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HomeMy WebLinkAbout2003-12-01 City Council (4)City of Palo Alto City Manager’s Report TO:HONORABLE CITY COUNCIL FROM: DATE: SUBJECT: DECEMBER 1, 2003 APPROVAL OF CHANGE CITY MANAGER DEPARTMENT: COMMUNITY SERVICES CMR: 532:03 ORDER NO. 1 TO CONTRACT NO. C3141079 WITH NORTHWEST WOODLAND SERVICES, INC. IN AN AMOUNT NOT TO EXCEED $12,634 TO PROVIDE ADDITIONAL TRAIL REPAIRS AND IMPROVEMENTS AT ARASTRADERO PRESERVE RECOMMENDATION Staff recommends that Council approve and authorize the City Manager or his designee to negotiate and execute a change order to the contract with Northwest Woodland Services, Inc. to provide additional trail repairs and improvements to remedy trail tread stability and drainage problems, the total value of which shall not exceed $12,634. This change order amount is an increase to the original approved contract change order authority, bringing the total change order authority to $32,449, which represents 33 percent of the contract amount. BACKGROUND In May 2001, Council approved the Arastradero Preserve Trail Master Plan (CMR: 231:01). In order to implement the Master Plan, Council approved a contract with Northwest Woodland Services, Inc. in September 2002 (Attachment A). The scope of work included: filling ruts along the trail tread; re-sloping and re-grading to provide proper drainage and safe access; installing culverts and drain dips to move water off the trails; installing retaining walls and structures necessary to prevent erosion; and rerouting inappropriately sited sections-of trails and restoration of abandoned and renegade trail routes. The original contract amount was $99,075, with change order authority of $19,815. DISCUSSION Construction on this project started in late September 2002. During construction, errors in the bid package were discovered, such that the reconstruction costs of six trails were underestimated by $12,857. During December and April of 2002-03, rainfall was three CMR:532:03 Page 1 of 3 time above average. These intense periods of rain washed out newly rocked sections of trails, culverts and other structures and identified unforeseen drainage problems that resulted in most seasonal trails being closed for up to 130 days. Sections of trails located at the top and mid slope of ridges dried out quickly while sections of the same trails at the base of slopes or those that crossed drainages remained wet and muddy all winter, requiring the entire trail to remain closed to public access. Emergency repairs where made during a short construction window to correct the damage done by these storms and drainage problems, and allow the trails to be opened for safe usage. These emergency improvements resulted in overages of $26,508. Savings in other areas of the contract reduced total overages to $11,134 over the contract amount. Additional grading and compaction will need to be completed during the winter of 2003-04 to prevent further erosion. This work is anticipated to cost $1,500, and was unforeseen. RESOURCE IMPACT Funds for the change order are available in Capital Improvement Project 10001, Open Space Trails. All funds for this project up to a maximum of $225,000 will be reimbursed by the State of California Department of Parks and Recreation from an approved Non- motorized Trail grant. POLICY IMPLICATIONS This recommendation does not represent any change to existing City policies. Improvement of approved trails and closure of renegade trails is consistent with Comprehensive Plan Policy N- 1: Manage existing public open space areas and encourage the management of private open space areas in a manner that meets habitat protection goals, public safety concerns, and low impact recreation needs. ENVIRONMENTAL REVIEW All work proposed under this contract was recommended in the Arastradero Preserve Trail Master Plan. The Master Plan, together with findings for a mitigated negative declaration, were reviewed and adopted by Council on May 14, 2001 in accordance with California Environmental Quality Act (CEQA) guidelines. ATTACHMENTS Attachment A:Contract CMR 381:02 CMR:532:03 Page 2 of 3 PREPARED BY: LESTER HODGINS Supervisor, Open Space DEPARTMENT HEAD: "PAUL THILTGEN ~ t’ Director, Community Service Department CITY MANAGER APPROV~ :@. EM~Y HAR~SON Assistant City Manager CMR:532:03 Page 3 of 3 TO: FROM: City of Palo C ty Manager’s Report 8 ’HONORABLE C1TY COUNCIL i .CITY MANAGER DEPARTMEh~: COMMUNITY SERVICES DATE:SEPTEMBER 9, 2002 CMR: 381:02 SUBJECT:APPROVAL OF A CONTRACT "6rlTH NORTItSVEST