12104-CONTRACT REVISED INDEM AND ALTERNATIVE DISPUTE.PDF
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CONSTRUCTION MANAGEMENT AT RISK MARICOPA COUNTY, ARIZONA OET Zone 2 Refresh CMAR FOR PROFESSIONAL SERVICES PHASE I PRE-CONSTRUCTION SERVICES Office of Procurement Services Serial # 12104-CMR Contract # 12104-CMR C- Project # FM121295 OET Zone 2 Refresh CMAR Serial # 12104-CMR Contract between Maricopa County and ForeSite Design & Construction Inc. pg # 1 CONSTRUCTION MANAGEMENT AT RISK PROFESSIONAL SERVICES AGREEMENT PHASE I PRE-CONSTRUCTION SERVICES _________________________________________________________________ BETWEEN COUNTYCOUNTYMARICOPA COUNTY, ARIZONA, AND CONTRACTOR FOR PROFESSIONAL SERVICES FOR THE OET Zone 2 Refresh CMAR AT Maricopa County Durango Campus, Phoenix, Arizona Whereas, Maricopa County, Arizona desires to construct OET Zone 2 Refresh CMAR at Maricopa County Durango Campus, Phoenix, Arizona, and Whereas, it is the best interests of the COUNTY to obtain professional construction management services in order to insure quality timely and valued construction from a pre- approved professional Construction Manager at Risk (CMR), and Whereas, the COUNTY has competitively selected the Construction Manager at Risk in accordance in following the procedures in Section 34-603, Arizona Revised Statutes and the Maricopa County Procurement Code from several firms, and Whereas the selected firm will provide professional construction management services for the OET Zone 2 Refresh CMAR project as directed by the Director of the Facilities Management Department. This agreement made this _______ day of ______________,2013. By and between Maricopa County (hereinafter called the “Owner”) and ForeSite Design & Construction Inc. (hereinafter called the “Contractor”) as a Construction Management at Risk Firm Phase I Pre-Construction Services Witnesseth, that the Owner and the Contractor for the considerations herein set forth, agree as follows: OET Zone 2 Refresh CMAR Serial # 12104-CMR Contract between Maricopa County and ForeSite Design & Construction Inc. pg # 2 Pre-Construction Agreement Construction Management Services Facilities Management Department Maricopa County Arizona TABLE OF CONTENTS Article: 1. Scope of Work 2. Definitions 3. Term and Time of Performance 4. Compensation 5. Changes in Scope of Service 6. Indemnification 7. Insurance 8. Termination or Suspension of Contract 9. Miscellaneous Exhibits OET Zone 2 Refresh CMAR Serial # 12104-CMR Contract between Maricopa County and ForeSite Design & Construction Inc. pg # 3 ARTICLE 1 - SCOPE OF WORK The Contractor shall furnish professional Construction Management (CM) Services for the project described in Exhibit A attached hereto, upon issuance of Contractor’s Notice to Proceed by the Owner or Owner’s Designee. The Contractor shall furnish the following Services as specifically authorized by CM Contractor’s Notice to Proceed issued by the Owner or Owner’s Designee. 1.1 CONTRACTOR hereby agrees to furnish all of the labor, materials, equipment services and incidentals necessary to perform all of the work described in the Contract Documents Including Drawings, Specifications and Addenda for the Project known as the OET Zone 2 Refresh CMAR, prepared by Pearson Engineering Associates, Inc.. ARTICLE 2 - DEFINITIONS 2.01 BOARD OF SUPERVISORS: The Maricopa County Board of Supervisors, it’s successors and assigns. 2.02 COUNTY OR OWNER: Maricopa County, Arizona, a political subdivision of the State of Arizona, which is the party hereto for which this Contract is to be performed. In all respects hereunder, COUNTY performance is pursuant to the COUNTY’s position as the Owner of a construction project. In the event COUNTY exercises its regulatory authority as a governmental body, the exercises of such authority and the enforcement of any rules, regulations, laws and ordinances shall be deemed to have occurred pursuant to the COUNTY’s authority as a governmental body and shall not be attributable in any manner to COUNTY as a party to this contract. 2.03 CHANGE ORDER: A written document ordering a change in the Contract Price or Contract Time or a material change in the Work as determined by the PROJECT MANAGER. 2.04 CONSULTANT: The individual, partnership, corporation, association, joint venture, or any combination thereof, of properly registered professional architects and/or engineers, which has entered into an agreement to provide professional services to the Owner. 2.05 CONTINGENCY: An established sum included in the Guaranteed Maximum Price (GMP) for the purpose of defraying actual expenses that may arise due to unforeseen circumstances of the Project for which the contingency is established. 2.06 CONTRACT DOCUMENTS: The Project Manual (including this Agreement and its Exhibits, attachments and Forms), drawings and specifications, the Request For Qualifications and CONTRACTOR’s response thereto (as negotiated and accepted by the COUNTY), any Addenda to the Project Manual, the record of the contract award by the Maricopa County Board of Supervisors, the Contract, the Performance Bond and Payment Bond, the Notice of Award, the Notice(s) to Proceed, the Purchase Order and all agreed upon modifications issued after execution of the Contract are the documents which are collectively referred to as the Contractor Documents. OET Zone 2 Refresh CMAR Serial # 12104-CMR Contract between Maricopa County and ForeSite Design & Construction Inc. pg # 4 2.07 CONTRACT PRICE: The amount established in the Contract as the Guaranteed Maximum Price (GMP), as may be amended by Change Order. 2.08 CONTRACT: This Construction Agreement. 2.09 DESIGNEE: the person or entity named, nominated or selected for the purpose identified in that section of this Contract. 2.10 CONTRACTOR: An individual, partnership, corporation, association, joint venture, or any combination thereof, which has entered into the contract with the Owner for construction of the Owner’s facilities and incidents thereto. The contractor for this project is ForeSite Design & Construction Inc.. 2.11 DIRECTOR OF FACILITIES MANAGEMENT: The Director of this Department, of Maricopa County, Arizona, having the authority and responsibility for management of the specific projects authorized under this Agreement. 2.12 FIELD ORDER: A written order which directs minor changes in the work, but which does not involve a change in the Contract Price or Contract Time. 2.13 FINAL COMPLETION: The date certified by the CONSULTANT and PROJECT MANAGER in the Final Certificate of Payment in which all conditions and requirements of any permits and regulatory agencies have been satisfied; and the documents (if any) required to be provided by CONTRACTOR have been received by the PROJECT MANAGER; and to the best of Consultant’s and PROJECT MANAGER’s information and belief has been fully completed in accordance with the terms and conditions of the Contract Documents. 2.14 GENERAL CONDITION ITEMS: The provision of facilities or performance of work by the CONTRACTOR for items, which do not lend themselves readily to inclusion in one of the separate trade contracts. Payment for the General Condition items will be at cost and included as part of the Guaranteed Maximum Price. 2.15 GUARANTEED MAXIMUM PRICE CONSTRUCTION CONTRACT: The method of construction contracting whereby the CONTRACTOR provides design phase consulting services (pre-construction services) and management responsibility for the project (general conditions). The fee is a dollar amount negotiated for profit, overhead and off- site general and administrative costs. All subcontracts are generally awarded by the CONTRACTOR based on competitive bids received in response to invitations to bid issued by the CONTRACTOR. The total price paid to the CONTRACTOR is either the fee plus the costs or the Guaranteed Maximum Price (GMP), whichever is less. This contract utilizes the Guaranteed Maximum Price as the method of compensation. 2.16 INSPECTOR: An employee of Maricopa County, Arizona, assigned by the Director of the Facilities Management Department to make observations of work performed by a Contractor. 