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HomeMy WebLinkAboutTechno Coatings Inc; 1996-07-29; 3488Ae CARLSBAD MUNICIPAL WATER DISTRICT CAR LSBAD, CALI FOR N I A SAN DIEGO COUNTY CALI FORNl A CONTRACT DOCUMENTS AND SPECIAL PROVISIONS e FOR "C" AND ELLERY RESERVOIRS INTERIOR COATING CMWD PROJECT NO. 95-107 CONTRACT NO. 3488A CARLSBAD MUNICIPAL WATER DISTRICT 5950 EL CAMINO REAL CARLSBAD, CALIFORNIA 92008 (61 9) 438-3367 a 08/01/95 Rc m CARLSBAD MUNICIPAL WATER DISTRICT CARLSBAD, CALIFORNIA SAN DIEGO COUNTY CALIFORNIA CONTRACT DOCUMENTS AND SPECIAL PROVISIONS 0 FOR 'C" AND ELLERY RESERVOIRS INTERIOR COATING CMWD PROJECT NO. 95-107 CONTRACT NO. 3488A CARLSBAD MUNICIPAL WATER DISTRICT 5950 EL CAMINO REAL CARLSBAD, CALIFORNIA 92008 (61 9) 438-3367 08/01/95 Rc * INFORMATION FOR CONTRACTOR A. TO OBTAIN COPY OF CURRENT PLAN HOLDERS LIST: PHONE (619) 4Q8-3367 EXT.128. QUESTIONS PERTAINING TO PLANS AND CONTRACT DOCUMENTS: ASSOCIATE EN G I N EER/FACI LlTY DESIGN m B. PHONE (619) 438-3367 EXT. 122 Dl STR ICT ENG I N EER PHONE (619) 438-3367 EXT. 126 0 e 08/01/95 Rc TABLE OF CONTENTS - Item - Pi * NOTICE INVITING BIDS .......................................... CONTRACTOR’S PROPOSAL ...................................... EQUIPMENT/MATERIAL SOURCE INFORMATION ....................... BID SECURITY FORM ........................................... BIDDER’S BOND ............................................... DESIGNATION OF SUBCONTRACTORS ............................... BIDDER’S STATEMENT OF FINANCIAL RESPONSIBILITY BIDDER’S STATEMENT OF TECHNICAL ABILITY AND EXPERIENCE ‘NON-COLLUSION AFFIDAVIT ...................................... ................. ......... CONTRACT . PUBLIC WORKS ..................................... LABOR AND MATERIALS BOND ................................... 0 FAITHFUL PERFORMANCE/WARRANN BOND ......................... PURCHASING DEPARTMENT REPRESENTATION AND CERTIFICATION ............................. ESCROW AGREEMENT FOR SURETY DEPOSITS IN LIEU OF RETENTION ................................. RELEASEFORM ............................................... SPECIAL PROVISIONS 1. ADDITIONS AND AMENDMENTS TO STANDARD SPECIFICATIONS ................................ APPENDIX A . LOCATION MAPS .................................... e 08/01/95 F Tc-\ CARLSBAD MUNICIPAL WATER DISTRICT CARLSBAD, CALIFORNIA NOTICE INVITING BIDS rl) Sealed bids will be received at the office of the Purchasing Officer, City Hall 1: Carlsbad Village Drive (formerly Elm Avenue), Carlsbad, California, until 4:00 P.M. on , 19 96 I at which time they will be opened and read, performing the work as follows: 16th day of JAY CONTRACT NO. 3488A "CY AND ELLERY RESERVOIRS 1 NTERIOR COATING CMWD PROJECT NO. 95-107 The work shall be performed in strict conformity with the specifications as approved the Board of Directors of the Carlsbad Municipal Water District of the City of Carlsb on file with the District Engineering Department. The specifications for the work inch the latest revised edition of the ,and Standard Specificationsof PublicWor Construction, (SSPWC), 1994 Edition, and the latest supplement, hereinafter designat "SSPWC", as issued by the Southern California Chapter of the American Public Wor Association and as amended by the special provisions sections of this contra Reference is hereby made to the specifications for full particulars and description of t work. The Carlsbad Municipal Water District encourages the participation of minority al women-owned businesses. The Carlsbad Municipal Water District encourages all bidders, suppliers, manufacturei fabricators and contractors to utilize recyclable materials when available and whe appropriate. . No bid will be received unless it is made on a proposal form furnished by the Purchasii Department. Each bid must be accompanied by security in a form and amount requiri by law. The bidder's security of the second and third next lowest responsive bidde may be withheld until the Contract has been fully executed. The security submitted I all other unsuccessful bidders shall be returned to them, or deemed void, within ten (1 days after the Contract is awarded. Pursuant to the provisions of law (Public Contra Code Section 22300), appropriate securities may be substituted for any obligatic required by this notice or for monies withheld by the District to ensure performanc under this Contract. Section 22300 of the Public Contract Code requires monies N/A * Notice Inviting Bi 08lOllQ5 Rc 6 securities to be deposited with the District or a state or federally chartered ban California as the escrow agent. The documents which must be completed, properly executed and notarized are: 1. Contractor’s Proposal 6. Amount of Sub-Contractors’ Bid 2. Bidder’s Bond 7. Bidder’s Statement of Financial Responsibiti 3. Non-Collusion Affidavit 4. Contract 5. Designation of Subcontractors All bids will be compared on the basis of the Engineer‘s Estimate. The estimi quantities are approximate and serve solely as a basis for the comparison of bids, Engineer‘s Estimate is $340,000.00 . In keeping with the Special Provisions, work shall be accomplished within one hunc fifty (1 50) calendar days. Liquidated Damages will be in the amount of $1.000 per 1 No bid shall be accepted from a contractor who is not licensed in accordance witk provisions of California state law. The contractor shall state their license num expiration date and classification in the proposal, under penalty of perjury. The folfo\ classifications are acceptable for this contract: Class A, Class-33 e 8. Bidder’s Statement of Technical Ability & Experience 9. Purchasing Department Representation & Certification 10. Escrow Agreement for Surely Deposits (Optional) / in accordance with the provisions of state law. @ If the Contractor intends to utilize the escrow agreement included in the con documents in lieu of the usual ten percent (10%) retention from each payment, tt documents must be completed and submitted with the signed contract. The esc agreement may not be substituted at a later date. Sets of plans, special provisions, and Contract documents may be obtained at Purchasing Department, City Hall, 1200 Carlsbad Village Drive (formerly Elm Aver Carlsbad, California, for a non-refundable fee of $30.00 per set, NIA are available for a non-refundable fee of Per The Carlsbad Municipal Water District reserves the right to reject any or all bids ar waive any minor irregularity or informality in such bids. The general prevailing rate of wages for each craft or type of worker needed to exe the contract shall be those as determined by the Director of Industrial Relations pus to the Sections 1770, 1773, and 1773.1 of the Labor Code. Pursuant to Section 17 of the Labor Code, a current copy of applicable wage rates is on file in the Office o Carlsbad City Engineer. The Contractor to whom the Contract is awarded shall no1 less than the said specified prevailing rates of wages to all workers employed by hi her in the execution of the Contract. Notice Invitins os/Ol/Qt e The Prime Contractor shall be responsible for insuring compliance with provision: Section 1777.5 of the Labor Code and Section 4100 et seq. of the Public Contrz Code, "Subletting and Subcontracting Fair Practiced Act." The General Manager is Water District's duly authorized officer for the purposes of Sections 41 07 and 41 07. The provisions of Part 7, Chapter 1, of the Labor Code commencing with Section 1 shall apply to the Contract for work. A pre-bid meeting and tour of the project site will will not XX be held. ' meeting will be held on date: time: location: 8 All bids are to be computed on the basis of the given estimated quantities of work indicated in this proposal, times the unit price as submitted by the bidder. In case ( discrepancy between words and figures, the words shall prevail. In case of an errc the extension of a unit price, the corrected extension shall be calculated and the bids be computed as indicated above and compared on the basis of the corrected total All prices must be in ink or typewritten. Changes or corrections may be crossed out i typed or written in with ink and must be initialed in ink by a person authorized to sigr the Contractor. Bidders are advised to verify the issuance of all addenda and receipt thereof one 1 prior to bidding. Submission of bids without acknowledgment of addenda may be ca Bonds to secure faithful performance/warranty of the work and payment of laborers i materials suppliers and to cover all guarantees against defective workmanship i materials, or both, for a period of one year after the date of final acceptance of the \II by the District each in an amount equal to one hundred percent (100%) and fifty perc (50%), respectively, of the Contract price will be required for work on this project. Th bonds shall be kept in full force and effect during the course of this project, and s extend in full force and effect and be retained by the District until they are released stated in the Special Provisions section of this contract. All bonds are to be placed \ a surety insurance carrier admitted and authorized to transact the business of insura in California and whose assets exceed their liabilities in an amount equal to or in exc of the amount of the bond. The bonds are to contain the following documents: 1) 0 of rejection of bid. An original, or a certified copy, of the unrevoked appointment, power of attorr by laws, or other instrument entitling or authorizing the person who executed bond to do so. A certified copy of the certificate of authority of the insurer issued by the insura commissioner. 2) If the bid is accepted, the City may require copies of the insurer's most recent anr Notice Inviting 08/01 195 e statement and quarterly statement filed with the Department of Insurance pursuan Article 10 [commencing with Section 9001 of Chapter 1 of Part 2 of Division 1 of Insurance Code, within 10 calendar days of the insurer's receipt of a request to sub the statements. Insurance is to be placed with insurers that have (1) a rating in the most recent Be Key Rating Guide of at least A-:V, and (2) are admitted and authorized to transact business of insurance in the State of California by the Insurance Commissioner. A policies offered to meet the specification of this contract must; (1) meet the conditic stated above for all insurance companies and (2) cover any vehicle used in performance of the contract, used on-site or off-site, whether owned, non-owned or hi1 and whether scheduled or non-scheduled. The auto insurance certificate must state coverage is for "any auto" and cannot be limited in any manner. Worker's Compensation insurance required under this contract must be offered b company meeting the above standards with the exception that the Best's rai condition is waived. The District does accept policies issued by the State Compensa' Fund as meeting the requirement for workers' compensation insurance. The Contractor shall be required to maintain insurance as specified in the Contract. 1 additional cost of said insurance shall be included in the bid price. The prime contractor and all subcontractors are required to have and maintain a v City of Carlsbad Business License for the duration of the contract. Approved by the Board of Directors of the Carlsbad Municipal Water District, Carfsb California, by Resolution No. 312 , adopted on the 26th day of March 1996 . 0 e LA. 2 lPQG a#&A - Date' Aletha L. Rautenkranz, Secretary I Notice Inviting 08/01/95 m gc hi Ll (;@ 71Jf17 5 I I I I 8 R t I 8. 8 B 1 8 B R 8 II CARLSBAB MUNICIPAL WATER DISTRICT CONTRACT NO. 3488A 8. CONTRACTOR'S PROPOSAL Board of Directors Carlsbad Municipal Water District 5950 El Camino Real Carisbad, California 92008 The undersigned declares he/she has carefully examined the location of the work, r the Notice Inviting Bids, examined the Plans and Specifications, and hereby prop0 to furnish all labor, materials, equipment, transportation, and services required to dc the work to complete Contract No. in accordance with the Plans Specifications of the Carlsbad Municipal Water District, and the Special Provisions that he/she will take in full payment therefor the following unit prices for each i complete to wit: Item Approximate No. Quantitv DescriDtion Unit Price Total 3488A 1 The work consists of furnishing all labor, material, tools, equipment and incidentals necessary for the removal of the existing coating on the interior of the 1.0 MG "C" Steel Tank Reservoir, including proper disposal of the removed material, and installing a new coating complete with all appurtenant work as specified. 65,301 .OO For the lump sum of $ (Price in Figui Sixty five Thousand Three Hundred and one dollars even (Price in Wor Contractor's Prop 1. 08/01/95 I I Item Approximate No. Quantity Description Unit Price Total 2 8 The work consists of furnishing all labor, material, tools, equipment, and incidentals necessary for the removal of the existing coating on the interior of the 5.0 MG Ellery Steel - Tank Reservoir, including proper disposal of the removed nonhazardous material, and installing a new coating complete with all appurtenant work as specified, including disinfection. ti e For the lump sum of $ 249,967.00 (Price in Figu Two Hundred Forty Nine Thousand Nine Hundred Sixty-seven dollar (Price in Wo 1 I 1 I I 8 1 t 4 8 I Three Hundred Fifteen Thousand Two Hundred si] 1. Total amount of bid in words: eight dollars even 315,268.00 Total amount of bid in numbers: $ Price(s) given above are firm for 90 days after date of bid opening. Prices quoted in Proposal shall include all taxes, including sales and use taxes. Addendum (a) No(s). has/have been received and is/are inclu in this proposal. The Undersigned has checked carefully all of the above figures and understands that District will not be responsible for any error or omissions of part of the Undersign@ making up this bid. The Undersigned agrees that in case of default in executing the required Contract 1 necessary bonds and insurance policies within twenty (20) days from the date of a\n of Contract by the Board of Directors of the Carlsbad Municipal Water District, proceeds of the check or bond accompanying this bid shall become the property of I District. QP9,-P{ wuL?+e4 e4J) G4-q Contractor's &OF 08/0 1 I95 5-/4 L (cj L dJ..044 "c L P T I I The Undersigned Bidder declares, under penalty of perjury, that they are licensed tc business or act in the capacity of a contractor within the State of California and that 1 are validly licensed under license number , classification Ai BI C. which expires on 09/30/97 . This statement is true and correct and has the I( 296517 e I 8 I 8 I f effect of an affidavit. A bid submitted to the District by a Contractor who is not licensed as a contra pursuant to the Business and Professions Code shall be considered nonresponsive shall be rejected by the District. § 7028.15(e). In all contracts where federal funds involved, no bid submitted shall be invalidated by the failure of the bidder to be licer in accordance with California law. However, at the time the contract is awarded, Contractor shall be properly licensed. Public Contract Code § 20104. The Undersigned Bidder hereby represents as follows: 1. That no Board member, officer agent, or employee of the Cads1 Municipal Water District is personally interested, directly or indirectly, in Contract, or the compensation to be paid hereunder; that representation, oral or in writing, of the Board of Directors, its offic agents, or employees has inducted him/her to enter into this Contr excepting only those contained in this form of Contract and the pay: made a part hereof by its terms; and That the bid is made without connection with any person, firm, corporation making a bid for the same work, and is in all respects fair ' without collusion of fraud. I 2. II. I B 1 1 I 8 1 ... 8 Accompanying this proposal is a bidder's bond (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 wt requires every employer to be insured against liability for worker's compensation o undertake self-insurance in accordance with the provisions of that code, and agree comply with such provisions before commencing the performance of the work of ' Contract and continue to comply until the contract is complete. ... ... ... ... ... ... ... ... Contractor's Rop 8. 08/01 I95 1 The Undersigned is aware of the provisions of the Labor Code, Part 7, Chapter 1, Arti 2, relative to the general prevailing rate of wages for each craft or type of worker neec to execute the Contract and agrees to comply with its provisions. 8 I. I IF SOLE OWNER OR SOLE CONTRACTOR SIGN HERE: (1) (2) (3) Place of Business Name under which business is conducted Signature (given and surname) of proprietor 1 8 (Street and Number) I City and State 1 (4) Zip Code Telephone No. I 8. I I I 8 8 II 1 IF A PARTNERSHIP SIGN HERE: Name under which business is conducted Signature (given and surname and character of partner) (Note: Signat1 must be made by a general partner) (1) (2) (3) Place of Business (Street and Number) I City and State (4) Zip Code Telephone No. Contractor’s Ropc I. 08/01/95 F 1 IF A CORPORATION, SIGN HERE: I 8 1 1 1 I. --- 1 Impress Corporate Seal I (4) Incorporated under the laws of the State of Ca1ifornia (5) Place of Business 1391 Allec Street Anaheim, CA 92805 (Street and Number) City and State (714)635-1130 1 (6) Zip Code 92805 Telephone No. NOTARY ACKNOWLEDGMENT OF EXECUTION OF ALL SIGNATORIES MUST ATACHED List below names of president, vice president, secretary and assistant secretary, corporation; if a partnership, list names of all general partners, and managing partn 8. I 1 I - 1 1 1 1 Michael Birney - President Donald G. Watson - Secretary James E, Booth - Asst. Secretary 8 Contractor’s Prop 8. 08/01 /95 I CALIFORNIA ALL-PURPOSE ACKNOWLEDGMENT State of California County of Orange On May 101 1996 before me, Dawn E. Parkr Notary Public personally appeared Michael Birney EXpersonally known to me - OR - ~~~m~ ' 8k3&&@&- son( whose name(s) is/are subscribed to the within instrume and acknowledged to me that he/she/they executed t' same in his/her/their authorized capacity(ies), and that his/her/their signature(s) on the instrument the person( or the entity upon behalf of which the person(s) act€ executed the instrument. Date Name and Title of Officer (e g , "Jane Doe, Notary Public") Name(s) of Signer@) Though the information below is not required by law, it may prove valuable to persons relying on the document and could prevc fraudulent removal and reattachment of this form to another document Description of Attached Document Title or Type of Document: Document Date: May lor 1996 Number of Pages: 5 Signer(s) Other Than Named Above: NIA Capacity(ies) Claimed by Signer(s) Contractor' s ProPsa1 Michael Birney Individual 0 Individual &Corporate Officer 0 Corporate Officer Partner - 0 Limited @ General 0 Partner - [7 Limited cl General President Title( s) : 0 Guardian or Conservator Guardian or Conservator Signer Is Representing: Signer Is Representing: Techno Coatingsr Inc. Reorder Call Toll FI Prod No 5907 0 1994 National Notary Association * 8236 Remrnet Ave , PO Box 7184 * Canoga Park CA 91309 7184 1 EQUIPMENT/MATERIAL SOURCE INFORMATION 1 (TO ACCOMPANY PROPOSAL) The Bidder shall indicate opposite each item of equipment or material listed below, name of the one supplier and manufacturer of each item of equipment or mat€ proposed to be furnished under the bid. Awarding of a contract under this bid will imply approval by the District of the manufacturers listed by the Bidder. 