09 Staff Report - Bella Vasona 17005 and 17017 Roberts Road~t N 0
lpSyGA~pS COUNCIL AGENDA REPORT
MEETING DATE: 6/18/07
ITEM NO:
DATE: JUNE 7, 2007
TO: MAYOR AND TOWN COUNCIL
FROM: DEBRA J. FIGONE, TOWN MANAGER
SUBJECT: TRACT NO. 9910 - BELLA VASONA (17005 AND 17017 ROBERTS ROAD
ADOPT RESOLUTION APPROVING FINAL MAP FOR TRACT NO. 9910 -
BELLA VASONA (17005 AND 17017 ROBERTS ROAD), ACCEPTING THE
DEDICATIONS, AND AUTHORIZING THE TOWN MANAGER TO
EXECUTE THE CONTRACT FOR PUBLIC IMPROVEMENTS.
RECOMMENDATION:
Adopt resolution approving the Final Map for Tract No. 9910 - Bella Vasona (17005 and 17017
Roberts Road), accepting the dedications, and authorizing the Town Manager to execute the
contract for public improvements.
BACKGROUND:
The Town Council adopted Ordinance 2152 on October 16, 2006, approving planned
development application PD-05-01. Ordinance 2152 approved seven townhouse units at the
northeast corner of Blossom Hill Road and Roberts Road (East). The Development Review
Committee approved the Tentative Map (M-07-11) on December 22, 2006.
T)TgC:T TSSTON-
Tract No. 9910 subdivides two existing parcels in seven townhouse lots. The developer, Eden
Homes, LLC, have provided all necessary maps and drawings, in addition to contracts, bonds,
and liability insurance (Attachment 2). The developer has paid the appropriate fees to fully
comply with the previously-imposed development conditions and Town ordinances, as listed on
Page 2 of this report.
PREPARED BY: KEVIN ROHANI
Interim Director of Parks and Public Works
NAENGINEERINMCOUNCIL REPORTSUract 9910--Approve Final Map.doc
Reviewed by: 'l ) Assistant Town Manager Town Attorney
Clerk Administrator Finance Community Development
PAGE 2
MAYOR AND TOWN COUNCIL
SUBJECT: TRACT NO. 9910 - BELLA VASONA (17005 AND 17017 ROBERTS ROAD)
June 7, 2007
Although there are already public improvements along the Blossom Hill Road frontage and part
of the Roberts Road frontage, the developers are required to dedicate property along Roberts
Road to provide for a 30 foot half-street and complete the improvements to continue the curb,
gutter, sidewalk and paving in that area. Additionally, the existing traffic signal at the Blossom
Hill Road/Roberts Road (East) intersection will be required to be modified.
ENVIRONMENTAL ASSESSMENT:
This activity is a project as defined under the California Environmental Quality Act (CEQA) but
is ministerial, therefore no further action is required under CEQA.
FISCAL IMPACT:
The developers, Eden Homes, LLC, have paid the following fees:
1.
Tract Map Checking fee
$ 6,250.00
2.
Engineering Plan Check fee
6,080.00
3.
Computer Service fee
817.00
4.
Engineering Inspection fee
8,050.00
6.
Microfilming fee
110.00
7.
Storm Drainage fee (Basin 2)
3,528.00
Additionally, at the time of occupancy of each home, a traffic impact mitigation fee will be due
for five of the new houses to be constructed. Credit will be given for the houses that were
demolished. The Traffic Impact Mitigation fee is currently $5,742 per single family dwelling.
These fees are due at the time of occupancy per State statutes.
