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2016/07/25 Prebot Construction Minor Home Rehabilitation Grant - 365 W. San Jacinto AveMenifee Department: Finance Department Contractor/Consultant Name: Prebot Construction Fiscal Year: 2016/2017 29714 Houn Road. Menifee C—A 92.586 Phone: ;'?51 j 672-6777 vvww.citvofinenifee us Contract Amount ($): 110,000.00 (TEN THOUSAND DOLLARS AND ZERO CENTS) Contract Type: Home Improvement Contract (CDBG) CIP/Project #: MHRGP App. #65 Funding Source: CDBG Funds (PY14/15 Carry -Over funds) Account Number(s): 481-4220-58014 Contract Begins on (Date): 7/25/2016 Contract Ends on (Date): 6/30/2017 Brief Description of Services/Scope of Work: CDBG Minor Home Rehabilitation Grant Program (MHRGP) Home Improvement Contract for completion of home repair improvements, including replacement of full HVAC (condenser unit and furnace)and installation of smoke detector(s)/carbon monoxide detector. Internal Reviews Completed: 1. Department Head - Bruce Foltz 2. City Attorney (Approved as to Form) - Jeff Melching 1+ VIA e" I I Ki 6' 3. Finance (Funding Source/Accounts)- '%/ l�/ Bruce Foltz 4. City Manager's Office,` / Review- Rob Johnson fro Additional Information: Required Signatures: 1. Consultant (2signaturesifcorporation) 2. Homeowner(s) 3. City Manager 4. _City Clerk 5. Council Approval Required: ❑ Yes ® No City Council Date Approved: Submitted By: Margarita Corneio Management Analyst (Print Name) Applicable Insurance & Other Requirements: ® General Liability ® Worker's Compensation ® CSLB License 0 Assigned Contract Number: HIC-5 I, _l, ." ii -: r' % c rr,Cr . i 07 2-: %% www.citvofinenifee.us Why is this Agreement/Contract Needed?: The City's CDBG (Program Year 2012-2013, 2013-2014, 2014-2015, 2015-2016) includes the Minor Home Rehabilitation Grant Program (MHRGP) to assist income eligible senior and/or permanently disabled person with minor home emergency repairs, such as ceiling/roof repairs, door/window locks, plumbing and electrical repairs, and heating/cooling, amongst various others. A formal agreement/contract (Home Improvement Contract) between the selected contractor and City (scope of services is signed off by homeowner) is required for the improvements/project to be completed. What is the total length and amount of the Agreement/Contract?: The Contract/Agreement Amount is: $10,000.00 (TEN THOUSAND DOLLARS AND ZERO CENTS) The length of the Contract/Agreement is: 7/25/2016 to 6/30/2017 How was the vendor/consultant/contractor decided on?: Informal bid request from pre -approved contractors participating as contractors in the Minor Rehabilitation Grant Program. The lowest responsive bid is selected for completion of the project. Is the Agreement/Contract within the City Manager's Signature Authority?: Yes, contract is for $10,000 or less Where are the funds coming from?: CDBG Funds (PY14/15 Carry -Over funds) What general ledger account number should be used for the purchase order? 481-4220-58014 Additional Information to support the Agreement/Contract• Through the Minor Home Rehabilitation Grant Program, the City is able to ensure a suitable living condition for participating income eligible senior (62 years of age or older) and/or permanently disabled persons. Hssignea %_oniracr number: HIC-5 Men fce Department: Finance Department Contractor/Consultant Name: Prebot Construction Fiscal Year: 2016/2017 9714 HOUn Ro,id .....nlfee Cr i951 � 672-6777 www.cityofinenifee.us Contract Amount ($): 110,000.00 (TEN THOUSAND DOLLARS AND ZERO CENTS Contract Type: Professional Services (Other than Annual Audit) CIP/Project #: MHRGP App. #65 CDBG Funds (PY14/15 Carry -Over funds) Account Number(s): 481-4220-58014 Contract Begins on (Date): 7/25/2016 Contract Ends on (Date): 6/30/2017 Brief Description of Services/Scope of Work: For non -advertised (informal bids) projects/works briefly describe how prospective bidders were identified (City's prequalified vendors list, etc): Verification the selected contractor has current General Liability Verification the selected contractor has current City of Menifee Business License _Margarita Corne)o Management Analyst 7/26/2016 (Print Name, Title (Date) Department Head Approval: Reviewed/Approved By: Bruce Foltz, Finance Director 7/26/2016 (Print Name, Title) (Date) A Assigned Contract Number: CITY OF MENIFEE Minor Home Rehabilitation Grant Program HOME IMPROVEMENT CONTRACT CONTRACTOR AGREEMENT THIS CONTRACTOR AGREEMENT ("Agreement") is made this day of 2016, by and between Prebot Construction ("Contractor'), a corporation, with its principal place of business located at 365 W. San Jacinto Avenue, Perris, CA 92570 working under State Contractor's License No. 427208, and the City of Menifee, a California municipal corporation ("City"). WITNESSETH, that the parties, for the considerations stated herein, mutually agree as follows: A. Contractor shall furnish all supervision, technical personnel, labor, materials, machinery, tools, equipment, fixtures, and services, including transportation services, and perform and complete all work required for the home repair and improvement in an efficient and workmanlike manner, in strict accordance with this Agreement. B. City participates in the Community Development Block Grant ("CDBG") program administered by the United States Department of Housing and Urban Development ("HUD") under Title I of the Housing and Community Development Act of 1974 (42 U.S.C. §§ 5301 et seq.) as amended from time to time, and the regulations promulgated thereunder (24 C.F.R. §§ 570 et seq.). Pursuant to the CDBG program, City receives funds from HUD ("CDBG Funds") to be used for the support of community development activities that meet at least one of the three national objectives of the program: (i) benefiting low and moderate income persons, (ii) preventing and eliminating slums and blight, and (iii) addressing a community development need having a particular urgency. Funding for payment by City of the amount due pursuant to this Agreement shall be derived in part or in whole from the City's CDBG Funds. Contractor shall be paid for satisfactory performance of this Agreement in the amount of Ten Thousand Dollars and Zero Cents ($10,000.00), payable as set forth in the Schedule of Progress Payments (Attachment "C"). Satisfactory performance shall be defined as rehabilitation work, identified in the signed and accepted copy of the Scope of Work (Attachment "A") and Bid Proposal Form which has been completed by Contractor, inspected by appropriate City representatives, and accepted in accordance with the terms and provisions of this Agreement. C. This Agreement includes the following attachments, which are incorporated herein by this reference: 1. Signed and accepted copy of the Scope of Work (Attachment "A"). Page 2 2. General Conditions (Attachment "B") 3. Schedule of Progress Payments (Attachment "C") 4. Notice of the Three Day Right to Cancel (Attachment "D") 5. Mechanics Lien Warning (Attachment "E") 6. Copy of Contractor's Certificate Of Workers' Compensation Insurance Coverage (Attachment "F") 7. Copy of Contractor's Certificate Of General Liability Insurance Coverage (Attachment "G") 007 Page 3 IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed in an original and two (2) copies on the day and year first above written. CITY: CITY OF MENIFEE, a California municipal corporatio ,Rob Johnso , City Manager 0 CONTRACTOR: By:1,7 Name: Primiti uiroz Prebot Title: Owner #427208 (General Building) License No. and Classification Two signatures are required if a corporation. NOTE: CONTRACTOR'S SIGNATURES SHALL BE DULY NOTARIZED, AND APPROPRIATE ATTESTATIONS SHALL BE INCLUDED AS MAY BE REQUIRED BY THE BYLAWS, ARTICLES OF INCORPORATION, OR OTHER RULES OR REGULATIONS APPLICABLE TO CONTRACTOR'S BUSINESS ENTITY. The Homeowner is entitled to a completely filled in copy of this agreement, signed by both the City and the Contractor, before any work may be started. The City and/or Homeowner have the right to require the Contractor to have a performance and payment bond. 007 CALIFORNIA ALL-PURPOSE ACKNOWLEDGMENT CIVIL CODE § 1189 .�C>c:C>.c:t',c�C':rC�S`SS,�^.!',c:O,iY`.c: C;e.!`.e:O.c:O.c:l`.e`C,c�C`.C�S,c:r•,c-: C>'.c�C`.c;l.`.c: C>.�;!`,c='•l:c=�(`.c-�C7.�`t>,cY��.c-�E+,.�:1.`,n`,nAsY>.M,c=K.s,!>,i-!"-�-�[!'-:�'<-c.�-��-�r(?rlh�� A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document. State of Califor�►ia ,^ ) County of 1 h5l & On before me, Date Here 1 se�rt Name and Title of t e fficer personally appeared �Vi %3%/�/y� / r� h17 ( (Jl VUv Name(s) of Signer(s) who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. Jl1L1E WOODRUFF WITNESS my hand and official seal. Commission t 2125611 Z Notary Public - California Z San Diego County ' Signature My Comm. ires 31, 2019+ Signature of Notary P Place Notary Seal Above OPTIONAL Though this section is optional, completing this information can deter alteration of the document or fraudulent reattachment of this form to an unintended document. Description of Attached Document Title or Type of Document: 6,Aaml rt Document Date: 075 j Number of Pages: Signer(s) Othef Than Named Above: Capacity(ies) Claimed by Signer(s) Signer's Name: ❑ Corporate Officer — Title(s): ❑ Partner — ❑ Limited ❑ General ❑ Individual ❑ Attorney in Fact ❑ Trustee ❑ Guardian or Conservator ❑ Other: Signer Is Representing: Signer's Name: ❑ Corporate Officer — Title(s): ❑ Partner — ❑ Limited ❑ General ❑ Individual ❑ Attorney in Fact ❑ Trustee ❑ Guardian or Conservator ❑ Other: Signer Is Representing: 02014 National Notary Association - www.NationalNotary.org - 1-800-US NOTARY (1-800-876-6827) Item #5907 Page 4 The law requires that the Contractor give a notice explaining the three (3) day right to cancel. Initial the checkbox if the Contractor has given the City and/or the Homeowner two copies of a "Notice of the Three Day Right to Cancel." In the event that the City or Homeowner chooses to exercise their Right to Cancel, the Notice of Cancellation may be forwarded to the Contractor at the address listed on Page 1 of this Agreement. Information about the Contractors' State License Board (CSLB): CSLB is the state consumer protection agency that licenses and regulates construction contractors. Contact CSLB for information about the licensed contractor you are considering, including information about disclosable complaints, disciplinary actions and civil judgments that are reported to CSLB. Use only licensed contractors. If you file a complaint against a licensed contractor within the legal deadline (usually four years), CSLB has authority to investigate the complaint. If you use an unlicensed contractor, CSLB may not be able to help you resolve your complaint. Your only remedy may be in civil court, and you may be liable for damages arising out of any injuries to the unlicensed contractor or the unlicensed contractor's employees. For more information: Visit CSLB's Web site at www.csib.ca.gov Call CSLB at 800-321-CSLB (2752) Write CSLB at P.O. Box 26000, Sacramento, CA 95826 007 Page 5 WORKERS' COMPENSATION INSURANCE This Contractor: ❑ has no employees and is exempt from workers' compensation requirements. Zcarries workers' compensation insurance for all employees. A copy of the Contractor -supplied certificate of workers' compensation insurance coverage is attached to this Agreement. COMMERCIAL GENERAL LIABILITY INSURANCE This Contractor: ❑ does not carry commercial general liability insurance carries commercial general liability insurance written by: Developers Surety and Indemnity You may call the insurance company at: (916) 630-8643 to check the contractor's insurance coverage. A copy of the Contractor -supplied certificate of general liability insurance coverage is attached to this Agreement. 007 G\'TY 0p CITY OF MENIFEE MENIFEE MINOR HOME REHABILITATION GRANT PROGRAM - SCOPE OF WORK ATTACHMENT "A" Homeowner: Ms. JoAnn Hill, 28713 W. Worchester Road, Menifee, CA 92586 Menifee Minor Home Rehabilitation Grant Program - MHRGP # 65 ALL MEASUREMENTS PROVIDED THROUGHOUT THIS SCOPE OF WORK ARE APPROXIMATE SIZE ONLY. THE CONTRACTOR IS RESPONSIBLE FOR TAKING ACTUAL FIELD MEASUREMENTS OF EACH ITEM AS APPROPRIATE. Home Exterior & Interior: 1. HVAC— Heating/Cooling Unit— (1 Year/Labor/Installation Warranty) - $9,125.00 Work Description: Remove and properly dispose of existing exterior wall mounted HVAC unit and indoor furnace unit. Install new Central Air Conditioner and Heating System and any necessary related items: Floor mounted, min. 14-Seer and R-410A HVAC unit with matching gas Furnace unit per current CA Building Code(s) and Title 24 regulations. Install new insulated duct work and necessary piping from new unit to existing inlet duct. Complete exterior wall repair(s) as needed following removal of wall mounted HVAC unit. Provide and perform duct leakage test and make necessary repairs. (1,308 SQFT) Perform and provide Home Energy Rating System (HERS) test and results per Title 24 regulations. Install new thermostat and necessary related items. 2. Smoke Detectors — (1 Year/Labor/Installation Warranty) - $340.00 Work Description: Installation of two (2) Battery Operated 9-Volt, Dual Sensor (Photoelectric and Ionization) smoke detector units in each bedroom. Install one (1) Battery Operated 9-Volt Dual Smoke and Carbon Monoxide combination Detector in hallway and necessary related Items. Project Contingency: $535.00 Bid prices shall include a minimum of a one-year warranty on all work performed and shall include all fees required by any permitting agency with jurisdiction over the project. All work shall be completed in conformance with HUD, UBC, and with the City of Menifee Building Code. 6 09 10 000.00 Grand Total — Project Cost Estimate Date: _7/5/2016 By CJManageme lyst Date Construction Bid Submitted: 7/14/2016 By: Primitivo Quiroz Prebot Title: Owne Contractor's License: 427208 I have reviewed the above construction and repair bids with the Management Analyst and agree to: 0 Complete all of the items as listed 0 Delete items # N/A 0 Adjusted Contract Amount $ N/A Signature of the Homeowner: Date: jo Clearance of the Construction Area It is the Homeowner's responsibility to provide an open and clear working area for the contractor to be able to safely construct those improvements as listed above. On occasion, the contractor may require that certain items including, but not limited to clothing and or other household furnishings, such as beds, tables, sofas, be removed from certain rooms or areas during the rehabilitation work of the project improvements. The Contractor shall provide at least 12 hours oral notice stating which items need to be relocated from a particular area. The homeowner is fully responsible for removing all such items and for providing all security measures for the same against the conditions of the weather, theft and or other vandalism that may occur. 