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HomeMy WebLinkAbout2018-012 Cal Portland ConstructionCONTRACTOR SERVICES AGREEMENT FOR THE CITY OF ATASCADERO CAL PORTLAND CONSTRUCTION THIS CONTRACT is made and entered into between City of Atascadero, a Municipal Corporation ("City") and Cal Portland Construction ("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 shallbe 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 ofContractor, 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. rev 5/1/06 1 792119.3 n City of Atascadero Cal Portland Construction 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. 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, 2019, -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 indude the City Manager's designee). Contractor shall be compensated for any additional services in the amounts and in the, manner as agreed to by 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. rev 5/1/06 2 792119.3 W City of Atascadero Cal Portland Construction SUPERVISON, LABOR AGREEMENTS AND PERSONNEL: A. CONTRACTOR SUPERVISES PERSONNEL. The Contractor shall have the responsibility for supervising the services provided under this Contract, hiring of persrnnel, 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 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 Contractand 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. 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. rev 5/1/06 792119.3 n r - City of Atascadero o Cal Portland Construction r 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. 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, sufnmaries and other such materials and property of the City as may have been prepared or accumulated to date by theContractor in performing this Contract. Contractor will be allowed to retain copies of all deliverables to the City: 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 timesavoid 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 languagesimilar to this Section 9(A) in all contracts with subcontractors' and agents for the work contemplated herein. rev 5/1/06 4 l 792119.3 City of Atascadero Cal Portland Construction 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. 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. rev 5/1/06 5 792119.3 City of Atascadero Cal Portland Construction 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 o 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, theContractor 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. rev 5/1/06 6 792119.3 (07 City of Atascadero Cal Portland Construction 15. 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 attorneys 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 attorneys 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. 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. rev 5/1/06 % 792119.3 n City of Atascadero Cal Portland Construction 11111�111 3%9.1W11" Contractor shall maintain prior to the beginning of and for the duration of this Agreement insurance coverage as specified in Exhibit attached to and part of this agreement. 17. 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 theCity, 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. 18. MISCELLANEOUS PROVISIONS: A. ASSIGNMENT OR SUBSTITUTION. City has •an 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. 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. rev 5/1/06 8 792119.3 b City of Atascadero Cal Portland Construction y Cal 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 opportunityto revise the provisions of this Contract and to have such provisions reviewed by legal counsel. Therefore, any arbiguities in construing or interpreting this Contract shall not be resolved against the drafting'iparty. The titles of the various sections are merely informational and shall not be construed .as a substantive portion of thisContract. 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. rev 5/1/06 9 792119.3 City of Atascadero Cal Portland Construction 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: City of Atascadero Director of Public Works 6500 Palma Avenue Atascadero, CA 93422 Contractor Cal Portland Construction Brian Shiffrar PO Box 1280 Santa Maria, CA 93456 Each party may change the address at which it gives notice by giving ten (10) days advance, written notice to the other party. 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 agency and further warrant and represent that they have the authority to bind Contractor to the performance of its obligations hereunder. AGREED to this 15 day of August, 2018 by the parties as follows. CAL PORTLAND CONSTRUCTION I �( Jesse Bishop By: i \ Vice Presiden , Brian Shiffr r CITY OF ATASCADERO By: Nicholas D. DeBar, Director of Public Works rev 5/1/06 10 792119.3 City of Atascadero Cal Portland Construction .Aft. 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 Brian Shiffrar rev 5/1/06 792119.3 Jesse Bishop Vice President City of Atascadero Cal Portland Construction - EXHIBIT A Scope of Work Work under this contract is related to sanitary sewer manhole adjustments required for Caltrans' State Route 41 Maintenance Project (Caltrans Project No. 05-1 J2604). All work shall occur in the State Route 41 right of way. Work generally involves traffic control; lowering and raising 22 existing sanitary sewer manhole frames and covers; furnishing and installing 11 new SBF 1900 CPHframe and sewer covers; and new concrete collars. A-1 t� City of Atascadero Cal Portland Construction EXHIBIT B Compensation and Method of Payment r 41 J�.n �} TOTAL COST OF CONTRACT NOT TO EXCEED $ 34,475.00 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, not to exceed the total contractual amount of $34,475.00 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 thesame unit price in the attached Contractor's bid, if applicable. 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 beheld 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 iscontingent 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. i ; City of Atascadero Cal Portland, Construction ININ City of Atascadero Cal Portland Construction EXHIBIT C Items Provided by City None C-1 City of Atascadero . Cal Portland Construction EXHIBIT D Location Schedule None D-1 City of Atascadero Cal Portland Construction EXHIBIT E Insurance Requirements 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. E-1 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 ANII. 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. rev 5/1/06 E-2 792119.3