HomeMy WebLinkAboutStickfort Construction-5/28/2013Bond No. 2171164
Document A312TM - 2010
Conforms with The American Institute of Architects AIA Document 312
Performance Bond
CONTRACTOR:
(Name, legal status and address)
Stickfort Construction Co.
P.O. Box 447
Hudson, IA 50643
OWNER:
(Name, legal status and address)
Sunnyside South Addition, LLC
315 E. 5th Street
Waterloo, IA 50703
CONSTRUCTION CONTRACT
Date: May 7, 2013
Amount: $ 1,499,869.81
SURETY:
(Name, legal status and principal place of business)
North American Specialty Insurance Company
650 Elm Street
Manchester, NH 03101
Mailing Address for Notices
475 N. Martingale Road, Suite 850
Schaumburg, IL 60173
This document has Important legal
consequences. Consultation with
an attomey is encouraged with
respect to its completion or
modification.
Any singular reference to
Contractor, Surety, Owner or
other party shall be considered
plural where applicable.
One Million Four Hundred Ninety Nine Thousand Eight Hundred Sixty Nine Dollars and 81/100
Description:
(Name and location)
Relocation of West San Marnan Drive, Waterloo, IA as per Contract Agreement
BOND
Date: May 16, 2013
(Not earlier that Construction Contract Date)
Amount $1,499,869.81
Modifications to this Bond: None
CONTRACTOR AS PRINCIPAL
Company: (Corporate Seal)
Stickfort Construction Co.
Signature: 1i i ittLIA
Name 41 f►c k40.
and Title: ? , 44fi
One Million Four Hundred Ninety Nine Thousand Eight Hundred Sixty Nine Dollars and 81/100
Sec Section 16
SURETY
Company: (Corporate Seal)
North Acan S. icialty Insurance Company
a,
nne Crowner
Name Attorney -in -Fact
and Title:
(Any additional signatures appear on the last page of this Performance Bond.)
(FOR LVFOR ATION ONLY —Name, address and telephone)
AGENT or BROKER:
Holmes Murphy & Associates, Inc.
3001 Westown Parkway
West Des Moines, IA 50266
515 223-6800
S-1852/AS 8/10
OWNER'S REPRESENTATIVE:
(Architect, Engineer or other party:)
§ 1 The Contractor and Surety, jointly and severally, bind themselves, their heirs, executors, administrators, successors and assigns to the Owner for
the performance of the Construction Contract, which is incorporated herein by reference.
§ 2 If the Contractor performs the Construction Contract, the Surety and the Contractor shall have no obligation under this Bond, except when
applicable to participate in a conference as provided in Section 3.
§ 3 If there is no Owner Default under the Construction Contract, the Surety's obligation under this Bond shall arise after
.1 the Owner first provides noticc to the Contractor and the Surety that the Owner is considering declaring a Contractor Default. Such
notice shall indicate whether the Owner is requesting a conference among the Owner, Contractor and Surety to discuss the
Contractor's performance. lithe Owner docs not request a conference, the Surety may, within five (5) business days after receipt of
the Owner's notice, request such a conference. If the Surety timely requests a conference, the Owner shall attend. Unless the Owner
agrees otherwise, any conference requested under this Section 3.1 shall be held within ten (10) business days of the Surety's receipt
of the Owner's notice. If the Owner, the Contractor and the Surety agree, the Contractor shall be allowed a reasonable time to
perform the Construction Contract, but such an agreement shall not waive the Owner's right, if any, subsequently to declare a
Contractor Default;
.2 the Owner declares a Contractor Default, terminates the Construction Contract and notifies the Surety; and
.3 the Owner has agreed to pay the Balance of the Contract Price in accordance with the terms of the Construction Contract to the
Surety or to a contractor selected to perform the Construction Contract.
§ 4 Failure on the part of the Owner to comply with the notice requirement in Section 3,1 shall not constitute a failure to comply with a condition
precedent to the Surety's obligations, or release the Surety from its obligations, except to the extent the Surety demonstrates actual prejudice.