8. 8 1 8 8 1 I 8 1 I I 1 1 Ea u i I) ment/Material Manufacturer 1. Tnemec Tnemec 1 (Manufacturer) 2. (Manufacturer) 3. 4. 1 (Manufacturer) EquipmenVMate Source lnformat 8. 08/01/95 fi 1 BID SECURITY FORM 1 (Check to Accompany Bid) (Note: The following form shall be used if check accompanies bid:) Accompanying this proposal is a *Certified *Cashiers check payable to order of CARLSBAD MUNICIPAL WATER DISTRICT, in the sum of lii 1 1 I I I I I 1 1 1 I 8 8 I dollars ($ this amount being ten percent (10%) of the total amount of the bid. The proceeds oft check shall become the property of District provided this proposal shall be accepted the District through action of its legally constituted contracting authorities and 1 undersigned shall fail to execute a contract and furnish the required Performant Warranty and Payment Bonds and proof of insurance coverage within the stipulated tin otherwise, the check shall be returned to the undersigned. The proceeds of this chc shall also become the property of the District if the undersigned shall withdraw his I within the period of fifteen (15) days after the date set for the opening thereof, unlc otherwise required by law, and notwithstanding the award of the contract to anotl bidder. 1. BIDDER *Delete the inapplicable word. (Note: If the Bidder desires to use a bond instead of check, the Bid Bond form on t following pages shall be executed-the sum of this bond shall be not less than t percent (10%) of the total amount of the bid. Bid Security Fa 08/01/95 R II. BIDDER’S BOND (TO ACCOMPANY PROPOSAL) ,Bond No. GE578540 0 KNOW ALL PERSONS BY THESE PRESENTS: That we, TECHNO COATINGS, INC. , as Principal, and GULF INSURANCE as Surety are held and firmly bound unto the CARLSBAD MUNICIPAL WATE in an amount as follows: (must be at least ten percent (10%) of the bid ar for which payment, well and truly made, we bind ourselves, our heirs, e) administrators, successors or assigns, jointly and severally, firmly by thest THE CONDITION OF THE FOREGOING OBLlGATlON IS SUCH that if the pr above bou nd en Principal for: ,Thirtv Four Tho usand Dollars and no/100 ($?b.O~OOl CONTRACT NO. 3488A ‘C’ AND ELLERY RESERVOfRS INTERIOR COATING CMWD PROJECT NO. 95-107 in the City of Carlsbad, is accepted by the Board of Directors, and if the PI duly enter Into and execute a Contract, including required bonds and insurar within twenty (20) days from the date of award of Contract by the Board of the Carlsbad Municipal Water District, being duly notified of sajd awarc obligation shall become null and void; otherwise, it shall be and remain in h effect, and the amount specified herein shall be forfeited to the said Distrid 0 ... ’.. ... ... #.. ... ... ... ... ... ... ... ... ... v.. e E l MAY-08-1996 15:39 714 635 6357 99% In the event Principal executed this bond as an individual, it is agreed that Principal shall not exonerate the Surety from its obligations under this bor Executed by PRINCIPAL this 10th Executed by SURETY this2 day of May ,19 96 day of May PRINCIPAL: WREN: a Techno Coat Gulf Insurance Company (Name of Surety (address of Suret hone number sf : 5550 West Touhy Avenue, 5 Skokie, IL 60077-3200 (847) 983-9800 By: President (title and organization of signatory) (sign here) By> e \/ Ax7 $nnhn I printed name of Attomel (attach corporate resolutia Donald G. Watson (print name here) . current power of attorney) 0 Secretary (title of organization of signatory) (Proper notarial acknowledgment of execution of Pincipal and Surety must be attached.) (President or vice-presldent and secretary or assistant secretary must sign for mrporatlons. If o signs, the corporation must attach a resolution certified by the secretaty or assistant secretary ur seal empowering that oficer to bind the corporation.) APPROVED AS TO FORM: Deputy General Counsel B C 0 TOT MAY--08-1996 15:4@ 714 635 6357 99% CALIFORNIA ALL-PURPOSE ACKNOWLEDGMENT California On May 9, 1996 before me, M. Minium, Notary Public DATE NAME, TITLE OF OFFlCER - EG ,‘JANE WE. NOTARY PUBilC personally appeared Randy SPO~ kl personally known to me - OR - 0 proved to me on the basis of satisfactory evide to be the person@ whose name) ish subscribed to the within instrument and knowledged to me that hekb&#ey execu the same in his- authorii capacity(k), and that by hisW signature@) on the instrument the person or the entity upon behalf of which persono acted, executed the instrumc WITNESS my hand and official seal. NAME(S) OF SIGNER(S) .-- SIGNATURE OF NOTARY x_ L \ Though the data below IS not required by law, it may prove valuable to persons relying on the document and could pr fraudulent reattachment of this form CAPACITY CLAIMED BY SIGNER DESCRIPTION OF ATTACHED DOCUME CORPORATE OFFICER Bid Bond TITLE OR TYPE OF DOCUMENT TlTLE(S) Two NUMBER OF PAGES May 9, 1996 DATE OF DOCUMENT SIGNER IS REPRESENTING: NAME OF PERSON@) OR ENTITY(IES) SIGNER(S) OTHER THAN NAMED ABOVE Gulf Insurance Company 01993 NkTlON4L NOTARY ASSOCIATION - 8236 Remmet Ave , P 0 Box 7184 - Canoca Park C PQYjqlEjg OF ATTOpqpgyy OF THIS POWER OF PATTORKEY AWE PRZKTED OY BLUE SAFETY PAPER WIT3 TEAL Pia'?&. DUPLICATES SHALL HAVE THE SAME FORCE AIBD EFFECT AS AN ORIGINAL 0NLY W'HEN ISSUED IN VJUNCTION WITH T14E OREGENAZ. TECHNO COATINGS, INC. KNOWN ALL MEN BY THESE PRESENTS: That the Gulf Insurance Com- y, a corporation duly organized under the laws of the State of Missouri, having its principal office in the city of Irving. Texas. puxuant to the following resolution. adopted by the Finance & Executive Committee of the Board of Directors of the said Company on the lGth day of August, 1993, to wit: "RESOLVED, that the Resident, Executive Vice President or any Senior Vice President of the Company shall have authority to make. execute and deliver a Tower of Attorney constituting as Attorney-in-Fact, such pcrsons, firms, or corporations as may be selected from time to time: and any such Attorncy-in-ract may be removed and the authority granted him revoked by the President, or any Executive Vice Resident, or any Senior Vice President, or by the Board of Directors or by the Finance and Executive Committee of the Soard of Directors. RESOLVED, that nothing. in lhis Power of Attorney shall be construed as a grant of authority to the attorney(s)-in-fact to sign. cxecutc. acknowledge, delivcr or other- wise issue a policy or policies of insurance on behalf of Gulf Insurance Company. RESOLVED, that the signature of thc President, Executive Vice President or any Senior Vice President, and the Seal of the Company may be affixed to any such Power of Attorney or any certificate re!ating thereto by facsimile. and any such powers so executed and certified by facsimile signature and facsirnilc seal shall be valid and binding upon the Company in the future with respect to any bond and documents reiating to such bonds to which they are attached." Gulf Insurance Company docs hcreby make, constitute and appoint 1391 Allec Street Anaheim, CA 92805 @ EFFECTIVE DATE CONTRACT AMOUNT BOND AMOUNT $ 34,000.00 RANDY SPOHN OF ANAHEIM, CA its true and lawful attorncy(~;)-in-~act. with hi1 power and authority hercby conferred in its name, place and stead, to sign, execute, acknowledge and i behalf, as surety, any and all bonds and undertakings of suretyship. and to bind Gulf Insurance Company thereby as fully and to the same extent as i -rtakings and documents rclating to such bonds andior undcrrakings were signed by the duly authorized officer of the Gulf Insurance Company and a ttorney(s)-in-fact, pursuant to the authority herein given, are hereby ratified and confirmed. i)i The obiigation of the Company ahail not cxceed one million (SI .OOO.OOO.OO) dollars. be hereto affixed. IN WITNESS WHEREOF, the Gulf iinsurance Company has caused these presents to be signed by any officer of the Company and its Corpc 0 GULF IKSURANCE COMPANY STATE OF IBEW YORK ) COUNTY OF NEW YBRM ) On this 1st day of February, 8994 AD., before nie cane Christopher E. Watson, known bo me personally who being by me duly sworn, did say; that he resides in the County of Westchester, State of Sew Yorii; that he is the President of the Gulf Insurance Company, the corporation and which executed the above instrument; that he knows the seal of said corporation; that the seal affixed lo the said instruments is such corporr it was so affixed by order of the Board of Directors of said co:poration and that he signed his name, thereto by like order. +/ss@P A4 Christopher fyk E. Watson z *r & P-d ) SS President 0 4- +0.OTAek *; 3 QUBL\G $ Ursula Kerrigan No. 02 ICE 5043950 Qualified in New York County 1 SS Comm. Expires May 15, 1997 STATE OF NEW YORK ) T'c)F NE\FI COUNTY OF KEW YOWK ) attached POWER OF A'BTOWYEY remains in full force. X, the undersigned, Senior Vice President of the Gulf Insurance C~rnparay, a Missouri Corporation, DO HEREBY CERTIFY that the fo ~RANCF q\*~o%?04g G+ 0 Dated the 9th day of May Signed and Sealed at the City QF New York. +/s s oo+\ e Lawrence P. Miniter Senior Vice President CALIFORNIA ALL-PURPOSE ACKNOWLEDGMENT State of California County of mange On May 101 1996 before me, Dawn E. Parkr Notary Public personally appeared @personally known to me - OR - ErpmmftuP~ -trttle persor whose name(s) is/are subscribed to the within instrum and acknowledged to me that he/she/they executed same in his/her/their authorized capacity(ies), and thai his/her/their signature(s) on the instrument the person or the entity upon behalf of which the person(s) act executed the instrument. Date Name and Title of Officer (e g , "Jane Doe, Notary Public") Michael Birney! Donald G. Watson Name($ of Signer($ Though the information below 1s not required by law, it may prove valuable to persons relying on the document and could prev fraudulent removal and reattachment of this form to another document. Description of Attached Document Title or Type of Document: Document Date: May gr 1996 Number of Pages: Two Signer(s) Other Than Named Above: Bid Bond N/A Capacity(ies) Claimed by Signer(s) signergs N~~~: Michael Birney Signer's Name: Donald G. Watson 0 Individual 0 Individual E& Corporate Officer Title(s): President Title(s) : Secretary 0 Partner - 0 Limited C General 0 Partner - 0 Limited 0 General 0 Attorney-in-Fact 0 Attorney-in-Fact 0 Guardian or Conservator 0 Guardian or Conservator %2 Corporate Officer Signer Is Representing: Signer Is Representing: Techno Coatingsr Inc. Techno Coatingsr Inc. 0 1994 National Notary Association - 8236 Remmet Ave , P 0 Box 71 84 * Canoga Park, CA 91 309-71 84 Prod No 5907 Reorder Call Toll-FI 1 GUIDE FOR COMPLETING THE "DESIGNATION OF SUBCONTRACTOR & AMOUNT SUBCONTRACTOR'S "BID' AND "DESIGNATION OF OWNER OPERATORS & AMOUNT OWNER OPERATOR WORK' FORMS REFERENCES 8 8 1 I I I Prior to preparation of the following Subcontractor and Owner Open disclosure forms Bidders are urged to review the definitions in Sections SSPWC especially, "Bid,' "Bidder,"Contract,' 'Contractor,' 'Contract Pric "Contract Unit Price,' 'Engineer,' 'Subcontractof and 'Work" and definitions in Section 1-2 of the Special Provisions especially 'C Organization' and 'Owner Operator/Lessee.' Bidders are further urgec review the following sections of the Special Provisions 2-3.1 'General, 3.3 'Subcontractor Items of Work,' 23.4 'Owner Operators' and 2- 'Penatties and Remedies.' Bidders are cautioned that failure to provide complete and cor1 information may result in rejection of the bid as non-responsive. Bids 1 propose performance of more than 50 percent of the work by other tl the Contractor's own organization will be rejected as non-responsive. Bidders shall use separate disclosure forms for each Subcontractor Owner Operator (O+O)/Lease of manpower and equipment that proposed to be used to complete the Work. All items of information must be completely filled out. Where the bid item will be installed by more than one Subcontractor Owner Operator/Lessee the percentage of the bid item installed by ' Subcontractor or Owner Operator/Lessee being listed in the line of ' form must be entered under the column 'O/O of Item by Sub' or 'O/O Item by O+O' as applicable. If a Subcontractor or Owner Operator/Les: installs or constructs any portion of a bid item the entire amount of ' Contract Unit Price shall be multiplied by the Quantity of the bid item t the Subcontractor or Owner Operator/Lessee installed. Suppliers of materials from sources outside the limits of work are subcontractors. The value of materials and transport for materials frl sources outside the limits of work, as shown on the plans, shall assigned to the Contractor or to the Subcontractor, as the case may I installing them. The item number from the "CONTRACTOR'S PROPOSAL' (Bid Shee shall be entered in the 'Bid Item No.' column. When a Subcontractor has a Carlsbad business license the number mi be entered on the form. If the Subcontractor does not have a VE I business license enter 'NONE' in the appropriate space. Bidders shall make any additional copies of the disclosure forms as IT 1 be necessary to provide the required information. The number Designatior Subcontracl I. 08/01/95 F I. CAUTIONS INSTRUCTIONS 1 1. I 1 I I 1 I I additional form pages shall be entered on the first form page of each 1 so duplicated. Bidder may, at its option, combine bid items on a single row in the ( on the disclosure forms. If using this option the Bidder must indicatc bid item numbers to which the information in the row pertains. This 01 may not be used where the subcontractor or owner operatc constructing or installing less than 100 percent of a bid item. percentages and dollar amounts may be the sums of the bid items 11 in that row. When the Bidder proposes using a subcontractor or owner operatork to construct or install less than 100 percent of a bid item the Bidder r attach an explanation sheet to the designation of subcontract0 designation of owner operator/lessee forms as applicable. The explam sheet must clearly apprise the Agency of the specific tasks, mate and/or equipment that are proposed to be so supplied. I. I I I I I I I I 1 1 I I 1 I 1. Designatic Subcontm 1. 0810 1 fQ5 DESlGNATlON OF SUBCONTRACTOR & AMOUNT OF SUBCONTRACTOR'S BID (TO ACCOMPANY PROPOSAL) I I I I I I I I I 1 I I I The Bidder MUST complete each information field on this form for each subcontractor th; proposes to use. Additional copies of this form may be attached if required. This form musl submitted as a part of the Bidder's sealed bid. Failure to provide complete and cor1 information may result in rejection of the bid as non-responsive. The Bidder certifies that it has used the sub-bid of the following listed subcontractors in prepai this bid for the Work and that the listed subcontractors will be used to perform the portion: the Work as designated in the list in accordance with applicable provisions of the specificatic and Section 4100 et seq. of the Public Contracts Code- 'Subletting and Subcontracting I Practices Act.' The Bidder further certifies that no additional subcontractor will be allowe<: perform any portion of the Work and that no changes in the subcontractors listed work will made except upon the prior approval of the Agency. I. Full Company Name: N/A Complete Address: Street I city State Zip Telephone Number plus Area Code: California State Contractors License No. & Classification: 1. Carlsbad Business License No.: This project does does not X have bid items designated as 'SPECIALTY ITEN I Page of pages of this form Designatic S u bcontrac 08/0 1 195 I. I I DESlGNATlON OF OWNER OPERATORS & AMOUNT OF OWNER OPERATOR WOR I (TO ACCOMPANY PROPOSAL) The Bidder MUST complete each information field on this form for each owner operatodor le! (O+O) that it proposes to use to perform any portion of the Work, in an amount in excess o percent of the Prime Contractor’s bid. Additional copies of this form may be attached if requ This form must be submitted as a part of the Bidder’s sealed bid. Failure to provide coml and correct information may result in rejection of the bid as non-responsive. Except foi individuals listed below the Bidder certifies that no owner operator/lessee will be allowe perform any portion of the Work. The Bidder further certifies that no changes in the o\ operator listed work will be made except upon prior approval of the Engineer. Provide a sepz sheet for each Owner Operator/Lessee. See Section 1-2 of the Special Provisions for defin of Owner Operator/Lessee. F 1 E I 1 I I 3 1 I I I Full Owner OperatodLessee Name: N/A Complete Add ress: Street 1 cw State Telephone Number plus Area Code: This project does does not X have bid items designated as ‘SPECIALTY ITEr 1. OWNER OPERATOR WORK ITEMS I Page Of pages of this form Designatic Su bcontrac 1. 08/01 la5 I I BIDDER’S STATEMENT OF FINANCIAL RESPONSlBlLlTV (TO ACCOMPANY PROPOSAL) 1 4 I I E I R so 1 e 1 s - I t 1 IE Bidder submits herewith a statement of financial responsibility: I* SEE ATTACAH) FINANCIAL SA- Bidder’s Stateme Financial Responsi 08/01 105 I. A. PATEL ACCOUNTANCY COW. 4206 E. LA PALMA AVENUE ANAHEIM, CA 92807-1 81 6 TELEPHONE (714) 993-1040 * FAX (714) 9934700 Board of Directors Techno Coatings, Inc. 1391 Allec Street AnahebCA 92805 I have reviewed the accompanying balance sheet of Techno Coatings, Inc. as of June 30, 1995 related statements of income and retained earnings, and cash flows for the year then e accordance with Statements on Standards for Accounting and Review Services issued by the P Institute of Certified Public Accountants. All information included in these fmancial statemer representation of the management of Techno Coatings, Inc. A review consists principally of inquiries of company personnel and analytical procedures a1 fmancial data. .It is substantially less in scope than an audit in accordance with generally .ounting standards, the objective of which is the expression of an opinion regarding the statements taken as a whole. Accordingly, I do not express such an opinion. Based on my review, I am not aware of any material modifications that should be mad accompanying fmancial statements in order for them to be in conformity with generally accounting principles. Fk ML August7, 1995 a MEMBER, AMERICAN INSTITUTE OF CERTIFIED PUBLIC ACCOUNTANTS MEMBER, CALIFORNIA SOClElY OF CERTIFIED PUBLIC ACCOUNTANTS CONTENTS - Pl 0 ACCOUNTANT'S REVIEW REPORT REVIEWED FINANCIAL STATEMENTS: BALANCE SHEET - ASSETS BALANCE SHEET - LIABILITIES AND STOCKHOLDER'S EQUITY STATEMENT OF INCOME AND RETAINED EARNINGS STATEMENT OF CASH FLOWS NOTES TO FINANCIAL STATEMENTS 0 e TECHNO COATINGS, INC. BALANCE SHEET June30, 1995 0 ASSETS CURRENT ASSETS: Cash (Note 2) $ 14 Accounts Receivable - Trade (Notes 1 & 3): Regular $ 755,900 Retentions 64.338 8; P i Unbilled Work in Progress (Notes 1 & 4) Inventory (Note 1) 1s Prepaid Insurance - 4 Total Current Assets 425 Employee Advances OPERTY AND EQUIPMENT, AT COST (NOTES 1 & 5): 2,748,33 1 Machinery and Equipment Transportation Equipment 362,048 Office Furniture and Equipment 170,234 Leasehold Improvements 4 17,475 3,698,088 1,23 3.300 6 Less: Accumulated Depreciation and Amortization Net Property and Equipment 2,46 DEP 0 SITS 2 Total Assets $ 3,77 e See Accompanying Notes to Financial Statements and Accountant's Review Report -3 - TECHNO COATINGS, INC. BALANCE SHEET June 30,1995 e LIABILITIES AND STOCKHOLDER'S EQUITY CURRENT LIABILITIES: Notes Payable - Bank - Current Portion (Note 5) Account Payable - Trade - Current Portion (Note 7) Project Receivables Billed in Advance (Notes 1 & 4) Accrued Payroll and Related Expenses Accrued Interest and Other Accrued Expenses $ 5: 14d 2: 2. 