Attachments:
1. Resolution Approving Final Map for Tract No. 9910 -Bella Vasona
2. Improvement Contract, Bonds and Insurance Requirements
Distribution
Eden Homes, LLC, 1100 N. First Street, Suite E, San Jose, CA 95112
RESOLUTION
RESOLUTION OF THE TOWN COUNCIL
OF THE TOWN OF LOS GATOS
APPROVING FINAL MAP OF TRACT NO. 9910 - BELLA VASONA
ACCEPTING THE DEDICATIONS AND
AUTHORIZING THE TOWN MANAGER TO SIGN THE CONTRACT
WHEREAS, on December 22, 2006, the Development Review Committee of the Town
of Los Gatos approved the Tentative Map Application M-07-11, with conditions; and
WHEREAS, those conditions required the Owner or Subdivider to do the following:
That prior to the delivery of said Map to the Owner of said subdivision, and prior to its
recordation, the Owner or Subdivider of said subdivision shall enter into and execute an
agreement between the Town of Los Gatos and the said Owner or Subdivider on that
certain proposed Subdivision Agreement on file in the Office of the Town Clerk, entitled,
"Contract for the Improvement of Tract No. 9910 Bella Vasona", wherein the Owner or
Subdivider in consideration of the approval. of said Map by the Town and acceptance by
the Town of the dedication of lands for public use therein contained, shall agree to
construct and complete, within the time specified in said agreement, all street and other
improvements required of Owner or Subdivider under the provisions in Chapter 27 of the
Code of the Town of Los Gatos, and such other street, sewer, or other improvements
designated or mentioned in said agreement and/or and as specified in the Plans and
Specifications for Tract No. 9910 Bella Vasona.
2. That said Owner or Subdivider shall, before the release of said Final Map to Owner of
Record, and as a condition precedent to the recordation thereof, furnish to the Town and
file with the Town Cleric cash, or a good and sufficient bond in form to be approved by
the Town Attorney, securing the faithful performance by said Owner or Subdivider of all
work, and the construction of all improvements herein in this agreement mentioned, and
within the time herein specified, the amount of cash or said bond to be One Hundred
Twenty-One Thousand and No/100 Dollars.
That said Owner or Subdivider shall, before the release of said Final Map to Owner of
Record, and as a condition precedent to the recordation thereof, furnish to the Town and
file with the Town Clerk certificates or policies of public liability and property damage
insurance in form satisfactory to the Town Attorney, providing public liability insurance
in the amount of Five Hundred Thousand ($500,000.00) Dollars for each person, and One
Million ($1,000,000.00) Dollars for each accident or occurrence, and property damage
coverage of Two Hundred Thousand ($200,000.00) Dollars whereby the Town of Los
Gatos, and in their capacity as such, its Council members, officers, boards, commissions,
and its employees will be insured, indemnified, and held harmless from any and all
claims of any kind or nature arising or resulting from the construction of said
improvements or other work of subdividing within or outside the said subdivision, and/or
ATTACHMENT 1
arising or resulting from or concerning the doing or failing to do so by said Owner or
Subdivider of all things required to be done in the above mentioned agreement between
said Owner or Subdivider and the Town of Los Gatos.
WHEREAS, the Owner or Subdivider has complied with the conditions of Tentative
Map Application M -07-11.
NOW, THEREFORE, IT IS RESOLVED that the certain Final Map of Tract No. 9910
Bella Vasona in the Town of Los Gatos, dated June 2007, and prepared by Nelson Engineering
for approval by the Town Engineer of the Town of Los Gatos, is hereby approved; the Town
Manager is hereby authorized to execute the agreement with the Subdivider and all offers of land
for public use therein made on said Map are hereby accepted.
PASSED AND ADOPTED at a regular meeting of the Town Council held on the 18th
day of June, 2007 by the following vote:
COUNCIL MEMBERS:
AYES:
NAYS:
ABSENT:
ABSTAIN:
SIGNED:
MAYOR OF THE TOWN OF LOS GATOS
LOS GATOS, CA
ATTEST:
CLERK ADMINISTRATOR OF THE TOWN OF LOS GATOS
LOS GATOS, CALIFORNIA
TOWN OF Los GATOS
PARKS & PUBLIC WORKS DEPARTMENT SERVICE CENTER
ENGINEERING DIVISION 41 MILEs AvENuE
PHONE (408) 399-5771 Los GATos, CA 95030-6044
FAX (408) 399-5763
CONTRACT FOR THE IMPROVEMENT OF
TRACT NO. 9910 - BELLA VASONA
LOS GATOS, CALIFORNIA
This agreement, made and entered into, effective upon the last date this document is signed by the parties hereto,
by and between the TOWN OF LOS GATOS, a municipal corporation of the State of California, after this called
"TOWN," and Eden Homes, LLC, after this called "SUBDIVIDER," whose principal place ofbusiness is 1100 N. First
St., Suite E, San Jose, CA 95112.