§ 5 When the Owner has satisfied the conditions of Section 3, the Surety shall promptly and at the Surety's expense take one of the following actions:
§ 5.1 Arrange for the Contractor, with the consent of the Owner, to perform and complete the Construction Contract;
§ 5.2 Undertake to perform and complete the Construction Contract itself, through its agents or independent contractors;
§ 6.3 Obtain bids or negotiated proposals from qualified contractors acceptable to the Owner for a contract for performance and completion of the
Construction Contract, arrange for a contract to be prepared for execution by the Owner and a contractor selected with the Owner's concurrence, to be
secured with performance and paymcnt bonds executed by a qualified surety equivalent to the bonds issued on the Construction Contract, and pay to
the Owner the amount of damages as described in Section 7 in excess of the Balance of the Contract Price incurred by the Owner as a result of the
Contractor Default; or
§ 5.4 Waive its right to perform and complete, arrange for completion, or obtain a new contractor and with reasonable promptness under the
circumstances:
.1 Ager investigation, determine the amount for which it may be liable to the Owner and, as soon as practicable after the amount is
determined, make payment to thc Owner, or
.2 Deny liability in whole or in part and notify the Owner, citing the reasons for denial.
§ 6 If the Surety does not proceed as provided in Section 5 with reasonable promptness, the Surcty shall be deemed to be in default on this Bond
seven days atter receipt elan additional written notice from the Owner to the Surety demanding that the Surety perfonn its obligations under this
Bond, and the Owner shall be entitled to enforce any remedy available to the Owner. If the Surety proceeds as provided in Section 5.4, and the
Owner refuses the payment or the Surety has denied liability, in whole or in part, without further notice the Owner shall be entitled to enforce any
remedy available to the Owner.
S-1852/AS 8/10
§ 7 If the Surety elects to act under Section 5.1, 5.2 or 5.3, then the responsibilities of the Surety to the Owner shall not be greater than those of the
Contractor under the Construction Contract, and the responsibilities of the Owner to the Surety shall not be greater than those of the Owner under the
Construction Contract. Subject to the commitment by the Owner to pay the Balance of the Contract Price, the Surety is obligated, without
duplication, for
.1 the responsibilities of the Contractor for correction of defective work and completion of the Construction Contract;
.2 additional legal, design professional and delay costs resulting from the Contractor's Default, and resulting from the actions or
failure to act of the Surety under Section 5; and
.3 •liquidated damages, or if no liquidated damages are specified in the Construction Contract, actual damages caused by delayed
performance or non-performance of the Contractor.
§ 8 If the Surety elects to act under Section 5.1, 5.3 or 5.4, the Surety's liability is limited to the amount of this Bond.
§ 9 The Surety shall not be liable to the Owner or others for obligations of the Contractor that arc unrelated to the Construction Contract, and the
Balance of the Contract Price shall not be reduced or set off on account of any such unrelated obligations. No right of action shall accrue on this
Bond to any person or entity other than the Owner or its heirs, executors, administrators, successors and assigns.
§ 10 The Surety hereby waives notice of any change, including changes of time, to the Construction Contract or to related subcontracts, purchase
orders and other obligations.
§ 11 Any proceeding, legal or equitable, under this Bond may be instituted in any court of competent jurisdiction in the location in which the work or
part of the work is located and shall be institutcd within two years after a declaration of Contractor Default or within two years after the Contractor
ceased working or within two years after the Surety refuses or fails to perform its obligations under this Bond, whichever occurs first. If the
provisions of this Paragraph are void or prohibited by law, the minimum period of limitation available to sureties as a defense in the jurisdiction of
the suit shall be applicable.
§ 12 Notice to the Surety, the Owner or the Contractor shall be mailed or delivered to the address shown on the page on which their signature
appears.
§ 13 When this Bond has been furnished to comply with a statutory or other legal requirement in the location where the construction was to be
performed, any provision in this Bond conflicting with said statutory or legal requirement shall be deemed deleted herefrom and provisions
conforming to such statutory or other legal requirement shall be deemed incorporated herein. When so furnished, the intent is that this Bond shall be
construed as a statutory bond and not as a common lawbond.
§ 14 Definitions
§ 14.1 Balance of the Contract Price. The total amount payable by the Owner to the Contractor under the Construction Contract after all proper
adjustments have been made, including allowance to the Contractor of any amounts received or to be received by the Owner in settlement of
insurance or other claims for damages to which the Contractor is entitled, reduced by all valid and proper payments made to or on behalf of the
Contractor under the Construction Contract.
