4763 Agreement

City of Chandler — Regular Meeting (2024-05-06)

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City Clerk Document No.  
 
 
 
 
Public Housing Authority Commission Meeting Date: 
May 6, 2024  
 
CITY OF CHANDLER SERVICES AGREEMENT 
PUBLIC HOUSING SHOWER REPLACEMENTS 
CITY OF CHANDLER AGREEMENT NO. NR4-670-4763 
 
THIS AGREEMENT (Agreement) is made and entered into by and between the City of Chandler, an 
Arizona municipal corporation (City), and Mills Design Group, LLC, an Arizona Limited Liability 
Company (Contractor), (City and Contractor may individually be referred to as Party and collectively 
referred to as Parties) and made   
 
, 2024 (Effective Date). 
 
RECITALS 
 
A. City proposes to provide public housing shower replacements as more fully described in Exhibit 
A, which is attached to and made a part of this Agreement by this reference. 
 
B. Contractor is ready, willing, and able to provide the services described in Exhibit A for the 
compensation and fees set forth and as described in Exhibit B, which is attached to and made a part 
of this Agreement by this reference. 
 
C. City desires to contract with the Contractor to provide these services under the terms and 
conditions set forth in this Agreement. 
 
AGREEMENT 
 
NOW, THEREFORE, in consideration of the premises and the mutual promises contained in this 
Agreement, City and Contractor agree as follows: 
 
SECTION I: DEFINITIONS 
 
For purposes of this Agreement, the following definitions apply: 
Agreement means the legal agreement executed between the City and the Contractor  
City means the City of Chandler, Arizona 
Contractor means the individual, partnership, or corporation named in the Agreement 
Days means calendar days 
May, Should means something that is not mandatory but permissible 
Shall, Will, Must means a mandatory requirement 
 
 
 
 
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SECTION II: CONTRACTOR’S SERVICES 
 
Contractor must perform the services described in Exhibit A to the City’s satisfaction within the 
terms and conditions of this Agreement and within the care and skill that a person who provides 
similar services in Chandler, Arizona exercises under similar conditions. All work or services 
furnished by Contractor under this Agreement must be performed in a skilled and workmanlike 
manner.   Unless authorized by the City in writing, all fixtures, furnishings, and equipment furnished 
by Contractor as part of the work or services under this Agreement must be new, or the latest 
model, and of the most suitable grade and quality for the intended purpose of the work or service.  
 
SECTION III: PERIOD OF SERVICE 
 
Contractor must perform the services described in Exhibit A for the term of this Agreement.  
Following execution of this Agreement by City, the Contractor will immediately commence work and 
will complete all services described within 90 calendar days from the date the Contractor is notified 
to proceed. 
 
 
SECTION lV: PAYMENT OF COMPENSATION AND FEES 
 
4.1 Unless amended in writing by the Parties, Contractor's compensation and fees as more fully 
described in Exhibit B for performance of the services approved and accepted by the City under this 
Agreement must not exceed $214,515. Contractor must submit requests for payment for services 
approved and accepted during the previous billing period and must include, as applicable, detailed 
invoices and receipts, a narrative description of the tasks accomplished during the billing period, a 
list of any deliverables submitted, and any subcontractor’s or supplier’s actual requests for payment 
plus similar narrative and listing of their work. Payment for those services negotiated as a lump sum 
will be made in accordance with the percentage of the work completed during the preceding billing 
period. Services negotiated as a not-to-exceed fee will be paid in accordance with the work 
completed on the service during the preceding month. All requests for payment must be submitted 
to the City for review and approval. The City will make payment for approved and accepted services 
within 30 days of the City’s receipt of the request for payment.  
 
4.2 Applicable Taxes. The Contractor will pay all applicable taxes. The City is subject to all applicable 
state and local transaction privilege taxes. To the extent any state and local transaction privilege 
taxes apply to sales made under the terms of this Agreement, it is the responsibility of the 
Contractor to collect and remit all applicable taxes to the proper taxing jurisdiction of authority. 
 
4.3 Tax Indemnification. The Contractor and all subcontractors will pay all Federal, state, and local 
taxes applicable to its operation and any persons employed by the Contractor. The Contractor will 
and require all subcontractors to hold the City harmless from any responsibility for taxes, damages, 
and interest, if applicable, contributions required under Federal, state, and local laws and 
regulations and any other costs including transaction privilege taxes, unemployment compensation 
insurance, Social Security, and Worker’s Compensation. 
 
4.4 All prices offered herein shall be firm against any increase for the initial term of the Agreement.  
Prior to commencement of subsequent renewal terms, the City may approve a fully documented 
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request for a price adjustment. The City shall determine whether any requested price increases for 
extension terms is acceptable to the City. If the City approves the price increase, the price shall 
remain firm for the renewal term for which it was requested. If a price increase is agreed upon by 
the Parties a written Agreement Amendment shall be approved and executed by the Parties. 
 
SECTION V: GENERAL CONDITIONS 
 
5.1 Records/Audit. Records of the Contractor's direct personnel payroll, reimbursable expenses 
pertaining to this Agreement and records of accounts between the City and Contractor must be 
kept on the basis of generally accepted accounting principles and must be made available to the 
City and its auditors for up to three years following the City’s final acceptance of the services under 
this Agreement. The City, its authorized representative, or any federal agency, reserves the right to 
audit Contractor's records to verify the accuracy and appropriateness of all cost and pricing data, 
including data used to negotiate this Agreement and any amendments. The City reserves the right 
to decrease the total amount of Agreement price or payments made under this Agreement or 
request reimbursement from the Contractor following final contract payment on this Agreement if, 
upon audit of the Contractor's records, the audit discloses the Contractor has provided false, 
misleading, or inaccurate cost and pricing data. The Contractor will include a similar provision in all 
of its contracts with subcontractors providing services under the Agreement Documents to ensure 
that the City, its authorized representative, or the appropriate federal agency, has access to the 
subcontractors’ records to verify the accuracy of all cost and pricing data. The City reserves the right 
to decrease Contract price or payments made on this Agreement or request reimbursement from 
the Contractor following final payment on this Agreement if the above provision is not included in 
subcontractor agreements, and one or more subcontractors refuse to allow the City to audit their 
records to verify the accuracy and appropriateness of all cost and pricing data. If, following an audit 
of this Agreement, the audit discloses the Contractor has provided false, misleading, or inaccurate 
cost and pricing data, and the cost discrepancies exceed 1% of the total Agreement billings, the 
Contractor will be liable for reimbursement of the reasonable, actual cost of the audit. 
 
5.2 Alteration in Character of Work. Whenever an alteration in the character of work results in a 
substantial change in this Agreement, thereby materially increasing or decreasing the scope of 
services, cost of performance, or Project schedule, the work will be performed as directed by the 
City. However, before any modified work is started, a written amendment must be approved and 
executed by the City and the Contractor. Such amendment must not be effective until approved by 
the City. Additions to, modifications, or deletions from this Agreement as provided herein may be 
made, and the compensation to be paid to the Contractor may accordingly be adjusted by mutual 
agreement of the Parties. It is distinctly understood and agreed that no claim for extra work done 
or materials furnished by the Contractor will be allowed by the City except as provided herein, nor 
must the Contractor do any work or furnish any materials not covered by this Agreement unless 
such work is first authorized in writing. Any such work or materials furnished by the Contractor 
without prior written authorization will be at Contractor's own risk, cost, and expense, and 
Contractor hereby agrees that without written authorization Contractor will make no claim for 
compensation for such work or materials furnished. 
 
5.3 Termination for Convenience. The City and the Contractor hereby agree to the full 
performance of the covenants contained herein, except that the City reserves the right, at its 
discretion and without cause, to terminate or abandon any service provided for in this 
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Agreement, or abandon any portion of the Project for which services have been performed by 
the Contractor. In the event the City abandons or suspends the services, or any part of the 
services as provided in this Agreement, the City will notify the Contractor in writing and 
immediately after receiving such notice, the Contractor must discontinue advancing the work 
specified under this Agreement. Upon such termination, abandonment, or suspension, the 
Contractor must deliver to the City all drawings, plans, specifications, special provisions, 
estimates and other work entirely or partially completed, together with all unused materials 
supplied by the City. The Contractor must appraise the work Contractor has completed and 
submit Contractor's appraisal to the City for evaluation. The City may inspect the Contractor's 
work to appraise the work completed. The Contractor will receive compensation in full for 
services performed to the date of such termination. The fee shall be paid in accordance with 
Section IV of this Agreement, and as mutually agreed upon by the Contractor and the City. If 
there is no mutual agreement on payment, the final determination will be made in accordance 
with the Disputes provision in this Agreement. However, in no event may the payment exceed 
the payment set forth in this Agreement nor as amended in accordance with Alteration in 
Character of Work. The City will make the final payment within 60 days after the Contractor has 
delivered the last of the partially completed items and the Parties agree on the final payment. 
If the City is found to have improperly terminated the Agreement for cause or default, the 
termination will be converted to a termination for convenience in accordance with the 
provisions of this Agreement. 
5.4 Termination for Cause. The City may terminate this Agreement for Cause upon the occurrence 
of any one or more of the following events: in the event that (a) the Contractor fails to perform 
pursuant to the terms of this Agreement, (b) the Contractor is adjudged a bankrupt or insolvent, (c) 
the Contractor makes a general assignment for the benefit of creditors, (d) a trustee or receiver is 
appointed for Contractor or for any of Contractor’s property (e) the Contractor files a petition to 
take advantage of any debtor's act, or to reorganize under the bankruptcy or similar laws, (f) the 
Contractor disregards laws, ordinances, rules, regulations or orders of any public body having 
jurisdiction, or (g) the Contractor fails to cure default within the time requested. Where Agreement 
has been so terminated by City, the termination will not affect any rights of City against Contractor 
then existing or which may thereafter accrue. 
 
