5pow N 0 MEETING DATE: 11/19/12
ITEM NO:
MOW
�a •off COUNCIL AGENDA REPORT
S G p't
DATE: NOVEMBER 1, 2012
TO: MAYOR AND TOWN COUNCIL
FROM: GREG LARSON, TOWN MANAGER
SUBJECT: TRACT NO.10129 LOCATED AT 16005 LOS GATOS BOULEVARD AND
625 BLOSSOM HILL ROAD (FORMER SWANSON FORD SITE)
ADOPT RESOLUTION APPROVING FINAL MAP FOR TRACT NO. 10129
LOCATED AT 16005 LOS GATOS BOULEVARD AND 625 BLOSSOM HILL
ROAD (FORMER SWANSON FORD SITE), 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. 10129 located at 16005 Los Gatos
Boulevard and 625 Blossom Hill Road (former Swanson Ford Site), accepting the dedications,
and authorizing the Town Manager to execute the contract for public improvements.
BACKGROUND:
The Town Council adopted Ordinance 2197 on June 20, 2011, approving planned development
application PD -07 -145. Ordinance 2197 approved demolition of the existing auto dealership
buildings, construction of 30,790 square feet of retail commercial space, construction of 3 Below
Market Price single- family residences, construction of 22 single- family market rate residences,
and landscaping, streets, parking, open-space and other site improvements shown and required on
the Official Development Plans and Standard Performance as listed in Ordinance 2197. The
Development Review Committee approved the Tentative Map (M -11 -011) on December 13,
2011.
PREPARED BY: TODD CAPURSO
Director of Parks and Public Works
Reviewed by:� Assistant Town Manager Town Attorney ___-:�C Finance .
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NOVEMBER 19, 2012
MAYOR AND TOWN COUNCIL
SUBJECT: TRACT NO.10129 — 16005 LOS GATOS BLVD & 625 BLOSSOM HILL
ROAD (SWANSON FORD SITE)
DISCUSSION:
Tract No. 10129 subdivides two existing parcels totaling 4.5 acres into 25 single family lots, one
common area lot, and two commercial lots with 10 commercial condominiums on each.
The developer, D.R. Horton Bay, Inc., a Delaware corporation, has provided all necessary maps
and drawings, in addition to contracts, bonds /security, 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.
The developer will replace portions of the public curb, gutter, and sidewalk along the perimeter
of the project (Blossom Hill Road, Los Gatos Boulevard and Placer Oaks Road frontages). New
street lights, curb ramps, and landscaping will also be provided on the full project perimeter. A
raised median island will be provided on Placer Oaks Road. The raised median island on
Blossom Hill Road will be relocated to provide a second left -turn lane. The raised median island
on Los Gatos Boulevard will be relocated to extend the existing left -turn lanes. The traffic signal
at the intersection of Los Gatos Boulevard and Blossom Hill Road will be modified to improve
safety and pedestrian access. Public storm, water, sewer and dry utilities will also be extended
into the property to provide services to the proposed homes and businesses.
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 developer, D.R. Horton Bay, Inc., has paid the following subdivision map related fees:
1. Tract Map Checking fee ... ..............................$ 21,802.50
2. Engineering Plan Check fee ............................. 41,996.07'
3. Engineering Inspection fee ............................... 21,030.24
5. Storm Drainage fee (Basin 2) ........................... 15,911.98
Total $100,740.79
Attachments:
1. Resolution Approving Final Map for Tract No. 10129 —16005 Los Gatos Blvd & 625
Blossom Hill Road (Swanson Ford Site)
2. Improvement Contract, Bonds and Insurance Requirements
Distribution
D.R. Horton Bay, Inc,, 6630 Owens Drive, Pleasanton, CA 94588
RESOLUTION 2012-
RESOLUTION OF THE TOWN COUNCIL
OF THE TOWN OF LOS GATOS
APPROVING FINAL MAP OF TRACT NO. 10129 LOCATED AT 16005 LOS GATOS
BLVD AND 625 BLOSSOM HILL ROAD (FORMER SWANSON FORD SITE)
ACCEPTING THE DEDICATIONS AND
AUTHORIZING THE TOWN MANAGER TO SIGN THE CONTRACT
WHEREAS, on December 13, 2011, the Development Review Committee of the Town of
Los Gatos approved the Tentative Map Application M -11 -011, with conditions; and
WHEREAS, those conditions required the Owner or Subdivider to do the following;
1. 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. 10129 — 16005 Los Gatos Blvd and 625
Blossom Hill Road (Swanson Ford Site) ", 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 as specified in the Plans and Specifications for the Improvement of
Tract No.10129.
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 Clerk 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 seven hundred
twenty eight thousand five hundred eighty six and 00/100 Dollars ($728,586.00).
3. 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 cash, or a good and sufficient bond in form to be approved by the
Town Attorney, securing the labor and materials for all work, the amount of cash or said
bond to be seven hundred twenty eight thousand five hundred eighty six and 00 /100
Dollars ($728,586.00).