7 CITY OF MENIFEE MINOR HOME REHABILITATION GRANT PROGRAM — SCOPE OF WORK It is the Contractor's responsibility to ensure that such actions be kept to a reasonable minimum and that those phases of the rehabilitation work that affect the removal of the items be implemented as quickly as is reasonably possible. Hc6eowner Contractor Date: �— 8 09 Date: ATTACHMENT "B" CITY OF MENIFEE Minor Home Rehabilitation Grant Program GENERAL CONDITIONS FOR CONTRACTOR AGREEMENT (Hereinafter Referred to as "General Conditions") Section 1- Commencement of Work Contractor shall not commence work until he/she has received a written Notice to Proceed order from the City of Menifee ("City'). Any work commenced by Contractor prior to the issuance by City of a Notice to Proceed shall not be paid through the City Minor Home Rehabilitation Grant Program (the "Program"). "Owner" means the Homeowner listed in Attachment "A" — Scope of Work. City will issue a written proceed order within thirty (30) days from the date of execution of the Agreement, provided Contractor has complied with the provisions of Sections 3, 9 and 10 of the General Conditions. A. Contractor must commence work within ten (10) days after the issuance of the Notice to Proceed, or within a reasonable period of time as mutually agreed upon by the Owner and Contractor. B. Contractor must satisfactorily complete the work within thirty (30) working days after the issuance of the Notice to Proceed, or within a reasonable period of time as mutually agreed upon by the Owner and Contractor. Section 2 - Payment for Work A. The Contractor may submit up to One (1) progress payment requests and one (1) final payment request. A five percent (5%) retention will be withheld from all invoices, to be paid at project completion. Final payment (5 percent of the total Contract Price) may be paid thirty-five (35) days after a Notice of Completion is issued for the work. B. Contractor shall submit payment request packages to the Owner for approval. Said payment request packages shall include all pertinent invoices, material and lien releases, certifications, a list of subcontractors and materiealmen, copies of applicable permits, and the payment request form, which is to be signed by the Owner. Contractor's submission to the Owner forfinal payment must also include the Owner's Certification of Acceptance, a copy of the Building & Safety sign off card, and the Notice of Completion. Once approved by the Owner, payment requests shall be submitted to City for payment. C. Each payment request will be paid by City within thirty (30) days after the request for payment has been received by City and an inspection by a City Building Department Inspector and/or Program Representative confirms that the work is satisfactory. A deduction in the amount listed on the schedule of prices in the Work Description And Bid Proposal Form will be made for any portion of the work listed in the payment request that does not pass inspection. 1 D. The Owner and Contractor authorize City to control disbursement of funds for payment of the Contract Price to Contractor, pursuant to the above -stated payment arrangement. E. Upon satisfactory payment being made for any portion of the work performed, Contractor shall, prior to any further payment being made, furnish to the person contracting for the home improvement work a full and unconditional release from any claim or mechanic's lien pursuant to Section 3114 of the Civil Code for that portion of the work for which payment has been made. F. The Owner and Contractor agree to hold harmless, defend, and indemnify City (with counsel selected by City) any claim for failure to pay pursuant to the above -stated payment arrangement. City shall bear no responsibility to the Owner for any lien(s) placed upon the subject residence. Contractor agrees to hold harmless, defend, and indemnify Owner from any claim for unpaid work, labor, or materials with respect to Contractor's performance. Section 3 — Contractor's Insurance Contractor and all subcontractors shall procure and maintain at their expense, during the term of the Agreement, the following insurance: A. A policy of worker's compensation insurance in such amount as will fully comply with the laws of the State of California, including Section 3700 of the California Labor Code, and which shall indemnify, insure, and provide legal defense for both Contractor and City against any loss, claim, or damage arising from any injuries or occupational diseases occurring to any worker employed by or any persons retained by Contractor in the course of performing the work contemplated in the Agreement. B. A policy of comprehensive general liability insurance written on a per occurrence basis for bodily injury, personal injury, and property damage, naming City as an additional insured. Claims -made, modified, limited, or restricted occurrence forms are not acceptable without prior written consent from City. The policy of insurance shall be in an amount not less than ONE MILLION DOLLARS ($1,000,000.00) per occurrence, TWO MILLION DOLLARS ($2,000,000.00) in the general aggregate, and TWO MILLION DOLLARS ($2,000,000.00) products/completed operations aggregate. Prior written consent from City is required if any of the said policies have a deductible or self - insured retention in excess of TWENTY-FIVE THOUSAND DOLLARS ($25,000). Contractor shall provide written notice to City within ten (10) working days if: (1) any of the required insurance policies is terminated; (2) the limits of any of the required polices are reduced; or (3) the deductible or self -insured retention is increased. In the event any of said policies of insurance are cancelled, Contractor shall, prior to the cancellation date, submit new evidence of insurance in conformance with this Section. Section 4 - Contractor Indemnification To the fullest extent permitted by law, Contractor agrees to indemnify, defend, and hold harmless Owner, City, and City's officers, employees, agents, and volunteers ("Indemnified 2 Parties") from and against any and all actions, either judicial, administrative, arbitration, or regulatory, damages to persons or property, losses, costs, penalties, obligations, errors, omissions, or liabilities whether actual orthreatened ("Claims or Liabilities") that may be asserted or claimed by any person, firm, or entity arising out of or in connection with the performance of the work pursuant to the Agreement, operations, or activities provided herein of Contractor, its officers, employees, agents, subcontractors, or invitees, or any individual or entity for which Contractor is legally liable ("Indemnors"), or arising from Contractor's reckless or willful misconduct, or arising from Contractor's or Indemnors' negligent performance of or failure to perform any term, provision, covenant, or condition of the Agreement, and in connection therewith: A. Contractor shall defend (with counsel selected by City) any action or actions filed in connection with any of said Claims or Liabilities and will pay all costs and expenses, including legal costs and attorneys' fees incurred in connection therewith; B. Contractor will promptly pay any judgment rendered against the Owner, City, or City's officers, agents, or employees for any such Claims or Liabilities arising out of or in connection with the performance of or failure to perform the work pursuant to the Agreement, operations or activities of Contractor hereunder; and Contractor agrees to save and hold City, its officers, agents, and employees harmless therefrom; C. In the event the Owner, City, or City's officers, agents, or employees is made a party to any action or proceeding filed or prosecuted against Contractorfor such damages or other claims arising out of or in connection with the performance of or failure to perform the work pursuant to the Agreement, operation or activities of Contractor hereunder, Contractor agrees to pay to the Owner, City, or City's officers, agents, or employees, any and all costs and expenses incurred by the Owner, City, or City's officers, agents, or employees in such action or proceeding, including but not limited to, legal costs and attorneys' fees. Contractor shall incorporate similar indemnity agreements with its subcontractors, and if it fails to do so Contractor shall be fully responsible to indemnify Owner and City, and failure of Owner or City to monitor compliance with these provisions shall not be a waiver hereof. This indemnification includes Claims or Liabilities arising from any negligent or wrongful act, error or omission, or reckless or willful misconduct of Contractor in the performance of professional services hereunder. The provisions of this Section do not apply to Claims or Liabilities occurring as a result of Owner or City's sole negligence or willful acts or omissions, but to the fullest extent permitted by law, shall apply to claims and liabilities resulting in part from Owner or City's negligence, except that design professionals' indemnity hereunder shall be limited to claims and liabilities arising out of the negligence, recklessness, or willful misconduct of the design professional. The indemnity obligation shall be binding on successors and assigns of Contractor and shall survive termination of the Agreement. Section 5 - Independent Contractor Neither City nor any of its representatives nor the Owner shall have any control over the manner, mode, or means by which Contractor, its agents, or employees, perform the work required pursuant to the Agreement, except as otherwise set forth therein. Except as required by law, 3 neither Owner nor City shall have no voice in the selection, discharge, supervision, or control of Contractor's employees, servants, representatives, or agents, or in fixing their number, compensation, or hours of service. Contractor shall perform all work required pursuant to the Agreement as an independent contractor of City and shall remain at all times as to City a wholly independent contractor with only such obligations as are consistent with that role. City shall not in any way or for any purpose become or be deemed to be a partner of Contractor in its business or otherwise or a joint venturer or a member of any joint enterprise with Contractor. Section 6 - Not Agent of City Contractor shall have no authority, expressed or implied, to act on behalf of City in any capacity whatsoever as an agent, nor shall Contractor have any authority, express or implied, pursuant to the Program, to bind City to any obligation whatsoever. Section 7 - Liabilities Contractor shall assume all responsibility for damages to property or injuries to persons, including accidental death, which may be caused by Contractor's negligent performance of any and all work conducted under the Program, whether such performance be by Contractor, its subcontractors or agents, or whether such damage shall accrue or be discovered before or after termination of the Agreement. Contractor shall not assert a claim against City, its officers, agents, or employees arising out of any act or omission of the aforementioned, in the execution or performance of any agreement pursuant to the Program. Contractor shall require each subcontractor to agree in his/ her contract for services not to make any claim against City, its officers, agents or employees. Nothing in any agreement executed pursuant to the Program in which the Owner and Contractor are parties shall be construed to give any person other than the Owner and Contractor any legal or equitable rights, remedies, or claims. Section 8 - Inspection by Department City shall be permitted to inspect work performed by Contractor to ensure that the work is performed in accordance with the provisions of the Agreement and applicable general and local law and codes. City shall be permitted at all reasonable times to inspect and review all relevant data and records of Contractor. Contractor agrees to retain and provide to City, access to any books, documents, papers, and records for audit or examination for a minimum of three (3) years after final payment and all other pending matters relative to the performance of the Agreement are closed. Section 9 - Permits and Codes Contractor agrees to secure and pay for all permits and licenses required, and to adhere to applicable codes and requirements, whether or not covered by the specifications and drawings for the work, including State of California Contractor registration requirements. 