1' 4: 1 6: Accounts Payable - Trade (Note 6) Note Payable - Stockholder - Current Portion (Note 8) Income Taxes Payable (Note 1) Deferred Income Taxes (Note 1) i 1 Total Current Liabilities 39 ~NG-TERM DEBT: Notes Payable - Bank - Net of Current Portion (Note 5) Account Payable - Trade - Net of Ckent Portion (Note 7) Note Payable - Stockholder - Net of Current Portion (Note 8) $ 1,158,479 68,055 673.278 Total Long-Term Debt 1,891 Total Liabilities 2,29 COMMITMENTS AND CONTINGENCIES (NOTES 10 & 11) STOCKHOLDER'S EQUITY: Common Stock (Note 9) 20,000 Retained Earnings 1,466,434 Total Stockholder's Equity 1,48( $ 3.77' Total Liabilities and Stockholder's Equity 0 See Accompanying Notes to Financial Statements and Accountant's Review Report -4- TECHNO COATINGS, INC. STATEMENT OF INCOME AND RETAINED EARNINGS Year Ended June 30, 1995 e PI Amount - of; EARNED CONTRACT REVENUE $ 6,582,104 1c COST OF EARNED CONTRACT REVENUE 4,989,533 - 7 GROSS PROFIT 1,59237 1 2 GENERAL AND ADMINISTRATIVE EXPENSES 1,430,849 - 2 INCOME FROM OPERATIONS 161,722 - OTHER INCOME (EXPENSE): Interest Expense (147,891) (2 0 Total Other Expense (144.347) _I( INCOME BEFORE INCOME TAXES 17,375 PROVISION FOR INCOME TAXES (NOTE 1) (19.864) - NET INCOME 37,239 I RETAINED EARNINGS, JULY 1, 1994 Interest Income 3.544 - AS PREVIOUSLY STATED $ 1,417,430 ADJUSTMENT FOR OVERACCRUAL OF PRIOR PERIOD INCOME TAXES 11.765 RETAINED EARNINGS, JULY 1,1994, AS RESTATED RETAINED EARNINGS, JUNE 30, 1995 1.429.195 $ 1,466,434 a See Accompanying Notes to Financial Statements and Accountant's Review Report -5- IELHlVW LWAlllYU3, IIYL. STATEMENT OF CASH FLOWS Year Ended June 30, 1995 @ASH FLOWS FROM OPERATING ACTIVITIES: Net Income $ 37,2: Adjustment to Reconcile Net Income to Net Cash Provided by Operating Activities: Depreciation and Amortization 383,6( Net Decrease in Accounts Receivable - Trade 124,7: Net Decrease in Unbilled Work in Progress 141,9: Net Increase in Inventory (188,7: Net Decrease in Prepaid Insurance 79,2( Net Decrease in Refundable Income Taxes 15,ld Net Decrease in Deposits 4,81 Net Decrease in Accounts Payable - Trade (83,81 Net Decrease in Project Receivables Billed in Advance (14,5! Net Decrease in Accrued Payroll and Related Expenses . (997 Net Increase in Accrued Interest and Other Accrued Expenses 43,s: Net Increase in Income Taxes Payable 4,71 Decrease in Deferred Income Taxes (29.81 e Net Cash Provided by Operating Activities 507.8( CASH FLOWS FROM INVESTING ACTIVITY: Changes in Operating Assets and Liabilities: Net Increase in Employee Advances (7‘ Purchase of Property and Equipment (1,146.71 (1,146,71 Net Cash Used by Investing Activity CASH FLOWS FROM FINANCING ACTIVITIES: Proceeds of Note Payable - Bank (Net) 113,5( Repayment of Contract Payable (1795 Repayment of Obligation Under Capital Lease (499 Proceeds of Note Payable - Stockholder (Net) 574,7( 665.7’ NET INCREASE IN CASH 26,8! CASH, JULY 1, 1994 120.7’ dRSH, JUNE 30, 1995 $ 147.6t Net Cash Provided by Financing Activities See Accompanying Notes to Financial Statements and Accountant’s Review Report -6- TECHNO COATINGS, INC. NOTES TO FINANCIAL STATEMENTS e June30, 1995 NOTE 1 Organization and Summary of Significant Accounting Policies Organization: The Company was incorporated under the laws of the State of California on 1974 and is principally engaged in coating services for refineries and indust primarily in California, Arizona and Nevada, Method of Accounting for Contracts: The accompanying financial statements have been prepared using the perc completion method of accounting and, therefore, take into account the costs, earnings and revenue to date on contracts not yet completed. The amount ( recognized is not related to the progress billings to customers. On projects where the amount of progress is subject to measurement, the amoun that percentage of the contract that a measurement of the work put in place br total work required. On projects or elements of projects where a reliablr measurement of progress is not available, the amount of earnings recognii statement date is that portion of the total contract price that the cost expended b anticipated fmal total cost, based on current estimates of cost to complete the prc AI1 contracts-in-progress are reviewed for cost overruns and, if total anticipate( expected to exceed the contract amount, the overrun is treated as a curreni Changes in estimated gross profits on contracts are reflected during the period the facts that require the revision become known. General and administrative expenses are charged to operations as incurred ar e ' allocated to contract costs. Accounts Receivable - Trade: Accounts receivable - trade consist of billed receivables and earned amounts r( customers pending satisfactory completion of the applicable contracts. receivables consist of unbilled amounts due on completed contracts as well as * of costs and estimated earnings to date over billings on contracts in progress. Allowance for Doubtful Accounts: Accounts are written off when deemed uncollectible. No allowance for colleci is considered necessary. 0 See Accompanying Accountant's Review Report -7- TECHNO COATINGS, INC. NOTES TO FINANCIAL STATEMENTS June30, 1995 0 NOTE 1 Organization and Summq of Significant Accounting Policies (Continued) Inventory: Inventory consists of materials on hand for fkture contracts and is valued at 101 or market value. Cost is determined on a frrst-in, first-out basis and mark1 considered as replacement cost. Property and Equipment: For both fmancial reporting purposes and income tax purposes, depreciation c provided using the Modified Accelerated Cost Recovery System over the estim lives of the assets (principally 5 to 7 years). When assets are retired or otherwise disposed of, the cost of the property i accumulated depreciation or amortization are removed fiom the accounts; gains from such disposals are included in income. Repairs and maintenance costs are expensed as period costs. Income Taxes: The Company reports its income under the completed contract method for i purposes and on the percentage-of-completion method for financial reporting Deferred income taxes represent the tax effect of timing differences between fir tax reporting. e Profit Sharing 401(k) Pension Plan: Effective July 1, 1994, the Company adopted a 401(k) plan, to which the empl contribute monthly and the Company may match a portion of the 1 contributions. The plan covers substantially all full-time (1,000 hours of sei union employees who have completed one year of service and have attained twenty-one years. Company contributions vest at 20% per annum after the thir are fully vested after seven years of employment. During the year ended June the Company made contributions of $15,002. 0 See Accompanying Accountant's Review Report -8- TECHNO COATINGS, INC. NOTES TO FINANCIAL STATEMENTS June30, 1995 Organization and Summary of Significant Accounting Policies (Continued) 0 NOTE 1 Statement of Cash Flows: The Company has adopted Financial Accounting Standards No. 95, entitled S. Cash Flows. For purposes of reporting the statement of cash flows, the Compa: on the accompanying balance sheet all cash accounts not subject to withdrawal or penalties, and all liquid debt investments purchased with a maturity of three less, as cash and cash equivalents. No cash equivalents were included in cash sheet date. During the year ended June 30, 1995, the Company made cash p $138,473 for interest and none for income taxes. NOTE 2 Cash Cash consists of the following: Bank of America 300 South Harbor Boulevard Anaheim, CA 92805 (714) 533-4470 Checking A/C #209-0-02503 $ 86( Checking A/C #209-3-00333 3 2,84 Savings A/C #209-3-61921 101,97 e Orange National Bank 1201 E. Katella Avenue Orange, CA 92667 (714) 771-4000 Savings A/C #070 701-453247 11,49: Petty Cash 5 O( $147.66' The Company places its temporaty cash investments with high credit qualip institutions. At times, such investments may be in excess of the Federal Deposi Corporation (FDIC) insurance limit. 0 See Accompanying Accountant's Review Report -9- \ TECHNO COATINGS, INC. NOTES TO FINANCIAL STATEMENTS June 30, 1995 8 NOTE 3 Accounts Receivable - Trade Accounts receivable - trade are as follows: Amount Percentage Regular: Current $ 523,779 63.9% 30 to 59 Days 143,024 17.4% 60 to 89 Days 3 1,178 3.8% 90 Days and Over 57.919 7.1% 755,900 92.2% Retentions 64.33 8 7.8% $ 820,238 100.0% NOTE 4 Contract Costs Contract costs are summarized as follows: Expenditures on uncompleted contracts $ 227,464 Estimated earnings thereon 165.622 393,086 Less: Billings (344.952 $ 48,134 0 The above is reflected in the accompanying balance sheet as follows: Costs and estimated earnings in excess of billings on Billings in excess of costs and estimated earnings on uncompleted contracts (unbilled work in progress) $ 73,424 uncompleted contracts (project receivables billed in advance) (25,290 $ 48,134 e See Accompanying Accountant's Review Report -10- TECHNO COATINGS, INC. NOTES TO FINANCIAL STATEMENTS June30, 1995 0 NOTE 5 Notes Payable - Bank Notes payable - bank consist of the following: A. Borrowings of $938,200 on a $948,500 fmancing arrangement with Bank c Community Development Bank, P.O. Box 1186, Rancho Cordova, CA 95741 number (916) 851-6247; loan # 13275; monthly payments of principal plus reference rate plus 1% (reference rate was 9% as of June 30, 1995). The loan by various equipment with a net book value of $707,007 as of June 30, 1s issued by SCAQMD for emission of volatile organic compounds, and gu Multiple Plant Services, Inc. (Note 12) and Mr. and Mrs. Michael T. Bhey { the amount of $1,806,050 each plus unpaid interest, fees, and other debt Principal payments are to be made over a twenty-year period commencing Dl 1994 with fmal payment due on November 1, 2014; principal balance of considered current. Borrowings of $274,040 on a $280,000 debenture proceeds to CDC Smaf Finance Corp., 265 S. Anita Drive, Suite 105, Orange, CA 92668; telepho (7 14) 978- 1182; loan # CDC-L-GP-6 13-056-30-09-CA; monthly payments including interest at 8.023% A.P.R. The loan is secured by second position equipment with a net book value of $878,120 as of June 30, 1995 and gu Multiple Plant Services, Inc. (Note 12) and Mr. and Mrs. Michael T. Bhej Principal payments are to be made over a twenty-year period commencing Sep 1994 with fmal payment due on August 17, 2014; principal balance of considered current. B. 0 The maturities of the notes payable for the years ending after June 30, 1996 are as folk Year Ending June 30 Amount 1997 $ 54,281 1998 54,85! 1999 55,471 2000 56,141 200 1 56,63! Thereafter 881.071 $ 1,158,475 0 See Accompanying Accountant's Review Report -1 1- TECHNO COATINGS, INC. NOTES TO FINANCIAL STATEMENTS June 30, 1995 6 NOTE 6 Accounts Payable - Trade Accounts payable - trade are aged as follows: Amount Percentage Current $ 91,988 63.5% 30 to 59 Days 5 1,756 35.7% 60 to 89 Days 1,085 .8% $ 144,829 100.0% NOTE 7 Account Payable - Trade Account payable - trade consists of account payable to Sherwin-Williams Company, Northwest Highway, Dallas, TX 75238. The Company has entered into an agree Sherwin-Williams Company whereby purchases by the Company during the period Ju to December 31, 1995, up to $500,000, are payable in twenty-four equal monthly in beginning January, 1996. Account payable to Sherwin-Williams Company at June amounted to $90,741, $22,686 is considered current. TE 8 Note Payable - Stockholder Note payable - stockholder consists of an unsecured, demand note payable to Mr. 1 Bhey (Note 9); monthly payments of $655, including interest at 9.25% A.P.R.; balance of $682,086, $8,808 is considered current. Demand is not expected prior t 1996. NOTE 9 Common Stock Common stock has 7,500 shares authorized with $10 par value; 2,000 shares j outstanding are owned by Mr. Michael T. Bhey, President of the Corporation. a See Accompanying Accountant's Review Report -12- TECHNO COATINGS, INC. NOTES TO FINANCIAL STATEMENTS June30, 1995 0 NOTE 10 Commitments The Company leases three facilities (two facilities are leased from Mr. and Mrs. fi Bhey) (Note 9) under operating lease agreements for periods ranging fiom five years years at a current monthly rental totaling $18,600. The monthly rental is subject to The Company is also responsible for payment of taxes, insurance, and maintenance. E during the year ended June 30, 1995 amounted to $163,450. Future minimum rentals under the terms of the leases are as follows: Year Ending June 30 Amount 1996 $ 272,000 1997 $ 254.000 1998 $ 252,200 1999 $ 258.200 0 2000 $ 159,200 2001 to 2014 $ 139,200 2015 $ 69,600 NOTE 11 Contingencies A. The Company has guaranteed loans by Bank of America Community Develop] to Mi-. and Mrs. Michael T. Bimey (Note 9) in the total amount of $2,830,050 p interest, fees, and other debt expenses. Principal balance outstanding at June amounted to $2,142,505. The Company has guaranteed a line of credit to Multiple Plant Services, Inc., common ownership, by Orange National Bank to the extent of $400,000 pl interest. Borrowing on the line of credit at June 30, 1995 amounted to $100,000 B. 0 See Accompanying Accountant's Review Report -13- TECHNO COATINGS, INC. NOTES TO FINANCIAL, STATEMENTS e June30, 1995 NOTE 12 Related Partv Transactions A. The Company performs services for and subcontracts work to Multiple Plan1 Inc., related by common ownership. Summary of intercompany transactions year ended June 30, 1995 are as follows: $ 111 Earned Contract Revenue 7 $ 732 Subcontract - The Company leases facilities from Mr. and Mrs. Michael T. Bhey (Note operating lease agreements (Note 10). Rental paid to Mr. and Mrs. Michael during the year ended June 30, 1995 amounted to $49,000. B. NOTE 13 Lines of Credit The Company has established the following lines of credit: A. A $400,000 line of credit with Bank of America, P.O. Box 6012, Pasadena, C interest payable at Bank of America reference rate plus 1%. The line is guarantc and Mrs. Michael T. Birney (Note 9). There was no borrowing on the line c June 30, 1995. The line of credit expires on October 1, 1995. A $250,000 line of credit with Orange National Bank, 1201 E. Katella Avenu CA 92667; interest payable at Orange National Bank Index Rate plus 0.5%. 1 authorized, to the extent permitted by applicable law, to setoff all sums owing line against all bank accounts of the Company with Orange National Bank. ' guaranteed by Mr. and Mrs. Michael T. Birney (Note 9). There was no borrow line of credit at June 30, 1995. The line of credit expires on October 5, 1995. 0 B. NOTE 14 Facility with Vendor The Company has established an arrangement with Carboline Company for a peric years from June, 1995, whereby the Company would receive a trade discount of 1 purchases up to a maximum discount of $200,000. The Company will record the b reduction of cost of materials when the trade discount is earned. a See Accompanying Accountant's Review Report -14- 1 BIDDER'S STATEMENT OF TECHNICAL ABILITY AND EXPERIENCE (TO ACCOMPANY PROPOSAL) 1 1 1 I 1 8 3. e I I T I 1 I 8. I The Bidder's is required to state what work of a similar character to that included in proposed Contract he/she has successfully performed and give references, 1 telephone numbers, which will enable the District to judge his/her responsib experience and skill. An attachment can be used. I. e No. of Person Bidder's Statemel Technical AI and merit 08/01/95 TECHNO COATINGS, IN@. JOB REFERENCES 0 CONTRACT DATE PROJECT PRICE OWNERS NAME COMPLETED Coating Two $1 49,675.00 Beaumont Cherry Valley 3/96 Water Tanks Water District 560 Magnolia Ave. Beaumont, CA 92223 Chuck Butcher (909)845-9581 Coating Two $ 37,734.00 City of Santa Barbara 2/96 Water Tanks 630 Garden Street Santa Barbara, CA 931 02 Patricia Eble (805)564-5487 Blasting and $1 16,800.00 Lakeside Water District 5/95 e Coating Tank 4739 Los Coches Road Lakeside, CA 92040 Brett Sanders (61 9)443-3805 Recoat i ng $ 80,000.00 Moulton Niguel Water 8/93 2 Tanks ID i strict 275 La Paz Road Laguna Niguel, CA 92607 Ken Krieger (71 4)831-1070 Coating Water $586,049.00 City of Arcadia 7/93 Tanks 240 W. Huntington Dr. Arcadia, CA 91 066-0060 Jim Smitherman (81 8)359-2058 a 1 NON-COLLUSION AFFIDAVIT (TO ACCOMPANY PROPOSAL) (REF: PUBLIC CONTRACT CODE 9 7106) D I. I TO BE EXECUTED BY BIDDER AND SUBMIITED WITH BID The Bidder shall fill in the three blank lines below with: 8 t i 1 8. 1 I 8 E 1 1 I 1 1 1. 2. 3. The name(s) of the person(s) signing this bid on behalf of the Biddei The title(s) of the person(s) signing this bid in relation to the Bidder. The legal name of the Bidder. State of California 1 County of Orange 1 ) ss. being first duly sv Michael Birney (Name(s) of Person(s) Signing this Bid on Behalf of the Bidder) deposes and says that he or she is President (Title(s) of the Person(s) Signing this Bid i Relation to the Bidder) Techno Coatings, Inc. the I (Legal Name of the Bidder) making the foregoing bid that the bid is not made in the interest of, or on behalf of, undisclosed person, partnership, company, association, organization, or corporation; the bid is genuine and not collusive or sham; that the bidder has not directly or indir induced or solicited any other bidder to put in a false or sham bid, and has not dir or indirectly colluded, conspired, connived, or agreed with any bidder or anyone el! put in a sham bid, or that anyone shall refrain from bidding; that the bidder has n any manner, directly or indirectly, sought by agreement, communication, or conferc with anyone to fix the bid price of the bidder or any other bidder, or to fix any overh profit, or cost element of the bid price, or that of any other bidder, or to secure advantage against the public body awarding the contract or anyone interested ir proposed contract; that all statements contained in the bid are true; and further, tha NonCdlusion Af 08/01 /Qf I* I bidder has not, directly or indirectly, submitted his or her bid price or any breakdc thereof, or the contents thereof, or divulged information or data relative thereto, or p and will not pay, any fee to any corporation, partnership, company associat organization, bid depository, or to any member or agent thereof to effectuate a collu! i I E 13 1 II: I I. 8 Signatures 1 r. or sham bid. IN WITNESS WHEREOF, the undersigned represent and warrant that they have the ric power, legal capacity and authority to enter into and declare under penalty of perjury the foregoing is true and correct, and that this affidavit was executed on behalf of Bidder, and have set their names, titles, and signatures hereon, thisllciay of May 1996 -1 at Orange County, in the State of California PROJECT: "C" AND ELLERY RESERVOIRS INTERIOR COATING BIDDER: Techno Coatings, Inc. Name 1391 Allec Street, Anaheim, CA 92805 Address be attached. To be submitted as part of the Bid Documents. 