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Home My WebLink About10- AFM Contracting Contract Agreement with CityCO- MR(, CONT AGREEMENT I ) THIS CONTRACT AGREEMENT is dated as of the - r — day of Q\u 4L/ IV in the year 2010 by and between CITY OF BOZEMAN hereinafter called OWNER and AF M Contracting hereinafter called CONTRACTOR. OWNER AND CONTRACTOR, in consideration of the mutual covenants hereinafter .set forth, agree as follows: Article 1. WORK. CONTRACTOR shall complete all Work as specified or indicated i the Contract. The Project Work is generally described as follows-, 1.1 Install approximately 84 lineal feet of 6" SDR 26 sewer service pipe and appurten in conformance with City of Bozeman Lower Yards Project Request for Price Quotation dated May 12, 2010 and all attachments. Article 2. CON TIME 2.1 The Work will be completed within 7 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 sum (subject to adjustment as provided in the Contract Documents) of Twent y Nine Thousand Seven Hundred Ninety Six Dollars ($29_,796.00 ). Article 4. PAYMENT PROCEDURES. CONTRACTOR shall submit applications for payment in accordance with the Montana Public Works Standard Specification, Fifth Edition General Conditions. Applications for payment will be processed as provided in the General Conditions, 4.1 Payment. Upon satisfactory final completion and acceptance of the Work in accordance with the General Conditions, OWNER shall pay the full contract price. 1 CONTRACT MRG CONTRACT AGREEMENT THIS CONTRACT AGREEMENT is dated as of the — day of QU ( in the year 2010 by and between CITY OF BOZEMAN hereinafter called OWNER and AF Contracting hereinafter called CONTRACTOR. OWNER AND CONTRACTOR, in consideration of the mutual covenants hereinafter set forth, agree as follows: Article 1. WORK. CONTRACTOR shall complete all Work as specified or indicated in the Contract. The Project Work is generally described as follows: 1.1 :Install approximately 84 lineal feet of 6" SDR 26 sewer service pipe and appurtenances in conformance with City of Bozeman Lower Yards Project Request for Price Quotation dated May 12, 2010 and all attachments. Article 2. CONTRACT TIME. 2.1 The Work will be completed within 7 calendar days after the date the written notice to proceed is issued. Final payment will be withheld until final completion and acceptance of the work as stipulated in this Agreement. Article 3. CONTRACT PRICE. 3.1 OWNER shall pay CONTRACTOR for performance of the Work in accordance with the Contract Documents the sum (subject to adjustment as provided in the Contract Documents) of Twenty Nine Thousand Seven Hundred Ninety Six Dollars ($ 796.00 ). 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 upon completion of the work. 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 studied carefully all reports of investigations and tests of subsurface and latent physical conditions at the site or otherwise affecting cost, progress or performance of the Work. 5.3 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. 5.4 CONTRACTOR has correlated the results of all such observa- tions, 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, 6.2 Certificates of Insurance and Performance and Payment Bonds, 6.3 Montana Public Works Standard Specifications (MPWSS), Fifth Edition, and as further F amended by the City of Bozeman Modifications to MPWSS (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). Article 7. GENERAL REQUIREMENTS. 7.1 Contractor Use of Premises. The CONTRACTOR shall confine his operations at site of the proposed work to within the right-of-way or construction easements provided. It shall be understood that the responsibility for protection and safekeeping of equipment and materials on or near the site will be entirely that of the CONTRACTOR and that no claim shall be made against the OWNER by reason of any act of an employce or trespasser. It shall be further understood that should any occasion arise necessitating access by the OWNER to the sites occupied by these stored materials and equipment, the CONTRACTOR owning or responsible for the stored materials or equipment shall immediately remove same. No materials or equipment may be placed upon any private property until the property OWNER has agreed in writing to the location contemplated by the CONTRACTOR to be used for storage. 7.2 Protection of Existing Structures. The CONTRACTOR shall be solely responsible for locating all existing underground installations, including service connections, in advance of excavating or trenching, by contacting the OWNERS thereof and prospecting. The CONTRACTOR shall use his own infonnation and shall not rely solely upon information shown on the drawings concerning existing underground installations. The CONTRACTOR shall repair all damage to existing utilities or property at his own expense. The CONTRACTOR shall, at a minimum, call the "One-Call" utility locate system (Phone: 1-800-424-5555) at least 72 hours in advance of starting construction. Where excavation will be required adjacent to existing strut- tunes, the CONTRACTOR shall be solely responsible to maintain the structural integrity of the existing structures. The CONTRACTOR shall take whatever means necessary to insure that the existing structure is not damaged and if necessary shall install sheet piling. The CONTRACTOR shall repair all damage to the existing structures at his own expense. Any fences destroyed during construction shall be repaired to the satisfaction cif the property owner. Any delay, additional work, or extra cost to the CONTRACTOR caused by existing underground installations shall not constitute a claim for extra work, additional payment or damages. 