4 Contractor shall perform all work under the Agreement in conformance with applicable laws, ordinances, regulations, and orders, whether or not such applicable laws, ordinances, regulations, and orders are set forth in the Agreement. Section 10 - Materials and Workmanship Except as otherwise noted, Contractor shall provide and pay for all materials, labor, tools, and other items necessary to complete the work. Contractor warrants that all services will be performed in a competent, professional, and satisfactory manner in accordance with the standards prevalent in the industry. Unless otherwise specified, all materials used in connection with the work to be performed shall be new, fit for the purpose intended, and both workmanship and materials shall be of good quality. Unless otherwise stated all colors, textures, styles and materials shall be of the Owner's choosing. All workmen and subcontractors shall be skilled in their trades. Contractor shall provide the Owner and City with the names and business addresses of all subcontractors to be utilized for the work prior to the start of construction. Section 11-Amendments The Owner and Contractor expressly agree that any amendment of, or supplement to, the Agreement including but not limited to material changes or alterations in the work or Contract Price, must be made in writing, mutually agreed upon by the parties and approved by City. Section 12 - Note about Extra Work and Change Orders The Owner may not require Contractor to perform extra or Change Order work without providing written authorization prior to the commencement of any work covered by the new Change Order. Extra work or a Change Order is not enforceable against an Owner unless the Change Order also identifies all of the following in writing prior to the commencement of any work covered by the new Change Order: A. The scope of work encompassed by the order. B. The amount to be added or subtracted from the price pursuant to the Agreement. C. The effect the order will make in the progress payments or the completion date. Contractor's failure to comply with the requirements of this paragraph does not preclude the recovery of compensation for work performed based upon legal or equitable remedies designed to prevent unjust enrichment. Extra Work and Change Orders become part of the Agreement once the order is prepared in writing and signed by the parties prior to the commencement of any work covered by the new change order. The order must describe the scope of the extra work or change, the cost to be added or subtracted from the Contract Price, and the effect the order will have on the schedule of progress payments. 4i Section 13 - Extension of Time of Completion The time of completion of the Agreement shall be extended by the number of calendar days which Contractor or any subcontractors are prevented from performing work as a result of: A. Inclement weather; B. Acts of Owner not contemplated by the Agreement; C. The unavailability of workers or materials because of labor disputes; D. Circumstances which could not reasonably have been foreseen at the time of signing the Agreement; and E. Delay of any subcontractor for any of the above causes. If completion is delayed for reasons beyond Contractor's control, Contractor shall provide timely notice to Owner of the reasons for the delay and shall be obligated to substantiate its claim by adequate documentation. If Contractor fails to complete the work within the time period set for performance, Owner may declare Contractor in default by providing written notice to Contractor by certified mail under the procedure described in Sections 18 and 19 herein. Section 14 - Assignment and Delegation Contractor shall not assign any right under the Agreement except upon prior written authorization of the Owner and City. Any request for assignment must be addressed to the Owner and City for their approval before consent is given. Contractor shall not make any delegation of authority or responsibility which would in any way purport to relieve him/her of any obligation imposed by the Agreement. Section 15 - Warranty of Title Contractor shall guarantee good title to all materials, supplies, and equipment installed or incorporated in the work. Upon completion of all work, Contractor shall deliver such work, together with all improvements and appurtenances constructed or placed pursuant to the Agreement, to the Owner free from any claims, liens, or charges. Section 16 - Guarantee of Work No provision of the Agreement (including the final payment) nor the use of the improvements constructed hereunder, shall relieve Contractor of responsibility from faulty materials or workmanship. For good and valuable consideration, Contractor hereby agrees to provide a full one-year warranty to the Owner, which shall extend to subsequent owners of the property to be improved. The warranty shall provide that improvements, hardware and fixtures of whatever kind or nature installed or constructed on said property by Contractor are good quality, and free from defects in materials and workmanship; provided, however, that the warranty set forth in this Section shall apply only to such deficiencies and defects as to which the Owner or subsequent Owner shall have given written notice to Contractor, at its principal place of business, within one (1) year from the date of Contractor's request for final payment. Upon notice from the 6 Owner, Contractor shall repair or remedy any defect in materials or workmanship, and pay for any damage from such defects subject to the warranty contained in this Section. New or replacement roofing installation shall be similarly guaranteed for a period of five (5) years. Contractor shall furnish to the Owner all manufacturer's and supplier's written guarantees and warranties covering materials and equipment furnished under the Agreement. Contractor agrees that all the warranties contained herein shall apply to all work performed pursuant to the Agreement, including work performed by any subcontractor. Section 17 - Equal Opportunity Provisions A. During the performance of the Agreement, Contractor agrees to comply with the following provisions: (1) Contractors and subcontractors engaged in residential construction financed under the Agreement shall provide equal opportunity for employment, without discrimination as to race, sex, marital status, color, religion, national origin, or ancestry. All contracts and subcontracts shall be let without discrimination as to race, sex, marital status, color, religion, national origin, or ancestry. (2) Any prohibition against discrimination on the basis of age under the Federal Age Discrimination Act of 1975, or with respect to an otherwise qualified handicapped individual, as provided in Section 504 of the Federal Rehabilitation Act of 1973. B. Contractor agrees to include the above provisions in every subcontract for work in connection with this project. Section 18 - Disputes In the event of any dispute arising out of the Agreement or from the breach thereof, the injured party shall notify the injuring party in writing of its contentions. The injured party shall continue to perform its obligations under the Agreement so long as the injuring party commences to cure such dispute within seven (7) days of service of such notice and completes the cure of such dispute within fourteen (14) days after the service of such notice, or a longer period as may be permitted by the injured party. Compliance with the provisions of this Section shall be a condition precedent to any legal action under the Agreement and such compliance shall not be a waiver of a party's right to legal action in the event the dispute is not cured. One copy of each such notice shall be submitted to City, Attention: Program Coordinator. Section 19 - Termination for Breach of Contract If Contractor fails to complete the work within the time required or fails or refuses to use due diligence in performing the required work, the Owner may declare Contractor in default by providing written notice to Contractor by certified mail. If Contractor fails to commence remedying such default within seven (7) days of service of such notice and complete the cure of such default within fourteen (14) days after service of such notice, or a longer period as may be permitted by the Owner, the Owner may terminate the Agreement by written notice to 7 Contractor. Upon delivery of such notice, Contractor shall immediately surrender possession of the premises and remove all of his/her equipment and material therefrom. No further work shall commence until the Request for Substitution of Contractor and Termination of contract form, releasing the original Contractor from his/her contractual obligations, is on file at City, and a new contract is signed between the substitute contractor and the Owner. The Owner shall select the substitute contractor in accordance with the Program Guidelines. If the expense of finishing the work exceeds the unpaid balance on the Agreement, the original Contractor shall be liable to the extent that completion costs exceed the original Contract Price pursuant to the Agreement. Copies of each such notice shall be submitted to City, Attention: Finance Director. Contractor shall, upon such termination, deliver material and labor lien releases, executed by all persons and firms supplying labor and/or materials to the premises. City shall be obligated to pay Contractor only the dollar amounts listed on the schedule of prices in bid form for each individual portion of the work completed by Contractor which passes City Building & Safety inspection and is accepted by the Owner before the date of termination. In computing the amount due, Contractor shall not be entitled to any allowance for overhead, profit, insurance, or other similar items. Payment shall be made to Contractor only after the total job has been completed by the substitute contractor, chosen by the Owner and accepted by City. Section 20 - Termination for Convenience A. The Agreement may be terminated by any party with or without cause, upon thirty (30) days written notice to the other parties. A copy of the notice shall be submitted to City within 24 hours of notification to the other party. B. All work shall cease at the conclusion of the notice period and Contractor shall be paid for all work satisfactorily performed in accordance with the Agreement prior to termination. Section 21- Other Contractors During the time for performance of work under the Agreement, the Owner shall not have other contractors or workmen on the portion of the premises where work is to be performed by Contractor, without written permission of Contractor. This restriction shall not apply if Contractor is in default under the Agreement. Section 22 - Lead Based Paint Products Lead based paint products shall not be used for the performance of any work required under the Agreement. Section 23 - Protection of Property Contractor shall ensure that Contractor and his/her employees and subcontractors provide adequate protection to the Owner's property, both interior and exterior, during the construction process. This includes covering the furniture and protecting the flooring during sanding and painting, protecting outdoor plants during sandblasting and painting, etc. Contractor shall not use the Owner's personal property such as towels, sheets, shovels, tools, etc. Contractor must supply his/her own tools, and furniture covers. Contractor shall coordinate with the Owner regarding which items of furniture need to be removed prior to commencement of work. 8 Contractor shall keep the premises free from accumulation of waste material and rubbish and, at the completion of work, he/she shall remove from the premises all rubbish, implements, surplus materials, and surplus equipment. Contractor shall leave the building and the premises broom clean. Section 24 - Contingency Amount No contingency amount is available. If the Owner or Contractor incurs expenditures in excess of the Contract Price, City shall not be responsible to pay the additional cost. Section 25 - Contract Documents The Agreement includes: 1. Contractor Agreement; 2. Signed and accepted copy of the Scope of Work; 3. General Conditions; 4. Schedule of Progress Payments; 5. Notice of Three Day Right to Cancel; 6. Mechanics Lien Warning; 7. Copy of Contractor's Certificate Of Workers' Compensation Insurance Coverage; and 8. Copy of Contractor's Certificate Of General Liability Insurance Coverage. Section 26 - Additions or Deletions to Contract In the event a change is required in the scope of work to be done, the Contractor shall prepare a change order indicating the change for addition, deletion, or deviation from the original Agreement. Said change order shall be signed by Contractor and be approved in writing by the Owner and City before Contractor proceeds with the work. Section 27 - Source of Funds City is utilizing its CDBG Funds for the funding of this activity. Contractor shall perform all work in conformity with all applicable federal, state, and local laws, regulations, and rules of governmental agencies having jurisdiction, including without limitation, the CDBG Requirements (except that (1) Contractor does not assume the environmental responsibilities described in 24 C.F.R. § 570.604, and (2) Contractor does not assume the responsibility for initiating the review process under the provisions of 24 C.F.R. Part 52), the legal requirements set forth in Exhibit 1 attached hereto and the statutes referenced therein, all provisions of the Municipal Code of the City of Menifee, and all federal and state fair labor standards, including the payment of prevailing wages and compliance with the Davis -Bacon Act. "CDBG Requirements" shall collectively refer to the requirements of Title I of the Housing and Community Development Act of 1974 (42 U.S.C. §§ 5301 et seq.) as amended from time to time, and the implementing regulations set forth in 24 C.F.R. §§ 570 et seq. as amended from time to time, and the requirements set forth and referred to in Exhibit 1 attached hereto. In the case of any conflict between the CDBG Requirements and the Agreement, the CDBG Requirements shall control; it being understood, however, that in order to be in compliance with the Agreement and the CDBG Requirements, Contractor shall, to the extent possible, comply with the most restrictive provisions in the Agreement and the CDBG Requirements. Contractor shall not hire or employ any person to perform work within City or allow any person to perform the work required under the Agreement unless such person is 9 properly documented and legally entitled to be employed within the United States. Contractor acknowledges and agrees that it shall be and remain, and shall cause Contractor personnel to be and remain, fully knowledgeable and apprised of all local, state and federal laws, rules, and regulations in any manner affecting the performance under the Agreement, including the CDBG Requirements. The statutory penalties for failure to pay prevailing wage or to comply with State wage and hour laws will be enforced. In accordance with the provisions of Labor Code Sections 1810 et seq., eight (8) hours is the legal working day. Contractor must forfeit to City TWENTY FIVE DOLLARS ($25.00) per day for each worker who works in excess of the minimum working hours when Contractor does not pay overtime. Contractor shall indemnify, protect, defend, and hold harmless City and its officials, officers, employees, and agents, with counsel reasonably acceptable to City, from and against any and all loss, liability, damage, claim, cost, expense and/or "increased costs" (including reasonable attorneys' fees, court and litigation costs, and fees of expert witnesses) that results or arises in any way from any of the following: (a) the noncompliance by Contractor of any applicable local, state and/or federal law, including, without limitation, any applicable federal and/or state labor laws (including, without limitation, if applicable, the requirement to pay state or federal prevailing wages and hire apprentices); (b) the implementation of Section 1781 of the Labor Code, as the same may be amended from time to time, or any other similar law; and/or (c) failure by Contractor to provide any required disclosure or identification as required by Labor Code Section 1781, as the same may be amended from time to time, or any other similar law. The foregoing indemnity shall survive termination or expiration of this Contract. It is agreed by the parties that Contractor shall bear all risks of payment or nonpayment of prevailing wages under federal law and California law and/or the implementation of Labor Code Section 1781, as the same may be amended from time to time, and/or any other similar law. "Increased costs," as used in this Section, shall have the meaning ascribed to it in Labor Code Section 1781, as the same may be amended from time to time. Section 28 - Conflict of Interest Contractor covenants that neither he or she nor any officer of the corporation, or partnership, as the case may be if Contractor be corporation or partnership, has any interest, nor shall they acquire interest, directly or indirectly, which would conflict in any manner with the performance of Contractor's services under the Agreement. Contractor further agrees that in the performance of the Agreement, no person having an interest of the above nature shall be employed by him or her. No officer, employee, or member of the governing body of City who exercises any function or responsibilities connected with the Agreement shall have any financial interest, direct or indirect, in the Agreement. Section 29 - Notice Any notice required to be given under the Agreement shall be in writing and shall be personally served or given by mail. Any notice by mail shall be deemed to have been given when deposited in the United States mail, certified and postage prepaid addressed to the party to be served as follows: To Owner: Ms. JoAnn Hill 28713 W. Worchester Road 10 Menifee, CA 92586 To Contractor: Prebot Construction 365 W. San Jacinto Avenue Perris, CA 92570 To City: City of Menifee Finance Director 29714 Haun Road Menifee, CA 92586 If to Management Analyst: City of Menifee Management Analyst MHRG Program 29714 Haun Road Menifee, CA 92586 Section 30 - Successors The Agreement shall be binding on and inure to the benefit of the heirs, executors, administrators, successors and assigns of the respective parties to it. Section 31- Order of Priority of Contracts The provisions of the Agreement shall have priority over all other contracts and agreements concerning the work described herein. Section 32 - Expediency Time is of the essence of each and every covenant, term, condition and provision of the Agreement as to the parties hereto. Section 33 - Entirety of Agreement It is understood that there are no oral agreements between the parties hereto affecting the Agreement, and the Agreement supersedes and cancels any and all previous negotiations, agreements and understandings, if any, between the parties hereto, and none shall be used to interpret or construe the Agreement. Section 34 - Acknowledgment All warranties herein are in addition to and not in limitation of all other rights and remedies to which the Owner, and subsequent owners, may be entitled to at law or in equity, and shall survive the conveyance of title, delivery of possession of the property, or other final settlement made by the Owner and shall be binding on the undersigned notwithstanding any provision to the contrary contained in any instrument heretofore or hereinafter executed by the Owner. Contractor hereby acknowledges that the Agreement has been approved by City. Section 35 — Contract Price 11 For the consideration named herein, Contractor proposes to furnish all the materials and do all of the work described herein, and in accordance with the Agreement identified above in Section 25, forthe price of Ten Thousand Dollars and Zero Cents ($10,000.00) ("Contract Price"). Section 36 — Execution of Contract The persons executing this document on behalf of each of the parties hereto represent and warrant that (i) such party is duly organized and existing, (ii) they are duly authorized to execute and deliver this contract on behalf of said party, (iii) by so executing this contract, such party is formally bound to the provisions of this document, and (iv) that entering into this contract does not violate any provision of any other agreement or contract to which said party is bound. This contract shall be binding upon the heirs, executors, administrators, successors, and assigns of the parties. 12 CITY OF MENIFEE Minor Home Rehabilitation Grant Program SIGNATURE PAGE FOR GENERAL CONDITIONS FOR CONTRACTOR AGREEMENT Name P it nt) Contractor ontractor Signature 427208 Contractor's License Number 365 W. San Jacinto Avenue Contractor Address Perris, CA 92570 Contractor City, State, Zip Code (951) 453-4437 Contractor Telephone Number Name (Print) Owner C� �L— MiL CrNner Signature Name (Print) Owner Owner Signature 28713 W. Worchester Road Owner Address Menifee, CA 92586 Owner City, State, Zip Code (951) 679-0123 Owner Phone Number :112012n Date of Acceptance 13 CITY OF MENIFEE Minor Home Rehabilitation Grant Program EXHIBIT 1 To GENERAL CONDITIONS FOR CONTRACTOR AGREEMENT In addition to the requirements set forth in other provisions of the Agreement, Contractor shall comply, and shall cause all of Contractor's personnel to comply, with the following regulations and requirements insofar as they are applicable to the performance of the Agreement.' 1. Equal Opportunity and Nondiscrimination. a. Title VI of the Civil Rights Act of 1964, as amended, including Public Law 88-352 implemented in 24 C.F.R. Part 1. This law provides in part that no person shall, on the grounds of race, color, or national origin be excluded from participation in, be denied the benefits of, or be subjected to discrimination under any program or activity receiving federal financial assistance. In regard to the sale or lease of property, Contractor shall cause or require a covenant running with the land to be inserted in the deed and leases prohibiting discrimination under this Title, and providing that City and the United States are beneficiaries of and entitled to enforce such covenants. Contractor shall enforce such covenant and shall not itself so discriminate. b. Fair Housing Act, Title VIII of the Civil Rights Act of 1968, as amended, including Public Law 90-234. The Fair Housing Act provides in part that there shall be no discrimination in housing practices on the basis of race, color, religion, sex, and national origin. The Fair Housing Act was amended in 1988 to provide protections from discrimination in any aspect of the sale or rental of housing for families with children and persons with disabilities. The Fair Housing Act also establishes requirements for the design and construction of new rental or for -sale multi -family housing to ensure a minimum level of accessibility for persons with disabilities. C. Section 109 of Title I of the Housing and Community Development Act of 1974, as amended, including 42 U.S.C. 5301 et. seq., 42 U.S.C. 6101 et. seq., and 29 U.S.C. 794. This law provides in part that no person on the grounds of race, color, national origin, sex, or religion shall be excluded from participation in, be denied the benefits of, or otherwise be subject to discrimination under any activity funded in whole or part with funds under this Title. d. Section 104(b) of Title I of the Housing and Community Development Act of 1974, as amended, including 42 U.S.C. 5301 et. seq. This law provides in part that any grant ' This exhibit is a list and summary of some of the applicable legal requirements and is not a complete list of all requirements. The description set forth next to a statute or regulation is a summary of certain provisions in the statute or regulation and is in no way intended to be a complete description or summary of the statute or regulation. In the event of any conflict between this summary and the requirements imposed by applicable laws, regulations, and requirements, the applicable laws, regulations, and requirements shall apply. 14 under Section 106 shall be made only if the grantee certifies to the satisfaction of the Secretary of HUD that the grantee will, among other things, affirmatively further fair housing. e. Executive Order 11246, as amended. This order includes a requirement that grantees and subrecipients and their contractors and subcontractors not discriminate against any employee or applicant for employment because of race, color, religion, sex, or national origin. f. Executive Order 11063, as amended, including 24 C.F.R. Part 107. This order and its implementing regulations include requirements that all actions necessary be taken to prevent discrimination because of race, color, religion, sex, or national origin in the use, occupancy, sale, leasing, rental, or other disposition of property assisted with federal loans, advances, grants, or contributions. g. Section 504 of the Rehabilitation Act of 1973, as amended. This Act specifies in part that no otherwise qualified individual shall solely by reason of his or her disability or handicap be excluded from participation (including employment), denied program benefits, or subjected to discrimination under any program or activity receiving federal assistance. h. The Americans with Disabilities Act (ADA) of 1990, as amended. This Act prohibits discrimination on the basis of disability in employment by state and local governments and in places of public accommodation and commercial facilities. The ADA also requires that facilities that are newly constructed or altered, by, on behalf of, or for use of a public entity, be designed and constructed in a manner that makes the facility readily accessible to and usable by persons with disabilities. The Act defines the range of conditions that qualify as disabilities and the reasonable accommodations that must be made to assure equality of opportunity, full participation, independent living, and economic self-sufficiency for persons with disabilities. i. The Age Discrimination Act of 1975, as amended. This law provides in part that no person shall be excluded from participation in, be denied program benefits, or subjected to discrimination on the basis of age under any program or activity receiving federal assistance. j. EEO/AA Statement. Contractor shall, in all solicitations or advertisements for employees placed by or on behalf of Contractor, state that it is an Equal Opportunity or Affirmative Action employer. k. Minority/Women Business Enterprise. Contractor will use its best efforts to afford small businesses and minority and women -owned business enterprises the maximum practicable opportunity to participate in the performance of the Contract. As used in the Contract, the term "small business" means a business that meets the criteria set forth in Section 3(a) of the Small Business Act, as amended (15 U.S.C. 632), and "minority and women -owned business enterprise" means a business at least fifty-one percent (51%) owned and controlled by minority group members or women. For the purpose of this definition, "minority group members" are Afro-Americans, Spanish-speaking, Spanish -surnamed or Spanish -heritage Americans, Asian -Americans, and American Indians. Contractor may rely on written representations by businesses regarding their status as minority and female business enterprises in lieu of an independent investigation. 15 2. Environmental. a. Air and Water. Contractor shall comply with the following regulations insofar as they apply to the performance of the Contract: Clean Air Act, 42 U.S.C. 7401, et seq.; Federal Water Pollution Control Act, as amended, 33 U.S.C. 1251, et seq., as amended, 1318 relating to inspection, monitoring, entry, reports, and information, as well as other requirements specified in said Section 114 and Section 308, and all regulations and guidelines issued thereunder; and the U.S. Environmental Protection regulations pursuant to 40 C.F.R. Part 50, as amended. b. Flood Disaster Protection Act of 1973. Contractor shall assure that for activities located in an area identified by FEMA as having special flood hazards, flood insurance under the National Flood Insurance Program is obtained and maintained. C. Lead -Based Paint. Contractor shall comply with the Lead -Based Paint Regulations referenced in 24 C.F.R. § 570.608, including 24 C.F.R. Part 35, et. al. d. Historic Preservation. Contractor shall comply with the historic preservation requirements set forth in the National Historic Preservation Act of 1966, as amended (16 U.S.C. 470) and the procedures set forth in 36 C.F.R. Part 800, Advisory Council on Historic Preservation Procedures for Protection of Historic Properties and related laws and Executive Orders, insofar as they apply to the performance of the Contract. In general, this requires concurrence from the State Historic Preservation Officer for all rehabilitation and demolition of historic properties that are fifty years old or older or that are included on a federal, state, or local historic property list. e. Limitation on Activities Pending Clearance. In accordance with 24 C.F.R. § 58.22 entitled "Limitations on activities pending clearance," neither a recipient nor any participant in the development process, including public or private nonprofit or for -profit entities, or any of their contractors, may commit HUD assistance under a program listed in 24 C.F.R. § 58.1(b) on an activity or project until HUD or the state has approved the recipient's Request for Release of Funds (RROF) and the related certifications have been approved. Neither a recipient nor any participant in the development process may commit non -HUD funds or undertake an activity or project that would have an adverse environmental impact or limit the choice of reasonable alternatives. Upon completion of environmental review or receipt of environmental clearance, City shall notify Contractor. HUD funds shall not be utilized before this requirement is satisfied. The environmental review or violation of the provisions may result in approval, modification of cancellation of the Contract. If a project or activity is exempt under 24 C.F.R. § 58.34, or is categorically excluded (except in extraordinary circumstances) under 24 C.F.R. § 58.35(b), no RROF is required and the recipient may undertake the activity immediately after City has documented its determination that each activity or project is exempt and meets the conditions specified for such exemption under this section by issuing a Notice to Proceed. 