§ 14.2 Construction Contract. The agreement between the Owner and Contractor identified on the cover page, including all Contract Documents
and changes made to the agreement and the Contract Documents.
§ 14.3 Contractor Default. Failure of the Contractor, which has not been remedied or waived, to perform or otherwise to comply with a material
term of the Construction Contract.
§ 14.4 Owner Default. Failure of the Owner, which has not been remedied or waived, to pay the Contractor as required under the Construction
Contract or to perform and complete or comply with the other material terms of the Construction Contract.
§ 14.5 Contract Documents. All the documents that comprise the agreement between the Owner and Contractor.
§ 15 If this Bond is issued for an agreement between a Contractor and subcontractor, the term Contractor in this Bond shall be deemed to be
Subcontractor and the term Owner shall be deemed to be Contractor.
S-1852/AS 8/10
§ 16 Modifications to this bond are as follows:
This bond excludes any and all consequential damages per paragraph 15 of the Contract
dated May 7, 2013 by and between Sunnyside South Addition, LLC and Stickfort
Construction Co. for Sunnyside South Addition and the related relocation of West San Marnan Drive
(Space is provided below for additional signatures of addedparties, other than those appearing on the coverpage.)
CONTRACTOR AS PRINCIPAL SURETY
Company: (Corporate Seal) Company:
Signature: Signature:
(Co,porate Seal)
Name and Title: Name and Title:
Address Address
8-1852/AS 8/10
Bond No. 2171164
Document A312 TM - 2010
Conforms with The American Institute of Architects AIA Document 312
Payment Bond
CONTRACTOR:
(Name, legal status and address)
Stickfort Construction Co.
P.O. Box 447
Hudson, IA 50643
OWNER:
(Name, legal status and address)
Sunnyside South Addition, LLC
315 E. 5th Street
Waterloo, IA 50703
CONSTRUCTION CONTRACT
Date: May 7, 2013
Amount: $1,499,869.81
SURETY:
(Name, legal status and principal place of business)
North American Specialty Insurance Company
650 Elm Street
Manchester, NH 03101
Mailing Address for Notices
475 N. Martingale Road, Suite 850
Schaumburg, IL 60173
This document has important legal
consequences. Consultation with
an attomey is encouraged with
respect to its completion or
modification.
Any singular reference to
Contractor, Surety, Owner or
other party shall be considered
plural where applicable.
One Million Four Hundred Ninety Nine Thousand Eight Hundred Sixty Nine Dollars and 81/100
Description:
(Name and location)
Relocation of West San Marnan Drive, Waterloo, IA as per Contract Agreement
BOND
Date: May 16, 2013
(Not earlier than Construction Contract Date)
Amount: $1,499,869.81
Modifications to this Bond: 0 None
CONTRACTOR AS PRINCIPAL
Company: (Corporate Seal)
Stickfort Construction Co.
Signature:
Name Si de,f0A
and Title: ' to s
One Million Four Hundred Ninety Nine Thousand Eight Hundred Sixty Nine Dollars and 81/100
QX See Section 18
SURETY
Company:
North Am 1
(Corporate Seal)
n Spec; : Ity Insurance Company
Anne Crowner
Nemo Attorney -in -Fact
and Title:
(Any additional signatures appear on the last page of this Payment Bond.)
(FOR INFORAL4TIONONLY —Name, address and telephone)
AGENT or BROKER:
Holmes Murphy & Associates, Inc.
3001 Westown Parkway
West Des Moines, IA 50266
515 223-6800
S-2149/AS 8/10
OWNER'S REPRESENTATIVE:
(Architect, Engineer or other party)
twoutuko
1164"440:Vt*
Q SEAL A
wig 1.973 tam
§ 1 The Contractor and Surety, jointly and severally, bind themselves, their heirs, executors, administrators, successors and assigns to the Owner to
pay for labor, materials and equipment furnished for use in the performance of the Construction Contract, which is incorporated herein by reference,
subject to the following terms.