7.3 Protection of Existing Mailboxes, Curbs and Gutters and Driveways. The CONTRACTOR shall take whatever means necessary to insure that the existing mailboxes, curbs and gutters and 3 driveways are not damaged during construction. If it is necessary to remove or disturb mailboxes during construction, the CONTRACTOR shall repair and restore the mailboxes at his own expense to the satisfaction of the property owner. Any curb, gutter, or driveways damaged during construction, not noted to be replaced on the drawings, shall be replaced by the CONTRACTOR at his own expense. 7.4 Surface Drainage. Water from such sources as surface runoff, dewatering and flushing of water lines during project construction shall not be allowed to enter into drainage ways or open areas that will cause flooding of existing structures, street intersections, or lawn areas. 7.5 Work Sequence. The CONTRACTOR shall schedule the work to minimize inconvenience to the OWNER and to adjacent property owners and to minimize interruptions to utility service. This shall include minimizing obstruction to local traffic especially on dead end streets. Work shall be scheduled so as to minimize disruptions to local mail delivery. Close coordination will be required between the CONTRACTOR, OWNER, and COUNTY. The utility service companies such as power, gas, telephone, and video shall be contacted at least 72 hours in advance of when locating of services will be required. Article 8. Warranty and Guarantee. 8.1 CONTRACTOR warrants and guarantees to OWNER that all Work will be in accordance with the Contract Documents and will not be defective. Prompt notice of all defects shall be given to CONTRACTOR. All defective Work, whether or not in place, may be rejected, corrected or accepted as provided in the Montana Public Works Standard Specification, Fifth Edition (MPWSS). Article 9. Traffic Control. 9.1 The CONTRACTOR shall conduct his work so as to interfere as little as possible with public travel, whether vehicular or pedestrian. Whenever it is necessary to cross, obstruct, or close roads and walks, the CONTRACTOR shall obtain approval of such actions from the County or Montana Department of Transportation and shall provide and maintain suitable and safe lighted detours or other temporary expedients for the accommodation of public and private travel in accordance with the current edition of the Manual on Uniform Control Devices for Streets and Highways (MUTCD). The CONTRACTOR shall not occupy the work site or initiate construction until all traffic control provisions are in place and the OWNER has been so notified. 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, U1 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 regula -tions 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 on the envelope containing the Bid and on the Bid. 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, the Owner shall withhold, in addition to other amounts withheld as provided by law or specified herein, I percent (1 %a) 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 thereunder. The CONTRACTOR'S compliance with said laws is required and shall relieve the OWNER of any responsibility for payment of premiums thereunder 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. 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 $25,000.00, 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 included herein: I SC — 5.04 CONTRACTOR'S LIABILITY INSUPUNCE dd tl hc fol M_ r nc%& pa: - agraphs immcduately after Pa,-2-,( -raph 5 .04,13. C. The limits of 11'abifin for the insurance required by Paragraph 5.(14 of the General Conditions shall provide coverage for 1101 less than the follovvin2 amounts or L-n eater , ,vherc required by LaAT or Regulations: z:1 1. Workers' Compensation, etc, under Paragraphs 5 ,04. 1 and 5.04.2 of the General Conditions. a. State Statuton b, Applicable Federal (e.g. Loncshoremans) Statutory C, Employer's Liability S 500. 