2.17 LUMP SUM COMPENSATION: The amount established in the Pre-Construction Services contract as the amount to be paid to the contract for the services outlined in the contract, as may be amended by Change Order. OET Zone 2 Refresh CMAR Serial # 12104-CMR Contract between Maricopa County and ForeSite Design & Construction Inc. pg # 5 2.18 MATERIALS: Materials incorporated in this Project, or used or consumed in the performance of the Work. 2.19 NOTICE TO PROCEED: One or more written notices to CONTRACTOR authorizing the commencement of Work. 2.20 PLANS AND/OR DRAWINGS: The official graphic representations of this construction project which are a part of the Contract Documents. 2.21 PRICING DOCUMENTS: The set of documents upon which the GMP contract is negotiated is comprised of the following: (i) the Owner approved Contract Documents, (ii) the Estimated CONTRACTOR’s Direct Construction Cost (including unit prices, quantities and explanatory notes), (iii) the CONTRACTOR’s General Condition Items, (iv) schedules developed by the CONTRACTOR and approved by the PROJECT MANAGER, and any other documents or exhibits utilized to derive the GMP. 2.22 PROJECT: The construction, alteration or repair, and all service and incidents thereto, of the Maricopa County, Arizona facility, as contemplated and budgeted by the Owner, including the work described in Exhibit A herein. 2.23 PROJECT MANAGER: The ranking managerial employee of the agency of COUNTY government which requested the Project, or that person’s designee, expressly designated as PROJECT MANAGER, in writing by the DIRECTOR; who is the representative of the Owner, concerning the Contract Documents. 2.24 PROJECT MANUAL: The official documents setting forth information and requirements; contract forms, bonds, and certificates; general and supplementary conditions of the Contract Documents; the specifications; and the plans and drawings of the Project. 2.25 RESIDENT PROJECT REPRESENTATIVE: An authorized representative of CONSULTANT on the Project. 2.26 SMALL BUSINESS ENTERPRISE (SBE): has the meanings set forth in Article 13.8 of the General Conditions to the Construction Contract and Section 00810, Maricopa County Small Business Enterprise Program Construction Contracting Requirements and as set forth in A.R.S. § 41-1001. 2.27 SUBCONTRACTOR: A person, firm or corporation having direct contact with CONTRACTOR including one who furnishes material worked to a special design according to the Project Manual for this work, but does not include who merely furnishes material not so worked. 2.28 SUBSTANTIAL COMPLETION: That date on which, as certified in writing by CONSULTANT, the Work, or a portion thereof designated by the PROJECT MANAGER in its sole discretion, is at a level of completion in substantial compliance with the Contract Documents such that all conditions of permits and regulatory agencies have been satisfied and the Owner or its designee can enjoy beneficial use or occupancy and can use or operate it in all respects for its intended purpose. A Certificate of Final Inspection must be issued for Substantial Completion to be achieved, however, the issuance of a Certificate of Occupancy or the date thereof are not to be determinative of the achievement or date of Substantial Completion. OET Zone 2 Refresh CMAR Serial # 12104-CMR Contract between Maricopa County and ForeSite Design & Construction Inc. pg # 6 2.29 SURETY: The surety company or individual which is bound by the performance bond and payment bond with and for CONTRACTOR who is primarily liable, and which surety company or individual is responsible for CONTRACTOR’s acceptable and timely performance of the work under the contract and for the payment of all debts pertaining thereto in accordance with Section 255.05, [State] Statutes, as amended from time to time. 2.30 VALUE ENGINEERING: An organized approach to providing the necessary function or product which provides equal or better performance at a lower cost. 2.31 WORK: The totality of the obligations, including construction and other services required by the Contract Documents, whether completed or partially completed, including all labor, materials, equipment and service provided or to be provided by CONTRACTOR to fulfill the CONTRACTOR’s obligations. The work may constitute the whole or a part of the project. 2.32 WRITTEN NOTICE: Shall be deemed to have been duly served if delivered in person to the individual or to a member of the firm or to an officer of the corporation for whom it is intended, if delivered at or sent by registered mail or other traceable delivery service to the last known business address. Electronic, facsimile (FAX) or other telephonic transmission shall not be considered as written notice. ARTICLE 3 - TERM AND TIME OF PERFORMANCE 3.1 The term of this Agreement shall begin on the date it is fully executed by both parties and shall end on the date of commencement of the term of the agreement between the COUNTY and the CONTRACTOR for construction services for the OET Zone 2 Refresh CMAR or, no later than, 120 Calendar Days beginning with the date specified in the Notice To Proceed, unless terminated in accordance with Article 8. The Owner shall have the authority to extend the term of this Agreement for such period of time as deemed necessary for the Project. Any such extension shall be accomplished by an amendment to this Agreement in accordance with the “AMENDMENTS” provisions stated in Article 9 herein. 3.2 All duties, obligations, and responsibilities of CONTRACTOR required by this Agreement shall be completed no later than 120 Calendar Days beginning with the date specified in the Notice To Proceed. Time shall be deemed to be of the essence in performing the duties, obligations and responsibilities required by this Agreement. 3.3 At or before the above referenced completion date for this contract the CONTRACTOR, following completion of cost estimating, value engineering and other services set forth in Article 4 will tender to the COUNTY a written Guaranteed Maximum Price (GMP) for final completion of this project. The COUNTY, by and through the Director, the PROJECT MANAGER and/or other COUNTY personnel, will have the opportunity to negotiate the amount of the GMP with the CONTRACTOR. In the event a GMP which is satisfactory to COUNTY personnel in their reasonable discretion is not agreed upon in writing within 30 days of the tender of GMP, the COUNTY reserves the right to terminate this Contract for convenience and the CONTRACTOR will immediately tender all documents, in accordance with the applicable provisions of this agreement. The CONTRACTOR shall have no recourse from this termination and the COUNTY shall take such documents, as OET Zone 2 Refresh CMAR Serial # 12104-CMR Contract between Maricopa County and ForeSite Design & Construction Inc. pg # 7 defined, in 9.1 herein, and commence negotiations with the second and third ranked firm, respectively. Conditions precedent to a Phase II contract for this project are the satisfactory final completion of Phase I and an agreed upon GMP. If a GMP is agreed to with the CONTRACTOR, a separate agreement will be entered into between the parties. ARTICLE 4 - COMPENSATION 4.1 Owner agrees to pay CONTRACTOR, in the manner specified in Section 4.2, the total Lump Sum Compensation in the amount of One-hundred One Thousand, Seven- hundred Twenty Dollars ($101,720,00.) for work actually performed and completed pursuant to this Agreement, which amount shall be accepted by CONTRACTOR as full compensation for all such work. It is acknowledged and agreed by CONTRACTOR that this amount is the maximum payable and constitutes a limitation upon Owner’s obligation to compensate CONTRACTOR for its services related to the Scope of Services set forth in Exhibit A attached hereto and in this Agreement. This maximum amount, however, does not constitute a limitation, of any sort, upon CONTRACTOR’s obligation to perform all items of work required by or which can be reasonably inferred from the Scope of Services. No amount shall be paid to CONTRACTOR to reimburse its expenses. The Lump Sum Compensation for Phase I Pre-Construction Services in the amount of One-hundred One Thousand, Seven-hundred Twenty Dollars ($101,720,00.) shall be paid out in accordance with the percentage amount set forth therein as follows: Project Phases Fee % Scheduling 10% Constructability Review 20% Cost Estimating 20% Value Engineering 10% Guaranteed Maximum Price (GMP) 20% Prequalification of Subcontractors 20% 4.1.1 It is understood that the method of compensation is that of Lump Sum which means that CONTRACTOR shall perform all services set forth in Exhibit A, and in this Agreement, for the total compensation in the Lump Sum amount, including all reimbursable expenses. 