HomeMy WebLinkAboutSancon Technologies, Inc. - 2021-03-10 CITY FUNDED CONSTRUCTION CONTRACT B TWEEN
THE CITY OP I IUNfINGTON 13EACI-I AND
SANCON TECHNOLOGIES, INC.
TOR
OVERMYER PUMP GALLEY PIPE PAINTING
TTIIS AGREEMENT ("Agreement") is made and entered into by and between the City of
Huntington Beach. a municipal corporation of the State of California. hereinafter referred to as
"CITY." and SANCON TECHNOLOGIES, INC. . a
California corporation, hereinafter referred to as "CONTRACTOR."
WHEREAS. CITY has solicited bids for a public works prgjecl, hereinafter referred to as
"PROJECT." more fully described as Overmver Pump Gallev Pipe painting
in the City of I-luntington Beach: and
CONTRACTOR has been selected to perform said services.
NOW. "I I IEREPORE, in consideration of the promises and agreements hereinafter made
and exchanged the parties covenant and agree as follows:
I. STATEMENT OF WORK: ACCEPTANCE 01: RISK
CONTRACTOR shall complete and construct the PROJECT pursuant to this
Agreement and the Contract Documents (as hereinafter defined) and furnish, at its own cost and
expense. all labor, plans. tools, equipment. supplies. transportation, utilities and all other items.
services and facilities necessary to complete and construct the PROJECT in a good and
workmanlike manner.
CONTRACTOR agrees to fully assume the risk of all loss or damage arising out of'
the nature of the PROJECT. during its progress or prior to acceptance by CITY, from the action
of the elements. from any unforeseen difficulties which may arise or be encountered in the
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prosecution of work, and for all other risks of any description in connection with the work.
includine, but not limited to, all expenses incurred by or in consequence of the suspension or
discontinuance of work, except such as are herein expressly stipulated to be borne by CITY. and
for well and faithfully completing the work within the stipulated time and in the manner shown
and described in this Agreement, and in accordance with the requirements of CITY for the
compensation set forth in the accepted bid proposal.
2. ACCEPTANCE- OF CONDITIONS OI' WORK: PLANS AND
SPECIFICATIONS
CONTRACTOR acknowleclges that it is fully familiar with all the teens,conditions
and obligations of this Agreement and the Contract Documents (as defined below in this Section).
has inspected the location of the job site, and the conditions under which the work is to be
performed, and that it enters into this Agreement based upon its thorough investigation of all such
matters and is relying in no way upon any,opinions or representations of CITY.
It is agreed that the Contract Documents are incorporated into this Agreement by
this reference, with the same force and effect as if the same were set forth at length herein, and
that CONTRACTOR and its subcontractors, if any, shall be bound by the Contract Documents
insofar as they relate in part or in any way. directly or indirectly, to the work covered by this
Agreement.
"Contract Documents" as defined herein mean and include:
A. This Agreement:
B. Bonds covering the work herein agreed upon.-
C. The CITY's standard Plans and Specifications and special contractual
provisions, including those on file in the office of the Department of Public
Works of'CITY. and ari revisions, amendments or addenda thereto:
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D. The edition of StancknJ Specificnlions for Public Ff%rks C'onso-action.
published by Builders' News, Inc.. 10801 National Boulevard. Los Angeles,
CA 90064, and all amendments thereto, written and promulgated by the
Southern California chapter of the American Public Works Association and
the Southern California District Associated General Contractors of the
California Joint Cooperative Committee as specified in the particular Plans.
Specifications. Special Provisions and Addendum applicable to the Project;
E. Bid documents including the Notice Inviting Bids, the Special Instructions
to Bidders and the CONIRACTOR's proposal, (which is attached hereto as
Exhibit "A" and incorporated herein by this reference);
F. The particular Plans. Specifications, Special Provisions and Addenda
applicable to the PROJECT. Anything mentioned in the Specifications and
not indicated in the Plans or indicated in the Plans and not mentioned in the
Specifications, shall be of like effect as if indicated and mentioned in both.
In case of a discrepancy between any Plans, Specifications. Special
provisions. or Addenda. the matter shall be immediately submitted by
CONTRACTOR to the Director of Public Works of CITY or his or her
written designee (hereinafter referred to as " )PW"). and CONTRACTOR
shall not attempt to resolve or adjust the discrepancy without the decision
of DPW, save only at its own risk and expense.
Should there be anv conflict between the terms of this Agreement and the bid or
proposal of' CONTRACTOR. then this Agreement shall control and nothing herein shall be
considered as an acceptance of the terms of the bid or proposal which is in conflict herewith.
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3. CO\4f ENSATION
CITY agrees to pay and CONTRACTOR agrees to accept as full compensation for
the faithful performance of this Agreement. subject to any additions or deductions made under the
provisions of this Agreement or the Contract Documents. a sum not to exceed
Nineteen Thousand Six Hundred Sixty Dollars
(S 19,630.00 ), as set forth in the Contract Documents. to be paid as provided in this
Agreement.
4. COMMENCEMENT OF PROJECT
CONTRACTOR agrees to commence the PROJECT within ten (10) working days
after the Notice To Proceed is issued and diligently prosecute the PROJECT-to completion
within ten ( 10 ) consecutive Working days from the
day the Notice to Proceed is issued by DPW. excluding delays provided for in this Agreement.
5. TIME OF THE ESSENCE
The parties hereto recognize and agree that time is ofthe essence in the performance
of this Agreement and each and every provision of the Contract Documents.
CONTRACTOR shall prepare and obtain approval as required by the Contract
Documents for all shop drawings. details and samples, and do all other things necessary and
incidental to the prosecution of its work in conformance with the progress schedule set forth in the
Contract Documents. CONTRACTOR shall coordinate its work with the work of all other
contractors. subcontractors. and CITY forces working on the PROJECT in a manner that will
facilitate the efficient completion of the PROJECT and in accordance with the terns and
provisions of this Agreement. CITY shall have complete control of the premises on which the
work is to be performed and shall have the right to decide the time and order in which the various
portions of the work shall be performed and the priority of the work of other contractors.
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subcontractors and CITY forces and. in general, all matters concerning the timely and orderly
conduct of the work of CONTRACTOR on the premises.
