16059-CONTRACT.PDF

CONSTRUCTION CONTRACT - STIPULATED SUM
(DESIGN-BID BUILD PROJECT)
MCSO Vehicle Impound Lot
Office of Procurement Services
Serial # 16059-DBB
Contract # 16059-DBB
c-
Project # FM160001
Facilities Management Department
MARICOPA COUNTY, ARIZONA

CONTRACT AGREEMENT
THIS AGREEMENT, is made and entered into this 13th day of January, 2016, by and between
MARICOPA COUNTY, hereinafter called the COUNTY, acting by and through its BOARD OF
SUPERVISORS, and
DNG Construction, LLC hereinafter referred to as CONTRACTOR.
The CONTRACTOR, for and in the consideration of the sum of
$791,808.00 (Seven Hundred Ninety-One Thousand, Eight hundred and Eight Dollars and no cents)
Unit prices, if any, are as follows:
N/A
to be paid to him by the COUNTY, in the manner and at the times hereinafter provided, and in
consideration of the other covenants and agreements herein contained, hereby agrees for itself, its heirs,
executors, administrators, successors, and assigns as follows:
ARTICLE I - SCOPE OF WORK: CONTRACTOR shall construct, and complete in a workmanlike
manner and to the satisfaction of the Facilities Management Department Director, a project for the
Maricopa County Facilities Management Department, designated as Serial # 16059-DBB, MCSO
Vehicle Impound Lot, and furnish at its own cost and expense all necessary machinery, equipment,
tools, apparatus, materials, and labor to complete the work in the most workmanlike manner according to
the Plans and Specifications on file with the Maricopa County Facilities Management Department, and
listed herein, together with modifications of the same and other directions that may be made by the
Maricopa County Facilities Management Department as provided herein.
ARTICLE II - CONTRACT DOCUMENTS: The Contract Documents (Invitation to Bid, Plans,
Construction Special Provisions , Addenda issued prior to the execution of this Agreement, if any,
General Conditions, General Requirements, Specifications, Maricopa Association of Governments
(MAG) Standard Specifications and Uniform Standard Details, and the latest revisions thereto, Maricopa
County Supplement to M.A.G. Uniform Standard Specifications for Public Works Construction, Bid,
Affidavits, Performance Bond, Payment Bond, Certificates of Insurance, and Change Orders, if any,) are
by this reference made a part of this Contract and shall have the same effect as though all of the same
were fully inserted herein. This Contract, including the Contract Documents, represents the entire and
integrated agreement between the parties and supersedes any prior negotiations, representations, or
agreements, either written or oral.
All amendments to this Contract shall be in writing and approved/signed by both parties.
ARTICLE III - TIME FOR COMPLETION: CONTRACTOR further covenants and agrees at its
own cost and expense, to do all work as aforesaid for the construction of said improvements and to
completely construct the same and install the material therein, as called for by this agreement free and
clear of all claims, liens, and charges whatsoever, in the manner and under the conditions specified and
within the time, or times, stated in the Bid pamphlet and this Contract. The date for the commencement
of the work will be set by a Notice to Proceed issued by the Owner. The time for completion will be
measured from the date of commencement.
ARTICLE IV - SUBSTANTIAL COMPLETION: The CONTRACTOR shall achieve Substantial
Completion of the work not later than 90 days from the date of commencement subject to adjustments to
MCSO Vehicle Impound Lot Serial # 16059-DBB
Request for Bids - Design Bid Build Pg. # 2

the Contract Time as provided for herein. Final Completion shall be achieved in 90 days after Substantial
Completion, subject to adjustments to the Contract Time as provided for herein.
ARTICLE V - PAYMENTS: For and in consideration of the satisfactory performance of the work as
set forth in the Contract Documents, which are a part hereof, and in accordance with the directions of the
COUNTY, through its Design Professional, the COUNTY agrees to pay the said CONTRACTOR the
amount earned, (and, if unit prices are applicable the sum due as computed from actual quantities of work
performed and accepted, or materials furnished at the unit bid price on the Bid made a part hereof) and to
make such payment in accordance with the requirements of A.R.S. § 34-221, as amended.
CONTRACTOR agrees to discharge its obligations and to make payments to its subcontractors and
suppliers in accordance with A.R.S. § 32-1129, the Prompt Pay Act.
ARTICLE VI - LIQUIDATED DAMAGES:
X are o are not
provided for in this Contract, as explained in the General Conditions to this Contract. Liquidated
damages have been agreed as being appropriate as follows:
$250.00 per day for a tardy Substantial Completion, and
$250.00 per day for a tardy Final Completion.
ARTICLE VII - TERMINATION: The COUNTY hereby gives notice that pursuant to A.R.S. §
38-511 A, this contract may be canceled without penalty or further obligation within three years after
execution if any person significantly involved in initiation, negotiation, securing, drafting or creating the
contract on behalf of the COUNTY is, at any time while the contract or any extension of the contract is in
effect, an employee or agent of any other party to the contract in any capacity or a Contractor to any other
party of the contract with respect to the subject matter of the contract. Cancellation under this section
shall be effective when written notice from the COUNTY is received by all of the parties to the contract.
In addition, the COUNTY may recoup any fee or commission paid or due to any person significantly
involved in initiation, negotiation, securing, drafting or creating the contract on behalf of the COUNTY
from any other party to the contract arising as a result of the contract.
ARTICLE VIII - TERMINATION FOR DEFAULT: If the CONTRACTOR should be adjudged
bankrupt or should make a general assignment for the benefit of its creditors, or if a receiver should be
appointed on account of its insolvency, the COUNTY may terminate the Contract. If the
CONTRACTOR should repeatedly refuse or should fail, except in cases for which extension of time is
provided, to provide enough properly skilled workers or proper materials, or repeatedly disregard laws
and ordinances, or fail to meet deadlines or not proceed with work, or otherwise be guilty of a material
breach of any provision of this Contract, then the COUNTY may terminate the Contract. Prior to
termination of the Contract, the COUNTY shall give the Contractor fourteen (14) calendar day's written
notice. Upon receipt of such termination notice, the Contractor shall be allowed fourteen (14) calendar
days to cure such deficiencies. In the event of termination under this paragraph, all documents, data, and
reports prepared by the CONTRACTOR under this Contract shall become the property of and be
delivered to the COUNTY upon demand. Sums claimed due by the CONTRACTOR shall not be paid
until the Work has been completed and such payment shall only be made after deduction damages caused
by the default. In the event a termination for default is determined to be without cause, it shall be deemed
to be a termination for convenience.
ARTICLE IX - TERMINATION FOR CONVENIENCE: The COUNTY reserves the right to terminate
the Contract, in whole or in part at any time, when in the best interests of the COUNTY without penalty
or recourse. Upon receipt of the written notice, the CONTRACTOR shall immediately stop all work, as
directed in the notice, notify all subcontractors of the effective date of the termination and minimize all
further costs to the COUNTY. In the event of termination under this paragraph, all documents, data and
MCSO Vehicle Impound Lot Serial # 16059-DBB
Request for Bids - Design Bid Build Pg. # 3

reports prepared by the CONTRACTOR under the Contract shall become the property of and be
delivered to the COUNTY upon demand The CONTRACTOR shall be entitled to receive just and
equitable compensation for work in progress, work completed and materials accepted before the effective
date of the termination. No lost "future profits" will be paid to the CONTRACTOR.
ARTICLE X - SUSPENSION OF WORK: The Construction Project Manager may order the
CONTRACTOR, in writing, to suspend, delay, or interrupt all or any part of the work of this Contract
for the period of time that the Construction Project Manager determines appropriate for the convenience
of the COUNTY.
If the performance of all or any part of the work is, for an unreasonable period of time, suspended,
delayed, or interrupted (1) by an act of the Construction Project Manager in the administration of this
Contract, or (2) by the Construction Project Manager's failure to act within the time specified in this
Contract (or within a reasonable time if not specified), an adjustment shall be made for any increase in the
cost of performance of the Contract (excluding profit) caused by the unreasonable suspension, delay, or
interruption, and the contract will be modified in writing accordingly. However, no adjustment shall be
made under this provision for any suspension, delay, or interruption to the extent that performance would
have been so suspended, delayed, or interrupted by any other cause, including the fault of negligence of
the Contractor, or for which an equitable adjustment is provided (or excluded) under any other term or
condition of this Contract.
A claim under this provision shall not be allowed:
For any costs incurred more than 14 days before the CONTRACTOR has notified the Construction
Project Manager in writing of the act or failure to act involved (but this requirement shall not apply as to a
claim resulting from a suspension order); and unless the claim, in an amount stated, is made in writing as
soon as practicable after the termination of the suspension, delay, or interruption, but not later than the
date of final payment under the Contract.
ARTICLE XI - NEGOTIATION CLAUSE: Recovery of damages related to expenses incurred by
CONTRACTOR for a delay for which the COUNTY is responsible, which is unreasonable under the
circumstances and which was not within the contemplation of the parties to the contract, shall be
negotiated between CONTRACTOR and the COUNTY. This provision shall be construed so as to give
full effect to any provision in the contract which requires notice of delays, provides for neutral evaluation
and arbitration or other procedure for settlement, or provides for liquidated damages.
ARTICLE XII - COMPLIANCE WITH LAWS: CONTRACTOR is required to comply with all
Federal, State and local ordinances and regulations. CONTRACTOR'S signature on this contract
certifies compliance with the provisions of the 1-9 requirements of the Immigration Reform Control Act
of 1986 for all personnel that CONTRACTOR and any subcontractors employ to complete this project.
The COUNTY will perform in accordance with the provisions of the Maricopa County Procurement
Code.
The CONTRACTOR warrants that it is in compliance with A.R.S. §41-4401 (regarding immigration)
and further acknowledges:
(1) The CONTRACTOR and its sub-contractors, if any, warrant their compliance with all federal
immigration laws and regulations that relate to their employees and their compliance with A.R.S.
§23-214, subsection A; (on e-verification, etc.). After December 31, 2007, every employer, after
hiring an employee, shall verify the employment eligibility of the employee through the e-verify
program and shall keep a record of the verification for the duration of the employee's employment
or at least three years, whichever is longer.
(2) A breach of a warranty under subsection 1 above, shall be deemed a material breach of the
contract that is subject to penalties up to and including termination of the Contract;
MCSO Vehicle Impound Lot Serial # 16059-DBB
Request for Bids - Design Bid Build Pg. # 4

(3) The COUNTY retains the legal right to inspect the papers of any CONTRACTOR or sub-
contractor employee who works on the contract to ensure that the CONTRACTOR or sub-
contractor is complying with the warranty provided under subsection 1 above and that the
CONTRACTOR agrees to make all papers and employment records of said employee(s)
available during normal working hours in order to facilitate such an inspection.
(4) Nothing herein shall make any CONTRACTOR or sub-contractor an agent or employee of the
COUNTY.
ARTICLE XIII - SBE PROGRAM: It is Maricopa County's policy to endeavor to ensure in every way
possible that small business participation firms shall have the opportunity to provide professional
services, materials, and contractual services to the County in a nondiscriminatory manner.
ARTICLE MV — SBE PARTICIPATION PAY FORM: This form (copy attached) is to be submitted
with each pay application or invoice. Any pay application or invoice without this form attached is subject
to rejection as not being a completed pay application or invoice pursuant to the terms of the contract.
ARTICLE XV - ANTI-DISCRIMINATION PROVISION: CONTRACTOR agrees not to
discriminate against any employee or applicant for employment because of race, age, color, religion, sex,
disability, or national origin, and further agrees not to engage in any unlawful employment practices.
CONTRACTOR further agrees to insert the foregoing provision in all subcontracts hereunder.
CONTRACTOR agrees to comply with all provisions and requirements of Arizona Executive Order
2009-09 including flow down of all provisions and requirements to any subcontractors. Executive Order
2009-09 supersedes Executive order 99-4 and amends Executive order 75-5 and may be viewed and
downloaded at the Governor of the State of Arizona's website
http://www.azgovernor.gov/dms/upload/E0_2009_09.pdf which is hereby incorporated into this contract
as if set forth in full herein. During the performance of this contract, CONTRACTOR shall not
discriminate against any employee, client or any or any other individual in any way because of that
person's age, race, creed, color, religion, sex, disability or national origin.
ARTICLE XVI — INFLUENCE: As prescribed in MC1-1202 of the Maricopa County Procurement
Code, any effort to influence an employee or agent to breach the Maricopa County Ethical Code of
Conduct, or any unethical conduct, may be grounds for Disbarment or Suspension under MC1-902.
An attempt to influence includes, but is not limited to:
(1) A Person offering or providing a gratuity, gift, tip, present, donation, money, entertainment
or educational passes or tickets, or any type valuable contribution or subsidy;
(2) That is offered or given with the intent to influence a decision, obtain a contract, garner
favorable treatment, or gain favorable consideration of any kind.
If a Person attempts to influence any employee or agent of Maricopa County, the Chief Procurement
Officer, or his designee, reserves the right to seek any remedy provided by the Maricopa County
Procurement Code, any remedy in equity or in the law, or any remedy provided by this contract.
ARTICLE XVII —AMENDMENTS: All amendments to this Contract shall be in writing and
approved/signed by both parties. Maricopa County Office of Procurement Services shall be responsible
for approving all amendments for Maricopa County
MCSO Vehicle Impound Lot Serial # 16059-DBB
Request for Bids - Design Bid Build Pg. #5

IN WITNESS WHEREOF, the parties hereto have executed this Agreement on the day and date first
above written, in counterparts, each of which shall, without proof or accounting for the other
counterparts, be deemed an original contract.
MCSO Vehicle Impound Lot
16059-DBB
Date
Federal Tax Identification Number
iejg- 120c 13—/ Zrzffs—/
4c-- A 2-11T
Title Arizona CMR's License Number
90924
Vendor Terms NIGP Commodity Code (Advantage)
COUNTY OF MARICOPA, ARIZONA
RECOMMENDED BY: ACCEPTED AND APPROVED:
Department Head Date Chairman, Board of Supervisors Date
ATTEST:
Clerk of the Board Date
LEGAL REVIEW
Approved as to form and within the powers and
authority granted under the laws of the State of
Arizona to Maricopa County.
By:
Attorney for the Board of Supervisors
Date:
MCSO Vehicle Impound Lot Serial # 16059-DBB
Request for Bids - Design Bid Build Pg. # 6

Attachment A - BID FORM
TO THE BOARD OF SUPERVISORS
MARICOPA COUNTY
PHOENIX, ARIZONA
Gentlemen:
The following Bid is made for constructing Serial # 16059 -DBB, MCSO Vehicle Impound Lot, in the
County of Maricopa, State of Arizona.
The following Bid is made on behalf of DNG Construction, LLC
and no others, in the amount of $ 'Ackk VA ..0L)
Provide your firm's overhead rate & profit rate applicable to any future project change orders or revisions:
Overhead Rate: <zD, %
Profit Rate: , %
Evidence of authority to submit the Bid is herewith furnished. The Bid is in all respects fair and is made
without collusion on the part of any person, firm, or corporation mentioned above, and no member or
employee of the Board of Supervisors is personally or financially interested, directly or indirectly, in the Bid,
or in any purchase or sale of any materials or supplies for the work to which it relates, or in any portion of the
profits thereof.
The Undersigned certifies that the approved Plans, Construction Special Provisions, Forms of Contract,
Bonds, and Sureties authorized by the Board of Supervisors and constituting essential parts of this Bid, have
been carefully examined and also that the site of the work has been personally inspected.
The Undersigned declares that the amount and nature of the work to be done is understood and that at no time
will misunderstanding of the Plans, Construction Special Provisions, Bid/Contract Documents or conditions
to be overcome, be pled. On the basis of the Plans, Construction Special Provisions, Bid/Contract
Documents, the Forms of Contract, Bonds, and Sureties proposed for use, the Undersigned shall furnish all
the necessary machinery, equipment, tools, apparatus, and other means of construction, to do all the work and
to furnish all the materials in the manner specified and to finish the entire project within the time promised
and to accept, as full compensation therefore, the sum of various products obtained by multiplying each unit
price, herein bid for the work or materials, by the quantity thereof actually incorporated in the complete
project, as determined by the Engineer.
The Undersigned understands that the quantities mentioned herein are approximate only and are subject to
increase or decrease and hereby promises to perform all quantities of work, as either increased or decreased,
in accordance with the provisions of the Construction Special Provisions, at the unit bid price in the Bidding
Schedule.
The Undersigned shall perform all extra work that may be required on the basis provided in the Construction
Special Provisions and to give such work personal attention and to secure economic performance.
The Undersigned shall further execute the Contract Agreement and furnish satisfactory Bonds and Sureties
within ten (10) days of receipt of Notice of Bid acceptance, TIME BEING OF THE ESSENCE. The
Undersigned further proposes to begin work as specified in the Contract attached hereto, and to complete the
work within 90 CALENDAR DAYS from the effective date specified in the Notice to Proceed, and maintain
at all times a Payment and Performance Bond, approved by the Board of Supervisors, each in an amount
equal to one hundred percent of the contract amount. This Bond shall serve not only to guarantee the
completion of the work on the part of the Undersigned, but also to guarantee the excellence of both
MCSO Vehicle Impound Lot Serial # 16059-DBB
Request for Bids - Design Bid Build Pg. #13

workmanship and material and the payment of all obligations incurred, said Bonds and Sureties to be in full
force and effect until the work is finally accepted and the provisions of the Plans, Construction Specifications,
and Special Provisions fulfilled.
A bid bond in the amount and character named in the Invitation to Bid is enclosed amounting to not less than
ten (10) percent of the total bid. The bid bond is submitted as a guaranty of the good faith of the Bidder and
the Bidder will enter into written contract, as provided, to do the work, if successful in securing the award
thereof; and it is hereby agreed that if at any time other than as provided in the bid requirements and
conditions the Undersigned should withdraw its bid, if the bid is accepted and there should be failure on the
part of the Undersigned to execute the Contract and furnish satisfactory Bonds and Sureties as herein
provided, the County of Maricopa in either of such events, shall be entitled and is hereby given the right to
retain the said bid bond as liquidated damages.
The Undersigned acknowledges receipt of the following addenda, had attached these to the bid package, and
has included their provisions in the bid:
Addendum No. 1 Dated A0veenhfi2 04 I
Addendum No. 2 Dated
Addendum No. 3 Dated
Addendum No. 4 Dated
Addendum No. 5 Dated
The Undersigned has enclosed the required bid security to this Bid.
IF BY AN INDIVIDUAL:
By:
(Printed Name) (Title) (Telephone Number)
(Signature) (Date) (Fax Number)
(Address) (E-mail address)
IF BY A FIRM, PARTNERSHIP 01q.L.(LIMITED LIABILITY CORPORATION):
DNG Construction, LLC 480-361-9137
(Firm Name) (Telephone Number)
President 12/1/15 480-361-8353
(Date) (Fax Number)
1440 S. Priest Dr. Suite 104, Tempe, AZ 85281 dgray@dnglic.com
(Firm Address) (E-mail address)
MCSO Vehicle Impound Lot Serial # 16059-DBB
Request for Bids - Design Bid Build Pg. # 14

**Name and Address of each Member, or each Manager of L.L.C. per Operating Agreement
David Gray- President 1440 S. Priest Dr. Suite 104, Tempe, AZ
Dominic DeMark- VP/CFO 1440 S. Priest Dr. Suite 104, Tempe, AZ
**The name and post office address of each Member of the Firm or Partnership must be shown, or of
each Manager of an L.L.C., also address of the registered office of the L.L.C.
IF BY A CORPORATION:
(Corporate Name)* (Corporation Address)
(Printed Name) (Title) (Telephone Number) (Fax Number)
(Signature) (Date) (E-mail Address)
*Incorporated under the Laws of the State of and Names and Addresses of Officers:
(President) (Address)
(Secretary) (Address)
(Treasurer) (Address)
*The name of the State under which the Laws of the Corporation was Chartered, and the name,
title, and business address of the President, Secretary, and Treasurer must be shown.
MCSO Vehicle Impound Lot Serial # 16059-DBB
Request for Bids - Design Bid Build Pg. #15

Attachment B - SUBCONTRACTOR LISTING
SUBMIT THIS ATTACHMENT B WITH EITHER;
1). Your Bid Package, Or
2). Within twenty-four (24) hours after this solicitations due date
The following is a listing of material suppliers and/or subcontractors, which will be used by
CONTRACTOR in the event the undersigned enters into a CONTRACT with the COUNTY.
No changes of the subcontractors and material suppliers named herein shall be made without the
prior written approval of the COUNTY.
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David Gray- President
(Title)
12/1/15
(Date)
MCSO Vehicle Impound Lot Serial # 16059-DBB
Request for Bids - Design Bid Build Pg. # 16

Attachment C - LEGAL WORKER CERTIFICATION
12/1/15
(Date)
Maricopa County
Office of Procurement Services — Article 5
320 W. Lincoln Street
Phoenix, Arizona 85003
As required by Arizona Revised Statutes §41-4401, Maricopa County (the "County") is prohibited,
after September 30, 2008 from awarding a contract to any contractor who fails, or whose
subcontractors fail, to comply with Arizona Revised Statutes § 23-214-A. The undersigned entity
warrants that it complies fully with all federal immigration laws and regulations that relate to its
employees, that it shall verify, through the employment verification pilot program as jointly
administered by the U.S. Department of Homeland Security and the Social Security Administration
or any of its successor programs, the employment eligibility of each employee hired after December
31, 2007, and that it shall require its subcontractors and sub-subcontractors to provide the same
warranties to the below entity.
The undersigned acknowledges that a breach of this warranty by the below entity or by any
subcontractor or sub-subcontractor under any Contract resulting from this solicitation shall be
deemed a material breach of the Contract, and is grounds for penalties, including termination of the
Contract, by the County. The County retains the right to inspect the records of the below entity,
subcontractor and sub-subcontractor employee who performs work under the Contract, and to
conduct random verification of the employment records of the below entity and any subcontractor
and sub-subcontractor who works on the Contract, to ensure that the below entity and each
subcontractor and sub-subcontractor is complying with the warranties set forth above.
DNG Construction, LLC 1440 S. Priest Dr. Suite 104
Firm Address Line 1
Dominic DeMark Tempe, AZ 85281
Print Name Address Line 2
VP/CFO 480-361 -9137
Print Title Phone
dde 17:7) iv • 480-361-8353
Fax
46-0732805
Federal Taxpayer ID Number
MCSO Vehicle Impound Lot Serial # 16059-DBB
Request for Bids - Design Bid Build Pg. # 17

Attachment D - SURETY BOND
KNOW ALL MEN BY 1 I ILSE PAL,S0 Ts:
That we. DNG Construction, LLC , as Principal. (hereinafter called the Principal), and
the Travelers Casualty and Surety Company. of Amer Iert corporation duly organized under the laws of the
State of Connecticut as Surety, (hereinafter called the Surety. are held
and firmly bound unto Maricopa_County (hereinafter called the Obligee), in the sum of _ten percent
(10%) of the total amount of the bid of Principal, submitted by- birrt to the Obligee, for the woric
described below, for the payment of which sum, well and truly to be made, the said Principal and
the said Surety, bind themselves, their heirs, executors, and administrators, successors and 'assigns,
jointly and severally, firmly by these presents, and in. CottforInakee with. the Arizona Revised
Statutes,.
WHEREAS, -the said Principal is herewith.submitting its Bid, for Serial 4 16059-DBB. MCSO
Vehicle lin/mind Lot,
NOW, THEREFORE, if, the Obligee shall accept the Bid of the Principal and -the Principal shall
enter into a contract .with the Obligee in accordance with the terms, Of the Bid and give the-Bonds
and Certificates of Insurance as specified in -the Standard SpecifiCations with good and suffiCient
Surety for the Mithful performance of the contract and for the prompt payment of Inbar and material
furnished in the prosecution of the contract, or in the event of the failure of the Principal to enter
into the contract and give shell Bonds and Certificates of Insurance', if the Principal pays to the
Obligee the difference not to exceed the penalty of the bond between the amount specified in the
Bid and such larger amount for which the Obligee may in good faith contract with another party to
pertbrin the work covered by the Bid then this obligation is void. Otherwise it remains in full 'three'
and effect, provided however, that this bond is executed-pursuant to the provisions of Section .3 ,1-
201, A21 a Revised Statutes, and- all. liabilities on this bond shall he determined in accordance
with the provisions. of the section to the extent as Wit were copied at length. herein. _
Signed and sealed this 1st day of December . 20 15
Crest Insurance Group DN
Agent of Record, State of Arizona Principal
7272 E. Indian Sch Rd #375, Scottsdale, AZ 852
Agent Address
Travelers Casualty a. : Sure _ • pany of America
Bond Number BID120115DRAY B
Jeri Lynn Thompson, Attorney -in-File
Power of Attorney
Mao Vehicle 11.4potind Lot Serial # 1609-DBE
Reel-des'. fir Bids - Design Bid Maid J.

