HomeMy WebLinkAbout2025-007 W.M. Lyles Co. Lift Stations 4 7 11
CITY OF ATASCADERO
CONSTRUCTION CONTRACT
WITH
W.M. LYLES CO.
FOR
LIFT STATION #4, 7, & 11 REHABILITATION PROJECT
CITY PROJECT NO. C2021W01
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City of Atascadero
PUBLIC WORKS
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CONTRACTOR SERVICES AGREEMENT
THIS CONTRACT is made and entered into between City of Atascadero, a Municipal Corporation
(“City”), and W.M. Lyles Co. (“Contractor”). City and Contractor agree as follows:
1. SCOPE AND STANDARDS:
A. CONTRACT. Contractor shall do all work, attend all meetings, produce all reports and carry
out all activities necessary to complete the services described in the SCOPE OF WORK AND STANDARDS
FOR SERVICES, attached hereto and incorporated herein by this reference as Exhibit A, as requested by
the City. This Contract and its exhibits shall be known as the “Contract Documents.” Terms set forth in
any Contract Document shall be deemed to be incorporated in all Contract Documents as if set forth in
full therein.
2. EMPLOYMENT STATUS OF PERSONNEL:
A. INDEPENDENT CONTRACTOR; EMPLOYEES OF CONTRACTOR. Contractor enters
into this Contract as, and shall at all times remain as to the City, an independent contractor and not as
an employee of the City. Nothing in this Contract shall be construed to be inconsistent with this
relationship or status. Any persons employed by Contractor for the performance of services pursuant
to this Contract shall remain employees of Contractor, shall at all times be under the direction and
control of Contractor, and shall not be considered employees of City. All persons employed by
Contractor to perform services pursuant to this Contract shall be entitled solely to the right and privileges
afforded to Contractor employees and shall not be entitled, as a result of providing services hereunder,
to any additional rights or privileges that may be afforded to City employees.
B. INDEPENDENT INVESTIGATION. The Contractor agrees and hereby represents it has
satisfied itself by its own investigation and research regarding the conditions affecting the work to be
done and labor and materials needed, and that its decision to execute this Contract is based on such
independent investigation and research.
C. COMPLIANCE WITH EMPLOYMENT LAWS. The Contractor shall keep itself fully
informed of, shall observe and comply with, and shall cause any and all persons, firms or corporations
employed by it or under its control to observe and comply with, applicable federal, state, county and
municipal laws, ordinances, regulations, orders and decrees which in any manner affect those engaged
or employed on the work described by this Contract or the materials used or which in any way affect the
conduct of the work.
D. UNLAWFUL DISCRIMINATION PROHIBITED. Contractor shall not engage in unlawful
employment discrimination. Such unlawful employment discrimination includes, but is not limited to,
employment discrimination based upon a person’s race, religious creed, color, national origin, ancestry,
physical handicap, medical condition, marital status, gender, citizenship or sexual orientation.
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3. TIME OF PERFORMANCE:
The services of Contractor are to commence upon execution of this Contract by City, and shall be
undertaken and completed in a prompt and timely manner, in accordance with the Scope of Work
referenced in Exhibit A. Except as provided in Sections 6 and 19 below, this Contract shall terminate no
later than June 30, 2026, unless extended by the mutual agreement of both parties.
4. COMPENSATION:
A. TERMS. Compensation to the Contractor shall be as set forth in Exhibit B attached hereto
and made a part hereof.
B. NO PAY FOR ADDITIONAL SERVICES WITHOUT WRITING. Contractor shall not be
compensated for any services rendered in connection with its performance of this Contract, which are
in addition to those set forth herein or listed in Exhibit A, unless such additional services are authorized
in advance and in writing by the City Manager or the City Manager’s designee (hereinafter “City
Manager” shall include the City Manager’s designee). Contractor shall be compensated for any additional
services in the amounts and in the manner as agreed to by the City and Contractor at the time City’s
express written authorization signed by the City Manager is given to Contractor for the performance of
said services.
