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5 - FY 2009/10 Street Repair and Resurfacing ProjectgawN of MEETING DATE: 08/02/10 .~%;= ITEM i'd0: ,~~14r `~~~~'v ~ !ps'~G~A:~as COUNCIL AGENDA I2EPC3RT DATE: JULY' 22, 2010 TO: MAYOR AND TOV~TN COUNCIL ~ ~- FROM: GREG L,ARSON, TOWN MANAGER SUBJECT: PPW JOB NO. 09-1 OC - FY 2009/:10 .STREET REPAIR AND RESURFACING PROJECT 811-9901 A. AUTHORIZE TIIE TOWN MANAGER TO EXECUTE A CONSTRUCTION CONTRACT WITH INTERMOUNTAIN IN AN AMOUNT NOT TO EXCEED $1,725,121. B. AUTHORIZE STAFF TO EXECUTE FUTURE CHANGE ORDERS TO THE CONSTRUCTION CONTRACT AS NECESSARY IN AN AMOUNT NOT TO EXCEED $200,000. RECOMMENDATION: 1. Authorize the Town Manager to execute a construction contract with Intermountain in an amount not to exceed $1,725,121. 2. Authorize staff to execute future change orders to the construction contract as necessaly in an amount not to exceed $200,000. BACKGROUND: The adopted Capital Improvement Program designates funding for the Street Repair and Resurfacing Program. This is an aiuzual project for street rehabilitation tluoughout the Town to enhance vehicular safety and maintain the Town's roadway infrastructure. The Town's street program. is evaluated and managed using the Pavement Management System (PMS) program. This PMS program is produced and distributed by the I~~Ietropolitan Transportation Conunission (MTC). Furthermore, it is mandated that all Ba.y Area nnulicipalities utilize this program. The purpose of the program is to document and monitor street pavement conditions tluougliout the Bay Area roadways. This progralil gives an individual score known as the Pavement Condition Index (PCI) to each street being evaluated.- The MTC allocates grant funds based on the PMS prog~ data. ~~~ ~~~ PREPARED BY; TODD CAPURSO Director of Parks and Public ~~i~orks .._...__ _ ..~,.~ .. .~_..._~....__..~._ ...~...___ z.,_._~,._. Reviewed by ~`,~_Assistant Town Manages ~~'own Attorney Cleric Administrator k'Inanee Community Development N:';PPVc\NIANAGEN(ENT\COUNCIL\COU?vCIL REPORTS\2010 Reports\August 2\09-lOC.FY2009-10.street.resurface.clpe.seaLawvd.doc PAGE 2 JULY 22, 2010 MAYOR AND TOWN COUNCIL SUBJECT: PPW JOB NO. 09-1 OC - FY 2009/10 STREET REPAIR AND RESUP~'ACING PROJECT 411-811-9901 DISCUSSION; At the I\~Iay 17, 2010 Town Council meeting, staff provided detailed information regarding the process of street selection, as well as staff's investigation of several options for street resurfacing. StafF recommended the .use of the Rubberized Asphalt Concrete (RAC) Cape Seal process as an alternative to t11e more conventional Asphalt Concrete (AC) overlay. The RAC Cape Seal process is the application of a rubber chip seal followed by an application of a slurry seal for final surfacing. This results in a thin pavement surfacing that provides improved resistance to reflective cracking and a better overall vehicular ride. This strategy also provides significant cost savings when compared to conventional overlay strategies. This application has a life expectancy of approximately ten years. Chip seal applications have long been an accepted method to extend the useful life of streets. These applications are used to seal the pavement, provide an improved skid resistance, and extend the pavement life. IIowever, when using conventional binders and most polymer modified binders, the pavement must be relatively crack free or require significant surface preparation prior to placement of the binders in order to obtain an adequate service life. Because an RAC binder has the unique property of resisting. reflection craelting, the surface preparation prior to placement of asphalt rubber chip seals is significantly reduced or even eliminated in most cases, malting it even more cost-effective than other comparable methods. At the same Town Council. meeting held May 17, 2010, the Town Council approved plans and specifications for this project and authorized staff to advertise the project for bids. On June 16, 2010, two bids were received for this project. These bids were significantly above the project cost estimate. As recommended by staff at the Town Council meeting held on June 21, 2010, the. Town Council rejected the bids and authorized staff to re-advertise the project. Staff has since refined the scope of wont and specifications to provide a higher level of clarity for potential contractors as to the product and resurfacing treatment the Town is specifying. After the revisions were made., the project bid documents were re-advertised in accordance with Town policy and guidelines. On July 21, 