4.2 METHOD OF BILLING AND PAYMENT 4.2.1. CONTRACTOR may submit invoices for compensation no more often than on a monthly basis, but only after the services for which the invoices are submitted have been completed. Such invoices shall include the phase of the services for which invoice is submitted along with a detail of the task or services performed for that phase. An original invoice plus one copy are due within fifteen (15) days OET Zone 2 Refresh CMAR Serial # 12104-CMR Contract between Maricopa County and ForeSite Design & Construction Inc. pg # 8 of the end of the month, except the final invoice which must be received no later than thirty (30) days after this Agreement expires. Invoices shall designate the nature of the services performed and/or the expenses incurred. 4.2.2. COUNTY shall pay CONTRACTOR within thirty (30) calendar days of receipt of CONTRACTOR’s proper statement. To be deemed proper, all invoices must comply with the requirements set forth in this Agreement and must be submitted on the form and pursuant to instructions prescribed by PROJECT MANAGER. Payment may be withheld for failure of CONTRACTOR to comply with a term, condition, or requirement of this Agreement. 4.3 Notwithstanding any provision of this Agreement to the contrary, COUNTY may withhold, in whole or in part, payment to the extent necessary to protect itself from loss on account of inadequate or defective work which has not been remedied, or resolved in a manner satisfactory to the PROJECT MANAGER, and/or due to CONTRACTOR’s failure to comply with Section 9.1 herein. The amount withheld shall not be subject to payment of interest by COUNTY. 4.4 Payment shall be made to CONTRACTOR at the address registered for CONTRACTOR with Maricopa County’s Materials Management/Finance Departments at their on-line registration: www.maricopa.gov/materials. ARTICLE 5 - CHANGES IN SCOPE OF SERVICES 5.1 Any change to the Scope of Services must be accomplished by a written amendment, executed by the parties in accordance with Article 9 herein. ARTICLE 6 - INDEMNIFICATION 6.1 CMR’s Duty to Indemnify and Defend. To the fullest extent permitted by law, the CMR 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 CMR, its agents, representatives, employees, or subcontractors relating to the performance of this Contract. CMR’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 CMR may be legally liable. The amount and type of insurance coverage requirements set forth herein will in no way be construed as limiting the scope of the indemnity in this paragraph. OET Zone 2 Refresh CMAR Serial # 12104-CMR Contract between Maricopa County and ForeSite Design & Construction Inc. pg # 9 ARTICLE 7 - INSURANCE 7.1 The CONTRACTOR, at the 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 A7. 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 COUNTY. The form of any insurance policies and forms must be acceptable to COUNTY. 7.1.1 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 COUNTY, constitute a material breach of this Contract. 7.1.2 CONTRACTOR’S insurance shall be primary insurance as respects COUNTY, and any insurance or self-insurance maintained by COUNTY shall not contribute to it. 7.1.3 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 COUNTY’S right to coverage afforded under the insurance policies. 7.1.4 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 COUNTY under such policies. CONTRACTOR shall be solely responsible for the deductible and/or self-insured retention and COUNTY, at its option, may require the CONTRACTOR to secure payment of such deductibles or self-insured retentions by a surety bond or an irrevocable and unconditional letter of credit. 7.1.5 COUNTY reserves the right to request and to receive, within ten (10) working days, certified copies of any or all of the herein required insurance policies and/or endorsements. COUNTY shall not be obligated, however, to review such policies and/or endorsements or to advise the CONTRACTOR of any deficiencies in such policies and endorsements, and such receipt shall not relieve the CONTRACTOR from, or be deemed a waiver of Maricopa COUNTY’S right to insist on strict fulfillment of the CONTRACTOR’S obligations under this Contract. 7.1.6 The insurance policies required by this Contract, except Workers’ Compensation, shall name COUNTY, its agents, representatives, officers, directors, officials, and employees as Additional Insured’s. 7.1.7 The policies required hereunder, except Workers’ Compensation, shall contain a waiver of transfer of rights of recovery (subrogation) against COUNTY, Maricopa County, City its agents, representatives, officers, directors, officials, and employees for any claims arising out of the CONTRACTOR’S work or service. 7.1.8 CONTRACTOR is required to procure and maintain the following coverages: OET Zone 2 Refresh CMAR Serial # 12104-CMR Contract between Maricopa County and ForeSite Design & Construction Inc. pg # 10 7.1.8.1 Commercial General Liability. Commercial General Liability insurance and, when necessary, Commercial Umbrella insurance with a limit of not less than $2,000,000 for each occurrence, $2,000,000 Personal/Advertising Injury, $4,000,000 Products/Completed Operations Aggregate, and $4,000,000 General Aggregate Limit. The policy shall include coverage for bodily injury, broad form property damage, and blanket contractual coverage, and shall not contain any provision that 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. 7.1.8.2 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. 7.1.8.3 Workers’ Compensation. Workers’ Compensation insurance to cover obligations imposed by federal and state statutes having jurisdiction of the 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. CONTRACTOR waives all rights against COUNTY and its agents, officers, directors and employees 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. 7.1.8.4 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 final payment has been made or until no person or entity other than COUNTY has an insurable interest in the property required to be covered, whichever is earlier. This insurance shall include interests of COUNTY, 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 COUNTY. 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. OET Zone 2 Refresh CMAR Serial # 12104-CMR Contract between Maricopa County and ForeSite Design & Construction Inc. pg # 11 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, demolition occasioned by enforcement of any applicable legal requirements, and shall cover reasonable compensation for architect’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 any insurance or self‐insurance maintained by the County is not contributory. (May not be applicable on all horizontal construction projects or may be required for complex projects. Use discretion.) If the Contract requires testing of equipment or other similar operations, at the option of COUNTY, CONTRACTOR will be responsible for providing property insurance for these exposures under a Boiler Machinery insurance policy or the Builders’ Risk Insurance policy. 7.1.8.5 COVERAGES Commercial General Liability $2,000,000 Each Occurrence $2,000,000 Personal & Advertising Injury $4,000,000 General Aggregate $4,000,000 Products/Completed Operations Automotive Liability $2,000,000 Each Occurrence Workers’ Compensation $1,000,000 Each Accident $1,000,000 Disease for Each Employee $1,000,000 Disease Policy Limit Builders’ Risk Replacement Cost 7.2 CERTIFICATES OF INSURANCE 7.2.1 Prior to commencing work or services under this Contract, the CONTRACTOR shall furnish County with Certificates of Insurance in a form acceptable to OET Zone 2 Refresh CMAR Serial # 12104-CMR Contract between Maricopa County and ForeSite Design & Construction Inc. pg # 12 COUNTY, or formal endorsements as required by the Contract in the form provided by the County, issued by the CONTRACTOR’S insurer(s), as evidence that policies providing the required coverage’s, conditions, and limits required by this Contract are in full force and effect. Such certificates shall identify this contract number and contract title. 