HomeMy WebLinkAbout1998-06-22 City Council (22)City
City of Palo Alto
Manager’s Report
7
TO:HONORABLE CITY COUNCIL
FROM:CITY MANAGER DEPARTMENT: COMMUNITY SERVICES
DATE:JUNE 22, 1998 CMR: 255:98
SUBJECT:AWARD OF CONTRACT TO FOUR SEASONS LANDSCAPE
MAINTENANCE FOR LANDSCAPE MAINTENANCE SERVICES;
AWARD OF CONTRACT TO ZONGAR JOHNSON CONSTRUCTION
FOR TENNIS COURT CLEANING SERVICES
RECOMMENDATION
Staff recommends that Council:
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Approve and authorize the Mayor to execute the attached three-year contract with Four
Seasons Landscape Maintenance in the amount of $326,586 for the first contract year for
landscape maintenance services; and Zongar Johnson Construction in the amount of
$34,150 for the first contract year for tennis court cleaning services.
Authorize the City Manager or her designee, to negotiate and execute one or more change
orders to the contract with Four Seasons Landscape Maintenance for related, but
unforeseen additional work that may develop during the first year of the contract, the total
value of which shall not exceed $32,659; and with Zongar Johnson Construction, the total
value of which shall not exceed $3,415.
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Authorize the City Manager or her designee, to exercise the option to renew the contracts
for a second and third year for $326,586 and $34,150 respectively in each year provided
the contractor’s are responsive to the City’s needs, and the quality of the contractor’s work
is acceptable during the first year Of the contract and/or other conditions which will
determine the City’s willingness to renew the contract. Funding for years two and three
is contingent upon Council approval of the budget for each subsequent year.
Authorize the City Manager or her designee, to negotiate and execute one or more change
orders to the second and third years of the contract for related, additional but unforseen
work which may develop during the project, the total value of which shall not exceed
$32,659 each of the two years for landscape maintenance and $3,415 each of the two years
for tennis court cleaning services, provided the contracts are renewed for those years.
CMR:255:98 Page 1 of 3
DISCUSSION
Project Description
The work to be performed under the contract is for landscape maintenance services and
tennis court cleaning services. The areas include city facilities such as fire stations, libraries,
City Hall, Cultural Center, Utility Substations, Ventura School and Boulware, Bowden,
Cogswell, E1 Palo Alto, Johnson, Scott, Robles, Scale, Briones, Bol, Cameron, Eleanor,
Hoover, Kellogg, Mayfield, Monroe, Ramos, Sarah Wallis, Terman, Weisshaar, Timothy
Hopkins and Werry Parks. Median and roadside strips, including Alma Street, Embarcadero
Road, Page Mill Road, and Oregon Expressway, University Avenue; tree wells; islands and
underpasses; E1 Camino islands; and University, Midtown, and California Avenue parking
lots.
Bid Process
A notice inviting formal bids for landscape maintenance and tennis court cleaning services
were sent on March 11, !998 to thirteen contractors. Interested contractors were invited to
bid on either or both landscape maintenance and tennis court cleaning services. The bidding
period was twenty-nine days. A pre-bid meeting was held on March 10, 1998, seven bidders
attended the meeting. Bids were received from seven qualified contractors on April 7, 1998,
as listed on the attached bid summary (Attachment A). Bids ranged from a high of
$1,671,618 to a low bid of $979,758 for landscape maintenance services for a three-year
period. Bids ranged from a high of $142,415 to a low bid of $102,450 for tennis court
cleaning services for a three-year period. Contractors not responding indicated that they
would not be competitive or were too busy.
Staff has reviewed all bids submitted and recommends that the annual, bid of $326,586 per
year for a three-year period ($979,758) submitted by Four Seasons Landscape Maintenance
Service be accepted and that Four Seasons Landscape Maintenance Service be declared the
lowest responsible bidder for landscape maintenance services. Staff also reviewed all bids
submitted for tennis court cleaning services and recommends that the bid of $32,659 per year
for a three-year period ($102,450) submitted by Zongar Johnson Construction be accepted
and that Zongar Johnson Construction be declared the lower responsible bidder. The bid for
landscape maintenance services is 3 percent below staff’s estimate of $1,009,140. The
change order amount of $97,974 equals 10 percent of the total contract, is requested to cover
unforeseen work that may develop. The bid for tennis court cleaning services is 6 percent
below staff’s estimate of $108,597. The change order amount of $10,245 equals 10 percent
of the total contract, is requested to cover unforeseen work that may develop.
Staff checked references supplied by both contractors for previous work performed and
found no significant complaints. Staff also checked with the Contractor’s State License
Board and found that both contractors have an active license on file.
CMR:255:98 Page 2 of 3
RESOURCE IMPACT
Funds for these contracts are included in the City Manager’s proposed 1998-99 budget.
Prices for the 1998-99 fiscal year will remain the same for another two-year period.
POLICY IMPLICATIONS
This recommendation is consistent with existing City policies.
ENVIRONMENTAL REVIEW
This project is categorically exempt from California Environmental Quality Act (CEQA).