5.5 Indemnification. The Contractor (lndemnitor) must indemnify, defend, save and hold 
harmless the City and its officers, officials, agents and employees (lndemnitee) from any and 
all claims, actions, liabilities, damages, losses or expenses (including court costs, attorneys' fees 
and costs of claim processing, investigation and litigation) (Claims) caused or alleged to be 
caused, in whole or in part, by the wrongful, negligent or willful acts, or errors or omissions of 
the Contractor or any of its owners, officers, directors, agents, employees, or subcontractors in 
connection with this Agreement. This indemnity includes any claim or amount arising out of or 
recovered under workers' compensation law or on account of the failure of the Contractor to 
conform to any federal, state or local law, statute, ordinance, rule, regulation or court decree. 
The Contractor must indemnify lndemnitee from and against any and all Claims, except those 
arising solely from lndemnitee's own negligent or willful acts or omissions. The Contractor is 
responsible for primary loss investigation, defense and judgment costs where this 
indemnification applies. In consideration of the award of this Agreement, the Contractor agrees 
to waive all rights of subrogation against lndemnitee for losses arising from or related to this 
Agreement. The obligations of the Contractor under this provision survive the termination or 
expiration of this Agreement. 
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5.6 Insurance Requirements. Contractor must procure insurance under the terms and 
conditions and for the amounts of coverage set forth in Exhibit C against claims that may arise 
from or relate to performance of the work under this Agreement by Contractor and its agents, 
representatives, employees, and subcontractors. Contractor and any subcontractors must 
maintain this insurance until all of their obligations have been discharged, including any 
warranty periods under this Agreement. These insurance requirements are minimum 
requirements for this Agreement and in no way limit the indemnity covenants contained in this 
Agreement. The City in no way warrants that the minimum limits stated in Exhibit C are 
sufficient to protect the Contractor from liabilities that might arise out of the performance of 
the work under this Agreement by the Contractor, the Contractor’s agents, representatives, 
employees, or subcontractors. Contractor is free to purchase such additional insurance as may 
be determined necessary. 
 
5.7 Cooperation and Further Documentation. The Contractor agrees to provide the City such 
other duly executed documents as may be reasonably requested by the City to implement the 
intent of this Agreement. 
 
5.8 Notices. Unless otherwise provided, notice under this Agreement must be in writing and 
will be deemed to have been duly given and received either (a) on the date of service if 
personally served on the party to whom notice is to be given, or (b) on the date notice is sent if 
by electronic mail, or (c) on the third day after the date of the postmark of deposit by first class 
United States mail, registered or certified, postage prepaid and properly addressed as follows: 
 
For the City 
For the Contractor 
Name: Raquel McMahon                                           Name: Mills Design Group, LLC                               
Title: Procurement Officer                                         Title: Owner                                                                
Address: 175 S. Arizona Ave.                                     Address: 505 W/ Ray Rd., Ste. 1                               
Chandler, AZ 85225                                                     Chandler, AZ 85225                                                   
Phone: 480-782-2400                                                 Phone: 480-695-1190                                                
Email: raquel.mcmahon@chandleraz.gov              Email: kenny@millsdesigngroup.com                    
 
5.9 Successors and Assigns. City and Contractor each bind itself, its partners, successors, 
assigns, and legal representatives to the other party to this Agreement and to the partners, 
successors, assigns, and legal representatives of such other party in respect to all covenants of 
this Agreement. Neither the City nor the Contractor may assign, sublet, or transfer its interest 
in this Agreement without the written consent of the other party. In no event may any 
contractual relation be created between any third party and the City. 
 
5.10 Disputes. In any dispute arising out of an interpretation of this Agreement or the duties 
required not disposed of by agreement between the Contractor and the City, the final 
determination at the administrative level will be made by the City Purchasing and Materials 
Manager. 
 
5.11 Completeness and Accuracy of Contractor's Work. The Contractor must be responsible for 
the completeness and accuracy of Contractor's services, data, and other work prepared or 
compiled under Contractor's obligation under this Agreement and must correct, at Contractor's 
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expense, all willful or negligent errors, omissions, or  acts that may be discovered. The fact that 
the City has accepted or approved the Contractor's work will in no way relieve the Contractor 
of any of Contractor's responsibilities. 
 
5.12 Withholding Payment. The City reserves the right to withhold funds from the Contractor's 
payments up to the amount equal to the claims the City may have against the Contractor until 
such time that a settlement on those claims has been reached. 
 
5.13 City's Right of Cancellation. The Parties acknowledge that this Agreement is subject to 
cancellation by the City under the provisions of Section 38-511, Arizona Revised Statutes 
(A.R.S.). 
 
5.14 Independent Contractor. For this Agreement the Contractor constitutes an independent 
contractor. Any provisions in this Agreement that may appear to give the City the right to direct 
the Contractor as to the details of accomplishing the work or to exercise a measure of control 
over the work means that the Contractor must follow the wishes of the City as to the results of 
the work only. These results must comply with all applicable laws and ordinances. 
 
5.15 Project Staffing. Prior to the start of any work under this Agreement, the Contractor must 
assign to the City the key personnel that will be involved in performing services prescribed in 
the Agreement. The City may acknowledge its acceptance of such personnel to perform 
services under this Agreement. At any time hereafter that the Contractor desires to change key 
personnel while performing under the Agreement, the Contractor must submit the 
qualifications of the new personnel to the City for prior approval. The Contractor will maintain 
an adequate and competent staff of qualified persons, as may be determined by the City, 
throughout the performance of this Agreement to ensure acceptable and timely completion of 
the Scope of Services. If the City objects, with reasonable cause, to any of the Contractor's staff, 
the Contractor must take prompt corrective action acceptable to the City and, if required, 
remove such personnel from the Project and replace with new personnel agreed to by the City. 
 
5.16 Subcontractors. Prior to beginning the work, the Contractor must furnish the City for 
approval the names of subcontractors to be used under this Agreement. Any subsequent 
changes are subject to the City’s written prior approval. 
 
5.17 Force Majeure. If either party is delayed or prevented from the performance of any act 
required under this Agreement by reason of acts of God or other cause beyond the control and 
without fault of the Party (financial inability excepted), performance of that act may be excused, 
but only for the period of the delay, if the Party provides written notice to the other Party within 
ten days of such act. The time for performance of the act may be extended for a period 
equivalent to the period of delay from the date written notice is received by the other Party. 
 
5.18 Compliance with Laws. Contractor understands, acknowledges, and agrees to comply with 
the Americans with Disabilities Act, the Immigration Reform and Control Act of 1986 and the 
Drug Free Workplace Act of 1989. All services performed by Contractor must also comply with 
all applicable City of Chandler codes, ordinances, and requirements. Contractor agrees to 
permit the City to verify Contractor’s compliance. 
 
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5.19 No Israel Boycott. By entering into this Agreement, Contractor certifies that Contractor is 
not currently engaged in, and agrees for the duration of the Agreement, not to engage in a 
boycott of Israel as defined by state statute. 
 
5.20 Legal Worker Requirements. A.R.S. § 41-4401 prohibits the City from awarding a contract 
to any contractor who fails, or whose subcontractors fail, to comply with A.R.S. § 23-214(A). 
Therefore, Contractor agrees Contractor and each subcontractor it uses warrants their 
compliance with all federal immigration laws and regulations that relate to their employees 
and their compliance with§ 23-214, subsection A. A breach of this warranty will be deemed a 
material breach of the Agreement and may be subject to penalties up to and including 
termination of the Agreement. City retains the legal right to inspect the papers of any 
Contractor’s or subcontractor’s employee who provides services under this Agreement to 
ensure that the Contractor and subcontractors comply with the warranty under this provision. 
 
