an amount equal to one hundred percent (100%) of the Contract price on this project. The Contractor shall provide bonds to secure payment of laborers and materials suppliers, in an amount equal to: 1) One hundred percent (100%) of the total amount payable by the terms of the contract when the total amount payable does not exceed five million dollars ($5,000,000). 2) Fifty percent (50%) of the total amount payable by the terms of the contract when the total amount payable is not less than five million dollars ($5,000,000) and does not exceed ten million dollars ($10,000,000). 3) Twenty-five percent (25%) of the total amount payable by the terms of the contract if the contract exceeds ten million dollars ($10,000,000). These bonds shall be kept in full force and effect during the course of this project, and shall extend in full force and effect and be retained by the City until they are released as stated in the Supplemental Provisions section of this contract. All bonds are to be placed with a surety insurance carrier admitted and authorized to transact the business of insurance in California and whose assets exceed their liabilities in an amount equal to or in excess of the amount of the bond. The bonds are to be accompanied by the following documents: 1) An original, or a certified copy, of the unrevoked appointment, power of attorney, by laws, or other instrument entitling or authorizing the person who executed the bond to do so. 2) A certified copy of the certificate of authority of the insurer issued by the insurance commissioner. If the bid is accepted, the City may require copies of the insurer's most recent annual statement and quarterly statement filed with the Department of Insurance pursuant to Article 10 (commencing with section 900) of Chapter 1 of Part 2 of Division 1 of the Insurance Code, within 10 calendar days of the insurer's receipt of a request to submit the statements. Revised 10/08/03 Contract No. FAC 06-06 Page 6 of 65 Pages Insurance is to be placed with insurers that: 1) Have a rating in the most recent Best's Key Rating Guide of at least A-:V 2) Are admitted and authorized to transact the business of insurance in the State of California by the Insurance Commissioner. Auto policies offered to meet the specification of this contract must: 1) Meet the conditions stated above for all insurance companies. 2) 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 auto insurance certificate must state the coverage is for "any auto" and cannot be limited in any manner. Workers' compensation insurance required under this contract must be offered by a company meeting the above standards with the exception that the Best's rating condition is waived. The City does accept policies issued by the State Compensation Fund meeting the requirement for workers' compensation insurance. The Contractor shall be required to maintain insurance as specified in the Contract. Any additional cost of said insurance shall be included in the bid price. The award of the contract by the City Council is contingent upon the Contractor submitting the required bonds and insurance, as described in the contract, within twenty days of bid opening. If the Contractor fails to comply with these requirements, the City may award the contract to the second or third lowest bidder and the bid security of the lowest bidder may be forfeited. The prime contractor and all subcontractors are required to have and maintain a valid City of Carlsbad Business License for the duration of the contract. Bidders are advised that work performed under this agreement by the following subcontrac- tor license types are considered "Specialty Contractors" C-10 Electrical, C-16 Fire Protection and C-20 Warm Air Heating Ventilation and Air Conditioning. Date Revised 10/08/03 Contract No. FAC 06-06 Page 7 of 65 Pages CITY OF CARLSBAD CONTRACT NO. FAC 06-06 DOVE LIBRARY RFID TENANT IMPROVEMENTS CONTRACTOR'S PROPOSAL ... « .. BLAIR RASMUSSEN CONSTRUCTIONcity council 11315 RANCHO BERNARDO RD., STE. 141 City of Carlsbad SAN DIEGO. CA 92128 1200 Carlsbad Village Drive CA UC# 670528 Carlsbad, California 92008 The undersigned declares he/she has carefully examined the location of the work, read the Notice Inviting bids, examined the Plans, Specifications, Supplemental Provisions and addenda thereto, and hereby proposes to furnish all labor, materials, equipment, transportation, and services required to do all the work to complete Contract No. FAC 06-06 in accordance with the Plans, Specifications, Supplemental Provisions and addenda thereto and that he/she will take in full payment therefor the following unit prices for each item complete, to wit: SCHEDULE "A" RFID TENANT IMPROVEMENTS Approximate Item Quantity Unit No. Description and Unit Price Total A-1 Tenant Improvements LS $ t> "7' / / 6 :S> $ >S~"7 / I 8. ^.f-^t- ! Dollars (Lump Sum) Total amount of bid in words for Schedule " /4L>/Q£>rt/6o ^Icn-effe^^ Do lift Total amount of bid in numbers for Schedule "A": $ The basis of award will be the sum of Schedule "A". Price(s) given above are firm for 90 days after date of bid opening. Addendum(a) No(s). CxAJLL has/have been received and is/are included in this proposal. The Undersigned has carefully checked all of the above figures and understands that the City will not be responsible for any error or omission on the part of the Undersigned in preparing this bid. The Undersigned agrees that in case of default in executing the required Contract with necessary bonds and insurance policies within twenty (20) days from the date of award of Contract by the City Council of the City of Carlsbad, the City may administratively authorize award of the contract to the Revised 10/08/03 Contract No. FAC 06-06 Page 8 of 65 Pages second or third lowest bidder and the bid security of the lowest bidder may be forfeited. The Undersigned bidder declares, under penalty of perjury, that the undersigned is licensed to do business or act in the capacity of a contractor within the State of California, validly licensed under license number fc> *7OS^&F , classification ^> which expires on lll3C>l OH , and that this statement is true and correct and has the legal effect of an affidavit. A bid submitted to the City by a Contractor who is not licensed as a contractor pursuant to the Business and Professions Code shall be considered nonresponsive and shall be rejected by the City § 7028.15(e). In all contracts where federal funds are involved, no bid submitted shall be invalidated by the failure of the bidder to be licensed in accordance with California law. However, at the time the contract is awarded, the contractor shall be properly licensed. Public Contract Code § 20104. The Undersigned bidder hereby represents as follows: 1. That no Council member, officer agent, or employee of the City of Carlsbad is personally interested, directly or indirectly, in this Contract, or the compensation to be paid hereunder; that no representation, oral or in writing, of the City Council, its officers, agents, or employees has inducted him/her to enter into this Contract, excepting only those contained in this form of Contract and the papers made a part hereof by its terms; and 2. That this bid is made without connection with any person, firm, or corporation making a bid for the same work, and is in all respects fair and without collusion or fraud. Accompanying this proposal is £?/<# /ofl/i^x (Cash, Certified Check, Bond or Cashier's Check) for ten percent (10%) of the amount bid. The Undersigned is aware of the provisions of section 3700 of the Labor Code which requires every employer to be insured against liability for workers' compensation or to undertake self-insurance in accordance with the provisions of that code, and agrees to comply with such provisions before commencing the performance of the work of this Contract and continue to comply until the contract is complete. The Undersigned is aware of the provisions of the Labor Code, Part 7, Chapter 1, Article 2, relative to the general prevailing rate of wages for each craft or type of worker needed to execute the Contract and agrees to comply with its provisions. IF A SOLE OWNER OR SOLE CONTRACTOR SIGN HERE: (1) Name under which business is conducted p/A< ( jJL^J*\ U 5ff/? COf) T/y £/ c fV 0 /? (2) Signature (given and surname) of proprietor (3) Place of Business // (Street and Number) City and State <>Cir\ L\J e ot P /3 9 J/J r7-~ (4) Zip Code 9^/^ _ Telephone No. ^'S"fr) U/ 3 - (5) E-Mail br Cons^ruc^tO^ ^ /na..-/ . com BLAIR RASMUSSEN CONSTRUCTION 11315 RANCHO BERNARDO RD., STE. 141 SAN DIEGO. CA 92128 CA LtC# 670528 Revised 10/08/03 Contract No. FAC 06-06 Page 9 of 65 Pages NOTARY ACKNOWLEDGEMENT Attention Notary - The infomation requested below is OPTIONAL. Recording of this document is not required by law jmd is also optional. It could, however, prevent fraudulent attachment of this certificate to any unauthorized document. . iiis certificate must be attached to the document described below. Title or Type of document Number of pages Date of document Signer(s) other than named below Individual STATE OF COUNTY OF On this Before me CALIFORNIA SAN DIEGO SS. day of X)pN/ ewiJQXfc-. in the year Terri L Jennette , a Notary Public, duly commissioned and qualified in above said County and State, personally appeared personally known to me or I | proved to me on this basis of satisfactory evidence consisting of an identifying document or | | the oath of 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 same. WITNESS my hand and official seal AUTOGRA (Seal) License Detail Page 1 of2 Monday, November 06, 2006 License Detail Contractor License # 670528 CALIFORNIA CONTRACTORS STATE LICENSE BOARD DISCLAIMER A license status check provides information taken from the CSLB license data base. Before relying on this information, you should be aware of the following limitations: . CSLB complaint disclosure is restricted by law (B&P7124.6). If this entity is subject to public complaint disclosure, a link for1 complaint disclosure will appear below. Click on the link or button to obtain complaint and/or legal action information. j . Per B&P 7071.17. only construction related civil judgments reported to the CSLB are disclosed. j . Arbitrations are not listed unless the contractor fails to comply with the terms of the arbitration. I . Due to workload, there may be relevant information that has not yet been entered onto the Board's license data base. Extract Date: 11/06/2006 * * * Business Information * * * BLAIR RASMUSSEN CONSTRUCTION 11315 RANCHO BERNARDINO ROAD SUITE 141 SAN DIEGO, CA 92128 Business Phone Number: (858) 613-9244 Entity: Sole Ownership Issue Date: 05/04/1993 Expire Date: 11/30/2007 * * * License Status * * * This license is current and active. All information below should be reviewed. * * * Additional Status Information * * * The license may be suspended on 12/06/2006 if the workers' compensation insurance policy is not filed with the CSLB. * * * Classifications * * * Class Description B GENERAL BUILDING CONTRACTOR * * * Bonding Information * * * CONTRACTOR'S BOND: This license filed Contractor's Bond number 142868 in the amount of $10,000 with the bonding company AMERICAN CONTRACTORS INDEMNITY COMPANY. Effective Date: 01/01/2004 Contractor's Bonding History * * * Workers Compensation Information * * * This license has workers compensation insurance with the STATE COMPENSATION INSURANCE FUND http://www2.cslb.ca.gov/CSLB_LIBRARY/License+Detail.asp 11/06/2006 License Detail Page 2 of 2 Policy Number: 1689883 Effective Date: 09/07/2002 Cancellation Date: 09/01/2006 ~~ Workers Compensation History Personnel listed on this license (current or disassociated) are listed on other licenses. Personnel List Other Licenses License Number Contractor Name Personnel Name Request Request Request salesperson Revues. © 2006 State of California. Conditions of Use Privacy Policy http://www2.cslb.ca.gov/CSLB_LIBRARY/License+Detail.asp 11/06/2006 IF A PARTNERSHIP. SIGN HERE: (1) Name under which business is conducted. (2) Signature (given and surname and character of partner) (Note: Signature must be made by a general partner) (3) Place of Business (Street and Number) City and State (4) Zip Code Telephone No. (5) E-Mail IF A CORPORATION. SIGN HERE: (1) Name under which business is conducted (2). (Signature) (Title) Impress Corporate Seal here (3) Incorporated under the laws of the State of (4) Place of Business (Street and Number) City and State (5) Zip Code Telephone No. (6) E-Mail NOTARIAL ACKNOWLEDGMENT OF EXECUTION BY ALL SIGNATORIES MUST BE ATTACHED BLAIR RASMUSSEN CONSTRUCTION 11315 RANCHO BERNARDO RD.. STE. 141 SAN DIEGO, CA 92128 CALIC# 670528 List below names of president, vice president, secretary and assistant secretary, if a corporation; if a Revised 10/08/03 Contract No. FAC 06-06 Page 10 of 65 Pages partnership, list names of all general partners, and managing partners: BLAIR RASMUSSEN CONSTRUCTION 11315 RANCHO BERNARDO RD., STE. 141 SAN DIEGO, CA 92128 CALIC# 670528 Revised 10/08/03 Contract No. FAC 06-06 Page 11 of 65 Pages BID SECURITY FORM (Check to Accompany Bid) CONTRACT NO. FAC 06-06 DOVE LIBRARY RFID TENANT IMPROVEMENTS (NOTE: The following form shall be used if check accompanies bid.) Accompanying this proposal is a *Certified "Cashiers check payable to the order of CITY OF CARLSBAD, in the sum of dollars ($ ), this amount being ten percent (10%) of the total amount of the bid. The proceeds of this check shall become the property of the City provided this proposal shall be accepted by the City through action of its legally constituted contracting authorities and the undersigned shall fail to execute a contract and furnish the required Performance, Warranty and Payment Bonds and proof of insurance coverage within the stipulated time; otherwise, the check shall be returned to the undersigned. The proceeds of this check shall also become the property of the City if the undersigned shall withdraw his or her bid within the period of fifteen (15) days after the date set for the opening thereof, unless otherwise required by law, and notwithstanding the award of the contract to another bidder. BIDDER *Delete the inapplicable word. (NOTE: If the Bidder desires to use a bond instead of check, the Bid Bond form on the following pages shall be executed-the sum of this bond shall be not less than ten percent (10%) of the total amount of the bid.) Revised 10/08/03 Contract No. FAC 06-06 Page 12 of 65 Pages 03/25/2BB5 20:22 8586139139 BLAIR RASMUSSEN PAGE 07 BIDDER'S BOND TO ACCOMPANY PROPOSAL CONTRACT NO. FAC 06-06 DOVE LIBRARY RFID TENANT IMPROVEMENTS KNOW ALL PERSONS BY THESE PRESENTS: That we BLAIR RASMUSSEN CONSTRUCTION as principal, and FINANCIAL PACIFIC INSURANCE COMPANY as Surety are held and firmly bound unto the City of Carlsbad, Californiajn an amount as follows: (must be at least ten percent (10%) of the bid amount) TEN PERCENT ^_ for wnich payment, well and truly made, we bind ourselves, our heirs, executors and administrators, successors or assigns, jointly and severally, firmly by these presents. THE CONDITION OF THE FOREGOING OBLIGATION IS SUCH that if the proposal of the above- bounden Principal for: CONTRACT NO. FAC 06-06 DOVE LIBRARY RFID TENANT IMPROVEMENTS in the City of Carlsbad, is accepted by the City Council, and if the Principal shall duly enter into and execute a Contract including required bonds and insurance policies within twenty (20) days from the date of award of Contract by the City Council of the City of Carlsbad, being duly notified of said award, then this obligation shall become null and void; otherwise, it shall be and remain in full force and effect, and the amount specified herein shall be forfeited to the said City. Revised 10/08/03 Contract No. FAC 06-06 Rape 13 of 65 Pages 03/25/2005 20:22 8586139139 BLAIR RASMUSSEN PAGE 08 In the event Principal executed this bond as an individual, it is agreed that the death of Principal shall not exonerate the Surety from its obligations under this bond. Executed by PRINCIPAL this 31ST day of OCTOBER _.20 06 . PRINCIPAL: BLAIR CONSTRUCTION (sigrmere) BLAIR RASMUSSEN. OWNER (print name here) 30TH day (Title and Organization of Signatory) By; _ „ _ __ (sign here) (print name here) (title and organization of signatory) Executed by SURETY this Of OCTOBER , 20 06 SURETY: FINANCIAL PACIFIC INSURANCE COMPANY (name of Surety) 3850 ATHERTON ROAD ROCKLIN, CA 95765 (address of Surety) (916)630-5000 umber (signature of Attorney-in-Fact) CYNDI BEILMAN, ATTORNEY IN FACT (printed name of Attomey-in-Fact) (Attach corporate resolution showing current power of attorney.) (Proper notarial acknowledgment of execution by PRINCIPAL 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: RONALD R. BALL City Attorney By:. Deputy City Attorney Revised 10/08/03 Contract No. FAC 06-06 Paae 14 of 65Paaes State of California County of San Diego On 10/31/2006 before me, Jessica Diaz De Leon, Notary Public personally appeared _ CYNDI BEILMAN _ personally known to me -OR- ..proved to me on the biub uf salisfactuiy evidence to be the person(s/ whose namejX) is/^re subscribed to the within instrument and acknowledged to me that he/she/they executed the same in jjis/her/their authorized capacity^), and that by his/her/theX signature^? on the instrument the personify, or the entity upon behalf of which the personm acted, executed the instrument. ' Witness my hand and official seal. ECEMBER 31 JESSICA DIAZ DE LEON COMM. (Signature of Notby) (Seal) JOND NUMBER PRINCIPAL LIMITED POWER OF ATTORNEY Financial Pacific Insurance Company B817960 BLAIR RASMUSSEN CONSTRUCTION POWER NUMBER 817960 PENAL SUM TEN PERCENT OF AMOUNT BID KNOW ALL MEN BY THESE PRESENTS, that Financial Pacific Insurance Company, a California corporation (the "Company"),does hereby make, constitute and appoint: Jeffrey R Davis, Cyndi Beilman, Rachel G. Holbrook to $1,500,000.00 its true and lawful Attorneys-in-Fact, with limited power and authority for and on behalf of tSftGjn^te asjurjty, to execute, deliver and affix the seal of the Company thereto if a seal is required on bonds, undertakings, recognizances ci'iBBiej' wilteit alligations in the nature thereof as follows: B.d Performance payilient? Subdivision awl and to bind the Company thereby. This Power of AttO,resolutions adopted by the Board of Directors of Financialfull force and effect: RESOLVED, Otif jltrt Ifcttidfent or anyattorneys-in-fact or agettts with authority as defij*e$.the Company, to execute and $|:llw:4Ba-£ffi* lpw<kinds; and said officers may remove aify'ttica.&aR^4frnrttQt agent and by the authority of the followingheld July 6, 1995, which are now in RESOLVED' FURTHER, that artyCompany when signed and sealed (if a seal-Ws re%u1re'(f);% evidenced by the power of attorney issued by tbe'Company jpB?>1liii (he Secretary or 4«By Assistant Secretary, may appointsift sfipK^cfagf tht appointment ia each case, for and on behalf ofr. ^_«fji.i...— ^ recognizances, noi-flwetyship obligations of all • fflf atWrney previously granted such person. obligation shall be valid' and binding upon the pursuaj^ to and witMn the limits of the authority RESOLVED FURTHER, that ttie'^taiature of any aumoAolibwrJSiMJ'^«a^^ facsimile to any power of attorney or certification thereof authorizing the execution and-dwH&fry oC^aBf Bond* Itederming, iec0fniz8ne,e, or other suretyship obligations of the Company; any such signature and seal when so used shall have the saaseXoroeitoft-efiect as though manually affixed. ial Pacific Insurance Company has caused these presents to be signed by its proper officers, and itsIN orporate seal tote i /§*™s.w^ J986 Robert T. Kingsley, President^ STATE OF CAUFd&NIA, COUNTTf . . On this 15th day of Nfereh, 2$04-;"-personally cam« beifore me Robert f . kingljey and Joha R. Hailittgshead, to me known to be the individuals and officers of Financial PacifTerlfl'suf ance Company, who executed the above instrument: and they have acknowledged the execution of the same, and being by me duly sworn, did severally depose and say that they are the said officers of the corporation aforesaid and that the seal affixed to the above instrument is the seal of the corporation, and that said corporate seal and their signatures as such officers were duly affixed and subscribed to the said instrument by the authority of the Board of Directors of said corporation. REBEKAH MOEU.ER COMM.«147138» Notary Publle-C«litornla « PLACER COOMTY = MyComm.Exp.Ftb21,20Q8 | Rebekah Moeller, Notary Public CERTIFICATE I, the undersigned Secretary of Financial Pacific Insurance Company, a California corporation, DO HEREBY CERTIFY that thisPower of Attorney remains in full force and effect and has not been revoked and furthermore, that the resolutions of the Board of Directors setforth, and that the relevant provisions of the By-Laws of the Company, are now in full force and effect. X~N Signed and sealed at Sacramento, this 31ST Financial Pacific Insurance Company seal must be affixed day of.OCTOBER _,20.06 NOTARY ACKNOWLEDGEMENT Attention Notary - The infomation requested below is OPTIONAL. Recording of this document is not required by law and is also optional. It could, however, prevent fraudulent attachment of this certificate to any unauthorized document. lis certificate must be attached to the document described below. Title or Type of document Number of pages Date of document Signer(s) other than named below Individual STATE OF CALIFORNIA COUNTY OF SAN DIEGO ss. On this i Before me i^H day of Ml/ en* Terri L Jennette &4A- ,i in the year , a Notary Public, duly commissioned and qualified in above said County and State, personally appeared _ Er7J personally known to me or | | proved to me on this basis of satisfactory evidence consisting of an identifying document or | | the oath of 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 same. 