11-116 ruVvER OF ATTORNEY 10 INVALID WITHOUT THE RED BORDER
POWER OF ATTORNEY
TRAVELERS Farmington Casualty Company St, Paul Mercury Insurance Company
Fidelity and Guaranty Insurance Company Travelers Casualty and Surety Company
Fidelity and Guaranty Insurance Underwriters, Inc. Travelers Casualty and Surety Company of America
St. Paul Fire and Marine Insurance Company United States Fidelity and Guaranty Company
St. Paul Guardian Insurance Company
Attorney-In Fact No Certificate No. 006596030
230159
KNOW ALL MEN BY THESE PRESENTS: That Farmington Casualty Company, St. Paul Fire and Marine Insurance Company, St. Paul Guardian Insurance
Company, St. Paul Mercury Insurance Company, Travelers Casualty and Surety Company, Travelers Casualty and Surety Company of America, and United States
Fidelity and Guaranty Company are corporations duly organized under the laws of the State of Connecticut, that Fidelity and Guaranty insurance Company is a
corporation duly organized under the laws of the State of Iowa, and that Fidelity and Guaranty Insurance Underwriters, Inc., is a corporation duly organized under the
laws of the State of Wisconsin (herein collectively called the "Companies"), and that the Companies do hereby make, constitute and appoint
Michael J. Mesenbrink, and Jeri Lynn Thompson
of the City of Scottsdale , State of Arizona . their true and lawful Attorney(s)-in-Fact,
each in their separate capacity if more than one is named above, to sign, execute, seal and acknowledge any and all bonds, recognizances, conditional undertakings and
other writings obligatory in the nature thereof on behalf of the Companies in their business of guaranteeing the fidelity of persons, guaranteeing thc performance of
contracts and executing or guaranteeing bonds and undertakings required or permitted in any actions or proceedings allowed by law.
IN WITNESS WHEREOF, the Companies have caused this instrument to be signed and their corporate seals to be hereto affixed, this 13th
day of November , 2015
Farmington Casualty Company St. Paul Mercury Insurance Company
Fidelity and Guaranty Insurance Company Travelers Casualty and Surety Company
Fidelity and Guaranty Insurance Underwtiters, Inc. Travelers Casualty and Surety Company of America
St. Paul Fire and Marine Insurance Company United States Fidelity and Guaranty Company
St. Paul Guardian Insurance Company
State of Connecticut By:
City of Hartford ss.
On this the 13th day of November , 2015 , before me personally appeared Robert L. Raney, who acknowledged himself to
be the Senior Vice President of Farmington Casualty Company, Fidelity and Guaranty Insurance Company, Fidelity and Guaranty Insurance Underwriters, Inc., St. Paul
Fire and Marine Insurance Company, St. Paul Guardian Insurance Company, St. Paul Mercury Insurance Company, Travelers Casualty and Surety Company, Travelers
Casualty and Surety Company of America, and United States Fidelity and Guaranty Company, and that he, as such, being authorized so to do, executed the foregoing
instrument for the purposes therein contained by signing on behalf of the corporations by himself as a duly authorized officer.
In Witness Whereof, I hereunto set my hand and official seal. \\cf\.Ciftilt .
My Commission expires the 30th day of June, 2016. Made C. Tetreault, Notary Public
58440-8-12 Printed in U.S.A.
WARNING: THIS POWER OF ATTORNEY IS INVALID WITHOUT THE RED BORDER

Attachment E - NON COLLUSION AFFIDAVIT
STA 1E, OF ARIZONA
)§
COUNTY OF MARICOPA
David Gray , being first duly sworn, deposes and says:
That he is President of DNG Construction, LLC
(Title) (Name of Business)
bidding on 16059-DBB for the construction of MCSO Vehicle Impound Lot in the County of
Maricopa, State of Arizona.
That, in connection with the above-mentioned project, neither he, nor anyone associated with
the aforesaid business, has, directly or indirectly, participated in any collusion, entered into any
contract, combination, conspiracy or other act in restraint of trade or commerce in violation of
the provisions of A.R.S. § 34-251, Article 4, as amended.
Subscribed and sworn to before me this I ,g4 day of December 20 15 .
Notary Public
My Commission Expires: (Whie., c9 „2-o1r2
Notary Public State of Arizona
Maricopa County
Laura L Falcone
My Commission Expires 10/29/2017
MCSO Vehicle Impound Lot Serial # 16059-DBB
Request for Bids - Design Bid Build Pg. # 19

Attachment F - VERIFICATION OF LICENSE
Pursuant to A.R.S. § 32-1169, I hereby state that I hold a current contractor's license, duly issued by
the office of the Registrar of Contractors for the State of Arizona, said license has not been revoked,
that the license number, classification, and expiration date is: AZ ROC B -01 - 282951 Exp 1131/17
AZ ROC A- 288968 Exp 1/31/16 ; that my privilege license number (as required by
A.R.S. § 42-1305) is: 20902858 ; and that, if any exemption to the above licensing
requirements is claimed;
(1) The basis for the claimed exemption is: and;
(2) The names(s) and license number(s) of any general, mechanical, electrical, or plumbing
contractor(s) to be employed on the work are:
E e. ctoc, 0 ck
IT IS UNDERSTOOD THAT THE FILING OF AN APPLICATION CONTAINING FALSE OR
INCORRECT INFORMATION CONCERNING AN APPLICANTS CONTRACTORS LICENSE
OR PRIVILEGE LICENSE WITH THE INTENT TO VOID SUCH LICENSING
REQUIREMENTS IS UNS WORN FALSIFICATION PUNISHABLE ACCORDING TO A.R.S. §
13-2704.
David Gray-President 12/1/15
DATE
DNG Construction, LLC
COMPANY
MCSO Vehicle Impound Lot Serial # 16059-DBB
Request for Bids - Design Bid Build Pg. # 20

Maricopa County
Office of Procurement Services — Article 5
320 W. Lincoln Street
Phoenix, Arizona 85003
ADDENDUM NO. 1
TO MCSO Vehicle Impound Lot
SERIAL # 16059-DBB
PROJECT OWNERS PROJECT/CONTRACT # 16059-DBB
Addendum Date: November 23, 2015
County Project Owner: Faculties Management Department
MCSO Vehicle Impound Lot, 16059-DBB is herein modified. The provisions of said
documents applicable to these modifications remain unchanged unless specifically
indicated otherwise.
This Addendum No. 1 forms a part of the solicitation/contract documents and modifies
the clauses/provisions as follows:
TO ALL INTERESTED BIDDERS:
To be included in the Solicitation:
FENCES and GATES OPERATORS / GATE OPERATORS
SECTION 32 31 00.13/ SECTION 32 31 32
VEHICULAR SLIDE GATE OPERATOR
Addendum No I To MCSO Vehicle Impound Lot- 16059-DBB
Page 1 of 4

SEC 32 31 00.13 / 32 31 32 FENCES and GATE OPERATORS Page I of 5
FENCES and GATES OPERATORS / GATE OPERATORS
SECTION 32 31 00.13 / SECTION 32 31 32
VEHICULAR SLIDE GATE OPERATOR
PART 1 - GENERAL
1.1 WORK INCLUDED
A. Furnish and install a complete microprocessor based vehicular slide gate
operator system, with a solid-state board to control all functions of the
slide gate operator, as described herein and shown on the plans. Include
all necessary control boards, power supplies, loop detectors, connectors,
and accessories for a complete operational system.
1.2 CONTRACT DOCUMENTS
A. All equipment and work specified in this section shall comply, with all
the General Conditions of the specifications, contract documents, and
drawings as indicated.
1.3 RELATED WORK
A. Parking control / gate operator systems contractor shall coordinate all
work with other contractors and trades where necessary.
B. All necessary conduit, raceways and pull boxes shall be installed by the
electrical contractor.
C. Installation of the vehicular slide gate operator system shall be
coordinated with the installation of other parking control related
systems.
1.4 QUALITY ASSURANCE
A. Installation shall - comply with all applicable codes.
B. All equipment shall be new, in current production, and the standard
products of a manufacturer of vehicular gate operator equipment.
C. Manufacturer shall guarantee availability of parts, for a minimum of seven
(7) years from date of shipment.
D. If required, manufacturer shall be able to demonstrate features, functions
and operating characteristics to the Owner.
E. System shall be installed by a factory authorized contractor, with
technicians specifically trained in this system.
F. On-site maintenance and repair service shall be available locally and
within four t4) hours of notification for emergency condition.
1.5 REFERENCE STANDARDS
A. Vehicular Slide Gate Operator shall be in compliance with Underwriter
Laboratories Inc. (UL) Standard for Safety - Door, Drapery, Gate, Louver
and Window Operators and Systems, UL 325 Fourth Edition; and Underwriters
Laboratories Inc. (UL) Standard for Safety - Tests for Safety-Related
Controls Employing Solid-State Devices, UL 991 Second Edition.
B. Vehicular Slide Gate Operator shall be tested for compliance to UL 325 and
UL 991 and shall be LISTED by a Nationally Recognized Testing Laboratory
(ERTL).
SLIDE GATE OPERATOR 9100 REV 4/11

SEC 32 31 00,13 / 32 31 32 FENCES and GATE OPERATORS Page 2 of 5
C. Vehicular slide gate fabrication, construction and installation shall
conform to ASTM F2200; Standard Specification for Automated Vehicular Gate
Construction.
1.6 SUBMITTALS
A. Provisions: Comply with Section 01 33 00 SUBMITTALS.
B. Shall include an equipment list, data sheet (a), system description, block
diagrams on equipment to be furnished and electrical wiring diagrams for
Installation.
C. Shall include all data necessary to evaluate design, quality and
configuration of proposed equipment and system(s).
1.7 WARRANTY
A. Products shall include a factory warranty that equipment is free from
defects in design, material, manufacturing and operation. Factory
warranty period shall be for five (5) years parts and workmanship; 60-
months from date of shipment.
B. Manufacturer shall not be responsible for improper use, handling, or
installation of the product.
C. Installing contractor shall guarantee the equipment, wire and installation
for 12-months from date of acceptance.
PART 2 - PRODUCTS
2.1 ACCEPTABLE MANUFACTURERS
A. The system as described herein is based on the 9100 series vehicular slide
gate operator system, manufactured by DoorRing, Inc., Inglewood,
California. The vehicular slide gate system specified meets requirements
of the specifications and shall be considered as the acceptable Base Bid.
B. Owner will consider other Manufacturers and Systems as "or equals" which
meet the basis of the intended requirements. "Or Equal" consideration
will be based on ability to comply with all aspects of the specifications,
the desired functional operation, quality, reliability, design, size, and
appearance of the equipment, and the support capabilities of the
manufacturer.
2.2 SYSTEM DESCRIPTION
A. Slide Gate Operator:
1. The slide gate operator shall use a microprocessor based solid-state
control board that controls all functions of the slide gate
operator. Operator shall be rated for continuous duty for use in
residential and commercial applications.
2. Primary reduction system shall employ an adjustable clutch and power
transfer shall be provided by single cog belt drive train.
3. Operator shall employ magnetic sensing to set open and close limit
adjustment. Mechanical type limit switches shall not be allowed.
4_ Operator shall automatically set both open and close limit
adjustments upon power-up and activation in the open direction.
Operator shall automatically sense for any gate coasting to insure
true limit settings.
5. Pulling medium shall provide a positive mechanical connection to the
gate system. Friction driven rail type pulling mediums shall not be
allowed. Roller chain pulling medium shall be minimum size #41.
SLIDE GATE OPERATOR 5100 REV 4/11

SEC 32 31 00.13 / 32 31 32 FENCES and GATE OPERATORS Page 3 of 5
6. A positive dead bolt shall activate only when the gate is forced
open, to reduce solenoid lock wear and failure.
7. Operator shall be capable of being mounted at the front, center or
rear of the gate system, shall be designed for either left or right
hand mount and shall be designed for pad or post mounting.
8. Operator frame shall use 12-gauge G90 galvanized steel to avoid
rusting and shall be painted charcoal gray.
9. Operator shall have two 115 VAC convenience outlets available for
accessory transformer power and shall have a built-in lockable power
disconnect and reset switch.
B. Control Circuit:
1. Control board shall have connections for optional Gate Tracker
board. Gate tracker shall record operator cycles (x100), input
errors, loop detector errors, obstruction hits, and power up events.
Record shall be time and date stamped.
2. Control board shall allow a stop or a stop and reverse function
(settable) from a safety related input.
3. Control board shall have two ports for plug in of vehicular loop
detectors, (DoorKing, Models 9409 or 9410).
4. A dry set of relay contacts shall be available for external use, and
shall have four programmable functions.
5. A special input shall allow the gate to be partially opened.
6. A timer override function shall cause an opening gate to stop and
then reverse direction when the reverse loop(s) or reverse input is
clear even if the gate has not reached the full open position, to
help reduce tailgating.
7. Control board shall have separate inputs for external contact and
non-contact entrapment protection devices.
8. Functions will be user programmable by DIP-switches located on the
control board.
C. 'Fail-Safe Operation
1. To prioritize safety over security, operator shall assume a fail-
safe mode in the event of a power loss or if an entrapment is sensed
(entrapment alarm activated).
a. Operator shall revert to a fail-safe mode allowing the gate to
be pushed open without any special knowledge or use of any
special cranks, keys or other devices.
b. Provide option for fail-secure mode override.
D. Primary Electronic Reverse
1. The vehicular gate operator shall be equipped with an inherent
electronic obstruction sensing system. The electronic sensing
system shall automatically cause the gate operator to stop and
reverse if an obstruction is sensed during the open or close cycle.
2. For enhanced safety, the control circuit shall check the obstruction
sensing system circuit prior to the start of each cycle of
Operation. Should the control circuit detect a fault in the
obstruction sensing system, the motor shall not be allowed to start.
E. Secondary Entrapment Prevention
1. Non-contact sensors, or contact sensors, or combination thereof,
shall be utilized to prevent persons from becoming entrapped in the
gate system.
SI10E GATE OPERATOR 9100 REV 4/11

SEC 32 31 00.13 / 32 31 32 FENCES and GATE OPERATORS Page 4 of 5
2. Warning signs shall be installed in accordance with manufacturer's
installation instructions and DI, 325 guidelines.
F. A complete operational system shall be provided.
2.3 EQUIPMENT
A. Model 9100 Vehicular Slide Gate Operator
1. Single cog belt drive train with adjustable clutch.
2. Automatic limit / coast magnetic adjustment system.
3. Solid-state control circuit and motor control.
5. Partial open limit feature.
6. UL Class of Operation: I, II, III and IV.
7. f41 roller chain.
.8. 1/2 HP, 115 VAC, 5.4 Amp (typical). 1-ft/sec. 1000 Lb maximum
9. 30-ft maximum gate length, approximately
10. gate Dimensions: weight. 24 inches high, 12 inches wide, 11.5 inches deep.
B. Secondary Entrapment Prevention
1. Non-contact sensors (photo-cells). Select appropriate device for
application on project.
a. P/N 8080-010 Infrared thru-beam, 165 foot sensing distance.
b. P/N 8080-011 Photo-reflective beam, 30 foot sensing distance.
c. P/N 8080-030 Polarized photo-reflective beam, 35 foot sensing
d, P/N distance. 8080-031 Infrared thru-beam 65 foot sensing distance.
2. Contact sensors. Select appropriate device for application on
project. a. P/N 8080-015 Single-sided sensitivity with mounting channel
b: P/N 8080-020 Three-sided sensitivity with mounting channel.
c. P/N 8080-021 Sensor designed to mount on 2 inch round post.
d. P/N 8080-022 Sensor designed to mount on 2 inch square post;
C. Options 1. Vehicle Loop Detectors. Select appropriate device for application
on project.
a. P/N 9410-010 Single channel detector.
b. P/N 9409-010 Two channel detector.
2. Gooseneck Mounting Post for Access Control Entry Keypad.
a. Standard Gooseneck Style
3. Access Control.
a. P/N 1515-080 Digital Lock
b. System expansion capability (available dry contracts) for
Future Scramble Pad and/or Card Key Access.
D. A complete operational system shall be provided.
PART 3 - EXECUTION
3.1 A. INSTALLATION It is preferred, but not required, that this product be installed by a
qualified technician who is certified by the Institute of Door Dealer
Education and Accreditation (IDEA) as a Certified Automatic Gate Operator
Installer (CAGOI).
REV 4/11
SLIDE GATE OPERATOR 9100

SEC 32 31 00.13 / 32 31 34 FENCES and GATE OPERATORS Page 5 of 5
B. Model 9100 shall be post or pad mounted, as required.
1. Post mount (Requires DoorKing P/N 2600-418 base plate).
a. Mounting posts shall be welded to base plate and mounted in
concrete, firmly secured, plumb and level.
2. Pad a. mount. Mounted directly to a concrete pad, firmly secured, plumb and
C. Wiring shall level. be uniform and in accordance with national electric codes and
manufacturers instructions.
D. All splices shall be in easily accessible junction boxes or on terminal
E. . boards. All cable runs in all junction boxes shall be tagged and identified.
F. Coordinate all work with other effected trades and contractors.
3.2 SYSTEM INITIALIZING AND PROGRAMMING
A. System shall be turned on and adjustment made to meet requirements of
specifications and on-site conditions.
B. System shall function as specified_
3.3 SYSTEM TEST PROCEDURES
A. System shall be completely tested to assure that all components and
accessories are hooked-up and in working order.
B. System shall be pre-tested by contractor and certified to function in
accordance with plans and specifications.
C. System shall be tested in presence of owner's representative.
3.4 OWNER INSTRUCTIONS
A. Installation contractor shall conduct up to (1) hour of instruction in use
and operation of the system to designated owner representatives, within
(30) days of acceptance.
B. Installation contractor shell conduct up to (1) hour of technical
training, in troubleshooting and service of the system, to designated
owner representatives within (90) days of system acceptance.
3.5 MANUALS AND DRAWINGS
A. Contractor shall provide owner with (2) copies of standard factory
prepared operation, installation and maintenance manuals. Manuals shall
include typical wiring diagrams.
B. Contractor shall provide owner with (2) copies of any risers, layouts, and
special wiring diagrams showing any changes to standard drawings, if
required on project.
3.6 MAINTENANCE
A. The manufacturer recommends periodic maintenance at three month intervals
as described in the installation and maintenance manual_
B. External reversing devices should be checked at least once a month.
END OF SECTION
SLIDE GATE OPERATOR 5100 REV 4111

CLARIFICATIONS:
1. The soils report and Improvement plans, for the Durango Impound Yard, refer to MAC
Specification 710 for Asphalt Concrete. The usage of a Central Plant Mix, as referred to
within the report, just refers to the utilization of a local plant as the supplier. MAO
Specification 710.3 does include verbiage for Mix Design Requirements and a Mix
Design Report. A Mix Design Report shall include several elements including the mix
plant identification and/or location, as well as the supplier or producer name. The
awarded contractor will be required to submit a mix design report to be reviewed and
approved by the geotechnical engineer.
https://www.azmag.gov/Documents/2014 Specifications and Details Book.pdf
2. Separately, it needs to be noted that the receiving area of the Impound Yard shall be 5"
PCC (Portland Cement Concrete) Pavement and not 5" AC (Asphalt Pavement). The 5"
thick PCC, within the receiving area, is to be placed over 5" of Aggregate
Base. Construction Note #2, shown on sheets 4 — 7 of the improvement plan sheets,
was stated correctly with Concrete Pavement (PCC) whereas the detail for Construction
Note #2, shown on sheet 8 of 8, referenced both 5" AC and 5" PCC for the receiving
area. The Geometric Control Plan, sheet 2 of 8 of the Durango Campus Impound Yard, -
depicts it was considered to be the receiving area.
3. Construction Note 12 on sheets 4 of B and 5 of 8 indicates to install gate motor
assembly, (1/2 HP, 120V) Contractor to provide specs to County for approval.
Please confirm a spec for bidding purposes for these operators. Notes 13 and
14 also indicate to install a new access keypad and gate sensors with no spec,
please confirm a spec on these as well for bidding purposes. Please reference the
attached Specification Section 32 31 32 Gate Operators. -For bidding purposes only-
- Final specs to be determined prior to construction.
4. All costs for materials and soils testing for the project will be paid for by the
Owner or Owner's Representative per spec section 01 45 29 'Testing
Laboratory Services" and that the Contractor is only responsible for coordination
and schedule.
5. Awarded Contractor will be responsible for providing stamped structural
engineered shop drawings and calculations for the fencing, fence gate systems
and light pole bases.
6. Awarded Contractor, Subcontractors and Others visiting the site will need to
submit Maricopa County Sheriffs Office Background Paperwork - Clearance
only with badges issued and collected daily.
7. Water based traffic paint is fine for the parking stalls.
Addendum No 1 To MCSO Vehicle Impound Lot -16059-DBB Page 2 of 4

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• ' TO IS
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CONTRACTOR FENCE IN GAGE
FOR 12' TO POST
Addendum No 1 To MCSO Vehicle Impound Lot - 16059-DBB

ALL OTHER PROVISIONS SHALL REMAIN IN FULL FORCE AND EFFECT.
Project Owner Approval: Registrant Approval and Seal:
Firm Name: IA DS tr-v4--4
PL.
Signature:
Title:
Date; ) 23 ' 2426-
eyet Iv, 5 12(‘) 1 a
Included with your offer, your firracompany is required to acknowledge this addendum,
and every addendum, relating to this solicitation by completing the following information:
Addendum No Acknowledgement:
7Dt0.9- ck:N(
Firm Name,
Signatory Printed Name
A
Date
Addendum No I To NICSO Vehicle Impound Lot- 16059-DBB Page 4 ol d

Attachment I - STATUTORY PAYMENT BOND
• PURSUANT TO TITLE 34 CHAPTER 2, ARTICLE 2, OF THE ARIZONA REVISED STATUTES
(Penalty of this bond must be 100% of the Contract amount)
KNOW ALL MEN BY THESE PRESENTS:
That,DNG Construction, LLC (hereinafter called the Principal), as Principal, and-
Travelers Casualty and Surety Company of America a corporation organized and existing under the laws of the State of
Connecticut • with its principal office in the City of Hartford
(hereinafter called the Surety), as. seyen Surety tittharen are,, Ninety held one and tho firmly bound unto Maricopa County (hereinafter
called the Obligee), in the amount otEieht Hundred Eieht and no/PULLARS ($791,808.00 ); for
the payment whereof, the said Principal and Surety bind themselves, and their heirs, administrators,
executors, successors and assigns, jointly and severally, firmly by these presents.
WHEREAS, the Principal has entered into a certain written contract with the Obligee, dated the 13th
day °flan; 2016 , for MCSO Vehicle Impound Lot, I6059-DBB, which contract is hereby referred to and
made a part hereof as fully and to the same extent as if copied at length herein.
NOW, THEREFORE, THE CONDITION OF THIS OBLIGATION IS SUCH, that if the said Principal
promptly pays all monies due to all persons supplying labor or materials to the Principal or the Principal's
subcontractors in the prosecution of the work provided for in the contract, this obligation is void. Otherwise
it remains in full force and effect.
PROVIDED, HOWEVER, that this bond is executed pursuant to the provisions of Title 34, Chapter 2,
Article 2, of the Arizona Revised Statutes, and all liabilities on this bond shall be determined in accordance
with the provisions, conditions and limitations of Title 34, Chapter 2, Article 2, Arizona Revised Statutes, to
the same extent as if it was copied at length in this Agreement.
The prevailing party in a suit on this bond shall recover as a part of the judgment reasonable attorney's fees
that may be fixed by the court or a judge thereof.
Witness our hands this 13th day of January , 20 16
DNG Constructionj,LC
PRINCIPAL
I•I
Crest Insurance Group BY
AGENT OF RECORD, STATE OF AZ
7272 E. Indian School Rd #375, Scottsdale, AZ 85251 Travelers Casualty and Surety Company of America
AGENT ADDRESS
BOND NUMBER: 106408275
MCSO Vehicle Impound Lot Serial # 16059=DBB
Request for Bids - Design Bid Build Pg. # 28

Attachment J - STATUTORY PERFORMANCE BOND
PURSUANT TO TITLE 34 CHAPTER 2, ARTICLE 2, OF THE ARIZONA REVISED STATUTES
(Penalty of this bond must be 100% of the Contract amount)
KNOW ALL MEN BY THESE PRESENTS:
That, DNG Construction, LLC (hereinafter called the Principal), as Principal, and
Travelers Casualty and Surety Company of America a corporation organized and existing under the laws of the State
of Connecticut , with its principal office in the City of Hartford (hereinafter
called the Surety), as Surety are held and firm!' bound unto Maricopa County, (hereinafter called the
Obligee) in the amount beven.Hurrded Oiliiindred Fight Ninety and Une no'%10511,14 KS ($ 791,808.00 ), for the
payment whereof, the said Principal and Surety bind themselves, and their heirs, administrators, executors,
successors and assigns, jointly and severally, firmly by these presents.
WHEREAS, the Principal has entered into a certain written contract with Obligee, dated the 13th day of
Jan. .20 16 , for MCSO Vehicle Impound Lot, I6059-DBB, which contract is hereby
referred to and made a part hereof as fully and to the same extent as if copied at length herein.
NOW, THEREFORE, THE CONDITION OF THIS OBLIGATION IS SUCH, that if the said Principal shall
faithfully perform and fulfill all the undertakings, covenants, terms, conditions and agreements of said
contract during the original term of said contract and any extension thereof, with or without notice to the
Surety, and during the life of any guaranty required under the contract, and shall also perform and fulfill all
the undertakings, covenants, terms, conditions, and agreements of any and all duly authorized modifications
of said contract that may hereafter be made, notice of which modifications to the Surety being hereby
waived; then the above obligation shall be void, otherwise to remain in full force and effect;
PROVIDED, HOWEVER, that this bond is executed pursuant to the provisions of Title 34, Chapter 2,
Article 2, of the Arizona Revised Statutes, and all liabilities on this bond shall be determined in accordance
with the provisions of said Title, Chapter, and Article, to the extent as if it was copied at length herein. The
prevailing party in a suit on this bond shall be entitled to such reasonable attorney's fees as may be fixed by a
judge of the court.
Witness our hands this 13th day of January , 20 16.
DNG Construction, LLC
PRINCIPAL
Crest Insurance Group
AGENT OF RECORD, STATE OF AZ BY:
7272 E. Indian School Rd #375, Scottsdale, AZ 85251 Travelers Casualty and Surety Company of America
AGENT ADDRESS SURETY
BOND NUMBER: 106408275 BY: ifft„,..thai
Thomn, Att -,m=Fact
MCSO Vehicle Impound Lot Serial # I6059-DBB
Request for Bids - Design Bid Build Pg. #29

WARNING: THIS POWER OF ATTORNEY IS INVALID WITHOUT THE RED BORDER
POWER OF ATTORNEY
TRAVELERgl Farmington Casualty Company St. Paul Mercury Insurance Company
Fidelity and Guaranty Insurance Company Travelers Casualty and Surety Company
Fidelity and Guaranty Insurance Underwriters, Inc. Travelers Casualty and Surety Company of America
St. Paul Fire and Marine Insurance Company United States Fidelity and Guaranty Company
St. Paul Guardian Insurance Company
Attorney-In Fact No. Certificate No. 006596032
230159
KNOW ALL MEN BY THESE PRESENTS: That Farmington Casualty Company, St. Paul Fire and Marine Insurance Company, St. Paul Guardian Insurance
Company, St. Paul Mercury Insurance Company, Travelers Casualty and Surety Company, Travelers Casualty and Surety Company of America, and United States
Fidelity and Guaranty Company are corporations duly organized under the laws of the State of Connecticut, that Fidelity and Guaranty Insurance Company is a
corporation duly organized under the laws of the State of Iowa, and that Fidelity and Guaranty Insurance Underwriters, Inc., is a corporation duly organized under the
laws of the State of Wisconsin (herein collectively called the "Companies"), and that the Companies do hereby make, constitute and appoint
Michael J. Mesenbrink, and Jeri Lynn Thompson
of the City of Scottsdale , State of Arizona , their true and lawful Attorney(s)-in-Fact,
each in their separate capacity if more than one is named above, to sign, execute, seal and acknowledge any and all bonds, recognizances, conditional undertakings and
other writings obligatory in the nature thereof on behalf of the Companies in their business of guaranteeing the fidelity of persons, guaranteeing the performance of
contracts and executing or guaranteeing bonds and undertakings required or permitted in any actions or proceedings allowed by law.
IN WITNESS WHEREOF, the Companies have caused this instrument to be signed and their corporate seals to be hereto affixed, this 13th
day of November 2015
Farmington Casualty Company St. Paul Mercury Insurance Company
Fidelity and Guaranty Insurance Company Travelers Casualty and Surety Company
Fidelity and Guaranty Insurance Underwriters, Inc. Travelers Casualty and Surety Company of America
St. Paul Fire and Marine Insurance Company United States Fidelity and Guaranty Company
SL Paul Guardian Insurance Company
t4..6,RP ........ OR,,,r2;
State of Connecticut
City of Hartford ss.
On this the 13th day of November 2015 , before me personally appeared Robert L. Raney, who acknowledged himself to
be the Senior Vice President of Farmington Casualty Company, Fidelity and Guaranty Insurance Company, Fidelity and Guaranty Insurance Underwriters, Inc., St. Paul
Fire and Marine Insurance Company, St. Paul Guardian Insurance Company, St. Paul Mercury Insurance Company, Travelers Casualty and Surety Company, Travelers
Casualty and Surety Company of America, and United States Fidelity and Guaranty Company, and that he, as such, being authorized so to do, executed the foregoing
instrument for the purposes therein contained by signing on behalf of the corporations by himself as a duly authorized officer.
In Witness Whereof, I hereunto set my hand and official seal. \cfatt C . .i,fteOlJARd+
My Commission expires the 30th day of June, 2016. Marie C. Tetreault, Notary Public
58440-8-12 Printed in U.S.A.
WARNING: THIS POWER OF ATTORNEY IS INVALID WITHOUT THE RED BORDER

WARNING: THIS POWER OF ATTORNEY IS INVALID WITHOUT THE RED BORDER
This Power of Attorney is granted under and by the authority of the following resolutions adopted by the Boards of Directors of Farmington Casualty Company, Fidelity
and Guaranty Insurance Company, Fidelity and Guaranty Insurance Underwriters, Inc., St. Paul Fire and Marine Insurance Company, St. Paul Guardiaii Insuranie
Company, St. Paul Mercury Insurance Company, Travelers Casualty and Surety Company, Travelers Casualty and Surety Company of America, and United States
Fidelity and Guaranty Company, which resolutions are now in full force and effect, reading as follows:
RESOLVED, that the Chairman, the President, any Vice Chairman, any Executive Vice President, any Senior Vice President, any Vice President, any Second Vice
President, the Treasurer, any Assistant Treasurer, the Corporate Secretary or any Assistant Secretary may appoint Attorneys-in-Fact and Agents to act for and on behalf
of the Company and may give such appointee such authority as his or her certificate of authority may prescribe to sign with the Company's name and seal with the
Company's seal bonds, recognizances, contracts of indemnity, and other writings obligatory in the nature of a bond, recognizance, or conditional undertaking, and any
of said officers or the Board of Directors at any time may remove any such appointee and revoke the power given him or her; and it is
FURTHER RESOLVED, that the Chairman, the President, any Vice Chairman, any Executive Vice President, any Senior Vice President or any Vice President may
delegate all or any part of the foregoing authority to one or more officers or employees of this Company, provided that each such delegation is in writing and a copy
thereof is filed in the office of the Secretary; and it is
FURTHER RESOLVED, that any bond, recognizance, contract of indemnity, or writing obligatory in the nature of a bond, recognizance, or conditional undertaking
shall be valid and binding upon the Company when (a) signed by the President, any Vice Chairman, any Executive Vice President, any Senior Vice President or any Vice
President, any Second Vice President, the Treasurer, any Assistant Treasurer, the Corporate Secretary or any Assistant Secretary and duly attested and sealed with the
Company's seal by a Secretary or Assistant Secretary; or (b) duly executed (under seal, if required) by one or more Attorneys-in-Fact and Agents pursuant to the power
prescribed in his or her certificate or their certificates of authority or by one or more Company officers pursuant to a written delegation of authority; and it is
FUR' HER RESOLVED, that the signature of each of the following officers: President, any Executive Vice President, any Senior Vice President, any Vice President,
any Assistant Vice President, any Secretary, any Assistant Secretary, and the seal of the Company may be affixed by facsimile to any Power of Attorney or to any
certificate relating thereto appointing Resident Vice Presidents, Resident Assistant Secretaries or Attorneys-in-Fact for purposes only of executing and attesting bonds
and undertakings and other writings obligatory in the nature thereof, and any such Power of Attorney or certificate bearing such facsimile signature or facsimile seal
shall be valid and binding upon the Company and any such power so executed and certified by such facsimile signature and facsimile seal shall be valid and binding on
the Company in the future with respect to any bond or understanding to which it is attached.
I, Kevin E. Hughes, the undersigned, Assistant Secretary, of Farmington Casualty Company, Fidelity and Guaranty Insurance Company, Fidelity and Guaranty Insurance
Underwriters, Inc., St. Paul Fire and Marine Insurance Company, St. Paul Guardian Insurance Company, St. Paul Mercury Insurance Company, Travelers Casualty and
Surety Company, Travelers Casualty and Surety Company of America, and United States Fidelity and Guaranty Company do hereby certify that the above and foregoing
is a true and correct copy of the Power of Attorney executed by said Companies, which is in full force and effect and has not been revoked.
uN TESTIIVIONY WHEREOF, I have hereunto set my hand and affixed the seals of said Companies this 1 3th day of JanuarY , 20 6
Kevin E. Hughes, Assistant Sec tary
To verify the authenticity of this Power of Attorney, call 1-800-421-3880 or contact us at www.travelersbond.com . Please refer to the Attorney-In-Fact number, the
above-named individuals and the details of the bond to which the power is attached.
WARNING: THIS POWER OF ATTORNEY IS INVALID WITHOUT THE RED BORDER