2010, four bids were received for this project (Attaclunent 2, Bid Stunmary). Staff reviewed. the bids and determined that Intermountain is the- most responsible entity and is responsive to the To~~~n's formal bid process. .PAGE 3 JULY 22, 2010 MAYOR AND TOVdN COUNCIL SUBJECT: PP~~~ JOB NO. 09-1 OC - FY 2009/10 STREET REPAIR AND RESURFACING PROJECT 411-811-99D1 CONCLUSION; Staff recommends that the Town Council authorize the To«m Manager to execute a construction contract with Intermountain (Attaclunent 1) .in an amount not to exceed $1,72,121. Additionally, due to the variables associated with this Particular type of construction, and due to unforeseen circumstances during the course of construction, it is filrther recommended that the Town Council authorize staff to execute future change orders to the construction contract as necessary in an amount not to exceed $200,000 for additional quantities of work that may exceed those included in the contract. ENVIRONMENTAL ASSESSMENT: This is a project as defined under CEQA but is Categorically Exempt (Section 15301c). A Notice of Exemption will not be filed. FISCAL IMPACT: There are sufficient funds available for this project as demonstrated in the table below. ~. s~Ttrl.-rirp~~llz aiD„ItL~'~i>zr~ci~c 1>>io~ rc~; ~i i ;9~~, ~ ~ LrpendecU Eipended/ Prolwsetl FY2009/10 Encumbered Remaining F1'2010/11 Fi~cumbered Contract ~~;iilaldc FY201-0/11Fisenllmlxut Budget ToDnte CarryFor~rurd BucMet ToDs~te Amount -L':~lancc GEAR $ 1,697,509 $ 62;617 $ 1,634,892 $ 599,200 $ 25,000 $ 1,833;121 •;, $ 375;971,;: GAS TAt 335,601 743,203 92,398 500,000 - 92,000 ' X00;395:-. TOTALS $ 2,533,110 S 805,820 5 1,727,290 5 1,099,200 51,925,121 ~ 876,36).,; TO,r•AL,)+;~PL;Vn11URL.5:'Ry ~ C 1TF,(,,(?lll _ ~ ,. .:. „ Construction 5 1.,725,121 Contingency 200,000 TOTALS 5 1,925,121 Attaclunents: 1. Construction Contract 2. Bid Sunnnary THIS PAGE INTENTIONALLY LEFT BLANK Attachment 1 ~®~TR1~CT This Agreement is dated for identification this 2"d day of August, 2010, and is made by and between the TOWN OF LOS GATOS, a California municipal corporation, whose address is 110 East Main .Street, Los Gatos, California 95030 (hereinafter "TOWN"), and INTERMOUNTAIN, whose address is 1851 Bell Avenue, Sacramento, CA 95538 (hereinafter "CONTRACTOR"). NOW, THEREFORE, the parties agree: ARTICE L WORK TO BE DONE AND DOCUMENTS FORMING TIE CONTRACT. That for .and in consideration of the payments and agreements hereinafter mentioned, to be made and performed by the said TOWN, and under the conditions expressed in the two bonds hereunto annexed, the said CONTRACTOR agrees with the said TOWN, at his own proper cost and expense, to do all the work and furnish all the materials and equipment necessary to construct and complete, in accordance with the plans and specifications hereinafter mentioned, in a good, worlcmanlilce and substantial manner, under the supervision of the Town Engineer, or his representative, of the TOWN OF LOS GATOS, California, all the works and improvements described, mentioned and set forth in those plans and specifications on file in the Office of the Parks and Public Works Department of said TOWN, entitled: "Plans and Specifications for FY .2009/10 Street Repair and Resurfacing Project Cape Seal" which said plans and specifications and all the documents therein .contained, including the TOWN OF :LOS GATOS's Standard Provisions, are hereby specially referred to and by such reference made part of this contract. ARTICLE II: CONTRACTOR'S ACCEPTANCE CONTRACTOR agrees to receive and accept the prices shown on Exhibit "A," which is attached hereto and incorporated by reference herewith, as full compensation for furnishing all materials and equipment and for doing all t11e work described in the contract documents; also for all loss or damage as provided in the contract documents in the prosecution of the work until its acceptance by the Town Council of the TOWN OF LOS GATOS, and .for well and faithfully completing the work, and the whole thereof, in the manner and according to the contract documents, plans and specifications, and the requirements of the Town Engineer. The TOWN shall day the CONTRACTOR (One Million Seven-hundred-twenty-five Thousand One- hundred-twenty-one Dollars) $1,725,121, which shall supersede any other amount specified in the Contract Documents. ARTICLE III: ACCEPTANCE BY TOWN The said TOWN hereby promises and agrees with the said CONTRACTOR to employ, and does hereby employ the said CONTRACTOR to provide the materials and to do the work according to the terms and conditions herein contained