§ 2 If the Contractor promptly makes payment of all sums due to Claimants, and defends, indemnifies and holds harmless the Owner from claims,
demands, liens or suits by any person or entity seeking payment for labor, materials or equipment furnished for use in the performance of the
Construction Contract, then the Surety and the Contractor shall have no obligation under this Bond.
§ 3 If there is no Owner Default under the Construction Contract, the Surety's obligation to the Owner under this Bond shall arise after the Owner
has promptly notified the Contractor and the Surety (at the address described in Section 13) of claims, demands, liens or suits against the Owner or
the Owner's property by any person or entity seeking payment for labor, materials or equipment furnished for use in the performance of the
Construction Contract and tendered defense of such clams, demands, liens or suits to the Contractor and the Surety.
§ 4 When the Owner has satisfied the conditions in Section 3, the Surety shall promptly and at the Surety's expense defend, indemnify and hold
harmless the Owner against a duly tendered claim, demand, lien or suit.
§ 5 The Surety's obligations to a Claimant under this Bond shall arise after the following:
§ 6.1 Claimants, who do not have a direct contract with the Contractor,
.1 have fumished a written notice of non-payment to the Contractor, stating with substantial accuracy the amount claimed and the
name of the party to whom the materials were, or equipment was, fumishcd or supplied or for whom the labor was done or
performed, within ninety (90) days after having last performed labor or last furnished materials or equipment included in the Claim;
and
.2 have sent a Claim to the Surety (at the address described in Section 13).
§ 6.2 Claimants, who arc employed by or have a direct contract with the Contractor, have sent a Claim to the Surety (at the address described in
Section 13).
§ 6 If a notice of non-payment required by Section 5.1.1 is given by the Owner to the Contractor, that is sufficient to satisfy a Claimant's obligation
to furnish a written notice of non-payment under Section 5.1.1.
§ 7 When a Claimant has satisfied the conditions of Sections 5.1 or 5.2, whichever is applicable, the Surety shall promptly and at the Surety's
expense take the following actions:
§ 7.1 Send an answer to the Claimant, with a copy to the Owner, within sixty (60) days after receipt of the Claim, stating the amounts that are
undisputed and the basis for challenging any amounts that are disputed; and
§ 7.2 Pay or arrange for payment of any undisputed amounts.
§ 7.3 The Surety's failure to discharge its obligations under Section 7.1 or Section 7.2 shall not be deemed to constitute a waiver of defenses the
Surety or Contractor may have or acquire as to a Claim, except as to undisputed amounts for which the Surety and Claimant have reached agreement.
If, however, the Surety fails to discharge its obligations under Section 7.1 or Section 7.2, the Surety shall indemnify the Claimant for the reasonable
attorney's fees the Claimant incurs thereafter to recover any sums found to be due and owing to the Claimant.
§ 8 The Surety's total obligation shall not exceed the amount of this Bond, plus the amount of reasonable attorney's fees provided under Section 7.3,
and the amount of this Bond shall be credited for any payments made in good Faith by the Surety.
§ 9 Amounts owed by the Owner to the Contractor under the Construction Contract shall be used for the performance of the Construction Contract
and to satisfy claims, if any, under any construction performance bond. By the Contractor furnishing and the Owner accepting this Bond, they agree
that all funds earned by the Contractor in the performance of the Construction Contract are dedicated to satisfy obligations of the Contractor and
Surety under this Bond, subject to the Owner's priority to use the funds for the completion of the work. ,
S-2149/AS 8/10
§ 10 The Surety shall not be liable to the Owner, Claimants or others for obligations of the Contractor that arc unrelated to the Construction Contract.
The Owner shall not be liable for the payment of any costs or expenses of any Claimant under this Bond, and shall have under this Bond no
obligation to make payments to, or give notice on behalf o$ Claimants or otherwise have any obligations to Claimants under this Bond.
§ 11 The Surety hereby waives notice of any change, including changes of time, to the Construction Contract or to related subcontracts, purchase
orders and other obligations.
§ 12 No suit or action shall be commenced by a Claimant under this Bond other than in a court of coinpetent jurisdiction in the state in which the
project that is the subject of the Construction Contract is located or after the expiration of one year from the date (1) on which the Claimant sent a
Claim to the Surety pursuant to Section 5.12 or 5.2, or (2) on which the last labor or service was performed by anyone or the last materials or
equipment were furnished by anyone under the Construction Contract, whichever of (1) or (2) first occurs. If the provisions of this Paragraph are void
or prohibited by law, the minimum period of limitation available to sureties as a defense in the jurisdiction of the suit shall be applicable.