DNGCO-2 OP ID: MJ
-
,10C7CAFULY DATE (MWDEVYYYY)
4....---- CERTIFICATE OF LIABILITY INSURANCE
12/03/15
THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE HOLDER. THIS
CERTIFICATE DOES NOT AFFIRMATIVELY OR NEGATIVELY AMEND, EXTEND OR ALTER THE COVERAGE AFFORDED BY THE POLICIES
BELOW. THIS CERTIFICATE OF INSURANCE DOES NOT CONSTITUTE A CONTRACT BETWEEN THE ISSUING INSURER(S), AUTHORIZED
REPRESENTATIVE OR PRODUCER, AND THE CERTIFICATE HOLDER.
IMPORTANT: If the certificate holder is an ADDITIONAL INSURED, the policy(ies) must be endorsed. If SUBROGATION IS WAIVED, subject to
the terms and conditions of the policy, certain policies may require an endorsement. A statement on this certificate does not confer rights to the
certificate holder in lieu of such endorsement(s).
PRODUCER Phone: 623-215-1300 =CT Michelle Reif
THE MAHONEY GROUP - PHOENIX Fax: 623-215-1333 tZliaNio, Ext): 623-215-1317 FAX (NC, No): 623-215-1333
20333 N. 19th Ave Ste 200 E-MAIL
Phoenix, AZ 85027 ADDRESS: mreif@mahoneygroup.com
Peter J. Couture
INSURER(S) AFFORDING COVERAGE NAIC #
INSURER A : Depositors Insurance Company 42587
INSURED DNG Construction,LLC INSURER B : AMCO Insurance Company 19100
1440 S Priest Drive, #104 INSURER C : Atlantic Specialty Company 27154
Tempe, AZ 85281
INSURER D:
INSURER E:
INSURER F:
- - - - --- REVISION NUMBER:
THIS IS TO CERTIFY THAT THE POLICIES OF INSURANCE LISTED BELOW HAVE BEEN ISSUED TO THE INSURED NAMED ABOVE FOR THE POLICY PERIOD
INDICATED. NOTWITHSTANDING ANY REQUIREMENT, TERM OR CONDITION OF ANY CONTRACT OR OTHER DOCUMENT WITH RESPECT TO WHICH THIS
CERTIFICATE MAY BE ISSUED OR MAY PERTAIN, THE INSURANCE AFFORDED BY THE POLICIES DESCRIBED HEREIN IS SUBJECT TO ALL THE TERMS,
EXCLUSIONS AND CONDITIONS OF SUCH POLICIES. LIMITS SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS.
INSR LTR TYPE OF INSURANCE ADDL INSR SUBR INVD POLICY NUMBER (MM/DD/YYYY) POLICY EFF IMM/DD/YYYY1 POLICY EXP LIMITS
GENERAL LIABILITY EACH OCCURRENCE $ 1,000,000
A X COMMERCIAL GENERAL LIABILITY X X ACP3006967242 12/31/14 12131/15 pipiccsmERaEoNecruEroren.) $ 100,000
CLAIMS-MADE X OCCUR MED EXP (Any one person) $ 5,000
X $2,000 Deductible PERSONAL & ADV INJURY $ 1,000,000
GENERAL AGGREGATE $ 2,000,000
GE 'L AGGREGATE LIMIT APPLIES PER: PRODUCTS - COMP/OP AGG $ 2,000,000
POLICY x FET LOC $
AUTOMOBILE LIABILITY (ECM OBINED a accident) S INGLE LIMIT $ 1,000,000
B X ANY AUTO X X ACP3006967242 12/31/14 12/31/15 BODILY INJURY (Per person) $
ALL OWNED SCHEDULED BODILY INJURY (Per accident) $
AUTOS AUTOS
X HIRED AUTOS X NON -OWNED PROPERTY (Per accident) DAMAGE $
$
x UMBRELLA LIAB X OCCUR EACH OCCURRENCE $ 2,000,000
EXCESS LIAB CLAIMS -MADE ACP3006967242 12/31/14 12/31/15 AGGREGATE $ 2,000,000
DED RETENTION $ $
WORKERS COMPENSATION X TVar Lf'IIIIT-S 0d41 ,
B AND ANY PROPRIETOR/PARTNER/EXECUTIVE EMPLOYERS' LIABILITY Y / N ACP3006967242 12/31/14 12/31/15 E.L. EACH ACCIDENT $ 1,000,000
OFFICER/MEMBER (Mandatory in NH) EXCLUDED? N/A E.L. DISEASE - EA EMPLOYEE $ 1,000,000
If DESCRIPTION yes, describe under OF OPERATIONS below EL. DISEASE - POLICY LIMIT $ 1,000,000
C Builders Risk 7900157460000 09/01/14 09/01/15 Limit 30,000,000
Monthly Reporting Ded 5,000
DESCRIPTION OF OPERATIONS / LOCATIONS / VEHICLES (Attach ACORD 101, Additional Remarks Schedule, if more space is required)
Job: New Vehicle Impound Lot Solicitation 16059-DBB - Contract Number:
16059-DBB MCSO#: FM160001 DNG No 15-01-121 - 3225 W. Gibson Lane, Phoenix,
Arizona. Maricopa County additional insured per CG7323 1111, CG7246 AC0102
0310 & AC0101A 0310. Leased/Rented Equipment - limit $125.000 - deductible
$1,000
CELLATION
MARICOP
SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE
THE EXPIRATION DATE THEREOF, NOTICE WILL BE DELIVERED IN
ACCORDANCE WITH THE POLICY PROVISIONS.
Maricopa County, Facilities
Management Department AUTHORIZED REPRESENTATIVE
Office of Procurement Services
401 W. Jefferson Street / ,
,
iPhoenix, AZ 85003
© 1988-2010 ACORD CORPORATION. All rights reserved.
ACORD 25 (2010/05) The ACORD name and logo are registered marks of ACORD

Policy #ACP3006967242
COMMERCIAL GENERAL LIABILITY
CG 72 46 02 12
THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY.
BLANKET ADDITIONAL INSURED ENDORSEMENT
COMMERCIAL CONTRACTORS COVERAGE
This endorsement modifies insurance provided under the following:
COMMERCIAL GENERAL LIABILITY COVERAGE PART
A. WHO IS AN INSURED (Section II) is amended 3. The coverage provided to the additional
to include as an insured any person or insured by this endorsement and paragraph
organization whom you are required to add as an 11 of the definition of "insured contract" under
additional insured on this policy under a written DEFINITIONS (SECTION V) does not apply
contract or written agreement, The written to "bodily injury" or "property damage"
contract or written agreement must be: caused in whole or in part by the "products-
1. Valid and legally enforceable; completed operations hazard" unless
2. Currently in effect or becoming effective required by the written contract or written
during the term of this policy; and agreement. When coverage does apply to
"bodily injury" or "property damage" caused
3. Executed prior to an "occurrence" resulting in whole or in part by the "products-
in "bodily injury", "property damage," or completed operations hazard" such
"personal and advertising injury." coverage will not apply beyond the period of
B. The insurance provided 10 the additional insured time required by the written contract or
• is further limited as follows: written agreement.
1. That person or organization is an additional 4. The insurance provided to the additional
insured, but only with respect to liability for insured does not apply to:
"bodily injury" or "property damage" caused, "Bodily injury", "property damage", or
in whole or in part, by "your work" for the "personal and advertising injury" arising out
additional insured which is the subject of the of the rendering of, or failure to render, any
written contract or written agreement. professional architectural, engineering or
2. If we insured the Named Insured for more surveying services, including:
than one annual policy period: a. The preparing, approving, or failure to
a. Only the policy in effect at ihe time the prepare or approve maps, shop
"bodily injury"," properly damage", or drawings, opinions, reports, surveys,
"personal and advertising injury" first field orders, change orders or drawings
occurs will apply; and specifications; and
b. "Bodily injury", "property damage", or b. Supervisory, inspection, architectural or
"personal and advertising injury", first engineering activities.
occurs when it is initially discovered by c. Defects in design or specifications
any person; furnished by the additional insured or its'
c. Any continuation, progression, change "employees".
or resumption of "bodily injury', "property 5. We have no duty to defend or indemnify an
damage", or "personal and advertising additional insured under this endorsement:
injury" will be deemed to be one a. For any loss which occurs prior to our
occurrence; Named Insured corn men ci ng operations
d. Our limit of liability will not exceed 1he at the location of the loss_
Limits of Insurance for one annual policy
• period_
CG 72 46 02 12 Includes copyrighted material of Insurance Services Office, Inc., Page 1 of 3
with its permission.

CO 72 46 02 12
b. Until we receive written notice of a claim b. Excess Insurance
or "suit" from the additional insured as This insurance is excess over:
required in the Duties In The Event of (1) Any of the other insurance, whether
Occurrence, Offense, Claim or Suit primary, excess, contingent or on
Condition. any other basis:
C. With respect to the coverage provided under this (a) That is Fire, Extended
endorsement, the COMMERCIAL GENERAL Coverage, Builder's Risk,
LIABILITY CONDITIONS (SECTION IV) are Installation Risk or similar
amended as follows: coverage for "your work";
1. The following is added to the Duties In The (b) That is fire, lightning, or
Event of Occurrence, Offense, Claim or Suit explosion insurance for
Condition: premises rented to you or
temporarily occupied by you
An additional insured under this with permission of the owner;
endorsement will as soon as practicable: (c) That is insurance purchased by
(1) Give written notice of an occurrence you to cover your liability as a
or an offense to us which may result tenant for "properly damage" to
in a claim or "suit" under this premises rented to you or
insurance; temporarily occupied by you with
(2) Agree to trigger or activate any other permission of the owner; or
insurance which the additional (d) If the loss arises out of the
insured has for a loss we cover maintenance or use of aircraft,
under this Coverage Part by "autos" or watercraft to the
tendering the defense to the extent not subject to Exclusion
insurers of all such other insurance; g. of Section I — Coverage A —
2. With respect to the coverage provided under Bodily Injury And Property
this endorsement, Condition 4. Other Damage Liability
Insurance is replaced by the following: (e) Thai is any other insurance
available to an additional
a. Primary Insurance insured under this endorsement
This insurance is primary if you have covering liability for damages
agreed in a written contract or written arising out of the premises or
agreement: operations, or products and
(1) That this insurance be primary. 11 completed operations, for which
other insurance is also primary, we the additional insured has been
will share with all that other added as an additional insured
insurance as described in c. below; by that other insurance.
or (2) When this insurance is excess, we
(2) The coverage afforded by this will have no duty under Coverages A
insurance is primary and non- or B to defend the additional insured
contributory with the additional against any "suit" if any other insurer
has a duty to defend the additional
insured's own insurance. insured against that "suit". If no
Paragraphs (1) and (2) do not apply other insurer defends, we will
to other insurance to which the undertake to do so, but we will be
additional insured has been added entitled to the additional insured's
as an additional insured or to other rights against all those other
insurance described in paragraph b. insurers.
below. (3) When this insurance is excess over
other insurance, we will pay only our
share of the amount of the loss, if
any, that exceeds the sum of:
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with its permission.

CG 72 46 02 12
(a) The total amount that all such C. Method of Sharing
other insurance would pay for If all of the other insurance available to
the loss in the absence of this the additional insured permits
insurance; and contribution by equal shares, we will
(b) The total of all deductible and follow this method also. Under this
self insured amounts under all approach each insurer contributes equal
that other insurance. amounts until it has paid its applicable
(4) We will share the remaining loss, if limit of insurance or none of the loss
any, with any other insurance that is remains, whichever comes first.
not described in this Excess If any of the other insurance available to
Insurance provision and was not The additional insured does not permit
bought specifically to apply in contribution by equal shares, we will
excess of the Limits of Insurance contribute by limits. Under this method,
shown in the Declarations of this each insurer's share is based on the
Coverage Part_ ratio of its applicable limit of insurance to
the total applicable limits of insurance of
all insurers.
All terms and conditions of this policy apply unless modified by this endorsement.
CG 72 46 02 12 Includes copyrighted material of Insurance Services Office Inc., Page 3 of 3
with its permission.

Policy #ACP3006967242
COMMERCIAL GENERAL LIABILITY
CG 73 23 11 11
THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY.
CONTRACTORS ENHANCEMENT PLUS ENDORSEMENT
This endorsement modifies insurance provided under the following:
COMMERCIAL GENERAL LIABILITY COVERAGE FORM
LOST KEY COVERAGE "Loss" means unintentional damage or
SECTION I — COVERAGES, COVERAGE A destruction but does not include disappearance,
BODILY INJURY AND PROPERTY DAMAGE theft, or loss of use.
LIABILITY, coverage is extended to include the NON-OWNED WATERCRAFT
following: SECTION I — COVERAGES, COVERAGE A
If a customer's master or grand key, excluding BODILY INJURY AND PROPERTY DAMAGE
electronic key card, is lost while in your care, LIABILITY, 2. Exclusions is amended as follows:
custody or control we will pay the cost of g. Aircraft, Auto Or Watercraft (2) (a) is
replacing the keys, including the master lock and replaced with:
all keys used in the same lock, the cost of (a) Less than 51 feet long; and
adjusting locks to accept the new keys, or the
cost to replace the locks, whichever is less. EXPANDED PROPERTY DAMAGE COV-
Limit of Insurance - The most we will pay for ERAGE
"loss" arising out of any one "occurrence" is For the purposes of this endorsement only:
$5,000. SECTION I — COVERAGES, COVERAGE A
SECTION V DEFINITIONS is amended as BODILY INJURY AND PROPERTY DAMAGE
follows: LIABILITY, 2. Exclusions is amended as follows:
The following definition applies to Lost Key a. Exclusions j.(3), j.(5), and j.(6) are
Coverage: deleted in their entirety.
"Loss" means unintentional physical damage or b. Exclusion j.(4) is deleted in its entirety
destruction to tangible property, including theft or and replaced by the following:
disappearance. Tangible property does not Personal property in the care custody or
include money or securities. control of the insured:
VOLUNTARY PROPERTY DAMAGE 1. for storage or sale at premises you
SECTION I — COVERAGES, COVERAGE A own, rent or occupy; or
BODILY INJURY AND PROPERTY DAMAGE 2. while being transported by any
LIABILITY, coverage is extended to include the aircraft, "auto" or watercraft owned
following: or operated by or rented to or loaned
At your request, we will pay for "property damage" to to any insured.
property of others caused by you and while in your c. The following exclusions are added:
possession, arising out of your business operations 1. The coverage provided by this
and occurring during the policy period. endorsement does not apply to
Limit of Insurance - The most we will pay for "property damage" arising out of the
"loss" arising out of any one "occurrence" is disappearance or loss of use of
$500. personal property.
SECTION V — DEFINITIONS is amended as 2. The coverage provided by this
follows: endorsement does not apply to
The following definition applies to Voluntary "property damage" included in the
Property Damage coverage: "products-completed operations
hazard".
CG 73 23 11 11 Includes copyrighted material of Insurance Services Office, Inc., Page 1 of 6
with its permission.

POLICY NO. ACP7262273468
CG 73 23 11 11
Limit of Insurance - The most we will pay b. Up to $2,500 for cost of bail bonds
for "property damage" provided by this required because of accidents or traffic
coverage in any one "occurrence" is $5,000. law violations arising out of the use of
Deductible - Our obligation to pay for a any vehicle to which the Bodily Injury
covered loss applies only to the amount of Liability Coverage applies. We do not
loss in excess of $250. have to furnish these bonds.
This insurance is excess over any other valid 2. 1. d. replaced with:
and collectible insurance. d. All reasonable expenses incurred by the
DAMAGE TO PREMISES RENTED TO YOU insured at our request to assist us in the
investigation or defense of the claim or
SECTION I — COVERAGES, COVERAGE A "suit", including actual loss of earnings
BODILY INJURY AND PROPERTY DAMAGE up to $500 a day because of time off
LIABILITY, the last paragraph of 2. Exclusions from work.
of is replaced by the following:
NEWLY FORMED AND ACQUIRED
If Damage to Premises Rented to You is ORGANIZATIONS
not otherwise excluded, exclusions C.
through n. do not apply to damage by fire, SECTION II — WHO IS AN INSURED is
lightning, explosion, smoke or sprinkler amended as follows:
leakage to premises while rented to you or 1. 3. a. is replaced with:
temporarily occupied by you with permission a. Coverage under this provision is
of the owner. A separate limit of insurance afforded only until the 180th day after you
applies to this coverage as described in acquire or form the organization or the
Section III-Limits of Insurance. end of the policy period, whichever is
SECTION III — LIMITS OF INSURANCE, earlier;
paragraph 6 is replaced with: ADDITIONAL INSURED — WHEN REQUIRED
6. Subject to 5. above, the Damage To IN AN AGREEMENT OR CONTRACT WITH
Premises Rented To You Limit is the most YOU PRIMARY AND NON-CONTRIBUTORY
we will pay under Coverage A for damages The following is added to SECTION II — WHO IS
because of "property damage" to any one AN INSURED
premises, while rented to you, or in the case 4. Any person(s) or organization(s) with whom
of damage by fire, lightning, explosion, you have agreed in a valid written contract or
smoke or sprinkler leakage, while rented to written agreement that such person or
you or temporarily occupied by you with organization be added as an additional
permission of the owner. The limit is insured on your policy during the policy
increased to $300,000. period shown in the Declarations. Such
SECTION IV — COMMERCIAL GENERAL person or organization is an additional
LIABILITY CONDITIONS, 4. Other Insurance, insured only with respect to liability for
b. Excess Insurance (1) (a) (ii) is replaced "bodily injury", "property damage" or
with: "personal and advertising injury".
(ii) That is Fire, Lightning, Explosion, The person or organization added as an
Smoke or Sprinkler leakage insurance insured by this endorsement is an insured
for premises rented to you or temporarily only to the extent you are held liable due to:
occupied by you with permission of the a. Lessors of Leased Equipment
owner. Maintenance, operation or use of
SUPPLEMENTARY PAYMENTS equipment leased to you by such person
SECTION I — COVERAGES, SUPPLEMEN- or organization. This insurance does not
TARY PAYMENTS — COVERAGES A AND B is apply to any "occurrence" which takes
amended as follows: place after the equipment lease expires.
1. 1. b. replaced with: However, their status as additional
insured under this policy ends when their
lease, contract or agreement with you
for such leased equipment expires.
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with its permission.

CG 73 23 11 11
b. Managers or Lessors of Premises The insurance does not apply to:
The ownership, maintenance or use of (1) "bodily injury", "property damage", or
that part of the premises you own, rent, "personal and advertising injury" arising
lease or occupy. out of the rendering of or the failure to
This insurance does not apply to: render any professional architectural,
engineering or survey services,
(1) Any "occurrence' which takes place including:
after you cease to be a tenant in that
premises. (a). The preparing, approving, or failing
to prepare or approve maps, shop
(2) Structural alterations, new con- drawings, opinions, reports, survey,
struction or demolition operations field orders, change orders or
performed by or on behalf of the drawings and specifications: or
person or organization.
(b) Supervisory, inspection, architec-
However, their status as additional tural or engineering activities.
insured under this policy ends when you
cease to be a tenant of such premises. (2) "Bodily injury" or "property damage"
occurring after:
c. State or Political Subdivision - (a) All work, including materials, parts
Permits or equipment furnished in
Operations performed by you or on your connection with such work, on the
behalf for which the state or political project (other than service,
subdivision has issued a permit. maintenance or repairs) to be
This insurance does not apply to: performed by or on behalf of the
(1) "Bodily injury" or "property damage" additional insured(s) at the location
of the covered operations has been
or "personal or advertising injury" completed; or
arising out of operations performed
for the state or municipality; or (b) That portion of "your work" out of
which the injury or damage arises
(2) "Bodily injury" or "property damage" has been put to its intended use by
included within the "products- any person or organization other
completed operations hazard". than another contractor or
However, such state or political subcontractor engaged in
subdivision's status as additional insured performing operations for a principal
under this policy ends when the permit as a part of the same project.
ends. However, a person or organization's
d. Owners, Lessees, or Contractors status as additional insured under this
"Bodily injury", "property damage" or policy ends when your operations for
"personal and advertising injury" caused, in that additional insured are completed.
whole or in part, by: With respect to paragraph 4 of SECTION II
(1) Your acts or omissions; or WHO IS AN INSURED, Condition 4. Other
Insurance of Section IV — Commercial
(2) The acts or omissions of those acting on General Liability Conditions is replaced by the
your behalf; following:
in the performance of your ongoing 4. Other Insurance
operations performed for that additional If other valid and collectible insurance is
insured, whether the work is performed by available to the insured for a loss we cover
you or on your behalf. under Coverages A or B of this Coverage
Part, our obligations are limited as follows:
a. Primary Insurance
This insurance is primary if you have
agreed in a written contract or written
agreement:
CG 73 23 11 11 Includes copyrighted material of Insurance Services Office, Inc., Page 3 of 6
with its permission.

CG 73 23 11 11
(1) That this insurance be primary. If
other insurance is also primary, we (2) When this insurance is excess, we
will share with all that other will have no duty under Coverages A
insurance as described in c. below; or B to defend the additional insured
or against any "suit" if any other insurer
(2) The coverage afforded by this has a duty to defend the additional
insurance is primary and non- insured against that "suit". If no
contributory with the additional other insurer defends, we will
insured's own insurance. undertake to do so, but we will be
entitled to the additional insured's
Paragraphs (1) and (2) do not apply rights against all those other
to other insurance to which the insurers.
additional insured has been added (3) When this insurance is excess over
as an additional insured or to other other insurance, we will pay only our
insurance described in paragraph b. share of the amount of the loss, if
below. any, that exceeds the sum of:
b. Excess Insurance (a) The total amount that all such
This insurance is excess over: other insurance would pay for
(1) Any of the other insurance, whether the loss in the absence of this
primary, excess, contingent or on insurance; and
any other basis: (b) The total of all deductible and
(a) That is Fire, Extended self-insured amounts under all
Coverage, Builder's Risk, that other insurance.
Installation Risk or similar (4) We will share the remaining loss, if
coverage for "your work"; any, with any other insurance that is
(b) That is fire, lightning, or not described in this Excess
explosion insurance for Insurance provision and was not
premises rented to you or bought specifically to apply in
temporarily occupied by you with excess of the Limits of Insurance
permission of the owner; shown in the Declarations of this
(e) That is insurance purchased by Coverage Part.
you to cover your liability as a c. Method Of Sharing
tenant for "property damage" to If all of the other insurance available to
premises rented to you or the additional insured permits
temporarily occupied by you with contribution by equal shares, we will
permission of the owner; or follow this method also. Under this
(d) If the loss arises out of the approach each insurer contributes equal
maintenance or use of aircraft, amounts until it has paid its applicable
"autos" or watercraft to the limit of insurance or none of the loss
extent not subject to Exclusion remains, whichever comes first.
g. of Section I — Coverage A — If any of the other insurance available to
Bodily Injury And Property the additional insured does not permit
Damage Liability. contribution by equal shares, we will
(e) That is any other insurance contribute by limits. Under this method,
available to an additional each insurer's share is based on the
insured under this endorsement ratio of its applicable limit of insurance to
covering liability arising out of the total applicable limits of insurance of
the premises or operations, or all insurers.
products completed operations,
for which the additional insured
has been added as an additional
insured by that other insurance.
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with its permission.

CG 73 23 11 11
EMPLOYEE BODILY INJURY TO ANOTHER MEDICAL PAYMENTS
EMPLOYEE SECTION III — LIMITS OF INSURANCE,
SECTION II — WHO IS AN INSURED The Paragraph 7. is replaced:
following Paragraph is added to 2.a.(1) 7. Subject to 5. above, the higher of:
Paragraphs 2.a.(1)(a), (b) and (c) do not a. $10,000; or
apply to "bodily injury" to a co-"employee" in b. The amount shown in the Declarations
the course of the co-"employee's'' for Medical Expense Limit is the most
employment by you, or to "bodily injury' to a we will pay under Coverage C for all
co-"volunteer worker" while performing medical expenses because of "bodily
duties related to the conduct of your injury" sustained by one person.
business.
BROAD FORM NAMED INSURED This coverage does not apply if Coverage C —
Medical Payments is excluded either by the
SECTION II — WHO IS AN INSURED The provisions of any coverage forms attached to the
following Paragraph is added to 2. policy or by endorsement.
e. Any business entity incorporated or KNOWLEDGE OF AN OCCURRENCE
organized under the laws of the United State
of America (including any State thereof), its SECTION IV — COMMERCIAL GENERAL
territories or possessions or Canada LIABILITY CONDITIONS, The following is added
(including any Province thereof) in which the to 2. Duties In The Event Of Occurrence,
Named Insured shown in the Declarations Offense, Claim Or Suit condition:
owns, during the policy period, an interest of e. Knowledge of an occurrence, offense, claim
more than fifty percent. If other valid or suit by an agent or employee of any
collectible insurance is available to any insured shall not in itself constitute
business entity covered by this solely by knowledge of the insured unless you, a
reason of ownership by the Named Insured partner, if you are a partnership; or an
shown in the Declarations in excess of fifty executive officer or insurance manager, if
percent, this insurance is excess over the you are a corporation receives such notice of
other insurance, whether primary, excess, an occurrence, offense, claim or suit from
contingent, or on any other basis. the agent or employee.
AGGREGATE LIMIT PER LOCATION f. The requirements in Section IV —
SECTION III — LIMITS OF INSURANCE The Conditions Paragraph 2.b. will not be
following paragraph is added to paragraph 2: considered breached unless there is
knowledge of occurrence as outlined in
The General Aggregate Limit under Section paragraph e. above.
III Limits of Insurance applies separately to
each of your locations owned by or rented to UNINTENTIONAL FAILURE TO DISCLOSE
you or temporarily occupied by you with the HAZARD
permission of the owner. For the purposes of SECTION IV — COMMERCIAL GENERAL
this provision, location means premises LIABILITY CONDITIONS, 6. Representations is
involving the same or connecting lots, or amended to include:
premises whose connection is interrupted d. Your failure to disclose all hazards or prior
only by a public street, roadway, waterway or "occurrences" or offenses existing as of the
railroad right-of-way. inception date of the policy shall not
AGGREGATE LIMIT PER PROJECT prejudice the coverage afforded by this
SECTION III — LIMITS OF INSURANCE The policy provided such failure to disclose all
following paragraph is added to paragraph 2: hazards or prior "occurrences" or offenses is
The General Aggregate Limit under Section not intentional. This provision does not
III Limits of Insurance applies separately to affect our right to collect additional premium
or exercise our right of cancellation or non-
each of your construction projects away from renewal.
premises owned by or rented to you.
CG 73 23 11 11 Includes copyrighted material of Insurance Services Office, Inc., Page 5 of 6
with its permission.

CG 73 23 11 11
WAIVER OF SUBROGATION BROADENED BODILY INJURY DEFINITION
SECTION IV — COMMERCIAL GENERAL (MENTAL ANGUISH)
LIABILITY CONDITIONS, 8. Transfer of Rights SECTION V — DEFINITIONS is amended as
of Recovery Against Others to Us is amended follows:
to include: 1. 3. "Bodily injury" is deleted and replaced with
If required by a written contract executed the following:
prior to loss, we waive any right of "Bodily injury" means physical injury,
subrogation we may have against the sickness or disease to a person and, if
contracting person or organization because arising out of the foregoing, mental anguish,
of payments we make for injury or damage mental injury, shock or humiliation, including
arising out of your ongoing operations or death at any time resulting therefrom.
"your work" done under a contract with that
person or organization and included in the
"products-completed operations hazards".
LIBERALIZATION
SECTION IV — COMMERCIAL GENERAL
LIABILITY CONDITIONS, 10. Liberalization is
added as follows:
If we revise this coverage form to provide more
coverage without additional premium charge,
your policy will automatically provide the
additional coverage as of the day the revision is
effective in your state.
All terms and conditions of this policy apply unless modified by this endorsement.
Page 6 of 6 Includes copyrighted material of Insurance Services Office, Inc., CG 73 23 11 11
with its permission.