8 8 1 I 1 1 (NOTARY SEAL) NonCollusion Aft% os/or/ss 8, CONTRACT - PUBLIC WORKS 0 , 19&, by and between This agreement is made this27 day of LLY Carlsbad Municipal Water District of Carlsbad, California, a municipal corporat whose princ (hereinafter called "District"), and TECHNO COATINGS, INC. (hereinafter cal I ed "Co nt racto t' .) District and Contractor agree as follows: 1. th place of business is 1391 ALLEC STREET, ANAHEIM, CA 92805 Description of Work. Contractor shall perform all work specified in the Cont Documents for: CONTRACT NO. 3488A 'C" AND ELLERY RESERVOIRS I NTERl OR COATING CMWD PROJECT NO. 95-107 (hereinafter called "project".) Provisions of Labor and Materials. Contractor shall provide all labor, materi tools, equipment, and personnel to perform the work specified by the Cont Documents. Contract Documents. The Contract Documents consist of this Contract, No Inviting Bids, Contractor's Proposal, Bidder's Bond, Designation Subcontractors, Bidder's Statements of Financial Responsibility and Techn Ability, Non-collusion Affidavit, Escrow Agreement, Release Form, the Plans q Specifications, the Special Provisions, and all proper amendments and chan made thereto in accordance with this Contract or the Plans and Specificatic and all bonds for the project; all of which are incorporated herein by reference. Contractor, her/his subcontractors and materials suppliers shall provide and in! the work as indicated, specified, and implied by the Contract Documents. 4 items of work not indicated or specified, but which are essential to the comple of the work, shall be provided at the Contractor's expense to fulfill the inter said documents. In all instances through the life of the Contract, the District be the interpreter of the intent of the Contract Documents, and the Distri decision relative to said intent will be final and binding. Failure of the Contra1 to apprise subcontractors and materials suppliers of this condition of the Cont will not relieve responsibility of compliance. a 2. 3. Contract - Public W 08/01 io5 4b 4. Pavment. For all compensation for Contractor's performance of work under Contract, District shall make payment to the Contractor per Section 9-3 of Standard Smcifications for Public Works Construction (SSPWC) 1994 Edition, the latest supplement, hereinafter designated "SSPWC", as issued by the Soutt California Chapter of the American Public Works Association and as amendec the special provisions section of this contract. The closure date for each mon invoice will be the 30th of each month. Invoices from the Contractor shall submitted according to the required District format to the District's assig project manager no later than the 5th day of each month. Payments will delayed if invoices are received after the 5th of each month. The final reten amount shall not be released until the expiration of thirty-five (35) days follov the recording of the Notice of Completion pursuant to California Civil Cc Section 3184. Public Contract Code section 20104.50 requires a summary of its contents to set forth in the terms of the contract. Below is such a summary. Howe contractor should refer to Public Contract Code section 20104.50 for a comp statement of the law. The District shall make progress payments within 30 days after receipt of undisputed and properly submitted payment request from a contractor o construction contract. If payment is not made within 30 days after receipt oi undisputed and properly submitted payment request, then the District shall interest to the contractor equivalent to the legal rate set forth in subdivision (a Section 685.010 of the Code of Civil Procedure. Upon receipt of a payment request, the District shall, as soon as practicable a receipt, determine whether the payment request is a proper payment request the District determines that the payment request is not proper, then the requ shall be returned to the contractor as soon as practicable but not later than se\ (7) days after receipt. The returned request shall be accompanied by a docum setting forth in writing the reasons why the payment request was not proper. If the District fails to return the denied request within the seven (7) day time lir then the number of days available to the District to make payment with incurring interest shall be reduced by the number of days by which the Disi exceeds the seven (7) day return requirement. "Progress payment" includes all payments due contractors except that portior the final payment designated by the contract as "retention earnings". A completed and executed release form in the form described in this contr (hereinafter "Release Form"), shall be submitted prior to approval of each progrt payment. The Contractor shall list all disputed claims or potentially dispu' claims which arise during the pay period. The purpose of the Release Form iz bring timely attention to areas of dispute or potential dispute between 8 e Contract - Public Wc 08/01 /95 I a Contractor and the District for the pay period. Failure of the Contractor to SUI a completed and executed Release Form shall constitute the Contraci acknowledgement that no disputes of any type have arisen that pay perioc remain from previous pay periods and the Contractor waives all future righl making claims for disputes arising in those pay periods. All previous and disputed claims or potentially disputed claims shall be listed on the Release F until such time as the disputed claims are resolved. The Contractor shall modify the Release Form in any way. Independent Investiaation. Contractor has made an independent investigatic the jobsite, the soil conditions at the jobsite, and all other conditions that rr. affect the progress of the work, and is aware of those conditions. The Cont price includes payment for all work that may be done by Contractor, whe anticipated or not, in order to overcome underground conditions. Any informa that may have been furnished to Contractor by District about undergro conditions or other job conditions is for Contractor's convenience only, District does not warrant that the conditions are as thus indicated. Contractc satisfied with all job conditions, including underground conditions and has relied on information furnished by District. m 5. 6. Contractor ResDonsible for Unforeseen Conditions. Contractor shall responsible for all loss or damage arising out of the nature of the work or from action of the elements or from any unforeseen difficulties which may arise 01 encountered in the prosecution of the work until its acceptance by the Dist Contractor shall also be responsible for expenses incurred in the suspension discontinuance of the work. However, Contractor shall not be responsible reasonable delays in the completion of the work caused by acts of God, stoi weather, extra work, or matters which the specifications expressly stipulate will borne by District. Hazardous Waste or Other Unusual Conditions. If the contract involves digs trenches or other excavations that extend deeper than four feet below the surfs Contractor shall promptly, and before the following conditions are disturbed, nc District, in writing, of any: A. e 7. Material that Contractor believes may be material that is hazardous wa as defined in Section 251 17 of the Health and Safety Code, that is requi to be removed to a Class I, Class II, or Class Ill disposal site in accorda with provisions of existing law. Subsurface or latent physical conditions at the site differing from thc indicated. Unknown physical conditions at the site of any unusual nature, differ materially from those ordinarily encountered and generally recognized inherent in work of the character provided for in the contract. B. C. Contract - Public Wc 08/01/95 I 0 \ District shall promptly investigate the conditions, and if it finds that the condii do materially so differ, or do involve hazardous waste, and cause a decrea: increase in contractor's costs of, or the time required for, performance of any of the work shall issue a change order under the procedures described in contract. In the event that a dispute arises between District and Contractor whether conditions materially differ, or involve hazardous waste, or cause a decrea: increase in the Contractor's cost of, or time required for, performance of any of the work, Contractor shall not be excused from any scheduled completion provided for by the contract, but shall proceed with all work to be perfor under the contract. Contractor shall retain any and all rights provided eithe contract or by law which pertain to the resolution of disputes and protest betv the contracting parties. Chanae Orders. District may, without affecting the validity of the Contract, c changes, modifications and extra work by issuance of written change orc Contractor shall make no change in the work without the issuance of a wr change order, and Contractor shall not be entitled to compensation for any t work performed unless the District has issued a written change order design: in advance the amount of additional compensation to be paid for the work. change order deletes any work, the Contract price shall be reduced by a fair reasonable amount. If the parties are unable to agree on the amount of reduc the work shall nevertheless proceed and the amount shall be determine litigation. The only person authorized to order changes or extra work is Project Manager. The written change order must be executed by the Execi Manager or the Board of Directors, as allowed by law and according to the I2 procedures adopted by resolution of the board. lmmiaration Reform and Control Act. Contractor certifies he is aware of requirements of the Immigration Reform and Control Act of 1986 (8 USC Sect 1 101 -1 525) and has complied and will comply with these requirements, includ but not limited to, verifying the eligibility for employment of all agents, employ subcontractors, and consultants that are included in this Contract. Prevailincl Waqe. Pursuant to the California Labor Code, the director of Department of Industrial Relations has determined the general prevailing ral per diem wages in accordance with California Labor Code, Section 1773 ar copy of a schedule of said general prevailing wage rates is on file in the offic the Carlsbad City Engineering Department, and is incorporated by refere herein. Pursuant to California Labor Code Section 1775, Contractor and subcontractors shall pay prevailing wages. Contractor shall post copies o applicable prevailing wages on the job site. For this contract, eight hours shall constitute a legal day's work. Work bey eight hours shall be paid at a rate not less than one and one half times prevailing rates. Wage rates for Sundays and holidays shall be paid at a rate Contract - Public VI 08/01 195 ., 8. e 9. 10. I) less than two times the prevailing rates. The holidays upon which such rates I be paid shall be all holidays recognized in the collective bargaining agreen applicable to the particular craft, classification or type of workers employed or projects. Indemnification. Contractor shall assume the defense of, pay all expense defense, and indemnify and hold harmless the District, and its officers employees, from all claims, lawsuits or judgements for any loss, damage, ir and liability of every kind, nature and description, directly or indirectly arising fi or in connection with the performance of the Contractor or work; or from failure or alleged failure of Contractor to comply with any applicable law, rule regulations including those relating to safety and health; except for loss damage which was caused solely by the active negligence of the District; from any and all claims, loss, damages, injury and liability, howsoever the si may be caused, resulting directly or indirectly from the nature of the work COVE by the Contract, unless the loss or damage was caused solely be the ac negligence of the District. The expenses of defense include all costs I expenses including attorneys fees for litigation, arbitration, or other disF resolution method. Contractor shall also defend and indemnify the District against any challenge! the award of the contract to Contractor, and Contractor will pay all costs, includ defense costs for the District. Defense costs include the cost of separate cour for District, if District requests separate counsel. Insurance. Contractor shall procure and maintain for the duration of the contr insurance against claims for injuries to persons or damage to property which n arise from or in connection with the performance of the work hereunder by Contractor, his agents, representatives, employees or subcontractors. S insurance shall meet the District’s policy for insurance as stated in Resolution 772. (A) COVERAGES AND LIMITS - Contractor shall maintain the types 0 11. 12, e coverages and minimum limits indicted herein: 1. Comprehensive General Liabilitv Insurance: $l,OOO,OOO combined single limit per occurrence for bodily inj and property damage. If the policy has an aggregate limit separate aggregate in the amounts specified shall be established the risks for which the District or its agents, officers or employc are additional insureds. 2. Automobile Liabilitv Insurance: $1,OOO,0oO combined single limit per accident for bodily injury a Contract - Public Wc 08/01/95 F m property damage. In addition, the auto policy must cover vehicle used in the performance of the contract, whether used or or offsite, whether owned, nonowned or hired, and whc scheduled or non-scheduled. The auto insurance certificate r state the coverage is for "any auto" and cannot be limited in manner. Workers' Compensation and Employers' Liabilitv Insurance: Workers' compensation limits as required by the Labor Code o State of California and Employers' Liability limits of $l,OOO,ooO incident. Worker's compensation offered by the 5 Compensation Insurance Fund is acceptable to the District. ADDITIONAL PROVISIONS - Contractor shall ensure that the policie insurance required under this agreement contain, or are endorsec contain, the following provisions. General Liability and Automobile Liat Coverages: 1. The District, its officials, employees and volunteers are to covered as additional insureds as respects: liability arising 01 activities performed by or on behalf of the Contractor; products completed operations of the contractor; premises owned, lea! hired or borrowed by the contractor. The coverage shall contair special limitations on the scope of protection afforded to the Disl its officials, employees or volunteers. The Contractor's insurance coverage shall be primary insurancc respects the District, its officials, employees and volunteers. 1 insurance or self-insurance maintained by the District, its offici employees or volunteers shall be in excess of the contract1 insurance and shall not contribute with it. Any failure to comply with reporting provisions of the policies s not affect coverage provided to the District, its officials, employ or volunteers. Coverage shall state that the contractor's insurance shall ay separately to each insured against whom claim is made or su brought, except with respect to the limits of the insurer's liabilib YIAIMS MADE" POLICIES - If the insurance is provided on a "clai made" basis, coverage shall be maintained for a period of three ye following the date of completion of the work. NOTICE OF CANCELLATION - Each insurance policy required by 1 agreement shall be endorsed to state that coverage shall not a 3. (B) * 2. 3. 4. (C) (D) Contract - Public Wc 08/01/95 I 0 suspended, voided, canceled, or reduced in coverage or limits except thirty (30) days’ prior written notice has been given to the Distric certified mail, return receipt requested. a (E) DEDUCTIBLES AND SELF-INSURED RETENTION (S.I.R.) LEVELS - deductibles or self-insured retention levels must be declared to approved by the District. At the option of the District, either: The in: shall reduce or eliminate such deductibles or self-insured retention IC as respects the District, its officials and employees; or the contractor 1 procure a bond guaranteeing payment of losses and related investiga claim administration and defense expenses. WAIVER OF SUBROGATION - All policies of insurance required under agreement shall contain a waiver of rights of subrogation the insurer have or may acquire against the District or any of its officials or employ (G) SUBCONTRACTORS - Contractor shall include all subcontractors insureds under its policies or shall furnish separate certificates endorsements for each subcontractor. Coverages for subcontractors E be subject to all of the requirements stated herein. ACCEPTABILITY OF INSURERS - Insurance is to be placed with insu that have a rating in Best’s Key Rating Guide of at least A-:V, and authorized to tranSact the business of insurance by the Insurs Commissioner under the standards specified by the Board of Directoi Resolution No. 772. VERIFICATION OF COVERAGE - Contractor shall furnish the District certificates of insurance and original endorsements affecting cover required by this clause. The certificates and endorsements for E insurance policy are to be signed by a person authorized by that ins to bind coverage on its behalf. The certificates and endorsements ar be in forms approved by the District and are to be received and apprc by the District before work commences. COST OF INSURANCE - The Cost of all insurance required under agreement shall be included in the Contractor‘s bid. Claims and Lawsuits. All claims by contractor for $375,000 or less shall resolved in accordance with the provisions in the Public Contract Code, Divi: 2, Part 3, Chapter 1, Article 1.5 (commencing with section 20104) which incorporated by reference. A copy of Article 1.5 is included in the Spe Provisions I section. The contractor shall initially submit all claims over $375, to the District using the informal dispute resolution process described in PL Contract Code subsections 201 04.2 (a), (c), (d). Notwithstanding the provisi Contract - Public M 0810 1 195 (F) (H) * (I) (J) 13. a of this section of the contract, all claims shall comply with the Government Claims Act (section 900 et seq., of the California Government Code) for any c or cause of action for money or damages prior to filing any lawsuit for breac this agreement. (A) dB Contractor hereby agrees that any contract claim submitted to the Dis must be asserted as part of the contract process as set forth in agreement and not in anticipation of litigation or in conjunction litigation. Contractor acknowledges that if a false claim is submitted to the Dis it may be considered fraud and the Contractor may be subject to crirr prosecution. Contractor acknowledges that California Government Code sections 1 Z et seq., the False Claims Act, provide for civil penalties where a per knowingly submits a false claim to a public entity. These provisi include false claims made with deliberate ignorance of the false informa or in reckless disregard of the truth or falsity of the information. If the Carlsbad Municipal Water District seeks to recover penalties pursi to the False Claims Act, it is entitled to recover its litigation costs, incluc attorney’s fees. Contractor hereby acknowiedges that the filling of a false claim may sub the Contractor to an administrative debarment proceeding wherein Contractor may be prevented from further bidding on public contract5 a period of up to five years. The provisions of Carisbad Municipal Code sections 3.32.026,3.32.027 3.32.028 pertaining to false claims are incorporated herein by referenc (B) (C) (D) (E) e (F) I have read and understand all provisions of Section 13 above. 