5.21 Lawful Presence Requirement. A.R.S. §§ 1-501 and 1-502 prohibit the City from awarding 
a contract to any natural person who cannot establish that such person is lawfully present in 
the United States. To establish lawful presence, a person must produce qualifying identification 
and sign a City-provided affidavit affirming that the identification provided is genuine. This 
requirement will be imposed at the time of contract award. This requirement does not apply 
to business organizations such as corporations, partnerships, or limited liability companies. 
 
5.22 Forced Labor of Ethnic Uyghurs Prohibited. By entering into this Agreement, Contractor 
certifies and agrees Contractor does not currently use and will not use for the term of this 
Agreement: (i) the forced labor of ethnic Uyghurs in the People's Republic of China; or (ii) any 
goods or services produced by the forced labor of ethnic Uyghurs in the People's Republic of 
China; or (iii) any contractors, subcontractors or suppliers that use the forced labor or any 
goods or services produced by the forced labor of ethnic Uyghurs in the People's Republic of 
China. 
 
5.23 Covenant Against Contingent Fees. Contractor warrants that no person has been 
employed or retained to solicit or secure this Agreement upon an agreement or understanding 
for a commission, percentage, brokerage, or contingent fee, and that no member of the 
Chandler City Council, or any City employee has any interest, financially, or otherwise, in 
Contractor’s firm. For breach or violation of this warrant, the City may annul this Agreement 
without liability or, at its discretion, to deduct from the Agreement price or consideration, the 
full amount of such commission, percentage, brokerage, or contingent fee. 
 
5.24 Non-Waiver Provision. The failure of either Party to enforce any of the provisions of this 
Agreement or to require performance of the other Party of any of the provisions hereof must 
not be construed to be a waiver of such provisions, nor must it affect the validity of this 
Agreement or any part thereof, or the right of either Party to thereafter enforce each and every 
provision. 
 
5.25 Disclosure of Information Adverse to the City’s Interests. To evaluate and avoid potential 
conflicts of interest, the Contractor must provide written notice to the City, as set forth in this 
Section, of any work or services performed by the Contractor for third parties that may involve 
or be associated with any real property or personal property owned or leased by the City. Such 
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notice must be given seven business days prior to commencement of the services by the 
Contractor for a third party, or seven business days prior to an adverse action as defined below. 
Written notice and disclosure must be sent to the City’s Purchasing and Materials Manager. An 
adverse action under this Agreement includes, but is not limited to: (a) using data as defined in 
the Agreement acquired in connection with this Agreement to assist a third party in pursuing 
administrative or judicial action against the City; or (b) testifying or providing evidence on behalf 
of any person in connection with an administrative or judicial action against the City; or (c) using 
data to produce income for the Contractor or its employees independently of performing the 
services under this Agreement, without the prior written consent of the City. Contractor 
represents that except for those persons, entities, and projects identified to the City, the 
services performed by the Contractor under this Agreement are not expected to create an 
interest with any person, entity, or third party project that is or may be adverse to the City’s 
interests. Contractor's failure to provide a written notice and disclosure of the information as 
set forth in this Section constitute a material breach of this Agreement. 
 
5.26 Data Confidentiality and Data Security. As used in the Agreement, data means all 
information, whether written or verbal, including plans, photographs, studies, investigations, audits, 
analyses, samples, reports, calculations, internal memos, meeting minutes, data field notes, work 
product, proposals, correspondence and any other similar documents or information prepared by, 
obtained by, or transmitted to the Contractor or its subcontractors in the performance of this 
Agreement. The Parties agree that all data, regardless of form, including originals, images, and 
reproductions, prepared by, obtained by, or transmitted to the Contractor or its subcontractors in 
connection with the Contractor's or its subcontractor’s performance of this Agreement is 
confidential and proprietary information belonging to the City. Except as specifically provided in this 
Agreement, Contractor or its subcontractors must not divulge data to any third party without the 
City’s prior written consent. Contractor or its subcontractors must not use the data for any purposes 
except to perform the services required under this Agreement. These prohibitions do not apply to 
the following data provided to the Contractor or its subcontractors have first given the required 
notice to the City: (a) data which was known to the Contractor or its subcontractors prior to its 
performance under this Agreement unless such data was acquired in connection with work 
performed for the City; or (b) data which was acquired by the Contractor or its subcontractors in its 
performance under this Agreement and which was disclosed to the Contractor or its subcontractors 
by a third party, who to the best of the Contractor's or its subcontractors knowledge and belief, had 
the legal right to make such disclosure and the Contractor or its subcontractors are not otherwise 
required to hold such data in confidence; or (c) data which is required to be disclosed by virtue of 
law, regulation, or court order, to which the Contractor or its subcontractors are subject. In the event 
the Contractor or its subcontractors are required or requested to disclose data to a third party, or 
any other information to which the Contractor or its subcontractors became privy as a result of any 
other contract with the City, the Contractor must first notify the City as set forth in this Section of 
the request or demand for the data. The Contractor or its subcontractors must give the City 
sufficient facts so that the City can be given an opportunity to first give its consent or take such 
action that the City may deem appropriate to protect such data or other information from 
disclosure. Unless prohibited by law, within ten calendar days after completion or termination of 
services under this Agreement, the Contractor or its subcontractors must promptly deliver, as set 
forth in this Section, a copy of all data to the City. All data must continue to be subject to the 
confidentiality agreements of this Agreement. Contractor or its subcontractors assume all liability 
to maintain the confidentiality of the data in its possession and agrees to compensate the City if any 
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of the provisions of this Section are violated by the Contractor, its employees, agents or 
subcontractors. Solely for the purposes of seeking injunctive relief, it is agreed that a breach of this 
Section must be deemed to cause irreparable harm that justifies injunctive relief in court. Contractor 
agrees that the requirements of this Section must be incorporated into all subcontracts entered 
into by Contractor. A violation of this Section may result in immediate termination of this Agreement 
without notice. 
 
5.27 Personal Identifying Information-Data Security. Personal identifying information, financial 
account information, or restricted City information, whether electronic format or hard copy, 
must be secured and protected at all times by Contractor and any of its subcontractors. At a 
minimum, Contractor must encrypt or password-protect electronic files. This includes data 
saved to laptop computers, computerized devices, or removable storage devices. When 
personal identifying information, financial account information, or restricted City information, 
regardless of its format, is no longer necessary, the information must be redacted or destroyed 
through appropriate and secure methods that ensure the information cannot be viewed, 
accessed, or reconstructed. In the event that data collected or obtained by Contractor or its 
subcontractors in connection with this Agreement is believed to have been compromised, 
Contractor or its subcontractors must immediately notify the City contact. Contractor agrees 
to reimburse the City for any costs incurred by the City to investigate potential breaches of this 
data and, where applicable, the cost of notifying individuals who may be impacted by the 
breach. Contractor agrees that the requirements of this Section must be incorporated into all 
subcontracts entered into by Contractor. It is further agreed that a violation of this Section must 
be deemed to cause irreparable harm that justifies injunctive relief in court. A violation of this 
Section may result in immediate termination of this Agreement without notice. The obligations 
of Contractor or its subcontractors under this Section must survive the termination of this 
Agreement. 
 
5.28 Jurisdiction and Venue. This Agreement is made under, and must be construed in 
accordance with and governed by the laws of the State of Arizona without regard to the 
conflicts or choice of law provisions thereof. Any action to enforce any provision of this 
Agreement or to obtain any remedy with respect hereto must be brought in the courts located 
in Maricopa County, Arizona, and for this purpose, each Party hereby expressly and irrevocably 
consents to the jurisdiction and venue of such court. 
 
5.29 Survival. All warranties, representations, and indemnifications by the Contractor must 
survive the completion or termination of this Agreement. 
 
5.30 Modification. Except as expressly provided herein to the contrary, no supplement, 
modification, or amendment of any term of this Agreement will be deemed binding or effective 
unless in writing and signed by the Parties.  
 
5.31 Severability. If any provision of this Agreement or the application to any person or 
circumstance may be invalid, illegal or unenforceable to any extent, the remainder of this 
Agreement and the application will not be affected and will be enforceable to the fullest extent 
permitted by law. 
 
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5.32 Integration. This Agreement contains the full agreement of the Parties. Any prior or 
contemporaneous written or oral agreement between the Parties regarding the subject matter 
is merged and superseded. 
 
5.33 Time is of the Essence. Time of each of the terms, covenants, and conditions of this 
Agreement is hereby expressly made of the essence. 
 
5.34 Date of Performance. If the date of performance of any obligation or the last day of any 
time period provided for should fall on a Saturday, Sunday, or holiday for the City, the 
obligation will be due and owing, and the time period will expire, on the first day after which is 
not a Saturday, Sunday or legal City holiday. Except as may otherwise be set forth in this 
Agreement, any performance provided for herein will be timely made if completed no later 
than 5:00 p.m. (Chandler time) on the day of performance. 
 