'WITNESS my hand and official seal ^ * ^PIJL&U d< AUTOGRAPH 2009 f (Seal) Company Profile Page 1 of 2 Company Profile FINANCIAL PACIFIC INSURANCE COMPANY PO BOX 292220 SACRAMENTO, CA 95829-2220 800-371-8067 Former Names for Company Old Name: M. L. DATES INSURANCE COMPANY Effective Date: 12-30-1993 Agent for Service of Process CHARLES E. WARDLAW, 3850 ATHERTON ROAD ROCKLIN, CA 95765 Unable to Locate the Agent for Service of Process? Reference Information NAIC#: 31453 NAIC Group #: 1114 California Company ID #: 3132-8 Date authorized in California: December 31, 1987 License Status: UNLIMITED-NORMAL Company Type: Property & Casualty State of Domicile: CALIFORNIA Lines of Insurance Authorized to Transact company is authorized to transact business within these lines of insurance. For an explanation of any of these terms, please refer to the glossary. AIRCRAFT AUTOMOBILE BOILER AND MACHINERY BURGLARY COMMON CARRIER LIABILITY CREDIT FIRE LIABILITY MARINE MISCELLANEOUS PLATE GLASS SPRINKLER SURETY TEAM AND VEHICLE WORKERS' COMPENSATION Company Complaint Information Company Enforcement Action Documents Company Performance & Comparison Data Composite Complaint Studies http://interactive. web. insurance, ca. go v/webuser/idb_cojprof_utl.get_co_pr... 11/06/2006 Company Profile Page 2 of 2 Want More? Help Me Find a Company Representative in My Area Financial Rating Organizations Last Revised - October 17, 2006 04:37 PM Copyright © California Department of Insurance http://interactive.web.insurance.ca.gov/webuser/idb_co_prof_utl.get_co_pr... 11/06/2006 GUIDE FOR COMPLETING THE "DESIGNATION OF SUBCONTRACTORS" FORM REFERENCES Prior to preparation of the following Subcontractor disclosure form Bidders are urged to review the definitions in section 1-2 of the SSPWC ("Greenbook") and in the Supplemental Provisions to this Contract, especially, "Bid", "Bidder", "Contract", "Contractor", "Contract Price", "Contract Unit Price", "Engineer", "Subcontractor" and "Work" and the definitions in section 1-2 of the Supplemental Provisions especially "Own Organization." Bidders are further urged to review sections 2-3 SUBCONTRACTS of the Greenbook and section 2-3.1 of these Supplemental Provisions. CAUTIONS This form will be used by the Agency to determine the percentage of work that the Bidder proposes to perform. Bidders are cautioned that failure to provide complete and correct information may result in rejection of the bid as non-responsive. Any bid that proposes performance of more than 50 percent of the work by subcontractors or otherwise to be preformed by forces other than the Bidder's own organization will be rejected as non-responsive. Specialty items of work that may be so designated by the Engineer on the "Contractor's Proposal" are not included in computing the percentage of work proposed to be performed by the Bidder. Note to Bidders: Work performed by the following Subcontractors classified as C-10 Electrical, C-16 Fire Protection and C-20 Warm Air Heating Ventilation and Air Conditioning are considered "Specialty Contractors" INSTRUCTIONS The Bidder shall set forth the name and location of business of each and every subcontractor whom the Bidder proposes to perform work or labor or render service in or about the work or improvement, and every subcontractor licensed as a contractor by the State of California whom the Bidder proposes to specially fabricate and install any portion of the work or improvement according to detailed drawings contained in the plans and specifications in excess of one-half of one percent (0.5%) of the Bidder's total bid or, in the case of bids or offers for the construction of streets and highways, including bridges, in excess of one-half of one percent (0.5%) or ten thousand dollars ($10,000) whichever is greater. Said name(s) and location(s) of business of subcontractors) shall be set forth and included as an integral part of the bid offer. The Designation of Subcontractors form must be submitted as a part of the Bidder's sealed bid. Failure to provide complete and correct information may result in rejection of the bid as non- responsive. Suppliers of materials from sources outside the limits of work are not subcontractors. The value of materials and transport of materials from sources outside the limits of work, as shown on the plans, shall be assigned to the Contractor or the Subcontractor as the case may be, that the Bidder proposes as installer of said materials. The value of material incorporated in any Subcontractor- installed bid item that is supplied by the Bidder shall be included as a part of the work that the Bidder proposes to be performed by the Subcontractor installing said item. When a Subcontractor has a Carlsbad business license, the number must be entered on the proper form. If the Subcontractor does not have a valid business license, enter "NONE" in the appropriate space. When the Bidder proposes using a Subcontractor to construct or install less than 100 percent of a bid item, the Bidder shall attach an explanation sheet to the Designation of Subcontractor form. The explanation sheet shall clearly apprise the City of the specific facts that show the Bidder proposes to perform no less than fifty percent (50%) of the work with its own forces. Determination of the subcontract amounts for purposes of award of the contract shall be determined by the City Council in conformance with the provisions of the contract documents and the Revised 10/08/03 Contract No. FAC 06-06 Page 15 of 65 Pages Supplemental Provisions. The decision of the City Council shall be final. Contractor is prohibited from performing any work on this project with a subcontractor who is ineligible to perform work on a public works project pursuant to Labor Code Sections 1771.1 or 1777.7. Bidders shall make any additional copies of the disclosure forms as may be necessary to provide the required information. The page number and total number of additional form pages shall be entered in the location provided on each type of form so duplicated. Revised 10/08/03 Contract No. FAC 06-06 Page 16 of 65 Pages DESIGNATION OF SUBCONTRACTOR AND AMOUNT OF SUBCONTRACTOR'S BID ITEMS CONTRACT NO. FAC 06-06 DOVE LIBRARY RFID TENANT IMPROVEMENTS The Bidder certifies that it has used the sub-bid of the following listed subcontractors in preparing this bid for the Work and that the listed subcontractors will be used to perform the portions of the Work as designated in this list in accordance with applicable provisions of the specifications and section 4100 et seq. of the Public Contract Code, "Subletting and Subcontracting Fair Practices Act." The Bidder further certifies that no additional subcontractor will be allowed to perform any portion of the Work in excess of one-half of one percent (0.5%) of the Bidder's total bid, or in the case of bids or offers for construction of streets and highways, including bridges, in excess of one-half of one percent (0.5%) or ten thousand dollars ($10,000), whichever is greater, and that no changes in the subcontractors listed work will be made except upon the prior approval of the Agency. SUBCONTRACTOR'S BID ITEMS Portion of Work*Subcontractor Name and Location of Business Subcontractor License Number and Classification Amount of Work by Subcontractor in Dollars* & Sfln CM fru 2*7 A i-p/AC UJ.R.cao Page.of pages of this Subcontractor Designation form Pursuant to section 4104 (aX2)(A) California Public Contract Code, receipt of the information preceded by an asterisk may be submitted by the Bidder up to 24 hours after the deadline for submitting bids contained in the "Notice Inviting Bids." DIEGO, CA 92128 CALIC# 670528 Revised 10/08/03 Contract No. FAC 06-06 Page 17 of 65 Pages BIDDER'S STATEMENT OF FINANCIAL RESPONSIBILITY (To Accompany Proposal) CONTRACT NO. FAC 06-06 DOVE LIBRARY RFID TENANT IMPROVEMENTS Copies of the latest Annual Report, audited financial statements or Balance Sheets may be submitted under separate cover marked CONFIDENTIAL. BLAIR RASMUSSEN CONSTRUCTION 11315 RANCHO BERNARDO RD., STE. 141 SAN DIEGO, CA 92128 CALIC* 670528 Revised 10/08/03 Contract No. FAC 06-06 Page 18 of 65 Pages BLAIR RASMUSSEN CONSTRUCTION (A SOLE PROPRIETORSHIP) FINANCIAL STATEMENTS DECEMBER 31, 2005 BLAIR RASMUSSEN CONSTRUCTION TABLE OF CONTENTS DECEMBER 31, 2005 Independent Accountants' Review Report 1 Balance Sheet 2 Statement of Income and Proprietor's Capital 3 Statement of Cash Flows 4 Notes to Financial Statements 5 Schedule I - Cost of Revenue 11 Schedule II- General and Administrative Expenses 12 Schedule HI- Earnings From Contracts 13 Schedule IV - Contracts in Process 14 Schedule V - Contracts Completed 15 Covell & CERTIFIED PUBLIC ACCOUNTANTS Mr. Blair Rasmussen, Owner Blair Rasmussen Construction San Diego, California Independent Accountants* Review Report We have reviewed the accompanying balance sheet of Blair Rasmussen Construction (a Sole Proprietorship), as of December 31, 2005, and the related statements of income and proprietor's capital and cash flows for the year then ended, in accordance with Statements on Standards for Accounting and Review Services issued by the American Institute of Certified Public Accountants. All information included in these financial statements is the representation of the management of Blair Rasmussen Construction. A review consists principally of inquiries of Company personnel and analytical procedures applied to financial data. It is substantially less in scope than an audit in accordance with generally accepted auditing standards, the objective of which is the expression of an opinion regarding the financial statements taken as a whole. Accordingly, we do not express such an opinion. Based on our review, we are not aware of any material modifications that should be made to the accompanying financial statements in order for them to be in conformity with generally accepted accounting principles. Our review was made for the purpose of expressing limited assurance that there are no material modifications that should be made to the financial statements in order for them to be in conformity with generally accepted accounting principles. The information included in the accompanying Schedules I through V is presented only for supplementary analysis purposes. Such information has been subjected to the inquiry and analytical procedures applied in the review of the basic financial statements, and we are not aware of any material modifications that should be made thereto. February 20, 2006 345 WEST NINTH AVENUE, SUITE 100 « ESCONDIDO, CA 92025 «'".; t B www.covellhogancpas.com S:A>- 760-741-2897 Member of American Institute of Certified Public Accountants and California Society of Certified Accountants BLAIR RASMUSSEN CONSTRUCTION BALANCE SHEET DECEMBER 31,2005 ASSETS CURRENT ASSETS Cash Receivables Costs and estimated earnings in excess of billings TOTAL CURRENT ASSETS $ 4,093 158,985 32.148 195,226 PROPERTY AND EQUIPMENT, net 59,020 TOTAL ASSETS $ 254,246 LIABILITIES AND PROPRIETOR'S CAPITAL CURRENT LIABILITIES Accounts payable Lines of credit Billings in excess of costs and estimated earnings Accrued expenses Current portion of long-term debt TOTAL CURRENT LIABILITIES LONG-TERM DEBT S 42,785 38,807 38,465 7,141 2,757 129,955 14,232 TOTAL LIABILITIES PROPRIETOR'S CAPITAL 144,187 110,059 TOTAL LIABILITIES AND PROPRIETOR'S CAPITAL $ 254,246 See accountants' review report and notes to financial statements -2- BLAIR RASMUSSEN CONSTRUCTION STATEMENT OF INCOME AND PROPRIETOR'S CAPITAL FOR THE YEAR ENDED DECEMBER 31, 2005 CONSTRUCTION REVENUE COST OF REVENUE GROSS PROFIT GENERAL AND ADMINISTRATIVE EXPENSES OPERATING INCOME OTHER INCOME (EXPENSE) Gain on sale of assets Interest expense TOTAL OTHER INCOME (EXPENSE) NET INCOME _ PROPRIETOR'S CAPITAL, BEGINNING PROPRIETOR'S DRAWS PROPRIETOR'S CAPITAL, ENDING $ 1,766,710 1,341,356 425,354 254,841 170,513 1,306 (9,606) (8,300) 162,213 43,231 (95,385) $ 110,059 See accountants' review report and notes to financial statements -3 - BLAIR RASMUSSEN CONSTRUCTION STATEMENT OF CASH FLOWS FOR THE YEAR ENDED DECEMBER 31, 2005 CASH FLOWS FROM OPERATING ACTIVITIES Net Income $ 162,213 ADJUSTMENTS TO RECONCILE NET INCOME TO NET CASH PROVIDED BY OPERATING ACTIVITIES Depreciation and amortization 15,386 (Gain) loss on disposal of property (1,306) (Increase) decrease in accounts receivable (55.468) (Increase) decrease in costs and estimated earnings in excess of billings (32.148) Increase (decrease) in accounts payable 22,783 Increase (decrease) in billings in excess of costs and estimated earnings 38,465 Increase (decrease) in accrued liabilities 995 Total adjustments (11,293) NET CASH PROVIDED BY OPERATING ACTIVITIES 150,920 CASH FLOWS FROM INVESTING ACTIVITIES Cash payments for the purchase of property (49,650) Cash proceeds from the sale of property 5,000 NET CASH USED BY INVESTING ACTIVITIES (44,650) CASH FLOWS FROM FINANCING ACTIVITIES Net borrowings on line of credit (57.957) Proprietor's draws (95,385) NET CASH USED BY FINANCING ACTIVITIES (153,342) NET DECREASE IN CASH EQUIVALENTS (47,072) CASH AND EQUIVALENTS, BEGINNING OF YEAR 51,165 CASH AND EQUIVALENTS, END OF YEAR $ 4,093' SUPPLEMENTAL DISCLOSURES OF CASH FLOW INFORMATION CASH PAID DURING THE YEAR FOR: Interest expense $ 9,606 See accountants' review report and notes to financial statements -4- BLAIR RASMUSSEN CONSTRUCTION NOTES TO FINANCIAL STATEMENTS DECEMBER 31, 2005 A. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Business Activity Blair Rasmussen Construction (the "Company") is engaged as a general contractor concentrating on construction of schools, light commercial and building construction in Southern California. Revenue and Cost Recognition The Company recognizes revenues from fixed price and modified fixed price construction contracts on the percentage-of-completion method, measured by the percentage of cost incurred to date to estimated total cost for each contract. That method is used because management considers total cost to be the best available measure of progress on the contracts. Contract costs include all direct material and labor costs and those indirect costs related to contract performance, such as equipment rental, insurance, and repairs. General and administrative costs are charged to expense as incurred. Provisions for estimated losses on uncompleted contracts are made in the period in which such losses are determined. Changes in job performance, job conditions, and estimated profitability, including those arising from contract penalty provisions, and final contract settlements may result in revisions to costs and income and are recognized in the period in which the revisions are determined. The asset, "costs and estimated earnings in excess of billings" represents revenues recognized in excess of amounts billed on uncompleted contracts. The liability, "billings in excess of costs and estimated earnings", represents billings in excess of revenues recognized. Cash and Equivalents The Company considers all short-term debt and equity securities with a maturity date of three months or less to be cash equivalents. Contracts Receivable Contracts receivable from performing construction of industrial and commercial buildings are based on contracted prices. Normal contracts receivable are due 30 days after the issuance of the invoice. Contract retentions are due 30 days after completion of the project and acceptance by the owner. Receivables past due more than 180 days are considered delinquent. Delinquent receivables are written off based on individual credit evaluation and specific circumstances of the customer. -5- BLAIR RASMUSSEN CONSTRUCTION NOTES TO FINANCIAL STATEMENTS DECEMBER 31, 2005 A. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED) Income Taxes The proprietorship itself is not a tax paying entity for purposes of federal and state income taxes. Federal and state income taxes of the proprietor are computed on his total income from all sources. Accordingly, no provision for income taxes is made in these statements. The proprietor customarily makes estimated tax payments toward his personal income tax liability from the proprietorship bank account. These payments are treated as withdrawal of capital. Use of Estimates The preparation of financial statements in conformity with generally accepted accounting principles requires management to make estimates and assumptions that affect certain reported amounts and disclosures. Accordingly, actual results could differ from those estimates. The Company has numerous contracts that are in various stages of completion. Such contracts require estimates to determine the appropriate cost and revenue recognition. However, current estimates may be revised as additional information becomes available. If estimates of costs to complete long-term contracts indicate a loss provisions are made currently for the total loss anticipated. Advertising Advertising costs are charged to operations when incurred. Advertising expense charged to operations was $9,664 for the year ended December 31, 2005. B. RECEIVABLES Receivables consist of the following at December 31: Contracts in process $ 23,933 Completed contracts 135,052 Total receivables S 158.985 No allowance for uncollectible accounts receivable has been reflected in the financial statements as management believes all accounts to be collectible. -6- BLAIR RASMUSSEN CONSTRUCTION NOTES TO FINANCIAL STATEMENTS DECEMBER 31, 2005 C. COSTS AND ESTIMATED EARNINGS ON UNCOMPLETED CONTRACTS Costs incurred on uncompleted contracts $ 797,246 Estimated earnings 153,825 951,071 Less: Billings to date 957,388 (6.3171 Included in accompanying balance sheet under the following captions: Costs and estimated earnings in excess of billings $ 32,148 Billings in excess of costs and estimated earnings (38,465) S (6.317) D. PROPERTY AND EQUIPMENT The following is a summary of property and equipment at cost at December 31: Vehicles $ 57,734 Machinery and equipment 26,224 Furniture and fixtures 3,774 Office equipment 8,187 Total property and equipment 95,919 Less accumulated depreciation (36,899) Property and equipment, net S 59.020 Depreciation expense for the year ended December 31, 2005 was $15,386. Property and equipment are stated at cost and depreciation is provided by the straight-line method based on the estimated useful lives of the related assets as follows: Asset Life Vehicles 5 Years Machinery and equipment 5-7 Years Furniture and fixtures 5 Years Office equipment 5 Years -7- BLAIR RASMUSSEN CONSTRUCTION NOTES TO FINANCIAL STATEMENTS DECEMBER 31, 2005 E. LONG-TERM DEBT Long-term debt consists of the following note: Note payable, collateralized by equipment, payable in monthly installments of $361 plus interest of 9.99%, final payment due in December 2010. $ 16,989 Total long-term debt 16,989 Less current portion 2,757 Noncurrent portion $ 14.232 Annual maturities of long-term debt outstanding at December 31, are as follows: Year Ending December 31: 2006 $ 2,757 2007 3,046 2008 3,364 2009 3,716 2010 4,106 2011 and thereafter - Total annual maturities $ 16.989 F. LINE OF CREDIT The Company has an unsecured revolving line of credit with Bank of America in the amount of $40,000. Interest is calculated on outstanding balances at a rate of 13.75%. At December 31, 2005 the Company had a balance due of $25,000. The Company has an unsecured line of credit with Wells Fargo Bank in the amount of $25,000. Interest is calculated on outstanding balances at a rate of 12%. At December 31, 2005, the Company had a balance due of $13,807. Total line of credit outstanding at December 31, 2005 was $38,807. G. COMPENSATED ABSENCES The Company does not accrue for compensated absences as the amount is considered immaterial. BLAIR RASMUSSEN CONSTRUCTION NOTES TO FINANCIAL STATEMENTS DECEMBER 31,2005 H. OPERATING LEASE COMMITMENTS The Company leases a storage yard from an unrelated party. The monthly rent was $1,080 and expired February 28, 2006. Rent expense for the lease totaled $11,880 for the year ended December 31, 2005. At the end of the lease term, the lease became month-to-month. I. BACKLOG The Company's backlog of work represents the amount of revenue the Company expects to realize from work to be performed on uncompleted contracts in progress at year-end and from contractual agreements on which work has not begun. The Company's backlog totaled $136,305 at December 31,2005. J. CASH FLOW INFORMATION The company had $16,989 of non-cash investing and financing transactions during the year ended December 31, 2005. K CONCENTRATIONS OF CREDIT RISK Financial instruments that potentially subject the Company to concentrations of credit risk consist principally of cash deposits in banks and other financial institutions, investment securities and accounts receivable. The Company maintains cash and cash equivalents and short and long-term investments with major banks. Accounts at banks are insured by the Federal Deposit Insurance Corporation (FDIC) up to $100,000 at each institution. At December 31, 2005 the Company did have cash balances with banks in excess of the FDIC coverage in the amount of$0. Concentrations of credit risk with respect to accounts receivable are limited because of the large number of customers, which make up the Company's customer base, thus spreading the credit risk. The Company performs on-going credit evaluations of its customers1 financial condition and, if necessary, maintains allowances for potential losses. -9- BLAIR RASMUSSEN CONSTRUCTION NOTES TO FINANCIAL STATEMENTS DECEMBER 31, 2005 M. SALES TO MAJOR CUSTOMERS For the year ended December 31, 2005 there were sales to major customers that exceeded 10% of total net sales. Sales to these customers and their accounts receivable balances at December 31, were as follows: Accounts Sales Receivable Customer A $522,832 $ 77,678 Customers $520,777 $ 53,651 While revenues from certain contracts represent more than 10% of total revenues, the non- repetitive nature of the Company's business preclude an economic dependence or an individual customer. N. VULNERABILITY DUE TO CERTAIN CONCENTRATIONS Consistent with industry practice, the Company is dependent on one subcontractor for most of its primary services. The Company purchased approximately 25% of its services from one subcontractor. There are periodic shortages in the availability of these services that could disrupt the Company's operations. -10- BLAIR RASMUSSEN CONSTRUCTION COST OF REVENUE FOR THE YEAR ENDED DECEMBER 31, 2005 SCHEDULE I COST OF REVENUE Subcontractors $ 575,062 Materials 343,755 Direct labor 307,527 Casual labor 51,907 Surety bonds 30,272 Equipment rental 29,515 Dump fees 3,318 TOTAL COST OF REVENUE $ 1,341,356 See accountants' review report and notes to financial statements - 11 - BLAIR RASMUSSEN CONSTRUCTION GENERAL AND ADMINISTRATIVE EXPENSES FOR THE YEAR ENDED DECEMBER 31, 2005 SCHEDULE II GENERAL AND ADMINISTRATIVE EXPENSES Insurance $ 106,235 Payroll taxes 27,447 Automobile expenses 21,634 Depreciation 15,386 Office supplies 14,356 Rent 12.960 Advertising and promotions 11,981 Entertainment and meals 9,664 Telephone 8.309 Shop labor 4,543 Accounting and legal fees 3,365 Travel and lodging 3,336 Drawings and bid documents 2,393 Shop supplies 1,974 Internet service 1,899 Utilities 1,856 Licenses, permits and fees 1,852 Dues and subscriptions 1.810 Office expenses 1,637 Printing 1,304 Contributions 900 TOTAL GENERAL AND ADMINISTRATIVE EXPENSES $ 254,841 See accountants' review report and notes to financial statements - 12- BLAIR RASMUSSEN CONSTRUCTION EARNINGS FROM CONTRACTS FOR THE YEAR ENDED DECEMBER 31, 2005 SCHEDULE III REVENUE COSTS OF GROSS EARNED REVENUE PROFIT Contracts in process $ 806,433 $ 681,014 $ 125,419 Contracts completed 960.277 660,342 299,935 Gross profit $ 1,766,710 $ 1,341,356 S 425,354 See accountants' review report and notes to financial statements. - 13- Jr O U Mg«P u M 0z tfO ft, U g 1H M CJ 12E H3§s °< rJS3 moor< ro 1 ^sWOUaaIdo w EYEAFJEf- _vwg > Id D1=1W3 1« 8 W M pC £3 5 2(3 "2 2 1 Amountou * SX)O U 1a0 r^EN O 4) n_E 1'? ^H 2 a £-30 « V5 "« 3 "5v> Se £*U oU VI a % & i£e o " S f —« «e •—— o V 3 Q05 o "O w el W 5 2 C8Q u •^il S 5 a*-> o E9 *^7•*- V CH "S.