ATTACHMENTS
Attachment A:
Attachment B:
Attachment C:
Bid Summary
Four Seasons Landscape Maintenance Services - Contract
Zongar Johnson Construction - Contract
PREPARED BY: Donald Piana, Park Superintendent
DEPARTMENT HEAD:
PAUL THILTGEN
DIRECTOR, COMMUNTIY SERVICES
CITY MANAGER APPROVAL:
HARRISON
Assistant City Manager
CMR:255:98 Page 3 of 3
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FORMAL CONTRACT SECTION
CONTRACT No.
(Public Work)
This Contract, number dated , is entered into by and between the City of Palo Alto, a
chartered city and a municipaFcorporation of the State of California ("City") , and Four Seasons Landsca[~e and
Maintenance, Inc., a Corporation, ("Contractor").
For and in consideration of the covenants, terms, and conditions ("the provisions") of this Contract, City and Contractor
("the parties") agree:
Term. This Contract shall commence and be binding on the parties on the Date of Execution of this Contract,
and shall expire on the date of recordation of the Notice of Substantial Completion, or, if no such notice is
required to be filed, on the date that final payment {s made hereunder, subject to the earlier termination of this
Contract. This Contract may be terminated for convenience by the City upon ten (10) days’ prior written notice.
.(3¢neral Scooe of Project and Work. Contractor shall furnish labor, services, materials and equipment in
connection With the construction of the Project and complete the Work in accordance with the covenants,
terms and conditions of this Contract to the satisfaction of City. The Project and Work is generally described
as follows:
Title of Project:
Total Bid:
Landscao~ Maintenance IFB No. 103185
$ 979,758
¢0ntract Documents. This Contract shall consist of the documents set forth below, which are on file with the
City Clerk and are hereby incorporated by reference. For the purposes of construing, interpreting and resolving
inconsistencies between and among the provisions of this Contract, these documents and the provisions
thereof are set f.orth in the following descending order of precedence.
a.This Contract.
b.Notice Inviting Formal Bids.
c.Project Specifications.
d.Drawings.
e.Change Orders.
f.Bid.
g.Supplementary Conditions.
h.’General Conditions.
i.Standard Drawings and Specifications (1992).
j.Certificate of Insurance, Performance Bond, Labor & Materials (Payment) Bond.
k.Other Specifications, or part thereof, not expressly incorporated in the Contract Specifications or the
Standard Drawings and Specifications (1992).
I.Any other document not expressly mentioned herein which is issued by City or entered into by the
parties.
CQmoensat.ion. In consideration of Contractor’s performance of its obligations hereunder, City shall pay to
Contractor the amount set forth in Contractor’s Bid in accordance with the provisions of this Contract and upon
the receipt of written invoices and all necessary supporting documentation within the time set forth in the
Contract Specifications and the Standard Drawings and Specifications (1992), or, if no time is stated, within
thirty (30) Days of the date of receipt of Contractor’s invoices.
CITY OF PALO ALTO CONTRACT SECTION 500 PAGE 1 OF 8
FORMAL CONTRACT SECTION 500
Insurance. On or before the Date of Execution, Contractor shall obtain and maintain the policies of insurance
coverage described in the Notice Inviting Forma~ Bids on terms and conditions and in amounts as may be
required by the Risk Manager. City shall not be obligated to take out insurance on Contractor’s personal
property or the personal property of any person performing labor or services or supplying materials or equipment
under the Project. Contractor shall furnish City with the certificates of insurance and with original
endorsements affecting,,,coverage required under this Contract on or before the Date of Execution. The
certificates and endorsements for each insurance policy shall be signed by a person who is authorized by that
insurer to bind coverage in its behalf. Proof of insurance shall be mailed to the Project Manager to the address
set forth in Section 15 of this Contract.
Indemnification. Contractor agrees to protect, defend, indemnify and hold City, its Council members, officers,
employees, agents and representatives harmless from and against any and all claims, demands, liabilities,
losses, damages, costs, expenses, liens, penalties, suits, or judgments, arising, in whole or in part, directly or
indirectly, at any time from any injury to or death of persons or damage to property as a result of the willful
acts or the negligent acts or omissions of Contractor, or which results from Contractor’s noncompliance with
any Law respecting the conditio.n, use, occupation or safety of the Project site, or any part thereof, or which
arises from Contractor’s failure to do anything required under this Contract or for doing anything which
Contractor is required not to do under this Contract, or which arises from conduct for which any Law may
impose strict liability on Contractor in the performance of or failure to perform the provisions of this Contract,
except as may arise from th~ sole willful acts or negligent acts or omissions of City or any of its Council
members, officers, employees, agents or representatives. ~This indemnification shall extend to any and all
claims, demands, or liens made or filed by reason of any work performed by Contractor under this Contract
at any time during the term of this Contract, or arising thereafter.