5.35 Delivery.  All prices are F.O.B. Destination and include all delivery and unloading at the 
specified destinations.  The Contractor will retain title and control of all goods until they are 
delivered and accepted by the City.  All risk of transportation and all related charges will be the 
responsibility of the Contractor.  All claims for visible or concealed damage will be filed by the 
Contractor.  The City will notify the Contractor promptly of any damaged goods and will assist 
the Contractor in arranging for inspection. 
 
5.36 Third Party Beneficiary. Nothing under this Agreement will be construed to give any rights 
or benefits in the Agreement to anyone other than the City and the Contractor, and all duties 
and responsibilities undertaken pursuant to this Agreement will be for the sole and exclusive 
benefit of City and the Contractor and not for the benefit of any other party. 
 
5.37 Conflict in Language. All work performed must conform to all applicable City of Chandler 
codes, ordinances, and requirements as outlined in this Agreement. If there is a conflict in 
interpretation between provisions in this Agreement and those in the Exhibits, the provisions 
in this Agreement prevail. 
 
5.38 Document/Information Release. Documents and materials released to the Contractor, 
which are identified by the City as sensitive and confidential, are the City’s property. The 
document/material must be issued by and returned to the City upon completion of the services 
under this Agreement. Contractor’s secondary distribution, disclosure, copying, or duplication 
in any manner is prohibited without the City’s prior written approval. The document/material 
must be kept secure at all times. This directive applies to all City documents, whether in 
photographic, printed, or electronic data format.  
 
5.39 Exhibits. The following exhibits are made a part of this Agreement and are incorporated 
by reference: 
 
  
 
 
Exhibit A - Project Description/Scope of Services 
Exhibit B - Compensation and Fees 
Exhibit C - Insurance Requirements 
Exhibit D - Special Conditions  
 
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5.40 Special Conditions. As part of the services Contractor provides under this Agreement, 
Contractor agrees to comply with and fully perform the special terms and conditions set forth 
in Exhibit D, which is attached to and made a part of this Agreement. 
 
5.41 Cooperative Use of Agreement.  In addition to the City of Chandler and with approval of 
the Contractor, this Agreement may be extended for use by other municipalities, school 
districts and government agencies of the State.  Any such usage by other entities must be in 
accordance with the ordinance, charter and/or procurement rules and regulations of the 
respective political entity. 
 
If required to provide services on a school district property at least five times during a month, 
the Contractor will submit a full set of fingerprints to the school of each person or employee 
who may provide such service.  The District will conduct a fingerprint check in accordance with 
A.R.S. 41-1750 and Public Law 92-544 of all Contractors, subcontractors or vendors and their 
employees for which fingerprints are submitted to the District. Additionally, the Contractor will 
comply with the governing body fingerprinting policies of each individual school district/public 
entity.  The Contractor, sub-contractors, vendors and their employees will not provide services 
on school district properties until authorized by the District. 
 
Orders placed by other agencies and payment thereof will be the sole responsibility of that 
agency.  The City will not be responsible for any disputes arising out of transactions made by 
other agencies who utilize this Agreement. 
 
5.42 Non-Discrimination and Anti-Harassment Laws. Contractor must comply with all 
applicable City, state, and federal non-discrimination and anti-harassment laws, rules, and 
regulations. 
 
5.43 Licenses and Permits. Beginning with the Effective Date and for the full term of this 
Agreement, Contractor must maintain all applicable City, state, and federal licenses and 
permits required to fully perform Contractor’s services under this Agreement. 
 
5.44 Warranties. Contractor must furnish a one-year warranty on all work and services 
performed under this Agreement. Contractor must furnish, or cause to be furnished, a two-
year warranty on all fixtures, furnishings, and equipment furnished by Contractor, 
subcontractors, or suppliers under this Agreement. Any defects in design, workmanship, or 
materials that do not comply with this Agreement must be corrected by Contractor (including, 
but not limited to, all parts and labor) at Contractor’s sole cost and expense. All written 
warranties and redlines for as-built conditions must be delivered to the City on or before the 
City’s final acceptance of Contractor’s services under this Agreement.  
 
5.45 Emergency Purchases.  City reserves the rights to purchase from other sources those 
items, which are required on an emergency basis and cannot be supplied immediately by the 
Contractor. 
 
5.46 Non-Exclusive Agreement. This agreement is for the sole convenience of the City of 
Chandler. The City reserves the right to obtain like goods or services from another source when 
necessary. 
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5.47 Budget Approval Into Next Fiscal Year.  This Agreement will commence on the Effective Date 
and continue in full force and effect until it is terminated or expires in accordance with the 
provisions of this Agreement.  The Parties recognize that the continuation of this Agreement after 
the close of the City's fiscal year, which ends on June 30 of each year, is subject to the City Council's 
approval of a budget that includes an appropriation for this item as expenditure.  The City does not 
represent that this budget item will be actually adopted. This determination is solely made by the 
City Council at the time Council adopts the budget. 
 
5.48 Performance and Payment Bond Requirements. At the time City issues Notice of Contract 
Award, Contractor must provide a Performance Bond and a Payment Bond, each in an amount 
equal to the full amount of the Contract Price.  
Each such bond must be executed by a surety company or companies holding a Certificate of 
Authority to transact surety business in the State of Arizona, issued by the Director of the Arizona 
Department of Insurance and must be named in the current list of "Companies Holding 
Certificates of Authority as Acceptable Sureties on Federal Bonds and as Acceptable Reinsuring 
Companies" as published in Circular 570 (amended) by the Audit Staff Bureau of Accounts, U.S. 
Treasury Department. A copy of the Certificate of Authority must accompany the bonds. The 
Certificate must have been issued or updated within two (2) years prior to the execution of this 
Agreement. The bonds must be written or countersigned by an authorized representative of the 
surety who is either a resident of the state of Arizona or whose principal office is maintained in 
this state, as by law required.  
The bonds must be made payable and be acceptable to City. The bond forms for the performance 
and payment bonds must be in the forms required under A.R.S. § 34-221, et. Seq., as in Appendices 
4 and 5 of these General Conditions.  
Upon the request of any person or entity appearing to be a potential beneficiary of bonds covering 
payment of obligations arising under the Contract Documents, Contractor must promptly furnish a 
copy of the bonds or must permit a copy to be made. 
 
All bonds submitted for this Project must be provided by a company which has been rated AM Best 
rating of A- or better for the prior four quarters by the latest edition of the ‘Results Best’s Key Rating 
Guide (Property/Casualty)” published by the A.M. Best Company. 
 
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This Agreement shall be in full force and effect only when it has been approved and executed 
by the duly authorized City officials. 
FOR THE CITY 
FOR THE CONTRACTOR 
By: _________________________________________ 
By: _________________________________________ 
Its: _____________Mayor______________________ 
Its: _________________________________________ 
APPROVED AS TO FORM: 
By: _________________________________________ 
City Attorney 
ATTEST: 
By: _________________________________________ 
City Clerk 
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EXHIBIT A TO AGREEMENT 
SCOPE OF WORK 
 
KINGSTON ARMS SHOWER REPLACEMENT 
CITY OF CHANDLER HOUSING & REDEVELOPMENT DIVISION 
 
INTRODUCTION 
Contractor to provide 35 shower replacements in units at 127 N Kingston Street. The units listed as part of 
the project are occupied. Each unit has only one bathroom. Units will need to be completed in a timely 
manner. 
 
1. Scope of work 
The Contractor shall supply all materials, equipment, labor services, and transportation required to 
perform the work to replace the tub/shower combinations to walk in showers. All materials shall be 
provided by the Contractor for all shower components as well (i.e. faucets, drains, traps, shower arms, 
shower heads, shower curtain robs, grab bars, etc.) for all units to be installed. 
 