6. CHANGES
CONTRACTOR shall adhere strictly to the plans and specifications set forth in the
Contract Documents unless a change therefrom is authorized in writing by DPW. CONTRACTOR
agrees to make any and all changes. furnish materials and perform all work necessary within the
scope of the PROJECT as DPW may require in writing. Under no condition shall CONTRACTOR
make any changes without the prior written order or acceptance of DPW. and CITY shall not pay
any extra charges made by CONTRACTOR that have not been agreed upon in writing by DPW.
When directed to change the work. CONTRACTOR shall submit immediately to
DPW a written cost proposal reflecting the effect of the change. Should DPW not agree to such
cost proposal. the work shall be performed according to the changes ordered in writing by DPW
and the proper cost thereof shall be negotiated by the parties upon cost and pricing data submitted
by CONTRACTOR; thereupon. CITY will promptly issue an adjusted change order to
CONTRACTOR and the contract price will be adjusted upward or downward accordingly.
7. NOTICE TO PROCEED
No work. services. material. or equipment shall be performed or furnished under
this Agreement unless and until a Notice to Proceed has been given to CONTRACTOR by CITY.
CITY does not warrant that the work will be available on the date the Notice to Proceed is issued.
In the event of a delay in commencement of the work due to unavailability of the job site. for any
reason. relief to CONTRACTOR shall be limited to a time extension equal to the delay due to such
unavailability.
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8. 13ONDS
Only bonds issued by California admitted sureties will be accepted.
CONTRACTOR shall, prior to its performance of this Agreement, furnish the following two (2)
bonds approved by the City Attorney: One in the amount of one hundred percent (100%) of the
contract price to guarantee the CONTRACTOR's faithful performance of the work. and one in the
amount of'one hundred percent of the contract price to guarantee payment of all claims for labor
and materials furnished.
In addition. CONTRACTOR shall submit to CITY a bond in the amount of one
hundred percent (I00%) of the final contract price, including all change orders, to warrant such
performance for a period of one (1) year after CITY's acceptance thereof within ten (10) days of
filing of the Notice of Completion.
9. WARRANTIIiS
CONTRACTOR unconditionally guarantees all work done under this Agreement
including. but not limited to, any workmanship, installation, fabrication, material or structural
facilities constructed. CONTRACTOR, within ten (10) days after notice by CITY of any defect
in the work. shall have the option to make appropriate repairs or replace the defective item or
items. Upon expiration of such ten (10) day period, CITY may then make appropriate repair or
replacement at CONTRACTOR's risk and own cost and expense.
10. INDEPENDENT CONTRACTOR
It is understood and agreed that CONTRACTOR is, and shall be, acting at all times
hereunder as an independent contractor and not an employee of CITY. CONTRACTOR shall
secure at its own cost and expense, and be responsible for any and all payment of all taxes, social
security, state disability insurance compensation, unemployment compensation and other payroll
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deductions for CONTRACTOR and its officers, agents and employees and all business licenses,
if any, in connection with the PROJECT and/or the services performed hereunder.
11. LIQUIDATED DANIAGES/DELAYS
It is agreed by the parties hereto that in case the total work called for hereunder is
not in all parts and requirements finished or completed within the number of calendar days as set
forth herein. damage will be sustained by CITY: and that it is, and would be, impractical and
extremely difficult to ascertain and determine the actual damage which CITY would sustain in the
event of and by reason of such delay. It is, therefore, agreed that CONTRACTOR will pay to
C IT Y. as liquidated damages and not as a penalty. the sum of
Five hundred dollars ($ 500.00 ) per each
calendar day's delay in completing the work in excess of the number of working/calendar days set
forth herein, which represents a reasonable endeavor by the parties hereto to estimate a fair
compensation for the foreseeable damages CITY would sustain in the event of and by reason of'
such delay: and CONTRACTOR agrees to pay these damages herein provided, and further agrees
that CITY may deduct the amount thereof from any monies due or that may become due to
CONTRACTOR hereunder.
CONTRACTOR will be granted an extension of' time and will not be assessed
damages for any portion of the delay in the completion of the work due to unforeseeable causes
beyond the control and without the fault or negligence of CONTRACTOR, including, but not
limited to, acts of God or of the public enemy, fire. Floods, epidemics, quarantine restrictions,
strikes, unsuitable weather, or delays of subcontractors due to such causes.
CONTRACTOR shall, within fifteen (15) days from the beginning of any such
delay (unless DPW shall grant a further period of time), notify DPW in writing of the cause of the
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delay and CITY shall extend the time for completing the work if, in its judgment. the findings of
fact thereonjustify the delay; and the decision of DPW shall be conclusive on the parties hereto.
Should CONTRACTOR be delayed in the prosecution or completion of the work
by the act, neglect or default of CITY, or should CONTRACTOR be delayed by waiting for
materials required by this Agreement to be furnished by CITY, or by damage caused by fire or
other casualty at the job site for which CONTRACTOR is not responsible, or by the combined
action of the workers, in no way caused by or resulting from default or collusion on the part of
CONTRACTOR. or in the event of a lockout by CITY, then the time herein fixed for the
completion of the work shall be extended by the number of days CONTRACTOR has thus been
delayed, but no allowance or extension shall be made unless a claim therefor is presented in writing
to CITY within fifteen (1 5) days of the commencement of such delay.
No claims for additional compensation or damages for delays. irrespective of the cause
thereof, and including without limitation the furnishing of materials by CITY or delays by other
contractors or subcontractors will be allowed and an extension of time for completion shall be the
sole remedy of CONTRACTOR.
12. DEMANDS FOR ADDITIONAL TIME OR MONEY.
A. Definitions.
(1) "Change Order' means a document signed by the CONTRACTOR and CITY
which authorizes an addition, deletion or revision in the work, or an adjustment in the
Compensation under Section 3, or the Completion Time specified at Section 4.