7.2.2 In the event any insurance policy(ies) required by this contract is(are) written on a “claims made” basis, coverage shall extend for two (2) years past completion and acceptance of the CONTRACTOR’S work or services and as evidenced by annual Certificates of Insurance. 7.2.3 If a policy does expire during the life of the Contract, a renewal certificate must be sent to COUNTY fifteen (15) days prior to the expiration date. 7.3 CANCELLATION AND EXPIRATION NOTICE 7.3.1 Insurance required herein shall not expire, be canceled, or materially changed without thirty (30) days prior written notice to COUNTY. ARTICLE 8 - TERMINATION OR SUSPENSION OF THE CONTRACT 8.1. TERMINATION BY THE OWNER FOR CAUSE 8.1.1. Criteria for Termination for Cause. The Owner may terminate the Contract if the CMR : 8.1.1.1. Persistently or repeatedly refuses or fails to supply enough properly skilled Workers or proper materials; 8.1.1.2. Persistently disregards laws, ordinances, or rules, regulations or orders of a public authority having jurisdiction; 8.1.1.3. Material breaches of any provision of the Contract; 8.1.1.4. Fails to furnish the Owner with assurances satisfactory to the Owner evidencing the CMR’s ability to complete the Work in compliance with all the requirements of the Contract; or 8.1.1.5. Fails 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. 8.1.1.6. Persistently or repeatedly refuses or fails to carry out the Safety provisions as required by Contract. 8.1.1.7. Fails to make payment to Subcontractors for materials or labor in accordance with the respective agreements between the CMR and the Subcontractors; 8.1.2. Effect of Termination for Cause. When any of the above conditions exist, the Owner, after consultation with the Owner’s Agent, and upon certification by the OET Zone 2 Refresh CMAR Serial # 12104-CMR Contract between Maricopa County and ForeSite Design & Construction Inc. pg # 13 A/E that sufficient cause exists to justify such action, may without prejudice to any other rights or remedies of the Owner and after giving the CMR and the CMR’s Surety, if any, three (3) days' written notice, terminate the Contract and may, subject to any prior rights of the Surety: 8.1.2.1. Take possession of the Site and all materials, equipment, tools, and construction equipment machinery thereon owned by the CMR ; 8.1.2.2. Accept assignment of subcontracts pursuant to the terms of this contract and A.R.S.; and 8.1.2.3. Finish the Work by whatever reasonable method the Owner may deem expedient. 8.1.3. CMR Right to Receive Payment. When the Owner terminates the Contract for one of the reasons stated in Article 8.1.1, the CMR shall not be entitled to receive further payment until the Work is finished. 8.1.4. 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 A/E's services and expenses made necessary thereby, such excess shall be paid to the CMR. If such costs exceed the unpaid balance, the CMR shall pay the difference to the Owner. The amount to be paid to the CMR or Owner, as the case may be, shall, upon application, be certified by the A/E after consultation with the Owner, and this obligation for payment shall survive termination of the Contract. 8.2. SUSPENSION BY THE OWNER FOR CONVENIENCE 8.2.1. Owner's Right. The Owner may, without cause, order the CMR in writing to suspend, delay or interrupt the Work in whole or in part for such period of time as the Owner may determine. 8.2.2. Adjustment in Contract Sum. An adjustment shall be made for increases in the cost of performance of the Contract, including profit on the increased cost of performance, caused by suspension, delay or interruption. No adjustment shall be made to the extent: 8.2.2.1. That performance is, was or would have been so suspended, delayed or interrupted by another cause for which the CMR is responsible; or 8.2.2.2. That an equitable adjustment is made or denied under another provision of this Contract. 8.2.3. Method for Adjustment in Contract Sum. Adjustments made in the cost of performance may have a mutually agreed fixed or percentage fee. 8.3. OWNER'S TERMINATION FOR CONVENIENCE 8.3.1. Effect of Termination for Convenience. The Owner reserves the right to terminate the Contract for convenience and without cause even if the CMR has OET Zone 2 Refresh CMAR Serial # 12104-CMR Contract between Maricopa County and ForeSite Design & Construction Inc. pg # 14 not failed to perform any part of the Contract. Termination of the Work hereunder shall be effected by written notice to the CMR. Upon receipt of such notice, the CMR shall, unless the notice otherwise directs: 8.3.1.1. Immediately discontinue the Work and the placing of all orders and subcontracts in connection with this Contract; 8.3.1.2. Immediately cancel all of the existing orders and subcontracts made hereunder; 8.3.1.3. Immediately transfer to the Owner all materials, supplies, Work in progress, appliances, facilities, machinery and tools acquired by the CMR 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 8.3.1.4. Deliver all plans, Drawings, Specifications and other necessary information to the Owner. 8.3.2. CMR’s Exclusive Remedy. If the Owner terminates the Contract for convenience, the following shall be the CMR’s exclusive remedy: 8.3.2.1. Reimbursement of all actual expenditures and costs approved by the Owner as having been made or incurred in performing the Work; 8.3.2.2. Reimbursement of expenditures made and costs incurred with the Owner's prior written approval in settling or discharging outstanding commitments entered into by the CMR in performing the Contract; and 8.3.2.3. Payment of profit, in so far as profit is realized hereunder, of an amount equal to the estimated profit on the entire Contract at the time of termination multiplied by the percentage of completion of the Work. In no event shall the CMR be entitled to anticipated fees or profits on Work not required to be performed. 8.3.3. Warranties, Guarantees and Indemnitees to Remain in Effect. All obligations of the CMR 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 CMR prior to a convenience termination by the Owner. Notwithstanding the above, any convenience termination by the Owner or payments to the CMR shall be without prejudice to any claims or legal remedies that the Owner may have against the CMR for any cause. 8.3.4. 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 8, and the CMR’s remedy for such wrongful termination shall be limited to the recoveries specified under Article 8.3.2. OET Zone 2 Refresh CMAR Serial # 12104-CMR Contract between Maricopa County and ForeSite Design & Construction Inc. pg # 15 8.3.5. Remedy Limited to Damages. In the event that the CMR is terminated, whether for cause or convenience, the CMR’s sole remedy shall be for damages. In no event shall the CMR be entitled to reinstatement or other equitable relief from a court or through alternative dispute resolution as provided in the Phase II Construction Services Contract. 8.3.6. 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. ARTICLE 9 - MISCELLANEOUS 9.1 OWNERSHIP OF DOCUMENTS Any and all reports, photographs, surveys, and other data and documents provided or created in connection with this Agreement are and shall remain the property of COUNTY. In the event of termination of this Agreement, any reports, photographs, surveys, estimates, schedules, drawings, and other data and documents prepared by CONTRACTOR, whether finished or unfinished, shall become the property of COUNTY and shall be delivered by CONTRACTOR to the PROJECT MANAGER within seven (7) days of termination of this Agreement by either party. Any compensation due to CONTRACTOR shall be withheld until all documents are received as provided herein. This shall apply to all documents produced in any phase of the work, regardless of whether a subsequent phase is undertaken with CONTRACTOR. 