To the extent Contractor will use hazardous materials in connection with the execution of its obligations under
this Contract, Contractor further expressly agrees to protect, indemnify, hold harmless and defend City, its City
Council members, officers and employees from and against any and all claims, demands, liabilities, losses,
damages, costs, expenses, liens, penalties, suits, or judgments City may incur, arising, in whole or in part, in
connection with or as a result of Contractor’s willful acts or negligent acts or omissions under this Contract,
under the Comprehensive Environmental Response, Compensation and Liability Act (42 U.S.C. § §9601-6975,
as amended); the Resource Conservation and Recovery Act (42 .U.S.C. § §6901-6992k, asamended); the Toxic
Substances Control Act (15 U.S.C. § §2601-2692, as amended); the Carpenter-Presley-Tan.ner Hazardous
Substance Account Act (Health & Safety Code, § §25300-25395, as amended); the Hazardous Waste Control
Law (Health & Safety Code, § §25100-25250.25, as amended); the Safe Drinking Water and Toxic Enforcement
Act (Health & Safety Code, §§25249.5-25249.13, as amended); the Underground Storage of Hazardous
Substances Act (Health & Safety Code, § §25280-25299.7, as amended); or under any other local, state or
¯ federal law, statute or ordinance, or at common law.
Assumption .Q~ Ri~k. Contractor agrees to voluntarily assume any and all risk of loss, damage, or injury to the
property of Contractor which may occur in, on, or about the Project site at any time and in any manner,
excepting such loss, injury, or damage as may be caused by the sole willful act or negligent act or omission
of City or any of its Council members, officers, employees, agents or representatives.
CITY OF PALO ALTO CONTRACT SECTION 500 PAGE 2 OF 8
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10.
11.
FORMAL CONTRACT SECTION 500
Waiver. The acceptance of any payment or performance, or any part thereof, shall not operate as a waiver
by City of its rights under this Contract. A waiver by City of any breach of any part or provision of this
Contract by Contractor shall not operate as a waiver or continuing waiver of any subsequent breach of the
same or any other provision, nor shall any custom or practice which may arise between the parties in the
administration of any part or provision of this Contract be construed to waive or to lessen the right of City to
insist upon the performan~ce of Contractor in strict compliance with the covenants, terms and conditions of this
Contract.
Compliance with Laws. Contractor shall comply with all Laws now in force or which may hereafter be in force
pertaining to the Project and Work and this Contract, with the requirement of any bond or fire underwriters or
other similar body now or hereafter constituted, with any discretionary license or permit issued pursuant to any
Law of any public agency or official as well as with any provision of all recorded documents affecting the
Project site, insofar as any are required by reason of the use or occupancy of the Project site, and with all Laws
pertaining to nondiscrimination and affirmative action in employment and hazardous materials.
Bonds. As a condition precedent to City’s obligation to pay compensation to Contractor, and on or before the
Date of Execution, Contractor shall furnish to the Project Manager the Bonds as required under the Notice
Inviting Formal Bids.
Reoresentations and Warranties. In the supply of any materials and equipment and the rendering of labor and
services during the course and scope of the Project and Work, Contractor represents and warrants:
Any materials and equipment which shall be used during the course and scope of the Project and Work
shall be vested in Contractor;
Any materials and equipment which shall be used during the course and scope of the Project and Work
shall be merchantable and fit to be used for the particular purpose for which the materials are required;
Any labor and services rendered and materials and equipment used or employed during the course and
scope of the Project and Work shall be free of defects in workmanship for a period of one (li year after
the recordation of the Noticeof Substantial Completion, or, if no such notice is required to be filed,
on the date that final payment is made hereunder;
Any manufacturer’s warranty obtained by Contractor shall be obtained or shall be deemed obtained
by Contractor for and in behalf of City.
eo Any information submitted by Contractor prior to the award of Contract, or thereafter, upon request,
whether or not submitted under a continuing obligation by the terms of the Contract to do so, is true
and correct at the time such information is submitted or made available to the City;
Contractor has not colluded, conspired, or agreed, directly or indirectly, with any person in regard to
the terms and conditions of Contractor’s Bid, except as may be permitted by the Notice Inviting Formal
Bids;
go Contractor has the power and authority to enter into this Contract with City, that the individual
executing this Contract is duly authorized to do so by appropriate resolution, and that this Contract
shall be executed, delivered and performed pursuant to the power and authority conferred upon the
person or persons authorized to bind Contractor;
h°
CITY OF
Contractorhasnotmadeana~empttoexertundueinfluence withthePurchasing ManagerorPr~ect
PALO ALTO CONTRACT SECTION 500 PAGE 3 OF 8
12,
13.
14.
15.
FORMAL CONTRACT SECTION 500
Manager or any other person who has directly contributed to City’s decision to award the contract to
Contractor;
There are no unresolved claims or disputes between Contractor and City which would materially affect
Contractor’s ability to perform under the Contract;
Contractor has furnished and will furnish true and accurate statements, records, reports, resolutions,
certifications, and other written information as may be requested of Contractor by City from time to
time during the term of this Contract;
Contractor and any person performing labor and services under this Project are duly licensed by the
State of California a.s required by california Business & Professions Code Section 7028, as amended;
and
Contractor has fully examined and inspected the Project site and has full knowledge of the physical
conditions of the Project site.