The project is funded by the HUD requirements as noted in the HUD documents included  part of this bid 
packet. This is a Labor Standards Act, Davis-Bacon and Related Acts (DBRA) wage rate project. Workers 
shall be paid the minimum wage rate and fringe benefits for the work classifications being performed.  
1.1 Demolition 
1.1.1 The contractor shall removal and properly dispose of all existing tubs, surrounds and 
ceramic tiles, shower curtain rods, P-traps, manifolds, and associated plumbing. 
1.2 Bathtub and Shower Wall System  
1.2.1 Replace existing tub/ shower unit with a low threshold walk in shower stall with molded 
seat and grab bar in the color white. 
1.2.2 Replace existing shower pans with acrylic in high glass white 
1.2.3 Replace existing shower plan liner and drain and replace with new 
1.2.4 Shower wall stall shall have one toiletry shelve 
1.2.5 Shower size is 36” x 60” 
1.3 Drains 
1.3.1 Remove and replace the existing drain and P-Trap. If cast iron drains exist, cut as close 
as possible to foundation installing a no hub flexible PVC coupling, ABS drain and P-
Trap. 
1.4 Shower Faucet Handles 
1.4.1 Install new single handle mixing valve  
1.4.2 Supply and install a Pfister, Moen, or “approved equal” 3-handle tub and shower faucet 
in chrome to facilitate standardized maintenance repairs.  
1.5 Water Proof 
1.5.1 Supply and install ½ inch hardie backer board where needed 
1.5.2 Caulking shall be installed watertight, mildew resistant silicone 
1.5.3 The seam next to a wall that is to be painted seal with latex caulk 
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1.6 Paint 
1.6.1 Contractor will paint the new green board/ drywall not covered by new surround with 
Sherwin-Williams, Interior Semi-gloss 
1.6.2 Contractor will match existing texture 
1.6.3 Contractor will cover and protect floors and other bathroom fixtures prior to painting 
1.7 Mechanical 
1.7.1 The Contractor will replace the exhaust fans in each bathroom 
1.8 Accessories 
1.8.1 Contractor will replace with new, shower rods and towel bars 
1.9 Floor 
1.9.1 Contractor will match and replace any floor tile removed or damaged as a result of the 
removal or installation showers 
1.9.2 The tile pattern and color to match existing as close as possible 
2. Submittals 
2.1 Manufacturer’s data sheet on each product ot be used 
2.2 Maintenance information. Furnish one copy of cleaning & care instruction for each unit in the 
project plus one for the housing authority office. 
2.3 All required HUD documentation indicated in these Contract documents must be read, 
properly completed, signed, and returned 
2.4 Tenant notification sample letter or door hanger in English and Spanish for Project 
Coordinator approval 
3. HUD Forms 
3.1 Section 3 report submitted monthly 
3.2 Certified Payroll hardcopy submitted weekly 
4. Schedule 
4.1 Contractor will submit a tentative schedule with his/her bid. This schedule will be revised by 
the Contractor after a start date is determined during the Pre-Construction meeting. 
5. Quality Assurance 
5.1 Comply with referenced standards of the American Society for testing Materials (ASTM), 
Underwriters Laboratories (U.L), and the Federal Housing Administration of the Department of 
Housing and urban Development (HUD/HA). 
5.2 Use skilled workmen who are trained and experienced in the necessary crafts and familiar with 
the specifications and methods needed to properly perform the work of this section. 
 
6. Installation Contractors 
6.1 Contractor has a minimum of two years experience in type of fabrication and installation 
required of the drawings and specifications 
 
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7. Manufacturer 
7.1 Minimum of five years continuous experience in the type of fabrication and installation of the 
drawings and specifications 
7.2 Shop and personnel have the facilities and capabilities to fabricate all items expeditiously and 
on time 
8. Delivery, Storage, and Handling 
8.1 Store and dispose of solvent-based materials, and materials used with solvent-based  
materials, in accordance with requirements of local authorities having jurisdiction 
8.2 No on-site storage available. Contractor will have to provide his/her own storage facility. 
9. Warranty 
9.1 All installed items shall be warranted for a period of two (2) years (including labor) from date of 
accepted completion 
10. Safety 
10.1 
All units are occupied. Therefore, its imperative that the contractor take all safety 
precautions while working in the units. 
10.2 
Do not leave tools, materials, or debris lying around where the resident or their children 
could access or trip over 
11. Site Protection 
11.1 
Contractor will take all necessary precautions both City and resident property at all times 
11.2 
Contractor will cover all floors and carpeted areas with a construction grade floor/carpet 
floor protection material. 
11.3 
Contractor will cover resident’s property (i.e beds, dressers, chest of drawers, night stands, 
etc.) to protect from dust 
11.4 
Contractor will be responsible for the cost of repair or replacing any damaged City or 
resident property as a direct result of the Contractor or Sub-contractors negligence. 
12. Schedule, Work Days & Hours 
12.1 
Contractor (including all sub-contractors) will only be permitted to work Monday- Friday, 
from 7:00am to 4:00pm. No weekends or holidays. 
12.2 
Contractor will submit a tentative schedule with his/her bid. The Contractor will revise this 
schedule after a start date is determined during the Pre- Construction Meeting.  
13. Resident Notification 
13.1 
The selected contractor will notify each resident in writing, a minimum of 72 hours in 
advance of starting each home. This will be accomplished with either a 3-part door hanger (in 
both English & Spanish) to be left on the exterior entrance door of each home or a letter (in 
both English & Spanish (sent via U.S. Mail. The door hanger or letter will include the following 
(minimum) information: Reference type work (bathroom tub replacement); being done for (The 
City of Chandler); Notice Date; Project Address; Unit umber; Project start date and time’ project 
completion date and time; work hours; any special instructions; name/ address/ phone 
number of company; and contact person, with a 24-hour emergency phone number. A copy of 
each door hanger or letter will be provided to the project manager.  
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13.2 
Contractor will submit a copy of the door hanger or letter to the project manager for 
approval, prior to printing door hangers, or mailing notification letters. 
13.3 
Contractor must allow for transit time if using U.S. Mail for notifications, as mailed letters 
must arrive at the residence a minimum of 72 hours door hanger or mailed letter listing the 
new date and time of the tub installation.  
14. Clean Up 
14.1 
Remove daily all debris resulting from this work. Upon completion, the contractor will leave 
each bathroom clean and ready for use before leaving the home. 
14.2 
Contractor will also remove any tools, materials, or debris from the exterior of the home. 
Additional Information/Requirements:  
Units are occupied and can be down for work two days for replacement. Toilets and sinks in the 
bathrooms must be accessible by the end of the 1st day. 
Contract administrator may enter units to perform replacement at 8am.  
Requirement for toilet seat and grab bar are as follows: Folding shower seat wall mounted, height 17 ¾ 
inches to bottom. (1) Grab bar 1 ½ in dia. 36” length, height 34” Backing required for seat and grab bar. 
End of Section 
 
 
 
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EXHIBIT B 
PRICE 
Unit 
Number 
Bath Replacement 
Plumbing 
Exhaust Fan 
Demo/ Install 
1 
$2,517 
$1,794 
$499 
$1,319 
2 
$2,517 
$1,794 
$499 
$1,319 
3 
$2,517 
$1,794 
$499 
$1,319 
4 
$2,517 
$1,794 
$499 
$1,319 
5 
$2,517 
$1,794 
$499 
$1,319 
6 
$2,517 
$1,794 
$499 
$1,319 
7 
$2,517 
$1,794 
$499 
$1,319 
8 
$2,517 
$1,794 
$499 
$1,319 
9 
$2,517 
$1,794 
$499 
$1,319 
10 
$2,517 
$1,794 
$499 
$1,319 
11 
$2,517 
$1,794 
$499 
$1,319 
12 
$2,517 
$1,794 
$499 
$1,319 
13 
$2,517 
$1,794 
$499 
$1,319 
14 
$2,517 
$1,794 
$499 
$1,319 
15 
$2,517 
$1,794 
$499 
$1,319 
16 
$2,517 
$1,794 
$499 
$1,319 
17 
$2,517 
$1,794 
$499 
$1,319 
18 
$2,517 
$1,794 
$499 
$1,319 
19 
$2,517 
$1,794 
$499 
$1,319 
20 
$2,517 
$1,794 
$499 
$1,319 
21 
$2,517 
$1,794 
$499 
$1,319 
22 
$2,517 
$1,794 
$499 
$1,319 
23 
$2,517 
$1,794 
$499 
$1,319 
24 
$2,517 
$1,794 
$499 
$1,319 
25 
$2,517 
$1,794 
$499 
$1,319 
26 
$2,517 
$1,794 
$499 
$1,319 
27 
$2,517 
$1,794 
$499 
$1,319 
28 
$2,517 
$1,794 
$499 
$1,319 
29 
$2,517 
$1,794 
$499 
$1,319 
30 
$2,517 
$1,794 
$499 
$1,319 
31 
$2,517 
$1,794 
$499 
$1,319 
32 
$2,517 
$1,794 
$499 
$1,319 
34 
$2,517 
$1,794 
$499 
$1,319 
35 
$2,517 
$1,794 
$499 
$1,319 
36 
$2,517 
$1,794 
$499 
$1,319 
All prices shall be tax inclusive 
 
 
 
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EXHIBIT C TO AGREEMENT 
INSURANCE 
INSURANCE  
 
General. 
 
A. 
At the same time as execution of this Agreement, the Contractor shall furnish the City a 
certificate of insurance on a standard insurance industry ACORD form.  The ACORD form 
must be issued by an insurance company authorized to transact business in the State of 
Arizona possessing a current A.M. Best, Inc. rating of A-7, or better and legally authorized to 
do business in the State of Arizona with policies and forms satisfactory to City.  Provided, 
however, the A.M. Best rating requirement shall not be deemed to apply to required Workers’ 
Compensation coverage.  
 