5. SUPERVISION, LABOR AGREEMENTS AND PERSONNEL:
A. CONTRACTOR SUPERVISES PERSONNEL. The Contractor shall have the responsibility
for supervising the services provided under this Contract, hiring of personnel, establishing standards of
performance, assignment of personnel, determining and affecting discipline, determining required
training, maintaining personnel files, and other matters relating to the performance of services and
control of personnel. The City Manager may use any reasonable means to monitor performance and the
Contractor shall comply with the City’s Manager’s request to monitor performance.
B. PERFORMANCE NOT SUBJECT TO EMPLOYMENT AGREEMENTS. The City
acknowledges that the Contractor may be obligated to comply with bargaining agreements and/or other
agreements with employees and that the Contractor is legally obligated to comply with these Contracts.
It is expressly the intent of the parties and it is agreed by the parties that the Contractor’s performance
shall not in any manner be subject to any bargaining agreement(s) or any other agreement(s) the
Contractor may have covering and/or with is employees.
C. APPROVAL OF STAFF MEMBERS. Contractor shall make every reasonable effort to
maintain the stability and continuity of Contractor’s staff assigned to perform the services required
under this Contract. Contractor shall notify City of any changes in Contractor’s staff to be assigned to
perform the services required under this Contract and shall obtain the approval of the City Manager of
a list of all proposed staff members who are to be assigned to perform services under this Contract prior
to any such performance.
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6. TERMINATION:
A. 30 DAYS NOTICE. The City, upon thirty (30) days written notice, may terminate this
Contract, without cause, at any time. In the event of such termination, Contractor shall be compensated
for non-disputed fees under the terms of this Contract up to the date of termination.
B. OBLIGATIONS SURVIVE TERMINATION. Notwithstanding any termination of this
Contract, Contractor shall not be relieved of liability to the City for damages sustained by the City by
virtue of any breach of this Contract by Contractor, and the City may withhold any payments due to
Contractor until such time as the exact amount of damages, if any, due the City from Contractor is
determined. All of the indemnification, defense and hold harmless obligations in this Contract shall
survive termination.
7. CHANGES:
The City or Contractor may, from time to time, request changes in the scope of the services of
Contractor to be performed hereunder. Such changes, including any increase or decrease in the amount
of Contractor’s compensation and/or changes in the schedule must be authorized in advance by both
Parties in writing. Mutually agreed changes shall be incorporated in written amendments to this
Contract. Any increase in the amount of Contractor’s compensation and/or changes in Exhibit A and or
Exhibit B must be authorized in advance by the City Manager.
8. PROPERTY OF CITY:
A. MATERIALS PREPARED EXCLUSIVE PROPERTY OF CITY. It is mutually agreed that all
materials prepared by the Contractor under this Contract are upon creation and shall be at all times the
exclusive property of the City, and the Contractor shall have no property right therein whatsoever. City
agrees that Contractor shall bear no responsibility for any reuse of the materials prepared by the
Contractor if used for purposes other than those expressly set forth in the Intended Use of Contractor’s
Products and Materials section of this Contract. Contractor shall not disseminate any information or
reports gathered or created pursuant to this Contract without the prior written approval of City including
without limitation information or reports required by government agencies to enable Contractor to
perform its duties under this Contract and as may be required under the California Public Records Act
excepting therefrom as may be provided by court order. Contractor will be allowed to retain copies of
all deliverables.
B. CONTRACTOR TO DELIVER CITY PROPERTY. Immediately upon termination, or upon
the request by the City, the City shall be entitled to, and the Contractor shall deliver to the City, all data,
drawings, specifications, reports, estimates, summaries and other such materials and property of the
City as may have been prepared or accumulated to date by the Contractor in performing this Contract.
Contractor will be allowed to retain copies of all deliverables to the City.
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9. CONFLICTS OF INTEREST:
A. CONTRACTOR covenants that neither it, nor any officer or principal of its firm, has or shall
acquire any interest, directly or indirectly, which would conflict in any manner with the interests of City
or which would in any way hinder Contractor’s performance of services under this Contract. Contractor
further covenants that in the performance of this Contract, Contractor shall take reasonable care to
ensure that no person having any such interest shall be employed by it as an officer, employee, agent or
subcontractor without the express written consent of the City Manager. Contractor agrees to at all times
avoid conflicts of interest or the appearance of any conflicts of interest with the interests of City in the
performance of this Contract. Contractor agrees to include language similar to this Section 9(A) in all
contracts with subcontractors and agents for the work contemplated herein.