100.00 Contractor's Liability Insurance under Paragraphs 5.04.A3 tlirouuh 5.04. A,6 or the General Conditions which shall also include completed opczations and product liability coverage, Z a. GENERAL AGGREGATE S 3.000,000KI b. Products-Completed Operations Aggregate Z� S 3.000,000.00 C. Personal and Advertising d. Each Occurrence (Bodily Injury and Property Damage) C. Coverage Neill include: 1. Premises - Operations 2. Operations of Independent Contractor 3. Contractual Liability 4. Personal Injury Section 00810 SUPPLEMENTARY CONDITIONS TO THE GENERAL CONDITIONS S 1'000,[ )00'00 tit tai k 5 Products and Completed Operal,10111S Broad Form Property Darnaoc will include explosion, collapse, blasting and underground Aherc applicable. Per Project Aggregate Endorsemem Automobile Liability under Paragraph 5,(14.A.6 of the General Conditi a. B(2� i�lvlr�u�rv: Each Person S 5(J ).000.00 Each Accident �, 1.000,00(OU0 _Prooert� Damme: Each Accident s1.000,(100j)0 (or) b. Combined Single Limit $ 1.000,000.00 Coverage to Include 1, All 0\vned Hired 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 S1.000,000.00. Deductible not to exceed 55,000.00 per occurrence on property damage. 5. Add a new paragraph at the end of Paragraph 5.04.B. I of the General Conditions as follows. The Contractor's insurance coverage shall name the Owner, and Engineer and Engineer's Consultants as an additional insured under Commercial General Liability. Automobile Liability, Excess or Umbrella polices 6. The Contractual Liability coveracc General Conditions shall provide amounts. Each Occurrence Aggregate required by Paragraph 5,04.B.4. of the coverage for not less than the followine S 1.000,000.00 S �3MQ 000.00 Section 00810 SLTPLEMIENTARY CONDITIONS TO THE GENERAL CONDITIONS 8 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. 13.6 The Contractor agrees not to discriminate in the fulfillment of this Agreement on the basis of race, color, religion, creed, sex, age, marital status, national origin, or actual or perceived sexual orientation, gender identity or disability. The Contractor agrees this requirement shall apply to the hiring and treatment of the Contractor's employees and to all subcontracts. Article 14. Special Provisions The sewer service has been installed from station 0+84 to the east into the building. The limits of this project are from the existing main in Rouse Avenue to 0+84. P� IN WITNESS WHEREOF, the parties hereto have executed this Agreement the day and year first above written. ,r (Contractor) 13 Title 4-el rkc C- Montana Contractor Registration Number SEAL AND ATTEST: E E VP ,A City of Bozeman ray O w n e r ) B,. M� i Title City Manager SEA 11 , �LVED T: I�OW C ity - Tide. C y 1,83 10 0 LLJ u cf) < L) L) < < � m tiJ > < UJ C) 3�: LLJ 7 < < --J L > < D o > - Ls J X LLJ ui m LLJ =z V) Li LLJ Lj L U L U < < —i cf C) L,J z z L-Li C) < < LLJ Li < D < LLJ LJ U CD —< 0 D �- D L-j C) = 0 , cl� r < LJ Li < J. r. ;p T 7 U < U I L.Lj Z z cc . L p L 0 1 z < to LLJ m 4,� Q 0 o > Li D L Z < z U- Z (D > to , Z Z P �) < LLJ 7 11 I 0� LLJ CO 2, z C-) -,� �d �O >, > I e L- Uj CL m M E 0 < V/ U I L.Lj Z Z z cc . L p L 0 1 CD 0 LZ Nix �i M U w Z Z z < p L 0 1 0 LZ CO 0 Q 2 > Ll 0 0 LLI >1 U- Z (D V) V) C, L) co U, Z 0 >, z 0 e L- Uj CL m M E < Nd Wu CI) M U Z Z z 0 LZ 2 > m m U- V) V) C, L) Z 0 Lo LIJ L) Lu U- z Z 0 LIJ L) Lu m CL 0 z oY LU = 0 to z LU LU co o to L) CO DESIGNEE CDP DRAWN CDP CHECKED CDP DATE 1/28/2010 IVGIN-Sr°•-,RIAIK 2,Acx- 0. 42 I&S. 5- =110,75 I",.U,525 IbS A ir (e. 7A-=pid) 1-501 siz e z 9 57 J 170C' lbs- /945 lbs. I - S -,' - / - 05 VON : FrINK E. A 7 E L 45� , IN A L Lt PA V-; E 7 SEC 7 IONS OF DE- OF ROY OF WA ) jNCN-SJP= Faj=ILL FAALL BE USED IN AIL PAVED ARF--�S. IF =lE ASPF-AIZ IS N= PLA=) =SANE DA-l', SLURELY EiALL BE PC L20 TO = 70l- CF ME A=MT, AND A MIlTBURM CF Tp:E= MES CLR= TUE PRICR TO P- � M�EF IC CN = SL=.- PRICR TO PLACEZ = ASPHALT S'LRF.A-C= 4 1 ' OF Sj'-7- L%= FHALL TE RB=, AZD T�E EXISI"RC ME- ,v= SalARZ CUT - 10 A MIMvLM OF CtE =r BE= ME r-°�� LDE - ASP.c4ALT E= -%fALL BE TRE= W71H A TALK = FRICR ml FLA= A MMUN OF FaR D= CP = ASF�- T & BE FM ME PMMANENT PAZM. OMD MIX ASPHIALT MAY BE AS A MNE�-RY P= =IL Mr MIX A- IS AVAII -ABI Z - THE AMERICAN INSTITUTE OF ARCHITECTS 1�� Bond No. 539663 AIA Document A312 MOO! mll( Any singular reference to Contractor, Surety, Owner or other party shall be considered plural where applicable. CONTRACTOR (Name and Address): AFM Contracting 165 Tracy Ann Drive Belgrade, MT 59714 OWNER (Name and Address): City of Bozeman PO Box 1230 Bozeman, MT 59771 SURETY (Name and Principal Place of Business): Developers Surety and Indemnity Company P. O. Box 19725 Irvine, CA 92623 CONSTRUCT I , rgl N (70NTRACT Date: 10 Amount. 1 %&00 Twenty Nine Thousand Seven Hundred Ninety Six Dollars and 001100 Description (Name and Location): City of Bozeman - Lower Yards Sewer Service Project BOND / Date (Not earlier than Construction Contract Date): Amount: $29.796-00 Twenty Nine Thousand Ze/e undred Ninety Six Dollars and 00/100 Modifications to this Bond: E None ❑ See Page 3 CONTRACTOR AS PRINCIPAL SURETY Company: (Corporate Seal) Company: AFM Contracting Signature: N ame a n d Tit �,-, CV EAJ -E J 1J+,V ,VV v" (Any additional signatures appear on page 3) (Corporate Seal) Developers SLg-pty and Indemnity Company Signatur Name an iitle:Allan Hultgren Attorney -in -Fact (FOR INFORMA ONLY Name, Address and Telephone) OWNER'S REPRESENTATIVE (Architect, Engineerorother AGENT orBROKER: party) Payne Financial Group, Inc, 2323 2nd Ave. North Billings, MT 59107 AIA DOCUMENT A312 * PERFORMANCE BOND AND PAYMENT BOND *DECEMBER 1984 ED. aAIA6 THE AMERICAN INSTITUTE OF ARCHITECTS, 1735 NEW YORK AVE, N.W., WASHINGTON, D.0 20006 A312-1984 1 THIRD PRINTING P MARCH 1987 1 The Contractor and the Surety, jointly and severally, bind themselves, their heirs, executors, administrators, successors and assigns to the Owner for the performance of the Construction Contract, which isincorporated herein by reference. 