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HomeMy WebLinkAboutWest Coast General; 1990-12-19;*< m 0 SETTLEMENT AND MUTUAL RELEASE AGREEMENT THIS SETTLEMENT AND MUTUAL RELEASE AGREEMENT (hereinafter IgAGREEMENTgt) is made by and among WEST COAST GENERAL CORPORATION (hereinafter ttWEST COAST") ; the CITY OF CARLSBAD (hereinafter llCITY1l) and the STATE OF CALIFORNIA, the BUSINESS, HOUSING and TRANSPORTATION AGENCY and CALIFORNIA DEPARTMENT OF TRANSPORTATION (hereinafter cumulatively referred to as the tlSTATEtt) . Said participants to this AGREEMENT may at times be referred to cumulatively as tvPARTIES1l. This AGREEMENT is made with reference to the following: RECITALS A. On or about November 21, 1978, the CITY and STATE entered into Local Agency-State Agreement for Federal Aid-Projects No. 11-5308 (hereinafter '!Master Agreement") . B. Pursuant to said Master Agreement, on or about January 12, 1989, the CITY and STATE entered into Program Supplement No. 014 (hereinafter 'IProgram Supplement") . Said Program Supplement provided that subject to the terms and conditions of the Master Agreement, the CITY would receive approximately $1,747,125.00 of federal participating funds toward the improvement and widening of Carlsbad Boulevard from .25 miles south of Tamarack Avenue to Cannon Road (hereinafter the I1Projectlt) . C. On or about January 2, 1989, the CITY released its Notice Inviting Bids on the Project and made available sets of plans, special provisions and contract documents (hereinafter "The Contract*t) to all interested parties. Said Contract included conditions conforming with all State Statutes, regulations and procedures (including those set forth in the State Local Programs Manual) relating to the Federal-Aid Program and all applicable Federal laws, regulations, policy, procedural and instructional memoranda. D. On or about March 1, 1989, bids were opened. WEST COAST submitted the low bid on the Project in the total of $2,107,278.74. On or about April 3, 1989, the CITY and WEST COAST formally entered into a public works contract for construction of the Project. E. Construction of the Project began on or about April 3, 1989. Thereafter, progress payments were made by the CITY to WEST COAST. The CITY, pursuant to the Master Agreement and Program Supplement, submitted invoices to the STATE for reimbursement. .* 0 e F. By letter of August 22, 1989 and subsequent correspondence, the STATE advised that based upon what it interpreted as contract and regulatory violations, it would not recommend Federal participation of the Project to the Federal Highway Administration (FHWA) and refused to advance any highway funds to the CITY. The issues raised by the STATE included: (1) Whether WEST COAST performed with its own organization work amounting to not less than fifty (50%) of the original total contract price; (2) whether WEST COAST properly rented equipment and operators from subcontractors; (3) whether Project disadvantaged Business Enterprise (DBE) requirements were met; (4) whether unapproved subcontractors were used and, (5) whether certified payrolls were accurate. As a result of said issues raised by the STATE, the CITY did not file its Notice of Completion of the Project. Accordingly, WEST COAST did not receive its final ten percent (10%) retention payment. WEST COAST denied and has continued to deny any violation of contract terms. On or about February 21, 1990, WEST COAST filed a Complaint for Breach of Contract, in San Diego Superior Court, North County Branch, Case No. N46495, against the CITY. In addition to its claim for said retention, WEST COAST also claimed damages for additional costs and delays which are set forth in its claim dated January 3, 1990, and attached herein as Exhibit '@Atv to this AGREEMENT and incorporated herein by reference. Further, WEST COAST has claimed other consequential damages based upon the CITY'S withholding of all or a portion