Policy #A0P3006967242
COMMERCIAL AUTO
AC 01 02 03 10
THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY.
BUSINESS AUTO EXTENSION ENDORSEMENT
This endorsement modifies insurance provided under the following:
BUSINESS AUTO COVERAGE FORM
MOTOR CARRIER COVERAGE FORM
A. CHANGES FOR TRAILERS AND FARM rental of a vehicle is an "insured" for Liability
EQUIPMENT Coverage, but only to the extent that person
1. Under the COVERED AUTOS SECTION, or organization qualifies as an "insured" un-
the following are added to Paragraph C. der the Who Is An Insured Provision con-
Certain Trailers, Mobile Equipment and tained in the LIABILITY COVERAGE
Temporary Substitute Autos; SECTION of the Coverage Form
4. "Trailers" designed to be towed by a pri- D. REPLACED EXCLUSIONS
vate passenger type "auto" or a pickup, The Expected or Intended Injury Exclusion
panel truck or van if not used for busi- in the LIABILITY COVERAGE SECTION is
ness purposes, other than farming or replaced by the following:
ranching. Expected or Intended Injury
5. Farm wagons or farm implements while "Bodily injury" or "property damage" which is
being towed by a covered "auto". expected or intended by the "insured". This
B. CHANGES FOR ADDITIONAL NEWLY exclusion applies even if the resulting "bodi-
ACQUIRED VEHICLES ly injury" or "property damage":
2. Paragraph B.2 of the COVERED AUTOS a. is of a different kind, quality or degree
SECTION is replaced by the following: than initially expected or intended; or
2. If Symbol(s) 7 or 67 is entered next to b. is sustained by a different person, entity,
coverage in Item Two of the Declara- real property, or personal property than
tions, an "auto" you acquire will be a that initially expected or intended.
covered "auto" for that coverage only if: E. ADDITIONAL EXCLUSIONS
a. We already cover at least one "auto" The following exclusions are added to the
you own for that coverage or it rep- LIABILITY COVERAGE SECTION:
laces an "auto' you previously
owned that had that coverage; and Damage to Named Insured's Property
b, You tell us within 30 days after you Any claim or "suit" for "property damage" by
acquire it that you want us to cover you or on your behalf against any other per-
it for that coverage. son or entity that is also a Named Insured
under this policy.
The most we will pay for Physical Damage
Coverage for "loss" under this Coverage Ex- Abuse or Molestation
tension is $100,000 per "auto", subject to "Bodily injury" or "property damage" arising
the largest deductible applicable to any 'au- out of:
to" for that Coverage. a. The actual or threatened abuse or
C. BLANKET ADDITIONAL INSURED molestation by anyone or any person
Any person or organization which you have while in the care, custody or control of
agreed to name as an additional insured in a any "insured", or
written contract, executed prior to an acci- b. The negligent:
dent, other than a contract for the lease or 1) Employment;
AC 01 02 03 10 Includes copyrighted material of Insurance Services Office, Inc., Page 1 of 4
with its permission.

AC 01 02 03 10
2) Investigation; This insurance does not apply to:
3) Supervision; a. "Loss" to the covered "auto's" contents,
4) Reporting to the proper authorities, except equipment usual to trucks or pri-
or failure to so report; or vate passenger "autos".
5) Retention; b. "Loss" to TV antennas, awnings or ca-
banas.
of a person for whom any "insured" is or
ever was legally responsible and whose c. "Loss" to equipment designed to create
conduct would be excluded by Para- added living facilities.
graph a. above. However, these exclusions do not apply if
Abuse means an act which is committed Miscellaneous Personal Property Coverage
with the intent to cause harm. is provided by endorsement to this policy.
Explosives G. ACCIDENTAL AIRBAG DISCHARGE
"Bodily injury" or "property damage" caused COVERAGE
by the explosion of explosives you make, Under Paragraph B.3.a. of the PHYSICAL
sell or transport. DAMAGE SECTION, the following is added:
Rolling Stores Mechanical breakdown does not include the ac-
cidental discharge of an airbag.
If a covered "auto" is a rolling store, "bodily
injury" or "property damage" resulting from H. PHYSICAL DAMAGE LIMIT OF INSURANCE
the handling, use or condition of any item Under PHYSICAL DAMAGE COVERAGE
the "insured" makes, sells or distributes if SECTION, Paragraph C., Limit of Insurance is
the injury or damage occurs after the "in- replaced by the following:
sured" has given up possession of the item. C. Limit Of Insurance
Wrong Delivery of Liquid Products 1. The most we will pay for "loss" in any
"Bodily injury" or "property damage" result- one "accident' is the lesser of:
ing from the delivery of any liquid into the a. The actual cash value of the damaged
wrong receptacle or to the wrong address, or stolen property as of the time of the
or from the delivery of one liquid for another, "loss", or
if the "bodily injury" or "property damage" b. The cost of repairing or replacing the
occurs after the delivery has been com- damaged or stolen property.
pleted. 2. $1,000 is the most we will pay for loss" in
Delivery is considered completed even if fur- any one "accident" to all electronic equip-
ther service or maintenance work, or correc- ment that reproduces, receives or transmits
tion, repair or replacement is required be- audio, visual or data signals which, at the
cause of wrong delivery. time of "loss", is:
Professional Services a. Permanently installed in or upon the
"Bodily injury": covered "auto" in a housing, opening or
a. Resulting from the providing or the fail- other location that is not normally used
ure to provide any medical or other pro- by the "auto" manufacturer for the instal-
fessional services. lation of such equipment
b. Resulting from food or drink furnished b. Removable from a permanently installed
with these services. housing unit as described in Paragraph
"Bodily injury" or "property damage" result- 2.a. above or is an integral part of that
ing from the handling of corpses. equipment or
F. MOTOR HOME CONTENTS COVERAGE c. An integral part of such equipment
1. For a covered "auto" that is a motor home 3. An adjustment for depreciation and physical
the following exclusions are added to the condition will be made in determining actual
PHYSICAL DAMAGE COVERAGE cash value in the event of a total "loss".
SECTION:
Motor Home Contents
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with its permission.

AC 01 02 03 10
4. The cost of repairing or replacing may: 4. A member, if you are a limited liability com-
• a. Be based on an estimate which includes pany.
parts furnished by the original equip- K. UNINTENTIONAL FAILURE TO DISCLOSE
ment manufacturer or other sources in- HAZARDS
cluding non-original equipment manu- The BUSINESS AUTO CONDITIONS SECTION
facturers and and MOTOR CARRIER CONDITIONS
b. Include a deduction for betterment for a SECTION— B.2. are amended by the addition of
part or parts that are normally subject to the following:
repair or replacement during the useful If you unintentionally fail to disclose any hazards
life of the "auto", such as, but not limited existing at the inception date of your policy, we
to tires and batteries. will not deny coverage under this Coverage
Betterment means the difference be- Form because of such failure. However, this
tween the actual cash value of a part provision does not affect our right to collect addi-
immediately before the "loss" and the tional premium or exercise our right of cancella-
cost to replace that part with a new part. tion or nonrenewal.
5. If we offer to pay the actual cash value of L AUTOS HIRED OR RENTED BY
the damaged or stolen property, we will val- EMPLOYEES
ue auto advertising wraps, paint customiza- If hired or rented "autos" are covered "autos" on
tion, and similar business related advertising this policy, the following provisions apply:
modifications, in adcition to the actual cash A. Changes In Liability Coverage
value of the property. Auto advertising The following is added to the Who Is An In-
wraps, paint customization, and similar sured Provision in the LIABILITY
business related advertising modifications COVERAGE SECTION:
will be valued at the cost to replace them
with an adjustment made for depreciation An "employee" of yours is an Insured" while
and physical condition. operating an "auto" hired or rented under a
• I. GLASS REPAIR—WAIVER OF DEDUCTIBLE contract or agreement in that "employee's"
Under Paragraph D. Deductible of the name, with your permission, while performing
PHYSICAL DAMAGE COVERAGE SECTION, duties related to the conduct of your busi-
the following is added: ness.
No deductible applies to glass damage if the B. Changes In General Conditions
glass is repaired rather than replaced. Paragraph 5.b. of the Other Insurance
Condition in the Business Auto Coverage
J. AMENDED DUTIES IN EVENT OF ACCIDENT, Form and Paragraph 5.f.of the Other Insur-
CLAIM, SUIT, OR LOSS ance Condition in the Motor Carrier Cover-
The requirement in Loss Condition 2.a. Duties In age Form are replaced by the following:
the Event Of Accident, Claim, Suit Or Loss — of
the BUSINESS AUTO CONDITIONS SECTION For Hired Auto Physical Damage Coverage,
and the MOTOR CARRIER CONDITIONS the following are deemed to be covered "au-
SECTION that you must notify us of an "acci- tos" you own:
dent", "claim", "suit", or loss" applies only when 1. Any covered "auto" you lease, hire, rent
the "accident", "claim", "suit', or "loss" is known or borrow; and
to 2. Any covered "auto" hired or rented by
1. You, if you are an individual your "employee" under a contract in that
2. A partner, if you are a partnership; individual "employee's" name, with your
permission, while performing duties re-
3. An executive officer or the employee desig- lated to the conduct of your business.
nated by you to give such notice if you are a However, any "auto" that is leased, hired,
corporation; or rented or borrowed with a driver is not a
covered "auto".
• AC 01 02 03 10 Includes copyrighted material of Insurance Services Office, Inc., Page 3 of 4
with its permission.

AC 01 02 03 10
M. EMERGENCY LOCKOUT — PRIVATE 3. Original copies of receipts for services of a
PASSENGER VEHICLES locksmith must be provided before reim- •
We will reimburse you up to $50 for reasonable burse ment is payable,
expense incurred for the services of a locksmith N. LIBERALIZATION
to gain entry into your covered "auto" of the pri- Paragraph 3, of the General Conditions is re-
vate passenger type subject to these provisions: placed by the following:
1. Your door key or key entry pad has been If we adopt any revision that would broaden the
lost, stolen or locked in your covered 'auto' coverage under this policy without additional
and you are unable to enter such 'auto" , or premium within 60 days prior to or during the
2. Your key or key entry pad has been lost or policy period, the broadened coverage will im-
stolen and you have changed the lock to mediately apply to this policy.
prevent an unauthorized entry; and
All terms and conditions of this policy apply unless modified by this endorsement
Page 4 of 4 Includes copyrighted material of Insurance Services Office, Inc., AC 01 02 03 10
with its permission.

Policy #ACP3006967242
COMMERCIAL AUTO
AC 01 01A 03 10
THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY.
BUSINESS AUTO ADVANTAGE ENDORSEMENT
This endorsement modifies insurance provided under the following:
BUSINESS AUTO COVERAGE FORM
MOTOR CARRIER COVERAGE FORM
A. NEWLY ACQUIRED OR FORMED ENTITIES d. Any "employee" of yours is an "insured"
The Named Insured shown in the Declarations while using a covered "auto" you don't
is amended to include any organization you own, hire or borrow in your business or
newly acquire or form, other than a partnership, your personal affairs.
joint venture, or limited liability company, and D. SUPPLEMENTARY PAYMENTS — BAIL
over which you maintain ownership or majority BONDS
(more than 50%) interest; if there is no other Paragraph A.2.a., (2) of the LIABILITY
similar insurance available to that organization. COVERAGE SECTION is revised as follows:
Coverage under this provision is afforded until (2) Up to $2,500 for cost of bail bonds (in-
the 180th day after you acquire or form the or-
ganization or the end of the policy period, whi- cluding bonds for related traffic law vi-
chever is later. olations) required because of an "acci-
dent" we cover. We do not have to
B. TEMPORARY SUBSTITUTE AUTOS — furnish these bonds.
PHYSICAL DAMAGE COVERAGE E. SUPPLEMENTARY PAYMENTS — LOSS OF
The following is added to paragraph C. Certain EARNINGS
Trailers, Mobile Equipment And Temporary
Substitute Autos of the — COVERED AUTOS Paragraph A.2.a.(4) of the LIABILITY
SECTION: COVERAGE SECTION is revised as follows:
If Physical Damage Coverage is provided by (4) All reasonable expenses incurred by the In-
this Coverage Form, the following types of sured" at our request, including actual loss
vehicles are also covered "autos" for Physi- of earnings up to $500 a day because of
cal Damage Coverage: time off from work.
Any -auto" you do not own while used with F. FELLOW EMPLOYEE — OFFICERS,
the permission of its owner as a temporary MANAGERS, AND SUPERVISORS
substitute for a covered "auto" you own that Paragraph 13.5.A. Fellow Employee in the
is out of service because of its: LIABILITY COVERAGE SECTION is replaced
a. Breakdown; as follows;
b. Repair; A. "Bodily injury" to any fellow "employee" of
the "insured" arising out of and in the course
c. Servicing; of the fellow "employee's" employment or
d. "Loss"; or while performing duties related to the con-
a, Destruction duct of your business. This exclusion does
The coverage that applies is the same as not apply to an "insured" who occupies a
the coverage provided for the vehicle being position as an officer, manager, or supervi-
replaced. sor.
C. EMPLOYEES AS INSUREDS — NONOWNED G. PERSONAL EFFECTS AND PROPERTY OF
AUTOS OTHERS EXTENSION
The following is added to paragraph A.1. Who Is 1. Paragraph B.6. Care, Custody or Control of
An Insured of the LIABILITY COVERAGE the LIABILITY COVERAGE SECTION, does
SECTION: not apply to "property damage" to property,
other than your property, up to an amount
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AC 01 01A 03 10
not exceeding $250 in any one "accident". 2) Financial penalties imposed under a
Coverage is excess over any other valid and lease for excessive use, abnormal
collectible insurance. wear and tear or high mileage;
2. The following paragraph is added to A.4. 3) Security deposits not refunded by a
Coverage Extensions of the — PHYSICAL lessor;
DAMAGE COVERAGE SECTION: 4) Costs of extended warranties, Cre-
c. We will pay up to $500 for your property dit Life insurance, Health, Accident,
that is lost or damaged as a result of a or Disability insurance purchased
covered loss", without applying a de- with the lease; and
ductible. Coverage is excess over any 5) Carry-over balances from previous
other valid and collectible insurance. leases.
H. HIRED AUTO PHYSICAL DAMAGE 2. This coverage only applies to a "loss" which
If covered "auto" designation symbols 1,8,61 or is also covered under this policy for Com-
68 apply to Liability Coverage and if at least one prehensive, Specified Causes of Loss, or
"auto" you own is covered by this policy for Collision coverage.
Comprehensive, Specified Causes of Loss, or 3. Coverage does not apply to any unpaid
Collision coverages, then the Physical Damage amount due on a loan for which the covered
coverages provided are extended to "autos" you "auto" is not the sole collateral.
lease, hire, rent or borrow without a driver; and K. RENTAL REIMBURSEMENT COVERAGE
provisions in the Business Auto Coverage Form
applicable to Hired Auto Physical Damage ap- 1. This coverage applies only to a covered "au-
ply. The deductible will be equal to the largest to" for which Physical Damage Coverage is
deductible applicable to any owned 'auto" for provided on this policy.
that coverage. Any Comprehensive deductible 2. We will pay for rental reimbursement ex-
does not apply to fire or lightning. penses incurred by you for the rental of an
I. EXPANDED TOWING COVERAGE *auto" because of "loss" to a covered "auto".
Payment applies in addition to the otherwise
We will pay up to: applicable amount of each coverage you
1. $100 for a covered "auto" you own of the have on a covered "auto." No deductibles
private passenger type, or apply to this coverage.
2. $250 for a covered "auto" you own that is 3. We will pay only for those expenses in-
not of the private passenger type, curred during the policy period beginning 24
for towing and labor costs incurred each time hours after the "loss" and ending, regardless
the covered "auto" is disabled. However, the la- of the policy's expiration, with the lesser of
bor must be performed at the place of disable- the following number of days:
ment. a. The number of days reasonably re-
This coverage applies only for an "auto" covered quired to repair or replace the covered
on this policy for Comprehensive or Specified "auto". If "loss" is caused by theft, this
Causes of Loss Coverage and Collision Cove- number of days is added to the number
rages. of days it takes to locate the covered
J. AUTO LOAN OR LEASE COVERAGE "auto" and return it to you.
1. In the event of a total "loss" to a covered b. The number of days shown in the Sche-
"auto", we will pay any unpaid amount due dule.
on the loan or lease, including up to a max- 4. Our payment is limited to the lesser of the
imum of $500 for early termination fees or following amounts:
penalties, for your covered "auto" less: 1. Necessary and actual expenses in-
a. The amount paid under the - PHYSICAL curred.
DAMAGE COVERAGE SECTION of this 2. $75 for any one day or for a maximum
policy; and of 30 days.
b. Any: 5. This coverage does not apply while there
1) Overdue lease/loan payments at the are spare or reserve "autos" available to you
time of the "loss"; for your operations.
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AC 01 01A 03 10
6. If "loss" results from the total theft of a cov- 5. The provisions of paragraphs land 3. do
ered "auto" of the private passenger type, not apply to a covered "auto" of the private
we will pay under this coverage only that passenger type or a vehicle with a gross ve-
amount of your rental reimbursement ex- hicle weight of 20,000 pounds or less which
penses which is not already provided for is a new vehicle.
under the PHYSICAL DAMAGE In the event of a total "loss" to your new ve-
COVERAGE Coverage Extension, hicle to which this coverage applies, we will
7. Coverage does not apply to any covered pay at your option:
"auto" for which coverage is provided by en- a. The verifiable new vehicle purchase
dorsement form CA9923 on this policy. price you paid for your damaged ve-
hicle, not including any insurance or
L. EXPANDED TRANSPORTATION EXPENSE warranties purchased;
Paragraph A.4.a, of the PHYSICAL DAMAGE b. If it is available, the purchase price, as
COVERAGE SECTION is replaced by the fol- negotiated by us, of a new vehicle of the
lowing: same make, model, and equipment or
We will pay up to $50 per day to a maximum of the most similar model available, not in-
$1000 for temporary transportation expense in- cluding any furnishings, parts, or equip-
ment not installed by the manufacturer
curred by you because of the total theft of a or manufacturers dealership; or.
covered "auto" of the private passenger type.
We will only pay for those covered "autos" for c. The market value of your damaged ve-
which you carry Comprehensive or Specified hicle, not including any furnishings,
Causes ol Loss Coverage. We will pay for tem- parts, or equipment not installed by the
porary transportation expenses incurred during manufacturer or manufacturer's dealer-
the period beginning 48 hours after the theft and ship.
ending, regardless of the policy's expiration, We will not pay for initiation or set up costs
when the covered "auto" is returned to us or we associated with loans or leases
pay for its "loss". In this endorsement, a new vehicle means
M. EXTRA EXPENSE—STOLEN AUTOS an "auto" of which you are the original owner
The following paragraph is added to Section that has not been previously titled and which
A.4. of the — PHYSICAL DAMAGE COVERAGE you purchased less than 365 days before
SECTION: the date of the "loss".
c. We will pay for up to $5,000 for the expense 0. BLANKET WAIVER OF SUBROGATION
of returning a stolen covered "auto" to you. The following is added to paragraph 5. Transfer
We will pay only for those covered "autos" Of Rights Of Recovery Against Others To Us of
for which you carry Comprehensive or Spe- — BUSINESS AUTO and MOTOR CARRIER
cified Causes of Loss Coverage CONDITIONS SECTIONS:
N. NEW VEHICLE REPLACEMENT COST We waive any right of recovery we may have
The following is added to paragraph C.Limit of against any person or organization to the extent
Insurance of the PHYSICAL DAMAGE required of you by a written contract executed
COVERAGE SECTION: prior to any "accident" because of payments we
make for damages under this coverage form,
All terms and conditions of this policy apply unless modified by this endorsement.
AC 01 01A 03 10 Includes copyrighted material of Insurance Services Office, Inc., Page 3 of 3
with its permission

Project Name: MCSO New Vehicle Impound Lot
Project No.: 1973-16-0001
SECTION 00700
GENERAL CONDITIONS
ARTICLE 1 GENERAL PROVISIONS
1.1 DEFINITIONS, CORRELATION AND INTENT
1.1.1 Definitions. Unless otherwise provided herein, capitalized terms used in this Contract,
and not otherwise defined herein, have the respective meanings set forth in Exhibit A,
which is attached hereto and incorporated herein by this reference.
1.1.2 Entire Agreement. The Contract represents the entire and integrated agreement between
the parties hereto and supersedes prior negotiations, representations or agreements, either
written or oral.
1.1.3 Contractual Relationship. The Contract shall not be construed to create a Contractual
relationship of any kind (1) between the Design Professional and the Contractor (2)
between any Authorized Agent and the Contractor (3) between the Owner and a
Subcontractor (4) between any persons or entities other than the Owner and the
Contractor. The Contractor is not a third party beneficiary to any agreement among or
between the Owner and the Design Professional. Performance by the Design
Professional of duties under such agreements is solely for the benefit of parties identified
as beneficiaries under such agreements.
1.1.4 Intent. The intent of the Contract is to include all items necessary for the proper
execution and completion of the Work by the Contractor.
1.1.5 Design Professional's Supplemental Instruction. Written interpretations necessary for the
proper execution of the Work in the form of a Design Professional's Supplemental
Instruction will be issued with reasonable promptness by the Design Professional.
Supplemental Instructions may either be instructions, drawings or additional information
but shall not change the Contract Sum or Contract Time unless there is a subsequently
executed Change Order.
1.1.6 Request for information/Interpretation. The Contractor shall submit requests for
information and/or interpretation of the Contract to the Design Professional, with a copy
to the Owner's Construction Project Manager.
1.1.7 Contract Document Order of Precedence. The Drawings, Specifications and other
Contract Documents are complimentary and will govern the Work.
1.1.7.1 If there is a conflict among Contract Documents, the document highest in
precedence shall control. The precedence for the Contract Documents shall be
from the most restrictive to the lesser restrictive in the following order:
1.1.7.1.1 The Contract.
1.1.7.1.2 General Conditions.
00700-1
1085860.1 Rev. 7/17/2014

Project Name: MCSO New Vehicle Impound Lot
Project No.: 1973-16-0001
1.1.7.1.3 General Requirements.
1.1.7.1.4 All applicable codes including, but not limited to Building Codes and
Permits from agencies required by law.
1.1.7.1.5 Change Orders.
1.1.7.1.6 Contract Specifications
1.1.7.1.7 Contract Drawings — Material/Equipment Schedules.
1.1.7.1.8 Contract Drawings — Detailed Plans, elevations, sections and
isometrics.
1.1.7.1.9 Contract Drawings — General Plans, elevations, sections and
isometrics.
1.1.7.1.10 Standard Plans, i.e. standard structural details, devices or instructions
referred to on the Plans or Specifications by title or number.
1.1.7.1.11 Reference Specifications, i.e. Test References, etc.
1.1.7.2 The Contractor shall, upon discovering any error or omission in the Drawings or
Specifications, immediately notify the Owner and Design Professional in writing.
1.1.8 Discrepancies in Contract. If there is any discrepancy, inconsistency or ambiguity in the
quality or quantity of the Work or materials required under the Contract, the Contractor
shall (1) immediately bring such discrepancy, inconsistency or ambiguity to the attention
of the Design Professional, and (2) provide the better quality of or greater quantity of the
Work or materials, without an increase in the Contract Sum, unless otherwise directed in
writing by the Design Professional or the Owner. If the Owner accepts the lower quality
or quantity of Work or materials, the Contractor shall remit to the Design Professional the
difference in cost between the better quality or greater quantity and such lower quality or
lesser quantity. Such remittance shall be in the form of a deductive Change Order
Request as identified in Article 7.1.1.
1.1.9 Organization of Specifications and Drawings Not to Control Division of Work.
Organization of the Specifications into divisions and sections, and arrangement of
Drawings shall not control the Contractor in dividing the Work among Subcontractors or
in establishing the extent of Work to be performed by any trade.
1.1.10 Contractor Solely Responsible for Division of Work. The Contractor is solely
responsible for the division of the Work among Subcontractors. Neither the Owner, the
Design Professional, nor the Construction Project Manager will act as arbiter as to which
trade or Subcontractor is to furnish or install the various items indicated or required to
complete the Work. The Contractor shall make necessary arrangements to reconcile any
and all labor conflicts without delay, damage or cost to the Owner and without recourse
to the Design Professional, the Construction Project Manager or the Owner.
1.1.11 Technical and Industry Meanings. Unless otherwise stated in the Contract, words that
have well-known technical or construction industry meanings are used in the Contract in
accordance with such recognized meanings.
00700-2
1085860.1 Rev. 7/17/2014