WOODLAND SERXrICES, INC. LN AN AMOUNVr NOT TO EXCEED $118,890 FOR ARASTRADERO PRESERVE TRAIL IMPROX~MENTS AND INSTALLATION OF FIXTURES RECOMMEh~ATION Staff recommends that Council: 1.Approve and authorize the Mayor to execute the attached contract with NOl@West Woodland Services, Inc. in the anaount of $99,,075 for the repair and rerouting of trails; instaiIation df trail f~x~mres and restoration of abandoned trail routes in the Arastradero Preserve. Authorize the City Manager or his designee to negotiate and execute one or more change orders to the contract with Nor~west Woodland Services, Inc. for related, additional but unforeseen work which may develop during the project, the total value of which shall not exceed $19,815. DISCUSSION Prqiect Description The work to be perforated under the contract is for the implementation of the Arastradero Preserve Trail Master Plan, which was approved by Council on May 14, 2001 (CMR: 231:01). The scope of work includes filling ruts along the trail .tread, re-sl0ping and re- wading trails to provide proper da’ainage and safe access, installing water bars and drain dips to move water off the trai! surface, .insta!ling retaining walls and other structures necessmD,, to prevent erosion, and re-routffag sections of the Redtail Hawk Loop Trail and .Meadowlark Trail that are Inappropriately sited. After trail treads have been repaired and properly sloped, the contractor will restore renegade trails that have been abandoned. The resulting trail system will provide ten miles of multi-use trails for hikers, mountain bikers and equestrians. More than half of the trails in the Preserve will provide year-round -Page ! of 3 access. The rest of the trails wilt be closed seasonally after periods of heavy rainfall to prevent erosion and damage to the trail tread. Bid Process A notice inviting formal bids for the Arastradero Preserve Trail Improvement project was sent on July 9, 2002 to 21 trail building contractors. The bidding period was 21 days. A pre-bid meeting was not mandatory for this project. Bids were received from 3 qualified contractors on July .30, 2002, as listed on the attached bid summary (Attachment A). Bids ranged from a hip of $179,742 to a low bid of $99,075. Contractors not ¯ ~._responding indicated that they did not submit a bid beeanse, !) they were too busy to perform the work, or 2) the project was too far away. Staff has reviewed a!l bids submitted and recommends that the bid of $99,075 submitted by Northwest Woodland Services, Inc. be accepted and that Northwest Woodland Services, Inc. be declared the lowest responsible bidder. The .bid is 30 percent-below the estimate of$!30i000 developed by the consultant who prepared the trail master plan. A contingency amount of $19,815, which equals 20 percent of the total contract, is requested. This unusually large contingency amount is suggested because of many possible variables in accomplishing the work needed to restore trails in the Preserve. including weather, unexpected soil conditions; and plants or animals of concern discovered during pre- construction bioioNcal surveys which cause rer0uting of trail paths. Contingency funds will also be. necessary for restoration of abandoned trail seg-ments, although it is difficult to determine the scope of work for these restoration projects at this time. Staff checked references supplied by thecontractor for previous work performed and found no complaints. The contractor is licensed with the Oregon Contractor’s State License Board and is provisionally Iicensed to work in California. No special work permits are required for *dais project. RESOURCE iI~i~PACT Funds are available in Capital Improvement Project 10001, Open Space Trails. All funds for this project up to a maximum of $225,000 will .be reimbursed by the State of California Department of Parks .and Recreation from an approved Non-Motorized Trail POLICY IMPLICATIONS This recommendation does not represent a~ay change to existing Ci>y policies. Improvement of approved trails and closure of renegade trails is consistent with Comprehensive Plan Policy N- 1: Manage existing punic open space areas and encourage the management of private open space areas in a manner that meets habitat protection goals, public safety concerns, and low impact recreation needs. CMlt3 81:02 Page 2 of 3 ENVIRONMENTAL REVIEW All work proposed under this contract was recommended in the Arastradero Preserve Trail Master Plan. The Trail Master Plan, together with findings for a mitigated negative declaration, were reviewed