(2) "Demand" means a written demand for a Change Order by the
CONTRACTOR for any of the following:
(a) A time extension;
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(b) Payment of money or damages arising from work done by, or on behalf
of. the CONTRACTOR pursuant to this Agreement and payment of which is not expressly
permitted pursuant to Section 3 of this Agreement:
(c) Payment of an amount the CITY disputes:
(d) Anv disputes and other matters relating to the acceptability of the work
performed or the interpretation of the Contract DocwnentS:
(e) A request for a time extension or additional payment based upon
differing site conditions, such as subsurface or latent physical conditions at the job site differing
materially from those indicated in this Agreement or the Contract Documents. or unknown
physical conditions at the job site, ofan unusual nature. differing materially from those ordinarily
encountered and generally recognized as inherent to work of the PROJECT: or
(f) A request for a time extension or additional payment based upon acts of
neglect by CITY or due to fires, floods. labor disputes, epidemics, abnormal weather conditions or
acts of God.
13. A Demand for a time extension or payment of money or damages may only
be granted by a Change Order.
C. No Change Order may be granted except where the Contractor has
submitted a Demand to the DPW (or his or her written designee). All Demands shall be submitted
promptly, but in no event later than thirty (30) days after the occurrence of the event giving rise to
the Demand. The Demand shall be in writing and include all documents necessary to substantiate
the Demand. The DPW shall act on the Demand within fifteen (15) clays after receipt, including
by requesting additional information from the CONTRACTOR to determine whether to approve
the Change Order the Demand seeks. The DPW shall act on the Demand within fifteen (15) days
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after receipt of the additional information or within a period of time no greater than the time the
CONTRACTOR took to produce the additional information requested, whichever is greater.
D. Notwithstanding the thirty (30) days to submit a Demand under
Subparagraph C. in the case of differing or unknown site conditions. immediately upon
encountering the conditions. CONTRACTOR shall notify the DPW in writing of the conditions.
so that the CITY may promptly investigate the conditions.
E. If the CONTRACTOR disputes the DPW's written response on the
Demand, or the CITY fails to respond within the time prescribed. the CONTRACTOR may so
notify the City Engineer, in writing, either within fifteen (15) days of receipt of the City Engineer's
response or within fifteen (IS) days of the DPW's failure to respond within the time prescribed.
respectively, and request an informal conference to meet and confer for settlement of the Demand.
Upon the CONTRACTOR's request. the DPW shall schedule a meet and confer conference within
thirty (30) days to seek to resolve.
F. CITY and CONTRACTOR shall execute appropriate Change Orders
covering changes to the time or price by executing the Change Order by mutual agreement. If the
CITY and CONTRACTOR are unable to reach a mutual agreement. then the City Engineer shall
issue a written decision on the claim within a reasonable time.
G. Following the meet and confer conference, if the Demand remains in
dispute, the CONTRACTOR may file a claim with the City as provided in Chapter I (commencing
with Section 900) and Chapter 2 (commencing with Section 910)of Part 3 of Division 3.6 of Title
I of the Government Code. For purposes of those provisions, the running of the period of time
within which a claim must be filed shall be tolled from the time the CONTRACTOR submits his
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or her Demand until the Demand is denied as a result of the meet and confer process, including
any period of time utilized by the meet and confer process.
13. VARIATIONS IN ESTIMATED QUANTITIES
The quantities listed in the bid schedule will not govern final payment. Payment to
CONTRACTOR will be made only for the actual quantities of contract items used in construction
of the PROJECT. in accordance with the plans and specifications. Upon completion of the
PROJECT, if the actual quantities used are either more than or less than the quantities listed in the
bid schedule. the bid price shall prevail subject to the provisions of this Section. DPW may, at its
sole discretion. when warranted by the facts and circumstances. order an equitable adjustment.
upwards or downwards, in payment to CONTRACTOR where the actual quantities used in
construction of the PROJECT are in variation to the quantities listed in the bid schedule. No claim
by CONTRACTOR for an equitable adjustment in price or time for completion shall be allowed
if asserted after final payment under this Agreement. If the quantity variation is such as to cause
an increase in the time necessary for completion, DPW shall ascertain the facts and circumstances
and make such adjustment for extending the completion date as in its sole judgment the findings
warrant.
14. PROGRESS PAYMENTS
Each month DPW will make an estimate in writing of the work performed by
CONTRACTOR and the value thereof. From each progress estimate, five percent (5%) will be
deducted and retained by CITY and the remainder of the progress estimate, less the amount of all
previous payments since commencement of the work, will be paid to CONTRACTOR.
When CONTRACTOR has, in the judgment of DPW, faithfully executed fifty
percent (50%) or more of the value of the work as determined from the bid schedule. and if DPW
finds that satisfactory progress has been and is being made. CONTRACTOR may be paid such
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sum as will bring the payments of each month up to one hundred percent (100%) of the value of
the work completed since the commencement of the PROJECT. as determined in its sole discretion
by DPW. less all previous payments and less all previous retained amounts. CIfY's final payment
to CONTRACTOR, if unencumbered, or any part thereof unencumbered. shall be made thirty-five
(35) days after the acceptance of the work and the filing of a Notice of Completion by CITY.
Provided. however. that in the event of a dispute between CITY and CONTRACTOR. CITY may
withhold from the final payment an amount not to exceed 150 percent of the value of any disputed
amount of work. Payments shall be made on demands drawn in the manner required by law. each
payment to be accompanied by a certificate signed by DPW. affirming that the work for which
payment is demanded has been performed in accordance with the terms of the Agreement and that
the amount stated in the certificate is due under the terms of the Agreement. Partial payments on
the contract price shall not be considered as an acceptance of any part of the work.
15. WITHHELD CONTRACT FUNDS. SUBSTITUTION OF SECURITIES
At the request and at the sole cost and expense of CONTRACTOR, who shall retain
beneficial ownership and receive interest. if any thereon. CITY shall permit the substitution and
deposit therewith of securities equivalent to the amount of any monies withheld by CITY to ensure
performance under the terms of this Agreement.
16. AFFIDAVITS OF SATISFACTION OF CLAIMS
After the completion of the work contemplated by this Agreement.
CONTRACTOR shall file with DPW its affidavit stating that all workers and persons employed.
all firms supplying materials and all subcontractors working upon the PROJECT have been paid
in full and that there are no claims outstanding against the PROJECT for either labor or material,
except certain items. if any, to be set forth in CONTRACfOR's affidavit covering disputed claims,
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or items in connection with Notices to Withhold, which have been filed under the provisions of
the statutes of the State of California.