WITNESSETH
WHEREAS, SUBDIVIDER is engaged in subdividing that certain tract of land known and designated as Tract
No. 9910, Bella Vasona, in the Town of Los Gatos, County of Santa Clara, State of California; and
WHEREAS, a Final Map of Tract No. 9910 - Bella Vasona, after this called "MAP," has been filed with the
Town Clerk of Los Gatos, forpresentation to the Council for its approval, which map is incorporated herein by reference;
and
WHEREAS, SUBDIVIDER has requested approval of the MAP before the completion of improvements of
all streets, highways, or public ways and storm drainage facilities that are a part of or appurtenant to Tract No. 9910 -
Bella Vasona, including the necessary curbs, gutters, paving, catch basins, pipes, culverts, storm drains, sanitary sewers,
street lighting and street trees, street signs, including water system and fire hydrants acceptable to San Jose Water
Company and Santa Clara County Central Fire Protection District, all according to the plans and specifications for all
or any of said improvements in or appurtenant to Tract No. 9910 - Bella Vasona, which plans and specifications are
now on file in the Office of the Town Engineer of said TOWN; the plans and specifications are composed of:
Sheets numbered:
Prepared by:
Entitled:
Dated:
and
Sheets numbered:
Prepared by:
Entitled:
Dated:
After this called "PLANS"; and
C1- C6
Nelson Engineering
Tract No. 9910, Bella Vasona
June 2007
1-2
Kimley-Horn and Associates, Inc.
Traffic Signal Modification, Blossom Hill Rd. at Roberts Rd. (E)
June 2007
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Revised Format: 6/6/2000
ATTACHME ,~TT 2
Page 2
TOWN OF LOS GATOS Contract for the Improvement of Tract No. 9910 - Bella Vasona
WHEREAS, the Town Council of said TOWN did, on the
day
of , 2007, adopt a Resolution approving the MAP and accepting the
dedications therein offered, subject to and on condition that the SUBDIVIDER first enter into and execute this
Agreement with the Town of Los Gatos, and provide the TOWN with such security for performance and insurance and
all other things as required by this Agreement and by the Resolution;
NOW, THEREFORE, to insure satisfactory performance by SUBDIVIDER of these obligations, and in
consideration of the approval of the MAP, the parties hereto do now agree as follows:
1. COMPLETION TIME
SUBDIVIDER shall construct all of the improvements and do all the work herein above or hereinafter mentioned,
all according to and to the extent and as provided in the Plans and to meet all Town Ordinances and the laws of
the State of California. Work shall be completed within one (1) year from the date of this Agreement.
2. DEDICATIONS TO THE TOWN
As part of the performance of its obligations under the approval, the SUBDIVIDER shall grant to the TOWN for
public use, the real property consisting of 2,291 square feet of the SUBDIVIDERS property to be used for public
street purposes, using such instruments of conveyance as the TOWN may require. The SUBDIVIDER warrants
that the TOWN will receive title to such real property, free of encumbrance. This warranty shall survive delivery
of the instrument.
3. FAITHFUL PERFORMANCE SECURITY
SUBDIVIDER shall, before the release of the MAP by the TOWN, for filing for record and as a condition
precedent to the recordation of it, furnish to the TOWN and file with the Town Clerk cash, an instrument of credit,
or a bond as provided by the Subdivision Map Act, in a form approved by the Town Attorney, securing
performance by SUBDIVIDER of all work shown on the Plans, and completion within the agreed time. The
amount of cash, instrument of credit or bond shall be One hundred seventy-eight thousand and 00/100 Dollars
($178,000.00). It is fiu-ther agreed that after final acceptance of the work, ten (10%) percent of the bond or cash
shall remain in effect to guarantee the repair and replacement of defective materials and construction, furnished
or done by the SUBDIVIDER discovered within one (1) year after final acceptance of the subdivision
improvements by the TOWN. This limitation on the security does not shorten any time during which the TOWN
may act to enforce the SUBDIVIDER's obligations under the terms of this agreement, nor shorten any time during
which TOWN or any other person may bring an action in an appropriate court regarding the subject or
performance of this agreement.