and adopted by Comacil on May 14, 2001 in accordance .with California Environmental Quality Act (CEQA) g~aidelines. ATTACttMENTS Attachment A: Attachment B: PREPARED BY: Bid Summary Contract Superintendent, Open Space & Sciences DEPARTh/-~NT HEAD: Director,Department CITY MANAGER APPROVAL: HARRISON Assistant City Manager CM~:381:02 Page 3 of 3 BID S LvlVEVLA~Y Proj ect Title: Arastradero Preserve Trail Improvement Proj ect Bid Opening: July 30, 2002 at 3:00 p.m. Mr. Dennis Smith . Northwest Woodland Services, Inc Boring, Oregon Mr. Roger Bell Bellfree Construction, Inc. Redlands, California Mr. Ken Baug_lmaan Yakima Construction, Inc. Medford, Oregon Patrick Roe Roe Construction Truckee, Cahfomia 96162 Mr. Randy Lee Hodges RL Hodges Contracting Shady Cove, Oregon 97539 Clarence McReynolds CMTB Wb_ite Bird, Idaho 83554 Yes Yes Yes No ~N~o $99,075.50 $179,742.00 $!08,413.75 No Bid No Bid " No Bid FORMAL CONTRACT SECTION 500 CONTRACT No. C3141079 Community Services Department This Contract, number C3141079 dated is entered into by and between the City of Palo Alto a chartered city and a municipal corporation of the State of California ("City"), and Northwest Woodland Services. Inc. ("Contractor"). For and in consideration of the covenants, terms, and conditions ("the provisions") of this Contract, City and Contractor ("the parties") agree: Term. This Contract shall commence and be binding on the parties on the Date of Execution of this Contract, and shall expire on the date of recordation of the Notice of Substantial Completion, or, if no such notice is required to be filed, on the date that final payment is made hereunder, subject to the eadier termination of this Contract. General Scope of Proiect and Work. Contractor shall furnish labor, services, materials and equipment in connection with the construction of the Project and complete the Work in accordance with the covenants, terms and conditions of this Contract to the satisfaction of City. The Project and Work is generally described as follows: Title of Project:Arastradero Preserve Trail Repair & Construction, IFB No. 141079 Bid:$ 99.075.50 "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 orde[ of precedence. a.This ContracL b.Invitation for Bid. c~Project Specifications. d.Drawings. el Cha.nge Orders. f.Bid. g.Supplementary Conditions. h.General Conditions. 1. ¯Standard Drawings and Specifications (!992)." 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. Com~)ensation. In consideration of Contractor’s performance of its obligations hereunder, Cit7 shall pay to Contractor the amount set forth in Contractor’s Bid in accordance with the provisions of this C0ntra&t andupon the receipt of written invoices and all necessary supporting documentation within the time s6t 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. 5o Insurance. On or before the Date of Execution, Contractor shall obtain and maintain the policies of insurance coverage described in the Invitation For Bid on terms andconditions and in amounts as may be required by the Risk Manager. City shall not be obligated to take out insurance on Contractor’s personal prope~, 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 16 of this Contract. CITY OF PALO ALTO IFB 141079 PAGE 1 OF 7 FORMAL CONTRACT SECTION 500 Indemnification. Contractor agrees to protect, defend, indemni~, 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 Contractors 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 wh!ch 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 ornegligent 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, adsing, in whole or in part, in connection with or as a result Of ContractoCs 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.S.C. ~2601-2692, as amended); the Carpenter-Presley-Tanner Hazardous Substance Account Act IHealth & 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. Assumotion of Risk. Contractor agrees to voluntarily assume any and all risk of loss, damage, or inju,3, 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. Waiver. The acceptance of any payment or performance, or any part thereof, shall qot 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..... ~ ÷,~ ,=,4 ÷ ....ai,,~ or to ;~<< n the of City to insist upon theany part or provision ot this uomract De ....S,, u .............e ....dght performance of Contractor in strict compliance with the covenants, terms and conditions of this Contract. _. No Exoneration Bv lnsoection: The City has th~ dght, but no{ the duty, to inspect Contractor’s Wo#k. The dght of inspection is solely for the benefit of City. Contractor has the obligation to complete the Work in a satisfactory manner in compliance with Contract requirements. The presence of a City inspector does not shift that obligation to the City or relieve Contractor from its obligations to complete the Work in a salJsfactory mannerin compliance with the Con.tract requirements. 