Assignment. This Contract and the performance required hereunder is personal to Contractor, and it shall not
be assigned by Contractor. Any attempted assignment shall be null and void.
Claims of Contractor. All claims pertaining to extra work, additional charges, or delays within the Contract
Time or other disputes arising out of the Contract shall be submitted by Contractor to City in writing by
certified or registered mail within ten (10) Days after the claim arose or within such other time as may be
permitted or required by law, and shall be described in sufficient detail to give adequate notice of the substance
of the claim to City.
Audits bv City. During the term of this Contract and for a period of not less than three (3) years after the
expiration or earlier termination of this Contract, City shall have the right to audit Contractor’s Project-related
and Work-related writings and business records, as such terms are defined in California Evidence Code Sections
250 and 1271, as amended, during the regular business hours of Contractor, or, if Contractor has no such
hours, during the regular business hours of City.
Notices. All agreements, appointments, approvals, authorizations, claims, demands, Change Orders, consents,
designations, notices, offers, requests and statements given by either party to the other shall be in writing and
shall be sufficiently given and served upon the other party if (1) personally served, (2) sent by the United States
mail, postage prepaid, (3) sent by private express delivery service, or (4) in the case of a facsimile transmission,
if sent to the telephone FAX number set forth below during regular business hours of the receiving party and
followed within two (2) Days by delivery of a hard copy of the material sent by facsimile transmission, in
accordance with (1), (2) or (3) above. Personal service shall include, without limitation, service by delivery and
service by facsimile transmission.
To City:City of Palo Alto
City Clerk
250 Hamilton Avenue
P.O. Box 10250
Palo Alto, CA 94303
CITY OF PALO ALTO CONTRACT SECTION 500 PAGE 4 OF 8
FORMAL CONTRACT SECTION
Copy to:
To Contractor:
City of Palo Alto
Community Services Department
250 Hamilton Avenue
P.O. Box 10250
Palo Alto, CA 94303
Phone: (650) 496-6962
FAX: (650) 496-5925
ATTN.: Don Piana, Project Manager
Four Seasons Landscape & Maintenance, Inc.
3570 Haven Avenue
Redwood City, CA. 94063 ..
Phone:
FAX:
ATTN.: .inn I inn
16.
17.
Appropriation of City Funds. This Contract is subject to the fiscal provisions of Article III, Section 12 of the Charter
of the City of Palo Alto. Any charges hereunder for labor, services, materials and equipment may accrue only after
such expenditures have been approved in advance in writing in accordance with applicable Laws. This Contract
shall terminate without penalty (I) at the end of any fiscal year in the event that funds are not appropriated for the
following fiscal year, or (ii) at any time within a fiscal year in the event that funds are only appropriated for a portion
of the fiscal year and funds for this Contract are no longer available. This Section 16 shall control in the event of
a conflict with any other provision of this Contract.
Miscellaneous
Bailee Disclaimer. The panes understand and agree that City does not purport to be Contractor’s bailee,
and City is, t.herefore, not responsible for any damage to the personal property of Contractor.
Consent. Whenever in this Contract the approval or consent of a party is required, such approval or
consent shall be in writing and shall be executed by a person having the express authority to grant such
approval or consent.
Controlling Law. The parties .agree that this Contract shall be governed and construed by and in
accordance with the Laws of the State of California.
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Definitions. The definitions and terms set forth in Section 1 of the Standard Drawings and Specifications
(1992) of this Contract are incorporated herein by reference.
Force Majeure..Neither party shall be deemed.to be in default on account of any delay or failure to perform
its obligations under this Contract which directly results from an Act of God or an act of a superior
governmental authority.
CITY OF PALO ALTO CONTRACT SECTION 500 PAGE 5 OF 8
FORMAL CONTRACT SECTION 500
Headings. The paragraph headings are not a part of this Contract and shall have no effect upon the
construction or interpretation of any part of this Contract.
Incorporation of Documents. All documents constituting the Contract documents described in Section 3
hereof and all do~cuments which may, from time to time, be referred to in any duly executed amendment
hereto are by such reference incorporated in this Contract and shall be deemed to be part of this Contract.
Integration. This Contract and any amendments hereto between the parties constitute the entire
agreement between the parties concerning the Project and Work, and there are no other prior oral or
written agreements between the parties that are not incorporated in this Contract.
Modification of Agreement. This Contract shall not be modified or be binding upon the parties, unless such
modification is agreed to in writing and signed, by the parties.
Provision. Any agreement, covenant, condition, clause, qualification, restriction, reservation, term or other
stipulalJon in the Contract shall define or otherwise control, establish, or limit the performance required or
per~tted or to be required of or permitted by either party. All provisions, whether covenants or conditions,
shall be deemed to be both covenants and conditions.
Resolu~on. Contractor shall submit with its Bid a copy of any corporate or partnership resolution or other
writing, which authorizes any director, officer or other employee or partner to act for or in behalf of
Contractor or which authorizes Contractor to enter into this Contract.
Severability. If a court of competent jurisdiction finds or rules that any provision of this Contract is void or
unenforceable, the provisions of this Contract not so affected shall remain in full force and effect.