2 if the Contractor performs the Construction Contract, the Surety and the Contractor shall have no obligation under this Bond, except to participate In Conferences as provided in Subparagraph 3.1. 3 If there is no Owner Default, the Surety's obligation under this Bond shall arise after: 3.1 The Owner has notified the Contractor and the Surety at its address described in 'Paragraph 10 below that the Owner is considering declaring a Contractor Default and has requested and attempted to arrange a conference with the Contractor and the Surety to be held not later than fifteen days after receipt of such notice to discuss methods of performing the Construc- (ion Contract.. If the Owner, the Contractor and the Surety agree, the Contractor shall be allowed a reason. able time to perform the Construction Contract, but such an agreement shall not waive the Owner's right, if any, subsequently to declare a Contractor Default; and 3.2 The Owner has declared a Contractor Default and formally terminated the Contractor's right to complete the contract. Such Contractor Default shall not be de- clared earlier than twenty days after the Contractor and the Surety have received notice as provided in Sub- paragraph 3.1; and 3.3 The Owner has agreed to pay the Balance of the Contract Price to the Surety in accordance with the terms of the Construction Contract or to a contractor selected to perform the Construction Contract in accor- dance with the terms of the contract with the Owner. 4 When the Owner has satisfied the conditions of Para- graph 3, the Surety shall promptly and at the Surety's ex. pense take one of the following actions: 4.1 Arrange for the Contractor, with consent of the Owner, to perform and complete the Construction Contract; or 4.2 Undertake to perform and complete the Construc- tion Contract itself, through its agents or through inde- pendent contractors; or 4.3 Obtain bids or negotiated proposals from qualified contractors acceptable to the Owner for a contract for performance and completion of the Con- struction Contract, arrange for a contract to be pre. pared for execution by the Owner and the contractor selected with the Owner's concurrence, to be secured with performance and payment bonds executed by a qualified surety equivalent to the bonds issued on the Construction Contract, and pay to the Owner the amount of damages as described in Paragraph 6 in ex- cess of the Balance of the Contract Price incurred by the Owner re >sulting, from the Contractor's default; or 4..4 Waive its right to perform and complete, arrange for completion, or obtain a new contractor and with reasonable promptness under the circumstances: .1 After investigation, determine the amount for ~which it may be liable to the Owner and, as soon as practicable after the amount is deter. mined, tender payment therefor to the Owner; or .2 Deny liability in ~whole or in part and notify the Owner citing reasons therefor. S If the Surety does not proceed as provided in Paragraph 4 with reasonable promptness, the Surety shall be deemed to be in default on this Bond fifteen days after receipt of an additional written notice from the Owner to the Surety demanding that the Surety perform its obligations under this Bond, and the Owner shall be entitled to enforce anv remedy available to the O- wrier. If the Surety proceeds as provided In Subparagraph 4.4, and the Owner refuses the payment tendered or the Surely has denied liability. in whole or in part, without further notice the Owner shall be entitled to enforce any remedy available to the Owner. 6 After the Owner has terminated the Contractor's right to complete the Construction Contract, and if the Surety elect$ to act under Subparagraph 4.1, 4.:, or 4.3 above, then the responsibilities of the Surety to the Owner shall not be greater than those of the Contractor under the Construction Contract, and the responsibilities of the Owner to the Surety shall not be greater than those of the Owner under the Construction Contract. To the limit of the amount of this Bond, but subject to commitment by the Owner of the Balance of the Contract Price to mitigation of costs and damages on the Construction Contract, the Sure- ty is obligated without duplication for: 6.1 The responsibilities of the Contractor for correct tion of defective work and completion of the Construe. tion Contract; 6.2 Additional legal, design professional and delay costs resulting from the Contractor's Default, and re- sulting from the actions or failure to act of the Surety under Paragraph 4 and 6.3 Liquidated damages, or if no liquidated damages are specified in the Construction Contract, actual dam- ages caused by delayed' performance or non »perfor - mance of the Contractor. 