10. CONFIDENTIAL INFORMATION:
A. ALL INFORMATION KEPT IN CONFIDENCE. All materials prepared or assembled by
Contractor pursuant to performance of this Contract are confidential and Contractor agrees that they
shall not be made available to any individual or organization without the prior written approval of the
City, except by court order.
B. REIMBURSEMENT FOR UNAUTHORIZED RELEASE. If Contractor or any of its officers,
employees, or subcontractors does voluntarily provide information in violation of this Contract, the City
has the right to reimbursement and indemnity from party releasing such information for any damages
caused by the releasing party’s, including the non-releasing party’s attorney’s fees and disbursements,
including without limitation expert’s fees and disbursements.
C. COOPERATION. City and Contractor shall promptly notify the other party should
Contractor or City, its officers, employees, agents, or subcontractors be served with any summons,
complaint, subpoena, notice of deposition, request for documents, interrogatories, request for
admissions or other discovery request, court order or subpoena from any party regarding this Contract
and the work performed thereunder or with respect to any project or property located within the City.
City and Contractor each retains the right, but has no obligation, to represent the other party and/or be
present at any deposition, hearing or similar proceeding. Contractor and City agree to cooperate fully
with the other party and to provide the other party with the opportunity to review any response to
discovery requests provided by Contractor or City. However, City and Contractor’s right to review any
such response does not imply or mean the right by the other party to control, direct, or rewrite said
response.
11. PROVISION OF LABOR, EQUIPMENT AND SUPPLIES:
A. CONTRACTOR PROPERTY. Contractor shall furnish all necessary labor, supervision,
equipment, communications facilities, and supplies necessary to perform the services required by this
Contract except as set forth in Exhibit C. City acknowledges that all equipment and other tangible assets
used by Contractor in providing these services are the property of Contractor and shall remain the
property of Contractor upon termination of this Contract.
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B. SPECIAL SUPPLIES. City shall be responsible for supplying any special supplies,
stationary, notices, forms or similar items that it requires to be issued with a City logo. All such items
shall be approved by the City Manager and shall be provided at City’s sole cost and expense.
12. COMPLIANCE WITH LAW:
A. COMPLIANCE REQUIRED. Contractor shall keep itself informed of applicable local, state,
and federal laws and regulations which may affect those employed by it or in any way affect the
performance of its services pursuant to this Contract. Contractor shall observe and comply with all
applicable laws, ordinances, regulations and codes of federal, state and local governments, and shall
commit no trespass on any public or private property in performing any of the work authorized by this
Contract. Contractor shall at all times hold a valid contractor’s license if performing any function or
activity for which a license is required pursuant to Chapter 9 (commencing with section 7000) of Division
3 of the California Business and Professions Code, and Contractor shall provide a copy of the license(s)
upon the request of the City. The City, its officials, officers, elected officials, appointed officials and
employees shall not be liable at law or in equity as a result of any failure of contractor to comply with
this section.
B. PREVAILING WAGES. In the event it is determined that the Contractor is required to pay
prevailing wages for the work performed under this Agreement, the Contractor shall pay all penalties
and wages as required by applicable law.
13. SUBCONTRACTING:
None of the services covered by this Contract shall be subcontracted without the prior written
consent of the City Manager. Contractor shall be as fully responsible to the City for the negligent acts
and omissions of its contractors and subcontractors, and of persons either directly or indirectly
employed by them, as it is for the negligent acts and omissions of persons directly employed by
Contractor.
14. ASSIGNABILITY:
Contractor shall not assign or transfer any interest in this Contract whether by assignment or
notation. However, claims for money due or to become due Contractor from the City under this Contract
may be assigned to a financial institution, but only with prior written consent of the City Manager. Notice
of any assignment or transfer whether voluntary or involuntary shall be furnished promptly to the City.