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Page 3
TOWN OF LOS GATOS Contract for the Improvement of Tract No. 9910 - Bella Vasona
4. LABOR AND MATERIALS SUPPLIERS SECURITY
SUBDIVIDER shall, before release of the MAP by the TOWN, and as a condition precedent to its recordation,
also fdmish the TOWN and file with the Town Clerk cash, an instrument of credit, or a good and sufficient bond
in form approved by the Town Attorney, securing payment to the Contractor, Subcontractors, and to persons
renting equipment or furnishing labor or materials to them for the improvements, the amount of additional cash,
instrument of credit, or bond to be One hundred seventy-eight thousand and 00/100 Dollars ($178,000.00).
5. HOLD HARMLESS
SUBDIVIDER does expressly agree to indemnify and hold harmless the Town of Los Gatos, its Town Council
Members, Boards, Commissions, employees and agents, from any and all loss or damage, and from any and all
liability, including cost of defense, for any and all loss or damage, and from any and all suits, actions or claims
filed or brought by any or all persons or person because of or resulting from the doing by SUBDIVIDER of any
and all things required of SUBDIVIDER by this Agreement, or because of or arising or resulting from the failure
or omission by SUBDIVIDER to do any and all things necessary to and required by this Agreement or by law,
or arising or resulting from the negligent doing by SUBDIVIDER, SUBDIVIDER's agents, employees or
subcontractors of any and all things required to be done by this Agreement, or arising or resulting from any
dangerous or defective condition arising or resulting from any of the above said acts or omissions of
SUBDIVIDER, SUBDIVIDER's agents or employees.
6. INSURANCE
SUBDIVIDER shall, before the release of the MAP by the TOWN and as a conditionprecedent to the recordation
thereof, furnish to the TOWN and file with the Town Clerk, and at all times during the performance of its
obligations under this Agreement maintain the insurance described in Exhibit A.
7. TIME EXTENSIONS
If performance of this Agreement should be delayed without fault of the SUBDIVIDER, the time for the
construction of same may be extended by the Town Council for such period of time as is reasonable delay.
8. STORM DRAINAGE
SUBDIVIDER expressly agrees, at the SUBDIVIDER's cost and expense, to provide adequate drainage within
the aforementioned Tract No. 9910 - Bella Vasona and construct storm drainage discharge facilities into the
Basin 2 storm drainage area.
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Page 4
TOWN OF LOS GATOS Contract for the Improvement of Tract No. 9910 - Bella Vasona
9. STORM DRAINAGE FEE
SUBDIVIDER has heretofore paid to the TOWN storm drainage fees pursuant to the provisions of Chapter 24
of the Los Gatos Town Code, in the total amount of Three Thousand Five Hundred Twenty-eight and 00/100
Dollars ($3,528.00), calculated at the rate of $3,600.00 per acre for the area within the boundaries of Tract No.
9910 - Bella Vasona. SUBDIVIDER has reviewed the calculations for the storm drainage fees and agrees that
they are correct.
10. MAP CHECK, PLAN CHECK AND INSPECTION FEES
SUBDIVIDER has previously paid the TOWN the sum of Six Thousand Two Hundred Fifty and 00/100 Dollars
($6,250.00) to defray the costs incurred by the TOWN in reviewing and checking the MAP for Tract No. 9910 -
Bella Vasona, the sum of Eight Thousand Three Hundred Sixty and 00/100 Dollars ($8,360.00) to defray the
costs incurred by the TOWN in reviewing and checking the Plans and Specifications, and the sum of Ten
ThousandNine Hundred and 00/100 Dollars ($10,900.00) to defraythe costs incurred bythe TOWN in inspecting
the construction of the improvements within said Tract.