Status of Contractor. In the exercise of rights and obligations under this Contract, Contractor acts as an
independent contractor and not as an agent or employee of City. Contractor shall not be entitled to any
rights and benefits accorded or accruing to the City Council members, officers or employees of City, and
Contractor expressly waives any and all claims to such rights and benefits.
Successors and Assigns. The provisions of this Contract shall inure t’o the benefit of, and shallapply to
and bind, the successors and assigns of the parties.
Time of the E~sence. Time is of the essence of this Contract and each of its provisions. In the calculation
of lime hereunder, the time in which an act is to be performed shall be computed by excluding the first Day
and including the last. If the time in which an act is to be performed falls on a Saturday, Sunday, or any
Day observed as a legal holiday by City, the time for performance shall be extended to the following
Business Day.
Venue. in the event that suit is brought by either party hereunder, the parties agree that trial of such action
shall be vested exclusively in the state courts of California in the County of Santa Clara in the City of San
Jose or in the United States District Court for the Northern District of California in the City of San Jose.
Recovery of costs. The prevailing party in any action brought to enforce the terms of this Contract or
arising out of this Contract may recover its reasenab~e costs, including reasonable attorney’s fees, incurred
or expended in connection with such action against the non-prevailing party.
CITY OF PALO ALTO CONTRACT SECTION 500 PAGE 6 OF 8
FORMAL CONTRACT SECTION
IN WITNESS WHEREOF, the parties have by their duly appointed representatives executed this Contract in the
city of Palo Alto, County of Santa Clara, State of California on the date first stated above.
ATTEST:CITY OF PALO ALTO
City Clerk
APPROVED:
City Manager
Director of Community Services
Director of Administrative Services "
By:
Its: Mayor
CONTRACTOR:
Title:
Taxpayer I.D. No.:
Manager, Contract Administration
(insurance review)
APPROVED AS TO FORM:
Senior Asst.. City Attorney
CITY OF PALO ALTO CONTRACT SECTION 500 PAGE 7 OF 8
FORMAL CONTRACT SECTION 500
CERTIFICATE OF ACKNOWLEDGMENT
(Civil Code § 1189)
)
)
, before me, /~t-~,- ¢’. ~’(~M~/~/~-, a notary public in and
personally known to me (or proved to me.on the basis of satisfactory evidence) to be the person(s) whose
name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the
same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the
person(s), or the entity upon behalf of which the person(s) acted, executed the instrument.
WITNESS my hand and official seal.
Signature /~~~/~~(Seal)AR]HUR V.HEI~NANDE-Z
Commlssion # 1081642
Notary Public -- CallfomklSanto Clara Counly
My Comm.Expire~ Dec
END OF SECTION
CITY OF PALO ALTO CONTRACT SECTION 500 PAGE 8 OF 8
FORMAL CONTRACT SECTION
CONTRACT No.
(Public Work)
500
This Contract, number dated , is entered into by and between the City of Palo Alto, a
chartered city and a municipal corporation of the State of California ("City"), and Zon~ar Johnson Construction, a
Corooration, ("Contractor").
For and in consideration of the covenants, terms, and conditions ("the provisions") of this Contract, City and Contractor
("the parties") agree:
Term. This Contract shall commence and be binding on the parties on the Date of Ex’ecution of. this Contract,
and shall expire on the date of recordation of the Notice of Substantial Completion, or, if no such notice is
required to be filed, on the date that final payment is made hereunder, subject to the earlier termination of this
Contract. This Contract may be terminated for convenience by the City upon ten (10) days’ prior written notice.
(~eneral .Scooe of Project and Work. Contractor shall furnish labor, services, materials and equipment in
connection with the construction of the Project and complete the Work in accordance with the covenants,
terms and conditions of this Contract to the Satisfaction of City. The Project and Work is generally described
as follows:
Title of Project:
Total Bid:
Landscaoe Maintenance IFB No. 103185
~ 102,45Q
.Contract Documents. This. Contract shall consist of the documents set forth below, which are on file with the
City Clerk and are hereby incorporated by reference. For the purposes of construing, interpreting and resolving
inconsistencies between and among the provisions of this Contract, these documents and the provisions
thereof are set forth in the following descending order of precedence.
g.
h.
i.j.
k.
This Contract.
Notice Inviting Formal Bids.
Project Specifications.
Drawings.
Change Orders.
Bid.
Supplementary Conditions.
General Conditions.
Standard Drawings and Specifications (1992).
Certificate of Insurance, Performance Bond, Labor & Materials (Payment) Bond.
Other Specifications, or part thereof, not expressly incorporated in the Contract Specifications o~ the
Standard Drawings and Specifications (1992).
Any other document not expressly mentioned herein which is issued by City or entered into by the
parties.
¢omoensation. In consideration of Contractor’s performance of its obligations hereunder, City shall pay to
Contractor the amount set forth in Contractor’s Bid in accordance with the provisions of this Contract and upon
the receipt of written invoices and all necessary supporting documentation within the time set forth in the
Contract Specifications and the Standard Drawings and Specifications (1992), or, if no time is stated, within
thirty (30) Days of the date of receipt of Contractor’s invoices.