10.Comuliance 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 publi~ 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 in employment and hazardous materials. 11.Bonds. As a condition precedent to City’s c~bligation to pay compensation to Contractor, and on or before the Date of Execution, C.ontractor shall furnish to the Project Manager the Bonds as required under the Invitation For Bid. 12:Reoresentations and Warranties. In the supply of any materials and equipment and the rendering of labor and CITY OF PALO ALTO IFB 141079 PAGE 2 OF 7 FORMAL CONTRACT SECTION 500 services dudng the course and scope of the Project and Work, Contractor represents and warrants: ao 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 Projectand 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 ~)btained 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 Invitation For Bid; Con~actor 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 Contractor has notmade an attempt to exert undue influence with the Purchasing Manager Or Project 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 She Contract; Contractor has furnished and will furnish true and accurate statements, records, reports, re~olutions, cert~ic~dun~, and o~er 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 13. Contractor ha~ fully examined and inspected the Prgject site and has full knowledge of the physical conditions of the Project site. - - Assinnment. 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. 14.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 C~ty. 15.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 CITY OF PALO ALTO IFB 141079 PAGE 3 OF 7 FORMAL CONTRACT SECTION 500 Sections 250 and 127!, as amended, during the regular business hours of Contractor, or, if Contractor has no such hours, during the regular business hours of City. 16.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 F[ (1) personally served, (2) sent by the United States mai!, 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 !nclude, 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 Copy to:City of Palo Alto Community Services Department 250 Hamilton Avenue Palo Alto, CA 94303 To Contractor:. Attn: Greg Botts, Project Manager Northwest Wood,and Services. Inc. 13665 S.E. Le Ann Court Bodncl. OR 97009 Attn: Dennis Smith 17. 18. AoDrooriation of City Funds. This Contract is subject to the fiscal provisions of Article 111, 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 followin~ fiscal year, or (ii) at any time within a fiscal year in the event that funds are on!y appropriated for a portion of the fiscal year and funds for this Contract are no longer available. This Section 17 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 Contractoffs bailee, and City is, therefore, not responsible for any damage to the personal property of C.ontractor. Consent. Whenever in this Contract the approval or consent of a party is required, such approval or consent shall be in wdting and shall be executed by a persori 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 ~,om, a~,tare incorporated herein by mfe~,=nSpecifications (1992) of this " ÷- ~~ ...... Force Majeure. Neither party shall be deemed to be in default on accountof 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 IFB 141079 PAGE 4 OF 7 FORMAL CONTRACT SECTION 500 f.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 documentsdescribed 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 iuco[porated 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 inthis 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 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 pa~,. 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 parbqership resolution or other writing, which authorizes any director, o~cer or other employee or partner.to act for or in behalf of Contractor or which authorizes Contractor to enter into this Contract. no 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 ber~efits accorded or accruing to the City Council members, officers or employees of City, and Contractor expressly waivesany and all claims to such rights and benefits. Successors and Assigns. The provisions of this Contract shall inure to 5he benefit of, and shall apply to and bind, the successors and assigns of the parties. Oo .p. 