§ 13 Notice and Claims to the Surety, the Owner or the Contractor shall be mailed or delivered to the address shown on the page on which their
signature appears. Actual receipt of notice or Claims, however accomplished, shall be sufficient compliance as of the date received.
§ 14 When this Bond has been furnished to comply with a statutory or other legal requirement in the location where the construction was to be
performed, any provision in this Bond conflicting with said statutory or legal requirement shall be deemed deleted herefrom and provisions
conforming to such statutory or other legal requirement shall be deemed incorporated herein. When so furnished, the intent is that this Bond shall be
construed as a statutory bond and not as a common law bond.
§ 15 Upon request by any person or entity appearing to be a potential beneficiary of this Bond, the Contractor and Owner shall promptly furnish a
copy of this Bond or shall permit a copy to be made.
§ 16 Definitions
§ 16.1 Claim. A written statement by the Claimant including at a minimum:
.1 the name of the Claimant;
.2 the name of the person for whom the labor was done, or materials or equipment furnished;
.3 a copy of the agreement or purchase order pursuant'to which labor, materials or equipment was furnished for use in the
perfonnance of the Construction Contract;
.4 a brief description of the labor, materials or equipment furnished;
.6 the date on which the Claimant last performed labor or last furnished materials or equipment for use in the performance of the
Construction Contract;
.6 the total amount earned by the Claimant for labor, materials or equipment furnished as of the date of the Claim;
.7 the total amount of previous payments received by the Claimant; and
.8 the total amount due and unpaid to the Claimant for labor, materials or equipment furnished as of the date of the Claim.
§ 16.2 Claimant. An individual or entity having a direct contract with the Contractor or with a subcontractor of the Contractor to furnish labor,
materials or equipment for use in the performance of the Construction Contract. The term Claimant also includes any individual or entity that has
rightfully asserted a claim under an applicable mechanic's lien or similar statute against the real property upon which the Project is located. The intent
of this Bond shall be to include without limitation in the terms "labor, materials or equipment" that part of water, gas, power, light, heat, oil, gasoline,
telephone service or rental equipment used in the Construction Contract, architectural and engineering services required for performance of the work
of the Contractor and the Contractor's subcontractors, and all other items for which a mechanic's lien may be asserted in the jurisdiction where the
labor, materials or equipment were furnished
§ 16.3 Construction Contract. The agreement between the Owner and Contractor identified on the cover page, including all Contract Documents
and all changes made to the agreement and the Contract Documents.
S-2149/AS 8/10
§ 16.4 Owner Default. Failure of the Owner, which has not been remedied or waived, to pay the Contractor as required undcr the Construction
Contract or to perform and complete or comply with the other material terms of the Construction Contract.
§ 16.6 Contract Documents. All the documents that comprise the agreement between the Owner and Contractor.
§ 17 If this Bond is issued for an agreement between a Contractor and subcontractor, the teen Contractor in this Bond shall be deemed to be
Subcontractor and the term Owner shall be deemed to be Contractor.
§ 18 Modifications to this bond are as follows:
This bond excludes any and all consequential damages per paragraph 15 of the Contract
dated May 7, 2013 by and between Sunnyside South Addition, LLC and Stickfort
Construction Co. for Sunnyside South Addition and the related relocation of West San Marnan Drive
(Space is provided below for additional signatures of added parties, other than those appearing on the cover page.)