14. Maintenance of Records. Contractor shall maintain and make available at no c to the District, upon request, records in accordance with Sections 1776 and 1; of Part 7, Chapter 1, Article 2, of the Labor Code. If the Contractor does maintain the records at Contractor‘s principal place of business as speci above, Contractor shall so inform the District by certified letter accompanying return of this Contract. Contractor shall notify the District by certified mail of change of address of such records. Labor Code Provisions. The provisions of Part 7, Chapter 1, commencing \ Section 1720 of the Labor Code are incorporated herein by reference. 15. Contract - Public W 08/0 1 195 I) 16. Securitv. Securities in the form of cash, cashier’s check, or certified check I be substituted for any monies withheld by the District to secure performanc this contract for any obligation established by this contract. Any other sec that is mutually agreed to by the Contractor and the District may be substiti for monies withheld to ensure performance under this Contract. Affirmative Action. The Carlsbad Municipal Water District is an equal opporti employer. e 17. ... ... ... ... ... ... ... * ... ... ... ... ... ... ... ... ... ... ... I) ... Contract - Public W Oslo 1 195 18. Provisions Required bv Law Deemed Inserted. Each and every provision 01 and clause required by law to be inserted in this Contract shall be deemed t inserted herein and included herein, and if, through mistake or otherwise, such provision is not inserted, or is not correctly inserted, then upon applic; of either party, the Contract shall forthwith be physically amended to make : insertion or correction. e hhno GaJAf?, hi. NOTARIAL ACKNOWLEDGMENT OF EXECUTION BY ALL SIGNATORIES MUST BE ATTACHED (CORPORATE SEAL) Title DW$Q G. V&n APPROVED TO AS TO FORM: Print Name of Signatory RONALD R. BALL -=a-L-LJ- \? General Counsel Signature of Signatory By: e eneral Counsel Board of Directors ATTEST: Secretary Contract - Public WI 08/01/95 I I) CALIFORNIA ALL-PURPOSE ACKNQWLEDGMENT State of California County of Orange On July 2, 1996 before me, Dawn E. Pank, Notary Public Date Name and Title of Officer (e g , "Jane Doe, Notary Public') personally appeared eersonally known to me - OR -U~V72dl~m~~mts~~~~m~o be the persor whose name(s) is/are subscribed to the within instrum and acknowledged to me that he/she/they executed same in his/her/their authorized capacity(ies), and thai his/her/their signature(s) on the instrument the person or the entity upon behalf of which the person(s) act executed the instrument. Michael Birney, Donald G. Watson Name(s) of Signer@) DAwNE.PAN( Signature of Notary Public Though the mformabon below is not required by law, It may prove valuable to persons relying on the document and could prevc fraudulent removal and reattachment of this form to another document Description of Attached Document Title or T~~~ of Document: Document Date: Number of Pages: lo Signer(s) Other Than Named Above: Capacity(ies) Claimed by Signer(s) Contract - Public Works - City of Carlsbad None Signerls Name: Michael Birney Signer's Name: Donald G. Watson 0 Individual 0 Individual KX Corporate Officer 0 Partner - 0 Limited 0 General 0 Partner - 0 Limited 0 General XX Corporate Officer Tit le(s) : President Title(s): Secretary 0 Attorney-in-Fact 0 Guardian or Conservator 0 Guardian or Conservator Signer Is Representing: Signer Is Represenling: Techno Coatinqs, Inc. Techno Coatinqs, Inc. Reorder Call Toll-Frei 0 1994 National Notary Association - 8236 Remmet Ave PO Box 7184 * Canoga Park, CA 91309 7184 Prod No 5907 -+ b BOND NO. GE5789446 LABOR AND MATERIALS BOND WHEREAS, the Board of Directors of the Carlsbad Municipal Water District, Stat California, by Resolution No. 945 , adopted JUNE 18, 1996 I awarded to TECHNO COATINGS, INC. (herein: designated as the "Principal"), a Contract for: 0 CONTRACT NO. 3488A - CMWD PROJECT NO. 95-107 'C' AND ELLERY RESERVOIRS INTERIOR COATING in the Carfsbad Municipal Water District, in strict conformity with the drawings 4 specifications, and other Contract Documents now on file in the Office of the Secre of the Carlsbad Municipal Water District (City Clerk of the City of Carisbad), and a which are incorporated herein by this reference. WHEREAS, Principal has executed or is about to execute said Contract and the tel thereof require the furnishing of a bond, providing that if Principal or any of t subcontractors shall fail to pay for any materials, provisions, provender or other SU~F or teams used in, upon or about the performance of the work agreed to be done, 01 any work or labor done there of any kind, the Surety on this bond will pay the Sam( the extent hereinafter set forth. NOW, THEREFORE, WE, TECHNO COATINGS, INC. @ Principal (hereinafter designated as the "Contractor), and GULF INsuuNcE COMPANY as Surety, are held firmly bound unto the Carisbad Municipal W: FOUR E NO/lOO--i)ollars ($ 157,634.00 ), said sum being fifty percent (5( of the estimated amount payable by the Carisbad Municipal Water District under terms of the Contract, for which payment well and truly to be made we bind ourselv our heirs, executors and administrators, successors, or assigns, jointly and seveE firmly by these presents. THE CONDITION OF THIS OBUGATlON IS SUCH that if the person or his/ subcontractors fail to pay for any materials, provision, provender, supplies, or tea used in, upon, for, or about the performance of the work contracted to be done, or any other work or labor thereon of any kind, or for amounts due under Unemployment Insurance Code with respect to such work or labor, or for any amoL due under the Unemployment Insurance Code with respect to such work or labor, or any amounts required to be deducted, withheld, and paid over to the Employm Development Department from the wages of employees of the contractor E subcontractors pursuant to Section 13020 of the Unemployment Insurance Code \F respect to such work and labor that the Surety will pay for the same, not to exceed sum specified in the bond, and, also, in case suit is brought upon the bond, costs i reasonable expenses and fees, including reasonable attorney's fees, to be fixed by court, as required by the provisions of Section 3248 of the California Civil Code. District in the sum of ONE HUNDRED FIFTY SEVEN THOUSAND SIX HUNDREI *. Labor and Materials 5 osioriss f This bond shall inure to the benefit of any and all persons, companies and corporat entitled to file claims under Title 15 of Part 4 of Division 3 of the Civil Code (commeni In the event that Contractor is an individual, it is agreed that the death of any s Contractor shall not exonerate the Surety from its obligations under this bond. Executed by CONTRACTOR this 2nd Executed by SURETY this 1st ds day of July , 1996. Julv, 19-26 CONTRACTOR: SURETY: e with Section 3082). Techno Coatin sf nc. GULF INSURANCE COMPANY (Name of Surety) (address of Surety) 5550 West Touhy Avenue, Suite 400 Skokie, IL 60077-3200 .~ (sign here) (847) 982-9800 . iichael Bimey (print name here) --_.-- (telephone number of Surety) President B (title and organization of signatory) Randy Soohn Printed name of Attorney-in-fact (attach corporate resolution show current power of attorney) 0 By:Q-cu+ (sign here) Donald G. Watson (print name here) (title and organization of signatory) Secretary (Proper notarial acknowledge of execution by CONTRACTOR and SURElY must be attached.) (President or vice-president and secretary or assistant secretary must sign for corporations. If only one oi signs, the corporation must attach a resolution certified by the secretary or assistant secretary under corpc seal empowering that officer to bind the corporation.) APPROVED AS TO FORM: RONALD R. BALL General Counsel By: Deputy General Counsel Labor and Materials B oSlOl195 I rl) CALIFORNIA ALL-PURPOSE ACKNOWLEDGMENT California On July 1, 1996 before me, M. Minium, Notary Public OATE NAME. rmE OF 0FFH;ER - €G, ‘JANE OOE. NOTARY PUBUC personafly appeared Randy SPO~ kd personally known to me - OR - proved to me on the basis of satisfactory evide to be the person@ whose name.@) ish subscribed to the within instrument and knowledged to me that he,M&hqexecu the same in his- authori; capacity(&), and that by hisM signature@) on the instrument the person or the entity upon behalf of which personw acted, executed the instrumc WITNESS my hand and official seal. cy, - I/, 1 NAMYS) OF SIGNEWS) + -\ L-----7 y’‘ + SIGNATURE Of NOTARY Though the data below is not required by law. it may prove valuable to persons relying on the document and could pn fraudulent reattachment of this form CAPACITY CLAl MED BY SIGNER DESCRiPTlON OF AllACHED DOCUMEI Labor and Material Bond - 0 CORPORATE OFFICER TITLE OR TYPE OF DOCUMENT TITCE(S) Two NUMBER OF PAGES July 1, 1996 DATE OF DOCUMENT SIGNER 1s REPRESENTING: NAME OF PERSON(S) OR ENTiN(lES) SIGNER(S) OTHER THAN NAMED ABOVE Gulf Insurance Company 67993 NATIONAL NOTAfiY ASSOCIATION - 8236 Remrnet Ave P 0 Box 7184 - Carez pprlr CP CALIFORNIA ALL-PURPOSE ACKNOWLEDGMENT California County of Orange July 2/ 1996 beforeme, Dawn E. Pank! Notary Public Date Name and Title of Officer (e g , "Jane Doe, Notary Public") personally appeared Ekpersonally known to me - OR -E?-preue4te+Ree&ebW&~e%~Meeto be the person1 whose name(s) idare subscribed to the within instrumc and acknowledged to me that keM/they executed t same in Mker/their authorized capacity(ies), and that hb&r/their signature(s) on the instrument the person( or the entity upon behalf of which the person(s) act€ executed the instrument. Michael Birney, Donald G. Watson Name(s) of Signer@) Signature of Notary Public Though the information below is not required by law, it may prove valuable to persons relying on the document and could preve fraudulent removal and reattachment of this form to another document Description of Attached Document Title or Type of Document: Labor and Materials Bond Number of Pages: Tw0 Document Date: July It 1996 Signer@) Other Than Named Above: N/A Capacity(ies) Claimed by Signer@) Signer's Name: Michael Birney Signer's Name: Donald G. Watson 0 Individual 0 Individual [XIXCorporate Officer Title(s): Secretary 0 Partner - 0 Limited 0 General 0 Partner - 0 Limited 0 General 0 Attorney-in-Fact 0 Attorney-in-Fact 0 Guardian or Conservator 0 Guardian or Conservator Signer Is Representing: Techno Coatings! Inc. Techno Coatings! Inc. Signer Is Representing: 0 1994 National Notary Association - 8236 Remmet Ave , PO Box 7184 * Canoga Park, CA 91309-7184 Prod No 5907 Reorder Call Toll-Fret BOND NO. GE5789446 OIRU)ICAT€DONTW PREMIUM: $5,729.00 . .&.- . .... - rnuwum 1- RNALcoNTRAcTpRtcE FAITHFUL PERFORMANCEDVARRANTY BOND 0 WHEREAS, the Board of Directors of the Carlsbad Municipal Water District, State California, by Resolution No. 945 , adopted JUNE 18, 1996 , has awarc to TECHNO COATINGS, INC. , (hereinafter designated as "Principal"), a Contract: CONTRACT NO. 3488A - CMWD PROJECT NO. 95-107 'CY AND ELLERY RESERVOIRS INTERIOR COATING in the Carlsbad Municipal Water District, in strict conformity with the contract, 1 drawings and specifications, and other Contract Documents now on file in the Bffice the Secretary of the Carlsbad Municipal Water District (City Clerk of the City of Cartsba all of which are incorporated herein by this reference. WHEREAS, Principal has executed or is about to execute said Contract and the ten thereof require the furnishing of a bond for the faithful performance and warranty of SE Contract; NOW, THEREFORE, WE, TECHNO mGS. INC . , as Princip< (hereinafter designated as the "Contractor"), and GULF INSURANCE COMPANY ,i Surety, are held and firmly bound unto the Carlsbad MuniciGal Water District. in the su said sum being equal to one hundred percent (10%) of the estimated amount of tl Contract, to be paid to District of its certain attorney, its successors and assigns; f. which payment, well and truly to be made, we bind ourselves, our heirs, executors ar administrators, successors or assigns, jointly and severally, firmly by these presents. THE CONDITION OF THIS OBLIGATION IS SUCH that if the above bounden Contractc their heirs, executors, administrators, SUCC~SSO~S or assigns, shall in all things stand 1 and abide by, and well and truly keep and perform the covenants, conditions, ar agreements in the Contract and any alteration thereof made as therein provided on the part, to be kept and performed at the time and in the manner therein specified, and I all respects according to their true intent and meaning, and shall indemnify and sat harmless the Carlsbad Municipal Water District, its officers, employees and agents, a therein stipulated, then this obligation shall become null and void; otherwise it sha remain in full force and effect. As a part of the obligation secured hereby and in addition to the face amount specifie therefor, there shall be included costs and reasonable expenses and fees, includin reasonable attorney's fees, incurred by the District in successfully enforcing SUC obligation, all to be taxed as costs and included in any judgment rendered. Surety stipulates and agrees that no charge, extension of time, alteration or addition tc the terms of the Contract, or to the work to be performed thereunder or the specification: of THREE HUNDRED FIFTEEN THOUSAND TWO HUNDRED SIXTY EIGHT 6 hTO/lOO DOLLARS ($ Faithful Performance 08[01lQ5 Rei warranty Boric 0 accompanying the same shall affect its obligations on this bond, and it does he waive notice of any change, extension of time, alterations or addition to the terms o Contract, or to the work or to the specifications. In the event that Contractor is an individual, it is agreed that the death of any : Contractor shall not exonerate the Surety from its obligations under this bond. Executed by CONTRACTOR this 2nd Executed by SURETY this 1st da e day of July , 19-2 July , 1996. 96 CONTRACTOR: SUREN: GULF INSURANCE COMPANY (Name of Surety) 5550 West Touhy Avenue, Suite 4( Skokie, IL 60077-3200 (address of Surety) (telephone number of Surety) - dichael Birney (847) 982-9800 (print name here) (title and organization of signatory) President CJ s LJc Randy Spohn 1 Printed name of Attomey-in-Fact current power of attorney) (I) I33 (sign here) (print name here) Donald G. Watson (attach corporate resolution show Secretary (title and organization of signatory) (Roper notarial acknowledge of execution by CONTRACTOR and SURRY must be attached.) (President and vice-president and secretary must sign for corporations. If only one officer signs, corporation attach a resolution certified by the secretary or assistant secretary under corporate : empowering that officer to bind the corporation.) APPROVED AS TO FORM: RONALD R. BALL General Counsel By: puty General Counsel Faithful Perforrnar 08/01/95 F warranty B m .I CALIFORNIA ALCPURPOSE ACKNOWLEDGMENT California July 1, 1996 before me, M. Minium, Notary Public OAT€ NAME. 7m.E OF OFFICER - EG, 'JANE oO+ NOTMY WBtlC personally appeared Randy SPOM H personally known to me - OR - proved to me on the basis of satisfactory evide to be the person(@ whose name) ish subscribed to the within instrument and knowledged to me that heM&hq exes the same in his&&$h-&r authori; capacity{&), and that by hislhorltf- signature@) on the instrument the person or the entity upon behalf of which 4 personw acted, executed the instrume WITNESS my hand and official seal. NAME0 a= WER(S) SlGNATURE Of NOTARY Though the data below is not required by law, rt may prove valuable to persons relying on the document and could pc fraudulent reattachment of this form CAPACITY CLAIMED BY SIGNER DESCRIPTION OF ATTACHED DOCUMEf Faithful Performance Bond CORPORATE OFFICER TITLE OR TYPE OF DQCUMENT Tl7Lf(S) Two NUMBER OF PAGES July 1, 1996 DATE OF DOCUMENT SIGNER IS REPRESENTING: NAME OF pERsoN(S) OR ENnN(lES) SIGNER(S) OTHER THAN NAMED ABOVE Gulf Insurance Company 01993 NkTlONAL NOTAFiY ASSOCikTlON - 8236 Remmel Ave P 0 &x 7784 - Cs-P PP* CA 9 'CALIFORNIA ALL-PURPOSE ACKNOWLEDGMENT California County of mange July 21 1996 before me, Dawn E- Pankt Notary Public Date Name and Title of Officer (e g ~ "Jane Doe, Notary Public") personally appeared Etpersonally known to me - OR --E+ptm++tebmk3-+3aMettnyevidemto be the person1 whose name(s) is/are subscribed to the within instrumc and acknowledged to me that heh/they executed t. same in hbher/their authorized capacity(ies), and that I hidm/their signature(s) on the instrument the person(: or the entity upon behalf of which the person(s) acte executed the instrument. Michael Birney! Donald G. Watson Name@) of Signer($ Though the information below IS not required by law, it may prove valuable to persons relying on the document and could preve fraudulent removal and reattachment of this form to another documenf. Description of Attached Document Title or Type of Document: Document Date: July I./ 1996 Number of Pages: Tw0 Signer(s) Other Than Named Above: CapacityQes) Claimed by Signer(s) Faithful Performance/Warranty Bond N/A Signer's Name: Michael Birney Signer's Name: Donald G. Watson 0 Individual 0 Individual a Corporate Officer RlXCorporate Officer President Title (s) : Secretary 0 Partner - 0 Limited 0 General 0 Attorney-in-Fact 0 Attorney-in-Fact 0 Guardian or Conservator 0 Guardian or Conservator Signer Is Representing: Techno Coatingsr Inc. Techno Coatings, Inc. Signer Is Representing: 8 1994 National Notary Association * 8236 Rernrnet Ave , PO Box 7184 Canoga Park, CA 91309-7164 Prod No 5907 Reorder Call Toll Free GULF ~~~~~~~~~~ N9v KANSAS CITY, Mi POWER OF ATT OF THIS POWER OF ATTORNEY ARE PRINTED OK BLUE SAFETY PAPER WHTH TEAL INK. DUPLICATES SHALL HAVE THE SAME FORCE AND EFFECT AS AN ORIGINAL ONLY WHEN ISSUED IN @ y, a corporation duly organized under the laws of the State of Missouri, having its principal office in the city of Irving, Texas. pursuant to the following resolution, adopted by the Finance & Executive Committee of the Board of Directors of the said Company on the 1Mh day of August, 1993, to wit: “RESOLVED, that the President, Executive Vice President or any Senior Vice President of the Company shall have authority to make, execute and dcliver a Power of Attorney constituting as Attorney-in-Fact , such persons, firms, or corporations as may be selected fron time to time: and any such P.ttorney-in-“act may be removed and the authority granted him revoked by the President. or any Executive Vice President, or any Senior Vice President, or by thc Board of Directors or by the Finance and Executive Committee of the Board of Directors. RESOLVED. that nothing in this Power of Attorney shall be construed as a grant of authority to the aitorney(s)-in-fact to sign. execute, acknowledge, deliver or other- wise issue a policy or policies of insurance on behaif of Gulf Insurance Company. RESOLVED, that the signature of the President, Executive Vice President or any Senior Vice President, and the Seal of the Company may bc affixed to any such Power of Attorney or any certificate relating thereto by facsimilc, and any such powers so executed and certified by facsimile signature and facsimile seal shall bc valid and binding upon the Company in the future with respect to any bond and documents relating to such bonds to which they are attached.” Gulf Insurance Company does hereby makc. constitute and appoint NJUNCTPON WITH THE ORIGINAL. KNOWN ALL MEN BY THESE PRESENTS: That the Gulf Insurance Com- 1391 Allec Street Anaheim, CA 92805 RANDY SPOHN OF ANAHEIM, CA its true and lawful attorney(:;)-in-fact. with full powcr and authority hereby confcrred in its name, place and stead. to sign. execute, acknowledge and behalf, as surety, any and all bonds and undertakings of suretyship, and to bind Gulf Insurancc Company thereby as fully and to the same extent as ztakings and documents relating to such bonds andior undcrtakings were signed by the duly authorized officer of the Gulf Insurance Company and ; ttorney(s)-in-fact, pursuant to the authority herein given. are hereby ratified and confirmed. 