of the retention. G. H. On or about April 11, 1990, the CITY answered the Complaint and filed a Cross-Complaint for Breach of Contract, Misrepresentation, Negligence and Declaratory Relief against WEST COAST and the STATE. WEST COAST and the STATE answered said Cross-Complaint. Furthermore, WEST COAST filed a Cross-Complaint against the STATE for Negligence, Tortious Inference with Contract, Indemnification and Declaratory Relief. I. On or about July 31, 1990, the CITY reduced WEST COAST'S retention held by the CITY to five percent (5%). Extensive discovery and negotiations have taken place by and between the PARTIES. As a result, without any admissions of liability by any party and in order to resolve all differences, the PARTIES have agreed to mutually release each other from any and all claims relating to the Project on the terms and conditions as set forth below. J. AGREEMENT NOW THEREFORE, in consideration of the terms and conditions as set forth in this AGREEMENT, and for other good and valuable 2 t* a 0 consideration which is hereby acknowledged, the PARTIES hereby agree as follows: 1. Project Fundinq (a) Project costs eligible for federal participation pursuant to the Master Agreement and Program supplement amount to a total of approximately $2.018 million. Federal participation would normally be at the ratio of 86.44 percent. As between the State and the City, the State agrees to formally recommend to the FHWA payment of 90 percent of said 86.44 percent participation amount. The STATE affirmatively represents that it has already consulted with the FHWA and that the FHWA has agreed to accept such recommendation notwithstanding any concerns regarding contract compliance. In the event, for any reason, the FHWA declines to provide all or any part of such funds within the time frames as set forth below, the STATE, as consideration for this AGREEMENT, obligates itself to irrevocably make such payment to the CITY notwithstanding any decision of the FHWA or any terms or conditions of the Master Agreement or Program Supplement. The STATE agrees that the CITY will receive said funds from the STATE within forty five (45) days of the STATE'S receipt of a properly prepared invoice from the CITY, approved by the District's Local Streets and Roads Engineer. (c) The CITY agrees that in any future Federal highway project initiated under the Master Agreement, the STATE may require the CITY to provide outside contract administration and supervision, acceptable to the STATE. The STATE and CITY agree that no finding has been made or will be made by either party on the questions of contract compliance or Project supervision. The 10% reduction in FHWA payment participation is deemed to be made in resolution of any disputes regarding contract compliance or Project supervision. The STATE agrees that it will not at any time in the future again audit or otherwise review this Project for contract compliance, Project supervision or any other question of compliance with the Master Agreement, Program Supplement or regulations and procedures (including those set forth in the State Local Programs Manual); except that it is understood that the STATE and FHWA reserve the right to perform a financial audit to ascertain the costs actually incurred by the CITY. The STATE agrees that any such questions of compliance are resolved in their entirety by this AGREEMENT. The STATE also acknowledges that it has fully apprised the FHWA of this AGREEMENT and the compromises which have taken place and that the FHWA is satisfied with the AGREEMENT and such compromises. * (b) (d) (e) 3 0 a (f) The CITY agrees that it will not publish or in any manner disseminate the nature of this AGREEMENT with the exception of any disclosure requirements under any Public Records Act or other relevant statute or ordinance. The STATE agrees that the circumstances relating to this Project will not in any manner prejudice any future rights of the CITY to apply for or receive funding of eligible Projects. 