17. WAIVER OF CLAIMS
"The acceptance by CONTRACTOR of the payment of the final certificate shall
constitute a waiver of all claims against CITY under or arising out of this Agreement.
A. The CITY has ascertained from the Director of Industrial Relations of the
State of Califomia the general prevailing rate of per diem wages and the general prevailing rate
for legal holiday and overtime work in the locality in which the work is to be performed for each
craft or type of work needed to execute this Agreement, and the same has been set forth by
resolution on file in the office of the City Clerk of CITY. CONTRACTOR and any
subcontractor tinder it shall pay not less than said prevailing wage rates to all workers employed
on this public works Agreement, as required by Califomia Labor Code Sections 1771 and 1774.
In accordance with the provisions of Section 3700 of the California Labor Code,
CONTRACTOR agrees to secure payment of compensation to every employee.
B. Pursuant to this Agreement and in accordance with Section 1774 and 1775
of the California Labor Code. CONTRACTOR shall, as penalty to CITY, forfeit twenty-five
dollars ($25) for each calendar clay or portion thereof for each worker paid (either by
CONTRACTOR or any of its subcontractors) less than the prevailing wage rate established for
that particular craft or type of work.
18. CALIFORNIA PREVAILING WAGE LAW
A. The CITY has ascertained from the Director of Industrial Relations of the
State of California the general prevailing rate of per diem wages and the general prevailing rate
for legal holiday and overtime work in the locality in which the work is to be performed for each
craft or type of work needed to execute this Agreement, and the same has been set forth by
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resolution on file in the office of the Cite Clerk of CITY. CONTRACTOR and any subcontractor
under it shall pay not less than said prevailing wage rates to all workers employed on this public
works Agreement, as required by California Labor Code Sections 1771 and 1774. In accordance
with the provisions of' Section 3700 of the California Labor Code. CONTRACTOR agrees to
secure payment of compensation to every employee.
13. Pursuant to this Agreement and in accordance with Section 1774 and 1775
of the California Labor Code. CONTRACTOR shall, as penalty to CITY, forfeit twenty-five
dollars (S25) for each calendar day or portion thereof for each worker paid (either by
CONTRACTOR or anv of its subcontractors) less than the prevailing wage rate established for
that particular craft or type of work.
19. CALIFORNIA EIGHT-HOUR LAW
A. California Labor Code, Sections 1810 e1 seq, shall apply to the performance
of this Agreement; thereunder. not more than eight (8) hours shall constitute one day's work and
CONTRACTOR and each subcontractor employed by its hereunder. shall not require more than
eight (8) hours of'labor per day or forty (40) hours per week from any one person employed by it
hereunder, except as stipulated in California Labor Code Section 1815. CONTRACTOR and
each subcontractor employed by it hereunder shall, in accordance with California Labor Code
Section 1812. keep an accurate record, open to inspection at all reasonable hours, showing the
name and actual hours Nvorked each calendar day and each calendar week by each worker
employed in connection with the PROJECT.
13. Pursuant to this Agreement and in accordance with California Labor Code
Section 1813. CONTRACTOR shall, as a penalty to CITY, forfeit twenty-five dollars ($25) for
each worker employed hereunder by CONTRACTOR or any subcontractor for each calendar day
during which such worker is required or permitted to work more than eight (8) hours in any one
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([) calendar day or forte (40) hours in any one (I) calendar week in violation of California Labor
Code Section 1815.
20. PAYMENT OP TRAVEL AND suflsISTENCE ALLOWANCE
Section 1773.8 of the California Labor Code, regarding the payment oft rave I and
subsistence allowance is applicable to this PROJECT.
21. Ei\'1PLOYNIENT OF APPRENTICES
Section 1777.5 of the California Labor Code, regarding the employment of
apprentices is applicable to this PROJECT.
22. PAYROLL RECORDS
CONTRACTOR agrees to keep accurate payroll record showing the name,
address. social security number, work classification, straight time and overtime hours worked
each day and week, and the actual per diem wages paid to each journeyman, apprentice or
worker employed by it in connection with the PROJECT and agrees to require each of its
subcontractors to do the same. CONTRACTOR further agrees that its payroll records and those
of its subcontractors. if any, shall be available at all reasonable times to the CITY, and the
employee or his representative, and the Division of Labor Standards Enforcement and the
Division of Apprenticeship Standards, and to comply with all of the provisions of California
Labor Code Section 1776, in general.
23. INDEMNIFICATION. DEFENSE HOLD HARMLESS
CONTRACTOR hereby agrees to protect, defend, indemnify and hold harmless
CITY, its officers. elected or appointed officials, employees, agents, and volunteers from and
against any and all claims, damages, losses, expenses. judgments, demands. defense costs. and
consequential damage or liability of any kind or nature, however caused, including those resulting
from death or injury to CONI'RACTOR's employees and damage to CONTRACTOR's property.
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arising directly or indirectly out of the obligations or operations herein undertaken by
CONTRACTOR. caused in whole or in part by any negligent act or omission of the
CONTRACTOR, any subcontractom anyone directly or indirectly employed by any of them or
anyone for whose acts any of them may be liable, including but not limited to concurrent active or
passive negligence, except where caused by the active negligence, sole negligence, or willful
misconduct of the CITY, its officers, elected or appointed officials, employees, agents, and
volunteers. CONTRACTOR will conduct all defense at its sole cost and expense and CITY shall
approve selection of CONfRACTOR's counsel. This indemnity shall apply to all claims and
liability regardless of whether any insurance policies are applicable. The policy limits do not act
as a limitation upon the amount of indemnification to be provided by CONTRACTOR.
24. WORKERS' CUM PEN SAT]ON AND EMPLOYER'S LIABILITY
INSURANCE
Pursuant to California Labor Code Section 1861, CONTRACTOR acknowledges
awareness of Section 3700 et seq. of this Code, which requires every employer to be insured
against liability for workers' compensation. CONTRACTOR covenants that it will comply with
such provisions prior to commencing performance of the work hereunder.
CONTRACTOR shall obtain and furnish to City workers' compensation and
employer's liability insurance in an amount of not less than the State statutory limits.
CONTRACTOR shall require all subcontractors to provide such workers'
compensation and employer's liability insurance for all of the subcontractors' employees.
