HomeMy WebLinkAbout08- Contract Agreement between City and DLM, Inc..,
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CONTRACT AGREEMENT
THIS CONTRACT AGREEMENT is dated as of the 6th day of November in the year 2008
by and between CITY OF BOZEMAN hereinafter called OWNER and DLM, Inc. hereinafter
called CONTRACTOR.
OWNER AND CONTRACTOR, in consideration of the mutual covenants hereinafter set
forth, agrees as follows:
Article 1. WORK.
CONTRACTOR shall complete all Work as specified or indicated in the Contract. The
Project Work is generally described as follows:
1.1 Storm drainage improvements in City Right-of-way adjacent to the Taylen property at
5170 Durston Road in accordance with the attached exhibit.
Article 2. CONTRACT TIME.
2.1 The Work will be completed within 10 calendar days after the date the written notice to
proceed is issued. Final payment will be withheld until final completion and acceptance of
the work as stipulated in this Agreement.
Article 3. CONTRACT PRICE.
3.1 OWNER shall pay CONTRACTOR for performance of the Work in accordance with the
Contract Documents the lump sum (subject to adjustment as provided in the Contract
Documents) of Four Thousand, Seven Hundred and Fifty Dollars ($4,750.00).
Article 4. PAYMENT PROCEDURES.
CONTRACTOR shall submit applications for payment in accordance with the Montana
Public Works Standard Specification, Fifth Edition General Conditions. Applications for
payment will be processed as provided in the General Conditions.
4.1 Payment. Upon satisfactory final completion and acceptance of the Work in
accordance with the General Conditions, OWNER shall pay the full contract price.
4.1.1 Measurement and Payment. Payment for the work satisfactorily completed in
accordance with this contract shall be made on a lump-sum basis. Said price and payment
shall constitute full compensation for all labor, materials, and incidentals necessary to
complete the work.
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No item that is required by Contract for the proper and successful completion of the Work
will be paid for outside of or in addition to the prices submitted in the contract. All work not
specifically set forth as a pay item herein shall be considered a subsidiary obligation of the
CONTRACTOR and all costs in connection therewith shall be included in the contract price.
Article 5. CONTRACTOR'S REPRESENTATIONS.
In order to induce OWNER to enter into this Agreement, CONTRACTOR makes the
following representations:
5.1 CONTRACTOR has familiarized himself with the nature and extent of the Contract
Documents, Work, locality, and with all local conditions and federal, state and local laws,
ordinances, rules and regulations that in any manner may affect cost, progress or
performance of the Work.
5.2 CONTRACTOR has made or caused to be made examinations, and investigations as
he deems necessary for the performance of the Work at the contract price, within the
contract time and in accordance with the other terms and conditions of the Contract
Documents, and no additional examinations, investigations, tests, reports or similar data are
or will be required by CONTRACTOR for such purposes.
5.3 CONTRACTOR has correlated the results of all such observations, examinations,
investigations, tests, reports and data with the terms and conditions of the Contract
Documents.
Article 6. CONTRACT DOCUMENTS.
The Contract Documents which comprise the entire agreement between OWNER and
CONTRACTOR as attached to or referenced in this Agreement, are made a part hereof and
consist of the following:
6.1 This Agreement including attached exhibit.
6.2 Certificates of Insurance, and Performance and Payment Bonds.
6.3 Montana Public Works Standard Specifications (MPWSS), Fifth Edition, and as
further amended by the City of Bozeman Modifications to MPWSS including addenda
1, 2 and 3 (included by reference).
6.4 Notice to Proceed.
There are no Contract Documents other than those listed above in this Article 6.
The Contract Documents may only be altered, amended or repealed by a modification (as
defined in the Montana Public Works Standard Specifications, Fifth Edition, General
Conditions).
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9.2 Safety Provisions. Safety provisions must be entirely adequate and meet with City,
County, State and Federal regulations to protect the public on these streets and roads.
9.3 Barricades and Lights. Prior to the start of construction across roads or walks, all
construction permits shall be obtained, utility companies notified, and traffic patterns,
signing, location of flagmen, barricades and other safety measures arranged. Providing and
maintaining safety barricades, and other work site safety measures shall be the
responsibility of the CONTRACTOR and shall be included in the contract price. The
CONTRACTOR shall cooperate and coordinate his methods with the OWNER'S traffic
control plans prior to the disruption of the normal flow of any traffic.
All open trenches and other excavations shall be provided with suitable barriers, signs, and
lights to the extent that adequate protection is provided to the public. Obstructions, such as
material piles and equipment, shall be provided with similar warning signs and lights.