£ SPM Ou (3 -^ ® O V 0 01"3 S*; o H^ " 5•fc oP- Cc 5U ^ 0 0o o in MD 6fl •* oo CN CNsq_ oo_CN" \o" & ^CO CN" oo l o^ ^ M CO O oo" in" CN -M be •-H ^O C-. \o (N ^H SS CO CO w o\ "n0\ 0 SO •* p^ »— i t-* Oro ro CO OO CN" ^t"co ro w O fN CO O\ O so CN — CO 0 *~1 ^> p t^ ee 0o CN" 0o0CN" oo . so T^1 oo s o CN O CO ^\o —7 CN Oin •O COo" , ^fj\ ro" o\ ooo inoo o\ JQ O\ fNON oo oo" T*-" , . oo soo\ oo CO OOco" I-H OO CO CN CN o **ON Or-- in SO CNCN (N 0 CNCN \O ON cO CO O\O ON ON CNC-- Tfo in in roM oo o <-•—1 ON CN" **" oo Ooo ooo mo ^t^* oofN ^ OO •-•ON O ro' co'OO CNCN fN o 'o •o" O\ «nO ON r- ON CN" o '_ o"fN ^OO •^ O soro co --H O O CNCN *o r--CN O ^* r- ^t ^ ONO CN « " o r- CO, 00^co* r-fCN o oo 0 00CN in CO -- o ino oo so" W ino so"CO sin" ^H v-)so oo"CO oo "~i CO OOoo r-T>nON o_ ina\ CN co"in •o fN 0r- COr- r-4 00 ^H ofN CN" rOONsoco" o^ , t 1 ^_^ COCO 2 so"o oo" CNCOCN 2 , • • *no so" &e CN,in" •— i & in oo"ro oo *~iCNro « 0000CO, r-"inON M roro so" 00 2 m" w ^o, 00 CO — "oo t~~t & oCN CN" ON CO ^°»mONO ee «ri CN iri ^-. -^ —i CNo o o o o o o«n oo c^ *t o (N r-iO O O O O —I —i•<* ^f if) v~i u~i "O */io o o o o o o o £ BLAIR RASMUSSEN CONSTRUCTION CONTRACTS COMPLETED FOR THE YEAR ENDED DECEMBER 31, 2005 SCHEDULE V Contract Totals Before January 1,2005 Ended December .U. 21)05 Total Job Revenues Cost of No. earned revenues 040801 $ 041104 041201 050101 050103 050504 050602 050603 050604 050701 Jobs under $10,000 $ 253,091 $ 87,036 85,420 114,977 75,129 14,202 110,898 388,007 20,930 13,063 60,476 1,223,229 $ 170,588 69,796 65,104 76,047 (846) 7,319 66,081 322,609 14,430 9,042 37,163 837,333 $ Gross profit Revenues Cost of (loss) earned revenues 82,503 $ 17,240 20,316 38,930 75,975 6,883 44,817 65,398 6,500 4,021 23,313 385,896 $ 251,468 $ 1,347 6,908 - - - - - - - 3,229 262,952 $ 169,494 $ 1,080 5,265 - - - - - - 1,152 176,991 $ Gross profit Revenues Cost ol' (loss) earned rcvciuu-s 81,974 $ 267 1,643 - - - - - - - 2,077 85,961 $ 1,623 $ 85,689 78,512 114,977 75,129 14,202 110,898 3X8,007 20,93(1 13,063 57,247 960,277 S 1,094 $ 68,716 59,839 76,047 (846) 7,319 66,081 322.f>H9 -14,430 9,042 36,011 660.342 $ Gru.ss pro lit (loss) 529 16.97.1 18,673 38.930 75.975 6.X83 44.817 <)>.!'« 6,5011 4,021 21,236 299,935 See accountants' review report and notes to financial statements. -15- BIDDER'S STATEMENT OF TECHNICAL ABILITY AND EXPERIENCE (To Accompany Proposal) CONTRACT NO. FAC 06-06 DOVE LIBRARY RFID TENANT IMPROVEMENTS The Bidder is required to state what work of a similar character to that incluaed Ih IRe~~proposed Contract he/she has successfully performed and give references, with telephone numbers, which will enable the City to judge his/her responsibility, experience and skill. An attachment can be used. Date Contract Completed Name and Address of the Employer Name and Phone No. of Person to Contract Type of Work Amount of Contract BLAIR RASMUSSEN CONSTRUCTION 11315 RANCHO BERNARDO RD.. STE. 141 SAN DIEGO, CA 92128 CALIC# 670528 Revised 10/08/03 Contract No. FAC 06-06 Page 19 of 65 Pages Blair Rasmussen Construction General Contractors Professional References for Blair Rasmussen Construction Commercial: City of Carlsbad 405 Oak Avenue Carlsbad, CA 92008 Dale Schuck 760-434-2949 Value of Contract: $290,000 Description of Work: Two Park Restroom Replacement Completion Date: (12/06) Otay Water District 2554 Sweetwater Springs Blvd Spring Valley, CA 91978 (619) 670-2279 Value of Contract: $60,747 Description of Work: Meter Shop Remodel Completion Date: (11/15/06) San Diego County Water Authority 4677 Overland Avenue San Diego, CA 92123 Michael Vialpando (858) 522-6922 Value of Contract: $23,000 Description of Work: Construction of Hard Wall Offices in Water Resources Dept Completion Date: (6/21/06) City of Carlsbad 405 Oak Avenue Carlsbad, CA 92008 Dale Schuck 760-434-2949 Value of Contract: $256,698 Description of Work: Holiday Park Restroom Replacement Completion Date: 10/05 11315 Rancho Bernardo Rd., Ste. 141, San Diego, CA 92127. Lie. # 670528 Email: BRConstruction@gmail.com Phone: 858-613-9244 Fax: 858-613-9139 Blair Rasmussen Construction General Contractors Port of San Diego Cesar Chavez Parkway Pier Sherman Cotham, Construction Inspector (619) 994-7607 Value of Contract: $110,000 Description of Work: Modify Guardrail Connections Completion Date: 06/05 Olivenhain Municipal Water District 1966 Olivenhain Rd Encinitas, CA 92024 George Briest, Eng. Mgr. 760-753-6466 Value of Contract: 286,000 Description of Work: 4S Ranch WRFOB Remodel Completion Date: 09/05 Vista Unified School District 4680 North Avenue Oceanside, CA 92056 Donna Caperton, Director of Purchasing 760-726-2170 ext 2965 Value of Contract: $250,000 Description of Work: Classroom Conversion Completion Date: 01/05 San Dieguito Union High School District Jim Mitroff, Mtce Dept. Inspector 760-753-0179 Value of Contract: $386,942 Description of Work: Torrey Pines High School - Science Lab Classrooms Completion Date: 09/05 11315 Rancho Bernardo Rd., Ste. 141, San Diego, CA 92127. Lie. # 670528 Email: BRConstruction@gmail.com Phone: 858-613-9244 Fax: 858-613-9139 Blair Rasmussen Construction General Contractors Poway Unified School District 13626 Twin Peaks Road Poway, CA 92064 Carl Rossi, Facilities Coordinator 619 586-7500 xt. 2108 Value of Contract: $50,000 Description of Work: Ongoing projects - HVAC, Building Modifications, Interior Finishes OGECAL 5280 Carroll Canyon Rd., Suite 330 San Diego, CA 92121 Nabil El Naggar, Financial Mgr/Officer 858-713-0533 Value of Contract: $20-50,000 Description of Work: Ongoing projects - Interior Tenant Improvements to Owners Commercial Business Malls 11315 Rancho Bernardo Rd., Ste. 141, San Diego, CA 92127. Lie. # 670528 Email: BRConstruction@gmail.com Phone: 858-613-9244 Fax: 858-613-9139 BIDDER'S CERTIFICATE OF INSURANCE FOR GENERAL LIABILITY, EMPLOYERS' LIABILITY, AUTOMOTIVE LIABILITY AND WORKERS' COMPENSATION (To Accompany Proposal) CONTRACT NO. FAC 06-06 DOVE LIBRARY RFID TENANT IMPROVEMENTS As a required part of the Bidder's proposal the Bidder must attach either of the following to this page. 1) Certificates of insurance showing conformance with the requirements herein for each of: Comprehensive General Liability Automobile Liability Workers Compensation Employer's Liability 2) Statement with an insurance carrier's notarized signature stating that the carrier can, and upon payment of fees and/or premiums by the Bidder, will issue to the Bidder Policies of insurance for Comprehensive General Liability, Automobile Liability, Workers Compensation and Employer's Liability in conformance with the requirements herein and Certificates of insurance to the Agency showing conformance with the requirements herein. All certificates of insurance and statements of willingness to issue insurance for auto policies offered to meet the specification of this contract must: 1) Meet the conditions stated in The Notice Inviting Bids, the Standard Specifications for Public Works Construction and the Supplemental Provisions for this project for each insurance company that the Contractor proposes. 2) 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 auto insurance certificate must state the coverage is for "any auto" and cannot be limited in any manner. Revised 10/08/03 Contract No. FAC 06-06 Page 20 of 65 Pages ACORD CERTIFICATE OF LIABILITY INSURANCE BIi^D_2 DF PRODUCER .•lurria & Prick Insurance 380 Stevens Ave. , First Floor Solana Beach CA 92075 Phone: 858-259-5800 Fax:858-259-6069 INSURED Blair Rasmussen Construction11315 RANCHO BERNARDO RD. #141San Diego CA 92128 DATE (MWODftYYY) 11/29/06 THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE HOLDER. THIS CERTIFICATE DOES NOT AMEND, EXTEND OR ALTER THE COVERAGE AFFORDED BY THE POLICIES BELOW. INSURERS AFFORDING COVERAGE INSURER A: crut Aiuricmn Auurano* Co. INSURERS: ACI USA/Prop«rty t C»uilty Co INSURER C: INSURER D: INSURER E: NAIC* COVERAGES 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 SUBJECTTO ALL THE TERMS, EXCLUSIONS AND CONDITIONS OF SUCH POLICIES. AGGREGATE LIMITS SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS. LTR A B UJLTL NSRD TYPE Of INSURANCE GENERAL LIABILITY X COMMERCIAL GENERAL LIABILITY ~~| CLAIMS MADE [x | OCCUR GEN'L AGGREGATE LIMIT APPLIES PER:~~i POLICY njER c°f riLoc AUTOMOBILE LIABILITY ANY AUTO ALL OWNED AUTOS SCHEDULED AUTOS HIRED AUTOS NON-OWNED AUTOS OARAOE LIABILITY ANY AUTO EXCESS/UMBRELLA LIABILITY | OCCUR | | CLAIMS MADE DEDUCTIBLE RETENTION $ WORKERS COMPENSATION AND EMPLOYERS' LIABILITY ANY PROPRIETOFVPARTNER/EXECUTIVEOFFICER/MEMBER EXCLUDED? If yes, describe under SPECIAL PROVISIONS below OTHER POLICY NUMBER GLP9251732 C4472926A POLICY EFFECTIVEDATE (HM/DD/YY) 05/04/06 09/01/06 POLICY EXPIRATIONDATE (MWDD/YY) 05/04/07 09/01/07 LIMITS EACH OCCURRENCE UAMAUE 1 U KtIM 1 tUPREMISES (Ea occurence) MED EXP (Any one person) PERSONAL * ADV INJURY GENERAL AGGREGATE PRODUCTS - COMP/OP AGG COMBINED SINGLE LIMIT (Ea iccklent) BODILY INJURY(Pttr person) BODILY INJURY(Per accident) PROPERTY DAMAGE(Per accident) AUTO ONLY -EA ACCIDENT OTHER THAN EAACC AUTO ONLY: AQQ EACH OCCURRENCE AGGREGATE 1 WC5IAIU- IOTH-[TORY LIMITS I ER E.L. EACH ACCIDENT E.L. DISEASE - EA EMPLOYEE E.L. DISEASE - POLICY LIMIT $1,000,000 s 50, 000 t « 1,000, 000 $2,000,000 $1,000,000 i s $ $ i $ t $ J $ $ I $1,000,000 $1,000,000 $1,000,000 DESCRIPTION OF OPERATIONS ' LOCATIONS / VEH ICLES / EXCLUSIONS ADDED BY ENDORSEMENT / SPECIAL PROVISIONS *A 10-day notice will be sent for nonpay. The certificate holder is named as an additional insured with respects to LIABILITY ONLY arising out of activities performed by the named insured. Project: Dove Library, RFID Tenant Improvements, Project*: FAC06-06. CERTIFICATE HOLDER CANCELLATION City of Carlsbad, it's offi- cials , employees £ volunteers Attn: Kevin Davis 1635 Faraday Avenue Carlsbad CA 92008 SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE THE EXPIRATION DATE THEREOF, THE ISSUING INSURER WILL ENDEAVOR TO MAIL 30*^ DAYS WRITTEN NOTICE TO THE CERTIFICATE HOLDER NAMED TO THE LEFT. BUT FAILURE TO DO SO SHALL IMPOSE NO OBLIGATION OK LIABILITY OF ANY KIND UPON THB INSURBR, ITS AQENT8 OR REPRESENTATIVES. AUTHOJBDJ^ ACORD 25 (2001/08)© ACORD CORPORATION 1988 GLP9251732 BLAIR RASMUSSEN CONSTRUCTION COMMERCIAL GENERAL LIABILITY CG 20 33 07 04 THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY. ADDITIONAL INSURED- OWNERS, LESSEES OR CONTRACTORS - AUTOMATIC STATUS WHEN REQUIRED IN CONSTRUCTION AGREEMENT WITH YOU This endorsement modifies insurance provided under the following: COMMERCIAL GENERAL LIABILITY COVERAGE PART A. Section II - Who Is An Insured is amended to Include as an additional insured any person or or- ganization for whom you are performing operations when you and such person or organization have agreed in writing in a contract or agreement that such person or organization be added as an addi- tional insured on your policy. Such person or or- ganization is an additional insured only with re- spect to liability for "bodily injury", "property damage" or "personal and advertising injury" caused, in whole or In part, by: 1. Your acts or omissions; or 2. The acts or omissions of those acting on your behalf; in the performance of your ongoing operations for the additional insured. A person's or organization's status as an additional insured under this endorsement ends when your operations for that additional insured are com- pleted. The additional insured reads as: The City of Carlsbad, it's officials, employees & volunteers 1635 Faraday Ave. Carlsbad, CA 92008 B. With respect to the insurance afforded to these additional insureds, the following additional exclu- sions apply: This insurance does not apply to: 1. "Bodily Injury", "property damage" or "personal and advertising Injury" arising out of the render- ing of, or the failure to render, any professional architectural, engineering or surveying ser- vices, including: a. The preparing, approving, or (ailing to pre- pare or approve, maps, shop drawings, opinions, reports, surveys, field orders, change orders or drawings and specifica- tions; or b. Supervisory, inspection, architectural or engineering activities. 2. "Bodily injury" or "property damage" occurring after: a. All work, including materials, parts or equipment furnished in connection with such work, on the project (other than ser- vice, maintenance or repairs) to be per- formed by or on behalf of the additional In- sured^) at the location 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 subcontrac- tor engaged in performing operations for a principal as a part of the same project CG 20 33 07 04 0 ISO Properties, Inc., 2004 Page 1 of 1 a Nov 07 06 12:04p STATE FARM INSURANCE P.2 CERTIFICATE OF INSURANCE SUCH INSURANCE AS RESPECTS THE INTEREST OF THE CERTIFICATE HOLDER NAMED BELOW WILL NOT BE CANCELED OR OTHERWISE TERMINATED WITHOUT GIVING 10 DAYS PRIOR WRITTEN NOTICE TO THE CERTIFICATE HOLDER, BUT IN NO EVENT SHALL THIS CERTIFICATE BE VALID MORE THAN 30 DAYS FROM THE DATE WRITTEN. THIS CERTIFICATE OF INSURANCE DOES NOT CHANGE THE COVERAGE PROVIDED BY ANY POLICY DESCRIBED BELOW. This certifies that: g| STATE FARM MUTUAL AUTOMOBILE INSURANCE COMPANY of Bloomington, Illinois Q STATE FARM FIRE AND CASUALTY COMPANY of Bloomington, Illinois n STATE FARM COUNTY MUTUAL INSURANCE COMPANY OF TEXAS of Dallas, Texas, or D STATE FARM INDEMNITY COMPANY of Bloomington, Illinois has coverage in force for the following Named Insured as shown below. NAMED INSURED: RASMUSSEN, BLAia a., dba BLAIR RASMUSSEN CONSTRUCTION ADDRESS OF NAMED INSURED: 15210 SEGOVIA COURT, SAN DIEGO, CA 92129 POLICY NUMBER EFFECTIVE DATE OF POLICY DESCRIPTION OF VEHICLE (Including VIM} LIABILITY COVERAGE LIMITS OF LIABILITY a. Bodily Injury Each Person Each Accident b. Property Damage Each Accident c. Bodily Injury & Property Damage Single Limit Each Accident PHYSICAL DAMAGE COVERAGES a. Comprehensive b. Collision EMPLOYERS NON-OWNED CAR LIABILITY COVERAGE HIRED CAR LIABILITY COVERAGE FLEET- COVERAGE FOR ALL OWNED AND LICENSED MOTOR VEHICLES — k 115 5300-E02-55 11/02/06-05/02/07 1999 Chevrolet C3500 Stake Bed El YES D NO 1,000,000 CSL El YES Q NO $ 250 Deductible El YES Q NO $ 500 Deductible [X] YES D NO 13 YES D NO n YES n NO 123 3613-C12-55 09/12/06-03/12/07 2003 Ford Expedition E! YES n NO 1, 000,000 CSL El YES D NO $ 250 Deductible El YES D NO ' $ 500 Deductible EJ YES D NO El YES D NO D YES D NO 115 0811-E02-55 11/02/06-05/02/07 1996 Chevrolet C3500 pickup El YES n NO D YES D NO 1 1,000,000 CSL El YES D NO $ 250 Deductible El YES D NO $ 500 Deductible $3 YES D NO El YES D NO D YES D NO n YES n NO $ Deductible D YES D NO $ Deductible : D YES D NO D YES D NO D YES D NO Agent 8481 11/07/2006 Signature of Authorized Representative Name and Address of Certificate Holder Title Agent's Code Number Name and Address of Agent Date ADDITIONAL INSURED: CITY OF CARLSBAD 1635 FARADAY AVENDE CARLSBAD, CA 92008 ATTN: KEVIN DAVIS PROJECT: DOVE LIBRARY RFID TENANT IMPROVEMENTS EGBERT E. LEWIS, AGENT 275 E. DOUGLAS AVEN'JE, STE 101 EL CAJOU, CA 92020 PH: 619-579-2263 FAX: 619-593-4672 INTERNAL STATE FARM USE ONLY: 122429.2 Rev. 06-10-2004 Request permanent Certificate of Insurance for liability coverage Request Certificate Holder Jo be added as an Additional Insured. BIDDER'S STATEMENT RE DEBARMENT (To Accompany Proposal) CONTRACT NO. FAC 06-06 DOVE LIBRARY RFID TENANT IMPROVEMENTS 1) Have you or any of your subcontractors ever been debarred as an irresponsible bidder by another jurisdiction in the State of California? V/ yes no 2) If yes, what was/were the name(s) of the agency(ies) and what was/were the period(s) of debarment(s)? Attach additional copies of this page to accommodate more than two debarments. party debarred party debarred agency agency period of debarment period of debarment BY CONTRACTOR: na ontractor) Bv: (sign here) (print name/title) Page.I Of 1 pages of this Re Debarment form BLAIR RASMUSSEN CONSTRUCTION 11315 RANCHO BERNARDO RD.. STE 141 SAN DIEGO, CA 92128 CALIC# 670528 Revised 10/08/03 Contract No. FAC 06-06 Page 21 of 65 Pages BIDDER'S DISCLOSURE OF DISCIPLINE RECORD (To Accompany Proposal) CONTRACT NO. FAC 06-06 DOVE LIBRARY RFID TENANT IMPROVEMENTS Contractors are required by law to be licensed and regulated by the Contractors' State License Board which has jurisdiction to investigate complaints against contractors if a complaint regarding a patent act or omission is filed within four years of the date of the alleged violation. A complaint regarding a latent act or omission pertaining to structural defects must be filed within 10 years of the date of the alleged violation. Any questions concerning a contractor may be referred to the Registrar, Contractors' State License board, P.O. Box 26000, Sacramento, California 95826. 1) Have you ever had your contractor's license suspended or revoked by the California Contractors' State license Board two or more times within an eight year period? yes no 2) Has the suspension or revocation of your contractors license ever been stayed? yes no 3) Have any subcontractors that you propose to perform any portion of the Work ever had their contractor's license suspended or revoked by the California Contractors' State license Board two or more times within an eight year period? yes no 4) Has the suspension or revocation of the license of any subcontractor's that you propose to perform any portion of the Work ever been stayed? yes no 5) If the answer to either of 1. or 3. above is yes fully identify, in each and every case, the party disciplined, the date of and violation that the disciplinary action pertain to, describe the nature of the violation and the disciplinary action taken therefor. (If needed attach additional sheets to provide full disclosure.) I *\ ^Page 1 of pj^ pages of this Disclosure of Discipline form BLAIR RASMUSSEN CONSTRUCTION 11315 RANCHO BERNARDO RD.STE° 141 SAN DIEGO, CA 92128 CALIC# 670528 Revised 10/08/03 Contract No. FAC 06-06 Page 22 of 65 Pages BIDDER'S DISCLOSURE OF DISCIPLINE RECORD (CONTINUED) (To Accompany Proposal) CONTRACT NO. FAC 06-06 DOVE LIBRARY RFID TENANT IMPROVEMENTS 6) If the answer to either of 2. or 4. above is yes fully identify, in each and every case, the party who's discipline was stayed, the date of the violation that the disciplinary action pertains to, describe the nature of the violation and the condition (if any) upon which the disciplinary action was stayed. (If needed attach additional sheets to provide full disclosure.) BY CONTRACTOR: //?/#/ (nameflfContractor) DIEGO, CA 92128* CALIC* 670528 (print name/title) a* *,.// l [y i- ^Page ,-fl of c^. pages of this Disclosure of Discipline form Revised 10/08/03 Contract No. FAC 06-06 Page 23 of 65 Pages NON-COLLUSION AFFIDAVIT TO BE EXECUTED BY BIDDER AND SUBMITTED WITH BID PUBLIC CONTRACT CODE SECTION 7106 CONTRACT NO. FAC 06-06 DOVE LIBRARY RFID TENANT IMPROVEMENTS State of California ) ) ss. County of (Name of Bidder) and says that he or she is ., being first duly sworn, deposes (Title) of ^ (Name of Firm) the party making the foregoing bid that the bid is not made in the interest of, or on behalf of, any undisclosed person, partnership, company, association, organization, or corporation; that the bid is genuine and not collusive or sham; that the bidder has not directly or indirectly induced or solicited any other bidder to put in a false or sham bid, and has not directly or indirectly colluded, conspired, connived, or agreed with any bidder or anyone else to put in a sham bid, or that anyone shall refrain from bidding; that the bidder has not in any manner, directly or indirectly, sought by agreement, communication, or conference with anyone to fix the bid price of the bidder or any other bidder, or to fix any overhead, profit, or cost element of the bid price, or of that of any other bidder, or to secure any advantage against the public body awarding the contract of anyone interested in the proposed contract; that all statements contained in the bid are true; and, further, that the bidder has not, directly or indirectly, submitted his or her bid price or any breakdown thereof, or the contents thereof, or divulged information or data relative thereto, or paid, and will not pay, any fee to any corporation, partnership, company association, organization, bid depository, or to any member or agent thereof to effectuate a collusive or sham bid. I declare under penally of perjury that the foregoing is true and correct and that this affidavit was executed on the /sf day of AJdt/M/£(hJ _ , 20 <!>&>. Signature of Bidder Subscribed and sworn to before me on the j t>\~ day of iMOv1 £-VK!&£&-— 20 kj-,. (NOTARY SEAL) . Signaturl@ of Notary f Mlflj wSSI^ySSnm i3raW sMiopaocQumv 3 Revised 10/08/03 Contract No. FAC 06-06 Page 24 of 65 Pages Gity of Carlsbad Public Works October 23, 2006 ADDENDUM NO. 1 RE: DOVE LIBRARY RFID TENANT IMPROVEMENTS BID NO. PWI07-06FAC, CONTRACT NO. FAC06-06 Please include the attached addendum in the Notice to Bidder/Request for Bids you have for the above project. This addendum-receipt acknowledged-must be attached to your Request for Bid when your bid is submitted. KEVIN DAVIS Buyer Attachment ACKNOWLEDGE RECEIPT OF ADDENDUM NO. 1 Bidder's Signature BLAIR RASMUSSEN CONSTRUCTinM 11315 RANCHO BERNARDO ™s™?4 SAN DIEGO, CA 92128CALIC# 670528 1635 Faraday Avenue • Carlsbad, CA 92OO8-7314 • (76O) 602-2730 • FAX (76O) 6O2-8562 October 23, 2006 TO: Buyer FROM: Public Works Supervisor CONTRACT NO. FAC 06-06 DOVE LIBRARY RFID TENANT IMPROVEMENT REQUEST FOR ADDENDUM #01 Ptease prepare Addendum #01 to the contract covering the following issues: ITEM NO. 1 NOTICE INVITING BIDS / PAGE 7, PARAGRAPH 4 Add the following: The Non-Mandatory Pre-bid meeting will be held October 25, 2006. DALE A. SCHUCK Public Works Supervisor / Contracts and Agreements c: Public Works Manager Project Inspector File Addendum *01 PKS 07-01 Veterans Park Fence Installation CONTRACT PUBLIC WORKS This agreement is made this vjj- day of by and between the City of Carlsbad, California, a municpal corporation, (hereinafter called "City"), and BLAIR RASMUSSEN CONSTRUCTION whose principal place of business is 11315 RANCHO BERNARDO ROAD SUITE 141 SAN DIEGO CA 92127 (hereinafter called "Contractor"). City and Contractor agree as follows: 1. Description of Work. Contractor shall perform all work specified in the Contract documents for: CONTRACT NO. FAC 06-06 DOVE LIBRARY RFID TENANT IMPROVEMENTS (hereinafter called "project") 2. Provisions of Labor and Materials. Contractor shall provide all labor, materials, tools, equipment, and personnel to perform the work specified by the Contract Documents. 