CONTRACTOR shall furnish to CITY a certificate of waiver of subrogation under the terms of
the workers' compensation and employer's liability insurance and CONTRACTOR shall similarly
require all subcontractors to waive subrogation.
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25. INSURANCE
In addition to the workers' compensation and employer's liability insurance and
CONTRACTOR's covenant to defend, hold harmless and indemnify CITY. CONTRACTOR shall
obtain and furnish to CITY. a policy of general public liability insurance. including motor vehicle
coverage covering the PROJECT. "I-his policy shall indemnify CONTRACTOR. its officers,
employees and agents while acting within the scope of their duties. against any and all claims
arising out or in connection with the PROJECT, and shall provide coverage in not less than the
following amount: combined single limit bodily injury and property damage, including
products/completed operations liability and blanket contractual liability. of One Million Dollars
(51.000,000) per occurrence. If coverage is provided under a form which includes a designated
general aggregate limit. the aggregate limit must be no less than One Million Dollars (Si.000,000)
for this PROJECT. This policy shall name CITY. its officers, elected or appointed officials.
employees, agents, and volunteers (the"Additionally Insured Parties") as Additional Insureds, and
shall specifically provide that any other insurance coverage which may be applicable to the
PROJECT shall be deemed excess coverage and that CONTRACTOR's insurance shall be primary
and non-contributory with anv other valid and collectible insurance or self-insurance available to
the Additionally Insured Parties. Any available insurance proceeds in excess of the minimum
coverage amount specified herein shall be available to the Additionally Insured Parties. All
coverage available to CONTRACTOR shall also be available to the Additionally Insured Parties.
Under no circumstances shall said above-mentioned insurance contain a self-insured retention
without the express written consent of CITY: however an insurance policy "deductible" of Five
Thousand Dollars ($5,000.00) is permitted.
CONTRACTOR shall be responsible for causing all Subcontractors to maintain the same
types and limits of insurance coverage as that required of CONTRACTOR by this Agreement.
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26. CERTIFICATES OF INSURANCE: ADDITIONAL INSURED
ENDORSEMENTS
Prior to commencing performance of the work hereunder. CONTRACTOR shall
furnish to CITY certificates of insurance subject to approval of the City Attorney evidencing the
foregoing insurance coverages as required by this A;�recmenl; the certificates shall:
I. Provide the name and policy number of each carrier and policy;
2. State that the policy is currently in force: and
3. Promise to provide that such policies will not be canceled or modified without thirty
(30) days' prior written notice of CITY.
CONTRACTOR shall maintain the foregoing insurance coverages in force until the
work tinder this Agreement is fully completed and accepted by CITY.
The requirement for carrying the foregoing insurance coverages shall not derogate
from the CONTIZAC-T-OR's defense, hold harmless and indemnification obligations as set forth
under this Agreement. CITY or its representative shall at all times have the right to demand the
original or a copy of all the policies of insurance. CONTRACTOR shall pay. in a prompt and
timely manner, the premiums on all insurance hereinabove required.
CONTRACTOR shall provide a separate copy of the additional insured
endorsement to each of CON-IRACTOR's insurance policies, naming CITY, its officers, elected
and appointed officials, employees, agents and volunteers as Additional Insureds. to the City
Attorney for approval prior to any payment hereunder.
27. NOTICE OF THIRD PARTY CLAIM
Pursuant to Public Contracts Code §9202. CITY shall provide notice to
CONTRACTOR of receipt of any claim Filed with CITY or a court of competentjurisd iction which
arises out of performance of this agreement within ten (10)days of receipt of such claim or claims.
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28. DEFAUI T AND TERMINATION
If CONTRACTOR fails or refuses to prosecute the work hereunder with diligence,
or fails to complete the work within the time specified, or is adjudged bankrupt or makes an
assignment for the benefit of creditors or becomes insolvent. or violates any provision of this
Agreement or the Contract Documents. CITY may give CONTRACTOR notice in writing of its
intention to terminate this Agreement. Unless the violation is cured within ten (10)days after such
Notice of Intention has been served on CONTRACTOR, CITY may, without prejudice to any
other remedy it may have. terminate this Agreement upon the expiration of that time. Upon such
default by CONTRACTOR. CITY may elect not to terminate this Agreement; in such event CITY
may make good the deficiency in which the default consists and deduct the resulting costs from
the progress payments then or to become due to CONTRACTOR.
If it is subsequently determined by a court of competent jurisdiction that CIIY's
termination of this Agreement under this Section was wrongful. such termination shall be
converted to a termination for convenience under Section 29 and any damages shall be assessed
as set forth in Section 29.
29. TERMINATION FOR CONVENIENCE
CITY may terminate this Agreement for convenience at any time with or without
cause, and whether or not PROJECT is fully complete upon seven (7) calendar days written notice
to CONTRACTOR. In the event of termination, under this Section CITY shall pay
CONTRACTOR for value of work in place on the PROJECT through the termination period less
all such payments already made. In case of such termination for convenience. the CONTRACTOR
shall be entitled to receive payment for work executed, and costs incurred by reason of such
termination. In no event shall CONTRACTOR be entitled to recover overhead, profit or
CONTRACTOR's fee on work not performed. Such payment by CITY shall be CONTRACTOR's
19
I6-5195/City Funded Construction Contract.docx—revised 04/2016
sole and exclusive remedy for termination by CITY for its convenience and CITY shall have no
further obligation to CONTRACTOR.
1 DISPOSITION OF PLANS. ESTIMATES AND OTHER DOCUME NT'S
CONTRACTOR agrees that upon completion of the wort: to be performed
hereunder, or upon expiration or earlier termination of this Agreement, all original plans.
specifications, drawings, reports, calculations, maps and other documents pertaining to this
Agreement shall be delivered to CITY and become its sole property at no further cost.
31 . NONASSIGNABILITY
CONTRACTOR shall not sell, assign, transfer. convey or encumber this
Agreement,or any part hereof.or any right or duty created herein,without the prior written consent
of CITY and the surety.
32. CITY EMPLOYEES AND OFFICIALS
CONTRACTOR shall employ no CITY official nor any regular CITY employee in
the work performed pursuant to this Agreement. No officer or employee of CITY shall have any
financial interest in this Agreement in violation of the California Government Code.