2. Settlement With West Coast (a) The CITY agrees to release to WEST COAST the remaining five percent (5%) retention, without interest, of The Contract amount. As additional consideration, the CITY will pay to WEST COAST seventy-five thousand dollars ($75,000.00) as full and complete payment of any and all additional claims relating to this Project, including, but not limited to, any accrued interest, any and all extra work claims (including, but not limited to those set forth as Exhibit "A"), any and all claims of consequential damages relating to un-released retention or any other conduct in this matter and any attorneys fees and costs. The CITY will deliver the retention amount to WEST COAST no later than November 30, 1990. The CITY will also attempt to pay the additional $75,000.00 by November 30, 1990. If the $75,000.00 is not received by WEST COAST by November 30, 1990, it will bear interest at the rate earned by the CITY. The CITY will use its best efforts to pay WEST COAST the $75,000.00 as soon as possible, but in no event will full payment be delayed past December 21, 1990. forth in paragraph three (3) below. 3. General Release of Known and Unknown Claims. (b) (c) The CITY and WEST COAST fully release each other as set (a) Notwithstanding the provisions of Section 1542 of the California Civil Code, excepting the covenants, agreements, stipulations and provisions contained in this AGREEMENT, the parties hereto mutually release any and all claims, causes of action, rights, obligations, debts, liabilities, accounts, liens, damages (whether general, special consequential, punitive or otherwise), losses and expenses of any kind and nature whatsoever, whether known or unknown, foreseen or unforeseen, patent or latent, suspected or unsuspected, contingent or unliquidated, which any party previously had, currently has or may have, arising from, relating to the Project or in any matters set forth in the aforementioned recitals and civil complaint and cross-complaints. This release is not to be construed to include any issues that may arise relating to WEST COAST'S warranty obligation under its contract with the CITY or any non- contractual liability. 4 0 e (b) The PARTIES hereto acknowledge that they each have been informed of the provisions of Section 1542 of the Civil Code of the State of California and do hereby expressly waive and relinquish all rights and benefits that they have or may have had under said Section, which reads as follows: "A general release does not extend to claims which the creditor does not know or suspect to exist in his favor at the time of executing the release, which if known by him must have materially affected his settlement with the debtor. I1 (c) The PARTIES hereto understand and acknowledge the significance and consequences of said specific waiver of Section 1542, and hereby assume full responsibility for any injuries, damages or losses that they may incur as a result of the execution of this AGREEMENT. 4. Dismissal of Causes of Action. Upon full payment of the sums set forth in this AGREEMENT, the parties hereto will forthwith cause their attorneys of record to execute and file in the Superior Court a "Request for Dismissal*9 with prejudice of the entire actions referenced above as to all PARTIES. 5. Subseauent Discovery and Different or Additional Facts, Mistake of Fact of Law. (a) The PARTIES hereto acknowledge that they are aware that they may hereafter discover facts different from or in addition to those they now know or believe to be true with respect to the claims, causes of action, rights, obligations, debts, liabilities, accounts, liens, damages, losses and expenses herein released, and each agrees that the within release shall be and remain in effect in all respects as a complete and general release as to all matters released herein, notwithstanding any such different or additional facts. (b) In entering and making this AGREEMENT, the PARTIES hereto assume the risk of any mistake of fact or of law in that if any party should subsequently discover that any fact relied upon by such party in entering into this AGREEMENT is not true, incorrect, such party shall not be entitled to set aside this AGREEMENT, or any portion thereof, by reason thereof. This AGREEMENT is intended to be final and binding upon all PARTIES hereto regardless of any mistake of law or of fact or any other circumstance whatsoever. 