CONTRACTOR AS PRINCIPAL SURETY
Company: (Corporate Seal) Company:
(Corporate Seal)
Signature: Signature:
Name and Title: Name and Title:
Address Address
S-2149/AS 8110
NAS SURETY GROUP
NORTH AMERICAN SPECIALTY INSURANCE COMPANY
WASHINGTON INTERNATIONAL INSURANCE COMPANY
GENERAL POWER OF ATTORNEY
KNOW ALL MEN BY THESE PRESENTS, THAT North American Specialty Insurance Company, a corporation duly organized and existing under
laws of the State of New Hampshire, and having its principal office in the City of Manchester, New Hampshire, and Washington International Insurance
Company, a corporation organized and existing under the laws of the State of New Hampshire and having its principal office in the City of Schaumburg,
Illinois each does hereby make, constitute and appoint: Anne Crowner
Its true and lawful Attorney -in -Fact, to make, execute, seal and deliver, for and on its behalf and as its act and deed, the following surety bond:
Principal: Stickfort Construction Co. Bond Number: 2171164
Obligee: Sunnyside South Addition, LLC Bond Amount: See Bond Form
Bond Description: Relocation of West San Marnan Drive, Waterloo, IA as per Contract Agreement
Provided that no bond or undertaking or contract of suretyship executed under this authority shall exceed the amount of:
FIFTY MILLION ($50,000,000) DOLLARS
This Power of Attorney is granted and is signed by facsimile under and by the authority of the following Resolutions adopted by the Boards of
Directors of both North American Specialty Insurance Company and Washington International Insurance Company at meetings duly called and held on
the 9th of May, 2012:
"RESOLVED, that any two of the Presidents, any Managing Director, any Senior Vice President, any Vice President, any Assistant Vice President,
the Secretary or any Assistant Secretary be, and each or any of them hereby is authorized to execute a Power of Attorney qualifying the attorney named in
the given Power of Attorney to execute on behalf of the Company bonds, undertakings and all contracts of surety, and that each or any of them hereby is
authorized to attest to the execution of any such Power of Attorney and to attach therein the seal of the Company; and it is
FURTHER RESOLVED, that the signature of such officers and the seal of the Company may be affixed to any such Power of Attorney or to any
certificate relating thereto by facsimile, and any such Power of Attorney or certificate bearing such facsimile signatures or facsimile seal shall be
binding upon the Company when so affixed and in the future with regard to any bond, undertaking or contract of surety to which it is attached."
By
Steven P. Anderson, Senior Vice President of Washington International Insurance Company
& Senior Vice President of North American Specialty Insurance Company
By `d%
David M. Layman, Vice President of ashington International Insurance Company
& Vice President of North American Specialty Insurance Company
4�� tw"•nt 4ys
SEALr�Gi
laNiRset
IN WITNESS WHEREOF, North American Specialty Insurance Company and Washington International Insurance Company have caused their
official seals to be hereunto affixed, and these presents to be signed by their authorized officers this 25th day of May 2012 .
North American Specialty Insurance Company
Washington International Insurance Company
State of Illinois
County of Cook ss:
On this 25th day of May 20 12 , before me, a Notary Public personally appeared Steven P. Anderson . Senior Vice President of
Washington International Insurance Company and Senior Vice President of North American Specialty Insurance Company and David M. Layman
Vice President of Washington International Insurance Company and Vice President of North American Specialty Insurance Company, personally
known to me, who being by me duly swom, acknowledged that they signed the above Power of Attorney as officers of and acknowledged said
instrument to be the voluntary act and deed of their respective companies.
"OFFICIAL SEAL"
DONNA D. SKLENS
Notary Public, State of Illinois
My Commission Expires 10/06/2015
kovna /0.
Donna D. Sldens, Notary Public
I, Jeffrey Goldberg , the duly elected Assistant Secretary of North American Specialty Insurance Company and Washington
International Insurance Company, do hereby certify that the above and foregoing is a true and correct copy of a Power of Attorney given by said North
American Specialty Insurance Company and Washington International Insurance Company, which is still in full force and effect.
IN WITNESS WHEREOF, I have set my band and affixed the seals of the Companies this 16th day of May , 2013
Jeffrey Goldberg, Vice President & Assistant Secretary of Washington International Insurance Company &
Assistant Secretary of North American Specialty Insurance Comby
CONTRACT FOR CONSTRUCTION
This Contract for Construction (the "Contract") is entered into as of May it , 2013 by and between
Sunnyside South Addition, LLC ("Owner") and Stickfort Construction Co. ("Contractor").