Project Name: MCSO New Vehicle Impound Lot
Project No.: 1973-16-0001
1.1.12 Current Standards. Where a reference in the Contract to an American Society for Testing
and Materials Standard (ASTM), American National Standards Institute Standard
(ANSI), federal specification or other recognized standard does not include the date of
the standard, the edition current as of the date of the Contract Documents shall apply. No
consideration will be given to claimed ignorance as to what a cited standard contains,
since the Contractor and each Subcontractor is considered to be experienced and familiar
with the generally accepted, published standards of quality and workmanship for its own
trade. Requirements of such referenced standards form a part of the Specifications to the
extent indicated by the references thereto.
1.2 Ownership And Use Of Drawings, Specifications And Other Documents
1.2.1 All Drawings, Specifications and copies thereof furnished by the Design Professional are
and shall remain the property of the Owner. The Drawings and Specifications and the
design reflected therein shall be kept strictly confidential and shall not be disclosed or
released except as necessary for the performance of the Work. The Contractor may retain
one record set. Neither the Contractor nor any Subcontractor shall own or claim a
copyright in the Drawings, Specifications or other documents prepared by the Design
Professional. The Owner will retain all common law, statutory and other reserved rights,
in addition to the copyright. All copies of the Drawings and Specifications, except the
Contractor's record set, shall be returned to the Owner upon completion of the Work.
The Drawings, Specifications and other documents prepared by the Design Professional,
and copies thereof furnished to the Contractor, are for use solely with respect to this
Project. They are not to be used by the Contractor or any Subcontractor on other projects
or for additions to this Project outside the scope of the Work without the specific written
consent of the Owner. The Contractor and its Subcontractors are granted a limited
license to use and reproduce applicable portions of the Drawings, Specifications and
other documents prepared by the Design Professional necessary for execution of the
Work. All copies made under this license shall bear the statutory copyright notice, if any,
shown on the Drawings, Specifications and other documents prepared by the Design
Professional. Submittal or distribution to meet official regulatory requirements or for
other purposes in connection with this Project is not to be construed as publication in
derogation of the Owner's copyright or other reserved rights.
Contractor and Subcontractors shall not take or disseminate any photographs or
videography of parts of the Project or the Project itself without first obtaining written
permission of the Owner. This Section shall not apply in the instance of the Contract or
his Subcontractor's utilizing pictures or videography internally in order to perform the
work.
ARTICLE 2 OWNER
2.1 INFORMATION AND SERVICES REQUIRED OF THE OWNER
2.1.1 Copies. The Contractor will be furnished, free of charge, copies of the construction
documents as described in the bid documents and in the General Requirements.
2.2 OWNER'S RIGHT TO STOP THE WORK
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2.2.1 If the Contractor fails to perform or to correct Work which is not in accordance with the
requirements of the Contract or does not allow other Contractor's to timely perform their
work, the Owner may order the Contractor to stop the Work, or any portion thereof, until
the cause for such order has been eliminated; however, the right of the Owner to stop the
Work shall not give rise to a duty on the part of the Owner to exercise this right for the
benefit of the Contractor or any other person or entity.
2.3 OWNER'S RIGHT TO CARRY OUT THE WORK
2.3.1 The Owner shall have the right to contact the Contractor's Surety if the Owner
determines that the Contractor is not performing in accordance with the Contract. If the
Contractor defaults or neglects to carry out the Work in accordance with the Contract or
fails to commence and continue correction of such default or neglect with diligence or
promptness, the Owner may, after forty eight (48) hours written notice to the Contractor
and its Surety, require the Surety to promptly assume the obligations of the Contract.
Should the Surety fail to assume the obligations within five (5) days after receipt of the
written notices then Owner, without prejudice to any other remedy it may have, may
correct such nonconforming Work. In such case, an appropriate Change Order shall be
issued deducting from the payments then or thereafter due the Contractor or the Surety all
costs of correcting such nonconforming Work, including but not limited to, compensation
for the Design Professional's additional services made necessary by such default, neglect
or failure. If the payments then or thereafter due the Contractor or its Surety are not
sufficient to cover such amount, the Contractor or its Surety shall pay the difference to
the Owner within thirty (30) days after receipt of the Owner's invoice.
ARTICLE 3
3.1 REVIEW OF CONTRACT DOCUMENTS AND FIELD CONDITIONS BY
CONTRACTOR
3.1.1 Notice of Errors. The Contractor warrants that he has carefully reviewed the Contract,
and all documents pertaining to the Work, including but not limited to the Drawings and
Specifications and that he is satisfied as to the feasibility and correctness of the Contract
to perform the Work within the Contract time. The Contractor shall immediately report
to the Design Professional and Owner any errors, inconsistencies or omissions discovered
in the Contract prior to submitting its Bid. If the Contractor performs any construction
activity containing an error, inconsistency, or omission that the Contractor recognized or
should have recognized through the exercise of reasonable diligence, without reporting
such error, inconsistency or omission to the Design Professional and Owner, the
Contractor shall assume responsibility for such performance and shall bear the costs for
correction.
3.1.2 Examination of Site. The Contractor warrants that he has visited and examined the
character of the Site and any existing structures and has satisfied himself as to the nature
of the Work and all matters which could in any way affect the Work. The Contractor
warrants that he has reviewed the Geotechnical report, if any, included in the
Construction Documents. The Contractor shall take field measurements and verify field
conditions and shall compare such field measurements and conditions and other
information known to the Contractor with the Contract before commencing the Work.
The Contractor shall verify the accuracy of all grades, elevations, dimensions and
locations relating to the Work. The accuracy of grades, elevations, dimensions, or
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locations on work installed by other Contractor's is not guaranteed by the Design
Professional or Owner. In cases of interconnection of the Contractor's Work with other
work, it shall verify at the Site all dimensions relating to such other work. Any error due
to the Contractor's failure to verify the accuracy of such grades, elevations, location or
dimensions shall be promptly rectified by the Contractor without any additional cost to
the Owner.
3.1.3 Contractor License. The Contractor warrants (1) that it is licensed under the laws of the
State of Arizona to perform the Work at the time of Bid submission, and (2) that it is
familiar with and will comply with all applicable laws, statutes, ordinances, building
codes, rules and regulations and lawful orders of public authorities in performing the
Work, including but not limited to environmental laws and A.R.S. Title 34 as amended.
3.1.4 Contract Compliance with Law. If the Contractor observes that portions of the Contract
are at variance with applicable laws, statutes, ordinances, building codes, or rules and
regulations, the Contractor shall promptly notify the Design Professional and Owner in
writing, and necessary changes shall be accomplished by appropriate modification. If the
Contractor performs Work it knows or should know to be contrary to laws, statutes,
ordinances, building codes, or rules and regulations without such notice to the Design
Professional and Owner, the Contractor shall assume full responsibility for such Work
and shall bear all damages, losses, costs and expenses attributable thereto.
3.1.5 Contractor Compliance with Contract. The Contractor shall perform the Work in
accordance with the Contract and in a first class manner and to the highest standards of
workmanship. In the event that the Contractor fails to do so, the Design Professional and
Owner may withhold payments to protect the Owner from loss, regardless of whether
payment has previously been made for the Work in question.
3.2 DESIGN BID BUILD TERMS
3.2.1 Bid. The Bid for the entire Project will be the Cost of the Work, and include Taxes,
Insurance, Bonds and Subcontractor's Bond, and will reflect the MBE/WBE goals
established pursuant to the Specifications. The Contractor guarantees to complete the
Project at or less than the final approved Contract amount and agrees that it will be
responsible for any difference between the actual Cost of the Work and that amount.
3.2.2 Construction Schedule. A Construction Schedule will be included with the Contract that
reflects the Scope of Work shown in the Contract documents. Any such Construction
Schedule updates/revisions will continue to comply with the requirements of Article 3.11.
3.3 SUPERVISION AND CONSTRUCTION PROCEDURES
3.3.1 Supervision. Contractor to Supervise Work. The Contractor shall supervise and direct
the Work using the Contractor's best skill and attention. The Contractor shall be solely
responsible for and have control over construction means, methods, techniques,
sequences, safety, and procedures associated with its Work and for coordinating all
portions of the Work under this Contract, subject to the overall coordination of the
Project by the Owner.
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3.3.2 Acts and Omissions. The Contractor shall be responsible to the Owner for acts and
omissions of the Contractor's employees, Subcontractors and their agents and employees,
and other persons performing portions of the Work under a Contract with the Contractor.
3.3.3 Duty to Perform. The Contractor shall not be relieved of obligations to perform the Work
in accordance with the Contract either by activities or duties of the Owner or Design
Professional in their administration of the Contract, or by tests, inspections or approvals
required or performed by persons other than the Contractor.
3.3.4 Duty to Inspect. The Contractor shall inspect portions of the Project related to the
Contractor's Work in order to determine that such portions are in proper condition to
receive subsequent Work.
3.3.5 Limitation on Liability. Contractor acknowledges that neither the Owner, Design
Professional nor any of their respective agents, employees, successors or assigns shall
control the day-to-day operations of the Contractor and shall not determine construction
means, methods, techniques or procedures, or safety precautions and programs in
connection with the Work. Contractor agrees that neither the Owner, Design Professional
nor any of their respective agents, employees, successors or assigns shall be responsible
for the failure of the Contractor to perform the Work in accordance with the Contract or
with the laws, ordinances, rules, permit conditions, regulations or lawful orders of any
governmental agency having regulatory authority over the manner, methods or means of
performance of the Work.
3.3.6 Site Protection. If the Project Site is within a floodplain, the Contractor shall be
responsible for all protection needed during construction.
3.4 LABOR AND MATERIALS
3.4.1 Contractor to Provide. The Contractor shall provide and pay for labor, materials,
equipment, tools, construction equipment and machinery, water, heat, utilities,
transportation, storage and other facilities and services necessary for proper execution
and completion of the Work, whether temporary or permanent and whether or not
incorporated or to be incorporated in the Work.
3.4.2 Skilled Labor. The Contractor shall enforce strict discipline and good order among the
Contractor's employees and other persons carrying out the Contract. The Contractor
shall not permit employment of unfit persons or persons not skilled in tasks assigned to
them.
3.4.3 Standard of Quality. Wherever materials, products, articles, equipment, systems or
similar items are identified by reference to proprietary terms or by a similar reference, it
is intended to establish the minimum standard or measure of quality that has been
determined as requisite or intended for the Work.
3.4.4 Trade Names or Equals. The Contractor shall supply materials, processes, or equipment
specified, or a prior approved equal. Whenever any particular material, process, or
equipment is indicated by patent, proprietary or brand name, or by name of manufacturer,
such wording is used for the purpose of facilitating its description and shall be deemed to
be followed by the words "or prior approved equal"; unless such material, process, or
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equipment is specifically indicated as "proprietary". A listing of materials or equipment
is not intended to be comprehensive, or in any order of preference.
3.5 SUBSTITUTION OF PRODUCTS
3.5.1 Requests for Substitutions. The Owner and Design Professional may consider in their
discretion, but shall have no obligation to consider, a formal request for the substitution
of products in place of those specified under the conditions set forth herein and those set
forth in Section 012500. The decision in the first instance on acceptance or rejection of
proposed alternate, substitute or similar materials, products, equipment or systems shall
be vested in the Design Professional, and ultimately with the Owner, whose decision
shall be final and binding.
3.5.2 Conditions for Substitutions. By making requests for substitutions, the Contractor (1)
represents that the Contractor has personally investigated the proposed substitute product
and determined that it is equal or superior in all respects to that specified and will create
no adverse effects on other materials or systems, (2) represents that the Contractor will
provide the same warranty for the substitution that the Contractor would for that
specified, (3) certifies that the cost data presented is complete and includes all related
costs under the Contract except the Design Professional's analysis and redesign costs,
and waives all claims for additional costs related to the substitution which subsequently
become apparent, and (4) will coordinate the installation of the accepted substitute,
making such changes as may be required for the Work to be complete in all respects.
3.5.3 Criteria for Acceptance or Rejection of Substitutes. Acceptance or rejection of proposed
alternate, substitute, or similar materials, products, equipment or systems for use may be
based on the construction, design, function, type, size, capacity, performance, strength,
durability, finish, aesthetic quality, schedule constraints, redesign costs, the Owner's
standard for repair, replacement and maintenance or other characteristics or criteria
approved by the Owner.
3.5.4 Expense for Modification. Any modification to the Contract or Work necessary as a
result of the use of an approved alternate or substitute shall be paid by the Contractor
proposing the substitution.
3.5.5 Rejection of Substitute. If any alternate or substitute is not approved, the Contractor shall
use the specified material, product, equipment or system without adjustment to the
Contract Price or Time.
3.6 WORK HOURS
3.6.1 Except as otherwise provided in the Contract, Work shall be performed during regular
working hours. Notwithstanding the foregoing, in the event of emergency or when
required to complete, the Work may be performed on night shifts, overtime, weekends, or
holidays, provided that written notification has been given to the Owner and confirmed in
writing by the Owner twenty-four (24) hours prior to the commencement of such Work.
The Contractor will not be entitled to additional compensation for Work performed
outside of regular working hours, except to the extent such compensation is approved by
the Owner in advance in writing. In the event the Contractor performs any of the Work
on night shifts, overtime, weekends or holidays, the Contractor shall comply with all
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laws, ordinances, codes, rules, and regulations applicable thereto (including, without
limitation, those relating to noise).
3.7 WARRANTY
3.7.1 Free from Defects and Warranty Period. The Contractor warrants to the Owner that (1)
materials and equipment furnished under this Contract will be of first quality and new,
(2) the Work will be free from defects, and (3) the Work will conform with the
requirements of the Contract. Work not conforming to these requirements, including
substitutions not properly approved and authorized, shall be considered defective. This
warranty is in addition to and not limited by the provisions of Article 12.2. The warranty
period is one (1) year from substantial completion unless otherwise stated in the Contract
documents.
3.7.2 Key Systems: During the warranty period in the event that any of the key systems in the
Project are not functioning properly, the Contractor will repair those systems within
twenty-four (24) hours of written notice by the Owner. Key Systems are defined as but
not limited to elevators, HVAC, major plumbing and electrical installations and security
systems.
3.7.3 Assignment of Warranties. The Contractor shall assign to the Owner, before Substantial
Completion is due, all manufacturer's warranties relating to equipment, materials, and
labor used in the Work. Such assignment shall not affect or terminate the Contractor's
responsibilities under the Contract.
3.8 TAXES
3.8.1 The Contract sum includes and the Contractor shall pay any and all sales, consumer, use,
transaction privilege, and similar taxes on all monies owed for the Work or portions
thereof provided by the Contractor.
3.9 PERMITS AND FEES
3.9.1 Permits and Fees. The Contractor shall secure and the Owner shall pay for the building
permit. The Contractor shall secure and pay for all other permits and governmental fees,
licenses and inspections necessary for proper execution and completion of the Work.
Contractor is required to comply with all Contractor-secured permit requirements at no
additional cost to Owner.
3.9.2 Permit Set Copies. Contractor is required to provide Owner and Design Professional, at
Owner's expense, copies of each of all permit sets acquired by Contractor from any
issuing entity, within two (2) business days from acquisition.
3.9.3 In the event of the Design Professional having provided (with the Owner's consent) for
deferred permit submittals, the costs of such shall be borne by the Contractor (except for
the permitting cost which will be paid by the Owner).
3.10 CONTRACTOR KEY PERSONNEL
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3.10.1 Satisfactory to Owner. The Contractor's Project Manager, Superintendent and staff must
be satisfactory to the Owner. The Contractor's, Superintendent(s) and key members of
the Contractor's staff shall not change without the prior consent of the Owner. However,
the Contractor agrees to change any Project Manager, Superintendent or key member of
the Contractor's staff at the request of the Owner, if in the sole opinion of the Owner,
such person's performance is unsatisfactory.
3.10.2 On Site. The Contractor shall employ a Project Manager, Superintendent(s) and key staff
if indicated in other Articles who shall be in attendance at the Site during performance of
the Work. The Project Manager shall represent the Contractor, and communications
given to the Project Manager shall be as binding as if given to the Contractor.
Communications shall be confirmed in writing by the Contractor.
3.11 CONTRACTOR'S SCHEDULES
3.11.1 Contractor Baseline Construction Schedule. The Contractor, per time set forth in Section
013216, shall submit to the Design Professional and Owner, the Baseline Schedule for
the Work ("Contractor Baseline Construction Schedule"). Such Schedule (1) shall not
exceed time limits current under the Contract, (2) shall be updated and submitted monthly
or more often as directed by the Owner or Owner's Representative, and (3) shall provide
for expeditious and practicable execution of the Work.
3.11.2 Updated Construction Schedules. The updated Contractor Construction Schedules shall
not exceed time limits current under the Contract and shall be in accordance with and
fully coordinated with all information previously supplied to the Contractor. Updated
schedules shall be submitted monthly with the Contractor's Application for Payment.
Any change in the Schedule shall be explained in writing by the Contractor as part of the
update.
3.11.3 Schedule Method. The Contractor Construction Schedule shall be a critical path method
(CPM) precedence diagram network or other mutually agreed upon form of schedule with
supporting printouts. Unless otherwise stated in the Contract documents, the schedule
will be prepared utilizing Primavera P6 software and shall be electronically submitted to
the Owner at the time of each payment application.
3.11.4 Scheduling Cooperation. The Contractor shall cooperate with the Design Professional
and Owner in providing information and clarification as required to understand the
schedule and performance of the Contractor's Work to avoid conflict, delay in or
interference with the work of other Contractor's or the construction or operations of the
Owner's own forces.
3.11.5 Submittal Schedule. The Contractor, per time set forth in Sections 013216 and 013323
shall prepare and submit to the Owner and Design Professional for review a schedule for
submittal of Shop Drawings, Product Data, Samples, mockups, models and other
submittals ("Submittal Schedule") which is a part of the Contractor Construction
Schedule and which allows the Design Professional review time of such submittals as per
Sections 013300 and 013323. The Contractor shall issue to the Design Professional a
monthly updated Submittal Schedule with the Application for Payment that identifies
items submitted and yet to be submitted and the approval status of all such items.
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3.11.6 Conform to Most Recent Schedule. The Contractor shall conform to the most recent
Construction Schedule.
3.11.7 Material Status Report. The Contractor shall prepare and submit a report for materials
("Material Status Report") on a form approved by the Design Professional and Owner.
This report shall be updated and submitted on a monthly basis with Application for
Payment or more often as directed by the Design Professional and Owner. Delivery dates
provided on the Material Status Report shall conform to the Contractor's Submittal
Schedule and the Contractor's Construction Schedule.
3.11.8 Compliance with Schedules. The Contractor shall be responsible for all costs resulting
from its lack of diligence or failure to provide needed labor or materials to meet the
requirements of the Contract. Owner may withhold payments to Contractor if requested
to do so by Contractor's Surety, or if otherwise necessary to protect the Owner from delay
or expense occasioned by the Contractor's failure to perform under the Contract.
3.11.9 Project Schedule. At some point during the project and at various times throughout the
project, as directed by the Owner or Owner's Representative, the Contractor shall
develop and continually update a Project Schedule with input from the Owner or Owner's
Representative. The Project Schedule shall be created from the Construction Schedule
and incorporate all Owner required activities necessary to complete the project. The
Contractor shall be responsible for coordinating all activities that potentially impact the
Construction Schedule with the Owner or Owner's Representative. Activities may
include but are not limited to system commissioning, utility coordination, technology and
furniture. Any updates or approved revisions to the Construction Schedule shall be
reflected in an updated Project Schedule.
3.12 DOCUMENTS AND SAMPLES AT THE SITE
3.12.1 Contractor to Maintain. The Contractor shall maintain at the site for the use of the Owner
and of the Design Professional, one copy of all Drawings, Specifications, Bulletins,
Addenda, Change Orders, Shop Drawings, Design Professional's Supplementary
Instructions, Requests for Information/Interpretation, and other Contract-related
documents and their modifications, if any, in good order and marked promptly by the
Contractor to record all approved changes made during construction. The Contractor
shall also maintain on-site all available catalog data, price lists, manufacturer's operating
and maintenance instructions, schematics, certificates, warranties, guarantees, and other
documents as noted in the Construction Documents.
3.12.2 As Built Documents. The Contractor shall provide the Design Profeessional with As
Built Documents before Final Completion. The Contractor shall stamp and sign a
certification statement on each Drawing and page thereof that the As Built Documents, as
submitted, are true and complete. As Built Documents shall be updated daily and shall
include approved changes and any field changes made by the Contractor. Accurate,
updated As Built Documents shall be a condition of approval of monthly and final
Application for Payment.
3.13 SHOP DRAWINGS, PRODUCT DATA AND SAMPLES
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3.13.1 Not Part of Contract. Shop Drawings, Product Data, Samples and similar submittals are
not part of the Contract. The purpose of their submittal is to demonstrate for those
portions of the Work for which submittals are required the way the Contractor proposes
to conform to the information given and the design concept expressed in the Contract.
3.13.2 Prompt Submittal. The Contractor shall submit to Design Professional, in accordance
with Sections 013216 and 013300 and its Submittal Schedule, Shop Drawings, Product
Data, Samples and similar submittals required by the Contract with such promptness as to
cause no delay in the Contractor's own Work or in that of any other Contractor. The
Contractor shall cooperate with the Owner in the coordination of the Contractor's Shop
Drawings, Product Data, Samples and similar submittals with related documents
submitted by other Contractor's. Submittals made by the Contractor, which are not
required by the Contract, may be returned without action.
3.13.3 Review Required. The Contractor shall perform no portion of the Work requiring
submittal and review of Shop Drawings, Product Data, Samples or similar submittals
until the submittal has been reviewed and acted upon by the Design Professional. Such
Work shall be performed in accordance with reviewed submittals.
3.13.4 Representations Made by Submittals. By approving and submitting Shop Drawings,
Product Data, Samples and similar submittals, the Contractor represents that the
Contractor has determined and verified materials, field measurements and field
construction criteria related thereto, or will do so, and has checked and coordinated the
information contained within such submittals with the requirements of the Work and of
the Contract. Contractor shall highlight and draw attention to any adjustments or
modifications to the design or dimensins which are deemed necessary to properly execute
the work or which need to be clarified.
3.13.5 Effect of Review. The Contractor shall not be relieved of responsibility for deviations
from requirements of the Contract by the Design Professional's review of Shop
Drawings, Product Data, Samples or similar submittals unless the Contractor has
specifically informed the Owner and Design Professional in writing of such deviation at
the time of submittal and the Owner and Design Professional have given written approval
to the specific deviation. The Contractor shall not be relieved of responsibility for errors
or omissions in Shop Drawings, Product Data, Samples or similar submittals by the
Design Professional's review thereof.
3.13.6 Revisions to Submittals. The Contractor shall direct specific attention, in writing or on
resubmitted Shop Drawings, Product Data, Samples or similar submittals, to revisions
which he has made other than those requested by the Owner and Design Professional on
previous submittals.
3.13.7 Informational Submittals. Informational submittals upon which the Owner and Design
Professional are not expected to take responsive action shall be so identified in the
submittals.
3.13.8 Professional Certification. When professional certification of performance criteria of
materials, systems or equipment is required by the Contract, the Owner and Design
Professional shall be entitled to rely upon the accuracy and completeness of such
calculations and certifications.
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3.13.9 Cost for Resubmittals. The Owner shall have the right to require the Contractor to pay
the additional costs of the Design Professional resulting from the review by the Design
Professional of any Shop Drawings, Product Data, Samples and similar submittals which
have been reviewed three (3) or more times.
3.14 PREPARATION OF MANUALS
3.14.1 Operation and Maintenance Manuals To be Provided Before Substantial Completion.
Before Substantial Completion, the Contractor shall furnish to the Owner (1) onehard
copy and (1)one electronic copy of the manuals in PDF format on Recorded Compact
(CD) disks containing the manufacturers instructions for maintenance and operation of
each item of equipment and apparatus furnished under the Contract and any additional
data requested under the Specifications for each division of the Work. The manuals shall
be indexed and bound or labeled in a manner acceptable to Owner. Warranties related to
the project shall be provided in a separate submittal and as required under Article 3.7
above. All documents are required to have been reviewed and approved by the Design
Professional prior to Substantial Completion.
3.15 USE OF SITE
3.15.1 Limits on Use. The Contractor shall confine operations at the Site to areas permitted by
law, ordinances, permits and the Owner and shall not unreasonably encumber the Site
with materials or equipment. Only materials and equipment, which are to be used directly
in the Work shall be brought to the Site. After equipment is no longer required for the
Work, it shall be promptly removed from the Site. See Article 4.1.2 for requirements
governing concurrent Site use.
3.15.2 Owner Approval. The Contractor shall coordinate the Contractor's operations with, and
secure the approval of, the Owner before using any portion of the Site.
3.15.3 Display of Signs. The Contractor shall not display on or about the Site any sign,
trademark or other advertisement without the consent of the Owner.
3.15.4 Equipment Location. The Contractor's field offices, shanties, materials, storage rooms,
hoists elevators, etc., if any, will be placed in locations approved by the Owner. When it
becomes necessary, due to the progress of the Project, for the Contractor to relocate the
Contractor's field operations; such relocation will be approved by the Owner and be
accomplished in an expeditious manner with no increase in the Contract Sum.
3.15.5 Security. The Contractor's use of the site (and protection if required) is governed by
Section 01000, Site Use and Security Requirements in the Specifications.
3.16 CUTTING AND PATCHING
3.16.1 Contractor Responsible. The Contractor shall be responsible for cutting, fitting or
patching required to complete the Work or to make its parts fit together properly with the
existing site and other work.
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3.16.2 Consent Required. The Contractor shall not damage or endanger work performed by the
Owner or other Contractor's by cutting, patching, excavating or otherwise altering such
construction. The Contractor shall not cut or otherwise alter work performed by the
Owner or other Contractor's except with written consent of the Owner and such other
Contractor's; such consent shall not be unreasonably withheld. The Contactor shall not
unreasonably withhold from the other Contractor's, or the Owner, the Contractor's
consent to cutting or otherwise altering the Work.
3.17 CLEAN UP
3.17.1 Daily Clean Up. The Contractor shall, on a daily basis, clean up after its operation by
removing rubbish, including old and surplus materials. The Contractor shall shall comply
with all Maricopa County dust control standards. All waste materials, rubbish and debris
resulting from Contractor's Work shall be removed regularly from the Site, minimum
once a week, and disposed in accordance with federal, state, and local laws. The
Contactor shall not allow or permit the accumulation of waste, materials, or equipment
that may impede or interfere with the safe production of work or with safe access or
egress to the work areas, or impede in any way the ongoing Owner operations.
3.17.2 Final Clean Up. At the completion of the Work, the Contractor shall remove all its waste
materials and rubbish from and about the Site as well as all its tools, construction
equipment, machinery and surplus materials. The Contractor shall professionally wash
and clean all surfaces and leave the Work neat and clean, ready for occupancy by the
Owner, unless higher cleaning standards are required elsewhere in the Contract. The
Contactor shall be responsible for the overall cleanliness and neatness of the Work.
3.17.3 Failure to Clean Up. If the Contactor fails to perform regular daily cleanup or to cleanup
at the completion of the Work as specified, the Owner may do so or cause such Work to
be performed, with the cost paid for by the Contactor. The Owner shall have the right to
retain such costs from payments due Contactor and reduce the Contract sum by change
order.
3.17.4 Clean Up Disputes. If a dispute arises between the Contractor and other Contractor's not
a party to this Contract as to their responsibility for cleaning up as required by this Article
3.16, or elsewhere in the Contract, the Owner may clean up and equitably charge the cost
thereof to the several Contractor s. The Owner shall have the right to retain such costs
from payments due Contactor and reduce the Contract sum by change order.
3.18 ACCESS TO WORK
3.18.1 The Contactor shall provide the Owner and Design Professional access to the Work in
preparation for the work and during progress wherever the work is located. The
Contactor shall provide facilities needed for such access so that the Design Professional
and the Owner may perform their functions under the Contract.
3.19 ROYALTIES AND PATENTS
3.19.1 Contactor Responsibility. The Contractor shall pay all royalties and license fees
applicable to the Contractor's Work. The Contactor shall indemnify, defend and hold
harmless the Indemnities from any and all suits, demands or claims for infringement of
any patent rights unless a particular design, process or product is specified in the
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Contract. If such specification is made and the Contractor has reason to believe it is an
infringement of a patent, the Contractor shall be responsible for any loss arising there
from unless the Contractor promptly notifies the Owner prior to performing any portion
of the Work involving the patented item.
3.19.2 Effect of Review by Owner or Design Professional. The review by the Owner or the
Design Professional of any method of construction, invention, appliance, process, article,
device or material of any kind shall not constitute an approval thereof for use by the
Contractor in violation of any patent or other rights of any third party.
3.20 VALUE ENGINEERING PROPOSALS
3.20.1 After the Contract has been executed, the Owner and Design Professional may consider,
but shall have no obligation to consider, Value Engineering Proposals. The decision in
the first instance on acceptance or rejection of a Value Engineering Proposal for a
proposal to use similar materials, products, equipment or systems shall be vested in the