5 .* a a 6. Covenant Not to Sue. The PARTIES hereto each agree that each will not make, assert or maintain against any other party released in this AGREEMENT any claim, demand, action, suit or proceeding arising out of any matters released herein. This AGREEMENT may be pleaded as a full and complete defense to, and may be used as a basis for an injunction against any action, suit or other proceeding which may be prosecuted, instituted or attempted by or on behalf of any party hereto in breach of this AGREEMENT. The PARTIES hereto each agree to defend, indemnify and hold one another harmless against any claim, demand, right, damage, debt, liability, account, action, cause of action, cost or expense, including attorneys' fees actually paid or incurred, arising out of any such claim, demand, action, suit or proceeding asserted in connection with this AGREEMENT or the matters respectively released herein. 7. Confidentiality. The PARTIES agree that the contents of this AGREEMENT will remain confidential and will not be published or otherwise disseminated to third parties, except as may be required by law pursuant to any public disclosure requests. 8. Warranties. (a) Each party hereto represents and warrants to the other that they have not heretofore assigned, hypothecated or transferred or purported to assign, hypothecate or transfer, in whole or in part, to any person, firm entity, or corporation any claim, demand, right, damage, liability, debt, account, cause of action, or any other matter herein released or discharged, and that they respectively have the full right and authority to enter into this AGREEMENT. The parties hereto agree to indemnify and hold one another harmless against any claim, demand, right, damage, debt, liability, account, action, cause of action, cost or expense, including attorneys' fees actually paid or incurred, arising out of or in connection with any such transfer or assignment or any such purported or claimed transfer or assignment in violation of this representation and warranty. (b) Each party hereto represents and warrants to the other that they have the power, authority and ability to carry out the obligations assumed and promised hereunder, and is not presently aware of any pending event which would, or could, hamper, hinder, delay, or prevent the timely performance of said obligations. 9. Denial of Liability. The giving of the consideration specified herein affects the settlement of the matters released herein. Neither the giving 6 .I 0 0 or said consideration nor anything contained herein shall be construed as an admission by any party to this AGREEMENT or their heirs, assigns, successors, representatives, agents, officers, directors or shareholders, of the validity of the claims of any other party to this AGREEMENT. The parties hereto specifically disclaim any liability or responsibility to each other. 10. Bindinq Effect, The AGREEMENT, and all covenants and releases set forth herein, shall be binding upon and shall inure to the benefit of the respective parties hereto, their legal successors, heirs, assigns, partners, representatives, executors, administrators, agents, attorneys, officers, directors and shareholders. 