1. Contractor agrees to build and construct the street -related improvements and site grading set forth in
the drawings, plans and specifications (the "Plans") for Sunnyside South Addition and the related relocation of
West San Maman Drive (the "Project"), and Contractor will furnish all necessary tools, equipment, materials,
and labor necessary to do all the work called for in the Plans in a good and workmanlike manner, in strict
accordance with said Plans and the requirements of this Contract, and for the prices set forth in Contractor's
proposal. All of Contractor's work shall be completed to the satisfaction and approval of Owner and its retained
engineer. Incorporated into and made a part of this Contract are the Plans, general conditions, special
conditions, addenda, and exhibits, if any.
2. Contractor hereby represents and acknowledges that it has reviewed and inspected all documents of
this Contract and has investigated and satisfied itself as to the conditions affecting the work, Including not
limited to those bearing on transportation, disposal, handling and storage of materials, availability of labor,
water, power, roads and uncertainties of weather or other physical conditions of the site. Contractor has
satisfied itself as to the surface and subsurface conditions of the site from an inspection including all
exploratory work done by Owner and/or Contractor. Any failure by Contractor to acquaint itself with the
available Information will not relieve it from responsibility for any conclusions or interpretations made by
Contractor.
3. Contractor warrants that all materials and equipment furnished and incorporated into the Project shall
be new, unless otherwise specified, and that all work under this Contract shall be done in a first class and
workmanlike manner, free from faults and defects and in conformance with this Contractor. All work not
conforming to these standards shall be considered defective. This warranty shall be in addition to and not a
limitation of any other warranty or remedy provided by law or this Contract
4. Project work shall be commenced within five (5) working days after receipt of notice to proceed, which
may be given verbally or in writing, and shall diligently and continuously prosecute the work so that all items
shall be completed on or before October 15, 2013. All work associated with the closure of W. San Maman
Drive shall be complete and the roadway shall be reopened to traffic within ninety (90) calendar days from the
closure date. Time is of the essence of this Contract. At any time that Contractor Is behind schedule In Its
work, Contractor shall, at its own expense, supply additional equipment, perform overtime work, and do
everything necessary to bring its work back on schedule.
5. Contractor shall be solely responsible for the conditions of the job site in connection with the Project
and the safety of all persons and property, whether in preparation for or during performance of the work. This
requirement applies continuously and is not limited to normal working hours.
6. If Contractor fails to complete the Project work In strict accordance with the terms and conditions of this
Contract by the date herein specified, Owner may pay such additional sums as it may be required to pay by
reason of the failure of Contractor and may deduct any and all such sums from any amount then due the
Contractor.
7. The Contractor agrees to comply with and obey all ordinances of the City of Waterloo, Iowa (the
"City"), relating to the obstruction of streets and alleys, keeping open passage ways for water, traffic, and
protecting any excavations in any street or alley, and maintaining proper and sufficient barricades with lights
and signals during all hours of darkness, and to see that backfilling is properly done. Contractor agrees to
keep Owner and the City whole and defend any and all suits that may be brought against either of them by
reason of any injuries that may be sustained by any person or property allegedly caused by the Contractor, or
its employees or agents, while work Is done pursuant to this Contract.
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15. Contractor agrees that if it abandons work under this Contract or ceases the prosecution thereof for a
period of fourteen (14) consecutive days without reasonable cause, and if it fails to proceed with said work
within five (5) days after a notice to continue or carry It on has been mailed to it at the address given herein by
Contractor, then Owner may declare Contractor to be in default of this Contract and may proceed to complete
said work, using any material, tools, or machinery found on the premises, doing the work either by contract or
as it may elect, and the Contractor and the sureties on its bond shall be liable to Owner for the costs and
expenses so paid out, including but not limited to Owner's additional expenses, consequential damages flowing
from the default, and reasonable attorneys' fees. Said costs shall be retained by Owner from any
compensation due or to become due to Contractor, and may be recovered by Owner in an action upon
Contractor's bond.
18. In consideration of the full compliance on the part of Contractor with all the provisions, stipulations, and
conditions hereof, or contained in the various instruments made a part of this Contract by reference, and upon
completion and acceptance of said work, Owner agrees to pay Contractor the Contract amount of
91,499.869.81, based on the engineer's estimates of quantities and Contractor's unit bid prices as set forth on
Contractor's bid attached hereto as Exhibit "A." Whether or not included in said Contract amount, Contractor
shall be solely responsible for all cost and expense of any and all labor, material, equipment, taxes, permit and
license fees, labor fringe benefits, insurance and bond premiums, and all other things and costs required to
completely perform the Project work in accordance with this Contract Contractor hereby represents and
warrants that the bid price Includes a net profit for Contractor of no more than two percent (2%) above
Contractor's estimated actual costs of labor, materials, equipment, taxes, permits, and other Project expenses.