33. S-l'Ol' NOTICES: R17COVERY OF ADMINISTRATIVE COSTS
CITY shall be entitled to all reasonable administrative costs and necessary
disbursements arising out of the processing of Stop Notices, Notices to Withhold, or any similar
legal document. This obligation shall be provided for in the labor and materials payment bond
required of CONTRACTOR. CITY may charge an administrative fee of One Hundred Dollars
($100) for every Stop Notice filed in excess of two(2). regardless of whether or not CITY is named
in an action to enforce such stop notices. CITY may set off any unreimbursed cost or expense so
incurred against any surn or sums owed by CITY to CONTRACTOR under this Agreement.
20
16-5195/City Funded Construction Contract.doex—revised 04/2016
34. NOTICES
Any notices, certificates, or other communications hereunder shall be given either
by personal delivery to CONTRACTOR's agent (as designated in Section I hereinabove) or to
CITY as the situation shall warrant,or by enclosing the same in a sealed envelope, postage prepaid.
and depositing the same in the United States Postal Service, to the addresses specified below:
provided that CITY and CONTRACTOR may designate different addresses to which subsequent
notices. certificates or other communications will be sent by notifying the other party via personal
delivery, reputable overnight carrier or U. S. certified mail-return receipt requested:
TO CITY: TO CONTRACTOR:
City of Huntington Beach
SANCON TECHNOLOGIES, INC.
ATTN:Andv Ferrigno public Works
ATTN: Chuck Parsons
2000 Main Street
5841 En ineer Drive
Huntington Beach, CA 92648
Huntington Beach, CA 92649
35. SECTION HEADINGS
The titles, captions, section, paragraph and subject headings, and descriptive
phrases at the beginning of the various sections in this Agreement are merely descriptive and are
included solely for convenience of reference only and are not representative of maters included or
excluded from such provisions,and do not interpret.define, limit or describe, or construe the intent
of the parties or affect the construction or interpretation of any provision of this Agreement.
21
16-5195/Ci1y Funded Construction Contract.doc.x—revised 04/2016
36. IMMIGRATION
CONTRACTOR shall be responsible for full compliance with the immigration and
naturalization laws of the United States and shall, in particular, comply with the provisions of
United States Code Section 132 ire regarding employment verification.
37. LEGAL SERVICES SUBCONTRACTING PROHIBITED
CONTRACTOR and CITY agree that CITY is not liable for payment of any
subcontractor work involving legal services, and that such legal services are expressly outside the
scope of services contemplated hereunder. CONTRACTOR understands that pursuant to
Huntington Beach City Charter Section 309, the City Attorney is the exclusive legal counsel for
CITY; and CITY shall not be liable for payment of any legal services expenses incurred by
CONTRACTOR.
38. ATTORNEY'S FEES
In the event suit is brought by either party to construe, interpret and/or enforce the
terms and/or provisions of this Agreement or to secure the performance hereof, each party shall
bear its own attorney's fees, such that the prevailing party shall not be entitled to recover its
attorneys fees from the non-prevailing party.
39. INTERPRETATION Of- THIS AGREEMENT
The language of all parts of this Agreement shall in all cases be construed as a
whole, according to its fair meaning, and not strictly for or against any of the parties. If any
provision of this Agreement is held by an arbitrator or court of competent jurisdiction to be
unenforceable, void, illegal or invalid. such holding shall not invalidate or affect the remaining
covenants and provisions of this Agreement. No covenant or provision shall be deemed dependent
upon any other unless so expressly provided here. As used in this Agreement, the masculine or
neuter gender and singular or plural number shall be deemed to include the other whenever the
�7
16-5 195/City Funded Construction Contract.docx—revised 04/2016
contest so indicates or requires. Nothing contained herein shall be construed so as to require the
commission of any act contrary to law, and wherever there is any conflict between any provision
contained herein and any present or future statute. law, ordinance or regulation contrary to which
the parties have no right to contract. then the latter shall prevail, and the provision of this
Agreement which is hereby affected shall be curtailed and limited only to the extent necessary to
bring it within the requirements of the law.
40. GOVERNING LAW
'I-his Agreement shall be governed and construed in accordance with the laws of the
State of California.
41. DUPLICATE ORIGINAL
The original of this Agreement and one or more copies hereto have been prepared
and signed in counterparts as duplicate originals. each of which so executed shall, irrespective of'
the date of its execution and delivery, be deemed an original. Each duplicate original shall be
deemed an original instrument as against any party who has signed it.
42. CONSENT
Where CITY's consent/approval is required under this Agreement, its
consenUapproval for one transaction or event shall not be deemed to be consent/approval to any
subsequent occurrence of the same or any other transaction or event.
41 SURVIVAL
Terms and conditions of this Agreement. which by their sense and context survive
the expiration or termination of this Agreement shall so survive.
44. MODIFICATION
No waiver or modification of any language in this Agreement shall be valid unless
in writing and duly executed by both parties.
23
16-5195/Cite Funded Construction Contract.does—revised 04/2016
45. SIGNATORIES
Each undersigned represents and warrants that its signature hercinbelow has the
power, authority and right to bind their respective parties to each of the terms of this Agreement,
and shall indemnify CITY fully for any injuries or damages to CITY in the event that such
authority or power is not. in fact. held by the signatory or is withdrawn.
46. E NTIRETY
The parties acknowledge and agree that they are entering into this Agreement freely
and voluntarily following extensive arm's length negotiation. and that each has had the opportunity
to consult with legal counsel prior to executing this Agreement. ]'he parties also acknowledge and
agree that no representations. inducements. promises, agreements or warranties. oral or otherwise.
have been made by that pan or anyone acting on that party's behalf, which are not embodied in
this Agreement, and that that party has not executed this Agreement in reliance on any
representation. inducement, promise, agreement. warranty. fact or circumstance not expressly set
forth in this Agreement. This Agreement, and the attached Exhibit "A". contain the entire
agreement between the parties respecting the subject matter of this Agreement. and supersede all
prior understandings and agreements whether oral or in writing between the parties respecting the
subject matter hereof.