Design Professional, and ultimately with the Owner, whose decision shall be final and
binding. If the submission of Value Engineering Proposals will be considered under this
Contract, Specification Section 012413 will be included in the Contract Documents.
ARTICLE 4 ADMINISTRATION AND RESOLUTION OF DISPUTES
4.1 ADMINISTRATION OF THE CONTRACT
4.1.1 Owner's Representatives. The Owner, or its authorized representative, will provide
administration of the Contract, (1) during construction, (2) until Final Payment is made,
and (3) with the Owner's concurrence, from time to time during the correction period
described in Article 12.2.
4.1.2 Coordination of Contractor's. The Owner will provide for coordination of the activities
of other Contractor's and of the Owner's own forces with the Work of the Contractor,
who shall cooperate with them. The Owner will schedule and coordinate all Contractor's
with respect to their use of the site. The Contactor shall participate with other
Contractor's and the Owner in reviewing construction schedules when directed to do so.
The Contractor shall make any revisions to the Contractor Construction Schedule deemed
necessary by the Owner.
4.1.3 Design Professional's Observation of the Work. The Design Professional will visit the
Site at intervals appropriate to the stage of construction to become generally familiar with
the progress and quality of the completed Work and to determine in general if the Work
is being performed in a manner indicating that the Work, when completed, will comply
with the Contract documents.
4.1.4 Control of Work. The Owner and Design Professional will not have control over or
charge of and will not be responsible for construction means, methods, techniques,
sequences or procedures, or for safety precautions and programs in connection with the
Work, since these are solely the Contractor's responsibility and neither will be
responsible for the Contractor's failure to carry out the Work in accordance with the
Contract. Neither the Owner nor the Design Professional will have control over or
charge of or be responsible for acts or omissions of the Contactor or Subcontractors.
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4.1.5 Authority to Reject Work. The Design Professional shall notify the Owner in the event
the Design Professional designates Work which the Design Professional asserts does not
comply with the Contract documents and may suggest additional testing and inspection.
Rejection of the Work shall be in the discretion of the Owner.
4.1.6 Coordination of Submittals. The Design Professional will receive from the Contractor
and coordinate all Shop Drawings, Product Data and Samples, coordinate them with
information received from other Contractor's. The Owner's designee's actions will be
taken with reasonable promptness.
4.1.7 Design Professional's Review of Submittals. The Design Professional will review or
take other appropriate action upon the Contractor's submittals such as Shop Drawings,
Product Data and Samples, but only for the limited purpose of checking for conformance
with information given and the design concept expressed in the Contract. The Design
Professional's action will be taken within fourteen (14) days of the date of submittal to
the Design Professional by the Contractor. Review of such submittals is not conducted
for the purpose of determining the accuracy and completeness of other details such as
dimensions and quantities, or for substantiating instructions for installation or
performance of equipment or systems, all of which remain the responsibility of the
Contractor. The Design Professional's review of the Contractor's submittals shall not
relieve the Contactor of the obligations under the Contract. The Design Professional
review shall not constitute approval of safety precautions or, unless otherwise specifically
stated by the Design Professional, of any construction means, methods, techniques,
sequences or procedures. The Design Professional review of a specific item shall not
indicate approval of an assembly of which the item is a component.
4.1.8 Project Completion Inspections by Owner. The Owner will assist the Design
Professional in conducting inspections to determine the dates of Substantial Completion
and Final Completion, and the Design Professional will receive and forward to the Owner
written warranties and related documents required by the Contract and assembled by the
Contractor.
4.1.9 Aesthetic Decisions. The Owner's decisions on matters relating to aesthetic effect will be
final.
4.1.10 Contractor's Required to Attend Meetings. The Owner will call for meetings of the
Contractor and Subcontractors as it deems necessary. Such meetings shall be held at or
near the Site on regular working days during regular working hours, unless otherwise
directed by the Owner. Attendance shall be mandatory for all parties notified to attend,
and the Contractor and Subcontractors so notified are required to have a responsible
member of their organizations with full decision making authority in attendance.
4.1.12 Acts or Omissions by Owner or Design Professional. In no event shall any act or
omission on the part of the Design Professional or the Owner relieve the Contractor from
its obligation to perform the Work in full compliance with the Contract.
4.2 CLAIMS AND DISPUTES
4.2.1 Time Limits on Claims. Claims by the Contractor must be made within the number of
days specified in Articles 4.2.3, 4.2.4, 4.2.5 or 4.2.6 after the occurrence of the event
giving rise to such Claim or after the Contractor should have recognized, in the exercise
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of due diligence, the condition giving rise to such Claim. Claims must be made by written
notice. An additional Claim made after the initial Claim has been implemented by
Change Order will not be considered unless the additional Claim is submitted in a timely
manner.
4.2.2 Continuing Contract Performance. Pending final resolution of a Claim, including
Alternative Dispute Resolution as provided for in Exhibit B of this document, the
Contractor shall proceed diligently with performance of the Contract and the Owner shall
continue to make payments in accordance with the Contract other than amounts in
dispute.
4.2.3 Concealed or Unknown Conditions. If conditions are encountered at the Site which are
(1) subsurface or otherwise concealed physical conditions which differ materially from
those indicated in the Contract, (2) unknown physical conditions of an unusual nature,
which differ materially from those ordinarily found to exist and generally recognized as
inherent at the Site, and (3) could not have been discovered by a thorough inspection and
investigation of the Site by the Contractor, the Contractor shall give written notice within
twenty-four (24) hours of such to the Design Professional. The Design Professional will
promptly investigate such conditions and, if they differ materially and cause an increase
or decrease in the Contractor's cost of, or time required for, performance of any part of
the Work, may recommend to the Owner an equitable adjustment in the Contract Sum or
Contract Time, or both. If the Owner, determines that the conditions at the Site are not
materially different from those indicated in the Contract and that no change in the terms
of the Contract is justified, the Owner shall so notify the Contractor in writing, stating the
reasons. Notice by the Contractor of opposition to such determination must be made
within five (5) days after the Owner has given notice of the decision. Failure to deliver
notice of opposition within the five (5) days shall constitute a waiver of objections to the
Owner's decision.
4.2.4 Claims for Additional Cost.
4.2.4.1 Notice Prior to Execution of Work. If the Contractor wishes to make Claim for
an increase in the Contract Sum, written notice as provided in Article 4.2.4.2
shall be given before proceeding to execute the Work. Prior notice is not
required for Claims relating to an emergency endangering life or property
arising under Article 10.3. If the Contractor believes additional cost is
involved for reasons including but not limited to (1) a written interpretation
from the Design Professional, (2) an order by the Owner to stop the Work
where the Contractor was not at fault, (3) a written order for a minor change in
the Work issued by the Design Professional, (4) failure of payment by the
Owner, (5) termination of the Contract by the Owner, (6) Owner's suspension
or (7) other reasonable grounds, Claim shall be filed in accordance with Article
4.2.4.2.
4.2.4.2 Fourteen Days After Occurrence. If the Contractor wishes to make a Claim for
an increase in the Contract Sum, the Contractor shall give the Design
Professional written notice thereof within fourteen (14) days after the
occurrence of the event giving rise to such Claim or within fourteen (14) days
after the Contractor should have recognized, in the exercise of due diligence,
the condition giving rise to such Claim. The Contractor shall provide such
notice before proceeding to execute the Work. Any Claim with respect to an
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emergency shall be made not later than five (5) days after occurrence of the
emergency as to which the Work was performed.
4.2.4.3 Waiver of Claim for Additional Cost. Failure to give notice of a Claim for an
increase in the Contract Sum in strict compliance with the requirements of this
Article 4.2.4 shall constitute a waiver of such Claim.
4.2.4.4 Claims Against Design Professional. If the Contractor wishes to make a Claim
or allegation based upon actions or omissions of the Design Professional in any
way related to or touching on the activities, events, losses, or expenses set forth
in a Claim presented pursuant to this Article 4, such Claim shall be set forth
and reasonably described in the notice required by Article 4.2.4.1. Failure to
set forth and describe such Claim or allegation in such notice shall constitute a
waiver of such Claim against the Design Professional. Claim shall be made
within fourteen (14) days after the occurrence of the event giving rise to such
Claim or within fourteen (14) days after the Contractor should have
recognized, in the exercise of due diligence, the condition giving rise to such
Claim.
4.2.5 Claims for Additional Time
4.2.5.1 Estimate of Cost and Delay. If the Contractor wishes to make a Claim for an
increase in the Contract Time, written notice as provided in Article 4.2.5.4
shall be given. The Contractor's Claim shall include an estimate of cost,
analysis of schedule and impact on critical path and of probable effect of delay
on progress of the Work. In the case of a continuing delay only one Claim is
necessary.
4.2.5.2 Adverse Weather. If adverse weather conditions are the basis for a Claim for
additional time, such Claim shall be documented by data substantiating that
weather conditions at the job site were abnormal (pursuant to NOAA) for the
period of time involved and could not have been reasonably anticipated, and
that weather conditions had an adverse effect on the scheduled construction.
4.2.5.3 Critical Path. No extension of time shall be granted to the Contractor for a
delay caused by the Owner, Design Professional, any other Contractor's, or
other causes beyond the Contractor's control, unless the delay affects the
critical path of the Project and then only to the extent that the delay affects the
critical path. No extension of time shall be granted to the Contractor to the
extent that, notwithstanding the existence of any such circumstance beyond the
Contractor's control, delay would have resulted in any event due to a
concurrent unexcused delay by the Contractor.
4.2.5.4 Notice of Claim for Additional Time. Should the Contractor contend that it is
entitled to an extension of time for completion of any portion or portions of the
Work, the Contractor shall, within seven (7) days of the occurrence of the
cause of the delay, notify the Design Professional, in writing, of its Claim,
setting forth (1) the cause of the delay, (2) a description of the portion or
portions of Work affected by the delay, (3) the specific number of days of
delay for which an extension of time is requested, and (4) all details pertaining
thereto. (including, but not limited to a schedule analysis and a narrative
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explaining the reasons therefor) If such delay continues after the filing of the
Claim pursuant to the foregoing sentence, within five (5) days after the
expiration of any such delay, the Contractor shall deliver to the Design
Professional a subsequent written application for the specific number of days of
extension of time requested.
4.2.5.5 Waiver of Claim for Additional Time. Failure to give notice of a Claim for
extension of time in strict compliance with the requirements of this Article
4.2.5 shall constitute a waiver of such Claim.
4.2.6 Injury or Damage to Person or Property. If the Contractor suffers injury or damage to
person or property because of an act or omission of the Owner, written notice of such
injury or damage, whether or not insured, shall be given to the Owner within a reasonable
time not exceeding five (5) days after first observance. The notice shall provide
sufficient detail to enable the Owner to investigate the matter. If a Claim for additional
cost or time related to this Claim is to be asserted, it shall be filed as provided in Article
4.2.4 or 4.2.5
4.2.7 Correspondence Issues. If the Contractor does not agree with a statement or statements
set forth in correspondence regarding a Claim from the Owner or Design Professional,
the Contractor must submit a written statement within seven (7) days after receipt, setting
forth the facts of the issue. Otherwise, the statement will be deemed to have been
accepted.
4.3 ALTERNATIVE DISPUTE RESOLUTION
4.3.1 Notwithstanding anything to the contrary provided elsewhere in the Contract, the
alternative dispute resolution ("ADR") process provided for in an Exhibit (attached hereto
and incorporated herein by this reference) shall be the exclusive means for resolution of
claims or disputes arising under this Contract.
ARTICLE 5 SUBCONTRACTORS
5.1 CONTRACTUAL RELATIONSHIP
5.1.1 Nothing contained in the Contract shall create any Contractual relationship between the
Owner or Design Professional and any Subcontractors.
5.2 SUB CONTRACTUAL RELATIONS
5.2.1 Subcontractors Subject to Contract. By an appropriate written Agreement, the Contractor
shall require each Subcontractor, to the extent of the Work to be performed by the
Subcontractor, to be bound to the Contractor by the terms of the Contract, and to assume
toward the Contractor all the obligations and responsibilities which the Contractor
assumes toward the Owner and Design Professional, except with respect to the ADR
provisions of this Contract. The Contractor shall require its Subcontractors to enter into
similar agreements with their Subcontractors, except with respect to the ADR provisions
of this Contract. The Contractor shall make available to each proposed Subcontractor,
prior to the execution of the subcontract, copies of this Contract to which the
Subcontractor will be bound, except with respect to the ADR provisions of this Contract.
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Each Subcontractor shall similarly make copies of this Contract available to their
Subcontractors.
5.2.2 Terms to be Included in Subcontracts. All Work performed for the Contractor by a
Subcontractor shall be pursuant to a written agreement between the Contractor and the
Subcontractor. The Contractor will insure that each such subcontract contains provisions
requiring:
5.2.2.1 That the Work be performed and guaranteed in accordance with the
requirements of this Contract.
5.2.2.2 Submission to the Contractor of Applications for Payment under each
subcontract, and reasonable time to enable the Contractor to apply for payment
in accordance with Article 9:
5.2.2.3 That the Subcontractor pay sub-Subcontractors in accordance with A.R.S. § 34-
221;
5.2.2.4 That the Subcontractor purchase and maintain insurance and comply with all
insurance provisions as required by Article 11. If any Subcontractor is unable
to comply with this paragraph the Contractor shall request a waiver of this
requirement in writing, and shall provide justification for a waiver. If the
Owner grants the request it shall not constitute a waiver of the Owner's right to
strict performance of this Contract, including the insurance requirements for all
other Subcontractors. No waiver of a Subcontractor's insurance requirements
will be effective unless it is in writing.
5.2.2.5 That the Subcontractor consents to an assignment of the subcontract from the
Contractor to the Owner in the event of termination of the Contractor by the
Owner.
5.2.2.6 That the Subcontractor complies with all safety requirements.
5.3 CONTINGENT ASSIGNMENT OF SUBCONTRACT
5.3.1 Each subcontract for a portion of the Work is hereby assigned by the Contractor to the
Owner provided that:
5.3.1.1 Assignment is effective only after termination of the Contract by the Owner for
cause pursuant to Article 15.1 and only for those subcontracts which the Owner
accepts by notifying the Subcontractor in writing; and
5.3.1.2 Assignment is subject to the prior rights of the Surety, if any, obligated under
the bond required by the Contract.
ARTICLE 6 CONSTRUCTION BY OWNER OR BY OTHER CONTRACTOR'S
6.1 OWNER'S RIGHT TO PERFORM CONSTRUCTION WITH OWN FORCES AND TO
AWARD OTHER CONTRACTS
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6.1.1 The Owner reserves the right to perform construction or operations related to the Project
with the Owner's own forces, which include persons or entities under separate Contracts
not administered by the Owner. The Owner further reserves the right to award other
Contracts in connection with other portions of the Project or other construction or
operations on the Site.
6.2 MUTUAL RESPONSIBILITY
6.2.1 Coordination with Owner's Forces. The Contactor shall afford the Owner's own forces
and other Contractor's reasonable opportunity for introduction and storage of their
materials and equipment and performance of their activities, and shall connect and
coordinate the Contractor's construction and operations with theirs as required by the
Contract.
6.2.2 Defects in Other Work. If part of the Contractor's Work depends upon construction or
operations by the Owner's own forces or other Contractor's, the Contractor shall, prior to
proceeding with that portion of the Work, promptly report to the Design Professional
apparent discrepancies or defects in such other construction that would render it
unsuitable for proper execution and results. Failure of the Contractor to so report shall
constitute an acknowledgment that the Owner's own forces or other Contractor's
completed or partially completed construction is fit and proper to receive the Contractor's
Work, except as to defects not then reasonably discoverable.
6.2.3 Damage to Other Work. The Contractor shall promptly remedy damage caused by the
Contractor to the completed or partially completed Project or to the property of the
Owner or other Contractor's.
ARTICLE 7 CHANGES IN THE WORK
7.1 CHANGE ORDERS
7.1.1 Defined. A Change Order is a written order issued to the Contractor by the Design
Professional and signed by the Owner and Design Professional authorizing a change in
the (1) Work, (2) Contract Sum and/or (3) Contract Time. The Contract Sum or Contract
Time may be increased or decreased only by Change Order. No Work shall be performed
by the Contractor or its Subcontractors for which the Contractor intends to seek
additional money or an extension of time unless the Contractor obtains a fully executed
Change Order prior to performing the Work. A Change Order signed by the Contractor
indicates the Contractor's agreement therewith, including without limitation, any
adjustment in the Contract Sum or Contract Time. A Change Order signed by the
Contractor without any indication of change in the Contract Sum or Contract Time
indicates the Contractor's agreement that there will be no change in the Contract Sum or
Contract Time (collectively "Change Order").
7.1.2 Contract Sum. Adjustments to the Contract Amount shall be based on:
7.1.2.1 A method to be determined by the Owner and an acceptable change in cost,
fee, scope and/or time.
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7.1.3 Itemized Costs. For the purpose of preparing Change Orders, the Contractor shall submit
to the Design Professional a complete itemization of all costs required for the change in
such form and detail requested by the Design Professional and the Owner.
7.1.4 Deductive/Additive Changes. All Labor Rates, Unit Rates and Material Costs shall be
applied equally to all Deductive or Additive changes.
7.1.5 Overhead and Profit. The maximum that will be allowed for overhead and profit,
expressed as a percentage of the actual basic cost of the change, shall be as indicated in
the Contractor's bid. Overhead and profit percentages shall be applied equally to additive
or deductive changes.
7.1.5.1 For the Contractor, for Work performed by the Contractor's own forces,
overhead and profit percentage shall be as indicated in the Contractor's bid.
7.1.5.2 For the Contactor, for Work performed by the Contractor's Subcontractor,
overhead and profit percentage shall be as indicated in the Contractor's bid.
7.1.5.3 For each Subcontractor involved, for Work performed by that Subcontractor's
own forces, fifteen percent (15%) of the cost.
7.1.5.4 For each Subcontractor, for Work performed by the Subcontractor's
Subcontractor, five percent (5%) of the amount due the sub-Subcontractor.
7.1.5.5 Costs to which overhead and profit are to be applied shall be determined in
accordance with Article 7.1.5, but in no event shall they be applied to office
supervision, taxes, administration or any other costs not listed in Article 7.1.6.
7.1.6 Calculating Mark-Up Costs on a Change. All markups for changes, additive and
deductive shall be calculated in the following manner. When both additive deductive
activities exist within the same change, mark-ups shall be calculated on the net amount.
Each trade billing for a change shall indicate the PCO number and the amount billed
against the PCO number.
Example:
A) Direct Cost of the Work $1,000.00
B) Bond (.67%) $6.70 (A x B)
C) General Liability (.53%) $5.34 (A + B) x C
D) Builders Risk (.13%) $1.32 (A+B+C)xD
E) Subtotal $1,013.36 (A+B+C+D)
F) Overhead (3.00%) $30.40 (E x F)
G) Fee (1.00%) $10.13 (E x G)
H) Subtotal $1,053.89 (E + F + G)
I) Sales Tax (5.395%) $56.86 (H x I)
Total $1,110.75 (H + I)
7.1.7 Limitations on Costs. Costs for changes, to which overhead and profit are to be applied,
shall be limited to the following:
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7.1.7.1 Actual costs of labor, including social security, old age and unemployment
insurance, fringe benefits required by agreement or custom, and workers'
compensation insurance;
7.1.7.2 Actual costs of materials, supplies and equipment, including cost of
transportation, whether incorporated or consumed, less applicable trade
discounts, rebates, credits or other such reductions in cost made available to
Contractor;
7.1.7.3 Actual rental costs of machinery and equipment not to exceed normal cost or
the cost of owning and maintaining such machinery or equipment, exclusive of
hand tools, whether rented from the Contractor or others;
7.1.7.4 Additional cost of field supervision personnel directly attributable to the
change.
7.1.8 Costs of Material. Material costs shall be at the actual cost to the Contractor or
Subcontractor. Upon request, the Contractor, or Subcontractor, shall submit evidence to
substantiate the costs. Materials shall be quoted at trade discount price, with quantity
discounts also applied where the quantities warrant. Cash or prompt payment discounts
need not be credited. In any proposal with material credits, the credit shall be based on
the actual Contract cost of the material (including trade and quantity discounts) less any
charges actually incurred for handling or returning material, which has been delivered.
No cancellation or restocking charge will be allowed when material has not been shipped.
7.1.9 Actual Costs. Except for changes based on unit prices included in the Contract, cost
changes shall be computed by determining the actual cost as enumerated in Article 7.1.5.
to which the combined overhead and profit as approved by the Owner may be added, and
then adding the insurance, bonds, and tax to compute the total cost.
7.1.10 Unit Prices. Unit prices proposed on the Bid form and included in the Contract are not
subject to further overhead and profit adjustments. The Contract Sum will be adjusted by
the direct extension of the number of units and the unit prices.
7.1.11 Impact Costs. No claim for impact costs resulting from the performance of a Change
Order will be permitted against the Owner, the Design Professional, or any other party in
privity of Contract with the Owner with respect to the Project subsequent to the time that
the Change Order is signed by the Contractor.
7.1.12 Prompt Response to Proposed Changes. The Contractor shall promptly respond to any
Request for Proposal for changes initiated by the Owner or Design Professional, and in
any event shall provide a written itemized proposal in response to any such request within
fifteen (15) days after such request is made to the Contractor.
7.1.13 Final Settlement. Agreement on any Change Order shall constitute a final settlement of
all matters relating to the change in the Work which is the subject of the Change Order,
including, but not limited to, all direct and indirect costs associated with such change, any
impact such change may have on the unchanged Work, and any and all adjustments to the
Contract Sum or the Contract Time. In the event a Change Order increases the Contract
Sum, the Contractor shall include the Work covered by such Change Orders in
Applications for Payment as if such Work were originally part of the Contract.
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Agreement on any Change Order releases the Owner, Design Professional and any other
party in privity of Contract with the Owner with respect to the Project from all claims or
liabilities arising in any way in connection with, or in any way associated with, such
change.
7.1.14 Identifying Changes in the Schedule-of-Values. Each change shall be listed separately in
the Contractor's Schedule-of-Values. Changes shall be listed by Potential Change Order
number, by trade or Subcontractor and include a line item for the Contractor's mark-ups
associated with the change.
Example:
(Example assumes fully executed Change Orders have been issued to the Contractor
including the PCO's referenced) A change occurs involving three trades. The Design
Professional issues Potential Change Order Request #005. Another change occurs
involving two trades. The Design Professional issues Potential Change Order Request
#006.
(Schedule-of Values) Scheduled Value Previously Paid This Period
Electrical PCO #005 $1,000.00 0.00 0.00
Mechanical PCO #005 $1,500.00 0.00 0.00
Framing/Drywall PCO #005 $1,000.00 0.00 0.00
Contractor Markups PCO #005 $388.72 0.00 0.00
Electrical PCO #006 $1,000.00 0.00 0.00
Framing/Drywall PCO #006 $500.00 0.00 0.00
Contractor Markups PCO #006 $166.59 0.00 0.00
7.2 MINOR CHANGES IN THE WORK
7.2.1 Minor changes in the Work not involving adjustment in the Contract Sum or Contract
Time and not inconsistent with the intent of the Contract may be issued. Such changes
shall be effected by written order issued by the Design Professional, and shall be binding
on the Contractor. The Contractor shall carry out such written orders promptly.
7.3 CONSTRUCTION DIRECTIVE:
Defined. A Construction Directive ("C.D.") is a written order prepared and signed by the Owner
directing the Contractor to proceed with a portion of a Scope of Work. Issuance of a
Construction Directive does not imply that a change in scope, cost or time applies. The
Contractor shall perform the work pursuant to the C.D. pending later resolution of any possible
issues relating to cost or time under the Contract.
Contractor's Duty to Proceed with Scope of Work. Upon receipt of a Construction Directive, the
Contractor shall promptly proceed with the Work involved and advise the Owner of any
associated additional costs and/or time.
No payments will be made based on a Construction Directive. Payments will only be allowed
upon receipt of a fully executed Change Order.
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ARTICLE 8 TIME
8.1 PROGRESS AND COMPLETION
8.1.1 Consent to Contract Time. The Contractor acknowledges that the Contract Time is a
reasonable period for performing the Work, and that it is capable of properly completing
the Work within the Contract Time.
8.1.2 Compliance with Contract Time. The Contractor shall carry the Work forward
expeditiously with adequate forces to maintain progress in accordance with the
Contractor Construction Schedule and to complete the Work within the Contract Time.
8.1.3 Notice Required Before Commencing Work. The Contractor shall give sufficient notice
in writing before commencement of the Work, to all persons, public utility companies,
owners of property having structures or improvements in proximity to the Site,
superintendents, inspectors, or those otherwise in charge of property, streets, water lines,
gas lines, sewer lines, telephone cables, communication or data cables, electric cables,
railroads, or others who may be affected by Contractor's operations, in order that they
may remove any obstruction for which they are responsible, and have representation on
the Site to see that their property is properly protected. Such notice does not relieve the
Contractor of responsibility for any damages, claims, or defense of all actions against the
Owner or Design Professional resulting from performance of the Work. Work within
secured areas must be scheduled in accordance with policies of Section 01000, Site Use
and Security Requirements.
8.1.4 Maintenance of Utilities. The Contractor shall (1) protect utilities encountered whether
indicated on Drawings or not; (2) exercise care in excavation around utilities; (3) restore
any damaged items to the same condition (or better) as existed prior to starting the Work;
and (4) maintain utilities or other services indicated to be abandoned in service until new
services are provided, tested, and ready for use.
8.2 DELAYS AND EXTENSIONS OF TIME
8.2.1 Notice of Delays. The Contractor shall provide prompt written notice to the Design
Professional of the occurrence of any delay, and in no event shall such notice be given
later than forty-eight (48) hours after commencement of the delay. The Contractor agrees
that adjustments in the Contract Time will be permitted for a delay only to the extent such
delay (1) is not caused or could not have been anticipated by the Contractor, and (2)
could not have been limited or avoided by the Contractor's timely notice to its suppliers,
Subcontractors, or Design Professional of the delay. Failure to give timely notification to
the Design Professional shall constitute a waiver of claims related to any such delay.
8.2.2 Claims for Additional Time. Claims relating to time shall be made in accordance with
Article 4.2.5.
8.2.3 Recovery of Damages Not Precluded. This Article 8.2 does not preclude recovery of
Owner's damages for delay by the Contractor if such occur.
8.3 TIME OF ESSENCE
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8.3.1 Time is of the essence with respect to the performance of each of the covenants,
conditions and obligations contained in this Contract.
8.4 LIQUIDATED DAMAGES
8.4.1 LIQUIDATED DAMAGES - Contractor acknowledges that failure to achieve
substantial completion of the Work within the Contract Time provided by the Contract
Documents (See Section 0500) will cause the Owner to incur substantial economic
damages and losses of types and in amounts which are difficult or impossible to compute
and ascertain with certainty as a basis for recovery by the Owner of actual damages, and
that liquidated damages represent a fair, reasonable and appropriate estimate thereof.
Accordingly, in lieu of actual damages for such delay, the Contractor and its Surety agree
that, in the event of delayed completion and without the Owner being required to present
any evidence of the amount or character of actual damages sustained by reason thereof,
liquidated damages are due the Owner. Accordingly, if the Contractor fails to achieve
Substantial Completion or Final Completion within the periods agreed to in Section
00500, the Contractor shall be liable for any pay the Owner the sum specified in Section
00500 as liquidated damages (and not as a penalty) for each day of delay until the
Contractor achieves the Substantial Completion or Final Completion, as the case may be.
The Owner shall have the right to retain such damages from payments due Contractor.
The Contractor shall be liable for such liquidated damages regardless of whether Owner
received or may receive liquidated damages from other Contractor's. Such liquidated
damages are intended to represent estimated actual damages and are not intended as a
penalty, and Contractor shall pay them to Owner without limiting Owner's right to
terminate this agreement for default as provided elsewhere herein.
ARTICLE 9 PAYMENTS AND COMPLETION
9.1 SCHEDULE OF VALUES
9.1.1 Prior to submittal of the first Application for Payment, the Contractor shall submit to and
have accepted by the Owner and Design Professional, a schedule detailing values
allocated to various portions of the Work, prepared per Section 012973 and in such form
and supported by such data to substantiate its accuracy as the Owner or Design
Professional may require ("Schedule of Values"). This schedule, after acceptance by the
Owner and Design Professional, shall be used as a basis for reviewing the Contractor's
Applications for Payment.
9.1.2 ALLOWANCES:
If the Contract includes any allowances, all documentation shall be furnished evidencing
the use of allowance funds.
Unless otherwise provided in the Contract Documents:
a. allowances shall cover the cost of materials and equipment delivered at the site,
unloading and handling at the site, labor, installation costs, less applicable trade
discounts;
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b. sales tax overhead, or profit and other expenses, contemplated for stated
allowance amounts shall be included in the Contract Sum but not in the
allowances;
c. whenever costs are more than or less than allowances, the Contract Sum shall be
adjusted accordingly by Change Order. The amount of the Change Order shall
reflect the difference between actual costs and the allowances.
9.2 APPLICATIONS FOR PAYMENT
9.2.1 Defined. On the day of each month indicated in Section 012976 or the next Business Day
if such day is a legal holiday or weekend, the Contractor shall submit to the Design
Professional an itemized application requesting payment for Work completed, or
reasonably projected to be completed by the end of the month, in accordance with the
Schedule of Values, substantiating the Contractor's right to payment as Design
Professional and Owner may require, such as copies of requisitions from Subcontractors
and reflecting retainage ("Application for Payment").
9.2.2 Change Order Required for Payment. Applications for Payment may not include requests
for payment on account of changes in the Work that have been properly authorized by
Change Directives but not yet included in Change Orders.
9.2.3 Disputes with Subcontractors. Applications for Payment may not include requests for
payment of amounts the Contractor does not intend to pay to a Subcontractor because of
a dispute or other reason.
9.2.4 Retainage. Until the Work is fifty percent (50%) complete, the Owner will retain ten
percent (10%) of the amount due the Contractor on account of progress payments. When
the Contract is fifty percent (50%) complete, one-half of the amount retained shall be
paid to the Contractor upon the Contractor's request and receipt of written consent by
Contractor's Surety, provided the Contractor is making satisfactory progress on the
Contract and there is no specific cause or claim requiring a greater amount to be retained.
At the time the Work is fifty percent (50%) complete and thereafter, five percent (5%) of