11. Choice of Law and Venue, This AGREEMENT is executed and intended to be performed in the State of California and the laws of the State of California shall govern its interpretation and effect. The parties agree that all legal proceedings regarding this AGREEMENT shall only be instituted in the U.S. District Court, Southern District of California or the courts of the State of California for San Diego County, San Diego Judicial District. 12. Leaal Expenses. In the event any party to this AGREEMENT commences any legal proceeding concerning any aspect of this AGREEMENT, including but not limited to, the interpretation or enforcement of any of its provisions or based on an alleged dispute, breach, default, or misrepresentation in connection with any aspect or provision of this AGREEMENT, the prevailing party shall be entitled to recover reasonable attorneys' fees and all other cost and expenses incurred in connection with the action or proceeding, fees and collection expenses, whether or not such action proceeds to judgment. The Ifprevailing party" means the party determined by the court to have most nearly prevailed, even if such party did not prevail in all matters, not necessarily the one in whose favor a judgment is rendered. If the court fails or refuses to make a determination of the prevailing party, the party who is awarded costs of suit shall also be deemed to be the prevailing party for purposes of awarding attorneys' fees. 13. Severability. Should any portion or clause of this AGREEMENT be found to be invalid, illegal, void, voidable or unenforceable for any reason whatsoever, this AGREEMENT shall be read as if it did not contain said portion or clause. The PARTIES hereto intend for any such invalid portion or clause to be severable from the remainder. Any such clause or portion and its severance shall 7 0 e not affect the validity or effect of the remaining provisions of this AGREEMENT. 14. Counterparts. This AGREEMENT may be executed in any number of counterparts, each of which so executed shall be deemed to be an original and such counterparts shall together constitute one and the same AGREEMENT. 15. Section Headinqs. The captions, subject, section and paragraph headings in this AGREEMENT are included for convenience and reference only. They do not form any party hereof, and do not in any way modify, interpret, or reflect the intent of the PARTIES. Said headings shall not be used to construe or interpret any provision of this AGREEMENT. 16. Riqht to Consult with Attorney, Terms Understood. The PARTIES hereto acknowledge that each has read this AGREEMENT; that each fully understands his rights, privileges and duties under said AGREEMENT: and that each enters into said AGREEMENT freely and voluntarily. Each party further acknowledges that each has had the opportunity to consult with an attorney of his choice to explain the terms of this AGREEMENT and the consequences of signing it. 17. Reliance on Own Judqment, No Representatives. The parties hereby declare and represent that the full compensation for the damage sustained in connection with the aforementioned losses and claims is uncertain and indefinite, and that in making this AGREEMENT it is understood and agreed that the PARTIES have not been influenced to any extent whatsoever in making this release by any representation or statement regarding said damages, or regarding any other matter, made by the person, persons or entities hereby released, or by any person or persons representing them. 18. Entire Acrreement. The undersigned each acknowledge and represent that no promise, representation, or inducement not contained in this AGREEMENT, or any exhibit hereto, has been made to them and that this AGREEMENT, together with any exhibits hereto, contains the entire understanding among the PARTIES and contains all terms and conditions pertaining to the within compromise and settlement of the disputes referenced herein. No express or implied warranties, covenants or representations have been made concerning the subject matter of this AGREEMENT unless expressly 8 .. 