4. 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
Attachment 1
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 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 -11 -011.
NOW, THEREFORE, IT IS RESOLVED that the certain Final Map of Tract No. 10129
in the Town of Los Gatos, dated November 2012, and prepared by Sandis Civil Engineers, 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 19th day
of November, 2012 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
Attachment 2
PARKS & PUBLIC WORKS DEPARTMENT SERVICE CENTER
ENGINEERING DIVISION 41 MILES AVENUE
PHONE (409) 399 -5771 LOS GATOS, CA 95031
FAX (409) 399 -5763
CONTRACT FOR THE IMPROVEMENT OF
TRACT NO. 10129 - 600 .O,
(SWANSON SITE)
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 D.R. Horton Bay, Inc., a Delaware corporation after this called "SUBDIVIDER," whose principal
place of business is 6630 Owens Drive, Pleasanton, CA 94588.
WITNESSETH
WHEREAS, SUBDIVIDER is engaged in subdividing that certain Tract of land known and designated as
Tract No. 10129 — 16005 Los Gatos Blvd and 625 Blossom Hill Road, in the Town of Los Gatos, County of Santa
Clara, State of California; and
WHEREAS, a Tract Map of Tract No. 10129 - -16005 Los Gatos Blvd and 625 Blossom Hill Road, after this
called "MAP," has been filed with the Town Clerk of Los Gatos, 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. 10129 —
16005 Los Gatos Blvd and 625 Blossom Hill Road, 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. 10129 — 16005 Los
Gatos Blvd and 625 Blossom Hill Road, 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: C -1.0 — C -6.4 & T -0 — T -2 (20 sheets)
Prepared by: Sandis Civil Engineers
Entitled: Mixed Use Project Offsite Plans — 16005 Los Gatos Boulevard
Dated: October 26, 2012
After this called "PLANS "; and
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TOWN OF LOS GATOS Contract for the Improvement of Tract No. 1.0129
WHEREAS, the Town Council, of said TOWN did, on the
.day. of November 19, 2012, 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 now agree as follows:
1, APPROVAL OF MAP
The Town approves the subdivision and agrees to accept the dedications of related public improvements for future
maintenance.
2. 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 two (2) years from the date of this Agreement.
3. 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 as shown on MAP of the SUBDIVIDER'S property to be used for public utility
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.
4. 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 public work shown on the Plans, and completion within the agreed time.
The amount of cash, instrument of credit or bond shall be seven hundred twenty eight thousand five hundred
eighty six and 00/100 Dollars ($728,586.00). It is further 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
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TOWN OF Los GATOS Contract for the Improvement of Tract No. 10129
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.
5. LABOR AND MATERIALS SUPPLIERS SECURITY
SUBDIVIDER shall, before release of the MAP by the TOWN, and as a condition precedent to its recordation,
also furnish 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 seven hundred twenty eight thousand five hundred eighty six and 00/100
Dollars ($728,586.00).
6. HOLD HARMLESS
SUBDIVIDER does expressly agree to defend, indenmify 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 acts 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 acts 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.
7. INSURANCE
SUBDIVIDER shall, before the release of the MAP by the TOWN and as a condition precedent 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.
8. 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.
9. STORM DRAINAGE
SUBDIVIDER expressly agrees, at the SUBDIVIDER's cost and expense, to provide adequate drainage within
the aforementioned Tract No. 10129 — 16005 Los Gatos Blvd and 625 Blossom Hill Road and construct storm
drainage discharge facilities into the public storm drain system.
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TOWN OF LOS GATOS Contract for the Improvement. of Tract No. 10129
10, STORM DRAINAGE FEE
SUBDIVIDER has agreed to pay to the TOWN via Agreement for Delayed Payment storm drainage fees pursuant
to the provisions of Chapter 24 of the Los Gatos Town Code, in the total amount of fifteen thousand nine
hundred eleven and 98/100 Dollars ($15,911.98), calculated at the rate_of $3,600.00 per acre for the area within
the boundaries of Tract No. 10129 — 16005 Los Gatos Blvd and 625 Blossom Hill Road. SUBDIVIDER has
reviewed the calculations for the storm drainage fees and agrees that they are correct.
11. MAP CHECK, PLAN CHECK AND INSPECTION FEES
SUBDIVIDER has paid the TOWN the sum of twenty one thousand eight hundred two and 501100 Dollars
($21,802.50) to defi-ay the costs incurred by the TOWN in reviewing and checking the MAP for Tract No. 10129
— 16005 Los Gatos Blvd and 625 Blossom Hill Road, the sum of sixty three thousand twenty six and 311100
Dollars ($63,026.31) to defray the costs incurred by the TOWN in reviewing and, checking the- Plans and
Specifications, and inspecting the construction of the required.improvements of said Tract,
12. 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. Additionally, notwithstanding acceptance by
Town, Subdivider shall maintain and perform or cause to be performed repairs, additions, or corrective work
necessitated by Subdivider's omission or deficient performance for one year after acceptance.