the amount of each progress payment will be retained unless the Owner determines that
the Contractor is not making satisfactory progress or is in default under the Contract. If
the Owner determines that the Contractor is not making satisfactory progress or is in
default under the Contract, the Owner, at any time during performance of the Contract,
pursuant to Arizona Revised Statutes § 34-221.B, may withhold from any progress
payment an amount sufficient to pay the expenses the Owner reasonably expects to incur
in correcting any deficiency or default in addition to any other remedy allowed. The
Contractor shall have the right, pursuant to Arizona Revised Statues, to submit securities
in lieu of retention. The Contractor is required to request this option at least ten (10)
business days prior to submission of first Application for Payment to allow time for
preparation of forms. The Contractor shall request and obtain securities forms through
Owner. The Contractor must identify either securities option or retention option prior to
first Application for Payment.
9.2.5 Payment for Stored Materials. Unless otherwise provided in the Contract, payments may,
on a limited basis, be made on account of materials and equipment delivered and suitably
stored, either on or off the site, for subsequent incorporation in the Work. Approval for
payment of stored materials or equipment is at the sole discretion of the Owner. Within
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14 days after acceptance of the Schedule of Values, the Contractor must provide a list of
materials and/or equipment (Stored Materials Payment Request) to the Design
Professional and Ownerthat the Contractor proposes to bill as stored materials or
equipment for that portion of the Work. The request shall detail the item, the proposed
location of the item, substantiation that any off-site location is a licensed and bonded
warehouse, and the anticipated delivery time. To qualify for consideration, the material or
equipment must be a critical material that is specially fabricated or produced for the
Work of this Contract, in accordance with the Contract, and paid for in full by the
Contractor. The Design Professional and Owner will not consider requests to pay for
items which are damaged or otherwise defective, or off-the-shelf type materials not
requiring a long lead time to order. Payment for materials and equipment stored shall be
conditioned upon (1) compliance by the Contractor with procedures satisfactory to the
Design Professional and Owner to establish the Owner's title to such materials and
equipment or otherwise protect the Owner's interest, (2) insurance as set forth in Article
11, and (3) source invoices to support the monies requested. The Request must include
an explanation of why a source invoice is unavailable or not applicable. Specific to off-
site materials, Design Professional and Owner may request inspection of off-site
materials prior to acceptance for payment. All costs associated with inspection of off-site
materials and equipment, exclusive of time, shall be borne by Contractor, and Contractor
shall be responsible for all arrangements.
9.2.6 Title to Work. The Contractor warrants that title to all Work covered by an Application
for Payment will pass to the Owner no later than the time of payment. The Contractor
also warrants that upon submittal of an Application for Payment all Work for which
payments have been received from the Owner shall be free and clear of liens, claims,
security interests or encumbrances in favor of the Contractor, Subcontractors, or other
persons or entities making a claim by reason of having provided labor, materials, or
equipment relating to the Work. All Applications for Payment shall include a
certification by Contractor that title to all Work covered by the Application for Payment
will be free and clear of liens, claims, security interests or encumbrances. The Contractor
shall also indemnify, defend, and hold harmless the Indemnitees against any lien by any
Subcontractor, sub-Subcontractor, vendor, supplier, manufacturer or other entity or
person supplying labor, equipment, or materials related to the Work.
9.3 RECOMMENDATION FOR PAYMENT
9.3.1 Timing for Recommendation. The Contractor's Application for Payment shall be
deemed approved and certified for payment within seven (7) days from the date of
submission to the Design Professional , unless within seven (7) days from the date of
submission, the Owner or Design Professinal issues a written finding to the Contractor
specifying those items in the Application for Payment that will not be approved for
payment. In addition to the retainage withheld under Article 9.2.4, the Design
Professional orOwner may withhold an additional amount from the progress payment
sufficient to pay the expenses that the Design Professional or Owner reasonably expects
to incur in correcting the deficiency set forth in the written finding. Undisputed portions
of progress payments shall be paid within fourteen (14) days after approval of the
Application for Payment by the Owner. The Design Professional shall recommend
payment to the Owner only upon their determination that the Work has progressed to the
point indicated in the Contractor's Application for Payment and that to their knowledge,
information and belief, the quality of the Work is in accordance with the Contract.
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9.3.2 Recommendation Subject to Later Evaluation. The recommendation of the Design
Professional and the decision of the Owner to make a payment is subject to later
evaluation of the Work for conformance with the Contract upon Substantial Completion,
to results of subsequent tests and inspections, to minor deviations from the Contract
correctable prior to completion and to specific qualifications expressed by the Owner or
Design Professional. The issuance of a recommendation for payment will not be a
representation that the Owner or Design Professional has (1) made exhaustive or
continuous on-site inspections to check the quality or quantity of the Work, (2) reviewed
the Contractor's construction means, methods, techniques, sequences or procedures, (3)
reviewed copies of requisitions received from Subcontractors and material suppliers and
other data requested by the Design Professional or Owner to substantiate the
Contractor's right to payment, or (4) made examination to ascertain how or for what
purpose the Contractor has used money previously paid on account of the Contract Sum.
9.4 DECISIONS TO WITHHOLD RECOMMENDATION
9.4.1 Criteria for Withholding Recommendation. The Design Professional may decide not to
recommend payment and may withhold a recommendation in whole or in part, to the
extent reasonably necessary to protect the Owner, if in the Design Professional's opinion
the representations to the Owner required in Article 9.3.1 cannot be made. If the Design
Professional is unable to recommend payment in the amount of the Application for
Payment, the Design Professional will notify the Contractor and Owner as provided in
Article 9.3.1. If the Contractor and Design Professional cannot agree on a revised
amount, the Design Professional will promptly issue a recommendation for the amount
for which the Design Professional is able to make a recommendation to the Owner. The
Design Professional may also decide not to recommend payment or, because of
subsequently discovered evidence or subsequent observations, may nullify the whole or a
part of a recommendation previously issued, to such extent as may be necessary in the
Design Professional's opinion to protect the Owner from loss because of:
9.4.1.1 Defective Work not remedied;
9.4.1.2 Third party claims filed or reasonable evidence indicating probable filing of
such claims;
9.4.1.3 Reasonable evidence that the Work cannot be completed for the unpaid balance
of the Contract Sum;
9.4.1.4 Damage to the Owner or another Contractor;
9.4.1.5 Reasonable evidence that the Work will not be completed within the Contract
Time, and that the unpaid balance would not be adequate to cover actual or
liquidated damages for the anticipated delay;
9.4.1.6 Repeated failure to carry out the Work in accordance with the Contract;
9.4.1.7 Unsatisfactory prosecution of the Work or failure to comply with the Contract
Schedule;
9.4.1.8 Failure to supply Shop Drawings or other required submittals;
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9.4.1.9 Erroneous estimates by the Contractor of the value of the Work performed;
9.4.1.10 The existence of a breach by the Contractor of any provision in the Contract; or
9.4.1.11 Failure to execute an assignment of insurance related proceeds pursuant to
Article 11.2.2.10.
9.4.1.12 Failure to provide close out requirements as required by Contract;
9.4.1.13 Failure of the Contractor to make payments properly to Subcontractors or for
labor, materials or equipment;
9.4.1.14 Failure to submit conditional and unconditional lien waivers for progress and
final payments as required by Article 9.2.6.
9.4.1.15 Failure to submit schedule updates and narratives required by Section 013216.
9.4.1.16 Failure to maintain and provide as built documents per Section 017839.
9.4.2 Recommendation Made Upon Compliance. When the above reasons for withholding
recommendation are removed, recommendation will be made for amounts previously
withheld.
9.5 PAYMENTS TO SUBCONTRACTORS
9.5.1 Payment to be Made Within Seven Days. In accordance with A.R.S. § 34-221(E), the
Contractor shall pay each Subcontractor, within seven (7) days of receipt of payment
from the Owner, out of the amount paid to the Contractor on account of such portion of
the Work. The amount to which each Subcontractor is entitled shall reflect payments to
the Contractor on account of such Subcontractor's portion of the Work. The Contractor
shall, by appropriate agreement with each Subcontractor, require each Subcontractor to
make payments to sub-Subcontractors, vendors, and materialsmen in the same manner.
9.5.2 No Obligation to Oversee Payments. Neither the Owner nor Design Professional shall
have an obligation to pay or to see to the payment of money to a Subcontractor.
9.5.3 Payment Not Acceptance of Work. A payment recommendation, a progress payment, or
partial or entire use or occupancy of the Project by the Owner shall not constitute
acceptance of Work which is not in accordance with the Contract.
9.6 INTEREST
9.6.1 If any payment to the Contractor is delayed after the date due, the Owner shall pay
interest at the rate of one and one-half percent (1.5%) per month or fraction of a month on
such unpaid balance as may be due, provided however, that such one and one-half
percent (1.5%) charge shall not apply to any disputed portion of an Application for
Payment. If any periodic or Final Payment to a Subcontractor is delayed by more than
seven (7) days after receipt of the periodic or Final Payment by the Contractor or
Subcontractor, the Contractor or Subcontractor shall pay interest to his Subcontractor or
material supplier, beginning on the eighth day, at the rate of one and one-half percent
(1.5%) per month or a fraction of a month on such unpaid balance as may be due.
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9.7 FAILURE OF PAYMENT
9.7.1 If the Contractor, for any reason not the fault of the Contractor, is not paid any
undisputed amount within fourteen (14) days after the date payment is due, the
Contractor may, upon seven (7) additional days written notice to the Design Professional
and Owner, stop the Work until payment of the amount owing has been received.
Notwithstanding the preceding, the Contractor shall not stop the Work during the
pendency of a dispute which has been submitted to Alternative Dispute Resolution
pursuant to Exhibit "B," nor shall the Contractor stop the Work if the Owner makes
payment of any amounts not in dispute within seven (7) days after the Contractor's notice
of nonpayment is received by the Owner.
9.8 SUBSTANTIAL COMPLETION
9.8.1 Defined. Substantial Completion is the stage of completion of the Work or area of Work
when that portion of the Project or Work for which the Contractor is responsible is fully
usable by the Owner for its intended purpose without inconvenience to or risk of harm to
the Owner, or the public. The authority to determine whether the Contractor has
achieved Substantial Completion is vested in the first instance with the Design
Professional in consultation with the Owner, and ultimately in the Owner, whose decision
shall be final and binding.
9.8.2 Certificate of Substantial Completion. When the Contractor considers that the Work, or a
portion thereof which the Owner agrees to accept separately, is substantially complete,
the Contractor shall prepare and submit to the Design Professional a comprehensive list
of items to be completed or corrected. All Record Documents, Operation and
Maintenance Manuals, the Contractor's and manufacturers' warranties, guarantees,
reports and information required for the Owner to operate the facility in accordance with
Article 9.8.1 shall be provided in the quantities specified. The Contractor shall, in the
time frame indicated in the Contract Documents, complete and correct all items on the
list, unless a longer time is granted by the Owner in writing. Failure to include an item
on such list does not alter the responsibility of the Contractor to complete all Work in
accordance with the Contract. Upon receipt of the list, the Design Professional, assisted
by the Owner, will make an inspection to determine whether the Work or designated
portion thereof is substantially complete. If the inspection discloses any item, whether or
not included on the list, which is not in accordance with the requirements of the Contract,
the Contractor shall, before issuance of the Certificate of Substantial Completion,
complete or correct such item upon notification by the Owner. The Contractor shall then
submit a request for another inspection by the Design Professional, assisted by the
Owner, to determine Substantial Completion. When the Work or designated portion
thereof is substantially complete, the Design Professional will prepare a certificate which
shall (1) establish the date of Substantial Completion, (2) establish responsibilities of the
Owner and Contractor for security, maintenance, heat, utilities, and damage to the Work,
and (3) shall fix the time within which the Contractor shall finish all items on the list
accompanying the Certificate ("Certificate of Substantial Completion"). The Certificate
of Substantial Completion shall be submitted to the Owner and Contractor for their
written acceptance of responsibilities assigned to them in such Certificate.
9.9 FINAL COMPLETION AND FINAL PAYMENT
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9.9.1 Final Inspection. Following the Design Professional's issuance of a Certificate of
Substantial Completion of the Work and upon completion of the Work, the Contractor
shall forward to the Design Professional a written notice that the Work is ready for final
inspection and acceptance and shall also forward to the Design Professional a final
Application for Payment. Upon receipt, the Design Professional will promptly make
such inspection. If the Design Professionalfinds the Work acceptable under the Contract
and the Contract fully performed, the Design Professional will promptly issue a final
recommendation to the Owner stating that to the best of their knowledge, information and
belief, and on the basis of their observations and inspections, the Work has been
completed in accordance with the Contract and that the remaining Contract Sum is due,
including all retainage, less authorized deductions.
9.9.2 Conditions to Final Payment. Final Payment to the Contractor shall be made within
thirty-five (35) days after compliance by the Contractor with Article 9.9.1 and Article
9.9.2. Neither Final Payment nor any remaining retainage shall become due until the
Contractor submits to the Design Professional (1) an affidavit acknowledging that all
Subcontractors, payrolls, bills for materials and equipment, and other indebtedness
connected with the Work will be paid or otherwise satisfied once final payment is made,
(2) the written consent of the Surety to Final Payment, (3) a full and final release and
conditional waiver of liens from the Contractor. The Contractor shall also indemnify,
defend, and hold harmless the Indemnities against liens by any Subcontractor
(collectively "Final Payment"). Within fourteen (14) days after final payment, the
Contractor shall provide an unconditional waiver of all Contractorliens. Release of
retention and/or securities in lieu of retention shall not occur until an unconditional
waiver has been received.
If the Owner prefers to accept Work that is not in accordance with the requirements of the
Contract, the Owner may do so instead of requiring its removal and correction, in which
case the Contract Sum will be reduced as appropriate and equitable for the difference in
value together with an allowance for damage or loss of quality. Such adjustment shall be
effected whether or not Final Payment has been made.
9.9.3 Delay of Final Completion. If, after Substantial Completion of the Work, Final
Completion thereof is materially delayed through no fault of the Contractor or by
issuance of Change Orders affecting Final Completion the Owner shall, upon application
by the Contractor and without terminating the Contract, make payment of the balance due
for that portion of the Work fully completed and accepted. In such case, the Owner will
retain at least two times the value of the incomplete or uncorrected parts of the Work, as
determined by the Design Professional and Owner. If the remaining balance for Work
not fully completed or corrected is less than retainage stipulated in the Contract the
written consent of Surety to payment of the balance due for that portion of the Work fully
completed and accepted shall be submitted by the Contractor to the Design Professional
and Owner prior to recommendation of such payment. Such payment shall be made under
terms and conditions governing Final Payment.
9.9.4 Waiver of Claims. Acceptance of final payment by the Contractor shall constitute a
waiver of all claims related to the Project. .
9.10 INSPECTION BY DESIGN PROFESSIONAL AND OWNER
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9.10.1 The Design Professional and the Owner will make up to two inspections of the Work for
the purpose of determining Substantial Completion and up to two inspections of the
Work for the purpose of determining Final Completion. If, after making either of such
inspections, the Owner determines that the Work is not substantially complete or finally
complete, as the case may be, the Contractor shall be responsible for the costs of the
Design Professional and the Owner incurred in the performance of additional inspections
for the purpose of determining Substantial Completion or Final Completion, as the case
may be.
ARTICLE 10 PROTECTION OF PERSONS AND PROPERTY
10.1 SAFETY PRECAUTIONS
10.1.1 Contractor's Responsibility. The Contractor shall be responsible for initiating,
maintaining and supervising all safety precautions and programs in connection with the
Work in compliance with all local, state and federal safety and environmental regulations.
A copy of the written site-specific Safety Program detailing all recognized hazards and
the proposed mitigatin techniques, Company safety policy and OSHA 300 log will be
submitted to the Owner.
10.1.2 Remedy for Failure to Maintain Safety. If the Contractor fails to maintain the safety
precautions required by law, the Owner shall take action as necessary and charge the
Contractor therefore. However, the failure of the Owner to take any such action shall not
relieve the Contractor of its obligations set forth in Article 10.1.1. If the Contractor fails
to maintain the safety precautions required by law or by the Owner, the Contractor shall,
as directed by the Owner, remove all forces from the Project without cost or loss to the
Owner until the Contractor complies with such safety precautions. The Contractor shall
not be granted additional time for completion of the Work if the Work is stopped by the
Owner or Agency due to the Contractor's non-compliance with these provisions.
10.1.3 Environmental Hazards and archeological items.. In the event the Contractor encounters
on the Site archeological artifacts or remains or material reasonably believed to contain
asbestos, polychlorinated biphenyls (PCBs), petroleum based substances, or hazardous
substances (as defined or regulated under any federal, state, or local law), the Contractor
shall (1) immediately stop Work in the area affected and report the condition to the
Owner by the fastest available means and follow up in writing; and (2) take reasonable
precautions to prevent or contain the movement, spread or disturbance of such materials.
The Work in the affected area shall not thereafter be resumed except by written consent
of the Owner. In no event shall the Owner have any responsibility for any substance or
material that is brought to the Site by the Contractor, any Subcontractor, any materialman
or supplier, or any entity for which any of them is responsible. The Contractor agrees not
to use any fill or other materials to be incorporated into the Work, which are hazardous,
toxic or comprised of any items that are hazardous or toxic. The Contractor shall
indemnify, defend, and hold harmless the Indemnitees from and against any and all
liabilities, claims, or demands (including attorney's fees and costs) arising out of or
resulting from the presence, uncovering, release of suspected or confirmed asbestos,
polychlorinated biphenyls (PCBs), petroleum based substances, or hazardous substances
to the extent caused by the negligence of, or failure to comply with, the terms and
conditions of the Contract by the Contractor, any Subcontractor, any materialman or
supplier, or any entity for whom any of them is responsible. The Contractor may request
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from the Owner any environmental reports which were completed by Owner's
environmental consultant(s) for this Project.
10.1.4 Duty to Stop Work. If reasonable precautions are inadequate to prevent foreseeable
bodily injury or death to persons resulting from a material or substance encountered on
the Site by the Contractor, the Contractor shall, upon recognizing the condition,
immediately stop Work in the affected area and report the condition to the Owner in
writing.
10.2 PROTECTION OF PERSONS AND PROPERTY
10.2.1 Contractor's Duty to Protect. The Contractor shall take all necessary precautions during
the work for safety of, and shall provide reasonable protection to prevent damage, injury
or loss to:
10.2.1.1 Employees on the Work site and other persons who may be affected thereby;
10.2.1.2 The Work and materials and equipment to be incorporated therein,
whether in storage on or off the Site, under care, custody or control of the
Contractor or the Contractor's Subcontractors;
10.2.1.3 The Work and materials and equipment to be incorporated therein, if the
Project Site is within a floodplain;
10.2.1.4 Other property at the Site or adjacent thereto, such as trees, shrubs,
lawns, walks, pavements, roadways, structures and utilities not designated for
removal, relocation or replacement in the course of construction; and
10.2.1.5 Construction or operations by the Owner or other Contractor's.
10.2.2 Compliance with Safety Notices and Laws. The Contractor shall comply with applicable
laws, ordinances, rules, regulations and lawful orders of public authorities bearing on
safety of persons or property or their protection from damage, injury or loss.
10.2.3 Safety Precautions. The Contractor shall erect and maintain, as required by existing
conditions and performance of the Contract, all necessary safeguards for safety and
protection, including posting danger signs and other warnings against hazards,
promulgating safety regulations and notifying owners and users of adjacent sites and
utilities. The Contractor shall also be responsible, at the Contractor's sole cost and
expense, for all measures necessary to protect any property adjacent to the Site and
improvements thereon. Any damage to such property or improvements shall be promptly
repaired by the Contractor. Without limiting the indemnity provisions elsewhere in the
Contract, the Contractor shall indemnify, defend and hold harmless the Indemnitees from
and against any and all liabilities, claims or demands (including attorney's fees and costs)
arising out of or resulting from damage to such property or improvements.
10.2.4 Use of Explosives or Hazardous Materials. When use or storage of explosives or other
hazardous materials or equipment or unusual methods is necessary for execution of the
Work, the Contractor shall exercise utmost care and carry on such activities under
supervision of properly qualified personnel. When use or storage of explosives, other
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hazardous materials or equipment or unusual methods are necessary, the Contractor shall
advise the Owner of the existence or storage of such materials.
10.2.5 Contractor Liability. The Contractor shall promptly remedy damage and loss to any
property caused in whole or in part by the Contractor or Subcontractor or anyone or by
anyone for whose acts they may be liable.
10.2.6 Safety Representative. The Contractor shall designate a responsible member of the
Contractor's organization at the Site whose duty shall be the prevention of injuries and
accidents and administration of the Contractor's written Safety Program. The Safety
Representative shall be onsite full-time and shall have a minimum of a 30-Hour
Occupational Safety and Health Training Course within the past (2) years and must
maintain that competency. This person shall attend all project safety meetings and shall
conduct regularly scheduled safety meetings for employees of the Contractor and
Subcontractors engaged in construction activities at the Site, recording the date and topics
covered during the safety meetings.
10.2.7 Accident/Injury Reports. The Contractor shall report in writing within one (1) working
day of the Contractor's knowledge, to the Owner, all accidents or injuries arising out of
or in connection with the Work which cause personal injury or property damage, giving
full details and statements of any witnesses. In addition, if death or serious personal
injuries requiring admitted hospital stay or serious damages are caused, the incident shall
be reported immediately by telephone or messenger to the Owner.
10.2.8 Safety Cooperation. The Contractor and its Subcontractors shall cooperate fully with the
Owner and all interested parties on accident/injury prevention and claim handling
procedures.
10.2.9 Risk of Loss. The Contractor shall be fully responsible for, and shall bear the full risk of
loss of, all the Contractor's tools, equipment, materials, and other property. The
Contractor shall be responsible to the Owner in the event that Contractor destroys or
damages Owner's premises or property.
10.3 EMERGENCIES
10.3.1 In an emergency affecting safety of persons or property, the Contractor shall act, (and
shall act in a manner chosen at the Contractor's discretion), to prevent damage, injury or
loss. Additional compensation or extension of time claimed by the Contractor on account
of an emergency shall be determined as provided in Article 4.2 and Article 7.
ARTICLE 11 INDEMNIFICATION AND INSURANCE
11.1 INDEMNIFICATION
11.1.1 Contractor's Duty to Indemnify and Defend. To the fullest extent permitted by law, the
Contractor shall defend, indemnify and hold harmless the Owner, its agents,
representatives, officers, directors, officials, and employees from and against all claims,
damages losses, and expenses, including but not limited to attorney fees, court costs,
expert witness fees, and the cost of appellate proceedings, relating to, arising out of, or
alleged to have resulted from the negligent, reckless, or intentionally wrongful acts,
errors, omissions or mistakes of the Contractor, its agents, representatives, employees, or
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Subcontractors relating to the performance of this Contract. Contractor's duty to defend,
indemnify and hold harmless the Owner, its agents, representatives, officers, directors,
officials, and employees shall arise in connection with any claim, damage loss or expense
that is attributable to bodily injury, sickness, disease, death or injury to, impairment, or
destruction of property, including loss of use resulting therefrom, caused by the
referenced acts, errors, omissions or mistakes in the performance of this Contract,
including those made by any person for whose acts, errors, omissions or mistakes, the
Contractor may be legally liable.
11.1.1.2 The amount and type of insurance coverage requirements set forth below
will in no way be construed as limiting the scope of the indemnity in Article
11.1.
11.2 INSURANCE
11.2.1 General Conditions
11.2.1.1 Contractor, at Contractor's own expense, shall purchase and maintain the
herein stipulated minimum insurance from a company or companies duly
licensed by the State of Arizona and possessing a current A.M. Best, Inc. rating
of B++. In lieu of State of Arizona licensing, the stipulated insurance may be
purchased from a company or companies, which are authorized to do business
in the State of Arizona, provided that said insurance companies meet the
approval of Owner. The form of any insurance policies and forms must be
acceptable to Owner.
11.2.1.2 All insurance required herein shall be maintained in full force and effect until
all work or service required to be performed under the terms of the Contract is
satisfactorily completed and formally accepted. Failure to do so may, at the
sole discretion of Owner, constitute a material breach of this Contract.
11.2.1.3 Contractor's insurance shall be primary insurance as respects Owner, and any
insurance or self-insurance maintained by Owner shall not contribute to it.
11.2.1.4 Any failure to comply with the claim reporting provisions of the insurance
policies or any breach of an insurance policy warranty shall not affect the
Owner's right to coverage afforded under the insurance policies.
11.2.1.5 The insurance policies may provide coverage that contains deductibles or self-
insured retentions. Such deductible and/or self-insured retentions shall not be
applicable with respect to the coverage provided to Owner under such policies.
Contractor shall be solely responsible for the deductible and/or self-insured
retention and Owner, at its option, may require Contractor to secure payment of
such deductibles or self-insured retentions by a surety bond or an irrevocable
and unconditional letter of credit.
11.2.1.6 Owner reserves the right to request and to receive, within 10 working days,
certified copies of any or all of the herein required insurance policies and/or
endorsements. Owner shall not be obligated, however, to review such policies
and/or endorsements or to advise Contractor of any deficiencies in such
policies and endorsements, and such receipt shall not relieve Contractor from,
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or be deemed a waiver of Owner's right to insist on strict fulfillment of
Contractor's obligations under this Contract.
11.2.1.7 The insurance policies required by this Contract, except Workers'
Compensation, and Errors and Omissions, shall name Maricopa County, its
officers, elected officials, employees agents and representatives as Additional
Insureds.
11.2.1.8 The policies required hereunder, except Workers' Compensation, and Errors
and Omissions, shall contain a waiver of transfer of rights of recovery
(subrogation) against Maricopa County, its officers, elected officials,
employees agents and representatives for any claims arising out of Contractor's
work or service.
11.2.2 Contractor is required to procure and maintain the following coverages:
11.2.2.1 Commercial General Liability. Commercial General Liability insurance and, if
necessary, Commercial Umbrella insurance with a limit of not less than
$3,000,000 for each occurrence, $5,000,000 Products/Completed Operations
Aggregate, and $5,000,000 General Aggregate Limit. The policy shall include
coverage for bodily injury, broad form property damage, personal injury,
products and completed operations and blanket Contractual coverage, and shall
not contain any provision which would serve to limit third party action over
claims. There shall be no endorsement or modification of the CGL limiting the
scope of coverage for liability arising from explosion, collapse, or underground
property damage.
11.2.2.2 Automobile Liability. Commercial/Business Automobile Liability insurance
and, if necessary, Commercial Umbrella insurance with a combined single
limit for bodily injury and property damage of not less than $2,000,000 each
occurrence with respect to any of the Contractor's owned, hired, and non-
owned vehicles assigned to or used in performance of the Contractor's work or
services under this Contract.
11.2.2.3 Workers' Compensation. Workers' Compensation insurance to cover
obligations imposed by federal and state statutes having jurisdiction of
Contractor's employees engaged in the performance of the work or services
under this Contract; and Employer's Liability insurance of not less than
$1,000,000 for each accident, $1,000,000 disease for each employee, and
$1,000,000 disease policy limit
11.2.2.4 Errors and Omissions Insurance. Errors and Omissions insurance and, if
necessary, Commercial Umbrella insurance, which will insure and provide
coverage for errors or omissions of the Contractor, with limits of no less than
$5,000,000 for each claim.
11.2.2.5 Builder's Risk (Property) Insurance. Contractor shall purchase and maintain,
on a replacement cost basis, Builders' Risk insurance and, if necessary,
Commercial Umbrella insurance in the amount of the initial Contract amount
as well as subsequent modifications thereto for the entire work at the site. Such
Builders' Risk insurance shall be maintained until Substantial Completion has
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been granted. This insurance shall include interests of Owner, Contractor, and
all Subcontractors and sub-Subcontractors, in the work during the life of the
Contract and course of construction, and shall continue until the work is
completed and accepted by Owner. For new construction projects, Contractor
agrees to assume full responsibility for loss or damage to the work being
performed and to the structures under construction. For renovation
construction projects, Contractor agrees to assume responsibility for loss or
damage to the work being performed at least up to the full Contract amount,
unless otherwise required by the Contract documents or amendments thereto.
Builders' Risk insurance shall be on a special form and shall also cover false
work and temporary buildings and shall insure against risk of direct physical
loss or damage from external causes including debris removal, flood and
earthquake, demolition occasioned by enforcement of any applicable legal
requirements, and shall cover reasonable compensation for Design
Professional's service and expenses required as a result of such insured loss
and other "soft costs" as required by the Contract.
Builders' Risk insurance must provide coverage from the time any covered
property comes under Contractor's control and/or responsibility, and continue
without interruption during construction, renovation, or installation, including
any time during which the covered property is being transported to the
construction installation site, and while on the construction or installation site
awaiting installation. The policy will provide coverage while the covered
premises or any part thereof are occupied. Builders' Risk insurance shall be
primary and not contributory.
11.2.2.7 If the Contract requires testing of equipment or other similar operations, at the
option of Owner, Contractor will be responsible for providing property
insurance for these exposures under a Boiler Machinery insurance policy.
11.2.2.8 Environmental Liability Coverage Insurance. Contractor shall maintain in
force for the full period of this contract insurance covering losses caused by
pollution conditions that arise from the operations of the contractor described
under the scope of services of this contract.