0 a stated herein. Any prior written or oral negotiations not contained in this AGREEMENT are of no force or effect whatsoever. In executing this AGREEMENT, the PARTIES have not and do not rely on any statements, inducements, promises or representations made by the other party or their agents, representatives, or attorneys with regard to the subject matter, basis, or effect of this AGREEMENT, except those specifically set forth in this AGREEMENT. The undersigned further acknowledge that the terms of this AGREEMENT are contractual and not mere recitals. 19. Modifications. No change in, addition to, or erasure of a printed portion of this AGREEMENT (except the filling in of specific blank spaces and lines) shall be valid or binding upon any party hereto and no verbal agreement of any nature relating to the subject matter of this AGREEMENT or to any relationship between the PARTIES will be considered valid or enforceable. This AGREEMENT may not be superseded, modified or amended orally and no modification, waiver or amendment shall be valid unless in writing and signed by the party against whom the same is sought to be enforced. 20. No PresuxnDtion asainst Draftinq Party. This AGREEMENT and the provisions contained herein shall not be construed or interpreted for or against any party hereto because said party drafted or caused the party's legal representative to draft any of these provisions. This AGREEMENT shall be construed without reference to the identity of the party or PARTIES preparing the same, it being expressly understood and agreed that the PARTIES hereto participated equally or had equal opportunity to participate in the drafting thereof. 21. Parties in Interest. Nothing in this AGREEMENT, whether express or implied, is intended to confer any rights or remedies under or arising by reason of their respective successors and permitted assignees. Nothing in this AGREEMENT is intended to relieve or discharge the obligation or liability of any third person to any party to this AGREEMENT, nor shall any provision give any third person any right of subrogation or action over or against any party to this AGREEMENT. 22. Waiver. The failure of any party to enforce any provisions of this AGREEMENT shall not be construed as a waiver of any such provision, nor prevent such party thereafter from enforcing such provision or any other provision of this AGREEMENT. The rights and remedies granted all PARTIES herein are cumulative and the election of one right or remedy shall not constitute a waiver of 9 a 0 any others' right to assert all other legal remedies available under this AGREEMENT or otherwise provided by law. 23. Execution of Further Documents. Each party agrees, upon the demand of the other, to execute or deliver any instrument, furnish any information, or perform any other act reasonably necessary to carry out the provisions of this AGREEMENT without undue delay or expense. In the event any party fails or refuses to comply with this paragraph, such party shall reimburse the other party for any expenses, including attorneys' fees and court costs, that as a result of this failure become reasonably necessary to carry out this AGREEMENT, even if formal legal action is not commenced. IN WITNESS WHEREOF, the PARTIES hereto have executed this AGREEMENT on the day and year indicated below. f DATED : BY: SPORTATION AGENCY, DATED: /d?hD BY: the CITY OF CARLSBAD CLAUDE A. LEWIS, Mayor DATED: BY: DANA K. FERRELL, President of WEST COAST GENERAL CORPORATION 10 .. a 0 any others' right to assert all other legal remedies available under this AGREEMENT or otherwise provided by law. 23. Execution of Further Documents. Each party agrees, upon the demand of the other, to execute or deliver any instrument, furnish any information, or perform any other act reasonably necessary to carry out the provisions of this AGREEMENT without undue delay or expense. In the event any party fails or refuses to comply with this paragraph, such party shall reimburse the other party for any expenses, including attorneys' fees and court costs, that as a result of this failure become reasonably necessary to carry out this AGREEMENT, even if formal legal action is not commenced. IN WITNESS WHEREOF, the PARTIES hereto have executed this AGREEMENT on the day and year indicated below. DATED: BY: Authorized representative of theSTATEOFCALIFORNIA,HOUSING AND TRANSPORTATION AGENCY, DEPARTMENT OF TRANSPORTATION DATED: BY: Authorized representative of the CITY OF CARLSBAD DATED: 8/'&4 ..