3. Uniform Administrative Requirements. The uniform administrative requirements described in 24 C.F.R. § 570.502. 16 4. Other Program Requirements. Contractor shall carry out each activity under the Contract in accordance with all applicable federal laws and regulations described in Subpart K of 24 C.F.R. § 570 except for City's environmental responsibilities under 24 C.F.R. § 570.604 and City's responsibility for initiating the review process under the provisions of 24 C.F.R. Part 52. 5. Reversion of Assets. In all contracts through which City provides CDBG Funds prior to performance of service or work rather than as payment for services or work already retendered, Contractor shall transfer to City (a) any and all remaining, unspent CDBG Funds upon completion of the Project and (b) any accounts receivable attributable to the use of CDBG Funds. In all cases in which equipment acquired, in whole or in part, with funds under the Contract is sold, the proceeds shall be program income (prorated to reflect the extent to that funds received under the Contract were used to acquire the equipment). Equipment not needed by Contractor for activities under the Contract shall at the election of City either be (a) transferred to City for the CDBG program, or (b) retained by Contractor after compensating City an amount equal to the current fair market value of the equipment less the percentage of non-CDBG funds used to acquire the equipment. 6. Relocation. City shall not be responsible for relocating any occupants from any property. If required, Contractor shall have the sole and exclusive responsibility for providing relocation assistance and paying all relocation costs required to comply with all applicable federal and state laws, rules, and regulations, including the Uniform Relocation Assistance and Real Property Acquisition Policies Act of 1970,42 U.S.C. § 4601 etseq., as amended, and implementing regulations, and HUD Handbook 1378. Contractor shall indemnify, defend, and hold City harmless from and against any claims, liabilities, damages, or losses made against it by tenants or occupants of any property, including without limitation claims for relocation assistance, inverse condemnation, and claims otherwise arising from any act or omission of Contractor pursuant to the provision of relocation assistance. 7. Allowable Costs and Audits. Contractor shall comply with and administer the Project in accordance with OMB Circular No. A-122 "Cost Principles for Non Profit Organizations" or OMB Circular No. A-21 "Cost Principles for Educational Institutions", as applicable. If Contractor is a governmental or quasi -governmental agency, the applicable sections of 24 C.F.R. Part 85, "Uniform Administrative Requirements for Grants and Cooperative Agreements to State and Local Governments," and OMB Circular A-87 shall apply. Contractor shall have an annual audit conducted in accordance with OMB Circular No. A-133, "Audits of States, Local Governments, and Non -Profit Organizations." 8. Records and Reports. Contractor shall provide to City and shall cause each of its contractors, subcontractors, and subrecipients to provide to City all records and reports relating to the Project that may be reasonably requested by City in order to enable it to perform its record keeping and reporting obligations pursuant to the CDBG Requirements, including but not limited to those described in the Contract and 24 C.F.R. § 570.506. 9. Religious Organizations. If Contractor is a religious organization as defined by the CDBG Requirements, Contractor shall comply with all conditions prescribed by HUD for the use of CDBG Funds by religious organizations, including the First Amendment of the United States 17 Constitution regarding church/state principles and the applicable constitutional prohibitions set forth in 24 C.F.R. § 570.200(j). 10. Conflict of Interest. Contractor will comply with 24 C.F.R. §§ 84.42, 85.36 and 570.611 regarding the avoidance of conflict of interest, which provisions include (but are not limited to) the following: i. Contractor shall maintain a written code or standards of conduct that shall govern the performance of its officers, employees or agents engaged in the award and administration of contracts supported by federal funds. ii. No employee, officer or agent of the Contractor shall participate in the selection, or in the award, or administration of, a contract supported by federal funds if a conflict of interest, real or apparent, would be involved. iii. No covered persons who exercise or have exercised any functions or responsibilities with respect to CDBG-assisted activities, or who are in a position to participate in a decision -making process or gain inside information with regard to such activities, may obtain a financial interest in any contract, or have a financial interest in any contract, subcontract, or agreement with respect to the CDBG-assisted activity, or with respect to the proceeds from the CDBG-assisted activity, either for themselves or those with whom they have business or immediate family ties, during their tenure or for a period of one (1) year thereafter. For purposes of this paragraph, a "covered person" includes any person who is an employee, agent, consultant, officer, or elected or appointed official of the City, the Contractor, or any designated public agency. 11. Political Activity (24 C.F.R. § 570.207(a)(3)). Contractor is prohibited from using CDBG Funds to finance the use of facilities or equipment for political purposes or to engage in other partisan political activities, such as sponsoring candidate forums, distributing brochures, voter transportation, or voter registration. 12. Anti -Lobbying Certification. By its execution of the Contract, Contractor hereby certifies that: L No federal appropriated funds have been paid or will be paid, by or on behalf of it, to any person for influencing or attempting to influence an officer or employee of any agency, a Member of Congress, an officer or employee of Congress, or an employee of a Member of Congress in connection with the awarding of any federal contract, the making of any federal grant, the making of any federal loan, the entering into of any cooperative agreement, and the extension, continuation, renewal, amendment, or modification of any federal contract, grant, loan, or cooperative agreement. ii. If any funds other than federal appropriated funds have been paid or will be paid to any person for influencing or attempting to influence an officer or employee of any agency, a Member of Congress, an officer or employee of Congress, or an employee of a Member of Congress in connection with this federal contract, grant, loan, or cooperative agreement, it 18 will complete and submit Standard Form-LLL, "Disclosure Form to Report Lobbying," in accordance with its instructions. iii. It will require that the language of this certification be included in the award documents for all subawards at all tiers (including subcontracts, subgrants, and contracts under grants, loans, and cooperative agreements) and that all subrecipients shall certify and disclose accordingly. This certification is a material representation of fact upon which reliance was placed when this transaction was made or entered into. This certification is a prerequisite for making or entering into this transaction imposed by section 1352, title 31, U.S.C. Any person who fails to file the required certification shall be subject to a civil penalty of not less than $10,000 and not more than $100,000 for each such failure. At the request of City, Contractor shall execute a separate document that contains the certifications set forth above. 13. Drug -Free Workplace Requirements. Contractor shall comply with and be subject to the requirements of the federal drug -free workplace requirements, which include the following actions be taken: i. Publishing a statement notifying employees that the unlawful manufacture, distribution, dispensing, possession, or use of a controlled substance is prohibited in the workplace and specifying the actions that will be taken against employees for violation of such prohibition. ii. Establishing an ongoing drug -free awareness program to inform employees about: (a) the dangers of drug abuse in the work place; (b) the employer's policy of maintaining a drug -free workplace; (c) any available drug counseling, rehabilitation, and employee assistance programs; and (d) the penalties that may be imposed upon employees for drug abuse violations occurring in the workplace. iii. Making it a requirement that each employee to be engaged in the performance of the grant be given a copy of the statement required by paragraph (i). iv. Notifying the employee in the statement required by paragraph (i) that, as a condition of employment under the grant, the employee will: (a) abide by the terms of the statement; and (b) notify the employer in writing of his or her conviction for a violation of a criminal drug statute occurring in the workplace no later than five (5) calendar days after such conviction. V. Notifying City in writing, within ten (10) calendar days after receiving notice under sub -paragraph (iv)(b) from an employee or otherwise receiving actual notice of such conviction. Employers of convicted employees must provide notice, including position title, to every grant officer or other designee on whose grant activity the convicted employee was working, unless the federal agency has designated a central point for the receipt of such notices. Notice shall include the identification number(s) of each affected grant. 19 vi. Taking one of the following actions, within thirty (30) calendar days of receiving notice under subparagraph (iv)(b), with respect to any employee who is so convicted: (a) taking appropriate personnel action against such an employee, up to and including termination, consistent with the requirements of the Rehabilitation Act of 1973, as amended; or (b) requiring such employee to participate satisfactorily in a drug abuse assistance or rehabilitation program approved for such purposes by a federal, state or local health, law enforcement, or other appropriate agency. vii. Making a good faith effort to continue to maintain a drug -free workplace through implementation of paragraphs (i), (ii), (iii), (iv), (v), and (vi). 14. Procurement. Contractor will comply with the procurement standards under 24 C.F.R. § 85.36 for governmental subrecipients and 24 C.F.R. §§ 84.40-84.48 for subrecipients that are non-profit organizations. Contractor shall comply with all existing and future City policies concerning the purchase of equipment. 15. Labor Provisions. a. Section 3 of the Housing and Community Development Act of 1968. Contractor shall comply with and cause its contractors and subcontractors to comply with the requirements of Section 3 of the Housing and Urban Development Act of 1968 (12 U.S.C. § 1701u), the HUD regulations issued pursuant thereto at 24 C.F.R. Part 135, and any applicable rules and orders of HUD issued thereunder. The Section 3 clause, set forth in 24 C.F.R § 135.38 provides: i. The work to be performed under this contract is subject to the requirements of Section 3 of the Housing and Urban Development Act of 1968, as amended, 12 U.S.C. § 1701u ("Section 3"). The purpose of Section 3 is to ensure that employment and other economic opportunities generated by HUD assistance or HUD -assisted projects covered by Section 3, shall, to the greatest extent feasible, be directed to low- and very low-income persons, particularly persons who are recipients of HUD assistance for housing. ii. The parties to this contract agree to comply with HUD's regulations in 24 C.F.R. Part 135, which implement Section 3. As evidenced by their execution of this contract, the parties to this contract certifythat they are under no contractual or other impediment that would prevent them from complying with the Part 135 regulations. iii. The contractor agrees to send to each labor organization or representative of workers with which the contractor has a collective bargaining agreement or other understanding if any, a notice advising the labor organization or workers' representative of the contractor's commitments under this Section 3 clause, and will post copies of the notice in conspicuous places at the work site where both employees and applicants for training and employment positions can see the notice. The notice shall describe the Section 3 preference, shall set forth minimum number and job titles subject to hire, availability of apprenticeship and training positions, the qualifications for each; and the name and location of the person(s) taking applications for each of the positions; and the anticipated date the work shall begin. 