?4
16-5195/City Funded Construction Contract.docx—revised 04/2016
IN WITNESS WHEREOF,the parties hereto have caused this Agreement to be executed
by and through their authorized officers on MA1-4+1 Q 20 21
CONTRALTO CITY OF HUNTINGTON BEACH,a municipal
corporation of the State of California
By:
Chuck Parsons
(print name)
ITS:Chairman President ice-President City Clerk
(circle one)
INITIA D AND D:
AND
B Di u is ks
KeII LA.)illi �rv, s
(print n e) RE�!� Q APPROVED:
ITS: Secretary / Chief Financial Officer sst.
,, Treasurer
(circle one) City Manager
APPRO EQQD AS TO FORM:
fs ity Attorney
25
21.9376/247022/City Funded Construction Contract.docx—revised
04/2016
AW
A CERTIFICATE OF LIABILITY INSURANCE DATE(MMmDfYYM
03/29/2021
THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE HOLDER.THIS
CERTIFICATE DOES NOT AFFIRMATIVELY OR NEGATIVELY AMEND,EXTEND OR ALTER THE COVERAGE AFFORDED BY THE POLICIES
BELOW. THIS CERTIFICATE OF INSURANCE DOES NOT CONSTITUTE A CONTRACT BETWEEN THE ISSUING INSURER(S),AUTHORIZED
REPRESENTATIVE OR PRODUCER,AND THE CERTIFICATE HOLDER.
IMPORTANT: If the certificate holder Is an ADDITIONAL INSURED,the pollcy(los)must have ADDITIONAL INSURED provisions or be endorsed.
If SUBROGATION IS WAIVED,subject to the forms and conditions of the policy,certain policies may require an ondorsoment. A statement on
this certificate does not confer rights to the certificate holder In IIeU of such ondorsemenl(e).
PRODUCER CONTACT Pamela Peldlno
NAME:
Poms&Associates Insurance Brokers PHGRE (800)578.8802 uc Ne (818)449-9321
o 11
CA Ucense 90814733 ApOReSS. PPaWno(gIlpomsassoc.wm
57GO Canoga Ave.R400 INSURERS AFFORDING COVERAGE NAIC9
Woodland Hills CA 91387 4VSURERA: Admiral 41sumnw 24856
INSURED INSURER B, Llbeny Mutual Insurance Company 23043
Sanwn Technologies,Inc. INSURER C: Midwest Employers Casualty Company 23612
5841 Engineer Drive wsuReR o:
wsuRER E
Huntington Beach CA 92649 LVSURFAF:
COVERAGES CERTIFICATE NUMBER: 20-21 GUAU(XSANC REVISION NUMBER:
THIS IS TO CERTIFY THAT THE POLICIES OF INSURANCE LISTED BELOW HAVE BEEN ISSUEU 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.LIMITS SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS.
LTR TYPE OF INSURANCE 20a POUCYNUMBER ImannorrYrYl I fmNinotyyyY) UMI1S
X COLMERCIALGENERALUASITTY EACH OCCURRENCE S 1.000,000
OFT RENmv 100,000
CWMfrNAOE Fx]OCCUR PREMISES Eoacwemc S
NEDEXP ens erson S 10,000
A Y FEIECC2281004 10l012020 101012021 PERSUBAL&ADVINJURY S 1,000,0DO
GENLAGGREGATEUMITAPPUES PER: GENERALAGGREGATE 5 2,000,000
POLICY Ez JEC1 ❑ LOC PRODUCTS COMP/OPAGG S 2,000,000
OTHER: 5
AUTOMOBILE LIABILITY (CM. EDe1NGLFI WAIT $ 1,000,000
e aadda
X ANYAUTO BODILY INJURY(Par Maw) $
B OMEO SCHEDULED RAW2156177090 101012020 10101I2021 RODILY IN.XIRYDoor aWden) $
AUTOS ORLY AUTOS
HIRED NON.OYMED PROPERTYS
X AU TOE ONLY AUTOSONLY Parauldanl
AppROVEDA TOFCRM I5
UMBRELLALIAB X OCCUR EACH OCCURRENCE. S 10,000,000
A X EXCESS Live CLAIM^sMAOE FEIE 28 Ajg2020 107012021 AGGREGATE: 5 10,000,000
cen RETENTION s MICHAEL E. GATE 5
WORKERS COMPENSATNNJ CITY ATTORNEY X1 PER u E E
AND EMPLOYERS' ARTNtt 2TI Q>F��
ANY FFICER EMBER EXCLUDED?
RIEXECUTNE YIN NTINGTON EACH EL EACH ACGOENT S 1,000,000
C OFDCERcy 1r,NER[XCWDED9 fy] MIA B D 2 tON)1l2020 10/012021
(Mandatory In NHl S.L GSEASE-EA EMPLOYEE 3 1,000,000
If"$'doe a u w 1,000,000
DESCRIPTION OF OPERAMNS t,ebw EL.DISEASE-POLK:Y LIMIT 5
DESCMP110N OF OPERATIONS I LOCATIONS I VEHICLES(ACORD fat,Additional RamaHu Schwula,may bo attached If mom pace Is r Wrad)
RE:Project-CC 162e Overmyer Pipe Galley
The City of HunOng(on Beach,Its officers,elected or appointed officials,employees,agents,and volunteers are Included as Additional Insured as Interests
may appear.Said Insurance Is Primary Non-Contributory.Endorsements per attached.
CERTIFICATE HOLDER CANCELLATION
SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE
THE EXPIRATION DATE THEREOF,NOTICE WILL BE DELIVERED IN
The City Of Huntington Beach ACCORDANCE WITH THE POLICY PROVISIONS.
2000 Main Street
AUTHORIZED REPRESEN TATNE
HUul8lgtorl Beach CA 92648
G 1988-2016 ACORD CORPORATION. All rights reserved.
ACORD 26(2016103) The ACORD name and logo are registered marks of ACORD
Sancon Technologies, Inc.
Endorsement Number: 56
auMtaat
Additional Insured — Owners, Lessees or Contractors —
Completed Operations
This endorsement,effective 10/1/2020 attaches to and forms a part of Policy Number
FEI-ECC-22810-04.This endorsement changes the Policy. Please read it carefully.