17. At the time of payment, Contractor shall provide Owner with lien waivers from Contractor and all
subcontractors and suppliers with respect to all labor, materials and other charges invoiced to date of
payment Owner has no obligation to pay any invoice for which Contractor does not supply lien waivers.
Upon request from Owner, Contractor shall make available for Owner copies of all subcontractor and
supplier invoices within twenty-four (24) hours of the request. Contractor may not request payment from
Owner more than once every thirty (30) days.
18. After the completion of said work, Contractor agrees to remove all debris and clean up said streets,
and to save Owner and the City harmless from any damage allegedly resulting from a failure to clean up and
remove the debris or put the street back In a proper condition for travel.
19. Before Contractor shall be entitled to receive final payment for work done under this Contract, it shall
execute and file a two-year maintenance bond In the penal sum of not less than 100% of the total Contract
amount. Said bond must be approved by Owner and is in addition to any other bonds given by Contractor
under this Contract
20. Contractor shall maintain all work done hereunder in good order for the period of seven (7) years from
and after the date it is accepted by Owner (the "Maintenance Period"). Said maintenance shall be made
without expense to Owner or any abutting property. In the event of the failure or default of Contractor to
remedy any or all defects appearing in said work within the Maintenance Period, and after having been given
ten (10) days notice so to do by certified mail addressed to Contractor at the address herein given, then Owner
may proceed to remedy such defects. Owner's costs and expenses of such work shall be recovered from
Contractor and, if applicable, the sureties on its maintenance bond, by an action brought in any court of
competent jurisdiction.
21. Contractor shall comply with all federal, state and local laws, ordinances, rules and regulations,
including but not limited to OSHA, Social Security acts, unemployment compensation acts, worker's
compensation acts, and tax laws, Insofar as applicable to the performance of this Contract, and shall comply
with all applicable procedures, rules and regulations with regard to nondiscrimination.
22. Contractor shall not subcontract, assign or transfer the performance of this Contract or any part thereof
without the prior written consent of Owner.
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INSURANCE ADDENDUM
Contractor, at its own expense, shall procure and maintain the following insurance so as to cover all risk
which shall arise directly or indirectly from Contractor's obligations and activities.
1. Workers Compensation and Employers Liability Insurance meeting the requirements of the
Iowa Workers Compensation Law covering ail of Contractor's employees carrying out their work.
2. General Liability Insurance with limits of liability of at least $2,000,000 per occurrence for bodily
injury and property damage. At a minimum, coverage for premises, operations, products and
completed operations shall be included. This coverage shall protect the public or any person
from injury or property damages sustained by reason of Contractor, its employees or agents,
carrying out their work.
3. Automobile Liability Insurance with combined single limit of at least $1,000,000 per occurrence
for bodily injury and property damage. Coverage shall include all owned, hired, and non -owned
motor vehicles used in the performance of work by Contractor, its employees or agents.
Subcontractors. In the case of any work sublet, Contractor shall require subcontractors and independent
contractors working under the direction of either Contractor or a subcontractor to carry and maintain the
same workers compensation and liability insurance required of Contractor.
Qualifying insurance. Policies shall be issued by insurers who are authorized to do business in the State
of Iowa. All policies shall be occurrence form and not claims made form. Contractor shall be responsible
for deductibles and self-insured retentions in Contractor's insurance policies.
Additional Insured. Sunnyside South Addition, LLC, its managers, officers, members and employees,
shall be named as additional insured on Contractor's, subcontractor's, and independent contractor's
liability insurance policies and certificates of insurance. This provision does not apply to workers
compensation insurance.
Other. All policies must provide to Owner a 30 -day notice of cancellation or non -renewal. A renewal
certificate shall be provided to Owner prior to expiration of any policy. Contractor will not do or omit the
doing of any act which would vitiate any insurance.