and referred to, for the prices aforesaid, and hereby contracts to pay the same at the time, in the manner and upon the conditions above set forth; and the said parties for themselves their heirs, executors,. administrators, successors and assigns, do hereby agree to the full performance of the covenants herein contained. ARTICLE IV: COMPLETION OF AGREEMI+;NT Reference is made to Section B.3 of the TOWN's Bid Form and which are hereby made a part of this contract. Inasmuch as .the work called for under this contract concerns a needed public improvement, the time of performance and completion of this. work is of the essence of this contract. It is expressly understood and' agreed by the parties hereto that all the work called for under this contract, in all its parts and requirements, shall be completed before August 27, 2010. ARTICLE V: HOURS OF LABOR The CONTRACTOR shall forfeit, as a penalty, to the TOWN,. Twenty-Five Dollars ($25) for each workman employed in the execution of the contract by him or by any subcontractor for each calendar day during which any workman is required or permitted to labor more than eight (8) hours in violation of the provisions of Sections 1810-1815 inclusive of the Labor Code and all amendments. thereto. ARTICLE VI: APPRENTICES Attention is directed to the provisions in Sections 1777.5, 1777.6 and 1777.7 of the Labor Code governing the employment of apprentices by the CONTRACTOR or any subcontractor under him. CONTRACTOR and any of his subcontractors shall comply with. the requirements of said sections of the Labor Code; CONTRACTOR shall have full responsibility for compliance with the said sections regardless of any other contractual or employment relationships alleged to exist. Information relative to apprenticeship standards and other requirements may be obtained from the Director of Industrial Relations ex officio the Administrator of Apprenticeship, San Francisco, California or from the Division of Apprenticeship Standards at its branch offices. ARTICLE VII: NONDISCRIMINATION The CONTRACTOR subrecipient or subcontractor shall not discriminate on the basis of race,. color, national origin or sex in the performance of this contract. CONTRACTOR shall carry out applicable requirements of 49 CFR Part 26 in the award and administration of DOT- assisted contracts. Failure by CONTRACTOR to carry out these requirements is a material breach of this contract, which may result in the termination of this contract or such other remedy as recipient deems appropriate. ARTICLE VIII: INDEPENDENT CONTRACTOR It is agreed that CONTRACTOR is an independent contractor, and all persons working for or under the direction of CONTRACTOR are CONTRACTOR's agents,. servants and employees, and said persons shall not be deemed agents, servants or employees of TOWN. ARTICLE IX: OWNERSHIP OF DATA AND DOCUMENTS CONTRACTOR agrees that all records, specifications, data, maps, designs, graphics, writings, recordings and other tangible materials regardless of form or format, including, without limitation, electronically transmitted documents and ACRD files, and other collateral materials collected, compiled, drafted, prepared, produced and/or generated in the performance of this Agreement shall be the property of TOWN. CONTRACTOR shall regularly provide such documents to TOWN upon TOWN's request. In the event that this Agreement is terminated prior to completion of the scope of work, CONTRACTOR shall provide all such data and documents to TOWN forthwith. ARTICLE X: INSURANCE a. Commercial General Liability/Automobile Liability Insurance: CONTRACTOR shall obtain and maintain Commercial General Liability insurance and Automobile Liability insurance in the amount of One Million Dollars ($1,000,000) per occurrence. If a general aggregate limit is used, either the general aggregate limit shall apply separately to this contract or the general aggregate limit shall be twice the required occurrence limit. CONTRACTOR'S insurance coverage shall be written on an occurrence basis. b. Workers' Compensation Insurance: CONTRACTOR shall obtain and maintain statutory Workers' Compensation insurance and Employer's Liability insurance in the amount of One Million Dollars ($1,000,000) per accident. CONTRACTOR is familiar with the Workers' Compensation laws of California (generally contained in Section 3700 of the Labor Code), including those provisions which provide for specific exemptions fi:om the requirement that all employers must carry Workers' Compensation insurance, and CONTRACTOR maintains they are exempted under the law from