11. MAINTENANCE OF PUBLIC INFRASTRUCTURE
The SUBDIVIDER shall maintain all public infrastructure (streets, sidewalks, right-of-way, street light, storm
drainage facility, sanitary sewer, etc.) in a safe and usable condition at all times during construction. Should any
public infrastructure become unsafe, unusable or inoperable because of the SUBDIVIDER's activities, the
SUBDIVIDER shall immediately cease all work on the project until the public infrastructure is made safe and
usable, for which the SUBDIVIDER shall be solely responsible.
12. CERTIFICATES OF OCCUPANCY
The TOWN will not issue any R-3 Certificates of Occupancy for homes to be built within Tract No. 9910 - Bella
Vasona until all improvements shown on the PLANS have been completed by the SUBDIVIDER and accepted
by the TOWN.
13. AS-BUILT PLANS
After completion of the construction of all work in the public right-of-way or public easements, the original plans
shall have all changes (change orders and field changes) clearly marked. The "As-built" plans shall again be
signed and "wet-stamped" by the engineer who prepared the plans, attesting to the changes. The original "As-
built" plans shall be reviewed and approved the Engineering Inspector. A photo Mylar of the approved "As-built"
plans shall be provided to the TOWN before the release of the Faithful Performance Security.
14. NOTICES
Notices regarding this Agreement shall be given as follows and shall be considered effective upon either personal
delivery or five (5) days following deposit in the U.S. Mail:
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Page 5
TOWN OF LOS GATOS Contract for the Improvement of Tract No. 9910 - Bella Vasona
To SUBDIVIDER: Iqbal Khurram
Eden Homes, LLC
1100 N. First St., Suite E
San Jose, CA 95112
To TOWN: Kevin Rohani, Town Engineer
Parks and Public Works Department
41 Miles Avenue
Los Gatos, CA 95030
15. WAIVER
Waiver of a breach of default under this Agreement shall not form a continuing waiver or a waiver of a subsequent
breach of the same or any other provision of the Agreement.
16. SEVERABILITY
If anyterm of this Agreement is held invalid by a court of competent jurisdiction, the remainder of this Agreement
shall remain in effect.
17. ENTIRE AGREEMENT AND AMENDMENT
This Agreement constitutes the complete and exclusive statement of this agreement between TOWN and
SUBDIVIDER. No verbal agreement or conversation with any officer, agent, or employee of TOWN, either
before, during or after the execution of this Agreement, shall affect or modify any of the terms or obligations
contained in the Agreement.
TOWN OF LOS GATOS
DATE:
TOWN MANAGER
ATTEST:
DATE:
CLERK ADMINISTRATOR
APPROVED AS TO FORM:
DATE:
TOWN ATTORNEY
RECOMMENDED BY:
DATE:
INTERIM DIRECTOR OF PARKS AND PUBLIC WORKS
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Page 6
TOWN OF Los GATOS Contract for the Improvement of Tract No. 9910 - Bella Vasona
SUBDIVIDER
Eden Homes, LLC
Igbal Khurram
DATE:
DA
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FAITHFUL PERFORMANCE BOND
WHEREAS, the Town Council of the Town of Los Gatos, State of California and Eden Homes, LLC (herein
designated as "PRINCIPAL") have entered an agreement by which PRINCIPAL agrees to install and complete certain
designated public improvements, which said agreement, dated , 2007, and
identified as Tract No. 9910 - Bella Vasona, is hereby referred to and made a part hereof; and
WHEREAS, said PRINCIPAL is required under the terms of said agreement to furnish a bond for the faithful
performance of said agreement.
NOW, THEREFORE, we, the PRINCIPAL and , as Surety, are held
and uaniy bound unto the Town of os Gatos (hereinafter called "TOWN"), in the penal sum of ^ne hundred seventy-
J-
eight thousand and 00/100 dollars ($178,000.00) lawful money of the United States, for the payment of which sum
well and truly to be made, we bind ourselves, our heirs, successors, executors and administrators, jointly and severally,
formally by these presents.
The condition of this obligation is such that if the above bounded PRINCIPAL, his or its heirs, executors,
administrators, successors or assigns, shall in all things stand to and abide by, and well and truly keep and perform the
covenants, conditions and provisions in the said agreement and any alteration thereof made as therein provided, on his
or their part, to be kept and performed at the time and in the manner therein specified, and in all respects according to
their true intent and meaning, and shall indemnify and save harmless TOWN, its officers, agents and employees, as
therein stipulated, and this obligation shall become null and void; otherwise it shall be and remain in full force and effect.