20 iv. The contractor agrees to include this Section 3 clause in every subcontract subject to compliance with regulations in 24 C.F.R. Part 135, and agrees to take appropriate action, as provided in an applicable provision of the subcontract or in this Section 3 clause, upon a finding that the subcontractor is in violation of the regulations in 24 C.F.R. Part 135. The contractor will not subcontract with any subcontractor where the contractor has notice or knowledge that the subcontractor has been found in violation of the regulations in 24 C.F.R. Part 135. V. The contractor will certify that any vacant employment positions, including training positions, that are filled (1) after the contractor is selected but before the contract is executed, and (2) with persons other than those to whom the regulations of 24 C.F.R. Part 135 require employment opportunities to be directed, were not filled to circumvent the contractor's obligations under 24 C.F.R. Part 135. vi. Noncompliance with HUD's regulations in 24 C.F.R Part 135 may result in sanctions, termination of this contract for default, and debarment or suspension from future HUD assisted contracts. Contractor shall abide by the Section 3 clause set forth above and will also cause this Section 3 clause to be inserted in all contracts relating to the Project, if applicable. b. Labor Standards. Contractor shall comply with the provisions of 24 C.F.R. § 570.603 and related requirements. Contractor shall include in all applicable construction contracts the provisions of federal law imposing labor standards on federally assisted contracts. Contractor shall comply with the requirements of the Secretary of Labor in accordance with the Davis -Bacon Act as amended (40 U.S.C. 3141 through 3148), the provisions of Contract Work Hours and Safety Standards Act (40 U.S.C. 327 et seq. and implementing regulations), the Copeland Anti -Kick Back Act (40 U.S.C. 276c and 18 U.S.C. 874 et seq.), the implementing regulations of the U.S. Department of Labor including 29 C.F.R. Parts 1, 3, 5, 6 and 7, and all other applicable federal, state and local laws and regulations pertaining to labor standards insofar as those acts apply to the performance of the Contract. Contractor shall maintain documentation that demonstrates compliance with these provisions and such documentation shall be made available to City and HUD for review upon request. Contractor shall cause or require to be inserted in full, in all such contracts subject to such regulations, provisions meeting the requirements of this paragraph. C. HUD Form 4010. Contractor shall comply and cause Contractor personnel to comply with the provisions of HUD Form 4010 attached hereto. HUD Form 4010 must be included in the bid packet and construction contract and subcontracts for the Project. 21 Federal Labor Standards Provisions Applicability The Project or Program to which the construction work covered by this contract pertains is being assisted by the United States of America and the following Federal Labor Standards Provisions are included in this Contract pursuant to the provisions applicable to such Federal assistance. A. 1. (i) Minimum Wages. All laborers and mechanics employed or working upon the site of the work, will be paid unconditionally and not less often than once a week, and without subsequent deduction or rebate on any account (except such payroll deductions as are permitted by reaulations issued by the Secretary of Labor under the Copeland Act (29 CFR Part 3). the full amount of wages and bona fide fringe benefits (or cash equivalents thereof) due at time of payment computed at rates not less than those contained in the wage determination of the Secretary of Labor which is attached hereto and made a part hereof, regardless of any contractual relationship which may be alleged to exist between the contractor and such laborers and mechanics. Contributions made or costs reasonably anticipated for bona fide fringe benefits under Section I(b)(2) of the Davis -Bacon Act on behalf of laborers or mechanics are considered wages paid to such laborers or mechanics, subject to the provisions of 29 CFR 5.5(a)(1)(iv); also, regular contributions made or costs incurred for more than a weekly period (but not less often than quarterly) under plans, funds, or programs, which cover the particular weekly period, are deemed to be constructively made or incurred during such weekly period. Such laborers and mechanics shall be paid the appropriate wage rate and fringe benefits on the wage determination for the classification of work actually perforated, without regard to skill, except as provided in 29 CFR 5.5(a)(4). Laborers or mechanics perforating work in more than one classification may be compensated at the rate specified for each classification for the time actually worked therein. Provided, That the employer's payroll records accurately set forth the time spent in each classification in which work is performed. The wage determination (including any additional classification and wage rates conformed under 29 CFR 5.5(a)(1)(ii) and the Davis -Bacon poster (WH- 1321) shall be posted at all times by the contractor and its subcontractors at the site of the work in a prominent and accessible, place where it can be easily seen by the workers. (ii) (a) Any class of laborers or mechanics which is not listed in the wage determination and which is to be employed under the contract shall be classified in conformance with the wage determination. HUD shall approve an additional classification and wage rate and fringe benefits therefor only when the following criteria have been met U.S. Department of Housing and Urban Development Office of Labor Relations (1) The work to be perforated by the classification requested is not performed by a classification in the wage determination; and (2) The classification is utilized in the area by the construction industry; and (3) The proposed wage rate, including any bona fide fringe benefits, bears a reasonable relationship to the wage rates contained in the wage determination. (b) If the contractor and the laborers and mechanics to be employed in the classification (if known), or their reoresentatives, and HUD or its designee agree on the classification and wage rate (including the amount designated for fringe benefits where appropriate), a report of the action taken shall be sent by HUD or its designee to the Administrator of the Wage and Hour Division, Employment Standards Administration, U.S. Department of Labor, Washington, D.C. 20210. The Administrator, or an authorized representative, will approve, modify, or disapprove every additional classification action within 30 days of receipt and so advise HUD or its designee or will notify HUD or its designee within the 30-day period that additional time is necessary. (Approved by the Office of ?Management and Budget under ON11B control number 1215- 0140. ) (c) In the event the contractor, the laborers or mechanics to be employed in the classification or their representatives, and HUD or its designee do not agree on the proposed classification and wage rate (including the amount designated for fringe benefits, where appropriate), HUD or its designee shall refer the questions, including Me views of all interested oarties and the recommendation of HUD or its designee, to the Administrator for determination. The Administrator, or an authorized representative, will issue a determination erithin 30 days of receipt and so advise HUD or its designee or will notify HUD or its designee within the 30-day period that additional time is necessary. (Approved by the Office of ?Management and Budget under OMB Control Number 1215-0140.) (d) The wage rate (including fringe benefits where appropriate) determined pursuant to subparagraphs (1)(ii)(b) or (c) of this paragraph, shall be paid to all workers performing work in the classification under this contract from the first day on which work is perforated in the classification. (iii) Whenever the minimum wage rate prescribed in the contract for a class of laborers or mechanics includes a fringe benefit which is not expressed as an hourly rate, the contractor shall either pay the benefit as stated in the wage determination or shall pay another bona fide fringe benefit or an hourly cash equivalent thereof. (iv) If the contractor does not make payments to a trustee or other third person, the contractor may consider as part fort HUD-4010 (0_2009) Previous editions are obscle:e Page 1 of 5 ref. Handbook 1344.1 22 of the wages of any laborer or mechanic the amount of any costs reasonably anticipated in providing bona fide fringe benefits under a plan or program, Provided, That the Secretary of Labor has found, upon the written request of the contractor, that the applicable standards of the Davis - Bacon Act have been met. The Secretary of Labor may require the contractor to set aside in a separate account assets for the meeting of obligations under the plan or program (Approved by the Office of Management and Budget under OMB Control Number 1215-0140.) 2. Withholding. HUD or its designee shall upon its own action or upon written request of an authorized representative of the Department of Labor withhold or cause to be withheld from the contractor under this contract or any other Federal contract with the same prime contractor, or any other Federally -assisted contract subject to Davis -Bacon prevailing wage requirements, which is held by the same prime contractor so much of the accrued payments or advances as may be considered necessary to pay laborers and mechanics, including apprentices, trainees and helpers, employed by the contractor or any subcontractor the full amount of wages required by the contract In the event of failure to pay any laborer or mechanic, including any apprentice, trainee or helper, employed or working on the site of the work, all or par, of the wages required by the contract, HUD or its designee may, after written notice to the contractor. sponsor, applicant, or owner, take such action as may be necessary to cause the suspension of any further payment, advance, or guarantee of funds until such violations have ceased. HUD or its designee may, after written notice to the contractor, disburse such amounts withheld for and on account of the contractor or subcontractor to the respective employees to whom they are due. The Comptroller General shall make such disbursements in the case of direct Davis -Bacon Act contracts. 3. (i) Payrolls and basic records. Payrolls and basic records relating thereto shall be maintained by the contractor during the course of the work preserved for a period of three years thereafter for all laborers and mechanics :working at the site of the work. Such records shall contain the name, address, and social security number of each such worker, his or her correct classification, hourly rates of wages paid (including rates of contributions or costs anticipated for bona fide fringe benefits or cash equivalents thereof of the types described in Section I(b)(2)(B) of the Davis -bacon Act) daily and communicated in waiting to the laborers or mechanics affected, and records which show the costs anticipated or the actual cost incurred in providing such benefits. Contractors employing apprentices or trainees under approved programs shall maintain written evidence of the registration of apprenticeship programs and certification of trainee programs, the registration of the apprentices and trainees, and the ratios and wage rates prescribed in the applicable programs. (Approved by the Office of Management and Budget under OMB Control Numbers 1215-0140 and 1215-0017.) (ii) (a) The contractor shall submit weekly for each week in which any contract work is performed a copy of all payrolls to HUD or its designee if the agency is a party to the contract, but if the agency is not such a party, the contractor will submit the payrolls to the applicant sponsor, or owner, as the case may be, for transmission to HUD or its designee. The payrolls submitted shall set out accurately and completely all of the information required to be maintained under 29 CFR 5.5(a)(3)(i) except that full social security numbers and home addresses shall not be included on weekly transmittals. Instead the payrolls shall only need to include an individually identifying number for each employee (e.g., the last four digits of the employee's social security number). The required weekly payroll information may be submitted in any form desired. Optional Form WH-347 is available for this purpose from the N1age and Hour Division :"deb site at hffp://rv:ve:.dot. co:desa/!•hd/forms/;vh3�'7rnstr.him or its successor site. The prime contractor is responsible for the submission of copies of payrolls by all subcontractors. Contractors and subcontractors shall maintain the full social security number and current address of each covered ',worker, and shall provide them upon request to HUD or its designee if the agency is a party to the contract, but if the agency is not such a party, the contractor will submit the payrolls to the applicant sponsor, or owner, as the case may be, for transmission to HUD or its designee, the contractor, or the Wage and Hour Division of the Department of Labor for purposes of an investigation or audit of compliance with prevailing wage requirements. It is not a violation of this subparagraph for a prime contractor to require a subcontractor to provide addresses and social security numbers to the prime contractor for its own records, without weekly submission to HUD or its designee. (Approved by the Office of Management and Budget under OMB Control Number 1215-0149.) weekly number of hours worked, deductions made and (b) Each payroll submitted shall be accompanied by a actual wages paid. Whenever the Secretary of Labor has "Statement of Compliance," signed by the contractor or found under 29 CFR 5.5 (a)(1)(iv) that the wages of any subcontractor or his or her agent who pays or supervises laborer or mechanic include the amount of any costs the payment of the persons employed under the contract reasonably anticipated in providing benefits under a plan and shall certify the following: or program described in Section I(b)(2)(B) of the Davis- (1) That the payroll for the payroll period contains the Bacon Act, the contractor shall maintain records which information required to be 'provided under 29 CFR 5.5 show that the commitment to provide such benefits is (a)(3)(ii), the appropriate information is being maintained enforceable, that the plan or Program is financially under 29 CFR 5.5(a)(3)(i), and that such information is responsible, and that the plan or program has been correct and complete; Previous editions are obsc:e:e form HUD-4010 (06209) Page 2 of 5 ref. Handbook 1244.1 23 (2) That each laborer or mechanic (including each helper, apprentice, and trainee) employed on the contract during the payroll period has been paid the full weekly wages earned, without rebate, either directly or indirectly, and that no deductions have been made either directly or indirectly from the full wages earned, other than permissible deductions as set forth in 29 CFR Part 3; (3) That each laborer or mechanic has been paid not less than the applicable wage rates and fringe benefits or cash equivalents for the classification of work performed, as specified in the applicable wage determination incorporated into the contract. (c) The weekly submission of a properly executed certification set forth on the reverse side of Optional Form WH-347 shall satisfy the requirement for submission of the 'Statement of Compliance" required by subparagraph A.3.