the requirement to maintain Workers' Compensation insurance coverage. In addition, during the term of any work for TOWN under said agreement: (I) CONTRACTOR will not employ any person in any manner so as to become subject to t11e Workers' Compensation laws of California, or (2) should CONTRACTOR become subject to the Workers' Compensation provisions of Section 3700 of the -Labor Code for any reason, CONTRACTOR shall forthwith comply with those provisions and send evidence of financial compliance to TOWN. c. Acceptability of Insurers: Insurance is to be placed with insurers with a current Best Rating of A:VII unless otherwise acceptable to TOWN. d. Verification of Coverage: Insurance, deductibles or self-insurance retentions shall be subject to TOWN's approval. Original Certificates of Insurance with endorsements shall be received and approved by TOWN before work commences, and insurance must be in effect for the duration of the contract. The absence of insurance or a reduction of stated limits shall cause all work on the project to cease. Any delays shall not increase costs to TOWN or increase the duration of the project. e. Other Insurance Provisions; (1) The TOWN OF LOS GATOS, its officers, officials, employees and volunteers are to be covered as additional insured by Endorsement CG 20 10 11 85 or other endorsement approved by Town Attorney for Commercial General and Automobile Liability coverage. (2) For any claims related to this project, CONTRACTOR's insurance coverage shall be primary and any insurance or self-insurance maintained by TOWN, its officers, officials, employees and volunteers shall not contribute to it. (3) Each .insurance policy required shall be endorsed that a thirty (30) day notice be given to TOWN in the event of cancellation or modification to the stipulated insurance coverage. (4) In the event CONTRACTOR employs subcontractors as part of the work. covered by this Agreement; it shall be the responsibility of CONTRACTOR to ensure that all subcontractors comply with the same insurance requirements that are stated in this Agreement. (5) Approval of the insurance by TOWN or acceptance of the Certificate of Insurance by TOWN shall. not relieve or decrease the extent to which CONTRACTOR. may be held responsible for payment of damages resulting from CONTRACTOR's services or operation pursuant to this Agreement, nor shall it be deemed a waiver of TOWN's rights to insurance coverage hereunder. (6) If, for any reason, CONTRACTOR fails .to maintain insurance coverage that is required pursuant to this contract,. the same shall be deemed a material breach of contract. TOWN, at its sole option, may terminate this contract and obtain damages from CONTRACTOR resulting from said breach. Alternately, TOWN may purchase such required insurance coverage, and without further notice to CONTRACTOR, TOWN may deduct from sums due to CONTRACTOR any premium costs advanced by TOWN for such insurance. ARTICLE XI: HOLD HARMLESS CONTRACTOR hereby agrees to ~ and shall hold TOWN, its elective and appointive boards, commissions, officers, agents, registered volunteers, and employees harmless from any liability for damage or claims for damage for personal injury,. including death, as well as from claims for property damage and any other claims of any sort whatsoever, including, but not . limited to, any liabilities, claims, losses, or expenses in any manner caused by, arising out of, or in connection with, either directly or indirectly, the construction or installation of the work, the guarding of the work, the use of improper. materials in construction of the work, or the negligent, willful, or intentional acts or omissions by CONTRACTOR or CONTRACTOR'S subcontractors, agents, or employee operations under .this Agreement, whether such operations by CONTRACTOR or by any of CONTRACTOR's subcontractors, or by any one or more persons directly or indirectly employed by, or acting as agent for CONTRACTOR or any of CONTRACTOR's subcontractors during the progress of the work or at any time before its. completion and final acceptance, excepting suits and actions brought by the CONTRACTOR for default of this Agreement or arising from the sole active negligence or willful misconduct of the TOWN. The Town Council may retain so much of the money due to the CONTRACTOR as shall be reasonably necessary to protect the TOWN, until disposition .has been made of such suits or claims for damages as aforesaid. CONTRACTOR agrees to and shall pay TOWN's cost of defense (or, at the sole option of the TOWN, CONTRACTOR shall defend with counsel approved