7 The Surety shall not be liable to the Owner or others for obligations of the Contractor that are unrelated to the Con. struction Contract, and the Balance of the Contract Price shall not be reduced or set off on account of any such unrelated obligations. No right of action shall accrue on this Bond to any person or entity other than the Owner or its heirs, executors, administrators or successors. 8 The Surety hereby wwalves notice of any change, inched• ing changes of time, to the Construction Contract or to related subcontracts, purchase orders and other obliga- tions. 9 Any proceeding, legal or equitable, under this Bond maybe instituted in any court of competent jurisdiction in the location in ~which theworkor part of thewwork is located and shall be instituted wvithin two years after Contractor Default or within two years after the Contractor ceased working or within two years after the Surety refuses or fails to perform its obligations under this Bond, whichever oc. curs first. If the provisions of this Paragraph are void or prohibited by law, the minimum period of limitation avail- AIA DOCUMENT A312 + PERFORMANCE BOND AND PAYMENT BOND . DECEMBER 1984 ED. • AIA 0 THE AMERICAN INSTITUTE OF ARCHITECTS, 1735 NEW YORK AVE., N.W., WASHINGTON, D.0 20006 A312 -1984 2 THIRD PRINTING. MARCH 1987 able to sureties as a defense in the jurisdiction of the suit shall be applicable. 10 Notice to the Surety, the Owner or the Contractor shall be mailed or delivered to the address shown on the sig- nature page. 11 When this Bond has been furnished to comply with a statutory or other legal requirement in the location where the construction was to be performed, any provision in this Bond conflicting with said statutory or legal requirement shall be deemed deleted herefrom and provisions con- forming to such statutory or other legal requirement shall be deemed incorporated herein. The intent is that this Bond shall be construed as a statutory bond and not as a common law bond. 12 DEFINITIONS 12.1 Balance of the Contract Price- The total amount payable by the Owner to the Contractor under the Construction Contract after all proper adjustments have been made, including allowance to the Con- MODIFICATIONS TO THIS BOND ARE AS FOLLOWS: tractor of any amounts received or to be received by the Owner in settlement of insurance or other claims for damages to which the Contractor is entitled, re- duced by all valid and proper payments made to or on behalf of the Contractor under the Construction Con- tract. 12.2 Construction Contract: The agreement between the Owner and the Contractor identified on the sig- nature page, including all Contract Documents and changes thereto. 12.3 Contractor Default: Failure of the Contractor, which has neither been remedied nor waived, toper- form or otherwise to comply with the terms of the Construction Contract, 12.4 Owner Default: Failure of the Owner, which has neither been remedied nor waived, to pay the Con- tractor as required by the Construction Contract or to perform and complete or comply with the other terms thereof, (Space is provided below for additional signatures of added parties, other than those appearing on the cover page.) CONTRACTOR AS PRINCIPAL SURETY Company: (Corporate Seal) Company: (Corporate Seal) Signature: Name and Title: Address: Signature: Name and Title: Address: AIA DOCUMENT A312 * PERFORMANCE BOND AND PAYMENT BOND a DECEMBER 1984 ED. * AIA 0 THE AMERICAN INSTITUTE OF ARCHITECTS, 1735 NEW YORK AVE., N W., WASHINGTON, D.C. 20006 A312-1984 3 THIRD PRINTING a MARCH 1967 THE AMERICAN INSTITUTE OF ARCHITECTS MA Bond No. 539663 AIA Document A312 I Any singular reference to Contractor, Surety, Owner or other party shall be considered plural where applicable. CONTRACTOR (Name and Address): AFM Contracting 165 Tracy Ann Drive Belgrade, MT 59714 OWNER (Name and Address): City of Bozeman PO Box 1230 Bozeman, MT 59771 SURETY (Name and Principal Place of Business): Developers Surety and Indemnity Company P. O. Box 19725 Irvine, CA 92623 CONSTRUCTT CONTRACT Date; -7 2 796.00 Twenty Nine Thousand Seven Hundred Ninety Six Dollars and 00/100 Description (Name and Location).City of Bozeman - Lower Yards Sewer Service Project BOND Date (Not earlier than Construction Contract Date): Amount: $29,796,00 Twenty Nine Thousand Seve Hundred Ninety Six Dollars and 00/100 Modifications to this Bond: El None FX See Page 6 CONTRACTOR AS PRINCIPAL Company: (Corporate Seal) AFM Contracting Signature: Name and Title: J+V� I VAe - , - 7u,Er_ (Any additional signatures appear on page 6) SURETY Company: (Corporate Seal) Developers Surety and Indemnity Company Signature Name and Title: Allan HuItgren Attorney -in -Fact (FOR INFORMATION ONLY' - Name, Address and Telephone) OWNER'S REPRESENTATIVE (Architect, Engineerorother AGENT or BROKER: party) Payne Financial Group, Inc. 2323 2nd Ave. North Billings, MT 59107 AIA DOCUMENT A312 e PERFORMANCE BOND AND PAYMENT BOND a DECEMBER 1984 ED. • AIA 0 THE AMERICAN INSTITUTE OF ARCHITECTS. 