1p e obligation of the Company shall not excccd one million (SI .OOO.OOO.OO) dollars. IN WITNESS WEEREOF, the Gulf Insurance Company has caused these presents to be signed by any oficer of the Company and its Corpc be hereto affixed. ,+50RANCE 4 $3?0fl4?@ 0 Christopher E. Watson President STATE COUNTY OF OF NEW YEW YQRK YOSZK ) ) 1 ss On this 1st day of February, 1994 AD.> before me came Christopher E. Watson, known to me personally who being by me duly sworn, did say; that he resides in the County of Westchester, State of Xew Yorli; that he is the President of the Gulf Bnsurance Company, the corporation and which executed the above instrument; that he knows the seal of said corporation; that the seal affixed to the said instruments is such corpor: it was so affixed by order of the Board of Directors of said corp~ration and that he signed his name, thereto by like order. 0 Y $+ Q%, fJ) 5 %BL\G $ Ursula Kerrigan --x-- Yo. 02 KE 5043950 Qualified in New York County Comm. Expires May 15, 1997 STATE OF NEW YORK ) 7’oF ~E\s1 ) ss COUNTY OF NEW YORE. ) attached POWER OF ATTORNEY remains ins full force. 1, the undersigned, Senior Vice President of the Gull Insurance Company, a Missouri Corporation, DO HEREBY CERTIFY that the foi **ORANCF @ Dated the 1 st dayof July Q &----- p.- Lawrence F. Miniter 0 Senior Vice President Signed and Sealed at the Ci@ of New York. e TI & WILLIAMS ARKET ST., STE 1175 RANCISCO CA 94111 0 COA'rINGS, INC. 391 ALLEC STREET NAHEIM , CA 92805 'S & CONTRACTOR'S PROT LL OWNED AUTOS SCHEDULED AUTOS HIRED AUTOS NON-OWNED AUTOS FFX1000673 SS LIABILITY WORKER'S COMPENSATION ARLSBAD MUNICIPAL WATER DISTRICT IS NAMED AS ADDITIONAL INSURED AS ESPECTS TO THEIR OPERATIONS. INSURANCE IS PRIMARY & NON CONTRIBUTING EXPIRATION DATETHEREOF, THE ISSUING COMPANY WILL lWB€&WR CITY OF CARLSBAD MAIL 3 fl DAYS WRITTEN NOTICE TO THE CERTIFICATE HOLDER N 1200 CARLSBAD VILLAGE DR LE-, r CARLSBAD CA 92008-1989 - *\ ' CO-IAL GENERAL LIABLL CG20 10 0 .- 7 Y-vv PgLICY NUMBER: J . THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAR_EI ADDITIONAL INSURED - OWNERS, LESSEES 0 0 CONTRACTORS (FORM B) 0 This endorsement modifies insurance provided under the following: COMI\/IERCIAL GENERAL LIABILITY COVERAGE PART SCHEDULE CARLSBAD MUNICIPAL WATER DISTRICT Name of Person or Organization: (If no entry appears above, information required to complete ths endorsement will be shown in the Declaratioi applicable to this endorsement.) WHO IS AN INSURED (Section 11) is amended to include as an insured the person or organization shown in but only with respect to liability arising out of your ongoing operations performed for that insured. 0 0 PRIMARY IT IS HEREBY UNDERSTOOD AND AGREED THAT THlS INSURANCE SHALL BE PRIMARY hlC CONTRIBUTING WITH ANY OTHER INSURANCE MAINTAINED BY SAID ADDITIONAL INSURE 0 e CG 20 10 10 93 Copyright, Insurance Services Office, Inc 1992 0 COMMERCIAL AUTO POLICY: TO FOLLOW ADDITIONAL INSURED ENDORSEMENT 0 THE PERSON OR ORGANIZATION SHOWN IN SCHEDULE IS AN ADDITIONAL INSURED UNI THE PROVISIONS OF CA0001 01 87 SECTION IIA. l.c, NP;ME OF PERSON OR O'RGAl4IZATION: 0 CARLSBAD MJNICIPAL WATER DISTRICT * a a 0 w 1 8 s) 8 T t CITY OF CARLSBAD Purchasing Department 1200 Carlsbad Village Drive Catlsbad, California 92008 REPRESENTATION AND CERTIFICATION I. The following representsdion and catfcation should be compieted. signed and relurned to City d Carlsbad . REPRESENTATIONS: Mark dl applicable blanks. This dferor Are yw currently certiid by Cattrans? represents 6s part d this offer that the ownership, opersdlon and control d the business, in accordance with the speck definitions listed below YES NO XX is: (Check appropriate Ethnic Business Type) certii8tion x: CERTIFICATION OF BUSINESS REPRESENTATION( Mark all applicable blanks. This otferor represents as a that: xx Thk firm is, is &-a minority business. xx This firm is- is &- a womanowned buslness. WOMAN-OWED BUSINESS: A ~OmaMIWned bush d whch et least 51 percent is owned. conbolled and wm or women. Contrdled is defined as exercisii make policy decisii. Operation is defined as actual4 I day-today management. la EFINITIONS: FIRM'S PRIMARY PROOUCTS OR SERVICE PaintingJ Coatingr Abrasive BlaL MINORITY BUSINESS ENTERPRISE: 'Minority Business' is defined as a business, at least 51 percent d which Is owned, operated and controlled by minority group members, or in the case d publiciy awned businesses, at least 51 percent d which is owned, operated and controlled by minority group members. The Small Business Administration defines the socially and economically disadvantaged (minorities) as Black American. Hispank AnaeciCan. Native Americans 0.e. Ameriian Indii. Eskimos. Aleuts and Native Hawaii), and Asian-Pacifii Amerii (le.. U.S. Citizens whose wigins are from Japan Chim the Philippines, Vi Korea, Samoa, Guam, the U.S. Trust Territories d the Pacific, Northem Marianas, Laos, Cambodia and CONSTRUCTION CONTRACTOR: ClASSIFICATION(S): AI Bf c-33 LICENSE NUMBER: I E I TaiwM). 296517 95-2872748 TAXPAYERS I.D. NO.: 1 CERTIFICATION: 8 COMPANYNAME ADDRESS The infamation furnished is certii~ to be factual and correct as d the date submitted. Techno Coatings, Inc. Michael Birney 1391 Allec Street f Anaheimr CA 92805 CIN. STATE AND ZIP (714)635-1130 I TELEPHONE DATE Purct Representr a I r OPT1 ON AL ESCROW AGREEMENT FOR SURETY DEPOSITS IN LIEU OF RETENTION 0 This Escrow Agreement is made and entered into by and between the Carl5 Municipal Water District whose address is 5950 El Camino Real, Carlsbad, Califc 92008, hereinafter called "District" and whose address is hereinafter called 'Contractor" and whose address is hereinafter called "Escrow Agent." For the consideration hereinafter set forth, the District, Contractor and Escrow A! agree as follows: 1. Pursuant to Section 22300 of the Public Contract Code of the State of Califoi Contractor has the option to deposit securities with Escrow Agent i substitute for retention earnings required to be withheld by District pursuant tc Construction Contract entered into between the District and Contractor for- "C" AND ELLERY RESERVOIRS INTERIOR COATING, CONTRACT NO. 34 CMWD PROJECT NO. 95-107 in the amount of dated (hereinafter refened to as the "Contract"). Alternati! on written request of the Contractor, the District shall make payments of retention earnings directly to the Escrow Agent. When Contractor deposits securities as a substitute for Contract earnings, the Escrow Agent shall notify District within ten (10) days of the deposit. The market value of the securitie the time of the substitution shall be at least equal to the cash amount t required to be withheld as retention under the terms of the Contract between District and Contractor. Securities shall be held in the name of Cads Municipal Water District and shall designate the Contractor as the benef owner. The District shall make progress payments to the Contractor for such funds wl otherwise would be withheld from progress payments pursuant to the Cont provisions, provided that the Escrow Agent holds securities in the form amount specified above. When the District makes payment of retentions earned directly to the Esc Agent, the Escrow Agent shall hold them for the benefit of the Contractor i such time as the escrow created under this contract is terminated. The Contrac may direct the investment of the payments into securities. All terms i conditions of this agreement and the rights and responsibilities of the parties s Escrow Agreemer Surety Depcsi Lieu of Rete! 0810 1 I95 0 2. 3. * be equally applicable and binding when the District pays the Escrow Ac directly. Contractor shall be responsible for paying all fees for the expenses incurred Escrow Agent in administering the Escrow Account and all expenses of District. These expenses and payment terms shall be determined by the Dist Contractor and Escrow Agent. The interest earned on the securities or the money market accounts helc escrow and all interest earned on that interest shall be for the sole accouti Contractor and shall be subject to withdrawal by Contractor at any time and fr time to time without notice to the District. Contractor shall have the right to withdraw all or any part of the principal in Escrow Account only by written notice to Escrow Agent accompanied by wril authorization from District to the Escrow Agent that District consents to withdrawal of the amount sought to be withdrawn by Contractor. The District shall have a right to draw upon the securities in the event of def; by the Contractor. Upon seven (7) days written notice to the Escrow Agent fr the District of the default, the Escrow Agent shall immediately convert securities to cash and shall distribute the cash as instructed by the District. Upon receipt of written notification from the District certifying that the Contrac final and complete, and that the Contractor has complied with all requireme and procedures applicable to the Contract, Escrow Agent shall release Contractor all securities and interest on deposit less escrow fees and charge the Escrow Account. The escrow shall be closed immediately upon disbursem of all monies and securities on deposit and payments of fees and charges. Escrow agent shall rely on the written notifications from the District and Contractor pursuant to Sections (4) to (6), inclusive, of this agreement and 1 District and Contractor shall hold Escrow Agent harmless from Escrow Ager release and disbursement of the securities and interest as set forth above. 0 4. 5. 6. 7. 8. e 9. ... ... e.. ... ... ... ... ... ... ... ... Escrow Agreement Surety Depositt Ljeu of Retenl 08/01 /05 F m 10. The names of the persons who are authorized to give written notice or to rea written notice on behalf of the District and on behalf of Contractor in connec with the foregoing, and exemplars of their respective signatures are as follov On behalf of District: On behalf of Contractor: e Title Title Name Name Signature Signature Address Address On behalf of Escrow Agent: Title 0 Name Signature Address ,.. ... ... ... ... ... ... ... ... ... ... ... ... ... Escrow Agreemen Surety Depcsii Lieu of Fieter 08/01 /95 I 0 At the time the Escrow Account is opened, the District and Contractor shall deliver tc Escrow Agent a fully executed counterpart of this Agreement. IN WITNESS WHEREOF, the parties have executed this Agreement by their prl officers on the date first set forth above. District: Contractor: 0 Title Title Name Name Signature Signature Address Address Escrow Agent: Title Name @ Signature Address Escrow Agreemen Surety Deposi Lieu of Reter a 0810 1 195 RELEASE FORM THIS FORM SHALL BE SUBMllTED PRIOR TO APPROVAL OF MONTHLY PROGRE 0 PAYMENTS NAME OF CONTRACTOR: PROJECT DESCRIPTION: 'C' AND ELLERY RESERVOIRS INTERIOR COATING PERIOD WORK PERFORMED: RETENTION AMOUNT FOR THIS PERIOD: $ DISPUTED WORWCLAJMS DESCRIPTION OF DISPUTED WORWCLAIM [ADD ATTACHMENn (OR EST1 MATE) AMOUNT CLAIMED 0 Contractor further expressly waives and releases any claim Contractor may have, whatever type or nature, for the period specified which is not shown as disput work/claim on this form. This release and waiver has been made voluntarily Contractor without any fraud, duress or undue influence by any person or entity. T Contractor is referred to Paragraph 4 of the Public Works Contract. Contractor acknowledges full cognizance of the California False Claims Act Governmt Code Sections 12650-12655 and Carlsbad Municipal Code Sections 3.32.025 to 3.32.0 implementing the California False Claims Act and certifies that all claims submitted to 1 District shall be subject to the provisions of said codes and regulations. a Contractor further certifies, warrants, and represents that all bills for labor, materials, ai work due Subcontractors for the specified period will be paid according to Pub Release Fc 08lOllQ5 R a Contract Code Section 201 04.50 and Business and Professions Code Section 71 08.5 that the parties signing below on behalf of Contractor have express authority to exec this release. DATED: 0 PRINT NAME OF CONTRACTOR DESCRIBE ENTIN (Partnership, Corporation, etc By: Title: By: Title: e Release F 08/01/85 I e e SPECIAL PROVISIONS TO STANDARD SPECIFICATIONS FOR PUBLIC WORKS CONSTRUCTION "C" AND ELLERY RESERVOIRS INTERIOR COATING CMWD PROJECT NO. 95-107 CONTRACT NO. 3488A 0 Special Provisi WOlD5 I e SPECIAL PROVISIONS TO PART I - GENERAL PROVISIONS STANDARD SPECIFICATIONS FOR PUBLIC WORKS CONSTRUCTION e 1-1. TERMS DEFINITIONS. ABBREVIATIONS, AND SYMBOLS. To Section 1-1 , add: A. Reference to Drawings Where words "shown," "indicated," "detailed," "noted," "scheduled," or words of sir import are used, it shall be understood that reference is made to the pli accompanying these provisions, unless stated otherwise. 6. Directions: Where words "directed," "designated," "selected," or words of similar import are usec shall be understood that the direction, designation or selection of the Engineer intended, unless stated otherwise. The word "required" and words of similar import st be understood to mean 'as required to properly complete the work as required and approved by the District Engineer," unless stated otherwise, @ C. Equals and Approvals: Where the words "equal," "approved equal," "equivalent," and such words of simi import are used, it shall be understood such words are followed by the expression the opinion of the Engineer," unless otherwise stated. Where the words "approve "approval," "acceptance," or words of similar import are used, it shall be understood tl the approval, acceptance, or similar import of the District is intended. D. Perform and Provide: The word "perform" shall be understood to mean that the Contractor, at her/his expens shall perform all operations, labor, tools and equipment, and further, including t furnishing and installing of materials that are indicated, specified or required to mean tt the Contractor, at her/his expense, shall furnish and install the work, complete in pla and ready to use, including furnishing of necessary labor, materials, tools, equipme, and transportation. SpecieJ Provisic 08/01/95 R 0 1-2. DEFINITIONS @ Modify Section 1-2 as follows: Agency - the Carlsbad Municipal Water District, Carlsbad, California Engineer - the District Engineer for the Carlsbad Municipal Water District or designated representative. 1-3. ABBREVIATIONS. Add the following to Subsection 1-3.3 Institutions: EPA Environmental Protection Agency MSHA NIOSH NSF National Sanitation Foundation Mine Safety and Health Administration National Institute for Occupational Health and Safety 2-4. CONTRACT BONDS Delete the third sentence of the first paragraph having to do with a surety being list in the latest revision of U.S. Department of Treasury Circular 570. Modify Paragraph three and four to read: The contractor shall provide a faithful perforrnance/warranty bond and payment bo1 (labor and materials bond) for this contract. The faithful performance/warranty bond sh be in the amount of 100 percent of the contract price and the payment bond shall be the amount of 50 percent of the contract price. Both bonds shall extend in full force ai effect and be retained by the District during the course of this project until they a released according to the provisions of this section. The faithful performance/warranty bond will be reduced to 25 percent of original amou 35 days after recordation of the Notice of Completion and will remain in full force ar effect for the one year warranty period and until all warranty repairs are completed to tt satisfaction of the District engineer. The payment bond shall be released six months plus 35 days after recordation of tl Notice of Completion if all claims have been paid. Add the following: All bonds are to be placed with a surety insurance carrier admitted and authorized 1 e Special Provkb O@fOlpS Rc I) transact the business of insurance in California and whose assets exceed their liabil in an amount equal to or in excess of the amount of the bond. The bonds are to cor a the following documents: 1) An original, or a certified copy, of the unrevoked appointment, power of attori by laws, or other instrument entitling or authorizing the person who executed bond to do so. 2) A certified copy of the certificate of authority of the insurer issued by the insura commissioner. If the bid is accepted, the District may require a financial statement of the assets i liabilities of the insurer at the end of the quarter calendar year prior to 30 days r preceding the date of execution of the bond. The financial statement shall be made an officer's certificate as defined in Section 173 of the Corporations Code. In the c of foreign insurer, the financial statement may be verified by the oath of the princ officer or manager residing within the United States. 