by the TOWN Attorney) and indemnify TOWN and its. elective and appointive boards, commissions, officers, agents, and employees from any suits or actions at law or in equity arising out of the execution, adoption or implementation of this Agreement (exclusive of any such actions brought by CONTRACTOR), such indemnification to include all costs of defense, judgments, and any awards of attorneys' fees. Should any accident or incident causing death, personal injury or property damage occur between the date CONTRACTOR is notified that its General Liability and/or Workers Compensation Insurance is canceled .and the effective date of such cancellation, CONTRACTOR's obligation to indemnify, defend and save harmless the TOWN, as provided for hereinabove, shall in no mamler be affected by the fact that the TOWN had not received the notice of cancellation prior to the date of such accident or incident. ARTICLE XII: BONDING REQUIRElO~IENT CONTRACTOR agrees to post a Faithful Performance Bond and a payment bond for Labor and Materials, or other guarantees, in the required amounts upon bond forms provided by the TOWN, guarantying the performance of t11e terms of this Agreement: Surety issuing bonds for CONTRACTOR shall be approved by the U.S. Department of Treasury's Financial Management .Service and shall be listed on the most current Treasury Circular 570 as contained in the Federal Register. ARTICLE XIII: 1!!IAINTENANCE AND GUARANTY CONTRACTOR shall promptly repair, replace, restore, or rebuild, as the TOWN may determine, any finished product in which defects of materials or worl~nanship may appear or to which damage may occur because of such defects, during a one (1) year period subsequent to the date of final acceptance. This article does not in .any way limit the guaranty on any items for which a longer guaranty is specified or on any items which a manufacturer gives a guaranty for a longer period, nor does it limit the other remedies of the TOWN in respect to a latent defect, fraud or implied warranties. CONTRACTOR shall furnish the TOWN all appropriate guaranties or warranty certificates upon completion of the project. ARTICLE XIV: SHORING FOR TRENCIIES If the contract .specifies an expenditure of Twenty-Five Thousand Dollars ($25,000) or greater for trenching, and if the depth of the trench is five feet (5') or more, then Section 6705 of the Labor Code shall .also be applicable. ARTICLE. XV: APPLICABLE LAWS AND ATTORNEY'S FEES This Agreement shall be construed and enforced pursuant to the laws of the State of California. Should any legal action be brought by a party for breach of this Agreement or to enforce any provision herein, the prevailing party of such action shall be entitled to reasonable attorneys' fees, court costs, and such other costs as may be fixed by the court. Reasonable attorneys' fees of the TOWN Attorney's Office, if private counsel is not used, shall be based on comparable fees of private attorneys practicing in Santa Clara County. ARTICLE XVI: INTERPRETATION OF CONTRACT It is further expressly agreed by and between the parties hereto that should there be any conflict between the terms of this instrument and the bid or proposal of said CONTRACTOR, then this instrument shall control and nothing herein shall be considered as an acceptance of the said terms of said proposal conflicting herewith. ARTICLE XVII: AMENDMENTS AND CHANGE' ORDERS This Agreement may be amended from time to time as necessary by formal and written atnendinent or authorized change order executed by the Town Manager or designee and principal acting on behalf of the CONTRACTOR. ARTICLE XVIII: DBE RESPONSIBILITIES For projects that are State or Federal funding; With respect to Disadvantaged Business Enterprises, CONTRACTOR shall do t11e following: (1) Pay each subcontractor under this prime contract for satisfactory performance of its contract no later than ten (10) days from the receipt of each payment the prime contractor receives from TOWN. Any delay or postponement of payment from t11e above-referenced time frame may occur only for good cause following written approval of TOWN. This clause applies to both DBE and non-DBE subcontractors. (2) Release all retainage owed to a subcontractor for satisfactory completion of the accepted work within thirty (30) days after TOWN's payment to CONTRACTOR. Ai7y delay or postponement of payment from the above-referenced time frame may occur. only for good cause following written approval of TOWN. This clause applies to both DBE and non-DBE subcontractors. ARTICLE XIX: PREVAILING WAGES Reference