CITY OF PALO ALTO CONTRACT SECTION 500 PAGE 1 OF 8
FORMAL CONTRACT SECTION 500
Insurance. On or before the Date of Execution, Contractor shall obtain and maintain the policies of insuranCe
coverage described in the Notice Inviting Formal Bids on terms and conditions and in amounts as may be
required by the Risk Manager. City shall not be obligated to take out insurance on Contractor’s personal
property or the personal property of any person performing labor or services or supplying materials or equipment
under the Project. Contractor shall furnish City with the certificates of insurance and with original
endorsements affecting’coverage required under this Contract on or before the Date of Execution. The
certificates and endorsements for each insurance policy shall be signed by a person who is authorized by that.
insurer to bind coverage in its behalf. Proof of insurance shall be mailed to the Project Manager to the address
set forth in Section 15 of this Contract.
Indemnifi~al;ion. Contractor agrees to protect, defend, indemnify and hold City, its Council members, officers,
employees, agents and representatives harmless from and against any and all claims, demands, liabilities,
losses, damages, costs, expenses, liens, penalties, suits, or judgments, arising, in whole or in part, directly or
indirectly, at any time from any injury to or death of persons or damage to property as a result of the willful
acts or the negligent acts or omissions of Contractor, or which results from Contractor’s noncompliance with
any Law respecting the condition, use, occupation or safety of the Project site, or any part thereof, or which
arises from Contractor’s failure to do.anything required under this Contract or for doing anything which
Contractor is required not to do under this Contract, or which arises from conduct for which any Law may
impose strict liability on Contractor in the performance of or failure to perform the provisions of this Contract,
except as may arise from the sole willful acts or negligent acts or omissionsof City or any of its Council
members, officers, employees, agents or representatives. This indemnification shall extend to any and all
claims, demands’, or liens made or filed by reason of any work performed by Contractor under this Contract
at any time during the term of this Contract, or arising thereafter.
To the extent Contractor will use hazardous materials in connection with the execution of its obligations under
this Contract, Contractor further expressly agrees to protect, indemnify, hold harmless and defend City, its City
Council members, officers and employees from and against any and all claims, demands, liabilities, losses,
damages, costs, expenses, liens, penalties, suits, or judgments City may incur, arising, in whole or in part, in
connection with or as a result of Contractor’s willful acts or negligent acts or omissions under this Contract,
under the Comprehensive Environmental Response, Compensation and Liability Act (42 U.S.C. § §9601-6975,
as amended); the Resource Conservation and Recovery Act (42 U.S.C. § §6901-6992k, as amended); the Toxic
Substances Control Act (15 U.SoC. § §2601-2692, as amended); the Carpenter-Presley-Tanner Hazardous
Substance Account Act (Health & Safety Code, § §25300-25395, as amended); the Hazardous Waste Control
Law (Health & Safety Code, § §25100-25250.25, as amended); the Safe Drinking Water and Toxic Enforcement
Act (Health & Safety Code, § §25249.5-25249.13, as amended); the Underground Storage of Hazardous
Substances Act (Health & Safety Code, § §25280-25299.7, as amended); or under any other local, state or
federal law, statute or ordinance, or at common law.
Assumption of Ri~k. Contractor agrees to voluntarily assume any and all risk of loss, damage, or injury to the
property of Contractor which may occur in, on, or about the Project site at any time and in any manner,
excepting such loss, injury, or damage as may be caused by the sole willful act or negligent act or omission
of City or any of its Council members, officers, employees, agents or representatives.
CITY OF PALO ALTO CONTRACT SECTION 500 PAGE 2 OF 8
10.
FORMAL CONTRACT SECTION 50O
~. The acceptance of any payment or performance, or any part thereof, shall not operate as a waiver
by City of its rights under this Contract. A waiver by City of any breach of any part or provision of this
Contract by Contractor shall not operate as a waiver or continuing waiver of any subsequent breach of the
same or any other provision, nor shall any custom or practice which may arise between the parties in the
administration of any part or provision of this Contract be construed to waive or to lessen the right of City to
insist upon the performmTce of Contractor in strict compliance with the covenants, terms and conditions of this
Contract.
(;QmDliance with Laws. Contractor shall comply with all Laws now in force or which may hereafter be in force
pertaining to the Project and Work and this Contract, with the requirement of any bond or fire underwriters or
other similar body now or hereafter constituted, with any discretionary license or permit issued pursuant to any
Law of any public agency or official as well as with any provision of all recorded documents affecting the
Project site, insofar as any are required by reason of the use or occupancy of the Project site, and with all Laws
pertaining to nondiscrimination and affirmative action in employment and hazardous materials.
Bonds. As a con~lition precedent to City’s obligation to pay compensation to Contractor, and on or before the
Date of Execution, Contractor shall furnish to the Project Manager the Bonds as required under the Notice
Inviting Formal Bids.