PRINCIPAL and Surety further agree that upon TOWN's final acceptance of the work, ten percent (10%) of
this bond shall remain in effect to guarantee the repair and/or replacement of defective materials and/or construction,
one (1) year after TOWN's final acceptance of the work.
As a part of the obligation secured hereby and in addition to the face amount specified therefor, there shall be
included costs and reasonable expenses and fees, including reasonable attorney's fees, incurredby TOWN in successfully
enforcing such obligation, all to be taxed as costs and included in any judgement 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 the specifications accompanying the same shall in any way
affect its obligations 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.
In witness whereof, this instrument has been duly executed by the PRINCIPAL and Surety above named,
on , 2007.
PRINCIPAL:
Eden Homes, LLC
SURETY:
Iqbal Khurram
Notary Acknowledgment Required
Address
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LABOR AND MATERIALS BOND
WHEREAS, the Town Council of the Town of Los Gatos, State of California, and Eden Homes,
LLC(hereinafter designated as "PRINCIPAL") have entered an agreement whereby PRINCIPAL agrees to install and
complete certain designated public improvements, which said agreement, dated ,
2007, and identified as Tract No. 9910 - Bella Vasona, is hereby referred to and made a part hereof; and
WHEREAS, under the terms of said agreement, PRINCIPAL is required before entering upon the performance
of the work, to file a good and sufficient payment bond with the Town of Los Gatos to secure the claims to which
reference is made in Title 15 (commencing with Section 3082) of Part 4 of Division 3 of the Civil Code of the State of
California.
NOW, THEREFORE, said PRINCIPAL and the undersigned as Corporate Surety, are held firmly bound unto
the Town of Los Gatos and all contractors, subcontractors, laborers, material suppliers and other persons employed in
the performance of the aforesaid agreement and referred to in the aforesaid Code of Civil Procedure in the sum of One
hundred seventy-eight thousand and 00/100 dollars ($178,000.00), for materials furnished or labor thereon of any
kind, or for amounts due under the Unemployment Insurance Act with respect to such work or labor, that said surety will
pay the same in an amount not exceeding the amount herein above set forth, and also in case suit is brought upon this
bond, will pay, in addition to the face amount thereof, costs and reasonable expenses and fees, including reasonable
attorney's fees, incurred by the TOWN in successfully enforcing such obligation, to be awarded and fixed by the court,
and to be taxed as costs and to be included in the judgment therein rendered.
It is hereby expressly stipulated and agreed that this bond shall inure to the benefit of any and all persons,
companies and corporations entitled to file claims under Title 15 (commencing with Section 3082) of Part 4 of Division
3 of the Civil Code, so as to give a right of action to them or their assigns in any suit brought upon this bond.
Should the condition of this bond be fullyperformed, then this obligation shall become null and void, otherwise
it shall be and remain in full force and effect.
The Surety hereby stipulates and agrees that no change, extension of time, alteration or addition to the terms
of said agreement or the specifications accompanying the same shall in any manner affect its obligations on this bond,
and it does hereby waive notice of any such change, extension, alteration or addition.
In witness whereof, this instrument has been duly executed by the PRINCIPAL and Surety above named, on
, 2007.
PRINCIPAL:
Eden Homes, LLC
SURETY:
Iqbal Khurram
Notary Acknowledgment Required
Address
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EXHIBIT A
INSURANCE REQUIREMENTS
A. MINIMUM SCOPE OF INSURANCE
Coverage shall be at least as broad as:
Insurance Services Office form number GL 0002 (Ed. 1/73) covering Comprehensive General
Liability and Insurance Services Offices form number GL 0404 covering Broad Form Comprehensive
General Liability; or Insurance Services Office Commercial General Liability coverage ("occurrence"
form GC 0001).
2. Insurance Services Office form number CA 0001(Ed. 1/78) covering Automobile Liability, code 1
"any auto" and endorsement CA 0025.
3. Worker's Compensation insurance as required by the Labor Code of the State of California and
Employers Liability Insurance.