9.2 AUDIT RIGHT AND RETENTION OF RECORDS COUNTY shall have the right to audit the books, records and accounts of CONTRACTOR that are related to this Project. CONTRACTOR shall keep such books, records, and accounts as may be necessary in order to record complete and correct entries related to the Project. CONTRACTOR shall preserve and make available, at reasonable times for examination and audit by COUNTY, all financial records, supporting documents, statistical records, and any other documents pertinent to this Agreement for the required retention period of 9 years. If any audit has been initiated and audit findings have not been resolved at the end of the retention period or three (3) years, whichever is longer, the books, records, and accounts shall be retained until resolution of the audit findings. Any incomplete or incorrect entry in such books, records, and accounts shall be a basis for COUNTY’s disallowance and recovery of any payment upon such entry. 9.3 NONDISCRIMINATION, EQUAL EMPLOYMENT OPPORTUNITY, AND AMERICANS WITH DISABILITIES; SMALL BUSINESS ENTERPRISE POLICY 9.3.1 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 OET Zone 2 Refresh CMAR Serial # 12104-CMR Contract between Maricopa County and ForeSite Design & Construction Inc. pg # 16 Disabilities Act, as they may be amended, modified, codified, supplemented or repealed from time to time. 9.3.2 It is Maricopa County’s policy to provide Small Business Enterprises (SBE) with the opportunity to participate in the County’s solicitation process and to be considered to fulfill the requirements for various commodities and services. This contract has no requirement for utilization of SBEs, however it does require that utilization of SBE firms by CMR be reported for tracking by the County. A full description of the County’s SBE program and the contractual requirements are attached hereto and incorporated herein by reference in Exhibit B. 9.4 INDEPENDENT CONTRACTOR CONTRACTOR is an independent contractor under this Agreement. Services provided by CONTRACTOR pursuant to this Agreement shall be subject to the supervision of CONTRACTOR. In providing such services, neither contractor nor its agents shall act as officers, employees, or agents of the COUNTY. This Agreement shall not constitute or make the parties a partnership or joint venture. The COUNTY is not responsible for any debt, default, act or omission of the Contractor. 9.5 THIRD PARTY BENEFICIARIES Neither CONTRACTOR nor COUNTY intend to directly or substantially benefit a third party by this Agreement. Therefore, the parties agree that there are no third party beneficiaries to this Agreement and that no third party shall be entitled to assert a claim against either of them based upon this Agreement. The parties expressly acknowledge that it is not their intent to create any rights or obligations in any third person or entity under this Agreement. 9.6 NOTICES Whenever either party desires to give notice to the other, such notice must be in writing, sent by certified United States mail, postage prepaid, return receipt requested, or by hand-delivery with a request for a written receipt of acknowledgment of delivery, addressed to the party for whom it is intended at the place last specified. The place for giving notice shall remain the same as set forth herein until changed in writing in the manner provided in this section. For the present, the parties designate the following: Neil Davison Facilities Management Department Maricopa County 401 W. Jefferson St. Phoenix, Arizona 85003 FOR CONTRACTOR: Leslie Rozzell, President ForeSite Design & Construction Inc. 1425 N. Mondel Drive Gilbert, Arizona 85233 OET Zone 2 Refresh CMAR Serial # 12104-CMR Contract between Maricopa County and ForeSite Design & Construction Inc. pg # 17 9.7 ASSIGNMENT AND PERFORMANCE Neither this Agreement nor any interest herein shall be assigned, transferred, or encumbered by either party. In addition, CONTRACTOR shall not subcontract any portion of the work required of it by this Agreement without written consent of the PROJECT MANAGER. CONTRACTOR represents that all persons delivering the services required by this Agreement have the knowledge and skills, either by training, experience, education, or a combination thereof, to adequately and competently perform the duties, obligations, and services set forth in the Scope of Services and to provide and perform such services to COUNTY’s satisfaction for the agreed compensation. CONTRACTOR shall perform its duties, obligations, and services under this Agreement in a skillful and respectable manner. The quality of CONTRACTOR’s performance and all interim and final product(s) provided to or on behalf of COUNTY shall be comparable to the best local and national standards. 9.8 CONFLICTS Neither CONTRACTOR nor its employees shall have or hold any continuing or frequently recurring employment or contractual relationship that is substantially antagonistic or incompatible with CONTRACTOR’s loyal and conscientious exercise of judgment related to its performance under this Agreement. CONTRACTOR agrees that none of its officers or employees shall, during the term of this Agreement, serve as an expert witness against COUNTY in any legal or administrative proceeding in which he or she is not a party, unless compelled by court process. Further, CONTRACTOR agrees that such persons shall not give sworn testimony or issue a report or writing, as an expression of his or her expert opinion, which is adverse or prejudicial to the interests of COUNTY in connection with any such pending or threatened legal or administrative proceeding. The limitations of this section shall not preclude CONTRACTOR or any other persons from representing themselves in any action or in any administrative or legal proceeding. In the event CONTRACTOR is permitted to utilize subcontractors to perform any services required by this Agreement, CONTRACTOR agrees to prohibit such subcontractors, by written contract, from having any conflicts within the meaning of this section. 9.9 CONTINGENCY FEE CONTRACTOR warrants that it has not employed or retained any company or person, other than a bona fide employee working solely for CONTRACTOR, to solicit or secure this Agreement and that it has not paid or agreed to pay any person, company, corporation, individual or firm, other than a bona fide employee working solely for CONTRACTOR, any fee, commission, percentage, gift, or other consideration contingent upon or resulting from the award or making of this agreement. For a breach or violation of this provision, COUNTY shall have the right to terminate this Agreement without liability at its discretion, or to deduct from the Agreement price or otherwise recover the full amount of such fee, commission, percentage, gift or consideration. OET Zone 2 Refresh CMAR Serial # 12104-CMR Contract between Maricopa County and ForeSite Design & Construction Inc. pg # 18 9.11 MATERIALITY AND WAIVER OF BREACH COUNTY AND CONTRACTOR agree that each requirement, duty, and obligation set forth herein is substantial and important to the formation of this Agreement and, therefore, is a material term hereof. COUNTY failure to enforce any provision of this Agreement shall not be deemed a waiver of such provision or modification of this Agreement. A waiver of any breach of a provision of this Agreement shall not be deem a waiver of any subsequent breach and shall not be construed to be a modification of the terms of this Agreement. 9.11 COMPLIANCE WITH LAWS CONTRACTOR shall comply with all federal state, and local laws, codes, ordinances, rules, and regulations in performing its duties, responsibilities, and obligations pursuant to this Agreement. 9.12 SEVERANCE In the event a portion of this Agreement is found by a court of competent jurisdiction to be invalid, the remaining provisions shall continue to be effective unless COUNTY or CONTRACTOR elects to terminate this Agreement. An election to terminate this Agreement based upon this provision shall be made within seven (7) days after the finding by the court becomes final. 9.13 JOINT PREPARATION The parties acknowledge that they have sought and received whatever competent advice and counsel as was necessary for them to form a full and complete understanding of all rights and obligations herein and that the preparation of this Agreement has been their joint effort. The language agreed to expresses their mutual intent and the resulting document shall not, solely as a matter of judicial construction, be construed more severely against one of the parties than the other. 