B. 
The Contractor and any of its subcontractors shall procure and maintain, until all of their 
obligations have been discharged, including any warranty periods under this Agreement are 
satisfied, the insurances set forth below. 
 
C. 
The insurance requirements set forth below are minimum requirements for this Agreement 
and in no way limit the indemnity covenants contained in this Agreement. 
 
D. 
The City in no way warrants that the minimum insurance limits contained in this Agreement 
are sufficient to protect Contractor from liabilities that might arise out of the performance 
of the Agreement services under this Agreement by Contractor, its agents, representatives, 
employees, subcontractors, and the Contractor is free to purchase any additional insurance 
as may be determined necessary. 
 
E. 
Failure to demand evidence of full compliance with the insurance requirements in this 
Agreement or failure to identify any insurance deficiency will not relieve the Contractor from, 
nor will it be considered a waiver of its obligation to maintain the required insurance at all 
times during the performance of this Agreement. 
 
F. 
Use of Subcontractors:  If any work is subcontracted in any way, the Contractor shall execute 
a written contract with Subcontractor containing the same Indemnification Clause and 
Insurance Requirements as the City requires of the Contractor in this Agreement. The 
Contractor is responsible for executing the Agreement with the Subcontractor and obtaining 
Certificates of Insurance and verifying the insurance requirements. 
 
Minimum Scope and Limits of Insurance.  The Contractor shall provide coverage with limits of liability not 
less than those stated below. 
 
A. 
Commercial General Liability-Occurrence Form.  Contractor must maintain “occurrence” form 
Commercial General Liability insurance with a limit of not less than $2,000,000 for each 
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occurrence, $4,000,000 aggregate.  Said insurance must also include coverage for products 
and completed operations, independent contractors, personal injury and advertising injury. 
If any Excess insurance is utilized to fulfill the requirements of this paragraph, the Excess 
insurance must be “follow form” equal or broader in coverage scope than underlying 
insurance. 
 
B. 
Automobile Liability-Any Auto or Owned, Hired and Non-Owned Vehicles 
Vehicle Liability:  Contractor must maintain Business/Automobile Liability insurance with a 
limit of $1,000,000 each accident on Contractor owned, hired, and non-owned vehicles 
assigned to or used in the performance of the Contractor’s work or services under this 
Agreement.  If any Excess or Umbrella insurance is utilized to fulfill the requirements of this 
paragraph, the Excess  or Umbrella insurance must be “follow form” equal or broader in 
coverage scope than underlying insurance. 
 
 
C. 
Workers Compensation and Employers Liability Insurance:  Contractor must maintain Workers 
Compensation insurance to cover obligations imposed by federal and state statutes having 
jurisdiction of Contractor employees engaged in the performance of work or services under 
this Agreement and must also maintain Employers’ Liability insurance of not less than 
$1,000,000 for each accident and $1,000,000 disease for each employee. 
 
 
D. 
Builders’ Risk/Installation Floater Insurance.  The Contractor bears all responsibility for loss to 
all equipment or Work under construction.  Unless waived in writing by the City the 
Contractor will purchase and maintain in force Builders’ Risk/Installation Floater insurance 
on the entire Work until completed and accepted by the City.  This insurance will be Special 
Causes of Loss policy form, (minimally including perils of fire, flood, lightning, explosion, 
windstorm and hail, smoke, aircraft and vehicles, riot and civil commotion, theft, vandalism, 
malicious mischief, and collapse), completed value, replacement cost policy form equal to 
the contract price and all subsequent modifications.  The Contractor’s Builders’ 
Risk/Installation Floater insurance must be primary and not contributory. 
1. Builders’ Risk/Installation Floater insurance must cover the entire Work including 
reasonable compensation for architects and Contractors’ services and expenses and 
other “soft costs” made necessary by an insured loss.  Builders’ Risk/Installation Floater 
insurance must provide coverage from the time any covered property comes under the 
Contractor’s control and or responsibility, and continue without interruption during 
course of construction, renovation and or installation, including any time during which 
any project property or equipment is in transit, off site, or while on site for future use or 
installation.  Insured property must include, but not be limited to, scaffolding, false work, 
and temporary buildings at the site.  This insurance must also cover the cost of removing 
debris, including demolition as may be legally required by operation of any law, 
ordinance, regulation or code. 
2. The Contractor must also purchase and maintain Boiler and Machinery insurance with 
the same requirements as Builders’ Risk/Installation Floater insurance cited above if the 
Work to be performed involves any exposures or insurable property normally covered 
under a Boiler and Machinery insurance policy or made necessary as required by law or 
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testing requirements in the performance of this Contract/Agreement.  The Contractor will 
be responsible for any and all deductibles under these policies and the Contractor waives 
all rights of recovery and subrogation against the City under the Contractor’s Builders’ 
Risk/Installation Floater insurance described herein. 
3. Builders’ Risk/Installation Floater Insurance must be maintained until whichever of the 
following first occurs: (i) final payment has been made; or, (ii) until no person or entity, 
other than the City, has an insurable interest in the property required to be covered. 
a. The Builders’ Risk/Installation Floater insurance must be endorsed so that the 
insurance will not be canceled or lapse because of any partial use or occupancy by 
the City. 
b. The Builders Risk/Installation Floater insurance must include as named insureds, the 
City, the Contractor, and all tiers of subcontractors and others with an insurable 
interest in the Work who will be named as additional insureds unless they are able to 
provide the same level of coverage with the City and Contractor named as additional 
insureds. Certificates must contain a provision that the insurance will not be canceled 
or materially altered without at least 30 days advance notice to the City.  The City must 
also be named as a Loss Payee under the Builders’ Risk/Installation Floater coverage. 
c. The Builders Risk/Installation Floater insurance must be written using the Special 
Causes of Loss policy form, replacement cost basis. 
d. All rights of subrogation under the Builders Risk/Installation Floater insurance are, by 
this Contract/Agreement, waived against the City, its officers, officials, agents and 
employees. 
e. The Contractor is responsible for payment of all deductibles under the Builders’ 
Risk/Installation Floater insurance policy. 
 
Additional Policy Provisions Required. 
 
A. Self-Insured Retentions or Deductibles.  Any self-insured retentions and deductibles must be 
declared and approved by the City.  If not approved, the City may require that the insurer reduce 
or eliminate any deductible or self-insured retentions with respect to the City, its officers, 
officials, agents, employees, and volunteers. 
 
1.  The Contractor’s insurance must contain broad form contractual liability coverage. 
 
2.  The Contractor's insurance coverage must be primary insurance with respect to the City, 
its officers, officials, agents, and employees.  Any insurance or self-insurance maintained 
by the City, its officers, officials, agents, and employees shall be in excess of the coverage 
provided by the Contractor and must not contribute to it. 
 
3.  The Contractor's insurance must apply separately to each insured against whom claim is 
made or suit is brought, except with respect to the limits of the insurer's liability. 
 
4.  Coverage provided by the Contractor must not be limited to the liability assumed under 
the indemnification provisions of this Agreement. 
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5. The policies must contain a severability of interest clause and waiver of subrogation 
against the City, its officers, officials, agents, and employees, for losses arising from Work 
performed by the Contractor for the City. 
 
6.  The Contractor, its successors and or assigns, are required to maintain Commercial 
General Liability insurance as specified in this Agreement for a minimum period of three 
years following completion and acceptance of the Work.  The Contractor must submit a 
Certificate of Insurance evidencing Commercial General Liability insurance during this 
three year period containing all the Agreement insurance requirements, including 
naming the City of Chandler, its agents, representatives, officers, directors, officials and 
employees as Additional Insured as required. 
 
7. If a Certificate of Insurance is submitted as verification of coverage, the City will 
reasonably rely upon the Certificate of Insurance as evidence of coverage but this 
acceptance and reliance will not waive or alter in any way the insurance requirements or 
obligations of this Agreement.   
 
B.  
Insurance Cancellation During Term of Contract/Agreement.  
1. If any of the required policies expire during the life of this Contract/Agreement, the 
Contractor must forward renewal or replacement Certificates to the City within ten days 
after the renewal date containing all the required insurance provisions. 
2.  Each insurance policy required by the insurance provisions of this Contract/Agreement 
shall provide the required coverage and shall not be suspended, voided or canceled 
except after 30 days prior written notice has been given to the City, except when 
cancellation is for non-payment of premium, then ten days prior notice may be given.  
Such notice shall be sent directly to Chandler Law-Risk Management Department, Post 
Office Box 4008, Mailstop 628, Chandler, Arizona  85225. If any insurance company 
refuses to provide the required notice, the Contractor or its insurance broker shall notify 
the City of any cancellation, suspension, non-renewal of any insurance within seven days 
of receipt of insurers’ notification to that effect.  
 