3. Contract Documents. The Contract Documents consist of this Contract, Notice Inviting Bids, Contractor's Proposal, Bidder's Bond, Designation of Subcontractors, Designation of Owner Operator/Lessors, Bidder's Statements of Financial Responsibility, Technical Ability and Experience, Re Debarment, Non-collusion Affidavit, Escrow Agreement, Release Form, the Plans and Specifications, the Supplemental Provisions, addendum(s) to said Plans and Specifications and Supplemental Provisions, and all proper amendments and changes made thereto in accordance with this Contract or the Plans and Specifications, and all bonds for the project; all of which are incorporated herein by this reference. Contractor, her/his subcontractors, and materials suppliers shall provide and install the work as indicated, specified, and implied by the Contract Documents. Any items of work not indicated or specified, but which are essential to the completion of the work, shall be provided at the Contractor's expense to fulfill the intent of said documents. In all instances through the life of the Contract, the City will be the interpreter of the intent of the Contract Documents, and the City's decision relative to said intent will be final and binding. Failure of the Contractor to apprise subcontractors and materials suppliers of this condition of the Contract will not relieve responsibility of compliance. 4. Payment. For all compensation for Contractor's performance of work under this Contract, City shall make payment to the Contractor per section 9-3 PAYMENT of the Standard Specifications for Public Works Construction (SSPWC) 2006 Edition, hereinafter designated "SSPWC", as issued by the Southern California Chapter of the American Public Works Association, and as amended by the Supplemental Provisions section of this contract. The Engineer will close the estimate of work completed for progress payments on the last working day of each month. 5. Independent Investigation. Contractor has made an independent investigation of the jobsite, the soil conditions at the jobsite, and all other conditions that might affect the progress of the work, and is aware of those conditions. The Contract price includes payment for all work that may be done by Contractor, whether anticipated or not, in order to overcome underground conditions. Any information that may have been furnished to Contractor by City about underground conditions or A*¥ Revised 10/08/03 Contract No. FAC 06-06 Page 25 of 65 Pages other job conditions is for Contractor's convenience only, and City does not warrant that the conditions are as thus indicated. Contractor is satisfied with all job conditions, including underground conditions and has not relied on information furnished by City. 6. Hazardous Waste or Other Unusual Conditions. If the contract involves digging trenches or other excavations that extend deeper than four feet below the surface Contractor shall promptly, and before the following conditions are disturbed, notify City, in writing, of any: A. Hazardous Waste. Material that Contractor believes may be material that is hazardous waste, as defined in section 25117 of the Health and Safety Code, that is required to be removed to a Class I, Class II, or Class III disposal site in accordance with provisions of existing law. B. Differing Conditions. Subsurface or latent physical conditions at the site differing from those indicated. C. Unknown Physical Conditions. Unknown physical conditions at the site of any unusual nature, different materially from those ordinarily encountered and generally recognized as inherent in work of the character provided for in the contract. City shall promptly investigate the conditions, and if it finds that the conditions do materially so differ, or do involve hazardous waste, and cause a decrease or increase in contractor's costs of, or the time required for, performance of any part of the work shall issue a change order under the procedures described in this contract. In the event that a dispute arises between City and Contractor whether the conditions materially differ, or involve hazardous waste, or cause a decrease or increase in the contractor's cost of, or time required for, performance of any part of the work, contractor shall not be excused from any scheduled completion date provided for by the contract, but shall proceed with all work to be performed under the contract. Contractor shall retain any and all rights provided either by contract or by law which pertain to the resolution of disputes and protests between the contracting parties. 7. Immigration Reform and Control Act. Contractor certifies it is aware of the requirements of the Immigration Reform and Control Act of 1986 (8 USC sections 1101-1525) and has complied and will comply with these requirements, including, but not limited to, verifying the eligibility for employment of all agents, employees, subcontractors, and consultants that are included in this Contract. 8. Prevailing Wage. Pursuant to the California Labor Code, the director of the Department of Industrial Relations has determined the general prevailing rate of per diem wages in accordance with California Labor Code, section 1773 and a copy of a schedule of said general prevailing wage rates is on file in the office of the City Engineer, and is incorporated by reference herein. Pursuant to California Labor Code, section 1775, Contractor shall pay prevailing wages. Contractor shall post copies of all applicable prevailing wages on the job site. 9. Indemnification. 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 law, rules or regulations including those relating 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. Revised 10/08/03 Contract No. FAC 06-06 Page 26 of 65 Pages Contractor shall also defend and indemnify the City against any challenges to the award of the contract to Contractor, and Contractor will pay all costs, including defense costs for the City. Defense costs include the cost of separate counsel for City, if City requests separate counsel. Contractor shall also defend and indemnify the City against any challenges to the award of the contract to Contractor, arising in whole or in part from alleged inaccuracies or misrepresentation by the Contractor, whether intentional or otherwise, and Contractor will pay all costs, including defense costs for the City. Defense costs include the cost of separate counsel for City, if City requests separate counsel. 10. Insurance. Contractor shall procure and maintain for the duration of the contract insurance against claims for injuries to persons or damage to property which may arise from or in connection with the performance of the work hereunder by the Contractor, his or her agents, representatives, employees or subcontractors. Said insurance shall meet the City's policy for insurance as stated in Resolution No. 91-403. (A) Coverages And Limits Contractor shall maintain the types of coverages and minimum limits indicted herein: a. Comprehensive General Liability Insurance: $1,000,000 combined single limit per occurrence for bodily injury and property damage. If the policy has an aggregate limit, a separate aggregate in the amounts specified shall be established for the risks for which the City or its agents, officers or employees are additional insured. b. Business Automobile Liability Insurance: $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 auto insurance certificate must state the coverage is for "any auto" and cannot be limited in any manner. c. Workers' Compensation and Employers' Liability Insurance: Workers' compensation limits as required by the Labor Code of the State of California and Employers' Liability limits of $1,000,000 per incident. Workers' compensation offered by the State Compensation Insurance Fund is acceptable to the City. (B) Additional Provisions. Contractor shall ensure that the policies of insurance required under this agreement with the exception of Workers' Compensation and Business Automobile Liability Insurance contain, or are endorsed to contain, the following provisions. a. The City, its officials, employees and volunteers are to be covered as additional insured as respects: liability arising out of activities performed by or on behalf of the Contractor; products and completed operations of the contractor; premises owned, leased, hired or borrowed by the contractor. The coverage shall contain no special limitations on the scope of protection afforded to the City, its officials, employees or volunteers. All additional insured endorsements must be evidenced using separate documents attached to the certificate of insurance; one for each company affording general liability, and employers' liability coverage. b. The Contractor's insurance coverage shall be primary insurance as respects the City, its officials, employees and volunteers. Any insurance or self-insurance maintained by the City, its officials, employees or volunteers shall be in excess of the contractor's insurance and shall not contribute with it. c. Any failure to comply with reporting provisions of the policies shall not affect coverage provided Revised 10/08/03 Contract No. FAC 06-06 Page 27 of 65 Pages to the City, its officials, employees or volunteers. d. Coverage shall state that the contractor's insurance shall apply separately to each insured against whom claim is made or suit is brought, except with respect to the limits of the insurer's liability. (C) Notice Of Cancellation. Each insurance policy required by this agreement shall be endorsed to state that coverage shall not be nonrenewed, suspended, voided, canceled, or reduced in coverage or limits except after thirty (30) days' prior written notice has been given to the City by certified mail, return receipt requested. (D) Deductibles And Self-Insured Retention (S.I.R.) Levels. Any deductibles or self-insured retention levels must be declared to and approved by the City. At the option of the City, either: the insurer shall reduce or eliminate such deductibles or self-insured retention levels as respects the City, its officials and employees; or the contractor shall procure a bond guaranteeing payment of losses and related investigation, claim administration and defense expenses. (E) Waiver Of Subrogation. All policies of insurance required under this agreement shall contain a waiver of all rights of subrogation the insurer may have or may acquire against the City or any of its officials or employees. (F) Subcontractors. Contractor shall include all subcontractors as insured under its policies or shall furnish separate certificates and endorsements for each subcontractor. Coverages for subcontractors shall be subject to all of the requirements stated herein. (G) Acceptability Of Insurers. Insurance is to be placed with insurers that have a rating in Best's Key Rating Guide of at least A-:V. Insurers must also be authorized to transact the business of insurance by the State of California Insurance Commissioner as admitted carriers as evidenced by a listing in the official publication of the Department of Insurance of the State of California and/or under the standards specified by the City Council in Resolution No. 91-403. (H) Verification Of Coverage. Contractor shall furnish the City with certificates of insurance and original endorsements affecting coverage required by this clause. The certificates and endorsements for each insurance policy are to be signed by a person authorized by that insurer to bind coverage on its behalf. The certificates and endorsements are to be in forms approved by the City and are to be received and approved by the City before the Contract is executed by the City. (I) Cost Of Insurance. The Cost of all insurance required under this agreement shall be included in the Contractor's bid. 11. Claims and Lawsuits. All claims by contractor for $375,000 or less shall be resolved in accordance with the provisions in the Public Contract Code, Division 2, Part 3, Chapter 1, Article 1.5 (commencing with section 20104) which are incorporated by reference. A copy of Article 1.5 is included in the Supplemental Provisions I section. The contractor shall initially submit all claims over $375,000 to the City using the informal dispute resolution process described in Public Contract Code subsections 20104.2(a), (c), (d). Notwithstanding the provisions of this section of the contract, all claims shall comply with the Government Tort Claim Act (section 900 et seq., of the California Government Code) for any claim or cause of action for money or damages prior to filing any lawsuit for breach of this agreement. (A) Assertion of Claims. Contractor hereby agrees that any contract claim submitted to the City must be asserted as part of the contract process as set forth in this agreement and not in anticipation of litigation or in conjunction with litigation. Revised 10/08/03 Contract No. FAC 06-06 Page 28 of 65 Pages (B) False Claims. Contractor acknowledges that if a false claim is submitted to the City, it may be considered fraud and the Contractor may be subject to criminal prosecution. (C) Government Code. 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. (D) Penalty Recovery. If the City of Carlsbad seeks to recover penalties pursuant to the False Claims Act, it is entitled to recover its litigation costs, including attorney's fees. (E) Debarment for False Claims. 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. (F) Carlsbad Municipal Code. 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. (G) Debarment from Other Jurisdictions. Contractor hereby acknowledges that debarment by another jurisdiction is grounds for the City of Carlsbad to disqualify the Contractor or subcontrac- tor from participating in future contract bidding. (H) Jurisdiction. 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. _ _MI have read and understand all provisions of Section 11 above. <*--• v ' init init 12. Maintenance of Records. Contractor shall maintain and make available at no cost to the City, upon request, records in accordance with sections 1776 and 1812 of Part 7, Chapter 1, Article 2, of the Labor Code. If the Contractor does not maintain the records at Contractor's principal place of business as specified above, Contractor shall so inform the City by certified letter accompanying the return of this Contract. Contractor shall notify the City by certified mail of any change of address of such records. 13. Labor Code Provisions. The provisions of Part 7, Chapter 1, commencing with section 1720 of the Labor Code are incorporated herein by reference. 14. Security. Securities in the form of cash, cashier's check, or certified check may be substituted for any monies withheld by the City to secure performance of this contract for any obligation established by this contract. Any other security that is mutually agreed to by the Contractor and the City may be substituted for monies withheld to ensure performance under this Contract. 15. Provisions Required by Law Deemed Inserted. Each and every provision of law and clause required by law to be inserted in this Contract shall be deemed to be inserted herein and included herein, and if, through mistake or otherwise, any such provision is not inserted, or is not correctly inserted, then upon application of either party, the Contract shall forthwith be physically amended to make such insertion or correction. 16. Additional Provisions. Any additional provisions of this agreement are set forth in the "General Provisions" or "Supplemental Provisions" attached hereto and made a part hereof. NOTARIAL ACKNOWLEDGMENT OF EXECUTION BY ALL SIGNATORIES MUST BE ATTACHED Revised 10/08/03 Contract No. FAC 06-06 Page 29 of 65 Pages (CORPORATE SEAL) CONTRACTOR:CITY OF CARLSBAD a municipal corporation of the State of Californis e of Contractor)By: (sign here) (print name and title) By: (sign here) LORjAIN (print name and title) 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 the corporate seal empowering that officer to bind the corporation. APPROVED AS TO FORM: RONALD R. BALL City Attorney By: Deputy City Attorney Revised 10/08/03 Contract No. FAC 06-06 Page 30 of 65 Pages NOTARY ACKNOWLEDGEMENT Attention Notary - The infomation requested below is OPTIONAL. Recording of this document is not required by law and is also optional. It could, however, prevent fraudulent attachment of this certificate to any unauthorized document. lis certificate must be attached to the document described below. Title or Type of document Number of pages Date of document Signer(s) other than named below Individual STATE OF CALIFORNIA COUNTY OF SAN DIEGO SS. On this Before me HJ^A day of A/Oi/bn Terri L Jennette htf^ ,t in the year I? , a Notary Public, duly commissioned and qualified in m us^ -enabove said County and State, personally appeared personally known to me or proved to me on this basis of satisfactory evidence consisting of an identifying document or the oath of 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 same. WITNESS my hand and official seal ^ ^J^5i^^L^25^^^» (Seal) BOND NO.: C817965 PREMIUM INCLUDED IN PERFORMANCE BOND LABOR AND MATERIALS BOND WHEREAS, the City of Carlsbad, State of California, has awarded to BLAIR RASNiUSSEN CONSTRUCTION (hereinafter designated as the "Principal"), a Contract for: CONTRACT NO. FAC 06-06 DOVE LIBRARY RFID TENANT IMPROVEMENTS 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 their 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,^ BLAIR RASMUSSEN CONSTRUCTION , as Principal, (hereinafter designated as the "Contractor), and FINANCIAL PACIFIC INSURANCE COMPANY as Surety, are held firmly bound unto the City of Carlsbad in the sum of Fifty Seven Thousand One Hundred Eighteen Dollars ($57,118), 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 3181, 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 3248. This bond shall inure to the benefit of any of the persons named in California Civil Code section 3181, 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 thereunder 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. Revised 10/08/03 Contract No. FAC 06-06 Page 31 of 65 Pages 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 of N^QiUfyM. ^S^Oyv , 20 CONTRACTOR: BLAIR RASMUSSEN CONSTRUCTION .- _ Dt^A^ (print name here) title and organization of signatory) By: (sign here) (print name here) Executed by SURETY this of NOVEMBER 15TH day _, 2006 . SURETY: FINANCIAL PACIFIC INSURANCE COMPANY (name of Surety) 3580 ATHERTQN ROAD. RQCKLTN. CA 95765 (address of Surety) (8001 371 -«0fi7 _ \ (telephone numbej of Surety) _ ._ (^Jjsignature of Attorney-in-Fact) CYNDI BEILMAN _ (printed name of Attorney-in-Fact) (attach corporate resolution showing current power of attorney) (title and organization of signatory) (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: RONALD R. BALL City Attorney By: Deputy City Attorney Revised 10/08/03 Contract No. FAC 06-06 Page 32 of 65 Pages State of California County of San Diego On 11/15/2006 before me, Jessica Diaz De Leon, Notary Public personally appeared CYNDI BEILMAN personally known to me -OR- prfvH tn mf on thr* bniii nf satisfactory pviH^nrp to be the person^ whose namejX) is/ajd'subscribed to the within instrument and acknowledged to me that^he/she/tlj-ey executed the same in higftier/thefr authorized capacity^ies^Tand that by his/her/their signaturete^f on the instrument the personjXCor the entity upon behalf of which the personfe) acted, executed the instrument. Witness my hand and official seal. (Signature oTNotary) JESSICA DIAZ DE LEON | COMM. #1633781 i NOTARY PUBLIC-CALIFORNIA g SAN DIEGO COUNTY O My Commission Expires » DECEMBER 31, 2009 I (Seal) NOTARY ACKNOWLEDGEMENT Attention Notary - The infomation requested below is OPTIONAL. Recording of this document is not required by law and is also optional. It could, however, prevent fraudulent attachment of this certificate to any unauthorized document. lis certificate must be attached to the document described below. Title or Type of document Number of pages Date of document Signer(s) other than named below Individual STATE OF CALIFORNIA COUNTY OF On this Before me SAN DIEGO SS. day of lTlo\/e.yKJ3l£- in the year Jerri L Jennette , a Notary Public, duly commissioned and qualified in above said County and State, personally appeared personally known to me or proved to me on this basis of satisfactory evidence consisting of an identifying document or | | the oath of _ 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 same. 'WITNESS my hand and official seal (Seal) 3OND NUMBER LIMITED POWER OF ATTORNEY Financial Pacific Insurance Company C817965 POWER NUMBER 817965 PRINCIPAL BLAIR RASMUSSEN CONSTRUCTION PENAL SUM $57,118.00 KNOW ALL MEN BY THESE PRESENTS, that Financial Pacific Insurance Company, a California corporation (the "Company"),does hereby make, constitute and appoint: Jeffrey R. Davis, Cyndi Beilman, Rachel G. Holbrook its true and lawful Attorneys-in-Fact, with limited power and authority for and on behalf of tK0 Oornjjwm? as ffljrety, to execute, deliver and affixthe seal of the Company thereto if a seal is required on bonds, undertakings, recognizan<!tMXtt.<)jjt£r Wjfttea Obligations in the nature thereof as Bid, Performance, Payment, Subdivision antf Misf#jli^^ to $1,500,000.00 and to bind the Company thereby. This Power of AttorneM-'fc-'SiLr-,, 1____,jrv _^^,—^ _„resolutions adopted by the Board of Directors of Financ^T&ifle.jto^^te^p^.^-tti'J^tiag^dul) full force and effect: - "-VJ," "" '. .":? "':-'',-:>"' '.'y-'' •'-'": *-" ' "• '* •""'• -.. ~ - :---••>' .f~**-K«y£V.&&* &&$•}*'•> "'- "' :iv;--.RESOLVED, ftftt'titt P&8i<tent or any ?Mk* fSesftMilt,l^HttiafeB^if mm Ae ,'Seeretary or* and by the authority of the followingheld July 6, 1995, which are now in RESOLVED, fBtj m& RftaBrtSnt or any.'VK attorneys-in-fact or ageflfe w^irtifctih; as defja$$'< the Company, to execute and dpiteMaaffBlpe'Skinds; and said officers may remove any sucn ,'Seeretary or'atsy Assistant Secretary, may appoint-.„ „ , , _, . . j; the appointment in;e,ach case, for and on behalf ofif t|»Cofflpfey"t^^^,-rtih|feetfeiIarigs, recognizances, and'swetyship obligations of all" *" '* of agesit Jtnrt n*«8be'ap% po«wer of attorney previously "granied such person. RESOLVE1D FURTHER, that any Wnid, to'tfet^fciiM, im®iis!rtbei',-« *si^ssT»irj 'obligation shall toe valid aad binding upon theCompany when signed and sealed (if a seal ber%uke4lt^.ote^'Mp^'i^M1W^%'fr'S^t •f«rsuaat to and within the limits of the authority evidenced by the power of attorney issued by ttie Company tq^ueli'j9!Cson,or p^tep>»"-;-', ' . • . RESOLVED FURTHER,-that the 'Signature of any authoffe«I offtee'f ted'"flft-*eS"^f'^b.e'-Ctorn|»a«[f-(Bay'!>e affixed % facsimile to anypower of attorney or certification thereof authorizing the execution aofl^aeBwy-^rf pay bond, todertaking, Ire^OgnBKanee, or other suretyship obligations of the Company; any £uch signature and seal when so used shall h3vetae'«nt$ forfce |to4*ffcct-as thotigS naanttally affixed. INWIUNlSiS. .,'-,-corporate seal to behereumto ific Insurance Comptey has .caused these presents to lie signed by its proper officers, and its [^..jZftP^ ' - '_ ___ y. ' , - A&\W*tiiitf,.