9.14 PRIORITY OF PROVISIONS If there is a conflict or inconsistency between any term, statement, requirement, or provision of any exhibit attached hereto, any document or events referred to herein, or any document incorporated into this Agreement by reference and a term, statement, requirement, or provision of this Agreement, the term, statement, requirement, or provision contained in this Agreement shall prevail and be given effect. 9.15 APPLICABLE LAW AND VENUE This Agreement shall be interpreted and construed in accordance with and governed by the laws of the State of Arizona. Venue for litigation or any proceedings concerning this Agreement shall be in Maricopa County, Arizona. OET Zone 2 Refresh CMAR Serial # 12104-CMR Contract between Maricopa County and ForeSite Design & Construction Inc. pg # 19 9.16 AMENDMENTS No modification, amendment, or alteration in the terms or conditions contained herein shall be effective unless contained in a written document prepared with the same or similar formality as this Agreement and executed by the COUNTY and CONTRACTOR. 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 9.17 PRIOR AGREEMENTS This document incorporates and includes all prior negotiations, correspondence, conversations, agreements, and understandings applicable to the matters contained herein and the parties agree that there are no commitments, agreements or understandings concerning the subject matter of this Agreement that are not contained in this document. Accordingly, the parties agree that no deviation from the terms hereof shall be predicated upon any prior representations or agreements, whether oral or written. It is further agreed that no modification, amendment or alteration in the terms or conditions contained herein shall be effective unless set forth in writing in accordance with Section 9.16 above. 9.18 DRUG-FREE WORKPLACE It is a requirement of COUNTY that it enter into contracts only with firms that certify the establishment of a drug free work place. Execution of this Agreement by CONTRACTOR shall serve, as CONTRACTOR’s required certification that it either has or that it will establish a drug free work place. 9.19 INCORPORATION BY REFERENCE The truth and accuracy of each “Whereas” clause set forth herein is acknowledged by the parties. The attached Exhibits are incorporated into and made a part of this Agreement. 9.20 LEGAL WORKER REQUIREMENTS As required by Arizona Revised Statutes §41-4401, the County is prohibited after September 30, 2008 from awarding a contract to any service or construction contractor who fails, or whose subcontractors fail, to comply with Arizona Revised Statutes § 23-214-A. The Contractor 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 Contractor. The Contractor acknowledges that a breach of this warranty by Contractor or by any subcontractor or sub-subcontractor under this Contract OET Zone 2 Refresh CMAR Serial # 12104-CMR Contract between Maricopa County and ForeSite Design & Construction Inc. pg # 20 shall be deemed a material breach of this Contract, and is grounds for penalties, including termination of this Contract, by Maricopa County. Maricopa County retains the right to inspect the records of any Contractor, subcontractor and sub- subcontractor employee who performs work under this Contract, and to conduct random verification of the employment records of the Contractor and any subcontractor and sub-subcontractor who works on this Contract, to ensure that the Contractor and each subcontractor and sub-subcontractor is complying with the warranties set forth above. Contractor shall be responsible for all costs associated with compliance with this requirement. OET Zone 2 Refresh CMAR Serial # 12104-CMR Contract between Maricopa County and ForeSite Design & Construction Inc. pg # 21 IN WITNESS WHEREOF, the parties hereto have executed this Agreement on the day and date first above written, each of which shall, without proof or accounting for the other counterparts, be deemed an original contract. OET Zone 2 Refresh CMAR 12104-CMR ______________________________ 10/30/2013 _______________________________ Principal (Signature) Date Leslie Rozzell_________ 86-0711556_____________ Printed Name Federal Tax Identification Number President_________ 95182 Title Arizona Contractor’s License Number Net 30 92544 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. Maricopa County Attorney By: ________________________________ Deputy County Attorney Date: ______________________________ OET Zone 2 Refresh CMAR Serial # 12104-CMR Contract between Maricopa County and ForeSite Design & Construction Inc. pg # 22 LIST OF EXHIBITS AND FORMS EXHIBITS: A. SCOPE OF SERVICES B. SMALL BUSINESS ENTERPRISE PROGRAM C. INSURANCE FORM D. ALTERNATIVE DISPUTE RESOLUTION OET Zone 2 Refresh CMAR Serial # 12104-CMR Contract between Maricopa County and ForeSite Design & Construction Inc. pg # 23 EXHIBIT A SCOPE OF SERVICES The scope of work defining preconstruction services to be provided by the Construction Manager at Risk (CONTRACTOR) for this project, are as follows: I. SCHEDULING (A) The CONTRACTOR shall develop a Detailed Project Schedule, utilizing Critical Path Method (CPM) logic sequencing, reflecting the design (remaining portion thereof) and construction of the overall project. (B) The CONTRACTOR shall utilize the completed Detailed Project Schedule, to develop a Project Control Schedule, which shall be presented in a bar graph format. The purpose of the Project Control Schedule is to summarize the information contained in the CPM schedule in order to provide the project team with a management tool and an overall project visual aid to easily determine the schedule and status of the total project and shall be provided to the County in MicroSoft Project. The information derived from these two schedules are to become part of the CONTRACTOR’s management plan developed by the CONTRACTOR. (C) CONTRACTOR shall periodically update on a monthly basis both the Detailed Project Schedule and the Project Control Schedule throughout the term of the preconstruction and construction phases of the project as part of the CONTRACTOR’s management activity. II. CONSTRUCTABILITY REVIEW (A) The CONTRACTOR shall review and evaluate Design Development documents for clarity, consistency, completeness, and ease of construction in order to achieve the overall objective of the project. (B) CONTRACTOR’s review of the design documents shall include the following activities: 1. Preparing a Master Checklist to be used as a guide for reviewing each technical discipline. 2. Conducting reviews by preparing a “mark-up” set of documents and a list of comments corresponding to the “mark-up.” 3. Preparing and presenting a written report of constructability problems and concerns, including: (a) recommendations (b) checklist and comments OET Zone 2 Refresh CMAR Serial # 12104-CMR Contract between Maricopa County and ForeSite Design & Construction Inc. pg # 24 at least at each of the following stages: (a) programming (b) 90% construction documents 4. Attending workshop meetings with the Consultant and the PROJECT MANAGER to review proposed changes and recommending the changes, which are to be implemented for the project. 