2-5. PLANS AND SPECIFICATIONS To Section 2-5.1 , General, add: The specifications for the work include the Standard Specifications for Public Wo Construction, (SSPWC), 1994 Edition, and the latest supplement, hereinafter designa "SSPWC", as issued by the Southern California Chapter of the American Public Wo Association, and as amended by the Special Provisions section of this contract. To Section 2-5.3, Shop Drawings, add: Where installation of work is required in accordance with the product manufacturc direction, the Contractor shall obtain and distribute the necessary copies of si instruction, including two (2) copies to the District. 0 4-1. MATERIALS AND WORKMANSHIP To Section 4-1.3.1, Inspection Requirements, General, add: All work shall be under the observation of the Engineer or his appointed representati The Engineer shall have free access to any or all parts of work at any time. Contrac shall furnish Engineer with such information as may be necessary to keep her/him fi informed regarding progress and manner of work and character of materials. lnspecti of work shall not relieve Contractor from any obligation to fulfill this Contract. Special Provis WOlfQ5 1 e Modify Section 4-1.4, Test of Materials, as follows: Except as specified in these Special Provisions, the Agency will bear the cost of tes materials and/or workmanship where the results of such tests meet or exceed requirements indicated in the Standard Specifications and the Special Provisions. cost of all other tests shall be borne by the Contractors. At the option of the Engineer, the source of supply of each of the materials sha approved by him before the delivery is started. All materials proposed for use ma! inspected or tested at any time during their preparation and use. If, after trial, it is fo that sources of supply which have been approved do not furnish a uniform produc if the product from any source proves unacceptable at any time, the Contractor 5 furnish approved material from other approved sources. After improper storage, hanc or any other reason shall be rejected. Add the following section: 4-1.7 Nonconforminq Work The contractor shall remove and replace any work not conforming to the plan5 specifications upon written order by the Engineer. Any cost caused by reason of nonconforming work shall be borne by the Contractor. @ 0 5-1. LOCATION Add the following: The City of Carlsbad and affected utility companies have, by a search of known reco endeavored to locate and indicate on the Plans, all utilities which exist within the lii of the work. However, the accuracy of completeness of the utilities indicated on Plans is not guaranteed. 5-4. RELOCATION Add: The temporary or permanent relocation or alteration of utilities, including sen connections, desired by the Contractor for his/her own convenience shall be Contractor's own responsibility, and he/she shall make all arrangements regarding SI work at no cost to the District. If delays occur due to utilities relocations which were shown on the Plans, it will be solely the District's option to extend the completion d: In order to minimize delays to the Contractor caused by failure of others to reloc utilities which interfere with the construction, the Contractor, upon request to the Disti Special Provi: 08/01195 0 may be permitted to temporarily omit the portion of work affected by the utility. portion that is omitted shall be constructed by the Contractor immediately following relocation of the utility involved unless otherwise directed by the City. 0 6-1. CONSTRUCTION SCHEDULE AND COMMENCEMENT OF WORK Modify this section as follows: A construction schedule is to be submitted by the Contractor per the following: 1. The prime contractor is required to prepare in advance and submit at time of the project preconstruction meeting a detailed critical path mett (CPM) proper schedule. This schedule is subject to the review i approval of the City. The schedule shall show a complete sequence of construction activiti identifying work for the complete project in addition to work requir separate stages, as well as any other logically grouped activities. i schedule shall indicate the early and late start, early and late finish, 3 and 90% completion, and any other major construction mileston1 materials and equipment manufacture and delivery, logic ties, float dai and duration. The prime contractor shall revise and resubmit for approval the schedl as required by City when progress is not in compliance with the origii schedule. The prime contractor shall submit revised project schedules H each and every application for monthly progress payment identifyi changes since the previous version of the schedule. The schedule shall indicate estimated percentage of completion for ea item of work at each and every submission. The failure of the prime contractor to submit, maintain, or revise t aforementioned schedule(s) shall enable City, at its sole election, withhold up to 10% of the monthly progress payment othennn'se due ai payable to the contractor until the schedule has been submitted by t prime contractor and approved by City as to completeness ai conformance with the aforementioned provisions. No changes shall be made to the construction schedule without pr, written approval of the Engineer. Any progress payments made after tl scheduled completion date shall not constitute a waiver of this paragrai or any damages. 2. 3. e 4. 5. Special Provisk wor/ss R a Coordination with the respective utility company for removal or reloca of conflicting utilities shall be requirements prior to commencement of H by the Contractor. * 6-5. TERMINATION OF CONTRACT Add the following sentence to this section: Grounds for termination of the contract by the District include failure of the Distric Contractor to obtain necessary permits from other governmental agencies, unrasonable delay caused by enforcement of laws and regulations by other pu agencies, including but not limited to, enforcement of the Endangered Species Act i other si mi lar laws. 6-6.3 PAYMENT FOR DELAYS TO CONTRACTOR Add the following sentence to this section: The District shall not be liable for delay caused by the enforcement of laws i regulations by other public agencies, including but not limited to, enforcement of Endangered Species Act and other similar laws. 0 6-7. TIME OF COMPLETION Add the following to 6-7.1 General: The Contractor shall begin work within twenty (20) calendar days after receipt of 1 "Notice to Proceed" and shall diligently prosecute the work to completion within Q hundred fiftv (1501 calendar days after the date of the Notice to Proceed. The District must utilize both steel tanks for water supply when the San Diego Coui Water Authority performs their annual maintenance and repair on their supply pipeli to the District. At this time, the District does not have the schedule for ann1 maintenance and repair work from the San Diego County Water Authority. Therefore, 1 District must coordinate the schedule of work under this contract with the Contractor avoid the conflict of working on these tanks when the San Diego County Water Authoi is performing their annual maintenance and repair work. Their work takes place usu% over a one week period. Any delay in beginning work on either of these tanks as a res special Plov&i WOllSs I e of District coordination efforts with the San Diego County Water Authority shall be ad to the total time for completion of the work, and no additional compensation will be g to the contractor for this delay. The tentative schedule for the San Diego County h Authority work is March 17, 1996 through March 27, 1996. No work on this pro will begin prior to April 1, 1996. To Section 6-7.2, Working Day, add: Hours of work - All work shall normally be performed between the hours of 7:OO a.m. sunset, from Monday thru Friday. The contractor shall obtain the approval of Engineer if he/she desires to work outside the hours state herein. Contractor may work during Saturdays and holidays only with the written permissio the Engineer. This written permission must be obtained at least 48 hours prior to s work. The Contractor shall pay the inspection costs of such work. @ 6-8. COMPLETION AND ACCEPTANCE Add the following: All work shall be guaranteed for one (1) year after the filing of a "Notice of Completi and any faulty work or materials discovered during the guarantee period shall repaired or replaced by the Contractor, at his expense. Twenty-five percent of the fait performance/warranty bond shall be retained as a warranty bond for the one )I warranty period. The Contractor shall complete all work on the Ellery Reservoir prior to beginning work on the "C Reservoir. @ 6-9. LIQUIDATED DAMAGES Modify this section as follows: If the completion date is not met, the contractor will be assessed the sum of $1.000 per day for each day beyond the completion date as liquidated damages for the del Any progress payments made after the specified completion date shall not constitut waiver of this paragraph or of any damages. 7-3. LIABILITY INSURANCE Add the following: Special Provis wo1/ss a All insurance is to be placed with insurers that have rating in best’s Key Rating Guid at least A-:V and are authorized to conduct business in the state of California and listed in the official publication of the Department of Insurance of the State of Califoi @ 7-4. WORKERS’ COMPENSATION INSURANCE Add the following: All insurance is to be placed with insurers that are authorized to conduct business ir State of California and are listed in the official publication of the Department of InsurE of the State of California. Policies issued by the State Compensation Fund meet requirement for workers’ compensation insurance. 7-5. PERMITS Modify the first sentence to read: The Agency shall obtain, at no cost to the Contractor, all encroachment, right-of-v grading, and building permits necessary to perform work for this contract on District City property, in street, highways (except State highway right-of-way), railways or o rights-of-way. * Add the following: Contractor shall secure and pay for all County or State permits, fees and licen necessary for proper execution and completion of work as applicable at time of rec of bids. Contractor shall not begin work until all permits incidental to the work are obtained. Contractor shall obtain approval for haul routes. Haul route approvals shall be issi by the City Engineer. 7-8. PROJECT SITE MAINTENANCE To Section 7-8.1 , Cleanup and Dust Control, add: Cleanup and dust control shall be executed even on weekends and other non-work days at the District’s request. Add the following to Section 7-8: Special Provi! 08/01/95 0 7-8.8 Noise Control All internal combustion engines used in the construction shall be equipped with mui in good repair when in use on the project with special attention to City Noise Co Ordinance No. 31 09, Catisbad Municipal Code, Chapter 8.48. 0 7-10. PUBLIC CONVENIENCE AND SAFETY Add the following to Section 7-10.4, Public Safety: 7-10.4.4 Safetv and Protection of Workers and Public The Contractor shall take all necessary precautions for the safety of employees on work site and shall comply with all applicable provisions of Federal, State and Munic safety laws and building codes to prevent accidents or injury to persons on, aboui adjacent to the premises where the work is being performed. He/she shall erect properly maintain at all time, as required by the conditions and progress of the work necessary safeguards for the protection of workers and public, and shall use dar signs warning against hazards created by such features of construction as protruc nails, hoists, well holes, and falling materials. 7-13. LAWS TO BE OBSERVED Add the following: Municipal ordinances which affect this work include Chapter 11.06. Excavation i Grad i ng . If this notice specifies locations or possible materials, such as borrow pits or gr: beds, for use in the proposed construction project which would be subject to Secl 1601 or Section 1603 of the Fish and Game Code, such conditions or modificatic established pursuant to Section 1601 of the Fish and Game Code shall beca conditions of the contract. 0 8. FACILITIES FOR AGENCY PERSONNEL No field office required for aaencv personnel. e Special Provis 08/01 rn 9. MEASUREMENT AND PAYMENT Modify Section 9-3.2, Partial and Final Payment, as follows: Delete the second sentence of the third paragraph having to do with reduction amount of retention. Modify Section 9-3.3 as follows: Payment for all work specified in this section will be included in the appropriate pri stated in the Contractor’s proposal. No payment for material delivered but not insta will be made. @ 11. WATER FOR CONSTRUCTION The Contractor shall obtain a construction meter for water utilized during the construci under this contract. The Contractor shall contact the District for requirements, phc (619) 438-2722 ext. 109. The Contractor shall include the cost of water and meter rei within appropriate items of the proposal. No separate payment will be made. 12. STAGING AREA Location of staging area shall be as selected by the Contractor but subject to t approval. No permits are required. The Contractor may use the existing tank sites or may make arrangements witt property owner for an appropriate site. The staging area may not be placed in or impact a public parking facility, may not graded, interfere with traffic, operation of a utility, impede drainage, or in anyway aff environmentally sensitive habitats or endangered species. Aside from arrangements made between the property owner and contractor, after w( has been completed, the staging area shall be returned to its original condition includi necessary hydroseeding to replace removed or damaged vegetation. No separate payment will be made for a staging area. * 1), Special Provtsi 06/01/95 1 SPECIAL PROVISIONS TO PART 2. - CONSTRUCTION MATERIALS STANDARD SPECIFICATIONS FOR PUBLIC WORKS CONSTRUCTION 0 SECTION 210 PAINT AND PROTECTIVE COATING. Add the following to Section 210-1 -5 Paint Systems: Coating System for Steel Tanks. The following coating materials shall be applied steel tank interior surfaces including but not limited to the walls, floor plate, ceili girders, rafters, beams, columns, interior piping, interior ladder, access manhol flanged outlets, and all additional interior surfaces. Specified below are also the numl and thickness of coats to be applied and the total system thicknesses. Thc requirements are considered to be the minimum acceptable. The Contractor shall ap additional coats as necessary to achieve the specified minimum dry film thickness. A. BASE COAT: After proper surface preparation, interior surfaces shall receivc coat of Tnemec Series 20 epoxy or approved equal, to a dry film thickness approximately five (5.0) mils. The color of this first coat shall be white (Tnem 20-WH02). INTERMEDIATE COAT: After observing proper surface condition, apply one c( of Tnemec Series 20 epoxy or approved equal, to a dry film thickness approximately five (5.0) mils. The color of this second coat shall be bei (Tnemec 20-1 255; YE338). FINISH COAT: After observing proper recoat cycle and surface condition, apl one coat of Tnemec Series 20 epoxy or approved equal, to a dry film thicknc of approximately five (5.0) mils. The color of this finish coat shall be wh (Tnemec 20-WHO2). TOTAL SYSTEM: The total coating system for these surfaces shall achieve minimum dry film thickness of fifteen (1 5.0) mils. All dry film thickness and number of coats are the minimum required. T Contractor shall apply additional coats as necessary to achieve the specifi minimum dry film thickness. 0 B. C. D. E. Special Pro* OW01195 F 0 0 SPECJAL PROVISIONS TO PART 3. - CONSTRUCTION METHODS STANDARD SPECIFICATIONS FOR PUBLIC WORKS CONSTRUCTION SECTION 310 PAINTING All specifications pertaining to the new coating system for 'C' and Ellery Reservoirs located in the following specification sections included herein, Add the following: SECTION 310.1.5 WORKER PROTECTION & ENVIRONMENTAL CONTROLS A. DEFINITIONS. 