-':'~'» ^•';r<X:V""-*r--^V'3;Si-^:-,*'4'"'''-J,--'•-•-•.'./^?..^|\ ' " -••• — -• J986 Robert T. Kingsley, Presiden JonnlR. Hollingshead, secretary STATi Of CALIFORNIA, ODUNTt- pFlSACRAWENT^ .;'? ''".«'' -" - ' ' On this 15th day 'of March, 2004,r-personaJly came before, me Rfifoert T. Kljg^ley and John R. Holliagshead, to me known to be the individuals and officers of Financial Pacific Insurance Company, *who exeeutetf the above instniment, and they haVe acknowledged the execution of the same, and being by me duly sworn, did severally depose and say that they are the said officers of the corporation aforesaid and that the seal affixed to the above instrument is the seal of the corporation, and that said corporate seal and their signatures as such officers were duly affixed and subscribed to the said instrument by the authority of the Board of Directors of said corporation. REBEKAH MOEU.ER COMM. #1471389 Notary PubHe-CaMfbrnla PLACER COUNTY MyComm.Exp.F«b21,2008 Im Rebekah Moeller, Notary Public CERTIFICATE I, the undersigned Secretary of Financial Pacific Insurance Company, a California corporation, DO HEREBY CERTIFY that thisPower of Attorney remains in full force and effect and has not been revokea and furthermore, that the resolutions of the Board of Directors setforth, and that the relevant provisions of the By-Laws of the Company, are now in full force and effect. Signed and sealed at Sacramento, this 15TH day of NOVEMBER . 20 06 Financial Pacific Insurance Company seal must be affixed ; BOND NO.: C81796S PREMIUM: $1,428.00, BASED ON FINAL CONTRACT PRICE FAITHFUL PERFORMANCE/WARRANTY BOND WHEREAS, the City of Carlsbad, State of California, has awarded to BLAIR RASNflJSSEN CONSTRUCTION (hereinafter designated as the "Principal"), a Contract for: CONTRACT NO. FAC 06-06 DOVE LIBRARY RFID TENANT IMPROVEMENTS in the City of Carlsbad, in strict conformity with the contract, the drawings and specifications, and other Contract Documents now on file in the Office of the City Clerk of the City of Carlsbad, 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 for the faithful performance and warranty of said Contract; NOW, THEREFORE, WE BLAIR RASMUSSEN CONSTRUCTION as Principal, (hereinafter designated as the "Contractor"), and FINANCIAL PACIFIC TNSURANP.F COMPANY as Surety, are held firmly bound unto the City of Carlsbad in the sum of Fifty Seven Thousand One Hundred Eighteen Dollars ($57,118), 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 above bounden Contractor, their heirs, executors, administrators, successors or assigns, shall in all things stand to and abide by, and well and truly keep and perform the covenants, conditions, and agreements in the Contract and any alteration thereof made as therein provided on their part, to be kept and performed at the time and in the manner therein specified, and in all respects according to their true intent and meaning, and shall indemnify and save harmless the City of Carlsbad, its officers, employees and agents, as therein stipulated, then this obligation shall become null and void; otherwise it shall remain in full force and effect. As a part of the obligation secured hereby and in addition to the face amount specified therefor, there shall be included costs and reasonable expenses and fees, including reasonable attorney's fees, incurred by the City in successfully enforcing such obligation, all to be taxed as costs and included in any judgment rendered. 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 thereunder 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. Revised 10/08/03 Contract No. FAC 06-06 Page 33 of 65 Pages 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 / ttM- day of MOUfrAA/yU^' 20 6tg. CONTRACTOR: BLAIR RASMUSSEN CONSTRUCTION (name of Contractor) (Title and Organization of Signatory) By: (sign here) Executed by SURETY this 15TH day of NOVEMBER , 2Q06_ SURETY: FINANCIAL PACIFIC INSURANCE COMPANY (name of Surety) ATHFRTflN ROAR, Rnr.EI TN, P.A (address of Surety) (800) 371-8067 ^(telephone number of Surety) (signature of Attorney-in-Fact) CYNDI BEILMAN (print name here) (printed name of Attorney-in-Fact) (Attach corporate resolution showing current power of attorney.) (Title and Organization of signatory) (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: RONALD R. BALL City Attorney Deputy City Attorney Revised 10/08/03 Contract No. FAC 06-06 Page 34 of 65 Pages State of California County of San Diego On 11/15/2006 before me, Jessica Diaz De Leon, Notary Public personally appeared CYNDI BEILMAN personally known to me -OR- proved to me on the basis of satisfactory evidence to be the personm whose name)^) is/a^e subscribed to the within instrument and acknowledged to me that h^/she/they executed the same in his/her/their authorized capacity(je3), and that by his/her/thej/signaturej^) on the instrument the personf^f, or the entity upon behalf of which the person^Xf acted, executed the instrument. Witness my hand and official seal. (Signature of No Jk^£A DIAZ DE LEON* '^^^^^^^••BBBT (Seal) NOTARY ACKNOWLEDGEMENT Attention Notary - The information requested below is OPTIONAL. Recording of this document is not required by law and is also optional. It could, however, prevent fraudulent attachment of this certificate to any unauthorized document. ^-i—- lis certificate must be attached to the document described below. Title or Type of document Number of pages Date of document Signer(s) other than named below Individual STATE OF CALIFORNIA COUNTY OF SAN DIEGO SS. On this Before me !H4.V\ day of yVloue Terri L Jennette ,t in the , a Notary Public, duly commissioned and qualified in above said County and State, personally appeared personally known to me or [ | proved to me on this basis of satisfactory evidence consisting of an identifying document or the oath of 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 capacityQes), 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 same. WITNESS my hand and official seal \fJLfa H- %P AUTOGRA^I (Seal) OPTIONAL ESCROW AGREEMENT FOR SECURITY DEPOSITS IN LIEU OF RETENTION This Escrow Agreement is made and entered into by and between the City of Carlsbad whose address is 1200 Carlsbad Village Drive, Carlsbad, California, 92008, hereinafter called "City" and whose address is hereinafter called "Contractor" and whose address is hereinafter called "Escrow Agent." For the consideration hereinafter set forth, the City, Contractor and Escrow Agent agree as follows: 1. Pursuant to sections 22300 and 10263 of the Public Contract Code of the State of California, the Contractor has the option to deposit securities with the Escrow Agent as a substitute for retention earnings required to be withheld by the City pursuant to the Construction Contract entered into between the City and Contractor for CONTRACT NO. FAC 06-06 DOVE LIBRARY RFID TENANT IMPROVEMENTS in the amount of dated (hereinafter referred to as the "Contract"). Alternatively, on written request of the Contractor, the City shall make payments of the retention earnings directly to the Escrow Agent. When the Contractor deposits the securities as a substitute for Contract earnings, the Escrow Agent shall notify the City within 10 days of the deposit. The Escrow Agent shall maintain insurance to cover negligent acts and omissions of the Escrow Agent in connection with the handling of retentions under these sections in an amount not less than $100,000 per contract. The market value of the securities at the time of the substitution shall be a least equal to the cash amount then required to be withheld as retention under the terms of the contract between the City and Contractor. Securities shall be held in the name of the City and shall designate the Contractor as the beneficial owner. 2. The City shall make progress payments to the Contractor for such funds which otherwise would be withheld from progress payments pursuant to the Contract provisions, provided that the Escrow Agent holds securities in the form and amount specified above. 3. When the City makes payment of retentions earned directly to the Escrow Agent, the Escrow Agent shall hold them for the benefit of the Contractor until such time as the escrow created under this contract is terminated. The Contractor may direct the investment of the payments into securities. All terms and conditions of this agreement and the rights and responsibilities of the parties shall be equally applicable and binding when the City pays the Escrow Agent directly. 4. The Contractor shall be responsible for paying all fees for the expenses incurred by the Escrow Agent in administering the Escrow Account and all expenses of the City. These expenses and payment terms shall be determined by the City, Contractor and Escrow Agent. 5. The interest earned on the securities or the money market accounts held in escrow and all interest earned on that interest shall be for the sole account of Contractor and shall be subject to withdrawal by Contractor at any time and from time to time without notice to the City. Revised 10/08/03 Contract No. FAC 06-06 Page 35 of 65 Pages 6. Contractor shall have the right to withdraw all or any part of the principal in the Escrow Account only by written notice to Escrow Agent accompanied by written authorization from City to the Escrow Agent that City consents to the withdrawal of the amount sought to be withdrawn by Contractor. 7. The City shall have a right to draw upon the securities in the event of default by the Contractor. Upon seven days' written notice to the Escrow Agent from the City of the default, the Escrow Agent shall immediately convert the securities to cash and shall distribute the cash as instructed by the City. 8. Upon receipt of written notification from the City certifying that the Contract is final and complete and that the Contractor has complied with all requirements and procedures applicable to the Contract, the Escrow Agent shall release to Contractor all securities and interest on deposit less escrow fees and charges of the Escrow Account. The escrow shall be closed immediately upon disbursement of all moneys and securities on deposit and payments of fees and charges. 9. The Escrow Agent shall rely on the written notifications from the City and the Contractor pursuant to sections (1) to (8), inclusive, of this agreement and the City and Contractor shall hold Escrow Agent harmless from Escrow Agent's release, conversion and disbursement of the securities and interest as set forth above. 10. The names of the persons who are authorized to give written notices or to receive written notice on behalf of the City and on behalf of Contractor in connection with the foregoing, and exemplars of their respective signatures are as follows: For City: Title FINANCE DIRECTOR Name Signature Address _ For Contractor: Title Name Signature Address _ For Escrow Agent: Title Name Signature Address At the time the Escrow Account is opened, the City and Contractor shall deliver to the Escrow Agent a fully executed counterpart of this Agreement. Revised 10/08/03 Contract No. FAC 06-06 Page 36 of 65 Pages IN WITNESS WHEREOF, the parties have executed this Agreement by their proper officers on the date first set forth above. For City:Title Name Signature Address MAYOR For Contractor:Title Name Signature Address For Escrow Agent:Title Name Signature Address Revised 10/08/03 Contract No. FAC 06-06 Page 37 of 65 Pages r SUPPLEMENTAL PROVISIONS FOR CONTRACT NO. FAC 06-06 DOVE LIBRARY RFID TENANT IMPROVEMENTS CITY OF CARLSBAD SUPPLEMENTAL PROVISIONS TO "GREENBOOK" STANDARD SPECIFICATIONS for PUBLIC WORKS CONSTRUCTION 2006 EDITION PART 1, GENERAL PROVISIONS SECTION 1 - TERMS, DEFINITIONS ABBREVIATIONS AND SYMBOLS 1-1 TERMS Add the following section: 1-1.1 Reference to Drawings. Where words "shown", "indicated", "detailed", "noted", "scheduled", or words of similar import are used, it shall be understood that reference is made to the plans accompanying these provisions, unless stated otherwise. Add the following section: 1-1.2 Directions. Where words "directed", "designated", "selected", or words of similar import are used, it shall be understood that the direction, designation or selection of the Engineer is intended, unless stated otherwise. The word "required" and words of similar import shall be understood to mean "as required to properly complete the work as required and as approved by the Engineer," unless stated otherwise. Add the following section: 1-1.3 Equals and Approvals. Where the words "equal", "approved equal", "equivalent", and such words of similar import are used, it shall be understood such words are followed by the expression "in the opinion of the Engineer", unless otherwise stated. Where the words "approved", "approval", "acceptance", or words of similar import are used, it shall be understood that the approval, acceptance, or similar import of the Engineer is intended. Add the following section: 1-1.4 Perform. The word "perform" shall be understood to mean that the Contractor, at its expense, shall perform all operations, labor, tools and equipment, and further, including the furnishing and installing of materials that are indicated, specified or required to mean that the Contractor, at its expense, shall furnish and install the work, complete in place and ready to use, including furnishing of necessary labor, materials, tools, equipment, and transportation. 1-2 DEFINITIONS. Modify as follows: The following words, or groups of words, shall be exclusively defined by the definitions assigned to them herein. Agency - the City of Carlsbad, California. Revised 10/08/03 Contract No. FAC 06-06 Page 38 of 65 Pages City Council - the City Council of the City of Carlsbad. City Manager - the City Manager of the City of Carlsbad or his/her approved representative. Dispute Board - persons designated by the City Manager to hear and advise the City Manager on claims submitted by the Contractor. The City Manager is the last appeal level for informal dispute resolution. Engineer - the City Engineer of the City of Carlsbad or his/her approved representative. The Engineer is the third level of appeal for informal dispute resolution. Minor Bid Item - a single contract item constituting less than 10 percent (10%) of the original Contract Price bid. Own Organization - When used in Section 2-3.1 - Employees of the Contractor who are hired, directed, supervised and paid by the Contractor to accomplish the completion of the Work. Further, such employees have their employment taxes, State disability insurance payments, State and Federal income taxes paid and administered, as applicable, by the Contractor. When used in Section 2-3.1 "own organization" means construction equipment that the Contractor owns or leases and uses to accomplish the Work. Equipment that is owner operated or leased equipment with an operator is not part of the Contractor's Own Organization and will not be included for the purpose of compliance with section 2-3.1 of the Standard Specifications and these Supplemental Provisions. Owner Operator/Lessor - Any person who provides equipment or tools with an operator provided who is employed by neither the Contractor nor a subcontractor and is neither an agent or employee of the Agency or a public utility. Public Works Manager - General Services - The Public Works Supervisor's immediate supervisor and second level of appeal for informal dispute resolution. Project Inspector - the Engineer's designated representative for inspection, contract administration and first level for informal dispute resolution. Public Works Supervisor - Contracts and Agreements- the Project Inspector's immediate supervisor and first level of appeal for informal dispute resolution. 1-3 ABBREVIATIONS 1-3.2 Common Usage, add the following: Abbreviation Word or Words Apts Apartment and Apartments Bldg Building and Buildings CMWD Carlsbad Municipal Water District CSSD Carlsbad Supplemental Standard Drawings cfs Cubic Feet per Second Comm Commercial DR Dimension Ratio E Electric EWA Encina Wastewater Authority G Gas gal Gallon and Gallons Gar Garage and Garages Revised 10/08/03 Contract No. FAC 06-06 Page 39 of 65 Pages GNV Ground Not Visible ( gpm gallons per minute IE Invert Elevation LWD Leucadia Wastewater District MSL Mean Sea Level (see Regional Standard Drawing M-12) MTBM Microtunneling Boring Machine NCTD North County Transit District ONE Overhead Electric OMWD Olivenhain Municipal Water District ROW Right-of-Way S Sewer or Slope, as applicable SDNR San Diego Northern Railway SDRSD San Diego Regional Standard Drawings SFM Sewer Force Main T Telephone UE Underground Electric W Water, Wider or Width, as applicable VWD Vallecitos Water District SECTION 2 -- SCOPE AND CONTROL OF THE WORK 2-3 SUBCONTRACTS. 2-3.1 General, add the following: Should the Contractor fail to adhere to the provisions requiring the Contractor to complete 50 percent of the contract price with its own organization, the Agency may at its sole discretion elect to cancel the contract or deduct an amount equal to 10 percent of the value of the work performed in excess of 50 percent of the contract price by other than the Contractor's own organization. The City Council shall be the sole body for determination of a violation of these provisions. In any proceedings under this section, the prime contractor shall be entitled to a public hearing before the City Council and shall be notified ten (10) days in advance of the time and location of said hearing. The determination of the City Council shall be final. 2-4 CONTRACT BONDS, modify the second sentence of paragraph one as follows: Delete, "who is listed in the latest version of U.S. Department of Treasury Circular 570,". Modify paragraphs three and four to read: The Contractor shall provide a faithful perform- ance/warranty bond and payment bond (labor and materials bond) for this contract. The faithful performance/warranty bond shall be in a sum not less than one hundred percent of the total amount payable by the terms of this contract. The Contractor shall provide bonds to secure payment of laborers and materials suppliers in a sum not less than one hundred percent of the total amount payable by the terms of this contract. Both bonds shall extend in full force and effect and be retained by the Agency during this project until they are released according to the provisions of this section. The faithful performance/warranty bond will be reduced to 25 percent of the original amount 30 days after recordation of the Notice of Completion and will remain in full force and effect for the one year warranty period and until all warranty repairs are completed to the satisfaction of the Engineer. The bonds to secure payment of laborers and materials suppliers shall be released six months plus 30 days after recordation of the Notice of Completion if all claims have been paid. Revised 10/08/03 Contract No. FAC 06-06 Page 40 of 65 Pages Add the following: All bonds are to be placed with a surety insurance carrier admitted and authorized to transact the business of insurance in California and whose assets exceed their liabilities in an amount equal to or in excess of the amount of the bond. The bonds are to contain the following documents: 1) An original, or a certified copy, of the un-revoked appointment, power of attorney, by laws, or other instrument entitling or authorizing the person who executed the bond to do so. 2) A certified copy of the certificate of authority of the insurer issued by the insurance commissioner. If the bid is accepted, the Agency may require a financial statement of the assets and liabilities of the insurer at the end of the quarter calendar year prior to 30 days next preceding the date of the execution of the bond. The financial statement shall be made by an officer's certificate as defined in Section 173 of the Corporations Code. In the case of a foreign insurer, the financial statement may be verified by the oath of the principal officer or manager residing within the United States. 2-5 PLANS AND SPECIFICATIONS. 2-5.1 General, add the following: The specifications for the work include the Standard Specifications for Public Works Construction, (SSPWC), 2006 Edition, hereinafter designated "SSPWC", as written and promulgated by Joint Cooperative Committee of the Southern California Chapter American Public Works Association and Southern California Districts Associated General Contractors of California, and as amended by the Supplemental Provisions section of this contract. The construction plans consist of one set. The set is designated as City of Carlsbad Drawing No. DWG 441-8. The standard drawings used for this project are the latest edition of the San Diego Area Regional Standard Drawings, hereinafter designated SDRSD, as issued by the San Diego County Department of Public Works, together with the most recent editions of the City of Carlsbad Supplemental Standard Drawings, hereinafter designated as CSSD, as issued by the City of Carlsbad and the Carlsbad Municipal Water District Standard Plans hereinafter designated as CMWDSD, as issued by the Carlsbad Municipal Water District. Copies of some of the pertinent standard drawings are enclosed as an appendix to these Supplemental Provisions. 2-5.2 Precedence of Contract Documents, modify as follows: If there is a conflict between Contract Documents, the document highest in precedence shall control. The precedence shall be the most recent edition of the following documents listed in order of highest to lowest precedence: 1) Permits from other agencies as may be required by law. 2) City of Carlsbad Supplemental Provisions. 3) Technical Specifications and Special Construction Provisions 4) Plans. 5) City of Carlsbad Engineering Standards, 2004 Edition. 6) San Diego Regional Standard Drawings 7) State of California Department of Transportation Standard Plans 8) Standard Specifications for Public Works Construction 9) Reference Specifications 10) Manufacturer's Installation Recommendations Change Orders, Supplemental Agreements and approved revisions to Plans and Specifications will take precedence over items 2) through 7-9) above. Detailed plans and plan views shall have precedence over general plans. 2-5.3.3 Submittals, add the following: Each submittal shall be consecutively numbered. Resubmittals shall be labeled with the number of the original submittal followed by an ascending alphabetical designation (e.g. The label '4-C' would indicate the third instance that the fourth submittal had been given to the Engineer). Each sheet of each submittal shall be consecutively numbered. Each set of shop drawings and submittals shall be accompanied by a letter of transmittal 0Revised 10/08/03 Contract No. FAC 06-06 Page 41 of 65 Pages on the Contractor's letterhead. The Letter of transmittal shall contain the following: 1) Project title and Agency contract number. 