(ii)(b). (d) The falsification of any of the above certifications may subject the contractor or subcontractor to civil or criminal prosecution under Section 1001 of Title 18 and Section 231 of Title 31 of the United States Code. (iii) The contractor or subcontractor shall make the records required under subparagraph A.3.(i) available for inspection, copying, or transcription by authorized representatives of HUD or its designee or the Department of Labor, and shall permit such representatives to interview; employees during working hours on the job. If the contractor or subcontractor fails to submit the required records or to make them available, HUD or its designee may, after written notice to the contractor, sponsor, applicant or owner, take such action as may be necessary to cause the suspension of any further payment, advance, or guarantee of funds. Furthermore, failure to submit the required records upon request or to make such records available may be grounds for debarment action pursuant to 29 CFR 5.12. 4. Apprentices and Trainees. (i) Apprentices. Apprentices will be permitted to work at less than the predetermined rate for the work they performed when they are employed pursuant to and individually registered in a bona fide apprenticeship program registered with the U.S. Department of Labor, Employment and Training Administration, Office of Apprenticeship Training, Employer and Labor Services, or with a State Apprenticeship Agency recognized by the Office, or if a person is employed in his or her first 90 days of probationary employment as an apprentice in such an apprenticeship program, who is not individually reaistered in the program, but .who has been certified by the Office of Apprenticeship Training, Employer and Labor Services or a State Apprenticeship Agency (where appropriate) to be eligible for probationary employment as an apprentice. The allowable ratio of apprentices to journeymen on the job site in any craft classification shall not be greater than the ratio permitted to the contractor as to the entire work force under the registered program. .Any -1- listed on a a roll at an a rentice wa a rate who is not registered or otherwise employed as stated above, shall be paid not less than the applicable .vage rate on the wage determination for the classification of work actually performed. In addition, any apprentice performing work on the job site in excess of the ratio permitted under the registered program shall be paid not less than the applicable wage rate on the wage determination for the .work actually performed. Where a contractor is performing construction on a project in a locality other than that in which its program is registered, the ratios and wage rates (expressed in percentages of the journeyman's hourly rate) specified in the contractor's or subcontractor's registered program shall be observed. Every apprentice must be paid at not less than the rate specified in the registered program for the apprentice's level of progress, expressed as a percentage of the journeymen hourly rate specified in the applicable wage determination. Apprentices shall be paid fringe benefits in accordance with the provisions of the apprenticeship program. If the apprenticeship program does not specify fringe benefits, apprentices must be paid the full amount of fringe benefits listed on the wage determination for the applicable classification. If the Administrator determines that a different practice prevails for the applicable apprentice classification, fringes shall be paid in accordance with that determination. In the event the Office of Apprenticeship Training, Employer and Labor Services, or a State Apprenticeship Agency recognized by the Office, withdraws approval of an apprenticeship program, the contractor will no longer be permitted to utilize apprentices at less than the applicable predetermined rate for the work performed until an acceptable program is approved. (ii) Trainees. Except as provided in 29 CFR 5.16, trainees will not be permitted to %work at less than the predetermined rate for the ',work performed unless they are employed pursuant %to and individually registered in a program which has received prior approval, evidenced by formal certification by the U.S. Department of Labor, Employment and Training .Administration. The ratio of trainees to journeymen on the job site shall not be greater than permitted under the plan approved by the Employment and Training Administration. Every trainee must be paid at not less than the rate specified in the approved program for the trainee's level of progress, expressed as a percentage of the journeyman hourly rate specified in the applicable wage determination. Trainees shall be paid fringe benefits in accordance with the provisions of the trainee program. If the trainee program does not mention fringe benefits, trainees shall be paid the full amount of fringe benefits listed on the wage determination unless the Administrator of the Wage and Hour Division determines that there is an apprenticeship program associated with the corresponding journeyman wage rate on the wage determination which provides for less than full fringe benefits for apprentices. Any employee listed on the payroll at a trainee rate who is not p y pp g registered and participating in a training plan approved by Previous editions are obsc'e.e form HUD-4010 (062009) Page 3 of 5 ref. Handbook 1344.1 24 the Employment and Training Administration shall be paid not less than the applicable wage rate on the wage determination for the work actually performed. In addition, any trainee performing work on the job site in excess of the ratio permitted under the registered program shall be paid not less than the applicable wage rate on the wage determination for the work actually performed. In the event the Employment and Training Administration v;ithdraws approval of a training program, the contractor will no longer be permitted to utilize trainees at less than the applicable predetermined rate for the work performed until an acceptable program is approved. (iii) Equal employment opportunity. The utili_ation of apprentices, trainees and journeymen under 29 CFR Part 5 shall be in conformity with the equal employment opportunity requirements of Executive Order 11246, as amended, and 29 CFR Part 30. 5. Compliance with Copeland Act requirements. The contractor shall comply with the requirements of 29 CFR Part 3 which are incorporated by reference in :his contract 6. Subcontracts. The contractor or subcontractor will insert in any subcontracts the clauses contained in subparagraphs 1 through 11 in this paragraph A and such other clauses as HUD or its designee may by appropriate instructions require. and a copy of the applicable prevailing wage decision, and also a clause requiring the subcontractors to include these clauses in any lower tier subcontracts. The prime contractor shall be responsible for the compliance by any subcontractor or lower tier subcontractor with all the contract clauses in this paragraph. 7. Contract termination; debarment. A breach of the contract clauses in 29 CFR 5.5 may be grounds for termination of the contract and for debarment as a contractor and a subcontractor as provided in 29 CFR 5.12. 8. Compliance with Davis -Bacon and Related Act Requirements. All rulings and interpretations of the Davis -Bacon and Related Acts contained in 29 CFR Parts 1, 3, and 5 are herein incorporated by reference in this contract 9. Disputes concerning labor standards. Disputes arising out of the labor standards provisions of this contract shall not be subject to the general disputes clause of this contract. Such disputes shall be resolved in accordance with the procedures of the Department of Labor set forth in 29 CFR Parts 5, 6, and 7. Disputes within the meaning of this clause include disputes between the contractor (or any of its subcontractors) and HUD or its designee, the U.S Department of Labor, or the employees or their representatives. 10. (i) Certification of Eligibility. By entering into this contract the contractor certifies that neither it (nor he or she) nor any person or firm who has an interest in the contractor's firm is a person or firm ineligible to be awarded Government contracts by virtue of Section 3(a) of the Davis -Bacon Act or 29 CFR 5.12(a)(1) or to be awarded HUD contracts or participate in HUD programs pursuant to 24 CFR Part 24 (ii) No part of this contract shall be subcontracted to any person or firm ineligible for award of a Government contract by virtue of Section 3(a) of the Davis -Bacon Act or 29 CFR 5.12(a)(1) or to be awarded HUD contracts or participate in HUD programs pursuant to 24 CFR Part 24. (iii) The penalty for making false statements is prescribed in the U.S. Criminal Code, 18 U.S.C. 1001. Additionally, U.S. Criminal Code, Section 1 01 0, Title 18, U.S.C., "Federal Housing Administration transactions", 'provides in part: "1Nhoever, for the purpose of .. . influencing in any way the action of such Administration..... makes, utters or publishes any statement knowing the same to be false..... shall be fined not more than 55,000 or imprisoned not more than two years, or both." 11. Complaints, Proceedings, or Testimony by Employees. No laborer or mechanic to whom the wage, salary, or other labor standards provisions of this Contract are applicable shall be discharged or in any other manner discriminated against by the Contractor or any subcontractor because such employee has filed any complaint or instituted or caused to be instituted any proceeding or has testified or is about to testify in any proceeding under or relating to the labor standards applicable under this Contract to his employer. B. Contract Work Hours and Safety Standards Act. The provisions of this paragraph B are applicable where the amount of the prime contract exceeds 5100,C00. As used in this paragraph, the temms "laborers` and "mechanics" include watchmen and guards. (1) Overtime requirements. No contractor or subcontractor contracting for any pan of the contract work •,vhich may require or involve the employment of laborers or mechanics shall require or permit any such laborer or mechanic in any workweek in which the individual is employed on such work to work in excess of 40 hours in such workweek unless such laborer or mechanic receives compensation at a rate not less than one and one-half times the basic rate of pay for all hours worked in excess of 410 hours in such work%vaek. (2) Violation; liability for unpaid wages; liquidated damages. In the event of any violation of the clause set forth in subparagraph (1) of this paragraph, the contractor and any subcontractor responsible therefor shall be liable for the unpaid wages. In addition, such contractor and subcontractor shall be liable to the United States (in the case of work done under contract for the District of Columbia or a territory, to such District or to such territory), for liquidated damages Such liquidated damages shall be computed with respect to each individual laborer or mechanic. including watchmen and guards, employed in violation of the clause set forth in subparagraph (1) of this paragraph, in the sum of $10 for each calendar day on which such indmdual was required cr permitted to %nark in excess of the standard workweek of 40 hours v:itnout payment of the overtime wages required by the clause set forth in sub paragraph (1) of this paragraph. Previous editions are obscle:e form HUD-4010 (06nC09) Page 4 of 5 ref. Handbook 1344.1 25 (3) Withholding for unpaid wages and liquidated damages. HUD or its designee shall upon its own action OF upon written request of an authorized representative of the Department of Labor withhold or cause to be withheld, from any moneys payable on account of work performed by the contractor or subcontractor under any such contract or any other Federal contract with the same prime contract, or any other Federally -assisted contract subject to the Contract %Mork. Hours and Safety Standards Act which is held by the same prime contractor such sums as may be determined to be necessary to satisfy any liabilities of such contractor or subcontractor for unpaid wages and liquidated damages as provided in the clause set forth in subparagraph (2) of this paragraph. (4) Subcontracts. The contractor or subcontractor shall insert in any subcontracts the clauses se: forth in subparagraph (1) through (4) of this paragraph and also a clause requiring the subcontractors to include these clauses in any lower tier subcontracts. The prime contractor shall be responsible for compliance by any subcontractor or lower tier subcontractor with the clauses set forth in subparagraphs (1) through (4) of this paragraph. C. Health and Safety. The provisions of this paragraph C are applicab:e where the amount of the prime contract exceeds S1C0,000. (1) No laborer or mechanic shall be required to work, in surroundings or under working conditions which are unsanitary, hazardous, or dangerous to his health and safety as determined under construction safety and health standards promulgated by the Secretary of Labor by regulation. (2) The Contractor shall comply with all regulations issued by the Secretary of Labor pursuant to Title 29 Part 1926 and failure to comply may result in imposition of sanctions pursuant to the Contract 'Mork, Hours and Safety Standards Act, (Public Law 91-54. 