A. 
City as Additional Insured.  The policies are to contain, or be endorsed to contain, the 
following provisions: 
 
1. The Commercial General Liability and Automobile Liability policies are to contain, or be 
endorsed to contain, the following provisions:  The City, its officers, officials, agents, and 
employees are additional insureds with respect to liability arising out of activities 
performed by, or on behalf of, the Contractor including the City's general supervision of 
the Contractor; Products and Completed operations of the Contractor; and automobiles 
owned, leased, hired, or borrowed by the Contractor. 
 
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2.  The City, its officers, officials, agents, and employees must be additional insureds to the 
full limits of liability purchased by the Contractor even if those limits of liability are in 
excess of those required by this Agreement. 
 
 
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EXHIBIT D TO AGREEMENT 
SPECIAL CONDITIONS 
 
ACCESS TO SECURED FACILITIES 
 
Contract Worker Access Controls, Badge and Key Access Requirements. A Contract Worker shall not be 
allowed to begin work in any City facility without: (A) The prior completion and the City's acceptance of the 
required background screening; and (B) when required, the Contract Worker's receipt of a City issued 
badge. A badge will be issued to a Contract Worker solely for access to the City facility(s) to which the 
Contract Worker is assigned. Each Contract Worker who enters a City facility must use the badge issued to 
the Contract Worker. Any and all fees associated with security badging will be assessed in compliance with 
Chandler City Code §4-22. 
 
Key Access Procedures. If the Contract Worker's services require keyed access to enter a City facility(s), a 
separate key issue/return form must be completed and submitted by Contractor for each key issued. 
 
Stolen or Lost Badges or Keys. Contractor shall report lost or stolen badges or keys to the City immediately. 
A new badge application or key issue form shall be completed and submitted along with payment of the 
applicable fees prior to issuance of a new badge or key. 
 
Return of Badges or Keys. All badges and keys are the property of the City and must be returned to the City 
within one business day of when the Contract Worker's access to a City facility is no longer required to 
furnish the services under this Agreement. Contractor shall collect a Contract Worker's badge and key(s) 
upon the termination of the Contract Worker's employment; when the Contract Worker's services are no 
longer required at the particular City facility(s); or upon termination, cancellation or expiration of this 
Agreement. 
 
Contractor's default under this Section shall include, but is not limited to the following: (1) Contract Worker 
gains access to a City facility(s) without the proper badge or key; (2) Contract Worker uses a badge or key 
of another to gain access to a City facility; (3) Contract Worker commences services under this Agreement 
without the proper badge, key or Background Screening; (4) Contract Worker or Contractor submits false 
information or negligently submits wrong information to the City to obtain a badge, key or applicable 
Background Screening; or (5) Contractor fails to collect and timely return Contract Worker's badge or key 
upon termination of Contract Worker's employment, reassignment of Contract Worker to another City 
facility or upon the expiration, cancellation or termination of this Agreement. Contractor acknowledges 
and agrees that the access control, badge and key requirements in this Section are necessary to preserve 
and protect public health, safety and welfare. Accordingly, Contractor agrees to properly cure any default 
under this Section within three business days from the date notice of default is sent by the City. The parties 
agree that Contractor's failure to properly cure any default under this Section shall constitute a breach of 
this Section. In addition to any other remedy available to the City at law or in equity, Contractor shall be 
liable for and shall pay to the City the sum of $1,000.00 for each breach by Contractor of this Section. The 
parties further agree that the sum fixed above is reasonable and approximates the actual or anticipated 
loss to the City at the time and making of this Agreement in the event that Contractor breaches this Section. 
Further, the parties expressly acknowledge and agree to the fixed sum set forth above because of the 
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difficulty of proving the City's actual damages in the event that Contractor breaches this Section. The parties 
further agree that three breaches by Contractor of this Section arising out of any default within a 
consecutive period of three months or three breaches by Contractor of this Section arising out of the same 
default within a period of 12 consecutive months shall constitute a material breach of this Agreement by 
Contractor and the City expressly reserves all of its rights, remedies and interests under this Agreement, 
at law and in equity including, but not limited to, termination of this Agreement. 
 
1. Contractor and Subcontractor Worker Background Screening. Contractor agrees that all 
contract workers and subcontractors (collectively "Contract Worker(s)") that Contractor furnishes 
to City under this Agreement will be subject to background and security checks and screening as 
set forth in this Section (collectively "Background Screening") at Contractor’s sole cost and expense. 
As part of the Background Screening, Contractor must provide to a person designated by the City 
the name(s), address(es), and phone number(s) of all Contract Workers who will provide any 
services under this Agreement. All Contract Workers must comply with these Background 
Screening requirements. All Contract Workers must be able to provide proof of the legal right to 
work in the United States. The Background Screening provided by Contractor must comply with all 
applicable laws, rules, and regulations. Contractor further agrees that the Background Screening 
required in this Section is necessary to preserve and protect public health, safety, and welfare. The 
Background Screening requirements set forth in this Section are the minimum requirements for 
this Agreement. City in no way warrants that these minimum requirements are sufficient to protect 
Contractor from any liabilities that may arise out of Contractor’s services under this Agreement or 
Contractor’s failure to comply with this Section. Therefore, in addition to the specific measures set 
forth below, Contractor and its Contract Workers must take such other reasonable, prudent, and 
necessary measures to further preserve and protect public health, safety, and welfare when 
providing services under this Agreement. 
 
2. Background Screening Requirements and Criteria. Before offering or scheduling any services 
under this Agreement, Contractor agrees that all Contract Workers, including the Contractor, if the 
Contractor is an individual or sole proprietorship, must have successfully passed a Background 
Screening in accordance with this Section. Contractor warrants that no person will be permitted 
to substitute for a Contract Worker who has satisfied the Background Screening requirements until 
the proposed substitute has also satisfied the Background Screening requirements in this Section. 
For review and approval, Contractor must submit to a person designated by the City proof of a 
completed Background Screening for each Contract Worker over the age of 18 performing services 
under this Agreement no fewer than two (2) weeks before the proposed start date of such Contract 
Worker’s services. The Background Screening must have been completed within the 12-month 
period preceding the Contract Worker’s start date under this Agreement and must include the 
results of a national criminal databased check with source verification, and a sex offender 
database search.  
 
3. Additional City Rights Regarding Security Inquiries. In addition to the foregoing, City reserves 
the rights but not the obligations to: (1) have a Contract Worker be required to provide fingerprints 
and execute such other documentation as may be necessary to obtain criminal justice information 
pursuant to A.R.S. § 41-1750(G)(4); (2) act on newly acquired information whether or not such 
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information should have been previously discovered; (3) unilaterally change its standards and 
criteria relative to the acceptability of Contract Workers; and (4) object, at any time and for any 
reason, to a Contract Worker performing work (including supervision and oversight) under this 
Agreement. 
 
4. Contractor Certification. By executing this Agreement, Contractor certifies that Contractor has 
read and understands the Background Screening requirements and criteria in this Section and will 
fully comply with such requirements. Contractor further certifies that any Background Screening 
information to be furnished to City related to Contractor or its Contract Workers will be complete, 
current, and accurate. A Contract Worker rejected for work under this Agreement will not be 
proposed to perform work under other City contracts or engagements without City's prior written 
approval. 
 
5. Terms of This Section Applicable to all of Contractor’s Contracts and Subcontracts. 
Contractor must include the terms of this Section for Contract Worker Background Screening in all 
contracts and subcontracts for services furnished under this Agreement including, but not limited 
to, supervision and oversight services. 
 
6. Materiality of Background Screening Requirements: Indemnity. The Background Screening 
requirements of this Section are material to City's entry into this Agreement and any breach of this 
Section by Contractor will be deemed a material breach of this Agreement. In addition to the 
indemnity provisions set forth in this Agreement, Contractor must defend, indemnify, and hold 
harmless City for any and all Claims arising out of this Background Screening Section including, 
but not limited to, the disqualification of a Contract Worker by Contractor or City for failure to 
satisfy this Section. 
 
7. Continuing Duty, Audit. Contractor’s obligations and requirements that Contract Workers satisfy 
this Background Screening Section will continue throughout the entire term of this Agreement. 
Contractor must notify City immediately of any change to a Background Screening of a Contract 
Worker previously accepted by City. Contractor must maintain all records and documents related 
to all Background Screenings and City reserves the right to audit Contractor’s compliance with this 
Section under the terms of this Agreement. 
 
 
 
 
 
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HOUSING EXHIBITS AND ATTACHMENTS / EXHIBITS  
 
SITE MAPS  
 
 
 
 
 
EXHIBIT  E  
 
 
WAGE DECISION  
 
 
 
 
EXHIBIT  F  
 
 
HUD FORM INSTRUCTIONS  
 
 
 
 
EXHIBIT  G 
 
 
 
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EXHIBIT E 
SITE MAP 
 
 
 
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EXHIBIT F 
WAGE DECISION 
 
"General Decision Number: AZ20240001 01/19/2024 
 
Superseded General Decision Number: AZ20230001 
 
State: Arizona 
 
Construction Type: Residential 
 
County: Maricopa County in Arizona. 
 