All barricades and obstructions shall be illuminated by means of warning lights from sunset
to sunrise. Materials stored upon or alongside public streets and highways shall be
provided with similar warning signs and lights.
All barricades, signs, lights and other protective devices shall be installed and maintained in
conformity with applicable statutory requirements and, where within railroad and highway
right-of--way, as required by the authority having jurisdiction thereover.
Work performed within property under the OWNER'S jurisdiction shall have all barricades,
signs, lights and protective devices installed and maintained.
Article 10 STATE LAWS AND REGULATIONS.
10.1 All applicable laws, ordinances and the rules and regulations of all authorities having
jurisdiction over construction of the project shall apply to the contract throughout.
10.1.1 MONTANA CONTRACTOR REGISTRATION REQUIREMENTS. No bids will be
considered that do not carry the Bidder's Certificate of Contractor's Registration number.
Information pertaining to the Montana Contractor Registration requirements may be
obtained from the Montana State Department of Revenue, Helena, Montana. (1-800-556-
6694)
10.1.2 ADDITIONAL CONTRACTOR LICENSE FEE (MONTANA CONTRACTORS GROSS
RECEIPTS TAX). In accordance with Title 15, Chapter 50, MCA, for all contracts exceeding
$5,000, the Owner shall withhold, in addition to other amounts withheld as provided by law
or specified herein, 1 percent (1%) of all payments due the Contractor and shall transmit
such moneys to the Montana Department of Revenue.
10.1.3 The CONTRACTOR'S attention is called to the Industrial Accident Insurance laws in
force in Montana and to the responsibility of the OWNER for the collection of premiums
there under. The CONTRACTOR'S compliance with said laws is required and shall relieve
the OWNER of any responsibility for payment of premiums there under and shall furnish the
OWNER with satisfactory evidence showing that all premiums arising from this contract
have been paid before payment is made on the final estimate.
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10.1.4 LOCAL LABOR. Contractor shall give preference to the employment of Montana
residents in accordance with applicable portions of Title 18, Chapter 2, Part 4, MCA.
10.1.5 PREVAILING WAGE RATES. On all projects and contracts with the Owner in
excess of $25,000, Contractor and all subcontractors shall pay for all labor employed the
standard prevailing rate of wages. The standard prevailing rate of wages as used herein
means that standard prevailing rate of wages in the locality where the work is to be
performed as determined by the Montana Commissioner of Labor pursuant to MCA 18-2-
402 and as bound herein. The Contractor and subcontractors are directed to the Montana
Commissioner of Labor for information on the standard prevailing rate of wages applicable
to this contract within this area.
Article 11. PERFORMANCE AND PAYMENT BONDS. The CONTRACTOR shall furnish a
Performance Bond and a Payment Bond in favor of the OWNER each in an amount equal to
one-hundred Percent (100%) of the Agreement amount.
Article 12. INSURANCE. Without limiting any of the other obligations or liabilities of the
CONTRACTOR, CONTRACTOR shall secure and maintain such insurance from an
insurance company (or companies) authorized to write insurance in the State of Montana,
with minimum "A.M. Best Rating" of B+, VI, as will protect himself, his subcontractors, the
Owner and their respective agents and employees from claims for bodily injury, death or
property damage which may arise from operations and completed operations under this
Agreement. Such coverage shall be written for claims arising out of all premises/
operations, sub-contracted operations, products/completed operations, and all liability
assumed by the CONTRACTOR under any contract or agreement. CONTRACTOR shall
not commence work under this Agreement until such certified copies of the insurance policy
shall have been filed with the OWNER.
All insurance coverages shall remain in effect throughout the life of the Agreement.
Each insurance policy shall contain a clause providing that it will not be cancelled by the
insurance company without 45 days written notice to the OWNER and Engineer of intention
to cancel.
The minimum amounts of such insurance coverages being as per Section SC-5.04,
Supplementary Conditions to the General Conditions, Montana Public Works Standard
Specifications, Fifth Edition, and listed as follows:
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SC- 5.04 COiyTRACTOR'S iABILITY INSURA1~iCE
Add the following new paragraphs immediately afier Paragraph 5.04.B:
C. The omits of liabitity for the insurance required by Paragraph 5.04 of the General
Conditions shall provide coverages for not less than the following amounts or
greater where required by Law or Regulations: 4
1. Workers' Compensation, etc. under Paragraphs 5.04.1 and 5.04? of the General Con-
ditions.
a. State Statutory
b. Applicable Fedaral (e.g. Longshoremans) Statutory
c. Employer's Liability 5500.000.00
2. CONTRACTOR'S Liability Insurance under Paragraphs 5.04.A.3 - - .
through 5.04. A.6 of the General conditions which shall also include
`completed operations and product liability coverages.
a GEtv'ER.AL AGGREGATE S3 000 000 00
b. Products-Completed ;
Operations Aggregate S3.000.OOfl.00
c Personal and Advertising
Injury 51.000.000.00
d Each Occurrence
(Bodily Injury and
Property Damage) 5.1.000.000.00
e Coverage will include:
I. Premises -Operations
2. Operations of Independent Contractor
3. Contractual Liability
4. Personal Injury
5. Products and Completed Operations
6. Broad Form Property Damage will include explosion, collapse, blasting
and underground where applicable.