1735 NEW YORK AVE., N.W., WASHINGTON, D.C. 20006 A312-1984 4 THIRD PRINTING* MARCH 1987 I The Contractor and the Surety, jointly and severally, bird th*moe|vep, their heirs, exmou0zm, administrators, muoo*swono and assigns to the Owner 0m pay for labor, materials and equipment furnished for use in the pe rformance of the Construction ConLract, which is incorporated herein byreference. 2 With respect Aothe Owner, this obligation shall be null and void if the Contractor: 2.1 Promptly makes payment, directly or indirectly, for all sums due Claimants, and 2.2 Defends, indemnifies and holds harmless the Owner from claims, demands, [k*nn or suits by any person or entity whose claim, demand, lien or suit is for the payment for labor, materials or equipment furnished for use in the performance of the Construction Contract, provided the Owner has promptly notified the Contractor and the Surety (at the address described |n Paragraph 12) of any o}a[mo demands, liens or nudm and tendered defense of such o|aima, donnondo, liens or suits to the Contractor and the Burety, and provided there imnm Owner Default. 3 With respect bo Claimants, this obligation shall benull and void if the Contractor promptly makes payment, directly or indirectly, for all sums due, 4. The Surety shall have no obligation to Claimants under this Bond until* 4`1 Claimants who are employed by or have direct contract with the Contractor have given notice to t Surety (at the address described in Paragraph 12) and sent a copy, or notice thereof, h` the Owner, stating that a claim is being mad* under this Bond and, with substantial accuracy, the amount of the claim. 4.2 Claimants who do not have u direct contract with the Contractor: .1 Have furnished written notice to the Contractor and sent a oopy, or notice thereof to the Owner, within AO days after having last performed labor or last furnished materials or equipment included |n the claim stating, with substantial orounauy, the amount of the claim and the name of the party to whom the materials more furnished or supplied or for whom the labor was done or performed; and .2 Have either received m rejection in whole or[n part from the Contractor, mr not received within 88 days of furnishing the above notice any communication from the Contractor by which the Contractor has indicated the u|o|m will be paid directly or indirectly; and .3 Not having been paid within the above 38 days, have sent awritten notice to the Su rety (at the address described in Pem0nuph 12) and oomt a copy, or notice thereof, to the Owner, stating that u claim iu being made under this Bond and enclosing a copy of the previous vvri(0an notice furnished to the Contractor. 5 If o notice required by Paragraph 4 is given by the Owner 0o the Contractor or 8z the Sunety, that is auffioiemi compliance. 8 When the Claimant has satisfied the conditions of Paragraph 4, the Surety shall promptly and adthe Surety's expense take the following actions: 6.1 Send am answer Vn the Claimant, with o copy hothe Owner, within 45 days after receipt of the claim, stating the amounts that are undisputed and the basis for challenging any amounts that are disputed. 6.2 Pay or arrange for payment of any undisputed amounts, 7 The Surety's total obligation shall not exceed the amount of this Bond, and the amount o/this Bond shall bo cred for any payments made in good hnMh by the Surety. �8 Amounts owed by the Owner to the Contractor under the Construction Contract shall be used for the pmdvnmenoe of the Construction Contract and bo satisfy claims, if any, under any Construction Performance Bond, By the Contractor furnishing and the Owner accepting this Bond, they agree that all funds earned by the Contractor in the performance mf the Construction Contract are dedicated Co satisfy obligations of the Contractor and the Surety under this Bond, subject tm the Owner's priority to use the funds for the completion of the work. 8 The Surety shall not beliable iu the Owner, Claimants or others for obligations of the Contractor that are unrelated to the Construction Contract. The Owner shall not be liable for payme of any costs or expommoo of any Claimant under this Bond, and shall have under this Bond no obligations to make payments to, give notices on behalf of, or otherwise have obligations to Claimants under this Bond'. 10 The Surety hereby waives notice of any ohango, including changes of time, to the Construction Contract orto related subcontracts, purchase orders and other obligations. 