RESIDENTIAL CONSTRUCTION PROJECTS (consisting of single family 
homes and apartments up to and including 4 stories). 
 
Note: Contracts subject to the Davis-Bacon Act are generally 
required to pay at least the applicable minimum wage rate 
required under Executive Order 14026 or Executive Order 13658. 
Please note that these Executive Orders apply to covered 
contracts entered into by the federal government that are 
subject to the Davis-Bacon Act itself, but do not apply to 
contracts subject only to the Davis-Bacon Related Acts, 
including those set forth at 29 CFR 5.1(a)(1). 
 
______________________________________________________________ 
|If the contract is entered    |. Executive Order 14026      | 
|into on or after January 30,  |  generally applies to the   | 
|2022, or the contract is      |  contract.                  | 
|renewed or extended (e.g., an |. The contractor must pay    | 
|option is exercised) on or    |  all covered workers at     | 
|after January 30, 2022:       |  least $17.20 per hour (or  | 
|                              |  the applicable wage rate   | 
|                              |  listed on this wage        | 
|                              |  determination, if it is    | 
|                              |  higher) for all hours      | 
|                              |  spent performing on the    | 
|                              |  contract in 2024.          | 
|______________________________|_____________________________| 
|If the contract was awarded on|. Executive Order 13658      | 
|or between January 1, 2015 and|  generally applies to the   | 
|January 29, 2022, and the     |  contract.                  | 
|contract is not renewed or    |. The contractor must pay all| 
|extended on or after January  |  covered workers at least   | 
|30, 2022:                     |  $12.90 per hour (or the    | 
|                              |  applicable wage rate listed| 
|                              |  on this wage determination,| 
|                              |  if it is higher) for all   | 
|                              |  hours spent performing on  | 
|                              |  that contract in 2024.     | 
|______________________________|_____________________________| 
 
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The applicable Executive Order minimum wage rate will be 
adjusted annually. If this contract is covered by one of the 
Executive Orders and a classification considered necessary for 
performance of work on the contract does not appear on this 
wage determination, the contractor must still submit a 
conformance request. 
 
Additional information on contractor requirements and worker 
protections under the Executive Orders is available at 
http://www.dol.gov/whd/govcontracts. 
 
 
Modification Number     Publication Date 
          0              01/05/2024 
          1              01/19/2024 
 
 BRAZ0003-007 07/01/2023 
 
                                  Rates          Fringes 
 
BRICKLAYER.......................$ 32.74             9.52 
 
ZONE PAY:  
 
  (Radius miles from the intersection of Central Ave. and 
  Washington St., Phoenix, AZ) 
 
Zone A: 0-60 miles- Base Rate 
Zone B: 61-75 miles- Base Rate plus $2.00 per hour 
Zone C: 75-100 miles- Base Rate plus $3.00 per hour 
Zone D: 101-200 miles- Base Rate plus $3.50 per hour 
Zone E: Over 200 miles- Base Rate plus $6.50 per hour 
 
---------------------------------------------------------------- 
 ENGI0428-005 06/01/2022 
 
                                  Rates          Fringes 
 
POWER EQUIPMENT OPERATOR    
(Grader/Blade)...................$ 34.49            12.57 
---------------------------------------------------------------- 
* IRON0075-008 10/01/2023 
 
                                  Rates          Fringes 
 
IRONWORKER, STRUCTURAL...........$ 32.00            18.91 
---------------------------------------------------------------- 
 PLAS0394-006 07/01/2019 
 
                                  Rates          Fringes 
 
CEMENT MASON/CONCRETE FINISHER...$ 25.08             8.57 
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---------------------------------------------------------------- 
*  SUAZ2011-001 07/28/2011 
 
                                  Rates          Fringes 
 
ALARM INSTALLER, Includes    
Wiring and Installation..........$ 13.91 **          0.00 
   
CARPENTER, Excludes Drywall    
Hanging, and Form Work...........$ 18.16             0.00 
   
DRYWALL HANGER...................$ 15.00 **          0.58 
   
ELECTRICIAN, Excludes Low    
Voltage Wiring and    
Installation of Alarms...........$ 15.45 **          0.01 
   
FORM WORKER......................$ 14.37 **          0.00 
   
GLAZIER..........................$ 13.45 **          0.00 
   
HVAC MECHANIC (Installation    
of HVAC Duct)....................$ 15.36 **          0.00 
   
LABORER:  Common or General......$ 10.18 **          0.00 
   
LABORER:  Grade Checker..........$ 16.83 **          0.45 
   
LABORER:  Mason Tender - Brick...$ 12.77 **          0.00 
   
LABORER:  Mason Tender -    
Cement/Concrete/Stone............$ 11.00 **          0.00 
   
LABORER:  Pipelayer..............$ 13.00 **          0.00 
   
OPERATOR:  Backhoe...............$ 18.29             0.00 
   
OPERATOR:  Excavator.............$ 24.67             0.00 
   
OPERATOR:  Forklift..............$ 16.17 **          0.00 
   
OPERATOR:  Loader (Front End)....$ 15.00 **          0.00 
   
OPERATOR:  Paver  (Asphalt,    
Aggregate, and Concrete).........$ 20.75             0.00 
   
OPERATOR:  Roller................$ 16.24 **          1.42 
   
OPERATOR:  Scraper...............$ 19.20             1.52 
   
OPERATOR:  Tractor...............$ 22.63             0.00 
   
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PAINTER:  Brush, Roller and    
Spray, Excludes Drywall    
Finishing/Taping.................$ 12.89 **          0.00 
   
PLUMBER..........................$ 20.14             4.08 
   
ROOFER...........................$ 13.67 **          0.00 
   
SPRINKLER FITTER (Fire    
Sprinklers)......................$ 17.73             0.00 
   
TRUCK DRIVER:  Dump Truck........$ 17.02 **          0.00 
   
TRUCK DRIVER:  Water Truck.......$ 14.50 **          0.00 
---------------------------------------------------------------- 
 
WELDERS - Receive rate prescribed for craft performing 
operation to which welding is incidental. 
 
================================================================ 
 
** Workers in this classification may be entitled to a higher 
minimum wage under Executive Order 14026 ($17.20) or 13658 
($12.90).  Please see the Note at the top of the wage 
determination for more information. Please also note that the 
minimum wage requirements of Executive Order 14026 are not 
currently being enforced as to any contract or subcontract to 
which the states of Texas, Louisiana, or Mississippi, including 
their agencies, are a party. 
 
Note: Executive Order (EO) 13706, Establishing Paid Sick Leave 
for Federal Contractors applies to all contracts subject to the 
Davis-Bacon Act for which the contract is awarded (and any 
solicitation was issued) on or after January 1, 2017.  If this 
contract is covered by the EO, the contractor must provide 
employees with 1 hour of paid sick leave for every 30 hours 
they work, up to 56 hours of paid sick leave each year. 
Employees must be permitted to use paid sick leave for their 
own illness, injury or other health-related needs, including 
preventive care; to assist a family member (or person who is 
like family to the employee) who is ill, injured, or has other 
health-related needs, including preventive care; or for reasons 
resulting from, or to assist a family member (or person who is 
like family to the employee) who is a victim of, domestic 
violence, sexual assault, or stalking.  Additional information 
on contractor requirements and worker protections under the EO 
is available at 
https://www.dol.gov/agencies/whd/government-contracts. 
 
Unlisted classifications needed for work not included within 
the scope of the classifications listed may be added after 
award only as provided in the labor standards contract clauses 
(29CFR 5.5 (a) (1) (iii)). 
 
 
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HUD FORMS INSTRUCTIONS 
(These forms, where applicable, must be read, completed, signed, and submitted by the 
Selected Bidder) 
 
FORM HUD-51915-A (Contract Provisions Required by Federal Law or Owner Contract with 
HUD.)   
 
 
FORM HUD-4010  Federal Labor Standard Provisions    
 
 
Contractor will read, and follow these provisions. 
 
 
FORM HUD-5369  Instructions to Bidders for Contracts / Public & Indian Housing Programs    
 
 
Contractor will read and be familiar for Public Housing Contracts. 
 
 
FORM HUD-5369-A  Representations, Certifications, and Other Statements of Bidders)    
 
 
Contractor will read, check applicable boxes, sign, date, and submit. 
 
 
FORM 5370  General Conditions for Construction Contracts – Public Housing (Contract 
Greater Than  
$100,000)    
 
 
Contractor must read, and follow these provisions. 
 
 
SECTION 3 REQUIREMENTS     
 
 
Contractor must read, fill out, sign, and submit.  Contractor must provide a 
completed and signed copy of this form for themselves and any sub-contractor working on this 
project. 
 
 
 
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