5. Verifying and conducting final review of changes to the construction Documents. III. COST ESTIMATING (A) The CONTRACTOR shall be responsible for preparing a minimum of Two (2) Construction Cost Estimates. (B) The CONTRACTOR shall prepare the first Construction Cost Estimate based on the information prepared at the completion of the Programming phase and shall estimate the cost of the major elements and subcomponents of the project. The purpose of the first Construction Cost Estimate is to verify the owner’s ability to complete the project within the established construction budget. The cost information derived from this estimate shall directly relate to the CONTRACTOR’s recommendations in the Constructability and Value Engineers Report relative to ways to reduce and/or control costs. (C) The CONTRACTOR shall prepare the second Construction Cost Estimate based on 90% construction documents and shall estimate the cost of the major elements and subcomponents of the project. The purpose of the first Construction Cost Estimate is to verify the owner’s ability to complete the project within the established construction budget. The cost information derived from this estimate shall directly relate to the CONTRACTOR’s recommendations in the Constructability and Value Engineers Report relative to ways to reduce and/or control costs. (D) Additional Construction Cost Estimates may need to be developed during the pre-construction phase of the project and will be identified by the County PROJECT MANAGER prior to development of the Lump Sum Compensation amount. IV. VALUE ENGINEERING As a result of the CONTRACTOR’S Constructability Review or Construction Cost Estimate and in order to reduce or control costs, the CONTRACTOR and Project Team shall work together to analyze the building’s structural, architectural, mechanical, electrical and plumbing systems and elements, and make cost/performance recommendations for the Owner’s consideration. The CONTRACTOR shall prepare the team’s recommendations in the form of a written report to be presented to the Owner. OET Zone 2 Refresh CMAR Serial # 12104-CMR Contract between Maricopa County and ForeSite Design & Construction Inc. pg # 25 V. GUARANTEED MAXIMUM PRICE (GMP) Utilizing the information arrived at by formulating a schedule and cost estimates along with the results achieved by performing a constructability review and Value Engineering, the Contractor shall determine a (GMP). Based upon the definition as set forth in Section 2.15 of this agreement: (A) The Contractor shall present the GMP in writing to the owner. (B) The final GMP shall include all pricing documents as set forth in Section 2.21 of this agreement. VI. PREQUALIFICATION OF SUBCONTRACTORS (A) The CONTRACTOR shall conduct a community outreach program to identify potential minority subcontractors who may be selected to participate in the project as small business enterprises (SBE) in order to satisfy the project’s assigned goals assigned by COUNTY for the construction phase of the project. (i) CONTRACTUAL RELATIONSHIP (1) Nothing contained in the Contract shall create any contractual relationship between the Owner or A/E and any Subcontractor. (ii) AWARD OF SUBCONTRACTS AND OTHER CONTRACTS FOR PORTIONS OF THE WORK (1) Award. There are two ways to select subcontractors and major suppliers (hereafter referred to as Subcontractors) prior to submission of a GMP. They are qualifications-based selection and competitive bidding. (2) Selection by qualifications only. The Owner may approve the selection of a Subcontractor (s) based only on their qualifications when the Owner agrees that it is in the best interest of the Project. (3) Qualification based. Selection of a Subcontractor (s) should only occur prior to the submittal of the GMP Proposal. (4) Approval. The CMR must receive Owner approval of the selected Subcontractor (s). (5) Costs. The CMR will negotiate costs for services/supplies from each Subcontractor selected under this method. (6) Selection by competitive GMP and qualifications. All Work shall be competitively GMP unless a Subcontractor was selected pursuant to the Contract document(s). Competitive GMPs may occur prior to or after the GMP Proposal. OET Zone 2 Refresh CMAR Serial # 12104-CMR Contract between Maricopa County and ForeSite Design & Construction Inc. pg # 26 (7) Subcontractor Interest. The CMR will develop Subcontractor interest, submit the names of a minimum of three qualified Subcontractors for each trade in the Project for approval by the Owner and solicit GMP’s for various work categories. (8) Objections. If the Owner objects to any Subcontractors or to any self-performed work for good reason, the CMR will nominate a substitute Subcontractor. (9) Pre-GMP Conference. The CMR will conduct a pre-GMP conference with the prospective Subcontractors and the Owner will attend this meeting at their discretion. (10) Self-performed Work. If the CMR desires to self-perform certain portions of the Work, it will request to be one of the approved Subcontractors bidders for those specific GMP packages. The CMR’s GMP will be evaluated in accordance with the process identified below. If events warrant and the Owner concurs that in order to insure compliance with the project schedule and /or cost, the CMR may self perform work without bidding or re-bidding the work. (11) Evaluate GMPs. The CMR shall receive, open, record, and evaluate the GMPs. The apparent low bidders will be interviewed to determine the responsiveness of their proposals. In evaluating the responsiveness of the GMP proposals the CMR, in addition to GMP price, may consider the following factors: past performance on similar projects, qualifications and experience of personnel assigned, quality management plan, approach or understanding of the work to be performed, and performance schedule to complete the Work. The final evaluation of subcontractor GMPs will be done with the Owner. The CMR will resolve any Subcontractor GMP withdrawal, protest or disqualification in connection with the award at no increase in the GMP. (12) List of Subcontractors. Within 10 days after Subcontractor GMP opening, the CMR will prepare a list of recommended Subcontractors for each category of Work, for the Owner’s review and approval. The list will detail: (a) For each sub-agreement, the amount of the Subcontractor GMP and the corresponding Subcontractor. (b) The sum of Subcontractor GMP’s received for all intended sub-agreements. (c) Trade work and its cost that CMR intends to self-perform, if any. (d) The Arizona Contractors License number of each Subcontractor shall be provided. Upon request by the Owner, the CMR shall promptly provide an experience OET Zone 2 Refresh CMAR Serial # 12104-CMR Contract between Maricopa County and ForeSite Design & Construction Inc. pg # 27 statement or other requested information providing evidence of the Subcontractors' qualifications for the Work and experience with similar projects. (13) Subcontractor Summary Report. Upon Owner approval, the CMR shall submit a summary report to the Owner of the selection process. The report will indicate the Subcontractors contacted to determine interest, the Subcontractors solicited, the GMPs received, costs negotiated, and recommended Subcontractors for each category of work. (14) Approved Subcontractors. The approved Subcontractors will provide a schedule of values with their GMP proposals, which will be used to create the overall project schedule of values. (15) Owner Objections. If, after receipt of Sub-bids or after award of Subcontractors, the Owner objects to any nominated Subcontractor or to any self-performed Work for good reason, the CMR will nominate a substitute Subcontractor or Supplier from those who submitted GMPs for the Work affected. Once such substitute Subcontractors and Suppliers are consented to by the Owner, the CMR’s proposed GMP for the Work or portion thereof will be correspondingly adjusted to reflect any higher or lower costs from any such substitution. (16) Pre-Construction Conference. Promptly after issuance of the Notice to Proceed, the Owner will conduct a pre-award conference with the CMR and other team members. OET Zone 2 Refresh CMAR Serial # 12104-CMR Contract between Maricopa County and ForeSite Design & Construction Inc. pg # 28 (iii) SUBCONTRACTUAL RELATIONS (1) Subcontractors Subject to Contract. By an appropriate written Agreement, the CMR shall require each Subcontractor, to the extent of the Work to be performed by the Subcontractor, to be bound to the CMR by the terms of the Contract, and to assume toward the CMR all the obligations and responsibilities which the CMR assumes toward the Owner and A/E, except with respect to the ADR provisions of this Contract. The CMR shall require its Subcontractors to enter into similar agreements with their Subcontractors, except with respect to the ADR provisions of this Contract. The CMR 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. Each Subcontractor shall similarly make copies of this Contract available to their Subcontractors. (2) Terms to be Included in Subcontracts. All Work performed for the CMR by a Subcontractor shall be pursuant to a written agreement between the CMR and the Subcontractor. The CMR will insure that each such subcontract contains provisions requiring: (3) That the Work be performed and guaranteed in accordance with the requirements of this Contract. (4) Submission to the CMR of Applications for Payment under each subcontract, and