1 .. Lead Containina Paint. On this project specifically, a paint is classified leadcontaining if it contains 200 ppm lead or greater. Hazardous Waste. Lead paint debris is classified as hazardous due to characteristics of toxicity, if after testing by Toxicity Characteristic Leach Procedures (TCLP), the leachate contains any of the elements in concentrations listed below (or greater): 0 2. Barium 100 PPm Cadium 1 PPm C h rom i um 5 PPm Lead 5 PPm Mercury 0.2 ppm Note: Other elements can cause a material to be hazardous as definec 40 CFR 261 and must be taken into consideration. The list above incluc only those elements typically associated with paints. SECTION 310-5 PAINTING VARIOUS SURFACES: @ Add the following: Special Pro& wo1m DESCRIPTION Shell Height (ft.) Diameter (ft.) Volume (MG) @C ELLERY 32 with knuckle, 24' 75 193 1 .o 5.0 Thickness of coatings and paint shall be checked with a nondestructive, magr type thickness gauge. Coating integrity of interior coated surfaces in immersion zone shall be tested with an approved holiday detection device. b destructive holiday detectors shall not exceed 100 volts nor shall destruc holiday detectors exceed the voltage recommended by the manufacturer of coating system. For thicknesses between 10 and 20 mils (0.25 mm and ( mm), a non-sudsing type wetting agent such as Kodak Photo-Flo shall be ad to the water prior to wetting the detector sponge. All pinholes shall be mah repaired in accordance with the manufacturer's printed recommendations, i retested. No pinholes or other irregularities will be permitted in the final coat Holiday detection devices shall be operated in the presence of the Inspector In cases of dispute concerning film thickness, measurements made \ instruments shown to be in calibration with the National Bureau of Standr calibration s ha1 I predominate. The Contractor shall furnish, until final acceptance of coating and painti inspection devices in good working condition for detection of holidays i measurements of dry film thickness of coating and paint. The Contractor s, also furnish U.S. Department of Commerce, National Bureau of Standards certif thickness calibration plates to test the accuracy of the dry-film thickness gau All inspection devices shall be in good working order. Dry-film thickness gauges ihall be made available for the Inspector's use at times until final acceptance of application. Holiday detection devices shall operated in the presence of the Inspector. Acceptable devices include, but are not limited to, K-D "Bird-Dog" nondestruc' holiday detector for coating to 20 mils (0.50 mm) dry film thickness; Tinker-Ra. Models AP and AP-W holiday detectors for coating in excess of 20 mils (0.50 m dry film thickness; and "Inspector" units, or equal, for dry film thickness gaugii Inspection devices shall be operated in accordance with the manufacture instructions. C. WARRANTY INSPECTION. The Owner shall conduct the warranty inspecti during the first year following acceptance of all coating and painting work requii by this section. All defective work shall be repaired in accordance with . manufacturer's recommendation and to the satisfaction of the Owner. D. SAFETY AND HEALTH REQUIREMENTS. The Contractor shall provide use personal protective life saving equipment for persons working on or about t project site in accordance with requirements of the latest revision of OSt Regulations in 29 CFR 1910.1025 and AWWA D102, Section 7 - Safc Precautions. e dl a Special Provis os/or/ss I E. PRODUCTS. Protective coatings for this project shall be as prescribed in AW Specification D102. All materials shall be delivered to the job site in their origii unopened containers bearing the manufacturer's name, brand, and batch numt Requests for material substitutions must be made and approved in writing. All coatings and paints shall be stored in enclosed structures when necessaq protect them from weather and excessive heat or cold. Flammable coatings or paints must be stored to conform with City, County i State safety codes for flammable coating or paint materials. Emulsion 0 coatings shall be protected from freezing. F. INTERIOR COATING MATERIALS. Materials shall conform to the follow * requirements: 1. Coating materials shall be suitable for the intended use. Materials shall recommended by their manufacturer for the intended service. Only high-grade products of manufactures having an established gc reputation in the manufacture of quality protective coatings shall be us( Only products of one manufacturer shall be used in any coating syste Coatings used for touch-up shall be compatible with the original materig Materials shall be used within the manufacturer's recommended shelf I Where practicable, each succeeding coat of paint shall be of a differc color, shade, or gloss. Where a particular finish color is specified her€ it is for bidding purposes only. Finish colors shall be selected from 1 manufacturer's standard color sheets by the Engineer. Where alternate products are specified, selection from the alternates is the Contractor's option. 2. 3. 4B 4. 5. 6. 7. The Contractor may submit for consideration paint materials manufacturers other than those specified herein. The Contractor SF provide satisfactory documentation from the firm manufacturing t proposed material that the material meets specified requirements for bet than the listed materials in the following properties: a. Quality b. Durability c. d. Life expectancy e. f. Solids content by volume Resistance to abrasion and physical damage Ability to recoat in future e Special Provisi w01m r g. Dry film thickness per coat h. Compatibility with other coatings 1. Suitability for the intended service i. Resistance to chemical attack k. Temperature limitations in service and during application I. Type and quality of recommended undercoats and topcoats m. Ease of application n. Ease of repairing damaged areas 0. Stability of colors p. Volatile organic compounds (voc’s) unthinned, g/l q. Volatile organic compounds (voc’s) thinned, g/I. 0 8. Contractor shall submit product data sheets, material safety data she and color charts for all coatings and paint materials submitted consideration as equal. Contractor shall also submit information manufacturer‘s recommendations for thinning. All interior reservoir surfaces in contact with potable water shall be coa with an epoxy system tested and certified by the National Sanitai Foundation (NSF) in accordance with NSF Standard 61 for potable Wi contact. Manufacturer‘s products submitted for consideration as equal the Contractor shall include documentation of NSF certification for proc and color tinting. 9. G. EXECUTION. 0 1. All coating and painting shall conform to applicable standards of the S Structures Painting Council Manual. Work shall be performed by skilled craftsmen qualified to perform specified work in a manner comparable with the best standards or pract Continuity of personnel shall be maintained and transfers of key persor shall be coordinated with Owner‘s representative. The Contractor shall provide a supervisor at the work site during clean and application operations. The supervisor shall have the authority to s change orders, coordinate work, and make decisions pertaining fulfillment of their contract. Dust, dirt, oil, grease, or any foreign matter that will affect the adhesior durability of the finish must be removed by washing with clean rags dip; in a grease solvent and wiped with clean dry rags. Coating and painting systems include surface preparation, first coati intermediate coating, and finish coating. Applications of first coat which special Pravi WOllSs 2. 3. 4. 5. e damaged during work shall be thoroughly cleaned and touched ul specified. The Contractor shall use repair procedures which insure complete protection of all adjacent primer. The specified repair mei and equipment may include wire brushing, hand or power tool cleanin1 dry air blast cleaning. In order to prevent injury to surrounding pai areas, blast cleaning may require use of lower air pressure, smaller no smaller abrasive particle sizes, short blast nozzle distance from surf shielding and masking. If damage is too extensive or uneconomici touch-up, the item shall be recleaned and coated or painted as neces to provide a quality coating. The Contractor's coating and painting equipment shall be designec application of materials specified and shall be maintained in first c working condition. Compressors shall have suitable traps and filter remove water and oils from the air. Contractor's equipment shall subject to inspection by Owner's representative. Application of the first coat shall follow surface preparation and clean Any cleaned areas not receiving first coat prior to any rusting shall bt. cleaned prior to application of first coat. The owner is committed to minimizing pollution of the atmosphere. avoid endangerment of the public health the following conditions will required on this project. a. The Contractor shall conduct all lead coating removal procedure accordance with all County, State, and Federal Codes 3 Regulations applicable to this project. The Contractor shall apply for, pay for, and obtain all permits L licenses required by the County, State, and Federal Govemmen conduct lead removal. e 6. 7. 8. 0 b. c. The Contractor shall have a current Class A or Class (Engineering) license which will allow the Contractor to design i operate a mobile confinement system to contain airborne I( particulates during surface preparation. The confinement system will have ducted ventilation with wi traps, to minimize airborne lead particles of paint and corros materials. The Contractor will use a recycling steel grit blasting system (Sal or approved equal), which will minimize waste disposal. Contrac shall have the option to use conventional dry sand blasting in I of the steel grit blasting system. Maximum particle size of abrasii d. e. e Special Pro* 08/01 /ss used in blast cleaning shall be that which will produce a profil accordance with recommendations of the manufacturer of specified coating system. Abrasive used shall be washed, gra and free of contaminants that would interfere with adhesion of new coating and shall not be reused. The recycling grit blasting system shall have a precooler/afterco incorporated in the main airline and the recycling system shall F all explosion-proof motors. The Contractor and his supervision will document at least two y' experience with the recycling system. Existing paints or materials determined to be hazardous will exhausted from the recycling system into support bag hc container and then placed into hazardous waste drums with COVE tops. When full, these drums will be tested for content by independent approved testing laboratory, sealed and disposed ( accordance with all regulations. The Contractor shall appoint a competent supervisor to remain the job site at all times. This supervisor will show proof of ha\ worked with the recycling equipment for at least two years. O.S.H.A. approved noise and breathing equipment will be won all times in confined areas and within the immediate job work a k. The Contractor shall provide the District with all informa regarding disposal of contaminated material, including but limited to the following: - Copies of all correspondence referring to disposal * f. g. h. I. j. e contaminated materials/hazardo us waste. Copies of all test results on material. Name and location of disposal site, owner and operatoi site, and verification that site is approved for disposal of It in concentrations indicated by testing lab. - - - Name of firm transporting contaminated material, i verification that firm is licensed for transportation of SI materials. Copy of bill indicating that disposal site is in receipl contaminated material. - e Special Prow wo1m 1. Contractor shall exert all means in taking necessary precautior protect the potable water supply from lead contamination. 9. Surface Preparation. e a. The latest revision of the following surface preparation specificat of the Steel Structures Painting Council shall form a part of specification: SOLVENT CLEANING (SSPC-SP 1) HAND TOOL CLEANING (SSPC-SP 2) POWER TOOL CLEANING (SSPC-SP 3) WHITE BLAST CLEANING (SSPC-SP 5) COMMERCIAL BLAST CLEANING (SSPC-SP 6) BRUSH-OFF BLAST CLEANING (SSPC-SP 7) NEAR WHITE BLAST CLEANING (SSPC-SP 10) In case of question about the quality of blast cleaning provided, SSPC blasting standards for visual comparison and corresponding definitions shall be consulted. Maximum particle size of abrasives used in blast cleaning shall that which will produce a profile in accordance \ recommendations of the manufacturer of the specified coa The Contractor shall keep the area of his work in a clean condi and shall not permit blasting materials to accumulate to consti a nuisance or hazard to the prosecution of the work or operatioi the existing facilities. If necessary, blast-cleaned surfaces shall be dry cleaned prioi application of specified coatings or paint. No coatings or paint SI be applied over damp surfaces. Interior surfaces to receive protective coatings shall be blast clear to near white metal in conformance with Steel Structures Paint Council Surface Preparation SSPC-SP 10. Contractor shall protect all existing screening on reservoir ve during blasting operations. All screening which is disturbed dur blasting and painting activities shall be replaced by the Contrac at no additional cost to the owner. b. 0 system. c. d. e. f. @ special Provk 08/01/95 10. Sequence of Work. Contractor shall begin removal of the existing coating on the tank cei and walls, except the first 8-foot high section. This work shall include underside of the roof plate, knuckle, rafters and girders. The Contra shall use recyclable abrasive. Upon completion of the entire ceiling walls, except the first 8-foot high section, the Contractor shall begin Y on the floor and the first 8-foot high section. I) 11. Application. a. Coating and paint application shall conform to the requirement! Steel Structures Painting Council Paint Application Specifica' SSPC-PA-1 , latest revision for "Shop, Field, and Maintena Painting. I) Thinning shall be permitted as recommended by a representativl the manufacturer for the conditions of application. Each application of coatings or paint shall be applied evenly, fret sags and runs, with no evidence of poor workmanship. Care s be exercised to avoid lapping on glass or hardware. Coating i paint shall be sharply cut to lines. Finished surfaces shall be a from defects of blemishes. If required, protective coverings or drop cloths shall be used protect floors, fixtures, and equipment. Care shall be exercisec prevent coating or paint from being spattered onto surfaces wP are not to be coated or painted. Surfaces from which mater cannot be removed satisfactorily shall be recoated or repaints produce a finish satisfactory to the Owner. When two coats of coating or paint are specified, the first coat SI contain sufficient approved color additive to act as an indicatoi coverage or the two coats must be of contrasting color, shade gloss. All material shall be applied in accordance with the manufacturc recommendations. b. c. d. 0 e. f. H. EXTERIOR COATING. The exterior coating on "C' and Ellery Reservoirs are an acceptable condition. Exterior resurfacing is not part of this project. Any damage to existing exterior coatings of "C" and Ellery Reservoirs caused Contractor's activity shall be repaired to the satisfaction of the District. 0 Speclal Pi& 08/01/95 1. INTERIOR COATINGS. 1. This section covers shop applied primers and field applied coatings interior and interior surfaces of welded steel reservoirs for storage potable water. Coating procedures and recoat cycles are critical. It is imperative that ' manufacturer's recommendations be strictly followed. Any deviation fr~ printed literature must be approved in writing by a representative of manufacturer prior to starting alternate procedures. accordance with SSPC-SP-10 - "near white blast cleaning." e 2. 3. SURFACE PREPARATION: All exposed surfaces shall be prepared J. DISINFECTION. Prior to acceptance of the coating and putting the tank ir service, the tanks shall be disinfected by the Contractor. The Contractor st wash the inside of the tank with a chlorine solution containing 200 ppm, utilizi gaseous chlorine or hypochlorites. The tank will be washed clean of all sand a dust, and the wash water will be flushed from the tank. The Contractor will th fill the tank to a depth of three feet containing a chlorine residual of 50 ppm. After curing, the tank shall be disinfected, filled, then allowed to soak for at le; seven days before a sample of water is collected and analyzed for vola organics. The samples shall be analyzed only be a IaboratoFy certified to condi volatile organics analyses by the State Department of Health Services. The Contractor will test the reservoir for chlorine residual, bacteriological a leachable quality at no additional expense to the District. The Contractor sh supply the District will copies of all test results. If said bacteriological and chemical tests do not meet the appropriate standarc the preceding shall be repeated. Additional tests shall be at the expense of t Contractor. The Contractor shall pay for all water used for washing and disinfection of t tank. Release of water shall meet all State and Federal requirements. CLEANUP. Upon completion of the work, all staging, scaffolding, container rubbish, and waste material shall be removed from the site destroyed in a mann approved by the Owner. Unless otherwise specified, existing paints or materiz determined to be hazardous will be exhausted from the recycling grit blastir system into support bag house containers and then placed into hazardous was drums with covered tops. When full these drums will be tested for contei sealed, and disposed of in accordance with all regulations. Payment for dispos specid Provisi WOltss F 0 K. a shall be included in the Contractor's lump sum bid price for removal of exi interior tank coatings, and no additional payment will be allowed therc Coating or paint spots and oil or stains upon adjacent surfaces shall be rem( and the job site cleaned, repaired or refinished to the satisfaction of the inspl at no cost to the Owner. OMISSION. Care has been taken to delineate herein those surfaces ti painted and those surfaces not to be painted. However, if painting requirerr have been inadvertently omitted from this section or other sections of tl specifications, it is intended that all exposed metal surfaces, unless specifi exempted herein, shall receive first class protective coating equal to that giver same type of surface pursuant to these specifications. GUARANTEE. When the work has been completed to the satisfaction 01 Engineer, that fact shall constitute the final acceptance of the Owner fol completed works herein specified and is subject to the Contractor guarante the completed work against andy repairs, damage caused by defe workmanship or materials furnished. The Contractor shall provide a two maintenance bond in the amount of fifty percent (50%) of the contract pricl this guarantee period. PAYMENT. Payment for all work specified in this section, shall be included ir appropriate lump sum prices for removal of existing interior tank coatings o application of proposed interior coating system. 0. HANDLING, DISPOSAL AND ANALYSIS OF DEBRIS. The Contractor : * L. M. N. e provide the following: 1. Testina of Debris. The debris shall be tested by TCLP to determine if hazardous in accordance with Appendix II of 40 CFR 261. The Contra will be responsible for this testing. Hazardous Waste. If the tests of the debris in 40 CFR 261 show the wi to be hazardous, the following requirements shall apply. a. 2. Site and Storage and Handling. The Contractor shall pay s attention to the requirements of 40 CFR 262 and 40 CFR 265 for on-site handling of debris, with special attention given to the tim storage, amount of material stored at any one time, use of prc containers, and personnel training. Any evidence of imprc storage shall be cause for immediate shutdown of the project I corrective action is taken. b. Transportation and Disposal of Debris. The Contractor s arrange to have the debris transported from the site in accorda with requirements of 40 CFR 263, and disposed of properl) 8 Special Provl woim accordance with 40 CFR 264 and 40 CFR 268. Signed manif shall be returned to the District to verify that all steps of the hanc and disposal process have been completed properly. 0 ********** e Special Provisi 08/01/9s I 0 0 APPENDIX "8" LOCATION AND SITE MAPS 0 0 Appendix 12/15/05 F LOCATION MAP ................................... me- RR 1 . ..........(.... .. ............................. .. ...... .... .... .... .. ..... v .. ........................ d....’, ** % ok9 ......... 55 #. .. ‘c. $)\9 .. <\+6 Ha-’ 1 p: .. ............................. 6+X5 * 1 MTn e. .. PmXCf la E PROJECT NAME1 . OCU ANQ ELLERY RESERVOIR 96407 INTERIOR COATING c ~-. - . ..- __ .--~---- --- -_._ . LOCATION MAP .... ........ , . , . . . . . . . . , RECORDED REQUESTED BY CITY OF CARLSBAD AND WHEN RECORDED, PLEASE MAIL TO Secretary Carlsbad Municipal Water District 1200 Carlsbad Village Drive Carlsbad, California 92008 t -1997 $2: Lkk u - GRp-JjWY SflIYH, CfjJIjTy RECOR OFfICIfii RECORDS p 8 a? ;;? "O':pfI.' RE[-&'' :9< jj .& viE~~ b U! r FEES: 459 w w