2) Number of complete sets. 3) Contractor's certification statement. 4) Specification section numbers) pertaining to material submitted for review. 5) Submittal number (Submittal numbers shall be consecutive including subsequent submittals for the same materials.) 6) Description of the contents of the submittal. 7) Identification of deviations from the contract documents. When submitted for the Engineer's review, Shop Drawings shall bear the Contractor's certification that the Contractor has reviewed, checked, and approved the Shop Drawings and that they are in conformance with the requirements of the Contract Documents. The Contractor shall subscribe to and shall place the following certification on all submittals: "I hereby certify that the (equipment, material) shown and marked in this submittal is that proposed to be incorporated into this Project, is in compliance with the Contract Documents, can be installed in the allocated spaces, and is submitted for approval." By: Title: Date: Company Name: Add the following: 2*5.4 Record Drawings, The Contractor shall provide and keep up-to-date a complete "as-built" record set of blue-line prints, which shall be corrected in red daily and show every change from the original drawings and specifications and the exact "as-built" locations, sizes and kinds of equipment, underground piping, valves, and all other work not visible at surface grade. Prints for this purpose may be obtained from the Agency at cost. This set of drawings shall be kept on the job and shall be used only as a record set and shall be delivered to the Engineer within ten (10) days of completion of the work. Payment for performing the work required by section 2-5.4 shall be included in the various bid items and no additional payment will be made therefore. 2-10 AUTHORITY OF BOARD AND ENGINEER. Add the following section: 2-10.1 Availability of Records, The Contractor shall, at no charge to the Agency, provide copies of all records in the Contractor's or subcontractor's possession pertaining to the work that the Engineer may request. Add the following section: 2-10.2 Audit And Inspection, Contractor agrees to maintain and/or make available, to the Engineer, within San Diego County, accurate books and accounting records relative to all its activities and to contractually require all subcontractors to this Contract to do the same. The Engineer shall have the right to monitor, assess, and evaluate Contractor's and its subcontractors performance pursuant to this Agreement, said monitoring, assessments, and evaluations to include, but not be limited to, audits, inspection of premises, reports, contracts, subcontracts and interviews of Contractor's staff and the staff of all subcontractors to this contract. At any time during normal business hours and as often as the Engineer may deem necessary, upon reasonable advance notice, Contractor shall make available to the Engineer for examination, all of its, and all subcontractors to this contract, records with respect to all matters covered by this Contract and will permit the Engineer to audit, examine, Revised 10/08/03 Contract No. FAC 06-06 Page 42 of 65 Pages copy and make excerpts or transcripts from such data and records, and to make audits of all invoices, materials, payrolls, records of personnel, and other data relating to all matters covered by this Contract. However, any such activities shall be carried out in a manner so as to not unreasonably interfere with Contractor's ongoing business operations. Contractor and all subcontractors to this contract shall maintain such data and records for as long as may be required by applicable laws and regulations. SECTION 3 -- CHANGES IN WORK 3-2 CHANGES INITIATED BY THE AGENCY. 3-2.2.1 Contract Unit prices, add the following: In the case of an increase or decrease in quantity of a minor bid item in excess of 25 percent of the original quantity bid the adjustment of contract unit price for such items will be limited to that portion of the change in excess of 25 percent of the original quantity listed in the Contractor's bid proposal for this contract. Adjustments in excess of 25 percent may, at the option of the Engineer, be paid pursuant to section 3-3, Extra Work. 3-3 EXTRA WORK. 3-3.2.2 (c) Tool and Equipment Rental, second paragraph, modify as follows: Regardless of ownership, the rates and right-of-way delay factors to be used in determining rental and delay costs shall be the edition of the, "Labor Surcharge and Equipment Rental Rates" published by CALTRANS, current at the time of the actual use of the tool or equipment. The right-of-way delay factors therein shall be used as multipliers of the rental rates for determining the value of costs for delay to the Contractor and subcontractors, if any. The labor surcharge rates published therein are not a part of this contract. 3-3.2.3 Markup, Delete sections 3-3.2.3 (a) and (b) and replace with the following: (a) Work by Contractor. The following percentages shall be added to the Contractor's costs and shall constitute the markup for all overhead and profits: 1) Labor 20 2) Materials 15 3) Equipment Rental 15 4) Other Items and Expenditures .. 15 To the sum of the costs and markups provided for in this section, 1 percent shall be added as compensation for bonding. (b) Work by Subcontractor. When all or any part of the extra work is performed by a Subcontractor, the markup established in section 3-3.2.3(a) shall be applied to the Subcontractor's actual cost of such work. A markup of 10 percent on the first $5,000 of the subcontracted portion of the extra work and a markup of 5 percent on work added in excess of $5,000 of the subcontracted portion of the extra work may be added by the Contractor. 3-3.3 Daily Reports by Contractor, add the following after the second sentence: Payment for extra work will not be made until such time that the Contractor submits completed daily reports and all supporting documents to the Engineer. 3-4 CHANGED CONDITIONS. Delete the second sentence of paragraph three, delete paragraph five (5), and add the following: The Contractor shall not be entitled to the payment of any additional compensation for any act, or failure to act, by the Engineer, including failure or refusal to issue a change order, or for the happening of Revised 10/08/03 Contract No. FAC 06-06 Page 43 of 65 Pages any event, thing, occurrence, or other cause, unless the Contractor shall have first given the Engineer due written notice of potential claim as hereinafter specified. Compliance with this section shall not be required as a prerequisite to notice provisions in Section 6-7.3 Contract Time Accounting, nor to any claim that is based on differences in measurement or errors of computation as to contract quantities. The written notice of potential claim for changed conditions shall be submitted by the Contractor to the Engineer upon their discovery and prior to the time that the Contractor performs the work giving rise to the potential claim. The Contractor's failure to give written notice of potential claim for changed conditions to the agency upon their discovery and before they are disturbed shall constitute a waiver of all claims in connection therewith. The Contractor shall provide the City with a written document containing a description of the particular circumstances giving rise to the potential claim, the reasons for which the Contractor believes additional compensation may be due and nature of any and all costs involved within 20 working days of the date of service of the written notice of potential claim for changed conditions. Verbal notifications are disallowed. The potential claim shall include the following certification relative to the California False Claims Act, Government Code Sections 12650-12655. "The undersigned certifies that the above statements are made in full cognizance of the California False Claims Act, Government Code sections 12650-12655. The undersigned further understands and agrees that this potential claim, unless resolved, must be restated as a claim in response to the City's proposed final estimate in order for it to be further considered." By: Title: Date: Company Name: The Contractor's estimate of costs may be updated when actual costs are known. The Contractor shall submit substantiation of its actual costs to the Engineer within 20 working days after the affected work is completed. Failure to do so shall be sufficient cause for denial of any claim subsequently filed on the basis of said notice of potential claim. It is the intention of this section that differences between the parties arising under and by virtue of the contract be brought to the attention of the Engineer at the earliest possible time in order that such matters be settled, if possible, or other appropriate action promptly taken. 3-5 DISPUTED WORK. Add the following: The Contractor shall give the agency written notice of potential claim prior to commencing any disputed work. Failure to give said notice shall constitute a waiver of all claims in connection therewith. Delete second sentence of paragraph one and add the following: Prior to proceeding with dispute resolution pursuant to Public Contract Code provisions specified hereinafter, the contractor shall attempt to resolve all disputes informally through the following dispute resolution chain of command: Revised 10/08/03 Contract No. FAC 06-06 Page 44 of 65 Pages 1. Project Inspector 2. Public Works Supervisor 3. Public Works Manager 4. Public Works Director 5. City Manager The Contractor shall submit a complete report within 20 working days after completion of the disputed work stating its position on the claim, the contractual basis for the claim, along with all documentation supporting the costs and all other evidentiary materials. At each level of claim or appeal of claim the City will, within 10 working days of receipt of said claim or appeal of claim, review the Contractor's report and respond with a position, request additional information or request that the Contractor meet and present its report. When additional information or a meeting is requested the City will provide its position within 10 working days of receipt of said additional information or Contractor's presentation of its report. The Contractor may appeal each level's position up to the City Manager after which the Contractor may proceed under the provisions of the Public Contract Code. The authority within the dispute resolution chain of command is limited to recommending a resolution to a claim to the City Manager. Actual approval of the claim is subject to the change order provisions in the contract. All claims by the contractor for $375,000 or less shall be resolved in accordance with the procedures in the Public Contract Code, Division 2, Part 3, Chapter 1, Article 1.5 (commencing with Section 20104) which is set forth below: ARTICLE 1.5 RESOLUTION OF CONSTRUCTION CLAIMS 20104. (aX1) This article applies to all public works claims of three hundred seventy-five thousand dollars ($375,000) or less which arise between a contractor and a local agency. (2) This article shall not apply to any claims resulting from a contract between a contractor and a public agency when the public agency has elected to resolve any disputes pursuant to Article 7.1 (commencing with Section 10240) of Chapter 1 of Part 2. (b)(1) "Public work" has the same meaning as in Sections 3100 and 3106 of the Civil Code, except that "public work" does not include any work or improvement contracted for by the state or the Regents of the University of California. (2) "Claim" means a separate demand by the contractor for (A) a time extension, (B) payment of money or damages arising from work done by, or on behalf of, the contractor pursuant to the contract for a public work and payment of which is not otherwise expressly provided for or the claimant is not otherwise entitled to, or (C) an amount the payment of which is disputed by the local agency. (c) The provisions of this article or a summary thereof shall be set forth in the plans or specifications for any work which may give rise to a claim under this article. (d) This article applies only to contracts entered into on or after January 1,1991. 20104.2. For any claim subject to this article, the following requirements apply: (a) The claim shall be in writing and include the documents necessary to substantiate the claim. Claims must be filed on or before the date of final payment. Nothing in this subdivision is intended to extend the time limit or supersede notice requirements otherwise provided by contract for the filing of claims. (b)(1) For claims of less than fifty thousand dollars ($50,000), the local agency shall respond in writing to any written claim within 45 days of receipt of the claim, or may request, in writing, within 30 days of receipt of the claim, any additional documentation supporting the claim or relating to defenses to the claim the local agency may have against the claimant. Revised 10/08/03 Contract No. FAC 06-06 Page 45 of 65 Pages (2) If additional information is thereafter required, it shall be requested and provided pursuant to this subdivision, upon mutual agreement of the local agency and the claimant. (3) The local agency's written response to the claim, as further documented, shall be submitted to the claimant within 15 days after receipt of the further documentation or within a period of time no greater than that taken by the claimant in producing the additional information, whichever is greater. (cX1) For claims of over fifty thousand dollars ($50,000) and less than or equal to three hundred seventy-five thousand dollars ($375,000), the local agency shall respond in writing to all written claims within 60 days of receipt of the claim, or may request, in writing, within 30 days of receipt of the claim, any additional documentation supporting the claim or relating to defenses to the claim the local agency may have against the claimant. (2) If additional information is thereafter required, it shall be requested and provided pursuant to this subdivision, upon mutual agreement of the local agency and the claimant. (3) The local agency's written response to the claim, as further documented, shall be submitted to the claimant within 30 days after receipt of the further documentation, or within a period of time no greater than that taken by the claimant in producing the additional information or requested documentation, whichever is greater. (d) If the claimant disputes the local agency's written response, or the local agency fails to respond within the time prescribed, the claimant may so notify the local agency, in writing, either within 15 days of receipt of the local agency's response or within 15 days of the local agency's failure to respond within the time prescribed, respectively, and demand an informal conference to meet and confer for settlement of the issues in dispute. Upon a demand, the local agency shall schedule a meet and confer conference within 30 days for settlement of the dispute. (e) Following the meet and confer conference, if the claim or any portion remains in dispute, the claimant may file a claim as provided in Chapter 1 (commencing with Section 900) and Chapter 2 (commencing with Section 910) of Part 3 of Division 3.6 of Title 1 of the Government Code. For purposes of those provisions, the running of the period of time within which a claim must be filed shall be tolled from the time the claimant submits his or her written claim pursuant to subdivision (a) until the time that claim is denied as a result of the meet and confer process, including any period of time utilized by the meet and confer process. (f) This article does not apply to tort claims and nothing in this article is intended nor shall be construed to change the time periods for filing tort claims or actions specified by Chapter 1 (commencing with Section 900) and Chapter 2 (commencing with Section 910) of Part 3 of Division 3.6 of Title 1 of the Government Code. 20104.4. The following procedures are established for all civil actions filed to resolve claims subject to this article: (a) Within 60 days, but no earlier than 30 days, following the filing or responsive pleadings, the court shall submit the matter to non-binding mediation unless waived by mutual stipulation of both parties. The mediation process shall provide for the selection within 15 days by both parties of a disinterested third person as mediator, shall be commenced within 30 days of the submittal, and shall be concluded within 15 days from the commencement of the mediation unless a time requirement is extended upon a good cause showing to the court or by stipulation of both parties. If the parties fail to select a mediator within the 15-day period, any party may petition the court to appoint the mediator. (b)(1) If the matter remains in dispute, the case shall be submitted to judicial arbitration pursuant to Chapter 2.5 (commencing with Section 1141.10) of Title 3 of Part 3 of the Code of Civil Procedure, notwithstanding Section 1141.11 of that code. The Civil Discovery Act of 1986 (Article 3 (commencing with Section 2016) of Chapter 3 of Title 3 of Part 4 of the Code of Civil procedure) shall apply to any proceeding brought under the subdivision consistent with the rules pertaining to judicial arbitration. (2) Notwithstanding any other provision of law, upon stipulation of the parties, arbitrators appointed for purposes of this article shall be experienced in construction law, and, upon stipulation of the parties, mediators and arbitrators shall be paid necessary and reasonable hourly rates of pay not to exceed their customary rate, and such fees and expenses shall be paid equally by the parties, except in the case of arbitration where the arbitrator, for good cause, determines a different division. In no Revised 10/08/03 Contract No. FAC 06-06 Page 46 of 65 Pages event shall these fees or expenses be paid by state or county funds. (3) In addition to Chapter 2.5 (commencing with Section 1141.10) Title 3 of Part 3 of the Code of Civil Procedure, any party who after receiving an arbitration award requests a trial de novo but does not obtain a more favorable judgment shall, in addition to payment of costs and fees under that chapter, pay the attorney's fees of the other party arising out of the trial de novo. (c) The court may, upon request by any party, order any witnesses to participate in the mediation or arbitration process. 20104.6. (a) No local agency shall fail to pay money as to any portion of a claim which is undisputed except as otherwise provided in the contract. (b) In any suit filed under Section 20104.4, the local agency shall pay interest at the legal rate on any arbitration award or judgment. The interest shall begin to accrue on the date the suit is filed in a court of law. SECTION 4 - CONTROL OF MATERIALS 4-1 MATERIALS AND WORKMANSHIP. 4-1.3.1 General, add the following: The Contractor shall provide the Engineer free and safe access to any and all parts of work at any time. Such free and safe access shall include means of safe access and egress, ventilation, lighting, shoring, dewatering and all elements pertaining to the safety of persons as contained in the State of California, California Code of Regulations, Title 8, Industrial Relations, Chapter 4, Division of Industrial Safety, Subchapter 4, Construction Safety Orders and such other safety regulations as may apply. Contractor shall furnish Engineer with such information as may be necessary to keep the Engineer fully informed regarding progress and manner of work and character of materials. Inspection or testing of the whole or any portion of the work or materials incorporated in the work shall not relieve Contractor from any obligation to fulfill this Contract. 4-1.4 Test of Materials, delete the phrase, "and a reasonable amount of retesting", from the third sentence of the first paragraph. add the following: Except as specified in these Supplemental Provisions, the Agency will bear the cost of testing of locally produced materials and/or on-site workmanship where the results of such tests meet or exceed the requirements indicated in the Standard Specifications and the Supplemental Provisions. The cost of all other tests shall be borne by the Contractor. At the option of the Engineer, the source of supply of each of the materials shall be approved by the Engineer before the delivery is started. All materials proposed for use may be inspected or tested at any time during their preparation and use. If, after incorporating such materials into the Work, it is found that sources of supply that have been approved do not furnish a uniform product, or if the product from any source proves unacceptable at any time, the Contractor shall furnish approved material from other approved sources. If any product proves unacceptable after improper storage, handling or for any other reason it shall be rejected, not incorporated into the work and shall be removed from the project site all at the Contractor's expense. Compaction tests may be made by the Engineer and all costs for tests that meet or exceed the requirements of the specifications shall be borne by the Agency. Said tests may be made at any place along the work as deemed necessary by the Engineer. The costs of any retests made necessary by noncompliance with the specifications shall be borne by the Contractor. 4-1.6 Trade names or Equals add the following: The Contractor is responsible for the satisfactory performance of substituted items. If, in the sole opinion of the Engineer, the substitution is determined to be unsatisfactory in performance, appearance, durability, compatibility with associated Revised 10/08/03 Contract No. FAC 06-06 Page 47 of 65 Pages items, availability of repair parts and suitability of application the Contractor shall remove the substituted item and replace it with the originally specified item at no cost to the Agency. Add the following section: 4-2 MATERIALS TRANSPORTATION, HANDLING AND STORAGE. The Contractor shall order, purchase, transport, coordinate delivery, accept delivery, confirm the quantity and quality received, prepare storage area(s), store, handle, protect, move, relocate, remove and dispose excess of all materials used to accomplish the Work. Materials shall be delivered to the site of the work only during working hours, as defined in section 6-7.2, and shall be accompanied by bills of lading that shall clearly state for each delivery: the name of the Contractor as consignee, the project name and number, address of delivery and name of consignor and a description of the material(s) shipped. Prior to storage of any materials which have been shipped to or by the Contractor to any location within the Agency's boundaries the Contractor shall provide the Engineer a copy of lease agreements for each property where such materials are stored. The lease agreement shall clearly state the term of the lease, the description of materials allowed to be stored and shall provide for the removal of the materials and restoration of the storage site within the time allowed for the Work. All such storage shall conform to all laws and ordinances that may pertain to the materials stored and to preparation of the storage site and the location of the site on which the materials are stored. Loss, damage or deterioration of all stored materials shall be the Contractor's responsibility. Conformance to the requirements of this section, both within and outside the limits of work are a part of the Work. The Engineer shall have the right to verify the suitability of materials and their proper storage at any time during the Work. SECTION 5 -- UTILITIES 5-1 LOCATION. Delete the first paragraph and substitute the following: The Agency and affected utility companies have, by a search of known records, endeavored to locate and indicate on the Plans, all utilities which exist within the limits of the work. However, the accuracy and/or completeness of the nature, size and/or location of utilities indicated on the Plans is not guaranteed. 