The rights and benefits under this agreement are for the sole and exclusive benefit of the City and this
Contract shall not be construed that any third party has an interest in the Contract.
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15. LIABILITY OF CONTRACTOR:
Contractor shall be responsible for performing the work under this Contract in a manner which
is consistent with the generally accepted standards of Contractor’s profession and shall be liable for its
own negligence and the negligent acts of its employees, agents, contractors and subcontractors. The
City shall have no right of control over the manner in which the work is to be done but only as to its
outcome, and shall not be charged with the responsibility of preventing risk to Contractor or its
employees, agents, contractors or subcontractors.
16. INDEMNIFICATION:
A. INDEMNIFICATION FOR PROFESSIONAL LIABILITY. When the law establishes a
professional standard of care for Contractor’s Services, to the fullest extent permitted by law, Contractor
shall indemnify, protect, defend and hold harmless City and any and all of its officials, employees and
agents (“Indemnified Parties”) from and against any and all losses, liabilities, damages, costs and
expenses, including attorney’s fees and costs to the extent same are caused in whole or in part by any
negligence, or wrongful act, error or omission of Contractor, willful misconduct, or recklessness of its
officers, agents, employees or subcontractors (or any entity or individual that Contractor shall bear the
legal liability thereof) in the performance of professional services under this agreement. With respect
to the design of public improvements, the Contractor shall not be liable for any injuries or property
damage resulting from the reuse of the design at a location other than that specified in Exhibit D without
the written consent of the Contractor.
B. INDEMNIFICATION FOR OTHER THAN PROFESSIONAL LIABILITY. Other than in the
performance of professional services and to the full extent permitted by law, Contractor shall indemnify,
defend and hold harmless City, and any and all of its employees, officials and agents from and against
any liability (including liability for claims, suits, actions, arbitration proceedings, administrative
proceedings, regulatory proceedings, losses, expenses or costs of any kind, whether actual, alleged or
threatened, including attorney’s fees and costs, court costs, interest, defense costs, and expert witness
fees), where the same arise out of, are a consequence of, or are in any way attributable to, in whole or
in part, the performance of this Agreement by Contractor or by any individual or entity for which
contractor is legally liable, including but not limited to officers, agents, employees or subcontractors of
Contractor.
C. GENERAL INDEMNIFICATION PROVISIONS. Contractor agrees to obtain executed
indemnity agreements with provisions identical to those set forth here in this section for each and every
subcontractor or any other person or entity involved by, for, with or on behalf of Contractor in the
performance of this agreement. In the event contractor fails to obtain such indemnity obligations from
others as required here, Contractor agrees to be fully responsible according to the terms of this section.
Failure of City to monitor compliance with these requirements imposes no additional obligations on City
and will in no way act as a waiver of any rights hereunder. This obligation to indemnify and defend City
as set forth here is binding on the successor, assigns or heirs of Contractor and shall survive the
termination of this agreement or this section.
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D. INDEMNITY PROVISIONS FOR CONTACTS RELATED TO CONSTRUCTION. Without
affecting the rights of City under any provision of this agreement, Contractor shall not be required to
indemnify and hold harmless City of liability attributable to the active negligence of City, provided such
active negligence is determined by agreement between the parties or by the findings of a court of
competent jurisdiction. In instances where City is shown to have been actively negligent and where
City’s active negligence accounts for only a percentage of the liability involved, the obligation of
contractor will be for that entire portion or percentage of liability not attributable to the active
negligence of City.
17. INSURANCE:
Contractor shall maintain prior to the beginning of and for the duration of this Agreement
insurance coverage as specified in Exhibit E attached to and part of this agreement.
18. RECORDS:
Contractor shall maintain complete and accurate records with respect to labor costs, material
expenses, parcels abated or serviced and other such information required by City that relates to the
performance of services under this Contract. Contractor shall maintain adequate records of services
provided in sufficient detail to permit an evaluation of services. All such records shall be maintained in
accordance with generally accepted accounting principles and shall be clearly identified and readily
accessible and in a form acceptable to the City, which the City may specify and change from time to time.