- 90 WEST COAST GENERAL CORPORATION 10 e 0 APPROVED AS TO FORM AND CONTENT: HOUSING AND TRANSPORTATION AGENCY AND DEPARTMENT OF TRANSPORTATION DALEY 61 HEFT NEAL S. MEYERS the CITY 0 MARKS & GOLIA ROBERT MARKS, ESQ., Attorney for WEST COAST GENERAL CORPORATION CITY OF CARLSBAD &.f2 L 13. 7% e VINCENT F. BIONDO, JR., City Attorney 11 .. -. 0 0 APPROVED AS TO FORM AND CONTENT: FREDERICK GRAEBE, ESQ., Attorney for the STATE OF CALIFORNIA, STATE HOUSING AND TRANSPORTATION AGENCY AND DEPARTMENT OF TRANSPORTATION DALEY & HEFT NEAL S. MEYERS, ESQ., Attorney for the CITY OF CARLSBAD lYIARKS & GOLIA 7 WEST COAST GENERAL CORPORATION CITY OF CARLSBAD VINCENT F. BIONDO, JR., City Attorney 11 * 0 OAST ~~~~~~~ ~~~~~~~~~~~ 12243 Highway 67 Lakeside, California 92040 (61 9! 561-4200 Jt\i'a 0.: :aq!-j I"" January 3, 1990 A&-* Ldayd mbbs c9 ty Deer m50 2075 %ae9ms D8-1 ve Garlsbhnti# Csd.9fornfa 92m9 Re: CarSshd R1 vd. Improvements;, f 3205 De&- m. HuhBs: T.9s Setter cearpstdlutes kst coast &nesa2 corpr&tAon@s cPaP G$L1fornics &vermnt Cde s%A.;e,-w wo et sag '9 to the Clty of car.zGbad@s breech of Cc$ntrast. far ne fol prQVjded fa aecordmce hdth CaP%for~.fa &vernmn$ C; C2aImnt: WST @#A= ~~~~~~~ GORrnrn Tim 12283 Hq? 67 idesfde, CA 92640 C6 19) 561 - 42857 i Address to mBC6 tihr;-3fPcas ShQUJd be sent: cc4n GE&FMd ~~~~~~~ w !Akes*bbe8 CA 920M city of caE-%sbBd 3ed.j vered Q 5: 2075 Las PaJBas DrPve (62 9) &x--: f 6% CaFlSb&d# cA gzm8 &currefices gdviqg i-.fse to the CJ~B asserted <kill Q.XCW;GF~C~E ha?p~ed wdthln or ~1s B result of rmslroesiing the i Bou2evards ProJect #5* 3205# Csrisbad CA- J: rolremes of Cak-Js$ad I)* A5 a resu.lt of the cztp of @IrtrBFihd@f; re n-ezfff'9c CrnfFQd Pdm of ohe CQL?tl-&C% dac ts c!Js;s.ued 81 fw-;fJ on to the Q.m-jnal 89891 mc sat sd: the! fhalrowhg iTWdlfBCBgS:61@nS where requddred and r-jn A, me rev.%,,& p.dm earlldem2d the ld e5 of $"QDStTU@tICm .fn Jab& fT"0E th62se of the osigAne% pEm of %As Contract kpocm~~6s- mfs expansfol.PP requdrad stCK&pfling ~~~~~X~~~@~~ Jam c. 7- m3terial beC13ltm2 $49 ~~~~~~~~~ fs PfB Phase 1 Wf-@ C#qd e6 @dm 11 could not be &.@% kclsuse exfsti~g traffic rims routed ~~~~~~ the area MCEQrt to the COFJtI-&Ci: PBms; cGE% d& 0 p 5 3 j Y .*' mt? p,??QpCJSed fd 1 2 6 F Ff ; 8 i p 1 . *. e e Pqp 2 0% 4 January 3$ d95W ( Att: L. PBerbbs 8. AciditfmaH frafffe: c;.nntro~ onb f~,y~=mn wre reg~i~e end Cew?r?h trucks In the Phase ib: wsrt,%bsw1d lane; the wsterag mddm CWb k*fie 9pratiQy the pevi Instead 0: Xay9ng aspTgPeT19 concrete at the *ster.-lg &%@dim curb Mith 0.3 fad1 &dtA pass as a;s2mecr;g, iwdi fPed six goat prcPduCernn cc?s$;s. c. It was required to mke B wide jm3s.5, krkf cr5 Oh,P"bdV increased 2;. Per the city of Car2sbad8s ddrectfve of- 24 AprL1 1989 j? d 2 sPaaal traffic CO.PdBb"(PL devices mx-e requfred Bo apprenf2y & t the In.ftfi5.2 g2.m of the Gontsaeb PGhSm.ntS. suppBIed in place, ye: .t-emdn mto nH? Gity BP C&.r2.sL%dUEi defley In decfdiug the issues 0% 1). dispcsal sf swplus m3ter-fEaI. ewd 25. dtf&3bion of the dasdg-2 errors mese devicces wre 3>* associated &th the actueE locatiaaa of the 12" A qx%-&l t i Dns ( t tie CQn 6 f 02 1 i &?tween 15 f&m? 1989 r UnduJy exatended thro this per1 og eqrafpmnt, md mbidizatim casts were protracted aHs5. In tbe Pre-.6sp;rstrrac,"1bPsl Heetdng of 30 Parch 19239, the Gifp 8Xf Carl shad a,Dpk-""" SmdblbsStdDg to s>laera$-fwns". go diSCUSdC)ld @f a cre e to the Gi tg ms discussed* k Was sne rquP"st&. Yet 5x2 11 A wt 1.9639 dtm moths after the i-k was co.