Representations and Warranties. In the supply of any materials and equipment and the rendering of labor and
services during the course and scope of the Project and Work, Contractor represents and warrants:
Any materials and equipment which shall be used during the course and scope of the Project and Work
shall be vested in Contractor;
Any materials and equipment which shall be used during the course and scope of the Project and Work
shall be merchantable and fit to be used for the particular purpose for which the materials are required;
Any labor and services rendered and materials and equipment used or employed during the course and
scope of the Project and Work shall be free of defects in workmanship for a period of one (1) year after
the recordation of the Notice of Substantial Completion, or, if no such notice is required to be filed,
on the date that final payment is made hereunder;
Any manufacturer’s warranty obtained by Contractor shall be obtained or shall be deemed obtained
by Contractor for and in behalf of City.
Any information submitted by Contractor prior to the award of Contract, or thereafter, upon request,
whether or not submitted under a continuing obligation by the terms of the Contract to do so, is true
and correct at the time such information is submitted or made available to the City;
Contractor has not colluded, conspired, or agreed, directly or indirectly, with any person in regard to
the terms and conditions of Contractor’s Bid, except as may be permitted by the Notice Inviting Formal
Bids;
Contractor has the power and authority to enter into this Contract with City, that the individual
executing this Contract is duly authorized to do so by appropriate resolution, and that this Contract
shall be executed, delivered and performed PUrsuant to the power and authority conferred upon the
person or persons authorized to bind Contractor;
h.Contractor has not made an attempt to exert undue influence with the Purchasing Manager or Project
CITY OF PALO ALTO CONTRACT SECTION 500 PAGE 3 OF 8
12.
13.
14.
15.
FORMAL CONTRACT SECTION 500
Manager or any other person who has directly contributed to City’s decision to award the contract to
Contractor;
jo
There are no unresolved claims or disputes between Contractor and City which would materially affect
Contractor’s ability to perform under the Contract;
Contractor has furnished and will furnish true and accurate statements, records, reports, resolutions,
certifications, and other written information as may be requested of Contractor by City from time to
time during the term of this Contract;
Contractor and any person performing labor and services under this Project are duly licensed by the
State of California as required by California Business & Professions Code Section 7028, as amended;
and
Contractor has fully examined and inspected the Project site and has full knowledge of the physical
conditions of the Project si:te.
Assianment. This Contract and the performance required hereunder is personal to Contractor, and it shall not
be assigned by Contractor. Any attempted assignment shall be null and void.
Claims of Contractor. All claims pertaining to extra work, additional charges, or delays within the Contract
Time or other disputes arising out of the Contract shall be submitted by Contractor to City in writing by
certified or registered mail within ten (10) Days after the claim arose or within such other time as may be
permitted or required by law, and shall be described in sufficient detail to give adequate notice of the Substance
of the claim to City.
Audits bv City. During the term of this Contract and for a period of not less than three (3) years after the
expiration or earlier termination of this Contract, City shall have the right to audit Contractor’s Project-related
and Work-related writings and business records, as such terms are defined in California Evidence Code Sections
250 and 1271, as amended, during the regular business hours of Contractor, or, if Contractor has no such
hours, during the regular business hours of City.
Notices. All agreements, appointments, approvals, authorizations, claims, demands, Change Orders, consents,
designations, notices, offers, requests and statements given by either party to the other shall be in writing and
shall be sufficiently given and served upon the other party if (1) personally served, (2) sent by the United States
mail, postage prepaid, (3) sent by private express delivery service, or (4) in the case of a facsimile transmission,
if sent to the telephone FAX number set forth below during regular business hours of the receiving .party and
followed within two (2) Days by delivery of a hard copy of the material sent by facsimile transmission, in
accordance with (1), (2) or (3) above. Pers.onal service shall include, without limitation, service by delivery and
service by facsimile transmission.
To City:City of Palo Alto
City Clerk
250 Hamilton Avenue
P.O. Box 10250
Palo Alto, CA 94303
CITY OF PALO ALTO CONTRACT SECTION 500 PAGE 4 OF 8
FORMAL CONTRACT SECTION 5OO
Copy to:
To Contractor:
City of Palo Alto
Community Services Department
250 Hamilton Avenue
P.O. Box 10250
Palo Alto, CA 94303
Phone: (650) 496-6962
FAX: (650) 496-5925
ATTN.: Don Piana, Project Manager
Zon.qar Johnson Construction
1650 Meadowlark Lane
Sunnyvale, CA. 94087
16.
17.
Appropriation of City Funds. This Contract is subject to the fiscal provisions of Article III, Section 12 of the Charter
of the City of Palo Alto. Any charges hereunder for labor, services, materials and equipment may accrue only alter
such expenditures have been approved in advance in writing in accordance with applicable Laws. This Contract
shall terminate without penalty (I) at the end of any fiscal year in the event that funds are not appropriated for the "
following fiscal year, or (ii) at any time within a fiscal year in the event that funds are’only appropriated for a portion
of the fiscal year and funds for this Contract are no longer available. This Section 16 shall control in the event of
a conflict with any other provision of this Contract.
Miscellaneous.