5-4 RELOCATION. Add the following: In conformance with section 5-6 the Contractor shall coordinate the work with utility agencies and companies. In order to minimize delays to the Contractor caused by the failure of other parties to relocate utilities that interfere with the construction, the Contractor, upon the Engineer's approval, may be permitted to temporarily omit the portion of work affected by the utility. Such temporary omission shall be for the Contractor's convenience and no additional compensation will be allowed therefore or for additional work, materials or delay associated with the temporary omission. The portion thus omitted shall be constructed by the Contractor immediately following the relocation of the utility involved unless otherwise directed by the Engineer. 5-6 COOPERATION. Add the following: The Contractor shall coordinate all utility work with the Project Inspector. And shall cooperate fully with the City of Carlsbad's electrician and I. T. department when installing or relocating electrical, data or other associated appurtenances. Revised 10/08/03 Contract No. FAC 06-06 Page 48 of 65 Pages SECTION 6 - PROSECUTION, PROGRESS AND ACCEPTANCE OF THE WORK 6-1 CONSTRUCTION SCHEDULE AND COMMENCEMENT OF WORK. Delete section 6-1 and substitute the following: Except as otherwise provided herein and unless otherwise prohibited by permits from other agencies as may be required by law the Contractor shall begin work within 20 calendar days after receipt of the "Notice to Proceed". Add the following section: 6-1.1 Pre-Construction Meeting. After, or upon, notification of contract award, the Engineer will set the time and location for the Preconstruction Meeting. Attendance of the Contractor's management personnel responsible for the management, administration, and execution of the project is mandatory for the meeting to be convened. Failure of the Contractor to have the Contractor's responsible project personnel attend the Preconstruction Meeting will be grounds for default by Contractor per section 6-4. No separate payment will be made for the Contractor's attendance at the meeting. The notice to proceed will only be issued on or after the completion of the preconstruction meeting. Add the following section: 6-1.2.3 Bar Chart. The Contractor shall prepare and submit to the Engineer a chart showing individual tasks and their durations arranged with the tasks on the vertical axis and duration on the horizontal axis. The bar chart shall use differing texture patterns or distinctive line types to show the critical path. Add the following section: 6-1.2.4 Schedule Software. The Contractor shall use commercially available software equal to the Windows 2000 compatible "Suretrak" program by Primavera or "Project" program by Microsoft Corporation to prepare the Baseline Construction Schedule and all updates thereto. The Contractor shall submit to the Agency a CD-ROM data disk with all network information contained thereon, in a format readable by a Microsoft Windows 2000 system. The Agency will use a "Suretrak", "Project" or equal software program for review of the Contractor's schedule. Should the Contractor elect to use a scheduling program other than the "Suretrak" program by Primavera or "Project" program by Microsoft Corporation the Contractor shall provide the Engineer three copies of the substituted program that are fully licensed to the Agency and 32 class hours of on-site training by the program publisher for up to eight Agency staff members. The classes shall be presented on Mondays through Thursdays, inclusive, between the hours of 8:00 a.m. and 5:00 p.m. The on-site training shall be held at 1635 Faraday Avenue, Carlsbad, California. The dates and times of the on-site training shall be submitted to the Engineer for approval five working days before the start of the on-site training. The on-site training shall be completed prior to the submittal of the first Baseline Construction Schedule. Revised 10/08/03 Contract No. FAC 06-06 Page 49 of 65 Pages Add the following section: ( 6-1.2.5 Schedule Activities. Except for submittal activities, activity durations shall not be shorter than 1 working day nor longer than 15 working days, unless specifically and individually allowed by the Engineer. The Baseline Construction Schedule shall include between 100 and 500 activities, including submittals, interfaces between utility companies and other agencies, project milestones and equipment and material deliveries. The number of activities will be sufficient, in the judgment of the Engineer, to communicate the Contractor's plan for project execution, to accurately describe the project work, and to allow monitoring and evaluation of progress and of time impacts. Each activity's description shall accurately define the work planned for the activity and each activity shall have recognizable beginning and end points. Add the following section: 6-1.2.6 Float. Float or slack time within the schedule is available without charge or compensation to whatever party or contingency first exhausts it. Add the following section: 6-1.2.7 Restraints to Activities. Any submittals, utility interfaces, or any furnishing of Agency supplied materials, equipment, or services, which may impact any activity's construction shall be shown as a restraint to those activities. Time periods to accommodate the review and correction of submittals shall be included in the schedule. Add the following section: 6-1.2.8 Late Completion. A Baseline Construction Schedule showing a project duration longer than the specified contract duration will not be acceptable and will be grounds for determination of default by Contractor, per section 6-4. ( Add the following section: 6-1.2.9 Early Completion. The Baseline Construction Schedule will show the Contractor's plan to support and maintain the project for the entire contractual time span of the project. Should the Contractor propose a project duration shorter than contract duration, a complete Baseline Construction Schedule must be submitted, reflecting the shorter duration, in complete accordance with all schedule requirements of section 6-1. The Engineer may choose to accept the Contractor's proposal of a project duration shorter than the duration specified; provided the Agency is satisfied the shortened Baseline Construction Schedule is reasonable and the Agency and all other entities, public and private, which interface with the project are able to support the provisions of the shortened Baseline Construction Schedule. The Agency's acceptance of a shortened duration project will be confirmed through the execution of a contract change order revising the project duration and implementing all contractual requirements including liquidated damages in accordance with the revised duration. Add the following section: 6-1.2.10 Engineer's Review. The Construction Schedule is subject to the review of the Engineer. The Engineer's determination that the Baseline Construction Schedule proposed by the Contractor complies with the requirements of these supplemental provisions shall be a condition precedent to issuance of the Notice to Proceed by the Engineer. If the Engineer determines that the Construction Schedule does not meet the requirements of these specifications the Contractor shall correct the Construction Schedule to meet these specifications and resubmit it to the Engineer. Failure of the Contractor to obtain the Engineer's determination that the initial Construction Schedule proposed by the Contractor complies with the requirements of these supplemental provisions within thirty (30) working days after the date of the preconstruction meeting shall be grounds for termination of the , contract per section 6-4. Days used by the Engineer to review the initial Construction Schedule will not be included in the 30 working days. Revised 10/08/03 Contract No. FAC 06-06 Page 50 of 65 Pages The Engineer will review and return to the Contractor, with any comments, the Baseline Construction Schedule within 15 working days of submittal. The Baseline Construction Schedule will be returned marked as per sections 6-1.2.10.1 through 6-1.2.10.3. Add the following section: 6-1.2.10.1 "Accepted." The Contractor may proceed with the project work upon issuance of the Notice to Proceed. Add the following section: 6-1.2.10.2 "Accepted with Comments." The Contractor may proceed with the project work upon issuance of the Notice to Proceed. The Contractor must resubmit the schedule incorporating the comments prior to receipt of payment per section 6-1.8.1. Add the following section: 6-1.2.10.3 "Not Accepted." The Contractor must resubmit the schedule incorporating the corrections and changes of the comments. The Notice to Proceed will not be issued by the Engineer if the changes of the comments are not submitted as required hereinbefore and marked "Accepted" or "Accepted with Comments" by the Engineer. The Contractor, at the sole option of the Engineer, may be considered as having defaulted the contract under the provisions of section 6-4 DEFAULT BY CONTRACTOR if the changes of the comments are not submitted as required hereinbefore and marked "Accepted" by the Engineer. Add the following section: 6-1. 7 Final Schedule Update. The Contractor shall prepare and submit a final schedule update when one hundred percent of the construction work is completed. The Contractor's Final Schedule Update must accurately represent the actual dates for all activities. Acceptance of the final schedule update is required for completion of the project and release of any and all funds retained per section 9-3.2. Add the following section: 6-1.1 Measurement And Payment Of Construction Schedule. The Contractor's preparation, revision and maintenance of the Construction Schedule are incidental to the work and no separate payment will be made therefore. 6-2 PROSECUTION OF WORK. Add the following section: 6-2.1 Order of Work. The work to be done shall consist of furnishing all labor, equipment and materials, and performing all operations necessary to complete the Project Work as shown on the Project Plans and as specified in the Specifications. The work includes performing internal tenant improvements at the Dove Library, located at 1775 Dove Lane, Carlsbad, CA. . Contractor is advised that the project duration is 25 Working Days, however actual construction work within the Library is limited to 15 Working Days. The additional time is available for mobilization, demobilization and punch list work. The Contractor is advised that a disincentive of $250.00 for each and every calendar day or portion thereof will be assessed for each day the construction work within the library exceeds the 15 Working Days allowed for construction operations. See Section 25-26 of the Technical Specifications for details. Add the following section: 6-2.3 Project Meetings. The Engineer will establish the time and location of weekly Project Meetings. The Contractor's Representative shall attend each Project Meeting. The Project Revised 10/08/03 Contract No. FAC 06-06 Page 51 of 65 Pages Representative shall be the individual determined under section 7-6, "The Contractor's Representative", SSPWC. No separate payment for attendance of the Contractor, the Contractor's Representative or any other employee or subcontractor or subcontractor's employee at these meetings will be made. 6-6 DELAYS AND EXTENSIONS OF TIME. 6-6.4 Written Notice and Report. Modify as follows: The Contractor shall provide written notice to the Engineer within two hours of the beginning of any period that the Contractor has placed any workers or equipment on standby for any reason that the Contractor has determined to be caused by the Agency or by any organization that the Agency may otherwise be obligated by. The Contractor shall provide continuing daily written notice to the Engineer, each working day, throughout the duration of such period of delay. The initial and continuing written notices shall include the classification of each workman and supervisor and the make and model of each piece of equipment placed on standby, the cumulative duration of the standby, the Contractor's opinion of the cause of the delay and a cogent explanation of why the Contractor could not avoid the delay by reasonable means. Should the Contractor fail to provide the notice(s) required by this section the Contractor agrees that no delay has occurred and that it will not submit any claim(s) therefore. 6-7 TIME OF COMPLETION. Add the following: The Contractor shall diligently prosecute the work to completion within 25 working days after the starting date specified in the Notice to Proceed. See Section 25-26 of the Technical Specifications for additional restrictions to construction operations. 6-7.2 Working Day. Add the following: Unless otherwise approved in writing by the Engineer, the hours of work shall be between the hours of 7:00 a.m. and 4:00 p.m. on Mondays through Fridays, excluding Agency holidays. The Contractor shall obtain the written approval of the Engineer if the Contractor desires to work outside said hours or at any time during weekends and/or holidays. This written permission must be obtained at least 48 hours prior to such work The Engineer may approve work outside the hours and/or days stated herein when, in his/her sole opinion, such work conducted by the Contractor is beneficial to the best interests of the Agency. The Contractor shall pay the inspection costs of such work. 6-8 COMPLETION AND ACCEPTANCE. Delete the second paragraph and add the following: The Engineer will not accept the Work or any portion of the Work before all of the Work is completed and all outstanding deficiencies that may exist are corrected by the Contractor and the Engineer is satisfied that all the materials and workmanship, and all other features of the Work, meet the requirements of all of the specifications for the Work. Use, temporary, interim or permanent, of all, or portions of, the Work does not constitute acceptance of the Work. If, in the Engineer's judgment, the Work has been completed and is ready for acceptance the Engineer will so certify to the Board. Upon such certification by the Engineer the Board may accept the completed Work. Upon the Board's acceptance of the Work the Engineer will cause a "Notice of Completion" to be filed in the office of the San Diego County Recorder. The date of recordation shall be the date of completion of the Work. Delete the first sentence of the third paragraph and substitute the following two sentences: All work shall be warranted for one (1) year after recordation of the "Notice of Completion" and any faulty work or materials discovered during the warranty period shall be repaired or replaced by the Contractor, at its expense. Twenty-five percent of the faithful performance bond shall be retained as a warranty bond for the one year warranty period. 6-9 LIQUIDATED DAMAGES. Modify the last sentence of the first paragraph and the first sentence of the second paragraph and Revised 10/08/03 Contract No. FAC 06-06 Page 52 of 65 Pages add the following: For each consecutive calendar day in excess of the time specified for completion of Work, as adjusted in accordance with 6-6, the Contractor shall pay the Agency, or have withheld monies due it, the sum of Five Hundred Dollars ($500.00). Execution of the Contract shall constitute agreement by the Agency and Contractor that Five Hundred Dollars ($500.00) per day is the minimum value of costs and actual damages caused by the Contractor to complete the Work within the allotted time. Any progress payments made after the specified completion date shall not constitute a waiver of this paragraph or of any damages. SECTION 7 - RESPONSIBILITIES of the CONTRACTOR 7-3 LIABILITY INSURANCE. Modify as follows: All insurance is to be placed with insurers that have a rating in Best's Key Rating Guide of at least A-:V and are admitted and authorized to conduct business in the state of California and are listed in the official publication of the Department of Insurance of the State of California. 7-4 WORKERS' COMPENSATION INSURANCE. Add the following: All insurance is to be placed with insurers that are admitted and authorized to conduct business in the state of California and are listed in the official publication of the Department of Insurance of the State of California. Policies issued by the State Compensation Fund meet the requirement for workers' compensation insurance. 7-5 PERMITS. Delete the first sentence and add the following four sentences: Except as specified herein the Contractor will obtain, at no cost to the Contractor all City of Carlsbad encroachment, right-of-way, grading and building permits necessary to perform work for this contract on Agency property, streets, or other rights-of-way. Contractor shall not begin work until all permits incidental to the work are obtained. The Contractor shall obtain and pay for all permits for the disposal of all materials removed from the project. The cost of said permit(s) shall be included in the price bid for the appropriate bid item and no additional compensation will be allowed therefore. The Contractor is advised that the City of Carlsbad has procured Building Permit No. CB062763 for this project. The Contractor is advised that scheduling of all inspections by the Building Official is the responsibility of the Contractor. The Contractor may call 76- 602-2725 to schedule next day inspection. 7-7 COOPERATION AND COLLATERAL WORK. Add the following section: 7-7.1 Coordination. The Contractor shall coordinate and cooperate with all the utility companies during the relocation or construction of their lines. The Contractor may be granted a time extension if, in the opinion of the Engineer, a delay is caused by the utility company. No additional compensation will be made to the Contractor for any such delay. 7-8 PROJECT SITE MAINTENANCE. 7-8.1 Cleanup and Dust Control. Add the following: Cleanup and dust control required herein shall also be executed on weekends and other non-working days when needed to preserve the health safety or welfare of the public. The Contractor shall conduct effective cleanup and dust Revised 10/08/03 Contract No. FAC 06-06 Page 53 of 65 Pages control throughout the duration of the Contract. The Engineer may require increased levels of cleanup and dust control that, in his/her sole discretion, are necessary to preserve the health, safety and welfare of the public. Cleanup and dust control shall be considered incidental to the items of work that they are associated with and no additional payment will be made therefore. 7-8.5 Temporary Light, Power and Water. Add the following: The Contractor may utilize water and electrical service at the Library for water and power used for the construction, maintenance, cleanup, testing and all other work requiring water related to this contract. The Contractor shall contact Project Inspector at least 48 hours in advance and request approval of water sources or individual power outlets he intends to utilize. 7-8.6 Water Pollution Control. Add the following: Contractor shall comply with the California State Water Resources Control Board (SWRCB) Order Number 99-08-DWQ, National Pollutant Discharge Elimination System (NPDES) General Permit Number CAS000002, Waste Discharge Requirements (WDR's) for Discharges of Stormwater Runoff associated with Construction Activity (General Permit) and subsequent adopted modifications and with all requirements of the Storm Water Pollution Prevention and Monitoring Plans for this project in accordance with these regulations. Add the following section: 7-8.8 Noise Control. All internal combustion engines used in the construction shall be equipped with mufflers in good repair when in use on the project with special attention to the City Noise Control Ordinance, Carlsbad Municipal Code Chapter 8.48. Add the following section: 7-10.4.4 Safety and Protection of Workers and Public. The Contractor shall take all necessary precautions for the safety of employees on the work and shall comply with all applicable provisions of Federal, State and Municipal safety laws and building codes to prevent accidents or injury to persons on, about, or adjacent to the premises where the work is being performed. The Contractor shall erect and properly maintain at all times, as required by the conditions and progress of the work, all necessary safeguards for the protection of workers and public, and shall use danger signs warning against hazards created by such features of construction as protruding nails, hoists, well holes, and falling materials. Add the following section: 8-2 FIELD OFFICE FACILITIES. Afield office for agency personnel is not required. SECTION 9 -- MEASUREMENT and PAYMENT 9-1 MEASUREMENT OF QUANTITIES FOR UNIT PRICE WORK 9-1.4 Units of Measurement, modify as follows: The system of measure for this contract shall be the U.S. Standard Measures. 9-3 PAYMENT. 