This endorsement modifies insurance provided under the following:
COMMERCIAL GENERAL LIABILITY COVERAGE PART
SCHEDULE
Name and Address of Person or Organization:
The City of Huntington Beach
Its Officers,Elected or Appointed
Officials, Employees,Agents,
Volunteers
2000 Main Street
Huntington Beach, CA 92648
Location And Description of Completed Operations:
Additional Premium: A lied
(If no entry appears above, information required to complete this endorsement
will be shown in the Declarations as applicable to this endorsement.)
Section II—Who Is An Insured is amended to include as an insured the person
or organization shown in the Schedule, but only with respect to liability arising
out of"your work"at the location designated and described in the schedule of
this endorsement performed for that insured and included in the "products-
completed operations hazard".
CG 20 37 10 01 Copyright,ISO Properties.Inc.,2000
Sancon Technologies, Inc.
Endorsement Number: 57
ADMIRAL
Additional Insured - Owners, Lessees or Contractors -
Scheduled Person or Organization
This endorsement,effective 10/1/2020 attaches to and forms a part of Policy Number
FEI-ECC-22810-04.'rhis endorsement changes the Policy. Please read it carefully.
In consideration of an additional premium of A died this endorsement modifies insurance provided
under the following:
COMMERCIAL GENERAL LIABILITY COVERAGE PART
SCHEDULE
Name and Address of Person or Organization:
The City of Huntington Beach
Its Officers, Elected or Appointed !/
Officials, Employees, Agents, Volunteers
2000 Main Street
Huntington Beach, CA 92648
(if no entry appears above, information required to complete this endorsement will be shown in the
Declarations as applicable to this endorsement.)
A. Section It—Who is An Insured is amended to include as an insured the person or organization shown
in the Schedule, but only with respect to liability arising out of your ongoing operations performed for
that insured.
B. With respect to the insurance afforded to these additional insureds,the following exclusion is added:
2. Exclusions
This insurance does nor apply to"bodily injury"or"property damage"occurring after:
(1) All work, including materials, pails or equipment furnished in connection with such work, on
the project(other than service, maintenance or repairs)to be performed by or on behalf of the
additional insured(s)at the site of the covered operations has been completed or
(2) That porliou of"your work"out of which the injury or damage arises has been put to its
intended use by any person or organization other than another contractor or subcontractor
engaged in performing operations for a principal as a part of the same project.
CG 20 10 10 01 0 ISO Properties,tnc.,2000
Sancon Technologies, Inc.
Endorsement Number: 16
AftM1ftA*L =W'
Autom 'Primary and Non-Contributory
ati7surance Endorsement
Designated Work Or Project(s)
This endorsement, effective 10/01/2020 attaches to and forms a part of
Policy Number PEI-ECC-22810-04. This endorsement changes the Policy. Please
read it carefully.
This endorsement modifies insurance provided under the Coverage Part(s)
indicated below:
COMMERCIAL GENERAL LIABILITY COVERAGE
CONTRACTORS POLLUTION LIABILITY COVERAGE
SCHEDULE
Name of Person or Organization:
Any person(s)or organization(s)whom the Named Lrsured agrees, in a written
contract, to provide Primary and/or Non-contributory status of this insurance.
However, this status exists only for the project specified in that contract.
In consideration of an additional premium of A lied and notwithstanding
anything contained in this policy to the contrary, it is hereby agreed that this
policy shall be considered primary to any similar insurance hold by third parties
in respect to work performed by you under any written contractual agreement
with such third party. It is further agreed that any other insurance which the
person(s) or organization(s) named in the schedule may have is excess and non-
contributory to this insurance.
ECC-548-0317
Policy Number: BNUWC0152392
WC 00 00 00 C WORKERS COMPENSATION AND EMPLOYERS LIABILITY INSURANCE POLICY
(Ed. 1-15)
If you die and we receive notice within thirty days af-
PART SIX ter your death, we will cover your legal representa-
CONDITIONS tive as insured.
A. Inspection D. Cancellation
We have the right, but are not obliged to inspect 1. You may cancel this policy. You must mail or de-
your workplaces at any time. Our inspections are not liver advance written notice to us stating when
safety inspections. They relate only to the insurabil- the cancelation is to take effect.
ity of the workplaces and the premiums to be 2, We may cancel this policy. We must mail or de-
charged. We may give you reports on the conditions liver to you not less than ten days advance writ-
we find. We may also recommend changes. While ten notice stating when the cancelation is to take
they may help reduce losses, we do not undertake effect. Mailing that notice to you at your mailing
to perform the duty of any person to provide for the address shown in Item 1 of the Information Page
health or safety of your employees or the public. We will be sufficient to prove notice,
do not warrant that your workplaces are safe or 3. The policy period will end on the day and hour
healthful or that they comply with laws, regulations,
codes or standards. Insurance rate service organiza- stated in the cancelation notice.
tions have the same rights we have under this 4. Any of these provisions that conflict with a law
provision. that controls the cancelation of the insurance in
this policy is changed by this statement to corn-
B. Long Term Policy ply with the law.
If the policy period is longer than one year and six- E. Sole Representative
teen days, all provisions of this policy will apply as
though a new policy were issued on each annual The insured first named in Item 1 of the Information
anniversary that this policy is in force. Page will act on behalf of all insureds to change this
policy, receive return premium, and give or receive
C. Transfer of Your Rights and Duties notice of cancelation.
Your rights or duties under this policy may not be
transferred without our written consent.
6of6
Copyright 2013 National Council on Compensation Insurance,Inc.All Rights Reserved.
City of Huntington Beach
2000 Main Street ♦ Huntington Beach, CA 92648
(714) 536-5227 ♦ ww�v.huntingtonbeachca.gov
Office of the City Clerk
Robin Estanislau, Citv Clerk
April 1, 2021
Sancon Technologies, Inc.
Attn: Chuck Parsons
5841 Engineer Drive
Huntington Beach, California 92649
Dear Mr. Parsons:
Enclosed is a copy of the "City Funded Construction Contract between the City of
Huntington Beach and Sancon Technologies, Inc. for Overmyer Pump Galley Pipe
Painting."
Sincerely,
Robin Estanislau, CMC
City Clerk
RE:ds
Enclosure
Sister Cities: Anjo, Japan • Waitakere, New Zealand