83 Stat 96), 40 USC 3701 et seg. (3) The contractor shall include the provisions of this paragraph in every subcontract so that such provisions will be binding on each subcontractor. The contractor shall take such action with respect to any subcontractor as the Secretary of Housing and Urban Development or the Secretary of Labor shall direct as a means of enforcing such Provisions Previous editions are obso'ete form HUDA010 (0612009) Page 5 of 5 ref. Handbook 1244.1 26 CITY OF MENIFEE Minor Home Rehabilitation Grant Program SCHEDULE OF PROGRESS PAYMENTS 1. Progress Payment #1 2. Final Payment (Retention Payment) ATTACHMENT "C" 27 ATTACHMENT "D" Notice of Three -Day Right to Cancel Date of Transaction: July 25, 2016 You, the homeowner, have the right to cancel this contract within (3) three business days. You may cancel by emailing, mailing, faxing, or delivering a written notice to the contractor at the contractor's place of business by midnight of the third business day after you received a signed and dated copy of the contract that includes this notice. Include your name, your address, and the date you received the signed copy of the contract and this notice. If you cancel, the contractor must return to you anything you paid within ten (10) days of receiving the notice of cancellation. For your part, you must make available to the contractor at your residence, in substantially as good condition as you received it, any goods delivered to you under this contract or sale. Or, you may, if you wish, comply with the contractor's instructions on how to return the goods at the contractor's expense and risk. If you do make the goods available to the contractor and the contractor does not pick them up within twenty (20) days of the date of your notice of cancellation, you may keep them without any further obligation. If you fail to make the goods available to the contractor, or if you agree to return the goods to the contractor and fail to do so, then you remain liable for performance of all obligations under the contract. To cancel this transaction, mail or deliver a signed and dated copy of the Notice of Cancellation, or any other written notice to: Prebot Construction 365 W. San Jacinto Avenue Menifee, CA 92586 not later than midnight of (Date) July 28, 2016 California Business and Professions Code Section § 7159 requires that this form be signed and dated when the contract is signed. My signature below acknowledges receipt of this Notice of Three -Day Right to Cancel and tw copies of the form Notice of Cancellation. 7, p_ Si na ure of Owner Date ATTACHMENT "E" MECHANICS LIEN WARNING Anyone who helps improve your property, but who is not paid, may record what is called a mechanics lien on your property. A mechanics lien is a claim, like a mortgage or home equity loan, made against your property and recorded with the county recorder. Even if you pay your contractor in full, unpaid subcontractors, suppliers, and laborers who helped to improve your property may record mechanics liens and sue you in court to foreclose the lien. If a court finds the lien is valid, you could be forced to pay twice or have a court officer sell your home to pay the lien. Liens can also affect your credit. To preserve their right to record a lien, each subcontractor and material supplier must provide you with a document called a 'Preliminary Notice.' This notice is not a lien. The purpose of the notice is to let you know that the person who sends you the notice has the right to record a lien on your property if he or she is not paid. BE CAREFUL. The Preliminary Notice can be sent up to 20 days afterthe subcontractor starts work or the supplier provides material. This can be a big problem if you pay your contractor before you have received the Preliminary Notices. You will not get Preliminary Notices from your prime contractor or from laborers who work on your project. The law assumes that you already know they are improving your property. PROTECT YOURSELF FROM LIENS. You can protect yourself from liens by getting a list from your contractor of all the subcontractors and material suppliers that work on your project. Find out from your contractor when these subcontractors started work and when these suppliers delivered goods or materials. Then wait 20 days, paying attention to the Preliminary Notices you receive. PAY WITH JOINT CHECKS. One way to protect yourself is to pay with a joint check. When your contractor tells you it is time to pay for the work of a subcontractor or supplier who has provided you with a Preliminary Notice, write a joint check payable to both the contractor and the subcontractor or material supplier. For other ways to prevent liens, visit CSLB's Internet Web site at www.csib.ca.gov or call CSLB at 800-321-CSLB (2752). REMEMBER, IF YOU DO NOTHING, YOU RISK HAVING A LIEN PLACED ON YOUR HOME. This can mean that you may have to pay twice, or face the forced sale of your home to pay what you owe. mvchwfff ''F'' CERTHOLDER COPY SK P.O. BOX 8192, PLEASANTON, CA 94588 CERTIFICATE OF WORKERS' COMPENSATION INSURANCE ISSUE DATE: 05-01-2015 CITY OF MENIFEE SK MARGARITA 29714 HAUN RD SUN CITY CA 92586-6540 GROUP: POLICY NUMBER: 1948519-2016 CERTIFICATE ID: 7 CERTIFICATE EXPIRES: 05-01-2017 05-01-2016/05-01-2017 This is to certify that we have issued a valid Workers' Compensation insurance policy in a form approved by the California Insurance Commissioner to the employer named below for the policy period indicated. This policy is not subject to cancellation by the Fund except upon H0 days advance written notice to the employer. We will also give you 30 days advance notice should this policy be cancelled prior to its normal expiration. This certificate of insurance is not an insurance policy and does not amend, extend or alter the coverage afforded by the policy listed herein. Notwithstanding any requirement, term or condition of any contract or other document with respect to which this certificate of insurance may be issued or to which it may pertain, the insurance afforded by the polic�y/ described herein is subject to all the terms, exclusions, and conditions, of such policy. Authorized Representative President and CEO UNLESS INDICATED OTHERWISE BY ENDORSEMENT, COVERAGE UNDER THIS POLICY EXCLUDES THE FOLLOWING: THOSE NAMED IN THE POLICY DECLARATIONS AS AN INDIVIDUAL EMPLOYER OR A HUSBAND AND WIFE EMPLOYER; EMPLOYEES COVERED ON A COMPREHENSIVE PERSONAL LIABILITY INSURANCE POLICY ALSO AFFORDING CALIFORNIA WORKERS' COMPENSATION BENEFITS; EMPLOYEES EXCLUDED UNDER CALIFORNIA WORKERS, COMPENSATION LAW. EMPLOYER'S LIABILITY LIMIT INCLUDING DEFENSE COSTS: $1,000,000 PER OCCURRENCE. ENDORSEMENT /#2065 ENTITLED CERTIFICATE HOLDERS' NOTICE EFFECTIVE 08-18-2015 IS ATTACHED TO AND FORMS A PART OF THIS POLICY. EMPLOYER PREBOT, PRIMITIVO AND PREBOT, BEATRIZ DBA: PREBOT CONSTRUCTION 365 W SAN JACINTO AVE PERRIS CA 92570 M0408 (REV.7-2014) PRINTED : 04-15-2016 From: 916-626-5900 To: 9514904951 Page: 1 /2 Uate: 1/2b/2Ul tj y:41:_l U AM � btA t I� (fn ® �- CERTIFICATE OF LIABILITY INSURANCE DATE (MMIoDfy vY) 7126/2016 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(ies) must be endorsed. if SUBROGATION IS WAIVED, subject to the terms and conditions of the policy, certain policies may require an endorsement. A statement on this certificate does not confer rights to the certificate holder in lieu of such endorsements . PRODUCER Brown & Brown Insurance Brokers of Sacramento, Inc CONTACT NAME: PHONE No g16-630 8643 Fax 800-783-0083 P. O. Box 619043 Lic #OH38004 Roseville CA 95661-9043 E-MAIL INSURER(S) AFFORDING COVERAGE NAIC I INSURER A:Deve10 ers Surety & Indemnity 12718 INSURED PREBO-1 INSURERS: INSURER C : Pre bot Construction INSURERD: 365 W San Jacinto Avenue Perris CA 92570 INSURER E INSURER F : rcorl Crr Arc KII IMPr:P* 751007368 REVISION NUMBER: THIS IS TO CERTIFY THAT THE POLICIES OF INSURANCE LISTED BELOW HAVE BEEN ISSUED TO THE INSURED NAMED ABOVE FOR THE POLICY PERIOD INDICATED. NOTWITHSTANDING ANY REQUIREMENT, TERM OR CONDITION OF ANY CONTRACT OR OTHER DOCUMENT WITH RESPECT TO WHICH THIS CERTIFICATE MAY BE ISSUED OR MAY PERTAIN, THE INSURANCE AFFORDED BY THE POLICIES DESCRIBED HEREIN IS SUBJECT TO ALL THE TERMS, EXCLUSIONS AND CONDITIONS OF SUCH POLICIES. LIMITS SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS. I�TR TYPE OF INSURANCE INSD WVD POLICY NUMBER POLICY EFF MMIDD POLICY EXP MMIDD LIMBS A X COMMERCIAL GENERAL LIABILITY CLAIMS -MADE X❑ OCCUR Y Y BIS0002231802 6/3/2016 6/3/2017 EACH OCCURRENCE S1,000,000 DAMAGE PP.EtAISES Eaoccvnence $100.000 MED EXP (Any one person) $5,000 PERSONAL & ADV INJURY $1,000,000 GENL AGGREGATE LIMIT APPLIES PER: GENERAL AGGREGATE $2,000,000 PRODUCTS- COMPIOP AGG 52,000,000 X POLICY � jE � � LOC OTHER: S AUTOMOBILE LIABILITY Ea accident S BODILY INJURY (Per person) S ANY AUTO BODILY INJURY (Peraccidenl) S AUTOWNED SCHEDULED AUTONON-OWNED HIRED AUTOS AUTOS PROPF R IY DAMAGES Per accident S UMBRELLA LIAB OCCUR EACH OCCURRENCE S AGGREGATE S EXCESSLIAB CLAIMS-MADE1 DED I I RETENTIONS S WORKERS COMPENSATION OT STATUTE EERH AND EMPLOYERS' LIABILITY Y I N ANY PROPRIETORIPARTNERIEXECUTIVE E.L. EACH ACCIDENT S E.L. DISEASE - EA EMPLOYEE S INI OFFICEREMBER EXCLUDED? ❑ (Mandatory in NH) NIA E.L-DISEASE - POLICY LIMIT S If yes. describe under DESCRIPTION OF OPERATIONS below DESCRIPTION OF OPERATIONS I LOCATIONS VEHICLES (ACORD 101, Additional Remarks Schedule, maybe attached if more space Is required) Certificate holder is included as Additional Insured under Commercial General Liability policy per endorsement ID 01 37 04 13. CERTIFICATE HOLDER CANCELLATION SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE City of Menifee Building Safety Dept. Attn: Margarita THE EXPIRATION DATE THEREOF, NOTICE WILL BE DELIVERED IN 29714 Ha un Road ACCORDANCE WITH THE POLICY PROVISIONS. Menifee CA 92586 AUTHOEVEDREPREESENTATIVE ©1988-2014 ACORD CORPORATION. All rights reserved. 25 (2014101) The ACORD name and logo are registered marks of ACORD t-rom: 916-bZb-b900 To: 9514904951 Page: 212 Date: 7/26/2016 9:41:10 AM ID01370413 THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY. BLANKET ADDITIONAL INSURED This endorsement modifies insurance provided under the following: COMMERCIAL GENERAL LIABILITY COVERAGE PART A. Section II — Who Is An Insured is amended to include as an additional insured any person or organization for whom you are performing operations when you and such person or organization have agreed in writing in a contract or agreement that such person or organization be added as an additional insured on your policy. Such person or organization is an additional insured, but only to the extent that such person or organization is held liable for your acts or omissions arising out and in the course of your ongoing operations performed for such additional insured. A person's or organization's status as an additional insured under this endorsement ends when your operations for that additional insured are completed. B. With respect to the insurance afforded to these additional insureds, the following additional exclusions apply: This insurance does not apply to: 1. "Bodily injury", "property damage" or "personal and advertising injury" arising out of the rendering . of, or the failure to render, any professional architectural, engineering or surveying services, including: a. The preparing, approving, or failing to prepare or approve, maps, shop drawings, opinions, reports, surveys, field orders, change orders or drawings and specifications; or -b. Supervisory, inspection, architectural or engineering activities. 2. "Bodily injury" or "property damage" occurring after: a. All work, including materials, parts 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 location of the covered operations has been completed; or b. That portion 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. 3. "Bodily injury", "property damage" or 'personal and advertising injury" involving or related to or in connection with any additional insured or any location covered by a scheduled or blanket additional insured endorsement that is a part of the policy. C. Primary and Non-contributory Insurance - We will consider this insurance to be primary and non- contributory to other insurance issued directly to additional insured person(s) or organization(s) to which this endorsement applies if each such additional insured is a named insured in such other insurance and a written contract between you and such person(s) or organization(s) specifically requires that we consider this insurance to be primary and non-contributory. D. Waiver of Subrogation — We waive any right of recovery we may have against the additional insured person(s) or organization(s) to which this endorsement applies if each such additional insured is a named insured in such other insurance and a written contract between you and such person(s) or organization(s) specifically requires that we waive subrogation because of payments we make for injury or damage arising out of "your work" done under a contract with such person(s) or organization(s) to which this endorsement applies. ID 01 37 04 13 Page 1 of 1 Check A License - License Detail Page 1 of 1 ma(titwfv* t 1C1t1 Contractor's License Detail for License # 427208 DISCLAIMER: A license status check provides information taken from the CSLB license database. Before relying on this information, you should be aware of the following limitations. CSLB complaint disclosure is restricted by law (B&P 7124.6) If this entity is subject to public complaint disclosure, a link for complaint disclosure will appear below. Click on the link or button to obtain complaint and/or legal action information. Per B&P 7071.17 , only construction related civil judgments reported to the CSLB are disclosed. Arbitrations are not listed unless the contractor fails to comply with the terms of the arbitration. Due to workload, there may be relevant information that has not yet been entered onto the Board's license database. This license is current and active. All information below should be reviewed. B - GENERAL BUILDING CONTRACTOR Business Information PREBOT CONSTRUCTION 365 W SAN JACINTO AVENUE PERRIS, CA 92570 Business Phone Number:(951) 453-4437 Entity Sole Ownership Issue Date 08/30/1982 Expire Date 08/31 /2016 License Status Classifications Bonding Information Contractor's Bond This license filed a Contractor's Bond with HUDSON INSURANCE COMPANY. Bond Number: 30013020 Bond Amount: $15,000 Effective Date: 06/17/2016 Contractor's Bond History Workers' Compensation This license has workers compensation insurance with the STATE COMPENSATION INSURANCE FUND Policy Number:1948519 Effective Date: 05/01/2015 Expire Date: 05/01/2017 Wrkers' Compensation History https://www2.cslb.ca.gov/OnlineServices/CheckLicenseII/LicenseDetail.aspx?LicNum=427208 7/25/2016