Contractor shall provide free access to the representatives of City or its designees, at reasonable times,
to such books and records, shall give City the right to examine and audit said books and records, shall
permit City to make transcripts therefrom as necessary, and shall allow inspection of all work, data,
documents, proceedings, and activities related to this Contract. Such records, together with supporting
documents, shall be maintained for a period of three (3) years after receipt of final payment.
19. MISCELLANEOUS PROVISIONS:
A. ASSIGNMENT OR SUBSTITUTION. City has a NONDISCRIMINATION / NONPREFERENTIAL
TREATMENT STATEMENT In performing this Contract, the parties shall not discriminate or grant
preferential treatment on the basis of race, sex, color, age, religion, sexual orientation, disability,
ethnicity, or national origin, and shall comply to the fullest extent allowed by law, with all applicable
local, state, and federal laws relating to nondiscrimination.
B. UNAUTHORIZED ALIENS. Contractor hereby promises and agrees to comply with all of
the provisions of the Federal Immigration and Nationality Act (8 U.S.C.A. & 1101 et seq.), as amended;
and in connection therewith, shall not employ unauthorized aliens as defined therein. Should Contractor
so employ such unauthorized aliens for the performance of work and/or services covered by this
contract, and should the Federal Government impose sanctions against the City for such use of
unauthorized aliens, Contractor hereby agrees to, and shall, reimburse City for the cost of all such
sanctions imposed, together with any and all costs, including attorneys’ fees, incurred by the City in
connection therewith.
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C. GOVERNING LAW. The City and Contractor understand and agree that the laws of the
State of California shall govern the rights, obligations, duties, and liabilities of the parties to this Contract
and also govern the interpretation of this Contract. Any litigation concerning this Contract shall take
place in the San Luis Obispo Superior Court, federal diversity jurisdiction being expressly waived.
D. City has an interest in the qualifications of and capability of the persons and entities that will
fulfill the duties and obligations imposed upon Contractor by this Contract. In recognition of that interest,
neither any complete nor partial assignment of this Contract, may be made by Contractor nor changed,
substituted for, deleted, or added to without the prior written consent of City which consent shall not
be unreasonably withheld. Any attempted assignment or substitution shall be ineffective, null, and void,
and constitute a material breach of this Contract entitling City to any and all remedies at law or in equity,
including summary termination of this Contract. Subcontracts, if any, shall contain a provision making
them subject to all provisions stipulated in this Contract.
E. ENTIRE CONTRACT. This Contract constitutes the entire Contract and understanding
between the parties relative to the services specified herein and there are no understandings,
agreements, conditions, representations, warranties or promises, with respect to this Contract, except
those contained in or referred to in this Contract and this Contract supersedes all prior understandings,
agreements, courses of conduct, prior dealings among the parties and documentation of any kind
without limitation.
F. AMENDMENTS. This Contract may be modified or amended, or any of its provisions
waived, only by a subsequent written agreement executed by each of the parties. The parties agree that
this requirement for written modifications cannot be waived and any attempted waiver shall be void.
G. CONSTRUCTION AND INTERPRETATION. Contractor and City agree and acknowledge
that the provisions of this Contract have been arrived at through negotiation and that each party has
had a full and fair opportunity to revise the provisions of this Contract and to have such provisions
reviewed by legal counsel. Therefore, any ambiguities in construing or interpreting this Contract shall
not be resolved against the drafting party. The titles of the various sections are merely informational
and shall not be construed as a substantive portion of this Contract.
H. WAIVER. The waiver at any time by any party of any of its rights with respect to a default
or other matter arising in connection with this Contract shall not be deemed a wavier with respect to
any subsequent default or other matter.
I. SEVERABILITY. The invalidity, illegality or unenforceability, of any provision of this Contract
shall not render the other provisions invalid, illegal or unenforceable.