13• CERTIFICATES OF OCCUPANCY
The TOWN will not issue any Certificates of Occupancy for -homes and businesses to be built within Tract No.
10129 16005 Los. Gatos Blvd and 625 Blossom Hill Road until all improvements shown on the PLANS have
been completed by the SUBDIVIDER to the satisfaction of the Town,Engineer.
14, 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 by 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.
15. NOTICES
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TOWN OF LOS GATOS Contract for the Improvement of Tract No. 10129
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:
To SUBDIVIDER: D.R. Horton Bay, Inc. Attn:_Dean Mills
6630 Owens Drive
Pleasanton, CA 94588
To TOWN: Kevin Rohani, Town Engineer
Parks and Public Works Department
41 Miles Avenue
Los Gatos, CA 95030
16. 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.
17. SEVERABILITY
If any term of this Agreement is held invalid by a court of competent jurisdiction, the remainder of this
Agreement shall remain in effect.
18. 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.
19. PAYMENT OF OUTSTANDING FEES
Prior to acceptance of public improvements for permanent maintenance by Town, Subdivider shall pay all
outstanding fees which are due in accordance with this Agreement and the Code of the Town of Los Gatos.
20. REVERSION TO ACREAGE
If Subdivider fails to perform its obligations under this Agreement, Subdivider consents to reversion to acreage of
the land which is the subject of this Agreement pursuant to Government Code Section 66499.16 and to bear all
applicable costs.
21. ACTIONS TO ENFORCE
If any action at law or equity, including an action for declaratory relief, is brought to enforce or interpret the
provisions of this Agreement, the prevailing party shall be entitled to reasonable attorneys' fees, expert witness
fees and costs, in addition to any other relief to which they may be entitled.
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TOWN OF LOS GATOS Contract for the Improvement of Tract No. 10129
22. REIMBURSEMENT OF ATTORNEYS FEES
In the event of any third party claim or legal challenging any action taken by Town with regard to any procedure
or aspect of this Agreement, including approval or environmental review process, if the Town chooses to defend
the claim or action, the Subdivider agrees to reimburse the Town for attorneys' fees, expert witness fees, and any
other costs Town may incur in connection with its retention of legal counsel, and for any award of court costs of
fees against the Town.
23. AGREEMENT BINDS SUCCESSORS
This Agreement pertains to and runs with the land benefited by the privileges it grants and binds the successors in
interest of the parties to this Agreement. This Agreement shall be recorded in the Official Records of the County
of Santa Clara.
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TOWN OF LOS GATOS Contract for the Improvement of Tract No, 10129
TOWN OF LOS GAT ®S
DATE:
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DATE:
TOWN MANAGER
ATTEST:
DATE:
CLERK ADMINISTRATOR
APPROVED AS TO FORM:
DATE:
TOWN ATTORNEY
RECOMMENDED BY:
_
DATE:
DIRECTOR OF PARI ,'S AND PUBLIC WORKS
SUBDIVIDER
DATE
DATE:
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FAITHFUL PERFORMANCE BOND
WHEREAS, the Town of Los Gatos, State of California and D.R. Horton Bay, Inc., (herein designated as
"PRINCIPAL ") have entered an agreement by which PRINCIPAL agrees to install and complete certain designated
public improvements, which said agreement, dated , 2012, and identified as Tract No.
10129 —16005 Los Gatos Blvd and 625 Blossom Hill Road, 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
firmly bound unto the Town of Los Gatos (hereinafter called "TOWN "), in the penal sum of seven hundred twenty
eight thousand five hundred eighty six and 00/100 Dollars ($728,586.00) 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, incurred by 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
, 2012.
PRINCIPAL:
Address
Notary Acknowledgment Required
Address
SURETY:
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LABOR AND MATERIALS BOND
WHEREAS, the Town of Los Gatos, State of California, and D.R. Horton Bay, Inc., (hereinafter designated
as "PRINCIPAL ") have entered an agreement whereby PRINCIPAL agrees to install and complete certain designated
public improvements, which said agreement, dated , 2012, and identified as Tract
No. 10129 —16005 Los Gatos Blvd and 625 Blossom Hill Road, 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 seven
hundred twenty eight thousand .five hundred eighty six and 00/100 Dollars ($728,586.00) 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 fully performed, 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
)2012.
PRINCIPAL:
Address
Notary Acknowledgment Required
Address
SURETY:
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EXHIBIT A
INSURANCE REQUIREMENTS
A, MINIMUM SCOPE OF INSURANCE
Coverage shall be at least as broad as:
I. 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:
1. General Liability: $1,000,000 combined single limit per 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.
3. 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 of Los Gatos, its officers, officials,
employees, or volunteers.
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.
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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 party, 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.
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