11 No suit or action shall be commenced by u Claimant under this Bond other than in e court of competent jurisdiction in the location in which the mmdh or part of the work is located or after the expiration of one year from the date (1)on which the Claimant gave the notice required by Subparagraph 4.1 or Clause 4.2.3, or(2)nn which the last labor or oomioe was performed by anyone or the last materials or equipment were furnished by anyone under the Construction Contract, whichever of(1)nr(2) first occurs. If the provisions of this Paragraph are void or prohibited by law, the minimum period of limitation available 8z sureties an o defense in the jurisdiction of the suit shall beapplicable, 12 Nu&im* 0o the Surety, the Owner or the Contractor shall be mailed or delivered to the address shown on the signature poQ*. Actual receipt of notice by Surety, the Owner orthe Contractor, however accomplished, shall be sufficient compliance as of the date received at the address shown on the signature page. 13 When this Bond has been furnished to comply with o statutory or other legal requirement in the location where the construction was 1obe performed, any provision |n this Bond mA DOCUMENT xn1z *PERFORMANCE BOND AND PAYMENT BOND ° DECEMBER 1mw ED, ~AIA 0 THE AMERICAN INSTITUTE OF ARCHITECTS, 1735 NEW YORK AVE, N.W- WASHINGTON, D.C. 20006 A212-1984 THIRD PRINTING "MARCH 1987 conflicting with said statutory or legal requirement shall be deemed deleted herefrom and provisions conforming to such statutory or other legal requirement shall be deemed incorporated herein. The intent io that this Bond shall be construed as a statutory bond and not as a common law bond. Upon request by any person or entity appearing to be potential beneficiary of this Bond. the Contractor shall promptly furnish m copy cJ this Bond or shall permit acopy Nbemade. 15 DEFINITIONS 15.1 Claimant: An individual or entity having adirect contract with the Contractor orwith o subcontractor of the Contractor tofurnish |abur, ma&ohu|u or equipment for use |n the performance of the Contract. The intent nf this Bond shall bntn include without limitation inthe k*onn ^|abnr, materials or equipment" that part of water, gas, power, light, heat, oil, gasoline, telephone MODIFICATIONS TO THIS BOND ARE AS FOLLOWS: service orrental equipment used in the Construction Contract, architectural and engineering ommimym required for performance of the work of the Contractor and the Contractor's mubpontroctom, and all other items for which a mechanic's lien may bo asserted in the jurisdiction where the |obmr' motamelo or equipment were furnished. 15:2 Construction Contract: The agreement between the Owner and the Contractor identified on the signature page, including all Contract Documents and changes thereto, 15.3 OwnnOefault:FailumofUheQwner,mhiohhas neither been remedied nor vaived, to may t Contractor au required by the Construction Contract or in perform and complete or comply with the other terms thereof. § 6 When the Claimant has satisfied the conditions of Section 4 Surety shall promptly and at the Surety's expense take the following actions: § 6.1 Send an answer to the Claimant, with ocopy to the Owner, within 4560 days after receipt of the claim, stating the amounts that are undisputed and the basis for challenging any amounts that are disputed, 862 Pay nr arrange for payment oCany undisputed amounts. § 6.3 The Surety's failure to discharge its obligations under this Section 6 shall not be deemed to constitute a waiver of defenses the Sure�y or Contractor mgy have or acquire as to a claim. However, if the SMLety fails to dischaEge its obligations under this Section 6, the Sure1y shall indemnify the Claimant for the reasonable attorn2y's fees the Claimant incurs to recover qny sums found to be due and owing to th (Space is provided below for additional signatures of added parties, other than those appearing onthe cover page.) CONTRACTOR AS PRINCIPAL SURETY Company: (Corporate Seal) Company: (Corporate Seal) Signakune:___. Name and Title: Signatuny:___� Name and Title: AIA DOCUMENT A312o PERFORMANCE BOND AND PAYMENT BOND@ DECEMBER 1984 ED. a AIAO THE AMERICAN INSTITUTE OF ARCHITECTS, 1735 NEW YORK AVE., N.W., WASHINGTON, D.C. 20006 A3124984 THIRD PRINTING ° MARCH 1am POWK80FATT0RNEYR)R DEVELOPERS SURETYANDlNDEJQNlTYC0&YpANY 1>`ooX/9'25.Inx/ws.c),*ze1 04L)) 103-3101) KNOW ALL Mcmuvrxf�u,pmt xNx/u that except asunu^uv limited, orzam«usscms/v^womoema/r/rnmMw, does x*"v make conu mu app= ***Allan Hu|tigren jointly orsevera|ly*** as its true and lawful * make, cxe^ te.ucnvc,wu""kn"°/voge.m,um"ubehalrvv*num1"pvm'/uoa%,u,ety,u^mds'undertakin and contracts vra.,rty^h.ng"`"e and :*^=uunto said aovmo°>~",,n full power and aummuxtouu and m=mnu*`*y act ^ecwsam^ requisite m proper ,auc done /" connection `/nmp`thu^the corpmui"n c do, but re%en^c the corporation tux power ",`obs,a"o"" and n"mm.vn. and all ^rmc acts urstm^u^m,)(,',n' Fact, par�.uant to these pi are lierebv ratified and confirmed. ]his Power ofmttomeVa and *utgried b� facsimile under and usmth"iv,mm° f resolutio adopted bi, the Board m Directors ^fnsvumpERu SL RE n AND /wDFNIN/omwpAN,eff�u morwacmb,T/.20(M RhSOL'v L.D. that the Chairman of1he Board. the P andanr ncc Presiden ot the corpora be,andihateach ofthem hereb isatathorized to execu Po~ u,^r«u^mc».vpuxf�-mn the `u^muy(^)'.n'l-"c'n:nuo," the p^w'~^/*wm,»m execute, uohvh^u.,r the c bonds, ""u*mm|,e^ and contracts ..r sui~t+|.