7. Per Project Aggregate Endorsement
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3. Automobile Liability under Paragraph 5.04.A.6 of the General Conditions:
a. $odity Injury:
Each Person S 1,000.000.00
Each Accident S 1.000.0OO.OQ
Property Dame:
Each Accident ~ 51.000.000.00
(or) b. Combined Single Limit 51.000.000.00
Coverage to Include:
1. All Owned
2. Hired
3. Non-Owned
4. CONTRACTOR'S Liability Insurance under 5.04.A.3 through 5.04.A.6 may be satisfied by
primary insurance or a combination of primary and excess or umbrella insurance. Primary
occurrence limit cannot be less than S I ,000,000.00. Deductible not to exceed 55,000.QO per
occurrence on property damage.
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5. Add a new paragraph at the end of Paragraph 5.04.B.1 of the General Conditions as
follows:
The CONTRACTOR'S insurance coverage shall name the OWNER, and ENGI-
lti'EER and Engineer's Consultants as an additional insured under Commercial
General Liability, Automobile Liability, Excess or Umbrella polices.
6. The Contractual Liability coverage required by Paragraph 5.04.B.4. of the General
Conditions shall provide coverage for not less than the following amounts:
Each Occurrence
Aggregate
~C- 5 04 B 5 CAIYCEL~TION NOTICE
51.000,000.00
S .000.000.00
Amend paragraph S.O~.B.S of the General Conditions by striking out the words " 30 days"
and replacing them with the words "45 days" and as so amended paragraph ~.04.B.5
remains in effect.
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Article 13. MISCELLANEOUS.
13.1 Terms used in this Agreement which are defined in the General Conditions shall
have the meanings indicated in the General Conditions of the Montana Public Works
Standard Specifications, Fifth Edition.
13.2 This Agreement and all of the covenants hereof shall inure to the benefit of and be
binding upon the OWNER and the CONTRACTOR respectively and his partners,
successors, assigns, and legal representatives. Neither the OWNER nor the
CONTRACTOR shall have the right to assign, transfer or sublet his interest or
obligations hereunder without written consent of the other party. The Owner reserves
the right to withdraw at any time from any subcontractor whose work has proven
unsatisfactory the right to be engaged in or employed upon any part of the Work.
13.3 In the event it becomes necessary for either party to this Agreement to retain an
attorney to enforce any of the terms or conditions of this Agreement or to give any
notice required herein, then the prevailing party or the party given notice shall be
entitled to reasonable attorney's fees and costs, including fees, salary, and costs of in-
house counsel.
13.4 Any amendment of modifications of this Agreement or any provisions herein shall
be made in writing and executed in the same manner as this original document and
shall after execution become a part of the Agreement.
13.5 The CONTRACTOR hereby agrees to indemnify, defend, and hold the OWNER
harmless from all claims and liability due to the activities of CONTRACTOR, their
agents, employees, or both, in performing the work required.
The CONTRACTOR is and shall perform this agreement as an independent contractor,
and as such, is responsible to the OWNER only as to the results to be obtained in the
work herein specified, and to the extent that the work shall be done in accordance with
the terms, plans and specifications. The CONTRACTOR shall have and maintain
complete control over all of its employees, subcontractors, agents and operations, being
responsible for any required payroll deductions and providing required benefits, such
as, but not limited to, workman's compensation and unemployment insurance.
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IN WITNESS WHEREOF, the parties hereto have executed this Agreement the day and
year first above written.
DLM, Inc.
(Contractor)
By
Title I'`" ~ ~s ~ c~ G---Y-
Montana Contractor Registration Number /~3 i ~ I
.SEAL AND TTEST•
City of Bozeman
(Owner
By _ ~ .
Chris Kukulski
Title: City Manager
SEAL AND ATTEST:
C' -rk
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CLIENT:
FIELD WORK• DATE: 10/20/08 PLOTTED DATE: Oct/27/2008 - 11:53:00 am
DRAWN BY: CEB SCALE: DRAWING NAME: Tay,an
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CHECKED 8Y: PROJ lF:0417.035 SHEET ~- OF ~_ anT,ee ar~~..,..
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