Bailee Disclaimer. The parties understand and agree that City does not purport to be Contractor’s bailee,
and City is, therefore, not responsible for any damage to the personal property of Contractor.
Consent. Whenever in this Contract the approval or consent of a party is required, such approval or
consent shall be in writing and shall be executed by a person having the express authority to grant such
approval or consent.
Controlling Law. The parties agree that this Contract shall be governed and construed by and in
accordance with the Laws of the State of California.
Definitions. The definitions and terms set forth in Section 1 of the Standard Drawings and Specifications
(1992) of this Contract are incorporated herein by reference.
Force Majeure. Neither party shall be deemed to be in default on account of any delay or failure to perform
its obligations under this Contract which directly results from an Act of God or an act of a superior
governmental authority.
CITY OF PALO ALTO CONTRACT SECTION 500 PAGE 5 OF 8
FORMAL CONTRACT SECTION 500
Headings. The paragraph headings are not a part of this Contract and shall have no effect upon the
construction or interpretation of any part of this Contract.
Incorporation of Documents. All documents constituting the Contract documents described in Section 3
hereof and all documents which may, from time to time, be referred to in any duly executed amendment
hereto are by such reference incorporated in this Contract and shall be deemed to be part of this Contract.
Integration. This Contract and any amendments hereto between the parties constitute the entire
agreement between the parties concerning the Project and Work, and there are no other prior oral or
written agreements between the parties that are not incorporated in this Contract.
Modification of Agreement. This Contract shall not be modified or be binding upon the parties, unless such
modification is agreed to in writing and signed by the parties.
Provision. Any agreement, covenant, condifion, clause, qualification, restriction, reservation, term or other
stipulation .in the Contract shall define or otherwise control, establish, or limit the performance required or
permitted or to be required of or permitted by either party. All provisions, whether covenants or conditions,
shall be deemed to be both covenants and conditions.
Resolution. Contractor shall submit with its Bid a copy of any corporate or partnership resolution or other
writing, which authorizes any director, officer or other employee or partner to act for or in behalf of
Contractor or which authorizes Contractor to enter into this Contract.
Severability. If a court of competent jurisdiction finds or rules that any provision of this Contract is void or
unenforceable, the provisions of this Contract not so affected shall remain in full force and effect.
Status of Contractor. In the exercise of rights and obligations under this Contract, Contractor acts as an
independent contractor and not as an agent or employee of City. Contractor shall not.be entitled to any
rights and benefits accorded or accruing to the City Council members, officers or employees of City, and
Contractor expressly waives any and all claims to such rights and benefits.
Successors and Assigns. The provisions of this Contract shall inure to the benefit of, and shall apply to
and bind, the successors and assigns of the parties.
Time of the Essence. Time is of the essence of this Contract and each of its provisions. In the calculation
of time hereunder, the time in which anact is to be performed shall be computed by excluding the first Day
and including the last. Ifthe time in which an act is to be performed falls on a Saturday, Sunday, or any
Day observed as a legal holiday by City, the time for performance shall be extended to the following
Business Day.
Venue. In the event that suit is brought by either party hereunder, the parties agree that trial of such action
shall be vested exclusively in the state courts of California in the County of Santa Clara in the City of San
Jose or in the United States District Court for the Northern District of California in the City of San Jose.
Recovery of costs. The prevailing party in any action brought to enforce the terms of this Contract or
arising out of this Contract may recover its reasonable costs, including reasonable attorney’s fees, incurred
or expended in connection with such action against the non-prevailing party.
CITY OF PALO ALTO CONTRACT SECTION 500 PAGE 6 OF 8
FORMAL CONTRACT SECTION 500
IN WITNESS WHEREOF, the parties have by their duty appointed representatives executed this Contract in the
city of Palo Alto, County of Santa Clara, State of California on the date first stated above.
ATTEST:
City Clerk
CITY OF PALO ALTO
By:
Its: Mayor
APPROVED:CONTRACTO
City Manager
Director of Community Services
Director of Administrative Services
-Manager, Contract Administration
(insurance review)
APPROVED AS TO FORM:
Senior Asst.. City Attorney
CITY OF PALO ALTO CONTRACT SECTION 500 PAGE 7 OF 8
FORMAL CONTRACT SECTION 500
CERTIFICATE OF ACKNOWLEDGMENT
(Civil Code § 1189)
for said Cou~y, personally appeared, .me,, a notary public in and
pe~nnallv_known tr~ ~ (or proved t~ o me on the basis of satisfactory evidence) t~e the person~) whose
name(~r~subscribed to the within instrument and ackn~edged to me tha~~ executed the
same ~~ir authorized capacity(i~), and that by~s~signature~ on the instrument the
person~, or the entity upon behalf of which the person~) acted, executed the instrument.
WITNESS my hand and official seal.~--~ = -- --~£;c,ol -- = ~~ ~1" "~¢~k Commission # 1167564 ~
Signature ,(Seal) I ~MyComm.~D~re~Jan31,~2~
END OF SECTION
CITY OF PALO ALTO CONTRACT SECTION 500 PAGE 8 OF 8