9-3.1 General. Delete the eighth paragraph and substitute the following: Guarantee periods shall not be affected by any payment but shall commence on the date of recordation of the "Notice of Completion" 9-3.2 Partial and Final Payment. Delete the second paragraph and substitute the following: Each month, the Engineer will make an approximate measurement of the work performed to the Revised 10/08/03 Contract No. FAC 06-06 Page 54 of 65 Pages closure date as basis for making monthly progress payments. The estimated value will be based on contract unit prices, completed change order work and as provided for in Section 9-2 of the Standard Specifications (SSPWC). Progress payments shall be made no later than thirty (30) calendar days after the closure date. Five (5) working days following the closure date, the Engineer shall complete the detailed progress pay estimate and submit it to the Contractor for the Contractor's information. Should the Contractor assert that additional payment is due, the Contractor shall within ten (10) days of receipt of the progress estimate, submit a supplemental payment request to the Engineer with adequate justification supporting the amount of supplemental payment request. Upon receipt of the supplemental payment request, the Engineer shall, as soon as practicable after receipt, determine whether the supplemental payment request is a proper payment request. If the Engineer determines that the supplemental payment request is not proper, then the request shall be returned to the Contractor as soon as practicable, but not later than seven (7) days after receipt. The returned request shall be accompanied by a document setting forth in writing the reasons why the supplemental payment request was not proper. In conformance with Public Contract Code Section 20104.50, the City shall make payments within thirty (30) days after receipt of an undisputed and properly submitted supplemental payment request from the Contractor. If payment of the undisputed supplemental payment request is not made within thirty (30) days after receipt by the Engineer, then the City shall pay interest to the Contractor equivalent to the legal rate set forth in subdivision (a) of Section 685.010 of the Code of Civil Procedure. Add paragraph 6 et seq. as follows: After final inspection, the Engineer will make a Final Payment Estimate and process a corresponding payment. This estimate will be in writing and shall be for the total amount owed the Contractor as determined by the Engineer and shall be itemized by the contract bid item and change order item with quantities and payment amounts and shall show all deductions made or to be made for prior payments and amounts to be deducted under provisions of the contract. All prior estimates and progress payments shall be subject to correction in the Final Payment Estimate. The Contractor shall have 30 calendar days from receipt of the Final Payment Estimate to make written statement disputing any bid item or change order item quantity or payment amount. The Contractor shall provide all documentation at the time of submitting the statement supporting its position. Should the Contractor fail to submit the statement and supporting documentation within the time specified, the Contractor acknowledges that full and final payment has been made for all contract bid items and change order items. If the Contractor submits a written statement with documentation in the aforementioned time, the Engineer will review the disputed item within 30 calendar days and make any appropriate adjustments on the Final Payment. Remaining disputed quantities or amounts not approved by the Engineer will be subject to resolution as specified in subsection 3-5, Disputed Work. The written statement filed by the Contractor shall be in sufficient detail to enable the Engineer to ascertain the basis and amount of said disputed items. The Engineer will consider the merits of the Contractor's claims. It will be the responsibility of the Contractor to furnish within a reasonable time such further information and details as may be required by the Engineer to determine the facts or contentions involved in its claims. Failure to submit such information and details will be sufficient cause for denying payment for the disputed items. 9-3.2.1 Payment for Claims. Add the following: Except for those final payment items disputed in the written statement required in subsection 9-3.2 all claims of any dollar amount shall be submitted in a written statement by the Contractor no later than the date of receipt of the final payment estimate. Those final payment items disputed in the written statement required in subsection 9-3.2 shall be submitted no later than 30 days after receipt of the Final Payment estimate. No claim will be considered that was not included in this written statement, nor will any claim be allowed for which Revised 10/08/03 Contract No. FAC 06-06 Page 55 of 65 Pages written notice or protest is required under any provision of this contract including sections 3-4 Changed Conditions, 3-5 Disputed Work, 6-6.3 Payment for Delays to Contractor, 6-6.4 Written Notice and Report, or 6-7.3 Contract Time Accounting, unless the Contractor has complied with notice or protest requirements. The claims filed by the Contractor shall be in sufficient detail to enable the Engineer to ascertain the basis and amount of said claims. The Engineer will consider and determine the Contractor's claims and it will be the responsibility of the Contractor to furnish within a reasonable time such further information and details as may be required by the Engineer to determine the facts or contentions involved in its claims. Failure to submit such information and details will be sufficient cause for denying the claims. Payment for claims shall be processed within 30 calendar days of their resolution for those claims approved by the Engineer. The Contractor shall proceed with informal dispute resolution under subsection 3-5, Disputed Work, for those claims remaining in dispute. Add the following section: 9-3.3.1 Delivered Materials. The cost of materials and equipment delivered but not incorporated into the work will not be included in the progress estimate. Add the following section: 9-3.4.1 Mobilization and Preparatory Work. Payment for mobilization and preparatory Work will be included in the various items of work and no other payment will be made. Revised 10/08/03 Contract No. FAC 06-06 Page 56 of 65 Pages SUPPLEMENTAL PROVISIONS TO "GREEN BOOK" STANDARD SPECIFICATIONS FOR PUBLIC WORKS CONSTRUCTION PART 2, CONSTRUCTION MATERIALS THIS SECTION INTENTIONALLY LEFT BLANK Revised 10/08/03 Contract No. FAC 06-06 Page 57 of 65 Pages SUPPLEMENTAL PROVISIONS TO STANDARD SPECIFICATIONS FOR PUBLIC WORKS CONSTRUCTION PART 3, CONSTRUCTION METHODS THIS SECTION INTENTIONALLY LEFT BLANK oRevised 10/08/03 Contract No. FAC 06-06 Page 58 of 65 Pages TECHNICAL SPECIFICATIONS FOR DOVE LIBRARY RFID TENANT IMPROVEMENTS FAC 06-06 SPECIAL CONSTRUCTION PROVISIONS 1. The Work The Contract work to be performed hereunder includes the furnishing of all labor and equipment and furnishing and installing all materials, unless herein specifically excepted, necessary for the complete and satisfactory tenant improvements for the Dove Library as specified in this contract or on the drawings. The work shall consist of demolition and reconstruction of interior walls and ceilings, removing, relocating, modifying, and replacing interior casework, installing and reconnecting electrical equipment, circuits, conduits, data cables, outlets HVAC equipment, and fire protection system equipment, as detailed on the plans and in these specifications. Contractor is advised to read these requirements carefully and bid the job according. 2. Work Sites The Contract work site is located in several locations in the Dove Library as detailed in this section, shown in the Appendix, or as shown on the Construction Drawings. Work areas, Special Construction requirements are detailed below. Quantities listed are for informational purposes only. Actual quantities shall be verified in the field. 3. Construction Plans (Drawings) The following Construction Plans are made a part of these Contract Documents: CONSTRUCTION PLANS f24" X 36") Title # of Sheets. DWG 441-8 17 4. Data to be Submitted by Contractor Contractor shall furnish Owner submittals for all materials to be furnished for review and acceptance by Owner prior to Contractor performing work to which data pertains. Submittals shall be provided in accordance with the Special Provisions. Prior to beginning construction, Contractor shall submit emergency phone numbers for the construction superintendent, construction foreman, and all company principals. 5. Contractor Cooperation and Coordination Revised 10/08/03 Contract No. FAC 06-06 Page 59 of 65 Pages Contractor shall cooperate with Owner, San Diego Gas and Electric, and all other jurisdictional agencies. Owner will have representatives on site to observe and verify compliance with Contract Documents. Contractor shall perform work in a manner not to interfere with operation of said facilities except as detailed in this section. Contractor shall perform his work in accordance with the sequence of work as specified herein. Contractor shall coordinate all work with the Owner. A detailed weekly schedule of proposed work shall be provided to the Owner each Thursday indicating the work to be performed in the following week. Contractor shall not interfere with normal library operations during the completion of his work. The contractor is advised that the library will be in operation during his work. Work generating extensive noise dust or intrusion into the public areas of the library should be scheduled for early morning hours, prior to 9:00 AM whenever possible. 6. Permits, Licenses, Certificates, Laws and Ordinances A. Contractor and all subcontractors shall procure and maintain a valid City of Carlsbad Business License for the duration of the Contract. B. California Regional Water Quality Control Board. San Diego Region Contractor shall not allow any discharges from the construction site, which may have an adverse effect on receiving waters of the United States. Contractor shall not allow any groundwater extraction water to be discharged from construction site except in full compliance with the General Waste Discharge Requirements for Ground Water Extraction and Similar Discharges from Construction and Remediation Projects (Order No. 96-41) adopted by the Regional Board. Prior to submitting Bid, Contractor shall obtain a copy of said Order No. 96-41 and review all compliance requirements therein, including monitoring, testing, and reporting. C. In the event of conflict between the Contract and Permit requirements, the most stringent shall prevail. All permit requirements shall be satisfied by Contractor and accepted by all issuing agencies, and the Owner before project will be accepted and a Notice of Completion filed. D. Contractor shall, at his own expense, procure any additional permits, certificates, and licenses required of him by law for the execution of the work. He shall comply with all Federal, State and local laws, ordinances or rules and regulations relating to the performance of said work. 7. Storage of Materials and Equipment Contractor shall not store materials or equipment on private or public property without written permission from the affected property owners approving such use. Said written permission shall be submitted to Owner prior to Contractor moving materials or equipment onto site. Contractor's equipment shall be removed from the interior of the library and placed in the Contractor's designated storage areas at the end of each workday. No paint, solvents or other liquid materials shall be stored outdoors at any time. These materials must be stored in a locked container or removed from the project site daily. Revised 10/08/03 Contract No. FAC 06-06 Page 60 of 65 Pages Contractor may utilize storage areas as indicated on the drawings. The contractor shall provide temporary fencing for any and all storage areas located at the Library site at its expense. 8. Preservation of Existing Improvements, Restoration of Work Site and Disposal of Spoil and Waste Materials A. Contractor shall perform his operations so that existing improvements including walls, carpet or flooring, equipment and furnishings adjacent to or in the vicinity of the work site are not damaged. Contractor shall repair and restore any disturbed or damaged improvements, which result from his operations to the satisfaction of the Owner, or the agency having jurisdiction over said improvements, all at his expense. B. All work sites shall be restored to pre-job conditions and shall meet the requirements of Owner. Owner is obligated to keep visual impact of the work sites to a minimum; therefore, Contractor is required to restore all areas altered by construction to pre-existing conditions. Such areas shall include, but shall not be limited to, areas used for travel, parking, and storage of vehicles, equipment and materials. C. Contractor shall be responsible for the proper and legal disposal of all waste materials resulting from his operations, including rubbish, packaging materials, discarded equipment parts, and damaged construction materials, in a manner and at locations suitable to the Owner and all health and other regulatory agencies at the Contractor's expense. 9. Construction Water & Power Contractor may utilize the City's water and power outlets at the construction location for his work. The Contractor is advised that outlets and water sources for his use must be pre- approved 24-hours in advance of his forces utilizing said sources. The Project Inspector shall make the final determination of the suitability and availability of these sources. 10. Progress Schedule Contractor shall submit a schedule per the requirements of SSPWC and shall update this schedule on a weekly basis. The Contractor shall provide this updated schedule to the Project Inspector on Thursday. 11. Salvage Contractor shall meet with the Owner prior to removal of any material or equipment from the Library, and the Owner shall designate which material and equipment (if any) are to be salvaged by the Contractor. Salvage shall be delivered, unloaded, and stored by the Con- tractor as directed by Owner at the Owner's Operations Yard at 405 Oak Avenue. All other equipment and materials removed shall be considered waste and disposed of by the Contrac- tor. Revised 10/08/03 Contract No. FAC 06-06 Page 61 of 65 Pages 12. Sequence of Work A. Introduction Project Work includes the following major components: Contract Execution and Equipment Submittal, installation of site fencing (if required for Contractor storage), delivery and storage of materials, demolition and removal of interior walls and casework, relocation and installation of casework, repair of portions of the facility demolished including interior walls, ceilings and removed casework, installation and testing of electrical and data installation and repairs. Some of these project components may be constructed simultaneously. In addition, due to City's need to provide uninterrupted Library service, disruptive work activities must be completed during the "low-use" period for the Library. The "low-use" period is between November 14, 2005 and January 15, 2006. The City of Carlsbad's preferred work period is between November 14,2006 and January 1, 2006. B. General 1. Prior to mobilization or installing dust control measures, interior barricades or tempo- rary fencing, the Contractor shall comply with the following conditions set forth in this specification. • The Contractor shall provide written notice to the Project Inspector of his in- tent to begin this phase a minimum of 14 Calendar days prior to commenc- ing with this work. At this notification, the City shall make preparations to remove items from the Contractor's work area and shall move circulation op- erations to an alternate area of the library. 2. Prior to scheduling construction operations at the Dove Library, the Contractor shall comply with the following conditions set forth in this specification. • The Contractor shall provide written notice to the Project Inspector of his intent to begin this phase a minimum of 14 Calendar days prior to commencing with this work. • All materials for temporary barricades and dust control and temporary fencing shall be on site. • All items and equipment needed to perform the work must be on site and ready for installation. 3. 14 Calendar days prior to beginning construction operations that will affect the opera- tion of the Library, the Contractor shall submit in writing his proposed schedule, meth- ods and work locations, including equipment, to the Owner. Said schedule, method, and locations shall be approved by Owner prior to beginning work. Contractor is advised that at his option, weekend and after hours work may be allowed during this project in accordance with other sections of this contract. The Project Manager may waive after hours inspection fees if the after hours work is determined to be in the best interest of the agency. 4. During construction, certain existing electrical systems must remain energized at all times. These items include IT systems, fire and security alarm systems and other alarm systems. The Contractor is advised that several alarm panels are located im- Revised 10/08/03 Contract No. FAC 06-06 Page 62 of 65 Pages mediately adjacent to the work area and shall coordinate temporary power service to these systems if required to perform his work. ; 5. Sequence of work herein shall be followed by Contractor to limit the impact to Library services. Sequence of work is not intended to cover every specific item of work nec- essary, and shall not relieve the Contractor from responsibility to coordinate and per- form all work in accordance with the plans and specifications. 6. Contractor shall be responsible for repairing any Owner facilities or equipment dam- aged as a result of his work performance. Contractor shall be responsible for main- taining all required electrical systems at all times. Cost incurred by the Owner due to Contractor's failure to maintain said equipment and facilities shall be deducted from the Contract. 7. Any proposed modifications to the Sequence of Work provided herein shall be submit- ted in writing to the Owner for approval. If approved, said modified Sequence of Work shall be implemented by the Contractor at no additional cost to the Owner. Any pro- posed modifications to the specified Sequence of Work shall reflect the necessary changes in all other project components. 16. Temporary Pedestrian Barricades and Dust Control Measures 1. The contractor shall erect barricades constructed of plywood or other suitable materi- als delineating his work area from the pubic areas of the library. These barricades shall be free standing, a minimum of six-foot in height, and of sufficient construction to prevent their inadvertent movement by the public, staff or the contractor's forces dur- ( ing the work. Barricades shall be painted flat white and shall have no protruding nails, splinters or any other condition which could render injury to the public. These barri- cades are required only in the lobby area of the library and are not required for staff areas. The Contractor shall not erect barricades in the lobby that restrict the access between the existing stairs and the casework. A minimum of 6-foot clear space must be left for pedestrian and staff access. 2. The contractor shall erect plastic floor to ceiling dust control barricades enclosing the wall and ceiling demolition areas in the staff and public areas of the library. The con- tractor shall cover all furnishings and equipment in his work area with suitable dust covers to prevent damage to any of the items caused by dust or other materials gen- erated by his work. 3. The contractor shall clean any and all dust or materials from his work areas or any areas adjacent to his work areas daily or more frequently if required. The Contractor shall be responsible for costs associated with any damaged furnishings, library collec- tion materials or any other items damaged by failure to adequately control dust or other materials caused by his work. 17. Inspection & Fees 1. Contractor shall bear all costs and fees incurred as a result of inspection services fur- nished by utilities or others. i 2. In the event the Contractor requests to work outside the stated working hours, or on Revised 10/08/03 Contract No. FAC 06-06 Page 63 of 65 Pages holidays, and the Owner agrees to same, the Contractor shall pay for the Inspector's time at the rate of $100.00 per hour. The agency may waive this fee at its discretion if the after hours work is determined to be in the best interest of the agency. 3. The City of Carlsbad has procured a Building Permit from the Building Official. The Contractor shall coordinate and call for any and all inspections required by the Build- ing Official. The Contractor shall not cover any work requiring inspection prior to re- ceiving approval from the Building Inspector and the Project Inspector. 21. Compliance With Contract Documents Contractor shall comply with all instructions of Owner to insure compliance with the Contract Documents, including timely completion of work each day, work site clean-up, control of traffic, and placement of signs. If Contractor does not comply with the Contract Documents, then Owner shall provide the required labor, materials, and equipment to perform same and shall deduct the cost from monies otherwise due under the Contract. 22. Conditions at Work Site Personal investigation by Contractor is mandatory. Contractor may perform excavations on site prior to bid opening. Contact the Owner to arrange for access to site. Neither the information contained in the drawings, or from Owner, his agents or employees shall act to relieve Contractor from any responsibility in fulfilling any and all of the terms and requirements specified herein. 23. Reference Documents The following documents are available at the Owner's office for review by Contractor. These documents provide information relative to existing facilities and equipment. A. Original Construction Plans for Carlsbad City Library. 24. Safety Requirement of Equipment Furnished by Contractor The equipment furnished by Contractor shall comply with the applicable requirements of the Safety Orders of the Division of Industrial Safety of the State of California. Copies of the Safety Orders as available at the Printing Division, Documents Section, State of California, Sacramento, California 95814, and any other applicable safety requirements of Federal, State and Local government. 25. Project Duration The total project duration shall be 25 Working Days from Notice to Proceed. The actual construction period within the Library will be limited to 15 Working Days. The additional days are available for mobilization, demobilization and punch list work. 26. Disincentive Clause Revised 10/08/03 Contract No. FAC 06-06 Page 64 of 65 Pages For each and every calendar day or portion thereof that he actual construction period within the Library exceeds 15 Working Days the Contractor shall be penalized a fixed sum of Two Hundred Fifty dollars ($250.00). Disincentives are separate from liquidated damages and shall be assessed in addition to liquidated damages if the disincentive period extends into liquidated damages periods. Revised 10/08/03 Contract No. FAC 06-06 Page 65 of 65 Pages