is hereby made to copies of the general rate of per diem wages as determined by the Director of the Department of Industrial Relations on file in the Department of Parlcs and Public Worlcs, TOWN OF LOS GATOS, Town Hall, which are available to any interested party. For failure to pay the prevailing wages, the CONTRACTOR shall forfeit, as a penalty, to the TOWN, Fifty Dollars ($50) for each workman for each calendar day or portion thereof who is paid less than the stipulated prevailing wage for work done under this contract, in violation of t11e provisions of the Labor Code, Sections 1770 to 1780, inclusive. In addition to said penalty, the CONTRACTOR, or subcontractor, shall pay to each worker the difference between the prevailing wage and the amount paid to said worker for each calendar day for which said worker. was paid less then the prevailing wage. CONTRACTOR shall comply with the provisions of the Davis-Bacon Act, as amended (40 USC 276x-376a-5), and related requirements as certified in CONTRACTOR's bid proposal. ARTICLE XX: ENTIRE AGREEMEI~IT This Agreement contains the entire understanding between the parties with respect to the subject matter herein. There are no representations, agreements or understandings (whether oral or written) between or among the parties relating to the subject matter of this Agreement which are not fully expressed herein. ARTICLE ~I: PUBLIC RECORDS The parties recognize and aclalowledge that TOWN is subject to the California Public Records Act, California Government Code Section 6250 and following. Public records. are subject to disclosure. ARTICLE XXTI: 1~OTICES Any notice required to be .given to CONTRACTOR shall be deemed to be duly and properly given if mailed to CONTRACTOR, postage prepaid, addressed to: INTERMOUNTAIN 1851 Bell Avenue Sacramento, CA 95838 or personally delivered to CONTRACTOR at such address or at such other addresses as CONTRACTOR may designate in writing to TOWN. Any notice required to be given TOWN shall be deemed to be duly and properly given if mailed to TOWN, postage prepaid, addressed to: Kevin Rohani, P.E. Town Engineer TOWN OF LOS GATOS 41 Miles Avenue Los Gatos, CA 95030 or personally delivered to TOWN at such address or at such other addresses as TOWN nay designate in writing to CONTRACTOR. ARTICLE XXIII: SECTIOI~T 7106 FORM Attached to the Agreement is a fully executed and sworn non-collusion affidavit as required by Section 7106 of the California Public Contracts Code. Said affidavit is incorporated herein by this reference. IN WITNESS WHEREOF, the parties to these presents have hereunto set their hands 'the year acid date first written above. APPROVED AS TO CONTENT: TOWN OF LOS GATOS by: Greg Larson, Town Manager INTERMOUNTAIN by: (Print Name) Recommended by: Todd Capurso, Director Parks and Public Worlcs APPROVED AS TO FORM: Michael Martello, Interim Town Attorney Attest: Jackie Rose, Clerk Administrator Address: Tax ID No. or SSAN: (Signature). (Title) Corporate Seal CONTRACTOR'S BOND FOR LABOR AND MATERIAL KNOW ALL MEN BY THESE PRESENTS: That as Principal, and incorporated under the laws of the State of California and authorized to execute bonds and undertakings as Surety, are held and firmly bound unto any and all materialmen, persons, companies or corporations furnishing materials, provisions, provender or other supplies used in, upon, for or about the performance of the work contracted to be executed or performed under t11e contract hereinafter mentioned, and all persons, companies or corporations renting implements or machinery, or hiring crews, for or contributing to said work to be done, and all persons who perform work or labor upon the same, and all persons who supply both work and materials, and whose claim has not been paid by the contractor, company, or corporations in the just and full sum of One Million Seven-hundred-twenty-five Thousand One-hundred-twenty-one Dollars ($1,725,121), for the payment whereof, well and truly to be made, said Principal and Surety bind themselves, their administrators, successors and assigns, jointly and severally firmly by these presents. The condition of the foregoing obligation is such that; WHEREAS, the above-bounden Principal has entered into a certain contract attached hereto and incorporated herein by reference as though fully set forth, with the TOWN OF LOS GATOS, to do and perform the following work; to wit: Los .Gatos Library as required by the plans and specifications, pursuant to the award made to said contractor by the Council of the TOWN OF LOS GATOS, on June 21, 2010, as will .more fully