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J. NOTICES. All invoices, payments, notices, demands, requests, comments, or approvals that
are required to be given by one party to the other under this Contract shall be in writing and shall be
deemed to have been given if delivered personally or enclosed in a properly addressed envelope and
deposited in a United States Post Office for delivery by registered or certified mail addressed to the
parties (deemed to have been received three (3) business days after deposit in the U.S. Mail) at the
following addresses:
City: Nicholas D. DeBar, PE
Director of Public Works/City Engineer
City of Atascadero
6500 Palma Avenue
Atascadero, CA 93422
(805) 470-3456
Contractor: Jeff Mathiowetz
Project Executive
W.M. Lyles Co.
P.O. Box 28130
Fresno, CA 93729
(559)441-1900
Each party may change the address at which it gives notice by giving ten (10) days advance,
written notice to the other party.
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K. AUTHORITY TO EXECUTE. The person or persons executing this Contract on behalf of
Contractor warrant and represent that they have the authority to execute this Contract on behalf of their
Company and further warrant and represent that they have the authority to bind Contractor to the
performance of its obligations hereunder.
Effective this 26th day of March 2025 by the parties as follows,
Approved as to form:
____________________________________
Counsel for Contractor (If applicable)
W.M. Lyles Co.
By:__________________________________
Jeff Mathiowetz, Project Executive
Approved as to form:
By:_________________________________
David Fleishman, City Attorney
City of Atascadero
By:__________________________________
James R. Lewis, City Manager
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CERTIFICATE OF COMPLIANCE
WITH LABOR CODE § 3700
I am aware of the provisions of Section 3700 of the Labor Code which require every employer to be
insured against liability for workers’ compensation or to undertake self-insurance in accordance with
the provisions of that code, and I have complied or will comply with such provisions before
commencing the performance of the work of this contract. (Cal. Labor C. §§1860, 1861.)
Contractor:
_____________________________
Jeff Mathiowetz, Project Executive
W.M. Lyles Co.
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CONTRACTOR ACKNOWLEDGEMENT OF LABOR CODE
REQUIREMENTS
Contractor acknowledges that under California labor code sections 1810 and following, 8 hours of labor constitutes a
legal day’s work. Contractor will forfeit as a penalty to city the sum of $25.00 for each worker employed in the execution
of this contract by contractor or any subcontractor for each calendar day during which such worker is required or
permitted to work more than 8 hours in any one calendar day and 40 hours in any one calendar week in violation of
the provisions of labor code section 1810. (labor code § 1813.)
Copies of the determination of the director of the department of industrial relations of the prevailing rate of per diem
wages for each craft, classification or type of worker needed to execute this contract will be on file in, and available at,
the office of the director at 6500 Palma Avenue, Atascadero, CA. Wage determinations are also available online at
www.dir.ca.gov/dlsr/pwd/southern.html.
Contractor shall post at the work site, or if there is no regular work site then at its principal office, for the duration of
the contract, a copy of the determination by the director of the department of industrial relations of the specified
prevailing rate of per diem wages. (Labor code § 1773.2.)
Contractor, and any subcontractor engaged by contractor, shall pay not less than the specified prevailing rate of per
diem wages to all workers employed in the execution of the contract. (Labor code § 1774.) Contractor is responsible
for compliance with labor code section 1776 relative to the retention and inspection of payroll records.
Contractor shall comply with all provisions of labor code section 1775. Under section 1775, contractor may forfeit as a
penalty to city up to $50.00 for each worker employed in the execution of the contract by contractor or any
subcontractor for each calendar day, or portion thereof, in which the worker is paid less than the prevailing rates.
Contractor may also be liable to pay the difference between the prevailing wage rates and the amount paid to each
worker for each calendar day, or portion thereof, for which each worker was paid less than the prevailing wage rate.
Nothing in this contract prevents contractor or any subcontractor from employing properly registered apprentices in
the execution of the contract. Contractor is responsible for compliance with labor code section 1777.5 for all
apprenticeable occupations. This statute requires that contractors and subcontractors must submit contract award
information to the applicable joint apprenticeship committee, must employ apprentices in apprenticeable occupations
in a ratio of not less than one hour of apprentice’s work for every five hours of labor performed by a journeyman (unless
an exception is granted under § 1777.5), must contribute to the fund or funds in each craft or trade or a like amount to
the California apprenticeship council, and that contractors and subcontractors must not discriminate among otherwise
qualified employees as apprentices solely on the ground of sex, race, religion, creed, national origin, ancestry or color.