reasonable time to enable the CMR to apply for payment in accordance with Article 4: (a) That the Subcontractor pay sub-Subcontractors in accordance with A.R.S. § 34-221; (b) That the Subcontractor purchase and maintain insurance and comply with all insurance provisions as required by Article 7. If any subcontractor is unable to comply with this paragraph the CMR 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. (c) That the Subcontractor consents to an assignment of the subcontract from the CMR to the Owner in the event of termination of the CMR by the Owner. (d) That the Subcontractor complies with all safety requirements. OET Zone 2 Refresh CMAR Serial # 12104-CMR Contract between Maricopa County and ForeSite Design & Construction Inc. pg # 29 (iv) CONTINGENT ASSIGNMENT OF SUBCONTRACT (1) Each subcontract for a portion of the Work is hereby assigned by the CMR to the Owner provided that: (a) Assignment is effective only after termination of the Contract by the Owner for cause pursuant to this Contract and only for those subcontracts which the Owner accepts by notifying the Subcontractor in writing; and (b) Assignment is subject to the prior rights of the Surety, if any, obligated under the bond required by the Contract. (A) The CONTRACTOR shall work in coordination with the COUNTY to verify and ensure the eligibility of potential SBE participants for the SBE program and counting the participation of those SBE participants towards the assigned SBE reporting requirement for the construction project. OET Zone 2 Refresh CMAR Serial # 12104-CMR Contract between Maricopa County and ForeSite Design & Construction Inc. pg # 30 EXHIBIT B MARICOPA COUNTY SMALL BUSINESS ENTERPRISE PROGRAM CMR CONTRACTING REQUIREMENTS PART 1 PURPOSE 1.1 It is Maricopa County’s policy to provide Small Business Enterprises (SBE) with the opportunity to participate in the County’s solicitation process and to be considered to fulfill the requirements for various commodities and services. This contract has no requirement for utilization of SBEs, however it does require that utilization of SBE firms by CMR be reported for tracking by the County. PART 2 REPORTING APPLICABLE TO USE OF SBEs. 2.1 SBE CMR: An SBE CMR may indicate the SBE participation for that portion of the contract that they themselves perform, plus those portions subcontracted to other SBE firms. 2.2 SBE Subcontractor: The SBE amount will be based on that portion (dollar value) of the contract that the SBE Subcontractor performs. 2.3 SBE – Non-SBE Joint Venture: A joint venture consisting of SBE participation and non-SBE participation, functioning as a CMR, may list the SBE participation on the basis of the percentage of profit accruing to the SBE firm. 2.4 Lower Tier Non-SBE Participation: SBE Subcontractors proposing to further subcontract to non-SBE Contractors shall not have that portion of subcontracting activity considered when determining SBE participation. 2.5 SBE Suppliers: Any SBE Supplier that manufactures or substantially alters the material or product it supplies will have that portion of activity considered when determining SBE participation. 2.6 SBE Trucking: trucking by SBEs will be the amount to be paid when the SBE trucker has performed the trucking with his/her trucks, tractors, and employees or when an SBE trucking broker has signed agreements with SBE truckers. PART 3 REQUESTS FOR PAY 3.1 Each Request for Payment, including the final Request for Payment must be accompanied by a Maricopa County SBE Program Participation Report in the form as provided in Attachment 1 to this Section. PART 4 ATTACHMENTS 4.1 Attachment 1: SBE Participation Reporting Form OET Zone 2 Refresh CMAR Serial # 12104-CMR Contract between Maricopa County and ForeSite Design & Construction Inc. pg # 31 Maricopa County Small Business Enterprise Program Participation Reporting Form This form 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. _____________________________ ___________________________________ Name of Prime Consultant/Contractor Contract No. _____________________________ ___________________________________ Contact Person Project No. _____________________________ $__________________________________ Street Address Amount of this Pay Application/Invoice _____________________________ City, State ZIP Complete below with information on the SBE firms utilized as subconsultants/subcontractors for this pay application/invoice. If work was self-performed and your firm, as the prime, is an SBE firm pursuant to A.R.S. § 41-1001, et seq., then you may list your firm as the SBE firm. Type of Work $ Pd to SBE this SBE Firm Name SBE Firm Address Performed App/Inv $ $ $ $ $ $ $ $ $ $ □ A mark in this box certifies that no SBE firms were utilized as the prime, sub-consultant or subcontractor with respect to this pay application/invoice. Date: ____________________________ ______________________________________ Signature Phone No.: _______________________ ______________________________________ Printed Name OET Zone 2 Refresh CMAR Serial # 12104-CMR Contract between Maricopa County and ForeSite Design & Construction Inc. pg # 32 EXHIBIT C CERTIFICATE OF INSURANCE Part 1 - GENERAL 1.1 Description 1.1.1 The Maricopa County Certificate of Insurance format is hereby made a portion of the Contract Documents. 1.2 Submittals 1.2.1 Submit “Maricopa County Certificate of Insurance” form with the CMR Contract. Other forms, including the “ACORD” form, will not be accepted in lieu of the Maricopa County Certificate of Insurance. 1.2.2 A sample Maricopa County Certificate of Insurance form is included in this Section. The electronic file will be provided to the CMR. OET Zone 2 Refresh CMAR Serial # 12104-CMR Contract between Maricopa County and ForeSite Design & Construction Inc. pg # 33 EXHIBIT D - 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 CMR 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 CMR 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 CMR 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. OET Zone 2 Refresh CMAR Serial # 12104-CMR Contract between Maricopa County and ForeSite Design & Construction Inc. pg # 34 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. 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 CMR 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 CMR'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 CMR cannot agree on the single arbitrator or upon a Default Neutral Arbitrator, then County and the CMR shall each submit two names to OET Zone 2 Refresh CMAR Serial # 12104-CMR Contract between Maricopa County and ForeSite Design & Construction Inc. pg # 35 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 CMR 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. 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 OET Zone 2 Refresh CMAR Serial # 12104-CMR Contract between Maricopa County and ForeSite Design & Construction Inc. pg # 36 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 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 CMR. 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. CMR cannot be joined to any pending arbitration proceeding, without CMR’s express written consent and unless CMR 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 CMR 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 CMR’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 OET Zone 2 Refresh CMAR Serial # 12104-CMR Contract between Maricopa County and ForeSite Design & Construction Inc. pg # 37 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. 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 CMR against the County or in favor of the County against the CMR 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 CMR shall cooperate with the County in efforts to include this ADR provision in all other Project contracts. Subject to CMR’s reasonable agreement, the CMR agrees that any modification to this ADR provision that is included in the construction or other contracts shall also apply to the CMR. 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. OET Zone 2 Refresh CMAR Serial # 12104-CMR Contract between Maricopa County and ForeSite Design & Construction Inc. pg # 38 END OF EXHIBIT OET Zone 2 Refresh CMAR Serial # 12104-CMR Contract between Maricopa County and ForeSite Design & Construction Inc. pg # 39