^n.and that the Secretary "r an) au~u=,'wcm"n"r the "onxvoiou tic. and each ^f them uuQby is, authorized w attest the execution m any such Power of sn^mev, uLuuu/e).nx|xeR, that the vuo*"re, (if such officers ,navmc affixed ro^ny such Power o/xum.c�.".v'mz certificate o)aumg thereto xvu*.,.^|^. and an SULh p^wom| Attorne .r certificate bearin ,u'uuu`.m,/c^innutuiv, ,hall x,^a`u and binding upon the c"rp^nu,`mwhen *afnxz:d and .°mvmmre"~tu respe m an bora. undertakin m contract "fwretNslupmxx*xx|sattached /nmrsnsox/*enaOF,oeVeuw»nuurmnrN AND /nnpAIuov COMPANY has ^um*uthese presents ^.*c^lgnCd,y^uu°p**v*n*=mpc Vice President and attested by its ScCrctar,v (his Ist dav of Deccmbet, 2005 AND e4� CO 1936 $0 Waltet Crowell, Secretary SIM F, OF CALIFORNIA COUNTY oFnxAp6e On Decciribor/.2005 before roc, Gina Lwrncr,motar� Public (here insert ralne and title ofthe officer), PeM)nally UppCUTed David aRhodes andWaltcr ^.cnmN ell, personally known *mv(mn°ved*nit! on mo*a° r uwhow"mme(wis,'uTeouuscnoedmmu within instrument and acknowleitiged to me that he they executed theume`ofi/s�^m/m/r=",hom=ucapn/tw/es/.andmu,ym. 4' or the entity upon behalf of%hioh the PerNoins) acted, cxccutvd thc instrunieril WITNESS *v hand and official seal GINAA L. GARNER L "'E COMM. # 1569561 NOTARY PUBLIC CALIFORNIA � Sig (SEAL) ORANGE COUNTY CERTIFICATE rlievndo-siwed. us Assistant cecretar�, (it oEVLmPmoxumev AND INn[-.MNo,aMmNY, does hereb certify that the foregoing Powerof Attorney remuinx in full force and fia" not been icooked and turthermorc, that the provisions ofthe resolution ofthe respeorve Boards ofDirectors o'baid corporation set forth .0 the po"ourAnvnrp|si* force as"uu" dale ur/moCertificate rx^ Certificate .^ executed = the City vrumm^. California, the _�__awwr By Albert Hillebrand, As%istant Secretary mnraAs AVVll\w CERTIFICATE LIABILITY I C DATE(MMIDD /YYYY) Y 5/2312010 PRODUCER THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION Hoiness LaBar Insurance ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE A Member of Payne Financial Group P.O. Box 30538 HOLDER. THIS CERTIFICATE DOES NOT AMEND, EXTEND OR ALTER THE COVERAGE AFFORDED BY THE POLICIES BELOW. GENERAL LIABILITY X COMMERCIAL GENERAL LIABILITY CLAIMS MADE ® OCCUR X PD Ded:500 CAP5192776 Billings, MT 59107 -0638 INSURERS AFFORDING COVERAGE NAIL # INSURED AFM Contracting 165 Tracy Ann Dr Belgrade, MT 59714 INSURERA Cincinnati Insurance (Company $1 OO 0OO , INSURER B: $5,000 INSURER c $1 000 000 INSURER D: INSURER E: s2,000,000 GEN "L AGGREGATE LIMIT APPLIES PER. POLICY X JEQ LOC COVERAGES THE POLICIES OF INSURANCE LISTED BELOW HAVE BEEN ISSUED TO THE INSURED NAMED ABOVE FOR THE POLICY PERIOD INDICATED. NOTWITHSTANDING ANY REQUIREMENT, TERM OR CONDITION OF ANY CONTRACT OR OTHER DOCUMENT WITH RESPECT TO WHICH THIS CERTIFICATE MAY BE ISSUED OR MAY PERTAIN, THE INSURANCE AFFORDED BY THE POLICIES DESCRIBED HEREIN IS SUBJECT TO ALL THE TERMS, EXCLUSIONS AND CONDITIONS OF SUCH POLICIES, AGGREGATE LIMITS SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS. INSR LT LTR 'NSR SR TYPE OF INSURANCE POLICY NUMBER POLICY EFFECTIVE DATE M DD POLICY EXPIRATION DATE MMIDDIYY LIMITS A X GENERAL LIABILITY X COMMERCIAL GENERAL LIABILITY CLAIMS MADE ® OCCUR X PD Ded:500 CAP5192776 06127109 06127/11 EACH OCCURRENCE S11,000 DAMAGE TO RENTED LEa occurrence) $1 OO 0OO , MED EXP (Any one per on) $5,000 PERSONAL & ADV INJURY $1 000 000 GENERAL AGGREGATE s2,000,000 GEN "L AGGREGATE LIMIT APPLIES PER. POLICY X JEQ LOC PRODUCTS . COMP,'OP AGG $2 A AUTOMOBILE LIABILITY ANY AUTO ALL OWNED AUTOS SCHEDULED AUTOS HIREDAUTOS NON -OWNED AUTOS CAP5192776 05127/09 06127111 COMBINED SINGLE LIMIT (Ea accident) $1,000,000 BODILY INJURY (Per person) X X BODILY INJURY (Per accNenl) $ X PROPERTY DAMAGE (Per accident) $ GARAGE LIABILITY ANY AUTO AUTO ONLY - EA ACCIDENT $ OTHER THAN EA ACC AUTO ONLY AGG $ $ A EXCESSIUMBRELLA LIABILITY X OCCUR FI CLAIMS MADE DEDUCTIBLE RETENTION $ CAP5192776 06127109 06127111 EACH OCCUR $1 000 000 AGGREGATE $1,000 $ $ WORKERS COMPENSATION AND EMPLOYERS' LIABILITY ANY PROPRIETOR/PARTNER/EXECUTIVE OFFICERIMEMBER EXCLUDED? If yes, describe under SPECIAL PROVISIONS below WC STATU- OTH- .Tl E L EACH ACCIDENT --.u $ E.L. DISEASE - EA EMPLOYEE $ E L. DISEASE - POLICY LIMIT $ OTHER DESCRIPTION OF OPERATIONS 1 LOCATIONS I VEHICLES I EXCLUSIONS ADDED BY ENDORSEMENT i SPECIAL PROVISIONS Re: City of Bozeman - Lower Yards Sewer Service Project. The City of Bozeman Engineering Dept. PO Box 1230 Bozeman, MT 59771 w SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE THE EXPIRATION DATE THEREOF, THE ISSUING INSURER WILL ENDEAVOR TO MAIL —45 DAYS WRITTEN NOTICE TO THE CERTIFICATE HOLDER NAMED TO THE LEFT, BUT FAILURE TO DO SO SHALL IMPOSE NO OBLIGATION OR LIABILITY OF ANY KIND UPON THE INSURER, ITS AGENTS OR REPRESENTATIVE — %= —.1 I UT L fF004UU3D1IVI40404Z LN1 O AQUR® CORPORATION 1988