Only apprentices defined in labor code sections 3077, who are in training under apprenticeship standards and who have
written apprentice contracts, may be employed on public works in apprenticeable occupations.
Pursuant to Labor Code Section 1771.1, the contractor and subcontractor must be currently registered with the
Department of Industrial Relations pursuant to Labor Code Section 1725.5 at the time the project is awarded. This
Project is subject to compliance monitoring and enforcement by the Department of Industrial Relation, pursuant to
Labor Code Section 1771.4
Contractor:
_____________________________
Jeff Mathiowetz
W.M. Lyles Co.
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A-1
EXHIBIT A
SCOPE OF WORK
All work performed shall comply with the requirements, as described in the Lift Station #4, 7, &
11 Rehabilitation Project, City Project No. C2021W01, engineering plans and specifications,
hereby incorporated by reference. Project consists of improvements and rehabilitation at
Sanitary Sewer Lift Stations #4, 7 and 11. Work generally includes wet well and valve vault
improvements, electrical upgrades, pump and motor control panel replacements. Work also
includes temporary bypassing as required to maintain operations at the lift stations and
associated repair to impacted surrounding surface improvements. City-supplied items include
control centers and pumps, to be installed by contractor.
Per the specifications, the Contractor shall diligently prosecute the work to completion before
the expiration of 35 working days after the Notice to Proceed has been issued.
It is agreed by the parties to the Contract that in case all the work called for under the Contract
is not completed before or upon the expiration of the time limit as set forth in these
specifications, damage will be sustained by the City, and that it is and will be impracticable to
determine the actual damage which the City will sustain, in the event of any, by reason of such
delay; and it is therefore agreed that Contractor will pay to the City the sum of Five Hundred
Dollars ($500) per day for each and every calendar day delay beyond the time prescribed to
complete the work; and, Contractor agrees to pay such Liquidated Damages as herein provided,
and in case the same are not paid, agrees that the City may deduct the amount thereof from
any moneys due or that may become due Contractor under the contract.
The Contractor shall not be assessed with Liquidated Damages, nor the costs of engineering and
inspection during any delay in the completion of the work caused by acts of the federal
government or the public enemy, or acts of God, fire, floods, epidemics, severe weather, or
delays of subcontractors due to such causes; provided that the Contractor shall, within ten (10)
days from the beginning of such delay, notify the City Engineer in writing of the cause of delay,
who shall ascertain the facts and extent of the delay, and his finding of the facts thereon shall
be final and conclusive.
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EXHIBIT B
COMPENSATION AND METHOD OF PAYMENT
TOTAL COST OF CONTRACT NOT TO EXCEED………………………………………...………………….$299,780
WITHOUT PRIOR WRITTEN AUTHORIZATION
City shall pay Contractor for completion of the Work on a Unit Price Basis in accordance with
Contract Documents an amount equal to the sum of the established unit price for each separately
identified bid item times the completed quantity of that item at the prices stated in attached
Contractor’s Bid. Work shall include items as identified in the Bid Schedule (Base Bid and Bid
Alternate 2), not to exceed the total contractual amount of $299,780. Quantities shown on the
Bid Schedule are not guaranteed, and determinations of actual quantities and classifications are
to be made by City. The City shall have the ability to make alterations to the Work, as the Work
progresses, involving increases and decreases to quantities of itemized Unit Price Work. The unit
price shall not be subject to re-evaluation or adjustment regardless of the total cost or variation
between actual and estimated quantities.
Any additional services authorized by the City of Atascadero, not included in the scope of services
as defined by this contract, must be approved in the form of a City of Atascadero Change Order
prior to performing additional work. All additional work authorized by a City of Atascadero
Change Order will be compensated at the same unit price in the attached Contractor’s bid, if
applicable. For extra work, where no unit cost has been defined in the attached contract, the
Contractor shall be compensated as identified in Section 9, “Payment”, of the Caltrans Standard
Specifications dated 2024. Any charges incurred outside of these contract terms will not be
authorized for payment. Payment will be made within 30 days after receipt and approval of
invoice.