appear by reference to the minutes of said Council of said TOWN of said date. NOW, THEREFORE, if the above-bounden Principal, contractor, person, company, or corporatiori, or his agent, or the subcontractors, fails to pay for any materials, provisions, provender, or other supplies, or crews used in, upon, for, or about the performance of the work contracted to be done, or for any work or labor done thereon of any kind, or for amounts due under the Unemployment Insurance Act- with respect to such work or labor, or for any amount required to be deducted, withheld, and paid over to Franchise Tax Board, from the wages of employees of the contractor or subcontractor, pursuant to Section 18806 of the Revenue and Tax Code, then the Surety of this bond will also pay the same in an amount not exceeding the sum specified in the bond; and also, in case suit is brought upon this bond, a reasonable attorney's fee, which shall be awarded by the court to the prevailing party in said suit, said attorney's fee to be taxed as costs in said suit and to be included in the judgment therein rendered. The surety hereby stipulates and agrees that no change, extension of time, alteration or addition to the terms of the agreement or to the work to be performed thereunder or to the specifications accompanying the same shall in any way affect its obligation on this bond and it does hereby waive notice of any such change, extension of time, alteration or addition to the terms of the agreement or to the work or to the specifications. This bond is executed and filed to comply with the provisions of Sections 3247, et seq., of the Civil Code. Signed and sealed this. day of , 2010. BY: BY: CONTRACTOR SURETY (Address and Phone No.) (CORPORATE SEAL) (SURETY SEAL) CONTRACTOR'S BOND FOR FAITHFUL PERFORMANCE KNOW ALL MEN BY THESE PRESENTS: That as Principal, and incorporated under the laws of the State of California, and authorized to execute bonds and undertakings as Surety, are held firmly bound unto the TOWN OF LOS GATOS, a municipal corporation of the State of California, iri the sum of One Million Seven-hundred-twenty-five 'Thousand One-hundred-twenty-one Dollars (1,725,121), for payment whereof, well and truly to be made, said Principal and Surety bind themselves, their administrators, successors and assigns, jointly and severally, firmly by these presents. The condition of the foregoing obligation is such that: WHEREAS, the above-bounden Principal has entered into a certain contract attached hereto and incorporated herein by reference as though fully set forth, with the TOWN OF LOS GATOS, to do and perform the following work; to wit: Los Gatos Library as required by the plans and specifications, pursuant to the award made to said contractor by the Council of the TOWN OF LOS GATOS, on June 21, 2010, as will more fully appear by reference to the minutes of said Council of said date. The surety hereby stipulates and agrees that no change, extension of time, alteration or addition to the terms of the agreement or to the work to be performed thereunder or to the specifications accompanying the same shall in any way affect its obligation on this bond and it does hereby waive notice of any such change, extension of tune, alteration or addition to the terms of the agreement or to the work or to the specifications. NOW, TPIEREFORE, if the above-bounden Principal shall well and truly perform t11e work contracted to be performed under said contract, then this obligation shall be void; otherwise, to remain in full force and effect. Signed and sealed this day of , 2010. BY; CONTRACTOR BY: SURETY (Address and Phone No.) (CORPORATE SEAL) (SURETY SEAL) V A V 0 ~u ~ ~ CS' ,L ~ O ~ N ~ N „dam ,,, h v ~ ~ ~ ~ ~ o ~ ~' 'M~ d ~'W ~ ~ ~ ~ e{W ~ n~ ~ ~ H a° ~ ~ o ° d O E° ~ U O 0 0 N D O O O. p O 0 0 O O r c U ' o 00 °o p r N m N o CD O M O o om rn ~ w c ~. rn o 0 0 ~ M (A O p ~ •~ ~ M (00 V V (V ~ N N t(). 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O r N V O- . O M r N d .~ N U ` •~ 0 0 0 0 0 0 0 0 0 O 0 0 ~ 0 0 0 t ~ V 0 0 0 M p O _~ O O O t in 0 0 'T 0 0 --.- ,+~ - O O O O a r In V O A O - ,~ ~ iu O O `n N v ~ N ~ O "' m J J J (j Cn W W ~ (n J W O O O K e r r lf7 O Q W 0 O ~ ~ ~ m p N N M N N p ~ ~ _ ~ n y m ~ ~ ? C . ~ a L • ~ ~ rn J rn ~ ~ ~ Z U ~ gy - N ~ .,~'., xS ~ , p 7 Y fQ U fA N C N (U ~ LA ~ C U N (U ~ C . O ~ ro fl t 7 j { n 1~ t °- o q~f . U j m N m o ~ d ~ a m ~m U o ~ > c ~ ~ ~ to m E ~ . rn a m o v ^ ~ ~ r= a n t ~ ~ ' m ~ ~ n "" . ~~ q ~ ~ ~ ~` ~ a Q a ¢ Z ~ ~ N M ~ ,~ ° r o rn o •- w O O V Rf y ATTACHMENT 2 TAIS PAGE INTENTIONAI,LX LEFT BLANK