This insurance shall apply to bodily injury; property damage, including loss of
use of damaged property or of property that has not been physically injured;
cleanup costs; and defense, including costs and expenses incurred in the
investigation, defense, or settlement of claims. The policy of insurance
affording these required coverages shall be written in an amount of at least
$3,000,000 per loss, with an annual aggregate of at least $5,000,000.
The policy of insurance shall be endorsed to include as an insured Maricopa
County, its officers, elected officials, employees, agents and representatives.
11.2.3 Contractor waives all rights against Maricopa County, its officers, elected officials,
employees agents and representatives for recovery of damages to the extent these
damages are covered by the Workers' Compensation and Employer's Liability or
commercial umbrella liability insurance obtained by Contractor pursuant to this
agreement.
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11.2.4 CERTIFICATES OF INSURANCE
11.2.4.1 Prior to commencing work or services under this Contract, Contractor shall
furnish Owner with Certificates of Insurance and Policy Endorsements in a
form acceptable to Owner, or formal endorsements as required by the Contract
in the form provided by the Owner, issued by Contractor's insurer(s), as
evidence that policies providing the required coverages, conditions and limits
required by this Contract are in full force and effect. Such certificates shall
identify this Contract number and title.
11.2.4.2 In the event any insurance policy(ies) required by this Contract is(are) written
on a "claims made" basis, coverage shall extend for one year past completion
and acceptance of Contractor's work or services and as evidenced by annual
Certificates of Insurance.
11.2.4.3 If a policy does expire during the life of the Contract, a renewal certificate must
be sent to Owner fifteen (15) days prior to the expiration date.
11.2.4.4 Subguard insurance will not be accepted by the COUNTY.
11.2.5 CANCELLATION AND EXPIRATION NOTICE
Insurance required herein shall not expire, be canceled, or materially changed without
thirty (30) days prior written notice to Owner.
11.3 PERFORMANCE AND PAYMENT BONDS
11.3.1 Bonds. Contractor shall obtain, at its own expense, performance and payment bonds as
required by A.R.S. § 34-222. Contractor warrants that its payment and performance
bonds fully comply with A.R.S. § 34-222.
11.3.2 Copies to Potential Beneficiaries. Upon the request of any person or entity appearing to
be a potential beneficiary of bonds covering payment of obligations arising under the
Contract, the Contractor shall promptly furnish a copy of the bonds or shall permit a copy
to be made.
ARTICLE 12 UNCOVERING AND CORRECTION OF WORK
12.1 UNCOVERING OF WORK
12.1.1 Duty to Uncover Work. If a portion of the Work is covered contrary to the Owner's or
Design Professional's request or to requirements specifically expressed in the Contract, it
must, if required in writing by either, be uncovered for their observation and be replaced
at the Contractor's expense without change in the Contract Time.
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12.1.2 Cost of Uncovering Work. If a portion of the Work has been covered which the Owner
or Design Professional has not specifically requested to observe prior to its being
covered, the Owner or Design Professional may request to see such Work and it shall be
uncovered by the Contractor. If such Work is in accordance with the Contract, costs of
uncovering and replacement shall, by appropriate Change Order, be charged to the
Owner. If such Work is not in accordance with the Contract, the Contractor shall pay
such costs.
12.2 CORRECTION OF WORK
12.2.1 Duty to Correct Rejected Work. The Contractor shall promptly correct all Work rejected
by the Owner as defective or failing to conform to the requirements of the Contract,
whether observed before or after Substantial Completion of the Work and whether or not
fabricated, installed or completed. The Contractor shall bear costs of correcting such
rejected Work including the replacement or repair of other work affected by the
Contractor's performance, including additional testing and inspection and compensation
for the Owner's and Design Professional's services made necessary thereby. Work
rejected before Final Completion shall be corrected prior to Final Payment.
12.2.2 One Year Duty to Correct Work. Without limiting the Owner's statutory, common law,
or rights arising out of this Agreement, if within one year after the date of Substantial
Completion of the Work, or within such longer period of time as may be prescribed by
law or by the terms of any applicable special warranty or guarantee required by the
Contract, any of the Work is found to be defective or not in accordance with the
requirements of the Contract, the Contractor shall correct it promptly after receipt of
written notice from the Owner to do so. In the event that during the warranty period of
one year, key systems on the Project (for example: HVAC, boilers, chillers, generators,
electric, fire or security, water, sewage, elevator, data) fail to function, the Contractor will
repair or replace such systems within twenty-four (24) hours. The Contractor shall bear
all costs of correcting such defective Work, including replacement or repair of other work
affected by the defect and any other damages resulting from such defect. The obligations
under this Article 12.2.2 shall survive Final Payment to the Contractor.
12.2.3 Removal of Nonconforming Work. The Contractor shall remove from the Site, at no
additional cost, portions of the Work that are not in accordance with the requirements of
the Contract and are neither corrected by the Contractor nor accepted by the Owner.
12.2.4 Owner's Right to Correct Nonconforming Work. If the Contractor fails to correct
nonconforming Work within a reasonable time, the Owner may correct it in accordance
with Article 2.3. If the Contractor does not proceed with correction of such
nonconforming Work within a reasonable time fixed by written notice from the Owner.
The Owner may remove it and store the salvable materials or equipment at the
Contractor's expense. If the Contractor does not pay costs of such removal and storage
within ten (10) days thereafter, the Owner may sell such materials and equipment at
auction or at private sale and shall account for the net proceeds thereof, after deducting
the costs that should have been borne by the Contractor, including compensation for the
Owner's and Design Professional's additional services and expenses made necessary
thereby. If such proceeds of sale do not cover costs that the Contractor should have
borne, the Contract Sum shall be reduced by the deficiency. If payments then or
thereafter due the Contractor are not sufficient to cover such amount, the Contractor shall
pay the difference to the Owner.
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12.2.5 Cost of Correcting Other Affected Work. The Contractor shall bear the cost of correcting
destroyed or damaged construction, whether completed or partially completed, of the
Owner, the Contractor or other Contractor's caused by the Contractor's correction or
removal of Work which is defective or not in accordance with the requirements of the
Contract.
12.2.6 Warranty Periods. Nothing contained in this Article 12.2 shall be construed to establish a
period of limitation with respect to obligations that the Contractor has under the Contract
or at law, including Article 3.8. Establishment of the time period of one year as
described in Article 12.2.2, or such longer period of time as may be prescribed by law or
by the terms of any warranty required by the Contract, relates only to the specific
obligation of the Contractor to correct the Work, and has no relationship to the time
within which the obligation to comply with the Contract may be sought to be enforced,
nor to the time within which proceedings may be commenced to establish the
Contractor's liability with respect to the Contractor's obligations.
12.2.6.1 4 hours for emergency repair work. An "emergency repair" is defined
as that work necessary due to health and safety, or to return the facility
to safe and functional operation.
12.2.6.2 16 hours for urgent repair work. An "urgent repair" is defined as that
work needed to repair intermittent interruptions to operations or
potential safety hazards.
ARTICLE 13 MISCELLANEOUS PROVISIONS
13.1 GOVERNING LAW
13.1.1 The Contract shall be governed by the laws of the State of Arizona.
13.1.2 This Contract is made in accordance with and subject to the provision of all applicable
laws, statutes, ordinances, rules, regulations, executive orders and codes. To the extent
required by applicable law, each party hereto shall comply and require its Subcontractors
and suppliers to comply with all then applicable federal, state of Arizona and local
nondiscrimination laws, rules, regulations, ordinances and executive orders, including,
without limitation, the Civil Rights Act of 1964, the Age Discrimination in Employment
Act and the Americans with Disabilities Act, as they may be amended, modified,
codified, supplemented or repealed from time to time.
13.2 SUCCESSORS AND ASSIGNS
13.2.1 The Owner and the Contractor respectively bind themselves, their successors, assigns and
legal representatives to the other party hereto and to successors, assigns and legal
representatives of such other party in respect to covenants, agreements and obligations
contained in the Contract.
13.3 NOTICES
13.3.1 Methods of Notice. All notices pursuant to this Agreement must be in writing and must
be sent to the appropriate Person and will be deemed properly given if sent by (1)
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personal delivery, (2) e-mail, return receipt required, (3) express mail, postage prepaid,
return receipt required, or (4) certified United States mail, postage prepaid, return receipt
required. Mailed notices are not effective until actually received.
Each party may by notice to the others specify a different address for subsequent notice
purposes.
13.3.2 Authorized Persons. Written notice to the Owner shall be transmitted to the Construction
Project Manager. Notice to the Contractor shall be transmitted to the Contractor's Project
Manager.
13.4 RIGHTS AND REMEDIES
13.4.1 Legal Rights. Duties and obligations imposed by the Contract and rights and remedies
available thereunder shall be in addition to and not a limitation of duties, obligations,
rights and remedies otherwise imposed or available by law. This clause shall not be
interpreted to permit the Contractor to recover any costs or damages that are otherwise
limited, prohibited or waived by the Contract.
13.4.2 No Waiver. No action or failure to act by the Owner, Design Professional or Contractor
shall constitute a waiver of a right or duty afforded them under the Contract, nor shall
such action or failure to act constitute approval of or acquiescence in a breach thereunder,
except as may be specifically agreed in writing.
ARTICLE 14 CONTRACT INTERPRETATION.
14.1 HEADINGS
14.1.1 The subject headings of this Agreement are included for purposes of convenience only
and shall not affect the construction or interpretation of any provision of this Agreement.
14.2 MISCELLANEOUS
14.2.1 In the interest of brevity, the Contract frequently omits modifying words such as "all" and
"any" and articles such as "the" and "an" but the fact that a modifier or an article is absent
from one statement and appears in another is not intended to affect the interpretation of
either statement. To the extent permitted by the context in which used, (1) words in the
singular member shall include the plural, words in the masculine gender shall include the
feminine and neuter, and vice versa; and (2) (unless specified otherwise) references to
Articles are to Articles of Section 00700, General Conditions to the Construction
Contract.
14.2.2 This Agreement is subject to the laws of the State of Arizona.
ARTICLE 15 TERMINATION OR SUSPENSION OF THE CONTRACT
15.1 TERMINATION BY THE OWNER FOR CAUSE
15.1.1 Criteria for Termination for Cause. The Owner may terminate the Contract for cause if
the Contractor materially breaches the Contract including but not limited to the Contractor's::
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15.1.1.1 Repeatedly refusing or fails to supply enough properly skilled Workers or
proper materials;
15.1.1.2 Repeatedly disregarding laws, ordinances, or rules, regulations or orders of a
public authority having jurisdiction;
15.1.1.3 Material breaches of any provision of the Contract;
15.1.1.4 Failure to furnish the Owner with assurances satisfactory to the Owner
evidencing the Contractor's ability to complete the Work in compliance with
all the requirements of the Contract; or
15.1.1.5 Failure after commencement of the Work to proceed diligently and
continuously with the construction and completion of the Work for more than
seven (7) days, except as permitted under the Contract.
15.1.1.6 Repeatedly refusing or failing to carry out the Safety provisions as required by
Contract.
15.1.1.7 Failure to make payment to Subcontractors, vendors or materialmen for
materials or labor in accordance with the respective agreements between the
Contractor and such entities.
15.1.2 Effect of Termination for Cause. When any of the above conditions exist, the Owner
may without prejudice to any other rights or remedies of the Owner and after giving the
Contractor and the Contractor's Surety, if any, three (3) days written notice, terminate
the Contract and may, subject to any prior rights of the Surety:
15.1.2.1 Take possession of the Site and all materials, equipment, tools, and
construction equipment machinery thereon owned by the Contractor;
15.1.2.2 Accept assignment of subcontracts pursuant to Article 5.4; and
15.1.2.3 Finish the Work by whatever reasonable method the Owner may deem
expedient.
15.1.3 Contractor Right to Receive Payment. When the Owner terminates the Contract for one
of the reasons stated in Article 15.1.1, the Contractor shall not be entitled to receive lost
profits for work not performed nor shall the Contractor receive further payment until the
Work is finished.
15.1.4 Costs for Finishing Work. If the unpaid balance of the Contract Sum exceeds costs of
finishing the Work, including compensation for the Owner's and Design Professional's
services and expenses made necessary thereby, such excess shall be paid to the
Contractor. If such costs exceed the unpaid balance, the Contractor shall pay the
difference to the Owner. The amount to be paid to the Contractor or Owner, as the case
may be, shall, upon application, be certified by the Design Professional after consultation
with the Owner, and this obligation for payment shall survive termination of the Contract.
15.2 SUSPENSION BY THE OWNER FOR CONVENIENCE
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15.2.1 Owner's Right. The Owner may, without cause, order the Contractor in writing to
suspend, delay or interrupt the Work in whole or in part for such period of time as the
Owner may determine. The Contractor shall not be entitled to receive lost profits for
work not performed.
15.2.2 Adjustment in Contract Sum. An adjustment shall be made by formal change order for
increases or decreases in the cost of performance of the Contract, caused by suspension,
delay or interruption. No adjustment shall be made to the extent:
15.2.2.1 That performance is, was or would have been so suspended, delayed or
interrupted by another cause for which the Contractor is responsible; or
15.2.2.2 That an equitable adjustment is made or denied under another provision of this
Contract.
15.3 OWNER'S TERMINATION FOR CONVENIENCE
15.3.1 Effect of Termination for Convenience. The Owner reserves the right to terminate the
Contract for convenience and without cause even if the Contractor has not failed to
perform any part of the Contract. The Contractor shall not be entitled to receive lost
profits for work not performed. Termination of the Work hereunder shall be effected by
written notice to the Contractor. Upon receipt of such notice, the Contractor shall, unless
the notice otherwise directs:
15.3.1.1 Immediately discontinue the Work and the placing of all orders and
subcontracts in connection with this Contract;
15.3.1.2 Immediately cancel all of the existing orders and subcontracts made hereunder;
15.3.1.3 Immediately transfer to the Owner (if the Owner requests) all materials,
supplies, Work in progress, appliances, facilities, machinery and tools acquired
by the Contractor in connection with the performance of the Contract, and take
such action as may be necessary or as the Owner may direct for protection and
preservation of the Work relating to this Contract; and
15.3.1.4 Deliver all plans, Drawings, Specifications and other necessary information to
the Owner.
15.3.2 Contractor's Exclusive Remedy. If the Owner terminates the Contract for convenience,
the following shall be the Contractor's exclusive remedy:
15.3.2.1 Reimbursement of all actual expenditures and costs approved by the Owner as
having been made or incurred in performing the Work;
15.3.2.2 Reimbursement of expenditures made and costs incurred with the Owner's
prior written approval in settling or discharging outstanding commitments
entered into by the Contractor in performing the Contract; and
15.3.2.3 In no event shall the Contractor be entitled to anticipated fees or profits on
Work not performed.
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15.3.3 Warranties, Guarantees and Indemnitees to Remain in Effect. All obligations of the
Contractor under the Contract with respect to completion of the Work, including but not
limited to all warranties, guarantees and indemnities, shall apply to all Work completed
or substantially completed by the Contractor. Any termination by the Owner or payments
to the Contractor shall be without prejudice to any claims or legal remedies that the
Owner may have against the Contractor for any cause.
15.3.4 Conversion of Termination for Cause to Termination for Convenience. Upon a
determination that a termination of this Contract other than a termination for convenience
under this Article was wrongful or improper for any reason, such termination shall
automatically be deemed converted to a convenience termination under this Article 15,
and the Contractor's remedy for such wrongful termination shall be limited to the
recoveries specified under Article 15.3.2.
15.3.5 Remedy Limited to Damages. In the event that the Contractor is terminated, whether for
cause or convenience, the Contractor's sole remedy shall be for damages. In no event
shall the Contractor be entitled to reinstatement or other equitable relief from a court or
through alternative dispute resolution as provided in an Exhibit attached hereto.
15.3.6 Notice that Contract is Subject to Termination Provisions of A.R.S. § 38-511. The
parties acknowledge, and as required by law, notice is hereby given that this Contract is
subject to A.R.S. § 38-511.
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EXHIBIT A
ALTERNATIVE DISPUTE RESOLUTION
1.1 Scope. Notwithstanding anything to the contrary provided elsewhere in the Contract, the
alternative dispute resolution ("ADR") process provided for herein shall be the exclusive means
for resolution of claims or disputes arising under, relating to or touching upon the Contract, the
interpretation thereof or the performance or breach by any party thereto, including but not limited
to original claims or disputes asserted as cross claims, counterclaims, third party claims or claims
for indemnity or subrogation, in any threatened or ongoing litigation or arbitration with third
parties, if such disputes involve parties to contracts containing this ADR provision.
1.2 Neutral Evaluator, Arbitrators. The County will select a Neutral Evaluator to serve as set forth
in this ADR process. As needed under § 1.6.2 below, the County and Contractor shall each select
an arbitrator to serve as set forth in this ADR process. Each arbitrator selected shall be a member
of the State Bar of the State of Arizona and shall have experience in the field of construction law.
All arbitrators, once selected, shall serve as neutral arbitrators, even if they are party-appointed.
The County and the Contractor shall name their respective arbitrators within five (5) calendar
days after the declaration of a failure of mediation or the mutual waiver of mediation.
1.3 Discussion and Partnering. When a claim is made or a dispute arises relating to the Contract,
senior representatives of the County and the claimant will meet personally within ten (10) days to
discuss the claim/dispute and attempt to resolve it. If, after good faith efforts, resolution is not
achieved, the claim/dispute (hereafter "dispute") will proceed to the neutral evaluation process.
1.4 Neutral Evaluation Process. If the parties have been unable to resolve the dispute after
discussions and partnering, the following neutral evaluation process shall be used to resolve any
such dispute.
1.4.1 Notification of Dispute. The County through its Agent shall promptly notify the Neutral
Evaluator in writing of the existence of a dispute within ten days of the County or the
Contractor declaring need to commence the neutral evaluation process.
1.4.2 Non-Binding Informal Hearing. The Neutral Evaluator shall schedule a non-binding
informal hearing of the matter to be held within ten (10) calendar days from receipt of
notification of the existence of a dispute. The Neutral Evaluator may conduct the hearing
in such manner as he deems appropriate and shall notify each party of the hearing of its
opportunity to present such evidence as they believe will resolve the dispute. The Neutral
Evaluator shall notify each party to the dispute that they shall submit a written outline of
the issues and evidence intended to be introduced at the hearing and their proposed
resolution of the dispute to the Neutral Evaluator before the hearing commences.
Potential Arbitrators shall not participate in such informal hearing or proceedings
process. The Neutral Evaluator is not bound by the rules of evidence when admitting
evidence in the hearing and may limit the length of the hearing, the number of witnesses
or any evidence introduced to the extent deemed relevant and efficient.
1.4.3 Non-Binding Decision. The Neutral Evaluator shall render a non-binding written
decision as soon as possible, but not later than five (5) calendar days after the hearing
concludes.
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1.4.4 Further proceedings. In the event that either party declines to accept the Neutral
Evaluator's decision as the resolution of the dispute, the dispute will proceed to
mediation.
1.5 Mediation. In the event that a meeting of principals and neutral evaluation have failed, the
parties shall engage in mediation (as a condition precedent to arbitration) within fifteen (15) days
of a party's notifying the Neutral Evaluator that the party declines to accept the Neutral
Evaluator's decision as the resolution of the dispute. The mediator shall be chosen by the parties'
agreement. If such agreement is not reached by five (5) days after the neutral evaluator's receipt
of a party's notification, then the mediator shall be named by the Neutral Evaluator. In the event
that mediation fails (or is waived by both parties) then the matter shall proceed to binding
arbitration.
1.6 Binding Arbitration Procedure. The following binding arbitration procedure shall serve as the
exclusive method to resolve a dispute if any party chooses not to accept the decision of the
Neutral Evaluator and mediation has failed or has been waived. A party requesting binding
arbitration shall notify the Neutral Evaluator in writing within seven (7) calendar days of the
failure or waiver of mediation of the party's demand for arbitration. If the Contractor requests
arbitration it shall post a cash bond with the Neutral Evaluator in an amount agreed upon by the
parties or, in the event of no agreement, the Neutral Evaluator shall establish the amount of the
cash bond to defray the cost of the arbitration as set forth in paragraph 1.6.11 and the proceeds
from the bond shall be allocated in accordance with paragraph 1.6.13 by the Arbitration Panel.
The bond must be in the full amount agreed upon or as established by the Neutral Evaluator to
pay the potential cost of the full arbitration proceeding. The bond must be posted with and
received by the Neutral Evaluator within five (5) calendar days after the demand for arbitration.
1.6.1 Arbitration Panel and Applicable Law and Rules. Disputes involving less than
$200,000 shall be heard by one single arbitrator chosen by agreement of the parties. For
disputes in excess of $200,000, the Arbitration Panel shall consist of three arbitrators: the
County's appointed arbitrator, the Contractor's appointed arbitrator and a third arbitrator
(or "neutral arbitrator") who shall be selected by the parties' arbitrators as set forth in
Section 1.5.2. The arbitration is to be convened and administered under the Revised
Uniform Arbitration Act ("RUAA") (A.R.S. § 12-3001 et seq.) and the American
Arbitration Association Construction Rules shall serve as a guideline for proceedings,
thus as a supplement to the RUAA.
1.6.2 Selection of Neutral Arbitrator. For disputes in excess of $200,000, the parties'
arbitrators shall choose the Neutral Arbitrator, within ten (10) calendar days of
notification of a demand for arbitration having been received by the Neutral Evaluator.
The Neutral Arbitrator shall have the same qualifications as those of the arbitrators set
forth in paragraph 1.2 above. In the event that the two party selected arbitrators cannot
agree on a Neutral Arbitrator as set forth above, the Neutral Arbitrator shall be selected as
the Default Neutral Arbitrator. If the County and Contractor cannot agree on the single
arbitrator or upon a Default Neutral Arbitrator, then County and the Contractor shall each
submit two names to Judge Eino Jacobson, or his successor as designated by Maricopa
County, who shall select one person. The Neutral Arbitrator may submit his invoices for
services to the Owner, and the Owner shall pay the amounts invoiced (subject to the
provisions of paragraph 1.4.13) unless and until the Contractor is determined by the
Arbitration Panel to be the non-prevailing party and the Arbitration Panel determines per
1.6.11 what party pays such costs.
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1.6.3 Expedited Hearing. The parties have structured this procedure with the goal of
providing for the prompt, efficient and final resolution of all disputes falling within the
purview of this ADR process. To that end, any party can petition the Neutral Evaluator to
set an expedited hearing. If the Neutral Evaluator determines that the circumstances
justify it, the Neutral Evaluator shall contact the selected single arbitrator or Arbitration
Panel and arrange for scheduling of the arbitration at the earliest possible date. In any
event, the hearing of any dispute not expedited will commence as soon as practical but in
no event later than twenty (20) calendar days after notification of request for arbitration
having been received. This deadline can be extended only with the consent of all the
parties to the dispute, or by decision of the single arbitrator or the Arbitration Panel upon
a showing of emergency circumstances.
1.6.4 Procedure. The single arbitrator or the Arbitration Panel will conduct the hearing in
such a manner that will resolve disputes in a prompt, cost efficient manner giving regard
to the rights of all parties. Each party shall supply to the single arbitrator or Arbitration
Panel a written pre-hearing statement which shall contain a brief statement of the nature
of the claim or defense, a list of witnesses and exhibits, a brief description of the subject
matter of the testimony of each witness who will be called to testify, and an estimate as to
the length of time that will be required for the arbitration hearing. The single arbitrator or
the Arbitration Panel shall review and consider the Neutral Evaluator decision. The single
arbitrator or the Chairman shall determine the nature and scope of discovery, if any, and
the manner of presentation of relevant evidence consistent with deadlines provided
herein, and the parties' objective that disputes be resolved in a prompt and efficient
manner. No discovery may be had of any materials or information for which a privilege is
recognized by Arizona law. The single arbitrator or the Chairman upon proper
application shall issue such orders as may be necessary and permissible under law to
protect confidential, proprietary or sensitive materials or information from public
disclosure or other misuse. Any party may make application to the Maricopa County
Superior Court to have a protective order entered as may be appropriate to confirm or
enforce such orders of the Chairman.
1.6.5 Hearing Days. In order to effectuate parties' goals, the hearing once commenced, will
proceed from working day to working day until concluded, absent a showing of
emergency circumstances.
1.6.6 Award. The single arbitrator shall within ten (10) calendar days of the conclusion of a
hearing issue a reasoned award. The Arbitration Panel shall, within ten (10) calendar
days from the conclusion of any hearing, by majority vote issue its reasoned award. The
award shall include an allocation of fees and costs pursuant to 1.6.11 herein. The award is
to be in accordance with the Contract and the law of the State of Arizona.
1.6.7 Scope of Award. Regardless of the provisions of the RUAA, the Arbitration Panel shall
be without authority to award punitive damages, and any such punitive damage award
shall be void. If an award is made against any party in excess of one hundred thousand
dollars ($100,000), exclusive of interest, arbitration fees, costs and attorneys' fees, it shall
be supported by written findings of fact, conclusions of law and a statement as to how
damages were calculated.
1.6.8 Jurisdiction. The Arbitration Panel shall not be bound for jurisdictional purposes by the
amount asserted in any party's claim, but shall conduct a preliminary hearing into the
question of jurisdiction over the claim as regards its amount upon application of any party
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at the earliest convenient time, but not later than the commencement of the arbitration
hearing. If the dispute is in reality one involving less than $200,000, the arbitration shall
continue before the Neutral Arbitrator as a single arbitrator, with the party appointed
arbitrators being excused.
1.6.9 Entry of Judgment. As provided in the RUAA, any party can make application to the
Maricopa County Superior Court for confirmation of an award, and for entry of judgment
on it.
1.6.10 Severance and Joinder. To reduce the possibility of inconsistent adjudications, the
Neutral Evaluator or the single arbitrator or Arbitration Panel, may: (i) at the request of
any party, join and/or sever parties, and/or claims arising under other contracts containing
this ADR provision, and (ii) the Neutral Evaluator, on his own authority, or the single
arbitrator or Arbitration Panel may, on its own authority, join or sever parties and/or
claims subject to this ADR process as deemed necessary for a just resolution of the
dispute, consistent with the parties' goal of the prompt and efficient resolution of
disputes, provided, however, that the A/E, Owner and Project Professionals shall not be
joined as a party to any claim made by a Contractor. Nothing herein shall create the right
by any party to assert claims against another party not germane to the Contract or not
recognized under the substantive law as applicable to the dispute. Neither the Neutral
Evaluator nor the single arbitrator or Arbitration Panel is authorized to join to the
proceeding parties not in privity with the County. Contractor cannot be joined to any
pending arbitration proceeding, without Contractor's express written consent and unless
Job Order Contractor is given the opportunity to participate in the selection of the single
arbitrator or non-County appointed arbitrator.
1.6.11 Fees and Costs. Each party shall bear its own fees and costs in connection with any
informal hearing before the Neutral Evaluator and the mediation. All fees and costs
associated with any arbitration before the single panel or Arbitration Panel, including
without limitation the Arbitrator fees, and the prevailing party's reasonable attorneys'
fees, expert witness fees and costs, will be paid by the non-prevailing party, except as
provided for herein. In the event that Contractor is the non-prevailing party, all fees and
costs as noted above shall first be paid out of the bond posted with the Neutral Evaluator.
In no event shall the Contractor's obligation to pay fees and costs be limited to the
amount of the bond posted herein. In no event shall any Arbitrator's hourly fees be
awarded in an amount in excess of $250 per hour and (i) costs shall not include any travel
expenses in excess of mileage at the rate paid by Maricopa County, not to exceed a one
way trip of 150 miles, and (ii) all travel expenses, including meals, shall be reimbursed
pursuant to the travel policy of Maricopa County in effect at the time of the hearing. The
determination of prevailing and non-prevailing parties, and the appropriate allocation of
fees and costs, will be included in the award by the single arbitrator or Arbitration Panel.
Fees for the Neutral Evaluator shall be paid by County.
1.6.12 Confidentiality. Any proceeding initiated under this ADR provision shall be deemed
confidential to the maximum extent allowed by Arizona law and, except for disclosures
to a party's attorneys or accountants, no party shall make any disclosure related to the
disputed matter or to the outcome of any proceeding except to the extent required by law,
or to seek interim equitable relief, or to enforce an agreement reached by the parties or an
award made hereunder. This provision does not affect the County's right to inform the
County Supervisors of the resolution of the dispute.
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1.6.13 Equitable Litigation. Notwithstanding any other provision of ADR to the contrary, any
party can petition the Maricopa County Superior Court for interim equitable relief as may
become necessary to preserve the status quo and prevent immediate and irreparable harm
to a party or to the Project pending resolution of a dispute pursuant to ADR provided
herein. No court may order any permanent injunctive relief except as may be necessary to
enforce an order entered by the Arbitration Panel. The fees and costs incurred in
connection with any such equitable proceeding shall be determined and assessed in ADR.
1.6.14 Change Order. Any award in favor of the Contractor against the County or in favor of
the County against the Contractor shall be reduced to a Change Order and executed by
the parties in accordance with the award and the provisions of the Contract.
1.6.15 Merger and Bar. Any claim asserted pursuant to this ADR process shall be deemed to
include all claims, demands, and requests for compensation for costs and losses or other
relief, including the extension of the Contract performance period which reasonably
should or could have been brought against any party that was or could have been brought
into this ADR process, with respect to the subject claim. The Arbitration Panel shall
apply legal principles commonly known as merger and bar to deny any claim or claims
against any party regarding which claim or claims recovery has been sought or should
have been sought in a previously adjudicated claim for an alleged cost, loss, breach, error,
or omission.
1.7 Inclusion in Other Contracts. The Contractor shall cooperate with the County in efforts to
include this ADR provision in all other project contracts. Subject to Contractor's reasonable
agreement, the Contractor agrees that any modification to this ADR provision that is included in
the construction or other contracts shall also apply to the Contractor. It is the intent of the parties
that any changes to this ADR provision in later contracts will be evolutionary and designed to
incorporate the terms of this ADR provision without material changes to the substance or
procedure of this ADR provision.
END OF EXHIBIT
EXHIBIT-A Rev. 7/17/2014