No invoice will be approved without receipt and approval of certified payroll records.
A 5% retention will be held for thirty-five days after the Notice of Completion is filed with the
County of San Luis Obispo. The retention will be released upon the City of Atascadero’s final
approval and the satisfactory completion of the project. Contractor agrees that the payment of
the final amount due under the Contract is contingent upon Contractor furnishing a release of all
claims against the City arising by virtue of this contract. Disputed contract claims in stated
amounts may be specifically excluded by Contractor from the operation of the release.
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EXHIBIT C
CONTRACTOR’S BID
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EXHIBIT D
SUBCONTRACTOR LIST
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EXHIBIT E
Items Provided by City
None
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EXHIBIT F
INSURANCE REQUIREMENTS FOR CONTRACTORS
Contractor shall procure and maintain for the duration of the contract insurance against claims
for injuries to persons or damages to property which may arise from or in connection with the
performance of the work hereunder and the results of that work by the Contractor, his agents,
representatives, employees or subcontractors.
Minimum Scope of Insurance
Coverage shall be at least as broad as:
1. Insurance Services Office Commercial General Liability coverage (occurrence form CG
0001).
2. Insurance Services Office Form Number CA 0001 covering Automobile Liability, code 1
(any auto)
3. Workers’ Compensation insurance as required by the State of California and Employer’s
Liability insurance (for lessees with employees).
Minimum Limits of Insurance
Lessee shall maintain limits no less than:
1. General Liability: $1,000,000 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 per accident for bodily injury and property
damage.
3. Employer’s Liability $1,000,000 per accident for bodily injury or disease.
Deductibles and Self-Insured Retentions
Any deductibles or self-insured retentions must be declared to and approved by the City. At the
option of the City, either: the insurer shall reduce or eliminate such deductibles or self-insured
retentions as respects the City, its officers, officials, employees and volunteers; or the Lessee
shall provide a financial guarantee satisfactory to the City guaranteeing payment of losses and
related investigations, claim administration and defense expenses.
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Other Insurance Provisions
The general liability and automobile policies are to contain, or be endorsed to contain, the following
provisions:
1. The City, its officers, officials, employees and volunteers are to be covered as insureds with
respect to liability arising out of automobiles owned, leased, hired or borrowed on behalf of
the contractor; and with respect toliability arising out of work or operations performed by on
on behalf of the Contractor including materials, parts or equipment furnished in connection
with such work or operations. General liability coverage can be provided in the form of an
endorsement to the Contractor’s insurance or as a separate owner’s policy (CG 20 10 11 85)
2. For any claims related to this project, the Contractor’s insurance coverage shall be primary
insurance as respects the City, its officers, officials, employees and volunteers. Any insurance
or self-insurance maintained by the City, its officers, officials, employees or volunteers shall be
excess of the Contractor’s insurance and shall not contribute with it.
3. Each insurance policy required by this clause shall be endorsed to state that coverage shall not
be canceled by either party, except after thirty (30) days’ prior written notice by certified mail,
return receipt requested, has been given to the City.
4. Coverage shall not extend to any indeminity coverage for the active negligence of the additional
insured in any case where an agreement to indemnify the additional insured would be invalid
under Subdivision (b) of Section 2782 of the Civil Code.
Acceptability of Insurers
Insurance is to be placed with insurers with a current A.M. Best’s rating of no less than A:VII.
Additional Insured
The City of Atascadero will to be added to the policy as Additional Insured by endorsement, adding the
City’s name to the Certificate of Insurance is not sufficient and will not be accepted.
Verification of Coverage
Contractor shall furnish the City with original certificates and amendatory endorsements effecting
coverage required by this clause. The endorsements should be on forms provided by the City or on other
than the City’s forms, provided those endorsements or policies conform to the requirements. All
certificates and endorsements are to be received and approved by the City before work commences.
The City reserves the right to require complete, certified copies of all required insurance policies,
including endorsements effecting the coverage required by these specifications at any time.
Subcontractors
Contractor 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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