B. BEGINNING OF WORK
SUBDIVIDER shall maintain limits no less than:
General Liability: $1,000,000 combined single limitper occurrence for bodily injury, personal injury
and property damage. If Commercial General Liability Insurance or other form with a general
aggregate limit is used, either the general aggregate limit shall apply separately to this Project/location
or the general aggregate limit shall be twice the required occurrence limit.
2. Automobile Liability: $1,000,000 combined single limit per accident for bodily injury and property
damage.
Workers' Compensation and Employers Liability: Workers' compensation limits as required by the
Labor Code of the State of California and Employers Liability limits of $1,000,000 per accident.
C. DEDUCTIBLES AND SELF-INSURED RETENTIONS
Any deductibles or self-insured retentions must be declared to and approved by the Town of Los Gatos. At the
option of the Town of Los Gatos, either: the insurer shall reduce or eliminate such deductibles or self-insured
retentions as respects the Town of Los Gatos, its officers, official, employees and volunteers; or the
SUBDIVIDER shall procure a bond guaranteeing payment of losses and related investigations, claim
administration, and defense expenses.
D. OTHER INSURANCE PROVISION
The policies are to contain, or be endorsed to contain the following provision:
1. General Liability and Automobile Liability Coverages
a. The Town of Los Gatos, its officers, official, employees and volunteers are to be covered as
insured as respects: liability arising out of activities performed by or on behalf of the
SUBDIVIDER, products and completed operation of the Contracts, premises owned,
occupied or used by the SUBDIVIDER, or automobiles owned, leased, hired or borrowed
by the SUBDIVIDER. The coverage shall contain no special limitation on the scope of
protection afforded to the Town ofLos Gatos, its officers, officials, employees, or volunteers:
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b. The SUBDIVIDER's insurance coverage shall be primary insurance as respects the Town of
Los Gatos, its officer, officials, employees, and volunteers. Any insurance or self-insurance
maintained by the Town of Los Gatos, its officers, officials, employees, or volunteers shall
be excess of the SUBDIVIDER's insurance and shall not contribute with it.
c. Any failure to comply with reporting provision of the policies shall not affect coverage
provided to the Town of Los Gatos, its officers, officials, employees, or volunteers.
d. The SUBDIVIDER's insurance shall 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.
2. Workers' Compensation and Employers Liability Coverage
The insurer shall agree to waive all rights of subrogation against the Town of Los Gatos, its officers,
- - - - - - - - -officials, employees or volunteers for-losses-arising-form work performed by-the SUBDIVIDER for - -
the Town of Los Gatos.
3. All Coverages
Each insurance policy required by this clause shall be endorsed to state that the coverage shall no be
suspended, voided, canceled by either parry, reduced in coverage or in limits except after thirty (30)
days prior written notice by certified mail return receipt required, has been given to the Town of Los
Gatos.
E. ACCEPTABILITY OF INSURERS
Insurance is to be place with insurers with a Best's rating of no less than B+.
F. VERIFICATION OF COVERAGE
SUBDIVIDER shall furnish the Town of Los Gatos with certificates of insurance and with certificates of
insurance and with original endorsements effecting coverage required by this clause. The certificates and
endorsements for each insurance policy are to be signed by a persona authorized by that insurer to bind
coverage on its behalf. The certificates and endorsements are to be on forms approved by the Town of Los
Gatos. Where by statute, the Town of Los Gatos's workers' compensation-related forms cannot be used,
equivalent forms approved by the State Insurance Commissioner are to be substituted. All certificates and
endorsements are to be received and approved by the Town of Los Gatos before work commences. The Town
of Los Gatos reserves the right to require complete, certified copies of all required insurance policies, at any
time.
G. SUBCONTRACTORS
SUBDIVIDER shall include all subcontractors as insured under its policies or shall furnish separate certificates
and endorsements for each subcontractor. All coverages for subcontractors shall be subject to all of the
requirements stated herein.
DV61:\N:\ENGINEERING\ENGR-PROJECTS\Tract 9910-13HR-Roberts\Contract\Tract Improvement Agreement.wpd
Revised Form: 7/7/94