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 an act is to be performed shall be computed by excluding the first Day and including the last. ’~’ - ~lm~ ,, which an act is to be performed falls on a .~,u,,~y, Su,,u~=x, or any Day observed as a legal holiday by ~y, u~ ume ~or performance shall be extended to the following Business Day. Alternative.Dispute Resolution. The parties sh~ll endeavor to resolve any disputes or Claims arising out of or relating to this Contract by mediation, which, unless the padies agree otherwise, shall be conducted under the auspices of the Judicial Arbitration and Mediation Service (JAMS), San Jose, Califomia. The intent of the parties is that the .mediation.shall proceed in advanc~ of litigation; however, if any party should commence litigation before the conclusion of med!ation’, such litigation, including discovery, shall be stayed pending completion of mediation, and by executing this Contract the parties stipulate to mediation in accordance with Santa Clara County Supedor Court Local Rule 1.15 or Rule 2-3(b) of the ADR Local Rules of the U.S. District Court for the Northern District of California, as such rules may be amended from time to time. The parties shall share the cost of the mediation, including the mediator’s fee, equally. Any written agreement reacl~ed in mediation shall be enforceable pursuant to California Code of Civil Procedure § 664..6, as amended. Venue. Unless the parties mutually agree otherwise, mediation shall take place in San Jose, California. In the event that litigation is commenced by any party hereunder, the parties agree that such action shall be vested exclusively in the state courts of California in the County of Santa Clara or in the United States District Court for the Northern District of California. CITY OF PALO ALTO IFB 141079 PAGE 5 OF 7 FORMAL CONTRACT SECTION 500 r.Recovery Costs. Each Party shall bear own costs, including attorney’s fees, through theits completion of mediation. If the claim or dispute is not resolved through mediation, or if litigation is necessary to enforce a settlement reached at mediation pursuant to California Code of Civil Procedure § 664.6, as amended, then the prevailing party in any subsequent litigation may recover its reasonable costs, including attorney’s fees, incurred subsequent to conclusion of the mediation. Flow-down. Contractor agrees.to include provisions of this Contract relating to Alternative Dispute Resolution, Venue. and Recovery of Costs in any subcontracts or major matedal purchase agreements which it enters into in connection with this Contract, and to require its subcontractors to include those provisions in any sub-contracts or major material purchase agreements, such that any mediation or litigation of any claim or dispute asserted by a subcontractor or major material supplier will be consolidated with any related claim or dispute between.the Contractor and the City. Should the Contractor fail to do so, such that the City is required to defend an action brought by a subcontractor or material supplier inconsistent with the Alternative Dispute and Venue provisions of thisContract, Contractor shall indemni~ City for City’s costs of defense, including reasonable attorney’s fees. IN WITNESS WHEREOF, the parties have by their duly appointed representatives executed this Contract in the city of Paio Alto, County of Santa Clara, State of California on the date first stated above. ATTEST: City Clerk APPROVED AS TO FORM: CITY OF PALO ALTO By:. Mayor Senior Assistant City Attorney APPROVED: CONTRACTOR: Northwest Woodland Services, Inc. 13665 S.E. Le Ann Court Boring, QR 97009 Assistant City lVianager Director of Community Services By: ....... Name Title: Director of Administrative Services Manager (insurance Review) By: . Name: Title (Compliance ~,.~th California Corporatons Code 313 is required if the entity. on whose behalf this contract is signed is a corporation, in the al~rnalJve, a certified corporate resolution attesting to the signa[oo’ au[horib, of the individuals signing in their respective capacities is acceptable.) CITY OF PALO ALTO IFB 141079 PAGE 6 OF 7 FORMAL CONTRACT SECTION 500 CERTIFICATE OF ACKNOWLEDGMENT (Civil Code ~ 1189) STATE OF COUNTY OF On , before me, a notary public in and for said County, personally appeared 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 (Sea!) CITY OF PALO ALTO IFB 141079 PAGE 7 OF 7