@pleted?, the Cty iralti ed d &E$iHB&erdd mmg@ &der- Ho. 9 W3icRh prot?it;Bed theB dl.& a credit teak skPppa5sdly rePPecdss the cost differace beQr+em csPng pein& VS si%.BdblastIng, te2ephone pedestad Jocalflora 6LTmld DCt 6-eceive the stmdcprd Beta2 @&?C20t5U8T? db depicfed dB the pHmk5. me CJ%y concari-ecl, as dld PacBePB, 16134rlrt 3 P&Q6B BaarSSt be placed %he sldewPk. Bechauss the City &ad PacPleBP o skagaid dncrsr the emf; &mi5 sf&2JffcaK?t %y iwrpc%Pd by thiG indocisfon, the Gmt red requ$,ed to suppJy 8<9;1Q iE-iStSd.2 the m&&?Eeg yet kws ad co*~~=f=f the Che3rW?Eb cmdl t2 OB. 4). e BlSe of "RrPEdck-ouQ" gam in lleu sf ve existing E;d;f-m'pRiyJ drar"fng tf-affdc detour 5jo fn earjy Aqyws2I 1989) the Coni-ractot- nobifded the City that 8 muEd not resolvE mds LWY& dv~~te~tHy, berarise the ~~O~IWSS OF the PTO~EC~ fwd- t ’. * e P&p 3 af 4 J-mL&&=y 3* 995x3 c Att: L. ‘VUbbS 61- ?%e pams of the CmfrBCf Docwnfs inddcate that %%no m?w ro&%dmy 6s-fme dft@X- SAX Wf?kS Of” ddSCUSSiQD 6“ t c+%l2er the two raack idd trcasas€%fw 5ErnQthljJ crir Doe, the City fhaI%y InG.@ructsd the cQ~.2trBCtOI- ba extend ithe Fem%WYs of the gxis$.j! ~~~~~~~~~ W86 25sued to the city for thJs mrk* 2nsdstcd the M3r-k @e completed Cb&fCh 41 WS’lI but did wrst $SSQE a ChFsSGTd LV-der $45 cnBj*%Esnee fa.- the extra wrk. 78 AddPtional permen$ %reFfic strPping md SlgmIgE &F?b&? reqakl9-cd by the c.fty* $e^E&dOrn Bcr tBe ckanges. me CBBy issusa Gh*%Qge &-des 240” I,?. but refused kc? 2’OPJ4r,iGe $Ae cnntaac&ar% ~~~~~~ fer I3verkeed C15ZI. After JW30,y ma%ln7$y5 be%M%Y2 Id bhs grades ab the exdstlng smd dYi! &pprnxim%ely sbs. The c:Qi-2fa-@ctor Issued B cost 81. the Conz‘,i-a d Ch? GitjPE PTOj&Wt pr, YRSA&?””t ai-> &mi cipel Frogec E rp axd %hei.dr Clvil fleer cQn&rxil t&.ntS# r-eg&.i”-cfdi2g the Q Cs.0bBac psdf of The Clty fben ~k ~~~~~.~~~~d~ this gr~~p finally C~O~CWT~PGG ~SG to the DU~~S“,P. DlC ca;r$ic yards mved md the asss.cdetecsi‘ cc*fs. dssusd Chaw Qi-der Nf2. r2 &.id2 reflettsd the t2&Te@Dd upon qumbd8fes md ElFrnC,rntS. me GmtraCtQiP, $he crty Isrsp~-Q:Or* LhE? In the f0.l lowing k Em F.&?eks$ the Prt3ject ,&I2 &.hew. Q1-de.t- mvo. 12 which s%mf fl CEmS Pg reduced the ~~~~~~~~~~~~ C2a-fg~nsaHly agreed tc3 by the ~~~~~~~~~~~~~ group. m.is issctfon w5 arbitrary md without sxp-&mlak$cr$, as2d the CQIJtsactas s@%&ifns mcs?u.msated for &“be balance of the qp-eBJILil “pm qua c 1 t i es .%3d &.E!K?t%;: e 8. Psr ne Clty of Cardshd dJ.?--ectfw? dELCJd 5 Apr-IP 1989, alfgnmnt ad~us~~~~s to 30” RGP stop-m dra.frm WP?t fr”mv2S.r, yDw r.-e.fres&2 $0 suSdt said prQjsct to ilve Cii6p @ow2efJ 9-m- Pmjerit ~~~~~r~ %he Mmf sipad Project &nager s1ped the Change &-des. 91. the cost ta recslcukate ~imvey ccam;lf.mi da~a for tancco 16). NQW khat blxs GU$jeCf praject is (;Taplets 9jnaAedddnpJ pi23achZjsC &CCt?p$&BCe?l J!Q B bf&?BCh of OW CQL?fr-:Xk. SLTCh &C$%Oal rub.$s6ks b%?s~ Coast Gmeral tu Ims of 18aeeaest 0.n earned ds3com f:-Efe23fiOx2) Es WE2 z 816 extend.fng overhedd rods. XWSkf&?P ts See-t%Qn 9j0, @an$k;?nfs CPf CPaimfl sf the CavverfiwnT; CunbWA Crnd@# &he requPa-e&EnfS of said sectAon WE iBC2Udd herein. e .~~~~~~~~~~~~ ~~~~~~~~~~~~~ EBd 22XT.5 IkacurrLd as of thfs date, md 60 far $35 It &By be km%$ is tsu.&da %hat gudsdictdm 6rW@?.r this C282fB wuuld resf h 1 superirsr- corxtn (. d 0 m *" i -i-, Pap 4 0% 4 *A JwLEargr 3@ E9 A$&: &. Hub& ?T me nBe% of the pukddc the loss Qr% $0 the bast 3f OtJ*Y If WE? do sad receive h3 respnse to this C.i!@IB wlthkra 8-5 days# pursrsBne bo Calrlfornda 60vernmafd C&e Secfbon 912.4, we vi21 cP%p;"sIder the clads de:alr .,..% kJK.WJ&@?, tl QjPd .&&hi, %f.2 &'ahddl md J'oe Feder.fco* ~ .,.a .- L ..% 61 pruceed ks Iiiiption. >7- _- Sincerely* I( .-.-T COMaT ~~~~~~ C(9RFURATIW ..tm-l Dana irb. Feme2 2 Pres1 dent - --* *i D*Wbkb D. dbsrvey -. -_ .__ ~ -.*- <---+e.-* ~ -..,.+"%*, \,--A *V'"'*W --.,-*e .14*